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Friday, April 19, 2024

Analysis: Income tax hike will cost Mercer County residents $4M more this year

Mercercountycourthousefront

Mercer County Courthouse in Aledo, Illinois, a city in which residents will pay an estimated $1.3M in additional income taxes this year.

Mercer County Courthouse in Aledo, Illinois, a city in which residents will pay an estimated $1.3M in additional income taxes this year.

Mercer County residents will pay an additional $4.34 million 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 Mercer County communities will pay the most: Aledo ($1.34 million total/$563 per person), Sherrard ($832,343/$699), Alexis ($445,960/$695) and Viola ($355,531/$527). 

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. That person will now pay $95, or an additional $600 per year.

Senate Democrats estimate the tax hike will siphon $4.45 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
1Aledo61231$1,339,864
2Sherrard61281$832,343
3Alexis61412$445,960
4Viola61486$355,531
5New Windsor61465$295,160
6New Boston61272$288,862
7Joy61260$213,012
8Matherville61263$156,330
9Seaton61476$132,697
10Keithsburg61442$111,870
11Preemption61276$91,579
12North Henderson61466$85,095

Total

$4,348,302
Sources: Illinois Department of Revenue; Blockshopper.com

 

Top income tax-paying communities in Mercer County

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

RankingCommunityZIPAverage State Income Tax IncreaseTotal Returns filed by ZIP
1Preemption61276$99592
2Sherrard61281$6991,191
3Alexis61412$695642
4Seaton61476$670198
5North Henderson61466$612139
6Aledo61231$5632,379
7Joy61260$559381
8Matherville61263$556281
9New Windsor61465$539548
10Viola61486$527674
11New Boston61272$453637
12Keithsburg61442$393285
Sources: Illinois Department of Revenue; Blockshopper.com; Illinois Senate Democrats

*Assumes tax increase will meet Senate Democrats' projections.

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