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The Secret Tax In the Illinois Budget No One is Talking About

The Secret Tax In the Illinois Budget No One is Talking About
Joe Raedle/ Getty Images

Like it or not, Illinois workers will have to endure an 32% increase in their income tax when they get their next paycheck this month, but there’s another tax increase no one is talking about. This one amounts to a whopping $95 million dollars.

(Update 7/12/17 8:15pm): Sen Stadelman (D – Rockford), one of the biggest proponents of the permanent income tax hike and passage of the state budget, contacted me to tell me his disagreed with information contained in the article. I offered him several opportunities to comment, and he declined. The offer remains open.

When state lawmakers approved the Illinois budget last week that included a provision to raise the state income tax rate to one of the highest rates in the history of Illinois, state lawmakers, under the direction of Illinois House Speaker Michael Madigan (D), snuck in another tax increase, that will hit you every time you fill up your car or truck.

Yes, a gas tax increase of 5 cents a gallon. Rockford Senator Dave Syverson, took to social media on Monday night to remind his constituents that “back door gas tax increase” was approved. So how does this work, according to Syverson, the back door gas tax is:

a tax at the wholesale level, which raises the retail price. This move will add approximately 5 cents a gallon. ($95 million total)
Yet another reason why this budget plan was wrong.

So, if you fill up a 20 gallon tank when you go to fill up, it will add a $1.00 on to the average fill up. If you fill your car. If you fill up once a week, this new back door tax will add about $52 to you gasoline bill, every year. Truck divers and transportation companies will notice it even more as their gas consumption levels are much higher. Those costs, of course will be passed on to the cost of good the consumer will pay.

Three Rockford are lawmakers supported the tax. So, how did our Rockford Area lawmakers vote?

HOUSE MEMBERS (Note all are up for re-election in Spring of 2018)

SENATE MEMBERS:

  • Dave Syverson (R – Rockford): Voted NO
  • Tim Bivens (R) – Dixon: Voted NO
  • Steve Stadelman (D Rockford): Voted: YES
  • Pamela Althoff (R – McHenry) Voted NO

This tax, like the income tax, is also permanent. Illinois is becoming a very expensive place to live.

Illinois Income Tax Rate to Go Up 32%, Permanently

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