IL HB0801

Establishes an income tax credit for employers with an average of 500 or fewer employees who hire qualified employees in Illinois for taxable years beginning January 1, 2021 through December 31, 2025.

Credit amounts are $2,500 per qualified employee for employers with 101-500 employees and $5,000 per qualified employee for employers with 100 or fewer employees.

Increases credit by $500 if the qualified employee works in a disproportionately impacted area or resides in such an area on the hire date (single $500 increase if both conditions met).

Defines "qualified employee" as a State resident hired for a net new job who was unemployed due to COVID-19, including self-employed individuals; excludes employees furloughed and then reinstated by the same employer.

Limits total tax credits issued by the Department of Commerce and Economic Opportunity to $100,000,000 for the duration of the program; excess credits may be carried forward up to 5 years.