in part - from Illinois 1040 instructions Line 5
Social Security benefits and certain retirement plans - subtraction
Enter the amount of retirement
income included in your adjusted gross income on Form IL-1040,
Line 1 that you received from
• Individual Retirement Accounts or self-employed retirement
plans reported on federal Form 1040, Line 15b, or Form 1040A,
Line 11b.
the federal taxable portion of an RMD from an inherited IRA would be reported on one of these lines. therefore, if included in line 1 of Illinois 1040 it would be eligible for subtraction
