Illinois and IRS Ready to Process 2025 Tax Returns

With the 2025 tax season upon us, the Illinois Department of Revenue (IDOR), and the Internal Revenue Service (IRS), have both announced they began accepting and processing 2025 tax returns beginning on Monday, January 27th.
In Illinois, taxpayers may use MyTax Illinois, a free online management program offered by the state for those filing state taxes. The software is open to individuals and businesses, utilized by IDOR, the Illinois Department of Employment Security (IDES), and the Illinois Liquor Control Commission (ILCC). MyTax Illinois also allows taxpayers to make payments, respond to department inquiries, and check the status of returns with the Where’s My Refund? site. To access most functions of MyTax Illinois, individuals and businesses are encouraged to create a logon, but some features are available if the taxpayer or businesses chooses to not create one. Businesses must be registered with IDOR, IDES, or ILCC to create a logon.

To know if you are eligible to activate a MyTax Illinois logon, you must:
  • Be registered with IDOR, IDES, or ILCC to do business in Illinois, if filing as a business or have a recent history of filing individual income tax returns if you are an individual
  • Have a tax account type currently available in MyTax Illinois, and
  • Know the specific individual or business identification number required for activation
New to the lineup this year, eligible Illinois taxpayers may use the IRS’ Direct File Program, a free tax tool to file your federal taxes directly with the IRS, instead of needing to use a third party. Illinois is one of 25 states to have access to this program. Using the IRS’ program also allows taxpayers to check on refunds and make payments, like Illinois’ program, through their website or IRS2Go app. To use the Direct File Program this year, taxpayers should see if they meet some of the below criteria:
  • Have lived in Illinois for all of 2024
  • Earned all income in Illinois in 2024
  • Plan to use the same filing status for both state and federal tax returns
  • Won’t be reporting any additions to your federal Adjusted Gross Income (AGI) on your Illinois state taxes, except for federally tax-exempt interest and dividend income from federal Form 1040 or 1040-SR Line 2a
  • Have not already filed your 2024 Illinois Form-1040 Income Tax return
  • Will only be reporting the following subtractions to your AGI on your Illinois state taxes:
    • Social security income
    • Retirement income
    • Illinois Income Tax overpayment
    • Military pay
    • U.S. interest
    • Contributions to a 529 plan such as “Bright Start” or “Bright Directions”
    • Exemptions
  • Will only be claiming the following payments or credits on your Illinois state taxes:
    • Property Tax Credit
    • K-12 Education Expense Credit
    • Illinois withholding from Forms W-2, W-2G, 1099-G, 1099-INT, or 1099-R
    • Estimated payments
    • Earned Income Tax Credit
    • Illinois Child Tax Credit
The Direct File Program offers an added bonus with allowing taxpayers filing in Illinois to file state tax returns with Illinois’ MyTax Program. After filing with the Direct File Program, the site will direct any Illinois taxpayers to the MyTax Illinois site for a seamless transition.

For working families, elderly, disabled, and people that speak limited English, the IRS offers the Volunteer Income Tax Assistance (VITA) or Tax Counseling for the Elderly (TCE) programs, which are free basic tax return preparation for those that qualify. VITA and TCE volunteers are professionals that have taken and passed tax law training that meets or exceeds the IRS’ standards. The IRS has a VITA/TCE locator tool and line for those in need of free filing assistance. To see where the VITA or TCE sites are near you, visit irs.treasury.gov or call 1-800-906-9887.

The last day to file taxes is Tuesday, April 15, 2025, unless a 6-month extension is filed. The IRS estimates more than 140 million individual tax returns will be filed this year ahead of the due date. In Illinois, a 6-month extension is automatically granted, but to avoid interest and penalties, payments must be made on or before April 15th. The IRS also offers a 6-month extension for taxpayers needing extra time. If taxpayers are granted a federal extension, Illinois will automatically honor the extension and apply it to state taxes.

Outside of the federal government and Illinois’ free programs, taxpayers have many third-party options that allow for electronic or in-person filing. The IRS and IDOR both maintain locators that allow individuals and businesses to look up qualified tax accountants, attorneys, and professionals. Many third-party sites also have similar lists, if individuals or businesses prefer to use a certain company.

Before filing, whether in-person or online, it is important to have all the necessary information and documentation to successfully file. The IRS and IDOR have checklists for taxpayers to utilize that may be found on their respective websites.

Below are some additional tips to use this tax season:
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