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
Effective January 1, 2004:- The tax rate on chlorine-based solvents is $10.00 per gallon of solvent purchased.
- The tax rate on petroleum-based solvents is $2.00 per gallon of solvent purchased.
- The tax rate on green solvents is $1.75 per gallon of solvent purchased.
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.|
Fee
|
Chlorine based solvent
|
Green solvent
|
Petroleum with reclaiming
|
Petroleum without reclaiming
|
|---|---|---|---|---|
| $500 | 0-50 gallons | 0-50 gallons | 0-250 gallons | 0-500 gallons |
| $1000 | >50-100 gallons | >50-100 gallons | >250-500 gallons | >500-1000 gallons |
| $1500 | >100-150 gallons | >100-150 gallons | >500-750 gallons | >1000-1500 gallons |
| $2000 | >150-200 gallons | >150-200 gallons | >750-1000 gallons | >1500-2000 gallons |
| $2500 | >200-250 gallons | >200-250 gallons | >1000-1250 gallons | >2000-2500 gallons |
| $3000 | >250-300 gallons | >250-300 gallons | >1250-1500 gallons | >2500-3000 gallons |
| $3000 | >300-350 gallons | >300-350 gallons | >1500-1750 gallons | >3000-3500 gallons |
| $4000 | >350-400 gallons | >350-400 gallons | >1750-2000 gallons | >3500-4000 gallons |
| $4500 | >400-450 gallons | >400-450 gallons | >2000-2250 gallons | >4000-4500 gallons |
| $4500 | >450-500 gallons | >450-500 gallons | >2250-2500 gallons | >4500-5000 gallons |
| $4500 | >500-550 gallons | >500-550 gallons | >2500-2750 gallons | >5000-5500 gallons |
| $4500 | >550-600 gallons | >550-600 gallons | >2750-3000 gallons | >5500-6000 gallons |
| $4500 | >600 gallons | >600 gallons | >3000-3250 gallons | >6000 gallons |
| $4500 | >3250-3500 gallons | |||
| $4500 | >3500-3750 gallons | |||
| $4500 | >3750-4000 gallons | |||
| $4500 | >4000 gallons |
Form/Filing & Payment Requirements
Return
- Form DS-1, Dry-Cleaning Solvent Tax Return, is due quarterly on or before April 25, July 25, October 25, and January 25.
License
- Form DS-3, Dry-Cleaning Operators' License Fee Payment Form, is due annually on or before December 31 for the following license year .
