2023 
     Important Notice Regarding Illinois Estate Tax and Fact Sheet 

         For decedents dying prior to 2023, see the Instruction Fact Sheets previously posted on the 
 Attorney General’s website covering the specific year of death. 
 
         For  persons  dying  in  2023,  the  federal  exemption  for  Federal  Estate  Tax  purposes  is 
 $12,920,000. The exclusion amount for Illinois Estate Tax purposes is $4,000,000. The exclusion 
 amount is a taxable threshold  and  not  a credit  against  tax.  If an  estate’s  gross value  exceeds 
 $4,000,000 after inclusion of adjusted taxable gifts, an Illinois Form 700 must be filed, whether or 
 not a Federal Return is required by the Internal Revenue Service.The estate representative should 
 prepare and submit the  Illinois Form 700  with a Federal Form 706, including all  schedules, 
 appraisals, wills, trusts, attachments, etc. If an estate is not federally taxable and does not wish to 
 submit a Form 706, the information may be presented in an alternate format as long as all necessary 
 information is included. (See Ill. Admin. Code tit. 86, § 2000.110). The Illinois Estate Tax will be 
 determined using an interrelated calculation for 2023 decedents. The calculator at the  Illinois 
 Attorney General’s website (www.illinoisattorneygeneral.gov) may be used for this computation. 
 To determine tax due, insert the amounts from Lines 3 and 5 of Schedule A or B, Form 700. Please 
 note that the calculator will not perform the computation unless amounts are entered into both 
 fields. 
 
         For both resident and non-resident decedents, a preliminary tax amount should be calculated 
 assuming all assets  are located within  Illinois. (Line 6, Schedule  A  or B,  Form 700). The 
 apportioned tax can then be determined by multiplying that figure by the ratio of Illinois assets to 
 total assets. 
 
               Illinois QTIP Election (Qualified Terminable Interest Property) 
 
         For persons dying January 1, 2009 and after, the estate may make a QTIP election for 
 Illinois purposes in addition to any federal QTIP election. The Illinois QTIP must be elected on a 
 timely filed Illinois Return by checking the election box (pg. 2, box 4), inserting the dollar amount 
 of the QTIP election, and providing the social security number of the surviving spouse. A list of 
 Illinois QTIP property should be submitted with the Return. This may include trust property where 
 an undivided percentage is part of the QTIP, in which case the numeric percentage of trust property 
 included in the QTIP should be listed. An affidavit by the Trustee as to what is included in the 
 QTIP amount will suffice. The Illinois QTIP election will follow federal statutes and rules for 
 treatment of elected property passing to the surviving spouse and inclusion on the Return of the 
 surviving spouse, except as to the application of the Illinois Religious Freedom Protection and Civil 
 Union Act to parties of a civil union for Illinois Estate Tax purposes. 

                  Estate Tax Treatment of Civil Unions 
 
 a) Whenever the  Illinois  Estate and Generation-Skipping Transfer Tax Act incorporates 
    provisions of the Internal Revenue Code, those provisions shall be construed in accordance 
    with the Illinois Religious Freedom Protection and Civil Union Act [750 ILCS 75]. Individuals 
    who are parties to a civil union recognized under 750 ILCS 75 occurring on or after June 1, 
    2011 shall be subject to the same obligations and responsibilities  and  afforded the same 
    protections and benefits under this Part as apply to spouses in a marriage recognized for Federal 
    Estate Tax purposes. An  Illinois marital deduction, including qualified terminal interest 
    property (Q-TIP) elections allowable under 35 ILCS 405/2(b-1), is therefore allowable for 
    property passing from a decedent to his or her partner in a civil union recognized under 750 
    ILCS 75 to the same extent that property transferred to a husband or wife is allowable as a 
    marital deduction, including Q-TIP elections, under the Internal Revenue Code (26 USC 2044 
    and 2056). Because civil unions are not recognized for Federal Estate Tax purposes, civil union 
    partners recognized under 750 ILCS 75 who elect a marital deduction and Q-TIP elections for 
    Illinois Estate Tax purposes are required to file the following Returns with the Illinois Attorney 
    General: 
 
    1) A Form 700 Illinois Estate and Generation-Skipping Transfer Tax Return, available on 
       the Attorney General's website: (https://illinoisattorneygeneral.gov/estate-taxes/); 
 
    2) A pro forma Federal Form 706 United States Estate (and Generation-Skipping Transfer) 
       Tax Return completed as if the Federal Estate Tax statutes allowed a marital deduction 
       to civil union partners recognized under 750 ILCS 75 that reflects the marital 
       deductions claimed; and 
 
    3) For those estates that were required to file a Return in accordance with federal law (26 
       USC 2001 et seq.), a copy of the Federal Form 706 United States Estate (and Generation- 
       Skipping Transfer) Tax Return actually filed with the Internal Revenue Service. 
 
 b) As used in this Section, the term "Qualified terminal interest property" or "Q-TIP" has the 
    same meaning as prescribed in 26 USC 2056(b)(7)(B). 
 
 (Ill. Admin. Code tit. 86, § 2000.200) 
 
                  Computation Examples of Illinois Estate Tax 
 
       2023 decedent with an estate of  $0 Illinois Estate Tax 
       $2,000,000                       $0 Federal Estate Tax 
 
       2023 decedent with an estate of  $0 Illinois Estate Tax 
       $3,000,000                       $0 Federal Estate Tax 

 2023 decedent with an estate of                $28 Illinois Estate Tax 
 $3,000,100 and adjusted taxable                $0 Federal Estate Tax 
 gifts of $1,000,000 
 
 2023 decedent with an estate of                $0 Illinois Estate Tax 
 $4,000,000 (all Illinois property)             $0 Federal Estate Tax 
 
 2023 decedent with an estate of                $285,714 Illinois Estate Tax 
 $5,000,000 (all Illinois property)             $0 Federal Estate Tax 
 
 2023 decedent with an estate of                $142,857 Illinois Estate Tax 
 $5,000,000 with 50% in Illinois and            (even though Florida imposes 
 50% in Florida                                 no State Estate Tax) 
                                                $0 Federal Estate Tax 
 
 2023 decedent with an estate of                Illinois QTIP $8,920,000 
 $12,920,000, a surviving spouse,               $0 Illinois Estate Tax 
 and an IL QTIP election                        $0 Federal Estate Tax 
 
 Note: The portability and carry-over of the unused federal exemption to the surviving 
 spouse is inapplicable to the computation and assessment of the Illinois Estate 
 Tax. 
 
 The Illinois Attorney General administers the Illinois Estate Tax. The Illinois Estate Tax 
 Return is designated and titled Form 700 and is posted on the Attorney General’s website. The 
 original Return must  be filed  with the Illinois Attorney  General’s  Office, by U.S. mail, 
 courier, or hand delivery. For Cook, DuPage, Lake and McHenry Counties, the original Return 
 along with a copy of the Federal Return is filed at the Office of the Illinois Attorney General, 
 Revenue Litigation Bureau - Estate Tax Section, 115 S. LaSalle Street, Chicago, Illinois 60603. 
 For all other counties, the original Return along with a copy of the Federal Return is filed at the 
 Office of the Illinois Attorney General, Revenue Litigation Bureau - Estate Tax Section, 500 South 
 Second Street, Springfield, Illinois 62701. All taxes, interest and penalties must be paid directly 
 to the Illinois State Treasurer with the “Illinois State Treasurer  Estate Tax Payment Form” 
 available on the State Treasurer’s website  at www.illinoistreasurer.gov/Individuals/Estate_Tax. 
 The tax is due nine (9) months after the date of the decedent’s death. Extensions are available upon 
 application to the Attorney  General. Additionally, the Attorney General recognizes federal 
 extensions. If seeking an Attorney General Extension, file Form 700-EXT or a written explanation 
 of why it is impossible or impractical to file and/or pay on time. Requests should be filed within 9 
 months of date of death. 
 
 If the federal tax is paid in installments, the Illinois tax may be paid in installments. Form 
 4350a is the computation worksheet for installment payments and is available on the Attorney 
 General’s website. Please note that “gross” values are used to determine the percentage subject to 
 deferral; not adjusted values as on the Federal Return. 

 A taxable estate which is not required to file federally may elect 2032 alternate valuation, 
 2032A special use valuation, and/or 6166 payment deferral for Illinois purposes. The estate must 
 satisfy all requirements in the Internal Revenue Code and its regulations for making such elections, 
 except as modified by Illinois law. For 6166 payment deferral, the maximum amount which may be 
 deferred is as set forth at 35 ILCS 405/6(b). All forms and supporting documentation required with 
 the Federal Form 706 for those elections must be filed with the Illinois Form 700. 
 
 Please contact the Estate Tax Section, Illinois Attorney General’s Office with any questions 
 or problems at: 
 
 Estate Tax Section           Estate Tax Section 
 115 S LaSalle Street         500 South Second Street 
 Chicago, Illinois 60603      Springfield, Illinois 62701 
 Telephone: (312) 814-2491      Telephone: (217) 524-5095