IL SB2566

Creates a new "Small Business Bonus Investment Credit" equal to 1% of expenses claimed as a federal Section 179 deduction (which allows businesses to deduct the full purchase price of qualifying equipment and software)

Caps the total credits awarded statewide at $30,000,000 per calendar year; if claims exceed this cap, credits are reduced proportionally for all taxpayers

Allows taxpayers to sell, assign, or transfer the credit to other parties, with the original taxpayer remaining liable if audits later reduce the credit amount

Permits unused credits to be carried forward for up to 5 taxable years following the year the credit was earned

Waives underpayment penalties and interest if a taxpayer's credit is reduced due to the annual cap, provided the additional tax owed is paid within 60 days of receiving notice