Illinois General Assembly - Full Text of HB3811
Illinois General Assembly

Previous General Assemblies

Full Text of HB3811  97th General Assembly

HB3811 97TH GENERAL ASSEMBLY


 


 
97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
HB3811

 

Introduced 10/5/2011, by Rep. Tom Cross, Jason Barickman, Patricia R. Bellock, Mike Bost, Dan Brady, et al.

 

SYNOPSIS AS INTRODUCED:
 
20 ILCS 655/5.3  from Ch. 67 1/2, par. 608
35 ILCS 5/201  from Ch. 120, par. 2-201
35 ILCS 5/207  from Ch. 120, par. 2-207
35 ILCS 120/1f  from Ch. 120, par. 440f
35 ILCS 405/2  from Ch. 120, par. 405A-2
220 ILCS 5/9-222.1  from Ch. 111 2/3, par. 9-222.1
805 ILCS 180/50-10

    Amends the Illinois Enterprise Zone Act. Provides that an Enterprise Zone shall be extended for an additional 20 years upon application by the corporate authorities of the county or municipality that designated the Enterprise Zone. Amends the Retailers' Occupation Tax Act. Provides that exemptions granted under the Act for tangible personal property used or consumed in an Enterprise Zone may be in effect for not more than the term of the enterprise zone. Amends the Public Utilities Act to make conforming changes in provisions concerning tax exemptions for businesses located in Enterprise Zones. Amends the Illinois Estate and Generation-Skipping Transfer Tax Act. Provides that the annual exclusion amount is $5,000,000 (instead of $2,000,000). Amends the Illinois Income Tax Act. Provides that the research and development credit is effective for all taxable years ending on or after December 31, 2004 and is not subject to the Act's automatic sunset provisions. Provides that amounts paid or incurred for ethanol and biodiesel research are included in the definition of "qualified expenditure". Amends the Limited Liability Company Act. Provides that the fee for articles of organization is $100 (instead of $750 for limited liability companies with a series and $500 for other limited liability companies). Effective immediately.


LRB097 13527 HLH 58048 b

FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB3811LRB097 13527 HLH 58048 b

1    AN ACT concerning revenue.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Enterprise Zone Act is amended by
5changing Section 5.3 as follows:
 
6    (20 ILCS 655/5.3)  (from Ch. 67 1/2, par. 608)
7    Sec. 5.3. Certification of Enterprise Zones; Effective
8date.
9    (a) Approval of designated Enterprise Zones shall be made
10by the Department by certification of the designating
11ordinance. The Department shall promptly issue a certificate
12for each Enterprise Zone upon its approval. The certificate
13shall be signed by the Director of the Department, shall make
14specific reference to the designating ordinance, which shall be
15attached thereto, and shall be filed in the office of the
16Secretary of State. A certified copy of the Enterprise Zone
17Certificate, or a duplicate original thereof, shall be recorded
18in the office of recorder of deeds of the county in which the
19Enterprise Zone lies.
20    (b) An Enterprise Zone shall be effective upon its
21certification. The Department shall transmit a copy of the
22certification to the Department of Revenue, and to the
23designating municipality or county.

 

 

HB3811- 2 -LRB097 13527 HLH 58048 b

1    Upon certification of an Enterprise Zone, the terms and
2provisions of the designating ordinance shall be in effect, and
3may not be amended or repealed except in accordance with
4Section 5.4.
5    (c) An Enterprise Zone shall be in effect for 30 calendar
6years, or for a lesser number of years specified in the
7certified designating ordinance. Enterprise Zones shall
8terminate at midnight of December 31 of the final calendar year
9of the certified term, except as provided in Section 5.4. The
10Department shall grant, upon application by the corporate
11authorities of the county or municipality that adopted the
12ordinance designating the Enterprise Zone, a one-time
13extension of 20 additional calendar years for each Zone.
14    (d) No more than 12 Enterprise Zones may be certified by
15the Department in calendar year 1984, no more than 12
16Enterprise Zones may be certified by the Department in calendar
17year 1985, no more than 13 Enterprise Zones may be certified by
18the Department in calendar year 1986, no more than 15
19Enterprise Zones may be certified by the Department in calendar
20year 1987, and no more than 20 Enterprise Zones may be
21certified by the Department in calendar year 1990. In other
22calendar years, no more than 13 Enterprise Zones may be
23certified by the Department. The Department may also designate
24up to 8 additional Enterprise Zones outside the regular
25application cycle if warranted by the extreme economic
26circumstances as determined by the Department. The Department

 

 

HB3811- 3 -LRB097 13527 HLH 58048 b

1may also designate one additional Enterprise Zone outside the
2regular application cycle if an aircraft manufacturer agrees to
3locate an aircraft manufacturing facility in the proposed
4Enterprise Zone. Notwithstanding any other provision of this
5Act, no more than 89 Enterprise Zones may be certified by the
6Department for the 10 calendar years commencing with 1983. The
77 additional Enterprise Zones authorized by Public Act 86-15
8shall not lie within municipalities or unincorporated areas of
9counties that abut or are contiguous to Enterprise Zones
10certified pursuant to this Section prior to June 30, 1989. The
117 additional Enterprise Zones (excluding the additional
12Enterprise Zone which may be designated outside the regular
13application cycle) authorized by Public Act 86-1030 shall not
14lie within municipalities or unincorporated areas of counties
15that abut or are contiguous to Enterprise Zones certified
16pursuant to this Section prior to February 28, 1990. Beginning
17in calendar year 2004 and until December 31, 2008, one
18additional enterprise zone may be certified by the Department.
19In any calendar year, the Department may not certify more than
203 Zones located within the same municipality. The Department
21may certify Enterprise Zones in each of the 10 calendar years
22commencing with 1983. The Department may not certify more than
23a total of 18 Enterprise Zones located within the same county
24(whether within municipalities or within unincorporated
25territory) for the 10 calendar years commencing with 1983.
26Thereafter, the Department may not certify any additional

 

 

HB3811- 4 -LRB097 13527 HLH 58048 b

1Enterprise Zones, but may amend and rescind certifications of
2existing Enterprise Zones in accordance with Section 5.4.
3    (e) Notwithstanding any other provision of law, if (i) the
4county board of any county in which a current military base is
5located, in part or in whole, or in which a military base that
6has been closed within 20 years of the effective date of this
7amendatory Act of 1998 is located, in part or in whole, adopts
8a designating ordinance in accordance with Section 5 of this
9Act to designate the military base in that county as an
10enterprise zone and (ii) the property otherwise meets the
11qualifications for an enterprise zone as prescribed in Section
124 of this Act, then the Department may certify the designating
13ordinance or ordinances, as the case may be.
14(Source: P.A. 92-16, eff. 6-28-01; 92-777, eff. 1-1-03; 93-436,
15eff. 1-1-04.)
 
16    Section 10. The Illinois Income Tax Act is amended by
17changing Sections 201 and 207 as follows:
 
18    (35 ILCS 5/201)  (from Ch. 120, par. 2-201)
19    Sec. 201. Tax Imposed.
20    (a) In general. A tax measured by net income is hereby
21imposed on every individual, corporation, trust and estate for
22each taxable year ending after July 31, 1969 on the privilege
23of earning or receiving income in or as a resident of this
24State. Such tax shall be in addition to all other occupation or

 

 

HB3811- 5 -LRB097 13527 HLH 58048 b

1privilege taxes imposed by this State or by any municipal
2corporation or political subdivision thereof.
3    (b) Rates. The tax imposed by subsection (a) of this
4Section shall be determined as follows, except as adjusted by
5subsection (d-1):
6        (1) In the case of an individual, trust or estate, for
7    taxable years ending prior to July 1, 1989, an amount equal
8    to 2 1/2% of the taxpayer's net income for the taxable
9    year.
10        (2) In the case of an individual, trust or estate, for
11    taxable years beginning prior to July 1, 1989 and ending
12    after June 30, 1989, an amount equal to the sum of (i) 2
13    1/2% of the taxpayer's net income for the period prior to
14    July 1, 1989, as calculated under Section 202.3, and (ii)
15    3% of the taxpayer's net income for the period after June
16    30, 1989, as calculated under Section 202.3.
17        (3) In the case of an individual, trust or estate, for
18    taxable years beginning after June 30, 1989, and ending
19    prior to January 1, 2011, an amount equal to 3% of the
20    taxpayer's net income for the taxable year.
21        (4) In the case of an individual, trust, or estate, for
22    taxable years beginning prior to January 1, 2011, and
23    ending after December 31, 2010, an amount equal to the sum
24    of (i) 3% of the taxpayer's net income for the period prior
25    to January 1, 2011, as calculated under Section 202.5, and
26    (ii) 5% of the taxpayer's net income for the period after

 

 

HB3811- 6 -LRB097 13527 HLH 58048 b

1    December 31, 2010, as calculated under Section 202.5.
2        (5) In the case of an individual, trust, or estate, for
3    taxable years beginning on or after January 1, 2011, and
4    ending prior to January 1, 2015, an amount equal to 5% of
5    the taxpayer's net income for the taxable year.
6        (5.1) In the case of an individual, trust, or estate,
7    for taxable years beginning prior to January 1, 2015, and
8    ending after December 31, 2014, an amount equal to the sum
9    of (i) 5% of the taxpayer's net income for the period prior
10    to January 1, 2015, as calculated under Section 202.5, and
11    (ii) 3.75% of the taxpayer's net income for the period
12    after December 31, 2014, as calculated under Section 202.5.
13        (5.2) In the case of an individual, trust, or estate,
14    for taxable years beginning on or after January 1, 2015,
15    and ending prior to January 1, 2025, an amount equal to
16    3.75% of the taxpayer's net income for the taxable year.
17        (5.3) In the case of an individual, trust, or estate,
18    for taxable years beginning prior to January 1, 2025, and
19    ending after December 31, 2024, an amount equal to the sum
20    of (i) 3.75% of the taxpayer's net income for the period
21    prior to January 1, 2025, as calculated under Section
22    202.5, and (ii) 3.25% of the taxpayer's net income for the
23    period after December 31, 2024, as calculated under Section
24    202.5.
25        (5.4) In the case of an individual, trust, or estate,
26    for taxable years beginning on or after January 1, 2025, an

 

 

HB3811- 7 -LRB097 13527 HLH 58048 b

1    amount equal to 3.25% of the taxpayer's net income for the
2    taxable year.
3        (6) In the case of a corporation, for taxable years
4    ending prior to July 1, 1989, an amount equal to 4% of the
5    taxpayer's net income for the taxable year.
6        (7) In the case of a corporation, for taxable years
7    beginning prior to July 1, 1989 and ending after June 30,
8    1989, an amount equal to the sum of (i) 4% of the
9    taxpayer's net income for the period prior to July 1, 1989,
10    as calculated under Section 202.3, and (ii) 4.8% of the
11    taxpayer's net income for the period after June 30, 1989,
12    as calculated under Section 202.3.
13        (8) In the case of a corporation, for taxable years
14    beginning after June 30, 1989, and ending prior to January
15    1, 2011, an amount equal to 4.8% of the taxpayer's net
16    income for the taxable year.
17        (9) In the case of a corporation, for taxable years
18    beginning prior to January 1, 2011, and ending after
19    December 31, 2010, an amount equal to the sum of (i) 4.8%
20    of the taxpayer's net income for the period prior to
21    January 1, 2011, as calculated under Section 202.5, and
22    (ii) 7% of the taxpayer's net income for the period after
23    December 31, 2010, as calculated under Section 202.5.
24        (10) In the case of a corporation, for taxable years
25    beginning on or after January 1, 2011, and ending prior to
26    January 1, 2015, an amount equal to 7% of the taxpayer's

 

 

HB3811- 8 -LRB097 13527 HLH 58048 b

1    net income for the taxable year.
2        (11) In the case of a corporation, for taxable years
3    beginning prior to January 1, 2015, and ending after
4    December 31, 2014, an amount equal to the sum of (i) 7% of
5    the taxpayer's net income for the period prior to January
6    1, 2015, as calculated under Section 202.5, and (ii) 5.25%
7    of the taxpayer's net income for the period after December
8    31, 2014, as calculated under Section 202.5.
9        (12) In the case of a corporation, for taxable years
10    beginning on or after January 1, 2015, and ending prior to
11    January 1, 2025, an amount equal to 5.25% of the taxpayer's
12    net income for the taxable year.
13        (13) In the case of a corporation, for taxable years
14    beginning prior to January 1, 2025, and ending after
15    December 31, 2024, an amount equal to the sum of (i) 5.25%
16    of the taxpayer's net income for the period prior to
17    January 1, 2025, as calculated under Section 202.5, and
18    (ii) 4.8% of the taxpayer's net income for the period after
19    December 31, 2024, as calculated under Section 202.5.
20        (14) In the case of a corporation, for taxable years
21    beginning on or after January 1, 2025, an amount equal to
22    4.8% of the taxpayer's net income for the taxable year.
23    The rates under this subsection (b) are subject to the
24provisions of Section 201.5.
25    (c) Personal Property Tax Replacement Income Tax.
26Beginning on July 1, 1979 and thereafter, in addition to such

 

 

HB3811- 9 -LRB097 13527 HLH 58048 b

1income tax, there is also hereby imposed the Personal Property
2Tax Replacement Income Tax measured by net income on every
3corporation (including Subchapter S corporations), partnership
4and trust, for each taxable year ending after June 30, 1979.
5Such taxes are imposed on the privilege of earning or receiving
6income in or as a resident of this State. The Personal Property
7Tax Replacement Income Tax shall be in addition to the income
8tax imposed by subsections (a) and (b) of this Section and in
9addition to all other occupation or privilege taxes imposed by
10this State or by any municipal corporation or political
11subdivision thereof.
12    (d) Additional Personal Property Tax Replacement Income
13Tax Rates. The personal property tax replacement income tax
14imposed by this subsection and subsection (c) of this Section
15in the case of a corporation, other than a Subchapter S
16corporation and except as adjusted by subsection (d-1), shall
17be an additional amount equal to 2.85% of such taxpayer's net
18income for the taxable year, except that beginning on January
191, 1981, and thereafter, the rate of 2.85% specified in this
20subsection shall be reduced to 2.5%, and in the case of a
21partnership, trust or a Subchapter S corporation shall be an
22additional amount equal to 1.5% of such taxpayer's net income
23for the taxable year.
24    (d-1) Rate reduction for certain foreign insurers. In the
25case of a foreign insurer, as defined by Section 35A-5 of the
26Illinois Insurance Code, whose state or country of domicile

 

 

HB3811- 10 -LRB097 13527 HLH 58048 b

1imposes on insurers domiciled in Illinois a retaliatory tax
2(excluding any insurer whose premiums from reinsurance assumed
3are 50% or more of its total insurance premiums as determined
4under paragraph (2) of subsection (b) of Section 304, except
5that for purposes of this determination premiums from
6reinsurance do not include premiums from inter-affiliate
7reinsurance arrangements), beginning with taxable years ending
8on or after December 31, 1999, the sum of the rates of tax
9imposed by subsections (b) and (d) shall be reduced (but not
10increased) to the rate at which the total amount of tax imposed
11under this Act, net of all credits allowed under this Act,
12shall equal (i) the total amount of tax that would be imposed
13on the foreign insurer's net income allocable to Illinois for
14the taxable year by such foreign insurer's state or country of
15domicile if that net income were subject to all income taxes
16and taxes measured by net income imposed by such foreign
17insurer's state or country of domicile, net of all credits
18allowed or (ii) a rate of zero if no such tax is imposed on such
19income by the foreign insurer's state of domicile. For the
20purposes of this subsection (d-1), an inter-affiliate includes
21a mutual insurer under common management.
22        (1) For the purposes of subsection (d-1), in no event
23    shall the sum of the rates of tax imposed by subsections
24    (b) and (d) be reduced below the rate at which the sum of:
25            (A) the total amount of tax imposed on such foreign
26        insurer under this Act for a taxable year, net of all

 

 

HB3811- 11 -LRB097 13527 HLH 58048 b

1        credits allowed under this Act, plus
2            (B) the privilege tax imposed by Section 409 of the
3        Illinois Insurance Code, the fire insurance company
4        tax imposed by Section 12 of the Fire Investigation
5        Act, and the fire department taxes imposed under
6        Section 11-10-1 of the Illinois Municipal Code,
7    equals 1.25% for taxable years ending prior to December 31,
8    2003, or 1.75% for taxable years ending on or after
9    December 31, 2003, of the net taxable premiums written for
10    the taxable year, as described by subsection (1) of Section
11    409 of the Illinois Insurance Code. This paragraph will in
12    no event increase the rates imposed under subsections (b)
13    and (d).
14        (2) Any reduction in the rates of tax imposed by this
15    subsection shall be applied first against the rates imposed
16    by subsection (b) and only after the tax imposed by
17    subsection (a) net of all credits allowed under this
18    Section other than the credit allowed under subsection (i)
19    has been reduced to zero, against the rates imposed by
20    subsection (d).
21    This subsection (d-1) is exempt from the provisions of
22Section 250.
23    (e) Investment credit. A taxpayer shall be allowed a credit
24against the Personal Property Tax Replacement Income Tax for
25investment in qualified property.
26        (1) A taxpayer shall be allowed a credit equal to .5%

 

 

HB3811- 12 -LRB097 13527 HLH 58048 b

1    of the basis of qualified property placed in service during
2    the taxable year, provided such property is placed in
3    service on or after July 1, 1984. There shall be allowed an
4    additional credit equal to .5% of the basis of qualified
5    property placed in service during the taxable year,
6    provided such property is placed in service on or after
7    July 1, 1986, and the taxpayer's base employment within
8    Illinois has increased by 1% or more over the preceding
9    year as determined by the taxpayer's employment records
10    filed with the Illinois Department of Employment Security.
11    Taxpayers who are new to Illinois shall be deemed to have
12    met the 1% growth in base employment for the first year in
13    which they file employment records with the Illinois
14    Department of Employment Security. The provisions added to
15    this Section by Public Act 85-1200 (and restored by Public
16    Act 87-895) shall be construed as declaratory of existing
17    law and not as a new enactment. If, in any year, the
18    increase in base employment within Illinois over the
19    preceding year is less than 1%, the additional credit shall
20    be limited to that percentage times a fraction, the
21    numerator of which is .5% and the denominator of which is
22    1%, but shall not exceed .5%. The investment credit shall
23    not be allowed to the extent that it would reduce a
24    taxpayer's liability in any tax year below zero, nor may
25    any credit for qualified property be allowed for any year
26    other than the year in which the property was placed in

 

 

HB3811- 13 -LRB097 13527 HLH 58048 b

1    service in Illinois. For tax years ending on or after
2    December 31, 1987, and on or before December 31, 1988, the
3    credit shall be allowed for the tax year in which the
4    property is placed in service, or, if the amount of the
5    credit exceeds the tax liability for that year, whether it
6    exceeds the original liability or the liability as later
7    amended, such excess may be carried forward and applied to
8    the tax liability of the 5 taxable years following the
9    excess credit years if the taxpayer (i) makes investments
10    which cause the creation of a minimum of 2,000 full-time
11    equivalent jobs in Illinois, (ii) is located in an
12    enterprise zone established pursuant to the Illinois
13    Enterprise Zone Act and (iii) is certified by the
14    Department of Commerce and Community Affairs (now
15    Department of Commerce and Economic Opportunity) as
16    complying with the requirements specified in clause (i) and
17    (ii) by July 1, 1986. The Department of Commerce and
18    Community Affairs (now Department of Commerce and Economic
19    Opportunity) shall notify the Department of Revenue of all
20    such certifications immediately. For tax years ending
21    after December 31, 1988, the credit shall be allowed for
22    the tax year in which the property is placed in service,
23    or, if the amount of the credit exceeds the tax liability
24    for that year, whether it exceeds the original liability or
25    the liability as later amended, such excess may be carried
26    forward and applied to the tax liability of the 5 taxable

 

 

HB3811- 14 -LRB097 13527 HLH 58048 b

1    years following the excess credit years. The credit shall
2    be applied to the earliest year for which there is a
3    liability. If there is credit from more than one tax year
4    that is available to offset a liability, earlier credit
5    shall be applied first.
6        (2) The term "qualified property" means property
7    which:
8            (A) is tangible, whether new or used, including
9        buildings and structural components of buildings and
10        signs that are real property, but not including land or
11        improvements to real property that are not a structural
12        component of a building such as landscaping, sewer
13        lines, local access roads, fencing, parking lots, and
14        other appurtenances;
15            (B) is depreciable pursuant to Section 167 of the
16        Internal Revenue Code, except that "3-year property"
17        as defined in Section 168(c)(2)(A) of that Code is not
18        eligible for the credit provided by this subsection
19        (e);
20            (C) is acquired by purchase as defined in Section
21        179(d) of the Internal Revenue Code;
22            (D) is used in Illinois by a taxpayer who is
23        primarily engaged in manufacturing, or in mining coal
24        or fluorite, or in retailing, or was placed in service
25        on or after July 1, 2006 in a River Edge Redevelopment
26        Zone established pursuant to the River Edge

 

 

HB3811- 15 -LRB097 13527 HLH 58048 b

1        Redevelopment Zone Act; and
2            (E) has not previously been used in Illinois in
3        such a manner and by such a person as would qualify for
4        the credit provided by this subsection (e) or
5        subsection (f).
6        (3) For purposes of this subsection (e),
7    "manufacturing" means the material staging and production
8    of tangible personal property by procedures commonly
9    regarded as manufacturing, processing, fabrication, or
10    assembling which changes some existing material into new
11    shapes, new qualities, or new combinations. For purposes of
12    this subsection (e) the term "mining" shall have the same
13    meaning as the term "mining" in Section 613(c) of the
14    Internal Revenue Code. For purposes of this subsection (e),
15    the term "retailing" means the sale of tangible personal
16    property for use or consumption and not for resale, or
17    services rendered in conjunction with the sale of tangible
18    personal property for use or consumption and not for
19    resale. For purposes of this subsection (e), "tangible
20    personal property" has the same meaning as when that term
21    is used in the Retailers' Occupation Tax Act, and, for
22    taxable years ending after December 31, 2008, does not
23    include the generation, transmission, or distribution of
24    electricity.
25        (4) The basis of qualified property shall be the basis
26    used to compute the depreciation deduction for federal

 

 

HB3811- 16 -LRB097 13527 HLH 58048 b

1    income tax purposes.
2        (5) If the basis of the property for federal income tax
3    depreciation purposes is increased after it has been placed
4    in service in Illinois by the taxpayer, the amount of such
5    increase shall be deemed property placed in service on the
6    date of such increase in basis.
7        (6) The term "placed in service" shall have the same
8    meaning as under Section 46 of the Internal Revenue Code.
9        (7) If during any taxable year, any property ceases to
10    be qualified property in the hands of the taxpayer within
11    48 months after being placed in service, or the situs of
12    any qualified property is moved outside Illinois within 48
13    months after being placed in service, the Personal Property
14    Tax Replacement Income Tax for such taxable year shall be
15    increased. Such increase shall be determined by (i)
16    recomputing the investment credit which would have been
17    allowed for the year in which credit for such property was
18    originally allowed by eliminating such property from such
19    computation and, (ii) subtracting such recomputed credit
20    from the amount of credit previously allowed. For the
21    purposes of this paragraph (7), a reduction of the basis of
22    qualified property resulting from a redetermination of the
23    purchase price shall be deemed a disposition of qualified
24    property to the extent of such reduction.
25        (8) Unless the investment credit is extended by law,
26    the basis of qualified property shall not include costs

 

 

HB3811- 17 -LRB097 13527 HLH 58048 b

1    incurred after December 31, 2013, except for costs incurred
2    pursuant to a binding contract entered into on or before
3    December 31, 2013.
4        (9) Each taxable year ending before December 31, 2000,
5    a partnership may elect to pass through to its partners the
6    credits to which the partnership is entitled under this
7    subsection (e) for the taxable year. A partner may use the
8    credit allocated to him or her under this paragraph only
9    against the tax imposed in subsections (c) and (d) of this
10    Section. If the partnership makes that election, those
11    credits shall be allocated among the partners in the
12    partnership in accordance with the rules set forth in
13    Section 704(b) of the Internal Revenue Code, and the rules
14    promulgated under that Section, and the allocated amount of
15    the credits shall be allowed to the partners for that
16    taxable year. The partnership shall make this election on
17    its Personal Property Tax Replacement Income Tax return for
18    that taxable year. The election to pass through the credits
19    shall be irrevocable.
20        For taxable years ending on or after December 31, 2000,
21    a partner that qualifies its partnership for a subtraction
22    under subparagraph (I) of paragraph (2) of subsection (d)
23    of Section 203 or a shareholder that qualifies a Subchapter
24    S corporation for a subtraction under subparagraph (S) of
25    paragraph (2) of subsection (b) of Section 203 shall be
26    allowed a credit under this subsection (e) equal to its

 

 

HB3811- 18 -LRB097 13527 HLH 58048 b

1    share of the credit earned under this subsection (e) during
2    the taxable year by the partnership or Subchapter S
3    corporation, determined in accordance with the
4    determination of income and distributive share of income
5    under Sections 702 and 704 and Subchapter S of the Internal
6    Revenue Code. This paragraph is exempt from the provisions
7    of Section 250.
8    (f) Investment credit; Enterprise Zone; River Edge
9Redevelopment Zone.
10        (1) A taxpayer shall be allowed a credit against the
11    tax imposed by subsections (a) and (b) of this Section for
12    investment in qualified property which is placed in service
13    in an Enterprise Zone created pursuant to the Illinois
14    Enterprise Zone Act or, for property placed in service on
15    or after July 1, 2006, a River Edge Redevelopment Zone
16    established pursuant to the River Edge Redevelopment Zone
17    Act. For partners, shareholders of Subchapter S
18    corporations, and owners of limited liability companies,
19    if the liability company is treated as a partnership for
20    purposes of federal and State income taxation, there shall
21    be allowed a credit under this subsection (f) to be
22    determined in accordance with the determination of income
23    and distributive share of income under Sections 702 and 704
24    and Subchapter S of the Internal Revenue Code. The credit
25    shall be .5% of the basis for such property. The credit
26    shall be available only in the taxable year in which the

 

 

HB3811- 19 -LRB097 13527 HLH 58048 b

1    property is placed in service in the Enterprise Zone or
2    River Edge Redevelopment Zone and shall not be allowed to
3    the extent that it would reduce a taxpayer's liability for
4    the tax imposed by subsections (a) and (b) of this Section
5    to below zero. For tax years ending on or after December
6    31, 1985, the credit shall be allowed for the tax year in
7    which the property is placed in service, or, if the amount
8    of the credit exceeds the tax liability for that year,
9    whether it exceeds the original liability or the liability
10    as later amended, such excess may be carried forward and
11    applied to the tax liability of the 5 taxable years
12    following the excess credit year. The credit shall be
13    applied to the earliest year for which there is a
14    liability. If there is credit from more than one tax year
15    that is available to offset a liability, the credit
16    accruing first in time shall be applied first.
17        (2) The term qualified property means property which:
18            (A) is tangible, whether new or used, including
19        buildings and structural components of buildings;
20            (B) is depreciable pursuant to Section 167 of the
21        Internal Revenue Code, except that "3-year property"
22        as defined in Section 168(c)(2)(A) of that Code is not
23        eligible for the credit provided by this subsection
24        (f);
25            (C) is acquired by purchase as defined in Section
26        179(d) of the Internal Revenue Code;

 

 

HB3811- 20 -LRB097 13527 HLH 58048 b

1            (D) is used in the Enterprise Zone or River Edge
2        Redevelopment Zone by the taxpayer; and
3            (E) has not been previously used in Illinois in
4        such a manner and by such a person as would qualify for
5        the credit provided by this subsection (f) or
6        subsection (e).
7        (3) The basis of qualified property shall be the basis
8    used to compute the depreciation deduction for federal
9    income tax purposes.
10        (4) If the basis of the property for federal income tax
11    depreciation purposes is increased after it has been placed
12    in service in the Enterprise Zone or River Edge
13    Redevelopment Zone by the taxpayer, the amount of such
14    increase shall be deemed property placed in service on the
15    date of such increase in basis.
16        (5) The term "placed in service" shall have the same
17    meaning as under Section 46 of the Internal Revenue Code.
18        (6) If during any taxable year, any property ceases to
19    be qualified property in the hands of the taxpayer within
20    48 months after being placed in service, or the situs of
21    any qualified property is moved outside the Enterprise Zone
22    or River Edge Redevelopment Zone within 48 months after
23    being placed in service, the tax imposed under subsections
24    (a) and (b) of this Section for such taxable year shall be
25    increased. Such increase shall be determined by (i)
26    recomputing the investment credit which would have been

 

 

HB3811- 21 -LRB097 13527 HLH 58048 b

1    allowed for the year in which credit for such property was
2    originally allowed by eliminating such property from such
3    computation, and (ii) subtracting such recomputed credit
4    from the amount of credit previously allowed. For the
5    purposes of this paragraph (6), a reduction of the basis of
6    qualified property resulting from a redetermination of the
7    purchase price shall be deemed a disposition of qualified
8    property to the extent of such reduction.
9        (7) There shall be allowed an additional credit equal
10    to 0.5% of the basis of qualified property placed in
11    service during the taxable year in a River Edge
12    Redevelopment Zone, provided such property is placed in
13    service on or after July 1, 2006, and the taxpayer's base
14    employment within Illinois has increased by 1% or more over
15    the preceding year as determined by the taxpayer's
16    employment records filed with the Illinois Department of
17    Employment Security. Taxpayers who are new to Illinois
18    shall be deemed to have met the 1% growth in base
19    employment for the first year in which they file employment
20    records with the Illinois Department of Employment
21    Security. If, in any year, the increase in base employment
22    within Illinois over the preceding year is less than 1%,
23    the additional credit shall be limited to that percentage
24    times a fraction, the numerator of which is 0.5% and the
25    denominator of which is 1%, but shall not exceed 0.5%.
26    (g) Jobs Tax Credit; Enterprise Zone, River Edge

 

 

HB3811- 22 -LRB097 13527 HLH 58048 b

1Redevelopment Zone, and Foreign Trade Zone or Sub-Zone.
2        (1) A taxpayer conducting a trade or business in an
3    enterprise zone or a High Impact Business designated by the
4    Department of Commerce and Economic Opportunity or for
5    taxable years ending on or after December 31, 2006, in a
6    River Edge Redevelopment Zone conducting a trade or
7    business in a federally designated Foreign Trade Zone or
8    Sub-Zone shall be allowed a credit against the tax imposed
9    by subsections (a) and (b) of this Section in the amount of
10    $500 per eligible employee hired to work in the zone during
11    the taxable year.
12        (2) To qualify for the credit:
13            (A) the taxpayer must hire 5 or more eligible
14        employees to work in an enterprise zone, River Edge
15        Redevelopment Zone, or federally designated Foreign
16        Trade Zone or Sub-Zone during the taxable year;
17            (B) the taxpayer's total employment within the
18        enterprise zone, River Edge Redevelopment Zone, or
19        federally designated Foreign Trade Zone or Sub-Zone
20        must increase by 5 or more full-time employees beyond
21        the total employed in that zone at the end of the
22        previous tax year for which a jobs tax credit under
23        this Section was taken, or beyond the total employed by
24        the taxpayer as of December 31, 1985, whichever is
25        later; and
26            (C) the eligible employees must be employed 180

 

 

HB3811- 23 -LRB097 13527 HLH 58048 b

1        consecutive days in order to be deemed hired for
2        purposes of this subsection.
3        (3) An "eligible employee" means an employee who is:
4            (A) Certified by the Department of Commerce and
5        Economic Opportunity as "eligible for services"
6        pursuant to regulations promulgated in accordance with
7        Title II of the Job Training Partnership Act, Training
8        Services for the Disadvantaged or Title III of the Job
9        Training Partnership Act, Employment and Training
10        Assistance for Dislocated Workers Program.
11            (B) Hired after the enterprise zone, River Edge
12        Redevelopment Zone, or federally designated Foreign
13        Trade Zone or Sub-Zone was designated or the trade or
14        business was located in that zone, whichever is later.
15            (C) Employed in the enterprise zone, River Edge
16        Redevelopment Zone, or Foreign Trade Zone or Sub-Zone.
17        An employee is employed in an enterprise zone or
18        federally designated Foreign Trade Zone or Sub-Zone if
19        his services are rendered there or it is the base of
20        operations for the services performed.
21            (D) A full-time employee working 30 or more hours
22        per week.
23        (4) For tax years ending on or after December 31, 1985
24    and prior to December 31, 1988, the credit shall be allowed
25    for the tax year in which the eligible employees are hired.
26    For tax years ending on or after December 31, 1988, the

 

 

HB3811- 24 -LRB097 13527 HLH 58048 b

1    credit shall be allowed for the tax year immediately
2    following the tax year in which the eligible employees are
3    hired. If the amount of the credit exceeds the tax
4    liability for that year, whether it exceeds the original
5    liability or the liability as later amended, such excess
6    may be carried forward and applied to the tax liability of
7    the 5 taxable years following the excess credit year. The
8    credit shall be applied to the earliest year for which
9    there is a liability. If there is credit from more than one
10    tax year that is available to offset a liability, earlier
11    credit shall be applied first.
12        (5) The Department of Revenue shall promulgate such
13    rules and regulations as may be deemed necessary to carry
14    out the purposes of this subsection (g).
15        (6) The credit shall be available for eligible
16    employees hired on or after January 1, 1986.
17    (h) Investment credit; High Impact Business.
18        (1) Subject to subsections (b) and (b-5) of Section 5.5
19    of the Illinois Enterprise Zone Act, a taxpayer shall be
20    allowed a credit against the tax imposed by subsections (a)
21    and (b) of this Section for investment in qualified
22    property which is placed in service by a Department of
23    Commerce and Economic Opportunity designated High Impact
24    Business. The credit shall be .5% of the basis for such
25    property. The credit shall not be available (i) until the
26    minimum investments in qualified property set forth in

 

 

HB3811- 25 -LRB097 13527 HLH 58048 b

1    subdivision (a)(3)(A) of Section 5.5 of the Illinois
2    Enterprise Zone Act have been satisfied or (ii) until the
3    time authorized in subsection (b-5) of the Illinois
4    Enterprise Zone Act for entities designated as High Impact
5    Businesses under subdivisions (a)(3)(B), (a)(3)(C), and
6    (a)(3)(D) of Section 5.5 of the Illinois Enterprise Zone
7    Act, and shall not be allowed to the extent that it would
8    reduce a taxpayer's liability for the tax imposed by
9    subsections (a) and (b) of this Section to below zero. The
10    credit applicable to such investments shall be taken in the
11    taxable year in which such investments have been completed.
12    The credit for additional investments beyond the minimum
13    investment by a designated high impact business authorized
14    under subdivision (a)(3)(A) of Section 5.5 of the Illinois
15    Enterprise Zone Act shall be available only in the taxable
16    year in which the property is placed in service and shall
17    not be allowed to the extent that it would reduce a
18    taxpayer's liability for the tax imposed by subsections (a)
19    and (b) of this Section to below zero. For tax years ending
20    on or after December 31, 1987, the credit shall be allowed
21    for the tax year in which the property is placed in
22    service, or, if the amount of the credit exceeds the tax
23    liability for that year, whether it exceeds the original
24    liability or the liability as later amended, such excess
25    may be carried forward and applied to the tax liability of
26    the 5 taxable years following the excess credit year. The

 

 

HB3811- 26 -LRB097 13527 HLH 58048 b

1    credit shall be applied to the earliest year for which
2    there is a liability. If there is credit from more than one
3    tax year that is available to offset a liability, the
4    credit accruing first in time shall be applied first.
5        Changes made in this subdivision (h)(1) by Public Act
6    88-670 restore changes made by Public Act 85-1182 and
7    reflect existing law.
8        (2) The term qualified property means property which:
9            (A) is tangible, whether new or used, including
10        buildings and structural components of buildings;
11            (B) is depreciable pursuant to Section 167 of the
12        Internal Revenue Code, except that "3-year property"
13        as defined in Section 168(c)(2)(A) of that Code is not
14        eligible for the credit provided by this subsection
15        (h);
16            (C) is acquired by purchase as defined in Section
17        179(d) of the Internal Revenue Code; and
18            (D) is not eligible for the Enterprise Zone
19        Investment Credit provided by subsection (f) of this
20        Section.
21        (3) The basis of qualified property shall be the basis
22    used to compute the depreciation deduction for federal
23    income tax purposes.
24        (4) If the basis of the property for federal income tax
25    depreciation purposes is increased after it has been placed
26    in service in a federally designated Foreign Trade Zone or

 

 

HB3811- 27 -LRB097 13527 HLH 58048 b

1    Sub-Zone located in Illinois by the taxpayer, the amount of
2    such increase shall be deemed property placed in service on
3    the date of such increase in basis.
4        (5) The term "placed in service" shall have the same
5    meaning as under Section 46 of the Internal Revenue Code.
6        (6) If during any taxable year ending on or before
7    December 31, 1996, any property ceases to be qualified
8    property in the hands of the taxpayer within 48 months
9    after being placed in service, or the situs of any
10    qualified property is moved outside Illinois within 48
11    months after being placed in service, the tax imposed under
12    subsections (a) and (b) of this Section for such taxable
13    year shall be increased. Such increase shall be determined
14    by (i) recomputing the investment credit which would have
15    been allowed for the year in which credit for such property
16    was originally allowed by eliminating such property from
17    such computation, and (ii) subtracting such recomputed
18    credit from the amount of credit previously allowed. For
19    the purposes of this paragraph (6), a reduction of the
20    basis of qualified property resulting from a
21    redetermination of the purchase price shall be deemed a
22    disposition of qualified property to the extent of such
23    reduction.
24        (7) Beginning with tax years ending after December 31,
25    1996, if a taxpayer qualifies for the credit under this
26    subsection (h) and thereby is granted a tax abatement and

 

 

HB3811- 28 -LRB097 13527 HLH 58048 b

1    the taxpayer relocates its entire facility in violation of
2    the explicit terms and length of the contract under Section
3    18-183 of the Property Tax Code, the tax imposed under
4    subsections (a) and (b) of this Section shall be increased
5    for the taxable year in which the taxpayer relocated its
6    facility by an amount equal to the amount of credit
7    received by the taxpayer under this subsection (h).
8    (i) Credit for Personal Property Tax Replacement Income
9Tax. For tax years ending prior to December 31, 2003, a credit
10shall be allowed against the tax imposed by subsections (a) and
11(b) of this Section for the tax imposed by subsections (c) and
12(d) of this Section. This credit shall be computed by
13multiplying the tax imposed by subsections (c) and (d) of this
14Section by a fraction, the numerator of which is base income
15allocable to Illinois and the denominator of which is Illinois
16base income, and further multiplying the product by the tax
17rate imposed by subsections (a) and (b) of this Section.
18    Any credit earned on or after December 31, 1986 under this
19subsection which is unused in the year the credit is computed
20because it exceeds the tax liability imposed by subsections (a)
21and (b) for that year (whether it exceeds the original
22liability or the liability as later amended) may be carried
23forward and applied to the tax liability imposed by subsections
24(a) and (b) of the 5 taxable years following the excess credit
25year, provided that no credit may be carried forward to any
26year ending on or after December 31, 2003. This credit shall be

 

 

HB3811- 29 -LRB097 13527 HLH 58048 b

1applied first to the earliest year for which there is a
2liability. If there is a credit under this subsection from more
3than one tax year that is available to offset a liability the
4earliest credit arising under this subsection shall be applied
5first.
6    If, during any taxable year ending on or after December 31,
71986, the tax imposed by subsections (c) and (d) of this
8Section for which a taxpayer has claimed a credit under this
9subsection (i) is reduced, the amount of credit for such tax
10shall also be reduced. Such reduction shall be determined by
11recomputing the credit to take into account the reduced tax
12imposed by subsections (c) and (d). If any portion of the
13reduced amount of credit has been carried to a different
14taxable year, an amended return shall be filed for such taxable
15year to reduce the amount of credit claimed.
16    (j) Training expense credit. Beginning with tax years
17ending on or after December 31, 1986 and prior to December 31,
182003, a taxpayer shall be allowed a credit against the tax
19imposed by subsections (a) and (b) under this Section for all
20amounts paid or accrued, on behalf of all persons employed by
21the taxpayer in Illinois or Illinois residents employed outside
22of Illinois by a taxpayer, for educational or vocational
23training in semi-technical or technical fields or semi-skilled
24or skilled fields, which were deducted from gross income in the
25computation of taxable income. The credit against the tax
26imposed by subsections (a) and (b) shall be 1.6% of such

 

 

HB3811- 30 -LRB097 13527 HLH 58048 b

1training expenses. For partners, shareholders of subchapter S
2corporations, and owners of limited liability companies, if the
3liability company is treated as a partnership for purposes of
4federal and State income taxation, there shall be allowed a
5credit under this subsection (j) to be determined in accordance
6with the determination of income and distributive share of
7income under Sections 702 and 704 and subchapter S of the
8Internal Revenue Code.
9    Any credit allowed under this subsection which is unused in
10the year the credit is earned may be carried forward to each of
11the 5 taxable years following the year for which the credit is
12first computed until it is used. This credit shall be applied
13first to the earliest year for which there is a liability. If
14there is a credit under this subsection from more than one tax
15year that is available to offset a liability the earliest
16credit arising under this subsection shall be applied first. No
17carryforward credit may be claimed in any tax year ending on or
18after December 31, 2003.
19    (k) Research and development credit.
20    For tax years ending after July 1, 1990 and prior to
21December 31, 2003, and beginning again for tax years ending on
22or after December 31, 2004, and ending prior to January 1,
232011, a taxpayer shall be allowed a credit against the tax
24imposed by subsections (a) and (b) of this Section for
25increasing research activities in this State. The credit
26allowed against the tax imposed by subsections (a) and (b)

 

 

HB3811- 31 -LRB097 13527 HLH 58048 b

1shall be equal to 6 1/2% of the qualifying expenditures for
2increasing research activities in this State. For partners,
3shareholders of subchapter S corporations, and owners of
4limited liability companies, if the liability company is
5treated as a partnership for purposes of federal and State
6income taxation, there shall be allowed a credit under this
7subsection to be determined in accordance with the
8determination of income and distributive share of income under
9Sections 702 and 704 and subchapter S of the Internal Revenue
10Code. It is the intention of the General Assembly that the
11credit awarded under this subsection (k) be available for all
12tax years ending on or after December, 31, 2004, including, but
13not limited to, tax years ending on or after December, 31, 2004
14and prior to the effective date of this amendatory Act of the
1597th General Assembly.
16    For purposes of this subsection, "qualifying expenditures"
17means the qualifying expenditures as defined for the federal
18credit for increasing research activities which would be
19allowable under Section 41 of the Internal Revenue Code and
20which are conducted in this State, "qualifying expenditures for
21increasing research activities in this State" means the excess
22of qualifying expenditures for the taxable year in which
23incurred over qualifying expenditures for the base period,
24"qualifying expenditures for the base period" means the average
25of the qualifying expenditures for each year in the base
26period, and "base period" means the 3 taxable years immediately

 

 

HB3811- 32 -LRB097 13527 HLH 58048 b

1preceding the taxable year for which the determination is being
2made. For purposes of this subsection, the term "qualifying
3expenditures" also includes amounts paid or incurred for
4ethanol and biodiesel research conducted in this State.
5    Any credit in excess of the tax liability for the taxable
6year may be carried forward. A taxpayer may elect to have the
7unused credit shown on its final completed return carried over
8as a credit against the tax liability for the following 5
9taxable years or until it has been fully used, whichever occurs
10first; provided that no credit earned in a tax year ending
11prior to December 31, 2003 may be carried forward to any year
12ending on or after December 31, 2003, and no credit may be
13carried forward to any taxable year ending on or after January
141, 2011.
15    If an unused credit is carried forward to a given year from
162 or more earlier years, that credit arising in the earliest
17year will be applied first against the tax liability for the
18given year. If a tax liability for the given year still
19remains, the credit from the next earliest year will then be
20applied, and so on, until all credits have been used or no tax
21liability for the given year remains. Any remaining unused
22credit or credits then will be carried forward to the next
23following year in which a tax liability is incurred, except
24that no credit can be carried forward to a year which is more
25than 5 years after the year in which the expense for which the
26credit is given was incurred.

 

 

HB3811- 33 -LRB097 13527 HLH 58048 b

1    No inference shall be drawn from this amendatory Act of the
291st General Assembly in construing this Section for taxable
3years beginning before January 1, 1999.
4    This subsection (k) is exempt from the provisions of
5Section 250.
6    (l) Environmental Remediation Tax Credit.
7        (i) For tax years ending after December 31, 1997 and on
8    or before December 31, 2001, a taxpayer shall be allowed a
9    credit against the tax imposed by subsections (a) and (b)
10    of this Section for certain amounts paid for unreimbursed
11    eligible remediation costs, as specified in this
12    subsection. For purposes of this Section, "unreimbursed
13    eligible remediation costs" means costs approved by the
14    Illinois Environmental Protection Agency ("Agency") under
15    Section 58.14 of the Environmental Protection Act that were
16    paid in performing environmental remediation at a site for
17    which a No Further Remediation Letter was issued by the
18    Agency and recorded under Section 58.10 of the
19    Environmental Protection Act. The credit must be claimed
20    for the taxable year in which Agency approval of the
21    eligible remediation costs is granted. The credit is not
22    available to any taxpayer if the taxpayer or any related
23    party caused or contributed to, in any material respect, a
24    release of regulated substances on, in, or under the site
25    that was identified and addressed by the remedial action
26    pursuant to the Site Remediation Program of the

 

 

HB3811- 34 -LRB097 13527 HLH 58048 b

1    Environmental Protection Act. After the Pollution Control
2    Board rules are adopted pursuant to the Illinois
3    Administrative Procedure Act for the administration and
4    enforcement of Section 58.9 of the Environmental
5    Protection Act, determinations as to credit availability
6    for purposes of this Section shall be made consistent with
7    those rules. For purposes of this Section, "taxpayer"
8    includes a person whose tax attributes the taxpayer has
9    succeeded to under Section 381 of the Internal Revenue Code
10    and "related party" includes the persons disallowed a
11    deduction for losses by paragraphs (b), (c), and (f)(1) of
12    Section 267 of the Internal Revenue Code by virtue of being
13    a related taxpayer, as well as any of its partners. The
14    credit allowed against the tax imposed by subsections (a)
15    and (b) shall be equal to 25% of the unreimbursed eligible
16    remediation costs in excess of $100,000 per site, except
17    that the $100,000 threshold shall not apply to any site
18    contained in an enterprise zone as determined by the
19    Department of Commerce and Community Affairs (now
20    Department of Commerce and Economic Opportunity). The
21    total credit allowed shall not exceed $40,000 per year with
22    a maximum total of $150,000 per site. For partners and
23    shareholders of subchapter S corporations, there shall be
24    allowed a credit under this subsection to be determined in
25    accordance with the determination of income and
26    distributive share of income under Sections 702 and 704 and

 

 

HB3811- 35 -LRB097 13527 HLH 58048 b

1    subchapter S of the Internal Revenue Code.
2        (ii) A credit allowed under this subsection that is
3    unused in the year the credit is earned may be carried
4    forward to each of the 5 taxable years following the year
5    for which the credit is first earned until it is used. The
6    term "unused credit" does not include any amounts of
7    unreimbursed eligible remediation costs in excess of the
8    maximum credit per site authorized under paragraph (i).
9    This credit shall be applied first to the earliest year for
10    which there is a liability. If there is a credit under this
11    subsection from more than one tax year that is available to
12    offset a liability, the earliest credit arising under this
13    subsection shall be applied first. A credit allowed under
14    this subsection may be sold to a buyer as part of a sale of
15    all or part of the remediation site for which the credit
16    was granted. The purchaser of a remediation site and the
17    tax credit shall succeed to the unused credit and remaining
18    carry-forward period of the seller. To perfect the
19    transfer, the assignor shall record the transfer in the
20    chain of title for the site and provide written notice to
21    the Director of the Illinois Department of Revenue of the
22    assignor's intent to sell the remediation site and the
23    amount of the tax credit to be transferred as a portion of
24    the sale. In no event may a credit be transferred to any
25    taxpayer if the taxpayer or a related party would not be
26    eligible under the provisions of subsection (i).

 

 

HB3811- 36 -LRB097 13527 HLH 58048 b

1        (iii) For purposes of this Section, the term "site"
2    shall have the same meaning as under Section 58.2 of the
3    Environmental Protection Act.
4    (m) Education expense credit. Beginning with tax years
5ending after December 31, 1999, a taxpayer who is the custodian
6of one or more qualifying pupils shall be allowed a credit
7against the tax imposed by subsections (a) and (b) of this
8Section for qualified education expenses incurred on behalf of
9the qualifying pupils. The credit shall be equal to 25% of
10qualified education expenses, but in no event may the total
11credit under this subsection claimed by a family that is the
12custodian of qualifying pupils exceed $500. In no event shall a
13credit under this subsection reduce the taxpayer's liability
14under this Act to less than zero. This subsection is exempt
15from the provisions of Section 250 of this Act.
16    For purposes of this subsection:
17    "Qualifying pupils" means individuals who (i) are
18residents of the State of Illinois, (ii) are under the age of
1921 at the close of the school year for which a credit is
20sought, and (iii) during the school year for which a credit is
21sought were full-time pupils enrolled in a kindergarten through
22twelfth grade education program at any school, as defined in
23this subsection.
24    "Qualified education expense" means the amount incurred on
25behalf of a qualifying pupil in excess of $250 for tuition,
26book fees, and lab fees at the school in which the pupil is

 

 

HB3811- 37 -LRB097 13527 HLH 58048 b

1enrolled during the regular school year.
2    "School" means any public or nonpublic elementary or
3secondary school in Illinois that is in compliance with Title
4VI of the Civil Rights Act of 1964 and attendance at which
5satisfies the requirements of Section 26-1 of the School Code,
6except that nothing shall be construed to require a child to
7attend any particular public or nonpublic school to qualify for
8the credit under this Section.
9    "Custodian" means, with respect to qualifying pupils, an
10Illinois resident who is a parent, the parents, a legal
11guardian, or the legal guardians of the qualifying pupils.
12    (n) River Edge Redevelopment Zone site remediation tax
13credit.
14        (i) For tax years ending on or after December 31, 2006,
15    a taxpayer shall be allowed a credit against the tax
16    imposed by subsections (a) and (b) of this Section for
17    certain amounts paid for unreimbursed eligible remediation
18    costs, as specified in this subsection. For purposes of
19    this Section, "unreimbursed eligible remediation costs"
20    means costs approved by the Illinois Environmental
21    Protection Agency ("Agency") under Section 58.14a of the
22    Environmental Protection Act that were paid in performing
23    environmental remediation at a site within a River Edge
24    Redevelopment Zone for which a No Further Remediation
25    Letter was issued by the Agency and recorded under Section
26    58.10 of the Environmental Protection Act. The credit must

 

 

HB3811- 38 -LRB097 13527 HLH 58048 b

1    be claimed for the taxable year in which Agency approval of
2    the eligible remediation costs is granted. The credit is
3    not available to any taxpayer if the taxpayer or any
4    related party caused or contributed to, in any material
5    respect, a release of regulated substances on, in, or under
6    the site that was identified and addressed by the remedial
7    action pursuant to the Site Remediation Program of the
8    Environmental Protection Act. Determinations as to credit
9    availability for purposes of this Section shall be made
10    consistent with rules adopted by the Pollution Control
11    Board pursuant to the Illinois Administrative Procedure
12    Act for the administration and enforcement of Section 58.9
13    of the Environmental Protection Act. For purposes of this
14    Section, "taxpayer" includes a person whose tax attributes
15    the taxpayer has succeeded to under Section 381 of the
16    Internal Revenue Code and "related party" includes the
17    persons disallowed a deduction for losses by paragraphs
18    (b), (c), and (f)(1) of Section 267 of the Internal Revenue
19    Code by virtue of being a related taxpayer, as well as any
20    of its partners. The credit allowed against the tax imposed
21    by subsections (a) and (b) shall be equal to 25% of the
22    unreimbursed eligible remediation costs in excess of
23    $100,000 per site.
24        (ii) A credit allowed under this subsection that is
25    unused in the year the credit is earned may be carried
26    forward to each of the 5 taxable years following the year

 

 

HB3811- 39 -LRB097 13527 HLH 58048 b

1    for which the credit is first earned until it is used. This
2    credit shall be applied first to the earliest year for
3    which there is a liability. If there is a credit under this
4    subsection from more than one tax year that is available to
5    offset a liability, the earliest credit arising under this
6    subsection shall be applied first. A credit allowed under
7    this subsection may be sold to a buyer as part of a sale of
8    all or part of the remediation site for which the credit
9    was granted. The purchaser of a remediation site and the
10    tax credit shall succeed to the unused credit and remaining
11    carry-forward period of the seller. To perfect the
12    transfer, the assignor shall record the transfer in the
13    chain of title for the site and provide written notice to
14    the Director of the Illinois Department of Revenue of the
15    assignor's intent to sell the remediation site and the
16    amount of the tax credit to be transferred as a portion of
17    the sale. In no event may a credit be transferred to any
18    taxpayer if the taxpayer or a related party would not be
19    eligible under the provisions of subsection (i).
20        (iii) For purposes of this Section, the term "site"
21    shall have the same meaning as under Section 58.2 of the
22    Environmental Protection Act.
23(Source: P.A. 96-115, eff. 7-31-09; 96-116, eff. 7-31-09;
2496-937, eff. 6-23-10; 96-1000, eff. 7-2-10; 96-1496, eff.
251-13-11; 97-2, eff. 5-6-11.)
 

 

 

HB3811- 40 -LRB097 13527 HLH 58048 b

1    (35 ILCS 5/207)  (from Ch. 120, par. 2-207)
2    Sec. 207. Net Losses.
3    (a) If after applying all of the (i) modifications provided
4for in paragraph (2) of Section 203(b), paragraph (2) of
5Section 203(c) and paragraph (2) of Section 203(d) and (ii) the
6allocation and apportionment provisions of Article 3 of this
7Act and subsection (c) of this Section, the taxpayer's net
8income results in a loss;
9        (1) for any taxable year ending prior to December 31,
10    1999, such loss shall be allowed as a carryover or
11    carryback deduction in the manner allowed under Section 172
12    of the Internal Revenue Code;
13        (2) for any taxable year ending on or after December
14    31, 1999 and prior to December 31, 2003, such loss shall be
15    allowed as a carryback to each of the 2 taxable years
16    preceding the taxable year of such loss and shall be a net
17    operating loss carryover to each of the 20 taxable years
18    following the taxable year of such loss; and
19        (3) for any taxable year ending on or after December
20    31, 2003 and prior to December 31, 2011, such loss shall be
21    allowed as a net operating loss carryover to each of the 12
22    taxable years following the taxable year of such loss; and
23    , except as provided in subsection (d).
24        (4) for any taxable year ending on or after December
25    31, 2011, such loss shall be allowed as a carryback to each
26    of the 2 taxable years preceding the taxable year of the

 

 

HB3811- 41 -LRB097 13527 HLH 58048 b

1    loss and shall be allowed as a net operating loss carryover
2    to each of the 20 taxable years following the taxable year
3    of the loss.
4    (a-5) Election to relinquish carryback and order of
5application of losses.
6            (A) For losses incurred in tax years ending prior
7        to December 31, 2003, the taxpayer may elect to
8        relinquish the entire carryback period with respect to
9        such loss. Such election shall be made in the form and
10        manner prescribed by the Department and shall be made
11        by the due date (including extensions of time) for
12        filing the taxpayer's return for the taxable year in
13        which such loss is incurred, and such election, once
14        made, shall be irrevocable.
15            (B) The entire amount of such loss shall be carried
16        to the earliest taxable year to which such loss may be
17        carried. The amount of such loss which shall be carried
18        to each of the other taxable years shall be the excess,
19        if any, of the amount of such loss over the sum of the
20        deductions for carryback or carryover of such loss
21        allowable for each of the prior taxable years to which
22        such loss may be carried.
23    (b) Any loss determined under subsection (a) of this
24Section must be carried back or carried forward in the same
25manner for purposes of subsections (a) and (b) of Section 201
26of this Act as for purposes of subsections (c) and (d) of

 

 

HB3811- 42 -LRB097 13527 HLH 58048 b

1Section 201 of this Act.
2    (c) Notwithstanding any other provision of this Act, for
3each taxable year ending on or after December 31, 2008, for
4purposes of computing the loss for the taxable year under
5subsection (a) of this Section and the deduction taken into
6account for the taxable year for a net operating loss carryover
7under paragraphs (1), (2), and (3) of subsection (a) of this
8Section, the loss and net operating loss carryover shall be
9reduced in an amount equal to the reduction to the net
10operating loss and net operating loss carryover to the taxable
11year, respectively, required under Section 108(b)(2)(A) of the
12Internal Revenue Code, multiplied by a fraction, the numerator
13of which is the amount of discharge of indebtedness income that
14is excluded from gross income for the taxable year (but only if
15the taxable year ends on or after December 31, 2008) under
16Section 108(a) of the Internal Revenue Code and that would have
17been allocated and apportioned to this State under Article 3 of
18this Act but for that exclusion, and the denominator of which
19is the total amount of discharge of indebtedness income
20excluded from gross income under Section 108(a) of the Internal
21Revenue Code for the taxable year. The reduction required under
22this subsection (c) shall be made after the determination of
23Illinois net income for the taxable year in which the
24indebtedness is discharged.
25    (d) (Blank). In the case of a corporation (other than a
26Subchapter S corporation), no carryover deduction shall be

 

 

HB3811- 43 -LRB097 13527 HLH 58048 b

1allowed under this Section for any taxable year ending after
2December 31, 2010 and prior to December 31, 2014; provided
3that, for purposes of determining the taxable years to which a
4net loss may be carried under subsection (a) of this Section,
5no taxable year for which a deduction is disallowed under this
6subsection shall be counted.
7    (e) In the case of a residual interest holder in a real
8estate mortgage investment conduit subject to Section 860E of
9the Internal Revenue Code, the net loss in subsection (a) shall
10be equal to:
11        (1) the amount computed under subsection (a), without
12    regard to this subsection (e), or if that amount is
13    positive, zero;
14        (2) minus an amount equal to the amount computed under
15    subsection (a), without regard to this subsection (e),
16    minus the amount that would be computed under subsection
17    (a) if the taxpayer's federal taxable income were computed
18    without regard to Section 860E of the Internal Revenue Code
19    and without regard to this subsection (e).
20    The modification in this subsection (e) is exempt from the
21provisions of Section 250.
22(Source: P.A. 96-1496, eff. 1-13-11; 97-507, eff. 8-23-11.)
 
23    Section 15. The Retailers' Occupation Tax Act is amended by
24changing Section 1f as follows:
 

 

 

HB3811- 44 -LRB097 13527 HLH 58048 b

1    (35 ILCS 120/1f)  (from Ch. 120, par. 440f)
2    Sec. 1f. Except for High Impact Businesses, the exemption
3stated in Sections 1d and 1e of this Act shall only apply to
4business enterprises which:
5        (1) either (i) make investments which cause the
6    creation of a minimum of 200 full-time equivalent jobs in
7    Illinois or (ii) make investments which cause the retention
8    of a minimum of 2000 full-time jobs in Illinois or (iii)
9    make investments of a minimum of $40,000,000 and retain at
10    least 90% of the jobs in place on the date on which the
11    exemption is granted and for the duration of the exemption;
12    and
13        (2) are located in an Enterprise Zone established
14    pursuant to the Illinois Enterprise Zone Act; and
15        (3) are certified by the Department of Commerce and
16    Economic Opportunity as complying with the requirements
17    specified in clauses (1), (2) and (3).
18    Any business enterprise seeking to avail itself of the
19exemptions stated in Sections 1d or 1e, or both, shall make
20application to the Department of Commerce and Economic
21Opportunity in such form and providing such information as may
22be prescribed by the Department of Commerce and Economic
23Opportunity. However, no business enterprise shall be
24required, as a condition for certification under clause (4) of
25this Section, to attest that its decision to invest under
26clause (1) of this Section and to locate under clause (2) of

 

 

HB3811- 45 -LRB097 13527 HLH 58048 b

1this Section is predicated upon the availability of the
2exemptions authorized by Sections 1d or 1e.
3    The Department of Commerce and Economic Opportunity shall
4determine whether the business enterprise meets the criteria
5prescribed in this Section. If the Department of Commerce and
6Economic Opportunity determines that such business enterprise
7meets the criteria, it shall issue a certificate of eligibility
8for exemption to the business enterprise in such form as is
9prescribed by the Department of Revenue. The Department of
10Commerce and Economic Opportunity shall act upon such
11certification requests within 60 days after receipt of the
12application, and shall file with the Department of Revenue a
13copy of each certificate of eligibility for exemption.
14    The Department of Commerce and Economic Opportunity shall
15have the power to promulgate rules and regulations to carry out
16the provisions of this Section including the power to define
17the amounts and types of eligible investments not specified in
18this Section which business enterprises must make in order to
19receive the exemptions stated in Sections 1d and 1e of this
20Act; and to require that any business enterprise that is
21granted a tax exemption repay the exempted tax if the business
22enterprise fails to comply with the terms and conditions of the
23certification.
24    Such certificate of eligibility for exemption shall be
25presented by the business enterprise to its supplier when
26making the initial purchase of tangible personal property for

 

 

HB3811- 46 -LRB097 13527 HLH 58048 b

1which an exemption is granted by Section 1d or Section 1e, or
2both, together with a certification by the business enterprise
3that such tangible personal property is exempt from taxation
4under Section 1d or Section 1e and by indicating the exempt
5status of each subsequent purchase on the face of the purchase
6order.
7    The Department of Commerce and Economic Opportunity shall
8determine the period during which such exemption from the taxes
9imposed under this Act is in effect which shall not exceed 50
1020 years or the certified term of the enterprise zone
11(including any extensions granted under subsection (c) of
12Section 5.3 of the Illinois Enterprise Zone Act), whichever
13period is shorter.
14(Source: P.A. 94-793, eff. 5-19-06.)
 
15    Section 20. The Illinois Estate and Generation-Skipping
16Transfer Tax Act is amended by changing Section 2 as follows:
 
17    (35 ILCS 405/2)  (from Ch. 120, par. 405A-2)
18    Sec. 2. Definitions.
19    "Federal estate tax" means the tax due to the United States
20with respect to a taxable transfer under Chapter 11 of the
21Internal Revenue Code.
22    "Federal generation-skipping transfer tax" means the tax
23due to the United States with respect to a taxable transfer
24under Chapter 13 of the Internal Revenue Code.

 

 

HB3811- 47 -LRB097 13527 HLH 58048 b

1    "Federal return" means the federal estate tax return with
2respect to the federal estate tax and means the federal
3generation-skipping transfer tax return with respect to the
4federal generation-skipping transfer tax.
5    "Federal transfer tax" means the federal estate tax or the
6federal generation-skipping transfer tax.
7    "Illinois estate tax" means the tax due to this State with
8respect to a taxable transfer.
9    "Illinois generation-skipping transfer tax" means the tax
10due to this State with respect to a taxable transfer that gives
11rise to a federal generation-skipping transfer tax.
12    "Illinois transfer tax" means the Illinois estate tax or
13the Illinois generation-skipping transfer tax.
14    "Internal Revenue Code" means, unless otherwise provided,
15the Internal Revenue Code of 1986, as amended from time to
16time.
17    "Non-resident trust" means a trust that is not a resident
18of this State for purposes of the Illinois Income Tax Act, as
19amended from time to time.
20    "Person" means and includes any individual, trust, estate,
21partnership, association, company or corporation.
22    "Qualified heir" means a qualified heir as defined in
23Section 2032A(e)(1) of the Internal Revenue Code.
24    "Resident trust" means a trust that is a resident of this
25State for purposes of the Illinois Income Tax Act, as amended
26from time to time.

 

 

HB3811- 48 -LRB097 13527 HLH 58048 b

1    "State" means any state, territory or possession of the
2United States and the District of Columbia.
3    "State tax credit" means:
4    (a) For persons dying on or after January 1, 2003 and
5through December 31, 2005, an amount equal to the full credit
6calculable under Section 2011 or Section 2604 of the Internal
7Revenue Code as the credit would have been computed and allowed
8under the Internal Revenue Code as in effect on December 31,
92001, without the reduction in the State Death Tax Credit as
10provided in Section 2011(b)(2) or the termination of the State
11Death Tax Credit as provided in Section 2011(f) as enacted by
12the Economic Growth and Tax Relief Reconciliation Act of 2001,
13but recognizing the increased applicable exclusion amount
14through December 31, 2005.
15    (b) For persons dying after December 31, 2005 and on or
16before December 31, 2009, and for persons dying after December
1731, 2010, an amount equal to the full credit calculable under
18Section 2011 or 2604 of the Internal Revenue Code as the credit
19would have been computed and allowed under the Internal Revenue
20Code as in effect on December 31, 2001, without the reduction
21in the State Death Tax Credit as provided in Section 2011(b)(2)
22or the termination of the State Death Tax Credit as provided in
23Section 2011(f) as enacted by the Economic Growth and Tax
24Relief Reconciliation Act of 2001, but recognizing the
25exclusion amount of only (i) $2,000,000 for persons dying after
26December 31, 2005 and before the effective date of this

 

 

HB3811- 49 -LRB097 13527 HLH 58048 b

1amendatory Act of the 97th General Assembly and (ii) $5,000,000
2for persons dying on or after the effective date of this
3amendatory Act of the 97th General Assembly, and with reduction
4to the adjusted taxable estate for any qualified terminable
5interest property election as defined in subsection (b-1) of
6this Section.
7    (b-1) The person required to file the Illinois return may
8elect on a timely filed Illinois return a marital deduction for
9qualified terminable interest property under Section
102056(b)(7) of the Internal Revenue Code for purposes of the
11Illinois estate tax that is separate and independent of any
12qualified terminable interest property election for federal
13estate tax purposes. For purposes of the Illinois estate tax,
14the inclusion of property in the gross estate of a surviving
15spouse is the same as under Section 2044 of the Internal
16Revenue Code.
17    In the case of any trust for which a State or federal
18qualified terminable interest property election is made, the
19trustee may not retain non-income producing assets for more
20than a reasonable amount of time without the consent of the
21surviving spouse.
22    "Taxable transfer" means an event that gives rise to a
23state tax credit, including any credit as a result of the
24imposition of an additional tax under Section 2032A(c) of the
25Internal Revenue Code.
26    "Transferee" means a transferee within the meaning of

 

 

HB3811- 50 -LRB097 13527 HLH 58048 b

1Section 2603(a)(1) and Section 6901(h) of the Internal Revenue
2Code.
3    "Transferred property" means:
4        (1) With respect to a taxable transfer occurring at the
5    death of an individual, the deceased individual's gross
6    estate as defined in Section 2031 of the Internal Revenue
7    Code.
8        (2) With respect to a taxable transfer occurring as a
9    result of a taxable termination as defined in Section
10    2612(a) of the Internal Revenue Code, the taxable amount
11    determined under Section 2622(a) of the Internal Revenue
12    Code.
13        (3) With respect to a taxable transfer occurring as a
14    result of a taxable distribution as defined in Section
15    2612(b) of the Internal Revenue Code, the taxable amount
16    determined under Section 2621(a) of the Internal Revenue
17    Code.
18        (4) With respect to an event which causes the
19    imposition of an additional estate tax under Section
20    2032A(c) of the Internal Revenue Code, the qualified real
21    property that was disposed of or which ceased to be used
22    for the qualified use, within the meaning of Section
23    2032A(c)(1) of the Internal Revenue Code.
24    "Trust" includes a trust as defined in Section 2652(b)(1)
25of the Internal Revenue Code.
26(Source: P.A. 96-789, eff. 9-8-09; 96-1496, eff. 1-13-11.)
 

 

 

HB3811- 51 -LRB097 13527 HLH 58048 b

1    Section 25. The Public Utilities Act is amended by changing
2Section 9-222.1 as follows:
 
3    (220 ILCS 5/9-222.1)  (from Ch. 111 2/3, par. 9-222.1)
4    Sec. 9-222.1. A business enterprise which is located within
5an area designated by a county or municipality as an enterprise
6zone pursuant to the Illinois Enterprise Zone Act or located in
7a federally designated Foreign Trade Zone or Sub-Zone shall be
8exempt from the additional charges added to the business
9enterprise's utility bills as a pass-on of municipal and State
10utility taxes under Sections 9-221 and 9-222 of this Act, to
11the extent such charges are exempted by ordinance adopted in
12accordance with paragraph (e) of Section 8-11-2 of the Illinois
13Municipal Code in the case of municipal utility taxes, and to
14the extent such charges are exempted by the percentage
15specified by the Department of Commerce and Economic
16Opportunity in the case of State utility taxes, provided such
17business enterprise meets the following criteria:
18        (1) it (i) makes investments which cause the creation
19    of a minimum of 200 full-time equivalent jobs in Illinois;
20    (ii) makes investments of at least $175,000,000 which cause
21    the creation of a minimum of 150 full-time equivalent jobs
22    in Illinois; (iii) makes investments that cause the
23    retention of a minimum of 300 full-time equivalent jobs in
24    the manufacturing sector, as defined by the North American

 

 

HB3811- 52 -LRB097 13527 HLH 58048 b

1    Industry Classification System, in an area in Illinois in
2    which the unemployment rate is above 9% and makes an
3    application to the Department within 3 months after the
4    effective date of this amendatory Act of the 96th General
5    Assembly and certifies relocation of the 300 full-time
6    equivalent jobs within 36 months after the application;
7    (iv) makes investments which cause the retention of a
8    minimum of 1,000 full-time jobs in Illinois; or (v) makes
9    an application to the Department within 2 months after the
10    effective date of this amendatory Act of the 96th General
11    Assembly and makes investments that cause the retention of
12    a minimum of 500 full-time equivalent jobs in 2009 and
13    2010, 675 full-time jobs in Illinois in 2011, 850 full-time
14    jobs in 2012, and 1,000 full-time jobs in 2013, in the
15    manufacturing sector as defined by the North American
16    Industry Classification System; and
17        (2) it is either (i) located in an Enterprise Zone
18    established pursuant to the Illinois Enterprise Zone Act or
19    (ii) located in a federally designated Foreign Trade Zone
20    or Sub-Zone and is designated a High Impact Business by the
21    Department of Commerce and Economic Opportunity; and
22        (3) it is certified by the Department of Commerce and
23    Economic Opportunity as complying with the requirements
24    specified in clauses (1) and (2) of this Section.
25    The Department of Commerce and Economic Opportunity shall
26determine the period during which such exemption from the

 

 

HB3811- 53 -LRB097 13527 HLH 58048 b

1charges imposed under Section 9-222 is in effect which shall
2not exceed 50 30 years or the certified term of the enterprise
3zone (including any extensions granted under subsection (c) of
4Section 5.3 of the Illinois Enterprise Zone Act), whichever
5period is shorter, except that the exemption period for a
6business enterprise qualifying under item (iii) of clause (1)
7of this Section shall not exceed 50 30 years.
8    The Department of Commerce and Economic Opportunity shall
9have the power to promulgate rules and regulations to carry out
10the provisions of this Section including procedures for
11complying with the requirements specified in clauses (1) and
12(2) of this Section and procedures for applying for the
13exemptions authorized under this Section; to define the amounts
14and types of eligible investments which business enterprises
15must make in order to receive State utility tax exemptions
16pursuant to Sections 9-222 and 9-222.1 of this Act; to approve
17such utility tax exemptions for business enterprises whose
18investments are not yet placed in service; and to require that
19business enterprises granted tax exemptions repay the exempted
20tax should the business enterprise fail to comply with the
21terms and conditions of the certification. However, no business
22enterprise shall be required, as a condition for certification
23under clause (3) of this Section, to attest that its decision
24to invest under clause (1) of this Section and to locate under
25clause (2) of this Section is predicated upon the availability
26of the exemptions authorized by this Section.

 

 

HB3811- 54 -LRB097 13527 HLH 58048 b

1    A business enterprise shall be exempt, in whole or in part,
2from the pass-on charges of municipal utility taxes imposed
3under Section 9-221, only if it meets the criteria specified in
4clauses (1) through (3) of this Section and the municipality
5has adopted an ordinance authorizing the exemption under
6paragraph (e) of Section 8-11-2 of the Illinois Municipal Code.
7Upon certification of the business enterprises by the
8Department of Commerce and Economic Opportunity, the
9Department of Commerce and Economic Opportunity shall notify
10the Department of Revenue of such certification. The Department
11of Revenue shall notify the public utilities of the exemption
12status of business enterprises from the pass-on charges of
13State and municipal utility taxes. Such exemption status shall
14be effective within 3 months after certification of the
15business enterprise.
16(Source: P.A. 96-716, eff. 8-25-09; 96-865, eff. 1-21-10.)
 
17    Section 30. The Limited Liability Company Act is amended by
18changing Section 50-10 as follows:
 
19    (805 ILCS 180/50-10)
20    Sec. 50-10. Fees.
21    (a) The Secretary of State shall charge and collect in
22accordance with the provisions of this Act and rules
23promulgated under its authority all of the following:
24        (1) Fees for filing documents.

 

 

HB3811- 55 -LRB097 13527 HLH 58048 b

1        (2) Miscellaneous charges.
2        (3) Fees for the sale of lists of filings and for
3    copies of any documents.
4    (b) The Secretary of State shall charge and collect for all
5of the following:
6        (1) Filing an articles of organization (domestic),
7    application for admission (foreign), and restated articles
8    of organization (domestic), $500. Notwithstanding the
9    foregoing, the fee for filing an articles of organization
10    (domestic), application for admission (foreign), and
11    restated articles of organization (domestic) in connection
12    with a limited liability company with a series pursuant to
13    Section 37-40 of this Act is $750.
14        (1.5) Filing articles of organization (domestic),
15    restated articles of organization (domestic), and articles
16    of organization (domestic) and restated articles of
17    organization (domestic) in connection with a limited
18    liability company with a series pursuant to Section 37-40
19    of this Act, $100.
20        (2) Filing amendments (domestic or foreign), $150.
21        (3) Filing articles of dissolution or application for
22    withdrawal, $100.
23        (4) Filing an application to reserve a name, $300.
24        (5) Renewal fee for reserved name, $100.
25        (6) Filing a notice of a transfer of a reserved name,
26    $100.

 

 

HB3811- 56 -LRB097 13527 HLH 58048 b

1        (7) Registration of a name, $300.
2        (8) Renewal of registration of a name, $100.
3        (9) Filing an application for use of an assumed name
4    under Section 1-20 of this Act, $150 for each year or part
5    thereof ending in 0 or 5, $120 for each year or part
6    thereof ending in 1 or 6, $90 for each year or part thereof
7    ending in 2 or 7, $60 for each year or part thereof ending
8    in 3 or 8, $30 for each year or part thereof ending in 4 or
9    9, and a renewal for each assumed name, $150.
10        (10) Filing an application for change of an assumed
11    name, $100.
12        (11) Filing an annual report of a limited liability
13    company or foreign limited liability company, $250, if
14    filed as required by this Act, plus a penalty if
15    delinquent. Notwithstanding the foregoing, the fee for
16    filing an annual report of a limited liability company or
17    foreign limited liability company is $250 plus $50 for each
18    series for which a certificate of designation has been
19    filed pursuant to Section 37-40 of this Act, plus a penalty
20    if delinquent.
21        (12) Filing an application for reinstatement of a
22    limited liability company or foreign limited liability
23    company $500.
24        (13) Filing Articles of Merger, $100 plus $50 for each
25    party to the merger in excess of the first 2 parties.
26        (14) Filing an Agreement of Conversion or Statement of

 

 

HB3811- 57 -LRB097 13527 HLH 58048 b

1    Conversion, $100.
2        (15) Filing a statement of change of address of
3    registered office or change of registered agent, or both,
4    or filing a statement of correction, $25.
5        (16) Filing a petition for refund, $15.
6        (17) Filing any other document, $100.
7        (18) Filing a certificate of designation of a limited
8    liability company with a series pursuant to Section 37-40
9    of this Act, $50.
10    (c) The Secretary of State shall charge and collect all of
11the following:
12        (1) For furnishing a copy or certified copy of any
13    document, instrument, or paper relating to a limited
14    liability company or foreign limited liability company, or
15    for a certificate, $25.
16        (2) For the transfer of information by computer process
17    media to any purchaser, fees established by rule.
18(Source: P.A. 94-605, eff. 1-1-06; 94-607, eff. 8-16-05;
1995-331, eff. 8-21-07.)
 
20    Section 99. Effective date. This Act takes effect upon
21becoming law.