Moving from Illinois
About 297,000 people left Illinois for other states in 2023, while about 204,000 arrived.
- That is a net loss of about 93,000.
- The exit paperwork is mostly tax and property.
- You file a part-year return for the year you move.
- In Cook County, the Homeowner Exemption renews automatically.
- If you keep the house, it does not switch itself off.
- This page covers every Illinois-origin route we track.
Illinois at a Glance
Taxes
Climate
Humid continental with cold winters and hot, humid summers.
Cost of Living
Why People Move from Illinois
Census ACS 2023 flows put Indiana first at about 29,400, then Florida at about 27,100 and Wisconsin at about 26,900.
- Texas took about 24,200, California about 22,000, and Missouri about 15,300.
- Every one of those states took more people from Illinois than it sent back.
- Indiana is the most lopsided: it sent about 11,600 the other way.
- Missouri is close to even at about 15,000.
Property tax is the standout number.
- The Tax Foundation puts the effective rate on owner-occupied housing at 1.88 percent, tied with New Jersey for the highest in the country.
- The state income tax is a flat 4.95 percent, and the state sales tax is 6.25 percent.
- Local add-ons bring the average combined sales tax rate to 8.96 percent.
- The MERIC cost of living index for the first quarter of 2026 put Illinois at 95.1, ranked 24th, with housing at 84.7.
Popular Routes Moving from Illinois
Before You Leave Illinois
File a part-year IL-1040 with Schedule NR
For the year you move, file Form IL-1040 with Schedule NR. Illinois taxes all income you received while you lived here. After you move, it taxes only income from Illinois sources. On Schedule NR, enter the dates you lived in Illinois and in your new state. If your new state also taxed income you earned as an Illinois resident, you may get a credit on Schedule CR.
Source: Illinois Department of Revenue, Schedule NR InstructionsRent from a house you kept stays taxable
After you move, keep reporting net income from real estate located in Illinois on Schedule NR. If you sell Illinois real estate, report that gain too. Illinois does not tax a nonresident on nonbusiness gains from intangibles, such as stock.
Source: Illinois Department of Revenue, Schedule NR InstructionsIn Cook County, remove a homestead exemption you no longer qualify for
You can get a homestead exemption only on your main residence. If the house is no longer your main residence, apply to the Cook County Assessor to remove the exemption. The Assessor audits exemptions. If you kept one you were not entitled to, it bills the tax, interest, and penalties. It can also put a lien on the property.
Source: Cook County Assessor, Erroneous ExemptionsReport the sale if you sell the car before you move
If you sell your vehicle, tell the Secretary of State. Do it at a DMV, or mail the Seller's Report of Sale form. Until the record changes, emissions test notices keep coming to you.
Source: Illinois Air Team (Illinois EPA), FAQsIllinois does not issue clearance letters
Your new state may ask for proof that your Illinois license is valid. Illinois stopped issuing clearance letters in 1997. Other states check your record through the Problem Driver Pointer System. If your new state still wants written proof, order a copy of your Illinois driving record.
Source: Illinois Secretary of State, Drivers FAQDestroy your FOID card if it is revoked after the move
A FOID card can be revoked when the holder no longer lives in Illinois. If yours is revoked for that reason, destroy the card. Follow the firearm laws of your new state.
Source: Illinois State Police, Office of Firearms Safety FAQsIllinois DMV & Registration
Your new state sets the deadline for its license and plates.
- If it asks for a clearance letter, note that Illinois stopped issuing them in 1997.
- States check your record through the Problem Driver Pointer System, and you can order a copy of your Illinois driving record if one still asks for paper.
- If you sell the car before you go, tell the Secretary of State at a DMV or mail the Seller's Report of Sale.
- Until you do, emissions test notices keep coming to you.
Frequently Asked Questions
Do I have to file an Illinois tax return after moving out?
Yes, for the year you move.
- File Form IL-1040 with Schedule NR as a part-year resident.
- Illinois taxes all income you received while you lived here.
- After the move it taxes only income from Illinois sources.
- Enter the dates you lived in Illinois and in your new state on Schedule NR.
- If your new state also taxed income you earned as an Illinois resident, you may claim a credit on Schedule CR.
I kept my Illinois house as a rental. What do I owe?
Keep reporting net income from Illinois real estate on Schedule NR each year.
- If you sell the house, report the gain too.
- Illinois does not tax a nonresident on nonbusiness gains from intangibles, such as stock.
- Also check the property tax bill.
- A homestead exemption applies only to your main residence.
- In Cook County the Homeowner Exemption renews automatically, so ask the Assessor to remove it.
- The Assessor audits exemptions and can bill back taxes, interest, and penalties, and record a lien.
What happens to my Illinois license plates when I move?
Your new state issues its own plates on its own deadline.
- The Secretary of State pages we checked do not say whether to return or destroy Illinois plates.
- To ask, call the Secretary of State at 217-785-3000 from outside Illinois.
- If you sell the car instead, report the sale to the Secretary of State so the record and the emissions test notices stop following you.
I am moving to Wisconsin but will keep my Illinois job. Who taxes my wages?
Illinois has reciprocal agreements with Iowa, Kentucky, Michigan, and Wisconsin.
- If you live in one of those states, Illinois does not tax wages, salaries, tips, and commissions from an Illinois employer.
- Give your employer Form IL-W-5-NR so it stops withholding Illinois tax.
- Tell your employer within 10 days of the move.
- If Illinois tax was still withheld, file Form IL-1040 and Schedule NR to get a refund.
- You must also file if you had other Illinois income, such as rent from a house you kept.
Where do people move when they leave Illinois?
Using Census ACS 2023 state-to-state flows: Indiana (about 29,400), Florida (about 27,100), Wisconsin (about 26,900), Texas (about 24,200), California (about 22,000), and Missouri (about 15,300).
- Each of those states took more people from Illinois than it sent back.
- Missouri was the closest to even.
What happens to my FOID card when I leave Illinois?
A FOID card can be revoked when the holder no longer lives in Illinois.
- The Illinois State Police say that if your card is revoked for that reason, destroy it.
- Then follow the firearm laws of the state where you now live.