If you have Illinois nexus and are, or were, required to file federal Form 8886 (or a similar form prescribed by the IRS) with your federal income tax return, you are required to submit a copy of the federal form to the Illinois Department of Revenue for each taxable year that you are required to make a federal disclosure.
Disclosure of participation in a reportable transaction (including listed transactions) must be made by the due date (including extensions) of the Illinois income tax return. If the federal due date is later than this date, the disclosure must be made no later than the federal due date.
Illinois requires that you submit two copies of the form used to disclose the transaction to the IRS.
However, it is ultimately your obligation to make the disclosure. If you choose to make the disclosure directly, you may mail the federal disclosure form to the Department.
If you are a material advisor required to file a federal Form 8918, Material Advisor Disclosure Statement, (or a similar form prescribed by the IRS such as Form 8264) with respect to a reportable transaction having nexus with Illinois, you are required to submit a copy of that federal form to the Illinois Department of Revenue.
For federal income tax purposes, the IRS requires material advisors to make disclosures by the last day of the month following the end of the applicable calendar quarter in which the advisor became a material advisor for the reportable transaction. Illinois requires that the copy of the federal form be filed with the Department on the same date as the federal filing. This means both the federal and Illinois due dates are January 31, April 30, July 31, or October 31.
A copy of the federal form (Form 8918 or similar form prescribed by the IRS) must be furnished to the Department at the following address:
Material advisors are also required to maintain a list under IRC Section 6112 identifying each taxpayer for whom the person provided services as a material advisor with respect to a reportable transaction. A duplicate copy of the investor list provided to the IRS must be provided to Illinois when the reportable transaction has nexus in Illinois. It is to be furnished not later than the following dates