Skip to content

Illinois Legislature Passes Budget Increasing Spending

Illinois Legislature Passes Budget Increasing Spending

May 29, 2024 Last Edit: June 5, 2025

Illinois Legislature Passes Budget Increasing Spending

The Illinois General Assembly passed a budget package for the upcoming fiscal year that—once again—increases spending and taxes. The budget includes over $53 billion in general revenue spending, a 1.6% increase over the current year’s general revenue spending (though 5% over the original budget passed last May). To fund this additional spending, the legislature voted to raise a number of taxes to bring in over $800 million in new revenue. These tax increases include:
  • Capping the retail discount that retailers receive for collected sales taxes at $1,000 per month (impacting retailers with monthly sales of approximately $650,000 or more at an assumed sales tax rate of 8.75%).
  • Extending the cap on the net operating loss deduction that was set to expire—though raising the cap from $100,000 to $500,000.
  • Imposing a new 1% tax on video-gaming terminals.
  • Raising taxes on sports betting.
  • Imposing new taxes on businesses that re-rent hotel rooms.
The budget package also provides for the elimination of the grocery tax on January 1, 2026, and increases the tax credit that employers are eligible for when they hire recently released offenders.

Check it out!

Until 05/11/2024
Lorem ipsum dolor site amet
Learn More
Get to know NFIB

NFIB is a member-driven organization advocating on behalf of small and independent businesses nationwide.

Receive our newsletter and email notification
Knowledge is power. Let us help you stay informed with breaking legislative news, regulatory updates, business tips, and more.

Related Articles

State Capitol of Illinois in Springfield.
October 20, 2025
First Week of the Illinois Fall Veto Session Ends Without Much…
The first week of the Illinois veto session primarily consisted of closed-d…
Read More
October 20, 2025
NFIB on This Week in Texas: Vote ‘YES’ on Prop 9 to Help Ma…
Early voting begins this week – make your plan to vote ‘YES’ on Prop…
Read More
October 20, 2025
NFIB Releases New Ads in Texas Urging Voters to Support Prop 9…
Statewide Radio, Digital Ads Urge Voters to Vote ‘YES’ on Prop 9 to Hel…
Read More
Massachusetts State House and Capitol, Boston
October 17, 2025
Beacon Hill Update
Mass. lawmakers continue to file bills that will have significant impact on…
Read More

© 2001 - 2025 National Federation of Independent Business. All Rights Reserved. Terms and Conditions | Privacy Policy | Accessibility