Lake County, IL Hotels & Lodging: Transient Occupancy Tax (2026)
Key Facts
- Tax rate
- 5% of gross rental receipts
- Applies to
- unincorporated Lake County hotels only
- Exemption
- stays of 30+ consecutive days
- Filed with
- Lake County Treasurer, monthly
- Late penalty
- 1% interest per month
Summary
Hotels outside Lake County's cities and villages pay a 5% tax on gross rental receipts, filed monthly with the County Treasurer under the county's Hotel Operator's Tax ordinance.
A tax is hereby imposed upon all persons engaged in the business of renting, leasing, or letting rooms in a hotel which is not located within a city, village, or incorporated town in the county at the rate of 5% of the gross rental receipts from the renting, leasing, or letting, excluding, however, from gross rental receipts, the proceeds of renting, leasing, or letting to permanent residents of that hotel.
Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: 2026 S-15: Supplement contains: Local legislation current through Ord. 26-0618, passed 6-9-2026 | State legislation current through ILCS Pamphlet 2025 #5).
Full Breakdown
Lake County imposes a 5% tax on gross rental receipts from renting, leasing, or letting hotel rooms in the unincorporated county, but only where the property sits outside a city, village, or incorporated town, since municipalities like Waukegan, Highland Park, Gurnee, and Libertyville tax their own hotels separately under their own codes. Rent paid by permanent residents who occupy a room for 30 or more consecutive days is excluded from taxable gross rental receipts. Operators file monthly with the Lake County Treasurer alongside their state Hotel Operators' Occupation Tax report, and proceeds fund the Lake County Convention and Visitors Bureau and economic development efforts.
Violations & Fines
Late remittance draws 1% interest per month starting 15 days after the tax is due, and each month's late payment is treated as a separate offense under § 34.41.
Frequently Asked Questions
Does this tax apply to hotels in Waukegan or Highland Park?
Is there an exemption for long-term guests?
Sources & Official References
Other rules in Lake County
Compare Lake County to another location·View the Illinois hotels & lodging overview
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