Sen. William E. Brady

Filed: 3/15/2013

 

 


 

 


 
09800SB0052sam001LRB098 05107 HLH 42911 a

1
AMENDMENT TO SENATE BILL 52

2    AMENDMENT NO. ______. Amend Senate Bill 52 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The Illinois Renewable Fuels Development
5Program Act is amended by changing Section 20 as follows:
 
6    (20 ILCS 689/20)
7    Sec. 20. Grants. Subject to appropriation, the Director is
8authorized to award grants to eligible applicants for the
9following programs.
10        (1) Next generation ethanol/renewable fuels. Eligible
11    next generation ethanol/renewable fuel projects include
12    those renewable fuel facilities installing new
13    technologies to reduce water and energy usage as well as
14    technologies to reduce greenhouse gas emissions. Projects
15    that will result in more efficient processes, new
16    co-products, fuels and chemicals are also eligible for

 

 

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1    funding. The annual aggregate amount of grants awarded
2    under this item (1) for next generation ethanol/renewable
3    fuel projects shall not exceed $15,000,000.
4        (2) Majority blended ethanol and blender pump
5    infrastructure program. The Department shall establish a
6    grant program to provide funds for the installation of
7    majority blended ethanol and blender pump fueling
8    facilities. The annual aggregate amount of grants awarded
9    under this item (2) shall not exceed $5,000,000.
10        (3) Research and development program for sustainable
11    corn production and corn-based renewable fuel production.
12    The Department shall establish a grant program to provide
13    funds for research and development projects to reduce the
14    carbon footprint of corn based renewable fuels through new
15    co-products, new process technologies, and new fuels. The
16    Department shall also establish a grant program to fund
17    research on increasing the sustainability of corn
18    production through better nitrogen utilization, new best
19    management practices for improved soil health, water
20    conservation, and reduced environmental concerns. Eligible
21    projects include those that will increase corn
22    productivity with lower inputs and less risk. The annual
23    aggregate amount of grants awarded under this item (3)
24    shall not exceed $5,000,000.
25The annual aggregate amount of grants awarded shall not exceed
26$20,000,000, except that this amount does not include amounts,

 

 

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1up to $4,000,000 per grant, that may be awarded to each
2eligible applicant who installs advanced technologies for
3water usage, carbon footprint reduction, and other blending
4improvements designed to optimize processes at the applicant's
5renewable fuels facility.
6(Source: P.A. 96-173, eff. 8-10-09.)
 
7    Section 10. The Use Tax Act is amended by changing Sections
83-10 and 3-44 and by adding Sections 3-44.6, 3-44.7, and 3-44.8
9as follows:
 
10    (35 ILCS 105/3-10)
11    Sec. 3-10. Rate of tax. Unless otherwise provided in this
12Section, the tax imposed by this Act is at the rate of 6.25% of
13either the selling price or the fair market value, if any, of
14the tangible personal property. In all cases where property
15functionally used or consumed is the same as the property that
16was purchased at retail, then the tax is imposed on the selling
17price of the property. In all cases where property functionally
18used or consumed is a by-product or waste product that has been
19refined, manufactured, or produced from property purchased at
20retail, then the tax is imposed on the lower of the fair market
21value, if any, of the specific property so used in this State
22or on the selling price of the property purchased at retail.
23For purposes of this Section "fair market value" means the
24price at which property would change hands between a willing

 

 

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1buyer and a willing seller, neither being under any compulsion
2to buy or sell and both having reasonable knowledge of the
3relevant facts. The fair market value shall be established by
4Illinois sales by the taxpayer of the same property as that
5functionally used or consumed, or if there are no such sales by
6the taxpayer, then comparable sales or purchases of property of
7like kind and character in Illinois.
8    Beginning on July 1, 2000 and through December 31, 2000,
9with respect to motor fuel, as defined in Section 1.1 of the
10Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
11the Use Tax Act, the tax is imposed at the rate of 1.25%.
12    Beginning on August 6, 2010 through August 15, 2010, with
13respect to sales tax holiday items as defined in Section 3-6 of
14this Act, the tax is imposed at the rate of 1.25%.
15    With respect to gasohol, the tax imposed by this Act
16applies to (i) 70% of the proceeds of sales made on or after
17January 1, 1990, and before July 1, 2003, (ii) 80% of the
18proceeds of sales made on or after July 1, 2003 and on or
19before December 31, 2018, and (iii) 100% of the proceeds of
20sales made thereafter. If, at any time, however, the tax under
21this Act on sales of gasohol is imposed at the rate of 1.25%,
22then the tax imposed by this Act applies to 100% of the
23proceeds of sales of gasohol made during that time.
24    With respect to E15 and E20 blended ethanol fuel, the tax
25imposed by this Act applies to (i) 80% of the proceeds of sales
26made on or after July 1, 2013 and on or before December 31,

 

 

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12018 and (ii) 100% of the proceeds of sales made thereafter.
2    With respect to E30 blended ethanol fuel, the tax imposed
3by this Act applies to (i) 60% of the proceeds of sales made on
4or after July 1, 2013 and on or before December 31, 2018 and
5(ii) 100% of the proceeds of sales made thereafter.
6    With respect to majority blended ethanol fuel, the tax
7imposed by this Act does not apply to the proceeds of sales
8made on or after July 1, 2003 and on or before December 31,
92018 but applies to 100% of the proceeds of sales made
10thereafter.
11    With respect to biodiesel blends with no less than 1% and
12no more than 10% biodiesel, the tax imposed by this Act applies
13to (i) 80% of the proceeds of sales made on or after July 1,
142003 and on or before December 31, 2018 and (ii) 100% of the
15proceeds of sales made thereafter. If, at any time, however,
16the tax under this Act on sales of biodiesel blends with no
17less than 1% and no more than 10% biodiesel is imposed at the
18rate of 1.25%, then the tax imposed by this Act applies to 100%
19of the proceeds of sales of biodiesel blends with no less than
201% and no more than 10% biodiesel made during that time.
21    With respect to 100% biodiesel and biodiesel blends with
22more than 10% but no more than 99% biodiesel, the tax imposed
23by this Act does not apply to the proceeds of sales made on or
24after July 1, 2003 and on or before December 31, 2018 but
25applies to 100% of the proceeds of sales made thereafter.
26    With respect to food for human consumption that is to be

 

 

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1consumed off the premises where it is sold (other than
2alcoholic beverages, soft drinks, and food that has been
3prepared for immediate consumption) and prescription and
4nonprescription medicines, drugs, medical appliances,
5modifications to a motor vehicle for the purpose of rendering
6it usable by a disabled person, and insulin, urine testing
7materials, syringes, and needles used by diabetics, for human
8use, the tax is imposed at the rate of 1%. For the purposes of
9this Section, until September 1, 2009: the term "soft drinks"
10means any complete, finished, ready-to-use, non-alcoholic
11drink, whether carbonated or not, including but not limited to
12soda water, cola, fruit juice, vegetable juice, carbonated
13water, and all other preparations commonly known as soft drinks
14of whatever kind or description that are contained in any
15closed or sealed bottle, can, carton, or container, regardless
16of size; but "soft drinks" does not include coffee, tea,
17non-carbonated water, infant formula, milk or milk products as
18defined in the Grade A Pasteurized Milk and Milk Products Act,
19or drinks containing 50% or more natural fruit or vegetable
20juice.
21    Notwithstanding any other provisions of this Act,
22beginning September 1, 2009, "soft drinks" means non-alcoholic
23beverages that contain natural or artificial sweeteners. "Soft
24drinks" do not include beverages that contain milk or milk
25products, soy, rice or similar milk substitutes, or greater
26than 50% of vegetable or fruit juice by volume.

 

 

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1    Until August 1, 2009, and notwithstanding any other
2provisions of this Act, "food for human consumption that is to
3be consumed off the premises where it is sold" includes all
4food sold through a vending machine, except soft drinks and
5food products that are dispensed hot from a vending machine,
6regardless of the location of the vending machine. Beginning
7August 1, 2009, and notwithstanding any other provisions of
8this Act, "food for human consumption that is to be consumed
9off the premises where it is sold" includes all food sold
10through a vending machine, except soft drinks, candy, and food
11products that are dispensed hot from a vending machine,
12regardless of the location of the vending machine.
13    Notwithstanding any other provisions of this Act,
14beginning September 1, 2009, "food for human consumption that
15is to be consumed off the premises where it is sold" does not
16include candy. For purposes of this Section, "candy" means a
17preparation of sugar, honey, or other natural or artificial
18sweeteners in combination with chocolate, fruits, nuts or other
19ingredients or flavorings in the form of bars, drops, or
20pieces. "Candy" does not include any preparation that contains
21flour or requires refrigeration.
22    Notwithstanding any other provisions of this Act,
23beginning September 1, 2009, "nonprescription medicines and
24drugs" does not include grooming and hygiene products. For
25purposes of this Section, "grooming and hygiene products"
26includes, but is not limited to, soaps and cleaning solutions,

 

 

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1shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
2lotions and screens, unless those products are available by
3prescription only, regardless of whether the products meet the
4definition of "over-the-counter-drugs". For the purposes of
5this paragraph, "over-the-counter-drug" means a drug for human
6use that contains a label that identifies the product as a drug
7as required by 21 C.F.R. § 201.66. The "over-the-counter-drug"
8label includes:
9        (A) A "Drug Facts" panel; or
10        (B) A statement of the "active ingredient(s)" with a
11    list of those ingredients contained in the compound,
12    substance or preparation.
13    If the property that is purchased at retail from a retailer
14is acquired outside Illinois and used outside Illinois before
15being brought to Illinois for use here and is taxable under
16this Act, the "selling price" on which the tax is computed
17shall be reduced by an amount that represents a reasonable
18allowance for depreciation for the period of prior out-of-state
19use.
20(Source: P.A. 96-34, eff. 7-13-09; 96-37, eff. 7-13-09; 96-38,
21eff. 7-13-09; 96-1000, eff. 7-2-10; 96-1012, eff. 7-7-10;
2297-636, eff. 6-1-12.)
 
23    (35 ILCS 105/3-44)
24    Sec. 3-44. Majority blended ethanol fuel. "Majority
25blended ethanol fuel" means motor fuel that (i) contains not

 

 

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1less than 51% and no more than 83% by volume ethanol, as
2specified in ASTM Standard DS798-11, and (ii) is capable of
3being used in the operation of flexible fuel vehicles. 70% and
4no more than 90% denatured ethanol and no less than 10% and no
5more than 30% gasoline.
6(Source: P.A. 93-17, eff. 6-11-03.)
 
7    (35 ILCS 105/3-44.6 new)
8    Sec. 3-44.6. E15 blended ethanol fuel. "E15 blended ethanol
9fuel" means a blend of 15% denatured ethanol, ASTM Standard D
104806, and 85% gasoline for use in flexible fuel vehicles.
 
11    (35 ILCS 105/3-44.7 new)
12    Sec. 3-44.7. E20 blended ethanol fuel. "E20 blended ethanol
13fuel" means a blend of 20% denatured ethanol, ASTM Standard D
144806, and 80% gasoline for use in flexible fuel vehicles.
 
15    (35 ILCS 105/3-44.8 new)
16    Sec. 3-44.8. E30 blended ethanol fuel. "E30 blended ethanol
17fuel" means a blend of 30% denatured ethanol, ASTM Standard D
184806, and 70% gasoline for use in flexible fuel vehicles.
 
19    Section 15. The Service Use Tax Act is amended by changing
20Section 3-10 as follows:
 
21    (35 ILCS 110/3-10)  (from Ch. 120, par. 439.33-10)

 

 

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1    Sec. 3-10. Rate of tax. Unless otherwise provided in this
2Section, the tax imposed by this Act is at the rate of 6.25% of
3the selling price of tangible personal property transferred as
4an incident to the sale of service, but, for the purpose of
5computing this tax, in no event shall the selling price be less
6than the cost price of the property to the serviceman.
7    Beginning on July 1, 2000 and through December 31, 2000,
8with respect to motor fuel, as defined in Section 1.1 of the
9Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
10the Use Tax Act, the tax is imposed at the rate of 1.25%.
11    With respect to gasohol, as defined in the Use Tax Act, the
12tax imposed by this Act applies to (i) 70% of the selling price
13of property transferred as an incident to the sale of service
14on or after January 1, 1990, and before July 1, 2003, (ii) 80%
15of the selling price of property transferred as an incident to
16the sale of service on or after July 1, 2003 and on or before
17December 31, 2018, and (iii) 100% of the selling price
18thereafter. If, at any time, however, the tax under this Act on
19sales of gasohol, as defined in the Use Tax Act, is imposed at
20the rate of 1.25%, then the tax imposed by this Act applies to
21100% of the proceeds of sales of gasohol made during that time.
22    With respect to E15 and E20 blended ethanol fuel, as
23defined in the Use Tax Act, the tax imposed by this Act applies
24to (i) 80% of the proceeds of sales made on or after July 1,
252013 and on or before December 31, 2018 and (ii) 100% of the
26proceeds of sales made thereafter.

 

 

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1    With respect to E30 blended ethanol fuel, as defined in the
2Use Tax Act, the tax imposed by this Act applies to (i) 60% of
3the selling price of property transferred as an incident to the
4sale of service on or after July 1, 2013 and on or before
5December 31, 2018 and (ii) 100% of the selling price
6thereafter.
7    With respect to majority blended ethanol fuel, as defined
8in the Use Tax Act, the tax imposed by this Act does not apply
9to the selling price of property transferred as an incident to
10the sale of service on or after July 1, 2003 and on or before
11December 31, 2018 but applies to 100% of the selling price
12thereafter.
13    With respect to biodiesel blends, as defined in the Use Tax
14Act, with no less than 1% and no more than 10% biodiesel, the
15tax imposed by this Act applies to (i) 80% of the selling price
16of property transferred as an incident to the sale of service
17on or after July 1, 2003 and on or before December 31, 2018 and
18(ii) 100% of the proceeds of the selling price thereafter. If,
19at any time, however, the tax under this Act on sales of
20biodiesel blends, as defined in the Use Tax Act, with no less
21than 1% and no more than 10% biodiesel is imposed at the rate
22of 1.25%, then the tax imposed by this Act applies to 100% of
23the proceeds of sales of biodiesel blends with no less than 1%
24and no more than 10% biodiesel made during that time.
25    With respect to 100% biodiesel, as defined in the Use Tax
26Act, and biodiesel blends, as defined in the Use Tax Act, with

 

 

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1more than 10% but no more than 99% biodiesel, the tax imposed
2by this Act does not apply to the proceeds of the selling price
3of property transferred as an incident to the sale of service
4on or after July 1, 2003 and on or before December 31, 2018 but
5applies to 100% of the selling price thereafter.
6    At the election of any registered serviceman made for each
7fiscal year, sales of service in which the aggregate annual
8cost price of tangible personal property transferred as an
9incident to the sales of service is less than 35%, or 75% in
10the case of servicemen transferring prescription drugs or
11servicemen engaged in graphic arts production, of the aggregate
12annual total gross receipts from all sales of service, the tax
13imposed by this Act shall be based on the serviceman's cost
14price of the tangible personal property transferred as an
15incident to the sale of those services.
16    The tax shall be imposed at the rate of 1% on food prepared
17for immediate consumption and transferred incident to a sale of
18service subject to this Act or the Service Occupation Tax Act
19by an entity licensed under the Hospital Licensing Act, the
20Nursing Home Care Act, the ID/DD Community Care Act, the
21Specialized Mental Health Rehabilitation Act, or the Child Care
22Act of 1969. The tax shall also be imposed at the rate of 1% on
23food for human consumption that is to be consumed off the
24premises where it is sold (other than alcoholic beverages, soft
25drinks, and food that has been prepared for immediate
26consumption and is not otherwise included in this paragraph)

 

 

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1and prescription and nonprescription medicines, drugs, medical
2appliances, modifications to a motor vehicle for the purpose of
3rendering it usable by a disabled person, and insulin, urine
4testing materials, syringes, and needles used by diabetics, for
5human use. For the purposes of this Section, until September 1,
62009: the term "soft drinks" means any complete, finished,
7ready-to-use, non-alcoholic drink, whether carbonated or not,
8including but not limited to soda water, cola, fruit juice,
9vegetable juice, carbonated water, and all other preparations
10commonly known as soft drinks of whatever kind or description
11that are contained in any closed or sealed bottle, can, carton,
12or container, regardless of size; but "soft drinks" does not
13include coffee, tea, non-carbonated water, infant formula,
14milk or milk products as defined in the Grade A Pasteurized
15Milk and Milk Products Act, or drinks containing 50% or more
16natural fruit or vegetable juice.
17    Notwithstanding any other provisions of this Act,
18beginning September 1, 2009, "soft drinks" means non-alcoholic
19beverages that contain natural or artificial sweeteners. "Soft
20drinks" do not include beverages that contain milk or milk
21products, soy, rice or similar milk substitutes, or greater
22than 50% of vegetable or fruit juice by volume.
23    Until August 1, 2009, and notwithstanding any other
24provisions of this Act, "food for human consumption that is to
25be consumed off the premises where it is sold" includes all
26food sold through a vending machine, except soft drinks and

 

 

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1food products that are dispensed hot from a vending machine,
2regardless of the location of the vending machine. Beginning
3August 1, 2009, and notwithstanding any other provisions of
4this Act, "food for human consumption that is to be consumed
5off the premises where it is sold" includes all food sold
6through a vending machine, except soft drinks, candy, and food
7products that are dispensed hot from a vending machine,
8regardless of the location of the vending machine.
9    Notwithstanding any other provisions of this Act,
10beginning September 1, 2009, "food for human consumption that
11is to be consumed off the premises where it is sold" does not
12include candy. For purposes of this Section, "candy" means a
13preparation of sugar, honey, or other natural or artificial
14sweeteners in combination with chocolate, fruits, nuts or other
15ingredients or flavorings in the form of bars, drops, or
16pieces. "Candy" does not include any preparation that contains
17flour or requires refrigeration.
18    Notwithstanding any other provisions of this Act,
19beginning September 1, 2009, "nonprescription medicines and
20drugs" does not include grooming and hygiene products. For
21purposes of this Section, "grooming and hygiene products"
22includes, but is not limited to, soaps and cleaning solutions,
23shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
24lotions and screens, unless those products are available by
25prescription only, regardless of whether the products meet the
26definition of "over-the-counter-drugs". For the purposes of

 

 

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1this paragraph, "over-the-counter-drug" means a drug for human
2use that contains a label that identifies the product as a drug
3as required by 21 C.F.R. § 201.66. The "over-the-counter-drug"
4label includes:
5        (A) A "Drug Facts" panel; or
6        (B) A statement of the "active ingredient(s)" with a
7    list of those ingredients contained in the compound,
8    substance or preparation.
9    If the property that is acquired from a serviceman is
10acquired outside Illinois and used outside Illinois before
11being brought to Illinois for use here and is taxable under
12this Act, the "selling price" on which the tax is computed
13shall be reduced by an amount that represents a reasonable
14allowance for depreciation for the period of prior out-of-state
15use.
16(Source: P.A. 96-34, eff. 7-13-09; 96-37, eff. 7-13-09; 96-38,
17eff. 7-13-09; 96-339, eff. 7-1-10; 96-1000, eff. 7-2-10; 97-38,
18eff. 6-28-11; 97-227, eff. 1-1-12; 97-636, eff. 6-1-12.)
 
19    Section 20. The Service Occupation Tax Act is amended by
20changing Section 3-10 as follows:
 
21    (35 ILCS 115/3-10)  (from Ch. 120, par. 439.103-10)
22    Sec. 3-10. Rate of tax. Unless otherwise provided in this
23Section, the tax imposed by this Act is at the rate of 6.25% of
24the "selling price", as defined in Section 2 of the Service Use

 

 

09800SB0052sam001- 16 -LRB098 05107 HLH 42911 a

1Tax Act, of the tangible personal property. For the purpose of
2computing this tax, in no event shall the "selling price" be
3less than the cost price to the serviceman of the tangible
4personal property transferred. The selling price of each item
5of tangible personal property transferred as an incident of a
6sale of service may be shown as a distinct and separate item on
7the serviceman's billing to the service customer. If the
8selling price is not so shown, the selling price of the
9tangible personal property is deemed to be 50% of the
10serviceman's entire billing to the service customer. When,
11however, a serviceman contracts to design, develop, and produce
12special order machinery or equipment, the tax imposed by this
13Act shall be based on the serviceman's cost price of the
14tangible personal property transferred incident to the
15completion of the contract.
16    Beginning on July 1, 2000 and through December 31, 2000,
17with respect to motor fuel, as defined in Section 1.1 of the
18Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
19the Use Tax Act, the tax is imposed at the rate of 1.25%.
20    With respect to gasohol, as defined in the Use Tax Act, the
21tax imposed by this Act shall apply to (i) 70% of the cost
22price of property transferred as an incident to the sale of
23service on or after January 1, 1990, and before July 1, 2003,
24(ii) 80% of the selling price of property transferred as an
25incident to the sale of service on or after July 1, 2003 and on
26or before December 31, 2018, and (iii) 100% of the cost price

 

 

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1thereafter. If, at any time, however, the tax under this Act on
2sales of gasohol, as defined in the Use Tax Act, is imposed at
3the rate of 1.25%, then the tax imposed by this Act applies to
4100% of the proceeds of sales of gasohol made during that time.
5    With respect to E15 and E20 blended ethanol fuel, as
6defined in the Use Tax Act, the tax imposed by this Act applies
7to (i) 80% of the proceeds of sales made on or after July 1,
82013 and on or before December 31, 2018 and (ii) 100% of the
9proceeds of sales made thereafter.
10    With respect to E30 blended ethanol fuel, as defined in the
11Use Tax Act, the tax imposed by this Act applies to (i) 60% of
12the selling price of property transferred as an incident to the
13sale of service on or after July 1, 2013 and on or before
14December 31, 2018 and (ii) 100% of the selling price
15thereafter.
16    With respect to majority blended ethanol fuel, as defined
17in the Use Tax Act, the tax imposed by this Act does not apply
18to the selling price of property transferred as an incident to
19the sale of service on or after July 1, 2003 and on or before
20December 31, 2018 but applies to 100% of the selling price
21thereafter.
22    With respect to biodiesel blends, as defined in the Use Tax
23Act, with no less than 1% and no more than 10% biodiesel, the
24tax imposed by this Act applies to (i) 80% of the selling price
25of property transferred as an incident to the sale of service
26on or after July 1, 2003 and on or before December 31, 2018 and

 

 

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1(ii) 100% of the proceeds of the selling price thereafter. If,
2at any time, however, the tax under this Act on sales of
3biodiesel blends, as defined in the Use Tax Act, with no less
4than 1% and no more than 10% biodiesel is imposed at the rate
5of 1.25%, then the tax imposed by this Act applies to 100% of
6the proceeds of sales of biodiesel blends with no less than 1%
7and no more than 10% biodiesel made during that time.
8    With respect to 100% biodiesel, as defined in the Use Tax
9Act, and biodiesel blends, as defined in the Use Tax Act, with
10more than 10% but no more than 99% biodiesel material, the tax
11imposed by this Act does not apply to the proceeds of the
12selling price of property transferred as an incident to the
13sale of service on or after July 1, 2003 and on or before
14December 31, 2018 but applies to 100% of the selling price
15thereafter.
16    At the election of any registered serviceman made for each
17fiscal year, sales of service in which the aggregate annual
18cost price of tangible personal property transferred as an
19incident to the sales of service is less than 35%, or 75% in
20the case of servicemen transferring prescription drugs or
21servicemen engaged in graphic arts production, of the aggregate
22annual total gross receipts from all sales of service, the tax
23imposed by this Act shall be based on the serviceman's cost
24price of the tangible personal property transferred incident to
25the sale of those services.
26    The tax shall be imposed at the rate of 1% on food prepared

 

 

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1for immediate consumption and transferred incident to a sale of
2service subject to this Act or the Service Occupation Tax Act
3by an entity licensed under the Hospital Licensing Act, the
4Nursing Home Care Act, the ID/DD Community Care Act, the
5Specialized Mental Health Rehabilitation Act, or the Child Care
6Act of 1969. The tax shall also be imposed at the rate of 1% on
7food for human consumption that is to be consumed off the
8premises where it is sold (other than alcoholic beverages, soft
9drinks, and food that has been prepared for immediate
10consumption and is not otherwise included in this paragraph)
11and prescription and nonprescription medicines, drugs, medical
12appliances, modifications to a motor vehicle for the purpose of
13rendering it usable by a disabled person, and insulin, urine
14testing materials, syringes, and needles used by diabetics, for
15human use. For the purposes of this Section, until September 1,
162009: the term "soft drinks" means any complete, finished,
17ready-to-use, non-alcoholic drink, whether carbonated or not,
18including but not limited to soda water, cola, fruit juice,
19vegetable juice, carbonated water, and all other preparations
20commonly known as soft drinks of whatever kind or description
21that are contained in any closed or sealed can, carton, or
22container, regardless of size; but "soft drinks" does not
23include coffee, tea, non-carbonated water, infant formula,
24milk or milk products as defined in the Grade A Pasteurized
25Milk and Milk Products Act, or drinks containing 50% or more
26natural fruit or vegetable juice.

 

 

09800SB0052sam001- 20 -LRB098 05107 HLH 42911 a

1    Notwithstanding any other provisions of this Act,
2beginning September 1, 2009, "soft drinks" means non-alcoholic
3beverages that contain natural or artificial sweeteners. "Soft
4drinks" do not include beverages that contain milk or milk
5products, soy, rice or similar milk substitutes, or greater
6than 50% of vegetable or fruit juice by volume.
7    Until August 1, 2009, and notwithstanding any other
8provisions of this Act, "food for human consumption that is to
9be consumed off the premises where it is sold" includes all
10food sold through a vending machine, except soft drinks and
11food products that are dispensed hot from a vending machine,
12regardless of the location of the vending machine. Beginning
13August 1, 2009, and notwithstanding any other provisions of
14this Act, "food for human consumption that is to be consumed
15off the premises where it is sold" includes all food sold
16through a vending machine, except soft drinks, candy, and food
17products that are dispensed hot from a vending machine,
18regardless of the location of the vending machine.
19    Notwithstanding any other provisions of this Act,
20beginning September 1, 2009, "food for human consumption that
21is to be consumed off the premises where it is sold" does not
22include candy. For purposes of this Section, "candy" means a
23preparation of sugar, honey, or other natural or artificial
24sweeteners in combination with chocolate, fruits, nuts or other
25ingredients or flavorings in the form of bars, drops, or
26pieces. "Candy" does not include any preparation that contains

 

 

09800SB0052sam001- 21 -LRB098 05107 HLH 42911 a

1flour or requires refrigeration.
2    Notwithstanding any other provisions of this Act,
3beginning September 1, 2009, "nonprescription medicines and
4drugs" does not include grooming and hygiene products. For
5purposes of this Section, "grooming and hygiene products"
6includes, but is not limited to, soaps and cleaning solutions,
7shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
8lotions and screens, unless those products are available by
9prescription only, regardless of whether the products meet the
10definition of "over-the-counter-drugs". For the purposes of
11this paragraph, "over-the-counter-drug" means a drug for human
12use that contains a label that identifies the product as a drug
13as required by 21 C.F.R. § 201.66. The "over-the-counter-drug"
14label includes:
15        (A) A "Drug Facts" panel; or
16        (B) A statement of the "active ingredient(s)" with a
17    list of those ingredients contained in the compound,
18    substance or preparation.
19(Source: P.A. 96-34, eff. 7-13-09; 96-37, eff. 7-13-09; 96-38,
20eff. 7-13-09; 96-339, eff. 7-1-10; 96-1000, eff. 7-2-10; 97-38,
21eff. 6-28-11; 97-227, eff. 1-1-12; 97-636, eff. 6-1-12.)
 
22    Section 25. The Retailers' Occupation Tax Act is amended by
23changing Section 2-10 as follows:
 
24    (35 ILCS 120/2-10)

 

 

09800SB0052sam001- 22 -LRB098 05107 HLH 42911 a

1    Sec. 2-10. Rate of tax. Unless otherwise provided in this
2Section, the tax imposed by this Act is at the rate of 6.25% of
3gross receipts from sales of tangible personal property made in
4the course of business.
5    Beginning on July 1, 2000 and through December 31, 2000,
6with respect to motor fuel, as defined in Section 1.1 of the
7Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
8the Use Tax Act, the tax is imposed at the rate of 1.25%.
9    Beginning on August 6, 2010 through August 15, 2010, with
10respect to sales tax holiday items as defined in Section 2-8 of
11this Act, the tax is imposed at the rate of 1.25%.
12    Within 14 days after the effective date of this amendatory
13Act of the 91st General Assembly, each retailer of motor fuel
14and gasohol shall cause the following notice to be posted in a
15prominently visible place on each retail dispensing device that
16is used to dispense motor fuel or gasohol in the State of
17Illinois: "As of July 1, 2000, the State of Illinois has
18eliminated the State's share of sales tax on motor fuel and
19gasohol through December 31, 2000. The price on this pump
20should reflect the elimination of the tax." The notice shall be
21printed in bold print on a sign that is no smaller than 4
22inches by 8 inches. The sign shall be clearly visible to
23customers. Any retailer who fails to post or maintain a
24required sign through December 31, 2000 is guilty of a petty
25offense for which the fine shall be $500 per day per each
26retail premises where a violation occurs.

 

 

09800SB0052sam001- 23 -LRB098 05107 HLH 42911 a

1    With respect to gasohol, as defined in the Use Tax Act, the
2tax imposed by this Act applies to (i) 70% of the proceeds of
3sales made on or after January 1, 1990, and before July 1,
42003, (ii) 80% of the proceeds of sales made on or after July
51, 2003 and on or before December 31, 2018, and (iii) 100% of
6the proceeds of sales made thereafter. If, at any time,
7however, the tax under this Act on sales of gasohol, as defined
8in the Use Tax Act, is imposed at the rate of 1.25%, then the
9tax imposed by this Act applies to 100% of the proceeds of
10sales of gasohol made during that time.
11    With respect to E15 and E20 blended ethanol fuel, as
12defined in the Use Tax Act, the tax imposed by this Act applies
13to (i) 80% of the proceeds of sales made on or after July 1,
142013 and on or before December 31, 2018 and (ii) 100% of the
15proceeds of sales made thereafter.
16    With respect to E30 blended ethanol fuel, as defined in the
17Use Tax Act, the tax imposed by this Act applies to (i) 60% of
18the proceeds of sales made on or after July 1, 2013 and on or
19before December 31, 2018 and (ii) 100% of the proceeds of sales
20made thereafter.
21    With respect to majority blended ethanol fuel, as defined
22in the Use Tax Act, the tax imposed by this Act does not apply
23to the proceeds of sales made on or after July 1, 2003 and on or
24before December 31, 2018 but applies to 100% of the proceeds of
25sales made thereafter.
26    With respect to biodiesel blends, as defined in the Use Tax

 

 

09800SB0052sam001- 24 -LRB098 05107 HLH 42911 a

1Act, with no less than 1% and no more than 10% biodiesel, the
2tax imposed by this Act applies to (i) 80% of the proceeds of
3sales made on or after July 1, 2003 and on or before December
431, 2018 and (ii) 100% of the proceeds of sales made
5thereafter. If, at any time, however, the tax under this Act on
6sales of biodiesel blends, as defined in the Use Tax Act, with
7no less than 1% and no more than 10% biodiesel is imposed at
8the rate of 1.25%, then the tax imposed by this Act applies to
9100% of the proceeds of sales of biodiesel blends with no less
10than 1% and no more than 10% biodiesel made during that time.
11    With respect to 100% biodiesel, as defined in the Use Tax
12Act, and biodiesel blends, as defined in the Use Tax Act, with
13more than 10% but no more than 99% biodiesel, the tax imposed
14by this Act does not apply to the proceeds of sales made on or
15after July 1, 2003 and on or before December 31, 2018 but
16applies to 100% of the proceeds of sales made thereafter.
17    With respect to food for human consumption that is to be
18consumed off the premises where it is sold (other than
19alcoholic beverages, soft drinks, and food that has been
20prepared for immediate consumption) and prescription and
21nonprescription medicines, drugs, medical appliances,
22modifications to a motor vehicle for the purpose of rendering
23it usable by a disabled person, and insulin, urine testing
24materials, syringes, and needles used by diabetics, for human
25use, the tax is imposed at the rate of 1%. For the purposes of
26this Section, until September 1, 2009: the term "soft drinks"

 

 

09800SB0052sam001- 25 -LRB098 05107 HLH 42911 a

1means any complete, finished, ready-to-use, non-alcoholic
2drink, whether carbonated or not, including but not limited to
3soda water, cola, fruit juice, vegetable juice, carbonated
4water, and all other preparations commonly known as soft drinks
5of whatever kind or description that are contained in any
6closed or sealed bottle, can, carton, or container, regardless
7of size; but "soft drinks" does not include coffee, tea,
8non-carbonated water, infant formula, milk or milk products as
9defined in the Grade A Pasteurized Milk and Milk Products Act,
10or drinks containing 50% or more natural fruit or vegetable
11juice.
12    Notwithstanding any other provisions of this Act,
13beginning September 1, 2009, "soft drinks" means non-alcoholic
14beverages that contain natural or artificial sweeteners. "Soft
15drinks" do not include beverages that contain milk or milk
16products, soy, rice or similar milk substitutes, or greater
17than 50% of vegetable or fruit juice by volume.
18    Until August 1, 2009, and notwithstanding any other
19provisions of this Act, "food for human consumption that is to
20be consumed off the premises where it is sold" includes all
21food sold through a vending machine, except soft drinks and
22food products that are dispensed hot from a vending machine,
23regardless of the location of the vending machine. Beginning
24August 1, 2009, and notwithstanding any other provisions of
25this Act, "food for human consumption that is to be consumed
26off the premises where it is sold" includes all food sold

 

 

09800SB0052sam001- 26 -LRB098 05107 HLH 42911 a

1through a vending machine, except soft drinks, candy, and food
2products that are dispensed hot from a vending machine,
3regardless of the location of the vending machine.
4    Notwithstanding any other provisions of this Act,
5beginning September 1, 2009, "food for human consumption that
6is to be consumed off the premises where it is sold" does not
7include candy. For purposes of this Section, "candy" means a
8preparation of sugar, honey, or other natural or artificial
9sweeteners in combination with chocolate, fruits, nuts or other
10ingredients or flavorings in the form of bars, drops, or
11pieces. "Candy" does not include any preparation that contains
12flour or requires refrigeration.
13    Notwithstanding any other provisions of this Act,
14beginning September 1, 2009, "nonprescription medicines and
15drugs" does not include grooming and hygiene products. For
16purposes of this Section, "grooming and hygiene products"
17includes, but is not limited to, soaps and cleaning solutions,
18shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
19lotions and screens, unless those products are available by
20prescription only, regardless of whether the products meet the
21definition of "over-the-counter-drugs". For the purposes of
22this paragraph, "over-the-counter-drug" means a drug for human
23use that contains a label that identifies the product as a drug
24as required by 21 C.F.R. § 201.66. The "over-the-counter-drug"
25label includes:
26        (A) A "Drug Facts" panel; or

 

 

09800SB0052sam001- 27 -LRB098 05107 HLH 42911 a

1        (B) A statement of the "active ingredient(s)" with a
2    list of those ingredients contained in the compound,
3    substance or preparation.
4(Source: P.A. 96-34, eff. 7-13-09; 96-37, eff. 7-13-09; 96-38,
5eff. 7-13-09; 96-1000, eff. 7-2-10; 96-1012, eff. 7-7-10;
697-636, eff. 6-1-12.)
 
7    Section 99. Effective date. This Act takes effect upon
8becoming law.".