Illinois state income tax rates

Illinois personal income tax rates for 2024

Illinois levies a flat income tax rate of 4.95 percent on individuals earning income in the state. The tax is a flat percentage of a taxpayer’s federal adjusted gross income.

Who has to file Illinois state taxes?

Illinois residents who had to file a federal income tax return also must file a state return. Or, if you didn’t file a federal return but your Illinois base income was greater than your state exemption allowance, you also must file a state return. (More on exemptions below.)

Certain nonresidents who earned income in the state, as well as Illinois residents whose employers were located in another state, also may have to file taxes in Illinois. Read the Illinois Department of Revenue’s filing requirements for more.

Is there a personal exemption or standard deduction in Illinois?

Illinois allows personal exemptions but doesn’t offer a standard deduction.

The state’s personal exemption is $2,775 for the 2024 tax year, which can be claimed for each taxpayer, as well as any dependents (as long as their income is $2,775 or less).

Taxpayers 65 and older and/or legally blind can take an additional $1,000 exemption.

But taxpayers whose income exceeds $500,000 (married filing jointly filers) or $250,000 (all other filers) can’t claim a personal exemption.

Read more on exemptions at this Illinois Revenue Department page.

Illinois sales tax rate

Illinois’ sales tax rate for general merchandise is 6.25 percent. A reduced rate of 1 percent applies to qualifying food, drug and medical appliances. Local jurisdictions can also levy additional sales taxes. Look up local sales taxes in the state's tax rate database.

There are also some items that are exempt from sales tax; a list of those items, including newspapers and magazines, can be found here.

Other things to know about Illinois taxes

• Illinois property taxes are collected at the local level. The rate is determined using two factors: the assessed value of the property and the budget that district needs to operate. The effective (or average) property tax rate is 1.95 percent in the state, according to the Tax Foundation.
• The state has no inheritance tax, but does have an estate tax, which must be filed with the Illinois Attorney General. The top estate tax rate is 16 percent. A bill introduced in the state legislature in February 2025 would raise the top rate to 22 percent on estates worth more than $21 million. Illinois currently has (and the bill would keep) a $4 million estate tax exemption.
• The state’s corporate income tax rate is 9.5 percent, one of the highest in the country, according to the Tax Foundation.
• Illinois has a cigarette excise tax of $2.98 per pack.
• With the legalization of marijuana, the state also taxes cannabis sales: 10 percent of the purchase price if the adjusted THC level is 35 percent or less, and 25 percent of the purchase price if the THC level is 35 percent or more. Cannabis-infused products are taxed at a 20 percent rate.
• The state’s gasoline tax is 47 cents a gallon, effective July 1, 2024 through June 30, 2025.