Home / Business and Economy / Chicago hotel tax jumps to 19% for tourism boost
Chicago hotel tax jumps to 19% for tourism boost
20 Mar
Summary
- Chicago hotel tax rate increases to 19% for certain properties.
- New tax revenue will fund Choose Chicago marketing programs.
- The Democratic National Convention is a key target for future bids.
Chicago is set to increase its tourist tax to 19% on hotel rooms in downtown and nearby districts, a move aimed at boosting marketing programs for traveler growth. This ordinance, impacting hotels with over 100 rooms that opt-in, includes a combined city, county, and state tax.
The city council also established a Tourism Improvement District (TID) to fund Choose Chicago, the official destination marketing organization. Revenue generated will support city marketing campaigns and bid fees for attracting conventions and major events.
Chicago is actively pursuing the Democratic National Convention, a bid that requires a $1 million fee. Mayor Brandon Johnson views this tax increase as a vital step in developing Chicago's tourism and hospitality sectors.
Choose Chicago leadership hails the TID as a "transformative moment," providing enhanced resources to attract more visitors, conventions, and events, ultimately benefiting the city's economy and communities.
