The state’s residents paid over $8,300, which was 18.5 percent more than the national average.
Illinois had the 10th-highest state and local tax collections per person in fiscal 2023, according to a tax policy nonprofit.
State residents paid an average of $8,339 per capita that year, $1,301 over the national average, data from the Tax Foundation show.
High taxes weigh heavily on households and business competitiveness. Just over 58% of Illinois voters rank taxes as one of the state’s top two issues.
Illinois is losing more residents to other places in the country than virtually any other state, ranking third-worst in the country in losses from domestic migration. In the year ending July 1, 2025, more than 40,000 residents moved to other states, with eight of 11 metro areas and more than half the counties in Illinois seeing net outmigration.
Not just residents leave. From 1994 to 2023, Illinois lost over 2,600 businesses, according to federal data, with the highest numbers in the most recent of those years.
Many industries have shown exceptional growth in Illinois. One is construction, which has created 4,000 to 8,000 jobs in the state, in large part because of the boom in AI data centers.
Illinois faces among the highest tax burdens in the nation, businesses leaving, high unemployment and low social mobility. The state should focus on long-term reform that reins in spending and creates an environment in which businesses can thrive. That is the path to a stronger economy in Illinois.
