HB0189 95TH GENERAL ASSEMBLY

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95TH GENERAL ASSEMBLY
State of Illinois
2007 and 2008
HB0189

Introduced 1/19/2007, by Rep. Patricia R. Bellock

SYNOPSIS AS INTRODUCED:

35 ILCS 5/218 new

Amends the Illinois Income Tax Act. Creates a credit for taxpayers who, for at least 27 weeks during the taxable year, employ a disabled individual. Sets forth the amount of the credit based on the average number of hours per week that the disabled individual worked. Provides that the credit may not be carried forward or back and may not reduce the taxpayer's liability to less than zero. Requires the Department of Revenue, in cooperation with the Department of Human Services, to adopt rules concerning the credit, including criteria for designating an employee as a "disabled individual". 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 218 as follows:

(35 ILCS 5/218 new)

Sec. 218. Credit for the employment of a disabled individual.

(a) For taxable years ending on or after December 31, 2007 and ending on or before December 30, 2012, each taxpayer who, for at least 27 weeks during the taxable year, employs a disabled individual is entitled to a credit against the tax imposed under subsection (a) and (b) of Section 201 in an amount equal to:

(1) $1,000 if the disabled individual worked an average of at least 10 hours per week;

(2) $1,500 if the disabled individual worked an average of at least 20 hours per week; or

(3) $3,000 if the disabled individual worked an average of at least 40 hours per week.

(b) For partners, shareholders of Subchapter S corporations, and owners of limited liability companies, if the liability company is treated as a partnership for purposes of federal and State income taxation, there shall be allowed a credit under this Section to be determined in accordance with the determination of income and distributive share of income under Sections 702 and 704 and Subchapter S of the Internal Revenue Code.

(c) The credit under this Section may not be carried forward or back and may not reduce the taxpayer's liability to less than zero.

(d) The Department, in cooperation with the Department of Human Services, must adopt rules to administer this Section. These rules must include, without limitation, criteria for designating an employee as a "disabled individual".

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