The Illinois Tax Form IL-1040 is a comprehensive document necessary for individuals to report and file their annual income tax returns within the state. It encompasses sections for attaching W-2 and 1099 forms, detailing personal information, calculating base income and net income, applying for exemptions, and determining the total amount due or refundable. With over 80% of taxpayers opting for electronic filing due to its ease and faster refund processing, completing this form is a pivotal step in fulfilling state tax obligations. Ensure timely and accurate submission by clicking the button below to start filling out your Illinois Tax Form.
The Illinois Tax Form IL-1040 plays a crucial role for residents navigating their state tax obligations. Designed to account for individual income taxes, this form encompasses detailed sections requiring personal information, income reporting, deductions, credits, and ultimately calculating the amount owed to or refunded by the state. With placeholders for attaching essential documents like W-2 and 1099 forms, as well as specific schedules for different types of income and deductions, the IL-1040 form ensures taxpayers accurately report their fiscal status. It guides residents through a systematic process of declaring both taxable and tax-exempt income, adjusting for allowable subtractions, applying for exemptions, and determining applicable taxes and credits. Additionally, the form addresses other taxes such as the household employment tax and use tax for out-of-state purchases, showing the comprehensive nature of Illinois' approach to individual income taxes. Importantly, the Illinois Department of Revenue encourages electronic filing, highlighting the ease and faster refund processes available to taxpayers, a reminder of the state's move towards more efficient, digitized services. This form, while complex, provides a structured pathway for Illinois residents to fulfill their tax responsibilities, offering various options for payment, refunds, and even charitable donations directly through its framework.
Illinois Department of Revenue
*60012211W*
2021 Form IL-1040
Individual Income Tax Return
or for fiscal year ending
/
Over 80% of taxpayers file electronically. It is easy and you will get your refund faster. Visit tax.illinois.gov.
Step 1: Personal Information Enter personal information and Social Security numbers (SSN). You must provide the entire SSN(s) - no partial SSN.
A Your first name and middle initial
Your last name
Year of birth
Your social security number
Spouse’s first name and middle intial
Spouse’s last name
Spouse’s year of birth
Spouse’s social security number
Mailing address (See inst. if foreign address)
Apartment number
City
State
Zip or postal code
Foreign nation if not US (do not abbreviate)
County (Illinois only)
Email address
B Filing status:
Single
Married filing jointly
Married filing separately
Widowed
Head of household
C Check If someone can claim you, or your spouse if filing jointly, as a dependent. See instructions.
You
Spouse
D Check the box if this applies to you during 2021:
Nonresident - Attach Sch. NR
Part-year resident - Attach Sch. NR
Staple W-2 and 1099 forms here
Staple your check and IL-1040-V
Step 2: Income
(Whole dollars only)
1
Federal adjusted gross income from your federal Form 1040 or 1040-SR, Line 11.
.00
2
Federally tax-exempt interest and dividend income from your federal Form 1040 or 1040-SR, Line 2a.
3
Other additions. Attach Schedule M.
4
Total income. Add Lines 1 through 3.
Step 3: Base Income
5
Social Security benefits and certain retirement plan income
received if included in Line 1. Attach Page 1 of federal return.
6Illinois Income Tax overpayment included in federal Form 1040 or 1040-SR,
Schedule 1, Ln. 1.
6
7
Other subtractions. Attach Schedule M.
Check if Line 7 includes any amount from Schedule 1299-C.
8
Add Lines 5, 6, and 7. This is the total of your subtractions.
9
Illinois base income. Subtract Line 8 from Line 4.
Step 4: Exemptions
10
a Enter the exemption amount for yourself and your spouse. See instructions.
a
b Check if 65 or older:
+
# of checkboxes x
$1,000
=
b
c Check if legally blind:
c
dIf you are claiming dependents, enter the amount from Schedule IL-E/EIC, Step 2, Line 1.
Attach Schedule IL-E/EIC.
d
Exemption allowance. Add Lines 10a through 10d.
Step 5: Net Income and Tax
11Residents: Net income. Subtract Line 10 from Line 9.
Nonresidents and part-year residents: Enter the Illinois net income from Schedule NR. Attach Schedule NR. 11
12
Residents: Multiply Line 11 by 4.95% (.0495). Cannot be less than zero.
Nonresidents and part-year residents: Enter the tax from Schedule NR.
13
Recapture of investment tax credits. Attach Schedule 4255.
`
14
Income tax. Add Lines 12 and 13. Cannot be less than zero.
Step 6: Tax After Nonrefundable Credits
15
Income tax paid to another state while an Illinois resident. Attach Schedule CR.
16Property tax and K-12 education expense credit amount from Schedule ICR.
Attach Schedule ICR.
16
17
Credit amount from Schedule 1299-C. Attach Schedule 1299-C.
18
Add Lines 15, 16, and 17. This is the total of your credits. Cannot exceed the tax amount on Line 14.
19
Tax after nonrefundable credits. Subtract Line 18 from Line 14.
Step 7: Other Taxes
20
Household employment tax. See instructions.
21Use tax on internet, mail order, or other out-of-state purchases from UT Worksheet or UT Table
in the instructions. Do not leave blank.
21
22
Compassionate Use of Medical Cannabis Program Act and sale of assets by gaming licensee surcharges.
23
Total Tax. Add Lines 19, 20, 21, and 22.
IL-1040 Front (R-12/21)
Printed by authority of the State of Illinois - web only, 1.
This form is authorized as outlined under the Illinois Income Tax Act. Disclosure of this information is required. Failure to provide information could result in a penalty.
*60012212W*
24
Total tax from Page 1, Line 23.
Step 8: Payments and Refundable Credit
25
Illinois Income Tax withheld. Attach Schedule IL-WIT.
26
Estimated payments from Forms IL-1040-ES and IL-505-I,
including any overpayment applied from a prior year return.
27
Pass-through withholding. Attach Schedule K-1-P or K-1-T.
28
Pass-through entity tax credit. Attach Schedule K-1-P or K-1-T.
29
Earned Income Credit from Schedule IL-E/EIC, Step 4, Line 8. Attach Schedule IL-E/EIC.
30
Total payments and refundable credit. Add Lines 25 through 29.
Step 9: Total
31
If Line 30 is greater than Line 24, subtract Line 24 from Line 30.
32
If Line 24 is greater than Line 30, subtract Line 30 from Line 24.
Step 10: Underpayment of Estimated Tax Penalty and Donations - Only complete Step 10 for late-payment penalty for underpayment of estimated tax or to make a voluntary charitable donation.
33 Late-payment penalty for underpayment of estimated tax.
33
a Check if at least two-thirds of your federal gross income is from farming.
b Check if you or your spouse are 65 or older and permanently living in a nursing home.
c Check if your income was not received evenly during the year and you annualized your income on Form IL-2210. Attach Form IL-2210.
d Check if you were not required to file an Illinois Individual Income Tax return in the previous tax year.
34
Voluntary charitable donations. Attach Schedule G.
35
Total penalty and donations. Add Lines 33 and 34.
Step 11: Refund
36If you have an amount on Line 31 and this amount is greater than Line 35, subtract Line 35 from Line 31.
This is your overpayment.
36
37 Amount from Line 36 you want refunded to you. Check one box on Line 38. See instructions.
37
38I choose to receive my refund by
a direct deposit - Complete the information below if you check this box.
You may also contribute
Routing number
Checking or
Savings
to college savings funds
here. See instructions!
Account number
paper check.
39 Amount to be credited forward. Subtract Line 37 from Line 36. See instructions.
39
Step 12: Amount You Owe
40 If you have an amount on Line 32, add Lines 32 and 35. - or -
If you have an amount on Line 31 and this amount is less than Line 35,
subtract Line 31 from Line 35. This is the amount you owe. See instructions.
40
Step 13: If this is a joint return, both you and your spouse must sign below.
Under penalties of perjury, I state that I have examined this return and, to the best of my knowledge, it is true, correct, and complete.
Sign
Your signature
Date (mm/dd/yyyy) Spouse’s signature
Date (mm/dd/yyyy) Daytime phone number
Here
(
)
Paid
Print/Type paid preparer’s name
Paid preparer’s signature
Date (mm/dd/yyyy)
Check if
Paid Preparer’s PTIN
self-employed
Preparer
Firm’s name
Firm’s FEIN
Use Only
Firm’s address
Firm’s phone
Third
Designee’s name (please print)
Designee’s phone number
Check if the Department may
Party
discuss this return with the third
Designee
party designee shown in this step.
Refer to the 2021 IL-1040 Instructions for the address to mail your return.
.
IL-1040 Back (R-12/21)
DR
AP
RR DC IR ID
Filling out the Illinois Tax Form IL-1040 requires a step-by-step approach to ensure accuracy and completeness. This document is crucial for reporting individual income tax to the Illinois Department of Revenue. By following a clear set of instructions, filers can accurately calculate their tax obligations, claim any applicable deductions or credits, and understand whether they are due a refund or if they owe additional taxes. It's essential to have all relevant financial documents on hand before starting, including W-2s, 1099s, federal income tax returns, and records of any estimated tax payments made during the year.
Once completed, review the form to ensure all information is accurate and that all necessary schedules and attachments are included. Mail the form to the address provided in the form instructions, or consider filing electronically for a faster refund. Remember to keep a copy of your filed tax return for your records.
FAQ Section About the Illinois Tax Form IL-1040
Who needs to file an IL-1040 form?Any resident, nonresident, or part-year resident of Illinois who has earned income in the year 2020 needs to file the IL-1040 form. This includes individuals who have income that is taxable by the state of Illinois, regardless of where it was earned.
What documents do I need to attach with my IL-1040 form?When filing your IL-1040, you should staple your W-2 and 1099 forms if they apply to your employment and income situation. If you’re paying by check, include your IL-1040-V payment voucher. Also, depending on your residency status and tax situations, such as claiming credits or making adjustments, you may need to attach additional schedules, such as Schedule M, Schedule NR, or Schedule ICR.
Can I file my Illinois tax return electronically?Yes, over 80% of taxpayers file electronically. Filing online is encouraged as it's easy and ensures you receive your refund faster. You can visit tax.illinois.gov to file electronically.
How do I calculate my Illinois base income?Your Illinois base income is calculated by starting with your federal adjusted gross income, then adding any federally tax-exempt interest and dividend income, plus other additions. From this total, subtract any Social Security benefits and certain retirement plan income, Illinois Income Tax overpayment included in your federal return, and other subtractions to find your base income.
What are the tax rates for Illinois?For the tax year 2020, Illinois income tax is calculated at a flat rate of 4.95% of your net income after exemptions are applied.
What should I do if I overpaid my tax?If you overpaid, the IL-1040 form will guide you through calculating your refund or applying the overpayment to your future tax. You can choose to receive your refund via direct deposit, Illinois Individual Income Tax refund debit card, or paper check.
How do I pay if I owe taxes?If you owe state income tax, you can include a check with your IL-1040 form using the provided IL-1040-V payment voucher. Electronic payment options are also available on the Illinois Department of Revenue website.
What credits are available to reduce my Illinois tax?Several credits can reduce your Illinois tax liability, such as the property tax credit, education expense credit, and credits from Schedule 1299-C for various tax incentives. These credits are calculated in Step 6 of the IL-1040 form.
What if I made a mistake on my filed return?If you discover an error after submitting your IL-1040 form, you will need to file an amended return. Detailed instructions for amending a return can be found on the Illinois Department of Revenue's website.
Navigating through the Illinois Tax Form (IL-1040) can be intricate, and mistakes can easily occur if not careful. Here is a breakdown of common errors to avoid:
Attention to detail when filing the Illinois Tax Form can prevent unnecessary stress and potential financial penalties. Taking time to review each section of the form thoroughly before submission is key to ensuring a smooth processing of your tax return.
Filing an Illinois tax return can involve several forms and documents besides the standard IL-1040 form. Each additional document serves its unique purpose, ensuring that the state's Department of Revenue has all the necessary information to accurately process an individual's tax return. Understanding these documents can make the tax filing process smoother and more efficient.
Each of these documents is integral to ensuring that the Illinois Department of Revenue receives accurate and complete information for processing your tax return. Familiarity with these forms can help you navigate the complexities of state tax requirements, potentially leading to faster refunds and avoiding errors. Whether you're a longtime resident or new to Illinois, being prepared with the right forms and schedules is key to a successful tax season.
The Illinois Tax Form IL-1040 Individual Income Tax Return shares similarities with several other key tax-related documents. It's designed to capture an individual's income, calculate taxes owed, and determine the eligibility for refunds or credits similar to federal and other state income tax forms. By outlining personal information, income, deductions, and credits, it serves as a comprehensive tool for reporting yearly earnings and tax liabilities.
One document the Illinois Tax Form closely resembles is the Federal Form 1040 used by the IRS. Like its Illinois counterpart, the Federal Form 1040 is the standard Internal Revenue Service (IRS) form taxpayers use to report their annual income. Both forms require detailed financial information, including earnings, taxable income, tax credits, and deductions. They also ask for personal identification details and dependents' information, aiming to accurately assess the individual's tax obligations. The steps involved in calculating base income, adjusting for various credits and deductions, and determining the amount of tax owed or refund due are integral processes of both forms. Moreover, both documents have undergone revisions to simplify the process, making it easier for taxpayers to understand and comply with tax laws.
Another document resembling the Illinois Tax Form is the Schedule IL-WIT, Illinois Income Tax Withheld. This schedule is specifically for reporting the amount of state income tax withheld from earnings, similar to the W-2 and 1099 forms that accompany federal tax returns. Taxpayers attach this schedule to their IL-1040 form to show how much tax has already been paid to the state through withholdings from salaries, wages, and other income sources. This mirrors the process on the federal level where W-2 and 1093 forms provide evidence of federal income tax withheld, ensuring that individuals receive credit for these amounts against their total tax liability.
Furthermore, the IL-1040-V Payment Voucher is an important document for those who owe taxes to the state of Illinois, akin to the federal Form 1040-V used by the IRS. This voucher is used when submitting a payment for taxes owed when the return is filed. Both the IL-1040-V and its federal counterpart serve the same purpose: to facilitate the accurate processing of tax payments and ensure they are correctly applied to the taxpayer's account. They require similar information, such as the taxpayer's name, Social Security number, and the amount of tax payment, promoting efficiency and reducing the possibility of errors in processing tax payments.
Lastly, the Schedule ICR, Illinois Credits, shares similarities with various federal tax credit forms, such as the Schedule 3 attached to the Federal Form 1040. Both are dedicated to claiming specific tax credits that reduce the overall tax liability. These credits can include those for educational expenses, property taxes, and income tax paid to other states. By providing detailed sections for each type of credit, the Schedule I-Illinois Cr and the federal Schedule 3 ensure taxpayers can maximize their allowable credits, ultimately impacting the total amount of tax owed or increasing the refund due.
When preparing to fill out the Illinois Tax form, understanding the steps that should and should not be taken can make the process smoother and help ensure the accuracy and timeliness of your submission. The following guidelines are designed to assist taxpayers in avoiding common mistakes and to ensure that their tax forms are completed correctly.
Do:
Don't:
By following these guidelines, taxpayers can navigate the process of filling out the Illinois Tax form with greater confidence and accuracy, ensuring they comply with state tax laws while maximizing their potential benefits.
Many people find tax forms daunting and often hold misconceptions about the specifics, including the Illinois Tax Form IL-1040. Understanding these misconceptions can help taxpayers navigate their filings more accurately. Here’s a breakdown of some common misunderstandings:
Delving into the details of the Illinois Tax Form IL-1040 illuminates the nuances of tax filing, helping to dispel common misconceptions and making the process less daunting for taxpayers.
When filling out and submitting the Illinois Tax Form IL-1040 for an individual income tax return, there are key steps and considerations to keep in mind:
Remember, failure to provide complete and accurate information can result in penalties. If you are unsure about any part of the form, consulting the instructions provided by the Illinois Department of Revenue or seeking professional advice can help ensure that your return is correctly prepared.
Peachcare for Kids Income - Employers are to specify if the payment is made in cash, an important detail that affects the verification process.
Illinois Ged - Dedicated to supporting your educational and professional growth, the form serves as a bridge between your GED achievement and future aspirations.