Illinois Department of Revenue
 
 
Rates & Penalties
 
 
 
 
 

Interest Rates

 
 

On January 1, 1994, a uniform interest rate was created. This allows us to charge interest on underpayments and pay interest on overpayments at the same rate for most taxes we administer. Interest is simple interest figured using a daily rate. The rate is reviewed twice each year — on January 1 and July 1 — and adjusted according to the underpayment rate” or the “short term rate” established under the Internal Revenue Code (IRC Section 6621).

Beginning January 1, 2004, and continuing through December 31, 2013, the rate of interest payable on overpayments and charged on underpayments is the “short term federal rate” for the first year that the overpayment or underpayment accrues interest. This is 3 percent less than the “underpayment rate”. After one year, interest will accrue on any remaining balance at the “underpayment rate”.

Beginning January 1, 2014, the use of the short term rate has been eliminated, and interest will accrue at the federal underpayment rate on all overpayments and underpayments.

Date
 Short Term 
 Underpayment Rate 
01/01/2014 - 06/30/2014   3%
07/01/2013 - 12/31/2013 0% 3%
01/01/2012 - 06/30/2013 0% 3%
07/01/2011 - 12/31/2011 1% 4%
01/01/2011 - 06/30/2011 0% 3%
07/01/2009 - 12/31/2010 1% 4%
07/01/2008 - 06/30/2009 2% 5%
01/01/2008 - 06/30/2008 4% 7%
01/01/2007 - 12/31/2007 5% 8%
07/01/2006 - 12/31/2006 5% 8%
01/01/2006 - 06/30/2006 4% 7%
07/01/2005 - 12/31/2005 3% 6%
01/01/2005 - 06/30/2005 2% 5%
07/01/2004 - 12/31/2004 1% 4%
01/01/2004 - 06/30/2004 1% 4%
07/01/2003 - 12/31/2003   5%
01/01/2003 - 06/30/2003   5%
01/01/2002 - 12/31/2002    6%
07/01/2001 - 12/31/2001   7%
07/01/2000 - 06/30/2001   9%
07/01/1999 - 06/30/2000   8%
01/01/1999 - 06/30/1999   7%
07/01/1998 - 12/31/1998   8%
01/01/1995 - 06/30/1998   9%
07/01/1994 - 12/31/1994   8%
01/01/1994 - 06/30/1994   7%
07/01/1986 - 12/31/1993   9%
01/01/1986 - 06/30/1986   10%
07/01/1985 - 12/31/1985   11%
01/01/1985 - 06/30/1985   13%
07/01/1983 - 12/31/1984   11%
01/01/1983 - 06/31/1983   16%
02/01/1982 - 12/31/1982   20%
02/01/1980 - 01/31/1982   12%
02/01/1978 - 01/31/1980   6%
02/01/1976 - 01/31/0978   7%
09/08/1975 - 01/31/1976   9%
08/01/1969 - 09/07/1975   6%

 
 
Answer Center
 
 
Quick Links
 
 
 
 
Information For
 
 
 
 
About IDOR