100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018
HB5759
 
Introduced , by Rep. Monica Bristow
 
SYNOPSIS AS INTRODUCED:



35 ILCS 5/227 new

 Amends the Illinois Income Tax Act. Creates an income tax credit in an amount equal to 20%, but in no event to exceed $2,000, of the gross wages paid by the taxpayer during the taxable year to each creditable employee. Provides that a "creditable employee" is an employee who: (1) was employed by the taxpayer for the first time on or after the effective date of the amendatory Act; (2) completed his or her twenty-fourth consecutive month of employment with the taxpayer during the taxable year; (3) received unemployment benefits in this State for at least 2 months immediately prior to being hired by the taxpayer; and (4) was employed at a location in this State for at least 30 hours per week during the entire 24-month period of his or her employment with the taxpayer. Effective immediately.



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FISCAL NOTE ACT MAY APPLY
 
 
A BILL FOR
 


HB5759LRB100 18047 HLH 33236 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 adding 
5Section 227 as follows:

6 (35 ILCS 5/227 new)
7 Sec. 227. Jobs development incentive tax credit.
8 (a) As used in this Section: 
9 "Creditable employee" means an employee of the taxpayer who 
10meets all of the following criteria:
11  (1) he or she was employed by the taxpayer for the 
12 first time on or after the effective date of this 
13 amendatory Act of the 100th General Assembly; 
14  (2) he or she completed his or her twenty-fourth 
15 consecutive month of employment with the taxpayer during 
16 the taxable year; 
17  (3) he or she received unemployment benefits in this 
18 State for at least 2 months immediately prior to being 
19 hired by the taxpayer; and 
20  (4) he or she was employed at a location in this State 
21 for at least 30 hours per week during the entire 24-month 
22 period of his or her employment with the taxpayer. 
23 (b) A taxpayer is entitled to a credit against the taxes 
 
 
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1imposed by subsections (a) and (b) of Section 201 in an amount 
2equal to 20%, but in no event to exceed $2,000, of the gross 
3wages paid by the taxpayer during the taxable year to each 
4creditable employee. 
5 (c) If the taxpayer is a partnership, subchapter S 
6corporation, or limited liability company with pass-through 
7tax treatment, the credit shall be allowed to the partners, 
8shareholders, or members in accordance with the determination 
9of income and distributive share of income under Sections 702 
10and 704 and subchapter S of the Internal Revenue Code. 
11 (d) The credit may not be carried back and may not reduce 
12the taxpayer's liability to less than zero. If the amount of 
13the credit exceeds the tax liability for the year, the excess 
14may be carried forward and applied to the tax liability of the 
155 taxable years following the excess credit year. The tax 
16credit shall be applied to the earliest year for which there is 
17a tax liability. If there are credits for more than one year 
18that are available to offset the liability, the earlier credit 
19shall be applied first. 
20 (e) This Section is exempt from the provisions of Section 
21250. 


22 Section 99. Effective date. This Act takes effect upon 
23becoming law.