HB2990 Summary

• Creates the Endow Illinois Tax Credit Act providing a tax credit equal to 50% of endowment gifts made to permanent endowment funds held by qualified community foundations.

• Caps aggregate annual tax credits at $10,000,000 in 2023, $25,000,000 in 2024, and $50,000,000 in 2025 and thereafter, with no single taxpayer receiving more than 5% of annual credits and no single foundation receiving more than 25%.

• Restricts business entity eligibility based on gross receipts thresholds: $10,000,000 for 2022, $25,000,000 for 2024, and $50,000,000 for 2025 and later years.

• Reserves 10% of annual credits for endowment gifts of $30,000 or less, with unused amounts carrying forward to subsequent years.

• Allows tax credits to be carried forward for 5 years and exempts the credit from sunset provisions; requires Department of Revenue to submit annual reports and accept applications on an ongoing basis.