Illinois Senate Dems Propose Graduated Income Tax

Democrats want to be able to take more money from people's pockets.

Democrats want to be able to take more money from people’s pockets.

Passed out the Senate Executive Committee subcommittee on Constitutional Amendments on a 2-1 vote last Thursday was SJRCA40.  (That stands for Senate Joint Resolution Constitutional Amendment 40. You can find the details here.)

Here is the synopsis of the legislation:

Proposes to amend the Revenue Article of the Illinois Constitution.

Removes a provision that provides that a tax on income shall be measured at a non-graduated rate.

Provides that there may be one tax on the income of individuals and corporations, that this may be a fair tax where lower rates apply to lower income levels and higher rates apply to higher income levels, and that no government other than the State may impose a tax on or measured by income.

Effective upon being declared adopted.

The actual language is below (the new language replaces the crossed out language):

10
ARTICLE IX
11
REVENUE

12     (ILCON Art. IX, Sec. 3)
13 SECTION 3. LIMITATIONS ON INCOME TAXATION
14     (a) There may be one tax on the income of individuals and
15 corporations. This may be a fair tax where lower rates apply to
16 lower income levels and higher rates apply to higher income
17 levels. No government other than the State may impose a tax on
18 or measured by income. A tax on or measured by income shall be
19 at a non-graduated rate. At any one time there may be no more
20 than one such tax imposed by the State for State purposes on
21 individuals and one such tax so imposed on corporations. In any
22 such tax imposed upon corporations the rate shall not exceed
23 the rate imposed on individuals by more than a ratio of 8 to 5.

The proposal basically gives a blank check to the Illinois legislature to pass any income tax law the Democrats desire.

And, since the Constitutional Amendment would be effective immediately, even if Pat Quinn lost the Governor’s race, he could sign a new tax code before he left office.

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Thanks to Ron Brzoska of Waking America Up Blog and Peoria Watch‘s Merle Widmer for sending me his article.


Comments

Illinois Senate Dems Propose Graduated Income Tax — 5 Comments

  1. **The proposal basically gives a blank check to the Illinois legislature to pass any income tax law the Democrats desire.**

    The General Assembly already has a blank check to write income tax law.

    They only difference is that right now, the rate needs to be the same for all personal taxpayers.

    Under this new proposal, the General Assembly would be able to implement lower rates for lower incomes and higher rates for higher incomes, just like 34 other states and the federal government do.

    Only 9 states have a flat income tax structure.

    This concept is overwhelmingly supported by the public, and it is a better, more sustainable public policy to fund state government.

    The corresponding rate proposal with this would mean that 94% over taxpayers (everyone making less than $205,000) would pay less in taxes than they are paying now.

  2. Of course, any proposed law can be changed by any future legislature.

    The Constitution is harder to change.

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