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Wednesday, May 7, 2025

Illinois faces scrutiny over proposed tax hikes amid economic concerns

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State Senator Andrew S. Chesney | Illinois General Assembly

State Senator Andrew S. Chesney | Illinois General Assembly

The ongoing debate over fiscal policy in Illinois has reached a critical juncture, with questions being raised about the state's spending habits. Concerns have been voiced regarding the financial direction under the current administration.

"Each year in Springfield, we see the same troubling pattern: more spending, more government expansion, and more tax hikes," according to recent statements from critics of the fiscal strategy. The critique highlights that working families and job creators across Illinois are bearing the brunt of these policies.

For the current fiscal year, there was a $1 billion increase in taxes to support the budget. With families already dealing with high grocery bills and gas prices, new proposals for an additional $6 billion in taxes have been introduced to fund Fiscal Year 2026 operations starting July 1, 2025.

"This kind of budgeting is not just irresponsible, it’s unsustainable," opponents argue. They suggest that state government should mirror responsible household budgeting practices by not spending beyond its means.

Governor Pritzker's February budget address included a proposal for a $55.4 billion budget, described as "the largest budget in Illinois history." This plan reportedly increases spending and expands entitlements.

Illinois holds "the highest overall tax burden in the nation," as per recent reports. The American Legislative Exchange Council's "Rich States, Poor States" 2025 report ranks Illinois near the bottom concerning economic growth-friendly policies. Only Vermont and New York fared worse on these metrics.

Critics propose shifting focus from increasing taxes to reducing government excess and fostering business growth within the state. "Rather than asking what more we can tax, we should be asking what we can do to rein in government excess."

Concerns have also been raised about potential impacts on family farms and small businesses if new tax proposals are enacted. The opposition warns of consequences such as job losses and young people leaving for better opportunities elsewhere.

As budget discussions continue ahead of a May 31 deadline, there is advocacy for a balanced budget without new taxes or fees. "Every Illinois family has to live within a budget. It’s time our state government did the same."

The call is for leadership that prioritizes fiscal responsibility to protect future generations and honor taxpayers' contributions: "Illinoisans deserve better."

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