IL HB1361

Creates a new Small Business Property Tax Relief Credit under the Illinois Income Tax Act, equal to 10% of property taxes paid on eligible business property or $1,500, whichever is less

Credit available for taxable years ending between December 31, 2025 and December 31, 2029

Qualified small businesses must employ fewer than 50 employees in Illinois, conduct business in the state, and be current on all state and federal tax obligations

Eligible real property must be non-residential, located in Illinois, used for business operations, and the taxpayer must have an ownership interest and be liable for property taxes

Excess credits may be carried forward for up to 5 taxable years, and partnerships and S corporations may pass the credit through to partners and shareholders