Illinois Tax Amnesty Program Starts October 1, 2019

By: Barry Burchel, Director – Tax and Business Services, Brown CPA Group, Ltd.

Illinois Governor J.B. Pritzker signed Public Act 101-0009 into law on June 5, 2019. Among the provisions of the Act is a tax amnesty program set to begin on October 1, 2019. The program is available for 46 days, expiring on November 15, 2019.

Benefits:

For eligible tax liabilities that are paid in full during the amnesty window, all eligible penalties and interest will be waived. Fees, fines and penalties not based on a tax liability are not eligible for waiver.

Tax Liability Statuses Covered:

The program covers currently delinquent taxes, unreported taxes, and taxes currently under examination. For unreported taxes, an original or amended return may be filed during the amnesty window to establish the liability. The Illinois Department of Revenue has advised that an estimate of tax may be paid for liabilities under examination, in coordination with the auditor, to qualify for the amnesty program.

Tax Types Covered:

All taxes administered and collected by the Illinois Department of Revenue are covered in the program, including:

• Income Tax
• Sales Tax
• Use Tax
• Payroll Taxes

Taxes collected by other state or municipal governing entities are not covered by the program. Items not covered include property tax, franchise tax, and insurance tax; among others.

Tax Periods Covered:

Tax liabilities attributable to periods ending after June 30, 2011 and prior to July 1, 2018 are covered by the program. For calendar year taxpayers, liabilities for annual returns filed for the 2011 through 2017 tax years are eligible.

If you believe that you may benefit from participating in the amnesty program, please contact us at 847.509.4100.