90th General Assembly
Status of HB2806
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COULSON.

   35 ILCS 5/203             from Ch. 120, par. 2-203                          
   35 ILCS 5/215 new                                                           

        Amends the Illinois Income Tax Act.   Allows  certain  individual      
   taxpayers a deduction in an amount, not to exceed $1,000, equal to the      
   amount  deposited in and the interest earned on a college savings plan      
   account.  Provides that a taxpayer shall not be  required  to  deposit      
   more  than  $500  into  an  account  to  begin a college savings plan.      
   Requires the moneys deposited into  and  the  interest  earned  on  an      
   account  designated  as  a college savings plan to be used only by the      
   account holder and only for college or university expenses.   Provides      
   that  if  a taxpayer uses moneys deposited in the college savings plan      
   account for a purpose other than college or university  expenses,  the      
   moneys  shall  be  subject  to taxation under this Act and the account      
   holder shall incur a penalty equal to 10% of that principal or  income      
   used  for  purposes other than college or university expenses.  States      
   that the Department of Revenue shall promulgate rules to implement and      
   enforce this Section.                                                       
   98-02-04  H  FILED WITH CLERK                                               
   98-02-04  H  FIRST READING                                                  
   98-02-04  H  REFERRED TO HOUSE RULES COMMITTEE        RULES                 
   99-01-12  H  SESSION SINE DIE                                               

   END OF INQUIRY 



 Full Text  Bill Summary