State Senators Seth Lewis, Craig Wilcox, and Dave Syverson announced on March 26 a four-bill legislative package designed to support small businesses, provide relief to workers, and enhance Illinois’ economic competitiveness.
The lawmakers said the initiative addresses ongoing economic challenges in Illinois, including projected population loss over the next five years, stagnant job growth, and rising costs for employers and families. The proposed measures seek to reward long-term business investment in the state, eliminate income taxes on tipped wages, assist small retailers with tax relief, and make health insurance more affordable for individuals and small business owners.
“Illinois is losing people, losing businesses, and falling behind,” Lewis said. “If we don’t change course, today’s challenges will only become more difficult tomorrow. We need to make Illinois a place people want to live, rather than leave.”
Lewis is sponsoring Senate Bill 3786 to create a Legacy Tax Credit for businesses headquartered in Illinois. This credit would offer $100 per year for each year a business has operated in the state along with additional credits based on employee retention and incentives for union workers. “The businesses already here are some of our greatest assets… This legislation tells employers that we see their commitment and appreciate it,” Lewis said.
Wilcox introduced two bills: Senate Bill 3792 would remove state income tax from tips earned by service workers; Senate Bill 137 would increase the retailer’s discount rate for smaller businesses collecting sales tax. “Simply put, if you earn it, you should keep it,” Wilcox said regarding tip income. On supporting small retailers he added: “This is a practical common-sense change… It helps small businesses keep more of their own money.”
Syverson’s proposal (Senate Bill 2763) aims to lower health insurance costs by allowing deductions of premiums and qualified out-of-pocket medical expenses from state taxes—addressing what he called an unfair situation where individuals or employees at smaller firms pay higher costs without similar tax benefits as those offered by larger employers.
Lewis was elected as a Republican senator representing Illinois’ 24th District in 2023 after succeeding Suzy Glowiak according to public records.
The senators described this package as part of wider efforts to strengthen the state’s economy and improve its reputation among employers.
