Taxes & Insurance in Danville
Danville's tax picture pairs a real property tax rate above Illinois's own statewide average with an unusually high 9.25% combined sales tax, layered onto Illinois's statewide retirement-income exemption and its currently escalating severe-weather insurance trend.
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Learn moreA property tax rate above the state average, a low dollar bill
Danville's effective property tax rate is 2.43% (Ownwell) -- above Illinois's own statewide average of 1.88% (illinois.js) -- though the resulting median annual bill ($1,356) is itself low, a direct function of the city's very low home values.
A combined sales tax reaching 9.25%
Danville's combined sales tax rate is 9.25% (6.25% Illinois state + 0.25% Vermilion County + 2.75% Danville city) -- an unusually high city-specific local add-on relative to the other markets in this batch.
Illinois's statewide retirement-income exemption applies here, and is genuinely relevant
Illinois's real, no-threshold exemption of Social Security, pension, and 401(k)/IRA income (illinois.js) applies fully in Danville, and is genuinely more relevant here than in most of this batch given Danville's real, sourced older population (18.48% 65-plus).
Illinois's real, current, escalating tornado/derecho insurance trend applies statewide
Danville shares Illinois's real, current 2026 severe-weather profile -- a record 202+ confirmed tornadoes statewide and the August 11, 2026 derecho -- and the real, sourced statewide homeowners-insurance premium increases tied to that trend (illinois.js). No Danville-specific premium figure was independently verified this pass. Vermilion County participates in the National Flood Insurance Program, allowing residents to purchase federally-backed flood coverage.
Key takeaways
- Effective property tax rate (2.43%) runs above Illinois's statewide average, though the resulting dollar bill is itself low.
- Combined sales tax reaches 9.25%, driven by an unusually high city-specific local add-on.
- Illinois's retirement-income tax exemption is genuinely relevant given Danville's older population.
- Illinois's real, current tornado/derecho insurance-cost trend (illinois.js) applies here; Vermilion County participates in the NFIP for flood coverage.
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