Illinois 2025-2026 Regular Session

Illinois Senate Bill SB1835 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB1835 Introduced 2/5/2025, by Sen. Chapin Rose SYNOPSIS AS INTRODUCED: 35 ILCS 5/235 new Amends the Illinois Income Tax Act. Creates an income tax credit in an amount equal to 10% of the manufacturing capital expenditures incurred by the taxpayer during the taxable year or, if the taxpayer is located in a rural or economically challenged area, 15% of those expenditures. Provides that the total amount of credits awarded under these provisions may not exceed $10,000,000 for any particular taxpayer in any taxable year, except that, if the capital investment is made in a rural or economically challenged area, then the maximum amount awarded for any particular taxpayer in any taxable year shall be $20,000,000. Effective immediately. LRB104 03835 HLH 13859 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB1835 Introduced 2/5/2025, by Sen. Chapin Rose SYNOPSIS AS INTRODUCED: 35 ILCS 5/235 new 35 ILCS 5/235 new Amends the Illinois Income Tax Act. Creates an income tax credit in an amount equal to 10% of the manufacturing capital expenditures incurred by the taxpayer during the taxable year or, if the taxpayer is located in a rural or economically challenged area, 15% of those expenditures. Provides that the total amount of credits awarded under these provisions may not exceed $10,000,000 for any particular taxpayer in any taxable year, except that, if the capital investment is made in a rural or economically challenged area, then the maximum amount awarded for any particular taxpayer in any taxable year shall be $20,000,000. Effective immediately. LRB104 03835 HLH 13859 b LRB104 03835 HLH 13859 b A BILL FOR
2	2	104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB1835 Introduced 2/5/2025, by Sen. Chapin Rose SYNOPSIS AS INTRODUCED:
3	3	35 ILCS 5/235 new 35 ILCS 5/235 new
4	4	35 ILCS 5/235 new
5	5	Amends the Illinois Income Tax Act. Creates an income tax credit in an amount equal to 10% of the manufacturing capital expenditures incurred by the taxpayer during the taxable year or, if the taxpayer is located in a rural or economically challenged area, 15% of those expenditures. Provides that the total amount of credits awarded under these provisions may not exceed $10,000,000 for any particular taxpayer in any taxable year, except that, if the capital investment is made in a rural or economically challenged area, then the maximum amount awarded for any particular taxpayer in any taxable year shall be $20,000,000. Effective immediately.
6	6	LRB104 03835 HLH 13859 b LRB104 03835 HLH 13859 b
7	7	LRB104 03835 HLH 13859 b
8	8	A BILL FOR
9	9	SB1835LRB104 03835 HLH 13859 b SB1835 LRB104 03835 HLH 13859 b
10	10	SB1835 LRB104 03835 HLH 13859 b
11	11	1 AN ACT concerning revenue.
12	12	2 Be it enacted by the People of the State of Illinois,
13	13	3 represented in the General Assembly:
14	14	4 Section 5. The Illinois Income Tax Act is amended by
15	15	5 adding Section 235 as follows:
16	16	6 (35 ILCS 5/235 new)
17	17	7 Sec. 235. Manufacturing capital expenditure credit. For
18	18	8 taxable years that begin on or after January 1, 2025 and begin
19	19	9 prior to January 1, 2036, each taxpayer that is engaged in the
20	20	10 business of manufacturing (North American Industry
21	21	11 Classification System code 31-33) is entitled to a credit
22	22	12 against the taxes imposed by subsections (a) and (b) of
23	23	13 Section 201 in an amount equal to 10% of the capital
24	24	14 expenditures incurred by the taxpayer during the taxable year
25	25	15 that are related to manufacturing. The total amount of credits
26	26	16 awarded under this Section may not exceed $10,000,000 for any
27	27	17 particular taxpayer in any taxable year. However,
28	28	18 notwithstanding any other provision of this Section, if the
29	29	19 capital investment is made in a rural or economically
30	30	20 challenged area, as determined by the Department of Commerce
31	31	21 and Economic Opportunity, then the amount of the credit shall
32	32	22 be 15% of the capital expenditure, and the maximum amount
33	33	23 awarded under this Section for any particular taxpayer in any
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37	37	104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB1835 Introduced 2/5/2025, by Sen. Chapin Rose SYNOPSIS AS INTRODUCED:
38	38	35 ILCS 5/235 new 35 ILCS 5/235 new
39	39	35 ILCS 5/235 new
40	40	Amends the Illinois Income Tax Act. Creates an income tax credit in an amount equal to 10% of the manufacturing capital expenditures incurred by the taxpayer during the taxable year or, if the taxpayer is located in a rural or economically challenged area, 15% of those expenditures. Provides that the total amount of credits awarded under these provisions may not exceed $10,000,000 for any particular taxpayer in any taxable year, except that, if the capital investment is made in a rural or economically challenged area, then the maximum amount awarded for any particular taxpayer in any taxable year shall be $20,000,000. Effective immediately.
41	41	LRB104 03835 HLH 13859 b LRB104 03835 HLH 13859 b
42	42	LRB104 03835 HLH 13859 b
43	43	A BILL FOR
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68	68	1 taxable year shall be $20,000,000. A taxpayer may not claim a
69	69	2 credit under this Section if the taxpayer claims a credit
70	70	3 against the taxes imposed by subsections (a) and (b) of
71	71	4 Section 201 for the same capital expenditure under any other
72	72	5 provision of law.
73	73	6 In no event shall a credit under this Section reduce the
74	74	7 taxpayer's liability under this Act to less than zero. The
75	75	8 credit may not be carried forward or back.
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81	81	SB1835 - 2 - LRB104 03835 HLH 13859 b