Illinois General Assembly - Full Text of Public Act 096-0834
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Public Act 096-0834


 

Public Act 0834 96TH GENERAL ASSEMBLY



 


 
Public Act 096-0834
 
HB1526 Enrolled LRB096 05060 RCE 15126 b

    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 704A as follows:
 
    (35 ILCS 5/704A)
    Sec. 704A. Employer's return and payment of tax withheld.
    (a) In general, every employer who deducts and withholds or
is required to deduct and withhold tax under this Act on or
after January 1, 2008 shall make those payments and returns as
provided in this Section.
    (b) Returns. Every employer shall, in the form and manner
required by the Department, make returns with respect to taxes
withheld or required to be withheld under this Article 7 for
each quarter beginning on or after January 1, 2008, on or
before the last day of the first month following the close of
that quarter.
    (c) Payments. With respect to amounts withheld or required
to be withheld on or after January 1, 2008:
        (1) Semi-weekly payments. For each calendar year, each
    employer who withheld or was required to withhold more than
    $12,000 during the one-year period ending on June 30 of the
    immediately preceding calendar year, payment must be made:
            (A) on or before each Friday of the calendar year,
        for taxes withheld or required to be withheld on the
        immediately preceding Saturday, Sunday, Monday, or
        Tuesday;
            (B) on or before each Wednesday of the calendar
        year, for taxes withheld or required to be withheld on
        the immediately preceding Wednesday, Thursday, or
        Friday.
        (2) Semi-weekly payments. Any employer who withholds
    or is required to withhold more than $12,000 in any quarter
    of a calendar year is required to make payments on the
    dates set forth under item (1) of this subsection (c) for
    each remaining quarter of that calendar year and for the
    subsequent calendar year.
        (3) Monthly payments. Each employer, other than an
    employer described in items (1) or (2) of this subsection,
    shall pay to the Department, on or before the 15th day of
    each month the taxes withheld or required to be withheld
    during the immediately preceding month.
        (4) Payments with returns. Each employer shall pay to
    the Department, on or before the due date for each return
    required to be filed under this Section, any tax withheld
    or required to be withheld during the period for which the
    return is due and not previously paid to the Department.
    (d) Regulatory authority. The Department may, by rule:
        (1) If the aggregate amounts required to be withheld
    under this Article 7 do not exceed $1,000 for the calendar
    year, permit employers, in lieu of the requirements of
    subsections (b) and (c), to file annual returns due on or
    before January 31 of the following year for taxes withheld
    or required to be withheld during that calendar year and to
    pay the taxes required to be shown on each such return no
    later than the due date for such return.
        (2) Provide that any payment required to be made under
    subsection (c)(1) or (c)(2) is deemed to be timely to the
    extent paid by electronic funds transfer on or before the
    due date for deposit of federal income taxes withheld from,
    or federal employment taxes due with respect to, the wages
    from which the Illinois taxes were withheld.
        (3) Designate one or more depositories to which payment
    of taxes required to be withheld under this Article 7 must
    be paid by some or all employers.
        (4) Increase the threshold dollar amounts at which
    employers are required to make semi-weekly payments under
    subsection (c)(1) or (c)(2).
    (e) Annual return and payment. Every employer who deducts
and withholds or is required to deduct and withhold tax from a
person engaged in domestic service employment, as that term is
defined in Section 3510 of the Internal Revenue Code, may
comply with the requirements of this Section with respect to
such employees by filing an annual return and paying the taxes
required to be deducted and withheld on or before the 15th day
of the fourth month following the close of the employer's
taxable year. The Department may allow the employer's return to
be submitted with the employer's individual income tax return
or to be submitted with a return due from the employer under
Section 1400.2 of the Unemployment Insurance Act.
    (f) Magnetic media and electronic filing. Any W-2 Form
that, under the Internal Revenue Code and regulations
promulgated thereunder, is required to be submitted to the
Internal Revenue Service on magnetic media or electronically
must also be submitted to the Department on magnetic media or
electronically for Illinois purposes, if required by the
Department.
    (g) For amounts deducted or withheld after December 31,
2009, a taxpayer who makes an election under Section 5-15(f) of
the Economic Development for a Growing Economy Act for a
taxable year shall be allowed a credit against payments due
under this Section for amounts withheld during the first
calendar year beginning after the end of that taxable year
equal to the amount of the credit awarded to the taxpayer by
the Department of Commerce and Economic Opportunity under the
Economic Development for a Growing Economy Act for the taxable
year. The credit may not reduce the taxpayer's obligation for
any payment due under this Section to less than zero. If the
amount of the credit exceeds the total payments due under this
Section with respect to amounts withheld during the calendar
year, the excess may be carried forward and applied against the
taxpayer's liability under this Section in the 5 succeeding
calendar years. The credit shall be applied to the earliest
year for which there is a tax liability. If there are credits
from more than one taxable year that are available to offset a
liability, the earlier credit shall be applied first. This
Section is exempt from the provisions of Section 250 of this
Act.
(Source: P.A. 95-8, eff. 6-29-07; 95-707, eff. 1-11-08.)
 
    Section 10. The Economic Development for a Growing Economy
Tax Credit Act is amended by changing Section 5-15 as follows:
 
    (35 ILCS 10/5-15)
    Sec. 5-15. Tax Credit Awards. Subject to the conditions set
forth in this Act, a Taxpayer is entitled to a Credit against
taxes imposed pursuant to subsections (a) and (b) of Section
201 of the Illinois Income Tax Act that may be imposed on the
Taxpayer for a taxable year beginning on or after January 1,
1999, if the Taxpayer is awarded a Credit by the Department
under this Act for that taxable year.
    (a) The Department shall make Credit awards under this Act
to foster job creation and retention in Illinois.
    (b) A person that proposes a project to create new jobs in
Illinois must enter into an Agreement with the Department for
the Credit under this Act.
    (c) The Credit shall be claimed for the taxable years
specified in the Agreement.
    (d) The Credit shall not exceed the Incremental Income Tax
attributable to the project that is the subject of the
Agreement.
    (e) Nothing herein shall prohibit a Tax Credit Award to an
Applicant that uses a PEO if all other award criteria are
satisfied.
    (f) In lieu of the Credit allowed under this Act against
the taxes imposed pursuant to subsections (a) and (b) of
Section 201 of the Illinois Income Tax Act for any taxable year
ending on or after December 31, 2009, the Taxpayer may elect to
claim the Credit against its obligation to pay over withholding
under Section 704A of the Illinois Income Tax Act.
        (1) The election under this subsection (f) may be made
    only by a Taxpayer that (i) is primarily engaged in one of
    the following business activities: motor vehicle metal
    stamping, automobile manufacturing, automobile and light
    duty motor vehicle manufacturing, motor vehicle
    manufacturing, light truck and utility vehicle
    manufacturing, or motor vehicle body manufacturing and
    (ii) meets the following criteria:
            (A) the Taxpayer (i) had an Illinois net loss or an
        Illinois net loss deduction under Section 207 of the
        Illinois Income Tax Act for the taxable year in which
        the Credit is awarded, (ii) employed a minimum of 1,000
        full-time employees in this State during the taxable
        year in which the Credit is awarded, (iii) has an
        Agreement under this Act on the effective date of this
        amendatory Act of the 96th General Assembly, and (iv)
        is in compliance with all provisions of that Agreement;
        or
            (B) the Taxpayer (i) had an Illinois net loss or an
        Illinois net loss deduction under Section 207 of the
        Illinois Income Tax Act for the taxable year in which
        the Credit is awarded, (ii) employed a minimum of 1,000
        full-time employees in this State during the taxable
        year in which the Credit is awarded, and (iii) has
        applied for an Agreement within 180 days after the
        effective date of this amendatory Act of the 96th
        General Assembly.
        (2) An election under this subsection shall allow the
    credit to be taken against payments otherwise due under
    Section 704A of the Illinois Income Tax Act during the
    first calendar year beginning after the end of the taxable
    year in which the credit is awarded under this Act.
        (3) The election shall be made in the form and manner
    required by the Illinois Department of Revenue and, once
    made, shall be irrevocable.
        (4) If a Taxpayer who meets the requirements of
    subparagraph (A) of paragraph (1) of this subsection (f)
    elects to claim the Credit against its withholdings as
    provided in this subsection (f), then, on and after the
    date of the election, the terms of the Agreement between
    the Taxpayer and the Department may not be further amended
    during the term of the Agreement.
(Source: P.A. 95-375, eff. 8-23-07.)
 
    Section 99. Effective date. This Act takes effect upon
becoming law.

Effective Date: 12/14/2009