Bill Text: IL SB2282 | 2023-2024 | 103rd General Assembly | Introduced

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Bill Title: 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.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2023-03-10 - Rule 3-9(a) / Re-referred to Assignments [SB2282 Detail]

Download: Illinois-2023-SB2282-Introduced.html

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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.
LRB103 28620 HLH 55001 b
A BILL FOR
SB2282 LRB103 28620 HLH 55001 b
AN ACT concerning revenue.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Illinois Income Tax Act is amended by
adding Section 234 as follows:
(35 ILCS 5/234 new)
Sec. 234. Retaining Illinois Students of Engineering
(RISE) credit.
(a) For tax years ending on or after December 31, 2023, a
taxpayer shall be allowed a credit against the tax imposed by
subsections (a) and (b) of Section 201 for compensation paid
to qualified employees during the taxable year. 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.
(b) The credit or credits may not reduce the taxpayer's
liability to less than zero. If the amount of the credit or
credits exceeds the taxpayer's liability, the excess may be

SB2282 - 2 - LRB103 28620 HLH 55001 b
carried forward and applied against the taxpayer's liability
in the following 5 taxable years or until the credit has been
fully used, whichever occurs first.
(c) As used in this Section, "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 for which the credit is claimed.
Section 99. Effective date. This Act takes effect upon
becoming law.