Sen. Pamela J. Althoff

Filed: 5/26/2017

 

 


 

 


 
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1
AMENDMENT TO SENATE BILL 990

2    AMENDMENT NO. ______. Amend Senate Bill 990 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The State Finance Act is amended by adding
5Sections 5.878, 5.879, 5.880, 6z-20.1, 6z-20.2, 6z-101, and
66z-102 as follows:
 
7    (30 ILCS 105/5.878 new)
8    Sec. 5.878. The State Aviation Program Fund.
 
9    (30 ILCS 105/5.879 new)
10    Sec. 5.879. The Local Government Aviation Trust Fund.
 
11    (30 ILCS 105/5.880 new)
12    Sec. 5.880. The Aviation Fuel Sales Tax Refund Fund.
 
13    (30 ILCS 105/6z-20.1 new)

 

 

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1    Sec. 6z-20.1. The State Aviation Program Fund. The State
2Aviation Program Fund is created in the State Treasury. Moneys
3in the Fund shall be used by the Department of Transportation
4for the purposes of administering a State Aviation Program. The
5moneys shall be used for the purpose of (i) distributing grants
6to units of local government to be used for airport-related
7purposes and (ii) by the State for airport-related purposes,
8including for noise mitigation purposes on or off of airport
9property. For purposes of this Section, "airport-related
10purposes" means the capital or operating costs of: (1) an
11airport; (2) a local airport system; or (3) any other local
12facility that is owned or operated by the person or entity that
13owns or operates the airport that is directly and substantially
14related to the air transportation of passengers or property as
15provided in 49 U.S.C. 47133. The provisions directing the
16distributions from the special fund in the State Treasury
17provided for in this Section shall constitute an irrevocable
18and continuing appropriation of all amounts as provided herein.
 
19    (30 ILCS 105/6z-20.2 new)
20    Sec. 6z-20.2. The Local Government Aviation Trust Fund. The
21Local Government Aviation Trust Fund is created as a trust fund
22in the State Treasury. Moneys in the Trust Fund shall be used
23by units of local government for airport-related purposes. For
24purposes of this Section, "airport-related purposes" means the
25capital or operating costs of: (1) an airport;(2) a local

 

 

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1airport system; or (3) any other local facility that is owned
2or operated by the person or entity that owns or operates the
3airport that is directly and substantially related to the air
4transportation of passengers or property as provided in 49
5U.S.C. 47133.
6    Moneys in the Trust Fund are not subject to appropriation
7and shall be used solely as provided in this Section. All
8deposits into the Trust Fund shall be held in the Trust Fund by
9the State Treasurer, ex officio, as trustee separate and apart
10from all public moneys or funds of this State.
11    On or before the 25th day of each calendar month, the
12Department shall prepare and certify to the Comptroller the
13disbursement of stated sums of money to named units of local
14government, the units of local government to be those from
15which retailers or servicemen have paid tax or penalties to the
16Department during the second preceding calendar month on sales
17of aviation fuel. The amount to be paid to each unit of local
18government shall be the amount (not including credit memoranda)
19collected during the second preceding calendar month by the
20Department and paid into the Local Government Aviation Trust
21Fund, plus an amount the Department determines is necessary to
22offset any amounts which were erroneously paid to a different
23taxing body, and not including an amount equal to the amount of
24refunds made during the second preceding calendar month by the
25Department, and not including any amount which the Department
26determines is necessary to offset any amounts which are payable

 

 

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1to a different taxing body but were erroneously paid to the
2unit of local government. Within 10 days after receipt by the
3Comptroller of the certification for disbursement to the units
4of local government, provided for in this Section to be given
5to the Comptroller by the Department, the Comptroller shall
6cause the orders to be drawn for the respective amounts in
7accordance with the directions contained in the certification.
8    When certifying the amount of the monthly disbursement to a
9unit of local government under this Section, the Department
10shall increase or decrease that amount by an amount necessary
11to offset any misallocation of previous disbursements. The
12offset amount shall be the amount erroneously disbursed within
13the 6 months preceding the time a misallocation is discovered.
 
14    (30 ILCS 105/6z-102 new)
15    Sec. 6z-102. The Aviation Fuel Sales Tax Refund Fund.
16    (a) The Aviation Fuel Sales Tax Refund Fund is hereby
17created as a special fund in the State Treasury. Moneys in the
18Aviation Fuel Sales Tax Refund Fund shall be used by the
19Department of Revenue to pay refunds of Use Tax, Service Use
20Tax, Service Occupation Tax, and Retailers' Occupation Tax paid
21on aviation fuel in the manner provided in Section 19 of the
22Use Tax Act, Section 17 of the Service Use Tax Act, Section 17
23of the Service Occupation Tax Act, and Section 6 of the
24Retailers' Occupation Tax Act.
25    (b) Moneys in the Aviation Fuel Sales Tax Refund Fund shall

 

 

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1be expended exclusively for the purpose of paying refunds
2pursuant to this Section.
3    (c) The Director of Revenue shall order payment of refunds
4under this Section from the Aviation Fuel Sales Tax Refund Fund
5only to the extent that amounts collected pursuant to Section 3
6of the Retailers' Occupation Tax Act, Section 9 of the Use Tax
7Act, Section 9 of the Service Occupation Tax Act, and Section 9
8of the Service Use Tax Act on aviation fuel have been deposited
9and retained in the Fund.
10    As soon as possible after the end of each fiscal year, the
11Director of Revenue shall order transferred and the State
12Treasurer and State Comptroller shall transfer from the
13Aviation Fuel Sales Tax Refund Fund to the State Aviation
14Program Fund 20% of any surplus remaining as of the end of such
15fiscal year and shall transfer from the Aviation Fuel Sales Tax
16Refund Fund to the General Revenue Fund 80% of any surplus
17remaining as of the end of such fiscal year.
18    This Section shall constitute an irrevocable and
19continuing appropriation from the Aviation Fuel Sales Tax
20Refund Fund for the purpose of paying refunds in accordance
21with the provisions of this Section.
 
22    Section 10. The Use Tax Act is amended by changing Sections
239 and 19 as follows:
 
24    (35 ILCS 105/9)  (from Ch. 120, par. 439.9)

 

 

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1    Sec. 9. Except as to motor vehicles, watercraft, aircraft,
2and trailers that are required to be registered with an agency
3of this State, each retailer required or authorized to collect
4the tax imposed by this Act shall pay to the Department the
5amount of such tax (except as otherwise provided) at the time
6when he is required to file his return for the period during
7which such tax was collected, less a discount of 2.1% prior to
8January 1, 1990, and 1.75% on and after January 1, 1990, or $5
9per calendar year, whichever is greater, which is allowed to
10reimburse the retailer for expenses incurred in collecting the
11tax, keeping records, preparing and filing returns, remitting
12the tax and supplying data to the Department on request. The
13discount under this Section is not allowed for taxes paid on
14aviation fuel that are deposited into the State Aviation
15Program Fund under this Act. In the case of retailers who
16report and pay the tax on a transaction by transaction basis,
17as provided in this Section, such discount shall be taken with
18each such tax remittance instead of when such retailer files
19his periodic return. The Department may disallow the discount
20for retailers whose certificate of registration is revoked at
21the time the return is filed, but only if the Department's
22decision to revoke the certificate of registration has become
23final. A retailer need not remit that part of any tax collected
24by him to the extent that he is required to remit and does
25remit the tax imposed by the Retailers' Occupation Tax Act,
26with respect to the sale of the same property.

 

 

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1    Where such tangible personal property is sold under a
2conditional sales contract, or under any other form of sale
3wherein the payment of the principal sum, or a part thereof, is
4extended beyond the close of the period for which the return is
5filed, the retailer, in collecting the tax (except as to motor
6vehicles, watercraft, aircraft, and trailers that are required
7to be registered with an agency of this State), may collect for
8each tax return period, only the tax applicable to that part of
9the selling price actually received during such tax return
10period.
11    Except as provided in this Section, on or before the
12twentieth day of each calendar month, such retailer shall file
13a return for the preceding calendar month. Such return shall be
14filed on forms prescribed by the Department and shall furnish
15such information as the Department may reasonably require.
16    The Department may require returns to be filed on a
17quarterly basis. If so required, a return for each calendar
18quarter shall be filed on or before the twentieth day of the
19calendar month following the end of such calendar quarter. The
20taxpayer shall also file a return with the Department for each
21of the first two months of each calendar quarter, on or before
22the twentieth day of the following calendar month, stating:
23        1. The name of the seller;
24        2. The address of the principal place of business from
25    which he engages in the business of selling tangible
26    personal property at retail in this State;

 

 

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1        3. The total amount of taxable receipts received by him
2    during the preceding calendar month from sales of tangible
3    personal property by him during such preceding calendar
4    month, including receipts from charge and time sales, but
5    less all deductions allowed by law;
6        4. The amount of credit provided in Section 2d of this
7    Act;
8        5. The amount of tax due;
9        5-5. The signature of the taxpayer; and
10        6. Such other reasonable information as the Department
11    may require.
12    Beginning on January 1, 2018, each retailer required or
13authorized to collect the tax imposed by this Act on aviation
14fuel sold at retail in this State during the preceding calendar
15month shall, instead of reporting and paying tax on aviation
16fuel as otherwise required by this Section, file and pay tax to
17the Department on an aviation fuel tax return, on or before the
18twentieth day of each calendar month. The requirements related
19to the return shall be as otherwise provided in this Section.
20Notwithstanding any other provisions of this Act to the
21contrary, retailers collecting tax on aviation fuel shall file
22all aviation fuel tax returns and shall make all aviation fuel
23fee payments by electronic means in the manner and form
24required by the Department. For purposes of this paragraph,
25"aviation fuel" means a product that is intended for use or
26offered for sale as fuel for an aircraft.

 

 

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1    If a taxpayer fails to sign a return within 30 days after
2the proper notice and demand for signature by the Department,
3the return shall be considered valid and any amount shown to be
4due on the return shall be deemed assessed.
5    Beginning October 1, 1993, a taxpayer who has an average
6monthly tax liability of $150,000 or more shall make all
7payments required by rules of the Department by electronic
8funds transfer. Beginning October 1, 1994, a taxpayer who has
9an average monthly tax liability of $100,000 or more shall make
10all payments required by rules of the Department by electronic
11funds transfer. Beginning October 1, 1995, a taxpayer who has
12an average monthly tax liability of $50,000 or more shall make
13all payments required by rules of the Department by electronic
14funds transfer. Beginning October 1, 2000, a taxpayer who has
15an annual tax liability of $200,000 or more shall make all
16payments required by rules of the Department by electronic
17funds transfer. The term "annual tax liability" shall be the
18sum of the taxpayer's liabilities under this Act, and under all
19other State and local occupation and use tax laws administered
20by the Department, for the immediately preceding calendar year.
21The term "average monthly tax liability" means the sum of the
22taxpayer's liabilities under this Act, and under all other
23State and local occupation and use tax laws administered by the
24Department, for the immediately preceding calendar year
25divided by 12. Beginning on October 1, 2002, a taxpayer who has
26a tax liability in the amount set forth in subsection (b) of

 

 

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1Section 2505-210 of the Department of Revenue Law shall make
2all payments required by rules of the Department by electronic
3funds transfer.
4    Before August 1 of each year beginning in 1993, the
5Department shall notify all taxpayers required to make payments
6by electronic funds transfer. All taxpayers required to make
7payments by electronic funds transfer shall make those payments
8for a minimum of one year beginning on October 1.
9    Any taxpayer not required to make payments by electronic
10funds transfer may make payments by electronic funds transfer
11with the permission of the Department.
12    All taxpayers required to make payment by electronic funds
13transfer and any taxpayers authorized to voluntarily make
14payments by electronic funds transfer shall make those payments
15in the manner authorized by the Department.
16    The Department shall adopt such rules as are necessary to
17effectuate a program of electronic funds transfer and the
18requirements of this Section.
19    Before October 1, 2000, if the taxpayer's average monthly
20tax liability to the Department under this Act, the Retailers'
21Occupation Tax Act, the Service Occupation Tax Act, the Service
22Use Tax Act was $10,000 or more during the preceding 4 complete
23calendar quarters, he shall file a return with the Department
24each month by the 20th day of the month next following the
25month during which such tax liability is incurred and shall
26make payments to the Department on or before the 7th, 15th,

 

 

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122nd and last day of the month during which such liability is
2incurred. On and after October 1, 2000, if the taxpayer's
3average monthly tax liability to the Department under this Act,
4the Retailers' Occupation Tax Act, the Service Occupation Tax
5Act, and the Service Use Tax Act was $20,000 or more during the
6preceding 4 complete calendar quarters, he shall file a return
7with the Department each month by the 20th day of the month
8next following the month during which such tax liability is
9incurred and shall make payment to the Department on or before
10the 7th, 15th, 22nd and last day of the month during which such
11liability is incurred. If the month during which such tax
12liability is incurred began prior to January 1, 1985, each
13payment shall be in an amount equal to 1/4 of the taxpayer's
14actual liability for the month or an amount set by the
15Department not to exceed 1/4 of the average monthly liability
16of the taxpayer to the Department for the preceding 4 complete
17calendar quarters (excluding the month of highest liability and
18the month of lowest liability in such 4 quarter period). If the
19month during which such tax liability is incurred begins on or
20after January 1, 1985, and prior to January 1, 1987, each
21payment shall be in an amount equal to 22.5% of the taxpayer's
22actual liability for the month or 27.5% of the taxpayer's
23liability for the same calendar month of the preceding year. If
24the month during which such tax liability is incurred begins on
25or after January 1, 1987, and prior to January 1, 1988, each
26payment shall be in an amount equal to 22.5% of the taxpayer's

 

 

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1actual liability for the month or 26.25% of the taxpayer's
2liability for the same calendar month of the preceding year. If
3the month during which such tax liability is incurred begins on
4or after January 1, 1988, and prior to January 1, 1989, or
5begins on or after January 1, 1996, each payment shall be in an
6amount equal to 22.5% of the taxpayer's actual liability for
7the month or 25% of the taxpayer's liability for the same
8calendar month of the preceding year. If the month during which
9such tax liability is incurred begins on or after January 1,
101989, and prior to January 1, 1996, each payment shall be in an
11amount equal to 22.5% of the taxpayer's actual liability for
12the month or 25% of the taxpayer's liability for the same
13calendar month of the preceding year or 100% of the taxpayer's
14actual liability for the quarter monthly reporting period. The
15amount of such quarter monthly payments shall be credited
16against the final tax liability of the taxpayer's return for
17that month. Before October 1, 2000, once applicable, the
18requirement of the making of quarter monthly payments to the
19Department shall continue until such taxpayer's average
20monthly liability to the Department during the preceding 4
21complete calendar quarters (excluding the month of highest
22liability and the month of lowest liability) is less than
23$9,000, or until such taxpayer's average monthly liability to
24the Department as computed for each calendar quarter of the 4
25preceding complete calendar quarter period is less than
26$10,000. However, if a taxpayer can show the Department that a

 

 

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1substantial change in the taxpayer's business has occurred
2which causes the taxpayer to anticipate that his average
3monthly tax liability for the reasonably foreseeable future
4will fall below the $10,000 threshold stated above, then such
5taxpayer may petition the Department for change in such
6taxpayer's reporting status. On and after October 1, 2000, once
7applicable, the requirement of the making of quarter monthly
8payments to the Department shall continue until such taxpayer's
9average monthly liability to the Department during the
10preceding 4 complete calendar quarters (excluding the month of
11highest liability and the month of lowest liability) is less
12than $19,000 or until such taxpayer's average monthly liability
13to the Department as computed for each calendar quarter of the
144 preceding complete calendar quarter period is less than
15$20,000. However, if a taxpayer can show the Department that a
16substantial change in the taxpayer's business has occurred
17which causes the taxpayer to anticipate that his average
18monthly tax liability for the reasonably foreseeable future
19will fall below the $20,000 threshold stated above, then such
20taxpayer may petition the Department for a change in such
21taxpayer's reporting status. The Department shall change such
22taxpayer's reporting status unless it finds that such change is
23seasonal in nature and not likely to be long term. If any such
24quarter monthly payment is not paid at the time or in the
25amount required by this Section, then the taxpayer shall be
26liable for penalties and interest on the difference between the

 

 

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1minimum amount due and the amount of such quarter monthly
2payment actually and timely paid, except insofar as the
3taxpayer has previously made payments for that month to the
4Department in excess of the minimum payments previously due as
5provided in this Section. The Department shall make reasonable
6rules and regulations to govern the quarter monthly payment
7amount and quarter monthly payment dates for taxpayers who file
8on other than a calendar monthly basis.
9    If any such payment provided for in this Section exceeds
10the taxpayer's liabilities under this Act, the Retailers'
11Occupation Tax Act, the Service Occupation Tax Act and the
12Service Use Tax Act, as shown by an original monthly return,
13the Department shall issue to the taxpayer a credit memorandum
14no later than 30 days after the date of payment, which
15memorandum may be submitted by the taxpayer to the Department
16in payment of tax liability subsequently to be remitted by the
17taxpayer to the Department or be assigned by the taxpayer to a
18similar taxpayer under this Act, the Retailers' Occupation Tax
19Act, the Service Occupation Tax Act or the Service Use Tax Act,
20in accordance with reasonable rules and regulations to be
21prescribed by the Department, except that if such excess
22payment is shown on an original monthly return and is made
23after December 31, 1986, no credit memorandum shall be issued,
24unless requested by the taxpayer. If no such request is made,
25the taxpayer may credit such excess payment against tax
26liability subsequently to be remitted by the taxpayer to the

 

 

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1Department under this Act, the Retailers' Occupation Tax Act,
2the Service Occupation Tax Act or the Service Use Tax Act, in
3accordance with reasonable rules and regulations prescribed by
4the Department. If the Department subsequently determines that
5all or any part of the credit taken was not actually due to the
6taxpayer, the taxpayer's 2.1% or 1.75% vendor's discount shall
7be reduced by 2.1% or 1.75% of the difference between the
8credit taken and that actually due, and the taxpayer shall be
9liable for penalties and interest on such difference.
10    If the retailer is otherwise required to file a monthly
11return and if the retailer's average monthly tax liability to
12the Department does not exceed $200, the Department may
13authorize his returns to be filed on a quarter annual basis,
14with the return for January, February, and March of a given
15year being due by April 20 of such year; with the return for
16April, May and June of a given year being due by July 20 of such
17year; with the return for July, August and September of a given
18year being due by October 20 of such year, and with the return
19for October, November and December of a given year being due by
20January 20 of the following year.
21    If the retailer is otherwise required to file a monthly or
22quarterly return and if the retailer's average monthly tax
23liability to the Department does not exceed $50, the Department
24may authorize his returns to be filed on an annual basis, with
25the return for a given year being due by January 20 of the
26following year.

 

 

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1    Such quarter annual and annual returns, as to form and
2substance, shall be subject to the same requirements as monthly
3returns.
4    Notwithstanding any other provision in this Act concerning
5the time within which a retailer may file his return, in the
6case of any retailer who ceases to engage in a kind of business
7which makes him responsible for filing returns under this Act,
8such retailer shall file a final return under this Act with the
9Department not more than one month after discontinuing such
10business.
11    In addition, with respect to motor vehicles, watercraft,
12aircraft, and trailers that are required to be registered with
13an agency of this State, every retailer selling this kind of
14tangible personal property shall file, with the Department,
15upon a form to be prescribed and supplied by the Department, a
16separate return for each such item of tangible personal
17property which the retailer sells, except that if, in the same
18transaction, (i) a retailer of aircraft, watercraft, motor
19vehicles or trailers transfers more than one aircraft,
20watercraft, motor vehicle or trailer to another aircraft,
21watercraft, motor vehicle or trailer retailer for the purpose
22of resale or (ii) a retailer of aircraft, watercraft, motor
23vehicles, or trailers transfers more than one aircraft,
24watercraft, motor vehicle, or trailer to a purchaser for use as
25a qualifying rolling stock as provided in Section 3-55 of this
26Act, then that seller may report the transfer of all the

 

 

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1aircraft, watercraft, motor vehicles or trailers involved in
2that transaction to the Department on the same uniform
3invoice-transaction reporting return form. For purposes of
4this Section, "watercraft" means a Class 2, Class 3, or Class 4
5watercraft as defined in Section 3-2 of the Boat Registration
6and Safety Act, a personal watercraft, or any boat equipped
7with an inboard motor.
8    The transaction reporting return in the case of motor
9vehicles or trailers that are required to be registered with an
10agency of this State, shall be the same document as the Uniform
11Invoice referred to in Section 5-402 of the Illinois Vehicle
12Code and must show the name and address of the seller; the name
13and address of the purchaser; the amount of the selling price
14including the amount allowed by the retailer for traded-in
15property, if any; the amount allowed by the retailer for the
16traded-in tangible personal property, if any, to the extent to
17which Section 2 of this Act allows an exemption for the value
18of traded-in property; the balance payable after deducting such
19trade-in allowance from the total selling price; the amount of
20tax due from the retailer with respect to such transaction; the
21amount of tax collected from the purchaser by the retailer on
22such transaction (or satisfactory evidence that such tax is not
23due in that particular instance, if that is claimed to be the
24fact); the place and date of the sale; a sufficient
25identification of the property sold; such other information as
26is required in Section 5-402 of the Illinois Vehicle Code, and

 

 

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1such other information as the Department may reasonably
2require.
3    The transaction reporting return in the case of watercraft
4and aircraft must show the name and address of the seller; the
5name and address of the purchaser; the amount of the selling
6price including the amount allowed by the retailer for
7traded-in property, if any; the amount allowed by the retailer
8for the traded-in tangible personal property, if any, to the
9extent to which Section 2 of this Act allows an exemption for
10the value of traded-in property; the balance payable after
11deducting such trade-in allowance from the total selling price;
12the amount of tax due from the retailer with respect to such
13transaction; the amount of tax collected from the purchaser by
14the retailer on such transaction (or satisfactory evidence that
15such tax is not due in that particular instance, if that is
16claimed to be the fact); the place and date of the sale, a
17sufficient identification of the property sold, and such other
18information as the Department may reasonably require.
19    Such transaction reporting return shall be filed not later
20than 20 days after the date of delivery of the item that is
21being sold, but may be filed by the retailer at any time sooner
22than that if he chooses to do so. The transaction reporting
23return and tax remittance or proof of exemption from the tax
24that is imposed by this Act may be transmitted to the
25Department by way of the State agency with which, or State
26officer with whom, the tangible personal property must be

 

 

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1titled or registered (if titling or registration is required)
2if the Department and such agency or State officer determine
3that this procedure will expedite the processing of
4applications for title or registration.
5    With each such transaction reporting return, the retailer
6shall remit the proper amount of tax due (or shall submit
7satisfactory evidence that the sale is not taxable if that is
8the case), to the Department or its agents, whereupon the
9Department shall issue, in the purchaser's name, a tax receipt
10(or a certificate of exemption if the Department is satisfied
11that the particular sale is tax exempt) which such purchaser
12may submit to the agency with which, or State officer with
13whom, he must title or register the tangible personal property
14that is involved (if titling or registration is required) in
15support of such purchaser's application for an Illinois
16certificate or other evidence of title or registration to such
17tangible personal property.
18    No retailer's failure or refusal to remit tax under this
19Act precludes a user, who has paid the proper tax to the
20retailer, from obtaining his certificate of title or other
21evidence of title or registration (if titling or registration
22is required) upon satisfying the Department that such user has
23paid the proper tax (if tax is due) to the retailer. The
24Department shall adopt appropriate rules to carry out the
25mandate of this paragraph.
26    If the user who would otherwise pay tax to the retailer

 

 

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1wants the transaction reporting return filed and the payment of
2tax or proof of exemption made to the Department before the
3retailer is willing to take these actions and such user has not
4paid the tax to the retailer, such user may certify to the fact
5of such delay by the retailer, and may (upon the Department
6being satisfied of the truth of such certification) transmit
7the information required by the transaction reporting return
8and the remittance for tax or proof of exemption directly to
9the Department and obtain his tax receipt or exemption
10determination, in which event the transaction reporting return
11and tax remittance (if a tax payment was required) shall be
12credited by the Department to the proper retailer's account
13with the Department, but without the 2.1% or 1.75% discount
14provided for in this Section being allowed. When the user pays
15the tax directly to the Department, he shall pay the tax in the
16same amount and in the same form in which it would be remitted
17if the tax had been remitted to the Department by the retailer.
18    Where a retailer collects the tax with respect to the
19selling price of tangible personal property which he sells and
20the purchaser thereafter returns such tangible personal
21property and the retailer refunds the selling price thereof to
22the purchaser, such retailer shall also refund, to the
23purchaser, the tax so collected from the purchaser. When filing
24his return for the period in which he refunds such tax to the
25purchaser, the retailer may deduct the amount of the tax so
26refunded by him to the purchaser from any other use tax which

 

 

10000SB0990sam001- 21 -LRB100 07613 HLH 26683 a

1such retailer may be required to pay or remit to the
2Department, as shown by such return, if the amount of the tax
3to be deducted was previously remitted to the Department by
4such retailer. If the retailer has not previously remitted the
5amount of such tax to the Department, he is entitled to no
6deduction under this Act upon refunding such tax to the
7purchaser.
8    Any retailer filing a return under this Section shall also
9include (for the purpose of paying tax thereon) the total tax
10covered by such return upon the selling price of tangible
11personal property purchased by him at retail from a retailer,
12but as to which the tax imposed by this Act was not collected
13from the retailer filing such return, and such retailer shall
14remit the amount of such tax to the Department when filing such
15return.
16    If experience indicates such action to be practicable, the
17Department may prescribe and furnish a combination or joint
18return which will enable retailers, who are required to file
19returns hereunder and also under the Retailers' Occupation Tax
20Act, to furnish all the return information required by both
21Acts on the one form.
22    Where the retailer has more than one business registered
23with the Department under separate registration under this Act,
24such retailer may not file each return that is due as a single
25return covering all such registered businesses, but shall file
26separate returns for each such registered business.

 

 

10000SB0990sam001- 22 -LRB100 07613 HLH 26683 a

1    Beginning January 1, 1990, each month the Department shall
2pay into the State and Local Sales Tax Reform Fund, a special
3fund in the State Treasury which is hereby created, the net
4revenue realized for the preceding month from the 1% tax on
5sales of food for human consumption which is to be consumed off
6the premises where it is sold (other than alcoholic beverages,
7soft drinks and food which has been prepared for immediate
8consumption) and prescription and nonprescription medicines,
9drugs, medical appliances, products classified as Class III
10medical devices by the United States Food and Drug
11Administration that are used for cancer treatment pursuant to a
12prescription, as well as any accessories and components related
13to those devices, and insulin, urine testing materials,
14syringes and needles used by diabetics.
15    Beginning January 1, 1990, each month the Department shall
16pay into the County and Mass Transit District Fund 4% of the
17net revenue realized for the preceding month from the 6.25%
18general rate on the selling price of tangible personal property
19which is purchased outside Illinois at retail from a retailer
20and which is titled or registered by an agency of this State's
21government.
22    Beginning January 1, 1990, each month the Department shall
23pay into the State and Local Sales Tax Reform Fund, a special
24fund in the State Treasury, 20% of the net revenue realized for
25the preceding month from the 6.25% general rate on the selling
26price of tangible personal property, other than (i) tangible

 

 

10000SB0990sam001- 23 -LRB100 07613 HLH 26683 a

1personal property which is purchased outside Illinois at retail
2from a retailer and which is titled or registered by an agency
3of this State's government and (ii) aviation fuel sold on or
4after December 1, 2017. This exception for aviation fuel only
5applies for so long as the revenue use requirements of 49
6U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
7State..
8    For aviation fuel sold on or after December 1, 2017, each
9month the Department shall pay into the State Aviation Program
10Fund 20% of the net revenue realized for the preceding month
11from the 6.25% general rate on the selling price of aviation
12fuel, less an amount estimated by the Department to be required
13for refunds of the 20% portion of the tax on aviation fuel
14under this Act, which amount shall be deposited into the
15Aviation Fuel Sales Tax Refund Fund. The Department shall only
16pay moneys into the State Aviation Program Fund and the
17Aviation Fuels Sales Tax Refund Fund under this Act for so long
18as the revenue use requirements of 49 U.S.C. 47107(b) and 49
19U.S.C. 47133 are binding on the State.
20    Beginning August 1, 2000, each month the Department shall
21pay into the State and Local Sales Tax Reform Fund 100% of the
22net revenue realized for the preceding month from the 1.25%
23rate on the selling price of motor fuel and gasohol. Beginning
24September 1, 2010, each month the Department shall pay into the
25State and Local Sales Tax Reform Fund 100% of the net revenue
26realized for the preceding month from the 1.25% rate on the

 

 

10000SB0990sam001- 24 -LRB100 07613 HLH 26683 a

1selling price of sales tax holiday items.
2    Beginning January 1, 1990, each month the Department shall
3pay into the Local Government Tax Fund 16% of the net revenue
4realized for the preceding month from the 6.25% general rate on
5the selling price of tangible personal property which is
6purchased outside Illinois at retail from a retailer and which
7is titled or registered by an agency of this State's
8government.
9    Beginning October 1, 2009, each month the Department shall
10pay into the Capital Projects Fund an amount that is equal to
11an amount estimated by the Department to represent 80% of the
12net revenue realized for the preceding month from the sale of
13candy, grooming and hygiene products, and soft drinks that had
14been taxed at a rate of 1% prior to September 1, 2009 but that
15are now taxed at 6.25%.
16    Beginning July 1, 2011, each month the Department shall pay
17into the Clean Air Act Permit Fund 80% of the net revenue
18realized for the preceding month from the 6.25% general rate on
19the selling price of sorbents used in Illinois in the process
20of sorbent injection as used to comply with the Environmental
21Protection Act or the federal Clean Air Act, but the total
22payment into the Clean Air Act Permit Fund under this Act and
23the Retailers' Occupation Tax Act shall not exceed $2,000,000
24in any fiscal year.
25    Beginning July 1, 2013, each month the Department shall pay
26into the Underground Storage Tank Fund from the proceeds

 

 

10000SB0990sam001- 25 -LRB100 07613 HLH 26683 a

1collected under this Act, the Service Use Tax Act, the Service
2Occupation Tax Act, and the Retailers' Occupation Tax Act an
3amount equal to the average monthly deficit in the Underground
4Storage Tank Fund during the prior year, as certified annually
5by the Illinois Environmental Protection Agency, but the total
6payment into the Underground Storage Tank Fund under this Act,
7the Service Use Tax Act, the Service Occupation Tax Act, and
8the Retailers' Occupation Tax Act shall not exceed $18,000,000
9in any State fiscal year. As used in this paragraph, the
10"average monthly deficit" shall be equal to the difference
11between the average monthly claims for payment by the fund and
12the average monthly revenues deposited into the fund, excluding
13payments made pursuant to this paragraph.
14    Beginning July 1, 2015, of the remainder of the moneys
15received by the Department under this Act, the Service Use Tax
16Act, the Service Occupation Tax Act, and the Retailers'
17Occupation Tax Act, each month the Department shall deposit
18$500,000 into the State Crime Laboratory Fund.
19    Of the remainder of the moneys received by the Department
20pursuant to this Act, (a) 1.75% thereof shall be paid into the
21Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
22and after July 1, 1989, 3.8% thereof shall be paid into the
23Build Illinois Fund; provided, however, that if in any fiscal
24year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
25may be, of the moneys received by the Department and required
26to be paid into the Build Illinois Fund pursuant to Section 3

 

 

10000SB0990sam001- 26 -LRB100 07613 HLH 26683 a

1of the Retailers' Occupation Tax Act, Section 9 of the Use Tax
2Act, Section 9 of the Service Use Tax Act, and Section 9 of the
3Service Occupation Tax Act, such Acts being hereinafter called
4the "Tax Acts" and such aggregate of 2.2% or 3.8%, as the case
5may be, of moneys being hereinafter called the "Tax Act
6Amount", and (2) the amount transferred to the Build Illinois
7Fund from the State and Local Sales Tax Reform Fund shall be
8less than the Annual Specified Amount (as defined in Section 3
9of the Retailers' Occupation Tax Act), an amount equal to the
10difference shall be immediately paid into the Build Illinois
11Fund from other moneys received by the Department pursuant to
12the Tax Acts; and further provided, that if on the last
13business day of any month the sum of (1) the Tax Act Amount
14required to be deposited into the Build Illinois Bond Account
15in the Build Illinois Fund during such month and (2) the amount
16transferred during such month to the Build Illinois Fund from
17the State and Local Sales Tax Reform Fund shall have been less
18than 1/12 of the Annual Specified Amount, an amount equal to
19the difference shall be immediately paid into the Build
20Illinois Fund from other moneys received by the Department
21pursuant to the Tax Acts; and, further provided, that in no
22event shall the payments required under the preceding proviso
23result in aggregate payments into the Build Illinois Fund
24pursuant to this clause (b) for any fiscal year in excess of
25the greater of (i) the Tax Act Amount or (ii) the Annual
26Specified Amount for such fiscal year; and, further provided,

 

 

10000SB0990sam001- 27 -LRB100 07613 HLH 26683 a

1that the amounts payable into the Build Illinois Fund under
2this clause (b) shall be payable only until such time as the
3aggregate amount on deposit under each trust indenture securing
4Bonds issued and outstanding pursuant to the Build Illinois
5Bond Act is sufficient, taking into account any future
6investment income, to fully provide, in accordance with such
7indenture, for the defeasance of or the payment of the
8principal of, premium, if any, and interest on the Bonds
9secured by such indenture and on any Bonds expected to be
10issued thereafter and all fees and costs payable with respect
11thereto, all as certified by the Director of the Bureau of the
12Budget (now Governor's Office of Management and Budget). If on
13the last business day of any month in which Bonds are
14outstanding pursuant to the Build Illinois Bond Act, the
15aggregate of the moneys deposited in the Build Illinois Bond
16Account in the Build Illinois Fund in such month shall be less
17than the amount required to be transferred in such month from
18the Build Illinois Bond Account to the Build Illinois Bond
19Retirement and Interest Fund pursuant to Section 13 of the
20Build Illinois Bond Act, an amount equal to such deficiency
21shall be immediately paid from other moneys received by the
22Department pursuant to the Tax Acts to the Build Illinois Fund;
23provided, however, that any amounts paid to the Build Illinois
24Fund in any fiscal year pursuant to this sentence shall be
25deemed to constitute payments pursuant to clause (b) of the
26preceding sentence and shall reduce the amount otherwise

 

 

10000SB0990sam001- 28 -LRB100 07613 HLH 26683 a

1payable for such fiscal year pursuant to clause (b) of the
2preceding sentence. The moneys received by the Department
3pursuant to this Act and required to be deposited into the
4Build Illinois Fund are subject to the pledge, claim and charge
5set forth in Section 12 of the Build Illinois Bond Act.
6    Subject to payment of amounts into the Build Illinois Fund
7as provided in the preceding paragraph or in any amendment
8thereto hereafter enacted, the following specified monthly
9installment of the amount requested in the certificate of the
10Chairman of the Metropolitan Pier and Exposition Authority
11provided under Section 8.25f of the State Finance Act, but not
12in excess of the sums designated as "Total Deposit", shall be
13deposited in the aggregate from collections under Section 9 of
14the Use Tax Act, Section 9 of the Service Use Tax Act, Section
159 of the Service Occupation Tax Act, and Section 3 of the
16Retailers' Occupation Tax Act into the McCormick Place
17Expansion Project Fund in the specified fiscal years.
18Fiscal YearTotal Deposit
191993         $0
201994 53,000,000
211995 58,000,000
221996 61,000,000
231997 64,000,000
241998 68,000,000
251999 71,000,000
262000 75,000,000

 

 

10000SB0990sam001- 29 -LRB100 07613 HLH 26683 a

12001 80,000,000
22002 93,000,000
32003 99,000,000
42004103,000,000
52005108,000,000
62006113,000,000
72007119,000,000
82008126,000,000
92009132,000,000
102010139,000,000
112011146,000,000
122012153,000,000
132013161,000,000
142014170,000,000
152015179,000,000
162016189,000,000
172017199,000,000
182018210,000,000
192019221,000,000
202020233,000,000
212021246,000,000
222022260,000,000
232023275,000,000
242024 275,000,000
252025 275,000,000
262026 279,000,000

 

 

10000SB0990sam001- 30 -LRB100 07613 HLH 26683 a

12027 292,000,000
22028 307,000,000
32029 322,000,000
42030 338,000,000
52031 350,000,000
62032 350,000,000
7and
8each fiscal year
9thereafter that bonds
10are outstanding under
11Section 13.2 of the
12Metropolitan Pier and
13Exposition Authority Act,
14but not after fiscal year 2060.
15    Beginning July 20, 1993 and in each month of each fiscal
16year thereafter, one-eighth of the amount requested in the
17certificate of the Chairman of the Metropolitan Pier and
18Exposition Authority for that fiscal year, less the amount
19deposited into the McCormick Place Expansion Project Fund by
20the State Treasurer in the respective month under subsection
21(g) of Section 13 of the Metropolitan Pier and Exposition
22Authority Act, plus cumulative deficiencies in the deposits
23required under this Section for previous months and years,
24shall be deposited into the McCormick Place Expansion Project
25Fund, until the full amount requested for the fiscal year, but
26not in excess of the amount specified above as "Total Deposit",

 

 

10000SB0990sam001- 31 -LRB100 07613 HLH 26683 a

1has been deposited.
2    Subject to payment of amounts into the Capital Projects
3Fund, the Clean Air Act (CAA) Permit Fund, the Build Illinois
4Fund, and the McCormick Place Expansion Project Fund pursuant
5to the preceding paragraphs or in any amendments thereto
6hereafter enacted, the Department shall each month deposit into
7the Aviation Fuel Sales Tax Refund Fund an amount estimated by
8the Department to be required for refunds of the 80% portion of
9the tax on aviation fuel under this Act.
10    Subject to payment of amounts into the Build Illinois Fund
11and the McCormick Place Expansion Project Fund pursuant to the
12preceding paragraphs or in any amendments thereto hereafter
13enacted, beginning July 1, 1993 and ending on September 30,
142013, the Department shall each month pay into the Illinois Tax
15Increment Fund 0.27% of 80% of the net revenue realized for the
16preceding month from the 6.25% general rate on the selling
17price of tangible personal property.
18    Subject to payment of amounts into the Build Illinois Fund
19and the McCormick Place Expansion Project Fund pursuant to the
20preceding paragraphs or in any amendments thereto hereafter
21enacted, beginning with the receipt of the first report of
22taxes paid by an eligible business and continuing for a 25-year
23period, the Department shall each month pay into the Energy
24Infrastructure Fund 80% of the net revenue realized from the
256.25% general rate on the selling price of Illinois-mined coal
26that was sold to an eligible business. For purposes of this

 

 

10000SB0990sam001- 32 -LRB100 07613 HLH 26683 a

1paragraph, the term "eligible business" means a new electric
2generating facility certified pursuant to Section 605-332 of
3the Department of Commerce and Economic Opportunity Law of the
4Civil Administrative Code of Illinois.
5    Subject to payment of amounts into the Build Illinois Fund,
6the McCormick Place Expansion Project Fund, the Illinois Tax
7Increment Fund, and the Energy Infrastructure Fund pursuant to
8the preceding paragraphs or in any amendments to this Section
9hereafter enacted, beginning on the first day of the first
10calendar month to occur on or after August 26, 2014 (the
11effective date of Public Act 98-1098) this amendatory Act of
12the 98th General Assembly, each month, from the collections
13made under Section 9 of the Use Tax Act, Section 9 of the
14Service Use Tax Act, Section 9 of the Service Occupation Tax
15Act, and Section 3 of the Retailers' Occupation Tax Act, the
16Department shall pay into the Tax Compliance and Administration
17Fund, to be used, subject to appropriation, to fund additional
18auditors and compliance personnel at the Department of Revenue,
19an amount equal to 1/12 of 5% of 80% of the cash receipts
20collected during the preceding fiscal year by the Audit Bureau
21of the Department under the Use Tax Act, the Service Use Tax
22Act, the Service Occupation Tax Act, the Retailers' Occupation
23Tax Act, and associated local occupation and use taxes
24administered by the Department (except the amount collected on
25aviation fuel sold on or after December 1, 2017).
26    Of the remainder of the moneys received by the Department

 

 

10000SB0990sam001- 33 -LRB100 07613 HLH 26683 a

1pursuant to this Act, 75% thereof shall be paid into the State
2Treasury and 25% shall be reserved in a special account and
3used only for the transfer to the Common School Fund as part of
4the monthly transfer from the General Revenue Fund in
5accordance with Section 8a of the State Finance Act.
6    As soon as possible after the first day of each month, upon
7certification of the Department of Revenue, the Comptroller
8shall order transferred and the Treasurer shall transfer from
9the General Revenue Fund to the Motor Fuel Tax Fund an amount
10equal to 1.7% of 80% of the net revenue realized under this Act
11for the second preceding month. Beginning April 1, 2000, this
12transfer is no longer required and shall not be made.
13    Net revenue realized for a month shall be the revenue
14collected by the State pursuant to this Act, less the amount
15paid out during that month as refunds to taxpayers for
16overpayment of liability.
17    For greater simplicity of administration, manufacturers,
18importers and wholesalers whose products are sold at retail in
19Illinois by numerous retailers, and who wish to do so, may
20assume the responsibility for accounting and paying to the
21Department all tax accruing under this Act with respect to such
22sales, if the retailers who are affected do not make written
23objection to the Department to this arrangement.
24(Source: P.A. 98-24, eff. 6-19-13; 98-109, eff. 7-25-13;
2598-496, eff. 1-1-14; 98-756, eff. 7-16-14; 98-1098, eff.
268-26-14; 99-352, eff. 8-12-15; 99-858, eff. 8-19-16; 99-933,

 

 

10000SB0990sam001- 34 -LRB100 07613 HLH 26683 a

1eff. 1-27-17; revised 2-3-17.)
 
2    (35 ILCS 105/19)  (from Ch. 120, par. 439.19)
3    Sec. 19. If it shall appear that an amount of tax or
4penalty or interest has been paid in error hereunder to the
5Department by a purchaser, as distinguished from the retailer,
6whether such amount be paid through a mistake of fact or an
7error of law, such purchaser may file a claim for credit or
8refund with the Department in accordance with Sections 6, 6a,
96b, 6c, and 6d of the Retailers' Occupation Tax Act. If it
10shall appear that an amount of tax or penalty or interest has
11been paid in error to the Department hereunder by a retailer
12who is required or authorized to collect and remit the use tax,
13whether such amount be paid through a mistake of fact or an
14error of law, such retailer may file a claim for credit or
15refund with the Department in accordance with Sections 6, 6a,
166b, 6c, and 6d of the Retailers' Occupation Tax Act, provided
17that no credit or refund shall be allowed for any amount paid
18by any such retailer unless it shall appear that he bore the
19burden of such amount and did not shift the burden thereof to
20anyone else (as in the case of a duplicated tax payment which
21the retailer made to the Department and did not collect from
22anyone else), or unless it shall appear that he or she or his
23or her legal representative has unconditionally repaid such
24amount to his vendee (1) who bore the burden thereof and has
25not shifted such burden directly or indirectly in any manner

 

 

10000SB0990sam001- 35 -LRB100 07613 HLH 26683 a

1whatsoever; (2) who, if he has shifted such burden, has repaid
2unconditionally such amount to his or her own vendee, and (3)
3who is not entitled to receive any reimbursement therefor from
4any other source than from his vendor, nor to be relieved of
5such burden in any other manner whatsoever. If it shall appear
6that an amount of tax has been paid in error hereunder by the
7purchaser to a retailer, who retained such tax as reimbursement
8for his or her tax liability on the same sale under the
9Retailers' Occupation Tax Act, and who remitted the amount
10involved to the Department under the Retailers' Occupation Tax
11Act, whether such amount be paid through a mistake of fact or
12an error of law, the procedure for recovering such tax shall be
13that prescribed in Sections 6, 6a, 6b and 6c of the Retailers'
14Occupation Tax Act.
15    Any credit or refund that is allowed under this Section
16shall bear interest at the rate and in the manner specified in
17the Uniform Penalty and Interest Act.
18    Any claim filed hereunder shall be filed upon a form
19prescribed and furnished by the Department. The claim shall be
20signed by the claimant (or by the claimant's legal
21representative if the claimant shall have died or become a
22person under legal disability), or by a duly authorized agent
23of the claimant or his or her legal representative.
24    A claim for credit or refund shall be considered to have
25been filed with the Department on the date upon which it is
26received by the Department. Upon receipt of any claim for

 

 

10000SB0990sam001- 36 -LRB100 07613 HLH 26683 a

1credit or refund filed under this Act, any officer or employee
2of the Department, authorized in writing by the Director of
3Revenue to acknowledge receipt of such claims on behalf of the
4Department, shall execute on behalf of the Department, and
5shall deliver or mail to the claimant or his duly authorized
6agent, a written receipt, acknowledging that the claim has been
7filed with the Department, describing the claim in sufficient
8detail to identify it and stating the date upon which the claim
9was received by the Department. Such written receipt shall be
10prima facie evidence that the Department received the claim
11described in such receipt and shall be prima facie evidence of
12the date when such claim was received by the Department. In the
13absence of such a written receipt, the records of the
14Department as to when the claim was received by the Department,
15or as to whether or not the claim was received at all by the
16Department, shall be deemed to be prima facie correct upon
17these questions in the event of any dispute between the
18claimant (or his or her legal representative) and the
19Department concerning these questions.
20    In case the Department determines that the claimant is
21entitled to a refund, such refund shall be made only from the
22Aviation Fuel Sales Tax Refund Fund or from such appropriation
23as may be available for that purpose, as appropriate. If it
24appears unlikely that the amount available appropriated would
25permit everyone having a claim allowed during the period
26covered by such appropriation or from the Aviation Fuel Sales

 

 

10000SB0990sam001- 37 -LRB100 07613 HLH 26683 a

1Tax Refund Fund, as appropriate, to elect to receive a cash
2refund, the Department, by rule or regulation, shall provide
3for the payment of refunds in hardship cases and shall define
4what types of cases qualify as hardship cases.
5    If a retailer who has failed to pay use tax on gross
6receipts from retail sales is required by the Department to pay
7such tax, such retailer, without filing any formal claim with
8the Department, shall be allowed to take credit against such
9use tax liability to the extent, if any, to which such retailer
10has paid an amount equivalent to retailers' occupation tax or
11has paid use tax in error to his or her vendor or vendors of the
12same tangible personal property which such retailer bought for
13resale and did not first use before selling it, and no penalty
14or interest shall be charged to such retailer on the amount of
15such credit. However, when such credit is allowed to the
16retailer by the Department, the vendor is precluded from
17refunding any of that tax to the retailer and filing a claim
18for credit or refund with respect thereto with the Department.
19The provisions of this amendatory Act shall be applied
20retroactively, regardless of the date of the transaction.
21(Source: P.A. 99-217, eff. 7-31-15.)
 
22    Section 15. The Service Use Tax Act is amended by changing
23Sections 9 and 17 as follows:
 
24    (35 ILCS 110/9)  (from Ch. 120, par. 439.39)

 

 

10000SB0990sam001- 38 -LRB100 07613 HLH 26683 a

1    Sec. 9. Each serviceman required or authorized to collect
2the tax herein imposed shall pay to the Department the amount
3of such tax (except as otherwise provided) at the time when he
4is required to file his return for the period during which such
5tax was collected, less a discount of 2.1% prior to January 1,
61990 and 1.75% on and after January 1, 1990, or $5 per calendar
7year, whichever is greater, which is allowed to reimburse the
8serviceman for expenses incurred in collecting the tax, keeping
9records, preparing and filing returns, remitting the tax and
10supplying data to the Department on request. The discount under
11this Section is not allowed for taxes paid on aviation fuel
12that are deposited into the State Aviation Program Fund under
13this Act. The Department may disallow the discount for
14servicemen whose certificate of registration is revoked at the
15time the return is filed, but only if the Department's decision
16to revoke the certificate of registration has become final. A
17serviceman need not remit that part of any tax collected by him
18to the extent that he is required to pay and does pay the tax
19imposed by the Service Occupation Tax Act with respect to his
20sale of service involving the incidental transfer by him of the
21same property.
22    Except as provided hereinafter in this Section, on or
23before the twentieth day of each calendar month, such
24serviceman shall file a return for the preceding calendar month
25in accordance with reasonable Rules and Regulations to be
26promulgated by the Department. Such return shall be filed on a

 

 

10000SB0990sam001- 39 -LRB100 07613 HLH 26683 a

1form prescribed by the Department and shall contain such
2information as the Department may reasonably require.
3    The Department may require returns to be filed on a
4quarterly basis. If so required, a return for each calendar
5quarter shall be filed on or before the twentieth day of the
6calendar month following the end of such calendar quarter. The
7taxpayer shall also file a return with the Department for each
8of the first two months of each calendar quarter, on or before
9the twentieth day of the following calendar month, stating:
10        1. The name of the seller;
11        2. The address of the principal place of business from
12    which he engages in business as a serviceman in this State;
13        3. The total amount of taxable receipts received by him
14    during the preceding calendar month, including receipts
15    from charge and time sales, but less all deductions allowed
16    by law;
17        4. The amount of credit provided in Section 2d of this
18    Act;
19        5. The amount of tax due;
20        5-5. The signature of the taxpayer; and
21        6. Such other reasonable information as the Department
22    may require.
23    Beginning on January 1, 2018, each serviceman required or
24authorized to collect the tax imposed by this Act on aviation
25fuel transferred as an incident of a sale of service in this
26State during the preceding calendar month shall, instead of

 

 

10000SB0990sam001- 40 -LRB100 07613 HLH 26683 a

1reporting and paying tax on aviation fuel as otherwise required
2by this Section, report and pay the tax by filing an aviation
3fuel tax return with the Department on or before the twentieth
4day of each calendar month. The requirements related to the
5return shall be as otherwise provided in this Section.
6Notwithstanding any other provisions of this Act to the
7contrary, servicemen collecting tax on aviation fuel shall file
8all aviation fuel tax returns and shall make all aviation fuel
9tax payments by electronic means in the manner and form
10required by the Department. For purposes of this paragraph,
11"aviation fuel" means a product that is intended for use or
12offered for sale as fuel for an aircraft.
13    If a taxpayer fails to sign a return within 30 days after
14the proper notice and demand for signature by the Department,
15the return shall be considered valid and any amount shown to be
16due on the return shall be deemed assessed.
17    Beginning October 1, 1993, a taxpayer who has an average
18monthly tax liability of $150,000 or more shall make all
19payments required by rules of the Department by electronic
20funds transfer. Beginning October 1, 1994, a taxpayer who has
21an average monthly tax liability of $100,000 or more shall make
22all payments required by rules of the Department by electronic
23funds transfer. Beginning October 1, 1995, a taxpayer who has
24an average monthly tax liability of $50,000 or more shall make
25all payments required by rules of the Department by electronic
26funds transfer. Beginning October 1, 2000, a taxpayer who has

 

 

10000SB0990sam001- 41 -LRB100 07613 HLH 26683 a

1an annual tax liability of $200,000 or more shall make all
2payments required by rules of the Department by electronic
3funds transfer. The term "annual tax liability" shall be the
4sum of the taxpayer's liabilities under this Act, and under all
5other State and local occupation and use tax laws administered
6by the Department, for the immediately preceding calendar year.
7The term "average monthly tax liability" means the sum of the
8taxpayer's liabilities under this Act, and under all other
9State and local occupation and use tax laws administered by the
10Department, for the immediately preceding calendar year
11divided by 12. Beginning on October 1, 2002, a taxpayer who has
12a tax liability in the amount set forth in subsection (b) of
13Section 2505-210 of the Department of Revenue Law shall make
14all payments required by rules of the Department by electronic
15funds transfer.
16    Before August 1 of each year beginning in 1993, the
17Department shall notify all taxpayers required to make payments
18by electronic funds transfer. All taxpayers required to make
19payments by electronic funds transfer shall make those payments
20for a minimum of one year beginning on October 1.
21    Any taxpayer not required to make payments by electronic
22funds transfer may make payments by electronic funds transfer
23with the permission of the Department.
24    All taxpayers required to make payment by electronic funds
25transfer and any taxpayers authorized to voluntarily make
26payments by electronic funds transfer shall make those payments

 

 

10000SB0990sam001- 42 -LRB100 07613 HLH 26683 a

1in the manner authorized by the Department.
2    The Department shall adopt such rules as are necessary to
3effectuate a program of electronic funds transfer and the
4requirements of this Section.
5    If the serviceman is otherwise required to file a monthly
6return and if the serviceman's average monthly tax liability to
7the Department does not exceed $200, the Department may
8authorize his returns to be filed on a quarter annual basis,
9with the return for January, February and March of a given year
10being due by April 20 of such year; with the return for April,
11May and June of a given year being due by July 20 of such year;
12with the return for July, August and September of a given year
13being due by October 20 of such year, and with the return for
14October, November and December of a given year being due by
15January 20 of the following year.
16    If the serviceman is otherwise required to file a monthly
17or quarterly return and if the serviceman's average monthly tax
18liability to the Department does not exceed $50, the Department
19may authorize his returns to be filed on an annual basis, with
20the return for a given year being due by January 20 of the
21following year.
22    Such quarter annual and annual returns, as to form and
23substance, shall be subject to the same requirements as monthly
24returns.
25    Notwithstanding any other provision in this Act concerning
26the time within which a serviceman may file his return, in the

 

 

10000SB0990sam001- 43 -LRB100 07613 HLH 26683 a

1case of any serviceman who ceases to engage in a kind of
2business which makes him responsible for filing returns under
3this Act, such serviceman shall file a final return under this
4Act with the Department not more than 1 month after
5discontinuing such business.
6    Where a serviceman collects the tax with respect to the
7selling price of property which he sells and the purchaser
8thereafter returns such property and the serviceman refunds the
9selling price thereof to the purchaser, such serviceman shall
10also refund, to the purchaser, the tax so collected from the
11purchaser. When filing his return for the period in which he
12refunds such tax to the purchaser, the serviceman may deduct
13the amount of the tax so refunded by him to the purchaser from
14any other Service Use Tax, Service Occupation Tax, retailers'
15occupation tax or use tax which such serviceman may be required
16to pay or remit to the Department, as shown by such return,
17provided that the amount of the tax to be deducted shall
18previously have been remitted to the Department by such
19serviceman. If the serviceman shall not previously have
20remitted the amount of such tax to the Department, he shall be
21entitled to no deduction hereunder upon refunding such tax to
22the purchaser.
23    Any serviceman filing a return hereunder shall also include
24the total tax upon the selling price of tangible personal
25property purchased for use by him as an incident to a sale of
26service, and such serviceman shall remit the amount of such tax

 

 

10000SB0990sam001- 44 -LRB100 07613 HLH 26683 a

1to the Department when filing such return.
2    If experience indicates such action to be practicable, the
3Department may prescribe and furnish a combination or joint
4return which will enable servicemen, who are required to file
5returns hereunder and also under the Service Occupation Tax
6Act, to furnish all the return information required by both
7Acts on the one form.
8    Where the serviceman has more than one business registered
9with the Department under separate registration hereunder,
10such serviceman shall not file each return that is due as a
11single return covering all such registered businesses, but
12shall file separate returns for each such registered business.
13    Beginning January 1, 1990, each month the Department shall
14pay into the State and Local Tax Reform Fund, a special fund in
15the State Treasury, the net revenue realized for the preceding
16month from the 1% tax on sales of food for human consumption
17which is to be consumed off the premises where it is sold
18(other than alcoholic beverages, soft drinks and food which has
19been prepared for immediate consumption) and prescription and
20nonprescription medicines, drugs, medical appliances, products
21classified as Class III medical devices, by the United States
22Food and Drug Administration that are used for cancer treatment
23pursuant to a prescription, as well as any accessories and
24components related to those devices, and insulin, urine testing
25materials, syringes and needles used by diabetics.
26    Beginning January 1, 1990, each month the Department shall

 

 

10000SB0990sam001- 45 -LRB100 07613 HLH 26683 a

1pay into the State and Local Sales Tax Reform Fund 20% of the
2net revenue realized for the preceding month from the 6.25%
3general rate on transfers of tangible personal property, other
4than (i) tangible personal property which is purchased outside
5Illinois at retail from a retailer and which is titled or
6registered by an agency of this State's government and (ii)
7aviation fuel sold on or after December 1, 2017. This exception
8for aviation fuel only applies for so long as the revenue use
9requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
10binding on the State.
11    For aviation fuel sold on or after December 1, 2017, each
12month the Department shall pay into the State Aviation Program
13Fund 20% of the net revenue realized for the preceding month
14from the 6.25% general rate on the selling price of aviation
15fuel, less an amount estimated by the Department to be required
16for refunds of the 20% portion of the tax on aviation fuel
17under this Act, which amount shall be deposited into the
18Aviation fuel Sales Tax Refund Fund. The Department shall only
19pay moneys into the State Aviation Program Fund and the
20Aviation Fuel Sales Tax Refund Fund under this Act for so long
21as the revenue use requirements of 49 U.S.C. 47107(b) and 49
22U.S.C. 47133 are binding on the State.
23    Beginning August 1, 2000, each month the Department shall
24pay into the State and Local Sales Tax Reform Fund 100% of the
25net revenue realized for the preceding month from the 1.25%
26rate on the selling price of motor fuel and gasohol.

 

 

10000SB0990sam001- 46 -LRB100 07613 HLH 26683 a

1    Beginning October 1, 2009, each month the Department shall
2pay into the Capital Projects Fund an amount that is equal to
3an amount estimated by the Department to represent 80% of the
4net revenue realized for the preceding month from the sale of
5candy, grooming and hygiene products, and soft drinks that had
6been taxed at a rate of 1% prior to September 1, 2009 but that
7are now taxed at 6.25%.
8    Beginning July 1, 2013, each month the Department shall pay
9into the Underground Storage Tank Fund from the proceeds
10collected under this Act, the Use Tax Act, the Service
11Occupation Tax Act, and the Retailers' Occupation Tax Act an
12amount equal to the average monthly deficit in the Underground
13Storage Tank Fund during the prior year, as certified annually
14by the Illinois Environmental Protection Agency, but the total
15payment into the Underground Storage Tank Fund under this Act,
16the Use Tax Act, the Service Occupation Tax Act, and the
17Retailers' Occupation Tax Act shall not exceed $18,000,000 in
18any State fiscal year. As used in this paragraph, the "average
19monthly deficit" shall be equal to the difference between the
20average monthly claims for payment by the fund and the average
21monthly revenues deposited into the fund, excluding payments
22made pursuant to this paragraph.
23    Beginning July 1, 2015, of the remainder of the moneys
24received by the Department under the Use Tax Act, this Act, the
25Service Occupation Tax Act, and the Retailers' Occupation Tax
26Act, each month the Department shall deposit $500,000 into the

 

 

10000SB0990sam001- 47 -LRB100 07613 HLH 26683 a

1State Crime Laboratory Fund.
2    Of the remainder of the moneys received by the Department
3pursuant to this Act, (a) 1.75% thereof shall be paid into the
4Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
5and after July 1, 1989, 3.8% thereof shall be paid into the
6Build Illinois Fund; provided, however, that if in any fiscal
7year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
8may be, of the moneys received by the Department and required
9to be paid into the Build Illinois Fund pursuant to Section 3
10of the Retailers' Occupation Tax Act, Section 9 of the Use Tax
11Act, Section 9 of the Service Use Tax Act, and Section 9 of the
12Service Occupation Tax Act, such Acts being hereinafter called
13the "Tax Acts" and such aggregate of 2.2% or 3.8%, as the case
14may be, of moneys being hereinafter called the "Tax Act
15Amount", and (2) the amount transferred to the Build Illinois
16Fund from the State and Local Sales Tax Reform Fund shall be
17less than the Annual Specified Amount (as defined in Section 3
18of the Retailers' Occupation Tax Act), an amount equal to the
19difference shall be immediately paid into the Build Illinois
20Fund from other moneys received by the Department pursuant to
21the Tax Acts; and further provided, that if on the last
22business day of any month the sum of (1) the Tax Act Amount
23required to be deposited into the Build Illinois Bond Account
24in the Build Illinois Fund during such month and (2) the amount
25transferred during such month to the Build Illinois Fund from
26the State and Local Sales Tax Reform Fund shall have been less

 

 

10000SB0990sam001- 48 -LRB100 07613 HLH 26683 a

1than 1/12 of the Annual Specified Amount, an amount equal to
2the difference shall be immediately paid into the Build
3Illinois Fund from other moneys received by the Department
4pursuant to the Tax Acts; and, further provided, that in no
5event shall the payments required under the preceding proviso
6result in aggregate payments into the Build Illinois Fund
7pursuant to this clause (b) for any fiscal year in excess of
8the greater of (i) the Tax Act Amount or (ii) the Annual
9Specified Amount for such fiscal year; and, further provided,
10that the amounts payable into the Build Illinois Fund under
11this clause (b) shall be payable only until such time as the
12aggregate amount on deposit under each trust indenture securing
13Bonds issued and outstanding pursuant to the Build Illinois
14Bond Act is sufficient, taking into account any future
15investment income, to fully provide, in accordance with such
16indenture, for the defeasance of or the payment of the
17principal of, premium, if any, and interest on the Bonds
18secured by such indenture and on any Bonds expected to be
19issued thereafter and all fees and costs payable with respect
20thereto, all as certified by the Director of the Bureau of the
21Budget (now Governor's Office of Management and Budget). If on
22the last business day of any month in which Bonds are
23outstanding pursuant to the Build Illinois Bond Act, the
24aggregate of the moneys deposited in the Build Illinois Bond
25Account in the Build Illinois Fund in such month shall be less
26than the amount required to be transferred in such month from

 

 

10000SB0990sam001- 49 -LRB100 07613 HLH 26683 a

1the Build Illinois Bond Account to the Build Illinois Bond
2Retirement and Interest Fund pursuant to Section 13 of the
3Build Illinois Bond Act, an amount equal to such deficiency
4shall be immediately paid from other moneys received by the
5Department pursuant to the Tax Acts to the Build Illinois Fund;
6provided, however, that any amounts paid to the Build Illinois
7Fund in any fiscal year pursuant to this sentence shall be
8deemed to constitute payments pursuant to clause (b) of the
9preceding sentence and shall reduce the amount otherwise
10payable for such fiscal year pursuant to clause (b) of the
11preceding sentence. The moneys received by the Department
12pursuant to this Act and required to be deposited into the
13Build Illinois Fund are subject to the pledge, claim and charge
14set forth in Section 12 of the Build Illinois Bond Act.
15    Subject to payment of amounts into the Build Illinois Fund
16as provided in the preceding paragraph or in any amendment
17thereto hereafter enacted, the following specified monthly
18installment of the amount requested in the certificate of the
19Chairman of the Metropolitan Pier and Exposition Authority
20provided under Section 8.25f of the State Finance Act, but not
21in excess of the sums designated as "Total Deposit", shall be
22deposited in the aggregate from collections under Section 9 of
23the Use Tax Act, Section 9 of the Service Use Tax Act, Section
249 of the Service Occupation Tax Act, and Section 3 of the
25Retailers' Occupation Tax Act into the McCormick Place
26Expansion Project Fund in the specified fiscal years.

 

 

10000SB0990sam001- 50 -LRB100 07613 HLH 26683 a

1Fiscal YearTotal Deposit
21993         $0
31994 53,000,000
41995 58,000,000
51996 61,000,000
61997 64,000,000
71998 68,000,000
81999 71,000,000
92000 75,000,000
102001 80,000,000
112002 93,000,000
122003 99,000,000
132004103,000,000
142005108,000,000
152006113,000,000
162007119,000,000
172008126,000,000
182009132,000,000
192010139,000,000
202011146,000,000
212012153,000,000
222013161,000,000
232014170,000,000
242015179,000,000
252016189,000,000

 

 

10000SB0990sam001- 51 -LRB100 07613 HLH 26683 a

12017199,000,000
22018210,000,000
32019221,000,000
42020233,000,000
52021246,000,000
62022260,000,000
72023275,000,000
82024 275,000,000
92025 275,000,000
102026 279,000,000
112027 292,000,000
122028 307,000,000
132029 322,000,000
142030 338,000,000
152031 350,000,000
162032 350,000,000
17and
18each fiscal year
19thereafter that bonds
20are outstanding under
21Section 13.2 of the
22Metropolitan Pier and
23Exposition Authority Act,
24but not after fiscal year 2060.
25    Beginning July 20, 1993 and in each month of each fiscal
26year thereafter, one-eighth of the amount requested in the

 

 

10000SB0990sam001- 52 -LRB100 07613 HLH 26683 a

1certificate of the Chairman of the Metropolitan Pier and
2Exposition Authority for that fiscal year, less the amount
3deposited into the McCormick Place Expansion Project Fund by
4the State Treasurer in the respective month under subsection
5(g) of Section 13 of the Metropolitan Pier and Exposition
6Authority Act, plus cumulative deficiencies in the deposits
7required under this Section for previous months and years,
8shall be deposited into the McCormick Place Expansion Project
9Fund, until the full amount requested for the fiscal year, but
10not in excess of the amount specified above as "Total Deposit",
11has been deposited.
12    Subject to payment of amounts into the Capital Projects
13Fund, the Clean Air Act (CAA) Permit Fund, the Build Illinois
14Fund, and the McCormick Place Expansion Project Fund pursuant
15to the preceding paragraphs or in any amendments thereto
16hereafter enacted, the Department shall each month deposit into
17the Aviation Fuel Sales Tax Refund Fund an amount estimated by
18the Department to be required for refunds of the 80% portion of
19the tax on aviation fuel under this Act.
20    Subject to payment of amounts into the Build Illinois Fund
21and the McCormick Place Expansion Project Fund pursuant to the
22preceding paragraphs or in any amendments thereto hereafter
23enacted, beginning July 1, 1993 and ending on September 30,
242013, the Department shall each month pay into the Illinois Tax
25Increment Fund 0.27% of 80% of the net revenue realized for the
26preceding month from the 6.25% general rate on the selling

 

 

10000SB0990sam001- 53 -LRB100 07613 HLH 26683 a

1price of tangible personal property.
2    Subject to payment of amounts into the Build Illinois Fund
3and the McCormick Place Expansion Project Fund pursuant to the
4preceding paragraphs or in any amendments thereto hereafter
5enacted, beginning with the receipt of the first report of
6taxes paid by an eligible business and continuing for a 25-year
7period, the Department shall each month pay into the Energy
8Infrastructure Fund 80% of the net revenue realized from the
96.25% general rate on the selling price of Illinois-mined coal
10that was sold to an eligible business. For purposes of this
11paragraph, the term "eligible business" means a new electric
12generating facility certified pursuant to Section 605-332 of
13the Department of Commerce and Economic Opportunity Law of the
14Civil Administrative Code of Illinois.
15    Subject to payment of amounts into the Build Illinois Fund,
16the McCormick Place Expansion Project Fund, the Illinois Tax
17Increment Fund, and the Energy Infrastructure Fund pursuant to
18the preceding paragraphs or in any amendments to this Section
19hereafter enacted, beginning on the first day of the first
20calendar month to occur on or after the effective date of this
21amendatory Act of the 98th General Assembly, each month, from
22the collections made under Section 9 of the Use Tax Act,
23Section 9 of the Service Use Tax Act, Section 9 of the Service
24Occupation Tax Act, and Section 3 of the Retailers' Occupation
25Tax Act, the Department shall pay into the Tax Compliance and
26Administration Fund, to be used, subject to appropriation, to

 

 

10000SB0990sam001- 54 -LRB100 07613 HLH 26683 a

1fund additional auditors and compliance personnel at the
2Department of Revenue, an amount equal to 1/12 of 5% of 80% of
3the cash receipts collected during the preceding fiscal year by
4the Audit Bureau of the Department under the Use Tax Act, the
5Service Use Tax Act, the Service Occupation Tax Act, the
6Retailers' Occupation Tax Act, and associated local occupation
7and use taxes administered by the Department (except the amount
8collected on aviation fuel sold on or after December 1, 2017).
9    Of the remainder of the moneys received by the Department
10pursuant to this Act, 75% thereof shall be paid into the
11General Revenue Fund of the State Treasury and 25% shall be
12reserved in a special account and used only for the transfer to
13the Common School Fund as part of the monthly transfer from the
14General Revenue Fund in accordance with Section 8a of the State
15Finance Act.
16    As soon as possible after the first day of each month, upon
17certification of the Department of Revenue, the Comptroller
18shall order transferred and the Treasurer shall transfer from
19the General Revenue Fund to the Motor Fuel Tax Fund an amount
20equal to 1.7% of 80% of the net revenue realized under this Act
21for the second preceding month. Beginning April 1, 2000, this
22transfer is no longer required and shall not be made.
23    Net revenue realized for a month shall be the revenue
24collected by the State pursuant to this Act, less the amount
25paid out during that month as refunds to taxpayers for
26overpayment of liability.

 

 

10000SB0990sam001- 55 -LRB100 07613 HLH 26683 a

1(Source: P.A. 98-24, eff. 6-19-13; 98-109, eff. 7-25-13;
298-298, eff. 8-9-13; 98-496, eff. 1-1-14; 98-756, eff. 7-16-14;
398-1098, eff. 8-26-14; 99-352, eff. 8-12-15; 99-858, eff.
48-19-16.)
 
5    (35 ILCS 110/17)  (from Ch. 120, par. 439.47)
6    Sec. 17. If it shall appear that an amount of tax or
7penalty or interest has been paid in error hereunder to the
8Department by a purchaser, as distinguished from the
9serviceman, whether such amount be paid through a mistake of
10fact or an error of law, such purchaser may file a claim for
11credit or refund with the Department. If it shall appear that
12an amount of tax or penalty or interest has been paid in error
13to the Department hereunder by a serviceman who is required or
14authorized to collect and remit the Service Use Tax, whether
15such amount be paid through a mistake of fact or an error of
16law, such serviceman may file a claim for credit or refund with
17the Department, provided that no credit shall be allowed or
18refund made for any amount paid by any such serviceman unless
19it shall appear that he bore the burden of such amount and did
20not shift the burden thereof to anyone else (as in the case of
21a duplicated tax payment which the serviceman made to the
22Department and did not collect from anyone else), or unless it
23shall appear that he or his legal representative has
24unconditionally repaid such amount to his vendee (1) who bore
25the burden thereof and has not shifted such burden directly or

 

 

10000SB0990sam001- 56 -LRB100 07613 HLH 26683 a

1indirectly in any manner whatsoever; (2) who, if he has shifted
2such burden, has repaid unconditionally such amount to his own
3vendee, and (3) who is not entitled to receive any
4reimbursement therefor from any other source than from his
5vendor, nor to be relieved of such burden in any other manner
6whatsoever. If it shall appear that an amount of tax has been
7paid in error hereunder by the purchaser to a serviceman, who
8retained such tax as reimbursement for his tax liability on the
9same sale of service under the Service Occupation Tax Act, and
10who paid such tax as required by the Service Occupation Tax
11Act, whether such amount be paid through a mistake of fact or
12an error of law, the procedure for recovering such tax shall be
13that prescribed in Sections 17, 18, 19 and 20 of the Service
14Occupation Tax Act.
15    Any credit or refund that is allowed under this Section
16shall bear interest at the rate and in the manner specified in
17the Uniform Penalty and Interest Act.
18    Any claim filed hereunder shall be filed upon a form
19prescribed and furnished by the Department. The claim shall be
20signed by the claimant (or by the claimant's legal
21representative if the claimant shall have died or become a
22person under legal disability), or by a duly authorized agent
23of the claimant or his or her legal representative.
24    A claim for credit or refund shall be considered to have
25been filed with the Department on the date upon which it is
26received by the Department. Upon receipt of any claim for

 

 

10000SB0990sam001- 57 -LRB100 07613 HLH 26683 a

1credit or refund filed under this Act, any officer or employee
2of the Department, authorized in writing by the Director of
3Revenue to acknowledge receipt of such claims on behalf of the
4Department, shall execute on behalf of the Department, and
5shall deliver or mail to the claimant or his duly authorized
6agent, a written receipt, acknowledging that the claim has been
7filed with the Department, describing the claim in sufficient
8detail to identify it and stating the date upon which the claim
9was received by the Department. Such written receipt shall be
10prima facie evidence that the Department received the claim
11described in such receipt and shall be prima facie evidence of
12the date when such claim was received by the Department. In the
13absence of such a written receipt, the records of the
14Department as to when the claim was received by the Department,
15or as to whether or not the claim was received at all by the
16Department, shall be deemed to be prima facie correct upon
17these questions in the event of any dispute between the
18claimant (or his or her legal representative) and the
19Department concerning these questions.
20    In case the Department determines that the claimant is
21entitled to a refund, such refund shall be made only from the
22Aviation Fuel Sales Tax Refund Fund or from such appropriation
23as may be available for that purpose, as appropriate. If it
24appears unlikely that the amount available appropriated would
25permit everyone having a claim allowed during the period
26covered by such appropriation or from the Aviation Fuel Sales

 

 

10000SB0990sam001- 58 -LRB100 07613 HLH 26683 a

1Tax Refund Fund, as appropriate, to elect to receive a cash
2refund, the Department, by rule or regulation, shall provide
3for the payment of refunds in hardship cases and shall define
4what types of cases qualify as hardship cases.
5(Source: P.A. 87-205.)
 
6    Section 20. The Service Occupation Tax Act is amended by
7changing Sections 9 and 17 as follows:
 
8    (35 ILCS 115/9)  (from Ch. 120, par. 439.109)
9    Sec. 9. Each serviceman required or authorized to collect
10the tax herein imposed shall pay to the Department the amount
11of such tax at the time when he is required to file his return
12for the period during which such tax was collectible, less a
13discount of 2.1% prior to January 1, 1990, and 1.75% on and
14after January 1, 1990, or $5 per calendar year, whichever is
15greater, which is allowed to reimburse the serviceman for
16expenses incurred in collecting the tax, keeping records,
17preparing and filing returns, remitting the tax and supplying
18data to the Department on request. The discount under this
19Section is not allowed for taxes paid on aviation fuel that are
20deposited into the State Aviation Program Fund under this Act.
21The Department may disallow the discount for servicemen whose
22certificate of registration is revoked at the time the return
23is filed, but only if the Department's decision to revoke the
24certificate of registration has become final.

 

 

10000SB0990sam001- 59 -LRB100 07613 HLH 26683 a

1    Where such tangible personal property is sold under a
2conditional sales contract, or under any other form of sale
3wherein the payment of the principal sum, or a part thereof, is
4extended beyond the close of the period for which the return is
5filed, the serviceman, in collecting the tax may collect, for
6each tax return period, only the tax applicable to the part of
7the selling price actually received during such tax return
8period.
9    Except as provided hereinafter in this Section, on or
10before the twentieth day of each calendar month, such
11serviceman shall file a return for the preceding calendar month
12in accordance with reasonable rules and regulations to be
13promulgated by the Department of Revenue. Such return shall be
14filed on a form prescribed by the Department and shall contain
15such information as the Department may reasonably require.
16    The Department may require returns to be filed on a
17quarterly basis. If so required, a return for each calendar
18quarter shall be filed on or before the twentieth day of the
19calendar month following the end of such calendar quarter. The
20taxpayer shall also file a return with the Department for each
21of the first two months of each calendar quarter, on or before
22the twentieth day of the following calendar month, stating:
23        1. The name of the seller;
24        2. The address of the principal place of business from
25    which he engages in business as a serviceman in this State;
26        3. The total amount of taxable receipts received by him

 

 

10000SB0990sam001- 60 -LRB100 07613 HLH 26683 a

1    during the preceding calendar month, including receipts
2    from charge and time sales, but less all deductions allowed
3    by law;
4        4. The amount of credit provided in Section 2d of this
5    Act;
6        5. The amount of tax due;
7        5-5. The signature of the taxpayer; and
8        6. Such other reasonable information as the Department
9    may require.
10    Beginning on January 1, 2018, each serviceman required or
11authorized to collect the tax herein imposed on aviation fuel
12acquired as an incident to the purchase of a service in this
13State during the preceding calendar month shall, instead of
14reporting and paying tax as otherwise required by this Section,
15file an aviation fuel tax return with the Department on or
16before the twentieth day of each calendar month. The
17requirements related to the return shall be as otherwise
18provided in this Section. Notwithstanding any other provisions
19of this Act to the contrary, servicemen transferring aviation
20fuel incident to sales of service shall file all aviation fuel
21tax returns and shall make all aviation fuel tax payments by
22electronic means in the manner and form required by the
23Department. For purposes of this paragraph, "aviation fuel"
24means a product that is intended for use or offered for sale as
25fuel for an aircraft.
26    If a taxpayer fails to sign a return within 30 days after

 

 

10000SB0990sam001- 61 -LRB100 07613 HLH 26683 a

1the proper notice and demand for signature by the Department,
2the return shall be considered valid and any amount shown to be
3due on the return shall be deemed assessed.
4    Prior to October 1, 2003, and on and after September 1,
52004 a serviceman may accept a Manufacturer's Purchase Credit
6certification from a purchaser in satisfaction of Service Use
7Tax as provided in Section 3-70 of the Service Use Tax Act if
8the purchaser provides the appropriate documentation as
9required by Section 3-70 of the Service Use Tax Act. A
10Manufacturer's Purchase Credit certification, accepted prior
11to October 1, 2003 or on or after September 1, 2004 by a
12serviceman as provided in Section 3-70 of the Service Use Tax
13Act, may be used by that serviceman to satisfy Service
14Occupation Tax liability in the amount claimed in the
15certification, not to exceed 6.25% of the receipts subject to
16tax from a qualifying purchase. A Manufacturer's Purchase
17Credit reported on any original or amended return filed under
18this Act after October 20, 2003 for reporting periods prior to
19September 1, 2004 shall be disallowed. Manufacturer's Purchase
20Credit reported on annual returns due on or after January 1,
212005 will be disallowed for periods prior to September 1, 2004.
22No Manufacturer's Purchase Credit may be used after September
2330, 2003 through August 31, 2004 to satisfy any tax liability
24imposed under this Act, including any audit liability.
25    If the serviceman's average monthly tax liability to the
26Department does not exceed $200, the Department may authorize

 

 

10000SB0990sam001- 62 -LRB100 07613 HLH 26683 a

1his returns to be filed on a quarter annual basis, with the
2return for January, February and March of a given year being
3due by April 20 of such year; with the return for April, May
4and June of a given year being due by July 20 of such year; with
5the return for July, August and September of a given year being
6due by October 20 of such year, and with the return for
7October, November and December of a given year being due by
8January 20 of the following year.
9    If the serviceman's average monthly tax liability to the
10Department does not exceed $50, the Department may authorize
11his returns to be filed on an annual basis, with the return for
12a given year being due by January 20 of the following year.
13    Such quarter annual and annual returns, as to form and
14substance, shall be subject to the same requirements as monthly
15returns.
16    Notwithstanding any other provision in this Act concerning
17the time within which a serviceman may file his return, in the
18case of any serviceman who ceases to engage in a kind of
19business which makes him responsible for filing returns under
20this Act, such serviceman shall file a final return under this
21Act with the Department not more than 1 month after
22discontinuing such business.
23    Beginning October 1, 1993, a taxpayer who has an average
24monthly tax liability of $150,000 or more shall make all
25payments required by rules of the Department by electronic
26funds transfer. Beginning October 1, 1994, a taxpayer who has

 

 

10000SB0990sam001- 63 -LRB100 07613 HLH 26683 a

1an average monthly tax liability of $100,000 or more shall make
2all payments required by rules of the Department by electronic
3funds transfer. Beginning October 1, 1995, a taxpayer who has
4an average monthly tax liability of $50,000 or more shall make
5all payments required by rules of the Department by electronic
6funds transfer. Beginning October 1, 2000, a taxpayer who has
7an annual tax liability of $200,000 or more shall make all
8payments required by rules of the Department by electronic
9funds transfer. The term "annual tax liability" shall be the
10sum of the taxpayer's liabilities under this Act, and under all
11other State and local occupation and use tax laws administered
12by the Department, for the immediately preceding calendar year.
13The term "average monthly tax liability" means the sum of the
14taxpayer's liabilities under this Act, and under all other
15State and local occupation and use tax laws administered by the
16Department, for the immediately preceding calendar year
17divided by 12. Beginning on October 1, 2002, a taxpayer who has
18a tax liability in the amount set forth in subsection (b) of
19Section 2505-210 of the Department of Revenue Law shall make
20all payments required by rules of the Department by electronic
21funds transfer.
22    Before August 1 of each year beginning in 1993, the
23Department shall notify all taxpayers required to make payments
24by electronic funds transfer. All taxpayers required to make
25payments by electronic funds transfer shall make those payments
26for a minimum of one year beginning on October 1.

 

 

10000SB0990sam001- 64 -LRB100 07613 HLH 26683 a

1    Any taxpayer not required to make payments by electronic
2funds transfer may make payments by electronic funds transfer
3with the permission of the Department.
4    All taxpayers required to make payment by electronic funds
5transfer and any taxpayers authorized to voluntarily make
6payments by electronic funds transfer shall make those payments
7in the manner authorized by the Department.
8    The Department shall adopt such rules as are necessary to
9effectuate a program of electronic funds transfer and the
10requirements of this Section.
11    Where a serviceman collects the tax with respect to the
12selling price of tangible personal property which he sells and
13the purchaser thereafter returns such tangible personal
14property and the serviceman refunds the selling price thereof
15to the purchaser, such serviceman shall also refund, to the
16purchaser, the tax so collected from the purchaser. When filing
17his return for the period in which he refunds such tax to the
18purchaser, the serviceman may deduct the amount of the tax so
19refunded by him to the purchaser from any other Service
20Occupation Tax, Service Use Tax, Retailers' Occupation Tax or
21Use Tax which such serviceman may be required to pay or remit
22to the Department, as shown by such return, provided that the
23amount of the tax to be deducted shall previously have been
24remitted to the Department by such serviceman. If the
25serviceman shall not previously have remitted the amount of
26such tax to the Department, he shall be entitled to no

 

 

10000SB0990sam001- 65 -LRB100 07613 HLH 26683 a

1deduction hereunder upon refunding such tax to the purchaser.
2    If experience indicates such action to be practicable, the
3Department may prescribe and furnish a combination or joint
4return which will enable servicemen, who are required to file
5returns hereunder and also under the Retailers' Occupation Tax
6Act, the Use Tax Act or the Service Use Tax Act, to furnish all
7the return information required by all said Acts on the one
8form.
9    Where the serviceman has more than one business registered
10with the Department under separate registrations hereunder,
11such serviceman shall file separate returns for each registered
12business.
13    Beginning January 1, 1990, each month the Department shall
14pay into the Local Government Tax Fund the revenue realized for
15the preceding month from the 1% tax on sales of food for human
16consumption which is to be consumed off the premises where it
17is sold (other than alcoholic beverages, soft drinks and food
18which has been prepared for immediate consumption) and
19prescription and nonprescription medicines, drugs, medical
20appliances, products classified as Class III medical devices by
21the United States Food and Drug Administration that are used
22for cancer treatment pursuant to a prescription, as well as any
23accessories and components related to those devices, and
24insulin, urine testing materials, syringes and needles used by
25diabetics.
26    Beginning January 1, 1990, each month the Department shall

 

 

10000SB0990sam001- 66 -LRB100 07613 HLH 26683 a

1pay into the County and Mass Transit District Fund 4% of the
2revenue realized for the preceding month from the 6.25% general
3rate on sales of tangible personal property other than aviation
4fuel sold on or after December 1, 2017. This exception for
5aviation fuel only applies for so long as the revenue use
6requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
7binding on the State.
8    For aviation fuel sold on or after December 1, 2017, each
9month the Department shall pay into the State Aviation Program
10Fund 4% of the net revenue realized for the preceding month
11from the 6.25% general rate on the selling price of aviation
12fuel, less an amount estimated by the Department to be required
13for refunds of the 4% portion of the tax on aviation fuel under
14this Act, which amount shall be deposited into the Aviation
15Fuel Sales Tax Refund Fund. The Department shall only pay
16moneys into the State Aviation Program Fund and the Aviation
17Fuel Sales Tax Refund Fund under this Act for so long as the
18revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
1947133 are binding on the State.
20    Beginning August 1, 2000, each month the Department shall
21pay into the County and Mass Transit District Fund 20% of the
22net revenue realized for the preceding month from the 1.25%
23rate on the selling price of motor fuel and gasohol.
24    Beginning January 1, 1990, each month the Department shall
25pay into the Local Government Tax Fund 16% of the revenue
26realized for the preceding month from the 6.25% general rate on

 

 

10000SB0990sam001- 67 -LRB100 07613 HLH 26683 a

1transfers of tangible personal property other than aviation
2fuel sold on or after December 1, 2017. This exception for
3aviation fuel only applies for so long as the revenue use
4requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
5binding on the State.
6    For aviation fuel sold on or after December 1, 2017, each
7month the Department shall pay into the State Aviation Program
8Fund 16% of the net revenue realized for the preceding month
9from the 6.25% general rate on the selling price of aviation
10fuel, less an amount estimated by the Department to be required
11for refunds of the 16% portion of the tax on aviation fuel
12under this Act, which amount shall be deposited into the
13Aviation Fuel Sales Tax Refund Fund. The Department shall only
14pay moneys into the State Aviation Program Fund and the
15Aviation Fuel Sales Tax Refund Fund under this Act for so long
16as the revenue use requirements of 49 U.S.C. 47107(b) and 49
17U.S.C. 47133 are binding on the State.
18    Beginning August 1, 2000, each month the Department shall
19pay into the Local Government Tax Fund 80% of the net revenue
20realized for the preceding month from the 1.25% rate on the
21selling price of motor fuel and gasohol.
22    Beginning October 1, 2009, each month the Department shall
23pay into the Capital Projects Fund an amount that is equal to
24an amount estimated by the Department to represent 80% of the
25net revenue realized for the preceding month from the sale of
26candy, grooming and hygiene products, and soft drinks that had

 

 

10000SB0990sam001- 68 -LRB100 07613 HLH 26683 a

1been taxed at a rate of 1% prior to September 1, 2009 but that
2are now taxed at 6.25%.
3    Beginning July 1, 2013, each month the Department shall pay
4into the Underground Storage Tank Fund from the proceeds
5collected under this Act, the Use Tax Act, the Service Use Tax
6Act, and the Retailers' Occupation Tax Act an amount equal to
7the average monthly deficit in the Underground Storage Tank
8Fund during the prior year, as certified annually by the
9Illinois Environmental Protection Agency, but the total
10payment into the Underground Storage Tank Fund under this Act,
11the Use Tax Act, the Service Use Tax Act, and the Retailers'
12Occupation Tax Act shall not exceed $18,000,000 in any State
13fiscal year. As used in this paragraph, the "average monthly
14deficit" shall be equal to the difference between the average
15monthly claims for payment by the fund and the average monthly
16revenues deposited into the fund, excluding payments made
17pursuant to this paragraph.
18    Beginning July 1, 2015, of the remainder of the moneys
19received by the Department under the Use Tax Act, the Service
20Use Tax Act, this Act, and the Retailers' Occupation Tax Act,
21each month the Department shall deposit $500,000 into the State
22Crime Laboratory Fund.
23    Of the remainder of the moneys received by the Department
24pursuant to this Act, (a) 1.75% thereof shall be paid into the
25Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
26and after July 1, 1989, 3.8% thereof shall be paid into the

 

 

10000SB0990sam001- 69 -LRB100 07613 HLH 26683 a

1Build Illinois Fund; provided, however, that if in any fiscal
2year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
3may be, of the moneys received by the Department and required
4to be paid into the Build Illinois Fund pursuant to Section 3
5of the Retailers' Occupation Tax Act, Section 9 of the Use Tax
6Act, Section 9 of the Service Use Tax Act, and Section 9 of the
7Service Occupation Tax Act, such Acts being hereinafter called
8the "Tax Acts" and such aggregate of 2.2% or 3.8%, as the case
9may be, of moneys being hereinafter called the "Tax Act
10Amount", and (2) the amount transferred to the Build Illinois
11Fund from the State and Local Sales Tax Reform Fund shall be
12less than the Annual Specified Amount (as defined in Section 3
13of the Retailers' Occupation Tax Act), an amount equal to the
14difference shall be immediately paid into the Build Illinois
15Fund from other moneys received by the Department pursuant to
16the Tax Acts; and further provided, that if on the last
17business day of any month the sum of (1) the Tax Act Amount
18required to be deposited into the Build Illinois Account in the
19Build Illinois Fund during such month and (2) the amount
20transferred during such month to the Build Illinois Fund from
21the State and Local Sales Tax Reform Fund shall have been less
22than 1/12 of the Annual Specified Amount, an amount equal to
23the difference shall be immediately paid into the Build
24Illinois Fund from other moneys received by the Department
25pursuant to the Tax Acts; and, further provided, that in no
26event shall the payments required under the preceding proviso

 

 

10000SB0990sam001- 70 -LRB100 07613 HLH 26683 a

1result in aggregate payments into the Build Illinois Fund
2pursuant to this clause (b) for any fiscal year in excess of
3the greater of (i) the Tax Act Amount or (ii) the Annual
4Specified Amount for such fiscal year; and, further provided,
5that the amounts payable into the Build Illinois Fund under
6this clause (b) shall be payable only until such time as the
7aggregate amount on deposit under each trust indenture securing
8Bonds issued and outstanding pursuant to the Build Illinois
9Bond Act is sufficient, taking into account any future
10investment income, to fully provide, in accordance with such
11indenture, for the defeasance of or the payment of the
12principal of, premium, if any, and interest on the Bonds
13secured by such indenture and on any Bonds expected to be
14issued thereafter and all fees and costs payable with respect
15thereto, all as certified by the Director of the Bureau of the
16Budget (now Governor's Office of Management and Budget). If on
17the last business day of any month in which Bonds are
18outstanding pursuant to the Build Illinois Bond Act, the
19aggregate of the moneys deposited in the Build Illinois Bond
20Account in the Build Illinois Fund in such month shall be less
21than the amount required to be transferred in such month from
22the Build Illinois Bond Account to the Build Illinois Bond
23Retirement and Interest Fund pursuant to Section 13 of the
24Build Illinois Bond Act, an amount equal to such deficiency
25shall be immediately paid from other moneys received by the
26Department pursuant to the Tax Acts to the Build Illinois Fund;

 

 

10000SB0990sam001- 71 -LRB100 07613 HLH 26683 a

1provided, however, that any amounts paid to the Build Illinois
2Fund in any fiscal year pursuant to this sentence shall be
3deemed to constitute payments pursuant to clause (b) of the
4preceding sentence and shall reduce the amount otherwise
5payable for such fiscal year pursuant to clause (b) of the
6preceding sentence. The moneys received by the Department
7pursuant to this Act and required to be deposited into the
8Build Illinois Fund are subject to the pledge, claim and charge
9set forth in Section 12 of the Build Illinois Bond Act.
10    Subject to payment of amounts into the Build Illinois Fund
11as provided in the preceding paragraph or in any amendment
12thereto hereafter enacted, the following specified monthly
13installment of the amount requested in the certificate of the
14Chairman of the Metropolitan Pier and Exposition Authority
15provided under Section 8.25f of the State Finance Act, but not
16in excess of the sums designated as "Total Deposit", shall be
17deposited in the aggregate from collections under Section 9 of
18the Use Tax Act, Section 9 of the Service Use Tax Act, Section
199 of the Service Occupation Tax Act, and Section 3 of the
20Retailers' Occupation Tax Act into the McCormick Place
21Expansion Project Fund in the specified fiscal years.
22Fiscal YearTotal Deposit
231993         $0
241994 53,000,000
251995 58,000,000

 

 

10000SB0990sam001- 72 -LRB100 07613 HLH 26683 a

11996 61,000,000
21997 64,000,000
31998 68,000,000
41999 71,000,000
52000 75,000,000
62001 80,000,000
72002 93,000,000
82003 99,000,000
92004103,000,000
102005108,000,000
112006113,000,000
122007119,000,000
132008126,000,000
142009132,000,000
152010139,000,000
162011146,000,000
172012153,000,000
182013161,000,000
192014170,000,000
202015179,000,000
212016189,000,000
222017199,000,000
232018210,000,000
242019221,000,000
252020233,000,000
262021246,000,000

 

 

10000SB0990sam001- 73 -LRB100 07613 HLH 26683 a

12022260,000,000
22023275,000,000
32024 275,000,000
42025 275,000,000
52026 279,000,000
62027 292,000,000
72028 307,000,000
82029 322,000,000
92030 338,000,000
102031 350,000,000
112032 350,000,000
12and
13each fiscal year
14thereafter that bonds
15are outstanding under
16Section 13.2 of the
17Metropolitan Pier and
18Exposition Authority Act,
19but not after fiscal year 2060.
20    Beginning July 20, 1993 and in each month of each fiscal
21year thereafter, one-eighth of the amount requested in the
22certificate of the Chairman of the Metropolitan Pier and
23Exposition Authority for that fiscal year, less the amount
24deposited into the McCormick Place Expansion Project Fund by
25the State Treasurer in the respective month under subsection
26(g) of Section 13 of the Metropolitan Pier and Exposition

 

 

10000SB0990sam001- 74 -LRB100 07613 HLH 26683 a

1Authority Act, plus cumulative deficiencies in the deposits
2required under this Section for previous months and years,
3shall be deposited into the McCormick Place Expansion Project
4Fund, until the full amount requested for the fiscal year, but
5not in excess of the amount specified above as "Total Deposit",
6has been deposited.
7    Subject to payment of amounts into the Capital Projects
8Fund, the Build Illinois Fund, and the McCormick Place
9Expansion Project Fund pursuant to the preceding paragraphs or
10in any amendments thereto hereafter enacted, the Department
11shall each month deposit into the Aviation Fuel Sales Tax
12Refund Fund an amount estimated by the Department to be
13required for refunds of the 80% portion of the tax on aviation
14fuel under this Act.
15    Subject to payment of amounts into the Build Illinois Fund
16and the McCormick Place Expansion Project Fund pursuant to the
17preceding paragraphs or in any amendments thereto hereafter
18enacted, beginning July 1, 1993 and ending on September 30,
192013, the Department shall each month pay into the Illinois Tax
20Increment Fund 0.27% of 80% of the net revenue realized for the
21preceding month from the 6.25% general rate on the selling
22price of tangible personal property.
23    Subject to payment of amounts into the Build Illinois Fund
24and the McCormick Place Expansion Project Fund pursuant to the
25preceding paragraphs or in any amendments thereto hereafter
26enacted, beginning with the receipt of the first report of

 

 

10000SB0990sam001- 75 -LRB100 07613 HLH 26683 a

1taxes paid by an eligible business and continuing for a 25-year
2period, the Department shall each month pay into the Energy
3Infrastructure Fund 80% of the net revenue realized from the
46.25% general rate on the selling price of Illinois-mined coal
5that was sold to an eligible business. For purposes of this
6paragraph, the term "eligible business" means a new electric
7generating facility certified pursuant to Section 605-332 of
8the Department of Commerce and Economic Opportunity Law of the
9Civil Administrative Code of Illinois.
10    Subject to payment of amounts into the Build Illinois Fund,
11the McCormick Place Expansion Project Fund, the Illinois Tax
12Increment Fund, and the Energy Infrastructure Fund pursuant to
13the preceding paragraphs or in any amendments to this Section
14hereafter enacted, beginning on the first day of the first
15calendar month to occur on or after the effective date of this
16amendatory Act of the 98th General Assembly, each month, from
17the collections made under Section 9 of the Use Tax Act,
18Section 9 of the Service Use Tax Act, Section 9 of the Service
19Occupation Tax Act, and Section 3 of the Retailers' Occupation
20Tax Act, the Department shall pay into the Tax Compliance and
21Administration Fund, to be used, subject to appropriation, to
22fund additional auditors and compliance personnel at the
23Department of Revenue, an amount equal to 1/12 of 5% of 80% of
24the cash receipts collected during the preceding fiscal year by
25the Audit Bureau of the Department under the Use Tax Act, the
26Service Use Tax Act, the Service Occupation Tax Act, the

 

 

10000SB0990sam001- 76 -LRB100 07613 HLH 26683 a

1Retailers' Occupation Tax Act, and associated local occupation
2and use taxes administered by the Department (except the amount
3collected on aviation fuel sold on or after December 1, 2017).
4    Of the remainder of the moneys received by the Department
5pursuant to this Act, 75% shall be paid into the General
6Revenue Fund of the State Treasury and 25% shall be reserved in
7a special account and used only for the transfer to the Common
8School Fund as part of the monthly transfer from the General
9Revenue Fund in accordance with Section 8a of the State Finance
10Act.
11    The Department may, upon separate written notice to a
12taxpayer, require the taxpayer to prepare and file with the
13Department on a form prescribed by the Department within not
14less than 60 days after receipt of the notice an annual
15information return for the tax year specified in the notice.
16Such annual return to the Department shall include a statement
17of gross receipts as shown by the taxpayer's last Federal
18income tax return. If the total receipts of the business as
19reported in the Federal income tax return do not agree with the
20gross receipts reported to the Department of Revenue for the
21same period, the taxpayer shall attach to his annual return a
22schedule showing a reconciliation of the 2 amounts and the
23reasons for the difference. The taxpayer's annual return to the
24Department shall also disclose the cost of goods sold by the
25taxpayer during the year covered by such return, opening and
26closing inventories of such goods for such year, cost of goods

 

 

10000SB0990sam001- 77 -LRB100 07613 HLH 26683 a

1used from stock or taken from stock and given away by the
2taxpayer during such year, pay roll information of the
3taxpayer's business during such year and any additional
4reasonable information which the Department deems would be
5helpful in determining the accuracy of the monthly, quarterly
6or annual returns filed by such taxpayer as hereinbefore
7provided for in this Section.
8    If the annual information return required by this Section
9is not filed when and as required, the taxpayer shall be liable
10as follows:
11        (i) Until January 1, 1994, the taxpayer shall be liable
12    for a penalty equal to 1/6 of 1% of the tax due from such
13    taxpayer under this Act during the period to be covered by
14    the annual return for each month or fraction of a month
15    until such return is filed as required, the penalty to be
16    assessed and collected in the same manner as any other
17    penalty provided for in this Act.
18        (ii) On and after January 1, 1994, the taxpayer shall
19    be liable for a penalty as described in Section 3-4 of the
20    Uniform Penalty and Interest Act.
21    The chief executive officer, proprietor, owner or highest
22ranking manager shall sign the annual return to certify the
23accuracy of the information contained therein. Any person who
24willfully signs the annual return containing false or
25inaccurate information shall be guilty of perjury and punished
26accordingly. The annual return form prescribed by the

 

 

10000SB0990sam001- 78 -LRB100 07613 HLH 26683 a

1Department shall include a warning that the person signing the
2return may be liable for perjury.
3    The foregoing portion of this Section concerning the filing
4of an annual information return shall not apply to a serviceman
5who is not required to file an income tax return with the
6United States Government.
7    As soon as possible after the first day of each month, upon
8certification of the Department of Revenue, the Comptroller
9shall order transferred and the Treasurer shall transfer from
10the General Revenue Fund to the Motor Fuel Tax Fund an amount
11equal to 1.7% of 80% of the net revenue realized under this Act
12for the second preceding month. Beginning April 1, 2000, this
13transfer is no longer required and shall not be made.
14    Net revenue realized for a month shall be the revenue
15collected by the State pursuant to this Act, less the amount
16paid out during that month as refunds to taxpayers for
17overpayment of liability.
18    For greater simplicity of administration, it shall be
19permissible for manufacturers, importers and wholesalers whose
20products are sold by numerous servicemen in Illinois, and who
21wish to do so, to assume the responsibility for accounting and
22paying to the Department all tax accruing under this Act with
23respect to such sales, if the servicemen who are affected do
24not make written objection to the Department to this
25arrangement.
26(Source: P.A. 98-24, eff. 6-19-13; 98-109, eff. 7-25-13;

 

 

10000SB0990sam001- 79 -LRB100 07613 HLH 26683 a

198-298, eff. 8-9-13; 98-496, eff. 1-1-14; 98-756, eff. 7-16-14;
298-1098, eff. 8-26-14; 99-352, eff. 8-12-15; 99-858, eff.
38-19-16.)
 
4    (35 ILCS 115/17)  (from Ch. 120, par. 439.117)
5    Sec. 17. If it shall appear that an amount of tax or
6penalty or interest has been paid in error hereunder directly
7to the Department by a serviceman, whether such amount be paid
8through a mistake of fact or an error of law, such serviceman
9may file a claim for credit or refund with the Department. If
10it shall appear that an amount of tax or penalty or interest
11has been paid in error to the Department hereunder by a
12supplier who is required or authorized to collect and remit the
13Service Occupation Tax, whether such amount be paid through a
14mistake of fact or an error of law, such supplier may file a
15claim for credit or refund with the Department, provided that
16no credit shall be allowed nor any refund made for any amount
17paid by any such supplier unless it shall appear that he bore
18the burden of such amount and did not shift the burden thereof
19to anyone else (as in the case of a duplicated tax payment
20which the supplier made to the Department and did not collect
21from anyone else), or unless it shall appear that he or his
22legal representative has unconditionally repaid such amount to
23his vendee (1) who bore the burden thereof and has not shifted
24such burden directly or indirectly in any manner whatsoever;
25(2) who, if he has shifted such burden, has repaid

 

 

10000SB0990sam001- 80 -LRB100 07613 HLH 26683 a

1unconditionally such amount to his own vendee, and (3) who is
2not entitled to receive any reimbursement therefor from any
3other source than from his supplier, nor to be relieved of such
4burden in any other manner whatsoever.
5    Any credit or refund that is allowed under this Section
6shall bear interest at the rate and in the manner specified in
7the Uniform Penalty and Interest Act.
8    Any claim filed hereunder shall be filed upon a form
9prescribed and furnished by the Department. The claim shall be
10signed by the claimant (or by the claimant's legal
11representative if the claimant shall have died or become a
12person under legal disability), or by a duly authorized agent
13of the claimant or his or her legal representative.
14    A claim for credit or refund shall be considered to have
15been filed with the Department on the date upon which it is
16received by the Department. Upon receipt of any claim for
17credit or refund filed under this Act, any officer or employee
18of the Department, authorized in writing by the Director of
19Revenue to acknowledge receipt of such claims on behalf of the
20Department, shall execute on behalf of the Department, and
21shall deliver or mail to the claimant or his or her duly
22authorized agent, a written receipt, acknowledging that the
23claim has been filed with the Department, describing the claim
24in sufficient detail to identify it and stating the date upon
25which the claim was received by the Department. Such written
26receipt shall be prima facie evidence that the Department

 

 

10000SB0990sam001- 81 -LRB100 07613 HLH 26683 a

1received the claim described in such receipt and shall be prima
2facie evidence of the date when such claim was received by the
3Department. In the absence of such a written receipt, the
4records of the Department as to when the claim was received by
5the Department, or as to whether or not the claim was received
6at all by the Department, shall be deemed to be prima facie
7correct upon these questions in the event of any dispute
8between the claimant (or his legal representative) and the
9Department concerning these questions.
10    In case the Department determines that the claimant is
11entitled to a refund, such refund shall be made only from the
12Aviation Fuel Sales Tax Refund Fund or from such appropriation
13as may be available for that purpose, as appropriate. If it
14appears unlikely that the amount available appropriated would
15permit everyone having a claim allowed during the period
16covered by such appropriation or from the Aviation Fuel Sales
17Tax Refund Fund, as appropriate, to elect to receive a cash
18refund, the Department, by rule or regulation, shall provide
19for the payment of refunds in hardship cases and shall define
20what types of cases qualify as hardship cases.
21(Source: P.A. 87-205.)
 
22    Section 25. The Retailers' Occupation Tax Act is amended by
23changing Sections 3, 6, and 11 as follows:
 
24    (35 ILCS 120/3)  (from Ch. 120, par. 442)

 

 

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1    Sec. 3. Except as provided in this Section, on or before
2the twentieth day of each calendar month, every person engaged
3in the business of selling tangible personal property at retail
4in this State during the preceding calendar month shall file a
5return with the Department, stating:
6        1. The name of the seller;
7        2. His residence address and the address of his
8    principal place of business and the address of the
9    principal place of business (if that is a different
10    address) from which he engages in the business of selling
11    tangible personal property at retail in this State;
12        3. Total amount of receipts received by him during the
13    preceding calendar month or quarter, as the case may be,
14    from sales of tangible personal property, and from services
15    furnished, by him during such preceding calendar month or
16    quarter;
17        4. Total amount received by him during the preceding
18    calendar month or quarter on charge and time sales of
19    tangible personal property, and from services furnished,
20    by him prior to the month or quarter for which the return
21    is filed;
22        5. Deductions allowed by law;
23        6. Gross receipts which were received by him during the
24    preceding calendar month or quarter and upon the basis of
25    which the tax is imposed;
26        7. The amount of credit provided in Section 2d of this

 

 

10000SB0990sam001- 83 -LRB100 07613 HLH 26683 a

1    Act;
2        8. The amount of tax due;
3        9. The signature of the taxpayer; and
4        10. Such other reasonable information as the
5    Department may require.
6    If a taxpayer fails to sign a return within 30 days after
7the proper notice and demand for signature by the Department,
8the return shall be considered valid and any amount shown to be
9due on the return shall be deemed assessed.
10    Each return shall be accompanied by the statement of
11prepaid tax issued pursuant to Section 2e for which credit is
12claimed.
13    Prior to October 1, 2003, and on and after September 1,
142004 a retailer may accept a Manufacturer's Purchase Credit
15certification from a purchaser in satisfaction of Use Tax as
16provided in Section 3-85 of the Use Tax Act if the purchaser
17provides the appropriate documentation as required by Section
183-85 of the Use Tax Act. A Manufacturer's Purchase Credit
19certification, accepted by a retailer prior to October 1, 2003
20and on and after September 1, 2004 as provided in Section 3-85
21of the Use Tax Act, may be used by that retailer to satisfy
22Retailers' Occupation Tax liability in the amount claimed in
23the certification, not to exceed 6.25% of the receipts subject
24to tax from a qualifying purchase. A Manufacturer's Purchase
25Credit reported on any original or amended return filed under
26this Act after October 20, 2003 for reporting periods prior to

 

 

10000SB0990sam001- 84 -LRB100 07613 HLH 26683 a

1September 1, 2004 shall be disallowed. Manufacturer's
2Purchaser Credit reported on annual returns due on or after
3January 1, 2005 will be disallowed for periods prior to
4September 1, 2004. No Manufacturer's Purchase Credit may be
5used after September 30, 2003 through August 31, 2004 to
6satisfy any tax liability imposed under this Act, including any
7audit liability.
8    The Department may require returns to be filed on a
9quarterly basis. If so required, a return for each calendar
10quarter shall be filed on or before the twentieth day of the
11calendar month following the end of such calendar quarter. The
12taxpayer shall also file a return with the Department for each
13of the first two months of each calendar quarter, on or before
14the twentieth day of the following calendar month, stating:
15        1. The name of the seller;
16        2. The address of the principal place of business from
17    which he engages in the business of selling tangible
18    personal property at retail in this State;
19        3. The total amount of taxable receipts received by him
20    during the preceding calendar month from sales of tangible
21    personal property by him during such preceding calendar
22    month, including receipts from charge and time sales, but
23    less all deductions allowed by law;
24        4. The amount of credit provided in Section 2d of this
25    Act;
26        5. The amount of tax due; and

 

 

10000SB0990sam001- 85 -LRB100 07613 HLH 26683 a

1        6. Such other reasonable information as the Department
2    may require.
3    Beginning on January 1, 2018, every person engaged in the
4business of selling aviation fuel at retail in this State
5during the preceding calendar month shall, instead of reporting
6and paying tax as otherwise required by this Section, file an
7aviation fuel tax return with the Department on or before the
8twentieth day of each calendar month. The requirements related
9to the return shall be as otherwise provided in this Section.
10Notwithstanding any other provisions of this Act to the
11contrary, retailers selling aviation fuel shall file all
12aviation fuel tax returns and shall make all aviation fuel tax
13payments by electronic means in the manner and form required by
14the Department. For purposes of this paragraph, "aviation fuel"
15means a product that is intended for use or offered for sale as
16fuel for an aircraft.
17    Beginning on October 1, 2003, any person who is not a
18licensed distributor, importing distributor, or manufacturer,
19as defined in the Liquor Control Act of 1934, but is engaged in
20the business of selling, at retail, alcoholic liquor shall file
21a statement with the Department of Revenue, in a format and at
22a time prescribed by the Department, showing the total amount
23paid for alcoholic liquor purchased during the preceding month
24and such other information as is reasonably required by the
25Department. The Department may adopt rules to require that this
26statement be filed in an electronic or telephonic format. Such

 

 

10000SB0990sam001- 86 -LRB100 07613 HLH 26683 a

1rules may provide for exceptions from the filing requirements
2of this paragraph. For the purposes of this paragraph, the term
3"alcoholic liquor" shall have the meaning prescribed in the
4Liquor Control Act of 1934.
5    Beginning on October 1, 2003, every distributor, importing
6distributor, and manufacturer of alcoholic liquor as defined in
7the Liquor Control Act of 1934, shall file a statement with the
8Department of Revenue, no later than the 10th day of the month
9for the preceding month during which transactions occurred, by
10electronic means, showing the total amount of gross receipts
11from the sale of alcoholic liquor sold or distributed during
12the preceding month to purchasers; identifying the purchaser to
13whom it was sold or distributed; the purchaser's tax
14registration number; and such other information reasonably
15required by the Department. A distributor, importing
16distributor, or manufacturer of alcoholic liquor must
17personally deliver, mail, or provide by electronic means to
18each retailer listed on the monthly statement a report
19containing a cumulative total of that distributor's, importing
20distributor's, or manufacturer's total sales of alcoholic
21liquor to that retailer no later than the 10th day of the month
22for the preceding month during which the transaction occurred.
23The distributor, importing distributor, or manufacturer shall
24notify the retailer as to the method by which the distributor,
25importing distributor, or manufacturer will provide the sales
26information. If the retailer is unable to receive the sales

 

 

10000SB0990sam001- 87 -LRB100 07613 HLH 26683 a

1information by electronic means, the distributor, importing
2distributor, or manufacturer shall furnish the sales
3information by personal delivery or by mail. For purposes of
4this paragraph, the term "electronic means" includes, but is
5not limited to, the use of a secure Internet website, e-mail,
6or facsimile.
7    If a total amount of less than $1 is payable, refundable or
8creditable, such amount shall be disregarded if it is less than
950 cents and shall be increased to $1 if it is 50 cents or more.
10    Beginning October 1, 1993, a taxpayer who has an average
11monthly tax liability of $150,000 or more shall make all
12payments required by rules of the Department by electronic
13funds transfer. Beginning October 1, 1994, a taxpayer who has
14an average monthly tax liability of $100,000 or more shall make
15all payments required by rules of the Department by electronic
16funds transfer. Beginning October 1, 1995, a taxpayer who has
17an average monthly tax liability of $50,000 or more shall make
18all payments required by rules of the Department by electronic
19funds transfer. Beginning October 1, 2000, a taxpayer who has
20an annual tax liability of $200,000 or more shall make all
21payments required by rules of the Department by electronic
22funds transfer. The term "annual tax liability" shall be the
23sum of the taxpayer's liabilities under this Act, and under all
24other State and local occupation and use tax laws administered
25by the Department, for the immediately preceding calendar year.
26The term "average monthly tax liability" shall be the sum of

 

 

10000SB0990sam001- 88 -LRB100 07613 HLH 26683 a

1the taxpayer's liabilities under this Act, and under all other
2State and local occupation and use tax laws administered by the
3Department, for the immediately preceding calendar year
4divided by 12. Beginning on October 1, 2002, a taxpayer who has
5a tax liability in the amount set forth in subsection (b) of
6Section 2505-210 of the Department of Revenue Law shall make
7all payments required by rules of the Department by electronic
8funds transfer.
9    Before August 1 of each year beginning in 1993, the
10Department shall notify all taxpayers required to make payments
11by electronic funds transfer. All taxpayers required to make
12payments by electronic funds transfer shall make those payments
13for a minimum of one year beginning on October 1.
14    Any taxpayer not required to make payments by electronic
15funds transfer may make payments by electronic funds transfer
16with the permission of the Department.
17    All taxpayers required to make payment by electronic funds
18transfer and any taxpayers authorized to voluntarily make
19payments by electronic funds transfer shall make those payments
20in the manner authorized by the Department.
21    The Department shall adopt such rules as are necessary to
22effectuate a program of electronic funds transfer and the
23requirements of this Section.
24    Any amount which is required to be shown or reported on any
25return or other document under this Act shall, if such amount
26is not a whole-dollar amount, be increased to the nearest

 

 

10000SB0990sam001- 89 -LRB100 07613 HLH 26683 a

1whole-dollar amount in any case where the fractional part of a
2dollar is 50 cents or more, and decreased to the nearest
3whole-dollar amount where the fractional part of a dollar is
4less than 50 cents.
5    If the retailer is otherwise required to file a monthly
6return and if the retailer's average monthly tax liability to
7the Department does not exceed $200, the Department may
8authorize his returns to be filed on a quarter annual basis,
9with the return for January, February and March of a given year
10being due by April 20 of such year; with the return for April,
11May and June of a given year being due by July 20 of such year;
12with the return for July, August and September of a given year
13being due by October 20 of such year, and with the return for
14October, November and December of a given year being due by
15January 20 of the following year.
16    If the retailer is otherwise required to file a monthly or
17quarterly return and if the retailer's average monthly tax
18liability with the Department does not exceed $50, the
19Department may authorize his returns to be filed on an annual
20basis, with the return for a given year being due by January 20
21of the following year.
22    Such quarter annual and annual returns, as to form and
23substance, shall be subject to the same requirements as monthly
24returns.
25    Notwithstanding any other provision in this Act concerning
26the time within which a retailer may file his return, in the

 

 

10000SB0990sam001- 90 -LRB100 07613 HLH 26683 a

1case of any retailer who ceases to engage in a kind of business
2which makes him responsible for filing returns under this Act,
3such retailer shall file a final return under this Act with the
4Department not more than one month after discontinuing such
5business.
6    Where the same person has more than one business registered
7with the Department under separate registrations under this
8Act, such person may not file each return that is due as a
9single return covering all such registered businesses, but
10shall file separate returns for each such registered business.
11    In addition, with respect to motor vehicles, watercraft,
12aircraft, and trailers that are required to be registered with
13an agency of this State, every retailer selling this kind of
14tangible personal property shall file, with the Department,
15upon a form to be prescribed and supplied by the Department, a
16separate return for each such item of tangible personal
17property which the retailer sells, except that if, in the same
18transaction, (i) a retailer of aircraft, watercraft, motor
19vehicles or trailers transfers more than one aircraft,
20watercraft, motor vehicle or trailer to another aircraft,
21watercraft, motor vehicle retailer or trailer retailer for the
22purpose of resale or (ii) a retailer of aircraft, watercraft,
23motor vehicles, or trailers transfers more than one aircraft,
24watercraft, motor vehicle, or trailer to a purchaser for use as
25a qualifying rolling stock as provided in Section 2-5 of this
26Act, then that seller may report the transfer of all aircraft,

 

 

10000SB0990sam001- 91 -LRB100 07613 HLH 26683 a

1watercraft, motor vehicles or trailers involved in that
2transaction to the Department on the same uniform
3invoice-transaction reporting return form. For purposes of
4this Section, "watercraft" means a Class 2, Class 3, or Class 4
5watercraft as defined in Section 3-2 of the Boat Registration
6and Safety Act, a personal watercraft, or any boat equipped
7with an inboard motor.
8    Any retailer who sells only motor vehicles, watercraft,
9aircraft, or trailers that are required to be registered with
10an agency of this State, so that all retailers' occupation tax
11liability is required to be reported, and is reported, on such
12transaction reporting returns and who is not otherwise required
13to file monthly or quarterly returns, need not file monthly or
14quarterly returns. However, those retailers shall be required
15to file returns on an annual basis.
16    The transaction reporting return, in the case of motor
17vehicles or trailers that are required to be registered with an
18agency of this State, shall be the same document as the Uniform
19Invoice referred to in Section 5-402 of The Illinois Vehicle
20Code and must show the name and address of the seller; the name
21and address of the purchaser; the amount of the selling price
22including the amount allowed by the retailer for traded-in
23property, if any; the amount allowed by the retailer for the
24traded-in tangible personal property, if any, to the extent to
25which Section 1 of this Act allows an exemption for the value
26of traded-in property; the balance payable after deducting such

 

 

10000SB0990sam001- 92 -LRB100 07613 HLH 26683 a

1trade-in allowance from the total selling price; the amount of
2tax due from the retailer with respect to such transaction; the
3amount of tax collected from the purchaser by the retailer on
4such transaction (or satisfactory evidence that such tax is not
5due in that particular instance, if that is claimed to be the
6fact); the place and date of the sale; a sufficient
7identification of the property sold; such other information as
8is required in Section 5-402 of The Illinois Vehicle Code, and
9such other information as the Department may reasonably
10require.
11    The transaction reporting return in the case of watercraft
12or aircraft must show the name and address of the seller; the
13name and address of the purchaser; the amount of the selling
14price including the amount allowed by the retailer for
15traded-in property, if any; the amount allowed by the retailer
16for the traded-in tangible personal property, if any, to the
17extent to which Section 1 of this Act allows an exemption for
18the value of traded-in property; the balance payable after
19deducting such trade-in allowance from the total selling price;
20the amount of tax due from the retailer with respect to such
21transaction; the amount of tax collected from the purchaser by
22the retailer on such transaction (or satisfactory evidence that
23such tax is not due in that particular instance, if that is
24claimed to be the fact); the place and date of the sale, a
25sufficient identification of the property sold, and such other
26information as the Department may reasonably require.

 

 

10000SB0990sam001- 93 -LRB100 07613 HLH 26683 a

1    Such transaction reporting return shall be filed not later
2than 20 days after the day of delivery of the item that is
3being sold, but may be filed by the retailer at any time sooner
4than that if he chooses to do so. The transaction reporting
5return and tax remittance or proof of exemption from the
6Illinois use tax may be transmitted to the Department by way of
7the State agency with which, or State officer with whom the
8tangible personal property must be titled or registered (if
9titling or registration is required) if the Department and such
10agency or State officer determine that this procedure will
11expedite the processing of applications for title or
12registration.
13    With each such transaction reporting return, the retailer
14shall remit the proper amount of tax due (or shall submit
15satisfactory evidence that the sale is not taxable if that is
16the case), to the Department or its agents, whereupon the
17Department shall issue, in the purchaser's name, a use tax
18receipt (or a certificate of exemption if the Department is
19satisfied that the particular sale is tax exempt) which such
20purchaser may submit to the agency with which, or State officer
21with whom, he must title or register the tangible personal
22property that is involved (if titling or registration is
23required) in support of such purchaser's application for an
24Illinois certificate or other evidence of title or registration
25to such tangible personal property.
26    No retailer's failure or refusal to remit tax under this

 

 

10000SB0990sam001- 94 -LRB100 07613 HLH 26683 a

1Act precludes a user, who has paid the proper tax to the
2retailer, from obtaining his certificate of title or other
3evidence of title or registration (if titling or registration
4is required) upon satisfying the Department that such user has
5paid the proper tax (if tax is due) to the retailer. The
6Department shall adopt appropriate rules to carry out the
7mandate of this paragraph.
8    If the user who would otherwise pay tax to the retailer
9wants the transaction reporting return filed and the payment of
10the tax or proof of exemption made to the Department before the
11retailer is willing to take these actions and such user has not
12paid the tax to the retailer, such user may certify to the fact
13of such delay by the retailer and may (upon the Department
14being satisfied of the truth of such certification) transmit
15the information required by the transaction reporting return
16and the remittance for tax or proof of exemption directly to
17the Department and obtain his tax receipt or exemption
18determination, in which event the transaction reporting return
19and tax remittance (if a tax payment was required) shall be
20credited by the Department to the proper retailer's account
21with the Department, but without the 2.1% or 1.75% discount
22provided for in this Section being allowed. When the user pays
23the tax directly to the Department, he shall pay the tax in the
24same amount and in the same form in which it would be remitted
25if the tax had been remitted to the Department by the retailer.
26    Refunds made by the seller during the preceding return

 

 

10000SB0990sam001- 95 -LRB100 07613 HLH 26683 a

1period to purchasers, on account of tangible personal property
2returned to the seller, shall be allowed as a deduction under
3subdivision 5 of his monthly or quarterly return, as the case
4may be, in case the seller had theretofore included the
5receipts from the sale of such tangible personal property in a
6return filed by him and had paid the tax imposed by this Act
7with respect to such receipts.
8    Where the seller is a corporation, the return filed on
9behalf of such corporation shall be signed by the president,
10vice-president, secretary or treasurer or by the properly
11accredited agent of such corporation.
12    Where the seller is a limited liability company, the return
13filed on behalf of the limited liability company shall be
14signed by a manager, member, or properly accredited agent of
15the limited liability company.
16    Except as provided in this Section, the retailer filing the
17return under this Section shall, at the time of filing such
18return, pay to the Department the amount of tax imposed by this
19Act less a discount of 2.1% prior to January 1, 1990 and 1.75%
20on and after January 1, 1990, or $5 per calendar year,
21whichever is greater, which is allowed to reimburse the
22retailer for the expenses incurred in keeping records,
23preparing and filing returns, remitting the tax and supplying
24data to the Department on request. The discount under this
25Section is not allowed for taxes paid on aviation fuel that are
26deposited into the State Aviation Program Fund under this Act.

 

 

10000SB0990sam001- 96 -LRB100 07613 HLH 26683 a

1Any prepayment made pursuant to Section 2d of this Act shall be
2included in the amount on which such 2.1% or 1.75% discount is
3computed. In the case of retailers who report and pay the tax
4on a transaction by transaction basis, as provided in this
5Section, such discount shall be taken with each such tax
6remittance instead of when such retailer files his periodic
7return. The Department may disallow the discount for retailers
8whose certificate of registration is revoked at the time the
9return is filed, but only if the Department's decision to
10revoke the certificate of registration has become final.
11    Before October 1, 2000, if the taxpayer's average monthly
12tax liability to the Department under this Act, the Use Tax
13Act, the Service Occupation Tax Act, and the Service Use Tax
14Act, excluding any liability for prepaid sales tax to be
15remitted in accordance with Section 2d of this Act, was $10,000
16or more during the preceding 4 complete calendar quarters, he
17shall file a return with the Department each month by the 20th
18day of the month next following the month during which such tax
19liability is incurred and shall make payments to the Department
20on or before the 7th, 15th, 22nd and last day of the month
21during which such liability is incurred. On and after October
221, 2000, if the taxpayer's average monthly tax liability to the
23Department under this Act, the Use Tax Act, the Service
24Occupation Tax Act, and the Service Use Tax Act, excluding any
25liability for prepaid sales tax to be remitted in accordance
26with Section 2d of this Act, was $20,000 or more during the

 

 

10000SB0990sam001- 97 -LRB100 07613 HLH 26683 a

1preceding 4 complete calendar quarters, he shall file a return
2with the Department each month by the 20th day of the month
3next following the month during which such tax liability is
4incurred and shall make payment to the Department on or before
5the 7th, 15th, 22nd and last day of the month during which such
6liability is incurred. If the month during which such tax
7liability is incurred began prior to January 1, 1985, each
8payment shall be in an amount equal to 1/4 of the taxpayer's
9actual liability for the month or an amount set by the
10Department not to exceed 1/4 of the average monthly liability
11of the taxpayer to the Department for the preceding 4 complete
12calendar quarters (excluding the month of highest liability and
13the month of lowest liability in such 4 quarter period). If the
14month during which such tax liability is incurred begins on or
15after January 1, 1985 and prior to January 1, 1987, each
16payment shall be in an amount equal to 22.5% of the taxpayer's
17actual liability for the month or 27.5% of the taxpayer's
18liability for the same calendar month of the preceding year. If
19the month during which such tax liability is incurred begins on
20or after January 1, 1987 and prior to January 1, 1988, each
21payment shall be in an amount equal to 22.5% of the taxpayer's
22actual liability for the month or 26.25% of the taxpayer's
23liability for the same calendar month of the preceding year. If
24the month during which such tax liability is incurred begins on
25or after January 1, 1988, and prior to January 1, 1989, or
26begins on or after January 1, 1996, each payment shall be in an

 

 

10000SB0990sam001- 98 -LRB100 07613 HLH 26683 a

1amount equal to 22.5% of the taxpayer's actual liability for
2the month or 25% of the taxpayer's liability for the same
3calendar month of the preceding year. If the month during which
4such tax liability is incurred begins on or after January 1,
51989, and prior to January 1, 1996, each payment shall be in an
6amount equal to 22.5% of the taxpayer's actual liability for
7the month or 25% of the taxpayer's liability for the same
8calendar month of the preceding year or 100% of the taxpayer's
9actual liability for the quarter monthly reporting period. The
10amount of such quarter monthly payments shall be credited
11against the final tax liability of the taxpayer's return for
12that month. Before October 1, 2000, once applicable, the
13requirement of the making of quarter monthly payments to the
14Department by taxpayers having an average monthly tax liability
15of $10,000 or more as determined in the manner provided above
16shall continue until such taxpayer's average monthly liability
17to the Department during the preceding 4 complete calendar
18quarters (excluding the month of highest liability and the
19month of lowest liability) is less than $9,000, or until such
20taxpayer's average monthly liability to the Department as
21computed for each calendar quarter of the 4 preceding complete
22calendar quarter period is less than $10,000. However, if a
23taxpayer can show the Department that a substantial change in
24the taxpayer's business has occurred which causes the taxpayer
25to anticipate that his average monthly tax liability for the
26reasonably foreseeable future will fall below the $10,000

 

 

10000SB0990sam001- 99 -LRB100 07613 HLH 26683 a

1threshold stated above, then such taxpayer may petition the
2Department for a change in such taxpayer's reporting status. On
3and after October 1, 2000, once applicable, the requirement of
4the making of quarter monthly payments to the Department by
5taxpayers having an average monthly tax liability of $20,000 or
6more as determined in the manner provided above shall continue
7until such taxpayer's average monthly liability to the
8Department during the preceding 4 complete calendar quarters
9(excluding the month of highest liability and the month of
10lowest liability) is less than $19,000 or until such taxpayer's
11average monthly liability to the Department as computed for
12each calendar quarter of the 4 preceding complete calendar
13quarter period is less than $20,000. However, if a taxpayer can
14show the Department that a substantial change in the taxpayer's
15business has occurred which causes the taxpayer to anticipate
16that his average monthly tax liability for the reasonably
17foreseeable future will fall below the $20,000 threshold stated
18above, then such taxpayer may petition the Department for a
19change in such taxpayer's reporting status. The Department
20shall change such taxpayer's reporting status unless it finds
21that such change is seasonal in nature and not likely to be
22long term. If any such quarter monthly payment is not paid at
23the time or in the amount required by this Section, then the
24taxpayer shall be liable for penalties and interest on the
25difference between the minimum amount due as a payment and the
26amount of such quarter monthly payment actually and timely

 

 

10000SB0990sam001- 100 -LRB100 07613 HLH 26683 a

1paid, except insofar as the taxpayer has previously made
2payments for that month to the Department in excess of the
3minimum payments previously due as provided in this Section.
4The Department shall make reasonable rules and regulations to
5govern the quarter monthly payment amount and quarter monthly
6payment dates for taxpayers who file on other than a calendar
7monthly basis.
8    The provisions of this paragraph apply before October 1,
92001. Without regard to whether a taxpayer is required to make
10quarter monthly payments as specified above, any taxpayer who
11is required by Section 2d of this Act to collect and remit
12prepaid taxes and has collected prepaid taxes which average in
13excess of $25,000 per month during the preceding 2 complete
14calendar quarters, shall file a return with the Department as
15required by Section 2f and shall make payments to the
16Department on or before the 7th, 15th, 22nd and last day of the
17month during which such liability is incurred. If the month
18during which such tax liability is incurred began prior to
19September 1, 1985 (the effective date of Public Act 84-221)
20this amendatory Act of 1985, each payment shall be in an amount
21not less than 22.5% of the taxpayer's actual liability under
22Section 2d. If the month during which such tax liability is
23incurred begins on or after January 1, 1986, each payment shall
24be in an amount equal to 22.5% of the taxpayer's actual
25liability for the month or 27.5% of the taxpayer's liability
26for the same calendar month of the preceding calendar year. If

 

 

10000SB0990sam001- 101 -LRB100 07613 HLH 26683 a

1the month during which such tax liability is incurred begins on
2or after January 1, 1987, each payment shall be in an amount
3equal to 22.5% of the taxpayer's actual liability for the month
4or 26.25% of the taxpayer's liability for the same calendar
5month of the preceding year. The amount of such quarter monthly
6payments shall be credited against the final tax liability of
7the taxpayer's return for that month filed under this Section
8or Section 2f, as the case may be. Once applicable, the
9requirement of the making of quarter monthly payments to the
10Department pursuant to this paragraph shall continue until such
11taxpayer's average monthly prepaid tax collections during the
12preceding 2 complete calendar quarters is $25,000 or less. If
13any such quarter monthly payment is not paid at the time or in
14the amount required, the taxpayer shall be liable for penalties
15and interest on such difference, except insofar as the taxpayer
16has previously made payments for that month in excess of the
17minimum payments previously due.
18    The provisions of this paragraph apply on and after October
191, 2001. Without regard to whether a taxpayer is required to
20make quarter monthly payments as specified above, any taxpayer
21who is required by Section 2d of this Act to collect and remit
22prepaid taxes and has collected prepaid taxes that average in
23excess of $20,000 per month during the preceding 4 complete
24calendar quarters shall file a return with the Department as
25required by Section 2f and shall make payments to the
26Department on or before the 7th, 15th, 22nd and last day of the

 

 

10000SB0990sam001- 102 -LRB100 07613 HLH 26683 a

1month during which the liability is incurred. Each payment
2shall be in an amount equal to 22.5% of the taxpayer's actual
3liability for the month or 25% of the taxpayer's liability for
4the same calendar month of the preceding year. The amount of
5the quarter monthly payments shall be credited against the
6final tax liability of the taxpayer's return for that month
7filed under this Section or Section 2f, as the case may be.
8Once applicable, the requirement of the making of quarter
9monthly payments to the Department pursuant to this paragraph
10shall continue until the taxpayer's average monthly prepaid tax
11collections during the preceding 4 complete calendar quarters
12(excluding the month of highest liability and the month of
13lowest liability) is less than $19,000 or until such taxpayer's
14average monthly liability to the Department as computed for
15each calendar quarter of the 4 preceding complete calendar
16quarters is less than $20,000. If any such quarter monthly
17payment is not paid at the time or in the amount required, the
18taxpayer shall be liable for penalties and interest on such
19difference, except insofar as the taxpayer has previously made
20payments for that month in excess of the minimum payments
21previously due.
22    If any payment provided for in this Section exceeds the
23taxpayer's liabilities under this Act, the Use Tax Act, the
24Service Occupation Tax Act and the Service Use Tax Act, as
25shown on an original monthly return, the Department shall, if
26requested by the taxpayer, issue to the taxpayer a credit

 

 

10000SB0990sam001- 103 -LRB100 07613 HLH 26683 a

1memorandum no later than 30 days after the date of payment. The
2credit evidenced by such credit memorandum may be assigned by
3the taxpayer to a similar taxpayer under this Act, the Use Tax
4Act, the Service Occupation Tax Act or the Service Use Tax Act,
5in accordance with reasonable rules and regulations to be
6prescribed by the Department. If no such request is made, the
7taxpayer may credit such excess payment against tax liability
8subsequently to be remitted to the Department under this Act,
9the Use Tax Act, the Service Occupation Tax Act or the Service
10Use Tax Act, in accordance with reasonable rules and
11regulations prescribed by the Department. If the Department
12subsequently determined that all or any part of the credit
13taken was not actually due to the taxpayer, the taxpayer's 2.1%
14and 1.75% vendor's discount shall be reduced by 2.1% or 1.75%
15of the difference between the credit taken and that actually
16due, and that taxpayer shall be liable for penalties and
17interest on such difference.
18    If a retailer of motor fuel is entitled to a credit under
19Section 2d of this Act which exceeds the taxpayer's liability
20to the Department under this Act for the month which the
21taxpayer is filing a return, the Department shall issue the
22taxpayer a credit memorandum for the excess.
23    Beginning January 1, 1990, each month the Department shall
24pay into the Local Government Tax Fund, a special fund in the
25State treasury which is hereby created, the net revenue
26realized for the preceding month from the 1% tax on sales of

 

 

10000SB0990sam001- 104 -LRB100 07613 HLH 26683 a

1food for human consumption which is to be consumed off the
2premises where it is sold (other than alcoholic beverages, soft
3drinks and food which has been prepared for immediate
4consumption) and prescription and nonprescription medicines,
5drugs, medical appliances, products classified as Class III
6medical devices by the United States Food and Drug
7Administration that are used for cancer treatment pursuant to a
8prescription, as well as any accessories and components related
9to those devices, and insulin, urine testing materials,
10syringes and needles used by diabetics.
11    Beginning January 1, 1990, each month the Department shall
12pay into the County and Mass Transit District Fund, a special
13fund in the State treasury which is hereby created, 4% of the
14net revenue realized for the preceding month from the 6.25%
15general rate other than aviation fuel sold on or after December
161, 2017. This exception for aviation fuel only applies for so
17long as the revenue use requirements of 49 U.S.C. 47107(b) and
1849 U.S.C. 47133 are binding on the State.
19    For aviation fuel sold on or after December 1, 2017, each
20month the Department shall pay into the State Aviation Program
21Fund 4% of the net revenue realized for the preceding month
22from the 6.25% general rate on the selling price of aviation
23fuel, less an amount estimated by the Department to be required
24for refunds of the 4% portion of the tax on aviation fuel under
25this Act, which amount shall be deposited into the Aviation
26fuel Sales Tax Refund Fund. The Department shall only pay

 

 

10000SB0990sam001- 105 -LRB100 07613 HLH 26683 a

1moneys into the State Aviation Program Fund and the Aviation
2Fuel Sales Tax Refund Fund under this Act for so long as the
3revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
447133 are binding on the State.
5    Beginning August 1, 2000, each month the Department shall
6pay into the County and Mass Transit District Fund 20% of the
7net revenue realized for the preceding month from the 1.25%
8rate on the selling price of motor fuel and gasohol. Beginning
9September 1, 2010, each month the Department shall pay into the
10County and Mass Transit District Fund 20% of the net revenue
11realized for the preceding month from the 1.25% rate on the
12selling price of sales tax holiday items.
13    Beginning January 1, 1990, each month the Department shall
14pay into the Local Government Tax Fund 16% of the net revenue
15realized for the preceding month from the 6.25% general rate on
16the selling price of tangible personal property other than
17aviation fuel sold on or after December 1, 2017. This exception
18for aviation fuel only applies for so long as the revenue use
19requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
20binding on the State.
21    For aviation fuel sold on or after December 1, 2017, each
22month the Department shall pay into the State Aviation Program
23Fund 16% of the net revenue realized for the preceding month
24from the 6.25% general rate on the selling price of aviation
25fuel, less an amount estimated by the Department to be required
26for refunds of the 16% portion of the tax on aviation fuel

 

 

10000SB0990sam001- 106 -LRB100 07613 HLH 26683 a

1under this Act, which amount shall be deposited into the
2Aviation fuel Sales Tax Refund Fund. The Department shall only
3pay moneys into the State Aviation Program Fund and the
4Aviation Fuel Sales Tax Refund Fund under this Act for so long
5as the revenue use requirements of 49 U.S.C. 47107(b) and 49
6U.S.C. 47133 are binding on the State.
7    Beginning August 1, 2000, each month the Department shall
8pay into the Local Government Tax Fund 80% of the net revenue
9realized for the preceding month from the 1.25% rate on the
10selling price of motor fuel and gasohol. Beginning September 1,
112010, each month the Department shall pay into the Local
12Government Tax Fund 80% of the net revenue realized for the
13preceding month from the 1.25% rate on the selling price of
14sales tax holiday items.
15    Beginning October 1, 2009, each month the Department shall
16pay into the Capital Projects Fund an amount that is equal to
17an amount estimated by the Department to represent 80% of the
18net revenue realized for the preceding month from the sale of
19candy, grooming and hygiene products, and soft drinks that had
20been taxed at a rate of 1% prior to September 1, 2009 but that
21are now taxed at 6.25%.
22    Beginning July 1, 2011, each month the Department shall pay
23into the Clean Air Act Permit Fund 80% of the net revenue
24realized for the preceding month from the 6.25% general rate on
25the selling price of sorbents used in Illinois in the process
26of sorbent injection as used to comply with the Environmental

 

 

10000SB0990sam001- 107 -LRB100 07613 HLH 26683 a

1Protection Act or the federal Clean Air Act, but the total
2payment into the Clean Air Act Permit Fund under this Act and
3the Use Tax Act shall not exceed $2,000,000 in any fiscal year.
4    Beginning July 1, 2013, each month the Department shall pay
5into the Underground Storage Tank Fund from the proceeds
6collected under this Act, the Use Tax Act, the Service Use Tax
7Act, and the Service Occupation Tax Act an amount equal to the
8average monthly deficit in the Underground Storage Tank Fund
9during the prior year, as certified annually by the Illinois
10Environmental Protection Agency, but the total payment into the
11Underground Storage Tank Fund under this Act, the Use Tax Act,
12the Service Use Tax Act, and the Service Occupation Tax Act
13shall not exceed $18,000,000 in any State fiscal year. As used
14in this paragraph, the "average monthly deficit" shall be equal
15to the difference between the average monthly claims for
16payment by the fund and the average monthly revenues deposited
17into the fund, excluding payments made pursuant to this
18paragraph.
19    Beginning July 1, 2015, of the remainder of the moneys
20received by the Department under the Use Tax Act, the Service
21Use Tax Act, the Service Occupation Tax Act, and this Act, each
22month the Department shall deposit $500,000 into the State
23Crime Laboratory Fund.
24    Of the remainder of the moneys received by the Department
25pursuant to this Act, (a) 1.75% thereof shall be paid into the
26Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on

 

 

10000SB0990sam001- 108 -LRB100 07613 HLH 26683 a

1and after July 1, 1989, 3.8% thereof shall be paid into the
2Build Illinois Fund; provided, however, that if in any fiscal
3year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
4may be, of the moneys received by the Department and required
5to be paid into the Build Illinois Fund pursuant to this Act,
6Section 9 of the Use Tax Act, Section 9 of the Service Use Tax
7Act, and Section 9 of the Service Occupation Tax Act, such Acts
8being hereinafter called the "Tax Acts" and such aggregate of
92.2% or 3.8%, as the case may be, of moneys being hereinafter
10called the "Tax Act Amount", and (2) the amount transferred to
11the Build Illinois Fund from the State and Local Sales Tax
12Reform Fund shall be less than the Annual Specified Amount (as
13hereinafter defined), an amount equal to the difference shall
14be immediately paid into the Build Illinois Fund from other
15moneys received by the Department pursuant to the Tax Acts; the
16"Annual Specified Amount" means the amounts specified below for
17fiscal years 1986 through 1993:
18Fiscal YearAnnual Specified Amount
191986$54,800,000
201987$76,650,000
211988$80,480,000
221989$88,510,000
231990$115,330,000
241991$145,470,000
251992$182,730,000
261993$206,520,000;

 

 

10000SB0990sam001- 109 -LRB100 07613 HLH 26683 a

1and means the Certified Annual Debt Service Requirement (as
2defined in Section 13 of the Build Illinois Bond Act) or the
3Tax Act Amount, whichever is greater, for fiscal year 1994 and
4each fiscal year thereafter; and further provided, that if on
5the last business day of any month the sum of (1) the Tax Act
6Amount required to be deposited into the Build Illinois Bond
7Account in the Build Illinois Fund during such month and (2)
8the amount transferred to the Build Illinois Fund from the
9State and Local Sales Tax Reform Fund shall have been less than
101/12 of the Annual Specified Amount, an amount equal to the
11difference shall be immediately paid into the Build Illinois
12Fund from other moneys received by the Department pursuant to
13the Tax Acts; and, further provided, that in no event shall the
14payments required under the preceding proviso result in
15aggregate payments into the Build Illinois Fund pursuant to
16this clause (b) for any fiscal year in excess of the greater of
17(i) the Tax Act Amount or (ii) the Annual Specified Amount for
18such fiscal year. The amounts payable into the Build Illinois
19Fund under clause (b) of the first sentence in this paragraph
20shall be payable only until such time as the aggregate amount
21on deposit under each trust indenture securing Bonds issued and
22outstanding pursuant to the Build Illinois Bond Act is
23sufficient, taking into account any future investment income,
24to fully provide, in accordance with such indenture, for the
25defeasance of or the payment of the principal of, premium, if
26any, and interest on the Bonds secured by such indenture and on

 

 

10000SB0990sam001- 110 -LRB100 07613 HLH 26683 a

1any Bonds expected to be issued thereafter and all fees and
2costs payable with respect thereto, all as certified by the
3Director of the Bureau of the Budget (now Governor's Office of
4Management and Budget). If on the last business day of any
5month in which Bonds are outstanding pursuant to the Build
6Illinois Bond Act, the aggregate of moneys deposited in the
7Build Illinois Bond Account in the Build Illinois Fund in such
8month shall be less than the amount required to be transferred
9in such month from the Build Illinois Bond Account to the Build
10Illinois Bond Retirement and Interest Fund pursuant to Section
1113 of the Build Illinois Bond Act, an amount equal to such
12deficiency shall be immediately paid from other moneys received
13by the Department pursuant to the Tax Acts to the Build
14Illinois Fund; provided, however, that any amounts paid to the
15Build Illinois Fund in any fiscal year pursuant to this
16sentence shall be deemed to constitute payments pursuant to
17clause (b) of the first sentence of this paragraph and shall
18reduce the amount otherwise payable for such fiscal year
19pursuant to that clause (b). The moneys received by the
20Department pursuant to this Act and required to be deposited
21into the Build Illinois Fund are subject to the pledge, claim
22and charge set forth in Section 12 of the Build Illinois Bond
23Act.
24    Subject to payment of amounts into the Build Illinois Fund
25as provided in the preceding paragraph or in any amendment
26thereto hereafter enacted, the following specified monthly

 

 

10000SB0990sam001- 111 -LRB100 07613 HLH 26683 a

1installment of the amount requested in the certificate of the
2Chairman of the Metropolitan Pier and Exposition Authority
3provided under Section 8.25f of the State Finance Act, but not
4in excess of sums designated as "Total Deposit", shall be
5deposited in the aggregate from collections under Section 9 of
6the Use Tax Act, Section 9 of the Service Use Tax Act, Section
79 of the Service Occupation Tax Act, and Section 3 of the
8Retailers' Occupation Tax Act into the McCormick Place
9Expansion Project Fund in the specified fiscal years.
10Fiscal YearTotal Deposit
111993         $0
121994 53,000,000
131995 58,000,000
141996 61,000,000
151997 64,000,000
161998 68,000,000
171999 71,000,000
182000 75,000,000
192001 80,000,000
202002 93,000,000
212003 99,000,000
222004103,000,000
232005108,000,000
242006113,000,000
252007119,000,000

 

 

10000SB0990sam001- 112 -LRB100 07613 HLH 26683 a

12008126,000,000
22009132,000,000
32010139,000,000
42011146,000,000
52012153,000,000
62013161,000,000
72014170,000,000
82015179,000,000
92016189,000,000
102017199,000,000
112018210,000,000
122019221,000,000
132020233,000,000
142021246,000,000
152022260,000,000
162023275,000,000
172024 275,000,000
182025 275,000,000
192026 279,000,000
202027 292,000,000
212028 307,000,000
222029 322,000,000
232030 338,000,000
242031 350,000,000
252032 350,000,000
26and

 

 

10000SB0990sam001- 113 -LRB100 07613 HLH 26683 a

1each fiscal year
2thereafter that bonds
3are outstanding under
4Section 13.2 of the
5Metropolitan Pier and
6Exposition Authority Act,
7but not after fiscal year 2060.
8    Beginning July 20, 1993 and in each month of each fiscal
9year thereafter, one-eighth of the amount requested in the
10certificate of the Chairman of the Metropolitan Pier and
11Exposition Authority for that fiscal year, less the amount
12deposited into the McCormick Place Expansion Project Fund by
13the State Treasurer in the respective month under subsection
14(g) of Section 13 of the Metropolitan Pier and Exposition
15Authority Act, plus cumulative deficiencies in the deposits
16required under this Section for previous months and years,
17shall be deposited into the McCormick Place Expansion Project
18Fund, until the full amount requested for the fiscal year, but
19not in excess of the amount specified above as "Total Deposit",
20has been deposited.
21    Subject to payment of amounts into the Capital Projects
22Fund, the Clean Air Act (CAA) Permit Fund, the Build Illinois
23Fund, and the McCormick Place Expansion Project Fund pursuant
24to the preceding paragraphs or in any amendments thereto
25hereafter enacted, the Department shall each month deposit into
26the Aviation Fuel Sales Tax Refund Fund an amount estimated by

 

 

10000SB0990sam001- 114 -LRB100 07613 HLH 26683 a

1the Department to be required for refunds of the 80% portion of
2the tax on aviation fuel under this Act.
3    Subject to payment of amounts into the Build Illinois Fund
4and the McCormick Place Expansion Project Fund pursuant to the
5preceding paragraphs or in any amendments thereto hereafter
6enacted, beginning July 1, 1993 and ending on September 30,
72013, the Department shall each month pay into the Illinois Tax
8Increment Fund 0.27% of 80% of the net revenue realized for the
9preceding month from the 6.25% general rate on the selling
10price of tangible personal property.
11    Subject to payment of amounts into the Build Illinois Fund
12and the McCormick Place Expansion Project Fund pursuant to the
13preceding paragraphs or in any amendments thereto hereafter
14enacted, beginning with the receipt of the first report of
15taxes paid by an eligible business and continuing for a 25-year
16period, the Department shall each month pay into the Energy
17Infrastructure Fund 80% of the net revenue realized from the
186.25% general rate on the selling price of Illinois-mined coal
19that was sold to an eligible business. For purposes of this
20paragraph, the term "eligible business" means a new electric
21generating facility certified pursuant to Section 605-332 of
22the Department of Commerce and Economic Opportunity Law of the
23Civil Administrative Code of Illinois.
24    Subject to payment of amounts into the Build Illinois Fund,
25the McCormick Place Expansion Project Fund, the Illinois Tax
26Increment Fund, and the Energy Infrastructure Fund pursuant to

 

 

10000SB0990sam001- 115 -LRB100 07613 HLH 26683 a

1the preceding paragraphs or in any amendments to this Section
2hereafter enacted, beginning on the first day of the first
3calendar month to occur on or after August 26, 2014 (the
4effective date of Public Act 98-1098) this amendatory Act of
5the 98th General Assembly, each month, from the collections
6made under Section 9 of the Use Tax Act, Section 9 of the
7Service Use Tax Act, Section 9 of the Service Occupation Tax
8Act, and Section 3 of the Retailers' Occupation Tax Act, the
9Department shall pay into the Tax Compliance and Administration
10Fund, to be used, subject to appropriation, to fund additional
11auditors and compliance personnel at the Department of Revenue,
12an amount equal to 1/12 of 5% of 80% of the cash receipts
13collected during the preceding fiscal year by the Audit Bureau
14of the Department under the Use Tax Act, the Service Use Tax
15Act, the Service Occupation Tax Act, the Retailers' Occupation
16Tax Act, and associated local occupation and use taxes
17administered by the Department (except the amount collected on
18aviation fuel sold on or after December 1, 2017).
19    Of the remainder of the moneys received by the Department
20pursuant to this Act, 75% thereof shall be paid into the State
21Treasury and 25% shall be reserved in a special account and
22used only for the transfer to the Common School Fund as part of
23the monthly transfer from the General Revenue Fund in
24accordance with Section 8a of the State Finance Act.
25    The Department may, upon separate written notice to a
26taxpayer, require the taxpayer to prepare and file with the

 

 

10000SB0990sam001- 116 -LRB100 07613 HLH 26683 a

1Department on a form prescribed by the Department within not
2less than 60 days after receipt of the notice an annual
3information return for the tax year specified in the notice.
4Such annual return to the Department shall include a statement
5of gross receipts as shown by the retailer's last Federal
6income tax return. If the total receipts of the business as
7reported in the Federal income tax return do not agree with the
8gross receipts reported to the Department of Revenue for the
9same period, the retailer shall attach to his annual return a
10schedule showing a reconciliation of the 2 amounts and the
11reasons for the difference. The retailer's annual return to the
12Department shall also disclose the cost of goods sold by the
13retailer during the year covered by such return, opening and
14closing inventories of such goods for such year, costs of goods
15used from stock or taken from stock and given away by the
16retailer during such year, payroll information of the
17retailer's business during such year and any additional
18reasonable information which the Department deems would be
19helpful in determining the accuracy of the monthly, quarterly
20or annual returns filed by such retailer as provided for in
21this Section.
22    If the annual information return required by this Section
23is not filed when and as required, the taxpayer shall be liable
24as follows:
25        (i) Until January 1, 1994, the taxpayer shall be liable
26    for a penalty equal to 1/6 of 1% of the tax due from such

 

 

10000SB0990sam001- 117 -LRB100 07613 HLH 26683 a

1    taxpayer under this Act during the period to be covered by
2    the annual return for each month or fraction of a month
3    until such return is filed as required, the penalty to be
4    assessed and collected in the same manner as any other
5    penalty provided for in this Act.
6        (ii) On and after January 1, 1994, the taxpayer shall
7    be liable for a penalty as described in Section 3-4 of the
8    Uniform Penalty and Interest Act.
9    The chief executive officer, proprietor, owner or highest
10ranking manager shall sign the annual return to certify the
11accuracy of the information contained therein. Any person who
12willfully signs the annual return containing false or
13inaccurate information shall be guilty of perjury and punished
14accordingly. The annual return form prescribed by the
15Department shall include a warning that the person signing the
16return may be liable for perjury.
17    The provisions of this Section concerning the filing of an
18annual information return do not apply to a retailer who is not
19required to file an income tax return with the United States
20Government.
21    As soon as possible after the first day of each month, upon
22certification of the Department of Revenue, the Comptroller
23shall order transferred and the Treasurer shall transfer from
24the General Revenue Fund to the Motor Fuel Tax Fund an amount
25equal to 1.7% of 80% of the net revenue realized under this Act
26for the second preceding month. Beginning April 1, 2000, this

 

 

10000SB0990sam001- 118 -LRB100 07613 HLH 26683 a

1transfer is no longer required and shall not be made.
2    Net revenue realized for a month shall be the revenue
3collected by the State pursuant to this Act, less the amount
4paid out during that month as refunds to taxpayers for
5overpayment of liability.
6    For greater simplicity of administration, manufacturers,
7importers and wholesalers whose products are sold at retail in
8Illinois by numerous retailers, and who wish to do so, may
9assume the responsibility for accounting and paying to the
10Department all tax accruing under this Act with respect to such
11sales, if the retailers who are affected do not make written
12objection to the Department to this arrangement.
13    Any person who promotes, organizes, provides retail
14selling space for concessionaires or other types of sellers at
15the Illinois State Fair, DuQuoin State Fair, county fairs,
16local fairs, art shows, flea markets and similar exhibitions or
17events, including any transient merchant as defined by Section
182 of the Transient Merchant Act of 1987, is required to file a
19report with the Department providing the name of the merchant's
20business, the name of the person or persons engaged in
21merchant's business, the permanent address and Illinois
22Retailers Occupation Tax Registration Number of the merchant,
23the dates and location of the event and other reasonable
24information that the Department may require. The report must be
25filed not later than the 20th day of the month next following
26the month during which the event with retail sales was held.

 

 

10000SB0990sam001- 119 -LRB100 07613 HLH 26683 a

1Any person who fails to file a report required by this Section
2commits a business offense and is subject to a fine not to
3exceed $250.
4    Any person engaged in the business of selling tangible
5personal property at retail as a concessionaire or other type
6of seller at the Illinois State Fair, county fairs, art shows,
7flea markets and similar exhibitions or events, or any
8transient merchants, as defined by Section 2 of the Transient
9Merchant Act of 1987, may be required to make a daily report of
10the amount of such sales to the Department and to make a daily
11payment of the full amount of tax due. The Department shall
12impose this requirement when it finds that there is a
13significant risk of loss of revenue to the State at such an
14exhibition or event. Such a finding shall be based on evidence
15that a substantial number of concessionaires or other sellers
16who are not residents of Illinois will be engaging in the
17business of selling tangible personal property at retail at the
18exhibition or event, or other evidence of a significant risk of
19loss of revenue to the State. The Department shall notify
20concessionaires and other sellers affected by the imposition of
21this requirement. In the absence of notification by the
22Department, the concessionaires and other sellers shall file
23their returns as otherwise required in this Section.
24(Source: P.A. 98-24, eff. 6-19-13; 98-109, eff. 7-25-13;
2598-496, eff. 1-1-14; 98-756, eff. 7-16-14; 98-1098, eff.
268-26-14; 99-352, eff. 8-12-15; 99-858, eff. 8-19-16; 99-933,

 

 

10000SB0990sam001- 120 -LRB100 07613 HLH 26683 a

1eff. 1-27-17; revised 2-3-17.)
 
2    (35 ILCS 120/6)  (from Ch. 120, par. 445)
3    Sec. 6. Credit memorandum or refund. If it appears, after
4claim therefor filed with the Department, that an amount of tax
5or penalty or interest has been paid which was not due under
6this Act, whether as the result of a mistake of fact or an
7error of law, except as hereinafter provided, then the
8Department shall issue a credit memorandum or refund to the
9person who made the erroneous payment or, if that person died
10or became a person under legal disability, to his or her legal
11representative, as such. For purposes of this Section, the tax
12is deemed to be erroneously paid by a retailer when the
13manufacturer of a motor vehicle sold by the retailer accepts
14the return of that automobile and refunds to the purchaser the
15selling price of that vehicle as provided in the New Vehicle
16Buyer Protection Act. When a motor vehicle is returned for a
17refund of the purchase price under the New Vehicle Buyer
18Protection Act, the Department shall issue a credit memorandum
19or a refund for the amount of tax paid by the retailer under
20this Act attributable to the initial sale of that vehicle.
21Claims submitted by the retailer are subject to the same
22restrictions and procedures provided for in this Act. If it is
23determined that the Department should issue a credit memorandum
24or refund, the Department may first apply the amount thereof
25against any tax or penalty or interest due or to become due

 

 

10000SB0990sam001- 121 -LRB100 07613 HLH 26683 a

1under this Act or under the Use Tax Act, the Service Occupation
2Tax Act, the Service Use Tax Act, any local occupation or use
3tax administered by the Department, Section 4 of the Water
4Commission Act of 1985, subsections (b), (c) and (d) of Section
55.01 of the Local Mass Transit District Act, or subsections
6(e), (f) and (g) of Section 4.03 of the Regional Transportation
7Authority Act, from the person who made the erroneous payment.
8If no tax or penalty or interest is due and no proceeding is
9pending to determine whether such person is indebted to the
10Department for tax or penalty or interest, the credit
11memorandum or refund shall be issued to the claimant; or (in
12the case of a credit memorandum) the credit memorandum may be
13assigned and set over by the lawful holder thereof, subject to
14reasonable rules of the Department, to any other person who is
15subject to this Act, the Use Tax Act, the Service Occupation
16Tax Act, the Service Use Tax Act, any local occupation or use
17tax administered by the Department, Section 4 of the Water
18Commission Act of 1985, subsections (b), (c) and (d) of Section
195.01 of the Local Mass Transit District Act, or subsections
20(e), (f) and (g) of Section 4.03 of the Regional Transportation
21Authority Act, and the amount thereof applied by the Department
22against any tax or penalty or interest due or to become due
23under this Act or under the Use Tax Act, the Service Occupation
24Tax Act, the Service Use Tax Act, any local occupation or use
25tax administered by the Department, Section 4 of the Water
26Commission Act of 1985, subsections (b), (c) and (d) of Section

 

 

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15.01 of the Local Mass Transit District Act, or subsections
2(e), (f) and (g) of Section 4.03 of the Regional Transportation
3Authority Act, from such assignee. However, as to any claim for
4credit or refund filed with the Department on and after each
5January 1 and July 1 no amount of tax or penalty or interest
6erroneously paid (either in total or partial liquidation of a
7tax or penalty or amount of interest under this Act) more than
83 years prior to such January 1 and July 1, respectively, shall
9be credited or refunded, except that if both the Department and
10the taxpayer have agreed to an extension of time to issue a
11notice of tax liability as provided in Section 4 of this Act,
12such claim may be filed at any time prior to the expiration of
13the period agreed upon.
14    No claim may be allowed for any amount paid to the
15Department, whether paid voluntarily or involuntarily, if paid
16in total or partial liquidation of an assessment which had
17become final before the claim for credit or refund to recover
18the amount so paid is filed with the Department, or if paid in
19total or partial liquidation of a judgment or order of court.
20No credit may be allowed or refund made for any amount paid by
21or collected from any claimant unless it appears (a) that the
22claimant bore the burden of such amount and has not been
23relieved thereof nor reimbursed therefor and has not shifted
24such burden directly or indirectly through inclusion of such
25amount in the price of the tangible personal property sold by
26him or her or in any manner whatsoever; and that no

 

 

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1understanding or agreement, written or oral, exists whereby he
2or she or his or her legal representative may be relieved of
3the burden of such amount, be reimbursed therefor or may shift
4the burden thereof; or (b) that he or she or his or her legal
5representative has repaid unconditionally such amount to his or
6her vendee (1) who bore the burden thereof and has not shifted
7such burden directly or indirectly, in any manner whatsoever;
8(2) who, if he or she has shifted such burden, has repaid
9unconditionally such amount to his own vendee; and (3) who is
10not entitled to receive any reimbursement therefor from any
11other source than from his or her vendor, nor to be relieved of
12such burden in any manner whatsoever. No credit may be allowed
13or refund made for any amount paid by or collected from any
14claimant unless it appears that the claimant has
15unconditionally repaid, to the purchaser, any amount collected
16from the purchaser and retained by the claimant with respect to
17the same transaction under the Use Tax Act.
18    Any credit or refund that is allowed under this Section
19shall bear interest at the rate and in the manner specified in
20the Uniform Penalty and Interest Act.
21    In case the Department determines that the claimant is
22entitled to a refund, such refund shall be made only from the
23Aviation Fuel Sales Tax Refund Fund or from such appropriation
24as may be available for that purpose, as appropriate. If it
25appears unlikely that the amount available appropriated would
26permit everyone having a claim allowed during the period

 

 

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1covered by such appropriation or from the Aviation Fuel Sales
2Tax Refund Fund, as appropriate, to elect to receive a cash
3refund, the Department, by rule or regulation, shall provide
4for the payment of refunds in hardship cases and shall define
5what types of cases qualify as hardship cases.
6    If a retailer who has failed to pay retailers' occupation
7tax on gross receipts from retail sales is required by the
8Department to pay such tax, such retailer, without filing any
9formal claim with the Department, shall be allowed to take
10credit against such retailers' occupation tax liability to the
11extent, if any, to which such retailer has paid an amount
12equivalent to retailers' occupation tax or has paid use tax in
13error to his or her vendor or vendors of the same tangible
14personal property which such retailer bought for resale and did
15not first use before selling it, and no penalty or interest
16shall be charged to such retailer on the amount of such credit.
17However, when such credit is allowed to the retailer by the
18Department, the vendor is precluded from refunding any of that
19tax to the retailer and filing a claim for credit or refund
20with respect thereto with the Department. The provisions of
21this amendatory Act shall be applied retroactively, regardless
22of the date of the transaction.
23(Source: P.A. 91-901, eff. 1-1-01.)
 
24    (35 ILCS 120/11)  (from Ch. 120, par. 450)
25    Sec. 11. All information received by the Department from

 

 

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1returns filed under this Act, or from any investigation
2conducted under this Act, shall be confidential, except for
3official purposes, and any person who divulges any such
4information in any manner, except in accordance with a proper
5judicial order or as otherwise provided by law, shall be guilty
6of a Class B misdemeanor with a fine not to exceed $7,500.
7    Nothing in this Act prevents the Director of Revenue from
8publishing or making available to the public the names and
9addresses of persons filing returns under this Act, or
10reasonable statistics concerning the operation of the tax by
11grouping the contents of returns so the information in any
12individual return is not disclosed.
13    Nothing in this Act prevents the Director of Revenue from
14divulging to the United States Government or the government of
15any other state, or any officer or agency thereof, for
16exclusively official purposes, information received by the
17Department in administering this Act, provided that such other
18governmental agency agrees to divulge requested tax
19information to the Department.
20    The Department's furnishing of information derived from a
21taxpayer's return or from an investigation conducted under this
22Act to the surety on a taxpayer's bond that has been furnished
23to the Department under this Act, either to provide notice to
24such surety of its potential liability under the bond or, in
25order to support the Department's demand for payment from such
26surety under the bond, is an official purpose within the

 

 

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1meaning of this Section.
2    The furnishing upon request of information obtained by the
3Department from returns filed under this Act or investigations
4conducted under this Act to the Illinois Liquor Control
5Commission for official use is deemed to be an official purpose
6within the meaning of this Section.
7    Notice to a surety of potential liability shall not be
8given unless the taxpayer has first been notified, not less
9than 10 days prior thereto, of the Department's intent to so
10notify the surety.
11    The furnishing upon request of the Auditor General, or his
12authorized agents, for official use, of returns filed and
13information related thereto under this Act is deemed to be an
14official purpose within the meaning of this Section.
15    Where an appeal or a protest has been filed on behalf of a
16taxpayer, the furnishing upon request of the attorney for the
17taxpayer of returns filed by the taxpayer and information
18related thereto under this Act is deemed to be an official
19purpose within the meaning of this Section.
20    The furnishing of financial information to a municipality
21or county, upon request of the chief executive officer thereof,
22is an official purpose within the meaning of this Section,
23provided the municipality or county agrees in writing to the
24requirements of this Section. Information provided to
25municipalities and counties under this paragraph shall be
26limited to: (1) the business name; (2) the business address;

 

 

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1(3) the standard classification number assigned to the
2business; (4) net revenue distributed to the requesting
3municipality or county that is directly related to the
4requesting municipality's or county's local share of the
5proceeds under the Use Tax Act, the Service Use Tax Act, the
6Service Occupation Tax Act, and the Retailers' Occupation Tax
7Act distributed from the Local Government Tax Fund, and, if
8applicable, any locally imposed retailers' occupation tax or
9service occupation tax; and (5) a listing of all businesses
10within the requesting municipality or county by account
11identification number and address. On and after July 1, 2015,
12the furnishing of financial information to municipalities and
13counties under this paragraph may be by electronic means.
14    Information so provided shall be subject to all
15confidentiality provisions of this Section. The written
16agreement shall provide for reciprocity, limitations on
17access, disclosure, and procedures for requesting information.
18    The Department may make available to the Board of Trustees
19of any Metro East Mass Transit District information contained
20on transaction reporting returns required to be filed under
21Section 3 of this Act that report sales made within the
22boundary of the taxing authority of that Metro East Mass
23Transit District, as provided in Section 5.01 of the Local Mass
24Transit District Act. The disclosure shall be made pursuant to
25a written agreement between the Department and the Board of
26Trustees of a Metro East Mass Transit District, which is an

 

 

10000SB0990sam001- 128 -LRB100 07613 HLH 26683 a

1official purpose within the meaning of this Section. The
2written agreement between the Department and the Board of
3Trustees of a Metro East Mass Transit District shall provide
4for reciprocity, limitations on access, disclosure, and
5procedures for requesting information. Information so provided
6shall be subject to all confidentiality provisions of this
7Section.
8    The Director may make available to any State agency,
9including the Illinois Supreme Court, which licenses persons to
10engage in any occupation, information that a person licensed by
11such agency has failed to file returns under this Act or pay
12the tax, penalty and interest shown therein, or has failed to
13pay any final assessment of tax, penalty or interest due under
14this Act. The Director may make available to any State agency,
15including the Illinois Supreme Court, information regarding
16whether a bidder, contractor, or an affiliate of a bidder or
17contractor has failed to collect and remit Illinois Use tax on
18sales into Illinois, or any tax under this Act or pay the tax,
19penalty, and interest shown therein, or has failed to pay any
20final assessment of tax, penalty, or interest due under this
21Act, for the limited purpose of enforcing bidder and contractor
22certifications. The Director may make available to units of
23local government and school districts that require bidder and
24contractor certifications, as set forth in Sections 50-11 and
2550-12 of the Illinois Procurement Code, information regarding
26whether a bidder, contractor, or an affiliate of a bidder or

 

 

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1contractor has failed to collect and remit Illinois Use tax on
2sales into Illinois, file returns under this Act, or pay the
3tax, penalty, and interest shown therein, or has failed to pay
4any final assessment of tax, penalty, or interest due under
5this Act, for the limited purpose of enforcing bidder and
6contractor certifications. For purposes of this Section, the
7term "affiliate" means any entity that (1) directly,
8indirectly, or constructively controls another entity, (2) is
9directly, indirectly, or constructively controlled by another
10entity, or (3) is subject to the control of a common entity.
11For purposes of this Section, an entity controls another entity
12if it owns, directly or individually, more than 10% of the
13voting securities of that entity. As used in this Section, the
14term "voting security" means a security that (1) confers upon
15the holder the right to vote for the election of members of the
16board of directors or similar governing body of the business or
17(2) is convertible into, or entitles the holder to receive upon
18its exercise, a security that confers such a right to vote. A
19general partnership interest is a voting security.
20    The Director may make available to any State agency,
21including the Illinois Supreme Court, units of local
22government, and school districts, information regarding
23whether a bidder or contractor is an affiliate of a person who
24is not collecting and remitting Illinois Use taxes for the
25limited purpose of enforcing bidder and contractor
26certifications.

 

 

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1    The Director may also make available to the Secretary of
2State information that a limited liability company, which has
3filed articles of organization with the Secretary of State, or
4corporation which has been issued a certificate of
5incorporation by the Secretary of State has failed to file
6returns under this Act or pay the tax, penalty and interest
7shown therein, or has failed to pay any final assessment of
8tax, penalty or interest due under this Act. An assessment is
9final when all proceedings in court for review of such
10assessment have terminated or the time for the taking thereof
11has expired without such proceedings being instituted.
12    The Director shall make available for public inspection in
13the Department's principal office and for publication, at cost,
14administrative decisions issued on or after January 1, 1995.
15These decisions are to be made available in a manner so that
16the following taxpayer information is not disclosed:
17        (1) The names, addresses, and identification numbers
18    of the taxpayer, related entities, and employees.
19        (2) At the sole discretion of the Director, trade
20    secrets or other confidential information identified as
21    such by the taxpayer, no later than 30 days after receipt
22    of an administrative decision, by such means as the
23    Department shall provide by rule.
24    The Director shall determine the appropriate extent of the
25deletions allowed in paragraph (2). In the event the taxpayer
26does not submit deletions, the Director shall make only the

 

 

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1deletions specified in paragraph (1).
2    The Director shall make available for public inspection and
3publication an administrative decision within 180 days after
4the issuance of the administrative decision. The term
5"administrative decision" has the same meaning as defined in
6Section 3-101 of Article III of the Code of Civil Procedure.
7Costs collected under this Section shall be paid into the Tax
8Compliance and Administration Fund.
9    Nothing contained in this Act shall prevent the Director
10from divulging information to any person pursuant to a request
11or authorization made by the taxpayer or by an authorized
12representative of the taxpayer.
13    The furnishing of information obtained by the Department
14from returns filed under this amendatory Act of the 100th
15General Assembly to the Department of Transportation for
16purposes of compliance with this amendatory Act of the 100th
17General Assembly regarding aviation fuel is deemed to be an
18official purpose within the meaning of this Section.
19(Source: P.A. 98-1058, eff. 1-1-15; 99-517, eff. 6-30-16.)
 
20    Section 30. The Motor Fuel Tax Law is amended by changing
21Sections 2, 2b, and 8a as follows:
 
22    (35 ILCS 505/2)  (from Ch. 120, par. 418)
23    Sec. 2. A tax is imposed on the privilege of operating
24motor vehicles upon the public highways and recreational-type

 

 

10000SB0990sam001- 132 -LRB100 07613 HLH 26683 a

1watercraft upon the waters of this State.
2    (a) Prior to August 1, 1989, the tax is imposed at the rate
3of 13 cents per gallon on all motor fuel used in motor vehicles
4operating on the public highways and recreational type
5watercraft operating upon the waters of this State. Beginning
6on August 1, 1989 and until January 1, 1990, the rate of the
7tax imposed in this paragraph shall be 16 cents per gallon.
8Beginning January 1, 1990, the rate of tax imposed in this
9paragraph shall be 19 cents per gallon.
10    (b) The tax on the privilege of operating motor vehicles
11which use diesel fuel shall be the rate according to paragraph
12(a) plus an additional 2 1/2 cents per gallon. "Diesel fuel" is
13defined as any product intended for use or offered for sale as
14a fuel for engines in which the fuel is injected into the
15combustion chamber and ignited by pressure without electric
16spark.
17    (c) A tax is imposed upon the privilege of engaging in the
18business of selling motor fuel as a retailer or reseller on all
19motor fuel used in motor vehicles operating on the public
20highways and recreational type watercraft operating upon the
21waters of this State: (1) at the rate of 3 cents per gallon on
22motor fuel owned or possessed by such retailer or reseller at
2312:01 a.m. on August 1, 1989; and (2) at the rate of 3 cents per
24gallon on motor fuel owned or possessed by such retailer or
25reseller at 12:01 A.M. on January 1, 1990.
26    Retailers and resellers who are subject to this additional

 

 

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1tax shall be required to inventory such motor fuel and pay this
2additional tax in a manner prescribed by the Department of
3Revenue.
4    The tax imposed in this paragraph (c) shall be in addition
5to all other taxes imposed by the State of Illinois or any unit
6of local government in this State.
7    (d) Except as provided in Section 2a, the collection of a
8tax based on gallonage of gasoline used for the propulsion of
9any aircraft is prohibited on and after October 1, 1979, and
10the collection of a tax based on gallonage of special fuel used
11for the propulsion of any aircraft is prohibited on and after
12December 1, 2017.
13    (e) The collection of a tax, based on gallonage of all
14products commonly or commercially known or sold as 1-K
15kerosene, regardless of its classification or uses, is
16prohibited (i) on and after July 1, 1992 until December 31,
171999, except when the 1-K kerosene is either: (1) delivered
18into bulk storage facilities of a bulk user, or (2) delivered
19directly into the fuel supply tanks of motor vehicles and (ii)
20on and after January 1, 2000. Beginning on January 1, 2000, the
21collection of a tax, based on gallonage of all products
22commonly or commercially known or sold as 1-K kerosene,
23regardless of its classification or uses, is prohibited except
24when the 1-K kerosene is delivered directly into a storage tank
25that is located at a facility that has withdrawal facilities
26that are readily accessible to and are capable of dispensing

 

 

10000SB0990sam001- 134 -LRB100 07613 HLH 26683 a

11-K kerosene into the fuel supply tanks of motor vehicles. For
2purposes of this subsection (e), a facility is considered to
3have withdrawal facilities that are not "readily accessible to
4and capable of dispensing 1-K kerosene into the fuel supply
5tanks of motor vehicles" only if the 1-K kerosene is delivered
6from: (i) a dispenser hose that is short enough so that it will
7not reach the fuel supply tank of a motor vehicle or (ii) a
8dispenser that is enclosed by a fence or other physical barrier
9so that a vehicle cannot pull alongside the dispenser to permit
10fueling.
11    Any person who sells or uses 1-K kerosene for use in motor
12vehicles upon which the tax imposed by this Law has not been
13paid shall be liable for any tax due on the sales or use of 1-K
14kerosene.
15(Source: P.A. 96-1384, eff. 7-29-10.)
 
16    (35 ILCS 505/2b)  (from Ch. 120, par. 418b)
17    Sec. 2b. In addition to the tax collection and reporting
18responsibilities imposed elsewhere in this Act, a person who is
19required to pay the tax imposed by Section 2a of this Act shall
20pay the tax to the Department by return showing all fuel
21purchased, acquired or received and sold, distributed or used
22during the preceding calendar month including losses of fuel as
23the result of evaporation or shrinkage due to temperature
24variations, and such other reasonable information as the
25Department may require. Losses of fuel as the result of

 

 

10000SB0990sam001- 135 -LRB100 07613 HLH 26683 a

1evaporation or shrinkage due to temperature variations may not
2exceed 1% of the total gallons in storage at the beginning of
3the month, plus the receipts of gallonage during the month,
4minus the gallonage remaining in storage at the end of the
5month. Any loss reported that is in excess of this amount shall
6be subject to the tax imposed by Section 2a of this Law. On and
7after July 1, 2001, for each 6-month period January through
8June, net losses of fuel (for each category of fuel that is
9required to be reported on a return) as the result of
10evaporation or shrinkage due to temperature variations may not
11exceed 1% of the total gallons in storage at the beginning of
12each January, plus the receipts of gallonage each January
13through June, minus the gallonage remaining in storage at the
14end of each June. On and after July 1, 2001, for each 6-month
15period July through December, net losses of fuel (for each
16category of fuel that is required to be reported on a return)
17as the result of evaporation or shrinkage due to temperature
18variations may not exceed 1% of the total gallons in storage at
19the beginning of each July, plus the receipts of gallonage each
20July through December, minus the gallonage remaining in storage
21at the end of each December. Any net loss reported that is in
22excess of this amount shall be subject to the tax imposed by
23Section 2a of this Law. For purposes of this Section, "net
24loss" means the number of gallons gained through temperature
25variations minus the number of gallons lost through temperature
26variations or evaporation for each of the respective 6-month

 

 

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1periods.
2    The return shall be prescribed by the Department and shall
3be filed between the 1st and 20th days of each calendar month.
4The Department may, in its discretion, combine the returns
5filed under this Section, Section 5, and Section 5a of this
6Act. The return must be accompanied by appropriate
7computer-generated magnetic media supporting schedule data in
8the format required by the Department, unless, as provided by
9rule, the Department grants an exception upon petition of a
10taxpayer. If the return is filed timely, the seller shall take
11a discount of 2% through June 30, 2003 and 1.75% thereafter
12which is allowed to reimburse the seller for the expenses
13incurred in keeping records, preparing and filing returns,
14collecting and remitting the tax and supplying data to the
15Department on request. The discount, however, shall be
16applicable only to the amount of payment which accompanies a
17return that is filed timely in accordance with this Section.
18The discount under this Section is not allowed for taxes paid
19on aviation fuel that are deposited into the State Aviation
20Program Fund under this Act.
21    Beginning on January 1, 2018, each person who is required
22to pay the tax imposed under Section 2a of this Act on aviation
23fuel sold or used in this State during the preceding calendar
24month shall, instead of reporting and paying tax on aviation
25fuel as otherwise required by this Section, report and pay such
26tax on a separate aviation fuel tax return, on or before the

 

 

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1twentieth day of each calendar month. The requirements related
2to the return shall be as otherwise provided in this Section.
3Notwithstanding any other provisions of this Act to the
4contrary, a person required to pay the tax imposed by Section
52a of this Act on aviation fuel shall file all aviation fuel
6tax returns and shall make all aviation fuel tax payments by
7electronic means in the manner and form required by the
8Department. For purposes of this paragraph, "aviation fuel"
9means a product that is intended for use or offered for sale as
10fuel for an aircraft.
11(Source: P.A. 92-30, eff. 7-1-01; 93-32, eff. 6-20-03.)
 
12    (35 ILCS 505/8a)  (from Ch. 120, par. 424a)
13    Sec. 8a. All money received by the Department under Section
142a of this Act, except money received from taxes on aviation
15fuel sold or used on or after December 1, 2017, shall be
16deposited in the Underground Storage Tank Fund created by
17Section 57.11 of the Environmental Protection Act, as now or
18hereafter amended. All money received by the Department under
19Section 2a of this Act for aviation fuel sold or used on or
20after December 1, 2017, shall be deposited into the State
21Aviation Program Fund. This exception for aviation fuel only
22applies for so long as the revenue use requirements of 49
23U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the State.
24For purposes of this section, "aviation fuel" means a product
25that is intended for use or offered for sale as fuel for an

 

 

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1aircraft.
2(Source: P.A. 88-496.)
 
3    Section 35. The Innovation Development and Economy Act is
4amended by changing Sections 10 and 31 as follows:
 
5    (50 ILCS 470/10)
6    Sec. 10. Definitions. As used in this Act, the following
7words and phrases shall have the following meanings unless a
8different meaning clearly appears from the context:
9    "Base year" means the calendar year immediately prior to
10the calendar year in which the STAR bond district is
11established.
12    "Commence work" means the manifest commencement of actual
13operations on the development site, such as, erecting a
14building, general on-site and off-site grading and utility
15installations, commencing design and construction
16documentation, ordering lead-time materials, excavating the
17ground to lay a foundation or a basement, or work of like
18description which a reasonable person would recognize as being
19done with the intention and purpose to continue work until the
20project is completed.
21    "County" means the county in which a proposed STAR bond
22district is located.
23    "De minimis" means an amount less than 15% of the land area
24within a STAR bond district.

 

 

10000SB0990sam001- 139 -LRB100 07613 HLH 26683 a

1    "Department of Revenue" means the Department of Revenue of
2the State of Illinois.
3    "Destination user" means an owner, operator, licensee,
4co-developer, subdeveloper, or tenant (i) that operates a
5business within a STAR bond district that is a retail store
6having at least 150,000 square feet of sales floor area; (ii)
7that at the time of opening does not have another Illinois
8location within a 70 mile radius; (iii) that has an annual
9average of not less than 30% of customers who travel from at
10least 75 miles away or from out-of-state, as demonstrated by
11data from a comparable existing store or stores, or, if there
12is no comparable existing store, as demonstrated by an economic
13analysis that shows that the proposed retailer will have an
14annual average of not less than 30% of customers who travel
15from at least 75 miles away or from out-of-state; and (iv) that
16makes an initial capital investment, including project costs
17and other direct costs, of not less than $30,000,000 for such
18retail store.
19    "Destination hotel" means a hotel (as that term is defined
20in Section 2 of the Hotel Operators' Occupation Tax Act)
21complex having at least 150 guest rooms and which also includes
22a venue for entertainment attractions, rides, or other
23activities oriented toward the entertainment and amusement of
24its guests and other patrons.
25    "Developer" means any individual, corporation, trust,
26estate, partnership, limited liability partnership, limited

 

 

10000SB0990sam001- 140 -LRB100 07613 HLH 26683 a

1liability company, or other entity. The term does not include a
2not-for-profit entity, political subdivision, or other agency
3or instrumentality of the State.
4    "Director" means the Director of Revenue, who shall consult
5with the Director of Commerce and Economic Opportunity in any
6approvals or decisions required by the Director under this Act.
7    "Economic impact study" means a study conducted by an
8independent economist to project the financial benefit of the
9proposed STAR bond project to the local, regional, and State
10economies, consider the proposed adverse impacts on similar
11projects and businesses, as well as municipalities within the
12projected market area, and draw conclusions about the net
13effect of the proposed STAR bond project on the local,
14regional, and State economies. A copy of the economic impact
15study shall be provided to the Director for review.
16    "Eligible area" means any improved or vacant area that (i)
17is contiguous and is not, in the aggregate, less than 250 acres
18nor more than 500 acres which must include only parcels of real
19property directly and substantially benefited by the proposed
20STAR bond district plan, (ii) is adjacent to a federal
21interstate highway, (iii) is within one mile of 2 State
22highways, (iv) is within one mile of an entertainment user, or
23a major or minor league sports stadium or other similar
24entertainment venue that had an initial capital investment of
25at least $20,000,000, and (v) includes land that was previously
26surface or strip mined. The area may be bisected by streets,

 

 

10000SB0990sam001- 141 -LRB100 07613 HLH 26683 a

1highways, roads, alleys, railways, bike paths, streams,
2rivers, and other waterways and still be deemed contiguous. In
3addition, in order to constitute an eligible area one of the
4following requirements must be satisfied and all of which are
5subject to the review and approval of the Director as provided
6in subsection (d) of Section 15:
7        (a) the governing body of the political subdivision
8    shall have determined that the area meets the requirements
9    of a "blighted area" as defined under the Tax Increment
10    Allocation Redevelopment Act; or
11        (b) the governing body of the political subdivision
12    shall have determined that the area is a blighted area as
13    determined under the provisions of Section 11-74.3-5 of the
14    Illinois Municipal Code; or
15        (c) the governing body of the political subdivision
16    shall make the following findings:
17            (i) that the vacant portions of the area have
18        remained vacant for at least one year, or that any
19        building located on a vacant portion of the property
20        was demolished within the last year and that the
21        building would have qualified under item (ii) of this
22        subsection;
23            (ii) if portions of the area are currently
24        developed, that the use, condition, and character of
25        the buildings on the property are not consistent with
26        the purposes set forth in Section 5;

 

 

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1            (iii) that the STAR bond district is expected to
2        create or retain job opportunities within the
3        political subdivision;
4            (iv) that the STAR bond district will serve to
5        further the development of adjacent areas;
6            (v) that without the availability of STAR bonds,
7        the projects described in the STAR bond district plan
8        would not be possible;
9            (vi) that the master developer meets high
10        standards of creditworthiness and financial strength
11        as demonstrated by one or more of the following: (i)
12        corporate debenture ratings of BBB or higher by
13        Standard & Poor's Corporation or Baa or higher by
14        Moody's Investors Service, Inc.; (ii) a letter from a
15        financial institution with assets of $10,000,000 or
16        more attesting to the financial strength of the master
17        developer; or (iii) specific evidence of equity
18        financing for not less than 10% of the estimated total
19        STAR bond project costs;
20            (vii) that the STAR bond district will strengthen
21        the commercial sector of the political subdivision;
22            (viii) that the STAR bond district will enhance the
23        tax base of the political subdivision; and
24            (ix) that the formation of a STAR bond district is
25        in the best interest of the political subdivision.
26    "Entertainment user" means an owner, operator, licensee,

 

 

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1co-developer, subdeveloper, or tenant that operates a business
2within a STAR bond district that has a primary use of providing
3a venue for entertainment attractions, rides, or other
4activities oriented toward the entertainment and amusement of
5its patrons, occupies at least 20 acres of land in the STAR
6bond district, and makes an initial capital investment,
7including project costs and other direct and indirect costs, of
8not less than $25,000,000 for that venue.
9    "Feasibility study" means a feasibility study as defined in
10subsection (b) of Section 20.
11    "Infrastructure" means the public improvements and private
12improvements that serve the public purposes set forth in
13Section 5 of this Act and that benefit the STAR bond district
14or any STAR bond projects, including, but not limited to,
15streets, drives and driveways, traffic and directional signs
16and signals, parking lots and parking facilities,
17interchanges, highways, sidewalks, bridges, underpasses and
18overpasses, bike and walking trails, sanitary storm sewers and
19lift stations, drainage conduits, channels, levees, canals,
20storm water detention and retention facilities, utilities and
21utility connections, water mains and extensions, and street and
22parking lot lighting and connections.
23    "Local sales taxes" means any locally imposed taxes
24received by a municipality, county, or other local governmental
25entity arising from sales by retailers and servicemen within a
26STAR bond district, including business district sales taxes and

 

 

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1STAR bond occupation taxes, and that portion of the net revenue
2realized under the Retailers' Occupation Tax Act, the Use Tax
3Act, the Service Use Tax Act, and the Service Occupation Tax
4Act from transactions at places of business located within a
5STAR bond district that is deposited into the Local Government
6Tax Fund and the County and Mass Transit District Fund. For the
7purpose of this Act, "local sales taxes" does not include (i)
8any taxes authorized pursuant to the Local Mass Transit
9District Act or the Metro-East Park and Recreation District Act
10for so long as the applicable taxing district does not impose a
11tax on real property, (ii) county school facility occupation
12taxes imposed pursuant to Section 5-1006.7 of the Counties
13Code, or (iii) any taxes authorized under the Flood Prevention
14District Act.
15    "Local sales tax increment" means, except as otherwise
16provided in this Section, with respect to local sales taxes
17administered by the Illinois Department of Revenue, (i) all of
18the local sales tax paid by destination users, destination
19hotels, and entertainment users that is in excess of the local
20sales tax paid by destination users, destination hotels, and
21entertainment users for the same month in the base year, as
22determined by the Illinois Department of Revenue, (ii) in the
23case of a municipality forming a STAR bond district that is
24wholly within the corporate boundaries of the municipality and
25in the case of a municipality and county forming a STAR bond
26district that is only partially within such municipality, that

 

 

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1portion of the local sales tax paid by taxpayers that are not
2destination users, destination hotels, or entertainment users
3that is in excess of the local sales tax paid by taxpayers that
4are not destination users, destination hotels, or
5entertainment users for the same month in the base year, as
6determined by the Illinois Department of Revenue, and (iii) in
7the case of a county in which a STAR bond district is formed
8that is wholly within a municipality, that portion of the local
9sales tax paid by taxpayers that are not destination users,
10destination hotels, or entertainment users that is in excess of
11the local sales tax paid by taxpayers that are not destination
12users, destination hotels, or entertainment users for the same
13month in the base year, as determined by the Illinois
14Department of Revenue, but only if the corporate authorities of
15the county adopts an ordinance, and files a copy with the
16Department within the same time frames as required for STAR
17bond occupation taxes under Section 31, that designates the
18taxes referenced in this clause (iii) as part of the local
19sales tax increment under this Act. "Local sales tax increment"
20means, with respect to local sales taxes administered by a
21municipality, county, or other unit of local government, that
22portion of the local sales tax that is in excess of the local
23sales tax for the same month in the base year, as determined by
24the respective municipality, county, or other unit of local
25government. If any portion of local sales taxes are, at the
26time of formation of a STAR bond district, already subject to

 

 

10000SB0990sam001- 146 -LRB100 07613 HLH 26683 a

1tax increment financing under the Tax Increment Allocation
2Redevelopment Act, then the local sales tax increment for such
3portion shall be frozen at the base year established in
4accordance with this Act, and all future incremental increases
5shall be included in the "local sales tax increment" under this
6Act. Any party otherwise entitled to receipt of incremental
7local sales tax revenues through an existing tax increment
8financing district shall be entitled to continue to receive
9such revenues up to the amount frozen in the base year. Nothing
10in this Act shall affect the prior qualification of existing
11redevelopment project costs incurred that are eligible for
12reimbursement under the Tax Increment Allocation Redevelopment
13Act. In such event, prior to approving a STAR bond district,
14the political subdivision forming the STAR bond district shall
15take such action as is necessary, including amending the
16existing tax increment financing district redevelopment plan,
17to carry out the provisions of this Act. The Illinois
18Department of Revenue shall allocate the local sales tax
19increment only if the local sales tax is administered by the
20Department. "Local sales tax increment" does not include taxes
21and penalties collected on aviation fuel, as defined in Section
223 of the Retailers' Occupation Tax, sold on or after December
231, 2017.
24    "Market study" means a study to determine the ability of
25the proposed STAR bond project to gain market share locally and
26regionally and to remain profitable past the term of repayment

 

 

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1of STAR bonds.
2    "Master developer" means a developer cooperating with a
3political subdivision to plan, develop, and implement a STAR
4bond project plan for a STAR bond district. Subject to the
5limitations of Section 25, the master developer may work with
6and transfer certain development rights to other developers for
7the purpose of implementing STAR bond project plans and
8achieving the purposes of this Act. A master developer for a
9STAR bond district shall be appointed by a political
10subdivision in the resolution establishing the STAR bond
11district, and the master developer must, at the time of
12appointment, own or have control of, through purchase
13agreements, option contracts, or other means, not less than 50%
14of the acreage within the STAR bond district and the master
15developer or its affiliate must have ownership or control on
16June 1, 2010.
17    "Master development agreement" means an agreement between
18the master developer and the political subdivision to govern a
19STAR bond district and any STAR bond projects.
20    "Municipality" means the city, village, or incorporated
21town in which a proposed STAR bond district is located.
22    "Pledged STAR revenues" means those sales tax and revenues
23and other sources of funds pledged to pay debt service on STAR
24bonds or to pay project costs pursuant to Section 30.
25Notwithstanding any provision to the contrary, the following
26revenues shall not constitute pledged STAR revenues or be

 

 

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1available to pay principal and interest on STAR bonds: any
2State sales tax increment or local sales tax increment from a
3retail entity initiating operations in a STAR bond district
4while terminating operations at another Illinois location
5within 25 miles of the STAR bond district. For purposes of this
6paragraph, "terminating operations" means a closing of a retail
7operation that is directly related to the opening of the same
8operation or like retail entity owned or operated by more than
950% of the original ownership in a STAR bond district within
10one year before or after initiating operations in the STAR bond
11district, but it does not mean closing an operation for reasons
12beyond the control of the retail entity, as documented by the
13retail entity, subject to a reasonable finding by the
14municipality (or county if such retail operation is not located
15within a municipality) in which the terminated operations were
16located that the closed location contained inadequate space,
17had become economically obsolete, or was no longer a viable
18location for the retailer or serviceman.
19    "Political subdivision" means a municipality or county
20which undertakes to establish a STAR bond district pursuant to
21the provisions of this Act.
22    "Project costs" means and includes the sum total of all
23costs incurred or estimated to be incurred on or following the
24date of establishment of a STAR bond district that are
25reasonable or necessary to implement a STAR bond district plan
26or any STAR bond project plans, or both, including costs

 

 

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1incurred for public improvements and private improvements that
2serve the public purposes set forth in Section 5 of this Act.
3Such costs include without limitation the following:
4        (a) costs of studies, surveys, development of plans and
5    specifications, formation, implementation, and
6    administration of a STAR bond district, STAR bond district
7    plan, any STAR bond projects, or any STAR bond project
8    plans, including, but not limited to, staff and
9    professional service costs for architectural, engineering,
10    legal, financial, planning, or other services, provided
11    however that no charges for professional services may be
12    based on a percentage of the tax increment collected and no
13    contracts for professional services, excluding
14    architectural and engineering services, may be entered
15    into if the terms of the contract extend beyond a period of
16    3 years;
17        (b) property assembly costs, including, but not
18    limited to, acquisition of land and other real property or
19    rights or interests therein, located within the boundaries
20    of a STAR bond district, demolition of buildings, site
21    preparation, site improvements that serve as an engineered
22    barrier addressing ground level or below ground
23    environmental contamination, including, but not limited
24    to, parking lots and other concrete or asphalt barriers,
25    the clearing and grading of land, and importing additional
26    soil and fill materials, or removal of soil and fill

 

 

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1    materials from the site;
2        (c) subject to paragraph (d), costs of buildings and
3    other vertical improvements that are located within the
4    boundaries of a STAR bond district and owned by a political
5    subdivision or other public entity, including without
6    limitation police and fire stations, educational
7    facilities, and public restrooms and rest areas;
8        (c-1) costs of buildings and other vertical
9    improvements that are located within the boundaries of a
10    STAR bond district and owned by a destination user or
11    destination hotel; except that only 2 destination users in
12    a STAR bond district and one destination hotel are eligible
13    to include the cost of those vertical improvements as
14    project costs;
15        (c-5) costs of buildings; rides and attractions, which
16    include carousels, slides, roller coasters, displays,
17    models, towers, works of art, and similar theme and
18    amusement park improvements; and other vertical
19    improvements that are located within the boundaries of a
20    STAR bond district and owned by an entertainment user;
21    except that only one entertainment user in a STAR bond
22    district is eligible to include the cost of those vertical
23    improvements as project costs;
24        (d) costs of the design and construction of
25    infrastructure and public works located within the
26    boundaries of a STAR bond district that are reasonable or

 

 

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1    necessary to implement a STAR bond district plan or any
2    STAR bond project plans, or both, except that project costs
3    shall not include the cost of constructing a new municipal
4    public building principally used to provide offices,
5    storage space, or conference facilities or vehicle
6    storage, maintenance, or repair for administrative, public
7    safety, or public works personnel and that is not intended
8    to replace an existing public building unless the political
9    subdivision makes a reasonable determination in a STAR bond
10    district plan or any STAR bond project plans, supported by
11    information that provides the basis for that
12    determination, that the new municipal building is required
13    to meet an increase in the need for public safety purposes
14    anticipated to result from the implementation of the STAR
15    bond district plan or any STAR bond project plans;
16        (e) costs of the design and construction of the
17    following improvements located outside the boundaries of a
18    STAR bond district, provided that the costs are essential
19    to further the purpose and development of a STAR bond
20    district plan and either (i) part of and connected to
21    sewer, water, or utility service lines that physically
22    connect to the STAR bond district or (ii) significant
23    improvements for adjacent offsite highways, streets,
24    roadways, and interchanges that are approved by the
25    Illinois Department of Transportation. No other cost of
26    infrastructure and public works improvements located

 

 

10000SB0990sam001- 152 -LRB100 07613 HLH 26683 a

1    outside the boundaries of a STAR bond district may be
2    deemed project costs;
3        (f) costs of job training and retraining projects,
4    including the cost of "welfare to work" programs
5    implemented by businesses located within a STAR bond
6    district;
7        (g) financing costs, including, but not limited to, all
8    necessary and incidental expenses related to the issuance
9    of obligations and which may include payment of interest on
10    any obligations issued hereunder including interest
11    accruing during the estimated period of construction of any
12    improvements in a STAR bond district or any STAR bond
13    projects for which such obligations are issued and for not
14    exceeding 36 months thereafter and including reasonable
15    reserves related thereto;
16        (h) to the extent the political subdivision by written
17    agreement accepts and approves the same, all or a portion
18    of a taxing district's capital costs resulting from a STAR
19    bond district or STAR bond projects necessarily incurred or
20    to be incurred within a taxing district in furtherance of
21    the objectives of a STAR bond district plan or STAR bond
22    project plans;
23        (i) interest cost incurred by a developer for project
24    costs related to the acquisition, formation,
25    implementation, development, construction, and
26    administration of a STAR bond district, STAR bond district

 

 

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1    plan, STAR bond projects, or any STAR bond project plans
2    provided that:
3            (i) payment of such costs in any one year may not
4        exceed 30% of the annual interest costs incurred by the
5        developer with regard to the STAR bond district or any
6        STAR bond projects during that year; and
7            (ii) the total of such interest payments paid
8        pursuant to this Act may not exceed 30% of the total
9        cost paid or incurred by the developer for a STAR bond
10        district or STAR bond projects, plus project costs,
11        excluding any property assembly costs incurred by a
12        political subdivision pursuant to this Act;
13        (j) costs of common areas located within the boundaries
14    of a STAR bond district;
15        (k) costs of landscaping and plantings, retaining
16    walls and fences, man-made lakes and ponds, shelters,
17    benches, lighting, and similar amenities located within
18    the boundaries of a STAR bond district;
19        (l) costs of mounted building signs, site monument, and
20    pylon signs located within the boundaries of a STAR bond
21    district; or
22        (m) if included in the STAR bond district plan and
23    approved in writing by the Director, salaries or a portion
24    of salaries for local government employees to the extent
25    the same are directly attributable to the work of such
26    employees on the establishment and management of a STAR

 

 

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1    bond district or any STAR bond projects.
2    Except as specified in items (a) through (m), "project
3costs" shall not include:
4        (i) the cost of construction of buildings that are
5    privately owned or owned by a municipality and leased to a
6    developer or retail user for non-entertainment retail
7    uses;
8        (ii) moving expenses for employees of the businesses
9    locating within the STAR bond district;
10        (iii) property taxes for property located in the STAR
11    bond district;
12        (iv) lobbying costs; and
13        (v) general overhead or administrative costs of the
14    political subdivision that would still have been incurred
15    by the political subdivision if the political subdivision
16    had not established a STAR bond district.
17    "Project development agreement" means any one or more
18agreements, including any amendments thereto, between a master
19developer and any co-developer or subdeveloper in connection
20with a STAR bond project, which project development agreement
21may include the political subdivision as a party.
22    "Projected market area" means any area within the State in
23which a STAR bond district or STAR bond project is projected to
24have a significant fiscal or market impact as determined by the
25Director.
26    "Resolution" means a resolution, order, ordinance, or

 

 

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1other appropriate form of legislative action of a political
2subdivision or other applicable public entity approved by a
3vote of a majority of a quorum at a meeting of the governing
4body of the political subdivision or applicable public entity.
5    "STAR bond" means a sales tax and revenue bond, note, or
6other obligation payable from pledged STAR revenues and issued
7by a political subdivision, the proceeds of which shall be used
8only to pay project costs as defined in this Act.
9    "STAR bond district" means the specific area declared to be
10an eligible area as determined by the political subdivision,
11and approved by the Director, in which the political
12subdivision may develop one or more STAR bond projects.
13    "STAR bond district plan" means the preliminary or
14conceptual plan that generally identifies the proposed STAR
15bond project areas and identifies in a general manner the
16buildings, facilities, and improvements to be constructed or
17improved in each STAR bond project area.
18    "STAR bond project" means a project within a STAR bond
19district which is approved pursuant to Section 20.
20    "STAR bond project area" means the geographic area within a
21STAR bond district in which there may be one or more STAR bond
22projects.
23    "STAR bond project plan" means the written plan adopted by
24a political subdivision for the development of a STAR bond
25project in a STAR bond district; the plan may include, but is
26not limited to, (i) project costs incurred prior to the date of

 

 

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1the STAR bond project plan and estimated future STAR bond
2project costs, (ii) proposed sources of funds to pay those
3costs, (iii) the nature and estimated term of any obligations
4to be issued by the political subdivision to pay those costs,
5(iv) the most recent equalized assessed valuation of the STAR
6bond project area, (v) an estimate of the equalized assessed
7valuation of the STAR bond district or applicable project area
8after completion of a STAR bond project, (vi) a general
9description of the types of any known or proposed developers,
10users, or tenants of the STAR bond project or projects included
11in the plan, (vii) a general description of the type,
12structure, and character of the property or facilities to be
13developed or improved, (viii) a description of the general land
14uses to apply to the STAR bond project, and (ix) a general
15description or an estimate of the type, class, and number of
16employees to be employed in the operation of the STAR bond
17project.
18    "State sales tax" means all of the net revenue realized
19under the Retailers' Occupation Tax Act, the Use Tax Act, the
20Service Use Tax Act, and the Service Occupation Tax Act from
21transactions at places of business located within a STAR bond
22district, excluding that portion of the net revenue realized
23under the Retailers' Occupation Tax Act, the Use Tax Act, the
24Service Use Tax Act, and the Service Occupation Tax Act from
25transactions at places of business located within a STAR bond
26district that is deposited into the Local Government Tax Fund

 

 

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1and the County and Mass Transit District Fund.
2    "State sales tax increment" means (i) 100% of that portion
3of the State sales tax that is in excess of the State sales tax
4for the same month in the base year, as determined by the
5Department of Revenue, from transactions at up to 2 destination
6users, one destination hotel, and one entertainment user
7located within a STAR bond district, which destination users,
8destination hotel, and entertainment user shall be designated
9by the master developer and approved by the political
10subdivision and the Director in conjunction with the applicable
11STAR bond project approval, and (ii) 25% of that portion of the
12State sales tax that is in excess of the State sales tax for
13the same month in the base year, as determined by the
14Department of Revenue, from all other transactions within a
15STAR bond district. If any portion of State sales taxes are, at
16the time of formation of a STAR bond district, already subject
17to tax increment financing under the Tax Increment Allocation
18Redevelopment Act, then the State sales tax increment for such
19portion shall be frozen at the base year established in
20accordance with this Act, and all future incremental increases
21shall be included in the State sales tax increment under this
22Act. Any party otherwise entitled to receipt of incremental
23State sales tax revenues through an existing tax increment
24financing district shall be entitled to continue to receive
25such revenues up to the amount frozen in the base year. Nothing
26in this Act shall affect the prior qualification of existing

 

 

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1redevelopment project costs incurred that are eligible for
2reimbursement under the Tax Increment Allocation Redevelopment
3Act. In such event, prior to approving a STAR bond district,
4the political subdivision forming the STAR bond district shall
5take such action as is necessary, including amending the
6existing tax increment financing district redevelopment plan,
7to carry out the provisions of this Act.
8    "Substantial change" means a change wherein the proposed
9STAR bond project plan differs substantially in size, scope, or
10use from the approved STAR bond district plan or STAR bond
11project plan.
12    "Taxpayer" means an individual, partnership, corporation,
13limited liability company, trust, estate, or other entity that
14is subject to the Illinois Income Tax Act.
15    "Total development costs" means the aggregate public and
16private investment in a STAR bond district, including project
17costs and other direct and indirect costs related to the
18development of the STAR bond district.
19    "Traditional retail use" means the operation of a business
20that derives at least 90% of its annual gross revenue from
21sales at retail, as that phrase is defined by Section 1 of the
22Retailers' Occupation Tax Act, but does not include the
23operations of destination users, entertainment users,
24restaurants, hotels, retail uses within hotels, or any other
25non-retail uses.
26    "Vacant" means that portion of the land in a proposed STAR

 

 

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1bond district that is not occupied by a building, facility, or
2other vertical improvement.
3(Source: P.A. 99-642, eff. 7-28-16.)
 
4    (50 ILCS 470/31)
5    Sec. 31. STAR bond occupation taxes.
6    (a) If the corporate authorities of a political subdivision
7have established a STAR bond district and have elected to
8impose a tax by ordinance pursuant to subsection (b) or (c) of
9this Section, each year after the date of the adoption of the
10ordinance and until all STAR bond project costs and all
11political subdivision obligations financing the STAR bond
12project costs, if any, have been paid in accordance with the
13STAR bond project plans, but in no event longer than the
14maximum maturity date of the last of the STAR bonds issued for
15projects in the STAR bond district, all amounts generated by
16the retailers' occupation tax and service occupation tax shall
17be collected and the tax shall be enforced by the Department of
18Revenue in the same manner as all retailers' occupation taxes
19and service occupation taxes imposed in the political
20subdivision imposing the tax. The corporate authorities of the
21political subdivision shall deposit the proceeds of the taxes
22imposed under subsections (b) and (c) into either (i) a special
23fund held by the corporate authorities of the political
24subdivision called the STAR Bonds Tax Allocation Fund for the
25purpose of paying STAR bond project costs and obligations

 

 

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1incurred in the payment of those costs if such taxes are
2designated as pledged STAR revenues by resolution or ordinance
3of the political subdivision or (ii) the political
4subdivision's general corporate fund if such taxes are not
5designated as pledged STAR revenues by resolution or ordinance.
6    The tax imposed under this Section by a municipality may be
7imposed only on the portion of a STAR bond district that is
8within the boundaries of the municipality. For any part of a
9STAR bond district that lies outside of the boundaries of that
10municipality, the municipality in which the other part of the
11STAR bond district lies (or the county, in cases where a
12portion of the STAR bond district lies in the unincorporated
13area of a county) is authorized to impose the tax under this
14Section on that part of the STAR bond district.
15    (b) The corporate authorities of a political subdivision
16that has established a STAR bond district under this Act may,
17by ordinance or resolution, impose a STAR Bond Retailers'
18Occupation Tax upon all persons engaged in the business of
19selling tangible personal property, other than an item of
20tangible personal property titled or registered with an agency
21of this State's government, at retail in the STAR bond district
22at a rate not to exceed 1% of the gross receipts from the sales
23made in the course of that business, to be imposed only in
240.25% increments. The tax may not be imposed on food for human
25consumption that is to be consumed off the premises where it is
26sold (other than alcoholic beverages, soft drinks, and food

 

 

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1that has been prepared for immediate consumption),
2prescription and nonprescription medicines, drugs, medical
3appliances, modifications to a motor vehicle for the purpose of
4rendering it usable by a person with a disability, and insulin,
5urine testing materials, syringes, and needles used by
6diabetics, for human use. Beginning December 1, 2017, this tax
7is not imposed on sales of aviation fuel unless the tax revenue
8is expended for airport-related purposes. If the District does
9not have an airport-related purpose to which aviation fuel tax
10revenue is dedicated, then aviation fuel is excluded from the
11tax. The municipality must comply with the certification
12requirements for airport-related purposes under Section
138-11-22 of the Illinois Municipal Code. For purposes of this
14Act, "airport-related purposes" has the meaning ascribed in
15Section 6z-20.2 of the State Finance Act. This exclusion for
16aviation fuel only applies for so long as the revenue use
17requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
18binding on the District.
19    The tax imposed under this subsection and all civil
20penalties that may be assessed as an incident thereof shall be
21collected and enforced by the Department of Revenue. The
22certificate of registration that is issued by the Department to
23a retailer under the Retailers' Occupation Tax Act shall permit
24the retailer to engage in a business that is taxable under any
25ordinance or resolution enacted pursuant to this subsection
26without registering separately with the Department under such

 

 

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1ordinance or resolution or under this subsection. The
2Department of Revenue shall have full power to administer and
3enforce this subsection, to collect all taxes and penalties due
4under this subsection in the manner hereinafter provided, and
5to determine all rights to credit memoranda arising on account
6of the erroneous payment of tax or penalty under this
7subsection. In the administration of, and compliance with, this
8subsection, the Department and persons who are subject to this
9subsection shall have the same rights, remedies, privileges,
10immunities, powers, and duties, and be subject to the same
11conditions, restrictions, limitations, penalties, exclusions,
12exemptions, and definitions of terms and employ the same modes
13of procedure, as are prescribed in Sections 1, 1a through 1o, 2
14through 2-65 (in respect to all provisions therein other than
15the State rate of tax), 2c through 2h, 3 (except as to the
16disposition of taxes and penalties collected, and except that
17the retailer's discount is not allowed for taxes paid on
18aviation fuel that are deposited into the Local Government
19Aviation Trust Fund), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5i, 5j,
205k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12, 13, and 14 of the
21Retailers' Occupation Tax Act and all provisions of the Uniform
22Penalty and Interest Act, as fully as if those provisions were
23set forth herein.
24    If a tax is imposed under this subsection (b), a tax shall
25also be imposed under subsection (c) of this Section.
26    (c) If a tax has been imposed under subsection (b), a STAR

 

 

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1Bond Service Occupation Tax shall also be imposed upon all
2persons engaged, in the STAR bond district, in the business of
3making sales of service, who, as an incident to making those
4sales of service, transfer tangible personal property within
5the STAR bond district, either in the form of tangible personal
6property or in the form of real estate as an incident to a sale
7of service. The tax shall be imposed at the same rate as the
8tax imposed in subsection (b) and shall not exceed 1% of the
9selling price of tangible personal property so transferred
10within the STAR bond district, to be imposed only in 0.25%
11increments. The tax may not be imposed on food for human
12consumption that is to be consumed off the premises where it is
13sold (other than alcoholic beverages, soft drinks, and food
14that has been prepared for immediate consumption),
15prescription and nonprescription medicines, drugs, medical
16appliances, modifications to a motor vehicle for the purpose of
17rendering it usable by a person with a disability, and insulin,
18urine testing materials, syringes, and needles used by
19diabetics, for human use. Beginning December 1, 2017, this tax
20is not imposed on sales of aviation fuel unless the tax revenue
21is expended for airport-related purposes. If the District does
22not have an airport-related purpose to which aviation fuel tax
23revenue is dedicated, then aviation fuel is excluded from the
24tax. The municipality must comply with the certification
25requirements for airport-related purposes under Section
268-11-22 of the Illinois Municipal Code. For purposes of this

 

 

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1Act, "airport-related purposes" has the meaning ascribed in
2Section 6z-20.2 of the State Finance Act. This exclusion for
3aviation fuel only applies for so long as the revenue use
4requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
5binding on the District.
6    The tax imposed under this subsection and all civil
7penalties that may be assessed as an incident thereof shall be
8collected and enforced by the Department of Revenue. The
9certificate of registration that is issued by the Department to
10a retailer under the Retailers' Occupation Tax Act or under the
11Service Occupation Tax Act shall permit the registrant to
12engage in a business that is taxable under any ordinance or
13resolution enacted pursuant to this subsection without
14registering separately with the Department under that
15ordinance or resolution or under this subsection. The
16Department of Revenue shall have full power to administer and
17enforce this subsection, to collect all taxes and penalties due
18under this subsection, to dispose of taxes and penalties so
19collected in the manner hereinafter provided, and to determine
20all rights to credit memoranda arising on account of the
21erroneous payment of tax or penalty under this subsection. In
22the administration of, and compliance with this subsection, the
23Department and persons who are subject to this subsection shall
24have the same rights, remedies, privileges, immunities,
25powers, and duties, and be subject to the same conditions,
26restrictions, limitations, penalties, exclusions, exemptions,

 

 

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1and definitions of terms and employ the same modes of procedure
2as are prescribed in Sections 2, 2a through 2d, 3 through 3-50
3(in respect to all provisions therein other than the State rate
4of tax), 4 (except that the reference to the State shall be to
5the STAR bond district), 5, 7, 8 (except that the jurisdiction
6to which the tax shall be a debt to the extent indicated in
7that Section 8 shall be the political subdivision), 9 (except
8as to the disposition of taxes and penalties collected, and
9except that the returned merchandise credit for this tax may
10not be taken against any State tax, and except that the
11retailer's discount is not allowed for taxes paid on aviation
12fuel that are deposited into the Local Government Aviation
13Trust Fund), 10, 11, 12 (except the reference therein to
14Section 2b of the Retailers' Occupation Tax Act), 13 (except
15that any reference to the State shall mean the political
16subdivision), the first paragraph of Section 15, and Sections
1716, 17, 18, 19 and 20 of the Service Occupation Tax Act and all
18provisions of the Uniform Penalty and Interest Act, as fully as
19if those provisions were set forth herein.
20    If a tax is imposed under this subsection (c), a tax shall
21also be imposed under subsection (b) of this Section.
22    (d) Persons subject to any tax imposed under this Section
23may reimburse themselves for their seller's tax liability under
24this Section by separately stating the tax as an additional
25charge, which charge may be stated in combination, in a single
26amount, with State taxes that sellers are required to collect

 

 

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1under the Use Tax Act, in accordance with such bracket
2schedules as the Department may prescribe.
3    Whenever the Department determines that a refund should be
4made under this Section to a claimant instead of issuing a
5credit memorandum, the Department shall notify the State
6Comptroller, who shall cause the order to be drawn for the
7amount specified and to the person named in the notification
8from the Department. The refund shall be paid by the State
9Treasurer out of the STAR Bond Retailers' Occupation Tax Fund.
10    Except as otherwise provided in this paragraph, the The
11Department shall immediately pay over to the State Treasurer,
12ex officio, as trustee, all taxes, penalties, and interest
13collected under this Section for deposit into the STAR Bond
14Retailers' Occupation Tax Fund. Taxes and penalties collected
15on aviation fuel sold on or after December 1, 2017, shall be
16immediately paid over by the Department to the State Treasurer,
17ex officio, as trustee, for deposit into the Local Government
18Aviation Trust Fund. The Department shall only pay moneys into
19the State Aviation Program Fund under this Act for so long as
20the revenue use requirements of 49 U.S.C. 47107(b) and 49
21U.S.C. 47133 are binding on the District. On or before the
2225th day of each calendar month, the Department shall prepare
23and certify to the Comptroller the disbursement of stated sums
24of money to named political subdivisions from the STAR Bond
25Retailers' Occupation Tax Fund, the political subdivisions to
26be those from which retailers have paid taxes or penalties

 

 

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1under this Section to the Department during the second
2preceding calendar month. The amount to be paid to each
3political subdivision shall be the amount (not including credit
4memoranda and not including taxes and penalties collected on
5aviation fuel sold on or after December 1, 2017) collected
6under this Section during the second preceding calendar month
7by the Department plus an amount the Department determines is
8necessary to offset any amounts that were erroneously paid to a
9different taxing body, and not including an amount equal to the
10amount of refunds made during the second preceding calendar
11month by the Department, less 3% of that amount, which shall be
12deposited into the Tax Compliance and Administration Fund and
13shall be used by the Department, subject to appropriation, to
14cover the costs of the Department in administering and
15enforcing the provisions of this Section, on behalf of such
16political subdivision, and not including any amount that the
17Department determines is necessary to offset any amounts that
18were payable to a different taxing body but were erroneously
19paid to the political subdivision. Within 10 days after receipt
20by the Comptroller of the disbursement certification to the
21political subdivisions provided for in this Section to be given
22to the Comptroller by the Department, the Comptroller shall
23cause the orders to be drawn for the respective amounts in
24accordance with the directions contained in the certification.
25The proceeds of the tax paid to political subdivisions under
26this Section shall be deposited into either (i) the STAR Bonds

 

 

10000SB0990sam001- 168 -LRB100 07613 HLH 26683 a

1Tax Allocation Fund by the political subdivision if the
2political subdivision has designated them as pledged STAR
3revenues by resolution or ordinance or (ii) the political
4subdivision's general corporate fund if the political
5subdivision has not designated them as pledged STAR revenues.
6    An ordinance or resolution imposing or discontinuing the
7tax under this Section or effecting a change in the rate
8thereof shall either (i) be adopted and a certified copy
9thereof filed with the Department on or before the first day of
10April, whereupon the Department, if all other requirements of
11this Section are met, shall proceed to administer and enforce
12this Section as of the first day of July next following the
13adoption and filing; or (ii) be adopted and a certified copy
14thereof filed with the Department on or before the first day of
15October, whereupon, if all other requirements of this Section
16are met, the Department shall proceed to administer and enforce
17this Section as of the first day of January next following the
18adoption and filing.
19    The Department of Revenue shall not administer or enforce
20an ordinance imposing, discontinuing, or changing the rate of
21the tax under this Section until the political subdivision also
22provides, in the manner prescribed by the Department, the
23boundaries of the STAR bond district and each address in the
24STAR bond district in such a way that the Department can
25determine by its address whether a business is located in the
26STAR bond district. The political subdivision must provide this

 

 

10000SB0990sam001- 169 -LRB100 07613 HLH 26683 a

1boundary and address information to the Department on or before
2April 1 for administration and enforcement of the tax under
3this Section by the Department beginning on the following July
41 and on or before October 1 for administration and enforcement
5of the tax under this Section by the Department beginning on
6the following January 1. The Department of Revenue shall not
7administer or enforce any change made to the boundaries of a
8STAR bond district or any address change, addition, or deletion
9until the political subdivision reports the boundary change or
10address change, addition, or deletion to the Department in the
11manner prescribed by the Department. The political subdivision
12must provide this boundary change or address change, addition,
13or deletion information to the Department on or before April 1
14for administration and enforcement by the Department of the
15change, addition, or deletion beginning on the following July 1
16and on or before October 1 for administration and enforcement
17by the Department of the change, addition, or deletion
18beginning on the following January 1. The retailers in the STAR
19bond district shall be responsible for charging the tax imposed
20under this Section. If a retailer is incorrectly included or
21excluded from the list of those required to collect the tax
22under this Section, both the Department of Revenue and the
23retailer shall be held harmless if they reasonably relied on
24information provided by the political subdivision.
25    A political subdivision that imposes the tax under this
26Section must submit to the Department of Revenue any other

 

 

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1information as the Department may require that is necessary for
2the administration and enforcement of the tax.
3    When certifying the amount of a monthly disbursement to a
4political subdivision under this Section, the Department shall
5increase or decrease the amount by an amount necessary to
6offset any misallocation of previous disbursements. The offset
7amount shall be the amount erroneously disbursed within the
8previous 6 months from the time a misallocation is discovered.
9    Nothing in this Section shall be construed to authorize the
10political subdivision to impose a tax upon the privilege of
11engaging in any business which under the Constitution of the
12United States may not be made the subject of taxation by this
13State.
14    (e) When STAR bond project costs, including, without
15limitation, all political subdivision obligations financing
16STAR bond project costs, have been paid, any surplus funds then
17remaining in the STAR Bonds Tax Allocation Fund shall be
18distributed to the treasurer of the political subdivision for
19deposit into the political subdivision's general corporate
20fund. Upon payment of all STAR bond project costs and
21retirement of obligations, but in no event later than the
22maximum maturity date of the last of the STAR bonds issued in
23the STAR bond district, the political subdivision shall adopt
24an ordinance immediately rescinding the taxes imposed pursuant
25to this Section and file a certified copy of the ordinance with
26the Department in the form and manner as described in this

 

 

10000SB0990sam001- 171 -LRB100 07613 HLH 26683 a

1Section.
2(Source: P.A. 99-143, eff. 7-27-15.)
 
3    Section 40. The Counties Code is amended by changing
4Sections 5-1006, 5-1006.5, 5-1006.7, 5-1007, 5-1008.5, 5-1009,
5and 5-1035.1 and by adding Section 5-1184 as follows:
 
6    (55 ILCS 5/5-1006)  (from Ch. 34, par. 5-1006)
7    Sec. 5-1006. Home Rule County Retailers' Occupation Tax
8Law. Any county that is a home rule unit may impose a tax upon
9all persons engaged in the business of selling tangible
10personal property, other than an item of tangible personal
11property titled or registered with an agency of this State's
12government, at retail in the county on the gross receipts from
13such sales made in the course of their business. If imposed,
14this tax shall only be imposed in 1/4% increments. On and after
15September 1, 1991, this additional tax may not be imposed on
16the sales of food for human consumption which is to be consumed
17off the premises where it is sold (other than alcoholic
18beverages, soft drinks and food which has been prepared for
19immediate consumption) and prescription and nonprescription
20medicines, drugs, medical appliances and insulin, urine
21testing materials, syringes and needles used by diabetics.
22Beginning December 1, 2017, this tax is not imposed on sales of
23aviation fuel unless the tax revenue is expended for
24airport-related purposes. If the County does not have an

 

 

10000SB0990sam001- 172 -LRB100 07613 HLH 26683 a

1airport-related purpose to which it dedicates aviation fuel tax
2revenue, then aviation fuel is excluded from the tax. The
3County must comply with the certification requirements for
4airport-related purposes under Section 5-1184. For purposes of
5this Act, "airport-related purposes" has the meaning ascribed
6in Section 6z-20.2 of the State Finance Act. This exclusion for
7aviation fuel only applies for so long as the revenue use
8requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
9binding on the County. The changes made to this Section by this
10amendatory Act of the 100th General Assembly are a denial and
11limitation of home rule powers and functions under subsection
12(g) of Section 6 of Article VII of the Illinois Constitution.
13The tax imposed by a home rule county pursuant to this Section
14and all civil penalties that may be assessed as an incident
15thereof shall be collected and enforced by the State Department
16of Revenue. The certificate of registration that is issued by
17the Department to a retailer under the Retailers' Occupation
18Tax Act shall permit the retailer to engage in a business that
19is taxable under any ordinance or resolution enacted pursuant
20to this Section without registering separately with the
21Department under such ordinance or resolution or under this
22Section. The Department shall have full power to administer and
23enforce this Section; to collect all taxes and penalties due
24hereunder; to dispose of taxes and penalties so collected in
25the manner hereinafter provided; and to determine all rights to
26credit memoranda arising on account of the erroneous payment of

 

 

10000SB0990sam001- 173 -LRB100 07613 HLH 26683 a

1tax or penalty hereunder. In the administration of, and
2compliance with, this Section, the Department and persons who
3are subject to this Section shall have the same rights,
4remedies, privileges, immunities, powers and duties, and be
5subject to the same conditions, restrictions, limitations,
6penalties and definitions of terms, and employ the same modes
7of procedure, as are prescribed in Sections 1, 1a, 1a-1, 1d,
81e, 1f, 1i, 1j, 1k, 1m, 1n, 2 through 2-65 (in respect to all
9provisions therein other than the State rate of tax), 4, 5, 5a,
105b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d,
117, 8, 9, 10, 11, 12 and 13 of the Retailers' Occupation Tax Act
12and Section 3-7 of the Uniform Penalty and Interest Act, as
13fully as if those provisions were set forth herein.
14    No tax may be imposed by a home rule county pursuant to
15this Section unless the county also imposes a tax at the same
16rate pursuant to Section 5-1007.
17    Persons subject to any tax imposed pursuant to the
18authority granted in this Section may reimburse themselves for
19their seller's tax liability hereunder by separately stating
20such tax as an additional charge, which charge may be stated in
21combination, in a single amount, with State tax which sellers
22are required to collect under the Use Tax Act, pursuant to such
23bracket schedules as the Department may prescribe.
24    Whenever the Department determines that a refund should be
25made under this Section to a claimant instead of issuing a
26credit memorandum, the Department shall notify the State

 

 

10000SB0990sam001- 174 -LRB100 07613 HLH 26683 a

1Comptroller, who shall cause the order to be drawn for the
2amount specified and to the person named in the notification
3from the Department. The refund shall be paid by the State
4Treasurer out of the home rule county retailers' occupation tax
5fund.
6    Except as otherwise provided in this paragraph, the The
7Department shall forthwith pay over to the State Treasurer, ex
8officio, as trustee, all taxes and penalties collected
9hereunder for deposit into the Home Rule County Retailers'
10Occupation Tax Fund. Taxes and penalties collected on aviation
11fuel sold on or after December 1, 2017, shall be immediately
12paid over by the Department to the State Treasurer, ex officio,
13as trustee, for deposit into the Local Government Aviation
14Trust Fund. The Department shall only pay moneys into the Local
15Government Aviation Trust Fund under this Act for so long as
16the revenue use requirements of 49 U.S.C. 47107(b) and 49
17U.S.C. 47133 are binding on the County..
18    As soon as possible after the first day of each month,
19beginning January 1, 2011, upon certification of the Department
20of Revenue, the Comptroller shall order transferred, and the
21Treasurer shall transfer, to the STAR Bonds Revenue Fund the
22local sales tax increment, as defined in the Innovation
23Development and Economy Act, collected under this Section
24during the second preceding calendar month for sales within a
25STAR bond district.
26    After the monthly transfer to the STAR Bonds Revenue Fund,

 

 

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1on or before the 25th day of each calendar month, the
2Department shall prepare and certify to the Comptroller the
3disbursement of stated sums of money to named counties, the
4counties to be those from which retailers have paid taxes or
5penalties hereunder to the Department during the second
6preceding calendar month. The amount to be paid to each county
7shall be the amount (not including credit memoranda and not
8including taxes and penalties collected on aviation fuel sold
9on or after December 1, 2017) collected hereunder during the
10second preceding calendar month by the Department plus an
11amount the Department determines is necessary to offset any
12amounts that were erroneously paid to a different taxing body,
13and not including an amount equal to the amount of refunds made
14during the second preceding calendar month by the Department on
15behalf of such county, and not including any amount which the
16Department determines is necessary to offset any amounts which
17were payable to a different taxing body but were erroneously
18paid to the county, and not including any amounts that are
19transferred to the STAR Bonds Revenue Fund. Within 10 days
20after receipt, by the Comptroller, of the disbursement
21certification to the counties provided for in this Section to
22be given to the Comptroller by the Department, the Comptroller
23shall cause the orders to be drawn for the respective amounts
24in accordance with the directions contained in the
25certification.
26    In addition to the disbursement required by the preceding

 

 

10000SB0990sam001- 176 -LRB100 07613 HLH 26683 a

1paragraph, an allocation shall be made in March of each year to
2each county that received more than $500,000 in disbursements
3under the preceding paragraph in the preceding calendar year.
4The allocation shall be in an amount equal to the average
5monthly distribution made to each such county under the
6preceding paragraph during the preceding calendar year
7(excluding the 2 months of highest receipts). The distribution
8made in March of each year subsequent to the year in which an
9allocation was made pursuant to this paragraph and the
10preceding paragraph shall be reduced by the amount allocated
11and disbursed under this paragraph in the preceding calendar
12year. The Department shall prepare and certify to the
13Comptroller for disbursement the allocations made in
14accordance with this paragraph.
15    For the purpose of determining the local governmental unit
16whose tax is applicable, a retail sale by a producer of coal or
17other mineral mined in Illinois is a sale at retail at the
18place where the coal or other mineral mined in Illinois is
19extracted from the earth. This paragraph does not apply to coal
20or other mineral when it is delivered or shipped by the seller
21to the purchaser at a point outside Illinois so that the sale
22is exempt under the United States Constitution as a sale in
23interstate or foreign commerce.
24    Nothing in this Section shall be construed to authorize a
25county to impose a tax upon the privilege of engaging in any
26business which under the Constitution of the United States may

 

 

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1not be made the subject of taxation by this State.
2    An ordinance or resolution imposing or discontinuing a tax
3hereunder or effecting a change in the rate thereof shall be
4adopted and a certified copy thereof filed with the Department
5on or before the first day of June, whereupon the Department
6shall proceed to administer and enforce this Section as of the
7first day of September next following such adoption and filing.
8Beginning January 1, 1992, an ordinance or resolution imposing
9or discontinuing the tax hereunder or effecting a change in the
10rate thereof shall be adopted and a certified copy thereof
11filed with the Department on or before the first day of July,
12whereupon the Department shall proceed to administer and
13enforce this Section as of the first day of October next
14following such adoption and filing. Beginning January 1, 1993,
15an ordinance or resolution imposing or discontinuing the tax
16hereunder or effecting a change in the rate thereof shall be
17adopted and a certified copy thereof filed with the Department
18on or before the first day of October, whereupon the Department
19shall proceed to administer and enforce this Section as of the
20first day of January next following such adoption and filing.
21Beginning April 1, 1998, an ordinance or resolution imposing or
22discontinuing the tax hereunder or effecting a change in the
23rate thereof shall either (i) be adopted and a certified copy
24thereof filed with the Department on or before the first day of
25April, whereupon the Department shall proceed to administer and
26enforce this Section as of the first day of July next following

 

 

10000SB0990sam001- 178 -LRB100 07613 HLH 26683 a

1the adoption and filing; or (ii) be adopted and a certified
2copy thereof filed with the Department on or before the first
3day of October, whereupon the Department shall proceed to
4administer and enforce this Section as of the first day of
5January next following the adoption and filing.
6    When certifying the amount of a monthly disbursement to a
7county under this Section, the Department shall increase or
8decrease such amount by an amount necessary to offset any
9misallocation of previous disbursements. The offset amount
10shall be the amount erroneously disbursed within the previous 6
11months from the time a misallocation is discovered.
12    This Section shall be known and may be cited as the Home
13Rule County Retailers' Occupation Tax Law.
14(Source: P.A. 99-217, eff. 7-31-15.)
 
15    (55 ILCS 5/5-1006.5)
16    Sec. 5-1006.5. Special County Retailers' Occupation Tax
17For Public Safety, Public Facilities, or Transportation.
18    (a) The county board of any county may impose a tax upon
19all persons engaged in the business of selling tangible
20personal property, other than personal property titled or
21registered with an agency of this State's government, at retail
22in the county on the gross receipts from the sales made in the
23course of business to provide revenue to be used exclusively
24for public safety, public facility, or transportation purposes
25in that county (except as otherwise provided in this Section),

 

 

10000SB0990sam001- 179 -LRB100 07613 HLH 26683 a

1if a proposition for the tax has been submitted to the electors
2of that county and approved by a majority of those voting on
3the question. If imposed, this tax shall be imposed only in
4one-quarter percent increments. By resolution, the county
5board may order the proposition to be submitted at any
6election. If the tax is imposed for transportation purposes for
7expenditures for public highways or as authorized under the
8Illinois Highway Code, the county board must publish notice of
9the existence of its long-range highway transportation plan as
10required or described in Section 5-301 of the Illinois Highway
11Code and must make the plan publicly available prior to
12approval of the ordinance or resolution imposing the tax. If
13the tax is imposed for transportation purposes for expenditures
14for passenger rail transportation, the county board must
15publish notice of the existence of its long-range passenger
16rail transportation plan and must make the plan publicly
17available prior to approval of the ordinance or resolution
18imposing the tax.
19    If a tax is imposed for public facilities purposes, then
20the name of the project may be included in the proposition at
21the discretion of the county board as determined in the
22enabling resolution. For example, the "XXX Nursing Home" or the
23"YYY Museum".
24    The county clerk shall certify the question to the proper
25election authority, who shall submit the proposition at an
26election in accordance with the general election law.

 

 

10000SB0990sam001- 180 -LRB100 07613 HLH 26683 a

1        (1) The proposition for public safety purposes shall be
2    in substantially the following form:
3        "To pay for public safety purposes, shall (name of
4    county) be authorized to impose an increase on its share of
5    local sales taxes by (insert rate)?"
6        As additional information on the ballot below the
7    question shall appear the following:
8        "This would mean that a consumer would pay an
9    additional (insert amount) in sales tax for every $100 of
10    tangible personal property bought at retail."
11        The county board may also opt to establish a sunset
12    provision at which time the additional sales tax would
13    cease being collected, if not terminated earlier by a vote
14    of the county board. If the county board votes to include a
15    sunset provision, the proposition for public safety
16    purposes shall be in substantially the following form:
17        "To pay for public safety purposes, shall (name of
18    county) be authorized to impose an increase on its share of
19    local sales taxes by (insert rate) for a period not to
20    exceed (insert number of years)?"
21        As additional information on the ballot below the
22    question shall appear the following:
23        "This would mean that a consumer would pay an
24    additional (insert amount) in sales tax for every $100 of
25    tangible personal property bought at retail. If imposed,
26    the additional tax would cease being collected at the end

 

 

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1    of (insert number of years), if not terminated earlier by a
2    vote of the county board."
3        For the purposes of the paragraph, "public safety
4    purposes" means crime prevention, detention, fire
5    fighting, police, medical, ambulance, or other emergency
6    services.
7        Votes shall be recorded as "Yes" or "No".
8        Beginning on the January 1 or July 1, whichever is
9    first, that occurs not less than 30 days after May 31, 2015
10    (the effective date of Public Act 99-4), Adams County may
11    impose a public safety retailers' occupation tax and
12    service occupation tax at the rate of 0.25%, as provided in
13    the referendum approved by the voters on April 7, 2015,
14    notwithstanding the omission of the additional information
15    that is otherwise required to be printed on the ballot
16    below the question pursuant to this item (1).
17        (2) The proposition for transportation purposes shall
18    be in substantially the following form:
19        "To pay for improvements to roads and other
20    transportation purposes, shall (name of county) be
21    authorized to impose an increase on its share of local
22    sales taxes by (insert rate)?"
23        As additional information on the ballot below the
24    question shall appear the following:
25        "This would mean that a consumer would pay an
26    additional (insert amount) in sales tax for every $100 of

 

 

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1    tangible personal property bought at retail."
2        The county board may also opt to establish a sunset
3    provision at which time the additional sales tax would
4    cease being collected, if not terminated earlier by a vote
5    of the county board. If the county board votes to include a
6    sunset provision, the proposition for transportation
7    purposes shall be in substantially the following form:
8        "To pay for road improvements and other transportation
9    purposes, shall (name of county) be authorized to impose an
10    increase on its share of local sales taxes by (insert rate)
11    for a period not to exceed (insert number of years)?"
12        As additional information on the ballot below the
13    question shall appear the following:
14        "This would mean that a consumer would pay an
15    additional (insert amount) in sales tax for every $100 of
16    tangible personal property bought at retail. If imposed,
17    the additional tax would cease being collected at the end
18    of (insert number of years), if not terminated earlier by a
19    vote of the county board."
20        For the purposes of this paragraph, transportation
21    purposes means construction, maintenance, operation, and
22    improvement of public highways, any other purpose for which
23    a county may expend funds under the Illinois Highway Code,
24    and passenger rail transportation.
25        The votes shall be recorded as "Yes" or "No".
26        (3) The proposition for public facilities purposes

 

 

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1    shall be in substantially the following form:
2        "To pay for public facilities purposes, shall (name of
3    county) be authorized to impose an increase on its share of
4    local sales taxes by (insert rate)?"
5        As additional information on the ballot below the
6    question shall appear the following:
7        "This would mean that a consumer would pay an
8    additional (insert amount) in sales tax for every $100 of
9    tangible personal property bought at retail."
10        The county board may also opt to establish a sunset
11    provision at which time the additional sales tax would
12    cease being collected, if not terminated earlier by a vote
13    of the county board. If the county board votes to include a
14    sunset provision, the proposition for public facilities
15    purposes shall be in substantially the following form:
16        "To pay for public facilities purposes, shall (name of
17    county) be authorized to impose an increase on its share of
18    local sales taxes by (insert rate) for a period not to
19    exceed (insert number of years)?"
20        As additional information on the ballot below the
21    question shall appear the following:
22        "This would mean that a consumer would pay an
23    additional (insert amount) in sales tax for every $100 of
24    tangible personal property bought at retail. If imposed,
25    the additional tax would cease being collected at the end
26    of (insert number of years), if not terminated earlier by a

 

 

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1    vote of the county board."
2        For purposes of this Section, "public facilities
3    purposes" means the acquisition, development,
4    construction, reconstruction, rehabilitation, improvement,
5    financing, architectural planning, and installation of
6    capital facilities consisting of buildings, structures,
7    and durable equipment and for the acquisition and
8    improvement of real property and interest in real property
9    required, or expected to be required, in connection with
10    the public facilities, for use by the county for the
11    furnishing of governmental services to its citizens,
12    including but not limited to museums and nursing homes.
13        The votes shall be recorded as "Yes" or "No".
14    If a majority of the electors voting on the proposition
15vote in favor of it, the county may impose the tax. A county
16may not submit more than one proposition authorized by this
17Section to the electors at any one time.
18    This additional tax may not be imposed on the sales of food
19for human consumption that is to be consumed off the premises
20where it is sold (other than alcoholic beverages, soft drinks,
21and food which has been prepared for immediate consumption) and
22prescription and non-prescription medicines, drugs, medical
23appliances and insulin, urine testing materials, syringes, and
24needles used by diabetics. Beginning December 1, 2017, this tax
25is not imposed on sales of aviation fuel unless the tax revenue
26is expended for airport-related purposes. If the County does

 

 

10000SB0990sam001- 185 -LRB100 07613 HLH 26683 a

1not have an airport-related purpose to which it dedicates
2aviation fuel tax revenue, then aviation fuel is excluded from
3the tax. The County must comply with the certification
4requirements for airport-related purposes under Section
55-1184. For purposes of this Act, "airport-related purposes"
6has the meaning ascribed in Section 6z-20.2 of the State
7Finance Act. This exclusion for aviation fuel only applies for
8so long as the revenue use requirements of 49 U.S.C. 47107(b)
9and 49 U.S.C. 47133 are binding on the County. The tax imposed
10by a county under this Section and all civil penalties that may
11be assessed as an incident of the tax shall be collected and
12enforced by the Illinois Department of Revenue and deposited
13into a special fund created for that purpose. The certificate
14of registration that is issued by the Department to a retailer
15under the Retailers' Occupation Tax Act shall permit the
16retailer to engage in a business that is taxable without
17registering separately with the Department under an ordinance
18or resolution under this Section. The Department has full power
19to administer and enforce this Section, to collect all taxes
20and penalties due under this Section, to dispose of taxes and
21penalties so collected in the manner provided in this Section,
22and to determine all rights to credit memoranda arising on
23account of the erroneous payment of a tax or penalty under this
24Section. In the administration of and compliance with this
25Section, the Department and persons who are subject to this
26Section shall (i) have the same rights, remedies, privileges,

 

 

10000SB0990sam001- 186 -LRB100 07613 HLH 26683 a

1immunities, powers, and duties, (ii) be subject to the same
2conditions, restrictions, limitations, penalties, and
3definitions of terms, and (iii) employ the same modes of
4procedure as are prescribed in Sections 1, 1a, 1a-1, 1d, 1e,
51f, 1i, 1j, 1k, 1m, 1n, 2 through 2-70 (in respect to all
6provisions contained in those Sections other than the State
7rate of tax), 2a, 2b, 2c, 3 (except provisions relating to
8transaction returns and quarter monthly payments, and except
9that the retailer's discount is not allowed for taxes paid on
10aviation fuel that are deposited into the Local Government
11Aviation Trust Fund), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i,
125j, 5k, 5l, 6, 6a, 6b, 6c, 6d, 7, 8, 9, 10, 11, 11a, 12, and 13
13of the Retailers' Occupation Tax Act and Section 3-7 of the
14Uniform Penalty and Interest Act as if those provisions were
15set forth in this Section.
16    Persons subject to any tax imposed under the authority
17granted in this Section may reimburse themselves for their
18sellers' tax liability by separately stating the tax as an
19additional charge, which charge may be stated in combination,
20in a single amount, with State tax which sellers are required
21to collect under the Use Tax Act, pursuant to such bracketed
22schedules as the Department may prescribe.
23    Whenever the Department determines that a refund should be
24made under this Section to a claimant instead of issuing a
25credit memorandum, the Department shall notify the State
26Comptroller, who shall cause the order to be drawn for the

 

 

10000SB0990sam001- 187 -LRB100 07613 HLH 26683 a

1amount specified and to the person named in the notification
2from the Department. The refund shall be paid by the State
3Treasurer out of the County Public Safety or Transportation
4Retailers' Occupation Tax Fund.
5    (b) If a tax has been imposed under subsection (a), a
6service occupation tax shall also be imposed at the same rate
7upon all persons engaged, in the county, in the business of
8making sales of service, who, as an incident to making those
9sales of service, transfer tangible personal property within
10the county as an incident to a sale of service. This tax may
11not be imposed on sales of food for human consumption that is
12to be consumed off the premises where it is sold (other than
13alcoholic beverages, soft drinks, and food prepared for
14immediate consumption) and prescription and non-prescription
15medicines, drugs, medical appliances and insulin, urine
16testing materials, syringes, and needles used by diabetics.
17Beginning December 1, 2017, this tax is not imposed on sales of
18aviation fuel unless the tax revenue is expended for
19airport-related purposes. If the County does not have an
20airport-related purpose to which it dedicates aviation fuel tax
21revenue, then aviation fuel is excluded from the tax. The
22County must comply with the certification requirements for
23airport-related purposes under Section 5-1184. For purposes of
24this Act, "airport-related purposes" has the meaning ascribed
25in Section 6z-20.2 of the State Finance Act. This exclusion for
26aviation fuel only applies for so long as the revenue use

 

 

10000SB0990sam001- 188 -LRB100 07613 HLH 26683 a

1requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
2binding on the County. The tax imposed under this subsection
3and all civil penalties that may be assessed as an incident
4thereof shall be collected and enforced by the Department of
5Revenue. The Department has full power to administer and
6enforce this subsection; to collect all taxes and penalties due
7hereunder; to dispose of taxes and penalties so collected in
8the manner hereinafter provided; and to determine all rights to
9credit memoranda arising on account of the erroneous payment of
10tax or penalty hereunder. In the administration of, and
11compliance with this subsection, the Department and persons who
12are subject to this paragraph shall (i) have the same rights,
13remedies, privileges, immunities, powers, and duties, (ii) be
14subject to the same conditions, restrictions, limitations,
15penalties, exclusions, exemptions, and definitions of terms,
16and (iii) employ the same modes of procedure as are prescribed
17in Sections 2 (except that the reference to State in the
18definition of supplier maintaining a place of business in this
19State shall mean the county), 2a, 2b, 2c, 3 through 3-50 (in
20respect to all provisions therein other than the State rate of
21tax), 4 (except that the reference to the State shall be to the
22county), 5, 7, 8 (except that the jurisdiction to which the tax
23shall be a debt to the extent indicated in that Section 8 shall
24be the county), 9 (except as to the disposition of taxes and
25penalties collected, and except that the retailer's discount is
26not allowed for taxes paid on aviation fuel that are deposited

 

 

10000SB0990sam001- 189 -LRB100 07613 HLH 26683 a

1into the Local Government Aviation Trust Fund), 10, 11, 12
2(except the reference therein to Section 2b of the Retailers'
3Occupation Tax Act), 13 (except that any reference to the State
4shall mean the county), Section 15, 16, 17, 18, 19 and 20 of
5the Service Occupation Tax Act and Section 3-7 of the Uniform
6Penalty and Interest Act, as fully as if those provisions were
7set forth herein.
8    Persons subject to any tax imposed under the authority
9granted in this subsection may reimburse themselves for their
10serviceman's tax liability by separately stating the tax as an
11additional charge, which charge may be stated in combination,
12in a single amount, with State tax that servicemen are
13authorized to collect under the Service Use Tax Act, in
14accordance with such bracket schedules as the Department may
15prescribe.
16    Whenever the Department determines that a refund should be
17made under this subsection to a claimant instead of issuing a
18credit memorandum, the Department shall notify the State
19Comptroller, who shall cause the warrant to be drawn for the
20amount specified, and to the person named, in the notification
21from the Department. The refund shall be paid by the State
22Treasurer out of the County Public Safety or Transportation
23Retailers' Occupation Fund.
24    Nothing in this subsection shall be construed to authorize
25the county to impose a tax upon the privilege of engaging in
26any business which under the Constitution of the United States

 

 

10000SB0990sam001- 190 -LRB100 07613 HLH 26683 a

1may not be made the subject of taxation by the State.
2    (c) Except as otherwise provided in this paragraph, the The
3Department shall immediately pay over to the State Treasurer,
4ex officio, as trustee, all taxes and penalties collected under
5this Section to be deposited into the County Public Safety or
6Transportation Retailers' Occupation Tax Fund, which shall be
7an unappropriated trust fund held outside of the State
8treasury. Taxes and penalties collected on aviation fuel sold
9on or after December 1, 2017, shall be immediately paid over by
10the Department to the State Treasurer, ex officio, as trustee,
11for deposit into the Local Government Aviation Trust Fund. The
12Department shall only pay moneys into the Local Government
13Aviation Trust Fund under this Act for so long as the revenue
14use requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133
15are binding on the County.
16    As soon as possible after the first day of each month,
17beginning January 1, 2011, upon certification of the Department
18of Revenue, the Comptroller shall order transferred, and the
19Treasurer shall transfer, to the STAR Bonds Revenue Fund the
20local sales tax increment, as defined in the Innovation
21Development and Economy Act, collected under this Section
22during the second preceding calendar month for sales within a
23STAR bond district.
24    After the monthly transfer to the STAR Bonds Revenue Fund,
25on or before the 25th day of each calendar month, the
26Department shall prepare and certify to the Comptroller the

 

 

10000SB0990sam001- 191 -LRB100 07613 HLH 26683 a

1disbursement of stated sums of money to the counties from which
2retailers have paid taxes or penalties to the Department during
3the second preceding calendar month. The amount to be paid to
4each county, and deposited by the county into its special fund
5created for the purposes of this Section, shall be the amount
6(not including credit memoranda and not including taxes and
7penalties collected on aviation fuel sold on or after December
81, 2017) collected under this Section during the second
9preceding calendar month by the Department plus an amount the
10Department determines is necessary to offset any amounts that
11were erroneously paid to a different taxing body, and not
12including (i) an amount equal to the amount of refunds made
13during the second preceding calendar month by the Department on
14behalf of the county, (ii) any amount that the Department
15determines is necessary to offset any amounts that were payable
16to a different taxing body but were erroneously paid to the
17county, and (iii) any amounts that are transferred to the STAR
18Bonds Revenue Fund. Within 10 days after receipt by the
19Comptroller of the disbursement certification to the counties
20provided for in this Section to be given to the Comptroller by
21the Department, the Comptroller shall cause the orders to be
22drawn for the respective amounts in accordance with directions
23contained in the certification.
24    In addition to the disbursement required by the preceding
25paragraph, an allocation shall be made in March of each year to
26each county that received more than $500,000 in disbursements

 

 

10000SB0990sam001- 192 -LRB100 07613 HLH 26683 a

1under the preceding paragraph in the preceding calendar year.
2The allocation shall be in an amount equal to the average
3monthly distribution made to each such county under the
4preceding paragraph during the preceding calendar year
5(excluding the 2 months of highest receipts). The distribution
6made in March of each year subsequent to the year in which an
7allocation was made pursuant to this paragraph and the
8preceding paragraph shall be reduced by the amount allocated
9and disbursed under this paragraph in the preceding calendar
10year. The Department shall prepare and certify to the
11Comptroller for disbursement the allocations made in
12accordance with this paragraph.
13    A county may direct, by ordinance, that all or a portion of
14the taxes and penalties collected under the Special County
15Retailers' Occupation Tax For Public Safety or Transportation
16be deposited into the Transportation Development Partnership
17Trust Fund.
18    (d) For the purpose of determining the local governmental
19unit whose tax is applicable, a retail sale by a producer of
20coal or another mineral mined in Illinois is a sale at retail
21at the place where the coal or other mineral mined in Illinois
22is extracted from the earth. This paragraph does not apply to
23coal or another mineral when it is delivered or shipped by the
24seller to the purchaser at a point outside Illinois so that the
25sale is exempt under the United States Constitution as a sale
26in interstate or foreign commerce.

 

 

10000SB0990sam001- 193 -LRB100 07613 HLH 26683 a

1    (e) Nothing in this Section shall be construed to authorize
2a county to impose a tax upon the privilege of engaging in any
3business that under the Constitution of the United States may
4not be made the subject of taxation by this State.
5    (e-5) If a county imposes a tax under this Section, the
6county board may, by ordinance, discontinue or lower the rate
7of the tax. If the county board lowers the tax rate or
8discontinues the tax, a referendum must be held in accordance
9with subsection (a) of this Section in order to increase the
10rate of the tax or to reimpose the discontinued tax.
11    (f) Beginning April 1, 1998 and through December 31, 2013,
12the results of any election authorizing a proposition to impose
13a tax under this Section or effecting a change in the rate of
14tax, or any ordinance lowering the rate or discontinuing the
15tax, shall be certified by the county clerk and filed with the
16Illinois Department of Revenue either (i) on or before the
17first day of April, whereupon the Department shall proceed to
18administer and enforce the tax as of the first day of July next
19following the filing; or (ii) on or before the first day of
20October, whereupon the Department shall proceed to administer
21and enforce the tax as of the first day of January next
22following the filing.
23    Beginning January 1, 2014, the results of any election
24authorizing a proposition to impose a tax under this Section or
25effecting an increase in the rate of tax, along with the
26ordinance adopted to impose the tax or increase the rate of the

 

 

10000SB0990sam001- 194 -LRB100 07613 HLH 26683 a

1tax, or any ordinance adopted to lower the rate or discontinue
2the tax, shall be certified by the county clerk and filed with
3the Illinois Department of Revenue either (i) on or before the
4first day of May, whereupon the Department shall proceed to
5administer and enforce the tax as of the first day of July next
6following the adoption and filing; or (ii) on or before the
7first day of October, whereupon the Department shall proceed to
8administer and enforce the tax as of the first day of January
9next following the adoption and filing.
10    (g) When certifying the amount of a monthly disbursement to
11a county under this Section, the Department shall increase or
12decrease the amounts by an amount necessary to offset any
13miscalculation of previous disbursements. The offset amount
14shall be the amount erroneously disbursed within the previous 6
15months from the time a miscalculation is discovered.
16    (h) This Section may be cited as the "Special County
17Occupation Tax For Public Safety, Public Facilities, or
18Transportation Law".
19    (i) For purposes of this Section, "public safety" includes,
20but is not limited to, crime prevention, detention, fire
21fighting, police, medical, ambulance, or other emergency
22services. The county may share tax proceeds received under this
23Section for public safety purposes, including proceeds
24received before August 4, 2009 (the effective date of Public
25Act 96-124), with any fire protection district located in the
26county. For the purposes of this Section, "transportation"

 

 

10000SB0990sam001- 195 -LRB100 07613 HLH 26683 a

1includes, but is not limited to, the construction, maintenance,
2operation, and improvement of public highways, any other
3purpose for which a county may expend funds under the Illinois
4Highway Code, and passenger rail transportation. For the
5purposes of this Section, "public facilities purposes"
6includes, but is not limited to, the acquisition, development,
7construction, reconstruction, rehabilitation, improvement,
8financing, architectural planning, and installation of capital
9facilities consisting of buildings, structures, and durable
10equipment and for the acquisition and improvement of real
11property and interest in real property required, or expected to
12be required, in connection with the public facilities, for use
13by the county for the furnishing of governmental services to
14its citizens, including but not limited to museums and nursing
15homes.
16    (j) The Department may promulgate rules to implement Public
17Act 95-1002 only to the extent necessary to apply the existing
18rules for the Special County Retailers' Occupation Tax for
19Public Safety to this new purpose for public facilities.
20(Source: P.A. 98-584, eff. 8-27-13; 99-4, eff. 5-31-15; 99-217,
21eff. 7-31-15; 99-642, eff. 7-28-16.)
 
22    (55 ILCS 5/5-1006.7)
23    Sec. 5-1006.7. School facility occupation taxes.
24    (a) In any county, a tax shall be imposed upon all persons
25engaged in the business of selling tangible personal property,

 

 

10000SB0990sam001- 196 -LRB100 07613 HLH 26683 a

1other than personal property titled or registered with an
2agency of this State's government, at retail in the county on
3the gross receipts from the sales made in the course of
4business to provide revenue to be used exclusively for school
5facility purposes (except as otherwise provided in this
6Section) if a proposition for the tax has been submitted to the
7electors of that county and approved by a majority of those
8voting on the question as provided in subsection (c). The tax
9under this Section shall be imposed only in one-quarter percent
10increments and may not exceed 1%.
11    This additional tax may not be imposed on the sale of food
12for human consumption that is to be consumed off the premises
13where it is sold (other than alcoholic beverages, soft drinks,
14and food that has been prepared for immediate consumption) and
15prescription and non-prescription medicines, drugs, medical
16appliances and insulin, urine testing materials, syringes and
17needles used by diabetics. Beginning December 1, 2017, this tax
18is not imposed on sales of aviation fuel unless the tax revenue
19is expended for airport-related purposes. If the County does
20not have an airport-related purpose to which it dedicates
21aviation fuel tax revenue, then aviation fuel is excluded from
22the tax. The County must comply with the certification
23requirements for airport-related purposes under Section
245-1184. For purposes of this Act, "airport-related purposes"
25has the meaning ascribed in Section 6z-20.2 of the State
26Finance Act. This exclusion for aviation fuel only applies for

 

 

10000SB0990sam001- 197 -LRB100 07613 HLH 26683 a

1so long as the revenue use requirements of 49 U.S.C. 47107(b)
2and 49 U.S.C. 47133 are binding on the County. The Department
3of Revenue has full power to administer and enforce this
4subsection, to collect all taxes and penalties due under this
5subsection, to dispose of taxes and penalties so collected in
6the manner provided in this subsection, and to determine all
7rights to credit memoranda arising on account of the erroneous
8payment of a tax or penalty under this subsection. The
9Department shall deposit all taxes and penalties collected
10under this subsection into a special fund created for that
11purpose.
12    In the administration of and compliance with this
13subsection, the Department and persons who are subject to this
14subsection (i) have the same rights, remedies, privileges,
15immunities, powers, and duties, (ii) are subject to the same
16conditions, restrictions, limitations, penalties, and
17definitions of terms, and (iii) shall employ the same modes of
18procedure as are set forth in Sections 1 through 1o, 2 through
192-70 (in respect to all provisions contained in those Sections
20other than the State rate of tax), 2a through 2h, 3 (except as
21to the disposition of taxes and penalties collected, and except
22that the retailer's discount is not allowed for taxes paid on
23aviation fuel that are deposited into the Local Government
24Aviation Trust Fund), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i,
255j, 5k, 5l, 6, 6a, 6b, 6c, 6d, 7, 8, 9, 10, 11, 11a, 12, and 13
26of the Retailers' Occupation Tax Act and all provisions of the

 

 

10000SB0990sam001- 198 -LRB100 07613 HLH 26683 a

1Uniform Penalty and Interest Act as if those provisions were
2set forth in this subsection.
3    The certificate of registration that is issued by the
4Department to a retailer under the Retailers' Occupation Tax
5Act permits the retailer to engage in a business that is
6taxable without registering separately with the Department
7under an ordinance or resolution under this subsection.
8    Persons subject to any tax imposed under the authority
9granted in this subsection may reimburse themselves for their
10seller's tax liability by separately stating that tax as an
11additional charge, which may be stated in combination, in a
12single amount, with State tax that sellers are required to
13collect under the Use Tax Act, pursuant to any bracketed
14schedules set forth by the Department.
15    (b) If a tax has been imposed under subsection (a), then a
16service occupation tax must also be imposed at the same rate
17upon all persons engaged, in the county, in the business of
18making sales of service, who, as an incident to making those
19sales of service, transfer tangible personal property within
20the county as an incident to a sale of service.
21    This tax may not be imposed on sales of food for human
22consumption that is to be consumed off the premises where it is
23sold (other than alcoholic beverages, soft drinks, and food
24prepared for immediate consumption) and prescription and
25non-prescription medicines, drugs, medical appliances and
26insulin, urine testing materials, syringes, and needles used by

 

 

10000SB0990sam001- 199 -LRB100 07613 HLH 26683 a

1diabetics. Beginning December 1, 2017, this tax is not imposed
2on sales of aviation fuel unless the tax revenue is expended
3for airport-related purposes. If the County does not have an
4airport-related purpose to which it dedicates aviation fuel tax
5revenue, then aviation fuel is excluded from the tax. The
6County must comply with the certification requirements for
7airport-related purposes under Section 5-1184. For purposes of
8this Act, "airport-related purposes" has the meaning ascribed
9in Section 6z-20.2 of the State Finance Act. This exclusion for
10aviation fuel only applies for so long as the revenue use
11requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
12binding on the County.
13    The tax imposed under this subsection and all civil
14penalties that may be assessed as an incident thereof shall be
15collected and enforced by the Department and deposited into a
16special fund created for that purpose. The Department has full
17power to administer and enforce this subsection, to collect all
18taxes and penalties due under this subsection, to dispose of
19taxes and penalties so collected in the manner provided in this
20subsection, and to determine all rights to credit memoranda
21arising on account of the erroneous payment of a tax or penalty
22under this subsection.
23    In the administration of and compliance with this
24subsection, the Department and persons who are subject to this
25subsection shall (i) have the same rights, remedies,
26privileges, immunities, powers and duties, (ii) be subject to

 

 

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1the same conditions, restrictions, limitations, penalties and
2definition of terms, and (iii) employ the same modes of
3procedure as are set forth in Sections 2 (except that that
4reference to State in the definition of supplier maintaining a
5place of business in this State means the county), 2a through
62d, 3 through 3-50 (in respect to all provisions contained in
7those Sections other than the State rate of tax), 4 (except
8that the reference to the State shall be to the county), 5, 7,
98 (except that the jurisdiction to which the tax is a debt to
10the extent indicated in that Section 8 is the county), 9
11(except as to the disposition of taxes and penalties collected,
12and except that the retailer's discount is not allowed for
13taxes paid on aviation fuel that are deposited into the Local
14Government Aviation Trust Fund), 10, 11, 12 (except the
15reference therein to Section 2b of the Retailers' Occupation
16Tax Act), 13 (except that any reference to the State means the
17county), Section 15, 16, 17, 18, 19, and 20 of the Service
18Occupation Tax Act and all provisions of the Uniform Penalty
19and Interest Act, as fully as if those provisions were set
20forth herein.
21    Persons subject to any tax imposed under the authority
22granted in this subsection may reimburse themselves for their
23serviceman's tax liability by separately stating the tax as an
24additional charge, which may be stated in combination, in a
25single amount, with State tax that servicemen are authorized to
26collect under the Service Use Tax Act, pursuant to any

 

 

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1bracketed schedules set forth by the Department.
2    (c) The tax under this Section may not be imposed until the
3question of imposing the tax has been submitted to the electors
4of the county at a regular election and approved by a majority
5of the electors voting on the question. For all regular
6elections held prior to August 23, 2011 (the effective date of
7Public Act 97-542), upon a resolution by the county board or a
8resolution by school district boards that represent at least
951% of the student enrollment within the county, the county
10board must certify the question to the proper election
11authority in accordance with the Election Code.
12    For all regular elections held prior to August 23, 2011
13(the effective date of Public Act 97-542), the election
14authority must submit the question in substantially the
15following form:
16        Shall (name of county) be authorized to impose a
17    retailers' occupation tax and a service occupation tax
18    (commonly referred to as a "sales tax") at a rate of
19    (insert rate) to be used exclusively for school facility
20    purposes?
21The election authority must record the votes as "Yes" or "No".
22    If a majority of the electors voting on the question vote
23in the affirmative, then the county may, thereafter, impose the
24tax.
25    For all regular elections held on or after August 23, 2011
26(the effective date of Public Act 97-542), the regional

 

 

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1superintendent of schools for the county must, upon receipt of
2a resolution or resolutions of school district boards that
3represent more than 50% of the student enrollment within the
4county, certify the question to the proper election authority
5for submission to the electors of the county at the next
6regular election at which the question lawfully may be
7submitted to the electors, all in accordance with the Election
8Code.
9    For all regular elections held on or after August 23, 2011
10(the effective date of Public Act 97-542), the election
11authority must submit the question in substantially the
12following form:
13        Shall a retailers' occupation tax and a service
14    occupation tax (commonly referred to as a "sales tax") be
15    imposed in (name of county) at a rate of (insert rate) to
16    be used exclusively for school facility purposes?
17The election authority must record the votes as "Yes" or "No".
18    If a majority of the electors voting on the question vote
19in the affirmative, then the tax shall be imposed at the rate
20set forth in the question.
21    For the purposes of this subsection (c), "enrollment" means
22the head count of the students residing in the county on the
23last school day of September of each year, which must be
24reported on the Illinois State Board of Education Public School
25Fall Enrollment/Housing Report.
26    (d) Except as otherwise provided, the The Department shall

 

 

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1immediately pay over to the State Treasurer, ex officio, as
2trustee, all taxes and penalties collected under this Section
3to be deposited into the School Facility Occupation Tax Fund,
4which shall be an unappropriated trust fund held outside the
5State treasury. Taxes and penalties collected on aviation fuel
6sold on or after December 1, 2017, shall be immediately paid
7over by the Department to the State Treasurer, ex officio, as
8trustee, for deposit into the Local Government Aviation Trust
9Fund. The Department shall only pay moneys into the Local
10Government Aviation Trust Fund under this Act for so long as
11the revenue use requirements of 49 U.S.C. 47107(b) and 49
12U.S.C. 47133 are binding on the County.
13    On or before the 25th day of each calendar month, the
14Department shall prepare and certify to the Comptroller the
15disbursement of stated sums of money to the regional
16superintendents of schools in counties from which retailers or
17servicemen have paid taxes or penalties to the Department
18during the second preceding calendar month. The amount to be
19paid to each regional superintendent of schools and disbursed
20to him or her in accordance with Section 3-14.31 of the School
21Code, is equal to the amount (not including credit memoranda
22and not including taxes and penalties collected on aviation
23fuel sold on or after December 1, 2017) collected from the
24county under this Section during the second preceding calendar
25month by the Department, (i) less 2% of that amount (except the
26amount collected on aviation fuel sold on or after December 1,

 

 

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12017), which shall be deposited into the Tax Compliance and
2Administration Fund and shall be used by the Department,
3subject to appropriation, to cover the costs of the Department
4in administering and enforcing the provisions of this Section,
5on behalf of the county, (ii) plus an amount that the
6Department determines is necessary to offset any amounts that
7were erroneously paid to a different taxing body; (iii) less an
8amount equal to the amount of refunds made during the second
9preceding calendar month by the Department on behalf of the
10county; and (iv) less any amount that the Department determines
11is necessary to offset any amounts that were payable to a
12different taxing body but were erroneously paid to the county.
13When certifying the amount of a monthly disbursement to a
14regional superintendent of schools under this Section, the
15Department shall increase or decrease the amounts by an amount
16necessary to offset any miscalculation of previous
17disbursements within the previous 6 months from the time a
18miscalculation is discovered.
19    Within 10 days after receipt by the Comptroller from the
20Department of the disbursement certification to the regional
21superintendents of the schools provided for in this Section,
22the Comptroller shall cause the orders to be drawn for the
23respective amounts in accordance with directions contained in
24the certification.
25    If the Department determines that a refund should be made
26under this Section to a claimant instead of issuing a credit

 

 

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1memorandum, then the Department shall notify the Comptroller,
2who shall cause the order to be drawn for the amount specified
3and to the person named in the notification from the
4Department. The refund shall be paid by the Treasurer out of
5the School Facility Occupation Tax Fund.
6    (e) For the purposes of determining the local governmental
7unit whose tax is applicable, a retail sale by a producer of
8coal or another mineral mined in Illinois is a sale at retail
9at the place where the coal or other mineral mined in Illinois
10is extracted from the earth. This subsection does not apply to
11coal or another mineral when it is delivered or shipped by the
12seller to the purchaser at a point outside Illinois so that the
13sale is exempt under the United States Constitution as a sale
14in interstate or foreign commerce.
15    (f) Nothing in this Section may be construed to authorize a
16tax to be imposed upon the privilege of engaging in any
17business that under the Constitution of the United States may
18not be made the subject of taxation by this State.
19    (g) If a county board imposes a tax under this Section
20pursuant to a referendum held before August 23, 2011 (the
21effective date of Public Act 97-542) at a rate below the rate
22set forth in the question approved by a majority of electors of
23that county voting on the question as provided in subsection
24(c), then the county board may, by ordinance, increase the rate
25of the tax up to the rate set forth in the question approved by
26a majority of electors of that county voting on the question as

 

 

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1provided in subsection (c). If a county board imposes a tax
2under this Section pursuant to a referendum held before August
323, 2011 (the effective date of Public Act 97-542), then the
4board may, by ordinance, discontinue or reduce the rate of the
5tax. If a tax is imposed under this Section pursuant to a
6referendum held on or after August 23, 2011 (the effective date
7of Public Act 97-542), then the county board may reduce or
8discontinue the tax, but only in accordance with subsection
9(h-5) of this Section. If, however, a school board issues bonds
10that are secured by the proceeds of the tax under this Section,
11then the county board may not reduce the tax rate or
12discontinue the tax if that rate reduction or discontinuance
13would adversely affect the school board's ability to pay the
14principal and interest on those bonds as they become due or
15necessitate the extension of additional property taxes to pay
16the principal and interest on those bonds. If the county board
17reduces the tax rate or discontinues the tax, then a referendum
18must be held in accordance with subsection (c) of this Section
19in order to increase the rate of the tax or to reimpose the
20discontinued tax.
21    Until January 1, 2014, the results of any election that
22imposes, reduces, or discontinues a tax under this Section must
23be certified by the election authority, and any ordinance that
24increases or lowers the rate or discontinues the tax must be
25certified by the county clerk and, in each case, filed with the
26Illinois Department of Revenue either (i) on or before the

 

 

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1first day of April, whereupon the Department shall proceed to
2administer and enforce the tax or change in the rate as of the
3first day of July next following the filing; or (ii) on or
4before the first day of October, whereupon the Department shall
5proceed to administer and enforce the tax or change in the rate
6as of the first day of January next following the filing.
7    Beginning January 1, 2014, the results of any election that
8imposes, reduces, or discontinues a tax under this Section must
9be certified by the election authority, and any ordinance that
10increases or lowers the rate or discontinues the tax must be
11certified by the county clerk and, in each case, filed with the
12Illinois Department of Revenue either (i) on or before the
13first day of May, whereupon the Department shall proceed to
14administer and enforce the tax or change in the rate as of the
15first day of July next following the filing; or (ii) on or
16before the first day of October, whereupon the Department shall
17proceed to administer and enforce the tax or change in the rate
18as of the first day of January next following the filing.
19    (h) For purposes of this Section, "school facility
20purposes" means (i) the acquisition, development,
21construction, reconstruction, rehabilitation, improvement,
22financing, architectural planning, and installation of capital
23facilities consisting of buildings, structures, and durable
24equipment and for the acquisition and improvement of real
25property and interest in real property required, or expected to
26be required, in connection with the capital facilities and (ii)

 

 

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1the payment of bonds or other obligations heretofore or
2hereafter issued, including bonds or other obligations
3heretofore or hereafter issued to refund or to continue to
4refund bonds or other obligations issued, for school facility
5purposes, provided that the taxes levied to pay those bonds are
6abated by the amount of the taxes imposed under this Section
7that are used to pay those bonds. "School-facility purposes"
8also includes fire prevention, safety, energy conservation,
9accessibility, school security, and specified repair purposes
10set forth under Section 17-2.11 of the School Code.
11    (h-5) A county board in a county where a tax has been
12imposed under this Section pursuant to a referendum held on or
13after August 23, 2011 (the effective date of Public Act 97-542)
14may, by ordinance or resolution, submit to the voters of the
15county the question of reducing or discontinuing the tax. In
16the ordinance or resolution, the county board shall certify the
17question to the proper election authority in accordance with
18the Election Code. The election authority must submit the
19question in substantially the following form:
20        Shall the school facility retailers' occupation tax
21    and service occupation tax (commonly referred to as the
22    "school facility sales tax") currently imposed in (name of
23    county) at a rate of (insert rate) be (reduced to (insert
24    rate))(discontinued)?
25If a majority of the electors voting on the question vote in
26the affirmative, then, subject to the provisions of subsection

 

 

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1(g) of this Section, the tax shall be reduced or discontinued
2as set forth in the question.
3    (i) This Section does not apply to Cook County.
4    (j) This Section may be cited as the County School Facility
5Occupation Tax Law.
6(Source: P.A. 98-584, eff. 8-27-13; 99-143, eff. 7-27-15;
799-217, eff. 7-31-15; 99-642, eff. 7-28-16.)
 
8    (55 ILCS 5/5-1007)  (from Ch. 34, par. 5-1007)
9    Sec. 5-1007. Home Rule County Service Occupation Tax Law.
10The corporate authorities of a home rule county may impose a
11tax upon all persons engaged, in such county, in the business
12of making sales of service at the same rate of tax imposed
13pursuant to Section 5-1006 of the selling price of all tangible
14personal property transferred by such servicemen either in the
15form of tangible personal property or in the form of real
16estate as an incident to a sale of service. If imposed, such
17tax shall only be imposed in 1/4% increments. On and after
18September 1, 1991, this additional tax may not be imposed on
19the sales of food for human consumption which is to be consumed
20off the premises where it is sold (other than alcoholic
21beverages, soft drinks and food which has been prepared for
22immediate consumption) and prescription and nonprescription
23medicines, drugs, medical appliances and insulin, urine
24testing materials, syringes and needles used by diabetics.
25Beginning December 1, 2017, this tax is not imposed on sales of

 

 

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1aviation fuel unless the tax revenue is expended for
2airport-related purposes. If the County does not have an
3airport-related purpose to which it dedicates aviation fuel tax
4revenue, then aviation fuel is excluded from the tax. The
5County must comply with the certification requirements for
6airport-related purposes under Section 5-1184. For purposes of
7this Act, "airport-related purposes" has the meaning ascribed
8in Section 6z-20.2 of the State Finance Act. This exclusion for
9aviation fuel only applies for so long as the revenue use
10requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
11binding on the County. The changes made to this Section by this
12amendatory Act of the 100th General Assembly are a denial and
13limitation of home rule powers and functions under subsection
14(g) of Section 6 of Article VII of the Illinois Constitution.
15The tax imposed by a home rule county pursuant to this Section
16and all civil penalties that may be assessed as an incident
17thereof shall be collected and enforced by the State Department
18of Revenue. The certificate of registration which is issued by
19the Department to a retailer under the Retailers' Occupation
20Tax Act or under the Service Occupation Tax Act shall permit
21such registrant to engage in a business which is taxable under
22any ordinance or resolution enacted pursuant to this Section
23without registering separately with the Department under such
24ordinance or resolution or under this Section. The Department
25shall have full power to administer and enforce this Section;
26to collect all taxes and penalties due hereunder; to dispose of

 

 

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1taxes and penalties so collected in the manner hereinafter
2provided; and to determine all rights to credit memoranda
3arising on account of the erroneous payment of tax or penalty
4hereunder. In the administration of, and compliance with, this
5Section the Department and persons who are subject to this
6Section shall have the same rights, remedies, privileges,
7immunities, powers and duties, and be subject to the same
8conditions, restrictions, limitations, penalties and
9definitions of terms, and employ the same modes of procedure,
10as are prescribed in Sections 1a-1, 2, 2a, 3 through 3-50 (in
11respect to all provisions therein other than the State rate of
12tax), 4 (except that the reference to the State shall be to the
13taxing county), 5, 7, 8 (except that the jurisdiction to which
14the tax shall be a debt to the extent indicated in that Section
158 shall be the taxing county), 9 (except as to the disposition
16of taxes and penalties collected, and except that the returned
17merchandise credit for this county tax may not be taken against
18any State tax, and except that the retailer's discount is not
19allowed for taxes paid on aviation fuel that are deposited into
20the Local Government Aviation Trust Fund), 10, 11, 12 (except
21the reference therein to Section 2b of the Retailers'
22Occupation Tax Act), 13 (except that any reference to the State
23shall mean the taxing county), the first paragraph of Section
2415, 16, 17, 18, 19 and 20 of the Service Occupation Tax Act and
25Section 3-7 of the Uniform Penalty and Interest Act, as fully
26as if those provisions were set forth herein.

 

 

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1    No tax may be imposed by a home rule county pursuant to
2this Section unless such county also imposes a tax at the same
3rate pursuant to Section 5-1006.
4    Persons subject to any tax imposed pursuant to the
5authority granted in this Section may reimburse themselves for
6their serviceman's tax liability hereunder by separately
7stating such tax as an additional charge, which charge may be
8stated in combination, in a single amount, with State tax which
9servicemen are authorized to collect under the Service Use Tax
10Act, pursuant to such bracket schedules as the Department may
11prescribe.
12    Whenever the Department determines that a refund should be
13made under this Section to a claimant instead of issuing credit
14memorandum, the Department shall notify the State Comptroller,
15who shall cause the order to be drawn for the amount specified,
16and to the person named, in such notification from the
17Department. Such refund shall be paid by the State Treasurer
18out of the home rule county retailers' occupation tax fund.
19    Except as otherwise provided in this paragraph, the The
20Department shall forthwith pay over to the State Treasurer,
21ex-officio, as trustee, all taxes and penalties collected
22hereunder for deposit into the Home Rule County Retailers'
23Occupation Tax Fund. Taxes and penalties collected on aviation
24fuel sold on or after December 1, 2017, shall be immediately
25paid over by the Department to the State Treasurer, ex officio,
26as trustee, for deposit into the Local Government Aviation

 

 

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1Trust Fund. The Department shall only pay moneys into the Local
2Government Aviation Trust Fund under this Act for so long as
3the revenue use requirements of 49 U.S.C. 47107(b) and 49
4U.S.C. 47133 are binding on the County..
5    As soon as possible after the first day of each month,
6beginning January 1, 2011, upon certification of the Department
7of Revenue, the Comptroller shall order transferred, and the
8Treasurer shall transfer, to the STAR Bonds Revenue Fund the
9local sales tax increment, as defined in the Innovation
10Development and Economy Act, collected under this Section
11during the second preceding calendar month for sales within a
12STAR bond district.
13    After the monthly transfer to the STAR Bonds Revenue Fund,
14on or before the 25th day of each calendar month, the
15Department shall prepare and certify to the Comptroller the
16disbursement of stated sums of money to named counties, the
17counties to be those from which suppliers and servicemen have
18paid taxes or penalties hereunder to the Department during the
19second preceding calendar month. The amount to be paid to each
20county shall be the amount (not including credit memoranda and
21not including taxes and penalties collected on aviation fuel
22sold on or after December 1, 2017) collected hereunder during
23the second preceding calendar month by the Department, and not
24including an amount equal to the amount of refunds made during
25the second preceding calendar month by the Department on behalf
26of such county, and not including any amounts that are

 

 

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1transferred to the STAR Bonds Revenue Fund. Within 10 days
2after receipt, by the Comptroller, of the disbursement
3certification to the counties provided for in this Section to
4be given to the Comptroller by the Department, the Comptroller
5shall cause the orders to be drawn for the respective amounts
6in accordance with the directions contained in such
7certification.
8    In addition to the disbursement required by the preceding
9paragraph, an allocation shall be made in each year to each
10county which received more than $500,000 in disbursements under
11the preceding paragraph in the preceding calendar year. The
12allocation shall be in an amount equal to the average monthly
13distribution made to each such county under the preceding
14paragraph during the preceding calendar year (excluding the 2
15months of highest receipts). The distribution made in March of
16each year subsequent to the year in which an allocation was
17made pursuant to this paragraph and the preceding paragraph
18shall be reduced by the amount allocated and disbursed under
19this paragraph in the preceding calendar year. The Department
20shall prepare and certify to the Comptroller for disbursement
21the allocations made in accordance with this paragraph.
22    Nothing in this Section shall be construed to authorize a
23county to impose a tax upon the privilege of engaging in any
24business which under the Constitution of the United States may
25not be made the subject of taxation by this State.
26    An ordinance or resolution imposing or discontinuing a tax

 

 

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1hereunder or effecting a change in the rate thereof shall be
2adopted and a certified copy thereof filed with the Department
3on or before the first day of June, whereupon the Department
4shall proceed to administer and enforce this Section as of the
5first day of September next following such adoption and filing.
6Beginning January 1, 1992, an ordinance or resolution imposing
7or discontinuing the tax hereunder or effecting a change in the
8rate thereof shall be adopted and a certified copy thereof
9filed with the Department on or before the first day of July,
10whereupon the Department shall proceed to administer and
11enforce this Section as of the first day of October next
12following such adoption and filing. Beginning January 1, 1993,
13an ordinance or resolution imposing or discontinuing the tax
14hereunder or effecting a change in the rate thereof shall be
15adopted and a certified copy thereof filed with the Department
16on or before the first day of October, whereupon the Department
17shall proceed to administer and enforce this Section as of the
18first day of January next following such adoption and filing.
19Beginning April 1, 1998, an ordinance or resolution imposing or
20discontinuing the tax hereunder or effecting a change in the
21rate thereof shall either (i) be adopted and a certified copy
22thereof filed with the Department on or before the first day of
23April, whereupon the Department shall proceed to administer and
24enforce this Section as of the first day of July next following
25the adoption and filing; or (ii) be adopted and a certified
26copy thereof filed with the Department on or before the first

 

 

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1day of October, whereupon the Department shall proceed to
2administer and enforce this Section as of the first day of
3January next following the adoption and filing.
4    This Section shall be known and may be cited as the Home
5Rule County Service Occupation Tax Law.
6(Source: P.A. 96-939, eff. 6-24-10.)
 
7    (55 ILCS 5/5-1008.5)
8    Sec. 5-1008.5. Use and occupation taxes.
9    (a) The Rock Island County Board may adopt a resolution
10that authorizes a referendum on the question of whether the
11county shall be authorized to impose a retailers' occupation
12tax, a service occupation tax, and a use tax at a rate of 1/4 of
131% on behalf of the economic development activities of Rock
14Island County and communities located within the county. The
15county board shall certify the question to the proper election
16authorities who shall submit the question to the voters of the
17county at the next regularly scheduled election in accordance
18with the general election law. The question shall be in
19substantially the following form:
20        Shall Rock Island County be authorized to impose a
21    retailers' occupation tax, a service occupation tax, and a
22    use tax at the rate of 1/4 of 1% for the sole purpose of
23    economic development activities, including creation and
24    retention of job opportunities, support of affordable
25    housing opportunities, and enhancement of quality of life

 

 

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1    improvements?
2    Votes shall be recorded as "yes" or "no". If a majority of
3all votes cast on the proposition are in favor of the
4proposition, the county is authorized to impose the tax.
5    (b) The county shall impose the retailers' occupation tax
6upon all persons engaged in the business of selling tangible
7personal property at retail in the county, at the rate approved
8by referendum, on the gross receipts from the sales made in the
9course of those businesses within the county. This additional
10tax may not be imposed on the sale of food for human
11consumption that is to be consumed off the premises where it is
12sold (other than alcoholic beverages, soft drinks, and food
13that has been prepared for immediate consumption) and
14prescription and non-prescription medicines, drugs, medical
15appliances and insulin, urine testing materials, syringes, and
16needles used by diabetics. Beginning December 1, 2017, this tax
17is not imposed on sales of aviation fuel unless the tax revenue
18is expended for airport-related purposes. If the County does
19not have an airport-related purpose to which it dedicates
20aviation fuel tax revenue, then aviation fuel is excluded from
21the tax. The County must comply with the certification
22requirements for airport-related purposes under Section
235-1184. For purposes of this Act, "airport-related purposes"
24has the meaning ascribed in Section 6z-20.2 of the State
25Finance Act. This exclusion for aviation fuel only applies for
26so long as the revenue use requirements of 49 U.S.C. 47107(b)

 

 

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1and 49 U.S.C. 47133 are binding on the County. The tax imposed
2under this Section and all civil penalties that may be assessed
3as an incident of the tax shall be collected and enforced by
4the Department of Revenue. The Department has full power to
5administer and enforce this Section; to collect all taxes and
6penalties so collected in the manner provided in this Section;
7and to determine all rights to credit memoranda arising on
8account of the erroneous payment of tax or penalty under this
9Section. In the administration of, and compliance with, this
10Section, the Department and persons who are subject to this
11Section shall (i) have the same rights, remedies, privileges,
12immunities, powers and duties, (ii) be subject to the same
13conditions, restrictions, limitations, penalties, exclusions,
14exemptions, and definitions of terms, and (iii) employ the same
15modes of procedure as are prescribed in Sections 1, 1a, 1a-1,
161c, 1d, 1e, 1f, 1i, 1j, 1k, 1m, 1n, 2, 2-5, 2-5.5, 2-10 (in
17respect to all provisions other than the State rate of tax),
182-15 through 2-70, 2a, 2b, 2c, 3 (except as to the disposition
19of taxes and penalties collected and provisions related to
20quarter monthly payments, and except that the retailer's
21discount is not allowed for taxes paid on aviation fuel that
22are deposited into the Local Government Aviation Trust Fund),
234, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c,
247, 8, 9, 10, 11, 11a, 12, and 13 of the Retailers' Occupation
25Tax Act and Section 3-7 of the Uniform Penalty and Interest
26Act, as fully as if those provisions were set forth in this

 

 

10000SB0990sam001- 219 -LRB100 07613 HLH 26683 a

1subsection.
2    Persons subject to any tax imposed under this subsection
3may reimburse themselves for their seller's tax liability by
4separately stating the tax as an additional charge, which
5charge may be stated in combination, in a single amount, with
6State taxes that sellers are required to collect, in accordance
7with bracket schedules prescribed by the Department.
8    Whenever the Department determines that a refund should be
9made under this subsection to a claimant instead of issuing a
10credit memorandum, the Department shall notify the State
11Comptroller,