103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
SB2282
 
Introduced 2/10/2023, by Sen. Ram Villivalam
 
SYNOPSIS AS INTRODUCED:
 

 
35 ILCS 5/234 new

     Amends the Illinois Income Tax Act. Creates an income tax credit for taxpayers who employ qualified employees. Provides that the term "qualified employee" means an individual who (i) is employed by the taxpayer as an engineer and (ii) graduated from an engineering program at an accredited institution of higher learning with a Bachelor's degree or higher within the 5 years immediately preceding the taxable year. Provides that the credit shall be equal to (i) 10% of the compensation paid by the taxpayer during the taxable year to qualified employees who graduated from an engineering program at an accredited institution of higher learning in Illinois or (ii) 5% of the compensation paid by the taxpayer during the taxable year to qualified employees who graduated from an engineering program an accredited institution of higher learning not located in Illinois. Effective immediately.
  


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A BILL FOR
 

  
SB2282LRB103 28620 HLH 55001 b


  
1    AN ACT concerning revenue.
  
 
2    Be it enacted by the People of the State of Illinois,
 
3represented in the General Assembly:
  
 
 
4    Section 5. The Illinois Income Tax Act is amended  by 
5adding Section 234 as follows:
 
6    (35 ILCS 5/234 new)
7    Sec. 234. Retaining Illinois Students of Engineering 
8(RISE) credit.
9    (a) For tax years ending on or after December 31, 2023, a 
10taxpayer shall be allowed a credit against the tax imposed by 
11subsections (a) and (b) of Section 201 for compensation paid 
12to qualified employees during the taxable year. The credit 
13shall be equal to (i) 10% of the compensation paid by the 
14taxpayer during the taxable year to qualified employees who 
15graduated from an engineering program at an accredited 
16institution of higher learning in Illinois or (ii) 5% of the 
17compensation paid by the taxpayer during the taxable year to 
18qualified employees who graduated from an engineering program 
19an accredited institution of higher learning not located in 
20Illinois. 
21    (b) The credit or credits may not reduce the taxpayer's


22liability to less than zero. If the amount of the credit or 
23credits exceeds the taxpayer's liability, the excess may be 
 
 
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1carried forward and applied against the taxpayer's liability 
2in the following 5 taxable years or until the credit has been 
3fully used, whichever occurs first. 
4    (c) As used in this Section, "qualified employee" means an 
5individual who (i) is employed by the taxpayer as an engineer 
6and (ii) graduated from an engineering program at an 
7accredited institution of higher learning with a Bachelor's 
8degree or higher within the 5 years immediately preceding the 
9taxable year for which the credit is claimed. 
  
 
10    Section 99. Effective date. This Act takes effect upon 
11becoming law.