IL HB1203

Reduces the Illinois individual income tax rate from 4.95% to 4.85% for taxable years beginning on or after January 1, 2025

Applies the reduced rate to individuals, trusts, and estates; corporate tax rates remain unchanged at 7%

Makes a conforming change to the pass-through entity tax (PTE) so that partnerships and S corporations electing to pay entity-level tax will pay at the same rate applicable to individuals under the amended provisions

Takes effect immediately upon becoming law