Schedule NB: Nonbusiness Income (2025)
Illinois · Illinois DOR · Used for tax years 2025
Illinois Schedule NB reports nonbusiness income, including interest, dividends, rental income, royalties, and capital gains or losses, showing totals everywhere and amounts allocable to Illinois. It also includes an apportionment factor worksheet for recaptured business expenses
Who files this form
Schedule NB reports nonbusiness income and is attached to Form IL-1120, IL-1120-ST, or IL-1065. The form does not give further rules about who must file it.
What you'll need
Have the following information ready to complete Schedule NB:
- Your name as shown on Form IL-1120, IL-1120-ST, or IL-1065, your federal employer identification number (FEIN), and your year-ending month and year.
- Amounts for the applicable nonbusiness income categories, including interest, dividends, rent, royalties, capital gains or losses, other income, and recaptured business expense.
- The total everywhere and the amount allocable to Illinois for each applicable category.
- For the apportionment factor worksheet, the factors from this year’s tax return, last year’s tax return, and two years ago, if applicable.
How to file
Attach Schedule NB to your Form IL-1120, IL-1120-ST, or IL-1065. Enter your name as it appears on that return and your FEIN.
The supplied form does not provide a mailing address or e-filing directions.
Common mistakes
- Do not skip reading the instructions. The form says to read them before completing Schedule NB, though they are not included in the supplied text.
- Do not skip the apportionment factor worksheet when calculating Column B, Line 11. The form says you must complete it to get the correct figure.
- Do not omit required information. The form warns that failure to provide it could result in a penalty.
Questions people ask
What is the difference between Column A and Column B?
Column A is for the total everywhere. Column B is for the amount allocable to Illinois.
When are interest and dividends allocable to Illinois?
They are allocable to Illinois if your commercial domicile was in Illinois when the interest or dividend was paid or accrued.
How do I report capital gains or losses from intangible personal property?
Use Line 9a for gains or losses other than those from sales or exchanges of shares or interests in pass-through entities. Use Line 9b for gains or losses from those pass-through shares or interests. Add Lines 9a and 9b and enter the result on Line 9. The form refers you to the instructions for Line 9b.
How does the worksheet calculate the Illinois amount of recaptured business expense?
Enter the apportionment factors from two years ago, if applicable, last year, and this year on Lines a, b, and c. Add them on Line d. If Line a has an amount, divide Line d by 3; otherwise, divide by 2. Enter that result on Line e. Use the greater of Line c or Line e on Line f. Multiply Column A, Line 11 by Line f, then enter the result on worksheet Line g and Column B, Line 11.
How do I calculate the totals on Line 12?
For each column, add Lines 1 through 8 and Lines 9 through 11.