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File #: TMP-25-898   
Type: Ordinance Status: Reported to County Board
File created: 7/17/2025 In control: KC Executive Committee
On agenda: 8/6/2025 Final action:
Title: ESTABLISHING AND IMPOSING A COUNTY GROCERY RETAILERS' OCCUPATION TAX AND A COUNTY GROCERY SERVICE OCCUPATION TAX FOR THE COUNTY OF KANE
Attachments: 1. Exec. Sum., 2.

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Establishing and Imposing a County Grocery Retailers’ Occupation Tax and a County Grocery Service Occupation Tax for the County of Kane

 

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WHEREAS, the County of Kane, a body politic and corporate of the State of Illinois is a non-home rule unit of local government pursuant to Article VII, Section 7 of the Illinois Constitution of 1970; and

 

WHEREAS, the Kane County Board has the authority to pass ordinances and to promulgate rules and regulations; and

 

WHEREAS, the County Grocery Occupation Tax Law (55 ILCS 5/5-1006.9) provides that the corporate authorities of any county may, by ordinance or resolution that takes effect on January 1, 2026, impose a tax upon all persons engaged in the business of selling groceries at retail in the county, but outside of any municipality, on the gross receipts from those sales made in the course of that business (“County Grocery Retailers’ Occupation Tax”); and

 

WHEREAS, if imposed, the County Grocery Retailers’ Occupation Tax shall be at the rate of 1% of the gross receipt from these sales; and

 

WHEREAS, the County Grocery Occupation Tax Law requires that any county imposing a County Grocery Retailers’ Occupation Tax also imposes a service occupation tax at the same rate upon all persons engaged, in the county but outside of any municipality, in the business of making sales of service, who, as an incident to making those sales of service, transfer groceries, as defined under the County Grocery Occupation Tax Law, as an incident to a sale of service; and

 

WHEREAS, any taxes imposed under the County Grocery Occupation Tax Law shall be administered, collected, and enforced by the Illinois Department of Revenue; and

 

WHEREAS, the Kane County Board believes that it is appropriate and necessary to impose a County Grocery Retailers’ Occupation Tax and a County Grocery Service Occupation Tax as permitted by the County Grocery Occupation Tax Law.

 

NOW, THEREFORE, BE IT ORDAINED that the Kane County Board that a County Grocery Retailers’ Occupation Tax and a County Grocery Service Occupation Tax are hereby established in the County of Kane as permitted by the County Grocery Occupation Tax Law (55 ILCS 5/5-1006.9), and Chapter 20 (Taxation) of the Kane County Code is hereby amended to add a new section (County Grocery Tax), which shall read as follows:

 

A.  County Grocery Retailers’ Occupation Tax Imposed; Rate.  A tax is hereby imposed upon all persons engaged in the business of selling groceries, as defined in the County Grocery Occupation Tax Law (55 ILCS 5/5-1006.9), at retail in this county, but outside of any municipality, at the rate of 1% of the gross receipts from such sales made in the course of such business while this Section is in effect.  The imposition of this tax is in accordance with and subject to the provisions of the County Grocery Occupation Tax Law (55 ILCS 5/5-1006.9).

 

B.  County Grocery Service Occupation Tax Imposed; Rate.  A tax is hereby imposed upon all persons engaged in this county, but outside of any municipality, in the business of making sales of service, at the rate of 1% of the selling price of all groceries, as defined in the County Grocery Occupation Tax Law (55 ILCS 5/5-1006.9).  The imposition of this tax is in accordance with and subject to the provisions of the County Grocery Occupation Tax Law (55 ILCS 5/5-1006.9).

 

C.  Illinois Department of Revenue to Administer.  The taxes hereby imposed, and all civil penalties that may be assessed as an incident thereto, shall be collected and enforced by the Department of Revenue of the State of Illinois.  The Department of Revenue shall have full power to administer and enforce the provisions of this Section.

 

NOW, THEREFORE, BE IT FURTHER ORDAINED that the Kane County Board that, as required under the County Grocery Occupation Tax Law (55 ILCS 5/5-1006.9), the Kane County Clerk is hereby directed to file a certified copy of this ordinance with the Illinois Department of Revenue on or before October 1, 2025.

 

NOW, THEREFORE, BE IT FURTHER ORDAINED that the Kane County Board that the taxes imposed by this Ordinance shall take effect on the later of (i) January 1, 2026; (ii) the first day of July next following the adoption and filing of this Ordinance with the Illinois Department of Revenue, if filed on or before the preceding April 1st; or (iii) the first day of January next following the adoption and filing of this Ordinance with the Illinois Department of Revenue, if filed on or before the preceding October 1st.

 

Passed by the Kane County Board on August 12, 2025.

 

 

 ____________________________               ____________________________

John A. Cunningham, MBA, JD, JD               Corinne M. Pierog MA, MBA

Clerk, County Board                                       Chairman, County Board

Kane County, Illinois                                       Kane County, Illinois

 

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