SB2258 - Job Creation Zone Pilot Program Act

• Creates a Job Creation Zone Pilot Program in a defined geographic area (bounded by US-51, State Route 9, Indiana border, and Interstate 70, plus 15-mile buffer on three sides) to incentivize job creation through tax credits.

• Provides employers who pledge to hire at least 5 new full-time employees in the zone with credits against Illinois income tax withholding obligations, with credits equal to 50% of incremental income tax from new employees in years 1-3 of hiring and 25% in years 4-5.

• Defines "new employees" as full-time workers hired after agreement execution earning at least 125% of minimum wage with health insurance and retirement benefits, excluding job replacements, related-party transfers, and family members of 5%+ owners.

• Requires Department of Commerce and Economic Opportunity to issue certificates of exemption to approved applicants and allows credits to be carried forward up to 5 years if they exceed withholding obligations in any calendar year.

• Amends Illinois Income Tax Act Section 704A to authorize the withholding tax credit mechanism and becomes effective immediately upon enactment.