IL HB1642

Increases the Invest in Kids Act tax credit from 75% to 100% of qualified contributions made by taxpayers during a taxable year.

Raises the per-taxpayer credit cap from $1,000,000 to $1,333,333 and increases the annual aggregate credit cap from $75,000,000 to $100,000,000.

Adds automatic 20% increases to the aggregate credit cap beginning each calendar year if the cap was reached in at least 2 of the previous 3 calendar years.

Removes the sunset provision that would have ended the Act on January 1, 2025 and makes the Act exempt from sunset provisions of the Illinois Income Tax Act.

Repeals Section 995 (the inseverability clause) of the Invest in Kids Act and takes effect immediately upon becoming law.