Confronted with rising inflation during an election year, Senate Democrats filed a series of amendments to SB 1150 (Senator Harmon) intended to offer financial relief to Illinoisans. These amendments have not been adopted at the time of this writing.
The provisions within the filed Senate Floor Amendments (SFA) are as follows:
- SFA 1 provides one-time income tax relief in the form of a $100 check for each income tax payer plus $50/dependent child up to 3 children. The rebate is limited to individual filers making less than $250,000 or joint filers making less than $500,000. Checks would arrive in the fall of 2022.
- SFA 2 freezes the grocery tax for 6 months.
- SFA 3 freezes the Motor Fuel Tax at 39.2 cents/gallon beginning on July 1, 2021 and until January 1, 2023.
- SFA 4 provides a one-time $300 property tax rebate for homeowners based on the credit the homeowner receives on state income taxes. The rebate is limited to individual filers making less than $250,000 or joint filers making less than $500,000.
- SFA 5 enacts a back-to-school sales tax holiday from August 5 – 14, 2022 on qualified clothing and shoes up to $125 and all school supplies (no cap).
- SFA 6 permanently increases the Earned Income Tax Credit from 18% to 19%.
- SFA 7 creates a permanent $300 income tax credit for instructional materials.
- SFA 8 creates a permanent $500 income tax credit for volunteer emergency workers who served in that capacity for at least 9 months in the previous year.
Some of the provisions within the amendments may have the effect of reducing local revenues. ISACo is reviewing the amendments and will provide updates after ascertaining the anticipated impacts.