10/05/2026
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Just in: Illinois Democrats are proposing a new 25% tax on "stuff' you already own.
Unlike an income tax or sales tax, this proposal would tax the value of property, cars and trucks, investments, and even bank account holdings — annually.
[Q: Should Illinois be able to tax people every year based on assets they already paid for and already own?]
The Illinois Revenue Alliance, a coalition of Illinois progressive Democrats, is backing what they call a “Billionaire’s Tax.”
Illinois Senate Bill 3376, introduced by Sen. Karina Villa on February 4, 2026, proposes the “Extremely High Wealth Mark-to-Market Tax Act.” The legislation would require certain Illinois residents to report the value of their assets each year, including investments and other holdings. Any increase in value could then be taxed at the same rate Illinois currently taxes income. Illinois Senate Bill 3376, introduced by Sen. Karina Villa (D) on February 4, 2026, and backed by the Illinois Revenue Alliance
Democrats say the proposal would 'initially' apply only to individuals with assets exceeding $1 billion. Critics argue that future lawmakers could later lower the threshold to include far more taxpayers. Assets of a million, or even as low as $100,000 could be up next.
This new tax would be on top of income tax and sales tax already paid on Illinoisans assets and bank holdings.
This is different from the recently discussed “Millionaires Tax,” which focused on income. This proposal targets wealth and asset appreciation (your home) instead.
Liberal Democrats estimate the tax could generate nearly $1 billion annually for the state’s General Revenue Fund. The money could then be transferred to programs that assist non-citizens who are living in Illinois and also be sent to Chicago to boost lagging revenues in city coffers.