SB2921 EnrolledLRB099 18716 HLH 43100 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
5changing Section 214 as follows:
 
6    (35 ILCS 5/214)
7    Sec. 214. Tax credit for affordable housing donations.
8    (a) Beginning with taxable years ending on or after
9December 31, 2001 and until the taxable year ending on December
1031, 2021 December 31, 2016, a taxpayer who makes a donation
11under Section 7.28 of the Illinois Housing Development Act is
12entitled to a credit against the tax imposed by subsections (a)
13and (b) of Section 201 in an amount equal to 50% of the value of
14the donation. Partners, shareholders of subchapter S
15corporations, and owners of limited liability companies (if the
16limited liability company is treated as a partnership for
17purposes of federal and State income taxation) are entitled to
18a credit under this Section to be determined in accordance with
19the determination of income and distributive share of income
20under Sections 702 and 703 and subchapter S of the Internal
21Revenue Code. Persons or entities not subject to the tax
22imposed by subsections (a) and (b) of Section 201 and who make
23a donation under Section 7.28 of the Illinois Housing

 

 

SB2921 Enrolled- 2 -LRB099 18716 HLH 43100 b

1Development Act are entitled to a credit as described in this
2subsection and may transfer that credit as described in
3subsection (c).
4    (b) If the amount of the credit exceeds the tax liability
5for the year, the excess may be carried forward and applied to
6the tax liability of the 5 taxable years following the excess
7credit year. The tax credit shall be applied to the earliest
8year for which there is a tax liability. If there are credits
9for more than one year that are available to offset a
10liability, the earlier credit shall be applied first.
11    (c) The transfer of the tax credit allowed under this
12Section may be made (i) to the purchaser of land that has been
13designated solely for affordable housing projects in
14accordance with the Illinois Housing Development Act or (ii) to
15another donor who has also made a donation in accordance with
16Section 7.28 of the Illinois Housing Development Act.
17    (d) A taxpayer claiming the credit provided by this Section
18must maintain and record any information that the Department
19may require by regulation regarding the project for which the
20credit is claimed. When claiming the credit provided by this
21Section, the taxpayer must provide information regarding the
22taxpayer's donation to the project under the Illinois Housing
23Development Act.
24(Source: P.A. 96-1276, eff. 7-26-10; 97-507, eff. 8-23-11.)
 
25    Section 99. Effective date. This Act takes effect upon
26becoming law.