093_SB1535sam001
LRB093 10861 SJM 14420 a
1 AMENDMENT TO SENATE BILL 1535
2 AMENDMENT NO. . Amend Senate Bill 1535 by replacing
3 the title with the following:
4 "AN ACT concerning rural technology."; and
5 by replacing everything after the enacting clause with the
6 following:
7 "Section 1. Short title. This Act may be cited as the
8 Rural Technology Development Zone Act.
9 Section 5. Zones established. Subject to appropriation,
10 the Department of Commerce and Community Affairs (DCCA) may
11 implement a pilot program to designate 3 rural areas in the
12 State as rural technology development zones. The pilot
13 programs shall be in areas that are underserved with respect
14 to technology development. DCCA shall determine which 3
15 underserved areas shall be designated as technology
16 development zones in consultation with the Illinois Commerce
17 Commission. In designating the zones, DCCA shall specify by
18 rule, based upon the needs and assessment inventory, the
19 specific technology infrastructure needs of each rural
20 technology development zone and the types of investments that
21 will meet those needs. For each rural technology development
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1 zone designated under this Section, DCCA shall further
2 specify all of the following:
3 (1) The boundaries of the rural technology
4 development zone.
5 (2) The potential for increasing Internet access
6 within the rural technology development zone.
7 (3) The specific technology infrastructure required
8 to provide adequate Internet access within the zone and
9 any unique needs or characteristics of the zone.
10 (4) The specific investments in technology
11 infrastructure that will qualify for income tax credits
12 in the zone under Section 213 of the Illinois Income Tax
13 Act.
14 (5) Any other information DCCA deems pertinent.
15 Section 10. Report to the General Assembly. DCCA shall
16 submit a report to the General Assembly on or before
17 September 1, 2005 outlining the progress, if any, in
18 improving Internet access within rural technology development
19 zones. The report shall include, but is not limited to, the
20 following information:
21 (1) An analysis of the changes made in technology
22 infrastructure in the rural technology development zones
23 to improve Internet access and the effects of those
24 changes.
25 (2) Any available statistics concerning the amount
26 of investments made in rural technology development
27 zones.
28 Section 15. Rules. DCCA shall adopt any rules necessary
29 for the administration of this Act.
30 Section 90. The Illinois Income Tax Act is amended by
31 adding Section 213 as follows:
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1 (35 ILCS 5/213 new)
2 Sec. 213. Rural technology development zone tax credit.
3 (a) For taxable years beginning on or after January 1,
4 2004 and before January 1, 2010, each taxpayer is entitled to
5 a credit against the tax imposed by subsections (a) and (b)
6 of Section 201 in an amount equal to 10% of the amount of the
7 total investment made during the taxable year by the taxpayer
8 in technology infrastructure required to provide Internet
9 access in rural technology development zones. This credit may
10 be claimed only for specific capital investments in
11 technology infrastructure that will qualify for income tax
12 credits in the development zone as specified by the
13 Department of Commerce and Community Affairs under item (4)
14 of Section 5 of the Rural Technology Development Zone Act.
15 The credit claimed by a taxpayer under this Section shall not
16 exceed $100,000 in any one taxable year.
17 (b) If the credit allowed under this Section exceeds the
18 income taxes otherwise due on the claimant's income, the
19 amount of the credit not used as an offset against income
20 taxes may be carried forward as a tax credit against
21 subsequent years' income tax liability for a period not to
22 exceed 10 years and shall be applied first to the earliest
23 years possible.
24 (c) The credit awarded under this Section is limited as
25 follows:
26 (1) The credit claimed shall not exceed $100,000
27 per year. Qualified investments in excess of $1,000,000
28 in any tax year cannot earn a credit and cannot be
29 carried forward.
30 (2) A partnership, S corporation, or other similar
31 pass-through entity or a disregarded entity may pass
32 through up to $100,000 in total credit to its partners,
33 shareholders, or members. Each partner, shareholder, or
34 member's portion of the credit is determined according to
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1 the ratio in which profits or losses of the entity are
2 allocated.
3 Section 99. Effective date. This Act takes effect upon
4 becoming law.".