CHICAGO – Illinois families saved an estimated $11.4 million during the 2026 back-to-school sales tax holiday, exceeding initial projections and helping parents afford clothing, footwear and school supplies for the new academic year.
“As the nation faces a worsening affordability crisis, Americans are paying more for less, said Majority Appropriations Leader Elgie R. Sims Jr. (D-Chicago). “That’s why Illinois Democrats stepped up with a back-to-school tax holiday that saved families more than $11 million this school year. Every bit of relief helps make life easier for the people we represent, and we’ll keep fighting for them and their pocketbooks.”
The 10-day tax holiday, held Aug. 7 through Aug. 16, reduced the state sales tax from 5% to 1%. Approximately 2,284 retailers participated selling an estimated $229.3 million in eligible items. The reduced rate applied to purchases made both in stores and online.
Enacted as part of the Fiscal Year 2027 state spending plan, the tax holiday provided savings on clothing and footwear priced below $125 per item along with eligible school supplies such as notebooks, folders, binders, pens, pencils and calculators. School supplies had no price limit. Applicable local sales taxes continued to apply, and retailers automatically applied the reduced rate at checkout.
“Illinois Democrats recognize families in our state need assistance affording everyday necessities, and we took charge this spring by implementing a responsible revenue solution that saved families over $11 million on much-needed items for their children, like clothing, shoes and school supplies, for the 2026-2027 academic year,” said State Senator Celina Villanueva (D-Chicago). “As decisions by the federal administration continue to cause economic uncertainty for families across the country, Illinois is working to put money back in the pockets of working-class families.”
The program aimed to help Illinois families manage back-to-school expenses as they prepared for the 2026-2027 school year. Senate Democrats will continue to fight for programs and legislation to put money back in the pockets of everyday Illinoisans.
