14 Ill. Adm. Code 580.70
Tax Credit Award
Section 580.70 Tax Credit Award
For tax years beginning on or after January 1, 2025, a taxpayer
who has entered an agreement under the Reimagining Energy and Vehicles in
Illinois Act is entitled to a credit against the taxes imposed under
subsections (a) and (b) of Section 201 of the Illinois Income Tax Act in an
amount to be determined in the agreement.
[35 ILCS 5/236]
a) REV
Illinois Credit
1)
A
taxpayer may receive a tax credit against the tax imposed under subsections (a)
and (b) of Section 201 of the Illinois Income Tax Act, not to exceed the sum
of:
A)
75%
of the incremental income tax attributable to new
or retained
employees
at the applicant's project; and
B)
10%
of training costs of the new employees.
2)
If
the project is in an underserved area or an energy transition area, then the
amount of the credit may not exceed the sum of:
A)
100%
of the incremental income tax attributable to new
or retained
employees
at the applicant's project; and
B)
10%
of the training costs of the new employees.
3)
The
percentage of training costs includable in the calculation may be increased by
an additional 15% for training costs associated with new employees that are
recent (2 years or less) graduates, certificate holders, or credential
recipients from any of the following:
A)
an
institution of higher education in Illinois;
B)
Clean
Jobs Workforce Network Program; or
C)
apprenticeship
and training program located in Illinois and approved by and registered with
the United States Department of Labor's Bureau of Apprenticeship and Training.
4)
The
percentage of training costs includable in the calculation shall not exceed a
total of 25%.
5)
If
an applicant agrees to hire the required number of new employees, then the
maximum amount of the credit for that applicant may be increased by an amount
not to exceed
75%
of the incremental income tax attributable to retained
employees at the applicant's project; provided that, in order to receive the
increase for retained employees, the applicant must, if applicable, meet or
exceed the statewide baseline
that is specified in the agreement
. If
the project is an underserved area or an energy transition area, the maximum amount
of the credit attributable to retained employees for the applicant may be
increased to an amount not to exceed
100%
of the incremental income tax
attributable to retained employees at the applicant's project; provided that,
in order to receive the increase for retained employees, the applicant must
meet or exceed the statewide baseline
that is specified in the agreement
.
6)
REV
Illinois Credits awarded may include credit earned for incremental income tax
withheld and training costs.
(Section 30(b) of the Act)
b) REV
Construction Jobs Credit
1)
For
construction wages associated with a project that qualified for a REV Illinois
Credit
referenced in subsection 570.80(a),
the Taxpayer may receive a
tax credit against the tax imposed under subsections (a) and (b) of Section 201
of the Illinois Income Tax Act in an amount equal to 50% of the incremental
income tax attributable to construction wages paid in connection with
construction of the project facilities, as a jobs credit for workers hired to construct
the project.
2)
The
REV construction jobs credit may not exceed 75% of the amount of the
incremental income tax attributable to construction wages paid in connection
with construction of the project facilities if the project is in an underserved
area or an energy transition area.
[20 ILCS 686/30(c]
3) The
applicant seeking certification for a REV construction jobs credit
shall
require the contractor to enter into a project labor agreement that conforms
with the Project Labor Agreements Act
. [20 ILCS 686/30(e)]
c) Tax
Credit Certification to the Department of Revenue.
The Department shall
certify to the Department of Revenue
the following information regarding
the tax credit award for each taxpayer outlined in subsections 580.70(a) and
(b):
1) The
identity of taxpayers that are eligible for the REV Illinois credit and REV
construction jobs credit;
2) The
amount of the REV Illinois credit and REV construction jobs credit awarded in
each calendar year; and
3) The
amount of the REV Illinois credit and REV construction jobs credit claimed in
each calendar year. (20 ILCS 686/30(d))