HB3900 99TH GENERAL ASSEMBLY

LRB099 07892 HLH 28032 b

99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
HB3900

Introduced , by Rep. John D. Anthony

SYNOPSIS AS INTRODUCED:

35 ILCS 5/224 new

Amends the Illinois Income Tax Act. Creates an income tax credit for the purchase of qualified farm equipment in an amount equal to 10% of the purchase price of the farm equipment. Effective immediately.

FISCAL NOTE ACT MAY APPLY

A BILL FOR

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 the purchase of farm equipment.

(a) Notwithstanding any other provision of law, for taxable years beginning on or after January 1, 2016 and ending on or before December 31, 2021, each taxpayer who makes a purchase of qualified farm equipment during the taxable year for that taxpayer's own use and not for resale is entitled to a credit against the tax imposed by subsections (a) and (b) of Section 201 in an amount equal to 10% of the purchase price of the farm equipment.

(b) In no event may a credit under this Section reduce the taxpayer's liability to less than zero. The credit may not be carried forward or back.

(c) For the purposes of this Section, "farm equipment" means new or used machinery or equipment purchased in Illinois, which is used primarily for agriculture and has a minimum purchase price of $100,000, including, but not limited to, tractors, harvesters, sprayers, planters, seeders, spreaders, computers, monitors, sensors, and associated software, and other equipment designated as farm equipment by the Department by rule.

Section 99. Effective date. This Act takes effect upon becoming law.