2026 tax year · Illinois

Services and task work taxes in Illinois

TaskRabbit, Rover, Upwork and the rest report your gross and withhold nothing. The gap between that and what you are actually taxed on is mileage, in Illinois that gap is worth $2,363 in tax.

Take a driver who grossed $34,000 over 18,000 business miles. After mileage at 74.3 cents and the rest of the stack, worked through on the services and task work page $9,030 comes off and $24,970 is left as taxable profit. That profit is what Illinois and the IRS charge against.

What that leaves you owing in Illinois

Illinois taxes income at a flat 4.95% for 2026, applied on top of federal income tax and self-employment tax.

Self-employment tax$3,528
Federal income tax$568
Illinois income tax$1,149
Total tax$5,245
Effective rate on gross15.4%

Earning more in Illinois

A single filer taking the standard deduction, standard mileage method, this work as the only income, the calculator above handles the other filing statuses. Miles rise with earnings, so the deduction rises too, and the effective rate on gross climbs more slowly than it would for someone whose income grew without expenses attached:

VolumeGrossMileage offTaxable profitIllinois taxTotal taxRate on gross
Part-time $11,000 $1,485 $9,515 $438 $1,782 16.2%
Steady side income $34,000 $4,455 $29,545 $1,359 $6,442 18.9%
Full-time $55,000 $7,425 $47,575 $2,189 $11,362 20.7%

Switching state opens that state's page.

Enter your numbers and press Calculate to see your 2026 estimate.

Working across an Illinois line

Services income is sourced to where the work was physically done. A job over the line can create a filing obligation in that state even for a single afternoon, and reciprocity agreements do not help, they cover wages paid by an employer, not self-employment income.

On $24,970 of profit, what the states around Illinois would charge:

StateIts taxvs Illinois
Indiana $737 −$499
Kentucky $874 −$362
Iowa $949 −$287
Wisconsin $970 −$266
Missouri $1,028 −$208

Services and task work tax questions in Illinois

How much should an Illinois contractor set aside?

About 15.4% of gross on the $34,000 example, $5,245 across self-employment tax, federal income tax and $1,149 to Illinois. Set aside from each payout rather than finding it in April.

Does the $34,000 on my 1099-NEC match what Illinois taxes?

No. Illinois taxes profit, not gross. After $9,030 of deductions the taxable figure is $24,970, so the Illinois bill is $1,149 rather than what gross alone would suggest.

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