There’s a lot more to the new enacted law eliminating Illinois’ Grocery Tax in 2026. Local Goverments can now impose their own 1% tax in home rule communities, along with other sales tax increases.
Governor J.B. Pritzker announced Monday he signed House Bill 3144, touting relief the measure will bring with “inflation cooling off.” But, it doesn’t go into effect until January 1st of 2026. The measure does other things, like allowing local governments to impose a grocery tax and increase other sales taxes and not through voter referendum but through ordinance. That takes effect immediately. Republican State Senator Don DeWitte said the legislature had a chance to benefit taxpayers by backfilling the revenue for local governments with other taxes the state already collects, but it decided to shift the tax burden to local governments.
DeWitte said he knows some local elected officials were happy the Grocery Tax elimination is put off until 2026 so they can get through next year’s municipal elections without having to tackle the issue.
Story from Illinois Radio Network
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