Elgin, IL Hotels & Lodging: Transient Occupancy Tax (2026)
Key Facts
- Tax rate
- 8% of room rent per 24-hour period
- Exempt
- stays over 30 consecutive days
- Returns due
- 15th of following month
- Late penalty
- 1% per 30-day period
- Collected by
- owner, remitted to finance director
- Enforcement
- corporation counsel civil suit
Summary
Elgin taxes every hotel and motel room rental at 8 percent of the nightly rate under City Code Chapter 4.24. The renter pays the tax, the owner collects and remits it to the finance director, and stays exceeding thirty consecutive days or renters who live and work in the same hotel are exempt from the charge entirely.
A. There is levied and imposed a tax of eight (8) percent of the rent charged for the privilege and use of renting a hotel or motel room within the city for each twenty-four (24) hour period or any portion thereof for which a daily room charge is made; provided however, that the tax shall not be levied and imposed upon any person who rents a hotel or motel room for more than thirty (30) consecutive days or to a person who works and lives in the same hotel or motel. B. The ultimate incidence of and liability for payment of said tax is to be borne by the person who seeks the privilege of occupying the hotel or motel room, said person hereinafter referred to as "renter."
Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: Code of Ordinances: Supplement 7).
Full Breakdown
020A). The tax does not apply to anyone renting a room for more than thirty consecutive days or to a person who both works and lives in the same hotel or motel. 020B-D). 030). 040A, D). 040E). 010).
Violations & Fines
Late payment draws a penalty of 1 percent for every 30-day period, or part of one, that the tax remains unpaid (Section 4.24.040C). If an owner fails to pay, the corporation counsel can sue on the finance director's request to force payment (Section 4.24.050). Anyone who willfully fails to pay, collect, report, or transmit the tax faces prosecution under the general penalty schedule in Chapter 1.20, with fine-only cases handled as quasi-criminal actions under 735 ILCS 5/2-101 et seq. (Section 4.24.060).
Frequently Asked Questions
Does Elgin's hotel tax apply to a one-night stay?
Who is legally responsible for paying Elgin's hotel tax?
What happens if a hotel doesn't file its tax return on time?
Are extended-stay guests exempt from the tax?
Sources & Official References
Other rules in Elgin
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Transient Occupancy Tax in Nearby Cities
How other cities in this county handle transient occupancy tax.