Budget & Taxes (Income Tax)

in committee · Illinois · House Feb 18, 2025

HB 3776: INC TX-NOL LIMITATION

Amends the Illinois Income Tax Act. Removes a provision providing that no carryover deduction shall exceed $500,000 for any taxable year ending on or after December 31, 2024 and prior to December 31, 2027. Provides that the limitation is inapplicable for all tax years ending on or after December 31, 2024. Effective immediately.

Topics ✗ Budget & TaxesOpposes Budget & TaxesRemoves $500k NOL carryover limit, creating tax break for businesses (wealthy entities), reducing state tax revenue and weakening fiscal management.90% confidence

Sub-Topics Income Tax

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in committee · Illinois · House Jan 20, 2026

HB 1898: 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 tax deduction for tips, reducing taxable income for service workers, providing tax relief to lower/middle income earners.90% confidence

Sub-Topics Income Tax

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in committee · Illinois · House Aug 17, 2026

HB 3013: INC TX-FOSTER CARE

Amends the Illinois Income Tax Act. Creates an income tax credit in an amount equal to the foster care expenses, not to exceed $1,000 in any taxable year, paid or incurred by the taxpayer with respect to a qualified dependent child. Provides that the credit may be prorated. Provides that the credit is refundable if the taxpayer's federal adjusted gross income for the taxable year does not exceed $50,000. Effective immediately.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates refundable income tax credit for foster care expenses under $50k AGI, providing direct tax relief to lower-income families caring for dependent children.95% confidence

Sub-Topics Income Tax Tax Credits

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in committee · Illinois · House Mar 27, 2026

HB 1369: INC TX-CAREGIVERS

Creates the Caring for Caregivers Act. Provides that a taxpayer who is a family caregiver and who incurs eligible expenditures during the taxable year for the care and support of an eligible family member may apply to the Department of Revenue for an income tax credit. Provides that the credit shall be equal to 50% of the eligible expenditures incurred during the taxable year by the family caregiver for the care and support of an eligible family member, subject to certain specified limitations. Amends the Illinois Income Tax Act to make conforming changes. Effective January 1, 2026.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides 50% income tax credit for family caregivers' eligible care expenses, offering direct tax relief to middle-income caregivers per the bill's explicit tax credit provision.95% confidence ✓ HealthcareSupports HealthcareProvides 50% tax credit for family caregivers' expenses, reducing financial burden and supporting healthcare access for dependents.85% confidence

Sub-Topics Income Tax Tax Credits

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in committee · Illinois · Senate May 22, 2026

SB 1813: INC TX-EDUCATION EXPENSE

Amends the Illinois Income Tax Act. Provides that the education expense credit shall be 50% of the qualified education expenses incurred by a custodian on behalf of a qualifying pupil. Provides that, for tax years ending on or after December 31, 2025, the education expense credit shall be no more than $2,000 per child for a maximum of $6,000 per family. Provides that no taxpayer may claim an education expense credit if the taxpayer's adjusted gross income exceeds 400% of the federal poverty level. Makes changes concerning the definition of "qualified education expense". Effective immediately.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides tax credit relief for lower/middle-income families with income caps (400% federal poverty level) and per-child/family spending limits.90% confidence ✓ EducationSupports EducationProvides tax credit for education expenses, reducing costs for families and increasing access to educational resources.95% confidence

Sub-Topics Income Tax

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in committee · Illinois · Senate Feb 6, 2025

SB 2041: INC TX-ESTIMATED TAX

Amends the Illinois Income Tax Act. In provisions concerning the estimated tax, provides that the required annual payment is the lesser of: (i) 90% of the tax shown on the return for the taxable year, or if no return is filed, 90% of the tax for the year; (ii) 100% of the tax shown on the return of the taxpayer for the preceding taxable year if a return showing a liability for tax was filed by the taxpayer for the preceding taxable year and the preceding year was a taxable year of 12 months; or (iii) 90% of the tax for the taxable year that would have been due based on the Act as it exists on the first day of the taxable year. Effective immediately.

Topics ✓ Budget & TaxesSupports Budget & TaxesAmends tax calculation to allow lower payments based on prior year's tax, providing potential tax relief for taxpayers with reduced income.85% confidence

Sub-Topics Income Tax

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in committee · Illinois · House Feb 6, 2025

HB 2897: INC TX-INCREASE LGDF

Amends the Illinois Income Tax Act. Provides that, beginning July 1, 2025, the Department of Revenue shall deposit 10% of the net revenue realized from the income taxes imposed under the Act directly into the Local Government Distributive Fund as that revenue is realized. Effective immediately.

Topics ✓ Budget & TaxesSupports Budget & TaxesRedirects 10% of income tax revenue to Local Government Distributive Fund, increasing local government funding and strengthening fiscal management.95% confidence

Sub-Topics Income Tax

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in committee · Illinois · House Mar 21, 2025

HB 3310: INC TX-CHILD CARE

Amends the Illinois Income Tax Act. Creates an income tax deduction for individuals, corporations, and partnerships for 100% of the property taxes paid by the taxpayer during the taxable year on childcare center property.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates income tax deduction for childcare property taxes, providing tax relief under tax policy per bill's amendment to Illinois Income Tax Act.95% confidence

Sub-Topics Income Tax

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in committee · Illinois · House Mar 21, 2025

HB 3124: RESHORE OUR SUPPLY CHAINS

Amends the Illinois Income Tax Act. Provides that the amendatory Act may be referred to as the Reshore Our Supply Chains Tax Reform Act. In specified provisions concerning base income, provides that a taxpayer may claim a depreciation deduction for federal income tax purposes.

Topics ✓ Budget & TaxesSupports Budget & TaxesAmends tax act to allow depreciation deductions, providing business tax relief to incentivize supply chain reshoring under the Reshore Our Supply Chains Tax Reform Act.90% confidence

Sub-Topics Income Tax

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in committee · Illinois · House Aug 22, 2025

HB 1192: INC TX-PROP TX CREDIT

Amends the Illinois Income Tax Act. Provides that, if the amount of the credit for residential real property taxes exceeds the taxpayer's liability, that amount shall be refunded if the taxpayer is 65 years or older and has a federal adjusted gross income of not more than $50,000. Provides that the credit is exempt from the Act's automatic sunset provision. Effective immediately.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides tax refund for seniors with AGI ≤$50k, offering targeted tax relief to lower-income seniors under Illinois tax code.95% confidence

Sub-Topics Income Tax

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