Chicago City Wire

The City Council has approved the 2025 Revenue Ordinance, leading to several tax changes in Chicago that will take effect on January 1, 2025. These adjustments will impact various sectors including personal property leases, amusement services, parking facilities, and checkout bags.

For personal property leases, the tax rate will be set at 11% of the lease or rental price. The amusement tax for paid television and electronically delivered amusements such as video and audio streaming or online games will be taxed at a rate of 10.25%.

Parking services are also affected by these changes. The privilege of parking for any duration—daily, weekly, or monthly—will incur a tax of 23.25% on the charge or fee paid. This rate applies equally to valet parking operations in the city.

The Checkout Bag Tax introduces a levy of ten cents ($0.10) per bag sold or used within the city limits. Stores can retain one cent ($0.01) from each bag sold, leading to a net payment of nine cents ($0.09) per bag remitted to the Department.

A new surcharge under the Ground Transportation Tax is effective from January 6, 2025. It imposes an additional $1.50 per vehicle per ride accepted within certain hours in the Downtown Zone.

For further inquiries regarding these tax changes, individuals can contact revenuecs@cityofchicago.org or call (312) 747-4747.