Per IRS/State regulation – not eFile.com – an Illinois state tax return can only be e-Filed together with an IRS tax return. Instruction how to only prepare a IL state return on eFile.com and then download, print sign and mail it in. The following tax tables are supported by iCalculator™ US as part of the suite of free tax tools available in the US Tax HUB we provide for Illinois. The federal standard deduction for a Head of Household Filer in 2022 is $ 19,400.00.

• The personal exemption for 2022 remains at $0 (eliminating the personal exemption was part of the Tax Cuts and Jobs Act of 2017 (TCJA).
• Unlike the Federal Income Tax, Illinois’ state income tax does not provide couples filing jointly with expanded income tax brackets.
• If your state tax witholdings are greater then the amount of income tax you owe the state of Illinois, you will receive an income tax refund check from the government to make up the difference.
• For Married Filing Joint (MFJ) taxpayers with AGI below $23,500, the standard deduction is $7,500.
• The amount a homeowner must pay depends on the property value and its location.

Illinois Paycheck Calculator

That’s why pay frequency is a common question on paycheck calculators. A bigger paycheck may seem enticing, but smaller, more frequent paychecks can make it easier to budget without coming up short by the end of the month. Illinois also accepts online payments of your tax debt with credit cards and debit cards, or through a bank transfer. There is, however, a convenience fee for the use of a credit or debit card when paying your taxes. The Illinois State tax calculator is as good as the feedback, your support, requests and bug catches help to improve the accuracy of the tax calculator for all.

State Sales Tax Breadth and Reliance, Fiscal Year 2022

Tax burdens in 2020, 2021, and 2022 are all higher than in any other year since 1978. In general, the rate ranges from 6.25% to over 8.50%, depending on where the vehicle is purchased. Owner-to-owner sales, however, illinois tax brackets 2022 are subject to a lower rate, which depends on the price of the vehicle and, in some situations, the model year. View how much tax you may pay in other states based on the filing status and state entered above.

Does Illinois has local income tax?

Income limits and other rules apply, but you’ll qualify if you’re eligible for the federal EIC offered by the IRS. Illinois only has the federal income tax, the state income tax, and FICA taxes (Social Security and Medicare). The tax rate can range from 10% to 37%, depending on your income and filing status. Regarding real estate, the Illinois property tax calculator includes the full set of jurisdictions and their respective tax rate. One of the cheapest property tax rates is Pulaski County, with a tax rate of 0.980%, while the most expensive one is Lake County, with a tax rate of 2.950%.

• Illinois’ income tax rates were last changed one year prior to 2022 for tax year 2021, and the tax brackets have not been changed since at least 2001.
• Illinois also provides the Education Expense Credit to parents who spent over $250 on eligible K-12 education expenses.
• Our partners cannot pay us to guarantee favorable reviews of their products or services.
• Inflation-adjusted bracket widths for 2022 were not available as of publication, so table reflects 2021 inflation-adjusted bracket widths.
• (l) Exemption credits phase out for single taxpayers by $6 for each $2,500 of federal AGI above $212,288 and for MFJ filers by $12 for each $2,500 of federal AGI above $424,581.

• In 2021 alone, 13 states enacted or implemented individual income tax rate reductions.
• Illinois also has higher-than-average sales taxes and property taxes.
• You must pay tax to Illinois on any income you earn there if you work there and live in any other state except Wisconsin, Iowa, Kentucky, or Michigan.
• Those earning high incomes may see an additional 0.9% Medicare surtax.
• High income earners earning over certain limits do not qualify for the personal exemption deduction though.
• 380, reducing the state’s top marginal individual income tax rate from 6.925 to 6.5 percent while consolidating seven individual income tax brackets into five.

Lawmakers effectively undid the ratification through legislation, lowering the base rates to ensure that the combined top rate never exceeded 4.5 percent. They simultaneously adopted revenue triggers that could create a lower, single-rate tax. The earned income credit (EIC) is Illinois’ only refundable tax credit. It’s equal to 18% of the EIC amount received on your federal tax return.

How You Can Affect Your Illinois Paycheck

It’s one of nine states that use a flat tax system rather than a progressive system. The general merchandise sales tax applies to almost all other products purchased for use in Illinois. However most areas have additional local taxes between 0% and 5.25%. Cook, Kane and Warren counties are home to the state’s highest combined sales tax rates of 11.50%, 11% and 11%, respectively.

For all of the tax forms we provide, visit our Illinois tax forms library or the ‘s tax forms page. Your AGI represents your income after adjustments are made to it. Adjustments might be for things like student loan interest you have paid or for IRA contributions you made.

Salary & Income Tax Calculators

Illinois has $13,094 in state and local debt per capita and has a 51 percent funded ratio of public pension plans. Overall, Illinois’s tax system ranks 37th on our 2024 State Business Tax Climate Index. Your AGI is your yearly income with a few deductions, which are commonly referred to as “above-the-line” deductions. These include items like contributions to specific types of retirement accounts, particular business costs for the self-employed, and particular educational costs. Illinois does not have standard and itemized deductions, nor do they use the federal standard deduction amounts. Long-term capital gains are taxed using different brackets and rates than ordinary income.

The credit is refundable, which means that if this credit exceeds the tax you owe, it may result in a refund. You can only claim the Illinois EITC/EIC if you qualify for it on your federal income tax return and it’s worth 30% of your federal EITC/EIC. The federal government taxes your income based on your filing status, taxable income, etc. In contrast to state tax, federal income tax is progressive and your income is split into multiple brackets where lower brackets are taxed at lower rates and higher brackets are taxed at higher rates. As of this writing, no such resolution has been adopted, so the top marginal individual income tax rate remains at 5.75 percent. Illinois’ income tax rates were last changed one year prior to 2022 for tax year 2021, and the tax brackets have not been changed since at least 2001.

Despite being asked to pay more than anyone else, the state’s worst-in-the-nation pension debt eats dollars that should be spent on improvements to public services – the things residents expect their taxes to be used for. Illinoisans are left watching their tax bills climb while their tax dollars are diverted to cover $219 billion in pension promises made by politicians. This credit is for a portion of the expenses you paid for your dependent child or children to attend kindergarten through 12th grade at a public or nonpublic Illinois school. Your student must be under age 21, and both of you must have been Illinois residents at the time the expenses were paid.