PB NewsBlog

No More State Grocery Tax—But Is Your Town Picking Up the Tab?

Written by Ashley Trabaris | Jun 19, 2025 7:15:00 AM

The statewide Illinois grocery tax (1% sales tax on food items) is set to expire 1/1/2026. However, local municipalities are able to implement a local 1% grocery tax. The revenue from the statewide tax went exclusively to local governments - these local governments will now need to cut spending or raise municipal taxes to cover the shortfall.

What does this mean for me? The state 1% is going away, but if your municipality passed a local 1% tax, there will be no change to what you are currently paying at the store. Municipalities have until October 1, 2025, to pass a tax but, and as of June 4th, over 200 municipalities have already done so. These local taxes do not require a vote, with many towns asserting that the revenues are necessary for their budget, since the tax was previously established.

Some nearby towns that have enacted their own local tax, which are set to go into effect when the statewide 1% rate expires, are listed below by county (as of June 4th, 2025). If a municipality is located in multiple counties, all are impacted by this change as it is set at the municipality level rather than the county level. Below is the main county of that municipality for ease of searching:

Cook County:

Alsip Hoffman Estates
Bedford Park Justice
Berwyn Lagrange Park
Blue Island Lyons
Bridgeview Markham
Buffalo Grove Melrose Park
Burbank Morton Grove
Chicago Heights Norridge
Cicero Oak Lawn
Crestwood Palatine
Deer Park Park Ridge
Des Plaines Prospect Heights
East Dundee Richton Park
Elk Grove Village River Forest
Evergreen Park Rolling Meadows
Forest View Schaumburg
Glencoe South Barrington
Harwood Heights Stickney
Hickory Hills Wheeling
Hinsdale  

DuPage County:

Batavia
Carol Stream 
Clarendon Hills
Downers Grove
Glen Ellyn
Westmont
Wheaton
Woodridge

Kane County:

Algonquin
Burlington
Elburn
Hampshire
Huntley
Montgomery
North Aurora
Pingree Grove
South Elgin
Sugar Grove

Lake County:

Bannockburn
Barrington
Grayslake
Hainesville
Hawthorn Woods
Highwood
Kildeer
Lake Zurich
Park City

McHenry County:

Bull Valley
Marengo
Spring Grove
Wonder Lake

Will County:

Crete
Shorewood
Wilmington

A full list of counties that have municipalities who enacted a tax:

Adams Jackson Montgomery
Brown Jefferson Morgan
Bureau Jo Daviess Moultrie
Carroll Kane Ogle
Champaign Kendall Peoria
Christian Knox Perry
Clay La Salle Piatt
Clinton Lake Pike
Coles LaSalle Randolph
Cook Lee Richland
Cumberland Livingston Rock Island
DeKalb Logan Saline
DeWitt Macon Sangamon
Douglas Macoupin St Clair
DuPage Madison Tazewell
Fayette Marion Union
Ford McDonough Vermilion
Franklin McHenry Wabash
Greene McLean Wayne
Grundy Menard Whiteside
Henry Mercer Will
Iroquois Monroe Williamson

In terms of reporting for sellers of food items in these towns, IDOR has not yet released guidance on what would be required. More information will be sent out what it becomes available.

Please reach out to your Porte Brown team member with any questions you may have.