Chicago now has highest sales tax in US
I guess over the past few years I have got used to the cost of living in Chicago, but certainly within the past 12 months it has become a lot more expensive place to live. This thought occurred to me following the
weekend's announcement that Cook County, i.e. the majority of downtown Chicago, will increase it's sales and services tax from 9% to 10.25% in November, just in time for Christmas shoppers.
Remember VAT is not added to goods and services here but you pay tax at the point of sale. This huge increase, will make Chicago the most expensive city to shop in, in the United States. The rates in New York and Los Angeles are below 8.5% and the next highest rate is 9.25% in Memphis, Tennessee.
Of course, hopefully anyway, tourists will still come to the city to shop, but how many locals will take to the internet, where mostly shopping online can be done out of state tax free or for those that live near much cheaper towns on the outskirts of Cook County, will just drive over the border and get more for their dollars, probably jeopardising many local and small businesses.
The reason behind the tax increase is to bridge a $234 million deficit, of course incurred due to useless legislators and governors not by people who call Chicago their home.