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Dems Giving Up On Extending Tax Hike

Tue, 27 May 2014 05:27:06 CDT
By: IPR's Tony Arnold

Dems Giving Up On Extending Tax Hike Illinois Democrats are abandoning efforts to keep the income tax rate at its current level and not let it drop. IPR's Tony Arnold reports:

   
Illinois' state income tax rate is scheduled to go down in January. From five percent to 3-point-7-5. Democratic House Speaker Michael Madigan has said he didn't want the rate to drop, to avoid cuts in education spending. But he says his fellow Democrats don't want to vote for keeping a higher tax rate.

"We're proceeding under the expectation that the income tax increase will not be extended."

Madigan says he's trying to find a "middle of the road" plan.

"We're always interested in providing more help for education. At the same time, we're required to live with the revenue estimates that are available and so given the revenue estimates that we're working with, we're gonna do our best and we're gonna hold education flat from the current budget year."

The legislature has until the end of the week to approve a plan.
   

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