HB 1064 Summary

• Reduces individual income tax rate from 5% to 3% for taxable years beginning January 1, 2013 and thereafter.

• Reduces corporate income tax rate from 7% to 4.8% for taxable years beginning January 1, 2013 and thereafter.

• Removes the $100,000 annual limit on net loss carryover deductions that was set to expire December 31, 2014.

• Makes corresponding changes to tax revenue distributions, including adjustments to Local Government Distributive Fund transfers based on the lower tax rates.

• Repeals related sections of the State Finance Act and Illinois Income Tax Act dealing with temporary tax rate increases and corresponding fund distributions.