Taxes in Illinois

Each state’s tax code is a multifaceted system with many moving parts, and Illinois  is no exception. The first step towards understanding Illinois’s tax code is knowing the basics.

How does Illinois rank?  Below, we have highlighted a number of tax rates, ranks, and measures detailing Illinois’s income tax, business tax, sales tax, and property tax systems. Click the tabs below to explore!

Top Individual Income Tax Rate

4.95%

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State and Local Individual Income Tax Collections per Capita

$1076

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State and Local Tax Burden

11%

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Tax Freedom Day

April 24

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Top Corporate Income Tax Rate

9.5%

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State Business Tax Climate Index Ranking

36

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State Sales Tax Rate

6.25%

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Average Local Sales Tax Rate

2.49%

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Combined State and Average Local Sales Tax Rate

8.74%

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State and Local General Sales Tax Collections per Capita

$888

State Gasoline Tax Rate (cents per gallon)

31.98¢

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State Cigarette Tax Rate (dollars per 20-pack)

$1.98

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Property Taxes Paid as a Percentage of Owner-Occupied Housing Value

1.95%

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State and Local Property Tax Collections Per Capita

$2120


Featured Articles

2019 State Business Tax Climate Index

September 26, 2018

Illinois Illustrated: A Visual Guide to Taxes & the Economy

May 28, 2015


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March 19, 2019

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November 30, 2018

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Proposed Illinois Tax Hikes are a Regional Outlier

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January 25, 2018

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September 21, 2017

Protecting Interstate Taxpayers from Discriminatory State Taxation: Illinois Central Railroad Company v. Tennessee Department of Revenue

September 6, 2017

With Veto Override, Illinois Legislature Abandons Reform Efforts

July 7, 2017

Ten States Begin FY2018 Without Budget In Place

July 3, 2017

Illinois Calls Special Legislative Session in Final Attempt to Prevent Fiscal Disaster

June 26, 2017

Illinois Senators Try for a Third Time

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Update: A Tax Compromise Offered in Illinois

January 23, 2017

Illinois Supreme Court Strikes Down Chicago Tax on Car Rentals Outside Chicago

January 23, 2017

A Tax Compromise Offered in Illinois

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November 28, 2016