Illinois General Assembly - Full Text of SB1792
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Full Text of SB1792  102nd General Assembly

SB1792 102ND GENERAL ASSEMBLY

  
  

 


 
102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
SB1792

 

Introduced 2/26/2021, by Sen. Laura M. Murphy

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 5/232 new

    Amends the Illinois Income Tax Act. Provides that a taxpayer who may claim a qualifying student as a dependent is allowed a credit of up to $2,000 for qualified tuition and fee expenses paid by the taxpayer. Provides that the term qualifying student means a person who (i) is a resident of the State, (ii) is under the age of 24 at the close of the school year for which a credit is sought, and (iii) during the school year for which a credit is sought, is a full-time student enrolled in a program at a qualifying college or university. Effective immediately.


LRB102 11513 HLH 16847 b

FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

SB1792LRB102 11513 HLH 16847 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. College tuition expense credit.
8    (a) For taxable years ending on or after December 31,
92021, a taxpayer who may claim one or more qualifying students
10as a dependent shall be allowed a credit up to $2,000 against
11the tax imposed by subsections (a) and (b) of this Section for
12qualified tuition and fee expenses paid by the taxpayer during
13the taxable year on behalf of the qualifying student or
14students.
15    (b) In no event shall a credit under this Section reduce a
16taxpayer's liability to less than zero. If the amount of
17credit exceeds the tax liability for the year, the excess may
18be carried and applied to the tax liability for the 5 taxable
19years following the excess credit year. The tax credit shall
20be applied to the earliest year for which there is a tax
21liability. If there are credits for more than one year that are
22available to offset liability, the earlier credit shall be
23applied first.

 

 

SB1792- 2 -LRB102 11513 HLH 16847 b

1    (c) For the purpose of this Section:
2    "Qualifying college or university" means any public or
3private university, community college, vocational school, or
4other postsecondary educational institution that is physically
5located in the State and is eligible to participate in a
6student loan program administered by the United States
7Department of Education.
8    "Qualifying student" means an individual who (i) is a
9resident of the State, (ii) is under the age of 24 at the close
10of the school year for which a credit is sought, and (iii)
11during the school year for which a credit is sought, is a
12full-time student enrolled in a program at a qualifying
13college or university at which the student is enrolled.
14    "Qualified tuition and fee expense" means the amount
15incurred by on behalf of a qualifying student for tuition,
16book fees, and lab fees at the qualifying college of
17university at which the student is enrolled.
18    (d) Notwithstanding any other provision of law, for
19taxable years ending on or after December 31, 2021, no
20taxpayer may claim a credit under this Section if the
21taxpayer's adjusted gross income for the taxable year exceeds
22(i) $250,000, in the case of spouses filing a joint federal tax
23return or (ii) $125,000, in the case of all other taxpayers.
24    (e) This Section is exempt from the provisions of Section
25250.
 
26    Section 99. Effective date. This Act takes effect upon

 

 

SB1792- 3 -LRB102 11513 HLH 16847 b

1becoming law.