100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018
SB1285

 

Introduced 2/9/2017, by Sen. Pamela J. Althoff

 

SYNOPSIS AS INTRODUCED:
 
See Index

    Amends the Corporate Accountability for Tax Expenditures Act. Provides that the Unified Economic Development Budget shall be due within 6 months (instead of 3 months) after the end of the fiscal year. Amends the Department of Revenue Law of the Civil Administrative Code of Illinois. For the purposes of mandatory payments by electronic funds transfer, provides that the annual tax liability includes motor fuel tax liability and fees under the Environmental Impact Fee law. Amends the Illinois Income Tax Act. Makes changes concerning deposits into the Income Tax Refund Fund, the Fund for the Advancement of Education, and the Commitment to Human Services Fund. Amends the Property Tax Code to allow the Department of Revenue to publish equalization factors on its website. Amends the Retailers' Occupation Tax Act, the Service Occupation Tax Act, the Service Use Tax Act, and the Use Tax Act to make technical corrections. Amends various tax Acts to provide that, if a payment provided for under one of those Acts exceeds the taxpayer's liability under that Act, then the taxpayer may credit the excess payment against liability subsequently to be remitted to the Department of Revenue. Amends the Renewable Energy, Energy Efficiency, and Coal Resources Development Law of 1997 and the Energy Assistance Act to incorporate certain provisions of the Retailers' Occupation Tax Act. Effective immediately.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

SB1285LRB100 08067 HLH 18153 b

1    AN ACT concerning revenue.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Renewable Energy, Energy Efficiency, and
5Coal Resources Development Law of 1997 is amended by changing
6Section 6-5 and by adding Section 6-8 as follows:
 
7    (20 ILCS 687/6-5)
8    (Section scheduled to be repealed on December 31, 2020)
9    Sec. 6-5. Renewable Energy Resources and Coal Technology
10Development Assistance Charge.
11    (a) Notwithstanding the provisions of Section 16-111 of the
12Public Utilities Act but subject to subsection (e) of this
13Section, each public utility, electric cooperative, as defined
14in Section 3.4 of the Electric Supplier Act, and municipal
15utility, as referenced in Section 3-105 of the Public Utilities
16Act, that is engaged in the delivery of electricity or the
17distribution of natural gas within the State of Illinois shall,
18effective January 1, 1998, assess each of its customer accounts
19a monthly Renewable Energy Resources and Coal Technology
20Development Assistance Charge. The delivering public utility,
21municipal electric or gas utility, or electric or gas
22cooperative for a self-assessing purchaser remains subject to
23the collection of the fee imposed by this Section. The monthly

 

 

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1charge shall be as follows:
2        (1) $0.05 per month on each account for residential
3    electric service as defined in Section 13 of the Energy
4    Assistance Act;
5        (2) $0.05 per month on each account for residential gas
6    service as defined in Section 13 of the Energy Assistance
7    Act;
8        (3) $0.50 per month on each account for nonresidential
9    electric service, as defined in Section 13 of the Energy
10    Assistance Act, which had less than 10 megawatts of peak
11    demand during the previous calendar year;
12        (4) $0.50 per month on each account for nonresidential
13    gas service, as defined in Section 13 of the Energy
14    Assistance Act, which had distributed to it less than
15    4,000,000 therms of gas during the previous calendar year;
16        (5) $37.50 per month on each account for nonresidential
17    electric service, as defined in Section 13 of the Energy
18    Assistance Act, which had 10 megawatts or greater of peak
19    demand during the previous calendar year; and
20        (6) $37.50 per month on each account for nonresidential
21    gas service, as defined in Section 13 of the Energy
22    Assistance Act, which had 4,000,000 or more therms of gas
23    distributed to it during the previous calendar year.
24    (b) The Renewable Energy Resources and Coal Technology
25Development Assistance Charge assessed by electric and gas
26public utilities shall be considered a charge for public

 

 

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1utility service.
2    (c) Fifty percent of the moneys collected pursuant to this
3Section shall be deposited in the Renewable Energy Resources
4Trust Fund by the Department of Revenue. The remaining 50
5percent of the moneys collected pursuant to this Section shall
6be deposited in the Coal Technology Development Assistance Fund
7by the Department of Revenue for the exclusive purposes of (1)
8capturing or sequestering carbon emissions produced by coal
9combustion; (2) supporting research on the capture and
10sequestration of carbon emissions produced by coal combustion;
11and (3) improving coal miner safety.
12    (d) By the 20th day of the month following the month in
13which the charges imposed by this Section were collected, each
14utility and alternative retail electric supplier collecting
15charges pursuant to this Section shall remit to the Department
16of Revenue for deposit in the Renewable Energy Resources Trust
17Fund and the Coal Technology Development Assistance Fund all
18moneys received as payment of the charge provided for in this
19Section on a return prescribed and furnished by the Department
20of Revenue showing such information as the Department of
21Revenue may reasonably require.
22    If any payment provided for in this Section exceeds the
23utility or alternate retail electric supplier's liabilities
24under this Act, as shown on an original return, the utility or
25alternative retail electric supplier may credit the excess
26payment against liability subsequently to be remitted to the

 

 

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1Department of Revenue under this Act.
2    (e) The charges imposed by this Section shall only apply to
3customers of municipal electric or gas utilities and electric
4or gas cooperatives if the municipal electric or gas utility or
5electric or gas cooperative makes an affirmative decision to
6impose the charge. If a municipal electric or gas utility or an
7electric or gas cooperative makes an affirmative decision to
8impose the charge provided by this Section, the municipal
9electric or gas utility or electric or gas cooperative shall
10inform the Department of Revenue in writing of such decision
11when it begins to impose the charge. If a municipal electric or
12gas utility or electric or gas cooperative does not assess this
13charge, its customers shall not be eligible for the Renewable
14Energy Resources Program.
15    (f) The Department of Revenue may establish such rules as
16it deems necessary to implement this Section.
17(Source: P.A. 95-481, eff. 8-28-07.)
 
18    (20 ILCS 687/6-8 new)
19    Sec. 6-8. Application of Retailers' Occupation Tax
20provisions. All the provisions of Sections 3, 4, 5, 5a, 5b, 5c,
215d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b, 6c, 7, 8, 9, 10, and 13 of
22the Retailers' Occupation Tax Act that are not inconsistent
23with this Act apply, as far as practicable, to the surcharge
24imposed by this Act to the same extent as if those provisions
25were included in this Act. References in the incorporated

 

 

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1Sections of the Retailers' Occupation Tax Act to retailers, to
2sellers, or to persons engaged in the business of selling
3tangible personal property mean persons required to remit the
4charge imposed under this Act.
 
5    Section 10. The Corporate Accountability for Tax
6Expenditures Act is amended by changing Section 10 as follows:
 
7    (20 ILCS 715/10)
8    Sec. 10. Unified Economic Development Budget.
9    (a) For each State fiscal year ending on or after June 30,
102005, the Department of Revenue shall submit an annual Unified
11Economic Development Budget to the General Assembly. The
12Unified Economic Development Budget shall be due within 6 3
13months after the end of the fiscal year, and shall present all
14types of development assistance granted during the prior fiscal
15year, including:
16        (1) The aggregate amount of uncollected or diverted
17    State tax revenues resulting from each type of development
18    assistance provided in the tax statutes, as reported to the
19    Department of Revenue on tax returns filed during the
20    fiscal year.
21        (2) All State development assistance.
22    (b) All data contained in the Unified Economic Development
23Budget presented to the General Assembly shall be fully subject
24to the Freedom of Information Act.

 

 

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1    (c) The Department of Revenue shall submit a report of the
2amounts in subdivision (a)(1) of this Section to the
3Department, which may append such report to the Unified
4Economic Development Budget rather than separately reporting
5such amounts.
6(Source: P.A. 93-552, eff. 8-20-03.)
 
7    Section 15. The Department of Revenue Law of the Civil
8Administrative Code of Illinois is amended by changing Section
92505-210 as follows:
 
10    (20 ILCS 2505/2505-210)  (was 20 ILCS 2505/39c-1)
11    Sec. 2505-210. Electronic funds transfer.
12    (a) The Department may provide means by which persons
13having a tax liability under any Act administered by the
14Department may use electronic funds transfer to pay the tax
15liability.
16    (b) Mandatory payment by electronic funds transfer.
17Beginning on October 1, 2002, and through September 30, 2010, a
18taxpayer who has an annual tax liability of $200,000 or more
19shall make all payments of that tax to the Department by
20electronic funds transfer. Beginning October 1, 2010, a
21taxpayer (other than an individual taxpayer) who has an annual
22tax liability of $20,000 or more and an individual taxpayer who
23has an annual tax liability of $200,000 or more shall make all
24payments of that tax to the Department by electronic funds

 

 

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1transfer. Before August 1 of each year, beginning in 2002, the
2Department shall notify all taxpayers required to make payments
3by electronic funds transfer. All taxpayers required to make
4payments by electronic funds transfer shall make those payments
5for a minimum of one year beginning on October 1. For purposes
6of this subsection (b), the term "annual tax liability" means,
7except as provided in subsections (c) and (d) of this Section,
8the sum of the taxpayer's liabilities under a tax Act
9administered by the Department, except the Motor Fuel Tax Law
10and the Environmental Impact Fee Law, for the immediately
11preceding calendar year.
12    (c) For purposes of subsection (b), the term "annual tax
13liability" means, for a taxpayer that incurs a tax liability
14under the Retailers' Occupation Tax Act, Service Occupation Tax
15Act, Use Tax Act, Service Use Tax Act, or any other State or
16local occupation or use tax law that is administered by the
17Department, the sum of the taxpayer's liabilities under the
18Retailers' Occupation Tax Act, Service Occupation Tax Act, Use
19Tax Act, Service Use Tax Act, and all other State and local
20occupation and use tax laws administered by the Department for
21the immediately preceding calendar year.
22    (d) For purposes of subsection (b), the term "annual tax
23liability" means, for a taxpayer that incurs an Illinois income
24tax liability, the greater of:
25        (1) the amount of the taxpayer's tax liability under
26    Article 7 of the Illinois Income Tax Act for the

 

 

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1    immediately preceding calendar year; or
2        (2) the taxpayer's estimated tax payment obligation
3    under Article 8 of the Illinois Income Tax Act for the
4    immediately preceding calendar year.
5    (e) The Department shall adopt such rules as are necessary
6to effectuate a program of electronic funds transfer and the
7requirements of this Section.
8(Source: P.A. 96-1027, eff. 7-12-10.)
 
9    Section 20. The State Finance Act is amended by changing
10Section 6z-18 as follows:
 
11    (30 ILCS 105/6z-18)  (from Ch. 127, par. 142z-18)
12    Sec. 6z-18. Local Government Tax Fund. A portion of the
13money paid into the Local Government Tax Fund from sales of
14tangible personal property taxed at the 1% rate under the
15Retailers' Occupation Tax Act and the Service Occupation Tax
16Act, including but not limited to food for human consumption
17that which is to be consumed off the premises where it is sold
18(other than alcoholic beverages, soft drinks and food that
19which has been prepared for immediate consumption) and
20prescription and nonprescription medicines, drugs, medical
21appliances, products classified as Class III medical devices by
22the United States Food and Drug Administration that are used
23for cancer treatment pursuant to a prescription, as well as any
24accessories and components related to those devices,

 

 

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1modifications to a motor vehicle for the purpose of rendering
2it usable by a person with a disability, and insulin, urine
3testing materials, syringes and needles used by diabetics, for
4human use, which occurred in municipalities, shall be
5distributed to each municipality based upon the sales which
6occurred in that municipality. The remainder shall be
7distributed to each county based upon the sales which occurred
8in the unincorporated area of that county.
9    A portion of the money paid into the Local Government Tax
10Fund from the 6.25% general use tax rate on the selling price
11of tangible personal property which is purchased outside
12Illinois at retail from a retailer and which is titled or
13registered by any agency of this State's government shall be
14distributed to municipalities as provided in this paragraph.
15Each municipality shall receive the amount attributable to
16sales for which Illinois addresses for titling or registration
17purposes are given as being in such municipality. The remainder
18of the money paid into the Local Government Tax Fund from such
19sales shall be distributed to counties. Each county shall
20receive the amount attributable to sales for which Illinois
21addresses for titling or registration purposes are given as
22being located in the unincorporated area of such county.
23    A portion of the money paid into the Local Government Tax
24Fund from the 6.25% general rate (and, beginning July 1, 2000
25and through December 31, 2000, the 1.25% rate on motor fuel and
26gasohol, and beginning on August 6, 2010 through August 15,

 

 

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12010, the 1.25% rate on sales tax holiday items) on sales
2subject to taxation under the Retailers' Occupation Tax Act and
3the Service Occupation Tax Act, which occurred in
4municipalities, shall be distributed to each municipality,
5based upon the sales which occurred in that municipality. The
6remainder shall be distributed to each county, based upon the
7sales which occurred in the unincorporated area of such county.
8    For the purpose of determining allocation to the local
9government unit, a retail sale by a producer of coal or other
10mineral mined in Illinois is a sale at retail at the place
11where the coal or other mineral mined in Illinois is extracted
12from the earth. This paragraph does not apply to coal or other
13mineral when it is delivered or shipped by the seller to the
14purchaser at a point outside Illinois so that the sale is
15exempt under the United States Constitution as a sale in
16interstate or foreign commerce.
17    Whenever the Department determines that a refund of money
18paid into the Local Government Tax Fund should be made to a
19claimant instead of issuing a credit memorandum, the Department
20shall notify the State Comptroller, who shall cause the order
21to be drawn for the amount specified, and to the person named,
22in such notification from the Department. Such refund shall be
23paid by the State Treasurer out of the Local Government Tax
24Fund.
25    As soon as possible after the first day of each month,
26beginning January 1, 2011, upon certification of the Department

 

 

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1of Revenue, the Comptroller shall order transferred, and the
2Treasurer shall transfer, to the STAR Bonds Revenue Fund the
3local sales tax increment, as defined in the Innovation
4Development and Economy Act, collected during the second
5preceding calendar month for sales within a STAR bond district
6and deposited into the Local Government Tax Fund, less 3% of
7that amount, which shall be transferred into the Tax Compliance
8and Administration Fund and shall be used by the Department,
9subject to appropriation, to cover the costs of the Department
10in administering the Innovation Development and Economy Act.
11    After the monthly transfer to the STAR Bonds Revenue Fund,
12on or before the 25th day of each calendar month, the
13Department shall prepare and certify to the Comptroller the
14disbursement of stated sums of money to named municipalities
15and counties, the municipalities and counties to be those
16entitled to distribution of taxes or penalties paid to the
17Department during the second preceding calendar month. The
18amount to be paid to each municipality or county shall be the
19amount (not including credit memoranda) collected during the
20second preceding calendar month by the Department and paid into
21the Local Government Tax Fund, plus an amount the Department
22determines is necessary to offset any amounts which were
23erroneously paid to a different taxing body, and not including
24an amount equal to the amount of refunds made during the second
25preceding calendar month by the Department, and not including
26any amount which the Department determines is necessary to

 

 

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1offset any amounts which are payable to a different taxing body
2but were erroneously paid to the municipality or county, and
3not including any amounts that are transferred to the STAR
4Bonds Revenue Fund. Within 10 days after receipt, by the
5Comptroller, of the disbursement certification to the
6municipalities and counties, provided for in this Section to be
7given to the Comptroller by the Department, the Comptroller
8shall cause the orders to be drawn for the respective amounts
9in accordance with the directions contained in such
10certification.
11    When certifying the amount of monthly disbursement to a
12municipality or county under this Section, the Department shall
13increase or decrease that amount by an amount necessary to
14offset any misallocation of previous disbursements. The offset
15amount shall be the amount erroneously disbursed within the 6
16months preceding the time a misallocation is discovered.
17    The provisions directing the distributions from the
18special fund in the State Treasury provided for in this Section
19shall constitute an irrevocable and continuing appropriation
20of all amounts as provided herein. The State Treasurer and
21State Comptroller are hereby authorized to make distributions
22as provided in this Section.
23    In construing any development, redevelopment, annexation,
24preannexation or other lawful agreement in effect prior to
25September 1, 1990, which describes or refers to receipts from a
26county or municipal retailers' occupation tax, use tax or

 

 

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1service occupation tax which now cannot be imposed, such
2description or reference shall be deemed to include the
3replacement revenue for such abolished taxes, distributed from
4the Local Government Tax Fund.
5    As soon as possible after the effective date of this
6amendatory Act of the 98th General Assembly, the State
7Comptroller shall order and the State Treasurer shall transfer
8$6,600,000 from the Local Government Tax Fund to the Illinois
9State Medical Disciplinary Fund.
10(Source: P.A. 97-333, eff. 8-12-11; 98-3, eff. 3-8-13.)
 
11    Section 25. The Illinois Income Tax Act is amended by
12changing Section 901 as follows:
 
13    (35 ILCS 5/901)  (from Ch. 120, par. 9-901)
14    Sec. 901. Collection authority.
15    (a) In general.
16    The Department shall collect the taxes imposed by this Act.
17The Department shall collect certified past due child support
18amounts under Section 2505-650 of the Department of Revenue Law
19(20 ILCS 2505/2505-650). Except as provided in subsections (c),
20(e), (f), (g), and (h) of this Section, money collected
21pursuant to subsections (a) and (b) of Section 201 of this Act
22shall be paid into the General Revenue Fund in the State
23treasury; money collected pursuant to subsections (c) and (d)
24of Section 201 of this Act shall be paid into the Personal

 

 

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1Property Tax Replacement Fund, a special fund in the State
2Treasury; and money collected under Section 2505-650 of the
3Department of Revenue Law (20 ILCS 2505/2505-650) shall be paid
4into the Child Support Enforcement Trust Fund, a special fund
5outside the State Treasury, or to the State Disbursement Unit
6established under Section 10-26 of the Illinois Public Aid
7Code, as directed by the Department of Healthcare and Family
8Services.
9    (b) Local Government Distributive Fund.
10    Beginning August 1, 1969, and continuing through June 30,
111994, the Treasurer shall transfer each month from the General
12Revenue Fund to a special fund in the State treasury, to be
13known as the "Local Government Distributive Fund", an amount
14equal to 1/12 of the net revenue realized from the tax imposed
15by subsections (a) and (b) of Section 201 of this Act during
16the preceding month. Beginning July 1, 1994, and continuing
17through June 30, 1995, the Treasurer shall transfer each month
18from the General Revenue Fund to the Local Government
19Distributive Fund an amount equal to 1/11 of the net revenue
20realized from the tax imposed by subsections (a) and (b) of
21Section 201 of this Act during the preceding month. Beginning
22July 1, 1995 and continuing through January 31, 2011, the
23Treasurer shall transfer each month from the General Revenue
24Fund to the Local Government Distributive Fund an amount equal
25to the net of (i) 1/10 of the net revenue realized from the tax
26imposed by subsections (a) and (b) of Section 201 of the

 

 

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1Illinois Income Tax Act during the preceding month (ii) minus,
2beginning July 1, 2003 and ending June 30, 2004, $6,666,666,
3and beginning July 1, 2004, zero. Beginning February 1, 2011,
4and continuing through January 31, 2015, the Treasurer shall
5transfer each month from the General Revenue Fund to the Local
6Government Distributive Fund an amount equal to the sum of (i)
76% (10% of the ratio of the 3% individual income tax rate prior
8to 2011 to the 5% individual income tax rate after 2010) of the
9net revenue realized from the tax imposed by subsections (a)
10and (b) of Section 201 of this Act upon individuals, trusts,
11and estates during the preceding month and (ii) 6.86% (10% of
12the ratio of the 4.8% corporate income tax rate prior to 2011
13to the 7% corporate income tax rate after 2010) of the net
14revenue realized from the tax imposed by subsections (a) and
15(b) of Section 201 of this Act upon corporations during the
16preceding month. Beginning February 1, 2015 and continuing
17through January 31, 2025, the Treasurer shall transfer each
18month from the General Revenue Fund to the Local Government
19Distributive Fund an amount equal to the sum of (i) 8% (10% of
20the ratio of the 3% individual income tax rate prior to 2011 to
21the 3.75% individual income tax rate after 2014) of the net
22revenue realized from the tax imposed by subsections (a) and
23(b) of Section 201 of this Act upon individuals, trusts, and
24estates during the preceding month and (ii) 9.14% (10% of the
25ratio of the 4.8% corporate income tax rate prior to 2011 to
26the 5.25% corporate income tax rate after 2014) of the net

 

 

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1revenue realized from the tax imposed by subsections (a) and
2(b) of Section 201 of this Act upon corporations during the
3preceding month. Beginning February 1, 2025, the Treasurer
4shall transfer each month from the General Revenue Fund to the
5Local Government Distributive Fund an amount equal to the sum
6of (i) 9.23% (10% of the ratio of the 3% individual income tax
7rate prior to 2011 to the 3.25% individual income tax rate
8after 2024) of the net revenue realized from the tax imposed by
9subsections (a) and (b) of Section 201 of this Act upon
10individuals, trusts, and estates during the preceding month and
11(ii) 10% of the net revenue realized from the tax imposed by
12subsections (a) and (b) of Section 201 of this Act upon
13corporations during the preceding month. Net revenue realized
14for a month shall be defined as the revenue from the tax
15imposed by subsections (a) and (b) of Section 201 of this Act
16which is deposited in the General Revenue Fund, the Education
17Assistance Fund, the Income Tax Surcharge Local Government
18Distributive Fund, the Fund for the Advancement of Education,
19and the Commitment to Human Services Fund during the month
20minus the amount paid out of the General Revenue Fund in State
21warrants during that same month as refunds to taxpayers for
22overpayment of liability under the tax imposed by subsections
23(a) and (b) of Section 201 of this Act.
24    Beginning on August 26, 2014 (the effective date of Public
25Act 98-1052), the Comptroller shall perform the transfers
26required by this subsection (b) no later than 60 days after he

 

 

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1or she receives the certification from the Treasurer as
2provided in Section 1 of the State Revenue Sharing Act.
3    (c) Deposits Into Income Tax Refund Fund.
4        (1) Beginning on January 1, 1989 and thereafter, the
5    Department shall deposit a percentage of the amounts
6    collected pursuant to subsections (a) and (b)(1), (2), and
7    (3), of Section 201 of this Act into a fund in the State
8    treasury known as the Income Tax Refund Fund. The
9    Department shall deposit 6% of such amounts during the
10    period beginning January 1, 1989 and ending on June 30,
11    1989. Beginning with State fiscal year 1990 and for each
12    fiscal year thereafter, the percentage deposited into the
13    Income Tax Refund Fund during a fiscal year shall be the
14    Annual Percentage. For fiscal years 1999 through 2001, the
15    Annual Percentage shall be 7.1%. For fiscal year 2003, the
16    Annual Percentage shall be 8%. For fiscal year 2004, the
17    Annual Percentage shall be 11.7%. Upon the effective date
18    of this amendatory Act of the 93rd General Assembly, the
19    Annual Percentage shall be 10% for fiscal year 2005. For
20    fiscal year 2006, the Annual Percentage shall be 9.75%. For
21    fiscal year 2007, the Annual Percentage shall be 9.75%. For
22    fiscal year 2008, the Annual Percentage shall be 7.75%. For
23    fiscal year 2009, the Annual Percentage shall be 9.75%. For
24    fiscal year 2010, the Annual Percentage shall be 9.75%. For
25    fiscal year 2011, the Annual Percentage shall be 8.75%. For
26    fiscal year 2012, the Annual Percentage shall be 8.75%. For

 

 

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1    fiscal year 2013, the Annual Percentage shall be 9.75%. For
2    fiscal year 2014, the Annual Percentage shall be 9.5%. For
3    fiscal year 2015, the Annual Percentage shall be 10%. For
4    all other fiscal years, the Annual Percentage shall be
5    calculated as a fraction, the numerator of which shall be
6    the amount of refunds approved for payment by the
7    Department during the preceding fiscal year as a result of
8    overpayment of tax liability under subsections (a) and
9    (b)(1), (2), and (3) of Section 201 of this Act plus the
10    amount of such refunds remaining approved but unpaid at the
11    end of the preceding fiscal year, minus the amounts
12    transferred into the Income Tax Refund Fund from the
13    Tobacco Settlement Recovery Fund, and the denominator of
14    which shall be the amounts which will be collected pursuant
15    to subsections (a) and (b)(1), (2), and (3) of Section 201
16    of this Act during the preceding fiscal year; except that
17    in State fiscal year 2002, the Annual Percentage shall in
18    no event exceed 7.6%. The Director of Revenue shall certify
19    the Annual Percentage to the Comptroller on the last
20    business day of the fiscal year immediately preceding the
21    fiscal year for which it is to be effective.
22        (2) Beginning on January 1, 1989 and thereafter, the
23    Department shall deposit a percentage of the amounts
24    collected pursuant to subsections (a) and (b)(6), (7), and
25    (8), (c) and (d) of Section 201 of this Act into a fund in
26    the State treasury known as the Income Tax Refund Fund. The

 

 

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1    Department shall deposit 18% of such amounts during the
2    period beginning January 1, 1989 and ending on June 30,
3    1989. Beginning with State fiscal year 1990 and for each
4    fiscal year thereafter, the percentage deposited into the
5    Income Tax Refund Fund during a fiscal year shall be the
6    Annual Percentage. For fiscal years 1999, 2000, and 2001,
7    the Annual Percentage shall be 19%. For fiscal year 2003,
8    the Annual Percentage shall be 27%. For fiscal year 2004,
9    the Annual Percentage shall be 32%. Upon the effective date
10    of this amendatory Act of the 93rd General Assembly, the
11    Annual Percentage shall be 24% for fiscal year 2005. For
12    fiscal year 2006, the Annual Percentage shall be 20%. For
13    fiscal year 2007, the Annual Percentage shall be 17.5%. For
14    fiscal year 2008, the Annual Percentage shall be 15.5%. For
15    fiscal year 2009, the Annual Percentage shall be 17.5%. For
16    fiscal year 2010, the Annual Percentage shall be 17.5%. For
17    fiscal year 2011, the Annual Percentage shall be 17.5%. For
18    fiscal year 2012, the Annual Percentage shall be 17.5%. For
19    fiscal year 2013, the Annual Percentage shall be 14%. For
20    fiscal year 2014, the Annual Percentage shall be 13.4%. For
21    fiscal year 2015, the Annual Percentage shall be 14%. For
22    all other fiscal years, the Annual Percentage shall be
23    calculated as a fraction, the numerator of which shall be
24    the amount of refunds approved for payment by the
25    Department during the preceding fiscal year as a result of
26    overpayment of tax liability under subsections (a) and

 

 

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1    (b)(6), (7), and (8), (c) and (d) of Section 201 of this
2    Act plus the amount of such refunds remaining approved but
3    unpaid at the end of the preceding fiscal year, and the
4    denominator of which shall be the amounts which will be
5    collected pursuant to subsections (a) and (b)(6), (7), and
6    (8), (c) and (d) of Section 201 of this Act during the
7    preceding fiscal year; except that in State fiscal year
8    2002, the Annual Percentage shall in no event exceed 23%.
9    The Director of Revenue shall certify the Annual Percentage
10    to the Comptroller on the last business day of the fiscal
11    year immediately preceding the fiscal year for which it is
12    to be effective.
13        (3) The Comptroller shall order transferred and the
14    Treasurer shall transfer from the Tobacco Settlement
15    Recovery Fund to the Income Tax Refund Fund (i) $35,000,000
16    in January, 2001, (ii) $35,000,000 in January, 2002, and
17    (iii) $35,000,000 in January, 2003.
18    (d) Expenditures from Income Tax Refund Fund.
19        (1) Beginning January 1, 1989, money in the Income Tax
20    Refund Fund shall be expended exclusively for the purpose
21    of paying refunds resulting from overpayment of tax
22    liability under Section 201 of this Act, for paying rebates
23    under Section 208.1 in the event that the amounts in the
24    Homeowners' Tax Relief Fund are insufficient for that
25    purpose, and for making transfers pursuant to this
26    subsection (d).

 

 

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1        (2) The Director shall order payment of refunds
2    resulting from overpayment of tax liability under Section
3    201 of this Act from the Income Tax Refund Fund only to the
4    extent that amounts collected pursuant to Section 201 of
5    this Act and transfers pursuant to this subsection (d) and
6    item (3) of subsection (c) have been deposited and retained
7    in the Fund.
8        (3) As soon as possible after the end of each fiscal
9    year, the Director shall order transferred and the State
10    Treasurer and State Comptroller shall transfer from the
11    Income Tax Refund Fund to the Personal Property Tax
12    Replacement Fund an amount, certified by the Director to
13    the Comptroller, equal to the excess of the amount
14    collected pursuant to subsections (c) and (d) of Section
15    201 of this Act deposited into the Income Tax Refund Fund
16    during the fiscal year over the sum of the amount of
17    refunds resulting from overpayment of tax liability under
18    subsections (c) and (d) of Section 201 of this Act paid
19    from the Income Tax Refund Fund during the fiscal year plus
20    the amount of such refund claims received but neither paid
21    nor denied as of the end of the fiscal year.
22        (4) As soon as possible after the end of each fiscal
23    year, the Director shall order transferred and the State
24    Treasurer and State Comptroller shall transfer from the
25    Personal Property Tax Replacement Fund to the Income Tax
26    Refund Fund an amount, certified by the Director to the

 

 

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1    Comptroller, equal to the excess of the amount of refunds
2    resulting from overpayment of tax liability under
3    subsections (c) and (d) of Section 201 of this Act paid
4    from the Income Tax Refund Fund during the fiscal year over
5    the amount collected pursuant to subsections (c) and (d) of
6    Section 201 of this Act deposited into the Income Tax
7    Refund Fund during the fiscal year.
8        (4.5) As soon as possible after the end of fiscal year
9    1999 and of each fiscal year thereafter, the Director shall
10    order transferred and the State Treasurer and State
11    Comptroller shall transfer from the Income Tax Refund Fund
12    to the General Revenue Fund any surplus remaining in the
13    Income Tax Refund Fund as of the end of such fiscal year;
14    excluding for fiscal years 2000, 2001, and 2002 amounts
15    attributable to transfers under item (3) of subsection (c)
16    less refunds resulting from the earned income tax credit.
17        (5) This Act shall constitute an irrevocable and
18    continuing appropriation from the Income Tax Refund Fund
19    for the purpose of paying refunds upon the order of the
20    Director in accordance with the provisions of this Section.
21    (e) Deposits into the Education Assistance Fund and the
22Income Tax Surcharge Local Government Distributive Fund.
23    On July 1, 1991, and thereafter, of the amounts collected
24pursuant to subsections (a) and (b) of Section 201 of this Act,
25minus deposits into the Income Tax Refund Fund, the Department
26shall deposit 7.3% into the Education Assistance Fund in the

 

 

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1State Treasury. Beginning July 1, 1991, and continuing through
2January 31, 1993, of the amounts collected pursuant to
3subsections (a) and (b) of Section 201 of the Illinois Income
4Tax Act, minus deposits into the Income Tax Refund Fund, the
5Department shall deposit 3.0% into the Income Tax Surcharge
6Local Government Distributive Fund in the State Treasury.
7Beginning February 1, 1993 and continuing through June 30,
81993, of the amounts collected pursuant to subsections (a) and
9(b) of Section 201 of the Illinois Income Tax Act, minus
10deposits into the Income Tax Refund Fund, the Department shall
11deposit 4.4% into the Income Tax Surcharge Local Government
12Distributive Fund in the State Treasury. Beginning July 1,
131993, and continuing through June 30, 1994, of the amounts
14collected under subsections (a) and (b) of Section 201 of this
15Act, minus deposits into the Income Tax Refund Fund, the
16Department shall deposit 1.475% into the Income Tax Surcharge
17Local Government Distributive Fund in the State Treasury.
18    (f) Transfers Deposits into the Fund for the Advancement of
19Education. Beginning February 1, 2015, the Department shall
20transfer deposit the following portions of the revenue realized
21from the tax imposed upon individuals, trusts, and estates by
22subsections (a) and (b) of Section 201 of this Act during the
23preceding month, minus deposits into the Income Tax Refund
24Fund, into the Fund for the Advancement of Education:
25        (1) beginning February 1, 2015, and prior to February
26    1, 2025, 1/30; and

 

 

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1        (2) beginning February 1, 2025, 1/26.
2    If the rate of tax imposed by subsection (a) and (b) of
3Section 201 is reduced pursuant to Section 201.5 of this Act,
4the Department shall not make the deposits required by this
5subsection (f) on or after the effective date of the reduction.
6    (g) Transfers Deposits into the Commitment to Human
7Services Fund. Beginning February 1, 2015, the Department shall
8transfer deposit the following portions of the revenue realized
9from the tax imposed upon individuals, trusts, and estates by
10subsections (a) and (b) of Section 201 of this Act during the
11preceding month, minus deposits into the Income Tax Refund
12Fund, into the Commitment to Human Services Fund:
13        (1) beginning February 1, 2015, and prior to February
14    1, 2025, 1/30; and
15        (2) beginning February 1, 2025, 1/26.
16    If the rate of tax imposed by subsection (a) and (b) of
17Section 201 is reduced pursuant to Section 201.5 of this Act,
18the Department shall not make the deposits required by this
19subsection (g) on or after the effective date of the reduction.
20    (h) Deposits into the Tax Compliance and Administration
21Fund. Beginning on the first day of the first calendar month to
22occur on or after August 26, 2014 (the effective date of Public
23Act 98-1098), each month the Department shall pay into the Tax
24Compliance and Administration Fund, to be used, subject to
25appropriation, to fund additional auditors and compliance
26personnel at the Department, an amount equal to 1/12 of 5% of

 

 

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1the cash receipts collected during the preceding fiscal year by
2the Audit Bureau of the Department from the tax imposed by
3subsections (a), (b), (c), and (d) of Section 201 of this Act,
4net of deposits into the Income Tax Refund Fund made from those
5cash receipts.
6(Source: P.A. 98-24, eff. 6-19-13; 98-674, eff. 6-30-14;
798-1052, eff. 8-26-14; 98-1098, eff. 8-26-14; 99-78, eff.
87-20-15.)
 
9    Section 30. The Use Tax Act is amended by changing Sections
103-5, 3-5.5, and 9 as follows:
 
11    (35 ILCS 105/3-5)
12    Sec. 3-5. Exemptions. Use of the following tangible
13personal property is exempt from the tax imposed by this Act:
14    (1) Personal property purchased from a corporation,
15society, association, foundation, institution, or
16organization, other than a limited liability company, that is
17organized and operated as a not-for-profit service enterprise
18for the benefit of persons 65 years of age or older if the
19personal property was not purchased by the enterprise for the
20purpose of resale by the enterprise.
21    (2) Personal property purchased by a not-for-profit
22Illinois county fair association for use in conducting,
23operating, or promoting the county fair.
24    (3) Personal property purchased by a not-for-profit arts or

 

 

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1cultural organization that establishes, by proof required by
2the Department by rule, that it has received an exemption under
3Section 501(c)(3) of the Internal Revenue Code and that is
4organized and operated primarily for the presentation or
5support of arts or cultural programming, activities, or
6services. These organizations include, but are not limited to,
7music and dramatic arts organizations such as symphony
8orchestras and theatrical groups, arts and cultural service
9organizations, local arts councils, visual arts organizations,
10and media arts organizations. On and after the effective date
11of this amendatory Act of the 92nd General Assembly, however,
12an entity otherwise eligible for this exemption shall not make
13tax-free purchases unless it has an active identification
14number issued by the Department.
15    (4) Personal property purchased by a governmental body, by
16a corporation, society, association, foundation, or
17institution organized and operated exclusively for charitable,
18religious, or educational purposes, or by a not-for-profit
19corporation, society, association, foundation, institution, or
20organization that has no compensated officers or employees and
21that is organized and operated primarily for the recreation of
22persons 55 years of age or older. A limited liability company
23may qualify for the exemption under this paragraph only if the
24limited liability company is organized and operated
25exclusively for educational purposes. On and after July 1,
261987, however, no entity otherwise eligible for this exemption

 

 

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1shall make tax-free purchases unless it has an active exemption
2identification number issued by the Department.
3    (5) Until July 1, 2003, a passenger car that is a
4replacement vehicle to the extent that the purchase price of
5the car is subject to the Replacement Vehicle Tax.
6    (6) Until July 1, 2003 and beginning again on September 1,
72004 through August 30, 2014, graphic arts machinery and
8equipment, including repair and replacement parts, both new and
9used, and including that manufactured on special order,
10certified by the purchaser to be used primarily for graphic
11arts production, and including machinery and equipment
12purchased for lease. Equipment includes chemicals or chemicals
13acting as catalysts but only if the chemicals or chemicals
14acting as catalysts effect a direct and immediate change upon a
15graphic arts product.
16    (7) Farm chemicals.
17    (8) Legal tender, currency, medallions, or gold or silver
18coinage issued by the State of Illinois, the government of the
19United States of America, or the government of any foreign
20country, and bullion.
21    (9) Personal property purchased from a teacher-sponsored
22student organization affiliated with an elementary or
23secondary school located in Illinois.
24    (10) A motor vehicle that is used for automobile renting,
25as defined in the Automobile Renting Occupation and Use Tax
26Act.

 

 

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1    (11) Farm machinery and equipment, both new and used,
2including that manufactured on special order, certified by the
3purchaser to be used primarily for production agriculture or
4State or federal agricultural programs, including individual
5replacement parts for the machinery and equipment, including
6machinery and equipment purchased for lease, and including
7implements of husbandry defined in Section 1-130 of the
8Illinois Vehicle Code, farm machinery and agricultural
9chemical and fertilizer spreaders, and nurse wagons required to
10be registered under Section 3-809 of the Illinois Vehicle Code,
11but excluding other motor vehicles required to be registered
12under the Illinois Vehicle Code. Horticultural polyhouses or
13hoop houses used for propagating, growing, or overwintering
14plants shall be considered farm machinery and equipment under
15this item (11). Agricultural chemical tender tanks and dry
16boxes shall include units sold separately from a motor vehicle
17required to be licensed and units sold mounted on a motor
18vehicle required to be licensed if the selling price of the
19tender is separately stated.
20    Farm machinery and equipment shall include precision
21farming equipment that is installed or purchased to be
22installed on farm machinery and equipment including, but not
23limited to, tractors, harvesters, sprayers, planters, seeders,
24or spreaders. Precision farming equipment includes, but is not
25limited to, soil testing sensors, computers, monitors,
26software, global positioning and mapping systems, and other

 

 

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1such equipment.
2    Farm machinery and equipment also includes computers,
3sensors, software, and related equipment used primarily in the
4computer-assisted operation of production agriculture
5facilities, equipment, and activities such as, but not limited
6to, the collection, monitoring, and correlation of animal and
7crop data for the purpose of formulating animal diets and
8agricultural chemicals. This item (11) is exempt from the
9provisions of Section 3-90.
10    (12) Until June 30, 2013, fuel and petroleum products sold
11to or used by an air common carrier, certified by the carrier
12to be used for consumption, shipment, or storage in the conduct
13of its business as an air common carrier, for a flight destined
14for or returning from a location or locations outside the
15United States without regard to previous or subsequent domestic
16stopovers.
17    Beginning July 1, 2013, fuel and petroleum products sold to
18or used by an air carrier, certified by the carrier to be used
19for consumption, shipment, or storage in the conduct of its
20business as an air common carrier, for a flight that (i) is
21engaged in foreign trade or is engaged in trade between the
22United States and any of its possessions and (ii) transports at
23least one individual or package for hire from the city of
24origination to the city of final destination on the same
25aircraft, without regard to a change in the flight number of
26that aircraft.

 

 

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1    (13) Proceeds of mandatory service charges separately
2stated on customers' bills for the purchase and consumption of
3food and beverages purchased at retail from a retailer, to the
4extent that the proceeds of the service charge are in fact
5turned over as tips or as a substitute for tips to the
6employees who participate directly in preparing, serving,
7hosting or cleaning up the food or beverage function with
8respect to which the service charge is imposed.
9    (14) Until July 1, 2003, oil field exploration, drilling,
10and production equipment, including (i) rigs and parts of rigs,
11rotary rigs, cable tool rigs, and workover rigs, (ii) pipe and
12tubular goods, including casing and drill strings, (iii) pumps
13and pump-jack units, (iv) storage tanks and flow lines, (v) any
14individual replacement part for oil field exploration,
15drilling, and production equipment, and (vi) machinery and
16equipment purchased for lease; but excluding motor vehicles
17required to be registered under the Illinois Vehicle Code.
18    (15) Photoprocessing machinery and equipment, including
19repair and replacement parts, both new and used, including that
20manufactured on special order, certified by the purchaser to be
21used primarily for photoprocessing, and including
22photoprocessing machinery and equipment purchased for lease.
23    (16) Coal and aggregate exploration, mining, off-highway
24hauling, processing, maintenance, and reclamation equipment,
25including replacement parts and equipment, and including
26equipment purchased for lease, but excluding motor vehicles

 

 

SB1285- 31 -LRB100 08067 HLH 18153 b

1required to be registered under the Illinois Vehicle Code. The
2changes made to this Section by Public Act 97-767 apply on and
3after July 1, 2003, but no claim for credit or refund is
4allowed on or after August 16, 2013 (the effective date of
5Public Act 98-456) for such taxes paid during the period
6beginning July 1, 2003 and ending on August 16, 2013 (the
7effective date of Public Act 98-456).
8    (17) Until July 1, 2003, distillation machinery and
9equipment, sold as a unit or kit, assembled or installed by the
10retailer, certified by the user to be used only for the
11production of ethyl alcohol that will be used for consumption
12as motor fuel or as a component of motor fuel for the personal
13use of the user, and not subject to sale or resale.
14    (18) Manufacturing and assembling machinery and equipment
15used primarily in the process of manufacturing or assembling
16tangible personal property for wholesale or retail sale or
17lease, whether that sale or lease is made directly by the
18manufacturer or by some other person, whether the materials
19used in the process are owned by the manufacturer or some other
20person, or whether that sale or lease is made apart from or as
21an incident to the seller's engaging in the service occupation
22of producing machines, tools, dies, jigs, patterns, gauges, or
23other similar items of no commercial value on special order for
24a particular purchaser. The exemption provided by this
25paragraph (18) does not include machinery and equipment used in
26(i) the generation of electricity for wholesale or retail sale;

 

 

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1(ii) the generation or treatment of natural or artificial gas
2for wholesale or retail sale that is delivered to customers
3through pipes, pipelines, or mains; or (iii) the treatment of
4water for wholesale or retail sale that is delivered to
5customers through pipes, pipelines, or mains. The provisions of
6Public Act 98-583 are declaratory of existing law as to the
7meaning and scope of this exemption.
8    (19) Personal property delivered to a purchaser or
9purchaser's donee inside Illinois when the purchase order for
10that personal property was received by a florist located
11outside Illinois who has a florist located inside Illinois
12deliver the personal property.
13    (20) Semen used for artificial insemination of livestock
14for direct agricultural production.
15    (21) Horses, or interests in horses, registered with and
16meeting the requirements of any of the Arabian Horse Club
17Registry of America, Appaloosa Horse Club, American Quarter
18Horse Association, United States Trotting Association, or
19Jockey Club, as appropriate, used for purposes of breeding or
20racing for prizes. This item (21) is exempt from the provisions
21of Section 3-90, and the exemption provided for under this item
22(21) applies for all periods beginning May 30, 1995, but no
23claim for credit or refund is allowed on or after January 1,
242008 for such taxes paid during the period beginning May 30,
252000 and ending on January 1, 2008.
26    (22) Computers and communications equipment utilized for

 

 

SB1285- 33 -LRB100 08067 HLH 18153 b

1any hospital purpose and equipment used in the diagnosis,
2analysis, or treatment of hospital patients purchased by a
3lessor who leases the equipment, under a lease of one year or
4longer executed or in effect at the time the lessor would
5otherwise be subject to the tax imposed by this Act, to a
6hospital that has been issued an active tax exemption
7identification number by the Department under Section 1g of the
8Retailers' Occupation Tax Act. If the equipment is leased in a
9manner that does not qualify for this exemption or is used in
10any other non-exempt manner, the lessor shall be liable for the
11tax imposed under this Act or the Service Use Tax Act, as the
12case may be, based on the fair market value of the property at
13the time the non-qualifying use occurs. No lessor shall collect
14or attempt to collect an amount (however designated) that
15purports to reimburse that lessor for the tax imposed by this
16Act or the Service Use Tax Act, as the case may be, if the tax
17has not been paid by the lessor. If a lessor improperly
18collects any such amount from the lessee, the lessee shall have
19a legal right to claim a refund of that amount from the lessor.
20If, however, that amount is not refunded to the lessee for any
21reason, the lessor is liable to pay that amount to the
22Department.
23    (23) Personal property purchased by a lessor who leases the
24property, under a lease of one year or longer executed or in
25effect at the time the lessor would otherwise be subject to the
26tax imposed by this Act, to a governmental body that has been

 

 

SB1285- 34 -LRB100 08067 HLH 18153 b

1issued an active sales tax exemption identification number by
2the Department under Section 1g of the Retailers' Occupation
3Tax Act. If the property is leased in a manner that does not
4qualify for this exemption or used in any other non-exempt
5manner, the lessor shall be liable for the tax imposed under
6this Act or the Service Use Tax Act, as the case may be, based
7on the fair market value of the property at the time the
8non-qualifying use occurs. No lessor shall collect or attempt
9to collect an amount (however designated) that purports to
10reimburse that lessor for the tax imposed by this Act or the
11Service Use Tax Act, as the case may be, if the tax has not been
12paid by the lessor. If a lessor improperly collects any such
13amount from the lessee, the lessee shall have a legal right to
14claim a refund of that amount from the lessor. If, however,
15that amount is not refunded to the lessee for any reason, the
16lessor is liable to pay that amount to the Department.
17    (24) Beginning with taxable years ending on or after
18December 31, 1995 and ending with taxable years ending on or
19before December 31, 2004, personal property that is donated for
20disaster relief to be used in a State or federally declared
21disaster area in Illinois or bordering Illinois by a
22manufacturer or retailer that is registered in this State to a
23corporation, society, association, foundation, or institution
24that has been issued a sales tax exemption identification
25number by the Department that assists victims of the disaster
26who reside within the declared disaster area.

 

 

SB1285- 35 -LRB100 08067 HLH 18153 b

1    (25) Beginning with taxable years ending on or after
2December 31, 1995 and ending with taxable years ending on or
3before December 31, 2004, personal property that is used in the
4performance of infrastructure repairs in this State, including
5but not limited to municipal roads and streets, access roads,
6bridges, sidewalks, waste disposal systems, water and sewer
7line extensions, water distribution and purification
8facilities, storm water drainage and retention facilities, and
9sewage treatment facilities, resulting from a State or
10federally declared disaster in Illinois or bordering Illinois
11when such repairs are initiated on facilities located in the
12declared disaster area within 6 months after the disaster.
13    (26) Beginning July 1, 1999, game or game birds purchased
14at a "game breeding and hunting preserve area" as that term is
15used in the Wildlife Code. This paragraph is exempt from the
16provisions of Section 3-90.
17    (27) A motor vehicle, as that term is defined in Section
181-146 of the Illinois Vehicle Code, that is donated to a
19corporation, limited liability company, society, association,
20foundation, or institution that is determined by the Department
21to be organized and operated exclusively for educational
22purposes. For purposes of this exemption, "a corporation,
23limited liability company, society, association, foundation,
24or institution organized and operated exclusively for
25educational purposes" means all tax-supported public schools,
26private schools that offer systematic instruction in useful

 

 

SB1285- 36 -LRB100 08067 HLH 18153 b

1branches of learning by methods common to public schools and
2that compare favorably in their scope and intensity with the
3course of study presented in tax-supported schools, and
4vocational or technical schools or institutes organized and
5operated exclusively to provide a course of study of not less
6than 6 weeks duration and designed to prepare individuals to
7follow a trade or to pursue a manual, technical, mechanical,
8industrial, business, or commercial occupation.
9    (28) Beginning January 1, 2000, personal property,
10including food, purchased through fundraising events for the
11benefit of a public or private elementary or secondary school,
12a group of those schools, or one or more school districts if
13the events are sponsored by an entity recognized by the school
14district that consists primarily of volunteers and includes
15parents and teachers of the school children. This paragraph
16does not apply to fundraising events (i) for the benefit of
17private home instruction or (ii) for which the fundraising
18entity purchases the personal property sold at the events from
19another individual or entity that sold the property for the
20purpose of resale by the fundraising entity and that profits
21from the sale to the fundraising entity. This paragraph is
22exempt from the provisions of Section 3-90.
23    (29) Beginning January 1, 2000 and through December 31,
242001, new or used automatic vending machines that prepare and
25serve hot food and beverages, including coffee, soup, and other
26items, and replacement parts for these machines. Beginning

 

 

SB1285- 37 -LRB100 08067 HLH 18153 b

1January 1, 2002 and through June 30, 2003, machines and parts
2for machines used in commercial, coin-operated amusement and
3vending business if a use or occupation tax is paid on the
4gross receipts derived from the use of the commercial,
5coin-operated amusement and vending machines. This paragraph
6is exempt from the provisions of Section 3-90.
7    (30) Beginning January 1, 2001 and through June 30, 2016,
8food for human consumption that is to be consumed off the
9premises where it is sold (other than alcoholic beverages, soft
10drinks, and food that has been prepared for immediate
11consumption) and prescription and nonprescription medicines,
12drugs, medical appliances, and insulin, urine testing
13materials, syringes, and needles used by diabetics, for human
14use, when purchased for use by a person receiving medical
15assistance under Article V of the Illinois Public Aid Code who
16resides in a licensed long-term care facility, as defined in
17the Nursing Home Care Act, or in a licensed facility as defined
18in the ID/DD Community Care Act, the MC/DD Act, or the
19Specialized Mental Health Rehabilitation Act of 2013.
20    (31) Beginning on the effective date of this amendatory Act
21of the 92nd General Assembly, computers and communications
22equipment utilized for any hospital purpose and equipment used
23in the diagnosis, analysis, or treatment of hospital patients
24purchased by a lessor who leases the equipment, under a lease
25of one year or longer executed or in effect at the time the
26lessor would otherwise be subject to the tax imposed by this

 

 

SB1285- 38 -LRB100 08067 HLH 18153 b

1Act, to a hospital that has been issued an active tax exemption
2identification number by the Department under Section 1g of the
3Retailers' Occupation Tax Act. If the equipment is leased in a
4manner that does not qualify for this exemption or is used in
5any other nonexempt manner, the lessor shall be liable for the
6tax imposed under this Act or the Service Use Tax Act, as the
7case may be, based on the fair market value of the property at
8the time the nonqualifying use occurs. No lessor shall collect
9or attempt to collect an amount (however designated) that
10purports to reimburse that lessor for the tax imposed by this
11Act or the Service Use Tax Act, as the case may be, if the tax
12has not been paid by the lessor. If a lessor improperly
13collects any such amount from the lessee, the lessee shall have
14a legal right to claim a refund of that amount from the lessor.
15If, however, that amount is not refunded to the lessee for any
16reason, the lessor is liable to pay that amount to the
17Department. This paragraph is exempt from the provisions of
18Section 3-90.
19    (32) Beginning on the effective date of this amendatory Act
20of the 92nd General Assembly, personal property purchased by a
21lessor who leases the property, under a lease of one year or
22longer executed or in effect at the time the lessor would
23otherwise be subject to the tax imposed by this Act, to a
24governmental body that has been issued an active sales tax
25exemption identification number by the Department under
26Section 1g of the Retailers' Occupation Tax Act. If the

 

 

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1property is leased in a manner that does not qualify for this
2exemption or used in any other nonexempt manner, the lessor
3shall be liable for the tax imposed under this Act or the
4Service Use Tax Act, as the case may be, based on the fair
5market value of the property at the time the nonqualifying use
6occurs. No lessor shall collect or attempt to collect an amount
7(however designated) that purports to reimburse that lessor for
8the tax imposed by this Act or the Service Use Tax Act, as the
9case may be, if the tax has not been paid by the lessor. If a
10lessor improperly collects any such amount from the lessee, the
11lessee shall have a legal right to claim a refund of that
12amount from the lessor. If, however, that amount is not
13refunded to the lessee for any reason, the lessor is liable to
14pay that amount to the Department. This paragraph is exempt
15from the provisions of Section 3-90.
16    (33) On and after July 1, 2003 and through June 30, 2004,
17the use in this State of motor vehicles of the second division
18with a gross vehicle weight in excess of 8,000 pounds and that
19are subject to the commercial distribution fee imposed under
20Section 3-815.1 of the Illinois Vehicle Code. Beginning on July
211, 2004 and through June 30, 2005, the use in this State of
22motor vehicles of the second division: (i) with a gross vehicle
23weight rating in excess of 8,000 pounds; (ii) that are subject
24to the commercial distribution fee imposed under Section
253-815.1 of the Illinois Vehicle Code; and (iii) that are
26primarily used for commercial purposes. Through June 30, 2005,

 

 

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1this exemption applies to repair and replacement parts added
2after the initial purchase of such a motor vehicle if that
3motor vehicle is used in a manner that would qualify for the
4rolling stock exemption otherwise provided for in this Act. For
5purposes of this paragraph, the term "used for commercial
6purposes" means the transportation of persons or property in
7furtherance of any commercial or industrial enterprise,
8whether for-hire or not.
9    (34) Beginning January 1, 2008, tangible personal property
10used in the construction or maintenance of a community water
11supply, as defined under Section 3.145 of the Environmental
12Protection Act, that is operated by a not-for-profit
13corporation that holds a valid water supply permit issued under
14Title IV of the Environmental Protection Act. This paragraph is
15exempt from the provisions of Section 3-90.
16    (35) Beginning January 1, 2010, materials, parts,
17equipment, components, and furnishings incorporated into or
18upon an aircraft as part of the modification, refurbishment,
19completion, replacement, repair, or maintenance of the
20aircraft. This exemption includes consumable supplies used in
21the modification, refurbishment, completion, replacement,
22repair, and maintenance of aircraft, but excludes any
23materials, parts, equipment, components, and consumable
24supplies used in the modification, replacement, repair, and
25maintenance of aircraft engines or power plants, whether such
26engines or power plants are installed or uninstalled upon any

 

 

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1such aircraft. "Consumable supplies" include, but are not
2limited to, adhesive, tape, sandpaper, general purpose
3lubricants, cleaning solution, latex gloves, and protective
4films. This exemption applies only to the use of qualifying
5tangible personal property by persons who modify, refurbish,
6complete, repair, replace, or maintain aircraft and who (i)
7hold an Air Agency Certificate and are empowered to operate an
8approved repair station by the Federal Aviation
9Administration, (ii) have a Class IV Rating, and (iii) conduct
10operations in accordance with Part 145 of the Federal Aviation
11Regulations. The exemption does not include aircraft operated
12by a commercial air carrier providing scheduled passenger air
13service pursuant to authority issued under Part 121 or Part 129
14of the Federal Aviation Regulations. The changes made to this
15paragraph (35) by Public Act 98-534 are declarative of existing
16law.
17    (36) Tangible personal property purchased by a
18public-facilities corporation, as described in Section
1911-65-10 of the Illinois Municipal Code, for purposes of
20constructing or furnishing a municipal convention hall, but
21only if the legal title to the municipal convention hall is
22transferred to the municipality without any further
23consideration by or on behalf of the municipality at the time
24of the completion of the municipal convention hall or upon the
25retirement or redemption of any bonds or other debt instruments
26issued by the public-facilities corporation in connection with

 

 

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1the development of the municipal convention hall. This
2exemption includes existing public-facilities corporations as
3provided in Section 11-65-25 of the Illinois Municipal Code.
4This paragraph is exempt from the provisions of Section 3-90.
5    (37) Beginning January 1, 2017, menstrual pads, tampons,
6and menstrual cups.
7    (38) Personal property purchased by a purchaser who is
8exempt from the tax imposed by this Act by operation of federal
9law. This paragraph is exempt from the provisions of Section
103-90.
11(Source: P.A. 98-104, eff. 7-22-13; 98-422, eff. 8-16-13;
1298-456, eff. 8-16-13; 98-534, eff. 8-23-13; 98-574, eff.
131-1-14; 98-583, eff. 1-1-14; 98-756, eff. 7-16-14; 99-180, eff.
147-29-15; 99-855, eff. 8-19-16.)
 
15    (35 ILCS 105/3-5.5)
16    Sec. 3-5.5. Food and drugs sold by not-for-profit
17organizations; exemption. The Department shall not collect the
181% tax imposed under this Act on sales of tangible personal
19property (including but not limited to, food for human
20consumption that is to be consumed off the premises where it is
21sold (other than alcoholic beverages, soft drinks, and food
22that has been prepared for immediate consumption) and
23prescription and nonprescription medicines, drugs, medical
24appliances, products classified as Class III medical devices by
25the United States Food and Drug Administration that are used

 

 

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1for cancer treatment pursuant to a prescription, as well as any
2accessories and components related to those devices,
3modifications to a motor vehicle for the purpose of rendering
4it usable by a person with a disability, and insulin, urine
5testing materials, syringes, and needles used by diabetics, for
6human use) from any not-for-profit organization, that sells
7food in a food distribution program at a price below the retail
8cost of the food to purchasers who, as a condition of
9participation in the program, are required to perform community
10service, located in a county or municipality that notifies the
11Department, in writing, that the county or municipality does
12not want the tax to be collected from any of such organizations
13located in the county or municipality.
14(Source: P.A. 88-374.)
 
15    (35 ILCS 105/9)  (from Ch. 120, par. 439.9)
16    Sec. 9. Except as to motor vehicles, watercraft, aircraft,
17and trailers that are required to be registered with an agency
18of this State, each retailer required or authorized to collect
19the tax imposed by this Act shall pay to the Department the
20amount of such tax (except as otherwise provided) at the time
21when he is required to file his return for the period during
22which such tax was collected, less a discount of 2.1% prior to
23January 1, 1990, and 1.75% on and after January 1, 1990, or $5
24per calendar year, whichever is greater, which is allowed to
25reimburse the retailer for expenses incurred in collecting the

 

 

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1tax, keeping records, preparing and filing returns, remitting
2the tax and supplying data to the Department on request. In the
3case of retailers who report and pay the tax on a transaction
4by transaction basis, as provided in this Section, such
5discount shall be taken with each such tax remittance instead
6of when such retailer files his periodic return. The Department
7may disallow the discount for retailers whose certificate of
8registration is revoked at the time the return is filed, but
9only if the Department's decision to revoke the certificate of
10registration has become final. A retailer need not remit that
11part of any tax collected by him to the extent that he is
12required to remit and does remit the tax imposed by the
13Retailers' Occupation Tax Act, with respect to the sale of the
14same property.
15    Where such tangible personal property is sold under a
16conditional sales contract, or under any other form of sale
17wherein the payment of the principal sum, or a part thereof, is
18extended beyond the close of the period for which the return is
19filed, the retailer, in collecting the tax (except as to motor
20vehicles, watercraft, aircraft, and trailers that are required
21to be registered with an agency of this State), may collect for
22each tax return period, only the tax applicable to that part of
23the selling price actually received during such tax return
24period.
25    Except as provided in this Section, on or before the
26twentieth day of each calendar month, such retailer shall file

 

 

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1a return for the preceding calendar month. Such return shall be
2filed on forms prescribed by the Department and shall furnish
3such information as the Department may reasonably require.
4    The Department may require returns to be filed on a
5quarterly basis. If so required, a return for each calendar
6quarter shall be filed on or before the twentieth day of the
7calendar month following the end of such calendar quarter. The
8taxpayer shall also file a return with the Department for each
9of the first two months of each calendar quarter, on or before
10the twentieth day of the following calendar month, stating:
11        1. The name of the seller;
12        2. The address of the principal place of business from
13    which he engages in the business of selling tangible
14    personal property at retail in this State;
15        3. The total amount of taxable receipts received by him
16    during the preceding calendar month from sales of tangible
17    personal property by him during such preceding calendar
18    month, including receipts from charge and time sales, but
19    less all deductions allowed by law;
20        4. The amount of credit provided in Section 2d of this
21    Act;
22        5. The amount of tax due;
23        5-5. The signature of the taxpayer; and
24        6. Such other reasonable information as the Department
25    may require.
26    If a taxpayer fails to sign a return within 30 days after

 

 

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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    Beginning October 1, 1993, a taxpayer who has an average
5monthly tax liability of $150,000 or more shall make all
6payments required by rules of the Department by electronic
7funds transfer. Beginning October 1, 1994, a taxpayer who has
8an average monthly tax liability of $100,000 or more shall make
9all payments required by rules of the Department by electronic
10funds transfer. Beginning October 1, 1995, a taxpayer who has
11an average monthly tax liability of $50,000 or more shall make
12all payments required by rules of the Department by electronic
13funds transfer. Beginning October 1, 2000, a taxpayer who has
14an annual tax liability of $200,000 or more shall make all
15payments required by rules of the Department by electronic
16funds transfer. The term "annual tax liability" shall be the
17sum of the taxpayer's liabilities under this Act, and under all
18other State and local occupation and use tax laws administered
19by the Department, for the immediately preceding calendar year.
20The term "average monthly tax liability" means the sum of the
21taxpayer's liabilities under this Act, and under all other
22State and local occupation and use tax laws administered by the
23Department, for the immediately preceding calendar year
24divided by 12. Beginning on October 1, 2002, a taxpayer who has
25a tax liability in the amount set forth in subsection (b) of
26Section 2505-210 of the Department of Revenue Law shall make

 

 

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1all payments required by rules of the Department by electronic
2funds transfer.
3    Before August 1 of each year beginning in 1993, the
4Department shall notify all taxpayers required to make payments
5by electronic funds transfer. All taxpayers required to make
6payments by electronic funds transfer shall make those payments
7for a minimum of one year beginning on October 1.
8    Any taxpayer not required to make payments by electronic
9funds transfer may make payments by electronic funds transfer
10with the permission of the Department.
11    All taxpayers required to make payment by electronic funds
12transfer and any taxpayers authorized to voluntarily make
13payments by electronic funds transfer shall make those payments
14in the manner authorized by the Department.
15    The Department shall adopt such rules as are necessary to
16effectuate a program of electronic funds transfer and the
17requirements of this Section.
18    Before October 1, 2000, if the taxpayer's average monthly
19tax liability to the Department under this Act, the Retailers'
20Occupation Tax Act, the Service Occupation Tax Act, the Service
21Use Tax Act was $10,000 or more during the preceding 4 complete
22calendar quarters, he shall file a return with the Department
23each month by the 20th day of the month next following the
24month during which such tax liability is incurred and shall
25make payments to the Department on or before the 7th, 15th,
2622nd and last day of the month during which such liability is

 

 

SB1285- 48 -LRB100 08067 HLH 18153 b

1incurred. On and after October 1, 2000, if the taxpayer's
2average monthly tax liability to the Department under this Act,
3the Retailers' Occupation Tax Act, the Service Occupation Tax
4Act, and the Service Use Tax Act was $20,000 or more during the
5preceding 4 complete calendar quarters, he shall file a return
6with the Department each month by the 20th day of the month
7next following the month during which such tax liability is
8incurred and shall make payment to the Department on or before
9the 7th, 15th, 22nd and last day of the month during which such
10liability is incurred. If the month during which such tax
11liability is incurred began prior to January 1, 1985, each
12payment shall be in an amount equal to 1/4 of the taxpayer's
13actual liability for the month or an amount set by the
14Department not to exceed 1/4 of the average monthly liability
15of the taxpayer to the Department for the preceding 4 complete
16calendar quarters (excluding the month of highest liability and
17the month of lowest liability in such 4 quarter period). If the
18month during which such tax liability is incurred begins on or
19after January 1, 1985, and prior to January 1, 1987, each
20payment shall be in an amount equal to 22.5% of the taxpayer's
21actual liability for the month or 27.5% of the taxpayer's
22liability for the same calendar month of the preceding year. If
23the month during which such tax liability is incurred begins on
24or after January 1, 1987, and prior to January 1, 1988, each
25payment shall be in an amount equal to 22.5% of the taxpayer's
26actual liability for the month or 26.25% of the taxpayer's

 

 

SB1285- 49 -LRB100 08067 HLH 18153 b

1liability for the same calendar month of the preceding year. If
2the month during which such tax liability is incurred begins on
3or after January 1, 1988, and prior to January 1, 1989, or
4begins on or after January 1, 1996, each payment shall be in an
5amount equal to 22.5% of the taxpayer's actual liability for
6the month or 25% of the taxpayer's liability for the same
7calendar month of the preceding year. If the month during which
8such tax liability is incurred begins on or after January 1,
91989, and prior to January 1, 1996, each payment shall be in an
10amount equal to 22.5% of the taxpayer's actual liability for
11the month or 25% of the taxpayer's liability for the same
12calendar month of the preceding year or 100% of the taxpayer's
13actual liability for the quarter monthly reporting period. The
14amount of such quarter monthly payments shall be credited
15against the final tax liability of the taxpayer's return for
16that month. Before October 1, 2000, once applicable, the
17requirement of the making of quarter monthly payments to the
18Department shall continue until such taxpayer's average
19monthly liability to the Department during the preceding 4
20complete calendar quarters (excluding the month of highest
21liability and the month of lowest liability) is less than
22$9,000, or until such taxpayer's average monthly liability to
23the Department as computed for each calendar quarter of the 4
24preceding complete calendar quarter period is less than
25$10,000. However, if a taxpayer can show the Department that a
26substantial change in the taxpayer's business has occurred

 

 

SB1285- 50 -LRB100 08067 HLH 18153 b

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

 

 

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

 

 

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

 

 

SB1285- 53 -LRB100 08067 HLH 18153 b

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

 

 

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

 

 

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

 

 

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

 

 

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

 

 

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1Department, as shown by such return, if the amount of the tax
2to be deducted was previously remitted to the Department by
3such retailer. If the retailer has not previously remitted the
4amount of such tax to the Department, he is entitled to no
5deduction under this Act upon refunding such tax to the
6purchaser.
7    Any retailer filing a return under this Section shall also
8include (for the purpose of paying tax thereon) the total tax
9covered by such return upon the selling price of tangible
10personal property purchased by him at retail from a retailer,
11but as to which the tax imposed by this Act was not collected
12from the retailer filing such return, and such retailer shall
13remit the amount of such tax to the Department when filing such
14return.
15    If experience indicates such action to be practicable, the
16Department may prescribe and furnish a combination or joint
17return which will enable retailers, who are required to file
18returns hereunder and also under the Retailers' Occupation Tax
19Act, to furnish all the return information required by both
20Acts on the one form.
21    Where the retailer has more than one business registered
22with the Department under separate registration under this Act,
23such retailer may not file each return that is due as a single
24return covering all such registered businesses, but shall file
25separate returns for each such registered business.
26    Beginning January 1, 1990, each month the Department shall

 

 

SB1285- 59 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 60 -LRB100 08067 HLH 18153 b

1price of tangible personal property, other than tangible
2personal property which is purchased outside Illinois at retail
3from a retailer and which is titled or registered by an agency
4of this State's government.
5    Beginning August 1, 2000, each month the Department shall
6pay into the State and Local Sales Tax Reform Fund 100% 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
10State and Local Sales Tax Reform Fund 100% 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 which is
17purchased outside Illinois at retail from a retailer and which
18is titled or registered by an agency of this State's
19government.
20    Beginning October 1, 2009, each month the Department shall
21pay into the Capital Projects Fund an amount that is equal to
22an amount estimated by the Department to represent 80% of the
23net revenue realized for the preceding month from the sale of
24candy, grooming and hygiene products, and soft drinks that had
25been taxed at a rate of 1% prior to September 1, 2009 but that
26are now taxed at 6.25%.

 

 

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1    Beginning July 1, 2011, each month the Department shall pay
2into the Clean Air Act Permit Fund 80% of the net revenue
3realized for the preceding month from the 6.25% general rate on
4the selling price of sorbents used in Illinois in the process
5of sorbent injection as used to comply with the Environmental
6Protection Act or the federal Clean Air Act, but the total
7payment into the Clean Air Act Permit Fund under this Act and
8the Retailers' Occupation Tax Act shall not exceed $2,000,000
9in any fiscal year.
10    Beginning July 1, 2013, each month the Department shall pay
11into the Underground Storage Tank Fund from the proceeds
12collected under this Act, the Service Use Tax Act, the Service
13Occupation Tax Act, and the Retailers' Occupation Tax Act an
14amount equal to the average monthly deficit in the Underground
15Storage Tank Fund during the prior year, as certified annually
16by the Illinois Environmental Protection Agency, but the total
17payment into the Underground Storage Tank Fund under this Act,
18the Service Use Tax Act, the Service Occupation Tax Act, and
19the Retailers' Occupation Tax Act shall not exceed $18,000,000
20in any State fiscal year. As used in this paragraph, the
21"average monthly deficit" shall be equal to the difference
22between the average monthly claims for payment by the fund and
23the average monthly revenues deposited into the fund, excluding
24payments made pursuant to this paragraph.
25    Beginning July 1, 2015, of the remainder of the moneys
26received by the Department under this Act, the Service Use Tax

 

 

SB1285- 62 -LRB100 08067 HLH 18153 b

1Act, the Service Occupation Tax Act, and the Retailers'
2Occupation Tax Act, each month the Department shall deposit
3$500,000 into the State Crime Laboratory Fund.
4    Of the remainder of the moneys received by the Department
5pursuant to this Act, (a) 1.75% thereof shall be paid into the
6Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
7and after July 1, 1989, 3.8% thereof shall be paid into the
8Build Illinois Fund; provided, however, that if in any fiscal
9year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
10may be, of the moneys received by the Department and required
11to be paid into the Build Illinois Fund pursuant to Section 3
12of the Retailers' Occupation Tax Act, Section 9 of the Use Tax
13Act, Section 9 of the Service Use Tax Act, and Section 9 of the
14Service Occupation Tax Act, such Acts being hereinafter called
15the "Tax Acts" and such aggregate of 2.2% or 3.8%, as the case
16may be, of moneys being hereinafter called the "Tax Act
17Amount", and (2) the amount transferred to the Build Illinois
18Fund from the State and Local Sales Tax Reform Fund shall be
19less than the Annual Specified Amount (as defined in Section 3
20of the Retailers' Occupation Tax Act), an amount equal to the
21difference shall be immediately paid into the Build Illinois
22Fund from other moneys received by the Department pursuant to
23the Tax Acts; and further provided, that if on the last
24business day of any month the sum of (1) the Tax Act Amount
25required to be deposited into the Build Illinois Bond Account
26in the Build Illinois Fund during such month and (2) the amount

 

 

SB1285- 63 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 64 -LRB100 08067 HLH 18153 b

1Account in the Build Illinois Fund in such month shall be less
2than the amount required to be transferred in such month from
3the Build Illinois Bond Account to the Build Illinois Bond
4Retirement and Interest Fund pursuant to Section 13 of the
5Build Illinois Bond Act, an amount equal to such deficiency
6shall be immediately paid from other moneys received by the
7Department pursuant to the Tax Acts to the Build Illinois Fund;
8provided, however, that any amounts paid to the Build Illinois
9Fund in any fiscal year pursuant to this sentence shall be
10deemed to constitute payments pursuant to clause (b) of the
11preceding sentence and shall reduce the amount otherwise
12payable for such fiscal year pursuant to clause (b) of the
13preceding sentence. The moneys received by the Department
14pursuant to this Act and required to be deposited into the
15Build Illinois Fund are subject to the pledge, claim and charge
16set forth in Section 12 of the Build Illinois Bond Act.
17    Subject to payment of amounts into the Build Illinois Fund
18as provided in the preceding paragraph or in any amendment
19thereto hereafter enacted, the following specified monthly
20installment of the amount requested in the certificate of the
21Chairman of the Metropolitan Pier and Exposition Authority
22provided under Section 8.25f of the State Finance Act, but not
23in excess of the sums designated as "Total Deposit", shall be
24deposited in the aggregate from collections under Section 9 of
25the Use Tax Act, Section 9 of the Service Use Tax Act, Section
269 of the Service Occupation Tax Act, and Section 3 of the

 

 

SB1285- 65 -LRB100 08067 HLH 18153 b

1Retailers' Occupation Tax Act into the McCormick Place
2Expansion Project Fund in the specified fiscal years.
3Fiscal YearTotal Deposit
41993         $0
51994 53,000,000
61995 58,000,000
71996 61,000,000
81997 64,000,000
91998 68,000,000
101999 71,000,000
112000 75,000,000
122001 80,000,000
132002 93,000,000
142003 99,000,000
152004103,000,000
162005108,000,000
172006113,000,000
182007119,000,000
192008126,000,000
202009132,000,000
212010139,000,000
222011146,000,000
232012153,000,000
242013161,000,000
252014170,000,000
262015179,000,000

 

 

SB1285- 66 -LRB100 08067 HLH 18153 b

12016189,000,000
22017199,000,000
32018210,000,000
42019221,000,000
52020233,000,000
62021246,000,000
72022260,000,000
82023275,000,000
92024 275,000,000
102025 275,000,000
112026 279,000,000
122027 292,000,000
132028 307,000,000
142029 322,000,000
152030 338,000,000
162031 350,000,000
172032 350,000,000
18and
19each fiscal year
20thereafter that bonds
21are outstanding under
22Section 13.2 of the
23Metropolitan Pier and
24Exposition Authority Act,
25but not after fiscal year 2060.
26    Beginning July 20, 1993 and in each month of each fiscal

 

 

SB1285- 67 -LRB100 08067 HLH 18153 b

1year thereafter, one-eighth of the amount requested in the
2certificate of the Chairman of the Metropolitan Pier and
3Exposition Authority for that fiscal year, less the amount
4deposited into the McCormick Place Expansion Project Fund by
5the State Treasurer in the respective month under subsection
6(g) of Section 13 of the Metropolitan Pier and Exposition
7Authority Act, plus cumulative deficiencies in the deposits
8required under this Section for previous months and years,
9shall be deposited into the McCormick Place Expansion Project
10Fund, until the full amount requested for the fiscal year, but
11not in excess of the amount specified above as "Total Deposit",
12has been deposited.
13    Subject to payment of amounts into the Build Illinois Fund
14and the McCormick Place Expansion Project Fund pursuant to the
15preceding paragraphs or in any amendments thereto hereafter
16enacted, beginning July 1, 1993 and ending on September 30,
172013, the Department shall each month pay into the Illinois Tax
18Increment Fund 0.27% of 80% of the net revenue realized for the
19preceding month from the 6.25% general rate on the selling
20price of tangible personal property.
21    Subject to payment of amounts into the Build Illinois Fund
22and the McCormick Place Expansion Project Fund pursuant to the
23preceding paragraphs or in any amendments thereto hereafter
24enacted, beginning with the receipt of the first report of
25taxes paid by an eligible business and continuing for a 25-year
26period, the Department shall each month pay into the Energy

 

 

SB1285- 68 -LRB100 08067 HLH 18153 b

1Infrastructure Fund 80% of the net revenue realized from the
26.25% general rate on the selling price of Illinois-mined coal
3that was sold to an eligible business. For purposes of this
4paragraph, the term "eligible business" means a new electric
5generating facility certified pursuant to Section 605-332 of
6the Department of Commerce and Economic Opportunity Law of the
7Civil Administrative Code of Illinois.
8    Subject to payment of amounts into the Build Illinois Fund,
9the McCormick Place Expansion Project Fund, the Illinois Tax
10Increment Fund, and the Energy Infrastructure Fund pursuant to
11the preceding paragraphs or in any amendments to this Section
12hereafter enacted, beginning on the first day of the first
13calendar month to occur on or after August 26, 2014 (the
14effective date of Public Act 98-1098) this amendatory Act of
15the 98th General Assembly, each month, from the collections
16made under Section 9 of the Use Tax Act, Section 9 of the
17Service Use Tax Act, Section 9 of the Service Occupation Tax
18Act, and Section 3 of the Retailers' Occupation Tax Act, the
19Department shall pay into the Tax Compliance and Administration
20Fund, to be used, subject to appropriation, to fund additional
21auditors and compliance personnel at the Department of Revenue,
22an amount equal to 1/12 of 5% of 80% of the cash receipts
23collected during the preceding fiscal year by the Audit Bureau
24of the Department under the Use Tax Act, the Service Use Tax
25Act, the Service Occupation Tax Act, the Retailers' Occupation
26Tax Act, and associated local occupation and use taxes

 

 

SB1285- 69 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 70 -LRB100 08067 HLH 18153 b

198-496, eff. 1-1-14; 98-756, eff. 7-16-14; 98-1098, eff.
28-26-14; 99-352, eff. 8-12-15; 99-858, eff. 8-19-16; 99-933,
3eff. 1-27-17; revised 2-3-17.)
 
4    Section 35. The Service Use Tax Act is amended by changing
5Sections 3-5.5 and 9 as follows:
 
6    (35 ILCS 110/3-5.5)
7    Sec. 3-5.5. Food and drugs sold by not-for-profit
8organizations; exemption. The Department shall not collect the
91% tax imposed under this Act on sales of tangible personal
10property (including but not limited to, 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 nonprescription medicines, drugs, medical
15appliances, products classified as Class III medical devices by
16the United States Food and Drug Administration that are used
17for cancer treatment pursuant to a prescription, as well as any
18accessories and components related to those devices,
19modifications to a motor vehicle for the purpose of rendering
20it usable by a person with a disability, and insulin, urine
21testing materials, syringes, and needles used by diabetics, for
22human use) from any not-for-profit organization, that sells
23food in a food distribution program at a price below the retail
24cost of the food to purchasers who, as a condition of

 

 

SB1285- 71 -LRB100 08067 HLH 18153 b

1participation in the program, are required to perform community
2service, located in a county or municipality that notifies the
3Department, in writing, that the county or municipality does
4not want the tax to be collected from any of such organizations
5located in the county or municipality.
6(Source: P.A. 88-374.)
 
7    (35 ILCS 110/9)  (from Ch. 120, par. 439.39)
8    Sec. 9. Each serviceman required or authorized to collect
9the tax herein imposed shall pay to the Department the amount
10of such tax (except as otherwise provided) at the time when he
11is required to file his return for the period during which such
12tax was collected, less a discount of 2.1% prior to January 1,
131990 and 1.75% on and after January 1, 1990, or $5 per calendar
14year, whichever is greater, which is allowed to reimburse the
15serviceman for expenses incurred in collecting the tax, keeping
16records, preparing and filing returns, remitting the tax and
17supplying data to the Department on request. The Department may
18disallow the discount for servicemen whose certificate of
19registration is revoked at the time the return is filed, but
20only if the Department's decision to revoke the certificate of
21registration has become final. A serviceman need not remit that
22part of any tax collected by him to the extent that he is
23required to pay and does pay the tax imposed by the Service
24Occupation Tax Act with respect to his sale of service
25involving the incidental transfer by him of the same property.

 

 

SB1285- 72 -LRB100 08067 HLH 18153 b

1    Except as provided hereinafter in this Section, on or
2before the twentieth day of each calendar month, such
3serviceman shall file a return for the preceding calendar month
4in accordance with reasonable Rules and Regulations to be
5promulgated by the Department. Such return shall be filed on a
6form prescribed by the Department and shall contain such
7information as the Department may reasonably require.
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 business as a serviceman in this State;
18        3. The total amount of taxable receipts received by him
19    during the preceding calendar month, including receipts
20    from charge and time sales, but less all deductions allowed
21    by law;
22        4. The amount of credit provided in Section 2d of this
23    Act;
24        5. The amount of tax due;
25        5-5. The signature of the taxpayer; and
26        6. Such other reasonable information as the Department

 

 

SB1285- 73 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 74 -LRB100 08067 HLH 18153 b

1a tax liability in the amount set forth in subsection (b) of
2Section 2505-210 of the Department of Revenue Law shall make
3all payments required by rules of the Department by electronic
4funds transfer.
5    Before August 1 of each year beginning in 1993, the
6Department shall notify all taxpayers required to make payments
7by electronic funds transfer. All taxpayers required to make
8payments by electronic funds transfer shall make those payments
9for a minimum of one year beginning on October 1.
10    Any taxpayer not required to make payments by electronic
11funds transfer may make payments by electronic funds transfer
12with the permission of the Department.
13    All taxpayers required to make payment by electronic funds
14transfer and any taxpayers authorized to voluntarily make
15payments by electronic funds transfer shall make those payments
16in the manner authorized by the Department.
17    The Department shall adopt such rules as are necessary to
18effectuate a program of electronic funds transfer and the
19requirements of this Section.
20    If the serviceman is otherwise required to file a monthly
21return and if the serviceman's average monthly tax liability to
22the Department does not exceed $200, the Department may
23authorize his returns to be filed on a quarter annual basis,
24with the return for January, February and March of a given year
25being due by April 20 of such year; with the return for April,
26May and June of a given year being due by July 20 of such year;

 

 

SB1285- 75 -LRB100 08067 HLH 18153 b

1with the return for July, August and September of a given year
2being due by October 20 of such year, and with the return for
3October, November and December of a given year being due by
4January 20 of the following year.
5    If the serviceman is otherwise required to file a monthly
6or quarterly return and if the serviceman's average monthly tax
7liability to the Department does not exceed $50, the Department
8may authorize his returns to be filed on an annual basis, with
9the return for a given year being due by January 20 of the
10following year.
11    Such quarter annual and annual returns, as to form and
12substance, shall be subject to the same requirements as monthly
13returns.
14    Notwithstanding any other provision in this Act concerning
15the time within which a serviceman may file his return, in the
16case of any serviceman who ceases to engage in a kind of
17business which makes him responsible for filing returns under
18this Act, such serviceman shall file a final return under this
19Act with the Department not more than 1 month after
20discontinuing such business.
21    Where a serviceman collects the tax with respect to the
22selling price of property which he sells and the purchaser
23thereafter returns such property and the serviceman refunds the
24selling price thereof to the purchaser, such serviceman shall
25also refund, to the purchaser, the tax so collected from the
26purchaser. When filing his return for the period in which he

 

 

SB1285- 76 -LRB100 08067 HLH 18153 b

1refunds such tax to the purchaser, the serviceman may deduct
2the amount of the tax so refunded by him to the purchaser from
3any other Service Use Tax, Service Occupation Tax, retailers'
4occupation tax or use tax which such serviceman may be required
5to pay or remit to the Department, as shown by such return,
6provided that the amount of the tax to be deducted shall
7previously have been remitted to the Department by such
8serviceman. If the serviceman shall not previously have
9remitted the amount of such tax to the Department, he shall be
10entitled to no deduction hereunder upon refunding such tax to
11the purchaser.
12    Any serviceman filing a return hereunder shall also include
13the total tax upon the selling price of tangible personal
14property purchased for use by him as an incident to a sale of
15service, and such serviceman shall remit the amount of such tax
16to the Department when filing such return.
17    If experience indicates such action to be practicable, the
18Department may prescribe and furnish a combination or joint
19return which will enable servicemen, who are required to file
20returns hereunder and also under the Service Occupation Tax
21Act, to furnish all the return information required by both
22Acts on the one form.
23    Where the serviceman has more than one business registered
24with the Department under separate registration hereunder,
25such serviceman shall not file each return that is due as a
26single return covering all such registered businesses, but

 

 

SB1285- 77 -LRB100 08067 HLH 18153 b

1shall file separate returns for each such registered business.
2    Beginning January 1, 1990, each month the Department shall
3pay into the State and Local Tax Reform Fund, a special fund in
4the State Treasury, the net revenue realized for the preceding
5month from the 1% tax on sales of food for human consumption
6that which is to be consumed off the premises where it is sold
7(other than alcoholic beverages, soft drinks and food that
8which has been prepared for immediate consumption) and
9prescription and nonprescription medicines, drugs, medical
10appliances, products classified as Class III medical devices,
11by the United States Food and Drug Administration that are used
12for cancer treatment pursuant to a prescription, as well as any
13accessories and components related to those devices,
14modifications to a motor vehicle for the purpose of rendering
15it usable by a person with a disability, and insulin, urine
16testing materials, syringes and needles used by diabetics, for
17human use.
18    Beginning January 1, 1990, each month the Department shall
19pay into the State and Local Sales Tax Reform Fund 20% of the
20net revenue realized for the preceding month from the 6.25%
21general rate on transfers of tangible personal property, other
22than tangible personal property which is purchased outside
23Illinois at retail from a retailer and which is titled or
24registered by an agency of this State's government.
25    Beginning August 1, 2000, each month the Department shall
26pay into the State and Local Sales Tax Reform Fund 100% of the

 

 

SB1285- 78 -LRB100 08067 HLH 18153 b

1net revenue realized for the preceding month from the 1.25%
2rate on the selling price of motor fuel and gasohol.
3    Beginning October 1, 2009, each month the Department shall
4pay into the Capital Projects Fund an amount that is equal to
5an amount estimated by the Department to represent 80% of the
6net revenue realized for the preceding month from the sale of
7candy, grooming and hygiene products, and soft drinks that had
8been taxed at a rate of 1% prior to September 1, 2009 but that
9are now taxed at 6.25%.
10    Beginning July 1, 2013, each month the Department shall pay
11into the Underground Storage Tank Fund from the proceeds
12collected under this Act, the Use Tax Act, the Service
13Occupation Tax Act, and the Retailers' Occupation Tax Act an
14amount equal to the average monthly deficit in the Underground
15Storage Tank Fund during the prior year, as certified annually
16by the Illinois Environmental Protection Agency, but the total
17payment into the Underground Storage Tank Fund under this Act,
18the Use Tax Act, the Service Occupation Tax Act, and the
19Retailers' Occupation Tax Act shall not exceed $18,000,000 in
20any State fiscal year. As used in this paragraph, the "average
21monthly deficit" shall be equal to the difference between the
22average monthly claims for payment by the fund and the average
23monthly revenues deposited into the fund, excluding payments
24made pursuant to this paragraph.
25    Beginning July 1, 2015, of the remainder of the moneys
26received by the Department under the Use Tax Act, this Act, the

 

 

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1Service Occupation Tax Act, and the Retailers' Occupation Tax
2Act, each month the Department shall deposit $500,000 into the
3State Crime Laboratory Fund.
4    Of the remainder of the moneys received by the Department
5pursuant to this Act, (a) 1.75% thereof shall be paid into the
6Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
7and after July 1, 1989, 3.8% thereof shall be paid into the
8Build Illinois Fund; provided, however, that if in any fiscal
9year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
10may be, of the moneys received by the Department and required
11to be paid into the Build Illinois Fund pursuant to Section 3
12of the Retailers' Occupation Tax Act, Section 9 of the Use Tax
13Act, Section 9 of the Service Use Tax Act, and Section 9 of the
14Service Occupation Tax Act, such Acts being hereinafter called
15the "Tax Acts" and such aggregate of 2.2% or 3.8%, as the case
16may be, of moneys being hereinafter called the "Tax Act
17Amount", and (2) the amount transferred to the Build Illinois
18Fund from the State and Local Sales Tax Reform Fund shall be
19less than the Annual Specified Amount (as defined in Section 3
20of the Retailers' Occupation Tax Act), an amount equal to the
21difference shall be immediately paid into the Build Illinois
22Fund from other moneys received by the Department pursuant to
23the Tax Acts; and further provided, that if on the last
24business day of any month the sum of (1) the Tax Act Amount
25required to be deposited into the Build Illinois Bond Account
26in the Build Illinois Fund during such month and (2) the amount

 

 

SB1285- 80 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 81 -LRB100 08067 HLH 18153 b

1Account in the Build Illinois Fund in such month shall be less
2than the amount required to be transferred in such month from
3the Build Illinois Bond Account to the Build Illinois Bond
4Retirement and Interest Fund pursuant to Section 13 of the
5Build Illinois Bond Act, an amount equal to such deficiency
6shall be immediately paid from other moneys received by the
7Department pursuant to the Tax Acts to the Build Illinois Fund;
8provided, however, that any amounts paid to the Build Illinois
9Fund in any fiscal year pursuant to this sentence shall be
10deemed to constitute payments pursuant to clause (b) of the
11preceding sentence and shall reduce the amount otherwise
12payable for such fiscal year pursuant to clause (b) of the
13preceding sentence. The moneys received by the Department
14pursuant to this Act and required to be deposited into the
15Build Illinois Fund are subject to the pledge, claim and charge
16set forth in Section 12 of the Build Illinois Bond Act.
17    Subject to payment of amounts into the Build Illinois Fund
18as provided in the preceding paragraph or in any amendment
19thereto hereafter enacted, the following specified monthly
20installment of the amount requested in the certificate of the
21Chairman of the Metropolitan Pier and Exposition Authority
22provided under Section 8.25f of the State Finance Act, but not
23in excess of the sums designated as "Total Deposit", shall be
24deposited in the aggregate from collections under Section 9 of
25the Use Tax Act, Section 9 of the Service Use Tax Act, Section
269 of the Service Occupation Tax Act, and Section 3 of the

 

 

SB1285- 82 -LRB100 08067 HLH 18153 b

1Retailers' Occupation Tax Act into the McCormick Place
2Expansion Project Fund in the specified fiscal years.
3Fiscal YearTotal Deposit
41993         $0
51994 53,000,000
61995 58,000,000
71996 61,000,000
81997 64,000,000
91998 68,000,000
101999 71,000,000
112000 75,000,000
122001 80,000,000
132002 93,000,000
142003 99,000,000
152004103,000,000
162005108,000,000
172006113,000,000
182007119,000,000
192008126,000,000
202009132,000,000
212010139,000,000
222011146,000,000
232012153,000,000
242013161,000,000
252014170,000,000

 

 

SB1285- 83 -LRB100 08067 HLH 18153 b

12015179,000,000
22016189,000,000
32017199,000,000
42018210,000,000
52019221,000,000
62020233,000,000
72021246,000,000
82022260,000,000
92023275,000,000
102024 275,000,000
112025 275,000,000
122026 279,000,000
132027 292,000,000
142028 307,000,000
152029 322,000,000
162030 338,000,000
172031 350,000,000
182032 350,000,000
19and
20each fiscal year
21thereafter that bonds
22are outstanding under
23Section 13.2 of the
24Metropolitan Pier and
25Exposition Authority Act,
26but not after fiscal year 2060.

 

 

SB1285- 84 -LRB100 08067 HLH 18153 b

1    Beginning July 20, 1993 and in each month of each fiscal
2year thereafter, one-eighth of the amount requested in the
3certificate of the Chairman of the Metropolitan Pier and
4Exposition Authority for that fiscal year, less the amount
5deposited into the McCormick Place Expansion Project Fund by
6the State Treasurer in the respective month under subsection
7(g) of Section 13 of the Metropolitan Pier and Exposition
8Authority Act, plus cumulative deficiencies in the deposits
9required under this Section for previous months and years,
10shall be deposited into the McCormick Place Expansion Project
11Fund, until the full amount requested for the fiscal year, but
12not in excess of the amount specified above as "Total Deposit",
13has been deposited.
14    Subject to payment of amounts into the Build Illinois Fund
15and the McCormick Place Expansion Project Fund pursuant to the
16preceding paragraphs or in any amendments thereto hereafter
17enacted, beginning July 1, 1993 and ending on September 30,
182013, the Department shall each month pay into the Illinois Tax
19Increment Fund 0.27% of 80% of the net revenue realized for the
20preceding month from the 6.25% general rate on the selling
21price of tangible personal property.
22    Subject to payment of amounts into the Build Illinois Fund
23and the McCormick Place Expansion Project Fund pursuant to the
24preceding paragraphs or in any amendments thereto hereafter
25enacted, beginning with the receipt of the first report of
26taxes paid by an eligible business and continuing for a 25-year

 

 

SB1285- 85 -LRB100 08067 HLH 18153 b

1period, the Department shall each month pay into the Energy
2Infrastructure Fund 80% of the net revenue realized from the
36.25% general rate on the selling price of Illinois-mined coal
4that was sold to an eligible business. For purposes of this
5paragraph, the term "eligible business" means a new electric
6generating facility certified pursuant to Section 605-332 of
7the Department of Commerce and Economic Opportunity Law of the
8Civil Administrative Code of Illinois.
9    Subject to payment of amounts into the Build Illinois Fund,
10the McCormick Place Expansion Project Fund, the Illinois Tax
11Increment Fund, and the Energy Infrastructure Fund pursuant to
12the preceding paragraphs or in any amendments to this Section
13hereafter enacted, beginning on the first day of the first
14calendar month to occur on or after the effective date of this
15amendatory Act of the 98th General Assembly, each month, from
16the collections made under Section 9 of the Use Tax Act,
17Section 9 of the Service Use Tax Act, Section 9 of the Service
18Occupation Tax Act, and Section 3 of the Retailers' Occupation
19Tax Act, the Department shall pay into the Tax Compliance and
20Administration Fund, to be used, subject to appropriation, to
21fund additional auditors and compliance personnel at the
22Department of Revenue, an amount equal to 1/12 of 5% of 80% of
23the cash receipts collected during the preceding fiscal year by
24the Audit Bureau of the Department under the Use Tax Act, the
25Service Use Tax Act, the Service Occupation Tax Act, the
26Retailers' Occupation Tax Act, and associated local occupation

 

 

SB1285- 86 -LRB100 08067 HLH 18153 b

1and use taxes administered by the Department.
2    Of the remainder of the moneys received by the Department
3pursuant to this Act, 75% thereof shall be paid into the
4General Revenue Fund of the State Treasury and 25% shall be
5reserved in a special account and used only for the transfer to
6the Common School Fund as part of the monthly transfer from the
7General Revenue Fund in accordance with Section 8a of the State
8Finance Act.
9    As soon as possible after the first day of each month, upon
10certification of the Department of Revenue, the Comptroller
11shall order transferred and the Treasurer shall transfer from
12the General Revenue Fund to the Motor Fuel Tax Fund an amount
13equal to 1.7% of 80% of the net revenue realized under this Act
14for the second preceding month. Beginning April 1, 2000, this
15transfer is no longer required and shall not be made.
16    Net revenue realized for a month shall be the revenue
17collected by the State pursuant to this Act, less the amount
18paid out during that month as refunds to taxpayers for
19overpayment of liability.
20(Source: P.A. 98-24, eff. 6-19-13; 98-109, eff. 7-25-13;
2198-298, eff. 8-9-13; 98-496, eff. 1-1-14; 98-756, eff. 7-16-14;
2298-1098, eff. 8-26-14; 99-352, eff. 8-12-15; 99-858, eff.
238-19-16.)
 
24    Section 40. The Service Occupation Tax Act is amended by
25changing Sections 3-5.5 and 9 as follows:
 

 

 

SB1285- 87 -LRB100 08067 HLH 18153 b

1    (35 ILCS 115/3-5.5)
2    Sec. 3-5.5. Food and drugs sold by not-for-profit
3organizations; exemption. The Department shall not collect the
41% tax imposed under this Act on sales of tangible personal
5property (including but not limited to, food for human
6consumption that is to be consumed off the premises where it is
7sold (other than alcoholic beverages, soft drinks, and food
8that has been prepared for immediate consumption) and
9prescription and nonprescription medicines, drugs, medical
10appliances, products classified as Class III medical devices by
11the United States Food and Drug Administration that are used
12for cancer treatment pursuant to a prescription, as well as any
13accessories and components related to those devices,
14modifications to a motor vehicle for the purpose of rendering
15it usable by a person with a disability, and insulin, urine
16testing materials, syringes, and needles used by diabetics, for
17human use) from any not-for-profit organization, that sells
18food in a food distribution program at a price below the retail
19cost of the food to purchasers who, as a condition of
20participation in the program, are required to perform community
21service, located in a county or municipality that notifies the
22Department, in writing, that the county or municipality does
23not want the tax to be collected from any of such organizations
24located in the county or municipality.
25(Source: P.A. 88-374.)
 

 

 

SB1285- 88 -LRB100 08067 HLH 18153 b

1    (35 ILCS 115/9)  (from Ch. 120, par. 439.109)
2    Sec. 9. Each serviceman required or authorized to collect
3the tax herein imposed shall pay to the Department the amount
4of such tax at the time when he is required to file his return
5for the period during which such tax was collectible, less a
6discount of 2.1% prior to January 1, 1990, and 1.75% on and
7after January 1, 1990, or $5 per calendar year, whichever is
8greater, which is allowed to reimburse the serviceman for
9expenses incurred in collecting the tax, keeping records,
10preparing and filing returns, remitting the tax and supplying
11data to the Department on request. The Department may disallow
12the discount for servicemen whose certificate of registration
13is revoked at the time the return is filed, but only if the
14Department's decision to revoke the certificate of
15registration has become final.
16    Where such tangible personal property is sold under a
17conditional sales contract, or under any other form of sale
18wherein the payment of the principal sum, or a part thereof, is
19extended beyond the close of the period for which the return is
20filed, the serviceman, in collecting the tax may collect, for
21each tax return period, only the tax applicable to the part of
22the selling price actually received during such tax return
23period.
24    Except as provided hereinafter in this Section, on or
25before the twentieth day of each calendar month, such

 

 

SB1285- 89 -LRB100 08067 HLH 18153 b

1serviceman shall file a return for the preceding calendar month
2in accordance with reasonable rules and regulations to be
3promulgated by the Department of Revenue. Such return shall be
4filed on a form prescribed by the Department and shall contain
5such information as the Department may reasonably require.
6    The Department may require returns to be filed on a
7quarterly basis. If so required, a return for each calendar
8quarter shall be filed on or before the twentieth day of the
9calendar month following the end of such calendar quarter. The
10taxpayer shall also file a return with the Department for each
11of the first two months of each calendar quarter, on or before
12the twentieth day of the following calendar month, stating:
13        1. The name of the seller;
14        2. The address of the principal place of business from
15    which he engages in business as a serviceman in this State;
16        3. The total amount of taxable receipts received by him
17    during the preceding calendar month, including receipts
18    from charge and time sales, but less all deductions allowed
19    by law;
20        4. The amount of credit provided in Section 2d of this
21    Act;
22        5. The amount of tax due;
23        5-5. The signature of the taxpayer; and
24        6. Such other reasonable information as the Department
25    may require.
26    If a taxpayer fails to sign a return within 30 days after

 

 

SB1285- 90 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 91 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 92 -LRB100 08067 HLH 18153 b

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.

 

 

SB1285- 93 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 94 -LRB100 08067 HLH 18153 b

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 that which is to be consumed off the premises where
17it is sold (other than alcoholic beverages, soft drinks and
18food that which has been prepared for immediate consumption)
19and prescription 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,
24modifications to a motor vehicle for the purpose of rendering
25it usable by a person with a disability, and insulin, urine
26testing materials, syringes and needles used by diabetics, for

 

 

SB1285- 95 -LRB100 08067 HLH 18153 b

1human use.
2    Beginning January 1, 1990, each month the Department shall
3pay into the County and Mass Transit District Fund 4% of the
4revenue realized for the preceding month from the 6.25% general
5rate.
6    Beginning August 1, 2000, each month the Department shall
7pay into the County and Mass Transit District Fund 20% of the
8net revenue realized for the preceding month from the 1.25%
9rate on the selling price of motor fuel and gasohol.
10    Beginning January 1, 1990, each month the Department shall
11pay into the Local Government Tax Fund 16% of the revenue
12realized for the preceding month from the 6.25% general rate on
13transfers of tangible personal property.
14    Beginning August 1, 2000, each month the Department shall
15pay into the Local Government Tax Fund 80% of the net revenue
16realized for the preceding month from the 1.25% rate on the
17selling price of motor fuel and gasohol.
18    Beginning October 1, 2009, each month the Department shall
19pay into the Capital Projects Fund an amount that is equal to
20an amount estimated by the Department to represent 80% of the
21net revenue realized for the preceding month from the sale of
22candy, grooming and hygiene products, and soft drinks that had
23been taxed at a rate of 1% prior to September 1, 2009 but that
24are now taxed at 6.25%.
25    Beginning July 1, 2013, each month the Department shall pay
26into the Underground Storage Tank Fund from the proceeds

 

 

SB1285- 96 -LRB100 08067 HLH 18153 b

1collected under this Act, the Use Tax Act, the Service Use Tax
2Act, and the Retailers' Occupation Tax Act an amount equal to
3the average monthly deficit in the Underground Storage Tank
4Fund during the prior year, as certified annually by the
5Illinois Environmental Protection Agency, but the total
6payment into the Underground Storage Tank Fund under this Act,
7the Use Tax Act, the Service Use Tax Act, and the Retailers'
8Occupation Tax Act shall not exceed $18,000,000 in any State
9fiscal year. As used in this paragraph, the "average monthly
10deficit" shall be equal to the difference between the average
11monthly claims for payment by the fund and the average monthly
12revenues deposited into the fund, excluding payments made
13pursuant to this paragraph.
14    Beginning July 1, 2015, of the remainder of the moneys
15received by the Department under the Use Tax Act, the Service
16Use Tax Act, this Act, and the Retailers' Occupation Tax Act,
17each month the Department shall deposit $500,000 into the State
18Crime 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

 

 

SB1285- 97 -LRB100 08067 HLH 18153 b

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 Account in the
15Build 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,

 

 

SB1285- 98 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 99 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 100 -LRB100 08067 HLH 18153 b

12000 75,000,000
22001 80,000,000
32002 93,000,000
42003 99,000,000
52004103,000,000
62005108,000,000
72006113,000,000
82007119,000,000
92008126,000,000
102009132,000,000
112010139,000,000
122011146,000,000
132012153,000,000
142013161,000,000
152014170,000,000
162015179,000,000
172016189,000,000
182017199,000,000
192018210,000,000
202019221,000,000
212020233,000,000
222021246,000,000
232022260,000,000
242023275,000,000
252024 275,000,000
262025 275,000,000

 

 

SB1285- 101 -LRB100 08067 HLH 18153 b

12026 279,000,000
22027 292,000,000
32028 307,000,000
42029 322,000,000
52030 338,000,000
62031 350,000,000
72032 350,000,000
8and
9each fiscal year
10thereafter that bonds
11are outstanding under
12Section 13.2 of the
13Metropolitan Pier and
14Exposition Authority Act,
15but not after fiscal year 2060.
16    Beginning July 20, 1993 and in each month of each fiscal
17year thereafter, one-eighth of the amount requested in the
18certificate of the Chairman of the Metropolitan Pier and
19Exposition Authority for that fiscal year, less the amount
20deposited into the McCormick Place Expansion Project Fund by
21the State Treasurer in the respective month under subsection
22(g) of Section 13 of the Metropolitan Pier and Exposition
23Authority Act, plus cumulative deficiencies in the deposits
24required under this Section for previous months and years,
25shall be deposited into the McCormick Place Expansion Project
26Fund, until the full amount requested for the fiscal year, but

 

 

SB1285- 102 -LRB100 08067 HLH 18153 b

1not in excess of the amount specified above as "Total Deposit",
2has been deposited.
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

 

 

SB1285- 103 -LRB100 08067 HLH 18153 b

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 the effective date of this
4amendatory Act of the 98th General Assembly, each month, from
5the collections made under Section 9 of the Use Tax Act,
6Section 9 of the Service Use Tax Act, Section 9 of the Service
7Occupation Tax Act, and Section 3 of the Retailers' Occupation
8Tax Act, the Department shall pay into the Tax Compliance and
9Administration Fund, to be used, subject to appropriation, to
10fund additional auditors and compliance personnel at the
11Department of Revenue, an amount equal to 1/12 of 5% of 80% of
12the cash receipts collected during the preceding fiscal year by
13the Audit Bureau of the Department under the Use Tax Act, the
14Service Use Tax Act, the Service Occupation Tax Act, the
15Retailers' Occupation Tax Act, and associated local occupation
16and use taxes administered by the Department.
17    Of the remainder of the moneys received by the Department
18pursuant to this Act, 75% shall be paid into the General
19Revenue Fund of the State Treasury and 25% shall be reserved in
20a special account and used only for the transfer to the Common
21School Fund as part of the monthly transfer from the General
22Revenue Fund in accordance with Section 8a of the State Finance
23Act.
24    The Department may, upon separate written notice to a
25taxpayer, require the taxpayer to prepare and file with the
26Department on a form prescribed by the Department within not

 

 

SB1285- 104 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 105 -LRB100 08067 HLH 18153 b

1    the annual return for each month or fraction of a month
2    until such return is filed as required, the penalty to be
3    assessed and collected in the same manner as any other
4    penalty provided for in this Act.
5        (ii) On and after January 1, 1994, the taxpayer shall
6    be liable for a penalty as described in Section 3-4 of the
7    Uniform Penalty and Interest Act.
8    The chief executive officer, proprietor, owner or highest
9ranking manager shall sign the annual return to certify the
10accuracy of the information contained therein. Any person who
11willfully signs the annual return containing false or
12inaccurate information shall be guilty of perjury and punished
13accordingly. The annual return form prescribed by the
14Department shall include a warning that the person signing the
15return may be liable for perjury.
16    The foregoing portion of this Section concerning the filing
17of an annual information return shall not apply to a serviceman
18who is not required to file an income tax return with the
19United States Government.
20    As soon as possible after the first day of each month, upon
21certification of the Department of Revenue, the Comptroller
22shall order transferred and the Treasurer shall transfer from
23the General Revenue Fund to the Motor Fuel Tax Fund an amount
24equal to 1.7% of 80% of the net revenue realized under this Act
25for the second preceding month. Beginning April 1, 2000, this
26transfer is no longer required and shall not be made.

 

 

SB1285- 106 -LRB100 08067 HLH 18153 b

1    Net revenue realized for a month shall be the revenue
2collected by the State pursuant to this Act, less the amount
3paid out during that month as refunds to taxpayers for
4overpayment of liability.
5    For greater simplicity of administration, it shall be
6permissible for manufacturers, importers and wholesalers whose
7products are sold by numerous servicemen in Illinois, and who
8wish to do so, to assume the responsibility for accounting and
9paying to the Department all tax accruing under this Act with
10respect to such sales, if the servicemen who are affected do
11not make written objection to the Department to this
12arrangement.
13(Source: P.A. 98-24, eff. 6-19-13; 98-109, eff. 7-25-13;
1498-298, eff. 8-9-13; 98-496, eff. 1-1-14; 98-756, eff. 7-16-14;
1598-1098, eff. 8-26-14; 99-352, eff. 8-12-15; 99-858, eff.
168-19-16.)
 
17    Section 45. The Retailers' Occupation Tax Act is amended by
18changing Sections 2-5.5, 3, and 5j as follows:
 
19    (35 ILCS 120/2-5.5)
20    Sec. 2-5.5. Food and drugs sold by not-for-profit
21organizations; exemption. The Department shall not collect the
221% tax imposed under this Act on sales of tangible personal
23property (including but not limited to, food for human
24consumption that is to be consumed off the premises where it is

 

 

SB1285- 107 -LRB100 08067 HLH 18153 b

1sold (other than alcoholic beverages, soft drinks, and food
2that has been prepared for immediate consumption) and
3prescription and nonprescription medicines, drugs, medical
4appliances, products classified as Class III medical devices by
5the United States Food and Drug Administration that are used
6for cancer treatment pursuant to a prescription, as well as any
7accessories and components related to those devices,
8modifications to a motor vehicle for the purpose of rendering
9it usable by a person with a disability, and insulin, urine
10testing materials, syringes, and needles used by diabetics, for
11human use) from any not-for-profit organization, that sells
12food in a food distribution program at a price below the retail
13cost of the food to purchasers who, as a condition of
14participation in the program, are required to perform community
15service, located in a county or municipality that notifies the
16Department, in writing, that the county or municipality does
17not want the tax to be collected from any of such organizations
18located in the county or municipality.
19(Source: P.A. 88-374.)
 
20    (35 ILCS 120/3)  (from Ch. 120, par. 442)
21    Sec. 3. Except as provided in this Section, on or before
22the twentieth day of each calendar month, every person engaged
23in the business of selling tangible personal property at retail
24in this State during the preceding calendar month shall file a
25return with the Department, stating:

 

 

SB1285- 108 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 109 -LRB100 08067 HLH 18153 b

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    Each return shall be accompanied by the statement of
6prepaid tax issued pursuant to Section 2e for which credit is
7claimed.
8    Prior to October 1, 2003, and on and after September 1,
92004 a retailer may accept a Manufacturer's Purchase Credit
10certification from a purchaser in satisfaction of Use Tax as
11provided in Section 3-85 of the Use Tax Act if the purchaser
12provides the appropriate documentation as required by Section
133-85 of the Use Tax Act. A Manufacturer's Purchase Credit
14certification, accepted by a retailer prior to October 1, 2003
15and on and after September 1, 2004 as provided in Section 3-85
16of the Use Tax Act, may be used by that retailer to satisfy
17Retailers' Occupation Tax liability in the amount claimed in
18the certification, not to exceed 6.25% of the receipts subject
19to tax from a qualifying purchase. A Manufacturer's Purchase
20Credit reported on any original or amended return filed under
21this Act after October 20, 2003 for reporting periods prior to
22September 1, 2004 shall be disallowed. Manufacturer's
23Purchaser Credit reported on annual returns due on or after
24January 1, 2005 will be disallowed for periods prior to
25September 1, 2004. No Manufacturer's Purchase Credit may be
26used after September 30, 2003 through August 31, 2004 to

 

 

SB1285- 110 -LRB100 08067 HLH 18153 b

1satisfy any tax liability imposed under this Act, including any
2audit liability.
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 the business of selling tangible
13    personal property at retail in this State;
14        3. The total amount of taxable receipts received by him
15    during the preceding calendar month from sales of tangible
16    personal property by him during such preceding calendar
17    month, including receipts from charge and time sales, but
18    less all deductions allowed by law;
19        4. The amount of credit provided in Section 2d of this
20    Act;
21        5. The amount of tax due; and
22        6. Such other reasonable information as the Department
23    may require.
24    Beginning on October 1, 2003, any person who is not a
25licensed distributor, importing distributor, or manufacturer,
26as defined in the Liquor Control Act of 1934, but is engaged in

 

 

SB1285- 111 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 112 -LRB100 08067 HLH 18153 b

1distributor's, or manufacturer's total sales of alcoholic
2liquor to that retailer no later than the 10th day of the month
3for the preceding month during which the transaction occurred.
4The distributor, importing distributor, or manufacturer shall
5notify the retailer as to the method by which the distributor,
6importing distributor, or manufacturer will provide the sales
7information. If the retailer is unable to receive the sales
8information by electronic means, the distributor, importing
9distributor, or manufacturer shall furnish the sales
10information by personal delivery or by mail. For purposes of
11this paragraph, the term "electronic means" includes, but is
12not limited to, the use of a secure Internet website, e-mail,
13or facsimile.
14    If a total amount of less than $1 is payable, refundable or
15creditable, such amount shall be disregarded if it is less than
1650 cents and shall be increased to $1 if it is 50 cents or more.
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

 

 

SB1285- 113 -LRB100 08067 HLH 18153 b

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" shall be the sum of
8the taxpayer'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

 

 

SB1285- 114 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 115 -LRB100 08067 HLH 18153 b

1basis, with the return for a given year being due by January 20
2of the following year.
3    Such quarter annual and annual returns, as to form and
4substance, shall be subject to the same requirements as monthly
5returns.
6    Notwithstanding any other provision in this Act concerning
7the time within which a retailer may file his return, in the
8case of any retailer who ceases to engage in a kind of business
9which makes him responsible for filing returns under this Act,
10such retailer shall file a final return under this Act with the
11Department not more than one month after discontinuing such
12business.
13    Where the same person has more than one business registered
14with the Department under separate registrations under this
15Act, such person may not file each return that is due as a
16single return covering all such registered businesses, but
17shall file separate returns for each such registered business.
18    In addition, with respect to motor vehicles, watercraft,
19aircraft, and trailers that are required to be registered with
20an agency of this State, every retailer selling this kind of
21tangible personal property shall file, with the Department,
22upon a form to be prescribed and supplied by the Department, a
23separate return for each such item of tangible personal
24property which the retailer sells, except that if, in the same
25transaction, (i) a retailer of aircraft, watercraft, motor
26vehicles or trailers transfers more than one aircraft,

 

 

SB1285- 116 -LRB100 08067 HLH 18153 b

1watercraft, motor vehicle or trailer to another aircraft,
2watercraft, motor vehicle retailer or trailer retailer for the
3purpose of resale or (ii) a retailer of aircraft, watercraft,
4motor vehicles, or trailers transfers more than one aircraft,
5watercraft, motor vehicle, or trailer to a purchaser for use as
6a qualifying rolling stock as provided in Section 2-5 of this
7Act, then that seller may report the transfer of all aircraft,
8watercraft, motor vehicles or trailers involved in that
9transaction to the Department on the same uniform
10invoice-transaction reporting return form. For purposes of
11this Section, "watercraft" means a Class 2, Class 3, or Class 4
12watercraft as defined in Section 3-2 of the Boat Registration
13and Safety Act, a personal watercraft, or any boat equipped
14with an inboard motor.
15    Any retailer who sells only motor vehicles, watercraft,
16aircraft, or trailers that are required to be registered with
17an agency of this State, so that all retailers' occupation tax
18liability is required to be reported, and is reported, on such
19transaction reporting returns and who is not otherwise required
20to file monthly or quarterly returns, need not file monthly or
21quarterly returns. However, those retailers shall be required
22to file returns on an annual basis.
23    The transaction reporting return, in the case of motor
24vehicles or trailers that are required to be registered with an
25agency of this State, shall be the same document as the Uniform
26Invoice referred to in Section 5-402 of The Illinois Vehicle

 

 

SB1285- 117 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 118 -LRB100 08067 HLH 18153 b

1the amount of tax due from the retailer with respect to such
2transaction; the amount of tax collected from the purchaser by
3the retailer on such transaction (or satisfactory evidence that
4such tax is not due in that particular instance, if that is
5claimed to be the fact); the place and date of the sale, a
6sufficient identification of the property sold, and such other
7information as the Department may reasonably require.
8    Such transaction reporting return shall be filed not later
9than 20 days after the day of delivery of the item that is
10being sold, but may be filed by the retailer at any time sooner
11than that if he chooses to do so. The transaction reporting
12return and tax remittance or proof of exemption from the
13Illinois use tax may be transmitted to the Department by way of
14the State agency with which, or State officer with whom the
15tangible personal property must be titled or registered (if
16titling or registration is required) if the Department and such
17agency or State officer determine that this procedure will
18expedite the processing of applications for title or
19registration.
20    With each such transaction reporting return, the retailer
21shall remit the proper amount of tax due (or shall submit
22satisfactory evidence that the sale is not taxable if that is
23the case), to the Department or its agents, whereupon the
24Department shall issue, in the purchaser's name, a use tax
25receipt (or a certificate of exemption if the Department is
26satisfied that the particular sale is tax exempt) which such

 

 

SB1285- 119 -LRB100 08067 HLH 18153 b

1purchaser may submit to the agency with which, or State officer
2with whom, he must title or register the tangible personal
3property that is involved (if titling or registration is
4required) in support of such purchaser's application for an
5Illinois certificate or other evidence of title or registration
6to such tangible personal property.
7    No retailer's failure or refusal to remit tax under this
8Act precludes a user, who has paid the proper tax to the
9retailer, from obtaining his certificate of title or other
10evidence of title or registration (if titling or registration
11is required) upon satisfying the Department that such user has
12paid the proper tax (if tax is due) to the retailer. The
13Department shall adopt appropriate rules to carry out the
14mandate of this paragraph.
15    If the user who would otherwise pay tax to the retailer
16wants the transaction reporting return filed and the payment of
17the tax or proof of exemption made to the Department before the
18retailer is willing to take these actions and such user has not
19paid the tax to the retailer, such user may certify to the fact
20of such delay by the retailer and may (upon the Department
21being satisfied of the truth of such certification) transmit
22the information required by the transaction reporting return
23and the remittance for tax or proof of exemption directly to
24the Department and obtain his tax receipt or exemption
25determination, in which event the transaction reporting return
26and tax remittance (if a tax payment was required) shall be

 

 

SB1285- 120 -LRB100 08067 HLH 18153 b

1credited by the Department to the proper retailer's account
2with the Department, but without the 2.1% or 1.75% discount
3provided for in this Section being allowed. When the user pays
4the tax directly to the Department, he shall pay the tax in the
5same amount and in the same form in which it would be remitted
6if the tax had been remitted to the Department by the retailer.
7    Refunds made by the seller during the preceding return
8period to purchasers, on account of tangible personal property
9returned to the seller, shall be allowed as a deduction under
10subdivision 5 of his monthly or quarterly return, as the case
11may be, in case the seller had theretofore included the
12receipts from the sale of such tangible personal property in a
13return filed by him and had paid the tax imposed by this Act
14with respect to such receipts.
15    Where the seller is a corporation, the return filed on
16behalf of such corporation shall be signed by the president,
17vice-president, secretary or treasurer or by the properly
18accredited agent of such corporation.
19    Where the seller is a limited liability company, the return
20filed on behalf of the limited liability company shall be
21signed by a manager, member, or properly accredited agent of
22the limited liability company.
23    Except as provided in this Section, the retailer filing the
24return under this Section shall, at the time of filing such
25return, pay to the Department the amount of tax imposed by this
26Act less a discount of 2.1% prior to January 1, 1990 and 1.75%

 

 

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1on and after January 1, 1990, or $5 per calendar year,
2whichever is greater, which is allowed to reimburse the
3retailer for the expenses incurred in keeping records,
4preparing and filing returns, remitting the tax and supplying
5data to the Department on request. Any prepayment made pursuant
6to Section 2d of this Act shall be included in the amount on
7which such 2.1% or 1.75% discount is computed. In the case of
8retailers who report and pay the tax on a transaction by
9transaction basis, as provided in this Section, such discount
10shall be taken with each such tax remittance instead of when
11such retailer files his periodic return. The Department may
12disallow the discount for retailers whose certificate of
13registration is revoked at the time the return is filed, but
14only if the Department's decision to revoke the certificate of
15registration has become final.
16    Before October 1, 2000, if the taxpayer's average monthly
17tax liability to the Department under this Act, the Use Tax
18Act, the Service Occupation Tax Act, and the Service Use Tax
19Act, excluding any liability for prepaid sales tax to be
20remitted in accordance with Section 2d of this Act, was $10,000
21or more during the preceding 4 complete calendar quarters, he
22shall file a return with the Department each month by the 20th
23day of the month next following the month during which such tax
24liability is incurred and shall make payments to the Department
25on or before the 7th, 15th, 22nd and last day of the month
26during which such liability is incurred. On and after October

 

 

SB1285- 122 -LRB100 08067 HLH 18153 b

11, 2000, if the taxpayer's average monthly tax liability to the
2Department under this Act, the Use Tax Act, the Service
3Occupation Tax Act, and the Service Use Tax Act, excluding any
4liability for prepaid sales tax to be remitted in accordance
5with Section 2d of this 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

 

 

SB1285- 123 -LRB100 08067 HLH 18153 b

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 by taxpayers having an average monthly tax liability
20of $10,000 or more as determined in the manner provided above
21shall continue until such taxpayer's average monthly liability
22to the Department during the preceding 4 complete calendar
23quarters (excluding the month of highest liability and the
24month of lowest liability) is less than $9,000, or until such
25taxpayer's average monthly liability to the Department as
26computed for each calendar quarter of the 4 preceding complete

 

 

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

 

 

SB1285- 125 -LRB100 08067 HLH 18153 b

1long term. If any such quarter monthly payment is not paid at
2the time or in the amount required by this Section, then the
3taxpayer shall be liable for penalties and interest on the
4difference between the minimum amount due as a payment and the
5amount of such quarter monthly payment actually and timely
6paid, except insofar as the taxpayer has previously made
7payments for that month to the Department in excess of the
8minimum payments previously due as provided in this Section.
9The Department shall make reasonable rules and regulations to
10govern the quarter monthly payment amount and quarter monthly
11payment dates for taxpayers who file on other than a calendar
12monthly basis.
13    The provisions of this paragraph apply before October 1,
142001. Without regard to whether a taxpayer is required to make
15quarter monthly payments as specified above, any taxpayer who
16is required by Section 2d of this Act to collect and remit
17prepaid taxes and has collected prepaid taxes which average in
18excess of $25,000 per month during the preceding 2 complete
19calendar quarters, shall file a return with the Department as
20required by Section 2f and shall make payments to the
21Department on or before the 7th, 15th, 22nd and last day of the
22month during which such liability is incurred. If the month
23during which such tax liability is incurred began prior to
24September 1, 1985 (the effective date of Public Act 84-221)
25this amendatory Act of 1985, each payment shall be in an amount
26not less than 22.5% of the taxpayer's actual liability under

 

 

SB1285- 126 -LRB100 08067 HLH 18153 b

1Section 2d. If the month during which such tax liability is
2incurred begins on or after January 1, 1986, each payment shall
3be in an amount equal to 22.5% of the taxpayer's actual
4liability for the month or 27.5% of the taxpayer's liability
5for the same calendar month of the preceding calendar year. If
6the month during which such tax liability is incurred begins on
7or after January 1, 1987, each payment shall be in an amount
8equal to 22.5% of the taxpayer's actual liability for the month
9or 26.25% of the taxpayer's liability for the same calendar
10month of the preceding year. The amount of such quarter monthly
11payments shall be credited against the final tax liability of
12the taxpayer's return for that month filed under this Section
13or Section 2f, as the case may be. Once applicable, the
14requirement of the making of quarter monthly payments to the
15Department pursuant to this paragraph shall continue until such
16taxpayer's average monthly prepaid tax collections during the
17preceding 2 complete calendar quarters is $25,000 or less. If
18any such quarter monthly payment is not paid at the time or in
19the amount required, the taxpayer shall be liable for penalties
20and interest on such difference, except insofar as the taxpayer
21has previously made payments for that month in excess of the
22minimum payments previously due.
23    The provisions of this paragraph apply on and after October
241, 2001. Without regard to whether a taxpayer is required to
25make quarter monthly payments as specified above, any taxpayer
26who is required by Section 2d of this Act to collect and remit

 

 

SB1285- 127 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 128 -LRB100 08067 HLH 18153 b

1    If any payment provided for in this Section exceeds the
2taxpayer's liabilities under this Act, the Use Tax Act, the
3Service Occupation Tax Act and the Service Use Tax Act, as
4shown on an original monthly return, the Department shall, if
5requested by the taxpayer, issue to the taxpayer a credit
6memorandum no later than 30 days after the date of payment. The
7credit evidenced by such credit memorandum may be assigned by
8the taxpayer to a similar taxpayer under this Act, the Use Tax
9Act, the Service Occupation Tax Act or the Service Use Tax Act,
10in accordance with reasonable rules and regulations to be
11prescribed by the Department. If no such request is made, the
12taxpayer may credit such excess payment against tax liability
13subsequently to be remitted to the Department under this Act,
14the Use Tax Act, the Service Occupation Tax Act or the Service
15Use Tax Act, in accordance with reasonable rules and
16regulations prescribed by the Department. If the Department
17subsequently determined that all or any part of the credit
18taken was not actually due to the taxpayer, the taxpayer's 2.1%
19and 1.75% vendor's discount shall be reduced by 2.1% or 1.75%
20of the difference between the credit taken and that actually
21due, and that taxpayer shall be liable for penalties and
22interest on such difference.
23    If a retailer of motor fuel is entitled to a credit under
24Section 2d of this Act which exceeds the taxpayer's liability
25to the Department under this Act for the month which the
26taxpayer is filing a return, the Department shall issue the

 

 

SB1285- 129 -LRB100 08067 HLH 18153 b

1taxpayer a credit memorandum for the excess.
2    Beginning January 1, 1990, each month the Department shall
3pay into the Local Government Tax Fund, a special fund in the
4State treasury which is hereby created, the net revenue
5realized for the preceding month from the 1% tax on sales of
6food for human consumption that which is to be consumed off the
7premises where it is sold (other than alcoholic beverages, soft
8drinks and food that which has been prepared for immediate
9consumption) and prescription and nonprescription medicines,
10drugs, medical appliances, products classified as Class III
11medical devices by the United States Food and Drug
12Administration that are used for cancer treatment pursuant to a
13prescription, as well as any accessories and components related
14to those devices, modifications to a motor vehicle for the
15purpose of rendering it usable by a person with a disability,
16and insulin, urine testing materials, syringes and needles used
17by diabetics, for human use.
18    Beginning January 1, 1990, each month the Department shall
19pay into the County and Mass Transit District Fund, a special
20fund in the State treasury which is hereby created, 4% of the
21net revenue realized for the preceding month from the 6.25%
22general rate.
23    Beginning August 1, 2000, each month the Department shall
24pay into the County and Mass Transit District Fund 20% of the
25net revenue realized for the preceding month from the 1.25%
26rate on the selling price of motor fuel and gasohol. Beginning

 

 

SB1285- 130 -LRB100 08067 HLH 18153 b

1September 1, 2010, each month the Department shall pay into the
2County and Mass Transit District Fund 20% of the net revenue
3realized for the preceding month from the 1.25% rate on the
4selling price of sales tax holiday items.
5    Beginning January 1, 1990, each month the Department shall
6pay into the Local Government Tax Fund 16% of the net revenue
7realized for the preceding month from the 6.25% general rate on
8the selling price of tangible personal property.
9    Beginning August 1, 2000, each month the Department shall
10pay into the Local Government Tax Fund 80% of the net revenue
11realized for the preceding month from the 1.25% rate on the
12selling price of motor fuel and gasohol. Beginning September 1,
132010, each month the Department shall pay into the Local
14Government Tax Fund 80% of the net revenue realized for the
15preceding month from the 1.25% rate on the selling price of
16sales tax holiday items.
17    Beginning October 1, 2009, each month the Department shall
18pay into the Capital Projects Fund an amount that is equal to
19an amount estimated by the Department to represent 80% of the
20net revenue realized for the preceding month from the sale of
21candy, grooming and hygiene products, and soft drinks that had
22been taxed at a rate of 1% prior to September 1, 2009 but that
23are now taxed at 6.25%.
24    Beginning July 1, 2011, each month the Department shall pay
25into the Clean Air Act Permit Fund 80% of the net revenue
26realized for the preceding month from the 6.25% general rate on

 

 

SB1285- 131 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 132 -LRB100 08067 HLH 18153 b

1pursuant to this Act, (a) 1.75% thereof shall be paid into the
2Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
3and after July 1, 1989, 3.8% thereof shall be paid into the
4Build Illinois Fund; provided, however, that if in any fiscal
5year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
6may be, of the moneys received by the Department and required
7to be paid into the Build Illinois Fund pursuant to this Act,
8Section 9 of the Use Tax Act, Section 9 of the Service Use Tax
9Act, and Section 9 of the Service Occupation Tax Act, such Acts
10being hereinafter called the "Tax Acts" and such aggregate of
112.2% or 3.8%, as the case may be, of moneys being hereinafter
12called the "Tax Act Amount", and (2) the amount transferred to
13the Build Illinois Fund from the State and Local Sales Tax
14Reform Fund shall be less than the Annual Specified Amount (as
15hereinafter defined), an amount equal to the difference shall
16be immediately paid into the Build Illinois Fund from other
17moneys received by the Department pursuant to the Tax Acts; the
18"Annual Specified Amount" means the amounts specified below for
19fiscal years 1986 through 1993:
20Fiscal YearAnnual Specified Amount
211986$54,800,000
221987$76,650,000
231988$80,480,000
241989$88,510,000
251990$115,330,000
261991$145,470,000

 

 

SB1285- 133 -LRB100 08067 HLH 18153 b

11992$182,730,000
21993$206,520,000;
3and means the Certified Annual Debt Service Requirement (as
4defined in Section 13 of the Build Illinois Bond Act) or the
5Tax Act Amount, whichever is greater, for fiscal year 1994 and
6each fiscal year thereafter; and further provided, that if on
7the last business day of any month the sum of (1) the Tax Act
8Amount required to be deposited into the Build Illinois Bond
9Account in the Build Illinois Fund during such month and (2)
10the amount transferred to the Build Illinois Fund from the
11State and Local Sales Tax Reform Fund shall have been less than
121/12 of the Annual Specified Amount, an amount equal to the
13difference shall be immediately paid into the Build Illinois
14Fund from other moneys received by the Department pursuant to
15the Tax Acts; and, further provided, that in no event shall the
16payments required under the preceding proviso result in
17aggregate payments into the Build Illinois Fund pursuant to
18this clause (b) for any fiscal year in excess of the greater of
19(i) the Tax Act Amount or (ii) the Annual Specified Amount for
20such fiscal year. The amounts payable into the Build Illinois
21Fund under clause (b) of the first sentence in this paragraph
22shall be payable only until such time as the aggregate amount
23on deposit under each trust indenture securing Bonds issued and
24outstanding pursuant to the Build Illinois Bond Act is
25sufficient, taking into account any future investment income,
26to fully provide, in accordance with such indenture, for the

 

 

SB1285- 134 -LRB100 08067 HLH 18153 b

1defeasance of or the payment of the principal of, premium, if
2any, and interest on the Bonds secured by such indenture and on
3any Bonds expected to be issued thereafter and all fees and
4costs payable with respect thereto, all as certified by the
5Director of the Bureau of the Budget (now Governor's Office of
6Management and Budget). If on the last business day of any
7month in which Bonds are outstanding pursuant to the Build
8Illinois Bond Act, the aggregate of moneys deposited in the
9Build Illinois Bond Account in the Build Illinois Fund in such
10month shall be less than the amount required to be transferred
11in such month from the Build Illinois Bond Account to the Build
12Illinois Bond Retirement and Interest Fund pursuant to Section
1313 of the Build Illinois Bond Act, an amount equal to such
14deficiency shall be immediately paid from other moneys received
15by the Department pursuant to the Tax Acts to the Build
16Illinois Fund; provided, however, that any amounts paid to the
17Build Illinois Fund in any fiscal year pursuant to this
18sentence shall be deemed to constitute payments pursuant to
19clause (b) of the first sentence of this paragraph and shall
20reduce the amount otherwise payable for such fiscal year
21pursuant to that clause (b). The moneys received by the
22Department pursuant to this Act and required to be deposited
23into the Build Illinois Fund are subject to the pledge, claim
24and charge set forth in Section 12 of the Build Illinois Bond
25Act.
26    Subject to payment of amounts into the Build Illinois Fund

 

 

SB1285- 135 -LRB100 08067 HLH 18153 b

1as provided in the preceding paragraph or in any amendment
2thereto hereafter enacted, the following specified monthly
3installment of the amount requested in the certificate of the
4Chairman of the Metropolitan Pier and Exposition Authority
5provided under Section 8.25f of the State Finance Act, but not
6in excess of sums designated as "Total Deposit", shall be
7deposited in the aggregate from collections under Section 9 of
8the Use Tax Act, Section 9 of the Service Use Tax Act, Section
99 of the Service Occupation Tax Act, and Section 3 of the
10Retailers' Occupation Tax Act into the McCormick Place
11Expansion Project Fund in the specified fiscal years.
12Fiscal YearTotal Deposit
131993         $0
141994 53,000,000
151995 58,000,000
161996 61,000,000
171997 64,000,000
181998 68,000,000
191999 71,000,000
202000 75,000,000
212001 80,000,000
222002 93,000,000
232003 99,000,000
242004103,000,000
252005108,000,000

 

 

SB1285- 136 -LRB100 08067 HLH 18153 b

12006113,000,000
22007119,000,000
32008126,000,000
42009132,000,000
52010139,000,000
62011146,000,000
72012153,000,000
82013161,000,000
92014170,000,000
102015179,000,000
112016189,000,000
122017199,000,000
132018210,000,000
142019221,000,000
152020233,000,000
162021246,000,000
172022260,000,000
182023275,000,000
192024 275,000,000
202025 275,000,000
212026 279,000,000
222027 292,000,000
232028 307,000,000
242029 322,000,000
252030 338,000,000
262031 350,000,000

 

 

SB1285- 137 -LRB100 08067 HLH 18153 b

12032 350,000,000
2and
3each fiscal year
4thereafter that bonds
5are outstanding under
6Section 13.2 of the
7Metropolitan Pier and
8Exposition Authority Act,
9but not after fiscal year 2060.
10    Beginning July 20, 1993 and in each month of each fiscal
11year thereafter, one-eighth of the amount requested in the
12certificate of the Chairman of the Metropolitan Pier and
13Exposition Authority for that fiscal year, less the amount
14deposited into the McCormick Place Expansion Project Fund by
15the State Treasurer in the respective month under subsection
16(g) of Section 13 of the Metropolitan Pier and Exposition
17Authority Act, plus cumulative deficiencies in the deposits
18required under this Section for previous months and years,
19shall be deposited into the McCormick Place Expansion Project
20Fund, until the full amount requested for the fiscal year, but
21not in excess of the amount specified above as "Total Deposit",
22has been deposited.
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 July 1, 1993 and ending on September 30,

 

 

SB1285- 138 -LRB100 08067 HLH 18153 b

12013, the Department shall each month pay into the Illinois Tax
2Increment Fund 0.27% of 80% of the net revenue realized for the
3preceding month from the 6.25% general rate on the selling
4price of tangible personal property.
5    Subject to payment of amounts into the Build Illinois Fund
6and the McCormick Place Expansion Project Fund pursuant to the
7preceding paragraphs or in any amendments thereto hereafter
8enacted, beginning with the receipt of the first report of
9taxes paid by an eligible business and continuing for a 25-year
10period, the Department shall each month pay into the Energy
11Infrastructure Fund 80% of the net revenue realized from the
126.25% general rate on the selling price of Illinois-mined coal
13that was sold to an eligible business. For purposes of this
14paragraph, the term "eligible business" means a new electric
15generating facility certified pursuant to Section 605-332 of
16the Department of Commerce and Economic Opportunity Law of the
17Civil Administrative Code of Illinois.
18    Subject to payment of amounts into the Build Illinois Fund,
19the McCormick Place Expansion Project Fund, the Illinois Tax
20Increment Fund, and the Energy Infrastructure Fund pursuant to
21the preceding paragraphs or in any amendments to this Section
22hereafter enacted, beginning on the first day of the first
23calendar month to occur on or after August 26, 2014 (the
24effective date of Public Act 98-1098) this amendatory Act of
25the 98th General Assembly, each month, from the collections
26made under Section 9 of the Use Tax Act, Section 9 of the

 

 

SB1285- 139 -LRB100 08067 HLH 18153 b

1Service Use Tax Act, Section 9 of the Service Occupation Tax
2Act, and Section 3 of the Retailers' Occupation Tax Act, the
3Department shall pay into the Tax Compliance and Administration
4Fund, to be used, subject to appropriation, to fund additional
5auditors and compliance personnel at the Department of Revenue,
6an amount equal to 1/12 of 5% of 80% of the cash receipts
7collected during the preceding fiscal year by the Audit Bureau
8of the Department under the Use Tax Act, the Service Use Tax
9Act, the Service Occupation Tax Act, the Retailers' Occupation
10Tax Act, and associated local occupation and use taxes
11administered by the Department.
12    Of the remainder of the moneys received by the Department
13pursuant to this Act, 75% thereof shall be paid into the State
14Treasury and 25% shall be reserved in a special account and
15used only for the transfer to the Common School Fund as part of
16the monthly transfer from the General Revenue Fund in
17accordance with Section 8a of the State Finance Act.
18    The Department may, upon separate written notice to a
19taxpayer, require the taxpayer to prepare and file with the
20Department on a form prescribed by the Department within not
21less than 60 days after receipt of the notice an annual
22information return for the tax year specified in the notice.
23Such annual return to the Department shall include a statement
24of gross receipts as shown by the retailer's last Federal
25income tax return. If the total receipts of the business as
26reported in the Federal income tax return do not agree with the

 

 

SB1285- 140 -LRB100 08067 HLH 18153 b

1gross receipts reported to the Department of Revenue for the
2same period, the retailer shall attach to his annual return a
3schedule showing a reconciliation of the 2 amounts and the
4reasons for the difference. The retailer's annual return to the
5Department shall also disclose the cost of goods sold by the
6retailer during the year covered by such return, opening and
7closing inventories of such goods for such year, costs of goods
8used from stock or taken from stock and given away by the
9retailer during such year, payroll information of the
10retailer's business during such year and any additional
11reasonable information which the Department deems would be
12helpful in determining the accuracy of the monthly, quarterly
13or annual returns filed by such retailer as provided for in
14this Section.
15    If the annual information return required by this Section
16is not filed when and as required, the taxpayer shall be liable
17as follows:
18        (i) Until January 1, 1994, the taxpayer shall be liable
19    for a penalty equal to 1/6 of 1% of the tax due from such
20    taxpayer under this Act during the period to be covered by
21    the annual return for each month or fraction of a month
22    until such return is filed as required, the penalty to be
23    assessed and collected in the same manner as any other
24    penalty provided for in this Act.
25        (ii) On and after January 1, 1994, the taxpayer shall
26    be liable for a penalty as described in Section 3-4 of the

 

 

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1    Uniform Penalty and Interest Act.
2    The chief executive officer, proprietor, owner or highest
3ranking manager shall sign the annual return to certify the
4accuracy of the information contained therein. Any person who
5willfully signs the annual return containing false or
6inaccurate information shall be guilty of perjury and punished
7accordingly. The annual return form prescribed by the
8Department shall include a warning that the person signing the
9return may be liable for perjury.
10    The provisions of this Section concerning the filing of an
11annual information return do not apply to a retailer who is not
12required to file an income tax return with the United States
13Government.
14    As soon as possible after the first day of each month, upon
15certification of the Department of Revenue, the Comptroller
16shall order transferred and the Treasurer shall transfer from
17the General Revenue Fund to the Motor Fuel Tax Fund an amount
18equal to 1.7% of 80% of the net revenue realized under this Act
19for the second preceding month. Beginning April 1, 2000, this
20transfer is no longer required and shall not be made.
21    Net revenue realized for a month shall be the revenue
22collected by the State pursuant to this Act, less the amount
23paid out during that month as refunds to taxpayers for
24overpayment of liability.
25    For greater simplicity of administration, manufacturers,
26importers and wholesalers whose products are sold at retail in

 

 

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1Illinois by numerous retailers, and who wish to do so, may
2assume the responsibility for accounting and paying to the
3Department all tax accruing under this Act with respect to such
4sales, if the retailers who are affected do not make written
5objection to the Department to this arrangement.
6    Any person who promotes, organizes, provides retail
7selling space for concessionaires or other types of sellers at
8the Illinois State Fair, DuQuoin State Fair, county fairs,
9local fairs, art shows, flea markets and similar exhibitions or
10events, including any transient merchant as defined by Section
112 of the Transient Merchant Act of 1987, is required to file a
12report with the Department providing the name of the merchant's
13business, the name of the person or persons engaged in
14merchant's business, the permanent address and Illinois
15Retailers Occupation Tax Registration Number of the merchant,
16the dates and location of the event and other reasonable
17information that the Department may require. The report must be
18filed not later than the 20th day of the month next following
19the month during which the event with retail sales was held.
20Any person who fails to file a report required by this Section
21commits a business offense and is subject to a fine not to
22exceed $250.
23    Any person engaged in the business of selling tangible
24personal property at retail as a concessionaire or other type
25of seller at the Illinois State Fair, county fairs, art shows,
26flea markets and similar exhibitions or events, or any

 

 

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1transient merchants, as defined by Section 2 of the Transient
2Merchant Act of 1987, may be required to make a daily report of
3the amount of such sales to the Department and to make a daily
4payment of the full amount of tax due. The Department shall
5impose this requirement when it finds that there is a
6significant risk of loss of revenue to the State at such an
7exhibition or event. Such a finding shall be based on evidence
8that a substantial number of concessionaires or other sellers
9who are not residents of Illinois will be engaging in the
10business of selling tangible personal property at retail at the
11exhibition or event, or other evidence of a significant risk of
12loss of revenue to the State. The Department shall notify
13concessionaires and other sellers affected by the imposition of
14this requirement. In the absence of notification by the
15Department, the concessionaires and other sellers shall file
16their returns as otherwise required in this Section.
17(Source: P.A. 98-24, eff. 6-19-13; 98-109, eff. 7-25-13;
1898-496, eff. 1-1-14; 98-756, eff. 7-16-14; 98-1098, eff.
198-26-14; 99-352, eff. 8-12-15; 99-858, eff. 8-19-16; 99-933,
20eff. 1-27-17; revised 2-3-17.)
 
21    (35 ILCS 120/5j)  (from Ch. 120, par. 444j)
22    Sec. 5j. If any taxpayer, outside the usual course of his
23business, sells or transfers the major part of any one or more
24of (A) the stock of goods which he is engaged in the business
25of selling, or (B) the furniture or fixtures, (C) the machinery

 

 

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1and equipment, or (D) the real property, of any business that
2is subject to the provisions of this Act, the purchaser or
3transferee of such asset shall, no later than 10 business days
4prior to after the sale or transfer, file a notice of sale or
5transfer of business assets with the Chicago office of the
6Department disclosing the name and address of the seller or
7transferor, the name and address of the purchaser or
8transferee, the date of the sale or transfer, a copy of the
9sales contract and financing agreements which shall include a
10description of the property sold, the amount of the purchase
11price or a statement of other consideration for the sale or
12transfer, the terms for payment of the purchase price, and such
13other information as the Department may reasonably require. If
14the purchaser or transferee fails to file the above described
15notice of sale with the Department within the prescribed time,
16the purchaser or transferee shall be personally liable for the
17amount owed hereunder by the seller or transferor to the
18Department up to the amount of the reasonable value of the
19property acquired by the purchaser or transferee. The seller or
20transferor shall pay the Department the amount of tax, penalty
21and interest (if any) due from him under this Act up to the
22date of the payment of tax. The seller or transferor, or the
23purchaser or transferee, at least 10 business days before the
24date of the sale or transfer, may notify the Department of the
25intended sale or transfer and request the Department to audit
26the books and records of the seller or transferor, or to do

 

 

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1whatever else may be necessary to determine how much the seller
2or transferor owes to the Department hereunder up to the date
3of the sale or transfer. The Department shall take such steps
4as may be appropriate to comply with such request.
5    Any order issued by the Department pursuant to this Section
6to withhold from the purchase price shall be issued within 10
7business days after the Department receives notification of a
8sale as provided in this Section. The purchaser or transferee
9shall withhold such portion of the purchase price as may be
10directed by the Department, but not to exceed a minimum amount
11varying by type of business, as determined by the Department
12pursuant to regulations, plus twice the outstanding unpaid
13liabilities and twice the average liability of preceding
14filings times the number of unfiled returns, to cover the
15amount of all tax, penalty and interest due and unpaid by the
16seller or transferor under this Act or, if the payment of money
17or property is not involved, shall withhold the performance of
18the condition that constitutes the consideration for the sale
19or transfer. Within 60 business days after issuance of the
20initial order to withhold, the Department shall provide written
21notice to the purchaser or transferee of the actual amount of
22all taxes, penalties and interest then due and whether or not
23additional amounts may become due as a result of unfiled
24returns, pending assessments and audits not completed. The
25purchaser or transferee shall continue to withhold the amount
26directed to be withheld by the initial order or such lesser

 

 

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1amount as is specified by the final withholding order or to
2withhold the performance of the condition which constitutes the
3consideration for the sale or transfer until the purchaser or
4transferee receives from the Department a certificate showing
5that such tax, penalty and interest have been paid or a
6certificate from the Department showing that no tax, penalty or
7interest is due from the seller or transferor under this Act.
8    The purchaser or transferee is relieved of any duty to
9continue to withhold from the purchase price and of any
10liability for tax, penalty or interest due hereunder from the
11seller or transferor if the Department fails to notify the
12purchaser or transferee in the manner provided herein of the
13amount to be withheld within 10 business days after the sale or
14transfer has been reported to the Department or within 60
15business days after issuance of the initial order to withhold,
16as the case may be. The Department shall have the right to
17determine amounts claimed on an estimated basis to allow for
18non-filed periods, pending assessments and audits not
19completed, however the purchaser or transferee shall be
20personally liable only for the actual amount due when
21determined.
22    If the seller or transferor fails to pay the tax, penalty
23and interest (if any) due from him hereunder and the Department
24makes timely claim therefor against the purchaser or transferee
25as hereinabove provided, then the purchaser or transferee shall
26pay the amount so withheld from the purchase price to the

 

 

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1Department. If the purchaser or transferee fails to comply with
2the requirements of this Section, the purchaser or transferee
3shall be personally liable to the Department for the amount
4owed hereunder by the seller or transferor to the Department up
5to the amount of the reasonable value of the property acquired
6by the purchaser or transferee.
7    Any person who shall acquire any property or rights thereto
8which, at the time of such acquisition, is subject to a valid
9lien in favor of the Department shall be personally liable to
10the Department for a sum equal to the amount of taxes secured
11by such lien but not to exceed the reasonable value of such
12property acquired by him.
13(Source: P.A. 94-776, eff. 5-19-06.)
 
14    Section 50. The Cigarette Machine Operators' Occupation
15Tax Act is amended by changing Section 1-40 as follows:
 
16    (35 ILCS 128/1-40)
17    Sec. 1-40. Returns.
18    (a) Cigarette machine operators shall file a return and
19remit the tax imposed by Section 1-10 by the 15th day of each
20month covering the preceding calendar month. Each such return
21shall show: the quantity of cigarettes made or fabricated
22during the period covered by the return; the beginning and
23ending meter reading for each cigarette machine for the period
24covered by the return; the quantity of such cigarettes sold or

 

 

SB1285- 148 -LRB100 08067 HLH 18153 b

1otherwise disposed of during the period covered by the return;
2the brand family and manufacturer and quantity of tobacco
3products used to make or fabricate cigarettes by use of a
4cigarette machine; the license number of each distributor from
5whom tobacco products are purchased; the type and quantity of
6cigarette tubes purchased for use in a cigarette machine; the
7type and quantity of cigarette tubes used in a cigarette
8machine; and such other information as the Department may
9require. Such returns shall be filed on forms prescribed and
10furnished by the Department. The Department may promulgate
11rules to require that the cigarette machine operator's return
12be accompanied by appropriate computer-generated magnetic
13media supporting schedule data in the format required by the
14Department, unless, as provided by rule, the Department grants
15an exception upon petition of a cigarette machine operator.
16    Cigarette machine operators shall send a copy of those
17returns, together with supporting schedule data, to the
18Attorney General's Office by the 15th day of each month for the
19period covering the preceding calendar month.
20    (b) Cigarette machine operators may take a credit against
21any tax due under Section 1-10 of this Act for taxes imposed
22and paid under the Tobacco Products Tax Act of 1995 on tobacco
23products sold to a customer and used in a rolling machine
24located at the cigarette machine operator's place of business.
25To be eligible for such credit, the tobacco product must meet
26the requirements of subsection (a) of Section 1-25 of this Act.

 

 

SB1285- 149 -LRB100 08067 HLH 18153 b

1This subsection (b) is exempt from the provisions of Section
21-155 of this Act.
3    (c) If any payment provided for in this Section exceeds the
4cigarette machine operator's liabilities under this Act, as
5shown on an original return, the cigarette machine operator may
6credit such excess payment against liability subsequently to be
7remitted to the Department under this Act, in accordance with
8reasonable rules adopted by the Department.
9(Source: P.A. 97-688, eff. 6-14-12.)
 
10    Section 55. The Cigarette Tax Act is amended by changing
11Section 2 as follows:
 
12    (35 ILCS 130/2)  (from Ch. 120, par. 453.2)
13    Sec. 2. Tax imposed; rate; collection, payment, and
14distribution; discount.
15    (a) A tax is imposed upon any person engaged in business as
16a retailer of cigarettes in this State at the rate of 5 1/2
17mills per cigarette sold, or otherwise disposed of in the
18course of such business in this State. In addition to any other
19tax imposed by this Act, a tax is imposed upon any person
20engaged in business as a retailer of cigarettes in this State
21at a rate of 1/2 mill per cigarette sold or otherwise disposed
22of in the course of such business in this State on and after
23January 1, 1947, and shall be paid into the Metropolitan Fair
24and Exposition Authority Reconstruction Fund or as otherwise

 

 

SB1285- 150 -LRB100 08067 HLH 18153 b

1provided in Section 29. On and after December 1, 1985, in
2addition to any other tax imposed by this Act, a tax is imposed
3upon any person engaged in business as a retailer of cigarettes
4in this State at a rate of 4 mills per cigarette sold or
5otherwise disposed of in the course of such business in this
6State. Of the additional tax imposed by this amendatory Act of
71985, $9,000,000 of the moneys received by the Department of
8Revenue pursuant to this Act shall be paid each month into the
9Common School Fund. On and after the effective date of this
10amendatory Act of 1989, in addition to any other tax imposed by
11this Act, a tax is imposed upon any person engaged in business
12as a retailer of cigarettes at the rate of 5 mills per
13cigarette sold or otherwise disposed of in the course of such
14business in this State. On and after the effective date of this
15amendatory Act of 1993, in addition to any other tax imposed by
16this Act, a tax is imposed upon any person engaged in business
17as a retailer of cigarettes at the rate of 7 mills per
18cigarette sold or otherwise disposed of in the course of such
19business in this State. On and after December 15, 1997, in
20addition to any other tax imposed by this Act, a tax is imposed
21upon any person engaged in business as a retailer of cigarettes
22at the rate of 7 mills per cigarette sold or otherwise disposed
23of in the course of such business of this State. All of the
24moneys received by the Department of Revenue pursuant to this
25Act and the Cigarette Use Tax Act from the additional taxes
26imposed by this amendatory Act of 1997, shall be paid each

 

 

SB1285- 151 -LRB100 08067 HLH 18153 b

1month into the Common School Fund. On and after July 1, 2002,
2in addition to any other tax imposed by this Act, a tax is
3imposed upon any person engaged in business as a retailer of
4cigarettes at the rate of 20.0 mills per cigarette sold or
5otherwise disposed of in the course of such business in this
6State. Beginning on June 24, 2012, in addition to any other tax
7imposed by this Act, a tax is imposed upon any person engaged
8in business as a retailer of cigarettes at the rate of 50 mills
9per cigarette sold or otherwise disposed of in the course of
10such business in this State. All moneys received by the
11Department of Revenue under this Act and the Cigarette Use Tax
12Act from the additional taxes imposed by this amendatory Act of
13the 97th General Assembly shall be paid each month into the
14Healthcare Provider Relief Fund. The payment of such taxes
15shall be evidenced by a stamp affixed to each original package
16of cigarettes, or an authorized substitute for such stamp
17imprinted on each original package of such cigarettes
18underneath the sealed transparent outside wrapper of such
19original package, as hereinafter provided. However, such taxes
20are not imposed upon any activity in such business in
21interstate commerce or otherwise, which activity may not under
22the Constitution and statutes of the United States be made the
23subject of taxation by this State.
24    Beginning on the effective date of this amendatory Act of
25the 92nd General Assembly and through June 30, 2006, all of the
26moneys received by the Department of Revenue pursuant to this

 

 

SB1285- 152 -LRB100 08067 HLH 18153 b

1Act and the Cigarette Use Tax Act, other than the moneys that
2are dedicated to the Common School Fund, shall be distributed
3each month as follows: first, there shall be paid into the
4General Revenue Fund an amount which, when added to the amount
5paid into the Common School Fund for that month, equals
6$33,300,000, except that in the month of August of 2004, this
7amount shall equal $83,300,000; then, from the moneys
8remaining, if any amounts required to be paid into the General
9Revenue Fund in previous months remain unpaid, those amounts
10shall be paid into the General Revenue Fund; then, beginning on
11April 1, 2003, from the moneys remaining, $5,000,000 per month
12shall be paid into the School Infrastructure Fund; then, if any
13amounts required to be paid into the School Infrastructure Fund
14in previous months remain unpaid, those amounts shall be paid
15into the School Infrastructure Fund; then the moneys remaining,
16if any, shall be paid into the Long-Term Care Provider Fund. To
17the extent that more than $25,000,000 has been paid into the
18General Revenue Fund and Common School Fund per month for the
19period of July 1, 1993 through the effective date of this
20amendatory Act of 1994 from combined receipts of the Cigarette
21Tax Act and the Cigarette Use Tax Act, notwithstanding the
22distribution provided in this Section, the Department of
23Revenue is hereby directed to adjust the distribution provided
24in this Section to increase the next monthly payments to the
25Long Term Care Provider Fund by the amount paid to the General
26Revenue Fund and Common School Fund in excess of $25,000,000

 

 

SB1285- 153 -LRB100 08067 HLH 18153 b

1per month and to decrease the next monthly payments to the
2General Revenue Fund and Common School Fund by that same excess
3amount.
4    Beginning on July 1, 2006, all of the moneys received by
5the Department of Revenue pursuant to this Act and the
6Cigarette Use Tax Act, other than the moneys that are dedicated
7to the Common School Fund and, beginning on the effective date
8of this amendatory Act of the 97th General Assembly, other than
9the moneys from the additional taxes imposed by this amendatory
10Act of the 97th General Assembly that must be paid each month
11into the Healthcare Provider Relief Fund, shall be distributed
12each month as follows: first, there shall be paid into the
13General Revenue Fund an amount that, when added to the amount
14paid into the Common School Fund for that month, equals
15$29,200,000; then, from the moneys remaining, if any amounts
16required to be paid into the General Revenue Fund in previous
17months remain unpaid, those amounts shall be paid into the
18General Revenue Fund; then from the moneys remaining,
19$5,000,000 per month shall be paid into the School
20Infrastructure Fund; then, if any amounts required to be paid
21into the School Infrastructure Fund in previous months remain
22unpaid, those amounts shall be paid into the School
23Infrastructure Fund; then the moneys remaining, if any, shall
24be paid into the Long-Term Care Provider Fund.
25    Moneys collected from the tax imposed on little cigars
26under Section 10-10 of the Tobacco Products Tax Act of 1995

 

 

SB1285- 154 -LRB100 08067 HLH 18153 b

1shall be included with the moneys collected under the Cigarette
2Tax Act and the Cigarette Use Tax Act when making distributions
3to the Common School Fund, the Healthcare Provider Relief Fund,
4the General Revenue Fund, the School Infrastructure Fund, and
5the Long-Term Care Provider Fund under this Section.
6    When any tax imposed herein terminates or has terminated,
7distributors who have bought stamps while such tax was in
8effect and who therefore paid such tax, but who can show, to
9the Department's satisfaction, that they sold the cigarettes to
10which they affixed such stamps after such tax had terminated
11and did not recover the tax or its equivalent from purchasers,
12shall be allowed by the Department to take credit for such
13absorbed tax against subsequent tax stamp purchases from the
14Department by such distributor.
15    The impact of the tax levied by this Act is imposed upon
16the retailer and shall be prepaid or pre-collected by the
17distributor for the purpose of convenience and facility only,
18and the amount of the tax shall be added to the price of the
19cigarettes sold by such distributor. Collection of the tax
20shall be evidenced by a stamp or stamps affixed to each
21original package of cigarettes, as hereinafter provided. Any
22distributor who purchases stamps may credit any excess payments
23verified by the Department against amounts subsequently due for
24the purchase of additional stamps, until such time as no excess
25payment remains.
26    Each distributor shall collect the tax from the retailer at

 

 

SB1285- 155 -LRB100 08067 HLH 18153 b

1or before the time of the sale, shall affix the stamps as
2hereinafter required, and shall remit the tax collected from
3retailers to the Department, as hereinafter provided. Any
4distributor who fails to properly collect and pay the tax
5imposed by this Act shall be liable for the tax. Any
6distributor having cigarettes to which stamps have been affixed
7in his possession for sale on the effective date of this
8amendatory Act of 1989 shall not be required to pay the
9additional tax imposed by this amendatory Act of 1989 on such
10stamped cigarettes. Any distributor having cigarettes to which
11stamps have been affixed in his or her possession for sale at
1212:01 a.m. on the effective date of this amendatory Act of
131993, is required to pay the additional tax imposed by this
14amendatory Act of 1993 on such stamped cigarettes. This
15payment, less the discount provided in subsection (b), shall be
16due when the distributor first makes a purchase of cigarette
17tax stamps after the effective date of this amendatory Act of
181993, or on the first due date of a return under this Act after
19the effective date of this amendatory Act of 1993, whichever
20occurs first. Any distributor having cigarettes to which stamps
21have been affixed in his possession for sale on December 15,
221997 shall not be required to pay the additional tax imposed by
23this amendatory Act of 1997 on such stamped cigarettes.
24    Any distributor having cigarettes to which stamps have been
25affixed in his or her possession for sale on July 1, 2002 shall
26not be required to pay the additional tax imposed by this

 

 

SB1285- 156 -LRB100 08067 HLH 18153 b

1amendatory Act of the 92nd General Assembly on those stamped
2cigarettes.
3    Any retailer having cigarettes in his or her possession on
4June 24, 2012 to which tax stamps have been affixed is not
5required to pay the additional tax that begins on June 24, 2012
6imposed by this amendatory Act of the 97th General Assembly on
7those stamped cigarettes. Any distributor having cigarettes in
8his or her possession on June 24, 2012 to which tax stamps have
9been affixed, and any distributor having stamps in his or her
10possession on June 24, 2012 that have not been affixed to
11packages of cigarettes before June 24, 2012, is required to pay
12the additional tax that begins on June 24, 2012 imposed by this
13amendatory Act of the 97th General Assembly to the extent the
14calendar year 2012 average monthly volume of cigarette stamps
15in the distributor's possession exceeds the average monthly
16volume of cigarette stamps purchased by the distributor in
17calendar year 2011. This payment, less the discount provided in
18subsection (b), is due when the distributor first makes a
19purchase of cigarette stamps on or after June 24, 2012 or on
20the first due date of a return under this Act occurring on or
21after June 24, 2012, whichever occurs first. Those distributors
22may elect to pay the additional tax on packages of cigarettes
23to which stamps have been affixed and on any stamps in the
24distributor's possession that have not been affixed to packages
25of cigarettes over a period not to exceed 12 months from the
26due date of the additional tax by notifying the Department in

 

 

SB1285- 157 -LRB100 08067 HLH 18153 b

1writing. The first payment for distributors making such
2election is due when the distributor first makes a purchase of
3cigarette tax stamps on or after June 24, 2012 or on the first
4due date of a return under this Act occurring on or after June
524, 2012, whichever occurs first. Distributors making such an
6election are not entitled to take the discount provided in
7subsection (b) on such payments.
8    Distributors making sales of cigarettes to secondary
9distributors shall add the amount of the tax to the price of
10the cigarettes sold by the distributors. Secondary
11distributors making sales of cigarettes to retailers shall
12include the amount of the tax in the price of the cigarettes
13sold to retailers. The amount of tax shall not be less than the
14amount of taxes imposed by the State and all local
15jurisdictions. The amount of local taxes shall be calculated
16based on the location of the retailer's place of business shown
17on the retailer's certificate of registration or
18sub-registration issued to the retailer pursuant to Section 2a
19of the Retailers' Occupation Tax Act. The original packages of
20cigarettes sold to the retailer shall bear all the required
21stamps, or other indicia, for the taxes included in the price
22of cigarettes.
23    The amount of the Cigarette Tax imposed by this Act shall
24be separately stated, apart from the price of the goods, by
25distributors, manufacturer representatives, secondary
26distributors, and retailers, in all bills and sales invoices.

 

 

SB1285- 158 -LRB100 08067 HLH 18153 b

1    (b) The distributor shall be required to collect the taxes
2provided under paragraph (a) hereof, and, to cover the costs of
3such collection, shall be allowed a discount during any year
4commencing July 1st and ending the following June 30th in
5accordance with the schedule set out hereinbelow, which
6discount shall be allowed at the time of purchase of the stamps
7when purchase is required by this Act, or at the time when the
8tax is remitted to the Department without the purchase of
9stamps from the Department when that method of paying the tax
10is required or authorized by this Act. Prior to December 1,
111985, a discount equal to 1 2/3% of the amount of the tax up to
12and including the first $700,000 paid hereunder by such
13distributor to the Department during any such year; 1 1/3% of
14the next $700,000 of tax or any part thereof, paid hereunder by
15such distributor to the Department during any such year; 1% of
16the next $700,000 of tax, or any part thereof, paid hereunder
17by such distributor to the Department during any such year, and
182/3 of 1% of the amount of any additional tax paid hereunder by
19such distributor to the Department during any such year shall
20apply. On and after December 1, 1985, a discount equal to 1.75%
21of the amount of the tax payable under this Act up to and
22including the first $3,000,000 paid hereunder by such
23distributor to the Department during any such year and 1.5% of
24the amount of any additional tax paid hereunder by such
25distributor to the Department during any such year shall apply.
26    Two or more distributors that use a common means of

 

 

SB1285- 159 -LRB100 08067 HLH 18153 b

1affixing revenue tax stamps or that are owned or controlled by
2the same interests shall be treated as a single distributor for
3the purpose of computing the discount.
4    (c) The taxes herein imposed are in addition to all other
5occupation or privilege taxes imposed by the State of Illinois,
6or by any political subdivision thereof, or by any municipal
7corporation.
8(Source: P.A. 97-587, eff. 8-26-11; 97-688, eff. 6-14-12;
998-273, eff. 8-9-13.)
 
10    Section 60. The Cigarette Use Tax Act is amended by
11changing Section 3 as follows:
 
12    (35 ILCS 135/3)  (from Ch. 120, par. 453.33)
13    Sec. 3. Stamp payment. The tax hereby imposed shall be
14collected by a distributor maintaining a place of business in
15this State or a distributor authorized by the Department
16pursuant to Section 7 hereof to collect the tax, and the amount
17of the tax shall be added to the price of the cigarettes sold
18by such distributor. Collection of the tax shall be evidenced
19by a stamp or stamps affixed to each original package of
20cigarettes or by an authorized substitute for such stamp
21imprinted on each original package of such cigarettes
22underneath the sealed transparent outside wrapper of such
23original package, except as hereinafter provided. Each
24distributor who is required or authorized to collect the tax

 

 

SB1285- 160 -LRB100 08067 HLH 18153 b

1herein imposed, before delivering or causing to be delivered
2any original packages of cigarettes in this State to any
3purchaser, shall firmly affix a proper stamp or stamps to each
4such package, or (in the case of manufacturers of cigarettes in
5original packages which are contained inside a sealed
6transparent wrapper) shall imprint the required language on the
7original package of cigarettes beneath such outside wrapper as
8hereinafter provided. Such stamp or stamps need not be affixed
9to the original package of any cigarettes with respect to which
10the distributor is required to affix a like stamp or stamps by
11virtue of the Cigarette Tax Act, however, and no tax imprint
12need be placed underneath the sealed transparent wrapper of an
13original package of cigarettes with respect to which the
14distributor is required or authorized to employ a like tax
15imprint by virtue of the Cigarette Tax Act. Any distributor who
16purchases stamps may credit any excess payments verified by the
17Department against amounts subsequently due for the purchase of
18additional stamps, until such time as no excess payment
19remains.
20    No stamp or imprint may be affixed to, or made upon, any
21package of cigarettes unless that package complies with all
22requirements of the federal Cigarette Labeling and Advertising
23Act, 15 U.S.C. 1331 and following, for the placement of labels,
24warnings, or any other information upon a package of cigarettes
25that is sold within the United States. Under the authority of
26Section 6, the Department shall revoke the license of any

 

 

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1distributor that is determined to have violated this paragraph.
2A person may not affix a stamp on a package of cigarettes,
3cigarette papers, wrappers, or tubes if that individual package
4has been marked for export outside the United States with a
5label or notice in compliance with Section 290.185 of Title 27
6of the Code of Federal Regulations. It is not a defense to a
7proceeding for violation of this paragraph that the label or
8notice has been removed, mutilated, obliterated, or altered in
9any manner.
10    Only distributors licensed under this Act and
11transporters, as defined in Section 9c of the Cigarette Tax
12Act, may possess unstamped original packages of cigarettes.
13Prior to shipment to an Illinois retailer or secondary
14distributor, a stamp shall be applied to each original package
15of cigarettes sold to the retailer or secondary distributor. A
16distributor may apply a tax stamp only to an original package
17of cigarettes purchased or obtained directly from an in-state
18maker, manufacturer, or fabricator licensed as a distributor
19under Section 4 of this Act or an out-of-state maker,
20manufacturer, or fabricator holding a permit under Section 7 of
21this Act. A licensed distributor may ship or otherwise cause to
22be delivered unstamped original packages of cigarettes in,
23into, or from this State. A licensed distributor may transport
24unstamped original packages of cigarettes to a facility,
25wherever located, owned or controlled by such distributor;
26however, a distributor may not transport unstamped original

 

 

SB1285- 162 -LRB100 08067 HLH 18153 b

1packages of cigarettes to a facility where retail sales of
2cigarettes take place or to a facility where a secondary
3distributor makes sales for resale. Any licensed distributor
4that ships or otherwise causes to be delivered unstamped
5original packages of cigarettes into, within, or from this
6State shall ensure that the invoice or equivalent documentation
7and the bill of lading or freight bill for the shipment
8identifies the true name and address of the consignor or
9seller, the true name and address of the consignee or
10purchaser, and the quantity by brand style of the cigarettes so
11transported, provided that this Section shall not be construed
12as to impose any requirement or liability upon any common or
13contract carrier.
14    Distributors making sales of cigarettes to secondary
15distributors shall add the amount of the tax to the price of
16the cigarettes sold by the distributors. Secondary
17distributors making sales of cigarettes to retailers shall
18include the amount of the tax in the price of the cigarettes
19sold to retailers. The amount of tax shall not be less than the
20amount of taxes imposed by the State and all local
21jurisdictions. The amount of local taxes shall be calculated
22based on the location of the retailer's place of business shown
23on the retailer's certificate of registration or
24sub-registration issued to the retailer pursuant to Section 2a
25of the Retailers' Occupation Tax Act. The original packages of
26cigarettes sold by the retailer shall bear all the required

 

 

SB1285- 163 -LRB100 08067 HLH 18153 b

1stamps, or other indicia, for the taxes included in the price
2of cigarettes.
3    Stamps, when required hereunder, shall be purchased from
4the Department, or any person authorized by the Department, by
5distributors. On and after July 1, 2003, payment for such
6stamps must be made by means of electronic funds transfer. The
7Department may refuse to sell stamps to any person who does not
8comply with the provisions of this Act. Beginning on June 6,
92002 and through June 30, 2002, persons holding valid licenses
10as distributors may purchase cigarette tax stamps up to an
11amount equal to 115% of the distributor's average monthly
12cigarette tax stamp purchases over the 12 calendar months prior
13to June 6, 2002.
14    Prior to December 1, 1985, the Department shall allow a
15distributor 21 days in which to make final payment of the
16amount to be paid for such stamps, by allowing the distributor
17to make payment for the stamps at the time of purchasing them
18with a draft which shall be in such form as the Department
19prescribes, and which shall be payable within 21 days
20thereafter: Provided that such distributor has filed with the
21Department, and has received the Department's approval of, a
22bond, which is in addition to the bond required under Section 4
23of this Act, payable to the Department in an amount equal to
2480% of such distributor's average monthly tax liability to the
25Department under this Act during the preceding calendar year or
26$500,000, whichever is less. The bond shall be joint and

 

 

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1several and shall be in the form of a surety company bond in
2such form as the Department prescribes, or it may be in the
3form of a bank certificate of deposit or bank letter of credit.
4The bond shall be conditioned upon the distributor's payment of
5the amount of any 21-day draft which the Department accepts
6from that distributor for the delivery of stamps to that
7distributor under this Act. The distributor's failure to pay
8any such draft, when due, shall also make such distributor
9automatically liable to the Department for a penalty equal to
1025% of the amount of such draft.
11    On and after December 1, 1985 and until July 1, 2003, the
12Department shall allow a distributor 30 days in which to make
13final payment of the amount to be paid for such stamps, by
14allowing the distributor to make payment for the stamps at the
15time of purchasing them with a draft which shall be in such
16form as the Department prescribes, and which shall be payable
17within 30 days thereafter, and beginning on January 1, 2003 and
18thereafter, the draft shall be payable by means of electronic
19funds transfer: Provided that such distributor has filed with
20the Department, and has received the Department's approval of,
21a bond, which is in addition to the bond required under Section
224 of this Act, payable to the Department in an amount equal to
23150% of such distributor's average monthly tax liability to the
24Department under this Act during the preceding calendar year or
25$750,000, whichever is less, except that as to bonds filed on
26or after January 1, 1987, such additional bond shall be in an

 

 

SB1285- 165 -LRB100 08067 HLH 18153 b

1amount equal to 100% of such distributor's average monthly tax
2liability under this Act during the preceding calendar year or
3$750,000, whichever is less. The bond shall be joint and
4several and shall be in the form of a surety company bond in
5such form as the Department prescribes, or it may be in the
6form of a bank certificate of deposit or bank letter of credit.
7The bond shall be conditioned upon the distributor's payment of
8the amount of any 30-day draft which the Department accepts
9from that distributor for the delivery of stamps to that
10distributor under this Act. The distributor's failure to pay
11any such draft, when due, shall also make such distributor
12automatically liable to the Department for a penalty equal to
1325% of the amount of such draft.
14    Every prior continuous compliance taxpayer shall be exempt
15from all requirements under this Section concerning the
16furnishing of such bond, as defined in this Section, as a
17condition precedent to his being authorized to engage in the
18business licensed under this Act. This exemption shall continue
19for each such taxpayer until such time as he may be determined
20by the Department to be delinquent in the filing of any
21returns, or is determined by the Department (either through the
22Department's issuance of a final assessment which has become
23final under the Act, or by the taxpayer's filing of a return
24which admits tax to be due that is not paid) to be delinquent
25or deficient in the paying of any tax under this Act, at which
26time that taxpayer shall become subject to the bond

 

 

SB1285- 166 -LRB100 08067 HLH 18153 b

1requirements of this Section and, as a condition of being
2allowed to continue to engage in the business licensed under
3this Act, shall be required to furnish bond to the Department
4in such form as provided in this Section. Such taxpayer shall
5furnish such bond for a period of 2 years, after which, if the
6taxpayer has not been delinquent in the filing of any returns,
7or delinquent or deficient in the paying of any tax under this
8Act, the Department may reinstate such person as a prior
9continuance compliance taxpayer. Any taxpayer who fails to pay
10an admitted or established liability under this Act may also be
11required to post bond or other acceptable security with the
12Department guaranteeing the payment of such admitted or
13established liability.
14    Except as otherwise provided in this Section, any person
15aggrieved by any decision of the Department under this Section
16may, within the time allowed by law, protest and request a
17hearing before the Department, whereupon the Department shall
18give notice and shall hold a hearing in conformity with the
19provisions of this Act and then issue its final administrative
20decision in the matter to such person. Effective July 1, 2013,
21protests concerning matters that are subject to the
22jurisdiction of the Illinois Independent Tax Tribunal shall be
23filed in accordance with the Illinois Independent Tax Tribunal
24Act of 2012, and hearings concerning those matters shall be
25held before the Tribunal in accordance with that Act. With
26respect to protests filed with the Department prior to July 1,

 

 

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12013 that would otherwise be subject to the jurisdiction of the
2Illinois Independent Tax Tribunal, the person filing the
3protest may elect to be subject to the provisions of the
4Illinois Independent Tax Tribunal Act of 2012 at any time on or
5after July 1, 2013, but not later than 30 days after the date
6on which the protest was filed. If made, the election shall be
7irrevocable. In the absence of such a protest filed within the
8time allowed by law, the Department's decision shall become
9final without any further determination being made or notice
10given.
11    The Department shall discharge any surety and shall release
12and return any bond or security deposited, assigned, pledged,
13or otherwise provided to it by a taxpayer under this Section
14within 30 days after:
15        (1) such Taxpayer becomes a prior continuous
16    compliance taxpayer; or
17        (2) such taxpayer has ceased to collect receipts on
18    which he is required to remit tax to the Department, has
19    filed a final tax return, and has paid to the Department an
20    amount sufficient to discharge his remaining tax liability
21    as determined by the Department under this Act. The
22    Department shall make a final determination of the
23    taxpayer's outstanding tax liability as expeditiously as
24    possible after his final tax return has been filed. If the
25    Department cannot make such final determination within 45
26    days after receiving the final tax return, within such

 

 

SB1285- 168 -LRB100 08067 HLH 18153 b

1    period it shall so notify the taxpayer, stating its reasons
2    therefor.
3    At the time of purchasing such stamps from the Department
4when purchase is required by this Act, or at the time when the
5tax which he has collected is remitted by a distributor to the
6Department without the purchase of stamps from the Department
7when that method of remitting the tax that has been collected
8is required or authorized by this Act, the distributor shall be
9allowed a discount during any year commencing July 1 and ending
10the following June 30 in accordance with the schedule set out
11hereinbelow, from the amount to be paid by him to the
12Department for such stamps, or to be paid by him to the
13Department on the basis of monthly remittances (as the case may
14be), to cover the cost, to such distributor, of collecting the
15tax herein imposed by affixing such stamps to the original
16packages of cigarettes sold by such distributor or by placing
17tax imprints underneath the sealed transparent wrapper of
18original packages of cigarettes sold by such distributor (as
19the case may be): (1) Prior to December 1, 1985, a discount
20equal to 1-2/3% of the amount of the tax up to and including
21the first $700,000 paid hereunder by such distributor to the
22Department during any such year; 1-1/3% of the next $700,000 of
23tax or any part thereof, paid hereunder by such distributor to
24the Department during any such year; 1% of the next $700,000 of
25tax, or any part thereof, paid hereunder by such distributor to
26the Department during any such year; and 2/3 of 1% of the

 

 

SB1285- 169 -LRB100 08067 HLH 18153 b

1amount of any additional tax paid hereunder by such distributor
2to the Department during any such year or (2) On and after
3December 1, 1985, a discount equal to 1.75% of the amount of
4the tax payable under this Act up to and including the first
5$3,000,000 paid hereunder by such distributor to the Department
6during any such year and 1.5% of the amount of any additional
7tax paid hereunder by such distributor to the Department during
8any such year.
9    Two or more distributors that use a common means of
10affixing revenue tax stamps or that are owned or controlled by
11the same interests shall be treated as a single distributor for
12the purpose of computing the discount.
13    Cigarette manufacturers who are distributors under Section
147(a) of this Act, and who place their cigarettes in original
15packages which are contained inside a sealed transparent
16wrapper, shall be required to remit the tax which they are
17required to collect under this Act to the Department by
18remitting the amount thereof to the Department by the 5th day
19of each month, covering cigarettes shipped or otherwise
20delivered to points in Illinois to purchasers during the
21preceding calendar month, but a distributor need not remit to
22the Department the tax so collected by him from purchasers
23under this Act to the extent to which such distributor is
24required to remit the tax imposed by the Cigarette Tax Act to
25the Department with respect to the same cigarettes. All taxes
26upon cigarettes under this Act are a direct tax upon the retail

 

 

SB1285- 170 -LRB100 08067 HLH 18153 b

1consumer and shall conclusively be presumed to be precollected
2for the purpose of convenience and facility only. Cigarette
3manufacturers that are distributors licensed under Section
47(a) of this Act and who place their cigarettes in original
5packages which are contained inside a sealed transparent
6wrapper, before delivering such cigarettes or causing such
7cigarettes to be delivered in this State to purchasers, shall
8evidence their obligation to collect and remit the tax due with
9respect to such cigarettes by imprinting language to be
10prescribed by the Department on each original package of such
11cigarettes underneath the sealed transparent outside wrapper
12of such original package, in such place thereon and in such
13manner as the Department may prescribe; provided (as stated
14hereinbefore) that this requirement does not apply when such
15distributor is required or authorized by the Cigarette Tax Act
16to place the tax imprint provided for in the last paragraph of
17Section 3 of that Act underneath the sealed transparent wrapper
18of such original package of cigarettes. Such imprinted language
19shall acknowledge the manufacturer's collection and payment of
20or liability for the tax imposed by this Act with respect to
21such cigarettes.
22    The Department shall adopt the design or designs of the tax
23stamps and shall procure the printing of such stamps in such
24amounts and denominations as it deems necessary to provide for
25the affixation of the proper amount of tax stamps to each
26original package of cigarettes.

 

 

SB1285- 171 -LRB100 08067 HLH 18153 b

1    Where tax stamps are required, the Department may authorize
2distributors to affix revenue tax stamps by imprinting tax
3meter stamps upon original packages of cigarettes. The
4Department shall adopt rules and regulations relating to the
5imprinting of such tax meter stamps as will result in payment
6of the proper taxes as herein imposed. No distributor may affix
7revenue tax stamps to original packages of cigarettes by
8imprinting meter stamps thereon unless such distributor has
9first obtained permission from the Department to employ this
10method of affixation. The Department shall regulate the use of
11tax meters and may, to assure the proper collection of the
12taxes imposed by this Act, revoke or suspend the privilege,
13theretofore granted by the Department to any distributor, to
14imprint tax meter stamps upon original packages of cigarettes.
15    The tax hereby imposed and not paid pursuant to this
16Section shall be paid to the Department directly by any person
17using such cigarettes within this State, pursuant to Section 12
18hereof.
19    A distributor shall not affix, or cause to be affixed, any
20stamp or imprint to a package of cigarettes, as provided for in
21this Section, if the tobacco product manufacturer, as defined
22in Section 10 of the Tobacco Product Manufacturers' Escrow Act,
23that made or sold the cigarettes has failed to become a
24participating manufacturer, as defined in subdivision (a)(1)
25of Section 15 of the Tobacco Product Manufacturers' Escrow Act,
26or has failed to create a qualified escrow fund for any

 

 

SB1285- 172 -LRB100 08067 HLH 18153 b

1cigarettes manufactured by the tobacco product manufacturer
2and sold in this State or otherwise failed to bring itself into
3compliance with subdivision (a)(2) of Section 15 of the Tobacco
4Product Manufacturers' Escrow Act.
5(Source: P.A. 96-782, eff. 1-1-10; 96-1027, eff. 7-12-10;
697-1129, eff. 8-28-12.)
 
7    Section 65. The Tobacco Products Tax Act of 1995 is amended
8by changing Section 10-30 as follows:
 
9    (35 ILCS 143/10-30)
10    Sec. 10-30. Returns.
11    (a) Every distributor shall, on or before the 15th day of
12each month, file a return with the Department covering the
13preceding calendar month. The return shall disclose the
14wholesale price for all tobacco products other than moist snuff
15and the quantity in ounces of moist snuff sold or otherwise
16disposed of and other information that the Department may
17reasonably require. The return shall be filed upon a form
18prescribed and furnished by the Department.
19    (b) In addition to the information required under
20subsection (a), on or before the 15th day of each month,
21covering the preceding calendar month, each stamping
22distributor shall, on forms prescribed and furnished by the
23Department, report the quantity of little cigars sold or
24otherwise disposed of, including the number of packages of

 

 

SB1285- 173 -LRB100 08067 HLH 18153 b

1little cigars sold or disposed of during the month containing
220 or 25 little cigars.
3    (c) At the time when any return of any distributor is due
4to be filed with the Department, the distributor shall also
5remit to the Department the tax liability that the distributor
6has incurred for transactions occurring in the preceding
7calendar month.
8    (d) The Department may adopt rules to require the
9electronic filing of any return or document required to be
10filed under this Act. Those rules may provide for exceptions
11from the filing requirement set forth in this paragraph for
12persons who demonstrate that they do not have access to the
13Internet and petition the Department to waive the electronic
14filing requirement.
15    (e) If any payment provided for in this Section exceeds the
16distributor's liabilities under this Act, as shown on an
17original return, the distributor may credit such excess payment
18against liability subsequently to be remitted to the Department
19under this Act, in accordance with reasonable rules adopted by
20the Department.
21(Source: P.A. 97-688, eff. 6-14-12; 98-273, eff. 8-9-13.)
 
22    Section 70. The Hotel Operators' Occupation Tax Act is
23amended by changing Section 6 as follows:
 
24    (35 ILCS 145/6)  (from Ch. 120, par. 481b.36)

 

 

SB1285- 174 -LRB100 08067 HLH 18153 b

1    Sec. 6. Except as provided hereinafter in this Section, on
2or before the last day of each calendar month, every person
3engaged in the business of renting, leasing or letting rooms in
4a hotel in this State during the preceding calendar month shall
5file a return with the Department, stating:
6        1. The name of the operator;
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 renting,
11    leasing or letting rooms in a hotel in this State;
12        3. Total amount of rental receipts received by him
13    during the preceding calendar month from renting, leasing
14    or letting rooms during such preceding calendar month;
15        4. Total amount of rental receipts received by him
16    during the preceding calendar month from renting, leasing
17    or letting rooms to permanent residents during such
18    preceding calendar month;
19        5. Total amount of other exclusions from gross rental
20    receipts allowed by this Act;
21        6. Gross rental receipts which were received by him
22    during the preceding calendar month and upon the basis of
23    which the tax is imposed;
24        7. The amount of tax due;
25        8. Such other reasonable information as the Department
26    may require.

 

 

SB1285- 175 -LRB100 08067 HLH 18153 b

1    If the operator's average monthly tax liability to the
2Department does not exceed $200, the Department may authorize
3his returns to be filed on a quarter annual basis, with the
4return for January, February and March of a given year being
5due by April 30 of such year; with the return for April, May
6and June of a given year being due by July 31 of such year; with
7the return for July, August and September of a given year being
8due by October 31 of such year, and with the return for
9October, November and December of a given year being due by
10January 31 of the following year.
11    If the operator's average monthly tax liability to the
12Department does not exceed $50, the Department may authorize
13his returns to be filed on an annual basis, with the return for
14a given year being due by January 31 of the following year.
15    Such quarter annual and annual returns, as to form and
16substance, shall be subject to the same requirements as monthly
17returns.
18    Notwithstanding any other provision in this Act concerning
19the time within which an operator may file his return, in the
20case of any operator who ceases to engage in a kind of business
21which makes him responsible for filing returns under this Act,
22such operator shall file a final return under this Act with the
23Department not more than 1 month after discontinuing such
24business.
25    Where the same person has more than 1 business registered
26with the Department under separate registrations under this

 

 

SB1285- 176 -LRB100 08067 HLH 18153 b

1Act, such person shall not file each return that is due as a
2single return covering all such registered businesses, but
3shall file separate returns for each such registered business.
4    In his return, the operator shall determine the value of
5any consideration other than money received by him in
6connection with the renting, leasing or letting of rooms in the
7course of his business and he shall include such value in his
8return. Such determination shall be subject to review and
9revision by the Department in the manner hereinafter provided
10for the correction of returns.
11    Where the operator is a corporation, the return filed on
12behalf of such corporation shall be signed by the president,
13vice-president, secretary or treasurer or by the properly
14accredited agent of such corporation.
15    The person filing the return herein provided for shall, at
16the time of filing such return, pay to the Department the
17amount of tax herein imposed. The operator filing the return
18under this Section shall, at the time of filing such return,
19pay to the Department the amount of tax imposed by this Act
20less a discount of 2.1% or $25 per calendar year, whichever is
21greater, which is allowed to reimburse the operator for the
22expenses incurred in keeping records, preparing and filing
23returns, remitting the tax and supplying data to the Department
24on request.
25    If any payment provided for in this Section exceeds the
26operator's liabilities under this Act, as shown on an original

 

 

SB1285- 177 -LRB100 08067 HLH 18153 b

1return, the Department may authorize the operator to credit
2such excess payment against liability subsequently to be
3remitted to the Department under this Act, in accordance with
4reasonable rules adopted by the Department. If the Department
5subsequently determines that all or any part of the credit
6taken was not actually due to the operator, the operator's
7discount shall be reduced by an amount equal to the difference
8between the discount as applied to the credit taken and that
9actually due, and that operator shall be liable for penalties
10and interest on such difference.
11    There shall be deposited in the Build Illinois Fund in the
12State Treasury for each State fiscal year 40% of the amount of
13total net proceeds from the tax imposed by subsection (a) of
14Section 3. Of the remaining 60%, $5,000,000 shall be deposited
15in the Illinois Sports Facilities Fund and credited to the
16Subsidy Account each fiscal year by making monthly deposits in
17the amount of 1/8 of $5,000,000 plus cumulative deficiencies in
18such deposits for prior months, and an additional $8,000,000
19shall be deposited in the Illinois Sports Facilities Fund and
20credited to the Advance Account each fiscal year by making
21monthly deposits in the amount of 1/8 of $8,000,000 plus any
22cumulative deficiencies in such deposits for prior months;
23provided, that for fiscal years ending after June 30, 2001, the
24amount to be so deposited into the Illinois Sports Facilities
25Fund and credited to the Advance Account each fiscal year shall
26be increased from $8,000,000 to the then applicable Advance

 

 

SB1285- 178 -LRB100 08067 HLH 18153 b

1Amount and the required monthly deposits beginning with July
22001 shall be in the amount of 1/8 of the then applicable
3Advance Amount plus any cumulative deficiencies in those
4deposits for prior months. (The deposits of the additional
5$8,000,000 or the then applicable Advance Amount, as
6applicable, during each fiscal year shall be treated as
7advances of funds to the Illinois Sports Facilities Authority
8for its corporate purposes to the extent paid to the Authority
9or its trustee and shall be repaid into the General Revenue
10Fund in the State Treasury by the State Treasurer on behalf of
11the Authority pursuant to Section 19 of the Illinois Sports
12Facilities Authority Act, as amended. If in any fiscal year the
13full amount of the then applicable Advance Amount is not repaid
14into the General Revenue Fund, then the deficiency shall be
15paid from the amount in the Local Government Distributive Fund
16that would otherwise be allocated to the City of Chicago under
17the State Revenue Sharing Act.)
18    For purposes of the foregoing paragraph, the term "Advance
19Amount" means, for fiscal year 2002, $22,179,000, and for
20subsequent fiscal years through fiscal year 2032, 105.615% of
21the Advance Amount for the immediately preceding fiscal year,
22rounded up to the nearest $1,000.
23    Of the remaining 60% of the amount of total net proceeds
24prior to August 1, 2011 from the tax imposed by subsection (a)
25of Section 3 after all required deposits in the Illinois Sports
26Facilities Fund, the amount equal to 8% of the net revenue

 

 

SB1285- 179 -LRB100 08067 HLH 18153 b

1realized from this Act plus an amount equal to 8% of the net
2revenue realized from any tax imposed under Section 4.05 of the
3Chicago World's Fair-1992 Authority Act during the preceding
4month shall be deposited in the Local Tourism Fund each month
5for purposes authorized by Section 605-705 of the Department of
6Commerce and Economic Opportunity Law (20 ILCS 605/605-705). Of
7the remaining 60% of the amount of total net proceeds beginning
8on August 1, 2011 from the tax imposed by subsection (a) of
9Section 3 after all required deposits in the Illinois Sports
10Facilities Fund, an amount equal to 8% of the net revenue
11realized from this Act plus an amount equal to 8% of the net
12revenue realized from any tax imposed under Section 4.05 of the
13Chicago World's Fair-1992 Authority Act during the preceding
14month shall be deposited as follows: 18% of such amount shall
15be deposited into the Chicago Travel Industry Promotion Fund
16for the purposes described in subsection (n) of Section 5 of
17the Metropolitan Pier and Exposition Authority Act and the
18remaining 82% of such amount shall be deposited into the Local
19Tourism Fund each month for purposes authorized by Section
20605-705 of the Department of Commerce and Economic Opportunity
21Law. Beginning on August 1, 1999 and ending on July 31, 2011,
22an amount equal to 4.5% of the net revenue realized from the
23Hotel Operators' Occupation Tax Act during the preceding month
24shall be deposited into the International Tourism Fund for the
25purposes authorized in Section 605-707 of the Department of
26Commerce and Economic Opportunity Law. Beginning on August 1,

 

 

SB1285- 180 -LRB100 08067 HLH 18153 b

12011, an amount equal to 4.5% of the net revenue realized from
2this Act during the preceding month shall be deposited as
3follows: 55% of such amount shall be deposited into the Chicago
4Travel Industry Promotion Fund for the purposes described in
5subsection (n) of Section 5 of the Metropolitan Pier and
6Exposition Authority Act and the remaining 45% of such amount
7deposited into the International Tourism Fund for the purposes
8authorized in Section 605-707 of the Department of Commerce and
9Economic Opportunity Law. "Net revenue realized for a month"
10means the revenue collected by the State under that Act during
11the previous month less the amount paid out during that same
12month as refunds to taxpayers for overpayment of liability
13under that Act.
14    After making all these deposits, all other proceeds of the
15tax imposed under subsection (a) of Section 3 shall be
16deposited in the General Revenue Fund in the State Treasury.
17All moneys received by the Department from the additional tax
18imposed under subsection (b) of Section 3 shall be deposited
19into the Build Illinois Fund in the State Treasury.
20    The Department may, upon separate written notice to a
21taxpayer, require the taxpayer to prepare and file with the
22Department on a form prescribed by the Department within not
23less than 60 days after receipt of the notice an annual
24information return for the tax year specified in the notice.
25Such annual return to the Department shall include a statement
26of gross receipts as shown by the operator's last State income

 

 

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1tax return. If the total receipts of the business as reported
2in the State income tax return do not agree with the gross
3receipts reported to the Department for the same period, the
4operator shall attach to his annual information return a
5schedule showing a reconciliation of the 2 amounts and the
6reasons for the difference. The operator's annual information
7return to the Department shall also disclose pay roll
8information of the operator's business during the year covered
9by such return and any additional reasonable information which
10the Department deems would be helpful in determining the
11accuracy of the monthly, quarterly or annual tax returns by
12such operator as hereinbefore provided for in this Section.
13    If the annual information return required by this Section
14is not filed when and as required the taxpayer shall be liable
15for a penalty in an amount determined in accordance with
16Section 3-4 of the Uniform Penalty and Interest Act until such
17return is filed as required, the penalty to be assessed and
18collected in the same manner as any other penalty provided for
19in this Act.
20    The chief executive officer, proprietor, owner or highest
21ranking manager shall sign the annual return to certify the
22accuracy of the information contained therein. Any person who
23willfully signs the annual return containing false or
24inaccurate information shall be guilty of perjury and punished
25accordingly. The annual return form prescribed by the
26Department shall include a warning that the person signing the

 

 

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1return may be liable for perjury.
2    The foregoing portion of this Section concerning the filing
3of an annual information return shall not apply to an operator
4who is not required to file an income tax return with the
5United States Government.
6(Source: P.A. 97-617, eff. 10-26-11.)
 
7    Section 75. The Live Adult Entertainment Facility
8Surcharge Act is amended by changing Section 10 as follows:
 
9    (35 ILCS 175/10)
10    Sec. 10. Surcharge imposed; returns.
11    (a) An annual surcharge is imposed upon each operator who
12operates a live adult entertainment facility in this State. By
13January 20, 2014, and by January 20 of each year thereafter,
14each operator shall elect to pay the surcharge according to
15either item (1) or item (2) of this subsection.
16        (1) An operator who elects to be subject to this item
17    (1) shall pay to the Department a surcharge imposed upon
18    admissions to a live adult entertainment facility operated
19    by the operator in this State in an amount equal to $3 per
20    person admitted to that live adult entertainment facility.
21    This item (1) does not require a live entertainment
22    facility to impose a fee on a customer of the facility. An
23    operator has the discretion to determine the manner in
24    which the facility derives the moneys required to pay the

 

 

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1    surcharge imposed under this Section. In the event that an
2    operator has not filed the applicable returns under the
3    Retailers' Occupation Tax Act for a full calendar year
4    prior to any January 20, then such operator shall pay the
5    surcharge under this Act pursuant to this item (1) for
6    moneys owed to the Department subject to this Act for the
7    previous calendar year.
8        (2) An operator may, in the alternative, pay to the
9    Department the surcharge as follows:
10            (A) If the gross receipts received by the live
11        adult entertainment facility during the preceding
12        calendar year, upon the basis of which a tax is imposed
13        under Section 2 of the Retailers' Occupation Tax Act,
14        are equal or greater than $2,000,000 during the
15        preceding calendar year, and if the operator elects to
16        be subject to this item (2), then the operator shall
17        pay the Department a surcharge of $25,000.
18            (B) If the gross receipts received by the live
19        adult entertainment facility during the preceding
20        calendar year, upon the basis of which a tax is imposed
21        under Section 2 of the Retailers' Occupation Tax Act,
22        are equal to or greater than $500,000 but less than
23        $2,000,000 during the preceding calendar year, and if
24        the operator elects to be subject to this item (2),
25        then the operator shall pay to the Department a
26        surcharge of $15,000.

 

 

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1            (C) If the gross receipts received by the live
2        adult entertainment facility during the preceding
3        calendar year, upon the basis of which a tax is imposed
4        under Section 2 of the Retailers' Occupation Tax Act,
5        are less than $500,000 during the preceding calendar
6        year, and if the operator elects to be subject to this
7        item (2), then the operator shall pay the Department a
8        surcharge of $5,000.
9    (b) For each live adult entertainment facility paying the
10surcharge as set forth in item (1) of subsection (a) of this
11Section, the operator must file a return electronically as
12provided by the Department and remit payment to the Department
13on an annual basis no later than January 20 covering the
14previous calendar year. Each return made to the Department must
15state the following:
16        (1) the name of the operator;
17        (2) the address of the live adult entertainment
18    facility and the address of the principal place of business
19    (if that is a different address) of the operator;
20        (3) the total number of admissions to the facility in
21    the preceding calendar year; and
22        (4) the total amount of surcharge collected in the
23    preceding calendar year.
24    Notwithstanding any other provision of this subsection
25concerning the time within which an operator may file his or
26her return, if an operator ceases to operate a live adult

 

 

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

 

 

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1    (d) Beginning January 1, 2014, the Department shall pay all
2proceeds collected from the surcharge imposed under this Act
3into the Sexual Assault Services and Prevention Fund, less 2%
4of those proceeds, which shall be paid into the Tax Compliance
5and Administration Fund in the State treasury from which it
6shall be appropriated to the Department to cover the costs of
7the Department in administering and enforcing the provisions of
8this Act.
9    (e) If any payment provided for in this Section exceeds the
10operator's liabilities under this Act, as shown on an original
11return, the operator may credit such excess payment against
12liability subsequently to be remitted to the Department under
13this Act, in accordance with reasonable rules adopted by the
14Department.
15(Source: P.A. 97-1035, eff. 1-1-13.)
 
16    Section 80. The Property Tax Code is amended by changing
17Sections 8-35, 17-20, and 17-40 as follows:
 
18    (35 ILCS 200/8-35)
19    Sec. 8-35. Notification requirements; procedure on
20protest.
21    (a) Assessments made by the Department. Upon completion of
22its original assessments, the Department shall publish a
23complete list of the assessments on its website. in the State
24"official newspaper." Any person feeling aggrieved by any such

 

 

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1assessment may, within 10 days of the date of publication of
2the list, apply to the Department for a review and correction
3of that assessment. Upon review of the assessment, the
4Department shall make any correction as it considers just.
5    If review of an assessment has been made and notice has
6been given of the Department's decision, any party to the
7proceeding who feels aggrieved by the decision, may file an
8application for hearing. The application shall be in writing
9and shall be filed with the Department within 20 days after
10notice of the decision has been given by certified mail.
11Petitions for hearing shall state concisely the mistakes
12alleged to have been made or the new evidence to be presented.
13    No action for the judicial review of any assessment
14decision of the Department shall be allowed unless the party
15commencing such action has filed an application for a hearing
16and the Department has acted upon the application.
17    The extension of taxes on an assessment shall not be
18delayed by any proceeding under this Section. In cases where
19the assessment is revised, the taxes extended upon the
20assessment, or that part of the taxes as may be appropriate,
21shall be abated or, if already paid, refunded.
22    (b) Exemption decisions made by the Department. Notice of
23each exemption decision made by the Department under Section
2415-25, 16-70, or 16-130 shall be given by certified mail to the
25applicant for exemption.
26    If an exemption decision has been made by the Department

 

 

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1and notice has been given of the Department's decision, any
2party to the proceeding who feels aggrieved by the decision may
3file an application for hearing. The application shall be in
4writing and shall be filed with the Department within 60 days
5after notice of the decision has been given by certified mail.
6Petitions for hearing shall state concisely the mistakes
7alleged to have been made or the new evidence to be presented.
8    If a petition for hearing is filed, the Department shall
9reconsider the exemption decision and shall grant any party to
10the proceeding a hearing. As soon as practical after the
11reconsideration and hearing, the Department shall issue a
12notice of decision by mailing the notice by certified mail. The
13notice shall set forth the Department's findings of fact and
14the basis of the decision.
15    Within 30 days after the mailing of a notice of decision,
16any party to the proceeding may file with the Director a
17written request for rehearing in such form as the Department
18may by rule prescribe, setting forth the grounds on which
19rehearing is requested. If rehearing or Departmental review is
20granted, as soon as practical after the rehearing or
21Departmental review has been held, the Department shall issue a
22revised decision to the party or the party's legal
23representative as a result of the rehearing. The action of the
24Department on a petition for hearing shall become final the
25later of (i) 30 days after issuance of a notice of decision, if
26no request for rehearing is made, or (ii) if a timely request

 

 

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1for rehearing is made, upon the issuance of the denial of the
2request or the issuance of a notice of final decision.
3    No action for the judicial review of any exemption decision
4of the Department shall be allowed unless the party commencing
5the action has filed an application for a hearing and the
6Department has acted upon the application.
7    The extension of taxes on an assessment shall not be
8delayed by any proceeding under this Section. In cases when the
9exemption is granted, in whole or in part, the taxes extended
10upon the assessment, or that part of the taxes as may be
11appropriate, shall be abated or, if already paid, refunded.
12(Source: P.A. 92-658, eff. 7-16-02.)
 
13    (35 ILCS 200/17-20)
14    Sec. 17-20. Hearing on tentative equalization factor. The
15Department shall, after publishing on its website the its
16tentative equalization factor and giving notice of hearing to
17the public in a newspaper of general circulation in the county,
18hold a hearing on its estimate not less than 10 days nor more
19than 30 days from the date of the publication. The notice shall
20state the date and time of the hearing, which shall be held in
21either Chicago or Springfield, the basis for the estimate of
22the Department, and further information as the Department may
23prescribe. The Department shall, after giving a hearing to all
24interested parties and opportunity for submitting testimony
25and evidence in support of or adverse to the estimate as the

 

 

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1Department considers requisite, either confirm or revise the
2estimate so as to correctly represent the considered judgment
3of the Department respecting the estimated percentage to be
4added to or deducted from the aggregate assessment of all
5locally assessed property in the county except property
6assessed under Sections 10-110 through 10-140 or 10-170 through
710-200. Within 30 days after the conclusion of the hearing the
8Department shall mail to the County Clerk, by certified mail,
9its determination with respect to such estimated percentage to
10be added to or deducted from the aggregate assessment.
11(Source: P.A. 91-555, eff. 1-1-00.)
 
12    (35 ILCS 200/17-40)
13    Sec. 17-40. Publication of final equalization factor. The
14Department shall publish on its website in each county the
15percentage and equalization factor certified to each county
16clerk under Section 17-30. If the percentage differs from the
17percentage derived from the initial estimate certified under
18Section 17-15, a statement as to the basis for the final
19percentage shall also be published. The Department shall
20provide the statement to any member of the public upon request.
21(Source: P.A. 79-703; 88-455.)
 
22    Section 85. The Illinois Hydraulic Fracturing Tax Act is
23amended by changing Sections 2-45 and 2-50 as follows:
 

 

 

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1    (35 ILCS 450/2-45)
2    Sec. 2-45. Purchaser's return and tax remittance. Each
3purchaser shall make a return to the Department showing the
4quantity of oil or gas purchased during the month for which the
5return is filed, the price paid therefor, total value, the name
6and address of the operator or other person from whom the same
7was purchased, a description of the production unit in the
8manner prescribed by the Department from which such oil or gas
9was severed and the amount of tax due from each production unit
10for each calendar month. All taxes due, or to be remitted, by
11the purchaser shall accompany this return. The return shall be
12filed on or before the last day of the month after the calendar
13month for which the return is required. The Department shall
14forward the necessary information to each Chief County
15Assessment Officer for the administration and application of ad
16valorem real property taxes at the county level. This
17information shall be forwarded to the Chief County Assessment
18Officers in a yearly summary before March 1 of the following
19calendar year. The Department may require any additional report
20or information it may deem necessary for the proper
21administration of this Act.
22    Such returns shall be filed electronically in the manner
23prescribed by the Department. Purchasers shall make all
24payments of that tax to the Department by electronic funds
25transfer unless, as provided by rule, the Department grants an
26exception upon petition of a purchaser. Purchasers' returns

 

 

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1must be accompanied by appropriate computer generated magnetic
2media supporting schedule data in the format required by the
3Department, unless, as provided by rule, the Department grants
4an exception upon petition of a purchaser.
5    If any payment provided for in this Section exceeds the
6purchaser's liabilities under this Act, as shown on an original
7return, the purchaser may credit such excess payment against
8liability subsequently to be remitted to the Department under
9this Act, in accordance with reasonable rules adopted by the
10Department.
11(Source: P.A. 98-22, eff. 6-17-13; 98-23, eff. 6-17-13; 98-756,
12eff. 7-16-14.)
 
13    (35 ILCS 450/2-50)
14    Sec. 2-50. Operator returns; payment of tax.
15    (a) If, on or after July 1, 2013, oil or gas is transported
16off the production unit where severed by the operator, used on
17the production unit where severed, or if the manufacture and
18conversion of oil and gas into refined products occurs on the
19production unit where severed, the operator is responsible for
20remitting the tax imposed under subsection (a) of Section 2-15,
21on or before the last day of the month following the end of the
22calendar month in which the oil and gas is removed from the
23production unit, and such payment shall be accompanied by a
24return to the Department showing the gross quantity of oil or
25gas removed during the month for which the return is filed, the

 

 

SB1285- 193 -LRB100 08067 HLH 18153 b

1price paid therefor, and if no price is paid therefor, the
2value of the oil and gas, a description of the production unit
3from which such oil or gas was severed, and the amount of tax.
4The Department may require any additional information it may
5deem necessary for the proper administration of this Act.
6    (b) Operators shall file all returns electronically in the
7manner prescribed by the Department unless, as provided by
8rule, the Department grants an exception upon petition of an
9operator. Operators shall make all payments of that tax to the
10Department by electronic funds transfer unless, as provided by
11rule, the Department grants an exception upon petition of an
12operator. Operators' returns must be accompanied by
13appropriate computer generated magnetic media supporting
14schedule data in the format required by the Department, unless,
15as provided by rule, the Department grants an exception upon
16petition of a purchaser.
17    (c) Any operator who makes a monetary payment to a producer
18for his or her portion of the value of products from a
19production unit shall withhold from such payment the amount of
20tax due from the producer. Any operator who pays any tax due
21from a producer shall be entitled to reimbursement from the
22producer for the tax so paid and may take credit for such
23amount from any monetary payment to the producer for the value
24of products. To the extent that an operator required to collect
25the tax imposed by this Act has actually collected that tax,
26such tax is held in trust for the benefit of the State of

 

 

SB1285- 194 -LRB100 08067 HLH 18153 b

1Illinois.
2    (d) In the event the operator fails to make payment of the
3tax to the State as required herein, the operator shall be
4liable for the tax. A producer shall be entitled to bring an
5action against such operator to recover the amount of tax so
6withheld together with penalties and interest which may have
7accrued by failure to make such payment. A producer shall be
8entitled to all attorney fees and court costs incurred in such
9action. To the extent that a producer liable for the tax
10imposed by this Act collects the tax, and any penalties and
11interest, from an operator, such tax, penalties, and interest
12are held in trust by the producer for the benefit of the State
13of Illinois.
14    (e) When the title to any oil or gas severed from the earth
15or water is in dispute and the operator of such oil or gas is
16withholding payments on account of litigation, or for any other
17reason, such operator is hereby authorized, empowered and
18required to deduct from the gross amount thus held the amount
19of the tax imposed and to make remittance thereof to the
20Department as provided in this Section.
21    (f) An operator required to file a return and pay the tax
22under this Section shall register with the Department.
23Application for a certificate of registration shall be made to
24the Department upon forms furnished by the Department and shall
25contain any reasonable information the Department may require.
26Upon receipt of the application for a certificate of

 

 

SB1285- 195 -LRB100 08067 HLH 18153 b

1registration in proper form, the Department shall issue to the
2applicant a certificate of registration.
3    (g) If oil or gas is transported off the production unit
4where severed by the operator and sold to a purchaser or
5refiner, the State shall have a lien on all the oil or gas
6severed from the production unit in this State in the hands of
7the operator, the first or any subsequent purchaser thereof, or
8refiner to secure the payment of the tax. If a lien is filed by
9the Department, the purchaser or refiner shall withhold from
10the operator the amount of tax, penalty and interest identified
11in the lien.
12    (h) If any payment provided for in this Section exceeds the
13operator's liabilities under this Act, as shown on an original
14return, the operator may credit such excess payment against
15liability subsequently to be remitted to the Department under
16this Act, in accordance with reasonable rules adopted by the
17Department.
18(Source: P.A. 98-22, eff. 6-17-13; 98-756, eff. 7-16-14.)
 
19    Section 90. The Motor Fuel Tax Law is amended by changing
20Sections 2b, 5, 5a, and 13 as follows:
 
21    (35 ILCS 505/2b)  (from Ch. 120, par. 418b)
22    Sec. 2b. Receiver's monthly return. In addition to the tax
23collection and reporting responsibilities imposed elsewhere in
24this Act, a person who is required to pay the tax imposed by

 

 

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1Section 2a of this Act shall pay the tax to the Department by
2return showing all fuel purchased, acquired or received and
3sold, distributed or used during the preceding calendar month
4including losses of fuel as the result of evaporation or
5shrinkage due to temperature variations, and such other
6reasonable information as the Department may require. Losses of
7fuel as the result of evaporation or shrinkage due to
8temperature variations may not exceed 1% of the total gallons
9in storage at the beginning of the month, plus the receipts of
10gallonage during the month, minus the gallonage remaining in
11storage at the end of the month. Any loss reported that is in
12excess of this amount shall be subject to the tax imposed by
13Section 2a of this Law. On and after July 1, 2001, for each
146-month period January through June, net losses of fuel (for
15each category of fuel that is required to be reported on a
16return) as the result of evaporation or shrinkage due to
17temperature variations may not exceed 1% of the total gallons
18in storage at the beginning of each January, plus the receipts
19of gallonage each January through June, minus the gallonage
20remaining in storage at the end of each June. On and after July
211, 2001, for each 6-month period July through December, net
22losses of fuel (for each category of fuel that is required to
23be reported on a return) as the result of evaporation or
24shrinkage due to temperature variations may not exceed 1% of
25the total gallons in storage at the beginning of each July,
26plus the receipts of gallonage each July through December,

 

 

SB1285- 197 -LRB100 08067 HLH 18153 b

1minus the gallonage remaining in storage at the end of each
2December. Any net loss reported that is in excess of this
3amount shall be subject to the tax imposed by Section 2a of
4this Law. For purposes of this Section, "net loss" means the
5number of gallons gained through temperature variations minus
6the number of gallons lost through temperature variations or
7evaporation for each of the respective 6-month periods.
8    The return shall be prescribed by the Department and shall
9be filed between the 1st and 20th days of each calendar month.
10The Department may, in its discretion, combine the returns
11filed under this Section, Section 5, and Section 5a of this
12Act. The return must be accompanied by appropriate
13computer-generated magnetic media supporting schedule data in
14the format required by the Department, unless, as provided by
15rule, the Department grants an exception upon petition of a
16taxpayer. If the return is filed timely, the seller shall take
17a discount of 2% through June 30, 2003 and 1.75% thereafter
18which is allowed to reimburse the seller for the expenses
19incurred in keeping records, preparing and filing returns,
20collecting and remitting the tax and supplying data to the
21Department on request. The discount, however, shall be
22applicable only to the amount of payment which accompanies a
23return that is filed timely in accordance with this Section.
24    If any payment provided for in this Section exceeds the
25receiver's liabilities under this Act, as shown on an original
26return, the Department may authorize the receiver to credit

 

 

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1such excess payment against liability subsequently to be
2remitted to the Department under this Act, in accordance with
3reasonable rules adopted by the Department. If the Department
4subsequently determines that all or any part of the credit
5taken was not actually due to the receiver, the receiver's
6discount shall be reduced by an amount equal to the difference
7between the discount as applied to the credit taken and that
8actually due, and that receiver shall be liable for penalties
9and interest on such difference.
10(Source: P.A. 92-30, eff. 7-1-01; 93-32, eff. 6-20-03.)
 
11    (35 ILCS 505/5)  (from Ch. 120, par. 421)
12    Sec. 5. Distributor's monthly return. Except as
13hereinafter provided, a person holding a valid unrevoked
14license to act as a distributor of motor fuel shall, between
15the 1st and 20th days of each calendar month, make return to
16the Department, showing an itemized statement of the number of
17invoiced gallons of motor fuel of the types specified in this
18Section which were purchased, acquired, received, or exported
19during the preceding calendar month; the amount of such motor
20fuel produced, refined, compounded, manufactured, blended,
21sold, distributed, exported, and used by the licensed
22distributor during the preceding calendar month; the amount of
23such motor fuel lost or destroyed during the preceding calendar
24month; the amount of such motor fuel on hand at the close of
25business for such month; and such other reasonable information

 

 

SB1285- 199 -LRB100 08067 HLH 18153 b

1as the Department may require. If a distributor's only
2activities with respect to motor fuel are either: (1)
3production of alcohol in quantities of less than 10,000 proof
4gallons per year or (2) blending alcohol in quantities of less
5than 10,000 proof gallons per year which such distributor has
6produced, he shall file returns on an annual basis with the
7return for a given year being due by January 20 of the
8following year. Distributors whose total production of alcohol
9(whether blended or not) exceeds 10,000 proof gallons per year,
10based on production during the preceding (calendar) year or as
11reasonably projected by the Department if one calendar year's
12record of production cannot be established, shall file returns
13between the 1st and 20th days of each calendar month as
14hereinabove provided.
15    The types of motor fuel referred to in the preceding
16paragraph are: (A) All products commonly or commercially known
17or sold as gasoline (including casing-head and absorption or
18natural gasoline), gasohol, motor benzol or motor benzene
19regardless of their classification or uses; and (B) all
20combustible gases which exist in a gaseous state at 60 degrees
21Fahrenheit and at 14.7 pounds per square inch absolute
22including, but not limited to, liquefied petroleum gases used
23for highway purposes; and (C) special fuel. Only those
24quantities of combustible gases (example (B) above) which are
25used or sold by the distributor to be used to propel motor
26vehicles on the public highways, or which are delivered into a

 

 

SB1285- 200 -LRB100 08067 HLH 18153 b

1storage tank that is located at a facility that has withdrawal
2facilities which are readily accessible to and are capable of
3dispensing combustible gases into the fuel supply tanks of
4motor vehicles, shall be subject to return. For purposes of
5this Section, a facility is considered to have withdrawal
6facilities that are not "readily accessible to and capable of
7dispensing combustible gases into the fuel supply tanks of
8motor vehicles" only if the combustible gases are delivered
9from: (i) a dispenser hose that is short enough so that it will
10not reach the fuel supply tank of a motor vehicle or (ii) a
11dispenser that is enclosed by a fence or other physical barrier
12so that a vehicle cannot pull alongside the dispenser to permit
13fueling. For the purposes of this Act, liquefied petroleum
14gases shall mean and include any material having a vapor
15pressure not exceeding that allowed for commercial propane
16composed predominantly of the following hydrocarbons, either
17by themselves or as mixtures: Propane, Propylene, Butane
18(normal butane or iso-butane) and Butylene (including
19isomers).
20    In case of a sale of special fuel to someone other than a
21licensed distributor, or a licensed supplier, for a use other
22than in motor vehicles, the distributor shall show in his
23return the amount of invoiced gallons sold and the name and
24address of the purchaser in addition to any other information
25the Department may require.
26    All special fuel sold or used for non-highway purposes must

 

 

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1have a dye added in accordance with Section 4d of this Law.
2    In case of a tax-free sale, as provided in Section 6, of
3motor fuel which the distributor is required by this Section to
4include in his return to the Department, the distributor in his
5return shall show: (1) If the sale is made to another licensed
6distributor the amount sold and the name, address and license
7number of the purchasing distributor; (2) if the sale is made
8to a person where delivery is made outside of this State the
9name and address of such purchaser and the point of delivery
10together with the date and amount delivered; (3) if the sale is
11made to the Federal Government or its instrumentalities the
12amount sold; (4) if the sale is made to a municipal corporation
13owning and operating a local transportation system for public
14service in this State the name and address of such purchaser,
15and the amount sold, as evidenced by official forms of
16exemption certificates properly executed and furnished by such
17purchaser; (5) if the sale is made to a privately owned public
18utility owning and operating 2-axle vehicles designed and used
19for transporting more than 7 passengers, which vehicles are
20used as common carriers in general transportation of
21passengers, are not devoted to any specialized purpose and are
22operated entirely within the territorial limits of a single
23municipality or of any group of contiguous municipalities or in
24a close radius thereof, and the operations of which are subject
25to the regulations of the Illinois Commerce Commission, then
26the name and address of such purchaser and the amount sold as

 

 

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1evidenced by official forms of exemption certificates properly
2executed and furnished by the purchaser; (6) if the product
3sold is special fuel and if the sale is made to a licensed
4supplier under conditions which qualify the sale for tax
5exemption under Section 6 of this Act, the amount sold and the
6name, address and license number of the purchaser; and (7) if a
7sale of special fuel is made to someone other than a licensed
8distributor, or a licensed supplier, for a use other than in
9motor vehicles, by making a specific notation thereof on the
10invoice or sales slip covering such sales and obtaining such
11supporting documentation as may be required by the Department.
12    All special fuel sold or used for non-highway purposes must
13have a dye added in accordance with Section 4d of this Law.
14    A person whose license to act as a distributor of motor
15fuel has been revoked shall make a return to the Department
16covering the period from the date of the last return to the
17date of the revocation of the license, which return shall be
18delivered to the Department not later than 10 days from the
19date of the revocation or termination of the license of such
20distributor; the return shall in all other respects be subject
21to the same provisions and conditions as returns by
22distributors licensed under the provisions of this Act.
23    The records, waybills and supporting documents kept by
24railroads and other common carriers in the regular course of
25business shall be prima facie evidence of the contents and
26receipt of cars or tanks covered by those records, waybills or

 

 

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1supporting documents.
2    If the Department has reason to believe and does believe
3that the amount shown on the return as purchased, acquired,
4received, exported, sold, used, lost or destroyed is incorrect,
5or that an amount of motor fuel of the types required by the
6second paragraph of this Section to be reported to the
7Department has not been correctly reported the Department shall
8fix an amount for such receipt, sales, export, use, loss or
9destruction according to its best judgment and information,
10which amount so fixed by the Department shall be prima facie
11correct. All returns shall be made on forms prepared and
12furnished by the Department, and shall contain such other
13information as the Department may reasonably require. The
14return must be accompanied by appropriate computer-generated
15magnetic media supporting schedule data in the format required
16by the Department, unless, as provided by rule, the Department
17grants an exception upon petition of a taxpayer. All licensed
18distributors shall report all losses of motor fuel sustained on
19account of fire, theft, spillage, spoilage, leakage, or any
20other provable cause when filing the return for the period
21during which the loss occurred. If the distributor reports
22losses due to fire or theft, then the distributor must include
23fire department or police department reports and any other
24documentation that the Department may require. The mere making
25of the report does not assure the allowance of the loss as a
26reduction in tax liability. Losses of motor fuel as the result

 

 

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

 

 

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1respective 6-month periods.
2    If any payment provided for in this Section exceeds the
3distributor's liabilities under this Act, as shown on an
4original return, the Department may authorize the distributor
5to credit such excess payment against liability subsequently to
6be remitted to the Department under this Act, in accordance
7with reasonable rules adopted by the Department. If the
8Department subsequently determines that all or any part of the
9credit taken was not actually due to the distributor, the
10distributor's discount shall be reduced by an amount equal to
11the difference between the discount as applied to the credit
12taken and that actually due, and that distributor shall be
13liable for penalties and interest on such difference.
14(Source: P.A. 96-1384, eff. 7-29-10.)
 
15    (35 ILCS 505/5a)  (from Ch. 120, par. 421a)
16    Sec. 5a. Supplier's monthly return. A person holding a
17valid unrevoked license to act as a supplier of special fuel
18shall, between the 1st and 20th days of each calendar month,
19make return to the Department showing an itemized statement of
20the number of invoiced gallons of special fuel acquired,
21received, purchased, sold, exported, or used during the
22preceding calendar month; the amount of special fuel sold,
23distributed, exported, and used by the licensed supplier during
24the preceding calendar month; the amount of special fuel lost
25or destroyed during the preceding calendar month; the amount of

 

 

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1special fuel on hand at the close of business for the preceding
2calendar month; and such other reasonable information as the
3Department may require.
4    A person whose license to act as a supplier of special fuel
5has been revoked shall make a return to the Department covering
6the period from the date of the last return to the date of the
7revocation of the license, which return shall be delivered to
8the Department not later than 10 days from the date of the
9revocation or termination of the license of such supplier. The
10return shall in all other respects be subject to the same
11provisions and conditions as returns by suppliers licensed
12under this Act.
13    The records, waybills and supporting documents kept by
14railroads and other common carriers in the regular course of
15business shall be prima facie evidence of the contents and
16receipt of cars or tanks covered by those records, waybills or
17supporting documents.
18    If the Department has reason to believe and does believe
19that the amount shown on the return as purchased, acquired,
20received, sold, exported, used, or lost is incorrect, or that
21an amount of special fuel of the type required by the 1st
22paragraph of this Section to be reported to the Department by
23suppliers has not been correctly reported as a purchase,
24receipt, sale, use, export, or loss the Department shall fix an
25amount for such purchase, receipt, sale, use, export, or loss
26according to its best judgment and information, which amount so

 

 

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1fixed by the Department shall be prima facie correct. All
2licensed suppliers shall report all losses of special fuel
3sustained on account of fire, theft, spillage, spoilage,
4leakage, or any other provable cause when filing the return for
5the period during which the loss occurred. If the supplier
6reports losses due to fire or theft, then the supplier must
7include fire department or police department reports and any
8other documentation that the Department may require. The mere
9making of the report does not assure the allowance of the loss
10as a reduction in tax liability. Losses of special fuel as the
11result of evaporation or shrinkage due to temperature
12variations may not exceed 1% of the total gallons in storage at
13the beginning of the month, plus the receipts of gallonage
14during the month, minus the gallonage remaining in storage at
15the end of the month.
16    Any loss reported that is in excess of 1% shall be subject
17to the tax imposed by Section 2 of this Law. On and after July
181, 2001, for each 6-month period January through June, net
19losses of special fuel (for each category of special fuel that
20is required to be reported on a return) as the result of
21evaporation or shrinkage due to temperature variations may not
22exceed 1% of the total gallons in storage at the beginning of
23each January, plus the receipts of gallonage each January
24through June, minus the gallonage remaining in storage at the
25end of each June. On and after July 1, 2001, for each 6-month
26period July through December, net losses of special fuel (for

 

 

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1each category of special fuel that is required to be reported
2on a return) as the result of evaporation or shrinkage due to
3temperature variations may not exceed 1% of the total gallons
4in storage at the beginning of each July, plus the receipts of
5gallonage each July through December, minus the gallonage
6remaining in storage at the end of each December. Any net loss
7reported that is in excess of this amount shall be subject to
8the tax imposed by Section 2 of this Law. For purposes of this
9Section, "net loss" means the number of gallons gained through
10temperature variations minus the number of gallons lost through
11temperature variations or evaporation for each of the
12respective 6-month periods.
13    In case of a sale of special fuel to someone other than a
14licensed distributor or licensed supplier for a use other than
15in motor vehicles, the supplier shall show in his return the
16amount of invoiced gallons sold and the name and address of the
17purchaser in addition to any other information the Department
18may require.
19    All special fuel sold or used for non-highway purposes must
20have a dye added in accordance with Section 4d of this Law.
21    All returns shall be made on forms prepared and furnished
22by the Department and shall contain such other information as
23the Department may reasonably require. The return must be
24accompanied by appropriate computer-generated magnetic media
25supporting schedule data in the format required by the
26Department, unless, as provided by rule, the Department grants

 

 

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1an exception upon petition of a taxpayer.
2    In case of a tax-free sale, as provided in Section 6a, of
3special fuel which the supplier is required by this Section to
4include in his return to the Department, the supplier in his
5return shall show: (1) If the sale of special fuel is made to
6the Federal Government or its instrumentalities; (2) if the
7sale of special fuel is made to a municipal corporation owning
8and operating a local transportation system for public service
9in this State, the name and address of such purchaser and the
10amount sold, as evidenced by official forms of exemption
11certificates properly executed and furnished by such
12purchaser; (3) if the sale of special fuel is made to a
13privately owned public utility owning and operating 2-axle
14vehicles designed and used for transporting more than 7
15passengers, which vehicles are used as common carriers in
16general transportation of passengers, are not devoted to any
17specialized purpose and are operated entirely within the
18territorial limits of a single municipality or of any group of
19contiguous municipalities or in a close radius thereof, and the
20operations of which are subject to the regulations of the
21Illinois Commerce Commission, then the name and address of such
22purchaser and the amount sold, as evidenced by official forms
23of exemption certificates properly executed and furnished by
24such purchaser; (4) if the product sold is special fuel and if
25the sale is made to a licensed supplier or to a licensed
26distributor under conditions which qualify the sale for tax

 

 

SB1285- 210 -LRB100 08067 HLH 18153 b

1exemption under Section 6a of this Act, the amount sold and the
2name, address and license number of such purchaser; (5) if a
3sale of special fuel is made to a person where delivery is made
4outside of this State, the name and address of such purchaser
5and the point of delivery together with the date and amount of
6invoiced gallons delivered; and (6) if a sale of special fuel
7is made to someone other than a licensed distributor or a
8licensed supplier, for a use other than in motor vehicles, by
9making a specific notation thereof on the invoice or sales slip
10covering that sale and obtaining such supporting documentation
11as may be required by the Department.
12    All special fuel sold or used for non-highway purposes must
13have a dye added in accordance with Section 4d of this Law.
14    If any payment provided for in this Section exceeds the
15supplier's liabilities under this Act, as shown on an original
16return, the Department may authorize the supplier to credit
17such excess payment against liability subsequently to be
18remitted to the Department under this Act, in accordance with
19reasonable rules adopted by the Department. If the Department
20subsequently determines that all or any part of the credit
21taken was not actually due to the supplier, the supplier's
22discount shall be reduced by an amount equal to the difference
23between the discount as applied to the credit taken and that
24actually due, and that supplier shall be liable for penalties
25and interest on such difference.
26(Source: P.A. 96-1384, eff. 7-29-10.)
 

 

 

SB1285- 211 -LRB100 08067 HLH 18153 b

1    (35 ILCS 505/13)  (from Ch. 120, par. 429)
2    Sec. 13. Refund of tax paid. Any person other than a
3distributor or supplier, who loses motor fuel through any cause
4or uses motor fuel (upon which he has paid the amount required
5to be collected under Section 2 of this Act) for any purpose
6other than operating a motor vehicle upon the public highways
7or waters, shall be reimbursed and repaid the amount so paid.
8    Any person who purchases motor fuel in Illinois and uses
9that motor fuel in another state and that other state imposes a
10tax on the use of such motor fuel shall be reimbursed and
11repaid the amount of Illinois tax paid under Section 2 of this
12Act on the motor fuel used in such other state. Reimbursement
13and repayment shall be made by the Department upon receipt of
14adequate proof of taxes directly paid to another state and the
15amount of motor fuel used in that state.
16    Claims based in whole or in part on taxes paid to another
17state shall include (i) a certified copy of the tax return
18filed with such other state by the claimant; (ii) a copy of
19either the cancelled check paying the tax due on such return,
20or a receipt acknowledging payment of the tax due on such tax
21return; and (iii) such other information as the Department may
22reasonably require. This paragraph shall not apply to taxes
23paid on returns filed under Section 13a.3 of this Act.
24    Any person who purchases motor fuel use tax decals as
25required by Section 13a.4 and pays an amount of fees for such

 

 

SB1285- 212 -LRB100 08067 HLH 18153 b

1decals that exceeds the amount due shall be reimbursed and
2repaid the amount of the decal fees that are deemed by the
3department to be in excess of the amount due. Alternatively,
4any person who purchases motor fuel use tax decals as required
5by Section 13a.4 may credit any excess decal payment verified
6by the Department against amounts subsequently due for the
7purchase of additional decals, until such time as no excess
8payment remains.
9    Claims for such reimbursement must be made to the
10Department of Revenue, duly verified by the claimant (or by the
11claimant's legal representative if the claimant has died or
12become a person under legal disability), upon forms prescribed
13by the Department. The claim must state such facts relating to
14the purchase, importation, manufacture or production of the
15motor fuel by the claimant as the Department may deem
16necessary, and the time when, and the circumstances of its loss
17or the specific purpose for which it was used (as the case may
18be), together with such other information as the Department may
19reasonably require. No claim based upon idle time shall be
20allowed. Claims for reimbursement for overpayment of decal fees
21shall be made to the Department of Revenue, duly verified by
22the claimant (or by the claimant's legal representative if the
23claimant has died or become a person under legal disability),
24upon forms prescribed by the Department. The claim shall state
25facts relating to the overpayment of decal fees, together with
26such other information as the Department may reasonably

 

 

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1require. Claims for reimbursement of overpayment of decal fees
2paid on or after January 1, 2011 must be filed not later than
3one year after the date on which the fees were paid by the
4claimant. If it is determined that the Department should
5reimburse a claimant for overpayment of decal fees, the
6Department shall first apply the amount of such refund against
7any tax or penalty or interest due by the claimant under
8Section 13a of this Act.
9    Claims for full reimbursement for taxes paid on or before
10December 31, 1999 must be filed not later than one year after
11the date on which the tax was paid by the claimant. If,
12however, a claim for such reimbursement otherwise meeting the
13requirements of this Section is filed more than one year but
14less than 2 years after that date, the claimant shall be
15reimbursed at the rate of 80% of the amount to which he would
16have been entitled if his claim had been timely filed.
17    Claims for full reimbursement for taxes paid on or after
18January 1, 2000 must be filed not later than 2 years after the
19date on which the tax was paid by the claimant.
20    The Department may make such investigation of the
21correctness of the facts stated in such claims as it deems
22necessary. When the Department has approved any such claim, it
23shall pay to the claimant (or to the claimant's legal
24representative, as such if the claimant has died or become a
25person under legal disability) the reimbursement provided in
26this Section, out of any moneys appropriated to it for that

 

 

SB1285- 214 -LRB100 08067 HLH 18153 b

1purpose.
2    Any distributor or supplier who has paid the tax imposed by
3Section 2 of this Act upon motor fuel lost or used by such
4distributor or supplier for any purpose other than operating a
5motor vehicle upon the public highways or waters may file a
6claim for credit or refund to recover the amount so paid. Such
7claims shall be filed on forms prescribed by the Department.
8Such claims shall be made to the Department, duly verified by
9the claimant (or by the claimant's legal representative if the
10claimant has died or become a person under legal disability),
11upon forms prescribed by the Department. The claim shall state
12such facts relating to the purchase, importation, manufacture
13or production of the motor fuel by the claimant as the
14Department may deem necessary and the time when the loss or
15nontaxable use occurred, and the circumstances of its loss or
16the specific purpose for which it was used (as the case may
17be), together with such other information as the Department may
18reasonably require. Claims must be filed not later than one
19year after the date on which the tax was paid by the claimant.
20    The Department may make such investigation of the
21correctness of the facts stated in such claims as it deems
22necessary. When the Department approves a claim, the Department
23shall issue a refund or credit memorandum as requested by the
24taxpayer, to the distributor or supplier who made the payment
25for which the refund or credit is being given or, if the
26distributor or supplier has died or become incompetent, to such

 

 

SB1285- 215 -LRB100 08067 HLH 18153 b

1distributor's or supplier's legal representative, as such. The
2amount of such credit memorandum shall be credited against any
3tax due or to become due under this Act from the distributor or
4supplier who made the payment for which credit has been given.
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    In case the distributor or supplier requests and the
9Department determines that the claimant is entitled to a
10refund, such refund shall be made only from such appropriation
11as may be available for that purpose. If it appears unlikely
12that the amount appropriated would permit everyone having a
13claim allowed during the period covered by such appropriation
14to elect to receive a cash refund, the Department, by rule or
15regulation, shall provide for the payment of refunds in
16hardship cases and shall define what types of cases qualify as
17hardship cases.
18    In any case in which there has been an erroneous refund of
19tax or fees payable under this Section, a notice of tax
20liability may be issued at any time within 3 years from the
21making of that refund, or within 5 years from the making of
22that refund if it appears that any part of the refund was
23induced by fraud or the misrepresentation of material fact. The
24amount of any proposed assessment set forth by the Department
25shall be limited to the amount of the erroneous refund.
26    If no tax is due and no proceeding is pending to determine

 

 

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1whether such distributor or supplier is indebted to the
2Department for tax, the credit memorandum so issued may be
3assigned and set over by the lawful holder thereof, subject to
4reasonable rules of the Department, to any other licensed
5distributor or supplier who is subject to this Act, and the
6amount thereof applied by the Department against any tax due or
7to become due under this Act from such assignee.
8    If the payment for which the distributor's or supplier's
9claim is filed is held in the protest fund of the State
10Treasury during the pendency of the claim for credit
11proceedings pursuant to the order of the court in accordance
12with Section 2a of the State Officers and Employees Money
13Disposition Act and if it is determined by the Department or by
14the final order of a reviewing court under the Administrative
15Review Law that the claimant is entitled to all or a part of
16the credit claimed, the claimant, instead of receiving a credit
17memorandum from the Department, shall receive a cash refund
18from the protest fund as provided for in Section 2a of the
19State Officers and Employees Money Disposition Act.
20    If any person ceases to be licensed as a distributor or
21supplier while still holding an unused credit memorandum issued
22under this Act, such person may, at his election (instead of
23assigning the credit memorandum to a licensed distributor or
24licensed supplier under this Act), surrender such unused credit
25memorandum to the Department and receive a refund of the amount
26to which such person is entitled.

 

 

SB1285- 217 -LRB100 08067 HLH 18153 b

1    For claims based upon taxes paid on or before December 31,
22000, a claim based upon the use of undyed diesel fuel shall
3not be allowed except (i) if allowed under the following
4paragraph or (ii) for undyed diesel fuel used by a commercial
5vehicle, as that term is defined in Section 1-111.8 of the
6Illinois Vehicle Code, for any purpose other than operating the
7commercial vehicle upon the public highways and unlicensed
8commercial vehicles operating on private property. Claims
9shall be limited to commercial vehicles that are operated for
10both highway purposes and any purposes other than operating
11such vehicles upon the public highways.
12    For claims based upon taxes paid on or after January 1,
132000, a claim based upon the use of undyed diesel fuel shall
14not be allowed except (i) if allowed under the preceding
15paragraph or (ii) for claims for the following:
16        (1) Undyed diesel fuel used (i) in a manufacturing
17    process, as defined in Section 2-45 of the Retailers'
18    Occupation Tax Act, wherein the undyed diesel fuel becomes
19    a component part of a product or by-product, other than
20    fuel or motor fuel, when the use of dyed diesel fuel in
21    that manufacturing process results in a product that is
22    unsuitable for its intended use or (ii) for testing
23    machinery and equipment in a manufacturing process, as
24    defined in Section 2-45 of the Retailers' Occupation Tax
25    Act, wherein the testing takes place on private property.
26        (2) Undyed diesel fuel used by a manufacturer on

 

 

SB1285- 218 -LRB100 08067 HLH 18153 b

1    private property in the research and development, as
2    defined in Section 1.29, of machinery or equipment intended
3    for manufacture.
4        (3) Undyed diesel fuel used by a single unit
5    self-propelled agricultural fertilizer implement, designed
6    for on and off road use, equipped with flotation tires and
7    specially adapted for the application of plant food
8    materials or agricultural chemicals.
9        (4) Undyed diesel fuel used by a commercial motor
10    vehicle for any purpose other than operating the commercial
11    motor vehicle upon the public highways. Claims shall be
12    limited to commercial motor vehicles that are operated for
13    both highway purposes and any purposes other than operating
14    such vehicles upon the public highways.
15        (5) Undyed diesel fuel used by a unit of local
16    government in its operation of an airport if the undyed
17    diesel fuel is used directly in airport operations on
18    airport property.
19        (6) Undyed diesel fuel used by refrigeration units that
20    are permanently mounted to a semitrailer, as defined in
21    Section 1.28 of this Law, wherein the refrigeration units
22    have a fuel supply system dedicated solely for the
23    operation of the refrigeration units.
24        (7) Undyed diesel fuel used by power take-off equipment
25    as defined in Section 1.27 of this Law.
26        (8) Beginning on the effective date of this amendatory

 

 

SB1285- 219 -LRB100 08067 HLH 18153 b

1    Act of the 94th General Assembly, undyed diesel fuel used
2    by tugs and spotter equipment to shift vehicles or parcels
3    on both private and airport property. Any claim under this
4    item (8) may be made only by a claimant that owns tugs and
5    spotter equipment and operates that equipment on both
6    private and airport property. The aggregate of all credits
7    or refunds resulting from claims filed under this item (8)
8    by a claimant in any calendar year may not exceed $100,000.
9    A claim may not be made under this item (8) by the same
10    claimant more often than once each quarter. For the
11    purposes of this item (8), "tug" means a vehicle designed
12    for use on airport property that shifts custom-designed
13    containers of parcels from loading docks to aircraft, and
14    "spotter equipment" means a vehicle designed for use on
15    both private and airport property that shifts trailers
16    containing parcels between staging areas and loading
17    docks.
18    Any person who has paid the tax imposed by Section 2 of
19this Law upon undyed diesel fuel that is unintentionally mixed
20with dyed diesel fuel and who owns or controls the mixture of
21undyed diesel fuel and dyed diesel fuel may file a claim for
22refund to recover the amount paid. The amount of undyed diesel
23fuel unintentionally mixed must equal 500 gallons or more. Any
24claim for refund of unintentionally mixed undyed diesel fuel
25and dyed diesel fuel shall be supported by documentation
26showing the date and location of the unintentional mixing, the

 

 

SB1285- 220 -LRB100 08067 HLH 18153 b

1number of gallons involved, the disposition of the mixed diesel
2fuel, and any other information that the Department may
3reasonably require. Any unintentional mixture of undyed diesel
4fuel and dyed diesel fuel shall be sold or used only for
5non-highway purposes.
6    The Department shall promulgate regulations establishing
7specific limits on the amount of undyed diesel fuel that may be
8claimed for refund.
9    For purposes of claims for refund, "loss" means the
10reduction of motor fuel resulting from fire, theft, spillage,
11spoilage, leakage, or any other provable cause, but does not
12include a reduction resulting from evaporation, or shrinkage
13due to temperature variations. In the case of losses due to
14fire or theft, the claimant must include fire department or
15police department reports and any other documentation that the
16Department may require.
17(Source: P.A. 96-1384, eff. 7-29-10.)
 
18    Section 95. The Gas Revenue Tax Act is amended by changing
19Sections 2a.2 and 3 as follows:
 
20    (35 ILCS 615/2a.2)  (from Ch. 120, par. 467.17a.2)
21    Sec. 2a.2. Annual return, collection and payment. - A
22return with respect to the tax imposed by Section 2a.1 shall be
23made by every person for any taxable period for which such
24person is liable for such tax. Such return shall be made on

 

 

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1such forms as the Department shall prescribe and shall contain
2the following information:
3        1. Taxpayer's name;
4        2. Address of taxpayer's principal place of business,
5    and address of the principal place of business (if that is
6    a different address) from which the taxpayer engages in the
7    business of distributing, supplying, furnishing or selling
8    gas in this State;
9        3. The total proprietary capital and total long-term
10    debt as of the beginning and end of the taxable period as
11    set forth on the balance sheets included in the taxpayer's
12    annual report to the Illinois Commerce Commission for the
13    taxable period;
14        4. The taxpayer's base income allocable to Illinois
15    under Sections 301 and 304(a) of the "Illinois Income Tax
16    Act", for the period covered by the return;
17        5. The amount of tax due for the taxable period
18    (computed on the basis of the amounts set forth in Items 3
19    and 4); and
20        6. Such other reasonable information as may be required
21    by forms or regulations prescribed by the Department.
22    The returns prescribed by this Section shall be due and
23shall be filed with the Department not later than the 15th day
24of the third month following the close of the taxable period.
25The taxpayer making the return herein provided for shall, at
26the time of making such return, pay to the Department the

 

 

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1remaining amount of tax herein imposed and due for the taxable
2period. Each taxpayer shall make estimated quarterly payments
3on the 15th day of the third, sixth, ninth and twelfth months
4of each taxable period. Such estimated payments shall be 25% of
5the tax liability for the immediately preceding taxable period
6or the tax liability that would have been imposed in the
7immediately preceding taxable period if this amendatory Act of
81979 had been in effect. All moneys received by the Department
9under Sections 2a.1 and 2a.2 shall be paid into the Personal
10Property Tax Replacement Fund in the State Treasury.
11    If any payment provided for in this Section exceeds the
12taxpayer's liabilities under this Act, as shown on an original
13return, the Department may authorize the taxpayer to credit
14such excess payment against liability subsequently to be
15remitted to the Department under this Act, in accordance with
16reasonable rules adopted by the Department.
17(Source: P.A. 87-205.)
 
18    (35 ILCS 615/3)  (from Ch. 120, par. 467.18)
19    Sec. 3. Return of taxpayer; payment of tax. Except as
20provided in this Section, on or before the 15th day of each
21month, each taxpayer shall make a return to the Department for
22the preceding calendar month, stating:
23        1. His name;
24        2. The address of his principal place of business, and
25    the address of the principal place of business (if that is

 

 

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1    a different address) from which he engages in the business
2    of distributing, supplying, furnishing or selling gas in
3    this State;
4        3. The total number of therms for which payment was
5    received by him from customers during the preceding
6    calendar month and upon the basis of which the tax is
7    imposed;
8        4. Gross receipts which were received by him from
9    customers during the preceding calendar month from such
10    business, including budget plan and other customer-owned
11    amounts applied during such month in payment of charges
12    includible in gross receipts, and upon the basis of which
13    the tax is imposed;
14        5. Amount of tax (computed upon Items 3 and 4);
15        6. Such other reasonable information as the Department
16    may require.
17    In making such return the taxpayer may use any reasonable
18method to derive reportable "therms" and "gross receipts" from
19his billing and payment records.
20    Any taxpayer required to make payments under this Section
21may make the payments by electronic funds transfer. The
22Department shall adopt rules necessary to effectuate a program
23of electronic funds transfer.
24    If the taxpayer's average monthly tax liability to the
25Department does not exceed $100.00, the Department may
26authorize his returns to be filed on a quarter annual basis,

 

 

SB1285- 224 -LRB100 08067 HLH 18153 b

1with the return for January, February and March of a given year
2being due by April 30 of such year; with the return for April,
3May and June of a given year being due by July 31 of such year;
4with the return for July, August and September of a given year
5being due by October 31 of such year, and with the return for
6October, November and December of a given year being due by
7January 31 of the following year.
8    If the taxpayer's average monthly tax liability to the
9Department does not exceed $20.00, the Department may authorize
10his returns to be filed on an annual basis, with the return for
11a given year being due by January 31 of the following year.
12    Such quarter annual and annual returns, as to form and
13substance, shall be subject to the same requirements as monthly
14returns.
15    Notwithstanding any other provision in this Act concerning
16the time within which a taxpayer may file his return, in the
17case of any taxpayer who ceases to engage in a kind of business
18which makes him responsible for filing returns under this Act,
19such taxpayer shall file a final return under this Act with the
20Department not more than one month after discontinuing such
21business.
22    In making such return the taxpayer shall determine the
23value of any reportable consideration other than money received
24by him and shall include such value in his return. Such
25determination shall be subject to review and revision by the
26Department in the same manner as is provided in this Act for

 

 

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1the correction of returns.
2    Each taxpayer whose average monthly liability to the
3Department under this Act was $10,000 or more during the
4preceding calendar year, excluding the month of highest
5liability and the month of lowest liability in such calendar
6year, and who is not operated by a unit of local government,
7shall make estimated payments to the Department on or before
8the 7th, 15th, 22nd and last day of the month during which tax
9liability to the Department is incurred in an amount not less
10than the lower of either 22.5% of the taxpayer's actual tax
11liability for the month or 25% of the taxpayer's actual tax
12liability for the same calendar month of the preceding year.
13The amount of such quarter monthly payments shall be credited
14against the final tax liability of the taxpayer's return for
15that month. Any outstanding credit, approved by the Department,
16arising from the taxpayer's overpayment of its final tax
17liability for any month may be applied to reduce the amount of
18any subsequent quarter monthly payment or credited against the
19final tax liability of the taxpayer's return for any subsequent
20month. If any quarter monthly payment is not paid at the time
21or in the amount required by this Section, the taxpayer shall
22be liable for penalty and interest on the difference between
23the minimum amount due as a payment and the amount of such
24payment actually and timely paid, except insofar as the
25taxpayer has previously made payments for that month to the
26Department in excess of the minimum payments previously due.

 

 

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1    If the Director finds that the information required for the
2making of an accurate return cannot reasonably be compiled by a
3taxpayer within 15 days after the close of the calendar month
4for which a return is to be made, he may grant an extension of
5time for the filing of such return for a period of not to
6exceed 31 calendar days. The granting of such an extension may
7be conditioned upon the deposit by the taxpayer with the
8Department of an amount of money not exceeding the amount
9estimated by the Director to be due with the return so
10extended. All such deposits, including any made before the
11effective date of this amendatory Act of 1975 with the
12Department, shall be credited against the taxpayer's
13liabilities under this Act. If any such deposit exceeds the
14taxpayer's present and probable future liabilities under this
15Act, the Department shall issue to the taxpayer a credit
16memorandum, which may be assigned by the taxpayer to a similar
17taxpayer under this Act, in accordance with reasonable rules
18and regulations to be prescribed by the Department.
19    The taxpayer making the return provided for in this Section
20shall, at the time of making such return, pay to the Department
21the amount of tax imposed by this Act. All moneys received by
22the Department under this Act shall be paid into the General
23Revenue Fund in the State Treasury, except as otherwise
24provided.
25    If any payment provided for in this Section exceeds the
26taxpayer's liabilities under this Act, as shown on an original

 

 

SB1285- 227 -LRB100 08067 HLH 18153 b

1return, the Department may authorize the taxpayer to credit
2such excess payment against liability subsequently to be
3remitted to the Department under this Act, in accordance with
4reasonable rules adopted by the Department.
5(Source: P.A. 90-16, eff. 6-16-97.)
 
6    Section 100. The Public Utilities Revenue Act is amended by
7changing Section 2a.2 as follows:
 
8    (35 ILCS 620/2a.2)  (from Ch. 120, par. 469a.2)
9    Sec. 2a.2. Annual return, collection and payment. A return
10with respect to the tax imposed by Section 2a.1 shall be made
11by every person for any taxable period for which such person is
12liable for such tax. Such return shall be made on such forms as
13the Department shall prescribe and shall contain the following
14information:
15        1. Taxpayer's name;
16        2. Address of taxpayer's principal place of business,
17    and address of the principal place of business (if that is
18    a different address) from which the taxpayer engages in the
19    business of distributing electricity in this State;
20        3. The total equity, in the case of electric
21    cooperatives, in the annual reports filed with the Rural
22    Utilities Service for the taxable period;
23        3a. The total kilowatt-hours of electricity
24    distributed by a taxpayer, other than an electric

 

 

SB1285- 228 -LRB100 08067 HLH 18153 b

1    cooperative, in this State for the taxable period covered
2    by the return;
3        4. The amount of tax due for the taxable period
4    (computed on the basis of the amounts set forth in Items 3
5    and 3a); and
6        5. Such other reasonable information as may be required
7    by forms or regulations prescribed by the Department.
8    The returns prescribed by this Section shall be due and
9shall be filed with the Department not later than the 15th day
10of the third month following the close of the taxable period.
11The taxpayer making the return herein provided for shall, at
12the time of making such return, pay to the Department the
13remaining amount of tax herein imposed and due for the taxable
14period. Each taxpayer shall make estimated quarterly payments
15on the 15th day of the third, sixth, ninth and twelfth months
16of each taxable period. Such estimated payments shall be 25% of
17the tax liability for the immediately preceding taxable period
18or the tax liability that would have been imposed in the
19immediately preceding taxable period if this amendatory Act of
201979 had been in effect. All moneys received by the Department
21under Sections 2a.1 and 2a.2 shall be paid into the Personal
22Property Tax Replacement Fund in the State Treasury.
23    If any payment provided for in this Section exceeds the
24taxpayer's liabilities under this Act, as shown on an original
25return, the taxpayer may credit such excess payment against
26liability subsequently to be remitted to the Department under

 

 

SB1285- 229 -LRB100 08067 HLH 18153 b

1this Act, in accordance with reasonable rules adopted by the
2Department.
3(Source: P.A. 90-561, eff. 1-1-98.)
 
4    Section 105. The Telecommunications Excise Tax Act is
5amended by changing Section 6 as follows:
 
6    (35 ILCS 630/6)  (from Ch. 120, par. 2006)
7    Sec. 6. Returns; payments. Except as provided hereinafter
8in this Section, on or before the last day of each month, each
9retailer maintaining a place of business in this State shall
10make a return to the Department for the preceding calendar
11month, stating:
12        1. His name;
13        2. The address of his principal place of business, or
14    the address of the principal place of business (if that is
15    a different address) from which he engages in the business
16    of transmitting telecommunications;
17        3. Total amount of gross charges billed by him during
18    the preceding calendar month for providing
19    telecommunications during such calendar month;
20        4. Total amount received by him during the preceding
21    calendar month on credit extended;
22        5. Deductions allowed by law;
23        6. Gross charges which were billed by him during the
24    preceding calendar month and upon the basis of which the

 

 

SB1285- 230 -LRB100 08067 HLH 18153 b

1    tax is imposed;
2        7. Amount of tax (computed upon Item 6);
3        8. Such other reasonable information as the Department
4    may require.
5    Any taxpayer required to make payments under this Section
6may make the payments by electronic funds transfer. The
7Department shall adopt rules necessary to effectuate a program
8of electronic funds transfer. Any taxpayer who has average
9monthly tax billings due to the Department under this Act and
10the Simplified Municipal Telecommunications Tax Act that
11exceed $1,000 shall make all payments by electronic funds
12transfer as required by rules of the Department and shall file
13the return required by this Section by electronic means as
14required by rules of the Department.
15    If the retailer's average monthly tax billings due to the
16Department under this Act and the Simplified Municipal
17Telecommunications Tax Act do not exceed $1,000, the Department
18may authorize his returns to be filed on a quarter annual
19basis, with the return for January, February and March of a
20given year being due by April 30 of such year; with the return
21for April, May and June of a given year being due by July 31st
22of such year; with the return for July, August and September of
23a given year being due by October 31st of such year; and with
24the return of October, November and December of a given year
25being due by January 31st of the following year.
26    If the retailer is otherwise required to file a monthly or

 

 

SB1285- 231 -LRB100 08067 HLH 18153 b

1quarterly return and if the retailer's average monthly tax
2billings due to the Department under this Act and the
3Simplified Municipal Telecommunications Tax Act do not exceed
4$400, the Department may authorize his or her return to be
5filed on an annual basis, with the return for a given year
6being due by January 31st of the following year.
7    Notwithstanding any other provision of this Article
8containing the time within which a retailer may file his
9return, in the case of any retailer who ceases to engage in a
10kind of business which makes him responsible for filing returns
11under this Article, such retailer shall file a final return
12under this Article with the Department not more than one month
13after discontinuing such business.
14    In making such return, the retailer shall determine the
15value of any consideration other than money received by him and
16he shall include such value in his return. Such determination
17shall be subject to review and revision by the Department in
18the manner hereinafter provided for the correction of returns.
19    Each retailer whose average monthly liability to the
20Department under this Article and the Simplified Municipal
21Telecommunications Tax Act was $25,000 or more during the
22preceding calendar year, excluding the month of highest
23liability and the month of lowest liability in such calendar
24year, and who is not operated by a unit of local government,
25shall make estimated payments to the Department on or before
26the 7th, 15th, 22nd and last day of the month during which tax

 

 

SB1285- 232 -LRB100 08067 HLH 18153 b

1collection liability to the Department is incurred in an amount
2not less than the lower of either 22.5% of the retailer's
3actual tax collections for the month or 25% of the retailer's
4actual tax collections for the same calendar month of the
5preceding year. The amount of such quarter monthly payments
6shall be credited against the final liability of the retailer's
7return for that month. Any outstanding credit, approved by the
8Department, arising from the retailer's overpayment of its
9final liability for any month may be applied to reduce the
10amount of any subsequent quarter monthly payment or credited
11against the final liability of the retailer's return for any
12subsequent month. If any quarter monthly payment is not paid at
13the time or in the amount required by this Section, the
14retailer shall be liable for penalty and interest on the
15difference between the minimum amount due as a payment and the
16amount of such payment actually and timely paid, except insofar
17as the retailer has previously made payments for that month to
18the Department in excess of the minimum payments previously
19due.
20    The retailer making the return herein provided for shall,
21at the time of making such return, pay to the Department the
22amount of tax herein imposed, less a discount of 1% which is
23allowed to reimburse the retailer for the expenses incurred in
24keeping records, billing the customer, preparing and filing
25returns, remitting the tax, and supplying data to the
26Department upon request. No discount may be claimed by a

 

 

SB1285- 233 -LRB100 08067 HLH 18153 b

1retailer on returns not timely filed and for taxes not timely
2remitted.
3    If any payment provided for in this Section exceeds the
4retailer's liabilities under this Act, as shown on an original
5return, the Department may authorize the retailer to credit
6such excess payment against liability subsequently to be
7remitted to the Department under this Act, in accordance with
8reasonable rules adopted by the Department. If the Department
9subsequently determines that all or any part of the credit
10taken was not actually due to the retailer, the retailer's
11discount shall be reduced by an amount equal to the difference
12between the discount as applied to the credit taken and that
13actually due, and that retailer shall be liable for penalties
14and interest on such difference.
15    On and after the effective date of this Article of 1985, of
16the moneys received by the Department of Revenue pursuant to
17this Article, other than moneys received pursuant to the
18additional taxes imposed by Public Act 90-548:
19        (1) $1,000,000 shall be paid each month into the Common
20    School Fund;
21        (2) beginning on the first day of the first calendar
22    month to occur on or after the effective date of this
23    amendatory Act of the 98th General Assembly, an amount
24    equal to 1/12 of 5% of the cash receipts collected during
25    the preceding fiscal year by the Audit Bureau of the
26    Department from the tax under this Act and the Simplified

 

 

SB1285- 234 -LRB100 08067 HLH 18153 b

1    Municipal Telecommunications Tax Act shall be paid each
2    month into the Tax Compliance and Administration Fund;
3    those moneys shall be used, subject to appropriation, to
4    fund additional auditors and compliance personnel at the
5    Department of Revenue; and
6        (3) the remainder shall be deposited into the General
7    Revenue Fund.
8    On and after February 1, 1998, however, of the moneys
9received by the Department of Revenue pursuant to the
10additional taxes imposed by Public Act 90-548, one-half shall
11be deposited into the School Infrastructure Fund and one-half
12shall be deposited into the Common School Fund. On and after
13the effective date of this amendatory Act of the 91st General
14Assembly, if in any fiscal year the total of the moneys
15deposited into the School Infrastructure Fund under this Act is
16less than the total of the moneys deposited into that Fund from
17the additional taxes imposed by Public Act 90-548 during fiscal
18year 1999, then, as soon as possible after the close of the
19fiscal year, the Comptroller shall order transferred and the
20Treasurer shall transfer from the General Revenue Fund to the
21School Infrastructure Fund an amount equal to the difference
22between the fiscal year total deposits and the total amount
23deposited into the Fund in fiscal year 1999.
24(Source: P.A. 98-1098, eff. 8-26-14.)
 
25    Section 110. The Simplified Municipal Telecommunications

 

 

SB1285- 235 -LRB100 08067 HLH 18153 b

1Tax Act is amended by changing Section 5-50 as follows:
 
2    (35 ILCS 636/5-50)
3    Sec. 5-50. Returns to the Department.
4    (a) Commencing on February 1, 2003, for the tax imposed
5under subsection (a) of Section 5-20 of this Act, every
6retailer maintaining a place of business in this State shall,
7on or before the last day of each month make a return to the
8Department for the preceding calendar month, stating:
9        (1) Its name;
10        (2) The address of its principal place of business or
11    the address of the principal place of business (if that is
12    a different address) from which it engages in the business
13    of transmitting telecommunications;
14        (3) Total amount of gross charges billed by it during
15    the preceding calendar month for providing
16    telecommunications during the calendar month;
17        (4) Total amount received by it during the preceding
18    calendar month on credit extended;
19        (5) Deductions allowed by law;
20        (6) Gross charges that were billed by it during the
21    preceding calendar month and upon the basis of which the
22    tax is imposed;
23        (7) Amount of tax (computed upon Item 6);
24        (8) The municipalities to which the Department shall
25    remit the taxes and the amount of such remittances;

 

 

SB1285- 236 -LRB100 08067 HLH 18153 b

1        (9) Such other reasonable information as the
2    Department may require.
3    (b) Any retailer required to make payments under this
4Section may make the payments by electronic funds transfer. The
5Department shall adopt rules necessary to effectuate a program
6of electronic funds transfer. Any retailer who has average
7monthly tax billings due to the Department under this Act and
8the Telecommunications Excise Tax Act that exceed $1,000 shall
9make all payments by electronic funds transfer as required by
10rules of the Department.
11    (c) If the retailer's average monthly tax billings due to
12the Department under this Act and the Telecommunications Excise
13Tax Act do not exceed $1,000, the Department may authorize such
14retailer's returns to be filed on a quarter-annual basis, with
15the return for January, February, and March of a given year
16being due by April 30th of that year; with the return for
17April, May, and June of a given year being due by July 31st of
18that year; with the return for July, August, and September of a
19given year being due by October 31st of that year; and with the
20return for October, November, and December of a given year
21being due by January 31st of the following year.
22    (d) If the retailer is otherwise required to file a monthly
23or quarterly return and if the retailer's average monthly tax
24billings due to the Department under this Act and the
25Telecommunications Excise Tax Act do not exceed $400, the
26Department may authorize such retailer's return to be filed on

 

 

SB1285- 237 -LRB100 08067 HLH 18153 b

1an annual basis, with the return for a given year being due by
2January 31st of the following year.
3    (e) Each retailer whose average monthly remittance to the
4Department under this Act and the Telecommunications Excise Tax
5Act was $25,000 or more during the preceding calendar year,
6excluding the month of highest remittance and the month of
7lowest remittance in such calendar year, and who is not
8operated by a unit of local government, shall make estimated
9payments to the Department on or before the 7th, 15th, 22nd,
10and last day of the month during which the tax remittance is
11owed to the Department in an amount not less than the lower of
12either 22.5% of the retailer's actual tax collections for the
13month or 25% of the retailer's actual tax collections for the
14same calendar month of the preceding year. The amount of such
15quarter-monthly payments shall be credited against the final
16remittance of the retailer's return for that month. Any
17outstanding credit, approved by the Department, arising from
18the retailer's overpayment of its final remittance for any
19month may be applied to reduce the amount of any subsequent
20quarter-monthly payment or credited against the final
21remittance of the retailer's return for any subsequent month.
22If any quarter-monthly payment is not paid at the time or in
23the amount required by this Section, the retailer shall be
24liable for penalty and interest on the difference between the
25minimum amount due as a payment and the amount of such payment
26actually and timely paid, except insofar as the retailer has

 

 

SB1285- 238 -LRB100 08067 HLH 18153 b

1previously made payments for that month to the Department or
2received credits in excess of the minimum payments previously
3due.
4    (f) Notwithstanding any other provision of this Section
5containing the time within which a retailer may file his or her
6return, in the case of any retailer who ceases to engage in a
7kind of business that makes him or her responsible for filing
8returns under this Section, the retailer shall file a final
9return under this Section with the Department not more than one
10month after discontinuing such business.
11    (g) In making such return, the retailer shall determine the
12value of any consideration other than money received by it and
13such retailer shall include the value in its return. Such
14determination shall be subject to review and revision by the
15Department in the manner hereinafter provided for the
16correction of returns.
17    (h) Any retailer who has average monthly tax billings due
18to the Department under this Act and the Telecommunications
19Excise Tax Act that exceed $1,000 shall file the return
20required by this Section by electronic means as required by
21rules of the Department.
22    (i) The retailer filing the return herein provided for
23shall, at the time of filing the return, pay to the Department
24the amounts due pursuant to this Act. The Department shall
25immediately pay over to the State Treasurer, ex officio, as
26trustee, 99.5% of all taxes, penalties, and interest collected

 

 

SB1285- 239 -LRB100 08067 HLH 18153 b

1hereunder for deposit into the Municipal Telecommunications
2Fund, which is hereby created. The remaining 0.5% received by
3the Department pursuant to this Act shall be deposited into the
4Tax Compliance and Administration Fund and shall be used by the
5Department, subject to appropriation, to cover the costs of the
6Department.
7    On or before the 25th day of each calendar month, the
8Department shall prepare and certify to the Comptroller the
9disbursement of stated sums of money to be paid to named
10municipalities from the Municipal Telecommunications Fund for
11amounts collected during the second preceding calendar month.
12The named municipalities shall be those municipalities
13identified by a retailer in such retailer's return as having
14imposed the tax authorized by the Act. The amount of money to
15be paid to each municipality shall be the amount (not including
16credit memoranda) collected hereunder during the second
17preceding calendar month by the Department, plus an amount the
18Department determines is necessary to offset any amounts that
19were erroneously paid to a different taxing body, and not
20including an amount equal to the amount of refunds made during
21the second preceding calendar month by the Department on behalf
22of such municipality, and not including any amount that the
23Department determines is necessary to offset any amounts amount
24that were payable to a different taxing body but were
25erroneously paid to the municipality, less 0.5% of the amount
26to be paid to each municipality, which shall be transferred

 

 

SB1285- 240 -LRB100 08067 HLH 18153 b

1into the Tax Compliance and Administration Fund and shall be
2used by the Department, subject to appropriation, to cover the
3costs of the Department in administering and enforcing the
4provisions of this Act, on behalf of such municipality. Within
510 days after receipt by the Comptroller of the disbursement
6certification from the Department, the Comptroller shall cause
7the orders to be drawn for the respective amounts in accordance
8with the directions contained in the certification. When
9certifying to the Comptroller the amount of a monthly
10disbursement to a municipality under this Section, the
11Department shall increase or decrease the amount by an amount
12necessary to offset any misallocation of previous
13disbursements. The offset amount shall be the amount
14erroneously disbursed within the previous 6 months from the
15time a misallocation is discovered.
16    (j) For municipalities with populations of less than
17500,000, whenever the Department determines that a refund shall
18be made under this Section to a claimant instead of issuing a
19credit memorandum, the Department shall notify the State
20Comptroller, who shall cause the order to be drawn for the
21amount specified and to the person named in the notification
22from the Department. The refund shall be paid by the State
23Treasurer out of the Municipal Telecommunications Fund.
24(Source: P.A. 95-331, eff. 8-21-07.)
 
25    Section 115. The Electricity Excise Tax Law is amended by

 

 

SB1285- 241 -LRB100 08067 HLH 18153 b

1changing Sections 2-9 and 2-11 as follows:
 
2    (35 ILCS 640/2-9)
3    Sec. 2-9. Return and payment of tax by delivering supplier.
4Each delivering supplier who is required or authorized to
5collect the tax imposed by this Law shall make a return to the
6Department on or before the 15th day of each month for the
7preceding calendar month stating the following:
8        (1) The delivering supplier's name.
9        (2) The address of the delivering supplier's principal
10    place of business and the address of the principal place of
11    business (if that is a different address) from which the
12    delivering supplier engaged in the business of delivering
13    electricity in this State.
14        (3) The total number of kilowatt-hours which the
15    supplier delivered to or for purchasers during the
16    preceding calendar month and upon the basis of which the
17    tax is imposed.
18        (4) Amount of tax, computed upon Item (3) at the rates
19    stated in Section 2-4.
20        (5) An adjustment for uncollectible amounts of tax in
21    respect of prior period kilowatt-hour deliveries,
22    determined in accordance with rules and regulations
23    promulgated by the Department.
24        (5.5) The amount of credits to which the taxpayer is
25    entitled on account of purchases made under Section 8-403.1

 

 

SB1285- 242 -LRB100 08067 HLH 18153 b

1    of the Public Utilities Act.
2        (6) Such other information as the Department
3    reasonably may require.
4    In making such return the delivering supplier may use any
5reasonable method to derive reportable "kilowatt-hours" from
6the delivering supplier's records.
7    If the average monthly tax liability to the Department of
8the delivering supplier does not exceed $2,500, the Department
9may authorize the delivering supplier's returns to be filed on
10a quarter-annual basis, with the return for January, February
11and March of a given year being due by April 30 of such year;
12with the return for April, May and June of a given year being
13due by July 31 of such year; with the return for July, August
14and September of a given year being due by October 31 of such
15year; and with the return for October, November and December of
16a given year being due by January 31 of the following year.
17    If the average monthly tax liability to the Department of
18the delivering supplier does not exceed $1,000, the Department
19may authorize the delivering supplier's returns to be filed on
20an annual basis, with the return for a given year being due by
21January 31 of 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 Law concerning
26the time within which a delivering supplier may file a return,

 

 

SB1285- 243 -LRB100 08067 HLH 18153 b

1any such delivering supplier who ceases to engage in a kind of
2business which makes the person responsible for filing returns
3under this Law shall file a final return under this Law with
4the Department not more than one month after discontinuing such
5business.
6    Each delivering supplier whose average monthly liability
7to the Department under this Law was $10,000 or more during the
8preceding calendar year, excluding the month of highest
9liability and the month of lowest liability in such calendar
10year, and who is not operated by a unit of local government,
11shall make estimated payments to the Department on or before
12the 7th, 15th, 22nd and last day of the month during which tax
13liability to the Department is incurred in an amount not less
14than the lower of either 22.5% of such delivering supplier's
15actual tax liability for the month or 25% of such delivering
16supplier's actual tax liability for the same calendar month of
17the preceding year. The amount of such quarter-monthly payments
18shall be credited against the final tax liability of such
19delivering supplier's return for that month. An outstanding
20credit approved by the Department or a credit memorandum issued
21by the Department arising from such delivering supplier's
22overpayment of his or her final tax liability for any month may
23be applied to reduce the amount of any subsequent
24quarter-monthly payment or credited against the final tax
25liability of such delivering supplier's return for any
26subsequent month. If any quarter-monthly payment is not paid at

 

 

SB1285- 244 -LRB100 08067 HLH 18153 b

1the time or in the amount required by this Section, such
2delivering supplier shall be liable for penalty and interest on
3the difference between the minimum amount due as a payment and
4the amount of such payment actually and timely paid, except
5insofar as such delivering supplier has previously made
6payments for that month to the Department in excess of the
7minimum payments previously due.
8    If the Director finds that the information required for the
9making of an accurate return cannot reasonably be compiled by
10such delivering supplier within 15 days after the close of the
11calendar month for which a return is to be made, the Director
12may grant an extension of time for the filing of such return
13for a period not to exceed 31 calendar days. The granting of
14such an extension may be conditioned upon the deposit by such
15delivering supplier with the Department of an amount of money
16not exceeding the amount estimated by the Director to be due
17with the return so extended. All such deposits shall be
18credited against such delivering supplier's liabilities under
19this Law. If the deposit exceeds such delivering supplier's
20present and probable future liabilities under this Law, the
21Department shall issue to such delivering supplier a credit
22memorandum, which may be assigned by such delivering supplier
23to a similar person under this Law, in accordance with
24reasonable rules and regulations to be prescribed by the
25Department.
26    The delivering supplier making the return provided for in

 

 

SB1285- 245 -LRB100 08067 HLH 18153 b

1this Section shall, at the time of making such return, pay to
2the Department the amount of tax imposed by this Law.
3    Until October 1, 2002, a delivering supplier who has an
4average monthly tax liability of $10,000 or more shall make all
5payments required by rules of the Department by electronic
6funds transfer. The term "average monthly tax liability" shall
7be the sum of the delivering supplier's liabilities under this
8Law for the immediately preceding calendar year divided by 12.
9Beginning on October 1, 2002, a taxpayer who has a tax
10liability in the amount set forth in subsection (b) of Section
112505-210 of the Department of Revenue Law shall make all
12payments required by rules of the Department by electronic
13funds transfer. Any delivering supplier not required to make
14payments by electronic funds transfer may make payments by
15electronic funds transfer with the permission of the
16Department. All delivering suppliers required to make payments
17by electronic funds transfer and any delivering suppliers
18authorized to voluntarily make payments by electronic funds
19transfer shall make those payments in the manner authorized by
20the Department.
21    If any payment provided for in this Section exceeds the
22delivering supplier's liabilities under this Act, as shown on
23an original return, the Department may authorize the delivering
24supplier to credit such excess payment against liability
25subsequently to be remitted to the Department under this Act,
26in accordance with reasonable rules adopted by the Department.

 

 

SB1285- 246 -LRB100 08067 HLH 18153 b

1    Through June 30, 2004, each month the Department shall pay
2into the Public Utility Fund in the State treasury an amount
3determined by the Director to be equal to 3.0% of the funds
4received by the Department pursuant to this Section. Through
5June 30, 2004, the remainder of all moneys received by the
6Department under this Section shall be paid into the General
7Revenue Fund in the State treasury. Beginning on July 1, 2004,
8of the 3% of the funds received pursuant to this Section, each
9month the Department shall pay $416,667 into the General
10Revenue Fund and the balance shall be paid into the Public
11Utility Fund in the State treasury.
12(Source: P.A. 92-492, eff. 1-1-02; 93-839, eff. 7-30-04.)
 
13    (35 ILCS 640/2-11)
14    Sec. 2-11. Direct return and payment by self-assessing
15purchaser. When electricity is used or consumed by a
16self-assessing purchaser subject to the tax imposed by this Law
17who did not pay the tax to a delivering supplier maintaining a
18place of business within this State and required or authorized
19to collect the tax, that self-assessing purchaser shall, on or
20before the 15th day of each month, make a return to the
21Department for the preceding calendar month, stating all of the
22following:
23        (1) The self-assessing purchaser's name and principal
24    address.
25        (2) The aggregate purchase price paid by the

 

 

SB1285- 247 -LRB100 08067 HLH 18153 b

1    self-assessing purchaser for the distribution, supply,
2    furnishing, sale, transmission and delivery of such
3    electricity to or for the purchaser during the preceding
4    calendar month, including budget plan and other
5    purchaser-owned amounts applied during such month in
6    payment of charges includible in the purchase price, and
7    upon the basis of which the tax is imposed.
8        (3) Amount of tax, computed upon item (2) at the rate
9    stated in Section 2-4.
10        (4) Such other information as the Department
11    reasonably may require.
12    In making such return the self-assessing purchaser may use
13any reasonable method to derive reportable "purchase price"
14from the self-assessing purchaser's records.
15    If the average monthly tax liability of the self-assessing
16purchaser to the Department does not exceed $2,500, the
17Department may authorize the self-assessing purchaser's
18returns to be filed on a quarter-annual basis, with the return
19for January, February and March of a given year being due by
20April 30 of such year; with the return for April, May and June
21of a given year being due by July 31 of such year; with the
22return for July, August, and September of a given year being
23due by October 31 of such year; and with the return for
24October, November and December of a given year being due by
25January 31 of the following year.
26    If the average monthly tax liability of the self-assessing

 

 

SB1285- 248 -LRB100 08067 HLH 18153 b

1purchaser to the Department does not exceed $1,000, the
2Department may authorize the self-assessing purchaser's
3returns to be filed on an annual basis, with the return for a
4given year being due by January 31 of the following year.
5    Such quarter-annual and annual returns, as to form and
6substance, shall be subject to the same requirements as monthly
7returns.
8    Notwithstanding any other provision in this Law concerning
9the time within which a self-assessing purchaser may file a
10return, any such self-assessing purchaser who ceases to be
11responsible for filing returns under this Law shall file a
12final return under this Law with the Department not more than
13one month thereafter.
14    Each self-assessing purchaser whose average monthly
15liability to the Department pursuant to this Section was
16$10,000 or more during the preceding calendar year, excluding
17the month of highest liability and the month of lowest
18liability during such calendar year, and which is not operated
19by a unit of local government, shall make estimated payments to
20the Department on or before the 7th, 15th, 22nd and last day of
21the month during which tax liability to the Department is
22incurred in an amount not less than the lower of either 22.5%
23of such self-assessing purchaser's actual tax liability for the
24month or 25% of such self-assessing purchaser's actual tax
25liability for the same calendar month of the preceding year.
26The amount of such quarter-monthly payments shall be credited

 

 

SB1285- 249 -LRB100 08067 HLH 18153 b

1against the final tax liability of the self-assessing
2purchaser's return for that month. An outstanding credit
3approved by the Department or a credit memorandum issued by the
4Department arising from the self-assessing purchaser's
5overpayment of the self-assessing purchaser's final tax
6liability for any month may be applied to reduce the amount of
7any subsequent quarter-monthly payment or credited against the
8final tax liability of such self-assessing purchaser's return
9for any subsequent month. If any quarter-monthly payment is not
10paid at the time or in the amount required by this Section,
11such person shall be liable for penalty and interest on the
12difference between the minimum amount due as a payment and the
13amount of such payment actually and timely paid, except insofar
14as such person has previously made payments for that month to
15the Department in excess of the minimum payments previously
16due.
17    If the Director finds that the information required for the
18making of an accurate return cannot reasonably be compiled by a
19self-assessing purchaser within 15 days after the close of the
20calendar month for which a return is to be made, the Director
21may grant an extension of time for the filing of such return
22for a period of not to exceed 31 calendar days. The granting of
23such an extension may be conditioned upon the deposit by such
24self-assessing purchaser with the Department of an amount of
25money not exceeding the amount estimated by the Director to be
26due with the return so extended. All such deposits shall be

 

 

SB1285- 250 -LRB100 08067 HLH 18153 b

1credited against such self-assessing purchaser's liabilities
2under this Law. If the deposit exceeds such self-assessing
3purchaser's present and probable future liabilities under this
4Law, the Department shall issue to such self-assessing
5purchaser a credit memorandum, which may be assigned by such
6self-assessing purchaser to a similar person under this Law, in
7accordance with reasonable rules and regulations to be
8prescribed by the Department.
9    The self-assessing purchaser making the return provided
10for in this Section shall, at the time of making such return,
11pay to the Department the amount of tax imposed by this Law.
12    Until October 1, 2002, a self-assessing purchaser who has
13an average monthly tax liability of $10,000 or more shall make
14all payments required by rules of the Department by electronic
15funds transfer. The term "average monthly tax liability" shall
16be the sum of the self-assessing purchaser's liabilities under
17this Law for the immediately preceding calendar year divided by
1812. Beginning on October 1, 2002, a taxpayer who has a tax
19liability in the amount set forth in subsection (b) of Section
202505-210 of the Department of Revenue Law shall make all
21payments required by rules of the Department by electronic
22funds transfer. Any self-assessing purchaser not required to
23make payments by electronic funds transfer may make payments by
24electronic funds transfer with the permission of the
25Department. All self-assessing purchasers required to make
26payments by electronic funds transfer and any self-assessing

 

 

SB1285- 251 -LRB100 08067 HLH 18153 b

1purchasers authorized to voluntarily make payments by
2electronic funds transfer shall make those payments in the
3manner authorized by the Department.
4    If any payment provided for in this Section exceeds the
5self-assessing purchaser's liabilities under this Act, as
6shown on an original return, the Department may authorize the
7self-assessing purchaser to credit such excess payment against
8liability subsequently to be remitted to the Department under
9this Act, in accordance with reasonable rules adopted by the
10Department.
11    Through June 30, 2004, each month the Department shall pay
12into the Public Utility Fund in the State treasury an amount
13determined by the Director to be equal to 3.0% of the funds
14received by the Department pursuant to this Section. Through
15June 30, 2004, the remainder of all moneys received by the
16Department under this Section shall be paid into the General
17Revenue Fund in the State treasury. Beginning on July 1, 2004,
18of the 3% of the funds received pursuant to this Section, each
19month the Department shall pay $416,667 into the General
20Revenue Fund and the balance shall be paid into the Public
21Utility Fund in the State treasury.
22(Source: P.A. 92-492, eff. 1-1-02; 93-839, eff. 7-30-04.)
 
23    Section 120. The Innovation Development and Economy Act is
24amended by changing Section 31 as follows:
 

 

 

SB1285- 252 -LRB100 08067 HLH 18153 b

1    (50 ILCS 470/31)
2    Sec. 31. STAR bond occupation taxes.
3    (a) If the corporate authorities of a political subdivision
4have established a STAR bond district and have elected to
5impose a tax by ordinance pursuant to subsection (b) or (c) of
6this Section, each year after the date of the adoption of the
7ordinance and until all STAR bond project costs and all
8political subdivision obligations financing the STAR bond
9project costs, if any, have been paid in accordance with the
10STAR bond project plans, but in no event longer than the
11maximum maturity date of the last of the STAR bonds issued for
12projects in the STAR bond district, all amounts generated by
13the retailers' occupation tax and service occupation tax shall
14be collected and the tax shall be enforced by the Department of
15Revenue in the same manner as all retailers' occupation taxes
16and service occupation taxes imposed in the political
17subdivision imposing the tax. The corporate authorities of the
18political subdivision shall deposit the proceeds of the taxes
19imposed under subsections (b) and (c) into either (i) a special
20fund held by the corporate authorities of the political
21subdivision called the STAR Bonds Tax Allocation Fund for the
22purpose of paying STAR bond project costs and obligations
23incurred in the payment of those costs if such taxes are
24designated as pledged STAR revenues by resolution or ordinance
25of the political subdivision or (ii) the political
26subdivision's general corporate fund if such taxes are not

 

 

SB1285- 253 -LRB100 08067 HLH 18153 b

1designated as pledged STAR revenues by resolution or ordinance.
2    The tax imposed under this Section by a municipality may be
3imposed only on the portion of a STAR bond district that is
4within the boundaries of the municipality. For any part of a
5STAR bond district that lies outside of the boundaries of that
6municipality, the municipality in which the other part of the
7STAR bond district lies (or the county, in cases where a
8portion of the STAR bond district lies in the unincorporated
9area of a county) is authorized to impose the tax under this
10Section on that part of the STAR bond district.
11    (b) The corporate authorities of a political subdivision
12that has established a STAR bond district under this Act may,
13by ordinance or resolution, impose a STAR Bond Retailers'
14Occupation Tax upon all persons engaged in the business of
15selling tangible personal property, other than an item of
16tangible personal property titled or registered with an agency
17of this State's government, at retail in the STAR bond district
18at a rate not to exceed 1% of the gross receipts from the sales
19made in the course of that business, to be imposed only in
200.25% increments. The tax may not be imposed on sales of
21tangible personal property taxed at the 1% rate under the
22Retailers' Occupation Tax Act, including but not limited to,
23food for human consumption that is to be consumed off the
24premises where it is sold (other than alcoholic beverages, soft
25drinks, and food that has been prepared for immediate
26consumption), prescription and nonprescription medicines,

 

 

SB1285- 254 -LRB100 08067 HLH 18153 b

1drugs, medical appliances, products classified as Class III
2medical devices by the United States Food and Drug
3Administration that are used for cancer treatment pursuant to a
4prescription, as well as any accessories and components related
5to those devices, modifications to a motor vehicle for the
6purpose of rendering it usable by a person with a disability,
7and insulin, urine testing materials, syringes, and needles
8used by diabetics, for human use.
9    The tax imposed under this subsection and all civil
10penalties that may be assessed as an incident thereof shall be
11collected and enforced by the Department of Revenue. The
12certificate of registration that is issued by the Department to
13a retailer under the Retailers' Occupation Tax Act shall permit
14the retailer to engage in a business that is taxable under any
15ordinance or resolution enacted pursuant to this subsection
16without registering separately with the Department under such
17ordinance or resolution or under this subsection. The
18Department of Revenue shall have full power to administer and
19enforce this subsection, to collect all taxes and penalties due
20under this subsection in the manner hereinafter provided, and
21to determine all rights to credit memoranda arising on account
22of the erroneous payment of tax or penalty under this
23subsection. In the administration of, and compliance with, this
24subsection, the Department and persons who are subject to this
25subsection shall have the same rights, remedies, privileges,
26immunities, powers, and duties, and be subject to the same

 

 

SB1285- 255 -LRB100 08067 HLH 18153 b

1conditions, restrictions, limitations, penalties, exclusions,
2exemptions, and definitions of terms and employ the same modes
3of procedure, as are prescribed in Sections 1, 1a through 1o, 2
4through 2-65 (in respect to all provisions therein other than
5the State rate of tax), 2c through 2h, 3 (except as to the
6disposition of taxes and penalties collected), 4, 5, 5a, 5b,
75c, 5d, 5e, 5f, 5g, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10,
811, 12, 13, and 14 of the Retailers' Occupation Tax Act and all
9provisions of the Uniform Penalty and Interest Act, as fully as
10if those provisions were set forth herein.
11    If a tax is imposed under this subsection (b), a tax shall
12also be imposed under subsection (c) of this Section.
13    (c) If a tax has been imposed under subsection (b), a STAR
14Bond Service Occupation Tax shall also be imposed upon all
15persons engaged, in the STAR bond district, in the business of
16making sales of service, who, as an incident to making those
17sales of service, transfer tangible personal property within
18the STAR bond district, either in the form of tangible personal
19property or in the form of real estate as an incident to a sale
20of service. The tax shall be imposed at the same rate as the
21tax imposed in subsection (b) and shall not exceed 1% of the
22selling price of tangible personal property so transferred
23within the STAR bond district, to be imposed only in 0.25%
24increments. The tax may not be imposed on sales of tangible
25personal property taxed at the 1% rate under the Service
26Occupation Tax Act, including but not limited to, food for

 

 

SB1285- 256 -LRB100 08067 HLH 18153 b

1human consumption that is to be consumed off the premises where
2it is sold (other than alcoholic beverages, soft drinks, and
3food that has been prepared for immediate consumption),
4prescription and nonprescription medicines, drugs, medical
5appliances, products classified as Class III medical devices by
6the United States Food and Drug Administration that are used
7for cancer treatment pursuant to a prescription, as well as any
8accessories and components related to those devices,
9modifications to a motor vehicle for the purpose of rendering
10it usable by a person with a disability, and insulin, urine
11testing materials, syringes, and needles used by diabetics, for
12human use.
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 of Revenue. The
16certificate of registration that is issued by the Department to
17a retailer under the Retailers' Occupation Tax Act or under the
18Service Occupation Tax Act shall permit the registrant to
19engage in a business that is taxable under any ordinance or
20resolution enacted pursuant to this subsection without
21registering separately with the Department under that
22ordinance or resolution or under this subsection. The
23Department of Revenue shall have full power to administer and
24enforce this subsection, to collect all taxes and penalties due
25under this subsection, to dispose of taxes and penalties so
26collected in the manner hereinafter provided, and to determine

 

 

SB1285- 257 -LRB100 08067 HLH 18153 b

1all rights to credit memoranda arising on account of the
2erroneous payment of tax or penalty under this subsection. In
3the administration of, and compliance with this subsection, the
4Department and persons who are subject to this subsection shall
5have the same rights, remedies, privileges, immunities,
6powers, and duties, and be subject to the same conditions,
7restrictions, limitations, penalties, exclusions, exemptions,
8and definitions of terms and employ the same modes of procedure
9as are prescribed in Sections 2, 2a through 2d, 3 through 3-50
10(in respect to all provisions therein other than the State rate
11of tax), 4 (except that the reference to the State shall be to
12the STAR bond district), 5, 7, 8 (except that the jurisdiction
13to which the tax shall be a debt to the extent indicated in
14that Section 8 shall be the political subdivision), 9 (except
15as to the disposition of taxes and penalties collected, and
16except that the returned merchandise credit for this tax may
17not be taken against any State tax), 10, 11, 12 (except the
18reference therein to Section 2b of the Retailers' Occupation
19Tax Act), 13 (except that any reference to the State shall mean
20the political subdivision), the first paragraph of Section 15,
21and Sections 16, 17, 18, 19 and 20 of the Service Occupation
22Tax Act and all provisions of the Uniform Penalty and Interest
23Act, as fully as if those provisions were set forth herein.
24    If a tax is imposed under this subsection (c), a tax shall
25also be imposed under subsection (b) of this Section.
26    (d) Persons subject to any tax imposed under this Section

 

 

SB1285- 258 -LRB100 08067 HLH 18153 b

1may reimburse themselves for their seller's tax liability under
2this Section by separately stating the tax as an additional
3charge, which charge may be stated in combination, in a single
4amount, with State taxes that sellers are required to collect
5under the Use Tax Act, in accordance with such bracket
6schedules as the Department may prescribe.
7    Whenever the Department determines that a refund should be
8made under this Section to a claimant instead of issuing a
9credit memorandum, the Department shall notify the State
10Comptroller, who shall cause the order to be drawn for the
11amount specified and to the person named in the notification
12from the Department. The refund shall be paid by the State
13Treasurer out of the STAR Bond Retailers' Occupation Tax Fund.
14    The Department shall immediately pay over to the State
15Treasurer, ex officio, as trustee, all taxes, penalties, and
16interest collected under this Section for deposit into the STAR
17Bond Retailers' Occupation Tax Fund. On or before the 25th day
18of each calendar month, the Department shall prepare and
19certify to the Comptroller the disbursement of stated sums of
20money to named political subdivisions from the STAR Bond
21Retailers' Occupation Tax Fund, the political subdivisions to
22be those from which retailers have paid taxes or penalties
23under this Section to the Department during the second
24preceding calendar month. The amount to be paid to each
25political subdivision shall be the amount (not including credit
26memoranda) collected under this Section during the second

 

 

SB1285- 259 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 260 -LRB100 08067 HLH 18153 b

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

 

 

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1the following January 1. The Department of Revenue shall not
2administer or enforce any change made to the boundaries of a
3STAR bond district or any address change, addition, or deletion
4until the political subdivision reports the boundary change or
5address change, addition, or deletion to the Department in the
6manner prescribed by the Department. The political subdivision
7must provide this boundary change or address change, addition,
8or deletion information to the Department on or before April 1
9for administration and enforcement by the Department of the
10change, addition, or deletion beginning on the following July 1
11and on or before October 1 for administration and enforcement
12by the Department of the change, addition, or deletion
13beginning on the following January 1. The retailers in the STAR
14bond district shall be responsible for charging the tax imposed
15under this Section. If a retailer is incorrectly included or
16excluded from the list of those required to collect the tax
17under this Section, both the Department of Revenue and the
18retailer shall be held harmless if they reasonably relied on
19information provided by the political subdivision.
20    A political subdivision that imposes the tax under this
21Section must submit to the Department of Revenue any other
22information as the Department may require that is necessary for
23the administration and enforcement of the tax.
24    When certifying the amount of a monthly disbursement to a
25political subdivision under this Section, the Department shall
26increase or decrease the amount by an amount necessary to

 

 

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1offset any misallocation of previous disbursements. The offset
2amount shall be the amount erroneously disbursed within the
3previous 6 months from the time a misallocation is discovered.
4    Nothing in this Section shall be construed to authorize the
5political subdivision to impose a tax upon the privilege of
6engaging in any business which under the Constitution of the
7United States may not be made the subject of taxation by this
8State.
9    (e) When STAR bond project costs, including, without
10limitation, all political subdivision obligations financing
11STAR bond project costs, have been paid, any surplus funds then
12remaining in the STAR Bonds Tax Allocation Fund shall be
13distributed to the treasurer of the political subdivision for
14deposit into the political subdivision's general corporate
15fund. Upon payment of all STAR bond project costs and
16retirement of obligations, but in no event later than the
17maximum maturity date of the last of the STAR bonds issued in
18the STAR bond district, the political subdivision shall adopt
19an ordinance immediately rescinding the taxes imposed pursuant
20to this Section and file a certified copy of the ordinance with
21the Department in the form and manner as described in this
22Section.
23(Source: P.A. 99-143, eff. 7-27-15.)
 
24    Section 125. The Counties Code is amended by changing
25Sections 5-1006, 5-1006.5, 5-1006.7, 5-1007, and 5-1008.5 as

 

 

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1follows:
 
2    (55 ILCS 5/5-1006)  (from Ch. 34, par. 5-1006)
3    Sec. 5-1006. Home Rule County Retailers' Occupation Tax
4Law. Any county that is a home rule unit may impose a tax upon
5all persons engaged in the business of selling tangible
6personal property, other than an item of tangible personal
7property titled or registered with an agency of this State's
8government, at retail in the county on the gross receipts from
9such sales made in the course of their business. If imposed,
10this tax shall only be imposed in 1/4% increments. On and after
11September 1, 1991, this additional tax may not be imposed on
12the sales of tangible personal property taxed at the 1% rate
13under the Retailers' Occupation Tax Act, including but not
14limited to, food for human consumption that which is to be
15consumed off the premises where it is sold (other than
16alcoholic beverages, soft drinks and food that which has been
17prepared for immediate consumption) and prescription and
18nonprescription medicines, drugs, medical appliances, products
19classified as Class III medical devices by the United States
20Food and Drug Administration that are used for cancer treatment
21pursuant to a prescription, as well as any accessories and
22components related to those devices, modifications to a motor
23vehicle for the purpose of rendering it usable by a person with
24a disability, and insulin, urine testing materials, syringes
25and needles used by diabetics, for human use. The tax imposed

 

 

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1by a home rule county pursuant to this Section and all civil
2penalties that may be assessed as an incident thereof shall be
3collected and enforced by the State Department of Revenue. The
4certificate of registration that is issued by the Department to
5a retailer under the Retailers' Occupation Tax Act shall permit
6the retailer to engage in a business that is taxable under any
7ordinance or resolution enacted pursuant to this Section
8without registering separately with the Department under such
9ordinance or resolution or under this Section. The Department
10shall have full power to administer and enforce this Section;
11to collect all taxes and penalties due hereunder; to dispose of
12taxes and penalties so collected in the manner hereinafter
13provided; and to determine all rights to credit memoranda
14arising on account of the erroneous payment of tax or penalty
15hereunder. In the administration of, and compliance with, this
16Section, the Department and persons who are subject to this
17Section shall have the same rights, remedies, privileges,
18immunities, powers and duties, and be subject to the same
19conditions, restrictions, limitations, penalties and
20definitions of terms, and employ the same modes of procedure,
21as are prescribed in Sections 1, 1a, 1a-1, 1d, 1e, 1f, 1i, 1j,
221k, 1m, 1n, 2 through 2-65 (in respect to all provisions
23therein other than the State rate of tax), 4, 5, 5a, 5b, 5c,
245d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d, 7, 8, 9,
2510, 11, 12 and 13 of the Retailers' Occupation Tax Act and
26Section 3-7 of the Uniform Penalty and Interest Act, as fully

 

 

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1as if those provisions were set forth herein.
2    No tax may be imposed by a home rule county pursuant to
3this Section unless the county also imposes a tax at the same
4rate pursuant to Section 5-1007.
5    Persons subject to any tax imposed pursuant to the
6authority granted in this Section may reimburse themselves for
7their seller's tax liability hereunder by separately stating
8such tax as an additional charge, which charge may be stated in
9combination, in a single amount, with State tax which sellers
10are required to collect under the Use Tax Act, pursuant to such
11bracket schedules as the Department may prescribe.
12    Whenever the Department determines that a refund should be
13made under this Section to a claimant instead of issuing a
14credit memorandum, the Department shall notify the State
15Comptroller, who shall cause the order to be drawn for the
16amount specified and to the person named in the notification
17from the Department. The refund shall be paid by the State
18Treasurer out of the home rule county retailers' occupation tax
19fund.
20    The Department shall forthwith pay over to the State
21Treasurer, ex officio, as trustee, all taxes and penalties
22collected hereunder.
23    As soon as possible after the first day of each month,
24beginning January 1, 2011, upon certification of the Department
25of Revenue, the Comptroller shall order transferred, and the
26Treasurer shall transfer, to the STAR Bonds Revenue Fund the

 

 

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1local sales tax increment, as defined in the Innovation
2Development and Economy Act, collected under this Section
3during the second preceding calendar month for sales within a
4STAR bond district.
5    After the monthly transfer to the STAR Bonds Revenue Fund,
6on or before the 25th day of each calendar month, the
7Department shall prepare and certify to the Comptroller the
8disbursement of stated sums of money to named counties, the
9counties to be those from which retailers have paid taxes or
10penalties hereunder to the Department during the second
11preceding calendar month. The amount to be paid to each county
12shall be the amount (not including credit memoranda) collected
13hereunder during the second preceding calendar month by the
14Department plus an amount the Department determines is
15necessary to offset any amounts that were erroneously paid to a
16different taxing body, and not including an amount equal to the
17amount of refunds made during the second preceding calendar
18month by the Department on behalf of such county, and not
19including any amount which the Department determines is
20necessary to offset any amounts which were payable to a
21different taxing body but were erroneously paid to the county,
22and not including any amounts that are transferred to the STAR
23Bonds Revenue Fund. Within 10 days after receipt, by the
24Comptroller, of the disbursement certification to the counties
25provided for in this Section to be given to the Comptroller by
26the Department, the Comptroller shall cause the orders to be

 

 

SB1285- 267 -LRB100 08067 HLH 18153 b

1drawn for the respective amounts in accordance with the
2directions contained in the certification.
3    In addition to the disbursement required by the preceding
4paragraph, an allocation shall be made in March of each year to
5each county that received more than $500,000 in disbursements
6under the preceding paragraph in the preceding calendar year.
7The allocation shall be in an amount equal to the average
8monthly distribution made to each such county under the
9preceding paragraph during the preceding calendar year
10(excluding the 2 months of highest receipts). The distribution
11made in March of each year subsequent to the year in which an
12allocation was made pursuant to this paragraph and the
13preceding paragraph shall be reduced by the amount allocated
14and disbursed under this paragraph in the preceding calendar
15year. The Department shall prepare and certify to the
16Comptroller for disbursement the allocations made in
17accordance with this paragraph.
18    For the purpose of determining the local governmental unit
19whose tax is applicable, a retail sale by a producer of coal or
20other mineral mined in Illinois is a sale at retail at the
21place where the coal or other mineral mined in Illinois is
22extracted from the earth. This paragraph does not apply to coal
23or other mineral when it is delivered or shipped by the seller
24to the purchaser at a point outside Illinois so that the sale
25is exempt under the United States Constitution as a sale in
26interstate or foreign commerce.

 

 

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1    Nothing in this Section shall be construed to authorize a
2county to impose a tax upon the privilege of engaging in any
3business which under the Constitution of the United States may
4not be made the subject of taxation by this State.
5    An ordinance or resolution imposing or discontinuing a tax
6hereunder or effecting a change in the rate thereof shall be
7adopted and a certified copy thereof filed with the Department
8on or before the first day of June, whereupon the Department
9shall proceed to administer and enforce this Section as of the
10first day of September next following such adoption and filing.
11Beginning January 1, 1992, an ordinance or resolution imposing
12or discontinuing the tax hereunder or effecting a change in the
13rate thereof shall be adopted and a certified copy thereof
14filed with the Department on or before the first day of July,
15whereupon the Department shall proceed to administer and
16enforce this Section as of the first day of October next
17following such adoption and filing. Beginning January 1, 1993,
18an ordinance or resolution imposing or discontinuing the tax
19hereunder or effecting a change in the rate thereof shall be
20adopted and a certified copy thereof filed with the Department
21on or before the first day of October, whereupon the Department
22shall proceed to administer and enforce this Section as of the
23first day of January next following such adoption and filing.
24Beginning April 1, 1998, an ordinance or resolution imposing or
25discontinuing the tax hereunder or effecting a change in the
26rate thereof shall either (i) be adopted and a certified copy

 

 

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

 

 

SB1285- 270 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 271 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 272 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 273 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 274 -LRB100 08067 HLH 18153 b

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

 

 

SB1285- 275 -LRB100 08067 HLH 18153 b

1    the additional tax would cease being collected at the end
2    of (insert number of years), if not terminated earlier by a
3    vote of the county board."
4        For purposes of this Section, "public facilities
5    purposes" means the acquisition, development,
6    construction, reconstruction, rehabilitation, improvement,
7    financing, architectural planning, and installation of
8    capital facilities consisting of buildings, structures,
9    and durable equipment and for the acquisition and
10    improvement of real property and interest in real property
11    required, or expected to be required, in connection with
12    the public facilities, for use by the county for the
13    furnishing of governmental services to its citizens,
14    including but not limited to museums and nursing homes.
15        The votes shall be recorded as "Yes" or "No".
16    If a majority of the electors voting on the proposition
17vote in favor of it, the county may impose the tax. A county
18may not submit more than one proposition authorized by this
19Section to the electors at any one time.
20    This additional tax may not be imposed on the sales of
21tangible personal property taxed at the 1% rate under the
22Retailers' Occupation Tax Act, including but not limited to,
23food for human consumption that is to be consumed off the
24premises where it is sold (other than alcoholic beverages, soft
25drinks, and food that which has been prepared for immediate
26consumption) and prescription and non-prescription medicines,

 

 

SB1285- 276 -LRB100 08067 HLH 18153 b

1drugs, medical appliances, products classified as Class III
2medical devices by the United States Food and Drug
3Administration that are used for cancer treatment pursuant to a
4prescription, as well as any accessories and components related
5to those devices, modifications to a motor vehicle for the
6purpose of rendering it usable by a person with a disability,
7and insulin, urine testing materials, syringes, and needles
8used by diabetics, for human use. The tax imposed by a county
9under this Section and all civil penalties that may be assessed
10as an incident of the tax shall be collected and enforced by
11the Illinois Department of Revenue and deposited into a special
12fund created for that purpose. The certificate of registration
13that is issued by the Department to a retailer under the
14Retailers' Occupation Tax Act shall permit the retailer to
15engage in a business that is taxable without registering
16separately with the Department under an ordinance or resolution
17under this Section. The Department has full power to administer
18and enforce this Section, to collect all taxes and penalties
19due under this Section, to dispose of taxes and penalties so
20collected in the manner provided in this Section, and to
21determine all rights to credit memoranda arising on account of
22the erroneous payment of a tax or penalty under this Section.
23In the administration of and compliance with this Section, the
24Department and persons who are subject to this Section shall
25(i) have the same rights, remedies, privileges, immunities,
26powers, and duties, (ii) be subject to the same conditions,

 

 

SB1285- 277 -LRB100 08067 HLH 18153 b

1restrictions, limitations, penalties, and definitions of
2terms, and (iii) employ the same modes of procedure as are
3prescribed in Sections 1, 1a, 1a-1, 1d, 1e, 1f, 1i, 1j, 1k, 1m,
41n, 2 through 2-70 (in respect to all provisions contained in
5those Sections other than the State rate of tax), 2a, 2b, 2c, 3
6(except provisions relating to transaction returns and quarter
7monthly payments), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i,
85j, 5k, 5l, 6, 6a, 6b, 6c, 6d, 7, 8, 9, 10, 11, 11a, 12, and 13
9of the Retailers' Occupation Tax Act and Section 3-7 of the
10Uniform Penalty and Interest Act as if those provisions were
11set forth in this Section.
12    Persons subject to any tax imposed under the authority
13granted in this Section may reimburse themselves for their
14sellers' tax liability by separately stating the tax as an
15additional charge, which charge may be stated in combination,
16in a single amount, with State tax which sellers are required
17to collect under the Use Tax Act, pursuant to such bracketed
18schedules as the Department may prescribe.
19    Whenever the Department determines that a refund should be
20made under this Section to a claimant instead of issuing a
21credit memorandum, the Department shall notify the State
22Comptroller, who shall cause the order to be drawn for the
23amount specified and to the person named in the notification
24from the Department. The refund shall be paid by the State
25Treasurer out of the County Public Safety or Transportation
26Retailers' Occupation Tax Fund.

 

 

SB1285- 278 -LRB100 08067 HLH 18153 b

1    (b) If a tax has been imposed under subsection (a), a
2service occupation tax shall also be imposed at the same rate
3upon all persons engaged, in the county, in the business of
4making sales of service, who, as an incident to making those
5sales of service, transfer tangible personal property within
6the county as an incident to a sale of service. This tax may
7not be imposed on sales of tangible personal property taxed at
8the 1% rate under the Retailers' Occupation Tax Act, including
9but not limited to, food for human consumption that is to be
10consumed off the premises where it is sold (other than
11alcoholic beverages, soft drinks, and food that has been
12prepared for immediate consumption) and prescription and
13non-prescription medicines, drugs, medical appliances,
14products classified as Class III medical devices by the United
15States Food and Drug Administration that are used for cancer
16treatment pursuant to a prescription, as well as any
17accessories and components related to those devices,
18modifications to a motor vehicle for the purpose of rendering
19it usable by a person with a disability, and insulin, urine
20testing materials, syringes, and needles used by diabetics, for
21human use. The tax imposed under this subsection and all civil
22penalties that may be assessed as an incident thereof shall be
23collected and enforced by the Department of Revenue. The
24Department has full power to administer and enforce this
25subsection; to collect all taxes and penalties due hereunder;
26to dispose of taxes and penalties so collected in the manner

 

 

SB1285- 279 -LRB100 08067 HLH 18153 b

1hereinafter provided; and to determine all rights to credit
2memoranda arising on account of the erroneous payment of tax or
3penalty hereunder. In the administration of, and compliance
4with this subsection, the Department and persons who are
5subject to this paragraph shall (i) have the same rights,
6remedies, privileges, immunities, powers, and duties, (ii) be
7subject to the same conditions, restrictions, limitations,
8penalties, exclusions, exemptions, and definitions of terms,
9and (iii) employ the same modes of procedure as are prescribed
10in Sections 2 (except that the reference to State in the
11definition of supplier maintaining a place of business in this
12State shall mean the county), 2a, 2b, 2c, 3 through 3-50 (in
13respect to all provisions therein other than the State rate of
14tax), 4 (except that the reference to the State shall be to the
15county), 5, 7, 8 (except that the jurisdiction to which the tax
16shall be a debt to the extent indicated in that Section 8 shall
17be the county), 9 (except as to the disposition of taxes and
18penalties collected), 10, 11, 12 (except the reference therein
19to Section 2b of the Retailers' Occupation Tax Act), 13 (except
20that any reference to the State shall mean the county), Section
2115, 16, 17, 18, 19 and 20 of the Service Occupation Tax Act and
22Section 3-7 of the Uniform Penalty and Interest Act, as fully
23as if those provisions were set forth herein.
24    Persons subject to any tax imposed under the authority
25granted in this subsection may reimburse themselves for their
26serviceman's tax liability by separately stating the tax as an

 

 

SB1285- 280 -LRB100 08067 HLH 18153 b

1additional charge, which charge may be stated in combination,
2in a single amount, with State tax that servicemen are
3authorized to collect under the Service Use Tax Act, in
4accordance with such bracket schedules as the Department may
5prescribe.
6    Whenever the Department determines that a refund should be
7made under this subsection to a claimant instead of issuing a
8credit memorandum, the Department shall notify the State
9Comptroller, who shall cause the warrant to be drawn for the
10amount specified, and to the person named, in the notification
11from the Department. The refund shall be paid by the State
12Treasurer out of the County Public Safety or Transportation
13Retailers' Occupation Fund.
14    Nothing in this subsection shall be construed to authorize
15the county to impose a tax upon the privilege of engaging in
16any business which under the Constitution of the United States
17may not be made the subject of taxation by the State.
18    (c) The Department shall immediately pay over to the State
19Treasurer, ex officio, as trustee, all taxes and penalties
20collected under this Section to be deposited into the County
21Public Safety or Transportation Retailers' Occupation Tax
22Fund, which shall be an unappropriated trust fund held outside
23of the State treasury.
24    As soon as possible after the first day of each month,
25beginning January 1, 2011, upon certification of the Department
26of Revenue, the Comptroller shall order transferred, and the

 

 

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1Treasurer shall transfer, to the STAR Bonds Revenue Fund the
2local sales tax increment, as defined in the Innovation
3Development and Economy Act, collected under this Section
4during the second preceding calendar month for sales within a
5STAR bond district.
6    After the monthly transfer to the STAR Bonds Revenue Fund,
7on or before the 25th day of each calendar month, the
8Department shall prepare and certify to the Comptroller the
9disbursement of stated sums of money to the counties from which
10retailers have paid taxes or penalties to the Department during
11the second preceding calendar month. The amount to be paid to
12each county, and deposited by the county into its special fund
13created for the purposes of this Section, shall be the amount
14(not including credit memoranda) collected under this Section
15during the second preceding calendar month by the Department
16plus an amount the Department determines is necessary to offset
17any amounts that were erroneously paid to a different taxing
18body, and not including (i) an amount equal to the amount of
19refunds made during the second preceding calendar month by the
20Department on behalf of the county, (ii) any amount that the
21Department determines is necessary to offset any amounts that
22were payable to a different taxing body but were erroneously
23paid to the county, and (iii) any amounts that are transferred
24to the STAR Bonds Revenue Fund. Within 10 days after receipt by
25the Comptroller of the disbursement certification to the
26counties provided for in this Section to be given to the

 

 

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1Comptroller by the Department, the Comptroller shall cause the
2orders to be drawn for the respective amounts in accordance
3with directions contained in the certification.
4    In addition to the disbursement required by the preceding
5paragraph, an allocation shall be made in March of each year to
6each county that received more than $500,000 in disbursements
7under the preceding paragraph in the preceding calendar year.
8The allocation shall be in an amount equal to the average
9monthly distribution made to each such county under the
10preceding paragraph during the preceding calendar year
11(excluding the 2 months of highest receipts). The distribution
12made in March of each year subsequent to the year in which an
13allocation was made pursuant to this paragraph and the
14preceding paragraph shall be reduced by the amount allocated
15and disbursed under this paragraph in the preceding calendar
16year. The Department shall prepare and certify to the
17Comptroller for disbursement the allocations made in
18accordance with this paragraph.
19    A county may direct, by ordinance, that all or a portion of
20the taxes and penalties collected under the Special County
21Retailers' Occupation Tax For Public Safety or Transportation
22be deposited into the Transportation Development Partnership
23Trust Fund.
24    (d) For the purpose of determining the local governmental
25unit whose tax is applicable, a retail sale by a producer of
26coal or another mineral mined in Illinois is a sale at retail

 

 

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1at the place where the coal or other mineral mined in Illinois
2is extracted from the earth. This paragraph does not apply to
3coal or another mineral when it is delivered or shipped by the
4seller to the purchaser at a point outside Illinois so that the
5sale is exempt under the United States Constitution as a sale
6in interstate or foreign commerce.
7    (e) Nothing in this Section shall be construed to authorize
8a county to impose a tax upon the privilege of engaging in any
9business that under the Constitution of the United States may
10not be made the subject of taxation by this State.
11    (e-5) If a county imposes a tax under this Section, the
12county board may, by ordinance, discontinue or lower the rate
13of the tax. If the county board lowers the tax rate or
14discontinues the tax, a referendum must be held in accordance
15with subsection (a) of this Section in order to increase the
16rate of the tax or to reimpose the discontinued tax.
17    (f) Beginning April 1, 1998 and through December 31, 2013,
18the results of any election authorizing a proposition to impose
19a tax under this Section or effecting a change in the rate of
20tax, or any ordinance lowering the rate or discontinuing the
21tax, shall be certified by the county clerk and filed with the
22Illinois Department of Revenue either (i) on or before the
23first day of April, whereupon the Department shall proceed to
24administer and enforce the tax as of the first day of July next
25following the filing; or (ii) on or before the first day of
26October, whereupon the Department shall proceed to administer

 

 

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1and enforce the tax as of the first day of January next
2following the filing.
3    Beginning January 1, 2014, the results of any election
4authorizing a proposition to impose a tax under this Section or
5effecting an increase in the rate of tax, along with the
6ordinance adopted to impose the tax or increase the rate of the
7tax, or any ordinance adopted to lower the rate or discontinue
8the tax, shall be certified by the county clerk and filed with
9the Illinois Department of Revenue either (i) on or before the
10first day of May, whereupon the Department shall proceed to
11administer and enforce the tax as of the first day of July next
12following the adoption and filing; or (ii) on or before the
13first day of October, whereupon the Department shall proceed to
14administer and enforce the tax as of the first day of January
15next following the adoption and filing.
16    (g) When certifying the amount of a monthly disbursement to
17a county under this Section, the Department shall increase or
18decrease the amounts by an amount necessary to offset any
19miscalculation of previous disbursements. The offset amount
20shall be the amount erroneously disbursed within the previous 6
21months from the time a miscalculation is discovered.
22    (h) This Section may be cited as the "Special County
23Occupation Tax For Public Safety, Public Facilities, or
24Transportation Law".
25    (i) For purposes of this Section, "public safety" includes,
26but is not limited to, crime prevention, detention, fire

 

 

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1fighting, police, medical, ambulance, or other emergency
2services. The county may share tax proceeds received under this
3Section for public safety purposes, including proceeds
4received before August 4, 2009 (the effective date of Public
5Act 96-124), with any fire protection district located in the
6county. For the purposes of this Section, "transportation"
7includes, but is not limited to, the construction, maintenance,
8operation, and improvement of public highways, any other
9purpose for which a county may expend funds under the Illinois
10Highway Code, and passenger rail transportation. For the
11purposes of this Section, "public facilities purposes"
12includes, but is not limited to, the acquisition, development,
13construction, reconstruction, rehabilitation, improvement,
14financing, architectural planning, and installation of capital
15facilities consisting of buildings, structures, and durable
16equipment and for the acquisition and improvement of real
17property and interest in real property required, or expected to
18be required, in connection with the public facilities, for use
19by the county for the furnishing of governmental services to
20its citizens, including but not limited to museums and nursing
21homes.
22    (j) The Department may promulgate rules to implement Public
23Act 95-1002 only to the extent necessary to apply the existing
24rules for the Special County Retailers' Occupation Tax for
25Public Safety to this new purpose for public facilities.
26(Source: P.A. 98-584, eff. 8-27-13; 99-4, eff. 5-31-15; 99-217,

 

 

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1eff. 7-31-15; 99-642, eff. 7-28-16.)
 
2    (55 ILCS 5/5-1006.7)
3    Sec. 5-1006.7. School facility occupation taxes.
4    (a) In any county, a tax shall be imposed upon all persons
5engaged in the business of selling tangible personal property,
6other than personal property titled or registered with an
7agency of this State's government, at retail in the county on
8the gross receipts from the sales made in the course of
9business to provide revenue to be used exclusively for school
10facility purposes if a proposition for the tax has been
11submitted to the electors of that county and approved by a
12majority of those voting on the question as provided in
13subsection (c). The tax under this Section shall be imposed
14only in one-quarter percent increments and may not exceed 1%.
15    This additional tax may not be imposed on the sale of
16tangible personal property taxed at the 1% rate under the
17Retailers' Occupation Tax Act, including but not limited to,
18food for human consumption that is to be consumed off the
19premises where it is sold (other than alcoholic beverages, soft
20drinks, and food that has been prepared for immediate
21consumption) and prescription and non-prescription medicines,
22drugs, medical appliances, products classified as Class III
23medical devices by the United States Food and Drug
24Administration that are used for cancer treatment pursuant to a
25prescription, as well as any accessories and components related

 

 

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1to those devices, modifications to a motor vehicle for the
2purpose of rendering it usable by a person with a disability,
3and insulin, urine testing materials, syringes and needles used
4by diabetics, for human use. The Department of Revenue has full
5power to administer and enforce this subsection, to collect all
6taxes and penalties due under this subsection, to dispose of
7taxes and penalties so collected in the manner provided in this
8subsection, and to determine all rights to credit memoranda
9arising on account of the erroneous payment of a tax or penalty
10under this subsection. The Department shall deposit all taxes
11and penalties collected under this subsection into a special
12fund created for that purpose.
13    In the administration of and compliance with this
14subsection, the Department and persons who are subject to this
15subsection (i) have the same rights, remedies, privileges,
16immunities, powers, and duties, (ii) are subject to the same
17conditions, restrictions, limitations, penalties, and
18definitions of terms, and (iii) shall employ the same modes of
19procedure as are set forth in Sections 1 through 1o, 2 through
202-70 (in respect to all provisions contained in those Sections
21other than the State rate of tax), 2a through 2h, 3 (except as
22to the disposition of taxes and penalties collected), 4, 5, 5a,
235b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d,
247, 8, 9, 10, 11, 11a, 12, and 13 of the Retailers' Occupation
25Tax Act and all provisions of the Uniform Penalty and Interest
26Act as if those provisions were set forth in this subsection.

 

 

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

 

 

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1Administration that are used for cancer treatment pursuant to a
2prescription, as well as any accessories and components related
3to those devices, modifications to a motor vehicle for the
4purpose of rendering it usable by a person with a disability,
5and insulin, urine testing materials, syringes, and needles
6used by diabetics, for human use.
7    The tax imposed under this subsection and all civil
8penalties that may be assessed as an incident thereof shall be
9collected and enforced by the Department and deposited into a
10special fund created for that purpose. The Department has full
11power to administer and enforce this subsection, to collect all
12taxes and penalties due under this subsection, to dispose of
13taxes and penalties so collected in the manner provided in this
14subsection, and to determine all rights to credit memoranda
15arising on account of the erroneous payment of a tax or penalty
16under this subsection.
17    In the administration of and compliance with this
18subsection, the Department and persons who are subject to this
19subsection shall (i) have the same rights, remedies,
20privileges, immunities, powers and duties, (ii) be subject to
21the same conditions, restrictions, limitations, penalties and
22definition of terms, and (iii) employ the same modes of
23procedure as are set forth in Sections 2 (except that that
24reference to State in the definition of supplier maintaining a
25place of business in this State means the county), 2a through
262d, 3 through 3-50 (in respect to all provisions contained in

 

 

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1those Sections other than the State rate of tax), 4 (except
2that the reference to the State shall be to the county), 5, 7,
38 (except that the jurisdiction to which the tax is a debt to
4the extent indicated in that Section 8 is the county), 9
5(except as to the disposition of taxes and penalties
6collected), 10, 11, 12 (except the reference therein to Section
72b of the Retailers' Occupation Tax Act), 13 (except that any
8reference to the State means the county), Section 15, 16, 17,
918, 19, and 20 of the Service Occupation Tax Act and all
10provisions of the Uniform Penalty and Interest Act, as fully as
11if those provisions were set forth herein.
12    Persons subject to any tax imposed under the authority
13granted in this subsection may reimburse themselves for their
14serviceman's tax liability by separately stating the tax as an
15additional charge, which may be stated in combination, in a
16single amount, with State tax that servicemen are authorized to
17collect under the Service Use Tax Act, pursuant to any
18bracketed schedules set forth by the Department.
19    (c) The tax under this Section may not be imposed until the
20question of imposing the tax has been submitted to the electors
21of the county at a regular election and approved by a majority
22of the electors voting on the question. For all regular
23elections held prior to August 23, 2011 (the effective date of
24Public Act 97-542), upon a resolution by the county board or a
25resolution by school district boards that represent at least
2651% of the student enrollment within the county, the county

 

 

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1board must certify the question to the proper election
2authority in accordance with the Election Code.
3    For all regular elections held prior to August 23, 2011
4(the effective date of Public Act 97-542), the election
5authority must submit the question in substantially the
6following form:
7        Shall (name of county) be authorized to impose a
8    retailers' occupation tax and a service occupation tax
9    (commonly referred to as a "sales tax") at a rate of
10    (insert rate) to be used exclusively for school facility
11    purposes?
12The election authority must record the votes as "Yes" or "No".
13    If a majority of the electors voting on the question vote
14in the affirmative, then the county may, thereafter, impose the
15tax.
16    For all regular elections held on or after August 23, 2011
17(the effective date of Public Act 97-542), the regional
18superintendent of schools for the county must, upon receipt of
19a resolution or resolutions of school district boards that
20represent more than 50% of the student enrollment within the
21county, certify the question to the proper election authority
22for submission to the electors of the county at the next
23regular election at which the question lawfully may be
24submitted to the electors, all in accordance with the Election
25Code.
26    For all regular elections held on or after August 23, 2011

 

 

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1(the effective date of Public Act 97-542), the election
2authority must submit the question in substantially the
3following form:
4        Shall a retailers' occupation tax and a service
5    occupation tax (commonly referred to as a "sales tax") be
6    imposed in (name of county) at a rate of (insert rate) to
7    be used exclusively for school facility purposes?
8The election authority must record the votes as "Yes" or "No".
9    If a majority of the electors voting on the question vote
10in the affirmative, then the tax shall be imposed at the rate
11set forth in the question.
12    For the purposes of this subsection (c), "enrollment" means
13the head count of the students residing in the county on the
14last school day of September of each year, which must be
15reported on the Illinois State Board of Education Public School
16Fall Enrollment/Housing Report.
17    (d) The Department shall immediately pay over to the State
18Treasurer, ex officio, as trustee, all taxes and penalties
19collected under this Section to be deposited into the School
20Facility Occupation Tax Fund, which shall be an unappropriated
21trust fund held outside the State treasury.
22    On or before the 25th day of each calendar month, the
23Department shall prepare and certify to the Comptroller the
24disbursement of stated sums of money to the regional
25superintendents of schools in counties from which retailers or
26servicemen have paid taxes or penalties to the Department

 

 

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1during the second preceding calendar month. The amount to be
2paid to each regional superintendent of schools and disbursed
3to him or her in accordance with Section 3-14.31 of the School
4Code, is equal to the amount (not including credit memoranda)
5collected from the county under this Section during the second
6preceding calendar month by the Department, (i) less 2% of that
7amount, which shall be transferred deposited into the Tax
8Compliance and Administration Fund and shall be used by the
9Department, subject to appropriation, to cover the costs of the
10Department in administering and enforcing the provisions of
11this Section, on behalf of the county, (ii) plus an amount that
12the Department determines is necessary to offset any amounts
13that were erroneously paid to a different taxing body; (iii)
14less an amount equal to the amount of refunds made during the
15second preceding calendar month by the Department on behalf of
16the county; and (iv) less any amount that the Department
17determines is necessary to offset any amounts that were payable
18to a different taxing body but were erroneously paid to the
19county. When certifying the amount of a monthly disbursement to
20a regional superintendent of schools under this Section, the
21Department shall increase or decrease the amounts by an amount
22necessary to offset any miscalculation of previous
23disbursements within the previous 6 months from the time a
24miscalculation is discovered.
25    Within 10 days after receipt by the Comptroller from the
26Department of the disbursement certification to the regional

 

 

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1superintendents of the schools provided for in this Section,
2the Comptroller shall cause the orders to be drawn for the
3respective amounts in accordance with directions contained in
4the certification.
5    If the Department determines that a refund should be made
6under this Section to a claimant instead of issuing a credit
7memorandum, then the Department shall notify the Comptroller,
8who shall cause the order to be drawn for the amount specified
9and to the person named in the notification from the
10Department. The refund shall be paid by the Treasurer out of
11the School Facility Occupation Tax Fund.
12    (e) For the purposes of determining the local governmental
13unit whose tax is applicable, a retail sale by a producer of
14coal or another mineral mined in Illinois is a sale at retail
15at the place where the coal or other mineral mined in Illinois
16is extracted from the earth. This subsection does not apply to
17coal or another mineral when it is delivered or shipped by the
18seller to the purchaser at a point outside Illinois so that the
19sale is exempt under the United States Constitution as a sale
20in interstate or foreign commerce.
21    (f) Nothing in this Section may be construed to authorize a
22tax to be imposed upon the privilege of engaging in any
23business that under the Constitution of the United States may
24not be made the subject of taxation by this State.
25    (g) If a county board imposes a tax under this Section
26pursuant to a referendum held before August 23, 2011 (the

 

 

SB1285- 295 -LRB100 08067 HLH 18153 b

1effective date of Public Act 97-542) at a rate below the rate
2set forth in the question approved by a majority of electors of
3that county voting on the question as provided in subsection
4(c), then the county board may, by ordinance, increase the rate
5of the tax up to the rate set forth in the question approved by
6a majority of electors of that county voting on the question as
7provided in subsection (c). If a county board imposes a tax
8under this Section pursuant to a referendum held before August
923, 2011 (the effective date of Public Act 97-542), then the
10board may, by ordinance, discontinue or reduce the rate of the
11tax. If a tax is imposed under this Section pursuant to a
12referendum held on or after August 23, 2011 (the effective date
13of Public Act 97-542), then the county board may reduce or
14discontinue the tax, but only in accordance with subsection
15(h-5) of this Section. If, however, a school board issues bonds
16that are secured by the proceeds of the tax under this Section,
17then the county board may not reduce the tax rate or
18discontinue the tax if that rate reduction or discontinuance
19would adversely affect the school board's ability to pay the
20principal and interest on those bonds as they become due or
21necessitate the extension of additional property taxes to pay
22the principal and interest on those bonds. If the county board
23reduces the tax rate or discontinues the tax, then a referendum
24must be held in accordance with subsection (c) of this Section
25in order to increase the rate of the tax or to reimpose the
26discontinued tax.

 

 

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

 

 

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1construction, reconstruction, rehabilitation, improvement,
2financing, architectural planning, and installation of capital
3facilities consisting of buildings, structures, and durable
4equipment and for the acquisition and improvement of real
5property and interest in real property required, or expected to
6be required, in connection with the capital facilities and (ii)
7the payment of bonds or other obligations heretofore or
8hereafter issued, including bonds or other obligations
9heretofore or hereafter issued to refund or to continue to
10refund bonds or other obligations issued, for school facility
11purposes, provided that the taxes levied to pay those bonds are
12abated by the amount of the taxes imposed under this Section
13that are used to pay those bonds. "School-facility purposes"
14also includes fire prevention, safety, energy conservation,
15accessibility, school security, and specified repair purposes
16set forth under Section 17-2.11 of the School Code.
17    (h-5) A county board in a county where a tax has been
18imposed under this Section pursuant to a referendum held on or
19after August 23, 2011 (the effective date of Public Act 97-542)
20may, by ordinance or resolution, submit to the voters of the
21county the question of reducing or discontinuing the tax. In
22the ordinance or resolution, the county board shall certify the
23question to the proper election authority in accordance with
24the Election Code. The election authority must submit the
25question in substantially the following form:
26        Shall the school facility retailers' occupation tax

 

 

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1    and service occupation tax (commonly referred to as the
2    "school facility sales tax") currently imposed in (name of
3    county) at a rate of (insert rate) be (reduced to (insert
4    rate))(discontinued)?
5If a majority of the electors voting on the question vote in
6the affirmative, then, subject to the provisions of subsection
7(g) of this Section, the tax shall be reduced or discontinued
8as set forth in the question.
9    (i) This Section does not apply to Cook County.
10    (j) This Section may be cited as the County School Facility
11Occupation Tax Law.
12(Source: P.A. 98-584, eff. 8-27-13; 99-143, eff. 7-27-15;
1399-217, eff. 7-31-15; 99-642, eff. 7-28-16.)
 
14    (55 ILCS 5/5-1007)  (from Ch. 34, par. 5-1007)
15    Sec. 5-1007. Home Rule County Service Occupation Tax Law.
16The corporate authorities of a home rule county may impose a
17tax upon all persons engaged, in such county, in the business
18of making sales of service at the same rate of tax imposed
19pursuant to Section 5-1006 of the selling price of all tangible
20personal property transferred by such servicemen either in the
21form of tangible personal property or in the form of real
22estate as an incident to a sale of service. If imposed, such
23tax shall only be imposed in 1/4% increments. On and after
24September 1, 1991, this additional tax may not be imposed on
25the sales of tangible personal property taxed at the 1% rate

 

 

SB1285- 299 -LRB100 08067 HLH 18153 b

1under the Service Occupation Tax Act, including but not limited
2to, food for human consumption that which is to be consumed off
3the premises where it is sold (other than alcoholic beverages,
4soft drinks and food that which has been prepared for immediate
5consumption) and prescription and nonprescription medicines,
6drugs, medical appliances, products classified as Class III
7medical devices by the United States Food and Drug
8Administration that are used for cancer treatment pursuant to a
9prescription, as well as any accessories and components related
10to those devices, modifications to a motor vehicle for the
11purpose of rendering it usable by a person with a disability,
12and insulin, urine testing materials, syringes and needles used
13by diabetics, for human use. The tax imposed by a home rule
14county pursuant to this Section and all civil penalties that
15may be assessed as an incident thereof shall be collected and
16enforced by the State Department of Revenue. The certificate of
17registration which is issued by the Department to a retailer
18under the Retailers' Occupation Tax Act or under the Service
19Occupation Tax Act shall permit such registrant to engage in a
20business which is taxable under any ordinance or resolution
21enacted pursuant to this Section without registering
22separately with the Department under such ordinance or
23resolution or under this Section. The Department shall have
24full power to administer and enforce this Section; to collect
25all taxes and penalties due hereunder; to dispose of taxes and
26penalties so collected in the manner hereinafter provided; and

 

 

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1to determine all rights to credit memoranda arising on account
2of the erroneous payment of tax or penalty hereunder. In the
3administration of, and compliance with, this Section the
4Department and persons who are subject to this Section shall
5have the same rights, remedies, privileges, immunities, powers
6and duties, and be subject to the same conditions,
7restrictions, limitations, penalties and definitions of terms,
8and employ the same modes of procedure, as are prescribed in
9Sections 1a-1, 2, 2a, 3 through 3-50 (in respect to all
10provisions therein other than the State rate of tax), 4 (except
11that the reference to the State shall be to the taxing county),
125, 7, 8 (except that the jurisdiction to which the tax shall be
13a debt to the extent indicated in that Section 8 shall be the
14taxing county), 9 (except as to the disposition of taxes and
15penalties collected, and except that the returned merchandise
16credit for this county tax may not be taken against any State
17tax), 10, 11, 12 (except the reference therein to Section 2b of
18the Retailers' Occupation Tax Act), 13 (except that any
19reference to the State shall mean the taxing county), the first
20paragraph of Section 15, 16, 17, 18, 19 and 20 of the Service
21Occupation Tax Act and Section 3-7 of the Uniform Penalty and
22Interest Act, as fully as if those provisions were set forth
23herein.
24    No tax may be imposed by a home rule county pursuant to
25this Section unless such county also imposes a tax at the same
26rate pursuant to Section 5-1006.

 

 

SB1285- 301 -LRB100 08067 HLH 18153 b

1    Persons subject to any tax imposed pursuant to the
2authority granted in this Section may reimburse themselves for
3their serviceman's tax liability hereunder by separately
4stating such tax as an additional charge, which charge may be
5stated in combination, in a single amount, with State tax which
6servicemen are authorized to collect under the Service Use Tax
7Act, pursuant to such bracket schedules as the Department may
8prescribe.
9    Whenever the Department determines that a refund should be
10made under this Section to a claimant instead of issuing credit
11memorandum, the Department shall notify the State Comptroller,
12who shall cause the order to be drawn for the amount specified,
13and to the person named, in such notification from the
14Department. Such refund shall be paid by the State Treasurer
15out of the home rule county retailers' occupation tax fund.
16    The Department shall forthwith pay over to the State
17Treasurer, ex-officio, as trustee, all taxes and penalties
18collected hereunder.
19    As soon as possible after the first day of each month,
20beginning January 1, 2011, upon certification of the Department
21of Revenue, the Comptroller shall order transferred, and the
22Treasurer shall transfer, to the STAR Bonds Revenue Fund the
23local sales tax increment, as defined in the Innovation
24Development and Economy Act, collected under this Section
25during the second preceding calendar month for sales within a
26STAR bond district.

 

 

SB1285- 302 -LRB100 08067 HLH 18153 b

1    After the monthly transfer to the STAR Bonds Revenue Fund,
2on or before the 25th day of each calendar month, the
3Department shall prepare and certify to the Comptroller the
4disbursement of stated sums of money to named counties, the
5counties to be those from which suppliers and servicemen have
6paid taxes or penalties hereunder to the Department during the
7second preceding calendar month. The amount to be paid to each
8county shall be the amount (not including credit memoranda)
9collected hereunder during the second preceding calendar month
10by the Department, and not including an amount equal to the
11amount of refunds made during the second preceding calendar
12month by the Department on behalf of such county, and not
13including any amounts that are transferred to the STAR Bonds
14Revenue Fund. Within 10 days after receipt, by the Comptroller,
15of the disbursement certification to the counties provided for
16in this Section to be given to the Comptroller by the
17Department, the Comptroller shall cause the orders to be drawn
18for the respective amounts in accordance with the directions
19contained in such certification.
20    In addition to the disbursement required by the preceding
21paragraph, an allocation shall be made in each year to each
22county which received more than $500,000 in disbursements under
23the preceding paragraph in the preceding calendar year. The
24allocation shall be in an amount equal to the average monthly
25distribution made to each such county under the preceding
26paragraph during the preceding calendar year (excluding the 2

 

 

SB1285- 303 -LRB100 08067 HLH 18153 b

1months of highest receipts). The distribution made in March of
2each year subsequent to the year in which an allocation was
3made pursuant to this paragraph and the preceding paragraph
4shall be reduced by the amount allocated and disbursed under
5this paragraph in the preceding calendar year. The Department
6shall prepare and certify to the Comptroller for disbursement
7the allocations made in accordance with this paragraph.
8    Nothing in this Section shall be construed to authorize a
9county to impose a tax upon the privilege of engaging in any
10business which under the Constitution of the United States may
11not be made the subject of taxation by this State.
12    An ordinance or resolution imposing or discontinuing a tax
13hereunder or effecting a change in the rate thereof shall be
14adopted and a certified copy thereof filed with the Department
15on or before the first day of June, whereupon the Department
16shall proceed to administer and enforce this Section as of the
17first day of September next following such adoption and filing.
18Beginning January 1, 1992, an ordinance or resolution imposing
19or discontinuing the tax hereunder or effecting a change in the
20rate thereof shall be adopted and a certified copy thereof
21filed with the Department on or before the first day of July,
22whereupon the Department shall proceed to administer and
23enforce this Section as of the first day of October next
24following such adoption and filing. Beginning January 1, 1993,
25an ordinance or resolution imposing or discontinuing the tax
26hereunder or effecting a change in the rate thereof shall be

 

 

SB1285- 304 -LRB100 08067 HLH 18153 b

1adopted and a certified copy thereof filed with the Department
2on or before the first day of October, whereupon the Department
3shall proceed to administer and enforce this Section as of the
4first day of January next following such adoption and filing.
5Beginning April 1, 1998, an ordinance or resolution imposing or
6discontinuing the tax hereunder or effecting a change in the
7rate thereof shall either (i) be adopted and a certified copy
8thereof filed with the Department on or before the first day of
9April, whereupon the Department shall proceed to administer and
10enforce this Section as of the first day of July next following
11the adoption and filing; or (ii) be adopted and a certified
12copy thereof filed with the Department on or before the first
13day of October, whereupon the Department shall proceed to
14administer and enforce this Section as of the first day of
15January next following the adoption and filing.
16    This Section shall be known and may be cited as the Home
17Rule County Service Occupation Tax Law.
18(Source: P.A. 96-939, eff. 6-24-10.)
 
19    (55 ILCS 5/5-1008.5)
20    Sec. 5-1008.5. Use and occupation taxes.
21    (a) The Rock Island County Board may adopt a resolution
22that authorizes a referendum on the question of whether the
23county shall be authorized to impose a retailers' occupation
24tax, a service occupation tax, and a use tax at a rate of 1/4 of
251% on behalf of the economic development activities of Rock

 

 

SB1285- 305 -LRB100 08067 HLH 18153 b

1Island County and communities located within the county. The
2county board shall certify the question to the proper election
3authorities who shall submit the question to the voters of the
4county at the next regularly scheduled election in accordance
5with the general election law. The question shall be in
6substantially the following form:
7        Shall Rock Island County be authorized to impose a
8    retailers' occupation tax, a service occupation tax, and a
9    use tax at the rate of 1/4 of 1% for the sole purpose of
10    economic development activities, including creation and
11    retention of job opportunities, support of affordable
12    housing opportunities, and enhancement of quality of life
13    improvements?
14    Votes shall be recorded as "yes" or "no". If a majority of
15all votes cast on the proposition are in favor of the
16proposition, the county is authorized to impose the tax.
17    (b) The county shall impose the retailers' occupation tax
18upon all persons engaged in the business of selling tangible
19personal property at retail in the county, at the rate approved
20by referendum, on the gross receipts from the sales made in the
21course of those businesses within the county. This additional
22tax may not be imposed on the sale of tangible personal
23property taxed at the 1% rate under the Retailers' Occupation
24Tax Act, including but not limited to, 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) and
2prescription and non-prescription medicines, drugs, medical
3appliances, products classified as Class III medical devices by
4the United States Food and Drug Administration that are used
5for cancer treatment pursuant to a prescription, as well as any
6accessories and components related to those devices,
7modifications to a motor vehicle for the purpose of rendering
8it usable by a person with a disability, and insulin, urine
9testing materials, syringes, and needles used by diabetics, for
10human use. The tax imposed under this Section and all civil
11penalties that may be assessed as an incident of the tax shall
12be collected and enforced by the Department of Revenue. The
13Department has full power to administer and enforce this
14Section; to collect all taxes and penalties so collected in the
15manner provided in this Section; and to determine all rights to
16credit memoranda arising on account of the erroneous payment of
17tax or penalty under this Section. In the administration of,
18and compliance with, this Section, the Department and persons
19who are subject to this Section shall (i) have the same rights,
20remedies, privileges, immunities, powers and duties, (ii) be
21subject to the same conditions, restrictions, limitations,
22penalties, exclusions, exemptions, and definitions of terms,
23and (iii) employ the same modes of procedure as are prescribed
24in Sections 1, 1a, 1a-1, 1c, 1d, 1e, 1f, 1i, 1j, 1k, 1m, 1n, 2,
252-5, 2-5.5, 2-10 (in respect to all provisions other than the
26State rate of tax), 2-15 through 2-70, 2a, 2b, 2c, 3 (except as

 

 

SB1285- 307 -LRB100 08067 HLH 18153 b

1to the disposition of taxes and penalties collected and
2provisions related to quarter monthly payments), 4, 5, 5a, 5b,
35c, 5d, 5e, 5f, 5g, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10,
411, 11a, 12, and 13 of the Retailers' Occupation Tax Act and
5Section 3-7 of the Uniform Penalty and Interest Act, as fully
6as if those provisions were set forth in this subsection.
7    Persons subject to any tax imposed under this subsection
8may reimburse themselves for their seller's tax liability by
9separately stating the tax as an additional charge, which
10charge may be stated in combination, in a single amount, with
11State taxes that sellers are required to collect, in accordance
12with bracket schedules prescribed by the Department.
13    Whenever the Department determines that a refund should be
14made under this subsection to a claimant instead of issuing a
15credit memorandum, the Department shall notify the State
16Comptroller, who shall cause the warrant to be drawn for the
17amount specified, and to the person named, in the notification
18from the Department. The refund shall be paid by the State
19Treasurer out of the tax fund referenced under paragraph (g) of
20this Section.
21    If a tax is imposed under this subsection (b), a tax shall
22also be imposed at the same rate under subsections (c) and (d)
23of this Section.
24    For the purpose of determining whether a tax authorized
25under this Section is applicable, a retail sale, by a producer
26of coal or another mineral mined in Illinois, is a sale at

 

 

SB1285- 308 -LRB100 08067 HLH 18153 b

1retail at the place where the coal or other mineral mined in
2Illinois is extracted from the earth. This paragraph does not
3apply to coal or another mineral when it is delivered or
4shipped by the seller to the purchaser at a point outside
5Illinois so that the sale is exempt under the federal
6Constitution as a sale in interstate or foreign commerce.
7    Nothing in this Section shall be construed to authorize the
8county to impose a tax upon the privilege of engaging in any
9business that under the Constitution of the United States may
10not be made the subject of taxation by this State.
11    (c) If a tax has been imposed under subsection (b), a
12service occupation tax shall also be imposed at the same rate
13upon all persons engaged, in the county, in the business of
14making sales of service, who, as an incident to making those
15sales of service, transfer tangible personal property within
16the county as an incident to a sale of service. This additional
17tax may not be imposed on the sale of tangible personal
18property taxed at the 1% rate under the Service Occupation Tax
19Act, including but not limited to, food for human consumption
20that is to be consumed off the premises where it is sold (other
21than alcoholic beverages, soft drinks, and food that has been
22prepared for immediate consumption) and prescription and
23non-prescription medicines, drugs, medical appliances,
24products classified as Class III medical devices by the United
25States Food and Drug Administration that are used for cancer
26treatment pursuant to a prescription, as well as any

 

 

SB1285- 309 -LRB100 08067 HLH 18153 b

1accessories and components related to those devices,
2modifications to a motor vehicle for the purpose of rendering
3it usable by a person with a disability, and insulin, urine
4testing materials, syringes, and needles used by diabetics, for
5human use. The tax imposed under this subsection and all civil
6penalties that may be assessed as an incident of the tax shall
7be collected and enforced by the Department of Revenue. The
8Department has full power to administer and enforce this
9paragraph; to collect all taxes and penalties due under this
10Section; to dispose of taxes and penalties so collected in the
11manner provided in this Section; and to determine all rights to
12credit memoranda arising on account of the erroneous payment of
13tax or penalty under this Section. In the administration of,
14and compliance with this paragraph, the Department and persons
15who are subject to this paragraph shall (i) have the same
16rights, remedies, privileges, immunities, powers, and duties,
17(ii) be subject to the same conditions, restrictions,
18limitations, penalties, exclusions, exemptions, and
19definitions of terms, and (iii) employ the same modes of
20procedure as are prescribed in Sections 2 (except that the
21reference to State in the definition of supplier maintaining a
22place of business in this State shall mean the county), 2a, 2b,
233 through 3-55 (in respect to all provisions other than the
24State rate of tax), 4 (except that the reference to the State
25shall be to the county), 5, 7, 8 (except that the jurisdiction
26to which the tax shall be a debt to the extent indicated in

 

 

SB1285- 310 -LRB100 08067 HLH 18153 b

1that Section 8 shall be the county), 9 (except as to the
2disposition of taxes and penalties collected, and except that
3the returned merchandise credit for this tax may not be taken
4against any State tax), 11, 12 (except the reference to Section
52b of the Retailers' Occupation Tax Act), 13 (except that any
6reference to the State shall mean the county), 15, 16, 17, 18,
719 and 20 of the Service Occupation Tax Act and Section 3-7 of
8the Uniform Penalty and Interest Act, as fully as if those
9provisions were set forth in this subsection.
10    Persons subject to any tax imposed under the authority
11granted in this subsection may reimburse themselves for their
12serviceman's tax liability by separately stating the tax as an
13additional charge, which charge may be stated in combination,
14in a single amount, with State tax that servicemen are
15authorized to collect under the Service Use Tax Act, in
16accordance with bracket schedules prescribed by the
17Department.
18    Whenever the Department determines that a refund should be
19made under this subsection to a claimant instead of issuing a
20credit memorandum, the Department shall notify the State
21Comptroller, who shall cause the warrant to be drawn for the
22amount specified, and to the person named, in the notification
23from the Department. The refund shall be paid by the State
24Treasurer out of the tax fund referenced under paragraph (g) of
25this Section.
26    Nothing in this paragraph shall be construed to authorize

 

 

SB1285- 311 -LRB100 08067 HLH 18153 b

1the county to impose a tax upon the privilege of engaging in
2any business that under the Constitution of the United States
3may not be made the subject of taxation by the State.
4    (d) If a tax has been imposed under subsection (b), a use
5tax shall also be imposed at the same rate upon the privilege
6of using, in the county, any item of tangible personal property
7that is purchased outside the county at retail from a retailer,
8and that is titled or registered at a location within the
9county with an agency of this State's government. This
10additional tax 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. "Selling price" is defined as in the
17Use Tax Act. The tax shall be collected from persons whose
18Illinois address for titling or registration purposes is given
19as being in the county. The tax shall be collected by the
20Department of Revenue for the county. The tax must be paid to
21the State, or an exemption determination must be obtained from
22the Department of Revenue, before the title or certificate of
23registration for the property may be issued. The tax or proof
24of exemption may be transmitted to the Department by way of the
25State agency with which, or the State officer with whom, the
26tangible personal property must be titled or registered if the

 

 

SB1285- 312 -LRB100 08067 HLH 18153 b

1Department and the State agency or State officer determine that
2this procedure will expedite the processing of applications for
3title or registration.
4    The Department has full power to administer and enforce
5this paragraph; to collect all taxes, penalties, and interest
6due under this Section; to dispose of taxes, penalties, and
7interest so collected in the manner provided in this Section;
8and to determine all rights to credit memoranda or refunds
9arising on account of the erroneous payment of tax, penalty, or
10interest under this Section. In the administration of, and
11compliance with, this subsection, the Department and persons
12who are subject to this paragraph shall (i) have the same
13rights, remedies, privileges, immunities, powers, and duties,
14(ii) be subject to the same conditions, restrictions,
15limitations, penalties, exclusions, exemptions, and
16definitions of terms, and (iii) employ the same modes of
17procedure as are prescribed in Sections 2 (except the
18definition of "retailer maintaining a place of business in this
19State"), 3, 3-5, 3-10, 3-45, 3-55, 3-65, 3-70, 3-85, 3a, 4, 6,
207, 8 (except that the jurisdiction to which the tax shall be a
21debt to the extent indicated in that Section 8 shall be the
22county), 9 (except provisions relating to quarter monthly
23payments), 10, 11, 12, 12a, 12b, 13, 14, 15, 19, 20, 21, and 22
24of the Use Tax Act and Section 3-7 of the Uniform Penalty and
25Interest Act, that are not inconsistent with this paragraph, as
26fully as if those provisions were set forth in this subsection.

 

 

SB1285- 313 -LRB100 08067 HLH 18153 b

1    Whenever the Department determines that a refund should be
2made under this subsection to a claimant instead of issuing a
3credit memorandum, the Department shall notify the State
4Comptroller, who shall cause the order to be drawn for the
5amount specified, and to the person named, in the notification
6from the Department. The refund shall be paid by the State
7Treasurer out of the tax fund referenced under paragraph (g) of
8this Section.
9    (e) A certificate of registration issued by the State
10Department of Revenue to a retailer under the Retailers'
11Occupation Tax Act or under the Service Occupation Tax Act
12shall permit the registrant to engage in a business that is
13taxed under the tax imposed under paragraphs (b), (c), or (d)
14of this Section and no additional registration shall be
15required. A certificate issued under the Use Tax Act or the
16Service Use Tax Act shall be applicable with regard to any tax
17imposed under paragraph (c) of this Section.
18    (f) The results of any election authorizing a proposition
19to impose a tax under this Section or effecting a change in the
20rate of tax shall be certified by the proper election
21authorities and filed with the Illinois Department on or before
22the first day of October. In addition, an ordinance imposing,
23discontinuing, or effecting a change in the rate of tax under
24this Section shall be adopted and a certified copy of the
25ordinance filed with the Department on or before the first day
26of October. After proper receipt of the certifications, the

 

 

SB1285- 314 -LRB100 08067 HLH 18153 b

1Department shall proceed to administer and enforce this Section
2as of the first day of January next following the adoption and
3filing.
4    (g) The Department of Revenue shall, upon collecting any
5taxes and penalties as provided in this Section, pay the taxes
6and penalties over to the State Treasurer as trustee for the
7county. The taxes and penalties shall be held in a trust fund
8outside the State Treasury. On or before the 25th day of each
9calendar month, the Department of Revenue shall prepare and
10certify to the Comptroller of the State of Illinois the amount
11to be paid to the county, which shall be the balance in the
12fund, less any amount determined by the Department to be
13necessary for the payment of refunds. Within 10 days after
14receipt by the Comptroller of the certification of the amount
15to be paid to the county, the Comptroller shall cause an order
16to be drawn for payment for the amount in accordance with the
17directions contained in the certification. Amounts received
18from the tax imposed under this Section shall be used only for
19the economic development activities of the county and
20communities located within the county.
21    (h) When certifying the amount of a monthly disbursement to
22the county under this Section, the Department shall increase or
23decrease the amounts by an amount necessary to offset any
24miscalculation of previous disbursements. The offset amount
25shall be the amount erroneously disbursed within the previous 6
26months from the time a miscalculation is discovered.

 

 

SB1285- 315 -LRB100 08067 HLH 18153 b

1    (i) This Section may be cited as the Rock Island County Use
2and Occupation Tax Law.
3(Source: P.A. 90-415, eff. 8-15-97.)
 
4    Section 130. The Illinois Municipal Code is amended by
5changing Sections 8-11-1, 8-11-1.3, 8-11-1.4, 8-11-1.6,
68-11-1.7, 8-11-5, 8-11-6b and 11-74.3-6 as follows:
 
7    (65 ILCS 5/8-11-1)  (from Ch. 24, par. 8-11-1)
8    Sec. 8-11-1. Home Rule Municipal Retailers' Occupation Tax
9Act. The corporate authorities of a home rule municipality may
10impose a tax upon all persons engaged in the business of
11selling tangible personal property, other than an item of
12tangible personal property titled or registered with an agency
13of this State's government, at retail in the municipality on
14the gross receipts from these sales made in the course of such
15business. If imposed, the tax shall only be imposed in 1/4%
16increments. On and after September 1, 1991, this additional tax
17may not be imposed on the sales of tangible personal property
18taxed at the 1% rate under the Retailers' Occupation Tax Act,
19including but not limited to, food for human consumption that
20is to be consumed off the premises where it is sold (other than
21alcoholic beverages, soft drinks and food that has been
22prepared for immediate consumption) and prescription and
23nonprescription medicines, drugs, medical appliances, products
24classified as Class III medical devices by the United States

 

 

SB1285- 316 -LRB100 08067 HLH 18153 b

1Food and Drug Administration that are used for cancer treatment
2pursuant to a prescription, as well as any accessories and
3components related to those devices, modifications to a motor
4vehicle for the purpose of rendering it usable by a person with
5a disability, and insulin, urine testing materials, syringes
6and needles used by diabetics, for human use. The tax imposed
7by a home rule municipality under this Section and all civil
8penalties that may be assessed as an incident of the tax shall
9be collected and enforced by the State Department of Revenue.
10The certificate of registration that is issued by the
11Department to a retailer under the Retailers' Occupation Tax
12Act shall permit the retailer to engage in a business that is
13taxable under any ordinance or resolution enacted pursuant to
14this Section without registering separately with the
15Department under such ordinance or resolution or under this
16Section. The Department shall have full power to administer and
17enforce this Section; to collect all taxes and penalties due
18hereunder; to dispose of taxes and penalties so collected in
19the manner hereinafter provided; and to determine all rights to
20credit memoranda arising on account of the erroneous payment of
21tax or penalty hereunder. In the administration of, and
22compliance with, this Section the Department and persons who
23are subject to this Section shall have the same rights,
24remedies, privileges, immunities, powers and duties, and be
25subject to the same conditions, restrictions, limitations,
26penalties and definitions of terms, and employ the same modes

 

 

SB1285- 317 -LRB100 08067 HLH 18153 b

1of procedure, as are prescribed in Sections 1, 1a, 1d, 1e, 1f,
21i, 1j, 1k, 1m, 1n, 2 through 2-65 (in respect to all
3provisions therein other than the State rate of tax), 2c, 3
4(except as to the disposition of taxes and penalties
5collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k,
65l, 6, 6a, 6b, 6c, 6d, 7, 8, 9, 10, 11, 12 and 13 of the
7Retailers' Occupation Tax Act and Section 3-7 of the Uniform
8Penalty and Interest Act, as fully as if those provisions were
9set forth herein.
10    No tax may be imposed by a home rule municipality under
11this Section unless the municipality also imposes a tax at the
12same rate under Section 8-11-5 of this Act.
13    Persons subject to any tax imposed under the authority
14granted in this Section may reimburse themselves for their
15seller's tax liability hereunder by separately stating that tax
16as an additional charge, which charge may be stated in
17combination, in a single amount, with State tax which sellers
18are required to collect under the Use Tax Act, pursuant to such
19bracket schedules as the Department may prescribe.
20    Whenever the Department determines that a refund should be
21made under this Section to a claimant instead of issuing a
22credit memorandum, the Department shall notify the State
23Comptroller, who shall cause the order to be drawn for the
24amount specified and to the person named in the notification
25from the Department. The refund shall be paid by the State
26Treasurer out of the home rule municipal retailers' occupation

 

 

SB1285- 318 -LRB100 08067 HLH 18153 b

1tax fund.
2    The Department shall immediately pay over to the State
3Treasurer, ex officio, as trustee, all taxes and penalties
4collected hereunder.
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 municipalities,
17the municipalities to be those from which retailers have paid
18taxes or penalties hereunder to the Department during the
19second preceding calendar month. The amount to be paid to each
20municipality shall be the amount (not including credit
21memoranda) collected hereunder during the second preceding
22calendar month by the Department plus an amount the Department
23determines is necessary to offset any amounts that were
24erroneously paid to a different taxing body, and not including
25an amount equal to the amount of refunds made during the second
26preceding calendar month by the Department on behalf of such

 

 

SB1285- 319 -LRB100 08067 HLH 18153 b

1municipality, and not including any amount that the Department
2determines is necessary to offset any amounts that were payable
3to a different taxing body but were erroneously paid to the
4municipality, and not including any amounts that are
5transferred to the STAR Bonds Revenue Fund. Within 10 days
6after receipt by the Comptroller of the disbursement
7certification to the municipalities provided for in this
8Section to be given to the Comptroller by the Department, the
9Comptroller shall cause the orders to be drawn for the
10respective amounts in accordance with the directions contained
11in the certification.
12    In addition to the disbursement required by the preceding
13paragraph and in order to mitigate delays caused by
14distribution procedures, an allocation shall, if requested, be
15made within 10 days after January 14, 1991, and in November of
161991 and each year thereafter, to each municipality that
17received more than $500,000 during the preceding fiscal year,
18(July 1 through June 30) whether collected by the municipality
19or disbursed by the Department as required by this Section.
20Within 10 days after January 14, 1991, participating
21municipalities shall notify the Department in writing of their
22intent to participate. In addition, for the initial
23distribution, participating municipalities shall certify to
24the Department the amounts collected by the municipality for
25each month under its home rule occupation and service
26occupation tax during the period July 1, 1989 through June 30,

 

 

SB1285- 320 -LRB100 08067 HLH 18153 b

11990. The allocation within 10 days after January 14, 1991,
2shall be in an amount equal to the monthly average of these
3amounts, excluding the 2 months of highest receipts. The
4monthly average for the period of July 1, 1990 through June 30,
51991 will be determined as follows: the amounts collected by
6the municipality under its home rule occupation and service
7occupation tax during the period of July 1, 1990 through
8September 30, 1990, plus amounts collected by the Department
9and paid to such municipality through June 30, 1991, excluding
10the 2 months of highest receipts. The monthly average for each
11subsequent period of July 1 through June 30 shall be an amount
12equal to the monthly distribution made to each such
13municipality under the preceding paragraph during this period,
14excluding the 2 months of highest receipts. The distribution
15made in November 1991 and each year thereafter under this
16paragraph and the preceding paragraph shall be reduced by the
17amount allocated and disbursed under this paragraph in the
18preceding period of July 1 through June 30. The Department
19shall prepare and certify to the Comptroller for disbursement
20the allocations made in accordance with this paragraph.
21    For the purpose of determining the local governmental unit
22whose tax is applicable, a retail sale by a producer of coal or
23other mineral mined in Illinois is a sale at retail at the
24place where the coal or other mineral mined in Illinois is
25extracted from the earth. This paragraph does not apply to coal
26or other mineral when it is delivered or shipped by the seller

 

 

SB1285- 321 -LRB100 08067 HLH 18153 b

1to the purchaser at a point outside Illinois so that the sale
2is exempt under the United States Constitution as a sale in
3interstate or foreign commerce.
4    Nothing in this Section shall be construed to authorize a
5municipality to impose a tax upon the privilege of engaging in
6any business which under the Constitution of the United States
7may not be made the subject of taxation by this State.
8    An ordinance or resolution imposing or discontinuing a tax
9hereunder or effecting a change in the rate thereof shall be
10adopted and a certified copy thereof filed with the Department
11on or before the first day of June, whereupon the Department
12shall proceed to administer and enforce this Section as of the
13first day of September next following the adoption and filing.
14Beginning January 1, 1992, an ordinance or resolution imposing
15or discontinuing the tax hereunder or effecting a change in the
16rate thereof shall be adopted and a certified copy thereof
17filed with the Department on or before the first day of July,
18whereupon the Department shall proceed to administer and
19enforce this Section as of the first day of October next
20following such adoption and filing. Beginning January 1, 1993,
21an ordinance or resolution imposing or discontinuing the tax
22hereunder or effecting a change in the rate thereof shall be
23adopted and a certified copy thereof filed with the Department
24on or before the first day of October, whereupon the Department
25shall proceed to administer and enforce this Section as of the
26first day of January next following the adoption and filing.

 

 

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1However, a municipality located in a county with a population
2in excess of 3,000,000 that elected to become a home rule unit
3at the general primary election in 1994 may adopt an ordinance
4or resolution imposing the tax under this Section and file a
5certified copy of the ordinance or resolution with the
6Department on or before July 1, 1994. The Department shall then
7proceed to administer and enforce this Section as of October 1,
81994. Beginning April 1, 1998, an ordinance or resolution
9imposing or discontinuing the tax hereunder or effecting a
10change in the rate thereof shall either (i) be adopted and a
11certified copy thereof filed with the Department on or before
12the first day of April, whereupon the Department shall proceed
13to administer and enforce this Section as of the first day of
14July next following the adoption and filing; or (ii) be adopted
15and a certified copy thereof filed with the Department on or
16before the first day of October, whereupon the Department shall
17proceed to administer and enforce this Section as of the first
18day of January next following the adoption and filing.
19    When certifying the amount of a monthly disbursement to a
20municipality under this Section, the Department shall increase
21or decrease the amount by an amount necessary to offset any
22misallocation of previous disbursements. The offset amount
23shall be the amount erroneously disbursed within the previous 6
24months from the time a misallocation is discovered.
25    Any unobligated balance remaining in the Municipal
26Retailers' Occupation Tax Fund on December 31, 1989, which fund

 

 

SB1285- 323 -LRB100 08067 HLH 18153 b

1was abolished by Public Act 85-1135, and all receipts of
2municipal tax as a result of audits of liability periods prior
3to January 1, 1990, shall be paid into the Local Government Tax
4Fund for distribution as provided by this Section prior to the
5enactment of Public Act 85-1135. All receipts of municipal tax
6as a result of an assessment not arising from an audit, for
7liability periods prior to January 1, 1990, shall be paid into
8the Local Government Tax Fund for distribution before July 1,
91990, as provided by this Section prior to the enactment of
10Public Act 85-1135; and on and after July 1, 1990, all such
11receipts shall be distributed as provided in Section 6z-18 of
12the State Finance Act.
13    As used in this Section, "municipal" and "municipality"
14means a city, village or incorporated town, including an
15incorporated town that has superseded a civil township.
16    This Section shall be known and may be cited as the Home
17Rule Municipal Retailers' Occupation Tax Act.
18(Source: P.A. 99-217, eff. 7-31-15.)
 
19    (65 ILCS 5/8-11-1.3)  (from Ch. 24, par. 8-11-1.3)
20    Sec. 8-11-1.3. Non-Home Rule Municipal Retailers'
21Occupation Tax Act. The corporate authorities of a non-home
22rule municipality may impose a tax upon all persons engaged in
23the business of selling tangible personal property, other than
24on an item of tangible personal property which is titled and
25registered by an agency of this State's Government, at retail

 

 

SB1285- 324 -LRB100 08067 HLH 18153 b

1in the municipality for expenditure on public infrastructure or
2for property tax relief or both as defined in Section 8-11-1.2
3if approved by referendum as provided in Section 8-11-1.1, of
4the gross receipts from such sales made in the course of such
5business. If the tax is approved by referendum on or after July
614, 2010 (the effective date of Public Act 96-1057), the
7corporate authorities of a non-home rule municipality may,
8until December 31, 2020, use the proceeds of the tax for
9expenditure on municipal operations, in addition to or in lieu
10of any expenditure on public infrastructure or for property tax
11relief. The tax imposed may not be more than 1% and may be
12imposed only in 1/4% increments. The tax may not be imposed on
13the sale of tangible personal property taxed at the 1% rate
14under the Retailers' Occupation Tax Act, including but not
15limited to, food for human consumption that is to be consumed
16off the premises where it is sold (other than alcoholic
17beverages, soft drinks, and food that has been prepared for
18immediate consumption) and prescription and nonprescription
19medicines, drugs, medical appliances, products classified as
20Class III medical devices by the United States Food and Drug
21Administration that are used for cancer treatment pursuant to a
22prescription, as well as any accessories and components related
23to those devices, modifications to a motor vehicle for the
24purpose of rendering it usable by a person with a disability,
25and insulin, urine testing materials, syringes, and needles
26used by diabetics, for human use. The tax imposed by a

 

 

SB1285- 325 -LRB100 08067 HLH 18153 b

1municipality pursuant to this Section and all civil penalties
2that may be assessed as an incident thereof shall be collected
3and enforced by the State Department of Revenue. The
4certificate of registration which is issued by the Department
5to a retailer under the Retailers' Occupation Tax Act shall
6permit such retailer to engage in a business which is taxable
7under any ordinance or resolution enacted pursuant to this
8Section without registering separately with the Department
9under such ordinance or resolution or under this Section. The
10Department shall have full power to administer and enforce this
11Section; to collect all taxes and penalties due hereunder; to
12dispose of taxes and penalties so collected in the manner
13hereinafter provided, and to determine all rights to credit
14memoranda, arising on account of the erroneous payment of tax
15or penalty hereunder. In the administration of, and compliance
16with, this Section, the Department and persons who are subject
17to this Section shall have the same rights, remedies,
18privileges, immunities, powers and duties, and be subject to
19the same conditions, restrictions, limitations, penalties and
20definitions of terms, and employ the same modes of procedure,
21as are prescribed in Sections 1, 1a, 1a-1, 1d, 1e, 1f, 1i, 1j,
222 through 2-65 (in respect to all provisions therein other than
23the State rate of tax), 2c, 3 (except as to the disposition of
24taxes and penalties collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f,
255g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d, 7, 8, 9, 10, 11, 12
26and 13 of the Retailers' Occupation Tax Act and Section 3-7 of

 

 

SB1285- 326 -LRB100 08067 HLH 18153 b

1the Uniform Penalty and Interest Act as fully as if those
2provisions were set forth herein.
3    No municipality may impose a tax under this Section unless
4the municipality also imposes a tax at the same rate under
5Section 8-11-1.4 of this Code.
6    Persons subject to any tax imposed pursuant to the
7authority granted in this Section may reimburse themselves for
8their seller's tax liability hereunder by separately stating
9such tax as an additional charge, which charge may be stated in
10combination, in a single amount, with State tax which sellers
11are required to collect under the Use Tax Act, pursuant to such
12bracket schedules as the Department may prescribe.
13    Whenever the Department determines that a refund should be
14made under this Section to a claimant instead of issuing a
15credit memorandum, the Department shall notify the State
16Comptroller, who shall cause the order to be drawn for the
17amount specified, and to the person named, in such notification
18from the Department. Such refund shall be paid by the State
19Treasurer out of the non-home rule municipal retailers'
20occupation tax fund.
21    The Department shall forthwith pay over to the State
22Treasurer, ex officio, as trustee, all taxes and penalties
23collected hereunder.
24    As soon as possible after the first day of each month,
25beginning January 1, 2011, upon certification of the Department
26of Revenue, the Comptroller shall order transferred, and the

 

 

SB1285- 327 -LRB100 08067 HLH 18153 b

1Treasurer shall transfer, to the STAR Bonds Revenue Fund the
2local sales tax increment, as defined in the Innovation
3Development and Economy Act, collected under this Section
4during the second preceding calendar month for sales within a
5STAR bond district.
6    After the monthly transfer to the STAR Bonds Revenue Fund,
7on or before the 25th day of each calendar month, the
8Department shall prepare and certify to the Comptroller the
9disbursement of stated sums of money to named municipalities,
10the municipalities to be those from which retailers have paid
11taxes or penalties hereunder to the Department during the
12second preceding calendar month. The amount to be paid to each
13municipality shall be the amount (not including credit
14memoranda) collected hereunder during the second preceding
15calendar month by the Department plus an amount the Department
16determines is necessary to offset any amounts which were
17erroneously paid to a different taxing body, and not including
18an amount equal to the amount of refunds made during the second
19preceding calendar month by the Department on behalf of such
20municipality, and not including any amount which the Department
21determines is necessary to offset any amounts which were
22payable to a different taxing body but were erroneously paid to
23the municipality, and not including any amounts that are
24transferred to the STAR Bonds Revenue Fund. Within 10 days
25after receipt, by the Comptroller, of the disbursement
26certification to the municipalities, provided for in this

 

 

SB1285- 328 -LRB100 08067 HLH 18153 b

1Section to be given to the Comptroller by the Department, the
2Comptroller shall cause the orders to be drawn for the
3respective amounts in accordance with the directions contained
4in such certification.
5    For the purpose of determining the local governmental unit
6whose tax is applicable, a retail sale, by a producer of coal
7or other mineral mined in Illinois, is a sale at retail at the
8place where the coal or other mineral mined in Illinois is
9extracted from the earth. This paragraph does not apply to coal
10or other mineral when it is delivered or shipped by the seller
11to the purchaser at a point outside Illinois so that the sale
12is exempt under the Federal Constitution as a sale in
13interstate or foreign commerce.
14    Nothing in this Section shall be construed to authorize a
15municipality to impose a tax upon the privilege of engaging in
16any business which under the constitution of the United States
17may not be made the subject of taxation by this State.
18    When certifying the amount of a monthly disbursement to a
19municipality under this Section, the Department shall increase
20or decrease such amount by an amount necessary to offset any
21misallocation of previous disbursements. The offset amount
22shall be the amount erroneously disbursed within the previous 6
23months from the time a misallocation is discovered.
24    The Department of Revenue shall implement this amendatory
25Act of the 91st General Assembly so as to collect the tax on
26and after January 1, 2002.

 

 

SB1285- 329 -LRB100 08067 HLH 18153 b

1    As used in this Section, "municipal" and "municipality"
2means a city, village or incorporated town, including an
3incorporated town which has superseded a civil township.
4    This Section shall be known and may be cited as the
5"Non-Home Rule Municipal Retailers' Occupation Tax Act".
6(Source: P.A. 99-217, eff. 7-31-15.)
 
7    (65 ILCS 5/8-11-1.4)  (from Ch. 24, par. 8-11-1.4)
8    Sec. 8-11-1.4. Non-Home Rule Municipal Service Occupation
9Tax Act. The corporate authorities of a non-home rule
10municipality may impose a tax upon all persons engaged, in such
11municipality, in the business of making sales of service for
12expenditure on public infrastructure or for property tax relief
13or both as defined in Section 8-11-1.2 if approved by
14referendum as provided in Section 8-11-1.1, of the selling
15price of all tangible personal property transferred by such
16servicemen either in the form of tangible personal property or
17in the form of real estate as an incident to a sale of service.
18If the tax is approved by referendum on or after July 14, 2010
19(the effective date of Public Act 96-1057), the corporate
20authorities of a non-home rule municipality may, until December
2131, 2020, use the proceeds of the tax for expenditure on
22municipal operations, in addition to or in lieu of any
23expenditure on public infrastructure or for property tax
24relief. The tax imposed may not be more than 1% and may be
25imposed only in 1/4% increments. The tax may not be imposed on

 

 

SB1285- 330 -LRB100 08067 HLH 18153 b

1the sale of tangible personal property taxed at the 1% rate
2under the Service Occupation Tax Act, including but not limited
3to, food for human consumption that is to be consumed off the
4premises where it is sold (other than alcoholic beverages, soft
5drinks, and food that has been prepared for immediate
6consumption) and prescription and nonprescription medicines,
7drugs, medical appliances, products classified as Class III
8medical devices by the United States Food and Drug
9Administration that are used for cancer treatment pursuant to a
10prescription, as well as any accessories and components related
11to those devices, modifications to a motor vehicle for the
12purpose of rendering it usable by a person with a disability,
13and insulin, urine testing materials, syringes, and needles
14used by diabetics, for human use. The tax imposed by a
15municipality pursuant to this Section and all civil penalties
16that may be assessed as an incident thereof shall be collected
17and enforced by the State Department of Revenue. The
18certificate of registration which is issued by the Department
19to a retailer under the Retailers' Occupation Tax Act or under
20the Service Occupation Tax Act shall permit such registrant to
21engage in a business which is taxable under any ordinance or
22resolution enacted pursuant to this Section without
23registering 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

 

 

SB1285- 331 -LRB100 08067 HLH 18153 b

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 municipality), 5, 7, 8 (except that the jurisdiction to
14which the tax shall be a debt to the extent indicated in that
15Section 8 shall be the taxing municipality), 9 (except as to
16the disposition of taxes and penalties collected, and except
17that the returned merchandise credit for this municipal tax may
18not be taken against any State tax), 10, 11, 12 (except the
19reference therein to Section 2b of the Retailers' Occupation
20Tax Act), 13 (except that any reference to the State shall mean
21the taxing municipality), the first paragraph of Section 15,
2216, 17, 18, 19 and 20 of the Service Occupation Tax Act and
23Section 3-7 of the Uniform Penalty and Interest Act, as fully
24as if those provisions were set forth herein.
25    No municipality may impose a tax under this Section unless
26the municipality also imposes a tax at the same rate under

 

 

SB1285- 332 -LRB100 08067 HLH 18153 b

1Section 8-11-1.3 of this Code.
2    Persons subject to any tax imposed pursuant to the
3authority granted in this Section may reimburse themselves for
4their serviceman's tax liability hereunder by separately
5stating such tax as an additional charge, which charge may be
6stated in combination, in a single amount, with State tax which
7servicemen are authorized to collect under the Service Use Tax
8Act, pursuant to such bracket schedules as the Department may
9prescribe.
10    Whenever the Department determines that a refund should be
11made under this Section to a claimant instead of issuing credit
12memorandum, the Department shall notify the State Comptroller,
13who shall cause the order to be drawn for the amount specified,
14and to the person named, in such notification from the
15Department. Such refund shall be paid by the State Treasurer
16out of the municipal retailers' occupation tax fund.
17    The Department shall forthwith pay over to the State
18Treasurer, ex officio, as trustee, all taxes and penalties
19collected hereunder.
20    As soon as possible after the first day of each month,
21beginning January 1, 2011, upon certification of the Department
22of Revenue, the Comptroller shall order transferred, and the
23Treasurer shall transfer, to the STAR Bonds Revenue Fund the
24local sales tax increment, as defined in the Innovation
25Development and Economy Act, collected under this Section
26during the second preceding calendar month for sales within a

 

 

SB1285- 333 -LRB100 08067 HLH 18153 b

1STAR bond district.
2    After the monthly transfer to the STAR Bonds Revenue Fund,
3on or before the 25th day of each calendar month, the
4Department shall prepare and certify to the Comptroller the
5disbursement of stated sums of money to named municipalities,
6the municipalities to be those from which suppliers and
7servicemen have paid taxes or penalties hereunder to the
8Department during the second preceding calendar month. The
9amount to be paid to each municipality shall be the amount (not
10including credit memoranda) collected hereunder during the
11second preceding calendar month by the Department, and not
12including an amount equal to the amount of refunds made during
13the second preceding calendar month by the Department on behalf
14of such municipality, and not including any amounts that are
15transferred to the STAR Bonds Revenue Fund. Within 10 days
16after receipt, by the Comptroller, of the disbursement
17certification to the municipalities and the General Revenue
18Fund, provided for in this Section to be given to the
19Comptroller by the Department, the Comptroller shall cause the
20orders to be drawn for the respective amounts in accordance
21with the directions contained in such certification.
22    The Department of Revenue shall implement this amendatory
23Act of the 91st General Assembly so as to collect the tax on
24and after January 1, 2002.
25    Nothing in this Section shall be construed to authorize a
26municipality to impose a tax upon the privilege of engaging in

 

 

SB1285- 334 -LRB100 08067 HLH 18153 b

1any business which under the constitution of the United States
2may not be made the subject of taxation by this State.
3    As used in this Section, "municipal" or "municipality"
4means or refers to a city, village or incorporated town,
5including an incorporated town which has superseded a civil
6township.
7    This Section shall be known and may be cited as the
8"Non-Home Rule Municipal Service Occupation Tax Act".
9(Source: P.A. 96-939, eff. 6-24-10; 96-1057, eff. 7-14-10;
1097-333, eff. 8-12-11; 97-837, eff. 7-20-12.)
 
11    (65 ILCS 5/8-11-1.6)
12    Sec. 8-11-1.6. Non-home rule municipal retailers'
13retailers occupation tax; municipalities between 20,000 and
1425,000. The corporate authorities of a non-home rule
15municipality with a population of more than 20,000 but less
16than 25,000 that has, prior to January 1, 1987, established a
17Redevelopment Project Area that has been certified as a State
18Sales Tax Boundary and has issued bonds or otherwise incurred
19indebtedness to pay for costs in excess of $5,000,000, which is
20secured in part by a tax increment allocation fund, in
21accordance with the provisions of Division 11-74.4 of this Code
22may, by passage of an ordinance, impose a tax upon all persons
23engaged in the business of selling tangible personal property,
24other than on an item of tangible personal property that is
25titled and registered by an agency of this State's Government,

 

 

SB1285- 335 -LRB100 08067 HLH 18153 b

1at retail in the municipality. This tax may not be imposed on
2the sales of tangible personal property taxed at the 1% rate
3under the Retailers' Occupation Tax Act, including but not
4limited to, food for human consumption that is to be consumed
5off the premises where it is sold (other than alcoholic
6beverages, soft drinks, and food that has been prepared for
7immediate consumption) and prescription and nonprescription
8medicines, drugs, medical appliances, products classified as
9Class III medical devices by the United States Food and Drug
10Administration that are used for cancer treatment pursuant to a
11prescription, as well as any accessories and components related
12to those devices, modifications to a motor vehicle for the
13purpose of rendering it usable by a person with a disability,
14and insulin, urine testing materials, syringes, and needles
15used by diabetics, for human use. If imposed, the tax shall
16only be imposed in .25% increments of the gross receipts from
17such sales made in the course of business. Any tax imposed by a
18municipality under this Section and all civil penalties that
19may be assessed as an incident thereof shall be collected and
20enforced by the State Department of Revenue. An ordinance
21imposing a tax hereunder or effecting a change in the rate
22thereof shall be adopted and a certified copy thereof filed
23with the Department on or before the first day of October,
24whereupon the Department shall proceed to administer and
25enforce this Section as of the first day of January next
26following such adoption and filing. The certificate of

 

 

SB1285- 336 -LRB100 08067 HLH 18153 b

1registration that is issued by the Department to a retailer
2under the Retailers' Occupation Tax Act shall permit the
3retailer to engage in a business that is taxable under any
4ordinance or resolution enacted under this Section without
5registering separately with the Department under the ordinance
6or resolution or under this Section. The Department shall have
7full power to administer and enforce this Section, to collect
8all taxes and penalties due hereunder, to dispose of taxes and
9penalties so collected in the manner hereinafter provided, and
10to determine all rights to credit memoranda, arising on account
11of the erroneous payment of tax or penalty hereunder. In the
12administration of, and compliance with this Section, the
13Department and persons who are subject to this Section shall
14have the same rights, remedies, privileges, immunities,
15powers, and duties, and be subject to the same conditions,
16restrictions, limitations, penalties, and definitions of
17terms, and employ the same modes of procedure, as are
18prescribed in Sections 1, 1a, 1a-1, 1d, 1e, 1f, 1i, 1j, 2
19through 2-65 (in respect to all provisions therein other than
20the State rate of tax), 2c, 3 (except as to the disposition of
21taxes and penalties collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f,
225g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d, 7, 8, 9, 10, 11, 12
23and 13 of the Retailers' Occupation Tax Act and Section 3-7 of
24the Uniform Penalty and Interest Act as fully as if those
25provisions were set forth herein.
26    A tax may not be imposed by a municipality under this

 

 

SB1285- 337 -LRB100 08067 HLH 18153 b

1Section unless the municipality also imposes a tax at the same
2rate under Section 8-11-1.7 of this Act.
3    Persons subject to any tax imposed under the authority
4granted in this Section, may reimburse themselves for their
5seller's tax liability hereunder by separately stating the tax
6as an additional charge, which charge may be stated in
7combination, in a single amount, with State tax which sellers
8are required to collect under the Use Tax Act, pursuant to such
9bracket schedules as the Department may prescribe.
10    Whenever the Department determines that a refund should be
11made under this Section to a claimant, instead of issuing a
12credit memorandum, the Department shall notify the State
13Comptroller, who shall cause the order to be drawn for the
14amount specified, and to the person named in the notification
15from the Department. The refund shall be paid by the State
16Treasurer out of the Non-Home Rule Municipal Retailers'
17Occupation Tax Fund, which is hereby created.
18    The Department shall forthwith pay over to the State
19Treasurer, ex officio, as trustee, all taxes and penalties
20collected hereunder.
21    As soon as possible after the first day of each month,
22beginning January 1, 2011, upon certification of the Department
23of Revenue, the Comptroller shall order transferred, and the
24Treasurer shall transfer, to the STAR Bonds Revenue Fund the
25local sales tax increment, as defined in the Innovation
26Development and Economy Act, collected under this Section

 

 

SB1285- 338 -LRB100 08067 HLH 18153 b

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

 

 

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1in the certification.
2    For the purpose of determining the local governmental unit
3whose tax is applicable, a retail sale by a producer of coal or
4other mineral mined in Illinois is a sale at retail at the
5place where the coal or other mineral mined in Illinois is
6extracted from the earth. This paragraph does not apply to coal
7or other mineral when it is delivered or shipped by the seller
8to the purchaser at a point outside Illinois so that the sale
9is exempt under the federal Constitution as a sale in
10interstate or foreign commerce.
11    Nothing in this Section shall be construed to authorize a
12municipality to impose a tax upon the privilege of engaging in
13any business which under the constitution of the United States
14may not be made the subject of taxation by this State.
15    When certifying the amount of a monthly disbursement to a
16municipality under this Section, the Department shall increase
17or decrease the amount by an amount necessary to offset any
18misallocation of previous disbursements. The offset amount
19shall be the amount erroneously disbursed within the previous 6
20months from the time a misallocation is discovered.
21    As used in this Section, "municipal" and "municipality"
22means a city, village, or incorporated town, including an
23incorporated town that has superseded a civil township.
24(Source: P.A. 99-217, eff. 7-31-15; 99-642, eff. 7-28-16.)
 
25    (65 ILCS 5/8-11-1.7)

 

 

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1    Sec. 8-11-1.7. Non-home rule municipal service occupation
2tax; municipalities between 20,000 and 25,000. The corporate
3authorities of a non-home rule municipality with a population
4of more than 20,000 but less than 25,000 as determined by the
5last preceding decennial census that has, prior to January 1,
61987, established a Redevelopment Project Area that has been
7certified as a State Sales Tax Boundary and has issued bonds or
8otherwise incurred indebtedness to pay for costs in excess of
9$5,000,000, which is secured in part by a tax increment
10allocation fund, in accordance with the provisions of Division
1111-74.4 of this Code may, by passage of an ordinance, impose a
12tax upon all persons engaged in the municipality in the
13business of making sales of service. If imposed, the tax shall
14only be imposed in .25% increments of the selling price of all
15tangible personal property transferred by such servicemen
16either in the form of tangible personal property or in the form
17of real estate as an incident to a sale of service. This tax
18may not be imposed on the sales of tangible personal property
19taxed at the 1% rate under the Service Occupation Tax Act,
20including but not limited to, food for human consumption that
21is to be consumed off the premises where it is sold (other than
22alcoholic beverages, soft drinks, and food that has been
23prepared for immediate consumption) and prescription and
24nonprescription medicines, drugs, medical appliances, products
25classified as Class III medical devices by the United States
26Food and Drug Administration that are used for cancer treatment

 

 

SB1285- 341 -LRB100 08067 HLH 18153 b

1pursuant to a prescription, as well as any accessories and
2components related to those devices, modifications to a motor
3vehicle for the purpose of rendering it usable by a person with
4a disability, and insulin, urine testing materials, syringes,
5and needles used by diabetics, for human use. The tax imposed
6by a municipality under this Sec. and all civil penalties that
7may be assessed as an incident thereof shall be collected and
8enforced by the State Department of Revenue. An ordinance
9imposing a tax hereunder or effecting a change in the rate
10thereof shall be adopted and a certified copy thereof filed
11with the Department on or before the first day of October,
12whereupon the Department shall proceed to administer and
13enforce this Section as of the first day of January next
14following such adoption and filing. The certificate of
15registration that is issued by the Department to a retailer
16under the Retailers' Occupation Tax Act or under the Service
17Occupation Tax Act shall permit the registrant to engage in a
18business that is taxable under any ordinance or resolution
19enacted under this Section without registering separately with
20the Department under the ordinance or resolution or under this
21Section. The Department shall have full power to administer and
22enforce this Section, to collect all taxes and penalties due
23hereunder, to dispose of taxes and penalties so collected in a
24manner hereinafter provided, and to determine all rights to
25credit memoranda arising on account of the erroneous payment of
26tax or penalty hereunder. In the administration of and

 

 

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1compliance with this Section, the Department and persons who
2are subject to this Section shall have the same rights,
3remedies, privileges, immunities, powers, and duties, and be
4subject to the same conditions, restrictions, limitations,
5penalties and definitions of terms, and employ the same modes
6of procedure, as are prescribed in Sections 1a-1, 2, 2a, 3
7through 3-50 (in respect to all provisions therein other than
8the State rate of tax), 4 (except that the reference to the
9State shall be to the taxing municipality), 5, 7, 8 (except
10that the jurisdiction to which the tax shall be a debt to the
11extent indicated in that Section 8 shall be the taxing
12municipality), 9 (except as to the disposition of taxes and
13penalties collected, and except that the returned merchandise
14credit for this municipal tax may not be taken against any
15State tax), 10, 11, 12, (except the reference therein to
16Section 2b of the Retailers' Occupation Tax Act), 13 (except
17that any reference to the State shall mean the taxing
18municipality), the first paragraph of Sections 15, 16, 17, 18,
1919, and 20 of the Service Occupation Tax Act and Section 3-7 of
20the Uniform Penalty and Interest Act, as fully as if those
21provisions were set forth herein.
22    A tax may not be imposed by a municipality under this
23Section unless the municipality also imposes a tax at the same
24rate under Section 8-11-1.6 of this Act.
25    Person subject to any tax imposed under the authority
26granted in this Section may reimburse themselves for their

 

 

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1servicemen's tax liability hereunder by separately stating the
2tax as an additional charge, which charge may be stated in
3combination, in a single amount, with State tax that servicemen
4are authorized to collect under the Service Use Tax Act, under
5such bracket schedules as the Department may prescribe.
6    Whenever the Department determines that a refund should be
7made under this Section to a claimant instead of issuing credit
8memorandum, the Department shall notify the State Comptroller,
9who shall cause the order to be drawn for the amount specified,
10and to the person named, in such notification from the
11Department. The refund shall be paid by the State Treasurer out
12of the Non-Home Rule Municipal Retailers' Occupation Tax Fund.
13    The Department shall forthwith pay over to the State
14Treasurer, ex officio, as trustee, all taxes and penalties
15collected hereunder.
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

 

 

SB1285- 344 -LRB100 08067 HLH 18153 b

1disbursement of stated sums of money to named municipalities,
2the municipalities to be those from which suppliers and
3servicemen have paid taxes or penalties hereunder to the
4Department during the second preceding calendar month. The
5amount to be paid to each municipality shall be the amount (not
6including credit memoranda) collected hereunder during the
7second preceding calendar month by the Department, and not
8including an amount equal to the amount of refunds made during
9the second preceding calendar month by the Department on behalf
10of such municipality, and not including any amounts that are
11transferred to the STAR Bonds Revenue Fund. Within 10 days
12after receipt by the Comptroller of the disbursement
13certification to the municipalities and the General Revenue
14Fund, provided for in this Section to be given to the
15Comptroller by the Department, the Comptroller shall cause the
16orders to be drawn for the respective amounts in accordance
17with the directions contained in the certification.
18    When certifying the amount of a monthly disbursement to a
19municipality under this Section, the Department shall increase
20or decrease the amount by an amount necessary to offset any
21misallocation of previous disbursements. The offset amount
22shall be the amount erroneously disbursed within the previous 6
23months from the time a misallocation is discovered.
24    Nothing in this Section shall be construed to authorize a
25municipality to impose a tax upon the privilege of engaging in
26any business which under the constitution of the United States

 

 

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1may not be made the subject of taxation by this State.
2(Source: P.A. 96-939, eff. 6-24-10; 97-813, eff. 7-13-12.)
 
3    (65 ILCS 5/8-11-5)  (from Ch. 24, par. 8-11-5)
4    Sec. 8-11-5. Home Rule Municipal Service Occupation Tax
5Act. The corporate authorities of a home rule municipality may
6impose a tax upon all persons engaged, in such municipality, in
7the business of making sales of service at the same rate of tax
8imposed pursuant to Section 8-11-1, of the selling price of all
9tangible personal property transferred by such servicemen
10either in the form of tangible personal property or in the form
11of real estate as an incident to a sale of service. If imposed,
12such tax shall only be imposed in 1/4% increments. On and after
13September 1, 1991, this additional tax may not be imposed on
14the sales of tangible personal property taxed at the 1% rate
15under the Service Occupation Tax Act, including but not limited
16to, food for human consumption that which is to be consumed off
17the premises where it is sold (other than alcoholic beverages,
18soft drinks and food that which has been prepared for immediate
19consumption) and prescription and nonprescription medicines,
20drugs, medical appliances, products classified as Class III
21medical devices by the United States Food and Drug
22Administration that are used for cancer treatment pursuant to a
23prescription, as well as any accessories and components related
24to those devices, modifications to a motor vehicle for the
25purpose of rendering it usable by a person with a disability,

 

 

SB1285- 346 -LRB100 08067 HLH 18153 b

1and insulin, urine testing materials, syringes and needles used
2by diabetics, for human use. The tax imposed by a home rule
3municipality pursuant to this Section and all civil penalties
4that may be assessed as an incident thereof shall be collected
5and enforced by the State Department of Revenue. The
6certificate of registration which is issued by the Department
7to a retailer under the Retailers' Occupation Tax Act or under
8the Service Occupation Tax Act shall permit such registrant to
9engage in a business which is taxable under any ordinance or
10resolution enacted pursuant to this Section without
11registering separately with the Department under such
12ordinance or resolution or under this Section. The Department
13shall have full power to administer and enforce this Section;
14to collect all taxes and penalties due hereunder; to dispose of
15taxes and penalties so collected in the manner hereinafter
16provided, and to determine all rights to credit memoranda
17arising on account of the erroneous payment of tax or penalty
18hereunder. In the administration of, and compliance with, this
19Section the Department and persons who are subject to this
20Section shall have the same rights, remedies, privileges,
21immunities, powers and duties, and be subject to the same
22conditions, restrictions, limitations, penalties and
23definitions of terms, and employ the same modes of procedure,
24as are prescribed in Sections 1a-1, 2, 2a, 3 through 3-50 (in
25respect to all provisions therein other than the State rate of
26tax), 4 (except that the reference to the State shall be to the

 

 

SB1285- 347 -LRB100 08067 HLH 18153 b

1taxing municipality), 5, 7, 8 (except that the jurisdiction to
2which the tax shall be a debt to the extent indicated in that
3Section 8 shall be the taxing municipality), 9 (except as to
4the disposition of taxes and penalties collected, and except
5that the returned merchandise credit for this municipal tax may
6not be taken against any State tax), 10, 11, 12 (except the
7reference therein to Section 2b of the Retailers' Occupation
8Tax Act), 13 (except that any reference to the State shall mean
9the taxing municipality), the first paragraph of Section 15,
1016, 17 (except that credit memoranda issued hereunder may not
11be used to discharge any State tax liability), 18, 19 and 20 of
12the Service Occupation Tax Act and Section 3-7 of the Uniform
13Penalty and Interest Act, as fully as if those provisions were
14set forth herein.
15    No tax may be imposed by a home rule municipality pursuant
16to this Section unless such municipality also imposes a tax at
17the same rate pursuant to Section 8-11-1 of this Act.
18    Persons subject to any tax imposed pursuant to the
19authority granted in this Section may reimburse themselves for
20their serviceman's tax liability hereunder by separately
21stating such tax as an additional charge, which charge may be
22stated in combination, in a single amount, with State tax which
23servicemen are authorized to collect under the Service Use Tax
24Act, pursuant to such bracket schedules as the Department may
25prescribe.
26    Whenever the Department determines that a refund should be

 

 

SB1285- 348 -LRB100 08067 HLH 18153 b

1made under this Section to a claimant instead of issuing credit
2memorandum, the Department shall notify the State Comptroller,
3who shall cause the order to be drawn for the amount specified,
4and to the person named, in such notification from the
5Department. Such refund shall be paid by the State Treasurer
6out of the home rule municipal retailers' occupation tax fund.
7    The Department shall forthwith pay over to the State
8Treasurer, ex-officio, as trustee, all taxes and penalties
9collected hereunder.
10    As soon as possible after the first day of each month,
11beginning January 1, 2011, upon certification of the Department
12of Revenue, the Comptroller shall order transferred, and the
13Treasurer shall transfer, to the STAR Bonds Revenue Fund the
14local sales tax increment, as defined in the Innovation
15Development and Economy Act, collected under this Section
16during the second preceding calendar month for sales within a
17STAR bond district.
18    After the monthly transfer to the STAR Bonds Revenue Fund,
19on or before the 25th day of each calendar month, the
20Department shall prepare and certify to the Comptroller the
21disbursement of stated sums of money to named municipalities,
22the municipalities to be those from which suppliers and
23servicemen have paid taxes or penalties hereunder to the
24Department during the second preceding calendar month. The
25amount to be paid to each municipality shall be the amount (not
26including credit memoranda) collected hereunder during the

 

 

SB1285- 349 -LRB100 08067 HLH 18153 b

1second preceding calendar month by the Department, and not
2including an amount equal to the amount of refunds made during
3the second preceding calendar month by the Department on behalf
4of such municipality, and not including any amounts that are
5transferred to the STAR Bonds Revenue Fund. Within 10 days
6after receipt, by the Comptroller, of the disbursement
7certification to the municipalities, provided for in this
8Section to be given to the Comptroller by the Department, the
9Comptroller shall cause the orders to be drawn for the
10respective amounts in accordance with the directions contained
11in such certification.
12    In addition to the disbursement required by the preceding
13paragraph and in order to mitigate delays caused by
14distribution procedures, an allocation shall, if requested, be
15made within 10 days after January 14, 1991, and in November of
161991 and each year thereafter, to each municipality that
17received more than $500,000 during the preceding fiscal year,
18(July 1 through June 30) whether collected by the municipality
19or disbursed by the Department as required by this Section.
20Within 10 days after January 14, 1991, participating
21municipalities shall notify the Department in writing of their
22intent to participate. In addition, for the initial
23distribution, participating municipalities shall certify to
24the Department the amounts collected by the municipality for
25each month under its home rule occupation and service
26occupation tax during the period July 1, 1989 through June 30,

 

 

SB1285- 350 -LRB100 08067 HLH 18153 b

11990. The allocation within 10 days after January 14, 1991,
2shall be in an amount equal to the monthly average of these
3amounts, excluding the 2 months of highest receipts. Monthly
4average for the period of July 1, 1990 through June 30, 1991
5will be determined as follows: the amounts collected by the
6municipality under its home rule occupation and service
7occupation tax during the period of July 1, 1990 through
8September 30, 1990, plus amounts collected by the Department
9and paid to such municipality through June 30, 1991, excluding
10the 2 months of highest receipts. The monthly average for each
11subsequent period of July 1 through June 30 shall be an amount
12equal to the monthly distribution made to each such
13municipality under the preceding paragraph during this period,
14excluding the 2 months of highest receipts. The distribution
15made in November 1991 and each year thereafter under this
16paragraph and the preceding paragraph shall be reduced by the
17amount allocated and disbursed under this paragraph in the
18preceding period of July 1 through June 30. The Department
19shall prepare and certify to the Comptroller for disbursement
20the allocations made in accordance with this paragraph.
21    Nothing in this Section shall be construed to authorize a
22municipality to impose a tax upon the privilege of engaging in
23any business which under the constitution of the United States
24may not be made the subject of taxation by this State.
25    An ordinance or resolution imposing or discontinuing a tax
26hereunder or effecting a change in the rate thereof shall be

 

 

SB1285- 351 -LRB100 08067 HLH 18153 b

1adopted and a certified copy thereof filed with the Department
2on or before the first day of June, whereupon the Department
3shall proceed to administer and enforce this Section as of the
4first day of September next following such adoption and filing.
5Beginning January 1, 1992, an ordinance or resolution imposing
6or discontinuing the tax hereunder or effecting a change in the
7rate thereof shall be adopted and a certified copy thereof
8filed with the Department on or before the first day of July,
9whereupon the Department shall proceed to administer and
10enforce this Section as of the first day of October next
11following such adoption and filing. Beginning January 1, 1993,
12an ordinance or resolution imposing or discontinuing the tax
13hereunder or effecting a change in the rate thereof shall be
14adopted and a certified copy thereof filed with the Department
15on or before the first day of October, whereupon the Department
16shall proceed to administer and enforce this Section as of the
17first day of January next following such adoption and filing.
18However, a municipality located in a county with a population
19in excess of 3,000,000 that elected to become a home rule unit
20at the general primary election in 1994 may adopt an ordinance
21or resolution imposing the tax under this Section and file a
22certified copy of the ordinance or resolution with the
23Department on or before July 1, 1994. The Department shall then
24proceed to administer and enforce this Section as of October 1,
251994. Beginning April 1, 1998, an ordinance or resolution
26imposing or discontinuing the tax hereunder or effecting a

 

 

SB1285- 352 -LRB100 08067 HLH 18153 b

1change in the rate thereof shall either (i) be adopted and a
2certified copy thereof filed with the Department on or before
3the first day of April, whereupon the Department shall proceed
4to administer and enforce this Section as of the first day of
5July next following the adoption and filing; or (ii) be adopted
6and a certified copy thereof filed with the Department on or
7before the first day of October, whereupon the Department shall
8proceed to administer and enforce this Section as of the first
9day of January next following the adoption and filing.
10    Any unobligated balance remaining in the Municipal
11Retailers' Occupation Tax Fund on December 31, 1989, which fund
12was abolished by Public Act 85-1135, and all receipts of
13municipal tax as a result of audits of liability periods prior
14to January 1, 1990, shall be paid into the Local Government Tax
15Fund, for distribution as provided by this Section prior to the
16enactment of Public Act 85-1135. All receipts of municipal tax
17as a result of an assessment not arising from an audit, for
18liability periods prior to January 1, 1990, shall be paid into
19the Local Government Tax Fund for distribution before July 1,
201990, as provided by this Section prior to the enactment of
21Public Act 85-1135, and on and after July 1, 1990, all such
22receipts shall be distributed as provided in Section 6z-18 of
23the State Finance Act.
24    As used in this Section, "municipal" and "municipality"
25means a city, village or incorporated town, including an
26incorporated town which has superseded a civil township.

 

 

SB1285- 353 -LRB100 08067 HLH 18153 b

1    This Section shall be known and may be cited as the Home
2Rule Municipal Service Occupation Tax Act.
3(Source: P.A. 96-939, eff. 6-24-10.)
 
4    (65 ILCS 5/8-11-6b)
5    Sec. 8-11-6b. Home rule soft drink taxes.
6    (a) Except as provided in Sections 8-11-1, 8-11-5 and
78-11-6, or as provided in this Section, no home rule
8municipality has the authority to impose, pursuant to its home
9rule authority, a tax on the sale, purchase, or use of soft
10drinks regardless of whether the measure of the tax is selling
11price, purchase price, gross receipts, unit of volumetric
12measure, or any other measure. For purposes of this subsection,
13the term "soft drink" has the meaning set forth in Section 2-10
14of the Retailers' Occupation Tax Act, as may be amended from
15time to time, except that the term shall not be limited to
16drinks contained in a closed or sealed bottle, can, carton, or
17container. This Section is a denial and limitation, under
18subsection (g) of Section 6 of Article VII of the Illinois
19Constitution, on the power of home rule units to tax.
20    (b) The corporate authorities of a home rule municipality
21with a population in excess of 1,000,000 may impose a tax,
22which shall not take effect prior to April 1, 1994, upon all
23persons engaged in the business of selling soft drinks (other
24than fountain soft drinks) at retail in the municipality based
25on the gross receipts from those sales made in the course of

 

 

SB1285- 354 -LRB100 08067 HLH 18153 b

1such business. If imposed, the tax shall only be in 1/4%
2increments and shall not exceed 3%. For purposes of this
3subsection, the term "soft drink" has the meaning set forth in
4Section 2-10 of the Retailers' Occupation Tax Act, as may be
5amended from time to time, except that the term shall not be
6limited to drinks contained in a closed or sealed bottle, can,
7carton or container; the term "fountain soft drinks" means soft
8drinks which are prepared by the retail seller of the soft
9drinks by mixing syrup or concentrate with water, by hand or
10through a soft drink dispensing machine, at or near the point
11and time of sale to the retail purchaser; and the term "soft
12drink dispensing machine" means a device which mixes soft drink
13syrup or concentrate with water and dispenses the mixture into
14an open container as a ready to drink soft drink.
15    The tax imposed under this subsection and all civil
16penalties that may be assessed as an incident to that tax shall
17be collected and enforced by the Illinois Department of
18Revenue. The Department shall have full power to administer and
19enforce this subsection, to collect all taxes and penalties so
20collected in the manner provided in this subsection, and to
21determine all rights to credit memoranda arising on account of
22the erroneous payment of tax or penalty under this subsection.
23In the administration of and compliance with this subsection,
24the Department and persons who are subject to this subsection
25shall have the same rights, remedies, privileges, immunities,
26powers and duties, shall be subject to the same conditions,

 

 

SB1285- 355 -LRB100 08067 HLH 18153 b

1restrictions, limitations, penalties, exclusions, exemptions,
2and definitions of terms, and shall employ the same modes of
3procedure applicable to the Retailers' Occupation Tax as are
4prescribed in Sections 1, 2 through 2-65 (in respect to all
5provisions of those Sections other than the State rate of
6taxes), 2c, 2h, 2i, 3 (except as to the disposition of taxes
7and penalties collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5i,
85j, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12, 13 and, until January 1,
91994, 13.5 of the Retailers' Occupation Tax Act, and on and
10after January 1, 1994, all applicable provisions of the Uniform
11Penalty and Interest Act that are not inconsistent with this
12subsection, as fully as if provisions contained in those
13Sections of the Retailers' Occupation Tax Act were set forth in
14this subsection.
15    Persons subject to any tax imposed under the authority
16granted by this subsection may reimburse themselves for their
17seller's tax liability under this subsection by separately
18stating that tax as an additional charge, which charge may be
19stated in combination, in a single amount, with State taxes
20that sellers are required to collect under the Use Tax Act
21pursuant to bracket schedules as the Department may prescribe.
22The retailer filing the return shall, at the time of filing the
23return, pay to the Department the amount of tax imposed under
24this subsection, less the discount of 1.75%, which is allowed
25to reimburse the retailer for the expenses incurred in keeping
26records, preparing the filing returns, remitting the tax, and

 

 

SB1285- 356 -LRB100 08067 HLH 18153 b

1supplying data to the Department on request.
2    Whenever the Department determines that a refund should be
3made under this subsection to a claimant instead of issuing a
4credit memoranda, the Department shall notify the State
5Comptroller, who shall cause a warrant to be drawn for the
6amount specified and to the person named in the notification
7from the Department. The refund shall be paid by the State
8Treasurer out of the Home Rule Municipal Soft Drink Retailers'
9Occupation Tax Fund.
10    The Department shall forthwith pay over to the State
11Treasurer, ex officio, as trustee, all taxes and penalties
12collected hereunder. On or before the 25th day of each calendar
13month, the Department shall prepare and certify to the
14Comptroller the amount to be paid to named municipalities, the
15municipalities to be those from which retailers have paid taxes
16or penalties hereunder to the Department during the second
17preceding calendar month. The amount to be paid to each
18municipality shall be the amount collected hereunder during the
19second preceding calendar month by the Department, less any
20amounts determined by the Department to be necessary for the
21payment of refunds, and less 4% for the first year the tax is
22in effect and 2% thereafter of such balance, which sum shall be
23transferred deposited by the State Treasurer into the Tax
24Compliance and Administration Fund in the State treasury from
25which it shall be appropriated to the Department to cover the
26costs of the Department in administering and enforcing the

 

 

SB1285- 357 -LRB100 08067 HLH 18153 b

1provisions of this subsection. Within 10 days after receipt by
2the Comptroller of the certification, the Comptroller shall
3cause the orders to be drawn for the respective amount in
4accordance with the directions contained in such
5certification.
6    Nothing in this Section shall be construed to authorize a
7municipality to impose a tax upon the privilege of engaging in
8any business which under the Constitution of the United States
9may not be made the subject of taxation by the State.
10    A certificate of registration issued by the Illinois
11Department of Revenue to a retailer under the Retailers'
12Occupation Tax Act shall permit the registrant to engage in a
13business that is taxed under the tax imposed under this
14subsection and no additional registration shall be required
15under the ordinance imposing a tax or under this subsection.
16    A certified copy of any ordinance imposing or discontinuing
17any tax under this subsection or effecting a change in the rate
18of that tax shall be filed with the Department, whereupon the
19Department shall proceed to administer and enforce this
20subsection on behalf of such municipality as of the first day
21of February following the date of filing. This tax shall be
22known and cited as the Home Rule Municipal Soft Drink
23Retailers' Occupation Tax.
24    (c) The corporate authorities of a home rule municipality
25with a population in excess of 1,000,000 may impose a tax,
26which shall not take effect prior to April 1, 1994, on persons

 

 

SB1285- 358 -LRB100 08067 HLH 18153 b

1engaged in the business of selling fountain soft drinks at
2retail at a rate not to exceed 9% of the cost price of the
3fountain soft drinks at retail in such municipality. For
4purposes of this subsection, the term "soft drink" has the
5meaning set forth in Section 2-10 of the Retailers' Occupation
6Tax Act, as may be amended from time to time, except that the
7term shall not be limited to drinks contained in a closed or
8sealed bottle, can, carton, or container; the term "fountain
9soft drinks" means soft drinks which are prepared by the retail
10seller of the soft drinks by mixing soft drink syrup or
11concentrate with water, by hand or through a soft drink
12dispensing machine at or near the point and time of sale to the
13retail purchaser; the term "soft drink dispensing machine"
14means a device which mixes soft drink syrup or concentrate with
15water and dispenses such mixture into an open container as a
16ready to drink soft drink; the term "sold at retail" shall mean
17any transfer of the ownership or title to tangible personal
18property to a purchaser, for the purpose of use or consumption,
19and not for the purpose of resale, for valuable consideration;
20the term "cost price of the fountain soft drinks" means the
21consideration paid by the retail seller of the fountain soft
22drink, valued in money, whether paid in money or otherwise,
23including cash, credits and services, and shall be determined
24without any deduction on account of the supplier's cost of the
25property sold or on account or any other expenses incurred by
26the supplier, for the purchase of soft drink syrup or

 

 

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1concentrate which is designed to be further mixed with water
2before it is consumed as a soft drink; and the term "supplier"
3means any person who makes sales of soft drink syrup or
4concentrate to a retail seller of fountain soft drinks for
5purposes of resale as fountain soft drinks. The tax authorized
6by this subsection shall be collected, enforced, and
7administered by the municipality imposing the tax. Persons
8subject to the tax may reimburse themselves for their tax
9liability hereunder by separately stating an amount equal to
10the tax as an additional charge to their retail purchasers or
11may include such amount as part of the selling price of the
12soft drink. The municipality imposing the tax shall provide for
13its collection from the person subject to the tax by requiring
14that the supplier to the person subject to the tax collect and
15remit the tax to the municipality. If the supplier fails to
16collect the tax or if the person subject to the tax fails to
17pay the tax to its supplier, the person subject to the tax
18shall make the tax payment directly to the municipality.
19Payment of the tax by the retailer to the supplier shall
20relieve the retailer of any further liability for the tax.
21    (d) If either tax imposed or authorized by this Section
228-11-6b is repealed by the General Assembly or has its maximum
23rate reduced by the General Assembly, or is declared unlawful
24or unconstitutional on its face by any court of competent
25jurisdiction after all appeals have been exhausted or the time
26to appeal has expired, then this Section 8-11-6b is

 

 

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1automatically repealed and no longer effective without further
2action by the General Assembly.
3    (e) Notwithstanding the preemption of taxes on the sale,
4purchase or use of soft drinks, taxes on the sale, purchase, or
5use of soft drinks which had been imposed by a municipality
6prior to the effective date of this amendatory Act of 1993 are
7specifically authorized under this Section for sales made on or
8after the effective date of this amendatory Act of 1993 through
9March 31, 1994.
10(Source: P.A. 88-507.)
 
11    (65 ILCS 5/11-74.3-6)
12    Sec. 11-74.3-6. Business district revenue and obligations;
13business district tax allocation fund.
14    (a) If the corporate authorities of a municipality have
15approved a business district plan, have designated a business
16district, and have elected to impose a tax by ordinance
17pursuant to subsection (10) or (11) of Section 11-74.3-3, then
18each year after the date of the approval of the ordinance but
19terminating upon the date all business district project costs
20and all obligations paying or reimbursing business district
21project costs, if any, have been paid, but in no event later
22than the dissolution date, all amounts generated by the
23retailers' occupation tax and service occupation tax shall be
24collected and the tax shall be enforced by the Department of
25Revenue in the same manner as all retailers' occupation taxes

 

 

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1and service occupation taxes imposed in the municipality
2imposing the tax and all amounts generated by the hotel
3operators' occupation tax shall be collected and the tax shall
4be enforced by the municipality in the same manner as all hotel
5operators' occupation taxes imposed in the municipality
6imposing the tax. The corporate authorities of the municipality
7shall deposit the proceeds of the taxes imposed under
8subsections (10) and (11) of Section 11-74.3-3 into a special
9fund of the municipality called the "[Name of] Business
10District Tax Allocation Fund" for the purpose of paying or
11reimbursing business district project costs and obligations
12incurred in the payment of those costs.
13    (b) The corporate authorities of a municipality that has
14designated a business district under this Law may, by
15ordinance, impose a Business District Retailers' Occupation
16Tax upon all persons engaged in the business of selling
17tangible personal property, other than an item of tangible
18personal property titled or registered with an agency of this
19State's government, at retail in the business district at a
20rate not to exceed 1% of the gross receipts from the sales made
21in the course of such business, to be imposed only in 0.25%
22increments. The tax may not be imposed on tangible personal
23property taxed at the 1% rate under the Retailers' Occupation
24Tax Act, including but not limited to, 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 products classified as Class III medical devices by
4the United States Food and Drug Administration that are used
5for cancer treatment pursuant to a prescription, as well as any
6accessories and components related to those devices,
7modifications to a motor vehicle for the purpose of rendering
8it usable by a person with a disability, and insulin, urine
9testing materials, syringes, and needles used by diabetics, for
10human use.
11    The tax imposed under this subsection and all civil
12penalties that may be assessed as an incident thereof shall be
13collected and enforced by the Department of Revenue. The
14certificate of registration that is issued by the Department to
15a retailer under the Retailers' Occupation Tax Act shall permit
16the retailer to engage in a business that is taxable under any
17ordinance or resolution enacted pursuant to this subsection
18without registering separately with the Department under such
19ordinance or resolution or under this subsection. The
20Department of Revenue shall have full power to administer and
21enforce this subsection; to collect all taxes and penalties due
22under this subsection in the manner hereinafter provided; and
23to determine all rights to credit memoranda arising on account
24of the erroneous payment of tax or penalty under this
25subsection. In the administration of, and compliance with, this
26subsection, the Department and persons who are subject to this

 

 

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1subsection shall have the same rights, remedies, privileges,
2immunities, powers and duties, and be subject to the same
3conditions, restrictions, limitations, penalties, exclusions,
4exemptions, and definitions of terms and employ the same modes
5of procedure, as are prescribed in Sections 1, 1a through 1o, 2
6through 2-65 (in respect to all provisions therein other than
7the State rate of tax), 2c through 2h, 3 (except as to the
8disposition of taxes and penalties collected), 4, 5, 5a, 5c,
95d, 5e, 5f, 5g, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11,
1012, 13, and 14 of the Retailers' Occupation Tax Act and all
11provisions of the Uniform Penalty and Interest Act, as fully as
12if those provisions were set forth herein.
13    Persons subject to any tax imposed under this subsection
14may reimburse themselves for their seller's tax liability under
15this subsection by separately stating the tax as an additional
16charge, which charge may be stated in combination, in a single
17amount, with State taxes that sellers are required to collect
18under the Use Tax Act, in accordance with such bracket
19schedules as the Department may prescribe.
20    Whenever the Department determines that a refund should be
21made under this subsection to a claimant instead of issuing a
22credit memorandum, the Department shall notify the State
23Comptroller, who shall cause the order to be drawn for the
24amount specified and to the person named in the notification
25from the Department. The refund shall be paid by the State
26Treasurer out of the business district retailers' occupation

 

 

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1tax fund.
2    The Department shall immediately pay over to the State
3Treasurer, ex officio, as trustee, all taxes, penalties, and
4interest collected under this subsection for deposit into the
5business district retailers' occupation tax fund.
6    As soon as possible after the first day of each month,
7beginning January 1, 2011, upon certification of the Department
8of Revenue, the Comptroller shall order transferred, and the
9Treasurer shall transfer, to the STAR Bonds Revenue Fund the
10local sales tax increment, as defined in the Innovation
11Development and Economy Act, collected under this subsection
12during the second preceding calendar month for sales within a
13STAR bond district.
14    After the monthly transfer to the STAR Bonds Revenue Fund,
15on or before the 25th day of each calendar month, the
16Department shall prepare and certify to the Comptroller the
17disbursement of stated sums of money to named municipalities
18from the business district retailers' occupation tax fund, the
19municipalities to be those from which retailers have paid taxes
20or penalties under this subsection to the Department during the
21second preceding calendar month. The amount to be paid to each
22municipality shall be the amount (not including credit
23memoranda) collected under this subsection during the second
24preceding calendar month by the Department plus an amount the
25Department determines is necessary to offset any amounts that
26were erroneously paid to a different taxing body, and not

 

 

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1including an amount equal to the amount of refunds made during
2the second preceding calendar month by the Department, less 2%
3of that amount, which shall be transferred deposited into the
4Tax Compliance and Administration Fund and shall be used by the
5Department, subject to appropriation, to cover the costs of the
6Department in administering and enforcing the provisions of
7this subsection, on behalf of such municipality, and not
8including any amount that the Department determines is
9necessary to offset any amounts that were payable to a
10different taxing body but were erroneously paid to the
11municipality, and not including any amounts that are
12transferred to the STAR Bonds Revenue Fund. Within 10 days
13after receipt by the Comptroller of the disbursement
14certification to the municipalities provided for in this
15subsection to be given to the Comptroller by the Department,
16the Comptroller shall cause the orders to be drawn for the
17respective amounts in accordance with the directions contained
18in the certification. The proceeds of the tax paid to
19municipalities under this subsection shall be deposited into
20the Business District Tax Allocation Fund by the municipality.
21    An ordinance imposing or discontinuing the tax under this
22subsection or effecting a change in the rate thereof shall
23either (i) be adopted and a certified copy thereof filed with
24the Department on or before the first day of April, whereupon
25the Department, if all other requirements of this subsection
26are met, shall proceed to administer and enforce this

 

 

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1subsection as of the first day of July next following the
2adoption and filing; or (ii) be adopted and a certified copy
3thereof filed with the Department on or before the first day of
4October, whereupon, if all other requirements of this
5subsection are met, the Department shall proceed to administer
6and enforce this subsection as of the first day of January next
7following the adoption and filing.
8    The Department of Revenue shall not administer or enforce
9an ordinance imposing, discontinuing, or changing the rate of
10the tax under this subsection, until the municipality also
11provides, in the manner prescribed by the Department, the
12boundaries of the business district and each address in the
13business district in such a way that the Department can
14determine by its address whether a business is located in the
15business district. The municipality must provide this boundary
16and address information to the Department on or before April 1
17for administration and enforcement of the tax under this
18subsection by the Department beginning on the following July 1
19and on or before October 1 for administration and enforcement
20of the tax under this subsection by the Department beginning on
21the following January 1. The Department of Revenue shall not
22administer or enforce any change made to the boundaries of a
23business district or address change, addition, or deletion
24until the municipality reports the boundary change or address
25change, addition, or deletion to the Department in the manner
26prescribed by the Department. The municipality must provide

 

 

SB1285- 367 -LRB100 08067 HLH 18153 b

1this boundary change information or address change, addition,
2or deletion to the Department on or before April 1 for
3administration and enforcement by the Department of the change
4beginning on the following July 1 and on or before October 1
5for administration and enforcement by the Department of the
6change beginning on the following January 1. The retailers in
7the business district shall be responsible for charging the tax
8imposed under this subsection. If a retailer is incorrectly
9included or excluded from the list of those required to collect
10the tax under this subsection, both the Department of Revenue
11and the retailer shall be held harmless if they reasonably
12relied on information provided by the municipality.
13    A municipality that imposes the tax under this subsection
14must submit to the Department of Revenue any other information
15as the Department may require for the administration and
16enforcement of the tax.
17    When certifying the amount of a monthly disbursement to a
18municipality under this subsection, the Department shall
19increase or decrease the amount by an amount necessary to
20offset any misallocation of previous disbursements. The offset
21amount shall be the amount erroneously disbursed within the
22previous 6 months from the time a misallocation is discovered.
23    Nothing in this subsection shall be construed to authorize
24the municipality to impose a tax upon the privilege of engaging
25in any business which under the Constitution of the United
26States may not be made the subject of taxation by this State.

 

 

SB1285- 368 -LRB100 08067 HLH 18153 b

1    If a tax is imposed under this subsection (b), a tax shall
2also be imposed under subsection (c) of this Section.
3    (c) If a tax has been imposed under subsection (b), a
4Business District Service Occupation Tax shall also be imposed
5upon all persons engaged, in the business district, in the
6business of making sales of service, who, as an incident to
7making those sales of service, transfer tangible personal
8property within the business district, either in the form of
9tangible personal property or in the form of real estate as an
10incident to a sale of service. The tax shall be imposed at the
11same rate as the tax imposed in subsection (b) and shall not
12exceed 1% of the selling price of tangible personal property so
13transferred within the business district, to be imposed only in
140.25% increments. The tax may not be imposed on tangible
15personal property taxed at the 1% rate under the Service
16Occupation Tax Act, including but not limited to, food for
17human consumption that is to be consumed off the premises where
18it is sold (other than alcoholic beverages, soft drinks, and
19food that has been prepared for immediate consumption),
20prescription and nonprescription medicines, drugs, medical
21appliances, products classified as Class III medical devices by
22the United States Food and Drug Administration that are used
23for cancer treatment pursuant to a prescription, as well as any
24accessories and components related to those devices,
25modifications to a motor vehicle for the purpose of rendering
26it usable by a person with a disability, and insulin, urine

 

 

SB1285- 369 -LRB100 08067 HLH 18153 b

1testing materials, syringes, and needles used by diabetics, for
2human use.
3    The tax imposed under this subsection and all civil
4penalties that may be assessed as an incident thereof shall be
5collected and enforced by the Department of Revenue. The
6certificate of registration which is issued by the Department
7to a retailer under the Retailers' Occupation Tax Act or under
8the Service Occupation Tax Act shall permit such registrant to
9engage in a business which is taxable under any ordinance or
10resolution enacted pursuant to this subsection without
11registering separately with the Department under such
12ordinance or resolution or under this subsection. The
13Department of Revenue shall have full power to administer and
14enforce this subsection; to collect all taxes and penalties due
15under this subsection; to dispose of taxes and penalties so
16collected in the manner hereinafter provided; and to determine
17all rights to credit memoranda arising on account of the
18erroneous payment of tax or penalty under this subsection. In
19the administration of, and compliance with this subsection, the
20Department and persons who are subject to this subsection shall
21have the same rights, remedies, privileges, immunities, powers
22and duties, and be subject to the same conditions,
23restrictions, limitations, penalties, exclusions, exemptions,
24and definitions of terms and employ the same modes of procedure
25as are prescribed in Sections 2, 2a through 2d, 3 through 3-50
26(in respect to all provisions therein other than the State rate

 

 

SB1285- 370 -LRB100 08067 HLH 18153 b

1of tax), 4 (except that the reference to the State shall be to
2the business district), 5, 7, 8 (except that the jurisdiction
3to which the tax shall be a debt to the extent indicated in
4that Section 8 shall be the municipality), 9 (except as to the
5disposition of taxes and penalties collected, and except that
6the returned merchandise credit for this tax may not be taken
7against any State tax), 10, 11, 12 (except the reference
8therein to Section 2b of the Retailers' Occupation Tax Act), 13
9(except that any reference to the State shall mean the
10municipality), the first paragraph of Section 15, and Sections
1116, 17, 18, 19 and 20 of the Service Occupation Tax Act and all
12provisions of the Uniform Penalty and Interest Act, as fully as
13if those provisions were set forth herein.
14    Persons subject to any tax imposed under the authority
15granted in this subsection may reimburse themselves for their
16serviceman's tax liability hereunder by separately stating the
17tax as an additional charge, which charge may be stated in
18combination, in a single amount, with State tax that servicemen
19are authorized to collect under the Service Use Tax Act, in
20accordance with such bracket schedules as the Department may
21prescribe.
22    Whenever the Department determines that a refund should be
23made under this subsection to a claimant instead of issuing
24credit memorandum, the Department shall notify the State
25Comptroller, who shall cause the order to be drawn for the
26amount specified, and to the person named, in such notification

 

 

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1from the Department. Such refund shall be paid by the State
2Treasurer out of the business district retailers' occupation
3tax fund.
4    The Department shall forthwith pay over to the State
5Treasurer, ex-officio, as trustee, all taxes, penalties, and
6interest collected under this subsection for deposit into the
7business district retailers' occupation tax fund.
8    As soon as possible after the first day of each month,
9beginning January 1, 2011, upon certification of the Department
10of Revenue, the Comptroller shall order transferred, and the
11Treasurer shall transfer, to the STAR Bonds Revenue Fund the
12local sales tax increment, as defined in the Innovation
13Development and Economy Act, collected under this subsection
14during the second preceding calendar month for sales within a
15STAR bond district.
16    After the monthly transfer to the STAR Bonds Revenue Fund,
17on or before the 25th day of each calendar month, the
18Department shall prepare and certify to the Comptroller the
19disbursement of stated sums of money to named municipalities
20from the business district retailers' occupation tax fund, the
21municipalities to be those from which suppliers and servicemen
22have paid taxes or penalties under this subsection to the
23Department during the second preceding calendar month. The
24amount to be paid to each municipality shall be the amount (not
25including credit memoranda) collected under this subsection
26during the second preceding calendar month by the Department,

 

 

SB1285- 372 -LRB100 08067 HLH 18153 b

1less 2% of that amount, which shall be transferred deposited
2into the Tax Compliance and Administration Fund and shall be
3used by the Department, subject to appropriation, to cover the
4costs of the Department in administering and enforcing the
5provisions of this subsection, and not including an amount
6equal to the amount of refunds made during the second preceding
7calendar month by the Department on behalf of such
8municipality, and not including any amounts that are
9transferred to the STAR Bonds Revenue Fund. Within 10 days
10after receipt, by the Comptroller, of the disbursement
11certification to the municipalities, provided for in this
12subsection to be given to the Comptroller by the Department,
13the Comptroller shall cause the orders to be drawn for the
14respective amounts in accordance with the directions contained
15in such certification. The proceeds of the tax paid to
16municipalities under this subsection shall be deposited into
17the Business District Tax Allocation Fund by the municipality.
18    An ordinance imposing or discontinuing the tax under this
19subsection or effecting a change in the rate thereof shall
20either (i) be adopted and a certified copy thereof filed with
21the Department on or before the first day of April, whereupon
22the Department, if all other requirements of this subsection
23are met, shall proceed to administer and enforce this
24subsection as of the first day of July next following the
25adoption and filing; or (ii) be adopted and a certified copy
26thereof filed with the Department on or before the first day of

 

 

SB1285- 373 -LRB100 08067 HLH 18153 b

1October, whereupon, if all other conditions of this subsection
2are met, the Department shall proceed to administer and enforce
3this subsection as of the first day of January next following
4the adoption and filing.
5    The Department of Revenue shall not administer or enforce
6an ordinance imposing, discontinuing, or changing the rate of
7the tax under this subsection, until the municipality also
8provides, in the manner prescribed by the Department, the
9boundaries of the business district in such a way that the
10Department can determine by its address whether a business is
11located in the business district. The municipality must provide
12this boundary and address information to the Department on or
13before April 1 for administration and enforcement of the tax
14under this subsection by the Department beginning on the
15following July 1 and on or before October 1 for administration
16and enforcement of the tax under this subsection by the
17Department beginning on the following January 1. The Department
18of Revenue shall not administer or enforce any change made to
19the boundaries of a business district or address change,
20addition, or deletion until the municipality reports the
21boundary change or address change, addition, or deletion to the
22Department in the manner prescribed by the Department. The
23municipality must provide this boundary change information or
24address change, addition, or deletion to the Department on or
25before April 1 for administration and enforcement by the
26Department of the change beginning on the following July 1 and

 

 

SB1285- 374 -LRB100 08067 HLH 18153 b

1on or before October 1 for administration and enforcement by
2the Department of the change beginning on the following January
31. The retailers in the business district shall be responsible
4for charging the tax imposed under this subsection. If a
5retailer is incorrectly included or excluded from the list of
6those required to collect the tax under this subsection, both
7the Department of Revenue and the retailer shall be held
8harmless if they reasonably relied on information provided by
9the municipality.
10    A municipality that imposes the tax under this subsection
11must submit to the Department of Revenue any other information
12as the Department may require for the administration and
13enforcement of the tax.
14    Nothing in this subsection shall be construed to authorize
15the municipality to impose a tax upon the privilege of engaging
16in any business which under the Constitution of the United
17States may not be made the subject of taxation by the State.
18    If a tax is imposed under this subsection (c), a tax shall
19also be imposed under subsection (b) of this Section.
20    (d) By ordinance, a municipality that has designated a
21business district under this Law may impose an occupation tax
22upon all persons engaged in the business district in the
23business of renting, leasing, or letting rooms in a hotel, as
24defined in the Hotel Operators' Occupation Tax Act, at a rate
25not to exceed 1% of the gross rental receipts from the renting,
26leasing, or letting of hotel rooms within the business

 

 

SB1285- 375 -LRB100 08067 HLH 18153 b

1district, to be imposed only in 0.25% increments, excluding,
2however, from gross rental receipts the proceeds of renting,
3leasing, or letting to permanent residents of a hotel, as
4defined in the Hotel Operators' Occupation Tax Act, and
5proceeds from the tax imposed under subsection (c) of Section
613 of the Metropolitan Pier and Exposition Authority Act.
7    The tax imposed by the municipality under this subsection
8and all civil penalties that may be assessed as an incident to
9that tax shall be collected and enforced by the municipality
10imposing the tax. The municipality shall have full power to
11administer and enforce this subsection, to collect all taxes
12and penalties due under this subsection, to dispose of taxes
13and penalties so collected in the manner provided in this
14subsection, and to determine all rights to credit memoranda
15arising on account of the erroneous payment of tax or penalty
16under this subsection. In the administration of and compliance
17with this subsection, the municipality and persons who are
18subject to this subsection shall have the same rights,
19remedies, privileges, immunities, powers, and duties, shall be
20subject to the same conditions, restrictions, limitations,
21penalties, and definitions of terms, and shall employ the same
22modes of procedure as are employed with respect to a tax
23adopted by the municipality under Section 8-3-14 of this Code.
24    Persons subject to any tax imposed under the authority
25granted in this subsection may reimburse themselves for their
26tax liability for that tax by separately stating that tax as an

 

 

SB1285- 376 -LRB100 08067 HLH 18153 b

1additional charge, which charge may be stated in combination,
2in a single amount, with State taxes imposed under the Hotel
3Operators' Occupation Tax Act, and with any other tax.
4    Nothing in this subsection shall be construed to authorize
5a municipality to impose a tax upon the privilege of engaging
6in any business which under the Constitution of the United
7States may not be made the subject of taxation by this State.
8    The proceeds of the tax imposed under this subsection shall
9be deposited into the Business District Tax Allocation Fund.
10    (e) Obligations secured by the Business District Tax
11Allocation Fund may be issued to provide for the payment or
12reimbursement of business district project costs. Those
13obligations, when so issued, shall be retired in the manner
14provided in the ordinance authorizing the issuance of those
15obligations by the receipts of taxes imposed pursuant to
16subsections (10) and (11) of Section 11-74.3-3 and by other
17revenue designated or pledged by the municipality. A
18municipality may in the ordinance pledge, for any period of
19time up to and including the dissolution date, all or any part
20of the funds in and to be deposited in the Business District
21Tax Allocation Fund to the payment of business district project
22costs and obligations. Whenever a municipality pledges all of
23the funds to the credit of a business district tax allocation
24fund to secure obligations issued or to be issued to pay or
25reimburse business district project costs, the municipality
26may specifically provide that funds remaining to the credit of

 

 

SB1285- 377 -LRB100 08067 HLH 18153 b

1such business district tax allocation fund after the payment of
2such obligations shall be accounted for annually and shall be
3deemed to be "surplus" funds, and such "surplus" funds shall be
4expended by the municipality for any business district project
5cost as approved in the business district plan. Whenever a
6municipality pledges less than all of the monies to the credit
7of a business district tax allocation fund to secure
8obligations issued or to be issued to pay or reimburse business
9district project costs, the municipality shall provide that
10monies to the credit of the business district tax allocation
11fund and not subject to such pledge or otherwise encumbered or
12required for payment of contractual obligations for specific
13business district project costs shall be calculated annually
14and shall be deemed to be "surplus" funds, and such "surplus"
15funds shall be expended by the municipality for any business
16district project cost as approved in the business district
17plan.
18    No obligation issued pursuant to this Law and secured by a
19pledge of all or any portion of any revenues received or to be
20received by the municipality from the imposition of taxes
21pursuant to subsection (10) of Section 11-74.3-3, shall be
22deemed to constitute an economic incentive agreement under
23Section 8-11-20, notwithstanding the fact that such pledge
24provides for the sharing, rebate, or payment of retailers'
25occupation taxes or service occupation taxes imposed pursuant
26to subsection (10) of Section 11-74.3-3 and received or to be

 

 

SB1285- 378 -LRB100 08067 HLH 18153 b

1received by the municipality from the development or
2redevelopment of properties in the business district.
3    Without limiting the foregoing in this Section, the
4municipality may further secure obligations secured by the
5business district tax allocation fund with a pledge, for a
6period not greater than the term of the obligations and in any
7case not longer than the dissolution date, of any part or any
8combination of the following: (i) net revenues of all or part
9of any business district project; (ii) taxes levied or imposed
10by the municipality on any or all property in the municipality,
11including, specifically, taxes levied or imposed by the
12municipality in a special service area pursuant to the Special
13Service Area Tax Law; (iii) the full faith and credit of the
14municipality; (iv) a mortgage on part or all of the business
15district project; or (v) any other taxes or anticipated
16receipts that the municipality may lawfully pledge.
17    Such obligations may be issued in one or more series, bear
18such date or dates, become due at such time or times as therein
19provided, but in any case not later than (i) 20 years after the
20date of issue or (ii) the dissolution date, whichever is
21earlier, bear interest payable at such intervals and at such
22rate or rates as set forth therein, except as may be limited by
23applicable law, which rate or rates may be fixed or variable,
24be in such denominations, be in such form, either coupon,
25registered, or book-entry, carry such conversion, registration
26and exchange privileges, be subject to defeasance upon such

 

 

SB1285- 379 -LRB100 08067 HLH 18153 b

1terms, have such rank or priority, be executed in such manner,
2be payable in such medium or payment at such place or places
3within or without the State, make provision for a corporate
4trustee within or without the State with respect to such
5obligations, prescribe the rights, powers, and duties thereof
6to be exercised for the benefit of the municipality and the
7benefit of the owners of such obligations, provide for the
8holding in trust, investment, and use of moneys, funds, and
9accounts held under an ordinance, provide for assignment of and
10direct payment of the moneys to pay such obligations or to be
11deposited into such funds or accounts directly to such trustee,
12be subject to such terms of redemption with or without premium,
13and be sold at such price, all as the corporate authorities
14shall determine. No referendum approval of the electors shall
15be required as a condition to the issuance of obligations
16pursuant to this Law except as provided in this Section.
17    In the event the municipality authorizes the issuance of
18obligations pursuant to the authority of this Law secured by
19the full faith and credit of the municipality, or pledges ad
20valorem taxes pursuant to this subsection, which obligations
21are other than obligations which may be issued under home rule
22powers provided by Section 6 of Article VII of the Illinois
23Constitution or which ad valorem taxes are other than ad
24valorem taxes which may be pledged under home rule powers
25provided by Section 6 of Article VII of the Illinois
26Constitution or which are levied in a special service area

 

 

SB1285- 380 -LRB100 08067 HLH 18153 b

1pursuant to the Special Service Area Tax Law, the ordinance
2authorizing the issuance of those obligations or pledging those
3taxes shall be published within 10 days after the ordinance has
4been adopted, in a newspaper having a general circulation
5within the municipality. The publication of the ordinance shall
6be accompanied by a notice of (i) the specific number of voters
7required to sign a petition requesting the question of the
8issuance of the obligations or pledging such ad valorem taxes
9to be submitted to the electors; (ii) the time within which the
10petition must be filed; and (iii) the date of the prospective
11referendum. The municipal clerk shall provide a petition form
12to any individual requesting one.
13    If no petition is filed with the municipal clerk, as
14hereinafter provided in this Section, within 21 days after the
15publication of the ordinance, the ordinance shall be in effect.
16However, if within that 21-day period a petition is filed with
17the municipal clerk, signed by electors numbering not less than
1815% of the number of electors voting for the mayor or president
19at the last general municipal election, asking that the
20question of issuing obligations using full faith and credit of
21the municipality as security for the cost of paying or
22reimbursing business district project costs, or of pledging
23such ad valorem taxes for the payment of those obligations, or
24both, be submitted to the electors of the municipality, the
25municipality shall not be authorized to issue obligations of
26the municipality using the full faith and credit of the

 

 

SB1285- 381 -LRB100 08067 HLH 18153 b

1municipality as security or pledging such ad valorem taxes for
2the payment of those obligations, or both, until the
3proposition has been submitted to and approved by a majority of
4the voters voting on the proposition at a regularly scheduled
5election. The municipality shall certify the proposition to the
6proper election authorities for submission in accordance with
7the general election law.
8    The ordinance authorizing the obligations may provide that
9the obligations shall contain a recital that they are issued
10pursuant to this Law, which recital shall be conclusive
11evidence of their validity and of the regularity of their
12issuance.
13    In the event the municipality authorizes issuance of
14obligations pursuant to this Law secured by the full faith and
15credit of the municipality, the ordinance authorizing the
16obligations may provide for the levy and collection of a direct
17annual tax upon all taxable property within the municipality
18sufficient to pay the principal thereof and interest thereon as
19it matures, which levy may be in addition to and exclusive of
20the maximum of all other taxes authorized to be levied by the
21municipality, which levy, however, shall be abated to the
22extent that monies from other sources are available for payment
23of the obligations and the municipality certifies the amount of
24those monies available to the county clerk.
25    A certified copy of the ordinance shall be filed with the
26county clerk of each county in which any portion of the

 

 

SB1285- 382 -LRB100 08067 HLH 18153 b

1municipality is situated, and shall constitute the authority
2for the extension and collection of the taxes to be deposited
3in the business district tax allocation fund.
4    A municipality may also issue its obligations to refund, in
5whole or in part, obligations theretofore issued by the
6municipality under the authority of this Law, whether at or
7prior to maturity. However, the last maturity of the refunding
8obligations shall not be expressed to mature later than the
9dissolution date.
10    In the event a municipality issues obligations under home
11rule powers or other legislative authority, the proceeds of
12which are pledged to pay or reimburse business district project
13costs, the municipality may, if it has followed the procedures
14in conformance with this Law, retire those obligations from
15funds in the business district tax allocation fund in amounts
16and in such manner as if those obligations had been issued
17pursuant to the provisions of this Law.
18    No obligations issued pursuant to this Law shall be
19regarded as indebtedness of the municipality issuing those
20obligations or any other taxing district for the purpose of any
21limitation imposed by law.
22    Obligations issued pursuant to this Law shall not be
23subject to the provisions of the Bond Authorization Act.
24    (f) When business district project costs, including,
25without limitation, all obligations paying or reimbursing
26business district project costs have been paid, any surplus

 

 

SB1285- 383 -LRB100 08067 HLH 18153 b

1funds then remaining in the Business District Tax Allocation
2Fund shall be distributed to the municipal treasurer for
3deposit into the general corporate fund of the municipality.
4Upon payment of all business district project costs and
5retirement of all obligations paying or reimbursing business
6district project costs, but in no event more than 23 years
7after the date of adoption of the ordinance imposing taxes
8pursuant to subsection (10) or (11) of Section 11-74.3-3, the
9municipality shall adopt an ordinance immediately rescinding
10the taxes imposed pursuant to subsection (10) or (11) of
11Section 11-74.3-3.
12(Source: P.A. 99-143, eff. 7-27-15.)
 
13    Section 135. The Metropolitan Pier and Exposition
14Authority Act is amended by changing Section 13 as follows:
 
15    (70 ILCS 210/13)  (from Ch. 85, par. 1233)
16    Sec. 13. Taxing power of Authority.(a) The Authority shall
17not have power to levy taxes for any purpose, except as
18provided in subsections (b), (c), (d), (e), and (f).
19    (b) By ordinance the Authority shall, as soon as
20practicable after the effective date of this amendatory Act of
211991, impose a Metropolitan Pier and Exposition Authority
22Retailers' Occupation Tax upon all persons engaged in the
23business of selling tangible personal property at retail within
24the territory described in this subsection at the rate of 1.0%

 

 

SB1285- 384 -LRB100 08067 HLH 18153 b

1of the gross receipts (i) from the sale of food, alcoholic
2beverages, and soft drinks sold for consumption on the premises
3where sold and (ii) from the sale of food, alcoholic beverages,
4and soft drinks sold for consumption off the premises where
5sold by a retailer whose principal source of gross receipts is
6from the sale of food, alcoholic beverages, and soft drinks
7prepared for immediate consumption.
8    The tax imposed under this subsection and all civil
9penalties that may be assessed as an incident to that tax shall
10be collected and enforced by the Illinois Department of
11Revenue. The Department shall have full power to administer and
12enforce this subsection, to collect all taxes and penalties so
13collected in the manner provided in this subsection, and to
14determine all rights to credit memoranda arising on account of
15the erroneous payment of tax or penalty under this subsection.
16In the administration of and compliance with this subsection,
17the Department and persons who are subject to this subsection
18shall have the same rights, remedies, privileges, immunities,
19powers, and duties, shall be subject to the same conditions,
20restrictions, limitations, penalties, exclusions, exemptions,
21and definitions of terms, and shall employ the same modes of
22procedure applicable to this Retailers' Occupation Tax as are
23prescribed in Sections 1, 2 through 2-65 (in respect to all
24provisions of those Sections other than the State rate of
25taxes), 2c, 2h, 2i, 3 (except as to the disposition of taxes
26and penalties collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5i,

 

 

SB1285- 385 -LRB100 08067 HLH 18153 b

15j, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12, 13, and, until January
21, 1994, 13.5 of the Retailers' Occupation Tax Act, and, on and
3after January 1, 1994, all applicable provisions of the Uniform
4Penalty and Interest Act that are not inconsistent with this
5Act, as fully as if provisions contained in those Sections of
6the Retailers' Occupation Tax Act were set forth in this
7subsection.
8    Persons subject to any tax imposed under the authority
9granted in this subsection may reimburse themselves for their
10seller's tax liability under this subsection by separately
11stating that tax as an additional charge, which charge may be
12stated in combination, in a single amount, with State taxes
13that sellers are required to collect under the Use Tax Act,
14pursuant to bracket schedules as the Department may prescribe.
15The retailer filing the return shall, at the time of filing the
16return, pay to the Department the amount of tax imposed under
17this subsection, less a discount of 1.75%, which is allowed to
18reimburse the retailer for the expenses incurred in keeping
19records, preparing and filing returns, remitting the tax, and
20supplying data to the Department on request.
21    Whenever the Department determines that a refund should be
22made under this subsection to a claimant instead of issuing a
23credit memorandum, the Department shall notify the State
24Comptroller, who shall cause a warrant to be drawn for the
25amount specified and to the person named in the notification
26from the Department. The refund shall be paid by the State

 

 

SB1285- 386 -LRB100 08067 HLH 18153 b

1Treasurer out of the Metropolitan Pier and Exposition Authority
2trust fund held by the State Treasurer as trustee for the
3Authority.
4    Nothing in this subsection authorizes the Authority to
5impose a tax upon the privilege of engaging in any business
6that under the Constitution of the United States may not be
7made the subject of taxation by this State.
8    The Department shall forthwith pay over to the State
9Treasurer, ex officio, as trustee for the Authority, all taxes
10and penalties collected under this subsection for deposit into
11a trust fund held outside of the State Treasury.
12    As soon as possible after the first day of each month,
13beginning January 1, 2011, upon certification of the Department
14of Revenue, the Comptroller shall order transferred, and the
15Treasurer shall transfer, to the STAR Bonds Revenue Fund the
16local sales tax increment, as defined in the Innovation
17Development and Economy Act, collected under this subsection
18during the second preceding calendar month for sales within a
19STAR bond district.
20    After the monthly transfer to the STAR Bonds Revenue Fund,
21on or before the 25th day of each calendar month, the
22Department shall prepare and certify to the Comptroller the
23amounts to be paid under subsection (g) of this Section, which
24shall be the amounts, not including credit memoranda, collected
25under this subsection during the second preceding calendar
26month by the Department, less any amounts determined by the

 

 

SB1285- 387 -LRB100 08067 HLH 18153 b

1Department to be necessary for the payment of refunds, less 2%
2of such balance, which sum shall be transferred deposited by
3the State Treasurer into the Tax Compliance and Administration
4Fund in the State Treasury from which it shall be appropriated
5to the Department to cover the costs of the Department in
6administering and enforcing the provisions of this subsection,
7and less any amounts that are transferred to the STAR Bonds
8Revenue Fund. Within 10 days after receipt by the Comptroller
9of the certification, the Comptroller shall cause the orders to
10be drawn for the remaining amounts, and the Treasurer shall
11administer those amounts as required in subsection (g).
12    A certificate of registration issued by the Illinois
13Department of Revenue to a retailer under the Retailers'
14Occupation Tax Act shall permit the registrant to engage in a
15business that is taxed under the tax imposed under this
16subsection, and no additional registration shall be required
17under the ordinance imposing the tax or under this subsection.
18    A certified copy of any ordinance imposing or discontinuing
19any tax under this subsection or effecting a change in the rate
20of that tax shall be filed with the Department, whereupon the
21Department shall proceed to administer and enforce this
22subsection on behalf of the Authority as of the first day of
23the third calendar month following the date of filing.
24    The tax authorized to be levied under this subsection may
25be levied within all or any part of the following described
26portions of the metropolitan area:

 

 

SB1285- 388 -LRB100 08067 HLH 18153 b

1        (1) that portion of the City of Chicago located within
2    the following area: Beginning at the point of intersection
3    of the Cook County - DuPage County line and York Road, then
4    North along York Road to its intersection with Touhy
5    Avenue, then east along Touhy Avenue to its intersection
6    with the Northwest Tollway, then southeast along the
7    Northwest Tollway to its intersection with Lee Street, then
8    south along Lee Street to Higgins Road, then south and east
9    along Higgins Road to its intersection with Mannheim Road,
10    then south along Mannheim Road to its intersection with
11    Irving Park Road, then west along Irving Park Road to its
12    intersection with the Cook County - DuPage County line,
13    then north and west along the county line to the point of
14    beginning; and
15        (2) that portion of the City of Chicago located within
16    the following area: Beginning at the intersection of West
17    55th Street with Central Avenue, then east along West 55th
18    Street to its intersection with South Cicero Avenue, then
19    south along South Cicero Avenue to its intersection with
20    West 63rd Street, then west along West 63rd Street to its
21    intersection with South Central Avenue, then north along
22    South Central Avenue to the point of beginning; and
23        (3) that portion of the City of Chicago located within
24    the following area: Beginning at the point 150 feet west of
25    the intersection of the west line of North Ashland Avenue
26    and the north line of West Diversey Avenue, then north 150

 

 

SB1285- 389 -LRB100 08067 HLH 18153 b

1    feet, then east along a line 150 feet north of the north
2    line of West Diversey Avenue extended to the shoreline of
3    Lake Michigan, then following the shoreline of Lake
4    Michigan (including Navy Pier and all other improvements
5    fixed to land, docks, or piers) to the point where the
6    shoreline of Lake Michigan and the Adlai E. Stevenson
7    Expressway extended east to that shoreline intersect, then
8    west along the Adlai E. Stevenson Expressway to a point 150
9    feet west of the west line of South Ashland Avenue, then
10    north along a line 150 feet west of the west line of South
11    and North Ashland Avenue to the point of beginning.
12    The tax authorized to be levied under this subsection may
13also be levied on food, alcoholic beverages, and soft drinks
14sold on boats and other watercraft departing from and returning
15to the shoreline of Lake Michigan (including Navy Pier and all
16other improvements fixed to land, docks, or piers) described in
17item (3).
18    (c) By ordinance the Authority shall, as soon as
19practicable after the effective date of this amendatory Act of
201991, impose an occupation tax upon all persons engaged in the
21corporate limits of the City of Chicago in the business of
22renting, leasing, or letting rooms in a hotel, as defined in
23the Hotel Operators' Occupation Tax Act, at a rate of 2.5% of
24the gross rental receipts from the renting, leasing, or letting
25of hotel rooms within the City of Chicago, excluding, however,
26from gross rental receipts the proceeds of renting, leasing, or

 

 

SB1285- 390 -LRB100 08067 HLH 18153 b

1letting to permanent residents of a hotel, as defined in that
2Act. Gross rental receipts shall not include charges that are
3added on account of the liability arising from any tax imposed
4by the State or any governmental agency on the occupation of
5renting, leasing, or letting rooms in a hotel.
6    The tax imposed by the Authority under this subsection and
7all civil penalties that may be assessed as an incident to that
8tax shall be collected and enforced by the Illinois Department
9of Revenue. The certificate of registration that is issued by
10the Department to a lessor under the Hotel Operators'
11Occupation Tax Act shall permit that registrant to engage in a
12business that is taxable under any ordinance enacted under this
13subsection without registering separately with the Department
14under that ordinance or under this subsection. The Department
15shall have full power to administer and enforce this
16subsection, to collect all taxes and penalties due under this
17subsection, to dispose of taxes and penalties so collected in
18the manner provided in this subsection, and to determine all
19rights to credit memoranda arising on account of the erroneous
20payment of tax or penalty under this subsection. In the
21administration of and compliance with this subsection, the
22Department and persons who are subject to this subsection shall
23have the same rights, remedies, privileges, immunities,
24powers, and duties, shall be subject to the same conditions,
25restrictions, limitations, penalties, and definitions of
26terms, and shall employ the same modes of procedure as are

 

 

SB1285- 391 -LRB100 08067 HLH 18153 b

1prescribed in the Hotel Operators' Occupation Tax Act (except
2where that Act is inconsistent with this subsection), as fully
3as if the provisions contained in the Hotel Operators'
4Occupation Tax Act were set out in this subsection.
5    Whenever the Department determines that a refund should be
6made under this subsection to a claimant instead of issuing a
7credit memorandum, the Department shall notify the State
8Comptroller, who shall cause a warrant to be drawn for the
9amount specified and to the person named in the notification
10from the Department. The refund shall be paid by the State
11Treasurer out of the Metropolitan Pier and Exposition Authority
12trust fund held by the State Treasurer as trustee for the
13Authority.
14    Persons subject to any tax imposed under the authority
15granted in this subsection may reimburse themselves for their
16tax liability for that tax by separately stating that tax as an
17additional charge, which charge may be stated in combination,
18in a single amount, with State taxes imposed under the Hotel
19Operators' Occupation Tax Act, the municipal tax imposed under
20Section 8-3-13 of the Illinois Municipal Code, and the tax
21imposed under Section 19 of the Illinois Sports Facilities
22Authority Act.
23    The person filing the return shall, at the time of filing
24the return, pay to the Department the amount of tax, less a
25discount of 2.1% or $25 per calendar year, whichever is
26greater, which is allowed to reimburse the operator for the

 

 

SB1285- 392 -LRB100 08067 HLH 18153 b

1expenses incurred in keeping records, preparing and filing
2returns, remitting the tax, and supplying data to the
3Department on request.
4    The Department shall forthwith pay over to the State
5Treasurer, ex officio, as trustee for the Authority, all taxes
6and penalties collected under this subsection for deposit into
7a trust fund held outside the State Treasury. On or before the
825th day of each calendar month, the Department shall certify
9to the Comptroller the amounts to be paid under subsection (g)
10of this Section, which shall be the amounts (not including
11credit memoranda) collected under this subsection during the
12second preceding calendar month by the Department, less any
13amounts determined by the Department to be necessary for
14payment of refunds. Within 10 days after receipt by the
15Comptroller of the Department's certification, the Comptroller
16shall cause the orders to be drawn for such amounts, and the
17Treasurer shall administer those amounts as required in
18subsection (g).
19    A certified copy of any ordinance imposing or discontinuing
20a tax under this subsection or effecting a change in the rate
21of that tax shall be filed with the Illinois Department of
22Revenue, whereupon the Department shall proceed to administer
23and enforce this subsection on behalf of the Authority as of
24the first day of the third calendar month following the date of
25filing.
26    (d) By ordinance the Authority shall, as soon as

 

 

SB1285- 393 -LRB100 08067 HLH 18153 b

1practicable after the effective date of this amendatory Act of
21991, impose a tax upon all persons engaged in the business of
3renting automobiles in the metropolitan area at the rate of 6%
4of the gross receipts from that business, except that no tax
5shall be imposed on the business of renting automobiles for use
6as taxicabs or in livery service. The tax imposed under this
7subsection and all civil penalties that may be assessed as an
8incident to that tax shall be collected and enforced by the
9Illinois Department of Revenue. The certificate of
10registration issued by the Department to a retailer under the
11Retailers' Occupation Tax Act or under the Automobile Renting
12Occupation and Use Tax Act shall permit that person to engage
13in a business that is taxable under any ordinance enacted under
14this subsection without registering separately with the
15Department under that ordinance or under this subsection. The
16Department shall have full power to administer and enforce this
17subsection, to collect all taxes and penalties due under this
18subsection, to dispose of taxes and penalties so collected in
19the manner provided in this subsection, and to determine all
20rights to credit memoranda arising on account of the erroneous
21payment of tax or penalty under this subsection. In the
22administration 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, be subject to the same conditions,
26restrictions, limitations, penalties, and definitions of

 

 

SB1285- 394 -LRB100 08067 HLH 18153 b

1terms, and employ the same modes of procedure as are prescribed
2in Sections 2 and 3 (in respect to all provisions of those
3Sections other than the State rate of tax; and in respect to
4the provisions of the Retailers' Occupation Tax Act referred to
5in those Sections, except as to the disposition of taxes and
6penalties collected, except for the provision allowing
7retailers a deduction from the tax to cover certain costs, and
8except that credit memoranda issued under this subsection may
9not be used to discharge any State tax liability) of the
10Automobile Renting Occupation and Use Tax Act, as fully as if
11provisions contained in those Sections of that Act were set
12forth in this subsection.
13    Persons subject to any tax imposed under the authority
14granted in this subsection may reimburse themselves for their
15tax liability under this subsection by separately stating that
16tax as an additional charge, which charge may be stated in
17combination, in a single amount, with State tax that sellers
18are required to collect under the Automobile Renting Occupation
19and Use Tax Act, pursuant to bracket schedules as the
20Department may prescribe.
21    Whenever the Department determines that a refund should be
22made under this subsection to a claimant instead of issuing a
23credit memorandum, the Department shall notify the State
24Comptroller, who shall cause a warrant to be drawn for the
25amount specified and to the person named in the notification
26from the Department. The refund shall be paid by the State

 

 

SB1285- 395 -LRB100 08067 HLH 18153 b

1Treasurer out of the Metropolitan Pier and Exposition Authority
2trust fund held by the State Treasurer as trustee for the
3Authority.
4    The Department shall forthwith pay over to the State
5Treasurer, ex officio, as trustee, all taxes and penalties
6collected under this subsection for deposit into a trust fund
7held outside the State Treasury. On or before the 25th day of
8each calendar month, the Department shall certify to the
9Comptroller the amounts to be paid under subsection (g) of this
10Section (not including credit memoranda) collected under this
11subsection during the second preceding calendar month by the
12Department, less any amount determined by the Department to be
13necessary for payment of refunds. Within 10 days after receipt
14by the Comptroller of the Department's certification, the
15Comptroller shall cause the orders to be drawn for such
16amounts, and the Treasurer shall administer those amounts as
17required in subsection (g).
18    Nothing in this subsection authorizes the Authority to
19impose a tax upon the privilege of engaging in any business
20that under the Constitution of the United States may not be
21made the subject of taxation by this State.
22    A certified copy of any ordinance imposing or discontinuing
23a tax under this subsection or effecting a change in the rate
24of that tax shall be filed with the Illinois Department of
25Revenue, whereupon the Department shall proceed to administer
26and enforce this subsection on behalf of the Authority as of

 

 

SB1285- 396 -LRB100 08067 HLH 18153 b

1the first day of the third calendar month following the date of
2filing.
3    (e) By ordinance the Authority shall, as soon as
4practicable after the effective date of this amendatory Act of
51991, impose a tax upon the privilege of using in the
6metropolitan area an automobile that is rented from a rentor
7outside Illinois and is titled or registered with an agency of
8this State's government at a rate of 6% of the rental price of
9that automobile, except that no tax shall be imposed on the
10privilege of using automobiles rented for use as taxicabs or in
11livery service. The tax shall be collected from persons whose
12Illinois address for titling or registration purposes is given
13as being in the metropolitan area. The tax shall be collected
14by the Department of Revenue for the Authority. The tax must be
15paid to the State or an exemption determination must be
16obtained from the Department of Revenue before the title or
17certificate of registration for the property may be issued. The
18tax or proof of exemption may be transmitted to the Department
19by way of the State agency with which or State officer with
20whom the tangible personal property must be titled or
21registered if the Department and that agency or State officer
22determine that this procedure will expedite the processing of
23applications for title or registration.
24    The Department shall have full power to administer and
25enforce this subsection, to collect all taxes, penalties, and
26interest due under this subsection, to dispose of taxes,

 

 

SB1285- 397 -LRB100 08067 HLH 18153 b

1penalties, and interest so collected in the manner provided in
2this subsection, and to determine all rights to credit
3memoranda or refunds arising on account of the erroneous
4payment of tax, penalty, or interest under this subsection. In
5the administration of and compliance with this subsection, the
6Department and persons who are subject to this subsection shall
7have the same rights, remedies, privileges, immunities,
8powers, and duties, be subject to the same conditions,
9restrictions, limitations, penalties, and definitions of
10terms, and employ the same modes of procedure as are prescribed
11in Sections 2 and 4 (except provisions pertaining to the State
12rate of tax; and in respect to the provisions of the Use Tax
13Act referred to in that Section, except provisions concerning
14collection or refunding of the tax by retailers, except the
15provisions of Section 19 pertaining to claims by retailers,
16except the last paragraph concerning refunds, and except that
17credit memoranda issued under this subsection may not be used
18to discharge any State tax liability) of the Automobile Renting
19Occupation and Use Tax Act, as fully as if provisions contained
20in those Sections of that Act were set forth in this
21subsection.
22    Whenever the Department determines that a refund should be
23made under this subsection to a claimant instead of issuing a
24credit memorandum, the Department shall notify the State
25Comptroller, who shall cause a warrant to be drawn for the
26amount specified and to the person named in the notification

 

 

SB1285- 398 -LRB100 08067 HLH 18153 b

1from the Department. The refund shall be paid by the State
2Treasurer out of the Metropolitan Pier and Exposition Authority
3trust fund held by the State Treasurer as trustee for the
4Authority.
5    The Department shall forthwith pay over to the State
6Treasurer, ex officio, as trustee, all taxes, penalties, and
7interest collected under this subsection for deposit into a
8trust fund held outside the State Treasury. On or before the
925th day of each calendar month, the Department shall certify
10to the State Comptroller the amounts to be paid under
11subsection (g) of this Section, which shall be the amounts (not
12including credit memoranda) collected under this subsection
13during the second preceding calendar month by the Department,
14less any amounts determined by the Department to be necessary
15for payment of refunds. Within 10 days after receipt by the
16State Comptroller of the Department's certification, the
17Comptroller shall cause the orders to be drawn for such
18amounts, and the Treasurer shall administer those amounts as
19required in subsection (g).
20    A certified copy of any ordinance imposing or discontinuing
21a tax or effecting a change in the rate of that tax shall be
22filed with the Illinois Department of Revenue, whereupon the
23Department shall proceed to administer and enforce this
24subsection on behalf of the Authority as of the first day of
25the third calendar month following the date of filing.
26    (f) By ordinance the Authority shall, as soon as

 

 

SB1285- 399 -LRB100 08067 HLH 18153 b

1practicable after the effective date of this amendatory Act of
21991, impose an occupation tax on all persons, other than a
3governmental agency, engaged in the business of providing
4ground transportation for hire to passengers in the
5metropolitan area at a rate of (i) $4 per taxi or livery
6vehicle departure with passengers for hire from commercial
7service airports in the metropolitan area, (ii) for each
8departure with passengers for hire from a commercial service
9airport in the metropolitan area in a bus or van operated by a
10person other than a person described in item (iii): $18 per bus
11or van with a capacity of 1-12 passengers, $36 per bus or van
12with a capacity of 13-24 passengers, and $54 per bus or van
13with a capacity of over 24 passengers, and (iii) for each
14departure with passengers for hire from a commercial service
15airport in the metropolitan area in a bus or van operated by a
16person regulated by the Interstate Commerce Commission or
17Illinois Commerce Commission, operating scheduled service from
18the airport, and charging fares on a per passenger basis: $2
19per passenger for hire in each bus or van. The term "commercial
20service airports" means those airports receiving scheduled
21passenger service and enplaning more than 100,000 passengers
22per year.
23    In the ordinance imposing the tax, the Authority may
24provide for the administration and enforcement of the tax and
25the collection of the tax from persons subject to the tax as
26the Authority determines to be necessary or practicable for the

 

 

SB1285- 400 -LRB100 08067 HLH 18153 b

1effective administration of the tax. The Authority may enter
2into agreements as it deems appropriate with any governmental
3agency providing for that agency to act as the Authority's
4agent to collect the tax.
5    In the ordinance imposing the tax, the Authority may
6designate a method or methods for persons subject to the tax to
7reimburse themselves for the tax liability arising under the
8ordinance (i) by separately stating the full amount of the tax
9liability as an additional charge to passengers departing the
10airports, (ii) by separately stating one-half of the tax
11liability as an additional charge to both passengers departing
12from and to passengers arriving at the airports, or (iii) by
13some other method determined by the Authority.
14    All taxes, penalties, and interest collected under any
15ordinance adopted under this subsection, less any amounts
16determined to be necessary for the payment of refunds and less
17the taxes, penalties, and interest attributable to any increase
18in the rate of tax authorized by Public Act 96-898, shall be
19paid forthwith to the State Treasurer, ex officio, for deposit
20into a trust fund held outside the State Treasury and shall be
21administered by the State Treasurer as provided in subsection
22(g) of this Section. All taxes, penalties, and interest
23attributable to any increase in the rate of tax authorized by
24Public Act 96-898 shall be paid by the State Treasurer as
25follows: 25% for deposit into the Convention Center Support
26Fund, to be used by the Village of Rosemont for the repair,

 

 

SB1285- 401 -LRB100 08067 HLH 18153 b

1maintenance, and improvement of the Donald E. Stephens
2Convention Center and for debt service on debt instruments
3issued for those purposes by the village and 75% to the
4Authority to be used for grants to an organization meeting the
5qualifications set out in Section 5.6 of this Act, provided the
6Metropolitan Pier and Exposition Authority has entered into a
7marketing agreement with such an organization.
8    (g) Amounts deposited from the proceeds of taxes imposed by
9the Authority under subsections (b), (c), (d), (e), and (f) of
10this Section and amounts deposited under Section 19 of the
11Illinois Sports Facilities Authority Act shall be held in a
12trust fund outside the State Treasury and shall be administered
13by the Treasurer as follows:
14        (1) An amount necessary for the payment of refunds with
15    respect to those taxes shall be retained in the trust fund
16    and used for those payments.
17        (2) On July 20 and on the 20th of each month
18    thereafter, provided that the amount requested in the
19    annual certificate of the Chairman of the Authority filed
20    under Section 8.25f of the State Finance Act has been
21    appropriated for payment to the Authority, 1/8 of the local
22    tax transfer amount, together with any cumulative
23    deficiencies in the amounts transferred into the McCormick
24    Place Expansion Project Fund under this subparagraph (2)
25    during the fiscal year for which the certificate has been
26    filed, shall be transferred from the trust fund into the

 

 

SB1285- 402 -LRB100 08067 HLH 18153 b

1    McCormick Place Expansion Project Fund in the State
2    treasury until 100% of the local tax transfer amount has
3    been so transferred. "Local tax transfer amount" shall mean
4    the amount requested in the annual certificate, minus the
5    reduction amount. "Reduction amount" shall mean $41.7
6    million in fiscal year 2011, $36.7 million in fiscal year
7    2012, $36.7 million in fiscal year 2013, $36.7 million in
8    fiscal year 2014, and $31.7 million in each fiscal year
9    thereafter until 2032, provided that the reduction amount
10    shall be reduced by (i) the amount certified by the
11    Authority to the State Comptroller and State Treasurer
12    under Section 8.25 of the State Finance Act, as amended,
13    with respect to that fiscal year and (ii) in any fiscal
14    year in which the amounts deposited in the trust fund under
15    this Section exceed $318.3 million, exclusive of amounts
16    set aside for refunds and for the reserve account, one
17    dollar for each dollar of the deposits in the trust fund
18    above $318.3 million with respect to that year, exclusive
19    of amounts set aside for refunds and for the reserve
20    account.
21        (3) On July 20, 2010, the Comptroller shall certify to
22    the Governor, the Treasurer, and the Chairman of the
23    Authority the 2010 deficiency amount, which means the
24    cumulative amount of transfers that were due from the trust
25    fund to the McCormick Place Expansion Project Fund in
26    fiscal years 2008, 2009, and 2010 under Section 13(g) of

 

 

SB1285- 403 -LRB100 08067 HLH 18153 b

1    this Act, as it existed prior to May 27, 2010 (the
2    effective date of Public Act 96-898), but not made. On July
3    20, 2011 and on July 20 of each year through July 20, 2014,
4    the Treasurer shall calculate for the previous fiscal year
5    the surplus revenues in the trust fund and pay that amount
6    to the Authority. On July 20, 2015 and on July 20 of each
7    year thereafter, as long as bonds and notes issued under
8    Section 13.2 or bonds and notes issued to refund those
9    bonds and notes are outstanding, the Treasurer shall
10    calculate for the previous fiscal year the surplus revenues
11    in the trust fund and pay one-half of that amount to the
12    State Treasurer for deposit into the General Revenue Fund
13    until the 2010 deficiency amount has been paid and shall
14    pay the balance of the surplus revenues to the Authority.
15    "Surplus revenues" means the amounts remaining in the trust
16    fund on June 30 of the previous fiscal year (A) after the
17    State Treasurer has set aside in the trust fund (i) amounts
18    retained for refunds under subparagraph (1) and (ii) any
19    amounts necessary to meet the reserve account amount and
20    (B) after the State Treasurer has transferred from the
21    trust fund to the General Revenue Fund 100% of any
22    post-2010 deficiency amount. "Reserve account amount"
23    means $15 million in fiscal year 2011 and $30 million in
24    each fiscal year thereafter. The reserve account amount
25    shall be set aside in the trust fund and used as a reserve
26    to be transferred to the McCormick Place Expansion Project

 

 

SB1285- 404 -LRB100 08067 HLH 18153 b

1    Fund in the event the proceeds of taxes imposed under this
2    Section 13 are not sufficient to fund the transfer required
3    in subparagraph (2). "Post-2010 deficiency amount" means
4    any deficiency in transfers from the trust fund to the
5    McCormick Place Expansion Project Fund with respect to
6    fiscal years 2011 and thereafter. It is the intention of
7    this subparagraph (3) that no surplus revenues shall be
8    paid to the Authority with respect to any year in which a
9    post-2010 deficiency amount has not been satisfied by the
10    Authority.
11    Moneys received by the Authority as surplus revenues may be
12used (i) for the purposes of paying debt service on the bonds
13and notes issued by the Authority, including early redemption
14of those bonds or notes, (ii) for the purposes of repair,
15replacement, and improvement of the grounds, buildings, and
16facilities of the Authority, and (iii) for the corporate
17purposes of the Authority in fiscal years 2011 through 2015 in
18an amount not to exceed $20,000,000 annually or $80,000,000
19total, which amount shall be reduced $0.75 for each dollar of
20the receipts of the Authority in that year from any contract
21entered into with respect to naming rights at McCormick Place
22under Section 5(m) of this Act. When bonds and notes issued
23under Section 13.2, or bonds or notes issued to refund those
24bonds and notes, are no longer outstanding, the balance in the
25trust fund shall be paid to the Authority.
26    (h) The ordinances imposing the taxes authorized by this

 

 

SB1285- 405 -LRB100 08067 HLH 18153 b

1Section shall be repealed when bonds and notes issued under
2Section 13.2 or bonds and notes issued to refund those bonds
3and notes are no longer outstanding.
4(Source: P.A. 97-333, eff. 8-12-11; 98-463, eff. 8-16-13.)
 
5    Section 140. The Flood Prevention District Act is amended
6by changing Section 25 as follows:
 
7    (70 ILCS 750/25)
8    Sec. 25. Flood prevention retailers' and service
9occupation taxes.
10    (a) If the Board of Commissioners of a flood prevention
11district determines that an emergency situation exists
12regarding levee repair or flood prevention, and upon an
13ordinance confirming the determination adopted by the
14affirmative vote of a majority of the members of the county
15board of the county in which the district is situated, the
16county may impose a flood prevention retailers' occupation tax
17upon all persons engaged in the business of selling tangible
18personal property at retail within the territory of the
19district to provide revenue to pay the costs of providing
20emergency levee repair and flood prevention and to secure the
21payment of bonds, notes, and other evidences of indebtedness
22issued under this Act for a period not to exceed 25 years or as
23required to repay the bonds, notes, and other evidences of
24indebtedness issued under this Act. The tax rate shall be 0.25%

 

 

SB1285- 406 -LRB100 08067 HLH 18153 b

1of the gross receipts from all taxable sales made in the course
2of that business. The tax imposed under this Section and all
3civil penalties that may be assessed as an incident thereof
4shall be collected and enforced by the State Department of
5Revenue. The Department shall have full power to administer and
6enforce this Section; to collect all taxes and penalties so
7collected in the manner hereinafter provided; and to determine
8all rights to credit memoranda arising on account of the
9erroneous payment of tax or penalty hereunder.
10    In the administration of and compliance with this
11subsection, the Department and persons who are subject to this
12subsection (i) have the same rights, remedies, privileges,
13immunities, powers, and duties, (ii) are subject to the same
14conditions, restrictions, limitations, penalties, and
15definitions of terms, and (iii) shall employ the same modes of
16procedure as are set forth in Sections 1 through 1o, 2 through
172-70 (in respect to all provisions contained in those Sections
18other than the State rate of tax), 2a through 2h, 3 (except as
19to the disposition of taxes and penalties collected), 4, 5, 5a,
205b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5l, 6, 6a, 6b, 6c, 6d, 7, 8, 9,
2110, 11, 11a, 12, and 13 of the Retailers' Occupation Tax Act
22and all provisions of the Uniform Penalty and Interest Act as
23if those provisions were set forth in this subsection.
24    Persons subject to any tax imposed under this Section may
25reimburse themselves for their seller's tax liability
26hereunder by separately stating the tax as an additional

 

 

SB1285- 407 -LRB100 08067 HLH 18153 b

1charge, which charge may be stated in combination in a single
2amount with State taxes that sellers are required to collect
3under the Use Tax Act, under any bracket schedules the
4Department may prescribe.
5    If a tax is imposed under this subsection (a), a tax shall
6also be imposed under subsection (b) of this Section.
7    (b) If a tax has been imposed under subsection (a), a flood
8prevention service occupation tax shall also be imposed upon
9all persons engaged within the territory of the district in the
10business of making sales of service, who, as an incident to
11making the sales of service, transfer tangible personal
12property, either in the form of tangible personal property or
13in the form of real estate as an incident to a sale of service
14to provide revenue to pay the costs of providing emergency
15levee repair and flood prevention and to secure the payment of
16bonds, notes, and other evidences of indebtedness issued under
17this Act for a period not to exceed 25 years or as required to
18repay the bonds, notes, and other evidences of indebtedness.
19The tax rate shall be 0.25% of the selling price of all
20tangible personal property transferred.
21    The tax imposed under this subsection and all civil
22penalties that may be assessed as an incident thereof shall be
23collected and enforced by the State Department of Revenue. The
24Department shall have full power to administer and enforce this
25subsection; to collect all taxes and penalties due hereunder;
26to dispose of taxes and penalties collected in the manner

 

 

SB1285- 408 -LRB100 08067 HLH 18153 b

1hereinafter provided; and to determine all rights to credit
2memoranda arising on account of the erroneous payment of tax or
3penalty hereunder.
4    In the administration of and compliance with this
5subsection, the Department and persons who are subject to this
6subsection shall (i) have the same rights, remedies,
7privileges, immunities, powers, and duties, (ii) be subject to
8the same conditions, restrictions, limitations, penalties, and
9definitions of terms, and (iii) employ the same modes of
10procedure as are set forth in Sections 2 (except that the
11reference to State in the definition of supplier maintaining a
12place of business in this State means the district), 2a through
132d, 3 through 3-50 (in respect to all provisions contained in
14those Sections other than the State rate of tax), 4 (except
15that the reference to the State shall be to the district), 5,
167, 8 (except that the jurisdiction to which the tax is a debt
17to the extent indicated in that Section 8 is the district), 9
18(except as to the disposition of taxes and penalties
19collected), 10, 11, 12 (except the reference therein to Section
202b of the Retailers' Occupation Tax Act), 13 (except that any
21reference to the State means the district), Section 15, 16, 17,
2218, 19, and 20 of the Service Occupation Tax Act and all
23provisions of the Uniform Penalty and Interest Act, as fully as
24if those provisions were set forth herein.
25    Persons subject to any tax imposed under the authority
26granted in this subsection may reimburse themselves for their

 

 

SB1285- 409 -LRB100 08067 HLH 18153 b

1serviceman's tax liability hereunder by separately stating the
2tax as an additional charge, that charge may be stated in
3combination in a single amount with State tax that servicemen
4are authorized to collect under the Service Use Tax Act, under
5any bracket schedules the Department may prescribe.
6    (c) The taxes imposed in subsections (a) and (b) may not be
7imposed on personal property titled or registered with an
8agency of the State. ; The taxes imposed in subsections (a) and
9(b) may not be imposed on personal property taxed at the 1%
10rate under the Retailers' Occupation Tax Act, including but not
11limited to, food for human consumption that is to be consumed
12off the premises where it is sold (other than alcoholic
13beverages, soft drinks, and food that has been prepared for
14immediate consumption); prescription and non-prescription
15medicines, drugs, and medical appliances; products classified
16as Class III medical devices by the United States Food and Drug
17Administration that are used for cancer treatment pursuant to a
18prescription, as well as any accessories and components related
19to those devices; modifications to a motor vehicle for the
20purpose of rendering it usable by a person with a disability;
21or insulin, urine testing materials, and syringes and needles
22used by diabetics, for human use.
23    (d) Nothing in this Section shall be construed to authorize
24the district to impose a tax upon the privilege of engaging in
25any business that under the Constitution of the United States
26may not be made the subject of taxation by the State.

 

 

SB1285- 410 -LRB100 08067 HLH 18153 b

1    (e) The certificate of registration that is issued by the
2Department to a retailer under the Retailers' Occupation Tax
3Act or a serviceman under the Service Occupation Tax Act
4permits the retailer or serviceman to engage in a business that
5is taxable without registering separately with the Department
6under an ordinance or resolution under this Section.
7    (f) The Department shall immediately pay over to the State
8Treasurer, ex officio, as trustee, all taxes and penalties
9collected under this Section to be deposited into the Flood
10Prevention Occupation Tax Fund, which shall be an
11unappropriated trust fund held outside the State treasury.
12    On or before the 25th day of each calendar month, the
13Department shall prepare and certify to the Comptroller the
14disbursement of stated sums of money to the counties from which
15retailers or servicemen have paid taxes or penalties to the
16Department during the second preceding calendar month. The
17amount to be paid to each county is equal to the amount (not
18including credit memoranda) collected from the county under
19this Section during the second preceding calendar month by the
20Department, (i) less 2% of that amount, which shall be
21transferred deposited into the Tax Compliance and
22Administration Fund and shall be used by the Department in
23administering and enforcing the provisions of this Section on
24behalf of the county, (ii) plus an amount that the Department
25determines is necessary to offset any amounts that were
26erroneously paid to a different taxing body; (iii) less an

 

 

SB1285- 411 -LRB100 08067 HLH 18153 b

1amount equal to the amount of refunds made during the second
2preceding calendar month by the Department on behalf of the
3county; and (iv) less any amount that the Department determines
4is necessary to offset any amounts that were payable to a
5different taxing body but were erroneously paid to the county.
6When certifying the amount of a monthly disbursement to a
7county under this Section, the Department shall increase or
8decrease the amounts by an amount necessary to offset any
9miscalculation of previous disbursements within the previous 6
10months from the time a miscalculation is discovered.
11    Within 10 days after receipt by the Comptroller from the
12Department of the disbursement certification to the counties
13provided for in this Section, the Comptroller shall cause the
14orders to be drawn for the respective amounts in accordance
15with directions contained in the certification.
16    If the Department determines that a refund should be made
17under this Section to a claimant instead of issuing a credit
18memorandum, then the Department shall notify the Comptroller,
19who shall cause the order to be drawn for the amount specified
20and to the person named in the notification from the
21Department. The refund shall be paid by the Treasurer out of
22the Flood Prevention Occupation Tax Fund.
23    (g) If a county imposes a tax under this Section, then the
24county board shall, by ordinance, discontinue the tax upon the
25payment of all indebtedness of the flood prevention district.
26The tax shall not be discontinued until all indebtedness of the

 

 

SB1285- 412 -LRB100 08067 HLH 18153 b

1District has been paid.
2    (h) Any ordinance imposing the tax under this Section, or
3any ordinance that discontinues the tax, must be certified by
4the county clerk and filed with the Illinois Department of
5Revenue either (i) on or before the first day of April,
6whereupon the Department shall proceed to administer and
7enforce the tax or change in the rate as of the first day of
8July next following the filing; or (ii) on or before the first
9day of October, whereupon the Department shall proceed to
10administer and enforce the tax or change in the rate as of the
11first day of January next following the filing.
12    (j) County Flood Prevention Occupation Tax Fund. All
13proceeds received by a county from a tax distribution under
14this Section must be maintained in a special fund known as the
15[name of county] flood prevention occupation tax fund. The
16county shall, at the direction of the flood prevention
17district, use moneys in the fund to pay the costs of providing
18emergency levee repair and flood prevention and to pay bonds,
19notes, and other evidences of indebtedness issued under this
20Act.
21    (k) This Section may be cited as the Flood Prevention
22Occupation Tax Law.
23(Source: P.A. 99-143, eff. 7-27-15; 99-217, eff. 7-31-15;
2499-642, eff. 7-28-16.)
 
25    Section 145. The Metro-East Park and Recreation District

 

 

SB1285- 413 -LRB100 08067 HLH 18153 b

1Act is amended by changing Section 30 as follows:
 
2    (70 ILCS 1605/30)
3    Sec. 30. Taxes.
4    (a) The board shall impose a tax upon all persons engaged
5in the business of selling tangible personal property, other
6than personal property titled or registered with an agency of
7this State's government, at retail in the District on the gross
8receipts from the sales made in the course of business. This
9tax shall be imposed only at the rate of one-tenth of one per
10cent.
11    This additional tax may not be imposed on the sales of
12tangible personal property taxed at the 1% rate under the
13Retailers' Occupation Tax Act, including but not limited to,
14food for human consumption that is to be consumed off the
15premises where it is sold (other than alcoholic beverages, soft
16drinks, and food that which has been prepared for immediate
17consumption) and prescription and non-prescription medicines,
18drugs, medical appliances, products classified as Class III
19medical devices by the United States Food and Drug
20Administration that are used for cancer treatment pursuant to a
21prescription, as well as any accessories and components related
22to those devices, modifications to a motor vehicle for the
23purpose of rendering it usable by a person with a disability,
24and insulin, urine testing materials, syringes, and needles
25used by diabetics, for human use. The tax imposed by the Board

 

 

SB1285- 414 -LRB100 08067 HLH 18153 b

1under this Section and all civil penalties that may be assessed
2as an incident of the tax shall be collected and enforced by
3the Department of Revenue. The certificate of registration that
4is issued by the Department to a retailer under the Retailers'
5Occupation Tax Act shall permit the retailer to engage in a
6business that is taxable without registering separately with
7the Department under an ordinance or resolution under this
8Section. The Department has full power to administer and
9enforce this Section, to collect all taxes and penalties due
10under this Section, to dispose of taxes and penalties so
11collected in the manner provided in this Section, and to
12determine all rights to credit memoranda arising on account of
13the erroneous payment of a tax or penalty under this Section.
14In the administration of and compliance with this Section, the
15Department and persons who are subject to this Section shall
16(i) have the same rights, remedies, privileges, immunities,
17powers, and duties, (ii) be subject to the same conditions,
18restrictions, limitations, penalties, and definitions of
19terms, and (iii) employ the same modes of procedure as are
20prescribed in Sections 1, 1a, 1a-1, 1d, 1e, 1f, 1i, 1j, 1k, 1m,
211n, 2, 2-5, 2-5.5, 2-10 (in respect to all provisions contained
22in those Sections other than the State rate of tax), 2-12, 2-15
23through 2-70, 2a, 2b, 2c, 3 (except provisions relating to
24transaction returns and quarter monthly payments), 4, 5, 5a,
255b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d,
267, 8, 9, 10, 11, 11a, 12, and 13 of the Retailers' Occupation

 

 

SB1285- 415 -LRB100 08067 HLH 18153 b

1Tax Act and the Uniform Penalty and Interest Act as if those
2provisions were set forth in this Section.
3    Persons subject to any tax imposed under the authority
4granted in this Section may reimburse themselves for their
5sellers' tax liability by separately stating the tax as an
6additional charge, which charge may be stated in combination,
7in a single amount, with State tax which sellers are required
8to collect under the Use Tax Act, pursuant to such bracketed
9schedules as the Department may prescribe.
10    Whenever the Department determines that a refund should be
11made under this Section to a claimant instead of issuing a
12credit memorandum, the Department shall notify the State
13Comptroller, who shall cause the order to be drawn for the
14amount specified and to the person named in the notification
15from the Department. The refund shall be paid by the State
16Treasurer out of the State Metro-East Park and Recreation
17District Fund.
18    (b) If a tax has been imposed under subsection (a), a
19service occupation tax shall also be imposed at the same rate
20upon all persons engaged, in the District, in the business of
21making sales of service, who, as an incident to making those
22sales of service, transfer tangible personal property within
23the District as an incident to a sale of service. This tax may
24not be imposed on sales of tangible personal property taxed at
25the 1% rate under the Service Occupation Tax Act, including but
26not limited to, food for human consumption that is to be

 

 

SB1285- 416 -LRB100 08067 HLH 18153 b

1consumed off the premises where it is sold (other than
2alcoholic beverages, soft drinks, and food that has been
3prepared for immediate consumption) and prescription and
4non-prescription medicines, drugs, medical appliances,
5products classified as Class III medical devices by the United
6States Food and Drug Administration that are used for cancer
7treatment pursuant to a prescription, as well as any
8accessories and components related to those devices,
9modifications to a motor vehicle for the purpose of rendering
10it usable by a person with a disability, and insulin, urine
11testing materials, syringes, and needles used by diabetics, for
12human use. The tax imposed under this subsection and all civil
13penalties that may be assessed as an incident thereof shall be
14collected and enforced by the Department of Revenue. The
15Department has full power to administer and enforce this
16subsection; to collect all taxes and penalties due hereunder;
17to dispose of taxes and penalties so collected in the manner
18hereinafter provided; and to determine all rights to credit
19memoranda arising on account of the erroneous payment of tax or
20penalty hereunder. In the administration of, and compliance
21with this subsection, the Department and persons who are
22subject to this paragraph shall (i) have the same rights,
23remedies, privileges, immunities, powers, and duties, (ii) be
24subject to the same conditions, restrictions, limitations,
25penalties, exclusions, exemptions, and definitions of terms,
26and (iii) employ the same modes of procedure as are prescribed

 

 

SB1285- 417 -LRB100 08067 HLH 18153 b

1in Sections 2 (except that the reference to State in the
2definition of supplier maintaining a place of business in this
3State shall mean the District), 2a, 2b, 2c, 3 through 3-50 (in
4respect to all provisions therein other than the State rate of
5tax), 4 (except that the reference to the State shall be to the
6District), 5, 7, 8 (except that the jurisdiction to which the
7tax shall be a debt to the extent indicated in that Section 8
8shall be the District), 9 (except as to the disposition of
9taxes and penalties collected), 10, 11, 12 (except the
10reference therein to Section 2b of the Retailers' Occupation
11Tax Act), 13 (except that any reference to the State shall mean
12the District), Sections 15, 16, 17, 18, 19 and 20 of the
13Service Occupation Tax Act and the Uniform Penalty and Interest
14Act, as fully as if those provisions were set forth herein.
15    Persons subject to any tax imposed under the authority
16granted in this subsection may reimburse themselves for their
17serviceman's tax liability by separately stating the tax as an
18additional charge, which charge may be stated in combination,
19in a single amount, with State tax that servicemen are
20authorized to collect under the Service Use Tax Act, in
21accordance with such bracket schedules as the Department may
22prescribe.
23    Whenever the Department determines that a refund should be
24made under this subsection to a claimant instead of issuing a
25credit memorandum, the Department shall notify the State
26Comptroller, who shall cause the warrant to be drawn for the

 

 

SB1285- 418 -LRB100 08067 HLH 18153 b

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 State Metro-East Park and Recreation
4District Fund.
5    Nothing in this subsection shall be construed to authorize
6the board to impose a tax upon the privilege of engaging in any
7business which under the Constitution of the United States may
8not be made the subject of taxation by the State.
9    (c) The Department shall immediately pay over to the State
10Treasurer, ex officio, as trustee, all taxes and penalties
11collected under this Section to be deposited into the State
12Metro-East Park and Recreation District Fund, which shall be an
13unappropriated trust fund held outside of the State treasury.
14    As soon as possible after the first day of each month,
15beginning January 1, 2011, upon certification of the Department
16of Revenue, the Comptroller shall order transferred, and the
17Treasurer shall transfer, to the STAR Bonds Revenue Fund the
18local sales tax increment, as defined in the Innovation
19Development and Economy Act, collected under this Section
20during the second preceding calendar month for sales within a
21STAR bond district. The Department shall make this
22certification only if the Metro East Park and Recreation
23District imposes a tax on real property as provided in the
24definition of "local sales taxes" under the Innovation
25Development and Economy Act.
26    After the monthly transfer to the STAR Bonds Revenue Fund,

 

 

SB1285- 419 -LRB100 08067 HLH 18153 b

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 pursuant to Section 35 of
4this Act to the District from which retailers have paid taxes
5or penalties to the Department during the second preceding
6calendar month. The amount to be paid to the District shall be
7the amount (not including credit memoranda) collected under
8this Section during the second preceding calendar month by the
9Department plus an amount the Department determines is
10necessary to offset any amounts that were erroneously paid to a
11different taxing body, and not including (i) an amount equal to
12the amount of refunds made during the second preceding calendar
13month by the Department on behalf of the District, (ii) any
14amount that the Department determines is necessary to offset
15any amounts that were payable to a different taxing body but
16were erroneously paid to the District, and (iii) any amounts
17that are transferred to the STAR Bonds Revenue Fund. Within 10
18days after receipt by the Comptroller of the disbursement
19certification to the District provided for in this Section to
20be given to the Comptroller by the Department, the Comptroller
21shall cause the orders to be drawn for the respective amounts
22in accordance with directions contained in the certification.
23    (d) For the purpose of determining whether a tax authorized
24under this Section is applicable, a retail sale by a producer
25of coal or another mineral mined in Illinois is a sale at
26retail at the place where the coal or other mineral mined in

 

 

SB1285- 420 -LRB100 08067 HLH 18153 b

1Illinois is extracted from the earth. This paragraph does not
2apply to coal or another mineral when it is delivered or
3shipped by the seller to the purchaser at a point outside
4Illinois so that the sale is exempt under the United States
5Constitution as a sale in interstate or foreign commerce.
6    (e) Nothing in this Section shall be construed to authorize
7the board to impose a tax upon the privilege of engaging in any
8business that under the Constitution of the United States may
9not be made the subject of taxation by this State.
10    (f) An ordinance imposing a tax under this Section or an
11ordinance extending the imposition of a tax to an additional
12county or counties shall be certified by the board and filed
13with the Department of Revenue either (i) on or before the
14first day of April, whereupon the Department shall proceed to
15administer and enforce the tax as of the first day of July next
16following the filing; or (ii) on or before the first day of
17October, whereupon the Department shall proceed to administer
18and enforce the tax as of the first day of January next
19following the filing.
20    (g) When certifying the amount of a monthly disbursement to
21the District under this Section, the Department shall increase
22or decrease the amounts by an amount necessary to offset any
23misallocation of previous disbursements. The offset amount
24shall be the amount erroneously disbursed within the previous 6
25months from the time a misallocation is discovered.
26(Source: P.A. 98-1098, eff. 8-26-14; 99-217, eff. 7-31-15.)
 

 

 

SB1285- 421 -LRB100 08067 HLH 18153 b

1    Section 150. The Local Mass Transit District Act is amended
2by changing Section 5.01 as follows:
 
3    (70 ILCS 3610/5.01)   (from Ch. 111 2/3, par. 355.01)
4    Sec. 5.01. Metro East Mass Transit District; use and
5occupation taxes.
6    (a) The Board of Trustees of any Metro East Mass Transit
7District may, by ordinance adopted with the concurrence of
8two-thirds of the then trustees, impose throughout the District
9any or all of the taxes and fees provided in this Section. All
10taxes and fees imposed under this Section shall be used only
11for public mass transportation systems, and the amount used to
12provide mass transit service to unserved areas of the District
13shall be in the same proportion to the total proceeds as the
14number of persons residing in the unserved areas is to the
15total population of the District. Except as otherwise provided
16in this Act, taxes imposed under this Section and civil
17penalties imposed incident thereto shall be collected and
18enforced by the State Department of Revenue. The Department
19shall have the power to administer and enforce the taxes and to
20determine all rights for refunds for erroneous payments of the
21taxes.
22    (b) The Board may impose a Metro East Mass Transit District
23Retailers' Occupation Tax upon all persons engaged in the
24business of selling tangible personal property at retail in the

 

 

SB1285- 422 -LRB100 08067 HLH 18153 b

1district at a rate of 1/4 of 1%, or as authorized under
2subsection (d-5) of this Section, of the gross receipts from
3the sales made in the course of such business within the
4district. The tax imposed under this Section and all civil
5penalties that may be assessed as an incident thereof shall be
6collected and enforced by the State Department of Revenue. The
7Department shall have full power to administer and enforce this
8Section; to collect all taxes and penalties so collected in the
9manner hereinafter provided; and to determine all rights to
10credit memoranda arising on account of the erroneous payment of
11tax or penalty hereunder. In the administration of, and
12compliance with, this Section, the Department and persons who
13are subject to this Section shall have the same rights,
14remedies, privileges, immunities, powers and duties, and be
15subject to the same conditions, restrictions, limitations,
16penalties, exclusions, exemptions and definitions of terms and
17employ the same modes of procedure, as are prescribed in
18Sections 1, 1a, 1a-1, 1c, 1d, 1e, 1f, 1i, 1j, 2 through 2-65
19(in respect to all provisions therein other than the State rate
20of tax), 2c, 3 (except as to the disposition of taxes and
21penalties collected), 4, 5, 5a, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j,
225k, 5l, 6, 6a, 6b, 6c, 6d, 7, 8, 9, 10, 11, 12, 13, and 14 of
23the Retailers' Occupation Tax Act and Section 3-7 of the
24Uniform Penalty and Interest Act, as fully as if those
25provisions were set forth herein.
26    Persons subject to any tax imposed under the Section may

 

 

SB1285- 423 -LRB100 08067 HLH 18153 b

1reimburse themselves for their seller's tax liability
2hereunder by separately stating the tax as an additional
3charge, which charge may be stated in combination, in a single
4amount, with State taxes that sellers are required to collect
5under the Use Tax Act, in accordance with such bracket
6schedules as the Department may prescribe.
7    Whenever the Department determines that a refund should be
8made under this Section to a claimant instead of issuing a
9credit memorandum, the Department shall notify the State
10Comptroller, who shall cause the warrant to be drawn for the
11amount specified, and to the person named, in the notification
12from the Department. The refund shall be paid by the State
13Treasurer out of the Metro East Mass Transit District tax fund
14established under paragraph (h) of this Section.
15    If a tax is imposed under this subsection (b), a tax shall
16also be imposed under subsections (c) and (d) of this Section.
17    For the purpose of determining whether a tax authorized
18under this Section is applicable, a retail sale, by a producer
19of coal or other mineral mined in Illinois, is a sale at retail
20at the place where the coal or other mineral mined in Illinois
21is extracted from the earth. This paragraph does not apply to
22coal or other mineral when it is delivered or shipped by the
23seller to the purchaser at a point outside Illinois so that the
24sale is exempt under the Federal Constitution as a sale in
25interstate or foreign commerce.
26    No tax shall be imposed or collected under this subsection

 

 

SB1285- 424 -LRB100 08067 HLH 18153 b

1on the sale of a motor vehicle in this State to a resident of
2another state if that motor vehicle will not be titled in this
3State.
4    Nothing in this Section shall be construed to authorize the
5Metro East Mass Transit District to impose a tax upon the
6privilege of engaging in any business which under the
7Constitution of the United States may not be made the subject
8of taxation by this State.
9    (c) If a tax has been imposed under subsection (b), a Metro
10East Mass Transit District Service Occupation Tax shall also be
11imposed upon all persons engaged, in the district, in the
12business of making sales of service, who, as an incident to
13making those sales of service, transfer tangible personal
14property within the District, either in the form of tangible
15personal property or in the form of real estate as an incident
16to a sale of service. The tax rate shall be 1/4%, or as
17authorized under subsection (d-5) of this Section, of the
18selling price of tangible personal property so transferred
19within the district. The tax imposed under this paragraph and
20all civil penalties that may be assessed as an incident thereof
21shall be collected and enforced by the State Department of
22Revenue. The Department shall have full power to administer and
23enforce this paragraph; 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

 

 

SB1285- 425 -LRB100 08067 HLH 18153 b

1tax or penalty hereunder. In the administration of, and
2compliance with this paragraph, the Department and persons who
3are subject to this paragraph shall have the same rights,
4remedies, privileges, immunities, powers and duties, and be
5subject to the same conditions, restrictions, limitations,
6penalties, exclusions, exemptions and definitions of terms and
7employ the same modes of procedure as are prescribed in
8Sections 1a-1, 2 (except that the reference to State in the
9definition of supplier maintaining a place of business in this
10State shall mean the Authority), 2a, 3 through 3-50 (in respect
11to all provisions therein other than the State rate of tax), 4
12(except that the reference to the State shall be to the
13Authority), 5, 7, 8 (except that the jurisdiction to which the
14tax shall be a debt to the extent indicated in that Section 8
15shall be the District), 9 (except as to the disposition of
16taxes and penalties collected, and except that the returned
17merchandise credit for this tax may not be taken against any
18State tax), 10, 11, 12 (except the reference therein to Section
192b of the Retailers' Occupation Tax Act), 13 (except that any
20reference to the State shall mean the District), the first
21paragraph of Section 15, 16, 17, 18, 19 and 20 of the Service
22Occupation Tax Act and Section 3-7 of the Uniform Penalty and
23Interest Act, as fully as if those provisions were set forth
24herein.
25    Persons subject to any tax imposed under the authority
26granted in this paragraph may reimburse themselves for their

 

 

SB1285- 426 -LRB100 08067 HLH 18153 b

1serviceman's tax liability hereunder by separately stating the
2tax as an additional charge, which charge may be stated in
3combination, in a single amount, with State tax that servicemen
4are authorized to collect under the Service Use Tax Act, in
5accordance with such bracket schedules as the Department may
6prescribe.
7    Whenever the Department determines that a refund should be
8made under this paragraph to a claimant instead of issuing a
9credit memorandum, the Department shall notify the State
10Comptroller, who shall cause the warrant to be drawn for the
11amount specified, and to the person named, in the notification
12from the Department. The refund shall be paid by the State
13Treasurer out of the Metro East Mass Transit District tax fund
14established under paragraph (h) of this Section.
15    Nothing in this paragraph shall be construed to authorize
16the District to impose a tax upon the privilege of engaging in
17any business which under the Constitution of the United States
18may not be made the subject of taxation by the State.
19    (d) If a tax has been imposed under subsection (b), a Metro
20East Mass Transit District Use Tax shall also be imposed upon
21the privilege of using, in the district, any item of tangible
22personal property that is purchased outside the district at
23retail from a retailer, and that is titled or registered with
24an agency of this State's government, at a rate of 1/4%, or as
25authorized under subsection (d-5) of this Section, of the
26selling price of the tangible personal property within the

 

 

SB1285- 427 -LRB100 08067 HLH 18153 b

1District, as "selling price" is defined in the Use Tax Act. The
2tax shall be collected from persons whose Illinois address for
3titling or registration purposes is given as being in the
4District. The tax shall be collected by the Department of
5Revenue for the Metro East Mass Transit District. The tax must
6be paid to the State, or an exemption determination must be
7obtained from the Department of Revenue, before the title or
8certificate of registration for the property may be issued. The
9tax or proof of exemption may be transmitted to the Department
10by way of the State agency with which, or the State officer
11with whom, the tangible personal property must be titled or
12registered if the Department and the State agency or State
13officer determine that this procedure will expedite the
14processing of applications for title or registration.
15    The Department shall have full power to administer and
16enforce this paragraph; to collect all taxes, penalties and
17interest due hereunder; to dispose of taxes, penalties and
18interest so collected in the manner hereinafter provided; and
19to determine all rights to credit memoranda or refunds arising
20on account of the erroneous payment of tax, penalty or interest
21hereunder. In the administration of, and compliance with, this
22paragraph, the Department and persons who are subject to this
23paragraph shall have the same rights, remedies, privileges,
24immunities, powers and duties, and be subject to the same
25conditions, restrictions, limitations, penalties, exclusions,
26exemptions and definitions of terms and employ the same modes

 

 

SB1285- 428 -LRB100 08067 HLH 18153 b

1of procedure, as are prescribed in Sections 2 (except the
2definition of "retailer maintaining a place of business in this
3State"), 3 through 3-80 (except provisions pertaining to the
4State rate of tax, and except provisions concerning collection
5or refunding of the tax by retailers), 4, 11, 12, 12a, 14, 15,
619 (except the portions pertaining to claims by retailers and
7except the last paragraph concerning refunds), 20, 21 and 22 of
8the Use Tax Act and Section 3-7 of the Uniform Penalty and
9Interest Act, that are not inconsistent with this paragraph, as
10fully as if those provisions were set forth herein.
11    Whenever the Department determines that a refund should be
12made under this paragraph to a claimant instead of issuing a
13credit memorandum, the Department shall notify the State
14Comptroller, who shall cause the order to be drawn for the
15amount specified, and to the person named, in the notification
16from the Department. The refund shall be paid by the State
17Treasurer out of the Metro East Mass Transit District tax fund
18established under paragraph (h) of this Section.
19    (d-5) (A) The county board of any county participating in
20the Metro East Mass Transit District may authorize, by
21ordinance, a referendum on the question of whether the tax
22rates for the Metro East Mass Transit District Retailers'
23Occupation Tax, the Metro East Mass Transit District Service
24Occupation Tax, and the Metro East Mass Transit District Use
25Tax for the District should be increased from 0.25% to 0.75%.
26Upon adopting the ordinance, the county board shall certify the

 

 

SB1285- 429 -LRB100 08067 HLH 18153 b

1proposition to the proper election officials who shall submit
2the proposition to the voters of the District at the next
3election, in accordance with the general election law.
4    The proposition shall be in substantially the following
5form:
6        Shall the tax rates for the Metro East Mass Transit
7    District Retailers' Occupation Tax, the Metro East Mass
8    Transit District Service Occupation Tax, and the Metro East
9    Mass Transit District Use Tax be increased from 0.25% to
10    0.75%?
11    (B) Two thousand five hundred electors of any Metro East
12Mass Transit District may petition the Chief Judge of the
13Circuit Court, or any judge of that Circuit designated by the
14Chief Judge, in which that District is located to cause to be
15submitted to a vote of the electors the question whether the
16tax rates for the Metro East Mass Transit District Retailers'
17Occupation Tax, the Metro East Mass Transit District Service
18Occupation Tax, and the Metro East Mass Transit District Use
19Tax for the District should be increased from 0.25% to 0.75%.
20    Upon submission of such petition the court shall set a date
21not less than 10 nor more than 30 days thereafter for a hearing
22on the sufficiency thereof. Notice of the filing of such
23petition and of such date shall be given in writing to the
24District and the County Clerk at least 7 days before the date
25of such hearing.
26    If such petition is found sufficient, the court shall enter

 

 

SB1285- 430 -LRB100 08067 HLH 18153 b

1an order to submit that proposition at the next election, in
2accordance with general election law.
3    The form of the petition shall be in substantially the
4following form: To the Circuit Court of the County of (name of
5county):
6        We, the undersigned electors of the (name of transit
7    district), respectfully petition your honor to submit to a
8    vote of the electors of (name of transit district) the
9    following proposition:
10        Shall the tax rates for the Metro East Mass Transit
11    District Retailers' Occupation Tax, the Metro East Mass
12    Transit District Service Occupation Tax, and the Metro East
13    Mass Transit District Use Tax be increased from 0.25% to
14    0.75%?
15        Name                Address, with Street and Number.
16..............................................................
17..............................................................
18    (C) The votes shall be recorded as "YES" or "NO". If a
19majority of all votes cast on the proposition are for the
20increase in the tax rates, the Metro East Mass Transit District
21shall begin imposing the increased rates in the District, and
22the Department of Revenue shall begin collecting the increased
23amounts, as provided under this Section. An ordinance imposing
24or discontinuing a tax hereunder or effecting a change in the
25rate thereof shall be adopted and a certified copy thereof
26filed with the Department on or before the first day of

 

 

SB1285- 431 -LRB100 08067 HLH 18153 b

1October, whereupon the Department shall proceed to administer
2and enforce this Section as of the first day of January next
3following the adoption and filing, or on or before the first
4day of April, whereupon the Department shall proceed to
5administer and enforce this Section as of the first day of July
6next following the adoption and filing.
7    (D) If the voters have approved a referendum under this
8subsection, before November 1, 1994, to increase the tax rate
9under this subsection, the Metro East Mass Transit District
10Board of Trustees may adopt by a majority vote an ordinance at
11any time before January 1, 1995 that excludes from the rate
12increase tangible personal property that is titled or
13registered with an agency of this State's government. The
14ordinance excluding titled or registered tangible personal
15property from the rate increase must be filed with the
16Department at least 15 days before its effective date. At any
17time after adopting an ordinance excluding from the rate
18increase tangible personal property that is titled or
19registered with an agency of this State's government, the Metro
20East Mass Transit District Board of Trustees may adopt an
21ordinance applying the rate increase to that tangible personal
22property. The ordinance shall be adopted, and a certified copy
23of that ordinance shall be filed with the Department, on or
24before October 1, whereupon the Department shall proceed to
25administer and enforce the rate increase against tangible
26personal property titled or registered with an agency of this

 

 

SB1285- 432 -LRB100 08067 HLH 18153 b

1State's government as of the following January 1. After
2December 31, 1995, any reimposed rate increase in effect under
3this subsection shall no longer apply to tangible personal
4property titled or registered with an agency of this State's
5government. Beginning January 1, 1996, the Board of Trustees of
6any Metro East Mass Transit District may never reimpose a
7previously excluded tax rate increase on tangible personal
8property titled or registered with an agency of this State's
9government. After July 1, 2004, if the voters have approved a
10referendum under this subsection to increase the tax rate under
11this subsection, the Metro East Mass Transit District Board of
12Trustees may adopt by a majority vote an ordinance that
13excludes from the rate increase tangible personal property that
14is titled or registered with an agency of this State's
15government. The ordinance excluding titled or registered
16tangible personal property from the rate increase shall be
17adopted, and a certified copy of that ordinance shall be filed
18with the Department on or before October 1, whereupon the
19Department shall administer and enforce this exclusion from the
20rate increase as of the following January 1, or on or before
21April 1, whereupon the Department shall administer and enforce
22this exclusion from the rate increase as of the following July
231. The Board of Trustees of any Metro East Mass Transit
24District may never reimpose a previously excluded tax rate
25increase on tangible personal property titled or registered
26with an agency of this State's government.

 

 

SB1285- 433 -LRB100 08067 HLH 18153 b

1    (d-6) If the Board of Trustees of any Metro East Mass
2Transit District has imposed a rate increase under subsection
3(d-5) and filed an ordinance with the Department of Revenue
4excluding titled property from the higher rate, then that Board
5may, by ordinance adopted with the concurrence of two-thirds of
6the then trustees, impose throughout the District a fee. The
7fee on the excluded property shall not exceed $20 per retail
8transaction or an amount equal to the amount of tax excluded,
9whichever is less, on tangible personal property that is titled
10or registered with an agency of this State's government.
11Beginning July 1, 2004, the fee shall apply only to titled
12property that is subject to either the Metro East Mass Transit
13District Retailers' Occupation Tax or the Metro East Mass
14Transit District Service Occupation Tax. No fee shall be
15imposed or collected under this subsection on the sale of a
16motor vehicle in this State to a resident of another state if
17that motor vehicle will not be titled in this State.
18    (d-7) Until June 30, 2004, if a fee has been imposed under
19subsection (d-6), a fee shall also be imposed upon the
20privilege of using, in the district, any item of tangible
21personal property that is titled or registered with any agency
22of this State's government, in an amount equal to the amount of
23the fee imposed under subsection (d-6).
24    (d-7.1) Beginning July 1, 2004, any fee imposed by the
25Board of Trustees of any Metro East Mass Transit District under
26subsection (d-6) and all civil penalties that may be assessed

 

 

SB1285- 434 -LRB100 08067 HLH 18153 b

1as an incident of the fees shall be collected and enforced by
2the State Department of Revenue. Reference to "taxes" in this
3Section shall be construed to apply to the administration,
4payment, and remittance of all fees under this Section. For
5purposes of any fee imposed under subsection (d-6), 4% of the
6fee, penalty, and interest received by the Department in the
7first 12 months that the fee is collected and enforced by the
8Department and 2% of the fee, penalty, and interest following
9the first 12 months shall be transferred deposited into the Tax
10Compliance and Administration Fund and shall be used by the
11Department, subject to appropriation, to cover the costs of the
12Department. No retailers' discount shall apply to any fee
13imposed under subsection (d-6).
14    (d-8) No item of titled property shall be subject to both
15the higher rate approved by referendum, as authorized under
16subsection (d-5), and any fee imposed under subsection (d-6) or
17(d-7).
18    (d-9) (Blank).
19    (d-10) (Blank).
20    (e) A certificate of registration issued by the State
21Department of Revenue to a retailer under the Retailers'
22Occupation Tax Act or under the Service Occupation Tax Act
23shall permit the registrant to engage in a business that is
24taxed under the tax imposed under paragraphs (b), (c) or (d) of
25this Section and no additional registration shall be required
26under the tax. A certificate issued under the Use Tax Act or

 

 

SB1285- 435 -LRB100 08067 HLH 18153 b

1the Service Use Tax Act shall be applicable with regard to any
2tax imposed under paragraph (c) of this Section.
3    (f) (Blank).
4    (g) Any ordinance imposing or discontinuing any tax under
5this Section shall be adopted and a certified copy thereof
6filed with the Department on or before June 1, whereupon the
7Department of Revenue shall proceed to administer and enforce
8this Section on behalf of the Metro East Mass Transit District
9as of September 1 next following such adoption and filing.
10Beginning January 1, 1992, an ordinance or resolution imposing
11or discontinuing the tax hereunder shall be adopted and a
12certified copy thereof filed with the Department on or before
13the first day of July, whereupon the Department shall proceed
14to administer and enforce this Section as of the first day of
15October next following such adoption and filing. Beginning
16January 1, 1993, except as provided in subsection (d-5) of this
17Section, an ordinance or resolution imposing or discontinuing
18the tax hereunder shall be adopted and a certified copy thereof
19filed with the Department on or before the first day of
20October, whereupon the Department shall proceed to administer
21and enforce this Section as of the first day of January next
22following such adoption and filing, or, beginning January 1,
232004, on or before the first day of April, whereupon the
24Department shall proceed to administer and enforce this Section
25as of the first day of July next following the adoption and
26filing.

 

 

SB1285- 436 -LRB100 08067 HLH 18153 b

1    (h) Except as provided in subsection (d-7.1), the State
2Department of Revenue shall, upon collecting any taxes as
3provided in this Section, pay the taxes over to the State
4Treasurer as trustee for the District. The taxes shall be held
5in a trust fund outside the State Treasury.
6    As soon as possible after the first day of each month,
7beginning January 1, 2011, upon certification of the Department
8of Revenue, the Comptroller shall order transferred, and the
9Treasurer shall transfer, to the STAR Bonds Revenue Fund the
10local sales tax increment, as defined in the Innovation
11Development and Economy Act, collected under this Section
12during the second preceding calendar month for sales within a
13STAR bond district. The Department shall make this
14certification only if the local mass transit district imposes a
15tax on real property as provided in the definition of "local
16sales taxes" under the Innovation Development and Economy Act.
17    After the monthly transfer to the STAR Bonds Revenue Fund,
18on or before the 25th day of each calendar month, the State
19Department of Revenue shall prepare and certify to the
20Comptroller of the State of Illinois the amount to be paid to
21the District, which shall be the amount (not including credit
22memoranda) collected under this Section during the second
23preceding calendar month by the Department plus an amount the
24Department determines is necessary to offset any amounts that
25were erroneously paid to a different taxing body, and not
26including any amount equal to the amount of refunds made during

 

 

SB1285- 437 -LRB100 08067 HLH 18153 b

1the second preceding calendar month by the Department on behalf
2of the District, and not including any amount that the
3Department determines is necessary to offset any amounts that
4were payable to a different taxing body but were erroneously
5paid to the District, less the amount to be transferred to the
6Tax Compliance and Administration Fund under subsection
7(d-7.1), and less any amounts that are transferred to the STAR
8Bonds Revenue Fund. Within 10 days after receipt by the
9Comptroller of the certification of the amount to be paid to
10the District, the Comptroller shall cause an order to be drawn
11for payment for the amount in accordance with the direction in
12the certification.
13(Source: P.A. 98-298, eff. 8-9-13; 99-217, eff. 7-31-15.)
 
14    Section 155. The Regional Transportation Authority Act is
15amended by changing Section 4.03 as follows:
 
16    (70 ILCS 3615/4.03)  (from Ch. 111 2/3, par. 704.03)
17    Sec. 4.03. Taxes.
18    (a) In order to carry out any of the powers or purposes of
19the Authority, the Board may by ordinance adopted with the
20concurrence of 12 of the then Directors, impose throughout the
21metropolitan region any or all of the taxes provided in this
22Section. Except as otherwise provided in this Act, taxes
23imposed under this Section and civil penalties imposed incident
24thereto shall be collected and enforced by the State Department

 

 

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1of Revenue. The Department shall have the power to administer
2and enforce the taxes and to determine all rights for refunds
3for erroneous payments of the taxes. Nothing in Public Act
495-708 is intended to invalidate any taxes currently imposed by
5the Authority. The increased vote requirements to impose a tax
6shall only apply to actions taken after January 1, 2008 (the
7effective date of Public Act 95-708).
8    (b) The Board may impose a public transportation tax upon
9all persons engaged in the metropolitan region in the business
10of selling at retail motor fuel for operation of motor vehicles
11upon public highways. The tax shall be at a rate not to exceed
125% of the gross receipts from the sales of motor fuel in the
13course of the business. As used in this Act, the term "motor
14fuel" shall have the same meaning as in the Motor Fuel Tax Law.
15The Board may provide for details of the tax. The provisions of
16any tax shall conform, as closely as may be practicable, to the
17provisions of the Municipal Retailers Occupation Tax Act,
18including without limitation, conformity to penalties with
19respect to the tax imposed and as to the powers of the State
20Department of Revenue to promulgate and enforce rules and
21regulations relating to the administration and enforcement of
22the provisions of the tax imposed, except that reference in the
23Act to any municipality shall refer to the Authority and the
24tax shall be imposed only with regard to receipts from sales of
25motor fuel in the metropolitan region, at rates as limited by
26this Section.

 

 

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1    (c) In connection with the tax imposed under paragraph (b)
2of this Section the Board may impose a tax upon the privilege
3of using in the metropolitan region motor fuel for the
4operation of a motor vehicle upon public highways, the tax to
5be at a rate not in excess of the rate of tax imposed under
6paragraph (b) of this Section. The Board may provide for
7details of the tax.
8    (d) The Board may impose a motor vehicle parking tax upon
9the privilege of parking motor vehicles at off-street parking
10facilities in the metropolitan region at which a fee is
11charged, and may provide for reasonable classifications in and
12exemptions to the tax, for administration and enforcement
13thereof and for civil penalties and refunds thereunder and may
14provide criminal penalties thereunder, the maximum penalties
15not to exceed the maximum criminal penalties provided in the
16Retailers' Occupation Tax Act. The Authority may collect and
17enforce the tax itself or by contract with any unit of local
18government. The State Department of Revenue shall have no
19responsibility for the collection and enforcement unless the
20Department agrees with the Authority to undertake the
21collection and enforcement. As used in this paragraph, the term
22"parking facility" means a parking area or structure having
23parking spaces for more than 2 vehicles at which motor vehicles
24are permitted to park in return for an hourly, daily, or other
25periodic fee, whether publicly or privately owned, but does not
26include parking spaces on a public street, the use of which is

 

 

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1regulated by parking meters.
2    (e) The Board may impose a Regional Transportation
3Authority Retailers' Occupation Tax upon all persons engaged in
4the business of selling tangible personal property at retail in
5the metropolitan region. In Cook County the tax rate shall be
61.25% of the gross receipts from sales of tangible personal
7property taxed at the 1% rate under the Retailers' Occupation
8Tax Act, including but not limited to, food for human
9consumption that is to be consumed off the premises where it is
10sold (other than alcoholic beverages, soft drinks and food that
11has been prepared for immediate consumption) and prescription
12and nonprescription medicines, drugs, medical appliances ,
13products classified as Class III medical devices by the United
14States Food and Drug Administration that are used for cancer
15treatment pursuant to a prescription, as well as any
16accessories and components related to those devices,
17modifications to a motor vehicle for the purpose of rendering
18it usable by a person with a disability, and insulin, urine
19testing materials, syringes and needles used by diabetics, for
20human use, and 1% of the gross receipts from other taxable
21sales made in the course of that business. In DuPage, Kane,
22Lake, McHenry, and Will Counties, the tax rate shall be 0.75%
23of the gross receipts from all taxable sales made in the course
24of that business. The tax imposed under this Section and all
25civil penalties that may be assessed as an incident thereof
26shall be collected and enforced by the State Department of

 

 

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1Revenue. The Department shall have full power to administer and
2enforce this Section; to collect all taxes and penalties so
3collected in the manner hereinafter provided; and to determine
4all rights to credit memoranda arising on account of the
5erroneous payment of tax or penalty hereunder. In the
6administration of, and compliance with this Section, the
7Department and persons who are subject to this Section shall
8have the same rights, remedies, privileges, immunities, powers
9and duties, and be subject to the same conditions,
10restrictions, limitations, penalties, exclusions, exemptions
11and definitions of terms, and employ the same modes of
12procedure, as are prescribed in Sections 1, 1a, 1a-1, 1c, 1d,
131e, 1f, 1i, 1j, 2 through 2-65 (in respect to all provisions
14therein other than the State rate of tax), 2c, 3 (except as to
15the disposition of taxes and penalties collected), 4, 5, 5a,
165b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d,
177, 8, 9, 10, 11, 12 and 13 of the Retailers' Occupation Tax Act
18and Section 3-7 of the Uniform Penalty and Interest Act, as
19fully as if those provisions were set forth herein.
20    Persons subject to any tax imposed under the authority
21granted in this Section may reimburse themselves for their
22seller's tax liability hereunder by separately stating the tax
23as an additional charge, which charge may be stated in
24combination in a single amount with State taxes that sellers
25are required to collect under the Use Tax Act, under any
26bracket schedules the Department may prescribe.

 

 

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1    Whenever the Department determines that a refund should be
2made under this Section to a claimant instead of issuing a
3credit memorandum, the Department shall notify the State
4Comptroller, who shall cause the warrant to be drawn for the
5amount specified, and to the person named, in the notification
6from the Department. The refund shall be paid by the State
7Treasurer out of the Regional Transportation Authority tax fund
8established under paragraph (n) of this Section.
9    If a tax is imposed under this subsection (e), a tax shall
10also be imposed under subsections (f) and (g) of this Section.
11    For the purpose of determining whether a tax authorized
12under this Section is applicable, a retail sale by a producer
13of coal or other mineral mined in Illinois, is a sale at retail
14at the place where the coal or other mineral mined in Illinois
15is extracted from the earth. This paragraph does not apply to
16coal or other mineral when it is delivered or shipped by the
17seller to the purchaser at a point outside Illinois so that the
18sale is exempt under the Federal Constitution as a sale in
19interstate or foreign commerce.
20    No tax shall be imposed or collected under this subsection
21on the sale of a motor vehicle in this State to a resident of
22another state if that motor vehicle will not be titled in this
23State.
24    Nothing in this Section shall be construed to authorize the
25Regional Transportation Authority to impose a tax upon the
26privilege of engaging in any business that under the

 

 

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1Constitution of the United States may not be made the subject
2of taxation by this State.
3    (f) If a tax has been imposed under paragraph (e), a
4Regional Transportation Authority Service Occupation Tax shall
5also be imposed upon all persons engaged, in the metropolitan
6region in the business of making sales of service, who as an
7incident to making the sales of service, transfer tangible
8personal property within the metropolitan region, either in the
9form of tangible personal property or in the form of real
10estate as an incident to a sale of service. In Cook County, the
11tax rate shall be: (1) 1.25% of the serviceman's cost price of
12food prepared for immediate consumption and transferred
13incident to a sale of service subject to the service occupation
14tax by an entity licensed under the Hospital Licensing Act, the
15Nursing Home Care Act, the Specialized Mental Health
16Rehabilitation Act of 2013, the ID/DD Community Care Act, or
17the MC/DD Act that is located in the metropolitan region; (2)
181.25% of the selling price of tangible personal property taxed
19at the 1% rate under the Service Occupation Tax Act, including
20but not limited to, food for human consumption that is to be
21consumed off the premises where it is sold (other than
22alcoholic beverages, soft drinks and food that has been
23prepared for immediate consumption) and prescription and
24nonprescription medicines, drugs, medical appliances, products
25classified as Class III medical devices by the United States
26Food and Drug Administration that are used for cancer treatment

 

 

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1pursuant to a prescription, as well as any accessories and
2components related to those devices, modifications to a motor
3vehicle for the purpose of rendering it usable by a person with
4a disability, and insulin, urine testing materials, syringes
5and needles used by diabetics, for human use; and (3) 1% of the
6selling price from other taxable sales of tangible personal
7property transferred. In DuPage, Kane, Lake, McHenry and Will
8Counties the rate shall be 0.75% of the selling price of all
9tangible personal property transferred.
10    The tax imposed under this paragraph and all civil
11penalties that may be assessed as an incident thereof shall be
12collected and enforced by the State Department of Revenue. The
13Department shall have full power to administer and enforce this
14paragraph; to collect all taxes and penalties due hereunder; to
15dispose of taxes and penalties collected in the manner
16hereinafter provided; and to determine all rights to credit
17memoranda arising on account of the erroneous payment of tax or
18penalty hereunder. In the administration of and compliance with
19this paragraph, the Department and persons who are subject to
20this paragraph shall have the same rights, remedies,
21privileges, immunities, powers and duties, and be subject to
22the same conditions, restrictions, limitations, penalties,
23exclusions, exemptions and definitions of terms, and employ the
24same modes of procedure, as are prescribed in Sections 1a-1, 2,
252a, 3 through 3-50 (in respect to all provisions therein other
26than the State rate of tax), 4 (except that the reference to

 

 

SB1285- 445 -LRB100 08067 HLH 18153 b

1the State shall be to the Authority), 5, 7, 8 (except that the
2jurisdiction to which the tax shall be a debt to the extent
3indicated in that Section 8 shall be the Authority), 9 (except
4as to the disposition of taxes and penalties collected, and
5except that the returned merchandise credit for this tax may
6not be taken against any State tax), 10, 11, 12 (except the
7reference therein to Section 2b of the Retailers' Occupation
8Tax Act), 13 (except that any reference to the State shall mean
9the Authority), the first paragraph of Section 15, 16, 17, 18,
1019 and 20 of the Service Occupation Tax Act and Section 3-7 of
11the Uniform Penalty and Interest Act, as fully as if those
12provisions were set forth herein.
13    Persons subject to any tax imposed under the authority
14granted in this paragraph may reimburse themselves for their
15serviceman's tax liability hereunder by separately stating the
16tax as an additional charge, that charge may be stated in
17combination in a single amount with State tax that servicemen
18are authorized to collect under the Service Use Tax Act, under
19any bracket schedules the Department may prescribe.
20    Whenever the Department determines that a refund should be
21made under this paragraph to a claimant instead of issuing a
22credit memorandum, the Department shall notify the State
23Comptroller, who shall cause the warrant to be drawn for the
24amount specified, and to the person named in the notification
25from the Department. The refund shall be paid by the State
26Treasurer out of the Regional Transportation Authority tax fund

 

 

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1established under paragraph (n) of this Section.
2    Nothing in this paragraph shall be construed to authorize
3the Authority to impose a tax upon the privilege of engaging in
4any business that under the Constitution of the United States
5may not be made the subject of taxation by the State.
6    (g) If a tax has been imposed under paragraph (e), a tax
7shall also be imposed upon the privilege of using in the
8metropolitan region, any item of tangible personal property
9that is purchased outside the metropolitan region at retail
10from a retailer, and that is titled or registered with an
11agency of this State's government. In Cook County the tax rate
12shall be 1% of the selling price of the tangible personal
13property, as "selling price" is defined in the Use Tax Act. In
14DuPage, Kane, Lake, McHenry and Will counties the tax rate
15shall be 0.75% of the selling price of the tangible personal
16property, as "selling price" is defined in the Use Tax Act. The
17tax shall be collected from persons whose Illinois address for
18titling or registration purposes is given as being in the
19metropolitan region. The tax shall be collected by the
20Department of Revenue for the Regional Transportation
21Authority. The tax must be paid to the State, or an exemption
22determination must be obtained from the Department of Revenue,
23before the title or certificate of registration for the
24property may be issued. The tax or proof of exemption may be
25transmitted to the Department by way of the State agency with
26which, or the State officer with whom, the tangible personal

 

 

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1property must be titled or registered if the Department and the
2State agency or State officer determine that this procedure
3will expedite the processing of applications for title or
4registration.
5    The Department shall have full power to administer and
6enforce this paragraph; to collect all taxes, penalties and
7interest due hereunder; to dispose of taxes, penalties and
8interest collected in the manner hereinafter provided; and to
9determine all rights to credit memoranda or refunds arising on
10account of the erroneous payment of tax, penalty or interest
11hereunder. In the administration of and compliance with this
12paragraph, the Department and persons who are subject to this
13paragraph shall have the same rights, remedies, privileges,
14immunities, powers and duties, and be subject to the same
15conditions, restrictions, limitations, penalties, exclusions,
16exemptions and definitions of terms and employ the same modes
17of procedure, as are prescribed in Sections 2 (except the
18definition of "retailer maintaining a place of business in this
19State"), 3 through 3-80 (except provisions pertaining to the
20State rate of tax, and except provisions concerning collection
21or refunding of the tax by retailers), 4, 11, 12, 12a, 14, 15,
2219 (except the portions pertaining to claims by retailers and
23except the last paragraph concerning refunds), 20, 21 and 22 of
24the Use Tax Act, and are not inconsistent with this paragraph,
25as fully as if those provisions were set forth herein.
26    Whenever the Department determines that a refund should be

 

 

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1made under this paragraph to a claimant instead of issuing a
2credit memorandum, the Department shall notify the State
3Comptroller, who shall cause the order to be drawn for the
4amount specified, and to the person named in the notification
5from the Department. The refund shall be paid by the State
6Treasurer out of the Regional Transportation Authority tax fund
7established under paragraph (n) of this Section.
8    (h) The Authority may impose a replacement vehicle tax of
9$50 on any passenger car as defined in Section 1-157 of the
10Illinois Vehicle Code purchased within the metropolitan region
11by or on behalf of an insurance company to replace a passenger
12car of an insured person in settlement of a total loss claim.
13The tax imposed may not become effective before the first day
14of the month following the passage of the ordinance imposing
15the tax and receipt of a certified copy of the ordinance by the
16Department of Revenue. The Department of Revenue shall collect
17the tax for the Authority in accordance with Sections 3-2002
18and 3-2003 of the Illinois Vehicle Code.
19    The Department shall immediately pay over to the State
20Treasurer, ex officio, as trustee, all taxes collected
21hereunder.
22    As soon as possible after the first day of each month,
23beginning January 1, 2011, upon certification of the Department
24of Revenue, the Comptroller shall order transferred, and the
25Treasurer shall transfer, to the STAR Bonds Revenue Fund the
26local sales tax increment, as defined in the Innovation

 

 

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1Development and Economy Act, collected under this Section
2during the second preceding calendar month for sales within a
3STAR bond district.
4    After the monthly transfer to the STAR Bonds Revenue Fund,
5on or before the 25th day of each calendar month, the
6Department shall prepare and certify to the Comptroller the
7disbursement of stated sums of money to the Authority. The
8amount to be paid to the Authority shall be the amount
9collected hereunder during the second preceding calendar month
10by the Department, less any amount determined by the Department
11to be necessary for the payment of refunds, and less any
12amounts that are transferred to the STAR Bonds Revenue Fund.
13Within 10 days after receipt by the Comptroller of the
14disbursement certification to the Authority provided for in
15this Section to be given to the Comptroller by the Department,
16the Comptroller shall cause the orders to be drawn for that
17amount in accordance with the directions contained in the
18certification.
19    (i) The Board may not impose any other taxes except as it
20may from time to time be authorized by law to impose.
21    (j) A certificate of registration issued by the State
22Department of Revenue to a retailer under the Retailers'
23Occupation Tax Act or under the Service Occupation Tax Act
24shall permit the registrant to engage in a business that is
25taxed under the tax imposed under paragraphs (b), (e), (f) or
26(g) of this Section and no additional registration shall be

 

 

SB1285- 450 -LRB100 08067 HLH 18153 b

1required under the tax. A certificate issued under the Use Tax
2Act or the Service Use Tax Act shall be applicable with regard
3to any tax imposed under paragraph (c) of this Section.
4    (k) The provisions of any tax imposed under paragraph (c)
5of this Section shall conform as closely as may be practicable
6to the provisions of the Use Tax Act, including without
7limitation conformity as to penalties with respect to the tax
8imposed and as to the powers of the State Department of Revenue
9to promulgate and enforce rules and regulations relating to the
10administration and enforcement of the provisions of the tax
11imposed. The taxes shall be imposed only on use within the
12metropolitan region and at rates as provided in the paragraph.
13    (l) The Board in imposing any tax as provided in paragraphs
14(b) and (c) of this Section, shall, after seeking the advice of
15the State Department of Revenue, provide means for retailers,
16users or purchasers of motor fuel for purposes other than those
17with regard to which the taxes may be imposed as provided in
18those paragraphs to receive refunds of taxes improperly paid,
19which provisions may be at variance with the refund provisions
20as applicable under the Municipal Retailers Occupation Tax Act.
21The State Department of Revenue may provide for certificates of
22registration for users or purchasers of motor fuel for purposes
23other than those with regard to which taxes may be imposed as
24provided in paragraphs (b) and (c) of this Section to
25facilitate the reporting and nontaxability of the exempt sales
26or uses.

 

 

SB1285- 451 -LRB100 08067 HLH 18153 b

1    (m) Any ordinance imposing or discontinuing any tax under
2this Section shall be adopted and a certified copy thereof
3filed with the Department on or before June 1, whereupon the
4Department of Revenue shall proceed to administer and enforce
5this Section on behalf of the Regional Transportation Authority
6as of September 1 next following such adoption and filing.
7Beginning January 1, 1992, an ordinance or resolution imposing
8or discontinuing the tax hereunder shall be adopted and a
9certified copy thereof filed with the Department on or before
10the first day of July, whereupon the Department shall proceed
11to administer and enforce this Section as of the first day of
12October next following such adoption and filing. Beginning
13January 1, 1993, an ordinance or resolution imposing,
14increasing, decreasing, or discontinuing the tax hereunder
15shall be adopted and a certified copy thereof filed with the
16Department, whereupon the Department shall proceed to
17administer and enforce this Section as of the first day of the
18first month to occur not less than 60 days following such
19adoption and filing. Any ordinance or resolution of the
20Authority imposing a tax under this Section and in effect on
21August 1, 2007 shall remain in full force and effect and shall
22be administered by the Department of Revenue under the terms
23and conditions and rates of tax established by such ordinance
24or resolution until the Department begins administering and
25enforcing an increased tax under this Section as authorized by
26Public Act 95-708. The tax rates authorized by Public Act

 

 

SB1285- 452 -LRB100 08067 HLH 18153 b

195-708 are effective only if imposed by ordinance of the
2Authority.
3    (n) The State Department of Revenue shall, upon collecting
4any taxes as provided in this Section, pay the taxes over to
5the State Treasurer as trustee for the Authority. The taxes
6shall be held in a trust fund outside the State Treasury. On or
7before the 25th day of each calendar month, the State
8Department of Revenue shall prepare and certify to the
9Comptroller of the State of Illinois and to the Authority (i)
10the amount of taxes collected in each County other than Cook
11County in the metropolitan region, (ii) the amount of taxes
12collected within the City of Chicago, and (iii) the amount
13collected in that portion of Cook County outside of Chicago,
14each amount less the amount necessary for the payment of
15refunds to taxpayers located in those areas described in items
16(i), (ii), and (iii). Within 10 days after receipt by the
17Comptroller of the certification of the amounts, the
18Comptroller shall cause an order to be drawn for the payment of
19two-thirds of the amounts certified in item (i) of this
20subsection to the Authority and one-third of the amounts
21certified in item (i) of this subsection to the respective
22counties other than Cook County and the amount certified in
23items (ii) and (iii) of this subsection to the Authority.
24    In addition to the disbursement required by the preceding
25paragraph, an allocation shall be made in July 1991 and each
26year thereafter to the Regional Transportation Authority. The

 

 

SB1285- 453 -LRB100 08067 HLH 18153 b

1allocation shall be made in an amount equal to the average
2monthly distribution during the preceding calendar year
3(excluding the 2 months of lowest receipts) and the allocation
4shall include the amount of average monthly distribution from
5the Regional Transportation Authority Occupation and Use Tax
6Replacement Fund. The distribution made in July 1992 and each
7year thereafter under this paragraph and the preceding
8paragraph shall be reduced by the amount allocated and
9disbursed under this paragraph in the preceding calendar year.
10The Department of Revenue shall prepare and certify to the
11Comptroller for disbursement the allocations made in
12accordance with this paragraph.
13    (o) Failure to adopt a budget ordinance or otherwise to
14comply with Section 4.01 of this Act or to adopt a Five-year
15Capital Program or otherwise to comply with paragraph (b) of
16Section 2.01 of this Act shall not affect the validity of any
17tax imposed by the Authority otherwise in conformity with law.
18    (p) At no time shall a public transportation tax or motor
19vehicle parking tax authorized under paragraphs (b), (c) and
20(d) of this Section be in effect at the same time as any
21retailers' occupation, use or service occupation tax
22authorized under paragraphs (e), (f) and (g) of this Section is
23in effect.
24    Any taxes imposed under the authority provided in
25paragraphs (b), (c) and (d) shall remain in effect only until
26the time as any tax authorized by paragraphs (e), (f) or (g) of

 

 

SB1285- 454 -LRB100 08067 HLH 18153 b

1this Section are imposed and becomes effective. Once any tax
2authorized by paragraphs (e), (f) or (g) is imposed the Board
3may not reimpose taxes as authorized in paragraphs (b), (c) and
4(d) of the Section unless any tax authorized by paragraphs (e),
5(f) or (g) of this Section becomes ineffective by means other
6than an ordinance of the Board.
7    (q) Any existing rights, remedies and obligations
8(including enforcement by the Regional Transportation
9Authority) arising under any tax imposed under paragraphs (b),
10(c) or (d) of this Section shall not be affected by the
11imposition of a tax under paragraphs (e), (f) or (g) of this
12Section.
13(Source: P.A. 98-104, eff. 7-22-13; 99-180, eff. 7-29-15;
1499-217, eff. 7-31-15; 99-642, eff. 7-28-16.)
 
15    Section 160. The Water Commission Act of 1985 is amended by
16changing Section 4 as follows:
 
17    (70 ILCS 3720/4)  (from Ch. 111 2/3, par. 254)
18    Sec. 4. Taxes.
19    (a) The board of commissioners of any county water
20commission may, by ordinance, impose throughout the territory
21of the commission any or all of the taxes provided in this
22Section for its corporate purposes. However, no county water
23commission may impose any such tax unless the commission
24certifies the proposition of imposing the tax to the proper

 

 

SB1285- 455 -LRB100 08067 HLH 18153 b

1election officials, who shall submit the proposition to the
2voters residing in the territory at an election in accordance
3with the general election law, and the proposition has been
4approved by a majority of those voting on the proposition.
5    The proposition shall be in the form provided in Section 5
6or shall be substantially in the following form:
7-------------------------------------------------------------
8    Shall the (insert corporate
9name of county water commission)           YES
10impose (state type of tax or         ------------------------
11taxes to be imposed) at the                NO
12rate of 1/4%?
13-------------------------------------------------------------
14    Taxes imposed under this Section and civil penalties
15imposed incident thereto shall be collected and enforced by the
16State Department of Revenue. The Department shall have the
17power to administer and enforce the taxes and to determine all
18rights for refunds for erroneous payments of the taxes.
19    (b) The board of commissioners may impose a County Water
20Commission Retailers' Occupation Tax upon all persons engaged
21in the business of selling tangible personal property at retail
22in the territory of the commission at a rate of 1/4% of the
23gross receipts from the sales made in the course of such
24business within the territory. The tax imposed under this
25paragraph and all civil penalties that may be assessed as an
26incident thereof shall be collected and enforced by the State

 

 

SB1285- 456 -LRB100 08067 HLH 18153 b

1Department of Revenue. The Department shall have full power to
2administer and enforce this paragraph; to collect all taxes and
3penalties due hereunder; to dispose of taxes and penalties so
4collected in the manner hereinafter provided; and to determine
5all rights to credit memoranda arising on account of the
6erroneous payment of tax or penalty hereunder. In the
7administration of, and compliance with, this paragraph, the
8Department and persons who are subject to this paragraph shall
9have the same rights, remedies, privileges, immunities, powers
10and duties, and be subject to the same conditions,
11restrictions, limitations, penalties, exclusions, exemptions
12and definitions of terms, and employ the same modes of
13procedure, as are prescribed in Sections 1, 1a, 1a-1, 1c, 1d,
141e, 1f, 1i, 1j, 2 through 2-65 (in respect to all provisions
15therein other than the State rate of tax except that food for
16human consumption that is to be consumed off the premises where
17it is sold (other than alcoholic beverages, soft drinks, and
18food that has been prepared for immediate consumption) and
19prescription and nonprescription medicine, 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,
24modifications to a motor vehicle for the purpose of rendering
25it usable by a person with a disability, and insulin, urine
26testing materials, syringes, and needles used by diabetics, for

 

 

SB1285- 457 -LRB100 08067 HLH 18153 b

1human use, shall not be subject to tax hereunder), 2c, 3
2(except as to the disposition of taxes and penalties
3collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k,
45l, 6, 6a, 6b, 6c, 6d, 7, 8, 9, 10, 11, 12 and 13 of the
5Retailers' 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 paragraph may reimburse themselves for their
10seller's tax liability hereunder by separately stating the tax
11as an additional charge, which charge may be stated in
12combination, in a single amount, with State taxes that sellers
13are required to collect under the Use Tax Act and under
14subsection (e) of Section 4.03 of the Regional Transportation
15Authority Act, in accordance with such bracket schedules as the
16Department may prescribe.
17    Whenever the Department determines that a refund should be
18made under this paragraph to a claimant instead of issuing a
19credit memorandum, the Department shall notify the State
20Comptroller, who shall cause the warrant to be drawn for the
21amount specified, and to the person named, in the notification
22from the Department. The refund shall be paid by the State
23Treasurer out of a county water commission tax fund established
24under paragraph (g) of this Section.
25    For the purpose of determining whether a tax authorized
26under this paragraph is applicable, a retail sale by a producer

 

 

SB1285- 458 -LRB100 08067 HLH 18153 b

1of coal or other mineral mined in Illinois is a sale at retail
2at the place where the coal or other mineral mined in Illinois
3is extracted from the earth. This paragraph does not apply to
4coal or other mineral when it is delivered or shipped by the
5seller to the purchaser at a point outside Illinois so that the
6sale is exempt under the Federal Constitution as a sale in
7interstate or foreign commerce.
8    If a tax is imposed under this subsection (b) a tax shall
9also be imposed under subsections (c) and (d) of this Section.
10    No tax shall be imposed or collected under this subsection
11on the sale of a motor vehicle in this State to a resident of
12another state if that motor vehicle will not be titled in this
13State.
14    Nothing in this paragraph shall be construed to authorize a
15county water commission to impose a tax upon the privilege of
16engaging in any business which under the Constitution of the
17United States may not be made the subject of taxation by this
18State.
19    (c) If a tax has been imposed under subsection (b), a
20County Water Commission Service Occupation Tax shall also be
21imposed upon all persons engaged, in the territory of the
22commission, in the business of making sales of service, who, as
23an incident to making the sales of service, transfer tangible
24personal property within the territory. The tax rate shall be
251/4% of the selling price of tangible personal property so
26transferred within the territory. The tax imposed under this

 

 

SB1285- 459 -LRB100 08067 HLH 18153 b

1paragraph and all civil penalties that may be assessed as an
2incident thereof shall be collected and enforced by the State
3Department of Revenue. The Department shall have full power to
4administer and enforce this paragraph; to collect all taxes and
5penalties due hereunder; to dispose of taxes and penalties so
6collected in the manner hereinafter provided; and to determine
7all rights to credit memoranda arising on account of the
8erroneous payment of tax or penalty hereunder. In the
9administration of, and compliance with, this paragraph, the
10Department and persons who are subject to this paragraph shall
11have the same rights, remedies, privileges, immunities, powers
12and duties, and be subject to the same conditions,
13restrictions, limitations, penalties, exclusions, exemptions
14and definitions of terms, and employ the same modes of
15procedure, as are prescribed in Sections 1a-1, 2 (except that
16the reference to State in the definition of supplier
17maintaining a place of business in this State shall mean the
18territory of the commission), 2a, 3 through 3-50 (in respect to
19all provisions therein other than the State rate of tax except
20that food for human consumption that is to be consumed off the
21premises where it is sold (other than alcoholic beverages, soft
22drinks, and food that has been prepared for immediate
23consumption) and prescription and nonprescription medicines,
24drugs, medical appliances, products classified as Class III
25medical devices by the United States Food and Drug
26Administration that are used for cancer treatment pursuant to a

 

 

SB1285- 460 -LRB100 08067 HLH 18153 b

1prescription, as well as any accessories and components related
2to those devices, modifications to a motor vehicle for the
3purpose of rendering it usable by a person with a disability,
4and insulin, urine testing materials, syringes, and needles
5used by diabetics, for human use, shall not be subject to tax
6hereunder), 4 (except that the reference to the State shall be
7to the territory of the commission), 5, 7, 8 (except that the
8jurisdiction to which the tax shall be a debt to the extent
9indicated in that Section 8 shall be the commission), 9 (except
10as to the disposition of taxes and penalties collected and
11except that the returned merchandise credit for this tax may
12not be taken against any State tax), 10, 11, 12 (except the
13reference therein to Section 2b of the Retailers' Occupation
14Tax Act), 13 (except that any reference to the State shall mean
15the territory of the commission), the first paragraph of
16Section 15, 15.5, 16, 17, 18, 19 and 20 of the Service
17Occupation Tax Act as fully as if those provisions were set
18forth herein.
19    Persons subject to any tax imposed under the authority
20granted in this paragraph may reimburse themselves for their
21serviceman's tax liability hereunder by separately stating the
22tax as an additional charge, which charge may be stated in
23combination, in a single amount, with State tax that servicemen
24are authorized to collect under the Service Use Tax Act, and
25any tax for which servicemen may be liable under subsection (f)
26of Section 4.03 of the Regional Transportation Authority Act,

 

 

SB1285- 461 -LRB100 08067 HLH 18153 b

1in accordance with such bracket schedules as the Department may
2prescribe.
3    Whenever the Department determines that a refund should be
4made under this paragraph to a claimant instead of issuing a
5credit memorandum, the Department shall notify the State
6Comptroller, who shall cause the warrant 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 a county water commission tax fund established
10under paragraph (g) of this Section.
11    Nothing in this paragraph shall be construed to authorize a
12county water commission to impose a tax upon the privilege of
13engaging in any business which under the Constitution of the
14United States may not be made the subject of taxation by the
15State.
16    (d) If a tax has been imposed under subsection (b), a tax
17shall also BE imposed upon the privilege of using, in the
18territory of the commission, any item of tangible personal
19property that is purchased outside the territory at retail from
20a retailer, and that is titled or registered with an agency of
21this State's government, at a rate of 1/4% of the selling price
22of the tangible personal property within the territory, as
23"selling price" is defined in the Use Tax Act. The tax shall be
24collected from persons whose Illinois address for titling or
25registration purposes is given as being in the territory. The
26tax shall be collected by the Department of Revenue for a

 

 

SB1285- 462 -LRB100 08067 HLH 18153 b

1county water commission. The tax must be paid to the State, or
2an exemption determination must be obtained from the Department
3of Revenue, before the title or certificate of registration for
4the property may be issued. The tax or proof of exemption may
5be transmitted to the Department by way of the State agency
6with which, or the State officer with whom, the tangible
7personal property must be titled or registered if the
8Department and the State agency or State officer determine that
9this procedure will expedite the processing of applications for
10title or registration.
11    The Department shall have full power to administer and
12enforce this paragraph; to collect all taxes, penalties and
13interest due hereunder; to dispose of taxes, penalties and
14interest so collected in the manner hereinafter provided; and
15to determine all rights to credit memoranda or refunds arising
16on account of the erroneous payment of tax, penalty or interest
17hereunder. In the administration of, and compliance with this
18paragraph, the Department and persons who are subject to this
19paragraph shall have the same rights, remedies, privileges,
20immunities, powers and duties, and be subject to the same
21conditions, restrictions, limitations, penalties, exclusions,
22exemptions and definitions of terms and employ the same modes
23of procedure, as are prescribed in Sections 2 (except the
24definition of "retailer maintaining a place of business in this
25State"), 3 through 3-80 (except provisions pertaining to the
26State rate of tax, and except provisions concerning collection

 

 

SB1285- 463 -LRB100 08067 HLH 18153 b

1or refunding of the tax by retailers, and except that food for
2human consumption that is to be consumed off the premises where
3it is sold (other than alcoholic beverages, soft drinks, and
4food that has been prepared for immediate consumption) and
5prescription and nonprescription medicines, drugs, medical
6appliances and insulin, urine testing materials, syringes, and
7needles used by diabetics, for human use, shall not be subject
8to tax hereunder), 4, 11, 12, 12a, 14, 15, 19 (except the
9portions pertaining to claims by retailers and except the last
10paragraph concerning refunds), 20, 21 and 22 of the Use Tax Act
11and Section 3-7 of the Uniform Penalty and Interest Act that
12are not inconsistent with this paragraph, as fully as if those
13provisions were set forth herein.
14    Whenever the Department determines that a refund should be
15made under this paragraph to a claimant instead of issuing a
16credit memorandum, the Department shall notify the State
17Comptroller, who shall cause the order to be drawn for the
18amount specified, and to the person named, in the notification
19from the Department. The refund shall be paid by the State
20Treasurer out of a county water commission tax fund established
21under paragraph (g) of this Section.
22    (e) A certificate of registration issued by the State
23Department of Revenue to a retailer under the Retailers'
24Occupation Tax Act or under the Service Occupation Tax Act
25shall permit the registrant to engage in a business that is
26taxed under the tax imposed under paragraphs (b), (c) or (d) of

 

 

SB1285- 464 -LRB100 08067 HLH 18153 b

1this Section and no additional registration shall be required
2under the tax. A certificate issued under the Use Tax Act or
3the Service Use Tax Act shall be applicable with regard to any
4tax imposed under paragraph (c) of this Section.
5    (f) Any ordinance imposing or discontinuing any tax under
6this Section shall be adopted and a certified copy thereof
7filed with the Department on or before June 1, whereupon the
8Department of Revenue shall proceed to administer and enforce
9this Section on behalf of the county water commission as of
10September 1 next following the adoption and filing. Beginning
11January 1, 1992, an ordinance or resolution imposing or
12discontinuing the tax hereunder shall be adopted and a
13certified copy thereof filed with the Department on or before
14the first day of July, whereupon the Department shall proceed
15to administer and enforce this Section as of the first day of
16October next following such adoption and filing. Beginning
17January 1, 1993, an ordinance or resolution imposing or
18discontinuing the tax hereunder shall be adopted and a
19certified copy thereof filed with the Department on or before
20the first day of October, whereupon the Department shall
21proceed to administer and enforce this Section as of the first
22day of January next following such adoption and filing.
23    (g) The State Department of Revenue shall, upon collecting
24any taxes as provided in this Section, pay the taxes over to
25the State Treasurer as trustee for the commission. The taxes
26shall be held in a trust fund outside the State Treasury.

 

 

SB1285- 465 -LRB100 08067 HLH 18153 b

1    As soon as possible after the first day of each month,
2beginning January 1, 2011, upon certification of the Department
3of Revenue, the Comptroller shall order transferred, and the
4Treasurer shall transfer, to the STAR Bonds Revenue Fund the
5local sales tax increment, as defined in the Innovation
6Development and Economy Act, collected under this Section
7during the second preceding calendar month for sales within a
8STAR bond district.
9    After the monthly transfer to the STAR Bonds Revenue Fund,
10on or before the 25th day of each calendar month, the State
11Department of Revenue shall prepare and certify to the
12Comptroller of the State of Illinois the amount to be paid to
13the commission, which shall be the amount (not including credit
14memoranda) collected under this Section during the second
15preceding calendar month by the Department plus an amount the
16Department determines is necessary to offset any amounts that
17were erroneously paid to a different taxing body, and not
18including any amount equal to the amount of refunds made during
19the second preceding calendar month by the Department on behalf
20of the commission, and not including any amount that the
21Department determines is necessary to offset any amounts that
22were payable to a different taxing body but were erroneously
23paid to the commission, and less any amounts that are
24transferred to the STAR Bonds Revenue Fund. Within 10 days
25after receipt by the Comptroller of the certification of the
26amount to be paid to the commission, the Comptroller shall

 

 

SB1285- 466 -LRB100 08067 HLH 18153 b

1cause an order to be drawn for the payment for the amount in
2accordance with the direction in the certification.
3    (h) Beginning June 1, 2016, any tax imposed pursuant to
4this Section may no longer be imposed or collected, unless a
5continuation of the tax is approved by the voters at a
6referendum as set forth in this Section.
7(Source: P.A. 98-298, eff. 8-9-13; 99-217, eff. 7-31-15;
899-642, eff. 7-28-16.)
 
9    Section 163. The Raffles and Poker Runs Act is amended by
10changing Section 2 as follows:
 
11    (230 ILCS 15/2)  (from Ch. 85, par. 2302)
12    Sec. 2. Licensing.
13    (a) The governing body of any county or municipality within
14this State may establish a system for the licensing of
15organizations to operate raffles. The governing bodies of a
16county and one or more municipalities may, pursuant to a
17written contract, jointly establish a system for the licensing
18of organizations to operate raffles within any area of
19contiguous territory not contained within the corporate limits
20of a municipality which is not a party to such contract. The
21governing bodies of two or more adjacent counties or two or
22more adjacent municipalities located within a county may,
23pursuant to a written contract, jointly establish a system for
24the licensing of organizations to operate raffles within the

 

 

SB1285- 467 -LRB100 08067 HLH 18153 b

1corporate limits of such counties or municipalities. The
2licensing authority may establish special categories of
3licenses and promulgate rules relating to the various
4categories. The licensing system shall provide for limitations
5upon (1) the aggregate retail value of all prizes or
6merchandise awarded by a licensee in a single raffle, (2) the
7maximum retail value of each prize awarded by a licensee in a
8single raffle, (3) the maximum price which may be charged for
9each raffle chance issued or sold and (4) the maximum number of
10days during which chances may be issued or sold. The licensing
11system may include a fee for each license in an amount to be
12determined by the local governing body. Licenses issued
13pursuant to this Act shall be valid for one raffle or for a
14specified number of raffles to be conducted during a specified
15period not to exceed one year and may be suspended or revoked
16for any violation of this Act. A local governing body shall act
17on a license application within 30 days from the date of
18application. Nothing in this Act shall be construed to prohibit
19a county or municipality from adopting rules or ordinances for
20the operation of raffles that are more restrictive than
21provided for in this Act. Except for raffles organized by law
22enforcement agencies and statewide associations that represent
23law enforcement officials as provided in Section 9 of this Act,
24the governing body of a municipality may authorize the sale of
25raffle chances only within the borders of the municipality.
26Except for raffles organized by law enforcement agencies and

 

 

SB1285- 468 -LRB100 08067 HLH 18153 b

1statewide associations that represent law enforcement
2officials as provided in Section 9, the governing body of the
3county may authorize the sale of raffle chances only in those
4areas which are both within the borders of the county and
5outside the borders of any municipality.
6    (a-5) The governing body of Cook County may and any other
7county within this State shall establish a system for the
8licensing of organizations to operate poker runs. The governing
9bodies of 2 or more adjacent counties may, pursuant to a
10written contract, jointly establish a system for the licensing
11of organizations to operate poker runs within the corporate
12limits of such counties. The licensing authority may establish
13special categories of licenses and adopt rules relating to the
14various categories. The licensing system may include a fee not
15to exceed $25 for each license. Licenses issued pursuant to
16this Act shall be valid for one poker run or for a specified
17number of poker runs to be conducted during a specified period
18not to exceed one year and may be suspended or revoked for any
19violation of this Act. A local governing body shall act on a
20license application within 30 days after the date of
21application.
22    (b) Raffle licenses shall be issued only to bona fide
23religious, charitable, labor, business, fraternal, educational
24or veterans' organizations that operate without profit to their
25members and which have been in existence continuously for a
26period of 5 years immediately before making application for a

 

 

SB1285- 469 -LRB100 08067 HLH 18153 b

1raffle license and which have had during that entire 5-year
2period a bona fide membership engaged in carrying out their
3objects, or to a non-profit fundraising organization that the
4licensing authority determines is organized for the sole
5purpose of providing financial assistance to an identified
6individual or group of individuals suffering extreme financial
7hardship as the result of an illness, disability, accident or
8disaster; or to , as well as law enforcement agencies and
9statewide associations that represent law enforcement
10officials as provided for in Section 9 of this Act; or to State
11agencies conducting fundraising raffles as part of the State
12and University Employees Combined Appeal, pursuant to the
13Voluntary Payroll Deductions Act of 1983. Poker run licenses
14shall be issued only to bona fide religious, charitable, labor,
15business, fraternal, educational, veterans', or other bona
16fide not-for-profit organizations that operate without profit
17to their members and which have been in existence continuously
18for a period of 5 years immediately before making application
19for a poker run license and which have had during that entire
205-year period a bona fide membership engaged in carrying out
21their objects. Licenses for poker runs shall be issued for the
22following purposes: (i) providing financial assistance to an
23identified individual or group of individuals suffering
24extreme financial hardship as the result of an illness,
25disability, accident, or disaster or (ii) to maintain the
26financial stability of the organization. A licensing authority

 

 

SB1285- 470 -LRB100 08067 HLH 18153 b

1may waive the 5-year requirement under this subsection (b) for
2a bona fide religious, charitable, labor, business, fraternal,
3educational, or veterans' organization that applies for a
4license to conduct a poker run if the organization is a local
5organization that is affiliated with and chartered by a
6national or State organization that meets the 5-year
7requirement.
8    For purposes of this Act, the following definitions apply.
9Non-profit: An organization or institution organized and
10conducted on a not-for-profit basis with no personal profit
11inuring to any one as a result of the operation. Charitable: An
12organization or institution organized and operated to benefit
13an indefinite number of the public. The service rendered to
14those eligible for benefits must also confer some benefit on
15the public. Educational: An organization or institution
16organized and operated to provide systematic instruction in
17useful branches of learning by methods common to schools and
18institutions of learning which compare favorably in their scope
19and intensity with the course of study presented in
20tax-supported schools. Religious: Any church, congregation,
21society, or organization founded for the purpose of religious
22worship. Fraternal: An organization of persons having a common
23interest, the primary interest of which is to both promote the
24welfare of its members and to provide assistance to the general
25public in such a way as to lessen the burdens of government by
26caring for those that otherwise would be cared for by the

 

 

SB1285- 471 -LRB100 08067 HLH 18153 b

1government. Veterans: An organization or association comprised
2of members of which substantially all are individuals who are
3veterans or spouses, widows, or widowers of veterans, the
4primary purpose of which is to promote the welfare of its
5members and to provide assistance to the general public in such
6a way as to confer a public benefit. Labor: An organization
7composed of workers organized with the objective of betterment
8of the conditions of those engaged in such pursuit and the
9development of a higher degree of efficiency in their
10respective occupations. Business: A voluntary organization
11composed of individuals and businesses who have joined together
12to advance the commercial, financial, industrial and civic
13interests of a community.
14    (c) Poker runs shall be licensed by the county with
15jurisdiction over the key location. The license granted by the
16key location shall cover the entire poker run, including
17locations other than the key location. Each license issued
18shall include the name and address of each predetermined
19location.
20(Source: P.A. 98-644, eff. 6-10-14; 99-405, eff. 8-19-15;
2199-757, eff. 8-12-16; revised 9-14-16.)
 
22    Section 165. The Illinois Pull Tabs and Jar Games Act is
23amended by changing Section 5 as follows:
 
24    (230 ILCS 20/5)  (from Ch. 120, par. 1055)

 

 

SB1285- 472 -LRB100 08067 HLH 18153 b

1    Sec. 5. Payments; returns. There shall be paid to the
2Department of Revenue 5% of the gross proceeds of any pull tabs
3and jar games conducted under this Act. Such payments shall be
4made 4 times per year, between the first and the 20th day of
5April, July, October and January. Accompanying each payment
6shall be a return, on forms prescribed by the Department of
7Revenue. Failure to submit either the payment or the return
8within the specified time shall result in suspension or
9revocation of the license. Tax returns filed pursuant to this
10Act shall not be confidential and shall be available for public
11inspection. All payments made to the Department of Revenue
12under this Act shall be deposited as follows:
13        (a) 50% shall be deposited in the Common School Fund;
14    and
15        (b) 50% shall be deposited in the Illinois Gaming Law
16    Enforcement Fund. Of the monies deposited in the Illinois
17    Gaming Law Enforcement Fund under this Section, the General
18    Assembly shall appropriate two-thirds to the Department of
19    Revenue, Department of State Police and the Office of the
20    Attorney General for State law enforcement purposes, and
21    one-third shall be appropriated to the Department of
22    Revenue for the purpose of distribution in the form of
23    grants to counties or municipalities for law enforcement
24    purposes. The amounts of grants to counties or
25    municipalities shall bear the same ratio as the number of
26    licenses issued in counties or municipalities bears to the

 

 

SB1285- 473 -LRB100 08067 HLH 18153 b

1    total number of licenses issued in the State. In computing
2    the number of licenses issued in a county, licenses issued
3    for locations within a municipality's boundaries shall be
4    excluded.
5    The provisions of Sections 4, 5, 5a, 5b, 5c, 5d, 5e, 5f,
65g, 5h, 5i, 5j, 6, 6a, 6b, 6c, 8, 9, 10, 11 and 12 of the
7Retailers' Occupation Tax Act, and Section 3-7 of the Uniform
8Penalty and Interest Act, which are not inconsistent with this
9Act shall apply, as far as practicable, to the subject matter
10of this Act to the same extent as if such provisions were
11included in this Act. For the purposes of this Act, references
12in such incorporated Sections of the Retailers' Occupation Tax
13Act to retailers, sellers or persons engaged in the business of
14selling tangible personal property means persons engaged in
15conducting pull tabs and jar games and references in such
16incorporated Sections of the Retailers' Occupation Tax Act to
17sales of tangible personal property mean the conducting of pull
18tabs and jar games and the making of charges for participating
19in such drawings.
20    If any payment provided for in this Section exceeds the
21taxpayer's liabilities under this Act, as shown on an original
22return, the taxpayer may credit such excess payment against
23liability subsequently to be remitted to the Department under
24this Act, in accordance with reasonable rules adopted by the
25Department.
26(Source: P.A. 95-228, eff. 8-16-07.)
 

 

 

SB1285- 474 -LRB100 08067 HLH 18153 b

1    Section 170. The Bingo License and Tax Act is amended by
2changing Section 3 as follows:
 
3    (230 ILCS 25/3)  (from Ch. 120, par. 1103)
4    Sec. 3. Payments; returns. There shall be paid to the
5Department of Revenue, 5% of the gross proceeds of any game of
6bingo conducted under the provision of this Act. Such payments
7shall be made 4 times per year, between the first and the 20th
8day of April, July, October and January. Accompanying each
9payment shall be a return, on forms prescribed by the
10Department of Revenue. Failure to submit either the payment or
11the return within the specified time may result in suspension
12or revocation of the license. Tax returns filed pursuant to
13this Act shall not be confidential and shall be available for
14public inspection.
15    If any payment provided for in this Section exceeds the
16taxpayer's liabilities under this Act, as shown on an original
17return, the taxpayer may credit such excess payment against
18liability subsequently to be remitted to the Department under
19this Act, in accordance with reasonable rules adopted by the
20Department.
21    All payments made to the Department of Revenue under this
22Section shall be deposited as follows:
23        (1) 50% shall be deposited in the Mental Health Fund;
24    and

 

 

SB1285- 475 -LRB100 08067 HLH 18153 b

1        (2) 50% shall be deposited in the Common School Fund.
2     The provisions of Sections 4, 5, 5a, 5b, 5c, 5d, 5e, 5f,
35g, 5i, 5j, 6, 6a, 6b, 6c, 8, 9, 10, 11 and 12 of the Retailers'
4Occupation Tax Act and Section 3-7 of the Uniform Penalty and
5Interest Act, which are not inconsistent with this Act, shall
6apply, as far as practicable, to the subject matter of this Act
7to the same extent as if such provisions were included in this
8Act. For the purposes of this Act, references in such
9incorporated Sections of the Retailers' Occupation Tax Act to
10retailers, sellers or persons engaged in the business of
11selling tangible personal property means persons engaged in
12conducting bingo games, and references in such incorporated
13Sections of the Retailers' Occupation Tax Act to sales of
14tangible personal property mean the conducting of bingo games
15and the making of charges for playing such games.
16(Source: P.A. 95-228, eff. 8-16-07.)
 
17    Section 180. The Charitable Games Act is amended by
18changing Section 9 as follows:
 
19    (230 ILCS 30/9)  (from Ch. 120, par. 1129)
20    Sec. 9. Payments; returns. There shall be paid to the
21Department of Revenue, 5% of the net proceeds of charitable
22games conducted under the provisions of this Act. Such payments
23shall be made within 30 days after the completion of the games.
24Accompanying each payment shall be a return, on forms

 

 

SB1285- 476 -LRB100 08067 HLH 18153 b

1prescribed by the Department of Revenue. Failure to submit
2either the payment or the return within the specified time may
3result in suspension or revocation of the license. Tax returns
4filed pursuant to this Act shall not be confidential and shall
5be available for public inspection.
6     The provisions of Sections 4, 5, 5a, 5b, 5c, 5d, 5e, 5f,
75g, 5i, 5j, 6, 6a, 6b, 6c, 8, 9, 10, 11 and 12 of the Retailers'
8Occupation Tax Act, and Section 3-7 of the Uniform Penalty and
9Interest Act, which are not inconsistent with this Act shall
10apply, as far as practicable, to the subject matter of this Act
11to the same extent as if such provisions were included in this
12Act. For the purposes of this Act, references in such
13incorporated Sections of the Retailers' Occupation Tax Act to
14retailers, sellers or persons engaged in the business of
15selling tangible personal property means persons engaged in
16conducting charitable games, and references in such
17incorporated Sections of the Retailers' Occupation Tax Act to
18sales of tangible personal property mean the conducting of
19charitable games and the making of charges for playing such
20games.
21    If any payment provided for in this Section exceeds the
22taxpayer's liabilities under this Act, as shown on an original
23return, the taxpayer may credit such excess payment against
24liability subsequently to be remitted to the Department under
25this Act, in accordance with reasonable rules adopted by the
26Department.

 

 

SB1285- 477 -LRB100 08067 HLH 18153 b

1    All payments made to the Department of Revenue under this
2Section shall be deposited into the Illinois Gaming Law
3Enforcement Fund of the State Treasury.
4(Source: P.A. 98-377, eff. 1-1-14.)
 
5    Section 185. The Liquor Control Act of 1934 is amended by
6changing Section 8-2 as follows:
 
7    (235 ILCS 5/8-2)  (from Ch. 43, par. 159)
8    Sec. 8-2. Payments; reports. It is the duty of each
9manufacturer with respect to alcoholic liquor produced or
10imported by such manufacturer, or purchased tax-free by such
11manufacturer from another manufacturer or importing
12distributor, and of each importing distributor as to alcoholic
13liquor purchased by such importing distributor from foreign
14importers or from anyone from any point in the United States
15outside of this State or purchased tax-free from another
16manufacturer or importing distributor, to pay the tax imposed
17by Section 8-1 to the Department of Revenue on or before the
1815th day of the calendar month following the calendar month in
19which such alcoholic liquor is sold or used by such
20manufacturer or by such importing distributor other than in an
21authorized tax-free manner or to pay that tax electronically as
22provided in this Section.
23    Each manufacturer and each importing distributor shall
24make payment under one of the following methods: (1) on or

 

 

SB1285- 478 -LRB100 08067 HLH 18153 b

1before the 15th day of each calendar month, file in person or
2by United States first-class mail, postage pre-paid, with the
3Department of Revenue, on forms prescribed and furnished by the
4Department, a report in writing in such form as may be required
5by the Department in order to compute, and assure the accuracy
6of, the tax due on all taxable sales and uses of alcoholic
7liquor occurring during the preceding month. Payment of the tax
8in the amount disclosed by the report shall accompany the
9report or, (2) on or before the 15th day of each calendar
10month, electronically file with the Department of Revenue, on
11forms prescribed and furnished by the Department, an electronic
12report in such form as may be required by the Department in
13order to compute, and assure the accuracy of, the tax due on
14all taxable sales and uses of alcoholic liquor occurring during
15the preceding month. An electronic payment of the tax in the
16amount disclosed by the report shall accompany the report. A
17manufacturer or distributor who files an electronic report and
18electronically pays the tax imposed pursuant to Section 8-1 to
19the Department of Revenue on or before the 15th day of the
20calendar month following the calendar month in which such
21alcoholic liquor is sold or used by that manufacturer or
22importing distributor other than in an authorized tax-free
23manner shall pay to the Department the amount of the tax
24imposed pursuant to Section 8-1, less a discount which is
25allowed to reimburse the manufacturer or importing distributor
26for the expenses incurred in keeping and maintaining records,

 

 

SB1285- 479 -LRB100 08067 HLH 18153 b

1preparing and filing the electronic returns, remitting the tax,
2and supplying data to the Department upon request.
3    The discount shall be in an amount as follows:
4        (1) For original returns due on or after January 1,
5    2003 through September 30, 2003, the discount shall be
6    1.75% or $1,250 per return, whichever is less;
7        (2) For original returns due on or after October 1,
8    2003 through September 30, 2004, the discount shall be 2%
9    or $3,000 per return, whichever is less; and
10        (3) For original returns due on or after October 1,
11    2004, the discount shall be 2% or $2,000 per return,
12    whichever is less.
13    The Department may, if it deems it necessary in order to
14insure the payment of the tax imposed by this Article, require
15returns to be made more frequently than and covering periods of
16less than a month. Such return shall contain such further
17information as the Department may reasonably require.
18    It shall be presumed that all alcoholic liquors acquired or
19made by any importing distributor or manufacturer have been
20sold or used by him in this State and are the basis for the tax
21imposed by this Article unless proven, to the satisfaction of
22the Department, that such alcoholic liquors are (1) still in
23the possession of such importing distributor or manufacturer,
24or (2) prior to the termination of possession have been lost by
25theft or through unintentional destruction, or (3) that such
26alcoholic liquors are otherwise exempt from taxation under this

 

 

SB1285- 480 -LRB100 08067 HLH 18153 b

1Act.
2    If any payment provided for in this Section exceeds the
3manufacturer's or importing distributor's liabilities under
4this Act, as shown on an original report, the manufacturer or
5importing distributor may credit such excess payment against
6liability subsequently to be remitted to the Department under
7this Act, in accordance with reasonable rules adopted by the
8Department. If the Department subsequently determines that all
9or any part of the credit taken was not actually due to the
10manufacturer or importing distributor, the manufacturer's or
11importing distributor's discount shall be reduced by an amount
12equal to the difference between the discount as applied to the
13credit taken and that actually due, and the manufacturer or
14importing distributor shall be liable for penalties and
15interest on such difference.
16    The Department may require any foreign importer to file
17monthly information returns, by the 15th day of the month
18following the month which any such return covers, if the
19Department determines this to be necessary to the proper
20performance of the Department's functions and duties under this
21Act. Such return shall contain such information as the
22Department may reasonably require.
23    Every manufacturer and importing distributor shall also
24file, with the Department, a bond in an amount not less than
25$1,000 and not to exceed $100,000 on a form to be approved by,
26and with a surety or sureties satisfactory to, the Department.

 

 

SB1285- 481 -LRB100 08067 HLH 18153 b

1Such bond shall be conditioned upon the manufacturer or
2importing distributor paying to the Department all monies
3becoming due from such manufacturer or importing distributor
4under this Article. The Department shall fix the penalty of
5such bond in each case, taking into consideration the amount of
6alcoholic liquor expected to be sold and used by such
7manufacturer or importing distributor, and the penalty fixed by
8the Department shall be sufficient, in the Department's
9opinion, to protect the State of Illinois against failure to
10pay any amount due under this Article, but the amount of the
11penalty fixed by the Department shall not exceed twice the
12amount of tax liability of a monthly return, nor shall the
13amount of such penalty be less than $1,000. The Department
14shall notify the Commission of the Department's approval or
15disapproval of any such manufacturer's or importing
16distributor's bond, or of the termination or cancellation of
17any such bond, or of the Department's direction to a
18manufacturer or importing distributor that he must file
19additional bond in order to comply with this Section. The
20Commission shall not issue a license to any applicant for a
21manufacturer's or importing distributor's license unless the
22Commission has received a notification from the Department
23showing that such applicant has filed a satisfactory bond with
24the Department hereunder and that such bond has been approved
25by the Department. Failure by any licensed manufacturer or
26importing distributor to keep a satisfactory bond in effect

 

 

SB1285- 482 -LRB100 08067 HLH 18153 b

1with the Department or to furnish additional bond to the
2Department, when required hereunder by the Department to do so,
3shall be grounds for the revocation or suspension of such
4manufacturer's or importing distributor's license by the
5Commission. If a manufacturer or importing distributor fails to
6pay any amount due under this Article, his bond with the
7Department shall be deemed forfeited, and the Department may
8institute a suit in its own name on such bond.
9    After notice and opportunity for a hearing the State
10Commission may revoke or suspend the license of any
11manufacturer or importing distributor who fails to comply with
12the provisions of this Section. Notice of such hearing and the
13time and place thereof shall be in writing and shall contain a
14statement of the charges against the licensee. Such notice may
15be given by United States registered or certified mail with
16return receipt requested, addressed to the person concerned at
17his last known address and shall be given not less than 7 days
18prior to the date fixed for the hearing. An order revoking or
19suspending a license under the provisions of this Section may
20be reviewed in the manner provided in Section 7-10 of this Act.
21No new license shall be granted to a person whose license has
22been revoked for a violation of this Section or, in case of
23suspension, shall such suspension be terminated until he has
24paid to the Department all taxes and penalties which he owes
25the State under the provisions of this Act.
26    Every manufacturer or importing distributor who has, as

 

 

SB1285- 483 -LRB100 08067 HLH 18153 b

1verified by the Department, continuously complied with the
2conditions of the bond under this Act for a period of 2 years
3shall be considered to be a prior continuous compliance
4taxpayer. In determining the consecutive period of time for
5qualification as a prior continuous compliance taxpayer, any
6consecutive period of time of qualifying compliance
7immediately prior to the effective date of this amendatory Act
8of 1987 shall be credited to any manufacturer or importing
9distributor.
10    A manufacturer or importing distributor that is a prior
11continuous compliance taxpayer under this Section and becomes a
12successor as the result of an acquisition, merger, or
13consolidation of a manufacturer or importing distributor shall
14be deemed to be a prior continuous compliance taxpayer with
15respect to the acquired, merged, or consolidated entity.
16    Every prior continuous compliance taxpayer shall be exempt
17from the bond requirements of this Act until the Department has
18determined the taxpayer to be delinquent in the filing of any
19return or deficient in the payment of any tax under this Act.
20Any taxpayer who fails to pay an admitted or established
21liability under this Act may also be required to post bond or
22other acceptable security with the Department guaranteeing the
23payment of such admitted or established liability.
24    The Department shall discharge any surety and shall release
25and return any bond or security deposit assigned, pledged or
26otherwise provided to it by a taxpayer under this Section

 

 

SB1285- 484 -LRB100 08067 HLH 18153 b

1within 30 days after: (1) such taxpayer becomes a prior
2continuous compliance taxpayer; or (2) such taxpayer has ceased
3to collect receipts on which he is required to remit tax to the
4Department, has filed a final tax return, and has paid to the
5Department an amount sufficient to discharge his remaining tax
6liability as determined by the Department under this Act.
7(Source: P.A. 95-769, eff. 7-29-08.)
 
8    Section 190. The Energy Assistance Act is amended by
9changing Section 13 and by adding Section 19 as follows:
 
10    (305 ILCS 20/13)
11    (Text of Section before amendment by P.A. 99-906)
12    (Section scheduled to be repealed on January 1, 2025)
13    Sec. 13. Supplemental Low-Income Energy Assistance Fund.
14    (a) The Supplemental Low-Income Energy Assistance Fund is
15hereby created as a special fund in the State Treasury. The
16Supplemental Low-Income Energy Assistance Fund is authorized
17to receive moneys from voluntary donations from individuals,
18foundations, corporations, and other sources, moneys received
19pursuant to Section 17, and, by statutory deposit, the moneys
20collected pursuant to this Section. The Fund is also authorized
21to receive voluntary donations from individuals, foundations,
22corporations, and other sources, as well as contributions made
23in accordance with Section 507MM of the Illinois Income Tax
24Act. Subject to appropriation, the Department shall use moneys

 

 

SB1285- 485 -LRB100 08067 HLH 18153 b

1from the Supplemental Low-Income Energy Assistance Fund for
2payments to electric or gas public utilities, municipal
3electric or gas utilities, and electric cooperatives on behalf
4of their customers who are participants in the program
5authorized by Sections 4 and 18 of this Act, for the provision
6of weatherization services and for administration of the
7Supplemental Low-Income Energy Assistance Fund. The yearly
8expenditures for weatherization may not exceed 10% of the
9amount collected during the year pursuant to this Section. The
10yearly administrative expenses of the Supplemental Low-Income
11Energy Assistance Fund may not exceed 10% of the amount
12collected during that year pursuant to this Section, except
13when unspent funds from the Supplemental Low-Income Energy
14Assistance Fund are reallocated from a previous year; any
15unspent balance of the 10% administrative allowance may be
16utilized for administrative expenses in the year they are
17reallocated.
18    (b) Notwithstanding the provisions of Section 16-111 of the
19Public Utilities Act but subject to subsection (k) of this
20Section, each public utility, electric cooperative, as defined
21in Section 3.4 of the Electric Supplier Act, and municipal
22utility, as referenced in Section 3-105 of the Public Utilities
23Act, that is engaged in the delivery of electricity or the
24distribution of natural gas within the State of Illinois shall,
25effective January 1, 1998, assess each of its customer accounts
26a monthly Energy Assistance Charge for the Supplemental

 

 

SB1285- 486 -LRB100 08067 HLH 18153 b

1Low-Income Energy Assistance Fund. The delivering public
2utility, municipal electric or gas utility, or electric or gas
3cooperative for a self-assessing purchaser remains subject to
4the collection of the fee imposed by this Section. The monthly
5charge shall be as follows:
6        (1) $0.48 per month on each account for residential
7    electric service;
8        (2) $0.48 per month on each account for residential gas
9    service;
10        (3) $4.80 per month on each account for non-residential
11    electric service which had less than 10 megawatts of peak
12    demand during the previous calendar year;
13        (4) $4.80 per month on each account for non-residential
14    gas service which had distributed to it less than 4,000,000
15    therms of gas during the previous calendar year;
16        (5) $360 per month on each account for non-residential
17    electric service which had 10 megawatts or greater of peak
18    demand during the previous calendar year; and
19        (6) $360 per month on each account for non-residential
20    gas service which had 4,000,000 or more therms of gas
21    distributed to it during the previous calendar year.
22    The incremental change to such charges imposed by this
23amendatory Act of the 96th General Assembly shall not (i) be
24used for any purpose other than to directly assist customers
25and (ii) be applicable to utilities serving less than 100,000
26customers in Illinois on January 1, 2009.

 

 

SB1285- 487 -LRB100 08067 HLH 18153 b

1    In addition, electric and gas utilities have committed, and
2shall contribute, a one-time payment of $22 million to the
3Fund, within 10 days after the effective date of the tariffs
4established pursuant to Sections 16-111.8 and 19-145 of the
5Public Utilities Act to be used for the Department's cost of
6implementing the programs described in Section 18 of this
7amendatory Act of the 96th General Assembly, the Arrearage
8Reduction Program described in Section 18, and the programs
9described in Section 8-105 of the Public Utilities Act. If a
10utility elects not to file a rider within 90 days after the
11effective date of this amendatory Act of the 96th General
12Assembly, then the contribution from such utility shall be made
13no later than February 1, 2010.
14    (c) For purposes of this Section:
15        (1) "residential electric service" means electric
16    utility service for household purposes delivered to a
17    dwelling of 2 or fewer units which is billed under a
18    residential rate, or electric utility service for
19    household purposes delivered to a dwelling unit or units
20    which is billed under a residential rate and is registered
21    by a separate meter for each dwelling unit;
22        (2) "residential gas service" means gas utility
23    service for household purposes distributed to a dwelling of
24    2 or fewer units which is billed under a residential rate,
25    or gas utility service for household purposes distributed
26    to a dwelling unit or units which is billed under a

 

 

SB1285- 488 -LRB100 08067 HLH 18153 b

1    residential rate and is registered by a separate meter for
2    each dwelling unit;
3        (3) "non-residential electric service" means electric
4    utility service which is not residential electric service;
5    and
6        (4) "non-residential gas service" means gas utility
7    service which is not residential gas service.
8    (d) Within 30 days after the effective date of this
9amendatory Act of the 96th General Assembly, each public
10utility engaged in the delivery of electricity or the
11distribution of natural gas shall file with the Illinois
12Commerce Commission tariffs incorporating the Energy
13Assistance Charge in other charges stated in such tariffs,
14which shall become effective no later than the beginning of the
15first billing cycle following such filing.
16    (e) The Energy Assistance Charge assessed by electric and
17gas public utilities shall be considered a charge for public
18utility service.
19    (f) By the 20th day of the month following the month in
20which the charges imposed by the Section were collected, each
21public utility, municipal utility, and electric cooperative
22shall remit to the Department of Revenue all moneys received as
23payment of the Energy Assistance Charge on a return prescribed
24and furnished by the Department of Revenue showing such
25information as the Department of Revenue may reasonably
26require; provided, however, that a utility offering an

 

 

SB1285- 489 -LRB100 08067 HLH 18153 b

1Arrearage Reduction Program pursuant to Section 18 of this Act
2shall be entitled to net those amounts necessary to fund and
3recover the costs of such Program as authorized by that Section
4that is no more than the incremental change in such Energy
5Assistance Charge authorized by this amendatory Act of the 96th
6General Assembly. If a customer makes a partial payment, a
7public utility, municipal utility, or electric cooperative may
8elect either: (i) to apply such partial payments first to
9amounts owed to the utility or cooperative for its services and
10then to payment for the Energy Assistance Charge or (ii) to
11apply such partial payments on a pro-rata basis between amounts
12owed to the utility or cooperative for its services and to
13payment for the Energy Assistance Charge.
14    If any payment provided for in this Section exceeds the
15public utility, municipal utility, or electric cooperative's
16liabilities under this Act, as shown on an original return, the
17public utility, municipal utility, or electric cooperative may
18credit the excess payment against liability subsequently to be
19remitted to the Department of Revenue under this Act.
20    (g) The Department of Revenue shall deposit into the
21Supplemental Low-Income Energy Assistance Fund all moneys
22remitted to it in accordance with subsection (f) of this
23Section; provided, however, that the amounts remitted by each
24utility shall be used to provide assistance to that utility's
25customers. The utilities shall coordinate with the Department
26to establish an equitable and practical methodology for

 

 

SB1285- 490 -LRB100 08067 HLH 18153 b

1implementing this subsection (g) beginning with the 2010
2program year.
3    (h) On or before December 31, 2002, the Department shall
4prepare a report for the General Assembly on the expenditure of
5funds appropriated from the Low-Income Energy Assistance Block
6Grant Fund for the program authorized under Section 4 of this
7Act.
8    (i) The Department of Revenue may establish such rules as
9it deems necessary to implement this Section.
10    (j) The Department of Commerce and Economic Opportunity may
11establish such rules as it deems necessary to implement this
12Section.
13    (k) The charges imposed by this Section shall only apply to
14customers of municipal electric or gas utilities and electric
15or gas cooperatives if the municipal electric or gas utility or
16electric or gas cooperative makes an affirmative decision to
17impose the charge. If a municipal electric or gas utility or an
18electric cooperative makes an affirmative decision to impose
19the charge provided by this Section, the municipal electric or
20gas utility or electric cooperative shall inform the Department
21of Revenue in writing of such decision when it begins to impose
22the charge. If a municipal electric or gas utility or electric
23or gas cooperative does not assess this charge, the Department
24may not use funds from the Supplemental Low-Income Energy
25Assistance Fund to provide benefits to its customers under the
26program authorized by Section 4 of this Act.

 

 

SB1285- 491 -LRB100 08067 HLH 18153 b

1    In its use of federal funds under this Act, the Department
2may not cause a disproportionate share of those federal funds
3to benefit customers of systems which do not assess the charge
4provided by this Section.
5    This Section is repealed effective December 31, 2018 unless
6renewed by action of the General Assembly. The General Assembly
7shall consider the results of the evaluations described in
8Section 8 in its deliberations.
9(Source: P.A. 98-429, eff. 8-16-13; 99-457, eff. 1-1-16.)
 
10    (Text of Section after amendment by P.A. 99-906)
11    (Section scheduled to be repealed on January 1, 2025)
12    Sec. 13. Supplemental Low-Income Energy Assistance Fund.
13    (a) The Supplemental Low-Income Energy Assistance Fund is
14hereby created as a special fund in the State Treasury. The
15Supplemental Low-Income Energy Assistance Fund is authorized
16to receive moneys from voluntary donations from individuals,
17foundations, corporations, and other sources, moneys received
18pursuant to Section 17, and, by statutory deposit, the moneys
19collected pursuant to this Section. The Fund is also authorized
20to receive voluntary donations from individuals, foundations,
21corporations, and other sources, as well as contributions made
22in accordance with Section 507MM of the Illinois Income Tax
23Act. Subject to appropriation, the Department shall use moneys
24from the Supplemental Low-Income Energy Assistance Fund for
25payments to electric or gas public utilities, municipal

 

 

SB1285- 492 -LRB100 08067 HLH 18153 b

1electric or gas utilities, and electric cooperatives on behalf
2of their customers who are participants in the program
3authorized by Sections 4 and 18 of this Act, for the provision
4of weatherization services and for administration of the
5Supplemental Low-Income Energy Assistance Fund. The yearly
6expenditures for weatherization may not exceed 10% of the
7amount collected during the year pursuant to this Section. The
8yearly administrative expenses of the Supplemental Low-Income
9Energy Assistance Fund may not exceed 10% of the amount
10collected during that year pursuant to this Section, except
11when unspent funds from the Supplemental Low-Income Energy
12Assistance Fund are reallocated from a previous year; any
13unspent balance of the 10% administrative allowance may be
14utilized for administrative expenses in the year they are
15reallocated.
16    (b) Notwithstanding the provisions of Section 16-111 of the
17Public Utilities Act but subject to subsection (k) of this
18Section, each public utility, electric cooperative, as defined
19in Section 3.4 of the Electric Supplier Act, and municipal
20utility, as referenced in Section 3-105 of the Public Utilities
21Act, that is engaged in the delivery of electricity or the
22distribution of natural gas within the State of Illinois shall,
23effective January 1, 1998, assess each of its customer accounts
24a monthly Energy Assistance Charge for the Supplemental
25Low-Income Energy Assistance Fund. The delivering public
26utility, municipal electric or gas utility, or electric or gas

 

 

SB1285- 493 -LRB100 08067 HLH 18153 b

1cooperative for a self-assessing purchaser remains subject to
2the collection of the fee imposed by this Section. The monthly
3charge shall be as follows:
4        (1) $0.48 per month on each account for residential
5    electric service;
6        (2) $0.48 per month on each account for residential gas
7    service;
8        (3) $4.80 per month on each account for non-residential
9    electric service which had less than 10 megawatts of peak
10    demand during the previous calendar year;
11        (4) $4.80 per month on each account for non-residential
12    gas service which had distributed to it less than 4,000,000
13    therms of gas during the previous calendar year;
14        (5) $360 per month on each account for non-residential
15    electric service which had 10 megawatts or greater of peak
16    demand during the previous calendar year; and
17        (6) $360 per month on each account for non-residential
18    gas service which had 4,000,000 or more therms of gas
19    distributed to it during the previous calendar year.
20    The incremental change to such charges imposed by this
21amendatory Act of the 96th General Assembly shall not (i) be
22used for any purpose other than to directly assist customers
23and (ii) be applicable to utilities serving less than 100,000
24customers in Illinois on January 1, 2009.
25    In addition, electric and gas utilities have committed, and
26shall contribute, a one-time payment of $22 million to the

 

 

SB1285- 494 -LRB100 08067 HLH 18153 b

1Fund, within 10 days after the effective date of the tariffs
2established pursuant to Sections 16-111.8 and 19-145 of the
3Public Utilities Act to be used for the Department's cost of
4implementing the programs described in Section 18 of this
5amendatory Act of the 96th General Assembly, the Arrearage
6Reduction Program described in Section 18, and the programs
7described in Section 8-105 of the Public Utilities Act. If a
8utility elects not to file a rider within 90 days after the
9effective date of this amendatory Act of the 96th General
10Assembly, then the contribution from such utility shall be made
11no later than February 1, 2010.
12    (c) For purposes of this Section:
13        (1) "residential electric service" means electric
14    utility service for household purposes delivered to a
15    dwelling of 2 or fewer units which is billed under a
16    residential rate, or electric utility service for
17    household purposes delivered to a dwelling unit or units
18    which is billed under a residential rate and is registered
19    by a separate meter for each dwelling unit;
20        (2) "residential gas service" means gas utility
21    service for household purposes distributed to a dwelling of
22    2 or fewer units which is billed under a residential rate,
23    or gas utility service for household purposes distributed
24    to a dwelling unit or units which is billed under a
25    residential rate and is registered by a separate meter for
26    each dwelling unit;

 

 

SB1285- 495 -LRB100 08067 HLH 18153 b

1        (3) "non-residential electric service" means electric
2    utility service which is not residential electric service;
3    and
4        (4) "non-residential gas service" means gas utility
5    service which is not residential gas service.
6    (d) Within 30 days after the effective date of this
7amendatory Act of the 96th General Assembly, each public
8utility engaged in the delivery of electricity or the
9distribution of natural gas shall file with the Illinois
10Commerce Commission tariffs incorporating the Energy
11Assistance Charge in other charges stated in such tariffs,
12which shall become effective no later than the beginning of the
13first billing cycle following such filing.
14    (e) The Energy Assistance Charge assessed by electric and
15gas public utilities shall be considered a charge for public
16utility service.
17    (f) By the 20th day of the month following the month in
18which the charges imposed by the Section were collected, each
19public utility, municipal utility, and electric cooperative
20shall remit to the Department of Revenue all moneys received as
21payment of the Energy Assistance Charge on a return prescribed
22and furnished by the Department of Revenue showing such
23information as the Department of Revenue may reasonably
24require; provided, however, that a utility offering an
25Arrearage Reduction Program or Supplemental Arrearage
26Reduction Program pursuant to Section 18 of this Act shall be

 

 

SB1285- 496 -LRB100 08067 HLH 18153 b

1entitled to net those amounts necessary to fund and recover the
2costs of such Programs as authorized by that Section that is no
3more than the incremental change in such Energy Assistance
4Charge authorized by Public Act 96-33. If a customer makes a
5partial payment, a public utility, municipal utility, or
6electric cooperative may elect either: (i) to apply such
7partial payments first to amounts owed to the utility or
8cooperative for its services and then to payment for the Energy
9Assistance Charge or (ii) to apply such partial payments on a
10pro-rata basis between amounts owed to the utility or
11cooperative for its services and to payment for the Energy
12Assistance Charge.
13    If any payment provided for in this Section exceeds the
14public utility, municipal utility, or electric cooperative's
15liabilities under this Act, as shown on an original return, the
16public utility, municipal utility, or electric cooperative may
17credit the excess payment against liability subsequently to be
18remitted to the Department of Revenue under this Act.
19    (g) The Department of Revenue shall deposit into the
20Supplemental Low-Income Energy Assistance Fund all moneys
21remitted to it in accordance with subsection (f) of this
22Section; provided, however, that the amounts remitted by each
23utility shall be used to provide assistance to that utility's
24customers. The utilities shall coordinate with the Department
25to establish an equitable and practical methodology for
26implementing this subsection (g) beginning with the 2010

 

 

SB1285- 497 -LRB100 08067 HLH 18153 b

1program year.
2    (h) On or before December 31, 2002, the Department shall
3prepare a report for the General Assembly on the expenditure of
4funds appropriated from the Low-Income Energy Assistance Block
5Grant Fund for the program authorized under Section 4 of this
6Act.
7    (i) The Department of Revenue may establish such rules as
8it deems necessary to implement this Section.
9    (j) The Department of Commerce and Economic Opportunity may
10establish such rules as it deems necessary to implement this
11Section.
12    (k) The charges imposed by this Section shall only apply to
13customers of municipal electric or gas utilities and electric
14or gas cooperatives if the municipal electric or gas utility or
15electric or gas cooperative makes an affirmative decision to
16impose the charge. If a municipal electric or gas utility or an
17electric cooperative makes an affirmative decision to impose
18the charge provided by this Section, the municipal electric or
19gas utility or electric cooperative shall inform the Department
20of Revenue in writing of such decision when it begins to impose
21the charge. If a municipal electric or gas utility or electric
22or gas cooperative does not assess this charge, the Department
23may not use funds from the Supplemental Low-Income Energy
24Assistance Fund to provide benefits to its customers under the
25program authorized by Section 4 of this Act.
26    In its use of federal funds under this Act, the Department

 

 

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1may not cause a disproportionate share of those federal funds
2to benefit customers of systems which do not assess the charge
3provided by this Section.
4    This Section is repealed on January 1, 2025 unless renewed
5by action of the General Assembly.
6(Source: P.A. 98-429, eff. 8-16-13; 99-457, eff. 1-1-16;
799-906, eff. 6-1-17.)
 
8    (305 ILCS 20/19 new)
9    Sec. 19. Application of Retailers' Occupation Tax
10provisions. All the provisions of Sections 3, 4, 5, 5a, 5b, 5c,
115d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b, 6c, 7, 8, 9, 10, and 13 of
12the Retailers' Occupation Tax Act that are not inconsistent
13with this Act apply, as far as practicable, to the surcharge
14imposed by this Act to the same extent as if those provisions
15were included in this Act. References in the incorporated
16Sections of the Retailers' Occupation Tax Act to retailers, to
17sellers, or to persons engaged in the business of selling
18tangible personal property mean persons required to remit the
19charge imposed under this Act.
 
20    Section 195. The Environmental Protection Act is amended by
21changing Section 55.10 as follows:
 
22    (415 ILCS 5/55.10)  (from Ch. 111 1/2, par. 1055.10)
23    Sec. 55.10. Tax returns by retailer.

 

 

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1    (a) Except as otherwise provided in this Section, for
2returns due on or before January 31, 2010, each retailer of
3tires maintaining a place of business in this State shall make
4a return to the Department of Revenue on a quarter annual
5basis, with the return for January, February and March of a
6given year being due by April 30 of that year; with the return
7for April, May and June of a given year being due by July 31 of
8that year; with the return for July, August and September of a
9given year being due by October 31 of that year; and with the
10return for October, November and December of a given year being
11due by January 31 of the following year.
12    For returns due after January 31, 2010, each retailer of
13tires maintaining a place of business in this State shall make
14a return to the Department of Revenue on a quarter annual
15basis, with the return for January, February, and March of a
16given year being due by April 20 of that year; with the return
17for April, May, and June of a given year being due by July 20 of
18that year; with the return for July, August, and September of a
19given year being due by October 20 of that year; and with the
20return for October, November, and December of a given year
21being due by January 20 of the following year.
22    Notwithstanding any other provision of this Section to the
23contrary, the return for October, November, and December of
242009 is due by February 20, 2010.
25    (b) Each return made to the Department of Revenue shall
26state:

 

 

SB1285- 500 -LRB100 08067 HLH 18153 b

1        (1) the name of the retailer;
2        (2) the address of the retailer's principal place of
3    business, and the address of the principal place of
4    business (if that is a different address) from which the
5    retailer engages in the business of making retail sales of
6    tires;
7        (3) total number of tires sold at retail for the
8    preceding calendar quarter;
9        (4) the amount of tax due; and
10        (5) such other reasonable information as the
11    Department of Revenue may require.
12    If any payment provided for in this Section exceeds the
13retailer's liabilities under this Act, as shown on an original
14return, the retailer may credit such excess payment against
15liability subsequently to be remitted to the Department under
16this Act, in accordance with reasonable rules adopted by the
17Department. If the Department subsequently determines that all
18or any part of the credit taken was not actually due to the
19retailer, the retailer's discount shall be reduced by the
20monetary amount of the discount applicable to the difference
21between the credit taken and that actually due, and the
22retailer shall be liable for penalties and interest on such
23difference.
24    Notwithstanding any other provision of this Act concerning
25the time within which a retailer may file his return, in the
26case of any retailer who ceases to engage in the retail sale of

 

 

SB1285- 501 -LRB100 08067 HLH 18153 b

1tires, the retailer shall file a final return under this Act
2with the Department of Revenue not more than one month after
3discontinuing that business.
4(Source: P.A. 96-520, eff. 8-14-09.)
 
5    Section 200. The Environmental Impact Fee Law is amended by
6changing Section 315 as follows:
 
7    (415 ILCS 125/315)
8    (Section scheduled to be repealed on January 1, 2025)
9    Sec. 315. Fee on receivers of fuel for sale or use;
10collection and reporting. A person that is required to pay the
11fee imposed by this Law shall pay the fee to the Department by
12return showing all fuel purchased, acquired, or received and
13sold, distributed or used during the preceding calendar month,
14including losses of fuel as the result of evaporation or
15shrinkage due to temperature variations, and such other
16reasonable information as the Department may require. Losses of
17fuel as the result of evaporation or shrinkage due to
18temperature variations may not exceed 1% of the total gallons
19in storage at the beginning of the month, plus the receipts of
20gallonage during the month, minus the gallonage remaining in
21storage at the end of the month. Any loss reported that is in
22excess of this amount shall be subject to the fee imposed by
23Section 310 of this Law. On and after July 1, 2001, for each
246-month period January through June, net losses of fuel (for

 

 

SB1285- 502 -LRB100 08067 HLH 18153 b

1each category of fuel that is required to be reported on a
2return) as the result of evaporation or shrinkage due to
3temperature variations may not exceed 1% of the total gallons
4in storage at the beginning of each January, plus the receipts
5of gallonage each January through June, minus the gallonage
6remaining in storage at the end of each June. On and after July
71, 2001, for each 6-month period July through December, net
8losses of fuel (for each category of fuel that is required to
9be reported on a return) as the result of evaporation or
10shrinkage due to temperature variations may not exceed 1% of
11the total gallons in storage at the beginning of each July,
12plus the receipts of gallonage each July through December,
13minus the gallonage remaining in storage at the end of each
14December. Any net loss reported that is in excess of this
15amount shall be subject to the fee imposed by Section 310 of
16this Law. For purposes of this Section, "net loss" means the
17number of gallons gained through temperature variations minus
18the number of gallons lost through temperature variations or
19evaporation for each of the respective 6-month periods.
20    The return shall be prescribed by the Department and shall
21be filed between the 1st and 20th days of each calendar month.
22The Department may, in its discretion, combine the return filed
23under this Law with the return filed under Section 2b of the
24Motor Fuel Tax Law. If the return is timely filed, the receiver
25may take a discount of 2% through June 30, 2003 and 1.75%
26thereafter to reimburse himself for the expenses incurred in

 

 

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1keeping records, preparing and filing returns, collecting and
2remitting the fee, and supplying data to the Department on
3request. However, the discount applies only to the amount of
4the fee payment that accompanies a return that is timely filed
5in accordance with this Section.
6    If any payment provided for in this Section exceeds the
7receiver's liabilities under this Act, as shown on an original
8return, the Department may authorize the receiver to credit
9such excess payment against liability subsequently to be
10remitted to the Department under this Act, in accordance with
11reasonable rules adopted by the Department. If the Department
12subsequently determines that all or any part of the credit
13taken was not actually due to the receiver, the receiver's
14discount shall be reduced by an amount equal to the difference
15between the discount as applied to the credit taken and that
16actually due, and that receiver shall be liable for penalties
17and interest on such difference.
18(Source: P.A. 92-30, eff. 7-1-01; 93-32, eff. 6-20-03.)
 
19    Section 205. The Drycleaner Environmental Response Trust
20Fund Act is amended by changing Section 65 as follows:
 
21    (415 ILCS 135/65)
22    (Section scheduled to be repealed on January 1, 2020)
23    Sec. 65. Drycleaning solvent tax.
24    (a) On and after January 1, 1998, a tax is imposed upon the

 

 

SB1285- 504 -LRB100 08067 HLH 18153 b

1use of drycleaning solvent by a person engaged in the business
2of operating a drycleaning facility in this State at the rate
3of $3.50 per gallon of perchloroethylene or other chlorinated
4drycleaning solvents used in drycleaning operations, $0.35 per
5gallon of petroleum-based drycleaning solvent, and $1.75 per
6gallon of green solvents, unless the green solvent is used at a
7virgin facility, in which case the rate is $0.35 per gallon.
8The Council shall determine by rule which products are
9chlorine-based solvents, which products are petroleum-based
10solvents, and which products are green solvents. All
11drycleaning solvents shall be considered chlorinated solvents
12unless the Council determines that the solvents are
13petroleum-based drycleaning solvents or green solvents.
14    (b) The tax imposed by this Act shall be collected from the
15purchaser at the time of sale by a seller of drycleaning
16solvents maintaining a place of business in this State and
17shall be remitted to the Department of Revenue under the
18provisions of this Act.
19    (c) The tax imposed by this Act that is not collected by a
20seller of drycleaning solvents shall be paid directly to the
21Department of Revenue by the purchaser or end user who is
22subject to the tax imposed by this Act.
23    (d) No tax shall be imposed upon the use of drycleaning
24solvent if the drycleaning solvent will not be used in a
25drycleaning facility or if a floor stock tax has been imposed
26and paid on the drycleaning solvent. Prior to the purchase of

 

 

SB1285- 505 -LRB100 08067 HLH 18153 b

1the solvent, the purchaser shall provide a written and signed
2certificate to the drycleaning solvent seller stating:
3        (1) the name and address of the purchaser;
4        (2) the purchaser's signature and date of signing; and
5        (3) one of the following:
6            (A) that the drycleaning solvent will not be used
7        in a drycleaning facility; or
8            (B) that a floor stock tax has been imposed and
9        paid on the drycleaning solvent.
10    (e) On January 1, 1998, there is imposed on each operator
11of a drycleaning facility a tax on drycleaning solvent held by
12the operator on that date for use in a drycleaning facility.
13The tax imposed shall be the tax that would have been imposed
14under subsection (a) if the drycleaning solvent held by the
15operator on that date had been purchased by the operator during
16the first year of this Act.
17    (f) On or before the 25th day of the 1st month following
18the end of the calendar quarter, a seller of drycleaning
19solvents who has collected a tax pursuant to this Section
20during the previous calendar quarter, or a purchaser or end
21user of drycleaning solvents required under subsection (c) to
22submit the tax directly to the Department, shall file a return
23with the Department of Revenue. The return shall be filed on a
24form prescribed by the Department of Revenue and shall contain
25information that the Department of Revenue reasonably
26requires, but at a minimum will require the reporting of the

 

 

SB1285- 506 -LRB100 08067 HLH 18153 b

1volume of drycleaning solvent sold to each licensed drycleaner.
2The Department of Revenue shall report quarterly to the Council
3the volume of drycleaning solvent purchased for the quarter by
4each licensed drycleaner. Each seller of drycleaning solvent
5maintaining a place of business in this State who is required
6or authorized to collect the tax imposed by this Act shall pay
7to the Department the amount of the tax at the time when he or
8she is required to file his or her return for the period during
9which the tax was collected. Purchasers or end users remitting
10the tax directly to the Department under subsection (c) shall
11file a return with the Department of Revenue and pay the tax so
12incurred by the purchaser or end user during the preceding
13calendar quarter.
14    Except as provided in this Section, the seller of
15drycleaning solvents filing the return under this Section
16shall, at the time of filing the return, pay to the Department
17the amount of tax imposed by this Act less a discount of 1.75%,
18or $5 per calendar year, whichever is greater. Failure to
19timely file the returns and provide to the Department the data
20requested under this Act will result in disallowance of the
21reimbursement discount.
22    (g) The tax on drycleaning solvents used in drycleaning
23facilities and the floor stock tax shall be administered by
24Department of Revenue under rules adopted by that Department.
25    (h) On and after January 1, 1998, no person shall knowingly
26sell or transfer drycleaning solvent to an operator of a

 

 

SB1285- 507 -LRB100 08067 HLH 18153 b

1drycleaning facility that is not licensed by the Council under
2Section 60.
3    (i) The Department of Revenue may adopt rules as necessary
4to implement this Section.
5    (j) If any payment provided for in this Section exceeds the
6seller's liabilities under this Act, as shown on an original
7return, the seller may credit such excess payment against
8liability subsequently to be remitted to the Department under
9this Act, in accordance with reasonable rules adopted by the
10Department. If the Department subsequently determines that all
11or any part of the credit taken was not actually due to the
12seller, the seller's discount shall be reduced by an amount
13equal to the difference between the discount as applied to the
14credit taken and that actually due, and the seller shall be
15liable for penalties and interest on such difference.
16(Source: P.A. 96-774, eff. 1-1-10.)
 
17    Section 995. No acceleration or delay. Where this Act makes
18changes in a statute that is represented in this Act by text
19that is not yet or no longer in effect (for example, a Section
20represented by multiple versions), the use of that text does
21not accelerate or delay the taking effect of (i) the changes
22made by this Act or (ii) provisions derived from any other
23Public Act.
 
24    Section 999. Effective date. This Act takes effect upon
25becoming law.

 

 

SB1285- 508 -LRB100 08067 HLH 18153 b

1 INDEX
2 Statutes amended in order of appearance
3    20 ILCS 687/6-5
4    20 ILCS 687/6-8 new
5    20 ILCS 715/10
6    20 ILCS 2505/2505-210was 20 ILCS 2505/39c-1
7    30 ILCS 105/6z-18from Ch. 127, par. 142z-18
8    35 ILCS 5/901from Ch. 120, par. 9-901
9    35 ILCS 105/3-5
10    35 ILCS 105/3-5.5
11    35 ILCS 105/9from Ch. 120, par. 439.9
12    35 ILCS 110/3-5.5
13    35 ILCS 110/9from Ch. 120, par. 439.39
14    35 ILCS 115/3-5.5
15    35 ILCS 115/9from Ch. 120, par. 439.109
16    35 ILCS 120/2-5.5
17    35 ILCS 120/3from Ch. 120, par. 442
18    35 ILCS 120/5jfrom Ch. 120, par. 444j
19    35 ILCS 128/1-40
20    35 ILCS 130/2from Ch. 120, par. 453.2
21    35 ILCS 135/3from Ch. 120, par. 453.33
22    35 ILCS 143/10-30
23    35 ILCS 145/6from Ch. 120, par. 481b.36
24    35 ILCS 175/10
25    35 ILCS 200/8-35

 

 

SB1285- 509 -LRB100 08067 HLH 18153 b

1    35 ILCS 200/17-20
2    35 ILCS 200/17-40
3    35 ILCS 450/2-45
4    35 ILCS 450/2-50
5    35 ILCS 505/2bfrom Ch. 120, par. 418b
6    35 ILCS 505/5from Ch. 120, par. 421
7    35 ILCS 505/5afrom Ch. 120, par. 421a
8    35 ILCS 505/13from Ch. 120, par. 429
9    35 ILCS 615/2a.2from Ch. 120, par. 467.17a.2
10    35 ILCS 615/3from Ch. 120, par. 467.18
11    35 ILCS 620/2a.2from Ch. 120, par. 469a.2
12    35 ILCS 630/6from Ch. 120, par. 2006
13    35 ILCS 636/5-50
14    35 ILCS 640/2-9
15    35 ILCS 640/2-11
16    50 ILCS 470/31
17    55 ILCS 5/5-1006from Ch. 34, par. 5-1006
18    55 ILCS 5/5-1006.5
19    55 ILCS 5/5-1006.7
20    55 ILCS 5/5-1007from Ch. 34, par. 5-1007
21    55 ILCS 5/5-1008.5
22    65 ILCS 5/8-11-1from Ch. 24, par. 8-11-1
23    65 ILCS 5/8-11-1.3from Ch. 24, par. 8-11-1.3
24    65 ILCS 5/8-11-1.4from Ch. 24, par. 8-11-1.4
25    65 ILCS 5/8-11-1.6
26    65 ILCS 5/8-11-1.7

 

 

SB1285- 510 -LRB100 08067 HLH 18153 b

1    65 ILCS 5/8-11-5from Ch. 24, par. 8-11-5
2    65 ILCS 5/8-11-6b
3    65 ILCS 5/11-74.3-6
4    70 ILCS 210/13from Ch. 85, par. 1233
5    70 ILCS 750/25
6    70 ILCS 1605/30
7    70 ILCS 3610/5.01from Ch. 111 2/3, par. 355.01
8    70 ILCS 3615/4.03from Ch. 111 2/3, par. 704.03
9    70 ILCS 3720/4from Ch. 111 2/3, par. 254
10    230 ILCS 15/2from Ch. 85, par. 2302
11    230 ILCS 20/5from Ch. 120, par. 1055
12    230 ILCS 25/3from Ch. 120, par. 1103
13    230 ILCS 30/9from Ch. 120, par. 1129
14    235 ILCS 5/8-2from Ch. 43, par. 159
15    305 ILCS 20/13
16    305 ILCS 20/19 new
17    415 ILCS 5/55.10from Ch. 111 1/2, par. 1055.10
18    415 ILCS 125/315
19    415 ILCS 135/65