IL SB3808

Creates a 10% income tax credit for manufacturing businesses (NAICS codes 31-33) on capital expenditures incurred during taxable years beginning January 1, 2024 through December 31, 2034.

Increases the credit to 15% for capital investments made in rural or economically challenged areas as determined by the Department of Commerce and Economic Opportunity.

Caps annual credits at $10,000,000 per taxpayer, or $20,000,000 if the investment is in a rural or economically challenged area.

Prohibits taxpayers from claiming this credit and any other state income tax credit for the same capital expenditure simultaneously.

Credits cannot reduce tax liability below zero and may not be carried forward or backward to other tax years.