Illinois Grocery Tax to be Reinstated After Suspension for Inflation Relief

The inflation relief provided by Governor J.B. Pritzker is set to end on July 1. This means that the 1% grocery tax will soon be reinstated in Illinois.

After a year of suspension of the grocery tax in Illinois, the temporary tax relief provided by Governor J.B. Pritzker is now set to end on July 1. This means that the residents of the state can expect to pay 1% grocery tax again.

According to Griffin, this particular grocery tax covers only the “low-rate” items and not the “high-rate” products taxed at the full 6.25% in Illinois. Nonetheless, the western regional director for Restaurant Opportunities Center United, Manuel Villanueva, stated that the 1% tax can be difficult for low-income earners. This is because the salary and wages in the state is still relatively low despite cost of rent continuing to increase.

READ ALSO: Different Property Tax Relief Bills Passed By Texas House, Senate During Special Session

Grocery Tax in Illinois

According to Siddiqi, the 1% grocery tax for the residents within the Metro-East Mass Transit District or the Illinois Regional Transportation Authority has never been suspended. On the contrary, thirty seven of the U.S. states do not have grocery tax at all, while 13 of them provided a tax rebate or credit to combat the expenses of the low-earning households.

READ ALSO: Minnesota Tax Relief Bill: One-Time Payment Worth Up To $1,300 To Eligible Residents