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Illinois passes bill to shield state taxes from federal changes, saving $250M amid a $267M deficit.
Illinois lawmakers passed Senate Bill 1911 to insulate the state’s corporate tax system from federal changes, aiming to save $250 million and close a projected $267 million deficit for fiscal year 2026.
The bill blocks a federal provision allowing accelerated equipment depreciation, saving $144 million, and taxes overseas profits in line with federal rules, generating $90 million.
It also makes permanent a 2021 pass-through entity tax provision.
Governor JB Pritzker supports the measure, saying it protects state revenue, but business groups warn it may hurt competitiveness.
The bill awaits his signature.
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Illinois aprueba un proyecto de ley para proteger los impuestos estatales de los cambios federales, ahorrando $250M en medio de un déficit de $267M.