Bill Text: IL HB2466 | 2023-2024 | 103rd General Assembly | Introduced
Bill Title: Amends the Illinois Income Tax Act. Provides that a taxpayer who employs a person with a developmental disability or a severe mental illness, as certified by the Department of Human Services, during the taxable year is entitled to an income tax credit in an amount equal to 25% of the wages paid by the taxpayer to the person with a developmental disability or severe mental illness, but not to exceed $6,000 in wages paid during the taxable year to any single qualified employee. Effective immediately.
Spectrum: Partisan Bill (Democrat 3-0)
Status: (Introduced) 2024-04-05 - Rule 19(a) / Re-referred to Rules Committee [HB2466 Detail]
Download: Illinois-2023-HB2466-Introduced.html
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1 | AN ACT concerning revenue.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 5. The Illinois Income Tax Act is amended by | |||||||||||||||||||
5 | adding Section 234 as follows:
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6 | (35 ILCS 5/234 new) | |||||||||||||||||||
7 | Sec. 234. Credit for employment of persons with | |||||||||||||||||||
8 | developmental disabilities or severe mental illness. | |||||||||||||||||||
9 | (a) For taxable years beginning on or after January 1, | |||||||||||||||||||
10 | 2024, a taxpayer who employs a person with a developmental | |||||||||||||||||||
11 | disability or a severe mental illness, as certified by the | |||||||||||||||||||
12 | Department of Human Services, during the taxable year is | |||||||||||||||||||
13 | entitled to a credit against the taxes imposed by subsections | |||||||||||||||||||
14 | (a) and (b) of Section 201 in an amount equal to 25% of the | |||||||||||||||||||
15 | wages paid by the taxpayer to the person with a developmental | |||||||||||||||||||
16 | disability or severe mental illness, but not to exceed $6,000 | |||||||||||||||||||
17 | in wages paid during the taxable year to any single qualified | |||||||||||||||||||
18 | employee. | |||||||||||||||||||
19 | (b) The taxpayer shall apply, in the form and manner | |||||||||||||||||||
20 | required by the Department of Human Services, for a | |||||||||||||||||||
21 | determination of whether an employee meets
the requirements | |||||||||||||||||||
22 | under subsection (a). If an employee meets the requirements, a | |||||||||||||||||||
23 | letter of
certification containing the names of the taxpayer |
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1 | and the qualifying employee shall be issued
by the Department | ||||||
2 | of Human Services to the taxpayer. The Department of Human | ||||||
3 | Services shall adopt rules for the certification of employees | ||||||
4 | under this Section. | ||||||
5 | (c) The tax credit may not reduce the taxpayer's liability | ||||||
6 | to less than zero. If the amount of the tax credit exceeds the | ||||||
7 | tax liability for the year, the excess may be carried forward | ||||||
8 | and applied to the tax liability of the 5 taxable years | ||||||
9 | following the excess credit year. The credit must be applied | ||||||
10 | to the earliest year for which there is a tax liability. If | ||||||
11 | there are credits from more than one tax year that are | ||||||
12 | available to offset a liability, then the earlier credit must | ||||||
13 | be applied first. | ||||||
14 | (d) If the taxpayer is a partnership or Subchapter S | ||||||
15 | corporation, the credit is allowed to the partners or | ||||||
16 | shareholders in accordance with the determination of income | ||||||
17 | and distributive share of income under Sections 702 and 704 | ||||||
18 | and Subchapter S of the Internal Revenue Code. | ||||||
19 | (e) This Section is exempt from the provisions of Section | ||||||
20 | 250.
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21 | Section 99. Effective date. This Act takes effect upon | ||||||
22 | becoming law.
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