By Brennan Park | Illinois Policy Institute
Illinoisans continue to pay the highest combined state and local tax rate in the country, according to WalletHub.
Effective state and local tax rates totaled almost 17% for a median Illinois household last year, compared with the national average of just over 11.02% and higher than No. 2 New York, at 14.95%.
The median amount of state and local taxes for an Illinois household was $12,538 last year, fourth-highest in the country. The national median was around $8,949. (These amounts use a different household measurement.)
Illinois’ burden is driven by property, sales and excise taxes that exceed national averages and those in neighboring states.
Property taxes are especially high, with an effective rate of 1.92% of the value of a typical home, more than double the national median of 0.89%.
Sales taxes are also elevated in Illinois, with a 6.25% state rate and a nearly 9% combined state and local rate on average.
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