Key takeaway: Beyond the 10.5% sales tax, Chicago charges 11% to 12% on restaurant meals, 10.25% on streaming services, 17.39% on hotel stays and 15 cents per checkout bag in 2026.
Chicago layers city, county and state taxes on a lot of everyday purchases. None of them are huge on their own, and knowing them helps you budget for a night out, a subscription or a visit from family. Here is the full list.
What taxes do you pay on everyday purchases in Chicago?
| What you buy | Tax in Chicago | Notes |
|---|---|---|
| Most goods (sales tax) | 10.5% | 10.25% until August 1, 2026 |
| Groceries | 1.5% since August 1, 2026 | The state’s 1% grocery tax ended January 1; what’s left is the regional transit tax, which rose from 1.25% to 1.5% on groceries and drugs on August 1 (Illinois Department of Revenue) |
| Medicine and medical appliances | 2.5% since August 1, 2026 | The state’s 1% plus the 1.5% regional transit tax (Illinois Department of Revenue) |
| Restaurant meals and prepared food | 11%; 12% downtown | Our calculation: the 10.5% sales tax plus Chicago’s 0.5% restaurant tax, plus 1% in the McCormick Place tax district downtown |
| Bottled water | 5 cents a bottle | |
| Checkout bags | 15 cents a bag | Bring your own to skip it |
| Canned and bottled soft drinks | 3% | 9% on fountain syrup |
Source: Civic Federation, What Chicagoans Pay: A Guide to Consumer Taxes in 2026 (rates as of January 1, 2026); the August 1 transit tax increase from the Illinois Department of Revenue.
Entertainment, travel and getting around
| What you buy | Tax in Chicago |
|---|---|
| Concerts, games, movies (amusement tax) | 12% (9% city plus 3% county) |
| Streaming services and paid TV | 10.25% |
| Live cultural performances | 1% to 1.5% |
| Hotel stays | 17.39% |
| Home-sharing stays | about 23.4% |
| Parking, hourly or daily | 35.25% combined |
| Parking, monthly | 41.25% combined |
| Rideshare in the downtown congestion zone | extra $1.50 per single ride, 6 a.m. to 10 p.m. |
| Rideshare to O’Hare, Midway, Navy Pier or McCormick Place | extra $5 |
Source: Civic Federation 2026 consumer tax report.
Car, phone and utilities
| Item | Tax or fee |
|---|---|
| Gasoline | 81 cents a gallon in combined taxes |
| Diesel | 94 cents a gallon |
| City sticker, small car | $105.18 a year |
| City sticker, large car | $167.07 a year |
| Illinois plate registration | $151 a year |
| Phone and wireless service | 18.65% combined, plus a $5 monthly 911 charge per line |
| Cigarettes | $8.17 a pack in combined taxes |
Source: Civic Federation 2026 consumer tax report.
What Chicago consumer taxes add up to
- A $60 dinner for two outside downtown: about $6.60 in tax at 11%.
- A $15.99 streaming subscription: about $1.64 a month.
- A $250 hotel night for visiting family: about $43.48.
- A downtown garage at $250 a month: taxes are already in most posted monthly rates, so ask before you sign.
Source: our calculation at the rates above.
For how Chicago’s sales tax compares with other cities and what the August change means at the register, see our sales tax guide.
Proposed for 2027
Mayor Johnson’s 2027 budget, presented October 21, 2026, would expand the 15-cent checkout bag tax into a 15-cent tax on more kinds of packaging (CBS Chicago; Illinois Policy). It is a proposal, not law: the City Council has until the end of the year to pass a budget, and we will update this page when it does.
Who collects the $8.17 on a pack of cigarettes
Four governments each add a per-pack tax. Cook County takes the largest share.
| Government | Tax per 20-cigarette pack |
|---|---|
| Federal | $1.01 |
| State of Illinois | $2.98 |
| Cook County | $3.00 |
| City of Chicago | $1.18 |
| Total | $8.17 |
Source: Civic Federation, Chicago consumer taxes 2026, page 21, checked October 27, 2026.
How much tax is on beer, wine and liquor in Chicago?
At a bar or restaurant, alcohol carries per-gallon taxes from four governments. These are built into the menu price, and the restaurant tax applies on top.
| Per gallon | Federal | State | Cook County | Chicago | Total |
|---|---|---|---|---|---|
| Beer | $0.58 | $0.231 | $0.09 | $0.29 | $1.19 |
| Table wine | $1.07 | $1.39 | $0.24 | $0.36 | $3.06 |
| Spirits | $13.50 | $8.55 | $2.50 | $2.68 | $27.23 |
Source: Civic Federation, Chicago consumer taxes 2026, pages 27 and 28, checked October 27, 2026.
Buying to take home works differently. Since March 1, 2026, the city’s share on store sales is 1.5% of the retail price instead of a per-gallon rate. The state and county per-gallon taxes still apply (Civic Federation).
More examples, from dinner to a case of water
- A $50 dinner in most neighborhoods: about $5.50 in tax (our calculation: $50 x 11%).
- The same $50 dinner in the higher-rate zone: about $6.00 (our calculation: $50 x 12%). That zone is wider than the Loop. It runs from the Stevenson Expressway north to Diversey and from Ashland east to the lake, plus O’Hare and Midway (Civic Federation, page 20).
- A $100 concert ticket: about $12 in amusement tax (our calculation: $100 x 12%). Ticket resales carry a lower combined rate of 6.0% (Civic Federation).
- A 24-pack of bottled water: $1.20 in city bottle tax (our calculation: 24 x $0.05), before sales tax. The tax is 5 cents for each bottle sold at retail in the city (City of Chicago Department of Finance).
- A $12 six-pack from a store: 18 cents in city liquor tax (our calculation: $12 x 1.5%), before sales tax.
For how the 10.5% general rate is split and how groceries are taxed, see our Chicago sales tax guide.
Related: the 10.5% sales tax, what going out costs and the Chicago cost index. Also see every Chicago cost change in 2026, by date.
Sources
- Civic Federation: What Chicagoans Pay, 2026 full report
- Civic Federation: 2026 overview
- Illinois Department of Revenue: Bulletin FY 2026-34
- NBC Chicago: new sales tax increase
- CBS Chicago: 2027 budget proposal
- Illinois Policy: 2027 budget tax and fee proposals
- Civic Federation: Chicago Consumer Taxes 2026 (full report)
- City of Chicago Department of Finance: Bottled Water Tax