Some Illinois residents may be in for a surprise when they file their tax returns and receive their refunds.
A new law that went into effect this year allows the state to withhold money from a tax refund of those who own cash to the city of Chicago, along with some other local governments.
According to the Bloomington Pantagraph, Illinois Comptroller Judy Baar Topinka’s office has already notified more than 40,000 people that their tax refunds will be less than they expect or nonexistent because they owe money on their water bill or for unpaid tickets.
The effort, dubbed the Local debt Recovery Program, will affect residents of Chicago, Aurora, Juliet, Springfield, Collinsville and Lakeland Community College in Mattoon.
Even though it is aimed at these municipalities, any Illinois resident owing money to one of those municipalities participating could find themselves with a reduced refund. According to the Panatagraph, parents of children who have received a ticket may be affect as well as someone who has an unpaid ticket from years ago.
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Illinois Rising Stars 2011