What is the sales tax in Illinois?
Combined rate, the threshold that makes you register, and the rules that decide what you charge.
The Illinois state sales tax rate is 6.25%. Local rates average 2.61%, for a combined average of 8.86%, and reach 11.5% in the highest jurisdictions. A remote seller has to register once sales into Illinois pass $100,000 in sales into the state over the previous 12 months, reviewed quarterly. Charge the rate at the buyer’s address.
- State rate
- 6.25%
- Average local rate
- 2.61%
- Combined average
- 8.86%
- Highest in the state
- 11.5%
Do you have to register?
Economic nexus threshold
$100,000
Measured over the previous 12 months, reviewed quarterly. Order count does not matter here, only the dollar figure. Physical presence — staff, an office, or stock sitting in a 3PL in the state — creates the obligation immediately, before any threshold applies.
What you charge, and on what
- Which address sets the rate Charge the rate at the buyer’s address.
- Is shipping taxed Depends how you state it. Delivery is exempt only when separately stated and optional to the buyer.
- Clothing Taxed at the same rate as everything else.
- Groceries Exempt
- Marketplace sales Amazon, Walmart, Etsy, and eBay collect and remit on the orders they process. Sales through your own store stay yours to collect on.
- Registering Register directly with the Illinois Department of Revenue. This state runs its own registration.
Worth knowing about Illinois
- Since the start of 2025, remote retailers source sales to the buyer’s address and owe local rates, replacing the old flat use-tax approach.
- The 1% state grocery tax ended at the start of 2026, though municipalities may impose their own.
Illinois sales tax questions
What is the sales tax rate in Illinois?
The state rate is 6.25%. Local jurisdictions add an average of 2.61% on top, which puts the typical combined rate at 8.86% and the highest at 11.5%. Because the rate follows the address, the figure you charge depends on where the order is going.
When does a remote seller have to register in Illinois?
Once sales into the state pass $100,000 in sales into the state over the previous 12 months, reviewed quarterly. Order count does not matter here — the dollar figure is the only trigger. Physical presence, including inventory held at a 3PL in the state, creates the obligation immediately, before any threshold applies.
Is shipping taxable in Illinois?
Depends how you state it. Delivery is exempt only when separately stated and optional to the buyer.
Is clothing taxed in Illinois?
Clothing is taxed at the same rate as other goods. Illinois does not exempt apparel.
Where the authoritative number is
Rates and thresholds change, and the Illinois Department of Revenue sets them. Check there before you register or file.
Other states with a $100,000 threshold
Know before you cross the line
The threshold above is easy to read and hard to track, because it counts sales from your store, your marketplaces, and your wholesale accounts together. Endless keeps those on one source of truth, so what you have sold into Illinois this year is a number you already have rather than one you assemble after the fact.
This page is a reference, not tax advice. Confirm registration and filing decisions with the Illinois Department of Revenue or a tax professional.