The new checkout bag tax takes effect February 1, 2017.
The Checkout Bag Tax is imposed on the retail sale or use of checkout bags in Chicago. All retail stores must perform an inventory of all checkout bags on hand by the close of business on Tuesday, January 31, 2017. A Floor Tax return reporting such inventory must be submitted with payment on or before Friday, March 3, 2017. Floor Tax returns will be mailed to all licensed Chicago retailers before December 31, 2016.
Every wholesaler of checkout bags must register with the Department of Finance before the February 1, 2017, effective date to begin collecting and remitting the tax on the effective date. Retailers that are eligible to collect and remit the tax directly to the Department of Finance must also register before the February 1, 2017, effective date. If you have any questions about the Checkout Bag Tax, the Floor Tax return, or how to get registered for the tax, please contact Customer Service at 312.747.4747 or by e-mail at RevenueDatabase@cityofchicago.org.