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Saturday, April 20, 2024

Analysis: Income tax hike will cost Shelby County residents $4M more this year

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Shelby County Courthouse in Shelby, Illinois, a city in which residents will pay an estimated $1.7M in additional income taxes this year.

Shelby County Courthouse in Shelby, Illinois, a city in which residents will pay an estimated $1.7M in additional income taxes this year.

Shelby County residents will pay an additional $4,061,217 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 Shelby County communities will pay the most: Shelbyville ($1,701,871 total/$499 per person), Windsor ($375,328/$450), Sigel ($314,920/$552) and Stewardson ($272,284/$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 when paid twice a month. 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
1Shelbyville62565$1,701,871
2Windsor61957$375,328
3Sigel62462$314,920
4Stewardson62463$272,284
5Tower Hill62571$251,904
6Findlay62534$244,393
7Strasburg62465$239,604
8Herrick62431$217,430
9Cowden62422$197,000
10Oconee62553$94,421
11Lakewood62438$77,124
12Mode62444$74,937

Total

$4,061,217
Sources: Illinois Department of Revenue; Blockshopper.com

 

Top income tax-paying communities in Shelby County

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

RankingCommunityZipAverage State Income Tax IncreaseTotal Returns filed by Zip
1Strasburg62465$562426
2Sigel62462$552570
3Shelbyville62565$4993,413
4Lakewood62438$494156
5Findlay62534$487502
6Stewardson62463$478570
7Oconee62553$474199
8Herrick62431$455478
9Tower Hill62571$451559
10Windsor61957$450834
11Mode62444$423177
12Cowden62422$408483
Sources: Illinois Department of Revenue; Blockshopper.com; Illinois Senate Democrats

*Assumes tax increase will meet Senate Democrats' projections.

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