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Illinois Lawmakers Propose 75% Income Tax Hike

Of course getting RID of every government pension would be wrong.

But every single one of them, bar NONE, should be Defined Contribution Plans -- not the sweetheart Defined Benefit Plans they have now. People receiving government pensions are sittin' pretty while Average Joe Taxpayer is taking it up the yang-yang. It's wrong. It's criminal. The politicians who let this happen should be indicted.

So because corporate America has screwed many people out of their lifes work, you now want everyone to engage in the race to the bottom out of spite?
 
So because corporate America has screwed many people out of their lifes work, you now want everyone to engage in the race to the bottom out of spite?

Corporate America has screwed many people out of their lifes work? Where do you get your information. We have a labor force of approximately 150 million people so tell me how many work for those evil corporations that you want to hate? How many of those evil corporations have unions representing the workers? Right now GM/Chrysler still owe the American people over 30 BILLION dollars, are the unions suffereing? AIG owes the American taxpayers over 90 billion dollars. Looks to me like the chosen industries by the Obama Administration are the ones screwing the American taxpayer.
 
Bad idea, especially for the poorer. Make it a sliding scale, from one percent to ten percent, starting with the poorest up to the most wealthy, like the state income tax in CA.

ricksfolly

What do you think the fair tax rate is for those evil rich people?
 
So because corporate America has screwed many people out of their lifes work, you now want everyone to engage in the race to the bottom out of spite?

Haymarket, at least try to be impartial with your government pension.

What race to the bottom? How about a pensiion just like every other private sector employee? How about THAT????

People talk about class warfare here on DP. There will be class warfare. And it will be public sector employees in the crosshairs of private sector employees who are being bled absolutely dry paying their ridiculous guarantees.
 
Of course getting RID of every government pension would be wrong.

But every single one of them, bar NONE, should be Defined Contribution Plans -- not the sweetheart Defined Benefit Plans they have now. People receiving government pensions are sittin' pretty while Average Joe Taxpayer is taking it up the yang-yang. It's wrong. It's criminal. The politicians who let this happen should be indicted.

Do you know how a defined pension works?
 
some of Wisconsin's taxes are higher than Illinois.

Illinois coroprate tax rate on income is 9.5 percent.
7% percent corporate income tax plus 2.5% Personal Property Replacement Tax


Wisconsin is 7.9.
 
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So because corporate America has screwed many people out of their lifes work, you now want everyone to engage in the race to the bottom out of spite?

We demand solidarity from all public sector union members. There is only one way for them to demonstrate solidarity with the people. Share the pain.
 
I don't feel bad for people in Illinois, they shouldn't have allowed him to be voted in.
I didn't vote for him, but with the strong movement of this wine baby unions, they definitely have a major influence on the voting. It's just quite odd since he was talking with one of his buddies from NY and specifically said he was not going to hike taxes (ill try to find the link), and it was literally the first thing he said.

The income tax raise from 3% to 5% wasn't the big issue, because it's still low, and was canceled for the first year through a 2% FICA tax cut, so it offsets. As someone said earlier, it was the enormous hike in corporate taxes, going from 4.8 to 7%.

Illinois will just never get it, even our neighboring governors are making fun of us, as the governor of Indiana said "it's like living next to the simpsons because we're such a joke." Wisconsin governor said "they're just trying to send us jobs aren't they? Well the door is open."

Governor Quinn projected 6.8 billion in revenue from these taxes increases, but he apparently doesn't understand that businesses and consumers will indeed alter their spending, which accounts for less revenue for the government, especially if businesses like Caterpiller and State Farm would happen to ship out, or even cut their budget. Only 2% of the money is allowed to be spent on other expenditures, which will likely be offset will health care cost.

Don't get me started on how in debt with state universities they are.

My state is a joke :roll:
 
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No. And I won't be surprised when a way is found to exempt Caterpillar from the 75% hike that's going to effect everyone else. 23,000 jobs trump mom and pop, I'm afraid. Very sad. Sure wish we had a Republican governor.

I also find it VERY interesting that the Chicago Tribune is not covering this story. I'll be looking for it Sunday. I hope it's there. That's sad...
 
No. And I won't be surprised when a way is found to exempt Caterpillar from the 75% hike that's going to effect everyone else. 23,000 jobs trump mom and pop, I'm afraid. Very sad. Sure wish we had a Republican governor.

I also find it VERY interesting that the Chicago Tribune is not covering this story. I'll be looking for it Sunday. I hope it's there. That's sad...

This story is an excellent example of a corporation whipsawing a state using tactics that amount to legal blackmail. It exemplifies why we need one national policy which forbids this very sort of chicanery. We are one nation, one people, one economy with more uniting us that mere state lines on a map. It is well beyond time that we accepted this and made the necessary changes. Or we will forever be subject to corporate blackmail.
 
corporate blackmail---i'm outta here

LOL!
 
This story is an excellent example of a corporation whipsawing a state using tactics that amount to legal blackmail. It exemplifies why we need one national policy which forbids this very sort of chicanery. We are one nation, one people, one economy with more uniting us that mere state lines on a map. It is well beyond time that we accepted this and made the necessary changes. Or we will forever be subject to corporate blackmail.

you will not solve government/corporate corruption by giving government more power nor consolidating government power.
 
This story is an excellent example of a corporation whipsawing a state using tactics that amount to legal blackmail. It exemplifies why we need one national policy which forbids this very sort of chicanery. We are one nation, one people, one economy with more uniting us that mere state lines on a map. It is well beyond time that we accepted this and made the necessary changes. Or we will forever be subject to corporate blackmail.

Sometimes it's corporations. Sometimes its public sector unions. I am sorry, but I cannot resist drawing a parallel.

I don't know what could be done. Along comes Wisconsin, as an example, and offers Caterpillar a 10-year hiatus on property taxes; a lower state tax rate...whatever perks needed to pull in 23,000 jobs. For all the wailing and gnashing of teeth that we read here about evil corporations, we need to understand that they are truly our assets -- and aside from the American people and the land we live on, they're right up there at the top of the list.

There's a message here, I think. Perhaps we need to realize that large corporations and the tens of millions of jobs they bring to the table should be protected and respected accordingly. And, most of all, our politicians need to quit spending.

Haymarket, I hope you know that I respect you a great deal, admire your accomplishments, and realize that you've made significant contributions to those whose lives you've touched. I completely disagree with you on public sector unions, as, course, you know. I'm a Johnny One Note for the sopranos....you're in the bass section. I've come to the conclusion that every once in a while we sing a happy tune together. ;) Ha!
 
No. And I won't be surprised when a way is found to exempt Caterpillar from the 75% hike that's going to effect everyone else. 23,000 jobs trump mom and pop, I'm afraid. Very sad. Sure wish we had a Republican governor.

I also find it VERY interesting that the Chicago Tribune is not covering this story. I'll be looking for it Sunday. I hope it's there. That's sad...

I don’t know what they are looking for but its not like the state of Illinois is taxing them to death with Corp taxes.

State...Consolidated. Effective Tax Rate=5. Caterpillar…………..........315……...30,412……...1.04%


Maybe they are looking to get to zero like Old Republic Intl.........0.00%

Allstate.............................0.........36,823........0.00%



Wuerth While Wily Wakenings: Update on Illinois Big Corps Have Paid So Little in State Corporate Income Taxes
 
I don’t know what they are looking for

relatively few, presumably, care what you are or aren't looking for

what matters is what oberhelman seeks

because he represents twenty three thousand JOBS in the land of lincoln

In a letter sent March 21 to Gov. Pat Quinn, Caterpillar chief executive officer Doug Oberhelman said officials in at least four other states have approached the company about relocating since Illinois raised its income tax in January.

Oberhelman didn't single out any specific problem with the state's policies in his one-page letter, but Dugan said the recent income tax increase -- signed into law by Quinn in January -- played a significant role in triggering the note.

"I stand ready to help convince you to relocate or expand in the fiscally conservative, low-tax Lone Star State," wrote Texas Gov. Rick Perry in a Jan. 24 letter.

"I encourage you to consider South Dakota as a place for your business to grow and prosper," noted J. Pat Costello, secretary of the South Dakota governor's economic development office.

Nebraska Gov. Dave Heineman wrote in February to say, "In Nebraska, we balance our budget by controlling spending, not by raising taxes."

"These are the kinds of letters we fear," said Patty Schuh, spokeswoman for Senate Minority Leader Christine Radogno, R-Lemont. "Even more worrisome are the hundreds of businesses being wooed that we don't know about."

seeya, sorry
 
Or we will forever be subject to corporate blackmail.

well...

when it comes to corporations, it appears some are blackmailers

while others are pets

In 2010, the company reported global profits of $14.2 billion, $5.1 billion of which came from the U.S. But using a combination of offshore accounts and aggressive lobbying for tax breaks, GE managed to not only pay no taxes, but get a benefit of $3.2 billion. GE spent $200 million on lobbying in the last decade. At one point, when a generous tax break was about to expire, the head of GE's tax team met with Representative Charles Rangel, then chairman of the ways and means committee, and begged for an extension on one knee. Supposedly it was a joke, but GE got its extension, and Rangel got a $30 million gift for New York City schools.

GE Pays No Taxes - The Daily Beast

where does a person go to get back his or her self respect?
 
I don’t know what they are looking for but its not like the state of Illinois is taxing them to death with Corp taxes.

State...Consolidated. Effective Tax Rate=5. Caterpillar…………..........315……...30,412……...1.04%


Maybe they are looking to get to zero like Old Republic Intl.........0.00%

Allstate.............................0.........36,823........0.00%



Wuerth While Wily Wakenings: Update on Illinois Big Corps Have Paid So Little in State Corporate Income Taxes

You did notice they paid almost $2 billion in IL state income tax, right? Maybe "X-State's" adjusted rate would be half that. $500 million isn't exactly chicken feed... (Wisconsin wasn't a good example. Their rate doesn't appear to be much different. And, it's possible, other states will give them other concessions (like property tax relief) that would make a move advantageous to them.
 
You did notice they paid almost $2 billion in IL state income tax, right? Maybe "X-State's" adjusted rate would be half that. $500 million isn't exactly chicken feed... (Wisconsin wasn't a good example. Their rate doesn't appear to be much different. And, it's possible, other states will give them other concessions (like property tax relief) that would make a move advantageous to them.

Kinda looks like a race to the bottom to me...sad, hope they don,t off shore.:(
 
Illinois income tax rate of 3% is considerably lower than most other states. People are unlikely to flee the state if it is raised to 5%, if only because most states are even worse.

What people are likely to do if their taxes are raised by 2% is that they're going to engage in 2% less commerce. And that's going to shut down marginal businesses and cause other businesses to think again about hiring that assistant.

Without the necessary spending cuts, the pension reforms, and the contract reforms with the public employees, this tax increase can only be followed by another. If the politicians are emboldened by people not rejecting them and their tax increase in the next election, they're going to raise taxes again. For some politicians and parties its the only thing they know how to do.
 
Thats what this State has been doing every year! They ignore it and go on as business as usual. Its actually responsible to raise taxes so they can start paying their bills. What would be even BETTER is cutting every single gov't pension. NO ONE should be getting pensions in this economy. And especially not on my dime!

You wouldn't say that if you had worked thirty years to earn that pension. Typical of the 'have-nots' to be envious of the 'haves'.
You could have worked for the state & chose not to. Don't be sore that you missed your chance for a government pension. Maybe they should sieze your house to pay off the debt.
 
(Wisconsin wasn't a good example. Their rate doesn't appear to be much different. And, it's possible, other states will give them other concessions (like property tax relief)


Wi is 7.9% and IL is 9.5%. That's not insignifcant. And WI has just passed tax cuts for corporations that will lower that number for a compnay that moves there, and WI would almost certainly offer other tax benefits to them.
 
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