Illinois voters rejected graduated income tax rate has been saved
Illinois voters rejected graduated income tax rate
Multistate Tax alert | November 4, 2020
This Tax alert provides background on Illinois voters rejected graduated income tax rate.
On November 3, 2020, Illinois voters voted against the ratification of a new state constitutional amendment which would have allowed the General Assembly to enact a graduated income tax rate.1 If the amendment was ratified, Public Act 101-0008, signed into law on June 5, 2019 by Governor J.B. Pritzker, would have instituted a new graduated income tax structure for individual and joint filers ranging from 4.75 percent to 7.99 percent and would have raised the corporate income tax rate to 7.99 percent. The Illinois tax rates will remain at the current rates unless and until further legislative action is taken. The current Illinois income tax rate is 4.95 percent for individuals and 7 percent for corporations plus 2.5 percent personal property replacement tax for a total corporate tax rate of 9.5 percent.2
If you have questions regarding the tax matters discussed in this alert or other Illinois tax matters, please contact any of the following Deloitte professionals:
Gregory Bergmann, partner—Multistate, Deloitte Tax LLP, Chicago, +1 312 486 9811
Brian Walsh, managing director—Multistate, Deloitte Tax LLP, Chicago, +1 312 486 3728
Ashley Rogale, senior manager—Multistate, Deloitte Tax LLP, Chicago, +1 312 486 3918
Multistate Tax alert archive
The Multistate Tax alert archive includes external tax alerts issued by Deloitte Tax LLP's Multistate Tax practice during the last three years. These external alerts highlight selected developments involving state tax legislative, judicial, and administrative matters. The alerts provide a brief summary of specific multistate developments relevant to taxpayers, tax professionals, and other interested persons.
View the list of archived Multistate Tax alerts.
Multistate Tax alert | October 9, 2020
Multistate Tax alert | October 7, 2020