IL HB3068

Extends the Small Business Job Creation Tax Credit Act by creating a new incentive period from July 1, 2025 through June 30, 2031, with a minimum basic wage requirement of $20 per hour (up from $10 per hour in the original program)

Provides tax credits up to $2,500 per new employee hired, with an enhanced credit of up to $3,500 for hiring "returning citizens" (Illinois residents formerly incarcerated in federal, state, or local correctional facilities)

Caps aggregate credits at $20,000,000 for general new employees and $5,000,000 specifically for returning citizens; if the returning citizen cap is reached, employers may still claim the standard $2,500 credit from the general pool

Requires employers to replace employees who leave within 8 weeks to maintain credit eligibility, and establishes credit recapture if an employee is terminated without cause within one year after the credit is awarded

Limits eligibility to small businesses with 50 or fewer full-time employees operating in Illinois, with credits applied against taxes withheld under Section 704A of the Illinois Income Tax Act