Illinois might have two different rates to tax shampoos

Some days, such as this one, I feel that my family, friends, and some bloggers are the only sane people living in Illinois.

Governor Patrick Quinn wants to raise increase the state income tax by 50 percent.

That's not all. There is shampoo. Check out this crock of poo (the content, not the writing itself) from the Daily Herald.

Illinoisans suffering from dry, flaky scalps and chafing rashes could soon find themselves paying a bit more for shampoos and lotions on store shelves touting relief.

Drinks like iced tea and Starbucks beverages found in stores could cost more, too.

It's part of Gov. Pat Quinn's proposed overhaul of state sales tax laws that impose a 1 percent rate on shampoos and other hygiene products promising to provide relief, while similar products are hit with the full 6.25 percent state sales tax.

Illinois consumers now can find items such as two different brands of toothpaste side-by-side on the shelf taxed at two different rates.

The state's revenue department separates these products by key phrases, like "medicated," "for relief," "relieves itching," "cracking," "burning" or "relieves skin irritation, chafing, heat rash and diaper rash."

But athlete's foot products, which are medicinal, are charged at the lower rate. Because it's not "medicated." Or something like that.

Well, a number of results are possible if this lunacy is launched. Retailers will bear extra expenses keeping track of what products get taxed at which rate, which they'll happily absorb pass on to Illinois consumers, who will of course pay more for dandruff shampoos based on the tax alone.

Here's another: Firms like Proctor & Gamble could alter the labeling of "relief" products so they get taxed at the lower rate. Yes, Quinn is talking about just one percent more, but people get real funny when it means paying extra, even if it's just a few pennies.

Or retail chains might throw their hands up in the air, figuring Illinois is too much of a hassle to deal with, and literally close shop, which would put people out of work, leading for the need to raise taxes to support newly unemployed Illinoisans, because they'd be on relief.

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