SPRINGFIELD — It’s good enough for the federal government, and at least one state lawmaker will make the case that it can help Illinois’ bottom line.
State Rep. La Shawn K. Ford (D-Chicago) is proposing a graduated income tax, as the federal government imposes. Illinois’ income tax, while the rate has varied over recent years, has remained at a one-size-fits-all.
Ford says the impact is regressive and is a major part of the Institute for Taxation and Economic Policy’s assertion that Illinois is one of the most unfair taxing states in the country.
Ford says Illinois is at a point where it must do something differently in order to pull itself out of a $9 billion deficit it’s in and the more than $100 billion pension liability.
Ford says the idea Gov. Bruce Rauner has dropped regarding imposing a sales tax on some services would be acceptable if it were skewed toward luxury services that would impact wealthier Illinoisans.
The tax structure could change via a constitutional amendment which the state’s voters would have to approve, but only if the legislature agrees to put it on the ballot.
This was proposed last year too. Republicans then were unanimous in opposition.