ST-587 is the Illinois Department of Revenue exemption certificate that a purchaser (or lessor) gives a seller to show that a sale of equipment was made tax-free. It covers items used primarily in manufacturing or assembling, production agriculture, or coal and aggregate mining. The seller keeps the completed certificate; it is not mailed to the Department. On this page you can fill out the form online on FillingPDF and download or print the completed PDF, while the official PDF is published by the Department at tax.illinois.gov.
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What is ST-587?
Form ST-587, Equipment Exemption Certificate, printed as "Exemption Certificate (for Manufacturing, Production Agriculture, and Coal and Aggregate Mining)," is the Illinois Department of Revenue certificate that serves as proof that no tax is due on a sale made tax-free because of how the purchased item will be used.
The Department's instructions say an exemption certificate is generally required as proof for a tax-free sale of machinery or equipment used in graphic arts production, manufacturing machinery, equipment, and tangible personal property used primarily in manufacturing or assembling of tangible personal property, production agriculture, or coal and aggregate mining. Effective July 1, 2019, the manufacturing machinery and equipment exemption includes production related tangible personal property, such as supplies and consumables (fuels, coolants, solvents, oils, lubricants, adhesives), hand tools, protective apparel, and fire and safety equipment, primarily used or consumed in a manufacturing process.
The form runs in seven steps: seller, purchaser (lessor), lessee, items, intended use, an optional blanket-certificate statement, and the purchaser's signature. The seller keeps the certificate and the Department may ask to see it. The Department also lists ST-587 among its aircraft, vehicles, and watercraft sales and use tax forms.
Who needs to file ST-587?
The purchaser completes and signs ST-587 when buying, or leasing as a lessor, an item that will be used primarily in one of three ways: manufacturing or assembling of tangible personal property for wholesale or retail sale or lease (including graphic arts production), production agriculture, or coal and aggregate exploration and related mining, off-highway hauling, processing, maintenance, and reclamation. Motor vehicles required to be registered under the Illinois Vehicle Code are excluded from the coal and aggregate category.
- Purchasers: at the seller's request, they must provide the information needed to complete the certificate.
- Lessors: if the purchaser is a lessor, the lessee is identified in Step 3. If the purchaser is not a lessor, Step 3 stays blank.
- Sellers: they keep the certificate as proof that the sale was exempt.
- Purchasers with repeat buying from one seller: they may give a blanket certificate covering all purchases from that seller, or a stated percentage of them.
The instructions allow other forms or statements in place of ST-587 if they contain the required information, and a purchase order signed by the purchaser may serve if it has all of it.
When to file ST-587
The certificate is completed when a sale of qualifying equipment is made tax-free, because the seller needs it as proof that no tax was due on that sale. The Department sets no separate filing date, since the form is not sent to it.
A blanket certificate, used for all purchases from one seller or for a stated percentage of them, should be kept up to date. If the percentage changes, a new certificate should be provided. Otherwise, all certificates should be updated at least every three years.
The seller keeps the certificate because the Department may request it later as proof that no tax was due on the sale of the specified items.
How to fill out ST-587
Identify the seller
Step 1: enter the seller's name, address (number and street, city, state, ZIP) and phone number on the lines provided.
Identify the purchaser or lessor
Step 2: enter the purchaser's (lessor's) name, address, phone number and date of purchase. Write the Illinois account ID number, FEIN or SSN on the corresponding line.
Identify the lessee if applicable
Step 3: if the purchaser is a lessor, enter the lessee's name, address and phone number. If not, leave this step blank and go to Step 4.
Describe the items purchased or leased
Step 4: write the type of item(s) and the serial number(s). This includes machinery and repair/replacement parts.
Check how the items will be used
Step 5: check one box: manufacturing or assembling of tangible personal property (including graphic arts production), production agriculture, or coal and aggregate exploration and related mining. Motor vehicles required to be registered under the Illinois Vehicle Code are excluded from the last category.
Complete the blanket section if needed
Step 6, only for a blanket certificate: check whether all purchases from this seller are eligible, or enter the percentage of purchases that are eligible for the exemption in Step 5.
Sign and date the certificate
Step 7: the purchaser signs and dates the form. The signature is made under penalties of perjury, certifying the certificate is true, correct, and complete to the best of the purchaser's knowledge.
Review and download the completed PDF
Check every step, including the purchaser's ID number and the use box. Download or print the completed PDF from FillingPDF and give it to the seller as described under How to submit.
How to submit ST-587
ST-587 is not filed with the Illinois Department of Revenue. The channel is the purchaser-to-seller handoff:
- Give it to the seller. The purchaser completes and signs the certificate and provides it to the seller, who must keep it.
- Keep it available. The Department may request the certificate from the seller as proof that no tax was due. The instructions say: do not mail the certificate to the Department.
- Copies. The form says you may photocopy it or get additional forms at tax.illinois.gov.
FillingPDF lets you fill out and download the PDF; submission follows the channels above. For questions about the exemption itself, use the Department's website.
Common mistakes to avoid
- Mailing the completed certificate to the Illinois Department of Revenue; the instructions say not to, and the seller must keep it.
- Filling in Step 3 when the purchaser is not a lessor; the instructions say to leave it blank and go to Step 4.
- Skipping Step 5 on a blanket certificate; the form requires Step 5 and Step 6 together for a blanket certificate.
- Completing Step 6 when the form is not being used as a blanket certificate.
- Leaving out the purchaser's Illinois account ID number, FEIN or SSN in Step 2; the instructions require an identification number on the corresponding line.
- Leaving off the type of item or its serial numbers in Step 4, which covers machinery and repair/replacement parts.
- Not signing and dating Step 7; the purchaser must sign and date the form.
- Keeping an old blanket certificate after the exempt percentage changes, or without updating it at least every three years.
- Claiming the coal and aggregate category for motor vehicles required to be registered under the Illinois Vehicle Code.
Frequently asked questions
What is Form ST-587?
ST-587 is the Illinois Department of Revenue's exemption certificate for tax-free sales of equipment used primarily in manufacturing or assembling, production agriculture, or coal and aggregate mining. The purchaser completes it, and the seller keeps it as proof that no tax was due on the sale.
Do I mail Form ST-587 to the Illinois Department of Revenue?
No. The instructions say not to mail the certificate to the Department. The purchaser gives it to the seller, and the seller must keep it, because the Department may request it as proof that no tax was due.
Who fills out the ST-587, the buyer or the seller?
The purchaser completes the item, use and signature steps and signs it. The form's seller section identifies the seller, and the instructions say the purchaser must provide the information needed to complete the certificate at the seller's request.
What is a blanket certificate on Form ST-587?
A blanket certificate covers all purchases from one identified seller, or a stated percentage of them, instead of a single sale. You complete Steps 5 and 6. Keep it current: provide a new one if the percentage changes, and update certificates at least every three years.
Can I use something other than ST-587?
Yes. Another form or statement works if it includes the seller's and purchaser's names and addresses, a description of the property, a statement that it is for use primarily in manufacturing or assembling, production agriculture, or coal and aggregate mining, and the purchaser's signature and date. A signed purchase order with this information may also be used.
Can I fill out the ST-587 online?
Yes. You can fill out the PDF online on FillingPDF and download or print it. FillingPDF is an independent service and does not send the certificate to anyone; you give it to the seller, who keeps it.
What do I leave blank if the purchaser is not a lessor?
Leave Step 3 (Identify the lessee) blank and go to Step 4. Step 3 is completed only when the purchaser is a lessor, in which case you enter the lessee's name, address and phone number.
What happens if information is missing from the ST-587?
The form states that failure to provide information may result in the form not being processed and may result in a penalty. Complete every step that applies and sign and date Step 7.
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