Bill Text: IL HB3497 | 2019-2020 | 101st General Assembly | Introduced

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Bill Title: Amends the Illinois Income Tax Act. Creates a credit for wages paid pursuant to a qualified apprenticeship program. Provides that a "qualified apprenticeship program" means an apprenticeship program in manufacturing, plastics, or construction trades that is (i) certified by the Department of Commerce and Economic Opportunity and (ii) at least 3 years in duration. Provides that the credit may not exceed the lesser of (i) 50% of the wages paid by the taxpayer to each apprentice during the taxable year or (ii) $4,800 per apprentice. Provides that the credit may be carried forward for 5 taxable years. Provides that the credit is exempt from the Act's automatic sunset provision. Effective immediately.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2019-04-12 - House Floor Amendment No. 1 Rule 19(c) / Re-referred to Rules Committee [HB3497 Detail]

Download: Illinois-2019-HB3497-Introduced.html

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101ST GENERAL ASSEMBLY State of Illinois 2019 and 2020 HB3497 Introduced , by Rep. John Connor SYNOPSIS AS INTRODUCED:
35 ILCS 5/229 new
Amends the Illinois Income Tax Act. Creates a credit for wages paid pursuant to a qualified apprenticeship program. Provides that a "qualified apprenticeship program" means an apprenticeship program in manufacturing, plastics, or construction trades that is (i) certified by the Department of Commerce and Economic Opportunity and (ii) at least 3 years in duration. Provides that the credit may not exceed the lesser of (i) 50% of the wages paid by the taxpayer to each apprentice during the taxable year or (ii) $4,800 per apprentice. Provides that the credit may be carried forward for 5 taxable years. Provides that the credit is exempt from the Act's automatic sunset provision. Effective immediately.
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FISCAL NOTE ACT MAY APPLY
A BILL FOR
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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 229 as follows:
(35 ILCS 5/229 new)
Sec. 229. Manufacturing apprenticeship training credit.
(a) For tax years beginning on or after January 1, 2019, a
taxpayer shall be allowed a credit against the tax imposed by
subsections (a) and (b) of Section 201 for certain amounts paid
by the taxpayer as wages pursuant to a qualified apprenticeship
program. The credit may not exceed the lesser of (i) 50% of the
wages paid by the taxpayer to each apprentice during the
taxable year or (ii) $4,800 per apprentice. The taxpayer shall
apply with the Department of Commerce and Economic Opportunity
annually for certification as a "qualified apprenticeship
program". The application shall be in the form and manner
prescribed by the Department of Commerce and Economic
Opportunity.
(b) For partners, shareholders of Subchapter S
corporations, and owners of limited liability companies, if the
liability company is treated as a partnership for purposes of
federal and State income taxation, the credit under this

HB3497 - 2 - LRB101 07563 HLH 52608 b
Section shall be determined in accordance with the
determination of income and distributive share of income under
Sections 702 and 704 and Subchapter S of the Internal Revenue
Code.
(c) In no event shall a credit under this Section reduce
the taxpayer's liability to less than zero. If the amount of
the credit exceeds the tax liability for the year, the excess
may be carried forward and applied to the tax liability of the
5 taxable years following the excess credit year. The tax
credit shall be applied to the earliest year for which there is
a tax liability. If there are credits for more than one year
that are available to offset a liability, the earlier credit
shall be applied first.
(d) For the purposes of this Section, "qualified
apprenticeship program" means an apprenticeship program in
manufacturing, plastics, or construction trades that is
certified by the Department of Commerce and Economic
Opportunity under this Section and at least 3 years in
duration.
(e) This Section is exempt from the provisions of Section
250.
Section 99. Effective date. This Act takes effect upon
becoming law.