102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB0686

 

Introduced 2/8/2021, by Rep. Joyce Mason

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 5/232 new

    Amends the Illinois Income Tax Act. Creates an income tax credit in an amount equal to any investment made by the taxpayer during the taxable year for the installation or operation of an anaerobic digester. Effective immediately.


LRB102 04122 HLH 14139 b

FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB0686LRB102 04122 HLH 14139 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
5adding Section 232 as follows:
 
6    (35 ILCS 5/232 new)
7    Sec. 232. Anaerobic digester credit.
8    (a) For taxable years ending on or after December 31,
92021, each taxpayer is entitled to a credit against the tax
10imposed by subsections (a) and (b) of Section 201 in an amount
11equal to any investment made by the taxpayer during the
12taxable year for the installation or operation of an anaerobic
13digester.
14    (b) In no event shall a credit under this Section reduce
15the taxpayer's liability to less than zero. If the amount of
16the credit exceeds the tax liability for the year, the excess
17may be carried forward and applied to the tax liability of the
185 taxable years following the excess credit year. The tax
19credit shall be applied to the earliest year for which there is
20a tax liability. If there are credits for more than one year
21that are available to offset a liability, the earlier credit
22shall be applied first.
23    (c) For partners, shareholders of Subchapter S

 

 

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1corporations, and members of limited liability companies, if
2the liability company is treated as a partnership for purposes
3of federal and State income taxation, there shall be allowed a
4credit under this Section to be determined in accordance with
5the determination of income and distributive share of income
6under Sections 702 and 704 and Subchapter S of the Internal
7Revenue Code.
8    (d) As used in this Section an "anaerobic digester" is a
9sealed environment or facility where organic food waste is
10broken down to produce methane and carbon dioxide for use as a
11renewable energy source.
12    (e) This Section is exempt from the provisions of Section
13250.
 
14    Section 99. Effective date. This Act takes effect upon
15becoming law.