Illinois vs Florida taxes in 2026
A married couple with $400,000 in wages pays $19,510 in Illinois income tax and $0 in Florida in 2026. Property tax on the same $1,500,000 home runs $28,200 a year in Illinois and $11,700 in Florida.
State income tax for four households
Married filing jointly, 2026 brackets, deductions and credits.
| Household | Illinois | Florida | Saved each year |
|---|---|---|---|
| Dual-income couple$400,000 in wages | $19,510 | $0 | $19,510 |
| Executive household$1,000,000 in wages plus $150,000 in long-term gains | $56,925 | $0 | $56,925 |
| Retired couple$180,000 from IRAs and pensions, $80,000 of Social Security, $60,000 in gains | $2,680 | $0 | $2,680 |
| Year of a business sale$250,000 in wages plus a $3,000,000 long-term gain | $160,875 | $0 | $160,875 |
Property, retirement and estate tax
| 2026 | Illinois | Florida |
|---|---|---|
| Income tax rates | Flat 4.95% | None |
| Property tax on a $1,500,000 home | $28,200 | $11,700 |
| Average property tax rate | 1.88% | 0.78% |
| State sales tax | 6.25% | 6% |
| IRA and pension withdrawals | Not taxed | Not taxed |
| Social Security | Not taxed | Not taxed |
| Estate or inheritance tax | Estate tax on estates over $4 million, rates 0.8% to 16%. | No estate or inheritance tax. |
- Illinois doesn't tax retirement account or pension withdrawals.
Run your own numbers
Starts with the dual-income couple above. Change the income mix and home values to match yours.
Your move
You save each year
+$19,510 income tax, +$16,500 property tax
10-year difference
$360K
IL total
$48K
FL total
$12K
| 2026 | Illinois | Florida |
|---|---|---|
| Income tax | $19,510 | $0 |
| Property tax | $28,200 | $11,700 |
| Total each year | $47,710 | $11,700 |
| Income tax as a share of income | 4.9% | 0.0% |
| Top income tax rate | 4.95% | None |
- Illinois estate tax
- Estate tax on estates over $4 million, rates 0.8% to 16%.
- Florida estate tax
- No estate or inheritance tax.
Want to save or share this? Open the full State Tax Relocation Calculator.
Before you leave Illinois
- The state you live in on the day you sell stock or a business interest generally taxes the gain. Selling after you've become a Florida resident can keep a large gain out of Illinois's reach. Selling the week before the move can't.
- Real estate is taxed where it sits. Selling a Illinois rental or second home after you move still owes Illinois tax on the gain.
- Illinois can still tax income you earned there, such as pay for work done in the state and stock options that vested while you lived there. Federal law bars it from taxing your IRA, 401(k) and pension payments once you've moved.
- Make the move stick: a Florida driver's license and voter registration, a Florida home you actually live in, and most of your days spent there.
Questions
How much state income tax do you save moving from Illinois to Florida?
In 2026, a married couple with $400,000 in wages pays $19,510 in Illinois income tax and $0 in Florida. With $1,000,000 in wages plus $150,000 in long-term gains, the yearly gap is $56,925. In a year with a $3,000,000 business sale on top of $250,000 in wages, it's $160,875.
Does Florida tax retirement income and Social Security?
Florida has no income tax, so IRA withdrawals, pensions and Social Security aren't taxed. Illinois doesn't tax IRA or pension withdrawals and doesn't tax Social Security. A retired couple with $180,000 from IRAs and pensions, $80,000 of Social Security, $60,000 in gains pays $2,680 in Illinois income tax and $0 in Florida.
Is property tax higher in Florida or Illinois?
Illinois's average effective property tax rate is 1.88% and Florida's is 0.78%, so the same $1,500,000 home costs about $28,200 a year in Illinois and $11,700 in Florida.
Does Illinois or Florida have an estate tax?
Illinois: Estate tax on estates over $4 million, rates 0.8% to 16%. Florida: No estate or inheritance tax.
Figures use the Tax Foundation's 2026 state brackets and average effective property tax rates. They exclude federal tax and local income taxes. Results are estimates for informational purposes only. Consult a licensed financial professional before making financial decisions.