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Monday, December 23, 2024

Analysis: Income tax hike will cost Boone County residents $14M more this year

Belvidereil

Residents of Belvidere, Illinois, will pay an estimated $8.9 million in additional income taxes this year. | RSchulenburg [CC BY-SA 3.0], via Wikimedia Commons

Residents of Belvidere, Illinois, will pay an estimated $8.9 million in additional income taxes this year. | RSchulenburg [CC BY-SA 3.0], via Wikimedia Commons

Boone County residents will pay an additional $13.99 million in state income taxes this year, according to an analysis by Local Government Information Services (LGIS).

LGIS combined Illinois Department of Revenue data with a forecast by Senate Democrats to estimate how much additional income tax will be paid in each Illinois zip code.

The following Boone County communities will pay the most: Belvidere ($8.91 million total/$601 per person), Poplar Grove ($2.86 million/$630), Caledonia ($1.41 million/$1,031) and Capron ($463,381/$478). 

Retroactive to July 1, the higher rate -- now 4.95 percent, up from 3.75 percent -- will be withheld from employee paychecks over the last six months of 2017.

Before the hike, someone earning $50,000 paid $72 in state income tax per paycheck. That person will now pay $95, or an additional $600 per year.

Senate Democrats estimate the tax hike will siphon $4.453 billion more this year from individual taxpayers. Businesses will pay another $1 billion.

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How much more will your community pay?

State income taxes have increased to 4.95 percent from 3.75 percent. This chart shows how much more taxpayers in your community will pay for state government.

RankingCommunityZipEstimated State Income Tax Increase
1Belvidere61008$8,917,757
2Poplar Grove61065$2,864,136
3Caledonia61011$1,414,880
4Capron61012$463,381
5Garden Prairie61038$333,103

Total

$13,993,257
Sources: Illinois Department of Revenue; Blockshopper.com

 

Top income tax-paying communities in Boone County

This chart shows the ranking of communities by highest income taxes paid in Boone County.

RankingCommunityZipAverage State Income Tax IncreaseTotal Returns filed by Zip
1Caledonia61011$1,0311,372
2Poplar Grove61065$6304,545
3Belvidere61008$60114,830
4Garden Prairie61038$574580
5Capron61012$478969
Sources: Illinois Department of Revenue; Blockshopper.com; Illinois Senate Democrats

*Assumes tax increase will meet Senate Democrats' projections.

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