State tax rates and rules for income, sales, gas, property, cigarette, and other taxes that impact middle-class families. Go to the Kiplinger Tax Map Illinois Add to State Compare List | View List View State Compare List (0) selected | Compare up to 5 The Bottom Line Least Tax-Friendly At first blush, the state's 4.95% flat income tax rate doesn't seem that steep when compared to other states' top tax rates. And that's true if you're talking about wealthy residents. But for middle-class taxpayers, the income tax rate is on the high end. Also note that Illinois voters rejected a proposal on the November 2020 ballot that would have dumped the flat tax in favor of a graduated income tax. Had it passed, the marginal tax rate for most middle-income residents would have dropped slightly to 4.9%. Residents of the Land of Lincoln also get no relief when it comes to property taxes, which are the second highest in the country, on average. Sales taxes are steep as well. Income Tax Range Illinois has a flat rate of 4.95% of federal adjusted gross income after modifications. Sales Tax 6.25% state levy. Localities can add as much as 4.75%, and the average combined rate is 8.8%, according to the Tax Foundation.Groceries: Taxable (1% state rate; additional local taxes may apply)Clothing: TaxableMotor Vehicles: TaxablePrescription Drugs: Taxable (1% state rate; additional local taxes may apply) Real Property Taxes In Illinois, the median property tax rate is $2,165 per $100,000 of assessed home value. Motor Fuel Taxes Gasoline: 52.01¢ per gallon (varies by location). Diesel: 58.44¢ per gallon. Sin Taxes Cigarettes and little cigars: $2.98 per pack, Cook County has an additional tax of $3. Three localities, all in Cook County, add to that. According to the Campaign for Tobacco Free Kids, a pack purchased in Chicago has the highest total tax in the country: $7.16.Snuff: $0.30 per ounceOther tobacco products: 36% of the wholesale priceVapor products: 15% of wholesale price; localities have additional taxesBeer: $0.23 per gallonWine: $1.39 per gallonLiquor: $8.55 per gallonMarijuana: 10% of purchase price for marijuana at or below 35% THC, 25% for marijuana with THC greater than 35%, and 20% for cannabis-infused edibles, topical and inhalation products Annual Car Taxes and Fees An annual vehicle registration fee is imposed. Estate and Inheritance Taxes Illinois has an estate tax with a $4 million exemption. Estate tax rates are from 0.8% to 16%.