Population stagnation in Illinois has been a perennial concern over the last 15 years. After gaining nearly a million and a half new residents between 1990 and 2010 due to robust international migration, labor force growth, higher birth rates, and suburban expansion, Illinois has had flat population growth since 2010. Demographic data show that the […]
Illinois has a public service workers shortage. This includes thousands of unfilled teaching positions at local school districts. Labor shortages have been linked to inadequate pay and benefits as well as other issues like burnout. One proposed solution has been to reform the two-tiered retirement system for state and local government workers—half of whom are […]
Illinois has a tax system that requires working and middle-class families to pay higher shares of their incomes towards state and local taxes than high-income earners. State lawmakers have debated whether to amend the Illinois Constitution to allow for higher income taxes on annual net incomes over $1 million, with new revenues lock-boxed and dedicated […]
While Illinois is better positioned to withstand a recession than at any point over the past two decades, federal funding cuts and freezes since the beginning of 2025 pose imminent threats to Illinois’ $1.2 trillion economy. Policy changes in the “One Big Beautiful Bill Act” budget reconciliation law, targeted freezes during the federal government shutdown […]
A Child Tax Credit is a credit for each child or dependent that households can claim on tax returns. The federal Child Tax Credit covers children under 17 years old and was temporarily expanded in 2021 under the American Rescue Plan Act. The expanded Child Tax Credit increased the amount of the credit, included 17-year-olds, […]
Illinois is at a fiscal crossroads. The state’s General Fund has run a budget deficit for each of the past 22 years—a deficit primarily driven by the lack of revenue growth1. And while many like to blame Illinois’ fiscal woes on profligate spending on services, the data simply does not support that position. In fact, […]
The tax code is a powerful tool used to address a myriad of policy goals. Unfortunately, instead of narrowing income and wealth gaps, various tax provisions continue to reinforce historical gender and racial biases in the tax code. Some advocates argue that the Earned Income Tax Credit (EITC) and the refundable portion of the Child […]
Illinois has the one of the most unfair tax systems in the United States. In response, Governor J.B. Pritzker and the General Assembly have debated whether to amend the Illinois Constitution to allow the state to replace its flat-rate income tax system with a progressive (or “graduated-rate”) income tax. Illinois is currently one of only […]
If Illinois were to legalize sports betting through the Sports Wagering Act proposed last year, net revenues for the gaming industry would increase by $400 million and about 1,800 new jobs would be created at between 30 and 75 licensed locations. The proposed bills would also raise state tax revenue by between $50 million and […]
There is significant public support for legalizing, regulating, and taxing recreational marijuana in Illinois. Fully 66 percent of registered voters in Illinois support legalizing marijuana, including a bi-partisan majority of Democrats and Republicans. Furthermore, 10 states and the District of Columbia have already legalized recreational marijuana. This report finds that high taxpayer costs for law […]