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Full Text of HB1645  97th General Assembly

HB1645sam003 97TH GENERAL ASSEMBLY

Sen. Toi W. Hutchinson

Filed: 5/14/2012

 

 


 

 


 
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1
AMENDMENT TO HOUSE BILL 1645

2    AMENDMENT NO. ______. Amend House Bill 1645, AS AMENDED, by
3replacing everything after the enacting clause with the
4following:
 
5    "Section 1. Short title. This Act may be cited as the Live
6Adult Entertainment Facility Surcharge Act.
 
7    Section 3. Findings. It is the intent of the General
8Assembly to ameliorate the negative secondary effects
9associated with the consumption of alcoholic beverages on the
10premises of sexually oriented businesses, or the proximity of
11sexually oriented businesses to facilities serving alcohol, so
12as to promote the health, safety, and welfare of the citizens
13of Illinois.
14    This Act is not intended to directly or indirectly impose
15limitations or restrictions on live nude dancing, nor is it the
16intent of this Act to restrict or deny access by adults to live

 

 

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1nude dancing performances that may be protected by the First
2Amendment of the United States Constitution or by the Illinois
3Constitution.
 
4    Section 5. Definitions. As used in this Act:
5    "Admission" means entry by a person into a live adult
6entertainment facility.
7    "Department" means the Department of Revenue.
8    "Live adult entertainment facility" means a striptease
9club or other business that serves or permits the consumption
10of alcohol on its premises, and, during at least 30 consecutive
11or nonconsecutive days in a calendar year, offers or provides
12activities by employees, agents, or contractors of the business
13that involve nude or partially denuded individuals that, when
14considered as a whole, appeal primarily to an interest in
15nudity or sex.
16    "Nude or partially denuded individual" means an individual
17who is:
18        (1) entirely unclothed; or
19        (2) clothed in a manner that leaves uncovered or
20    visible through less than fully opaque clothing any portion
21    of the breasts below the top of the areola of the breasts,
22    if the person is female, or any portion of the genitals or
23    buttocks.
24    "Operator" means any person who owns or operates a live
25adult entertainment facility in this State.
 

 

 

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1    Section 10. Surcharge imposed; returns.
2    (a) An annual surcharge is imposed upon each operator who
3operates a live adult entertainment facility in this State. By
4January 20, 2014, and by January 20 of each year thereafter,
5each operator shall elect to pay the surcharge according to
6either item (1) or item (2) of this subsection.
7        (1) An operator who elects to be subject to this item
8    (1) shall pay to the Department a surcharge imposed upon
9    admissions to a live adult entertainment facility operated
10    by the operator in this State in an amount equal to $3 per
11    person admitted to that live adult entertainment facility.
12    This item (1) does not require a live entertainment
13    facility to impose a fee on a customer of the facility. An
14    operator has the discretion to determine the manner in
15    which the facility derives the moneys required to pay the
16    surcharge imposed under this section. In the event that an
17    operator has not filed the applicable returns under the
18    Retailers' Occupation Tax Act for a full calendar year
19    prior to any January 20, then such operator shall pay the
20    surcharge under this Act pursuant to this item (1) for
21    moneys owed to the Department subject to this Act for the
22    previous calendar year.
23        (2) An operator may, in the alternative, pay to the
24    Department the surcharge as follows:
25            (A) If the gross receipts received by the live

 

 

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1        adult entertainment facility during the preceding
2        calendar year, upon the basis of which a tax is imposed
3        under Section 2 of the Retailers' Occupation Tax Act,
4        are equal or greater than $2,000,000 during the
5        preceding calendar year, and if the operator elects to
6        be subject to this item (2), then the operator shall
7        pay the Department a surcharge of $25,000.
8            (B) If the gross receipts received by the live
9        adult entertainment facility during the preceding
10        calendar year, upon the basis of which a tax is imposed
11        under Section 2 of the Retailers' Occupation Tax Act,
12        are equal to or greater than $500,000 but less than
13        $2,000,000 during the preceding calendar year, and if
14        the operator elects to be subject to this item (2),
15        then the operator shall pay to the Department a
16        surcharge of $15,000.
17            (C) If the gross receipts received by the live
18        adult entertainment facility during the preceding
19        calendar year, upon the basis of which a tax is imposed
20        under Section 2 of the Retailers' Occupation Tax Act,
21        are less than $500,000 during the preceding calendar
22        year, and if the operator elects to be subject to this
23        item (2), then the operator shall pay the Department a
24        surcharge of $5,000.
25    (b) For each live adult entertainment facility paying the
26surcharge as set forth in item (1) of subsection (a) of this

 

 

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1Section, the operator must file a return electronically as
2provided by the Department and remit payment to the Department
3on an annual basis no later than January 20 covering the
4previous calendar year. Each return made to the Department must
5state the following:
6        (1) the name of the operator;
7        (2) the address of the live adult entertainment
8    facility and the address of the principal place of business
9    (if that is a different address) of the operator;
10        (3) the total number of admissions to the facility in
11    the preceding calendar year; and
12        (4) the total amount of surcharge collected in the
13    preceding calendar year.
14    Notwithstanding any other provision of this subsection
15concerning the time within which an operator may file his or
16her return, if an operator ceases to operates a live adult
17entertainment facility, then he or she must file a final return
18under this Act with the Department not more than one calendar
19month after discontinuing that business.
20    (c) For each live adult entertainment facility paying the
21surcharge as set forth in item (2) of subsection (a) of this
22Section, the operator must file a return electronically as
23provided by the Department and remit payment to the Department
24on an annual basis no later than January 20 covering the
25previous calendar year. Each return made to the Department must
26state the following:

 

 

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1        (1) the name of the operator;
2        (2) the address of the live adult entertainment
3    facility and the address of the principal place of business
4    (if that is a different address) of the operator;
5        (3) the gross receipts received by the live adult
6    entertainment facility during the preceding calendar year,
7    upon the basis of which tax is imposed under Section 2 of
8    the Retailers' Occupation Tax Act; and
9        (4) the applicable surcharge from Section 10(a)(2) of
10    this Act to be paid by the operator.
11    Notwithstanding any other provision of this subsection
12concerning the time within which an operator may file his or
13her return, if an operator ceases to operates a live adult
14entertainment facility, then he or she must file a final return
15under this Act with the Department not more than one calendar
16month after discontinuing that business.
17    (d) Beginning January 1, 2014, the Department shall pay all
18proceeds collected from the surcharge imposed under this Act
19into the Sexual Assault Services and Prevention Fund, less 2%
20of those proceeds, which shall be paid into the Tax Compliance
21and Administration Fund in the State treasury from which it
22shall be appropriated to the Department to cover the costs of
23the Department in administering and enforcing the provisions of
24this Act.
 
25    Section 15. The Sexual Assault Services and Prevention

 

 

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1Fund.
2    (a) The Sexual Assault Services and Prevention Fund is
3created as a special fund in the State treasury. From
4appropriations from the Fund, the Department of Human Services
5shall make grants to sexual assault organizations with whom the
6Department has contracts for the purpose of providing
7community-based assistance to victims of sexual assault and for
8activities concerning the prevention of sexual assault. Moneys
9received for the purposes of this Act, including, without
10limitation, surcharge proceeds and gifts, grants, and awards
11from any public or private entity, must be deposited into the
12Fund. Any interest earnings that are attributable to moneys in
13the Fund must be deposited into the Fund.
14    (b) Notwithstanding any deposits authorized under
15subsection (d) of Section 10 of this Act, the Fund is not
16subject to sweeps, charge-backs, or any other fiscal or
17budgetary maneuver that would in any way transfer any moneys
18from the Fund into any other fund of the State.
 
19    Section 20. Books and records. Every operator electing to
20pay the surcharge pursuant to item (1) of subsection (a) of
21Section 10 of this Act shall record the admissions of customers
22subject to the surcharge under this Act.
 
23    Section 25. Application of Retailers' Occupation Tax
24provisions; Uniform Penalty and Interest Act provisions. All

 

 

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1the provisions of Sections 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g,
25i, 5j, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, and 13 of the Retailers'
3Occupation Tax Act that are not inconsistent with this Act
4apply, as far as practicable, to the surcharge imposed by this
5Act to the same extent as if those provisions were included in
6this Act. References in the incorporated Sections of the
7Retailers' Occupation Tax Act to retailers, to sellers, or to
8persons engaged in the business of selling tangible personal
9property mean operators. All provisions of the Uniform Penalty
10and Interest Act which are not inconsistent with this Act shall
11apply.
 
12    Section 30. Rules. The Department may adopt and enforce any
13reasonable rule to administer and enforce the surcharge imposed
14by this Act.
 
15    Section 40. Review under the Administrative Review Law. The
16circuit court of any county in which a hearing is held has the
17power to review all final administrative decisions of the
18Department in administering the surcharge imposed under this
19Act. The term "administrative decision" is defined as in
20Section 3-101 of the Code of Civil Procedure.
 
21    Section 45. Penalty. Any operator who fails to make a
22return or who makes a fraudulent return is guilty of a Class 4
23felony.
 

 

 

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1    Section 90. The State Finance Act is amended by adding
2Section 5.811 as follows:
 
3    (30 ILCS 105/5.811 new)
4    Sec. 5.811. The Sexual Assault Services and Prevention
5Fund.
 
6    Section 97. Severability. The provisions of this Act are
7severable under Section 1.31 of the Statute on Statutes.
 
8    Section 99. Effective date. This Act takes effect January
91, 2013.".