Full Text of SB2224 102nd General Assembly
SB2224 102ND GENERAL ASSEMBLY |
| | 102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022 SB2224 Introduced 2/26/2021, by Sen. Meg Loughran Cappel SYNOPSIS AS INTRODUCED: |
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Amends the Illinois Income Tax Act. Provides that the credit for student-assistance contributions sunsets on December 31, 2030 (currently, December 30, 2021). Provides that, for taxable years ending on or after December 31, 2021, the maximum student-assistance credit is $1,000 per contributing employee per taxable year (currently, $500). Effective immediately.
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| | | FISCAL NOTE ACT MAY APPLY | |
| | A BILL FOR |
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| | | SB2224 | | LRB102 17279 HLH 22751 b |
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| 1 | | AN ACT concerning revenue.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Illinois Income Tax Act is amended by | 5 | | changing Section 218 as follows: | 6 | | (35 ILCS 5/218) | 7 | | Sec. 218. Credit for student-assistance contributions. | 8 | | (a) For taxable years ending on or after December 31, 2009 | 9 | | and on or before December 31, 2030 December 30, 2021 , each | 10 | | taxpayer who, during the taxable year, makes a contribution | 11 | | (i) to a specified individual College Savings Pool Account | 12 | | under Section 16.5 of the State Treasurer Act or (ii) to the | 13 | | Illinois Prepaid Tuition Trust Fund in an amount matching a | 14 | | contribution made in the same taxable year by an employee of | 15 | | the taxpayer to that Account or Fund is entitled to a credit | 16 | | against the tax imposed under subsections (a) and (b) of | 17 | | Section 201 in an amount equal to 25% of that matching | 18 | | contribution, but not to exceed (i) $500 per contributing | 19 | | employee per taxable year for taxable years ending prior to | 20 | | December 31, 2021 and (ii) $1,000 per contributing employee | 21 | | per taxable year for taxable years ending on or after December | 22 | | 31, 2021 . | 23 | | (b) For partners, shareholders of Subchapter S |
| | | SB2224 | - 2 - | LRB102 17279 HLH 22751 b |
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| 1 | | corporations, and owners of limited liability companies, if | 2 | | the liability company is treated as a partnership for purposes | 3 | | of federal and State income taxation, there is allowed a | 4 | | credit under this Section to be determined in accordance with | 5 | | the determination of income and distributive share of income | 6 | | under Sections 702 and 704 and Subchapter S of the Internal | 7 | | Revenue Code. | 8 | | (c) The credit may not be carried back. If the amount of | 9 | | the credit exceeds the tax liability for the year, the excess | 10 | | may be carried forward and applied to the tax liability of the | 11 | | 5 taxable years following the excess credit year. The tax | 12 | | credit shall be applied to the earliest year for which there is | 13 | | a tax liability. If there are credits for more than one year | 14 | | that are available to offset a liability, the earlier credit | 15 | | shall be applied first.
| 16 | | (d) A taxpayer claiming the credit under this Section must | 17 | | maintain and record any information that the Illinois Student | 18 | | Assistance Commission, the Office of the State Treasurer, or | 19 | | the Department may require regarding the matching contribution | 20 | | for which the credit is claimed.
| 21 | | (Source: P.A. 101-645, eff. 6-26-20.)
| 22 | | Section 99. Effective date. This Act takes effect upon | 23 | | becoming law.
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