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HB0012

HB0012: Increasing the Illinois Estate Tax Exclusion Amount

Last scannedAug 24, 2026, 10:00 AM

In one sentence

This bill changes state law to increase the amount of money a person can leave behind without paying an Illinois estate tax from $4 million to $6 million for deaths occurring on or after January 1, 2026.

What it does

  • Amends Section 2 of the Illinois Estate and Generation-Skipping Transfer Tax Act (35 ILCS 405/2).
  • Increases the state exclusion amount from $4,000,000 to $6,000,000 for persons dying on or after January 1, 2026.
  • Updates the list of historical exclusion amounts in the statute to include this new threshold.

Who it affects

  • Individuals who die on or after January 1, 2026 and leave an estate subject to Illinois tax.
  • Executors filing returns for persons dying in 2026 or later.

Limits and unknowns

  • The official text states 'Effective immediately,' but does not specify if this means upon passage or requires further executive action.
  • The provided excerpt is truncated and does not show the full definition of transferred property for generation-skipping transfers.

Plain language

Terms to know

Exclusion amount
The value of an estate below which no state estate tax is owed, as defined by the State Tax Credit calculation rules.
Illinois Estate Tax
A tax due to the State of Illinois with respect to a taxable transfer when a person dies.

Official record

Sources

Source attached

Official summary

ESTATE TX-EXCLUSION AMOUNT