Skip to main content
CityRuleLookup

Elgin, IL Hotels & Lodging: Transient Occupancy Tax (2026)

Some Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified September 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."

View official code

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?
Yes. The 8 percent tax under Section 4.24.020 applies to every hotel or motel room rented for any 24-hour period or portion of one, so a single night's stay is fully taxable. The only exemptions are renters staying more than thirty consecutive days and people who both work and live in the same hotel or motel.
Who is legally responsible for paying Elgin's hotel tax?
The renter bears the ultimate cost, but the hotel or motel owner must secure the tax from the renter at the time of payment and remit it to the city's finance director. Owners who fail to collect and forward the tax remain civilly liable and can be sued by the corporation counsel.
What happens if a hotel doesn't file its tax return on time?
A penalty of 1 percent accrues for every 30-day period, or part of one, that the return is late, added to whatever tax is owed. The finance director can also inspect the hotel's daily rental and receipt records at any time to verify compliance under Section 4.24.030.
Are extended-stay guests exempt from the tax?
Yes. Anyone renting a hotel or motel room in Elgin for more than thirty consecutive days is exempt from the tax, as is a person who both works and lives at the same hotel or motel, under the exemption written into Section 4.24.020A.

Sources & Official References

Other rules in Elgin

All Elgin rules

Compare Elgin to another location·View the Illinois hotels & lodging overview

Get notified when Transient Occupancy Tax in Elgin, IL changes

We'll email you the moment we detect a change in the code. No spam, unsubscribe anytime.

We'll never sell or share your email. One-click unsubscribe in every email.

See something wrong?

Help us keep this page accurate. If you notice an error or outdated information, let us know.

Transient Occupancy Tax in Nearby Cities

How other cities in this county handle transient occupancy tax.

Aurora, IL
Some Restrictions