Bill Text: IL SB2523 | 2017-2018 | 100th General Assembly | Introduced
Bill Title: Amends the Illinois Income Tax Act. Provides that each taxpayer who is employed by a business that would qualify as a federal HUBZone small business concern but for the fact that fewer than 35% of its employees reside within a federal HUBZone is eligible for an income tax credit in the amount of $500 if the employee first moves into a federal HUBZone during the taxable year. Effective immediately.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Failed) 2019-01-09 - Session Sine Die [SB2523 Detail]
Download: Illinois-2017-SB2523-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 227 as follows:
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6 | (35 ILCS 5/227 new) | ||||||||||||||||||||||||
7 | Sec. 227. HUBZone employee credit. | ||||||||||||||||||||||||
8 | (a) For taxable years beginning on or after January 1, | ||||||||||||||||||||||||
9 | 2018, each taxpayer who is employed by a business that would | ||||||||||||||||||||||||
10 | qualify as a federal HUBZone small business concern but for the | ||||||||||||||||||||||||
11 | fact that fewer than 35% of its employees reside within a | ||||||||||||||||||||||||
12 | federal HUBZone is eligible for a credit against the taxes | ||||||||||||||||||||||||
13 | imposed under subsections (a) and (b) of Section 201 of this | ||||||||||||||||||||||||
14 | Act in the amount of $500 if the employee first moves into a | ||||||||||||||||||||||||
15 | federal HUBZone during the taxable year. | ||||||||||||||||||||||||
16 | (b) In no event shall a credit under this Section reduce | ||||||||||||||||||||||||
17 | the taxpayer's liability to less than zero. If the amount of | ||||||||||||||||||||||||
18 | the credit exceeds the tax liability for the year, the excess | ||||||||||||||||||||||||
19 | may be carried forward and applied to the tax liability of the | ||||||||||||||||||||||||
20 | 5 taxable years following the excess credit year. The tax | ||||||||||||||||||||||||
21 | credit shall be applied to the earliest year for which there is | ||||||||||||||||||||||||
22 | a tax liability. If there are credits for more than one year | ||||||||||||||||||||||||
23 | that are available to offset a liability, the earlier credit |
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1 | shall be applied first. | ||||||
2 | (c) As used in this Section, "federal HUBZone" means an | ||||||
3 | area designated as a HUBZone under the federal Historically | ||||||
4 | Underutilized Business Zones program. | ||||||
5 | (d) This Section is exempt from the provisions of Section | ||||||
6 | 250.
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7 | Section 99. Effective date. This Act takes effect upon | ||||||
8 | becoming law.
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