CHICAGO – Today, Governor JB Pritzker announced that the 2026 Back-to-School Sales Tax Holiday provided an estimated $11.4 million in savings for Illinois families – exceeding the $10 million savings estimate. The tax holiday, held August 7 through August 16, reduced the state sales tax rate on clothing, footwear and school supplies. Approximately 2,284 retailers sold an estimated $229.3 million in qualifying items during that period. The reduced rate applied to purchases made both in stores and online.

“Every child deserves to walk into the classroom with what they need to learn and grown, and every parent deserves the breathing room to focus on helping their kids succeed – that is what our Back-to-School Sales Tax Holiday delivered,” said Governor JB Pritzker. “Illinois working families saved $11.4 million, while our students got what they needed to start the school year off right.”

"The Back-to-School Sales Tax Holiday meant we were able to give families a break in this affordability crisis— all while making sure our kids were ready to get back into the classrooms," said Lieutenant Governor Juliana Stratton. "Not only was this a win for families and educators, but businesses across Illinois saw the benefits. This is what it looks like when government works for us all."

Enacted as part of the FY27 state budget package, the Back-to-School Sales Tax Holiday builds on Governor Pritzker’s commitment to making everyday expenses more affordable for Illinois families. The tax holiday came at a critical time for Illinois residents, as the Trump administration’s flawed economic policies and failed leadership continue to drive up prices for essential items. From electricity bills to grocery prices, everyday costs have skyrocketed over the past year – with school supplies being no exception.

During the 10-day holiday, the state waived its 5% sales tax on qualifying purchases. Any applicable local sales tax still applied. Applicable local sales taxes continued to apply. Clothing and footwear priced at less than $125 per item were eligible. Examples included shirts, pants, dresses, shoes and other everyday clothing. School supplies were also eligible, including notebooks, folders, binders, pens, pencils and calculators. There was no price limit on eligible school supplies.

Retailers throughout Illinois automatically applied the reduced rate at checkout, allowing taxpayers to receive the benefit at the time of purchase.

“This initiative provided Illinois taxpayers with meaningful savings as they prepared for the new school year,” said Illinois Department of Revenue Director David Harris. “By reducing the state sales tax rate on qualifying purchases, the Back-to-School Sales Tax Holiday helped ease the cost of school essentials.”

“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.”

“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 fact that a week-long sales tax holiday saved Illinois families millions of dollars is proof that, despite federal policies, we can bring real relief to our state. So much of the affordability crisis is currently out of our control on the state side, but we’re dedicated to providing any kind of financial assistance we can to the hard-working people of Illinois,” said State Rep. Kam Buckner (D-Chicago). “As we prepare to enter this year’s Veto Session, affordability remains at the forefront of everyone’s minds. I will continue to do everything in my power to protect and defend my constituents–and all Illinoisans–from this federal administration’s backwards ideas that hinder our communities.”

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