Retail and Home Rule Sales Taxes
The State of Illinois charges a 7% tax (including percentages allocated to the Regional Transit Authority) on the retail sale of all goods sold within the City, including auto sales. The City receives 1% of that total 7% tax applied to purchases.
In addition, the City of Naperville, as a home-rule community, implemented a 0.75% Home Rule Sales Tax (HRST) that serves as a consistent funding source for Naperville's capital projects and debt payments. HRST is charged on general merchandise and food for immediate consumption but does not apply to certain purchases, including auto sales, groceries and healthcare items. Although the HRST is a locally imposed tax, the State of Illinois collects the tax and pays it to the City.
The following table shows the total tax percentage for common purchases and the various state- and locally-imposed tax amounts that make up that total percentage.
| Taxing Body | General Merchandise | Food for Immediate Consumption | Food for Immediate Consumption (Downtown) | Groceries & Qualified Medical | Vehicles |
|---|---|---|---|---|---|
| State of Illinois* | 7.00% | 7.00% | 7.00% | 1.75% | 7.00% |
| Naperville (HRST) | 0.75% | 0.75% | 0.75% | 0.00% | 0.00% |
| Naperville (Food & Beverage Tax) | 0.00% | 1.00% | 1.75% | 0.00% | 0.00% |
| Total | 7.75% | 8.75% | 9.50% | 1.75% | 7.00% |