HB4312 94TH GENERAL ASSEMBLY

LRB094 16198 RSP 51441 b

94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006
HB4312

Introduced 12/27/2005, by Rep. Carolyn H. Krause

SYNOPSIS AS INTRODUCED:

35 ILCS 5/216 new

Amends the Illinois Income Tax Act. Provides that each individual taxpayer who, during the taxable year, purchases and installs a certified energy-efficient appliance is entitled to an income credit in an amount equal to the lesser of: (i) $0.48 per average first-year kilowatt hours saved, or the equivalent for other fuel saved, as estimated by the Department of Commerce and Economic Opportunity; or (ii) $1,200, but, in no case, however, may the credit exceed 25% of the cost of the appliance. Provides that the credit may not be carried forward or back and may not reduce the taxpayer's liability to less than zero. Provides that "energy-efficient appliance" means any clothes washer, clothes dryer, water heater, refrigerator, freezer, dishwasher, appliance designed to heat or cool a dwelling, or other major household appliance that, according to the standards set forth under the federal Energy Guide, has premium energy-efficient characteristics. 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 216 as follows:

(35 ILCS 5/216 new)

Sec. 216. Credit for energy-efficient appliances.

(a) For taxable years ending on or after December 31, 2006 and on or before December 30, 2011, each individual taxpayer who, during the taxable year, purchases and installs, in the taxpayer's residence, a certified energy-efficient appliance is entitled to a credit against the taxes imposed under Subsections (a) and (b) of Section 201 in an amount set forth under subsection (b).

(b) The amount of the credit under this Section is the lesser of: (i) $0.48 per average first-year kilowatt hours saved, or the equivalent for other fuel saved, as estimated by the Department of Commerce and Economic Opportunity; or (ii) $1,200. In no case, however, may the credit exceed 25% of the cost of the appliance.

(c) The credit may not be carried forward or back. In no event may a credit under this Section reduce the taxpayer's liability to less than zero.

(d) For the purpose of this Section, an "energy-efficient appliance" means any clothes washer, clothes dryer, water heater, refrigerator, freezer, dishwasher, appliance designed to heat or cool a dwelling, or other major household appliance that, according to the standards set forth under the federal Energy Guide, has premium energy-efficient characteristics.

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