103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
SB2718

 

Introduced 1/10/2024, by Sen. Sue Rezin

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 5/241 new

    Amends the Illinois Income Tax Act. Creates an income tax credit for taxpayers who are employed as an early childhood teacher or an early childhood assistant during the taxable year and who have a federal adjusted gross income for the taxable year of $75,000 or less. Provides that, for taxable years beginning on January 1, 2025 and beginning before January 1, 2026, the amount of the credit is $1,000. Provides that, for subsequent taxable years, the credit amount shall be adjusted by the percentage increase, if any, in the Consumer Price Index for the preceding calendar year.


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A BILL FOR

 

SB2718LRB103 36970 HLH 67084 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. Early Childhood Educator Tax Credit.
8    (a) As used in this Act:
9    "Consumer Price Index-u" means the index published by the
10Bureau of Labor Statistics of the United States Department of
11Labor that measures the average change in prices of goods and
12services purchased by all urban consumers, United States city
13average, all items, 1982-84=100.
14    "Early childhood assistant" means a person who is employed
15by and working in a child care center as an early childhood
16assistant and who meets the qualifications to be an early
17childhood assistant set forth in 89 Ill. Adm. Code 407.150.
18    "Early childhood educator credit amount" means:
19        (1) for taxable years beginning on January 1, 2025 and
20    beginning before January 1, 2026, $1,000; and
21        (2) for taxable years beginning on or after January 1,
22    2025, the early childhood educator credit amount for the
23    immediately preceding calendar year, multiplied by one

 

 

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1    plus the percentage increase, if any, in the Consumer
2    Price Index-u for the 12-month period ending in September
3    of the calendar year immediately preceding the first day
4    of the taxable year for which the early childhood educator
5    credit amount is calculated.
6    "Early childhood teacher" means a person who is employed
7by and working in a child care center as a teacher and who
8meets the qualifications to be an early childhood teacher set
9forth in 89 Ill. Adm. Code 407.140.
10    (b) For taxable years beginning on or after January 1,
112025, a taxpayer who is employed as an early childhood teacher
12or an early childhood assistant during the taxable year and
13who has a federal adjusted gross income for the taxable year of
14$75,000 or less shall be allowed a credit against the tax
15imposed by subsections (a) and (b) of Section 201 in an amount
16equal to the early childhood educator credit amount.
17    (c) If the amount of the credit exceeds the taxpayer's
18Illinois income tax liability for the taxable year, then the
19excess amount of the credit shall be refunded to the taxpayer.
20    (d) This Section is exempt from the provisions of Section
21250.