Illinois is saying I owe them state taxes, but I didn't live or work there

[Mackenzie0313]

The Illinois Federal State Exchange is saying I owe them $10k in back taxes for not filing in 2017 and 2018. The only problem is that I wasn't living or working in Illinois for those years, I was living and working in Louisiana and I DID file those state taxes. I happened to put an IL address on my federal taxes as a mailing address, however. Seems that was my mistake. Now I am being asked to submit a Schedule CR for a state tax credit but I feel like this is unnecessary and I shouldn't need to pay any sort of delta that may occur. I do still hold an IL driver's license and was told that "unless I cut all ties to IL" this issue will continue to occur. Where do I go from here? I provided my Federal and LA state tax returns for those years already to prove that yes indeed, I paid my taxes those years.

[TomD8]

This may or may not help.  It's a document from the Illinois Bar Association about proving non-residency in Illinois:

https://www.isba.org/sites/default/files/sections/newsletter/%20June%202010_27.pdf

[Mike9241]

you can try calling the Illinois Department of Revenue to fully explain your situation and find out what needs to be done. tell them you were a full-year non-resident. 

that Illinois address and may the driver's license is probably what's creating the problem. you may be asked why you used that address and or why you have an Illinois driver's license if you weren't a resident. hope you have an answers they'll accept. did you have an LA driver's license. 

To receive assistance by phone, please call 1 800 732-8866 or 217 782-3336. Representatives are available Monday through Friday, 8 am - 5 pm. Our TDD (telecommunication device for the deaf) number is 1 800 544-5304.

you do not have to contact them yourself if you are willing to pay for others to provide help

you can use a partner of Turbotax even if you do not have Audit Defense

The Audit Defense service is provided by TaxResources, Inc., also called TaxAudit.com, in partnership with TurboTax. If you paid for Audit Defense and you received a notice, call TaxResources, Inc. at 877-829-9695, or report your notice on their website at http://intuit.taxaudit.com/. Do not contact the tax agency until you have spoken to TaxResources. They may contact them on your behalf.

or you can use a tax professional such as a CPA or lawyer

The Illinois Federal State Exchange https://www2.illinois.gov/rev/individuals/Pages/FSEU.aspx 

[SweetieJean]

Also see:

Illinois Department of Revenue - Federal State Exchange Unit (FSEU) - Individuals

[d3904887]

I'm wondering if / how you resolved this as I am having a similar issue. I put a relatives address on my federal tax return because I was in between addresses when I filed my taxes in 2020.  I don't have any "ties" in IL, unless they want me to disown my parents?

[RobertB4444]

Illinois doesn't have any way to check that someone isn't cheating on their taxes beyond using the addresses that taxpayers are using.  You didn't do anything wrong but until you prove that to them they have no way to know.

You can try filing an Illinois non-resident return showing zero income along with copies of your federal and state returns for the year in question.  Include a cover letter explaining your situation along with a copy of the letter that you received from Illinois.  Mail all of that to the Illinois department of revenue at the address shown on the letter that you received.  

@d3904887