94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006
HB1091


 
Introduced 02/08/05, by Rep. Randall M. Hultgren
 
SYNOPSIS AS INTRODUCED:
 		













35 ILCS 5/216 new










    Amends the Illinois Income Tax Act.  Allows an income tax credit in an amount
equal to 15% of the premium costs paid for a qualified long term care insurance
contract covering the individual taxpayer or the taxpayer's spouse, parent, or
dependent.  Provides that the credit may not exceed $200 or the taxpayer's
liability, whichever is less.  Prohibits the carry forward of an excess tax
credit to a succeeding year's tax liability. Exempts the credit from the sunset
provisions. Effective immediately.
















LRB094 09864 BDD 40121 b

















FISCAL NOTE ACT MAY APPLY
















 


 


A BILL FOR









 











HB1091

LRB094 09864 BDD 40121 b






1
    AN ACT concerning revenue.

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


 
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    Section 5. The Illinois Income Tax Act is amended  by adding 
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Section 216 as follows:
 
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    (35 ILCS 5/216  new)
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    Sec. 216. Tax credit for long term care insurance premiums.  
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For
taxable years ending on or after December 31, 2005, an 
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individual taxpayer is
entitled to a credit
against
the tax 
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imposed by subsections (a) and (b) of Section 201 in an amount 
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equal to
15% of the premium costs paid by the taxpayer during 
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the taxable year for a
qualified long term care insurance 
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contract as defined by Section 7702B of the
Internal Revenue 
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Code that offers coverage to either the individual or the

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individual's spouse, parent, or dependent as defined in Section 
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152 of the
Internal Revenue Code.  The credit allowed under this 
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Section may not exceed
$200 for each qualified long term care 
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policy or the amount of the taxpayer's
liability under this 
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Act,
whichever is less.  A taxpayer is not entitled to the 
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credit with respect to
amounts expended for the same qualified 
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long term care insurance contract that
are claimed by another 
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taxpayer.  If the amount of the credit exceeds the
taxpayer's 
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liability under this Act for the year, then the excess may not 
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be
carried forward to apply to the taxpayer's liability for the 
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succeeding year.
The provisions of Section 250 do not apply to 
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the credit under this Section.

 
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    Section 99. Effective date. This Act takes effect upon 
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becoming law.