Prairie State Wire

Illinois tax collections increased in the first quarter of fiscal year 2026, according to a report from the Commission on Government Forecasting and Accountability (CGFA). The report shows that personal income tax, sales tax, and death tax receipts contributed to the overall growth compared to the same period last year.

Personal income tax receipts rose by $258 million, marking a 3.7% increase. Sales tax collections were up by $181 million, a 6.3% rise. Death tax receipts saw the largest percentage increase, climbing by $66 million or 45.5%.

However, corporate income tax collections declined by $270 million, representing an 18.9% decrease from the previous year.

Despite this drop in corporate taxes, total state tax receipts still grew by $171 million or 1.4%. Other state revenue sources also saw a significant increase of $235 million, which is a 55.8% rise. This led to total state receipts increasing by $406 million year-over-year, a 3.2% gain.

Federal funds allocated to Illinois rose as well, with an increase of $125 million or 13.7%. When combined with state revenue sources, total federal and state revenues climbed by $531 million for a 3.9% increase.

The fiscal year in Illinois runs from July through June; the first quarter covers July 1 to September 30.