SB1766 Summary: Business and Employment Development Tax Credit Act

• Creates a new tax credit program allowing the Department of Commerce and Economic Opportunity to certify businesses and award income tax credits for creating net new jobs or retaining jobs in Illinois.

• Credits are calculated as a percentage of wages paid to eligible employees: 10% for new full-time employees, 5% for new part-time employees, with additional 5% bonus for wages exceeding 150% of Illinois minimum wage, and up to 10% additional credit for jobs in economically disadvantaged areas.

• Credit duration is 5 taxable years with the ability to carry forward unused credits for an additional 5 years; maximum annual cap of $50,000,000 in new credits awarded per calendar year.

• Allows certified businesses to sell, assign, or transfer unused credits to other Illinois taxpayers, with notification to the Department of Commerce and Economic Opportunity and Department of Revenue within 30 days.

• Requires recapture of credits if jobs are not maintained during the 5-year period, with recaptured amounts subject to interest but not penalties if repaid by the original tax return due date.