103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB4676

 

Introduced 2/6/2024, by Rep. Anna Moeller

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 5/241 new

    Amends the Illinois Income Tax Act. Provides that a taxpayer who is a family caregiver is eligible to receive a nonrefundable income tax credit in an amount equal to 100% of the eligible expenditures incurred by the taxpayer during the taxable year related to the care of an eligible family member, subject to specified limits. Effective immediately.


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A BILL FOR

 

HB4676LRB103 35190 HLH 65164 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 241 as follows:
 
6    (35 ILCS 5/241 new)
7    Sec. 241. Family caregiver tax credit.
8    (a) As used in this Section:
9    "Activities of daily living" means everyday functions and
10activities that individuals usually perform without help,
11including, but not limited to, bathing, continence, dressing,
12eating, toileting, and transferring.
13    "Eligible expenditure" means costs associated with:
14        (1) improvements or alterations to the family
15    caregiver's or eligible family member's principal
16    residence to permit the eligible family member to remain
17    mobile, safe, and independent;
18        (2) the purchase or lease of equipment that has been
19    certified by a licensed health care provider as necessary
20    to assist an eligible family member in carrying out one or
21    more activities of daily living; or
22        (3) other goods, services, or supports that assist the
23    family caregiver in providing care to an eligible family

 

 

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1    member, including, but not limited to, expenditures
2    related to hiring a home care aide or personal care
3    attendant for the eligible family member; providing
4    respite care, adult day health, transportation, or legal
5    or financial services for the eligible family member; and
6    acquiring assistive technology to care for the eligible
7    family member.
8    "Eligible family member" means an individual who, during
9the taxable year for which the credit is sought:
10        (1) is at least 50 years of age;
11        (2) requires assistance with at least one activity of
12    daily living, as certified by a licensed health care
13    provider;
14        (3) is a resident of the State; and
15        (4) qualifies as a dependent, spouse, parent, or other
16    relation by blood, marriage, or civil union, including an
17    in-law, sibling, grandparent, grandchild, step-parent,
18    step-child, aunt, uncle, niece, or nephew of the family
19    caregiver, or any individual whose close association with
20    the family caregiver is the equivalent of a family
21    relationship.
22    "Family caregiver" means an unpaid caregiver who, during
23the taxable year for which the credit is sought:
24        (1) is an Illinois resident and taxpayer;
25        (2) had uncompensated eligible expenditures, as
26    described in subsection (a), with respect to one or more

 

 

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1    eligible family members during the taxable year; and
2        (3) had an adjusted gross income of less than $75,000
3    for an individual and $150,000 for spouses filing a joint
4    return; in the case of a joint return, the term "family
5    caregiver" includes the individual and the individual's
6    spouse.
7    (b) For taxable years beginning on or after January 1,
82024, a taxpayer who is a family caregiver is eligible to
9receive a nonrefundable credit against the taxes imposed by
10subsections (a) and (b) of Section 201 in an amount equal to
11100% of the eligible expenditures incurred by the taxpayer
12during the taxable year, subject to the maximum allowable
13credit under this subsection. No taxpayer shall be entitled to
14claim a tax credit under this Section for the same eligible
15expenditures claimed by another taxpayer.
16    The total amount of tax credits claimed by family
17caregivers for the same eligible family member shall not
18exceed $750. If 2 or more family caregivers claim more than
19$750 in tax credits for the same eligible family member, then
20the total amount of the credit allowed shall be allocated in
21amounts proportionate to each eligible taxpayer's share of the
22total amount of the eligible expenditures for the eligible
23family member. A taxpayer may claim a credit for only one
24eligible family member per taxable year.
25    A taxpayer may not claim a tax credit under this Section
26for expenses incurred in carrying out general household

 

 

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1maintenance activities, such as painting, plumbing, electrical
2repairs, or exterior maintenance.
3    (c) The Department on Aging shall adopt rules for the
4implementation of this Section.
5    (d) A taxpayer claiming a credit under this Act shall,
6upon showing proof of eligible expenditures, receive from the
7Department on Aging a certificate of verification regarding
8eligibility for the credit under this Section. The taxpayer
9shall submit to the Department of Revenue a copy of the
10certificate of verification received for the taxable year.
11    (e) By November 1, 2026 and each November 1 thereafter,
12the Department of Revenue shall file a report with the
13Governor and the General Assembly and publish on its website
14the total amount of tax credits claimed under this Section and
15the total number of taxpayers who received the credit for the
16preceding fiscal year.
17    (f) This Section is exempt from the provisions of Section
18250.
 
19    Section 99. Effective date. This Act takes effect upon
20becoming law.