Illinois Towns Move to Enact 1% Grocery Tax Before Deadline

The deadline for Illinois communities to enact a local 1% grocery tax passed on October 1, 2023, with numerous municipalities opting to implement their own taxes ahead of the statewide tax expiration. This decision allows local governments to maintain a funding source that benefits various community services.

The statewide grocery tax, established to support local municipalities, will officially end on January 1, 2024. To mitigate the impact of this loss, state lawmakers and Governor JB Pritzker provided local governments the opportunity to adopt their own grocery taxes before the deadline. Communities that chose to act by October 1 will see their local grocery taxes take effect on January 1.

City councils and village boards across Illinois needed to pass an ordinance and report their new tax structures to the Illinois Department of Revenue. As confirmed by a department spokesperson, the ordinance submissions had to be completed by October 1 to ensure implementation in the new year.

For those municipalities that did not act by the deadline, opportunities to adopt the tax will arise biannually. Local governments can submit ordinances by April 1 to begin collecting the tax on July 1, or by October 1 to start it on January 1 of the following year.

As of the October 1 deadline, a total of 646 municipalities have enacted a local grocery tax, according to records from the Illinois Department of Revenue. With Illinois consisting of 1,295 municipalities, approximately half of them will maintain this tax, ensuring continued funding for local programs and services.

List of Northern Illinois Municipalities Enacting the Tax

A significant number of towns in northern Illinois have opted to implement the tax. The following is a selection of municipalities that have reported their enactment to the Illinois Department of Revenue:

**Bureau County:**
Annawan, Dalzell, DePue, Ladd, Neponset, Oblong, Princeton, Sheffield, Spring Valley, Tiskilwa, Walnut

**Carroll County:**
Lanark, Mount Carroll, Milledgeville, Shannon

**Cook County:**
Alsip, Arlington Heights, Barrington, Bedford Park, Bellwood, and many others

**DeKalb County:**
DeKalb, Genoa, Malta, Shabbona, Sandwich, Sycamore

**DuPage County:**
Aurora, Batavia, Bloomingdale, Bolingbrook, Carol Stream, and more

**Grundy County:**
Braceville, Braidwood, Carbon Hill, Channahon, Coal City, Diamond

**Kane County:**
Algonquin, Aurora, Batavia, Burlington, Campton Hills, Carpentersville

**Kankakee County:**
Bradley, Bourbonnais, Chebanse, Grant Park, and others

**Lake County:**
Antioch, Bannockburn, Barrington, Buffalo Grove, and several more

**La Salle County:**
Dalzell, Earlville, Grand Ridge, La Salle, Leland, Mendota, Peru, Seneca, Sheridan, Streator, Utica

**Lee County:**
Amboy, Dixon

**McHenry County:**
Algonquin, Bull Valley, Cary, Crystal Lake, Fox River Grove, Harvard, Huntley

**Ogle County:**
Byron, Davis Junction, Forreston, Leaf River, Mount Morris, Oregon, Polo, Stillman Valley

**Rock Island County:**
Andalusia, Coal Valley, East Moline, Milan, Moline, Rapids City, Rock Island, Silvis

**Will County:**
Aurora, Beecher, Bolingbrook, Braidwood, Channahon, Coal City, Crest Hill, Crete

The comprehensive list of municipalities continues, reflecting a proactive approach among local governments to sustain funding mechanisms for their communities. While the statewide tax is set to expire, these local measures signify a continued commitment to local funding initiatives.

As the new grocery taxes take effect, residents in these municipalities will see the impact in various forms, from enhanced community services to improved infrastructure, reinforcing the importance of local governance in fiscal matters.