Downtown Chicago Diners Could See 11.25 Percent Sales Tax In 2016

Back on July 16, I noted the total sales tax rate in Chicago and the rest of Cook County looks to rise to 10.25 percent again in the coming year, making it one of the highest rates in the nation.

But diners of certain downtown Chicago eateries could be hit by an even higher sales tax rate. Pointing out an additional sales tax (“McPier tax”) downtown that tacks on an additional 1 percent to food/beverage bills, Lauren Choolijian reported on the WBEZ 91.5 website yesterday:

For restaurant patrons that dine south of Diversey Parkway, north of the Stevenson Expressway, east of Ashland Avenue and west of Lake Michigan, the Cook County proposal means an 11.25 percent sales tax will be added to their tab in 2016. The McPier tax affects all food and beverage purchases prepared for “immediate consumption,” and that includes soft drinks and alcoholic beverages…

(Editor’s note: Bold added for emphasis)

Actual and proposed fee, fine, and tax increases are making the headlines quite often these days in the Chicago area. If my suspicions prove correct (these hikes are just the first of many due to steadily eroding financial conditions), Chicagoland residents, workers, and prospective visitors will increasingly seek alternatives (for example, dining out closer to home as it concerns the above), local government revenue collection will plummet, and public services will continue to be scaled back.

Anyway, check out Choolijian’s piece on the WBEZ site here for the full details of the 11.25 percent sales tax hit.

Christopher E. Hill
Survival And Prosperity (

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Wednesday, July 22nd, 2015 Fiscal Policy, Government, Taxes, Tourism

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