In most state capitals "happy days" have come again, not in Illinois

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Many states are seeing state revenue surpluses and are putting them to good use, paying down debt, mitigating cuts in services and reducing taxes. But not in Illinois, where the Democrat-controlled legislature and governor's office are looking to raise taxes. 

From Reid Wilson's  recent Washington Post article:

Florida lawmakers will consider a plan this week to reduce license plate fees by up to $30 for every car. Wisconsin legislators are expected to cut half a billion dollars in property and income taxes, while Iowa has already passed billions in tax cuts.

Across the country, state lawmakers and governors who had grown accustomed to recession-era budget shortfalls and politically painful cuts to schools, roads and other services are once again flush with cash. Now, they are debating whether to give some of it back to the taxpayers, spend it or save it for another rainy day.

The new surpluses are the result of a booming stock market, which has fueled a surge in personal income tax revenue in some states while boosting sales tax receipts in others. In California alone, the initial public offerings of Facebook and Twitter, which created hundreds of new millionaires and billionaires, pumped up to $3 billion into state coffers from capital gains taxes. Read more from the Washington Post.