Illinois moves into the top 20 personal income tax states
If you are in Illinois and upset over the personal income tax hike, well now Illinois is the 16th worst state to be in.
Here’s a list of the states with highest average income tax rates:
California – 7.75
Oregon – 7.73
Minnesota – 7.53
Maine – 7.23
Vermont – 7.18
Hawaii – 7.01
New York – 6.05
Wisconsin – 5.94
North Carolina – 5.49
Connecticut – 5.4
Massachusetts – 5.1
Idaho – 5
New Hampshire – 5
Tennessee – 5*
Utah – 5
Illinois – 4.95
Iowa – 4.92
Rhode Island – 4.83
West Virginia – 4.8
Delaware – 4.71
“The tax increase isn’t a solution to (the state’s financial problems),” Labell said. “The impact of this hike would be felt much sooner than the budget impasse. There would be more economic stagnation and more people will leave the state, and the more people who leave the state, the worse it will be for those who stay.”
The economic downfall of Illinois is already bad. I have not closed on my new property as of yet and i am tempted to just cancel it and work on moving to a better state. Illinois is beyond fixing. The second quote is exactly what will happen. When businesses and residents flee the state the increased tax rate won’t do much with the lousy spending the state is doing. The only way Illinois gets out of the debt and avoid becoming a junk state is to cut 70% of it’s expenses. That means a ton of layoffs, something that no state wants to do but without a budget and without a way to pay off the debt there won’t be a state for people to live in. And that means the entire state will suffer. For starters IL should shut down their emissions air quality control and cut all road construction and only focus on the roads that desperately need repairing.
When i had a budget crisis of my own i had to make some tough choices. I couldn’t buy any new clothes, couldn’t buy any cleaning supplies (only when i really needed it) and i only drove to work and home. I was still losing money but it wasn’t a whole lot and i got it back during tax time. I am already going to see if i could claim myself as a dependent on state income taxes but that means i won’t be able to spend that money.. and it’s a bit of a headache with that and usually it’s easier to just let them take the money they need out. But if they are not getting paid every week they may have to make more cuts. In the end it won’t matter as the extra money they are trying to get from people will be lost when people are moving out of Illinois. The only solution to fix this is something that the Illinois politicians are not willing to do, but it needs to be done if we are to get out of this budget crisis.
Logic 