Illinois ​Adult Use Cannabis Cultivation Privilege Tax Return (Instructions)

​Adult Use Cannabis Cultivation Privilege Tax Return (Instructions)
CC-1 Adult Use Cannabis Cultivation Privilege Tax Return
Illinois Department of Revenue

Form CC-1 General Information
What is the Cannabis Cultivation Privilege
Tax?

What if I fail to file or pay the amount I
owe?

The Cannabis Cultivation Privilege Tax is tax imposed on gross
receipts of the first sale of adult use cannabis by a cultivator or
craft grower for the privilege of cultivating cannabis.
The Cannabis Cultivation Privilege Tax is authorized by the
Cannabis Cultivation Privilege Tax Law (see 410 ILCS 705/60-1
et seq.).

You owe a late-filing penalty if you do not file a processable
return by the due date, a late-payment penalty if you do
not pay the amount you owe by the payment’s due date, a
bad check penalty if your remittance is not honored by your
financial institution, and a cost of collection fee if you do not
pay the amount you owe within 30 days of the date printed on a
bill. Interest is calculated on tax from the day the payment was
due through the date you pay the liability. We will bill you for
penalty and interest. For more information, see Publication 103,
Penalty and Interest for Illinois Taxes, which is available on our
website at tax.illinois.gov.

Who must file Form CC-1?
You must file Form CC-1, Adult Use Cannabis Cultivation
Privilege Tax Return, if you are licensed as a cannabis
cultivation center or craft grower making sales of adult use
cannabis. Cannabis cultivation centers selling medical cannabis
must file Form MC-1, Medical Cannabis Cultivation Privilege
Tax Return, to report sales of medical cannabis.

Who must file Schedule CC-2?
If you have one business but sell adult use cannabis at
more than one cultivation site, you must report adult use
cannabis sales subject to the Cannabis Cultivation Privilege
Tax from each cultivation site. You must complete and file
Schedule CC-2, Multiple Site Form for Adult Use Cannabis
Cultivators, when you file your Form CC-1 to report the taxable
receipts from each cultivation site.

In addition, you will not be entitled to any discounts. See
410 ILCS 705/60-20 for more information.

What if I need help?
Visit our website at tax.illinois.gov, call us weekdays between
8:00 a.m. and 4:00 p.m. at 217 782-6045, or email us at:
[email protected].

If I only sell medical cannabis, can I use
Form CC-1?
No, Form CC-1 is only used to report sales of adult use
cannabis. Sales of medical cannabis must be reported on Form
MC-1, Medical Cannabis Cultivation Privilege Tax Return.

When must I file Form CC-1?
You must file this return, along with any payment you owe, on
or before the 20th day of the month following the end of the
reporting period.
Note: If the due date falls on a weekend or holiday, your return
and payment are due the next business day.

Can I file Form CC-1 and pay the tax due
electronically?
Illinois law requires Form CC-1 to be filed electronically and
the tax to be paid electronically. You must use MyTax Illinois
at mytax.illinois.gov to file your Form CC-1 and pay any tax
due. To request a waiver of the electronic payment mandate,
complete Form IL-900-EW, Electronic Waiver Request, which
is available from the Illinois Department of Revenue by request
at 217 782-6045 or email [email protected]. If granted
and unless renewed, this waiver shall not exceed two years.

CC-1 Instructions (N-12/19)

Printed by the authority of the state of Illinois, web only-1

Specific Instructions
When completing this form, please round to the nearest dollar
by dropping amounts of less than 50 cents and increasing
amounts of 50 cents or more to the next dollar.
For multiple site businesses, use Schedule CC-2, Multiple Site
Form for Adult Use Cannabis Cultivators, to report sales of
adult use cannabis subject to the Cannabis Cultivation
Privilege Tax from each cultivation site for your business during
the filing period. You will need to complete Schedule CC-2
before completing Form CC-1. See Schedule CC-2
instructions. Submit Schedule CC-2 when you file Form CC-1.

Step 1: Figure your taxable receipts from
adult use cannabis sold

Line 8 - Subtract Line 7 from Line 6. This is your Cannabis
Cultivation Privilege Tax due after quarter-monthly payments.
Line 9 - If you collected more Cannabis Cultivation Privilege
Tax than is due, enter the amount of excess Cannabis
Cultivation Privilege Tax that was collected.
Line 10 - Add Lines 8 and 9. This is your total Cannabis
Cultivation Privilege Tax due.
Line 11 - If you have a credit memorandum or prior
overpayment and you wish to use it toward what you owe, enter
the amount you are using.
Line 12 - Subtract Line 11 from Line 10. This is your total
payment due. We will bill you for any penalty and interest
amounts owed. See Publication 103, Penalties and Interest for
Illinois Taxes, for more information.

Note: Do not include medical cannabis sales.
Note: For each line, include amounts from all sites, if
applicable.
Line 1 - Enter the total receipts from adult use cannabis sold
before any deductions.
Line 2a - Enter the amount you refunded for returned adult use
cannabis products.
Line 2b - Enter the total receipts from sales of adult use
cannabis in which the Cannabis Cultivation Privilege Tax has
been paid previously.
Line 2c - Enter the amount of tax reimbursement collected on
receipts of adult use cannabis sold.
Line 2d - Describe any other deductions that you are claiming
and enter the amount you are deducting.
Line 2 - Add Lines 2a, 2b, 2c and 2d. This is your total
deductions from adult use cannabis sold.
Line 3 - Subtract Line 2 from Line 1. This is your taxable
receipts from adult use cannabis sold.
For multiple site businesses, this amount should be equal to
the sum of Line 3 totals on all Schedules CC-2. (See CC-2
instructions for more information).

Step 2: Figure your Cannabis Cultivation
Privilege Tax due on adult use cannabis
Line 4 - Multiply Line 3 by 7 percent (.07). This is your
Cannabis Cultivation Privilege Tax due.
Line 5 - If you file your return and pay the amount due by
the due date, you are entitled to a discount. Enter the lesser
of the product of Line 4 multiplied by 1.75 percent (.0175) or
$1,000.00, only if you file your return and pay the amount due
by the due date. Otherwise, enter ‘0’.
Note: The discount is only valid for electronically filed returns
and electronic payments, unless a payment waiver is in place.
Line 6 -Subtract Line 5 from Line 4. This is your net Cannabis
Cultivation Privilege Tax due.
Line 7 - Enter the sum of all quarter-monthly (accelerated)
payments that were made for the filing period of the return.

CC-1 Instructions (N-12/19)

Printed by the authority of the state of Illinois, web only-1