Johnson proposes Chicago budget with $25 monthly head tax

Chicago Mayor Brandon Johnson presented a proposed 2027 budget Wednesday that would impose a monthly $25 tax per employee on companies with more than 125 workers, as the city faces a projected deficit of about $882 million. The plan, which Johnson calls the Fair Share Budget, also includes a higher tax on leased property and $480 million in borrowing for police-related legal settlements. The City Council must approve a budget by the end of December. The proposed head tax would include rebates for businesses in designated socioeconomically disadvantaged areas, including parts of the South and West sides. Johnson’s administration estimates the measure would raise $102 million. The proposal marks a renewed effort after the council rejected a similar tax during last year’s budget negotiations. Twenty-nine aldermen signed a letter opposing the head tax. Some council members have warned it could push businesses out of Chicago or harm jobs, while Johnson has argued companies should contribute more toward the city’s finances. The final budget and whether the tax will be adopted remain subject to council negotiations. Johnson also proposed raising the Personal Property Lease Tax from...