Illinois has the common sales tax that is used by most states in the U.S. When a business purchases a product for resale, however, the business generally gets an Illinois tax exemption for the usual sales tax. Those seeking to get sales tax exemptions in Illinois must usually register with the Illinois Department of Revenue as a retailer or reseller. They can then use the appropriate Illinois tax exempt form to avoid paying sales taxes on items bought for resale purposes.
Register with the Illinois Secretary of State if your business is required to register with that office. Example of Illinois businesses required to register at the state level include, among others, for-profit corporations, nonprofit corporations and limited liability companies. Go to CyberDriveIllinois and see if you need to register your business entity.
Get tax ID numbers required for your business. For example, the federal government requires an employer identification number for many businesses (generally nonprofits and any business that hires workers). Check to see if you need an EIN on the IRS.gov website by searching for “EIN requirements.” You can then get a federal EIN by following the information on that website.
Register to pay Illinois sales tax if you want a tax exemption on your purchases. The normal rule is that you need to be a registered business that collects sales taxes if you expect to get an Illinois tax exemption on your own sales taxes. This is because, as a reseller, you will need to be collecting taxes from your customers.
Go to the Illinois Business Gateway at https://www.revenue.state.il.us/app/ibri/. Register there to get an Illinois business tax number and to register to collect sales taxes.
For resellers, download and print out a copy of the Illinois Department of Revenue “CRT-61 Certificate of Resale.” You can find this Illinois resale certificate at Revenue.state.il.us/TaxForms/Sales/CRT-61.pdf. This is the Illinois tax exempt form you give to the seller when you make a purchase for resale.
Note that some other Illinois businesses qualify for other kinds of Illinois tax exemptions on sales and use taxes. You can find those forms on the “Sales and Use Taxes” page at Revenue.state.il.us/TaxForms/Sales/index.htm. Read through the forms to see if any of the tax exemptions apply to your own purchases.
Illinois Certificate of Resale (For Tax Exemptions on Resale Products)