HB4204 Summary

• Creates a new tax deduction for qualified performing artists under the Illinois Income Tax Act, effective for taxable years beginning on or after January 1, 2024.

• Allows qualified performing artists (as defined in Section 62 of the federal Internal Revenue Code) to deduct qualified expenses paid or incurred in connection with their performances in the performing arts as an employee.

• Defines "qualified expenses" as deductions allowed under Section 162 of the federal Internal Revenue Code related to employment in performing arts.

• Exempts this new deduction from Section 250 provisions of the Illinois tax code, meaning it is not subject to certain limitations that apply to other deductions.

• Effective immediately upon enactment, with the deduction available for tax years beginning January 1, 2024 and thereafter.