Sen. Sally Turner

Amends the Illinois Income Tax Act. Creates an income tax credit for a taxpayer that makes a qualified donation of real property during the taxable year to an employer that will use the property for the purpose of providing onsite child care to its employees. Provides that the credit shall be in an amount equal to the fair market value of the property, as determined by the Department of Revenue by rule.

Amends the Illinois Income Tax Act. Creates an income tax credit for taxpayers who are the custodians of one or more children who attend an eligible preschool program in the State during the taxable year. Provides that the amount of the credit shall be 100% of the eligible expenses incurred by the taxpayer during the taxable year in sending the child to the eligible preschool program, but not to exceed $1,500 per child. Effective immediately.

Amends the Illinois Income Tax Act. Provides that, for taxable years ending on or after December 31, 2026, the credit for employee child care shall be in an amount equal to: (1) 50% of the start-up costs expended by the corporate taxpayer to provide a child care facility for the children of its employees; and (2) 20% of the annual amount paid by the corporate taxpayer to (i) provide an on-site child care facility for the children of its employees, (ii) provide child care offsite for the children of its employees, or (iii) a combination of (i) and (ii) (currently, 30% of the start-up costs and 5% of the annual amount paid by the taxpayer in providing the child care facility). Provides that the taxpayer may coordinate with an independent child care facility to provide care for the children of employees. Effective immediately.

Amends the Property Tax Code. Provides that, beginning in taxable year 2029, the maximum income limitation for the low-income senior citizens assessment freeze homestead exemption shall be increased each year by the percentage increase, if any, in the Consumer Price Index. Effective immediately.

Maddy summarySB 318 is a procedural bill that makes a technical correction to the short title of the Illinois Fairness in Lending Act. It does not change any substantive lending rules or affect borrowers, lenders, or consumer protections. The bill simply updates the official name reference within the existing law to ensure consistency in legal documents. This is a minor administrative adjustment with no new policy implications.

Amends the Illinois Administrative Procedure Act. In provisions regarding the second notice period for rulemaking, provides that the second notice period shall be extended for a period not to exceed an additional 45 days if the agency has received a statement of unresponsiveness from the Joint Committee on Administrative Rules. Lists the requirements for a statement of unresponsiveness. Provides that failure to provide a substantive response within 7 days after a statement of unresponsiveness is issued shall constitute a withdrawal of the rulemaking. In provisions regarding the contents of the written notice to the Joint Committee, requires a statement certifying that no procedure, policy, schedule, or other feature of the agency will prevent the agency from substantively engaging with the Joint Committee regarding suggestions made during the second notice period.

Creates the Transparency in Downcoding Act. Provides that the Act applies to certain policies of health insurance amended, delivered, issued, or renewed on or after the effective date of the Act, except for employee or employer self-insured health benefit plans under the federal Employee Retirement Income Security Act of 1974 and health care provided pursuant to the Workers' Compensation Act or the Workers' Occupational Diseases Act. Prohibits a health insurance issuer from using an automated process, system, or tool to downcode a claim; from downcoding a claim based solely on the reported diagnosis codes; and from using downcoding practices in a targeted or discriminatory manner against physicians who routinely treat patients with complex or chronic conditions. Requires downcoding decisions to be made by a physician licensed to practice medicine in all its branches in any United States jurisdiction and of the same or similar specialty as a physician who typically manages the medical condition or disease. Sets forth provisions concerning notification requirements for downcoded claims; the appeal process for downcoded claims; enforcement by the Department of Insurance; and penalties. Provides that any pattern or practice of discriminatory downcoding identified by the Director of Insurance or another regulatory authority shall be subject to enforcement actions, including fines, restitution, or suspension of the health insurance issuer's license in this State. Effective immediately.

Amends the Court of Claims Act. Creates an administrative process for uncontested claims for vendors arising from contracts with the State. Requires a State agency to confirm or reject an uncontested claim that is from a lapsed appropriation and valued at less than $2,500 within 30 days after being notified in writing by the Attorney General. Provides that if the State agency does not confirm or reject the claim within that 30-day period, then the State agency forfeits the right to reject or contest the claim. Requires the Comptroller, subject to appropriation, then issue payment to the vendor within 30 days of the court entering such an award. Provides that if the court determines that it is unable to process such an uncontested claim because the bill or invoice contains a defect, the court must notify the vendor in writing of the defect no later than 30 days after the bill or invoice was first submitted. Provides that if one or more items on a bill or invoice are disapproved, but not the entire bill or invoice, then the portion that is not disapproved must be transmitted to the Comptroller for payment. Changes the filing fees required under the Act as follows: a fee of $15 for a petition seeking more than $500 but less than $10,000; and $35 for a petition seeking more than $10,000 or more. Requires that the court must allow claimants to submit documentation to amend and cure defects. Makes other changes. Authorizes the Court of Claims to adopt rules to implement the Act.

Maddy summaryThis bill makes Illinois' residential property tax credit refundable starting in 2026. It directly affects homeowners who claim the credit by allowing them to receive a cash refund if the credit amount exceeds their income tax liability. The key change is that taxpayers will get the excess credit amount paid back to them as a refund, rather than only reducing their tax bill. This refund won't count as income for means-tested programs (like food assistance), unless federal law requires otherwise. The change applies to tax years beginning January 1, 2026, and updates the existing credit structure under the Illinois Income Tax Act.

Amends the Illinois Income Tax Act. Creates the Welcome Home Illinois tax credit. Provides that each taxpayer who is a first-time homebuyer of a principal residence in the State during the taxable year is entitled to an income tax credit in an amount equal to $500. Effective immediately.