Dry-Cleaning License Tax & Fee
Statutory Reference
Definition
The tax is imposed on the use of dry-cleaning solvent by persons who operate dry-cleaning facilities in Illinois. License fees are imposed on those who operate dry-cleaning facilities. The fee must be paid to the Department of Revenue however, the Dry-Cleaner Environmental Response Trust Fund Council issues the licenses.
Allowable Deductions
Sales of dry-cleaning solvent to the following facilities are exempt from the tax:
- A facility located on a United States military base
- An industrial laundry, a commercial laundry, or a linen supply facility
- A prison or other penal institution that dry-cleans only as part of a correctional industries program to provide dry-cleaning to persons who are incarcerated in a prison or a penal institution or to resident patients of a state-operated mental health facility
- A not-for-profit hospital or other health care facility
- A facility presently or formerly located on federal or state government property
- A facility that will not use the dry-cleaning solvent in a dry-cleaning operation
Tax Rate
Use the
“Tax Rate Finder” to find the tax rates for chlorine-based solvents, petroleumbased
solvents, and green solvents.
NOTE: The Dry-cleaner Environmental Response Trust Fund Council determines the tax rate annually.
License Fees
License fees are based on the amount and type of dry-cleaning solvent used annually by a dry-cleaning facility operator and are determined annually by the Dry-cleaner Environmental Response Trust Fund Council. Proof of license fee payment is required to receive a dry-cleaning license from the Dry cleaning Trust Fund Council. Use the
"Tax Rate Finder" for the licensing rates.
Form/Filing & Payment Requirements
Return
License
- Form DS-3, Dry-Cleaning Operators' License Fee Payment Form, is due annually on or before December 31 for the following license year .
