Illinois Tax Tables for 2026
The 2026 Illinois Tax Tables summarise the state-level rules applied to wages, deductions, credits and taxable income. These tables match the rules used by the Illinois State Tax Calculator 2026.
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Illinois Tax Tables for 2026
The tables below outline the income tax structure, deduction amounts, state-level credits and payroll-related rules used for Illinois in 2026. Illinois applies a flat income tax to this filing status. All taxable income is taxed at the same rate, with no marginal brackets. This table shows the single rate used in calculations. To understand how flat tax tables differ from progressive systems, see our Tax Tables guide.
Single – Flat Income Tax (2026)
A single flat tax rate applies to all taxable income for Single filers.
| Bracket | Range | Rate |
|---|---|---|
| 1 | 0 and over | 4.95% |
Married filing jointly – Flat Income Tax (2026)
A single flat tax rate applies to all taxable income for Married filing jointly filers.
| Bracket | Range | Rate |
|---|---|---|
| 1 | 0 and over | 4.95% |
Married filing separately – Flat Income Tax (2026)
A single flat tax rate applies to all taxable income for Married filing separately filers.
| Bracket | Range | Rate |
|---|---|---|
| 1 | 0 and over | 4.95% |
Head of household – Flat Income Tax (2026)
A single flat tax rate applies to all taxable income for Head of household filers.
| Bracket | Range | Rate |
|---|---|---|
| 1 | 0 and over | 4.95% |
Widowed – Flat Income Tax (2026)
A single flat tax rate applies to all taxable income for Widowed filers.
| Bracket | Range | Rate |
|---|---|---|
| 1 | 0 and over | 4.95% |
Illinois Standard Deduction(2026)
State-level standard deduction amounts for each filing status.
| Filing Status | Amount |
|---|---|
| Single | $0 |
| Married filing jointly | $0 |
| Married filing separately | $0 |
| Head of household | $0 |
| Widowed | $0 |
Recent Updates – Illinois State Tax
The following summarizes key legislative and administrative changes affecting the 2026/27 Illinois tax year and subsequent filings:
- Flat Income Tax Rate Maintained – The statewide flat income tax remains 4.95% for individual and corporate taxpayers. Proposed rate increases were deferred pending budget review, providing rate stability for 2026/27.
- Expanded Earned Income Credit (EIC) – Beginning with returns filed for 2026/27, the Illinois EIC has been permanently increased to 20% of the federal credit, offering continued support for lower- and moderate-income families.
- New Withholding & Filing Automation via MyTax Illinois – The Department of Revenue has rolled out a streamlined employer dashboard for filing Form IL-941 and associated withholding returns electronically. Bulk upload and auto-calculation features are now available for small and mid-sized employers.
- Updated Retirement Income Guidelines – Clarification issued for Schedule M confirming that distributions from IRAs, 401(k)s, and pensions remain fully exempt from Illinois income tax, provided they were federally taxed.
- Education Expense Credit Expansion – The Illinois Education Expense Credit has been indexed for inflation starting with tax year 2026/27, raising the maximum allowable credit to $850 per qualifying household.
- Withholding Modernization – As of March 2026/27, the Illinois Department of Revenue has mandated use of standardized withholding identifiers for all filers submitting Form IL-W-4 or Form IL-W-4-NR, improving cross-form consistency and electronic reporting accuracy.
These changes reinforce Illinois’ commitment to simplifying compliance, promoting transparency in employer reporting, and providing sustained relief for working families. All calculators have been updated to reflect current credits, withholding requirements, and rate applications for 2026/27.
Illinois Tax Tables for Related Years
These related years are often reviewed together for comparing bracket changes, deductions and Illinois updates:
Frequently Asked Questions
Will IL tax my Roth conversions?
Conversions are taxable federally and typically flow to IL; IL retirement exclusion usually applies to distributions, not conversions—check IL guidance.
How do I amend my Illinois return?
File Form IL-1040-X after your original IL-1040 is processed; include revised schedules (e.g., Schedule ICR/CR/M) and explanations.
Why does Illinois distinguish pre-1969 and post-1969 gains?
Because Illinois enacted its income tax on August 1, 1969, any appreciation before that date occurred before the state had authority to tax income. Form IL-F preserves fairness by taxing only the gain realized since Illinois income tax law took effect. This approach avoids retroactive taxation while ensuring current gains are taxed appropriately.
When should Schedule FD be filed?
File Schedule FD with your annual IL-1040 return for the tax year in which the deferred income became federally taxable.
Why is Schedule M important for accurate Illinois taxes?
Illinois uses Schedule M to ensure fairness in applying its flat 4.95% tax rate. Because Illinois starts from federal AGI, this form ensures only Illinois-approved income is taxed and proper deductions are applied. It’s especially vital for retirees, military personnel, and taxpayers with multistate investments.
Important Notes
All calculations are estimates for guidance only. Always review your return and consider professional advice when submitting official filings.