Courtesy of Illinois Policy Institute

Lawmakers intent on fostering a strong economic recovery from the COVID-19 pandemic announced a resolution to withdraw Gov. J.B. Pritzker’s $3.7 billion progressive income tax hike from the Nov. 3, 2020, ballot. Small businesses and households would be hit hard by a progressive income tax, exacerbating the economic downturn they are already enduring.

• Illinois Policy Institute research shows more than 100,000 small businesses, which file as “pass-through” entities, would see tax hikes of up to 47 percent under the current proposed progressive income tax.

• These small businesses are the state’s most prolific job creators, responsible for 60 percent of all new jobs each year.

• Small businesses organized as C-corps would face an initial 10 percent income tax hike, bringing Illinois’ corporate income taxes to the third-highest in the nation. Under the rules of the graduated income tax amendment, corporate income taxes could increase to the highest in the nation at 15.28 percent.

• The typical Illinois family would have to pay anywhere between $286 and $1,056 more under a progressive income tax if lawmakers rely solely on increased revenue to offset income tax revenue losses from the COVID-19 outbreak.  

To read more, visit: illin.is/ballotremoval.