INC TX-COVER CROPS

HB 3474 creates an Illinois income tax credit equal to the cost of planting cover crops for individual taxpayers. It directly affects Illinois farmers and landowners who grow cover crops (plants like grasses, legumes, or wheat grown to protect soil, not for harvest). The credit applies to taxable years beginning January 1, 2026, and can be carried forward for up to five years if it exceeds the current tax liability. The bill does not change tax rates but provides a direct financial incentive for adopting cover crop practices.