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Illinois Tax Calculator 2023-2024: Estimate Your Taxes

Among the most important items that are taxable federally but not in Illinois are retirement and Social Security income, as well as distributions from a 529 college savings plan. The state of Illinois has a flat income tax, which means that everyone, regardless of income, is taxed at the same rate. That makes it relatively easy to predict the income tax you will have to pay. The income tax rate in Illinois is 4.95%, after an increase from 3.75% in 2017. Illinois also has higher-than-average sales taxes and property taxes.

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Illinois Tax Credits

All figures and balances are estimates based on the data you provided in the specifications that are not exhaustive, despite our best effort. In addition, the calculator potentially omits information relevant to determining the exact income tax figures. It applies to single filers, married/registered domestic partners who file separately, and married couples filing jointly. The Personal Exemption, which is supported by the Illinois income tax, is an additional deduction you can take if you (and not someone else) are primarily responsible for your own living expenses. Likewise, you can take an additional dependent exemption for each qualifying dependent (like a child or family member), who you financially support.

• Available tax credits can reduce the amount of tax owed, however.
• Our experts have been helping you master your money for over four decades.
• What do The Rolling Stones, NFL star Tyreek Hill, and Maryland millionaires have in common?
• Technically, you don’t have just one « tax bracket » – you pay all of the Illinois marginal tax rates from the lowest tax bracket to the tax bracket in which you earned your last dollar.

Our editors and reporters thoroughly fact-check editorial content to ensure the information you’re reading is accurate. We maintain a firewall between our advertisers and our editorial team. Our editorial team does not receive direct compensation from our advertisers. Illinois does not have illinois income tax rate standard and itemized deductions, nor do they use the federal standard deduction amounts. When you prepare your return on eFile.com this is all calculated for you. Head over to the Federal income tax brackets page to learn about the Federal Income Tax, which applies in all states nationwide.

Illinois: Federal Retirement Plan Thresholds in 2017

All income received while a resident, plus income from Illinois sources while a nonresident. There are three types of residency statuses when it comes to Illinois state tax. They determine what portion of your income the state will tax. Here are some key tax reduction programs in Illinois, and how to qualify. With this user-friendly tax software, registered NerdWallet members pay one fee, regardless of your tax situation.

The EITC can have a significant impact on a family’s annual budget, offering relief and financial stability to millions of Americans each year including those in Illinois. Divorced or separated parents who aren’t filing a joint tax return can’t both claim the credit for the same expenses, but they can split them between their returns. https://www.bookstime.com/ They can each claim the credit for a portion of the expenses incurred. It’s one of nine states that use a flat tax system rather than a progressive system. Qualified education expenses over $250 are eligible for a tax credit. Below is a table of the general merchandise sales tax rates for all of the counties in Illinois.