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New Illinois taxes set to soon take effect across the state as part of new budget

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New Illinois taxes set to soon take effect across the state as part of new budget


Some Illinois residents could see prices of a variety of items increase in coming weeks after tax rates were raised as part of budget negotiations.

That budget, which passed the General Assembly over the weekend, includes more than $55 billion in spending, with Democrats praising the bill as being the state’s seventh consecutive balanced budget thanks to increases in revenue.

“The passage of the FY26 balanced budget is a testament to Illinois’ fiscal responsibility,” Illinois Gov. J.B. Pritzker in a statement. “Even in the face of Trump and Congressional Republicans stalling the national economy, our state budget delivers for working families without raising their taxes while protecting the progress we are making for our long-term fiscal health. I’m grateful to Speaker Welch, President Harmon, the budget teams, and all the legislators and stakeholders who collaborated to shape and pass this legislation. I look forward to signing my seventh balanced budget in a row and continuing to build a stronger Illinois.”

While some of that revenue will come from increases in corporate tax rates, delaying the transfer of funds from motor fuel taxes into the state’s road fund and other maneuvers, there are several taxes that could increase prices on some items and services for Illinois residents, drawing withering criticism from Republicans in Springfield.

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Here are a few of the notable changes.

Sports Betting

Illinois officials are hoping to raise more than $36 million in yearly revenue by assessing a per-wager tax on sports bets placed within the state, according to multiple reports, including from Casino Beats.

Beginning July 1, the state will impose a tax of $0.25 per wager for the first 20 million wagers placed with licensed sports books within Illinois. After that, the tax rate will increase to $0.50 per wager, according to the text of the amendment to the tax code.

That money will then be deposited into the state’s General Revenue Fund.

Short-Term Rental Properties

Residents who use services like Airbnb and Vrbo for vacation rentals will soon be charged with the state’s Hotel Operators’ Occupation Tax, as an exemption carved out into the tax code was deleted during budget negotiations.

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According to the Illinois Department of Revenue, the state taxes hotel rooms at a rate of 6% of 94% of gross receipts. In the city of Chicago, the Illinois Sports Facilities Authority, which helps to operate Rate Field, and the Metropolitan Pier and Exposition Authority, which operates McCormick Place, also collect taxes on hotels. The city itself also assesses a 1% tax on hotel rooms.

More information can be found on the IDOR website.

Tobacco Products

Finally, the state intends to raise tax rates on any “product that is made from or derived from tobacco,” including cigarettes, chewing tobacco, vaping products and nicotine gum, according to legislators.

That tax will not be applied to smoking cessation products, according to the text of the bill.

The tax rate will be raised from 36% of the wholesale price of the products to 45%, according to the legislation.

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Other Revenue Generators

In addition to raising corporate tax rates, the state of Illinois will also hope to generate revenues from a tax amnesty program, rewarding companies for repatriating funds into the state.



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Illinois

Four-Star Forward Quinton Kitt Commits to Illinois: How He Fits

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Four-Star Forward Quinton Kitt Commits to Illinois: How He Fits


Illinois scored a major early win in the 2027 recruiting cycle on Thanksgiving, securing a commitment from East Peoria native Quinton Kitt, a 6-foot-6 forward ranked No. 114 nationally by 247Sports.

Kitt becomes the Illini’s first pledge in the class and continues a trend that has become increasingly familiar under head coach Brad Underwood – top in-state talent choosing to stay home. His decision is another reminder that Illinois basketball is no longer simply competing on the national stage. It is becoming a program that players want to be part of.

Kitt’s commitment also reinforces the momentum Illinois has built over the past several seasons. Since Underwood’s arrival, he has resurrected the program and turned it from a middling Big Ten team into one of the most consistent winners in college basketball. The Illini have pulled top recruits, landed marquee transfers, developed NBA talent and built an identity centered around toughness and modern offensive spacing. When a top prospect commits this early, it signals more than momentum – it shows Illinois is becoming the type of powerhouse that can reload year after year with players who believe in what Underwood is building.

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The centerpiece of Kitt’s game is his premier skill: high-level spot-up shooting. At 6-foot-6, he possesses clean mechanics, fluid footwork and a natural rhythm that makes him one of the best floor spacers in the Midwest for his age. Underwood has made three-point shooting a priority in roster construction, and Kitt fits that philosophy seamlessly. He projects as an immediate shooting threat who can open the floor for Illinois’ guards and bigs, whether stationed in the corners, popping off screens or trailing in transition.

Although shooting is the headliner, Kitt isn’t a one-dimensional piece. He’s not the twitchiest athlete in the class, but he gets to the rim with efficiency, using size, stride length and composure to finish through contact. He has the IQ to make the right reads – finding cutters, swinging the ball to shooters and delivering simple but effective passes that keep an offense flowing. That feel for the game elevates his value well beyond spot-up scenarios.

All of this makes Kitt a classic Underwood-style Swiss Army Knife. He can dribble, pass, shoot and play multiple spots without needing plays run for him. He enhances spacing, connects actions and fits into virtually any lineup construction Illinois might throw onto the floor. For a program that has thrived with multipositional, high-IQ wings, Kitt checks every box.

Landing Kitt sets a strong tone for the 2027 class – and again shows that Illinois doesn’t have to leave the state to find talent that fits its growing powerhouse identity.





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11 reasons Illinoisans can be thankful this year

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11 reasons Illinoisans can be thankful this year



This Thanksgiving, Illinoisans should give thanks for Illinois’ heritage, opportunities, wins against new taxes and educational freedom.

From Rockford to Carbondale, towns and cities across Illinois are creating opportunities, increasing liberty and decreasing the burden of taxes.

Here’s a look at 11 items worthy of gratitude.

Growing pride

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1) Illinois grows more pumpkins than any other state.

Producing 85% of the world’s canned pumpkin, Illinois farmers produced about 485 million pounds of pumpkins. Illinois produced one-third of the nation’s pumpkins as Morton, Illinois, is dubbed the “pumpkin capitol of the world”

2) Illinois lawmakers end ban on nuclear energy

The state’s 40-year moratorium on large-scale plants has ended. Lifting the ban is a positive step towards competitiveness and reliability and a much-needed step toward energy independence and affordability.

3) Gov. J.B. Pritzker signed 5 bills to help fix Illinois education

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Illinois lawmakers passed five education reforms focused on literacy, transparency and career pathways. Pritzker signed these bills into law, signaling a renewed effort by state lawmakers to improve student outcomes, empower parents, invest in literacy and diversify career pathways.

4) Chicago ordinance will remove college degree requirements for most city jobs.

Breaking down employment barriers for disadvantaged groups, new pathways to prosperity open. By endorsing a shift toward skills-based hiring, city leaders recognized some simple but powerful truths: a college degree isn’t the only path to career success and isn’t the only – or even the best – indicator of competency.

Decreasing tax burdens

5) Rockford cut property tax rate almost in half since 2017

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The mayor’s office cut back on anything piling on unnecessary expenses, such as printing costs, centralizing printers and defaulting them to black and white. The city also re-bid routine contracts and merged back-office tasks.

6) Kane County, six townships and Bensenville vote “no” to more taxes

More than 75% of Kane County voters rejected a ballot question which would raise county taxes by 0.75% for public safety costs. Voters in Kane County, the six townships and Bensenville have loudly said “no” to tax increases. Taxes are too high, and local leaders who raise grocery taxes, gas taxes or property taxes do so without the consent of those who gave them power to govern.

7) Peoria Heights mayor vetoes grocery tax

“…I know we can and we will balance our budget without balancing it off the backs of families at the grocery checkout.”

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Boosting housing affordability

8) Chicago and Lamont boost development, housing supply to address housing shortage

Chicago is expanding where accessory dwelling units can be built, cutting parking minimums near transit and converting ground floors of commercial spaces into residential units. Lombard allows smaller lots to lower cost.

Protecting against government overreach

9) Highly opposed “Homeschool Act” stalls on Illinois House floor

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Lawmakers failed to advance a bill riddled with troubling provisions to limit families’ educational options and create government intrusion into families’ privacy

10) Pritzker signed 7 bills into law to make it easier to work

To reduce the number of government permission slips needed to earn a living, Pritzker signed seven bills into law that expand the ability of professional to work in Illinois. With the 38th-worst unemployment rate in the country, the state cannot afford barriers that block people from jobs they are qualified for.

Calling out corruption

11) Former Illinois House Speaker Michael Madigan was found guilty on 10 counts of bribery, conspiracy and wire fraud by a federal jury.

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Madigan ruled the Illinois House for 36 years, building a political machine that controlled Springfield. The end of one man’s corruption is the start to increasing transparency and trust between lawmakers and constituents.

Illinois is taking steps to relieve the burden of corruption and high taxes. The commitment to pursue economic and educational freedom must prevail over partisan politicians working in their own self-interest.

Illinois still has its issues, but these 11 beams of hope show the state can be turned around.





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Three Ways Iowa Can Beat Western Illinois

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Three Ways Iowa Can Beat Western Illinois


On paper, the Iowa Hawkeyes and Western Illinois Leathernecks are a combined 10-0. The Leathernecks have won their only road game of the year, but Iowa is 3-0 at Carver-Hawkeye Arena.

After a successful trip to Orlando for the WBCA Showcase, Iowa saw a huge jump in the AP Poll. They are now No. 11, one spot away from entering the Top 10. Wins over No. 7 Baylor and Miami certainly boosted their status in the eye of the public as they are now massive favorites against Western Illinois.

Ava Heide

Iowa center Ava Heiden (5) lays the ball up as Ashland guard Lexi Howe (10) defends Oct. 30, 2025 during an exhibition game at Carver-Hawkeye Arena in Iowa City, Iowa. / Julia Hansen/Iowa City Press-Citizen / USA TODAY NETWORK via Imagn Images

While Iowa shouldn’t necessarily need to score 100 to beat a team like Western Illinois, it doesn’t hurt to shoot for the stars. Head coach Jan Jensen’s team didn’t make a field goal in the final eight and a half minutes against the Hurricanes, yet somehow they managed to take them down, 64-61.

After a pair of low scoring games in Florida, Iowa returns home on Thanksgiving Eve for yet another non-conference showdown. This is one of two “tune-up” games before they open B1G play at Rutgers on December 6.

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Western Illinois has allowed 75+ points in their last two games. Sure, they’ve won both of them, but allowing that point total to Chicago State and Bradley shows the state of their defense. The Hawkeyes should have no issues scoring against them.

Taylor Stremlo

Iowa guard Taylor Stremlow (1) shoots Nov. 3, 2025 during a women’s college basketball game against the Southern Jaguars at Carver-Hawkeye Arena in Iowa City, Iowa. / Julia Hansen/Iowa City Press-Citizen / USA TODAY NETWORK via Imagn Images

Once again, it’s impossible not to understate just how important Chit-Chat Wright is to this team. Jensen is closely monitoring her status, but the transfer guard will not be playing in the Hawkeyes return to Carver. That said, it’s safe to assume that Taylor Stremlow will once again get the start.

As long as Stremlow plays to the quality she was playing against the Bears and Hurricanes, Miami will be just fine. They also have Taylor McCabe, Kylie Feuerbach, and Addie Deal. With both McCabe and Feuerbach being seniors, this is the perfect game to get Deal even more minutes to showcase just how dominant she’s going to be in the coming years.

In the Leathernecks first game of the year, they dropped 116 points. They’ve scored 80+ in their last two, something that was necessary to win knowing how much their defense has given up.

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Their leading scorer, Mia Nicastro, is averaging 25.8 points per game. That’s ten more points per game than Iowa’s leader, but it’s shocking to note that Nicastro has only shot four three pointers this entire season.

As a team, Western Illinois is shooting 40% from three. That’s eight percent higher than the Hawkeyes, and is something that could absolutely make the difference. Allie Meadows is shooting 50% from three point range while fellow senior Addi Brownfield is shooting 46.2% herself. The Leathernecks don’t shoot a ton of threes, but they’re extremely efficient from three-point range.

Don’t forget to bookmark Iowa Hawkeyes on SI for the latest news. exclusive interviews, recruiting coverage and more!





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