Thursday, July 18, 2013

Are Progressive Taxes Coming To Illinois?

Are Progressive Taxes Coming to Illinois?  The Majority of Democrats in Illinois Favor It!

From Huffington Post Chicago (in-part):

"As the tax debate has gone historically, most Democrats are for a progressive tax structure in Illinois. All Republicans in the Illinois House and Senate are for keeping the flat rate we currently have. Not all Democrats are for a progressive tax, though.

State Rep. Jack Franks, a Marengo Democrat, has gone so far as to sign on as a chief co-sponsor of a resolution to oppose a progressive income tax. In an interview with Reboot Illinois' Madeleine Doubek, Franks talks about his opposition, his approach to taxes, generally, the state's spending and budget problems and the ongoing pension crisis.

Question to Franks by HPC: Most elected Democrats want a progressive tax. Why not you?

Answer: "I've never supported any tax increase. In Illinois, I don't think we have a revenue problem; I think it's a spending problem. I don't think we should be asking taxpayers for more money when we don't spend what they give us wisely."

Question to Franks by HPC: How do your Democratic colleagues need to adjust their thinking because many do support a progressive tax amendment?

Answer: "The great thing about democracy is we can respectfully disagree with others' opinions. But I think what we ought to do is have a serious discussion, which we have not really had. I've been trying to for a long time. This is something on how we actually do our budget. When we passed the law a few years ago, we were supposed to be budgeting for results, but it's become a joke under this governor. We're supposed to set up these goals to get there, but he sets up these goals like we want to have a world-class education instead of saying he wants to have actual results, and it's all touchy-feely and there is nothing that's objective."

Continued by Franks: "You have 35 states who are debating whether they should cut their tax rates. Our only question is how much higher should we be charging our citizens. It's the wrong debate to be having.""

And What Does "American's for Prosperity" Report?

"“We’re a wealthy state and a pretty low-taxed state,” said state Representative Naomi Jakobsson (D-Champaign) upon introducing legislation (HJRCA 2) to initiate a switch in Illinois from a flat tax to a progressive tax.  While the Representative is entitled to her opinion, most Illinois taxpayers feel anything but “wealthy” or “low-taxed”. Consider these realities facing most families: Illinois unemployment is more than two percentage points higher than the national average; we have one of the highest property tax burdens in the country; and median household income has declined by over 9% over the last three years.

Just over two years ago, the General Assembly passed the largest tax hike in the history of Illinois, promising to pay down unpaid state bills and get Illinois’ finances in order. Yet, despite record state tax revenue, there is still $10 billion in unpaid state bills and a $97 billion unfunded pension liability, earning Illinois the worst credit rating in the nation.

So, now some leaders in Springfield want taxpayers to bail out their overspending by changing the Constitution to impose a “progressive income tax.”"

AFP continues to report:

"The reality is 31 of the 34 progressive tax states levy a higher marginal tax rate on $50,000 in household income than Illinois will in 2015. That is not just taxing the rich; it is again hiking taxes on the middle class.  The adoption of a progressive tax will threaten Illinois’ prosperity by giving politicians free reign to engage in class warfare of the type seen at the federal level and in states such as California, further destroying job creation and incentivizing the flight of businesses to more friendly states."

June 5, 2013, As Reported by Illinois Policy Institute:

"The good news is state Rep. David McSweeney, R-Barrington Hills, introduced a measure that opposes efforts to pass a progressive income tax (HR 241). This resolution gained 46 sponsors <== View Co-Sponsors Here) and bipartisan support. [Please Note... State Rep. Larry Walsh Jr. Did NOT Co-Sponsor - Like 46 Other Reps - The Bi-Partisan Resolution, Thereby Openly Supporting Progressive Taxes.... Shameful.]

McSweeney’s effort to oppose the next multi-billion tax increase in Illinois is a great example of the leadership that Illinois so desperately needs. Lawmakers already broke their promise regarding how they were going to use the additional money from the record 2011 tax hike – they haven’t earned the right to take even more money from hardworking families in Illinois.
"

The Resolution may not completely block the progressive taxes from becoming an issue again in the Illinois General Assembly.... but let's hope it does.  And if it comes back around... Contact your Representatives and let them know you do not want higher "progressive" taxes in Illinois!  

Illinois, and District 86 Citizens... You can do better than ever increasing taxes, and do better without the likes of Illinois House Rep. Larry Walsh Jr.