How Illinois Sales Tax Works
Illinois's state government imposes a 6.25% sales tax on most retail purchases. Counties, cities, and special districts can layer additional local sales tax on top — pushing combined rates to a population-weighted average of 8.87% statewide.
Chicago has one of the highest combined sales tax rates of any major U.S. city at 10.25% (state + county + city + transit).
Groceries in Illinois
Illinois eliminated its 1% state grocery tax effective January 2026; municipalities may impose their own grocery tax instead.
How Illinois Compares to Neighboring States
Sales tax on a $1,000.00 purchase in Illinois versus neighboring states, using each state's average combined rate (state + local):
| State | State Rate | Combined Rate | Tax on $1,000 | vs. Illinois |
|---|---|---|---|---|
| Illinois (here) | 6.25% | 8.87% | $88.70 | — |
| Wisconsin | 5.00% | 5.70% | $57.00 | -$31.70 |
| Iowa | 6.00% | 6.94% | $69.40 | -$19.30 |
| Missouri | 4.22% | 8.39% | $83.90 | -$4.80 |
| Kentucky | 6.00% | 6.00% | $60.00 | -$28.70 |
| Indiana | 7.00% | 7.00% | $70.00 | -$18.70 |
A negative "vs." figure means a lower sales tax bill on the same purchase. Specific addresses can vary materially from the state-wide average.
Frequently Asked Questions
What is the Illinois sales tax rate for 2026?
Illinois's state sales tax rate is 6.25% for 2026. When combined with the average local sales tax of 2.62%, most Illinois residents pay a typical combined rate of 8.87%.
How much sales tax will I pay on a $100 purchase in Illinois?
On a $100 purchase, expect approximately $6.25 in state sales tax, or about $8.87 including average local sales tax (combined 8.87%). Total cost: roughly $108.87.
Are groceries taxed in Illinois?
Illinois eliminated its 1% state grocery tax effective January 2026; municipalities may impose their own grocery tax instead.
Is sales tax calculated before or after discounts in Illinois?
Illinois follows the standard rule used by virtually all states: sales tax is calculated on the final discounted price, not the original price. If a $200 item is on sale for $150, you pay sales tax on $150. Manufacturer coupons can be treated differently in some states.
How is this Illinois sales tax estimate calculated?
The calculator applies Illinois's 6.25% state sales tax rate plus whatever local rate you enter (city + county + special districts). The default Local Rate is 0%; click a city in the table above to fill in its local portion, or look up your specific address with Illinois's Department of Revenue tool.