Illinois Gov. J.B. Pritzker's Revenue Proposals for the Fiscal Year 2020 Budget Issue Legalized recreational use of marijuana. Legalized sports betting Plastic bag tax Cigarette tax E-cigarette tax Managed-Care Operation Assessment Cap Retailers' Discount Estimated 2020 Revenue (millions) Explanation Bill number Allowing adults 21 and older to buy cannabis for recreational $170 use from licensed dispensaries. SB7 Allowing betting on sports events and games, with possible betting at facilities such as casinos and racetracks and some form of online $212 betting. HB3308 To encourage consumers not to use single-use plastic shopping bags which critics contend threaten the environment. Proposals range from 5 cents to $20 10 cents per bag. SB1240, HB3335 Pritzker proposed a 32-cent-perpack hike in cigarette taxes and an increase to 64 percent of the wholesale price on other tobacco products from 35 percent. But Senate President John Cullerton has agreed to sponsor legislation to raise the per-pack tax by $1, to $2.98 per pack. Anti-smoking groups estimate that could nearly triple $55 Pritzker's revenue estimates. None Would include electronic cigarettes and materials, known commercially as "vaping" products, in the definition of "tobacco products" subject to $10 tax. SB1124 A tax on MCOs which the state pays to provide health insurance coverage for Medicaid patients. It would likely prohibit MCOs from passing the cost on to consumers and the idea would be to increase state Medicaid funding that the federal $390 government would match. None Limiting to $1,000 a month the amount retailers realize from the fee they receive for collecting the state's sales tax. The law allows retailers to keep 1.75% of the money they collect from the state's 6.25% tax on $75 retail sales. SB1132, HB2079 Sponsors Status Sen. Heather Steans, Rep. Kelly Cassidy, both Chicago Democrats. Amended language awaiting Senate Executive Committee hearing. Rep. Michael Zalewski, Democrat from Riverside. After two committee hearings where opinions were aired but no action taken, legislation awaits assignment to a committee for a preliminary vote. Sen. Terry Link, Democrat from Waukegan; Rep. Ann Williams, Democrat from Chicago. Both bills are awaiting assignment to a committee for preliminary vote. Sen. John Cullerton, a Chicago Democrat. None Sen. Terry Link. Has been scheduled for a Senate floor vote since April 10. None Likely to be part of overall budget negotiations. Sen. Omar Aquino, Rep. Will Guzzardi, both Chicago Democrats. Both bills are awaiting assignment to a committee for preliminary vote. Decouple from Federal Tax Credit for Repatriated Corporate Income The 2017 tax-cut law allows U.S. corporations a deduction in federal tax paid on "intangible" income, or income from copyrights or other intellectual property, that they earn from foreign countries. If Illinois "decoupled," the state could tax the full amount on foreignderived intangible income $94 apportioned to Illinois. None Phase out Private School Scholarship Credit Under Illinois' 2017 schoolfunding reform law, donors to a private-school scholarship fund may receive a tax credit on $5 their state taxes. None Progressive Tax Structure for Video Gambling Graduated taxes on larger videogame operations based on net terminal income at the parentcompany level, with income exceeding $2.5 million annually taxed at 50%, up from the $89 current 30% flat rate. None Total $1,120 Sources: Illinois Governor's Office of Management and Budget, Illinois General Assembly. None Likely to be part of overall budget negotiations. None Likely to be part of overall budget negotiations. None Likely to be part of overall budget negotiations.