Bill Text: IL HB5830 | 2009-2010 | 96th General Assembly | Introduced

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Bill Title: Amends the Illinois Income Tax Act. Provides that the credit for wages paid to qualified veterans also applies to wages paid to employees who are currently a member of the Illinois National Guard or a member of any reserve component of the Armed Forces of the United States. Effective immediately.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2010-03-15 - Rule 19(a) / Re-referred to Rules Committee [HB5830 Detail]

Download: Illinois-2009-HB5830-Introduced.html

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96TH GENERAL ASSEMBLY State of Illinois 2009 and 2010 HB5830 Introduced 2/10/2010, by Rep. Mike Bost SYNOPSIS AS INTRODUCED:
35 ILCS 5/217
Amends the Illinois Income Tax Act. Provides that the credit for wages paid to qualified veterans also applies to wages paid to employees who are currently a member of the Illinois National Guard or a member of any reserve component of the Armed Forces of the United States. Effective immediately.
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FISCAL NOTE ACT MAY APPLY
A BILL FOR
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AN ACT concerning revenue.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Illinois Income Tax Act is amended by
changing Section 217 as follows:
(35 ILCS 5/217)
Sec. 217. Credit for wages paid to qualified veterans.
(a) For each taxable year beginning on or after January 1,
2007 and ending on or before December 30, 2010, each taxpayer
is entitled to a credit against the tax imposed by subsections
(a) and (b) of Section 201 of this Act in an amount equal to 5%,
but in no event to exceed $600, of the gross wages paid by the
taxpayer to a qualified veteran in the course of that veteran's
sustained employment during the taxable year. For each taxable
year beginning on or after January 1, 2010, each taxpayer is
entitled to a credit against the tax imposed by subsections (a)
and (b) of Section 201 of this Act in an amount equal to 10%,
but in no event to exceed $1,200, of the gross wages paid by
the taxpayer to a qualified veteran in the course of that
veteran's sustained employment during the taxable year. For
partners, shareholders of Subchapter S corporations, and
owners of limited liability companies, if the liability company
is treated as a partnership for purposes of federal and State

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income taxation, there shall be allowed a credit under this
Section to be determined in accordance with the determination
of income and distributive share of income under Sections 702
and 704 and Subchapter S of the Internal Revenue Code.
(b) For purposes of this Section:
"Qualified veteran" means an Illinois resident who was
initially hired by the taxpayer on or after January 1, 2007
and:
(1) who is currently a member of the Illinois National
Guard or a member of any reserve component of the Armed
Forces of the United States; or
(2) who: (i) was a member of the Armed Forces of the
United States, a member of the Illinois National Guard, or
a member of any reserve component of the Armed Forces of
the United States; (ii) served on active duty in connection
with Operation Desert Storm, Operation Enduring Freedom,
or Operation Iraqi Freedom; and (iii) has provided, to the
taxpayer, documentation showing that he or she was
honorably discharged; and (iv) was initially hired by the
taxpayer on or after January 1, 2007.
"Sustained employment" means a period of employment that is
not less than 185 days during the taxable year.
(c) In no event shall a credit under this Section reduce
the taxpayer's liability to less than zero. If the amount of
the credit exceeds the tax liability for the year, the excess
may be carried forward and applied to the tax liability of the

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5 taxable years following the excess credit year. The tax
credit shall be applied to the earliest year for which there is
a tax liability. If there are credits for more than one year
that are available to offset a liability, the earlier credit
shall be applied first.
(Source: P.A. 96-101, eff. 1-1-10.)
Section 99. Effective date. This Act takes effect upon
becoming law.