99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
HB2444

 

Introduced 2/17/2015, by Rep. Dwight Kay

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 5/909  from Ch. 120, par. 9-909

    Amends the Illinois Income Tax Act. Provides that a taxpayer may carry forward a tax refund to the following taxable year. Provides that income tax return forms shall contain appropriate explanations and spaces to enable the taxpayer to elect to carry forward their refund to the following taxable year.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB2444LRB099 03797 HLH 23810 b

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
5changing Section 909 as follows:
 
6    (35 ILCS 5/909)  (from Ch. 120, par. 9-909)
7    Sec. 909. Credits and Refunds.
8    (a) In general. In the case of any overpayment, the
9Department, within the applicable period of limitations for a
10claim for refund, may credit the amount of such overpayment,
11including any interest allowed thereon, against any liability
12in respect of the tax imposed by this Act, regardless of
13whether other collection remedies are closed to the Department
14on the part of the person who made the overpayment and shall
15refund any balance to such person or credit any balance to that
16person pursuant to an election under subsection (b) of this
17Section. A taxpayer may carry forward an amount refunded under
18this Section to the following taxable year. The Department
19shall print, on its income tax return forms, appropriate
20explanations and spaces to enable the taxpayer to elect to
21carry forward their refund to the following taxable year.
22    (b) Credits against estimated tax. The Department shall
23prescribe regulations providing for a taxpayer election on an

 

 

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1original return, an amended return, or otherwise for the
2crediting against the estimated tax for any taxable year of the
3amount determined by the taxpayer or the Department to be an
4overpayment of the tax imposed by this Act for a preceding
5taxable year.
6    (c) Interest on overpayment. Interest shall be allowed and
7paid at the rate and in the manner prescribed in Section 3-2 of
8the Uniform Penalty and Interest Act upon any overpayment in
9respect of the tax imposed by this Act. For purposes of this
10subsection, no amount of tax, for any taxable year, shall be
11treated as having been paid before the date on which the tax
12return for such year was due under Section 505, without regard
13to any extension of the time for filing such return.
14    (d) Refund claim. Every claim for refund shall be filed
15with the Department in writing in such form as the Department
16may by regulations prescribe, and shall state the specific
17grounds upon which it is founded.
18    (e) Notice of denial. As soon as practicable after a claim
19for refund is filed, the Department shall examine it and either
20issue a notice of refund, abatement or credit to the claimant
21or issue a notice of denial. If the Department has failed to
22approve or deny the claim before the expiration of 6 months
23from the date the claim was filed, the claimant may
24nevertheless thereafter file with the Department a written
25protest in such form as the Department may by regulation
26prescribe, provided that, on or after July 1, 2013, protests

 

 

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1concerning matters that are subject to the jurisdiction of the
2Illinois Independent Tax Tribunal shall be filed with the
3Illinois Independent Tax Tribunal and not with the Department.
4If the protest is subject to the jurisdiction of the
5Department, the Department shall consider the claim and, if the
6taxpayer has so requested, shall grant the taxpayer or the
7taxpayer's authorized representative a hearing within 6 months
8after the date such request is filed.
9    On and after July 1, 2013, if the protest would otherwise
10be subject to the jurisdiction of the Illinois Independent Tax
11Tribunal, the claimant may elect to treat the Department's
12non-action as a denial of the claim by filing a petition to
13review the Department's administrative decision with the
14Illinois Independent Tax Tribunal, as provided by Section 910.
15    (f) Effect of denial. A denial of a claim for refund
16becomes final 60 days after the date of issuance of the notice
17of such denial except for such amounts denied as to which the
18claimant has filed a protest with the Department or a petition
19with the Illinois Independent Tax Tribunal, as provided by
20Section 910.
21    (g) An overpayment of tax shown on the face of an unsigned
22return shall be considered forfeited to the State if after
23notice and demand for signature by the Department the taxpayer
24fails to provide a signature and 3 years have passed from the
25date the return was filed. An overpayment of tax refunded to a
26taxpayer whose return was filed electronically shall be

 

 

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1considered an erroneous refund under Section 912 of this Act
2if, after proper notice and demand by the Department, the
3taxpayer fails to provide a required signature document. A
4notice and demand for signature in the case of a return
5reflecting an overpayment may be made by first class mail. This
6subsection (g) shall apply to all returns filed pursuant to
7this Act since 1969.
8    (h) This amendatory Act of 1983 applies to returns and
9claims for refunds filed with the Department on and after July
101, 1983.
11(Source: P.A. 97-507, eff. 8-23-11; 97-1129, eff. 8-28-12;
1298-463, eff. 8-16-13; 98-925, eff. 1-1-15.)