IL HB0267

Amends Section 405 of the Illinois Income Tax Act to allow non-individual beneficiaries of trusts and estates to claim net loss carryover deductions when a trust or estate terminates with excess net loss carryovers.

Permits each non-individual beneficiary to deduct in their taxable year the portion of the trust's or estate's excess carryover deduction allocable to them under Internal Revenue Code Section 642(h) principles.

Treats the beneficiary's deduction as a carryover deduction under Section 207, but limits the number of years the beneficiary may carry forward the deduction based on the remaining carryover period the trust or estate would have had.

Applies to trusts or estates terminating after December 31, 2015, and exempts these provisions from Section 250 limitations.

Changes Section 405 title from "Carryovers in certain acquisitions" to "Carryovers in certain transactions" and updates references to Public Act 91-541.