Budget & Taxes (Income Tax)

in committee · Illinois · House Mar 21, 2025

HB 3117: INC TX-EMINENT DOMAIN

Amends the Illinois Income Tax Act. Creates a deduction in an amount equal to the capital gains realized by the taxpayer from the taking of property by eminent domain to the extent that those gains are included in the taxpayer's federal taxable income. Effective immediately.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates tax deduction for eminent domain capital gains, reducing taxable income - provides tax relief per indicators.85% confidence

Sub-Topics Income Tax

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in committee · Illinois · House Mar 21, 2025

HB 2811: EDGE WITHHOLDING-STEEL

Amends the Economic Development for a Growing Economy Tax Credit Act. Provides that certain taxpayers that are primarily engaged in the recycling and melting of steel products and in the manufacturing of new steel wire and rod products may elect to claim the credit under the Act against their withholding tax liability instead of their income tax liability. Effective immediately.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill allows steel businesses to apply tax credit against withholding tax, providing targeted tax relief to support economic development under the Economic Development Tax Credit Act.90% confidence

Sub-Topics Income Tax Tax Incentives

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in committee · Illinois · House Jan 20, 2026

HB 1899: INC TX-OVERTIME DEDUCTION

Amends the Illinois Income Tax Act. Creates an income tax deduction for the amount of overtime compensation that is paid to the taxpayer during the taxable year and that is included in the taxpayer's federal adjusted gross income. Effective immediately.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates income tax deduction for overtime compensation, reducing taxable income and providing tax relief for workers earning overtime pay.95% confidence

Sub-Topics Income Tax

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in committee · Illinois · House Feb 6, 2025

HB 2735: INC TX-DEDUCTION FOR TIPS

Amends the Illinois Income Tax Act. Creates an income tax deduction for gratuities that are included in the taxpayer's federal adjusted gross income. Effective immediately.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates income tax deduction for tips, reducing tax burden on service workers, aligning with tax relief indicators for lower/middle income.90% confidence

Sub-Topics Income Tax

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in committee · Illinois · House Mar 21, 2025

HB 1725: INC TX-LOCAL MEDIA

Amends the Illinois Income Tax Act. Provides that a qualified small business may apply to the Department of Commerce and Economic Opportunity for an income tax credit in an amount equal to the amount paid by the taxpayer during the taxable year for qualified advertising with a local news organization. Provides that the credit may not exceed $2,500 per eligible taxpayer in any taxable year. Provides that the aggregate amount of all tax credits awarded by the Department under the amendatory Act in any calendar year may not exceed $3,000,000. Effective immediately.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates income tax credit for small businesses advertising with local news, reducing taxable income and providing tax relief.95% confidence

Sub-Topics Income Tax Tax Credits

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in committee · Illinois · House Mar 21, 2025

HB 1212: INC TX-TOURISM CREDIT

Amends the Illinois Income Tax Act. Creates a credit in an amount equal to the eligible expenses incurred for engaging in qualified tourism activities by the taxpayer during the taxable year. Effective immediately.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates tax credit reducing taxable income for tourism expenses, directly providing tax relief under Illinois Income Tax Act.90% confidence

Sub-Topics Income Tax

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in committee · Illinois · House Mar 21, 2025

HB 1853: TREASURER-HIGHER EDUCATION

Amends the State Treasurer Act. Provides that the State Treasurer shall establish and administer the Invest in Illinois Higher Education Program for the purposes of expanding access to higher education through scholarships awarded from the Invest in Illinois Higher Education Fund. Amends the State Finance Act. Creates the Invest in Illinois Higher Education Fund. Amends the Illinois Income Tax Act. Creates an income tax credit in an amount equal to any donations made by the taxpayer to the Invest in Illinois Higher Education Fund. Effective immediately.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates income tax credit for donations to fund higher education scholarships, promoting public education funding through tax incentives.95% confidence ✓ EducationSupports EducationCreates Invest in Illinois Higher Education Fund for scholarships, explicitly expanding access to higher education through tax credit incentives.95% confidence

Sub-Topics Income Tax Tax Credits

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in committee · Illinois · House Apr 28, 2025

HB 1501: INC TX-BEGINNING FARMER

Amends the Illinois Income Tax Act. Creates an income tax credit for an owner of an agricultural asset who sells or rents the agricultural asset to a beginning farmer. Sets forth the amount of the credit. Provides that the amount of the credit awarded with respect to any single sale or lease agreement shall not exceed $50,000 in any taxable year. Provides that the taxpayer shall apply to the Department of Agriculture for credits under the program. Provides that, for taxable years beginning on or after January 1, 2025 and beginning before January 1, 2030, the Department of Agriculture may not approve more than $5,000,000 in credits under the program in any taxable year. Provides that, for taxable years beginning on or after January 1, 2030, the Department of Agriculture may not approve more than $10,000,000 in credits under the program in any taxable year. Effective immediately.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates income tax credit for agricultural asset sales/leases to beginning farmers, reducing taxable income and providing fiscal relief under Illinois Income Tax Act.90% confidence

Sub-Topics Income Tax Tax Credits

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in committee · Illinois · House Feb 6, 2025

HB 2734: INC TX-OVERTIME DEDUCTION

Amends the Illinois Income Tax Act. Creates an income tax deduction for the amount of overtime compensation that is paid to the taxpayer during the taxable year and that is included in the taxpayer's federal adjusted gross income. Effective immediately.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates tax deduction for overtime pay, reducing taxable income and providing relief to taxpayers under Illinois Income Tax Act.95% confidence ✓ Labor & EmploymentSupports Labor & EmploymentCreates tax deduction for overtime pay, increasing workers' net income by reducing taxable income on overtime compensation.85% confidence

Sub-Topics Income Tax Labor Standards

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in committee · Illinois · Senate May 30, 2025

SB 1835: INC TAX-MANUFACTURING

Amends the Illinois Income Tax Act. Creates an income tax credit in an amount equal to 10% of the manufacturing capital expenditures incurred by the taxpayer during the taxable year or, if the taxpayer is located in a rural or economically challenged area, 15% of those expenditures. Provides that the total amount of credits awarded under these provisions may not exceed $10,000,000 for any particular taxpayer in any taxable year, except that, if the capital investment is made in a rural or economically challenged area, then the maximum amount awarded for any particular taxpayer in any taxable year shall be $20,000,000. Effective immediately.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates 10-15% tax credit for manufacturing capital expenditures, reducing business tax burden and incentivizing investment in rural/economically challenged areas.95% confidence

Sub-Topics Income Tax Tax Credits

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