Illinois General Assembly - Full Text of Public Act 099-0914
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Public Act 099-0914




Public Act 099-0914
SB1488 EnrolledLRB099 08763 HLH 28931 b

    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
changing Section 221 as follows:
    (35 ILCS 5/221)
    Sec. 221. Rehabilitation costs; qualified historic
properties; River Edge Redevelopment Zone.
    (a) For taxable years beginning on or after January 1, 2012
and ending prior to January 1, 2018 January 1, 2017, there
shall be allowed a tax credit against the tax imposed by
subsections (a) and (b) of Section 201 in an amount equal to
25% of qualified expenditures incurred by a qualified taxpayer
during the taxable year in the restoration and preservation of
a qualified historic structure located in a River Edge
Redevelopment Zone pursuant to a qualified rehabilitation
plan, provided that the total amount of such expenditures (i)
must equal $5,000 or more and (ii) must exceed 50% of the
purchase price of the property.
    (b) To obtain a tax credit pursuant to this Section, the
taxpayer must apply with the Department of Commerce and
Economic Opportunity. The Department of Commerce and Economic
Opportunity, in consultation with the Historic Preservation
Agency, shall determine the amount of eligible rehabilitation
costs and expenses. The Historic Preservation Agency shall
determine whether the rehabilitation is consistent with the
standards of the Secretary of the United States Department of
the Interior for rehabilitation. Upon completion and review of
the project, the Department of Commerce and Economic
Opportunity shall issue a certificate in the amount of the
eligible credits. At the time the certificate is issued, an
issuance fee up to the maximum amount of 2% of the amount of
the credits issued by the certificate may be collected from the
applicant to administer the provisions of this Section. If
collected, this issuance fee shall be deposited into the
Historic Property Administrative Fund, a special fund created
in the State treasury. Subject to appropriation, moneys in the
Historic Property Administrative Fund shall be evenly divided
between the Department of Commerce and Economic Opportunity and
the Historic Preservation Agency to reimburse the Department of
Commerce and Economic Opportunity and the Historic
Preservation Agency for the costs associated with
administering this Section. The taxpayer must attach the
certificate to the tax return on which the credits are to be
claimed. The Department of Commerce and Economic Opportunity
may adopt rules to implement this Section.
    (c) The tax credit under this Section may not reduce the
taxpayer's liability to less than zero.
    (d) As used in this Section, the following terms have the
following meanings.
    "Qualified expenditure" means all the costs and expenses
defined as qualified rehabilitation expenditures under Section
47 of the federal Internal Revenue Code that were incurred in
connection with a qualified historic structure.
    "Qualified historic structure" means a certified historic
structure as defined under Section 47 (c)(3) of the federal
Internal Revenue Code.
    "Qualified rehabilitation plan" means a project that is
approved by the Historic Preservation Agency as being
consistent with the standards in effect on the effective date
of this amendatory Act of the 97th General Assembly for
rehabilitation as adopted by the federal Secretary of the
    "Qualified taxpayer" means the owner of the qualified
historic structure or any other person who qualifies for the
federal rehabilitation credit allowed by Section 47 of the
federal Internal Revenue Code with respect to that qualified
historic structure. Partners, shareholders of subchapter S
corporations, and owners of limited liability companies (if the
limited liability company is treated as a partnership for
purposes of federal and State income taxation) are entitled to
a credit under this Section to be determined in accordance with
the determination of income and distributive share of income
under Sections 702 and 703 and subchapter S of the Internal
Revenue Code, provided that credits granted to a partnership, a
limited liability company taxed as a partnership, or other
multiple owners of property shall be passed through to the
partners, members, or owners respectively on a pro rata basis
or pursuant to an executed agreement among the partners,
members, or owners documenting any alternate distribution
(Source: P.A. 97-203, eff. 7-28-11.)
    Section 99. Effective date. This Act takes effect upon
becoming law.

Effective Date: 12/20/2016