Illinois House Democrats Propose Wealth Tax and New Levies
Illinois House Democrats are pushing for a first-in-the-world wealth tax on billionaires, as well as taxes on streaming services like Netflix and Spotify, and surcharges on concerts and ticketed events.
The proposed $1.5 billion transit funding plan includes a wealth tax on hypothetical income, a concept that does not exist anywhere else in the world. Additionally, the plan introduces taxes on streaming services and ticketed events.
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However, critics argue that billionaires can easily leave the state, resulting in a loss of income, property, and sales tax dollars for Illinois. As the tax base shrinks, the state would need to compensate for the lost revenue, potentially shifting the burden to less wealthy residents.
Moreover, there is concern that lowering the threshold for the wealth tax in the future could lead to taxing others beyond just billionaires. Notably, Governor Pritzker does not support the proposal.
Author's summary: Illinois Democrats propose a wealth tax and new levies.