Illinois Electronic Payment Changes

Effective October 1, 2010, the mandated threshold for making electronic payments to the Illinois Department of Revenue (IDOR) will be reduced from $200,000 to $20,000, on an annual basis, for most “business” taxes, including Illinois withholding taxes and sales tax.

There is an annual look-back to the previous calendar year (2009) in order to determine the $20,000 threshold. IDOR is supposed to have sent letters to the organizations that are affected.

Effective January 1, 2011, the mandated threshold for making electronic payments for Withholding Income Tax will be reduced from $20,000 to $12,000.

This information was reported on http://tax.illinois.gov.

By Maria Solis, CPA, Partner, msolis@legacycpas.com