It’s probably not a big surprise that most readers of newspapers–the paper ones–tend to be older than the average citizen.
So, it was a surprise when the Daily Herald featured an article today about why taxing retirement income is a good idea.
Jake Griffin’s article says Illinois loses “$2.7 billion a year” by exempting Social Security, pension payments, 401(k) and IRA withdrawals.
He points out even those under 65 get that benefit.
“$54.7 billion in exempt income,” the article says is the Illinois Revenue’s estimate.
Tax retirement income and there would be
- 8% more money for Springfield to spend or
- younger folks could get a tax cut.
Although strangely not mentioned in the article, commenter Thornton Makin, Jr., points out,
“Retirees are free of the chain of a job. The only thing keeping many pensioners in IL is the income tax exemption offsetting the over-the-top property taxes, sales taxes, road tolls, village gas taxes, utility tax add-ons, etc.”
The only sitting legislator mentioned in the article was State Rep. David Harris of Arlington Heights. He was one of the Republicans who voted to override Governor Bruce Rauner’s veto of the Democrats’ 32% income tax hike.