Illinois budget

The Wisconsin Legislative Bureau said the recently-passed income tax hike in Illinois will cost Wisconsin more than $50 million in revenue over the next two years. Why?

Illinois and Wisconsin have an income tax reciprocity agreement.  

Without it, residents of one state who work in the other would have to first file in the state where they earn income, pay taxes on that income, and then file again in the state where they reside, claiming a credit for taxes already paid to the first state. 

Brian Mackey/Illinois Public Radio

The two-year Illinois budget impasse is over.

The House of Representatives voted Thursday to override gubernatorial vetoes, giving final approval to a $36 billion spending plan and $5 billion tax increase. The laws are retroactive to July 1, the start of the current fiscal year.

There was not a single vote to spare. Ten Republicans who defied Gov. Bruce Rauner joined with Democrats for the 71 votes needed to end the crisis -- the nation's longest since at least the Great Depression.

niu.edu

It’s all up to the Illinois House of Representatives.

Speaker Michael Madigan announced Wednesday that he will call a vote on whether to override the veto of the spending plan and supporting tax increase that both chambers approved over the weekend.

After Gov. Bruce Rauner’s swift rejection on Sunday, the state Senate came back and rejected the veto later that day. The House has not taken up the matter yet, due in part to member absences. But more on that later.

State of Illinois

Illinois House Speaker Michael Madigan said Democrats are finalizing a proposed state budget plan and could present it to minority Republicans as soon as Tuesday.

Madigan and fellow Chicago Democratic Rep. Greg Harris would not discuss details but said they're devising a spending plan and revenue to pay for it. It might be ready for discussion at Tuesday's meeting of the four legislative leaders. 

Jenna Dooley / WNIJ

Thursday was the second of ten scheduled special sessions for the Illinois Legislature called by the governor to address the lack of a budget.

At least one northern Illinois lawmaker believes that the ball is not in his court, for the moment. State Sen. Steve Stadelman, D-Rockford, says that -- as far as he and his colleagues are concerned -- they’ve done their job, and people wanting action on the budget should look to the House and the governor.

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