Home Rule Taxes

Amusement Tax (Includes streaming amusement)

Code Section: 3-2-17: AMUSEMENT TAX

Amusement Tax increased to 5% on January 1, 2020

A tax of five percent (5%) on the admission fee or charge is imposed upon every amusement patron for the privilege of admission to any amusement in the City, provided, however, that the amusement tax shall not apply to the following.

(A) Governmental agencies;

(B) Religious societies or organizations;

(C) Live performances conducted or sponsored by not-for-profit institutions, organizations, groups, or societies where no part of the net earnings inure to the benefit of any private shareholder or person

Remittance form link: Amusement Tax form

Amusements with a capacity of over 1,501 

A tax of seven percent (7%) on the admission fee or charge is imposed upon every amusement patron for the privilege of admission to any amusement in the City with a capacity over one thousand five hundred and one (1,501) audience members.

Exemptions:

(A) Governmental agencies;

(B) Religious societies or organizations;

(C) Live performances conducted or sponsored by not-for-profit institutions, organizations, groups, or societies where no part of the net earnings inure to the benefit of any private shareholder or person.;

(D) Venues with under a capacity of one hundred (100) audience members.

 Remittance form link: Amusement Tax (Capacity over 1,501) form

Athletic Contest and Exhibitions Attendance Tax

Code Section: 3-2-2: ATHLETIC CONTESTS AND EXHIBITIONS ATTENDANCE TAX

A tax at the rate hereinafter specified is hereby imposed upon attendance at all athletic contests and in the City, at the rate of nine percent (9%) of the gross receipts derived from the sale of admission tickets or other charges to witness such athletic contests. For the purpose of determining the amount of such attendance tax due under this Section, admission fees or other charges shall be computed exclusive of federal and State taxes. Illinois Constitution of 1970, Article VII, Section 6. For this Section, "athletic contests and exhibitions" means any sport, game, or similar exhibition for public entertainment, including, without being limited to, boxing, wrestling, skating, swimming, racing of animals or vehicles, baseball, basketball, softball, football, tennis, golf, hockey, track and field games, bowling, billiards, and pool games.

Remittance form link: Athletic Contest and Exhibitions Attendance Tax form

Athletic Contest and Exhibitions Tax

Code Section: 3-2-1 - ATHLETIC CONTESTS AND EXHIBITIONS TAX

A tax of 3 percent (3%) tax is imposed upon all athletic contests and exhibitions in the City on the gross receipts derived from the sale of admission tickets or other charges to witness such athletic contests. For the purpose of determining the amount of such admission tax due under this Section, For this Section "athletic contests and exhibitions" means any sport, game or similar exhibition for public entertainment, including, without being limited to, boxing, wrestling, skating, swimming, racing of animals or vehicles, baseball, basketball, softball, football, tennis, golf, hockey, track and field games, bowling, billiards and pool games.

Remittance Form link: Athletic Contest and Exhibitions Tax Form

Automobile Renting Occupation Tax

Code Section: 3-2-10: AUTOMOBILE RENTING OCCUPATION TAX

A tax is hereby imposed upon all persons engaged in the business of renting automobiles in the City at the rate of one (1% percent of the gross receipts from such rentals made in the course of such business while this Section is in effect, in accordance with the provisions of 65 ILCS 5/8-11-7. Every such person engaged in such business in the City shall file on or before the last day of each calendar month, the report to the State Department of Revenue required by 35 ILCS 120/1.

The Illinois Department of Revenue can be contacted at (217) 782-3336, or you can visit their website at http://tax.illinois.gov/

Cigarette Tax

Code Section: 3-2-13: CIGARETTE TAX  

A tax at the rate of sixty cents ($0.60) per pack of twenty (20) cigarettes is hereby imposed upon all cigarettes possessed for sale and upon the use of all cigarettes within the City. The ultimate incidence of and liability for payment of said tax is to be borne by the consumer of said cigarettes. The tax herein levied shall be in addition to all other taxes. This tax is collected through the Cook County Department of Revenue.

The Cook County Department of Revenue can be contacted at (312) 603-6961, or you can visit their website at www.cookcountyil.gov/agency/department-revenue

Foreign Fire Insurance Companies Tax

Code Section: 3-2-3: FOREIGN FIRE INSURANCE COMPANIES TAX

Pursuant to 65 ILCS 5/11-10-1, all corporations, companies and associations, not incorporated under the laws of this state, which are engaged in the City in effecting fire insurance, shall pay annually to the state Treasurer, who shall in turn remit the tax and reports to the Illinois municipal league, and said Illinois municipal league shall transmit the tax and reports to the City, at the time of filing the reports mentioned in Subsection (B) of this Section, as a tax or license fee, a sum equal to two percent (2%) of the gross receipts for premiums received by such corporations, companies or associations, or their agency or agents respectively, for business effected or transacted for fire insurance within the City for the year ending July 1 preceding such report.

The Illinois Municipal League can be contacted at (217) 525-1220, or you can visit their website at http://firetax.iml.org/

Gas Use Tax

Code Section: 3-2-9: GAS USE (NATURAL GAS)

A tax is imposed on the privilege of using or consuming gas in the City that is purchased in a retail sale at a rate of 2.5 cents ($0.025) per therm.

The tax shall not apply to the use or consumption of gas by a public utility engaged in the business of distributing gas, a school district created and operating under the school code of the state, or a unit of local government.

 Remittance form link: Gas Use Tax form

Home Rule Sales Tax

Code Section: 3-2-5: HOME RULE SALES TAX 

The City of Evanston does impose a 1.25% home-rule sales tax that is administered and collected by the State of Illinois. The home rule sales tax does not apply to the purchase of groceries, drugs, or licensed vehicles.

The Illinois Department of Revenue can be contacted at (217) 782-3336, or you can visit their website at http://tax.illinois.gov/

Hotel-Motel and Vacation Rental Tax

Code Section: 3-2-4: HOTEL-MOTEL AND VACATION RENTAL TAX

"Hotel" and "Motel" shall mean and refer to every building or structure kept, used, maintained, advertised and held out to the public to be a place where lodging or lodging and food, or apartments, or suites, or other accommodations are offered for a consideration to guests, in which ten (10) or more rooms, apartments or suites, or other accommodations are used for the lodging or lodging and food for such guests. A building or structure, such as a convention center or executive conference facility, not open to the public but otherwise meeting the criteria outlined in the previous sentence, shall be subject to the hotel-motel tax. "Vacation Rental Unit" means a dwelling unit or a habitable unit that is offered for rent, lease, or hire, that is rented, leased, or hired for which an owner or operator receives consideration from a person, and that person has the right to use, occupy, or possess the dwelling unit or habitable unit for said period. 

A tax is hereby levied and imposed upon the use and privilege of renting, leasing, or letting of rooms in a motel, hotel, or vacation rental in the City at a rate of seven and one-half percent (7.5%) of the gross rental receipts from such rental, leasing, or letting. The ultimate incidence of, and liability for, payment of said tax shall be borne by the user, lessee, or tenant of said rooms or vacation rental unit. The tax herein levied shall be in addition to all other taxes. It shall be the duty of every owner, manager, and/or operator of hotel, motel, or vacation rental unit accommodations to secure said tax from the user, lessee, or tenant of the hotel, motel, or vacation rental accommodations and issue payment to the City.

Remittance form link: Hotel - Motel and Vacation Rental Tax form

Liquor Consumption Tax

Code Section: 3-2-14: LIQUOR CONSUMPTION TAX (ON AND OFF-PREMISES)

A tax is hereby levied and imposed upon the privilege of purchasing beverages containing alcoholic liquor at a lawfully licensed liquor dealer in the City for consumption on or off the premises at the rate of six percent (6%) of the purchase price, exclusive of any other tax charged for such alcoholic liquor.

Ordinance 122-O-17 removed the 2% discount rate and standardized a 10% late penalty for forms remitted after the 20th of the month.

Remittance form link: Liquor Tax form

Click here to access the online (Liquor Tax Return Payment Portal)

Liquor Consumption Tax (Amusement/Athletic event w/Capacity over 5,000)

Code Section: 3-2-14: LIQUOR CONSUMPTION TAX (ON AND OFF-PREMISES)

For any amusement or athletic event in the City with a capacity of five thousand (5,000) or more audience members, a tax is hereby levied and imposed upon the privilege of purchasing beverages containing alcoholic liquor at a total rate of twelve (12) percent of the purchase price, exclusive of any other tax charged for such alcoholic liquor. Ordinance 109-O-23

This return must be filed on or before the 20th day of the calendar month, succeeding the end of the monthly filing period. If the return is filed late, a penalty of 10% per month or part thereof is assessed. A single check may be issued for multiple locations; however, a separate tax statement is required for each store location and month.

Remittance form link: Liquor Consumption Tax (Amusement/Athletic event w/Capacity over 5,000) form

Medical Cannabis Tax

Code Section: 3-2-18: MEDICAL CANNABIS

A tax is imposed and levied upon the cultivation center engaged in the privilege of the sale of medical cannabis or medical infused product to a dispensing organization located within the City of Evanston at the rate of six percent (6%) of the sales price per ounce. This tax shall be in addition to all other taxes imposed upon such sales and distribution. The tax on a package or unit of medical cannabis infused product shall be based on the weight in ounces of usable cannabis as shown on the label required by 8 Ill. Adm. Code 1000.420, as amended.

Remittance form link: Medical Cannabis Tax form

Motor Fuel Tax

Code Section: 3-2-16: MOTOR FUEL

Motor Fuel tax includes, without limitation, gasoline, gasohol, diesel oil, motor benzol, motor benzene, propane gas fuel, kerosene, and "special fuel" as defined in the Illinois Motor Fuel Tax Law. A tax is hereby imposed on the retail sale of motor fuel in the City at the rate of six cents ($0.06) per gallon. The ultimate incidence of and liability for payment of said tax shall be borne by the purchaser.

Remittance form link: Motor Fuel Tax form

Municipal Television Consumer Tax

Code Section: 3-2-12: CABLE FRANCHISE (MUNICIPAL TELEVISION CONSUMER)

A tax at the rate of ten percent (10%) of the gross payment for services is hereby established and levied by the City on the consumers of services purchased from persons, firms, or corporations engaged in the business of distributing for compensation television services in the City, which services are produced, received, amplified or distributed by coaxial cable, fiber optics, microwave or other means. Such services shall include audio and visual radio, television, and electronic signals to and from subscribers in the City, whether or not said services originate within the corporate limits of the City; provided, however, that said tax shall not be imposed on consumers of services purchased from persons, firms, or corporations holding a franchise for the operation of a cable communication system from the City.

The persons engaging in any of the aforesaid businesses where the consumer is subject to this tax shall add the tax to the amount otherwise billed to the consumer, and such persons so engaged in business shall pay said tax to the City as hereinafter provided.

Remittance form link: Municipal Television Consumer Tax form

Municipal Utility Tax (Natural Gas)

Code Section: 3-2-9: MUNICIPAL UTILITY TAX (NATURAL GAS)

Persons engaged in the business of distributing, supplying, furnishing, or selling gas for use or consumption within the corporate limits of the City, and not for resale, at the rate of five percent (5%) of the gross receipts therefrom.

Remittance form link: Municipal Utility Tax (Natural Gas) form

Parking Lot and Garage Operations Tax

Code Section: 3-2-15: PARKING LOT AND GARAGE OPERATIONS

There is hereby levied and imposed upon the use and privilege of parking a motor vehicle in or upon any "parking lot, parking area, or garage," as defined in this Section 3-2-15, in the City, a tax of sixty cents ($0.60) for each motor vehicle parked in or on each parking lot, parking area, or garage for every twenty-four-hour period or any fraction thereof. If a motor vehicle is parked in or on a parking lot, parking area, or garage for which a charge is made on a weekly, monthly, quarterly, or annual basis, the amount of tax shall be three dollars ($3.00) per week, twelve dollars ($12.00) per month, thirty-six dollars ($36.00) per quarter, or one hundred forty-four dollars ($144.00) per year. The weekly, monthly, quarterly, or annual tax shall not be increased or decreased on account of Saturdays, Sundays, or legal holidays falling within such weekly, monthly, quarterly, or annual period, whether or not the motor vehicle is actually parked in or on said parking lot, parking area, or garage on such days. Exception: The parking tax on monthly permits in City-owned parking garages shall be twenty-five dollars ($25.00) per month.

Remittance form link: Parking Tax form

Real Estate Transfer Tax
A tax is imposed on the transfer of Title to real property located in the City as evidenced by the recordation of a deed by any person or by the delivery of any deed or assignment of interest of said real property whether investing the owner with the beneficial interest in or legal Title to said property or merely the possession or use thereof for any purpose or to secure future payment of money or the future transfer of any such real property.

Code Section: 3-25-1 REAL ESTATE TRANSFER TAX

• For sales prices up to $1,500,000, the tax imposed is $5 for every $1,000 value.
• For sales prices from $1,500,000.01 to $5,000,000, the tax imposed is $7 for every $1,000 value.
• For sales prices from $5,000,000.01 or more, the tax imposed is $9 for every $1,000 value.

• There shall be a $100.00 fee for any exempt transaction. (see reverse side for a list of exemptions)

• A tax is imposed on the transfer of Title to real property located in the City as evidenced by the recordation of a deed by any person or by the delivery of any deed or assignment of interest of said real property whether investing the owner with the beneficial interest in or legal Title to said property or merely the possession or use thereof for any purpose or to secure future payment of money or the future transfer of any such real property.

Please click on the following webpage for more information regarding Real Estate Transfer tax: www.cityofevanston.org/departments/city_managers_office/finance_accounting/real_estate_transfer_tax.php

Retail Single Use Bag Tax

On May 22, 2023, the Evanston City Council adopted Ordinance 1-O-23: An Ordinance Amending the City Code and Creating Section 3-2-22 "Retail Single Use Bag Tax". The Ordinance is a derivative of the City of Evanston Climate Action and Resilience Plan (CARP), which aims to eliminate petroleum-based, single-use products by phasing out the use of single-use plastics by 2025.  The Ordinance requires Evanston chain retail stores (non-restaurant) exceeding 10,000 square feet or more to charge their customers 10 cents for each single-use, point-of-sale bag provided. Half of the fee (5 cents per bag) will be retained by retailers.

The Ordinance does not apply to the following types of bags:

•  Bags provided by a pharmacist that contain a prescription drug
• Newspaper bags
• Bags provided by restaurants for prepared carry-out or leftover food or drinks
• Bags that are used to carry items purchased pursuant to the Supplemental Nutritional Assistance Program (SNAP), the Illinois LINK card, or a similar governmental food assistance program. 

If you have any questions:
Contact Ike C. Ogbo, Director of Health & Human Services at health@cityofevanston.org, or (847) 448-8289.

Telecommunications Tax

Code Section: 3-2-9: TELECOMMUNICATIONS TAX

The act or privilege of originating in Evanston or receiving in Evanston intrastate telecommunications by a person at a rate not to exceed five percent (5%) of the gross charge for such telecommunications purchased at retail from a retailer by such person. However, such tax is not imposed on such act or privilege to the extent such act or privilege may not, under the constitution and statutes of the United States, be made the subject to taxation by municipalities in Illinois.

The act or privilege of originating in Evanston or receiving in Evanston interstate telecommunications by a person at a rate not to exceed five percent (5%) of the gross charge for such telecommunications purchased at retail from a retailer by such person. To prevent actual multi-state taxation of the act or privilege that is subject to taxation under this Subsection, any taxpayer, upon proof that the taxpayer has paid a tax in another state on such event, shall be allowed a credit against any tax enacted pursuant to an ordinance authorized by this Subsection to the extent of the amount of such tax properly due and paid in such other state which was not previously allowed as a credit against any other state or local tax in this State. However, such tax is not imposed on the act or privilege to the extent such act or privilege may not, under the Constitution and statutes of the United States, be made the subject to taxation by municipalities in Illinois.

Transportation Network Company Tax

Code Section: 3-2-19: TRANSPORTATION NETWORK COMPANY TAX

A tax is imposed and levied on all transportation network companies operating transportation network company services performed by transportation network company drivers in the City of Evanston at a rate of forty-five cents ($0.45) per solo ride accepted and twenty cents ($0.20) per shared ride accepted. The incidence of the tax and the obligation to pay the tax are imposed upon the transportation network company operating services for any ride accepted originating or ending in the City of Evanston. This tax is in addition to all other taxes imposed.

Remittance form link:  Transportation Network Provider Tax form

Utility Tax (Electric)

Code Section: 3-2-9: UTILITY TAX (ELECTRIC)

A tax is imposed upon the privilege of using or consuming electricity acquired in a purchase at retail and used or consumed within the corporate limits of the City at the following rates:

• For that first 2,000 kilowatt-hours used or consumed in a month: 0.61 cents per kilowatt-hour;
• For the next 48,000 kilowatt-hours used or consumed in a month: 0.40 cents per kilowatt-hour;
• For the next 50,000 kilowatt-hours used or consumed in a month: 0.36 cents per kilowatt-hour;
• For the next 400,000 kilowatt-hours used or consumed in a month: 0.35 cents per kilowatt-hour;
• For the next 500,000 kilowatt-hours used or consumed in a month: 0.34 cents per kilowatt-hour;
• For the next 2,000,000 kilowatt-hours used or consumed in a month: 0.32 cents per kilowatt-hour;
• For the next 2,000,000 kilowatt-hours used or consumed in a month: 0.315 cents per kilowatt-hour;
• For the next 5,000,000 kilowatt-hours used or consumed in a month: 0.31 cents per kilowatt-hour;
• For the next 10,000,000 kilowatt-hours used or consumed in a month: 0.305 cents per kilowatt-hour; and
• For all electricity used or consumed in excess of 20,000,000 kilowatt-hours in a month: 0.30 cents per kilowatt-hour.

Remittance form link: Utility Tax (Electric) form