Illinois Governor J.B. Pritzker said it is not clear whether Illinoisans rejected or approved the progressive income tax amendment. Pritzker said during a news conference in Chicago on Tuesday afternoon, “I don’t know that we’ll know the results of that election tonight.” For the amendment to be approved, 60 percent support is needed on the question or a majority of those voting in the election.
Illinois’s flat tax would be scraped off in the progressive income tax amendment. The amendment will place a graduated income tax structure that would put higher taxes for the higher earners. For the passing of the amendment, Pritzker has put in more than $50 million of his own money into the campaign. The state would generate more than $3 billion for the state’s coffers.
Pritzker’s agenda’s centerpiece has become the progressive income tax. Pritzker is optimistic that the amendment will go through. Vote Yes for Fairness Chairman Quentin Fulks has also said the results might not be known on election night. He told WBEZ that, “I’m anticipating probably a week to two weeks for us to know.”
In Illinois, income tax was instituted in 1969 and a flat rate has been in place since. 4.95 percent is the existing flat rate. Illinois Constitution requires all taxpayers, irrespective of their income level, to pay the imposed single rate. Illinois is part of 8 states that has a flat rate tax. Lawmakers are already waiting for the amendment as they approved an initial rate structure.
For those earning more than $250,000, the initial rates would raise the tax percentage to 7.75%. The 7.75% would rise to 7.99% if the income crosses $1 million. Individuals earning less than $250,000 a year would see modest tax cuts. Labor unions have supported the amendment while business groups and owners oppose it.