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I-Team: Illinois’‘tire tax’

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By Jason Knowles
May 9, 2014

web-20lbs_06682-298x290May 9, 2014 (WLS) – Whether you’ve hit a pothole this season, or just need to replace them, you could end up spending hundreds of dollars on new tires for your vehicle. But did you know there’s also something called a “tire tax”?

“I think it’s ridiculous, I work pretty hard,” said Basha Smalley, who recently replaced all four of her tires. She blames Chicago’s potholes.

After spending $700, she noticed something else: a state “tire tax” of $2.50 per tire.

“I’m paying sales tax, I am paying part tax and now labor tax and now you come for another $2.50 for a tire I didn’t ask for!” Smalley said.

The Illinois Tax Handbook for Legislators says it was implemented in 1992 at $1 per tire and has gone up since.

Revenue officials said there’s also an additional dollar added on if you buy tires in the city of Chicago, bringing the total to $3.50 per tire.

ABC7′s Jason Knowles: “So if I have to replace four tires, should I be annoyed?”

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