The Illinois comptroller says an income tax increase won’t solve the state’s budget problems.
In January, the tax rate fell from 5 percent to 3.75 percent. But Comptroller Leslie Munger says in order to make up a 12 billion dollar budget gap, the state would need to raise the income tax to more than seven percent.
“For a family that earns $50,000 dollars a year, that means an additional $1,500 dollars a year just paid out in taxes alone,” Munger said.
Munger warns the tax hike would need to be even greater than seven percent because the high taxes would drive away businesses.
