The SALT deduction limits, along with the other Federal tax law changes did not affect the Federal adjusted gross income on which the Illinois income tax is calculated. Also, the stock market did not do all that well in 2018, so that likely doesn’t explain either why tax revenue exceeded expectations. My guess is that the Pritzker administration got a lot of pushback from its own party on reducing pension contributions, so they manufactured some pretend new revenue that gave them an excuse to back down.
Platinum Goose
7 years ago
Is our state so inept that they didn’t realize the limit to the SALT deduction would result in a higher AGI that we would be taxed on.
A largely unasked question is becoming glaring: Is Illinois doing all it should to use artificial intelligence to make government cost less and work better? So far, the evidence says no.
The SALT deduction limits, along with the other Federal tax law changes did not affect the Federal adjusted gross income on which the Illinois income tax is calculated. Also, the stock market did not do all that well in 2018, so that likely doesn’t explain either why tax revenue exceeded expectations. My guess is that the Pritzker administration got a lot of pushback from its own party on reducing pension contributions, so they manufactured some pretend new revenue that gave them an excuse to back down.
Is our state so inept that they didn’t realize the limit to the SALT deduction would result in a higher AGI that we would be taxed on.