New Illinois law creates tax credit for flooded properties

CHICAGO (AP) — Gov. Bruce Rauner has signed a tax credit into law worth up to $750 for property owners in 18 Illinois counties that suffered flood damages earlier this year.

The legislation signed Thursday creates a natural disaster tax credit that eligible property owners can apply to their 2017 Illinois income taxes. Properties that qualify for the tax credit include a taxpayer’s principle residence or land owned by a small business, but not a rental or leasing business.

Under the new law, township assessors will issue eligibility certificates for property owners and give the Illinois Department of Revenue listings of flood-damaged properties.

The Illinois Emergency Management Agency estimated the flooding’s fiscal impact to the state at $4.6 million. Rauner declared the 18 counties where the tax credit applies state disaster areas last summer.