The Earth isn’t Flat, and Neither is Illinois’— or any other state’s — Income Tax

The authors of this Policy Spotlight found that achieving a “fair” state income tax system is more complicated than the debate between a flat tax rate and a graduated rate. The Policy Spotlight illustrates that switching from a flat to a graduated tax rate system will not automatically promote progressivity, and shows that even a flat tax system can allow tax burdens to rise with income. 

The report is co-published by the University of Illinois Chicago’s Government Finance Research Center and the University of Illinois System’s Institute of Government and Public Affairs. A research brief with key takeaways is available here.