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East Central Reporter

Friday, April 26, 2024

Analysis: Income tax hike will cost Effingham County residents $12M more this year

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Effingham Courthouse, a city in which residents are projected to pay an additional $6,114,293 in income taxes this year. | Wikimedia Commons

Effingham Courthouse, a city in which residents are projected to pay an additional $6,114,293 in income taxes this year. | Wikimedia Commons

Effingham County residents will pay an additional $12,157,930 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 Effingham County communities will pay the most: Effingham ($6,114,293 total/$639 per person), Teutopolis ($1,519,429/$791), Altamont ($1,034,413/$500) and Albion ($788,790/$538). 

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
1Effingham62401$6,114,293
2Teutopolis62467$1,519,429
3Altamont62411$1,034,413
4Albion62806$788,790
5Dieterich62424$613,463
7Watson62473$378,988
6Beecher City62414$363,623
8West Salem62476$355,770
9Mason62443$349,710
10Montrose62445$240,832
11Shumway62461$225,857
12Edgewood62426$172,762

Total

$12,157,930

Sources: Illinois Department of Revenue; Blockshopper.com

 

Top income tax-paying communities in Effingham County

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

RankingCommunityZipAverage State Income Tax IncreaseTotal Returns filed by Zip
1Teutopolis62467$7911,922
2Effingham62401$6399,571
3Dieterich62424$5891,041
4Watson62473$579655
5Montrose62445$564427
6Shumway62461$548412
7Albion62806$5381,467
8Altamont62411$5002,070
9West Salem62476$481740
10Mason62443$466750
11Beecher City62414$427852
12Edgewood62426$401431
Sources: Illinois Department of Revenue; Blockshopper.com; Illinois Senate Democrats

*Assumes tax increase will meet Senate Democrats' projections.

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