
Photo of the Day - September 29, 2020

Photo of the Day - September 28, 2020


Transitions: Larry Wagner, of Ogden, called home
I'm all for having medical insurance for everyone

Dr. Glenn Mollette is a syndicated American columnist and author of American Issues, Every American Has An Opinion and ten other books. He is read in all 50 states. The views expressed are those of the author and are not necessarily representative of any other group or organization.
This article is the sole opinions of the author and does not necessarily reflect the views of PhotoNews Media. We welcome comments and views from our readers.
Photo of the Day - September 27, 2020

Rupert heads above fellow seniors
(Photo: PhotoNews Media/Clark Brooks)
Transition: Eileen Welch, 99, of St. Joseph
She married William F. Bushue, who preceded her in death, and later married James Albert Welch, who survives. Eileen was preceded in death by her parents, son James, daughter Linda, and grandson Troy Waller.
Eileen is also survived by her daughter, Sandra Waller of St. Joseph, and her son, Dustin Ragle of St. Joseph. Grandchildren, Jeanne Lord, Joseph Ragle, and Everett Bushue. Great grandchildren, Blake (Katlyn) Waller, Ty Waller, Joseph (Alex) Ragle Jr, Josh Ragle, and two great-great grandchildren Riley and Anna Snyder.
She was employed at the University of Illinois and retired there. She also was a former manager at TCBY Yogurt store.
Eileen was active in her retirement and cherished family gatherings. She enjoyed mowing her yard until the age of 94 as well as sewing, cooking for her family, and family get-togethers.
Funeral services will be 1:00 P.M. Thursday October 1, 2020 at Freese Funeral Home 302 E. Grand Ave. St. Joseph. Entombment will be at Mt. Hope Cemetery, Urbana. Visitation will be Thursday from Noon-1:00pm.
'Temporary' tax increases always become permanent in Illinois
Ben Szalinski
Illinois Policy
State politicians have repeatedly reduced backlash from tax hikes by calling them temporary. That’s what they did in 1989 and 2011 but voted later to break their promises and make the increases permanent. In 1989, former Republican Gov. Jim Thompson was pushing for a permanent 40% tax increase. Thompson lacked support from Democrats and reached a compromise with Speaker of the House Michael Madigan to temporarily raise taxes by 18% for the next two years by raising the rate from 2.5% to 3%. At the time, Madigan said Illinois did not need more tax revenue. Thompson disagreed, saying it was necessary to address concerns over school funding and property taxes. He said a temporary hike just pushed the problems to the future. Two years later, lawmakers again voted to extend the temporary increase. In 1993, the General Assembly made it permanent. Following the Great Recession in 2011, former Gov. Pat Quinn and state lawmakers jacked taxes up from 3% to 5%, again with the promise it would be temporary. Quinn said the increase was to help the state pay the bills and regain sound financial footing. Former Senate President John Cullerton promised it would help pay for pensions without borrowing. “The point of this income tax increase is not to expand programs, not to do brand new things in Illinois state government, it is only intended to pay our old bills and deal with the structural deficit,” said former House Majority Leader Barbara Flynn Currie. Lawmakers planned to partially sunset the tax to 3.75% in 2014 and 3.25% in 2025. The decrease did happen in 2014, but it was short lived. The General Assembly passed the largest tax increase in Illinois history in 2017 by raising rates back up to 4.95%. The temporary 2011 hike solved few problems for Illinois and the 2017 increase has been no better. The state still struggles with the nation’s worst pension crisis and the deficit has quadrupled since 2011. Illinois' net position worsens dramatically despite two major tax hikes Gov. J.B. Pritzker is now asking taxpayers to play this game again with a progressive income tax structure. He wants a small percentage of Illinois taxpayers to pay more in taxes to bail out the state’s financial mismanagement. However, the governor’s revenue projection falls short. Pritzker says a progressive income tax will net the state an additional $3.4 billion. Analysis by the Illinois Policy Institute found it would only generate $1.4 billion more. There is no possible way Pritzker can fulfill all of his spending promises, pay down billions in debt and still cut taxes for 97% of Illinoisans, as his proposal claims. Eventually, lawmakers will be back seeking another tax increase but with greater power to put unfair burdens on smaller groups of taxpayers, including taxing retirement income like every state with a progressive tax. The Illinois Constitution contains a flat tax protection, meaning you pay more when you make more and pay less when you make less – but everyone pays the same rate. Lawmakers pay a political price when they raise everyone’s taxes, as happened in 2017 when resignations and voter backlash cleared out the General Assembly. Giving the General Assembly a progressive income tax would be equivalent to handing them a blank check. They will be able to spend however much they want and selectively target different segments of the population for more taxes, reducing the number of angry taxpayers at any one time. Illinois voters for the first time in 50 years have a chance Nov. 3 to tell Springfield what they think about tax increases. Lawmakers need to fix basics, such as pension growth and 20 years of deficit spending, before making another promise to taxpayers that history shows is bound to be broken.
Originally published by Illinois Policy on September 16, 2020. Published by permission.
Photo of the Day - September 26, 2020

State qualifier in the making
(Photo: PhotoNews Media/Clark Brooks)
Photo of the Day - September 25, 2020

Big Catch, Unity Rolls STM
(Photo: PhotoNews Media/Clark Brooks)
Small business and retirees could suffer under progressive tax plan
Ben Szalinski and Adam Schuster
Illinois Policy
Illinois state Treasurer Michael Frerichs confirmed what many believe would be a new possibility in Illinois if voters pass the progressive income tax amendment: taxing retirees. "One thing a progressive tax would do is make clear you can have graduated rates when you are taxing retirement income," he said while speaking at an event hosted by the Des Plaines Chamber of Commerce. "And, I think that’s something that’s worth discussion." According to the Daily Herald, Frerichs said he knows people who receive annual pensions over $100,000 but pay no state income taxes. He said under the flat tax there is no way to differentiate between retirees who take home hundreds of thousands from those who get little. Illinois voters on Nov. 3 will decide whether to remove the Illinois Constitution’s flat tax protections and give state lawmakers greater power to set tax rates. All 32 states with a progressive income tax impose some sort of tax on retirement income from 401(k)s, IRAs, Social Security and pension benefits. Mississippi limits its retirement taxes to the income of those who retire before age 59.5. The constitution’s drafters in 1970 included a flat tax guarantee in order to ease voters’ fears that the state’s first income tax – which went into effect in 1969 – could be raised easily in Springfield. Flat taxes treat everyone the same and make it harder for lawmakers to raise rates on everyone because voters can hold them responsible. A graduated tax allows politicians to decide who should be taxed how much and allows them to gradually increase taxes on smaller segments of the population, eventually hitting the middle class where most taxable income resides. That is what happened in Connecticut, the only state in the past 30 years to impose a progressive tax. Middle class taxes rose 13%, property taxes spiked 35%, poverty increased by 50%, more than 360,000 jobs were lost and the state economy took a $10 billion hit. All that, and the state still failed to balance its budget. Gov. J.B. Pritzker has billed a progressive income tax as a way to increase taxes on the rich without also increasing taxes on the poor and middle class. But for a low-income resident making $12,400 a year, the tax would save them $6 while they are still taxed $1,800 a year. The bigger problem is the tax’s impact on small businesses, which are just starting the economic recovery from Pritzker’s COVID-19 lockdown orders. A progressive tax would mean up to a 47% tax increase on over 100,000 small businesses, the state’s most prolific jobs creators. Taxing retirement is not a new idea in Illinois. Former Chicago Mayor Rahm Emanuel proposed taxing retirees with incomes over $100,000 last year, while the Civic Committee of the Commercial Club of Chicago proposed taxing retirement income over $15,000 per year. The Chicago Sun-Times editorial board even tied the two together, writing "Pritzker’s progressive income tax plan can set the stage for far greater tax fairness. Next, that tax should be expanded to include the highest retirement incomes." Former Democratic gubernatorial candidate and former state Sen. Daniel Biss also agreed with Frerichs’ position that a progressive tax is needed in order for Illinois to tax retirement income. While government leaders argue for more taxation, Illinoisans want to move in the opposite direction. A 2019 poll by the Paul Simon Public Policy Institute found 73% are against taxing retirement incomes, while just 23% believe it is a good idea. Illinois is one of three states that does not tax retirement income. With no retirement tax, Illinois can more easily retain retired workers without losing them to more tax-friendly states. Since 2013, Illinoisans over age 65 have been the least likely to move out. Illinois' tax exemption for retirement helps retain state's older residents Connecticut’s progressive income tax hits single filers on $50,000 and joint filers on $60,000 of retirement income. Unsurprisingly, Connecticut loses retired residents at a faster rate than Illinois. If the Land of Lincoln changes tax structures and imposes a progressive income tax that taxes retired workers on their income, these trends can easily change. More Illinoisans over 65 will pack and move to states with better climates and lower tax rates. Illinois leaders who want to ensure fairness and economic recovery should protect the current tax structure. Progressive taxation and taxing retirement income will not fix the state’s spending problem, but will send more jobs and retirees to other states.
Originally published by Illinois Policy on June 24, 2020. Published by permission.
Photo of the Day - September 24, 2020


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