Illinois income tax will remain stable at 4.95% in 2021 and, despite warnings from Mayor Lori Lightfoot, it could add a property tax hike to Chicago’s new budget avoid one.
But before you go on holiday shopping, you need to be careful: you may have to shell out more money in taxes and fees if you have a car, depend on the services you offer, or if you dine in Chicago often.
State-level tax increases will go largely to fund $ 45 billion in infrastructure improvements through a Rebuild Illinois branded program. As early as July, the Illinois gasoline tax doubled from 19 cents to 38 cents and the state increased its cigarette tax by $ 1 to $ 1.98 per pack. . Proceeds from sports betting and new casinos will also go to capital improvements.
In January, new taxes will further increase the coffers of Rebuild Illinois.
The state implements its first parking tax, at the rate of 6% of the hourly, daily or weekly parking price or 9% for a parking space purchased or rented monthly or annually.
The cost of annual vehicle registration also increases by $ 50 by 2021, so it will cost $ 148 for a registration sticker. If you have an electric car, the state will start charging $ 100 more. The law says this is a fee “instead of paying engine fuel taxes.”
Drivers who want to sell their cars have an incentive to change them before the end of 2020, as 2021 will lead to additional taxes on foreign exchange sales of more than $ 10,000.
Drivers who park their cars in Chicago will pay more for yards and garages, given the meter hikes that will go into effect Jan. 1.
It is also when the city’s 0.25% tax on food and beverages sold in “retail establishments” will increase to 0.5%.
There is a small amortization before the new Chicago congestion tax goes into effect. Starting Jan. 6, a solo trip using a shuttle service to Chicago carries a $ 1.13 fee plus $ 1.75 more for solo trips in and out of downtown on weekdays. .
But drivers who share a trip with “pool” services paid for by vehicles will pay a lower fare than they do now.
Follow Amanda Vinicky on Twitter: @AmandaVinicky
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