If enacted, HB 4676 would significantly impact Illinois tax policy by recognizing and financially supporting family caregivers, a group often left without assistance despite their important role in the healthcare system. The bill sets a cap on the total credit claimable for each eligible family member at $750 and stipulates that taxpayers may only claim this credit for one eligible family member per taxable year. The Department on Aging is tasked with overseeing the implementation of this credit and reports on its usage to ensure transparency and accountability in the program's administration.
Summary
House Bill 4676 is a legislative proposal that amends the Illinois Income Tax Act to introduce a nonrefundable tax credit for family caregivers. This credit is designed to support taxpayers who take on the role of caregivers for eligible family members by covering 100% of specific eligible expenditures related to caregiving. Such expenditures include costs for home modifications, assistive devices, hiring personal care aides, and other necessary services aimed at ensuring the well-being and independence of the caregivers' family members. The bill is set to be effective immediately upon passage and is targeted at those caregiving for individuals aged 50 and older who require assistance with daily activities.
Contention
While the bill is generally received positively by proponents who advocate for better financial support for caregivers, there may be contention surrounding the sustainability of such tax credits given the state's budget constraints. Some lawmakers may argue about the implications this credit could have on the state's revenue. Additionally, there are concerns about the operational aspects of determining and verifying eligible expenditures, which could raise questions about the ease of access for caregivers and the administrative burden on state agencies tasked with managing the new program.