100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018
HB0455

 

Introduced , by Rep. Mary E. Flowers

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 5/212

    Amends the Illinois Income Tax Act. Provides that, for taxable years beginning on or after January 1, 2017, the amount of the earned income tax credit shall be 12.5% (currently, 10%) of the federal tax credit. Effective immediately.


LRB100 04250 HLH 14256 b

FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB0455LRB100 04250 HLH 14256 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 212 as follows:
 
6    (35 ILCS 5/212)
7    Sec. 212. Earned income tax credit.
8    (a) With respect to the federal earned income tax credit
9allowed for the taxable year under Section 32 of the federal
10Internal Revenue Code, 26 U.S.C. 32, each individual taxpayer
11is entitled to a credit against the tax imposed by subsections
12(a) and (b) of Section 201 in an amount equal to (i) 5% of the
13federal tax credit for each taxable year beginning on or after
14January 1, 2000 and ending prior to December 31, 2012, (ii)
157.5% of the federal tax credit for each taxable year beginning
16on or after January 1, 2012 and ending prior to December 31,
172013, and (iii) 10% of the federal tax credit for each taxable
18year beginning on or after January 1, 2013 and beginning prior
19to January 1, 2017, and (iv) 12.5% of the federal tax credit
20for each taxable year beginning on or after January 1, 2017.
21    For a non-resident or part-year resident, the amount of the
22credit under this Section shall be in proportion to the amount
23of income attributable to this State.

 

 

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1    (b) For taxable years beginning before January 1, 2003, in
2no event shall a credit under this Section reduce the
3taxpayer's liability to less than zero. For each taxable year
4beginning on or after January 1, 2003, if the amount of the
5credit exceeds the income tax liability for the applicable tax
6year, then the excess credit shall be refunded to the taxpayer.
7The amount of a refund shall not be included in the taxpayer's
8income or resources for the purposes of determining eligibility
9or benefit level in any means-tested benefit program
10administered by a governmental entity unless required by
11federal law.
12    (c) This Section is exempt from the provisions of Section
13250.
14(Source: P.A. 97-652, eff. 6-1-12.)
 
15    Section 99. Effective date. This Act takes effect upon
16becoming law.