What is the tax rate for corporations?

  • For income received or accrued on or after July 1, 2017, corporations, other than S corporations, pay 7 percent income tax. Small businesses (S-corps) who file the US Form 1120S do not pay income tax. Corporations, including S-corps, also pay a Personal Property Replacement Tax (replacement tax). Corporations, other than S-corps, pay 2.5 percent replacement tax. S-corps pay 1.5 percent replacement tax.

    Note: Taxpayers with tax years ending on or after July 1, 2017, and before June 30, 2018, must divide their total net income between the periods subject to different rates. See Informational Bulletin FY 2018-02, Illinois Income Tax Increase Guidance, and Informational Bulletin FY 2018-14, Blended Income Tax Rates for Use With Your 2017 Illinois Income Tax Returns, for more information.

  • For income received or accrued on or after January 1, 2015, and before July 1, 2017, corporations, other than S-corps, pay 5.25 percent income tax and 2.5 percent replacement tax.

    Note: Taxpayers with tax years ending after December 31, 2014, and before December 31, 2015, must divide their total net income between the periods subject to different rates. See Informational Bulletin FY 2015-09, Illinois Income Tax Decrease, for more information.

  • For income received or accrued on or after January 1, 2011, and before January 1, 2015, corporations, other than S-corps, pay 7 percent income tax and 2.5 percent replacement tax.

    Note: Taxpayers with tax years ending after December 31, 2010, and before December 31, 2011, must divide their total net income between the periods subject to different rates. See Informational Bulletin FY 2011-09, Illinois Income Tax Increase, for more information.

  • For income received or accrued on or before December 31, 2010, corporations, other than S-corps, pay 4.8 percent income tax and 2.5 percent replacement tax.

    Note: Check the Tax Rate Database for tax information for years prior to 2010 and for tax information about S-corps.

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