Earned Income Tax Credit Information Act.

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  2. Illinois Compiled Statutes
  3. EMPLOYMENT
  4. Earned Income Tax Credit Information Act.

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(820 ILCS 170/1) (from Ch. 48, par. 2751)

Sec. 1. Short title. This Act may be cited as the Earned Income Tax Credit Information Act.

(Source: P.A. 87-598.)

 

(820 ILCS 170/5) (from Ch. 48, par. 2755)

Sec. 5. Declaration of public policy. In order to alleviate the tax burden of low-income persons in Illinois who have earned income and support one or more dependent children, the State should facilitate the furnishing of information to such persons about the availability of the federal earned income tax credit so that eligible taxpayers may claim that credit on their federal income tax returns. It is the intent of this Act to offer the most cost-effective assistance to eligible taxpayers through notices provided by their employers and by State government.

(Source: P.A. 100-201, eff. 8-18-17.)

 

(820 ILCS 170/10) (from Ch. 48, par. 2760)

Sec. 10. Definitions. In this Act:

(a) "Employer" means any Illinois employer who is subject to and is required to provide unemployment insurance to his or her employees, under the Unemployment Insurance Act.

(b) "Employee" means any person who is covered by unemployment insurance by his or her employer, pursuant to the Unemployment Insurance Act.

(Source: P.A. 87-598.)

 

(820 ILCS 170/15) (from Ch. 48, par. 2765)

Sec. 15. Notification by employer.

(a) An employer shall be required to notify all employees that they may be eligible for the federal earned income tax credit and may either apply for the credit on their tax returns or receive the credit in advance payments during the year. The employer shall not be required to notify any employee who receives gross wages from that employer that exceed the maximum amount that may qualify for the federal earned income tax credit.

(b) The employer shall provide the notification required by subsection (a) of this Section by giving or mailing to the employee:

  • (1) any notice available from the Internal Revenue Service for this purpose, including, but not limited to, the Notice of a Possible Federal Tax Refund Due to the Earned Income Credit (EIC); or
  • (2) any notice created by the employer, as long as it contains substantially the same language as either or both notices described in paragraph (1) of this subsection or in subsection (a) of Section 20.

(c) The notice prescribed in this Section shall be furnished within one week before or after, or at the same time, that the employer provides a Form W-2 to any employee covered by this Act.

(Source: P.A. 87-598.)

 

(820 ILCS 170/20) (from Ch. 48, par. 2770)

Sec. 20. Language of notice.

(a) The notice furnished to employers or created by employers to notify their employees about the availability of the federal earned income tax credit shall state as follows:

  • IF YOU EARNED LESS THAN $....... LAST YEAR AND HAVE AT LEAST ONE CHILD, YOU MAY BE ELIGIBLE TO RECEIVE A TAX CREDIT FROM THE FEDERAL GOVERNMENT. THE TAX CREDIT MAY BE A REFUND FROM THE FEDERAL GOVERNMENT FOR AS MUCH AS $..... EVEN IF YOU DO NOT OWE FEDERAL TAXES, YOU MUST FILE A TAX RETURN TO RECEIVE THE EARNED INCOME TAX CREDIT. BE SURE TO FILL OUT THE EARNED INCOME TAX CREDIT FORM IN THE TAX RETURN BOOKLET.

(b) The notice furnished by employers shall be updated annually in the appropriate blanks to reflect the maximum earned income tax credit and the maximum earnings to which such tax credit shall apply, as determined by the federal government.

(Source: P.A. 87-598.)


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