Illinois charges a flat income tax of 4.95% on all taxable income — the same rate whether you earn $30,000 or $300,000. There are no brackets to navigate. Your Illinois tax is simply 4.95% of your income after the personal exemption.

Quick answer: On a $75,000 salary, an Illinois resident pays roughly $3,550-$3,600 in state income tax — an effective rate of roughly 4.7-4.8% of gross pay. There is no standard deduction in Illinois, only the personal exemption. Note: Illinois’s exact personal exemption amount is inflation-indexed annually; confirm the precise current-year figure at tax.illinois.gov, as this site’s cached figure was not independently re-verified against a live Illinois Department of Revenue source this session (the site returned an error on automated access).

Illinois Income Tax — Salary to Take-Home Table (Single, 2026, Illustrative)

Tax ≈ (Gross − personal exemption) × 4.95%, using an illustrative exemption of approximately $2,700-$2,800. Confirm the exact current exemption with the Illinois Department of Revenue. Federal taxes not included.

Gross Salary IL Income Tax (illustrative) Effective IL Rate (illustrative)
$30,000 ~$1,340-$1,350 ~4.5%
$50,000 ~$2,330-$2,340 ~4.7%
$75,000 ~$3,570-$3,580 ~4.8%
$100,000 ~$4,810-$4,820 ~4.8%
$150,000 ~$7,280-$7,290 ~4.9%
$200,000 ~$9,760-$9,770 ~4.9%
$300,000 ~$14,710-$14,720 ~4.9%

The effective rate approaches but never reaches 4.95% because the personal exemption reduces taxable income. Verify exact figures at tax.illinois.gov.

How Illinois Income Tax Works

Illinois is one of the simplest state tax systems in the country:

Step 1: Start with your federal adjusted gross income (AGI) from Form 1040 line 11.

Step 2: Subtract your Illinois personal exemption (confirm the current per-person amount; a married couple filing jointly claims double, plus an amount per dependent).

Step 3: Subtract any Illinois-specific deductions (retirement income exclusions, federally-taxed Social Security that Illinois exempts, etc.).

Step 4: Multiply the result by 4.95%.

Step 5: Subtract any Illinois tax credits (property tax credit, Education Expense Credit, etc.).

That’s your Illinois income tax bill.

Worked Examples (Illustrative)

Example 1: $60,000 salary (single)

Step Calculation
Gross salary $60,000
Personal exemption (illustrative) ~−$2,750
Illinois taxable income ~$57,250
× 4.95% ~$2,834
Effective IL rate on gross ~4.7%

Confirm the exact current exemption amount before relying on this figure precisely.

Example 2: Family of 4 earning $120,000 (married, 2 children)

Step Calculation
Gross income $120,000
Exemptions: 2 adults + 2 children (illustrative, ~$2,750 each) ~−$11,000
IL taxable income ~$109,000
× 4.95% ~$5,396
Property tax credit (if homeowner) Confirm current maximum

Illinois vs. Neighboring States: Tax on $100,000 (Single, Illustrative)

State Rate Type Tax on $100K (approx.) Notes
Illinois 4.95% flat ~$4,800-$4,850 Personal exemption only
Indiana 2.95% flat (2026) ~$2,950 (state only) + county taxes
Michigan 4.25% flat Confirm current figure Personal exemption applies
Wisconsin Graduated (up to 7.65%) Confirm current figure Multiple brackets
Missouri Confirm current top rate Confirm current figure
Iowa 3.8% flat (2026) ~$3,800 Iowa’s flat-tax transition is now complete

Key takeaway: Indiana and Iowa now offer lower flat rates than Illinois.

Illinois Tax Credits You May Qualify For

Credit Amount (confirm current figures) Who Qualifies
Illinois Property Tax Credit A percentage of property taxes paid, up to a cap — confirm current figures Homeowners
Earned Income Credit (EIC) A percentage of the federal EITC — confirm current percentage Low-to-moderate income earners
Education Expense Credit A percentage of K–12 expenses over a threshold — confirm current figures Parents paying K–12 tuition
Household Employment Credit Varies Household employers
Film Production Credit Varies Film industry workers

What Illinois Does NOT Tax

One of Illinois’s friendliest features is its retirement income exclusions:

  • Social Security — 100% exempt from Illinois state tax
  • Most public pension income — Illinois government pensions, teacher pensions, military retirement pay — exempt
  • Railroad Retirement benefits — exempt
  • 401(k) and IRA distributions — taxable at 4.95% (no special exemption for private retirement accounts)

Implication: A retiree living on $80,000 of Social Security and a public teacher’s pension pays zero Illinois state income tax. The same retiree drawing $80,000 from a 401(k) pays roughly $3,900-$3,950 (illustrative, at 4.95% minus the personal exemption).

Illinois Property Tax: The Hidden Tax Burden

Illinois has no standard deduction and a modest personal exemption, but the real affordability issue for Illinois residents is property tax. Illinois has one of the highest effective property tax rates in the US. Confirm current average effective rate and typical dollar figures with the Tax Foundation or Illinois Department of Revenue, as these were not independently re-verified this session.

The Illinois Property Tax Credit allows homeowners to claim a credit for a percentage of property taxes paid against their state income tax bill, up to a cap — confirm the current percentage and cap.

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