HB0695 Summary

• Amends the Illinois Income Tax Act to create a deduction for gratuities received by taxpayers during the taxable year, effective for tax years ending on or after December 31, 2021.

• Defines "gratuities" using the meaning given in Section 3 of the Minimum Wage Law.

• Applies the deduction to individuals' base income calculations by adding the gratuity amount as a subtraction modification.

• Exempts this deduction provision from the Act's automatic sunset provisions, making it permanent rather than temporary.

• Takes effect immediately upon becoming law.