Bill Text: IL HB4636 | 2023-2024 | 103rd General Assembly | Engrossed

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Bill Title: Amends the Illinois Income Tax Act. In provisions concerning the credit for wages paid to returning citizens, provides that the total credit allowed to a taxpayer with respect to each qualified returning citizen may not exceed $1,500 for taxable years ending before December 31, 2025 (currently, December 31, 2024). Provides that the requirement that the returning citizen must be hired by the taxpayer within 5 years after being released from an Illinois adult correctional center (instead of 3 years) applies for taxable years beginning on or after January 1, 2025. Amends the Live Theater Production Tax Credit Act. Makes changes concerning the aggregate amount of credits that may be awarded to non-profit theater productions based on the annual operating budget of the production. Provides that provisions requiring the theater organization to show that the production would not occur in Illinois if not for the tax credit award do not apply to non-profit theaters. Amends the Music and Musicians Tax Credit and Jobs Act. Deletes provisions requiring the Department of Commerce and Economic Opportunity to approve base production-related investment in State-certified productions within 180 days or to report to specified legislative committees regarding why it has failed to do so. Authorizes a business that meets the criteria for certification as a qualified music company to apply for the credit established under the Act. Makes changes to criteria for the review of applications for qualified music company certificates. Provides that, for taxable years beginning on or after January 1, 2025, the Department of Commerce and Economic Opportunity shall determine the amount of the tax award to be provided under the Act (rather than may award tax credit awards to qualified music companies). Deletes a provision requiring the Department's qualified music program tax credit award evaluation to include: (1) an assessment of the effectiveness of the program in creating and retaining new jobs in Illinois; (2) an assessment of the revenue impact of the program; (3) in the discretion of the Department, a review of the practices and experiences of other states or nations with similar programs; and (4) an assessment of the overall success of the program. Deletes a provision authorizing the Department to make a recommendation to extend, modify, or not extend the tax credit program based on the evaluation. Amends the Use Tax Act and the Retailers' Occupation Tax Act. Provides that, with respect to the lease of trailers, lessors shall file returns in addition to and separate from transaction reporting returns. Provides that lessors shall file those lease returns and make payment to the Department of Revenue by electronic means on or before the 20th day of each month following the month, quarter, or year, in which lease receipts were received. Makes changes concerning prepaid calling arrangements. Amends the Illinois Municipal Code. Provides that a non-home rule municipality may use the proceeds of the municipal retailers' occupation tax or the municipal service occupation tax for municipal operations in addition to or in lieu of any expenditure on public infrastructure or for property tax relief. Amends the Tobacco Products Tax Act of 1995. Provides that licenses issued by the Department of Revenue under the Act shall be valid for a period not to exceed one year after issuance unless sooner revoked, canceled, or suspended. Effective immediately.

Spectrum: Partisan Bill (Democrat 3-0)

Status: (Enrolled) 2024-11-20 - Passed Both Houses [HB4636 Detail]

Download: Illinois-2023-HB4636-Engrossed.html

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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 Property Tax Code is amended by changing
Sections 9-45 and 11-15 as follows:
(35 ILCS 200/9-45)
Sec. 9-45. Property index number system. The county clerk
in counties of 3,000,000 or more inhabitants and, subject to
the approval of the county board, the chief county assessment
officer or recorder, in counties of less than 3,000,000
inhabitants, may establish a property index number system
under which property may be listed for purposes of assessment,
collection of taxes or automation of the office of the
recorder. The system may be adopted in addition to, or instead
of, the method of listing by legal description as provided in
Section 9-40. The system shall describe property by township,
section, block, and parcel or lot, and may cross-reference the
street or post office address, if any, and street code number,
if any. The county clerk, county treasurer, chief county
assessment officer or recorder may establish and maintain
cross indexes of numbers assigned under the system with the
complete legal description of the properties to which the
numbers relate. Index numbers shall be assigned by the county

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clerk in counties of 3,000,000 or more inhabitants, and, at
the direction of the county board in counties with less than
3,000,000 inhabitants, shall be assigned by the chief county
assessment officer or recorder. Tax maps of the county clerk,
county treasurer or chief county assessment officer shall
carry those numbers. The indexes shall be open to public
inspection and be made available to the public. Any property
index number system established prior to the effective date of
this Code shall remain valid. However, in counties with less
than 3,000,000 inhabitants, the system may be transferred to
another authority upon the approval of the county board.
Any real property used for a power generating or
automotive manufacturing facility located within a county of
less than 1,000,000 inhabitants, as to which litigation with
respect to its assessed valuation is pending or was pending as
of January 1, 1993, may be the subject of a real property tax
assessment settlement agreement among the taxpayer and taxing
districts in which it is situated. In addition, any real
property that is located in a county with fewer than 1,000,000
inhabitants and (i) is used for natural gas extraction and
fractionation or olefin and polymer manufacturing or (ii) is
used for a petroleum refinery and (ii) located within a county
of less than 1,000,000 inhabitants may be the subject of a real
property tax assessment settlement agreement among the
taxpayer and taxing districts in which the property is
situated if litigation is or was pending as to its assessed

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valuation as of January 1, 2003 or thereafter. Other
appropriate authorities, which may include county and State
boards or officials, may also be parties to such agreements.
Such agreements may include the assessment of the facility or
property for any years in dispute as well as for up to 10 years
in the future. Such agreements may provide for the settlement
of issues relating to the assessed value of the facility and
may provide for related payments, refunds, claims, credits
against taxes and liabilities in respect to past and future
taxes of taxing districts, including any fund created under
Section 20-35 of this Act, all implementing the settlement
agreement. Any such agreement may provide that parties thereto
agree not to challenge assessments as provided in the
agreement. An agreement entered into on or after January 1,
1993 may provide for the classification of property that is
the subject of the agreement as real or personal during the
term of the agreement and thereafter. It may also provide that
taxing districts agree to reimburse the taxpayer for amounts
paid by the taxpayer in respect to taxes for the real property
which is the subject of the agreement to the extent levied by
those respective districts, over and above amounts which would
be due if the facility were to be assessed as provided in the
agreement. Such reimbursement may be provided in the agreement
to be made by credit against taxes of the taxpayer. No credits
shall be applied against taxes levied with respect to debt
service or lease payments of a taxing district. No referendum

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approval or appropriation shall be required for such an
agreement or such credits and any such obligation shall not
constitute indebtedness of the taxing district for purposes of
any statutory limitation. The county collector shall treat
credited amounts as if they had been received by the collector
as taxes paid by the taxpayer and as if remitted to the
district. A county treasurer who is a party to such an
agreement may agree to hold amounts paid in escrow as provided
in the agreement for possible use for paying taxes until
conditions of the agreement are met and then to apply these
amounts as provided in the agreement. No such settlement
agreement shall be effective unless it shall have been
approved by the court in which such litigation is pending. Any
such agreement which has been entered into prior to adoption
of this amendatory Act of 1988 and which is contingent upon
enactment of authorizing legislation shall be binding and
enforceable.
(Source: P.A. 96-609, eff. 8-24-09.)
(35 ILCS 200/11-15)
Sec. 11-15. Method of valuation for pollution control
facilities. To determine 33 1/3% of the fair cash value of any
certified pollution control facility facilities in assessing
those facilities, the Department shall determine take into
consideration the actual or probable net earnings attributable
to the facilities in question, capitalized on the basis of

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their productive earning value to their owner; the probable
net value that which could be realized by its their owner if
the facility facilities were removed and sold at a fair,
voluntary sale, giving due account to the expense of removal
and condition of the particular facility facilities in
question; and other information as the Department may consider
as bearing on the fair cash value of the facilities to their
owner, consistent with the principles set forth in this
Section. For the purposes of this Code, earnings shall be
attributed to a pollution control facility only to the extent
that its operation results in the production of a commercially
saleable by-product or increases the production or reduces the
production costs of the products or services otherwise sold by
the owner of such facility. The assessed value of the facility
shall be 33/1/3% of the fair cash value of the facility.
(Source: P.A. 83-121; 88-455.)