Governor Quinn has signed a bill that instructs the State of Illinois to run a general tax amnesty program this fall. Between October 1 and November 8, 2010, anyone who pays past due taxes to the Illinois Department of Revenue (IDOR) will have all interest and penalties waived. If you don’t pay by November 8, however, all interest and penalties will double.
Here’s the fine print:
- Taxes must be from a taxable period ending after June 30, 2002 and before July 1, 2009.
- They must be taxes collected by the IDOR such as income taxes.
- If you have unfiled tax returns or if you incorrectly filed a return between June 2002 and July 2009, you must first submit a new or amended tax return and then pay your tax liability to the IDOR.
- If you are currently involved in a court case or administrative hearing regarding any tax collected by the IDOR, you are not eligible for amnesty unless the proceedings conclude before the end of the amnesty period.
- If you are being audited and that tax audit will conclude before November 8, you must pay the full amount of audit tax liability by November 8
- If your tax audit will not conclude by November 8, you need to estimate your tax liability (preferably with the help of an Illinois tax attorney) and pay that amount before the end of the amnesty period.
The tax amnesty may present different risks and opportunities for you based on your particular tax situation. For tax help and more information on how tax amnesty can affect you, contact: