Madigan filed legislation Monday that would keep the 2011 income tax hike in place and send homeowners a $500 property tax refund.
* More on the refund plan…
Under the proposal, refunds could be issued for 2013 property taxes as soon as September. That’s just weeks before the November election, when Quinn and many other lawmakers face re-election.
The idea behind this isn’t difficult to discern. They want to send voters a check before the election.
* From a recent AP story…
The temporary income tax hike Illinois lawmakers are considering extending is costing the typical taxpayer about $1,100 more this year, according to calculations by the Governor’s Office of Management and Budget.
he 67 percent increase on individuals approved in 2011 is producing about $6.6 billion in additional revenue for the state this year. Democrats promised when they raised the individual rate from 3 percent to 5 percent that it would roll back to 3.75 percent in January 2015. Now Gov. Pat Quinn and legislative Democrats want to make the 5 percent rate permanent.
The AP also calculated that rolling back the reduction on schedule to 3.75 percent would save the average taxpayer $688.
Instead, the state is planning to give every homeowner $500. And, by the way, those homeowners will very likely be liable for state and federal taxes on their election year bonus checks.
That’s kinda goofy, if you ask me.
How about rolling back the income tax hike by $700 million, which is the net new cost of this property tax “rebate” plan?