103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB3484

 

Introduced 2/17/2023, by Rep. Maurice A. West, II

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 5/234 new

    Amends the Illinois Income Tax Act. Creates an income tax credit for each taxpayer who employs a qualified student as part of a College and Career Pathways Endorsement program in the amount of $500 for each qualified student. Provides that the taxpayer is entitled to an additional amount of up to $1,000 for each student if the student resides in an underserved area or the employer's principal place of business is located in an underserved area. Requires the Department of Revenue to adopt any necessary rules.


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A BILL FOR

 

HB3484LRB103 28949 HLH 55335 b

1    AN ACT concerning revenue.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Income Tax Act is amended by
5adding Section 234 as follows:
 
6    (35 ILCS 5/234 new)
7    Sec. 234. Credit for career development experiences.
8    (a) For tax years beginning on or after January 1, 2024,
9each taxpayer who employs a qualified student as part of a
10College and Career Pathways Endorsement program is entitled to
11a credit against the taxes imposed by subsections (a) and (b)
12of Section 201 in the amount of $500 for each qualified
13student. The taxpayer is entitled to an additional credit of
14up to $1,000 for each student if (1) the student resides in an
15underserved area or (2) the employer's principal place of
16business is located in an underserved area.
17    (b) As used in this Section:
18    "Qualified school" means any Illinois public or nonpublic
19secondary school that is an institution of secondary education
20that has an approved College and Career Pathways Endorsement
21program in manufacturing and technology from the State Board
22of Education.
23    "Qualified student" means an individual who is: (1) an

 

 

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1Illinois resident; (2) at least 16 at the close of the school
2year for which a credit is sought; (3) enrolled in a qualified
3school; and (4) enrolled in a College and Career Pathways
4Endorsement program under Section 80 of the Postsecondary and
5Workforce Readiness Act for manufacturing and technology.
6    (c) For partners and shareholders of Subchapter S
7corporations, there shall be allowed a credit under this
8Section to be determined in accordance with the determination
9of income and distributive share of income under Sections 702
10and 704 and Subchapter S of the Internal Revenue Code.
11    (d) In no event shall a credit under this Section reduce
12the taxpayer's liability to less than zero. If the amount of
13the credit exceeds the tax liability for the year, the excess
14may be carried forward and applied to the tax liability of the
155 taxable years following the excess credit year. The tax
16credit shall be applied to the earliest year for which there is
17a tax liability. If there are credits for more than one year
18that are available to offset a liability, the earlier credit
19shall be applied first.
20    (e) This Section is exempt from the provisions of Section
21250.
22    (f) The Department shall adopt any rules necessary to
23implement and administer this Section.