IL SB3230

Removes the 3% tax rate that applied to oil and gas production during the first 24 months of well operation under the Illinois Hydraulic Fracturing Tax Act.

Establishes immediate applicability of the standard tiered tax rates upon production, eliminating the introductory period with lower taxation.

For oil, tax rates now range from 3% to 6% based on average daily production volume (less than 25 barrels up to 100+ barrels per day).

For gas, maintains a flat 6% tax rate on the value of gas severed.

Preserves existing exemptions for low-volume oil production (15 barrels or less daily average) and certain gas uses.