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

5% on the gross rental receipts from renting rooms in a hotel or motel within village limits. The same section extends the tax to any residence or room in a residence rented for a period of less than 30 days, folding short-term residential rentals into the identical tax base as traditional lodging. Article V of Chapter 98, beginning at § 98-141, restates the imposition: the tax reaches all short-term rentals, defined as a rental of up to 30 days, whether at a hotel, motel, or private residence, and the ultimate liability rests with the guest, lessee, or tenant, not the property owner.

The tax stacks on top of every other applicable tax, and is separate from the State's own levies under 65 ILCS 5/8-3-14 and the Hotel Operators' Occupation Tax Act, 35 ILCS 145/1 et seq. The Village Manager or a designee administers and enforces the article, with authority under § 98-143 to collect all amounts due from hotel and motel owners, operators, and certificate-of-occupancy holders. The current rate and short-term-rental applicability trace to Ord. No. 19-2-C-4444, adopted February 19, 2019, which amended the earlier 2008 and 2014 versions of the tax to fold private-residence rentals into the same base as hotels and motels.

Owners must hold a certificate of occupancy to operate a hotel or motel in the Village, and that certificate is the lever the Village uses against noncompliant operators.