Bill Text: IL HB0630 | 2017-2018 | 100th General Assembly | Introduced
Bill Title: Amends the Illinois Income Tax Act. Provides that, for each taxable year beginning on or after January 1, 2017, the earned income tax credit shall be 15% (currently, 10%) of the federal tax credit. Provides that, if the amount of the earned income tax credit exceeds the taxpayer's income tax liability, then 50% of the excess credit amount shall be refunded to the taxpayer (currently, the entire excess credit amount is refundable). Effective immediately.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Failed) 2019-01-08 - Session Sine Die [HB0630 Detail]
Download: Illinois-2017-HB0630-Introduced.html
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1 | AN ACT concerning revenue.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 5. The Illinois Income Tax Act is amended by | ||||||||||||||||||||||||
5 | changing Section 212 as follows:
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6 | (35 ILCS 5/212)
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7 | Sec. 212. Earned income tax credit.
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8 | (a) With respect to the federal earned income tax credit | ||||||||||||||||||||||||
9 | allowed for the
taxable year under Section 32 of the federal | ||||||||||||||||||||||||
10 | Internal Revenue Code, 26 U.S.C.
32, each individual taxpayer | ||||||||||||||||||||||||
11 | is entitled to a credit against the tax imposed by
subsections | ||||||||||||||||||||||||
12 | (a) and (b) of Section 201 in an amount equal to
(i) 5% of the | ||||||||||||||||||||||||
13 | federal tax credit for each taxable year beginning on or after
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14 | January 1,
2000 and ending prior to December 31, 2012, (ii) | ||||||||||||||||||||||||
15 | 7.5% of the federal tax credit for each taxable year beginning | ||||||||||||||||||||||||
16 | on or after January 1, 2012 and ending prior to December 31, | ||||||||||||||||||||||||
17 | 2013, and (iii) 10% of the federal tax credit for each taxable | ||||||||||||||||||||||||
18 | year beginning on or after January 1, 2013 and beginning prior | ||||||||||||||||||||||||
19 | to January 1, 2017, and (iv) 15% of the federal tax credit for | ||||||||||||||||||||||||
20 | each taxable year beginning on or after January 1, 2017 .
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21 | For a non-resident or part-year resident, the amount of the | ||||||||||||||||||||||||
22 | credit under this
Section shall be in proportion to the amount | ||||||||||||||||||||||||
23 | of income attributable to this
State.
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1 | (b) For taxable years beginning before January 1, 2003, in | ||||||
2 | no event
shall a credit under this Section reduce the | ||||||
3 | taxpayer's
liability to less than zero. For each taxable year | ||||||
4 | beginning on or after
January 1, 2003 and beginning prior to | ||||||
5 | January 1, 2017 , if the amount of the credit exceeds the income | ||||||
6 | tax liability
for the applicable tax year, then the excess | ||||||
7 | credit shall be refunded to the
taxpayer. For each taxable year | ||||||
8 | beginning on or after
January 1, 2017, if the amount of the | ||||||
9 | credit exceeds the income tax liability
for the applicable tax | ||||||
10 | year, then 50% of the excess credit shall be refunded to the
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11 | taxpayer. The amount of a refund shall not be included in the | ||||||
12 | taxpayer's
income or resources for the purposes of determining | ||||||
13 | eligibility or benefit
level in any means-tested benefit | ||||||
14 | program administered by a governmental entity
unless required | ||||||
15 | by federal law.
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16 | (c) This Section is exempt from the provisions of Section | ||||||
17 | 250.
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18 | (Source: P.A. 97-652, eff. 6-1-12 .)
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19 | Section 99. Effective date. This Act takes effect upon | ||||||
20 | becoming law.
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