ILLinois state house passes painful income tax hike

The ILLinois House of Representatives, with no Republican support, got the minimum number of votes to pass a 66 percent increase in the state income tax. The measure is being debated in the state Senate, where they are expected to vote on it tonight.

There is a bit of good news. The House failed to pass a $1.01-per-pack cigarette tax hike. As I've argued over the last couple of years, such hikes rarely match revenue forecasts--some smokers quit, others buy their cigarettes from other states or on the internet. And since spending is never cut in Illinois, it either means higher deficits or raising other taxes.

Technorati tags: Politics smoking business economy news Patrick Quinn pat quinn cigarettes government taxes