Illinois Vending Machine Permits and Licenses

Vending permits and licenses by state · Illinois

Illinois has no general state license for vending machines, but it does keep count of them. When you register to collect sales tax, you tell the Illinois Department of Revenue how many machines you run, and it issues a sub-certificate of registration that you attach to each one. Since January 1, 2026, most vending food is exempt from the state sales tax, though candy, soft drinks and local grocery taxes still apply. A food permit applies only if a machine sells food that is not prepackaged or needs temperature control. Below is each requirement and the law it comes from.

Illinois vending requirements at a glance

6.25%State sales tax

1IDOR registration decal per machine

0%State tax on most vending food since 2026

$150LLC Articles of Organization

Required

Sales tax registration

Certificate of registration from the Department of Revenue if you sell anything taxable. The law sets no fee.

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Recommended

Resale certificate

Buy inventory tax-free with Form CRT-61, Certificate of Resale. You collect the tax when it sells.

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Required

Decal on each machine

Attach the sub-certificate IDOR issues for every machine. Request more when you add machines.

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Depends

Tax on vending food

No state tax on most vending food since 2026. Candy, soft drinks and hot food pay the full rate.

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Depends

Food permit

From the local health department, unless every item is prepackaged and needs no temperature control.

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Not required

Trading card license

Pokémon cards need only the sales tax registration.

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Not required

Mystery products

No special license. They are taxable merchandise, covered by your certificate of registration and machine decals.

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Varies

Local permits

Cities and counties can require business, zoning or health approval.

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Last reviewed: October 28, 2026  ·  Sources: Illinois Compiled Statutes, Illinois Administrative Code, Illinois Department of Revenue, Illinois Department of Public Health, Illinois Department of Commerce and Economic Opportunity, federal regulations (full list at the bottom)  ·  General information, not legal advice.

• Requirements and laws
• Do you need a license?
• Sales tax
• Food and drinks
• Cards, mystery and toys
• Federal rules
• Business setup
• FAQ
• Sources

Illinois requirements and the laws behind them

Do you need a license to run a vending machine in Illinois?

Not a vending license. The 2026 Starting Your Business in Illinois Guide from the Department of Commerce and Economic Opportunity does not mention a vending license.

The decal on every machine

What Illinois does have is a sales tax rule written for vending. When you apply for your certificate of registration, the application asks how many vending machines you will run. The Illinois Department of Revenue (IDOR) then issues a sub-certificate of registration for each machine, and you must attach it to a conspicuous part of that machine (35 ILCS 120/2a). IDOR calls it a vending machine decal. Every sub-certificate carries the same registration number as your main certificate.

When you add machines, tell IDOR, request the extra sub-certificates, and report your new total machine count (86 Ill. Adm. Code 130.701(e)). You can request them on IDOR's website (86 Ill. Adm. Code 130.555).

Beyond that, add a food permit if a machine sells food that is not prepackaged or has to be kept hot or cold for safety. Cities and counties can layer on their own business or zoning rules, so check with the city where each machine will sit before you install it.

Sales tax on vending sales in Illinois

The certificate of registration

Illinois calls its sales tax the Retailers' Occupation Tax, and you need a certificate of registration from IDOR to sell at retail (35 ILCS 120/2a). If you own the products and the location has no access to them or the cash, you owe the tax, with no deduction for commissions you pay the location (86 Ill. Adm. Code 130.2135).

• Cost: the registration law and Form REG-1 set no fee. IDOR can require a bond or other security from some applicants.
• Where to apply: MyTax Illinois, under "Register a New Business (Form REG-1)." IDOR says online applications take about one to two business days to process (IDOR business registration).
• Vending machines: Form REG-1 asks how many machines you operate, and IDOR issues a decal for each one based on that number (IDOR Publication 113).
• Local tax: under IDOR's rules for local sales taxes, a vending sale happens where the machine is (86 Ill. Adm. Code 270.115). Look up the rate at each machine's address with the Tax Rate Finder on MyTax Illinois, and file Form ST-1, Sales and Use Tax and E911 Surcharge Return.

You collect the tax, so buy your inventory tax-free

The sales tax on vending sales is yours to collect and send to the state. That is why you should not also pay sales tax when you buy the inventory. A purchase is tax-free as a sale for resale when you give the supplier your active Illinois registration number and certify that you are buying to resell (35 ILCS 120/2c). Your certificate of registration does not do this on its own. You need a certificate of resale (IDOR).

• Form CRT-61, Certificate of Resale: enter the supplier, your Illinois account ID and what you are buying, or mark it as a blanket certificate, then sign it. Give it to the supplier and do not mail it to IDOR. Download Form CRT-61 (PDF).
• Blanket certificates: allowed when everything you buy from a supplier is for resale. Update them at least every three years (86 Ill. Adm. Code 130.1405).
• Other forms: IDOR accepts your own form or a signed purchase order in place of CRT-61 if it has the same information, including your Illinois account ID (CRT-61 instructions). IDOR's resale guidance does not name the multistate certificates, so any you use must include the Illinois number.

The certificate covers products you resell, not the machines you sell them from. If you use inventory bought on a resale certificate for anything other than resale, such as keeping it or giving it away, Form CRT-61 says you owe tax based on its purchase price. That is the Illinois use tax (35 ILCS 105/3), and IDOR's rule says giving goods away is a taxable use (86 Ill. Adm. Code 150.305(c)).

Sales tax rates

The state rate is 6.25% on general merchandise (IDOR). Local governments and transit districts add their own taxes, which IDOR collects with the state tax. IDOR says it does not publish a list of all these rates. Its Tax Rate Finder gives the combined rate for a specific location.

What is taxable in an Illinois vending machine

Illinois law treats all food sold through a vending machine, wherever the machine sits, as food to be eaten off the premises, except soft drinks, candy and food dispensed hot (35 ILCS 120/2-10). Since January 1, 2026, that food is exempt from the state sales tax. IDOR now calls it groceries.

• Groceries: chips, cookies and other prepackaged snacks, plain nuts, milk, unsweetened water, and juice that is more than 50% juice. No state tax. A 1% local grocery tax applies where the city, or for unincorporated areas the county, has adopted one. The transit taxes in the Metro-East Mass Transit District and in Cook, DuPage, Kane, Lake, McHenry and Will counties also still apply to groceries (IDOR PIO-115; IDOR Bulletin FY 2026-34).
• Candy: taxed at 6.25% plus local tax. Candy means sweets in bars, drops or pieces. Anything with flour on the ingredient list is not candy, so some candy bars, licorice and chocolate covered pretzels count as groceries. Ice cream bars are not candy either, because they need refrigeration (86 Ill. Adm. Code 130.310).
• Soft drinks: taxed at 6.25% plus local tax. A soft drink is any nonalcoholic drink with natural or artificial sweeteners, unless it contains milk or a milk substitute, or is more than 50% juice.
• Hot food: food dispensed hot from the machine is taxed at the full rate.

IDOR says retailers must check whether each location has a local grocery tax and owe it whether or not they charged the customer (Compliance Alert CA-2026-01). New local grocery taxes take effect on January 1 or July 1 (IDOR Bulletin FY 2026-03), so recheck your rates on those dates.

Bulk vending gets a break. Merchandise sold for 50 cents or less from a bulk vending machine is exempt (86 Ill. Adm. Code 130.2135(e)). The law defines a bulk vending machine as one holding unsorted candy, nuts, toys or other items made mainly for children, which dispenses them at random, without the customer choosing, when coins no larger than 50 cents are inserted (35 ILCS 120/1).

Anything that is not food is taxable at the full rate: trading cards, sealed Pokémon product, mystery items, toys and general merchandise. In Chicago, canned and bottled soft drinks also carry the 3% Chicago Soft Drink Tax, reported on Form ST-14. For drinks sold from a vending machine, the owner of the drinks owes it (IDOR).

Food and drinks: when you need a health permit in Illinois

Illinois adopted the 2022 FDA Food Code as its state food code (77 Ill. Adm. Code 750). It counts a vending location as a food establishment, but leaves out "an establishment that offers only prepackaged foods that are not time/temperature control for safety foods" (Section 750.100).

• Not a food establishment under the state code: sealed shelf-stable snacks, candy, and bottled or canned drinks, when that is all the location offers.
• Food establishment: add fresh food that has to be kept cold or hot to stay safe, such as sandwiches and salads, and the location falls under the code.

The Illinois Department of Public Health says retail food establishments "are regulated by local health departments serving the jurisdiction where the establishment is located." Contact the health department for each location before you install. IDPH keeps a directory of local health departments.

Illinois rules for trading cards, mystery products and toys

Pokémon and other trading cards

Illinois has no special license for selling trading cards. They are taxable merchandise, so your certificate of registration and machine decals cover you. The legal questions with card machines are about intellectual property, not state permits: stock authentic product, and keep Pokémon characters and logos off the machine itself. Our guide to the legal side of trading card vending machines covers both, and the Pokémon vending machine guide covers the business.

Mystery products and toys

Blind boxes, mystery bags and capsule toys are merchandise. Illinois taxes them like cards, toys and other merchandise, at the general merchandise rate plus local tax where the machine sits. Your certificate of registration and machine decals cover them. We found no special license for selling mystery products from a vending machine.

Claw and crane machines

Illinois charges a $30 yearly privilege tax on coin-operated amusement devices, such as pinball machines, jukeboxes and video games, and on ticket redemption machines (35 ILCS 510/1). Each one needs a decal, and decals expire every July 31 (IDOR). IDOR's rule says the tax does not apply to merchandise vending machines, or to a crane game that gives players merchandise from the machine (86 Ill. Adm. Code 460.105).

Federal rules that apply in Illinois and every other state

ADA reach ranges

Where vending machines are provided, at least one of each type has to meet the operable parts rules in the 2010 ADA Standards (sections 228.1 and 309). The parts a customer operates, like the screen, card reader and pickup door, have to sit within reach: between 15 and 48 inches above the floor for an unobstructed reach (section 308).

Calorie labeling for food

If you own or operate 20 or more vending machines that sell food, federal rules require calorie information for any item whose Nutrition Facts label the buyer cannot see before buying (21 CFR 101.8). In glass-front machines, packages that show calories on the front in large enough type can meet the rule.

Schools

Machines that sell food to students during the school day may stock only items that meet the USDA's Smart Snacks nutrition standards. The school day runs from midnight until 30 minutes after the official school day ends (7 CFR 210.11).

Setting up the business in Illinois

• Entity: form an LLC with the Illinois Secretary of State. Articles of Organization (Form LLC-5.5) cost $150, and each annual report costs $75 (805 ILCS 180/50-10).
• Business name: a sole proprietor or general partnership that uses a name other than the owner's legal name files an assumed business name with the county clerk.
• Local rules: your city or county may require a business license or zoning approval. The state's Starting Your Business guide tells owners to check with both the city clerk and the county clerk, and notes that Chicago requires a city business license for most business types.

Illinois vending permit and license FAQ

Do I need a license to put a vending machine in Illinois?

Illinois has no general vending machine license. If you sell taxable items, you need a certificate of registration from the Illinois Department of Revenue, and you must attach the sub-certificate (decal) it issues to each machine. A food permit from the local health department applies only if your machines sell food that is not prepackaged or needs temperature control.

Do I need a food license for a snack vending machine in Illinois?

Not under the state food code if the location offers only prepackaged foods that do not need time or temperature control for safety (77 Ill. Adm. Code 750.100). Fresh food that has to stay cold or hot needs a permit from the local health department. Permits are issued locally, so check with the health department for each location.

Is vending machine food taxed in Illinois?

Since January 1, 2026, food sold through a vending machine is exempt from the state sales tax, except candy, soft drinks and food dispensed hot, which pay 6.25% plus local tax. Local grocery and transit taxes can still apply, depending on where the machine sits.

Do I need a license to sell Pokémon cards from a vending machine in Illinois?

No special license. Trading cards are taxable merchandise, so the certificate of registration and machine decals cover you. Stock authentic product and keep Pokémon characters and logos off the machine itself.

How much does an Illinois sales tax registration cost?

The registration law (35 ILCS 120/2a) and Form REG-1 set no fee, though IDOR can require a bond from some applicants. IDOR says online applications through MyTax Illinois take about one to two business days to process.

Do I pay sales tax on inventory I buy for my vending machines in Illinois?

Not if you buy it to resell. Give your supplier Form CRT-61, Certificate of Resale, with your Illinois account ID. You then collect and send in sales tax when the items sell from your machines. Inventory you keep or give away is subject to tax on its purchase price.

What is the vending machine decal in Illinois?

It is a sub-certificate of registration. IDOR issues one for each machine you report when you register, and the law requires you to attach it to a conspicuous part of the machine. When you add machines, request more sub-certificates from IDOR.

Sources

1. 35 ILCS 120/2a, registration of retailers
2. 35 ILCS 120/2-10, rate of tax
3. 35 ILCS 120/1, definitions (bulk vending machine) and 35 ILCS 120/2c, resales
4. Illinois Use Tax Act, 35 ILCS 105/3 and 86 Ill. Adm. Code 150.305, gifts as a taxable use
5. 86 Ill. Adm. Code 130.701, certificate of registration and 130.555, vending machine sub-certificates
6. 86 Ill. Adm. Code 130.2135, vending machines
7. 86 Ill. Adm. Code 130.310, food, soft drinks and candy
8. 86 Ill. Adm. Code 130.1405, certificates of resale
9. 86 Ill. Adm. Code 270.115, jurisdictional questions
10. Illinois Department of Revenue, Business Registration and Publication 113, Registering your Business
11. Illinois Department of Revenue, Form REG-1, Illinois Business Registration Application
12. Illinois Department of Revenue, Form CRT-61, Certificate of Resale, CRT-61 instructions and Certificate of Resale page; IDOR answer: buying items exempt from tax
13. Illinois Department of Revenue, retailers' occupation and use tax rates
14. IDOR Bulletin FY 2026-03, grocery tax changes, PIO-115, food tax rates and Compliance Alert CA-2026-01
15. IDOR Bulletin FY 2026-34, NITA tax rate change
16. Illinois Department of Revenue, Chicago Soft Drink Tax
17. 77 Ill. Adm. Code 750.100, Illinois Food Code definitions
18. Illinois Department of Public Health, Retail Food and local health department directory
19. 35 ILCS 510/1, amusement device tax, 86 Ill. Adm. Code 460.105 and IDOR amusement device tax page
20. Illinois Limited Liability Company Act, 805 ILCS 180/50-10, fees
21. DCEO, Starting Your Business in Illinois Guide (2026)
22. 2010 ADA Standards for Accessible Design and U.S. Access Board guide to operable parts
23. 21 CFR 101.8, calorie labeling of food in vending machines
24. 7 CFR 210.11, competitive food standards (Smart Snacks)