Dear Jon,

As far as I know retailers in Illinois are not required to get any state license in order to sell tobacco products. The licensing requirements are for distributors, and distributors are responsible for paying the tobacco tax. Here is an extract from Illinois Department of Revenue website:

The Cigarette Tax Act imposes a tax on the occupation of selling cigarettes at retail. Licensed distributors prepay the tax through the purchase of stamps, which are affixed (either heat-transferred or hand applied) to each cigarette package. The distributor collects the tax from the retailer at or before the time of sale. The retailer passes the tax on to the consumer in the cigarette sale price.

Keep in mind that certain counties and cities in Illinois (notably Chicago) do license retailers. Here is what the City of Chicago requirements are:

A Tobacco License is required for businesses in the City of Chicago engaged in the sale of tobacco or tobacco products. Selling tobacco is a privilege and comes with the responsibility of learning and complying with the rules and regulations.

Retail Tobacco Sales – Over the Counter This license is required to sell tobacco products and tobacco accessories at retail over the counter. For example: the sale of tobacco in a grocery store, convenience store, gas station, tavern, restaurant, billiard or bowling alley.
APPLICATION FEE: $330.00 per location + $330.00 for each register selling tobacco.

Check with your city or county clerk if it requires you to obtain any specific license to sell tobacco in that city/county.