Do you own a business in Illinois? Here’s some helpful links and information.
![State Income Withholding Tax](https://blog.paymaster.com/wp-content/uploads/2023/06/State-Income-Withholding-1-1024x213.png)
There is state income tax in Illinois. Employers should have their employees fill out form IL-W-4.
![](https://blog.paymaster.com/wp-content/uploads/2023/08/image-10.png)
Additional information on Illinois’s income withholding tax, can be found here.
![Reciprocity Agreements](https://blog.paymaster.com/wp-content/uploads/2023/06/State-Income-Withholding-1024x213.png)
Illinois does have reciprocity agreements with Iowa, Kentucky, Michigan and Wisconsin. If any of your employees reside in one of those states they need to complete form IL-W-5-NR
![](https://blog.paymaster.com/wp-content/uploads/2023/08/image-11.png)
Additional information on Illinois’s income reciprocity agreements can be found here.
![Other Important Links](https://blog.paymaster.com/wp-content/uploads/2023/06/Other-Links-1-1-1024x213.png)