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*** UPDATED x3 - ILGOP, Biss, Pritzker respond *** Rauner says he’s “applauding Congress” on tax bill

Wednesday, Nov 29, 2017 - Posted by Rich Miller

* Gov. Bruce Rauner is the ILGOP’s top contributor by far and Gov. Rauner has dodged every single question about the DC tax plan. From earlier this month

“I’m not going to weigh into the detail that’s being debated in Congress right now at on the federal level. I have shared a few thoughts with federal officials, but I’m not going to weigh in to the media on this,” Rauner said.

* So, this was a bit surprising today…



* Tina Sfondeles took notice

The governor’s office and the Illinois Republican Party did not immediately respond to questions about whether the tweet and the interview [with Tom Miller on WJPF Radio Wednesday morning] now signal Rauner’s support for the plan — after steadfastly refusing to weigh in on it. […]

Miller countered: “Will D.C.’s tax reform plan, if passed, help you perform that task more efficiently, with better tractions?”

The governor said he hopes the federal government makes the tax code “more competitive and lowers [the] tax burden.”

“We need to reduce the tax burden on our working families, we need to reduce the tax burden on our companies, especially our small businesses that create most of the jobs. I’m applauding Congress. I hope they come through,” Rauner said.

“We’ll see. It’s a tough battle. What we need in Illinois is tax reduction. That’s why I want to roll back the Madigan income tax hike. I want to roll it back down to three percent, where it was years ago. And I want to help us with our property taxes. We have the highest in America, they’re crushing our working families and our small businesses, and I want to freeze our property taxes and give every voter the ability to do a referendum and lower their property tax burden, if that’s what they want to do.”

* Meanwhile, from a press release…

Today, Republican Members of the Illinois Congressional Delegation responded to letters they received last week from Senators Dick Durbin and Tammy Duckworth concerning tax reform and the impact on middle-income families.

The following letter was sent by U.S. Reps. John Shimkus (IL-15), Peter Roskam (IL-06), Randy Hultgren (IL-14), Adam Kinzinger (IL-16), Rodney Davis (IL-13), Mike Bost (IL-12), and Darin LaHood (IL-18):

Dear Senators Durbin and Duckworth,

We are writing to address your recent letter to Republican members of the Illinois Congressional Delegation. The massive 32 percent state income tax hike that was forced onto families earlier this year by Democrats in the Illinois General Assembly hurt the residents in our districts and across the state deeply. We have seen the negative impact these high taxes have had on our state’s economy and Illinois families. Now, we are coming together at the federal level to create a more competitive tax code and give middle-income families the tax relief they deserve.

The nonpartisan Tax Foundation projects that under H.R. 1, the Tax Cuts and Jobs Act, Illinois will see an estimated 37,010 jobs added and an after-tax income gain of $2,333 for middle-income families as a result of this legislation. The Chief of Staff for the nonpartisan Joint Committee on Taxation recently testified before the Ways and Means Committee that on average at every income level there will be a tax cut.

In your letter, you list deductions for medical expenses and state and local income and property taxes – as you are aware, the majority of middle-income taxpayers in Illinois see no benefit from these deductions, which are only available to those who itemize. However, lowering rates and doubling the standard deduction allows individuals to save a greater amount than they currently do even with the student loan deduction.

From businesses on Main Street to middle-income families across our great state, everyone deserves a tax code that rewards hard work by allowing them to keep more money in their paychecks. We urge you to reject the status quo and do what’s right for hardworking taxpayers in Illinois.

We encourage you to work with your colleagues to address any concerns you may have as they craft the Senate bill and we hope you will support these efforts to reform our tax code. Middle-income families deserve to keep more of what they earn and we are committed to lowering taxes for these families. By lowering rates, doubling the standard deduction, and increasing and expanding the child tax credit, the data clearly shows the majority of middle-income families in Illinois will receive a tax cut under H.R. 1.

We hope you will work with us to put an end to a tax system that benefits the wealthy over the middle-class. We look forward to working with you to get a bipartisan tax reform bill to President Trump’s desk.

*** UPDATE 1 *** Pritzker campaign…

Today, Bruce Rauner finally commented on a national issue affecting all Illinois working families: he praised Donald Trump’s regressive tax bill, and said he hopes that Congress “come[s] through.”

According to a recent analysis of the plan Rauner supports, working families stand to lose thousands of dollars to finance massive tax cuts for special interests. The bill also includes a repeal of the Affordable Care Act, causing 13 million to lose insurance by 2027.

“In the choice between Illinois’ middle class families and Donald Trump, Bruce Rauner just chose Donald Trump and his destructive tax bill,” said Pritzker campaign spokeswoman Jordan Abudayyeh. “Trump’s tax plan is an assault on working families still reeling from the damage Bruce Rauner has unleashed on our state.”

*** UPDATE 2 *** Biss campaign…

“Once again, Bruce Rauner is putting personal profit over middle-class and working families in Illinois. Republicans in Congress are trying to push through a tax plan that gives major corporations and the rich a tax break, while increasing the burden on poor and working-class families and adding a trillion dollars to the national deficit. It seems the only time Rauner is willing to say anything about Donald Trump is when he’s likely to receive a tax break,” says Biss spokesman Tom Elliott.

“Worse yet, we don’t even know the full impact the GOP tax plan would have on billionaires and millionaires like Rauner, Pritzker and Kennedy because none of them have released their full tax returns. If we want to fix the rigged system that benefits the wealthy and well-connected at the expense of the rest of us, we need to reform our tax code to make billionaires pay their fair share.

“That’s why, with nearly a decade of experience in Springfield, Daniel Biss is the only candidate running for governor who is fighting for a progressive income tax, a financial transaction tax, and closing the carried interest loophole. These reforms would bring in billions in revenue and level the playing field for middle-class families like his.”

*** UPDATE 3 *** ILGOP…

Hi Rich,

This was not the first time the party tweeted about tax reform. Our first tweet on the issue dates back to September 14th. ILGOP Chairman Tim Schneider penned an op-ed supporting the goals of tax reform on October 2nd. I’m not sure what’s surprising about today’s tweet.

The Illinois Republican Party supports any effort in Washington to increase wages, create jobs, and expand economic opportunity. The Tax Cuts and Jobs Act does just that.

J.B. Pritzker supported Mike Madigan’s 32% tax hike earlier this year that hit every Illinois family. And he’s made clear he wants another middle class tax hike soon. Pritzker’s hypocrisy on the issue of tax relief is stunning.

Thanks,

Aaron


Aaron P. DeGroot
Illinois Republican Party

       

43 Comments
  1. - Anonymous - Wednesday, Nov 29, 17 @ 2:31 pm:

    What did Shimkus contribute to this missive. Usually, isnt it’s John’s job to freshen the snacks/beverages for the others?


  2. - Ray del Camino - Wednesday, Nov 29, 17 @ 2:31 pm:

    Are these guys stoned? As my friends in 12-step like to say,
    “De-nial” is not a river in Africa.


  3. - 47th Ward - Wednesday, Nov 29, 17 @ 2:33 pm:

    ===The nonpartisan Tax Foundation projects that under H.R. 1, the Tax Cuts and Jobs Act,===

    What does the CBO say?

    Weren’t all of these Republicans deficit hawks? Speaking of the deficit, whatever happened to the Tea Party Patriots? Has anyone heard from them lately? Anyone?

    Buehler?


  4. - Pundent - Wednesday, Nov 29, 17 @ 2:34 pm:

    What complete and utter nonsense. Jobs are created by demand. When people have more disposable income demand goes up. When they have less demand goes down. The tax cuts and jobs acts is all about increasing corporate profits on the backs of individuals particularly those that can least afford it.

    And anytime that Rauner wants to start working on that state income tax problem he can begin by announcing exactly where he’s going to cut.


  5. - Pundent - Wednesday, Nov 29, 17 @ 2:36 pm:

    =What does the CBO say?=

    I believe they conservatively estimated that this would add $1.4T to the deficit. But we’ll fix that by addressing Medicare, Medicaid and Social Security down the road.


  6. - Jocko - Wednesday, Nov 29, 17 @ 2:39 pm:

    ==tax hike that was forced onto families earlier this year by Democrats in the Illinois General Assembly==

    Nice revisionist history there. Not to mention their “tricking” Rauner into believing that a simple majority was sufficient to override his veto.


  7. - Old Man - Wednesday, Nov 29, 17 @ 2:40 pm:

    I cannot find anything in the letter sent to Senators Durbin and Duckworth that describes the $25 billion that will be cut out of Medicare in the first year if this tax bill passes. Then again, three of those Representatives also voted “yes” to take health care away from thousands of Illinois people earlier this year.


  8. - Norseman - Wednesday, Nov 29, 17 @ 2:41 pm:

    I hope all those Illinoisans losing their deductions for state and local taxes, education, … will be reminded of Rauner’s applause for this tax break for the rich.


  9. - Northsider - Wednesday, Nov 29, 17 @ 2:45 pm:

    ==What does the CBO say?==

    =I believe they conservatively estimated that this would add $1.4T to the deficit. But we’ll fix that by gutting Medicare, Medicaid and Social Security down the road.=

    Pundent @ 2:36: There, I fixed it for you.


  10. - Honeybadger - Wednesday, Nov 29, 17 @ 2:45 pm:

    - Norseman - Wednesday, Nov 29, 17 @ 2:41 pm:

    I hope all those Illinoisans losing their deductions for state and local taxes, education, … will be reminded of Rauner’s applause for this tax break for the rich.

    Right on, Norseman


  11. - Anon221 - Wednesday, Nov 29, 17 @ 2:47 pm:

    To the Republican Members of the Illinois Congressional Delegation-

    You promise cuts now for the most of the middle class, but the amputation comes 8-9 years down the road. Oh, and don’t tell me that you’ll “fix” it before then, and to “trust” you to do so. You just want a win at any cost right now, and you really don’t care how you get there. 2018 is next year and even if your votes count in Congress, you can bet there will be other votes on your vote next year.
    ***
    BTW- The Tax Policy Center has a very good comparison chart (scroll down the page) on the current system, the House, and the Senate proposals. Now, the Senate may change yet since it just came out of committee. It “unveils” the rest of the story the GOPers failed to mention to Duckworth and Durbin, but many Americans are fast catching on to- if you are very wealthy or a company/corporation, you’ll be taken care of. The rest of us are just going to get taken.

    http://www.taxpolicycenter.org/feature/analysis-tax-cuts-and-jobs-act


  12. - A guy - Wednesday, Nov 29, 17 @ 2:48 pm:

    Most people will react to this when they see how it affects their regular payroll checks. If the tax tables yield a lower withholding, they’ll be pleased. If it doesn’t, they won’t.

    So much of this is at an altitude they just don’t pay attention to. That doesn’t stop anyone from buying or selling the partisan lines on what’s going on, but the “reaction?”, the thing that may trigger a voting change? That’s what’s in their regular paycheck. That’s when they feel whatever change is there.


  13. - Sigh - Wednesday, Nov 29, 17 @ 2:49 pm:

    -“I’m not going to weigh into the detail that’s being debated in Congress right now at on the federal level. I have shared a few thoughts with federal officials, but I’m not going to weigh in to the media on this,” Rauner said.-

    A reminder to the Governor that he works for the people of Illinois and the people would like to know his position and the only way for us to all know his position is via the media. Does the Governor of Illinois still have a staffer in DC?


  14. - Demoralized - Wednesday, Nov 29, 17 @ 2:51 pm:

    At best I’ll be status quo under this plan and more than likely my taxable income will go up. Because of the number of kids I have and even thought the standard deduction is being doubled, I’m going to be hurt by the loss of the personal exemptions. It seems to punish people with more than a couple of kids.


  15. - EaglesFan123 - Wednesday, Nov 29, 17 @ 2:56 pm:

    Rauner “applauding Congress”?? He is applauding a deduction in taxes for the .1% at the expense of middle class families!

    We need to get this mentality out of our government and out of Illinois! Rauner has let us down.


  16. - RNUG - Wednesday, Nov 29, 17 @ 2:56 pm:

    == That’s why I want to roll back the Madigan income tax hike. I want to roll it back down to three percent, where it was years ago. ==

    Too bad the press didn’t stop him right there and ask specifically how Rauner was going to do this. Was he planning to do it by bankruptcy or pension theft?

    == And I want to help us with our property taxes. … I want to freeze our property taxes ==

    Again the press should have asked him how will local government be able to pay their bills, especially since the State just recently grabbed more of the sales tax?

    == and have every voter the ability to do a referendum and lower their property tax burden, if that’s what they want to do.” ==

    And the press should have asked, since school funding makes up the majority of the local property tax burden, are you now saying you support increased State support of K-12 school funding?

    Those kind of questions and criticisms should be part of every article that waited Rauner on reducing taxes.


  17. - Rich Miller - Wednesday, Nov 29, 17 @ 2:59 pm:

    ===And the press should have===

    First, it was a radio interview. Second, it was just one interviewer. So it’s not “the press,” it’s one guy with a live microphone.


  18. - Anon221 - Wednesday, Nov 29, 17 @ 3:00 pm:

    From the GOP letter-
    “In your letter, you list deductions for medical expenses and state and local income and property taxes – as you are aware, the majority of middle-income taxpayers in Illinois see no benefit from these deductions, which are only available to those who itemize.”

    From the NYT-
    “This bill helps Americans keep more of the money they earn for expenses that arise throughout their lives — such as medical bills — rather than providing a myriad of provisions that many Americans may only use once in their lifetimes, and only if they go through the hassle and frustration of itemizing,” said Lauren Aronson, a spokeswoman for the House Ways and Means committee.

    From that same article-

    According to an analysis in January from the Joint Committee on Taxation, most taxpayers who claim the deduction have incomes below $100,000, with about 40 percent below $75,000. More than half of those who claim it are older than 65, according to AARP, the lobby for older Americans. They often face staggering medical and long-term care costs.

    The deduction also helps younger families struggling to pay the enormous cost of caring for children with chronic conditions or disabilities, and couples going through costly fertility treatments like in vitro fertilization. In interviews, some who claimed it said the deduction is the difference allowing them to afford mental health care, new chemotherapy drugs, or cancer surgeries by doctors who fall outside insurance networks.
    https://www.nytimes.com/2017/11/08/health/medical-deduction-tax-bill.html
    ****
    I think the hassles and frustrations for our fellow Americans who will be severely punished by what the GOP is proposing will be much greater than the current “hassles and frustrations” of the current system that allows them to itemize those , possibly, once in a lifetime needed expenses to save their lives.


  19. - RNUG - Wednesday, Nov 29, 17 @ 3:01 pm:

    Cited … Not waited


  20. - wordslinger - Wednesday, Nov 29, 17 @ 3:01 pm:

    He took a stand, now he owns it. He’s just another Republican who favors this gaudy Christmas tree of swamp-dweller handouts and massive deficit spending.


  21. - Chris Widger - Wednesday, Nov 29, 17 @ 3:02 pm:

    This is why everyone who says “the Governor should weigh in on [anything]” are out of their minds. It’s sports, not politics.


  22. - 47th Ward - Wednesday, Nov 29, 17 @ 3:03 pm:

    ===the majority of middle-income taxpayers in Illinois see no benefit from these deductions, which are only available to those who itemize.===

    The people who itemize are people who have a mortgage and pay property taxes.

    So if you know of any middle income Illinoisans who may mortgage interest and high property taxes, tell them they are about to lose a very favorable deduction.


  23. - teach - Wednesday, Nov 29, 17 @ 3:05 pm:

    From SourceWatch.org
    Funding. The Tax Foundation is funded by private donations from members, corporate donations, and donations from charitable foundation such as the Koch Foundation, Earhart Foundation, etc.Aug 3, 2017


  24. - Michelle Flaherty - Wednesday, Nov 29, 17 @ 3:25 pm:

    What swayed Rauner’s support was renaming the federal tax plan HB40.


  25. - Say What? - Wednesday, Nov 29, 17 @ 3:30 pm:

    J.B. ought to run for a Federal office if he wants to work against Trump full-time. I doubt the White House is much concerned with posturing out of Springfield.


  26. - Joe Bidenopolous - Wednesday, Nov 29, 17 @ 3:33 pm:

    I’m sure the 31% of Illinoisans who itemize and take the SALT deduction are all Democrats, so Republicans have nothing to worry about!


  27. - Arsenal - Wednesday, Nov 29, 17 @ 3:37 pm:

    ==I doubt the White House is much concerned with posturing out of Springfield.==

    If the last two years have shown us anything, it’s that the man who runs the White House is concerned to the point of obsession about anyone and everyone who criticizes him.


  28. - Arsenal - Wednesday, Nov 29, 17 @ 3:38 pm:

    Such terrible politics for Rauner. It’s a deathly unpopular bill and can fairly be labelled a tax hike for thousands of middle class families. He got on the wrong side of public opinion *and* scuttled his message on his best issue, all in one statement.


  29. - J. Nolan - Wednesday, Nov 29, 17 @ 3:41 pm:

    I don’t understand what is so hard for people who complain about this deduction or that deduction going away to get - the STANDARD deduction is DOUBLING for everyone. There’s literally no reason to itemize at that point and its all much simpler. The doubling of the standard deduction is why the average taxpayer in EVERY bracket receives a tax cut.

    Also…

    ==Pundent - Wednesday, Nov 29, 17 @ 2:34 pm:

    What complete and utter nonsense. Jobs are created by demand. When people have more disposable income demand goes up. When they have less demand goes down. The tax cuts and jobs acts is all about increasing corporate profits on the backs of individuals particularly those that can least afford it.==

    Uhh…you’re first three sentences are incongruent with you’re last two. First you say that more after disposable income creates more demand which grows the economy (the whole point of the tax bill) and then you say the tax bill is just to pad corporate profits…huh?


  30. - 47th Ward - Wednesday, Nov 29, 17 @ 4:13 pm:

    ===the STANDARD deduction is DOUBLING for everyone. There’s literally no reason to itemize at that point and its all much simpler.===

    For Married Filing Jointly, the current standard deduction is $12,700. Double it to $25,400, fine. But I pay a lot more than $25,400 in mortgage interest and property taxes.

    Don’t tell me it’s only raining when you’re doing that on my leg.


  31. - A Jack - Wednesday, Nov 29, 17 @ 4:33 pm:

    Doubling the standard deduction and then eliminating the exemptions for a family of three is essentially nothing. If you have two or more children then you are going to lose.


  32. - Jaded - Wednesday, Nov 29, 17 @ 4:35 pm:

    ==I pay a lot more than $25,400 in mortgage interest and property taxes==
    Really, how much do you pay $50,000 annually? at that amount estimating an 25% tax rate, you would get to deduct $12,500 from your taxes. Unless you have enormous debt and live in mansion, I’m pretty confident you don’t pay $50k annually in interest and property taxes, so…$12,700 would be better…


  33. - cailleach - Wednesday, Nov 29, 17 @ 4:44 pm:

    I have never understood the congressional GOP on this. I get that they want to pass SOMETHING. But is it worth it to anger millions of voters with this tax plan? Remember the question “are you better off now (in 2018/2020) than you were 4 years ago”?


  34. - CapnCrunch - Wednesday, Nov 29, 17 @ 5:03 pm:

    “I hope all those Illinoisans losing their deductions for state and local taxes, education, … will be reminded of Rauner’s applause for this tax break for the rich….”

    According to IRS 2015 Tax Year data only 7% of those with adjusted gross incomes of $50,000 or less claimed this deduction($1500 average)while 96% of with AGI of $500,000 or more and 75% of those with AGI over $100,000 claimed it ($11,500 average). Seems like the impact of this tax on Illinois taxpayers would be on higher earners.


  35. - Arsenal - Wednesday, Nov 29, 17 @ 5:06 pm:

    ==This was not the first time the party tweeted about tax reform.==

    OK ILGOP, we believe you, you’re big fans of a bill that’s polling at 30%.


  36. - Pundent - Wednesday, Nov 29, 17 @ 5:28 pm:

    =First you say that more after disposable income creates more demand which grows the economy (the whole point of the tax bill) and then you say the tax bill is just to pad corporate profits…huh?=

    My point is that a tax cut does nothing to create demand for products or services. People don’t buy or consume more because corporate taxes have been reduced particularly if their individual tax rate increases.

    The GOP is arguing that by reducing the corporate tax burden more jobs will be created. The statement is completely incongruous. A company won’t higher more people if their tax burden is lowered particularly if demand for what they’re selling remains constant. A reduction in corporate taxes means higher profits nothing more nothing less. It will not “boost wages”. Suggesting that this is a “jobs act” is morally dishonest.


  37. - City Zen - Wednesday, Nov 29, 17 @ 5:36 pm:

    How will the removal of the state income tax deduction impact retirees? Oh wait…


  38. - Grandson of Man - Wednesday, Nov 29, 17 @ 6:28 pm:

    According to this article, many corporations will not pass tax cuts’ savings to their employees. They will do stock buybacks or increase dividends.

    Companies are already well-capitalized so they already have enough money to hire and pay workers. So much for job creation.

    https://tinyurl.com/y7jo4lhb


  39. - wordslinger - Wednesday, Nov 29, 17 @ 7:10 pm:

    –Our first tweet on the issue dates back to September 14th. ILGOP Chairman Tim Schneider penned an op-ed supporting the goals of tax reform on October 2nd. I’m not sure what’s surprising about today’s tweet.–

    The tweet is surprising because Rauner hadn’t said boo on the issue until then.

    This ILGOP bad spin is wholly predictable. When they tweeted their “support” on Sept. 14 and Oct. 2, there wasn’t a shred of public information on either the House or Senate plans. There was nothing to “support” but vague rhetoric.

    The more people learn about the proposals, the more support for them erodes in the polls.


  40. - wordslinger - Wednesday, Nov 29, 17 @ 7:31 pm:

    I wonder if DeGroot is surprised by Rauner bragging about his support from noted anti-Lincoln whack-a-doo Jim Tobin.

    As a white male, in all radical candor, I’m surprised that BTIA(TM) doesn’t see the weirdness in that.

    http://www.chicagotribune.com/news/local/politics/ct-met-bruce-rauner-taxpayer-group-abe-lincoln-20171129-story.html?utm_source=dlvr.it&utm_medium=twitter


  41. - RNUG - Wednesday, Nov 29, 17 @ 7:56 pm:

    == The people who itemize are people who have a mortgage and pay property taxes. ==

    I pay both … and haven’t been able to beat the standard deduction for years. Guess I must own cheap houses …


  42. - Illinois resident - Wednesday, Nov 29, 17 @ 8:20 pm:

    60% of the tax benefits of the GOP tax plan go to large corporations and wealthy individuals. The trickle down effect is a fallacy. Corporations are always looking for more profits, not the well being of the average worker. Wages are stagnant for a reason all the while corporate profits are up. As a kicker, our national debt goes up substantially. I wonder why people don’t like this plan?


  43. - Single - Wednesday, Nov 29, 17 @ 8:28 pm:

    You people assume everyone is like you. I’m a single head of household (standard ded $9K) with 2 kids who doesn’t itemize. Doubling my standard deduction adds 9K, but you take away 3 personal exemptions (now $12K). Therefore I pay more. Read the NYT today if you want to see their model of 25,000 middle class taxpayers. Many pay more, but not a single rich people does. QED.


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