91st General Assembly
Summary of HB4738
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House Sponsors:
   MCCARTHY-CROTTY-BROSNAHAN-SAVIANO-SCULLY, MCGUIRE, HOFFMAN, 
   BUGIELSKI, FLOWERS, FRANKS, LANG, LYONS,JOSEPH, NOVAK, 
   O'BRIEN, ZICKUS, BOLAND, MEYER, JONES,JOHN, 
   ACEVEDO, LOPEZ AND MCKEON.
Senate Sponsors:
O'MALLEY

Short description: 
PROP TAX-RESTRUCTURED REBATES                                              

Synopsis of Bill as introduced:
        Amends the Illinois Income Tax Act.  Provides that an  individual      
   taxpayer  who  paid  residential  real  property  taxes in 1999 on the      
   taxpayer's principal residence is entitled to a restructured rebate in      
   an amount equal to 5% of those taxes originally due and paid  in  1999      
   or $300, whichever is less, minus the amount of any rebate paid to the      
   taxpayer  as  part  of  the  original  homeowner's  tax relief rebate.      
   Requires the Department of Revenue to provide  application  forms  and      
   make  all  rebate  payments  by May 1, 2001 out of the Homeowners' Tax      
   Relief Fund.  Effective immediately.                                        
          STATE DEBT NOTE, H-AM 1 (Economic and Fiscal Commission)             
          HB4738, as amended, would not affect the bonding authorization       
          of the State, and, therefore, has no direct impact on the level      
          of State indebtedness.                                               
        HOUSE AMENDMENT NO. 1.                                                 
        Provides that before April 1, 2001, the Comptroller  shall  order      
   transferred and the Treasurer shall transfer an additional $24,000,000      
   from  the  Tobacco  Settlement  Recovery  Fund  to the Homeowners' Tax      
   Relief Fund.  Subject to  appropriation,  the  Department  of  Revenue      
   shall make the restructured homeowners' tax relief rebate payments out      
   of  the  Homeowners' Tax Relief Fund. Provides that the rebate applies      
   to taxes paid on a  taxpayer's  "principal  Illinois  residence"  (now      
   "principal residence").                                                     
          FISCAL NOTE, H-AM 1 (Department of Revenue)                          
          The Department cannot identify the number of Illinois property       
          taxpayers that do not file an Illinois income tax return.            
          Since there are too many reasons why an Illinois property            
          taxpayer would not file a State income tax return, and an            
          aggregate number of non-filers are not identifiable, the             
          Department cannot determine the anticipated number of                
          additional rebates to be paid, or the average rebate claimed.        
          Despite the fact that $24 million is appropriated for this           
          restructured rebate program, the potential exists for taxpayers      
          to file more rebate claims than the Department is given              
          expenditure authority for in this bill.                              
          STATE MANDATES NOTE, H-AM 1                                          
          (Department of Commerce and Community Affairs)                       
          This legislation does not create a State mandate.                    
 Amendments to Bill: AMENDMENTS ADOPTED: HOUSE -   1     SENATE -   0


   END OF INQUIRY 
                                                                               
                                                                               



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