INCOME TAX-NET LOSSES House SponsorsRep. Larry McKeon 1/11/2005HouseSession Sine Die 35 ILCS 5/207from Ch. 120, par. 2-207 Amends the Illinois Income Tax Act. Provides that, for taxable years ending on or after December 31, 2003 and on or before December 30, 2008, net losses shall not be allowed as a carryback and shall be a net operating carryover to each of the 5 taxable years following the taxable year of such loss (now, and beginning again at the end of this period, may carry net losses back for 2 years and carry them forward for 20 years). Effective immediately.Fiscal Note (Illinois Department of Revenue) It is difficult to estimate reduced corporate refunds and reduced corporate receipts associated with this proposal. The losses that can be carried forward cannot be used until taxpayers have a positive income to offset and with the slow economy, it may take some time before this happens. However, eliminating the two-year carryback provision would reduce business refunds in the immediate future. Limiting losses to a five-year carry forward period should reduce total net operating losses claimed. However, with all net operating losses being carried forward, corporate income tax receipts will probably come in lower in the near future. 1/23/2003HouseFiled with the Clerk by Rep. Larry McKeon 1/23/2003HouseFirst Reading 1/23/2003HouseReferred to Rules Committee 1/29/2003HouseAssigned to Commerce and Business Development Committee 2/5/2003HouseFiscal Note Filed 3/13/2003HouseRule 19(a) / Re-referred to Rules Committee 1/11/2005HouseSession Sine Die