Last October, Christine Radogno was the first politician to mention the possibility of a “retirement tax.”
On Sunday night, in an interview with WLS-Radio newsman Bill Cameron on “Connected to Chicago,” she said she thought it was “off the table.”
This Crystal Lake family moved to the Intermountain West right after high school graduation.
Here’s the transcript:
“One thing that I think is off the table is taxing retirement income–even at a high limit, which personally I’m not sure I 100% agree with that, but I think it is off the table.”
Why?
“I think people are worried about pushing more seniors out of the state because people are so ready to leave it as it is.”
OK, I’ll bite.
Why would a tax on retirement income force more seniors to move to another state?
Would applying the current State tax rate of 3.75% on seniors’ currently exempt retirment income trigger a mass exodus?
And, even if true, why is that a bad thing?
Pension Tax “Off the Table” ?
Don’t count on it with Captain Madigan and his Democrat pirates firmly in charge in Springfield and looking to confiscate more of your money.
More Illinoisans are heading for the exits and taking their wealth with them with each passing day as is clearly evident by all the home for sale signs popping up in record numbers.
The Democrats quest for more of your money to feed their insatiable
machine will never be satisfied, and there is no one to stop them.
There is no stopping the Great Exodus from Illinois now.
Occam?
Yes, and yes.
So many other factors would lead a pensioner to leave the state, and many more would keep them.
Only a few states don’t tax income.
Is the hassle of selling one’s home, presuming it’s not underwater, and the cost of actually moving, enough to offset a modest income tax on an overly generous pension?
Then there’s the grandkid factor.
Say, can my 401(k) withdrawals not be taxed so that my retirement income is on par with the 1 percenters of this state?
Personally, I think my income tax rate is fair, perhaps even too low.
EXCEPT that my property tax is way beyond the bounds of reasonableness, and that’s why I’m pulling stakes in six years.
They get you elsewhere.
Nice show Cal.
Before you move do your homework on aggregate taxes.
Seniors who can afford to move probably but a lot of stuff subject to the sales tax.
You won’t win elsewhere.
Don’t believe the lie.
Have you read the report?
South Side Gator:
The report?
You mean the one which shows we are most heavily taxed people in the country?
https://wallethub.com/edu/best-worst-states-to-be-a-taxpayer/2416/
I really like the following comment:
It is scary!
People like this vote!!
People like this will actually believe they are lowering their tax burden by switching school funding from property tax to state income tax.
We have a spending problem in this State!!
We also have a very inequitable school funding problem with taxpayers outside of Chicago subsidizing Chicago City property owners.
Pin number 12-12-121-022-0000 in Chicago has a tax rate of 6.808
Pin number 07-18-202-001-0000 in Schaumburg has a tax rate of 10.826
Pin number 13-08-201-008 in Woodstock has a tax rate of 13.566867
Woodstock property owners pay DOUBLE the amount of property tax compared to Chicago homeowners!
Why?
Chicago schools get more funding from the State (taxpayer funded by all state taxpayers).
You can thank Mike Madigan and his fellow Democrats including Jack Franks who as Mark has reported, FULLY SUPPORTED raiding pension funds to support Chicago teacher unions (indirectly).
Yes, “people like this” do vote.
Unfortunately, “people like this” cannot vote out the Mike Madigans of the state.
“People like this” see how other fiscally-responsible states produce exceptional school systems without the need for exceptionally high property tax rates or burdensome income taxes.
“People like this” recognize that our property tax system is constructed in a manner that deconstructing it is nearly impossible because of dozens of competing, independent taxing bodies.
“People like this” are not naive and realize that our state government is so corrupt, so dysfunctional that we cringe at the idea of giving them greater control over collected taxes.
“People like this” would accept as a valid alternative for consideration greater control of all county-based resources by the county board in exchange for the elimination of those independent taxing bodies.
“People like this” have done the analysis and see their overall tax burden exclusive of federal taxes thousands higher annually than some other states ($14,000 difference vs. Florida.)
“People like this” don’t want to pay another dime more in taxes.
“People like this” can’t wait to move when the opportunity is right.