Illinois DOR Releases Addendum to IL 1040, Schedule M Individual Income Tax Instructions

The Illinois Department of Revenue (DOR) Jan. 1 released an addendum to the instructions for the individual income tax Form IL-1040, Illinois Income Tax Return, and Schedule M, Other Additions and Subtractions for Individuals. The instructions are for taxpayers who received a discharge of indebtedness attributable to student loan forgiveness that wasn’t excluded from the taxpayer’s federal adjusted gross income (FAGI) for tax years 2021 and 2022. The instructions include that: 1) if a taxpayer has filed their Form IL-1040 for 2021 or 2022 they must file a IL-1040-X, Amended Illinois Income Tax Return, and include Schedule M; 2) if ...