Sen. Toi W. Hutchinson

Filed: 2/26/2010

 

 


 

 


 
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1
AMENDMENT TO SENATE BILL 3658

2     AMENDMENT NO. ______. Amend Senate Bill 3658 by replacing
3 everything after the enacting clause with the following:
 
4     "Section 5. The Illinois Income Tax Act is amended by
5 adding Section 219 as follows:
 
6     (35 ILCS 5/219 new)
7     Sec. 219. Credit for rehabilitation of vacant buildings.
8     (a) For taxable years beginning on or after January 1,
9 2010, each taxpayer who is the owner or tenant of a building
10 that (i) is located in an Enterprise Zone, River Edge
11 Redevelopment Zone, or federally designated Foreign Trade Zone
12 or Sub-Zone, (ii) is at least 20 years old, and (iii) has been
13 unoccupied for a period of 2 consecutive years at any point
14 during the taxable year is allowed a credit against the tax
15 imposed by subsections (a) and (b) of Section 201 in an amount
16 equal to (i) 25% of the aggregate qualified expenditures made

 

 

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1 by the taxpayer during the taxable year for the purpose of
2 rehabilitating the building or (ii) $50,000 per building,
3 whichever is less.
4     (b) Any taxpayer who is allowed a credit for costs incurred
5 in the rehabilitation of property pursuant to the provisions of
6 Section 38 of the federal Internal Revenue Code of 1986, as
7 amended, shall not be allowed a credit under this Section.
8     (c) If the amount of the credit exceeds the taxpayer's
9 liability for that year, whether it exceeds the original
10 liability or the liability as later amended, that excess may be
11 carried forward and applied to the tax liability of the 5
12 taxable years following the excess credit year. The credit
13 shall be applied to the earliest year for which there is a
14 liability. If there is a credit from more than one tax year
15 that is available to offset a liability, then the earlier
16 credit shall be applied first.
17     (d) For the purposes of this Section, the following terms
18 have the following meanings:
19     "Qualified expenditures" means expenditures associated
20 with any exterior improvements, structural improvements,
21 mechanical improvements, or electrical improvements necessary
22 to rehabilitate for commercial or industrial business use a
23 building that meets the requirements established in subsection
24 (a) of this Section.
25     "Qualified expenditures" also includes, but is not limited
26 to, expenditures associated with demolition, carpentry,

 

 

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1 sheetrock, plaster, painting, ceilings, fixtures, doors,
2 windows, sprinkler systems installed for fire protection
3 purposes, roofing and flashing, exterior repair, tuckpointing,
4 and cleanup.
5     "Qualified expenditures" does not include expenditures
6 commonly referred to as soft costs, which include, but are not
7 limited to, costs associated with appraisals; architectural,
8 engineering, and interior design fees; legal, accounting, and
9 realtor fees; loan fees; sales and marketing; closing; building
10 permit, use, and inspection fees; bids; insurance; project
11 signs and phones; temporary power; bid bonds; copying; rent
12 loss during construction; costs included with acquisition;
13 interior furnishings; new additions except as may be required
14 to comply with building and safety codes; excavation; grading;
15 paving; landscaping; and repairs to outbuildings.
16     "Business" means a for-profit legal entity, including, but
17 not limited to, any sole proprietorship, partnership,
18 corporation, joint venture, association, or cooperative.
19     (e) Taxpayers claiming the credit allowed by this Section
20 shall furnish the Zone Administrator with copies of any
21 receipts, bills, or other documentation of the qualified
22 expenditures claimed for the purpose of this credit for
23 certification by the Zone Administrator. Any form filed with
24 the Department of Revenue for the purpose of claiming a credit
25 under this Section shall be accompanied by a copy of the
26 certification of qualified expenditures furnished to the

 

 

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1 taxpayer by the Zone Administrator. The taxpayer shall make
2 available to the Department of Revenue, upon request, copies of
3 any receipts, bills, or other documentation of any qualified
4 expenditures claimed by the taxpayer for the purpose of this
5 credit.
6     (f) This Section is exempt from the provisions of Section
7 250.
 
8     Section 99. Effective date. This Act takes effect upon
9 becoming law.".