Restaurant Tax (7525)
| Municipal Code Reference: | 3-30 |
| CAPS Code Reference: | 1002920051710 |
| Tax Return Form Code: | Form 7525 |
| Procedure: | The Restaurant Tax is imposed on each place for eating located in the City of Chicago. The tax is imposed on the selling price of all food and beverages sold at retail by the place for eating. |
| Tax Base: |
As of 1/1/2020: .5% Prior to 1/1/2020: .25% of retail price |
| Exemptions, Deductions and Credits: |
Sales exempt from the Illinois Retailers’ Occupation Tax are also exempt from the Restaurant Tax. For example, school cafeteria food sold to students and hospital food sold to patients are not taxable. |
| Rulings and Procedures: |
March 2009 Information Bulletin: Restaurant Tax Restaurant Tax guidance for COVID-19 related surcharges Effective July 1, 2021 Delivery Companies Are Required to Collect and Remit Chicago Restaurant Tax |