Full Text of SB1243 95th General Assembly
SB1243enr 95TH GENERAL ASSEMBLY
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SB1243 Enrolled |
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| AN ACT concerning environmental protection.
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| Be it enacted by the People of the State of Illinois,
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| represented in the General Assembly:
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| Section 5. The Illinois Income Tax Act is amended by | 5 |
| changing Section 201 as follows:
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| (35 ILCS 5/201) (from Ch. 120, par. 2-201)
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| Sec. 201. Tax Imposed.
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| (a) In general. A tax measured by net income is hereby | 9 |
| imposed on every
individual, corporation, trust and estate for | 10 |
| each taxable year ending
after July 31, 1969 on the privilege | 11 |
| of earning or receiving income in or
as a resident of this | 12 |
| State. Such tax shall be in addition to all other
occupation or | 13 |
| privilege taxes imposed by this State or by any municipal
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| corporation or political subdivision thereof.
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| (b) Rates. The tax imposed by subsection (a) of this | 16 |
| Section shall be
determined as follows, except as adjusted by | 17 |
| subsection (d-1):
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| (1) In the case of an individual, trust or estate, for | 19 |
| taxable years
ending prior to July 1, 1989, an amount equal | 20 |
| to 2 1/2% of the taxpayer's
net income for the taxable | 21 |
| year.
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| (2) In the case of an individual, trust or estate, for | 23 |
| taxable years
beginning prior to July 1, 1989 and ending |
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| after June 30, 1989, an amount
equal to the sum of (i) 2 | 2 |
| 1/2% of the taxpayer's net income for the period
prior to | 3 |
| July 1, 1989, as calculated under Section 202.3, and (ii) | 4 |
| 3% of the
taxpayer's net income for the period after June | 5 |
| 30, 1989, as calculated
under Section 202.3.
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| (3) In the case of an individual, trust or estate, for | 7 |
| taxable years
beginning after June 30, 1989, an amount | 8 |
| equal to 3% of the taxpayer's net
income for the taxable | 9 |
| year.
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| (4) (Blank).
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| (5) (Blank).
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| (6) In the case of a corporation, for taxable years
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| ending prior to July 1, 1989, an amount equal to 4% of the
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| taxpayer's net income for the taxable year.
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| (7) In the case of a corporation, for taxable years | 16 |
| beginning prior to
July 1, 1989 and ending after June 30, | 17 |
| 1989, an amount equal to the sum of
(i) 4% of the | 18 |
| taxpayer's net income for the period prior to July 1, 1989,
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| as calculated under Section 202.3, and (ii) 4.8% of the | 20 |
| taxpayer's net
income for the period after June 30, 1989, | 21 |
| as calculated under Section
202.3.
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| (8) In the case of a corporation, for taxable years | 23 |
| beginning after
June 30, 1989, an amount equal to 4.8% of | 24 |
| the taxpayer's net income for the
taxable year.
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| (c) Personal Property Tax Replacement Income Tax.
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| Beginning on July 1, 1979 and thereafter, in addition to such |
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| income
tax, there is also hereby imposed the Personal Property | 2 |
| Tax Replacement
Income Tax measured by net income on every | 3 |
| corporation (including Subchapter
S corporations), partnership | 4 |
| and trust, for each taxable year ending after
June 30, 1979. | 5 |
| Such taxes are imposed on the privilege of earning or
receiving | 6 |
| income in or as a resident of this State. The Personal Property
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| Tax Replacement Income Tax shall be in addition to the income | 8 |
| tax imposed
by subsections (a) and (b) of this Section and in | 9 |
| addition to all other
occupation or privilege taxes imposed by | 10 |
| this State or by any municipal
corporation or political | 11 |
| subdivision thereof.
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| (d) Additional Personal Property Tax Replacement Income | 13 |
| Tax Rates.
The personal property tax replacement income tax | 14 |
| imposed by this subsection
and subsection (c) of this Section | 15 |
| in the case of a corporation, other
than a Subchapter S | 16 |
| corporation and except as adjusted by subsection (d-1),
shall | 17 |
| be an additional amount equal to
2.85% of such taxpayer's net | 18 |
| income for the taxable year, except that
beginning on January | 19 |
| 1, 1981, and thereafter, the rate of 2.85% specified
in this | 20 |
| subsection shall be reduced to 2.5%, and in the case of a
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| partnership, trust or a Subchapter S corporation shall be an | 22 |
| additional
amount equal to 1.5% of such taxpayer's net income | 23 |
| for the taxable year.
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| (d-1) Rate reduction for certain foreign insurers. In the | 25 |
| case of a
foreign insurer, as defined by Section 35A-5 of the | 26 |
| Illinois Insurance Code,
whose state or country of domicile |
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| imposes on insurers domiciled in Illinois
a retaliatory tax | 2 |
| (excluding any insurer
whose premiums from reinsurance assumed | 3 |
| are 50% or more of its total insurance
premiums as determined | 4 |
| under paragraph (2) of subsection (b) of Section 304,
except | 5 |
| that for purposes of this determination premiums from | 6 |
| reinsurance do
not include premiums from inter-affiliate | 7 |
| reinsurance arrangements),
beginning with taxable years ending | 8 |
| on or after December 31, 1999,
the sum of
the rates of tax | 9 |
| imposed by subsections (b) and (d) shall be reduced (but not
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| increased) to the rate at which the total amount of tax imposed | 11 |
| under this Act,
net of all credits allowed under this Act, | 12 |
| shall equal (i) the total amount of
tax that would be imposed | 13 |
| on the foreign insurer's net income allocable to
Illinois for | 14 |
| the taxable year by such foreign insurer's state or country of
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| domicile if that net income were subject to all income taxes | 16 |
| and taxes
measured by net income imposed by such foreign | 17 |
| insurer's state or country of
domicile, net of all credits | 18 |
| allowed or (ii) a rate of zero if no such tax is
imposed on such | 19 |
| income by the foreign insurer's state of domicile.
For the | 20 |
| purposes of this subsection (d-1), an inter-affiliate includes | 21 |
| a
mutual insurer under common management.
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| (1) For the purposes of subsection (d-1), in no event | 23 |
| shall the sum of the
rates of tax imposed by subsections | 24 |
| (b) and (d) be reduced below the rate at
which the sum of:
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| (A) the total amount of tax imposed on such foreign | 26 |
| insurer under
this Act for a taxable year, net of all |
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| credits allowed under this Act, plus
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| (B) the privilege tax imposed by Section 409 of the | 3 |
| Illinois Insurance
Code, the fire insurance company | 4 |
| tax imposed by Section 12 of the Fire
Investigation | 5 |
| Act, and the fire department taxes imposed under | 6 |
| Section 11-10-1
of the Illinois Municipal Code,
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| equals 1.25% for taxable years ending prior to December 31, | 8 |
| 2003, or
1.75% for taxable years ending on or after | 9 |
| December 31, 2003, of the net
taxable premiums written for | 10 |
| the taxable year,
as described by subsection (1) of Section | 11 |
| 409 of the Illinois Insurance Code.
This paragraph will in | 12 |
| no event increase the rates imposed under subsections
(b) | 13 |
| and (d).
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| (2) Any reduction in the rates of tax imposed by this | 15 |
| subsection shall be
applied first against the rates imposed | 16 |
| by subsection (b) and only after the
tax imposed by | 17 |
| subsection (a) net of all credits allowed under this | 18 |
| Section
other than the credit allowed under subsection (i) | 19 |
| has been reduced to zero,
against the rates imposed by | 20 |
| subsection (d).
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| This subsection (d-1) is exempt from the provisions of | 22 |
| Section 250.
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| (e) Investment credit. A taxpayer shall be allowed a credit
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| against the Personal Property Tax Replacement Income Tax for
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| investment in qualified property.
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| (1) A taxpayer shall be allowed a credit equal to .5% |
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| of
the basis of qualified property placed in service during | 2 |
| the taxable year,
provided such property is placed in | 3 |
| service on or after
July 1, 1984. There shall be allowed an | 4 |
| additional credit equal
to .5% of the basis of qualified | 5 |
| property placed in service during the
taxable year, | 6 |
| provided such property is placed in service on or
after | 7 |
| July 1, 1986, and the taxpayer's base employment
within | 8 |
| Illinois has increased by 1% or more over the preceding | 9 |
| year as
determined by the taxpayer's employment records | 10 |
| filed with the
Illinois Department of Employment Security. | 11 |
| Taxpayers who are new to
Illinois shall be deemed to have | 12 |
| met the 1% growth in base employment for
the first year in | 13 |
| which they file employment records with the Illinois
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| Department of Employment Security. The provisions added to | 15 |
| this Section by
Public Act 85-1200 (and restored by Public | 16 |
| Act 87-895) shall be
construed as declaratory of existing | 17 |
| law and not as a new enactment. If,
in any year, the | 18 |
| increase in base employment within Illinois over the
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| preceding year is less than 1%, the additional credit shall | 20 |
| be limited to that
percentage times a fraction, the | 21 |
| numerator of which is .5% and the denominator
of which is | 22 |
| 1%, but shall not exceed .5%. The investment credit shall | 23 |
| not be
allowed to the extent that it would reduce a | 24 |
| taxpayer's liability in any tax
year below zero, nor may | 25 |
| any credit for qualified property be allowed for any
year | 26 |
| other than the year in which the property was placed in |
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| service in
Illinois. For tax years ending on or after | 2 |
| December 31, 1987, and on or
before December 31, 1988, the | 3 |
| credit shall be allowed for the tax year in
which the | 4 |
| property is placed in service, or, if the amount of the | 5 |
| credit
exceeds the tax liability for that year, whether it | 6 |
| exceeds the original
liability or the liability as later | 7 |
| amended, such excess may be carried
forward and applied to | 8 |
| the tax liability of the 5 taxable years following
the | 9 |
| excess credit years if the taxpayer (i) makes investments | 10 |
| which cause
the creation of a minimum of 2,000 full-time | 11 |
| equivalent jobs in Illinois,
(ii) is located in an | 12 |
| enterprise zone established pursuant to the Illinois
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| Enterprise Zone Act and (iii) is certified by the | 14 |
| Department of Commerce
and Community Affairs (now | 15 |
| Department of Commerce and Economic Opportunity) as | 16 |
| complying with the requirements specified in
clause (i) and | 17 |
| (ii) by July 1, 1986. The Department of Commerce and
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| Community Affairs (now Department of Commerce and Economic | 19 |
| Opportunity) shall notify the Department of Revenue of all | 20 |
| such
certifications immediately. For tax years ending | 21 |
| after December 31, 1988,
the credit shall be allowed for | 22 |
| the tax year in which the property is
placed in service, | 23 |
| or, if the amount of the credit exceeds the tax
liability | 24 |
| for that year, whether it exceeds the original liability or | 25 |
| the
liability as later amended, such excess may be carried | 26 |
| forward and applied
to the tax liability of the 5 taxable |
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| years following the excess credit
years. The credit shall | 2 |
| be applied to the earliest year for which there is
a | 3 |
| liability. If there is credit from more than one tax year | 4 |
| that is
available to offset a liability, earlier credit | 5 |
| shall be applied first.
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| (2) The term "qualified property" means property | 7 |
| which:
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| (A) is tangible, whether new or used, including | 9 |
| buildings and structural
components of buildings and | 10 |
| signs that are real property, but not including
land or | 11 |
| improvements to real property that are not a structural | 12 |
| component of a
building such as landscaping, sewer | 13 |
| lines, local access roads, fencing, parking
lots, and | 14 |
| other appurtenances;
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| (B) is depreciable pursuant to Section 167 of the | 16 |
| Internal Revenue Code,
except that "3-year property" | 17 |
| as defined in Section 168(c)(2)(A) of that
Code is not | 18 |
| eligible for the credit provided by this subsection | 19 |
| (e);
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| (C) is acquired by purchase as defined in Section | 21 |
| 179(d) of
the Internal Revenue Code;
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| (D) is used in Illinois by a taxpayer who is | 23 |
| primarily engaged in
manufacturing, or in mining coal | 24 |
| or fluorite, or in retailing, or was placed in service | 25 |
| on or after July 1, 2006 in a River Edge Redevelopment | 26 |
| Zone established pursuant to the River Edge |
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| Redevelopment Zone Act; and
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| (E) has not previously been used in Illinois in | 3 |
| such a manner and by
such a person as would qualify for | 4 |
| the credit provided by this subsection
(e) or | 5 |
| subsection (f).
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| (3) For purposes of this subsection (e), | 7 |
| "manufacturing" means
the material staging and production | 8 |
| of tangible personal property by
procedures commonly | 9 |
| regarded as manufacturing, processing, fabrication, or
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| assembling which changes some existing material into new | 11 |
| shapes, new
qualities, or new combinations. For purposes of | 12 |
| this subsection
(e) the term "mining" shall have the same | 13 |
| meaning as the term "mining" in
Section 613(c) of the | 14 |
| Internal Revenue Code. For purposes of this subsection
(e), | 15 |
| the term "retailing" means the sale of tangible personal | 16 |
| property or
services rendered in conjunction with the sale | 17 |
| of tangible consumer goods
or commodities.
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| (4) The basis of qualified property shall be the basis
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| used to compute the depreciation deduction for federal | 20 |
| income tax purposes.
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| (5) If the basis of the property for federal income tax | 22 |
| depreciation
purposes is increased after it has been placed | 23 |
| in service in Illinois by
the taxpayer, the amount of such | 24 |
| increase shall be deemed property placed
in service on the | 25 |
| date of such increase in basis.
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| (6) The term "placed in service" shall have the same
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| meaning as under Section 46 of the Internal Revenue Code.
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| (7) If during any taxable year, any property ceases to
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| be qualified property in the hands of the taxpayer within | 4 |
| 48 months after
being placed in service, or the situs of | 5 |
| any qualified property is
moved outside Illinois within 48 | 6 |
| months after being placed in service, the
Personal Property | 7 |
| Tax Replacement Income Tax for such taxable year shall be
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| increased. Such increase shall be determined by (i) | 9 |
| recomputing the
investment credit which would have been | 10 |
| allowed for the year in which
credit for such property was | 11 |
| originally allowed by eliminating such
property from such | 12 |
| computation and, (ii) subtracting such recomputed credit
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| from the amount of credit previously allowed. For the | 14 |
| purposes of this
paragraph (7), a reduction of the basis of | 15 |
| qualified property resulting
from a redetermination of the | 16 |
| purchase price shall be deemed a disposition
of qualified | 17 |
| property to the extent of such reduction.
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| (8) Unless the investment credit is extended by law, | 19 |
| the
basis of qualified property shall not include costs | 20 |
| incurred after
December 31, 2008, except for costs incurred | 21 |
| pursuant to a binding
contract entered into on or before | 22 |
| December 31, 2008.
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| (9) Each taxable year ending before December 31, 2000, | 24 |
| a partnership may
elect to pass through to its
partners the | 25 |
| credits to which the partnership is entitled under this | 26 |
| subsection
(e) for the taxable year. A partner may use the |
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| credit allocated to him or her
under this paragraph only | 2 |
| against the tax imposed in subsections (c) and (d) of
this | 3 |
| Section. If the partnership makes that election, those | 4 |
| credits shall be
allocated among the partners in the | 5 |
| partnership in accordance with the rules
set forth in | 6 |
| Section 704(b) of the Internal Revenue Code, and the rules
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| promulgated under that Section, and the allocated amount of | 8 |
| the credits shall
be allowed to the partners for that | 9 |
| taxable year. The partnership shall make
this election on | 10 |
| its Personal Property Tax Replacement Income Tax return for
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| that taxable year. The election to pass through the credits | 12 |
| shall be
irrevocable.
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| For taxable years ending on or after December 31, 2000, | 14 |
| a
partner that qualifies its
partnership for a subtraction | 15 |
| under subparagraph (I) of paragraph (2) of
subsection (d) | 16 |
| of Section 203 or a shareholder that qualifies a Subchapter | 17 |
| S
corporation for a subtraction under subparagraph (S) of | 18 |
| paragraph (2) of
subsection (b) of Section 203 shall be | 19 |
| allowed a credit under this subsection
(e) equal to its | 20 |
| share of the credit earned under this subsection (e) during
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| the taxable year by the partnership or Subchapter S | 22 |
| corporation, determined in
accordance with the | 23 |
| determination of income and distributive share of
income | 24 |
| under Sections 702 and 704 and Subchapter S of the Internal | 25 |
| Revenue
Code. This paragraph is exempt from the provisions | 26 |
| of Section 250.
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| (f) Investment credit; Enterprise Zone; River Edge | 2 |
| Redevelopment Zone.
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| (1) A taxpayer shall be allowed a credit against the | 4 |
| tax imposed
by subsections (a) and (b) of this Section for | 5 |
| investment in qualified
property which is placed in service | 6 |
| in an Enterprise Zone created
pursuant to the Illinois | 7 |
| Enterprise Zone Act or, for property placed in service on | 8 |
| or after July 1, 2006, a River Edge Redevelopment Zone | 9 |
| established pursuant to the River Edge Redevelopment Zone | 10 |
| Act. For partners, shareholders
of Subchapter S | 11 |
| corporations, and owners of limited liability companies,
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| if the liability company is treated as a partnership for | 13 |
| purposes of
federal and State income taxation, there shall | 14 |
| be allowed a credit under
this subsection (f) to be | 15 |
| determined in accordance with the determination
of income | 16 |
| and distributive share of income under Sections 702 and 704 | 17 |
| and
Subchapter S of the Internal Revenue Code. The credit | 18 |
| shall be .5% of the
basis for such property. The credit | 19 |
| shall be available only in the taxable
year in which the | 20 |
| property is placed in service in the Enterprise Zone or | 21 |
| River Edge Redevelopment Zone and
shall not be allowed to | 22 |
| the extent that it would reduce a taxpayer's
liability for | 23 |
| the tax imposed by subsections (a) and (b) of this Section | 24 |
| to
below zero. For tax years ending on or after December | 25 |
| 31, 1985, the credit
shall be allowed for the tax year in | 26 |
| which the property is placed in
service, or, if the amount |
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| of the credit exceeds the tax liability for that
year, | 2 |
| whether it exceeds the original liability or the liability | 3 |
| as later
amended, such excess may be carried forward and | 4 |
| applied to the tax
liability of the 5 taxable years | 5 |
| following the excess credit year.
The credit shall be | 6 |
| applied to the earliest year for which there is a
| 7 |
| liability. If there is credit from more than one tax year | 8 |
| that is available
to offset a liability, the credit | 9 |
| accruing first in time shall be applied
first.
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| (2) The term qualified property means property which:
| 11 |
| (A) is tangible, whether new or used, including | 12 |
| buildings and
structural components of buildings;
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| (B) is depreciable pursuant to Section 167 of the | 14 |
| Internal Revenue
Code, except that "3-year property" | 15 |
| as defined in Section 168(c)(2)(A) of
that Code is not | 16 |
| eligible for the credit provided by this subsection | 17 |
| (f);
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| (C) is acquired by purchase as defined in Section | 19 |
| 179(d) of
the Internal Revenue Code;
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| (D) is used in the Enterprise Zone or River Edge | 21 |
| Redevelopment Zone by the taxpayer; and
| 22 |
| (E) has not been previously used in Illinois in | 23 |
| such a manner and by
such a person as would qualify for | 24 |
| the credit provided by this subsection
(f) or | 25 |
| subsection (e).
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| (3) The basis of qualified property shall be the basis |
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| used to compute
the depreciation deduction for federal | 2 |
| income tax purposes.
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| (4) If the basis of the property for federal income tax | 4 |
| depreciation
purposes is increased after it has been placed | 5 |
| in service in the Enterprise
Zone or River Edge | 6 |
| Redevelopment Zone by the taxpayer, the amount of such | 7 |
| increase shall be deemed property
placed in service on the | 8 |
| date of such increase in basis.
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| (5) The term "placed in service" shall have the same | 10 |
| meaning as under
Section 46 of the Internal Revenue Code.
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| (6) If during any taxable year, any property ceases to | 12 |
| be qualified
property in the hands of the taxpayer within | 13 |
| 48 months after being placed
in service, or the situs of | 14 |
| any qualified property is moved outside the
Enterprise Zone | 15 |
| or River Edge Redevelopment Zone within 48 months after | 16 |
| being placed in service, the tax
imposed under subsections | 17 |
| (a) and (b) of this Section for such taxable year
shall be | 18 |
| increased. Such increase shall be determined by (i) | 19 |
| recomputing
the investment credit which would have been | 20 |
| allowed for the year in which
credit for such property was | 21 |
| originally allowed by eliminating such
property from such | 22 |
| computation, and (ii) subtracting such recomputed credit
| 23 |
| from the amount of credit previously allowed. For the | 24 |
| purposes of this
paragraph (6), a reduction of the basis of | 25 |
| qualified property resulting
from a redetermination of the | 26 |
| purchase price shall be deemed a disposition
of qualified |
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| property to the extent of such reduction.
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| (7) There shall be allowed an additional credit equal | 3 |
| to 0.5% of the basis of qualified property placed in | 4 |
| service during the taxable year in a River Edge | 5 |
| Redevelopment Zone, provided such property is placed in | 6 |
| service on or after July 1, 2006, and the taxpayer's base | 7 |
| employment within Illinois has increased by 1% or more over | 8 |
| the preceding year as determined by the taxpayer's | 9 |
| employment records filed with the Illinois Department of | 10 |
| Employment Security. Taxpayers who are new to Illinois | 11 |
| shall be deemed to have met the 1% growth in base | 12 |
| employment for the first year in which they file employment | 13 |
| records with the Illinois Department of Employment | 14 |
| Security. If, in any year, the increase in base employment | 15 |
| within Illinois over the preceding year is less than 1%, | 16 |
| the additional credit shall be limited to that percentage | 17 |
| times a fraction, the numerator of which is 0.5% and the | 18 |
| denominator of which is 1%, but shall not exceed 0.5%.
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| (g) Jobs Tax Credit; Enterprise Zone, River Edge | 20 |
| Redevelopment Zone, and Foreign Trade Zone or Sub-Zone.
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| (1) A taxpayer conducting a trade or business in an | 22 |
| enterprise zone
or a High Impact Business designated by the | 23 |
| Department of Commerce and
Economic Opportunity or for | 24 |
| taxable years ending on or after December 31, 2006, in a | 25 |
| River Edge Redevelopment Zone conducting a trade or | 26 |
| business in a federally designated
Foreign Trade Zone or |
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| Sub-Zone shall be allowed a credit against the tax
imposed | 2 |
| by subsections (a) and (b) of this Section in the amount of | 3 |
| $500
per eligible employee hired to work in the zone during | 4 |
| the taxable year.
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| (2) To qualify for the credit:
| 6 |
| (A) the taxpayer must hire 5 or more eligible | 7 |
| employees to work in an
enterprise zone, River Edge | 8 |
| Redevelopment Zone, or federally designated Foreign | 9 |
| Trade Zone or Sub-Zone
during the taxable year;
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| (B) the taxpayer's total employment within the | 11 |
| enterprise zone, River Edge Redevelopment Zone, or
| 12 |
| federally designated Foreign Trade Zone or Sub-Zone | 13 |
| must
increase by 5 or more full-time employees beyond | 14 |
| the total employed in that
zone at the end of the | 15 |
| previous tax year for which a jobs tax
credit under | 16 |
| this Section was taken, or beyond the total employed by | 17 |
| the
taxpayer as of December 31, 1985, whichever is | 18 |
| later; and
| 19 |
| (C) the eligible employees must be employed 180 | 20 |
| consecutive days in
order to be deemed hired for | 21 |
| purposes of this subsection.
| 22 |
| (3) An "eligible employee" means an employee who is:
| 23 |
| (A) Certified by the Department of Commerce and | 24 |
| Economic Opportunity
as "eligible for services" | 25 |
| pursuant to regulations promulgated in
accordance with | 26 |
| Title II of the Job Training Partnership Act, Training
|
|
|
|
SB1243 Enrolled |
- 17 - |
LRB095 01632 CMK 23652 b |
|
| 1 |
| Services for the Disadvantaged or Title III of the Job | 2 |
| Training Partnership
Act, Employment and Training | 3 |
| Assistance for Dislocated Workers Program.
| 4 |
| (B) Hired after the enterprise zone, River Edge | 5 |
| Redevelopment Zone, or federally designated Foreign
| 6 |
| Trade Zone or Sub-Zone was designated or the trade or
| 7 |
| business was located in that zone, whichever is later.
| 8 |
| (C) Employed in the enterprise zone, River Edge | 9 |
| Redevelopment Zone, or Foreign Trade Zone or
Sub-Zone. | 10 |
| An employee is employed in an
enterprise zone or | 11 |
| federally designated Foreign Trade Zone or Sub-Zone
if | 12 |
| his services are rendered there or it is the base of
| 13 |
| operations for the services performed.
| 14 |
| (D) A full-time employee working 30 or more hours | 15 |
| per week.
| 16 |
| (4) For tax years ending on or after December 31, 1985 | 17 |
| and prior to
December 31, 1988, the credit shall be allowed | 18 |
| for the tax year in which
the eligible employees are hired. | 19 |
| For tax years ending on or after
December 31, 1988, the | 20 |
| credit shall be allowed for the tax year immediately
| 21 |
| following the tax year in which the eligible employees are | 22 |
| hired. If the
amount of the credit exceeds the tax | 23 |
| liability for that year, whether it
exceeds the original | 24 |
| liability or the liability as later amended, such
excess | 25 |
| may be carried forward and applied to the tax liability of | 26 |
| the 5
taxable years following the excess credit year. The |
|
|
|
SB1243 Enrolled |
- 18 - |
LRB095 01632 CMK 23652 b |
|
| 1 |
| credit shall be
applied to the earliest year for which | 2 |
| there is a liability. If there is
credit from more than one | 3 |
| tax year that is available to offset a liability,
earlier | 4 |
| credit shall be applied first.
| 5 |
| (5) The Department of Revenue shall promulgate such | 6 |
| rules and regulations
as may be deemed necessary to carry | 7 |
| out the purposes of this subsection (g).
| 8 |
| (6) The credit shall be available for eligible | 9 |
| employees hired on or
after January 1, 1986.
| 10 |
| (h) Investment credit; High Impact Business.
| 11 |
| (1) Subject to subsections (b) and (b-5) of Section
5.5 | 12 |
| of the Illinois Enterprise Zone Act, a taxpayer shall be | 13 |
| allowed a credit
against the tax imposed by subsections (a) | 14 |
| and (b) of this Section for
investment in qualified
| 15 |
| property which is placed in service by a Department of | 16 |
| Commerce and Economic Opportunity
designated High Impact | 17 |
| Business. The credit shall be .5% of the basis
for such | 18 |
| property. The credit shall not be available (i) until the | 19 |
| minimum
investments in qualified property set forth in | 20 |
| subdivision (a)(3)(A) of
Section 5.5 of the Illinois
| 21 |
| Enterprise Zone Act have been satisfied
or (ii) until the | 22 |
| time authorized in subsection (b-5) of the Illinois
| 23 |
| Enterprise Zone Act for entities designated as High Impact | 24 |
| Businesses under
subdivisions (a)(3)(B), (a)(3)(C), and | 25 |
| (a)(3)(D) of Section 5.5 of the Illinois
Enterprise Zone | 26 |
| Act, and shall not be allowed to the extent that it would
|
|
|
|
SB1243 Enrolled |
- 19 - |
LRB095 01632 CMK 23652 b |
|
| 1 |
| reduce a taxpayer's liability for the tax imposed by | 2 |
| subsections (a) and (b) of
this Section to below zero. The | 3 |
| credit applicable to such investments shall be
taken in the | 4 |
| taxable year in which such investments have been completed. | 5 |
| The
credit for additional investments beyond the minimum | 6 |
| investment by a designated
high impact business authorized | 7 |
| under subdivision (a)(3)(A) of Section 5.5 of
the Illinois | 8 |
| Enterprise Zone Act shall be available only in the taxable | 9 |
| year in
which the property is placed in service and shall | 10 |
| not be allowed to the extent
that it would reduce a | 11 |
| taxpayer's liability for the tax imposed by subsections
(a) | 12 |
| and (b) of this Section to below zero.
For tax years ending | 13 |
| on or after December 31, 1987, the credit shall be
allowed | 14 |
| for the tax year in which the property is placed in | 15 |
| service, or, if
the amount of the credit exceeds the tax | 16 |
| liability for that year, whether
it exceeds the original | 17 |
| liability or the liability as later amended, such
excess | 18 |
| may be carried forward and applied to the tax liability of | 19 |
| the 5
taxable years following the excess credit year. The | 20 |
| credit shall be
applied to the earliest year for which | 21 |
| there is a liability. If there is
credit from more than one | 22 |
| tax year that is available to offset a liability,
the | 23 |
| credit accruing first in time shall be applied first.
| 24 |
| Changes made in this subdivision (h)(1) by Public Act | 25 |
| 88-670
restore changes made by Public Act 85-1182 and | 26 |
| reflect existing law.
|
|
|
|
SB1243 Enrolled |
- 20 - |
LRB095 01632 CMK 23652 b |
|
| 1 |
| (2) The term qualified property means property which:
| 2 |
| (A) is tangible, whether new or used, including | 3 |
| buildings and
structural components of buildings;
| 4 |
| (B) is depreciable pursuant to Section 167 of the | 5 |
| Internal Revenue
Code, except that "3-year property" | 6 |
| as defined in Section 168(c)(2)(A) of
that Code is not | 7 |
| eligible for the credit provided by this subsection | 8 |
| (h);
| 9 |
| (C) is acquired by purchase as defined in Section | 10 |
| 179(d) of the
Internal Revenue Code; and
| 11 |
| (D) is not eligible for the Enterprise Zone | 12 |
| Investment Credit provided
by subsection (f) of this | 13 |
| Section.
| 14 |
| (3) The basis of qualified property shall be the basis | 15 |
| used to compute
the depreciation deduction for federal | 16 |
| income tax purposes.
| 17 |
| (4) If the basis of the property for federal income tax | 18 |
| depreciation
purposes is increased after it has been placed | 19 |
| in service in a federally
designated Foreign Trade Zone or | 20 |
| Sub-Zone located in Illinois by the taxpayer,
the amount of | 21 |
| such increase shall be deemed property placed in service on
| 22 |
| the date of such increase in basis.
| 23 |
| (5) The term "placed in service" shall have the same | 24 |
| meaning as under
Section 46 of the Internal Revenue Code.
| 25 |
| (6) If during any taxable year ending on or before | 26 |
| December 31, 1996,
any property ceases to be qualified
|
|
|
|
SB1243 Enrolled |
- 21 - |
LRB095 01632 CMK 23652 b |
|
| 1 |
| property in the hands of the taxpayer within 48 months | 2 |
| after being placed
in service, or the situs of any | 3 |
| qualified property is moved outside
Illinois within 48 | 4 |
| months after being placed in service, the tax imposed
under | 5 |
| subsections (a) and (b) of this Section for such taxable | 6 |
| year shall
be increased. Such increase shall be determined | 7 |
| by (i) recomputing the
investment credit which would have | 8 |
| been allowed for the year in which
credit for such property | 9 |
| was originally allowed by eliminating such
property from | 10 |
| such computation, and (ii) subtracting such recomputed | 11 |
| credit
from the amount of credit previously allowed. For | 12 |
| the purposes of this
paragraph (6), a reduction of the | 13 |
| basis of qualified property resulting
from a | 14 |
| redetermination of the purchase price shall be deemed a | 15 |
| disposition
of qualified property to the extent of such | 16 |
| reduction.
| 17 |
| (7) Beginning with tax years ending after December 31, | 18 |
| 1996, if a
taxpayer qualifies for the credit under this | 19 |
| subsection (h) and thereby is
granted a tax abatement and | 20 |
| the taxpayer relocates its entire facility in
violation of | 21 |
| the explicit terms and length of the contract under Section
| 22 |
| 18-183 of the Property Tax Code, the tax imposed under | 23 |
| subsections
(a) and (b) of this Section shall be increased | 24 |
| for the taxable year
in which the taxpayer relocated its | 25 |
| facility by an amount equal to the
amount of credit | 26 |
| received by the taxpayer under this subsection (h).
|
|
|
|
SB1243 Enrolled |
- 22 - |
LRB095 01632 CMK 23652 b |
|
| 1 |
| (i) Credit for Personal Property Tax Replacement Income | 2 |
| Tax.
For tax years ending prior to December 31, 2003, a credit | 3 |
| shall be allowed
against the tax imposed by
subsections (a) and | 4 |
| (b) of this Section for the tax imposed by subsections (c)
and | 5 |
| (d) of this Section. This credit shall be computed by | 6 |
| multiplying the tax
imposed by subsections (c) and (d) of this | 7 |
| Section by a fraction, the numerator
of which is base income | 8 |
| allocable to Illinois and the denominator of which is
Illinois | 9 |
| base income, and further multiplying the product by the tax | 10 |
| rate
imposed by subsections (a) and (b) of this Section.
| 11 |
| Any credit earned on or after December 31, 1986 under
this | 12 |
| subsection which is unused in the year
the credit is computed | 13 |
| because it exceeds the tax liability imposed by
subsections (a) | 14 |
| and (b) for that year (whether it exceeds the original
| 15 |
| liability or the liability as later amended) may be carried | 16 |
| forward and
applied to the tax liability imposed by subsections | 17 |
| (a) and (b) of the 5
taxable years following the excess credit | 18 |
| year, provided that no credit may
be carried forward to any | 19 |
| year ending on or
after December 31, 2003. This credit shall be
| 20 |
| applied first to the earliest year for which there is a | 21 |
| liability. If
there is a credit under this subsection from more | 22 |
| than one tax year that is
available to offset a liability the | 23 |
| earliest credit arising under this
subsection shall be applied | 24 |
| first.
| 25 |
| If, during any taxable year ending on or after December 31, | 26 |
| 1986, the
tax imposed by subsections (c) and (d) of this |
|
|
|
SB1243 Enrolled |
- 23 - |
LRB095 01632 CMK 23652 b |
|
| 1 |
| Section for which a taxpayer
has claimed a credit under this | 2 |
| subsection (i) is reduced, the amount of
credit for such tax | 3 |
| shall also be reduced. Such reduction shall be
determined by | 4 |
| recomputing the credit to take into account the reduced tax
| 5 |
| imposed by subsections (c) and (d). If any portion of the
| 6 |
| reduced amount of credit has been carried to a different | 7 |
| taxable year, an
amended return shall be filed for such taxable | 8 |
| year to reduce the amount of
credit claimed.
| 9 |
| (j) Training expense credit. Beginning with tax years | 10 |
| ending on or
after December 31, 1986 and prior to December 31, | 11 |
| 2003, a taxpayer shall be
allowed a credit against the
tax | 12 |
| imposed by subsections (a) and (b) under this Section
for all | 13 |
| amounts paid or accrued, on behalf of all persons
employed by | 14 |
| the taxpayer in Illinois or Illinois residents employed
outside | 15 |
| of Illinois by a taxpayer, for educational or vocational | 16 |
| training in
semi-technical or technical fields or semi-skilled | 17 |
| or skilled fields, which
were deducted from gross income in the | 18 |
| computation of taxable income. The
credit against the tax | 19 |
| imposed by subsections (a) and (b) shall be 1.6% of
such | 20 |
| training expenses. For partners, shareholders of subchapter S
| 21 |
| corporations, and owners of limited liability companies, if the | 22 |
| liability
company is treated as a partnership for purposes of | 23 |
| federal and State income
taxation, there shall be allowed a | 24 |
| credit under this subsection (j) to be
determined in accordance | 25 |
| with the determination of income and distributive
share of | 26 |
| income under Sections 702 and 704 and subchapter S of the |
|
|
|
SB1243 Enrolled |
- 24 - |
LRB095 01632 CMK 23652 b |
|
| 1 |
| Internal
Revenue Code.
| 2 |
| Any credit allowed under this subsection which is unused in | 3 |
| the year
the credit is earned may be carried forward to each of | 4 |
| the 5 taxable
years following the year for which the credit is | 5 |
| first computed until it is
used. This credit shall be applied | 6 |
| first to the earliest year for which
there is a liability. If | 7 |
| there is a credit under this subsection from more
than one tax | 8 |
| year that is available to offset a liability the earliest
| 9 |
| credit arising under this subsection shall be applied first. No | 10 |
| carryforward
credit may be claimed in any tax year ending on or | 11 |
| after
December 31, 2003.
| 12 |
| (k) Research and development credit.
| 13 |
| For tax years ending after July 1, 1990 and prior to
| 14 |
| December 31, 2003, and beginning again for tax years ending on | 15 |
| or after December 31, 2004, a taxpayer shall be
allowed a | 16 |
| credit against the tax imposed by subsections (a) and (b) of | 17 |
| this
Section for increasing research activities in this State. | 18 |
| The credit
allowed against the tax imposed by subsections (a) | 19 |
| and (b) shall be equal
to 6 1/2% of the qualifying expenditures | 20 |
| for increasing research activities
in this State. For partners, | 21 |
| shareholders of subchapter S corporations, and
owners of | 22 |
| limited liability companies, if the liability company is | 23 |
| treated as a
partnership for purposes of federal and State | 24 |
| income taxation, there shall be
allowed a credit under this | 25 |
| subsection to be determined in accordance with the
| 26 |
| determination of income and distributive share of income under |
|
|
|
SB1243 Enrolled |
- 25 - |
LRB095 01632 CMK 23652 b |
|
| 1 |
| Sections 702 and
704 and subchapter S of the Internal Revenue | 2 |
| Code.
| 3 |
| For purposes of this subsection, "qualifying expenditures" | 4 |
| means the
qualifying expenditures as defined for the federal | 5 |
| credit for increasing
research activities which would be | 6 |
| allowable under Section 41 of the
Internal Revenue Code and | 7 |
| which are conducted in this State, "qualifying
expenditures for | 8 |
| increasing research activities in this State" means the
excess | 9 |
| of qualifying expenditures for the taxable year in which | 10 |
| incurred
over qualifying expenditures for the base period, | 11 |
| "qualifying expenditures
for the base period" means the average | 12 |
| of the qualifying expenditures for
each year in the base | 13 |
| period, and "base period" means the 3 taxable years
immediately | 14 |
| preceding the taxable year for which the determination is
being | 15 |
| made.
| 16 |
| Any credit in excess of the tax liability for the taxable | 17 |
| year
may be carried forward. A taxpayer may elect to have the
| 18 |
| unused credit shown on its final completed return carried over | 19 |
| as a credit
against the tax liability for the following 5 | 20 |
| taxable years or until it has
been fully used, whichever occurs | 21 |
| first; provided that no credit earned in a tax year ending | 22 |
| prior to December 31, 2003 may be carried forward to any year | 23 |
| ending on or after December 31, 2003.
| 24 |
| If an unused credit is carried forward to a given year from | 25 |
| 2 or more
earlier years, that credit arising in the earliest | 26 |
| year will be applied
first against the tax liability for the |
|
|
|
SB1243 Enrolled |
- 26 - |
LRB095 01632 CMK 23652 b |
|
| 1 |
| given year. If a tax liability for
the given year still | 2 |
| remains, the credit from the next earliest year will
then be | 3 |
| applied, and so on, until all credits have been used or no tax
| 4 |
| liability for the given year remains. Any remaining unused | 5 |
| credit or
credits then will be carried forward to the next | 6 |
| following year in which a
tax liability is incurred, except | 7 |
| that no credit can be carried forward to
a year which is more | 8 |
| than 5 years after the year in which the expense for
which the | 9 |
| credit is given was incurred.
| 10 |
| No inference shall be drawn from this amendatory Act of the | 11 |
| 91st General
Assembly in construing this Section for taxable | 12 |
| years beginning before January
1, 1999.
| 13 |
| (l) Environmental Remediation Tax Credit.
| 14 |
| (i) For tax years ending after December 31, 1997 and on | 15 |
| or before
December 31, 2001, a taxpayer shall be allowed a | 16 |
| credit against the tax
imposed by subsections (a) and (b) | 17 |
| of this Section for certain amounts paid
for unreimbursed | 18 |
| eligible remediation costs, as specified in this | 19 |
| subsection.
For purposes of this Section, "unreimbursed | 20 |
| eligible remediation costs" means
costs approved by the | 21 |
| Illinois Environmental Protection Agency ("Agency") under
| 22 |
| Section 58.14 of the Environmental Protection Act that were | 23 |
| paid in performing
environmental remediation at a site for | 24 |
| which a No Further Remediation Letter
was issued by the | 25 |
| Agency and recorded under Section 58.10 of the | 26 |
| Environmental
Protection Act. The credit must be claimed |
|
|
|
SB1243 Enrolled |
- 27 - |
LRB095 01632 CMK 23652 b |
|
| 1 |
| for the taxable year in which
Agency approval of the | 2 |
| eligible remediation costs is granted. The credit is
not | 3 |
| available to any taxpayer if the taxpayer or any related | 4 |
| party caused or
contributed to, in any material respect, a | 5 |
| release of regulated substances on,
in, or under the site | 6 |
| that was identified and addressed by the remedial
action | 7 |
| pursuant to the Site Remediation Program of the | 8 |
| Environmental Protection
Act. After the Pollution Control | 9 |
| Board rules are adopted pursuant to the
Illinois | 10 |
| Administrative Procedure Act for the administration and | 11 |
| enforcement of
Section 58.9 of the Environmental | 12 |
| Protection Act, determinations as to credit
availability | 13 |
| for purposes of this Section shall be made consistent with | 14 |
| those
rules. For purposes of this Section, "taxpayer" | 15 |
| includes a person whose tax
attributes the taxpayer has | 16 |
| succeeded to under Section 381 of the Internal
Revenue Code | 17 |
| and "related party" includes the persons disallowed a | 18 |
| deduction
for losses by paragraphs (b), (c), and (f)(1) of | 19 |
| Section 267 of the Internal
Revenue Code by virtue of being | 20 |
| a related taxpayer, as well as any of its
partners. The | 21 |
| credit allowed against the tax imposed by subsections (a) | 22 |
| and
(b) shall be equal to 25% of the unreimbursed eligible | 23 |
| remediation costs in
excess of $100,000 per site, except | 24 |
| that the $100,000 threshold shall not apply
to any site | 25 |
| contained in an enterprise zone as determined by the | 26 |
| Department of
Commerce and Community Affairs (now |
|
|
|
SB1243 Enrolled |
- 28 - |
LRB095 01632 CMK 23652 b |
|
| 1 |
| Department of Commerce and Economic Opportunity). The | 2 |
| total credit allowed shall not exceed
$40,000 per year with | 3 |
| a maximum total of $150,000 per site. For partners and
| 4 |
| shareholders of subchapter S corporations, there shall be | 5 |
| allowed a credit
under this subsection to be determined in | 6 |
| accordance with the determination of
income and | 7 |
| distributive share of income under Sections 702 and 704 and
| 8 |
| subchapter S of the Internal Revenue Code.
| 9 |
| (ii) A credit allowed under this subsection that is | 10 |
| unused in the year
the credit is earned may be carried | 11 |
| forward to each of the 5 taxable years
following the year | 12 |
| for which the credit is first earned until it is used.
The | 13 |
| term "unused credit" does not include any amounts of | 14 |
| unreimbursed eligible
remediation costs in excess of the | 15 |
| maximum credit per site authorized under
paragraph (i). | 16 |
| This credit shall be applied first to the earliest year
for | 17 |
| which there is a liability. If there is a credit under this | 18 |
| subsection
from more than one tax year that is available to | 19 |
| offset a liability, the
earliest credit arising under this | 20 |
| subsection shall be applied first. A
credit allowed under | 21 |
| this subsection may be sold to a buyer as part of a sale
of | 22 |
| all or part of the remediation site for which the credit | 23 |
| was granted. The
purchaser of a remediation site and the | 24 |
| tax credit shall succeed to the unused
credit and remaining | 25 |
| carry-forward period of the seller. To perfect the
| 26 |
| transfer, the assignor shall record the transfer in the |
|
|
|
SB1243 Enrolled |
- 29 - |
LRB095 01632 CMK 23652 b |
|
| 1 |
| chain of title for the
site and provide written notice to | 2 |
| the Director of the Illinois Department of
Revenue of the | 3 |
| assignor's intent to sell the remediation site and the | 4 |
| amount of
the tax credit to be transferred as a portion of | 5 |
| the sale. In no event may a
credit be transferred to any | 6 |
| taxpayer if the taxpayer or a related party would
not be | 7 |
| eligible under the provisions of subsection (i).
| 8 |
| (iii) For purposes of this Section, the term "site" | 9 |
| shall have the same
meaning as under Section 58.2 of the | 10 |
| Environmental Protection Act.
| 11 |
| (m) Education expense credit. Beginning with tax years | 12 |
| ending after
December 31, 1999, a taxpayer who
is the custodian | 13 |
| of one or more qualifying pupils shall be allowed a credit
| 14 |
| against the tax imposed by subsections (a) and (b) of this | 15 |
| Section for
qualified education expenses incurred on behalf of | 16 |
| the qualifying pupils.
The credit shall be equal to 25% of | 17 |
| qualified education expenses, but in no
event may the total | 18 |
| credit under this subsection claimed by a
family that is the
| 19 |
| custodian of qualifying pupils exceed $500. In no event shall a | 20 |
| credit under
this subsection reduce the taxpayer's liability | 21 |
| under this Act to less than
zero. This subsection is exempt | 22 |
| from the provisions of Section 250 of this
Act.
| 23 |
| For purposes of this subsection:
| 24 |
| "Qualifying pupils" means individuals who (i) are | 25 |
| residents of the State of
Illinois, (ii) are under the age of | 26 |
| 21 at the close of the school year for
which a credit is |
|
|
|
SB1243 Enrolled |
- 30 - |
LRB095 01632 CMK 23652 b |
|
| 1 |
| sought, and (iii) during the school year for which a credit
is | 2 |
| sought were full-time pupils enrolled in a kindergarten through | 3 |
| twelfth
grade education program at any school, as defined in | 4 |
| this subsection.
| 5 |
| "Qualified education expense" means the amount incurred
on | 6 |
| behalf of a qualifying pupil in excess of $250 for tuition, | 7 |
| book fees, and
lab fees at the school in which the pupil is | 8 |
| enrolled during the regular school
year.
| 9 |
| "School" means any public or nonpublic elementary or | 10 |
| secondary school in
Illinois that is in compliance with Title | 11 |
| VI of the Civil Rights Act of 1964
and attendance at which | 12 |
| satisfies the requirements of Section 26-1 of the
School Code, | 13 |
| except that nothing shall be construed to require a child to
| 14 |
| attend any particular public or nonpublic school to qualify for | 15 |
| the credit
under this Section.
| 16 |
| "Custodian" means, with respect to qualifying pupils, an | 17 |
| Illinois resident
who is a parent, the parents, a legal | 18 |
| guardian, or the legal guardians of the
qualifying pupils.
| 19 |
| (n) River Edge Redevelopment Zone site remediation tax | 20 |
| credit.
| 21 |
| (i) For tax years ending on or after December 31, 2006, | 22 |
| a taxpayer shall be allowed a credit against the tax | 23 |
| imposed by subsections (a) and (b) of this Section for | 24 |
| certain amounts paid for unreimbursed eligible remediation | 25 |
| costs, as specified in this subsection. For purposes of | 26 |
| this Section, "unreimbursed eligible remediation costs" |
|
|
|
SB1243 Enrolled |
- 31 - |
LRB095 01632 CMK 23652 b |
|
| 1 |
| means costs approved by the Illinois Environmental | 2 |
| Protection Agency ("Agency") under Section 58.14a
58.14 of | 3 |
| the Environmental Protection Act that were paid in | 4 |
| performing environmental remediation at a site within a | 5 |
| River Edge Redevelopment Zone for which a No Further | 6 |
| Remediation Letter was issued by the Agency and recorded | 7 |
| under Section 58.10 of the Environmental Protection Act. | 8 |
| The credit must be claimed for the taxable year in which | 9 |
| Agency approval of the eligible remediation costs is | 10 |
| granted. The credit is not available to any taxpayer if the | 11 |
| taxpayer or any related party caused or contributed to, in | 12 |
| any material respect, a release of regulated substances on, | 13 |
| in, or under the site that was identified and addressed by | 14 |
| the remedial action pursuant to the Site Remediation | 15 |
| Program of the Environmental Protection Act. | 16 |
| Determinations as to credit availability for purposes of | 17 |
| this Section shall be made consistent with rules adopted by | 18 |
| the Pollution Control Board pursuant to the Illinois | 19 |
| Administrative Procedure Act for the administration and | 20 |
| enforcement of Section 58.9 of the Environmental | 21 |
| Protection Act. For purposes of this Section, "taxpayer" | 22 |
| includes a person whose tax attributes the taxpayer has | 23 |
| succeeded to under Section 381 of the Internal Revenue Code | 24 |
| and "related party" includes the persons disallowed a | 25 |
| deduction for losses by paragraphs (b), (c), and (f)(1) of | 26 |
| Section 267 of the Internal Revenue Code by virtue of being |
|
|
|
SB1243 Enrolled |
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LRB095 01632 CMK 23652 b |
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| 1 |
| a related taxpayer, as well as any of its partners. The | 2 |
| credit allowed against the tax imposed by subsections (a) | 3 |
| and (b) shall be equal to 25% of the unreimbursed eligible | 4 |
| remediation costs in excess of $100,000 per site. | 5 |
| (ii) A credit allowed under this subsection that is | 6 |
| unused in the year the credit is earned may be carried | 7 |
| forward to each of the 5 taxable years following the year | 8 |
| for which the credit is first earned until it is used. This | 9 |
| credit shall be applied first to the earliest year for | 10 |
| which there is a liability. If there is a credit under this | 11 |
| subsection from more than one tax year that is available to | 12 |
| offset a liability, the earliest credit arising under this | 13 |
| subsection shall be applied first. A credit allowed under | 14 |
| this subsection may be sold to a buyer as part of a sale of | 15 |
| all or part of the remediation site for which the credit | 16 |
| was granted. The purchaser of a remediation site and the | 17 |
| tax credit shall succeed to the unused credit and remaining | 18 |
| carry-forward period of the seller. To perfect the | 19 |
| transfer, the assignor shall record the transfer in the | 20 |
| chain of title for the site and provide written notice to | 21 |
| the Director of the Illinois Department of Revenue of the | 22 |
| assignor's intent to sell the remediation site and the | 23 |
| amount of the tax credit to be transferred as a portion of | 24 |
| the sale. In no event may a credit be transferred to any | 25 |
| taxpayer if the taxpayer or a related party would not be | 26 |
| eligible under the provisions of subsection (i). |
|
|
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| (iii) For purposes of this Section, the term "site" | 2 |
| shall have the same meaning as under Section 58.2 of the | 3 |
| Environmental Protection Act. | 4 |
| (iv) This subsection is exempt from the provisions of | 5 |
| Section 250.
| 6 |
| (Source: P.A. 93-29, eff. 6-20-03; 93-840, eff. 7-30-04; | 7 |
| 93-871, eff. 8-6-04; 94-1021, eff. 7-12-06.)
| 8 |
| Section 10. The Environmental Protection Act is amended by | 9 |
| changing Section 25d-3 and 58.2 and 58.14 and by adding Section | 10 |
| 58.14a as follows: | 11 |
| (415 ILCS 5/25d-3) | 12 |
| Sec. 25d-3. Notices.
| 13 |
| (a) Beginning January 1, 2006, if the Agency determines | 14 |
| that: | 15 |
| (1) Soil contamination beyond the boundary of the site | 16 |
| where the release occurred poses a threat of exposure to | 17 |
| the public above the appropriate Tier 1 remediation | 18 |
| objectives, based on the current use of the off-site | 19 |
| property, adopted by the Board under Title XVII of this | 20 |
| Act, the Agency shall give notice of the threat to the | 21 |
| owner of the contaminated property; or | 22 |
| (2) Groundwater contamination poses a threat of | 23 |
| exposure to the public above the Class I groundwater | 24 |
| quality standards adopted by the Board under this Act and |
|
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| the Groundwater Protection Act, the Agency shall give | 2 |
| notice of the threat to the following: | 3 |
| (A) for any private, semi-private, or | 4 |
| non-community water system, the owners of the | 5 |
| properties served by the system; and | 6 |
| (B) for any community water system, the owners and | 7 |
| operators of the system. | 8 |
| The Agency's determination must be based on the credible, | 9 |
| scientific information available to it, and the Agency is not | 10 |
| required to perform additional investigations or studies | 11 |
| beyond those required by applicable federal or State laws. | 12 |
| (b) Beginning January 1, 2006, if any of the following | 13 |
| actions occur: (i) the Agency refers a matter for enforcement | 14 |
| under Section 43(a) of this Act; (ii) the Agency issues a seal | 15 |
| order under Section 34 (a) of this Act; or (iii) the Agency, the | 16 |
| United States Environmental Protection Agency (USEPA), or a | 17 |
| third party under Agency or USEPA oversight performs an | 18 |
| immediate removal under the federal Comprehensive | 19 |
| Environmental Response, Compensation, and Liability Act, as | 20 |
| amended, then, within 60 days after the action, the Agency must | 21 |
| give notice of the action to the owners of all property within | 22 |
| 2,500 feet of the subject contamination or any closer or | 23 |
| farther distance that the Agency deems appropriate under the | 24 |
| circumstances. Within 30 days after a request by the Agency, | 25 |
| the appropriate officials of the county in which the property | 26 |
| is located must provide to the Agency the names and addresses |
|
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| of all property owners to whom the Agency is required to give | 2 |
| notice under this subsection (b), these owners being the | 3 |
| persons or entities that appear from the authentic tax records | 4 |
| of the county.
| 5 |
| (c) The methods by which the Agency gives the notices | 6 |
| required under this Section shall be determined in consultation | 7 |
| with members of the public and appropriate members of the | 8 |
| regulated community and may include, but shall not be limited | 9 |
| to, personal notification, public meetings, signs, electronic | 10 |
| notification, and print media. For sites at which a responsible | 11 |
| party has implemented a community relations plan, the Agency | 12 |
| may allow the responsible party to provide Agency-approved | 13 |
| notices in lieu of the notices required to be given by the | 14 |
| Agency. Notices issued under this Section may contain the | 15 |
| following information: | 16 |
| (1) the name and address of the site or facility where | 17 |
| the release occurred or is suspected to have occurred;
| 18 |
| (2) the identification of the contaminant released or | 19 |
| suspected to have been released;
| 20 |
| (3) information as to whether the contaminant was | 21 |
| released or suspected to have been released into the air, | 22 |
| land, or water;
| 23 |
| (4) a brief description of the potential adverse health | 24 |
| effects posed by the contaminant;
| 25 |
| (5) a recommendation that water systems with wells | 26 |
| impacted or potentially impacted by the contaminant be |
|
|
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| 1 |
| appropriately tested; and
| 2 |
| (6) the name, business address, and phone number of | 3 |
| persons at the Agency from whom additional information | 4 |
| about the release or suspected release can be obtained.
| 5 |
| (d) Any person who is a responsible party with respect to | 6 |
| the release or substantial threat of release for which notice | 7 |
| is given under this Section is liable for all reasonable costs | 8 |
| incurred by the State in giving the notice. All moneys received | 9 |
| by the State under this subsection (d) for costs related to | 10 |
| releases and substantial threats of releases of hazardous | 11 |
| substances, pesticides, and petroleum other than releases and | 12 |
| substantial threats of releases of petroleum from underground | 13 |
| storage tanks subject to Title XVI of this Act must be | 14 |
| deposited in and used for purposes consistent with the | 15 |
| Hazardous Waste Fund. All moneys received by the State under | 16 |
| this subsection (d) for costs related to releases and | 17 |
| substantial threats of releases of petroleum from underground | 18 |
| storage tanks subject to Title XVI of this Act must be | 19 |
| deposited in and used for purposes consistent with the | 20 |
| Underground Storage Tank Fund.
| 21 |
| (Source: P.A. 94-314, eff. 7-25-05.)
| 22 |
| (415 ILCS 5/58.2)
| 23 |
| Sec. 58.2. Definitions. The following words and phrases | 24 |
| when used in this
Title shall have the meanings given to them | 25 |
| in this Section unless the context
clearly indicates otherwise:
|
|
|
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| 1 |
| "Agrichemical facility" means a site on which agricultural | 2 |
| pesticides are
stored or handled, or both, in preparation for | 3 |
| end use, or distributed. The
term does not include basic | 4 |
| manufacturing facility sites.
| 5 |
| "ASTM" means the American Society for Testing and | 6 |
| Materials.
| 7 |
| "Area background" means concentrations of regulated | 8 |
| substances that are
consistently present in the environment in | 9 |
| the vicinity of a site that are the
result of natural | 10 |
| conditions or human activities, and not the result solely of
| 11 |
| releases at the site.
| 12 |
| "Brownfields site" or "brownfields" means a parcel of real | 13 |
| property, or a
portion of the parcel, that has actual or | 14 |
| perceived contamination and an
active potential for | 15 |
| redevelopment.
| 16 |
| "Class I groundwater" means groundwater that meets the | 17 |
| Class I Potable
Resource groundwater criteria set forth in the | 18 |
| Board rules adopted under the
Illinois Groundwater Protection | 19 |
| Act.
| 20 |
| "Class III groundwater" means groundwater that meets the | 21 |
| Class III Special
Resource Groundwater criteria set forth in | 22 |
| the Board rules adopted under the
Illinois Groundwater | 23 |
| Protection Act.
| 24 |
| "Carcinogen" means a contaminant that is classified as a | 25 |
| Category A1 or A2
Carcinogen by the American Conference of | 26 |
| Governmental Industrial Hygienists; or
a Category 1 or 2A/2B |
|
|
|
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| Carcinogen by the World Health Organizations
International | 2 |
| Agency for Research on Cancer; or a "Human Carcinogen" or
| 3 |
| "Anticipated Human Carcinogen" by the United States Department | 4 |
| of Health and
Human Service National Toxicological Program; or | 5 |
| a Category A or B1/B2
Carcinogen by the United States | 6 |
| Environmental Protection Agency in Integrated
Risk Information | 7 |
| System or a Final Rule issued in a Federal Register notice by
| 8 |
| the USEPA as of the effective date of this amendatory Act of | 9 |
| 1995.
| 10 |
| "Licensed Professional Engineer" (LPE) means a person, | 11 |
| corporation, or
partnership licensed under the laws of this | 12 |
| State to practice professional
engineering.
| 13 |
| "Licensed Professional Geologist" means a person licensed | 14 |
| under the laws of
the State of Illinois to practice as a | 15 |
| professional geologist.
| 16 |
| "RELPEG" means a Licensed Professional Engineer or a | 17 |
| Licensed Professional
Geologist engaged in review and | 18 |
| evaluation under this Title.
| 19 |
| "Man-made pathway" means constructed routes that may allow | 20 |
| for the
transport of regulated substances including, but not | 21 |
| limited to, sewers,
utility lines, utility vaults, building | 22 |
| foundations, basements, crawl spaces,
drainage ditches, or | 23 |
| previously excavated and filled areas.
| 24 |
| "Municipality" means an incorporated city, village, or | 25 |
| town in this State.
"Municipality" does not mean a township, | 26 |
| town when that term is used as the
equivalent of a
township, |
|
|
|
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| 1 |
| incorporated town that has superseded a civil township, county,
| 2 |
| or school district, park district, sanitary district, or | 3 |
| similar governmental
district.
| 4 |
| "Natural pathway" means natural routes for the transport of | 5 |
| regulated
substances including, but not limited to, soil, | 6 |
| groundwater, sand seams and
lenses, and gravel seams and | 7 |
| lenses.
| 8 |
| "Person" means individual, trust, firm, joint stock | 9 |
| company, joint venture,
consortium, commercial entity, | 10 |
| corporation (including a government
corporation), partnership, | 11 |
| association, State, municipality, commission,
political | 12 |
| subdivision of a State, or any interstate body including the | 13 |
| United
States Government and each department, agency, and | 14 |
| instrumentality of the
United States.
| 15 |
| "Regulated substance" means any hazardous substance as | 16 |
| defined under Section
101(14) of the Comprehensive | 17 |
| Environmental Response, Compensation, and
Liability Act of | 18 |
| 1980 (P.L. 96-510) and petroleum products including crude oil
| 19 |
| or any fraction thereof, natural gas, natural gas liquids, | 20 |
| liquefied natural
gas, or synthetic gas usable for fuel (or | 21 |
| mixtures of natural gas and such
synthetic gas).
| 22 |
| "Remedial action" means activities associated with | 23 |
| compliance with the
provisions of Sections 58.6 and 58.7.
| 24 |
| "Remediation Applicant" (RA) means any person seeking to | 25 |
| perform or
performing investigative or remedial activities | 26 |
| under this Title, including the
owner or operator of the site |
|
|
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| 1 |
| or persons authorized by law or consent to act
on behalf of or | 2 |
| in lieu of the owner or operator of the site.
| 3 |
| "Remediation costs" means reasonable costs paid for | 4 |
| investigating
and remediating regulated substances of concern | 5 |
| consistent with the remedy
selected for a site. | 6 |
| For purposes
of Section 58.14, "remediation costs" shall | 7 |
| not include costs incurred prior to
January 1, 1998, costs | 8 |
| incurred after the issuance of a No Further
Remediation Letter | 9 |
| under Section 58.10 of this Act, or costs incurred more than
12 | 10 |
| months prior to acceptance into the Site Remediation Program. | 11 |
| For the purpose of Section 58.14a, "remediation costs" do | 12 |
| not include any costs incurred before January 1, 2007, any | 13 |
| costs incurred after the issuance of a No Further Remediation | 14 |
| Letter under Section 58.10, or any costs incurred more than 12 | 15 |
| months before acceptance into the Site Remediation Program.
| 16 |
| "Residential property" means any real property that is used | 17 |
| for habitation by
individuals and other property uses defined | 18 |
| by Board rules such as education,
health care, child care and | 19 |
| related uses.
| 20 |
| "River Edge Redevelopment Zone" has the meaning set forth | 21 |
| under the River Edge Redevelopment Zone Act.
| 22 |
| "Site" means any single location, place, tract of land or | 23 |
| parcel of property,
or portion thereof, including contiguous | 24 |
| property separated by a public
right-of-way.
| 25 |
| "Regulated substance of concern" means any contaminant | 26 |
| that is expected to be
present at the site based upon past and |
|
|
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| 1 |
| current land uses and associated
releases that are known to the | 2 |
| Remediation Applicant based upon reasonable
inquiry.
| 3 |
| (Source: P.A. 92-735, eff. 7-25-02.)
| 4 |
| (415 ILCS 5/58.14)
| 5 |
| Sec. 58.14. Environmental Remediation Tax Credit review.
| 6 |
| (a) Prior to applying for the Environmental Remediation Tax | 7 |
| Credit under
Section 201 of the Illinois Income Tax Act, | 8 |
| Remediation Applicants shall first
submit to the Agency an | 9 |
| application for review of remediation costs. The Agency shall | 10 |
| review the application jointly with the Department of Commerce | 11 |
| and Economic Opportunity. The
application and review process | 12 |
| shall be conducted in
accordance with the requirements of this | 13 |
| Section and the rules
adopted under
subsection (g). A | 14 |
| preliminary review of the estimated remediation costs for
| 15 |
| development and implementation of the Remedial Action Plan may | 16 |
| be obtained in
accordance with subsection (d).
| 17 |
| (b) No
application for review shall be submitted until a No | 18 |
| Further Remediation Letter
has been issued by the Agency and | 19 |
| recorded in the chain of title for the site
in accordance with | 20 |
| Section 58.10. The Agency shall review the application to
| 21 |
| determine whether the costs submitted are remediation costs, | 22 |
| and whether the
costs incurred are reasonable. The application | 23 |
| shall be on forms prescribed
and provided by the Agency. At a | 24 |
| minimum, the application shall include the
following:
| 25 |
| (1) information identifying the Remediation Applicant |
|
|
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| 1 |
| and the site for
which the tax credit is being sought and | 2 |
| the date of acceptance of
the site into the Site | 3 |
| Remediation Program;
| 4 |
| (2) a copy of the No Further Remediation Letter with | 5 |
| official verification
that the letter has been recorded in | 6 |
| the chain of title for the site and a
demonstration that | 7 |
| the site for which the application is submitted is the same
| 8 |
| site as the one for which the No Further Remediation Letter | 9 |
| is issued;
| 10 |
| (3) a demonstration that the release of the regulated | 11 |
| substances
of concern for which the No Further Remediation | 12 |
| Letter was
issued were not caused or contributed to in any | 13 |
| material respect by
the Remediation Applicant. After the | 14 |
| Pollution Control Board rules are adopted
pursuant to the | 15 |
| Illinois
Administrative Procedure Act for the | 16 |
| administration and enforcement of Section
58.9 of the | 17 |
| Environmental Protection Act, determinations as to credit
| 18 |
| availability shall be made consistent with those rules;
| 19 |
| (4) an itemization and documentation, including | 20 |
| receipts, of the
remediation costs incurred;
| 21 |
| (5) a demonstration that the costs incurred are | 22 |
| remediation costs as
defined in this Act and its rules;
| 23 |
| (6) a demonstration that the costs submitted for review | 24 |
| were incurred
by the Remediation Applicant who received the | 25 |
| No Further Remediation Letter;
| 26 |
| (7) an application fee in the amount set forth in |
|
|
|
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| 1 |
| subsection (e) for each
site for which review of | 2 |
| remediation costs is requested and, if applicable,
| 3 |
| certification from the Department of Commerce and Economic | 4 |
| Opportunity that the
site is located in an enterprise zone;
| 5 |
| (8) any other information deemed appropriate by the | 6 |
| Agency.
| 7 |
| (c) Within 60 days after receipt by the Agency of an | 8 |
| application meeting
the requirements of subsection (b), the | 9 |
| Agency shall issue a letter to the
applicant approving, | 10 |
| disapproving, or modifying the remediation costs submitted
in | 11 |
| the
application. If the remediation costs are approved as | 12 |
| submitted, the Agency's
letter shall state the amount of the | 13 |
| remediation costs to be applied toward the
Environmental | 14 |
| Remediation Tax Credit. If an application is disapproved or
| 15 |
| approved with modification of remediation costs, the Agency's | 16 |
| letter shall set
forth the reasons for the disapproval or | 17 |
| modification and state the amount of
the remediation costs, if | 18 |
| any, to be applied toward the Environmental
Remediation Tax | 19 |
| Credit.
| 20 |
| If a preliminary review of a budget plan has been obtained | 21 |
| under
subsection (d), the Remediation Applicant may submit, | 22 |
| with the
application and supporting documentation under | 23 |
| subsection (b), a copy of the
Agency's final determination | 24 |
| accompanied by a certification that the actual
remediation | 25 |
| costs incurred for the development and implementation of the
| 26 |
| Remedial Action Plan are equal to or less than the costs |
|
|
|
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| 1 |
| approved in the
Agency's final determination on the budget | 2 |
| plan. The certification shall be
signed by the Remediation | 3 |
| Applicant and notarized. Based on that submission,
the Agency | 4 |
| shall not be required to conduct further review of the costs
| 5 |
| incurred for development and implementation of the Remedial | 6 |
| Action Plan and may
approve costs as submitted.
| 7 |
| Within 35 days after receipt of an Agency letter | 8 |
| disapproving or
modifying an application for approval of | 9 |
| remediation costs, the Remediation
Applicant may appeal the | 10 |
| Agency's decision to the Board in the manner provided
for the | 11 |
| review of permits in Section 40 of this Act.
| 12 |
| (d) (1) A Remediation Applicant may obtain a preliminary | 13 |
| review of
estimated
remediation costs for the development | 14 |
| and implementation of the Remedial Action
Plan by | 15 |
| submitting a budget plan along with the Remedial Action | 16 |
| Plan. The
budget plan shall be set forth on forms | 17 |
| prescribed and provided by the Agency
and shall include but | 18 |
| shall not be limited to line item estimates of the
costs | 19 |
| associated with each line item (such as personnel, | 20 |
| equipment, and
materials)
that the Remediation Applicant | 21 |
| anticipates will be incurred for the development
and | 22 |
| implementation of the Remedial Action Plan. The Agency | 23 |
| shall review the
budget plan along with
the Remedial Action | 24 |
| Plan to determine whether the estimated costs submitted are
| 25 |
| remediation costs and whether the costs estimated for the | 26 |
| activities are
reasonable.
|
|
|
|
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| 1 |
| (2) If the Remedial Action Plan is amended by the | 2 |
| Remediation Applicant or
as a result of Agency action, the | 3 |
| corresponding budget plan shall be revised
accordingly and | 4 |
| resubmitted for Agency review.
| 5 |
| (3) The budget plan shall be accompanied by the | 6 |
| applicable fee as set
forth in subsection (e).
| 7 |
| (4) Submittal of a budget plan shall be deemed an | 8 |
| automatic 60-day waiver
of the Remedial Action Plan review | 9 |
| deadlines set forth in this Section and its
rules.
| 10 |
| (5) Within the applicable period of review, the Agency | 11 |
| shall issue a
letter to the Remediation Applicant | 12 |
| approving, disapproving, or modifying the
estimated | 13 |
| remediation costs submitted in the budget plan. If a budget | 14 |
| plan is
disapproved or approved with modification of | 15 |
| estimated remediation costs, the
Agency's letter shall set | 16 |
| forth the reasons for the disapproval or
modification.
| 17 |
| (6) Within 35 days after receipt of an Agency letter | 18 |
| disapproving or
modifying a budget plan, the Remediation | 19 |
| Applicant may appeal the Agency's
decision to the Board in | 20 |
| the manner provided for the review of permits in
Section 40 | 21 |
| of this Act.
| 22 |
| (e) The fees for reviews conducted under this Section are | 23 |
| in addition to any
other fees or payments for Agency services | 24 |
| rendered pursuant to the Site
Remediation Program
and shall be | 25 |
| as follows:
| 26 |
| (1) The fee for an application for review of |
|
|
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| 1 |
| remediation costs shall be
$1,000 for each site reviewed.
| 2 |
| (2) The fee for the review of the budget plan submitted | 3 |
| under subsection
(d) shall be $500 for each site reviewed.
| 4 |
| (3) In the case of a Remediation Applicant submitting | 5 |
| for review total
remediation costs of $100,000 or less for | 6 |
| a site located within an enterprise zone
a River Edge | 7 |
| Redevelopment Zone (as set forth in paragraph (i) of | 8 |
| subsection (l)
(n) of Section 201
of the Illinois Income | 9 |
| Tax Act), the
fee for an application for review of | 10 |
| remediation costs shall be $250 for each
site reviewed.
For | 11 |
| those sites, there shall be no fee for review of a budget | 12 |
| plan under
subsection (d).
| 13 |
| The application fee shall be made payable to the State of | 14 |
| Illinois, for
deposit into the Hazardous Waste Fund.
| 15 |
| Pursuant to appropriation, the Agency shall use the fees | 16 |
| collected under this
subsection for development and
| 17 |
| administration of the review program.
| 18 |
| (f) The Agency shall have the authority to enter into any | 19 |
| contracts or
agreements that may be necessary to carry out its | 20 |
| duties and responsibilities
under this Section.
| 21 |
| (g) Within 6 months after July 21, 1997, the Agency shall | 22 |
| propose rules prescribing procedures
and standards for its | 23 |
| administration of this Section. Within 6 months after
receipt | 24 |
| of the Agency's proposed rules, the Board shall adopt on second | 25 |
| notice,
pursuant to Sections 27 and 28 of this Act and the | 26 |
| Illinois Administrative
Procedure Act, rules that are |
|
|
|
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| 1 |
| consistent with this Section. Prior to the
effective date of | 2 |
| rules adopted under this Section, the Agency may conduct
| 3 |
| reviews of applications under this Section and the Agency is | 4 |
| further authorized
to distribute guidance documents on costs | 5 |
| that are eligible or ineligible as
remediation costs.
| 6 |
| (Source: P.A. 94-793, eff. 5-19-06; 94-1021, eff. 7-12-06.)
| 7 |
| (415 ILCS 5/58.14a new) | 8 |
| Sec. 58.14a. River Edge Redevelopment Zone Site | 9 |
| Remediation Tax Credit Review. | 10 |
| (a) Prior to applying for the River Edge Redevelopment Zone | 11 |
| site remediation tax credit under subsection (n) of Section 201 | 12 |
| of the Illinois Income Tax Act, a Remediation Applicant must | 13 |
| first submit to the Agency an application for review of | 14 |
| remediation costs. The Agency shall review the application in | 15 |
| consultation with the Department of Commerce and Economic | 16 |
| Opportunity. The application and review process must be | 17 |
| conducted in accordance with the requirements of this Section | 18 |
| and the rules adopted under subsection (g). A preliminary | 19 |
| review of the estimated remediation costs for development and | 20 |
| implementation of the Remedial Action Plan may be obtained in | 21 |
| accordance with subsection (d). | 22 |
| (b) No application for review may be submitted until a No | 23 |
| Further Remediation Letter has been issued by the Agency and | 24 |
| recorded in the chain of title for the site in accordance with | 25 |
| Section 58.10. The Agency shall review the application to |
|
|
|
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| 1 |
| determine whether the costs submitted are remediation costs and | 2 |
| whether the costs incurred are reasonable. The application must | 3 |
| be on forms prescribed and provided by the Agency. At a | 4 |
| minimum, the application must include the following: | 5 |
| (1) information identifying the Remediation Applicant, | 6 |
| the site for which the tax credit is being sought, and the | 7 |
| date of acceptance of the site into the Site Remediation | 8 |
| Program; | 9 |
| (2) a copy of the No Further Remediation Letter with | 10 |
| official verification that the letter has been recorded in | 11 |
| the chain of title for the site and a demonstration that | 12 |
| the site for which the application is submitted is the same | 13 |
| site as the one for which the No Further Remediation Letter | 14 |
| is issued; | 15 |
| (3) a demonstration that the release of the regulated | 16 |
| substances of concern for which the No Further Remediation | 17 |
| Letter was issued were not caused or contributed to in any | 18 |
| material respect by the Remediation Applicant. | 19 |
| Determinations as to credit availability shall be made | 20 |
| consistent with the Pollution Control Board rules for the | 21 |
| administration and enforcement of Section 58.9 of this Act; | 22 |
| (4) an itemization and documentation, including | 23 |
| receipts, of the remediation costs incurred; | 24 |
| (5) a demonstration that the costs incurred are | 25 |
| remediation costs as defined in this Act and its rules; | 26 |
| (6) a demonstration that the costs submitted for review |
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| were incurred by the Remediation Applicant who received the | 2 |
| No Further Remediation Letter; | 3 |
| (7) an application fee in the amount set forth in | 4 |
| subsection (e) for each site for which review of | 5 |
| remediation costs is requested and, if applicable, | 6 |
| certification from the Department of Commerce and Economic | 7 |
| Opportunity that the site is located in a River Edge | 8 |
| Redevelopment Zone; and | 9 |
| (8) any other information deemed appropriate by the | 10 |
| Agency. | 11 |
| (c) Within 60 days after receipt by the Agency of an | 12 |
| application meeting the requirements of subsection (b), the | 13 |
| Agency shall issue a letter to the applicant approving, | 14 |
| disapproving, or modifying the remediation costs submitted in | 15 |
| the application. If the remediation costs are approved as | 16 |
| submitted, then the Agency's letter must state the amount of | 17 |
| the remediation costs to be applied toward the River Edge | 18 |
| Redevelopment Zone site remediation tax credit. If an | 19 |
| application is disapproved or approved with modification of | 20 |
| remediation costs, then the Agency's letter must set forth the | 21 |
| reasons for the disapproval or modification and must state the | 22 |
| amount of the remediation costs, if any, to be applied toward | 23 |
| the River Edge Redevelopment Zone site remediation tax credit. | 24 |
| If a preliminary review of a budget plan has been obtained | 25 |
| under subsection (d), then the Remediation Applicant may | 26 |
| submit, with the application and supporting documentation |
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| under subsection (b), a copy of the Agency's final | 2 |
| determination accompanied by a certification that the actual | 3 |
| remediation costs incurred for the development and | 4 |
| implementation of the Remedial Action Plan are equal to or less | 5 |
| than the costs approved in the Agency's final determination on | 6 |
| the budget plan. The certification must be signed by the | 7 |
| Remediation Applicant and notarized. Based on that submission, | 8 |
| the Agency is not required to conduct further review of the | 9 |
| costs incurred for development and implementation of the | 10 |
| Remedial Action Plan, and it may approve the costs as | 11 |
| submitted.
Within 35 days after the receipt of an Agency letter | 12 |
| disapproving or modifying an application for approval of | 13 |
| remediation costs, the Remediation Applicant may appeal the | 14 |
| Agency's decision to the Board in the manner provided for the | 15 |
| review of permits under Section 40 of this Act. | 16 |
| (d) A Remediation Applicant may obtain a preliminary review | 17 |
| of estimated remediation costs for the development and | 18 |
| implementation of the Remedial Action Plan by submitting a | 19 |
| budget plan along with the Remedial Action Plan. The budget | 20 |
| plan must be set forth on forms prescribed and provided by the | 21 |
| Agency and must include, without limitation, line-item | 22 |
| estimates of the costs associated with each line item (such as | 23 |
| personnel, equipment, and materials) that the Remediation | 24 |
| Applicant anticipates will be incurred for the development and | 25 |
| implementation of the Remedial Action Plan. The Agency shall | 26 |
| review the budget plan along with the Remedial Action Plan to |
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| determine whether the estimated costs submitted are | 2 |
| remediation costs and whether the costs estimated for the | 3 |
| activities are reasonable. | 4 |
| If the Remedial Action Plan is amended by the Remediation | 5 |
| Applicant or as a result of Agency action, then the | 6 |
| corresponding budget plan must be revised accordingly and | 7 |
| resubmitted for Agency review. | 8 |
| The budget plan must be accompanied by the applicable fee | 9 |
| as set forth in subsection (e). | 10 |
| The submittal of a budget plan is deemed to be an automatic | 11 |
| 60-day waiver of the Remedial Action Plan review deadlines set | 12 |
| forth in this Section and its rules. | 13 |
| Within the applicable period of review, the Agency shall | 14 |
| issue a letter to the Remediation Applicant approving, | 15 |
| disapproving, or modifying the estimated remediation costs | 16 |
| submitted in the budget plan. If a budget plan is disapproved | 17 |
| or approved with modification of estimated remediation costs, | 18 |
| then the Agency's letter must set forth the reasons for the | 19 |
| disapproval or modification. | 20 |
| Within 35 days after receipt of an Agency letter | 21 |
| disapproving or modifying a budget plan, the Remediation | 22 |
| Applicant may appeal the Agency's decision to the Board in the | 23 |
| manner provided for the review of permits under Section 40 of | 24 |
| this Act. | 25 |
| (e) Any fee for a review conducted under this Section is in | 26 |
| addition to any other fees or payments for Agency services |
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| rendered under the Site Remediation Program. The fees under | 2 |
| this Section are as follows: | 3 |
| (1) the fee for an application for review of | 4 |
| remediation costs is $250 for each site reviewed; and | 5 |
| (2) there is no fee for the review of the budget plan | 6 |
| submitted under subsection (d). | 7 |
| The application fee must be made payable to the State of | 8 |
| Illinois, for deposit into the Hazardous Waste Fund.
Pursuant | 9 |
| to appropriation, the Agency shall use the fees collected under | 10 |
| this subsection for development and administration of the | 11 |
| review program. | 12 |
| (f) The Agency has the authority to enter into any | 13 |
| contracts or agreements that may be necessary to carry out its | 14 |
| duties and responsibilities under this Section. | 15 |
| (g) The Agency shall adopt rules prescribing procedures and | 16 |
| standards for its administration of this Section. Prior to the
| 17 |
| effective date of rules adopted under this Section, the Agency | 18 |
| may conduct reviews of applications under this Section. The | 19 |
| Agency may publish informal guidelines concerning this Section | 20 |
| to provide guidance.
| 21 |
| Section 99. Effective date. This Act takes effect upon | 22 |
| becoming law.
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