SB0340 EnrolledLRB102 04218 HLH 14235 b


  
1    AN ACT concerning revenue.
  
 
2    Be it enacted by the People of the State of Illinois,
 
3represented in the General Assembly:
  
 
 
4    Section 5. The Illinois Income Tax Act is amended  by 
5changing Section 218 as follows:
 
6    (35 ILCS 5/218)
7    Sec. 218. Credit for student-assistance contributions.
8    (a) For taxable years ending on or after December 31, 2009 
9and on or before December 31, 2024 December 30, 2021, each 
10taxpayer who, during the taxable year, makes a contribution 
11(i) to a specified individual College Savings Pool Account 
12under Section 16.5 of the State Treasurer Act or (ii) to the 
13Illinois Prepaid Tuition Trust Fund in an amount matching  a 
14contribution made in the same taxable year by an employee of 
15the taxpayer to that Account or Fund is entitled to a credit 
16against the tax imposed under subsections (a) and (b) of 
17Section 201 in an amount equal to 25% of that matching  
18contribution, but not to exceed $500  per  contributing employee 
19per taxable year.
20    (b) For partners, shareholders of Subchapter S 
21corporations, and owners of limited liability companies, if 
22the liability company is treated as a partnership for purposes 
23of federal and State income taxation, there is allowed a 
 
 
SB0340 Enrolled- 2 -LRB102 04218 HLH 14235 b

1credit under this Section to be determined in accordance with 
2the determination of income and distributive share of income 
3under Sections 702 and 704 and Subchapter S of the Internal 
4Revenue Code.
5    (c) The credit may not be carried back.   If the amount of 
6the credit exceeds the tax liability for the year, the excess 
7may be carried forward and applied to the tax liability of the 
85 taxable years following the excess credit year. The tax 
9credit shall be applied to the earliest year for which there is 
10a tax liability. If there are credits for more than one year 
11that are available to offset a liability, the earlier credit 
12shall be applied first.

13    (d) A taxpayer claiming the credit under this Section must 
14maintain and record any information that the Illinois Student 
15Assistance Commission, the Office of the State Treasurer, or 
16the Department may require regarding the matching contribution 
17for which the credit is claimed.


18(Source: P.A. 101-645, eff. 6-26-20.)
 
 
19    Section 99. Effective date. This Act takes effect upon 
20becoming law.