103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
SB3104
 
Introduced 2/2/2024, by Sen. Jil Tracy
 
SYNOPSIS AS INTRODUCED:
 
35 ILCS 5/241 new
    Amends the Illinois Income Tax Act. Creates a child care credit in an amount equal to 25% of the federal tax credit for each qualifying child. Effective immediately.


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A BILL FOR
 
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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 
5adding Section 241 as follows:
 
6    (35 ILCS 5/241 new)
7    Sec. 241. Child care credit.
8    (a) For taxable years beginning on or after January 1, 
92025, each qualified individual taxpayer is entitled to a 
10credit against the tax imposed by subsections (a) and (b) of 
11Section 201 in an amount equal to 25% of the federal tax credit 
12allowed to the taxpayer for each qualifying child for the 
13taxable year under Section 24 of the federal Internal Revenue 
14Code.
15    For a non-resident or part-year resident, the amount of 
16the credit under this Section shall be in proportion to the 
17amount of income attributable to this State. 
18    (b) If the amount of the credit exceeds the income tax 
19liability for the applicable tax year, then the excess credit 
20shall be refunded to the taxpayer. The amount of any refunded 
21credit under this Section shall not be included in the 
22taxpayer's income or resources for the purposes of determining 
23eligibility or benefit level in any means-tested benefit 
 
 
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1program administered by a governmental entity, unless required 
2by federal law. 
3    (c) For purposes of this Section:
4        "Qualified individual taxpayer" means a taxpayer who 
5    may claim one or more qualifying children as dependents 
6    and whose federal adjusted gross income is less than or 
7    equal to the threshold amount, as defined in Section 24 of 
8    the Internal Revenue Code. 
9        "Qualifying child" means a child who is 13 years of 
10    age or younger and who may be claimed as a dependent on the 
11    taxpayer's federal income tax return under the Internal 
12    Revenue Code. 
13    (d) This Section is exempt from the provisions of Section 
14250. 
 
15    Section 99. Effective date. This Act takes effect upon 
16becoming law.