News

Madigan Proposes Halving Corporate Income Tax Rate

Madigan Proposes Halving Corporate Income Tax Rate

Photo: Newsradio WTAX

The Illinois House speaker introduced a bill today (Thursday) to cut the state’s corporate income tax.

The overall rate is now 9½ percent. That comprises the income tax of 7 percent and the Personal Property Replacement Tax, an income-based tax that businesses pay, of 2½ percent. The speaker’s measure would cut the income tax portion in half, to 3½ percent, leaving the overall rate at 6 percent.

State Rep. Keith Farnham (D-Elgin) says an across-the-board tax cut is better than making special deals with individual firms. “When we’re choosing individual companies, and they’re coming to us, we’re giving breaks to them, but what about the (existing) company that has 60 employees, 50 employees? They need to be treated equally,” he said.

State Sen. Sue Rezin (R-Morris) says she likes the idea of a tax cut, but she thinks the speaker has something up his sleeve. “We are being set up for a progressive (personal) tax, which is being advocated by our friends across the aisle,” she said. She and other Republicans in Springfield are against a progressive personal income tax.

The tax cut would not affect small businesses that pay tax at the individual rate.

Recent Headlines

in Music

This week’s top R&B tracks

jnaetjackson

LISTEN: This week's top R&B tracks, according to the latest Billboard chart.

in Entertainment

‘Siri, can you give me a hint?’ Apple confirms September event

16-overlay14

The rumors are true: Apple will host an event Sept. 9 in San Francisco.

in Viral Videos

This is one way to get a tan

10-overlay22

It's summer and the beaches are packed - so this guy got some private sunbathing time while sky high.

in Entertainment

Netflix drug drama ‘Narcos’ blurs line between cartels, agents

11-overlay7

Not all cops are good guys and not all drug suppliers are obvious villains in the dark drug drama "Narcos," a bilingual examination of the history of cocaine smuggling in America and its most menacing supplier.

in Music

VMA Preview: Bieber’s back, Miley hosts

13-overlay12

Designer Jeremy Scott says to expect the unexpected when comes to the fashion and the music at Sunday's MTV Video Music Awards.