SPRINGFIELD, IL— State Senator Michael Noland (D-Elgin) joined Governor Quinn at the bill signing ceremony for the Small Business Job Creation Tax Credit, which provides small businesses with a $2,500 tax credit for each new employee they hire next year.

“ Illinois needs to speed up progress on the road to economic recovery,” Noland said.  “This tax credit is an important tool.  We believe that this incentive will lead to the creation of 20,000 jobs.”

In order to qualify for the Small Business Job Creation Tax Credit, a company must have more full-time employees at the end of Fiscal Year 2011 than it did at the start of the year.  The measure targets small businesses—businesses with less than 50 full-time employees—because they are the backbone of the economy.  It also has safeguards to prevent abuses.  Employers cannot qualify for the credit if they hire their relatives, former employees, or part-owners of the business.

“Creating jobs will stabilize and grow our economy,” Noland said.  “Despite a small initial cost, this tax credit will ultimately generate revenue for the state.  Every time we put someone back to work, we come that much closer to balancing the state budget.”

Noland worked closely with Governor Pat Quinn’s office to craft this legislation.  A Small Business Job Creation Tax Credit was a key part of Governor Quinn’s budget proposal.  It is also part of a larger job creation package introduced by the Democratic members of the Illinois Senate.

“Providing incentives for private businesses to keep and create jobs has to be one of our top priorities,” Noland said.  “This job creation tax credit is an important part of our larger plan to work in partnership with Illinois entrepreneurs and drive down the unemployment rate.”

Senate Bill 1578 passed the General Assembly with unanimous bipartisan support last month, and takes effect immediately now that the governor has signed it into law.