Illinois 2023-2024 Regular Session

Illinois Senate Bill SB0380 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	Public Act 103-0478
2	1		SB0380 EnrolledLRB103 02788 LNS 47794 b SB0380 Enrolled LRB103 02788 LNS 47794 b
3	2		SB0380 Enrolled LRB103 02788 LNS 47794 b
4		-	AN ACT concerning civil law.
5		-	Be it enacted by the People of the State of Illinois,
6		-	represented in the General Assembly:
7		-	Section 1. Short title. This Act may be cited as the
8		-	Illinois Fertility Fraud Act.
9		-	Section 5. Legislative intent. The General Assembly finds
10		-	that fertility fraud, or the assisted reproductive treatment
11		-	of a patient using the health care provider's own human
12		-	reproductive material without the patient's informed written
13		-	consent, has caused significant harm and had a severe negative
14		-	impact on residents of this State including former patients
15		-	and their children. This conduct has never constituted or
16		-	complied with the medical standard of care and violates
17		-	doctor-patient trust. Often discovering the fraud through DNA
18		-	testing many years later, these individuals must now cope with
19		-	knowing that their bodies and autonomy were violated, grapple
20		-	with the sexual nature of the conduct, and negotiate identity
21		-	issues and changing family relationships. Therefore, it is the
22		-	intent of the General Assembly that any civil action
23		-	authorized by this Act shall be retroactive and apply to any
24		-	treatment by a health care provider occurring prior to the
25		-	effective date of this Act.
	3	+	1 AN ACT concerning civil law.
	4	+	2 Be it enacted by the People of the State of Illinois,
	5	+	3 represented in the General Assembly:
	6	+	4 Section 1. Short title. This Act may be cited as the
	7	+	5 Illinois Fertility Fraud Act.
	8	+	6 Section 5. Legislative intent. The General Assembly finds
	9	+	7 that fertility fraud, or the assisted reproductive treatment
	10	+	8 of a patient using the health care provider's own human
	11	+	9 reproductive material without the patient's informed written
	12	+	10 consent, has caused significant harm and had a severe negative
	13	+	11 impact on residents of this State including former patients
	14	+	12 and their children. This conduct has never constituted or
	15	+	13 complied with the medical standard of care and violates
	16	+	14 doctor-patient trust. Often discovering the fraud through DNA
	17	+	15 testing many years later, these individuals must now cope with
	18	+	16 knowing that their bodies and autonomy were violated, grapple
	19	+	17 with the sexual nature of the conduct, and negotiate identity
	20	+	18 issues and changing family relationships. Therefore, it is the
	21	+	19 intent of the General Assembly that any civil action
	22	+	20 authorized by this Act shall be retroactive and apply to any
	23	+	21 treatment by a health care provider occurring prior to the
	24	+	22 effective date of this Act.
26	25
27	26
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29	28		SB0380 Enrolled LRB103 02788 LNS 47794 b
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32		-	Section 10. Definitions. As used in this Act:
33		-	"Assisted reproductive treatment" means treatment pursuant
34		-	to assisted reproduction, as defined in the Reproductive
35		-	Health Act, as a method of achieving a pregnancy through the
36		-	handling of human oocytes, sperm, zygotes, or embryos for the
37		-	purpose of establishing a pregnancy. "Assisted reproduction"
38		-	includes, but is not limited to, methods of artificial
39		-	insemination, in vitro fertilization, embryo transfer, zygote
40		-	transfer, embryo biopsy, preimplantation genetic diagnosis,
41		-	embryo cryopreservation, oocyte, gamete, zygote, and embryo
42		-	donation, and gestational surrogacy.
43		-	"Embryologist" means a laboratory employee who meets any
44		-	Clinical Laboratory Improvement Amendments (CLIA) program
45		-	requirements for laboratory personnel that are required by 42
46		-	CFR Part 493 or the Illinois Clinical Laboratories Code, and
47		-	who performs embryology procedures.
48		-	"Embryology procedures" include:
49		-	(1) culture media preparation and laboratory quality
50		-	control;
51		-	(2) oocyte isolation and identification;
52		-	(3) oocyte maturity and health status assessment;
53		-	(4) oocyte insemination;
54		-	(5) evaluation of fertilization;
55		-	(6) zygote quality assessment;
56		-	(7) embryo culture and grading;
57		-	(8) embryo transfer;
58		-
59		-
60		-	(9) gamete or embryo cryopreservation; and
61		-	(10) micromanipulation of gametes or embryos,
62		-	including intracytoplasmic sperm injection, assisted
63		-	hatching, and embryo biopsy.
64		-	"Health care" means any phase of patient care, including,
65		-	but not limited to: testing; diagnosis; prognosis; ancillary
66		-	research; instructions; assisted reproduction; family
67		-	planning, counseling, referrals, or any other advice in
68		-	connection with conception; surgery or other care or treatment
69		-	rendered by a physician, nurse, paraprofessional, or health
70		-	care facility, intended for the physical, emotional, and
71		-	mental well-being of persons.
72		-	"Health care provider" means a physician, physician
73		-	assistant, advanced practice registered nurse, registered
74		-	nurse, licensed practical nurse, any individual licensed under
75		-	the laws of this State to provide health care, or any
76		-	individual who handles human reproductive material in a health
77		-	care setting.
78		-	"Human reproductive material" means:
79		-	(1) a human spermatozoon or ovum; or
80		-	(2) a human organism at any stage of development from
81		-	fertilized ovum to embryo.
82		-	"In vitro fertilization" means all medical and laboratory
83		-	procedures that are necessary to effectuate the extracorporeal
84		-	fertilization of egg and sperm.
85		-	"Intended parent" means a person who enters into an
86		-
87		-
88		-	assisted reproductive technology arrangement, including a
89		-	gestational surrogacy arrangement, under which he or she will
90		-	be the legal parent of the resulting child.
91		-	"Laboratory" means a facility for the biological,
92		-	microbiological, serological, chemical, immunohematological,
93		-	hematological, biophysical, cytological, pathological, or
94		-	other examination of materials derived from the human body for
95		-	the purpose of providing information for the diagnosis,
96		-	prevention, or treatment of any disease or impairment of, or
97		-	the assessment of the health of, human beings. These
98		-	examinations include procedures to determine, measure, or
99		-	otherwise describe the presence or absence of various
100		-	substances or organisms in the body. "Laboratory" does not
101		-	include facilities only collecting or preparing specimens, or
102		-	both, or only serving as a mailing service and not performing
103		-	testing.
104		-	"Physician" means a person licensed to practice medicine
105		-	in all its branches in this State.
106		-	Section 15. Fertility fraud. The following individuals may
107		-	bring an action against any health care provider,
108		-	embryologist, or any other person involved in any stage of the
109		-	treatment who knowingly or intentionally used the health care
110		-	provider's, embryologist's, or person's own human reproductive
111		-	material without the patient's informed written consent to
112		-	treatment using the health care provider's, embryologist's, or
113		-
114		-
115		-	person's human reproductive material:
116		-	(1) a patient who gives birth to a child after
117		-	receiving assisted reproductive treatment or any other
118		-	artificial means used to cause pregnancy;
119		-	(2) the intended parent of the child born as a result
120		-	of the assisted reproductive treatment;
121		-	(3) the surviving spouse of a patient under paragraph
122		-	(1); or
123		-	(4) a child born as a result of the treatment.
124		-	Section 20. Donor fertility fraud. A donor of human
125		-	reproductive material may bring an action against any health
126		-	care provider, embryologist, or any other person involved in
127		-	any stage of the treatment who:
128		-	(1) treats a patient for infertility by using human
129		-	reproductive material donated by the donor; and
130		-	(2) knows that the human reproductive material was
131		-	used:
132		-	(A) without the donor's consent; or
133		-	(B) in a manner or to an extent other than that to
134		-	which the donor consented.
135		-	Section 25. Rewards. A plaintiff who prevails in an action
136		-	under this Act is entitled to reasonable attorney's fees and:
137		-	(1) compensatory and punitive damages; or
138		-	(2) liquidated damages of $50,000.
139		-
140		-
141		-	A plaintiff who prevails in an action brought under
142		-	Section 15 is also entitled to the costs of the fertility
143		-	treatment.
144		-	Section 30. Protective order for access to personal
145		-	medical records and health history. Any child born as a result
146		-	of the fertility fraud referred to in Section 15 is entitled to
147		-	a qualified protective order allowing the child access to the
148		-	personal medical records and health history of the health care
149		-	provider, embryologist, or other person who committed the
150		-	fraud.
151		-	Section 35. Causes of action.
152		-	(a) A person who brings an action under Section 15 has a
153		-	separate cause of action for each child born as the result of
154		-	the fraudulent assisted reproductive treatment.
155		-	(b) A donor or donor's estate that brings an action under
156		-	Section 20 has a separate cause of action for each individual
157		-	who received assisted reproductive treatment with the donor's
158		-	human reproductive material.
159		-	Section 40. Other remedies. Nothing in this Act may be
160		-	construed to prohibit a person from pursuing any other remedy
161		-	provided by law.
162		-	Section 45. The Illinois Income Tax Act is amended by
163		-
164		-
165		-	changing Section 203 as follows:
166		-	(35 ILCS 5/203) (from Ch. 120, par. 2-203)
167		-	Sec. 203. Base income defined.
168		-	(a) Individuals.
169		-	(1) In general. In the case of an individual, base
170		-	income means an amount equal to the taxpayer's adjusted
171		-	gross income for the taxable year as modified by paragraph
172		-	(2).
173		-	(2) Modifications. The adjusted gross income referred
174		-	to in paragraph (1) shall be modified by adding thereto
175		-	the sum of the following amounts:
176		-	(A) An amount equal to all amounts paid or accrued
177		-	to the taxpayer as interest or dividends during the
178		-	taxable year to the extent excluded from gross income
179		-	in the computation of adjusted gross income, except
180		-	stock dividends of qualified public utilities
181		-	described in Section 305(e) of the Internal Revenue
182		-	Code;
183		-	(B) An amount equal to the amount of tax imposed by
184		-	this Act to the extent deducted from gross income in
185		-	the computation of adjusted gross income for the
186		-	taxable year;
187		-	(C) An amount equal to the amount received during
188		-	the taxable year as a recovery or refund of real
189		-	property taxes paid with respect to the taxpayer's
190		-
191		-
192		-	principal residence under the Revenue Act of 1939 and
193		-	for which a deduction was previously taken under
194		-	subparagraph (L) of this paragraph (2) prior to July
195		-	1, 1991, the retrospective application date of Article
196		-	4 of Public Act 87-17. In the case of multi-unit or
197		-	multi-use structures and farm dwellings, the taxes on
198		-	the taxpayer's principal residence shall be that
199		-	portion of the total taxes for the entire property
200		-	which is attributable to such principal residence;
201		-	(D) An amount equal to the amount of the capital
202		-	gain deduction allowable under the Internal Revenue
203		-	Code, to the extent deducted from gross income in the
204		-	computation of adjusted gross income;
205		-	(D-5) An amount, to the extent not included in
206		-	adjusted gross income, equal to the amount of money
207		-	withdrawn by the taxpayer in the taxable year from a
208		-	medical care savings account and the interest earned
209		-	on the account in the taxable year of a withdrawal
210		-	pursuant to subsection (b) of Section 20 of the
211		-	Medical Care Savings Account Act or subsection (b) of
212		-	Section 20 of the Medical Care Savings Account Act of
213		-	2000;
214		-	(D-10) For taxable years ending after December 31,
215		-	1997, an amount equal to any eligible remediation
216		-	costs that the individual deducted in computing
217		-	adjusted gross income and for which the individual
218		-
219		-
220		-	claims a credit under subsection (l) of Section 201;
221		-	(D-15) For taxable years 2001 and thereafter, an
222		-	amount equal to the bonus depreciation deduction taken
223		-	on the taxpayer's federal income tax return for the
224		-	taxable year under subsection (k) of Section 168 of
225		-	the Internal Revenue Code;
226		-	(D-16) If the taxpayer sells, transfers, abandons,
227		-	or otherwise disposes of property for which the
228		-	taxpayer was required in any taxable year to make an
229		-	addition modification under subparagraph (D-15), then
230		-	an amount equal to the aggregate amount of the
231		-	deductions taken in all taxable years under
232		-	subparagraph (Z) with respect to that property.
233		-	If the taxpayer continues to own property through
234		-	the last day of the last tax year for which a
235		-	subtraction is allowed with respect to that property
236		-	under subparagraph (Z) and for which the taxpayer was
237		-	allowed in any taxable year to make a subtraction
238		-	modification under subparagraph (Z), then an amount
239		-	equal to that subtraction modification.
240		-	The taxpayer is required to make the addition
241		-	modification under this subparagraph only once with
242		-	respect to any one piece of property;
243		-	(D-17) An amount equal to the amount otherwise
244		-	allowed as a deduction in computing base income for
245		-	interest paid, accrued, or incurred, directly or
246		-
247		-
248		-	indirectly, (i) for taxable years ending on or after
249		-	December 31, 2004, to a foreign person who would be a
250		-	member of the same unitary business group but for the
251		-	fact that foreign person's business activity outside
252		-	the United States is 80% or more of the foreign
253		-	person's total business activity and (ii) for taxable
254		-	years ending on or after December 31, 2008, to a person
255		-	who would be a member of the same unitary business
256		-	group but for the fact that the person is prohibited
257		-	under Section 1501(a)(27) from being included in the
258		-	unitary business group because he or she is ordinarily
259		-	required to apportion business income under different
260		-	subsections of Section 304. The addition modification
261		-	required by this subparagraph shall be reduced to the
262		-	extent that dividends were included in base income of
263		-	the unitary group for the same taxable year and
264		-	received by the taxpayer or by a member of the
265		-	taxpayer's unitary business group (including amounts
266		-	included in gross income under Sections 951 through
267		-	964 of the Internal Revenue Code and amounts included
268		-	in gross income under Section 78 of the Internal
269		-	Revenue Code) with respect to the stock of the same
270		-	person to whom the interest was paid, accrued, or
271		-	incurred.
272		-	This paragraph shall not apply to the following:
273		-	(i) an item of interest paid, accrued, or
274		-
275		-
276		-	incurred, directly or indirectly, to a person who
277		-	is subject in a foreign country or state, other
278		-	than a state which requires mandatory unitary
279		-	reporting, to a tax on or measured by net income
280		-	with respect to such interest; or
281		-	(ii) an item of interest paid, accrued, or
282		-	incurred, directly or indirectly, to a person if
283		-	the taxpayer can establish, based on a
284		-	preponderance of the evidence, both of the
285		-	following:
286		-	(a) the person, during the same taxable
287		-	year, paid, accrued, or incurred, the interest
288		-	to a person that is not a related member, and
289		-	(b) the transaction giving rise to the
290		-	interest expense between the taxpayer and the
291		-	person did not have as a principal purpose the
292		-	avoidance of Illinois income tax, and is paid
293		-	pursuant to a contract or agreement that
294		-	reflects an arm's-length interest rate and
295		-	terms; or
296		-	(iii) the taxpayer can establish, based on
297		-	clear and convincing evidence, that the interest
298		-	paid, accrued, or incurred relates to a contract
299		-	or agreement entered into at arm's-length rates
300		-	and terms and the principal purpose for the
301		-	payment is not federal or Illinois tax avoidance;
302		-
303		-
304		-	or
305		-	(iv) an item of interest paid, accrued, or
306		-	incurred, directly or indirectly, to a person if
307		-	the taxpayer establishes by clear and convincing
308		-	evidence that the adjustments are unreasonable; or
309		-	if the taxpayer and the Director agree in writing
310		-	to the application or use of an alternative method
311		-	of apportionment under Section 304(f).
312		-	Nothing in this subsection shall preclude the
313		-	Director from making any other adjustment
314		-	otherwise allowed under Section 404 of this Act
315		-	for any tax year beginning after the effective
316		-	date of this amendment provided such adjustment is
317		-	made pursuant to regulation adopted by the
318		-	Department and such regulations provide methods
319		-	and standards by which the Department will utilize
320		-	its authority under Section 404 of this Act;
321		-	(D-18) An amount equal to the amount of intangible
322		-	expenses and costs otherwise allowed as a deduction in
323		-	computing base income, and that were paid, accrued, or
324		-	incurred, directly or indirectly, (i) for taxable
325		-	years ending on or after December 31, 2004, to a
326		-	foreign person who would be a member of the same
327		-	unitary business group but for the fact that the
328		-	foreign person's business activity outside the United
329		-	States is 80% or more of that person's total business
330		-
331		-
332		-	activity and (ii) for taxable years ending on or after
333		-	December 31, 2008, to a person who would be a member of
334		-	the same unitary business group but for the fact that
335		-	the person is prohibited under Section 1501(a)(27)
336		-	from being included in the unitary business group
337		-	because he or she is ordinarily required to apportion
338		-	business income under different subsections of Section
339		-	304. The addition modification required by this
340		-	subparagraph shall be reduced to the extent that
341		-	dividends were included in base income of the unitary
342		-	group for the same taxable year and received by the
343		-	taxpayer or by a member of the taxpayer's unitary
344		-	business group (including amounts included in gross
345		-	income under Sections 951 through 964 of the Internal
346		-	Revenue Code and amounts included in gross income
347		-	under Section 78 of the Internal Revenue Code) with
348		-	respect to the stock of the same person to whom the
349		-	intangible expenses and costs were directly or
350		-	indirectly paid, incurred, or accrued. The preceding
351		-	sentence does not apply to the extent that the same
352		-	dividends caused a reduction to the addition
353		-	modification required under Section 203(a)(2)(D-17) of
354		-	this Act. As used in this subparagraph, the term
355		-	"intangible expenses and costs" includes (1) expenses,
356		-	losses, and costs for, or related to, the direct or
357		-	indirect acquisition, use, maintenance or management,
358		-
359		-
360		-	ownership, sale, exchange, or any other disposition of
361		-	intangible property; (2) losses incurred, directly or
362		-	indirectly, from factoring transactions or discounting
363		-	transactions; (3) royalty, patent, technical, and
364		-	copyright fees; (4) licensing fees; and (5) other
365		-	similar expenses and costs. For purposes of this
366		-	subparagraph, "intangible property" includes patents,
367		-	patent applications, trade names, trademarks, service
368		-	marks, copyrights, mask works, trade secrets, and
369		-	similar types of intangible assets.
370		-	This paragraph shall not apply to the following:
371		-	(i) any item of intangible expenses or costs
372		-	paid, accrued, or incurred, directly or
373		-	indirectly, from a transaction with a person who
374		-	is subject in a foreign country or state, other
375		-	than a state which requires mandatory unitary
376		-	reporting, to a tax on or measured by net income
377		-	with respect to such item; or
378		-	(ii) any item of intangible expense or cost
379		-	paid, accrued, or incurred, directly or
380		-	indirectly, if the taxpayer can establish, based
381		-	on a preponderance of the evidence, both of the
382		-	following:
383		-	(a) the person during the same taxable
384		-	year paid, accrued, or incurred, the
385		-	intangible expense or cost to a person that is
386		-
387		-
388		-	not a related member, and
389		-	(b) the transaction giving rise to the
390		-	intangible expense or cost between the
391		-	taxpayer and the person did not have as a
392		-	principal purpose the avoidance of Illinois
393		-	income tax, and is paid pursuant to a contract
394		-	or agreement that reflects arm's-length terms;
395		-	or
396		-	(iii) any item of intangible expense or cost
397		-	paid, accrued, or incurred, directly or
398		-	indirectly, from a transaction with a person if
399		-	the taxpayer establishes by clear and convincing
400		-	evidence, that the adjustments are unreasonable;
401		-	or if the taxpayer and the Director agree in
402		-	writing to the application or use of an
403		-	alternative method of apportionment under Section
404		-	304(f);
405		-	Nothing in this subsection shall preclude the
406		-	Director from making any other adjustment
407		-	otherwise allowed under Section 404 of this Act
408		-	for any tax year beginning after the effective
409		-	date of this amendment provided such adjustment is
410		-	made pursuant to regulation adopted by the
411		-	Department and such regulations provide methods
412		-	and standards by which the Department will utilize
413		-	its authority under Section 404 of this Act;
414		-
415		-
416		-	(D-19) For taxable years ending on or after
417		-	December 31, 2008, an amount equal to the amount of
418		-	insurance premium expenses and costs otherwise allowed
419		-	as a deduction in computing base income, and that were
420		-	paid, accrued, or incurred, directly or indirectly, to
421		-	a person who would be a member of the same unitary
422		-	business group but for the fact that the person is
423		-	prohibited under Section 1501(a)(27) from being
424		-	included in the unitary business group because he or
425		-	she is ordinarily required to apportion business
426		-	income under different subsections of Section 304. The
427		-	addition modification required by this subparagraph
428		-	shall be reduced to the extent that dividends were
429		-	included in base income of the unitary group for the
430		-	same taxable year and received by the taxpayer or by a
431		-	member of the taxpayer's unitary business group
432		-	(including amounts included in gross income under
433		-	Sections 951 through 964 of the Internal Revenue Code
434		-	and amounts included in gross income under Section 78
435		-	of the Internal Revenue Code) with respect to the
436		-	stock of the same person to whom the premiums and costs
437		-	were directly or indirectly paid, incurred, or
438		-	accrued. The preceding sentence does not apply to the
439		-	extent that the same dividends caused a reduction to
440		-	the addition modification required under Section
441		-	203(a)(2)(D-17) or Section 203(a)(2)(D-18) of this
442		-
443		-
444		-	Act;
445		-	(D-20) For taxable years beginning on or after
446		-	January 1, 2002 and ending on or before December 31,
447		-	2006, in the case of a distribution from a qualified
448		-	tuition program under Section 529 of the Internal
449		-	Revenue Code, other than (i) a distribution from a
450		-	College Savings Pool created under Section 16.5 of the
451		-	State Treasurer Act or (ii) a distribution from the
452		-	Illinois Prepaid Tuition Trust Fund, an amount equal
453		-	to the amount excluded from gross income under Section
454		-	529(c)(3)(B). For taxable years beginning on or after
455		-	January 1, 2007, in the case of a distribution from a
456		-	qualified tuition program under Section 529 of the
457		-	Internal Revenue Code, other than (i) a distribution
458		-	from a College Savings Pool created under Section 16.5
459		-	of the State Treasurer Act, (ii) a distribution from
460		-	the Illinois Prepaid Tuition Trust Fund, or (iii) a
461		-	distribution from a qualified tuition program under
462		-	Section 529 of the Internal Revenue Code that (I)
463		-	adopts and determines that its offering materials
464		-	comply with the College Savings Plans Network's
465		-	disclosure principles and (II) has made reasonable
466		-	efforts to inform in-state residents of the existence
467		-	of in-state qualified tuition programs by informing
468		-	Illinois residents directly and, where applicable, to
469		-	inform financial intermediaries distributing the
470		-
471		-
472		-	program to inform in-state residents of the existence
473		-	of in-state qualified tuition programs at least
474		-	annually, an amount equal to the amount excluded from
475		-	gross income under Section 529(c)(3)(B).
476		-	For the purposes of this subparagraph (D-20), a
477		-	qualified tuition program has made reasonable efforts
478		-	if it makes disclosures (which may use the term
479		-	"in-state program" or "in-state plan" and need not
480		-	specifically refer to Illinois or its qualified
481		-	programs by name) (i) directly to prospective
482		-	participants in its offering materials or makes a
483		-	public disclosure, such as a website posting; and (ii)
484		-	where applicable, to intermediaries selling the
485		-	out-of-state program in the same manner that the
486		-	out-of-state program distributes its offering
487		-	materials;
488		-	(D-20.5) For taxable years beginning on or after
489		-	January 1, 2018, in the case of a distribution from a
490		-	qualified ABLE program under Section 529A of the
491		-	Internal Revenue Code, other than a distribution from
492		-	a qualified ABLE program created under Section 16.6 of
493		-	the State Treasurer Act, an amount equal to the amount
494		-	excluded from gross income under Section 529A(c)(1)(B)
495		-	of the Internal Revenue Code;
496		-	(D-21) For taxable years beginning on or after
497		-	January 1, 2007, in the case of transfer of moneys from
498		-
499		-
500		-	a qualified tuition program under Section 529 of the
501		-	Internal Revenue Code that is administered by the
502		-	State to an out-of-state program, an amount equal to
503		-	the amount of moneys previously deducted from base
504		-	income under subsection (a)(2)(Y) of this Section;
505		-	(D-21.5) For taxable years beginning on or after
506		-	January 1, 2018, in the case of the transfer of moneys
507		-	from a qualified tuition program under Section 529 or
508		-	a qualified ABLE program under Section 529A of the
509		-	Internal Revenue Code that is administered by this
510		-	State to an ABLE account established under an
511		-	out-of-state ABLE account program, an amount equal to
512		-	the contribution component of the transferred amount
513		-	that was previously deducted from base income under
514		-	subsection (a)(2)(Y) or subsection (a)(2)(HH) of this
515		-	Section;
516		-	(D-22) For taxable years beginning on or after
517		-	January 1, 2009, and prior to January 1, 2018, in the
518		-	case of a nonqualified withdrawal or refund of moneys
519		-	from a qualified tuition program under Section 529 of
520		-	the Internal Revenue Code administered by the State
521		-	that is not used for qualified expenses at an eligible
522		-	education institution, an amount equal to the
523		-	contribution component of the nonqualified withdrawal
524		-	or refund that was previously deducted from base
525		-	income under subsection (a)(2)(y) of this Section,
526		-
527		-
528		-	provided that the withdrawal or refund did not result
529		-	from the beneficiary's death or disability. For
530		-	taxable years beginning on or after January 1, 2018:
531		-	(1) in the case of a nonqualified withdrawal or
532		-	refund, as defined under Section 16.5 of the State
533		-	Treasurer Act, of moneys from a qualified tuition
534		-	program under Section 529 of the Internal Revenue Code
535		-	administered by the State, an amount equal to the
536		-	contribution component of the nonqualified withdrawal
537		-	or refund that was previously deducted from base
538		-	income under subsection (a)(2)(Y) of this Section, and
539		-	(2) in the case of a nonqualified withdrawal or refund
540		-	from a qualified ABLE program under Section 529A of
541		-	the Internal Revenue Code administered by the State
542		-	that is not used for qualified disability expenses, an
543		-	amount equal to the contribution component of the
544		-	nonqualified withdrawal or refund that was previously
545		-	deducted from base income under subsection (a)(2)(HH)
546		-	of this Section;
547		-	(D-23) An amount equal to the credit allowable to
548		-	the taxpayer under Section 218(a) of this Act,
549		-	determined without regard to Section 218(c) of this
550		-	Act;
551		-	(D-24) For taxable years ending on or after
552		-	December 31, 2017, an amount equal to the deduction
553		-	allowed under Section 199 of the Internal Revenue Code
554		-
555		-
556		-	for the taxable year;
557		-	(D-25) In the case of a resident, an amount equal
558		-	to the amount of tax for which a credit is allowed
559		-	pursuant to Section 201(p)(7) of this Act;
560		-	and by deducting from the total so obtained the sum of the
561		-	following amounts:
562		-	(E) For taxable years ending before December 31,
563		-	2001, any amount included in such total in respect of
564		-	any compensation (including but not limited to any
565		-	compensation paid or accrued to a serviceman while a
566		-	prisoner of war or missing in action) paid to a
567		-	resident by reason of being on active duty in the Armed
568		-	Forces of the United States and in respect of any
569		-	compensation paid or accrued to a resident who as a
570		-	governmental employee was a prisoner of war or missing
571		-	in action, and in respect of any compensation paid to a
572		-	resident in 1971 or thereafter for annual training
573		-	performed pursuant to Sections 502 and 503, Title 32,
574		-	United States Code as a member of the Illinois
575		-	National Guard or, beginning with taxable years ending
576		-	on or after December 31, 2007, the National Guard of
577		-	any other state. For taxable years ending on or after
578		-	December 31, 2001, any amount included in such total
579		-	in respect of any compensation (including but not
580		-	limited to any compensation paid or accrued to a
581		-	serviceman while a prisoner of war or missing in
582		-
583		-
584		-	action) paid to a resident by reason of being a member
585		-	of any component of the Armed Forces of the United
586		-	States and in respect of any compensation paid or
587		-	accrued to a resident who as a governmental employee
588		-	was a prisoner of war or missing in action, and in
589		-	respect of any compensation paid to a resident in 2001
590		-	or thereafter by reason of being a member of the
591		-	Illinois National Guard or, beginning with taxable
592		-	years ending on or after December 31, 2007, the
593		-	National Guard of any other state. The provisions of
594		-	this subparagraph (E) are exempt from the provisions
595		-	of Section 250;
596		-	(F) An amount equal to all amounts included in
597		-	such total pursuant to the provisions of Sections
598		-	402(a), 402(c), 403(a), 403(b), 406(a), 407(a), and
599		-	408 of the Internal Revenue Code, or included in such
600		-	total as distributions under the provisions of any
601		-	retirement or disability plan for employees of any
602		-	governmental agency or unit, or retirement payments to
603		-	retired partners, which payments are excluded in
604		-	computing net earnings from self employment by Section
605		-	1402 of the Internal Revenue Code and regulations
606		-	adopted pursuant thereto;
607		-	(G) The valuation limitation amount;
608		-	(H) An amount equal to the amount of any tax
609		-	imposed by this Act which was refunded to the taxpayer
610		-
611		-
612		-	and included in such total for the taxable year;
613		-	(I) An amount equal to all amounts included in
614		-	such total pursuant to the provisions of Section 111
615		-	of the Internal Revenue Code as a recovery of items
616		-	previously deducted from adjusted gross income in the
617		-	computation of taxable income;
618		-	(J) An amount equal to those dividends included in
619		-	such total which were paid by a corporation which
620		-	conducts business operations in a River Edge
621		-	Redevelopment Zone or zones created under the River
622		-	Edge Redevelopment Zone Act, and conducts
623		-	substantially all of its operations in a River Edge
624		-	Redevelopment Zone or zones. This subparagraph (J) is
625		-	exempt from the provisions of Section 250;
626		-	(K) An amount equal to those dividends included in
627		-	such total that were paid by a corporation that
628		-	conducts business operations in a federally designated
629		-	Foreign Trade Zone or Sub-Zone and that is designated
630		-	a High Impact Business located in Illinois; provided
631		-	that dividends eligible for the deduction provided in
632		-	subparagraph (J) of paragraph (2) of this subsection
633		-	shall not be eligible for the deduction provided under
634		-	this subparagraph (K);
635		-	(L) For taxable years ending after December 31,
636		-	1983, an amount equal to all social security benefits
637		-	and railroad retirement benefits included in such
638		-
639		-
640		-	total pursuant to Sections 72(r) and 86 of the
641		-	Internal Revenue Code;
642		-	(M) With the exception of any amounts subtracted
643		-	under subparagraph (N), an amount equal to the sum of
644		-	all amounts disallowed as deductions by (i) Sections
645		-	171(a)(2) and 265(a)(2) of the Internal Revenue Code,
646		-	and all amounts of expenses allocable to interest and
647		-	disallowed as deductions by Section 265(a)(1) of the
648		-	Internal Revenue Code; and (ii) for taxable years
649		-	ending on or after August 13, 1999, Sections
650		-	171(a)(2), 265, 280C, and 832(b)(5)(B)(i) of the
651		-	Internal Revenue Code, plus, for taxable years ending
652		-	on or after December 31, 2011, Section 45G(e)(3) of
653		-	the Internal Revenue Code and, for taxable years
654		-	ending on or after December 31, 2008, any amount
655		-	included in gross income under Section 87 of the
656		-	Internal Revenue Code; the provisions of this
657		-	subparagraph are exempt from the provisions of Section
658		-	250;
659		-	(N) An amount equal to all amounts included in
660		-	such total which are exempt from taxation by this
661		-	State either by reason of its statutes or Constitution
662		-	or by reason of the Constitution, treaties or statutes
663		-	of the United States; provided that, in the case of any
664		-	statute of this State that exempts income derived from
665		-	bonds or other obligations from the tax imposed under
666		-
667		-
668		-	this Act, the amount exempted shall be the interest
669		-	net of bond premium amortization;
670		-	(O) An amount equal to any contribution made to a
671		-	job training project established pursuant to the Tax
672		-	Increment Allocation Redevelopment Act;
673		-	(P) An amount equal to the amount of the deduction
674		-	used to compute the federal income tax credit for
675		-	restoration of substantial amounts held under claim of
676		-	right for the taxable year pursuant to Section 1341 of
677		-	the Internal Revenue Code or of any itemized deduction
678		-	taken from adjusted gross income in the computation of
679		-	taxable income for restoration of substantial amounts
680		-	held under claim of right for the taxable year;
681		-	(Q) An amount equal to any amounts included in
682		-	such total, received by the taxpayer as an
683		-	acceleration in the payment of life, endowment or
684		-	annuity benefits in advance of the time they would
685		-	otherwise be payable as an indemnity for a terminal
686		-	illness;
687		-	(R) An amount equal to the amount of any federal or
688		-	State bonus paid to veterans of the Persian Gulf War;
689		-	(S) An amount, to the extent included in adjusted
690		-	gross income, equal to the amount of a contribution
691		-	made in the taxable year on behalf of the taxpayer to a
692		-	medical care savings account established under the
693		-	Medical Care Savings Account Act or the Medical Care
694		-
695		-
696		-	Savings Account Act of 2000 to the extent the
697		-	contribution is accepted by the account administrator
698		-	as provided in that Act;
699		-	(T) An amount, to the extent included in adjusted
700		-	gross income, equal to the amount of interest earned
701		-	in the taxable year on a medical care savings account
702		-	established under the Medical Care Savings Account Act
703		-	or the Medical Care Savings Account Act of 2000 on
704		-	behalf of the taxpayer, other than interest added
705		-	pursuant to item (D-5) of this paragraph (2);
706		-	(U) For one taxable year beginning on or after
707		-	January 1, 1994, an amount equal to the total amount of
708		-	tax imposed and paid under subsections (a) and (b) of
709		-	Section 201 of this Act on grant amounts received by
710		-	the taxpayer under the Nursing Home Grant Assistance
711		-	Act during the taxpayer's taxable years 1992 and 1993;
712		-	(V) Beginning with tax years ending on or after
713		-	December 31, 1995 and ending with tax years ending on
714		-	or before December 31, 2004, an amount equal to the
715		-	amount paid by a taxpayer who is a self-employed
716		-	taxpayer, a partner of a partnership, or a shareholder
717		-	in a Subchapter S corporation for health insurance or
718		-	long-term care insurance for that taxpayer or that
719		-	taxpayer's spouse or dependents, to the extent that
720		-	the amount paid for that health insurance or long-term
721		-	care insurance may be deducted under Section 213 of
722		-
723		-
724		-	the Internal Revenue Code, has not been deducted on
725		-	the federal income tax return of the taxpayer, and
726		-	does not exceed the taxable income attributable to
727		-	that taxpayer's income, self-employment income, or
728		-	Subchapter S corporation income; except that no
729		-	deduction shall be allowed under this item (V) if the
730		-	taxpayer is eligible to participate in any health
731		-	insurance or long-term care insurance plan of an
732		-	employer of the taxpayer or the taxpayer's spouse. The
733		-	amount of the health insurance and long-term care
734		-	insurance subtracted under this item (V) shall be
735		-	determined by multiplying total health insurance and
736		-	long-term care insurance premiums paid by the taxpayer
737		-	times a number that represents the fractional
738		-	percentage of eligible medical expenses under Section
739		-	213 of the Internal Revenue Code of 1986 not actually
740		-	deducted on the taxpayer's federal income tax return;
741		-	(W) For taxable years beginning on or after
742		-	January 1, 1998, all amounts included in the
743		-	taxpayer's federal gross income in the taxable year
744		-	from amounts converted from a regular IRA to a Roth
745		-	IRA. This paragraph is exempt from the provisions of
746		-	Section 250;
747		-	(X) For taxable year 1999 and thereafter, an
748		-	amount equal to the amount of any (i) distributions,
749		-	to the extent includible in gross income for federal
750		-
751		-
752		-	income tax purposes, made to the taxpayer because of
753		-	his or her status as a victim of persecution for racial
754		-	or religious reasons by Nazi Germany or any other Axis
755		-	regime or as an heir of the victim and (ii) items of
756		-	income, to the extent includible in gross income for
757		-	federal income tax purposes, attributable to, derived
758		-	from or in any way related to assets stolen from,
759		-	hidden from, or otherwise lost to a victim of
760		-	persecution for racial or religious reasons by Nazi
761		-	Germany or any other Axis regime immediately prior to,
762		-	during, and immediately after World War II, including,
763		-	but not limited to, interest on the proceeds
764		-	receivable as insurance under policies issued to a
765		-	victim of persecution for racial or religious reasons
766		-	by Nazi Germany or any other Axis regime by European
767		-	insurance companies immediately prior to and during
768		-	World War II; provided, however, this subtraction from
769		-	federal adjusted gross income does not apply to assets
770		-	acquired with such assets or with the proceeds from
771		-	the sale of such assets; provided, further, this
772		-	paragraph shall only apply to a taxpayer who was the
773		-	first recipient of such assets after their recovery
774		-	and who is a victim of persecution for racial or
775		-	religious reasons by Nazi Germany or any other Axis
776		-	regime or as an heir of the victim. The amount of and
777		-	the eligibility for any public assistance, benefit, or
778		-
779		-
780		-	similar entitlement is not affected by the inclusion
781		-	of items (i) and (ii) of this paragraph in gross income
782		-	for federal income tax purposes. This paragraph is
783		-	exempt from the provisions of Section 250;
784		-	(Y) For taxable years beginning on or after
785		-	January 1, 2002 and ending on or before December 31,
786		-	2004, moneys contributed in the taxable year to a
787		-	College Savings Pool account under Section 16.5 of the
788		-	State Treasurer Act, except that amounts excluded from
789		-	gross income under Section 529(c)(3)(C)(i) of the
790		-	Internal Revenue Code shall not be considered moneys
791		-	contributed under this subparagraph (Y). For taxable
792		-	years beginning on or after January 1, 2005, a maximum
793		-	of $10,000 contributed in the taxable year to (i) a
794		-	College Savings Pool account under Section 16.5 of the
795		-	State Treasurer Act or (ii) the Illinois Prepaid
796		-	Tuition Trust Fund, except that amounts excluded from
797		-	gross income under Section 529(c)(3)(C)(i) of the
798		-	Internal Revenue Code shall not be considered moneys
799		-	contributed under this subparagraph (Y). For purposes
800		-	of this subparagraph, contributions made by an
801		-	employer on behalf of an employee, or matching
802		-	contributions made by an employee, shall be treated as
803		-	made by the employee. This subparagraph (Y) is exempt
804		-	from the provisions of Section 250;
805		-	(Z) For taxable years 2001 and thereafter, for the
806		-
807		-
808		-	taxable year in which the bonus depreciation deduction
809		-	is taken on the taxpayer's federal income tax return
810		-	under subsection (k) of Section 168 of the Internal
811		-	Revenue Code and for each applicable taxable year
812		-	thereafter, an amount equal to "x", where:
813		-	(1) "y" equals the amount of the depreciation
814		-	deduction taken for the taxable year on the
815		-	taxpayer's federal income tax return on property
816		-	for which the bonus depreciation deduction was
817		-	taken in any year under subsection (k) of Section
818		-	168 of the Internal Revenue Code, but not
819		-	including the bonus depreciation deduction;
820		-	(2) for taxable years ending on or before
821		-	December 31, 2005, "x" equals "y" multiplied by 30
822		-	and then divided by 70 (or "y" multiplied by
823		-	0.429); and
824		-	(3) for taxable years ending after December
825		-	31, 2005:
826		-	(i) for property on which a bonus
827		-	depreciation deduction of 30% of the adjusted
828		-	basis was taken, "x" equals "y" multiplied by
829		-	30 and then divided by 70 (or "y" multiplied
830		-	by 0.429);
831		-	(ii) for property on which a bonus
832		-	depreciation deduction of 50% of the adjusted
833		-	basis was taken, "x" equals "y" multiplied by
834		-
835		-
836		-	1.0;
837		-	(iii) for property on which a bonus
838		-	depreciation deduction of 100% of the adjusted
839		-	basis was taken in a taxable year ending on or
840		-	after December 31, 2021, "x" equals the
841		-	depreciation deduction that would be allowed
842		-	on that property if the taxpayer had made the
843		-	election under Section 168(k)(7) of the
844		-	Internal Revenue Code to not claim bonus
845		-	depreciation on that property; and
846		-	(iv) for property on which a bonus
847		-	depreciation deduction of a percentage other
848		-	than 30%, 50% or 100% of the adjusted basis
849		-	was taken in a taxable year ending on or after
850		-	December 31, 2021, "x" equals "y" multiplied
851		-	by 100 times the percentage bonus depreciation
852		-	on the property (that is, 100(bonus%)) and
853		-	then divided by 100 times 1 minus the
854		-	percentage bonus depreciation on the property
855		-	(that is, 100(1bonus%)).
856		-	The aggregate amount deducted under this
857		-	subparagraph in all taxable years for any one piece of
858		-	property may not exceed the amount of the bonus
859		-	depreciation deduction taken on that property on the
860		-	taxpayer's federal income tax return under subsection
861		-	(k) of Section 168 of the Internal Revenue Code. This
862		-
863		-
864		-	subparagraph (Z) is exempt from the provisions of
865		-	Section 250;
866		-	(AA) If the taxpayer sells, transfers, abandons,
867		-	or otherwise disposes of property for which the
868		-	taxpayer was required in any taxable year to make an
869		-	addition modification under subparagraph (D-15), then
870		-	an amount equal to that addition modification.
871		-	If the taxpayer continues to own property through
872		-	the last day of the last tax year for which a
873		-	subtraction is allowed with respect to that property
874		-	under subparagraph (Z) and for which the taxpayer was
875		-	required in any taxable year to make an addition
876		-	modification under subparagraph (D-15), then an amount
877		-	equal to that addition modification.
878		-	The taxpayer is allowed to take the deduction
879		-	under this subparagraph only once with respect to any
880		-	one piece of property.
881		-	This subparagraph (AA) is exempt from the
882		-	provisions of Section 250;
883		-	(BB) Any amount included in adjusted gross income,
884		-	other than salary, received by a driver in a
885		-	ridesharing arrangement using a motor vehicle;
886		-	(CC) The amount of (i) any interest income (net of
887		-	the deductions allocable thereto) taken into account
888		-	for the taxable year with respect to a transaction
889		-	with a taxpayer that is required to make an addition
890		-
891		-
892		-	modification with respect to such transaction under
893		-	Section 203(a)(2)(D-17), 203(b)(2)(E-12),
894		-	203(c)(2)(G-12), or 203(d)(2)(D-7), but not to exceed
895		-	the amount of that addition modification, and (ii) any
896		-	income from intangible property (net of the deductions
897		-	allocable thereto) taken into account for the taxable
898		-	year with respect to a transaction with a taxpayer
899		-	that is required to make an addition modification with
900		-	respect to such transaction under Section
901		-	203(a)(2)(D-18), 203(b)(2)(E-13), 203(c)(2)(G-13), or
902		-	203(d)(2)(D-8), but not to exceed the amount of that
903		-	addition modification. This subparagraph (CC) is
904		-	exempt from the provisions of Section 250;
905		-	(DD) An amount equal to the interest income taken
906		-	into account for the taxable year (net of the
907		-	deductions allocable thereto) with respect to
908		-	transactions with (i) a foreign person who would be a
909		-	member of the taxpayer's unitary business group but
910		-	for the fact that the foreign person's business
911		-	activity outside the United States is 80% or more of
912		-	that person's total business activity and (ii) for
913		-	taxable years ending on or after December 31, 2008, to
914		-	a person who would be a member of the same unitary
915		-	business group but for the fact that the person is
916		-	prohibited under Section 1501(a)(27) from being
917		-	included in the unitary business group because he or
918		-
919		-
920		-	she is ordinarily required to apportion business
921		-	income under different subsections of Section 304, but
922		-	not to exceed the addition modification required to be
923		-	made for the same taxable year under Section
924		-	203(a)(2)(D-17) for interest paid, accrued, or
925		-	incurred, directly or indirectly, to the same person.
926		-	This subparagraph (DD) is exempt from the provisions
927		-	of Section 250;
928		-	(EE) An amount equal to the income from intangible
929		-	property taken into account for the taxable year (net
930		-	of the deductions allocable thereto) with respect to
931		-	transactions with (i) a foreign person who would be a
932		-	member of the taxpayer's unitary business group but
933		-	for the fact that the foreign person's business
934		-	activity outside the United States is 80% or more of
935		-	that person's total business activity and (ii) for
936		-	taxable years ending on or after December 31, 2008, to
937		-	a person who would be a member of the same unitary
938		-	business group but for the fact that the person is
939		-	prohibited under Section 1501(a)(27) from being
940		-	included in the unitary business group because he or
941		-	she is ordinarily required to apportion business
942		-	income under different subsections of Section 304, but
943		-	not to exceed the addition modification required to be
944		-	made for the same taxable year under Section
945		-	203(a)(2)(D-18) for intangible expenses and costs
946		-
947		-
948		-	paid, accrued, or incurred, directly or indirectly, to
949		-	the same foreign person. This subparagraph (EE) is
950		-	exempt from the provisions of Section 250;
951		-	(FF) An amount equal to any amount awarded to the
952		-	taxpayer during the taxable year by the Court of
953		-	Claims under subsection (c) of Section 8 of the Court
954		-	of Claims Act for time unjustly served in a State
955		-	prison. This subparagraph (FF) is exempt from the
956		-	provisions of Section 250;
957		-	(GG) For taxable years ending on or after December
958		-	31, 2011, in the case of a taxpayer who was required to
959		-	add back any insurance premiums under Section
960		-	203(a)(2)(D-19), such taxpayer may elect to subtract
961		-	that part of a reimbursement received from the
962		-	insurance company equal to the amount of the expense
963		-	or loss (including expenses incurred by the insurance
964		-	company) that would have been taken into account as a
965		-	deduction for federal income tax purposes if the
966		-	expense or loss had been uninsured. If a taxpayer
967		-	makes the election provided for by this subparagraph
968		-	(GG), the insurer to which the premiums were paid must
969		-	add back to income the amount subtracted by the
970		-	taxpayer pursuant to this subparagraph (GG). This
971		-	subparagraph (GG) is exempt from the provisions of
972		-	Section 250;
973		-	(HH) For taxable years beginning on or after
974		-
975		-
976		-	January 1, 2018 and prior to January 1, 2028, a maximum
977		-	of $10,000 contributed in the taxable year to a
978		-	qualified ABLE account under Section 16.6 of the State
979		-	Treasurer Act, except that amounts excluded from gross
980		-	income under Section 529(c)(3)(C)(i) or Section
981		-	529A(c)(1)(C) of the Internal Revenue Code shall not
982		-	be considered moneys contributed under this
983		-	subparagraph (HH). For purposes of this subparagraph
984		-	(HH), contributions made by an employer on behalf of
985		-	an employee, or matching contributions made by an
986		-	employee, shall be treated as made by the employee;
987		-	and
988		-	(II) For taxable years that begin on or after
989		-	January 1, 2021 and begin before January 1, 2026, the
990		-	amount that is included in the taxpayer's federal
991		-	adjusted gross income pursuant to Section 61 of the
992		-	Internal Revenue Code as discharge of indebtedness
993		-	attributable to student loan forgiveness and that is
994		-	not excluded from the taxpayer's federal adjusted
995		-	gross income pursuant to paragraph (5) of subsection
996		-	(f) of Section 108 of the Internal Revenue Code; and .
997		-	(JJ) To the extent includible in gross income for
998		-	federal income tax purposes, any amount awarded or
999		-	paid to the taxpayer as a result of a judgment or
1000		-	settlement for fertility fraud as provided in Section
1001		-	15 of the Illinois Fertility Fraud Act, donor
1002		-
1003		-
1004		-	fertility fraud as provided in Section 20 of the
1005		-	Illinois Fertility Fraud Act, or similar action in
1006		-	another state.
1007		-	(b) Corporations.
1008		-	(1) In general. In the case of a corporation, base
1009		-	income means an amount equal to the taxpayer's taxable
1010		-	income for the taxable year as modified by paragraph (2).
1011		-	(2) Modifications. The taxable income referred to in
1012		-	paragraph (1) shall be modified by adding thereto the sum
1013		-	of the following amounts:
1014		-	(A) An amount equal to all amounts paid or accrued
1015		-	to the taxpayer as interest and all distributions
1016		-	received from regulated investment companies during
1017		-	the taxable year to the extent excluded from gross
1018		-	income in the computation of taxable income;
1019		-	(B) An amount equal to the amount of tax imposed by
1020		-	this Act to the extent deducted from gross income in
1021		-	the computation of taxable income for the taxable
1022		-	year;
1023		-	(C) In the case of a regulated investment company,
1024		-	an amount equal to the excess of (i) the net long-term
1025		-	capital gain for the taxable year, over (ii) the
1026		-	amount of the capital gain dividends designated as
1027		-	such in accordance with Section 852(b)(3)(C) of the
1028		-	Internal Revenue Code and any amount designated under
1029		-
1030		-
1031		-	Section 852(b)(3)(D) of the Internal Revenue Code,
1032		-	attributable to the taxable year (this amendatory Act
1033		-	of 1995 (Public Act 89-89) is declarative of existing
1034		-	law and is not a new enactment);
1035		-	(D) The amount of any net operating loss deduction
1036		-	taken in arriving at taxable income, other than a net
1037		-	operating loss carried forward from a taxable year
1038		-	ending prior to December 31, 1986;
1039		-	(E) For taxable years in which a net operating
1040		-	loss carryback or carryforward from a taxable year
1041		-	ending prior to December 31, 1986 is an element of
1042		-	taxable income under paragraph (1) of subsection (e)
1043		-	or subparagraph (E) of paragraph (2) of subsection
1044		-	(e), the amount by which addition modifications other
1045		-	than those provided by this subparagraph (E) exceeded
1046		-	subtraction modifications in such earlier taxable
1047		-	year, with the following limitations applied in the
1048		-	order that they are listed:
1049		-	(i) the addition modification relating to the
1050		-	net operating loss carried back or forward to the
1051		-	taxable year from any taxable year ending prior to
1052		-	December 31, 1986 shall be reduced by the amount
1053		-	of addition modification under this subparagraph
1054		-	(E) which related to that net operating loss and
1055		-	which was taken into account in calculating the
1056		-	base income of an earlier taxable year, and
1057		-
1058		-
1059		-	(ii) the addition modification relating to the
1060		-	net operating loss carried back or forward to the
1061		-	taxable year from any taxable year ending prior to
1062		-	December 31, 1986 shall not exceed the amount of
1063		-	such carryback or carryforward;
1064		-	For taxable years in which there is a net
1065		-	operating loss carryback or carryforward from more
1066		-	than one other taxable year ending prior to December
1067		-	31, 1986, the addition modification provided in this
1068		-	subparagraph (E) shall be the sum of the amounts
1069		-	computed independently under the preceding provisions
1070		-	of this subparagraph (E) for each such taxable year;
1071		-	(E-5) For taxable years ending after December 31,
1072		-	1997, an amount equal to any eligible remediation
1073		-	costs that the corporation deducted in computing
1074		-	adjusted gross income and for which the corporation
1075		-	claims a credit under subsection (l) of Section 201;
1076		-	(E-10) For taxable years 2001 and thereafter, an
1077		-	amount equal to the bonus depreciation deduction taken
1078		-	on the taxpayer's federal income tax return for the
1079		-	taxable year under subsection (k) of Section 168 of
1080		-	the Internal Revenue Code;
1081		-	(E-11) If the taxpayer sells, transfers, abandons,
1082		-	or otherwise disposes of property for which the
1083		-	taxpayer was required in any taxable year to make an
1084		-	addition modification under subparagraph (E-10), then
1085		-
1086		-
1087		-	an amount equal to the aggregate amount of the
1088		-	deductions taken in all taxable years under
1089		-	subparagraph (T) with respect to that property.
1090		-	If the taxpayer continues to own property through
1091		-	the last day of the last tax year for which a
1092		-	subtraction is allowed with respect to that property
1093		-	under subparagraph (T) and for which the taxpayer was
1094		-	allowed in any taxable year to make a subtraction
1095		-	modification under subparagraph (T), then an amount
1096		-	equal to that subtraction modification.
1097		-	The taxpayer is required to make the addition
1098		-	modification under this subparagraph only once with
1099		-	respect to any one piece of property;
1100		-	(E-12) An amount equal to the amount otherwise
1101		-	allowed as a deduction in computing base income for
1102		-	interest paid, accrued, or incurred, directly or
1103		-	indirectly, (i) for taxable years ending on or after
1104		-	December 31, 2004, to a foreign person who would be a
1105		-	member of the same unitary business group but for the
1106		-	fact the foreign person's business activity outside
1107		-	the United States is 80% or more of the foreign
1108		-	person's total business activity and (ii) for taxable
1109		-	years ending on or after December 31, 2008, to a person
1110		-	who would be a member of the same unitary business
1111		-	group but for the fact that the person is prohibited
1112		-	under Section 1501(a)(27) from being included in the
1113		-
1114		-
1115		-	unitary business group because he or she is ordinarily
1116		-	required to apportion business income under different
1117		-	subsections of Section 304. The addition modification
1118		-	required by this subparagraph shall be reduced to the
1119		-	extent that dividends were included in base income of
1120		-	the unitary group for the same taxable year and
1121		-	received by the taxpayer or by a member of the
1122		-	taxpayer's unitary business group (including amounts
1123		-	included in gross income pursuant to Sections 951
1124		-	through 964 of the Internal Revenue Code and amounts
1125		-	included in gross income under Section 78 of the
1126		-	Internal Revenue Code) with respect to the stock of
1127		-	the same person to whom the interest was paid,
1128		-	accrued, or incurred.
1129		-	This paragraph shall not apply to the following:
1130		-	(i) an item of interest paid, accrued, or
1131		-	incurred, directly or indirectly, to a person who
1132		-	is subject in a foreign country or state, other
1133		-	than a state which requires mandatory unitary
1134		-	reporting, to a tax on or measured by net income
1135		-	with respect to such interest; or
1136		-	(ii) an item of interest paid, accrued, or
1137		-	incurred, directly or indirectly, to a person if
1138		-	the taxpayer can establish, based on a
1139		-	preponderance of the evidence, both of the
1140		-	following:
1141		-
1142		-
1143		-	(a) the person, during the same taxable
1144		-	year, paid, accrued, or incurred, the interest
1145		-	to a person that is not a related member, and
1146		-	(b) the transaction giving rise to the
1147		-	interest expense between the taxpayer and the
1148		-	person did not have as a principal purpose the
1149		-	avoidance of Illinois income tax, and is paid
1150		-	pursuant to a contract or agreement that
1151		-	reflects an arm's-length interest rate and
1152		-	terms; or
1153		-	(iii) the taxpayer can establish, based on
1154		-	clear and convincing evidence, that the interest
1155		-	paid, accrued, or incurred relates to a contract
1156		-	or agreement entered into at arm's-length rates
1157		-	and terms and the principal purpose for the
1158		-	payment is not federal or Illinois tax avoidance;
1159		-	or
1160		-	(iv) an item of interest paid, accrued, or
1161		-	incurred, directly or indirectly, to a person if
1162		-	the taxpayer establishes by clear and convincing
1163		-	evidence that the adjustments are unreasonable; or
1164		-	if the taxpayer and the Director agree in writing
1165		-	to the application or use of an alternative method
1166		-	of apportionment under Section 304(f).
1167		-	Nothing in this subsection shall preclude the
1168		-	Director from making any other adjustment
1169		-
1170		-
1171		-	otherwise allowed under Section 404 of this Act
1172		-	for any tax year beginning after the effective
1173		-	date of this amendment provided such adjustment is
1174		-	made pursuant to regulation adopted by the
1175		-	Department and such regulations provide methods
1176		-	and standards by which the Department will utilize
1177		-	its authority under Section 404 of this Act;
1178		-	(E-13) An amount equal to the amount of intangible
1179		-	expenses and costs otherwise allowed as a deduction in
1180		-	computing base income, and that were paid, accrued, or
1181		-	incurred, directly or indirectly, (i) for taxable
1182		-	years ending on or after December 31, 2004, to a
1183		-	foreign person who would be a member of the same
1184		-	unitary business group but for the fact that the
1185		-	foreign person's business activity outside the United
1186		-	States is 80% or more of that person's total business
1187		-	activity and (ii) for taxable years ending on or after
1188		-	December 31, 2008, to a person who would be a member of
1189		-	the same unitary business group but for the fact that
1190		-	the person is prohibited under Section 1501(a)(27)
1191		-	from being included in the unitary business group
1192		-	because he or she is ordinarily required to apportion
1193		-	business income under different subsections of Section
1194		-	304. The addition modification required by this
1195		-	subparagraph shall be reduced to the extent that
1196		-	dividends were included in base income of the unitary
1197		-
1198		-
1199		-	group for the same taxable year and received by the
1200		-	taxpayer or by a member of the taxpayer's unitary
1201		-	business group (including amounts included in gross
1202		-	income pursuant to Sections 951 through 964 of the
1203		-	Internal Revenue Code and amounts included in gross
1204		-	income under Section 78 of the Internal Revenue Code)
1205		-	with respect to the stock of the same person to whom
1206		-	the intangible expenses and costs were directly or
1207		-	indirectly paid, incurred, or accrued. The preceding
1208		-	sentence shall not apply to the extent that the same
1209		-	dividends caused a reduction to the addition
1210		-	modification required under Section 203(b)(2)(E-12) of
1211		-	this Act. As used in this subparagraph, the term
1212		-	"intangible expenses and costs" includes (1) expenses,
1213		-	losses, and costs for, or related to, the direct or
1214		-	indirect acquisition, use, maintenance or management,
1215		-	ownership, sale, exchange, or any other disposition of
1216		-	intangible property; (2) losses incurred, directly or
1217		-	indirectly, from factoring transactions or discounting
1218		-	transactions; (3) royalty, patent, technical, and
1219		-	copyright fees; (4) licensing fees; and (5) other
1220		-	similar expenses and costs. For purposes of this
1221		-	subparagraph, "intangible property" includes patents,
1222		-	patent applications, trade names, trademarks, service
1223		-	marks, copyrights, mask works, trade secrets, and
1224		-	similar types of intangible assets.
1225		-
1226		-
1227		-	This paragraph shall not apply to the following:
1228		-	(i) any item of intangible expenses or costs
1229		-	paid, accrued, or incurred, directly or
1230		-	indirectly, from a transaction with a person who
1231		-	is subject in a foreign country or state, other
1232		-	than a state which requires mandatory unitary
1233		-	reporting, to a tax on or measured by net income
1234		-	with respect to such item; or
1235		-	(ii) any item of intangible expense or cost
1236		-	paid, accrued, or incurred, directly or
1237		-	indirectly, if the taxpayer can establish, based
1238		-	on a preponderance of the evidence, both of the
1239		-	following:
1240		-	(a) the person during the same taxable
1241		-	year paid, accrued, or incurred, the
1242		-	intangible expense or cost to a person that is
1243		-	not a related member, and
1244		-	(b) the transaction giving rise to the
1245		-	intangible expense or cost between the
1246		-	taxpayer and the person did not have as a
1247		-	principal purpose the avoidance of Illinois
1248		-	income tax, and is paid pursuant to a contract
1249		-	or agreement that reflects arm's-length terms;
1250		-	or
1251		-	(iii) any item of intangible expense or cost
1252		-	paid, accrued, or incurred, directly or
1253		-
1254		-
1255		-	indirectly, from a transaction with a person if
1256		-	the taxpayer establishes by clear and convincing
1257		-	evidence, that the adjustments are unreasonable;
1258		-	or if the taxpayer and the Director agree in
1259		-	writing to the application or use of an
1260		-	alternative method of apportionment under Section
1261		-	304(f);
1262		-	Nothing in this subsection shall preclude the
1263		-	Director from making any other adjustment
1264		-	otherwise allowed under Section 404 of this Act
1265		-	for any tax year beginning after the effective
1266		-	date of this amendment provided such adjustment is
1267		-	made pursuant to regulation adopted by the
1268		-	Department and such regulations provide methods
1269		-	and standards by which the Department will utilize
1270		-	its authority under Section 404 of this Act;
1271		-	(E-14) For taxable years ending on or after
1272		-	December 31, 2008, an amount equal to the amount of
1273		-	insurance premium expenses and costs otherwise allowed
1274		-	as a deduction in computing base income, and that were
1275		-	paid, accrued, or incurred, directly or indirectly, to
1276		-	a person who would be a member of the same unitary
1277		-	business group but for the fact that the person is
1278		-	prohibited under Section 1501(a)(27) from being
1279		-	included in the unitary business group because he or
1280		-	she is ordinarily required to apportion business
1281		-
1282		-
1283		-	income under different subsections of Section 304. The
1284		-	addition modification required by this subparagraph
1285		-	shall be reduced to the extent that dividends were
1286		-	included in base income of the unitary group for the
1287		-	same taxable year and received by the taxpayer or by a
1288		-	member of the taxpayer's unitary business group
1289		-	(including amounts included in gross income under
1290		-	Sections 951 through 964 of the Internal Revenue Code
1291		-	and amounts included in gross income under Section 78
1292		-	of the Internal Revenue Code) with respect to the
1293		-	stock of the same person to whom the premiums and costs
1294		-	were directly or indirectly paid, incurred, or
1295		-	accrued. The preceding sentence does not apply to the
1296		-	extent that the same dividends caused a reduction to
1297		-	the addition modification required under Section
1298		-	203(b)(2)(E-12) or Section 203(b)(2)(E-13) of this
1299		-	Act;
1300		-	(E-15) For taxable years beginning after December
1301		-	31, 2008, any deduction for dividends paid by a
1302		-	captive real estate investment trust that is allowed
1303		-	to a real estate investment trust under Section
1304		-	857(b)(2)(B) of the Internal Revenue Code for
1305		-	dividends paid;
1306		-	(E-16) An amount equal to the credit allowable to
1307		-	the taxpayer under Section 218(a) of this Act,
1308		-	determined without regard to Section 218(c) of this
1309		-
1310		-
1311		-	Act;
1312		-	(E-17) For taxable years ending on or after
1313		-	December 31, 2017, an amount equal to the deduction
1314		-	allowed under Section 199 of the Internal Revenue Code
1315		-	for the taxable year;
1316		-	(E-18) for taxable years beginning after December
1317		-	31, 2018, an amount equal to the deduction allowed
1318		-	under Section 250(a)(1)(A) of the Internal Revenue
1319		-	Code for the taxable year;
1320		-	(E-19) for taxable years ending on or after June
1321		-	30, 2021, an amount equal to the deduction allowed
1322		-	under Section 250(a)(1)(B)(i) of the Internal Revenue
1323		-	Code for the taxable year;
1324		-	(E-20) for taxable years ending on or after June
1325		-	30, 2021, an amount equal to the deduction allowed
1326		-	under Sections 243(e) and 245A(a) of the Internal
1327		-	Revenue Code for the taxable year.
1328		-	and by deducting from the total so obtained the sum of the
1329		-	following amounts:
1330		-	(F) An amount equal to the amount of any tax
1331		-	imposed by this Act which was refunded to the taxpayer
1332		-	and included in such total for the taxable year;
1333		-	(G) An amount equal to any amount included in such
1334		-	total under Section 78 of the Internal Revenue Code;
1335		-	(H) In the case of a regulated investment company,
1336		-	an amount equal to the amount of exempt interest
1337		-
1338		-
1339		-	dividends as defined in subsection (b)(5) of Section
1340		-	852 of the Internal Revenue Code, paid to shareholders
1341		-	for the taxable year;
1342		-	(I) With the exception of any amounts subtracted
1343		-	under subparagraph (J), an amount equal to the sum of
1344		-	all amounts disallowed as deductions by (i) Sections
1345		-	171(a)(2) and 265(a)(2) and amounts disallowed as
1346		-	interest expense by Section 291(a)(3) of the Internal
1347		-	Revenue Code, and all amounts of expenses allocable to
1348		-	interest and disallowed as deductions by Section
1349		-	265(a)(1) of the Internal Revenue Code; and (ii) for
1350		-	taxable years ending on or after August 13, 1999,
1351		-	Sections 171(a)(2), 265, 280C, 291(a)(3), and
1352		-	832(b)(5)(B)(i) of the Internal Revenue Code, plus,
1353		-	for tax years ending on or after December 31, 2011,
1354		-	amounts disallowed as deductions by Section 45G(e)(3)
1355		-	of the Internal Revenue Code and, for taxable years
1356		-	ending on or after December 31, 2008, any amount
1357		-	included in gross income under Section 87 of the
1358		-	Internal Revenue Code and the policyholders' share of
1359		-	tax-exempt interest of a life insurance company under
1360		-	Section 807(a)(2)(B) of the Internal Revenue Code (in
1361		-	the case of a life insurance company with gross income
1362		-	from a decrease in reserves for the tax year) or
1363		-	Section 807(b)(1)(B) of the Internal Revenue Code (in
1364		-	the case of a life insurance company allowed a
1365		-
1366		-
1367		-	deduction for an increase in reserves for the tax
1368		-	year); the provisions of this subparagraph are exempt
1369		-	from the provisions of Section 250;
1370		-	(J) An amount equal to all amounts included in
1371		-	such total which are exempt from taxation by this
1372		-	State either by reason of its statutes or Constitution
1373		-	or by reason of the Constitution, treaties or statutes
1374		-	of the United States; provided that, in the case of any
1375		-	statute of this State that exempts income derived from
1376		-	bonds or other obligations from the tax imposed under
1377		-	this Act, the amount exempted shall be the interest
1378		-	net of bond premium amortization;
1379		-	(K) An amount equal to those dividends included in
1380		-	such total which were paid by a corporation which
1381		-	conducts business operations in a River Edge
1382		-	Redevelopment Zone or zones created under the River
1383		-	Edge Redevelopment Zone Act and conducts substantially
1384		-	all of its operations in a River Edge Redevelopment
1385		-	Zone or zones. This subparagraph (K) is exempt from
1386		-	the provisions of Section 250;
1387		-	(L) An amount equal to those dividends included in
1388		-	such total that were paid by a corporation that
1389		-	conducts business operations in a federally designated
1390		-	Foreign Trade Zone or Sub-Zone and that is designated
1391		-	a High Impact Business located in Illinois; provided
1392		-	that dividends eligible for the deduction provided in
1393		-
1394		-
1395		-	subparagraph (K) of paragraph 2 of this subsection
1396		-	shall not be eligible for the deduction provided under
1397		-	this subparagraph (L);
1398		-	(M) For any taxpayer that is a financial
1399		-	organization within the meaning of Section 304(c) of
1400		-	this Act, an amount included in such total as interest
1401		-	income from a loan or loans made by such taxpayer to a
1402		-	borrower, to the extent that such a loan is secured by
1403		-	property which is eligible for the River Edge
1404		-	Redevelopment Zone Investment Credit. To determine the
1405		-	portion of a loan or loans that is secured by property
1406		-	eligible for a Section 201(f) investment credit to the
1407		-	borrower, the entire principal amount of the loan or
1408		-	loans between the taxpayer and the borrower should be
1409		-	divided into the basis of the Section 201(f)
1410		-	investment credit property which secures the loan or
1411		-	loans, using for this purpose the original basis of
1412		-	such property on the date that it was placed in service
1413		-	in the River Edge Redevelopment Zone. The subtraction
1414		-	modification available to the taxpayer in any year
1415		-	under this subsection shall be that portion of the
1416		-	total interest paid by the borrower with respect to
1417		-	such loan attributable to the eligible property as
1418		-	calculated under the previous sentence. This
1419		-	subparagraph (M) is exempt from the provisions of
1420		-	Section 250;
1421		-
1422		-
1423		-	(M-1) For any taxpayer that is a financial
1424		-	organization within the meaning of Section 304(c) of
1425		-	this Act, an amount included in such total as interest
1426		-	income from a loan or loans made by such taxpayer to a
1427		-	borrower, to the extent that such a loan is secured by
1428		-	property which is eligible for the High Impact
1429		-	Business Investment Credit. To determine the portion
1430		-	of a loan or loans that is secured by property eligible
1431		-	for a Section 201(h) investment credit to the
1432		-	borrower, the entire principal amount of the loan or
1433		-	loans between the taxpayer and the borrower should be
1434		-	divided into the basis of the Section 201(h)
1435		-	investment credit property which secures the loan or
1436		-	loans, using for this purpose the original basis of
1437		-	such property on the date that it was placed in service
1438		-	in a federally designated Foreign Trade Zone or
1439		-	Sub-Zone located in Illinois. No taxpayer that is
1440		-	eligible for the deduction provided in subparagraph
1441		-	(M) of paragraph (2) of this subsection shall be
1442		-	eligible for the deduction provided under this
1443		-	subparagraph (M-1). The subtraction modification
1444		-	available to taxpayers in any year under this
1445		-	subsection shall be that portion of the total interest
1446		-	paid by the borrower with respect to such loan
1447		-	attributable to the eligible property as calculated
1448		-	under the previous sentence;
1449		-
1450		-
1451		-	(N) Two times any contribution made during the
1452		-	taxable year to a designated zone organization to the
1453		-	extent that the contribution (i) qualifies as a
1454		-	charitable contribution under subsection (c) of
1455		-	Section 170 of the Internal Revenue Code and (ii)
1456		-	must, by its terms, be used for a project approved by
1457		-	the Department of Commerce and Economic Opportunity
1458		-	under Section 11 of the Illinois Enterprise Zone Act
1459		-	or under Section 10-10 of the River Edge Redevelopment
1460		-	Zone Act. This subparagraph (N) is exempt from the
1461		-	provisions of Section 250;
1462		-	(O) An amount equal to: (i) 85% for taxable years
1463		-	ending on or before December 31, 1992, or, a
1464		-	percentage equal to the percentage allowable under
1465		-	Section 243(a)(1) of the Internal Revenue Code of 1986
1466		-	for taxable years ending after December 31, 1992, of
1467		-	the amount by which dividends included in taxable
1468		-	income and received from a corporation that is not
1469		-	created or organized under the laws of the United
1470		-	States or any state or political subdivision thereof,
1471		-	including, for taxable years ending on or after
1472		-	December 31, 1988, dividends received or deemed
1473		-	received or paid or deemed paid under Sections 951
1474		-	through 965 of the Internal Revenue Code, exceed the
1475		-	amount of the modification provided under subparagraph
1476		-	(G) of paragraph (2) of this subsection (b) which is
1477		-
1478		-
1479		-	related to such dividends, and including, for taxable
1480		-	years ending on or after December 31, 2008, dividends
1481		-	received from a captive real estate investment trust;
1482		-	plus (ii) 100% of the amount by which dividends,
1483		-	included in taxable income and received, including,
1484		-	for taxable years ending on or after December 31,
1485		-	1988, dividends received or deemed received or paid or
1486		-	deemed paid under Sections 951 through 964 of the
1487		-	Internal Revenue Code and including, for taxable years
1488		-	ending on or after December 31, 2008, dividends
1489		-	received from a captive real estate investment trust,
1490		-	from any such corporation specified in clause (i) that
1491		-	would but for the provisions of Section 1504(b)(3) of
1492		-	the Internal Revenue Code be treated as a member of the
1493		-	affiliated group which includes the dividend
1494		-	recipient, exceed the amount of the modification
1495		-	provided under subparagraph (G) of paragraph (2) of
1496		-	this subsection (b) which is related to such
1497		-	dividends. For taxable years ending on or after June
1498		-	30, 2021, (i) for purposes of this subparagraph, the
1499		-	term "dividend" does not include any amount treated as
1500		-	a dividend under Section 1248 of the Internal Revenue
1501		-	Code, and (ii) this subparagraph shall not apply to
1502		-	dividends for which a deduction is allowed under
1503		-	Section 245(a) of the Internal Revenue Code. This
1504		-	subparagraph (O) is exempt from the provisions of
1505		-
1506		-
1507		-	Section 250 of this Act;
1508		-	(P) An amount equal to any contribution made to a
1509		-	job training project established pursuant to the Tax
1510		-	Increment Allocation Redevelopment Act;
1511		-	(Q) An amount equal to the amount of the deduction
1512		-	used to compute the federal income tax credit for
1513		-	restoration of substantial amounts held under claim of
1514		-	right for the taxable year pursuant to Section 1341 of
1515		-	the Internal Revenue Code;
1516		-	(R) On and after July 20, 1999, in the case of an
1517		-	attorney-in-fact with respect to whom an interinsurer
1518		-	or a reciprocal insurer has made the election under
1519		-	Section 835 of the Internal Revenue Code, 26 U.S.C.
1520		-	835, an amount equal to the excess, if any, of the
1521		-	amounts paid or incurred by that interinsurer or
1522		-	reciprocal insurer in the taxable year to the
1523		-	attorney-in-fact over the deduction allowed to that
1524		-	interinsurer or reciprocal insurer with respect to the
1525		-	attorney-in-fact under Section 835(b) of the Internal
1526		-	Revenue Code for the taxable year; the provisions of
1527		-	this subparagraph are exempt from the provisions of
1528		-	Section 250;
1529		-	(S) For taxable years ending on or after December
1530		-	31, 1997, in the case of a Subchapter S corporation, an
1531		-	amount equal to all amounts of income allocable to a
1532		-	shareholder subject to the Personal Property Tax
1533		-
1534		-
1535		-	Replacement Income Tax imposed by subsections (c) and
1536		-	(d) of Section 201 of this Act, including amounts
1537		-	allocable to organizations exempt from federal income
1538		-	tax by reason of Section 501(a) of the Internal
1539		-	Revenue Code. This subparagraph (S) is exempt from the
1540		-	provisions of Section 250;
1541		-	(T) For taxable years 2001 and thereafter, for the
1542		-	taxable year in which the bonus depreciation deduction
1543		-	is taken on the taxpayer's federal income tax return
1544		-	under subsection (k) of Section 168 of the Internal
1545		-	Revenue Code and for each applicable taxable year
1546		-	thereafter, an amount equal to "x", where:
1547		-	(1) "y" equals the amount of the depreciation
1548		-	deduction taken for the taxable year on the
1549		-	taxpayer's federal income tax return on property
1550		-	for which the bonus depreciation deduction was
1551		-	taken in any year under subsection (k) of Section
1552		-	168 of the Internal Revenue Code, but not
1553		-	including the bonus depreciation deduction;
1554		-	(2) for taxable years ending on or before
1555		-	December 31, 2005, "x" equals "y" multiplied by 30
1556		-	and then divided by 70 (or "y" multiplied by
1557		-	0.429); and
1558		-	(3) for taxable years ending after December
1559		-	31, 2005:
1560		-	(i) for property on which a bonus
1561		-
1562		-
1563		-	depreciation deduction of 30% of the adjusted
1564		-	basis was taken, "x" equals "y" multiplied by
1565		-	30 and then divided by 70 (or "y" multiplied
1566		-	by 0.429);
1567		-	(ii) for property on which a bonus
1568		-	depreciation deduction of 50% of the adjusted
1569		-	basis was taken, "x" equals "y" multiplied by
1570		-	1.0;
1571		-	(iii) for property on which a bonus
1572		-	depreciation deduction of 100% of the adjusted
1573		-	basis was taken in a taxable year ending on or
1574		-	after December 31, 2021, "x" equals the
1575		-	depreciation deduction that would be allowed
1576		-	on that property if the taxpayer had made the
1577		-	election under Section 168(k)(7) of the
1578		-	Internal Revenue Code to not claim bonus
1579		-	depreciation on that property; and
1580		-	(iv) for property on which a bonus
1581		-	depreciation deduction of a percentage other
1582		-	than 30%, 50% or 100% of the adjusted basis
1583		-	was taken in a taxable year ending on or after
1584		-	December 31, 2021, "x" equals "y" multiplied
1585		-	by 100 times the percentage bonus depreciation
1586		-	on the property (that is, 100(bonus%)) and
1587		-	then divided by 100 times 1 minus the
1588		-	percentage bonus depreciation on the property
1589		-
1590		-
1591		-	(that is, 100(1bonus%)).
1592		-	The aggregate amount deducted under this
1593		-	subparagraph in all taxable years for any one piece of
1594		-	property may not exceed the amount of the bonus
1595		-	depreciation deduction taken on that property on the
1596		-	taxpayer's federal income tax return under subsection
1597		-	(k) of Section 168 of the Internal Revenue Code. This
1598		-	subparagraph (T) is exempt from the provisions of
1599		-	Section 250;
1600		-	(U) If the taxpayer sells, transfers, abandons, or
1601		-	otherwise disposes of property for which the taxpayer
1602		-	was required in any taxable year to make an addition
1603		-	modification under subparagraph (E-10), then an amount
1604		-	equal to that addition modification.
1605		-	If the taxpayer continues to own property through
1606		-	the last day of the last tax year for which a
1607		-	subtraction is allowed with respect to that property
1608		-	under subparagraph (T) and for which the taxpayer was
1609		-	required in any taxable year to make an addition
1610		-	modification under subparagraph (E-10), then an amount
1611		-	equal to that addition modification.
1612		-	The taxpayer is allowed to take the deduction
1613		-	under this subparagraph only once with respect to any
1614		-	one piece of property.
1615		-	This subparagraph (U) is exempt from the
1616		-	provisions of Section 250;
1617		-
1618		-
1619		-	(V) The amount of: (i) any interest income (net of
1620		-	the deductions allocable thereto) taken into account
1621		-	for the taxable year with respect to a transaction
1622		-	with a taxpayer that is required to make an addition
1623		-	modification with respect to such transaction under
1624		-	Section 203(a)(2)(D-17), 203(b)(2)(E-12),
1625		-	203(c)(2)(G-12), or 203(d)(2)(D-7), but not to exceed
1626		-	the amount of such addition modification, (ii) any
1627		-	income from intangible property (net of the deductions
1628		-	allocable thereto) taken into account for the taxable
1629		-	year with respect to a transaction with a taxpayer
1630		-	that is required to make an addition modification with
1631		-	respect to such transaction under Section
1632		-	203(a)(2)(D-18), 203(b)(2)(E-13), 203(c)(2)(G-13), or
1633		-	203(d)(2)(D-8), but not to exceed the amount of such
1634		-	addition modification, and (iii) any insurance premium
1635		-	income (net of deductions allocable thereto) taken
1636		-	into account for the taxable year with respect to a
1637		-	transaction with a taxpayer that is required to make
1638		-	an addition modification with respect to such
1639		-	transaction under Section 203(a)(2)(D-19), Section
1640		-	203(b)(2)(E-14), Section 203(c)(2)(G-14), or Section
1641		-	203(d)(2)(D-9), but not to exceed the amount of that
1642		-	addition modification. This subparagraph (V) is exempt
1643		-	from the provisions of Section 250;
1644		-	(W) An amount equal to the interest income taken
1645		-
1646		-
1647		-	into account for the taxable year (net of the
1648		-	deductions allocable thereto) with respect to
1649		-	transactions with (i) a foreign person who would be a
1650		-	member of the taxpayer's unitary business group but
1651		-	for the fact that the foreign person's business
1652		-	activity outside the United States is 80% or more of
1653		-	that person's total business activity and (ii) for
1654		-	taxable years ending on or after December 31, 2008, to
1655		-	a person who would be a member of the same unitary
1656		-	business group but for the fact that the person is
1657		-	prohibited under Section 1501(a)(27) from being
1658		-	included in the unitary business group because he or
1659		-	she is ordinarily required to apportion business
1660		-	income under different subsections of Section 304, but
1661		-	not to exceed the addition modification required to be
1662		-	made for the same taxable year under Section
1663		-	203(b)(2)(E-12) for interest paid, accrued, or
1664		-	incurred, directly or indirectly, to the same person.
1665		-	This subparagraph (W) is exempt from the provisions of
1666		-	Section 250;
1667		-	(X) An amount equal to the income from intangible
1668		-	property taken into account for the taxable year (net
1669		-	of the deductions allocable thereto) with respect to
1670		-	transactions with (i) a foreign person who would be a
1671		-	member of the taxpayer's unitary business group but
1672		-	for the fact that the foreign person's business
1673		-
1674		-
1675		-	activity outside the United States is 80% or more of
1676		-	that person's total business activity and (ii) for
1677		-	taxable years ending on or after December 31, 2008, to
1678		-	a person who would be a member of the same unitary
1679		-	business group but for the fact that the person is
1680		-	prohibited under Section 1501(a)(27) from being
1681		-	included in the unitary business group because he or
1682		-	she is ordinarily required to apportion business
1683		-	income under different subsections of Section 304, but
1684		-	not to exceed the addition modification required to be
1685		-	made for the same taxable year under Section
1686		-	203(b)(2)(E-13) for intangible expenses and costs
1687		-	paid, accrued, or incurred, directly or indirectly, to
1688		-	the same foreign person. This subparagraph (X) is
1689		-	exempt from the provisions of Section 250;
1690		-	(Y) For taxable years ending on or after December
1691		-	31, 2011, in the case of a taxpayer who was required to
1692		-	add back any insurance premiums under Section
1693		-	203(b)(2)(E-14), such taxpayer may elect to subtract
1694		-	that part of a reimbursement received from the
1695		-	insurance company equal to the amount of the expense
1696		-	or loss (including expenses incurred by the insurance
1697		-	company) that would have been taken into account as a
1698		-	deduction for federal income tax purposes if the
1699		-	expense or loss had been uninsured. If a taxpayer
1700		-	makes the election provided for by this subparagraph
1701		-
1702		-
1703		-	(Y), the insurer to which the premiums were paid must
1704		-	add back to income the amount subtracted by the
1705		-	taxpayer pursuant to this subparagraph (Y). This
1706		-	subparagraph (Y) is exempt from the provisions of
1707		-	Section 250; and
1708		-	(Z) The difference between the nondeductible
1709		-	controlled foreign corporation dividends under Section
1710		-	965(e)(3) of the Internal Revenue Code over the
1711		-	taxable income of the taxpayer, computed without
1712		-	regard to Section 965(e)(2)(A) of the Internal Revenue
1713		-	Code, and without regard to any net operating loss
1714		-	deduction. This subparagraph (Z) is exempt from the
1715		-	provisions of Section 250.
1716		-	(3) Special rule. For purposes of paragraph (2)(A),
1717		-	"gross income" in the case of a life insurance company,
1718		-	for tax years ending on and after December 31, 1994, and
1719		-	prior to December 31, 2011, shall mean the gross
1720		-	investment income for the taxable year and, for tax years
1721		-	ending on or after December 31, 2011, shall mean all
1722		-	amounts included in life insurance gross income under
1723		-	Section 803(a)(3) of the Internal Revenue Code.
1724		-	(c) Trusts and estates.
1725		-	(1) In general. In the case of a trust or estate, base
1726		-	income means an amount equal to the taxpayer's taxable
1727		-	income for the taxable year as modified by paragraph (2).
1728		-
1729		-
1730		-	(2) Modifications. Subject to the provisions of
1731		-	paragraph (3), the taxable income referred to in paragraph
1732		-	(1) shall be modified by adding thereto the sum of the
1733		-	following amounts:
1734		-	(A) An amount equal to all amounts paid or accrued
1735		-	to the taxpayer as interest or dividends during the
1736		-	taxable year to the extent excluded from gross income
1737		-	in the computation of taxable income;
1738		-	(B) In the case of (i) an estate, $600; (ii) a
1739		-	trust which, under its governing instrument, is
1740		-	required to distribute all of its income currently,
1741		-	$300; and (iii) any other trust, $100, but in each such
1742		-	case, only to the extent such amount was deducted in
1743		-	the computation of taxable income;
1744		-	(C) An amount equal to the amount of tax imposed by
1745		-	this Act to the extent deducted from gross income in
1746		-	the computation of taxable income for the taxable
1747		-	year;
1748		-	(D) The amount of any net operating loss deduction
1749		-	taken in arriving at taxable income, other than a net
1750		-	operating loss carried forward from a taxable year
1751		-	ending prior to December 31, 1986;
1752		-	(E) For taxable years in which a net operating
1753		-	loss carryback or carryforward from a taxable year
1754		-	ending prior to December 31, 1986 is an element of
1755		-	taxable income under paragraph (1) of subsection (e)
1756		-
1757		-
1758		-	or subparagraph (E) of paragraph (2) of subsection
1759		-	(e), the amount by which addition modifications other
1760		-	than those provided by this subparagraph (E) exceeded
1761		-	subtraction modifications in such taxable year, with
1762		-	the following limitations applied in the order that
1763		-	they are listed:
1764		-	(i) the addition modification relating to the
1765		-	net operating loss carried back or forward to the
1766		-	taxable year from any taxable year ending prior to
1767		-	December 31, 1986 shall be reduced by the amount
1768		-	of addition modification under this subparagraph
1769		-	(E) which related to that net operating loss and
1770		-	which was taken into account in calculating the
1771		-	base income of an earlier taxable year, and
1772		-	(ii) the addition modification relating to the
1773		-	net operating loss carried back or forward to the
1774		-	taxable year from any taxable year ending prior to
1775		-	December 31, 1986 shall not exceed the amount of
1776		-	such carryback or carryforward;
1777		-	For taxable years in which there is a net
1778		-	operating loss carryback or carryforward from more
1779		-	than one other taxable year ending prior to December
1780		-	31, 1986, the addition modification provided in this
1781		-	subparagraph (E) shall be the sum of the amounts
1782		-	computed independently under the preceding provisions
1783		-	of this subparagraph (E) for each such taxable year;
1784		-
1785		-
1786		-	(F) For taxable years ending on or after January
1787		-	1, 1989, an amount equal to the tax deducted pursuant
1788		-	to Section 164 of the Internal Revenue Code if the
1789		-	trust or estate is claiming the same tax for purposes
1790		-	of the Illinois foreign tax credit under Section 601
1791		-	of this Act;
1792		-	(G) An amount equal to the amount of the capital
1793		-	gain deduction allowable under the Internal Revenue
1794		-	Code, to the extent deducted from gross income in the
1795		-	computation of taxable income;
1796		-	(G-5) For taxable years ending after December 31,
1797		-	1997, an amount equal to any eligible remediation
1798		-	costs that the trust or estate deducted in computing
1799		-	adjusted gross income and for which the trust or
1800		-	estate claims a credit under subsection (l) of Section
1801		-	201;
1802		-	(G-10) For taxable years 2001 and thereafter, an
1803		-	amount equal to the bonus depreciation deduction taken
1804		-	on the taxpayer's federal income tax return for the
1805		-	taxable year under subsection (k) of Section 168 of
1806		-	the Internal Revenue Code; and
1807		-	(G-11) If the taxpayer sells, transfers, abandons,
1808		-	or otherwise disposes of property for which the
1809		-	taxpayer was required in any taxable year to make an
1810		-	addition modification under subparagraph (G-10), then
1811		-	an amount equal to the aggregate amount of the
1812		-
1813		-
1814		-	deductions taken in all taxable years under
1815		-	subparagraph (R) with respect to that property.
1816		-	If the taxpayer continues to own property through
1817		-	the last day of the last tax year for which a
1818		-	subtraction is allowed with respect to that property
1819		-	under subparagraph (R) and for which the taxpayer was
1820		-	allowed in any taxable year to make a subtraction
1821		-	modification under subparagraph (R), then an amount
1822		-	equal to that subtraction modification.
1823		-	The taxpayer is required to make the addition
1824		-	modification under this subparagraph only once with
1825		-	respect to any one piece of property;
1826		-	(G-12) An amount equal to the amount otherwise
1827		-	allowed as a deduction in computing base income for
1828		-	interest paid, accrued, or incurred, directly or
1829		-	indirectly, (i) for taxable years ending on or after
1830		-	December 31, 2004, to a foreign person who would be a
1831		-	member of the same unitary business group but for the
1832		-	fact that the foreign person's business activity
1833		-	outside the United States is 80% or more of the foreign
1834		-	person's total business activity and (ii) for taxable
1835		-	years ending on or after December 31, 2008, to a person
1836		-	who would be a member of the same unitary business
1837		-	group but for the fact that the person is prohibited
1838		-	under Section 1501(a)(27) from being included in the
1839		-	unitary business group because he or she is ordinarily
1840		-
1841		-
1842		-	required to apportion business income under different
1843		-	subsections of Section 304. The addition modification
1844		-	required by this subparagraph shall be reduced to the
1845		-	extent that dividends were included in base income of
1846		-	the unitary group for the same taxable year and
1847		-	received by the taxpayer or by a member of the
1848		-	taxpayer's unitary business group (including amounts
1849		-	included in gross income pursuant to Sections 951
1850		-	through 964 of the Internal Revenue Code and amounts
1851		-	included in gross income under Section 78 of the
1852		-	Internal Revenue Code) with respect to the stock of
1853		-	the same person to whom the interest was paid,
1854		-	accrued, or incurred.
1855		-	This paragraph shall not apply to the following:
1856		-	(i) an item of interest paid, accrued, or
1857		-	incurred, directly or indirectly, to a person who
1858		-	is subject in a foreign country or state, other
1859		-	than a state which requires mandatory unitary
1860		-	reporting, to a tax on or measured by net income
1861		-	with respect to such interest; or
1862		-	(ii) an item of interest paid, accrued, or
1863		-	incurred, directly or indirectly, to a person if
1864		-	the taxpayer can establish, based on a
1865		-	preponderance of the evidence, both of the
1866		-	following:
1867		-	(a) the person, during the same taxable
1868		-
1869		-
1870		-	year, paid, accrued, or incurred, the interest
1871		-	to a person that is not a related member, and
1872		-	(b) the transaction giving rise to the
1873		-	interest expense between the taxpayer and the
1874		-	person did not have as a principal purpose the
1875		-	avoidance of Illinois income tax, and is paid
1876		-	pursuant to a contract or agreement that
1877		-	reflects an arm's-length interest rate and
1878		-	terms; or
1879		-	(iii) the taxpayer can establish, based on
1880		-	clear and convincing evidence, that the interest
1881		-	paid, accrued, or incurred relates to a contract
1882		-	or agreement entered into at arm's-length rates
1883		-	and terms and the principal purpose for the
1884		-	payment is not federal or Illinois tax avoidance;
1885		-	or
1886		-	(iv) an item of interest paid, accrued, or
1887		-	incurred, directly or indirectly, to a person if
1888		-	the taxpayer establishes by clear and convincing
1889		-	evidence that the adjustments are unreasonable; or
1890		-	if the taxpayer and the Director agree in writing
1891		-	to the application or use of an alternative method
1892		-	of apportionment under Section 304(f).
1893		-	Nothing in this subsection shall preclude the
1894		-	Director from making any other adjustment
1895		-	otherwise allowed under Section 404 of this Act
1896		-
1897		-
1898		-	for any tax year beginning after the effective
1899		-	date of this amendment provided such adjustment is
1900		-	made pursuant to regulation adopted by the
1901		-	Department and such regulations provide methods
1902		-	and standards by which the Department will utilize
1903		-	its authority under Section 404 of this Act;
1904		-	(G-13) An amount equal to the amount of intangible
1905		-	expenses and costs otherwise allowed as a deduction in
1906		-	computing base income, and that were paid, accrued, or
1907		-	incurred, directly or indirectly, (i) for taxable
1908		-	years ending on or after December 31, 2004, to a
1909		-	foreign person who would be a member of the same
1910		-	unitary business group but for the fact that the
1911		-	foreign person's business activity outside the United
1912		-	States is 80% or more of that person's total business
1913		-	activity and (ii) for taxable years ending on or after
1914		-	December 31, 2008, to a person who would be a member of
1915		-	the same unitary business group but for the fact that
1916		-	the person is prohibited under Section 1501(a)(27)
1917		-	from being included in the unitary business group
1918		-	because he or she is ordinarily required to apportion
1919		-	business income under different subsections of Section
1920		-	304. The addition modification required by this
1921		-	subparagraph shall be reduced to the extent that
1922		-	dividends were included in base income of the unitary
1923		-	group for the same taxable year and received by the
1924		-
1925		-
1926		-	taxpayer or by a member of the taxpayer's unitary
1927		-	business group (including amounts included in gross
1928		-	income pursuant to Sections 951 through 964 of the
1929		-	Internal Revenue Code and amounts included in gross
1930		-	income under Section 78 of the Internal Revenue Code)
1931		-	with respect to the stock of the same person to whom
1932		-	the intangible expenses and costs were directly or
1933		-	indirectly paid, incurred, or accrued. The preceding
1934		-	sentence shall not apply to the extent that the same
1935		-	dividends caused a reduction to the addition
1936		-	modification required under Section 203(c)(2)(G-12) of
1937		-	this Act. As used in this subparagraph, the term
1938		-	"intangible expenses and costs" includes: (1)
1939		-	expenses, losses, and costs for or related to the
1940		-	direct or indirect acquisition, use, maintenance or
1941		-	management, ownership, sale, exchange, or any other
1942		-	disposition of intangible property; (2) losses
1943		-	incurred, directly or indirectly, from factoring
1944		-	transactions or discounting transactions; (3) royalty,
1945		-	patent, technical, and copyright fees; (4) licensing
1946		-	fees; and (5) other similar expenses and costs. For
1947		-	purposes of this subparagraph, "intangible property"
1948		-	includes patents, patent applications, trade names,
1949		-	trademarks, service marks, copyrights, mask works,
1950		-	trade secrets, and similar types of intangible assets.
1951		-	This paragraph shall not apply to the following:
1952		-
1953		-
1954		-	(i) any item of intangible expenses or costs
1955		-	paid, accrued, or incurred, directly or
1956		-	indirectly, from a transaction with a person who
1957		-	is subject in a foreign country or state, other
1958		-	than a state which requires mandatory unitary
1959		-	reporting, to a tax on or measured by net income
1960		-	with respect to such item; or
1961		-	(ii) any item of intangible expense or cost
1962		-	paid, accrued, or incurred, directly or
1963		-	indirectly, if the taxpayer can establish, based
1964		-	on a preponderance of the evidence, both of the
1965		-	following:
1966		-	(a) the person during the same taxable
1967		-	year paid, accrued, or incurred, the
1968		-	intangible expense or cost to a person that is
1969		-	not a related member, and
1970		-	(b) the transaction giving rise to the
1971		-	intangible expense or cost between the
1972		-	taxpayer and the person did not have as a
1973		-	principal purpose the avoidance of Illinois
1974		-	income tax, and is paid pursuant to a contract
1975		-	or agreement that reflects arm's-length terms;
1976		-	or
1977		-	(iii) any item of intangible expense or cost
1978		-	paid, accrued, or incurred, directly or
1979		-	indirectly, from a transaction with a person if
1980		-
1981		-
1982		-	the taxpayer establishes by clear and convincing
1983		-	evidence, that the adjustments are unreasonable;
1984		-	or if the taxpayer and the Director agree in
1985		-	writing to the application or use of an
1986		-	alternative method of apportionment under Section
1987		-	304(f);
1988		-	Nothing in this subsection shall preclude the
1989		-	Director from making any other adjustment
1990		-	otherwise allowed under Section 404 of this Act
1991		-	for any tax year beginning after the effective
1992		-	date of this amendment provided such adjustment is
1993		-	made pursuant to regulation adopted by the
1994		-	Department and such regulations provide methods
1995		-	and standards by which the Department will utilize
1996		-	its authority under Section 404 of this Act;
1997		-	(G-14) For taxable years ending on or after
1998		-	December 31, 2008, an amount equal to the amount of
1999		-	insurance premium expenses and costs otherwise allowed
2000		-	as a deduction in computing base income, and that were
2001		-	paid, accrued, or incurred, directly or indirectly, to
2002		-	a person who would be a member of the same unitary
2003		-	business group but for the fact that the person is
2004		-	prohibited under Section 1501(a)(27) from being
2005		-	included in the unitary business group because he or
2006		-	she is ordinarily required to apportion business
2007		-	income under different subsections of Section 304. The
2008		-
2009		-
2010		-	addition modification required by this subparagraph
2011		-	shall be reduced to the extent that dividends were
2012		-	included in base income of the unitary group for the
2013		-	same taxable year and received by the taxpayer or by a
2014		-	member of the taxpayer's unitary business group
2015		-	(including amounts included in gross income under
2016		-	Sections 951 through 964 of the Internal Revenue Code
2017		-	and amounts included in gross income under Section 78
2018		-	of the Internal Revenue Code) with respect to the
2019		-	stock of the same person to whom the premiums and costs
2020		-	were directly or indirectly paid, incurred, or
2021		-	accrued. The preceding sentence does not apply to the
2022		-	extent that the same dividends caused a reduction to
2023		-	the addition modification required under Section
2024		-	203(c)(2)(G-12) or Section 203(c)(2)(G-13) of this
2025		-	Act;
2026		-	(G-15) An amount equal to the credit allowable to
2027		-	the taxpayer under Section 218(a) of this Act,
2028		-	determined without regard to Section 218(c) of this
2029		-	Act;
2030		-	(G-16) For taxable years ending on or after
2031		-	December 31, 2017, an amount equal to the deduction
2032		-	allowed under Section 199 of the Internal Revenue Code
2033		-	for the taxable year;
2034		-	and by deducting from the total so obtained the sum of the
2035		-	following amounts:
2036		-
2037		-
2038		-	(H) An amount equal to all amounts included in
2039		-	such total pursuant to the provisions of Sections
2040		-	402(a), 402(c), 403(a), 403(b), 406(a), 407(a) and 408
2041		-	of the Internal Revenue Code or included in such total
2042		-	as distributions under the provisions of any
2043		-	retirement or disability plan for employees of any
2044		-	governmental agency or unit, or retirement payments to
2045		-	retired partners, which payments are excluded in
2046		-	computing net earnings from self employment by Section
2047		-	1402 of the Internal Revenue Code and regulations
2048		-	adopted pursuant thereto;
2049		-	(I) The valuation limitation amount;
2050		-	(J) An amount equal to the amount of any tax
2051		-	imposed by this Act which was refunded to the taxpayer
2052		-	and included in such total for the taxable year;
2053		-	(K) An amount equal to all amounts included in
2054		-	taxable income as modified by subparagraphs (A), (B),
2055		-	(C), (D), (E), (F) and (G) which are exempt from
2056		-	taxation by this State either by reason of its
2057		-	statutes or Constitution or by reason of the
2058		-	Constitution, treaties or statutes of the United
2059		-	States; provided that, in the case of any statute of
2060		-	this State that exempts income derived from bonds or
2061		-	other obligations from the tax imposed under this Act,
2062		-	the amount exempted shall be the interest net of bond
2063		-	premium amortization;
2064		-
2065		-
2066		-	(L) With the exception of any amounts subtracted
2067		-	under subparagraph (K), an amount equal to the sum of
2068		-	all amounts disallowed as deductions by (i) Sections
2069		-	171(a)(2) and 265(a)(2) of the Internal Revenue Code,
2070		-	and all amounts of expenses allocable to interest and
2071		-	disallowed as deductions by Section 265(a)(1) of the
2072		-	Internal Revenue Code; and (ii) for taxable years
2073		-	ending on or after August 13, 1999, Sections
2074		-	171(a)(2), 265, 280C, and 832(b)(5)(B)(i) of the
2075		-	Internal Revenue Code, plus, (iii) for taxable years
2076		-	ending on or after December 31, 2011, Section
2077		-	45G(e)(3) of the Internal Revenue Code and, for
2078		-	taxable years ending on or after December 31, 2008,
2079		-	any amount included in gross income under Section 87
2080		-	of the Internal Revenue Code; the provisions of this
2081		-	subparagraph are exempt from the provisions of Section
2082		-	250;
2083		-	(M) An amount equal to those dividends included in
2084		-	such total which were paid by a corporation which
2085		-	conducts business operations in a River Edge
2086		-	Redevelopment Zone or zones created under the River
2087		-	Edge Redevelopment Zone Act and conducts substantially
2088		-	all of its operations in a River Edge Redevelopment
2089		-	Zone or zones. This subparagraph (M) is exempt from
2090		-	the provisions of Section 250;
2091		-	(N) An amount equal to any contribution made to a
2092		-
2093		-
2094		-	job training project established pursuant to the Tax
2095		-	Increment Allocation Redevelopment Act;
2096		-	(O) An amount equal to those dividends included in
2097		-	such total that were paid by a corporation that
2098		-	conducts business operations in a federally designated
2099		-	Foreign Trade Zone or Sub-Zone and that is designated
2100		-	a High Impact Business located in Illinois; provided
2101		-	that dividends eligible for the deduction provided in
2102		-	subparagraph (M) of paragraph (2) of this subsection
2103		-	shall not be eligible for the deduction provided under
2104		-	this subparagraph (O);
2105		-	(P) An amount equal to the amount of the deduction
2106		-	used to compute the federal income tax credit for
2107		-	restoration of substantial amounts held under claim of
2108		-	right for the taxable year pursuant to Section 1341 of
2109		-	the Internal Revenue Code;
2110		-	(Q) For taxable year 1999 and thereafter, an
2111		-	amount equal to the amount of any (i) distributions,
2112		-	to the extent includible in gross income for federal
2113		-	income tax purposes, made to the taxpayer because of
2114		-	his or her status as a victim of persecution for racial
2115		-	or religious reasons by Nazi Germany or any other Axis
2116		-	regime or as an heir of the victim and (ii) items of
2117		-	income, to the extent includible in gross income for
2118		-	federal income tax purposes, attributable to, derived
2119		-	from or in any way related to assets stolen from,
2120		-
2121		-
2122		-	hidden from, or otherwise lost to a victim of
2123		-	persecution for racial or religious reasons by Nazi
2124		-	Germany or any other Axis regime immediately prior to,
2125		-	during, and immediately after World War II, including,
2126		-	but not limited to, interest on the proceeds
2127		-	receivable as insurance under policies issued to a
2128		-	victim of persecution for racial or religious reasons
2129		-	by Nazi Germany or any other Axis regime by European
2130		-	insurance companies immediately prior to and during
2131		-	World War II; provided, however, this subtraction from
2132		-	federal adjusted gross income does not apply to assets
2133		-	acquired with such assets or with the proceeds from
2134		-	the sale of such assets; provided, further, this
2135		-	paragraph shall only apply to a taxpayer who was the
2136		-	first recipient of such assets after their recovery
2137		-	and who is a victim of persecution for racial or
2138		-	religious reasons by Nazi Germany or any other Axis
2139		-	regime or as an heir of the victim. The amount of and
2140		-	the eligibility for any public assistance, benefit, or
2141		-	similar entitlement is not affected by the inclusion
2142		-	of items (i) and (ii) of this paragraph in gross income
2143		-	for federal income tax purposes. This paragraph is
2144		-	exempt from the provisions of Section 250;
2145		-	(R) For taxable years 2001 and thereafter, for the
2146		-	taxable year in which the bonus depreciation deduction
2147		-	is taken on the taxpayer's federal income tax return
2148		-
2149		-
2150		-	under subsection (k) of Section 168 of the Internal
2151		-	Revenue Code and for each applicable taxable year
2152		-	thereafter, an amount equal to "x", where:
2153		-	(1) "y" equals the amount of the depreciation
2154		-	deduction taken for the taxable year on the
2155		-	taxpayer's federal income tax return on property
2156		-	for which the bonus depreciation deduction was
2157		-	taken in any year under subsection (k) of Section
2158		-	168 of the Internal Revenue Code, but not
2159		-	including the bonus depreciation deduction;
2160		-	(2) for taxable years ending on or before
2161		-	December 31, 2005, "x" equals "y" multiplied by 30
2162		-	and then divided by 70 (or "y" multiplied by
2163		-	0.429); and
2164		-	(3) for taxable years ending after December
2165		-	31, 2005:
2166		-	(i) for property on which a bonus
2167		-	depreciation deduction of 30% of the adjusted
2168		-	basis was taken, "x" equals "y" multiplied by
2169		-	30 and then divided by 70 (or "y" multiplied
2170		-	by 0.429);
2171		-	(ii) for property on which a bonus
2172		-	depreciation deduction of 50% of the adjusted
2173		-	basis was taken, "x" equals "y" multiplied by
2174		-	1.0;
2175		-	(iii) for property on which a bonus
2176		-
2177		-
2178		-	depreciation deduction of 100% of the adjusted
2179		-	basis was taken in a taxable year ending on or
2180		-	after December 31, 2021, "x" equals the
2181		-	depreciation deduction that would be allowed
2182		-	on that property if the taxpayer had made the
2183		-	election under Section 168(k)(7) of the
2184		-	Internal Revenue Code to not claim bonus
2185		-	depreciation on that property; and
2186		-	(iv) for property on which a bonus
2187		-	depreciation deduction of a percentage other
2188		-	than 30%, 50% or 100% of the adjusted basis
2189		-	was taken in a taxable year ending on or after
2190		-	December 31, 2021, "x" equals "y" multiplied
2191		-	by 100 times the percentage bonus depreciation
2192		-	on the property (that is, 100(bonus%)) and
2193		-	then divided by 100 times 1 minus the
2194		-	percentage bonus depreciation on the property
2195		-	(that is, 100(1bonus%)).
2196		-	The aggregate amount deducted under this
2197		-	subparagraph in all taxable years for any one piece of
2198		-	property may not exceed the amount of the bonus
2199		-	depreciation deduction taken on that property on the
2200		-	taxpayer's federal income tax return under subsection
2201		-	(k) of Section 168 of the Internal Revenue Code. This
2202		-	subparagraph (R) is exempt from the provisions of
2203		-	Section 250;
2204		-
2205		-
2206		-	(S) If the taxpayer sells, transfers, abandons, or
2207		-	otherwise disposes of property for which the taxpayer
2208		-	was required in any taxable year to make an addition
2209		-	modification under subparagraph (G-10), then an amount
2210		-	equal to that addition modification.
2211		-	If the taxpayer continues to own property through
2212		-	the last day of the last tax year for which a
2213		-	subtraction is allowed with respect to that property
2214		-	under subparagraph (R) and for which the taxpayer was
2215		-	required in any taxable year to make an addition
2216		-	modification under subparagraph (G-10), then an amount
2217		-	equal to that addition modification.
2218		-	The taxpayer is allowed to take the deduction
2219		-	under this subparagraph only once with respect to any
2220		-	one piece of property.
2221		-	This subparagraph (S) is exempt from the
2222		-	provisions of Section 250;
2223		-	(T) The amount of (i) any interest income (net of
2224		-	the deductions allocable thereto) taken into account
2225		-	for the taxable year with respect to a transaction
2226		-	with a taxpayer that is required to make an addition
2227		-	modification with respect to such transaction under
2228		-	Section 203(a)(2)(D-17), 203(b)(2)(E-12),
2229		-	203(c)(2)(G-12), or 203(d)(2)(D-7), but not to exceed
2230		-	the amount of such addition modification and (ii) any
2231		-	income from intangible property (net of the deductions
2232		-
2233		-
2234		-	allocable thereto) taken into account for the taxable
2235		-	year with respect to a transaction with a taxpayer
2236		-	that is required to make an addition modification with
2237		-	respect to such transaction under Section
2238		-	203(a)(2)(D-18), 203(b)(2)(E-13), 203(c)(2)(G-13), or
2239		-	203(d)(2)(D-8), but not to exceed the amount of such
2240		-	addition modification. This subparagraph (T) is exempt
2241		-	from the provisions of Section 250;
2242		-	(U) An amount equal to the interest income taken
2243		-	into account for the taxable year (net of the
2244		-	deductions allocable thereto) with respect to
2245		-	transactions with (i) a foreign person who would be a
2246		-	member of the taxpayer's unitary business group but
2247		-	for the fact the foreign person's business activity
2248		-	outside the United States is 80% or more of that
2249		-	person's total business activity and (ii) for taxable
2250		-	years ending on or after December 31, 2008, to a person
2251		-	who would be a member of the same unitary business
2252		-	group but for the fact that the person is prohibited
2253		-	under Section 1501(a)(27) from being included in the
2254		-	unitary business group because he or she is ordinarily
2255		-	required to apportion business income under different
2256		-	subsections of Section 304, but not to exceed the
2257		-	addition modification required to be made for the same
2258		-	taxable year under Section 203(c)(2)(G-12) for
2259		-	interest paid, accrued, or incurred, directly or
2260		-
2261		-
2262		-	indirectly, to the same person. This subparagraph (U)
2263		-	is exempt from the provisions of Section 250;
2264		-	(V) An amount equal to the income from intangible
2265		-	property taken into account for the taxable year (net
2266		-	of the deductions allocable thereto) with respect to
2267		-	transactions with (i) a foreign person who would be a
2268		-	member of the taxpayer's unitary business group but
2269		-	for the fact that the foreign person's business
2270		-	activity outside the United States is 80% or more of
2271		-	that person's total business activity and (ii) for
2272		-	taxable years ending on or after December 31, 2008, to
2273		-	a person who would be a member of the same unitary
2274		-	business group but for the fact that the person is
2275		-	prohibited under Section 1501(a)(27) from being
2276		-	included in the unitary business group because he or
2277		-	she is ordinarily required to apportion business
2278		-	income under different subsections of Section 304, but
2279		-	not to exceed the addition modification required to be
2280		-	made for the same taxable year under Section
2281		-	203(c)(2)(G-13) for intangible expenses and costs
2282		-	paid, accrued, or incurred, directly or indirectly, to
2283		-	the same foreign person. This subparagraph (V) is
2284		-	exempt from the provisions of Section 250;
2285		-	(W) in the case of an estate, an amount equal to
2286		-	all amounts included in such total pursuant to the
2287		-	provisions of Section 111 of the Internal Revenue Code
2288		-
2289		-
2290		-	as a recovery of items previously deducted by the
2291		-	decedent from adjusted gross income in the computation
2292		-	of taxable income. This subparagraph (W) is exempt
2293		-	from Section 250;
2294		-	(X) an amount equal to the refund included in such
2295		-	total of any tax deducted for federal income tax
2296		-	purposes, to the extent that deduction was added back
2297		-	under subparagraph (F). This subparagraph (X) is
2298		-	exempt from the provisions of Section 250;
2299		-	(Y) For taxable years ending on or after December
2300		-	31, 2011, in the case of a taxpayer who was required to
2301		-	add back any insurance premiums under Section
2302		-	203(c)(2)(G-14), such taxpayer may elect to subtract
2303		-	that part of a reimbursement received from the
2304		-	insurance company equal to the amount of the expense
2305		-	or loss (including expenses incurred by the insurance
2306		-	company) that would have been taken into account as a
2307		-	deduction for federal income tax purposes if the
2308		-	expense or loss had been uninsured. If a taxpayer
2309		-	makes the election provided for by this subparagraph
2310		-	(Y), the insurer to which the premiums were paid must
2311		-	add back to income the amount subtracted by the
2312		-	taxpayer pursuant to this subparagraph (Y). This
2313		-	subparagraph (Y) is exempt from the provisions of
2314		-	Section 250; and
2315		-	(Z) For taxable years beginning after December 31,
2316		-
2317		-
2318		-	2018 and before January 1, 2026, the amount of excess
2319		-	business loss of the taxpayer disallowed as a
2320		-	deduction by Section 461(l)(1)(B) of the Internal
2321		-	Revenue Code.
2322		-	(3) Limitation. The amount of any modification
2323		-	otherwise required under this subsection shall, under
2324		-	regulations prescribed by the Department, be adjusted by
2325		-	any amounts included therein which were properly paid,
2326		-	credited, or required to be distributed, or permanently
2327		-	set aside for charitable purposes pursuant to Internal
2328		-	Revenue Code Section 642(c) during the taxable year.
2329		-	(d) Partnerships.
2330		-	(1) In general. In the case of a partnership, base
2331		-	income means an amount equal to the taxpayer's taxable
2332		-	income for the taxable year as modified by paragraph (2).
2333		-	(2) Modifications. The taxable income referred to in
2334		-	paragraph (1) shall be modified by adding thereto the sum
2335		-	of the following amounts:
2336		-	(A) An amount equal to all amounts paid or accrued
2337		-	to the taxpayer as interest or dividends during the
2338		-	taxable year to the extent excluded from gross income
2339		-	in the computation of taxable income;
2340		-	(B) An amount equal to the amount of tax imposed by
2341		-	this Act to the extent deducted from gross income for
2342		-	the taxable year;
2343		-
2344		-
2345		-	(C) The amount of deductions allowed to the
2346		-	partnership pursuant to Section 707 (c) of the
2347		-	Internal Revenue Code in calculating its taxable
2348		-	income;
2349		-	(D) An amount equal to the amount of the capital
2350		-	gain deduction allowable under the Internal Revenue
2351		-	Code, to the extent deducted from gross income in the
2352		-	computation of taxable income;
2353		-	(D-5) For taxable years 2001 and thereafter, an
2354		-	amount equal to the bonus depreciation deduction taken
2355		-	on the taxpayer's federal income tax return for the
2356		-	taxable year under subsection (k) of Section 168 of
2357		-	the Internal Revenue Code;
2358		-	(D-6) If the taxpayer sells, transfers, abandons,
2359		-	or otherwise disposes of property for which the
2360		-	taxpayer was required in any taxable year to make an
2361		-	addition modification under subparagraph (D-5), then
2362		-	an amount equal to the aggregate amount of the
2363		-	deductions taken in all taxable years under
2364		-	subparagraph (O) with respect to that property.
2365		-	If the taxpayer continues to own property through
2366		-	the last day of the last tax year for which a
2367		-	subtraction is allowed with respect to that property
2368		-	under subparagraph (O) and for which the taxpayer was
2369		-	allowed in any taxable year to make a subtraction
2370		-	modification under subparagraph (O), then an amount
2371		-
2372		-
2373		-	equal to that subtraction modification.
2374		-	The taxpayer is required to make the addition
2375		-	modification under this subparagraph only once with
2376		-	respect to any one piece of property;
2377		-	(D-7) An amount equal to the amount otherwise
2378		-	allowed as a deduction in computing base income for
2379		-	interest paid, accrued, or incurred, directly or
2380		-	indirectly, (i) for taxable years ending on or after
2381		-	December 31, 2004, to a foreign person who would be a
2382		-	member of the same unitary business group but for the
2383		-	fact the foreign person's business activity outside
2384		-	the United States is 80% or more of the foreign
2385		-	person's total business activity and (ii) for taxable
2386		-	years ending on or after December 31, 2008, to a person
2387		-	who would be a member of the same unitary business
2388		-	group but for the fact that the person is prohibited
2389		-	under Section 1501(a)(27) from being included in the
2390		-	unitary business group because he or she is ordinarily
2391		-	required to apportion business income under different
2392		-	subsections of Section 304. The addition modification
2393		-	required by this subparagraph shall be reduced to the
2394		-	extent that dividends were included in base income of
2395		-	the unitary group for the same taxable year and
2396		-	received by the taxpayer or by a member of the
2397		-	taxpayer's unitary business group (including amounts
2398		-	included in gross income pursuant to Sections 951
2399		-
2400		-
2401		-	through 964 of the Internal Revenue Code and amounts
2402		-	included in gross income under Section 78 of the
2403		-	Internal Revenue Code) with respect to the stock of
2404		-	the same person to whom the interest was paid,
2405		-	accrued, or incurred.
2406		-	This paragraph shall not apply to the following:
2407		-	(i) an item of interest paid, accrued, or
2408		-	incurred, directly or indirectly, to a person who
2409		-	is subject in a foreign country or state, other
2410		-	than a state which requires mandatory unitary
2411		-	reporting, to a tax on or measured by net income
2412		-	with respect to such interest; or
2413		-	(ii) an item of interest paid, accrued, or
2414		-	incurred, directly or indirectly, to a person if
2415		-	the taxpayer can establish, based on a
2416		-	preponderance of the evidence, both of the
2417		-	following:
2418		-	(a) the person, during the same taxable
2419		-	year, paid, accrued, or incurred, the interest
2420		-	to a person that is not a related member, and
2421		-	(b) the transaction giving rise to the
2422		-	interest expense between the taxpayer and the
2423		-	person did not have as a principal purpose the
2424		-	avoidance of Illinois income tax, and is paid
2425		-	pursuant to a contract or agreement that
2426		-	reflects an arm's-length interest rate and
2427		-
2428		-
2429		-	terms; or
2430		-	(iii) the taxpayer can establish, based on
2431		-	clear and convincing evidence, that the interest
2432		-	paid, accrued, or incurred relates to a contract
2433		-	or agreement entered into at arm's-length rates
2434		-	and terms and the principal purpose for the
2435		-	payment is not federal or Illinois tax avoidance;
2436		-	or
2437		-	(iv) an item of interest paid, accrued, or
2438		-	incurred, directly or indirectly, to a person if
2439		-	the taxpayer establishes by clear and convincing
2440		-	evidence that the adjustments are unreasonable; or
2441		-	if the taxpayer and the Director agree in writing
2442		-	to the application or use of an alternative method
2443		-	of apportionment under Section 304(f).
2444		-	Nothing in this subsection shall preclude the
2445		-	Director from making any other adjustment
2446		-	otherwise allowed under Section 404 of this Act
2447		-	for any tax year beginning after the effective
2448		-	date of this amendment provided such adjustment is
2449		-	made pursuant to regulation adopted by the
2450		-	Department and such regulations provide methods
2451		-	and standards by which the Department will utilize
2452		-	its authority under Section 404 of this Act; and
2453		-	(D-8) An amount equal to the amount of intangible
2454		-	expenses and costs otherwise allowed as a deduction in
2455		-
2456		-
2457		-	computing base income, and that were paid, accrued, or
2458		-	incurred, directly or indirectly, (i) for taxable
2459		-	years ending on or after December 31, 2004, to a
2460		-	foreign person who would be a member of the same
2461		-	unitary business group but for the fact that the
2462		-	foreign person's business activity outside the United
2463		-	States is 80% or more of that person's total business
2464		-	activity and (ii) for taxable years ending on or after
2465		-	December 31, 2008, to a person who would be a member of
2466		-	the same unitary business group but for the fact that
2467		-	the person is prohibited under Section 1501(a)(27)
2468		-	from being included in the unitary business group
2469		-	because he or she is ordinarily required to apportion
2470		-	business income under different subsections of Section
2471		-	304. The addition modification required by this
2472		-	subparagraph shall be reduced to the extent that
2473		-	dividends were included in base income of the unitary
2474		-	group for the same taxable year and received by the
2475		-	taxpayer or by a member of the taxpayer's unitary
2476		-	business group (including amounts included in gross
2477		-	income pursuant to Sections 951 through 964 of the
2478		-	Internal Revenue Code and amounts included in gross
2479		-	income under Section 78 of the Internal Revenue Code)
2480		-	with respect to the stock of the same person to whom
2481		-	the intangible expenses and costs were directly or
2482		-	indirectly paid, incurred or accrued. The preceding
2483		-
2484		-
2485		-	sentence shall not apply to the extent that the same
2486		-	dividends caused a reduction to the addition
2487		-	modification required under Section 203(d)(2)(D-7) of
2488		-	this Act. As used in this subparagraph, the term
2489		-	"intangible expenses and costs" includes (1) expenses,
2490		-	losses, and costs for, or related to, the direct or
2491		-	indirect acquisition, use, maintenance or management,
2492		-	ownership, sale, exchange, or any other disposition of
2493		-	intangible property; (2) losses incurred, directly or
2494		-	indirectly, from factoring transactions or discounting
2495		-	transactions; (3) royalty, patent, technical, and
2496		-	copyright fees; (4) licensing fees; and (5) other
2497		-	similar expenses and costs. For purposes of this
2498		-	subparagraph, "intangible property" includes patents,
2499		-	patent applications, trade names, trademarks, service
2500		-	marks, copyrights, mask works, trade secrets, and
2501		-	similar types of intangible assets;
2502		-	This paragraph shall not apply to the following:
2503		-	(i) any item of intangible expenses or costs
2504		-	paid, accrued, or incurred, directly or
2505		-	indirectly, from a transaction with a person who
2506		-	is subject in a foreign country or state, other
2507		-	than a state which requires mandatory unitary
2508		-	reporting, to a tax on or measured by net income
2509		-	with respect to such item; or
2510		-	(ii) any item of intangible expense or cost
2511		-
2512		-
2513		-	paid, accrued, or incurred, directly or
2514		-	indirectly, if the taxpayer can establish, based
2515		-	on a preponderance of the evidence, both of the
2516		-	following:
2517		-	(a) the person during the same taxable
2518		-	year paid, accrued, or incurred, the
2519		-	intangible expense or cost to a person that is
2520		-	not a related member, and
2521		-	(b) the transaction giving rise to the
2522		-	intangible expense or cost between the
2523		-	taxpayer and the person did not have as a
2524		-	principal purpose the avoidance of Illinois
2525		-	income tax, and is paid pursuant to a contract
2526		-	or agreement that reflects arm's-length terms;
2527		-	or
2528		-	(iii) any item of intangible expense or cost
2529		-	paid, accrued, or incurred, directly or
2530		-	indirectly, from a transaction with a person if
2531		-	the taxpayer establishes by clear and convincing
2532		-	evidence, that the adjustments are unreasonable;
2533		-	or if the taxpayer and the Director agree in
2534		-	writing to the application or use of an
2535		-	alternative method of apportionment under Section
2536		-	304(f);
2537		-	Nothing in this subsection shall preclude the
2538		-	Director from making any other adjustment
2539		-
2540		-
2541		-	otherwise allowed under Section 404 of this Act
2542		-	for any tax year beginning after the effective
2543		-	date of this amendment provided such adjustment is
2544		-	made pursuant to regulation adopted by the
2545		-	Department and such regulations provide methods
2546		-	and standards by which the Department will utilize
2547		-	its authority under Section 404 of this Act;
2548		-	(D-9) For taxable years ending on or after
2549		-	December 31, 2008, an amount equal to the amount of
2550		-	insurance premium expenses and costs otherwise allowed
2551		-	as a deduction in computing base income, and that were
2552		-	paid, accrued, or incurred, directly or indirectly, to
2553		-	a person who would be a member of the same unitary
2554		-	business group but for the fact that the person is
2555		-	prohibited under Section 1501(a)(27) from being
2556		-	included in the unitary business group because he or
2557		-	she is ordinarily required to apportion business
2558		-	income under different subsections of Section 304. The
2559		-	addition modification required by this subparagraph
2560		-	shall be reduced to the extent that dividends were
2561		-	included in base income of the unitary group for the
2562		-	same taxable year and received by the taxpayer or by a
2563		-	member of the taxpayer's unitary business group
2564		-	(including amounts included in gross income under
2565		-	Sections 951 through 964 of the Internal Revenue Code
2566		-	and amounts included in gross income under Section 78
2567		-
2568		-
2569		-	of the Internal Revenue Code) with respect to the
2570		-	stock of the same person to whom the premiums and costs
2571		-	were directly or indirectly paid, incurred, or
2572		-	accrued. The preceding sentence does not apply to the
2573		-	extent that the same dividends caused a reduction to
2574		-	the addition modification required under Section
2575		-	203(d)(2)(D-7) or Section 203(d)(2)(D-8) of this Act;
2576		-	(D-10) An amount equal to the credit allowable to
2577		-	the taxpayer under Section 218(a) of this Act,
2578		-	determined without regard to Section 218(c) of this
2579		-	Act;
2580		-	(D-11) For taxable years ending on or after
2581		-	December 31, 2017, an amount equal to the deduction
2582		-	allowed under Section 199 of the Internal Revenue Code
2583		-	for the taxable year;
2584		-	and by deducting from the total so obtained the following
2585		-	amounts:
2586		-	(E) The valuation limitation amount;
2587		-	(F) An amount equal to the amount of any tax
2588		-	imposed by this Act which was refunded to the taxpayer
2589		-	and included in such total for the taxable year;
2590		-	(G) An amount equal to all amounts included in
2591		-	taxable income as modified by subparagraphs (A), (B),
2592		-	(C) and (D) which are exempt from taxation by this
2593		-	State either by reason of its statutes or Constitution
2594		-	or by reason of the Constitution, treaties or statutes
2595		-
2596		-
2597		-	of the United States; provided that, in the case of any
2598		-	statute of this State that exempts income derived from
2599		-	bonds or other obligations from the tax imposed under
2600		-	this Act, the amount exempted shall be the interest
2601		-	net of bond premium amortization;
2602		-	(H) Any income of the partnership which
2603		-	constitutes personal service income as defined in
2604		-	Section 1348(b)(1) of the Internal Revenue Code (as in
2605		-	effect December 31, 1981) or a reasonable allowance
2606		-	for compensation paid or accrued for services rendered
2607		-	by partners to the partnership, whichever is greater;
2608		-	this subparagraph (H) is exempt from the provisions of
2609		-	Section 250;
2610		-	(I) An amount equal to all amounts of income
2611		-	distributable to an entity subject to the Personal
2612		-	Property Tax Replacement Income Tax imposed by
2613		-	subsections (c) and (d) of Section 201 of this Act
2614		-	including amounts distributable to organizations
2615		-	exempt from federal income tax by reason of Section
2616		-	501(a) of the Internal Revenue Code; this subparagraph
2617		-	(I) is exempt from the provisions of Section 250;
2618		-	(J) With the exception of any amounts subtracted
2619		-	under subparagraph (G), an amount equal to the sum of
2620		-	all amounts disallowed as deductions by (i) Sections
2621		-	171(a)(2) and 265(a)(2) of the Internal Revenue Code,
2622		-	and all amounts of expenses allocable to interest and
2623		-
2624		-
2625		-	disallowed as deductions by Section 265(a)(1) of the
2626		-	Internal Revenue Code; and (ii) for taxable years
2627		-	ending on or after August 13, 1999, Sections
2628		-	171(a)(2), 265, 280C, and 832(b)(5)(B)(i) of the
2629		-	Internal Revenue Code, plus, (iii) for taxable years
2630		-	ending on or after December 31, 2011, Section
2631		-	45G(e)(3) of the Internal Revenue Code and, for
2632		-	taxable years ending on or after December 31, 2008,
2633		-	any amount included in gross income under Section 87
2634		-	of the Internal Revenue Code; the provisions of this
2635		-	subparagraph are exempt from the provisions of Section
2636		-	250;
2637		-	(K) An amount equal to those dividends included in
2638		-	such total which were paid by a corporation which
2639		-	conducts business operations in a River Edge
2640		-	Redevelopment Zone or zones created under the River
2641		-	Edge Redevelopment Zone Act and conducts substantially
2642		-	all of its operations from a River Edge Redevelopment
2643		-	Zone or zones. This subparagraph (K) is exempt from
2644		-	the provisions of Section 250;
2645		-	(L) An amount equal to any contribution made to a
2646		-	job training project established pursuant to the Real
2647		-	Property Tax Increment Allocation Redevelopment Act;
2648		-	(M) An amount equal to those dividends included in
2649		-	such total that were paid by a corporation that
2650		-	conducts business operations in a federally designated
2651		-
2652		-
2653		-	Foreign Trade Zone or Sub-Zone and that is designated
2654		-	a High Impact Business located in Illinois; provided
2655		-	that dividends eligible for the deduction provided in
2656		-	subparagraph (K) of paragraph (2) of this subsection
2657		-	shall not be eligible for the deduction provided under
2658		-	this subparagraph (M);
2659		-	(N) An amount equal to the amount of the deduction
2660		-	used to compute the federal income tax credit for
2661		-	restoration of substantial amounts held under claim of
2662		-	right for the taxable year pursuant to Section 1341 of
2663		-	the Internal Revenue Code;
2664		-	(O) For taxable years 2001 and thereafter, for the
2665		-	taxable year in which the bonus depreciation deduction
2666		-	is taken on the taxpayer's federal income tax return
2667		-	under subsection (k) of Section 168 of the Internal
2668		-	Revenue Code and for each applicable taxable year
2669		-	thereafter, an amount equal to "x", where:
2670		-	(1) "y" equals the amount of the depreciation
2671		-	deduction taken for the taxable year on the
2672		-	taxpayer's federal income tax return on property
2673		-	for which the bonus depreciation deduction was
2674		-	taken in any year under subsection (k) of Section
2675		-	168 of the Internal Revenue Code, but not
2676		-	including the bonus depreciation deduction;
2677		-	(2) for taxable years ending on or before
2678		-	December 31, 2005, "x" equals "y" multiplied by 30
2679		-
2680		-
2681		-	and then divided by 70 (or "y" multiplied by
2682		-	0.429); and
2683		-	(3) for taxable years ending after December
2684		-	31, 2005:
2685		-	(i) for property on which a bonus
2686		-	depreciation deduction of 30% of the adjusted
2687		-	basis was taken, "x" equals "y" multiplied by
2688		-	30 and then divided by 70 (or "y" multiplied
2689		-	by 0.429);
2690		-	(ii) for property on which a bonus
2691		-	depreciation deduction of 50% of the adjusted
2692		-	basis was taken, "x" equals "y" multiplied by
2693		-	1.0;
2694		-	(iii) for property on which a bonus
2695		-	depreciation deduction of 100% of the adjusted
2696		-	basis was taken in a taxable year ending on or
2697		-	after December 31, 2021, "x" equals the
2698		-	depreciation deduction that would be allowed
2699		-	on that property if the taxpayer had made the
2700		-	election under Section 168(k)(7) of the
2701		-	Internal Revenue Code to not claim bonus
2702		-	depreciation on that property; and
2703		-	(iv) for property on which a bonus
2704		-	depreciation deduction of a percentage other
2705		-	than 30%, 50% or 100% of the adjusted basis
2706		-	was taken in a taxable year ending on or after
2707		-
2708		-
2709		-	December 31, 2021, "x" equals "y" multiplied
2710		-	by 100 times the percentage bonus depreciation
2711		-	on the property (that is, 100(bonus%)) and
2712		-	then divided by 100 times 1 minus the
2713		-	percentage bonus depreciation on the property
2714		-	(that is, 100(1bonus%)).
2715		-	The aggregate amount deducted under this
2716		-	subparagraph in all taxable years for any one piece of
2717		-	property may not exceed the amount of the bonus
2718		-	depreciation deduction taken on that property on the
2719		-	taxpayer's federal income tax return under subsection
2720		-	(k) of Section 168 of the Internal Revenue Code. This
2721		-	subparagraph (O) is exempt from the provisions of
2722		-	Section 250;
2723		-	(P) If the taxpayer sells, transfers, abandons, or
2724		-	otherwise disposes of property for which the taxpayer
2725		-	was required in any taxable year to make an addition
2726		-	modification under subparagraph (D-5), then an amount
2727		-	equal to that addition modification.
2728		-	If the taxpayer continues to own property through
2729		-	the last day of the last tax year for which a
2730		-	subtraction is allowed with respect to that property
2731		-	under subparagraph (O) and for which the taxpayer was
2732		-	required in any taxable year to make an addition
2733		-	modification under subparagraph (D-5), then an amount
2734		-	equal to that addition modification.
2735		-
2736		-
2737		-	The taxpayer is allowed to take the deduction
2738		-	under this subparagraph only once with respect to any
2739		-	one piece of property.
2740		-	This subparagraph (P) is exempt from the
2741		-	provisions of Section 250;
2742		-	(Q) The amount of (i) any interest income (net of
2743		-	the deductions allocable thereto) taken into account
2744		-	for the taxable year with respect to a transaction
2745		-	with a taxpayer that is required to make an addition
2746		-	modification with respect to such transaction under
2747		-	Section 203(a)(2)(D-17), 203(b)(2)(E-12),
2748		-	203(c)(2)(G-12), or 203(d)(2)(D-7), but not to exceed
2749		-	the amount of such addition modification and (ii) any
2750		-	income from intangible property (net of the deductions
2751		-	allocable thereto) taken into account for the taxable
2752		-	year with respect to a transaction with a taxpayer
2753		-	that is required to make an addition modification with
2754		-	respect to such transaction under Section
2755		-	203(a)(2)(D-18), 203(b)(2)(E-13), 203(c)(2)(G-13), or
2756		-	203(d)(2)(D-8), but not to exceed the amount of such
2757		-	addition modification. This subparagraph (Q) is exempt
2758		-	from Section 250;
2759		-	(R) An amount equal to the interest income taken
2760		-	into account for the taxable year (net of the
2761		-	deductions allocable thereto) with respect to
2762		-	transactions with (i) a foreign person who would be a
2763		-
2764		-
2765		-	member of the taxpayer's unitary business group but
2766		-	for the fact that the foreign person's business
2767		-	activity outside the United States is 80% or more of
2768		-	that person's total business activity and (ii) for
2769		-	taxable years ending on or after December 31, 2008, to
2770		-	a person who would be a member of the same unitary
2771		-	business group but for the fact that the person is
2772		-	prohibited under Section 1501(a)(27) from being
2773		-	included in the unitary business group because he or
2774		-	she is ordinarily required to apportion business
2775		-	income under different subsections of Section 304, but
2776		-	not to exceed the addition modification required to be
2777		-	made for the same taxable year under Section
2778		-	203(d)(2)(D-7) for interest paid, accrued, or
2779		-	incurred, directly or indirectly, to the same person.
2780		-	This subparagraph (R) is exempt from Section 250;
2781		-	(S) An amount equal to the income from intangible
2782		-	property taken into account for the taxable year (net
2783		-	of the deductions allocable thereto) with respect to
2784		-	transactions with (i) a foreign person who would be a
2785		-	member of the taxpayer's unitary business group but
2786		-	for the fact that the foreign person's business
2787		-	activity outside the United States is 80% or more of
2788		-	that person's total business activity and (ii) for
2789		-	taxable years ending on or after December 31, 2008, to
2790		-	a person who would be a member of the same unitary
2791		-
2792		-
2793		-	business group but for the fact that the person is
2794		-	prohibited under Section 1501(a)(27) from being
2795		-	included in the unitary business group because he or
2796		-	she is ordinarily required to apportion business
2797		-	income under different subsections of Section 304, but
2798		-	not to exceed the addition modification required to be
2799		-	made for the same taxable year under Section
2800		-	203(d)(2)(D-8) for intangible expenses and costs paid,
2801		-	accrued, or incurred, directly or indirectly, to the
2802		-	same person. This subparagraph (S) is exempt from
2803		-	Section 250; and
2804		-	(T) For taxable years ending on or after December
2805		-	31, 2011, in the case of a taxpayer who was required to
2806		-	add back any insurance premiums under Section
2807		-	203(d)(2)(D-9), such taxpayer may elect to subtract
2808		-	that part of a reimbursement received from the
2809		-	insurance company equal to the amount of the expense
2810		-	or loss (including expenses incurred by the insurance
2811		-	company) that would have been taken into account as a
2812		-	deduction for federal income tax purposes if the
2813		-	expense or loss had been uninsured. If a taxpayer
2814		-	makes the election provided for by this subparagraph
2815		-	(T), the insurer to which the premiums were paid must
2816		-	add back to income the amount subtracted by the
2817		-	taxpayer pursuant to this subparagraph (T). This
2818		-	subparagraph (T) is exempt from the provisions of
2819		-
2820		-
2821		-	Section 250.
2822		-	(e) Gross income; adjusted gross income; taxable income.
2823		-	(1) In general. Subject to the provisions of paragraph
2824		-	(2) and subsection (b)(3), for purposes of this Section
2825		-	and Section 803(e), a taxpayer's gross income, adjusted
2826		-	gross income, or taxable income for the taxable year shall
2827		-	mean the amount of gross income, adjusted gross income or
2828		-	taxable income properly reportable for federal income tax
2829		-	purposes for the taxable year under the provisions of the
2830		-	Internal Revenue Code. Taxable income may be less than
2831		-	zero. However, for taxable years ending on or after
2832		-	December 31, 1986, net operating loss carryforwards from
2833		-	taxable years ending prior to December 31, 1986, may not
2834		-	exceed the sum of federal taxable income for the taxable
2835		-	year before net operating loss deduction, plus the excess
2836		-	of addition modifications over subtraction modifications
2837		-	for the taxable year. For taxable years ending prior to
2838		-	December 31, 1986, taxable income may never be an amount
2839		-	in excess of the net operating loss for the taxable year as
2840		-	defined in subsections (c) and (d) of Section 172 of the
2841		-	Internal Revenue Code, provided that when taxable income
2842		-	of a corporation (other than a Subchapter S corporation),
2843		-	trust, or estate is less than zero and addition
2844		-	modifications, other than those provided by subparagraph
2845		-	(E) of paragraph (2) of subsection (b) for corporations or
2846		-
2847		-
2848		-	subparagraph (E) of paragraph (2) of subsection (c) for
2849		-	trusts and estates, exceed subtraction modifications, an
2850		-	addition modification must be made under those
2851		-	subparagraphs for any other taxable year to which the
2852		-	taxable income less than zero (net operating loss) is
2853		-	applied under Section 172 of the Internal Revenue Code or
2854		-	under subparagraph (E) of paragraph (2) of this subsection
2855		-	(e) applied in conjunction with Section 172 of the
2856		-	Internal Revenue Code.
2857		-	(2) Special rule. For purposes of paragraph (1) of
2858		-	this subsection, the taxable income properly reportable
2859		-	for federal income tax purposes shall mean:
2860		-	(A) Certain life insurance companies. In the case
2861		-	of a life insurance company subject to the tax imposed
2862		-	by Section 801 of the Internal Revenue Code, life
2863		-	insurance company taxable income, plus the amount of
2864		-	distribution from pre-1984 policyholder surplus
2865		-	accounts as calculated under Section 815a of the
2866		-	Internal Revenue Code;
2867		-	(B) Certain other insurance companies. In the case
2868		-	of mutual insurance companies subject to the tax
2869		-	imposed by Section 831 of the Internal Revenue Code,
2870		-	insurance company taxable income;
2871		-	(C) Regulated investment companies. In the case of
2872		-	a regulated investment company subject to the tax
2873		-	imposed by Section 852 of the Internal Revenue Code,
2874		-
2875		-
2876		-	investment company taxable income;
2877		-	(D) Real estate investment trusts. In the case of
2878		-	a real estate investment trust subject to the tax
2879		-	imposed by Section 857 of the Internal Revenue Code,
2880		-	real estate investment trust taxable income;
2881		-	(E) Consolidated corporations. In the case of a
2882		-	corporation which is a member of an affiliated group
2883		-	of corporations filing a consolidated income tax
2884		-	return for the taxable year for federal income tax
2885		-	purposes, taxable income determined as if such
2886		-	corporation had filed a separate return for federal
2887		-	income tax purposes for the taxable year and each
2888		-	preceding taxable year for which it was a member of an
2889		-	affiliated group. For purposes of this subparagraph,
2890		-	the taxpayer's separate taxable income shall be
2891		-	determined as if the election provided by Section
2892		-	243(b)(2) of the Internal Revenue Code had been in
2893		-	effect for all such years;
2894		-	(F) Cooperatives. In the case of a cooperative
2895		-	corporation or association, the taxable income of such
2896		-	organization determined in accordance with the
2897		-	provisions of Section 1381 through 1388 of the
2898		-	Internal Revenue Code, but without regard to the
2899		-	prohibition against offsetting losses from patronage
2900		-	activities against income from nonpatronage
2901		-	activities; except that a cooperative corporation or
2902		-
2903		-
2904		-	association may make an election to follow its federal
2905		-	income tax treatment of patronage losses and
2906		-	nonpatronage losses. In the event such election is
2907		-	made, such losses shall be computed and carried over
2908		-	in a manner consistent with subsection (a) of Section
2909		-	207 of this Act and apportioned by the apportionment
2910		-	factor reported by the cooperative on its Illinois
2911		-	income tax return filed for the taxable year in which
2912		-	the losses are incurred. The election shall be
2913		-	effective for all taxable years with original returns
2914		-	due on or after the date of the election. In addition,
2915		-	the cooperative may file an amended return or returns,
2916		-	as allowed under this Act, to provide that the
2917		-	election shall be effective for losses incurred or
2918		-	carried forward for taxable years occurring prior to
2919		-	the date of the election. Once made, the election may
2920		-	only be revoked upon approval of the Director. The
2921		-	Department shall adopt rules setting forth
2922		-	requirements for documenting the elections and any
2923		-	resulting Illinois net loss and the standards to be
2924		-	used by the Director in evaluating requests to revoke
2925		-	elections. Public Act 96-932 is declaratory of
2926		-	existing law;
2927		-	(G) Subchapter S corporations. In the case of: (i)
2928		-	a Subchapter S corporation for which there is in
2929		-	effect an election for the taxable year under Section
2930		-
2931		-
2932		-	1362 of the Internal Revenue Code, the taxable income
2933		-	of such corporation determined in accordance with
2934		-	Section 1363(b) of the Internal Revenue Code, except
2935		-	that taxable income shall take into account those
2936		-	items which are required by Section 1363(b)(1) of the
2937		-	Internal Revenue Code to be separately stated; and
2938		-	(ii) a Subchapter S corporation for which there is in
2939		-	effect a federal election to opt out of the provisions
2940		-	of the Subchapter S Revision Act of 1982 and have
2941		-	applied instead the prior federal Subchapter S rules
2942		-	as in effect on July 1, 1982, the taxable income of
2943		-	such corporation determined in accordance with the
2944		-	federal Subchapter S rules as in effect on July 1,
2945		-	1982; and
2946		-	(H) Partnerships. In the case of a partnership,
2947		-	taxable income determined in accordance with Section
2948		-	703 of the Internal Revenue Code, except that taxable
2949		-	income shall take into account those items which are
2950		-	required by Section 703(a)(1) to be separately stated
2951		-	but which would be taken into account by an individual
2952		-	in calculating his taxable income.
2953		-	(3) Recapture of business expenses on disposition of
2954		-	asset or business. Notwithstanding any other law to the
2955		-	contrary, if in prior years income from an asset or
2956		-	business has been classified as business income and in a
2957		-	later year is demonstrated to be non-business income, then
2958		-
2959		-
2960		-	all expenses, without limitation, deducted in such later
2961		-	year and in the 2 immediately preceding taxable years
2962		-	related to that asset or business that generated the
2963		-	non-business income shall be added back and recaptured as
2964		-	business income in the year of the disposition of the
2965		-	asset or business. Such amount shall be apportioned to
2966		-	Illinois using the greater of the apportionment fraction
2967		-	computed for the business under Section 304 of this Act
2968		-	for the taxable year or the average of the apportionment
2969		-	fractions computed for the business under Section 304 of
2970		-	this Act for the taxable year and for the 2 immediately
2971		-	preceding taxable years.
2972		-	(f) Valuation limitation amount.
2973		-	(1) In general. The valuation limitation amount
2974		-	referred to in subsections (a)(2)(G), (c)(2)(I) and
2975		-	(d)(2)(E) is an amount equal to:
2976		-	(A) The sum of the pre-August 1, 1969 appreciation
2977		-	amounts (to the extent consisting of gain reportable
2978		-	under the provisions of Section 1245 or 1250 of the
2979		-	Internal Revenue Code) for all property in respect of
2980		-	which such gain was reported for the taxable year;
2981		-	plus
2982		-	(B) The lesser of (i) the sum of the pre-August 1,
2983		-	1969 appreciation amounts (to the extent consisting of
2984		-	capital gain) for all property in respect of which
2985		-
2986		-
2987		-	such gain was reported for federal income tax purposes
2988		-	for the taxable year, or (ii) the net capital gain for
2989		-	the taxable year, reduced in either case by any amount
2990		-	of such gain included in the amount determined under
2991		-	subsection (a)(2)(F) or (c)(2)(H).
2992		-	(2) Pre-August 1, 1969 appreciation amount.
2993		-	(A) If the fair market value of property referred
2994		-	to in paragraph (1) was readily ascertainable on
2995		-	August 1, 1969, the pre-August 1, 1969 appreciation
2996		-	amount for such property is the lesser of (i) the
2997		-	excess of such fair market value over the taxpayer's
2998		-	basis (for determining gain) for such property on that
2999		-	date (determined under the Internal Revenue Code as in
3000		-	effect on that date), or (ii) the total gain realized
3001		-	and reportable for federal income tax purposes in
3002		-	respect of the sale, exchange or other disposition of
3003		-	such property.
3004		-	(B) If the fair market value of property referred
3005		-	to in paragraph (1) was not readily ascertainable on
3006		-	August 1, 1969, the pre-August 1, 1969 appreciation
3007		-	amount for such property is that amount which bears
3008		-	the same ratio to the total gain reported in respect of
3009		-	the property for federal income tax purposes for the
3010		-	taxable year, as the number of full calendar months in
3011		-	that part of the taxpayer's holding period for the
3012		-	property ending July 31, 1969 bears to the number of
3013		-
3014		-
3015		-	full calendar months in the taxpayer's entire holding
3016		-	period for the property.
3017		-	(C) The Department shall prescribe such
3018		-	regulations as may be necessary to carry out the
3019		-	purposes of this paragraph.
3020		-	(g) Double deductions. Unless specifically provided
3021		-	otherwise, nothing in this Section shall permit the same item
3022		-	to be deducted more than once.
3023		-	(h) Legislative intention. Except as expressly provided by
3024		-	this Section there shall be no modifications or limitations on
3025		-	the amounts of income, gain, loss or deduction taken into
3026		-	account in determining gross income, adjusted gross income or
3027		-	taxable income for federal income tax purposes for the taxable
3028		-	year, or in the amount of such items entering into the
3029		-	computation of base income and net income under this Act for
3030		-	such taxable year, whether in respect of property values as of
3031		-	August 1, 1969 or otherwise.
3032		-	(Source: P.A. 101-9, eff. 6-5-19; 101-81, eff. 7-12-19;
3033		-	102-16, eff. 6-17-21; 102-558, eff. 8-20-21; 102-658, eff.
3034		-	8-27-21; 102-813, eff. 5-13-22; 102-1112, eff. 12-21-22.)
3035		-	Section 50. The Code of Civil Procedure is amended by
3036		-	changing Section 13-212 and by adding Section 13-215.1 as
3037		-	follows:
3038		-
3039		-
3040		-	(735 ILCS 5/13-212) (from Ch. 110, par. 13-212)
3041		-	Sec. 13-212. Physician or hospital.
3042		-	(a) Except as provided in Section 13-215 or 13-215.1 of
3043		-	this Act, no action for damages for injury or death against any
3044		-	physician, dentist, registered nurse or hospital duly licensed
3045		-	under the laws of this State, whether based upon tort, or
3046		-	breach of contract, or otherwise, arising out of patient care
3047		-	shall be brought more than 2 years after the date on which the
3048		-	claimant knew, or through the use of reasonable diligence
3049		-	should have known, or received notice in writing of the
3050		-	existence of the injury or death for which damages are sought
3051		-	in the action, whichever of such date occurs first, but in no
3052		-	event shall such action be brought more than 4 years after the
3053		-	date on which occurred the act or omission or occurrence
3054		-	alleged in such action to have been the cause of such injury or
3055		-	death.
3056		-	(b) Except as provided in Section 13-215 or 13-215.1 of
3057		-	this Act, no action for damages for injury or death against any
3058		-	physician, dentist, registered nurse or hospital duly licensed
3059		-	under the laws of this State, whether based upon tort, or
3060		-	breach of contract, or otherwise, arising out of patient care
3061		-	shall be brought more than 8 years after the date on which
3062		-	occurred the act or omission or occurrence alleged in such
3063		-	action to have been the cause of such injury or death where the
3064		-	person entitled to bring the action was, at the time the cause
3065		-
3066		-
3067		-	of action accrued, under the age of 18 years; provided,
3068		-	however, that in no event may the cause of action be brought
3069		-	after the person's 22nd birthday. If the person was under the
3070		-	age of 18 years when the cause of action accrued and, as a
3071		-	result of this amendatory Act of 1987, the action is either
3072		-	barred or there remains less than 3 years to bring such action,
3073		-	then he or she may bring the action within 3 years of July 20,
3074		-	1987.
3075		-	(c) If the person entitled to bring an action described in
3076		-	this Section is, at the time the cause of action accrued, under
3077		-	a legal disability other than being under the age of 18 years,
3078		-	then the period of limitations does not begin to run until the
3079		-	disability is removed.
3080		-	(d) If the person entitled to bring an action described in
3081		-	this Section is not under a legal disability at the time the
3082		-	cause of action accrues, but becomes under a legal disability
3083		-	before the period of limitations otherwise runs, the period of
3084		-	limitations is stayed until the disability is removed. This
3085		-	subsection (d) does not invalidate any statute of repose
3086		-	provisions contained in this Section. This subsection (d)
3087		-	applies to actions commenced or pending on or after the
3088		-	effective date of this amendatory Act of the 98th General
3089		-	Assembly.
3090		-	(Source: P.A. 98-1077, eff. 1-1-15.)
3091		-	(735 ILCS 5/13-215.1 new)
3092		-
3093		-
3094		-	Sec. 13-215.1. Fertility fraud limitation. Notwithstanding
3095		-	any other provision of the law, an action for fertility fraud
3096		-	under the Illinois Fertility Fraud Act must be commenced
3097		-	within the later of 20 years, if brought under Section 15 of
3098		-	the Illinois Fertility Fraud Act, or 8 years, if brought under
3099		-	Section 20 of the Illinois Fertility Fraud Act, after:
3100		-	(1) the procedure was performed;
3101		-	(2) the 18th birthday of the child;
3102		-	(3) the person first discovers evidence sufficient to
3103		-	bring an action against the defendant through DNA
3104		-	(deoxyribonucleic acid) analysis;
3105		-	(4) the person first becomes aware of the existence of
3106		-	a record that provides evidence sufficient to bring an
3107		-	action against the defendant; or
3108		-	(5) the defendant confesses to the offense.
	31	+	SB0380 Enrolled- 2 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 2 - LRB103 02788 LNS 47794 b
	32	+	SB0380 Enrolled - 2 - LRB103 02788 LNS 47794 b
	33	+	1 Section 10. Definitions. As used in this Act:
	34	+	2 "Assisted reproductive treatment" means treatment pursuant
	35	+	3 to assisted reproduction, as defined in the Reproductive
	36	+	4 Health Act, as a method of achieving a pregnancy through the
	37	+	5 handling of human oocytes, sperm, zygotes, or embryos for the
	38	+	6 purpose of establishing a pregnancy. "Assisted reproduction"
	39	+	7 includes, but is not limited to, methods of artificial
	40	+	8 insemination, in vitro fertilization, embryo transfer, zygote
	41	+	9 transfer, embryo biopsy, preimplantation genetic diagnosis,
	42	+	10 embryo cryopreservation, oocyte, gamete, zygote, and embryo
	43	+	11 donation, and gestational surrogacy.
	44	+	12 "Embryologist" means a laboratory employee who meets any
	45	+	13 Clinical Laboratory Improvement Amendments (CLIA) program
	46	+	14 requirements for laboratory personnel that are required by 42
	47	+	15 CFR Part 493 or the Illinois Clinical Laboratories Code, and
	48	+	16 who performs embryology procedures.
	49	+	17 "Embryology procedures" include:
	50	+	18 (1) culture media preparation and laboratory quality
	51	+	19 control;
	52	+	20 (2) oocyte isolation and identification;
	53	+	21 (3) oocyte maturity and health status assessment;
	54	+	22 (4) oocyte insemination;
	55	+	23 (5) evaluation of fertilization;
	56	+	24 (6) zygote quality assessment;
	57	+	25 (7) embryo culture and grading;
	58	+	26 (8) embryo transfer;
	59	+
	60	+
	61	+
	62	+
	63	+
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	65	+
	66	+
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	68	+	SB0380 Enrolled - 3 - LRB103 02788 LNS 47794 b
	69	+	1 (9) gamete or embryo cryopreservation; and
	70	+	2 (10) micromanipulation of gametes or embryos,
	71	+	3 including intracytoplasmic sperm injection, assisted
	72	+	4 hatching, and embryo biopsy.
	73	+	5 "Health care" means any phase of patient care, including,
	74	+	6 but not limited to: testing; diagnosis; prognosis; ancillary
	75	+	7 research; instructions; assisted reproduction; family
	76	+	8 planning, counseling, referrals, or any other advice in
	77	+	9 connection with conception; surgery or other care or treatment
	78	+	10 rendered by a physician, nurse, paraprofessional, or health
	79	+	11 care facility, intended for the physical, emotional, and
	80	+	12 mental well-being of persons.
	81	+	13 "Health care provider" means a physician, physician
	82	+	14 assistant, advanced practice registered nurse, registered
	83	+	15 nurse, licensed practical nurse, any individual licensed under
	84	+	16 the laws of this State to provide health care, or any
	85	+	17 individual who handles human reproductive material in a health
	86	+	18 care setting.
	87	+	19 "Human reproductive material" means:
	88	+	20 (1) a human spermatozoon or ovum; or
	89	+	21 (2) a human organism at any stage of development from
	90	+	22 fertilized ovum to embryo.
	91	+	23 "In vitro fertilization" means all medical and laboratory
	92	+	24 procedures that are necessary to effectuate the extracorporeal
	93	+	25 fertilization of egg and sperm.
	94	+	26 "Intended parent" means a person who enters into an
	95	+
	96	+
	97	+
	98	+
	99	+
	100	+	SB0380 Enrolled - 3 - LRB103 02788 LNS 47794 b
	101	+
	102	+
	103	+	SB0380 Enrolled- 4 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 4 - LRB103 02788 LNS 47794 b
	104	+	SB0380 Enrolled - 4 - LRB103 02788 LNS 47794 b
	105	+	1 assisted reproductive technology arrangement, including a
	106	+	2 gestational surrogacy arrangement, under which he or she will
	107	+	3 be the legal parent of the resulting child.
	108	+	4 "Laboratory" means a facility for the biological,
	109	+	5 microbiological, serological, chemical, immunohematological,
	110	+	6 hematological, biophysical, cytological, pathological, or
	111	+	7 other examination of materials derived from the human body for
	112	+	8 the purpose of providing information for the diagnosis,
	113	+	9 prevention, or treatment of any disease or impairment of, or
	114	+	10 the assessment of the health of, human beings. These
	115	+	11 examinations include procedures to determine, measure, or
	116	+	12 otherwise describe the presence or absence of various
	117	+	13 substances or organisms in the body. "Laboratory" does not
	118	+	14 include facilities only collecting or preparing specimens, or
	119	+	15 both, or only serving as a mailing service and not performing
	120	+	16 testing.
	121	+	17 "Physician" means a person licensed to practice medicine
	122	+	18 in all its branches in this State.
	123	+	19 Section 15. Fertility fraud. The following individuals may
	124	+	20 bring an action against any health care provider,
	125	+	21 embryologist, or any other person involved in any stage of the
	126	+	22 treatment who knowingly or intentionally used the health care
	127	+	23 provider's, embryologist's, or person's own human reproductive
	128	+	24 material without the patient's informed written consent to
	129	+	25 treatment using the health care provider's, embryologist's, or
	130	+
	131	+
	132	+
	133	+
	134	+
	135	+	SB0380 Enrolled - 4 - LRB103 02788 LNS 47794 b
	136	+
	137	+
	138	+	SB0380 Enrolled- 5 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 5 - LRB103 02788 LNS 47794 b
	139	+	SB0380 Enrolled - 5 - LRB103 02788 LNS 47794 b
	140	+	1 person's human reproductive material:
	141	+	2 (1) a patient who gives birth to a child after
	142	+	3 receiving assisted reproductive treatment or any other
	143	+	4 artificial means used to cause pregnancy;
	144	+	5 (2) the intended parent of the child born as a result
	145	+	6 of the assisted reproductive treatment;
	146	+	7 (3) the surviving spouse of a patient under paragraph
	147	+	8 (1); or
	148	+	9 (4) a child born as a result of the treatment.
	149	+	10 Section 20. Donor fertility fraud. A donor of human
	150	+	11 reproductive material may bring an action against any health
	151	+	12 care provider, embryologist, or any other person involved in
	152	+	13 any stage of the treatment who:
	153	+	14 (1) treats a patient for infertility by using human
	154	+	15 reproductive material donated by the donor; and
	155	+	16 (2) knows that the human reproductive material was
	156	+	17 used:
	157	+	18 (A) without the donor's consent; or
	158	+	19 (B) in a manner or to an extent other than that to
	159	+	20 which the donor consented.
	160	+	21 Section 25. Rewards. A plaintiff who prevails in an action
	161	+	22 under this Act is entitled to reasonable attorney's fees and:
	162	+	23 (1) compensatory and punitive damages; or
	163	+	24 (2) liquidated damages of $50,000.
	164	+
	165	+
	166	+
	167	+
	168	+
	169	+	SB0380 Enrolled - 5 - LRB103 02788 LNS 47794 b
	170	+
	171	+
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	173	+	SB0380 Enrolled - 6 - LRB103 02788 LNS 47794 b
	174	+	1 A plaintiff who prevails in an action brought under
	175	+	2 Section 15 is also entitled to the costs of the fertility
	176	+	3 treatment.
	177	+	4 Section 30. Protective order for access to personal
	178	+	5 medical records and health history. Any child born as a result
	179	+	6 of the fertility fraud referred to in Section 15 is entitled to
	180	+	7 a qualified protective order allowing the child access to the
	181	+	8 personal medical records and health history of the health care
	182	+	9 provider, embryologist, or other person who committed the
	183	+	10 fraud.
	184	+	11 Section 35. Causes of action.
	185	+	12 (a) A person who brings an action under Section 15 has a
	186	+	13 separate cause of action for each child born as the result of
	187	+	14 the fraudulent assisted reproductive treatment.
	188	+	15 (b) A donor or donor's estate that brings an action under
	189	+	16 Section 20 has a separate cause of action for each individual
	190	+	17 who received assisted reproductive treatment with the donor's
	191	+	18 human reproductive material.
	192	+	19 Section 40. Other remedies. Nothing in this Act may be
	193	+	20 construed to prohibit a person from pursuing any other remedy
	194	+	21 provided by law.
	195	+	22 Section 45. The Illinois Income Tax Act is amended by
	196	+
	197	+
	198	+
	199	+
	200	+
	201	+	SB0380 Enrolled - 6 - LRB103 02788 LNS 47794 b
	202	+
	203	+
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	205	+	SB0380 Enrolled - 7 - LRB103 02788 LNS 47794 b
	206	+	1 changing Section 203 as follows:
	207	+	2 (35 ILCS 5/203) (from Ch. 120, par. 2-203)
	208	+	3 Sec. 203. Base income defined.
	209	+	4 (a) Individuals.
	210	+	5 (1) In general. In the case of an individual, base
	211	+	6 income means an amount equal to the taxpayer's adjusted
	212	+	7 gross income for the taxable year as modified by paragraph
	213	+	8 (2).
	214	+	9 (2) Modifications. The adjusted gross income referred
	215	+	10 to in paragraph (1) shall be modified by adding thereto
	216	+	11 the sum of the following amounts:
	217	+	12 (A) An amount equal to all amounts paid or accrued
	218	+	13 to the taxpayer as interest or dividends during the
	219	+	14 taxable year to the extent excluded from gross income
	220	+	15 in the computation of adjusted gross income, except
	221	+	16 stock dividends of qualified public utilities
	222	+	17 described in Section 305(e) of the Internal Revenue
	223	+	18 Code;
	224	+	19 (B) An amount equal to the amount of tax imposed by
	225	+	20 this Act to the extent deducted from gross income in
	226	+	21 the computation of adjusted gross income for the
	227	+	22 taxable year;
	228	+	23 (C) An amount equal to the amount received during
	229	+	24 the taxable year as a recovery or refund of real
	230	+	25 property taxes paid with respect to the taxpayer's
	231	+
	232	+
	233	+
	234	+
	235	+
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	237	+
	238	+
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	240	+	SB0380 Enrolled - 8 - LRB103 02788 LNS 47794 b
	241	+	1 principal residence under the Revenue Act of 1939 and
	242	+	2 for which a deduction was previously taken under
	243	+	3 subparagraph (L) of this paragraph (2) prior to July
	244	+	4 1, 1991, the retrospective application date of Article
	245	+	5 4 of Public Act 87-17. In the case of multi-unit or
	246	+	6 multi-use structures and farm dwellings, the taxes on
	247	+	7 the taxpayer's principal residence shall be that
	248	+	8 portion of the total taxes for the entire property
	249	+	9 which is attributable to such principal residence;
	250	+	10 (D) An amount equal to the amount of the capital
	251	+	11 gain deduction allowable under the Internal Revenue
	252	+	12 Code, to the extent deducted from gross income in the
	253	+	13 computation of adjusted gross income;
	254	+	14 (D-5) An amount, to the extent not included in
	255	+	15 adjusted gross income, equal to the amount of money
	256	+	16 withdrawn by the taxpayer in the taxable year from a
	257	+	17 medical care savings account and the interest earned
	258	+	18 on the account in the taxable year of a withdrawal
	259	+	19 pursuant to subsection (b) of Section 20 of the
	260	+	20 Medical Care Savings Account Act or subsection (b) of
	261	+	21 Section 20 of the Medical Care Savings Account Act of
	262	+	22 2000;
	263	+	23 (D-10) For taxable years ending after December 31,
	264	+	24 1997, an amount equal to any eligible remediation
	265	+	25 costs that the individual deducted in computing
	266	+	26 adjusted gross income and for which the individual
	267	+
	268	+
	269	+
	270	+
	271	+
	272	+	SB0380 Enrolled - 8 - LRB103 02788 LNS 47794 b
	273	+
	274	+
	275	+	SB0380 Enrolled- 9 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 9 - LRB103 02788 LNS 47794 b
	276	+	SB0380 Enrolled - 9 - LRB103 02788 LNS 47794 b
	277	+	1 claims a credit under subsection (l) of Section 201;
	278	+	2 (D-15) For taxable years 2001 and thereafter, an
	279	+	3 amount equal to the bonus depreciation deduction taken
	280	+	4 on the taxpayer's federal income tax return for the
	281	+	5 taxable year under subsection (k) of Section 168 of
	282	+	6 the Internal Revenue Code;
	283	+	7 (D-16) If the taxpayer sells, transfers, abandons,
	284	+	8 or otherwise disposes of property for which the
	285	+	9 taxpayer was required in any taxable year to make an
	286	+	10 addition modification under subparagraph (D-15), then
	287	+	11 an amount equal to the aggregate amount of the
	288	+	12 deductions taken in all taxable years under
	289	+	13 subparagraph (Z) with respect to that property.
	290	+	14 If the taxpayer continues to own property through
	291	+	15 the last day of the last tax year for which a
	292	+	16 subtraction is allowed with respect to that property
	293	+	17 under subparagraph (Z) and for which the taxpayer was
	294	+	18 allowed in any taxable year to make a subtraction
	295	+	19 modification under subparagraph (Z), then an amount
	296	+	20 equal to that subtraction modification.
	297	+	21 The taxpayer is required to make the addition
	298	+	22 modification under this subparagraph only once with
	299	+	23 respect to any one piece of property;
	300	+	24 (D-17) An amount equal to the amount otherwise
	301	+	25 allowed as a deduction in computing base income for
	302	+	26 interest paid, accrued, or incurred, directly or
	303	+
	304	+
	305	+
	306	+
	307	+
	308	+	SB0380 Enrolled - 9 - LRB103 02788 LNS 47794 b
	309	+
	310	+
	311	+	SB0380 Enrolled- 10 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 10 - LRB103 02788 LNS 47794 b
	312	+	SB0380 Enrolled - 10 - LRB103 02788 LNS 47794 b
	313	+	1 indirectly, (i) for taxable years ending on or after
	314	+	2 December 31, 2004, to a foreign person who would be a
	315	+	3 member of the same unitary business group but for the
	316	+	4 fact that foreign person's business activity outside
	317	+	5 the United States is 80% or more of the foreign
	318	+	6 person's total business activity and (ii) for taxable
	319	+	7 years ending on or after December 31, 2008, to a person
	320	+	8 who would be a member of the same unitary business
	321	+	9 group but for the fact that the person is prohibited
	322	+	10 under Section 1501(a)(27) from being included in the
	323	+	11 unitary business group because he or she is ordinarily
	324	+	12 required to apportion business income under different
	325	+	13 subsections of Section 304. The addition modification
	326	+	14 required by this subparagraph shall be reduced to the
	327	+	15 extent that dividends were included in base income of
	328	+	16 the unitary group for the same taxable year and
	329	+	17 received by the taxpayer or by a member of the
	330	+	18 taxpayer's unitary business group (including amounts
	331	+	19 included in gross income under Sections 951 through
	332	+	20 964 of the Internal Revenue Code and amounts included
	333	+	21 in gross income under Section 78 of the Internal
	334	+	22 Revenue Code) with respect to the stock of the same
	335	+	23 person to whom the interest was paid, accrued, or
	336	+	24 incurred.
	337	+	25 This paragraph shall not apply to the following:
	338	+	26 (i) an item of interest paid, accrued, or
	339	+
	340	+
	341	+
	342	+
	343	+
	344	+	SB0380 Enrolled - 10 - LRB103 02788 LNS 47794 b
	345	+
	346	+
	347	+	SB0380 Enrolled- 11 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 11 - LRB103 02788 LNS 47794 b
	348	+	SB0380 Enrolled - 11 - LRB103 02788 LNS 47794 b
	349	+	1 incurred, directly or indirectly, to a person who
	350	+	2 is subject in a foreign country or state, other
	351	+	3 than a state which requires mandatory unitary
	352	+	4 reporting, to a tax on or measured by net income
	353	+	5 with respect to such interest; or
	354	+	6 (ii) an item of interest paid, accrued, or
	355	+	7 incurred, directly or indirectly, to a person if
	356	+	8 the taxpayer can establish, based on a
	357	+	9 preponderance of the evidence, both of the
	358	+	10 following:
	359	+	11 (a) the person, during the same taxable
	360	+	12 year, paid, accrued, or incurred, the interest
	361	+	13 to a person that is not a related member, and
	362	+	14 (b) the transaction giving rise to the
	363	+	15 interest expense between the taxpayer and the
	364	+	16 person did not have as a principal purpose the
	365	+	17 avoidance of Illinois income tax, and is paid
	366	+	18 pursuant to a contract or agreement that
	367	+	19 reflects an arm's-length interest rate and
	368	+	20 terms; or
	369	+	21 (iii) the taxpayer can establish, based on
	370	+	22 clear and convincing evidence, that the interest
	371	+	23 paid, accrued, or incurred relates to a contract
	372	+	24 or agreement entered into at arm's-length rates
	373	+	25 and terms and the principal purpose for the
	374	+	26 payment is not federal or Illinois tax avoidance;
	375	+
	376	+
	377	+
	378	+
	379	+
	380	+	SB0380 Enrolled - 11 - LRB103 02788 LNS 47794 b
	381	+
	382	+
	383	+	SB0380 Enrolled- 12 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 12 - LRB103 02788 LNS 47794 b
	384	+	SB0380 Enrolled - 12 - LRB103 02788 LNS 47794 b
	385	+	1 or
	386	+	2 (iv) an item of interest paid, accrued, or
	387	+	3 incurred, directly or indirectly, to a person if
	388	+	4 the taxpayer establishes by clear and convincing
	389	+	5 evidence that the adjustments are unreasonable; or
	390	+	6 if the taxpayer and the Director agree in writing
	391	+	7 to the application or use of an alternative method
	392	+	8 of apportionment under Section 304(f).
	393	+	9 Nothing in this subsection shall preclude the
	394	+	10 Director from making any other adjustment
	395	+	11 otherwise allowed under Section 404 of this Act
	396	+	12 for any tax year beginning after the effective
	397	+	13 date of this amendment provided such adjustment is
	398	+	14 made pursuant to regulation adopted by the
	399	+	15 Department and such regulations provide methods
	400	+	16 and standards by which the Department will utilize
	401	+	17 its authority under Section 404 of this Act;
	402	+	18 (D-18) An amount equal to the amount of intangible
	403	+	19 expenses and costs otherwise allowed as a deduction in
	404	+	20 computing base income, and that were paid, accrued, or
	405	+	21 incurred, directly or indirectly, (i) for taxable
	406	+	22 years ending on or after December 31, 2004, to a
	407	+	23 foreign person who would be a member of the same
	408	+	24 unitary business group but for the fact that the
	409	+	25 foreign person's business activity outside the United
	410	+	26 States is 80% or more of that person's total business
	411	+
	412	+
	413	+
	414	+
	415	+
	416	+	SB0380 Enrolled - 12 - LRB103 02788 LNS 47794 b
	417	+
	418	+
	419	+	SB0380 Enrolled- 13 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 13 - LRB103 02788 LNS 47794 b
	420	+	SB0380 Enrolled - 13 - LRB103 02788 LNS 47794 b
	421	+	1 activity and (ii) for taxable years ending on or after
	422	+	2 December 31, 2008, to a person who would be a member of
	423	+	3 the same unitary business group but for the fact that
	424	+	4 the person is prohibited under Section 1501(a)(27)
	425	+	5 from being included in the unitary business group
	426	+	6 because he or she is ordinarily required to apportion
	427	+	7 business income under different subsections of Section
	428	+	8 304. The addition modification required by this
	429	+	9 subparagraph shall be reduced to the extent that
	430	+	10 dividends were included in base income of the unitary
	431	+	11 group for the same taxable year and received by the
	432	+	12 taxpayer or by a member of the taxpayer's unitary
	433	+	13 business group (including amounts included in gross
	434	+	14 income under Sections 951 through 964 of the Internal
	435	+	15 Revenue Code and amounts included in gross income
	436	+	16 under Section 78 of the Internal Revenue Code) with
	437	+	17 respect to the stock of the same person to whom the
	438	+	18 intangible expenses and costs were directly or
	439	+	19 indirectly paid, incurred, or accrued. The preceding
	440	+	20 sentence does not apply to the extent that the same
	441	+	21 dividends caused a reduction to the addition
	442	+	22 modification required under Section 203(a)(2)(D-17) of
	443	+	23 this Act. As used in this subparagraph, the term
	444	+	24 "intangible expenses and costs" includes (1) expenses,
	445	+	25 losses, and costs for, or related to, the direct or
	446	+	26 indirect acquisition, use, maintenance or management,
	447	+
	448	+
	449	+
	450	+
	451	+
	452	+	SB0380 Enrolled - 13 - LRB103 02788 LNS 47794 b
	453	+
	454	+
	455	+	SB0380 Enrolled- 14 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 14 - LRB103 02788 LNS 47794 b
	456	+	SB0380 Enrolled - 14 - LRB103 02788 LNS 47794 b
	457	+	1 ownership, sale, exchange, or any other disposition of
	458	+	2 intangible property; (2) losses incurred, directly or
	459	+	3 indirectly, from factoring transactions or discounting
	460	+	4 transactions; (3) royalty, patent, technical, and
	461	+	5 copyright fees; (4) licensing fees; and (5) other
	462	+	6 similar expenses and costs. For purposes of this
	463	+	7 subparagraph, "intangible property" includes patents,
	464	+	8 patent applications, trade names, trademarks, service
	465	+	9 marks, copyrights, mask works, trade secrets, and
	466	+	10 similar types of intangible assets.
	467	+	11 This paragraph shall not apply to the following:
	468	+	12 (i) any item of intangible expenses or costs
	469	+	13 paid, accrued, or incurred, directly or
	470	+	14 indirectly, from a transaction with a person who
	471	+	15 is subject in a foreign country or state, other
	472	+	16 than a state which requires mandatory unitary
	473	+	17 reporting, to a tax on or measured by net income
	474	+	18 with respect to such item; or
	475	+	19 (ii) any item of intangible expense or cost
	476	+	20 paid, accrued, or incurred, directly or
	477	+	21 indirectly, if the taxpayer can establish, based
	478	+	22 on a preponderance of the evidence, both of the
	479	+	23 following:
	480	+	24 (a) the person during the same taxable
	481	+	25 year paid, accrued, or incurred, the
	482	+	26 intangible expense or cost to a person that is
	483	+
	484	+
	485	+
	486	+
	487	+
	488	+	SB0380 Enrolled - 14 - LRB103 02788 LNS 47794 b
	489	+
	490	+
	491	+	SB0380 Enrolled- 15 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 15 - LRB103 02788 LNS 47794 b
	492	+	SB0380 Enrolled - 15 - LRB103 02788 LNS 47794 b
	493	+	1 not a related member, and
	494	+	2 (b) the transaction giving rise to the
	495	+	3 intangible expense or cost between the
	496	+	4 taxpayer and the person did not have as a
	497	+	5 principal purpose the avoidance of Illinois
	498	+	6 income tax, and is paid pursuant to a contract
	499	+	7 or agreement that reflects arm's-length terms;
	500	+	8 or
	501	+	9 (iii) any item of intangible expense or cost
	502	+	10 paid, accrued, or incurred, directly or
	503	+	11 indirectly, from a transaction with a person if
	504	+	12 the taxpayer establishes by clear and convincing
	505	+	13 evidence, that the adjustments are unreasonable;
	506	+	14 or if the taxpayer and the Director agree in
	507	+	15 writing to the application or use of an
	508	+	16 alternative method of apportionment under Section
	509	+	17 304(f);
	510	+	18 Nothing in this subsection shall preclude the
	511	+	19 Director from making any other adjustment
	512	+	20 otherwise allowed under Section 404 of this Act
	513	+	21 for any tax year beginning after the effective
	514	+	22 date of this amendment provided such adjustment is
	515	+	23 made pursuant to regulation adopted by the
	516	+	24 Department and such regulations provide methods
	517	+	25 and standards by which the Department will utilize
	518	+	26 its authority under Section 404 of this Act;
	519	+
	520	+
	521	+
	522	+
	523	+
	524	+	SB0380 Enrolled - 15 - LRB103 02788 LNS 47794 b
	525	+
	526	+
	527	+	SB0380 Enrolled- 16 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 16 - LRB103 02788 LNS 47794 b
	528	+	SB0380 Enrolled - 16 - LRB103 02788 LNS 47794 b
	529	+	1 (D-19) For taxable years ending on or after
	530	+	2 December 31, 2008, an amount equal to the amount of
	531	+	3 insurance premium expenses and costs otherwise allowed
	532	+	4 as a deduction in computing base income, and that were
	533	+	5 paid, accrued, or incurred, directly or indirectly, to
	534	+	6 a person who would be a member of the same unitary
	535	+	7 business group but for the fact that the person is
	536	+	8 prohibited under Section 1501(a)(27) from being
	537	+	9 included in the unitary business group because he or
	538	+	10 she is ordinarily required to apportion business
	539	+	11 income under different subsections of Section 304. The
	540	+	12 addition modification required by this subparagraph
	541	+	13 shall be reduced to the extent that dividends were
	542	+	14 included in base income of the unitary group for the
	543	+	15 same taxable year and received by the taxpayer or by a
	544	+	16 member of the taxpayer's unitary business group
	545	+	17 (including amounts included in gross income under
	546	+	18 Sections 951 through 964 of the Internal Revenue Code
	547	+	19 and amounts included in gross income under Section 78
	548	+	20 of the Internal Revenue Code) with respect to the
	549	+	21 stock of the same person to whom the premiums and costs
	550	+	22 were directly or indirectly paid, incurred, or
	551	+	23 accrued. The preceding sentence does not apply to the
	552	+	24 extent that the same dividends caused a reduction to
	553	+	25 the addition modification required under Section
	554	+	26 203(a)(2)(D-17) or Section 203(a)(2)(D-18) of this
	555	+
	556	+
	557	+
	558	+
	559	+
	560	+	SB0380 Enrolled - 16 - LRB103 02788 LNS 47794 b
	561	+
	562	+
	563	+	SB0380 Enrolled- 17 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 17 - LRB103 02788 LNS 47794 b
	564	+	SB0380 Enrolled - 17 - LRB103 02788 LNS 47794 b
	565	+	1 Act;
	566	+	2 (D-20) For taxable years beginning on or after
	567	+	3 January 1, 2002 and ending on or before December 31,
	568	+	4 2006, in the case of a distribution from a qualified
	569	+	5 tuition program under Section 529 of the Internal
	570	+	6 Revenue Code, other than (i) a distribution from a
	571	+	7 College Savings Pool created under Section 16.5 of the
	572	+	8 State Treasurer Act or (ii) a distribution from the
	573	+	9 Illinois Prepaid Tuition Trust Fund, an amount equal
	574	+	10 to the amount excluded from gross income under Section
	575	+	11 529(c)(3)(B). For taxable years beginning on or after
	576	+	12 January 1, 2007, in the case of a distribution from a
	577	+	13 qualified tuition program under Section 529 of the
	578	+	14 Internal Revenue Code, other than (i) a distribution
	579	+	15 from a College Savings Pool created under Section 16.5
	580	+	16 of the State Treasurer Act, (ii) a distribution from
	581	+	17 the Illinois Prepaid Tuition Trust Fund, or (iii) a
	582	+	18 distribution from a qualified tuition program under
	583	+	19 Section 529 of the Internal Revenue Code that (I)
	584	+	20 adopts and determines that its offering materials
	585	+	21 comply with the College Savings Plans Network's
	586	+	22 disclosure principles and (II) has made reasonable
	587	+	23 efforts to inform in-state residents of the existence
	588	+	24 of in-state qualified tuition programs by informing
	589	+	25 Illinois residents directly and, where applicable, to
	590	+	26 inform financial intermediaries distributing the
	591	+
	592	+
	593	+
	594	+
	595	+
	596	+	SB0380 Enrolled - 17 - LRB103 02788 LNS 47794 b
	597	+
	598	+
	599	+	SB0380 Enrolled- 18 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 18 - LRB103 02788 LNS 47794 b
	600	+	SB0380 Enrolled - 18 - LRB103 02788 LNS 47794 b
	601	+	1 program to inform in-state residents of the existence
	602	+	2 of in-state qualified tuition programs at least
	603	+	3 annually, an amount equal to the amount excluded from
	604	+	4 gross income under Section 529(c)(3)(B).
	605	+	5 For the purposes of this subparagraph (D-20), a
	606	+	6 qualified tuition program has made reasonable efforts
	607	+	7 if it makes disclosures (which may use the term
	608	+	8 "in-state program" or "in-state plan" and need not
	609	+	9 specifically refer to Illinois or its qualified
	610	+	10 programs by name) (i) directly to prospective
	611	+	11 participants in its offering materials or makes a
	612	+	12 public disclosure, such as a website posting; and (ii)
	613	+	13 where applicable, to intermediaries selling the
	614	+	14 out-of-state program in the same manner that the
	615	+	15 out-of-state program distributes its offering
	616	+	16 materials;
	617	+	17 (D-20.5) For taxable years beginning on or after
	618	+	18 January 1, 2018, in the case of a distribution from a
	619	+	19 qualified ABLE program under Section 529A of the
	620	+	20 Internal Revenue Code, other than a distribution from
	621	+	21 a qualified ABLE program created under Section 16.6 of
	622	+	22 the State Treasurer Act, an amount equal to the amount
	623	+	23 excluded from gross income under Section 529A(c)(1)(B)
	624	+	24 of the Internal Revenue Code;
	625	+	25 (D-21) For taxable years beginning on or after
	626	+	26 January 1, 2007, in the case of transfer of moneys from
	627	+
	628	+
	629	+
	630	+
	631	+
	632	+	SB0380 Enrolled - 18 - LRB103 02788 LNS 47794 b
	633	+
	634	+
	635	+	SB0380 Enrolled- 19 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 19 - LRB103 02788 LNS 47794 b
	636	+	SB0380 Enrolled - 19 - LRB103 02788 LNS 47794 b
	637	+	1 a qualified tuition program under Section 529 of the
	638	+	2 Internal Revenue Code that is administered by the
	639	+	3 State to an out-of-state program, an amount equal to
	640	+	4 the amount of moneys previously deducted from base
	641	+	5 income under subsection (a)(2)(Y) of this Section;
	642	+	6 (D-21.5) For taxable years beginning on or after
	643	+	7 January 1, 2018, in the case of the transfer of moneys
	644	+	8 from a qualified tuition program under Section 529 or
	645	+	9 a qualified ABLE program under Section 529A of the
	646	+	10 Internal Revenue Code that is administered by this
	647	+	11 State to an ABLE account established under an
	648	+	12 out-of-state ABLE account program, an amount equal to
	649	+	13 the contribution component of the transferred amount
	650	+	14 that was previously deducted from base income under
	651	+	15 subsection (a)(2)(Y) or subsection (a)(2)(HH) of this
	652	+	16 Section;
	653	+	17 (D-22) For taxable years beginning on or after
	654	+	18 January 1, 2009, and prior to January 1, 2018, in the
	655	+	19 case of a nonqualified withdrawal or refund of moneys
	656	+	20 from a qualified tuition program under Section 529 of
	657	+	21 the Internal Revenue Code administered by the State
	658	+	22 that is not used for qualified expenses at an eligible
	659	+	23 education institution, an amount equal to the
	660	+	24 contribution component of the nonqualified withdrawal
	661	+	25 or refund that was previously deducted from base
	662	+	26 income under subsection (a)(2)(y) of this Section,
	663	+
	664	+
	665	+
	666	+
	667	+
	668	+	SB0380 Enrolled - 19 - LRB103 02788 LNS 47794 b
	669	+
	670	+
	671	+	SB0380 Enrolled- 20 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 20 - LRB103 02788 LNS 47794 b
	672	+	SB0380 Enrolled - 20 - LRB103 02788 LNS 47794 b
	673	+	1 provided that the withdrawal or refund did not result
	674	+	2 from the beneficiary's death or disability. For
	675	+	3 taxable years beginning on or after January 1, 2018:
	676	+	4 (1) in the case of a nonqualified withdrawal or
	677	+	5 refund, as defined under Section 16.5 of the State
	678	+	6 Treasurer Act, of moneys from a qualified tuition
	679	+	7 program under Section 529 of the Internal Revenue Code
	680	+	8 administered by the State, an amount equal to the
	681	+	9 contribution component of the nonqualified withdrawal
	682	+	10 or refund that was previously deducted from base
	683	+	11 income under subsection (a)(2)(Y) of this Section, and
	684	+	12 (2) in the case of a nonqualified withdrawal or refund
	685	+	13 from a qualified ABLE program under Section 529A of
	686	+	14 the Internal Revenue Code administered by the State
	687	+	15 that is not used for qualified disability expenses, an
	688	+	16 amount equal to the contribution component of the
	689	+	17 nonqualified withdrawal or refund that was previously
	690	+	18 deducted from base income under subsection (a)(2)(HH)
	691	+	19 of this Section;
	692	+	20 (D-23) An amount equal to the credit allowable to
	693	+	21 the taxpayer under Section 218(a) of this Act,
	694	+	22 determined without regard to Section 218(c) of this
	695	+	23 Act;
	696	+	24 (D-24) For taxable years ending on or after
	697	+	25 December 31, 2017, an amount equal to the deduction
	698	+	26 allowed under Section 199 of the Internal Revenue Code
	699	+
	700	+
	701	+
	702	+
	703	+
	704	+	SB0380 Enrolled - 20 - LRB103 02788 LNS 47794 b
	705	+
	706	+
	707	+	SB0380 Enrolled- 21 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 21 - LRB103 02788 LNS 47794 b
	708	+	SB0380 Enrolled - 21 - LRB103 02788 LNS 47794 b
	709	+	1 for the taxable year;
	710	+	2 (D-25) In the case of a resident, an amount equal
	711	+	3 to the amount of tax for which a credit is allowed
	712	+	4 pursuant to Section 201(p)(7) of this Act;
	713	+	5 and by deducting from the total so obtained the sum of the
	714	+	6 following amounts:
	715	+	7 (E) For taxable years ending before December 31,
	716	+	8 2001, any amount included in such total in respect of
	717	+	9 any compensation (including but not limited to any
	718	+	10 compensation paid or accrued to a serviceman while a
	719	+	11 prisoner of war or missing in action) paid to a
	720	+	12 resident by reason of being on active duty in the Armed
	721	+	13 Forces of the United States and in respect of any
	722	+	14 compensation paid or accrued to a resident who as a
	723	+	15 governmental employee was a prisoner of war or missing
	724	+	16 in action, and in respect of any compensation paid to a
	725	+	17 resident in 1971 or thereafter for annual training
	726	+	18 performed pursuant to Sections 502 and 503, Title 32,
	727	+	19 United States Code as a member of the Illinois
	728	+	20 National Guard or, beginning with taxable years ending
	729	+	21 on or after December 31, 2007, the National Guard of
	730	+	22 any other state. For taxable years ending on or after
	731	+	23 December 31, 2001, any amount included in such total
	732	+	24 in respect of any compensation (including but not
	733	+	25 limited to any compensation paid or accrued to a
	734	+	26 serviceman while a prisoner of war or missing in
	735	+
	736	+
	737	+
	738	+
	739	+
	740	+	SB0380 Enrolled - 21 - LRB103 02788 LNS 47794 b
	741	+
	742	+
	743	+	SB0380 Enrolled- 22 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 22 - LRB103 02788 LNS 47794 b
	744	+	SB0380 Enrolled - 22 - LRB103 02788 LNS 47794 b
	745	+	1 action) paid to a resident by reason of being a member
	746	+	2 of any component of the Armed Forces of the United
	747	+	3 States and in respect of any compensation paid or
	748	+	4 accrued to a resident who as a governmental employee
	749	+	5 was a prisoner of war or missing in action, and in
	750	+	6 respect of any compensation paid to a resident in 2001
	751	+	7 or thereafter by reason of being a member of the
	752	+	8 Illinois National Guard or, beginning with taxable
	753	+	9 years ending on or after December 31, 2007, the
	754	+	10 National Guard of any other state. The provisions of
	755	+	11 this subparagraph (E) are exempt from the provisions
	756	+	12 of Section 250;
	757	+	13 (F) An amount equal to all amounts included in
	758	+	14 such total pursuant to the provisions of Sections
	759	+	15 402(a), 402(c), 403(a), 403(b), 406(a), 407(a), and
	760	+	16 408 of the Internal Revenue Code, or included in such
	761	+	17 total as distributions under the provisions of any
	762	+	18 retirement or disability plan for employees of any
	763	+	19 governmental agency or unit, or retirement payments to
	764	+	20 retired partners, which payments are excluded in
	765	+	21 computing net earnings from self employment by Section
	766	+	22 1402 of the Internal Revenue Code and regulations
	767	+	23 adopted pursuant thereto;
	768	+	24 (G) The valuation limitation amount;
	769	+	25 (H) An amount equal to the amount of any tax
	770	+	26 imposed by this Act which was refunded to the taxpayer
	771	+
	772	+
	773	+
	774	+
	775	+
	776	+	SB0380 Enrolled - 22 - LRB103 02788 LNS 47794 b
	777	+
	778	+
	779	+	SB0380 Enrolled- 23 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 23 - LRB103 02788 LNS 47794 b
	780	+	SB0380 Enrolled - 23 - LRB103 02788 LNS 47794 b
	781	+	1 and included in such total for the taxable year;
	782	+	2 (I) An amount equal to all amounts included in
	783	+	3 such total pursuant to the provisions of Section 111
	784	+	4 of the Internal Revenue Code as a recovery of items
	785	+	5 previously deducted from adjusted gross income in the
	786	+	6 computation of taxable income;
	787	+	7 (J) An amount equal to those dividends included in
	788	+	8 such total which were paid by a corporation which
	789	+	9 conducts business operations in a River Edge
	790	+	10 Redevelopment Zone or zones created under the River
	791	+	11 Edge Redevelopment Zone Act, and conducts
	792	+	12 substantially all of its operations in a River Edge
	793	+	13 Redevelopment Zone or zones. This subparagraph (J) is
	794	+	14 exempt from the provisions of Section 250;
	795	+	15 (K) An amount equal to those dividends included in
	796	+	16 such total that were paid by a corporation that
	797	+	17 conducts business operations in a federally designated
	798	+	18 Foreign Trade Zone or Sub-Zone and that is designated
	799	+	19 a High Impact Business located in Illinois; provided
	800	+	20 that dividends eligible for the deduction provided in
	801	+	21 subparagraph (J) of paragraph (2) of this subsection
	802	+	22 shall not be eligible for the deduction provided under
	803	+	23 this subparagraph (K);
	804	+	24 (L) For taxable years ending after December 31,
	805	+	25 1983, an amount equal to all social security benefits
	806	+	26 and railroad retirement benefits included in such
	807	+
	808	+
	809	+
	810	+
	811	+
	812	+	SB0380 Enrolled - 23 - LRB103 02788 LNS 47794 b
	813	+
	814	+
	815	+	SB0380 Enrolled- 24 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 24 - LRB103 02788 LNS 47794 b
	816	+	SB0380 Enrolled - 24 - LRB103 02788 LNS 47794 b
	817	+	1 total pursuant to Sections 72(r) and 86 of the
	818	+	2 Internal Revenue Code;
	819	+	3 (M) With the exception of any amounts subtracted
	820	+	4 under subparagraph (N), an amount equal to the sum of
	821	+	5 all amounts disallowed as deductions by (i) Sections
	822	+	6 171(a)(2) and 265(a)(2) of the Internal Revenue Code,
	823	+	7 and all amounts of expenses allocable to interest and
	824	+	8 disallowed as deductions by Section 265(a)(1) of the
	825	+	9 Internal Revenue Code; and (ii) for taxable years
	826	+	10 ending on or after August 13, 1999, Sections
	827	+	11 171(a)(2), 265, 280C, and 832(b)(5)(B)(i) of the
	828	+	12 Internal Revenue Code, plus, for taxable years ending
	829	+	13 on or after December 31, 2011, Section 45G(e)(3) of
	830	+	14 the Internal Revenue Code and, for taxable years
	831	+	15 ending on or after December 31, 2008, any amount
	832	+	16 included in gross income under Section 87 of the
	833	+	17 Internal Revenue Code; the provisions of this
	834	+	18 subparagraph are exempt from the provisions of Section
	835	+	19 250;
	836	+	20 (N) An amount equal to all amounts included in
	837	+	21 such total which are exempt from taxation by this
	838	+	22 State either by reason of its statutes or Constitution
	839	+	23 or by reason of the Constitution, treaties or statutes
	840	+	24 of the United States; provided that, in the case of any
	841	+	25 statute of this State that exempts income derived from
	842	+	26 bonds or other obligations from the tax imposed under
	843	+
	844	+
	845	+
	846	+
	847	+
	848	+	SB0380 Enrolled - 24 - LRB103 02788 LNS 47794 b
	849	+
	850	+
	851	+	SB0380 Enrolled- 25 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 25 - LRB103 02788 LNS 47794 b
	852	+	SB0380 Enrolled - 25 - LRB103 02788 LNS 47794 b
	853	+	1 this Act, the amount exempted shall be the interest
	854	+	2 net of bond premium amortization;
	855	+	3 (O) An amount equal to any contribution made to a
	856	+	4 job training project established pursuant to the Tax
	857	+	5 Increment Allocation Redevelopment Act;
	858	+	6 (P) An amount equal to the amount of the deduction
	859	+	7 used to compute the federal income tax credit for
	860	+	8 restoration of substantial amounts held under claim of
	861	+	9 right for the taxable year pursuant to Section 1341 of
	862	+	10 the Internal Revenue Code or of any itemized deduction
	863	+	11 taken from adjusted gross income in the computation of
	864	+	12 taxable income for restoration of substantial amounts
	865	+	13 held under claim of right for the taxable year;
	866	+	14 (Q) An amount equal to any amounts included in
	867	+	15 such total, received by the taxpayer as an
	868	+	16 acceleration in the payment of life, endowment or
	869	+	17 annuity benefits in advance of the time they would
	870	+	18 otherwise be payable as an indemnity for a terminal
	871	+	19 illness;
	872	+	20 (R) An amount equal to the amount of any federal or
	873	+	21 State bonus paid to veterans of the Persian Gulf War;
	874	+	22 (S) An amount, to the extent included in adjusted
	875	+	23 gross income, equal to the amount of a contribution
	876	+	24 made in the taxable year on behalf of the taxpayer to a
	877	+	25 medical care savings account established under the
	878	+	26 Medical Care Savings Account Act or the Medical Care
	879	+
	880	+
	881	+
	882	+
	883	+
	884	+	SB0380 Enrolled - 25 - LRB103 02788 LNS 47794 b
	885	+
	886	+
	887	+	SB0380 Enrolled- 26 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 26 - LRB103 02788 LNS 47794 b
	888	+	SB0380 Enrolled - 26 - LRB103 02788 LNS 47794 b
	889	+	1 Savings Account Act of 2000 to the extent the
	890	+	2 contribution is accepted by the account administrator
	891	+	3 as provided in that Act;
	892	+	4 (T) An amount, to the extent included in adjusted
	893	+	5 gross income, equal to the amount of interest earned
	894	+	6 in the taxable year on a medical care savings account
	895	+	7 established under the Medical Care Savings Account Act
	896	+	8 or the Medical Care Savings Account Act of 2000 on
	897	+	9 behalf of the taxpayer, other than interest added
	898	+	10 pursuant to item (D-5) of this paragraph (2);
	899	+	11 (U) For one taxable year beginning on or after
	900	+	12 January 1, 1994, an amount equal to the total amount of
	901	+	13 tax imposed and paid under subsections (a) and (b) of
	902	+	14 Section 201 of this Act on grant amounts received by
	903	+	15 the taxpayer under the Nursing Home Grant Assistance
	904	+	16 Act during the taxpayer's taxable years 1992 and 1993;
	905	+	17 (V) Beginning with tax years ending on or after
	906	+	18 December 31, 1995 and ending with tax years ending on
	907	+	19 or before December 31, 2004, an amount equal to the
	908	+	20 amount paid by a taxpayer who is a self-employed
	909	+	21 taxpayer, a partner of a partnership, or a shareholder
	910	+	22 in a Subchapter S corporation for health insurance or
	911	+	23 long-term care insurance for that taxpayer or that
	912	+	24 taxpayer's spouse or dependents, to the extent that
	913	+	25 the amount paid for that health insurance or long-term
	914	+	26 care insurance may be deducted under Section 213 of
	915	+
	916	+
	917	+
	918	+
	919	+
	920	+	SB0380 Enrolled - 26 - LRB103 02788 LNS 47794 b
	921	+
	922	+
	923	+	SB0380 Enrolled- 27 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 27 - LRB103 02788 LNS 47794 b
	924	+	SB0380 Enrolled - 27 - LRB103 02788 LNS 47794 b
	925	+	1 the Internal Revenue Code, has not been deducted on
	926	+	2 the federal income tax return of the taxpayer, and
	927	+	3 does not exceed the taxable income attributable to
	928	+	4 that taxpayer's income, self-employment income, or
	929	+	5 Subchapter S corporation income; except that no
	930	+	6 deduction shall be allowed under this item (V) if the
	931	+	7 taxpayer is eligible to participate in any health
	932	+	8 insurance or long-term care insurance plan of an
	933	+	9 employer of the taxpayer or the taxpayer's spouse. The
	934	+	10 amount of the health insurance and long-term care
	935	+	11 insurance subtracted under this item (V) shall be
	936	+	12 determined by multiplying total health insurance and
	937	+	13 long-term care insurance premiums paid by the taxpayer
	938	+	14 times a number that represents the fractional
	939	+	15 percentage of eligible medical expenses under Section
	940	+	16 213 of the Internal Revenue Code of 1986 not actually
	941	+	17 deducted on the taxpayer's federal income tax return;
	942	+	18 (W) For taxable years beginning on or after
	943	+	19 January 1, 1998, all amounts included in the
	944	+	20 taxpayer's federal gross income in the taxable year
	945	+	21 from amounts converted from a regular IRA to a Roth
	946	+	22 IRA. This paragraph is exempt from the provisions of
	947	+	23 Section 250;
	948	+	24 (X) For taxable year 1999 and thereafter, an
	949	+	25 amount equal to the amount of any (i) distributions,
	950	+	26 to the extent includible in gross income for federal
	951	+
	952	+
	953	+
	954	+
	955	+
	956	+	SB0380 Enrolled - 27 - LRB103 02788 LNS 47794 b
	957	+
	958	+
	959	+	SB0380 Enrolled- 28 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 28 - LRB103 02788 LNS 47794 b
	960	+	SB0380 Enrolled - 28 - LRB103 02788 LNS 47794 b
	961	+	1 income tax purposes, made to the taxpayer because of
	962	+	2 his or her status as a victim of persecution for racial
	963	+	3 or religious reasons by Nazi Germany or any other Axis
	964	+	4 regime or as an heir of the victim and (ii) items of
	965	+	5 income, to the extent includible in gross income for
	966	+	6 federal income tax purposes, attributable to, derived
	967	+	7 from or in any way related to assets stolen from,
	968	+	8 hidden from, or otherwise lost to a victim of
	969	+	9 persecution for racial or religious reasons by Nazi
	970	+	10 Germany or any other Axis regime immediately prior to,
	971	+	11 during, and immediately after World War II, including,
	972	+	12 but not limited to, interest on the proceeds
	973	+	13 receivable as insurance under policies issued to a
	974	+	14 victim of persecution for racial or religious reasons
	975	+	15 by Nazi Germany or any other Axis regime by European
	976	+	16 insurance companies immediately prior to and during
	977	+	17 World War II; provided, however, this subtraction from
	978	+	18 federal adjusted gross income does not apply to assets
	979	+	19 acquired with such assets or with the proceeds from
	980	+	20 the sale of such assets; provided, further, this
	981	+	21 paragraph shall only apply to a taxpayer who was the
	982	+	22 first recipient of such assets after their recovery
	983	+	23 and who is a victim of persecution for racial or
	984	+	24 religious reasons by Nazi Germany or any other Axis
	985	+	25 regime or as an heir of the victim. The amount of and
	986	+	26 the eligibility for any public assistance, benefit, or
	987	+
	988	+
	989	+
	990	+
	991	+
	992	+	SB0380 Enrolled - 28 - LRB103 02788 LNS 47794 b
	993	+
	994	+
	995	+	SB0380 Enrolled- 29 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 29 - LRB103 02788 LNS 47794 b
	996	+	SB0380 Enrolled - 29 - LRB103 02788 LNS 47794 b
	997	+	1 similar entitlement is not affected by the inclusion
	998	+	2 of items (i) and (ii) of this paragraph in gross income
	999	+	3 for federal income tax purposes. This paragraph is
	1000	+	4 exempt from the provisions of Section 250;
	1001	+	5 (Y) For taxable years beginning on or after
	1002	+	6 January 1, 2002 and ending on or before December 31,
	1003	+	7 2004, moneys contributed in the taxable year to a
	1004	+	8 College Savings Pool account under Section 16.5 of the
	1005	+	9 State Treasurer Act, except that amounts excluded from
	1006	+	10 gross income under Section 529(c)(3)(C)(i) of the
	1007	+	11 Internal Revenue Code shall not be considered moneys
	1008	+	12 contributed under this subparagraph (Y). For taxable
	1009	+	13 years beginning on or after January 1, 2005, a maximum
	1010	+	14 of $10,000 contributed in the taxable year to (i) a
	1011	+	15 College Savings Pool account under Section 16.5 of the
	1012	+	16 State Treasurer Act or (ii) the Illinois Prepaid
	1013	+	17 Tuition Trust Fund, except that amounts excluded from
	1014	+	18 gross income under Section 529(c)(3)(C)(i) of the
	1015	+	19 Internal Revenue Code shall not be considered moneys
	1016	+	20 contributed under this subparagraph (Y). For purposes
	1017	+	21 of this subparagraph, contributions made by an
	1018	+	22 employer on behalf of an employee, or matching
	1019	+	23 contributions made by an employee, shall be treated as
	1020	+	24 made by the employee. This subparagraph (Y) is exempt
	1021	+	25 from the provisions of Section 250;
	1022	+	26 (Z) For taxable years 2001 and thereafter, for the
	1023	+
	1024	+
	1025	+
	1026	+
	1027	+
	1028	+	SB0380 Enrolled - 29 - LRB103 02788 LNS 47794 b
	1029	+
	1030	+
	1031	+	SB0380 Enrolled- 30 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 30 - LRB103 02788 LNS 47794 b
	1032	+	SB0380 Enrolled - 30 - LRB103 02788 LNS 47794 b
	1033	+	1 taxable year in which the bonus depreciation deduction
	1034	+	2 is taken on the taxpayer's federal income tax return
	1035	+	3 under subsection (k) of Section 168 of the Internal
	1036	+	4 Revenue Code and for each applicable taxable year
	1037	+	5 thereafter, an amount equal to "x", where:
	1038	+	6 (1) "y" equals the amount of the depreciation
	1039	+	7 deduction taken for the taxable year on the
	1040	+	8 taxpayer's federal income tax return on property
	1041	+	9 for which the bonus depreciation deduction was
	1042	+	10 taken in any year under subsection (k) of Section
	1043	+	11 168 of the Internal Revenue Code, but not
	1044	+	12 including the bonus depreciation deduction;
	1045	+	13 (2) for taxable years ending on or before
	1046	+	14 December 31, 2005, "x" equals "y" multiplied by 30
	1047	+	15 and then divided by 70 (or "y" multiplied by
	1048	+	16 0.429); and
	1049	+	17 (3) for taxable years ending after December
	1050	+	18 31, 2005:
	1051	+	19 (i) for property on which a bonus
	1052	+	20 depreciation deduction of 30% of the adjusted
	1053	+	21 basis was taken, "x" equals "y" multiplied by
	1054	+	22 30 and then divided by 70 (or "y" multiplied
	1055	+	23 by 0.429);
	1056	+	24 (ii) for property on which a bonus
	1057	+	25 depreciation deduction of 50% of the adjusted
	1058	+	26 basis was taken, "x" equals "y" multiplied by
	1059	+
	1060	+
	1061	+
	1062	+
	1063	+
	1064	+	SB0380 Enrolled - 30 - LRB103 02788 LNS 47794 b
	1065	+
	1066	+
	1067	+	SB0380 Enrolled- 31 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 31 - LRB103 02788 LNS 47794 b
	1068	+	SB0380 Enrolled - 31 - LRB103 02788 LNS 47794 b
	1069	+	1 1.0;
	1070	+	2 (iii) for property on which a bonus
	1071	+	3 depreciation deduction of 100% of the adjusted
	1072	+	4 basis was taken in a taxable year ending on or
	1073	+	5 after December 31, 2021, "x" equals the
	1074	+	6 depreciation deduction that would be allowed
	1075	+	7 on that property if the taxpayer had made the
	1076	+	8 election under Section 168(k)(7) of the
	1077	+	9 Internal Revenue Code to not claim bonus
	1078	+	10 depreciation on that property; and
	1079	+	11 (iv) for property on which a bonus
	1080	+	12 depreciation deduction of a percentage other
	1081	+	13 than 30%, 50% or 100% of the adjusted basis
	1082	+	14 was taken in a taxable year ending on or after
	1083	+	15 December 31, 2021, "x" equals "y" multiplied
	1084	+	16 by 100 times the percentage bonus depreciation
	1085	+	17 on the property (that is, 100(bonus%)) and
	1086	+	18 then divided by 100 times 1 minus the
	1087	+	19 percentage bonus depreciation on the property
	1088	+	20 (that is, 100(1bonus%)).
	1089	+	21 The aggregate amount deducted under this
	1090	+	22 subparagraph in all taxable years for any one piece of
	1091	+	23 property may not exceed the amount of the bonus
	1092	+	24 depreciation deduction taken on that property on the
	1093	+	25 taxpayer's federal income tax return under subsection
	1094	+	26 (k) of Section 168 of the Internal Revenue Code. This
	1095	+
	1096	+
	1097	+
	1098	+
	1099	+
	1100	+	SB0380 Enrolled - 31 - LRB103 02788 LNS 47794 b
	1101	+
	1102	+
	1103	+	SB0380 Enrolled- 32 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 32 - LRB103 02788 LNS 47794 b
	1104	+	SB0380 Enrolled - 32 - LRB103 02788 LNS 47794 b
	1105	+	1 subparagraph (Z) is exempt from the provisions of
	1106	+	2 Section 250;
	1107	+	3 (AA) If the taxpayer sells, transfers, abandons,
	1108	+	4 or otherwise disposes of property for which the
	1109	+	5 taxpayer was required in any taxable year to make an
	1110	+	6 addition modification under subparagraph (D-15), then
	1111	+	7 an amount equal to that addition modification.
	1112	+	8 If the taxpayer continues to own property through
	1113	+	9 the last day of the last tax year for which a
	1114	+	10 subtraction is allowed with respect to that property
	1115	+	11 under subparagraph (Z) and for which the taxpayer was
	1116	+	12 required in any taxable year to make an addition
	1117	+	13 modification under subparagraph (D-15), then an amount
	1118	+	14 equal to that addition modification.
	1119	+	15 The taxpayer is allowed to take the deduction
	1120	+	16 under this subparagraph only once with respect to any
	1121	+	17 one piece of property.
	1122	+	18 This subparagraph (AA) is exempt from the
	1123	+	19 provisions of Section 250;
	1124	+	20 (BB) Any amount included in adjusted gross income,
	1125	+	21 other than salary, received by a driver in a
	1126	+	22 ridesharing arrangement using a motor vehicle;
	1127	+	23 (CC) The amount of (i) any interest income (net of
	1128	+	24 the deductions allocable thereto) taken into account
	1129	+	25 for the taxable year with respect to a transaction
	1130	+	26 with a taxpayer that is required to make an addition
	1131	+
	1132	+
	1133	+
	1134	+
	1135	+
	1136	+	SB0380 Enrolled - 32 - LRB103 02788 LNS 47794 b
	1137	+
	1138	+
	1139	+	SB0380 Enrolled- 33 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 33 - LRB103 02788 LNS 47794 b
	1140	+	SB0380 Enrolled - 33 - LRB103 02788 LNS 47794 b
	1141	+	1 modification with respect to such transaction under
	1142	+	2 Section 203(a)(2)(D-17), 203(b)(2)(E-12),
	1143	+	3 203(c)(2)(G-12), or 203(d)(2)(D-7), but not to exceed
	1144	+	4 the amount of that addition modification, and (ii) any
	1145	+	5 income from intangible property (net of the deductions
	1146	+	6 allocable thereto) taken into account for the taxable
	1147	+	7 year with respect to a transaction with a taxpayer
	1148	+	8 that is required to make an addition modification with
	1149	+	9 respect to such transaction under Section
	1150	+	10 203(a)(2)(D-18), 203(b)(2)(E-13), 203(c)(2)(G-13), or
	1151	+	11 203(d)(2)(D-8), but not to exceed the amount of that
	1152	+	12 addition modification. This subparagraph (CC) is
	1153	+	13 exempt from the provisions of Section 250;
	1154	+	14 (DD) An amount equal to the interest income taken
	1155	+	15 into account for the taxable year (net of the
	1156	+	16 deductions allocable thereto) with respect to
	1157	+	17 transactions with (i) a foreign person who would be a
	1158	+	18 member of the taxpayer's unitary business group but
	1159	+	19 for the fact that the foreign person's business
	1160	+	20 activity outside the United States is 80% or more of
	1161	+	21 that person's total business activity and (ii) for
	1162	+	22 taxable years ending on or after December 31, 2008, to
	1163	+	23 a person who would be a member of the same unitary
	1164	+	24 business group but for the fact that the person is
	1165	+	25 prohibited under Section 1501(a)(27) from being
	1166	+	26 included in the unitary business group because he or
	1167	+
	1168	+
	1169	+
	1170	+
	1171	+
	1172	+	SB0380 Enrolled - 33 - LRB103 02788 LNS 47794 b
	1173	+
	1174	+
	1175	+	SB0380 Enrolled- 34 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 34 - LRB103 02788 LNS 47794 b
	1176	+	SB0380 Enrolled - 34 - LRB103 02788 LNS 47794 b
	1177	+	1 she is ordinarily required to apportion business
	1178	+	2 income under different subsections of Section 304, but
	1179	+	3 not to exceed the addition modification required to be
	1180	+	4 made for the same taxable year under Section
	1181	+	5 203(a)(2)(D-17) for interest paid, accrued, or
	1182	+	6 incurred, directly or indirectly, to the same person.
	1183	+	7 This subparagraph (DD) is exempt from the provisions
	1184	+	8 of Section 250;
	1185	+	9 (EE) An amount equal to the income from intangible
	1186	+	10 property taken into account for the taxable year (net
	1187	+	11 of the deductions allocable thereto) with respect to
	1188	+	12 transactions with (i) a foreign person who would be a
	1189	+	13 member of the taxpayer's unitary business group but
	1190	+	14 for the fact that the foreign person's business
	1191	+	15 activity outside the United States is 80% or more of
	1192	+	16 that person's total business activity and (ii) for
	1193	+	17 taxable years ending on or after December 31, 2008, to
	1194	+	18 a person who would be a member of the same unitary
	1195	+	19 business group but for the fact that the person is
	1196	+	20 prohibited under Section 1501(a)(27) from being
	1197	+	21 included in the unitary business group because he or
	1198	+	22 she is ordinarily required to apportion business
	1199	+	23 income under different subsections of Section 304, but
	1200	+	24 not to exceed the addition modification required to be
	1201	+	25 made for the same taxable year under Section
	1202	+	26 203(a)(2)(D-18) for intangible expenses and costs
	1203	+
	1204	+
	1205	+
	1206	+
	1207	+
	1208	+	SB0380 Enrolled - 34 - LRB103 02788 LNS 47794 b
	1209	+
	1210	+
	1211	+	SB0380 Enrolled- 35 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 35 - LRB103 02788 LNS 47794 b
	1212	+	SB0380 Enrolled - 35 - LRB103 02788 LNS 47794 b
	1213	+	1 paid, accrued, or incurred, directly or indirectly, to
	1214	+	2 the same foreign person. This subparagraph (EE) is
	1215	+	3 exempt from the provisions of Section 250;
	1216	+	4 (FF) An amount equal to any amount awarded to the
	1217	+	5 taxpayer during the taxable year by the Court of
	1218	+	6 Claims under subsection (c) of Section 8 of the Court
	1219	+	7 of Claims Act for time unjustly served in a State
	1220	+	8 prison. This subparagraph (FF) is exempt from the
	1221	+	9 provisions of Section 250;
	1222	+	10 (GG) For taxable years ending on or after December
	1223	+	11 31, 2011, in the case of a taxpayer who was required to
	1224	+	12 add back any insurance premiums under Section
	1225	+	13 203(a)(2)(D-19), such taxpayer may elect to subtract
	1226	+	14 that part of a reimbursement received from the
	1227	+	15 insurance company equal to the amount of the expense
	1228	+	16 or loss (including expenses incurred by the insurance
	1229	+	17 company) that would have been taken into account as a
	1230	+	18 deduction for federal income tax purposes if the
	1231	+	19 expense or loss had been uninsured. If a taxpayer
	1232	+	20 makes the election provided for by this subparagraph
	1233	+	21 (GG), the insurer to which the premiums were paid must
	1234	+	22 add back to income the amount subtracted by the
	1235	+	23 taxpayer pursuant to this subparagraph (GG). This
	1236	+	24 subparagraph (GG) is exempt from the provisions of
	1237	+	25 Section 250;
	1238	+	26 (HH) For taxable years beginning on or after
	1239	+
	1240	+
	1241	+
	1242	+
	1243	+
	1244	+	SB0380 Enrolled - 35 - LRB103 02788 LNS 47794 b
	1245	+
	1246	+
	1247	+	SB0380 Enrolled- 36 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 36 - LRB103 02788 LNS 47794 b
	1248	+	SB0380 Enrolled - 36 - LRB103 02788 LNS 47794 b
	1249	+	1 January 1, 2018 and prior to January 1, 2028, a maximum
	1250	+	2 of $10,000 contributed in the taxable year to a
	1251	+	3 qualified ABLE account under Section 16.6 of the State
	1252	+	4 Treasurer Act, except that amounts excluded from gross
	1253	+	5 income under Section 529(c)(3)(C)(i) or Section
	1254	+	6 529A(c)(1)(C) of the Internal Revenue Code shall not
	1255	+	7 be considered moneys contributed under this
	1256	+	8 subparagraph (HH). For purposes of this subparagraph
	1257	+	9 (HH), contributions made by an employer on behalf of
	1258	+	10 an employee, or matching contributions made by an
	1259	+	11 employee, shall be treated as made by the employee;
	1260	+	12 and
	1261	+	13 (II) For taxable years that begin on or after
	1262	+	14 January 1, 2021 and begin before January 1, 2026, the
	1263	+	15 amount that is included in the taxpayer's federal
	1264	+	16 adjusted gross income pursuant to Section 61 of the
	1265	+	17 Internal Revenue Code as discharge of indebtedness
	1266	+	18 attributable to student loan forgiveness and that is
	1267	+	19 not excluded from the taxpayer's federal adjusted
	1268	+	20 gross income pursuant to paragraph (5) of subsection
	1269	+	21 (f) of Section 108 of the Internal Revenue Code; and .
	1270	+	22 (JJ) To the extent includible in gross income for
	1271	+	23 federal income tax purposes, any amount awarded or
	1272	+	24 paid to the taxpayer as a result of a judgment or
	1273	+	25 settlement for fertility fraud as provided in Section
	1274	+	26 15 of the Illinois Fertility Fraud Act, donor
	1275	+
	1276	+
	1277	+
	1278	+
	1279	+
	1280	+	SB0380 Enrolled - 36 - LRB103 02788 LNS 47794 b
	1281	+
	1282	+
	1283	+	SB0380 Enrolled- 37 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 37 - LRB103 02788 LNS 47794 b
	1284	+	SB0380 Enrolled - 37 - LRB103 02788 LNS 47794 b
	1285	+	1 fertility fraud as provided in Section 20 of the
	1286	+	2 Illinois Fertility Fraud Act, or similar action in
	1287	+	3 another state.
	1288	+	4 (b) Corporations.
	1289	+	5 (1) In general. In the case of a corporation, base
	1290	+	6 income means an amount equal to the taxpayer's taxable
	1291	+	7 income for the taxable year as modified by paragraph (2).
	1292	+	8 (2) Modifications. The taxable income referred to in
	1293	+	9 paragraph (1) shall be modified by adding thereto the sum
	1294	+	10 of the following amounts:
	1295	+	11 (A) An amount equal to all amounts paid or accrued
	1296	+	12 to the taxpayer as interest and all distributions
	1297	+	13 received from regulated investment companies during
	1298	+	14 the taxable year to the extent excluded from gross
	1299	+	15 income in the computation of taxable income;
	1300	+	16 (B) An amount equal to the amount of tax imposed by
	1301	+	17 this Act to the extent deducted from gross income in
	1302	+	18 the computation of taxable income for the taxable
	1303	+	19 year;
	1304	+	20 (C) In the case of a regulated investment company,
	1305	+	21 an amount equal to the excess of (i) the net long-term
	1306	+	22 capital gain for the taxable year, over (ii) the
	1307	+	23 amount of the capital gain dividends designated as
	1308	+	24 such in accordance with Section 852(b)(3)(C) of the
	1309	+	25 Internal Revenue Code and any amount designated under
	1310	+
	1311	+
	1312	+
	1313	+
	1314	+
	1315	+	SB0380 Enrolled - 37 - LRB103 02788 LNS 47794 b
	1316	+
	1317	+
	1318	+	SB0380 Enrolled- 38 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 38 - LRB103 02788 LNS 47794 b
	1319	+	SB0380 Enrolled - 38 - LRB103 02788 LNS 47794 b
	1320	+	1 Section 852(b)(3)(D) of the Internal Revenue Code,
	1321	+	2 attributable to the taxable year (this amendatory Act
	1322	+	3 of 1995 (Public Act 89-89) is declarative of existing
	1323	+	4 law and is not a new enactment);
	1324	+	5 (D) The amount of any net operating loss deduction
	1325	+	6 taken in arriving at taxable income, other than a net
	1326	+	7 operating loss carried forward from a taxable year
	1327	+	8 ending prior to December 31, 1986;
	1328	+	9 (E) For taxable years in which a net operating
	1329	+	10 loss carryback or carryforward from a taxable year
	1330	+	11 ending prior to December 31, 1986 is an element of
	1331	+	12 taxable income under paragraph (1) of subsection (e)
	1332	+	13 or subparagraph (E) of paragraph (2) of subsection
	1333	+	14 (e), the amount by which addition modifications other
	1334	+	15 than those provided by this subparagraph (E) exceeded
	1335	+	16 subtraction modifications in such earlier taxable
	1336	+	17 year, with the following limitations applied in the
	1337	+	18 order that they are listed:
	1338	+	19 (i) the addition modification relating to the
	1339	+	20 net operating loss carried back or forward to the
	1340	+	21 taxable year from any taxable year ending prior to
	1341	+	22 December 31, 1986 shall be reduced by the amount
	1342	+	23 of addition modification under this subparagraph
	1343	+	24 (E) which related to that net operating loss and
	1344	+	25 which was taken into account in calculating the
	1345	+	26 base income of an earlier taxable year, and
	1346	+
	1347	+
	1348	+
	1349	+
	1350	+
	1351	+	SB0380 Enrolled - 38 - LRB103 02788 LNS 47794 b
	1352	+
	1353	+
	1354	+	SB0380 Enrolled- 39 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 39 - LRB103 02788 LNS 47794 b
	1355	+	SB0380 Enrolled - 39 - LRB103 02788 LNS 47794 b
	1356	+	1 (ii) the addition modification relating to the
	1357	+	2 net operating loss carried back or forward to the
	1358	+	3 taxable year from any taxable year ending prior to
	1359	+	4 December 31, 1986 shall not exceed the amount of
	1360	+	5 such carryback or carryforward;
	1361	+	6 For taxable years in which there is a net
	1362	+	7 operating loss carryback or carryforward from more
	1363	+	8 than one other taxable year ending prior to December
	1364	+	9 31, 1986, the addition modification provided in this
	1365	+	10 subparagraph (E) shall be the sum of the amounts
	1366	+	11 computed independently under the preceding provisions
	1367	+	12 of this subparagraph (E) for each such taxable year;
	1368	+	13 (E-5) For taxable years ending after December 31,
	1369	+	14 1997, an amount equal to any eligible remediation
	1370	+	15 costs that the corporation deducted in computing
	1371	+	16 adjusted gross income and for which the corporation
	1372	+	17 claims a credit under subsection (l) of Section 201;
	1373	+	18 (E-10) For taxable years 2001 and thereafter, an
	1374	+	19 amount equal to the bonus depreciation deduction taken
	1375	+	20 on the taxpayer's federal income tax return for the
	1376	+	21 taxable year under subsection (k) of Section 168 of
	1377	+	22 the Internal Revenue Code;
	1378	+	23 (E-11) If the taxpayer sells, transfers, abandons,
	1379	+	24 or otherwise disposes of property for which the
	1380	+	25 taxpayer was required in any taxable year to make an
	1381	+	26 addition modification under subparagraph (E-10), then
	1382	+
	1383	+
	1384	+
	1385	+
	1386	+
	1387	+	SB0380 Enrolled - 39 - LRB103 02788 LNS 47794 b
	1388	+
	1389	+
	1390	+	SB0380 Enrolled- 40 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 40 - LRB103 02788 LNS 47794 b
	1391	+	SB0380 Enrolled - 40 - LRB103 02788 LNS 47794 b
	1392	+	1 an amount equal to the aggregate amount of the
	1393	+	2 deductions taken in all taxable years under
	1394	+	3 subparagraph (T) with respect to that property.
	1395	+	4 If the taxpayer continues to own property through
	1396	+	5 the last day of the last tax year for which a
	1397	+	6 subtraction is allowed with respect to that property
	1398	+	7 under subparagraph (T) and for which the taxpayer was
	1399	+	8 allowed in any taxable year to make a subtraction
	1400	+	9 modification under subparagraph (T), then an amount
	1401	+	10 equal to that subtraction modification.
	1402	+	11 The taxpayer is required to make the addition
	1403	+	12 modification under this subparagraph only once with
	1404	+	13 respect to any one piece of property;
	1405	+	14 (E-12) An amount equal to the amount otherwise
	1406	+	15 allowed as a deduction in computing base income for
	1407	+	16 interest paid, accrued, or incurred, directly or
	1408	+	17 indirectly, (i) for taxable years ending on or after
	1409	+	18 December 31, 2004, to a foreign person who would be a
	1410	+	19 member of the same unitary business group but for the
	1411	+	20 fact the foreign person's business activity outside
	1412	+	21 the United States is 80% or more of the foreign
	1413	+	22 person's total business activity and (ii) for taxable
	1414	+	23 years ending on or after December 31, 2008, to a person
	1415	+	24 who would be a member of the same unitary business
	1416	+	25 group but for the fact that the person is prohibited
	1417	+	26 under Section 1501(a)(27) from being included in the
	1418	+
	1419	+
	1420	+
	1421	+
	1422	+
	1423	+	SB0380 Enrolled - 40 - LRB103 02788 LNS 47794 b
	1424	+
	1425	+
	1426	+	SB0380 Enrolled- 41 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 41 - LRB103 02788 LNS 47794 b
	1427	+	SB0380 Enrolled - 41 - LRB103 02788 LNS 47794 b
	1428	+	1 unitary business group because he or she is ordinarily
	1429	+	2 required to apportion business income under different
	1430	+	3 subsections of Section 304. The addition modification
	1431	+	4 required by this subparagraph shall be reduced to the
	1432	+	5 extent that dividends were included in base income of
	1433	+	6 the unitary group for the same taxable year and
	1434	+	7 received by the taxpayer or by a member of the
	1435	+	8 taxpayer's unitary business group (including amounts
	1436	+	9 included in gross income pursuant to Sections 951
	1437	+	10 through 964 of the Internal Revenue Code and amounts
	1438	+	11 included in gross income under Section 78 of the
	1439	+	12 Internal Revenue Code) with respect to the stock of
	1440	+	13 the same person to whom the interest was paid,
	1441	+	14 accrued, or incurred.
	1442	+	15 This paragraph shall not apply to the following:
	1443	+	16 (i) an item of interest paid, accrued, or
	1444	+	17 incurred, directly or indirectly, to a person who
	1445	+	18 is subject in a foreign country or state, other
	1446	+	19 than a state which requires mandatory unitary
	1447	+	20 reporting, to a tax on or measured by net income
	1448	+	21 with respect to such interest; or
	1449	+	22 (ii) an item of interest paid, accrued, or
	1450	+	23 incurred, directly or indirectly, to a person if
	1451	+	24 the taxpayer can establish, based on a
	1452	+	25 preponderance of the evidence, both of the
	1453	+	26 following:
	1454	+
	1455	+
	1456	+
	1457	+
	1458	+
	1459	+	SB0380 Enrolled - 41 - LRB103 02788 LNS 47794 b
	1460	+
	1461	+
	1462	+	SB0380 Enrolled- 42 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 42 - LRB103 02788 LNS 47794 b
	1463	+	SB0380 Enrolled - 42 - LRB103 02788 LNS 47794 b
	1464	+	1 (a) the person, during the same taxable
	1465	+	2 year, paid, accrued, or incurred, the interest
	1466	+	3 to a person that is not a related member, and
	1467	+	4 (b) the transaction giving rise to the
	1468	+	5 interest expense between the taxpayer and the
	1469	+	6 person did not have as a principal purpose the
	1470	+	7 avoidance of Illinois income tax, and is paid
	1471	+	8 pursuant to a contract or agreement that
	1472	+	9 reflects an arm's-length interest rate and
	1473	+	10 terms; or
	1474	+	11 (iii) the taxpayer can establish, based on
	1475	+	12 clear and convincing evidence, that the interest
	1476	+	13 paid, accrued, or incurred relates to a contract
	1477	+	14 or agreement entered into at arm's-length rates
	1478	+	15 and terms and the principal purpose for the
	1479	+	16 payment is not federal or Illinois tax avoidance;
	1480	+	17 or
	1481	+	18 (iv) an item of interest paid, accrued, or
	1482	+	19 incurred, directly or indirectly, to a person if
	1483	+	20 the taxpayer establishes by clear and convincing
	1484	+	21 evidence that the adjustments are unreasonable; or
	1485	+	22 if the taxpayer and the Director agree in writing
	1486	+	23 to the application or use of an alternative method
	1487	+	24 of apportionment under Section 304(f).
	1488	+	25 Nothing in this subsection shall preclude the
	1489	+	26 Director from making any other adjustment
	1490	+
	1491	+
	1492	+
	1493	+
	1494	+
	1495	+	SB0380 Enrolled - 42 - LRB103 02788 LNS 47794 b
	1496	+
	1497	+
	1498	+	SB0380 Enrolled- 43 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 43 - LRB103 02788 LNS 47794 b
	1499	+	SB0380 Enrolled - 43 - LRB103 02788 LNS 47794 b
	1500	+	1 otherwise allowed under Section 404 of this Act
	1501	+	2 for any tax year beginning after the effective
	1502	+	3 date of this amendment provided such adjustment is
	1503	+	4 made pursuant to regulation adopted by the
	1504	+	5 Department and such regulations provide methods
	1505	+	6 and standards by which the Department will utilize
	1506	+	7 its authority under Section 404 of this Act;
	1507	+	8 (E-13) An amount equal to the amount of intangible
	1508	+	9 expenses and costs otherwise allowed as a deduction in
	1509	+	10 computing base income, and that were paid, accrued, or
	1510	+	11 incurred, directly or indirectly, (i) for taxable
	1511	+	12 years ending on or after December 31, 2004, to a
	1512	+	13 foreign person who would be a member of the same
	1513	+	14 unitary business group but for the fact that the
	1514	+	15 foreign person's business activity outside the United
	1515	+	16 States is 80% or more of that person's total business
	1516	+	17 activity and (ii) for taxable years ending on or after
	1517	+	18 December 31, 2008, to a person who would be a member of
	1518	+	19 the same unitary business group but for the fact that
	1519	+	20 the person is prohibited under Section 1501(a)(27)
	1520	+	21 from being included in the unitary business group
	1521	+	22 because he or she is ordinarily required to apportion
	1522	+	23 business income under different subsections of Section
	1523	+	24 304. The addition modification required by this
	1524	+	25 subparagraph shall be reduced to the extent that
	1525	+	26 dividends were included in base income of the unitary
	1526	+
	1527	+
	1528	+
	1529	+
	1530	+
	1531	+	SB0380 Enrolled - 43 - LRB103 02788 LNS 47794 b
	1532	+
	1533	+
	1534	+	SB0380 Enrolled- 44 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 44 - LRB103 02788 LNS 47794 b
	1535	+	SB0380 Enrolled - 44 - LRB103 02788 LNS 47794 b
	1536	+	1 group for the same taxable year and received by the
	1537	+	2 taxpayer or by a member of the taxpayer's unitary
	1538	+	3 business group (including amounts included in gross
	1539	+	4 income pursuant to Sections 951 through 964 of the
	1540	+	5 Internal Revenue Code and amounts included in gross
	1541	+	6 income under Section 78 of the Internal Revenue Code)
	1542	+	7 with respect to the stock of the same person to whom
	1543	+	8 the intangible expenses and costs were directly or
	1544	+	9 indirectly paid, incurred, or accrued. The preceding
	1545	+	10 sentence shall not apply to the extent that the same
	1546	+	11 dividends caused a reduction to the addition
	1547	+	12 modification required under Section 203(b)(2)(E-12) of
	1548	+	13 this Act. As used in this subparagraph, the term
	1549	+	14 "intangible expenses and costs" includes (1) expenses,
	1550	+	15 losses, and costs for, or related to, the direct or
	1551	+	16 indirect acquisition, use, maintenance or management,
	1552	+	17 ownership, sale, exchange, or any other disposition of
	1553	+	18 intangible property; (2) losses incurred, directly or
	1554	+	19 indirectly, from factoring transactions or discounting
	1555	+	20 transactions; (3) royalty, patent, technical, and
	1556	+	21 copyright fees; (4) licensing fees; and (5) other
	1557	+	22 similar expenses and costs. For purposes of this
	1558	+	23 subparagraph, "intangible property" includes patents,
	1559	+	24 patent applications, trade names, trademarks, service
	1560	+	25 marks, copyrights, mask works, trade secrets, and
	1561	+	26 similar types of intangible assets.
	1562	+
	1563	+
	1564	+
	1565	+
	1566	+
	1567	+	SB0380 Enrolled - 44 - LRB103 02788 LNS 47794 b
	1568	+
	1569	+
	1570	+	SB0380 Enrolled- 45 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 45 - LRB103 02788 LNS 47794 b
	1571	+	SB0380 Enrolled - 45 - LRB103 02788 LNS 47794 b
	1572	+	1 This paragraph shall not apply to the following:
	1573	+	2 (i) any item of intangible expenses or costs
	1574	+	3 paid, accrued, or incurred, directly or
	1575	+	4 indirectly, from a transaction with a person who
	1576	+	5 is subject in a foreign country or state, other
	1577	+	6 than a state which requires mandatory unitary
	1578	+	7 reporting, to a tax on or measured by net income
	1579	+	8 with respect to such item; or
	1580	+	9 (ii) any item of intangible expense or cost
	1581	+	10 paid, accrued, or incurred, directly or
	1582	+	11 indirectly, if the taxpayer can establish, based
	1583	+	12 on a preponderance of the evidence, both of the
	1584	+	13 following:
	1585	+	14 (a) the person during the same taxable
	1586	+	15 year paid, accrued, or incurred, the
	1587	+	16 intangible expense or cost to a person that is
	1588	+	17 not a related member, and
	1589	+	18 (b) the transaction giving rise to the
	1590	+	19 intangible expense or cost between the
	1591	+	20 taxpayer and the person did not have as a
	1592	+	21 principal purpose the avoidance of Illinois
	1593	+	22 income tax, and is paid pursuant to a contract
	1594	+	23 or agreement that reflects arm's-length terms;
	1595	+	24 or
	1596	+	25 (iii) any item of intangible expense or cost
	1597	+	26 paid, accrued, or incurred, directly or
	1598	+
	1599	+
	1600	+
	1601	+
	1602	+
	1603	+	SB0380 Enrolled - 45 - LRB103 02788 LNS 47794 b
	1604	+
	1605	+
	1606	+	SB0380 Enrolled- 46 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 46 - LRB103 02788 LNS 47794 b
	1607	+	SB0380 Enrolled - 46 - LRB103 02788 LNS 47794 b
	1608	+	1 indirectly, from a transaction with a person if
	1609	+	2 the taxpayer establishes by clear and convincing
	1610	+	3 evidence, that the adjustments are unreasonable;
	1611	+	4 or if the taxpayer and the Director agree in
	1612	+	5 writing to the application or use of an
	1613	+	6 alternative method of apportionment under Section
	1614	+	7 304(f);
	1615	+	8 Nothing in this subsection shall preclude the
	1616	+	9 Director from making any other adjustment
	1617	+	10 otherwise allowed under Section 404 of this Act
	1618	+	11 for any tax year beginning after the effective
	1619	+	12 date of this amendment provided such adjustment is
	1620	+	13 made pursuant to regulation adopted by the
	1621	+	14 Department and such regulations provide methods
	1622	+	15 and standards by which the Department will utilize
	1623	+	16 its authority under Section 404 of this Act;
	1624	+	17 (E-14) For taxable years ending on or after
	1625	+	18 December 31, 2008, an amount equal to the amount of
	1626	+	19 insurance premium expenses and costs otherwise allowed
	1627	+	20 as a deduction in computing base income, and that were
	1628	+	21 paid, accrued, or incurred, directly or indirectly, to
	1629	+	22 a person who would be a member of the same unitary
	1630	+	23 business group but for the fact that the person is
	1631	+	24 prohibited under Section 1501(a)(27) from being
	1632	+	25 included in the unitary business group because he or
	1633	+	26 she is ordinarily required to apportion business
	1634	+
	1635	+
	1636	+
	1637	+
	1638	+
	1639	+	SB0380 Enrolled - 46 - LRB103 02788 LNS 47794 b
	1640	+
	1641	+
	1642	+	SB0380 Enrolled- 47 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 47 - LRB103 02788 LNS 47794 b
	1643	+	SB0380 Enrolled - 47 - LRB103 02788 LNS 47794 b
	1644	+	1 income under different subsections of Section 304. The
	1645	+	2 addition modification required by this subparagraph
	1646	+	3 shall be reduced to the extent that dividends were
	1647	+	4 included in base income of the unitary group for the
	1648	+	5 same taxable year and received by the taxpayer or by a
	1649	+	6 member of the taxpayer's unitary business group
	1650	+	7 (including amounts included in gross income under
	1651	+	8 Sections 951 through 964 of the Internal Revenue Code
	1652	+	9 and amounts included in gross income under Section 78
	1653	+	10 of the Internal Revenue Code) with respect to the
	1654	+	11 stock of the same person to whom the premiums and costs
	1655	+	12 were directly or indirectly paid, incurred, or
	1656	+	13 accrued. The preceding sentence does not apply to the
	1657	+	14 extent that the same dividends caused a reduction to
	1658	+	15 the addition modification required under Section
	1659	+	16 203(b)(2)(E-12) or Section 203(b)(2)(E-13) of this
	1660	+	17 Act;
	1661	+	18 (E-15) For taxable years beginning after December
	1662	+	19 31, 2008, any deduction for dividends paid by a
	1663	+	20 captive real estate investment trust that is allowed
	1664	+	21 to a real estate investment trust under Section
	1665	+	22 857(b)(2)(B) of the Internal Revenue Code for
	1666	+	23 dividends paid;
	1667	+	24 (E-16) An amount equal to the credit allowable to
	1668	+	25 the taxpayer under Section 218(a) of this Act,
	1669	+	26 determined without regard to Section 218(c) of this
	1670	+
	1671	+
	1672	+
	1673	+
	1674	+
	1675	+	SB0380 Enrolled - 47 - LRB103 02788 LNS 47794 b
	1676	+
	1677	+
	1678	+	SB0380 Enrolled- 48 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 48 - LRB103 02788 LNS 47794 b
	1679	+	SB0380 Enrolled - 48 - LRB103 02788 LNS 47794 b
	1680	+	1 Act;
	1681	+	2 (E-17) For taxable years ending on or after
	1682	+	3 December 31, 2017, an amount equal to the deduction
	1683	+	4 allowed under Section 199 of the Internal Revenue Code
	1684	+	5 for the taxable year;
	1685	+	6 (E-18) for taxable years beginning after December
	1686	+	7 31, 2018, an amount equal to the deduction allowed
	1687	+	8 under Section 250(a)(1)(A) of the Internal Revenue
	1688	+	9 Code for the taxable year;
	1689	+	10 (E-19) for taxable years ending on or after June
	1690	+	11 30, 2021, an amount equal to the deduction allowed
	1691	+	12 under Section 250(a)(1)(B)(i) of the Internal Revenue
	1692	+	13 Code for the taxable year;
	1693	+	14 (E-20) for taxable years ending on or after June
	1694	+	15 30, 2021, an amount equal to the deduction allowed
	1695	+	16 under Sections 243(e) and 245A(a) of the Internal
	1696	+	17 Revenue Code for the taxable year.
	1697	+	18 and by deducting from the total so obtained the sum of the
	1698	+	19 following amounts:
	1699	+	20 (F) An amount equal to the amount of any tax
	1700	+	21 imposed by this Act which was refunded to the taxpayer
	1701	+	22 and included in such total for the taxable year;
	1702	+	23 (G) An amount equal to any amount included in such
	1703	+	24 total under Section 78 of the Internal Revenue Code;
	1704	+	25 (H) In the case of a regulated investment company,
	1705	+	26 an amount equal to the amount of exempt interest
	1706	+
	1707	+
	1708	+
	1709	+
	1710	+
	1711	+	SB0380 Enrolled - 48 - LRB103 02788 LNS 47794 b
	1712	+
	1713	+
	1714	+	SB0380 Enrolled- 49 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 49 - LRB103 02788 LNS 47794 b
	1715	+	SB0380 Enrolled - 49 - LRB103 02788 LNS 47794 b
	1716	+	1 dividends as defined in subsection (b)(5) of Section
	1717	+	2 852 of the Internal Revenue Code, paid to shareholders
	1718	+	3 for the taxable year;
	1719	+	4 (I) With the exception of any amounts subtracted
	1720	+	5 under subparagraph (J), an amount equal to the sum of
	1721	+	6 all amounts disallowed as deductions by (i) Sections
	1722	+	7 171(a)(2) and 265(a)(2) and amounts disallowed as
	1723	+	8 interest expense by Section 291(a)(3) of the Internal
	1724	+	9 Revenue Code, and all amounts of expenses allocable to
	1725	+	10 interest and disallowed as deductions by Section
	1726	+	11 265(a)(1) of the Internal Revenue Code; and (ii) for
	1727	+	12 taxable years ending on or after August 13, 1999,
	1728	+	13 Sections 171(a)(2), 265, 280C, 291(a)(3), and
	1729	+	14 832(b)(5)(B)(i) of the Internal Revenue Code, plus,
	1730	+	15 for tax years ending on or after December 31, 2011,
	1731	+	16 amounts disallowed as deductions by Section 45G(e)(3)
	1732	+	17 of the Internal Revenue Code and, for taxable years
	1733	+	18 ending on or after December 31, 2008, any amount
	1734	+	19 included in gross income under Section 87 of the
	1735	+	20 Internal Revenue Code and the policyholders' share of
	1736	+	21 tax-exempt interest of a life insurance company under
	1737	+	22 Section 807(a)(2)(B) of the Internal Revenue Code (in
	1738	+	23 the case of a life insurance company with gross income
	1739	+	24 from a decrease in reserves for the tax year) or
	1740	+	25 Section 807(b)(1)(B) of the Internal Revenue Code (in
	1741	+	26 the case of a life insurance company allowed a
	1742	+
	1743	+
	1744	+
	1745	+
	1746	+
	1747	+	SB0380 Enrolled - 49 - LRB103 02788 LNS 47794 b
	1748	+
	1749	+
	1750	+	SB0380 Enrolled- 50 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 50 - LRB103 02788 LNS 47794 b
	1751	+	SB0380 Enrolled - 50 - LRB103 02788 LNS 47794 b
	1752	+	1 deduction for an increase in reserves for the tax
	1753	+	2 year); the provisions of this subparagraph are exempt
	1754	+	3 from the provisions of Section 250;
	1755	+	4 (J) An amount equal to all amounts included in
	1756	+	5 such total which are exempt from taxation by this
	1757	+	6 State either by reason of its statutes or Constitution
	1758	+	7 or by reason of the Constitution, treaties or statutes
	1759	+	8 of the United States; provided that, in the case of any
	1760	+	9 statute of this State that exempts income derived from
	1761	+	10 bonds or other obligations from the tax imposed under
	1762	+	11 this Act, the amount exempted shall be the interest
	1763	+	12 net of bond premium amortization;
	1764	+	13 (K) An amount equal to those dividends included in
	1765	+	14 such total which were paid by a corporation which
	1766	+	15 conducts business operations in a River Edge
	1767	+	16 Redevelopment Zone or zones created under the River
	1768	+	17 Edge Redevelopment Zone Act and conducts substantially
	1769	+	18 all of its operations in a River Edge Redevelopment
	1770	+	19 Zone or zones. This subparagraph (K) is exempt from
	1771	+	20 the provisions of Section 250;
	1772	+	21 (L) An amount equal to those dividends included in
	1773	+	22 such total that were paid by a corporation that
	1774	+	23 conducts business operations in a federally designated
	1775	+	24 Foreign Trade Zone or Sub-Zone and that is designated
	1776	+	25 a High Impact Business located in Illinois; provided
	1777	+	26 that dividends eligible for the deduction provided in
	1778	+
	1779	+
	1780	+
	1781	+
	1782	+
	1783	+	SB0380 Enrolled - 50 - LRB103 02788 LNS 47794 b
	1784	+
	1785	+
	1786	+	SB0380 Enrolled- 51 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 51 - LRB103 02788 LNS 47794 b
	1787	+	SB0380 Enrolled - 51 - LRB103 02788 LNS 47794 b
	1788	+	1 subparagraph (K) of paragraph 2 of this subsection
	1789	+	2 shall not be eligible for the deduction provided under
	1790	+	3 this subparagraph (L);
	1791	+	4 (M) For any taxpayer that is a financial
	1792	+	5 organization within the meaning of Section 304(c) of
	1793	+	6 this Act, an amount included in such total as interest
	1794	+	7 income from a loan or loans made by such taxpayer to a
	1795	+	8 borrower, to the extent that such a loan is secured by
	1796	+	9 property which is eligible for the River Edge
	1797	+	10 Redevelopment Zone Investment Credit. To determine the
	1798	+	11 portion of a loan or loans that is secured by property
	1799	+	12 eligible for a Section 201(f) investment credit to the
	1800	+	13 borrower, the entire principal amount of the loan or
	1801	+	14 loans between the taxpayer and the borrower should be
	1802	+	15 divided into the basis of the Section 201(f)
	1803	+	16 investment credit property which secures the loan or
	1804	+	17 loans, using for this purpose the original basis of
	1805	+	18 such property on the date that it was placed in service
	1806	+	19 in the River Edge Redevelopment Zone. The subtraction
	1807	+	20 modification available to the taxpayer in any year
	1808	+	21 under this subsection shall be that portion of the
	1809	+	22 total interest paid by the borrower with respect to
	1810	+	23 such loan attributable to the eligible property as
	1811	+	24 calculated under the previous sentence. This
	1812	+	25 subparagraph (M) is exempt from the provisions of
	1813	+	26 Section 250;
	1814	+
	1815	+
	1816	+
	1817	+
	1818	+
	1819	+	SB0380 Enrolled - 51 - LRB103 02788 LNS 47794 b
	1820	+
	1821	+
	1822	+	SB0380 Enrolled- 52 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 52 - LRB103 02788 LNS 47794 b
	1823	+	SB0380 Enrolled - 52 - LRB103 02788 LNS 47794 b
	1824	+	1 (M-1) For any taxpayer that is a financial
	1825	+	2 organization within the meaning of Section 304(c) of
	1826	+	3 this Act, an amount included in such total as interest
	1827	+	4 income from a loan or loans made by such taxpayer to a
	1828	+	5 borrower, to the extent that such a loan is secured by
	1829	+	6 property which is eligible for the High Impact
	1830	+	7 Business Investment Credit. To determine the portion
	1831	+	8 of a loan or loans that is secured by property eligible
	1832	+	9 for a Section 201(h) investment credit to the
	1833	+	10 borrower, the entire principal amount of the loan or
	1834	+	11 loans between the taxpayer and the borrower should be
	1835	+	12 divided into the basis of the Section 201(h)
	1836	+	13 investment credit property which secures the loan or
	1837	+	14 loans, using for this purpose the original basis of
	1838	+	15 such property on the date that it was placed in service
	1839	+	16 in a federally designated Foreign Trade Zone or
	1840	+	17 Sub-Zone located in Illinois. No taxpayer that is
	1841	+	18 eligible for the deduction provided in subparagraph
	1842	+	19 (M) of paragraph (2) of this subsection shall be
	1843	+	20 eligible for the deduction provided under this
	1844	+	21 subparagraph (M-1). The subtraction modification
	1845	+	22 available to taxpayers in any year under this
	1846	+	23 subsection shall be that portion of the total interest
	1847	+	24 paid by the borrower with respect to such loan
	1848	+	25 attributable to the eligible property as calculated
	1849	+	26 under the previous sentence;
	1850	+
	1851	+
	1852	+
	1853	+
	1854	+
	1855	+	SB0380 Enrolled - 52 - LRB103 02788 LNS 47794 b
	1856	+
	1857	+
	1858	+	SB0380 Enrolled- 53 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 53 - LRB103 02788 LNS 47794 b
	1859	+	SB0380 Enrolled - 53 - LRB103 02788 LNS 47794 b
	1860	+	1 (N) Two times any contribution made during the
	1861	+	2 taxable year to a designated zone organization to the
	1862	+	3 extent that the contribution (i) qualifies as a
	1863	+	4 charitable contribution under subsection (c) of
	1864	+	5 Section 170 of the Internal Revenue Code and (ii)
	1865	+	6 must, by its terms, be used for a project approved by
	1866	+	7 the Department of Commerce and Economic Opportunity
	1867	+	8 under Section 11 of the Illinois Enterprise Zone Act
	1868	+	9 or under Section 10-10 of the River Edge Redevelopment
	1869	+	10 Zone Act. This subparagraph (N) is exempt from the
	1870	+	11 provisions of Section 250;
	1871	+	12 (O) An amount equal to: (i) 85% for taxable years
	1872	+	13 ending on or before December 31, 1992, or, a
	1873	+	14 percentage equal to the percentage allowable under
	1874	+	15 Section 243(a)(1) of the Internal Revenue Code of 1986
	1875	+	16 for taxable years ending after December 31, 1992, of
	1876	+	17 the amount by which dividends included in taxable
	1877	+	18 income and received from a corporation that is not
	1878	+	19 created or organized under the laws of the United
	1879	+	20 States or any state or political subdivision thereof,
	1880	+	21 including, for taxable years ending on or after
	1881	+	22 December 31, 1988, dividends received or deemed
	1882	+	23 received or paid or deemed paid under Sections 951
	1883	+	24 through 965 of the Internal Revenue Code, exceed the
	1884	+	25 amount of the modification provided under subparagraph
	1885	+	26 (G) of paragraph (2) of this subsection (b) which is
	1886	+
	1887	+
	1888	+
	1889	+
	1890	+
	1891	+	SB0380 Enrolled - 53 - LRB103 02788 LNS 47794 b
	1892	+
	1893	+
	1894	+	SB0380 Enrolled- 54 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 54 - LRB103 02788 LNS 47794 b
	1895	+	SB0380 Enrolled - 54 - LRB103 02788 LNS 47794 b
	1896	+	1 related to such dividends, and including, for taxable
	1897	+	2 years ending on or after December 31, 2008, dividends
	1898	+	3 received from a captive real estate investment trust;
	1899	+	4 plus (ii) 100% of the amount by which dividends,
	1900	+	5 included in taxable income and received, including,
	1901	+	6 for taxable years ending on or after December 31,
	1902	+	7 1988, dividends received or deemed received or paid or
	1903	+	8 deemed paid under Sections 951 through 964 of the
	1904	+	9 Internal Revenue Code and including, for taxable years
	1905	+	10 ending on or after December 31, 2008, dividends
	1906	+	11 received from a captive real estate investment trust,
	1907	+	12 from any such corporation specified in clause (i) that
	1908	+	13 would but for the provisions of Section 1504(b)(3) of
	1909	+	14 the Internal Revenue Code be treated as a member of the
	1910	+	15 affiliated group which includes the dividend
	1911	+	16 recipient, exceed the amount of the modification
	1912	+	17 provided under subparagraph (G) of paragraph (2) of
	1913	+	18 this subsection (b) which is related to such
	1914	+	19 dividends. For taxable years ending on or after June
	1915	+	20 30, 2021, (i) for purposes of this subparagraph, the
	1916	+	21 term "dividend" does not include any amount treated as
	1917	+	22 a dividend under Section 1248 of the Internal Revenue
	1918	+	23 Code, and (ii) this subparagraph shall not apply to
	1919	+	24 dividends for which a deduction is allowed under
	1920	+	25 Section 245(a) of the Internal Revenue Code. This
	1921	+	26 subparagraph (O) is exempt from the provisions of
	1922	+
	1923	+
	1924	+
	1925	+
	1926	+
	1927	+	SB0380 Enrolled - 54 - LRB103 02788 LNS 47794 b
	1928	+
	1929	+
	1930	+	SB0380 Enrolled- 55 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 55 - LRB103 02788 LNS 47794 b
	1931	+	SB0380 Enrolled - 55 - LRB103 02788 LNS 47794 b
	1932	+	1 Section 250 of this Act;
	1933	+	2 (P) An amount equal to any contribution made to a
	1934	+	3 job training project established pursuant to the Tax
	1935	+	4 Increment Allocation Redevelopment Act;
	1936	+	5 (Q) An amount equal to the amount of the deduction
	1937	+	6 used to compute the federal income tax credit for
	1938	+	7 restoration of substantial amounts held under claim of
	1939	+	8 right for the taxable year pursuant to Section 1341 of
	1940	+	9 the Internal Revenue Code;
	1941	+	10 (R) On and after July 20, 1999, in the case of an
	1942	+	11 attorney-in-fact with respect to whom an interinsurer
	1943	+	12 or a reciprocal insurer has made the election under
	1944	+	13 Section 835 of the Internal Revenue Code, 26 U.S.C.
	1945	+	14 835, an amount equal to the excess, if any, of the
	1946	+	15 amounts paid or incurred by that interinsurer or
	1947	+	16 reciprocal insurer in the taxable year to the
	1948	+	17 attorney-in-fact over the deduction allowed to that
	1949	+	18 interinsurer or reciprocal insurer with respect to the
	1950	+	19 attorney-in-fact under Section 835(b) of the Internal
	1951	+	20 Revenue Code for the taxable year; the provisions of
	1952	+	21 this subparagraph are exempt from the provisions of
	1953	+	22 Section 250;
	1954	+	23 (S) For taxable years ending on or after December
	1955	+	24 31, 1997, in the case of a Subchapter S corporation, an
	1956	+	25 amount equal to all amounts of income allocable to a
	1957	+	26 shareholder subject to the Personal Property Tax
	1958	+
	1959	+
	1960	+
	1961	+
	1962	+
	1963	+	SB0380 Enrolled - 55 - LRB103 02788 LNS 47794 b
	1964	+
	1965	+
	1966	+	SB0380 Enrolled- 56 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 56 - LRB103 02788 LNS 47794 b
	1967	+	SB0380 Enrolled - 56 - LRB103 02788 LNS 47794 b
	1968	+	1 Replacement Income Tax imposed by subsections (c) and
	1969	+	2 (d) of Section 201 of this Act, including amounts
	1970	+	3 allocable to organizations exempt from federal income
	1971	+	4 tax by reason of Section 501(a) of the Internal
	1972	+	5 Revenue Code. This subparagraph (S) is exempt from the
	1973	+	6 provisions of Section 250;
	1974	+	7 (T) For taxable years 2001 and thereafter, for the
	1975	+	8 taxable year in which the bonus depreciation deduction
	1976	+	9 is taken on the taxpayer's federal income tax return
	1977	+	10 under subsection (k) of Section 168 of the Internal
	1978	+	11 Revenue Code and for each applicable taxable year
	1979	+	12 thereafter, an amount equal to "x", where:
	1980	+	13 (1) "y" equals the amount of the depreciation
	1981	+	14 deduction taken for the taxable year on the
	1982	+	15 taxpayer's federal income tax return on property
	1983	+	16 for which the bonus depreciation deduction was
	1984	+	17 taken in any year under subsection (k) of Section
	1985	+	18 168 of the Internal Revenue Code, but not
	1986	+	19 including the bonus depreciation deduction;
	1987	+	20 (2) for taxable years ending on or before
	1988	+	21 December 31, 2005, "x" equals "y" multiplied by 30
	1989	+	22 and then divided by 70 (or "y" multiplied by
	1990	+	23 0.429); and
	1991	+	24 (3) for taxable years ending after December
	1992	+	25 31, 2005:
	1993	+	26 (i) for property on which a bonus
	1994	+
	1995	+
	1996	+
	1997	+
	1998	+
	1999	+	SB0380 Enrolled - 56 - LRB103 02788 LNS 47794 b
	2000	+
	2001	+
	2002	+	SB0380 Enrolled- 57 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 57 - LRB103 02788 LNS 47794 b
	2003	+	SB0380 Enrolled - 57 - LRB103 02788 LNS 47794 b
	2004	+	1 depreciation deduction of 30% of the adjusted
	2005	+	2 basis was taken, "x" equals "y" multiplied by
	2006	+	3 30 and then divided by 70 (or "y" multiplied
	2007	+	4 by 0.429);
	2008	+	5 (ii) for property on which a bonus
	2009	+	6 depreciation deduction of 50% of the adjusted
	2010	+	7 basis was taken, "x" equals "y" multiplied by
	2011	+	8 1.0;
	2012	+	9 (iii) for property on which a bonus
	2013	+	10 depreciation deduction of 100% of the adjusted
	2014	+	11 basis was taken in a taxable year ending on or
	2015	+	12 after December 31, 2021, "x" equals the
	2016	+	13 depreciation deduction that would be allowed
	2017	+	14 on that property if the taxpayer had made the
	2018	+	15 election under Section 168(k)(7) of the
	2019	+	16 Internal Revenue Code to not claim bonus
	2020	+	17 depreciation on that property; and
	2021	+	18 (iv) for property on which a bonus
	2022	+	19 depreciation deduction of a percentage other
	2023	+	20 than 30%, 50% or 100% of the adjusted basis
	2024	+	21 was taken in a taxable year ending on or after
	2025	+	22 December 31, 2021, "x" equals "y" multiplied
	2026	+	23 by 100 times the percentage bonus depreciation
	2027	+	24 on the property (that is, 100(bonus%)) and
	2028	+	25 then divided by 100 times 1 minus the
	2029	+	26 percentage bonus depreciation on the property
	2030	+
	2031	+
	2032	+
	2033	+
	2034	+
	2035	+	SB0380 Enrolled - 57 - LRB103 02788 LNS 47794 b
	2036	+
	2037	+
	2038	+	SB0380 Enrolled- 58 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 58 - LRB103 02788 LNS 47794 b
	2039	+	SB0380 Enrolled - 58 - LRB103 02788 LNS 47794 b
	2040	+	1 (that is, 100(1bonus%)).
	2041	+	2 The aggregate amount deducted under this
	2042	+	3 subparagraph in all taxable years for any one piece of
	2043	+	4 property may not exceed the amount of the bonus
	2044	+	5 depreciation deduction taken on that property on the
	2045	+	6 taxpayer's federal income tax return under subsection
	2046	+	7 (k) of Section 168 of the Internal Revenue Code. This
	2047	+	8 subparagraph (T) is exempt from the provisions of
	2048	+	9 Section 250;
	2049	+	10 (U) If the taxpayer sells, transfers, abandons, or
	2050	+	11 otherwise disposes of property for which the taxpayer
	2051	+	12 was required in any taxable year to make an addition
	2052	+	13 modification under subparagraph (E-10), then an amount
	2053	+	14 equal to that addition modification.
	2054	+	15 If the taxpayer continues to own property through
	2055	+	16 the last day of the last tax year for which a
	2056	+	17 subtraction is allowed with respect to that property
	2057	+	18 under subparagraph (T) and for which the taxpayer was
	2058	+	19 required in any taxable year to make an addition
	2059	+	20 modification under subparagraph (E-10), then an amount
	2060	+	21 equal to that addition modification.
	2061	+	22 The taxpayer is allowed to take the deduction
	2062	+	23 under this subparagraph only once with respect to any
	2063	+	24 one piece of property.
	2064	+	25 This subparagraph (U) is exempt from the
	2065	+	26 provisions of Section 250;
	2066	+
	2067	+
	2068	+
	2069	+
	2070	+
	2071	+	SB0380 Enrolled - 58 - LRB103 02788 LNS 47794 b
	2072	+
	2073	+
	2074	+	SB0380 Enrolled- 59 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 59 - LRB103 02788 LNS 47794 b
	2075	+	SB0380 Enrolled - 59 - LRB103 02788 LNS 47794 b
	2076	+	1 (V) The amount of: (i) any interest income (net of
	2077	+	2 the deductions allocable thereto) taken into account
	2078	+	3 for the taxable year with respect to a transaction
	2079	+	4 with a taxpayer that is required to make an addition
	2080	+	5 modification with respect to such transaction under
	2081	+	6 Section 203(a)(2)(D-17), 203(b)(2)(E-12),
	2082	+	7 203(c)(2)(G-12), or 203(d)(2)(D-7), but not to exceed
	2083	+	8 the amount of such addition modification, (ii) any
	2084	+	9 income from intangible property (net of the deductions
	2085	+	10 allocable thereto) taken into account for the taxable
	2086	+	11 year with respect to a transaction with a taxpayer
	2087	+	12 that is required to make an addition modification with
	2088	+	13 respect to such transaction under Section
	2089	+	14 203(a)(2)(D-18), 203(b)(2)(E-13), 203(c)(2)(G-13), or
	2090	+	15 203(d)(2)(D-8), but not to exceed the amount of such
	2091	+	16 addition modification, and (iii) any insurance premium
	2092	+	17 income (net of deductions allocable thereto) taken
	2093	+	18 into account for the taxable year with respect to a
	2094	+	19 transaction with a taxpayer that is required to make
	2095	+	20 an addition modification with respect to such
	2096	+	21 transaction under Section 203(a)(2)(D-19), Section
	2097	+	22 203(b)(2)(E-14), Section 203(c)(2)(G-14), or Section
	2098	+	23 203(d)(2)(D-9), but not to exceed the amount of that
	2099	+	24 addition modification. This subparagraph (V) is exempt
	2100	+	25 from the provisions of Section 250;
	2101	+	26 (W) An amount equal to the interest income taken
	2102	+
	2103	+
	2104	+
	2105	+
	2106	+
	2107	+	SB0380 Enrolled - 59 - LRB103 02788 LNS 47794 b
	2108	+
	2109	+
	2110	+	SB0380 Enrolled- 60 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 60 - LRB103 02788 LNS 47794 b
	2111	+	SB0380 Enrolled - 60 - LRB103 02788 LNS 47794 b
	2112	+	1 into account for the taxable year (net of the
	2113	+	2 deductions allocable thereto) with respect to
	2114	+	3 transactions with (i) a foreign person who would be a
	2115	+	4 member of the taxpayer's unitary business group but
	2116	+	5 for the fact that the foreign person's business
	2117	+	6 activity outside the United States is 80% or more of
	2118	+	7 that person's total business activity and (ii) for
	2119	+	8 taxable years ending on or after December 31, 2008, to
	2120	+	9 a person who would be a member of the same unitary
	2121	+	10 business group but for the fact that the person is
	2122	+	11 prohibited under Section 1501(a)(27) from being
	2123	+	12 included in the unitary business group because he or
	2124	+	13 she is ordinarily required to apportion business
	2125	+	14 income under different subsections of Section 304, but
	2126	+	15 not to exceed the addition modification required to be
	2127	+	16 made for the same taxable year under Section
	2128	+	17 203(b)(2)(E-12) for interest paid, accrued, or
	2129	+	18 incurred, directly or indirectly, to the same person.
	2130	+	19 This subparagraph (W) is exempt from the provisions of
	2131	+	20 Section 250;
	2132	+	21 (X) An amount equal to the income from intangible
	2133	+	22 property taken into account for the taxable year (net
	2134	+	23 of the deductions allocable thereto) with respect to
	2135	+	24 transactions with (i) a foreign person who would be a
	2136	+	25 member of the taxpayer's unitary business group but
	2137	+	26 for the fact that the foreign person's business
	2138	+
	2139	+
	2140	+
	2141	+
	2142	+
	2143	+	SB0380 Enrolled - 60 - LRB103 02788 LNS 47794 b
	2144	+
	2145	+
	2146	+	SB0380 Enrolled- 61 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 61 - LRB103 02788 LNS 47794 b
	2147	+	SB0380 Enrolled - 61 - LRB103 02788 LNS 47794 b
	2148	+	1 activity outside the United States is 80% or more of
	2149	+	2 that person's total business activity and (ii) for
	2150	+	3 taxable years ending on or after December 31, 2008, to
	2151	+	4 a person who would be a member of the same unitary
	2152	+	5 business group but for the fact that the person is
	2153	+	6 prohibited under Section 1501(a)(27) from being
	2154	+	7 included in the unitary business group because he or
	2155	+	8 she is ordinarily required to apportion business
	2156	+	9 income under different subsections of Section 304, but
	2157	+	10 not to exceed the addition modification required to be
	2158	+	11 made for the same taxable year under Section
	2159	+	12 203(b)(2)(E-13) for intangible expenses and costs
	2160	+	13 paid, accrued, or incurred, directly or indirectly, to
	2161	+	14 the same foreign person. This subparagraph (X) is
	2162	+	15 exempt from the provisions of Section 250;
	2163	+	16 (Y) For taxable years ending on or after December
	2164	+	17 31, 2011, in the case of a taxpayer who was required to
	2165	+	18 add back any insurance premiums under Section
	2166	+	19 203(b)(2)(E-14), such taxpayer may elect to subtract
	2167	+	20 that part of a reimbursement received from the
	2168	+	21 insurance company equal to the amount of the expense
	2169	+	22 or loss (including expenses incurred by the insurance
	2170	+	23 company) that would have been taken into account as a
	2171	+	24 deduction for federal income tax purposes if the
	2172	+	25 expense or loss had been uninsured. If a taxpayer
	2173	+	26 makes the election provided for by this subparagraph
	2174	+
	2175	+
	2176	+
	2177	+
	2178	+
	2179	+	SB0380 Enrolled - 61 - LRB103 02788 LNS 47794 b
	2180	+
	2181	+
	2182	+	SB0380 Enrolled- 62 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 62 - LRB103 02788 LNS 47794 b
	2183	+	SB0380 Enrolled - 62 - LRB103 02788 LNS 47794 b
	2184	+	1 (Y), the insurer to which the premiums were paid must
	2185	+	2 add back to income the amount subtracted by the
	2186	+	3 taxpayer pursuant to this subparagraph (Y). This
	2187	+	4 subparagraph (Y) is exempt from the provisions of
	2188	+	5 Section 250; and
	2189	+	6 (Z) The difference between the nondeductible
	2190	+	7 controlled foreign corporation dividends under Section
	2191	+	8 965(e)(3) of the Internal Revenue Code over the
	2192	+	9 taxable income of the taxpayer, computed without
	2193	+	10 regard to Section 965(e)(2)(A) of the Internal Revenue
	2194	+	11 Code, and without regard to any net operating loss
	2195	+	12 deduction. This subparagraph (Z) is exempt from the
	2196	+	13 provisions of Section 250.
	2197	+	14 (3) Special rule. For purposes of paragraph (2)(A),
	2198	+	15 "gross income" in the case of a life insurance company,
	2199	+	16 for tax years ending on and after December 31, 1994, and
	2200	+	17 prior to December 31, 2011, shall mean the gross
	2201	+	18 investment income for the taxable year and, for tax years
	2202	+	19 ending on or after December 31, 2011, shall mean all
	2203	+	20 amounts included in life insurance gross income under
	2204	+	21 Section 803(a)(3) of the Internal Revenue Code.
	2205	+	22 (c) Trusts and estates.
	2206	+	23 (1) In general. In the case of a trust or estate, base
	2207	+	24 income means an amount equal to the taxpayer's taxable
	2208	+	25 income for the taxable year as modified by paragraph (2).
	2209	+
	2210	+
	2211	+
	2212	+
	2213	+
	2214	+	SB0380 Enrolled - 62 - LRB103 02788 LNS 47794 b
	2215	+
	2216	+
	2217	+	SB0380 Enrolled- 63 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 63 - LRB103 02788 LNS 47794 b
	2218	+	SB0380 Enrolled - 63 - LRB103 02788 LNS 47794 b
	2219	+	1 (2) Modifications. Subject to the provisions of
	2220	+	2 paragraph (3), the taxable income referred to in paragraph
	2221	+	3 (1) shall be modified by adding thereto the sum of the
	2222	+	4 following amounts:
	2223	+	5 (A) An amount equal to all amounts paid or accrued
	2224	+	6 to the taxpayer as interest or dividends during the
	2225	+	7 taxable year to the extent excluded from gross income
	2226	+	8 in the computation of taxable income;
	2227	+	9 (B) In the case of (i) an estate, $600; (ii) a
	2228	+	10 trust which, under its governing instrument, is
	2229	+	11 required to distribute all of its income currently,
	2230	+	12 $300; and (iii) any other trust, $100, but in each such
	2231	+	13 case, only to the extent such amount was deducted in
	2232	+	14 the computation of taxable income;
	2233	+	15 (C) An amount equal to the amount of tax imposed by
	2234	+	16 this Act to the extent deducted from gross income in
	2235	+	17 the computation of taxable income for the taxable
	2236	+	18 year;
	2237	+	19 (D) The amount of any net operating loss deduction
	2238	+	20 taken in arriving at taxable income, other than a net
	2239	+	21 operating loss carried forward from a taxable year
	2240	+	22 ending prior to December 31, 1986;
	2241	+	23 (E) For taxable years in which a net operating
	2242	+	24 loss carryback or carryforward from a taxable year
	2243	+	25 ending prior to December 31, 1986 is an element of
	2244	+	26 taxable income under paragraph (1) of subsection (e)
	2245	+
	2246	+
	2247	+
	2248	+
	2249	+
	2250	+	SB0380 Enrolled - 63 - LRB103 02788 LNS 47794 b
	2251	+
	2252	+
	2253	+	SB0380 Enrolled- 64 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 64 - LRB103 02788 LNS 47794 b
	2254	+	SB0380 Enrolled - 64 - LRB103 02788 LNS 47794 b
	2255	+	1 or subparagraph (E) of paragraph (2) of subsection
	2256	+	2 (e), the amount by which addition modifications other
	2257	+	3 than those provided by this subparagraph (E) exceeded
	2258	+	4 subtraction modifications in such taxable year, with
	2259	+	5 the following limitations applied in the order that
	2260	+	6 they are listed:
	2261	+	7 (i) the addition modification relating to the
	2262	+	8 net operating loss carried back or forward to the
	2263	+	9 taxable year from any taxable year ending prior to
	2264	+	10 December 31, 1986 shall be reduced by the amount
	2265	+	11 of addition modification under this subparagraph
	2266	+	12 (E) which related to that net operating loss and
	2267	+	13 which was taken into account in calculating the
	2268	+	14 base income of an earlier taxable year, and
	2269	+	15 (ii) the addition modification relating to the
	2270	+	16 net operating loss carried back or forward to the
	2271	+	17 taxable year from any taxable year ending prior to
	2272	+	18 December 31, 1986 shall not exceed the amount of
	2273	+	19 such carryback or carryforward;
	2274	+	20 For taxable years in which there is a net
	2275	+	21 operating loss carryback or carryforward from more
	2276	+	22 than one other taxable year ending prior to December
	2277	+	23 31, 1986, the addition modification provided in this
	2278	+	24 subparagraph (E) shall be the sum of the amounts
	2279	+	25 computed independently under the preceding provisions
	2280	+	26 of this subparagraph (E) for each such taxable year;
	2281	+
	2282	+
	2283	+
	2284	+
	2285	+
	2286	+	SB0380 Enrolled - 64 - LRB103 02788 LNS 47794 b
	2287	+
	2288	+
	2289	+	SB0380 Enrolled- 65 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 65 - LRB103 02788 LNS 47794 b
	2290	+	SB0380 Enrolled - 65 - LRB103 02788 LNS 47794 b
	2291	+	1 (F) For taxable years ending on or after January
	2292	+	2 1, 1989, an amount equal to the tax deducted pursuant
	2293	+	3 to Section 164 of the Internal Revenue Code if the
	2294	+	4 trust or estate is claiming the same tax for purposes
	2295	+	5 of the Illinois foreign tax credit under Section 601
	2296	+	6 of this Act;
	2297	+	7 (G) An amount equal to the amount of the capital
	2298	+	8 gain deduction allowable under the Internal Revenue
	2299	+	9 Code, to the extent deducted from gross income in the
	2300	+	10 computation of taxable income;
	2301	+	11 (G-5) For taxable years ending after December 31,
	2302	+	12 1997, an amount equal to any eligible remediation
	2303	+	13 costs that the trust or estate deducted in computing
	2304	+	14 adjusted gross income and for which the trust or
	2305	+	15 estate claims a credit under subsection (l) of Section
	2306	+	16 201;
	2307	+	17 (G-10) For taxable years 2001 and thereafter, an
	2308	+	18 amount equal to the bonus depreciation deduction taken
	2309	+	19 on the taxpayer's federal income tax return for the
	2310	+	20 taxable year under subsection (k) of Section 168 of
	2311	+	21 the Internal Revenue Code; and
	2312	+	22 (G-11) If the taxpayer sells, transfers, abandons,
	2313	+	23 or otherwise disposes of property for which the
	2314	+	24 taxpayer was required in any taxable year to make an
	2315	+	25 addition modification under subparagraph (G-10), then
	2316	+	26 an amount equal to the aggregate amount of the
	2317	+
	2318	+
	2319	+
	2320	+
	2321	+
	2322	+	SB0380 Enrolled - 65 - LRB103 02788 LNS 47794 b
	2323	+
	2324	+
	2325	+	SB0380 Enrolled- 66 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 66 - LRB103 02788 LNS 47794 b
	2326	+	SB0380 Enrolled - 66 - LRB103 02788 LNS 47794 b
	2327	+	1 deductions taken in all taxable years under
	2328	+	2 subparagraph (R) with respect to that property.
	2329	+	3 If the taxpayer continues to own property through
	2330	+	4 the last day of the last tax year for which a
	2331	+	5 subtraction is allowed with respect to that property
	2332	+	6 under subparagraph (R) and for which the taxpayer was
	2333	+	7 allowed in any taxable year to make a subtraction
	2334	+	8 modification under subparagraph (R), then an amount
	2335	+	9 equal to that subtraction modification.
	2336	+	10 The taxpayer is required to make the addition
	2337	+	11 modification under this subparagraph only once with
	2338	+	12 respect to any one piece of property;
	2339	+	13 (G-12) An amount equal to the amount otherwise
	2340	+	14 allowed as a deduction in computing base income for
	2341	+	15 interest paid, accrued, or incurred, directly or
	2342	+	16 indirectly, (i) for taxable years ending on or after
	2343	+	17 December 31, 2004, to a foreign person who would be a
	2344	+	18 member of the same unitary business group but for the
	2345	+	19 fact that the foreign person's business activity
	2346	+	20 outside the United States is 80% or more of the foreign
	2347	+	21 person's total business activity and (ii) for taxable
	2348	+	22 years ending on or after December 31, 2008, to a person
	2349	+	23 who would be a member of the same unitary business
	2350	+	24 group but for the fact that the person is prohibited
	2351	+	25 under Section 1501(a)(27) from being included in the
	2352	+	26 unitary business group because he or she is ordinarily
	2353	+
	2354	+
	2355	+
	2356	+
	2357	+
	2358	+	SB0380 Enrolled - 66 - LRB103 02788 LNS 47794 b
	2359	+
	2360	+
	2361	+	SB0380 Enrolled- 67 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 67 - LRB103 02788 LNS 47794 b
	2362	+	SB0380 Enrolled - 67 - LRB103 02788 LNS 47794 b
	2363	+	1 required to apportion business income under different
	2364	+	2 subsections of Section 304. The addition modification
	2365	+	3 required by this subparagraph shall be reduced to the
	2366	+	4 extent that dividends were included in base income of
	2367	+	5 the unitary group for the same taxable year and
	2368	+	6 received by the taxpayer or by a member of the
	2369	+	7 taxpayer's unitary business group (including amounts
	2370	+	8 included in gross income pursuant to Sections 951
	2371	+	9 through 964 of the Internal Revenue Code and amounts
	2372	+	10 included in gross income under Section 78 of the
	2373	+	11 Internal Revenue Code) with respect to the stock of
	2374	+	12 the same person to whom the interest was paid,
	2375	+	13 accrued, or incurred.
	2376	+	14 This paragraph shall not apply to the following:
	2377	+	15 (i) an item of interest paid, accrued, or
	2378	+	16 incurred, directly or indirectly, to a person who
	2379	+	17 is subject in a foreign country or state, other
	2380	+	18 than a state which requires mandatory unitary
	2381	+	19 reporting, to a tax on or measured by net income
	2382	+	20 with respect to such interest; or
	2383	+	21 (ii) an item of interest paid, accrued, or
	2384	+	22 incurred, directly or indirectly, to a person if
	2385	+	23 the taxpayer can establish, based on a
	2386	+	24 preponderance of the evidence, both of the
	2387	+	25 following:
	2388	+	26 (a) the person, during the same taxable
	2389	+
	2390	+
	2391	+
	2392	+
	2393	+
	2394	+	SB0380 Enrolled - 67 - LRB103 02788 LNS 47794 b
	2395	+
	2396	+
	2397	+	SB0380 Enrolled- 68 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 68 - LRB103 02788 LNS 47794 b
	2398	+	SB0380 Enrolled - 68 - LRB103 02788 LNS 47794 b
	2399	+	1 year, paid, accrued, or incurred, the interest
	2400	+	2 to a person that is not a related member, and
	2401	+	3 (b) the transaction giving rise to the
	2402	+	4 interest expense between the taxpayer and the
	2403	+	5 person did not have as a principal purpose the
	2404	+	6 avoidance of Illinois income tax, and is paid
	2405	+	7 pursuant to a contract or agreement that
	2406	+	8 reflects an arm's-length interest rate and
	2407	+	9 terms; or
	2408	+	10 (iii) the taxpayer can establish, based on
	2409	+	11 clear and convincing evidence, that the interest
	2410	+	12 paid, accrued, or incurred relates to a contract
	2411	+	13 or agreement entered into at arm's-length rates
	2412	+	14 and terms and the principal purpose for the
	2413	+	15 payment is not federal or Illinois tax avoidance;
	2414	+	16 or
	2415	+	17 (iv) an item of interest paid, accrued, or
	2416	+	18 incurred, directly or indirectly, to a person if
	2417	+	19 the taxpayer establishes by clear and convincing
	2418	+	20 evidence that the adjustments are unreasonable; or
	2419	+	21 if the taxpayer and the Director agree in writing
	2420	+	22 to the application or use of an alternative method
	2421	+	23 of apportionment under Section 304(f).
	2422	+	24 Nothing in this subsection shall preclude the
	2423	+	25 Director from making any other adjustment
	2424	+	26 otherwise allowed under Section 404 of this Act
	2425	+
	2426	+
	2427	+
	2428	+
	2429	+
	2430	+	SB0380 Enrolled - 68 - LRB103 02788 LNS 47794 b
	2431	+
	2432	+
	2433	+	SB0380 Enrolled- 69 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 69 - LRB103 02788 LNS 47794 b
	2434	+	SB0380 Enrolled - 69 - LRB103 02788 LNS 47794 b
	2435	+	1 for any tax year beginning after the effective
	2436	+	2 date of this amendment provided such adjustment is
	2437	+	3 made pursuant to regulation adopted by the
	2438	+	4 Department and such regulations provide methods
	2439	+	5 and standards by which the Department will utilize
	2440	+	6 its authority under Section 404 of this Act;
	2441	+	7 (G-13) An amount equal to the amount of intangible
	2442	+	8 expenses and costs otherwise allowed as a deduction in
	2443	+	9 computing base income, and that were paid, accrued, or
	2444	+	10 incurred, directly or indirectly, (i) for taxable
	2445	+	11 years ending on or after December 31, 2004, to a
	2446	+	12 foreign person who would be a member of the same
	2447	+	13 unitary business group but for the fact that the
	2448	+	14 foreign person's business activity outside the United
	2449	+	15 States is 80% or more of that person's total business
	2450	+	16 activity and (ii) for taxable years ending on or after
	2451	+	17 December 31, 2008, to a person who would be a member of
	2452	+	18 the same unitary business group but for the fact that
	2453	+	19 the person is prohibited under Section 1501(a)(27)
	2454	+	20 from being included in the unitary business group
	2455	+	21 because he or she is ordinarily required to apportion
	2456	+	22 business income under different subsections of Section
	2457	+	23 304. The addition modification required by this
	2458	+	24 subparagraph shall be reduced to the extent that
	2459	+	25 dividends were included in base income of the unitary
	2460	+	26 group for the same taxable year and received by the
	2461	+
	2462	+
	2463	+
	2464	+
	2465	+
	2466	+	SB0380 Enrolled - 69 - LRB103 02788 LNS 47794 b
	2467	+
	2468	+
	2469	+	SB0380 Enrolled- 70 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 70 - LRB103 02788 LNS 47794 b
	2470	+	SB0380 Enrolled - 70 - LRB103 02788 LNS 47794 b
	2471	+	1 taxpayer or by a member of the taxpayer's unitary
	2472	+	2 business group (including amounts included in gross
	2473	+	3 income pursuant to Sections 951 through 964 of the
	2474	+	4 Internal Revenue Code and amounts included in gross
	2475	+	5 income under Section 78 of the Internal Revenue Code)
	2476	+	6 with respect to the stock of the same person to whom
	2477	+	7 the intangible expenses and costs were directly or
	2478	+	8 indirectly paid, incurred, or accrued. The preceding
	2479	+	9 sentence shall not apply to the extent that the same
	2480	+	10 dividends caused a reduction to the addition
	2481	+	11 modification required under Section 203(c)(2)(G-12) of
	2482	+	12 this Act. As used in this subparagraph, the term
	2483	+	13 "intangible expenses and costs" includes: (1)
	2484	+	14 expenses, losses, and costs for or related to the
	2485	+	15 direct or indirect acquisition, use, maintenance or
	2486	+	16 management, ownership, sale, exchange, or any other
	2487	+	17 disposition of intangible property; (2) losses
	2488	+	18 incurred, directly or indirectly, from factoring
	2489	+	19 transactions or discounting transactions; (3) royalty,
	2490	+	20 patent, technical, and copyright fees; (4) licensing
	2491	+	21 fees; and (5) other similar expenses and costs. For
	2492	+	22 purposes of this subparagraph, "intangible property"
	2493	+	23 includes patents, patent applications, trade names,
	2494	+	24 trademarks, service marks, copyrights, mask works,
	2495	+	25 trade secrets, and similar types of intangible assets.
	2496	+	26 This paragraph shall not apply to the following:
	2497	+
	2498	+
	2499	+
	2500	+
	2501	+
	2502	+	SB0380 Enrolled - 70 - LRB103 02788 LNS 47794 b
	2503	+
	2504	+
	2505	+	SB0380 Enrolled- 71 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 71 - LRB103 02788 LNS 47794 b
	2506	+	SB0380 Enrolled - 71 - LRB103 02788 LNS 47794 b
	2507	+	1 (i) any item of intangible expenses or costs
	2508	+	2 paid, accrued, or incurred, directly or
	2509	+	3 indirectly, from a transaction with a person who
	2510	+	4 is subject in a foreign country or state, other
	2511	+	5 than a state which requires mandatory unitary
	2512	+	6 reporting, to a tax on or measured by net income
	2513	+	7 with respect to such item; or
	2514	+	8 (ii) any item of intangible expense or cost
	2515	+	9 paid, accrued, or incurred, directly or
	2516	+	10 indirectly, if the taxpayer can establish, based
	2517	+	11 on a preponderance of the evidence, both of the
	2518	+	12 following:
	2519	+	13 (a) the person during the same taxable
	2520	+	14 year paid, accrued, or incurred, the
	2521	+	15 intangible expense or cost to a person that is
	2522	+	16 not a related member, and
	2523	+	17 (b) the transaction giving rise to the
	2524	+	18 intangible expense or cost between the
	2525	+	19 taxpayer and the person did not have as a
	2526	+	20 principal purpose the avoidance of Illinois
	2527	+	21 income tax, and is paid pursuant to a contract
	2528	+	22 or agreement that reflects arm's-length terms;
	2529	+	23 or
	2530	+	24 (iii) any item of intangible expense or cost
	2531	+	25 paid, accrued, or incurred, directly or
	2532	+	26 indirectly, from a transaction with a person if
	2533	+
	2534	+
	2535	+
	2536	+
	2537	+
	2538	+	SB0380 Enrolled - 71 - LRB103 02788 LNS 47794 b
	2539	+
	2540	+
	2541	+	SB0380 Enrolled- 72 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 72 - LRB103 02788 LNS 47794 b
	2542	+	SB0380 Enrolled - 72 - LRB103 02788 LNS 47794 b
	2543	+	1 the taxpayer establishes by clear and convincing
	2544	+	2 evidence, that the adjustments are unreasonable;
	2545	+	3 or if the taxpayer and the Director agree in
	2546	+	4 writing to the application or use of an
	2547	+	5 alternative method of apportionment under Section
	2548	+	6 304(f);
	2549	+	7 Nothing in this subsection shall preclude the
	2550	+	8 Director from making any other adjustment
	2551	+	9 otherwise allowed under Section 404 of this Act
	2552	+	10 for any tax year beginning after the effective
	2553	+	11 date of this amendment provided such adjustment is
	2554	+	12 made pursuant to regulation adopted by the
	2555	+	13 Department and such regulations provide methods
	2556	+	14 and standards by which the Department will utilize
	2557	+	15 its authority under Section 404 of this Act;
	2558	+	16 (G-14) For taxable years ending on or after
	2559	+	17 December 31, 2008, an amount equal to the amount of
	2560	+	18 insurance premium expenses and costs otherwise allowed
	2561	+	19 as a deduction in computing base income, and that were
	2562	+	20 paid, accrued, or incurred, directly or indirectly, to
	2563	+	21 a person who would be a member of the same unitary
	2564	+	22 business group but for the fact that the person is
	2565	+	23 prohibited under Section 1501(a)(27) from being
	2566	+	24 included in the unitary business group because he or
	2567	+	25 she is ordinarily required to apportion business
	2568	+	26 income under different subsections of Section 304. The
	2569	+
	2570	+
	2571	+
	2572	+
	2573	+
	2574	+	SB0380 Enrolled - 72 - LRB103 02788 LNS 47794 b
	2575	+
	2576	+
	2577	+	SB0380 Enrolled- 73 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 73 - LRB103 02788 LNS 47794 b
	2578	+	SB0380 Enrolled - 73 - LRB103 02788 LNS 47794 b
	2579	+	1 addition modification required by this subparagraph
	2580	+	2 shall be reduced to the extent that dividends were
	2581	+	3 included in base income of the unitary group for the
	2582	+	4 same taxable year and received by the taxpayer or by a
	2583	+	5 member of the taxpayer's unitary business group
	2584	+	6 (including amounts included in gross income under
	2585	+	7 Sections 951 through 964 of the Internal Revenue Code
	2586	+	8 and amounts included in gross income under Section 78
	2587	+	9 of the Internal Revenue Code) with respect to the
	2588	+	10 stock of the same person to whom the premiums and costs
	2589	+	11 were directly or indirectly paid, incurred, or
	2590	+	12 accrued. The preceding sentence does not apply to the
	2591	+	13 extent that the same dividends caused a reduction to
	2592	+	14 the addition modification required under Section
	2593	+	15 203(c)(2)(G-12) or Section 203(c)(2)(G-13) of this
	2594	+	16 Act;
	2595	+	17 (G-15) An amount equal to the credit allowable to
	2596	+	18 the taxpayer under Section 218(a) of this Act,
	2597	+	19 determined without regard to Section 218(c) of this
	2598	+	20 Act;
	2599	+	21 (G-16) For taxable years ending on or after
	2600	+	22 December 31, 2017, an amount equal to the deduction
	2601	+	23 allowed under Section 199 of the Internal Revenue Code
	2602	+	24 for the taxable year;
	2603	+	25 and by deducting from the total so obtained the sum of the
	2604	+	26 following amounts:
	2605	+
	2606	+
	2607	+
	2608	+
	2609	+
	2610	+	SB0380 Enrolled - 73 - LRB103 02788 LNS 47794 b
	2611	+
	2612	+
	2613	+	SB0380 Enrolled- 74 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 74 - LRB103 02788 LNS 47794 b
	2614	+	SB0380 Enrolled - 74 - LRB103 02788 LNS 47794 b
	2615	+	1 (H) An amount equal to all amounts included in
	2616	+	2 such total pursuant to the provisions of Sections
	2617	+	3 402(a), 402(c), 403(a), 403(b), 406(a), 407(a) and 408
	2618	+	4 of the Internal Revenue Code or included in such total
	2619	+	5 as distributions under the provisions of any
	2620	+	6 retirement or disability plan for employees of any
	2621	+	7 governmental agency or unit, or retirement payments to
	2622	+	8 retired partners, which payments are excluded in
	2623	+	9 computing net earnings from self employment by Section
	2624	+	10 1402 of the Internal Revenue Code and regulations
	2625	+	11 adopted pursuant thereto;
	2626	+	12 (I) The valuation limitation amount;
	2627	+	13 (J) An amount equal to the amount of any tax
	2628	+	14 imposed by this Act which was refunded to the taxpayer
	2629	+	15 and included in such total for the taxable year;
	2630	+	16 (K) An amount equal to all amounts included in
	2631	+	17 taxable income as modified by subparagraphs (A), (B),
	2632	+	18 (C), (D), (E), (F) and (G) which are exempt from
	2633	+	19 taxation by this State either by reason of its
	2634	+	20 statutes or Constitution or by reason of the
	2635	+	21 Constitution, treaties or statutes of the United
	2636	+	22 States; provided that, in the case of any statute of
	2637	+	23 this State that exempts income derived from bonds or
	2638	+	24 other obligations from the tax imposed under this Act,
	2639	+	25 the amount exempted shall be the interest net of bond
	2640	+	26 premium amortization;
	2641	+
	2642	+
	2643	+
	2644	+
	2645	+
	2646	+	SB0380 Enrolled - 74 - LRB103 02788 LNS 47794 b
	2647	+
	2648	+
	2649	+	SB0380 Enrolled- 75 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 75 - LRB103 02788 LNS 47794 b
	2650	+	SB0380 Enrolled - 75 - LRB103 02788 LNS 47794 b
	2651	+	1 (L) With the exception of any amounts subtracted
	2652	+	2 under subparagraph (K), an amount equal to the sum of
	2653	+	3 all amounts disallowed as deductions by (i) Sections
	2654	+	4 171(a)(2) and 265(a)(2) of the Internal Revenue Code,
	2655	+	5 and all amounts of expenses allocable to interest and
	2656	+	6 disallowed as deductions by Section 265(a)(1) of the
	2657	+	7 Internal Revenue Code; and (ii) for taxable years
	2658	+	8 ending on or after August 13, 1999, Sections
	2659	+	9 171(a)(2), 265, 280C, and 832(b)(5)(B)(i) of the
	2660	+	10 Internal Revenue Code, plus, (iii) for taxable years
	2661	+	11 ending on or after December 31, 2011, Section
	2662	+	12 45G(e)(3) of the Internal Revenue Code and, for
	2663	+	13 taxable years ending on or after December 31, 2008,
	2664	+	14 any amount included in gross income under Section 87
	2665	+	15 of the Internal Revenue Code; the provisions of this
	2666	+	16 subparagraph are exempt from the provisions of Section
	2667	+	17 250;
	2668	+	18 (M) An amount equal to those dividends included in
	2669	+	19 such total which were paid by a corporation which
	2670	+	20 conducts business operations in a River Edge
	2671	+	21 Redevelopment Zone or zones created under the River
	2672	+	22 Edge Redevelopment Zone Act and conducts substantially
	2673	+	23 all of its operations in a River Edge Redevelopment
	2674	+	24 Zone or zones. This subparagraph (M) is exempt from
	2675	+	25 the provisions of Section 250;
	2676	+	26 (N) An amount equal to any contribution made to a
	2677	+
	2678	+
	2679	+
	2680	+
	2681	+
	2682	+	SB0380 Enrolled - 75 - LRB103 02788 LNS 47794 b
	2683	+
	2684	+
	2685	+	SB0380 Enrolled- 76 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 76 - LRB103 02788 LNS 47794 b
	2686	+	SB0380 Enrolled - 76 - LRB103 02788 LNS 47794 b
	2687	+	1 job training project established pursuant to the Tax
	2688	+	2 Increment Allocation Redevelopment Act;
	2689	+	3 (O) An amount equal to those dividends included in
	2690	+	4 such total that were paid by a corporation that
	2691	+	5 conducts business operations in a federally designated
	2692	+	6 Foreign Trade Zone or Sub-Zone and that is designated
	2693	+	7 a High Impact Business located in Illinois; provided
	2694	+	8 that dividends eligible for the deduction provided in
	2695	+	9 subparagraph (M) of paragraph (2) of this subsection
	2696	+	10 shall not be eligible for the deduction provided under
	2697	+	11 this subparagraph (O);
	2698	+	12 (P) An amount equal to the amount of the deduction
	2699	+	13 used to compute the federal income tax credit for
	2700	+	14 restoration of substantial amounts held under claim of
	2701	+	15 right for the taxable year pursuant to Section 1341 of
	2702	+	16 the Internal Revenue Code;
	2703	+	17 (Q) For taxable year 1999 and thereafter, an
	2704	+	18 amount equal to the amount of any (i) distributions,
	2705	+	19 to the extent includible in gross income for federal
	2706	+	20 income tax purposes, made to the taxpayer because of
	2707	+	21 his or her status as a victim of persecution for racial
	2708	+	22 or religious reasons by Nazi Germany or any other Axis
	2709	+	23 regime or as an heir of the victim and (ii) items of
	2710	+	24 income, to the extent includible in gross income for
	2711	+	25 federal income tax purposes, attributable to, derived
	2712	+	26 from or in any way related to assets stolen from,
	2713	+
	2714	+
	2715	+
	2716	+
	2717	+
	2718	+	SB0380 Enrolled - 76 - LRB103 02788 LNS 47794 b
	2719	+
	2720	+
	2721	+	SB0380 Enrolled- 77 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 77 - LRB103 02788 LNS 47794 b
	2722	+	SB0380 Enrolled - 77 - LRB103 02788 LNS 47794 b
	2723	+	1 hidden from, or otherwise lost to a victim of
	2724	+	2 persecution for racial or religious reasons by Nazi
	2725	+	3 Germany or any other Axis regime immediately prior to,
	2726	+	4 during, and immediately after World War II, including,
	2727	+	5 but not limited to, interest on the proceeds
	2728	+	6 receivable as insurance under policies issued to a
	2729	+	7 victim of persecution for racial or religious reasons
	2730	+	8 by Nazi Germany or any other Axis regime by European
	2731	+	9 insurance companies immediately prior to and during
	2732	+	10 World War II; provided, however, this subtraction from
	2733	+	11 federal adjusted gross income does not apply to assets
	2734	+	12 acquired with such assets or with the proceeds from
	2735	+	13 the sale of such assets; provided, further, this
	2736	+	14 paragraph shall only apply to a taxpayer who was the
	2737	+	15 first recipient of such assets after their recovery
	2738	+	16 and who is a victim of persecution for racial or
	2739	+	17 religious reasons by Nazi Germany or any other Axis
	2740	+	18 regime or as an heir of the victim. The amount of and
	2741	+	19 the eligibility for any public assistance, benefit, or
	2742	+	20 similar entitlement is not affected by the inclusion
	2743	+	21 of items (i) and (ii) of this paragraph in gross income
	2744	+	22 for federal income tax purposes. This paragraph is
	2745	+	23 exempt from the provisions of Section 250;
	2746	+	24 (R) For taxable years 2001 and thereafter, for the
	2747	+	25 taxable year in which the bonus depreciation deduction
	2748	+	26 is taken on the taxpayer's federal income tax return
	2749	+
	2750	+
	2751	+
	2752	+
	2753	+
	2754	+	SB0380 Enrolled - 77 - LRB103 02788 LNS 47794 b
	2755	+
	2756	+
	2757	+	SB0380 Enrolled- 78 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 78 - LRB103 02788 LNS 47794 b
	2758	+	SB0380 Enrolled - 78 - LRB103 02788 LNS 47794 b
	2759	+	1 under subsection (k) of Section 168 of the Internal
	2760	+	2 Revenue Code and for each applicable taxable year
	2761	+	3 thereafter, an amount equal to "x", where:
	2762	+	4 (1) "y" equals the amount of the depreciation
	2763	+	5 deduction taken for the taxable year on the
	2764	+	6 taxpayer's federal income tax return on property
	2765	+	7 for which the bonus depreciation deduction was
	2766	+	8 taken in any year under subsection (k) of Section
	2767	+	9 168 of the Internal Revenue Code, but not
	2768	+	10 including the bonus depreciation deduction;
	2769	+	11 (2) for taxable years ending on or before
	2770	+	12 December 31, 2005, "x" equals "y" multiplied by 30
	2771	+	13 and then divided by 70 (or "y" multiplied by
	2772	+	14 0.429); and
	2773	+	15 (3) for taxable years ending after December
	2774	+	16 31, 2005:
	2775	+	17 (i) for property on which a bonus
	2776	+	18 depreciation deduction of 30% of the adjusted
	2777	+	19 basis was taken, "x" equals "y" multiplied by
	2778	+	20 30 and then divided by 70 (or "y" multiplied
	2779	+	21 by 0.429);
	2780	+	22 (ii) for property on which a bonus
	2781	+	23 depreciation deduction of 50% of the adjusted
	2782	+	24 basis was taken, "x" equals "y" multiplied by
	2783	+	25 1.0;
	2784	+	26 (iii) for property on which a bonus
	2785	+
	2786	+
	2787	+
	2788	+
	2789	+
	2790	+	SB0380 Enrolled - 78 - LRB103 02788 LNS 47794 b
	2791	+
	2792	+
	2793	+	SB0380 Enrolled- 79 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 79 - LRB103 02788 LNS 47794 b
	2794	+	SB0380 Enrolled - 79 - LRB103 02788 LNS 47794 b
	2795	+	1 depreciation deduction of 100% of the adjusted
	2796	+	2 basis was taken in a taxable year ending on or
	2797	+	3 after December 31, 2021, "x" equals the
	2798	+	4 depreciation deduction that would be allowed
	2799	+	5 on that property if the taxpayer had made the
	2800	+	6 election under Section 168(k)(7) of the
	2801	+	7 Internal Revenue Code to not claim bonus
	2802	+	8 depreciation on that property; and
	2803	+	9 (iv) for property on which a bonus
	2804	+	10 depreciation deduction of a percentage other
	2805	+	11 than 30%, 50% or 100% of the adjusted basis
	2806	+	12 was taken in a taxable year ending on or after
	2807	+	13 December 31, 2021, "x" equals "y" multiplied
	2808	+	14 by 100 times the percentage bonus depreciation
	2809	+	15 on the property (that is, 100(bonus%)) and
	2810	+	16 then divided by 100 times 1 minus the
	2811	+	17 percentage bonus depreciation on the property
	2812	+	18 (that is, 100(1bonus%)).
	2813	+	19 The aggregate amount deducted under this
	2814	+	20 subparagraph in all taxable years for any one piece of
	2815	+	21 property may not exceed the amount of the bonus
	2816	+	22 depreciation deduction taken on that property on the
	2817	+	23 taxpayer's federal income tax return under subsection
	2818	+	24 (k) of Section 168 of the Internal Revenue Code. This
	2819	+	25 subparagraph (R) is exempt from the provisions of
	2820	+	26 Section 250;
	2821	+
	2822	+
	2823	+
	2824	+
	2825	+
	2826	+	SB0380 Enrolled - 79 - LRB103 02788 LNS 47794 b
	2827	+
	2828	+
	2829	+	SB0380 Enrolled- 80 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 80 - LRB103 02788 LNS 47794 b
	2830	+	SB0380 Enrolled - 80 - LRB103 02788 LNS 47794 b
	2831	+	1 (S) If the taxpayer sells, transfers, abandons, or
	2832	+	2 otherwise disposes of property for which the taxpayer
	2833	+	3 was required in any taxable year to make an addition
	2834	+	4 modification under subparagraph (G-10), then an amount
	2835	+	5 equal to that addition modification.
	2836	+	6 If the taxpayer continues to own property through
	2837	+	7 the last day of the last tax year for which a
	2838	+	8 subtraction is allowed with respect to that property
	2839	+	9 under subparagraph (R) and for which the taxpayer was
	2840	+	10 required in any taxable year to make an addition
	2841	+	11 modification under subparagraph (G-10), then an amount
	2842	+	12 equal to that addition modification.
	2843	+	13 The taxpayer is allowed to take the deduction
	2844	+	14 under this subparagraph only once with respect to any
	2845	+	15 one piece of property.
	2846	+	16 This subparagraph (S) is exempt from the
	2847	+	17 provisions of Section 250;
	2848	+	18 (T) The amount of (i) any interest income (net of
	2849	+	19 the deductions allocable thereto) taken into account
	2850	+	20 for the taxable year with respect to a transaction
	2851	+	21 with a taxpayer that is required to make an addition
	2852	+	22 modification with respect to such transaction under
	2853	+	23 Section 203(a)(2)(D-17), 203(b)(2)(E-12),
	2854	+	24 203(c)(2)(G-12), or 203(d)(2)(D-7), but not to exceed
	2855	+	25 the amount of such addition modification and (ii) any
	2856	+	26 income from intangible property (net of the deductions
	2857	+
	2858	+
	2859	+
	2860	+
	2861	+
	2862	+	SB0380 Enrolled - 80 - LRB103 02788 LNS 47794 b
	2863	+
	2864	+
	2865	+	SB0380 Enrolled- 81 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 81 - LRB103 02788 LNS 47794 b
	2866	+	SB0380 Enrolled - 81 - LRB103 02788 LNS 47794 b
	2867	+	1 allocable thereto) taken into account for the taxable
	2868	+	2 year with respect to a transaction with a taxpayer
	2869	+	3 that is required to make an addition modification with
	2870	+	4 respect to such transaction under Section
	2871	+	5 203(a)(2)(D-18), 203(b)(2)(E-13), 203(c)(2)(G-13), or
	2872	+	6 203(d)(2)(D-8), but not to exceed the amount of such
	2873	+	7 addition modification. This subparagraph (T) is exempt
	2874	+	8 from the provisions of Section 250;
	2875	+	9 (U) An amount equal to the interest income taken
	2876	+	10 into account for the taxable year (net of the
	2877	+	11 deductions allocable thereto) with respect to
	2878	+	12 transactions with (i) a foreign person who would be a
	2879	+	13 member of the taxpayer's unitary business group but
	2880	+	14 for the fact the foreign person's business activity
	2881	+	15 outside the United States is 80% or more of that
	2882	+	16 person's total business activity and (ii) for taxable
	2883	+	17 years ending on or after December 31, 2008, to a person
	2884	+	18 who would be a member of the same unitary business
	2885	+	19 group but for the fact that the person is prohibited
	2886	+	20 under Section 1501(a)(27) from being included in the
	2887	+	21 unitary business group because he or she is ordinarily
	2888	+	22 required to apportion business income under different
	2889	+	23 subsections of Section 304, but not to exceed the
	2890	+	24 addition modification required to be made for the same
	2891	+	25 taxable year under Section 203(c)(2)(G-12) for
	2892	+	26 interest paid, accrued, or incurred, directly or
	2893	+
	2894	+
	2895	+
	2896	+
	2897	+
	2898	+	SB0380 Enrolled - 81 - LRB103 02788 LNS 47794 b
	2899	+
	2900	+
	2901	+	SB0380 Enrolled- 82 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 82 - LRB103 02788 LNS 47794 b
	2902	+	SB0380 Enrolled - 82 - LRB103 02788 LNS 47794 b
	2903	+	1 indirectly, to the same person. This subparagraph (U)
	2904	+	2 is exempt from the provisions of Section 250;
	2905	+	3 (V) An amount equal to the income from intangible
	2906	+	4 property taken into account for the taxable year (net
	2907	+	5 of the deductions allocable thereto) with respect to
	2908	+	6 transactions with (i) a foreign person who would be a
	2909	+	7 member of the taxpayer's unitary business group but
	2910	+	8 for the fact that the foreign person's business
	2911	+	9 activity outside the United States is 80% or more of
	2912	+	10 that person's total business activity and (ii) for
	2913	+	11 taxable years ending on or after December 31, 2008, to
	2914	+	12 a person who would be a member of the same unitary
	2915	+	13 business group but for the fact that the person is
	2916	+	14 prohibited under Section 1501(a)(27) from being
	2917	+	15 included in the unitary business group because he or
	2918	+	16 she is ordinarily required to apportion business
	2919	+	17 income under different subsections of Section 304, but
	2920	+	18 not to exceed the addition modification required to be
	2921	+	19 made for the same taxable year under Section
	2922	+	20 203(c)(2)(G-13) for intangible expenses and costs
	2923	+	21 paid, accrued, or incurred, directly or indirectly, to
	2924	+	22 the same foreign person. This subparagraph (V) is
	2925	+	23 exempt from the provisions of Section 250;
	2926	+	24 (W) in the case of an estate, an amount equal to
	2927	+	25 all amounts included in such total pursuant to the
	2928	+	26 provisions of Section 111 of the Internal Revenue Code
	2929	+
	2930	+
	2931	+
	2932	+
	2933	+
	2934	+	SB0380 Enrolled - 82 - LRB103 02788 LNS 47794 b
	2935	+
	2936	+
	2937	+	SB0380 Enrolled- 83 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 83 - LRB103 02788 LNS 47794 b
	2938	+	SB0380 Enrolled - 83 - LRB103 02788 LNS 47794 b
	2939	+	1 as a recovery of items previously deducted by the
	2940	+	2 decedent from adjusted gross income in the computation
	2941	+	3 of taxable income. This subparagraph (W) is exempt
	2942	+	4 from Section 250;
	2943	+	5 (X) an amount equal to the refund included in such
	2944	+	6 total of any tax deducted for federal income tax
	2945	+	7 purposes, to the extent that deduction was added back
	2946	+	8 under subparagraph (F). This subparagraph (X) is
	2947	+	9 exempt from the provisions of Section 250;
	2948	+	10 (Y) For taxable years ending on or after December
	2949	+	11 31, 2011, in the case of a taxpayer who was required to
	2950	+	12 add back any insurance premiums under Section
	2951	+	13 203(c)(2)(G-14), such taxpayer may elect to subtract
	2952	+	14 that part of a reimbursement received from the
	2953	+	15 insurance company equal to the amount of the expense
	2954	+	16 or loss (including expenses incurred by the insurance
	2955	+	17 company) that would have been taken into account as a
	2956	+	18 deduction for federal income tax purposes if the
	2957	+	19 expense or loss had been uninsured. If a taxpayer
	2958	+	20 makes the election provided for by this subparagraph
	2959	+	21 (Y), the insurer to which the premiums were paid must
	2960	+	22 add back to income the amount subtracted by the
	2961	+	23 taxpayer pursuant to this subparagraph (Y). This
	2962	+	24 subparagraph (Y) is exempt from the provisions of
	2963	+	25 Section 250; and
	2964	+	26 (Z) For taxable years beginning after December 31,
	2965	+
	2966	+
	2967	+
	2968	+
	2969	+
	2970	+	SB0380 Enrolled - 83 - LRB103 02788 LNS 47794 b
	2971	+
	2972	+
	2973	+	SB0380 Enrolled- 84 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 84 - LRB103 02788 LNS 47794 b
	2974	+	SB0380 Enrolled - 84 - LRB103 02788 LNS 47794 b
	2975	+	1 2018 and before January 1, 2026, the amount of excess
	2976	+	2 business loss of the taxpayer disallowed as a
	2977	+	3 deduction by Section 461(l)(1)(B) of the Internal
	2978	+	4 Revenue Code.
	2979	+	5 (3) Limitation. The amount of any modification
	2980	+	6 otherwise required under this subsection shall, under
	2981	+	7 regulations prescribed by the Department, be adjusted by
	2982	+	8 any amounts included therein which were properly paid,
	2983	+	9 credited, or required to be distributed, or permanently
	2984	+	10 set aside for charitable purposes pursuant to Internal
	2985	+	11 Revenue Code Section 642(c) during the taxable year.
	2986	+	12 (d) Partnerships.
	2987	+	13 (1) In general. In the case of a partnership, base
	2988	+	14 income means an amount equal to the taxpayer's taxable
	2989	+	15 income for the taxable year as modified by paragraph (2).
	2990	+	16 (2) Modifications. The taxable income referred to in
	2991	+	17 paragraph (1) shall be modified by adding thereto the sum
	2992	+	18 of the following amounts:
	2993	+	19 (A) An amount equal to all amounts paid or accrued
	2994	+	20 to the taxpayer as interest or dividends during the
	2995	+	21 taxable year to the extent excluded from gross income
	2996	+	22 in the computation of taxable income;
	2997	+	23 (B) An amount equal to the amount of tax imposed by
	2998	+	24 this Act to the extent deducted from gross income for
	2999	+	25 the taxable year;
	3000	+
	3001	+
	3002	+
	3003	+
	3004	+
	3005	+	SB0380 Enrolled - 84 - LRB103 02788 LNS 47794 b
	3006	+
	3007	+
	3008	+	SB0380 Enrolled- 85 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 85 - LRB103 02788 LNS 47794 b
	3009	+	SB0380 Enrolled - 85 - LRB103 02788 LNS 47794 b
	3010	+	1 (C) The amount of deductions allowed to the
	3011	+	2 partnership pursuant to Section 707 (c) of the
	3012	+	3 Internal Revenue Code in calculating its taxable
	3013	+	4 income;
	3014	+	5 (D) An amount equal to the amount of the capital
	3015	+	6 gain deduction allowable under the Internal Revenue
	3016	+	7 Code, to the extent deducted from gross income in the
	3017	+	8 computation of taxable income;
	3018	+	9 (D-5) For taxable years 2001 and thereafter, an
	3019	+	10 amount equal to the bonus depreciation deduction taken
	3020	+	11 on the taxpayer's federal income tax return for the
	3021	+	12 taxable year under subsection (k) of Section 168 of
	3022	+	13 the Internal Revenue Code;
	3023	+	14 (D-6) If the taxpayer sells, transfers, abandons,
	3024	+	15 or otherwise disposes of property for which the
	3025	+	16 taxpayer was required in any taxable year to make an
	3026	+	17 addition modification under subparagraph (D-5), then
	3027	+	18 an amount equal to the aggregate amount of the
	3028	+	19 deductions taken in all taxable years under
	3029	+	20 subparagraph (O) with respect to that property.
	3030	+	21 If the taxpayer continues to own property through
	3031	+	22 the last day of the last tax year for which a
	3032	+	23 subtraction is allowed with respect to that property
	3033	+	24 under subparagraph (O) and for which the taxpayer was
	3034	+	25 allowed in any taxable year to make a subtraction
	3035	+	26 modification under subparagraph (O), then an amount
	3036	+
	3037	+
	3038	+
	3039	+
	3040	+
	3041	+	SB0380 Enrolled - 85 - LRB103 02788 LNS 47794 b
	3042	+
	3043	+
	3044	+	SB0380 Enrolled- 86 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 86 - LRB103 02788 LNS 47794 b
	3045	+	SB0380 Enrolled - 86 - LRB103 02788 LNS 47794 b
	3046	+	1 equal to that subtraction modification.
	3047	+	2 The taxpayer is required to make the addition
	3048	+	3 modification under this subparagraph only once with
	3049	+	4 respect to any one piece of property;
	3050	+	5 (D-7) An amount equal to the amount otherwise
	3051	+	6 allowed as a deduction in computing base income for
	3052	+	7 interest paid, accrued, or incurred, directly or
	3053	+	8 indirectly, (i) for taxable years ending on or after
	3054	+	9 December 31, 2004, to a foreign person who would be a
	3055	+	10 member of the same unitary business group but for the
	3056	+	11 fact the foreign person's business activity outside
	3057	+	12 the United States is 80% or more of the foreign
	3058	+	13 person's total business activity and (ii) for taxable
	3059	+	14 years ending on or after December 31, 2008, to a person
	3060	+	15 who would be a member of the same unitary business
	3061	+	16 group but for the fact that the person is prohibited
	3062	+	17 under Section 1501(a)(27) from being included in the
	3063	+	18 unitary business group because he or she is ordinarily
	3064	+	19 required to apportion business income under different
	3065	+	20 subsections of Section 304. The addition modification
	3066	+	21 required by this subparagraph shall be reduced to the
	3067	+	22 extent that dividends were included in base income of
	3068	+	23 the unitary group for the same taxable year and
	3069	+	24 received by the taxpayer or by a member of the
	3070	+	25 taxpayer's unitary business group (including amounts
	3071	+	26 included in gross income pursuant to Sections 951
	3072	+
	3073	+
	3074	+
	3075	+
	3076	+
	3077	+	SB0380 Enrolled - 86 - LRB103 02788 LNS 47794 b
	3078	+
	3079	+
	3080	+	SB0380 Enrolled- 87 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 87 - LRB103 02788 LNS 47794 b
	3081	+	SB0380 Enrolled - 87 - LRB103 02788 LNS 47794 b
	3082	+	1 through 964 of the Internal Revenue Code and amounts
	3083	+	2 included in gross income under Section 78 of the
	3084	+	3 Internal Revenue Code) with respect to the stock of
	3085	+	4 the same person to whom the interest was paid,
	3086	+	5 accrued, or incurred.
	3087	+	6 This paragraph shall not apply to the following:
	3088	+	7 (i) an item of interest paid, accrued, or
	3089	+	8 incurred, directly or indirectly, to a person who
	3090	+	9 is subject in a foreign country or state, other
	3091	+	10 than a state which requires mandatory unitary
	3092	+	11 reporting, to a tax on or measured by net income
	3093	+	12 with respect to such interest; or
	3094	+	13 (ii) an item of interest paid, accrued, or
	3095	+	14 incurred, directly or indirectly, to a person if
	3096	+	15 the taxpayer can establish, based on a
	3097	+	16 preponderance of the evidence, both of the
	3098	+	17 following:
	3099	+	18 (a) the person, during the same taxable
	3100	+	19 year, paid, accrued, or incurred, the interest
	3101	+	20 to a person that is not a related member, and
	3102	+	21 (b) the transaction giving rise to the
	3103	+	22 interest expense between the taxpayer and the
	3104	+	23 person did not have as a principal purpose the
	3105	+	24 avoidance of Illinois income tax, and is paid
	3106	+	25 pursuant to a contract or agreement that
	3107	+	26 reflects an arm's-length interest rate and
	3108	+
	3109	+
	3110	+
	3111	+
	3112	+
	3113	+	SB0380 Enrolled - 87 - LRB103 02788 LNS 47794 b
	3114	+
	3115	+
	3116	+	SB0380 Enrolled- 88 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 88 - LRB103 02788 LNS 47794 b
	3117	+	SB0380 Enrolled - 88 - LRB103 02788 LNS 47794 b
	3118	+	1 terms; or
	3119	+	2 (iii) the taxpayer can establish, based on
	3120	+	3 clear and convincing evidence, that the interest
	3121	+	4 paid, accrued, or incurred relates to a contract
	3122	+	5 or agreement entered into at arm's-length rates
	3123	+	6 and terms and the principal purpose for the
	3124	+	7 payment is not federal or Illinois tax avoidance;
	3125	+	8 or
	3126	+	9 (iv) an item of interest paid, accrued, or
	3127	+	10 incurred, directly or indirectly, to a person if
	3128	+	11 the taxpayer establishes by clear and convincing
	3129	+	12 evidence that the adjustments are unreasonable; or
	3130	+	13 if the taxpayer and the Director agree in writing
	3131	+	14 to the application or use of an alternative method
	3132	+	15 of apportionment under Section 304(f).
	3133	+	16 Nothing in this subsection shall preclude the
	3134	+	17 Director from making any other adjustment
	3135	+	18 otherwise allowed under Section 404 of this Act
	3136	+	19 for any tax year beginning after the effective
	3137	+	20 date of this amendment provided such adjustment is
	3138	+	21 made pursuant to regulation adopted by the
	3139	+	22 Department and such regulations provide methods
	3140	+	23 and standards by which the Department will utilize
	3141	+	24 its authority under Section 404 of this Act; and
	3142	+	25 (D-8) An amount equal to the amount of intangible
	3143	+	26 expenses and costs otherwise allowed as a deduction in
	3144	+
	3145	+
	3146	+
	3147	+
	3148	+
	3149	+	SB0380 Enrolled - 88 - LRB103 02788 LNS 47794 b
	3150	+
	3151	+
	3152	+	SB0380 Enrolled- 89 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 89 - LRB103 02788 LNS 47794 b
	3153	+	SB0380 Enrolled - 89 - LRB103 02788 LNS 47794 b
	3154	+	1 computing base income, and that were paid, accrued, or
	3155	+	2 incurred, directly or indirectly, (i) for taxable
	3156	+	3 years ending on or after December 31, 2004, to a
	3157	+	4 foreign person who would be a member of the same
	3158	+	5 unitary business group but for the fact that the
	3159	+	6 foreign person's business activity outside the United
	3160	+	7 States is 80% or more of that person's total business
	3161	+	8 activity and (ii) for taxable years ending on or after
	3162	+	9 December 31, 2008, to a person who would be a member of
	3163	+	10 the same unitary business group but for the fact that
	3164	+	11 the person is prohibited under Section 1501(a)(27)
	3165	+	12 from being included in the unitary business group
	3166	+	13 because he or she is ordinarily required to apportion
	3167	+	14 business income under different subsections of Section
	3168	+	15 304. The addition modification required by this
	3169	+	16 subparagraph shall be reduced to the extent that
	3170	+	17 dividends were included in base income of the unitary
	3171	+	18 group for the same taxable year and received by the
	3172	+	19 taxpayer or by a member of the taxpayer's unitary
	3173	+	20 business group (including amounts included in gross
	3174	+	21 income pursuant to Sections 951 through 964 of the
	3175	+	22 Internal Revenue Code and amounts included in gross
	3176	+	23 income under Section 78 of the Internal Revenue Code)
	3177	+	24 with respect to the stock of the same person to whom
	3178	+	25 the intangible expenses and costs were directly or
	3179	+	26 indirectly paid, incurred or accrued. The preceding
	3180	+
	3181	+
	3182	+
	3183	+
	3184	+
	3185	+	SB0380 Enrolled - 89 - LRB103 02788 LNS 47794 b
	3186	+
	3187	+
	3188	+	SB0380 Enrolled- 90 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 90 - LRB103 02788 LNS 47794 b
	3189	+	SB0380 Enrolled - 90 - LRB103 02788 LNS 47794 b
	3190	+	1 sentence shall not apply to the extent that the same
	3191	+	2 dividends caused a reduction to the addition
	3192	+	3 modification required under Section 203(d)(2)(D-7) of
	3193	+	4 this Act. As used in this subparagraph, the term
	3194	+	5 "intangible expenses and costs" includes (1) expenses,
	3195	+	6 losses, and costs for, or related to, the direct or
	3196	+	7 indirect acquisition, use, maintenance or management,
	3197	+	8 ownership, sale, exchange, or any other disposition of
	3198	+	9 intangible property; (2) losses incurred, directly or
	3199	+	10 indirectly, from factoring transactions or discounting
	3200	+	11 transactions; (3) royalty, patent, technical, and
	3201	+	12 copyright fees; (4) licensing fees; and (5) other
	3202	+	13 similar expenses and costs. For purposes of this
	3203	+	14 subparagraph, "intangible property" includes patents,
	3204	+	15 patent applications, trade names, trademarks, service
	3205	+	16 marks, copyrights, mask works, trade secrets, and
	3206	+	17 similar types of intangible assets;
	3207	+	18 This paragraph shall not apply to the following:
	3208	+	19 (i) any item of intangible expenses or costs
	3209	+	20 paid, accrued, or incurred, directly or
	3210	+	21 indirectly, from a transaction with a person who
	3211	+	22 is subject in a foreign country or state, other
	3212	+	23 than a state which requires mandatory unitary
	3213	+	24 reporting, to a tax on or measured by net income
	3214	+	25 with respect to such item; or
	3215	+	26 (ii) any item of intangible expense or cost
	3216	+
	3217	+
	3218	+
	3219	+
	3220	+
	3221	+	SB0380 Enrolled - 90 - LRB103 02788 LNS 47794 b
	3222	+
	3223	+
	3224	+	SB0380 Enrolled- 91 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 91 - LRB103 02788 LNS 47794 b
	3225	+	SB0380 Enrolled - 91 - LRB103 02788 LNS 47794 b
	3226	+	1 paid, accrued, or incurred, directly or
	3227	+	2 indirectly, if the taxpayer can establish, based
	3228	+	3 on a preponderance of the evidence, both of the
	3229	+	4 following:
	3230	+	5 (a) the person during the same taxable
	3231	+	6 year paid, accrued, or incurred, the
	3232	+	7 intangible expense or cost to a person that is
	3233	+	8 not a related member, and
	3234	+	9 (b) the transaction giving rise to the
	3235	+	10 intangible expense or cost between the
	3236	+	11 taxpayer and the person did not have as a
	3237	+	12 principal purpose the avoidance of Illinois
	3238	+	13 income tax, and is paid pursuant to a contract
	3239	+	14 or agreement that reflects arm's-length terms;
	3240	+	15 or
	3241	+	16 (iii) any item of intangible expense or cost
	3242	+	17 paid, accrued, or incurred, directly or
	3243	+	18 indirectly, from a transaction with a person if
	3244	+	19 the taxpayer establishes by clear and convincing
	3245	+	20 evidence, that the adjustments are unreasonable;
	3246	+	21 or if the taxpayer and the Director agree in
	3247	+	22 writing to the application or use of an
	3248	+	23 alternative method of apportionment under Section
	3249	+	24 304(f);
	3250	+	25 Nothing in this subsection shall preclude the
	3251	+	26 Director from making any other adjustment
	3252	+
	3253	+
	3254	+
	3255	+
	3256	+
	3257	+	SB0380 Enrolled - 91 - LRB103 02788 LNS 47794 b
	3258	+
	3259	+
	3260	+	SB0380 Enrolled- 92 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 92 - LRB103 02788 LNS 47794 b
	3261	+	SB0380 Enrolled - 92 - LRB103 02788 LNS 47794 b
	3262	+	1 otherwise allowed under Section 404 of this Act
	3263	+	2 for any tax year beginning after the effective
	3264	+	3 date of this amendment provided such adjustment is
	3265	+	4 made pursuant to regulation adopted by the
	3266	+	5 Department and such regulations provide methods
	3267	+	6 and standards by which the Department will utilize
	3268	+	7 its authority under Section 404 of this Act;
	3269	+	8 (D-9) For taxable years ending on or after
	3270	+	9 December 31, 2008, an amount equal to the amount of
	3271	+	10 insurance premium expenses and costs otherwise allowed
	3272	+	11 as a deduction in computing base income, and that were
	3273	+	12 paid, accrued, or incurred, directly or indirectly, to
	3274	+	13 a person who would be a member of the same unitary
	3275	+	14 business group but for the fact that the person is
	3276	+	15 prohibited under Section 1501(a)(27) from being
	3277	+	16 included in the unitary business group because he or
	3278	+	17 she is ordinarily required to apportion business
	3279	+	18 income under different subsections of Section 304. The
	3280	+	19 addition modification required by this subparagraph
	3281	+	20 shall be reduced to the extent that dividends were
	3282	+	21 included in base income of the unitary group for the
	3283	+	22 same taxable year and received by the taxpayer or by a
	3284	+	23 member of the taxpayer's unitary business group
	3285	+	24 (including amounts included in gross income under
	3286	+	25 Sections 951 through 964 of the Internal Revenue Code
	3287	+	26 and amounts included in gross income under Section 78
	3288	+
	3289	+
	3290	+
	3291	+
	3292	+
	3293	+	SB0380 Enrolled - 92 - LRB103 02788 LNS 47794 b
	3294	+
	3295	+
	3296	+	SB0380 Enrolled- 93 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 93 - LRB103 02788 LNS 47794 b
	3297	+	SB0380 Enrolled - 93 - LRB103 02788 LNS 47794 b
	3298	+	1 of the Internal Revenue Code) with respect to the
	3299	+	2 stock of the same person to whom the premiums and costs
	3300	+	3 were directly or indirectly paid, incurred, or
	3301	+	4 accrued. The preceding sentence does not apply to the
	3302	+	5 extent that the same dividends caused a reduction to
	3303	+	6 the addition modification required under Section
	3304	+	7 203(d)(2)(D-7) or Section 203(d)(2)(D-8) of this Act;
	3305	+	8 (D-10) An amount equal to the credit allowable to
	3306	+	9 the taxpayer under Section 218(a) of this Act,
	3307	+	10 determined without regard to Section 218(c) of this
	3308	+	11 Act;
	3309	+	12 (D-11) For taxable years ending on or after
	3310	+	13 December 31, 2017, an amount equal to the deduction
	3311	+	14 allowed under Section 199 of the Internal Revenue Code
	3312	+	15 for the taxable year;
	3313	+	16 and by deducting from the total so obtained the following
	3314	+	17 amounts:
	3315	+	18 (E) The valuation limitation amount;
	3316	+	19 (F) An amount equal to the amount of any tax
	3317	+	20 imposed by this Act which was refunded to the taxpayer
	3318	+	21 and included in such total for the taxable year;
	3319	+	22 (G) An amount equal to all amounts included in
	3320	+	23 taxable income as modified by subparagraphs (A), (B),
	3321	+	24 (C) and (D) which are exempt from taxation by this
	3322	+	25 State either by reason of its statutes or Constitution
	3323	+	26 or by reason of the Constitution, treaties or statutes
	3324	+
	3325	+
	3326	+
	3327	+
	3328	+
	3329	+	SB0380 Enrolled - 93 - LRB103 02788 LNS 47794 b
	3330	+
	3331	+
	3332	+	SB0380 Enrolled- 94 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 94 - LRB103 02788 LNS 47794 b
	3333	+	SB0380 Enrolled - 94 - LRB103 02788 LNS 47794 b
	3334	+	1 of the United States; provided that, in the case of any
	3335	+	2 statute of this State that exempts income derived from
	3336	+	3 bonds or other obligations from the tax imposed under
	3337	+	4 this Act, the amount exempted shall be the interest
	3338	+	5 net of bond premium amortization;
	3339	+	6 (H) Any income of the partnership which
	3340	+	7 constitutes personal service income as defined in
	3341	+	8 Section 1348(b)(1) of the Internal Revenue Code (as in
	3342	+	9 effect December 31, 1981) or a reasonable allowance
	3343	+	10 for compensation paid or accrued for services rendered
	3344	+	11 by partners to the partnership, whichever is greater;
	3345	+	12 this subparagraph (H) is exempt from the provisions of
	3346	+	13 Section 250;
	3347	+	14 (I) An amount equal to all amounts of income
	3348	+	15 distributable to an entity subject to the Personal
	3349	+	16 Property Tax Replacement Income Tax imposed by
	3350	+	17 subsections (c) and (d) of Section 201 of this Act
	3351	+	18 including amounts distributable to organizations
	3352	+	19 exempt from federal income tax by reason of Section
	3353	+	20 501(a) of the Internal Revenue Code; this subparagraph
	3354	+	21 (I) is exempt from the provisions of Section 250;
	3355	+	22 (J) With the exception of any amounts subtracted
	3356	+	23 under subparagraph (G), an amount equal to the sum of
	3357	+	24 all amounts disallowed as deductions by (i) Sections
	3358	+	25 171(a)(2) and 265(a)(2) of the Internal Revenue Code,
	3359	+	26 and all amounts of expenses allocable to interest and
	3360	+
	3361	+
	3362	+
	3363	+
	3364	+
	3365	+	SB0380 Enrolled - 94 - LRB103 02788 LNS 47794 b
	3366	+
	3367	+
	3368	+	SB0380 Enrolled- 95 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 95 - LRB103 02788 LNS 47794 b
	3369	+	SB0380 Enrolled - 95 - LRB103 02788 LNS 47794 b
	3370	+	1 disallowed as deductions by Section 265(a)(1) of the
	3371	+	2 Internal Revenue Code; and (ii) for taxable years
	3372	+	3 ending on or after August 13, 1999, Sections
	3373	+	4 171(a)(2), 265, 280C, and 832(b)(5)(B)(i) of the
	3374	+	5 Internal Revenue Code, plus, (iii) for taxable years
	3375	+	6 ending on or after December 31, 2011, Section
	3376	+	7 45G(e)(3) of the Internal Revenue Code and, for
	3377	+	8 taxable years ending on or after December 31, 2008,
	3378	+	9 any amount included in gross income under Section 87
	3379	+	10 of the Internal Revenue Code; the provisions of this
	3380	+	11 subparagraph are exempt from the provisions of Section
	3381	+	12 250;
	3382	+	13 (K) An amount equal to those dividends included in
	3383	+	14 such total which were paid by a corporation which
	3384	+	15 conducts business operations in a River Edge
	3385	+	16 Redevelopment Zone or zones created under the River
	3386	+	17 Edge Redevelopment Zone Act and conducts substantially
	3387	+	18 all of its operations from a River Edge Redevelopment
	3388	+	19 Zone or zones. This subparagraph (K) is exempt from
	3389	+	20 the provisions of Section 250;
	3390	+	21 (L) An amount equal to any contribution made to a
	3391	+	22 job training project established pursuant to the Real
	3392	+	23 Property Tax Increment Allocation Redevelopment Act;
	3393	+	24 (M) An amount equal to those dividends included in
	3394	+	25 such total that were paid by a corporation that
	3395	+	26 conducts business operations in a federally designated
	3396	+
	3397	+
	3398	+
	3399	+
	3400	+
	3401	+	SB0380 Enrolled - 95 - LRB103 02788 LNS 47794 b
	3402	+
	3403	+
	3404	+	SB0380 Enrolled- 96 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 96 - LRB103 02788 LNS 47794 b
	3405	+	SB0380 Enrolled - 96 - LRB103 02788 LNS 47794 b
	3406	+	1 Foreign Trade Zone or Sub-Zone and that is designated
	3407	+	2 a High Impact Business located in Illinois; provided
	3408	+	3 that dividends eligible for the deduction provided in
	3409	+	4 subparagraph (K) of paragraph (2) of this subsection
	3410	+	5 shall not be eligible for the deduction provided under
	3411	+	6 this subparagraph (M);
	3412	+	7 (N) An amount equal to the amount of the deduction
	3413	+	8 used to compute the federal income tax credit for
	3414	+	9 restoration of substantial amounts held under claim of
	3415	+	10 right for the taxable year pursuant to Section 1341 of
	3416	+	11 the Internal Revenue Code;
	3417	+	12 (O) For taxable years 2001 and thereafter, for the
	3418	+	13 taxable year in which the bonus depreciation deduction
	3419	+	14 is taken on the taxpayer's federal income tax return
	3420	+	15 under subsection (k) of Section 168 of the Internal
	3421	+	16 Revenue Code and for each applicable taxable year
	3422	+	17 thereafter, an amount equal to "x", where:
	3423	+	18 (1) "y" equals the amount of the depreciation
	3424	+	19 deduction taken for the taxable year on the
	3425	+	20 taxpayer's federal income tax return on property
	3426	+	21 for which the bonus depreciation deduction was
	3427	+	22 taken in any year under subsection (k) of Section
	3428	+	23 168 of the Internal Revenue Code, but not
	3429	+	24 including the bonus depreciation deduction;
	3430	+	25 (2) for taxable years ending on or before
	3431	+	26 December 31, 2005, "x" equals "y" multiplied by 30
	3432	+
	3433	+
	3434	+
	3435	+
	3436	+
	3437	+	SB0380 Enrolled - 96 - LRB103 02788 LNS 47794 b
	3438	+
	3439	+
	3440	+	SB0380 Enrolled- 97 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 97 - LRB103 02788 LNS 47794 b
	3441	+	SB0380 Enrolled - 97 - LRB103 02788 LNS 47794 b
	3442	+	1 and then divided by 70 (or "y" multiplied by
	3443	+	2 0.429); and
	3444	+	3 (3) for taxable years ending after December
	3445	+	4 31, 2005:
	3446	+	5 (i) for property on which a bonus
	3447	+	6 depreciation deduction of 30% of the adjusted
	3448	+	7 basis was taken, "x" equals "y" multiplied by
	3449	+	8 30 and then divided by 70 (or "y" multiplied
	3450	+	9 by 0.429);
	3451	+	10 (ii) for property on which a bonus
	3452	+	11 depreciation deduction of 50% of the adjusted
	3453	+	12 basis was taken, "x" equals "y" multiplied by
	3454	+	13 1.0;
	3455	+	14 (iii) for property on which a bonus
	3456	+	15 depreciation deduction of 100% of the adjusted
	3457	+	16 basis was taken in a taxable year ending on or
	3458	+	17 after December 31, 2021, "x" equals the
	3459	+	18 depreciation deduction that would be allowed
	3460	+	19 on that property if the taxpayer had made the
	3461	+	20 election under Section 168(k)(7) of the
	3462	+	21 Internal Revenue Code to not claim bonus
	3463	+	22 depreciation on that property; and
	3464	+	23 (iv) for property on which a bonus
	3465	+	24 depreciation deduction of a percentage other
	3466	+	25 than 30%, 50% or 100% of the adjusted basis
	3467	+	26 was taken in a taxable year ending on or after
	3468	+
	3469	+
	3470	+
	3471	+
	3472	+
	3473	+	SB0380 Enrolled - 97 - LRB103 02788 LNS 47794 b
	3474	+
	3475	+
	3476	+	SB0380 Enrolled- 98 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 98 - LRB103 02788 LNS 47794 b
	3477	+	SB0380 Enrolled - 98 - LRB103 02788 LNS 47794 b
	3478	+	1 December 31, 2021, "x" equals "y" multiplied
	3479	+	2 by 100 times the percentage bonus depreciation
	3480	+	3 on the property (that is, 100(bonus%)) and
	3481	+	4 then divided by 100 times 1 minus the
	3482	+	5 percentage bonus depreciation on the property
	3483	+	6 (that is, 100(1bonus%)).
	3484	+	7 The aggregate amount deducted under this
	3485	+	8 subparagraph in all taxable years for any one piece of
	3486	+	9 property may not exceed the amount of the bonus
	3487	+	10 depreciation deduction taken on that property on the
	3488	+	11 taxpayer's federal income tax return under subsection
	3489	+	12 (k) of Section 168 of the Internal Revenue Code. This
	3490	+	13 subparagraph (O) is exempt from the provisions of
	3491	+	14 Section 250;
	3492	+	15 (P) If the taxpayer sells, transfers, abandons, or
	3493	+	16 otherwise disposes of property for which the taxpayer
	3494	+	17 was required in any taxable year to make an addition
	3495	+	18 modification under subparagraph (D-5), then an amount
	3496	+	19 equal to that addition modification.
	3497	+	20 If the taxpayer continues to own property through
	3498	+	21 the last day of the last tax year for which a
	3499	+	22 subtraction is allowed with respect to that property
	3500	+	23 under subparagraph (O) and for which the taxpayer was
	3501	+	24 required in any taxable year to make an addition
	3502	+	25 modification under subparagraph (D-5), then an amount
	3503	+	26 equal to that addition modification.
	3504	+
	3505	+
	3506	+
	3507	+
	3508	+
	3509	+	SB0380 Enrolled - 98 - LRB103 02788 LNS 47794 b
	3510	+
	3511	+
	3512	+	SB0380 Enrolled- 99 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 99 - LRB103 02788 LNS 47794 b
	3513	+	SB0380 Enrolled - 99 - LRB103 02788 LNS 47794 b
	3514	+	1 The taxpayer is allowed to take the deduction
	3515	+	2 under this subparagraph only once with respect to any
	3516	+	3 one piece of property.
	3517	+	4 This subparagraph (P) is exempt from the
	3518	+	5 provisions of Section 250;
	3519	+	6 (Q) The amount of (i) any interest income (net of
	3520	+	7 the deductions allocable thereto) taken into account
	3521	+	8 for the taxable year with respect to a transaction
	3522	+	9 with a taxpayer that is required to make an addition
	3523	+	10 modification with respect to such transaction under
	3524	+	11 Section 203(a)(2)(D-17), 203(b)(2)(E-12),
	3525	+	12 203(c)(2)(G-12), or 203(d)(2)(D-7), but not to exceed
	3526	+	13 the amount of such addition modification and (ii) any
	3527	+	14 income from intangible property (net of the deductions
	3528	+	15 allocable thereto) taken into account for the taxable
	3529	+	16 year with respect to a transaction with a taxpayer
	3530	+	17 that is required to make an addition modification with
	3531	+	18 respect to such transaction under Section
	3532	+	19 203(a)(2)(D-18), 203(b)(2)(E-13), 203(c)(2)(G-13), or
	3533	+	20 203(d)(2)(D-8), but not to exceed the amount of such
	3534	+	21 addition modification. This subparagraph (Q) is exempt
	3535	+	22 from Section 250;
	3536	+	23 (R) An amount equal to the interest income taken
	3537	+	24 into account for the taxable year (net of the
	3538	+	25 deductions allocable thereto) with respect to
	3539	+	26 transactions with (i) a foreign person who would be a
	3540	+
	3541	+
	3542	+
	3543	+
	3544	+
	3545	+	SB0380 Enrolled - 99 - LRB103 02788 LNS 47794 b
	3546	+
	3547	+
	3548	+	SB0380 Enrolled- 100 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 100 - LRB103 02788 LNS 47794 b
	3549	+	SB0380 Enrolled - 100 - LRB103 02788 LNS 47794 b
	3550	+	1 member of the taxpayer's unitary business group but
	3551	+	2 for the fact that the foreign person's business
	3552	+	3 activity outside the United States is 80% or more of
	3553	+	4 that person's total business activity and (ii) for
	3554	+	5 taxable years ending on or after December 31, 2008, to
	3555	+	6 a person who would be a member of the same unitary
	3556	+	7 business group but for the fact that the person is
	3557	+	8 prohibited under Section 1501(a)(27) from being
	3558	+	9 included in the unitary business group because he or
	3559	+	10 she is ordinarily required to apportion business
	3560	+	11 income under different subsections of Section 304, but
	3561	+	12 not to exceed the addition modification required to be
	3562	+	13 made for the same taxable year under Section
	3563	+	14 203(d)(2)(D-7) for interest paid, accrued, or
	3564	+	15 incurred, directly or indirectly, to the same person.
	3565	+	16 This subparagraph (R) is exempt from Section 250;
	3566	+	17 (S) An amount equal to the income from intangible
	3567	+	18 property taken into account for the taxable year (net
	3568	+	19 of the deductions allocable thereto) with respect to
	3569	+	20 transactions with (i) a foreign person who would be a
	3570	+	21 member of the taxpayer's unitary business group but
	3571	+	22 for the fact that the foreign person's business
	3572	+	23 activity outside the United States is 80% or more of
	3573	+	24 that person's total business activity and (ii) for
	3574	+	25 taxable years ending on or after December 31, 2008, to
	3575	+	26 a person who would be a member of the same unitary
	3576	+
	3577	+
	3578	+
	3579	+
	3580	+
	3581	+	SB0380 Enrolled - 100 - LRB103 02788 LNS 47794 b
	3582	+
	3583	+
	3584	+	SB0380 Enrolled- 101 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 101 - LRB103 02788 LNS 47794 b
	3585	+	SB0380 Enrolled - 101 - LRB103 02788 LNS 47794 b
	3586	+	1 business group but for the fact that the person is
	3587	+	2 prohibited under Section 1501(a)(27) from being
	3588	+	3 included in the unitary business group because he or
	3589	+	4 she is ordinarily required to apportion business
	3590	+	5 income under different subsections of Section 304, but
	3591	+	6 not to exceed the addition modification required to be
	3592	+	7 made for the same taxable year under Section
	3593	+	8 203(d)(2)(D-8) for intangible expenses and costs paid,
	3594	+	9 accrued, or incurred, directly or indirectly, to the
	3595	+	10 same person. This subparagraph (S) is exempt from
	3596	+	11 Section 250; and
	3597	+	12 (T) For taxable years ending on or after December
	3598	+	13 31, 2011, in the case of a taxpayer who was required to
	3599	+	14 add back any insurance premiums under Section
	3600	+	15 203(d)(2)(D-9), such taxpayer may elect to subtract
	3601	+	16 that part of a reimbursement received from the
	3602	+	17 insurance company equal to the amount of the expense
	3603	+	18 or loss (including expenses incurred by the insurance
	3604	+	19 company) that would have been taken into account as a
	3605	+	20 deduction for federal income tax purposes if the
	3606	+	21 expense or loss had been uninsured. If a taxpayer
	3607	+	22 makes the election provided for by this subparagraph
	3608	+	23 (T), the insurer to which the premiums were paid must
	3609	+	24 add back to income the amount subtracted by the
	3610	+	25 taxpayer pursuant to this subparagraph (T). This
	3611	+	26 subparagraph (T) is exempt from the provisions of
	3612	+
	3613	+
	3614	+
	3615	+
	3616	+
	3617	+	SB0380 Enrolled - 101 - LRB103 02788 LNS 47794 b
	3618	+
	3619	+
	3620	+	SB0380 Enrolled- 102 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 102 - LRB103 02788 LNS 47794 b
	3621	+	SB0380 Enrolled - 102 - LRB103 02788 LNS 47794 b
	3622	+	1 Section 250.
	3623	+	2 (e) Gross income; adjusted gross income; taxable income.
	3624	+	3 (1) In general. Subject to the provisions of paragraph
	3625	+	4 (2) and subsection (b)(3), for purposes of this Section
	3626	+	5 and Section 803(e), a taxpayer's gross income, adjusted
	3627	+	6 gross income, or taxable income for the taxable year shall
	3628	+	7 mean the amount of gross income, adjusted gross income or
	3629	+	8 taxable income properly reportable for federal income tax
	3630	+	9 purposes for the taxable year under the provisions of the
	3631	+	10 Internal Revenue Code. Taxable income may be less than
	3632	+	11 zero. However, for taxable years ending on or after
	3633	+	12 December 31, 1986, net operating loss carryforwards from
	3634	+	13 taxable years ending prior to December 31, 1986, may not
	3635	+	14 exceed the sum of federal taxable income for the taxable
	3636	+	15 year before net operating loss deduction, plus the excess
	3637	+	16 of addition modifications over subtraction modifications
	3638	+	17 for the taxable year. For taxable years ending prior to
	3639	+	18 December 31, 1986, taxable income may never be an amount
	3640	+	19 in excess of the net operating loss for the taxable year as
	3641	+	20 defined in subsections (c) and (d) of Section 172 of the
	3642	+	21 Internal Revenue Code, provided that when taxable income
	3643	+	22 of a corporation (other than a Subchapter S corporation),
	3644	+	23 trust, or estate is less than zero and addition
	3645	+	24 modifications, other than those provided by subparagraph
	3646	+	25 (E) of paragraph (2) of subsection (b) for corporations or
	3647	+
	3648	+
	3649	+
	3650	+
	3651	+
	3652	+	SB0380 Enrolled - 102 - LRB103 02788 LNS 47794 b
	3653	+
	3654	+
	3655	+	SB0380 Enrolled- 103 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 103 - LRB103 02788 LNS 47794 b
	3656	+	SB0380 Enrolled - 103 - LRB103 02788 LNS 47794 b
	3657	+	1 subparagraph (E) of paragraph (2) of subsection (c) for
	3658	+	2 trusts and estates, exceed subtraction modifications, an
	3659	+	3 addition modification must be made under those
	3660	+	4 subparagraphs for any other taxable year to which the
	3661	+	5 taxable income less than zero (net operating loss) is
	3662	+	6 applied under Section 172 of the Internal Revenue Code or
	3663	+	7 under subparagraph (E) of paragraph (2) of this subsection
	3664	+	8 (e) applied in conjunction with Section 172 of the
	3665	+	9 Internal Revenue Code.
	3666	+	10 (2) Special rule. For purposes of paragraph (1) of
	3667	+	11 this subsection, the taxable income properly reportable
	3668	+	12 for federal income tax purposes shall mean:
	3669	+	13 (A) Certain life insurance companies. In the case
	3670	+	14 of a life insurance company subject to the tax imposed
	3671	+	15 by Section 801 of the Internal Revenue Code, life
	3672	+	16 insurance company taxable income, plus the amount of
	3673	+	17 distribution from pre-1984 policyholder surplus
	3674	+	18 accounts as calculated under Section 815a of the
	3675	+	19 Internal Revenue Code;
	3676	+	20 (B) Certain other insurance companies. In the case
	3677	+	21 of mutual insurance companies subject to the tax
	3678	+	22 imposed by Section 831 of the Internal Revenue Code,
	3679	+	23 insurance company taxable income;
	3680	+	24 (C) Regulated investment companies. In the case of
	3681	+	25 a regulated investment company subject to the tax
	3682	+	26 imposed by Section 852 of the Internal Revenue Code,
	3683	+
	3684	+
	3685	+
	3686	+
	3687	+
	3688	+	SB0380 Enrolled - 103 - LRB103 02788 LNS 47794 b
	3689	+
	3690	+
	3691	+	SB0380 Enrolled- 104 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 104 - LRB103 02788 LNS 47794 b
	3692	+	SB0380 Enrolled - 104 - LRB103 02788 LNS 47794 b
	3693	+	1 investment company taxable income;
	3694	+	2 (D) Real estate investment trusts. In the case of
	3695	+	3 a real estate investment trust subject to the tax
	3696	+	4 imposed by Section 857 of the Internal Revenue Code,
	3697	+	5 real estate investment trust taxable income;
	3698	+	6 (E) Consolidated corporations. In the case of a
	3699	+	7 corporation which is a member of an affiliated group
	3700	+	8 of corporations filing a consolidated income tax
	3701	+	9 return for the taxable year for federal income tax
	3702	+	10 purposes, taxable income determined as if such
	3703	+	11 corporation had filed a separate return for federal
	3704	+	12 income tax purposes for the taxable year and each
	3705	+	13 preceding taxable year for which it was a member of an
	3706	+	14 affiliated group. For purposes of this subparagraph,
	3707	+	15 the taxpayer's separate taxable income shall be
	3708	+	16 determined as if the election provided by Section
	3709	+	17 243(b)(2) of the Internal Revenue Code had been in
	3710	+	18 effect for all such years;
	3711	+	19 (F) Cooperatives. In the case of a cooperative
	3712	+	20 corporation or association, the taxable income of such
	3713	+	21 organization determined in accordance with the
	3714	+	22 provisions of Section 1381 through 1388 of the
	3715	+	23 Internal Revenue Code, but without regard to the
	3716	+	24 prohibition against offsetting losses from patronage
	3717	+	25 activities against income from nonpatronage
	3718	+	26 activities; except that a cooperative corporation or
	3719	+
	3720	+
	3721	+
	3722	+
	3723	+
	3724	+	SB0380 Enrolled - 104 - LRB103 02788 LNS 47794 b
	3725	+
	3726	+
	3727	+	SB0380 Enrolled- 105 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 105 - LRB103 02788 LNS 47794 b
	3728	+	SB0380 Enrolled - 105 - LRB103 02788 LNS 47794 b
	3729	+	1 association may make an election to follow its federal
	3730	+	2 income tax treatment of patronage losses and
	3731	+	3 nonpatronage losses. In the event such election is
	3732	+	4 made, such losses shall be computed and carried over
	3733	+	5 in a manner consistent with subsection (a) of Section
	3734	+	6 207 of this Act and apportioned by the apportionment
	3735	+	7 factor reported by the cooperative on its Illinois
	3736	+	8 income tax return filed for the taxable year in which
	3737	+	9 the losses are incurred. The election shall be
	3738	+	10 effective for all taxable years with original returns
	3739	+	11 due on or after the date of the election. In addition,
	3740	+	12 the cooperative may file an amended return or returns,
	3741	+	13 as allowed under this Act, to provide that the
	3742	+	14 election shall be effective for losses incurred or
	3743	+	15 carried forward for taxable years occurring prior to
	3744	+	16 the date of the election. Once made, the election may
	3745	+	17 only be revoked upon approval of the Director. The
	3746	+	18 Department shall adopt rules setting forth
	3747	+	19 requirements for documenting the elections and any
	3748	+	20 resulting Illinois net loss and the standards to be
	3749	+	21 used by the Director in evaluating requests to revoke
	3750	+	22 elections. Public Act 96-932 is declaratory of
	3751	+	23 existing law;
	3752	+	24 (G) Subchapter S corporations. In the case of: (i)
	3753	+	25 a Subchapter S corporation for which there is in
	3754	+	26 effect an election for the taxable year under Section
	3755	+
	3756	+
	3757	+
	3758	+
	3759	+
	3760	+	SB0380 Enrolled - 105 - LRB103 02788 LNS 47794 b
	3761	+
	3762	+
	3763	+	SB0380 Enrolled- 106 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 106 - LRB103 02788 LNS 47794 b
	3764	+	SB0380 Enrolled - 106 - LRB103 02788 LNS 47794 b
	3765	+	1 1362 of the Internal Revenue Code, the taxable income
	3766	+	2 of such corporation determined in accordance with
	3767	+	3 Section 1363(b) of the Internal Revenue Code, except
	3768	+	4 that taxable income shall take into account those
	3769	+	5 items which are required by Section 1363(b)(1) of the
	3770	+	6 Internal Revenue Code to be separately stated; and
	3771	+	7 (ii) a Subchapter S corporation for which there is in
	3772	+	8 effect a federal election to opt out of the provisions
	3773	+	9 of the Subchapter S Revision Act of 1982 and have
	3774	+	10 applied instead the prior federal Subchapter S rules
	3775	+	11 as in effect on July 1, 1982, the taxable income of
	3776	+	12 such corporation determined in accordance with the
	3777	+	13 federal Subchapter S rules as in effect on July 1,
	3778	+	14 1982; and
	3779	+	15 (H) Partnerships. In the case of a partnership,
	3780	+	16 taxable income determined in accordance with Section
	3781	+	17 703 of the Internal Revenue Code, except that taxable
	3782	+	18 income shall take into account those items which are
	3783	+	19 required by Section 703(a)(1) to be separately stated
	3784	+	20 but which would be taken into account by an individual
	3785	+	21 in calculating his taxable income.
	3786	+	22 (3) Recapture of business expenses on disposition of
	3787	+	23 asset or business. Notwithstanding any other law to the
	3788	+	24 contrary, if in prior years income from an asset or
	3789	+	25 business has been classified as business income and in a
	3790	+	26 later year is demonstrated to be non-business income, then
	3791	+
	3792	+
	3793	+
	3794	+
	3795	+
	3796	+	SB0380 Enrolled - 106 - LRB103 02788 LNS 47794 b
	3797	+
	3798	+
	3799	+	SB0380 Enrolled- 107 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 107 - LRB103 02788 LNS 47794 b
	3800	+	SB0380 Enrolled - 107 - LRB103 02788 LNS 47794 b
	3801	+	1 all expenses, without limitation, deducted in such later
	3802	+	2 year and in the 2 immediately preceding taxable years
	3803	+	3 related to that asset or business that generated the
	3804	+	4 non-business income shall be added back and recaptured as
	3805	+	5 business income in the year of the disposition of the
	3806	+	6 asset or business. Such amount shall be apportioned to
	3807	+	7 Illinois using the greater of the apportionment fraction
	3808	+	8 computed for the business under Section 304 of this Act
	3809	+	9 for the taxable year or the average of the apportionment
	3810	+	10 fractions computed for the business under Section 304 of
	3811	+	11 this Act for the taxable year and for the 2 immediately
	3812	+	12 preceding taxable years.
	3813	+	13 (f) Valuation limitation amount.
	3814	+	14 (1) In general. The valuation limitation amount
	3815	+	15 referred to in subsections (a)(2)(G), (c)(2)(I) and
	3816	+	16 (d)(2)(E) is an amount equal to:
	3817	+	17 (A) The sum of the pre-August 1, 1969 appreciation
	3818	+	18 amounts (to the extent consisting of gain reportable
	3819	+	19 under the provisions of Section 1245 or 1250 of the
	3820	+	20 Internal Revenue Code) for all property in respect of
	3821	+	21 which such gain was reported for the taxable year;
	3822	+	22 plus
	3823	+	23 (B) The lesser of (i) the sum of the pre-August 1,
	3824	+	24 1969 appreciation amounts (to the extent consisting of
	3825	+	25 capital gain) for all property in respect of which
	3826	+
	3827	+
	3828	+
	3829	+
	3830	+
	3831	+	SB0380 Enrolled - 107 - LRB103 02788 LNS 47794 b
	3832	+
	3833	+
	3834	+	SB0380 Enrolled- 108 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 108 - LRB103 02788 LNS 47794 b
	3835	+	SB0380 Enrolled - 108 - LRB103 02788 LNS 47794 b
	3836	+	1 such gain was reported for federal income tax purposes
	3837	+	2 for the taxable year, or (ii) the net capital gain for
	3838	+	3 the taxable year, reduced in either case by any amount
	3839	+	4 of such gain included in the amount determined under
	3840	+	5 subsection (a)(2)(F) or (c)(2)(H).
	3841	+	6 (2) Pre-August 1, 1969 appreciation amount.
	3842	+	7 (A) If the fair market value of property referred
	3843	+	8 to in paragraph (1) was readily ascertainable on
	3844	+	9 August 1, 1969, the pre-August 1, 1969 appreciation
	3845	+	10 amount for such property is the lesser of (i) the
	3846	+	11 excess of such fair market value over the taxpayer's
	3847	+	12 basis (for determining gain) for such property on that
	3848	+	13 date (determined under the Internal Revenue Code as in
	3849	+	14 effect on that date), or (ii) the total gain realized
	3850	+	15 and reportable for federal income tax purposes in
	3851	+	16 respect of the sale, exchange or other disposition of
	3852	+	17 such property.
	3853	+	18 (B) If the fair market value of property referred
	3854	+	19 to in paragraph (1) was not readily ascertainable on
	3855	+	20 August 1, 1969, the pre-August 1, 1969 appreciation
	3856	+	21 amount for such property is that amount which bears
	3857	+	22 the same ratio to the total gain reported in respect of
	3858	+	23 the property for federal income tax purposes for the
	3859	+	24 taxable year, as the number of full calendar months in
	3860	+	25 that part of the taxpayer's holding period for the
	3861	+	26 property ending July 31, 1969 bears to the number of
	3862	+
	3863	+
	3864	+
	3865	+
	3866	+
	3867	+	SB0380 Enrolled - 108 - LRB103 02788 LNS 47794 b
	3868	+
	3869	+
	3870	+	SB0380 Enrolled- 109 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 109 - LRB103 02788 LNS 47794 b
	3871	+	SB0380 Enrolled - 109 - LRB103 02788 LNS 47794 b
	3872	+	1 full calendar months in the taxpayer's entire holding
	3873	+	2 period for the property.
	3874	+	3 (C) The Department shall prescribe such
	3875	+	4 regulations as may be necessary to carry out the
	3876	+	5 purposes of this paragraph.
	3877	+	6 (g) Double deductions. Unless specifically provided
	3878	+	7 otherwise, nothing in this Section shall permit the same item
	3879	+	8 to be deducted more than once.
	3880	+	9 (h) Legislative intention. Except as expressly provided by
	3881	+	10 this Section there shall be no modifications or limitations on
	3882	+	11 the amounts of income, gain, loss or deduction taken into
	3883	+	12 account in determining gross income, adjusted gross income or
	3884	+	13 taxable income for federal income tax purposes for the taxable
	3885	+	14 year, or in the amount of such items entering into the
	3886	+	15 computation of base income and net income under this Act for
	3887	+	16 such taxable year, whether in respect of property values as of
	3888	+	17 August 1, 1969 or otherwise.
	3889	+	18 (Source: P.A. 101-9, eff. 6-5-19; 101-81, eff. 7-12-19;
	3890	+	19 102-16, eff. 6-17-21; 102-558, eff. 8-20-21; 102-658, eff.
	3891	+	20 8-27-21; 102-813, eff. 5-13-22; 102-1112, eff. 12-21-22.)
	3892	+	21 Section 50. The Code of Civil Procedure is amended by
	3893	+	22 changing Section 13-212 and by adding Section 13-215.1 as
	3894	+	23 follows:
	3895	+
	3896	+
	3897	+
	3898	+
	3899	+
	3900	+	SB0380 Enrolled - 109 - LRB103 02788 LNS 47794 b
	3901	+
	3902	+
	3903	+	SB0380 Enrolled- 110 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 110 - LRB103 02788 LNS 47794 b
	3904	+	SB0380 Enrolled - 110 - LRB103 02788 LNS 47794 b
	3905	+	1 (735 ILCS 5/13-212) (from Ch. 110, par. 13-212)
	3906	+	2 Sec. 13-212. Physician or hospital.
	3907	+	3 (a) Except as provided in Section 13-215 or 13-215.1 of
	3908	+	4 this Act, no action for damages for injury or death against any
	3909	+	5 physician, dentist, registered nurse or hospital duly licensed
	3910	+	6 under the laws of this State, whether based upon tort, or
	3911	+	7 breach of contract, or otherwise, arising out of patient care
	3912	+	8 shall be brought more than 2 years after the date on which the
	3913	+	9 claimant knew, or through the use of reasonable diligence
	3914	+	10 should have known, or received notice in writing of the
	3915	+	11 existence of the injury or death for which damages are sought
	3916	+	12 in the action, whichever of such date occurs first, but in no
	3917	+	13 event shall such action be brought more than 4 years after the
	3918	+	14 date on which occurred the act or omission or occurrence
	3919	+	15 alleged in such action to have been the cause of such injury or
	3920	+	16 death.
	3921	+	17 (b) Except as provided in Section 13-215 or 13-215.1 of
	3922	+	18 this Act, no action for damages for injury or death against any
	3923	+	19 physician, dentist, registered nurse or hospital duly licensed
	3924	+	20 under the laws of this State, whether based upon tort, or
	3925	+	21 breach of contract, or otherwise, arising out of patient care
	3926	+	22 shall be brought more than 8 years after the date on which
	3927	+	23 occurred the act or omission or occurrence alleged in such
	3928	+	24 action to have been the cause of such injury or death where the
	3929	+	25 person entitled to bring the action was, at the time the cause
	3930	+
	3931	+
	3932	+
	3933	+
	3934	+
	3935	+	SB0380 Enrolled - 110 - LRB103 02788 LNS 47794 b
	3936	+
	3937	+
	3938	+	SB0380 Enrolled- 111 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 111 - LRB103 02788 LNS 47794 b
	3939	+	SB0380 Enrolled - 111 - LRB103 02788 LNS 47794 b
	3940	+	1 of action accrued, under the age of 18 years; provided,
	3941	+	2 however, that in no event may the cause of action be brought
	3942	+	3 after the person's 22nd birthday. If the person was under the
	3943	+	4 age of 18 years when the cause of action accrued and, as a
	3944	+	5 result of this amendatory Act of 1987, the action is either
	3945	+	6 barred or there remains less than 3 years to bring such action,
	3946	+	7 then he or she may bring the action within 3 years of July 20,
	3947	+	8 1987.
	3948	+	9 (c) If the person entitled to bring an action described in
	3949	+	10 this Section is, at the time the cause of action accrued, under
	3950	+	11 a legal disability other than being under the age of 18 years,
	3951	+	12 then the period of limitations does not begin to run until the
	3952	+	13 disability is removed.
	3953	+	14 (d) If the person entitled to bring an action described in
	3954	+	15 this Section is not under a legal disability at the time the
	3955	+	16 cause of action accrues, but becomes under a legal disability
	3956	+	17 before the period of limitations otherwise runs, the period of
	3957	+	18 limitations is stayed until the disability is removed. This
	3958	+	19 subsection (d) does not invalidate any statute of repose
	3959	+	20 provisions contained in this Section. This subsection (d)
	3960	+	21 applies to actions commenced or pending on or after the
	3961	+	22 effective date of this amendatory Act of the 98th General
	3962	+	23 Assembly.
	3963	+	24 (Source: P.A. 98-1077, eff. 1-1-15.)
	3964	+	25 (735 ILCS 5/13-215.1 new)
	3965	+
	3966	+
	3967	+
	3968	+
	3969	+
	3970	+	SB0380 Enrolled - 111 - LRB103 02788 LNS 47794 b
	3971	+
	3972	+
	3973	+	SB0380 Enrolled- 112 -LRB103 02788 LNS 47794 b SB0380 Enrolled - 112 - LRB103 02788 LNS 47794 b
	3974	+	SB0380 Enrolled - 112 - LRB103 02788 LNS 47794 b
	3975	+	1 Sec. 13-215.1. Fertility fraud limitation. Notwithstanding
	3976	+	2 any other provision of the law, an action for fertility fraud
	3977	+	3 under the Illinois Fertility Fraud Act must be commenced
	3978	+	4 within the later of 20 years, if brought under Section 15 of
	3979	+	5 the Illinois Fertility Fraud Act, or 8 years, if brought under
	3980	+	6 Section 20 of the Illinois Fertility Fraud Act, after:
	3981	+	7 (1) the procedure was performed;
	3982	+	8 (2) the 18th birthday of the child;
	3983	+	9 (3) the person first discovers evidence sufficient to
	3984	+	10 bring an action against the defendant through DNA
	3985	+	11 (deoxyribonucleic acid) analysis;
	3986	+	12 (4) the person first becomes aware of the existence of
	3987	+	13 a record that provides evidence sufficient to bring an
	3988	+	14 action against the defendant; or
	3989	+	15 (5) the defendant confesses to the offense.
	3990	+
	3991	+
	3992	+
	3993	+
	3994	+
	3995	+	SB0380 Enrolled - 112 - LRB103 02788 LNS 47794 b