East Central Reporter

Progressive Democrats in Illinois have introduced a proposal to implement a new sales tax on services throughout the state. This proposed tax would apply to various consumer services, including streaming platforms, dry cleaning, haircuts, and vehicle repairs. The aim is to address a significant budget shortfall projected for Chicago's mass transportation system in 2026.

State Representative Chris Miller criticized the proposal, stating that "progressive Democrats don’t know how to be fiscally responsible and raising taxes is their go-to approach to fill the gap from their failed policies and reckless spending." He further expressed concerns about the impact on working families, asserting that "Illinois has great opportunities to grow and lower the cost of living... but Pritzker refuses to work with common sense policies and is choosing to tax working families to death."

The service sector constitutes over 73% of Illinois' economy, yet many businesses are not currently structured to accommodate sales tax collection. Critics argue that this could deter businesses from operating within the state if implemented hastily.

Dean Graven, owner of Dean’s Landscaping and Handyman Services and former President of the Springfield Home Builders Association, voiced concerns about the potential effects on housing costs. He stated that "a new service tax will have a terrible impact on housing affordability in Illinois" as it would increase costs for essential construction services like carpentry and plumbing.

Earlier this month, House Republican Conservative members suggested adopting DOGE (a proposed economic strategy) in Illinois as an alternative solution. They claim it would reduce spending and hold progressive Democrats accountable for what they describe as wasteful expenditures.

Miller remarked on this issue by saying, "Illinois is in a state of disaster due to bad public policy and reckless spending by progressive Democrats who use taxpayer funds to reward non-government organizations who push their radical agenda." He emphasized the need for "a strong, long-term solution" through measures like DOGE.