There are about a million restaurants to choose from! If you are looking for casual touristy types you can't go wrong with Ed Debevicks or Gino's East. For upscale Italian, I love Trattoria no 10.
There are some dinner theatre packages I think, but honestly have never done them.
A great dinner show is Tommy's Gun Garage. It's a speakeasy/gangster type. Great food, great show. I'm not sure how old your kids are, so this one might need some research.
If you're willing to drive about 45 minutes outside the city, Medieval Times is FANTASTIC. It's in Schaumburg. The show is in an arena and they put on a whole show of knights jousting etc. the meal is "traditional" served without utensils etc. your waitresses are wenches. Good times. My family LOVES this.