Illinois Property Taxes 2nd Highest In The Nation

by Brian Costin | Illinois Policy Institute

Statistics show Illinois is a high-tax state. Ironically, advocates of tax hikes across the state often argue that Illinois is a low-tax state. The people have a right to know the truth about Illinois’ tax environment.

If you add up Illinois’ state and local taxes and as of the end of 2010, Illinois residents have the ninth-highest overall tax burden per capita in the nation. And that’s even before factoring in the 67 percent income tax hike from 2011.

One of the most painful taxes residents in Illinois face is property taxes. Property taxes fund a multitude of local government agencies, such as: municipalities, schools, park districts, libraries, TIF districts, mosquito abatement districts, townships, counties and more.

Taxing bodies powerless to stop Schaumburg TIF, property tax increases

by Brian Costin | Illinois Policy Institute

Village officials in Schaumburg are pushing for $512 million in new property taxes via a Tax Increment Financing, or TIF, district. The taxes would be used to create an entertainment district north of Woodfield Mall.

But it’s not just people who pay property taxes in Schaumburg who would foot the bill. TIF districts cause property taxes to rise for all other overlapping taxing districts such as Cook County, Township High School District 211, and school districts 15 and 54. This means Schaumburg’s proposed TIF district will push up property taxes in neighboring communities such as Elk Grove Village, Hoffman Estates and Palatine. And to a lesser extent it would push up property taxes all over Cook County.

Taxing bodies are expressing worry that they will be blamed for increasing property taxes on local residents.

“But as Dave Torres, associated superintendent for business in Palatine-Schaumburg High School District 211 says, they are also just one more way the local tax burden is shifted more onto homeowners.”

Bloomberg: IL Leads The Nation In Tax Fiefdoms and Property Taxes

Illinois’ out of control property taxes are a common theme on my blog. Take a look at these previous articles:

Collar County Property Owners Subsidize Cook and Chicago Taxes

Kane County Has The 30th Highest Property Taxes In The Nation!

Until local taxing bodies start consolidating duplicated services, home owners on fixed incomes will continue to suffer. – Allen


by Tim Jones & John McCormick | Bloomberg News

Nothing thrives in Illinois like local government — almost 7,000 units that tax, spend and drive up debt in a state struggling to pay off vendors and cover almost $100 billion of unfunded pension liabilities.

More than any other state, Illinois illustrates how local taxing bodies flourish across the U.S., whether urban or rural, Republican or Democrat. The governments duplicate services and burn tax dollars at the same time states slash money for education and Washington cuts discretionary spending.

In Illinois, which has the 11th highest state and local tax burden in the U.S., overlapping government agencies managing everything from mosquito abatement to fire protection collect billions of dollars, employ tens of thousands and consume resources that could help pay pension deficits and $7.5 billion in outstanding government bills.

IL gives suburban company $2.4 million to move 15 miles to Chicago

First posted at CapitolFax

* Power Construction is moving from Schaumburg to Chicago (15 miles, according to Google) and is getting $2.4 million in state assistance over ten years. That naturally prompted questions

Dan Seals, the former congressional candidate now serving as assistant director of the Ill. Department of Commerce and Economic Opportunity, was asked how he justifies giving a tax break to an Illinois company to move a short distance from suburb to city.

“We didn’t give a company a tax credit to move a few miles. What we did is saw a company that we thought was a good company that was looking to leave the state entirely that was receiving several million dollars to come to another state. We wanted to compete. We thought it was a good company to retain. And that’s what we did. And we won,” Seals said.

“You only get [the state aid] if you create the jobs. If you don’t create the jobs, you don’t get `em. And they’re based on the tax revenue that comes off the job. So, the state comes out ahead.”

Speaker Madigan’s Patronage Hacks

First posted at CapitolFax

* Dave McKinney took a look at House Speaker Michael Madigan’s 2012 nominating petitions and found that Patrick Ward was one of 30 circulators. Ward was at the center of the Metra controversy. Madigan tried to help him get a raise, and when the agency’s top dog balked all heck eventually broke loose. Ward ended up with a state job that appears to have been created especially for him.

Anyway, Ward wasn’t the only one of the 30 circulators who had a patronage job

As many as 29 of the 30 people work or previously worked in government; a dozen acknowledge working for local governments. Another 17 appear either to currently be getting a government paycheck or to have been as of last year, based on payroll records that match their names and dates of birth or home addresses.