100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018
HB3290

 

Introduced , by Rep. Sue Scherer

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 5/224 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

 

HB3290LRB100 06265 HLH 16302 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 adding
5Section 224 as follows:
 
6    (35 ILCS 5/224 new)
7    Sec. 224. Manufacturing apprenticeship training credit.
8    (a) For tax years beginning on or after January 1, 2017, a
9taxpayer shall be allowed a credit against the tax imposed by
10subsections (a) and (b) of Section 201 for certain amounts paid
11by the taxpayer as wages pursuant to a qualified apprenticeship
12program. The credit may not exceed the lesser of (i) 50% of the
13wages paid by the taxpayer to each apprentice during the
14taxable year or (ii) $4,800 per apprentice. The taxpayer shall
15apply with the Department of Commerce and Economic Opportunity
16annually for certification as a "qualified apprenticeship
17program". The application shall be in the form and manner
18prescribed by the Department of Commerce and Economic
19Opportunity.
20    (b) For partners, shareholders of Subchapter S
21corporations, and owners of limited liability companies, if the
22liability company is treated as a partnership for purposes of
23federal and State income taxation, the credit under this

 

 

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1Section shall be determined in accordance with the
2determination of income and distributive share of income under
3Sections 702 and 704 and Subchapter S of the Internal Revenue
4Code.
5    (c) In no event shall a credit under this Section reduce
6the taxpayer's liability to less than zero. If the amount of
7the credit exceeds the tax liability for the year, the excess
8may be carried forward and applied to the tax liability of the
95 taxable years following the excess credit year. The tax
10credit shall be applied to the earliest year for which there is
11a tax liability. If there are credits for more than one year
12that are available to offset a liability, the earlier credit
13shall be applied first.
14    (d) For the purposes of this Section, "qualified
15apprenticeship program" means an apprenticeship program in
16manufacturing, plastics, or construction trades that is
17certified by the Department of Commerce and Economic
18Opportunity under this Section and at least 3 years in
19duration.
20    (e) This Section is exempt from the provisions of Section
21250.
 
22    Section 99. Effective date. This Act takes effect upon
23becoming law.