Does Illinois Tax Social Security Benefits?

No. Illinois fully exempts Social Security benefits from state income tax.

Illinois and Social Security income

Illinois taxes wage income but fully exempts Social Security benefits from state income tax. Your benefits are not added to Illinois taxable income, though federal tax on Social Security may still apply depending on your combined income.

Frequently asked questions

Does Illinois tax Social Security benefits?

No. Illinois fully exempts Social Security benefits from state income tax.

Is Social Security also taxed federally?

Possibly. State treatment is separate from federal. Up to 85% of Social Security benefits can be taxable on your federal return depending on your combined income, regardless of how your state treats them.

Note: State treatment of Social Security for 2026 is an estimate from SAWD's tax engine. Confirm with the Illinois Department of Revenue.

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