101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
HB4902

 

Introduced 2/18/2020, by Rep. Joyce Mason

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 5/232 new

    Amends the Illinois Income Tax Act. Creates an income tax credit in an amount equal to any investment made by the taxpayer during the taxable year for the installation or operation of an anaerobic digester. Effective immediately.


LRB101 17231 HLH 66635 b

FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB4902LRB101 17231 HLH 66635 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 adding
5Section 232 as follows:
 
6    (35 ILCS 5/232 new)
7    Sec. 232. Anaerobic digester credit.
8    (a) For taxable years ending on or after December 31, 2020,
9each taxpayer is entitled to a credit against the tax imposed
10by subsections (a) and (b) of Section 201 in an amount equal to
11any investment made by the taxpayer during the taxable year for
12the installation or operation of an anaerobic digester.
13    (b) In no event shall a credit under this Section reduce
14the taxpayer's liability to less than zero. If the amount of
15the credit exceeds the tax liability for the year, the excess
16may be carried forward and applied to the tax liability of the
175 taxable years following the excess credit year. The tax
18credit shall be applied to the earliest year for which there is
19a tax liability. If there are credits for more than one year
20that are available to offset a liability, the earlier credit
21shall be applied first.
22    (c) For partners, shareholders of Subchapter S
23corporations, and members of limited liability companies, if

 

 

HB4902- 2 -LRB101 17231 HLH 66635 b

1the liability company is treated as a partnership for purposes
2of federal and State income taxation, there shall be allowed a
3credit under this Section to be determined in accordance with
4the determination of income and distributive share of income
5under Sections 702 and 704 and Subchapter S of the Internal
6Revenue Code.
7    (d) As used in this Section an "anaerobic digester" is a
8sealed environment or facility where organic food waste is
9broken down to produce methane and carbon dioxide for use as a
10renewable energy source.
11    (e) This Section is exempt from the provisions of Section
12250.
 
13    Section 99. Effective date. This Act takes effect upon
14becoming law.