Southern Illinois offers an incredibly business-friendly atmosphere with flexible zoning and a variety of incentives for businesses looking to relocate or expand.
If you are looking to relocate or expand within the region, Southern Illinois Now will coordinate with state and local partners to put together an incentive package to meet your needs. To get started, contact us at 618-353-0100 or firstname.lastname@example.org
In 2023, the State of Illinois greatly expanded business incentives in order to attract and retain job creators looking to locate or expand their business in the state.
New changes include:
- $400 Million Closing Fund: Discretionary cash assistance available for major job creators with significant investments through the Invest in Illinois Fund.
- Expanding and improving Illinois’ premier incentive programs, including:
- Economic Development for a Growing Economy (EDGE)
- Reimagining Energy and Vehicles (REV Illinois)
- Manufacturing Illinois Chips for Real Opportunity (MICRO)
- High Impact Businesses (HIB)
- Enterprise Zone Expansion
Illinois’ Economic Development for a Growing Economy (EDGE) program provides annual corporate tax credits to qualifying businesses which support job creation, capital investment and improve the standard of living for all Illinois residents. Initial qualification criteria require certain job creation and project investment requirements.
The Reimagining Energy and Vehicles in Illinois Act (REV Illinois Act) is a highly competitive incentives program to bolster Illinois manufacturing in the clean jobs economy, created to attract companies all along the supply chain in the electric vehicle and renewables sectors. In addition to utilizing Illinois’ skilled workforce to make the jobs of the future a reality in Illinois today, the program supports our state's bold climate change agenda to achieve 100% clean energy by 2050, including putting one million EVs on the road by 2030.
REV Illinois offers competitive incentives to expand in, or relocate to, Illinois for companies that manufacture, in whole or in part, electric vehicles and associated battery, charging infrastructure and recycling products, as well as renewables including solar, wind and energy storage.
The Illinois Enterprise Zone Program is designed to stimulate economic growth and neighborhood revitalization in economically depressed areas of the state through state and local tax incentives, regulatory relief and improved governmental services.
Employers are allowed a tax credit for qualified educational expenses associated with qualifying apprentices. Employers may receive a credit of up to $3,500 per apprentice against the taxes imposed by subsections (a) and (b) of Section 201 of the Illinois Income Tax Act, and an additional credit of up to $1,500 for each apprentice if (1) the apprentice resides in an underserved area or (2) the employer's principal place of business is located in an underserved area.
Illinois' Manufacturing Illinois Chips for Real Opportunity Act (MICRO) combined with the federal Creating Helpful Incentives to Produce Semiconductors (CHIPS) legislation along with Illinois’ existing tech and innovation workforce, make Illinois a very welcoming and strategic location for manufacturers of microchips and semiconductors looking for their next U.S. manufacturing site.
Eligible companies manufacture microchips and semiconductors and associated component parts. Job creation incentives can be awarded as of January 1, 2023 and claimed beginning January 1, 2025.
Larger projects should meet the following jobs and capital investment thresholds within five years in order to receive benefits:
- Microchip and semiconductor Manufacturer: $1.5B capital investment & ≥ 500 jobs
- Microchip and semiconductor Component Parts Manufacturer: $300M capital investment & ≥ 150 jobs
- Manufacturers converting existing manufacturing facility to microchips and semiconductors components manufacturing: ≥ 75 new jobs (or new jobs equivalent to 10% of statewide baseline for taxpayer, whichever is less) & $100M capital investment
Smaller projects may receive benefits if the company invests more than $20M in capital and creates 50 new jobs within four years.
- Manufacturing Illinois Chips for Real Opportunity (MICRO)
The data centers investment program provides owners and operators with exemptions from a variety of state and local taxes for qualifying Illinois data centers. The program also provides data center owners and operators with a tax credit of 20% of wages paid for construction workers for projects located in underserved areas.
The program supports large-scale economic development activities by providing tax incentives (similar to Enterprise Zones) to companies that make substantial capital investments in operations and create or retain an above average number of jobs. Businesses may qualify for: investment tax credits, potential High Impact Business construction jobs credit, a state sales tax exemption on building materials and/or utilities, a state sales tax exemption on purchases of personal property used or consumed in the manufacturing process or in the operation of a pollution control facility.
The Business Attraction Prime Sites Capital Grant Program assists companies with large-scale capital investment projects that commit to significant job creation for Illinois residents as they relocate or expand operations within Illinois. Prime Sites grants can encompass a wide range of economic development projects that will result in job creation in the state of Illinois.
The Illinois Angel Investment Tax Credit Program encourages investment in innovative, early-stage companies to help obtain the working capital needed to further the growth of their company in Illinois. Investors in companies that are certified as Qualified New Business Ventures (QNBVs) can receive a state tax credit equal to 25% of their investment (up to $2 million).
The Blue Collar Jobs Act (BJCA) program supports large-scale economic development activities by providing corporate income tax credits to companies that make substantial capital investments in Illinois. The tax credits are based on the wages paid to construction workers employed on eligible projects. To be eligible, a company must be located in an Enterprise Zone (EZ) or a River Edge Redevelopment Zone (RERZ), designated a High Impact Business (HIB), or have an agreement under the Economic Development for a Growing Economy (EDGE) Program. Eligible companies may receive up to 75 percent income tax withholding credits for construction workers.
Illinois is a world class destination for film, television and advertising production. Check out our locations, from the beautiful, iconic Chicago skyline and 58 mile lakefront to the gritty back alleys and unique historic neighborhoods. Illinois boasts breathtaking natural vistas, rivers, prairies, industrial centers, picturesque farmland, and small towns seemingly frozen in time.
Illinois is home to a thriving film industry with a nationally renowned crew base, actors, and industry vendors. Illinois offers a robust and sustainable 30% Film Tax Credit.