IVCA Provides Updates for State Legislative Issues – 05/22/2024

Illinois Venture Capital Association Illinois Legislative Report
David Stricklin / Stricklin & Associates
Wednesday, May 22, 2024


The Illinois Department of Revenue has developed rules for implementing the Qualified Investment Partnership legislation IVCA helped pass in 2023.

Friday May 17, via the Joint Committee on Administrative Rules, IVCA and the Illinois Taxpayers Federation shared our concerns with IDOR about the approach it is taking on partnership taxation. Subsequently a legislative approach to address at least some of those concerns was offered, that language has been circulated for comment within IVCA legal and tax/accounting experts, and feedback has been shared immediately with IDOR.

If you would like more specifics, please contact IVCA Executive Director Christie Pruyn. The legislature has targeted this Friday for adjournment, so time is of the essence.


Governor Pritzker has advised legislators he wants some $800M in revenue or budget cuts would have to be made.


Those discussions are ongoing. The tax measures include:

Among Pritzker’s proposed tax increases for the coming fiscal year is a doubling of the state’s tax on sports betting companies. That’s estimated to increase taxes by about $200 million. A cap on the sales tax retailers’ discount is expected to increase taxes by $101 million. An adjustment to the individual income tax standard deduction is estimated to increase taxes by $93 million. The most expensive tax hike is a proposed increase in the cap on the net operating loss deduction for businesses estimated to raise about $526 million.


A lot can and will change before adjournment.


This edition of the newsletter is in a way like writing the review of a play during the middle of the second act. I can tell you what’s happened so far, I can’t tell you yet how it ends.

Friday is the stated deadline for legislators to complete their work for the Spring Session on everything except the budget. There are contingency days built in for continued work on the budget and they likely will be put to good use. Friday’s deadline is in place for a wide range of issues which are swirling around the Capitol:


Legislation to eliminate “tipped wages” opposed by restaurants and similar establishments appears to have stalled for the year.  Governor Pritzker’s plan to reform parts of the insurance market continues its march through the process. The legislature is moving significant economic incentives for Illinois to take a front row seat in Quantum Computing.

Hundreds of other bills covering a wide range of issues are also moving through the process:


Leave a Comment