Creating a tax system that works for working families

Creating a tax system that works for working families

Let’s face it: Illinois has a money problem. Because of a tax system written by the wealthy and well-connected for their own benefit, our state doesn’t have the money it needs to fund our priorities. It’s time we passed bold, progressive reforms that make our tax system fair and give us the revenue we need to adequately fund our schools and social services. Read more>>

Progressive income tax

Illinois is one of only a handful of states that has a constitutionally mandated flat tax. That means rich guys like Bruce Rauner pay the same tax rate as working families. That’s unfair and wrong; the wealthy need to pay their fair share. By enacting a progressive income tax like they have in Wisconsin and Ohio, we’ll make our tax system fair.

LaSalle Street Tax

When someone goes to the hardware store to buy a screwdriver, they pay 6.25% in sales tax. But when the wealthy investors make billions of dollars of transactions on the Chicago Board of Trade and Chicago Mercantile Exchange, they don’t pay a cent. That’s wrong. It’s time to adopt a small and fair tax on LaSalle Street financial transactions. Doing so could generate billions in additional revenue. Here’s what that is, and why it’s a good idea for Illinois:

Close the Carried Interest Loophole

Working families pay an income tax based on what they earned, but that’s not true for wealthy private equity investors. Thanks to a loophole in our federal tax system, many rich investors like Bruce Rauner get a huge tax break on their income. Daniel led the fight to close the Rauner loophole in the Illinois Senate. Here’s why we’ve got to finally close it once and for all:

Property Tax Reform

Our property tax system is broken, asking middle-class and working families to pay more while letting the wealthy and well-connected off the hook. The assessment process gives wealthy homeowners tax breaks by reporting their homes as less valuable than they really are while taxing homes in middle-class and working-class neighborhoods more than double their actual value—and these inequities only worsen in the appeals process. That’s why Daniel introduced the HOME Act in June. The legislation will bring transparency and fairness to the assessment process, regulate campaign contributions from property tax attorneys to root out corruption, and require assessors to abide by objective international standards for progressiveness and accuracy.

In addition to fighting for these reforms, Daniel will reduce the overall property tax burden. As the state has cut funding for neighborhood public schools over time, property taxes have increased to make up the difference. It’s resulted in sky-high property taxes, and also a system in which schools in wealthier neighborhoods get more school funding while schools in low-income neighborhoods get left behind. Daniel will raise revenue through a progressive income tax and other policies to make sure the wealthy pay their fair share, and use this revenue to fully and fairly fund our schools by lowering property taxes. By fixing the school funding formula in this way, we can stop punishing students for their zip codes and fulfill our obligation to give every student in every community a quality education. Read More>>