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SB3658 Engrossed |
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LRB096 20358 HLH 35995 b |
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| AN ACT concerning revenue.
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| Be it enacted by the People of the State of Illinois, |
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| represented in the General Assembly:
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| Section 5. The Illinois Income Tax Act is amended by adding |
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| Section 219 as follows:
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| (35 ILCS 5/219 new) |
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| Sec. 219. Credit for rehabilitation of vacant buildings. |
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| (a) For taxable years beginning on or after January 1, |
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| 2010, each taxpayer who is the owner or tenant of a building |
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| that (i) is located in an Enterprise Zone, River Edge |
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| Redevelopment Zone, or federally designated Foreign Trade Zone |
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| or Sub-Zone, (ii) is at least 20 years old, and (iii) has been |
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| unoccupied for a period of 2 consecutive years at any point |
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| during the taxable year is allowed a credit against the tax |
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| imposed by subsections (a) and (b) of Section 201 in an amount |
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| equal to (i) 25% of the aggregate qualified expenditures made |
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| by the taxpayer during the taxable year for the purpose of |
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| rehabilitating the building or (ii) $50,000 per building, |
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| whichever is less. |
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| (b) Any taxpayer who is allowed a credit for costs incurred |
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| in the rehabilitation of property pursuant to the provisions of |
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| Section 38 of the federal Internal Revenue Code of 1986, as |
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| amended, shall not be allowed a credit under this Section. |
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SB3658 Engrossed |
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LRB096 20358 HLH 35995 b |
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| (c) If the amount of the credit exceeds the taxpayer's |
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| liability for that year, whether it exceeds the original |
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| liability or the liability as later amended, that excess may be |
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| carried forward and applied to the tax liability of the 5 |
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| taxable years following the excess credit year. The credit |
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| shall be applied to the earliest year for which there is a |
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| liability. If there is a credit from more than one tax year |
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| that is available to offset a liability, then the earlier |
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| credit shall be applied first. |
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| (d) For the purposes of this Section, the following terms |
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| have the following meanings: |
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| "Qualified expenditures" means expenditures associated |
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| with any exterior improvements, structural improvements, |
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| mechanical improvements, or electrical improvements necessary |
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| to rehabilitate for commercial or industrial business use a |
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| building that meets the requirements established in subsection |
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| (a) of this Section. |
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| "Qualified expenditures" also includes, but is not limited |
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| to, expenditures associated with demolition, carpentry, |
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| sheetrock, plaster, painting, ceilings, fixtures, doors, |
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| windows, sprinkler systems installed for fire protection |
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| purposes, roofing and flashing, exterior repair, tuckpointing, |
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| and cleanup. |
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| "Qualified expenditures" does not include expenditures |
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| commonly referred to as soft costs, which include, but are not |
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| limited to, costs associated with appraisals; architectural, |
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SB3658 Engrossed |
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LRB096 20358 HLH 35995 b |
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| engineering, and interior design fees; legal, accounting, and |
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| realtor fees; loan fees; sales and marketing; closing; building |
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| permit, use, and inspection fees; bids; insurance; project |
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| signs and phones; temporary power; bid bonds; copying; rent |
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| loss during construction; costs included with acquisition; |
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| interior furnishings; new additions except as may be required |
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| to comply with building and safety codes; excavation; grading; |
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| paving; landscaping; and repairs to outbuildings. |
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| "Business" means a for-profit legal entity, including, but |
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| not limited to, any sole proprietorship, partnership, |
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| corporation, joint venture, association, or cooperative. |
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| (e) Taxpayers claiming the credit allowed by this Section |
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| shall furnish the Zone Administrator with copies of any |
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| receipts, bills, or other documentation of the qualified |
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| expenditures claimed for the purpose of this credit for |
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| certification by the Zone Administrator. Any form filed with |
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| the Department of Revenue for the purpose of claiming a credit |
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| under this Section shall be accompanied by a copy of the |
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| certification of qualified expenditures furnished to the |
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| taxpayer by the Zone Administrator. The taxpayer shall make |
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| available to the Department of Revenue, upon request, copies of |
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| any receipts, bills, or other documentation of any qualified |
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| expenditures claimed by the taxpayer for the purpose of this |
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| credit. |
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| (f) This Section is exempt from the provisions of Section |
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| 250.
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