Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Municipal Grocery Tax topic
No spam. Unsubscribe anytime.
Shorewood holds first read on local grocery tax after state repeal; staff says village could lose $600K+
Summary
Finance presented a first read on a municipal grocery retailer/service occupation tax to replace a repealed statewide levy; staff estimated Shorewood's share at "more than $600,000 annually," and said the tax must be imposed at 1% and registered with the Department of Revenue by Oct. 1 to avoid a lapse.
Shorewood officials put a municipal grocery retailer and grocery service occupation tax on the agenda for a first read on May 13 after the legislature repealed the statewide grocery tax that previously returned revenue to municipalities.
Finance staff told the board that the state-level tax repeal will take effect Jan. 1, 2026 and municipalities may adopt a local replacement. "Utilizing publicly available data, we can confirm that that amount here in the village, is more than $600,000 annually," finance staff said, and added the law allows municipalities to impose the 1% rate only as an "all-or-none" option. Staff said an ordinance must be filed with the Department of Revenue by Oct. 1 to avoid a lapse in collections.
The board treated the measure as a first read and declined to waive the second reading immediately; trustees flagged that tax measures warrant extra consideration and asked for more time to review.
