97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
HB5014

 

Introduced 2/7/2012, by Rep. Michael J. Zalewski

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 120/1i  from Ch. 120, par. 440i

    Amends the Retailers' Occupation Tax Act. Provides that a business enterprise is not eligible for the high impact facility exemption for a period of more than 25 years from the date of the issuance of the certification of eligibility for that exemption. Effective immediately.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB5014LRB097 19859 HLH 65140 b

1    AN ACT concerning revenue.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Retailers' Occupation Tax Act is amended by
5changing Section 1i as follows:
 
6    (35 ILCS 120/1i)  (from Ch. 120, par. 440i)
7    Sec. 1i. High Impact Service Facility means a facility used
8primarily for the sorting, handling and redistribution of mail,
9freight, cargo, or other parcels received from agents or
10employees of the handler or shipper for processing at a common
11location and redistribution to other employees or agents for
12delivery to an ultimate destination on an item-by-item basis,
13and which: (1) will make an investment in a business enterprise
14project of $100,000,000 dollars or more; (2) will cause the
15creation of at least 750 to 1,000 jobs or more in an enterprise
16zone established pursuant to the Illinois Enterprise Zone Act;
17and (3) is certified by the Department of Commerce and Economic
18Opportunity as contractually obligated to meet the
19requirements specified in divisions (1) and (2) of this
20paragraph within the time period as specified by the
21certification. Any business enterprise project applying for
22the exemption stated in this Section shall make application to
23the Department of Commerce and Economic Opportunity in such

 

 

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1form and providing such information as may be prescribed by the
2Department of Commerce and Economic Opportunity.
3    The Department of Commerce and Economic Opportunity shall
4determine whether the business enterprise project meets the
5criteria prescribed in this Section. If the Department of
6Commerce and Economic Opportunity determines that such
7business enterprise project meets the criteria, it shall issue
8a certificate of eligibility for exemption to the business
9enterprise in such form as is prescribed by the Department of
10Revenue. The Department of Commerce and Economic Opportunity
11shall act upon such certification requests within 60 days after
12receipt of the application, and shall file with the Department
13of Revenue a copy of each certificate of eligibility for
14exemption.
15    The Department of Commerce and Economic Opportunity shall
16have the power to promulgate rules and regulations to carry out
17the provisions of this Section and to require that any business
18enterprise that is granted a tax exemption repay the exempted
19tax if the business enterprise fails to comply with the terms
20and conditions of the certification.
21    The certificate of eligibility for exemption shall be
22presented by the business enterprise to its supplier when
23making the initial purchase of machinery and equipment for
24which an exemption is granted by Section 1j of this Act,
25together with a certification by the business enterprise that
26such machinery and equipment is exempt from taxation under

 

 

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1Section 1j of this Act and by indicating the exempt status of
2each subsequent purchase on the face of the purchase order.
3    The certification of eligibility for exemption shall be
4presented by the business enterprise to its supplier when
5making the purchase of jet fuel and petroleum products for
6which an exemption is granted by Section 1j.1 of this Act,
7together with a certification by the business enterprise that
8such jet fuel and petroleum product, are exempt from taxation
9under Section 1j.1 of this Act, and by indicating the exempt
10status of each subsequent purchase on the face of the purchase
11order.
12    The Department of Commerce and Economic Opportunity shall
13determine the period during which such exemption from the taxes
14imposed under this Act will remain in effect; however, that
15period shall not exceed 25 years from the date of the issuance
16of the certification of eligibility.
17(Source: P.A. 94-793, eff. 5-19-06.)
 
18    Section 99. Effective date. This Act takes effect upon
19becoming law.