SUBSCRIBE to Capitol Fax      Advertise Here      Mobile Version     Exclusive Subscriber Content     Updated Posts    Contact
To subscribe to Capitol Fax, click here.
New job training tax credit pushed

Tuesday, May 20, 2014

* Greg Hinz has some details of a new proposal to help spur hiring

The proposed Illinois State Employment and Training Program, or I-Step, would give a credit worth as much as $5,000 per job for training net new hires for Illinois operations, after factoring in any job cuts.The credit would apply not only against a company’s state income tax liability but against individual income taxes it withholds from employee paychecks — a much more lucrative deal for many companies. […]

(T)he tax credit would cover training costs in the first year of employment and amount to 75 to 100 percent of costs, the larger figure in the case of jobs that will be particularly long-lived.

The jobs must pay at least 175 percent of the federal minimum wage and be posted for at least two weeks on a state job board… The key change was an agreement that would allow a company to still reduce employment in one location, so long as it was adding jobs in another location at least 60 miles away from the first. […]

By itself, the program probably won’t be enough to lure a company to Illinois, [the IMA’s Mark Denzler] said. But it will be “beneficial” for existing employers considering expanding, particularly since the program will be “automatic” and not require special approval by state bureaucrats in each instance.


- Posted by Rich Miller        

  1. - VanillaMan - Tuesday, May 20, 14 @ 2:56 pm:

    Sorry, but I-Bankrupt.

  2. - Walker - Tuesday, May 20, 14 @ 3:14 pm:

    I thought this was in a bill passed and signed in 2010. Does it take this long for things to actually get to market?

  3. - Formerly Known As... - Tuesday, May 20, 14 @ 3:30 pm:

    Not sure about any sort of “corporate welfare” at the moment.

    Income tax revenue from a newly created job would seem to be needed in Illinois’ coffers right now, much more so than in those of a successful company that is expanding their business. But without this “handout”, that new job may not be created at all and we lose out on the associated tax revenue such as gas tax, sales tax and so on from that new employee.

    Ultimately, it seems highly unlikely a successful company would not expand simply because the state will not reimburse the company up to $5,000 for the costs of training their new employee. That new employee will likely make the company more than $5,000 in profit during their first year alone and for many years after.

  4. - Jeff Trigg - Tuesday, May 20, 14 @ 4:58 pm:

    No more corporate welfare please. This favors big business over small business, which makes it even worse. The Starbucks franchise will be much more likely to take advantage of this than the family-owned local coffee shop.

  5. - wordslinger - Tuesday, May 20, 14 @ 6:33 pm:

    –The credit would apply not only against a company’s state income tax liability but against individual income taxes it withholds from employee paychecks — a much more lucrative deal for many companies. […]–

    Ugh. I hate this scam. You take taxes from me and give it my boss?

    There are a lot of risk-takers out there in the Illinois business world, but they sure aren’t among the fat cats at the taxpayer trough.

    Sad, but true.

  6. - Judgment Day - Wednesday, May 21, 14 @ 8:43 am:

    Poorly designed. I’m sure this legislation works for somebody, but when you look at all the hoops an employer has to jump through, this ‘thing’ is virtually useless for any small employer. Better off spending time on the business, and ignoring the State of Illinois.

    I count at least six (6) regulatory ‘hoops’ for businesses to jump through to obtain eligibility. Even when we try and do something right, we screw it up.

    Oh well, at least we’re not France - yet.

Sorry, comments for this post are now closed.

* I'll be back later
* Gray hired by Trump
* MLB playoff open thread
* Once more, with feeling
* B3 fallout?
* Unclear on the concept
* Yesterday's blog posts

Visit our advertisers...







Search This Blog...

Search the 98th General Assembly By Bill Number
(example: HB0001)

Search the 98th General Assembly By Keyword

* Microsoft’s many-Windowed future | Pocketnow Weekly 169
* Meet Sounds, A Music App That Lets You Share Songs On Instagram
* Griffin shows off stylish Uptown, Ribbon Bands for boring fitness trackers
* Apple pushes back against root certificate-based ad blockers
* AT&T rolls out OTA update to LG G4 with bugfixes and performance enhancements
* uBeam finally shows its tech for ultrasound wireless charging, data streaming
* The OnePlus X may have been spotted being certified in China, could launch October 12

* One benefit of the White Sox' lefty-heavy rotation
* Foot issue to sideline White Sox prospect Hawkins
* After second base, it was no-go White Sox
* Scouting, player development key for White Sox
* Arbitration-eligible White Sox won't put dent in payroll
* Hawk Harrelson's reduced schedule creates opportunity for White Sox...
* Holliday, Ventura connection goes way back


Main Menu
Pundit rankings
Subscriber Content
Blagojevich Trial
Updated Posts

October 2015
September 2015
August 2015
July 2015
June 2015
May 2015
April 2015
March 2015
February 2015
January 2015
December 2014
November 2014
October 2014
September 2014
August 2014
July 2014
June 2014
May 2014
April 2014
March 2014
February 2014
January 2014
December 2013
November 2013
October 2013
September 2013
August 2013
July 2013
June 2013
May 2013
April 2013
March 2013
February 2013
January 2013
December 2012
November 2012
October 2012
September 2012
August 2012
July 2012
June 2012
May 2012
April 2012
March 2012
February 2012
January 2012
December 2011
November 2011
October 2011
September 2011
August 2011
July 2011
June 2011
May 2011
April 2011
March 2011
February 2011
January 2011
December 2010
November 2010
October 2010
September 2010
August 2010
July 2010
June 2010
May 2010
April 2010
March 2010
February 2010
January 2010
December 2009
November 2009
October 2009
September 2009
August 2009
July 2009
June 2009
May 2009
April 2009
March 2009
February 2009
January 2009
December 2008
November 2008
October 2008
September 2008
August 2008
July 2008
June 2008
May 2008
April 2008
March 2008
February 2008
January 2008
December 2007
November 2007
October 2007
September 2007
August 2007
July 2007
June 2007
May 2007
April 2007
March 2007
February 2007
January 2007
December 2006
November 2006
October 2006
September 2006
August 2006
July 2006
June 2006
May 2006
April 2006
March 2006
February 2006
January 2006
December 2005
April 2005
March 2005
February 2005
January 2005
December 2004
November 2004
October 2004

Blog*Spot Archives
November 2005
October 2005
September 2005
August 2005
July 2005
June 2005
May 2005


RSS Feed 2.0
Comments RSS 2.0


* AFSCME says Rauner trying to end step increases.....
* 'Miscommunication' cited in press conference ca.....
* Unclear on the concept - The Capitol Fax Blog (.....
* The Great Democrat Budget Con Game in Illinois .....
* Democrats warn Illinois could go broke without .....

* ISU president calls for end to budget turmoil in Springfield
* EXCHANGE: Many point with pride at World War II service
* NIU to rededicate plaque honoring fallen WWII veterans
* Chicago State names Alabama university official to top post
* Mural, crosswalk art project underway downtown Springfield
* Donations come in for new police dog in Winnebago County
* Chicago man sentenced to 5 years for CTA train beating
* Group to help displaced workers find work in Peoria area
* Feds auction more items seized from Rita Crundwell
* Democrats warn Illinois could go broke without state budget

* The Papers of Abraham Lincoln project still in jeopardy; memo paints discouraging picture
* Democrats say Rauner 'needs to get serious' on budget
* Democrats: Illinois could go broke without budget
* Gov. Rauner ends quarter with $19M in campaign fund
* Prosecutors say former Congressman Aaron Schock is 'grandstanding'
* State Rep. David Leitch won't seek re-election
* Rauner to Democrats: 'Time's up' in budget impasse
* Illinois panel OKs medical marijuana for 8 health conditions
* State Sen. McCarter to challenge Shimkus in Congressional primary
* Rauner increasing pressure on Democrats for budget deal

* LeBron James and McDonald's are breaking up
* What's in a name? Plenty, when it comes to charitable giving
* Why this airline industry CEO took a meeting with a t-shirt vendor
* O'Hare bonds avoid Chicago stain in city's biggest offering ever
* Tribune Media seeks to sell Trib Tower

* Charity raffling off Blackhawks Stanley Cup ring
* Sweet: Emanuel says House GOP needs to work through ‘some issues’
* Democrats warn Illinois could go broke without state budget
* Obama returns to Chicago on Oct. 27 for fundraising
* Aldermen complain about ‘menu’ price hikes
* Charges come at rocky time for CPS
* Patrick Kane feels ‘really good’ as he hits the road
* Viktor Svedberg to get his chance on blue line
* Aldermen vent frustrations about city’s losing battle against homelessness
* Blackhawks mailbag: Crawford, Teravainen, Dano and more

* Court hearings for young women wanting an abortion 'a traumatic experience'
* Kids rally support for Naperville Halloween house
* Person struck and killed by Union Pacific North train
* Teachers' strike continues in McHenry HS district; no classes Friday
* Austin shooting wounds 1
* 26.2 miles through Chicago: Interactive marathon map
* Stephen Colbert kicks billy goat out of 'Late Show' taping in nod to Cubs curse
* 1 dead, 6 wounded in shootings in Chicago
* 6 injured when van flips over on Lake Shore Drive
* Three years after building skyscraper, Roosevelt University plans cuts

* The Papers of Abraham Lincoln project still in jeopardy; memo paints discouraging picture
* Mike Lang: 'Racial Taboo' screening will advance local unity efforts
* Democrats say Rauner 'needs to get serious' on budget
* Bernard Schoenburg: Supreme Court refuses to hear Illinois Policy Institute appeal over press access at Statehouse
* Gov. Rauner ends quarter with $19M in campaign fund
* Prosecutors say former Congressman Aaron Schock is 'grandstanding'
* State Rep. David Leitch won't seek re-election
* George Will: Impeach the IRS director
* Eugene Robinson: Obama is right to be cautious on Syria
* Elizabeth Austin: 'Lawsuit climate' no obstacle to business success

* UPDATE: Paxton standoff ends; man taken to hospital
* The Fit List
* Podcast: Urbana Police Deparment Deputy Chief Sylvia Morgan
* Leaping lizard!
* Professors offer glimpse of the future
* Solar farm nearly ready
* Religion calendar, Oct. 9-16, 2015
* Area history, Oct. 9, 2015
* Library program on book about serial killer
* Grace to install new pastor Nov. 1

* No. 19 Georgia, Tennessee seeking to put past behind them
* Lawsuit challenges allowing judges to pick public defenders
* Egypt to restore King Tut mask after botched epoxy job
* Grain mostly lower, livestock mixed
* US boosts privacy protection on health insurance website

* House lawmakers overcome hurdle on key tra...
* Rodney Davis talks funding with Bloomingto...
* The agency that fought Illiana gets a new ...
* Rep. Dold takes educational cruise down Ch...
* Lawmakers decry high turnover rate of VA h...
* CBD Oil, and politics
* Simon considering state Senate bid
* Killer Congressman Tom MacArthur trying to...
* Shutdown? State may not notice
* Rep. Bob Dold

* Durbin, Franken propose open source textbo......
* Durbin Co-Introduces Bill To Reduce Colleg......
* University of Phoenix Barred From Recruiti......

* Kirk cheers Senate passage of National Def......

* Name change sanctioned by IAR board at Fall Business Meetings
* Teamwork makes RPAC Phone-a-thon successful
* Barneys New York Location In Chicago
* Teachers Strike Enters 7th Day In McHenry High School District 156
* Morning Minute: Despite rebounding home prices, affordability still runs high
* Letter To The Editor: The Budget Impasse Is Devastating Public Health Services In Illinois
* Get the scoop on Crosby award in Illinois REALTOR®
* Hotel Burnham Chicago Housekeepers Want Workplace Safety Improvements
* MRED becomes Centennial Sponsor for IAR’s 100th Anniversary
* Learn about Crosby’s service award in Illinois REALTOR®

* Board’s New Rules Will Reduce Risk of Tire Fires and Disease-Carrying Mosquitos
* Illinois Hosts Inaugural Interstate Medical Licensure Compact - Aims to increase health care access through multi-state physician licensure program
* IEMA Announces Elgin Community College Attains ‘Ready to Respond Campus’ Designation - Elgin one of five Illinois campuses to receive distinction
* New Mortgage Loan Interface Increases Efficiency, Compliance
* State Fire Marshal Ushers In Fire Prevention Week - “Hear the Beep Where You Sleep!”

    Hosted by MCS SUBSCRIBE to Capitol Fax Advertise Here Mobile Version Contact Rich Miller