Tax Breaks For Gas, Groceries Start In July For Illinois Residents

ILLINOIS — Illinois residents can look forward to a tax break at the grocery store and the gas station starting in July.

The state is suspending its grocery sales tax for a year as of July 1, according to the Illinois Department of Revenue. The 1 percent tax applies to most food and drinks purchased at stores, with exceptions for alcohol, cannabis products, soda, candy and items prepared for immediate consumption.

Illinois will also suspend the inflation adjustment to its gas tax from July 1 to Dec. 31, the department said, meaning the state’s tax on gas will stay flat at 39 cents per gallon.

The tax breaks come amid crushing inflation, with a May inflation rate of 8.6 percent in the United States.