January 8, 2010—Issue 1

HB 4622—Tax Amnesty Bill

HB 4622, sponsored by Rep. Bob Pritchard, would create a temporary tax amnesty program to fund Monetary Award Program (“MAP”) grants for higher education.  The bill is identical to SB 2473, which, on October 28, 2009, was held in the Senate Executive Committee. 

Under the bill as filed, the amnesty program would be for the period of January 1, 2010, through February 15, 2010.  Further, if taxes due after June 20, 2002, and prior to January 1, 2010, are paid during the aforementioned period, the Department of Revenue would be required to abate and not collect any applicable interest or penalties.  While not obvious from the bill’s language as filed, if a taxpayer fails to pay taxes for the aforementioned period during the amnesty program, penalties and interest will be 200% of the normal amount charged by the Department of Revenue. 

TFI opposes HB 4622.  The bill is scheduled to be heard in the House Revenue & Finance Committee on Monday, January 11. 

HB 4622 may be accessed at the following link:  click here.

Recently Proposed Rulemakings

The Department of Revenue recently filed several rulemakings.  The first four of the proposed rulemakings listed may be accessed at:  click here.  The other proposed rulemaking may be accessed at:  click here.

Brief descriptions of the rule filings as well as citations thereto follow:

• Tax Shelter Voluntary Compliance Law:  The rulemaking would allow post-program period, which was October 14, 2004, to January 31, 2005, payment of interest.  (33 Ill. Reg. 17,289-17,308 (December 28, 2009)).

• Increase in the authorized RTA sales tax:  Of primary note, the rulemakings would implement P.A. 95-708 to authorize the RTA Board of Directors to increase the RTA sales tax from 0.25% in Cook County and 0.5% in the Counties of DuPage, Kane, Lake, McHenry, and Will.  (33 Ill. Reg. 17,309-17,312, 17,313-17,317, & 17,318-17,321 (December 28, 2009)).

• Charitable exemption eligibility for low income housing projects:  The rulemaking would clarify charitable property tax exemption eligibility requirements for low income housing projects owned or managed by an Illinois charity that uses federal tax credits for funding.  (34 Ill. Reg. 486-494 (January 8, 2010))

Comptroller’s Quarterly

Comptroller Dan Hynes has released the latest edition of “The Illinois State Comptroller’s Quarterly,” in which he points out the State’s bill backlog is effectively over 8.75 billion.  The report may be accessed at the following link:  click here.

COGFA Documents

The Commission on Government Forecasting and Accountability (“COGFA”) has released the following documents:

• “Fiscal Analysis of the Downstate Police and Downstate Fire Pension Funds in Illinois”:  click here.


• December Monthly Briefing:  click here.

And Finally . . .

We hope everyone had a wonderful holiday season. 

The legislative session begins Tuesday, January 12.