95TH GENERAL ASSEMBLY
State of Illinois
2007 and 2008
SB1287

 

Introduced 2/9/2007, by Sen. Don Harmon

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 5/204   from Ch. 120, par. 2-204

    Amends the Illinois Income Tax Act. Increases the basic amount of the standard exemption, annually, by the percentage increase in the Consumer Price Index for the previous calendar year. Effective immediately.


LRB095 10906 RCE 31192 b

FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

SB1287 LRB095 10906 RCE 31192 b

1     AN ACT concerning revenue.
 
2     Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
 
4     Section 5. The Illinois Income Tax Act is amended by
5 changing Section 204 as follows:
 
6     (35 ILCS 5/204)  (from Ch. 120, par. 2-204)
7     Sec. 204. Standard Exemption.
8     (a) Allowance of exemption. In computing net income under
9 this Act, there shall be allowed as an exemption the sum of the
10 amounts determined under subsections (b), (c) and (d),
11 multiplied by a fraction the numerator of which is the amount
12 of the taxpayer's base income allocable to this State for the
13 taxable year and the denominator of which is the taxpayer's
14 total base income for the taxable year.
15     (b) Basic amount. For the purpose of subsection (a) of this
16 Section, except as provided by subsection (a) of Section 205
17 and in this subsection, each taxpayer shall be allowed a basic
18 amount of $1000, except that for corporations the basic amount
19 shall be zero for tax years ending on or after December 31,
20 2003, and for individuals the basic amount shall be:
21         (1) for taxable years ending on or after December 31,
22     1998 and prior to December 31, 1999, $1,300;
23         (2) for taxable years ending on or after December 31,

 

 

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1     1999 and prior to December 31, 2000, $1,650;
2         (3) for taxable years ending on or after December 31,
3     2000 and prior to December 31, 2007, $2,000; and
4         (4) for taxable years ending on or after December 31,
5     2007, the basic amount of the previous taxable year
6     increased by the annual rate of increase, for the previous
7     calendar year, of the Consumer Price Index for All Urban
8     Consumers for all items, published by the United States
9     Bureau of Labor Statistics.
10 For taxable years ending on or after December 31, 1992, a
11 taxpayer whose Illinois base income exceeds the basic amount
12 and who is claimed as a dependent on another person's tax
13 return under the Internal Revenue Code of 1986 shall not be
14 allowed any basic amount under this subsection.
15     (c) Additional amount for individuals. In the case of an
16 individual taxpayer, there shall be allowed for the purpose of
17 subsection (a), in addition to the basic amount provided by
18 subsection (b), an additional exemption equal to the basic
19 amount for each exemption in excess of one allowable to such
20 individual taxpayer for the taxable year under Section 151 of
21 the Internal Revenue Code.
22     (d) Additional exemptions for an individual taxpayer and
23 his or her spouse. In the case of an individual taxpayer and
24 his or her spouse, he or she shall each be allowed additional
25 exemptions as follows:
26         (1) Additional exemption for taxpayer or spouse 65

 

 

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1     years of age or older.
2             (A) For taxpayer. An additional exemption of
3         $1,000 for the taxpayer if he or she has attained the
4         age of 65 before the end of the taxable year.
5             (B) For spouse when a joint return is not filed. An
6         additional exemption of $1,000 for the spouse of the
7         taxpayer if a joint return is not made by the taxpayer
8         and his spouse, and if the spouse has attained the age
9         of 65 before the end of such taxable year, and, for the
10         calendar year in which the taxable year of the taxpayer
11         begins, has no gross income and is not the dependent of
12         another taxpayer.
13         (2) Additional exemption for blindness of taxpayer or
14     spouse.
15             (A) For taxpayer. An additional exemption of
16         $1,000 for the taxpayer if he or she is blind at the
17         end of the taxable year.
18             (B) For spouse when a joint return is not filed. An
19         additional exemption of $1,000 for the spouse of the
20         taxpayer if a separate return is made by the taxpayer,
21         and if the spouse is blind and, for the calendar year
22         in which the taxable year of the taxpayer begins, has
23         no gross income and is not the dependent of another
24         taxpayer. For purposes of this paragraph, the
25         determination of whether the spouse is blind shall be
26         made as of the end of the taxable year of the taxpayer;

 

 

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1         except that if the spouse dies during such taxable year
2         such determination shall be made as of the time of such
3         death.
4             (C) Blindness defined. For purposes of this
5         subsection, an individual is blind only if his or her
6         central visual acuity does not exceed 20/200 in the
7         better eye with correcting lenses, or if his or her
8         visual acuity is greater than 20/200 but is accompanied
9         by a limitation in the fields of vision such that the
10         widest diameter of the visual fields subtends an angle
11         no greater than 20 degrees.
12     (e) Cross reference. See Article 3 for the manner of
13 determining base income allocable to this State.
14     (f) Application of Section 250. Section 250 does not apply
15 to the amendments to this Section made by Public Act 90-613.
16 (Source: P.A. 93-29, eff. 6-20-03.)
 
17     Section 99. Effective date. This Act takes effect upon
18 becoming law.