IL HB3738

Creates a new Illinois income tax credit for renters beginning January 1, 2026, providing $500 for individual filers and $1,000 for married couples filing jointly

Eligibility requires paying rent on a personal residence in Illinois for at least 6 months during the taxable year and not being claimed as a dependent on another person's federal taxes

Income limits set at federal adjusted gross income below $40,770 for individual filers and below $83,250 for married couples filing jointly

Credit is non-refundable and cannot reduce tax liability below zero; excess credit amounts cannot be refunded

Amends the Illinois Income Tax Act by adding Section 235 and takes effect immediately upon becoming law