SB3453 Summary

• Modifies the research and development tax credit under the Illinois Income Tax Act by lowering the threshold for calculating increased research activities from 100% to 50% of average qualifying expenditures in the base period, effective for tax years ending on or after December 31, 2022.

• Makes the research and development tax credit permanent on a continuous basis for all tax years ending on or after December 31, 2004 and ending prior to January 1, 2027.

• Provides technical corrections to clarify statutory language regarding the research and development credit definitions and the exemption from Section 250 provisions.

• Takes effect immediately upon becoming law.