93RD GENERAL ASSEMBLY
State of Illinois
2003 and 2004
HB5978


 
Introduced 2/6/2004, by Tom Cross
 
SYNOPSIS AS INTRODUCED:
 		













35 ILCS 5/210.5









    Amends the Illinois Income Tax Act.  Makes a technical change in a Section
concerning tax credits for providing child care for employees.
















LRB093 19539 SJM 45279 b

















 


 


A BILL FOR









 











HB5978

LRB093 19539 SJM 45279 b






1
    AN ACT concerning taxes. 

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


 
4
    Section 5. The Illinois Income Tax Act is amended by 
5
changing
Section 210.5 as follows:


 
6
    (35 ILCS 5/210.5)

7
    Sec. 210.5. Tax credit for employee child care.


8
    (a) Each corporate taxpayer is entitled
to a credit against 
9
the tax imposed by subsections (a) and (b) of Section 201
of 
10
this Act
in an amount equal to (i) for taxable years ending on 
11
or after December 31,
2000 and on or before December 31, 2004, 
12
30% of the start-up costs expended by
the corporate taxpayer to 
13
provide a child care
facility for the children of its employees 
14
and
(ii) for taxable years ending on or after December 31, 
15
2000, 5% of the annual
amount paid
by the corporate taxpayer in 
16
providing the child care facility for the children
of its 
17
employees.  The provisions of Section 250 do not apply to the 5% 
18
credit
under item (ii) of this subsection.  If the 5% credit 
19
authorized under item
(ii) of this subsection is claimed, the 
20
5% credit authorized under Section 210
cannot also be claimed.


21
    To receive the tax credit under this Section a corporate 
22
taxpayer may either
independently provide and operate a child 
23
care facility for the children of its
employees or it may join 
24
in a partnership with one or more other corporations
to jointly 
25
provide and operate a child care facility for the children of

26
employees of the corporations in the partnership.


27
    (b) The tax credit may not reduce the taxpayer's liability 
28
to less than
zero.  If the amount of the tax credit exceeds the 
29
tax liability for the year,
the excess may be carried forward 
30
and applied to the tax liability of the 5
taxable years 
31
following the excess credit year.  The credit must be applied to

32
the earliest year for which there is a tax liability.  If there 
 


 






HB5978
- 2 -
LRB093 19539 SJM 45279 b




1
are credits
from more than one tax year that are available to 
2
offset a liability, then the
earlier credit must be applied 
3
first.


4
    (c) As used in this Section, "start-up costs" means 
5
planning,
site-preparation, construction, renovation, or 
6
acquisition of a child care
facility.  As used in this Section, 
7
"child care facility" is limited to a child
care facility 
8
located in Illinois.


9
    (d) A corporate taxpayer claiming the credit provided by 
10
this Section
shall maintain and record such information as the 
11
Department may require by
rule regarding the child care 
12
facility for which the credit is claimed.


13
(Source: P.A. 91-930, eff. 12-15-00.)