The Iraqi army said in a statement on Saturday its troops have "liberated" Tal Afar's city center and its Ottoman-era citadel.
Earlier in the day, members of the Counter-Terrorism Service (CTS) liberated the neighborhood of al-Qal'a and Tal Afar Citadel in the center of the city and raised the Iraqi flags over a number of buildings in the area.
Rasool added that their forces have killed almost 300 jihadists, but around 2,000 militants still remained in the city, according to Al Jazeera.
Tal Afar is about 150 kilometers (93 miles) from Syria's border and among the last IS-held towns in Iraq.
Tal Afar was cut off from the rest of IS-held territory in June and the campaign to recapture it started on August 20, when up to 2,000 militants were believed to be defending it against around 50,000 attackers, according to western military sources.
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Meanwhile, Iraqi Foreign Minister Ibrahim al-Jaafari said the campaign against the militant group in Tal Afar would end soon. Tal Afar was cut off from the rest of ISIL-held territory in June.
A predominantly Turkmen district, Tal Afar was overrun by Islamic State of Iraq and the Levant fighters in 2014. It was strategically significant for its location along a supply route between Mosul and Syria.
Saturday's advance puts Iraqi forces on the verge of recapturing Tal Afar only six days after they launched an offensive to take back one of the last IS strongholds in the country.
Only a small area remains under ISIS control, in the north of the city, according to a map released by the Iraqi Joint Military Command. The district has produced some of the armed group's most senior commanders.
Between 10,000 and 40,000 civilians are estimated to remain in the city and its surrounding villages.