HB 6244 Summary

• Amends the Illinois Income Tax Act to make the research and development tax credit permanent for all tax years ending on or after December 31, 2004, removing the prior expiration date of January 1, 2016.

• Allows taxpayers a credit equal to 6.5% of qualifying expenditures for increasing research activities conducted in Illinois, based on excess spending over a 3-year base period average.

• Permits unused research and development credits to be carried forward for 5 taxable years following the year earned until fully used.

• Clarifies legislative intent that the credit applies on a permanent basis beginning with tax years ending on or after December 31, 2004, and exempts this provision from Section 250 limitations.

• Takes effect immediately upon becoming law.