093_SB0004sam001

 










                                     LRB093 03463 SJM 11284 a

 1                     AMENDMENT TO SENATE BILL 4

 2        AMENDMENT NO.     .  Amend Senate  Bill  4  by  replacing
 3    everything after the enacting clause with the following:

 4        "Section  5.   The  Illinois Income Tax Act is amended by
 5    changing Section 212 as follows:

 6        (35 ILCS 5/212)
 7        (Section scheduled to be repealed on June 1, 2003)
 8        Sec. 212.  Earned income tax credit.
 9        (a)  With respect to the federal earned income tax credit
10    allowed for the taxable year under Section 32 of the  federal
11    Internal Revenue Code, 26 U.S.C. 32, each individual taxpayer
12    is   entitled   to  a  credit  against  the  tax  imposed  by
13    subsections (a) and (b) of Section 201 in an amount equal  to
14    5%  of the federal tax credit for each taxable year beginning
15    on or after January 1, 2000 and ending on or before  December
16    31, 2002.
17        For  a  non-resident or part-year resident, the amount of
18    the credit under this Section shall be in proportion  to  the
19    amount of income attributable to this State.
20        (b)  For  taxable years beginning before January 1, 2005,
21    in no event shall a credit  under  this  Section  reduce  the
22    taxpayer's  liability  to  less  than zero.  For each taxable
 
                            -2-      LRB093 03463 SJM 11284 a
 1    year beginning on or after January 1, 2005, if the amount  of
 2    the   credit   exceeds  the  income  tax  liability  for  the
 3    applicable tax year, then the excess credit shall be refunded
 4    to the taxpayer.   The  amount  of  a  refund  shall  not  be
 5    included  in  the  taxpayer's  income  or  resources  for the
 6    purposes of determining eligibility or benefit level  in  any
 7    means-tested  benefit  program administered by a governmental
 8    entity unless required by federal law.
 9        (c)  This  Section  is  exempt  from  the  provisions  of
10    Section 250 repealed on June 1, 2003.
11    (Source: P.A. 91-700, eff. 5-11-00.)

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