Moving from Illinois to Florida: the tax picture
Quick answer: Illinois taxes income at a flat 4.95 percent. Florida taxes wages at zero. You file one final part-year IL return for the move year, build your Florida domicile file properly, and the savings start with your first fully Florida year.
Your last Illinois return
Schedule NR filed with your IL-1040 splits the year.
The rule that catches movers
Honest note for retirees: Illinois already exempts 401(k), IRA, pension, and Social Security income, so the move saves less if retirement income is most of your picture. Wages, business income, and investment income still swing the math hard.
The audit reality
Illinois is regularly named alongside New York and California among states that scrutinize moves to zero-tax states, especially high earners.
The domicile checklist
Florida driver license and vehicle registration, voter registration, homestead filing if you buy, new doctors and dentists, updated estate documents, and a calendar that proves where you actually slept. Your old state looks at the whole picture, so build it from day one.
The bigger picture
IRS migration data shows Illinois lost roughly $6 billion in adjusted gross income in a single recent year.
How we handle move years
Part-year and multi-state returns are a specialty here, not an upcharge surprise. One written quote covers the final IL return, the domicile file, and your first Florida-resident year plan.
Educational overview using state revenue department and IRS migration data, reviewed June 2026. Rates and rules shift; your move year gets reviewed by a real preparer.
Do I file a Illinois return for the year I move?
Yes, one last part-year return. Schedule NR filed with your IL-1040 splits the year. Income before the move date belongs to Illinois; income after belongs to Florida, which has no income tax return at all.
Will Illinois audit my move?
Illinois is regularly named alongside New York and California among states that scrutinize moves to zero-tax states, especially high earners. The defense is boring paperwork done early, and we set it up as part of your move-year return.
What does Florida tax instead?
No state income tax, no state tax on retirement income, and no estate tax. Florida raises revenue through sales and property taxes, so the homestead exemption filing matters.