{"id":2319866,"date":"2024-08-06T08:52:01","date_gmt":"2024-08-06T12:52:01","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/local-taxes-can-increase-now-with-law-eliminating-illinois-grocery-tax-in-2026-washington-examiner\/"},"modified":"2024-08-06T08:58:12","modified_gmt":"2024-08-06T12:58:12","slug":"local-taxes-can-increase-now-with-law-eliminating-illinois-grocery-tax-in-2026-washington-examiner","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/local-taxes-can-increase-now-with-law-eliminating-illinois-grocery-tax-in-2026-washington-examiner\/","title":{"rendered":"Local taxes can increase now with law eliminating Illinois\u2019 grocery tax in 2026 &#8211; Washington Examiner"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"float:left\"><div class=\"counts mashsbcount\">32<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Flocal-taxes-can-increase-now-with-law-eliminating-illinois-grocery-tax-in-2026-washington-examiner%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2319866&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>A new law signed by\u200d Illinois \u200dGovernor J.B. Pritzker will eliminate the state&#8217;s\u2064 grocery tax by 2026. While intended to provide relief to \u2063families, the legislation\u2064 also allows local governments to impose their own taxes, including a new 1% grocery tax\u200c and increases to other sales taxes, effective immediately without a public referendum. \u2063Pritzker framed the legislation as \u200dbeneficial in light\u2062 of ongoing inflation, emphasizing that the \u200cchanges are aimed at <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/food-stamps-minnesota-december-snap-payments-worth-up-to-1751-end-in-two-days\/\" title=\"Minnesota SNAP recipients will no longer receive up to ,751 in December food stamp payments after two days\">easing financial burdens<\/a> on residents.\u2064 However, critics, such as State Senator Don DeWitte, argue that this shift effectively \u2064transfers\u200d tax responsibilities from the state to local governments,\u2064 potentially leading to a net-zero impact on taxpayers. DeWitte expressed\u200d concern\u200d about \u200cthe implications for\u200d <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/fed-braces-for-another-big-inflation-number-this-week\/\" title=\"Fed Braces for Another Big Inflation Number This Week\">local government finances<\/a> and noted that the delay until 2026 means that local officials can \u2064avoid \u200caddressing\u200c controversial tax issues during upcoming\u2064 elections. The\u200b elimination of the grocery tax is\u2064 projected to result in a loss of up to\u200b $420 million in state revenue when it takes effect.  <\/p>\n<p class=\"readmore\">\n    <button onclick=\"showReadMore()\" id=\"readmorebtn\">Read more&#8230;<\/button>\n<\/p>\n<hr id=\"line\">\n<span id=\"more\"><\/p>\n<p><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><\/p>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-mobile-menu-button\"><i class=\"tdb-mobile-menu-icon td-icon-mobile\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-header-search-button-mob dropdown-toggle\" data-toggle=\"dropdown\"><i class=\"tdb-mobile-search-icon td-icon-search\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-mobile-menu-button\"><i class=\"tdb-mobile-menu-icon td-icon-mobile\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<div class=\"tdb-drop-down-search\" aria-labelledby=\"td-header-search-button\">\n<div class=\"tdb-drop-down-search-inner\">\n<form method=\"get\" class=\"tdb-search-form\" action=\"https:\/\/www.washingtonexaminer.com\/\"><\/form>\n<div class=\"tdb-aj-search\"><\/div>\n<\/div>\n<\/div>\n<p><a href=\"http:\/\/www.washingtonexaminer.com\/#\" role=\"button\" aria-label=\"Search\" class=\"tdb-head-search-btn dropdown-toggle\" data-toggle=\"dropdown\"><i class=\"tdb-search-icon td-icon-search\"><\/i><\/a><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<h1 class=\"tdb-title-text\">Local taxes can increase now with law eliminating Illinois&rsquo; grocery tax in 2026<\/h1>\n<div><\/div>\n<div class=\"tdb-title-line\"><\/div>\n<\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<div id=\"Brid_1724015\" class=\"tpd-featured-video bridtv\"><\/div>\n<p>(The Center Square) &ndash; There&rsquo;s a lot more to the newly enacted law eliminating Illinois&rsquo; grocery tax in 2026. Local governments can now impose their own 1% tax, along with other sales tax increases.&nbsp;<\/p>\n<p>Gov. J.B. Pritzker announced Monday he signed&nbsp;<a href=\"https:\/\/ilga.gov\/legislation\/BillStatus.asp?DocNum=3144&amp;GAID=17&amp;DocTypeID=HB&amp;LegID=148298&amp;SessionID=112&amp;SpecSess=&amp;Session=&amp;GA=103\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>House Bill 3144<\/strong><\/a>, touting relief he said the measure will bring.&nbsp;<\/p>\n<p>&ldquo;Even with inflation cooling off every dollar counts, so I&rsquo;m proud we&rsquo;re doing what we can to make trips to the grocery store a little easier,&rdquo; Pritzker said in a statement. &ldquo;It&rsquo;s one more important part of lifting the burden on Illinois families.&rdquo;<\/p>\n<p>In 2022, an election year, Pritzker proposed a 12-month reduction of the state&rsquo;s grocery tax from 1% to zero. Funds were increased in the budget for that period to assist local governments impacted by the lost revenue. The tax kicked back in for fiscal year 2024.<\/p>\n<p>Monday, Pritzker said taking the tax from 1% to 0% in conjunction with separate policies like a child tax credit &ldquo;are not esoteric policy proposals but actually do lift burdens everyday Illinoisans face.&rdquo;<\/p>\n<p>But the elimination of the statewide grocery tax doesn&rsquo;t go into effect until Jan. 1, 2026. The measure does other things, like <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/vermont-lawmakers-pass-measure-allowing-town-to-town-mask-mandates\/\" title=\"Vermont Lawmakers Pass Measure Allowing Town to Town Mask Mandates\">allowing local governments<\/a> to impose a grocery tax and increase other sales taxes, not through voter referendum, but through ordinance. That takes effect immediately.&nbsp;<\/p>\n<p>Illinois Gov. J.B. Pritzker and House Speaker Chris Welch, D-Hillside, in early June during the budget signing ceremony. Monday, state Sen. Don DeWitte discusses what else is included in the measure eliminating the state&rsquo;s grocery tax.Illinois.gov, Greg Bishop \/ The Center Square<\/p>\n<p>State Sen. Don DeWitte, R-St. Charles, said the legislature had a chance to benefit taxpayers by backfilling the revenue for local governments with other taxes the state already collects for the Local Government Distributive Fund. DeWitte had that idea two years ago. But, he told The Center Square Monday the General Assembly decided to shift the tax burden to local governments.&nbsp;<\/p>\n<p>&ldquo;A tax cut that has a net zero effect is not a tax cut,&rdquo; DeWitte said. &ldquo;All he did is put the burden on local governments and now they&rsquo;re going to have to deal with that.&rdquo;&nbsp;<\/p>\n<p>DeWitte said he knows some local elected officials happy the grocery tax elimination is put off until 2026 so they can get through next year&rsquo;s municipal elections without having to tackle the controversial issue.&nbsp;&nbsp;<\/p>\n<p>When the statewide tax is eliminated, that could mean up to $420 million less from the state to local governments, DeWitte said.&nbsp;<\/p>\n<p>&ldquo;Take Sugar Grove, Illinois, a little community of about 12,000 people, the effect on them is going to be about $300,000. But you get to a community like my hometown in St. Charles, it&rsquo;s $1.3 million, you get to Algonquin, it&rsquo;s 1.6 [million dollars], you get to a community like Schaumburg, it&rsquo;s $6.4 million in lost revenue unless they pass that tax burden onto their residents,&rdquo; DeWitte said.&nbsp;<\/p>\n<p>He suggests to mayors to put a non-binding referendum on the ballots for voters to decide whether to live with fewer services or higher local taxes. The measure doesn&rsquo;t require a voter referendum. The law Pritzker enacted allows increased taxes by ordinance.&nbsp;<\/p>\n<p>&ldquo;I think this was a real opportunity to make something good happen for taxpayers who are dealing with cost of living increases for groceries and everything else,&rdquo; DeWitte said. &ldquo;He could have taken that LGDF revenue he was already sweeping, made everyone whole and everyone could have been happy.&rdquo;&nbsp;&nbsp;<\/p>\n<p>Also included in the measure effective immediately, Chicago can impose up to a 9% 911 tax on prepaid wireless plans and Sangamon County can impose up to a 3% hotel, motel tax.<\/p>\n<p> <script data-cfasync=\"false\" src=\"http:\/\/www.washingtonexaminer.com\/cdn-cgi\/scripts\/5c5dd728\/cloudflare-static\/email-decode.min.js\"><\/script><script>!function(){var g=window;g.googletag=g.googletag||{},g.googletag.cmd=g.googletag.cmd||[],g.googletag.cmd.push(function(){g.googletag.pubads().setTargeting(\"has-featured-video\",\"true\")})}();<\/script><script>var _bp=_bp||[];_bp.push({\"div\":\"Brid_1724015\",\"obj\":{\"id\":\"27789\",\"width\":\"1280\",\"height\":\"720\",\"stickyDirection\":\"below\",\"video\":\"1724015\"}});<\/script><script defer src=\"https:\/\/services.brid.tv\/player\/build\/brid.min.js\"><\/script><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<p><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Local taxes may rise following the new law that abolishes Illinois&#8217; grocery tax in 2026 (The Center Square) \u2013 The recently passed legislation to eliminate Illinois&#8217; grocery tax in 2026 includes additional provisions. Local governments are now permitted to implement their own 1% tax and raise other sales taxes. Governor J.B. Pritzker announced on Monday that he has signed House Bill 3144, highlighting the relief it aims to provide. &#8220;Even with inflation easing, every dollar matters, so I\u2019m pleased we\u2019re taking steps to make grocery shopping a bit easier,&#8221; Pritzker stated. &#8220;This is another crucial measure aimed at alleviating the financial strain on families in Illinois.&#8221; In an election year, Pritzker had previously proposed a temporary suspension of the state\u2019s grocery tax from 1% to zero for one year, with budget adjustments made to support local governments affected by lost revenue during that time. The tax was reinstated for fiscal year 2024. On Monday, Pritzker emphasized that reducing the tax from 1% to zero alongside initiatives like a child tax credit &#8220;are not just abstract policy ideas but genuinely help ease everyday challenges faced by residents.&#8221; However, the repeal of the statewide grocery tax will not take effect until January 1, 2026. The law also allows local authorities to impose a grocery tax and increase other sales taxes without requiring voter approval; this provision is effective immediately.<\/p>\n<p>State Senator Don DeWitte (R-St. Charles) remarked that lawmakers missed an opportunity to benefit taxpayers by using existing state-collected revenues for local government support instead of shifting financial burdens onto them. He criticized this approach: \u201cA supposed tax cut with no net benefit isn\u2019t really a cut at all,\u201d he said, adding that it merely transfers responsibilities onto local governments who will have to manage these changes.<\/p>\n<p>DeWitte noted some local officials are relieved about postponing the statewide grocery tax elimination until after next year&#8217;s municipal elections when they won&#8217;t have to confront this contentious issue directly.<\/p>\n<p>Once the statewide grocery tax is removed, DeWitte estimates it could result in up to $420 million less funding for local governments across Illinois\u2014impacting communities differently based on size and revenue needs; for instance, Sugar Grove could lose around $300,000 while Schaumburg might face losses of $6.4 million unless they pass those costs onto residents through increased taxes.<\/p>\n<p>He suggested mayors consider placing non-binding referendums on ballots so voters can choose between reduced services or higher local taxes since current legislation allows increased taxation via ordinance without needing voter input.<\/p>\n<p>DeWitte expressed disappointment over missed opportunities: \u201cThis was a real chance for positive change benefiting taxpayers facing rising living costs.\u201d Additionally included in this immediate measure is Chicago&#8217;s ability to impose up to a 9% emergency service fee on prepaid wireless plans and Sangamon County&#8217;s option for up to a 3% hotel\/motel occupancy fee<\/p>\n","protected":false},"author":2670,"featured_media":2319867,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2024\/02\/AP24019782950877-1024x683.jpg","fifu_image_alt":"","footnotes":""},"categories":[538],"tags":[27635,37317,6413,37316,32076],"class_list":["post-2319866","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-washington-examiner","tag-27635","tag-grocery-tax","tag-illinois","tag-local-taxes","tag-washington-examiner"],"fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2024\/02\/AP24019782950877-1024x683.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2319866","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/2670"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2319866"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2319866\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2319867"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2319866"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2319866"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2319866"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}