Over 250 new laws went into effect on Jan. 1, 2026. The Illinois Senate President’s Office has curated a roster and description of those new laws ranging from bans on discriminatory use of artificial intelligence in the workplace (House Bill [HB] 3773) to employee privacy and procedures when employers receive “No-match” letters from federal agencies. Combined, the bills passed and signed into law during the first half of the 104th General Assembly represent a broad legislative effort to modernize state laws; improve public welfare; and address emerging social, technological, and environmental challenges. The Illinois CPA Society (ICPAS) was successful in passing legislation (HB2459) creating additional pathways to licensure and enhanced mobility and permanently extending the pass-through entity SALT cap workaround (Senate Bill [SB] 1911). You can view the text of legislation from the curated roster. Read More.

 

The Illinois Department of Revenue (IDOR) has provided a curated legislative summary that outlines tax and administrative changes enacted across eight bills: HB1437, HB2755 (appearing across multiple tax categories), SB1911, SB642, HB2667, SB618, SB1441, and SB2111. Collectively, these measures expand or modify income tax credits, apportionment rules, and taxable income definitions; update sales, use, motor fuel, tobacco, telecommunications, and hotel tax provisions; revise property tax assessments, exemptions, due dates, and payment options; and introduce or amend various administrative procedures, tax amnesty programs, licensing requirements, and transportation-related tax authorities. Read More.

 

The What’s New for Illinois Income Taxes bulletin outlines updates for the 2025 individual and business income tax forms. The bulletin highlights multiple new and expanded tax credits, including the Reimagining Energy and Vehicles, Manufacturing Illinois Chips for Real Opportunity Act, Credit for Wages Paid to Returning Citizens, Illinois Gives, Advancing Innovative Manufacturing, and expanded film production incentives. Also provided are updates for 2026 withholding rules, electronic filing requirements, and procedural guidance for tax preparers and software developers.

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Effective Dec. 24, 2025, the United States Postal Service changed its postmarking of mail. A final rule published in the Federal Register specifies that postmarks reflect the date of the first automated processing—not necessarily the actual mailing date. This change eliminates the traditional mailbox rule, which assumed that a deadline was met as long as an item was properly addressed, correctly stamped, and handed over to the postal service. Going forward, if a same-day postmark is needed, taxpayers will need to go to the postal counter to get a manual postmark. These changes will also impact on end-of-year charitable contributions and postal tax filings. Read More.

 

The Illinois Power Agency provides a clear explainer on federal clean energy tax credits under the Inflation Reduction Act, noting some credits expire in 2026. These incentives apply not only to individuals and businesses but also to nonprofit organizations, which can now receive cash refunds through Elective Pay. Tax-exempt entities—including 501(c) nonprofits, schools, hospitals, and local governments—must register through the IRS Energy Credits Online portal, obtain a registration number for each eligible project, and file Form 990-T with supporting credit forms. Commonly claimed credits include solar, geothermal, battery storage, clean energy vehicles, and electric vehicle charging infrastructure. Nonprofits qualify for Elective Pay by creating an IRS clean energy account, completing pre-filing registration, obtaining registration numbers, and submitting Form 990-T. Following this process typically results in refunds worth 30% of project costs, with adders potentially raising the benefit to 70%. See IRS guidance on Elective Pay. See also Illinois Power Agency mapping H.R. 1 impact on energy credits.

 

The Office of the Illinois Attorney General (OAG) has launched a new mandatory online filing system for charitable organizations’ annual reports, requiring all nonprofits to create an account and submit filings through the portal—including Form AG990-IL, federal tax returns, and audited or reviewed financial statements. Once an organization’s account is set up, they can consult the Illinois Attorney General Charitable Trust Online Filing System and its user guide for further details. See also recorded webinar on the online filing process. Note: the ICPAS Not-For-Profit Committee has long advocated for this online filing portal on behalf of charities and their certified public accountants. ICPAS extends its appreciation to Attorney General Kwame Raoul and the OAG staff in making this online tool a reality. Read More.