CHICAGO – August 16, 2010. Governor Pat Quinn today visited a design company in Chicago to encourage small businesses in Illinois to take advantage of the state’s small business tax credit. Small businesses that create new jobs between July 1, 2010 and June 30, 2011 may be able to take advantage of a $2,500 tax credit for new hires. The Illinois Small Business Job Creation Tax Credit, proposed and signed into law by Governor Pat Quinn earlier this year, targets the foundation of Illinois' economy – the 500,000 small businesses across the state.
“By offering a tax credit, businesses thinking of adding new employees will have an incentive to hire now and expand,” said Governor Quinn. “This is an innovative way to put thousands of people to work throughout Illinois. We must continue to do everything we can to create jobs and grow our economy.”
The $2,500 tax credit is available to businesses with 50 or fewer employees (including all locations) as of June 30, 2010. Ninety-five percent of Illinois businesses have fewer than 50 employees. New small businesses hiring their first Illinois employee(s) may also qualify for the credit. Those businesses that began hiring on July 1 may apply for the credit retroactively.
“The small business tax credit was a great incentive for our company in adding another full time designer to our staff,” said Mick De Giulio, President of de Giulio Kitchen Design. “In these tough economic times we appreciate every opportunity to help our business grow.”
The Illinois Department of Commerce and Economic Opportunity created a simple, easy-to-use online registration system for small business owners at JobsTaxCredit.illinois.gov. Eligible companies should register new positions online as soon as a new, full-time Illinois employee is hired and begins providing services. After one year, companies can use the website to enter substantiating data and apply for their tax credit certificate. Tax credit certificates will be awarded beginning July 1, 2011. The total amount of credits issued is capped at $50 million, which will support 20,000 jobs.
Senate Bill 1578, sponsored by Sen. Michael Noland (D-Elgin) and Illinois House Speaker Michael Madigan (D-Chicago), passed the General Assembly unanimously.
For eligibility requirements for the Illinois Small Business Job Creation Tax Credit, and to register a new position, visit JobsTaxCredit.illinois.gov.
Illinois has added nearly 60,000 jobs in 2010 – more new jobs than any other Midwest state.