IL SB1811

Creates an income tax credit for foster care parents equal to foster care expenses paid or incurred, capped at $1,000 per taxable year per qualifying dependent child.

Taxpayers must be under contract with the Department of Children and Family Services and provide care for at least 6 months during the taxable year to claim the full credit.

For care periods of less than 6 months, the credit is prorated based on the number of days of care divided by 365.

Excess credits that exceed tax liability may be carried forward and applied to the next 5 taxable years, with earlier credits applied first.

Applies to taxable years beginning on or after January 1, 2021, and becomes effective immediately upon passage.