* Gov. Pritzker’s office has a new online calculator to help you figure out what your taxes would be under his progressive tax proposal. Click here to see it.
The Tribune also has a new online calculator, but its calculations don’t include the new $100 per child tax credit or the increased property tax credit, so it’s less useful. However, the Tribune’s calculator gives you your total bill (although flawed), while the governor’s calculator only tells you how much less or more you’ll pay.
…Adding… Press release…
After unveiling his fair tax proposal that gives relief to 97 percent of taxpayers, Gov. Pritzker launched a Fair Tax Calculator today to let Illinoisans see how the fair tax will affect their families.
The Fair Tax Calculator is available at www.illinois.gov/FairTaxCalculator.
“As I said throughout the campaign, Illinois’ flat tax system is regressive and unfair to the middle class and those striving to get there,” said Gov. JB Pritzker. “People like me should pay more and people like you should pay less. Simple. That’s what the fair tax will do.
“As we negotiate this proposal with the General Assembly and ultimately ask the people of Illinois to decide, my administration is committed to being fully transparent and giving residents the tools they need to understand this proposal. To that end, I’m proud to introduce the Fair Tax Calculator. This calculator will allow every taxpayer in Illinois to calculate exactly what the fair tax will mean for them and their family.”
In addition to shifting from a regressive flat tax to a fair tax, Governor Pritzker’s proposal would increase the property tax credit by 20 percent and institute a new $100 per child tax credit.
Users can input their income, filing status, exemptions, dependents, property tax paid and K-12 expenses to calculate how the fair tax compares to the current flat income tax.
Using that information, the calculator determines how much the total tax bill changes. For 97 percent of Illinois taxpayers, the amount will go down. In some cases the reduction will be nominal; in others, it will result in several hundred dollars.
“Illinois’ unfair tax structure forces the lowest earners to shoulder a greater tax burden than higher earners, but Gov. Pritzker’s plan will make the wealthy pay their fair share,” said William McNary, c0-director of Citizen Action/Illinois. “When the top 1 percent who make more than $537,800 a year pay just 7.4 percent of their income in taxes while the lowest 20 percent of earners making less than $21,800 a year pay 14.4 percent, the time for change is now.”
“Working families across the state will benefit from Gov. Pritzker’s fair tax plan that gives 97 percent of taxpayers relief and returns fiscal stability to Illinois,” said Bob Reiter, president of the Chicago Federation of Labor. “We must put the days of governing by crisis behind us and institute a fair income tax that ensures state government can adequately serve the people.”
“Gov. Pritzker is making good on his promise to make our state a better place to live for working families,” said Carole Pollitz, a business agent with IBEW Local 134. “Raising wages and reducing taxes on the middle class gives the average Illinoisan a break and benefits our entire state in the process.”