On June 16, 2025, Illinois enacted Public Act 104-0006, introducing a series of tax amnesty programs designed to help taxpayers resolve outstanding liabilities while avoiding penalties and interest.
A general tax amnesty program will take place from October 1, 2025, through November 15, 2025. This initiative allows taxpayers to settle outstanding tax liabilities for periods after June 30, 2018, and before July 1, 2024. Penalties and interest will be waived for eligible taxpayers who pay their full tax liability during the amnesty window, and the Illinois Department of Revenue will not pursue civil or criminal charges for taxes covered under the program. However, failure to pay the full amount due will void the amnesty benefits.
A remote retailer amnesty program will be available from August 1, 2026, through October 31, 2026, specifically for remote retailers who owe state or local Retailers’ Occupation Tax on sales made between January 1, 2021, and June 30, 2026. Eligible transactions involve sales of tangible personal property delivered to Illinois addresses by out-of-state (remote) sellers. Taxes will be calculated using a simplified flat rate instead of the standard state and local rates. Penalties and interest will be waived for participating retailers.
