HB5764 Summary

• Amends the Illinois Income Tax Act to modify distributions to the Local Government Distributive Fund if income tax rates are reduced pursuant to Section 201.5.

• If an income tax rate reduction occurs, the State Comptroller must order and the State Treasurer must transfer 1/10 of net income tax revenue monthly from the General Revenue Fund to the Local Government Distributive Fund, beginning with the first distribution after the rate reduction becomes effective.

• This provision supersedes existing formulas for Local Government Distributive Fund transfers that would otherwise apply during the specified periods through January 31, 2025 and beyond.

• Effective immediately upon passage.