December 8, 2020
Illinois ballot measure to replace the current flat personal income tax with a graduated income tax is defeated by voters
The proposed Illinois Fair Tax amendment to the Illinois state constitution, which would have replaced the current 4.95% flat personal income tax with a graduated income tax, was defeated by voters in the November 3, 2020 general election. The measure failed to receive the required approval of 60% of those voting on the ballot measure, or by 50% of all voters participating in the general election.
Governor JB Pritzker signed into law SB 687 (PA 101-0008) that would have established a graduated income tax rate table, effective January 1, 2021, if the constitutional amendment was approved by Illinois voters. (News release, governor's office.)
The governor expected that had the ballot measure passed, 97% of taxpayers would have paid the same or lower Illinois state income tax with only those making $250,000 paying more. (News release, governor's office, May 2019.)
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