Bill Text: IL HB2128 | 2019-2020 | 101st General Assembly | Introduced
Bill Title: Amends the Illinois Income Tax Act. Creates an income tax credit for taxpayers who replace a lead water service pipe with a copper water service pipe at a qualified residence. Provides that the credit shall be equal to the lesser of (i) 25% of the cost of replacing the lead water service pipes in each taxable year for which the credit is taken or (ii) $2,500 in each such taxable year. Provides that the credit may be taken for the taxable year in which the pipes are replaced and in each of the next 3 consecutive years. Provides that the term "qualified residence" means a single family residence that is owned and occupied by the taxpayer as his or her primary residence. Effective immediately.
Spectrum: Partisan Bill (Democrat 8-0)
Status: (Introduced - Dead) 2020-05-22 - Added Co-Sponsor Rep. Jonathan "Yoni" Pizer [HB2128 Detail]
Download: Illinois-2019-HB2128-Introduced.html
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1 | AN ACT concerning revenue.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 5. The Illinois Income Tax Act is amended by adding | ||||||||||||||||||||||||
5 | Section 229 as follows:
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6 | (35 ILCS 5/229 new) | ||||||||||||||||||||||||
7 | Sec. 229. Credit for lead pipe removal. | ||||||||||||||||||||||||
8 | (a) For taxable years beginning on or after January 1, | ||||||||||||||||||||||||
9 | 2019, each taxpayer who replaces a lead water service pipe with | ||||||||||||||||||||||||
10 | a copper water service pipe at a qualified residence is | ||||||||||||||||||||||||
11 | entitled to a credit against the tax imposed by subsections (a) | ||||||||||||||||||||||||
12 | and (b) of Section 201 in an amount equal to the lesser of (i) | ||||||||||||||||||||||||
13 | 25% of the cost of replacing the lead water service pipes in | ||||||||||||||||||||||||
14 | each taxable year for which the credit is taken or (ii) $2,500 | ||||||||||||||||||||||||
15 | in each such taxable year. The credit may be taken in the | ||||||||||||||||||||||||
16 | taxable year in which the pipes are replaced and in each of the | ||||||||||||||||||||||||
17 | next 3 consecutive years. The credit may not be taken if the | ||||||||||||||||||||||||
18 | pipe is replaced prior to January 1, 2019. | ||||||||||||||||||||||||
19 | (b) In no event shall a credit under this Section reduce | ||||||||||||||||||||||||
20 | the taxpayer's liability to less than zero. If the amount of | ||||||||||||||||||||||||
21 | the credit exceeds the tax liability for the year, the excess | ||||||||||||||||||||||||
22 | may be carried forward and applied to the tax liability of the | ||||||||||||||||||||||||
23 | 5 taxable years following the excess credit year. The tax |
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1 | credit shall be applied to the earliest year for which there is | ||||||
2 | a tax liability. If there are credits for more than one year | ||||||
3 | that are available to offset a liability, the earlier credit | ||||||
4 | shall be applied first. | ||||||
5 | (c) As used in this Section, "qualified residence" means a | ||||||
6 | single family residence that is owned and occupied by the | ||||||
7 | taxpayer as his or her primary residence.
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8 | Section 99. Effective date. This Act takes effect upon | ||||||
9 | becoming law.
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