Tax break bill draws bipartisan votes…in Illinois
PEORIA (WEEK) – A bipartisan bill that did make it through the state capitol could help small business owners save on taxes.
The SALT tax deductions, affecting both state and local taxes, have a current cap of $10,000 that was put in place by former President Trump’s tax cuts in 2017.
Illinois Republican Senator Win Stoller of Germantown Hills wrote a bill that allows small business owners to avoid that federal cap by changing the way they file with the IRS, potentially saving them several thousand dollars a year.
“On the Illinois side of this bill, it’s revenue neutral. There is no cost to the state of Illinois. But it allows our small businesses to opt in – just as other states are starting to do – to a federal tax cut,” Stoller said.
He held a press conference at a small business on Knoxville Avenue in Peoria Thursday, where the owner mentioned the economic pressures they’ve been under during the pandemic.
“Unfortunately, you have to pass it on to the consumer. And we try not to. But, in this time of inflation and excess taxes. it’s almost impossible not to pass it on,” said Michael Rieker, owner of Peoria Tire and Vulcanizing Company.
He believes this bill may allow them to offer their 20 employees a raise as they mark 100 years in business.
Stoller believes the governor will sign his bill, saying it could help more than 400,000 small business owners across the state.