| HB910 | STATE GOVERNMENT-TECH (REP. EMANUEL WELCH; SEN. DON HARMON) House Floor Amendment No. 3 - Replaces everything after the enacting clause. Creates the Capital Area Tourism Authority Act. Creates the Capital Area Tourism Authority for the benefit of the general public and the promotion of business, industry, commerce, and tourism in the City of Springfield, Sangamon County, and the State of Illinois. Creates the Capital City Downtown Medical District Act. Creates the Capital City Downtown Medical District Commission. Sets forth the duties and purpose of the Commission. Amends the Property Tax Code. Creates the Megaproject Assessment Freeze and Payment Law within the Code. Provides that the Department of Commerce and Economic Opportunity may issue megaproject certificates in connection with projects that satisfy certain minimum investment requirements and other requirements. Provides that property that receives a megaproject certificate from the Department of Commerce and Economic Opportunity is eligible for an assessment freeze. Provides that sales of building materials that will be incorporated into a megaproject and that are purchased during the incentive period are eligible for the same building materials exemption available to High Impact Businesses under the Retailers' Occupation Tax Act. Provides that, to be eligible for megaproject incentives, the company and the local municipality must enter into an incentive agreement. Provides that, in addition to other requirements, the incentive agreement must require the company to pay, or be responsible for the payment of, an annual special payment to the local municipality. Provides that no person who participates personally and substantially in the negotiation of a megaproject agreement on behalf of a local municipality or taxing district may, within a period of one year after the effective date of the agreement, knowingly accept employment or receive compensation or fees from a company that is a party to the agreement. Amends the Illinois State Auditing Act. Provides that the Auditor General shall conduct a compliance audit in accordance with specified provisions of the Statewide Innovation Development and Economy Act. Amends the State Finance Act, the Illinois Municipal Code, the Metro-East Park and Recreation District Act, and the Local Mass Transit District Act. Provides for the transfer of the local sales tax increment to the STAR Bonds Revenue Fund. Amends the Statewide Innovation Development and Economy Act. Creates a New Opportunities for Vacation and Adventure Urban District (NOVA urban district). Sets forth the requirements to be certified as a NOVA urban district. Amends the Illinois Income Tax Act. Creates a credit for rehabilitation costs for qualified historic properties in the Capital City Downtown Medical District. Creates a capital city jobs tax credit. Repeals the Mid-Illinois Medical District Act. Effective immediately. |
| | Current Status: | 4/28/2026 - Referred to Senate Assignments
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| | Recent Status: | 4/28/2026 - FIRST READING
4/28/2026 - Chief Senate Sponsor Sen. Don Harmon
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| | State Bill Page: | HB910 |
| | Notes: | MEGA PROJECTS-PILOTA/O 26 Feb. 2026 HA#1 becomes the operative language capturing ongoing negotiations between the Governor, Legislative Negotiators and the Bears - Freezes property tax assessments on megaprojects
- Allows developers to negotiate payment in lieu of new taxes with local governments
---ANALYSIS--- - Creates a DCEO program allowing certified taxpayers to receive use tax and retailers’ occupation tax exemptions for building materials used in megaprojects. Certificates last up to 10 years and can be renewed for 5 more.
- Establishes a new Retailers’ Occupation Tax deduction for qualifying building material sales tied to Megaproject Building Materials Exemption Certificates.
- Sets procedures for issuing exemption certificates, requires purchasers and retailers to keep documentation, and imposes repayment with penalties for improper use. Contractors must file annual reports by May 31, and DCEO must issue rules within 45 days.
- Creates Division 23 (Megaproject Assessment Freeze and Payment Law) freezing property values at base year levels and defining megaproject components.
- Establishes investment/job thresholds: $500M, $250M + 50 jobs, or $100M + 100 jobs.
- Requires incentive agreements with municipalities and review by a local board using weighted voting among taxing districts.
- Requires a project labor agreement before construction and sets a 20% minority owned business participation goal.
- Requires a municipal payment of at least 10% of prior year property taxes (lower if project exceeds $2B), with rules on distribution.
- Adds reporting, third party verification requirements, and creates a Megaproject Administrator to oversee compliance.
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| HB4206 | CHARITABLE ORG BFY-PROBATE (REP. JENNIFER GONG-GERSHOWITZ; SEN. ROBERT MARTWICK) Creates the Charitable Organization Beneficiary Act. Requires a holder of property in which a charitable organization that is exempt from taxation as a 501(c)(3) entity is a designated beneficiary in a nonprobate instrument (excluding wills or trusts) to notify each charitable organization within 30 business days that it may have a right to the property. Creates a process in which the charitable organization may request that it be given information about the property or that the property be delivered to the charitable organization or both. Provides duties and obligations of the holder of the property. Provides the holder of the property protection from liability for a good faith reliance on the information it receives from a designated beneficiary. Provides remedies against a holder of property for a failure or refusal to provide the requested information or transfer of property if the provisions of the Act are followed. Defines terms.
House Committee Amendment No. 1 - Replaces everything after the enacting clause. Reinserts the provisions of the introduced bill with the following changes. Requires that the notice of death to the owner of property include the exact language of the beneficiary designation except that the names of any other beneficiaries that are not charitable organizations may be redacted. Provides that nothing in the Act alters the duties of the holder of the property under the Revised Uniform Unclaimed Property Act or the Unclaimed Life Insurance Benefits Act. Requires that the holder of the property must provide notice to each charitable organization listed under the beneficiary designation that the charitable organization may have a right to the property within 45 business days of the death of the owner of the property. Deletes provisions that provide that (i) any right or title acquired from the charitable organization in consideration of the provision of property or information under the Act is not invalid because of an inadvertent misapplication by the charitable organization; and (ii) a transaction and a lien created by a transaction entered into by the charitable organization and anyone acting in reliance on the affidavit under the Act is enforceable against the property. Provides that if the holder of the property fails or refuses to provide the requested property or information within 60 business days after receiving the affidavit, the charitable organization may bring an action against the holder of the property to receive the information about the property or recover the property or compel the delivery of the property. Provides that the court may award reasonable attorney's fees based on the time expended by the attorney to obtain the requested information or payment, delivery, or transfer of the property without regard to the amount of the recovery on behalf of the charitable organization. Deletes the requirement that verification of a charitable organization's authority may not exceed 30 days from the date of delivery of the affidavit.
House Floor Amendment No. 2 - Replaces everything after the enacting clause. Reinserts the provisions of the bill with these changes. Provides that a "beneficiary designation" means a provision in an instrument designating a beneficiary, other than in a will or an instrument creating a trust, and may also mean the instrument itself, including, but not limited to, any of the following: (1) a demand deposit, savings deposit, time deposit or other account or instrument on which the holder is directly liable with a designation for payment upon death or other nonprobate designation making it transferable on death; (2) a security registered in beneficiary form; or (3) a pension, profit-sharing plan, retirement account such as an IRA, 401(k), 403(b), or other employment-related benefit plan. Excludes from this definition a beneficiary made as part of an annuity or an insurance policy. Amends the Unclaimed Life Insurance Benefits Act. Requires an insurer within 120 days after being contacted by the charitable beneficiary to: (1) determine whether the charitable organization has a right to the proceeds of the policy, annuity contract, or a retained asset account; (2) provide a general description of the policy, annuity contract, or a retained asset account that may be held for the benefit of the charitable organization and the exact language of the beneficiary designation; and (3) include information that verifies whether the insurer has already obtained the official death certificate or documentation needed to verify the death of the insured, annuitant, or retained asset account holder. Provides that if the holder of property maintains it is prohibited from paying, delivering, or transferring the property listed under a beneficiary designation to a charitable organization due to requirements under federal law, the holder of the property shall (1) explain in writing the reason why the property cannot be paid, delivered, or transferred to the charitable organization; and (2) take all actions necessary in order to facilitate payment, delivery, or transfer of the property in compliance with this Act. Provides that if a holder of property fails or refuses to comply with the Act, the court may award a charitable organization, among other relief, a penalty in an amount determined by the court up to $10,000 only if the court finds that the holder of the property engaged in bad faith or willful misconduct. Excludes not-for-profit organizations that are the irrevocable sole beneficiary of a life insurance policy covered by the Illinois Insurance Code. Requires an insurer to provide within 120 days the appropriate claims forms or instructions to a holder of property under the Charitable Organization Beneficiary Act. Makes structural changes. Amends the Illinois Insurance Code. Provides that if due proof of death requires a certified copy of the death certificate, then no more than one beneficiary is required to submit a certified copy of the death certificate. |
| | Current Status: | 5/12/2026 - House Bills on Third Reading
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| | Recent Status: | 5/7/2026 - House Bills on Third Reading
5/6/2026 - House Bills on Third Reading
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| | State Bill Page: | HB4206 |
| | Notes: | LEGACY IMPACT THROUGH FINANCIAL TRANSFERS See SB 2748 |
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| HB4263 | GRATUITY ALLOWANCE-HOME RULE (REP. CURTIS TARVER, II) Amends the Minimum Wage Law. Provides that the regulation of allowances for gratuities as part of the hourly wage rate is an exclusive power and function of the State. Provides that a home rule unit may not regulate allowances for gratuities as part of the hourly wage rate. Effective immediately. |
| | Current Status: | 4/17/2026 - Rule 19(a) / Re-referred to Rules Committee
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| | Recent Status: | 4/17/2026 - House Bills on Second Reading
4/16/2026 - House Bills on Second Reading
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| | State Bill Page: | HB4263 |
| | Notes: | TIPPED CREDIT-Home Rule Preemption |
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| HB5065 | FILM TAX CREDIT-PRODUCTIONS (REP. CURTIS TARVER, II) Amends the Live Theater Production Tax Credit Act. Provides that a pre-Broadway production must have a presentation scheduled for Broadway's Theater District in New York City no later than 18 months after its Illinois presentation (currently, must have a goal of having a presentation scheduled for Broadway's Theater District in New York City after its Illinois presentation). Provides that, if, in any State fiscal year, less than $2,000,000 in credits are awarded for long-run productions and pre-Broadway productions under the Act, then the difference between $2,000,000 and the amount of credits awarded for long-run productions and pre-Broadway productions in that fiscal year may be added to the $2,000,000 in credits allowed to be awarded for commercial Broadway touring shows in that State fiscal year. Amends the Illinois Income Tax Act. Extends the sunset of the live theater production credit until January 1, 2039 (currently, January 1, 2027). Effective immediately. |
| | Current Status: | 4/17/2026 - Rule 19(a) / Re-referred to Rules Committee
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| | Recent Status: | 4/17/2026 - House Bills on Second Reading
4/16/2026 - House Bills on Second Reading
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| | State Bill Page: | HB5065 |
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| HB5125 | REVENUE-CREDITS-DEDUCTIONS (REP. LINDSEY LAPOINTE) Amends the Enterprise Zone Act. Provides that certain credits related to high impact businesses do not apply on or after the effective date of the amendatory Act. Amends the Illinois Income Tax Act. Provides that a construction jobs credit does not apply for taxable years ending on or after the effective date of the amendatory Act. Provides that a high impact business construction jobs credit does not apply for taxable years ending on or after the effective date of the amendatory Act. Makes changes concerning the business interest deduction. Creates an addition modification for the federal deduction for domestic research or experimental expenditures. Amends the Use Tax Act, the Service Use Tax Act, the Service Occupation Tax Act, and the Retailers' Occupation Tax Act. Makes changes concerning incentives for biodiesel, renewable diesel, and biodiesel blends. Makes other changes. |
| | Current Status: | 5/7/2026 - House Revenue & Finance |
| | Recent Status: | 5/5/2026 - Motion to Suspend Rule 21 - Prevailed 005-000-000
5/5/2026 - Motion Filed to Suspend Rule 21 Rules Committee; Rep. Kam Buckner
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| | State Bill Page: | HB5125 |
| | Notes: | 'CORPORATE LOOPHOLE CLOSURE BILL'- Progressive Revenue Proposal
- Eliminates the sales tax exemption for production related tangible personal property.
- Eliminates the preferential sales tax treatment of biodiesel and renewable diesel.
- Decouples from the changes to Section 174A and requires taxpayers to amortize Section 174A R&E deductions over 5 years.
- Decouples from H.R. 1’s expansion of the business interest limitation in 163(j)
- Requires the taxpayer to add back income excluded by Section 1202 in certain circumstances
- Decouples from the tax benefits of Federal Opportunity Zones beginning with the 2027 tax year.
- Repeals the historic tax credit in River Edge Redevelopment Zones
- Eliminates the construction jobs tax credit for enterprise zones, high impact businesses, and similar programs
- See Parallel Legislation=SB 3796
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| HB5191 | INC TX-ENTITY BASE (REP. MARGARET CROKE) Amends the Illinois Income Tax Act. In provisions concerning the entity-level tax, provides that a partnership making an entity-level tax election may elect to determine its tax base using a full distributive share method or an Illinois-sourced income method. Effective immediately. |
| | Current Status: | 3/27/2026 - Rule 19(a) / Re-referred to Rules Committee
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| | Recent Status: | 3/26/2026 - House Revenue & Finance3/19/2026 - House Income Tax Subcommittee |
| | State Bill Page: | HB5191 |
| | Notes: | TAX-Pass-Through-Entity- Provides flexibility to taxpayers who use Pass-Through Entity Tax Election
- Allows the partnership to elect whether to have IL Residents pay IL PTE at 100% or IL-apportioned
- A nice option rather than mandating one methodology for all partners.
- ICPAS ok as long as this does not morph into mandating 100% for Residents (which these bills would not)
- Initiative by State Chamber of Commerce and IL Manufacturers Association
- Reviewer's note-a version of this surfaced late in the Veto Session. While our initial analysis was the same of do no harm, we did not advocate for expanding our position of extending the PTE option which was permanently extended. The difference between the earlier version which did not allow for an option and now with this version, it is optional.
- See Senate Parallel Bill SB 3799
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| HB5215 | MARK-TO-MARKET TAX ACT (REP. THERESA MAH) Creates the Extremely High Wealth Mark-to-Market Tax Act. Provides that a resident taxpayer with net assets worth $1,000,000,000 or more shall recognize gains or losses as if each asset owned by that taxpayer had been sold for its fair market value on December 31 of the taxable year. Contains provisions concerning the calculation of the amount of tax due from those gains or losses. Amends the Illinois Income Tax Act to make conforming changes. Effective immediately. |
| | Current Status: | 5/6/2026 - House Revenue & Finance |
| | Recent Status: | 3/27/2026 - Rule 19(a) / Re-referred to Rules Committee
3/26/2026 - House Revenue & Finance |
| | State Bill Page: | HB5215 |
| | Notes: | IGH WEALTH MARK-TO-MARKET TAX - Expands the definition of net income for purposes of the individual income tax to include unrealized gains for residents with assets worth more than $1B.
- See Parallel Bill=SB3376
- ---ANALYSIS---
- This has been attempted before and failed
- It’s a very bad idea and most likely could not be administered
- You can figure out the change in value year-to-year for publicly traded stocks, but for any asset that isn’t publicly traded or for which there isn’t an active market there will be all kinds of valuation fights that the Illinois Department of Revenue doesn’t have the expertise to get involved in
- How do you value office buildings, closely held corporations, etc.
- Ergo concerns raised above, this version is drafted better than previous versions
- This proposal makes it a part of the Illinois income tax act and is taxed under the IAPA. In the earlier versions, it was handled differently.
- From a quick review, it appears that in a year in which the net value of someone’s assets subject to this tax goes down they don’t get to add that negative number and then offset that amount against their regular income tax liability.
- It could be challenged as an improper graduated income tax
- See Warren Buffett’s critique of mark-to-market tracking of income for financial accounting purposes in the 2017 Berkshire annual report “…a new accounting rule — a generally accepted accounting principle (GAAP) — that in future quarterly and annual reports will severely distort Berkshire’s net income figures and very often mislead commentators and investors.
- The new rule says that the net change in unrealized investment gains and losses in stocks we hold must be included in all net income figures we report to you. That requirement will produce wild and capricious swings…”
- This is mark-to-market accounting.
- Using as an income tax purpose is a bad idea
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| HB5237 | LOCAL GOV-PREEMPT TAX (REP. ANTHONY DELUCA) Amends the Counties Code and the Illinois Municipal Code. Provides that neither a county nor a municipality may impose a tax on businesses calculated based on the number of employees of the business. Effective immediately. |
| | Current Status: | 4/17/2026 - Rule 19(a) / Re-referred to Rules Committee
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| | Recent Status: | 4/17/2026 - House Bills on Second Reading
4/16/2026 - House Bills on Second Reading
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| | State Bill Page: | HB5237 |
| | Notes: | MUNICIPAL HEAD TAX PREEMPTION- Preempts any municipality from imposing a tax not authorized by state law
- Prevents Chicago from imposing a Corporate Head Tax
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| HB5318 | INC TAX-COMBINED REPORTING (REP. MAURICE WEST, II) Amends the Illinois Income Tax Act. Provides that provisions of the Act that provide that a taxpayer's unitary business group does not include members whose business activity outside the United States is 80% or more of the member's total business activity apply only for taxable years ending before January 1, 2027. Makes corresponding changes to deductions and addition modifications concerning those members of the unitary business group. Provides that, with respect to the term "foreign person", "United States" means the 50 states of the United States, the District of Columbia, the territories and possessions of the United States, and any area over which the United States has asserted jurisdiction or claimed exclusive rights with respect to the exploration for or exploitation of natural resources. Adds provisions concerning joint and several liability of members of a combined reporting group. Effective immediately. |
| | Current Status: | 3/27/2026 - Rule 19(a) / Re-referred to Rules Committee
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| | Recent Status: | 3/26/2026 - House Revenue & Finance3/19/2026 - House Revenue & Finance |
| | State Bill Page: | HB5318 |
| | Notes: | WORLDWIDE COMBINED REPORTING- An attempt to create a worldwide combined reporting requirement
- Starting 2026 Tax Year
- See Parallel Bill-SB 3486
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| HB5470 | DCEO-VARIOUS (REP. YOLONDA MORRIS; SEN. PAUL FARACI) Amends the Department of Commerce and Economic Opportunity Law of the Civil Administrative Code of Illinois. Provides that provisions requiring the Department of Commerce and Economic Opportunity's official website to contain a comprehensive list of State, local, and federal economic benefits available to businesses in each of the State's counties and municipalities are repealed on July 1, 2026. Provides that the following reports shall be filed on or before January 31 of each year (instead of January 1): a report on entrepreneurial assistance centers; reports on the Enterprise Zone Loan Fund and the Large Business Attraction Fund; and reports concerning cannabis social equity. Amends the Southeastern Illinois Economic Development Authority Act. Makes changes concerning the membership of the Board of the Southeastern Illinois Economic Development Authority. Amends the Illinois Income Tax Act. Extends the sunset for the apprenticeship education expense tax credit, the research and development tax credit, the angel investment tax credit, and the River Edge Redevelopment Zone tax credit. Effective immediately.
House Floor Amendment No. 1 - Replaces everything after the enacting clause. Reinserts the provisions of the introduced bill. Repeals the Opportunities for At-Risk Women Act. Adds provisions to the introduced bill amending the Illinois Council on Women and Girls Act. Provides that the Illinois Council on Women and Girls may create a Subcommittee on Opportunities for Women At Risk of Being Justice Impacted. Sets forth the duties of the subcommittee. Adds provisions to the introduced bill amending the Music and Musicians Tax Credit and Jobs Act. Changes references from "taxable year" to "calendar year". Makes changes concerning reports. Further amends the Department of Commerce and Economic Opportunity Law of the Civil Administrative Code of Illinois. Provides that the Office of Economic Equity and Empowerment may administer assistance that is focused on the revitalization and economic stabilization of urban areas in the State. Makes changes concerning the new business permitting portal. Amends the Energy Assistance Act. Makes changes concerning the membership of the Low Income Energy Assistance Policy Advisory Council. Amends the Illinois Promotion Act. In provisions concerning the Coordinating Committee of State agencies involved with tourism, provides that the Director of Commerce and Economic Opportunity and the Lieutenant Governor may appoint designees to serve on the committee. Further amends the Illinois Income Tax Act. Extends the sunset of the research and development credit until January 1, 2037 (currently, January 1, 2032). Removes provisions of the introduced bill concerning the pass-through entity tax. Effective immediately.
House Floor Amendment No. 2 - Replaces everything after the enacting clause. Reinserts the provisions of House Amendment No. 1 with changes. Removes provisions of the Illinois Power Agency Act extending a home rule preemption concerning taxes or fees related to the generation of electricity. Removes provisions extending the following income tax credits: (1) the research and development credit; (2) the angel investment credit; (3) the apprenticeship education expense credit; and (4) the River Edge Redevelopment Zone credit. Effective immediately. |
| | Current Status: | 5/12/2026 - House Bills on Second Reading
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| | Recent Status: | 5/7/2026 - House Bills on Second Reading
5/6/2026 - Placed on Calendar Order of 2nd Reading May 7, 2026
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| | State Bill Page: | HB5470 |
| | Notes: | DECO Pass-Through Entity Tax A/O 16 April 2026, HA#2 is gut and replace. Of interest that the amendment eliminates the sunset extension of specified tax credits. These sunsetting dates will be addressed in the Revenue Omnibus Legislation passed in the closing days of the Spring Session. A/O 30 March 2026, the amendment remedies our concerns and address the drafting oversight of the original legislation - This legislation as introduced would have sunset the pass-through entity tax in 2036
- This was a mistake, as the intention was to extend the research and development tax credit
***BREAK***BREAK*** - This is an initiative of DECO and makes technical changes to the Music and Musicians Tax Credits and Jobs Act.
- Extends the home rule limitation that prevents a home rule unit of government from imposing new taxes or fees related to the generation of electricity and other related activities until 2033
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| SB2760 | LGDF-WAGERING (SEN. PATRICK JOYCE) Amends the State Revenue Sharing Act. Provides that, if a municipality imposes fees, surcharges, or other costs for the privilege of conducting or participating in sports wagering, then the total amount of those fees, surcharges, or other costs shall be deducted from that municipality's Local Government Distributive Fund allocation and redistributed to the other municipalities and counties in this State in accordance with the Local Government Distributive Fund allocation formula. |
| | Current Status: | 4/24/2026 - Rule 2-10 Committee/3rd Reading Deadline Established As May 15, 2026
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| | Recent Status: | 4/6/2026 - Senate Gaming, Wagering, and Racing3/27/2026 - Rule 2-10 Committee Deadline Established As April 24, 2026
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| | State Bill Page: | SB2760 |
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| SB3169 | REVENUE-AFFORDABLE HOUSING (SEN. GRACIELA GUZMÁN) Amends the Hotel Operators' Occupation Tax Act. Imposes a tax upon hosting platforms that facilitate the renting, leasing, or letting of short-term rentals. Provides that the tax is imposed at the rate of 4% of 94% of the gross rental receipts received by the platform from the renting, leasing, or letting of short-term rentals in this State. Provides that the proceeds from the tax shall be deposited into the Community Land Trust Fund. Amends the State Finance Act to create the Community Land Trust Fund. Amends the Property Tax Code. Provides that property that is owned by a non-profit community land trust and that is used exclusively for the creation and maintenance of permanently affordable single-family or multifamily residences is exempt beginning with the taxable year in which the property is acquired by the community land trust and continuing through the taxable year in which the property is sold to a homeowner. Effective immediately. |
| | Current Status: | 5/5/2026 - Senate Committee Amendment No. 3 Assignments Refers to Revenue
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| | Recent Status: | 4/29/2026 - Senate Committee Amendment No. 3 Referred to Assignments
4/29/2026 - Senate Committee Amendment No. 3 Filed with Secretary by Sen. Graciela Guzmán
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| | State Bill Page: | SB3169 |
| | Notes: | HOTEL TAX-Affordable Housing |
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| SB3353 | DIGITAL AD TAX ACT (SEN. ROBERT PETERS) Creates the Digital Advertising Tax Act. Imposes a tax on the portion of a person's annual gross revenue that is derived from digital advertising services in the State if the person's total revenue derived from digital advertising in the State exceeds $150,000,000. Provides that the tax is imposed at the rate of 10% of the annual gross revenues derived from digital advertising services in the State. Effective immediately. |
| | Current Status: | 5/6/2026 - Senate Revenue |
| | Recent Status: | 2/4/2026 - Referred to Senate Assignments
2/4/2026 - FIRST READING
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| | State Bill Page: | SB3353 |
| | Notes: | DIGITAL ADVERTISING TAX- Progressive Revenue Proposal
- Imposes 10% tax on digital advertising gross receipts for companies that receive more than $150M in Illinois receipts
- See Parallel Bill=HB4894
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| SB3376 | MARK-TO-MARKET TAX ACT (SEN. KARINA VILLA) Creates the Extremely High Wealth Mark-to-Market Tax Act. Provides that a resident taxpayer with net assets worth $1,000,000,000 or more shall recognize gains or losses as if each asset owned by that taxpayer had been sold for its fair market value on December 31 of the taxable year. Contains provisions concerning the calculation of the amount of tax due from those gains or losses. Amends the Illinois Income Tax Act to make conforming changes. Effective immediately. |
| | Current Status: | 5/6/2026 - Senate Revenue |
| | Recent Status: | 2/4/2026 - Referred to Senate Assignments
2/4/2026 - FIRST READING
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| | State Bill Page: | SB3376 |
| | Notes: | TAX-HIGH WEALTH MARK-TO-MARKET TAX - Progressive Revenue Proposal
- Expands the definition of net income for purposes of the individual income tax to include unrealized gains for residents with assets worth more than $1B.
- See Parallel Bill=HB 5215 for details and analysis
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| SB3486 | INC TAX-COMBINED REPORTING (SEN. ROBERT MARTWICK) Amends the Illinois Income Tax Act. Provides that provisions of the Act that provide that a taxpayer's unitary business group does not include members whose business activity outside the United States is 80% or more of the member's total business activity apply only for taxable years ending before January 1, 2026. Makes corresponding changes to deductions and addition modifications concerning those members of the unitary business group. Provides that, with respect to the term "foreign person", "United States" means the 50 states of the United States, the District of Columbia, the territories and possessions of the United States, and any area over which the United States has asserted jurisdiction or claimed exclusive rights with respect to the exploration for or exploitation of natural resources. Adds provisions concerning joint and several liability of members of a combined reporting group. Effective immediately. |
| | Current Status: | 5/6/2026 - Senate Revenue |
| | Recent Status: | 2/27/2026 - Sponsor Removed Sen. Graciela Guzmán
2/5/2026 - Referred to Senate Assignments
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| | State Bill Page: | SB3486 |
| | Notes: | WORLDWIDE COMBINED REPORTING- Progressive Revenue Proposal
- An attempt to create a worldwide combined reporting requirement
- Starting 2026 Tax Year
- See Parallel Bill-HB 5318
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| SB3796 | REVENUE-CREDITS-DEDUCTIONS (SEN. LAKESIA COLLINS) Amends the Enterprise Zone Act. Provides that certain credits related to high impact businesses do not apply on or after the effective date of the amendatory Act. Amends the Illinois Income Tax Act. Provides that a construction jobs credit does not apply for taxable years ending on or after the effective date of the amendatory Act. Provides that a high impact business construction jobs credit does not apply for taxable years ending on or after the effective date of the amendatory Act. Makes changes concerning the business interest deduction. Creates an addition modification for the federal deduction for domestic research or experimental expenditures. Amends the Use Tax Act, the Service Use Tax Act, the Service Occupation Tax Act, and the Retailers' Occupation Tax Act. Makes changes concerning incentives for biodiesel, renewable diesel, and biodiesel blends. Makes other changes. |
| | Current Status: | 5/6/2026 - Senate Revenue |
| | Recent Status: | 2/27/2026 - Sponsor Removed Sen. Robert Peters
2/5/2026 - Referred to Senate Assignments
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| | State Bill Page: | SB3796 |
| | Notes: | TAX-CORPORATE LOOPHOLE CLOSURE BILL Progressive revenue proposal - Eliminates the sales tax exemption for production related tangible personal property.
- Eliminates the preferential sales tax treatment of biodiesel and renewable diesel.
- Decouples from the changes to Section 174A and requires taxpayers to amortize Section 174A R&E deductions over 5 years.
- Decouples from H.R. 1’s expansion of the business interest limitation in 163(j)
- Requires the taxpayer to add back income excluded by Section 1202 in certain circumstances
- Decouples from the tax benefits of Federal Opportunity Zones beginning with the 2027 tax year.
- Repeals the historic tax credit in River Edge Redevelopment Zones
- Eliminates the construction jobs tax credit for enterprise zones, high impact businesses, and similar programs
- See Parallel Legislation=HB5125
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| SB3799 | INC TX-ENTITY BASE (SEN. CELINA VILLANUEVA) Amends the Illinois Income Tax Act. In provisions concerning the entity-level tax, provides that a partnership making an entity-level tax election may elect to determine its tax base using a full distributive share method or an Illinois-sourced income method. Effective immediately. |
| | Current Status: | 4/29/2026 - Senate Revenue |
| | Recent Status: | 4/28/2026 - Senate Committee Amendment No. 1 Assignments Refers to Revenue
4/24/2026 - Rule 2-10 Committee/3rd Reading Deadline Established As May 15, 2026
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| | State Bill Page: | SB3799 |
| | Notes: | TAX-Pass-Through-Entity- Provides flexibility to taxpayers who use Pass-Through Entity Tax Election
- Allows the partnership to elect whether to have IL Residents pay IL PTE at 100% or IL-apportioned
- A nice option rather than mandating one methodology for all partners.
- ICPAS ok as long as this does not morph into mandating 100% for Residents (which these bills would not)
- Initiative by State Chamber of Commerce and IL Manufacturers Association
- Reviewer's note-a version of this surfaced late in the Veto Session. While our initial analysis was the same of do no harm, we did not advocate for expanding our position of extending the PTE option which was permanently extended. The difference between the earlier version which did not allow for an option and now with this version, it is optional.
- See House Parallel Bill-HB5191
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| SB3940 | PROP TX-TAX SALE (SEN. CELINA VILLANUEVA) Amends the Property Tax Code. Provides that a county, as trustee, may elect to acquire or sell tax delinquent property. Provides that the owner of property who sustains loss or damage by reason of the issuance of a deed at a tax deed auction shall have the right to recover surplus equity which was lost in the property through an award of indemnity. Provides that, in counties with 3,000,000 or more inhabitants, the period of redemption is 3 years from the date of sale. |
| | Current Status: | 5/6/2026 - Senate Committee Amendment No. 1 Assignments Refers to Revenue
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| | Recent Status: | 5/5/2026 - Senate Committee Amendment No. 1 Referred to Assignments
5/5/2026 - Senate Committee Amendment No. 1 Filed with Secretary by Sen. Celina Villanueva
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| | State Bill Page: | SB3940 |
| | Notes: | PROPERTY TAX-Delinquent Tax Sales See also SB 3940 |
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