The property tax surprise. Illinois' 4.95% flat rate beats Georgia's 5.49%, but property tax reverses everything. At $100,000 income: Illinois $4,950 vs Georgia $5,490—IL saves $540/year on income tax. BUT Illinois has 2nd-highest property tax (2.08%) vs Georgia (0.87%). On $400K home: IL pays $8,320 property tax vs GA $3,480—GA saves $4,840/year. Total at $100K + $400K home: Georgia saves $4,300 annually. Atlanta's boom (16 Fortune 500 HQs, film industry) plus lower cost of living makes Georgia attractive despite higher income tax rate.

By Daniel, Founder of CountryTaxCalc

Daniel has spent 5+ years researching tax systems across 95+ countries and all US states to make tax comparison accessible to everyone. For corrections, contact us.

Last Updated: April 2026

The Big Picture

🌽 Illinois

4.95%

Flat Tax

Flat rate + high property

🍑 Georgia

5.49%

Flat Tax

Changed to flat 5.49% in 2024

Typical Annual Savings

At $100,000 income:

-$540 income / +$4,920 property

That is Complex—see breakdown back in your pocket!

Tax Savings by Income Level

IncomeIL TaxGA TaxSavings10-Year
$50,000 $2,475$2,745IL saves $270 (income only)$2,700
$75,000 $3,713$4,118IL saves $405 (income only)$4,050
$100,000 $4,950$5,490IL saves $540 (income only)$5,400
$150,000 $7,425$8,235IL saves $810 (income only)$8,100
$250,000 $12,375$13,725IL saves $1,350 (income only)$13,500
$500,000 $24,750$27,450IL saves $2,700 (income only)$27,000
💡

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Illinois Pros and Cons

✅ Pros

  • Lower income tax (4.95% vs GA 5.49%)
  • Chicago: world-class city, Fortune 500 HQ capital of Midwest
  • Strong finance/healthcare/manufacturing sectors
  • Public transit in Chicago (no car needed)

❌ Cons

  • 2nd-highest property taxes nationally (2.08% avg)
  • $140B pension crisis threatens future tax increases
  • Population decline (-104K in 2021-2022)
  • Brutal winters and high heating costs

Georgia Pros and Cons

✅ Pros

  • Much lower property tax (0.87% vs IL 2.08%)
  • Atlanta: 16 Fortune 500 HQs, booming film/tech industry
  • Milder winters and lower heating costs
  • Phasing down to 4.99% by 2029

❌ Cons

  • Higher income tax (5.49% vs IL 4.95%)
  • Atlanta traffic among worst nationally
  • Hot, humid summers
  • Car-dependent (Atlanta sprawl)

Frequently Asked Questions

Q: Wait—Illinois has lower income tax than Georgia?

Yes! Illinois 4.95% flat beats Georgia 5.49% flat. At $100K income: IL $4,950 vs GA $5,490—IL saves $540/year on income tax alone. BUT property tax reverses this. Illinois has 2nd-highest property tax nationally (2.08% average) vs Georgia 0.87%. On $400K home: IL pays $8,320/year property tax vs GA $3,480—GA saves $4,840/year. Total burden at $100K + $400K home: IL pays $13,270 (income + property) vs GA $8,970. Georgia wins by $4,300/year despite higher income tax.

Q: How much will I really save moving from Illinois to Georgia?

At $100K income + $400K home: GA saves $4,300/year total ($540 more income tax BUT $4,840 less property tax). Over 10 years: $43,000. Atlanta metro median home $450K vs Chicago $350K (Atlanta slightly pricier), but GA property tax so low it doesn't matter. Add sales tax: IL 8.5% average vs GA 7.35%—GA saves another $575/year on $50K spending. Total GA advantage: $4,875/year at $100K + $400K home + $50K spending.

Q: Is Chicago or Atlanta better for job opportunities?

Chicago for: Finance (CME Group, Citadel), manufacturing (Boeing, Caterpillar), healthcare (Abbott, Baxter). Fortune 500 HQ count similar (Chicago 35, Atlanta 16). Salaries: Chicago $88K median vs Atlanta $79K (Chicago 11% higher). Atlanta for: Film/TV production ("Hollywood of South"), logistics (Hartsfield-Jackson hub), Coca-Cola/Home Depot/UPS HQs, tech (Microsoft, Google offices). Growth: Atlanta +1.3%/year, Chicago -0.2% (declining). Choose Chicago for peak earnings + established industries, Atlanta for growth + lower costs.

Q: What about Illinois' pension crisis?

Illinois has $140 billion unfunded pension liability—worst in US. State constitution protects pensions, limiting solutions. Many analysts expect future tax increases (income tax currently 4.95% could rise to 5.5-6% to address shortfall). This uncertainty drives outmigration (-104,000 residents 2021-2022). Georgia has no such crisis—pension systems well-funded. For long-term tax stability, Georgia is safer bet. If staying IL, expect potential tax hikes within 5-10 years.

Q: Can I work remotely from Georgia for an Illinois employer?

Yes. Establish genuine Georgia residency (GA driver's license, spend majority time in GA), and you pay Georgia taxes (5.49%), not Illinois (4.95%). At $100K: GA costs $540 MORE per year in income tax. BUT combine with property tax savings ($4,840/year on $400K home) and overall you save $4,300/year. Many Chicago remote workers move to Atlanta suburbs (Alpharetta, Johns Creek), keep Chicago salaries ($80-120K), pay GA taxes, save on property/cost of living. Optimal for remote workers with families (better weather, lower housing costs).

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