Synopsis As Introduced Amends the Illinois Income Tax Act. Reinstates the research and development credit beginning with taxable years ending on or after July 1, 2004 with changes. Provides that the credit is equal to 6.5% of the qualifying expenditures for research activities paid or incurred in this State during the taxable year. Provides that "qualifying expenditures for research activities" means those expenses defined as "qualified research expenses" under Section 41(b) of the Internal Revenue Code. Exempts the credit from the sunset requirements of the Act. Effective immediately.