I know that IList is the interface and List is the concrete type but I still don't know when to use each one. What I'm doing now is if I don't need the Sort or FindAll methods I use the interface. Am I right? Is there a better way to decide when to use the interface or the concrete type?
There are two rules I follow:
So when writing a function or method that takes a collection, write it not to take a List, but an IList<T>, an ICollection<T>, or IEnumerable<T>. The generic interfaces will still work even for heterogenous lists because System.Object can be a T too. Doing this will save you headache if you decide to use a Stack or some other data structure further down the road. If all you need to do in the function is foreach through it, IEnumerable<T> is really all you should be asking for.
On the other hand, when returning an object out of a function, you want to give the user the richest possible set of operations without them having to cast around. So in that case, if it's a List<T> internally, return a copy as a List<T>.