My State Senator, Sue Rezin, and her Republican colleagues have been complaining about the proposed state budget. Governor Pritzker countered by asking the Republicans to put forth their own budget so it could be examined. They have refused to do so. I have always found it is far easier to criticize if you don’t have a better idea.
I think it is time for both parties to join together and tax state retirement checks at the time they are issued. I have been unable to learn how much it would bring into the treasury. By deducting the tax at the time of distribution, the tax would be levied before it sent to pensioners in or out of Illinois. This tax would impact our family income because my wife gets a check each month from the teacher’s pension.
I asked a state Supreme Court judge if it would be constitutional. The judge had recently ruled on the constitutionality of revising the retirement plan as being illegal. He agreed taxing the proceeds did not affect the plans since the tax was outside the plans.
Fairness dictates we all pay our fair share. I suggest the proceeds to go to pay down the pension debt. It will take years to pare it down. The state would continue to pay the amount specified but the pension money would reduce the Thompson/Edgar ramping increase, if not eliminate it.
Whether other retirement plans would also be taxed is up to the intestinal fortitude of our elected Representatives and Senators. I guess both require guts and Springfield seems to be short of tackling the problems — they just complain.