SB2811 93RD GENERAL ASSEMBLY

LRB093 20767 SJM 46666 b

93RD GENERAL ASSEMBLY
State of Illinois
2003 and 2004
SB2811

Introduced 2/5/2004, by Edward D. Maloney

SYNOPSIS AS INTRODUCED:

35 ILCS 5/216 new

Amends the Illinois Income Tax Act. Provides that, for 5 taxable years, each taxpayer is entitled to an income tax credit in the amount of 5% of the amount spent by the taxpayer in the taxable year for health insurance premiums for the taxpayer, the taxpayer's spouse, and dependents of the taxpayer. Provides that the tax credit may not reduce the taxpayer's liability to less than zero and may not be carried forward or back. Effective July 1, 2004.

FISCAL NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning taxes.

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 216 as follows:

(35 ILCS 5/216 new)

Sec. 216. Assistive devices tax credit.

(a) Beginning with taxable years ending on or after December 31, 2004 and on or before December 30, 2009, each taxpayer is entitled to a credit against the tax imposed by subsections (a) and (b) of Section 201 in the amount of 5% of the amount spent by the taxpayer in the taxable year for health insurance premiums for the taxpayer, the taxpayer's spouse, and any person, excluding the taxpayer and his or her spouse, for whom the taxpayer is authorized to claim an additional exemption under subsection (c) of Section 204. The Department shall establish by rule those expenses that are eligible for the credit under this Section.

(b) The tax credit may not reduce the taxpayer's liability to less than zero. If the amount of the credit exceeds the tax liability for the year, the excess may not be carried forward or back to apply to the tax liability of any taxable year other than the excess credit year.

Section 99. Effective date. This Act takes effect July 1, 2004.