103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB3051

 

Introduced 2/17/2023, by Rep. Harry Benton

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 5/234 new

    Amends the Illinois Income Tax Act. Provides that the Department of Commerce and Economic Opportunity may enter into credit agreements with eligible manufacturing employers for the purpose of creating manufacturing jobs in the State. Effective immediately.


LRB103 30531 HLH 56964 b

 

 

A BILL FOR

 

HB3051LRB103 30531 HLH 56964 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. Manufacturing jobs credit.
8    (a) The Department of Commerce and Economic Opportunity
9may enter into credit agreements with eligible manufacturing
10employers for the purpose of creating manufacturing jobs in
11the State. Credits under this Section shall be available for
12taxable years beginning on or after January 1, 2024 and may be
13used to offset the taxpayer's liability for the taxes imposed
14under subsections (a) and (b) of Section 201. A credit under
15this Section may not exceed the incremental income tax
16attributable to new and retained employees during the taxable
17year.
18    (b) In no event shall a credit under this Section reduce
19the taxpayer's liability to less than zero. If the amount of
20the credit exceeds the tax liability for the year, the excess
21may be carried forward and applied to the tax liability of the
225 taxable years following the excess credit year. The tax
23credit shall be applied to the earliest year for which there is

 

 

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1a tax liability. If there are credits for more than one year
2that are available to offset a liability, the earlier credit
3shall be applied first.
4    (c) For partners and shareholders of Subchapter S
5corporations, there shall be allowed a credit under this
6Section to be determined in accordance with the determination
7of income and distributive share of income under Sections 702
8and 704 and Subchapter S of the Internal Revenue Code.
9    (d) As used in this Section, "incremental income tax" has
10the meaning given to that term in the Economic Development for
11a Growing Economy Tax Credit Act.
12    (e) This Section is exempt from the provisions of Section
13250.
 
14    Section 99. Effective date. This Act takes effect upon
15becoming law.