HB3361 Summary

• Amends the Illinois Income Tax Act to create a tax deduction for compensation paid to Illinois residents on active duty in the Armed Forces of the United States pursuant to military orders related to Operation New Dawn.

• Applies to taxable years beginning on or after January 1, 2010, making the deduction retroactive to cover service during that operation.

• Adds the deduction as a subtraction modification in Section 203(a)(2)(E) of the Illinois Income Tax Act, allowing eligible military personnel to exclude such compensation from Illinois taxable income.

• Takes effect immediately upon becoming law, providing retroactive tax relief to Illinois residents who served on active duty under Operation New Dawn orders.