Effective January 1, 2020, Chicago’s Personal Property Lease Transaction Tax increases from 5.25% to 7.25% on charges for cloud services, specifically the non-possessory lease of a computer to input, modify, or retrieve data supplied by the customer. The increased rate will apply to invoices dated January 1, 2020 or later. The 5.25% rate will apply to invoices with dates prior to January 1, 2020. To see our previous news item on the Personal Property Lease Transaction Tax, visit Chicago Enacts Amendments to Chicago Cloud Tax Ruling. (Personal Property Lease Transaction Tax (7550) webpage, City of Chicago website)