* Press release…
Biss for Illinois campaign manager, Abby Witt, released the following statement in response to J.B. Pritzker’s latest ad announcing his support for a progressive income tax.
“It’s great to hear a billionaire talk about a progressive income tax, but actions that live up to those words would be even better. This summer, when asked if he supports taking action in Illinois to close a tax loophole that hedge fund billionaires use to avoid paying their fair share, J.B. said no. That’s the same thing he said when asked to pay his full property taxes last year, instead gaming the system for a big tax break.
“Daniel has been fighting for a progressive income tax for years, publicly supporting proposals by his colleagues in the Senate and introducing his own proposed amendment this summer. He passed the first bill in the nation to close the carried interest tax loophole, which would provide much needed revenue for Illinois.
“J.B. might be spending millions to do it, but talk is still cheap.”
* Biss is right about Pritzker’s position on the closing the state loophole, but the billionaire does favor federal action…
If the Biss bill becomes law, it would impose for the first time a state tax of 20 percent on Illinois private-equity firms, as well as venture and hedge fund firms, for the investment gains they achieve for clients. That would drive investment firms out of the state, O’Hara says. An Illinois Department of Revenue analysis suggests she may be right. It predicts $1.7 billion in additional revenue the first year, but a wash in later years as firms leave or reclassify income.
J.B. Pritzker agrees that Illinois firms might flee, and take jobs with them. “I favor a federal law to close the carried interest loophole nationally, which would create an even playing field across states and ensure Illinois is not disadvantaged in drawing investment capital to our state,” he says in a statement.
…Adding… From the Pritzker campaign, which points out that the candidate has been pushing a graduated income tax since Day One of his campaign…
April 2017: At His Campaign Kickoff, Pritzker Told Reporters That We Needed To “Start With The Millionaires And Billionaires And Make Sure That They’re Paying Taxes First.” “At his kickoff event, Pritzker told reporters, ‘I think that we ought to start with the millionaires and billionaires and make sure that they’re paying taxes first, and then we’re not going to be talking about raising taxes on middle-class families until we take care of that problem.’” [Chicago Tribune, 4/6/17]
HEADLINE: “Pritzker Says State Needs Progressive Tax Structure” [State Journal-Register, 4/17/17]
May 2017: Pritzker Called For A Progressive Income Tax That Would Require Wealthier People To Pay More. “Instead, Pritzker’s proposing a progressive income tax structure that would require wealthier residents and corporations to pay more.” [Peoria Public Radio, 5/26/17]
June 2017: Pritzker Called For A Progressive Income Tax So That We Weren’t Putting The Burden On Working Families. PRITZKER: “Well, we need to start with a progressive income tax in this state. People who can afford to pay should be the first ones who step up to the plate. We shouldn’t be putting the burden upon working families, and middle-class families, and people striving to get to the middle-class, before we ask people who can afford to pay to step up to the plate.” [Morning Shift, WBEZ, 6/14/17]
July 2017: Pritzker: “We’ve Got To Make Sure We’ve Got A Progressive Income Tax In This State.” “‘Well, we’ve got to make sure we’ve got a progressive income tax in this state so that people could afford to pay a higher rate due,’ Pritzker said. ‘And people in the middle class, striving to get to the middle class don’t get burdened by higher taxes.’” [Fox Illinois, 7/4/17]
July 2017: When Asked If They Supported A Progressive Income Tax, All Six Gubernatorial Candidates Raised Their Hands. “When asked by moderator Brandis Friedman, of WTTW’s Chicago Tonight, who supported a ‘progressive’ income tax, all six men raised their hands. Each also said they supported raising the state’s minimum wage and working to fund public schools before charter schools.” [Chicago Sun-Times, 7/14/17]
August 2017: Pritzker Talked With The Democratic Women Of Kendall County About A Progressive Income Tax. “The pair addressed an event hosted by the Democratic Women of Kendall County, a relatively new organization formed in April, at the UAW Local 145 hall… During his address, Pritzker focused on issues such as implementing a progressive income tax to give property tax relief to residents, improving funding for education and social services, and legalizing marijuana. Pritzker said he favors a progressive income tax, in which those who make more money pay a higher income tax rate, to help fund schools and offset the property tax burden.” [Kendall County Now, 8/16/17]
September 2017: JB Pritzker To Macomb County: “We’re One Of The Few States Left That Still Has A Flat Tax. It’s Antiquated, It’s Unfair And It’s Regressive.” “Pritzker outlined some points needing to be addressed to solve the state’s financial challenges. He encourages a progressive income tax. ‘We’re one of the few states left that still has a flat tax system. It’s antiquated, it’s unfair and it’s regressive. But we have a challenge because it’s written into the constitution,’ he said. ‘We can overcome that in two distinct ways. The first is to elect enough state representatives and senators to get it done. He need 71 votes in the House and 36 in the Senate. We don’t have enough in the House for sure.’” [McDonough County Voice, 9/27/17]