​LWVUS POSITION IN BRIEF

LWVUS believes that the federal tax system should:

• be fair and equitable
• provide adequate resources for government programs while allowing flexibility for financing future program changes
• be understandable to the taxpayer and encourage compliance
• accomplish its objectives without creating undue administrative problems

​plans this year

To support the long-standing position of LWV-IL, in partnership with the Vote Yes for Fair Tax Coalition, the LWV-Wilmette will:

• continue to advocate for a graduated rate income tax in Illinois to replace the current flat rate income tax
• educate our community about the proposed amendment to the Illinois Constitution (SJR0001) on the ballot on November 3, 2020

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facts & figures

​At the State level
Overall, the League believes that a progressive or graduated income tax is a more just approach to taxation, a "Fair Tax."

• Stable & Responsive:  Good tax policy allows for flexibility to design revenue structures to fit economic reality.  As the income gap grows, taxing the highest wage earners at a rate proportionate to their means could more effectively access additional needed revenues.
• ​Equitable:  The Fair Tax is based on the ability to pay.  According to the Institute on Taxation and Economic Policy, the bottom 20% of wage earners in Illinois have 2X the state and local tax burden of the top 1%.  The Fair Tax will help lift this disproportionate burden.

More specifically, adopting the Fair Tax in Illinois is projected to generate $3.57 billion dollars, annually, which will:

• address the structural budget deficit that exists with the current unfair IL flat tax system
• provide necessary funding to invest in priorities such as education, health care, public safety, social services and jobs
• reduce the state's backlog of unpaid bills

An amendment to the Illinois Constitution is needed to to make this change to the tax law.  Passage of that referendum would mean that
​97% of IL taxpayers will see either a reduction or no change in their state income taxes.

Here in Wilmette

• According to the 2108 US Census American Community Survey, over 60% of Wilmette households will also see a reduction or no change in state income taxes.
• Our Wilmette Village Vision affirms "providing an equal opportunity to all residents to participate and share in our economic, educational, recreational, political and social activities."  Supporting the "Fair Tax" Amendment can bring this vision to life for all Wilmette residents.

fair tax flyer

This flyer is a quick summary about the Fair Tax. Share it with friends and organizations. 

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news and latest developments

In May 2020, the Illinois General Assembly approved the language to appear on the ballot on November 3, 2020.

amendment on your ballot

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resources

• On July 16, LWV-Wilmette hosted a virtual presentation about the Fair Tax. View the slides.
• LWVIL: Why the  LWV Supports the Fair Tax
• Vote Yes for Fair Tax:  Fair Tax for Working People
• Issues Briefing Documents from Shriver Center on Poverty Law and Sen. Don Harmon
• IL Fair Tax Calculator from the Office of Governor JB Pritzker
• On August 24, the Small Business Advisory Council hosted a town hall to discuss the graduated income tax. 
  Watch the recording.
• On September 17, LWV-IL hosted a Fair Tax webinar to learn about the impact of a graduated tax on the Illinois economy.  The speaker, Ralph Martire, is the Executive Director of the Center for Tax and Budget Accountability, which is a bipartisan 501(c)(3) think tank.  

Vote Yes for Fair Tax Coalition Fact Sheets:

• Our Small Businesses Need the Fair Tax
• Fair Tax and Race Equity
• Fair Tax and the COVID Crisis

Video: The Fair TAx Explained in About a Minute