What To Expect When The Illinois Income Tax Jumps

(CBS) — Most Illinois residents should expect less money in their paychecks, now that a state budget and income tax increase are going into effect.

It’s part of the budget the General Assembly passed after overriding the governor’s veto. The personal income tax jumps from 3.75 percent to 4.95 percent.

A household of $59,000 is expected to pay $728 more a year.

The tax is retroactive to July 1.

Merz Apothecary employee Justin Bowling is bracing for the impact. He says his partner is working on her master’s degree, so things will be tighter.

The new tax may prompt you to change your deductions. It’s best to visit the Illinois Department of Revenue’s website, where you’ll find answers to all your questions.

 

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