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East Central Reporter

Friday, April 19, 2024

Analysis: Income tax hike will cost Clay County residents $2.6M more this year

Flora

North Avenue in Flora, where residents are projected to experience a tax increase of $1,284,518. | Wikimedia Commons

North Avenue in Flora, where residents are projected to experience a tax increase of $1,284,518. | Wikimedia Commons

Clay County residents will pay an additional $2,652,655 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 Clay County communities will pay the most: Flora ($1,284,518 total/$441 per person), Louisville ($596,035/$467), Xenia ($351,134/$484) and Clay City ($333,112/$431). 

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
1Flora62839$1,284,518
2Louisville62858$596,035
3Xenia62899$351,134
4Clay City62824$333,112
5Ingraham62434$87,857

Total

$2,652,655

Sources: Illinois Department of Revenue; Blockshopper.com

 

Top income tax-paying communities in Clay County

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

RankingCommunityZipAverage State Income Tax IncreaseTotal Returns filed by Zip
1Ingraham62434$505174
2Xenia62899$484726
3Louisville62858$4671,277
4Flora62839$4412,913
5Clay City62824$431773
Sources: Illinois Department of Revenue; Blockshopper.com; Illinois Senate Democrats

*Assumes tax increase will meet Senate Democrats' projections.

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