IL HB3437

Amends the Illinois Income Tax Act to create a deduction for individuals, trusts, and estates for qualified student loan payments made during the taxable year, effective for tax years ending on or after December 31, 2015.

Allows deduction of any payment made toward indebtedness under a qualified education loan, including interest payments, but only to the extent the taxpayer was not entitled to a federal deduction under Internal Revenue Code Section 221.

Applies to payments made by the taxpayer and payments made by the taxpayer's employer on behalf of the taxpayer if included in the taxpayer's adjusted gross income.

Defines "qualified education loan" using the same meaning as provided in Internal Revenue Code Section 221.

Exempts this deduction from the Act's automatic sunset provisions under Section 250.