The Latest: Pritzker celebrates victory on income tax plan
SPRINGFIELD, Ill. (AP) — The Latest on Illinois legislative action on a graduated income tax constitutional amendment (all times local):
Gov. J.B. Pritzker is promoting a study led by Democratic lawmakers on reducing Illinois’ second-highest property taxes in the nation after a victory on his proposed graduated income tax plan.
The Democratic governor celebrated with supporters in his state Capitol office Monday after the House approved 73-44 a graduated income tax constitutional amendment . The action allows voters to decide in November 2020 whether to adopt progressive tax rates which hit wealthy filers harder and eliminate the current flat-rate structure.
Pritzker contends that 97 percent of taxpayers would not pay more than they do now. It also would increase property tax relief.
But Pritzker spent as much time in the news conference emphasizing the study on property taxes led by Democratic Reps. Rita Mayfield of Waukegan and Daniel Didech (DIH’-dihch) of Buffalo Grove. A plan to cut property taxes could reduce the sting of those paying more in income taxes.
Voters will decide whether to change Illinois’ income-tax structure after the House approved a constitutional amendment on Gov. J.B. Pritzker’s graduated tax proposal.
The House voted 73-44 Monday to put the question on the November 2020 ballot. It needed 71 votes.
Voter approval would mean eliminating the current flat-rate tax of 4.95%. Democratic Pritzker intends that a progressive structure would increase taxes on incomes higher than $250,000. Pritzker says 97 percent of taxpayers would pay no increase in taxes.
The amendment does not specify what rates would apply to income levels. That must come in separate legislation.
But minority House Republicans complained that the proposal amounts to a tax hike and allow runaway Democratic spending.
The Senate approved the amendment May 1.
The amendment is SJRCA1.