An Illinois Wealth Tax Would Be a Legal Disaster
A proposed 4.95% "wealth tax" on unrealized gains for billionaires in Illinois risks violating the state constitution, likely resulting in a lengthy and costly legal battle.
The plan aims to generate $1.5 billion for the Regional Transit Authority and close its $200 million budget gap. Lawmakers propose taxing unrealized gains on assets at 4.95%, equivalent to the state's flat income tax rate.
- The bill would tax unrealized gains on assets, such as stocks, real estate, or private business shares, at 4.95%.
- Currently, capital gains are taxed only when they are sold and income is realized.
- Under the proposal, Illinois residents with net assets exceeding $1 billion would calculate the market value of these assets each year and pay a 4.95% tax on the appreciation.
The Illinois constitution prohibits additional income taxes or personal property taxes.
Author's summary: Illinois' wealth tax plan may violate the state constitution.
More News
- 12 A-List Actors Who Got Their Start in Horror Movies
- Quick start, steady goaltending propel Sharks to first home win of season
- Andy Cohen Praises a Dallas Church for its Reponse to Gov. Abbott's War on Crosswalks
- Sharks score 3 straight to open 1st period, cruise past Devils | NHL.com
- Flames Settle For Point Versus Senators | Calgary Flames
- QUICK RECAP: Devils 2 at Sharks 5 | New Jersey Devils
- Wood Scores First NHL Goal as Preds Fall to Flyers | Nashville Predators
- Managing Afghanistan | The Express Tribune