Dry-Cleaning License Tax & Fee
Statutory Reference
Definition
The tax is imposed on the use of drycleaning solvent by persons who operate drycleaning facilities in Illinois.
License fees are imposed on those who operate drycleaning facilities. The Drycleaner 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 drycleaning solvent in a drycleaning operation
Tax Rate
Use the
“Tax Rate Database” to find the tax rates for chlorine-based solvents, petroleumbased
solvents, and green solvents.
NOTE: The Drycleaner 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 Drycleaner Environmental Response Trust Fund Council. Proof of license fee payment is required to receive a drycleaning license from the Dry cleaning Trust Fund Council. Use the
"Tax Rate Database" for the licensing rates.
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.
Questions?
