Bill > SB0252

This bill amends the Illinois Income Tax Act to make the research and development (R&D) tax credit permanent by removing the previous sunset date of January 1, 2032. The R&D credit allows taxpayers to claim a credit equal to 6.5% of qualifying expenditures for increasing research activities within the state. Qualifying expenditures are defined as those that would be allowable under the federal credit for increasing research activities, as outlined in Section 41 of the Internal Revenue Code, and conducted specifically in Illinois. The credit can be carried forward for up to 5 taxable years if it exceeds the taxpayer's current tax liability. The bill ensures continuity for businesses investing in research and development in Illinois by removing the previous time limitation on the credit, providing a stable and predictable tax incentive for companies engaged in innovative research activities within the state.

Budget and Finance

https://www.ilga.gov/legislation/BillStatus.asp?DocNum=252&GAID=18&DocTypeID=SB&SessionID=114&GA=104