HB2386 102ND GENERAL ASSEMBLY

LRB102 12920 HLH 18263 b

102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB2386

Introduced 2/17/2021, by Rep. Dave Vella

SYNOPSIS AS INTRODUCED:

35 ILCS 5/232 new

Amends the Illinois Income Tax Act. Provides that each taxpayer business is entitled to an income tax credit in an amount equal to 100% of the costs incurred by the taxpayer in paying for screenings, treatments, and recommendations associated with individual employees' physical, mental, and emotional wellness. Effective immediately.

FISCAL NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning revenue.

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 232 as follows:

(35 ILCS 5/232 new)

Sec. 232. Credit for expenses associated with employee wellness.

(a) For taxable years beginning on or after January 1, 2022, each taxpayer business is entitled to a credit against the taxes imposed by subsections (a) and (b) of Section 201 in an amount equal to 100% of the costs incurred by the taxpayer in paying for screenings, treatments, and recommendations associated with individual employees' physical, mental, and emotional wellness.

(b) In no event shall a credit under this Section 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 be carried forward and applied to the tax liability of the 5 taxable years following the excess credit year. The tax credit shall be applied to the earliest year for which there is a tax liability. If there are credits for more than one year that are available to offset a liability, the earlier credit shall be applied first.

(c) For partners, shareholders of subchapter S corporations, and owners of limited liability companies, if the liability company is treated as a partnership for purposes of federal and State income taxation, there shall be allowed a credit under this Section to be determined in accordance with the determination of income and distributive share of income under Sections 702 and 704 and subchapter S of the Internal Revenue Code.

(d) This Section is exempt from the provisions of Section 250.

Section 99. Effective date. This Act takes effect upon becoming law.