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Yes. An exemption is available for organizations that have E-numbers. These organizations may engage in a very limited amount of retail selling, as described in 86 Ill. Adm. Code 130.2005(a)(2) through (a)(4), without incurring Retailers' Occupation Tax liability. An exempt organization may engage in sales to members, noncompetitive sales, and up to two times a year, certain occasional dinners and similar activities without incurring Retailers' Occupation Tax liability. In regard to sales to members, please note that the population to which sales are made is limited to persons specifically associated with that exempt organization, and the sales must be for the primary purpose of the selling organization. Organizations can use their E-numbers to purchase items for these limited sales.
However, if organizations engage in ongoing selling activities (such as Little league concession stands or sales of items in a thrift shop run by a church), they must also register with the department as retailers, file returns, and pay tax. For these types of ongoing sales, the organizations would provide their suppliers with Certificates of Resale for the items they purchase to resell and pay Retailers' Occupation Tax on their gross receipts from sales. See 86 Ill. Adm. Code 130.1405 for the requirements for a valid Certificate of Resale.