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Dilliard proposes cutting gas sales tax would help Illinois

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Republican candidate for Governor Kirk Dillard released his proposal, yesterday, on how he would put people to work as well save Illinois citizens money. As part of his Dillards's “Destination Economy” job plan he would reduce the 5 percent state sales tax on gas, while leaving the local government portion undisturbed.

Under his plan he estimates that a typical Illinois family would save nearly $200 a year, approximately $450 million for taxpayer, by cutting the sales tax on gasoline. His plan, which includes a bonding provision, would also provide a billion to put people back to work on the road and bridge projects that are in dire need of repair in Illinois.

A recent report by the American Society of Engineers found that 73% of Illinois’ major roads are in poor or mediocre condition, costing $292 per motorist every year. The same study found 2,311 of Illinois’ bridges to be structurally deficient.

Under Dillard’s proposal, $100 million of sales tax revenue per year would be bonded, and recent estimates suggest that the revenue stream could support up to $1 billion of infrastructure improvements.

Dillard noted that Illinois is one of just seven states that charge sales tax at the pump. In Chicago, combined motor fuel taxes total more than 48 cents per gallon, plus the addition sales taxes from city, counties and Local municipalities.

“This is just the first salvo of tax relief and tax reform in the Dillard-Tracy administration,” Dillard said. “I intend to conduct a top-to-bottom review of each of our taxes and tax structure, with a blue ribbon commission comprised of business people, taxpayer groups, and affected citizens, to modernize our tax code and reduce taxes for families and businesses, large and small.”



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