Prairie State Wire

Effective July 1, 2024, purchases of home-delivered meals provided to Medicare or Medicaid recipients where payment is made by an intermediary, such as a Medicare Administrative Contractor, a Managed Care Organization, or a Medicare Advantage Organization, pursuant to a government contract, are exempt from the Retailers’ Occupation Tax Act, the Service Occupation Tax Act, the Use Tax Act, and the Service Use Tax Act. This exemption is codified under 35 ILCS 120/2-5(49); 35 ILCS 115/3-5(36); 35 ILCS 110/3-5(35); and 35 ILCS 105/3-5(44).

For more information, see FY Bulletin 2025-06, New Sales Tax Exemption for Qualified Purchases of Home-Delivered Meals, Effective July 1, 2024.