Chicago & Midwest CRE News In Your Inbox.
Sign up for Connect emails to stay informed with CRE stories that are 150 words or less.
IL Voters Nix Graduated Income Tax Amendment
A referendum to amend Illinois’ constitution in favor of a graduated income tax has gone down in defeat, with proponents of the measure conceding Wednesday morning. With 98% of votes counted, “no” votes represented 55% of the tally.
Proponents argued the amendment would create a “fair tax” structure, giving lawmakers the authority to impose a higher rate on those earning $250,000 and above, while lowering taxes from the current 4.95% flat rate for low-income earners.
Opponents asserted that it penalized those who create jobs. The Illinois Chamber of Commerce held that “individual income tax rates are just as important to business activity as corporate rates. Proposals to raise income taxes on high-income individuals fall heavily on Illinois’ non-corporate businesses.”
Further, the Chamber maintained, “a graduated income tax is a less reliable source of funding for state programs due to the volatility of the business cycle—creating sometimes wild fluctuations in tax revenues.”
For comments, questions or concerns, please contact Paul Bubny
- ◦Economy
- ◦Financing
