 "On their final day in office, the lame-duck Democrats stuck
taxpayers with a 67 percent income tax increase that will cost the
average family $1,100 more per year," Mitchell said. "Our working
families and small businesses cannot afford this tax hike, so today
I am calling for its repeal."
Senate Bill 2505 (P.A.
96-1496) raised the individual income tax by 67 percent, an
increase from 3 to 5 percent, and the corporate rate by 46 percent,
from 4.8 to 7.0 percent. Added to the existing 2.5 percent corporate
personal property replacement tax, Illinois businesses will be
paying one of the highest corporate tax rates in the nation.
The
legislation passed the Illinois House with the bare minimum of 60
Democrat votes. Every Republican, including Mitchell, voted against
the bill.
"This tax increase is a jobs-killer," Mitchell said. "Our economy
continues to struggle with double-digit unemployment here in central
Illinois. The Democrats' tax hike will drive more businesses and
jobs out of Illinois. I am asking concerned citizens to sign my
petition in support of House Bill 175, which will repeal the tax
hike."
House Bill 175, co-sponsored by Mitchell, would repeal the
tax hike and return Illinois' income tax rate to 3 percent for
individuals and 4.8 percent for corporations. It would also
eliminate the estate tax that was reinstated as part of P.A.
96-1496.
"Reinstating the estate tax will hurt our farmers," Mitchell
said. "A 300-acre farm would be subject to the double-digit estate
tax. That will put more family farmers out of business."
Mitchell brought visual aids with him to the press conference.
One was a full-page ad placed in an area newspaper by the Indiana
governor, inviting Illinois businesses to move to his
state. Another was an embossed, linen-like paper towel that Mitchell
used as an example of wasteful state spending. He said they cost 25
cents each and are used in the Illinois House restrooms. Mitchell
also brought up that Illinois still has the largest fleet of planes
of any state in the nation, including one used by House Speaker
Michael Madigan, D-Chicago.
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Mitchell had a list of the 12 Democrats who voted against the
income tax increase and will return with the General Assembly this
spring. He said that if the Republicans, who voted against the
increase, can get six of the Democrats to vote on the tax repeal,
they will have the required 60 votes.
Mitchell admitted the work ahead to repeal the law is going to be
"a big hurdle." Even if the bill is passed, a Gov. Quinn veto would
then require a three-fifths majority to repeal the tax increase,
meaning 71 votes in the House.
"People need to realize that elections have consequences,"
Mitchell said. "This (tax increase) is a disaster for Illinois."
Mitchell said the petition drive is to show dual support for the
tax repeal. "People are mad," he said.
Mitchell is encouraging his constituents to sign the tax repeal
petition as part of a grass-roots effort to pass House Bill 175.
Additional copies of the petition may be obtained by calling
Mitchell's district office at 217-876-1968.
[Text from file received; LDN]
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