If you own a business in Illinois that sells goods or services to consumers, you have to collect state sales tax.MyTax Illinois is the tax web portal for the Illinois Department of Revenue.If you buy goods or services from a seller in another state who doesn't collect sales tax, you have to pay state tax.You can pay this sales tax online through the MyTax Illinois website.
Step 1: You can register your business with MyTax Illinois.
Before you can conduct business in the state, you need to register with the Illinois Department of Revenue.You can register on My Tax Illinois.Click on the "Businesses" tab to start.If you register online, it will take a day or two to process.
Step 2: Form REG-1 is complete.
If you prefer, you can complete a paper form.The form can be found at http://www.revenue.state.il.us.Depending on the type of business you conduct, you may need to complete additional schedules.If you sell alcohol or tobacco, you have to complete additional schedules.Mail your application to the Central Registration Division of the Illinois Department of Revenue.If you mail paper forms, you should be able to process them in 6 to 8 weeks.
Step 3: Receive your registration package.
You will get a certificate of registration and taxpayer ID after the Department of Revenue processes your registration application.The address you listed on your application will receive this package.There is a prominent place in your business where you can display your certificate.Before you can sell or hire employees, you must have this certificate.
Step 4: Form ST-1 should be filed when due.
You can use this form to report the sales you've had and the amount of sales tax you collected.You can use MyTax Illinois to file this form.The Department of Revenue will determine how often to file sales tax returns.If you have a lot of business, you'll have to file monthly, quarterly, or yearly.Depending on your sales volume, the Department of Revenue may adjust the rate at which you have to file your return.Average sales of Illinois businesses similar to yours will determine the initial rate.
Step 5: Your payment needs to be submitted.
Illinois state law requires businesses to pay sales tax using electronic funds transfer if they have an annual tax liability of $20,000 or more.Businesses use this method to submit payments.You can mail your payment to the Illinois Department of Revenue if your tax liability is less than $20,000.You need an account and a number for your business's bank account to pay by EFT.It's a good idea to keep the sales tax separate from the operational account.
Step 6: Determine when taxes are due.
If you purchase tangible personal property from an out-of-state retailer who does not collect Illinois state sales tax, you have to pay it yourself.You can pay all sales tax at the end of the year.You have to pay by the end of the month in which the purchase is made if you owe $600 or more.The state of Illinois has a sales tax on general merchandise.You have to pay the sales tax before the end of the month in which you made each purchase if you make more than $9,600 a year.You can wait until the tax deadline.
Step 7: You have to sign up for MyTax Illinois.
If you don't already have an account with MyTax Illinois, you should set one up so that you can pay your Illinois sales tax online.Go to mytax.illinois.gov and sign upThere is a button.To log onto the site, you'll need a usernames and passwords.
Step 8: Form St. 44 is complete.
Click the "Individuals" tab and choose "File a Use Tax Return" from the options presented.Before you fill out the form, you should gather information about your purchases.If you're submitting a monthly sales tax payment, enter the exact date the purchase was made.You don't need to enter the year if you're submitting the form for purchases made all year.If you want to look over the form before you start filling it out, you can download it from the tax.illinois.gov website.This form can be used to get your math right before you enter the figures online.
Step 9: Your payment needs to be submitted.
When you click the button to submit your form, you can choose your method of payment and enter the appropriate payment information.Credit or debit cards can be used at the Illinois Department of Revenue.If you pay with an electronic check, you'll have to give your account and account number for a checking or savings account.You can print the confirmation page after your payment is accepted.