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How Progressive Revenue Solutions Can Save IL Billions

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A few weeks ago Governor Pritzker shared his proposal for the 2025 Illinois State budget with significant budget cuts to key programs that many people in Chicago and throughout the state depend on. Governor Pritzker, planning on receiving less money from the federal government this year, said some cuts would have to be necessary. This impacts all our communities, including cuts to programs like our own Violence Prevention team and the Parent Mentor program. Last week ONE Northside staff and community leaders went to Springfield to speak with legislators about progressive revenue solutions that could raise up to $6 billion in new money for Illinois to make up for the lack of federal funds, raising more than enough money so that vital programs will be able to survive.

What is progressive revenue?

First of all, we have to understand what progressive revenue solutions mean. To understand that, you need to remember that budgets are moral documents that reflect the values of the people who make them. Right now our tax structures are designed to protect and profit big corporations and the ultra-rich. Progressive revenue solutions look for ways to flip that script, and make sure that big corporations and billionaires pay their fair share, so everyday people can thrive and prosper the way the billionaires have been prospering for the last several decades,

Progressive revenue can raise $6 billion for Illinois this year

ONE Northside has joined with partners across the state in a group called the Illinois Revenue Alliance to propose some solutions that could bring in $6 billion in new funding for Illinois. Our Violence Prevention Program Manager Darrell Dacres spoke at a press conference at the state capitol last week about how much these solutions are needed. “Our program is on call 24/7 to immediately respond to acts of violence across Chicago’s North Side… We will lose 60% of our budget if Illinois doesn’t find new sources of funding. It’s a false choice that if we want our program funded we have to suggest a cut somewhere else. That’s making people at the bottom fight each other for resources. We can protect our communities from violence when we make the rich and big corporations pay their fair share in taxes.”

Illinois currently has one of the most unequal tax codes in the Midwest: households with the lowest 20% of family incomes pay more than twice the percent of their income toward state and local taxes as those with the top 1% of incomes. The Illinois Revenue Alliance’s proposals would target big corporations and the ultra-rich to pay their fair share and to close tax loopholes.

The proposed taxes have been introduced to the floor in both chambers of the state legislature under the joint resolution number HJR 18 & SJR 22. Here’s how much revenue each proposed item could generate:

  • $725mil – Tax on digital advertising
  • $1.2bil – Corporate tax world wide combined reporting
  • $200mil – Tax corporate offshore sheltered income
  • $1.5bil – Close the carried interest loophole
  • $840mil – Billionaire wealth tax
  • $1.7bil – Excise tax on capital gains
  • $830mil – Raise corporate income tax
  • $175mil – Close corporate tax loopholes (many introduced in 2021)
  • $150mil – Reform the estate tax  

Why Does Progressive Revenue Matter?

The proposed progressive revenue solutions are not just about raising funds—it’s about fairness, equity, and ensuring that vital programs serving Illinois’ most vulnerable communities can continue to thrive. Without adequate funding, programs like violence prevention initiatives and the Parent Mentor program, which provide critical support to families and communities, face devastating cuts. These programs are lifelines for many, helping to reduce crime, support education, and strengthen neighborhoods.

Illinois currently has one of the most unequal tax systems in the Midwest, where low- and middle-income families pay a disproportionate share of their income in taxes compared to the wealthiest residents and corporations. The progressive revenue proposal seeks to address this imbalance by asking those who can afford it most—large corporations and the wealthiest individuals—to pay their fair share. This approach not only generates the revenue needed to protect essential services but also creates a more just and equitable tax system.

By adopting these measures, Illinois has the opportunity to invest in its people, close the gap in funding for critical programs, and build a stronger, more resilient future for all residents. This isn’t just about numbers—it’s about people, communities, and the values we uphold as a state.

by Jack Doyle

Join us to build a diverse, united North Side of Chicago acting powerfully for our shared values of racial, social, and economic justice in communities where everyone has the opportunity to thrive.

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