Coonsey’s World

About My Letter to The Editor:

Some bloggers are responding to my letter to the editor about my thoughts that perhaps an increase in income taxes is in fact needed, by saying things like:

” Honestly, Connie, I don’t know where to begin. You might want to write a follow up letter to apologize to all your liberal friends for pretending to represent their thinking.

Here’s how the Illinois Income Tax works, in simple terms: Let’s say that 1993 Illinois total taxable (individual) income was $100. The tax revenue from that $100 would have been $3.00, right? $100 X 3%. Capiche?

Now, let’s say that the Illinois total taxable (individual) income had doubled to $200 by the year 2008. The tax revenue from that $200 would have also doubled – to $6.00, right?

Wow, see how the revenue miraculously doubles – even though the tax rate stays the same? Amazing.

It’s odd that you all seem to notice that INCOME increases and therefore revenue to the State also increases; but you ALL ignore the FACT that cost of living, repairs, maintenance, health care and goods have also increased, more so than revenue.

Let use the so-called $100 x 3% theory.  That comes to $3 you say.  Now we make $200 a year x 3% = $6.00 revenue, “miraculously doubles” right?

Well, lets look at the just the cost of health care for the State.  Health care alone has increased by 120% since just 2000 according to National Coalition on Health Care..

Revenue increased 3%, health costs increased 120%.  A 117% difference.  Even if you cut expenses by 100%, the cost of running the State is still 17% higher today then it was back in 93.

Get my point?

Just look at what Health Care Finance News reports for Individual’s income and health care costs are:  “The cost of an individual insurance policy has increased 61 percent – from $2,560 in 1996 to $4,118 in 2006. Nationwide, the amount that employees pay for an individual policy has increased 79 percent, with wages increasing just 10 percent over the period.”

You might have gotten that 3% increase in your wages people; but your health care cost– increased 79%.  You must have had to cut expenses by around 76%.  Did you?  Some how I doubt it;  instead, you demanded a raise from your employer, am I right?

The same people saying today that, “NO NEED FOR INCREASE INCOME TAXES, JUST CUT SPENDING”, are the same people that don’t believe in a living (minimum) wage or any increases in them, no matter how many years the wage has been paid and no matter how much the cost of living has increased.

I ignore those folks and face facts, even if those facts hurt me in the some way.