Tight budget blocks dozens of legislators' tax break measures

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SPRINGFIELD | Got an idea to put a little money back in the pockets of Illinois taxpayers? Chances are good state lawmakers already are pursuing it this year.

From offering incentives to buy hybrid vehicles and school supplies to encouraging businesses to expand or locate in Illinois, legislators are pushing dozens of ideas that would provide breaks from a variety of state taxes.

But lawmakers' desire for the feel-good measures in an election year likely won't save the proposals from the scrap heap. A tight state budget makes every dollar valuable this year, and some key lawmakers say there's no room to give much back.

"I wish we could do all these things, but we just fiscally can't," said Rep. John Bradley, D-Marion. "It's a tough job because they're good ideas, but you have to say no."

Legislators backing the tax breaks say they understand the problem but won't back down when told no.

"I'm going to keep working this thing until those bills get heard," said Rep. Susana Mendoza, D-Chicago.

The measures sitting in revenue committees in the House and Senate cover the gamut of money-back ideas. Tax break measures are especially popular in election years because lawmakers can tout them back home, even if they never become law.

Many of the ideas have been proposed and killed before, or are expansions of previous breaks. Senior citizens could see lower property tax bills and income tax breaks for prescription drug coverage. Military veterans, farmers, volunteer firefighters and organ donors also would benefit.

Legislators aren't the only ones pushing tax breaks. Gov. Rod Blagojevich last month proposed providing more than $1 billion in one-time tax credits to Illinois families and businesses. The governor also is asking lawmakers again to end some existing tax breaks for businesses that he considers costly "corporate loopholes."

A taxpayer watchdog group is asking lawmakers to reject any bills this year that would reduce government's tax proceeds.

David Eldridge, legislative director for the Taxpayers Federation of Illinois, says lawmakers have asked him to not oppose their ideas, but he gives them the same answer: "There's just no money, and it's not the right time to be doing new programs."

The Illinois Chamber of Commerce is pushing lawmakers to consider incentives for business investment and research and development but hasn't weighed in on many other ideas largely because of their bleak future.

"The straight-up political reality is we know that most of them are not going to get out, and we don't spend an awful lot of time (on them)," said Todd Maisch, one of the chamber's lobbyists.

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