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Thursday, May 29, 2025

Prairie State sales taxes: Springfield residents paid 2nd-largest sum per municipality in 2024

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Director David Harris | Illinois Department of Revenue

Director David Harris | Illinois Department of Revenue

Springfield taxpayers paid the second largest sum in sales taxes in 2024, according to Illinois tax records.

In total, residents paid just under $97.9 million in sales taxes during that year.

Springfield also ranked second in the Prairie State the year before, with approximately $94.5 million spent in sales taxes.

The largest share of taxes paid by the residents in 2024 came from Municipal Home Rule Sales Tax.

In Illinois, the Municipal Home Rule Sales Tax applies to a wide range of general merchandise. It operates similarly to the state sales tax but may exclude certain items, such as vehicles and specific foods, drugs, and medical appliances that require state agency titling or registration. This tax can be set in small increments without a maximum limit, though its implementation is optional, and not all municipalities choose to adopt it. The revenue generated is intended for local services and infrastructure needs.

A 2025 WalletHub study found that Illinois has the highest overall taxes in the U.S., with rates more than 50% higher than the national average. The study estimates that a median household in Illinois pays an effective tax rate of 16.58%, or about $13,099 per year.

Composition of Sales Tax Revenue in Springfield in 2024

Municipal Home Rule Sales Tax [60.1%]Municipal Sales Tax [39.1%]Tax Revenue <5% [0.8%]

Sales Taxes Collected in Springfield in 2024

Type of TaxAmount Collected in Year% Change From Previous Year
Municipal Home Rule Sales Tax$58,827,4462.9%
Municipal Sales Tax$38,233,4124.6%
Business District Tax$692,325<-0.1%
Municipal Automobile Renting Tax$118,8165.3%

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