Bill Text: IL SB1824 | 2019-2020 | 101st General Assembly | Introduced
Bill Title: Amends the Illinois Income Tax Act. Provides that, if a taxpayer who is engaged in the business of providing dry cleaning services performs those services for a charitable organization that provides or maintains clothing for inmates at a State or federal correctional institution, that taxpayer is entitled to a credit against the tax imposed by subsections (a) and (b) of Section 201 in an amount equal to 25% of the amount charged for those services.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Failed) 2021-01-13 - Session Sine Die [SB1824 Detail]
Download: Illinois-2019-SB1824-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 adding | ||||||||||||||||||||||||
5 | Section 229 as follows:
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6 | (35 ILCS 5/229 new) | ||||||||||||||||||||||||
7 | Sec. 229. Dry cleaner; charitable credit. | ||||||||||||||||||||||||
8 | (a) For taxable years beginning on or after January 1, | ||||||||||||||||||||||||
9 | 2019, if a taxpayer who is engaged in the business of providing | ||||||||||||||||||||||||
10 | dry cleaning services performs those services for a charitable | ||||||||||||||||||||||||
11 | organization that provides or maintains clothing for inmates at | ||||||||||||||||||||||||
12 | a State or federal correctional institution, that taxpayer is | ||||||||||||||||||||||||
13 | entitled to a credit against the tax imposed by subsections (a) | ||||||||||||||||||||||||
14 | and (b) of Section 201 in an amount equal to 25% of the amount | ||||||||||||||||||||||||
15 | charged for those services. | ||||||||||||||||||||||||
16 | (b) In no event shall a credit under this Section reduce | ||||||||||||||||||||||||
17 | the taxpayer's liability to less than zero. If the amount of | ||||||||||||||||||||||||
18 | the credit exceeds the tax liability for the year, the excess | ||||||||||||||||||||||||
19 | may be carried forward and applied to the tax liability of the | ||||||||||||||||||||||||
20 | 5 taxable years following the excess credit year. The tax | ||||||||||||||||||||||||
21 | credit shall be applied to the earliest year for which there is | ||||||||||||||||||||||||
22 | a tax liability. If there are credits for more than one year | ||||||||||||||||||||||||
23 | that are available to offset a liability, the earlier credit |
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1 | shall be applied first. | ||||||
2 | (c) For partners, shareholders of Subchapter S | ||||||
3 | corporations, and owners of limited liability companies, if the | ||||||
4 | entity is treated as a partnership for purposes of federal and | ||||||
5 | State income taxation, there is allowed a credit under this | ||||||
6 | Section to be determined in accordance with the determination | ||||||
7 | of income and distributive share of income under Sections 702 | ||||||
8 | and 704 and Subchapter S of the Internal Revenue Code. | ||||||
9 | (d) This Section is exempt from the provisions of Section | ||||||
10 | 250.
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