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90_HB3333
35 ILCS 105/9 from Ch. 120, par. 439.9
35 ILCS 110/9 from Ch. 120, par. 439.39
35 ILCS 115/9 from Ch. 120, par. 439.109
35 ILCS 120/3 from Ch. 120, par. 442
Amends the Use Tax Act, the Service Use Tax Act, the
Service Occupation Tax Act, and the Retailers' Occupation Tax
Act. Provides that beginning on and after the effective date
of this amendatory Act, each month the Department shall pay
(i) 26.7% of the net revenue realized for the proceeding
month from the 6.25% general rate on the selling price of
gasoline into the State Construction Account Fund and (ii)
53.3% of the net revenue realized for the proceeding month
from the 6.25% general rate on the selling price of gasoline
into the Road Fund. Effective immediately.
LRB9010638KDks
LRB9010638KDks
1 AN ACT in relation to taxes, amending named Acts.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 5. The Use Tax Act is amended by changing
5 Section 9 as follows:
6 (35 ILCS 105/9) (from Ch. 120, par. 439.9)
7 (Text of Section before amendment by P.A. 90-491)
8 Sec. 9. Except as to motor vehicles, watercraft,
9 aircraft, and trailers that are required to be registered
10 with an agency of this State, each retailer required or
11 authorized to collect the tax imposed by this Act shall pay
12 to the Department the amount of such tax (except as otherwise
13 provided) at the time when he is required to file his return
14 for the period during which such tax was collected, less a
15 discount of 2.1% prior to January 1, 1990, and 1.75% on and
16 after January 1, 1990, or $5 per calendar year, whichever is
17 greater, which is allowed to reimburse the retailer for
18 expenses incurred in collecting the tax, keeping records,
19 preparing and filing returns, remitting the tax and supplying
20 data to the Department on request. In the case of retailers
21 who report and pay the tax on a transaction by transaction
22 basis, as provided in this Section, such discount shall be
23 taken with each such tax remittance instead of when such
24 retailer files his periodic return. A retailer need not
25 remit that part of any tax collected by him to the extent
26 that he is required to remit and does remit the tax imposed
27 by the Retailers' Occupation Tax Act, with respect to the
28 sale of the same property.
29 Where such tangible personal property is sold under a
30 conditional sales contract, or under any other form of sale
31 wherein the payment of the principal sum, or a part thereof,
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1 is extended beyond the close of the period for which the
2 return is filed, the retailer, in collecting the tax (except
3 as to motor vehicles, watercraft, aircraft, and trailers that
4 are required to be registered with an agency of this State),
5 may collect for each tax return period, only the tax
6 applicable to that part of the selling price actually
7 received during such tax return period.
8 Except as provided in this Section, on or before the
9 twentieth day of each calendar month, such retailer shall
10 file a return for the preceding calendar month. Such return
11 shall be filed on forms prescribed by the Department and
12 shall furnish such information as the Department may
13 reasonably require.
14 The Department may require returns to be filed on a
15 quarterly basis. If so required, a return for each calendar
16 quarter shall be filed on or before the twentieth day of the
17 calendar month following the end of such calendar quarter.
18 The taxpayer shall also file a return with the Department for
19 each of the first two months of each calendar quarter, on or
20 before the twentieth day of the following calendar month,
21 stating:
22 1. The name of the seller;
23 2. The address of the principal place of business
24 from which he engages in the business of selling tangible
25 personal property at retail in this State;
26 3. The total amount of taxable receipts received by
27 him during the preceding calendar month from sales of
28 tangible personal property by him during such preceding
29 calendar month, including receipts from charge and time
30 sales, but less all deductions allowed by law;
31 4. The amount of credit provided in Section 2d of
32 this Act;
33 5. The amount of tax due;
34 5-5. The signature of the taxpayer; and
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1 6. Such other reasonable information as the
2 Department may require.
3 If a taxpayer fails to sign a return within 30 days after
4 the proper notice and demand for signature by the Department,
5 the return shall be considered valid and any amount shown to
6 be due on the return shall be deemed assessed.
7 Beginning October 1, 1993, a taxpayer who has an average
8 monthly tax liability of $150,000 or more shall make all
9 payments required by rules of the Department by electronic
10 funds transfer. Beginning October 1, 1994, a taxpayer who has
11 an average monthly tax liability of $100,000 or more shall
12 make all payments required by rules of the Department by
13 electronic funds transfer. Beginning October 1, 1995, a
14 taxpayer who has an average monthly tax liability of $50,000
15 or more shall make all payments required by rules of the
16 Department by electronic funds transfer. The term "average
17 monthly tax liability" means the sum of the taxpayer's
18 liabilities under this Act, and under all other State and
19 local occupation and use tax laws administered by the
20 Department, for the immediately preceding calendar year
21 divided by 12.
22 Before August 1 of each year beginning in 1993, the
23 Department shall notify all taxpayers required to make
24 payments by electronic funds transfer. All taxpayers required
25 to make payments by electronic funds transfer shall make
26 those payments for a minimum of one year beginning on October
27 1.
28 Any taxpayer not required to make payments by electronic
29 funds transfer may make payments by electronic funds transfer
30 with the permission of the Department.
31 All taxpayers required to make payment by electronic
32 funds transfer and any taxpayers authorized to voluntarily
33 make payments by electronic funds transfer shall make those
34 payments in the manner authorized by the Department.
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1 The Department shall adopt such rules as are necessary to
2 effectuate a program of electronic funds transfer and the
3 requirements of this Section.
4 If the taxpayer's average monthly tax liability to the
5 Department under this Act, the Retailers' Occupation Tax Act,
6 the Service Occupation Tax Act, the Service Use Tax Act was
7 $10,000 or more during the preceding 4 complete calendar
8 quarters, he shall file a return with the Department each
9 month by the 20th day of the month next following the month
10 during which such tax liability is incurred and shall make
11 payments to the Department on or before the 7th, 15th, 22nd
12 and last day of the month during which such liability is
13 incurred. If the month during which such tax liability is
14 incurred began prior to January 1, 1985, each payment shall
15 be in an amount equal to 1/4 of the taxpayer's actual
16 liability for the month or an amount set by the Department
17 not to exceed 1/4 of the average monthly liability of the
18 taxpayer to the Department for the preceding 4 complete
19 calendar quarters (excluding the month of highest liability
20 and the month of lowest liability in such 4 quarter period).
21 If the month during which such tax liability is incurred
22 begins on or after January 1, 1985, and prior to January 1,
23 1987, each payment shall be in an amount equal to 22.5% of
24 the taxpayer's actual liability for the month or 27.5% of the
25 taxpayer's liability for the same calendar month of the
26 preceding year. If the month during which such tax liability
27 is incurred begins on or after January 1, 1987, and prior to
28 January 1, 1988, each payment shall be in an amount equal to
29 22.5% of the taxpayer's actual liability for the month or
30 26.25% of the taxpayer's liability for the same calendar
31 month of the preceding year. If the month during which such
32 tax liability is incurred begins on or after January 1, 1988,
33 and prior to January 1, 1989, or begins on or after January
34 1, 1996, each payment shall be in an amount equal to 22.5% of
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1 the taxpayer's actual liability for the month or 25% of the
2 taxpayer's liability for the same calendar month of the
3 preceding year. If the month during which such tax liability
4 is incurred begins on or after January 1, 1989, and prior to
5 January 1, 1996, each payment shall be in an amount equal to
6 22.5% of the taxpayer's actual liability for the month or 25%
7 of the taxpayer's liability for the same calendar month of
8 the preceding year or 100% of the taxpayer's actual liability
9 for the quarter monthly reporting period. The amount of such
10 quarter monthly payments shall be credited against the final
11 tax liability of the taxpayer's return for that month. Once
12 applicable, the requirement of the making of quarter monthly
13 payments to the Department shall continue until such
14 taxpayer's average monthly liability to the Department during
15 the preceding 4 complete calendar quarters (excluding the
16 month of highest liability and the month of lowest liability)
17 is less than $9,000, or until such taxpayer's average monthly
18 liability to the Department as computed for each calendar
19 quarter of the 4 preceding complete calendar quarter period
20 is less than $10,000. However, if a taxpayer can show the
21 Department that a substantial change in the taxpayer's
22 business has occurred which causes the taxpayer to anticipate
23 that his average monthly tax liability for the reasonably
24 foreseeable future will fall below $10,000, then such
25 taxpayer may petition the Department for change in such
26 taxpayer's reporting status. The Department shall change
27 such taxpayer's reporting status unless it finds that such
28 change is seasonal in nature and not likely to be long term.
29 If any such quarter monthly payment is not paid at the time
30 or in the amount required by this Section, then the
31 taxpayer's 2.1% or 1.75% vendors' discount shall be reduced
32 by 2.1% or 1.75%, as the case may be, of the difference
33 between the minimum amount due and the amount of such quarter
34 monthly payment actually and timely paid and the taxpayer
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1 shall be liable for penalties and interest on such
2 difference, except insofar as the taxpayer has previously
3 made payments for that month to the Department in excess of
4 the minimum payments previously due as provided in this
5 Section. The Department shall make reasonable rules and
6 regulations to govern the quarter monthly payment amount and
7 quarter monthly payment dates for taxpayers who file on other
8 than a calendar monthly basis.
9 If any such payment provided for in this Section exceeds
10 the taxpayer's liabilities under this Act, the Retailers'
11 Occupation Tax Act, the Service Occupation Tax Act and the
12 Service Use Tax Act, as shown by an original monthly return,
13 the Department shall issue to the taxpayer a credit
14 memorandum no later than 30 days after the date of payment,
15 which memorandum may be submitted by the taxpayer to the
16 Department in payment of tax liability subsequently to be
17 remitted by the taxpayer to the Department or be assigned by
18 the taxpayer to a similar taxpayer under this Act, the
19 Retailers' Occupation Tax Act, the Service Occupation Tax Act
20 or the Service Use Tax Act, in accordance with reasonable
21 rules and regulations to be prescribed by the Department,
22 except that if such excess payment is shown on an original
23 monthly return and is made after December 31, 1986, no credit
24 memorandum shall be issued, unless requested by the taxpayer.
25 If no such request is made, the taxpayer may credit such
26 excess payment against tax liability subsequently to be
27 remitted by the taxpayer to the Department under this Act,
28 the Retailers' Occupation Tax Act, the Service Occupation Tax
29 Act or the Service Use Tax Act, in accordance with reasonable
30 rules and regulations prescribed by the Department. If the
31 Department subsequently determines that all or any part of
32 the credit taken was not actually due to the taxpayer, the
33 taxpayer's 2.1% or 1.75% vendor's discount shall be reduced
34 by 2.1% or 1.75% of the difference between the credit taken
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1 and that actually due, and the taxpayer shall be liable for
2 penalties and interest on such difference.
3 If the retailer is otherwise required to file a monthly
4 return and if the retailer's average monthly tax liability to
5 the Department does not exceed $200, the Department may
6 authorize his returns to be filed on a quarter annual basis,
7 with the return for January, February, and March of a given
8 year being due by April 20 of such year; with the return for
9 April, May and June of a given year being due by July 20 of
10 such year; with the return for July, August and September of
11 a given year being due by October 20 of such year, and with
12 the return for October, November and December of a given year
13 being due by January 20 of the following year.
14 If the retailer is otherwise required to file a monthly
15 or quarterly return and if the retailer's average monthly tax
16 liability to the Department does not exceed $50, the
17 Department may authorize his returns to be filed on an annual
18 basis, with the return for a given year being due by January
19 20 of the following year.
20 Such quarter annual and annual returns, as to form and
21 substance, shall be subject to the same requirements as
22 monthly returns.
23 Notwithstanding any other provision in this Act
24 concerning the time within which a retailer may file his
25 return, in the case of any retailer who ceases to engage in a
26 kind of business which makes him responsible for filing
27 returns under this Act, such retailer shall file a final
28 return under this Act with the Department not more than one
29 month after discontinuing such business.
30 In addition, with respect to motor vehicles, watercraft,
31 aircraft, and trailers that are required to be registered
32 with an agency of this State, every retailer selling this
33 kind of tangible personal property shall file, with the
34 Department, upon a form to be prescribed and supplied by the
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1 Department, a separate return for each such item of tangible
2 personal property which the retailer sells, except that
3 where, in the same transaction, a retailer of aircraft,
4 watercraft, motor vehicles or trailers transfers more than
5 one aircraft, watercraft, motor vehicle or trailer to another
6 aircraft, watercraft, motor vehicle or trailer retailer for
7 the purpose of resale, that seller for resale may report the
8 transfer of all the aircraft, watercraft, motor vehicles or
9 trailers involved in that transaction to the Department on
10 the same uniform invoice-transaction reporting return form.
11 For purposes of this Section, "watercraft" means a Class 2,
12 Class 3, or Class 4 watercraft as defined in Section 3-2 of
13 the Boat Registration and Safety Act, a personal watercraft,
14 or any boat equipped with an inboard motor.
15 The transaction reporting return in the case of motor
16 vehicles or trailers that are required to be registered with
17 an agency of this State, shall be the same document as the
18 Uniform Invoice referred to in Section 5-402 of the Illinois
19 Vehicle Code and must show the name and address of the
20 seller; the name and address of the purchaser; the amount of
21 the selling price including the amount allowed by the
22 retailer for traded-in property, if any; the amount allowed
23 by the retailer for the traded-in tangible personal property,
24 if any, to the extent to which Section 2 of this Act allows
25 an exemption for the value of traded-in property; the balance
26 payable after deducting such trade-in allowance from the
27 total selling price; the amount of tax due from the retailer
28 with respect to such transaction; the amount of tax collected
29 from the purchaser by the retailer on such transaction (or
30 satisfactory evidence that such tax is not due in that
31 particular instance, if that is claimed to be the fact); the
32 place and date of the sale; a sufficient identification of
33 the property sold; such other information as is required in
34 Section 5-402 of the Illinois Vehicle Code, and such other
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1 information as the Department may reasonably require.
2 The transaction reporting return in the case of
3 watercraft and aircraft must show the name and address of the
4 seller; the name and address of the purchaser; the amount of
5 the selling price including the amount allowed by the
6 retailer for traded-in property, if any; the amount allowed
7 by the retailer for the traded-in tangible personal property,
8 if any, to the extent to which Section 2 of this Act allows
9 an exemption for the value of traded-in property; the balance
10 payable after deducting such trade-in allowance from the
11 total selling price; the amount of tax due from the retailer
12 with respect to such transaction; the amount of tax collected
13 from the purchaser by the retailer on such transaction (or
14 satisfactory evidence that such tax is not due in that
15 particular instance, if that is claimed to be the fact); the
16 place and date of the sale, a sufficient identification of
17 the property sold, and such other information as the
18 Department may reasonably require.
19 Such transaction reporting return shall be filed not
20 later than 20 days after the date of delivery of the item
21 that is being sold, but may be filed by the retailer at any
22 time sooner than that if he chooses to do so. The
23 transaction reporting return and tax remittance or proof of
24 exemption from the tax that is imposed by this Act may be
25 transmitted to the Department by way of the State agency with
26 which, or State officer with whom, the tangible personal
27 property must be titled or registered (if titling or
28 registration is required) if the Department and such agency
29 or State officer determine that this procedure will expedite
30 the processing of applications for title or registration.
31 With each such transaction reporting return, the retailer
32 shall remit the proper amount of tax due (or shall submit
33 satisfactory evidence that the sale is not taxable if that is
34 the case), to the Department or its agents, whereupon the
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1 Department shall issue, in the purchaser's name, a tax
2 receipt (or a certificate of exemption if the Department is
3 satisfied that the particular sale is tax exempt) which such
4 purchaser may submit to the agency with which, or State
5 officer with whom, he must title or register the tangible
6 personal property that is involved (if titling or
7 registration is required) in support of such purchaser's
8 application for an Illinois certificate or other evidence of
9 title or registration to such tangible personal property.
10 No retailer's failure or refusal to remit tax under this
11 Act precludes a user, who has paid the proper tax to the
12 retailer, from obtaining his certificate of title or other
13 evidence of title or registration (if titling or registration
14 is required) upon satisfying the Department that such user
15 has paid the proper tax (if tax is due) to the retailer. The
16 Department shall adopt appropriate rules to carry out the
17 mandate of this paragraph.
18 If the user who would otherwise pay tax to the retailer
19 wants the transaction reporting return filed and the payment
20 of tax or proof of exemption made to the Department before
21 the retailer is willing to take these actions and such user
22 has not paid the tax to the retailer, such user may certify
23 to the fact of such delay by the retailer, and may (upon the
24 Department being satisfied of the truth of such
25 certification) transmit the information required by the
26 transaction reporting return and the remittance for tax or
27 proof of exemption directly to the Department and obtain his
28 tax receipt or exemption determination, in which event the
29 transaction reporting return and tax remittance (if a tax
30 payment was required) shall be credited by the Department to
31 the proper retailer's account with the Department, but
32 without the 2.1% or 1.75% discount provided for in this
33 Section being allowed. When the user pays the tax directly
34 to the Department, he shall pay the tax in the same amount
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1 and in the same form in which it would be remitted if the tax
2 had been remitted to the Department by the retailer.
3 Where a retailer collects the tax with respect to the
4 selling price of tangible personal property which he sells
5 and the purchaser thereafter returns such tangible personal
6 property and the retailer refunds the selling price thereof
7 to the purchaser, such retailer shall also refund, to the
8 purchaser, the tax so collected from the purchaser. When
9 filing his return for the period in which he refunds such tax
10 to the purchaser, the retailer may deduct the amount of the
11 tax so refunded by him to the purchaser from any other use
12 tax which such retailer may be required to pay or remit to
13 the Department, as shown by such return, if the amount of the
14 tax to be deducted was previously remitted to the Department
15 by such retailer. If the retailer has not previously
16 remitted the amount of such tax to the Department, he is
17 entitled to no deduction under this Act upon refunding such
18 tax to the purchaser.
19 Any retailer filing a return under this Section shall
20 also include (for the purpose of paying tax thereon) the
21 total tax covered by such return upon the selling price of
22 tangible personal property purchased by him at retail from a
23 retailer, but as to which the tax imposed by this Act was not
24 collected from the retailer filing such return, and such
25 retailer shall remit the amount of such tax to the Department
26 when filing such return.
27 If experience indicates such action to be practicable,
28 the Department may prescribe and furnish a combination or
29 joint return which will enable retailers, who are required to
30 file returns hereunder and also under the Retailers'
31 Occupation Tax Act, to furnish all the return information
32 required by both Acts on the one form.
33 Where the retailer has more than one business registered
34 with the Department under separate registration under this
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1 Act, such retailer may not file each return that is due as a
2 single return covering all such registered businesses, but
3 shall file separate returns for each such registered
4 business.
5 Beginning January 1, 1990, each month the Department
6 shall pay into the State and Local Sales Tax Reform Fund, a
7 special fund in the State Treasury which is hereby created,
8 the net revenue realized for the preceding month from the 1%
9 tax on sales of food for human consumption which is to be
10 consumed off the premises where it is sold (other than
11 alcoholic beverages, soft drinks and food which has been
12 prepared for immediate consumption) and prescription and
13 nonprescription medicines, drugs, medical appliances and
14 insulin, urine testing materials, syringes and needles used
15 by diabetics.
16 Beginning January 1, 1990, each month the Department
17 shall pay into the County and Mass Transit District Fund 4%
18 of the net revenue realized for the preceding month from the
19 6.25% general rate on the selling price of tangible personal
20 property which is purchased outside Illinois at retail from a
21 retailer and which is titled or registered by an agency of
22 this State's government.
23 Beginning January 1, 1990, each month the Department
24 shall pay into the State and Local Sales Tax Reform Fund, a
25 special fund in the State Treasury, 20% of the net revenue
26 realized for the preceding month from the 6.25% general rate
27 on the selling price of tangible personal property, other
28 than tangible personal property which is purchased outside
29 Illinois at retail from a retailer and which is titled or
30 registered by an agency of this State's government.
31 Beginning January 1, 1990, each month the Department
32 shall pay into the Local Government Tax Fund 16% of the net
33 revenue realized for the preceding month from the 6.25%
34 general rate on the selling price of tangible personal
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1 property which is purchased outside Illinois at retail from a
2 retailer and which is titled or registered by an agency of
3 this State's government.
4 Beginning on the effective date of this amendatory Act of
5 1998 and thereafter, each month the Department shall pay into
6 the State Construction Account Fund, 26.7% of the net revenue
7 realized for the proceeding month from the 6.25% general rate
8 on the selling price of gasoline.
9 Beginning on the effective date of this amendatory Act of
10 1998 and thereafter, each month the Department shall pay into
11 the Road Fund, 53.3% of the net revenue realized for the
12 proceeding month from the 6.25% general rate on the selling
13 price of gasoline.
14 Of the remainder of the moneys received by the Department
15 pursuant to this Act, (a) 1.75% thereof shall be paid into
16 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
17 and on and after July 1, 1989, 3.8% thereof shall be paid
18 into the Build Illinois Fund; provided, however, that if in
19 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
20 as the case may be, of the moneys received by the Department
21 and required to be paid into the Build Illinois Fund pursuant
22 to Section 3 of the Retailers' Occupation Tax Act, Section 9
23 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
24 Section 9 of the Service Occupation Tax Act, such Acts being
25 hereinafter called the "Tax Acts" and such aggregate of 2.2%
26 or 3.8%, as the case may be, of moneys being hereinafter
27 called the "Tax Act Amount", and (2) the amount transferred
28 to the Build Illinois Fund from the State and Local Sales Tax
29 Reform Fund shall be less than the Annual Specified Amount
30 (as defined in Section 3 of the Retailers' Occupation Tax
31 Act), an amount equal to the difference shall be immediately
32 paid into the Build Illinois Fund from other moneys received
33 by the Department pursuant to the Tax Acts; and further
34 provided, that if on the last business day of any month the
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1 sum of (1) the Tax Act Amount required to be deposited into
2 the Build Illinois Bond Account in the Build Illinois Fund
3 during such month and (2) the amount transferred during such
4 month to the Build Illinois Fund from the State and Local
5 Sales Tax Reform Fund shall have been less than 1/12 of the
6 Annual Specified Amount, an amount equal to the difference
7 shall be immediately paid into the Build Illinois Fund from
8 other moneys received by the Department pursuant to the Tax
9 Acts; and, further provided, that in no event shall the
10 payments required under the preceding proviso result in
11 aggregate payments into the Build Illinois Fund pursuant to
12 this clause (b) for any fiscal year in excess of the greater
13 of (i) the Tax Act Amount or (ii) the Annual Specified Amount
14 for such fiscal year; and, further provided, that the amounts
15 payable into the Build Illinois Fund under this clause (b)
16 shall be payable only until such time as the aggregate amount
17 on deposit under each trust indenture securing Bonds issued
18 and outstanding pursuant to the Build Illinois Bond Act is
19 sufficient, taking into account any future investment income,
20 to fully provide, in accordance with such indenture, for the
21 defeasance of or the payment of the principal of, premium, if
22 any, and interest on the Bonds secured by such indenture and
23 on any Bonds expected to be issued thereafter and all fees
24 and costs payable with respect thereto, all as certified by
25 the Director of the Bureau of the Budget. If on the last
26 business day of any month in which Bonds are outstanding
27 pursuant to the Build Illinois Bond Act, the aggregate of the
28 moneys deposited in the Build Illinois Bond Account in the
29 Build Illinois Fund in such month shall be less than the
30 amount required to be transferred in such month from the
31 Build Illinois Bond Account to the Build Illinois Bond
32 Retirement and Interest Fund pursuant to Section 13 of the
33 Build Illinois Bond Act, an amount equal to such deficiency
34 shall be immediately paid from other moneys received by the
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1 Department pursuant to the Tax Acts to the Build Illinois
2 Fund; provided, however, that any amounts paid to the Build
3 Illinois Fund in any fiscal year pursuant to this sentence
4 shall be deemed to constitute payments pursuant to clause (b)
5 of the preceding sentence and shall reduce the amount
6 otherwise payable for such fiscal year pursuant to clause (b)
7 of the preceding sentence. The moneys received by the
8 Department pursuant to this Act and required to be deposited
9 into the Build Illinois Fund are subject to the pledge, claim
10 and charge set forth in Section 12 of the Build Illinois Bond
11 Act.
12 Subject to payment of amounts into the Build Illinois
13 Fund as provided in the preceding paragraph or in any
14 amendment thereto hereafter enacted, the following specified
15 monthly installment of the amount requested in the
16 certificate of the Chairman of the Metropolitan Pier and
17 Exposition Authority provided under Section 8.25f of the
18 State Finance Act, but not in excess of the sums designated
19 as "Total Deposit", shall be deposited in the aggregate from
20 collections under Section 9 of the Use Tax Act, Section 9 of
21 the Service Use Tax Act, Section 9 of the Service Occupation
22 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
23 into the McCormick Place Expansion Project Fund in the
24 specified fiscal years.
25 Fiscal Year Total Deposit
26 1993 $0
27 1994 53,000,000
28 1995 58,000,000
29 1996 61,000,000
30 1997 64,000,000
31 1998 68,000,000
32 1999 71,000,000
33 2000 75,000,000
34 2001 80,000,000
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1 2002 84,000,000
2 2003 89,000,000
3 2004 and 93,000,000
4 each fiscal year
5 thereafter that bonds
6 are outstanding under
7 Section 13.2 of the
8 Metropolitan Pier and
9 Exposition Authority
10 Act.
11 Beginning July 20, 1993 and in each month of each fiscal
12 year thereafter, one-eighth of the amount requested in the
13 certificate of the Chairman of the Metropolitan Pier and
14 Exposition Authority for that fiscal year, less the amount
15 deposited into the McCormick Place Expansion Project Fund by
16 the State Treasurer in the respective month under subsection
17 (g) of Section 13 of the Metropolitan Pier and Exposition
18 Authority Act, plus cumulative deficiencies in the deposits
19 required under this Section for previous months and years,
20 shall be deposited into the McCormick Place Expansion Project
21 Fund, until the full amount requested for the fiscal year,
22 but not in excess of the amount specified above as "Total
23 Deposit", has been deposited.
24 Subject to payment of amounts into the Build Illinois
25 Fund and the McCormick Place Expansion Project Fund pursuant
26 to the preceding paragraphs or in any amendment thereto
27 hereafter enacted, each month the Department shall pay into
28 the Local Government Distributive Fund .4% of the net revenue
29 realized for the preceding month from the 5% general rate, or
30 .4% of 80% of the net revenue realized for the preceding
31 month from the 6.25% general rate, as the case may be, on the
32 selling price of tangible personal property which amount
33 shall, subject to appropriation, be distributed as provided
34 in Section 2 of the State Revenue Sharing Act. No payments or
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1 distributions pursuant to this paragraph shall be made if the
2 tax imposed by this Act on photoprocessing products is
3 declared unconstitutional, or if the proceeds from such tax
4 are unavailable for distribution because of litigation.
5 Subject to payment of amounts into the Build Illinois
6 Fund, the McCormick Place Expansion Project Fund, and the
7 Local Government Distributive Fund pursuant to the preceding
8 paragraphs or in any amendments thereto hereafter enacted,
9 beginning July 1, 1993, the Department shall each month pay
10 into the Illinois Tax Increment Fund 0.27% of 80% of the net
11 revenue realized for the preceding month from the 6.25%
12 general rate on the selling price of tangible personal
13 property.
14 Of the remainder of the moneys received by the Department
15 pursuant to this Act, 75% thereof shall be paid into the
16 State Treasury and 25% shall be reserved in a special account
17 and used only for the transfer to the Common School Fund as
18 part of the monthly transfer from the General Revenue Fund in
19 accordance with Section 8a of the State Finance Act.
20 As soon as possible after the first day of each month,
21 upon certification of the Department of Revenue, the
22 Comptroller shall order transferred and the Treasurer shall
23 transfer from the General Revenue Fund to the Motor Fuel Tax
24 Fund an amount equal to 1.7% of 80% of the net revenue
25 realized under this Act for the second preceding month;
26 except that this transfer shall not be made for the months
27 February through June of 1992.
28 Net revenue realized for a month shall be the revenue
29 collected by the State pursuant to this Act, less the amount
30 paid out during that month as refunds to taxpayers for
31 overpayment of liability.
32 For greater simplicity of administration, manufacturers,
33 importers and wholesalers whose products are sold at retail
34 in Illinois by numerous retailers, and who wish to do so, may
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1 assume the responsibility for accounting and paying to the
2 Department all tax accruing under this Act with respect to
3 such sales, if the retailers who are affected do not make
4 written objection to the Department to this arrangement.
5 (Source: P.A. 89-379, eff. 1-1-96; 89-626, eff. 8-9-96.)
6 (Text of Section after amendment by P.A. 90-491)
7 Sec. 9. Except as to motor vehicles, watercraft,
8 aircraft, and trailers that are required to be registered
9 with an agency of this State, each retailer required or
10 authorized to collect the tax imposed by this Act shall pay
11 to the Department the amount of such tax (except as otherwise
12 provided) at the time when he is required to file his return
13 for the period during which such tax was collected, less a
14 discount of 2.1% prior to January 1, 1990, and 1.75% on and
15 after January 1, 1990, or $5 per calendar year, whichever is
16 greater, which is allowed to reimburse the retailer for
17 expenses incurred in collecting the tax, keeping records,
18 preparing and filing returns, remitting the tax and supplying
19 data to the Department on request. In the case of retailers
20 who report and pay the tax on a transaction by transaction
21 basis, as provided in this Section, such discount shall be
22 taken with each such tax remittance instead of when such
23 retailer files his periodic return. A retailer need not
24 remit that part of any tax collected by him to the extent
25 that he is required to remit and does remit the tax imposed
26 by the Retailers' Occupation Tax Act, with respect to the
27 sale of the same property.
28 Where such tangible personal property is sold under a
29 conditional sales contract, or under any other form of sale
30 wherein the payment of the principal sum, or a part thereof,
31 is extended beyond the close of the period for which the
32 return is filed, the retailer, in collecting the tax (except
33 as to motor vehicles, watercraft, aircraft, and trailers that
34 are required to be registered with an agency of this State),
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1 may collect for each tax return period, only the tax
2 applicable to that part of the selling price actually
3 received during such tax return period.
4 Except as provided in this Section, on or before the
5 twentieth day of each calendar month, such retailer shall
6 file a return for the preceding calendar month. Such return
7 shall be filed on forms prescribed by the Department and
8 shall furnish such information as the Department may
9 reasonably require.
10 The Department may require returns to be filed on a
11 quarterly basis. If so required, a return for each calendar
12 quarter shall be filed on or before the twentieth day of the
13 calendar month following the end of such calendar quarter.
14 The taxpayer shall also file a return with the Department for
15 each of the first two months of each calendar quarter, on or
16 before the twentieth day of the following calendar month,
17 stating:
18 1. The name of the seller;
19 2. The address of the principal place of business
20 from which he engages in the business of selling tangible
21 personal property at retail in this State;
22 3. The total amount of taxable receipts received by
23 him during the preceding calendar month from sales of
24 tangible personal property by him during such preceding
25 calendar month, including receipts from charge and time
26 sales, but less all deductions allowed by law;
27 4. The amount of credit provided in Section 2d of
28 this Act;
29 5. The amount of tax due;
30 5-5. The signature of the taxpayer; and
31 6. Such other reasonable information as the
32 Department may require.
33 If a taxpayer fails to sign a return within 30 days after
34 the proper notice and demand for signature by the Department,
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1 the return shall be considered valid and any amount shown to
2 be due on the return shall be deemed assessed.
3 Beginning October 1, 1993, a taxpayer who has an average
4 monthly tax liability of $150,000 or more shall make all
5 payments required by rules of the Department by electronic
6 funds transfer. Beginning October 1, 1994, a taxpayer who has
7 an average monthly tax liability of $100,000 or more shall
8 make all payments required by rules of the Department by
9 electronic funds transfer. Beginning October 1, 1995, a
10 taxpayer who has an average monthly tax liability of $50,000
11 or more shall make all payments required by rules of the
12 Department by electronic funds transfer. The term "average
13 monthly tax liability" means the sum of the taxpayer's
14 liabilities under this Act, and under all other State and
15 local occupation and use tax laws administered by the
16 Department, for the immediately preceding calendar year
17 divided by 12.
18 Before August 1 of each year beginning in 1993, the
19 Department shall notify all taxpayers required to make
20 payments by electronic funds transfer. All taxpayers required
21 to make payments by electronic funds transfer shall make
22 those payments for a minimum of one year beginning on October
23 1.
24 Any taxpayer not required to make payments by electronic
25 funds transfer may make payments by electronic funds transfer
26 with the permission of the Department.
27 All taxpayers required to make payment by electronic
28 funds transfer and any taxpayers authorized to voluntarily
29 make payments by electronic funds transfer shall make those
30 payments in the manner authorized by the Department.
31 The Department shall adopt such rules as are necessary to
32 effectuate a program of electronic funds transfer and the
33 requirements of this Section.
34 If the taxpayer's average monthly tax liability to the
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1 Department under this Act, the Retailers' Occupation Tax Act,
2 the Service Occupation Tax Act, the Service Use Tax Act was
3 $10,000 or more during the preceding 4 complete calendar
4 quarters, he shall file a return with the Department each
5 month by the 20th day of the month next following the month
6 during which such tax liability is incurred and shall make
7 payments to the Department on or before the 7th, 15th, 22nd
8 and last day of the month during which such liability is
9 incurred. If the month during which such tax liability is
10 incurred began prior to January 1, 1985, each payment shall
11 be in an amount equal to 1/4 of the taxpayer's actual
12 liability for the month or an amount set by the Department
13 not to exceed 1/4 of the average monthly liability of the
14 taxpayer to the Department for the preceding 4 complete
15 calendar quarters (excluding the month of highest liability
16 and the month of lowest liability in such 4 quarter period).
17 If the month during which such tax liability is incurred
18 begins on or after January 1, 1985, and prior to January 1,
19 1987, each payment shall be in an amount equal to 22.5% of
20 the taxpayer's actual liability for the month or 27.5% of the
21 taxpayer's liability for the same calendar month of the
22 preceding year. If the month during which such tax liability
23 is incurred begins on or after January 1, 1987, and prior to
24 January 1, 1988, each payment shall be in an amount equal to
25 22.5% of the taxpayer's actual liability for the month or
26 26.25% of the taxpayer's liability for the same calendar
27 month of the preceding year. If the month during which such
28 tax liability is incurred begins on or after January 1, 1988,
29 and prior to January 1, 1989, or begins on or after January
30 1, 1996, each payment shall be in an amount equal to 22.5% of
31 the taxpayer's actual liability for the month or 25% of the
32 taxpayer's liability for the same calendar month of the
33 preceding year. If the month during which such tax liability
34 is incurred begins on or after January 1, 1989, and prior to
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1 January 1, 1996, each payment shall be in an amount equal to
2 22.5% of the taxpayer's actual liability for the month or 25%
3 of the taxpayer's liability for the same calendar month of
4 the preceding year or 100% of the taxpayer's actual liability
5 for the quarter monthly reporting period. The amount of such
6 quarter monthly payments shall be credited against the final
7 tax liability of the taxpayer's return for that month. Once
8 applicable, the requirement of the making of quarter monthly
9 payments to the Department shall continue until such
10 taxpayer's average monthly liability to the Department during
11 the preceding 4 complete calendar quarters (excluding the
12 month of highest liability and the month of lowest liability)
13 is less than $9,000, or until such taxpayer's average monthly
14 liability to the Department as computed for each calendar
15 quarter of the 4 preceding complete calendar quarter period
16 is less than $10,000. However, if a taxpayer can show the
17 Department that a substantial change in the taxpayer's
18 business has occurred which causes the taxpayer to anticipate
19 that his average monthly tax liability for the reasonably
20 foreseeable future will fall below $10,000, then such
21 taxpayer may petition the Department for change in such
22 taxpayer's reporting status. The Department shall change
23 such taxpayer's reporting status unless it finds that such
24 change is seasonal in nature and not likely to be long term.
25 If any such quarter monthly payment is not paid at the time
26 or in the amount required by this Section, then the taxpayer
27 shall be liable for penalties and interest on the difference
28 between the minimum amount due and the amount of such quarter
29 monthly payment actually and timely paid, except insofar as
30 the taxpayer has previously made payments for that month to
31 the Department in excess of the minimum payments previously
32 due as provided in this Section. The Department shall make
33 reasonable rules and regulations to govern the quarter
34 monthly payment amount and quarter monthly payment dates for
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1 taxpayers who file on other than a calendar monthly basis.
2 If any such payment provided for in this Section exceeds
3 the taxpayer's liabilities under this Act, the Retailers'
4 Occupation Tax Act, the Service Occupation Tax Act and the
5 Service Use Tax Act, as shown by an original monthly return,
6 the Department shall issue to the taxpayer a credit
7 memorandum no later than 30 days after the date of payment,
8 which memorandum may be submitted by the taxpayer to the
9 Department in payment of tax liability subsequently to be
10 remitted by the taxpayer to the Department or be assigned by
11 the taxpayer to a similar taxpayer under this Act, the
12 Retailers' Occupation Tax Act, the Service Occupation Tax Act
13 or the Service Use Tax Act, in accordance with reasonable
14 rules and regulations to be prescribed by the Department,
15 except that if such excess payment is shown on an original
16 monthly return and is made after December 31, 1986, no credit
17 memorandum shall be issued, unless requested by the taxpayer.
18 If no such request is made, the taxpayer may credit such
19 excess payment against tax liability subsequently to be
20 remitted by the taxpayer to the Department under this Act,
21 the Retailers' Occupation Tax Act, the Service Occupation Tax
22 Act or the Service Use Tax Act, in accordance with reasonable
23 rules and regulations prescribed by the Department. If the
24 Department subsequently determines that all or any part of
25 the credit taken was not actually due to the taxpayer, the
26 taxpayer's 2.1% or 1.75% vendor's discount shall be reduced
27 by 2.1% or 1.75% of the difference between the credit taken
28 and that actually due, and the taxpayer shall be liable for
29 penalties and interest on such difference.
30 If the retailer is otherwise required to file a monthly
31 return and if the retailer's average monthly tax liability to
32 the Department does not exceed $200, the Department may
33 authorize his returns to be filed on a quarter annual basis,
34 with the return for January, February, and March of a given
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1 year being due by April 20 of such year; with the return for
2 April, May and June of a given year being due by July 20 of
3 such year; with the return for July, August and September of
4 a given year being due by October 20 of such year, and with
5 the return for October, November and December of a given year
6 being due by January 20 of the following year.
7 If the retailer is otherwise required to file a monthly
8 or quarterly return and if the retailer's average monthly tax
9 liability to the Department does not exceed $50, the
10 Department may authorize his returns to be filed on an annual
11 basis, with the return for a given year being due by January
12 20 of the following year.
13 Such quarter annual and annual returns, as to form and
14 substance, shall be subject to the same requirements as
15 monthly returns.
16 Notwithstanding any other provision in this Act
17 concerning the time within which a retailer may file his
18 return, in the case of any retailer who ceases to engage in a
19 kind of business which makes him responsible for filing
20 returns under this Act, such retailer shall file a final
21 return under this Act with the Department not more than one
22 month after discontinuing such business.
23 In addition, with respect to motor vehicles, watercraft,
24 aircraft, and trailers that are required to be registered
25 with an agency of this State, every retailer selling this
26 kind of tangible personal property shall file, with the
27 Department, upon a form to be prescribed and supplied by the
28 Department, a separate return for each such item of tangible
29 personal property which the retailer sells, except that
30 where, in the same transaction, a retailer of aircraft,
31 watercraft, motor vehicles or trailers transfers more than
32 one aircraft, watercraft, motor vehicle or trailer to another
33 aircraft, watercraft, motor vehicle or trailer retailer for
34 the purpose of resale, that seller for resale may report the
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1 transfer of all the aircraft, watercraft, motor vehicles or
2 trailers involved in that transaction to the Department on
3 the same uniform invoice-transaction reporting return form.
4 For purposes of this Section, "watercraft" means a Class 2,
5 Class 3, or Class 4 watercraft as defined in Section 3-2 of
6 the Boat Registration and Safety Act, a personal watercraft,
7 or any boat equipped with an inboard motor.
8 The transaction reporting return in the case of motor
9 vehicles or trailers that are required to be registered with
10 an agency of this State, shall be the same document as the
11 Uniform Invoice referred to in Section 5-402 of the Illinois
12 Vehicle Code and must show the name and address of the
13 seller; the name and address of the purchaser; the amount of
14 the selling price including the amount allowed by the
15 retailer for traded-in property, if any; the amount allowed
16 by the retailer for the traded-in tangible personal property,
17 if any, to the extent to which Section 2 of this Act allows
18 an exemption for the value of traded-in property; the balance
19 payable after deducting such trade-in allowance from the
20 total selling price; the amount of tax due from the retailer
21 with respect to such transaction; the amount of tax collected
22 from the purchaser by the retailer on such transaction (or
23 satisfactory evidence that such tax is not due in that
24 particular instance, if that is claimed to be the fact); the
25 place and date of the sale; a sufficient identification of
26 the property sold; such other information as is required in
27 Section 5-402 of the Illinois Vehicle Code, and such other
28 information as the Department may reasonably require.
29 The transaction reporting return in the case of
30 watercraft and aircraft must show the name and address of the
31 seller; the name and address of the purchaser; the amount of
32 the selling price including the amount allowed by the
33 retailer for traded-in property, if any; the amount allowed
34 by the retailer for the traded-in tangible personal property,
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1 if any, to the extent to which Section 2 of this Act allows
2 an exemption for the value of traded-in property; the balance
3 payable after deducting such trade-in allowance from the
4 total selling price; the amount of tax due from the retailer
5 with respect to such transaction; the amount of tax collected
6 from the purchaser by the retailer on such transaction (or
7 satisfactory evidence that such tax is not due in that
8 particular instance, if that is claimed to be the fact); the
9 place and date of the sale, a sufficient identification of
10 the property sold, and such other information as the
11 Department may reasonably require.
12 Such transaction reporting return shall be filed not
13 later than 20 days after the date of delivery of the item
14 that is being sold, but may be filed by the retailer at any
15 time sooner than that if he chooses to do so. The
16 transaction reporting return and tax remittance or proof of
17 exemption from the tax that is imposed by this Act may be
18 transmitted to the Department by way of the State agency with
19 which, or State officer with whom, the tangible personal
20 property must be titled or registered (if titling or
21 registration is required) if the Department and such agency
22 or State officer determine that this procedure will expedite
23 the processing of applications for title or registration.
24 With each such transaction reporting return, the retailer
25 shall remit the proper amount of tax due (or shall submit
26 satisfactory evidence that the sale is not taxable if that is
27 the case), to the Department or its agents, whereupon the
28 Department shall issue, in the purchaser's name, a tax
29 receipt (or a certificate of exemption if the Department is
30 satisfied that the particular sale is tax exempt) which such
31 purchaser may submit to the agency with which, or State
32 officer with whom, he must title or register the tangible
33 personal property that is involved (if titling or
34 registration is required) in support of such purchaser's
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1 application for an Illinois certificate or other evidence of
2 title or registration to such tangible personal property.
3 No retailer's failure or refusal to remit tax under this
4 Act precludes a user, who has paid the proper tax to the
5 retailer, from obtaining his certificate of title or other
6 evidence of title or registration (if titling or registration
7 is required) upon satisfying the Department that such user
8 has paid the proper tax (if tax is due) to the retailer. The
9 Department shall adopt appropriate rules to carry out the
10 mandate of this paragraph.
11 If the user who would otherwise pay tax to the retailer
12 wants the transaction reporting return filed and the payment
13 of tax or proof of exemption made to the Department before
14 the retailer is willing to take these actions and such user
15 has not paid the tax to the retailer, such user may certify
16 to the fact of such delay by the retailer, and may (upon the
17 Department being satisfied of the truth of such
18 certification) transmit the information required by the
19 transaction reporting return and the remittance for tax or
20 proof of exemption directly to the Department and obtain his
21 tax receipt or exemption determination, in which event the
22 transaction reporting return and tax remittance (if a tax
23 payment was required) shall be credited by the Department to
24 the proper retailer's account with the Department, but
25 without the 2.1% or 1.75% discount provided for in this
26 Section being allowed. When the user pays the tax directly
27 to the Department, he shall pay the tax in the same amount
28 and in the same form in which it would be remitted if the tax
29 had been remitted to the Department by the retailer.
30 Where a retailer collects the tax with respect to the
31 selling price of tangible personal property which he sells
32 and the purchaser thereafter returns such tangible personal
33 property and the retailer refunds the selling price thereof
34 to the purchaser, such retailer shall also refund, to the
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1 purchaser, the tax so collected from the purchaser. When
2 filing his return for the period in which he refunds such tax
3 to the purchaser, the retailer may deduct the amount of the
4 tax so refunded by him to the purchaser from any other use
5 tax which such retailer may be required to pay or remit to
6 the Department, as shown by such return, if the amount of the
7 tax to be deducted was previously remitted to the Department
8 by such retailer. If the retailer has not previously
9 remitted the amount of such tax to the Department, he is
10 entitled to no deduction under this Act upon refunding such
11 tax to the purchaser.
12 Any retailer filing a return under this Section shall
13 also include (for the purpose of paying tax thereon) the
14 total tax covered by such return upon the selling price of
15 tangible personal property purchased by him at retail from a
16 retailer, but as to which the tax imposed by this Act was not
17 collected from the retailer filing such return, and such
18 retailer shall remit the amount of such tax to the Department
19 when filing such return.
20 If experience indicates such action to be practicable,
21 the Department may prescribe and furnish a combination or
22 joint return which will enable retailers, who are required to
23 file returns hereunder and also under the Retailers'
24 Occupation Tax Act, to furnish all the return information
25 required by both Acts on the one form.
26 Where the retailer has more than one business registered
27 with the Department under separate registration under this
28 Act, such retailer may not file each return that is due as a
29 single return covering all such registered businesses, but
30 shall file separate returns for each such registered
31 business.
32 Beginning January 1, 1990, each month the Department
33 shall pay into the State and Local Sales Tax Reform Fund, a
34 special fund in the State Treasury which is hereby created,
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1 the net revenue realized for the preceding month from the 1%
2 tax on sales of food for human consumption which is to be
3 consumed off the premises where it is sold (other than
4 alcoholic beverages, soft drinks and food which has been
5 prepared for immediate consumption) and prescription and
6 nonprescription medicines, drugs, medical appliances and
7 insulin, urine testing materials, syringes and needles used
8 by diabetics.
9 Beginning January 1, 1990, each month the Department
10 shall pay into the County and Mass Transit District Fund 4%
11 of the net revenue realized for the preceding month from the
12 6.25% general rate on the selling price of tangible personal
13 property which is purchased outside Illinois at retail from a
14 retailer and which is titled or registered by an agency of
15 this State's government.
16 Beginning January 1, 1990, each month the Department
17 shall pay into the State and Local Sales Tax Reform Fund, a
18 special fund in the State Treasury, 20% of the net revenue
19 realized for the preceding month from the 6.25% general rate
20 on the selling price of tangible personal property, other
21 than tangible personal property which is purchased outside
22 Illinois at retail from a retailer and which is titled or
23 registered by an agency of this State's government.
24 Beginning January 1, 1990, each month the Department
25 shall pay into the Local Government Tax Fund 16% of the net
26 revenue realized for the preceding month from the 6.25%
27 general rate on the selling price of tangible personal
28 property which is purchased outside Illinois at retail from a
29 retailer and which is titled or registered by an agency of
30 this State's government.
31 Beginning on the effective date of this amendatory Act of
32 1998 and thereafter, each month the Department shall pay into
33 the State Construction Account Fund, 26.7% of the net revenue
34 realized for the proceeding month from the 6.25% general rate
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1 on the selling price of gasoline.
2 Beginning on the effective date of this amendatory Act of
3 1998 and thereafter, each month the Department shall pay into
4 the Road Fund, 53.3% of the net revenue realized for the
5 proceeding month from the 6.25% general rate on the selling
6 price of gasoline.
7 Of the remainder of the moneys received by the Department
8 pursuant to this Act, (a) 1.75% thereof shall be paid into
9 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
10 and on and after July 1, 1989, 3.8% thereof shall be paid
11 into the Build Illinois Fund; provided, however, that if in
12 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
13 as the case may be, of the moneys received by the Department
14 and required to be paid into the Build Illinois Fund pursuant
15 to Section 3 of the Retailers' Occupation Tax Act, Section 9
16 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
17 Section 9 of the Service Occupation Tax Act, such Acts being
18 hereinafter called the "Tax Acts" and such aggregate of 2.2%
19 or 3.8%, as the case may be, of moneys being hereinafter
20 called the "Tax Act Amount", and (2) the amount transferred
21 to the Build Illinois Fund from the State and Local Sales Tax
22 Reform Fund shall be less than the Annual Specified Amount
23 (as defined in Section 3 of the Retailers' Occupation Tax
24 Act), an amount equal to the difference shall be immediately
25 paid into the Build Illinois Fund from other moneys received
26 by the Department pursuant to the Tax Acts; and further
27 provided, that if on the last business day of any month the
28 sum of (1) the Tax Act Amount required to be deposited into
29 the Build Illinois Bond Account in the Build Illinois Fund
30 during such month and (2) the amount transferred during such
31 month to the Build Illinois Fund from the State and Local
32 Sales Tax Reform Fund shall have been less than 1/12 of the
33 Annual Specified Amount, an amount equal to the difference
34 shall be immediately paid into the Build Illinois Fund from
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1 other moneys received by the Department pursuant to the Tax
2 Acts; and, further provided, that in no event shall the
3 payments required under the preceding proviso result in
4 aggregate payments into the Build Illinois Fund pursuant to
5 this clause (b) for any fiscal year in excess of the greater
6 of (i) the Tax Act Amount or (ii) the Annual Specified Amount
7 for such fiscal year; and, further provided, that the amounts
8 payable into the Build Illinois Fund under this clause (b)
9 shall be payable only until such time as the aggregate amount
10 on deposit under each trust indenture securing Bonds issued
11 and outstanding pursuant to the Build Illinois Bond Act is
12 sufficient, taking into account any future investment income,
13 to fully provide, in accordance with such indenture, for the
14 defeasance of or the payment of the principal of, premium, if
15 any, and interest on the Bonds secured by such indenture and
16 on any Bonds expected to be issued thereafter and all fees
17 and costs payable with respect thereto, all as certified by
18 the Director of the Bureau of the Budget. If on the last
19 business day of any month in which Bonds are outstanding
20 pursuant to the Build Illinois Bond Act, the aggregate of the
21 moneys deposited in the Build Illinois Bond Account in the
22 Build Illinois Fund in such month shall be less than the
23 amount required to be transferred in such month from the
24 Build Illinois Bond Account to the Build Illinois Bond
25 Retirement and Interest Fund pursuant to Section 13 of the
26 Build Illinois Bond Act, an amount equal to such deficiency
27 shall be immediately paid from other moneys received by the
28 Department pursuant to the Tax Acts to the Build Illinois
29 Fund; provided, however, that any amounts paid to the Build
30 Illinois Fund in any fiscal year pursuant to this sentence
31 shall be deemed to constitute payments pursuant to clause (b)
32 of the preceding sentence and shall reduce the amount
33 otherwise payable for such fiscal year pursuant to clause (b)
34 of the preceding sentence. The moneys received by the
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1 Department pursuant to this Act and required to be deposited
2 into the Build Illinois Fund are subject to the pledge, claim
3 and charge set forth in Section 12 of the Build Illinois Bond
4 Act.
5 Subject to payment of amounts into the Build Illinois
6 Fund as provided in the preceding paragraph or in any
7 amendment thereto hereafter enacted, the following specified
8 monthly installment of the amount requested in the
9 certificate of the Chairman of the Metropolitan Pier and
10 Exposition Authority provided under Section 8.25f of the
11 State Finance Act, but not in excess of the sums designated
12 as "Total Deposit", shall be deposited in the aggregate from
13 collections under Section 9 of the Use Tax Act, Section 9 of
14 the Service Use Tax Act, Section 9 of the Service Occupation
15 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
16 into the McCormick Place Expansion Project Fund in the
17 specified fiscal years.
18 Fiscal Year Total Deposit
19 1993 $0
20 1994 53,000,000
21 1995 58,000,000
22 1996 61,000,000
23 1997 64,000,000
24 1998 68,000,000
25 1999 71,000,000
26 2000 75,000,000
27 2001 80,000,000
28 2002 84,000,000
29 2003 89,000,000
30 2004 and 93,000,000
31 each fiscal year
32 thereafter that bonds
33 are outstanding under
34 Section 13.2 of the
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1 Metropolitan Pier and
2 Exposition Authority
3 Act.
4 Beginning July 20, 1993 and in each month of each fiscal
5 year thereafter, one-eighth of the amount requested in the
6 certificate of the Chairman of the Metropolitan Pier and
7 Exposition Authority for that fiscal year, less the amount
8 deposited into the McCormick Place Expansion Project Fund by
9 the State Treasurer in the respective month under subsection
10 (g) of Section 13 of the Metropolitan Pier and Exposition
11 Authority Act, plus cumulative deficiencies in the deposits
12 required under this Section for previous months and years,
13 shall be deposited into the McCormick Place Expansion Project
14 Fund, until the full amount requested for the fiscal year,
15 but not in excess of the amount specified above as "Total
16 Deposit", has been deposited.
17 Subject to payment of amounts into the Build Illinois
18 Fund and the McCormick Place Expansion Project Fund pursuant
19 to the preceding paragraphs or in any amendment thereto
20 hereafter enacted, each month the Department shall pay into
21 the Local Government Distributive Fund .4% of the net revenue
22 realized for the preceding month from the 5% general rate, or
23 .4% of 80% of the net revenue realized for the preceding
24 month from the 6.25% general rate, as the case may be, on the
25 selling price of tangible personal property which amount
26 shall, subject to appropriation, be distributed as provided
27 in Section 2 of the State Revenue Sharing Act. No payments or
28 distributions pursuant to this paragraph shall be made if the
29 tax imposed by this Act on photoprocessing products is
30 declared unconstitutional, or if the proceeds from such tax
31 are unavailable for distribution because of litigation.
32 Subject to payment of amounts into the Build Illinois
33 Fund, the McCormick Place Expansion Project Fund, and the
34 Local Government Distributive Fund pursuant to the preceding
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1 paragraphs or in any amendments thereto hereafter enacted,
2 beginning July 1, 1993, the Department shall each month pay
3 into the Illinois Tax Increment Fund 0.27% of 80% of the net
4 revenue realized for the preceding month from the 6.25%
5 general rate on the selling price of tangible personal
6 property.
7 Of the remainder of the moneys received by the Department
8 pursuant to this Act, 75% thereof shall be paid into the
9 State Treasury and 25% shall be reserved in a special account
10 and used only for the transfer to the Common School Fund as
11 part of the monthly transfer from the General Revenue Fund in
12 accordance with Section 8a of the State Finance Act.
13 As soon as possible after the first day of each month,
14 upon certification of the Department of Revenue, the
15 Comptroller shall order transferred and the Treasurer shall
16 transfer from the General Revenue Fund to the Motor Fuel Tax
17 Fund an amount equal to 1.7% of 80% of the net revenue
18 realized under this Act for the second preceding month;
19 except that this transfer shall not be made for the months
20 February through June of 1992.
21 Net revenue realized for a month shall be the revenue
22 collected by the State pursuant to this Act, less the amount
23 paid out during that month as refunds to taxpayers for
24 overpayment of liability.
25 For greater simplicity of administration, manufacturers,
26 importers and wholesalers whose products are sold at retail
27 in Illinois by numerous retailers, and who wish to do so, may
28 assume the responsibility for accounting and paying to the
29 Department all tax accruing under this Act with respect to
30 such sales, if the retailers who are affected do not make
31 written objection to the Department to this arrangement.
32 (Source: P.A. 89-379, eff. 1-1-96; 89-626, eff. 8-9-96;
33 90-491, eff. 1-1-99.)
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1 Section 10. The Service Use Tax Act is amended by
2 changing Section 9 as follows:
3 (35 ILCS 110/9) (from Ch. 120, par. 439.39)
4 Sec. 9. Each serviceman required or authorized to
5 collect the tax herein imposed shall pay to the Department
6 the amount of such tax (except as otherwise provided) at the
7 time when he is required to file his return for the period
8 during which such tax was collected, less a discount of 2.1%
9 prior to January 1, 1990 and 1.75% on and after January 1,
10 1990, or $5 per calendar year, whichever is greater, which is
11 allowed to reimburse the serviceman for expenses incurred in
12 collecting the tax, keeping records, preparing and filing
13 returns, remitting the tax and supplying data to the
14 Department on request. A serviceman need not remit that part
15 of any tax collected by him to the extent that he is required
16 to pay and does pay the tax imposed by the Service Occupation
17 Tax Act with respect to his sale of service involving the
18 incidental transfer by him of the same property.
19 Except as provided hereinafter in this Section, on or
20 before the twentieth day of each calendar month, such
21 serviceman shall file a return for the preceding calendar
22 month in accordance with reasonable Rules and Regulations to
23 be promulgated by the Department. Such return shall be filed
24 on a form prescribed by the Department and shall contain such
25 information as the Department may reasonably require.
26 The Department may require returns to be filed on a
27 quarterly basis. If so required, a return for each calendar
28 quarter shall be filed on or before the twentieth day of the
29 calendar month following the end of such calendar quarter.
30 The taxpayer shall also file a return with the Department for
31 each of the first two months of each calendar quarter, on or
32 before the twentieth day of the following calendar month,
33 stating:
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1 1. The name of the seller;
2 2. The address of the principal place of business
3 from which he engages in business as a serviceman in this
4 State;
5 3. The total amount of taxable receipts received by
6 him during the preceding calendar month, including
7 receipts from charge and time sales, but less all
8 deductions allowed by law;
9 4. The amount of credit provided in Section 2d of
10 this Act;
11 5. The amount of tax due;
12 5-5. The signature of the taxpayer; and
13 6. Such other reasonable information as the
14 Department may require.
15 If a taxpayer fails to sign a return within 30 days after
16 the proper notice and demand for signature by the Department,
17 the return shall be considered valid and any amount shown to
18 be due on the return shall be deemed assessed.
19 Beginning October 1, 1993, a taxpayer who has an average
20 monthly tax liability of $150,000 or more shall make all
21 payments required by rules of the Department by electronic
22 funds transfer. Beginning October 1, 1994, a taxpayer who
23 has an average monthly tax liability of $100,000 or more
24 shall make all payments required by rules of the Department
25 by electronic funds transfer. Beginning October 1, 1995, a
26 taxpayer who has an average monthly tax liability of $50,000
27 or more shall make all payments required by rules of the
28 Department by electronic funds transfer. The term "average
29 monthly tax liability" means the sum of the taxpayer's
30 liabilities under this Act, and under all other State and
31 local occupation and use tax laws administered by the
32 Department, for the immediately preceding calendar year
33 divided by 12.
34 Before August 1 of each year beginning in 1993, the
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1 Department shall notify all taxpayers required to make
2 payments by electronic funds transfer. All taxpayers required
3 to make payments by electronic funds transfer shall make
4 those payments for a minimum of one year beginning on October
5 1.
6 Any taxpayer not required to make payments by electronic
7 funds transfer may make payments by electronic funds transfer
8 with the permission of the Department.
9 All taxpayers required to make payment by electronic
10 funds transfer and any taxpayers authorized to voluntarily
11 make payments by electronic funds transfer shall make those
12 payments in the manner authorized by the Department.
13 The Department shall adopt such rules as are necessary to
14 effectuate a program of electronic funds transfer and the
15 requirements of this Section.
16 If the serviceman is otherwise required to file a monthly
17 return and if the serviceman's average monthly tax liability
18 to the Department does not exceed $200, the Department may
19 authorize his returns to be filed on a quarter annual basis,
20 with the return for January, February and March of a given
21 year being due by April 20 of such year; with the return for
22 April, May and June of a given year being due by July 20 of
23 such year; with the return for July, August and September of
24 a given year being due by October 20 of such year, and with
25 the return for October, November and December of a given year
26 being due by January 20 of the following year.
27 If the serviceman is otherwise required to file a monthly
28 or quarterly return and if the serviceman's average monthly
29 tax liability to the Department does not exceed $50, the
30 Department may authorize his returns to be filed on an annual
31 basis, with the return for a given year being due by January
32 20 of the following year.
33 Such quarter annual and annual returns, as to form and
34 substance, shall be subject to the same requirements as
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1 monthly returns.
2 Notwithstanding any other provision in this Act
3 concerning the time within which a serviceman may file his
4 return, in the case of any serviceman who ceases to engage in
5 a kind of business which makes him responsible for filing
6 returns under this Act, such serviceman shall file a final
7 return under this Act with the Department not more than 1
8 month after discontinuing such business.
9 Where a serviceman collects the tax with respect to the
10 selling price of property which he sells and the purchaser
11 thereafter returns such property and the serviceman refunds
12 the selling price thereof to the purchaser, such serviceman
13 shall also refund, to the purchaser, the tax so collected
14 from the purchaser. When filing his return for the period in
15 which he refunds such tax to the purchaser, the serviceman
16 may deduct the amount of the tax so refunded by him to the
17 purchaser from any other Service Use Tax, Service Occupation
18 Tax, retailers' occupation tax or use tax which such
19 serviceman may be required to pay or remit to the Department,
20 as shown by such return, provided that the amount of the tax
21 to be deducted shall previously have been remitted to the
22 Department by such serviceman. If the serviceman shall not
23 previously have remitted the amount of such tax to the
24 Department, he shall be entitled to no deduction hereunder
25 upon refunding such tax to the purchaser.
26 Any serviceman filing a return hereunder shall also
27 include the total tax upon the selling price of tangible
28 personal property purchased for use by him as an incident to
29 a sale of service, and such serviceman shall remit the amount
30 of such tax to the Department when filing such return.
31 If experience indicates such action to be practicable,
32 the Department may prescribe and furnish a combination or
33 joint return which will enable servicemen, who are required
34 to file returns hereunder and also under the Service
-39- LRB9010638KDks
1 Occupation Tax Act, to furnish all the return information
2 required by both Acts on the one form.
3 Where the serviceman has more than one business
4 registered with the Department under separate registration
5 hereunder, such serviceman shall not file each return that is
6 due as a single return covering all such registered
7 businesses, but shall file separate returns for each such
8 registered business.
9 Beginning January 1, 1990, each month the Department
10 shall pay into the State and Local Tax Reform Fund, a special
11 fund in the State Treasury, the net revenue realized for the
12 preceding month from the 1% tax on sales of food for human
13 consumption which is to be consumed off the premises where it
14 is sold (other than alcoholic beverages, soft drinks and food
15 which has been prepared for immediate consumption) and
16 prescription and nonprescription medicines, drugs, medical
17 appliances and insulin, urine testing materials, syringes and
18 needles used by diabetics.
19 Beginning January 1, 1990, each month the Department
20 shall pay into the State and Local Sales Tax Reform Fund 20%
21 of the net revenue realized for the preceding month from the
22 6.25% general rate on transfers of tangible personal
23 property, other than tangible personal property which is
24 purchased outside Illinois at retail from a retailer and
25 which is titled or registered by an agency of this State's
26 government.
27 Beginning on the effective date of this amendatory Act of
28 1998 and thereafter, each month the Department shall pay into
29 the State Construction Account Fund, 26.7% of the net revenue
30 realized for the proceeding month from the 6.25% general rate
31 on the selling price of gasoline.
32 Beginning on the effective date of this amendatory Act of
33 1998 and thereafter, each month the Department shall pay into
34 the Road Fund, 53.3% of the net revenue realized for the
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1 proceeding month from the 6.25% general rate on the selling
2 price of gasoline.
3 Of the remainder of the moneys received by the Department
4 pursuant to this Act, (a) 1.75% thereof shall be paid into
5 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
6 and on and after July 1, 1989, 3.8% thereof shall be paid
7 into the Build Illinois Fund; provided, however, that if in
8 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
9 as the case may be, of the moneys received by the Department
10 and required to be paid into the Build Illinois Fund pursuant
11 to Section 3 of the Retailers' Occupation Tax Act, Section 9
12 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
13 Section 9 of the Service Occupation Tax Act, such Acts being
14 hereinafter called the "Tax Acts" and such aggregate of 2.2%
15 or 3.8%, as the case may be, of moneys being hereinafter
16 called the "Tax Act Amount", and (2) the amount transferred
17 to the Build Illinois Fund from the State and Local Sales Tax
18 Reform Fund shall be less than the Annual Specified Amount
19 (as defined in Section 3 of the Retailers' Occupation Tax
20 Act), an amount equal to the difference shall be immediately
21 paid into the Build Illinois Fund from other moneys received
22 by the Department pursuant to the Tax Acts; and further
23 provided, that if on the last business day of any month the
24 sum of (1) the Tax Act Amount required to be deposited into
25 the Build Illinois Bond Account in the Build Illinois Fund
26 during such month and (2) the amount transferred during such
27 month to the Build Illinois Fund from the State and Local
28 Sales Tax Reform Fund shall have been less than 1/12 of the
29 Annual Specified Amount, an amount equal to the difference
30 shall be immediately paid into the Build Illinois Fund from
31 other moneys received by the Department pursuant to the Tax
32 Acts; and, further provided, that in no event shall the
33 payments required under the preceding proviso result in
34 aggregate payments into the Build Illinois Fund pursuant to
-41- LRB9010638KDks
1 this clause (b) for any fiscal year in excess of the greater
2 of (i) the Tax Act Amount or (ii) the Annual Specified Amount
3 for such fiscal year; and, further provided, that the amounts
4 payable into the Build Illinois Fund under this clause (b)
5 shall be payable only until such time as the aggregate amount
6 on deposit under each trust indenture securing Bonds issued
7 and outstanding pursuant to the Build Illinois Bond Act is
8 sufficient, taking into account any future investment income,
9 to fully provide, in accordance with such indenture, for the
10 defeasance of or the payment of the principal of, premium, if
11 any, and interest on the Bonds secured by such indenture and
12 on any Bonds expected to be issued thereafter and all fees
13 and costs payable with respect thereto, all as certified by
14 the Director of the Bureau of the Budget. If on the last
15 business day of any month in which Bonds are outstanding
16 pursuant to the Build Illinois Bond Act, the aggregate of the
17 moneys deposited in the Build Illinois Bond Account in the
18 Build Illinois Fund in such month shall be less than the
19 amount required to be transferred in such month from the
20 Build Illinois Bond Account to the Build Illinois Bond
21 Retirement and Interest Fund pursuant to Section 13 of the
22 Build Illinois Bond Act, an amount equal to such deficiency
23 shall be immediately paid from other moneys received by the
24 Department pursuant to the Tax Acts to the Build Illinois
25 Fund; provided, however, that any amounts paid to the Build
26 Illinois Fund in any fiscal year pursuant to this sentence
27 shall be deemed to constitute payments pursuant to clause (b)
28 of the preceding sentence and shall reduce the amount
29 otherwise payable for such fiscal year pursuant to clause (b)
30 of the preceding sentence. The moneys received by the
31 Department pursuant to this Act and required to be deposited
32 into the Build Illinois Fund are subject to the pledge, claim
33 and charge set forth in Section 12 of the Build Illinois Bond
34 Act.
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1 Subject to payment of amounts into the Build Illinois
2 Fund as provided in the preceding paragraph or in any
3 amendment thereto hereafter enacted, the following specified
4 monthly installment of the amount requested in the
5 certificate of the Chairman of the Metropolitan Pier and
6 Exposition Authority provided under Section 8.25f of the
7 State Finance Act, but not in excess of the sums designated
8 as "Total Deposit", shall be deposited in the aggregate from
9 collections under Section 9 of the Use Tax Act, Section 9 of
10 the Service Use Tax Act, Section 9 of the Service Occupation
11 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
12 into the McCormick Place Expansion Project Fund in the
13 specified fiscal years.
14 Fiscal Year Total Deposit
15 1993 $0
16 1994 53,000,000
17 1995 58,000,000
18 1996 61,000,000
19 1997 64,000,000
20 1998 68,000,000
21 1999 71,000,000
22 2000 75,000,000
23 2001 80,000,000
24 2002 84,000,000
25 2003 89,000,000
26 2004 and 93,000,000
27 each fiscal year
28 thereafter that bonds
29 are outstanding under
30 Section 13.2 of the
31 Metropolitan Pier and
32 Exposition Authority Act.
33 Beginning July 20, 1993 and in each month of each fiscal
34 year thereafter, one-eighth of the amount requested in the
-43- LRB9010638KDks
1 certificate of the Chairman of the Metropolitan Pier and
2 Exposition Authority for that fiscal year, less the amount
3 deposited into the McCormick Place Expansion Project Fund by
4 the State Treasurer in the respective month under subsection
5 (g) of Section 13 of the Metropolitan Pier and Exposition
6 Authority Act, plus cumulative deficiencies in the deposits
7 required under this Section for previous months and years,
8 shall be deposited into the McCormick Place Expansion Project
9 Fund, until the full amount requested for the fiscal year,
10 but not in excess of the amount specified above as "Total
11 Deposit", has been deposited.
12 Subject to payment of amounts into the Build Illinois
13 Fund and the McCormick Place Expansion Project Fund pursuant
14 to the preceding paragraphs or in any amendment thereto
15 hereafter enacted, each month the Department shall pay into
16 the Local Government Distributive Fund 0.4% of the net
17 revenue realized for the preceding month from the 5% general
18 rate or 0.4% of 80% of the net revenue realized for the
19 preceding month from the 6.25% general rate, as the case may
20 be, on the selling price of tangible personal property which
21 amount shall, subject to appropriation, be distributed as
22 provided in Section 2 of the State Revenue Sharing Act. No
23 payments or distributions pursuant to this paragraph shall be
24 made if the tax imposed by this Act on photo processing
25 products is declared unconstitutional, or if the proceeds
26 from such tax are unavailable for distribution because of
27 litigation.
28 Subject to payment of amounts into the Build Illinois
29 Fund, the McCormick Place Expansion Project Fund, and the
30 Local Government Distributive Fund pursuant to the preceding
31 paragraphs or in any amendments thereto hereafter enacted,
32 beginning July 1, 1993, the Department shall each month pay
33 into the Illinois Tax Increment Fund 0.27% of 80% of the net
34 revenue realized for the preceding month from the 6.25%
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1 general rate on the selling price of tangible personal
2 property.
3 All remaining moneys received by the Department pursuant
4 to this Act shall be paid into the General Revenue Fund of
5 the State Treasury.
6 As soon as possible after the first day of each month,
7 upon certification of the Department of Revenue, the
8 Comptroller shall order transferred and the Treasurer shall
9 transfer from the General Revenue Fund to the Motor Fuel Tax
10 Fund an amount equal to 1.7% of 80% of the net revenue
11 realized under this Act for the second preceding month;
12 except that this transfer shall not be made for the months
13 February through June, 1992.
14 Net revenue realized for a month shall be the revenue
15 collected by the State pursuant to this Act, less the amount
16 paid out during that month as refunds to taxpayers for
17 overpayment of liability.
18 (Source: P.A. 88-45; 88-116; 88-669, eff. 11-29-94; 89-379,
19 eff. 1-1-96.)
20 Section 15. The Service Occupation Tax Act is amended by
21 changing Section 9 as follows:
22 (35 ILCS 115/9) (from Ch. 120, par. 439.109)
23 Sec. 9. Each serviceman required or authorized to
24 collect the tax herein imposed shall pay to the Department
25 the amount of such tax at the time when he is required to
26 file his return for the period during which such tax was
27 collectible, less a discount of 2.1% prior to January 1,
28 1990, and 1.75% on and after January 1, 1990, or $5 per
29 calendar year, whichever is greater, which is allowed to
30 reimburse the serviceman for expenses incurred in collecting
31 the tax, keeping records, preparing and filing returns,
32 remitting the tax and supplying data to the Department on
-45- LRB9010638KDks
1 request.
2 Where such tangible personal property is sold under a
3 conditional sales contract, or under any other form of sale
4 wherein the payment of the principal sum, or a part thereof,
5 is extended beyond the close of the period for which the
6 return is filed, the serviceman, in collecting the tax may
7 collect, for each tax return period, only the tax applicable
8 to the part of the selling price actually received during
9 such tax return period.
10 Except as provided hereinafter in this Section, on or
11 before the twentieth day of each calendar month, such
12 serviceman shall file a return for the preceding calendar
13 month in accordance with reasonable rules and regulations to
14 be promulgated by the Department of Revenue. Such return
15 shall be filed on a form prescribed by the Department and
16 shall contain such information as the Department may
17 reasonably require.
18 The Department may require returns to be filed on a
19 quarterly basis. If so required, a return for each calendar
20 quarter shall be filed on or before the twentieth day of the
21 calendar month following the end of such calendar quarter.
22 The taxpayer shall also file a return with the Department for
23 each of the first two months of each calendar quarter, on or
24 before the twentieth day of the following calendar month,
25 stating:
26 1. The name of the seller;
27 2. The address of the principal place of business
28 from which he engages in business as a serviceman in this
29 State;
30 3. The total amount of taxable receipts received by
31 him during the preceding calendar month, including
32 receipts from charge and time sales, but less all
33 deductions allowed by law;
34 4. The amount of credit provided in Section 2d of
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1 this Act;
2 5. The amount of tax due;
3 5-5. The signature of the taxpayer; and
4 6. Such other reasonable information as the
5 Department may require.
6 If a taxpayer fails to sign a return within 30 days after
7 the proper notice and demand for signature by the Department,
8 the return shall be considered valid and any amount shown to
9 be due on the return shall be deemed assessed.
10 A serviceman may accept a Manufacturer's Purchase Credit
11 certification from a purchaser in satisfaction of Service Use
12 Tax as provided in Section 3-70 of the Service Use Tax Act if
13 the purchaser provides the appropriate documentation as
14 required by Section 3-70 of the Service Use Tax Act. A
15 Manufacturer's Purchase Credit certification, accepted by a
16 serviceman as provided in Section 3-70 of the Service Use Tax
17 Act, may be used by that serviceman to satisfy Service
18 Occupation Tax liability in the amount claimed in the
19 certification, not to exceed 6.25% of the receipts subject to
20 tax from a qualifying purchase.
21 If the serviceman's average monthly tax liability to the
22 Department does not exceed $200, the Department may authorize
23 his returns to be filed on a quarter annual basis, with the
24 return for January, February and March of a given year being
25 due by April 20 of such year; with the return for April, May
26 and June of a given year being due by July 20 of such year;
27 with the return for July, August and September of a given
28 year being due by October 20 of such year, and with the
29 return for October, November and December of a given year
30 being due by January 20 of the following year.
31 If the serviceman's average monthly tax liability to the
32 Department does not exceed $50, the Department may authorize
33 his returns to be filed on an annual basis, with the return
34 for a given year being due by January 20 of the following
-47- LRB9010638KDks
1 year.
2 Such quarter annual and annual returns, as to form and
3 substance, shall be subject to the same requirements as
4 monthly returns.
5 Notwithstanding any other provision in this Act
6 concerning the time within which a serviceman may file his
7 return, in the case of any serviceman who ceases to engage in
8 a kind of business which makes him responsible for filing
9 returns under this Act, such serviceman shall file a final
10 return under this Act with the Department not more than 1
11 month after discontinuing such business.
12 Beginning October 1, 1993, a taxpayer who has an average
13 monthly tax liability of $150,000 or more shall make all
14 payments required by rules of the Department by electronic
15 funds transfer. Beginning October 1, 1994, a taxpayer who
16 has an average monthly tax liability of $100,000 or more
17 shall make all payments required by rules of the Department
18 by electronic funds transfer. Beginning October 1, 1995, a
19 taxpayer who has an average monthly tax liability of $50,000
20 or more shall make all payments required by rules of the
21 Department by electronic funds transfer. The term "average
22 monthly tax liability" means the sum of the taxpayer's
23 liabilities under this Act, and under all other State and
24 local occupation and use tax laws administered by the
25 Department, for the immediately preceding calendar year
26 divided by 12.
27 Before August 1 of each year beginning in 1993, the
28 Department shall notify all taxpayers required to make
29 payments by electronic funds transfer. All taxpayers
30 required to make payments by electronic funds transfer shall
31 make those payments for a minimum of one year beginning on
32 October 1.
33 Any taxpayer not required to make payments by electronic
34 funds transfer may make payments by electronic funds transfer
-48- LRB9010638KDks
1 with the permission of the Department.
2 All taxpayers required to make payment by electronic
3 funds transfer and any taxpayers authorized to voluntarily
4 make payments by electronic funds transfer shall make those
5 payments in the manner authorized by the Department.
6 The Department shall adopt such rules as are necessary to
7 effectuate a program of electronic funds transfer and the
8 requirements of this Section.
9 Where a serviceman collects the tax with respect to the
10 selling price of tangible personal property which he sells
11 and the purchaser thereafter returns such tangible personal
12 property and the serviceman refunds the selling price thereof
13 to the purchaser, such serviceman shall also refund, to the
14 purchaser, the tax so collected from the purchaser. When
15 filing his return for the period in which he refunds such tax
16 to the purchaser, the serviceman may deduct the amount of the
17 tax so refunded by him to the purchaser from any other
18 Service Occupation Tax, Service Use Tax, Retailers'
19 Occupation Tax or Use Tax which such serviceman may be
20 required to pay or remit to the Department, as shown by such
21 return, provided that the amount of the tax to be deducted
22 shall previously have been remitted to the Department by such
23 serviceman. If the serviceman shall not previously have
24 remitted the amount of such tax to the Department, he shall
25 be entitled to no deduction hereunder upon refunding such tax
26 to the purchaser.
27 If experience indicates such action to be practicable,
28 the Department may prescribe and furnish a combination or
29 joint return which will enable servicemen, who are required
30 to file returns hereunder and also under the Retailers'
31 Occupation Tax Act, the Use Tax Act or the Service Use Tax
32 Act, to furnish all the return information required by all
33 said Acts on the one form.
34 Where the serviceman has more than one business
-49- LRB9010638KDks
1 registered with the Department under separate registrations
2 hereunder, such serviceman shall file separate returns for
3 each registered business.
4 Beginning January 1, 1990, each month the Department
5 shall pay into the Local Government Tax Fund the revenue
6 realized for the preceding month from the 1% tax on sales of
7 food for human consumption which is to be consumed off the
8 premises where it is sold (other than alcoholic beverages,
9 soft drinks and food which has been prepared for immediate
10 consumption) and prescription and nonprescription medicines,
11 drugs, medical appliances and insulin, urine testing
12 materials, syringes and needles used by diabetics.
13 Beginning January 1, 1990, each month the Department
14 shall pay into the County and Mass Transit District Fund 4%
15 of the revenue realized for the preceding month from the
16 6.25% general rate.
17 Beginning January 1, 1990, each month the Department
18 shall pay into the Local Government Tax Fund 16% of the
19 revenue realized for the preceding month from the 6.25%
20 general rate on transfers of tangible personal property.
21 Beginning on the effective date of this amendatory Act of
22 1998 and thereafter, each month the Department shall pay into
23 the State Construction Account Fund, 26.7% of the net revenue
24 realized for the proceeding month from the 6.25% general rate
25 on the selling price of gasoline.
26 Beginning on the effective date of this amendatory Act of
27 1998 and thereafter, each month the Department shall pay into
28 the Road Fund, 53.3% of the net revenue realized for the
29 proceeding month from the 6.25% general rate on the selling
30 price of gasoline.
31 Of the remainder of the moneys received by the Department
32 pursuant to this Act, (a) 1.75% thereof shall be paid into
33 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
34 and on and after July 1, 1989, 3.8% thereof shall be paid
-50- LRB9010638KDks
1 into the Build Illinois Fund; provided, however, that if in
2 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
3 as the case may be, of the moneys received by the Department
4 and required to be paid into the Build Illinois Fund pursuant
5 to Section 3 of the Retailers' Occupation Tax Act, Section 9
6 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
7 Section 9 of the Service Occupation Tax Act, such Acts being
8 hereinafter called the "Tax Acts" and such aggregate of 2.2%
9 or 3.8%, as the case may be, of moneys being hereinafter
10 called the "Tax Act Amount", and (2) the amount transferred
11 to the Build Illinois Fund from the State and Local Sales Tax
12 Reform Fund shall be less than the Annual Specified Amount
13 (as defined in Section 3 of the Retailers' Occupation Tax
14 Act), an amount equal to the difference shall be immediately
15 paid into the Build Illinois Fund from other moneys received
16 by the Department pursuant to the Tax Acts; and further
17 provided, that if on the last business day of any month the
18 sum of (1) the Tax Act Amount required to be deposited into
19 the Build Illinois Account in the Build Illinois Fund during
20 such month and (2) the amount transferred during such month
21 to the Build Illinois Fund from the State and Local Sales Tax
22 Reform Fund shall have been less than 1/12 of the Annual
23 Specified Amount, an amount equal to the difference shall be
24 immediately paid into the Build Illinois Fund from other
25 moneys received by the Department pursuant to the Tax Acts;
26 and, further provided, that in no event shall the payments
27 required under the preceding proviso result in aggregate
28 payments into the Build Illinois Fund pursuant to this clause
29 (b) for any fiscal year in excess of the greater of (i) the
30 Tax Act Amount or (ii) the Annual Specified Amount for such
31 fiscal year; and, further provided, that the amounts payable
32 into the Build Illinois Fund under this clause (b) shall be
33 payable only until such time as the aggregate amount on
34 deposit under each trust indenture securing Bonds issued and
-51- LRB9010638KDks
1 outstanding pursuant to the Build Illinois Bond Act is
2 sufficient, taking into account any future investment income,
3 to fully provide, in accordance with such indenture, for the
4 defeasance of or the payment of the principal of, premium, if
5 any, and interest on the Bonds secured by such indenture and
6 on any Bonds expected to be issued thereafter and all fees
7 and costs payable with respect thereto, all as certified by
8 the Director of the Bureau of the Budget. If on the last
9 business day of any month in which Bonds are outstanding
10 pursuant to the Build Illinois Bond Act, the aggregate of the
11 moneys deposited in the Build Illinois Bond Account in the
12 Build Illinois Fund in such month shall be less than the
13 amount required to be transferred in such month from the
14 Build Illinois Bond Account to the Build Illinois Bond
15 Retirement and Interest Fund pursuant to Section 13 of the
16 Build Illinois Bond Act, an amount equal to such deficiency
17 shall be immediately paid from other moneys received by the
18 Department pursuant to the Tax Acts to the Build Illinois
19 Fund; provided, however, that any amounts paid to the Build
20 Illinois Fund in any fiscal year pursuant to this sentence
21 shall be deemed to constitute payments pursuant to clause (b)
22 of the preceding sentence and shall reduce the amount
23 otherwise payable for such fiscal year pursuant to clause (b)
24 of the preceding sentence. The moneys received by the
25 Department pursuant to this Act and required to be deposited
26 into the Build Illinois Fund are subject to the pledge, claim
27 and charge set forth in Section 12 of the Build Illinois Bond
28 Act.
29 Subject to payment of amounts into the Build Illinois
30 Fund as provided in the preceding paragraph or in any
31 amendment thereto hereafter enacted, the following specified
32 monthly installment of the amount requested in the
33 certificate of the Chairman of the Metropolitan Pier and
34 Exposition Authority provided under Section 8.25f of the
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1 State Finance Act, but not in excess of the sums designated
2 as "Total Deposit", shall be deposited in the aggregate from
3 collections under Section 9 of the Use Tax Act, Section 9 of
4 the Service Use Tax Act, Section 9 of the Service Occupation
5 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
6 into the McCormick Place Expansion Project Fund in the
7 specified fiscal years.
8 Fiscal Year Total Deposit
9 1993 $0
10 1994 53,000,000
11 1995 58,000,000
12 1996 61,000,000
13 1997 64,000,000
14 1998 68,000,000
15 1999 71,000,000
16 2000 75,000,000
17 2001 80,000,000
18 2002 84,000,000
19 2003 89,000,000
20 2004 and 93,000,000
21 each fiscal year
22 thereafter that bonds
23 are outstanding under
24 Section 13.2 of the
25 Metropolitan Pier and
26 Exposition Authority
27 Act.
28 Beginning July 20, 1993 and in each month of each fiscal
29 year thereafter, one-eighth of the amount requested in the
30 certificate of the Chairman of the Metropolitan Pier and
31 Exposition Authority for that fiscal year, less the amount
32 deposited into the McCormick Place Expansion Project Fund by
33 the State Treasurer in the respective month under subsection
34 (g) of Section 13 of the Metropolitan Pier and Exposition
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1 Authority Act, plus cumulative deficiencies in the deposits
2 required under this Section for previous months and years,
3 shall be deposited into the McCormick Place Expansion Project
4 Fund, until the full amount requested for the fiscal year,
5 but not in excess of the amount specified above as "Total
6 Deposit", has been deposited.
7 Subject to payment of amounts into the Build Illinois
8 Fund and the McCormick Place Expansion Project Fund pursuant
9 to the preceding paragraphs or in any amendment thereto
10 hereafter enacted, each month the Department shall pay into
11 the Local Government Distributive Fund 0.4% of the net
12 revenue realized for the preceding month from the 5% general
13 rate or 0.4% of 80% of the net revenue realized for the
14 preceding month from the 6.25% general rate, as the case may
15 be, on the selling price of tangible personal property which
16 amount shall, subject to appropriation, be distributed as
17 provided in Section 2 of the State Revenue Sharing Act. No
18 payments or distributions pursuant to this paragraph shall be
19 made if the tax imposed by this Act on photoprocessing
20 products is declared unconstitutional, or if the proceeds
21 from such tax are unavailable for distribution because of
22 litigation.
23 Subject to payment of amounts into the Build Illinois
24 Fund, the McCormick Place Expansion Project Fund, and the
25 Local Government Distributive Fund pursuant to the preceding
26 paragraphs or in any amendments thereto hereafter enacted,
27 beginning July 1, 1993, the Department shall each month pay
28 into the Illinois Tax Increment Fund 0.27% of 80% of the net
29 revenue realized for the preceding month from the 6.25%
30 general rate on the selling price of tangible personal
31 property.
32 Remaining moneys received by the Department pursuant to
33 this Act shall be paid into the General Revenue Fund of the
34 State Treasury.
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1 The Department may, upon separate written notice to a
2 taxpayer, require the taxpayer to prepare and file with the
3 Department on a form prescribed by the Department within not
4 less than 60 days after receipt of the notice an annual
5 information return for the tax year specified in the notice.
6 Such annual return to the Department shall include a
7 statement of gross receipts as shown by the taxpayer's last
8 Federal income tax return. If the total receipts of the
9 business as reported in the Federal income tax return do not
10 agree with the gross receipts reported to the Department of
11 Revenue for the same period, the taxpayer shall attach to his
12 annual return a schedule showing a reconciliation of the 2
13 amounts and the reasons for the difference. The taxpayer's
14 annual return to the Department shall also disclose the cost
15 of goods sold by the taxpayer during the year covered by such
16 return, opening and closing inventories of such goods for
17 such year, cost of goods used from stock or taken from stock
18 and given away by the taxpayer during such year, pay roll
19 information of the taxpayer's business during such year and
20 any additional reasonable information which the Department
21 deems would be helpful in determining the accuracy of the
22 monthly, quarterly or annual returns filed by such taxpayer
23 as hereinbefore provided for in this Section.
24 If the annual information return required by this Section
25 is not filed when and as required, the taxpayer shall be
26 liable as follows:
27 (i) Until January 1, 1994, the taxpayer shall be
28 liable for a penalty equal to 1/6 of 1% of the tax due
29 from such taxpayer under this Act during the period to be
30 covered by the annual return for each month or fraction
31 of a month until such return is filed as required, the
32 penalty to be assessed and collected in the same manner
33 as any other penalty provided for in this Act.
34 (ii) On and after January 1, 1994, the taxpayer
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1 shall be liable for a penalty as described in Section 3-4
2 of the Uniform Penalty and Interest Act.
3 The chief executive officer, proprietor, owner or highest
4 ranking manager shall sign the annual return to certify the
5 accuracy of the information contained therein. Any person
6 who willfully signs the annual return containing false or
7 inaccurate information shall be guilty of perjury and
8 punished accordingly. The annual return form prescribed by
9 the Department shall include a warning that the person
10 signing the return may be liable for perjury.
11 The foregoing portion of this Section concerning the
12 filing of an annual information return shall not apply to a
13 serviceman who is not required to file an income tax return
14 with the United States Government.
15 As soon as possible after the first day of each month,
16 upon certification of the Department of Revenue, the
17 Comptroller shall order transferred and the Treasurer shall
18 transfer from the General Revenue Fund to the Motor Fuel Tax
19 Fund an amount equal to 1.7% of 80% of the net revenue
20 realized under this Act for the second preceding month;
21 except that this transfer shall not be made for the months
22 February through June, 1992.
23 Net revenue realized for a month shall be the revenue
24 collected by the State pursuant to this Act, less the amount
25 paid out during that month as refunds to taxpayers for
26 overpayment of liability.
27 For greater simplicity of administration, it shall be
28 permissible for manufacturers, importers and wholesalers
29 whose products are sold by numerous servicemen in Illinois,
30 and who wish to do so, to assume the responsibility for
31 accounting and paying to the Department all tax accruing
32 under this Act with respect to such sales, if the servicemen
33 who are affected do not make written objection to the
34 Department to this arrangement.
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1 (Source: P.A. 88-45; 88-116; 88-547, eff. 6-30-94; 88-669,
2 eff. 11-29-94; 89-89, eff. 6-30-95; 89-235, eff. 8-4-95;
3 89-379, eff. 1-1-96; 89-626, eff. 8-9-96.)
4 Section 20. The Retailers' Occupation Tax Act is amended
5 by changing Section 3 and adding Section 3.5 as follows:
6 (35 ILCS 120/3) (from Ch. 120, par. 442)
7 (Text of Section before amendment by P.A. 90-491)
8 Sec. 3. Except as provided in this Section, on or before
9 the twentieth day of each calendar month, every person
10 engaged in the business of selling tangible personal property
11 at retail in this State during the preceding calendar month
12 shall file a return with the Department, stating:
13 1. The name of the seller;
14 2. His residence address and the address of his
15 principal place of business and the address of the
16 principal place of business (if that is a different
17 address) from which he engages in the business of selling
18 tangible personal property at retail in this State;
19 3. Total amount of receipts received by him during
20 the preceding calendar month or quarter, as the case may
21 be, from sales of tangible personal property, and from
22 services furnished, by him during such preceding calendar
23 month or quarter;
24 4. Total amount received by him during the
25 preceding calendar month or quarter on charge and time
26 sales of tangible personal property, and from services
27 furnished, by him prior to the month or quarter for which
28 the return is filed;
29 5. Deductions allowed by law;
30 6. Gross receipts which were received by him during
31 the preceding calendar month or quarter and upon the
32 basis of which the tax is imposed;
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1 7. The amount of credit provided in Section 2d of
2 this Act;
3 8. The amount of tax due;
4 9. The signature of the taxpayer; and
5 10. Such other reasonable information as the
6 Department may require.
7 If a taxpayer fails to sign a return within 30 days after
8 the proper notice and demand for signature by the Department,
9 the return shall be considered valid and any amount shown to
10 be due on the return shall be deemed assessed.
11 Each return shall be accompanied by the statement of
12 prepaid tax issued pursuant to Section 2e for which credit is
13 claimed.
14 A retailer may accept a Manufacturer's Purchase Credit
15 certification from a purchaser in satisfaction of Use Tax as
16 provided in Section 3-85 of the Use Tax Act if the purchaser
17 provides the appropriate documentation as required by Section
18 3-85 of the Use Tax Act. A Manufacturer's Purchase Credit
19 certification, accepted by a retailer as provided in Section
20 3-85 of the Use Tax Act, may be used by that retailer to
21 satisfy Retailers' Occupation Tax liability in the amount
22 claimed in the certification, not to exceed 6.25% of the
23 receipts subject to tax from a qualifying purchase.
24 The Department may require returns to be filed on a
25 quarterly basis. If so required, a return for each calendar
26 quarter shall be filed on or before the twentieth day of the
27 calendar month following the end of such calendar quarter.
28 The taxpayer shall also file a return with the Department for
29 each of the first two months of each calendar quarter, on or
30 before the twentieth day of the following calendar month,
31 stating:
32 1. The name of the seller;
33 2. The address of the principal place of business
34 from which he engages in the business of selling tangible