98TH GENERAL ASSEMBLY
State of Illinois
2013 and 2014
HB4470

 

Introduced , by Rep. Dwight Kay

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 5/909  from Ch. 120, par. 9-909

    Amends the Illinois Income Tax Act. Provides that a taxpayer may carry forward a tax refund to the following taxable year. Provides that income tax return forms shall contain appropriate explanations and spaces to enable the taxpayer to elect to carry forward their refund to the following taxable year.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB4470LRB098 17114 HLH 52201 b

1    AN ACT concerning revenue.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Income Tax Act is amended by
5changing Section 909 as follows:
 
6    (35 ILCS 5/909)  (from Ch. 120, par. 9-909)
7    Sec. 909. Credits and Refunds.
8    (a) In general. In the case of any overpayment, the
9Department, within the applicable period of limitations for a
10claim for refund, may credit the amount of such overpayment,
11including any interest allowed thereon, against any liability
12in respect of the tax imposed by this Act, regardless of
13whether other collection remedies are closed to the Department
14on the part of the person who made the overpayment and shall
15refund any balance to such person. A taxpayer may carry forward
16an amount refunded under this Section to the following taxable
17year. The Department shall print, on its income tax return
18forms, appropriate explanations and spaces to enable the
19taxpayer to elect to carry forward their refund to the
20following taxable year.
21    (b) Credits against estimated tax. The Department may
22prescribe regulations providing for the crediting against the
23estimated tax for any taxable year of the amount determined by

 

 

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1the taxpayer or the Department to be an overpayment of the tax
2imposed by this Act for a preceding taxable year.
3    (c) Interest on overpayment. Interest shall be allowed and
4paid at the rate and in the manner prescribed in Section 3-2 of
5the Uniform Penalty and Interest Act upon any overpayment in
6respect of the tax imposed by this Act. For purposes of this
7subsection, no amount of tax, for any taxable year, shall be
8treated as having been paid before the date on which the tax
9return for such year was due under Section 505, without regard
10to any extension of the time for filing such return.
11    (d) Refund claim. Every claim for refund shall be filed
12with the Department in writing in such form as the Department
13may by regulations prescribe, and shall state the specific
14grounds upon which it is founded.
15    (e) Notice of denial. As soon as practicable after a claim
16for refund is filed, the Department shall examine it and either
17issue a notice of refund, abatement or credit to the claimant
18or issue a notice of denial. If the Department has failed to
19approve or deny the claim before the expiration of 6 months
20from the date the claim was filed, the claimant may
21nevertheless thereafter file with the Department a written
22protest in such form as the Department may by regulation
23prescribe, provided that, on or after July 1, 2013, protests
24concerning matters that are subject to the jurisdiction of the
25Illinois Independent Tax Tribunal shall be filed with the
26Illinois Independent Tax Tribunal and not with the Department.

 

 

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1If the protest is subject to the jurisdiction of the
2Department, the Department shall consider the claim and, if the
3taxpayer has so requested, shall grant the taxpayer or the
4taxpayer's authorized representative a hearing within 6 months
5after the date such request is filed.
6    On and after July 1, 2013, if the protest would otherwise
7be subject to the jurisdiction of the Illinois Independent Tax
8Tribunal, the claimant may elect to treat the Department's
9non-action as a denial of the claim by filing a petition to
10review the Department's administrative decision with the
11Illinois Independent Tax Tribunal, as provided by Section 910.
12    (f) Effect of denial. A denial of a claim for refund
13becomes final 60 days after the date of issuance of the notice
14of such denial except for such amounts denied as to which the
15claimant has filed a protest with the Department or a petition
16with the Illinois Independent Tax Tribunal, as provided by
17Section 910.
18    (g) An overpayment of tax shown on the face of an unsigned
19return shall be considered forfeited to the State if after
20notice and demand for signature by the Department the taxpayer
21fails to provide a signature and 3 years have passed from the
22date the return was filed. An overpayment of tax refunded to a
23taxpayer whose return was filed electronically shall be
24considered an erroneous refund under Section 912 of this Act
25if, after proper notice and demand by the Department, the
26taxpayer fails to provide a required signature document. A

 

 

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1notice and demand for signature in the case of a return
2reflecting an overpayment may be made by first class mail. This
3subsection (g) shall apply to all returns filed pursuant to
4this Act since 1969.
5    (h) This amendatory Act of 1983 applies to returns and
6claims for refunds filed with the Department on and after July
71, 1983.
8(Source: P.A. 97-507, eff. 8-23-11; 97-1129, eff. 8-28-12;
998-463, eff. 8-16-13.)