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Lake Forest moves to reinstate 1% grocery tax effective Jan. 1, 2026
Summary
On a 7-0 vote with one abstention, the council approved an ordinance to adopt a 1% municipal grocery tax beginning Jan. 1, 2026, to replace a state-level tax the legislature repealed. Staff said the city typically receives about $525,000 annually from the tax.
Lake Forest — The City Council approved an ordinance Tuesday to impose a 1% municipal grocery tax effective Jan. 1, 2026, after the state repealed the corresponding state-collected tax.
City staff explained that when the state repealed the long-standing 1% grocery tax as part of the FY25 state budget, it left municipalities with the option to adopt an equivalent local tax to preserve the revenue stream. Staff told the council the city typically receives about $525,000 per year in…
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