Illinois Sales Tax Exemption Certificate: Form CRT-61 and E-Numbers

An Illinois sales tax exemption certificate is the paperwork you present to a seller so they don’t charge sales tax on a qualifying purchase. Which certificate you use depends on why you’re exempt. Businesses buying goods to resell use Form CRT-61, the Certificate of Resale. Qualifying nonprofits and government bodies apply for a sales tax exemption identification number (an “E-number”) from the Illinois Department of Revenue and present a copy of the Department’s E-number letter at checkout. Getting the form right matters on both sides of the counter: misusing a certificate is a Class 4 felony under Illinois law, and a seller who accepts a bad certificate can be assessed the uncollected tax plus interest.

Who Qualifies

Two groups cover most exemption certificate use in Illinois.

The first is resellers. Any business buying tangible personal property with genuine intent to resell it can buy tax-free by giving the seller a completed CRT-61. Illinois taxes sales “at retail,” so a sale to someone who will resell the goods isn’t a taxable retail transaction to begin with; the certificate documents that.

The second is organizations organized exclusively for charitable, religious, or educational purposes, along with local, state, and federal government bodies.¹ These entities must apply for an E-number before they can buy anything tax-free.²

How to Complete Form CRT-61 as a Reseller

The CRT-61 is a one-page form available from the Illinois Department of Revenue.³ You give it to your supplier, not to the state. To fill it out you’ll need:

Your full legal name, business address, and your active Illinois retailer or reseller account ID number. The seller has to verify that this number is valid and active.
If you’re not registered in Illinois and will resell the goods only to customers outside Illinois, your home state’s name and registration number in place of the Illinois ID.
A description of the property you’re buying, or an invoice number and purchase date if this covers a single transaction.
Your signature and the date. Signing certifies that the goods are genuinely for resale and that you understand misuse carries tax liability, penalties, interest, and possible criminal prosecution.⁴

Blanket vs. Single-Purchase Certificates

A single-purchase CRT-61 covers one transaction and identifies the goods or invoice on the form. A blanket CRT-61 covers every purchase you make from that seller when everything you buy from them is for resale, so you don’t file a new form for each order.

If only some of what you buy from a particular seller is for resale, you can use a percentage blanket certificate that states what share of your purchases is exempt. When that percentage changes, you owe the seller an updated form. Every blanket certificate has to be refreshed at least once every three years, whether or not anything has changed.⁴

Getting and Using an E-Number

Nonprofits and government bodies don’t use the CRT-61 at all. Instead, the organization applies for an E-number by filing Form STAX-1, Application for Sales Tax Exemption, on paper or through MyTax Illinois. If approved, the Department of Revenue issues a letter showing the E-number.²

To make a tax-free purchase, the organization gives the retailer a copy of that E-number letter. There is no separate certificate form for exempt organizations; the letter itself is the credential.¹ The E-number needs to be active at the time of purchase.

When Employees Buy on the Organization’s Behalf

Reimbursement purchases have extra steps. When an employee or volunteer uses personal funds to buy items for the organization, the employee must give each retailer an annual signed certification that includes the employee’s name and address, the organization’s name and E-number, and a statement under penalty of perjury that the property will be used for the organization’s exempt purpose. The retailer also needs a copy of the organization’s E-number letter on file.¹

Keeping the Exemption Current

For resellers, exemption travels with your Department of Revenue registration. Keep your business registration active and in good standing and your CRT-61 certificates stay valid, subject to the three-year blanket refresh with each seller.⁴

E-numbers renew separately. The Department sends renewal notices to the address it has on file, and renewal is done by resubmitting Form STAX-1 with supporting documents: a copy of the current exemption letter, articles of incorporation or constitution, bylaws, a narrative of the organization’s purpose, the IRS federal tax-exemption letter, any brochures, and the most recent financial statement.⁵ A lapsed E-number means every purchase is taxable until it’s reinstated.

If the organization’s name or address changes, file Form STAX-300-C, Sales Tax Exemption Business Information Update.² Outdated details on file give sellers a reason to reject the letter.

Out-of-State Buyers

Illinois is not a member of the Streamlined Sales and Use Tax Agreement.⁶ The Streamlined Sales Tax Certificate of Exemption used in many other states doesn’t have to be accepted here. If you’re buying for resale from an Illinois seller and you’re not registered in Illinois, complete a CRT-61 with your home state’s registration information, or attach a copy of that out-of-state registration.³

Seller Duties: Verification and Recordkeeping

If you’re the seller accepting the certificate, verification isn’t optional. Take a bad certificate and the Department of Revenue can hold you liable for the tax you didn’t collect, plus interest.

Illinois offers free verification through MyTax Illinois. The “Verify a Registered Business” link confirms whether a buyer’s account ID is valid and active and shows how the business is registered.⁷ The check takes seconds and gives you a record that you did your due diligence.

Keep the certificate, whether it’s a CRT-61 or a copy of an E-number letter, for at least three and a half years after the transaction.⁴ In an audit, the certificate is your evidence for not collecting tax. Without it, the Department can treat the sale as taxable and assess the tax, penalties, and interest against you.⁸

Penalties for Misuse

Using an exemption certificate to buy things you’ll actually use yourself is a felony in Illinois. Under the Retailers’ Occupation Tax Act, anyone who obtains a registration or resale number through misrepresentation, falsely claims to hold one, or uses a valid number to buy goods for personal use while telling the seller the purchase is for resale commits a Class 4 felony.⁹ A Class 4 felony in Illinois carries one to three years in prison. On top of that, the buyer owes tax on the purchase price of every item bought under the false certificate, plus interest and civil penalties.

The CRT-61 states this above the signature line: using items bought under the certificate for anything other than resale triggers tax liability on each item, along with penalties, interest, and potential criminal prosecution.³ Buying office supplies or personal items on a resale certificate because it’s convenient is exactly the pattern auditors look for.

1
Cornell Law Institute. Ill. Admin. Code tit. 86, 130.2081 – Tax-Free Purchases By Exempt Entities, Their Employees and Representatives
2
Illinois Department of Revenue. Information for Exclusively Charitable, Religious, or Educational Organizations; Governmental Bodies; and Certain Other Tax-Exempt Organizations
3
Illinois Department of Revenue. CRT-61 Certificate of Resale
4
Illinois Department of Revenue. CRT-61 Certificate of Resale Instructions
5
Illinois Department of Revenue. How Do I Reinstate or Renew My Tax-Exempt E Number
6
Streamlined Sales and Use Tax Agreement. Illinois
7
Illinois Department of Revenue. How Do I Verify a Resale Number Is Valid and Active
8
Illinois Department of Revenue. What Must I Keep in My Books and Records
9
Illinois General Assembly. Illinois Compiled Statutes 35 ILCS 120/13