State Overpaid $168 Million Personal Property Replacement Tax (PPRT): Amount Could Be Higher

While schools and human services programs are struggling to keep the doors open and the state still does not have a completed budget for the current fiscal year, one program in the state has been discovered to have overpaid taxing districts an estimated $168 million.

At issue is a statement the Illinois Department of Revenue (IDOR) sent out this week saying that, while implementing a new ledger system, it "uncovered a misallocation" of personal property tax replacement (PPRT) monies during the latter stages of the administration of former Gov. Pat Quinn.

PPRT is a sort of corporate income tax. It replaces funds that local governments lost when the new constitution enacted in 1970 lost those governments' ability to impose personal-property taxes on corporations and other business entities.

Read the article by Greg Hinz of Crain's Chicago Business here.