Chicago To Hold Highest Combined Sales Tax Rate Among Major Cities

Cook County, Illinois adopted a 1% sales tax increase making Chicago the highest sales tax, including state, county, city, and public transit sales tax impositions among major U.S. cities. Although this new rate is not the highest combined state and local sales tax in the nation, it stands out as the highest rate in a major city.

According to a recent article, "That distinction goes to a handful of towns in Tennessee and one in Arkansas (with 12 percent combined rates), all with populations of a few thousand people or less. A smattering of small municipalities in Arizona, Louisiana, and Oklahoma also feature higher combined rates."

The national average is 22.7% reliance on the sales tax for state and local revenue.

Need help with figuring out a specific tax rate? Access tax rates for over 10,000 U.S. and Canadian tax jurisdictions with the Vertex Inc. tax rate calculator.