Taxpayers Fight Two Property Tax Increase Referendums On The April 2 Ballot

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Chicago – Taxpayers United of America (TUA) is working with taxpayers in Hinsdale Twp. HSD 86 and Barrington CUSD 220 to defeat property tax increase referenda in the upcoming April 2 election.

Click here to download the Hinsdale HSD 86 Vote No flyer

Click here to download the Barrington CUSD 220 Vote No flyer

“Both of these districts are pushing massive property tax increases that just aren’t necessary,” according to Jim Tobin, TUA president. “They want to fund wasteful and excessive building projects when Illinois and its individual communities are shrinking in population. People are leaving the state in droves, and here are two more governments that don’t care why: excessively high property taxes.”

Hinsdale HSD 86 has placed a $140 million bond issue on the April 2 ballot. Hinsdale voters soundly defeated a $166 million bond in last October’s election and yet another property tax increase for $76 million in bonds in 2017.

“It seems that Hinsdale HSD 86 bureaucrats are determined to waste even more taxpayer dollars by putting a third referendum on the ballot in as many years, despite dwindling enrollments,” said Tobin.

Hinsdale HSD 86 has seen its enrollment drop steadily over the last six years with a net decrease of about 224 students. One major cause in the enrollment drop is that Illinois has one of the highest rates of out-migration.

“The government hacks running Hinsdale HSD 86 haven’t made any budget cuts but expect taxpayers to take another pay-cut to fund the district’s excessive wish-list of construction projects. They pretend to make cuts, in an effort to hurt parents who voted down the referenda, but all of their phony cuts will be restored if this measure passes. There is not one permanent or meaningful spending cut!”

“The district could argue that they need money for safety and security updates, but that spending category only accounts for about $3.9 million of the $140 million they have put on the ballot. They have neglected to provide basic maintenance on facilities and now expect taxpayers to hand over millions of taxpayer dollars to correct their mismanagement.”

Barrington CUSD 220 has placed a $185 million property tax increase referendum on the April 2 ballot. Barrington CUSD 220 has also seen a steady decline in enrollment is are responsible for educating about 214 fewer students.

“CUSD 220 saw revenues increase .31% in the 2017/2018 school year and yet increased spending by 4.57%…on a dwindling student census.”

“Barrington bureaucrats are hitting taxpayers up for $185 million this year but this is only a down-payment on their 20 year pipe-dream plan of fleecing taxpayers out of $500 million for building projects.”

“They want $5.3 million for safety and security and don’t even create an annual budget for these improvements. That’s just remarkable.”

“Hinsdale HSD 86 and Barrington CUSD 220 share more than just similar demographics; they share a complete lack of regard for the taxpayers who must fund them. Both have let facilities deteriorate over the years without adequate planning or budgeting.”

“Worse than their complete lack of fiscal planning is their ignorance of how taxpayer funded operations work. Every time they plan a pay raise, benefit increase, instructional spending increase, etc., taxpayers must take a pay cut to fund it. If taxes go up $100 a year per taxpayer, every taxpayer has $100 less to spend on his or her wants and needs. So yes, every time they get more money to spend, we have less. And they really don’t care.”

“Government school bureaucrats want hundreds of millions more in taxpayer dollars to build lavish offices that are occupied only about 8 total months a year.”

“Neither of these affluent districts have made any cuts to spending. Why should they? They just put a property tax increase referendum on the ballot and cry about how it’s “for the children.”

“80% of local taxes go to fund government-employee salaries and benefits. So once you get past that spending, it starts being about the children. I urge everyone in these districts to vote No on April 2 and demand the government bureaucrats to cut spending, not increase it.”

“We have defeated 431 property tax increase referendums since I founded the organization in 1976. I can’t wait to add two more taxpayer victories to that number.”

TAXPAYERS MUST RESIST PRITZKER’S DISASTROUS TAX-INCREASE PLANS

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Springfield—Last week, Ill. Gov. Jay Robert “J. B.” Pritzker (D) fired the opening salvo in his war on Illinois working families.

In a state that spent over a billion dollars more then it took in last year, Pritzker has decided to give pay raises to 20,000 Illinois government employees. This pay raise has been estimated to cost Illinois Taxpayers an additional TWO HUNDRED MILLION DOLLARS annually. In addition, Pritzker signed a bill that placed even more government regulation on Illinois gun dealers. This legislation has already inflicted casualties amongst the firearms industry, with other small business to follow suit.

“If this is just the first week, then I hate to see what the entire term will look like,” said Jim Tobin, President of Taxpayers United of America (TUA). “Then again, this wasn’t unexpected. Pritzker is the only gubernatorial candidate I can think of that came into power promising to tax the hell out of people. Illinois taxpayers need to push back against this guy, who thinks he’s Santa Claus to government employees.”

Despite claims from J.B.’s election website that “I have plans to put Illinois back on the side of working families,” the reality shows Pritzker will do anything but. On the agenda is either a Vehicle Miles Traveled Tax (VMT) that may force a government tracker into private vehicles or a 30 cent per gallon increase in the state gasoline tax. Both of these taxes will disproportionately hurt both middle and lower-class commuters, as the tax will steal a larger percent of their limited budget.

Another anti-working-family tax measure is the Pritzker Amendment, a graduated state income tax increase on the Illinois Middle-class. Despite lofty statements made by Pritzker like, “The vast majority of the people in the state of Illinois should get an income tax break,” and, “The wealthiest people in the state can afford to pay a little bit more,”  the political reality is completely different. HB 3522, a bill designed by members of Pritzker’s political party, is an example of legislation that can be passed if the amendment is ratified. Such a bill could raise the income tax payment made by a middle class taxpayer earning $40,000 by 16.44%. Thankfully, the flat income tax prevents such assaults against the middle class and those aspiring to better their station in life.

J.B. Pritzker is locked in a fight against the Illinois middle and lower class, with the spoils of war going to benefit another class, the government class. That is why it is important to contact your local state representative and senator who can be found here: https://www.illinoispolicy.org/maps/ and tell him or her to resist these anti-taxpayer measures. Otherwise they may join with Governor Santa Claus in making Illinois a worse place to live.

Tell Ill. Senate Republican Leader: Don’t Conspire with Democrats!

Minority Leader of the Illinois Senate
Bill Brady

Springfield—Illinois Senate Republican leader Bill Brady so far has refused to oppose a massive 30 cent per gallon increase in the Illinois gasoline tax.

“This is ridiculous,” stated lifelong taxpayer advocate and President of Taxpayers United of America, Jim Tobin. “Less then two years ago Democrats held Illinois hostage for a five billion dollar income tax increase. Now the senate Republican leader doesn’t want to oppose Democrats who want to pass a two billion dollar increase to the gas tax? Refusing to stand in the way of this massive tax hike on poor and middle class taxpayers is a massive betrayal.”

“It’s not too late for him to change his mind,” continued Jim Tobin. “All it might take are some everyday taxpayers to remind Senator Brady that it is taxpayers, not empty CTA buses that matter. That is why I urge taxpayers to contact this senator, and remind him that he has a duty to the people to resist Springfield Tax Raisers.”

If you want to tell  Senator Bill Brady to oppose this TWO BILLION DOLLAR gasoline tax increase, you can find his contact information at the Illinois General Assembly website here: http://www.ilga.gov/senate/Senator.asp?MemberID=2542 or call his office at (309) 664-4440.

Peoria Taxpayers Held Hostage by Government Pensions

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Peoria–Jim Tobin, founding President of Taxpayers United of America (TUA) was in Peoria July 14 urging the local government to support reform of the Illinois state government pension system. “In April, City of Peoria taxpayers voted overwhelmingly against advisory property tax hikes to pay government employee pensions,” said Tobin. “79.3% of voters said no to raising property taxes for police pensions and 74% of voters said no to a firefighter property tax increase.”


“The elephant in the room has been ignored long enough. It is literally destroying the City of Peoria and has to be addressed.”


“In 2018, Peoria got rid of 22 firefighter and 16 police positions. In 2019, Peoria residents faced a new property tax devoted to funding police and fire pensions, which are already funded by property taxes. In 2020, the city cut 45 jobs and offered early retirement incentives to deal with budgeting issues.”


“The Peoria pension problem has grown so bad that according to City Manager Patrick Urich, it is cheaper to run local police and fire ragged with overtime than to hire new government employees. In our upside-down world, $4.6M in 2020 overtime pay is the least expensive option.”


According to the city manager, in the last 10 years the city eliminated 145 positions from the city’s budget, and put that money into pensions. Aren’t taxpayer dollars supposed to go to essential services? Are retired government employees really more essential to Peoria residents than police, fire, and other government services?”


“I would love to show you the astounding pensions that police and fire receive, but government unions and Illinois Governor Jay Robert ‘J. B.’ Pritzker closed the book on that throughout the state. However, I do have plenty of other city and local pensions to give as examples.”


“Take for example former City of Peoria employee Michael D McKnight. McKnight receives, courtesy of taxpayer property taxes, an estimated $148,104 annually, and he retired at the ripe old age of 59. For a measly contribution of $99,325 to the pension fund, he is estimated to receive $2,600,808 from his pension. Not a bad deal.”


“The Peoria government pension system, like the rest of the Illinois government pension system, is broken. There are ways solve the pension crisis, but they are growing further out of reach. The enormous downward economic pressure because of population loss in example makes it hard to grow out of pension debt.”


“Peoria elected officials should pass a resolution calling for the Illinois General Assembly to enact a pension reform amendment to the Illinois constitution. Such an amendment would enable Peoria to restructure its pension debts and to be fairer for both taxpayers and government employees looking to retire.”


“Additionally, placing all new hires in a 401(k) system would reduce costs and grant government employees more control over their retirement strategy.”


Click Here to View all Peoria City Pensions of $100,000 2021


Click Here to View Top 200 Peoria area IMRF pensions

BIDEN’S PROPOSED TOP MARGINAL CAPITAL GAINS TAX RATE WOULD SEND U.S. TAXES THROUGH THE ROOF

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If Joe Biden’s proposed tax hike on capital gains is passed into law, the U.S. would wind up with the highest top marginal tax rate on capital gains in the Organization for Economic Co-operation and Development (OECD), according to a new report by the nonpartisan Washington-based Tax Foundation.

The marginal tax rate is the amount of additional tax paid for every additional dollar earned as income.

The foundation’s Clifton Painter writes that when combined with the 3.8 percent net investment income tax (NIIT) and average top state capital gains tax rates, the proposal would lead to a top combined rate of 48.4 percent—significantly higher than the current 29 percent rate.

“Such a brutal tax hike would be a disaster for the U.S. economy,” said Jim Tobin, economist and president of Taxpayers United of America (TUA).

The proposal would tax long-term capital gains as ordinary income for taxpayers with taxable income above $1 million and raise the top marginal income tax rate to 39.6 percent.

The report points out that many countries seek to incentivize long-term saving by providing a lower tax rate or a partial exemption on long-term gains.

In the U.S, short-term capital gains (held for less than one year) are taxed as ordinary income. Long-term capital gains (held for more than one year) are taxed at lower rates, ranging from 0 percent to 20 percent, plus a 3.8 percent NIIT, depending on an investor’s income. In addition to these federal taxes, states tax capital gains at an average rate of 5.2 percent.

The Biden administration’s proposal would make the U.S. top capital gains rate an outlier within the OECD at 48.4 percent, joining only two other countries with rates at or above 40 percent, writes Painter.

A business must first pay corporate income tax, and investors see their gains from after-tax profits. The “integrated tax rate” on corporate income reflects both the corporate income tax and the dividends or capital gains tax—the total tax levied on corporate income. The integrated tax rate on corporate income distributed as dividends would rise from 47.3 percent to 65.1 percent under Biden’s tax plan, which would be highest in the OECD.

According to Tobin, the foundation correctly emphasizes that “Higher tax rates on individual shareholders reduce the return to saving, and higher taxes on corporations raise the cost of investment, reducing saving and investment. Lower investment levels and reductions in capital stock translate to lower work productivity, reduced wages, and lower economic output.”

Source: https://taxfoundation.org/biden-capital-gains-tax-rate-oecd/

ILLINOIS NEAR THE BOTTOM OF ALL STATES FOR UNFUNDED GOVERNMENT PENSIONS!

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“The inept, hard-left and union-owned administration of Ill. Gov. Jay Robert ‘J. B.’ Pritzker (D) continues to run the once-great State of Illinois into the ground,” said Jim Tobin, economist and president of Taxpayers United of America (TUA). “While Pritzker and his Springfield goons plot to hit taxpayers with more tax increases, a new report by the American Legislative Exchange Council (ALEC) ranks Illinois near the bottom with respect to unfunded pension liabilities for retired government employees.”

The council’s annual publication looks at each state’s unfunded government pension liabilities. ALEC ranked Illinois 49th in terms of the total liability and also per capita amount at $31,980 per person.

“Last year, Illinois taxpayers were funding million-dollar pension payouts for 148,654 retired government employees,” said Tobin. “That number for our 15th annual pension study issued by our Taxpayer Education Foundation (TEF) has since climbed to 151,391.”

“You can’t even raise taxes high enough in many cases to pay for the unfunded liabilities because what will happen then, the higher you raise tax rates, the more outmigration, certainly something Illinois has suffered over recent decades,” said Jonathan Williams, ALEC chief economist.

“TEF has and does advocate pension reforms,” said Tobin, included but not limited to,

  • Placing all new government hires into a defined contribution account as opposed to the current defined benefit system.
  • Immediately discontinuing the automatic cost of living adjustment and making promises only to increase cost of living adjustments in alignment with current financial conditions.
  • Removing all of the loopholes that allow salary spiking during the last years of employment on which pension calculations are made.

Sources:https://taxpayersunitedofamerica.org/15th-annual-illinois-pension-report/

https://www.thecentersquare.com/illinois/report-ranks-illinois-near-the-bottom-for-unfunded-pension-liability/article_2f85b458-d83c-11eb-a2fe-7b3d0946e1a5.html