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Friday, November 22, 2024

Champaign County taxpayers will pay an extra $48M with passage of tax hike law

Illinoiscapitol

Champaign County taxpayers will see a total of $48 million in state income tax increases after SB 9, a tax hike measure, passed the Democrat-controlled Illinois State Senate to become law.

The Champaign County community that will see the largest increase is Southwest Champaign/Savoy, with a $10.8 million total increase and a $1,032 average increase.

Other communities that will see a large collective increase include West Champaign ($8.4 million), Mahomet ($5.1 million), East Champaign/University of Illinois ($4.5 million), East Urbana ($4.3 million) and West Urbana/University of Illinois ($4.3 million).

Taxpayers from Mahomet ($876), Savoy ($751), Philo ($700) and St. Joseph ($700) will see the highest average increases.

Senate Bill 9, a revenue bill that would generate $5.4 billion by raising the income tax rate to 4.95 percent from 3.75 percent and the corporate tax rate to 7 percent from 5.25 percent, passed 36-18 on Tuesday. It passed the House on Sunday. Gov. Bruce Rauner then vetoed the bill, but the Senate quickly overrode his veto. The House is expected to vote on an override Thursday.

LGIS looked at 2014 income taxes paid by zip code to create a ranking of the highest-paying Champaign County communities.

Its analysis looked at the percentage of total state income taxes paid by zip code, as reported by the Illinois Department of Revenue. It then applied that percentage to the amount Senate Democrats expect their tax hike will raise to calculate an average increase.

The analysis used 2014 tax return data, which is the latest available and also represents a year in which state income taxes were higher-- five percent, or approximately the level to which the Democrats are hoping to raise them.

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Top income tax-paying communities in Champaign County

Which communities pay the highest income taxes in Champaign County?

RankingCommunitiesZipAverage State Income Tax IncreaseTotal Returns filed by Zip
1Champaign (Southwest) / Savoy61821$1,03210,492
2Mahomet61822$8765,800
3Savoy61802$7513,296
4Philo61820$700829
5St. Joseph61866$7002,797
6Ogden61853$629574
7Tolono61874$6281,926
8Sidney61873$625752
9Champaign (West) 61880$62013,517
10Homer61843$618849
11Pesotum61849$599407
12Gifford61864$581549
13Fisher61877$5751,118
14Urbana (East)61853$4998,712
15Thomasboro61878$483676
16Champaign (East / U of I)61847$4739,453
17Urbana (West / U of I)61859$4709,142
18Rantoul61863$3625,984

Source: Illinois Department of Revenue; Blockshopper.com

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How much more will your community pay?

With state income taxes increased to 4.95 percent from 3.75 percent, how much more will taxpayers in your community pay for state government?

RankingCommunitiesZipEstimated State Income Tax Increase
1Champaign (Southwest) / Savoy61822$10,826,208
2Champaign (West) 61821$8,377,611
3Mahomet61853$5,081,364
4Champaign (East / U of I)61820$4,467,153
5Urbana (East)61802$4,345,595
6Urbana (West / U of I)61801$4,300,394
7Savoy61874$2,475,096
8Rantoul61866$2,166,926
9St. Joseph61873$1,957,382
10Tolono61880$1,209,724
11Fisher61843$643,329
12Philo61864$580,639
13Homer61849$524,401
14Sidney61877$470,084
15Ogden61859$361,097
16Thomasboro61878$326,732
17Gifford61847$319,073
18Pesotum61863$243,746

TOTAL

$48,676,554

Sources: Illinois Department of Revenue; Blockshopper.com; Illinois Senate Democrats

*Assumes tax increase will meet Senate Democrats' projections.

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