Illinois Sales Tax Changes

Illinois sales tax change

Effective July 1, 2025, certain taxing jurisdictions have imposed a local sales tax or changed their local sales tax rate on general merchandise sales. The following taxes are affected:

  • Business district sales tax;
  • County public safety, public facilities, mental health, substance abuse, or transportation sales tax;
  • County school facilities sales tax;
  • Home rule municipal sales tax; and
  • Non-home rule municipal sales tax.

These local sales taxes are referred to as “locally imposed sales tax.”

You must adjust your cash register and any computer program so that beginning on July 1, 2025, you will  collect and pay the correct sales tax. You may need to contact your software vendor if you use software to  create your forms.

To verify your new combined sales tax rate (i.e., State and local sales taxes), go to the MyTax Illinois Tax Rate Finder at mytax.illinois.gov and select rates for July 2025.

 

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