IL HB3050

Establishes an income tax credit for taxpayers who own rental property in Illinois and rent to low-income households at no more than 50% of fair market rental value, effective for taxable years beginning January 1, 2019.

Credit amount equals 100% of the difference between the actual rent charged to the low-income household and the fair market rental value for the property.

Defines "low-income household" as a household with adjusted gross income less than 135% of the federal poverty level based on the most recent U.S. census.

Credit cannot be carried back but can be carried forward up to 5 taxable years if it exceeds the current year's tax liability, with earlier credits applied first.

For partnerships, S-corporations, and LLCs treated as partnerships, the credit is determined according to federal income tax rules for determining income and distributive share.