Illinois Department of Revenue

      IL-2220 Instructions                                                                                           2023

General Information
What is the purpose of this form?
This form allows you to calculate penalties you may owe if you did not
• make timely estimated payments,
• pay the tax you owe by the original due date, or 
• file a processable return by the extended due date.
Note: The late-payment penalty for underpayment of estimated tax is based on the tax shown due on your original return. 
Do not use the tax shown on an amended return filed after the extended due date of the return to compute your required 
installments in Step 2.
In addition, this form must be used if your income was not received evenly throughout the year and you choose to annualize 
your income. The annualized income installment method may be able to lower or eliminate the amount of your required 
installments.
To use the annualized income installment method complete Form IL-2220, Computation of Penalties for Businesses, including 
the annualization worksheet in Step 6. See the specific instructions for Step 6 for more information. If you fail to follow these 
instructions, we may calculate your late-payment penalty for underpayment of estimated tax based on four equal installments.
Note: Check the box in Step 1 of your return and attach Form IL-2220 to your return if you are annualizing your income. 

Should I round?
You must round the dollar amounts on Form IL-2220 to whole-dollar amounts. To do this, you should drop any amount less than 
50 cents and increase any amount of 50 cents or more to the next higher dollar.

Do I need to complete this form if I owe penalties?
No, you do not need to complete this form if you owe penalties. We encourage you to let us figure your penalties and send you 
a bill instead of completing and filing this form yourself. If you let us figure your penalties, complete your return as usual and do 
not attach Form IL-2220. 
You must complete this form if you are using the annualized income installment method for late-payment penalty for 
underpayment of estimated tax in Step 6.
For more information, see Publication 103, Penalties and Interest for Illinois Taxes. To receive a copy of this publication, visit 
our website at tax.illinois.gov.

What is late-payment penalty?
A late-payment penalty is assessed when you fail to pay the tax you owe by the due date. This penalty could result from two 
different underpayment situations and is assessed at either 2 percent or 10 percent of the unpaid liability based on the number 
of days the payment is late. The penalty rates used on this form are for returns due on or after January 1, 2005. For returns 
due before January 1, 2005, see Publication 103, Penalties and Interest for Illinois Taxes.
You will be assessed a late-payment penalty for unpaid tax if you do not pay the total tax you owe by the original due date of 
the return. An extension of time to file your return does not extend the amount of time you have to make your payment.
You will be assessed a late-payment penalty for underpayment of estimated tax if you were required to make estimated tax 
payments and failed to do so, or failed to pay the required amount by the payment due date.
Note: If in the previous taxable year you filed a short year return or a return showing no liability, you may still owe the 
late-payment penalty for underpayment of estimated tax. See the specific instructions for details. 
You do not owe the late-payment penalty for underpayment of estimated taxes if
• you are filing Form IL-1120, Corporation Income and Replacement Tax Return, and 
  •   you were not required to file Form IL-1120 for last year; or
  •   your current year’s tax liability (Form IL-1120, Step 8, Line 58 minus Lines 61c, 61d, and 61e) is $400 or less; or
  •   you made timely estimated installment payments equaling at least 90 percent of this year’s tax liability or 100 percent of 
      the prior year’s tax liability (provided you reported a tax liability in the prior year and it was not a short taxable year).
• you are filing Form IL-1120-ST or Form IL-1065 and 
  •   you were not required to file Form IL-1120-ST or Form IL-1065 last year; or
  •   you did not elect to pay pass-through entity (PTE) tax this year; or 
IL-2220 Instructions (R-12/23)   Printed by the authority of the state of Illinois - electronic only - one copy.            Page 1 of 10

  •   you elected to pay PTE tax this year, but your current year’s tax liability (Form IL-1120-ST, Step 8, Line 62 minus 
      Step 9, Lines 65c and 65d, or Form IL-1065, Step 8, Line 62 minus Step 9, Lines 65c and 65d) is $500 or less; or
  •   you made the election to pay PTE tax this year and you made timely estimated installment payments equaling at least 
      90 percent of this year’s tax liability or 100 percent of the prior year’s tax liability (provided you reported a tax liability in 
      the prior year and it was not a short taxable year).
• you are filing Form IL-1041, Fiduciary Income and Replacement Tax Return. 
Note: You will still be assessed the late-payment penalty for underpayment of estimated tax if you failed to pay the required 
installment amount by each installment due date.

What is late-filing or non-filing penalty?
A late-filing or non-filing penalty is a penalty assessed for failure to file a processable return by the extended due date. The 
penalty is the lesser of $250 or 2 percent of the tax amount required to be shown due on your return, reduced by any payments 
made by the original due date and any credits allowed on your return.
An additional penalty will be assessed if you do not file a processable return within 30 days of the date we notify you that we 
are not able to process your return. This additional penalty is equal to the greater of $250 or 2 percent of the tax shown due on 
your return, determined without regard to payments and credits, and may be assessed up to a maximum of $5,000. For more 
information, see Publication 103, Penalties and Interest for Illinois Taxes.

What if I underpaid my estimated tax because of a change in the law during the tax year?
If a change in the IITA enacted during the tax year increased your liability, and the new statute does not specifically provide 
for relief from penalties, you may reduce or eliminate your penalty for underpayment of estimated tax by using the annualized 
income installment method in Step 6 and computing your income and liability for each period according to the IITA in effect as 
of the end of that period. See Specific Instructions for Step 6.

Do I use the investment partnership withholding credit I received when calculating my penalties?
Some taxpayers may not be eligible to claim the investment partnership withholding credit that is reported to them on 
Schedule K-1-P, Step 7, Line 55. Partners in an investment partnership who treat the income received from the investment 
partnership as nonbusiness income may not use the amount reported to them as investment partnership withholding credit. 
If you are eligible to claim the investment partnership withholding credit you received, you may use the credit as if it were 
pass-through withholding credit when calculating your penalties. See Schedule K-1-P(2), Partner’s and Shareholder’s 
Instructions, for more information about investment partnership income. 

What if I need additional assistance or forms?
•     For assistance, forms, or schedules, visit our website at tax.illinois.gov or scan the QR code 
  provided.
•     Write us at: 
      ILLINOIS DEPARTMENT OF REVENUE
      PO BOX 19001
      SPRINGFIELD IL  62794-9001
•     Call 1 800 732-8866 or 217 782-3336  (TTY at 1 800 544-5304).
• Visit a taxpayer assistance office - 8:00 a.m. to 5:00 p.m. (Springfield office) and 8:30 a.m. to 
  5:00 p.m. (all other offices), Monday through Friday.

Specific Instructions
Note: If a specific line is not referenced, follow the instructions on the form.
Step 2:  Figure your required installments (Form IL-1120 filers and Forms IL-1120-ST and IL-1065 filers who 
elect to pay PTE tax)
Line 5 — 
Column A - 
• Form IL-1120 - Enter the total net income and replacement taxes and surcharges entered on your 2023 Form IL-1120, 
  Step 8, Line 58. 
• Form IL-1120-ST - Enter the total net replacement tax, surcharges, pass-through withholding, and PTE tax entered on your 
  2023 Form IL-1120-ST, Step 8, Line 62. 
• Form IL-1065 - Enter the total net replacement tax, withholding, and PTE tax entered on your 2023 Form IL-1065, Step 8, 
  Line 62. 
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Column B -
• Form IL-1120 filers - Enter the total net income and replacement taxes and surcharges as entered on your 2022 
  Form IL-1120, Step 8, Line 58.
• Form IL-1120-ST - Enter the total net replacement tax, surcharges, pass-through withholding, and PTE tax as entered on 
  your 2022 Form IL-1120-ST, Step 8, Line 62 . 
• Form IL-1065 - Enter the total net replacement tax, pass-through withholding, and PTE tax as entered on your 2022 
  Form IL-1065, Step 8, Line 62 . 
Note: Enter “N/A” in Step 2, Column B, Line 5, if:
  •   your prior year’s tax was zero; or
  •   the prior year’s return was a short tax year.
“N/A” does not equal zero. If you entered “N/A” on Step 2, Column B, Line 5, you still may be required to make installments. 
See the instructions for Line 9. 
Line 6 — 
• Form IL-1120 - Enter the total amount from your Form IL-1120, Step 8, Lines 61c, 61d, and 61e.
• Form IL-1120-ST - Enter the total amount from your Form IL-1120-ST, Step 9, Lines 65c and 65d.
• Form IL-1065 - Enter the total amount from your Form IL-1065, Step 9, Lines 65c and 65d.

Line 9 — 
• Form IL-1120 - If Line 7 is $400 or less, enter zero and go to Step 3. Otherwise, enter the lesser of Column A, Line 8, or 
  Column B, Line 5. If you entered “N/A” in Column B, Line 5, enter the amount from Column A, Line 8.
• Form IL-1120-ST - If Line 7 is $500 or less, enter zero and go to Step 3. Otherwise, enter the lesser of Column A, 
  Line 8, or Column B, Line 5. If you entered “N/A” in Column B, Line 5, enter the amount from Column A, Line 8. 
• Form IL-1065 - If Line 7 is $500 or less, enter zero and go to Step 3. Otherwise, enter the lesser of Column A, Line 8, 
  or Column B, Line 5. If you entered “N/A” in Column B, Line 5, enter the amount from Column A, Line 8.
Line 12 — Enter the amount of your required installment for each due date. For most taxpayers, this is the amount shown 
on Line 10. (In this case, the total amount of all columns of Line 12 should equal Line 9.) However, if you are annualizing your 
income, you must complete Step 6 and enter the required installments from Line 51.
Annualized income installment method: If your income was not received evenly throughout the year, you may be able to 
lower or eliminate the amount of your required installments by using the annualized income installment method in Step 6. If you 
choose to annualize your income in Step 6, you must use this method for all installments. 
Line 13 — 
• Gambling withholding: If you received a Form W-2G, Certain Gambling Winnings, enter the entire Illinois amount of 
  withholding in the quarter in which the gambling winnings were received.
• Sports wagering withholding: If you received a Form W-2G, Certain Gambling Winnings, enter the entire amount of 
  Illinois withholding in the quarter in which the sports wagering winnings were received.
• PTE tax credit: If you received an Illinois Schedule K-1-P or K-1-T showing PTE  tax credit, enter the entire amount in the 
  quarter in which the pass-through entity’s tax year ended.
• Pass-through withholding (including investment partnership withholding): If you received an Illinois 
  Schedule K-1-P or K-1-T showing pass-through withholding (including any applicable investment partnership withholding) 
  made on your behalf, enter the entire amount in the quarter in which the pass-through entity’s tax year ended.
  For example, if your tax year ended on March 31, 2023, and your Schedule K-1-P shows a tax year ending of 
  June 30, 2022, you would put the pass-through withholding payment amount in Quarter 1.
Line 14 — Quarters 1 through 4 — Subtract Line 13 from Line 12 and enter that amount here. If this amount is negative, use 
brackets. If Line 13 is blank or zero, enter the amount from Line 12.
Lines 15 and 16 — Complete Lines 15 and 16 of each quarter before proceeding to the next quarter. Follow the instructions 
on the form.

Step 3:  Figure your unpaid tax (all filers)
Line 17 — Enter the total from:
• Form IL-1120, Step 8, Line 58;
• Form IL-1120-ST, Step 8, Line 62;
• Form IL-1065, Step 8, Line 62; 
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•  Form IL-1041, Step 7, Line 54; or
•  Form IL-990-T, Step 6, Line 28.
Line 18a — Enter the total of all payments you made on or before the original due date of your tax return. Include 
overpayment credit(s) carried forward to 2023 from a prior year original or amended return if the prior year return was filed on 
or before the original due date of your 2023 return. You must also include withholding (including gambling and sports wagering 
withholding), estimated payments (voluntary prepayments), extension payments, PTE tax credit, pass-through withholding 
(including any applicable investment partnership withholding credits) made on your behalf, payments made with a voucher 
generated by a software program, electronic payments, and payments made with your tax return or “V” vouchers.
Line 18b — 
•  Form IL-1120 filers and Forms IL-1120-ST and IL-1065 filers who elect to pay PTE tax - Add the amounts from Step 2, 
   Line 12, all columns. Enter the result on Line 18b. 
•  All other filers (including Forms IL-1120-ST and IL-1065 filers who did not elect to pay pass-through entity tax) -  Enter 
   zero.
Line 18 — Enter the greater of 18a or 18b.
Line 19 — Subtract Line 18 from Line 17. If the amount is 
•  positive, enter the amount here. You owe a late-payment penalty for unpaid tax. Continue to Step 4 and enter this amount 
   in Penalty Worksheet 2, Column C, Line 23. 
•  zero or negative, enter the amount here. If the result is negative, use brackets. 

Step 4:  Figure your late-payment penalty
Use Penalty Worksheet 1 to figure your late-payment penalty for underpayment of estimated tax. 
Use Penalty Worksheet 2 to figure your late-payment penalty for unpaid tax. 
You must follow the instructions in order to properly complete the penalty worksheets.

Line 20 — Follow the instructions below for your tax type.
Corporations and S corporations and Partnerships who elect to pay pass-through entity tax
Enter your payments, regardless of the type of payment, and the date you made the payment. List the payments in date order. 
Include any overpayment credit(s) carried forward from a prior year original or amended return. 
Note: If you do not complete Penalty Worksheet 1, only enter payments made and credits received after the original due date 
of your tax return.
Do not include income tax credits, PTE tax credits, withholding (including gambling or sports wagering), or 
pass-through withholding (including investment partnership withholding credits) made on your behalf.
To determine the correct date to enter for overpayment credit(s) carried forward, refer to the instructions below.
If your prior year return that made the election to credit your overpayment against your 2023 tax was filed
‰  on or before the extended due date of that prior year return, your credit is considered to be paid on the due date of 
   your first estimated tax installment for the current year.
  Example 1: You filed your 2022 Form IL-1120 calendar-year return on or before the extended due date of that return 
      requesting $500 be applied against estimated tax. All of your payments were made before the original due date of your 
      2022 return. 
      In this case, your credit of $500 will be considered to be paid on April 17, 2023. Enter $500 and a date paid of 
      April 17, 2023, on Line 20.
  Example 2: You filed your 2022 Form IL-1120 calendar-year return on or before the extended due date of that return 
      requesting $500 be applied against estimated tax. Your overpayment includes payments of $400 you made before the 
      original due date of your return, and a $100 payment you made on July 3, 2023. 
      In this case, a credit of $400 will be considered to be paid on April 17, 2023. The remaining $100 credit will be 
      considered to be paid on July 3, 2023. You will enter two credits on Line 20. One for $400 reporting a date paid of 
      April 17, 2023, and another for $100 reporting a date paid of July 3, 2023.
Note: If all or a portion of your overpayment results from payments made after the due date of your first estimated tax 
installment, that portion of your credit is considered to be paid on the date you made the payment. 

IL-2220 Instructions (R-12/23)                                                                                          Page 4 of 10

‰  after the extended due date of that prior year return, your credit is considered to be paid on the date you filed the return 
  on which you made the election.
 Example 3: You filed your 2022 Form IL-1120 calendar-year return on December 1, 2023, requesting $500 be applied 
      against estimated tax. 
      In this case, your credit of $500 will be considered to be paid on December 1, 2023, because you filed your return after 
      the extended due date of your 2022 calendar-year return. Enter $500 and a date paid of December 1, 2023, on Line 20.
Note: If you are filing your return after the extended due date, you may only elect to claim an overpayment credit for payments 
received on or before the date you filed your return. Any payments made after the date you filed that return can only be claimed 
as an overpayment credit on a subsequent amended return. 

All other tax types (including S corporations and Partnerships not electing to pay pass-through 
entity tax)
Enter any payments made after the original due date of your tax return, regardless of the type of payment, and the date you 
made the payment. List the payments in date order. Include any overpayment credit(s) carried forward from a prior year original 
or amended return. 
Do not include income tax credits, withholding (including gambling or sports wagering), PTE tax credits, or 
pass-through withholding (including investment partnership withholding credits) payments made on your behalf.
Only include overpayment credit(s) which are considered to be paid after the original due date of your current year tax return. 
To determine when the overpayment credit(s) are considered to be paid, refer to the following instructions. 
If your prior year return that made the election to credit your overpayment against your 2023 tax was filed
‰  on or before the extended due date of that prior year return, do not include the credit(s) on Line 20. Your credit(s) will 
  be considered to be paid before the original due date of the current year tax return. See the instructions for your return for 
  details.
‰  after the extended due date of that prior year return, your credit is considered to be paid on the date you filed the return 
  on which you made the election. 
 Example 1: You filed your 2022 Form IL-1120-ST calendar-year return late on December 1, 2023, requesting $500 be 
      applied against estimated tax. Your credit of $500 will be considered to be paid on December 1, 2023, because you filed 
      your return after the extended due date of your 2022 calendar-year return. 
      In this case, the credit is considered to be paid before the original due date of your 2023 Form IL-1120-ST, 
      March 15, 2024, and would be included on Line 20 when listing your 2023 payments.
 Example 2: You filed and paid your 2022 Form IL-1120-ST calendar-year return late on July 3, 2024, requesting $500 be 
      applied against estimated tax. Your credit of $500 will be considered to be paid on July 3, 2024, because you filed your 
      return after the extended due date of your 2022 calendar-year return. 
      In this case, the credit is considered to be paid before the original due date of your 2024 IL-1120-ST, March 17, 2025, 
      and would not be included on Line 20 when listing your 2023 payments. 
Note: If you are filing your return after the extended due date, you may only elect to claim an overpayment credit for payments 
received on or before the date you filed your return. Any payments made after the date you filed that return can only be claimed 
as an overpayment credit on a subsequent amended return. 

Penalty Worksheet 1
Late-payment penalty for underpayment of estimated tax 
(Form IL-1120 filers and Forms IL-1120-ST and IL-1065 filers who elected to pay pass-through entity tax)
If the amount on Line 16 is positive (greater than zero) for any quarter, you may owe a late-payment penalty for 
underpayment of estimated tax. Use this worksheet to figure the penalty for any unpaid quarter.
Note: If you paid the required amount from Line 16 by the due date on Line 11 for each quarter, do not complete Penalty 
Worksheet 1.
Line 21 — 
Column B — Use the dates from Step 2, Line 11. 
Column C — Enter the underpaid amount from Line 16 on the first line of the appropriate quarter. Do not enter any overpaid 
amounts in this column.
Column D — Apply to the first unpaid quarter, the payment from Line 20 with the earliest payment date. 

IL-2220 Instructions (R-12/23)                                                                                     Page 5 of 10

Continue applying payments in date order until all unpaid amounts in Column C have been satisfied (Column E is zero or a 
negative figure for all unpaid quarters) or you have no more payments to apply.
For quarters two through four: If you have an overpayment available from the previous quarter (quarters one through three, 
respectively) in Column E, you may use that amount for the first available payment in the current quarter.
Note: See the example on the final page of these instructions. 
Column E — Subtract the payment in Column D from the unpaid amount in Column C. If this amount is 
• positive, enter the amount here and complete Columns F through I. Enter this positive (unpaid) amount on the next line in 
  Column C. Continue applying payments in date order until the unpaid amount in Column C has been satisfied (Column E is 
  a negative figure, zero, or you entered zero in Column D). 
• zero or negative, you have paid your tax. Enter the amount here and, if negative, use brackets. Complete Columns F 
  through I. 
Note: If this amount is negative in the 4th quarter, and the payment date in Column F is after the original due date of the return, 
apply this overpayment to any unpaid tax shown on Penalty Worksheet 2, Line 23 when figuring your late-payment penalty for 
unpaid tax. See the instructions for Penalty Worksheet 2, Column D. 
If you entered “0” in Column D, enter the amount from Column C here, and complete Columns F through I.
Column F — Enter the date the payment in Column D was made. If Column D is zero, do not enter a date and skip to 
Column H.
Column G — Figure the number of days from the date in Column B to the date in Column F and enter that number here. This is 
the number of days the payment was late. 
Column H — For payments made after the due date listed in Column B, enter the penalty rate that applies to the number of 
days you entered in Column G. See the penalty rates listed on Form IL-2220, Page 2. For payments made before the due date 
listed in Column B, enter zero in Column H. 
Column I — Figure this amount using the payment portion in either Column C or Column D. 
If Column D is zero or if Column E is zero or a negative figure, multiply Column C by Column H and enter the amount here. 
Otherwise, multiply Column D by Column H and enter the amount here.
Line 22 — Add Column I, Quarters 1 through 4. This is your late-payment penalty for underpayment of estimated tax. 
Enter the total amount here and on: 
• For Form IL-1120 filers - Step 8, Line 59;
• For Form IL-1120-ST filers who elected to pay pass-through entity tax - Step 8, Line 63; or 
• For Form IL-1065 filers who elected to pay pass-through entity tax - Step 8, Line 63.

Penalty Worksheet 2 
Late-payment penalty for unpaid tax
Line 23 — 
Column B — Enter the original due date of your return.
Column C — Enter any positive amount from Line 19 on the first line of Column C.
Column D — If you completed Penalty Worksheet 1, and you have a negative amount (overpayment) in Column E of the 
4th quarter of Penalty Worksheet 1, and the payment date shown in the 4th quarter of Column F of Penalty Worksheet 1 is 
after the date listed in Line 23, Column B, you may apply the overpayment from Line 21, Column E, as the first available 
payment for Line 23, Column D. 
Continue applying unused payments from Line 20 received after the date in Column B, in date order until the unpaid amount in 
Column C has been satisfied (Column E is zero or a negative figure). 
If you did not complete Penalty Worksheet 1, apply payments received after the date in Column B from Line 20, in date order 
until the unpaid amount in Column C has been satisfied (Column E is zero or a negative figure). 
If you have no more payments to apply and Column C remains unpaid, enter “0” in Column D. See example at the end of these 
instructions. 

IL-2220 Instructions (R-12/23)                                                                            Page 6 of 10

Complete Columns E through I
Column E — Subtract the payment in Column D from the unpaid amount in Column C. If this amount is 
• positive, enter the amount here and complete Columns F through I.  
  Enter this positive (unpaid) amount on the next line in Column C. Continue applying payments in date order until Column E 
  is an overpayment, zero, or you have entered zero in Column D.
• zero or negative, you have paid your tax. Enter the amount here and, if negative, use brackets. Complete Columns F 
  through I. 
      If you entered zero in Column D, enter the amount from Column C here, and complete Columns F through I.
Column F — Enter the date of the payment you applied in Column D. If 
• you are applying an overpayment from Penalty Worksheet 1, Column E, enter the date that corresponds to that payment, 
  shown on Line 20.
• Column D is zero, do not enter a date in Column F and skip to Column H. 
Column G — Figure the number of days from the date in Column B to the date in Column F and enter that number here. This is 
the number of days the payment was late. 
Column H — For payments made after the due date listed in Column B, enter the penalty rate that applies to the number of 
days you entered in Column G. See the penalty rates listed on Form IL-2220, Page 2. For payments made before the due date 
listed in Column B, enter zero in Column H.
Column I — Figure this amount using the payment portion in either Column C or Column D. 
If Column D is zero or if Column E is zero or a negative figure multiply Column C by Column H. Otherwise, multiply Column D 
by Column H and enter the amount here.
Line 24 — Add Column I. This is your late-payment penalty for unpaid tax. Enter the amount here and on Step 5, Line 28.

Step 5:  Figure your late-filing penalty, total penalties, and the amount you owe
Complete Lines 25 through 27 to figure your late-filing penalty only if 
• you are filing your return after your extended due date; and 
• your tax was not paid by the original due date. 
Otherwise, you do not owe a late-filing penalty.
Line 25 — Enter the amount of tax due from your return. Your tax due is tax, surcharge, pass-through withholding you owe on 
behalf of your members, and PTE tax you owe minus any credits and payments made on or before the original due date.
Line 28 — Enter your late-payment penalty for unpaid tax from Step 4, Line 24. 
Line 29 — If your annual tax return shows that you have an
•  overpayment (before any amount to be carried to the next year’s estimated payments), enter that amount as a negative 
  number.
• balance due, enter that amount as a positive number.
  Form       Overpayment Line             Balance Due Line
  IL-1120    Step 8, Line 63               Step 8, Line 67
  IL-1120-ST Step 9, Line 67               Step 9, Line 71
  IL-1065    Step 9, Line 67               Step 9, Line 71
  IL-1041    Step 7, Line 57               Step 7, Line 61
  IL-990-T   Step 6, Line 31               Step 6, Line 35
Line 30 — Add Lines 27, 28, and 29. This is your total tax and penalty amounts. This amount may not match the overpayment 
and may reduce any available amount to be credited to a subsequent period, or the total amount due on your original tax return. 
If Line 30 shows a balance due and you wish to pay your calculated penalty amounts, pay the amount shown here. Otherwise, 
we will send you a bill.

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Step 6:  Complete the annualization worksheet for Step 2, Line 12
You should complete this worksheet if your income was not received evenly throughout the year and you choose to annualize 
your income. 
If you complete this worksheet, check the box on Form IL-1120, Step 1, Line W, Form IL-1120-ST, Step 1, Line M, or 
Form IL-1065, Step 1, Line J and attach this form to your return. Beginning with Column A, complete Lines 31 through 51 of 
each column.
You must complete all lines of Columns A through D in order to use this worksheet. If you fail to complete all lines of Step 6, 
Lines 31 through 51, Columns A through D, we may disregard your election to annualize your income and calculate your 
late-payment penalty for underpayment of estimated tax based on four equal installments. 
If the IITA was amended during your tax year and changed how you compute your net income or tax, and the amendment does 
not provide relief for taxpayers who computed their estimated tax obligations following the old law, use the old law to compute 
your net income and tax for each period ending before the date the amendment became law. 
Example: If an income tax credit was repealed by law, effective June 22, 2022, for tax years ending on or after 
December 31, 2022, and the credit was reinstated July 31, 2023, for tax years ending on or after December 31, 2023, a 
calendar-year taxpayer could use the credit to reduce the tax liability on the 2022 Form IL-2220, in Columns A and B, Line 39, 
but not for Columns C or D.
The credit could be used again on the 2023 Form IL-2220, in Column D, Line 39, but not Columns A and B. The credit may 
be used in Column C of the 2023 Form IL-2220 only if the income used to compute the liability on Line 39 is the annualized 
amount for the first eight months of the year on Line 36. The credit may not be used if the annualized income for the first six 
months of the year on Line 33 is used, because the law restoring the credit was not in effect as of June 30, 2023.
Line 31 — In Columns B through D, 
• Form IL-1120 filers - calculate and enter the net income that would have been shown on Form IL-1120, Step 5, Line 39, as 
  if you had completed a 2023 return for the first three months, the first six months, and the first nine months of the tax year.
   Note: Net income from Form IL-1120, Step 5, Line 39, is base income after apportionment and Illinois net loss deduction 
  (during applicable years).
• Forms IL-1120-ST and IL-1065 filers who elected to pay pass-through entity tax - calculate and enter the net income 
  from Form IL-1120-ST, Step 7, Line 51, or Form IL-1065, Step 7, Line 53, as if you had completed a 2023 return for the first 
  three months, the first six months, and the first nine months of the tax year.
Line 34 — In Columns A through D, 
• Form IL-1120 filers - calculate and enter the net income that would have been shown on Form IL-1120, Step 5, Line 39, 
  as if you had completed a 2023 return for the first three months, the first five months, the first eight months, and the first 
  eleven months of the tax year. 
• Forms IL-1120-ST and IL-1065 filers who elected to pay pass-through entity tax - calculate and enter the net income 
  from Form IL-1120-ST, Step 7, Line 51, or Form IL-1065, Step 7, Line 53, as if you had completed a 2023 return for the first 
  three months, the first five months, the first eight months, and the first eleven months of the tax year. 
Note: To avoid a common mistake, ensure you have completed all columns of Lines 31 through 36, as applicable. If you 
complete this step, do not leave these lines blank. If you have no net income to report in a column on Lines 31 or 34 or 
amounts to enter in a column on Lines 33 or 36, enter zero on the applicable lines. Failure to comply with this requirement may 
result in further correspondence and a delay in the processing of your return.
Line 38 — Using the net income on Line 37, calculate and enter in each column the total net replacement tax that would have 
been shown on 
• Form IL-1120, Step 8, Line 52, as if you had completed a 2023 Form IL-1120 for each period.
• Form IL-1120-ST, Step 8, Line 56, as if you had completed a 2023 Form IL-1120-ST for each period.
• Form IL-1065, Step 8, Line 58, as if you had completed a 2023 Form IL-1065 for each period.
Note: The net replacement tax from Form IL-1120 (Step 8, Line 52), Form IL-1120-ST (Step 8, Line 56), or Form IL-1065 
(Step 8, Line 58) are amounts after recapture and all appropriate credits. (Refer to Form IL-1120, Step 6, Form IL-1120-ST, 
Step 8, or Form IL-1065, Step 8.) See 86 Ill. Adm. Code 100.8010 for more information.

IL-2220 Instructions (R-12/23)                                                                                     Page 8 of 10

Line 39 — 
• Form IL-1120 filers - Using the net income on Line 37, calculate and enter in each column the total net income tax that 
  would have been shown on Form IL-1120, Step 8, Line 55, as if you had completed a 2023 Form IL-1120 for each period.
  Note: Your net income tax from Form IL-1120, Step 8, Line 55, is an amount after recapture and all appropriate credits. 
  (Refer to Form IL-1120, Step 7.) See 86 Ill. Adm. Code 100.8010 for more information.
• Forms IL-1120-ST and IL-1065 filers who elected to pay PTE tax - Use the PTE Tax Worksheet to determine the PTE 
  tax amounts to enter on each column of Line 39. 
Line 40 — For each column, determine the period and annualization factor used when calculating Line 37. Next, compute the 
amount of surcharge that would have been shown on Form IL-1120, Step 8, Line 56, or Form IL-1120-ST, Step 8, Line 57, as if 
you had completed a 2023 return for each period. Finally, multiply that amount by the annualization factor used for that period. 
Enter the result on Line 40.
Line 41 — For each column, determine the period and annualization factor used when calculating Line 37. Next, compute the 
amount of surcharge that would have been shown on Form IL-1120, Step 8, Line 57, or Form IL-1120-ST, Step 8, Line 58, as if 
you had completed a 2023 return for each period. Finally, multiply that amount by the annualization factor used for that period. 
Enter the result on Line 41.
Line 47 — Enter the amount you would have entered in the corresponding column of Step 2, Line 12, if you were not 
annualizing your income. 

PTE Tax Worksheet (Form IL-1120-ST and Form IL-1065 filers)
You should complete this worksheet if you are annualizing your income and you elected to file and pay pass-through entity (PTE) 
tax. 
Line 52 — In columns B through D, calculate and enter the amount of Illinois net pass-through entity income that would have been 
shown on Form IL-1120-ST, Step 8, Line 60 or Form IL-1065, Step 8, Line 60, as if you had completed a 2023 return for the first 
three months, the first six months, and the first nine months of the tax year.
Line 55 — In columns A through D, calculate and enter the amount of Illinois net pass-through entity income that would have 
been shown on Form IL-1120-ST, Step 8, Line 60 or Form IL-1065, Step 8, Line 60, as if you had completed a 2023 return for 
the first three months, the first five months, the first eight months, and the first eleven months of the tax year.
Note: To avoid a common mistake, ensure you have completed all columns of Lines 52 through 57, as applicable. If you 
complete this worksheet, do not leave these lines blank. If you have no net PTE income to report in a column on Lines 52 or 55 
or amounts to enter in a column on Lines 54 or 57, enter zero on the applicable lines.
Line 59 — For each column, multiply the amounts on Line 58 by 4.95 percent (0.0495). Enter the result on Line 59 and in the 
applicable columns on Step 6, Line 39. 

IL-2220 Instructions (R-12/23)                                                                                     Page 9 of 10

                                                                                                     Example
 ABC Corporation’s total Illinois net income and replacement tax and surcharge is $1,875, as shown on its 2023 Form IL-1120, Step 8, 
 Line 58. The 2022 tax was $2,600. The corporation filed Form IL-1120 and paid $300 with the return on September 4, 2024.
 The corporation made the following estimated payments:                                                                                   
         $100  4-17-23                      $200  6-19-23             $750  9-15-23                               $250  12-19-23
  Step 3:  Figure your unpaid tax - all taxpayers
   17   Enter your total net income and replacement tax, surcharge, and pass-through withholding you owed
      and reported on behalf of your members,                 and pass-through entity tax you owed. See instructions.                                    17 ____________187500
   18   a  Enter the total amount of all payments made on or before the original due date of your
        tax return. Include credit(s) carried forward from a prior year (see instructions); total 
        estimated payments, prepayments, extension payments or annual payments made
        with your tax return; pass-through withholding reported on your behalf; pass-through                                                        
        entity tax credit, and withholding shown on your W-2G or 1099 forms.                                                 18a        ____________1300 00
        b  Forms IL-1120, IL-1120-ST, and IL-1065 filers: 
        Enter the total of all Columns, Line 12. All others, enter zero.                                                     18b        ____________1688 00                  
      Enter the    greater of Line 18a or Line 18b here.                                                                                                 18 ____________168800
   19  Subtract Line 18 from Line 17. If this amount is                                                                                             
        —positive, enter that amount here. Continue to Step 4 and enter this amount in 
        Penalty Worksheet 2, Line 23, Column C.                                                                                                     
        —zero or negative, enter that amount here and, if negative, use brackets.                                                                        19 ____________187 00
  Step 4: Figure your late-payment penalty 
  Use Penalty Worksheet 1 to figure your late-payment penalty for underpayment of estimated tax. 
  Use Penalty Worksheet 2 to figure your late-payment penalty for underpaid tax.
           You must follow the instructions in order to properly complete the penalty worksheets.
  20  Enter the amount and the date of each payment you made. Include any credit(s) carried forward from a prior year.                                     See instructions. 
                                                       
                Amount                     Date paid                 Amount                            Date paid                         Amount              Date paid
        a   ____________ 100           _04 _/_17 _/_2023_ _ _     e ____________ 300                 _09 _/_04 _/_2024_ _ _       i  ____________        _ _/_ _/_ _ _ _
        b   ____________ 200           _06 _/_19 _/_2023_ _ _     f ____________                     _ _/_ _/_ _ _ _              j  ____________        _ _/_ _/_ _ _ _
        c   ____________ 750           _09 _/_15 _/_2023_ __   g    ____________                     _ _/_ _/_ _ _ _            k    ____________        _ _/_ _/_ _ _ _
        d   ____________ 250           _12 _/_19 _/_2023_ _ _  h    ____________                     _ _/_ _/_ _ _ _              l  ____________        _ _/_ _/_ _ _ _

                                                 Number of days late   Penalty rate
   Penalty rates                                              1 - 30 .............................02 
                                                            31 or more ........................10 
  Penalty Worksheet 1 — Late-payment penalty for underpayment of estimated tax - (Form IL-1120 filers  
                                                and Forms IL-1120-ST and IL-1065 filers who elect to pay pass-through entity (PTE) tax)                                                           Calculations
  If you paid the required amount from Line 16 by the payment due date on Line 11 for each quarter, do not complete this worksheet.
  21    Enter the unpaid amounts from Line 16, Quarters 1 through 4, on the first line of the appropriate quarters in Column C below.
        A               B                        C                   D                               E                       F           G                   H           I  
                       Due                     Unpaid               Payment       Balance due                               Payment      No. of          Penalty rate 
     Period            date                    amount               applied      (Col. C - Col. D)                          date         days late       (see above)  Penalty
        Qtr. 1 _04  _/_17 _/_2023_ _ _     __________422       __________100     __________ 322             _ _/_04 _/_17   _2023_ _     _____0     __________ 0      ______0.00        
                                           __________322       __________200     __________ 122             _ _/_06 _/_19   _2023_ _     _____63    __________ .10    ______20.00                   (200 x .10 = 20.00)
                                           __________122       __________750     __________ (628)            _ _/_09  _/_15   _ _2023_   _____151   __________ .10    ______12.20                   (122 x .10 = 12.20)
                                                                                                                                                                                                  
        Qtr. 2_06  _/_15 _/_2023_ _ _      __________422       __________628     __________ (206)                 _09 _/_15 _/_2023_ _ _ ____92_    __________ .10    ______42.20                   (422 x .10 = 42.20)
                                           __________          __________        __________  _ _/_ _/_ _ _ _                             _____      __________  ______ 
                                           __________          __________        __________  _ _/_ _/_ _ _ _                             _____      __________  ______ 
                                                                                                                                                                                                  
        Qtr. 3    09  _15 _/_2023_/_ _ _ _ __________422       __________206     __________ 216                   _09 _/_15 _/_2023_ _ _ _____0     __________ 0      ______0.00        
                                           __________216       __________250     __________ (34)                  _12 _/_19 _/_2023_ _ _ _____95    __________ .10    ______21.60                   (216 x .10 = 21.60)
                                           __________          __________        __________  _ _/_ _/_ _ _ _                             _____      __________  ______ 
                                                                                                                                                                                                  
        Qtr. 4 _12 _/_15 _/_2023_ _ _      __________422       __________34      __________ 388                   _12 _/_19 _/_2023_ _ _ _____4     __________ .02    ______.68                     (34 x .02 = .68)
                                           __________388       __________300     __________ 88                    _09 _/_04 _/_2024_ _ _ _____264   __________ .10    ______30.00                   (300 x .10 = 30.00)
                                           __________88        __________0       __________ 88                    _ _/_ _/_ _ _ _        _____      __________ .10    ______8.80                    (88 x .10 = 8.80)
                                                                                                                                                                                                  
  22      Add Column I, Quarters 1 through 4. This is your late-payment penalty for underpayment of estimated tax.                                                            
          Enter the total amount here and on Form IL-1120, Step 8, Line 59; Form IL-1120-ST, Step 8, Line 63;  
        or Form    IL-1065,    Step    8, Line 63.                                                     .                                                                   135.48    22__________
        You may apply any remaining overpayment from the 4th quarter in Column E above to any underpayment when figuring                                                   
        Penalty Worksheet 2, only if the payment date shown in the 4th quarter of Column F is after the original due date of the return.

  Penalty Worksheet 2 — Late-payment penalty for unpaid tax 
     23 Enter any positive amount from Line 19 on the first line of Column C below.
        A               B                        C                   D                               E                       F           G                 H           I     
                       Due                     Unpaid               Payment       Balance due                               Payment      No. of    Penalty rate 
                       date                    amount               applied      (Col. C - Col. D)                          date         days late  (see above)       Penalty
    Return     _ 04 _/_15 _/_2024_ _ _     __________187       __________0       __________     187               _ _/_     _/_ _ _ _    _____      _____  .10  __________18.70                     (187 x .10 = 18.70)
                                           __________          __________        __________  _ _/_ _/_ _ _ _                             _____      _____       __________ 
                                           __________          __________        __________  _ _/_ _/_ _ _ _                             _____      _____       __________ 
                                           __________          __________        __________  _ _/_ _/_ _ _ _                             _____      _____       __________ 
  24    Add Column I. This is your late-payment penalty for unpaid tax. 
        Enter the total amount here and on Step 5, Line 28.                                                                                              24     ___________18.70

IL-2220 Instructions (R-12/23)                                                                                                                                                                                      Page 10 of 10