HB2363 96TH GENERAL ASSEMBLY

LRB096 08408 RCE 18521 b

96TH GENERAL ASSEMBLY
State of Illinois
2009 and 2010
HB2363

Introduced 2/19/2009, by Rep. Michael K. Smith

SYNOPSIS AS INTRODUCED:

35 ILCS 5/218 new

Amends the Illinois Income Tax Act. Authorizes a credit of $5,000 to an individual taxpayer who is a qualified rural physician practicing in a designated shortage area and serving at least 200 Medicaid patients at a rural health clinic. Effective immediately.

FISCAL NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning revenue.

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

Section 5. The Illinois Income Tax Act is amended by adding Section 218 as follows:

(35 ILCS 5/218 new)

Sec. 218. Rural physician tax credit.

(a) For each tax year beginning on or after January 1, 2010, an individual taxpayer who is a qualified rural physician shall be allowed a credit against tax imposed by subsections (a) and (b) of Section 201 in the amount of $5,000.

(b) The tax credit may not exceed the taxpayer's liability. If the amount of the tax credit exceeds the taxpayer's liability for the year, the excess may not be carried forward or carried back.

(c) No credit shall be allowed for a physician who has previously practiced in a rural health clinic, unless, after this Section takes effect, that physician returns to practice in a rural health clinic after having practiced in a non-rural health clinic for at least 3 years.

(d) As used in this Section:

(1) "Designated shortage area" means a geographic area or practice location that, in the current taxable year or in one of the previous 3 taxable years, has been determined by the Director of Public Health to be a physician shortage area or has been designated or certified by the United States Department of Health and Human Services as a health professional shortage area or a medically underserved area.

(2) "Good standing" means that the individual has a good disciplinary record and has no more than 3 medical malpractice judgments or settlements in the preceding 4 years.

(3) "Qualified rural physician" means a person licensed to practice medicine in all of its branches under the Medical Practice Act of 1987 who:

(A) is in good standing;

(B) practices at a rural health clinic; and

(C) provides health care services to at least 200 Medicaid patients at a rural health clinic within the year for which the tax credit is being claimed.

(4) "Rural health clinic" means a clinic located in a non-urbanized area, as defined by the United States Census Bureau, and in a designated shortage area that:

(A) employs a mid-level practitioner who is available to furnish services at least 50% of the time the clinic is furnishing services;

(B) furnishes routine diagnostic and laboratory services;

(C) establishes arrangements with providers and suppliers to furnish medically necessary services not available at the clinic; and

(D) furnishes first response emergency care.

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