Lawrence Msall

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Illinois is about a quarter of the way into its fiscal year and building up debt along the way. A new report from the Civic Federation says it's a return to detrimental policies that landed Illinois in an unstable financial position in the first place.

There was one, glaring question for lawmakers last spring: what were they going to do about the temporary income tax?

Illinois is about a quarter of the way into its fiscal year and building up debt along the way.

A new report says it's a return to detrimental policies that landed Illinois in an unstable financial position in the first place.
                     
There was one, glaring question for lawmakers last spring: what were they going to do about the temporary income tax?

Illinois hiked rates in 2011, but only until midway through this fiscal year.  The 5% rate rolls back to 3.75%  in January.

  As more baby-boomers retire, Illinois is increasingly missing out on a revenue source. Of the 41 states with an income tax, Illinois is one of only three that exempt all pension income.

A new report from the Chicago-based Civic Federation says Illinois needs to take a longer-term approach to budgeting; one that is rooted less in politics, and more in reality. Most notably. the group recommends Illinois extend its current income tax rate for a year before gradually rolling it back.