An error by the Illinois Department of Revenue means local taxing districts that receive disbursements from a personal property-tax replacement fund must repay an estimated $168 million to the state.
A statement from the department says the misallocation was identified when the department implemented its new general ledger system.
The department says the misallocation began in 2014 under former Gov. Pat Quinn's administration following an amendment to the Illinois Income Tax Act.
About 6,500 Illinois taxing districts are impacted by the misallocation.