Posted on January 30, 2017

Starting February 1, 2017, the $.07 Chicago Checkout Bag Tax will be collected on all disposable paper and plastic bags used in Chicago.

There are multiple disposable bag exemptions, including:
• Paper and plastic bags used to package loose bulk items, such as fruit, vegetables, nuts, grains, candy, cookies or small hardware items or to contain or wrap frozen foods, meat or fish, whether prepackaged or not.
• Bags provided by a pharmacist to contain prescription drugs, dry cleaning or garment bags and newspaper bags.
• Bags sold in packages containing multiple bags intended for use as garbage bags, pet waste bags or yard waste bags.
• Bags provided by a dine-in or take-out restaurant to contain food or drink purchased by the restaurant’s customers.

Click here for a FAQ Sheet which includes a complete list of exemptions.

In most cases this tax should be paid through your wholesaler, but if your wholesaler is not collecting the bag tax on behalf of your business, please call 312-747-4747 to register with the Department of Finance as payer of this tax. It’s recommended that you call your bag wholesaler first to confirm collection of the tax and then follow up with the Department of Finance if necessary.

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.

Click here for more information.