Happy New Year!
Resolution #1: Skip Taxes And Save the Planet
Benjamin Franklin wrote in a 1789 letter, "in this world nothing can be said to be certain, except death and taxes.” While generally taxation is considered a burden, government taxation is what funds governmental services we all rely on. But certain taxes, meant in spirit to discourage consumption, are really just money grabs to plug the budget deficit and are completely avoidable. Here is a list of Chicago consumer taxes you can skip altogether and help the planet at the same time!
Skip. The. Plastic.
*Checkout Bag Tax:
Effective January 1, 2026, the checkout bag tax (paper and plastic) is now $0.15 per bag. Remembering to bring your own reusable bags will eliminate this tax for you.
*Bottled Water Tax:
Chicago has an ongoing tax of $0.05 per bottle on the retail sale of bottled water. City water is completely safe to drink and home filtering for taste is easy. Carry your refillable water bottle and skip this tax altogether.
Support Public Transportation (or use your feet!)
*Rideshare/Congestion Zones Surcharge:
Effective January 6, 2026 on weekdays between 6:00 am and 10:00 pm, taking Uber, Lyft, or another rideshare organization to or from the newly defined “Congestion Zones” will incur a surcharge: $1.50 for single-person rides, $0.60 for shared rides, and the surcharge for trips to and from the airports, McCormick Place, and Navy Pier will remain steady at $5. Previously, the surcharge for single-person rideshare rides was $1.13.
Conscious Consumerism
Chicago consumers are subject to a variety of taxes, including one of the highest combined sales tax rates in the U.S. The standard combined sales tax rate in Chicago is currently 10.25% for general merchandise, but is set to increase to 10.5%, making it the highest among major U.S. cities. This rate is a combination of:
Illinois (State): 6.25%
Cook County: 1.75%
Chicago (City): 1.25%
Regional Transportation Authority (RTA): 1% (increasing by 0.25 percentage points soon)
The RTA tax actually goes to funding public transportation, so that is a self-funding tax. The balance of the taxes are on stuff we buy or consume: think liquor sales, streaming services, clothing purchases and eating out. The trick here is to be aware and consume consciously and healthfully at your own discretion.
The EAC raises a reusable glass in toast as you contemplate your consumer choices in 2026. Join us at our regular meetings on the second Monday of every month at 4:30 pm. Email us at environment@lwvchicago.org for the Zoom link.