Illinois is currently offering a tax amnesty program for taxpayers who have certain outstanding tax liabilities.
What’s the tax amnesty program?
Illinois will forgive any interest and penalties on outstanding taxes, if taxpayers come forward and pay their tax bill by Nov. 15, 2019. The program is open to individuals and businesses.
Which of my tax liabilities are eligible?
Tax from tax periods ending after June 30, 2011, and before July 1, 2018, are eligible for penalty and interest forgiveness.
If you haven’t paid certain tax liabilities, you can file a tax return with the Department of Revenue and pay the tax by Nov. 15, 2019. If there’s a mistake with a past year’s tax return, you can also file an amended return and pay the tax owed.
Why should I participate in the tax amnesty program?
It’s a unique opportunity to come forward and resolve any unpaid tax liability. You may view this as a money-saving opportunity or a chance to reduce risk.
If you choose not to participate in this program and the state of Illinois finds that you owe tax, it can take all of the following actions:
- Look at your tax liability for the previous 10 years
- Require you to pay any outstanding tax liability during those 10 years
- Assess penalties for failing to pay and failing to file a tax return
It’s best to pay any outstanding tax now, while you can reduce your liability by eliminating interest and penalties.
Ok, I’ll come forward and pay my unpaid taxes. What should I do next?
First, get in touch with your state and local tax professionals. If you’re unsure whether you have any tax due in Illinois, they’ll figure that out. Then, they’ll calculate your tax liability.
Next, they’ll prepare or amend your tax returns for the appropriate periods and guide you on issuing payment. They may even communicate with the Department of Revenue on your behalf to confirm you’re eligible for the amnesty program and to ensure you’re receiving the full benefits.
Again, Illinois’ tax amnesty program ends on Nov. 15, 2019. You must pay any outstanding tax by this date to receive interest and penalty forgiveness. Take action now!
If you don’t have a state and local tax expert and need someone to help you with Illinois’ tax amnesty program, we can help.