Will County Gazette

Republican Congressional hopeful Rick Laib warns Gov. J.B. Pritzker clearly has the state heading in the wrong direction with his handling of the struggling economy.

“Illinois businesses have already had so much pressure put on them by way of regulation due to COVID-19,” Laib told the Will County Gazette. "Additionally, they have seen a decrease in their revenues. The goal now should be to do more to increase and incentive business, not see how the state can take more money from them.”

Running against U.S. Rep. Bill Foster (D-Illinois) in the 11th District, Laib laments the governor’s signature progressive tax proposal is all wrong for the state. A new Illinois Policy Institute analysis projects that small businesses across the state soon could be forced to pay as much as a 50.3% marginal income tax rate should the tax appearing on the Nov. 3 ballot in the form of a referendum question garner the support it needs for passage. Ignoring growing warnings from many that the tax stands to handcuff small business owners even more, the governor continues to push his signature proposal as one that will only mean higher tax rates for the state’s most affluent residents.

At around 60% of net job creation, small business owners currently rank as the state’s biggest job creators. But those numbers could soon be on the decline, with researchers finding an increase in the top marginal tax rate could mean a slide in the hiring practices of entrepreneurs and slumping earnings for workers.

Laib argues it just sets the stage for more government mismanagement.

“Any increase in taxes allows for government to be less fiscally responsible,” he said. “This is not to say that government would be fiscally responsible, it simply allows for it. In Illinois, we have already seen patterns of over spending and an unwillingness to adhere to a budget. With greater tax revenues the requirement to submit to a budget, any budget, would be lessened.”

In the end, Laib argues over the long term the tax doesn’t figure to come close to doing what it’s being sold to do.

“The progressive tax is being sold under the idea that most Illinois residents will see a decrease in their state taxes,” he said. “This most likely will happen, but only for a season. Lawmakers in this state do not exercise good spending practices and when more funds are needed, and they will be needed, they won't hesitate to return to the taxpayer.”