IL SB2476

Creates the "Revitalizing Illinois Downtowns Tax Credit" providing a 20% income tax credit for qualified expenditures to convert office buildings to residential, retail, or other commercial use, effective for tax years beginning January 1, 2026

Caps the credit at $15,000 per taxpayer per year, with multi-year projects able to claim aggregate credits in the final year; total statewide credits limited to $50,000,000 per fiscal year, awarded first-come, first-served

Qualifying buildings must be at least 25 years old, previously used as office space, eligible for federal depreciation, and meet green building certification standards (LEED, ENERGY STAR, Green Globes, or equivalent) or be carbon neutral

Residential conversions must include at least 20% of units as rent-restricted affordable housing for occupants earning 80% or less of area median income, with a binding State or local affordable housing agreement

Construction work included in conversion expenditures must be subject to a project labor agreement; unused credits may be carried forward for up to 5 years