Sec. 40-10. Credit award.
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/il/chapter-35/act-18/40-10A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Sec. 40-10. Credit award. For reporting periods that begin on or after January 1, 2025 and before January 1, 2030, employers, including employers that maintain tax status under Section 501(c)(3) of the federal Internal Revenue Code, that are local news organizations and that are required to deduct and withhold taxes as provided in Article 7 of the Illinois Income Tax Act are eligible to receive a credit against payments due under Section 704A of the Illinois Income Tax Act. The credit shall be $15,000 per qualified journalist employed and paid by the employer during the 12-month period immediately preceding the date on which the employer applies for a credit under this Section.
An additional credit of $10,000 shall be awarded against payments due under Section 704A of the Illinois Income Tax Act for each qualified journalist who fills a new journalism position for the employer during the 12-month period immediately preceding the date on which the employer applies for a credit under this Section. No more than $150,000 in credits under this Act may be awarded to any one local news organization in a single calendar year. If the local news organization is not independently owned or lists a private fund among its beneficial ownership, no more than $250,000 in credits may be awarded in a single calendar year to all local news organizations that share the same ownership interest.
The total amount of credits that may be awarded under this Act in any given calendar year may not exceed $5,000,000, of which no more than $4,000,000 may be awarded for the $15,000 credit that applies to qualified journalists, and no more than $1,000,000 may be awarded for the additional $10,000 credit that is awarded for new journalism positions. Credits under this Section shall be awarded by the Department on a first-come, first-served basis.
The Department shall issue a credit certificate to each eligible local news organization. Upon issuance of the credit certificate, the Department shall inform the Department of Revenue, in the form and manner as agreed between the agencies, of the date the credit certificate was issued, the name and tax identification number of the recipient, the amount of the credit, and such other information as the Department of Revenue may require. The credit certificate shall be attached to the taxpayer's return.
The credit shall be applied to the first reporting period after the credit certificate is issued and that begins on or after January 1, 2025. If the amount of credit exceeds the liability for the reporting period, the excess credit shall be refunded to the taxpayer.