The increase, levied by the local government, of an additional 1 percent makes the combined sales tax 8 percent. | File photo
The increase, levied by the local government, of an additional 1 percent makes the combined sales tax 8 percent. | File photo
Willowbrook raised its sales tax for the business district at the start of 2017, along with 19 other local government entities throughout the state of Illinois.
The increases, which were reported by the Illinois Policy Institute, add to the already significant tax burden residents of Illinois face. Prior to Jan. 1, the combined sales tax rate in Willowbrook, which is located in DuPage County, was 7 percent. The increase, levied by the local government, of an additional 1 percent makes the combined sales tax 8 percent, which is among the highest amounts listed in the recent bulletin published by the Illinois Department of Revenue.
The increase, which went into effect in the business district of Willowbrook, will not affect certain food, drug, medical appliance or other specialized purchases. Business owners, however, will have to take action to update cash registers or other tools used to calculate tax to ensure that they are collecting the proper amount of tax due to local government.
Determination for who will collect the new tax is based on the business’ address. For detailed information about tax collection requirements and which amounts go to state, local and federal government, visit the Illinois Department of Revenue website.
Illinois is known for its tax burden where residents already pay the highest property taxes in the nation. In fact, residents in Illinois have the fifth-highest tax burden in the entire United States and significantly higher than the rates in neighboring Midwest states when property, income and other tax burdens are combined.
The Illinois Policy Institute notes that an increase in sales tax places a disproportionately large share of the tax burden on the working middle class. The sales taxes in the business district of Willowbrook aren’t the highest in the Prairie State, however. East Dundee now has a sales tax rate of 9.75 percent, the highest reported in the recent change bulletin. The city of Chicago still has the distinction of having the highest sales tax rate in the nation.
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