Illinois Department of Revenue

        Schedule J Instructions

General Information
What is the purpose of Schedule J?
The purpose of Schedule J is to allow you to claim a subtraction on your Form IL-1120 for dividends received from a foreign 
corporation. A foreign corporation is any corporation not created or organized under the laws of the United States or any state 
or political subdivision thereof. The term “United States” includes only the 50 states and the District of Columbia.

What if I am a member of a unitary business group?
If you are a member of a unitary business group filing an Illinois combined return, you must complete one Schedule J for the 
entire group as though you are one taxpayer. U.S. Schedule C must be completed based on the dividends of all members of 
the unitary group included in the Illinois combined return.
What must I attach to Schedule J?
If you filed a federal Form
•   1120, 1120-C, 1120-F, 1120-IC-DISC, or 1120-PC, you must attach a copy of your federal Schedule C.
•   1120-L, you must attach a copy of your federal Schedule A.
•   1120-FSC, you must attach a copy of your federal Schedule F and worksheet for Line 9.
•   1120-H or 1120-POL, you must attach a copy of Page 1 of that form with details of Line 1.
Should I round?
You must round the dollar amounts on Schedule J 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.
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 the amounts brought over from your federal form are negative, enter zero on the corresponding line of your Schedule J.
In general, you should follow the instructions on the form, with the following exceptions:
Step 1, Line 1 — Do not include any amount reported on Line 6 of federal Form 1120, Schedule C, that is attributable to 
dividends eligible for deduction under IRC Section 245(a).
Step 1, Lines 2 and 3 — Do not include any amount reported on Line 7 of federal Form 1120, Schedule C, that is attributable 
to dividends eligible for deduction under IRC Section 245(a).
Step 1, Lines 4, 5, and 6 — Include dividends reported on Line 13 of federal Form 1120, Schedule C, except for amounts 
which are attributable to gain that is treated as a dividend under IRC Section 1248. 
Step 1, Lines 7, 8, and 9 —Do not include any amount reported on federal Form 1120, Schedule C, Line 14, as ordinary 
earnings of a qualified electing fund. 
Step 1, Lines 10, 11, and 12 — RESERVED 
Step 1, Lines 13, 14, and 15 — Include any foreign currency gain or loss reported on your federal Form 1120, Line 10, as 
distributions from these corporations.
Step 1, Lines 16, 17, and 18 — Determine your subtraction from the amount reported in Column A.
Step 1, Lines 19, 20, and 21 — For the definition of “captive REIT”, see IITA Section 1501(a)(1.5).
Step 1, Line 23 – Do not include on this line any amount of IRC Section 78 gross-up which you deducted federally under IRC 
Section 250(a)(1)(B)(ii).
Step 2, Lines 4, 5, and 6 — Do not include any amount reported on Line 6 or 7 of federal Form 1120, Schedule C, that is 
attributable to dividends eligible for deduction under IRC Section 245(a).
Schedule J Instructions (IL-1120) (R-12/23)                                  Printed by the authority of the state of Illinois - electronic only - one copy.