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Illinois law could change credit card transactions at restaurants and stores

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Illinois law could change credit card transactions at restaurants and stores


CHICAGO (WGN) — Charging your credit card at a restaurant or grocery store could change this summer if one swipe won’t cover the tax or tip.

It’s the first law of its kind in the country. While some feel it will save businesses money, banks aren’t happy about the change. 

“In the restaurant business, we operate on very thin margins. Every decision matters. Even small disruptions can have a huge impact on our bottom line,” said Tremaine Branch, a Peoria restaurant owner concerned about the Interchange Fee Prohibition Act, which becomes law in Illinois on July 1.

As it stands now, when you swipe your credit or debit card for a purchase, the retailer’s bank pays an “interchange fee” to the consumer’s bank, typically around 2-3%. The Interchange Fee Prohibition Act would eliminate those fees on the tip and tax portions of the transaction. 

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The legislation was proposed to address concerns that businesses incur costs on money that isn’t part of their revenue for goods and services. After the bill passed, a group of financial institutions filed a lawsuit in 2024, and in March, a federal judge upheld the law. 

Sam Toia, with the Illinois Restaurant Association, believes the legislation could benefit business owners. 

“I have every faith banks can flip the software, we’re in 2026, to figure this out,” he said. “We’re out here fighting for our small independent restaurants throughout the state of Illinois that will save no swipe fees to our independent restaurants on taxes and tips. That will save them quite a bit of money.”

Businesses that don’t comply would face a $1,000-per-transaction penalty, however.

“There’s no workable technology in place right now that can actually do what this law requires,” said Ben Jackson, an executive vice president of government relations at Illinois Bankers Association. “It’s completely unknown whether Illinois businesses with that July 1 implementation date could put this law into practice.”

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Businesses should check with their payment processor to update software and learn how to adjust their systems before July 1.



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Illinois General Assembly to honor retiring U.S. Senator Dick Durbin

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Illinois General Assembly to honor retiring U.S. Senator Dick Durbin


SPRINGFIELD, Ill. (KFVS) – The Illinois General Assembly will be honoring U.S. Senator Dick Durbin at the State Capitol in Springfield on Wednesday, May 27.

Members of the Illinois House and Senate will meet in a rare joint session to salute Sen. Durbin’s nearly 44 years in Congress.

Governor JB Pritzker will also be attending.

During the joint session beginning at 12 p.m., Durbin will give a special address.

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He is set to retire after his current term.

In April 2025, Durbin announced that he was not seeking re-election in 2026.

Durbin, a Democrat, was first elected to the U.S. Senate on November 5, 1996. He filled the seat left vacant after the retirement of U.S. Senator Paul Simon.

He also serves as the Senate Democratic Whip. He has been elected to that position every two years since 2005.

According to Durbin’s office, he’s the longest-serving senator in Illinois.

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How could ‘mega-projects’ bill aimed at keeping Bears in Illinois impact taxpayers?

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How could ‘mega-projects’ bill aimed at keeping Bears in Illinois impact taxpayers?


CHICAGO (WLS) — There are new questions on Tuesday about how taxpayers could be impacted by the so-called “mega-projects” bill.

Lawmakers this week are finalizing the bill, which would provide tax breaks for developers of big projects, including a new Bears stadium.

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Cook County Treasurer Maria Pappas is hoping a new report will give lawmakers something to think about as they work on the bill that could determine if the Bears stay in Illinois or move across the border to Indiana.

The Bears’ campaign for a new domed stadium in Arlington Heights hinges on legislative support for a bill that would provide them with property tax certainty over the next 40 years.

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“It’s a complicated situation, because it’s not finalized, and there are hundreds of unanswered questions in this, but the primary question is, ‘What happens to Joe Homeowner?’ And there’s no fiscal impact study here,” Pappas said.

So, researchers from Pappas’ office looked into what impact the “mega-projects” bill would have, asking the question: How will taxpayers benefit if there’s no expansion of the property tax base and only limited sales tax benefit?

Their report says the tax on the current undeveloped property in Arlington Heights was $3.6 million in 2024.

Under the “mega-projects” bill, the tax would be frozen at that level with annual increase based on inflation. It would be coupled with a special annual payment to local taxing bodies estimated to be around $10 million.

Based on the estimated value of a new stadium, the Bears would get an annual tax break of $39 million.

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Pappas’ message to Springfield is, “Put the brakes on and say, ‘What’s the fiscal impact, and what does that mean?’ That means, how much is the homeowner going to have to pick up if somebody gets a billion-and-a-half tax break?”

Before the end of the legislative session on Sunday night, lawmakers are trying to balance helping the Bears and taxpayers to avoid the possibility that the team gives up on Arlington Heights and instead leaves Soldier Field for the offer from Indiana to build a stadium in Hammond, which is the only other site the team says it is considering.

“The real comparison is between a negotiated payment on a real development versus zero taxes on a vacant or stalled site. I wish someone would do a report on that, because that’s the real question for Illinois people, Illinois taxpayers, to have to answer,” said Illinois state Rep. Kam Buckner, D-Chicago.

The governor’s office reiterated on Tuesday that his goal is to pass something that encourages large developments and protects the taxpayers.

While the clock is ticking for lawmakers to revise and pass a megaprojects bill, in Springfield terms, there always seems to be enough time to get done the things that need to get done.

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Temps Stay In The 80s All Week For Chicago Area

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Temps Stay In The 80s All Week For Chicago Area


Temperatures in the upper 80s are possible Tuesday and Wednesday, as “warm and dry conditions are expected for the majority of the week,” the National Weather Service shared.

Tuesday and Wednesday both have a high of 86 degrees. It will be cooler near the lake, with temps in the 70s.

The weather service said “daily lake breezes will keep temperatures cool near the lakeshore…”

Thursday will have a high of 81 and Friday a high of 82 degrees. According to the weather service, temps will be in the 60s near the lake for the end of the week.

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The daily lake breezes and cold front will result in “building waves and dangerous swimming conditions at Lake Michigan beaches,” on Wednesday night and Thursday, according to the weather service.

The rest of the week should also remain dry, besides a low chance of showers and storms late Wednesday, the weather service said.

Here is a more detailed look at the weather for the rest of the week, per the weather service:

TUESDAY: Partly sunny, with a high near 84. Southeast wind around 5 mph, with gusts as high as 10 mph.

TUESDAY NIGHT: Mostly cloudy, with a low around 62. Southeast wind around 5 mph becoming calm after midnight.

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WEDNESDAY: Mostly sunny, with a high near 85. Light and variable wind becoming northeast 5 to 10 mph in the afternoon. Winds could gust as high as 15 mph.

WEDNESDAY NIGHT: Mostly clear, with a low around 58. North northeast wind around 10 mph, with gusts as high as 20 mph.

THURSDAY: Sunny, with a high near 74. Northeast wind 10 to 15 mph, with gusts as high as 20 mph.

THURSDAY NIGHT: Mostly clear, with a low around 52.

FRIDAY: Sunny, with a high near 80.

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FRIDAY NIGHT: Mostly clear, with a low around 56.





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