Bill Text: IL HB1257 | 2023-2024 | 103rd General Assembly | Introduced

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Bill Title: Amends the Invest in Kids Act. Provides that, for taxable years beginning on or after January 1, 2023, the credit shall be equal to 100% (rather than 75%) of the total amount of qualified contributions made by the taxpayer during the taxable year, not to exceed a credit of $1,000,000 per taxpayer. Effective immediately.

Spectrum: Moderate Partisan Bill (Republican 6-1)

Status: (Introduced) 2023-10-04 - Added Co-Sponsor Rep. Michael J. Coffey, Jr. [HB1257 Detail]

Download: Illinois-2023-HB1257-Introduced.html

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103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB1257 Introduced , by Rep. Joe Sosnowski SYNOPSIS AS INTRODUCED:
35 ILCS 40/10
Amends the Invest in Kids Act. Provides that, for taxable years beginning on or after January 1, 2023, the credit shall be equal to 100% (rather than 75%) of the total amount of qualified contributions made by the taxpayer during the taxable year, not to exceed a credit of $1,000,000 per taxpayer. Effective immediately.
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A BILL FOR
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AN ACT concerning revenue.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Invest in Kids Act is amended by changing
Section 10 as follows:
(35 ILCS 40/10)
(Section scheduled to be repealed on January 1, 2025)
Sec. 10. Credit awards.
(a) The Department shall award credits against the tax
imposed under subsections (a) and (b) of Section 201 of the
Illinois Income Tax Act to taxpayers who make qualified
contributions. For taxable years ending on or before December
31, 2022, for For contributions made under this Act, the
credit shall be equal to 75% of the total amount of qualified
contributions made by the taxpayer during a taxable year, not
to exceed a credit of $1,000,000 per taxpayer. For taxable
years beginning on or after January 1, 2023, for contributions
made under this Act, the credit shall be equal to 100% of the
total amount of qualified contributions made by the taxpayer
during a taxable year, not to exceed a credit of $1,000,000 per
taxpayer.
(b) The aggregate amount of all credits the Department may
award under this Act in any calendar year may not exceed

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$75,000,000.
(c) Contributions made by corporations (including
Subchapter S corporations), partnerships, and trusts under
this Act may not be directed to a particular subset of schools,
a particular school, a particular group of students, or a
particular student. Contributions made by individuals under
this Act may be directed to a particular subset of schools or a
particular school but may not be directed to a particular
group of students or a particular student.
(d) No credit shall be taken under this Act for any
qualified contribution for which the taxpayer claims a federal
income tax deduction.
(e) Credits shall be awarded in a manner, as determined by
the Department, that is geographically proportionate to
enrollment in recognized non-public schools in Illinois. If
the cap on the aggregate credits that may be awarded by the
Department is not reached by June 1 of a given year, the
Department shall award remaining credits on a first-come,
first-served basis, without regard to the limitation of this
subsection.
(f) Credits awarded for donations made to a technical
academy shall be awarded without regard to subsection (e), but
shall not exceed 15% of the annual statewide program cap. For
the purposes of this subsection, "technical academy" means a
technical academy that is registered with the Board within 30
days after the effective date of this amendatory Act of the

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102nd General Assembly.
(Source: P.A. 102-16, eff. 6-17-21.)
Section 99. Effective date. This Act takes effect upon
becoming law.