corporate income tax

Hannah Meisel/WUIS

  2014 is only halfway over, but Illinois' new fiscal year just began last week. The state closed out its year with a billion-dollar growth in tax revenue.

The state took in $32 billion in revenue this past fiscal year, more than $7.6 billion of that in sales tax. That's up almost 4.5 percent from last year.

Jim Muschinske, who analyzes revenues for the state's forecasting commission, says that's not amazing, but it's a healthy increase.

Amanda Vinicky

  One of Illinois' main tools for attracting and retaining companies in the state would get a revamp under a plan unveiled yesterday by the Speaker of the Illinois House. It drew immediate criticism from business groups.

More than 700 companies have what are known as EDGE tax credits, given in exchange for keeping, or creating new, jobs.

House Speaker Michael Madigan says his aim in changing it is to "insure that he program is being run in a way that benefits both the recipients and the taxpayers of Illinois."

  House Speaker Michael Madigan wants to cut the state's corporate tax rate in half. It's an apparent about face on tax policy that's left some Republicans scratching their heads.

Madigan says his proposal aims to create a friendlier business climate in Illinois. Corporations would pay a 3.5 percent tax, down from the current 7 percent.

It's a sharp turn from three years ago when Madigan pushed to increase the corporate tax rate along with the individual income tax.

Charles N. Wheeler III
WUIS/Illinois Issues

Since the outgoing General Assembly increased personal and corporate income tax rates in January, lawmakers have been at great pains to show how business-friendly they really are.

In the spring session, for example, the legislature approved a compromise workers’ compensation measure that sponsors said would save business up to $700 million, mostly by reducing payments to doctors and hospitals that treat injured workers.