IL HB5017

Reduces the individual, trust, and estate income tax rate from 4.95% to 4.5667% for tax year 2026, then to 4.1833% for 2027, and to 3.8% for 2028 and beyond.

Reduces the corporate income tax rate from 7% to 6.3% for tax year 2026, then to 5.6% for 2027, and to 4.9% for 2028 and beyond.

Amends the Illinois Income Tax Act (35 ILCS 5/201) to implement these phased rate reductions over a three-year period.

Takes effect immediately upon becoming law.

Introduced by Rep. Tony M. McCombie in the 104th General Assembly (2025-2026 session).