95TH GENERAL ASSEMBLY
State of Illinois
2007 and 2008
SB0490


 
Introduced 2/8/2007, by Sen. Kirk W. Dillard
 
SYNOPSIS AS INTRODUCED:
 		













35 ILCS 5/218 new










    Amends the Illinois Income Tax Act. Creates a tax credit, for taxable years ending on or after December 31, 2007, for taxpayers who make an eligible expenditure during the taxable year for the rehabilitation of a qualified historic building.  Sets the credit at an amount equal to 25% of the total expenditures made during the taxable year for the rehabilitation, but not to exceed $100,000. Defines "eligible expenditure" as an expenditure equal to at least 10% of the fair cash value of the qualified historic building before the rehabilitation. Defines "qualified historic building" as a commercial building or an owner-occupied residential building that is listed in a national, State, or local historic registry. Provides that the credit may be carried forward for 5 years. Exempts the credit from the Act's sunset provisions. Effective immediately.
















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FISCAL NOTE ACT MAY APPLY
















 


 


A BILL FOR









 











SB0490

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    AN ACT concerning revenue.

 
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    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 218 as follows:
 
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    (35 ILCS 5/218  new)
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    Sec. 218. Historic preservation credit.
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    (a) For taxable years ending on or after December 31, 2007, 
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each taxpayer who makes an eligible expenditure during the 
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taxable year for the rehabilitation of a qualified historic 
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building  is entitled to a credit against the tax imposed under 
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subsections (a) and (b) of Section 201 in an amount equal to 
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25% of the total expenditures made during the taxable year for 
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the rehabilitation, but not to exceed $100,000.
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    (b) For the purpose of this Section:
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    "Eligible expenditure" means an expenditure equal to at 
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least 10% of the fair cash value of the qualified historic 
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building before the rehabilitation.

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    "Qualified historic building" means a commercial building 
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or an owner-occupied residential building that is listed in a 
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national, State, or local historic registry.

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    (c) For partners, shareholders of Subchapter S 
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corporations, and owners of limited liability companies, if the 
 


 






SB0490
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liability company is treated as a partnership for purposes of 
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federal and State income taxation, there is allowed a credit 
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under this Section to be determined in accordance with the 
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determination of income and distributive share of income under 
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Sections 702 and 704 and Subchapter S of the Internal Revenue 
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Code.
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    (d) The credit may not be carried back and may not reduce 
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the taxpayer's liability to less than zero.   If the amount of 
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the credit exceeds the tax liability for the year, the excess 
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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 
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credit shall be applied to the earliest year for which there is 
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a tax liability. If there are credits for more than one year 
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that are available to offset a liability, the earlier credit 
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shall be applied first.
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    (e) This Section is exempt from the provisions of Section 
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250.

 

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