progressive income tax

Deadline Missed
9:17 pm
Tue April 29, 2014

Illinois Keeps Its Flat Tax, As Graduated Tax Plan Dies

Sen. Don Harmon, D-Oak Park
Credit ILGA.gov

Illinois will keep its flat income tax, despite an effort to move to a graduated one.

Based on the General Assembly's schedule, the Senate would have had to pass the proposal Tuesday in order to meet a constitutional deadline.

Instead, senators adjourned without a vote.

The measure's sponsor, Senator Don Harmon, D-Oak Park, sticks by the plan.

He says would allow Illinois to be nimble with tax policy.

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Graduated income tax
11:58 am
Thu April 24, 2014

Madigan: Vote Count Low For Graduated Tax

House Speaker Michael Madigan (D-Chicago)

  Time is running out on a push for a graduated income tax income tax in Illinois and it remains to be seen whether a key legislative leader supports the plan.

Backers of the graduated tax say it's more fair than Illinois' current flat tax, because people who earn more can afford to pay more.

But enacting that requires changing the state constitution. Voters would have the final say at the ballot in November, but they won't even be asked if lawmakers don't approve it first.

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Income tax
12:34 am
Tue April 8, 2014

Tax Watchdog Group: Income Tax Doesn't Hurt Businesses, Property Tax Does

Credit flickr/danxoneil

  Opponents of Governor Pat Quinn's proposed income tax increase say it will chase jobs out of Illinois. A new report that challenges that assumption.

What to do about Illinois' expiring income tax hike has been the star of the debate this spring. The governor threatens cuts unless its extended, while Republican leaders say keeping the higher tax rate is a bigger threat to the economy.

Ralph Martire, director of the Chicago-based Center for Tax and Budget Accountability, says that's a misunderstanding. He says property taxes are the true obstruction of economic growth.

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Graduated income tax
9:47 am
Fri April 4, 2014

Graduated Income Tax Moves Forward After Stumble

  An effort to change Illinois' income tax from a flat to a graduated structure is making headway in the General Assembly. The plan, where the more you earn the more you pay, has been revived after a setback last week.

When another proposal for a graduated income tax was up for debate last week, it was shot down before even getting to the floor. But Representative Christian Mitchell, a Democrat from Chicago, says his proposal is different: Its income-based tax brackets are lower than the previous version.

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Millionaire's tax
4:43 pm
Thu March 27, 2014

Madigan's 'Millionaire's Tax' Passes Legislative Hurdle

  A tax on millionaires is advancing through the General Assembly ... at the expense of a progressive income tax.

The so-called "Millionaire's Tax" would levy a three percent surcharge on income over a $1 million. House Speaker Michael Madigan says that should raise about a billion dollars, which Illinois would send exclusively to schools.

"My judgment was that it helps education and it calls upon those in the society that are better able to help fund education than others."

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Progressive income tax
5:38 pm
Tue March 25, 2014

Progressive Income Tax Supporters: Most Taxpayers Would Get Break

  Advocates have been moving for months to give Illinois a progressive income tax. Instead of the same flat rate for everyone, those who make more would pay more. As Hannah Meisel reports, supporters are finally getting specific.

Backers of the plan argue most Illinoisans would get a tax cut.

Senator Don Harmon, a Democrat from Oak Park, says this provides the state a new choice, instead of extending the 2011 income tax hike or making deep cuts to services.

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