Aldermen Walter Burnett and Joe Moreno critical of proposed income tax increase

The proposed state tax deal would temporarily

raise the personal income tax rate for the next four years from 3 percent to 5.25 percent.

It would also

increase the corporate income tax rate from 4.8 percent to 8.4 percent

and

boost the state’s cigarette tax by $1 to $1.98,

which would generate roughly $7.5 billion each year.

Supporters say the new revenue would be used to reduce the state’s debt and fund education and human services. It would also pay for the $12-billion loan Illinois would borrow through a deal to immediately pay off the state’s annual pension contribution and its growing backlog of bills.

Taxpayers would also get some of the money back annually in the form of a $325 property tax rebate check.

Illinios lawmakers are due back in Springfield Sunday, ahead of Monday’s inauguration of Gov. Pat Quinn.

via Aldermen Walter Burnett and Joe Moreno critical of proposed income tax increase | abc7chicago.com.