Form IL-2210, titled “Computation of Penalties for Individuals,” is issued by the Illinois Department of Revenue to determine whether a taxpayer owes penalties for underpaying or paying late their Illinois individual income tax. It’s used when you didn’t pay enough estimated tax throughout the year, paid late, or filed your return past the deadline. This form applies to taxpayers who are required to make quarterly estimated tax payments—generally individuals, trusts, or estates that expect to owe at least $1,000 in tax after subtracting credits and withholding. It calculates two main penalties:
- Late-payment penalty for underpayment of estimated tax, and
- Late-filing penalty for filing or paying after the due date.
The Illinois Department of Revenue encourages filers to let the department compute any penalties and send a bill. However, if you prefer to calculate it yourself or if you need to verify accuracy, you’ll use this form to determine exactly what you owe.
How To File Form IL-2210
- Attach Form IL-2210 to your Form IL-1040 (Individual Income Tax Return) when you file.
- Use your original return’s tax figures, not an amended return.
- Provide all requested details accurately, including payment dates, amounts, and underpayments.
- Follow the instructions for each step carefully.
- File electronically if possible; the form is electronic only.
You are not required to complete this form if you allow the Department to compute the penalty for you, but you may still attach it voluntarily to document your calculation.
How To Complete Form IL-2210
Step 1: Provide The Following Information
- Your Name and Social Security Number:
Enter your name exactly as shown on your Form IL-1040, and your Social Security number. - Prior Year Social Security Number:
If you used a different number when filing last year’s return, enter that here.
Step 2: Figure Your Required Installments
| Line | Instruction |
|---|---|
| 1 | Enter total income tax, compassionate use of medical cannabis, and gaming licensee surcharge from each tax return (current and prior year). |
| 2 | Enter the credits from each return. |
| 3 | Subtract Line 2 from Line 1. If negative, enter “0.” |
| 4a | Enter total Illinois withholding from W-2 and 1099 forms. |
| 4b | Enter total pass-through withholding made on your behalf. |
| 4c | Add Lines 4a and 4b. |
| 5 | Subtract Line 4c from Line 3. |
| 6 | Multiply Column A, Line 3 by 90% (0.9). |
| 7 | If Line 5 ≤ $1,000 or you’re not required to make estimated payments, enter “0.” Otherwise, enter the lesser of Column A Line 6 or Column B Line 3. |
| 8 | Divide Line 7 by 4 to get each required installment (unless you’re annualizing; see Step 6). |
Quarter Table (Line 9a):
- Quarter 1: 15th day of the 4th month of the tax year.
- Quarter 2: 15th day of the 6th month.
- Quarter 3: 15th day of the 9th month.
- Quarter 4: 15th day of the 1st month after the tax year ends.
| Line | Instruction |
|---|---|
| 9a | Enter installment due date for each quarter. |
| 9b | Enter the required installment amount. |
| 10a | Enter the tax withheld for each quarter. |
| 10b | Enter the pass-through withholding. |
| 10c | Add Lines 10a and 10b for each quarter. |
| 11 | Subtract Line 10c from Line 9b. If negative, use brackets. |
| 12 | If Line 13 of the previous quarter is negative, enter that amount as a positive number here; otherwise enter “0.” |
| 13 | Subtract Line 12 from Line 11. If negative, use brackets. Skip this line for Quarter 1. |
Step 3: Figure Your Unpaid Tax
| Line | Instruction |
|---|---|
| 14 | Enter the amount from Column A, Line 3. |
| 15 | Enter household employment tax from Form IL-1040, Line 20. |
| 16 | Enter use tax from Form IL-1040, Line 21. |
| 17 | Add Lines 14–16 and enter the total. |
| 18 | Enter the total of all payments made on or before the original due date, including prior-year credits, estimated payments, IL-505-I payments, pass-through withholdings, and W-2/1099 withholdings. Compare that total to Line 9b (Quarters 1–4) and enter the greater amount. |
| 19 | Subtract Line 18 from Line 17. If positive, enter here and continue to Step 4. If zero or negative, enter that value (use brackets for negative). |
Step 4: Figure Your Late-Payment Penalty
| Line | Instruction |
|---|---|
| 20 | Enter the amount and date of each payment you made, including any carried-forward credits. |
| Penalty Worksheet 1 | Calculates penalty for underpayment of estimated tax. Skip if all required payments were made on time. |
| Line 21 | Enter unpaid amounts from Line 13 for each quarter. Fill Columns A–I: due date, unpaid amount, payments applied, balance, payment date, days late, penalty rate, and penalty amount. |
| Line 22 | Add Column I for all quarters. This is your late-payment penalty for underpayment of estimated tax. Enter on Form IL-1040, Line 34. |
Penalty Rates Table (Page 2):
- 1–30 days late → 2% (.02)
- 31+ days late → 10% (.10)
You may apply any remaining overpayment from Quarter 4 to unpaid tax in Penalty Worksheet 2 if payment date is after the original due date.
Penalty Worksheet 2 – Late-Payment Penalty For Unpaid Tax
| Line | Instruction |
|---|---|
| 23 | Enter any positive amount from Line 19 into Column C. Then fill Columns A–I like before. |
| 24 | Add Column I. This is your late-payment penalty for unpaid tax. Enter on Step 5, Line 34. |
Step 5: Figure Your Late-Filing Penalty And The Amount You Owe
Figure Your Late-Filing Penalty
Only complete this section if:
- You filed after your extended due date, and
- Your tax was unpaid by the original due date.
| Line | Instruction |
|---|---|
| 25 | Enter Form IL-1040, Line 14. |
| 26 | Enter household employment tax from IL-1040, Line 20. |
| 27 | Enter use tax from IL-1040, Line 21. |
| 28 | Enter compassionate-use or gaming surcharge amounts from IL-1040, Line 22. |
| 29 | Add Lines 25–28. |
| 30 | Enter total credits and payments made by the original due date. |
| 31 | Subtract Line 30 from Line 29. |
| 32 | Multiply Line 31 by 2% (.02). |
| 33 | Enter the lesser of Line 32 or $250. This is your late-filing penalty. |
Figure The Amount You Owe
| Line | Instruction |
|---|---|
| 34 | Enter late-payment penalty for unpaid tax (Line 24). |
| 35 | Enter late-filing penalty (Line 33). |
| 36 | If Form IL-1040 Line 37 shows overpayment, enter it as negative. If Line 41 shows tax due, enter as positive. |
| 37 | Add Lines 34–36. Negative = overpaid; positive = amount you owe. Refer to Form IL-1040 Line 41 instructions for payment options. |
Step 6: Complete The Annualization Worksheet (Step 2, Line 9b)
Use this only if your income was not earned evenly throughout the year and you choose to annualize.
Each column (A–D) represents a period:
A = First 3 months B = First 5 months C = First 8 months D = All 12 months
| Line | Instruction |
|---|---|
| 38 | Enter your Illinois base income for each period. |
| 39 | Use annualization factors: 4 (A), 2.4 (B), 1.5 (C), 1 (D). |
| 40 | Multiply Line 38 by Line 39 = annualized income. |
| 41 | Enter exemptions per instructions. |
| 42 | Subtract Line 41 from Line 40 = Illinois net income. |
| 43 | Multiply Line 42 by 4.95% (.0495). |
| 44 | Add compassionate-use or gaming surcharges. |
| 45 | Add Lines 43 and 44. |
| 46 | Enter amount from Step 2, Line 2, Column A. |
| 47 | Subtract Line 46 from Line 45; if less than zero, enter “0.” |
| 48 | Enter applicable percentages: 22.5%, 45%, 67.5%, 90%. |
| 49 | Multiply Line 47 by Line 48 = annualized installment. |
| 50 | Add Line 56 of previous columns. |
| 51 | Subtract Line 50 from Line 49; if < 0, enter “0.” |
| 52 | Enter the amount from Step 2, Line 9b (if not annualizing). |
| 53 | Enter Line 55 from the preceding column. |
| 54 | Add Lines 52 and 53. |
| 55 | If Line 54 > Line 51, subtract Line 51 from Line 54; otherwise enter “0.” |
| 56 | Enter the lesser of Line 51 or Line 54—this is your required installment. |