Invoicing in Illinois

Built-in handling of IL sales tax (6.25% state rate) and statutory late fees.

State sales tax
6.25%
Late fee max
1.5%/mo
Metros covered
6
Written contract req.
Yes

Illinois compliance at a glance

  • Sales tax: 6.25% state rate. Services largely exempt; combined rates up to ~11% in Chicago.
  • Late fees: Up to 1.5% per month. (815 ILCS 205/4 (Interest Act)) Up to 9%/yr without writing; higher with written agreement.
  • Written contracts: Required for jobs over $1,000.
  • Prompt-pay law: Illinois Local Government Prompt Payment Act (50 ILCS 505); Building and Construction Contract Act (815 ILCS 603). Local gov: payment within 30 days. Construction: 15 days after prime contractor receives payment.

Illinois metros

Illinois guides