Income Tax Increases

The State of Illinois just passed a slew of new laws, including the highly anticipated income tax increases. Illinois voters must approve a constitutional amendment in the fall of 2020, permitting graduated income tax rates, for these changes to take effect in 2021.

Of note, the corporate income tax rate, which is currently 7%, will increase to 7.99%. When adding the 2.5% personal property replacement tax, the combined tax rate substantially increases to 10.49%. 

This Chuhak & Tecson, P.C. communication is intended only to provide information regarding developments in the law and information of general interest. It is not intended to constitute advice regarding legal problems and should not be relied upon as such.

Client alert authored by: Mitchell D. Weinstein, Principal and President