Tax-Rates.org provides easy access to five of the most commonly used Illinois income tax forms, in downloadable PDF format. For all of the tax forms we provide, visit our Illinois tax forms library or the ‘s tax forms page. A financial advisor can help you understand how taxes fit into your overall financial goals. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
Illinois Standard Deductions & Personal Exemption Amounts
Illinois has a flat income tax rate which applies to both single and joint filers. The Federal Income Tax, in contrast to the Illinois income tax, has multiple tax brackets with varied bracket width for single or joint filers. This new version no longer asks you to list total allowances, as it instead uses a five-step process that lets you enter personal information, claim dependents and indicate any additional income or jobs. In the absence of allowances, filers are required to enter annual dollar amounts for things like illinois income tax rate income tax credits, non-wage income, itemized and other deductions and total annual taxable wages.
e-Filing: Submit Your Illinois Tax Return Online
So while making those contributions will decrease your take-home pay, stashing cash in one of these tax-advantaged accounts means the money will grow tax-free. In the case of the FSA and HSA, your money is there for you to spend on medical expenses. If you want more money in your Illinois paycheck, aside from asking for a raise, you can also work overtime if your job allows it. Other forms of supplemental wages you can seek include bonuses, commission, stock options and prizes. Supplemental wages are taxed at the same rate as regular income in Illinois.
Proposed rate changes
For each pay period, your employer will withhold 6.2% of your earnings for Social Security taxes and 1.45% of your earnings for Medicare taxes. Together these are called FICA taxes, and your employer will pony up a matching contribution. The Earned Income Tax Credit is currently 20% of the federal credit by the same name. For tax year 2024, the maximum state credit a person can claim is $1,566. The Education Expense Credit provides a credit to parents who spent over $250 on eligible K-12 education expenses.
- You can’t claim the same allowances with more than one employer in a single tax year.
- The state of Illinois collects 66.5 cents for every gallon of regular gasoline.
- While most in-depth tax software charges a fee, there are several free options available through the states, and simple versions are also offered free of charge by most tax software companies.
- In this scenario, you may wish to fill out a new W-4 form and request that your employer withhold an additional amount from each of your paychecks.
- On the state level, you can claim allowances for Illinois state income taxes on Form IL-W-4.
- Supplemental wages are taxed at the same rate as regular income in Illinois.
- This site is a free public service not affiliated with the IRS or any governmental organization.
How Your Illinois Paycheck Works
- Your employer will also withhold money from each of your paychecks to put toward your federal income taxes.
- Most tax preparers can electronically file your return for you, or you can do it yourself using free or paid income tax software, like the examples listed below.
- For example, candy and soda are generally subject to the higher “general merchandise” rate of 6.25%, but any candy containing flour is not, for sales tax purposes, classified as candy.
- To e-file your Illinois and Federal income tax returns, you need a piece of tax software that is certified for eFile by the IRS.
- 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.
- In general, the rate ranges from 6.25% to over 8.50%, depending on where the vehicle is purchased.
The standard deduction, which Illinois does not have, is a deduction that is available by default to all taxpayers who do not instead choose to file an itemized deduction. The state of Illinois collects 66.5 cents for every gallon of regular gasoline. These taxes comprise a combination of sales tax, excise taxes paid at the pump and wholesaler/retailer taxes. A financial advisor can help you understand how taxes virtual accountant may impact your overall financial goals.
- Joint filers making over $250,000, and married individuals with more than $125,000 filing separately, also pay the Medicare surtax.
- Both companies produce multiple editions for simple to very complex tax returns, so be sure to carefully compare the features offered by each package.
- The three categories are qualifying food and drugs, vehicles and general merchandise.
- Illinois provides the WebPay portal for all taxpayers to electronically file their IL-1040 forms.
- Once you’ve filed your tax return, all you have to do is wait for your refund to arrive.
- It varies by location, but is generally about 7% of the price of service.
This site is a free public service not affiliated with the IRS or any governmental organization. The telecommunications tax is a tax on services including home phone lines, cell phones, television service and internet. It varies by location, balance sheet but is generally about 7% of the price of service.
Have Questions About Your Taxes?
For example, if you pay a share of premiums for health insurance, life insurance or disability insurance through your company, that money will be deducted from your earnings. You might also have money subtracted from your paycheck if you contribute to a 401(k), a flexible spending account (FSA) or a health savings account (HSA). Qualifying deductions might include an itemized deduction, the Illinois standard deduction, exemptions for dependants, business expenses, etc. Illinois applies per-gallon alcohol excise taxes based on the alcohol content of the beverage being sold. Beer will generally be subject to a rate of 23 cents per gallon while wine and liquor are subject rates of $1.39 and $8.55 per gallon, respectively.