Full Text of HB5380 101st General Assembly
HB5380 101ST GENERAL ASSEMBLY |
| | 101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020 HB5380 Introduced , by Rep. Terri Bryant - Grant Wehrli - Avery Bourne - Amy Grant - Patrick Windhorst SYNOPSIS AS INTRODUCED: |
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Amends the Illinois Income Tax Act. Creates an income tax credit to taxpayers that own and operate a small farm and make a qualifying food commodity donation to a food bank or emergency feeding organization. Provides that the credit shall be equal to the lesser of $5,000 or 15% of the value of the food commodity donated. 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 Illinois Income Tax Act is amended by adding | 5 | | Section 232 as follows: | 6 | | (35 ILCS 5/232 new) | 7 | | Sec. 232. Credit for food donations. | 8 | | (a) For taxable years beginning on or after January 1, | 9 | | 2020, there shall be allowed a credit against the tax imposed | 10 | | by subsections (a) and (b) of Section 201 of this Act to | 11 | | qualifying taxpayers that own and operate a qualifying small | 12 | | farm and make a qualifying food commodity donation to a food | 13 | | bank or emergency feeding organization. The credit shall be in | 14 | | an amount equal to the lesser of $5,000 or 15% of the value of | 15 | | the food commodity donated. | 16 | | (b)For the purposes of this Section: | 17 | | "Qualifying food commodity" means food that meets all | 18 | | quality and labeling standards imposed by federal, State, | 19 | | and local laws and regulations, even though the food may | 20 | | not be readily marketable due to the appearance, age, | 21 | | freshness, grade, size, surplus, or other conditions. | 22 | | Qualifying food commodity does not mean food that is | 23 | | damaged, out of condition, or unfit for human consumption. |
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| 1 | | "Qualifying small farm" means a small family farm, | 2 | | rural-residence family farm, or intermediate family farms, | 3 | | as defined by the United States Department of Agriculture's | 4 | | Economic Research Service, that has gross sales of less | 5 | | than $250,000 per year and is located in the State. | 6 | | "Qualifying taxpayer" means an Illinois resident who: | 7 | | (i) owns and operates a qualifying small farm in the State; | 8 | | (ii) produces the donated food commodity; and (iii) | 9 | | transfers ownership of the donated food commodity to an | 10 | | Illinois food bank or emergency feeding organization. | 11 | | (c) In no event shall a credit under this Section reduce a | 12 | | taxpayer's liability to less than zero. If the amount of the | 13 | | credit exceeds the tax liability for the year, the excess may | 14 | | be carried forward and applied to the tax liability for the 5 | 15 | | taxable years following the excess credit year. The tax credit | 16 | | shall be applied to the earliest year for which there is a tax | 17 | | liability. If there are credits for more than one year that are | 18 | | available to offset liability, the earliest credit shall be | 19 | | applied first. | 20 | | (d) The Department shall adopt rules to implement the | 21 | | provisions of this Section and may work with the United States | 22 | | Department of Agriculture or any other relevant agency to | 23 | | implement the provisions of this Section. | 24 | | (e) This Section is exempt from the provisions of Section | 25 | | 250.
| 26 | | Section 99. Effective date. This Act takes effect upon |
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| 1 | | becoming law.
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