102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB3091

 

Introduced 2/19/2021, by Rep. Sonya M. Harper

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 5/232 new

    Amends the Illinois Income Tax Act. Creates an income tax credit for taxpayers who open and operate a supermarket or grocery store in a food desert community designated by the Department of Commerce and Economic Opportunity. Provides that the credit shall be in an amount equal to the total amount the taxpayer is assessed in property taxes for the location at which the supermarket or grocery store is located during the full taxable year that the supermarket or grocery store is open for business to the public. Effective immediately.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB3091LRB102 14209 HLH 19561 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
5adding Section 232 as follows:
 
6    (35 ILCS 5/232 new)
7    Sec. 232. Food desert elimination credit.
8    (a) By July 1, 2021, the Department of Commerce and
9Economic Opportunity shall designate not more than 75 separate
10geographic areas throughout the State as food desert
11communities. The Department of Commerce and Economic
12Opportunity shall develop criteria for the designation of food
13desert communities, but each separate food desert community
14shall consist of a distinct geographic area with a single
15defined border. The criteria shall, at a minimum, incorporate
16analysis of municipal or census tract population size and
17population density, municipal or census tract poverty
18statistics, food desert information from the United States
19Department of Agriculture's Economic Research Service, and
20healthier food retail tract information from the federal
21Centers for Disease Control and Prevention.
22    (b) For taxable years beginning on and after January 1,
232022 and beginning prior to January 1, 2025, the first

 

 

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1taxpayer to open and operate a supermarket or grocery store in
2a food desert community on or after the date the food desert
3community is established under subsection (a) is entitled to a
4credit against the taxes imposed by subsections (a) and (b) of
5Section 201 in an amount equal to the total amount the taxpayer
6is assessed in property taxes for the location at which the
7supermarket or grocery store is located during the full
8taxable year that the supermarket or grocery store is open for
9business to the public.
10    (c) In no event shall a credit under this Section reduce a
11taxpayer's liability to less than zero. If the amount of
12credit exceeds the tax liability for the year, the excess may
13be carried forward and applied to the tax liability for the 5
14taxable years following the excess credit year. The tax credit
15shall be applied to the earliest year for which there is a tax
16liability. If there are credits for more than one year that are
17available to offset liability, the earlier credit shall be
18applied first.
19    (d) For partners, shareholders of Subchapter S
20corporations, and owners of limited liability companies, if
21the liability company is treated as a partnership for the
22purposes of federal and State income taxation, there shall be
23allowed a credit under this Section to be determined in
24accordance with the determination of income and distributive
25share of income under Sections 702 and 704 and Subchapter S of
26the Internal Revenue Code.

 

 

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1    (e) As used in this Section:
2    "Food desert community" means a physically contiguous area
3in the State in which residents have limited access to
4nutritious foods, such as fresh fruits and vegetables, through
5supermarkets and grocery stores.
6    "Supermarket or grocery store" means a retail facility of
7at least 18,000 square feet, of which at least 90 percent is
8occupied by a full-service supermarket or grocery store.
 
9    Section 99. Effective date. This Act takes effect upon
10becoming law.