SPRINGFIELD - As Gov. Rod Blagojevich tries to raise taxes on businesses to create billions of dollars for schools and health care, lawmakers continue toiling over a years-old plan to raise the income tax on residents for the same reason.
Many lawmakers have shied away from it in the past, at least partly because voting for an income tax hike could be politically dangerous.
They debated the idea again in a House committee Tuesday, but didn't vote on it.
Trying to win over lawmakers, state Sen. James Meeks referenced a vote 10 years ago when members of the House voted "yes" on a similar proposal to raise income taxes, while reducing property taxes to help poorer school districts.
"No legislator lost their office because they supported the tax swap," said Meeks, a Chicago Democrat who has been the plan's chief supporter in recent years.
But even if lawmakers eventually support the tax swap proposal, Blagojevich has been clear in his opposition. Anticipating the debate, one of his aides distributed a statement shortly before Tuesday's hearing began.
"I oppose any increase in the income tax or sales tax," Blagojevich said. "I will veto any tax increase on people."
Instead, Blagojevich has proposed raising billions of dollars by hiking business taxes, an idea that proved controversial even before he officially proposed it.
State Rep. David Miller, a Calumet City Democrat who is sponsoring the tax swap plan, said the governor's opposition could make it tough to convince lawmakers to go along.
"Historically, it has presented a concern," he said.
State Rep. Roger Eddy, a Hutsonville Republican and school superintendent, said he doesn't doubt Miller will try to find enough votes to bypass the governor. But it can be tough to override a veto on a controversial measure.
"That's a very, very difficult thing to do," Eddy said.
In Tuesday's hearing, Taxpayer Federation of Illinois President Tom Johnson suggested that the property tax relief promised by the tax swap isn't real. He says that while homeowners might get a break in the initial years, local taxes will eventually return to their initial levels.
"I think we need to clearly understand the property tax relief," Johnson said. "It will never meet the taxpayers' expectations."
The legislation is House Bill 750.
Posted in News on Tuesday, March 20, 2007 12:00 am Updated: 2:25 pm.
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