How Darien Will Offset Grocery Tax Loss

DARIEN, IL – Darien has found a way to offset the loss in grocery sales tax income starting Jan. 1.

Last year, Gov. J.B. Pritzker signed legislation repealing the 1 percent grocery sales tax, which the state assesses but funnels to local governments.

Under the law, towns can enact their own grocery taxes. Many have.

Darien, instead, is raising its home rule sales tax by a quarter of a percent. That tax mostly exempts food at grocery stores.

Without a grocery tax, Darien estimated it would see a drop of $660,000 a year in income. With the home rules sales tax hike, it would draw $750,000.

"While this is slightly above the estimated revenue we would lose as part of the grocery tax repeal, it provides a conservative revenue estimate in case sales taxes decrease for any reason," the city said in a memo.

On Monday, the City Council voted unanimously for the home rule sales tax increase. Alderman Eric Gustafson was absent.