Illinois Employee's Illinois Withholding Allowance Certificate

Employee's Illinois Withholding Allowance Certificate
Form IL-W-4 Employee’s and other Payee’s Illinois Withholding Allowance Certificate and Instructions
		
	

Illinois Department of Revenue

	 Form IL-W-4 	

			
Note: These instructions are written for

employees to address withholding from
wages. However, this form can also be
completed and submitted to a payor if an
agreement was made to voluntarily withhold
Illinois Income tax from other (non-wage)
Illinois income.

Who must complete Form ILW-4?

If you are an employee, you must complete
this form so your employer can withhold
the correct amount of Illinois Income Tax
from your pay. The amount withheld from
your pay depends, in part, on the number of
allowances you claim on this form.
Even if you claimed exemption from
withholding on your federal Form W-4,
U.S. Employee’s Withholding Allowance
Certificate, because you do not expect
to owe any federal income tax, you may
be required to have Illinois Income Tax
withheld from your pay (see Publication
130, Who is Required to Withhold Illinois
Income Tax). If you are claiming exempt
status from Illinois withholding, you must
check the exempt status box on Form
IL-W-4 and sign and date the certificate. Do
not complete Lines 1 through 3.
If you are a resident of a Iowa, Kentucky,
Michigan, or Wisconsin, or a military spouse,
see Form W-5-NR, Employee’s Statement of
Nonresidence in Illinois, to determine if you
are exempt.
If you are an Illinois resident who works for
an employer in a non-reciprocal state but
you work from home or in locations in Illinois
for more than 30 working days, you may
need to adjust your withholding or begin
making estimated payments. For additional
information, go to tax.illinois.gov.
If you do not file a completed Form
IL-W-4 with your employer, if you fail to
sign the form or to include all necessary
information, or if you alter the form, your
employer must withhold Illinois Income Tax
on the entire amount of your compensation,
without allowing any exemptions.

When must I submit this form?

You should complete this form and give it
to your employer on or before the date you
start work. You must submit Form IL-W-4
when Illinois Income Tax is required to be
withheld from compensation that you receive
as an employee. You may file a new Form
IL‑W-4 any time your withholding allowances
increase. If the number of your claimed
allowances decreases, you must file a new
Form IL-W-4 within 10 days. However, the
death of a spouse or a dependent does not
affect your withholding allowances until the
next tax year.
IL-W-4 (R-07/23)

Employee’s and other Payee’s Illinois Withholding
Allowance Certificate and Instructions
When does my Form IL-W-4
take effect?

If you do not already have a Form IL-W-4
on file with your employer, this form
will be effective for the first payment of
compensation made to you after this form
is filed. If you already have a Form IL-W-4
on file with this employer, your employer
may allow any change you file on this form
to become effective immediately, but is not
required by law to change your withholding
until the first payment of compensation is
made to you after the first day of the next
calendar quarter (that is, January 1, April 1,
July 1, or October 1) that falls at least 30
days after the date you file the change with
your employer.
Example: If you have a baby and file a
new Form IL-W-4 with your employer to
claim an additional allowance for the baby,
your employer may immediately change
the withholding for all future payments of
compensation. However, if you file the new
form on September 1, your employer does
not have to change your withholding until
the first payment of compensation is made
to you after October 1. If you file the new
form on September 2, your employer does
not have to change your withholding until the
first payment of compensation made to you
after December 31.

How long is Form IL-W-4 valid?
Your Form IL-W-4 remains valid until a new
form you have submitted takes effect or until
your employer is required by the Department
to disregard it. Your employer is required to
disregard your Form IL-W-4 if
•	 	 you claim total exemption from Illinois
Income Tax withholding, but you have
not filed a federal Form W-4 claiming
total exemption, or
•	 	 the Internal Revenue Service (IRS) has
instructed your employer to disregard
your federal Form W-4.

What is an “exemption”?

An “exemption” is a dollar amount on which
you do not have to pay Illinois Income Tax
that you may claim on your Illinois Income
tax return.

What is an “allowance”?

The dollar amount that is exempt from
Illinois Income Tax is based on the number
of allowances you claim on this form. As an
employee, you receive one allowance unless
you are claimed as a dependent on another
person’s tax return (e.g., your parents claim
you as a dependent on their tax return). If
you are married, you may claim additional
allowances for your spouse and any
dependents that you are entitled to claim for
federal income tax purposes. You also will

receive additional allowances if you or your
spouse are age 65 or older, or if you or your
spouse are legally blind.
Note: For tax years beginning on or after
January 1, 2017, the personal exemption
allowance, and additional allowances if you
or your spouse are age 65 or older, or if
you or your spouse are legally blind, may
not be claimed on your Form IL-1040 if
your adjusted gross income for the taxable
year exceeds $500,000 for returns with a
federal filing status of married filing jointly,
or $250,000 for all other returns. You may
complete a new Form IL-W-4 to update
your exemption amounts and increase your
Illinois withholding.

How do I figure the correct
number of allowances?

Complete the worksheet on the back of
this page to figure the correct number
of allowances you are entitled to claim.
Give your completed Form IL-W-4 to your
employer. Keep the worksheet for your
records.
If you have more than one job or your
spouse works, your withholding usually will
be more accurate if you claim all of your
allowances on the Form IL-W-4 for the
highest-paying job and claim zero on all of
your other IL-W‑4 forms.

How do I avoid underpaying
my tax and owing a penalty?

You can avoid underpayment by reducing
the number of allowances or requesting that
your employer withhold an additional amount
from your pay. Even if your withholding
covers the tax you owe on your wages, if you
have non-wage income that is taxable, such
as interest on a bank account or dividends
on an investment, you may have additional
tax liability. If you owe more than $1,000
tax at the end of the year, you may owe a
late-payment penalty or will be required to
make estimated tax payments. For additional
information on penalties see Publication
103, Uniform Penalties and Interest. Visit our
website at tax.illinois.gov to obtain a copy.

Where do I get help?
	•	 Visit our website at tax.illinois.gov

	•	 Call our Taxpayer Assistance Division 	
		at 1 800 732-8866 or 217 782-3336
	•	 Call our TDD (telecommunications 	
		 device for the deaf) at 1 800 544‑5304
	•	 Write to
		ILLINOIS DEPARTMENT OF REVENUE
	 	 PO BOX 19044
		 SPRINGFIELD IL 62794-9044

Illinois Withholding Allowance Worksheet
General Information

Use this worksheet as a guide to figure your total withholding
allowances you may enter on your Form IL-W-4.
Complete Step 1.
Complete Step 2 if
	 •	 you (or your spouse) are age 65 or older or legally blind, or
	 •	 you wrote an amount on Line 4 of the Deductions Worksheet for 	
	 federal Form W-4.

If you have more than one job or your spouse works, your withholding
usually will be more accurate if you claim all of your allowances on the
Form IL-W-4 for the highest-paying job and claim zero on all of your
other IL-W‑4 forms.
You may reduce the number of allowances or request that your
employer withhold an additional amount from your pay, which may
help avoid having too little tax withheld.

Step 1:	 Figure your basic personal allowances (including allowances for dependents)

Check all that apply:
	 		 No one else can claim me as a dependent.
			 I can claim my spouse as a dependent.
	 1	 Enter the total number of boxes you checked. 	1	
_______________
	2	 Enter the number of dependents (other than you or your spouse) you will claim on your tax return.		2 _______________
	3	 Add Lines 1 and 2. Enter the result. This is the total number of basic personal allowances to which you are
		entitled. You are not required to claim these allowances. The number of basic personal allowances that you
		 choose to claim will determine how much money is withheld from your pay. See Line 4 for more information. 	3 _______________
	 4	 Enter the total number of basic personal allowances you choose to claim on this line and Line 1 of
		 Form IL-W-4 below. This number may not exceed the amount on Line 3 above, however you can claim as
		 few as zero. Entering lower numbers here will result in more money being withheld(deducted) from your pay.	4	 _______________

Step 2:	 Figure your additional allowances
Check all that apply:	
		 	 I am 65 or older.		 I am legally blind.	
		 	 My spouse is 65 or older.		 My spouse is legally blind.
	 5	 Enter the total number of boxes you checked. 			
5	 _______________
	6	 Enter any amount that you reported on Line 4 of the Deductions Worksheet 				
		 for federal Form W-4 plus any additional Illinois subtractions or deductions.	
6	_______________
	 7	 Divide Line 6 by 1,000. Round to the nearest whole number. Enter the result on Line 7.	
7	 _______________
	 8	 Add Lines 5 and 7. Enter the result. This is the total number of additional allowances to which 				
		you are entitled. You are not required to claim these allowances. The number of additional allowances
		 that you choose to claim will determine how much money is withheld from your pay.	
8	 _______________
	9	 Enter the total number of additional allowances you elect to claim on Line 2 of Form IL-W-4, below. This
		 number may not exceed the amount on Line 8 above, however you can claim as few as zero. Entering lower
		 numbers here will result in more money being withheld(deducted) from your pay.	
9	 _______________
IMPORTANT: If you want to have additional amounts withheld from your pay, you may enter a dollar amount on Line 3 of Form IL-W-4
below. This amount will be deducted from your pay in addition to the amounts that are withheld as a result of the allowances you have
claimed.
		

	

	

Cut here and give the certificate to your employer. Keep the top portion for your records.

Illinois Department of Revenue

IL-W-4 Employee’s Illinois Withholding Allowance Certificate

____ ____ ____ - ____ ____ - ____ ____ ____ ____

1	 Enter the total number of basic allowances that you

________________________________________________________________________
Street address

	 	 are claiming (Step 1, Line 4, of the worksheet).	
1	 ____________
2	 Enter the total number of additional allowances that
		 you are claiming (Step 2, Line 9, of the worksheet).	 2	____________
3	 Enter the additional amount you want withheld
		 (deducted) from each pay.		
3	 ____________

________________________________________________________________________
City					State	
ZIP

I certify that I am entitled to the number of withholding allowances claimed on
this certificate.

Check the box if you are exempt from federal and Illinois
Income Tax withholding and sign and date the certificate.

______________________________________________________________________
Your signature		
Date

Social Security number

________________________________________________________________________
Name

Printed by the authority of the State
This form is authorized under the Illinois Income Tax Act. Disclosure
of Illinois - web only,1 copy.
of this information is required. Failure to provide information may
result in this form not being processed and may result in a penalty.
IL-W-4 (R-7/23)

Employer: Keep this certificate with your records. If you have referred the employee’s federal
certificate to the IRS and the IRS has notified you to disregard it, you may also be required to
disregard this certificate. Even if you are not required to refer the employee’s federal certificate to
the IRS, you still may be required to refer this certificate to the ­Illinois Department of Revenue for
inspection. See Illinois Income Tax Regulations 86 Ill. Adm. Code 100.7110.