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SB0256 Engrossed |
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LRB096 05667 RCE 15733 b |
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| Illinois for
at least one year after investment by the |
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| venture capital fund, the taxpayer
must forfeit
the credit. |
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| (3) The amount of the credit allowed is based on the |
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| following investment
factors: |
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| (A) The company invested in is in a low-income area |
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| in Illinois, based
on factors such as poverty, |
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| unemployment, and whether it is in an empowerment
zone. |
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| (B) The company invested in is in an Illinois |
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| county with a
population of less than 500,000. |
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| (C) The company invested in is an Illinois company |
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| that is minority or
women owned. |
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| (D) The investment is a seed-level investment in an |
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| Illinois company. |
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| (4) The amount of the credit is determined by whether |
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| the investment meets
one or more of the factors in |
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| subdivision (a)(3). If the investment meets only
one of the |
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| factors in subdivision (a)(3), the credit is equal to 10% |
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| of the
amount invested by the taxpayer in the taxable year. |
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| If the investment meets
more than one of the factors in |
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| subdivision (a)(3), the credit is equal to 20%
of the |
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| amount invested by the taxpayer in the taxable year.
The |
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| taxpayer is not eligible to receive the tax credit under |
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| this Section until
the qualified venture capital fund makes |
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| an investment in a qualified Illinois
business, not when |
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| the taxpayer makes the initial commitment to invest in the
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| venture capital fund. |
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SB0256 Engrossed |
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LRB096 05667 RCE 15733 b |
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| (b) The tax credit may not reduce the taxpayer's liability |
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| to less than
zero. If the amount of the credit exceeds the tax |
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| liability for the year, the
excess may be carried forward and |
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| applied to the tax liability of the 5 taxable
years following |
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| the excess credit year. The credit shall be applied to the
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| earliest year for which there is a tax liability. If there are |
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| credits from
more than one tax year that are available to |
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| offset a liability, the earlier
credit shall be applied first. |
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| (c) The Department must adopt rules concerning (i) the |
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| certification and
decertification of taxpayers for eligibility |
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| for the credit under this Section
and (ii) forfeiture of |
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| credits.
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| Section 99. Effective date. This Act takes effect upon |
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| becoming law.
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