HB7048 93RD GENERAL ASSEMBLY

LRB093 17700 SJM 47218 b

93RD GENERAL ASSEMBLY
State of Illinois
2003 and 2004
HB7048

Introduced 02/09/04, by Lisa M. Dugan

SYNOPSIS AS INTRODUCED:

35 ILCS 5/216 new

Amends the Illinois Income Tax Act. Provides that, for taxable years ending on or after December 31, 2004 and on or before December 30, 2009, each taxpayer is entitled to an income tax credit in the amount of $500 per taxable year if the taxpayer is a member of the armed forces of the United States, the Illinois National Guard, or a reserve component of the armed forces of the United States and served on active duty during the taxable year. Provides that the credit is not refundable and may not be carried forward or back. Effective January 1, 2005.

FISCAL NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning taxes.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Illinois Income Tax Act is amended by adding Section 216 as follows:

(35 ILCS 5/216 new)

Sec. 216. Iraq and Afghanistan service tax credit.

(a) For taxable years ending on or after December 31, 2004 and on or before December 30, 2009, each taxpayer is entitled to a credit against the tax imposed by subsections (a) and (b) of Section 201 in the amount of $500 per taxable year if the taxpayer is a member of the armed forces of the United States, the Illinois National Guard, or a reserve component of the armed forces of the United States and served on active duty during the taxable year.

(b) The tax credit under this Section may not reduce the taxpayer's liability to less than zero. If the amount of the credit exceeds the tax liability for the year, the excess may not be carried forward or back to apply to the tax liability of any other taxable year.

Section 99. Effective date. This Act takes effect January 1, 2005.