No outrage?
I'm not old enough to pay taxes yet, but I think it's crazy! It's record tax hikes, and I'm sure it's some of the highest in the country, no? Can't they think of other ways to fix the defecit besides privatizing the lotto, hiking the taxes or adding those parking metres? I mean really! At least it will decrease after some years, but that's just what I'm thinking
Here is a little news snip showing what is going on: ......It will be coupled with strict 2 percent limits on spending growth. If officials spend above those limits, the tax increase will automatically be canceled. The plan's supporters warned that rising pension and health care costs probably will eat up all the spending allowed by the caps, forcing cuts in other areas of government. Other pieces of the budget plan failed. Lawmakers rejected a $1-a-pack increase in cigarette taxes, which would have provided money for schools. They also blocked a plan to borrow $8.7 billion to pay off overdue bills, which means long-suffering businesses and social-service agencies won't get their money anytime soon. House Speaker Michael Madigan, sounding weary, said Republicans should have supported some parts of the plan instead of voting against everything. "They're on the sidelines. They don't want to get on the field of play," the Chicago Democrat said. "I'm happy that the day has ended." But Republicans noted they were not included in negotiations. They also fundamentally reject the idea of raising taxes after years of spending growth. "We're saying to the people of Illinois, 'For eight years we've overspent, now we're going to make it your problem,'" said Rep. Roger Eddy. "We're making up for our mistakes on your back." The increase means an Illinois resident who now owes $1,000 in state income taxes will pay $1,666 at the new rate. After four years, the rate drops to 4 percent and that same taxpayer will then owe $1,333. Republicans predict the tax eventually will be made permanent. "It's a cruel hoax to play on citizens to say this is temporary," said House Minority Leader Tom Cross, R-Oswego...... ++++++++++++++++++++++++ I think I'm going to go race go-karts this Sunday while I still have some $$.
People with wealth and property will leave and come here to Florida i hope. We could use a few more wealthy and welcome their money in the market instead of the govt coffers. I generally find many in Chicagoland to still have that good natured all American and wholesome way about them that is lost in some areas. This will not raise any new revenue overall and will probably bring in less as those with homes compensate by spending less to cover the increased cost of doing business the govt just imposed. It's a shame that people wait 'till the breaking point to stop the outrageous amount of people's wealth going to the govt. The damage has been done over the years already as they've siphoned off years of wealth that would have otherwise been saved and invested or spent on other businesses in wealth creating transactions. The best hope for the people of Illinois is for the govt to go bankrupt so that the people won't have to keep paying for the failings of their govt. That way govt won't have any more credit and will have to do business with the revenue they bring in only. With the amount of the people's wealth they take through various taxes the streets should be paved with gold but it's a mess, broke and they want MORE. Chicago is still the best city in America IMO but it's now to be known as the California of the Midwest. Found a WSJ article that goes into number crunching realities: http://online.wsj.com/article/SB10001424052748704415104576066233181194412.html
Did you think that one through? The govt doesn't go bankrupt, they simply raise taxes and borrow money until all debts are paid. As for the tax hike: I was hoping this would fail and they would simply cut spending. Too bad that didn't happen. But: We're now at similar levels to neighbouring states so I don't expect a big migration. And to the Governor of WI I say: Thanks, but no thanks. WI is a lovely state to vacation in, but for the life of me I would never want to live there.
That's right, they keep raising taxes to pay off their debts. Once bankrupt they'd no longer be able to borrow money and the true cost of their inefficient govt would not only be seen but put squarely on the taxpayers. Only so much of the net wealth can go to govt so the size and scope of govt would be reduced as those in IL decide that having the highest tax rate in the industrialized world (according to WSJ) is unacceptable. Bankruptcy is bad but it's a lesser of evils..it would stop govt from borrowing in addition to taxing.
It takes a LOT for a government to go bankrupt if ever. And I'm not even sure an individual state within the US framework can even go bankrupt. I'm not pleased with the hike, but it is not the end of the world. Some of the proposed increases of the property tax in Chitown scares me a lot more.
Unfortunately, this is the exact outcome that 47% of the people in this state wanted based on their vote. Quinn made no secret that he supported a tax hike; he and the Democrats are in the pocket of the public unions. It is a joke to think that this will go away in 4 years. We were very happy to move to Chicago 25 years ago from Michigan. Taxes were low, there were more services, the roads were better and the job opportunities were greater. All good, and it has been good. But now the tide has changed.
This was nothing more than a union and state worker pension bail out. plain and simple. The state worker pension payout for 2011 is over 3 billion dollars, projected to reach over 12 BILLION in the next 5 years. None of the money raised in the 4 year tax bill will even reach the general fund, its strictly for union, teacher and state worker pensions. It really sucks that everyone in Illinois is forced with no option to GUARANTEE the retirement of such a small percentage of residents. Let the Recall of Quinn begin.
It is sad but most people think this tax increase fixes things. It doesn't and barely covers the pension commitments. Even with increased spending capped at 2%, IL is still deficit spending. This isn't going to go well, IMHO.
- I'm not so sure. Sales tax in Dane County (Madison) is 5.25% Sales tax in Cook County (Chicago) 9.75% Toll booths - another "temporary" revenue source in Illinois. Roads here are cr@p. Wisconsin has no toll boths and decent roads. Don't get me wrong, I love Chicago. It's the crooks in Springfield (and City Hall) that bug me. IMHO
Having been a non-productive citizen for the past 30 years, I'm not sure how this will affect me. Guess I'll just go for long-term capital gains to reduce my liability!
How true, and it's been this way for years. When the tollways started they were only supposed to charge tolls for 15 yrs, then become freeways. That was what, about 40 some years ago!! And our roads still suck compared to Wisconsin.
Guess that will help cover the bill of the next Illinois govenor who goes to jail. Sorry couldn't resist living across the river in St. Louis. At least Illinois doesn't elect dead people as US Senators (remember Missouri did at a few years ago). How does the land that gave us our greatest President, Abraham Lincoln, get shafted by **** politicians so bad? I feel for you guys. Feff
Something tells me that on this forum we are all preaching to the choir. But the fact of the matter is Illinois is sadly the worst of the systemic bad situations across the country, moving would require more than a zipcode change to find relief. Government requires a massive mindset change away from an entitlement attitude in order to survive-and it needs to survive! Local government is paramount to continued success and freedom. I was recently in a local government office and employees were sleeping due to lack of work (and more than a short term lack of work mind you). I asked why night reduce staff size and the thought was so foreign that it didnt even register. And taxes hikes? Sadly for many voters, the cigarette tax would have had more of a negative personal impact than the income tax hike so how do you expect them to vote! I have three suggestions: 1) read atlas shrugged-then give it to someone else to read 2) share your unrest with people far beyond this forum 3) encourage men and women with a strong sense of business to get involved with local government We will prevail Ernest
As someone that lives in a State on the brink (NJ), I can assure you people will leave. NJ is one of the wealthiest States, but employers are leaving in droves. Since we're also one of the most taxed (and corrupt...and might I add LIBERAL) States - but when employers and employees are leaving, there's NO REVENUE TO SUPPORT THE BLOATED GOVERNMENT! I started my career working for the NJ Government - talk about waste! I have been in private industry for the past 15 years, and my current company is run like a top. There's little to NO waste. Unfortunately, we've closed offices and consolidated, and there's not much available to go to if we pack up and leave. North Carolina would be a nice option for me. I do not want to take my children out of school and do that, so I'll stick it out. Chris Christie - whom I have met - represents great hope as he's busting some of the corruption, but let's hope he can do it quickly.
It is kind of odd how when traveling south I can always tell when I hit the state line, just by the feedback in the steering wheel! As for Wisconsin, up here in Waukesha County (just west of Milwaukee) I can't complain about taxes too bad at all and as for Illinois residents moving up here, at least that would get us some active F-Chat members in Wisconsin!!! I do honestly feel for you guys down there, that increase is just insane.
Don't feel too bad, seems the drama of the egregious tax hike is conveniently failing to acknowledge the 2% payroll tax cut for employees. So while not a net zero it's not the full picture that's being painted when you read the dramatic headlines the media embraces. Is it cause for celebration, no. The bigger and more troubling tax increase is the corporate tax increase. There's not much in the way to lure companies in with that one. No new jobs = no income for people = little ability to collect taxes from people that don't have income.
In 2010 the FICA 2% goes away and people will get slammed on that loss tax break and taxes in ADDITION to the state tax hike. 2010 is going to be a bloodbath come october. Nd
I don't live in Illinois, but I find it interesting that this tax hike is often publicized as "taxes up 66%", but not often as "3% to 5%". Geez, if it'd gone from 1% to 2%, would that be listed as "up 100%" ?? I've seen it time and time again on TV about people complaining and threatening to "leave this xxx State and go somewhere else". Most recently, late last year in Washington State in regards to the possible tax hike on the rich. Didn't pass, so we'll never know how many woulda left... So, question for you Chicago types is, how many people are really gonna move out? I'd bet next to none...what do you guys really think will happen??
its not just the 3 to 5% change, its the 5% to 9.5% corporate tax that we are getting hit with. Thats a huge jump in one day during a lame duck session on its last day before swearing in new members. My tax burden with my business approached 67% of my income last year. Cant stay in business long if i want to keep my employees. i have to work until september to just pay taxes. its nuts.
