Bill > SB2024

This bill amends the Illinois Income Tax Act to create a tax credit for manufacturers of renewable diesel in Illinois who produce the fuel for use by rail carriers. Specifically, the bill provides a $1 per gallon tax credit for renewable diesel manufactured in the state for rail carrier use, beginning in the 2027 tax year. To qualify, taxpayers must maintain detailed records documenting the number of gallons produced and verify that the diesel meets the definition of renewable diesel (a hydrocarbon fuel derived from biomass that complies with specific ASTM standards). If the credit amount exceeds the taxpayer's current tax liability, they can carry forward the excess credit for up to 10 subsequent tax years. The bill defines rail carriers as Class I, II, or III railroads as classified under federal transportation regulations. Taxpayers must submit all required documentation to the Illinois Department of Revenue in the specified form and manner, and the credit cannot reduce tax liability below zero. This legislation aims to incentivize renewable diesel production in Illinois and support the state's rail transportation sector.

Budget and Finance

https://www.ilga.gov/legislation/BillStatus.asp?DocNum=2024&GAID=18&DocTypeID=SB&SessionID=114&GA=104