SB3527 Summary

• Creates Historic Preservation Tax Credit Act allowing a 25% tax credit against Illinois income tax for qualified expenditures on certified historic structures from January 1, 2019 through December 31, 2023.

• Requires qualified rehabilitation expenditures to equal at least $5,000 or exceed the adjusted basis of the historic structure, with projects reviewed and approved by the State Historic Preservation Office and National Park Service for compliance with Secretary of Interior Standards.

• Establishes $15,000,000 annual aggregate credit cap with $3,000,000 maximum per project, with priority given to projects in counties bordering states with historic credits, formerly government-owned properties, low-income areas, and disaster zones.

• Excess credits not used in the year earned may be carried forward for up to 10 years; unused credits are subject to recapture on a declining scale (100% to 20%) if the rehabilitated property is disposed of or fails to remain in service during the 5-year recapture period.

• Requires applicants to demonstrate project readiness within 12 months and secured financing within 18 months of approval; Division must issue a single credit certificate equal to 25% of qualified expenditures and may collect an administrative fee up to 2% of credits issued.