Public Act 095-0648
 		





HB1242 Enrolled
LRB095 09201 BDD 29394 b






    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 
changing Section 210.5 as follows:
 



    (35 ILCS 5/210.5)



    Sec. 210.5. Tax credit for employee child care. 

    (a) Each corporate taxpayer is entitled
to a credit against 
the tax imposed by subsections (a) and (b) of Section 201
in an 
amount equal to (i) for taxable years ending on or after 
December 31,
2000 and on or before December 31, 2004 and for 
taxable years ending on or after December 31, 2007, 30% of the 
start-up costs expended by
the corporate taxpayer to provide a 
child care
facility for the children of its employees and
(ii) 
for taxable years ending on or after December 31, 2000, 5% of 
the annual
amount paid
by the corporate taxpayer in providing 
the child care facility for the children
of its employees.  The 
provisions of Section 250 do not apply to the credits allowed 
under this Section
5% credit
under item (ii) of this 
subsection.  If the 5% credit authorized under item
(ii) of this 
subsection is claimed, the 5% credit authorized under Section 
210
cannot also be claimed.

    To receive the tax credit under this Section a corporate 
taxpayer may either
independently provide and operate a child 
care facility for the children of its
employees or it may join 
in a partnership with one or more other corporations
to jointly 
provide and operate a child care facility for the children of

employees of the corporations in the partnership.

    (b) 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.

    (c) As used in this Section, "start-up costs" means 
planning,
site-preparation, construction, renovation, or 
acquisition of a child care
facility.  As used in this Section, 
"child care facility" is limited to a child
care facility 
located in Illinois.

    (d) A corporate taxpayer claiming the credit provided by 
this Section
shall maintain and record such information as the 
Department may require by
rule regarding the child care 
facility for which the credit is claimed.

(Source: P.A. 91-930, eff. 12-15-00.)

 

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