Illinois Sales Tax Calculator

Calculate 2026 sales tax for Illinois using the combined 8.74% rate (state + average local).

✓ Illinois Specific✓ 8.74% Rate✓ Updated 2026

The price of the item in Illinois before tax.

Combined state + average local rate, 2026 data.

Illinois Example: A $500.00 purchase at the 8.74% rate results in $43.70 in sales tax, for a total of $543.70.

How Illinois Sales Tax Works

Illinois uses a combination of state and local taxes. The state-level rate is 6.25%. On top of this, most counties and cities in Illinois levy their own taxes, which average out to 2.49% statewide. When you shop in Illinois, you pay the combined rate at the point of sale.

Filing and Remittance

If you are a business owner selling in Illinois, you are responsible for collecting this 8.74% tax from your customers and remitting it to the Illinois Department of Revenue. Failure to do so can result in significant penalties and interest.

For informational purposes only. Tax rates change frequently — verify with your state's Department of Revenue before filing. This tool is not a substitute for professional tax advice.

· Rates verified quarterly from the Tax Foundation and state Departments of Revenue.

M. Imtinan Farooq

Expertly reviewed by M. Imtinan Farooq, Data Engineer & Finance Analyst

Imtinan is a Data Engineer with a specialized focus on Financial Systems and multi-state tax modeling. You can connect with him and verify his professional background on LinkedIn. Our 2026 data is audited quarterly against the latest Tax Foundation and Department of Revenue publications.

Verified Data Sources: Tax Foundation · State DORs · Canada Revenue Agency · EU VAT Database

2026 sales tax rates by state

Select a state to see its detailed 2026 sales tax calculator and formula.

StateState RateAvg. LocalCombined
Alabama4.00%5.24%9.24%
Alaska0.00%1.76%1.76%
Arizona5.60%2.77%8.37%
Arkansas6.50%2.93%9.43%
California7.25%1.57%8.82%
Colorado2.90%4.82%7.72%
Connecticut6.35%0.00%6.35%
Delaware0.00%0.00%0.00%
Florida6.00%1.05%7.05%
Georgia4.00%3.37%7.37%
Hawaii4.00%0.44%4.44%
Idaho6.00%0.02%6.02%
Illinois6.25%2.49%8.74%
Indiana7.00%0.00%7.00%
Iowa6.00%0.94%6.94%
Kansas6.50%2.20%8.70%
Kentucky6.00%0.00%6.00%
Louisiana4.45%5.10%9.55%
Maine5.50%0.00%5.50%
Maryland6.00%0.00%6.00%
Massachusetts6.25%0.00%6.25%
Michigan6.00%0.00%6.00%
Minnesota6.88%0.58%7.45%
Mississippi7.00%0.07%7.07%
Missouri4.22%4.10%8.33%
Montana0.00%0.00%0.00%
Nebraska5.50%1.46%6.96%
Nevada6.85%1.38%8.23%
New Hampshire0.00%0.00%0.00%
New Jersey6.63%0.00%6.63%
New Mexico5.00%2.73%7.73%
New York4.00%4.52%8.52%
North Carolina4.75%2.22%6.97%
North Dakota5.00%1.85%6.85%
Ohio5.75%1.48%7.23%
Oklahoma4.50%4.47%8.97%
Oregon0.00%0.00%0.00%
Pennsylvania6.00%0.34%6.34%
Rhode Island7.00%0.00%7.00%
South Carolina6.00%1.43%7.43%
South Dakota4.20%1.90%6.10%
Tennessee7.00%2.55%9.55%
Texas6.25%1.95%8.20%
Utah4.85%2.21%7.06%
Vermont6.00%0.24%6.24%
Virginia4.30%1.33%5.63%
Washington6.50%2.72%9.22%
Washington D.C.6.00%0.00%6.00%
West Virginia6.00%0.39%6.39%
Wisconsin5.00%0.44%5.44%
Wyoming4.00%1.36%5.36%

Frequently asked questions

Quick answers to the most common questions users ask.

Why is the Illinois grocery tax 1% instead of the full rate?
Illinois is unique in that it applies a reduced 1% state rate to \"qualifying food\" (groceries intended to be consumed off-premises). While most states either tax groceries at the full rate or exempt them entirely, Illinois maintains this low 1% rate. However, \"non-qualifying\" food—such as candy, soft drinks, and hot prepared meals—is subject to the full combined sales tax rate, which can exceed 10% in cities like Chicago. Source: Illinois Department of Revenue
What is the sales tax rate in Chicago for 2026?
Chicago consistently has one of the highest sales tax rates in the United States. As of 2026, the combined sales tax rate in Chicago is 10.25%. This is a mix of the 6.25% state rate, a 1.25% Chicago home rule tax, a 1.75% Cook County tax, and a 1.00% Regional Transportation Authority (RTA) tax. This high rate makes the 1% grocery tax and other exemptions particularly valuable to residents. Source: Illinois Tax Rate Finder
Is Illinois an origin-based or destination-based state?
Illinois is notoriously complex because it uses a mixed sourcing system. For in-state retailers, sales tax is generally origin-based (based on the seller's location). However, for out-of-state remote sellers, the tax is destination-based (based on the buyer's delivery address). This \"Leveling the Playing Field\" legislation ensures that out-of-state sellers collect the same local taxes as local brick-and-mortar shops, but the rules for determining the exact rate depend heavily on the seller's physical presence. Source: Illinois Bulletin FY 2021-02
Does Illinois tax Software as a Service (SaaS)?
Generally, Illinois does not tax cloud-based SaaS if the customer never takes possession of the software. Illinois considers the \"transfer of tangible personal property\" to be the trigger for sales tax. If the software is accessed purely through a browser and no \"API\" or \"thick client\" is downloaded, it is usually exempt. However, the City of Chicago imposes its own 9% Personal Property Lease Transaction Tax on many cloud services and data processing activities, which applies even if the state-level sales tax does not. Source: City of Chicago - Lease Tax Guide
🏛️ IRS Official⚖️ SCOTUS Cited📊 Tax Foundation

Official Sources & Citations

All rates, thresholds, and regulatory guidance cited on this page are sourced from official government publications and non-partisan research institutions.

Federal & National Sources

🏛️

IRS Sales Tax Calculator

The official Internal Revenue Service tool for determining deductible state and local sales tax for federal income tax purposes.

irs.gov
📊

U.S. Census Bureau

Official government repository for quarterly state and local tax revenue statistics and government finance data.

census.gov
⚖️

Supreme Court — Wayfair Decision

The official government opinion for South Dakota v. Wayfair, Inc., establishing modern economic nexus standards for remote sellers.

supremecourt.gov
💼

SBA Business Tax Guide

Official Small Business Administration guidance on understanding federal and state tax obligations for small business owners.

sba.gov
🤝

Streamlined Sales Tax Board

The official inter-governmental organization facilitating the simplification of sales tax administration across 24 member states.

streamlinedsalestax.org

State Departments of Revenue

🌴

California CDTFA

Official CA tax rates portal, address-specific lookup tools, and district tax publications.

cdtfa.ca.gov
🤠

Texas Comptroller

The official Texas sales tax rate locator, local jurisdiction database, and nexus guidance.

comptroller.texas.gov
🍎

New York Tax & Finance

Official NY jurisdiction lookup for combined state, local, and MTA rates, and clothing exemptions.

tax.ny.gov
☀️

Florida Dept. of Revenue

Official FL resource for state sales tax rates, county surtaxes, and annual tax holidays.

floridarevenue.com
🏙️

MyTax Illinois

Official Illinois Department of Revenue portal for address-based tax rate lookups and filings.

tax.illinois.gov
🔔

Pennsylvania Revenue

Official PA portal for sales, use, and hotel occupancy tax rates and regulatory guidance.

revenue.pa.gov
🔍

Ohio 'The Finder'

Official Ohio Department of Taxation tool for looking up rates by address, ZIP, or GPS coordinates.

tax.ohio.gov
🍑

Georgia Dept. of Revenue

Official Georgia sales and use tax rate charts and local jurisdiction tax distribution data.

dor.georgia.gov
⛰️

North Carolina DOR

Official NCDOR portal for state, local, and transit tax rates by county and jurisdiction.

ncdor.gov
🚗

Michigan Treasury

Official Michigan Department of Treasury resources for the statewide 6% sales and use tax.

michigan.gov

TaxesLedger is an independent educational tool. We are not affiliated with any government agency. Rates are verified quarterly; always confirm with your jurisdiction's official Department of Revenue before filing. Last verification: May 15, 2026.

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