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Monday, December 23, 2024

Analysis: Income tax hike will cost Fayette County residents $3.7M more this year

Vandalia

Vandalia, Illinois, a city in which residents are projected to experience a $1,744,224 tax increase this year. | Nyttend via Wikimedia Commons

Vandalia, Illinois, a city in which residents are projected to experience a $1,744,224 tax increase this year. | Nyttend via Wikimedia Commons

Fayette County residents will pay an additional $3,717,845 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 Fayette County communities will pay the most: Vandalia ($1,744,224 total/$459 per person), Saint Elmo ($445,244/$444), Ramsey ($427,646/$424) and Brownstown ($406,059/$444). 

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
1Vandalia62471$1,744,224
2Saint Elmo62458$445,244
3Ramsey62080$427,646
4Brownstown62418$406,059
5Farina62838$330,768
6Shobonier62885$170,002
7Saint Peter62880$150,383
8Bingham62011$43,519

Total

$3,717,845
Sources: Illinois Department of Revenue; Blockshopper.com

 

Top income tax-paying communities in Fayette County

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

RankingCommunityZipAverage State Income Tax IncreaseTotal Returns filed by Zip
1Saint Peter62880$476316
2Farina62838$474698
3Vandalia62471$4593,802
4Shobonier62885$452376
5Saint Elmo62458$4441,002
6Brownstown62418$444914
7Bingham62011$435100
8Ramsey62080$4241,009
Sources: Illinois Department of Revenue; Blockshopper.com; Illinois Senate Democrats

*Assumes tax increase will meet Senate Democrats' projections.

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