The enactment of HB 2483 is expected to have meaningful implications for state tax revenue distributions. By defining surplus more precisely, the bill seeks to ensure that funds are allocated efficiently and transparently, potentially enhancing the fiscal stability of the state's finances. This clarity may assist in budget planning and could lead to improved fiscal management within the Department of Revenue, ultimately benefiting state-funded services and programs.
Summary
House Bill 2483 amends the Illinois Income Tax Act, specifically targeting the processes surrounding surplus funds within the Income Tax Refund Fund and their transfer to the General Revenue Fund. The bill proposes a revision to the definition of 'surplus', stipulating that it refers to the cash balance in the Income Tax Refund Fund at the end of the applicable fiscal year, minus certain specified transfers. This change aims to clarify how surplus funds are identified and utilized in relation to state revenue collection and budget management.
Contention
While the bill primarily seeks to refine the operational aspects of surplus fund management, it may also raise concerns regarding the implications of a tighter definition on future fund availability. Stakeholders, including local governments and social service organizations, might be apprehensive about whether a more rigid surplus definition could limit the flexibility in accessing these funds during financially strained periods. Consequently, discussions surrounding HB 2483 could revolve around the balance between precise fund definitions and the need for responsive fiscal mechanisms.
Allows the city of Providence to impose an additional conveyance tax of three quarters of one percent (0.75%) on sale of any real property in excess of one million dollars ($1,000,000).
Allows a municipality to set its own conveyance tax rate for residential properties sold in excess of $900,000.00 at $10 per $500. Provides collected taxes to be in a restricted account and distributed within 2 years for affordable housing.