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Illinois Grocery Tax (2026)

Conditional: State 1% grocery tax eliminated Jan 1, 2026 — but municipalities may levy a 1% local grocery tax (≈665 have).

ConditionalVerified Jul 13, 2026

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Official source: tax.illinois.gov →

General legal information, not legal advice — verify important decisions with a licensed attorney.

Grocery Tax in states bordering Illinois

The same rule in each neighboring state LawLert has verified, from that state’s own official source.

IndianaPermitted
Food and food ingredients ("grocery" food) sold unheated and without eating utensils are exempt from Indiana's 7% sales tax (Sales Tax Information Bulletin #29). Candy, soft drinks, dietary supplements, prepared food, alcoholic beverages, and tobacco remain taxable.
Verified Jul 7, 2026 · Source: in.gov · Full Indiana rule →
IowaPermitted
Food and food ingredients ("grocery" food) are exempt from Iowa sales tax (Iowa Code 423.3(57)). Alcoholic beverages, candy, dietary supplements, soft drinks, tobacco, prepared food, and food sold through vending machines remain taxable.
Verified Jul 7, 2026 · Source: revenue.iowa.gov · Full Iowa rule →
KentuckyPermitted
Food and food ingredients for home consumption are exempt (KRS 139.485; definitions in effect since July 1, 2004). Not exempt: alcoholic beverages, tobacco, candy, dietary supplements, soft drinks, and prepared food (heated, retailer-combined, or sold with utensils). Bakery items sold without utensils are exempt; vending-machine food is taxable.
Verified Jul 12, 2026 · Source: revenue.ky.gov · Full Kentucky rule →
MissouriConditional
Groceries taxed at a reduced 1.225% state rate (plus local); repeal bills are pending.
Verified Aug 27, 2026 · Source: dor.mo.gov · Full Missouri rule →
WisconsinPermitted
Food sold by grocery stores is exempt from sales tax unless it meets the definitions of 'candy,' 'soft drinks,' or 'prepared food,' which are taxable (Wis. Stat. sec. 77.54).
Verified Jul 19, 2026 · Source: revenue.wi.gov · Full Wisconsin rule →

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