Public Act 90-0625 of the 90th General Assembly
Public Act 90-0625
SB1508 Enrolled LRB9011543LDdvA
AN ACT to amend the Liquor Control Act of 1934 by
changing Section 8-1.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Liquor Control Act of 1934 is amended by
changing Section 8-1 as follows:
(235 ILCS 5/8-1) (from Ch. 43, par. 158)
Sec. 8-1. A tax is imposed upon the privilege of
engaging in business as a manufacturer or as an importing
distributor of alcoholic liquor other than beer at the rate
of 7¢ per gallon for cider containing not less than 0.5%
alcohol by volume nor more than 7% alcohol by volume, 23¢ per
gallon for wine containing 14% or less of alcohol by volume
other than cider containing less than 7% alcohol by volume,
60¢ per gallon for wine containing more than 14% of alcohol
by volume, and $2.00 per gallon on alcohol and spirits
manufactured and sold or used by such manufacturer, or as
agent for any other person, or sold or used by such importing
distributor, or as agent for any other person. A tax is
imposed upon the privilege of engaging in business as a
manufacturer of beer or as an importing distributor of beer
at the rate of 7¢ per gallon on all beer manufactured and
sold or used by such manufacturer, or as agent for any other
person, or sold or used by such importing distributor, or as
agent for any other person. Any brewer manufacturing beer in
this State shall be entitled to and given a credit or refund
of 75% of the tax imposed on each gallon of beer up to 4.9
million gallons per year in any given calendar year for tax
paid or payable on beer produced and sold in the State of
Illinois.
For the purpose of this Section, "cider" means any
alcoholic beverage obtained by the alcohol fermentation of
the juice of apples or pears including, but not limited to,
flavored, sparkling, or carbonated cider.
The credit or refund created by this Act shall apply to
all beer taxes in the calendar years 1982 through 1986.
A tax at the rate of 1¢ per gallon on beer and 48¢ per
gallon on alcohol and spirits is also imposed upon the
privilege of engaging in business as a retailer or as a
distributor who is not also an importing distributor with
respect to all beer and all alcohol and spirits owned or
possessed by such retailer or distributor when this
amendatory Act of 1969 becomes effective, and with respect to
which the additional tax imposed by this amendatory Act upon
manufacturers and importing distributors does not apply.
Retailers and distributors who are subject to the additional
tax imposed by this paragraph of this Section shall be
required to inventory such alcoholic liquor and to pay this
additional tax in a manner prescribed by the Department.
The provisions of this Section shall be construed to
apply to any importing distributor engaging in business in
this State, whether licensed or not.
However, such tax is not imposed upon any such business
as to any alcoholic liquor shipped outside Illinois by an
Illinois licensed manufacturer or importing distributor, nor
as to any alcoholic liquor delivered in Illinois by an
Illinois licensed manufacturer or importing distributor to a
purchaser for immediate transportation by the purchaser to
another state into which the purchaser has a legal right,
under the laws of such state, to import such alcoholic
liquor, nor as to any alcoholic liquor other than beer sold
by one Illinois licensed manufacturer or importing
distributor to another Illinois licensed manufacturer or
importing distributor to the extent to which the sale of
alcoholic liquor other than beer by one Illinois licensed
manufacturer or importing distributor to another Illinois
licensed manufacturer or importing distributor is authorized
by the licensing provisions of this Act, nor to alcoholic
liquor whether manufactured in or imported into this State
when sold to a "non-beverage user" licensed by the State for
use in the manufacture of any of the following when they are
unfit for beverage purposes:
Patent and proprietary medicines and medicinal,
antiseptic, culinary and toilet preparations;
Flavoring extracts and syrups and food products;
Scientific, industrial and chemical products, excepting
denatured alcohol;
Or for scientific, chemical, experimental or mechanical
purposes;
Nor is the tax imposed upon the privilege of engaging in
any business in interstate commerce or otherwise, which
business may not, under the Constitution and Statutes of the
United States, be made the subject of taxation by this State.
The tax herein imposed shall be in addition to all other
occupation or privilege taxes imposed by the State of
Illinois or political subdivision thereof.
If any alcoholic liquor manufactured in or imported into
this State is sold to a licensed manufacturer or importing
distributor by a licensed manufacturer or importing
distributor to be used solely as an ingredient in the
manufacture of any beverage for human consumption, the tax
imposed upon such purchasing manufacturer or importing
distributor shall be reduced by the amount of the taxes which
have been paid by the selling manufacturer or importing
distributor under this Act as to such alcoholic liquor so
used to the Department of Revenue.
If any person received any alcoholic liquors from a
manufacturer or importing distributor, with respect to which
alcoholic liquors no tax is imposed under this Article, and
such alcoholic liquor shall thereafter be disposed of in such
manner or under such circumstances as may cause the same to
become the base for the tax imposed by this Article, such
person shall make the same reports and returns, pay the same
taxes and be subject to all other provisions of this Article
relating to manufacturers and importing distributors.
Nothing in this Article shall be construed to require the
payment to the Department of the taxes imposed by this
Article more than once with respect to any quantity of
alcoholic liquor sold or used within this State.
No tax is imposed by this Act on sales of alcoholic
liquor by Illinois licensed foreign importers to Illinois
licensed importing distributors.
(Source: P.A. 86-654.)
Section 99. Effective date. This Act takes effect July
1, 1998.