HB5799 - Manufacturing Job Destination Tax Credit Act

• Creates a 25% tax credit on qualifying Illinois labor expenditures for certified manufacturing companies, effective for tax years beginning January 1, 2012 and later.

• Limits qualifying wages to $25,000 per employee, excludes the two highest-paid employees, and requires wages be paid for manufacturing production services rendered in Illinois.

• Requires manufacturers to obtain accredited status by demonstrating they provide health insurance, a pension or 401(k) plan, elder care and dependent care benefits, and conduct research and development in Illinois.

• Allows taxpayers 60 days to cure deficiencies after initial denial of certification, with right to appeal a second denial by preponderance of evidence to a hearing officer.

• Credits may not be carried forward or back, cannot reduce tax liability below zero, and are passed through to partners and shareholders of partnerships and S-corporations according to their distributive shares.