98TH GENERAL ASSEMBLY
State of Illinois
2013 and 2014
HB2795

 

Introduced , by Rep. Elgie R. Sims, Jr.

 

SYNOPSIS AS INTRODUCED:
 
30 ILCS 105/5.826 new
30 ILCS 105/6z-98 new
815 ILCS 122/4-17 new

    Amends the Payday Loan Reform Act. Imposes a surcharge upon each lender in an amount equal to $1 for each payday loan made by that lender. Provides that the moneys collected from the surcharge shall be deposited into the Small Loan Community Reinvestment Fund, less 2% of those proceeds, which shall be paid into the Tax Compliance and Administration Fund. Amends the State Finance Act to create the Small Loan Community Reinvestment Fund. Provides that moneys in the Fund shall be used by the Department of Commerce and Economic Opportunity to make grants to not-for-profit organizations dedicated to educational tutoring and development, financial literacy, early childhood development, youth mentoring, and senior services.


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CORRECTIONAL BUDGET AND IMPACT NOTE ACT MAY APPLY
FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB2795LRB098 07004 HLH 37063 b

1    AN ACT concerning finance.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The State Finance Act is amended by adding
5Sections 5.826 and 6z-98 as follows:
 
6    (30 ILCS 105/5.826 new)
7    Sec. 5.826. The Small Loan Community Reinvestment Fund.
 
8    (30 ILCS 105/6z-98 new)
9    Sec. 6z-98. The Small Loan Community Reinvestment Fund;
10creation. The Small Loan Community Reinvestment Fund is hereby
11created as a special fund in the State Treasury. Moneys in the
12Fund shall be used by the Department of Commerce and Economic
13Opportunity to make grants to not-for-profit organizations
14dedicated to educational tutoring and development, financial
15literacy, early childhood development, youth mentoring, and
16senior services. Moneys in the Fund shall be used primarily in
17geographic areas of the State with high concentrations of
18payday loan facilities. For purposes of this Section, the term
19"payday loan" has the meaning ascribed to that term in the
20Payday Loan Reform Act.
 
21    Section 10. The Payday Loan Reform Act is amended by adding

 

 

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1Section 4-17 as follows:
 
2    (815 ILCS 122/4-17 new)
3    Sec. 4-17. Surcharge imposed.    
4    (a) An surcharge is hereby imposed upon each lender in an
5amount equal to $1 for each payday loan made by that lender.
6Each lender must file a return on a form provided by the
7Department of Revenue, and must remit payment to the Department
8of Revenue on a monthly basis no later than the 15th day of the
9month immediately following the month in which the loan is
10made. Each return must state the following:
11        (1) the name of the lender;
12        (2) the address of the lender;
13        (3) the total number of payday loans made by the lender
14    in the previous calendar month; and
15        (4) the total amount of the surcharge due for the
16    previous calendar month.
17    (b) The Department of Revenue shall pay all proceeds
18collected from the surcharge imposed under this Section into
19the Small Loan Community Reinvestment Fund, less 2% of those
20proceeds, which shall be paid into the Tax Compliance and
21Administration Fund in the State treasury from which it shall
22be appropriated to the Department of Revenue to cover the costs
23of the Department in administering and enforcing the provisions
24of this Section.
25    (c) All the provisions of Sections 4, 5, 5a, 5b, 5c, 5d,

 

 

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15e, 5f, 5g, 5i, 5j, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, and 13 of
2the Retailers' Occupation Tax Act that are not inconsistent
3with this Act apply, as far as practicable, to the surcharge
4imposed by this Section to the same extent as if those
5provisions were included in this Section. References in the
6incorporated Sections of the Retailers' Occupation Tax Act to
7retailers, to sellers, or to persons engaged in the business of
8selling tangible personal property mean lenders. All
9provisions of the Uniform Penalty and Interest Act which are
10not inconsistent with this Act shall apply.
11    (d) Any lender who fails to make a return or who makes a
12fraudulent return is guilty of a Class 4 felony.