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Illinois Coal Exemption Retroactively Reinstated


 Illinois coal mining, circa 1970.

Effective July 1, 2014, the Illinois sales tax exemption for coal and aggregate exploration, mining, off-highway hauling, maintenance and reclamation, equipment is retroactively reinstated to July 1, 2003. In addition, the exemption is expanded to include new kinds of exploration equipment. For example, roof bolts now qualify.

However, beginning August 16, 2013, taxpayers may not seek claims or refunds “for taxes due or paid during the period beginning July 1, 2003 through August 16, 2013."

Amended rules Illinois Department of Revenue, also clarify that purchasers claiming one of the sales tax exemptions described above may not also earn a manufacturer’s purchase credit. Follow the rule links for details.

The exemption is scheduled to sunset on August 16, 2018.

How does your business handle exemptions? Learn how automated sales tax software works.

photo credit: katymcc via photopin cc


Gail Cole
Avalara Author
Gail Cole
Gail Cole
Avalara Author Gail Cole
Gail began researching and writing about sales tax in 2012 and has been fascinated with it ever since. She has a penchant for uncovering unusual tax facts, and endeavors to make complex sales tax laws more digestible for both experts and laypeople.