IL SB1677

Reduces individual income tax rate from 5% to 3% for taxable years beginning on or after January 1, 2014.

Reduces corporate income tax rate from 7% to 4.8% for taxable years beginning on or after January 1, 2014.

Modifies distribution of tax proceeds to the Local Government Distributive Fund to reflect the reduced tax rates, with distributions resuming February 1, 2014.

Repeals Section 201.5 and related provisions that had governed previous tax rate increases and scheduled reductions.

Takes effect immediately upon becoming law.