Illinois Tax Raise Creates Tension Among Residents And GOP

January 13th, 2011 - 6:28 pm ICT by GD  

By Ranjan Bhaduri
4d2e767139e66preview-300Jan 13, (THAINDIAN NEWS) Illinois residents will now have to cough up more in Corporate and income tax thanks to a new bill that was passed in the Senate and the House by the effort of the ruling Democrats. The sharp tax hike comes when the state is still reeling under the after effects of the recession. The democrats took the step to address the massive budget deficit plaguing the state. Both the taxes have been hiked by a steep margin and this is going to make the business men and residents see red in the coming days. For some business owners who stay in Illinois it will come as a double whammy and they are resenting this move already. The opponents of the tax hike have argued that this step will make people as well as business owners seeking refuge in other states. This will finally affect the revenue. The tax hike may also prove to be detrimental for the ruling Democrats in the next elections.

The bill got the backing of the governor of the state Pat Quinn who is also a Democrat. The governor told the media that the previous measures taken by the state to cope with the fiscal crisis have failed to show much positive impact. The governor also stressed that it was necessary to make the state move away from the condition of a near bankruptcy saying “The state was careening toward bankruptcy, fiscal insolvency”.

The opponent GOP is in no mood to listen to him and they lashed out at the tax hike arguing it will be fruitless in long term for the state. The Democrat hardliners are defending the move strongly.

Related Stories

Tags: , , , , , , , , , , , , , , , , , , ,

Posted in Politics |

Subscribe