Does the interstate commerce exemption apply when out-of-state residents purchase items in Illinois?
No. The interstate commerce exemption applies to sales made by Illinois businesses when the property is shipped or delivered by those Illinois businesses to a location outside Illinois and is not returned to Illinois for use. This exemption does not apply to sales made by Illinois businesses to an out-of-state buyer who takes possession of items in Illinois. See Illinois Administrative Code,
Section 130.605.
