State Representative Amy Elik is speaking out against a new proposal making the rounds in Springfield that would establish a new sales tax on services across the state. This new service tax would cover almost all services consumers rely on, ranging from streaming services to dry cleaning, haircuts to vehicle repairs, and everything in between. Proponents are pushing the new tax as a bailout to fill the void for years of mismanagement in the Chicago region’s mass transportation system, which is facing nearly a billion-dollar budget shortfall in 2026.
The 6.25% proposal being floated in Springfield would be the highest tax of its kind in any state in the nation. Depending on the analysis, Illinois already consistently ranks as having one of the highest overall tax burdens of any state in the country.
“Illinoisans are already among the highest taxed people in the United States,” said Elik. “They simply cannot afford to pay service tax fees on top of the already massive burden they pay. Spending is out of control in Illinois, and we do not need to raise taxes to let the Democratic Supermajority continue their spending spree.”
Over 73% of the Illinois economy is service-producing industries, and most are not currently set up to pay sales tax. Rushed implementation under this proposal will lead to many businesses choosing not to operate in Illinois.
More than eighty services appear in the new tax proposal, including car washes, streaming services, landscaping, home repair/handyman services, employment staffing agencies, camping, dry cleaning, carpet cleaning, fitness centers, pest control, dog grooming, retirement/investment advising, moving services, and many more.
For a complete list of the services included in the tax proposal and to express your opposition to this major tax expansion, go to StopILServiceTax.com.