Full Text of SB1801 97th General Assembly
SB1801 97TH GENERAL ASSEMBLY |
| | 97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012 SB1801 Introduced 2/9/2011, by Sen. David Koehler SYNOPSIS AS INTRODUCED: |
| 35 ILCS 30/5 | | 35 ILCS 30/15 | | 35 ILCS 30/25 | |
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Amends the Historic Preservation Tax Credit Pilot Program Act. Provides that the program applies to all qualified historic structures (instead of only a hotel in Peoria). Removes the requirement that an application for a credit must be filed within a 6-month period. Effective immediately.
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| | | FISCAL NOTE ACT MAY APPLY | |
| | A BILL FOR |
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| 1 | | AN ACT concerning revenue.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Historic Preservation Tax Credit Pilot | 5 | | Program Act is amended by changing Sections 5, 15, and 25 as | 6 | | follows: | 7 | | (35 ILCS 30/5)
| 8 | | Sec. 5. Definitions. As used in this Section, unless the
| 9 | | context clearly indicates otherwise: | 10 | | (a) "Agency" means the Historic Preservation Agency. | 11 | | (b) "Department" means the Department of Commerce and | 12 | | Economic Opportunity. | 13 | | (c) "Qualified expenditures" means all the costs and
| 14 | | expenses defined as qualified rehabilitation expenditures | 15 | | under Section 47 of the federal Internal Revenue Code which | 16 | | were incurred in connection with a qualified historic | 17 | | structure. | 18 | | (d) "Qualified historic structure" means a building a hotel | 19 | | that is located in the City of Peoria and that is defined as a | 20 | | certified historic structure under Section 47 (c)(3) of the | 21 | | federal Internal Revenue Code. | 22 | | (e) "Qualified rehabilitation plan" means a project that is
| 23 | | approved by the Agency as being consistent with the standards |
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| 1 | | in effect on the effective date of this Act for rehabilitation | 2 | | as adopted by the federal Secretary of the Interior. | 3 | | (f) "Qualified taxpayer" means the owner of the qualified
| 4 | | historic structure or any other person who may qualify for the
| 5 | | federal rehabilitation credit allowed by Section 47 of the
| 6 | | federal Internal Revenue Code. If the taxpayer is (i) a
| 7 | | corporation having an election in effect under Subchapter S of
| 8 | | the federal Internal Revenue Code, (ii) a partnership, or (iii)
| 9 | | a limited liability company, the credit provided under this Act | 10 | | may be claimed by the shareholders of the
corporation, the | 11 | | partners of the partnership, or the members of
the limited | 12 | | liability company in the same manner as those
shareholders, | 13 | | partners, or members account for their
proportionate shares of | 14 | | the income or losses of the
corporation, partnership, or | 15 | | limited liability company, or as
provided in the by-laws or | 16 | | other executed agreement of the
corporation, partnership, or | 17 | | limited liability company.
Credits granted to a partnership, a | 18 | | limited liability company
taxed as a partnership, or other | 19 | | multiple owners of property
shall be passed through to the | 20 | | partners, members, or owners
respectively on a pro rata basis | 21 | | or pursuant to an executed
agreement among the partners, | 22 | | members, or owners documenting
any alternate distribution | 23 | | method.
| 24 | | (Source: P.A. 96-933, eff. 6-21-10.) | 25 | | (35 ILCS 30/15)
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| 1 | | Sec. 15. Allowable credit. To the extent authorized by | 2 | | Section 25 of this Act, for taxable years beginning on or after | 3 | | January 1, 2010 and ending on or before December 31, 2015, | 4 | | there shall be allowed a
tax credit against the tax imposed by | 5 | | subsections (a) and (b)
of Section 201 of the Illinois Income | 6 | | Tax Act in an amount
equal to 25% of qualified expenditures | 7 | | incurred by a qualified
taxpayer during the taxable year in the | 8 | | restoration and preservation of a qualified
historic structure | 9 | | pursuant to a qualified rehabilitation plan, provided that the | 10 | | total amount of such expenditures (i) must equal $5,000 or | 11 | | more, and (ii) must exceed 50% of the purchase price of the | 12 | | property. If the amount of any tax credit awarded under this | 13 | | Act exceeds the qualified taxpayer's income tax liability for | 14 | | the year in which the qualified rehabilitation plan was placed | 15 | | in service, the excess amount may be carried forward for | 16 | | deduction from the taxpayer's income tax liability in the next | 17 | | succeeding year or years until the total amount of the credit | 18 | | has been used, except that a credit may not be carried forward | 19 | | for deduction after the tenth taxable year after the taxable | 20 | | year in which the qualified rehabilitation plan was placed in | 21 | | service. To obtain a tax credit pursuant to this Act, an | 22 | | application must be made to the Department no later than 6 | 23 | | months after the effective date of this Act . The Department, in | 24 | | consultation with the Agency, shall determine the amount of | 25 | | eligible rehabilitation costs and expenses. The Agency shall | 26 | | determine whether the rehabilitation is consistent with the |
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| 1 | | standards of the Secretary of the United States Department of | 2 | | the Interior for rehabilitation. Upon completion and review of | 3 | | the project, the Department shall issue a certificate in the | 4 | | amount of the eligible credits. At the time the certificate is | 5 | | issued, an issuance fee up to the maximum amount of 2% of the | 6 | | amount of the credits issued by the certificate may be | 7 | | collected from the applicant to administer the Act. If | 8 | | collected, this issuance fee shall be evenly divided between | 9 | | the Department and the Agency. The taxpayer must attach the | 10 | | certificate to the tax return on which the credits are to be | 11 | | claimed.
| 12 | | (Source: P.A. 96-933, eff. 6-21-10.) | 13 | | (35 ILCS 30/25)
| 14 | | Sec. 25. Pilot program; report. The Department may award no | 15 | | more than an aggregate of $10,000,000 in total tax credits | 16 | | pursuant to one qualified rehabilitation plans plan for one | 17 | | qualified historic structures structure . On or before December | 18 | | 31, 2010 and on or before December 31 of each year thereafter | 19 | | through 2016, the Department must submit a report to the | 20 | | General Assembly evaluating the effectiveness of this Act in | 21 | | stimulating economic revitalization in the pilot program area.
| 22 | | (Source: P.A. 96-933, eff. 6-21-10.)
| 23 | | Section 99. Effective date. This Act takes effect upon | 24 | | becoming law.
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