Kane County Reporter

Matt Hanson introduced HB2897 in the Illinois House on Feb. 5, 2025, during the general assembly session 104, according to the Illinois General Assembly.

According to the Illinois General Assembly site, the legislature summarized the bill's official text as follows: "Amends the Illinois Income Tax Act. Provides that, beginning July 1, 2025, the Department of Revenue shall deposit 10% of the net revenue realized from the income taxes imposed under the Act directly into the Local Government Distributive Fund as that revenue is realized. Effective immediately."

The following is our breakdown, based on the actual bill text, and may include interpretation to clarify its provisions.

In essence, this bill amends the Illinois Income Tax Act to mandate that starting July 1, 2025, the Department of Revenue must deposit 10% of the net revenue from income taxes directly into the Local Government Distributive Fund as it is realized. This adjustment modifies the current practice of transferring funds from the General Revenue Fund, aiming to streamline and potentially increase the direct financial support provided to local governments across Illinois. The bill emphasizes a more consistent allocation of tax revenues, ensuring that local entities receive a predictable share of collected state income taxes to support local initiatives and public services. The act is effective immediately upon becoming law.

Hanson graduated from the University of Richmond with a BS.

Matt Hanson is currently serving in the Illinois State House, representing the state's 83rd House District. He replaced previous state representative Barbara Hernandez in 2023.

Bills in Illinois follow a multi-step legislative process, beginning with introduction in either the House or Senate, followed by committee review, floor debates, and votes in both chambers before reaching the governor for approval or veto. The General Assembly operates on a biennial schedule, and while typically thousands of bills are introduced each session, only a fraction successfully pass through the process to become law.

You can read more about bills and other measures here.

Bill Number	Date Introduced	Short Description
HB2897	02/05/2025	Amends the Illinois Income Tax Act. Provides that, beginning July 1, 2025, the Department of Revenue shall deposit 10% of the net revenue realized from the income taxes imposed under the Act directly into the Local Government Distributive Fund as that revenue is realized. Effective immediately.
HB2896	02/05/2025	Amends the Property Tax Extension Limitation Law in the Property Tax Code. Provides that a levy authorized for contributions to a Firefighters' Pension Fund for a municipality with a population of 500,000 or less is not considered a new rate. Effective immediately.