| The revenue impact of this bill is unknown. Several issues need to be addressed before determining if and how this bill might impact State revenues. As an example, in a provision relating to a water's-edge election, the bill provides that a taxpayer's "entire income" must be considered. The bill does not define "entire income" nor is this a relevant term in the Illinois Income Tax Act. Aside from this and similar type issues needing addressed, there are other challenges to determining a fiscal impact. For example, where there might be a revenue impact, there is no way to compute an
estimate since the provision brings income into the apportionable base from companies that previously have not had to file with the Department. There is no way for the Department to know anything about those companies, their income, or their apportionment factors. In fact, the Department cannot
definitively say whether the overall revenue impact of this bill, as written, is positive, negative, or
neutral. |