Reports

Recommended Changes to Illinois Tax Expenditures, FY 2022

Release: May 13, 2021

To address some of the shortcomings that have created the structural deficit in the state’s fiscal system, the FY 2022 GF Proposal includes a number of initiatives designed to generate new revenue for the General Fund.  Key among these are initiatives that would:

(i) eliminate or modify a number of tax breaks—which are more accurately described as “tax expenditures”—the state currently grants to corporations, to generate some $932 million in General Fund revenue for FY 2022; and

(ii) “decouple” Illinois from tax expenditures granted to businesses by the federal government, that cannot be expected to generate any benefit in the state, but would cause the loss of anywhere from $500 million to $1 billion in annual General Fund Revenue.

Analysis of Illinois' FY 2022 Proposed General Fund Budget

Release: March 10, 2021

The FY 2022 Proposed General Fund Budget (the “FY 2022 GF Proposal”) makes one fact abundantly clear: spending on services is not driving the state’s fiscal problems.  Big picture, Illinois’ ongoing disinvestment in General Fund services is harming communities across the state for one simple reason: over 95 percent of all such spending goes to the four, core areas of Education (including Early Childhood, K-12, and Higher Education), Healthcare, Human Services, and Public Safety.