Governor Pritzker Provides $600 Million in Tax Cuts to 950,000 Illinois Working Families

13 Oct 2026

Released by Office of Governor JB Pritzker

MediaRelease.co Summary

Governor JB Pritzker and the Illinois Department of Revenue said the state’s Earned Income Tax Credit and Child Tax Credit cut taxes for about 950,000 families, saving them more than $600 million last year. Preliminary data show families claiming both credits kept an average of $1,460 in 2025. A qualifying family of four can receive up to about $2,002 in combined state credits on top of the federal EITC.

Original release

CHICAGO – Governor Pritzker and the Illinois Department of Revenue (IDOR) today announced the Illinois Earned Income Tax Credit (EITC) and the Child Tax Credit (CTC) cut taxes for approximately 950,000 families, saving hardworking Illinoisians more than $600 million on their taxes last year. According to preliminary data, in 2025, Illinois families who benefited from both credits were able to keep an average of $1,460 in their pockets.

“While Donald Trump and Congressional Republicans drive up everyday costs and give big corporations more tax breaks, Illinois is delivering more than $600 million in tax cuts to nearly 950,000 Illinois working families,” said Governor JB Pritzker. “My administration worked with the General Assembly to create Illinois’ first-ever Child Tax Credit and double the benefit, helping parents afford groceries, childcare, and the everyday costs of raising a family. While the Trump Administration puts the wealthy and well-connected first, Illinois is putting money back in working families’ pockets and giving Illinois working families more breathing room.”

Illinois Earned Income Tax Credit (EITC)

Tax YearCredit AmountAverage EITC Claimed by FamiliesNumber of Families That Claimed the CreditAverage EITC Claimed by Families with 2 DependentsNumber of Families with 2 Dependents that Claimed the Credit
TY19$395,121,935$439899,783$667227,190
TY20$359,772,160$425846,207$668203,621
TY21$378,089,802$3611,048,604$631187,579
TY22$340,427,547$455748,193$685185,324
TY23$451,049,127$479941,295$814202,689
TY24$493,600,000$508972,689$862209,449
TY25*$499,115,000$527946,326$896203,772

*Tax year 2025 is preliminary and additional families are expected to be added when the data is finalized.

Illinois Child Tax Credit (CTC)

Tax YearCredit AmountAverage CTC Claimed by FamiliesNumber of Families That Claimed the CreditAverage CTC Claimed by Families with 2 Dependents
TY24$65,500,000$160409,881$272
TY25*$134,300,000$331405,498$563

*Tax year 2025 is preliminary and additional families are expected to be added when the data is finalized.

Delivering Tax Cuts for Illinois Families

The Illinois Earned Income Tax Credit (EITC) and Child Tax Credit (CTC) provide direct financial relief to low‑and moderate‑income working families by reducing the amount of state income tax they owe, and in many cases, offering a refund. By increasing take‑home pay, these credits help Illinois households meet essential needs such as housing, childcare, and transportation, while also supporting local economies through increased consumer spending.

For tax year 2025, a family of four—a married couple filing jointly with two qualifying children—earning less than $64,430 may qualify for the Illinois EITC. In 2025, eligible families can receive up to approximately $1,430 through the state EITC, with credit amounts varying based on income and household size.

In 2024, Governor Pritzker signed Illinois’ first-ever Child Tax Credit into law providing eligible families up 20 percent of EITC. The law also doubled the amount to 40 percent of EITC, providing targeted support to families with young children. Illinois families with children under age 12 can claim a refundable credit equal to 40 percent of their Illinois EITC amount, allowing families to receive additional relief on top of the federal and state EITCs they already qualify for.

For the family of four described above, that means up to approximately $572 in additional tax relief if at least one qualifying child is under age 12—bringing the maximum combined state benefit to approximately $2,002, on top of the federal EITC.

Tax Relief for a Family of Four — Tax Year 2025

Example: A married couple filing jointly with two qualifying children, including at least one under age 12.

Tax CreditMaximum Amount
Illinois Earned Income Tax Credit$1,430
Illinois Child Tax Credit$572
Total State Tax Relief$2,002

By creating state tax cuts for families that add to federal benefits, Illinois is doubling down on of the most effective tools for helping families afford essentials and supporting economic mobility. Studies consistently show that the federal Earned Income Tax Credits strengthen financial stability for working families. Research from the Center on Budget Policy Priorities, found that that the federal EITC lifted 4.4million Americans—including 2.3 million children—above poverty in 2024. Additional studies published by the National Bureau of Economic Research link refundable tax credits to increased workforce participation and improved long‑term outcomes for children.

Expanding Outreach to Help Working Families Claim Tax Relief

In 2020, Illinois launched a targeted effort to ensure that as many families as possible took advantage of the EITC. Each year, the Illinois Department of Revenue (IDOR) identifies Illinois taxpayers who successfully claimed the federal EITC but failed to take the Illinois EIC even though they automatically qualified. Targeted taxpayers receive letters confirming their eligibility, estimating a refund amount and instructing them how to finalize their claim. Since launching the targeted initiative, Illinoisans have received an additional $26 million in tax cuts.

As Illinois Provides Tax Cuts for Working Families, Trump Leaves Them Behind

As Illinois continues to expand tax cuts for working families, the Trump Administration and Congressional Republicans have doubled down on their commitment to prioritizing the ultra-rich over working families. Some examples include:

  • abolishing the enhanced Affordable Care Act (ACA) premium tax credits, which make health care affordable;
  • proposing to abolish the federal EITC for working noncitizens who are in the country legally;
  • proposing denying refundable EITC benefits to some immigrants who live and work in the country legally;
  • expanding tax write-offs and shielding multinational corporations from additional taxes on their overseas profits.

Key details

Issued by
Office of Governor JB Pritzker
Published
13 Oct 2026
Publisher country
United States
Subject country/region
Illinois (United States)

Source: https://gov-pritzker-newsroom.prezly.com/governor-pritzker-provides-600-million-in-tax-cuts-to-950000-illinois-working-families

MediaRelease.co ID: mr01897 · Markdown

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