Remote Sellers into Illinois Must Collect Use Tax

Illinois will require remote sellers to collect use tax on October 1, 2018, if they meet economic nexus requirements. Remote sellers making sales into Illinois who meet the threshold requirements must register with the Department of Revenue, on or after October 1, 2018, to start collecting tax.

The department has issued guidance for remote sellers.

Sales Thresholds

The sales thresholds for economic nexus in Illinois are:

  • $100,000 or more in revenue from sales into Illinois; or
  • 200 or more sales to customers in Illinois.

Guidance on Thresholds and Registration

The department’s guidance advises taxpayers on whether they need to register and how to do so. It discusses:

  • what types of sales are not included in the thresholds;
  • how to register; and
  • how to file returns to report use tax.

Informational Bulletin FY 2019-05, Illinois Department of Revenue, August 2018, ¶403-348

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