Tax Guide Chicago
In the US, there are two kinds of income tax: federal income tax and state income tax. Nevertheless, seven states do not levy income taxes. They are: Alaska, Florida, Nevada, South Dakota, Texas, Washington, and Wyoming. Moreover, some states allow individual cities to impose an additional income tax. There is no additional income tax for the city of Chicago. The level of federal taxation increases with the level of income. The Illinois income state tax will be 3% of the federal income tax.
In addition to federal and state income taxes, Chicagoans also have to pay sales taxes. The city of Chicago has the highest total sales tax of all major U.S. cities. 10.25% is levied on all non-perishable goods purchased, while 2% is levied on qualifying food, drugs, medicines and medical appliances. You will quickly notice it on your shopping receipts. For your information, all prices indicated on tags and labels in stores are without sales taxes. Sales taxes are added at the cashier.
If you own a property in Chicago and/or the Cook County, you will also have to pay a property tax. Please note that Illinois does not have a statewide property tax. Property is taxed on the local level only (local government). The Cook County property tax had an increase of 9% in 2009. To get an idea of the property tax level.
