HB6922 93RD GENERAL ASSEMBLY

LRB093 18324 SJM 44030 b

93RD GENERAL ASSEMBLY
State of Illinois
2003 and 2004
HB6922

Introduced 02/09/04, by William B. Black - Sidney H. Mathias

SYNOPSIS AS INTRODUCED:

35 ILCS 5/216 new

Amends the Illinois Income Tax Act. Grants a credit against the tax imposed by the Act in the amount of expenditures during the taxable year for the care of an individual 65 years of age or older who is claimed as a dependent on the taxpayer's federal income tax return. Provides that the amount of the credit for the taxable year may be no more than $1,000 or the taxpayer's tax liability for the year, whichever is less. Allows an excess credit to be carried forward to the tax liability of 2 succeeding taxable years. Exempts the credit from the Act's sunset requirement. Effective immediately.

FISCAL NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning taxes.

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 216 as follows:

(35 ILCS 5/216 new)

Sec. 216. Eldercare tax credit. For taxable years ending on or after December 31, 2004, an individual taxpayer is entitled to a credit against the taxes imposed by subsections (a) and (b) of Section 201 in an amount equal to the amount of expenditures during the taxable year for the care of an individual 65 years of age or older who is claimed as a dependent on the taxpayer's federal income tax return. The amount of the credit for the taxable year may be no more than $1,000 or the taxpayer's tax liability for the year, whichever is less. If the amount of the credit exceeds the tax liability for the year, then the excess may be carried forward and applied to the tax liability of the 2 taxable years following the excess credit year. A credit shall be applied to the earliest year for which there is a tax liability. If there are credits from more than one taxable year that are available to offset a liability, then the earlier credit shall be applied first. This Section is exempt from the provisions of Section 250.

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