On March 11, 2026, Cheesie’s Wicker Park filed a Petition at the Illinois Independent Tax Tribunal challenging a “Notice of Tentative Denial of Claim” issued by the Illinois Department of Revenue for Sales/Use Tax & E911 Surcharge.
Cheesie’s Wicker Park, LLC alleges it overpaid sales tax for the period January 2021 through November 2021 by including tips in taxable receipts and failing to account for tax already remitted through a marketplace facilitator. The company filed ST-1-X Amended Sales and Use Tax and E911 Surcharge Returns seeking approximately $46,453 in credits.
The Department’s September 2, 2025 Notice of Tentative Denial of Claim asserts that the refund claims are barred by the statute of limitations. The petition further notes that the Department’s Office of Administrative Hearings declined jurisdiction due to the amount at issue, directing the dispute to the Tax Tribunal.
The petition also alleges that similar claims for later periods were approved during an audit, and challenges the denial of earlier-period claims on both procedural and equitable grounds.
A taxpayer is contesting an Illinois Notice of Tentative Denial of Claim denying ST-1-X refund claims, with the dispute centered on statute of limitations and treatment of sales tax overpayments.
Sales tax overpayments tied to tips or marketplace facilitator reporting can be recoverable through ST-1-X Amended Returns, but refund claims are strictly time-limited. Coordination between audit activity and refund filings may affect whether earlier periods remain open.
The petition highlights a recurring issue in Illinois sales tax administration: the interaction between audit periods, amended return filings, and statute of limitations defenses. It also demonstrates that larger refund claims may bypass the Department’s administrative hearing process and proceed directly to the Illinois Independent Tax Tribunal.