HB3370 Summary

• Amends the State Treasurer Act to establish an Achieving a Better Life Experience (ABLE) program under Section 529A of the Internal Revenue Code for individuals with disabilities.

• Allows one or more persons to contribute to ABLE accounts to help beneficiaries with disabilities pay for qualified disability expenses.

• Amends the Illinois Income Tax Act to permit individuals to deduct contributions made to ABLE accounts from their base income for taxable years beginning January 1, 2016 or later.

• Requires taxpayers to add back to income the contribution component of any nonqualified withdrawal or refund from an ABLE account that was previously deducted.

• Grants the State Treasurer authority to adopt rules, enter contracts, charge fees, retain administrators, and take all necessary actions to implement and operate the ABLE program in compliance with federal requirements.