IL HB5855

Establishes a tax credit for taxpayers who install geothermal energy devices on property they own in Illinois during taxable years ending December 31, 2012 through December 30, 2017.

Credit amount equals the lesser of $5,000 or 50% of the actual cost of acquiring and installing the geothermal energy device.

Defines geothermal energy device as a system designed to provide heating, cooling, electrical or mechanical power by extracting or converting energy from beneath the earth's surface in rock, water, or steam.

For hybrid systems using multiple energy sources, only the cost directly attributable to the geothermal portion qualifies; installation costs exclude redesigning or remodeling the building structure.

Credit cannot be carried forward or back to other years and cannot reduce tax liability below zero; for partnerships and S-corporations, credit flows through to partners or shareholders according to their distributive share.