General Information
This Schedule SA (for individuals) is for use by calendar-year filers
with tax years ending on December 31, 2017, and for fiscal-year filers
with tax years ending after December 31, 2017.
The purpose of Schedule SA, Specific Accounting, is to provide a
means for calculating your income and tax at separate rates, due to
an income tax rate change during your tax year. The Schedule SA
allows you to figure your tax based on the specific accounting method.
The specific accounting method allows you to treat your net
income or loss and modifications as though they were earned in two
different taxable years.
For individuals, the amount earned prior to July 1, 2017, is taxed at
3.75 percent. The amount earned on or after July 1, 2017, is taxed at
4.95 percent. The two tax amounts are then added together to get the
total tax liability.
Do not use this schedule if your Illinois net income as
calculated on Form IL-1040, Line 9, or Schedule NR, Line 46, is zero.
Who should use Schedule SA?
You must use Schedule SA if you elect not to use the blended rate
method of computing your tax when the rate changes during your tax
year. The blended rate method taxes your income as if you received it
evenly throughout the year.
If you actually earned more of your income during the period to
which the 3.75 percent tax rate applies, electing to use the specific
accounting method on Schedule SA to determine how much of your
income is taxed at the 3.75 percent rate and how much is taxed at
the 4.95 percent rate will reduce your tax liability. The election is
made by attaching Schedule SA to your timely-filed original return.
Once the election is made, it is irrevocable.
Specific Instructions
Step 1— Personal Information
Enter your name and Social Security number, as shown on your
Form IL-1040, Individual Income Tax Return.
Step 2 — Income
Column A — For each line item, enter the amount included for the
portion of your tax year that comes before July 1, 2017, based on
your method of allocation.
Column B — For each line item, enter the amount included for the
portion of your tax year that comes after June 30, 2017, based on
your method of allocation.
All items of income, deduction and loss passed through to
you by a partnership, S corporation, trust, or estate are treated as
received by you on the last day of that entity’s taxable year.
Full-year Illinois residents: Skip Step 3, enter the amounts
from Line 9 on Step 4, Line 20, and complete the rest of the form.
Nonresidents and part-year residents: Complete Steps 3 and 4.
Step 3 — Figure your apportionment factor -
(Nonresidents or part-year residents only)
If you completed Form IL-1040, Schedule NR, Nonresident and Part-
Year Resident Computation of Illinois Tax, you must complete Step 3
to apportion business income and allocate nonbusiness income to
Illinois appropriately.
Line 10 — Enter the amount of nonbusiness income or loss
included in Line 9. The amount of nonbusiness income is represented
in the amounts shown on your Schedule NR, Steps 3 and 4, Column A.
Line 11 — Enter the amount of business income or loss from
non-unitary partnerships, partnerships included on a Schedule UB,
S corporations, trusts, or estates, as shown on your Schedule NR,
Steps 3 and 4, Column A.
Lines 14 through 16 — If your entry on Line 13 of both Column A
and Column B is zero, skip to Line 18. Otherwise, enter the amounts
calculated on the Business or Farm Income Apportionment Formula
(IAF) Worksheet in the Schedule NR instructions.
Line 18 — Enter the amount of nonbusiness income or loss
included in Line 9 allocated to Illinois on your Schedule NR, Steps 3
and 4, Column B.
Line 19 — Enter the amount of business income or loss
apportionable to Illinois from non-unitary partnerships, partnerships
included on a Schedule UB, S corporations, trusts, or estates, as
reported to you on Schedules K-1-P, Partner’s or Shareholder’s
Share of Income, Deductions, Credits, and Recapture, or
Schedules K-1-T, Beneficiary’s Share of Income and Deductions,
Steps 4 and 5, and included in Column B of your Schedule NR.
Step 4 — Net income and tax
Line 20 — Follow the instructions on the form.
Line 21 — Prorate your exemption allowance between the two
separate tax periods based on the number of days in each tax period.
• Divide the number of days in each tax period by the total
number of days in the tax year.
• Round the result to six decimal places.
• Multiply the decimal by the total exemption allowance. See
Form IL-1040, Line 10 or Schedule NR, Line 50 for your total
exemption allowance amount.
The sum of Column A and Column B cannot exceed your
total exemption allowance amount.
Line 22 — Follow the instructions on the form.
The total from Must equal the amount on
Columns A and B
Line
20 Form IL-1040, Line 9 or Schedule NR, Line 46
21 Form IL-1040, Line 10 or Schedule NR, Line 50
22 Form IL-1040, Line 11 or Schedule NR, Line 51
Line 23 — Before completing this line, determine if Column B,
Line 22 is zero, a positive number, or a negative number and follow
the instructions below.
If Column B, Line 22 is negative:
• enter zero in Column B, Line 23, and
• enter in Column A, Line 23, the result of adding Column B,
Line 22, plus Column A, Line 22.
If both Column A, Line 23, and Column B, Line 23 are
negative, you have no tax liability to calculate. Do not use this schedule.
If Column B, Line 22 is positive or zero:
• enter Column A, Line 22, in Column A, Line 23, and
• enter Column B, Line 22, in Column B, Line 23.
If Column A, Line 23, is negative or zero, using Schedule SA
instead of using the blended rate will result in a higher tax liability.
Do not use this schedule.
Lines 24 and 25 — Follow the instructions on the form.
Attach this form directly behind your Form IL-1040, as
Attachment No. 1. This attachment supersedes all other attachments.
IL-1040 Schedule SA Instructions (R-12/17)
Printed by authority of the State of Illinois - Web only
Illinois Department of Revenue
Schedule SA Instructions (IL-1040)
