Bill Text: IL HB3142 | 2013-2014 | 98th General Assembly | Introduced

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Bill Title: Amends the Illinois Income Tax Act. Provides that each taxpayer is entitled to a credit for each employee of the taxpayer who was (i) laid off by the taxpayer during calendar year 2012, (ii) employed by the taxpayer for at least one year prior to being laid off, (iii) rehired by the taxpayer during calendar year 2013, and (iv) retained by the taxpayer for a period of at least one year after being rehired. Provides that, if the employee was rehired on or before May 31, 2013, the taxpayer is entitled to a credit in an amount equal to 66% of the total taxes imposed on the employer with respect to that employee under the Federal Insurance Contribution Act during the 12-month period commencing with the date of rehire. Provides that, if the employee was rehired on or after June 1, 2013, the taxpayer is entitled to a credit in an amount equal to 33% of the total taxes imposed on the employer with respect to that employee under the Federal Insurance Contribution Act during the 12-month period commencing with the date of rehire. Provides that the credit may be carried forward. Provides that the credit is exempt from the Act's automatic sunset provision. Effective immediately.

Sponsorship: Partisan Bill (Democrat 1)

Status: (Failed) 2014-12-03 - Session Sine Die [HB3142 Detail]

Download: Illinois-2013-HB3142-Introduced.html

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98TH GENERAL ASSEMBLY State of Illinois 2013 and 2014 HB3142 Introduced , by Rep. Thaddeus Jones SYNOPSIS AS INTRODUCED:
35 ILCS 5/224 new
Amends the Illinois Income Tax Act. Provides that each taxpayer is entitled to a credit for each employee of the taxpayer who was (i) laid off by the taxpayer during calendar year 2012, (ii) employed by the taxpayer for at least one year prior to being laid off, (iii) rehired by the taxpayer during calendar year 2013, and (iv) retained by the taxpayer for a period of at least one year after being rehired. Provides that, if the employee was rehired on or before May 31, 2013, the taxpayer is entitled to a credit in an amount equal to 66% of the total taxes imposed on the employer with respect to that employee under the Federal Insurance Contribution Act during the 12-month period commencing with the date of rehire. Provides that, if the employee was rehired on or after June 1, 2013, the taxpayer is entitled to a credit in an amount equal to 33% of the total taxes imposed on the employer with respect to that employee under the Federal Insurance Contribution Act during the 12-month period commencing with the date of rehire. Provides that the credit may be carried forward. Provides that the credit is exempt from the Act's automatic sunset provision. Effective immediately.
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FISCAL NOTE ACT MAY APPLY
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 Illinois Income Tax Act is amended by adding
Section 224 as follows:
(35 ILCS 5/224 new)
Sec. 224. Credit for rehiring workers.
(a) For taxable years beginning on or after January 1, 2014
and prior to January 1, 2015, each taxpayer is entitled to a
credit against the tax imposed by subsections (a) and (b) of
Section 201 for each employee of the taxpayer who was (i) laid
off by the taxpayer during calendar year 2012, (ii) employed by
the taxpayer for at least one year prior to being laid off,
(iii) rehired by the taxpayer during calendar year 2013, and
(iv) retained by the taxpayer for a period of at least one year
after being rehired.
(b) If the employee was rehired on or before May 31, 2013,
the taxpayer is entitled to a credit in an amount equal to 66%
of the total taxes imposed on the employer with respect to that
employee under the Federal Insurance Contribution Act (26
U.S.C. 3111 (a) and (b)) during the 12-month period commencing
with the date of rehire.
(c) If the employee was rehired on or after June 1, 2013,

HB3142 - 2 - LRB098 07345 HLH 37408 b
the taxpayer is entitled to a credit in an amount equal to 33%
of the total taxes imposed on the employer with respect to that
employee under the Federal Insurance Contribution Act (26
U.S.C. 3111 (a) and (b)) during the 12-month period commencing
with the date of rehire.
(d) The tax credit may not reduce the taxpayer's liability
to less than zero. If the amount of the tax credit exceeds the
tax liability for the year, the excess may be carried forward
and applied to the tax liability of the 5 taxable years
following the excess credit year. The credit must be applied to
the earliest year for which there is a tax liability. If there
are credits from more than one tax year that are available to
offset a liability, then the earlier credit must be applied
first.
(e) This Section is exempt from the provisions of Section
250.
Section 99. Effective date. This Act takes effect upon
becoming law.