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Illinois Income Tax Rates 2025

Illinois has a flat income tax rate of 4.95% on all taxable income, regardless of how much you earn. The Illinois Constitution requires a flat rate, so all taxpayers pay the same percentage.

Tax Type

Flat

Rate Range

4.95% flat

Brackets

1

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Illinois is only part of the equation — federal taxes apply too.

State Tax Ranking

#36 of 51 High tax burden at $75,000 income

At $75,000 income (single filer), Illinois ranks #36 out of 51 states — where #1 is the lowest tax burden.

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Tax at Different Income Levels

Income State Tax Effective Rate Take-Home
$50,000 $2,475 4.95% $43,654
$75,000 $3,713 4.95% $63,339
$100,000 $4,950 4.95% $81,601
$150,000 $7,425 4.95% $117,508
$200,000 $9,900 4.95% $153,033

Single filer, standard deduction, 2025 tax year. Take-home is after federal + state income tax (excludes FICA).

Tax Overview

Illinois has a flat income tax rate of 4.95% on all taxable income. While the rate is moderate compared to states like California or New York, Illinois's high property taxes (average ~2.08%, second-highest nationally) significantly increase the total tax burden, particularly for homeowners.

Tax Planning Tip

The flat 4.95% rate means your effective state tax rate is close to 4.95% regardless of income — no progressive bracket benefit. Property taxes in Cook County (Chicago) can exceed $6,000-$10,000 on a median-value home.

With a flat tax, your Illinois state income tax is simply 4.95% of your taxable income. Illinois does not tax retirement income, including Social Security, pensions, and distributions from 401(k) and IRA accounts.

Property Tax & Cost of Living

Property Tax Rate
1.97%
$5,122/yr on $260,000 home
Cost of Living Index
96
4% below national average
Median Home Value
$260,000
Housing index: 85 (avg = 100)

Property tax rate is the state average effective rate. Actual rates vary by county. COL index from BEA Regional Price Parities.

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Frequently asked questions

What is Illinois's income tax rate in 2025?

Illinois has a flat income tax rate of 4.95% on all taxable income, regardless of how much you earn.

Does Illinois tax Social Security benefits?

Illinois does not tax Social Security benefits, pensions, or distributions from 401(k) and IRA accounts at the state level.

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Last updated May 1, 2026 Tax year 2025-26

Data sources: IRS (irs.gov), Social Security Administration

This tool is general information only, not financial advice.

Reviewed by USTax Tools Editorial Desk

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