HB2887 102ND GENERAL ASSEMBLY

LRB102 11472 HLH 16806 b

102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB2887

Introduced 2/19/2021, by Rep. Adam Niemerg

SYNOPSIS AS INTRODUCED:

35 ILCS 5/806
5 ILCS 100/5-45.8 new

Amends the Illinois Income Tax Act. Provides that a taxpayer who notifies the Department of Revenue that the taxpayer would face financial hardship in the payment of estimated taxes shall be granted a hardship waiver and shall not be subject to a penalty for failing to pay estimated tax. Amends the Illinois Administrative Procedure Act to provide for emergency rulemaking. Effective immediately.

FISCAL NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning revenue.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Illinois Income Tax Act is amended by adding Section 806 as follows:

(35 ILCS 5/806)

Sec. 806. Exemption from penalty. An individual taxpayer shall not be subject to a penalty for failing to pay estimated tax as required by Section 803 if the taxpayer is 65 years of age or older and is a permanent resident of a nursing home. For purposes of this Section, "nursing home" means a skilled nursing or intermediate long term care facility that is subject to licensure by the Illinois Department of Public Health under the Nursing Home Care Act, the Specialized Mental Health Rehabilitation Act of 2013, the ID/DD Community Care Act, or the MC/DD Act.

In addition, for tax years beginning on or after January 1, 2021 and beginning prior to January 1, 2023, an individual or corporate taxpayer shall not be subject to a penalty for failing to pay estimated tax as required by this Article if the taxpayer is granted a hardship waiver by the Department. The Department shall grant a hardship waiver if the taxpayer notifies the Department in the form and manner prescribed by the Department that the taxpayer would face financial hardship in the payment of estimated taxes under this Article. The Department may adopt rules, including emergency rules, to implement this amendatory Act of the 102nd General Assembly, and may prescribe an application process which would allow an eligible taxpayer to qualify for the hardship waiver.

(Source: P.A. 98-104, eff. 7-22-13; 99-180, eff. 7-29-15.)

Section 10. The Illinois Administrative Procedure Act is amended by adding Section 5-45.8 as follows:

(5 ILCS 100/5-45.8 new)

Sec. 5-45.8. Emergency rulemaking; estimated taxes. To provide for the expeditious and timely implementation of this amendatory Act of the 102nd General Assembly, emergency rules implementing the changes made by this amendatory Act of the 102nd General Assembly to Section 806 of the Illinois Income Tax Act may be adopted in accordance with Section 5-45 by the Department of Revenue. The adoption of emergency rules authorized by Section 5-45 and this Section is deemed to be necessary for the public interest, safety, and welfare.

This Section is repealed on January 1, 2027.

Section 99. Effective date. This Act takes effect upon becoming law.