103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB4857
 
Introduced , by Rep. Sonya M. Harper
 
SYNOPSIS AS INTRODUCED:

New Act
35 ILCS 5/241 new
 Creates the Distressed Farmers Act. Provides that the Department of Agriculture shall fund and administer programs to address the needs of distressed farmers. Provides for a tax credit for distressed farmers. Amends The Illinois Income Tax Act. Provides that for taxable years beginning on or after January 1, 2025, each taxpayer who is a distressed farmer and who incurs qualified farming expenses during the taxable year is entitled to a tax credit in an amount equal to 100% of those qualified farming expenses, not to exceed $50,000 per taxpayer in any taxable year. Provides that qualified farming expenses include: (1) repairing tractors, trailers, and other vehicles; (2) purchasing, repairing, or constructing greenhouses and other covers for agricultural products; (3) purchasing tractors with tillers and other attachments; and (4) planting or harvesting food that will be delivered to an underserved community.


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A BILL FOR
 
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1 AN ACT concerning agriculture.

2 Be it enacted by the People of the State of Illinois, 
3represented in the General Assembly:

4 Section 1. Short title. This Act may be cited as the 
5Distressed Farmers Act.

6 Section 5. Definitions. As defined in this Act:
7 "Department" refers to the Department of Agriculture.
8 "Distressed farmer" means a farmer or an individual 
9principally responsible for farming leased land with fewer 
10than 75 acres of land and $500,000 per year in gross revenue or 
11a farmer who has been denied a Farm Service Agency number 
12despite 5 or more years of farming.

13 Section 10. General provisions. Subject to the 
14appropriation, the Department shall administer and provide 
15funding for the following:
16 (1) up to $5,000,000 for paid, year-long apprenticeships 
17for individuals seeking to work in a direct or support 
18capacity of a distressed farmer;
19 (2) up to $5,000,000 for distressed farmers specifically 
20in need of wells; and
21 (3) up to $10,000,000 for distressed farmers in need of, 
22but not limited to, the following expenses:
 
 
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1  (A) repairing tractors, greenhouses, and reefer trucks 
2 and other trucks;
3  (B) building greenhouses and other covers; and
4  (C) purchasing tractors with tillers and other 
5 attachments.

6 Section 90. The Illinois Income Tax Act is amended by 
7adding Section 241 as follows:

8 (35 ILCS 5/241 new)
9 Sec. 241. Distressed farmer credit.
10 (a) For taxable years beginning on or after January 1, 
112025, each taxpayer who is a distressed farmer and who incurs 
12qualified farming expenses during the taxable year is entitled 
13to a credit against the tax imposed by subsections (a) and (b) 
14of Section 201 in an amount equal to 100% of those qualified 
15farming expenses, not to exceed $50,000 per taxpayer in any 
16taxable year. 
17 (b) In no event shall a credit under this Section reduce a 
18taxpayer's liability to less than zero. If the amount of 
19credit exceeds the tax liability for the year, the excess may 
20be carried forward and applied to the tax liability for the 5 
21taxable years following the excess credit year. The tax credit 
22shall be applied to the earliest year for which there is a tax 
23liability. If there are credits for more than one year that are 
24available to offset liability, the earlier credit shall be 
 
 
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1applied first. 
2 (c) As used in this Section: 
3 "Distressed farmer" has the meaning given to that term in 
4Section 10 of the Distressed Farmers Act. 
5 "Grocery store" means a business that is authorized by the 
6Department of Human Services to participate in the Women, 
7Infants and Children Nutrition program and is primarily 
8engaged in retailing a general line of food, such as canned and 
9frozen foods; fresh fruits and vegetables; and fresh and 
10prepared meats, fish, and poultry. 
11 "Qualified farming expense" means an expense related to: 
12  (1) repairing tractors, trailers, and other vehicles; 
13  (2) purchasing, repairing, or constructing greenhouses 
14 and other covers for agricultural products; 
15  (3) purchasing tractors with tillers and other 
16 attachments; and 
17  (4) planting or harvesting food that will be delivered 
18 to an underserved community. 
19 "Underserved community" means a census tract in the State 
20in which:
21  (1) at least one of the following conditions applies:
22   (A) 20% or more of the households are at or below 
23 the federal poverty level, according to the poverty 
24 guidelines updated periodically in the Federal 
25 Register by the U.S. Department of Health and Human 
26 Services; or
 
 
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