IL SB2316

Creates an income tax credit for tax years 2024-2026 for employers who hire new employees requiring a commercial driver's license and for employees working in such positions, with each receiving a credit equal to 2.475% of wages paid during the taxable year.

Allows employers to claim the credit against income tax obligations or, alternatively, against withholding tax payments under Section 704A, with employees able to request reduced withholding on paychecks to account for their tax credit.

Requires that more than 50% of an employee's duties involve driving a vehicle requiring a commercial driver's license to qualify for the credit.

Permits credits earned by partnerships, S-corporations, and LLCs to flow through to partners, shareholders, or members according to their distributive share of income under applicable Internal Revenue Code sections.

Credits are exempt from sunset provisions under Section 250 of the Illinois Income Tax Act, and the Department of Revenue, in cooperation with the Department of Commerce and Economic Opportunity, shall adopt rules to implement the credit.