View as PDF Chicago—Illinois state representative, Barbara Wheeler (R-64, Crystal Lake), hasn’t changed her party affiliation to Democrat, but she has recently proposed that a new Illinois state income tax on government pensions could serve as “the kind of back-door pension reform the state desperately needs…” But Jared Labell, director of operations for Taxpayers United of America (TUA), disagrees.
“While Illinois is absolutely in desperate need of government pension reform, the legality of singling out only government pensions for a new state income tax is highly questionable, due in part to legal precedents set by the Illinois Supreme Court last May, but also, the Illinois Constitution and United States Constitution both have a Uniformity Clause expressly stating that taxes are to be levied uniformly. Her proposal doesn’t hold water,” said Labell.
“Although Wheeler is correct in seeking a legal maneuver to enact government pension reform, which is needed immediately in Illinois, her proposal is not constitutional,” added Labell. “This suggested legislation could instead lead to the Illinois General Assembly adopting an even worse option, which would be legal: imposing a new Illinois state income tax on all retirement benefits, including Social Security.”
“The solution to the government pension fiasco in Illinois is not a new state income tax, but repealing the Illinois Constitution’s clause protecting these outrageous government pensions from reform.”
“All of TUA’s government pension data is available at taxpayersunited.org. These lavish, multimillion dollar lifetime pension payouts for retired government employees give taxpayers millions of reasons as to why we must pursue constitutional means to enact government pension reform immediately.”
Contact Illinois state representative Barbara Wheeler at her Crystal Lake office (847) 973-0064 or Springfield office (217) 782-1664 and let her know that taxpayers will not support a new state income tax.
“Nearly 90% of the funds from the last state income tax hike went to fund the uncontrolled government pensions, and the results were negligible, if not detrimental to the financial stability of our state,” Labell concluded.
“We need free market solutions to return prosperity to Illinois – NOT NEW TAXES.”