SB0119 EnrolledLRB101 06854 HLH 51885 b

1    AN ACT concerning revenue.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4
ARTICLE 5. SECOND FY2020 BUDGET IMPLEMENTATION ACT

 
5    Section 5-1. Short title. This Article may be cited as the
6Second FY2020 Budget Implementation Act.
 
7    Section 5-5. Purpose. It is the purpose of this Article to
8make additional changes in State programs that are necessary to
9implement the State operating and capital budgets for State
10fiscal year 2020.
 
11    Section 5-10. The Department of Commerce and Economic
12Opportunity Law of the Civil Administrative Code of Illinois is
13amended by renumbering and changing Section 605-1025 as added
14by Public Act 101-10 as follows:
 
15    (20 ILCS 605/605-1030)
16    Sec. 605-1030 605-1025. Human Services Capital Investment
17Grant Program.
18    (a) The Department of Commerce and Economic Opportunity, in
19coordination with the Department of Human Services, shall
20establish a Human Services Capital Investment Grant Program.

 

 

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1The Department shall, subject to appropriation, make capital
2improvement grants to human services providers serving
3low-income or marginalized populations. The Build Illinois
4Bond Fund and the Rebuild Illinois Projects Fund shall be the
5sources source of funding for the program. Eligible grant
6recipients shall be human services providers that offer
7facilities and services in a manner that supports and fulfills
8the mission of Department of Human Services. Eligible grant
9recipients include, but are not limited to, domestic violence
10shelters, rape crisis centers, comprehensive youth services,
11teen REACH providers, supportive housing providers,
12developmental disability community providers, behavioral
13health providers, and other community-based providers.
14Eligible grant recipients have no entitlement to a grant under
15this Section.
16    (b) The Department, in consultation with the Department of
17Human Services, shall adopt rules to implement this Section and
18shall create a competitive application procedure for grants to
19be awarded. The rules shall specify the manner of applying for
20grants; grantee eligibility requirements; project eligibility
21requirements; restrictions on the use of grant moneys; the
22manner in which grantees must account for the use of grant
23moneys; and any other provision that the Department of Commerce
24and Economic Opportunity or Department of Human Services
25determine to be necessary or useful for the administration of
26this Section. Rules may include a requirement for grantees to

 

 

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1provide local matching funds in an amount equal to a specific
2percentage of the grant.
3    (c) The Department of Human Services shall establish
4standards for determining the priorities concerning the
5necessity for capital facilities for the provision of human
6services based on data available to the Department.
7    (d) No portion of a human services capital investment grant
8awarded under this Section may be used by a grantee to pay for
9any on-going operational costs or outstanding debt.
10(Source: P.A. 101-10, eff. 6-5-19; revised 10-18-19.)
 
11    Section 5-15. The Capital Development Board Act is amended
12by changing Section 20 as follows:
 
13    (20 ILCS 3105/20)
14    Sec. 20. Hospital and Healthcare Transformation Capital
15Investment Grant Program.
16    (a) The Capital Development Board, in coordination with the
17Department of Healthcare and Family Services, shall establish a
18Hospital and Healthcare Transformation Capital Investment
19Grant Program. The Board shall, subject to appropriation, make
20capital improvement grants to Illinois hospitals licensed
21under the Hospital Licensing Act and other qualified healthcare
22providers serving the people of Illinois. The Build Illinois
23Bond Fund and the Capital Development Fund shall be the sources
24source of funding for the program. Eligible grant recipients

 

 

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1shall be hospitals and other healthcare providers that offer
2facilities and services in a manner that supports and fulfills
3the mission of the Department of Healthcare and Family
4Services. Eligible grant recipients have no entitlement to a
5grant under this Section.
6    (b) The Capital Development Board, in consultation with the
7Department of Healthcare and Family Services shall adopt rules
8to implement this Section and shall create a competitive
9application procedure for grants to be awarded. The rules shall
10specify: the manner of applying for grants; grantee eligibility
11requirements; project eligibility requirements; restrictions
12on the use of grant moneys; the manner in grantees must account
13for the use of grant moneys; and any other provision that the
14Capital Development Board or Department of Healthcare and
15Family Services determine to be necessary or useful for the
16administration of this Section. Rules may include a requirement
17for grantees to provide local matching funds in an amount equal
18to a certain percentage of the grant.
19    (c) The Department of Healthcare and Family Services shall
20establish standards for the determination of priority needs
21concerning health care transformation based on projects
22located in communities in the State with the greatest
23utilization of Medicaid services or underserved communities,
24including, but not limited to Safety Net Hospitals and Critical
25Access Hospitals, utilizing data available to the Department.
26    (d) Nothing in this Section shall exempt nor relieve any

 

 

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1healthcare provider receiving a grant under this Section from
2any requirement of the Illinois Health Facilities Planning Act.
3    (e) No portion of a healthcare transformation capital
4investment program grant awarded under this Section may be used
5by a hospital or other healthcare provider to pay for any
6on-going operational costs, pay outstanding debt, or be
7allocated to an endowment or other invested fund.
8(Source: P.A. 101-10, eff. 6-5-19; revised 7-16-19.)
 
9    Section 5-20. The State Finance Act is amended by changing
10Section 6z-78 as follows:
 
11    (30 ILCS 105/6z-78)
12    Sec. 6z-78. Capital Projects Fund; bonded indebtedness;
13transfers. Money in the Capital Projects Fund shall, if and
14when the State of Illinois incurs any bonded indebtedness using
15the bond authorizations for capital projects enacted in Public
16Act 96-36, Public Act 96-1554, Public Act 97-771, Public Act
1798-94, and using the general obligation bond authorizations for
18capital projects enacted in Public Act 101-30 and this
19amendatory Act of the 101st General Assembly, be set aside and
20used for the purpose of paying and discharging annually the
21principal and interest on that bonded indebtedness then due and
22payable.
23    In addition to other transfers to the General Obligation
24Bond Retirement and Interest Fund made pursuant to Section 15

 

 

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1of the General Obligation Bond Act, upon each delivery of
2general obligation bonds for capital projects using bond
3authorizations enacted in Public Act 96-36, Public Act 96-1554,
4Public Act 97-771, Public Act 98-94, and Public Act 101-30 this
5amendatory Act of the 101st General Assembly (except for
6amounts in Public Act 101-30 this amendatory Act of the 101st
7General Assembly that increase bond authorization under
8paragraph (1) of subsection (a) of Section 4 and subsection (e)
9of Section 4 of the General Obligation Bond Act), the State
10Comptroller shall compute and certify to the State Treasurer
11the total amount of principal of, interest on, and premium, if
12any, on such bonds during the then current and each succeeding
13fiscal year. With respect to the interest payable on variable
14rate bonds, such certifications shall be calculated at the
15maximum rate of interest that may be payable during the fiscal
16year, after taking into account any credits permitted in the
17related indenture or other instrument against the amount of
18such interest required to be appropriated for the period.
19    (a) Except as provided for in subsection (b), on or before
20the last day of each month, the State Treasurer and State
21Comptroller shall transfer from the Capital Projects Fund to
22the General Obligation Bond Retirement and Interest Fund an
23amount sufficient to pay the aggregate of the principal of,
24interest on, and premium, if any, on the bonds payable on their
25next payment date, divided by the number of monthly transfers
26occurring between the last previous payment date (or the

 

 

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1delivery date if no payment date has yet occurred) and the next
2succeeding payment date. Interest payable on variable rate
3bonds shall be calculated at the maximum rate of interest that
4may be payable for the relevant period, after taking into
5account any credits permitted in the related indenture or other
6instrument against the amount of such interest required to be
7appropriated for that period. Interest for which moneys have
8already been deposited into the capitalized interest account
9within the General Obligation Bond Retirement and Interest Fund
10shall not be included in the calculation of the amounts to be
11transferred under this subsection.
12    (b) On or before the last day of each month, the State
13Treasurer and State Comptroller shall transfer from the Capital
14Projects Fund to the General Obligation Bond Retirement and
15Interest Fund an amount sufficient to pay the aggregate of the
16principal of, interest on, and premium, if any, on the bonds
17issued prior to January 1, 2012 pursuant to Section 4(d) of the
18General Obligation Bond Act payable on their next payment date,
19divided by the number of monthly transfers occurring between
20the last previous payment date (or the delivery date if no
21payment date has yet occurred) and the next succeeding payment
22date. If the available balance in the Capital Projects Fund is
23not sufficient for the transfer required in this subsection,
24the State Treasurer and State Comptroller shall transfer the
25difference from the Road Fund to the General Obligation Bond
26Retirement and Interest Fund; except that such Road Fund

 

 

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1transfers shall constitute a debt of the Capital Projects Fund
2which shall be repaid according to subsection (c). Interest
3payable on variable rate bonds shall be calculated at the
4maximum rate of interest that may be payable for the relevant
5period, after taking into account any credits permitted in the
6related indenture or other instrument against the amount of
7such interest required to be appropriated for that period.
8Interest for which moneys have already been deposited into the
9capitalized interest account within the General Obligation
10Bond Retirement and Interest Fund shall not be included in the
11calculation of the amounts to be transferred under this
12subsection.
13    (c) On the first day of any month when the Capital Projects
14Fund is carrying a debt to the Road Fund due to the provisions
15of subsection (b), the State Treasurer and State Comptroller
16shall transfer from the Capital Projects Fund to the Road Fund
17an amount sufficient to discharge that debt. These transfers to
18the Road Fund shall continue until the Capital Projects Fund
19has repaid to the Road Fund all transfers made from the Road
20Fund pursuant to subsection (b). Notwithstanding any other law
21to the contrary, transfers to the Road Fund from the Capital
22Projects Fund shall be made prior to any other expenditures or
23transfers out of the Capital Projects Fund.
24(Source: P.A. 101-30, eff. 6-28-19.)
 
25    Section 5-25. The General Obligation Bond Act is amended by

 

 

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1changing Section 7.6 as follows:
 
2    (30 ILCS 330/7.6)
3    Sec. 7.6. Income Tax Proceed Bonds.
4    (a) As used in this Act, "Income Tax Proceed Bonds" means
5Bonds (i) authorized by this amendatory Act of the 100th
6General Assembly or any other Public Act of the 100th General
7Assembly authorizing the issuance of Income Tax Proceed Bonds
8and (ii) used for the payment of unpaid obligations of the
9State as incurred from time to time and as authorized by the
10General Assembly.
11    (b) Income Tax Proceed Bonds in the amount of
12$6,000,000,000 are hereby authorized to be used for the purpose
13of paying vouchers incurred by the State prior to July 1, 2017.
14Additional Income Tax Proceed Bonds in the amount of
15$1,200,000,000 are hereby authorized to be used for the purpose
16of paying vouchers incurred by the State and accruing interest
17payable by the State more than 90 days prior to the date on
18which the Income Tax Proceed Bonds are issued.
19    (c) The Income Tax Bond Fund is hereby created as a special
20fund in the State treasury. All moneys from the proceeds of the
21sale of the Income Tax Proceed Bonds, less the amounts
22authorized in the Bond Sale Order to be directly paid out for
23bond sale expenses under Section 8, shall be deposited into the
24Income Tax Bond Fund. All moneys in the Income Tax Bond Fund
25shall be used for the purpose of paying vouchers incurred by

 

 

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1the State prior to July 1, 2017 or for paying vouchers incurred
2by the State more than 90 days prior to the date on which the
3Income Tax Proceed Bonds are issued. For the purpose of paying
4such vouchers, the Comptroller has the authority to transfer
5moneys from the Income Tax Bond Fund to general funds and the
6Health Insurance Reserve Fund. "General funds" has the meaning
7provided in Section 50-40 of the State Budget Law.
8(Source: P.A. 100-23, eff. 7-6-17; 101-30, eff. 6-28-19.)
 
9    Section 5-30. The Private Colleges and Universities
10Capital Distribution Formula Act is amended by changing Section
1125-7 as follows:
 
12    (30 ILCS 769/25-7)
13    Sec. 25-7. Capital Investment Grant Program.
14    (a) The Board of Higher Education, jointly Capital
15Development Board, in coordination with the Capital
16Development Board of Higher Education, shall establish a
17Capital Investment Grant Program for independent colleges. The
18Capital Development Board shall, subject to appropriation, and
19subject to direction by the Board of Higher Education, make
20capital improvement grants to independent colleges in
21Illinois. The Build Illinois Bond Fund shall be the source of
22funding for the program. Eligible grant recipients shall be
23independent colleges that offer facilities and services in a
24manner that supports and fulfills the mission of the Board of

 

 

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1Higher Education. Eligible grant recipients have no
2entitlement to a grant under this Section.
3    (b) Board of Higher Education, jointly The Capital
4Development Board, in consultation with the Capital
5Development Board of Higher Education, shall adopt rules to
6implement this Section and shall create an application
7procedure for grants to be awarded. The rules shall specify:
8the manner of applying for grants; grantee eligibility
9requirements; project eligibility requirements; restrictions
10on the use of grant moneys; the manner in which grantees must
11account for the use of grant moneys; and any other provision
12that the Capital Development Board or Board of Higher Education
13determine to be necessary or useful for the administration of
14this Section.
15    (c) No portion of an independent college capital investment
16program grant awarded under this Section may be used by an
17independent college to pay for any on-going operational costs,
18pay outstanding debt, or be allocated to an endowment or other
19invested fund.
20(Source: P.A. 101-10, eff. 6-5-19; revised 7-22-19.)
 
21    Section 5-35. The Motor Fuel Tax Law is amended by changing
22Section 8b as follows:
 
23    (35 ILCS 505/8b)
24    Sec. 8b. Transportation Renewal Fund; creation;

 

 

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1distribution of proceeds.
2    (a) The Transportation Renewal Fund is hereby created as a
3special fund in the State treasury. Moneys in the Fund shall be
4used as provided in this Section:
5        (1) 80% of the moneys in the Fund shall be used for
6    highway maintenance, highway construction, bridge repair,
7    congestion relief, and construction of aviation
8    facilities; of that 80%:
9            (A) the State Comptroller shall order transferred
10        and the State Treasurer shall transfer 60% to the State
11        Construction Account Fund; those moneys shall be used
12        solely for construction, reconstruction, improvement,
13        repair, maintenance, operation, and administration of
14        highways and are limited to payments made pursuant to
15        design and construction contracts awarded by the
16        Department of Transportation;
17            (B) 40% shall be distributed by the Department of
18        Transportation to municipalities, counties, and road
19        districts of the State using the percentages set forth
20        in subdivisions (A), (B), (C), and (D) of paragraph (2)
21        of subsection (e) of Section 8; distributions to
22        particular municipalities, counties, and road
23        districts under this subdivision (B) shall be made
24        according to the allocation procedures described for
25        municipalities, counties, and road districts in
26        subsection (e) of Section 8 and shall be subject to the

 

 

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1        same requirements and limitations described in that
2        subsection; and as follows:
3                (i)49.10% to the municipalities of the State;
4                (ii) 16.74% to the counties of the State having
5            1,000,000 or more inhabitants;
6                (iii)18.27% to the counties of the State
7            having less than 1,000,000 inhabitants; and
8                (iv) 15.89% to the road districts of the State;
9            and
10        (2) 20% of the moneys in the Fund shall be used for
11    projects related to rail facilities and mass transit
12    facilities, as defined in Section 2705-305 of the
13    Department of Transportation Law of the Civil
14    Administrative Code of Illinois, including rapid transit,
15    rail, high-speed rail, bus and other equipment in
16    connection with the State or a unit of local government,
17    special district, municipal corporation, or other public
18    agency authorized to provide and promote public
19    transportation within the State; of that 20%:
20            (A) 90% shall be deposited into the Regional
21        Transportation Authority Capital Improvement Fund, a
22        special fund created in the State Treasury; moneys in
23        the Regional Transportation Authority Capital
24        Improvement Fund shall be used by the Regional
25        Transportation Authority for construction,
26        improvements, and deferred maintenance on mass transit

 

 

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1        facilities and acquisition of buses and other
2        equipment; and
3            (B) 10% shall be deposited into the Downstate Mass
4        Transportation Capital Improvement Fund, a special
5        fund created in the State Treasury; moneys in the
6        Downstate Mass Transportation Capital Improvement Fund
7        shall be used by local mass transit districts other
8        than the Regional Transportation Authority for
9        construction, improvements, and deferred maintenance
10        on mass transit facilities and acquisition of buses and
11        other equipment.
12    (b)Beginning on July 1, 2020, the Auditor General shall
13conduct an annual financial audit of the obligations,
14expenditures, receipt, and use of the funds deposited into the
15Transportation Renewal Reform Fund and provide specific
16recommendations to help ensure compliance with State and
17federal statutes, rules, and regulations.
18(Source: P.A. 101-32, eff. 6-28-19.)
 
19
ARTICLE 10. ADDITIONAL AMENDATORY PROVISIONS

 
20    Section 10-5. The New Markets Development Program Act is
21amended by changing Section 25 as follows:
 
22    (20 ILCS 663/25)
23    Sec. 25. Certification of qualified equity investments.

 

 

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1    (a) A qualified community development entity that seeks to
2have an equity investment or long-term debt security designated
3as a qualified equity investment and eligible for tax credits
4under this Section shall apply to the Department. The qualified
5community development entity must submit an application on a
6form that the Department provides that includes:
7        (1) The name, address, tax identification number of the
8    entity, and evidence of the entity's certification as a
9    qualified community development entity.
10        (2) A copy of the allocation agreement executed by the
11    entity, or its controlling entity, and the Community
12    Development Financial Institutions Fund.
13        (3) A certificate executed by an executive officer of
14    the entity attesting that the allocation agreement remains
15    in effect and has not been revoked or cancelled by the
16    Community Development Financial Institutions Fund.
17        (4) A description of the proposed amount, structure,
18    and purchaser of the equity investment or long-term debt
19    security.
20        (5) The name and tax identification number of any
21    taxpayer eligible to utilize tax credits earned as a result
22    of the issuance of the qualified equity investment.
23        (6) Information regarding the proposed use of proceeds
24    from the issuance of the qualified equity investment.
25        (7) A nonrefundable application fee of $5,000. This fee
26    shall be paid to the Department and shall be required of

 

 

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1    each application submitted.
2        (8) With respect to qualified equity investments made
3    on or after January 1, 2017, the amount of qualified equity
4    investment authority the applicant agrees to designate as a
5    federal qualified equity investment under Section 45D of
6    the Internal Revenue Code, including a copy of the screen
7    shot from the Community Development Financial Institutions
8    Fund's Allocation Tracking System of the applicant's
9    remaining federal qualified equity investment authority.
10    (b) Within 30 days after receipt of a completed application
11containing the information necessary for the Department to
12certify a potential qualified equity investment, including the
13payment of the application fee, the Department shall grant or
14deny the application in full or in part. If the Department
15denies any part of the application, it shall inform the
16qualified community development entity of the grounds for the
17denial. If the qualified community development entity provides
18any additional information required by the Department or
19otherwise completes its application within 15 days of the
20notice of denial, the application shall be considered completed
21as of the original date of submission. If the qualified
22community development entity fails to provide the information
23or complete its application within the 15-day period, the
24application remains denied and must be resubmitted in full with
25a new submission date.
26    (c) If the application is deemed complete, the Department

 

 

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1shall certify the proposed equity investment or long-term debt
2security as a qualified equity investment that is eligible for
3tax credits under this Section, subject to the limitations
4contained in Section 20. The Department shall provide written
5notice of the certification to the qualified community
6development entity. The notice shall include the names of those
7taxpayers who are eligible to utilize the credits and their
8respective credit amounts. If the names of the taxpayers who
9are eligible to utilize the credits change due to a transfer of
10a qualified equity investment or a change in an allocation
11pursuant to Section 15, the qualified community development
12entity shall notify the Department of such change.
13    (d) With respect to applications received before January 1,
142017, the Department shall certify qualified equity
15investments in the order applications are received by the
16Department. Applications received on the same day shall be
17deemed to have been received simultaneously. For applications
18received on the same day and deemed complete, the Department
19shall certify, consistent with remaining tax credit capacity,
20qualified equity investments in proportionate percentages
21based upon the ratio of the amount of qualified equity
22investment requested in an application to the total amount of
23qualified equity investments requested in all applications
24received on the same day.
25    (d-5) With respect to applications received on or after
26January 1, 2017, the Department shall certify applications by

 

 

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1applicants that agree to designate qualified equity
2investments as federal qualified equity investments in
3accordance with item (8) of subsection (a) of this Section in
4proportionate percentages based upon the ratio of the amount of
5qualified equity investments requested in an application to be
6designated as federal qualified equity investments to the total
7amount of qualified equity investments to be designated as
8federal qualified equity investments requested in all
9applications received on the same day.
10    (d-10) With respect to applications received on or after
11January 1, 2017, after complying with subsection (d-5), the
12Department shall certify the qualified equity investments of
13all other applicants, including the remaining qualified equity
14investment authority requested by applicants not designated as
15federal qualified equity investments in accordance with item
16(8) of subsection (a) of this Section, in proportionate
17percentages based upon the ratio of the amount of qualified
18equity investments requested in the applications to the total
19amount of qualified equity investments requested in all
20applications received on the same day.
21    (e) Once the Department has certified qualified equity
22investments that, on a cumulative basis, are eligible for
23$20,000,000 in tax credits, the Department may not certify any
24more qualified equity investments. If a pending request cannot
25be fully certified, the Department shall certify the portion
26that may be certified unless the qualified community

 

 

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1development entity elects to withdraw its request rather than
2receive partial credit.
3    (f) Within 30 days after receiving notice of certification,
4the qualified community development entity shall (i) issue the
5qualified equity investment and receive cash in the amount of
6the certified amount and (ii) with respect to qualified equity
7investments made on or after January 1, 2017, if applicable,
8designate the required amount of qualified equity investment
9authority as a federal qualified equity investment. The
10qualified community development entity must provide the
11Department with evidence of the receipt of the cash investment
12within 10 business days after receipt and, with respect to
13qualified equity investments made on or after January 1, 2017,
14if applicable, provide evidence that the required amount of
15qualified equity investment authority was designated as a
16federal qualified equity investment. If the qualified
17community development entity does not receive the cash
18investment and issue the qualified equity investment within 30
19days following receipt of the certification notice, the
20certification shall lapse and the entity may not issue the
21qualified equity investment without reapplying to the
22Department for certification. A certification that lapses
23reverts back to the Department and may be reissued only in
24accordance with the application process outline in this Section
2525.
26    (g) Allocation rounds enabled by this Act shall be applied

 

 

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1for according to the following schedule:
2        (1) on January 2, 2019, $125,000,000 of qualified
3    equity investments; and
4        (2) not less than 45 days after but not more than 90
5    days after the Community Development Financial
6    Institutions Fund of the United States Department of the
7    Treasury announces allocation awards under a Notice of
8    Funding Availability that is published in the Federal
9    Register after September 6, 2019, on January 2, 2020,
10    $125,000,000 of qualified equity investments.
11(Source: P.A. 100-408, eff. 8-25-17.)
 
12    Section 10-10. The Department of Commerce and Economic
13Opportunity Law of the Civil Administrative Code of Illinois is
14amended by changing Section 605-1025 as follows:
 
15    (20 ILCS 605/605-1025)
16    Sec. 605-1025. Data center investment.
17    (a) The Department shall issue certificates of exemption
18from the Retailers' Occupation Tax Act, the Use Tax Act, the
19Service Use Tax Act, and the Service Occupation Tax Act, all
20locally-imposed retailers' occupation taxes administered and
21collected by the Department, the Chicago non-titled Use Tax,
22the Electricity Excise Tax Act, and a credit certification
23against the taxes imposed under subsections (a) and (b) of
24Section 201 of the Illinois Income Tax Act to qualifying

 

 

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1Illinois data centers.
2    (b) For taxable years beginning on or after January 1,
32019, the Department shall award credits against the taxes
4imposed under subsections (a) and (b) of Section 201 of the
5Illinois Income Tax Act as provided in Section 229 of the
6Illinois Income Tax Act.
7    (c) For purposes of this Section:
8        "Data center" means a facility: (1) whose primary
9    services are the storage, management, and processing of
10    digital data; and (2) that is used to house (i) computer
11    and network systems, including associated components such
12    as servers, network equipment and appliances,
13    telecommunications, and data storage systems, (ii) systems
14    for monitoring and managing infrastructure performance,
15    (iii) Internet-related equipment and services, (iv) data
16    communications connections, (v) environmental controls,
17    (vi) fire protection systems, and (vii) security systems
18    and services.
19        "Qualifying Illinois data center" means a new or
20    existing data center that:
21            (1) is located in the State of Illinois;
22            (2) in the case of an existing data center, made a
23        capital investment of at least $250,000,000
24        collectively by the data center operator and the
25        tenants of the data center all of its data centers over
26        the 60-month period immediately prior to January 1,

 

 

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1        2020 or committed to make a capital investment of at
2        least $250,000,000 over a 60-month period commencing
3        before January 1, 2020 and ending after January 1,
4        2020; or
5            (3) in the case of a new data center, or an
6        existing data center making an upgrade, makes a capital
7        investment of at least $250,000,000 over a 60-month
8        period beginning on or after January 1, 2020; and
9            (4) in the case of both existing and new data
10        centers, results in the creation of at least 20
11        full-time or full-time equivalent new jobs over a
12        period of 60 months by the data center operator and the
13        tenants of the data center, collectively, associated
14        with the operation or maintenance of the data center;
15        those jobs must have a total compensation equal to or
16        greater than 120% of the average median wage paid to
17        full-time employees in the county where the data center
18        is located, as determined by the U.S. Bureau of Labor
19        Statistics; and
20            (5) within 90 days after being placed in service,
21        certifies to the Department that it is carbon neutral
22        or has attained attains certification under one or more
23        of the following green building standards:
24                (A) BREEAM for New Construction or BREEAM
25            In-Use;
26                (B) ENERGY STAR;

 

 

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1                (C) Envision;
2                (D) ISO 50001-energy management;
3                (E) LEED for Building Design and Construction
4            or LEED for Operations and Maintenance;
5                (F) Green Globes for New Construction or Green
6            Globes for Existing Buildings;
7                (G) UL 3223; or
8                (H) an equivalent program approved by the
9            Department of Commerce and Economic Opportunity.
10        "Full-time equivalent job" means a job in which the new
11    employee works for the owner, operator, contractor, or
12    tenant of a data center or for a corporation under contract
13    with the owner, operator or tenant of a data center at a
14    rate of at least 35 hours per week. An owner, operator or
15    tenant who employs labor or services at a specific site or
16    facility under contract with another may declare one
17    full-time, permanent job for every 1,820 man hours worked
18    per year under that contract. Vacations, paid holidays, and
19    sick time are included in this computation. Overtime is not
20    considered a part of regular hours.
21        "Qualified tangible personal property" means:
22    electrical systems and equipment; climate control and
23    chilling equipment and systems; mechanical systems and
24    equipment; monitoring and secure systems; emergency
25    generators; hardware; computers; servers; data storage
26    devices; network connectivity equipment; racks; cabinets;

 

 

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1    telecommunications cabling infrastructure; raised floor
2    systems; peripheral components or systems; software;
3    mechanical, electrical, or plumbing systems; battery
4    systems; cooling systems and towers; temperature control
5    systems; other cabling; and other data center
6    infrastructure equipment and systems necessary to operate
7    qualified tangible personal property, including fixtures;
8    and component parts of any of the foregoing, including
9    installation, maintenance, repair, refurbishment, and
10    replacement of qualified tangible personal property to
11    generate, transform, transmit, distribute, or manage
12    electricity necessary to operate qualified tangible
13    personal property; and all other tangible personal
14    property that is essential to the operations of a computer
15    data center. "Qualified tangible personal property" also
16    includes building materials physically incorporated in to
17    the qualifying data center.
18    To document the exemption allowed under this Section, the
19retailer must obtain from the purchaser a copy of the
20certificate of eligibility issued by the Department.
21    (d) New and existing data centers seeking a certificate of
22exemption for new or existing facilities shall apply to the
23Department in the manner specified by the Department. The
24Department shall determine the duration of the certificate of
25exemption awarded under this Act. The duration of the
26certificate of exemption may not exceed 20 calendar years. The

 

 

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1Department and any data center seeking the exemption, including
2a data center operator on behalf of itself and its tenants,
3must enter into a memorandum of understanding that at a minimum
4provides:
5        (1) the details for determining the amount of capital
6    investment to be made;
7        (2) the number of new jobs created;
8        (3) the timeline for achieving the capital investment
9    and new job goals;
10        (4) the repayment obligation should those goals not be
11    achieved and any conditions under which repayment by the
12    qualifying data center or data center tenant claiming the
13    exemption will be required;
14        (5) the duration of the exemption; and
15        (6) other provisions as deemed necessary by the
16    Department.
17    (e) Beginning July 1, 2021, and each year thereafter, the
18Department shall annually report to the Governor and the
19General Assembly on the outcomes and effectiveness of Public
20Act 101-31 this amendatory Act of the 101st General Assembly
21that shall include the following:
22        (1) the name of each recipient business;
23        (2) the location of the project;
24        (3) the estimated value of the credit;
25        (4) the number of new jobs and, if applicable, retained
26    jobs pledged as a result of the project; and

 

 

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1        (5) whether or not the project is located in an
2    underserved area.
3    (f) New and existing data centers seeking a certificate of
4exemption related to the rehabilitation or construction of data
5centers in the State shall require the contractor and all
6subcontractors to comply with the requirements of Section 30-22
7of the Illinois Procurement Code as they apply to responsible
8bidders and to present satisfactory evidence of that compliance
9to the Department.
10    (g) New and existing data centers seeking a certificate of
11exemption for the rehabilitation or construction of data
12centers in the State shall require the contractor to enter into
13a project labor agreement approved by the Department.
14    (h) Any qualifying data center issued a certificate of
15exemption under this Section must annually report to the
16Department the total data center tax benefits that are received
17by the business. Reports are due no later than May 31 of each
18year and shall cover the previous calendar year. The first
19report is for the 2019 calendar year and is due no later than
20May 31, 2020.
21    To the extent that a business issued a certificate of
22exemption under this Section has obtained an Enterprise Zone
23Building Materials Exemption Certificate or a High Impact
24Business Building Materials Exemption Certificate, no
25additional reporting for those building materials exemption
26benefits is required under this Section.

 

 

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1    Failure to file a report under this subsection (h) may
2result in suspension or revocation of the certificate of
3exemption. The Department shall adopt rules governing
4suspension or revocation of the certificate of exemption,
5including the length of suspension. Factors to be considered in
6determining whether a data center certificate of exemption
7shall be suspended or revoked include, but are not limited to,
8prior compliance with the reporting requirements, cooperation
9in discontinuing and correcting violations, the extent of the
10violation, and whether the violation was willful or
11inadvertent.
12    (i) The Department shall not issue any new certificates of
13exemption under the provisions of this Section after July 1,
142029. This sunset shall not affect any existing certificates of
15exemption in effect on July 1, 2029.
16    (j) The Department shall adopt rules to implement and
17administer this Section.
18(Source: P.A. 101-31, eff. 6-28-19; revised 10-18-19.)
 
19    Section 10-15. The State Finance Act is amended by adding
20Section 8.53 as follows:
 
21    (30 ILCS 105/8.53 new)
22    Sec. 8.53. Fund transfers. As soon as practical after the
23effective date of this amendatory Act of the 101st General
24Assembly, for Fiscal Year 2020 only, the State Comptroller

 

 

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1shall direct and the State Treasurer shall transfer the amount
2of $1,500,000 from the State and Local Sales Tax Reform Fund to
3the Sound-Reducing Windows and Doors Replacement Fund. Any
4amounts transferred under this Section shall be repaid no later
5than June 30, 2020.
 
6    Section 10-20. The Illinois Income Tax Act is amended by
7changing Section 229 as follows:
 
8    (35 ILCS 5/229)
9    Sec. 229. Data center construction employment tax credit.
10    (a) A taxpayer who has been awarded a credit by the
11Department of Commerce and Economic Opportunity under Section
12605-1025 of the Department of Commerce and Economic Opportunity
13Law of the Civil Administrative Code of Illinois is entitled to
14a credit against the taxes imposed under subsections (a) and
15(b) of Section 201 of this Act. The amount of the credit shall
16be 20% of the wages paid during the taxable year to a full-time
17or part-time employee of a construction contractor employed by
18a certified data center if those wages are paid for the
19construction of a new data center in a geographic area that
20meets any one of the following criteria:
21        (1) the area has a poverty rate of at least 20%,
22    according to the U.S. Census Bureau American Community
23    Survey 5-Year Estimates latest federal decennial census;
24        (2) 75% or more of the children in the area participate

 

 

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1    in the federal free lunch program, according to reported
2    statistics from the State Board of Education;
3        (3) 20% or more of the households in the area receive
4    assistance under the Supplemental Nutrition Assistance
5    Program (SNAP), according to data from the U.S. Census
6    Bureau American Community Survey 5-year Estimates; or
7        (4) the area has an average unemployment rate, as
8    determined by the Department of Employment Security, that
9    is more than 120% of the national unemployment average, as
10    determined by the U.S. Department of Labor, for a period of
11    at least 2 consecutive calendar years preceding the date of
12    the application.
13    If the taxpayer is a partnership, a Subchapter S
14corporation, or a limited liability company that has elected
15partnership tax treatment, the credit shall be allowed to the
16partners, shareholders, or members in accordance with the
17determination of income and distributive share of income under
18Sections 702 and 704 and subchapter S of the Internal Revenue
19Code, as applicable. The Department, in cooperation with the
20Department of Commerce and Economic Opportunity, shall adopt
21rules to enforce and administer this Section. This Section is
22exempt from the provisions of Section 250 of this Act.
23    (b) In no event shall a credit under this Section reduce
24the taxpayer's liability to less than zero. If the amount of
25the credit exceeds the tax liability for the year, the excess
26may be carried forward and applied to the tax liability of the

 

 

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15 taxable years following the excess credit year. The tax
2credit shall be applied to the earliest year for which there is
3a tax liability. If there are credits for more than one year
4that are available to offset a liability, the earlier credit
5shall be applied first.
6    (c) No credit shall be allowed with respect to any
7certification for any taxable year ending after the revocation
8of the certification by the Department of Commerce and Economic
9Opportunity. Upon receiving notification by the Department of
10Commerce and Economic Opportunity of the revocation of
11certification, the Department shall notify the taxpayer that no
12credit is allowed for any taxable year ending after the
13revocation date, as stated in such notification. If any credit
14has been allowed with respect to a certification for a taxable
15year ending after the revocation date, any refund paid to the
16taxpayer for that taxable year shall, to the extent of that
17credit allowed, be an erroneous refund within the meaning of
18Section 912 of this Act.
19(Source: P.A. 101-31, eff. 6-28-19.)
 
20    Section 10-25. The Use Tax Act is amended by changing
21Sections 3-50 and 9 as follows:
 
22    (35 ILCS 105/3-50)  (from Ch. 120, par. 439.3-50)
23    Sec. 3-50. Manufacturing and assembly exemption. The
24manufacturing and assembling machinery and equipment exemption

 

 

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1includes machinery and equipment that replaces machinery and
2equipment in an existing manufacturing facility as well as
3machinery and equipment that are for use in an expanded or new
4manufacturing facility. The machinery and equipment exemption
5also includes machinery and equipment used in the general
6maintenance or repair of exempt machinery and equipment or for
7in-house manufacture of exempt machinery and equipment.
8Beginning on July 1, 2017, the manufacturing and assembling
9machinery and equipment exemption also includes graphic arts
10machinery and equipment, as defined in paragraph (6) of Section
113-5. The machinery and equipment exemption does not include
12machinery and equipment used in (i) the generation of
13electricity for wholesale or retail sale; (ii) the generation
14or treatment of natural or artificial gas for wholesale or
15retail sale that is delivered to customers through pipes,
16pipelines, or mains; or (iii) the treatment of water for
17wholesale or retail sale that is delivered to customers through
18pipes, pipelines, or mains. The provisions of this amendatory
19Act of the 98th General Assembly are declaratory of existing
20law as to the meaning and scope of this exemption. For the
21purposes of this exemption, terms have the following meanings:
22        (1) "Manufacturing process" means the production of an
23    article of tangible personal property, whether the article
24    is a finished product or an article for use in the process
25    of manufacturing or assembling a different article of
26    tangible personal property, by a procedure commonly

 

 

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1    regarded as manufacturing, processing, fabricating, or
2    refining that changes some existing material into a
3    material with a different form, use, or name. In relation
4    to a recognized integrated business composed of a series of
5    operations that collectively constitute manufacturing, or
6    individually constitute manufacturing operations, the
7    manufacturing process commences with the first operation
8    or stage of production in the series and does not end until
9    the completion of the final product in the last operation
10    or stage of production in the series. For purposes of this
11    exemption, photoprocessing is a manufacturing process of
12    tangible personal property for wholesale or retail sale.
13        (2) "Assembling process" means the production of an
14    article of tangible personal property, whether the article
15    is a finished product or an article for use in the process
16    of manufacturing or assembling a different article of
17    tangible personal property, by the combination of existing
18    materials in a manner commonly regarded as assembling that
19    results in an article or material of a different form, use,
20    or name.
21        (3) "Machinery" means major mechanical machines or
22    major components of those machines contributing to a
23    manufacturing or assembling process.
24        (4) "Equipment" includes an independent device or tool
25    separate from machinery but essential to an integrated
26    manufacturing or assembly process; including computers

 

 

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1    used primarily in a manufacturer's computer assisted
2    design, computer assisted manufacturing (CAD/CAM) system;
3    any subunit or assembly comprising a component of any
4    machinery or auxiliary, adjunct, or attachment parts of
5    machinery, such as tools, dies, jigs, fixtures, patterns,
6    and molds; and any parts that require periodic replacement
7    in the course of normal operation; but does not include
8    hand tools. Equipment includes chemicals or chemicals
9    acting as catalysts but only if the chemicals or chemicals
10    acting as catalysts effect a direct and immediate change
11    upon a product being manufactured or assembled for
12    wholesale or retail sale or lease.
13        (5) "Production related tangible personal property"
14    means all tangible personal property that is used or
15    consumed by the purchaser in a manufacturing facility in
16    which a manufacturing process takes place and includes,
17    without limitation, tangible personal property that is
18    purchased for incorporation into real estate within a
19    manufacturing facility, supplies and consumables used in a
20    manufacturing facility including fuels, coolants,
21    solvents, oils, lubricants, and adhesives, hand tools,
22    protective apparel, and fire and safety equipment used or
23    consumed within a manufacturing facility, and tangible
24    personal property that is used or consumed in activities
25    such as research and development, preproduction material
26    handling, receiving, quality control, inventory control,

 

 

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1    storage, staging, and packaging for shipping and
2    transportation purposes. "Production related tangible
3    personal property" does not include (i) tangible personal
4    property that is used, within or without a manufacturing
5    facility, in sales, purchasing, accounting, fiscal
6    management, marketing, personnel recruitment or selection,
7    or landscaping or (ii) tangible personal property that is
8    required to be titled or registered with a department,
9    agency, or unit of federal, State, or local government.
10    The manufacturing and assembling machinery and equipment
11exemption includes production related tangible personal
12property that is purchased on or after July 1, 2007 and on or
13before June 30, 2008 and on or after July 1, 2019. The
14exemption for production related tangible personal property
15purchased on or after July 1, 2007 and on or before June 30,
162008 is subject to both of the following limitations:
17        (1) The maximum amount of the exemption for any one
18    taxpayer may not exceed 5% of the purchase price of
19    production related tangible personal property that is
20    purchased on or after July 1, 2007 and on or before June
21    30, 2008. A credit under Section 3-85 of this Act may not
22    be earned by the purchase of production related tangible
23    personal property for which an exemption is received under
24    this Section.
25        (2) The maximum aggregate amount of the exemptions for
26    production related tangible personal property purchased on

 

 

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1    or after July 1, 2007 and on or before June 30, 2008
2    awarded under this Act and the Retailers' Occupation Tax
3    Act to all taxpayers may not exceed $10,000,000. If the
4    claims for the exemption exceed $10,000,000, then the
5    Department shall reduce the amount of the exemption to each
6    taxpayer on a pro rata basis.
7The Department shall adopt rules to implement and administer
8the exemption for production related tangible personal
9property.
10    The manufacturing and assembling machinery and equipment
11exemption includes the sale of materials to a purchaser who
12produces exempted types of machinery, equipment, or tools and
13who rents or leases that machinery, equipment, or tools to a
14manufacturer of tangible personal property. This exemption
15also includes the sale of materials to a purchaser who
16manufactures those materials into an exempted type of
17machinery, equipment, or tools that the purchaser uses himself
18or herself in the manufacturing of tangible personal property.
19This exemption includes the sale of exempted types of machinery
20or equipment to a purchaser who is not the manufacturer, but
21who rents or leases the use of the property to a manufacturer.
22The purchaser of the machinery and equipment who has an active
23resale registration number shall furnish that number to the
24seller at the time of purchase. A purchaser user of the
25machinery, equipment, or tools without an active resale
26registration number shall prepare a certificate of exemption

 

 

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1for each transaction stating facts establishing the exemption
2for that transaction, and that certificate shall be available
3to the Department for inspection or audit. The Department shall
4prescribe the form of the certificate. Informal rulings,
5opinions, or letters issued by the Department in response to an
6inquiry or request for an opinion from any person regarding the
7coverage and applicability of this exemption to specific
8devices shall be published, maintained as a public record, and
9made available for public inspection and copying. If the
10informal ruling, opinion, or letter contains trade secrets or
11other confidential information, where possible, the Department
12shall delete that information before publication. Whenever
13informal rulings, opinions, or letters contain a policy of
14general applicability, the Department shall formulate and
15adopt that policy as a rule in accordance with the Illinois
16Administrative Procedure Act.
17    The manufacturing and assembling machinery and equipment
18exemption is exempt from the provisions of Section 3-90.
19(Source: P.A. 100-22, eff. 7-6-17; 101-9, eff. 6-5-19.)
 
20    (35 ILCS 105/9)  (from Ch. 120, par. 439.9)
21    Sec. 9. Except as to motor vehicles, watercraft, aircraft,
22and trailers that are required to be registered with an agency
23of this State, each retailer required or authorized to collect
24the tax imposed by this Act shall pay to the Department the
25amount of such tax (except as otherwise provided) at the time

 

 

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1when he is required to file his return for the period during
2which such tax was collected, less a discount of 2.1% prior to
3January 1, 1990, and 1.75% on and after January 1, 1990, or $5
4per calendar year, whichever is greater, which is allowed to
5reimburse the retailer for expenses incurred in collecting the
6tax, keeping records, preparing and filing returns, remitting
7the tax and supplying data to the Department on request. The
8discount under this Section is not allowed for the 1.25%
9portion of taxes paid on aviation fuel that is subject to the
10revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
1147133 are deposited into the State Aviation Program Fund under
12this Act. In the case of retailers who report and pay the tax
13on a transaction by transaction basis, as provided in this
14Section, such discount shall be taken with each such tax
15remittance instead of when such retailer files his periodic
16return. The discount allowed under this Section is allowed only
17for returns that are filed in the manner required by this Act.
18The Department may disallow the discount for retailers whose
19certificate of registration is revoked at the time the return
20is filed, but only if the Department's decision to revoke the
21certificate of registration has become final. A retailer need
22not remit that part of any tax collected by him to the extent
23that he is required to remit and does remit the tax imposed by
24the Retailers' Occupation Tax Act, with respect to the sale of
25the same property.
26    Where such tangible personal property is sold under a

 

 

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1conditional sales contract, or under any other form of sale
2wherein the payment of the principal sum, or a part thereof, is
3extended beyond the close of the period for which the return is
4filed, the retailer, in collecting the tax (except as to motor
5vehicles, watercraft, aircraft, and trailers that are required
6to be registered with an agency of this State), may collect for
7each tax return period, only the tax applicable to that part of
8the selling price actually received during such tax return
9period.
10    Except as provided in this Section, on or before the
11twentieth day of each calendar month, such retailer shall file
12a return for the preceding calendar month. Such return shall be
13filed on forms prescribed by the Department and shall furnish
14such information as the Department may reasonably require. On
15and after January 1, 2018, except for returns for motor
16vehicles, watercraft, aircraft, and trailers that are required
17to be registered with an agency of this State, with respect to
18retailers whose annual gross receipts average $20,000 or more,
19all returns required to be filed pursuant to this Act shall be
20filed electronically. Retailers who demonstrate that they do
21not have access to the Internet or demonstrate hardship in
22filing electronically may petition the Department to waive the
23electronic filing requirement.
24    The Department may require returns to be filed on a
25quarterly basis. If so required, a return for each calendar
26quarter shall be filed on or before the twentieth day of the

 

 

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1calendar month following the end of such calendar quarter. The
2taxpayer shall also file a return with the Department for each
3of the first two months of each calendar quarter, on or before
4the twentieth day of the following calendar month, stating:
5        1. The name of the seller;
6        2. The address of the principal place of business from
7    which he engages in the business of selling tangible
8    personal property at retail in this State;
9        3. The total amount of taxable receipts received by him
10    during the preceding calendar month from sales of tangible
11    personal property by him during such preceding calendar
12    month, including receipts from charge and time sales, but
13    less all deductions allowed by law;
14        4. The amount of credit provided in Section 2d of this
15    Act;
16        5. The amount of tax due;
17        5-5. The signature of the taxpayer; and
18        6. Such other reasonable information as the Department
19    may require.
20    Each Beginning on January 1, 2020, each retailer required
21or authorized to collect the tax imposed by this Act on
22aviation fuel sold at retail in this State during the preceding
23calendar month shall, instead of reporting and paying tax on
24aviation fuel as otherwise required by this Section, report
25file and pay such tax to the Department on a separate an
26aviation fuel tax return, on or before the twentieth day of

 

 

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

 

 

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1all payments required by rules of the Department by electronic
2funds transfer. Beginning October 1, 2000, a taxpayer who has
3an annual tax liability of $200,000 or more shall make all
4payments required by rules of the Department by electronic
5funds transfer. The term "annual tax liability" shall be the
6sum of the taxpayer's liabilities under this Act, and under all
7other State and local occupation and use tax laws administered
8by the Department, for the immediately preceding calendar year.
9The term "average monthly tax liability" means the sum of the
10taxpayer's liabilities under this Act, and under all other
11State and local occupation and use tax laws administered by the
12Department, for the immediately preceding calendar year
13divided by 12. Beginning on October 1, 2002, a taxpayer who has
14a tax liability in the amount set forth in subsection (b) of
15Section 2505-210 of the Department of Revenue Law shall make
16all payments required by rules of the Department by electronic
17funds transfer.
18    Before August 1 of each year beginning in 1993, the
19Department shall notify all taxpayers required to make payments
20by electronic funds transfer. All taxpayers required to make
21payments by electronic funds transfer shall make those payments
22for a minimum of one year beginning on October 1.
23    Any taxpayer not required to make payments by electronic
24funds transfer may make payments by electronic funds transfer
25with the permission of the Department.
26    All taxpayers required to make payment by electronic funds

 

 

SB0119 Enrolled- 42 -LRB101 06854 HLH 51885 b

1transfer and any taxpayers authorized to voluntarily make
2payments by electronic funds transfer shall make those payments
3in the manner authorized by the Department.
4    The Department shall adopt such rules as are necessary to
5effectuate a program of electronic funds transfer and the
6requirements of this Section.
7    Before October 1, 2000, if the taxpayer's average monthly
8tax liability to the Department under this Act, the Retailers'
9Occupation Tax Act, the Service Occupation Tax Act, the Service
10Use Tax Act was $10,000 or more during the preceding 4 complete
11calendar quarters, he shall file a return with the Department
12each month by the 20th day of the month next following the
13month during which such tax liability is incurred and shall
14make payments to the Department on or before the 7th, 15th,
1522nd and last day of the month during which such liability is
16incurred. On and after October 1, 2000, if the taxpayer's
17average monthly tax liability to the Department under this Act,
18the Retailers' Occupation Tax Act, the Service Occupation Tax
19Act, and the Service Use Tax Act was $20,000 or more during the
20preceding 4 complete calendar quarters, he shall file a return
21with the Department each month by the 20th day of the month
22next following the month during which such tax liability is
23incurred and shall make payment to the Department on or before
24the 7th, 15th, 22nd and last day of the month during which such
25liability is incurred. If the month during which such tax
26liability is incurred began prior to January 1, 1985, each

 

 

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1payment shall be in an amount equal to 1/4 of the taxpayer's
2actual liability for the month or an amount set by the
3Department not to exceed 1/4 of the average monthly liability
4of the taxpayer to the Department for the preceding 4 complete
5calendar quarters (excluding the month of highest liability and
6the month of lowest liability in such 4 quarter period). If the
7month during which such tax liability is incurred begins on or
8after January 1, 1985, and prior to January 1, 1987, each
9payment shall be in an amount equal to 22.5% of the taxpayer's
10actual liability for the month or 27.5% of the taxpayer's
11liability for the same calendar month of the preceding year. If
12the month during which such tax liability is incurred begins on
13or after January 1, 1987, and prior to January 1, 1988, each
14payment shall be in an amount equal to 22.5% of the taxpayer's
15actual liability for the month or 26.25% of the taxpayer's
16liability for the same calendar month of the preceding year. If
17the month during which such tax liability is incurred begins on
18or after January 1, 1988, and prior to January 1, 1989, or
19begins on or after January 1, 1996, each payment shall be in an
20amount equal to 22.5% of the taxpayer's actual liability for
21the month or 25% of the taxpayer's liability for the same
22calendar month of the preceding year. If the month during which
23such tax liability is incurred begins on or after January 1,
241989, and prior to January 1, 1996, each payment shall be in an
25amount equal to 22.5% of the taxpayer's actual liability for
26the month or 25% of the taxpayer's liability for the same

 

 

SB0119 Enrolled- 44 -LRB101 06854 HLH 51885 b

1calendar month of the preceding year or 100% of the taxpayer's
2actual liability for the quarter monthly reporting period. The
3amount of such quarter monthly payments shall be credited
4against the final tax liability of the taxpayer's return for
5that month. Before October 1, 2000, once applicable, the
6requirement of the making of quarter monthly payments to the
7Department shall continue until such taxpayer's average
8monthly liability to the Department during the preceding 4
9complete calendar quarters (excluding the month of highest
10liability and the month of lowest liability) is less than
11$9,000, or until such taxpayer's average monthly liability to
12the Department as computed for each calendar quarter of the 4
13preceding complete calendar quarter period is less than
14$10,000. 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 $10,000 threshold stated above, then such
19taxpayer may petition the Department for change in such
20taxpayer's reporting status. On and after October 1, 2000, once
21applicable, the requirement of the making of quarter monthly
22payments to the Department shall continue until such taxpayer's
23average monthly liability to the Department during the
24preceding 4 complete calendar quarters (excluding the month of
25highest liability and the month of lowest liability) is less
26than $19,000 or until such taxpayer's average monthly liability

 

 

SB0119 Enrolled- 45 -LRB101 06854 HLH 51885 b

1to the Department as computed for each calendar quarter of the
24 preceding complete calendar quarter period is less than
3$20,000. However, if a taxpayer can show the Department that a
4substantial change in the taxpayer's business has occurred
5which causes the taxpayer to anticipate that his average
6monthly tax liability for the reasonably foreseeable future
7will fall below the $20,000 threshold stated above, then such
8taxpayer may petition the Department for a change in such
9taxpayer's reporting status. The Department shall change such
10taxpayer's reporting status unless it finds that such change is
11seasonal in nature and not likely to be long term. If any such
12quarter monthly payment is not paid at the time or in the
13amount required by this Section, then the taxpayer shall be
14liable for penalties and interest on the difference between the
15minimum amount due and the amount of such quarter monthly
16payment actually and timely paid, except insofar as the
17taxpayer has previously made payments for that month to the
18Department in excess of the minimum payments previously due as
19provided in this Section. The Department shall make reasonable
20rules and regulations to govern the quarter monthly payment
21amount and quarter monthly payment dates for taxpayers who file
22on other than a calendar monthly basis.
23    If any such payment provided for in this Section exceeds
24the taxpayer's liabilities under this Act, the Retailers'
25Occupation Tax Act, the Service Occupation Tax Act and the
26Service Use Tax Act, as shown by an original monthly return,

 

 

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1the Department shall issue to the taxpayer a credit memorandum
2no later than 30 days after the date of payment, which
3memorandum may be submitted by the taxpayer to the Department
4in payment of tax liability subsequently to be remitted by the
5taxpayer to the Department or be assigned by the taxpayer to a
6similar taxpayer under this Act, the Retailers' Occupation Tax
7Act, the Service Occupation Tax Act or the Service Use Tax Act,
8in accordance with reasonable rules and regulations to be
9prescribed by the Department, except that if such excess
10payment is shown on an original monthly return and is made
11after December 31, 1986, no credit memorandum shall be issued,
12unless requested by the taxpayer. If no such request is made,
13the taxpayer may credit such excess payment against tax
14liability subsequently to be remitted by the taxpayer to the
15Department under this Act, the Retailers' Occupation Tax Act,
16the Service Occupation Tax Act or the Service Use Tax Act, in
17accordance with reasonable rules and regulations prescribed by
18the Department. If the Department subsequently determines that
19all or any part of the credit taken was not actually due to the
20taxpayer, the taxpayer's 2.1% or 1.75% vendor's discount shall
21be reduced by 2.1% or 1.75% of the difference between the
22credit taken and that actually due, and the taxpayer shall be
23liable for penalties and interest on such difference.
24    If the retailer is otherwise required to file a monthly
25return and if the retailer's average monthly tax liability to
26the Department does not exceed $200, the Department may

 

 

SB0119 Enrolled- 47 -LRB101 06854 HLH 51885 b

1authorize his returns to be filed on a quarter annual basis,
2with the return for January, February, and March of a given
3year being due by April 20 of such year; with the return for
4April, May and June of a given year being due by July 20 of such
5year; with the return for July, August and September of a given
6year being due by October 20 of such year, and with the return
7for October, November and December of a given year being due by
8January 20 of the following year.
9    If the retailer is otherwise required to file a monthly or
10quarterly return and if the retailer's average monthly tax
11liability to the Department does not exceed $50, the Department
12may authorize his returns to be filed on an annual basis, with
13the return for a given year being due by January 20 of the
14following 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 a retailer may file his return, in the
20case of any retailer who ceases to engage in a kind of business
21which makes him responsible for filing returns under this Act,
22such retailer shall file a final return under this Act with the
23Department not more than one month after discontinuing such
24business.
25    In addition, with respect to motor vehicles, watercraft,
26aircraft, and trailers that are required to be registered with

 

 

SB0119 Enrolled- 48 -LRB101 06854 HLH 51885 b

1an agency of this State, except as otherwise provided in this
2Section, every retailer selling this kind of tangible personal
3property shall file, with the Department, upon a form to be
4prescribed and supplied by the Department, a separate return
5for each such item of tangible personal property which the
6retailer sells, except that if, in the same transaction, (i) a
7retailer of aircraft, watercraft, motor vehicles or trailers
8transfers more than one aircraft, watercraft, motor vehicle or
9trailer to another aircraft, watercraft, motor vehicle or
10trailer retailer for the purpose of resale or (ii) a retailer
11of aircraft, watercraft, motor vehicles, or trailers transfers
12more than one aircraft, watercraft, motor vehicle, or trailer
13to a purchaser for use as a qualifying rolling stock as
14provided in Section 3-55 of this Act, then that seller may
15report the transfer of all the aircraft, watercraft, motor
16vehicles or trailers involved in that transaction to the
17Department on the same uniform invoice-transaction reporting
18return form. For purposes of this Section, "watercraft" means a
19Class 2, Class 3, or Class 4 watercraft as defined in Section
203-2 of the Boat Registration and Safety Act, a personal
21watercraft, or any boat equipped with an inboard motor.
22    In addition, with respect to motor vehicles, watercraft,
23aircraft, and trailers that are required to be registered with
24an agency of this State, every person who is engaged in the
25business of leasing or renting such items and who, in
26connection with such business, sells any such item to a

 

 

SB0119 Enrolled- 49 -LRB101 06854 HLH 51885 b

1retailer for the purpose of resale is, notwithstanding any
2other provision of this Section to the contrary, authorized to
3meet the return-filing requirement of this Act by reporting the
4transfer of all the aircraft, watercraft, motor vehicles, or
5trailers transferred for resale during a month to the
6Department on the same uniform invoice-transaction reporting
7return form on or before the 20th of the month following the
8month in which the transfer takes place. Notwithstanding any
9other provision of this Act to the contrary, all returns filed
10under this paragraph must be filed by electronic means in the
11manner and form as required by the Department.
12    The transaction reporting return in the case of motor
13vehicles or trailers that are required to be registered with an
14agency of this State, shall be the same document as the Uniform
15Invoice referred to in Section 5-402 of the Illinois Vehicle
16Code and must show the name and address of the seller; the name
17and address of the purchaser; the amount of the selling price
18including the amount allowed by the retailer for traded-in
19property, if any; the amount allowed by the retailer for the
20traded-in tangible personal property, if any, to the extent to
21which Section 2 of this Act allows an exemption for the value
22of traded-in property; the balance payable after deducting such
23trade-in allowance from the total selling price; the amount of
24tax due from the retailer with respect to such transaction; the
25amount of tax collected from the purchaser by the retailer on
26such transaction (or satisfactory evidence that such tax is not

 

 

SB0119 Enrolled- 50 -LRB101 06854 HLH 51885 b

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

 

 

SB0119 Enrolled- 51 -LRB101 06854 HLH 51885 b

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

 

 

SB0119 Enrolled- 52 -LRB101 06854 HLH 51885 b

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

 

 

SB0119 Enrolled- 53 -LRB101 06854 HLH 51885 b

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

 

 

SB0119 Enrolled- 54 -LRB101 06854 HLH 51885 b

1with the Department under separate registration under this Act,
2such retailer may not file each return that is due as a single
3return covering all such registered businesses, but shall file
4separate returns for each such registered business.
5    Beginning January 1, 1990, each month the Department shall
6pay into the State and Local Sales Tax Reform Fund, a special
7fund in the State Treasury which is hereby created, the net
8revenue realized for the preceding month from the 1% tax
9imposed under this Act.
10    Beginning January 1, 1990, each month the Department shall
11pay into the County and Mass Transit District Fund 4% of the
12net revenue realized for the preceding month from the 6.25%
13general rate on the selling price of tangible personal property
14which is purchased outside Illinois at retail from a retailer
15and which is titled or registered by an agency of this State's
16government.
17    Beginning January 1, 1990, each month the Department shall
18pay into the State and Local Sales Tax Reform Fund, a special
19fund in the State Treasury, 20% of the net revenue realized for
20the preceding month from the 6.25% general rate on the selling
21price of tangible personal property, other than (i) tangible
22personal property which is purchased outside Illinois at retail
23from a retailer and which is titled or registered by an agency
24of this State's government and (ii) aviation fuel sold on or
25after December 1, 2019. This exception for aviation fuel only
26applies for so long as the revenue use requirements of 49

 

 

SB0119 Enrolled- 55 -LRB101 06854 HLH 51885 b

1U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the State.
2    For aviation fuel sold on or after December 1, 2019, each
3month the Department shall pay into the State Aviation Program
4Fund 20% of the net revenue realized for the preceding month
5from the 6.25% general rate on the selling price of aviation
6fuel, less an amount estimated by the Department to be required
7for refunds of the 20% portion of the tax on aviation fuel
8under this Act, which amount shall be deposited into the
9Aviation Fuel Sales Tax Refund Fund. The Department shall only
10pay moneys into the State Aviation Program Fund and the
11Aviation Fuels Sales Tax Refund Fund under this Act for so long
12as the revenue use requirements of 49 U.S.C. 47107(b) and 49
13U.S.C. 47133 are binding on the State.
14    Beginning August 1, 2000, each month the Department shall
15pay into the State and Local Sales Tax Reform Fund 100% of the
16net revenue realized for the preceding month from the 1.25%
17rate on the selling price of motor fuel and gasohol. Beginning
18September 1, 2010, each month the Department shall pay into the
19State and Local Sales Tax Reform Fund 100% of the net revenue
20realized for the preceding month from the 1.25% rate on the
21selling price of sales tax holiday items.
22    Beginning January 1, 1990, each month the Department shall
23pay into the Local Government Tax Fund 16% of the net revenue
24realized for the preceding month from the 6.25% general rate on
25the selling price of tangible personal property which is
26purchased outside Illinois at retail from a retailer and which

 

 

SB0119 Enrolled- 56 -LRB101 06854 HLH 51885 b

1is titled or registered by an agency of this State's
2government.
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, 2011, each month the Department shall pay
11into the Clean Air Act Permit Fund 80% of the net revenue
12realized for the preceding month from the 6.25% general rate on
13the selling price of sorbents used in Illinois in the process
14of sorbent injection as used to comply with the Environmental
15Protection Act or the federal Clean Air Act, but the total
16payment into the Clean Air Act Permit Fund under this Act and
17the Retailers' Occupation Tax Act shall not exceed $2,000,000
18in any fiscal year.
19    Beginning July 1, 2013, each month the Department shall pay
20into the Underground Storage Tank Fund from the proceeds
21collected under this Act, the Service Use Tax Act, the Service
22Occupation Tax Act, and the Retailers' Occupation Tax Act an
23amount equal to the average monthly deficit in the Underground
24Storage Tank Fund during the prior year, as certified annually
25by the Illinois Environmental Protection Agency, but the total
26payment into the Underground Storage Tank Fund under this Act,

 

 

SB0119 Enrolled- 57 -LRB101 06854 HLH 51885 b

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

 

 

SB0119 Enrolled- 58 -LRB101 06854 HLH 51885 b

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

 

 

SB0119 Enrolled- 59 -LRB101 06854 HLH 51885 b

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

 

 

SB0119 Enrolled- 60 -LRB101 06854 HLH 51885 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 the 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
262006113,000,000

 

 

SB0119 Enrolled- 61 -LRB101 06854 HLH 51885 b

12007119,000,000
22008126,000,000
32009132,000,000
42010139,000,000
52011146,000,000
62012153,000,000
72013161,000,000
82014170,000,000
92015179,000,000
102016189,000,000
112017199,000,000
122018210,000,000
132019221,000,000
142020233,000,000
152021246,000,000
162022260,000,000
172023275,000,000
182024 275,000,000
192025 275,000,000
202026 279,000,000
212027 292,000,000
222028 307,000,000
232029 322,000,000
242030 338,000,000
252031 350,000,000
262032 350,000,000

 

 

SB0119 Enrolled- 62 -LRB101 06854 HLH 51885 b

1and
2each fiscal year
3thereafter that bonds
4are outstanding under
5Section 13.2 of the
6Metropolitan Pier and
7Exposition Authority Act,
8but not after fiscal year 2060.
9    Beginning July 20, 1993 and in each month of each fiscal
10year thereafter, one-eighth of the amount requested in the
11certificate of the Chairman of the Metropolitan Pier and
12Exposition Authority for that fiscal year, less the amount
13deposited into the McCormick Place Expansion Project Fund by
14the State Treasurer in the respective month under subsection
15(g) of Section 13 of the Metropolitan Pier and Exposition
16Authority Act, plus cumulative deficiencies in the deposits
17required under this Section for previous months and years,
18shall be deposited into the McCormick Place Expansion Project
19Fund, until the full amount requested for the fiscal year, but
20not in excess of the amount specified above as "Total Deposit",
21has been deposited.
22    Subject to payment of amounts into the Capital Projects
23Fund, the Clean Air Act Permit Fund, the Build Illinois Fund,
24and the McCormick Place Expansion Project Fund pursuant to the
25preceding paragraphs or in any amendments thereto hereafter
26enacted, for aviation fuel sold on or after December 1, 2019,

 

 

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1the Department shall each month deposit into the Aviation Fuel
2Sales Tax Refund Fund an amount estimated by the Department to
3be required for refunds of the 80% portion of the tax on
4aviation fuel under this Act. The Department shall only deposit
5moneys into the Aviation Fuel Sales Tax Refund Fund under this
6paragraph for so long as the revenue use requirements of 49
7U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the State.
8    Subject to payment of amounts into the Build Illinois Fund
9and the McCormick Place Expansion Project Fund pursuant to the
10preceding paragraphs or in any amendments thereto hereafter
11enacted, beginning July 1, 1993 and ending on September 30,
122013, the Department shall each month pay into the Illinois Tax
13Increment Fund 0.27% of 80% of the net revenue realized for the
14preceding month from the 6.25% general rate on the selling
15price of tangible personal property.
16    Subject to payment of amounts into the Build Illinois Fund
17and the McCormick Place Expansion Project Fund pursuant to the
18preceding paragraphs or in any amendments thereto hereafter
19enacted, beginning with the receipt of the first report of
20taxes paid by an eligible business and continuing for a 25-year
21period, the Department shall each month pay into the Energy
22Infrastructure Fund 80% of the net revenue realized from the
236.25% general rate on the selling price of Illinois-mined coal
24that was sold to an eligible business. For purposes of this
25paragraph, the term "eligible business" means a new electric
26generating facility certified pursuant to Section 605-332 of

 

 

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1the Department of Commerce and Economic Opportunity Law of the
2Civil Administrative Code of Illinois.
3    Subject to payment of amounts into the Build Illinois Fund,
4the McCormick Place Expansion Project Fund, the Illinois Tax
5Increment Fund, and the Energy Infrastructure Fund pursuant to
6the preceding paragraphs or in any amendments to this Section
7hereafter enacted, beginning on the first day of the first
8calendar month to occur on or after August 26, 2014 (the
9effective date of Public Act 98-1098), each month, from the
10collections made under Section 9 of the Use Tax Act, Section 9
11of the Service Use Tax Act, Section 9 of the Service Occupation
12Tax Act, and Section 3 of the Retailers' Occupation Tax Act,
13the Department shall pay into the Tax Compliance and
14Administration Fund, to be used, subject to appropriation, to
15fund additional auditors and compliance personnel at the
16Department of Revenue, an amount equal to 1/12 of 5% of 80% of
17the cash receipts collected during the preceding fiscal year by
18the Audit Bureau of the Department under the Use Tax Act, the
19Service Use Tax Act, the Service Occupation Tax Act, the
20Retailers' Occupation Tax Act, and associated local occupation
21and use taxes administered by the Department (except the amount
22collected on aviation fuel sold on or after December 1, 2019).
23    Subject to payments of amounts into the Build Illinois
24Fund, the McCormick Place Expansion Project Fund, the Illinois
25Tax Increment Fund, the Energy Infrastructure Fund, and the Tax
26Compliance and Administration Fund as provided in this Section,

 

 

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1beginning on July 1, 2018 the Department shall pay each month
2into the Downstate Public Transportation Fund the moneys
3required to be so paid under Section 2-3 of the Downstate
4Public Transportation Act.
5    Subject to successful execution and delivery of a
6public-private public private agreement between the public
7agency and private entity and completion of the civic build,
8beginning on July 1, 2023, of the remainder of the moneys
9received by the Department under the Use Tax Act, the Service
10Use Tax Act, the Service Occupation Tax Act, and this Act, the
11Department shall deposit the following specified deposits in
12the aggregate from collections under the Use Tax Act, the
13Service Use Tax Act, the Service Occupation Tax Act, and the
14Retailers' Occupation Tax Act, as required under Section 8.25g
15of the State Finance Act for distribution consistent with the
16Public-Private Partnership for Civic and Transit
17Infrastructure Project Act. The moneys received by the
18Department pursuant to this Act and required to be deposited
19into the Civic and Transit Infrastructure Fund are subject to
20the pledge, claim, and charge set forth in Section 25-55 55 of
21the Public-Private Partnership for Civic and Transit
22Infrastructure Project Act. As used in this paragraph, "civic
23build", "private entity", "public-private private public
24agreement", and "public agency" have the meanings provided in
25Section 25-10 of the Public-Private Partnership for Civic and
26Transit Infrastructure Project Act.

 

 

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1        Fiscal Year............................Total Deposit
2        2024....................................$200,000,000
3        2025....................................$206,000,000
4        2026....................................$212,200,000
5        2027....................................$218,500,000
6        2028....................................$225,100,000
7        2029....................................$288,700,000
8        2030....................................$298,900,000
9        2031....................................$309,300,000
10        2032....................................$320,100,000
11        2033....................................$331,200,000
12        2034....................................$341,200,000
13        2035....................................$351,400,000
14        2036....................................$361,900,000
15        2037....................................$372,800,000
16        2038....................................$384,000,000
17        2039....................................$395,500,000
18        2040....................................$407,400,000
19        2041....................................$419,600,000
20        2042....................................$432,200,000
21        2043....................................$445,100,000
22    Beginning July 1, 2021 and until July 1, 2022, subject to
23the payment of amounts into the State and Local Sales Tax
24Reform Fund, the Build Illinois Fund, the McCormick Place
25Expansion Project Fund, the Illinois Tax Increment Fund, the
26Energy Infrastructure Fund, and the Tax Compliance and

 

 

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1Administration Fund as provided in this Section, the Department
2shall pay each month into the Road Fund the amount estimated to
3represent 16% of the net revenue realized from the taxes
4imposed on motor fuel and gasohol. Beginning July 1, 2022 and
5until July 1, 2023, subject to the payment of amounts into the
6State and Local Sales Tax Reform Fund, the Build Illinois Fund,
7the McCormick Place Expansion Project Fund, the Illinois Tax
8Increment Fund, the Energy Infrastructure Fund, and the Tax
9Compliance and Administration Fund as provided in this Section,
10the Department shall pay each month into the Road Fund the
11amount estimated to represent 32% of the net revenue realized
12from the taxes imposed on motor fuel and gasohol. Beginning
13July 1, 2023 and until July 1, 2024, subject to the payment of
14amounts into the State and Local Sales Tax Reform Fund, the
15Build Illinois Fund, the McCormick Place Expansion Project
16Fund, the Illinois Tax Increment Fund, the Energy
17Infrastructure Fund, and the Tax Compliance and Administration
18Fund as provided in this Section, the Department shall pay each
19month into the Road Fund the amount estimated to represent 48%
20of the net revenue realized from the taxes imposed on motor
21fuel and gasohol. Beginning July 1, 2024 and until July 1,
222025, subject to the payment of amounts into the State and
23Local Sales Tax Reform Fund, the Build Illinois Fund, the
24McCormick Place Expansion Project Fund, the Illinois Tax
25Increment Fund, the Energy Infrastructure Fund, and the Tax
26Compliance and Administration Fund as provided in this Section,

 

 

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1the Department shall pay each month into the Road Fund the
2amount estimated to represent 64% of the net revenue realized
3from the taxes imposed on motor fuel and gasohol. Beginning on
4July 1, 2025, subject to the payment of amounts into the State
5and Local Sales Tax Reform Fund, the Build Illinois Fund, the
6McCormick Place Expansion Project Fund, the Illinois Tax
7Increment Fund, the Energy Infrastructure Fund, and the Tax
8Compliance and Administration Fund as provided in this Section,
9the Department shall pay each month into the Road Fund the
10amount estimated to represent 80% of the net revenue realized
11from the taxes imposed on motor fuel and gasohol. As used in
12this paragraph "motor fuel" has the meaning given to that term
13in Section 1.1 of the Motor Fuel Tax Act, and "gasohol" has the
14meaning given to that term in Section 3-40 of this Act.
15    Of the remainder of the moneys received by the Department
16pursuant to this Act, 75% thereof shall be paid into the State
17Treasury and 25% shall be reserved in a special account and
18used only for the transfer to the Common School Fund as part of
19the monthly transfer from the General Revenue Fund in
20accordance with Section 8a of the State Finance Act.
21    As soon as possible after the first day of each month, upon
22certification of the Department of Revenue, the Comptroller
23shall order transferred and the Treasurer shall transfer from
24the General Revenue Fund to the Motor Fuel Tax Fund an amount
25equal to 1.7% of 80% of the net revenue realized under this Act
26for the second preceding month. Beginning April 1, 2000, this

 

 

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1transfer is no longer required and shall not be made.
2    Net revenue realized for a month shall be the revenue
3collected by the State pursuant to this Act, less the amount
4paid out during that month as refunds to taxpayers for
5overpayment of liability.
6    For greater simplicity of administration, manufacturers,
7importers and wholesalers whose products are sold at retail in
8Illinois by numerous retailers, and who wish to do so, may
9assume the responsibility for accounting and paying to the
10Department all tax accruing under this Act with respect to such
11sales, if the retailers who are affected do not make written
12objection to the Department to this arrangement.
13(Source: P.A. 100-303, eff. 8-24-17; 100-363, eff. 7-1-18;
14100-863, eff. 8-14-18; 100-1171, eff. 1-4-19; 101-10, Article
1515, Section 15-10, eff. 6-5-19; 101-10, Article 25, Section
1625-105, eff. 6-5-19; 101-27, eff. 6-25-19; 101-32, eff.
176-28-19; revised 7-29-19.)
 
18    Section 10-30. The Service Use Tax Act is amended by
19changing Sections 2 and 9 as follows:
 
20    (35 ILCS 110/2)  (from Ch. 120, par. 439.32)
21    Sec. 2. Definitions. In this Act:
22    "Use" means the exercise by any person of any right or
23power over tangible personal property incident to the ownership
24of that property, but does not include the sale or use for

 

 

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1demonstration by him of that property in any form as tangible
2personal property in the regular course of business. "Use" does
3not mean the interim use of tangible personal property nor the
4physical incorporation of tangible personal property, as an
5ingredient or constituent, into other tangible personal
6property, (a) which is sold in the regular course of business
7or (b) which the person incorporating such ingredient or
8constituent therein has undertaken at the time of such purchase
9to cause to be transported in interstate commerce to
10destinations outside the State of Illinois.
11    "Purchased from a serviceman" means the acquisition of the
12ownership of, or title to, tangible personal property through a
13sale of service.
14    "Purchaser" means any person who, through a sale of
15service, acquires the ownership of, or title to, any tangible
16personal property.
17    "Cost price" means the consideration paid by the serviceman
18for a purchase valued in money, whether paid in money or
19otherwise, including cash, credits and services, and shall be
20determined without any deduction on account of the supplier's
21cost of the property sold or on account of any other expense
22incurred by the supplier. When a serviceman contracts out part
23or all of the services required in his sale of service, it
24shall be presumed that the cost price to the serviceman of the
25property transferred to him or her by his or her subcontractor
26is equal to 50% of the subcontractor's charges to the

 

 

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1serviceman in the absence of proof of the consideration paid by
2the subcontractor for the purchase of such property.
3    "Selling price" means the consideration for a sale valued
4in money whether received in money or otherwise, including
5cash, credits and service, and shall be determined without any
6deduction on account of the serviceman's cost of the property
7sold, the cost of materials used, labor or service cost or any
8other expense whatsoever, but does not include interest or
9finance charges which appear as separate items on the bill of
10sale or sales contract nor charges that are added to prices by
11sellers on account of the seller's duty to collect, from the
12purchaser, the tax that is imposed by this Act.
13    "Department" means the Department of Revenue.
14    "Person" means any natural individual, firm, partnership,
15association, joint stock company, joint venture, public or
16private corporation, limited liability company, and any
17receiver, executor, trustee, guardian or other representative
18appointed by order of any court.
19    "Sale of service" means any transaction except:
20        (1) a retail sale of tangible personal property taxable
21    under the Retailers' Occupation Tax Act or under the Use
22    Tax Act.
23        (2) a sale of tangible personal property for the
24    purpose of resale made in compliance with Section 2c of the
25    Retailers' Occupation Tax Act.
26        (3) except as hereinafter provided, a sale or transfer

 

 

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1    of tangible personal property as an incident to the
2    rendering of service for or by any governmental body, or
3    for or by any corporation, society, association,
4    foundation or institution organized and operated
5    exclusively for charitable, religious or educational
6    purposes or any not-for-profit corporation, society,
7    association, foundation, institution or organization which
8    has no compensated officers or employees and which is
9    organized and operated primarily for the recreation of
10    persons 55 years of age or older. A limited liability
11    company may qualify for the exemption under this paragraph
12    only if the limited liability company is organized and
13    operated exclusively for educational purposes.
14        (4) (blank).
15        (4a) a sale or transfer of tangible personal property
16    as an incident to the rendering of service for owners,
17    lessors, or shippers of tangible personal property which is
18    utilized by interstate carriers for hire for use as rolling
19    stock moving in interstate commerce so long as so used by
20    interstate carriers for hire, and equipment operated by a
21    telecommunications provider, licensed as a common carrier
22    by the Federal Communications Commission, which is
23    permanently installed in or affixed to aircraft moving in
24    interstate commerce.
25        (4a-5) on and after July 1, 2003 and through June 30,
26    2004, a sale or transfer of a motor vehicle of the second

 

 

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1    division with a gross vehicle weight in excess of 8,000
2    pounds as an incident to the rendering of service if that
3    motor vehicle is subject to the commercial distribution fee
4    imposed under Section 3-815.1 of the Illinois Vehicle Code.
5    Beginning on July 1, 2004 and through June 30, 2005, the
6    use in this State of motor vehicles of the second division:
7    (i) with a gross vehicle weight rating in excess of 8,000
8    pounds; (ii) that are subject to the commercial
9    distribution fee imposed under Section 3-815.1 of the
10    Illinois Vehicle Code; and (iii) that are primarily used
11    for commercial purposes. Through June 30, 2005, this
12    exemption applies to repair and replacement parts added
13    after the initial purchase of such a motor vehicle if that
14    motor vehicle is used in a manner that would qualify for
15    the rolling stock exemption otherwise provided for in this
16    Act. For purposes of this paragraph, "used for commercial
17    purposes" means the transportation of persons or property
18    in furtherance of any commercial or industrial enterprise
19    whether for-hire or not.
20        (5) a sale or transfer of machinery and equipment used
21    primarily in the process of the manufacturing or
22    assembling, either in an existing, an expanded or a new
23    manufacturing facility, of tangible personal property for
24    wholesale or retail sale or lease, whether such sale or
25    lease is made directly by the manufacturer or by some other
26    person, whether the materials used in the process are owned

 

 

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1    by the manufacturer or some other person, or whether such
2    sale or lease is made apart from or as an incident to the
3    seller's engaging in a service occupation and the
4    applicable tax is a Service Use Tax or Service Occupation
5    Tax, rather than Use Tax or Retailers' Occupation Tax. The
6    exemption provided by this paragraph (5) includes
7    production related tangible personal property, as defined
8    in Section 3-50 of the Use Tax Act, purchased on or after
9    July 1, 2019. The exemption provided by this paragraph (5)
10    does not include machinery and equipment used in (i) the
11    generation of electricity for wholesale or retail sale;
12    (ii) the generation or treatment of natural or artificial
13    gas for wholesale or retail sale that is delivered to
14    customers through pipes, pipelines, or mains; or (iii) the
15    treatment of water for wholesale or retail sale that is
16    delivered to customers through pipes, pipelines, or mains.
17    The provisions of Public Act 98-583 are declaratory of
18    existing law as to the meaning and scope of this exemption.
19    The exemption under this paragraph (5) is exempt from the
20    provisions of Section 3-75.
21        (5a) the repairing, reconditioning or remodeling, for
22    a common carrier by rail, of tangible personal property
23    which belongs to such carrier for hire, and as to which
24    such carrier receives the physical possession of the
25    repaired, reconditioned or remodeled item of tangible
26    personal property in Illinois, and which such carrier

 

 

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1    transports, or shares with another common carrier in the
2    transportation of such property, out of Illinois on a
3    standard uniform bill of lading showing the person who
4    repaired, reconditioned or remodeled the property to a
5    destination outside Illinois, for use outside Illinois.
6        (5b) a sale or transfer of tangible personal property
7    which is produced by the seller thereof on special order in
8    such a way as to have made the applicable tax the Service
9    Occupation Tax or the Service Use Tax, rather than the
10    Retailers' Occupation Tax or the Use Tax, for an interstate
11    carrier by rail which receives the physical possession of
12    such property in Illinois, and which transports such
13    property, or shares with another common carrier in the
14    transportation of such property, out of Illinois on a
15    standard uniform bill of lading showing the seller of the
16    property as the shipper or consignor of such property to a
17    destination outside Illinois, for use outside Illinois.
18        (6) until July 1, 2003, a sale or transfer of
19    distillation machinery and equipment, sold as a unit or kit
20    and assembled or installed by the retailer, which machinery
21    and equipment is certified by the user to be used only for
22    the production of ethyl alcohol that will be used for
23    consumption as motor fuel or as a component of motor fuel
24    for the personal use of such user and not subject to sale
25    or resale.
26        (7) at the election of any serviceman not required to

 

 

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1    be otherwise registered as a retailer under Section 2a of
2    the Retailers' Occupation Tax Act, made for each fiscal
3    year sales of service in which the aggregate annual cost
4    price of tangible personal property transferred as an
5    incident to the sales of service is less than 35%, or 75%
6    in the case of servicemen transferring prescription drugs
7    or servicemen engaged in graphic arts production, of the
8    aggregate annual total gross receipts from all sales of
9    service. The purchase of such tangible personal property by
10    the serviceman shall be subject to tax under the Retailers'
11    Occupation Tax Act and the Use Tax Act. However, if a
12    primary serviceman who has made the election described in
13    this paragraph subcontracts service work to a secondary
14    serviceman who has also made the election described in this
15    paragraph, the primary serviceman does not incur a Use Tax
16    liability if the secondary serviceman (i) has paid or will
17    pay Use Tax on his or her cost price of any tangible
18    personal property transferred to the primary serviceman
19    and (ii) certifies that fact in writing to the primary
20    serviceman.
21    Tangible personal property transferred incident to the
22completion of a maintenance agreement is exempt from the tax
23imposed pursuant to this Act.
24    Exemption (5) also includes machinery and equipment used in
25the general maintenance or repair of such exempt machinery and
26equipment or for in-house manufacture of exempt machinery and

 

 

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1equipment. On and after July 1, 2017, exemption (5) also
2includes graphic arts machinery and equipment, as defined in
3paragraph (5) of Section 3-5. The machinery and equipment
4exemption does not include machinery and equipment used in (i)
5the generation of electricity for wholesale or retail sale;
6(ii) the generation or treatment of natural or artificial gas
7for wholesale or retail sale that is delivered to customers
8through pipes, pipelines, or mains; or (iii) the treatment of
9water for wholesale or retail sale that is delivered to
10customers through pipes, pipelines, or mains. The provisions of
11Public Act 98-583 are declaratory of existing law as to the
12meaning and scope of this exemption. For the purposes of
13exemption (5), each of these terms shall have the following
14meanings: (1) "manufacturing process" shall mean the
15production of any article of tangible personal property,
16whether such article is a finished product or an article for
17use in the process of manufacturing or assembling a different
18article of tangible personal property, by procedures commonly
19regarded as manufacturing, processing, fabricating, or
20refining which changes some existing material or materials into
21a material with a different form, use or name. In relation to a
22recognized integrated business composed of a series of
23operations which collectively constitute manufacturing, or
24individually constitute manufacturing operations, the
25manufacturing process shall be deemed to commence with the
26first operation or stage of production in the series, and shall

 

 

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1not be deemed to end until the completion of the final product
2in the last operation or stage of production in the series; and
3further, for purposes of exemption (5), photoprocessing is
4deemed to be a manufacturing process of tangible personal
5property for wholesale or retail sale; (2) "assembling process"
6shall mean the production of any article of tangible personal
7property, whether such article is a finished product or an
8article for use in the process of manufacturing or assembling a
9different article of tangible personal property, by the
10combination of existing materials in a manner commonly regarded
11as assembling which results in a material of a different form,
12use or name; (3) "machinery" shall mean major mechanical
13machines or major components of such machines contributing to a
14manufacturing or assembling process; and (4) "equipment" shall
15include any independent device or tool separate from any
16machinery but essential to an integrated manufacturing or
17assembly process; including computers used primarily in a
18manufacturer's computer assisted design, computer assisted
19manufacturing (CAD/CAM) system; or any subunit or assembly
20comprising a component of any machinery or auxiliary, adjunct
21or attachment parts of machinery, such as tools, dies, jigs,
22fixtures, patterns and molds; or any parts which require
23periodic replacement in the course of normal operation; but
24shall not include hand tools. Equipment includes chemicals or
25chemicals acting as catalysts but only if the chemicals or
26chemicals acting as catalysts effect a direct and immediate

 

 

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1change upon a product being manufactured or assembled for
2wholesale or retail sale or lease. The purchaser of such
3machinery and equipment who has an active resale registration
4number shall furnish such number to the seller at the time of
5purchase. The purchaser user of such machinery and equipment
6and tools without an active resale registration number shall
7prepare a certificate of exemption for each transaction stating
8facts establishing the exemption for that transaction, which
9certificate shall be available to the Department for inspection
10or audit. The Department shall prescribe the form of the
11certificate.
12    Any informal rulings, opinions or letters issued by the
13Department in response to an inquiry or request for any opinion
14from any person regarding the coverage and applicability of
15exemption (5) to specific devices shall be published,
16maintained as a public record, and made available for public
17inspection and copying. If the informal ruling, opinion or
18letter contains trade secrets or other confidential
19information, where possible the Department shall delete such
20information prior to publication. Whenever such informal
21rulings, opinions, or letters contain any policy of general
22applicability, the Department shall formulate and adopt such
23policy as a rule in accordance with the provisions of the
24Illinois Administrative Procedure Act.
25    On and after July 1, 1987, no entity otherwise eligible
26under exemption (3) of this Section shall make tax-free

 

 

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1purchases unless it has an active exemption identification
2number issued by the Department.
3    The purchase, employment and transfer of such tangible
4personal property as newsprint and ink for the primary purpose
5of conveying news (with or without other information) is not a
6purchase, use or sale of service or of tangible personal
7property within the meaning of this Act.
8    "Serviceman" means any person who is engaged in the
9occupation of making sales of service.
10    "Sale at retail" means "sale at retail" as defined in the
11Retailers' Occupation Tax Act.
12    "Supplier" means any person who makes sales of tangible
13personal property to servicemen for the purpose of resale as an
14incident to a sale of service.
15    "Serviceman maintaining a place of business in this State",
16or any like term, means and includes any serviceman:
17        (1) having or maintaining within this State, directly
18    or by a subsidiary, an office, distribution house, sales
19    house, warehouse or other place of business, or any agent
20    or other representative operating within this State under
21    the authority of the serviceman or its subsidiary,
22    irrespective of whether such place of business or agent or
23    other representative is located here permanently or
24    temporarily, or whether such serviceman or subsidiary is
25    licensed to do business in this State;
26        (1.1) having a contract with a person located in this

 

 

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1    State under which the person, for a commission or other
2    consideration based on the sale of service by the
3    serviceman, directly or indirectly refers potential
4    customers to the serviceman by providing to the potential
5    customers a promotional code or other mechanism that allows
6    the serviceman to track purchases referred by such persons.
7    Examples of mechanisms that allow the serviceman to track
8    purchases referred by such persons include but are not
9    limited to the use of a link on the person's Internet
10    website, promotional codes distributed through the
11    person's hand-delivered or mailed material, and
12    promotional codes distributed by the person through radio
13    or other broadcast media. The provisions of this paragraph
14    (1.1) shall apply only if the cumulative gross receipts
15    from sales of service by the serviceman to customers who
16    are referred to the serviceman by all persons in this State
17    under such contracts exceed $10,000 during the preceding 4
18    quarterly periods ending on the last day of March, June,
19    September, and December; a serviceman meeting the
20    requirements of this paragraph (1.1) shall be presumed to
21    be maintaining a place of business in this State but may
22    rebut this presumption by submitting proof that the
23    referrals or other activities pursued within this State by
24    such persons were not sufficient to meet the nexus
25    standards of the United States Constitution during the
26    preceding 4 quarterly periods;

 

 

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1        (1.2) beginning July 1, 2011, having a contract with a
2    person located in this State under which:
3            (A) the serviceman sells the same or substantially
4        similar line of services as the person located in this
5        State and does so using an identical or substantially
6        similar name, trade name, or trademark as the person
7        located in this State; and
8            (B) the serviceman provides a commission or other
9        consideration to the person located in this State based
10        upon the sale of services by the serviceman.
11    The provisions of this paragraph (1.2) shall apply only if
12    the cumulative gross receipts from sales of service by the
13    serviceman to customers in this State under all such
14    contracts exceed $10,000 during the preceding 4 quarterly
15    periods ending on the last day of March, June, September,
16    and December;
17        (2) soliciting orders for tangible personal property
18    by means of a telecommunication or television shopping
19    system (which utilizes toll free numbers) which is intended
20    by the retailer to be broadcast by cable television or
21    other means of broadcasting, to consumers located in this
22    State;
23        (3) pursuant to a contract with a broadcaster or
24    publisher located in this State, soliciting orders for
25    tangible personal property by means of advertising which is
26    disseminated primarily to consumers located in this State

 

 

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1    and only secondarily to bordering jurisdictions;
2        (4) soliciting orders for tangible personal property
3    by mail if the solicitations are substantial and recurring
4    and if the retailer benefits from any banking, financing,
5    debt collection, telecommunication, or marketing
6    activities occurring in this State or benefits from the
7    location in this State of authorized installation,
8    servicing, or repair facilities;
9        (5) being owned or controlled by the same interests
10    which own or control any retailer engaging in business in
11    the same or similar line of business in this State;
12        (6) having a franchisee or licensee operating under its
13    trade name if the franchisee or licensee is required to
14    collect the tax under this Section;
15        (7) pursuant to a contract with a cable television
16    operator located in this State, soliciting orders for
17    tangible personal property by means of advertising which is
18    transmitted or distributed over a cable television system
19    in this State;
20        (8) engaging in activities in Illinois, which
21    activities in the state in which the supply business
22    engaging in such activities is located would constitute
23    maintaining a place of business in that state; or
24        (9) beginning October 1, 2018, making sales of service
25    to purchasers in Illinois from outside of Illinois if:
26            (A) the cumulative gross receipts from sales of

 

 

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1        service to purchasers in Illinois are $100,000 or more;
2        or
3            (B) the serviceman enters into 200 or more separate
4        transactions for sales of service to purchasers in
5        Illinois.
6        The serviceman shall determine on a quarterly basis,
7    ending on the last day of March, June, September, and
8    December, whether he or she meets the criteria of either
9    subparagraph (A) or (B) of this paragraph (9) for the
10    preceding 12-month period. If the serviceman meets the
11    criteria of either subparagraph (A) or (B) for a 12-month
12    period, he or she is considered a serviceman maintaining a
13    place of business in this State and is required to collect
14    and remit the tax imposed under this Act and file returns
15    for one year. At the end of that one-year period, the
16    serviceman shall determine whether the serviceman met the
17    criteria of either subparagraph (A) or (B) during the
18    preceding 12-month period. If the serviceman met the
19    criteria in either subparagraph (A) or (B) for the
20    preceding 12-month period, he or she is considered a
21    serviceman maintaining a place of business in this State
22    and is required to collect and remit the tax imposed under
23    this Act and file returns for the subsequent year. If at
24    the end of a one-year period a serviceman that was required
25    to collect and remit the tax imposed under this Act
26    determines that he or she did not meet the criteria in

 

 

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1    either subparagraph (A) or (B) during the preceding
2    12-month period, the serviceman subsequently shall
3    determine on a quarterly basis, ending on the last day of
4    March, June, September, and December, whether he or she
5    meets the criteria of either subparagraph (A) or (B) for
6    the preceding 12-month period.
7        Beginning January 1, 2020, neither the gross receipts
8    from nor the number of separate transactions for sales of
9    service to purchasers in Illinois that a serviceman makes
10    through a marketplace facilitator and for which the
11    serviceman has received a certification from the
12    marketplace facilitator pursuant to Section 2d of this Act
13    shall be included for purposes of determining whether he or
14    she has met the thresholds of this paragraph (9).
15        (10) Beginning January 1, 2020, a marketplace
16    facilitator, as defined in Section 2d of this Act.
17(Source: P.A. 100-22, eff. 7-6-17; 100-321, eff. 8-24-17;
18100-587, eff. 6-4-18; 100-863, eff. 8-14-18; 101-9, Article 10,
19Section 10-15, eff. 6-5-19; 101-9, Article 25, Section 25-10,
20eff. 6-5-19; revised 7-10-19.)
 
21    (35 ILCS 110/9)  (from Ch. 120, par. 439.39)
22    Sec. 9. Each serviceman required or authorized to collect
23the tax herein imposed shall pay to the Department the amount
24of such tax (except as otherwise provided) at the time when he
25is required to file his return for the period during which such

 

 

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1tax was collected, less a discount of 2.1% prior to January 1,
21990 and 1.75% on and after January 1, 1990, or $5 per calendar
3year, whichever is greater, which is allowed to reimburse the
4serviceman for expenses incurred in collecting the tax, keeping
5records, preparing and filing returns, remitting the tax and
6supplying data to the Department on request. The discount under
7this Section is not allowed for the 1.25% portion of taxes paid
8on aviation fuel that is subject to the revenue use
9requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
10deposited into the State Aviation Program Fund under this Act.
11The discount allowed under this Section is allowed only for
12returns that are filed in the manner required by this Act. The
13Department may disallow the discount for servicemen whose
14certificate of registration is revoked at the time the return
15is filed, but only if the Department's decision to revoke the
16certificate of registration has become final. A serviceman need
17not remit that part of any tax collected by him to the extent
18that he is required to pay and does pay the tax imposed by the
19Service Occupation Tax Act with respect to his sale of service
20involving the incidental transfer by him of the same property.
21    Except as provided hereinafter in this Section, on or
22before the twentieth day of each calendar month, such
23serviceman shall file a return for the preceding calendar month
24in accordance with reasonable Rules and Regulations to be
25promulgated by the Department. Such return shall be filed on a
26form prescribed by the Department and shall contain such

 

 

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1information as the Department may reasonably require. On and
2after January 1, 2018, with respect to servicemen whose annual
3gross receipts average $20,000 or more, all returns required to
4be filed pursuant to this Act shall be filed electronically.
5Servicemen who demonstrate that they do not have access to the
6Internet or demonstrate hardship in filing electronically may
7petition the Department to waive the electronic filing
8requirement.
9    The Department may require returns to be filed on a
10quarterly basis. If so required, a return for each calendar
11quarter shall be filed on or before the twentieth day of the
12calendar month following the end of such calendar quarter. The
13taxpayer shall also file a return with the Department for each
14of the first two months of each calendar quarter, on or before
15the twentieth day of the following calendar month, stating:
16        1. The name of the seller;
17        2. The address of the principal place of business from
18    which he engages in business as a serviceman in this State;
19        3. The total amount of taxable receipts received by him
20    during the preceding calendar month, including receipts
21    from charge and time sales, but less all deductions allowed
22    by law;
23        4. The amount of credit provided in Section 2d of this
24    Act;
25        5. The amount of tax due;
26        5-5. The signature of the taxpayer; and

 

 

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1        6. Such other reasonable information as the Department
2    may require.
3    Each Beginning on January 1, 2020, each serviceman required
4or authorized to collect the tax imposed by this Act on
5aviation fuel transferred as an incident of a sale of service
6in this State during the preceding calendar month shall,
7instead of reporting and paying tax on aviation fuel as
8otherwise required by this Section, report and pay such the tax
9on a separate by filing an aviation fuel tax return with the
10Department on or before the twentieth day of each calendar
11month. The requirements related to the return shall be as
12otherwise provided in this Section. Notwithstanding any other
13provisions of this Act to the contrary, servicemen collecting
14tax on aviation fuel shall file all aviation fuel tax returns
15and shall make all aviation fuel tax payments by electronic
16means in the manner and form required by the Department. For
17purposes of this Section paragraph, "aviation fuel" means jet
18fuel and aviation gasoline a product that is intended for use
19or offered for sale as fuel for an aircraft.
20    If a taxpayer fails to sign a return within 30 days after
21the proper notice and demand for signature by the Department,
22the return shall be considered valid and any amount shown to be
23due on the return shall be deemed assessed.
24    Notwithstanding any other provision of this Act to the
25contrary, servicemen subject to tax on cannabis shall file all
26cannabis tax returns and shall make all cannabis tax payments

 

 

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1by electronic means in the manner and form required by the
2Department.
3    Beginning October 1, 1993, a taxpayer who has an average
4monthly tax liability of $150,000 or more shall make all
5payments required by rules of the Department by electronic
6funds transfer. Beginning October 1, 1994, a taxpayer who has
7an average monthly tax liability of $100,000 or more shall make
8all payments required by rules of the Department by electronic
9funds transfer. Beginning October 1, 1995, a taxpayer who has
10an average monthly tax liability of $50,000 or more shall make
11all payments required by rules of the Department by electronic
12funds transfer. Beginning October 1, 2000, a taxpayer who has
13an annual tax liability of $200,000 or more shall make all
14payments required by rules of the Department by electronic
15funds transfer. The term "annual tax liability" shall be the
16sum of the taxpayer's liabilities under this Act, and under all
17other State and local occupation and use tax laws administered
18by the Department, for the immediately preceding calendar year.
19The term "average monthly tax liability" means the sum of the
20taxpayer's liabilities under this Act, and under all other
21State and local occupation and use tax laws administered by the
22Department, for the immediately preceding calendar year
23divided by 12. Beginning on October 1, 2002, a taxpayer who has
24a tax liability in the amount set forth in subsection (b) of
25Section 2505-210 of the Department of Revenue Law shall make
26all payments required by rules of the Department by electronic

 

 

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

 

 

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

 

 

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1occupation tax or use tax which such serviceman may be required
2to pay or remit to the Department, as shown by such return,
3provided that the amount of the tax to be deducted shall
4previously have been remitted to the Department by such
5serviceman. If the serviceman shall not previously have
6remitted the amount of such tax to the Department, he shall be
7entitled to no deduction hereunder upon refunding such tax to
8the purchaser.
9    Any serviceman filing a return hereunder shall also include
10the total tax upon the selling price of tangible personal
11property purchased for use by him as an incident to a sale of
12service, and such serviceman shall remit the amount of such tax
13to the Department when filing such return.
14    If experience indicates such action to be practicable, the
15Department may prescribe and furnish a combination or joint
16return which will enable servicemen, who are required to file
17returns hereunder and also under the Service Occupation Tax
18Act, to furnish all the return information required by both
19Acts on the one form.
20    Where the serviceman has more than one business registered
21with the Department under separate registration hereunder,
22such serviceman shall not file each return that is due as a
23single return covering all such registered businesses, but
24shall file separate returns for each such registered business.
25    Beginning January 1, 1990, each month the Department shall
26pay into the State and Local Tax Reform Fund, a special fund in

 

 

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1the State Treasury, the net revenue realized for the preceding
2month from the 1% tax imposed under this Act.
3    Beginning January 1, 1990, each month the Department shall
4pay into the State and Local Sales Tax Reform Fund 20% of the
5net revenue realized for the preceding month from the 6.25%
6general rate on transfers of tangible personal property, other
7than (i) tangible personal property which is purchased outside
8Illinois at retail from a retailer and which is titled or
9registered by an agency of this State's government and (ii)
10aviation fuel sold on or after December 1, 2019. This exception
11for aviation fuel only applies for so long as the revenue use
12requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
13binding on the State.
14    For aviation fuel sold on or after December 1, 2019, each
15month the Department shall pay into the State Aviation Program
16Fund 20% of the net revenue realized for the preceding month
17from the 6.25% general rate on the selling price of aviation
18fuel, less an amount estimated by the Department to be required
19for refunds of the 20% portion of the tax on aviation fuel
20under this Act, which amount shall be deposited into the
21Aviation Fuel Sales Tax Refund Fund. The Department shall only
22pay moneys into the State Aviation Program Fund and the
23Aviation Fuel Sales Tax Refund Fund under this Act for so long
24as the revenue use requirements of 49 U.S.C. 47107(b) and 49
25U.S.C. 47133 are binding on the State.
26    Beginning August 1, 2000, each month the Department shall

 

 

SB0119 Enrolled- 94 -LRB101 06854 HLH 51885 b

1pay into the State and Local Sales Tax Reform Fund 100% of the
2net revenue realized for the preceding month from the 1.25%
3rate on the selling price of motor fuel and gasohol.
4    Beginning October 1, 2009, each month the Department shall
5pay into the Capital Projects Fund an amount that is equal to
6an amount estimated by the Department to represent 80% of the
7net revenue realized for the preceding month from the sale of
8candy, grooming and hygiene products, and soft drinks that had
9been taxed at a rate of 1% prior to September 1, 2009 but that
10are now taxed at 6.25%.
11    Beginning July 1, 2013, each month the Department shall pay
12into the Underground Storage Tank Fund from the proceeds
13collected under this Act, the Use Tax Act, the Service
14Occupation Tax Act, and the Retailers' Occupation Tax Act an
15amount equal to the average monthly deficit in the Underground
16Storage Tank Fund during the prior year, as certified annually
17by the Illinois Environmental Protection Agency, but the total
18payment into the Underground Storage Tank Fund under this Act,
19the Use Tax Act, the Service Occupation Tax Act, and the
20Retailers' Occupation Tax Act shall not exceed $18,000,000 in
21any State fiscal year. As used in this paragraph, the "average
22monthly deficit" shall be equal to the difference between the
23average monthly claims for payment by the fund and the average
24monthly revenues deposited into the fund, excluding payments
25made pursuant to this paragraph.
26    Beginning July 1, 2015, of the remainder of the moneys

 

 

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

 

 

SB0119 Enrolled- 96 -LRB101 06854 HLH 51885 b

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

 

 

SB0119 Enrolled- 97 -LRB101 06854 HLH 51885 b

1aggregate of the moneys deposited in the Build Illinois Bond
2Account in the Build Illinois Fund in such month shall be less
3than the amount required to be transferred in such month from
4the Build Illinois Bond Account to the Build Illinois Bond
5Retirement and Interest Fund pursuant to Section 13 of the
6Build Illinois Bond Act, an amount equal to such deficiency
7shall be immediately paid from other moneys received by the
8Department pursuant to the Tax Acts to the Build Illinois Fund;
9provided, however, that any amounts paid to the Build Illinois
10Fund in any fiscal year pursuant to this sentence shall be
11deemed to constitute payments pursuant to clause (b) of the
12preceding sentence and shall reduce the amount otherwise
13payable for such fiscal year pursuant to clause (b) of the
14preceding sentence. The moneys received by the Department
15pursuant to this Act and required to be deposited into the
16Build Illinois Fund are subject to the pledge, claim and charge
17set forth in Section 12 of the Build Illinois Bond Act.
18    Subject to payment of amounts into the Build Illinois Fund
19as provided in the preceding paragraph or in any amendment
20thereto hereafter enacted, the following specified monthly
21installment of the amount requested in the certificate of the
22Chairman of the Metropolitan Pier and Exposition Authority
23provided under Section 8.25f of the State Finance Act, but not
24in excess of the sums designated as "Total Deposit", shall be
25deposited in the aggregate from collections under Section 9 of
26the Use Tax Act, Section 9 of the Service Use Tax Act, Section

 

 

SB0119 Enrolled- 98 -LRB101 06854 HLH 51885 b

19 of the Service Occupation Tax Act, and Section 3 of the
2Retailers' Occupation Tax Act into the McCormick Place
3Expansion Project Fund in the specified fiscal years.
4Fiscal YearTotal Deposit
51993         $0
61994 53,000,000
71995 58,000,000
81996 61,000,000
91997 64,000,000
101998 68,000,000
111999 71,000,000
122000 75,000,000
132001 80,000,000
142002 93,000,000
152003 99,000,000
162004103,000,000
172005108,000,000
182006113,000,000
192007119,000,000
202008126,000,000
212009132,000,000
222010139,000,000
232011146,000,000
242012153,000,000
252013161,000,000

 

 

SB0119 Enrolled- 99 -LRB101 06854 HLH 51885 b

12014170,000,000
22015179,000,000
32016189,000,000
42017199,000,000
52018210,000,000
62019221,000,000
72020233,000,000
82021246,000,000
92022260,000,000
102023275,000,000
112024 275,000,000
122025 275,000,000
132026 279,000,000
142027 292,000,000
152028 307,000,000
162029 322,000,000
172030 338,000,000
182031 350,000,000
192032 350,000,000
20and
21each fiscal year
22thereafter that bonds
23are outstanding under
24Section 13.2 of the
25Metropolitan Pier and
26Exposition Authority Act,

 

 

SB0119 Enrolled- 100 -LRB101 06854 HLH 51885 b

1but not after fiscal year 2060.
2    Beginning July 20, 1993 and in each month of each fiscal
3year thereafter, one-eighth of the amount requested in the
4certificate of the Chairman of the Metropolitan Pier and
5Exposition Authority for that fiscal year, less the amount
6deposited into the McCormick Place Expansion Project Fund by
7the State Treasurer in the respective month under subsection
8(g) of Section 13 of the Metropolitan Pier and Exposition
9Authority Act, plus cumulative deficiencies in the deposits
10required under this Section for previous months and years,
11shall be deposited into the McCormick Place Expansion Project
12Fund, until the full amount requested for the fiscal year, but
13not in excess of the amount specified above as "Total Deposit",
14has been deposited.
15    Subject to payment of amounts into the Capital Projects
16Fund, the Clean Air Act Permit Fund, the Build Illinois Fund,
17and the McCormick Place Expansion Project Fund pursuant to the
18preceding paragraphs or in any amendments thereto hereafter
19enacted, for aviation fuel sold on or after December 1, 2019,
20the Department shall each month deposit into the Aviation Fuel
21Sales Tax Refund Fund an amount estimated by the Department to
22be required for refunds of the 80% portion of the tax on
23aviation fuel under this Act. The Department shall only deposit
24moneys into the Aviation Fuel Sales Tax Refund Fund under this
25paragraph for so long as the revenue use requirements of 49
26U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the State.

 

 

SB0119 Enrolled- 101 -LRB101 06854 HLH 51885 b

1    Subject to payment of amounts into the Build Illinois Fund
2and the McCormick Place Expansion Project Fund pursuant to the
3preceding paragraphs or in any amendments thereto hereafter
4enacted, beginning July 1, 1993 and ending on September 30,
52013, the Department shall each month pay into the Illinois Tax
6Increment Fund 0.27% of 80% of the net revenue realized for the
7preceding month from the 6.25% general rate on the selling
8price of tangible personal property.
9    Subject to payment of amounts into the Build Illinois Fund
10and the McCormick Place Expansion Project Fund pursuant to the
11preceding paragraphs or in any amendments thereto hereafter
12enacted, beginning with the receipt of the first report of
13taxes paid by an eligible business and continuing for a 25-year
14period, the Department shall each month pay into the Energy
15Infrastructure Fund 80% of the net revenue realized from the
166.25% general rate on the selling price of Illinois-mined coal
17that was sold to an eligible business. For purposes of this
18paragraph, the term "eligible business" means a new electric
19generating facility certified pursuant to Section 605-332 of
20the Department of Commerce and Economic Opportunity Law of the
21Civil Administrative Code of Illinois.
22    Subject to payment of amounts into the Build Illinois Fund,
23the McCormick Place Expansion Project Fund, the Illinois Tax
24Increment Fund, and the Energy Infrastructure Fund pursuant to
25the preceding paragraphs or in any amendments to this Section
26hereafter enacted, beginning on the first day of the first

 

 

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1calendar month to occur on or after August 26, 2014 (the
2effective date of Public Act 98-1098), each month, from the
3collections made under Section 9 of the Use Tax Act, Section 9
4of the Service Use Tax Act, Section 9 of the Service Occupation
5Tax Act, and Section 3 of the Retailers' Occupation Tax Act,
6the Department shall pay into the Tax Compliance and
7Administration Fund, to be used, subject to appropriation, to
8fund additional auditors and compliance personnel at the
9Department of Revenue, an amount equal to 1/12 of 5% of 80% of
10the cash receipts collected during the preceding fiscal year by
11the Audit Bureau of the Department under the Use Tax Act, the
12Service Use Tax Act, the Service Occupation Tax Act, the
13Retailers' Occupation Tax Act, and associated local occupation
14and use taxes administered by the Department (except the amount
15collected on aviation fuel sold on or after December 1, 2019).
16    Subject to payments of amounts into the Build Illinois
17Fund, the McCormick Place Expansion Project Fund, the Illinois
18Tax Increment Fund, the Energy Infrastructure Fund, and the Tax
19Compliance and Administration Fund as provided in this Section,
20beginning on July 1, 2018 the Department shall pay each month
21into the Downstate Public Transportation Fund the moneys
22required to be so paid under Section 2-3 of the Downstate
23Public Transportation Act.
24    Subject to successful execution and delivery of a
25public-private public private agreement between the public
26agency and private entity and completion of the civic build,

 

 

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1beginning on July 1, 2023, of the remainder of the moneys
2received by the Department under the Use Tax Act, the Service
3Use Tax Act, the Service Occupation Tax Act, and this Act, the
4Department shall deposit the following specified deposits in
5the aggregate from collections under the Use Tax Act, the
6Service Use Tax Act, the Service Occupation Tax Act, and the
7Retailers' Occupation Tax Act, as required under Section 8.25g
8of the State Finance Act for distribution consistent with the
9Public-Private Partnership for Civic and Transit
10Infrastructure Project Act. The moneys received by the
11Department pursuant to this Act and required to be deposited
12into the Civic and Transit Infrastructure Fund are subject to
13the pledge, claim, and charge set forth in Section 25-55 55 of
14the Public-Private Partnership for Civic and Transit
15Infrastructure Project Act. As used in this paragraph, "civic
16build", "private entity", "public-private private public
17agreement", and "public agency" have the meanings provided in
18Section 25-10 of the Public-Private Partnership for Civic and
19Transit Infrastructure Project Act.
20        Fiscal Year............................Total Deposit
21        2024....................................$200,000,000
22        2025....................................$206,000,000
23        2026....................................$212,200,000
24        2027....................................$218,500,000
25        2028....................................$225,100,000
26        2029....................................$288,700,000

 

 

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1        2030....................................$298,900,000
2        2031....................................$309,300,000
3        2032....................................$320,100,000
4        2033....................................$331,200,000
5        2034....................................$341,200,000
6        2035....................................$351,400,000
7        2036....................................$361,900,000
8        2037....................................$372,800,000
9        2038....................................$384,000,000
10        2039....................................$395,500,000
11        2040....................................$407,400,000
12        2041....................................$419,600,000
13        2042....................................$432,200,000
14        2043....................................$445,100,000
15    Beginning July 1, 2021 and until July 1, 2022, subject to
16the payment of amounts into the State and Local Sales Tax
17Reform Fund, the Build Illinois Fund, the McCormick Place
18Expansion Project Fund, the Illinois Tax Increment Fund, the
19Energy Infrastructure Fund, and the Tax Compliance and
20Administration Fund as provided in this Section, the Department
21shall pay each month into the Road Fund the amount estimated to
22represent 16% of the net revenue realized from the taxes
23imposed on motor fuel and gasohol. Beginning July 1, 2022 and
24until July 1, 2023, subject to the payment of amounts into the
25State and Local Sales Tax Reform Fund, the Build Illinois Fund,
26the McCormick Place Expansion Project Fund, the Illinois Tax

 

 

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1Increment Fund, the Energy Infrastructure Fund, and the Tax
2Compliance and Administration Fund as provided in this Section,
3the Department shall pay each month into the Road Fund the
4amount estimated to represent 32% of the net revenue realized
5from the taxes imposed on motor fuel and gasohol. Beginning
6July 1, 2023 and until July 1, 2024, subject to the payment of
7amounts into the State and Local Sales Tax Reform Fund, the
8Build Illinois Fund, the McCormick Place Expansion Project
9Fund, the Illinois Tax Increment Fund, the Energy
10Infrastructure Fund, and the Tax Compliance and Administration
11Fund as provided in this Section, the Department shall pay each
12month into the Road Fund the amount estimated to represent 48%
13of the net revenue realized from the taxes imposed on motor
14fuel and gasohol. Beginning July 1, 2024 and until July 1,
152025, subject to the payment of amounts into the State and
16Local Sales Tax Reform Fund, the Build Illinois Fund, the
17McCormick Place Expansion Project Fund, the Illinois Tax
18Increment Fund, the Energy Infrastructure Fund, and the Tax
19Compliance and Administration Fund as provided in this Section,
20the Department shall pay each month into the Road Fund the
21amount estimated to represent 64% of the net revenue realized
22from the taxes imposed on motor fuel and gasohol. Beginning on
23July 1, 2025, subject to the payment of amounts into the State
24and Local Sales Tax Reform Fund, the Build Illinois Fund, the
25McCormick Place Expansion Project Fund, the Illinois Tax
26Increment Fund, the Energy Infrastructure Fund, and the Tax

 

 

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1Compliance and Administration Fund as provided in this Section,
2the Department shall pay each month into the Road Fund the
3amount estimated to represent 80% of the net revenue realized
4from the taxes imposed on motor fuel and gasohol. As used in
5this paragraph "motor fuel" has the meaning given to that term
6in Section 1.1 of the Motor Fuel Tax Act, and "gasohol" has the
7meaning given to that term in Section 3-40 of the Use Tax Act.
8    Of the remainder of the moneys received by the Department
9pursuant to this Act, 75% thereof shall be paid into the
10General Revenue Fund of the State Treasury and 25% shall be
11reserved in a special account and used only for the transfer to
12the Common School Fund as part of the monthly transfer from the
13General Revenue Fund in accordance with Section 8a of the State
14Finance Act.
15    As soon as possible after the first day of each month, upon
16certification of the Department of Revenue, the Comptroller
17shall order transferred and the Treasurer shall transfer from
18the General Revenue Fund to the Motor Fuel Tax Fund an amount
19equal to 1.7% of 80% of the net revenue realized under this Act
20for the second preceding month. Beginning April 1, 2000, this
21transfer is no longer required and shall not be made.
22    Net revenue realized for a month shall be the revenue
23collected by the State pursuant to this Act, less the amount
24paid out during that month as refunds to taxpayers for
25overpayment of liability.
26(Source: P.A. 100-303, eff. 8-24-17; 100-363, eff. 7-1-18;

 

 

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1100-863, eff. 8-14-18; 100-1171, eff. 1-4-19; 101-10, Article
215, Section 15-15, eff. 6-5-19; 101-10, Article 25, Section
325-110, eff. 6-5-19; 101-27, eff. 6-25-19; 101-32, eff.
46-28-19; revised 8-20-19.)
 
5    Section 10-35. The Service Occupation Tax Act is amended by
6changing Sections 2 and 9 as follows:
 
7    (35 ILCS 115/2)  (from Ch. 120, par. 439.102)
8    Sec. 2. In this Act:
9    "Transfer" means any transfer of the title to property or
10of the ownership of property whether or not the transferor
11retains title as security for the payment of amounts due him
12from the transferee.
13    "Cost Price" means the consideration paid by the serviceman
14for a purchase valued in money, whether paid in money or
15otherwise, including cash, credits and services, and shall be
16determined without any deduction on account of the supplier's
17cost of the property sold or on account of any other expense
18incurred by the supplier. When a serviceman contracts out part
19or all of the services required in his sale of service, it
20shall be presumed that the cost price to the serviceman of the
21property transferred to him by his or her subcontractor is
22equal to 50% of the subcontractor's charges to the serviceman
23in the absence of proof of the consideration paid by the
24subcontractor for the purchase of such property.

 

 

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1    "Department" means the Department of Revenue.
2    "Person" means any natural individual, firm, partnership,
3association, joint stock company, joint venture, public or
4private corporation, limited liability company, and any
5receiver, executor, trustee, guardian or other representative
6appointed by order of any court.
7    "Sale of Service" means any transaction except:
8    (a) A retail sale of tangible personal property taxable
9under the Retailers' Occupation Tax Act or under the Use Tax
10Act.
11    (b) A sale of tangible personal property for the purpose of
12resale made in compliance with Section 2c of the Retailers'
13Occupation Tax Act.
14    (c) Except as hereinafter provided, a sale or transfer of
15tangible personal property as an incident to the rendering of
16service for or by any governmental body or for or by any
17corporation, society, association, foundation or institution
18organized and operated exclusively for charitable, religious
19or educational purposes or any not-for-profit corporation,
20society, association, foundation, institution or organization
21which has no compensated officers or employees and which is
22organized and operated primarily for the recreation of persons
2355 years of age or older. A limited liability company may
24qualify for the exemption under this paragraph only if the
25limited liability company is organized and operated
26exclusively for educational purposes.

 

 

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1    (d) (Blank).
2    (d-1) A sale or transfer of tangible personal property as
3an incident to the rendering of service for owners, lessors or
4shippers of tangible personal property which is utilized by
5interstate carriers for hire for use as rolling stock moving in
6interstate commerce, and equipment operated by a
7telecommunications provider, licensed as a common carrier by
8the Federal Communications Commission, which is permanently
9installed in or affixed to aircraft moving in interstate
10commerce.
11    (d-1.1) On and after July 1, 2003 and through June 30,
122004, a sale or transfer of a motor vehicle of the second
13division with a gross vehicle weight in excess of 8,000 pounds
14as an incident to the rendering of service if that motor
15vehicle is subject to the commercial distribution fee imposed
16under Section 3-815.1 of the Illinois Vehicle Code. Beginning
17on July 1, 2004 and through June 30, 2005, the use in this
18State of motor vehicles of the second division: (i) with a
19gross vehicle weight rating in excess of 8,000 pounds; (ii)
20that are subject to the commercial distribution fee imposed
21under Section 3-815.1 of the Illinois Vehicle Code; and (iii)
22that are primarily used for commercial purposes. Through June
2330, 2005, this exemption applies to repair and replacement
24parts added after the initial purchase of such a motor vehicle
25if that motor vehicle is used in a manner that would qualify
26for the rolling stock exemption otherwise provided for in this

 

 

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1Act. For purposes of this paragraph, "used for commercial
2purposes" means the transportation of persons or property in
3furtherance of any commercial or industrial enterprise whether
4for-hire or not.
5    (d-2) The repairing, reconditioning or remodeling, for a
6common carrier by rail, of tangible personal property which
7belongs to such carrier for hire, and as to which such carrier
8receives the physical possession of the repaired,
9reconditioned or remodeled item of tangible personal property
10in Illinois, and which such carrier transports, or shares with
11another common carrier in the transportation of such property,
12out of Illinois on a standard uniform bill of lading showing
13the person who repaired, reconditioned or remodeled the
14property as the shipper or consignor of such property to a
15destination outside Illinois, for use outside Illinois.
16    (d-3) A sale or transfer of tangible personal property
17which is produced by the seller thereof on special order in
18such a way as to have made the applicable tax the Service
19Occupation Tax or the Service Use Tax, rather than the
20Retailers' Occupation Tax or the Use Tax, for an interstate
21carrier by rail which receives the physical possession of such
22property in Illinois, and which transports such property, or
23shares with another common carrier in the transportation of
24such property, out of Illinois on a standard uniform bill of
25lading showing the seller of the property as the shipper or
26consignor of such property to a destination outside Illinois,

 

 

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1for use outside Illinois.
2    (d-4) Until January 1, 1997, a sale, by a registered
3serviceman paying tax under this Act to the Department, of
4special order printed materials delivered outside Illinois and
5which are not returned to this State, if delivery is made by
6the seller or agent of the seller, including an agent who
7causes the product to be delivered outside Illinois by a common
8carrier or the U.S. postal service.
9    (e) A sale or transfer of machinery and equipment used
10primarily in the process of the manufacturing or assembling,
11either in an existing, an expanded or a new manufacturing
12facility, of tangible personal property for wholesale or retail
13sale or lease, whether such sale or lease is made directly by
14the manufacturer or by some other person, whether the materials
15used in the process are owned by the manufacturer or some other
16person, or whether such sale or lease is made apart from or as
17an incident to the seller's engaging in a service occupation
18and the applicable tax is a Service Occupation Tax or Service
19Use Tax, rather than Retailers' Occupation Tax or Use Tax. The
20exemption provided by this paragraph (e) includes production
21related tangible personal property, as defined in Section 3-50
22of the Use Tax Act, purchased on or after July 1, 2019. The
23exemption provided by this paragraph (e) does not include
24machinery and equipment used in (i) the generation of
25electricity for wholesale or retail sale; (ii) the generation
26or treatment of natural or artificial gas for wholesale or

 

 

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1retail sale that is delivered to customers through pipes,
2pipelines, or mains; or (iii) the treatment of water for
3wholesale or retail sale that is delivered to customers through
4pipes, pipelines, or mains. The provisions of Public Act 98-583
5are declaratory of existing law as to the meaning and scope of
6this exemption. The exemption under this subsection (e) is
7exempt from the provisions of Section 3-75.
8    (f) Until July 1, 2003, the sale or transfer of
9distillation machinery and equipment, sold as a unit or kit and
10assembled or installed by the retailer, which machinery and
11equipment is certified by the user to be used only for the
12production of ethyl alcohol that will be used for consumption
13as motor fuel or as a component of motor fuel for the personal
14use of such user and not subject to sale or resale.
15    (g) At the election of any serviceman not required to be
16otherwise registered as a retailer under Section 2a of the
17Retailers' Occupation Tax Act, made for each fiscal year sales
18of service in which the aggregate annual cost price of tangible
19personal property transferred as an incident to the sales of
20service is less than 35% (75% in the case of servicemen
21transferring prescription drugs or servicemen engaged in
22graphic arts production) of the aggregate annual total gross
23receipts from all sales of service. The purchase of such
24tangible personal property by the serviceman shall be subject
25to tax under the Retailers' Occupation Tax Act and the Use Tax
26Act. However, if a primary serviceman who has made the election

 

 

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1described in this paragraph subcontracts service work to a
2secondary serviceman who has also made the election described
3in this paragraph, the primary serviceman does not incur a Use
4Tax liability if the secondary serviceman (i) has paid or will
5pay Use Tax on his or her cost price of any tangible personal
6property transferred to the primary serviceman and (ii)
7certifies that fact in writing to the primary serviceman.
8    Tangible personal property transferred incident to the
9completion of a maintenance agreement is exempt from the tax
10imposed pursuant to this Act.
11    Exemption (e) also includes machinery and equipment used in
12the general maintenance or repair of such exempt machinery and
13equipment or for in-house manufacture of exempt machinery and
14equipment. On and after July 1, 2017, exemption (e) also
15includes graphic arts machinery and equipment, as defined in
16paragraph (5) of Section 3-5. The machinery and equipment
17exemption does not include machinery and equipment used in (i)
18the generation of electricity for wholesale or retail sale;
19(ii) the generation or treatment of natural or artificial gas
20for wholesale or retail sale that is delivered to customers
21through pipes, pipelines, or mains; or (iii) the treatment of
22water for wholesale or retail sale that is delivered to
23customers through pipes, pipelines, or mains. The provisions of
24Public Act 98-583 are declaratory of existing law as to the
25meaning and scope of this exemption. For the purposes of
26exemption (e), each of these terms shall have the following

 

 

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1meanings: (1) "manufacturing process" shall mean the
2production of any article of tangible personal property,
3whether such article is a finished product or an article for
4use in the process of manufacturing or assembling a different
5article of tangible personal property, by procedures commonly
6regarded as manufacturing, processing, fabricating, or
7refining which changes some existing material or materials into
8a material with a different form, use or name. In relation to a
9recognized integrated business composed of a series of
10operations which collectively constitute manufacturing, or
11individually constitute manufacturing operations, the
12manufacturing process shall be deemed to commence with the
13first operation or stage of production in the series, and shall
14not be deemed to end until the completion of the final product
15in the last operation or stage of production in the series; and
16further for purposes of exemption (e), photoprocessing is
17deemed to be a manufacturing process of tangible personal
18property for wholesale or retail sale; (2) "assembling process"
19shall mean the production of any article of tangible personal
20property, whether such article is a finished product or an
21article for use in the process of manufacturing or assembling a
22different article of tangible personal property, by the
23combination of existing materials in a manner commonly regarded
24as assembling which results in a material of a different form,
25use or name; (3) "machinery" shall mean major mechanical
26machines or major components of such machines contributing to a

 

 

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1manufacturing or assembling process; and (4) "equipment" shall
2include any independent device or tool separate from any
3machinery but essential to an integrated manufacturing or
4assembly process; including computers used primarily in a
5manufacturer's computer assisted design, computer assisted
6manufacturing (CAD/CAM) system; or any subunit or assembly
7comprising a component of any machinery or auxiliary, adjunct
8or attachment parts of machinery, such as tools, dies, jigs,
9fixtures, patterns and molds; or any parts which require
10periodic replacement in the course of normal operation; but
11shall not include hand tools. Equipment includes chemicals or
12chemicals acting as catalysts but only if the chemicals or
13chemicals acting as catalysts effect a direct and immediate
14change upon a product being manufactured or assembled for
15wholesale or retail sale or lease. The purchaser of such
16machinery and equipment who has an active resale registration
17number shall furnish such number to the seller at the time of
18purchase. The purchaser of such machinery and equipment and
19tools without an active resale registration number shall
20furnish to the seller a certificate of exemption for each
21transaction stating facts establishing the exemption for that
22transaction, which certificate shall be available to the
23Department for inspection or audit.
24    Except as provided in Section 2d of this Act, the rolling
25stock exemption applies to rolling stock used by an interstate
26carrier for hire, even just between points in Illinois, if such

 

 

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1rolling stock transports, for hire, persons whose journeys or
2property whose shipments originate or terminate outside
3Illinois.
4    Any informal rulings, opinions or letters issued by the
5Department in response to an inquiry or request for any opinion
6from any person regarding the coverage and applicability of
7exemption (e) to specific devices shall be published,
8maintained as a public record, and made available for public
9inspection and copying. If the informal ruling, opinion or
10letter contains trade secrets or other confidential
11information, where possible the Department shall delete such
12information prior to publication. Whenever such informal
13rulings, opinions, or letters contain any policy of general
14applicability, the Department shall formulate and adopt such
15policy as a rule in accordance with the provisions of the
16Illinois Administrative Procedure Act.
17    On and after July 1, 1987, no entity otherwise eligible
18under exemption (c) of this Section shall make tax-free
19purchases unless it has an active exemption identification
20number issued by the Department.
21    "Serviceman" means any person who is engaged in the
22occupation of making sales of service.
23    "Sale at Retail" means "sale at retail" as defined in the
24Retailers' Occupation Tax Act.
25    "Supplier" means any person who makes sales of tangible
26personal property to servicemen for the purpose of resale as an

 

 

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1incident to a sale of service.
2(Source: P.A. 100-22, eff. 7-6-17; 100-321, eff. 8-24-17;
3100-863, eff. 8-14-18; 101-9, eff. 6-5-19.)
 
4    (35 ILCS 115/9)  (from Ch. 120, par. 439.109)
5    Sec. 9. Each serviceman required or authorized to collect
6the tax herein imposed shall pay to the Department the amount
7of such tax at the time when he is required to file his return
8for the period during which such tax was collectible, less a
9discount of 2.1% prior to January 1, 1990, and 1.75% on and
10after January 1, 1990, or $5 per calendar year, whichever is
11greater, which is allowed to reimburse the serviceman for
12expenses incurred in collecting the tax, keeping records,
13preparing and filing returns, remitting the tax and supplying
14data to the Department on request. The discount under this
15Section is not allowed for the 1.25% portion of taxes paid on
16aviation fuel that is subject to the revenue use requirements
17of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are deposited into
18the State Aviation Program Fund under this Act. The discount
19allowed under this Section is allowed only for returns that are
20filed in the manner required by this Act. The Department may
21disallow the discount for servicemen whose certificate of
22registration is revoked at the time the return is filed, but
23only if the Department's decision to revoke the certificate of
24registration has become final.
25    Where such tangible personal property is sold under a

 

 

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1conditional sales contract, or under any other form of sale
2wherein the payment of the principal sum, or a part thereof, is
3extended beyond the close of the period for which the return is
4filed, the serviceman, in collecting the tax may collect, for
5each tax return period, only the tax applicable to the part of
6the selling price actually received during such tax return
7period.
8    Except as provided hereinafter in this Section, on or
9before the twentieth day of each calendar month, such
10serviceman shall file a return for the preceding calendar month
11in accordance with reasonable rules and regulations to be
12promulgated by the Department of Revenue. Such return shall be
13filed on a form prescribed by the Department and shall contain
14such information as the Department may reasonably require. On
15and after January 1, 2018, with respect to servicemen whose
16annual gross receipts average $20,000 or more, all returns
17required to be filed pursuant to this Act shall be filed
18electronically. Servicemen who demonstrate that they do not
19have access to the Internet or demonstrate hardship in filing
20electronically may petition the Department to waive the
21electronic filing requirement.
22    The Department may require returns to be filed on a
23quarterly basis. If so required, a return for each calendar
24quarter shall be filed on or before the twentieth day of the
25calendar month following the end of such calendar quarter. The
26taxpayer shall also file a return with the Department for each

 

 

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1of the first two months of each calendar quarter, on or before
2the twentieth day of the following calendar month, stating:
3        1. The name of the seller;
4        2. The address of the principal place of business from
5    which he engages in business as a serviceman in this State;
6        3. The total amount of taxable receipts received by him
7    during the preceding calendar month, including receipts
8    from charge and time sales, but less all deductions allowed
9    by law;
10        4. The amount of credit provided in Section 2d of this
11    Act;
12        5. The amount of tax due;
13        5-5. The signature of the taxpayer; and
14        6. Such other reasonable information as the Department
15    may require.
16    Each Beginning on January 1, 2020, each serviceman required
17or authorized to collect the tax herein imposed on aviation
18fuel acquired as an incident to the purchase of a service in
19this State during the preceding calendar month shall, instead
20of reporting and paying tax as otherwise required by this
21Section, report and pay such tax on a separate file an aviation
22fuel tax return with the Department on or before the twentieth
23day of each calendar month. The requirements related to the
24return shall be as otherwise provided in this Section.
25Notwithstanding any other provisions of this Act to the
26contrary, servicemen transferring aviation fuel incident to

 

 

SB0119 Enrolled- 120 -LRB101 06854 HLH 51885 b

1sales of service shall file all aviation fuel tax returns and
2shall make all aviation fuel tax payments by electronic means
3in the manner and form required by the Department. For purposes
4of this Section paragraph, "aviation fuel" means jet fuel and
5aviation gasoline a product that is intended for use or offered
6for sale as fuel for an aircraft.
7    If a taxpayer fails to sign a return within 30 days after
8the proper notice and demand for signature by the Department,
9the return shall be considered valid and any amount shown to be
10due on the return shall be deemed assessed.
11    Notwithstanding any other provision of this Act to the
12contrary, servicemen subject to tax on cannabis shall file all
13cannabis tax returns and shall make all cannabis tax payments
14by electronic means in the manner and form required by the
15Department.
16    Prior to October 1, 2003, and on and after September 1,
172004 a serviceman may accept a Manufacturer's Purchase Credit
18certification from a purchaser in satisfaction of Service Use
19Tax as provided in Section 3-70 of the Service Use Tax Act if
20the purchaser provides the appropriate documentation as
21required by Section 3-70 of the Service Use Tax Act. A
22Manufacturer's Purchase Credit certification, accepted prior
23to October 1, 2003 or on or after September 1, 2004 by a
24serviceman as provided in Section 3-70 of the Service Use Tax
25Act, may be used by that serviceman to satisfy Service
26Occupation Tax liability in the amount claimed in the

 

 

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1certification, not to exceed 6.25% of the receipts subject to
2tax from a qualifying purchase. A Manufacturer's Purchase
3Credit reported on any original or amended return filed under
4this Act after October 20, 2003 for reporting periods prior to
5September 1, 2004 shall be disallowed. Manufacturer's Purchase
6Credit reported on annual returns due on or after January 1,
72005 will be disallowed for periods prior to September 1, 2004.
8No Manufacturer's Purchase Credit may be used after September
930, 2003 through August 31, 2004 to satisfy any tax liability
10imposed under this Act, including any audit liability.
11    If the serviceman's average monthly tax liability to the
12Department does not exceed $200, the Department may authorize
13his returns to be filed on a quarter annual basis, with the
14return for January, February and March of a given year being
15due by April 20 of such year; with the return for April, May
16and June of a given year being due by July 20 of such year; with
17the return for July, August and September of a given year being
18due by October 20 of such year, and with the return for
19October, November and December of a given year being due by
20January 20 of the following year.
21    If the serviceman's average monthly tax liability to the
22Department does not exceed $50, the Department may authorize
23his returns to be filed on an annual basis, with the return for
24a given year being due by January 20 of the following year.
25    Such quarter annual and annual returns, as to form and
26substance, shall be subject to the same requirements as monthly

 

 

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1returns.
2    Notwithstanding any other provision in this Act concerning
3the time within which a serviceman may file his return, in the
4case of any serviceman who ceases to engage in a kind of
5business which makes him responsible for filing returns under
6this Act, such serviceman shall file a final return under this
7Act with the Department not more than 1 month after
8discontinuing such business.
9    Beginning October 1, 1993, a taxpayer who has an average
10monthly tax liability of $150,000 or more shall make all
11payments required by rules of the Department by electronic
12funds transfer. Beginning October 1, 1994, a taxpayer who has
13an average monthly tax liability of $100,000 or more shall make
14all payments required by rules of the Department by electronic
15funds transfer. Beginning October 1, 1995, a taxpayer who has
16an average monthly tax liability of $50,000 or more shall make
17all payments required by rules of the Department by electronic
18funds transfer. Beginning October 1, 2000, a taxpayer who has
19an annual tax liability of $200,000 or more shall make all
20payments required by rules of the Department by electronic
21funds transfer. The term "annual tax liability" shall be the
22sum of the taxpayer's liabilities under this Act, and under all
23other State and local occupation and use tax laws administered
24by the Department, for the immediately preceding calendar year.
25The term "average monthly tax liability" means the sum of the
26taxpayer's liabilities under this Act, and under all other

 

 

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1State and local occupation and use tax laws administered by the
2Department, for the immediately preceding calendar year
3divided by 12. Beginning on October 1, 2002, a taxpayer who has
4a tax liability in the amount set forth in subsection (b) of
5Section 2505-210 of the Department of Revenue Law shall make
6all payments required by rules of the Department by electronic
7funds transfer.
8    Before August 1 of each year beginning in 1993, the
9Department shall notify all taxpayers required to make payments
10by electronic funds transfer. All taxpayers required to make
11payments by electronic funds transfer shall make those payments
12for a minimum of one year beginning on October 1.
13    Any taxpayer not required to make payments by electronic
14funds transfer may make payments by electronic funds transfer
15with the permission of the Department.
16    All taxpayers required to make payment by electronic funds
17transfer and any taxpayers authorized to voluntarily make
18payments by electronic funds transfer shall make those payments
19in the manner authorized by the Department.
20    The Department shall adopt such rules as are necessary to
21effectuate a program of electronic funds transfer and the
22requirements of this Section.
23    Where a serviceman collects the tax with respect to the
24selling price of tangible personal property which he sells and
25the purchaser thereafter returns such tangible personal
26property and the serviceman refunds the selling price thereof

 

 

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1to the purchaser, such serviceman shall also refund, to the
2purchaser, the tax so collected from the purchaser. When filing
3his return for the period in which he refunds such tax to the
4purchaser, the serviceman may deduct the amount of the tax so
5refunded by him to the purchaser from any other Service
6Occupation Tax, Service Use Tax, Retailers' Occupation Tax or
7Use Tax which such serviceman may be required to pay or remit
8to the Department, as shown by such return, provided that the
9amount of the tax to be deducted shall previously have been
10remitted to the Department by such serviceman. If the
11serviceman shall not previously have remitted the amount of
12such tax to the Department, he shall be entitled to no
13deduction hereunder upon refunding such tax to the purchaser.
14    If experience indicates such action to be practicable, the
15Department may prescribe and furnish a combination or joint
16return which will enable servicemen, who are required to file
17returns hereunder and also under the Retailers' Occupation Tax
18Act, the Use Tax Act or the Service Use Tax Act, to furnish all
19the return information required by all said Acts on the one
20form.
21    Where the serviceman has more than one business registered
22with the Department under separate registrations hereunder,
23such serviceman shall file separate returns for each registered
24business.
25    Beginning January 1, 1990, each month the Department shall
26pay into the Local Government Tax Fund the revenue realized for

 

 

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1the preceding month from the 1% tax imposed under this Act.
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 on sales of tangible personal property other than aviation
6fuel sold on or after December 1, 2019. This exception for
7aviation fuel only applies for so long as the revenue use
8requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
9binding on the State.
10    For aviation fuel sold on or after December 1, 2019, each
11month the Department shall pay into the State Aviation Program
12Fund 4% of the net revenue realized for the preceding month
13from the 6.25% general rate on the selling price of aviation
14fuel, less an amount estimated by the Department to be required
15for refunds of the 4% portion of the tax on aviation fuel under
16this Act, which amount shall be deposited into the Aviation
17Fuel Sales Tax Refund Fund. The Department shall only pay
18moneys into the State Aviation Program Fund and the Aviation
19Fuel Sales Tax Refund Fund under this Act for so long as the
20revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
2147133 are binding on the State.
22    Beginning August 1, 2000, each month the Department shall
23pay into the County and Mass Transit District Fund 20% of the
24net revenue realized for the preceding month from the 1.25%
25rate on the selling price of motor fuel and gasohol.
26    Beginning January 1, 1990, each month the Department shall

 

 

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1pay into the Local Government Tax Fund 16% of the revenue
2realized for the preceding month from the 6.25% general rate on
3transfers of tangible personal property other than aviation
4fuel sold on or after December 1, 2019. This exception for
5aviation fuel only applies for so long as the revenue use
6requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
7binding on the State.
8    For aviation fuel sold on or after December 1, 2019, each
9month the Department shall pay into the State Aviation Program
10Fund 20% 16% of the net revenue realized for the preceding
11month from the 6.25% general rate on the selling price of
12aviation fuel, less an amount estimated by the Department to be
13required for refunds of the 20% 16% portion of the tax on
14aviation fuel under this Act, which amount shall be deposited
15into the Aviation Fuel Sales Tax Refund Fund. The Department
16shall only pay moneys into the State Aviation Program Fund and
17the Aviation Fuel Sales Tax Refund Fund under this Act for so
18long as the revenue use requirements of 49 U.S.C. 47107(b) and
1949 U.S.C. 47133 are binding on the State.
20    Beginning August 1, 2000, each month the Department shall
21pay into the Local Government Tax Fund 80% of the net revenue
22realized for the preceding month from the 1.25% rate on the
23selling price of motor fuel and gasohol.
24    Beginning October 1, 2009, each month the Department shall
25pay into the Capital Projects Fund an amount that is equal to
26an amount estimated by the Department to represent 80% of the

 

 

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

 

 

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

 

 

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

 

 

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1shall be immediately paid from other moneys received by the
2Department pursuant to the Tax Acts to the Build Illinois Fund;
3provided, however, that any amounts paid to the Build Illinois
4Fund in any fiscal year pursuant to this sentence shall be
5deemed to constitute payments pursuant to clause (b) of the
6preceding sentence and shall reduce the amount otherwise
7payable for such fiscal year pursuant to clause (b) of the
8preceding sentence. The moneys received by the Department
9pursuant to this Act and required to be deposited into the
10Build Illinois Fund are subject to the pledge, claim and charge
11set forth in Section 12 of the Build Illinois Bond Act.
12    Subject to payment of amounts into the Build Illinois Fund
13as provided in the preceding paragraph or in any amendment
14thereto hereafter enacted, the following specified monthly
15installment of the amount requested in the certificate of the
16Chairman of the Metropolitan Pier and Exposition Authority
17provided under Section 8.25f of the State Finance Act, but not
18in excess of the sums designated as "Total Deposit", shall be
19deposited in the aggregate from collections under Section 9 of
20the Use Tax Act, Section 9 of the Service Use Tax Act, Section
219 of the Service Occupation Tax Act, and Section 3 of the
22Retailers' Occupation Tax Act into the McCormick Place
23Expansion Project Fund in the specified fiscal years.
24Fiscal YearTotal Deposit
251993         $0

 

 

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11994 53,000,000
21995 58,000,000
31996 61,000,000
41997 64,000,000
51998 68,000,000
61999 71,000,000
72000 75,000,000
82001 80,000,000
92002 93,000,000
102003 99,000,000
112004103,000,000
122005108,000,000
132006113,000,000
142007119,000,000
152008126,000,000
162009132,000,000
172010139,000,000
182011146,000,000
192012153,000,000
202013161,000,000
212014170,000,000
222015179,000,000
232016189,000,000
242017199,000,000
252018210,000,000
262019221,000,000

 

 

SB0119 Enrolled- 132 -LRB101 06854 HLH 51885 b

12020233,000,000
22021246,000,000
32022260,000,000
42023275,000,000
52024 275,000,000
62025 275,000,000
72026 279,000,000
82027 292,000,000
92028 307,000,000
102029 322,000,000
112030 338,000,000
122031 350,000,000
132032 350,000,000
14and
15each fiscal year
16thereafter that bonds
17are outstanding under
18Section 13.2 of the
19Metropolitan Pier and
20Exposition Authority Act,
21but not after fiscal year 2060.
22    Beginning July 20, 1993 and in each month of each fiscal
23year thereafter, one-eighth of the amount requested in the
24certificate of the Chairman of the Metropolitan Pier and
25Exposition Authority for that fiscal year, less the amount
26deposited into the McCormick Place Expansion Project Fund by

 

 

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1the State Treasurer in the respective month under subsection
2(g) of Section 13 of the Metropolitan Pier and Exposition
3Authority Act, plus cumulative deficiencies in the deposits
4required under this Section for previous months and years,
5shall be deposited into the McCormick Place Expansion Project
6Fund, until the full amount requested for the fiscal year, but
7not in excess of the amount specified above as "Total Deposit",
8has been deposited.
9    Subject to payment of amounts into the Capital Projects
10Fund, the Build Illinois Fund, and the McCormick Place
11Expansion Project Fund pursuant to the preceding paragraphs or
12in any amendments thereto hereafter enacted, for aviation fuel
13sold on or after December 1, 2019, the Department shall each
14month deposit into the Aviation Fuel Sales Tax Refund Fund an
15amount estimated by the Department to be required for refunds
16of the 80% portion of the tax on aviation fuel under this Act.
17The Department shall only deposit moneys into the Aviation Fuel
18Sales Tax Refund Fund under this paragraph for so long as the
19revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
2047133 are binding on the State.
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 July 1, 1993 and ending on September 30,
252013, the Department shall each month pay into the Illinois Tax
26Increment Fund 0.27% of 80% of the net revenue realized for the

 

 

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1preceding month from the 6.25% general rate on the selling
2price of tangible personal property.
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 with the receipt of the first report of
7taxes paid by an eligible business and continuing for a 25-year
8period, the Department shall each month pay into the Energy
9Infrastructure Fund 80% of the net revenue realized from the
106.25% general rate on the selling price of Illinois-mined coal
11that was sold to an eligible business. For purposes of this
12paragraph, the term "eligible business" means a new electric
13generating facility certified pursuant to Section 605-332 of
14the Department of Commerce and Economic Opportunity Law of the
15Civil Administrative Code of Illinois.
16    Subject to payment of amounts into the Build Illinois Fund,
17the McCormick Place Expansion Project Fund, the Illinois Tax
18Increment Fund, and the Energy Infrastructure Fund pursuant to
19the preceding paragraphs or in any amendments to this Section
20hereafter enacted, beginning on the first day of the first
21calendar month to occur on or after August 26, 2014 (the
22effective date of Public Act 98-1098), each month, from the
23collections made under Section 9 of the Use Tax Act, Section 9
24of the Service Use Tax Act, Section 9 of the Service Occupation
25Tax Act, and Section 3 of the Retailers' Occupation Tax Act,
26the Department shall pay into the Tax Compliance and

 

 

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1Administration Fund, to be used, subject to appropriation, to
2fund additional auditors and compliance personnel at the
3Department of Revenue, an amount equal to 1/12 of 5% of 80% of
4the cash receipts collected during the preceding fiscal year by
5the Audit Bureau of the Department under the Use Tax Act, the
6Service Use Tax Act, the Service Occupation Tax Act, the
7Retailers' Occupation Tax Act, and associated local occupation
8and use taxes administered by the Department (except the amount
9collected on aviation fuel sold on or after December 1, 2019).
10    Subject to payments of amounts into the Build Illinois
11Fund, the McCormick Place Expansion Project Fund, the Illinois
12Tax Increment Fund, the Energy Infrastructure Fund, and the Tax
13Compliance and Administration Fund as provided in this Section,
14beginning on July 1, 2018 the Department shall pay each month
15into the Downstate Public Transportation Fund the moneys
16required to be so paid under Section 2-3 of the Downstate
17Public Transportation Act.
18    Subject to successful execution and delivery of a
19public-private public private agreement between the public
20agency and private entity and completion of the civic build,
21beginning on July 1, 2023, 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, the
24Department shall deposit the following specified deposits in
25the aggregate from collections under the Use Tax Act, the
26Service Use Tax Act, the Service Occupation Tax Act, and the

 

 

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1Retailers' Occupation Tax Act, as required under Section 8.25g
2of the State Finance Act for distribution consistent with the
3Public-Private Partnership for Civic and Transit
4Infrastructure Project Act. The moneys received by the
5Department pursuant to this Act and required to be deposited
6into the Civic and Transit Infrastructure Fund are subject to
7the pledge, claim and charge set forth in Section 25-55 55 of
8the Public-Private Partnership for Civic and Transit
9Infrastructure Project Act. As used in this paragraph, "civic
10build", "private entity", "public-private private public
11agreement", and "public agency" have the meanings provided in
12Section 25-10 of the Public-Private Partnership for Civic and
13Transit Infrastructure Project Act.
14        Fiscal Year............................Total Deposit
15        2024....................................$200,000,000
16        2025....................................$206,000,000
17        2026....................................$212,200,000
18        2027....................................$218,500,000
19        2028....................................$225,100,000
20        2029....................................$288,700,000
21        2030....................................$298,900,000
22        2031....................................$309,300,000
23        2032....................................$320,100,000
24        2033....................................$331,200,000
25        2034....................................$341,200,000
26        2035....................................$351,400,000

 

 

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1        2036....................................$361,900,000
2        2037....................................$372,800,000
3        2038....................................$384,000,000
4        2039....................................$395,500,000
5        2040....................................$407,400,000
6        2041....................................$419,600,000
7        2042....................................$432,200,000
8        2043....................................$445,100,000
9    Beginning July 1, 2021 and until July 1, 2022, subject to
10the payment of amounts into the County and Mass Transit
11District Fund, the Local Government Tax Fund, the Build
12Illinois Fund, the McCormick Place Expansion Project Fund, the
13Illinois Tax Increment Fund, the Energy Infrastructure Fund,
14and the Tax Compliance and Administration Fund as provided in
15this Section, the Department shall pay each month into the Road
16Fund the amount estimated to represent 16% of the net revenue
17realized from the taxes imposed on motor fuel and gasohol.
18Beginning July 1, 2022 and until July 1, 2023, subject to the
19payment of amounts into the County and Mass Transit District
20Fund, the Local Government Tax Fund, the Build Illinois Fund,
21the McCormick Place Expansion Project Fund, the Illinois Tax
22Increment Fund, the Energy Infrastructure Fund, and the Tax
23Compliance and Administration Fund as provided in this Section,
24the Department shall pay each month into the Road Fund the
25amount estimated to represent 32% of the net revenue realized
26from the taxes imposed on motor fuel and gasohol. Beginning

 

 

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1July 1, 2023 and until July 1, 2024, subject to the payment of
2amounts into the County and Mass Transit District Fund, the
3Local Government Tax Fund, the Build Illinois Fund, the
4McCormick Place Expansion Project Fund, the Illinois Tax
5Increment Fund, the Energy Infrastructure Fund, and the Tax
6Compliance and Administration Fund as provided in this Section,
7the Department shall pay each month into the Road Fund the
8amount estimated to represent 48% of the net revenue realized
9from the taxes imposed on motor fuel and gasohol. Beginning
10July 1, 2024 and until July 1, 2025, subject to the payment of
11amounts into the County and Mass Transit District Fund, the
12Local Government Tax Fund, the Build Illinois Fund, the
13McCormick Place Expansion Project Fund, the Illinois Tax
14Increment Fund, the Energy Infrastructure Fund, and the Tax
15Compliance and Administration Fund as provided in this Section,
16the Department shall pay each month into the Road Fund the
17amount estimated to represent 64% of the net revenue realized
18from the taxes imposed on motor fuel and gasohol. Beginning on
19July 1, 2025, subject to the payment of amounts into the County
20and Mass Transit District Fund, the Local Government Tax Fund,
21the Build Illinois Fund, the McCormick Place Expansion Project
22Fund, the Illinois Tax Increment Fund, the Energy
23Infrastructure Fund, and the Tax Compliance and Administration
24Fund as provided in this Section, the Department shall pay each
25month into the Road Fund the amount estimated to represent 80%
26of the net revenue realized from the taxes imposed on motor

 

 

SB0119 Enrolled- 139 -LRB101 06854 HLH 51885 b

1fuel and gasohol. As used in this paragraph "motor fuel" has
2the meaning given to that term in Section 1.1 of the Motor Fuel
3Tax Act, and "gasohol" has the meaning given to that term in
4Section 3-40 of the Use Tax Act.
5    Of the remainder of the moneys received by the Department
6pursuant to this Act, 75% shall be paid into the General
7Revenue Fund of the State Treasury and 25% shall be reserved in
8a special account and used only for the transfer to the Common
9School Fund as part of the monthly transfer from the General
10Revenue Fund in accordance with Section 8a of the State Finance
11Act.
12    The Department may, upon separate written notice to a
13taxpayer, require the taxpayer to prepare and file with the
14Department on a form prescribed by the Department within not
15less than 60 days after receipt of the notice an annual
16information return for the tax year specified in the notice.
17Such annual return to the Department shall include a statement
18of gross receipts as shown by the taxpayer's last Federal
19income tax return. If the total receipts of the business as
20reported in the Federal income tax return do not agree with the
21gross receipts reported to the Department of Revenue for the
22same period, the taxpayer shall attach to his annual return a
23schedule showing a reconciliation of the 2 amounts and the
24reasons for the difference. The taxpayer's annual return to the
25Department shall also disclose the cost of goods sold by the
26taxpayer during the year covered by such return, opening and

 

 

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

 

 

SB0119 Enrolled- 141 -LRB101 06854 HLH 51885 b

1accordingly. The annual return form prescribed by the
2Department shall include a warning that the person signing the
3return may be liable for perjury.
4    The foregoing portion of this Section concerning the filing
5of an annual information return shall not apply to a serviceman
6who is not required to file an income tax return with the
7United States Government.
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, it shall be
20permissible for manufacturers, importers and wholesalers whose
21products are sold by numerous servicemen in Illinois, and who
22wish to do so, to assume the responsibility for accounting and
23paying to the Department all tax accruing under this Act with
24respect to such sales, if the servicemen who are affected do
25not make written objection to the Department to this
26arrangement.

 

 

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1(Source: P.A. 100-303, eff. 8-24-17; 100-363, eff. 7-1-18;
2100-863, eff. 8-14-18; 100-1171, eff. 1-4-19; 101-10, Article
315, Section 15-20, eff. 6-5-19; 101-10, Article 25, Section
425-115, eff. 6-5-19; 101-27, eff. 6-25-19; 101-32, eff.
56-28-19; revised 7-23-19.)
 
6    Section 10-40. The Retailers' Occupation Tax Act is amended
7by changing Sections 2-45 and 3 and by adding Section 2-22 as
8follows:
 
9    (35 ILCS 120/2-22 new)
10    Sec. 2-22. Certification of airport-related purpose.
11    (a) Initial certification and annual recertification. If a
12unit of local government has an airport-related purpose, as
13defined in Section 6z-20.2 of the State Finance Act, which
14would allow any retailers' occupation tax and service
15occupation tax imposed by the unit of local government and
16administered by the Department to include tax on aviation fuel,
17then, on or before September 1, 2019, and on or before each
18April 1 thereafter, the unit of local government must certify
19to the Department of Transportation, in the form and manner
20required by the Department of Transportation, that it has an
21airport-related purpose. All disputes regarding whether or not
22a unit of local government has an airport-related purpose shall
23be resolved by the Department of Transportation.
24    On or before October 1, 2019, and on or before each May 1

 

 

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1thereafter, the Department of Transportation shall provide to
2the Department a list of units of local government that have
3certified to the Department of Transportation that they have an
4airport-related purpose. If a unit of local government is
5included in the list of units of local government that have
6certified that they have an airport-related purpose that is
7provided by the Department of Transportation to the Department
8on or before October 1, 2019, then, beginning on December 1,
92019, any retailers' occupation tax and service occupation tax
10imposed by the unit of local government and administered by the
11Department shall continue to be collected on aviation fuel sold
12in that unit of local government. Failure by a unit of local
13government to file an initial certification shall be treated as
14confirmation that the unit of local government does not have an
15airport-related purpose, thereby exempting, beginning on
16December 1, 2019, aviation fuel from any retailers' occupation
17tax and service occupation tax imposed by the unit of local
18government and administered by the Department.
19    Beginning in 2020 and in each year thereafter, if a unit of
20local government is included in the list of units of local
21government that have certified that they have an
22airport-related purpose that is provided by the Department of
23Transportation to the Department on or before May 1, then any
24retailers' occupation tax and service occupation tax imposed by
25the unit of local government and administered by the Department
26shall continue to be (or begin to be, as the case may be)

 

 

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1collected on aviation fuel sold in that unit of local
2government beginning on the following July 1. Once a unit of
3local government has certified that it has an airport-related
4purpose, failure during an annual recertification period to
5file a certification that it has an airport-related purpose
6shall be treated as confirmation that it no longer has an
7airport-related purpose, thereby exempting, beginning on July
81 of that year, aviation fuel from any retailers' occupation
9tax and service occupation tax imposed by the unit of local
10government and administered by the Department.
11    (b) Penalties. If a unit of local government certifies that
12it has an airport-related purpose and therefore receives tax
13revenues from a tax imposed by the unit of local government and
14administered by the Department of Revenue on sales of aviation
15fuel, but the Federal Aviation Administration thereafter
16determines that the tax revenues on aviation fuel generated by
17that tax were expended by the unit of local government for a
18purpose other than an airport-related purpose and the Federal
19Aviation Administration imposes a penalty on the State of
20Illinois as a result, then the State is authorized to pass this
21penalty on to the unit of local government by withholding an
22amount up to the amount of the penalty out of local retailers'
23occupation taxes and service occupation taxes to be allocated
24to the unit of local government by the State.
 
25    (35 ILCS 120/2-45)  (from Ch. 120, par. 441-45)

 

 

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1    Sec. 2-45. Manufacturing and assembly exemption. The
2manufacturing and assembly machinery and equipment exemption
3includes machinery and equipment that replaces machinery and
4equipment in an existing manufacturing facility as well as
5machinery and equipment that are for use in an expanded or new
6manufacturing facility.
7    The machinery and equipment exemption also includes
8machinery and equipment used in the general maintenance or
9repair of exempt machinery and equipment or for in-house
10manufacture of exempt machinery and equipment. Beginning on
11July 1, 2017, the manufacturing and assembling machinery and
12equipment exemption also includes graphic arts machinery and
13equipment, as defined in paragraph (4) of Section 2-5. The
14machinery and equipment exemption does not include machinery
15and equipment used in (i) the generation of electricity for
16wholesale or retail sale; (ii) the generation or treatment of
17natural or artificial gas for wholesale or retail sale that is
18delivered to customers through pipes, pipelines, or mains; or
19(iii) the treatment of water for wholesale or retail sale that
20is delivered to customers through pipes, pipelines, or mains.
21The provisions of this amendatory Act of the 98th General
22Assembly are declaratory of existing law as to the meaning and
23scope of this exemption. For the purposes of this exemption,
24terms have the following meanings:
25        (1) "Manufacturing process" means the production of an
26    article of tangible personal property, whether the article

 

 

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1    is a finished product or an article for use in the process
2    of manufacturing or assembling a different article of
3    tangible personal property, by a procedure commonly
4    regarded as manufacturing, processing, fabricating, or
5    refining that changes some existing material or materials
6    into a material with a different form, use, or name. In
7    relation to a recognized integrated business composed of a
8    series of operations that collectively constitute
9    manufacturing, or individually constitute manufacturing
10    operations, the manufacturing process commences with the
11    first operation or stage of production in the series and
12    does not end until the completion of the final product in
13    the last operation or stage of production in the series.
14    For purposes of this exemption, photoprocessing is a
15    manufacturing process of tangible personal property for
16    wholesale or retail sale.
17        (2) "Assembling process" means the production of an
18    article of tangible personal property, whether the article
19    is a finished product or an article for use in the process
20    of manufacturing or assembling a different article of
21    tangible personal property, by the combination of existing
22    materials in a manner commonly regarded as assembling that
23    results in a material of a different form, use, or name.
24        (3) "Machinery" means major mechanical machines or
25    major components of those machines contributing to a
26    manufacturing or assembling process.

 

 

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1        (4) "Equipment" includes an independent device or tool
2    separate from machinery but essential to an integrated
3    manufacturing or assembly process; including computers
4    used primarily in a manufacturer's computer assisted
5    design, computer assisted manufacturing (CAD/CAM) system;
6    any subunit or assembly comprising a component of any
7    machinery or auxiliary, adjunct, or attachment parts of
8    machinery, such as tools, dies, jigs, fixtures, patterns,
9    and molds; and any parts that require periodic replacement
10    in the course of normal operation; but does not include
11    hand tools. Equipment includes chemicals or chemicals
12    acting as catalysts but only if the chemicals or chemicals
13    acting as catalysts effect a direct and immediate change
14    upon a product being manufactured or assembled for
15    wholesale or retail sale or lease.
16        (5) "Production related tangible personal property"
17    means all tangible personal property that is used or
18    consumed by the purchaser in a manufacturing facility in
19    which a manufacturing process takes place and includes,
20    without limitation, tangible personal property that is
21    purchased for incorporation into real estate within a
22    manufacturing facility, supplies and consumables used in a
23    manufacturing facility including fuels, coolants,
24    solvents, oils, lubricants, and adhesives, hand tools,
25    protective apparel, and fire and safety equipment used or
26    consumed within a manufacturing facility, and tangible

 

 

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1    personal property that is used or consumed in activities
2    such as research and development, preproduction material
3    handling, receiving, quality control, inventory control,
4    storage, staging, and packaging for shipping and
5    transportation purposes. "Production related tangible
6    personal property" does not include (i) tangible personal
7    property that is used, within or without a manufacturing
8    facility, in sales, purchasing, accounting, fiscal
9    management, marketing, personnel recruitment or selection,
10    or landscaping or (ii) tangible personal property that is
11    required to be titled or registered with a department,
12    agency, or unit of federal, State, or local government.
13    The manufacturing and assembling machinery and equipment
14exemption includes production related tangible personal
15property that is purchased on or after July 1, 2007 and on or
16before June 30, 2008 and on or after July 1, 2019. The
17exemption for production related tangible personal property
18purchased on or after July 1, 2007 and before June 30, 2008 is
19subject to both of the following limitations:
20        (1) The maximum amount of the exemption for any one
21    taxpayer may not exceed 5% of the purchase price of
22    production related tangible personal property that is
23    purchased on or after July 1, 2007 and on or before June
24    30, 2008. A credit under Section 3-85 of this Act may not
25    be earned by the purchase of production related tangible
26    personal property for which an exemption is received under

 

 

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1    this Section.
2        (2) The maximum aggregate amount of the exemptions for
3    production related tangible personal property awarded
4    under this Act and the Use Tax Act to all taxpayers may not
5    exceed $10,000,000. If the claims for the exemption exceed
6    $10,000,000, then the Department shall reduce the amount of
7    the exemption to each taxpayer on a pro rata basis.
8The Department shall adopt rules to implement and administer
9the exemption for production related tangible personal
10property.
11    The manufacturing and assembling machinery and equipment
12exemption includes the sale of materials to a purchaser who
13produces exempted types of machinery, equipment, or tools and
14who rents or leases that machinery, equipment, or tools to a
15manufacturer of tangible personal property. This exemption
16also includes the sale of materials to a purchaser who
17manufactures those materials into an exempted type of
18machinery, equipment, or tools that the purchaser uses himself
19or herself in the manufacturing of tangible personal property.
20The purchaser of the machinery and equipment who has an active
21resale registration number shall furnish that number to the
22seller at the time of purchase. A purchaser of the machinery,
23equipment, and tools without an active resale registration
24number shall furnish to the seller a certificate of exemption
25for each transaction stating facts establishing the exemption
26for that transaction, and that certificate shall be available

 

 

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1to the Department for inspection or audit. Informal rulings,
2opinions, or letters issued by the Department in response to an
3inquiry or request for an opinion from any person regarding the
4coverage and applicability of this exemption to specific
5devices shall be published, maintained as a public record, and
6made available for public inspection and copying. If the
7informal ruling, opinion, or letter contains trade secrets or
8other confidential information, where possible, the Department
9shall delete that information before publication. Whenever
10informal rulings, opinions, or letters contain a policy of
11general applicability, the Department shall formulate and
12adopt that policy as a rule in accordance with the Illinois
13Administrative Procedure Act.
14    The manufacturing and assembling machinery and equipment
15exemption is exempt from the provisions of Section 2-70.
16(Source: P.A. 100-22, eff. 7-6-17; 101-9, eff. 6-5-19.)
 
17    (35 ILCS 120/3)  (from Ch. 120, par. 442)
18    Sec. 3. Except as provided in this Section, on or before
19the twentieth day of each calendar month, every person engaged
20in the business of selling tangible personal property at retail
21in this State during the preceding calendar month shall file a
22return with the Department, stating:
23        1. The name of the seller;
24        2. His residence address and the address of his
25    principal place of business and the address of the

 

 

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1    principal place of business (if that is a different
2    address) from which he engages in the business of selling
3    tangible personal property at retail in this State;
4        3. Total amount of receipts received by him during the
5    preceding calendar month or quarter, as the case may be,
6    from sales of tangible personal property, and from services
7    furnished, by him during such preceding calendar month or
8    quarter;
9        4. Total amount received by him during the preceding
10    calendar month or quarter on charge and time sales of
11    tangible personal property, and from services furnished,
12    by him prior to the month or quarter for which the return
13    is filed;
14        5. Deductions allowed by law;
15        6. Gross receipts which were received by him during the
16    preceding calendar month or quarter and upon the basis of
17    which the tax is imposed;
18        7. The amount of credit provided in Section 2d of this
19    Act;
20        8. The amount of tax due;
21        9. The signature of the taxpayer; and
22        10. Such other reasonable information as the
23    Department may require.
24    On and after January 1, 2018, except for returns for motor
25vehicles, watercraft, aircraft, and trailers that are required
26to be registered with an agency of this State, with respect to

 

 

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1retailers whose annual gross receipts average $20,000 or more,
2all returns required to be filed pursuant to this Act shall be
3filed electronically. Retailers who demonstrate that they do
4not have access to the Internet or demonstrate hardship in
5filing electronically may petition the Department to waive the
6electronic filing requirement.
7    If a taxpayer fails to sign a return within 30 days after
8the proper notice and demand for signature by the Department,
9the return shall be considered valid and any amount shown to be
10due on the return shall be deemed assessed.
11    Each return shall be accompanied by the statement of
12prepaid tax issued pursuant to Section 2e for which credit is
13claimed.
14    Prior to October 1, 2003, and on and after September 1,
152004 a retailer may accept a Manufacturer's Purchase Credit
16certification from a purchaser in satisfaction of Use Tax as
17provided in Section 3-85 of the Use Tax Act if the purchaser
18provides the appropriate documentation as required by Section
193-85 of the Use Tax Act. A Manufacturer's Purchase Credit
20certification, accepted by a retailer prior to October 1, 2003
21and on and after September 1, 2004 as provided in Section 3-85
22of the Use Tax Act, may be used by that retailer to satisfy
23Retailers' Occupation Tax liability in the amount claimed in
24the certification, not to exceed 6.25% of the receipts subject
25to tax from a qualifying purchase. A Manufacturer's Purchase
26Credit reported on any original or amended return filed under

 

 

SB0119 Enrolled- 153 -LRB101 06854 HLH 51885 b

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

 

 

SB0119 Enrolled- 154 -LRB101 06854 HLH 51885 b

1        5. The amount of tax due; and
2        6. Such other reasonable information as the Department
3    may require.
4    Every Beginning on January 1, 2020, every person engaged in
5the business of selling aviation fuel at retail in this State
6during the preceding calendar month shall, instead of reporting
7and paying tax as otherwise required by this Section, report
8and pay such tax on a separate file an aviation fuel tax return
9with the Department on or before the twentieth day of each
10calendar month. The requirements related to the return shall be
11as otherwise provided in this Section. Notwithstanding any
12other provisions of this Act to the contrary, retailers selling
13aviation fuel shall file all aviation fuel tax returns and
14shall make all aviation fuel tax payments by electronic means
15in the manner and form required by the Department. For purposes
16of this Section paragraph, "aviation fuel" means jet fuel and
17aviation gasoline a product that is intended for use or offered
18for sale as fuel for an aircraft.
19    Beginning on October 1, 2003, any person who is not a
20licensed distributor, importing distributor, or manufacturer,
21as defined in the Liquor Control Act of 1934, but is engaged in
22the business of selling, at retail, alcoholic liquor shall file
23a statement with the Department of Revenue, in a format and at
24a time prescribed by the Department, showing the total amount
25paid for alcoholic liquor purchased during the preceding month
26and such other information as is reasonably required by the

 

 

SB0119 Enrolled- 155 -LRB101 06854 HLH 51885 b

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

 

 

SB0119 Enrolled- 156 -LRB101 06854 HLH 51885 b

1importing distributor, or manufacturer will provide the sales
2information. If the retailer is unable to receive the sales
3information by electronic means, the distributor, importing
4distributor, or manufacturer shall furnish the sales
5information by personal delivery or by mail. For purposes of
6this paragraph, the term "electronic means" includes, but is
7not limited to, the use of a secure Internet website, e-mail,
8or facsimile.
9    If a total amount of less than $1 is payable, refundable or
10creditable, such amount shall be disregarded if it is less than
1150 cents and shall be increased to $1 if it is 50 cents or more.
12    Notwithstanding any other provision of this Act to the
13contrary, retailers subject to tax on cannabis shall file all
14cannabis tax returns and shall make all cannabis tax payments
15by electronic means in the manner and form required by the
16Department.
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

 

 

SB0119 Enrolled- 157 -LRB101 06854 HLH 51885 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

 

 

SB0119 Enrolled- 158 -LRB101 06854 HLH 51885 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

 

 

SB0119 Enrolled- 159 -LRB101 06854 HLH 51885 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, except as otherwise provided in this
21Section, every retailer selling this kind of tangible personal
22property shall file, with the Department, upon a form to be
23prescribed and supplied by the Department, a separate return
24for each such item of tangible personal property which the
25retailer sells, except that if, in the same transaction, (i) a
26retailer of aircraft, watercraft, motor vehicles or trailers

 

 

SB0119 Enrolled- 160 -LRB101 06854 HLH 51885 b

1transfers more than one aircraft, watercraft, motor vehicle or
2trailer to another aircraft, watercraft, motor vehicle
3retailer or trailer retailer for the purpose of resale or (ii)
4a retailer of aircraft, watercraft, motor vehicles, or trailers
5transfers more than one aircraft, watercraft, motor vehicle, or
6trailer to a purchaser for use as a qualifying rolling stock as
7provided in Section 2-5 of this Act, then that seller may
8report the transfer of all aircraft, watercraft, motor vehicles
9or trailers involved in that transaction to the Department on
10the same uniform invoice-transaction reporting return form.
11For purposes of this Section, "watercraft" means a Class 2,
12Class 3, or Class 4 watercraft as defined in Section 3-2 of the
13Boat Registration and Safety Act, a personal watercraft, or any
14boat equipped with an inboard motor.
15    In addition, with respect to motor vehicles, watercraft,
16aircraft, and trailers that are required to be registered with
17an agency of this State, every person who is engaged in the
18business of leasing or renting such items and who, in
19connection with such business, sells any such item to a
20retailer for the purpose of resale is, notwithstanding any
21other provision of this Section to the contrary, authorized to
22meet the return-filing requirement of this Act by reporting the
23transfer of all the aircraft, watercraft, motor vehicles, or
24trailers transferred for resale during a month to the
25Department on the same uniform invoice-transaction reporting
26return form on or before the 20th of the month following the

 

 

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1month in which the transfer takes place. Notwithstanding any
2other provision of this Act to the contrary, all returns filed
3under this paragraph must be filed by electronic means in the
4manner and form as required by the Department.
5    Any retailer who sells only motor vehicles, watercraft,
6aircraft, or trailers that are required to be registered with
7an agency of this State, so that all retailers' occupation tax
8liability is required to be reported, and is reported, on such
9transaction reporting returns and who is not otherwise required
10to file monthly or quarterly returns, need not file monthly or
11quarterly returns. However, those retailers shall be required
12to file returns on an annual basis.
13    The transaction reporting return, in the case of motor
14vehicles or trailers that are required to be registered with an
15agency of this State, shall be the same document as the Uniform
16Invoice referred to in Section 5-402 of the Illinois Vehicle
17Code and must show the name and address of the seller; the name
18and address of the purchaser; the amount of the selling price
19including the amount allowed by the retailer for traded-in
20property, if any; the amount allowed by the retailer for the
21traded-in tangible personal property, if any, to the extent to
22which Section 1 of this Act allows an exemption for the value
23of traded-in property; the balance payable after deducting such
24trade-in allowance from the total selling price; the amount of
25tax due from the retailer with respect to such transaction; the
26amount of tax collected from the purchaser by the retailer on

 

 

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

 

 

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

 

 

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

 

 

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1may be, in case the seller had theretofore included the
2receipts from the sale of such tangible personal property in a
3return filed by him and had paid the tax imposed by this Act
4with respect to such receipts.
5    Where the seller is a corporation, the return filed on
6behalf of such corporation shall be signed by the president,
7vice-president, secretary or treasurer or by the properly
8accredited agent of such corporation.
9    Where the seller is a limited liability company, the return
10filed on behalf of the limited liability company shall be
11signed by a manager, member, or properly accredited agent of
12the limited liability company.
13    Except as provided in this Section, the retailer filing the
14return under this Section shall, at the time of filing such
15return, pay to the Department the amount of tax imposed by this
16Act less a discount of 2.1% prior to January 1, 1990 and 1.75%
17on and after January 1, 1990, or $5 per calendar year,
18whichever is greater, which is allowed to reimburse the
19retailer for the expenses incurred in keeping records,
20preparing and filing returns, remitting the tax and supplying
21data to the Department on request. The discount under this
22Section is not allowed for the 1.25% portion of taxes paid on
23aviation fuel that is subject to the revenue use requirements
24of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are deposited into
25the State Aviation Program Fund under this Act. Any prepayment
26made pursuant to Section 2d of this Act shall be included in

 

 

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1the amount on which such 2.1% or 1.75% discount is computed. In
2the case of retailers who report and pay the tax on a
3transaction by transaction basis, as provided in this Section,
4such discount shall be taken with each such tax remittance
5instead of when such retailer files his periodic return. The
6discount allowed under this Section is allowed only for returns
7that are filed in the manner required by this Act. The
8Department may disallow the discount for retailers whose
9certificate of registration is revoked at the time the return
10is filed, but only if the Department's decision to revoke the
11certificate of registration has become final.
12    Before October 1, 2000, if the taxpayer's average monthly
13tax liability to the Department under this Act, the Use Tax
14Act, the Service Occupation Tax Act, and the Service Use Tax
15Act, excluding any liability for prepaid sales tax to be
16remitted in accordance with Section 2d of this Act, was $10,000
17or more during the preceding 4 complete calendar quarters, he
18shall file a return with the Department each month by the 20th
19day of the month next following the month during which such tax
20liability is incurred and shall make payments to the Department
21on or before the 7th, 15th, 22nd and last day of the month
22during which such liability is incurred. On and after October
231, 2000, if the taxpayer's average monthly tax liability to the
24Department under this Act, the Use Tax Act, the Service
25Occupation Tax Act, and the Service Use Tax Act, excluding any
26liability for prepaid sales tax to be remitted in accordance

 

 

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1with Section 2d of this Act, was $20,000 or more during the
2preceding 4 complete calendar quarters, he shall file a return
3with the Department each month by the 20th day of the month
4next following the month during which such tax liability is
5incurred and shall make payment to the Department on or before
6the 7th, 15th, 22nd and last day of the month during which such
7liability is incurred. If the month during which such tax
8liability is incurred began prior to January 1, 1985, each
9payment shall be in an amount equal to 1/4 of the taxpayer's
10actual liability for the month or an amount set by the
11Department not to exceed 1/4 of the average monthly liability
12of the taxpayer to the Department for the preceding 4 complete
13calendar quarters (excluding the month of highest liability and
14the month of lowest liability in such 4 quarter period). If the
15month during which such tax liability is incurred begins on or
16after January 1, 1985 and prior to January 1, 1987, each
17payment shall be in an amount equal to 22.5% of the taxpayer's
18actual liability for the month or 27.5% of the taxpayer's
19liability for the same calendar month of the preceding year. If
20the month during which such tax liability is incurred begins on
21or after January 1, 1987 and prior to January 1, 1988, each
22payment shall be in an amount equal to 22.5% of the taxpayer's
23actual liability for the month or 26.25% of the taxpayer's
24liability for the same calendar month of the preceding year. If
25the month during which such tax liability is incurred begins on
26or after January 1, 1988, and prior to January 1, 1989, or

 

 

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1begins on or after January 1, 1996, each payment shall be in an
2amount equal to 22.5% of the taxpayer's actual liability for
3the month or 25% of the taxpayer's liability for the same
4calendar month of the preceding year. If the month during which
5such tax liability is incurred begins on or after January 1,
61989, and prior to January 1, 1996, each payment shall be in an
7amount equal to 22.5% of the taxpayer's actual liability for
8the month or 25% of the taxpayer's liability for the same
9calendar month of the preceding year or 100% of the taxpayer's
10actual liability for the quarter monthly reporting period. The
11amount of such quarter monthly payments shall be credited
12against the final tax liability of the taxpayer's return for
13that month. Before October 1, 2000, once applicable, the
14requirement of the making of quarter monthly payments to the
15Department by taxpayers having an average monthly tax liability
16of $10,000 or more as determined in the manner provided above
17shall continue until such taxpayer's average monthly liability
18to the Department during the preceding 4 complete calendar
19quarters (excluding the month of highest liability and the
20month of lowest liability) is less than $9,000, or until such
21taxpayer's average monthly liability to the Department as
22computed for each calendar quarter of the 4 preceding complete
23calendar quarter period is less than $10,000. However, if a
24taxpayer can show the Department that a substantial change in
25the taxpayer's business has occurred which causes the taxpayer
26to anticipate that his average monthly tax liability for the

 

 

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

 

 

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1amount of such quarter monthly payment actually and timely
2paid, except insofar as the taxpayer has previously made
3payments for that month to the Department in excess of the
4minimum payments previously due as provided in this Section.
5The Department shall make reasonable rules and regulations to
6govern the quarter monthly payment amount and quarter monthly
7payment dates for taxpayers who file on other than a calendar
8monthly basis.
9    The provisions of this paragraph apply before October 1,
102001. Without regard to whether a taxpayer is required to make
11quarter monthly payments as specified above, any taxpayer who
12is required by Section 2d of this Act to collect and remit
13prepaid taxes and has collected prepaid taxes which average in
14excess of $25,000 per month during the preceding 2 complete
15calendar quarters, shall file a return with the Department as
16required by Section 2f and shall make payments to the
17Department on or before the 7th, 15th, 22nd and last day of the
18month during which such liability is incurred. If the month
19during which such tax liability is incurred began prior to
20September 1, 1985 (the effective date of Public Act 84-221),
21each payment shall be in an amount not less than 22.5% of the
22taxpayer's actual liability under Section 2d. If the month
23during which such tax liability is incurred begins on or after
24January 1, 1986, each payment shall be in an amount equal to
2522.5% of the taxpayer's actual liability for the month or 27.5%
26of the taxpayer's liability for the same calendar month of the

 

 

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1preceding calendar year. If the month during which such tax
2liability is incurred begins on or after January 1, 1987, each
3payment shall be in an amount equal to 22.5% of the taxpayer's
4actual liability for the month or 26.25% of the taxpayer's
5liability for the same calendar month of the preceding year.
6The amount of such quarter monthly payments shall be credited
7against the final tax liability of the taxpayer's return for
8that month filed under this Section or Section 2f, as the case
9may be. Once applicable, the requirement of the making of
10quarter monthly payments to the Department pursuant to this
11paragraph shall continue until such taxpayer's average monthly
12prepaid tax collections during the preceding 2 complete
13calendar quarters is $25,000 or less. If any such quarter
14monthly payment is not paid at the time or in the amount
15required, the taxpayer shall be liable for penalties and
16interest on such difference, except insofar as the taxpayer has
17previously made payments for that month in excess of the
18minimum payments previously due.
19    The provisions of this paragraph apply on and after October
201, 2001. Without regard to whether a taxpayer is required to
21make quarter monthly payments as specified above, any taxpayer
22who is required by Section 2d of this Act to collect and remit
23prepaid taxes and has collected prepaid taxes that average in
24excess of $20,000 per month during the preceding 4 complete
25calendar quarters shall file a return with the Department as
26required by Section 2f and shall make payments to the

 

 

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

 

 

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

 

 

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1realized for the preceding month from the 1% tax imposed under
2this Act.
3    Beginning January 1, 1990, each month the Department shall
4pay into the County and Mass Transit District Fund, a special
5fund in the State treasury which is hereby created, 4% of the
6net revenue realized for the preceding month from the 6.25%
7general rate other than aviation fuel sold on or after December
81, 2019. This exception for aviation fuel only applies for so
9long as the revenue use requirements of 49 U.S.C. 47107(b) and
1049 U.S.C. 47133 are binding on the State.
11    For aviation fuel sold on or after December 1, 2019, each
12month the Department shall pay into the State Aviation Program
13Fund 4% of the net revenue realized for the preceding month
14from the 6.25% general rate on the selling price of aviation
15fuel, less an amount estimated by the Department to be required
16for refunds of the 4% portion of the tax on aviation fuel under
17this Act, which amount shall be deposited into the Aviation
18Fuel Sales Tax Refund Fund. The Department shall only pay
19moneys into the State Aviation Program Fund and the Aviation
20Fuel Sales Tax Refund Fund under this Act for so long as the
21revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
2247133 are binding on the State.
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

 

 

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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 other than
9aviation fuel sold on or after December 1, 2019. This exception
10for aviation fuel only applies for so long as the revenue use
11requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
12binding on the State.
13    For aviation fuel sold on or after December 1, 2019, each
14month the Department shall pay into the State Aviation Program
15Fund 20% 16% of the net revenue realized for the preceding
16month from the 6.25% general rate on the selling price of
17aviation fuel, less an amount estimated by the Department to be
18required for refunds of the 20% 16% portion of the tax on
19aviation fuel under this Act, which amount shall be deposited
20into the Aviation Fuel Sales Tax Refund Fund. The Department
21shall only pay moneys into the State Aviation Program Fund and
22the Aviation Fuel Sales Tax Refund Fund under this Act for so
23long as the revenue use requirements of 49 U.S.C. 47107(b) and
2449 U.S.C. 47133 are binding on the State.
25    Beginning August 1, 2000, each month the Department shall
26pay into the Local Government Tax Fund 80% of the net revenue

 

 

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1realized for the preceding month from the 1.25% rate on the
2selling price of motor fuel and gasohol. Beginning September 1,
32010, each month the Department shall pay into the Local
4Government Tax Fund 80% of the net revenue realized for the
5preceding month from the 1.25% rate on the selling price of
6sales tax holiday items.
7    Beginning October 1, 2009, each month the Department shall
8pay into the Capital Projects Fund an amount that is equal to
9an amount estimated by the Department to represent 80% of the
10net revenue realized for the preceding month from the sale of
11candy, grooming and hygiene products, and soft drinks that had
12been taxed at a rate of 1% prior to September 1, 2009 but that
13are now taxed at 6.25%.
14    Beginning July 1, 2011, each month the Department shall pay
15into the Clean Air Act Permit Fund 80% of the net revenue
16realized for the preceding month from the 6.25% general rate on
17the selling price of sorbents used in Illinois in the process
18of sorbent injection as used to comply with the Environmental
19Protection Act or the federal Clean Air Act, but the total
20payment into the Clean Air Act Permit Fund under this Act and
21the Use Tax Act shall not exceed $2,000,000 in any fiscal year.
22    Beginning July 1, 2013, each month the Department shall pay
23into the Underground Storage Tank Fund from the proceeds
24collected under this Act, the Use Tax Act, the Service Use Tax
25Act, and the Service Occupation Tax Act an amount equal to the
26average monthly deficit in the Underground Storage Tank Fund

 

 

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

 

 

SB0119 Enrolled- 178 -LRB101 06854 HLH 51885 b

12.2% or 3.8%, as the case may be, of moneys being hereinafter
2called the "Tax Act Amount", and (2) the amount transferred to
3the Build Illinois Fund from the State and Local Sales Tax
4Reform Fund shall be less than the Annual Specified Amount (as
5hereinafter defined), an amount equal to the difference shall
6be immediately paid into the Build Illinois Fund from other
7moneys received by the Department pursuant to the Tax Acts; the
8"Annual Specified Amount" means the amounts specified below for
9fiscal years 1986 through 1993:
10Fiscal YearAnnual Specified Amount
111986$54,800,000
121987$76,650,000
131988$80,480,000
141989$88,510,000
151990$115,330,000
161991$145,470,000
171992$182,730,000
181993$206,520,000;
19and means the Certified Annual Debt Service Requirement (as
20defined in Section 13 of the Build Illinois Bond Act) or the
21Tax Act Amount, whichever is greater, for fiscal year 1994 and
22each fiscal year thereafter; and further provided, that if on
23the last business day of any month the sum of (1) the Tax Act
24Amount required to be deposited into the Build Illinois Bond
25Account in the Build Illinois Fund during such month and (2)
26the amount transferred to the Build Illinois Fund from the

 

 

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

 

 

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1in such month from the Build Illinois Bond Account to the Build
2Illinois Bond Retirement and Interest Fund pursuant to Section
313 of the Build Illinois Bond Act, an amount equal to such
4deficiency shall be immediately paid from other moneys received
5by the Department pursuant to the Tax Acts to the Build
6Illinois Fund; provided, however, that any amounts paid to the
7Build Illinois Fund in any fiscal year pursuant to this
8sentence shall be deemed to constitute payments pursuant to
9clause (b) of the first sentence of this paragraph and shall
10reduce the amount otherwise payable for such fiscal year
11pursuant to that clause (b). The moneys received by the
12Department pursuant to this Act and required to be deposited
13into the Build Illinois Fund are subject to the pledge, claim
14and charge set forth in Section 12 of the Build Illinois Bond
15Act.
16    Subject to payment of amounts into the Build Illinois Fund
17as provided in the preceding paragraph or in any amendment
18thereto hereafter enacted, the following specified monthly
19installment of the amount requested in the certificate of the
20Chairman of the Metropolitan Pier and Exposition Authority
21provided under Section 8.25f of the State Finance Act, but not
22in excess of sums designated as "Total Deposit", shall be
23deposited in the aggregate from collections under Section 9 of
24the Use Tax Act, Section 9 of the Service Use Tax Act, Section
259 of the Service Occupation Tax Act, and Section 3 of the
26Retailers' Occupation Tax Act into the McCormick Place

 

 

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1Expansion Project Fund in the specified fiscal years.
2Fiscal YearTotal Deposit
31993         $0
41994 53,000,000
51995 58,000,000
61996 61,000,000
71997 64,000,000
81998 68,000,000
91999 71,000,000
102000 75,000,000
112001 80,000,000
122002 93,000,000
132003 99,000,000
142004103,000,000
152005108,000,000
162006113,000,000
172007119,000,000
182008126,000,000
192009132,000,000
202010139,000,000
212011146,000,000
222012153,000,000
232013161,000,000
242014170,000,000
252015179,000,000

 

 

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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

 

 

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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 Capital Projects
14Fund, the Clean Air Act Permit Fund, the Build Illinois Fund,
15and the McCormick Place Expansion Project Fund pursuant to the
16preceding paragraphs or in any amendments thereto hereafter
17enacted, for aviation fuel sold on or after December 1, 2019,
18the Department shall each month deposit into the Aviation Fuel
19Sales Tax Refund Fund an amount estimated by the Department to
20be required for refunds of the 80% portion of the tax on
21aviation fuel under this Act. The Department shall only deposit
22moneys into the Aviation Fuel Sales Tax Refund Fund under this
23paragraph for so long as the revenue use requirements of 49
24U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the State.
25    Subject to payment of amounts into the Build Illinois Fund
26and the McCormick Place Expansion Project Fund pursuant to the

 

 

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1preceding paragraphs or in any amendments thereto hereafter
2enacted, beginning July 1, 1993 and ending on September 30,
32013, the Department shall each month pay into the Illinois Tax
4Increment Fund 0.27% of 80% of the net revenue realized for the
5preceding month from the 6.25% general rate on the selling
6price of tangible personal property.
7    Subject to payment of amounts into the Build Illinois Fund
8and the McCormick Place Expansion Project Fund pursuant to the
9preceding paragraphs or in any amendments thereto hereafter
10enacted, beginning with the receipt of the first report of
11taxes paid by an eligible business and continuing for a 25-year
12period, the Department shall each month pay into the Energy
13Infrastructure Fund 80% of the net revenue realized from the
146.25% general rate on the selling price of Illinois-mined coal
15that was sold to an eligible business. For purposes of this
16paragraph, the term "eligible business" means a new electric
17generating facility certified pursuant to Section 605-332 of
18the Department of Commerce and Economic Opportunity Law of the
19Civil Administrative Code of Illinois.
20    Subject to payment of amounts into the Build Illinois Fund,
21the McCormick Place Expansion Project Fund, the Illinois Tax
22Increment Fund, and the Energy Infrastructure Fund pursuant to
23the preceding paragraphs or in any amendments to this Section
24hereafter enacted, beginning on the first day of the first
25calendar month to occur on or after August 26, 2014 (the
26effective date of Public Act 98-1098), each month, from the

 

 

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1collections made under Section 9 of the Use Tax Act, Section 9
2of the Service Use Tax Act, Section 9 of the Service Occupation
3Tax Act, and Section 3 of the Retailers' Occupation Tax Act,
4the Department shall pay into the Tax Compliance and
5Administration Fund, to be used, subject to appropriation, to
6fund additional auditors and compliance personnel at the
7Department of Revenue, an amount equal to 1/12 of 5% of 80% of
8the cash receipts collected during the preceding fiscal year by
9the Audit Bureau of the Department under the Use Tax Act, the
10Service Use Tax Act, the Service Occupation Tax Act, the
11Retailers' Occupation Tax Act, and associated local occupation
12and use taxes administered by the Department (except the amount
13collected on aviation fuel sold on or after December 1, 2019).
14    Subject to payments of amounts into the Build Illinois
15Fund, the McCormick Place Expansion Project Fund, the Illinois
16Tax Increment Fund, the Energy Infrastructure Fund, and the Tax
17Compliance and Administration Fund as provided in this Section,
18beginning on July 1, 2018 the Department shall pay each month
19into the Downstate Public Transportation Fund the moneys
20required to be so paid under Section 2-3 of the Downstate
21Public Transportation Act.
22    Subject to successful execution and delivery of a
23public-private public private agreement between the public
24agency and private entity and completion of the civic build,
25beginning on July 1, 2023, of the remainder of the moneys
26received by the Department under the Use Tax Act, the Service

 

 

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1Use Tax Act, the Service Occupation Tax Act, and this Act, the
2Department shall deposit the following specified deposits in
3the aggregate from collections under the Use Tax Act, the
4Service Use Tax Act, the Service Occupation Tax Act, and the
5Retailers' Occupation Tax Act, as required under Section 8.25g
6of the State Finance Act for distribution consistent with the
7Public-Private Partnership for Civic and Transit
8Infrastructure Project Act. The moneys received by the
9Department pursuant to this Act and required to be deposited
10into the Civic and Transit Infrastructure Fund are subject to
11the pledge, claim and charge set forth in Section 25-55 55 of
12the Public-Private Partnership for Civic and Transit
13Infrastructure Project Act. As used in this paragraph, "civic
14build", "private entity", "public-private private public
15agreement", and "public agency" have the meanings provided in
16Section 25-10 of the Public-Private Partnership for Civic and
17Transit Infrastructure Project Act.
18        Fiscal Year.............................Total Deposit
19        2024.....................................$200,000,000
20        2025....................................$206,000,000
21        2026....................................$212,200,000
22        2027....................................$218,500,000
23        2028....................................$225,100,000
24        2029....................................$288,700,000
25        2030....................................$298,900,000
26        2031....................................$309,300,000

 

 

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1        2032....................................$320,100,000
2        2033....................................$331,200,000
3        2034....................................$341,200,000
4        2035....................................$351,400,000
5        2036....................................$361,900,000
6        2037....................................$372,800,000
7        2038....................................$384,000,000
8        2039....................................$395,500,000
9        2040....................................$407,400,000
10        2041....................................$419,600,000
11        2042....................................$432,200,000
12        2043....................................$445,100,000
13    Beginning July 1, 2021 and until July 1, 2022, subject to
14the payment of amounts into the County and Mass Transit
15District Fund, the Local Government Tax Fund, the Build
16Illinois Fund, the McCormick Place Expansion Project Fund, the
17Illinois Tax Increment Fund, the Energy Infrastructure Fund,
18and the Tax Compliance and Administration Fund as provided in
19this Section, the Department shall pay each month into the Road
20Fund the amount estimated to represent 16% of the net revenue
21realized from the taxes imposed on motor fuel and gasohol.
22Beginning July 1, 2022 and until July 1, 2023, subject to the
23payment of amounts into the County and Mass Transit District
24Fund, the Local Government Tax Fund, the Build Illinois Fund,
25the McCormick Place Expansion Project Fund, the Illinois Tax
26Increment Fund, the Energy Infrastructure Fund, and the Tax

 

 

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1Compliance and Administration Fund as provided in this Section,
2the Department shall pay each month into the Road Fund the
3amount estimated to represent 32% of the net revenue realized
4from the taxes imposed on motor fuel and gasohol. Beginning
5July 1, 2023 and until July 1, 2024, subject to the payment of
6amounts into the County and Mass Transit District Fund, the
7Local Government Tax Fund, the Build Illinois Fund, the
8McCormick Place Expansion Project Fund, the Illinois Tax
9Increment Fund, the Energy Infrastructure Fund, and the Tax
10Compliance and Administration Fund as provided in this Section,
11the Department shall pay each month into the Road Fund the
12amount estimated to represent 48% of the net revenue realized
13from the taxes imposed on motor fuel and gasohol. Beginning
14July 1, 2024 and until July 1, 2025, subject to the payment of
15amounts into the County and Mass Transit District Fund, the
16Local Government Tax Fund, the Build Illinois Fund, the
17McCormick Place Expansion Project Fund, the Illinois Tax
18Increment Fund, the Energy Infrastructure Fund, and the Tax
19Compliance and Administration Fund as provided in this Section,
20the Department shall pay each month into the Road Fund the
21amount estimated to represent 64% of the net revenue realized
22from the taxes imposed on motor fuel and gasohol. Beginning on
23July 1, 2025, subject to the payment of amounts into the County
24and Mass Transit District Fund, the Local Government Tax Fund,
25the Build Illinois Fund, the McCormick Place Expansion Project
26Fund, the Illinois Tax Increment Fund, the Energy

 

 

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1Infrastructure Fund, and the Tax Compliance and Administration
2Fund as provided in this Section, the Department shall pay each
3month into the Road Fund the amount estimated to represent 80%
4of the net revenue realized from the taxes imposed on motor
5fuel and gasohol. As used in this paragraph "motor fuel" has
6the meaning given to that term in Section 1.1 of the Motor Fuel
7Tax Act, and "gasohol" has the meaning given to that term in
8Section 3-40 of the Use Tax Act.
9    Of the remainder of the moneys received by the Department
10pursuant to this Act, 75% thereof shall be paid into the State
11Treasury and 25% shall be reserved in a special account and
12used only for the transfer to the Common School Fund as part of
13the monthly transfer from the General Revenue Fund in
14accordance with Section 8a of the State Finance Act.
15    The Department may, upon separate written notice to a
16taxpayer, require the taxpayer to prepare and file with the
17Department on a form prescribed by the Department within not
18less than 60 days after receipt of the notice an annual
19information return for the tax year specified in the notice.
20Such annual return to the Department shall include a statement
21of gross receipts as shown by the retailer's last Federal
22income tax return. If the total receipts of the business as
23reported in the Federal income tax return do not agree with the
24gross receipts reported to the Department of Revenue for the
25same period, the retailer shall attach to his annual return a
26schedule showing a reconciliation of the 2 amounts and the

 

 

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

 

 

SB0119 Enrolled- 191 -LRB101 06854 HLH 51885 b

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

 

 

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1sales, if the retailers who are affected do not make written
2objection to the Department to this arrangement.
3    Any person who promotes, organizes, provides retail
4selling space for concessionaires or other types of sellers at
5the Illinois State Fair, DuQuoin State Fair, county fairs,
6local fairs, art shows, flea markets and similar exhibitions or
7events, including any transient merchant as defined by Section
82 of the Transient Merchant Act of 1987, is required to file a
9report with the Department providing the name of the merchant's
10business, the name of the person or persons engaged in
11merchant's business, the permanent address and Illinois
12Retailers Occupation Tax Registration Number of the merchant,
13the dates and location of the event and other reasonable
14information that the Department may require. The report must be
15filed not later than the 20th day of the month next following
16the month during which the event with retail sales was held.
17Any person who fails to file a report required by this Section
18commits a business offense and is subject to a fine not to
19exceed $250.
20    Any person engaged in the business of selling tangible
21personal property at retail as a concessionaire or other type
22of seller at the Illinois State Fair, county fairs, art shows,
23flea markets and similar exhibitions or events, or any
24transient merchants, as defined by Section 2 of the Transient
25Merchant Act of 1987, may be required to make a daily report of
26the amount of such sales to the Department and to make a daily

 

 

SB0119 Enrolled- 193 -LRB101 06854 HLH 51885 b

1payment of the full amount of tax due. The Department shall
2impose this requirement when it finds that there is a
3significant risk of loss of revenue to the State at such an
4exhibition or event. Such a finding shall be based on evidence
5that a substantial number of concessionaires or other sellers
6who are not residents of Illinois will be engaging in the
7business of selling tangible personal property at retail at the
8exhibition or event, or other evidence of a significant risk of
9loss of revenue to the State. The Department shall notify
10concessionaires and other sellers affected by the imposition of
11this requirement. In the absence of notification by the
12Department, the concessionaires and other sellers shall file
13their returns as otherwise required in this Section.
14(Source: P.A. 100-303, eff. 8-24-17; 100-363, eff. 7-1-18;
15100-863, eff. 8-14-18; 100-1171, eff. 1-4-19; 101-10, Article
1615, Section 15-25, eff. 6-5-19; 101-10, Article 25, Section
1725-120, eff. 6-5-19; 101-27, eff. 6-25-19; 101-32, eff.
186-28-19; revised 7-17-19.)
 
19    Section 10-45. The Cigarette Tax Act is amended by changing
20Section 2 as follows:
 
21    (35 ILCS 130/2)  (from Ch. 120, par. 453.2)
22    Sec. 2. Tax imposed; rate; collection, payment, and
23distribution; discount.
24    (a) Beginning on July 1, 2019, in place of the aggregate

 

 

SB0119 Enrolled- 194 -LRB101 06854 HLH 51885 b

1tax rate of 99 mills previously imposed by this Act, a tax is
2imposed upon any person engaged in business as a retailer of
3cigarettes at the rate of 149 mills per cigarette sold or
4otherwise disposed of in the course of such business in this
5State.
6    (b) The payment of such taxes shall be evidenced by a stamp
7affixed to each original package of cigarettes, or an
8authorized substitute for such stamp imprinted on each original
9package of such cigarettes underneath the sealed transparent
10outside wrapper of such original package, as hereinafter
11provided. However, such taxes are not imposed upon any activity
12in such business in interstate commerce or otherwise, which
13activity may not under the Constitution and statutes of the
14United States be made the subject of taxation by this State.
15    Out of the 149 mills per cigarette tax imposed by
16subsection (a), the revenues received from 4 mills shall be
17paid into the Common School Fund each month, not to exceed
18$9,000,000 per month. Out of the 149 mills per cigarette tax
19imposed by subsection (a), all of the revenues received from 7
20mills shall be paid into the Common School Fund each month. Out
21of the 149 mills per cigarette tax imposed by subsection (a),
2250 mills per cigarette each month shall be paid into the
23Healthcare Provider Relief Fund.
24    Beginning on July 1, 2006, all of the moneys received by
25the Department of Revenue pursuant to this Act and the
26Cigarette Use Tax Act, other than the moneys that are dedicated

 

 

SB0119 Enrolled- 195 -LRB101 06854 HLH 51885 b

1to the Common School Fund and, beginning on the effective date
2of this amendatory Act of the 97th General Assembly, other than
3the moneys from the additional taxes imposed by this amendatory
4Act of the 97th General Assembly that must be paid each month
5into the Healthcare Provider Relief Fund, and other than the
6moneys from the additional taxes imposed by this amendatory Act
7of the 101st General Assembly that must be paid each month
8under subsection (c), shall be distributed each month as
9follows: first, there shall be paid into the General Revenue
10Fund an amount that, when added to the amount paid into the
11Common School Fund for that month, equals $29,200,000; then,
12from the moneys remaining, if any amounts required to be paid
13into the General Revenue Fund in previous months remain unpaid,
14those amounts shall be paid into the General Revenue Fund; then
15from the moneys remaining, $5,000,000 per month shall be paid
16into the School Infrastructure Fund; then, if any amounts
17required to be paid into the School Infrastructure Fund in
18previous months remain unpaid, those amounts shall be paid into
19the School Infrastructure Fund; then the moneys remaining, if
20any, shall be paid into the Long-Term Care Provider Fund.
21    (c) Beginning on July 1, 2019, all of the moneys from the
22additional taxes imposed by Public Act 101-31, except for
23moneys received from the tax on electronic cigarettes, this
24amendatory Act of the 101st General Assembly received by the
25Department of Revenue pursuant to this Act, and the Cigarette
26Use Tax Act, and the Tobacco Products Tax Act of 1995 shall be

 

 

SB0119 Enrolled- 196 -LRB101 06854 HLH 51885 b

1distributed each month into the Capital Projects Fund.
2    (d) Except for moneys received from the additional taxes
3imposed by Public Act 101-31, moneys Moneys collected from the
4tax imposed on little cigars under Section 10-10 of the Tobacco
5Products Tax Act of 1995 shall be included with the moneys
6collected under the Cigarette Tax Act and the Cigarette Use Tax
7Act when making distributions to the Common School Fund, the
8Healthcare Provider Relief Fund, the General Revenue Fund, the
9School Infrastructure Fund, and the Long-Term Care Provider
10Fund under this Section.
11    (e) If the tax imposed herein terminates or has terminated,
12distributors who have bought stamps while such tax was in
13effect and who therefore paid such tax, but who can show, to
14the Department's satisfaction, that they sold the cigarettes to
15which they affixed such stamps after such tax had terminated
16and did not recover the tax or its equivalent from purchasers,
17shall be allowed by the Department to take credit for such
18absorbed tax against subsequent tax stamp purchases from the
19Department by such distributor.
20    (f) The impact of the tax levied by this Act is imposed
21upon the retailer and shall be prepaid or pre-collected by the
22distributor for the purpose of convenience and facility only,
23and the amount of the tax shall be added to the price of the
24cigarettes sold by such distributor. Collection of the tax
25shall be evidenced by a stamp or stamps affixed to each
26original package of cigarettes, as hereinafter provided. Any

 

 

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1distributor who purchases stamps may credit any excess payments
2verified by the Department against amounts subsequently due for
3the purchase of additional stamps, until such time as no excess
4payment remains.
5    (g) Each distributor shall collect the tax from the
6retailer at or before the time of the sale, shall affix the
7stamps as hereinafter required, and shall remit the tax
8collected from retailers to the Department, as hereinafter
9provided. Any distributor who fails to properly collect and pay
10the tax imposed by this Act shall be liable for the tax.
11    (h) Any distributor having cigarettes in his or her
12possession on July 1, 2019 to which tax stamps have been
13affixed, and any distributor having stamps in his or her
14possession on July 1, 2019 that have not been affixed to
15packages of cigarettes before July 1, 2019, is required to pay
16the additional tax that begins on July 1, 2019 imposed by this
17amendatory Act of the 101st General Assembly to the extent that
18the volume of affixed and unaffixed stamps in the distributor's
19possession on July 1, 2019 exceeds the average monthly volume
20of cigarette stamps purchased by the distributor in calendar
21year 2018. This payment, less the discount provided in
22subsection (l), is due when the distributor first makes a
23purchase of cigarette stamps on or after July 1, 2019 or on the
24first due date of a return under this Act occurring on or after
25July 1, 2019, whichever occurs first. Those distributors may
26elect to pay the additional tax on packages of cigarettes to

 

 

SB0119 Enrolled- 198 -LRB101 06854 HLH 51885 b

1which stamps have been affixed and on any stamps in the
2distributor's possession that have not been affixed to packages
3of cigarettes in their possession on July 1, 2019 over a period
4not to exceed 12 months from the due date of the additional tax
5by notifying the Department in writing. The first payment for
6distributors making such election is due when the distributor
7first makes a purchase of cigarette tax stamps on or after July
81, 2019 or on the first due date of a return under this Act
9occurring on or after July 1, 2019, whichever occurs first.
10Distributors making such an election are not entitled to take
11the discount provided in subsection (l) on such payments.
12    (i) Any retailer having cigarettes in its possession on
13July 1, 2019 to which tax stamps have been affixed is not
14required to pay the additional tax that begins on July 1, 2019
15imposed by this amendatory Act of the 101st General Assembly on
16those stamped cigarettes.
17    (j) Distributors making sales of cigarettes to secondary
18distributors shall add the amount of the tax to the price of
19the cigarettes sold by the distributors. Secondary
20distributors making sales of cigarettes to retailers shall
21include the amount of the tax in the price of the cigarettes
22sold to retailers. The amount of tax shall not be less than the
23amount of taxes imposed by the State and all local
24jurisdictions. The amount of local taxes shall be calculated
25based on the location of the retailer's place of business shown
26on the retailer's certificate of registration or

 

 

SB0119 Enrolled- 199 -LRB101 06854 HLH 51885 b

1sub-registration issued to the retailer pursuant to Section 2a
2of the Retailers' Occupation Tax Act. The original packages of
3cigarettes sold to the retailer shall bear all the required
4stamps, or other indicia, for the taxes included in the price
5of cigarettes.
6    (k) The amount of the Cigarette Tax imposed by this Act
7shall be separately stated, apart from the price of the goods,
8by distributors, manufacturer representatives, secondary
9distributors, and retailers, in all bills and sales invoices.
10    (l) The distributor shall be required to collect the tax
11provided under paragraph (a) hereof, and, to cover the costs of
12such collection, shall be allowed a discount during any year
13commencing July 1st and ending the following June 30th in
14accordance with the schedule set out hereinbelow, which
15discount shall be allowed at the time of purchase of the stamps
16when purchase is required by this Act, or at the time when the
17tax is remitted to the Department without the purchase of
18stamps from the Department when that method of paying the tax
19is required or authorized by this Act.
20    On and after December 1, 1985, a discount equal to 1.75% of
21the 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

 

 

SB0119 Enrolled- 200 -LRB101 06854 HLH 51885 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    (m) 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. 100-1171, eff. 1-4-19; 101-31, eff. 6-28-19.)
 
9    Section 10-50. The Motor Fuel Tax Law is amended by
10changing Sections 2, 2a, 2b, and 8a as follows:
 
11    (35 ILCS 505/2)  (from Ch. 120, par. 418)
12    Sec. 2. A tax is imposed on the privilege of operating
13motor vehicles upon the public highways and recreational-type
14watercraft upon the waters of this State.
15    (a) Prior to August 1, 1989, the tax is imposed at the rate
16of 13 cents per gallon on all motor fuel used in motor vehicles
17operating on the public highways and recreational type
18watercraft operating upon the waters of this State. Beginning
19on August 1, 1989 and until January 1, 1990, the rate of the
20tax imposed in this paragraph shall be 16 cents per gallon.
21Beginning January 1, 1990 and until July 1, 2019, the rate of
22tax imposed in this paragraph, including the tax on compressed
23natural gas, shall be 19 cents per gallon. Beginning July 1,
242019, the rate of tax imposed in this paragraph shall be 38

 

 

SB0119 Enrolled- 201 -LRB101 06854 HLH 51885 b

1cents per gallon and increased on July 1 of each subsequent
2year by an amount equal to the percentage increase, if any, in
3the Consumer Price Index for All Urban Consumers for all items
4published by the United States Department of Labor for the 12
5months ending in March of each year. The rate shall be rounded
6to the nearest one-tenth of one cent.
7    (b) Until July 1, 2019, the The tax on the privilege of
8operating motor vehicles which use diesel fuel, liquefied
9natural gas, or propane shall be the rate according to
10paragraph (a) plus an additional 2 1/2 cents per gallon.
11Beginning July 1, 2019, the tax on the privilege of operating
12motor vehicles which use diesel fuel, liquefied natural gas, or
13propane rate of tax imposed in this paragraph shall be the rate
14according to subsection (a) plus an additional 7.5 cents per
15gallon. "Diesel fuel" is defined as any product intended for
16use or offered for sale as a fuel for engines in which the fuel
17is injected into the combustion chamber and ignited by pressure
18without electric spark.
19    (c) A tax is imposed upon the privilege of engaging in the
20business of selling motor fuel as a retailer or reseller on all
21motor fuel used in motor vehicles operating on the public
22highways and recreational type watercraft operating upon the
23waters of this State: (1) at the rate of 3 cents per gallon on
24motor fuel owned or possessed by such retailer or reseller at
2512:01 a.m. on August 1, 1989; and (2) at the rate of 3 cents per
26gallon on motor fuel owned or possessed by such retailer or

 

 

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1reseller at 12:01 A.M. on January 1, 1990.
2    Retailers and resellers who are subject to this additional
3tax shall be required to inventory such motor fuel and pay this
4additional tax in a manner prescribed by the Department of
5Revenue.
6    The tax imposed in this paragraph (c) shall be in addition
7to all other taxes imposed by the State of Illinois or any unit
8of local government in this State.
9    (d) Except as provided in Section 2a, the collection of a
10tax based on gallonage of gasoline used for the propulsion of
11any aircraft is prohibited on and after October 1, 1979, and
12the collection of a tax based on gallonage of special fuel used
13for the propulsion of any aircraft is prohibited on and after
14December 1, 2019.
15    (e) The collection of a tax, based on gallonage of all
16products commonly or commercially known or sold as 1-K
17kerosene, regardless of its classification or uses, is
18prohibited (i) on and after July 1, 1992 until December 31,
191999, except when the 1-K kerosene is either: (1) delivered
20into bulk storage facilities of a bulk user, or (2) delivered
21directly into the fuel supply tanks of motor vehicles and (ii)
22on and after January 1, 2000. Beginning on January 1, 2000, the
23collection of a tax, based on gallonage of all products
24commonly or commercially known or sold as 1-K kerosene,
25regardless of its classification or uses, is prohibited except
26when the 1-K kerosene is delivered directly into a storage tank

 

 

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1that is located at a facility that has withdrawal facilities
2that are readily accessible to and are capable of dispensing
31-K kerosene into the fuel supply tanks of motor vehicles. For
4purposes of this subsection (e), a facility is considered to
5have withdrawal facilities that are not "readily accessible to
6and capable of dispensing 1-K kerosene into the fuel supply
7tanks of motor vehicles" only if the 1-K kerosene is delivered
8from: (i) a dispenser hose that is short enough so that it will
9not reach the fuel supply tank of a motor vehicle or (ii) a
10dispenser that is enclosed by a fence or other physical barrier
11so that a vehicle cannot pull alongside the dispenser to permit
12fueling.
13    Any person who sells or uses 1-K kerosene for use in motor
14vehicles upon which the tax imposed by this Law has not been
15paid shall be liable for any tax due on the sales or use of 1-K
16kerosene.
17(Source: P.A. 100-9, eff. 7-1-17; 101-10, eff. 6-5-19; 101-32,
18eff. 6-28-19; revised 7-12-19.)
 
19    (35 ILCS 505/2a)  (from Ch. 120, par. 418a)
20    Sec. 2a. Except as hereinafter provided, on and after
21January 1, 1990 and before January 1, 2025, a tax of
22three-tenths of a cent per gallon is imposed upon the privilege
23of being a receiver in this State of fuel for sale or use.
24Beginning January 1, 2021, this tax is not imposed on sales of
25aviation fuel for so long as the revenue use requirements of 49

 

 

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1U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the State.
2    The tax shall be paid by the receiver in this State who
3first sells or uses fuel. In the case of a sale, the tax shall
4be stated as a separate item on the invoice.
5    For the purpose of the tax imposed by this Section, being a
6receiver of "motor fuel" as defined by Section 1.1 of this Act,
7and aviation fuels, home heating oil and kerosene, but
8excluding liquified petroleum gases, is subject to tax without
9regard to whether the fuel is intended to be used for operation
10of motor vehicles on the public highways and waters. However,
11no such tax shall be imposed upon the importation or receipt of
12aviation fuels and kerosene at airports with over 300,000
13operations per year, for years prior to 1991, and over 170,000
14operations per year beginning in 1991, located in a city of
15more than 1,000,000 inhabitants for sale to or use by holders
16of certificates of public convenience and necessity or foreign
17air carrier permits, issued by the United States Department of
18Transportation, and their air carrier affiliates, or upon the
19importation or receipt of aviation fuels and kerosene at
20facilities owned or leased by those certificate or permit
21holders and used in their activities at an airport described
22above. In addition, no such tax shall be imposed upon the
23importation or receipt of diesel fuel or liquefied natural gas
24sold to or used by a rail carrier registered pursuant to
25Section 18c-7201 of the Illinois Vehicle Code or otherwise
26recognized by the Illinois Commerce Commission as a rail

 

 

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1carrier, to the extent used directly in railroad operations. In
2addition, no such tax shall be imposed when the sale is made
3with delivery to a purchaser outside this State or when the
4sale is made to a person holding a valid license as a receiver.
5In addition, no tax shall be imposed upon diesel fuel or
6liquefied natural gas consumed or used in the operation of
7ships, barges, or vessels, that are used primarily in or for
8the transportation of property in interstate commerce for hire
9on rivers bordering on this State, if the diesel fuel or
10liquefied natural gas is delivered by a licensed receiver to
11the purchaser's barge, ship, or vessel while it is afloat upon
12that bordering river. A specific notation thereof shall be made
13on the invoices or sales slips covering each sale.
14(Source: P.A. 100-9, eff. 7-1-17.)
 
15    (35 ILCS 505/2b)  (from Ch. 120, par. 418b)
16    Sec. 2b. Receiver's monthly return. In addition to the tax
17collection and reporting responsibilities imposed elsewhere in
18this Act, a person who is required to pay the tax imposed by
19Section 2a of this Act shall pay the tax to the Department by
20return showing all fuel purchased, acquired or received and
21sold, distributed or used during the preceding calendar month
22including losses of fuel as the result of evaporation or
23shrinkage due to temperature variations, and such other
24reasonable information as the Department may require. Losses of
25fuel as the result of evaporation or shrinkage due to

 

 

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1temperature variations may not exceed 1% of the total gallons
2in storage at the beginning of the month, plus the receipts of
3gallonage during the month, minus the gallonage remaining in
4storage at the end of the month. Any loss reported that is in
5excess of this amount shall be subject to the tax imposed by
6Section 2a of this Law. On and after July 1, 2001, for each
76-month period January through June, net losses of fuel (for
8each category of fuel that is required to be reported on a
9return) as the result of evaporation or shrinkage due to
10temperature variations may not exceed 1% of the total gallons
11in storage at the beginning of each January, plus the receipts
12of gallonage each January through June, minus the gallonage
13remaining in storage at the end of each June. On and after July
141, 2001, for each 6-month period July through December, net
15losses of fuel (for each category of fuel that is required to
16be reported on a return) as the result of evaporation or
17shrinkage due to temperature variations may not exceed 1% of
18the total gallons in storage at the beginning of each July,
19plus the receipts of gallonage each July through December,
20minus the gallonage remaining in storage at the end of each
21December. Any net loss reported that is in excess of this
22amount shall be subject to the tax imposed by Section 2a of
23this Law. For purposes of this Section, "net loss" means the
24number of gallons gained through temperature variations minus
25the number of gallons lost through temperature variations or
26evaporation for each of the respective 6-month periods.

 

 

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1    The return shall be prescribed by the Department and shall
2be filed between the 1st and 20th days of each calendar month.
3The Department may, in its discretion, combine the returns
4filed under this Section, Section 5, and Section 5a of this
5Act. The return must be accompanied by appropriate
6computer-generated magnetic media supporting schedule data in
7the format required by the Department, unless, as provided by
8rule, the Department grants an exception upon petition of a
9taxpayer. If the return is filed timely, the seller shall take
10a discount of 2% through June 30, 2003 and 1.75% thereafter
11which is allowed to reimburse the seller for the expenses
12incurred in keeping records, preparing and filing returns,
13collecting and remitting the tax and supplying data to the
14Department on request. The discount, however, shall be
15applicable only to the amount of payment which accompanies a
16return that is filed timely in accordance with this Section.
17The discount under this Section is not allowed for taxes paid
18on aviation fuel that are subject to the revenue use
19requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
20deposited into the State Aviation Program Fund under this Act.
21    Beginning on January 1, 2020 and ending with returns due on
22January 20, 2021, each person who is required to pay the tax
23imposed under Section 2a of this Act on aviation fuel sold or
24used in this State during the preceding calendar month shall,
25instead of reporting and paying tax on aviation fuel as
26otherwise required by this Section, report and pay such tax on

 

 

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1a separate aviation fuel tax return or a separate line on the
2return , on or before the twentieth day of each calendar month.
3The requirements related to the return shall be as otherwise
4provided in this Section. Notwithstanding any other provisions
5of this Act to the contrary, a person required to pay the tax
6imposed by Section 2a of this Act on aviation fuel shall file
7all aviation fuel tax returns and shall make all aviation fuel
8tax payments by electronic means in the manner and form
9required by the Department. For purposes of this Law paragraph,
10"aviation fuel" means jet fuel and aviation gasoline a product
11that is intended for use or offered for sale as fuel for an
12aircraft.
13    If any payment provided for in this Section exceeds the
14receiver's liabilities under this Act, as shown on an original
15return, the Department may authorize the receiver to credit
16such excess payment against liability subsequently to be
17remitted to the Department under this Act, in accordance with
18reasonable rules adopted by the Department. If the Department
19subsequently determines that all or any part of the credit
20taken was not actually due to the receiver, the receiver's
21discount shall be reduced by an amount equal to the difference
22between the discount as applied to the credit taken and that
23actually due, and that receiver shall be liable for penalties
24and interest on such difference.
25(Source: P.A. 100-1171, eff. 1-4-19; 101-10, eff. 6-5-19.)
 

 

 

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1    (35 ILCS 505/8a)  (from Ch. 120, par. 424a)
2    Sec. 8a. All money received by the Department under Section
32a of this Act, except money received from taxes on aviation
4fuel sold or used on or after December 1, 2019 and through
5December 31, 2020, shall be deposited in the Underground
6Storage Tank Fund created by Section 57.11 of the Environmental
7Protection Act, as now or hereafter amended. All money received
8by the Department under Section 2a of this Act for aviation
9fuel sold or used on or after December 1, 2019, shall be
10deposited into the State Aviation Program Fund. This exception
11for aviation fuel only applies for so long as the revenue use
12requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
13binding on the State. For purposes of this Section, "aviation
14fuel" means jet fuel and aviation gasoline a product that is
15intended for use or offered for sale as fuel for an aircraft.
16(Source: P.A. 101-10, eff. 6-5-19.)
 
17    Section 10-55. The Innovation Development and Economy Act
18is amended by changing Sections 10 and 31 as follows:
 
19    (50 ILCS 470/10)
20    Sec. 10. Definitions. As used in this Act, the following
21words and phrases shall have the following meanings unless a
22different meaning clearly appears from the context:
23    "Base year" means the calendar year immediately prior to
24the calendar year in which the STAR bond district is

 

 

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1established.
2    "Commence work" means the manifest commencement of actual
3operations on the development site, such as, erecting a
4building, general on-site and off-site grading and utility
5installations, commencing design and construction
6documentation, ordering lead-time materials, excavating the
7ground to lay a foundation or a basement, or work of like
8description which a reasonable person would recognize as being
9done with the intention and purpose to continue work until the
10project is completed.
11    "County" means the county in which a proposed STAR bond
12district is located.
13    "De minimis" means an amount less than 15% of the land area
14within a STAR bond district.
15    "Department of Revenue" means the Department of Revenue of
16the State of Illinois.
17    "Destination user" means an owner, operator, licensee,
18co-developer, subdeveloper, or tenant (i) that operates a
19business within a STAR bond district that is a retail store
20having at least 150,000 square feet of sales floor area; (ii)
21that at the time of opening does not have another Illinois
22location within a 70 mile radius; (iii) that has an annual
23average of not less than 30% of customers who travel from at
24least 75 miles away or from out-of-state, as demonstrated by
25data from a comparable existing store or stores, or, if there
26is no comparable existing store, as demonstrated by an economic

 

 

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1analysis that shows that the proposed retailer will have an
2annual average of not less than 30% of customers who travel
3from at least 75 miles away or from out-of-state; and (iv) that
4makes an initial capital investment, including project costs
5and other direct costs, of not less than $30,000,000 for such
6retail store.
7    "Destination hotel" means a hotel (as that term is defined
8in Section 2 of the Hotel Operators' Occupation Tax Act)
9complex having at least 150 guest rooms and which also includes
10a venue for entertainment attractions, rides, or other
11activities oriented toward the entertainment and amusement of
12its guests and other patrons.
13    "Developer" means any individual, corporation, trust,
14estate, partnership, limited liability partnership, limited
15liability company, or other entity. The term does not include a
16not-for-profit entity, political subdivision, or other agency
17or instrumentality of the State.
18    "Director" means the Director of Revenue, who shall consult
19with the Director of Commerce and Economic Opportunity in any
20approvals or decisions required by the Director under this Act.
21    "Economic impact study" means a study conducted by an
22independent economist to project the financial benefit of the
23proposed STAR bond project to the local, regional, and State
24economies, consider the proposed adverse impacts on similar
25projects and businesses, as well as municipalities within the
26projected market area, and draw conclusions about the net

 

 

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1effect of the proposed STAR bond project on the local,
2regional, and State economies. A copy of the economic impact
3study shall be provided to the Director for review.
4    "Eligible area" means any improved or vacant area that (i)
5is contiguous and is not, in the aggregate, less than 250 acres
6nor more than 500 acres which must include only parcels of real
7property directly and substantially benefited by the proposed
8STAR bond district plan, (ii) is adjacent to a federal
9interstate highway, (iii) is within one mile of 2 State
10highways, (iv) is within one mile of an entertainment user, or
11a major or minor league sports stadium or other similar
12entertainment venue that had an initial capital investment of
13at least $20,000,000, and (v) includes land that was previously
14surface or strip mined. The area may be bisected by streets,
15highways, roads, alleys, railways, bike paths, streams,
16rivers, and other waterways and still be deemed contiguous. In
17addition, in order to constitute an eligible area one of the
18following requirements must be satisfied and all of which are
19subject to the review and approval of the Director as provided
20in subsection (d) of Section 15:
21        (a) the governing body of the political subdivision
22    shall have determined that the area meets the requirements
23    of a "blighted area" as defined under the Tax Increment
24    Allocation Redevelopment Act; or
25        (b) the governing body of the political subdivision
26    shall have determined that the area is a blighted area as

 

 

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1    determined under the provisions of Section 11-74.3-5 of the
2    Illinois Municipal Code; or
3        (c) the governing body of the political subdivision
4    shall make the following findings:
5            (i) that the vacant portions of the area have
6        remained vacant for at least one year, or that any
7        building located on a vacant portion of the property
8        was demolished within the last year and that the
9        building would have qualified under item (ii) of this
10        subsection;
11            (ii) if portions of the area are currently
12        developed, that the use, condition, and character of
13        the buildings on the property are not consistent with
14        the purposes set forth in Section 5;
15            (iii) that the STAR bond district is expected to
16        create or retain job opportunities within the
17        political subdivision;
18            (iv) that the STAR bond district will serve to
19        further the development of adjacent areas;
20            (v) that without the availability of STAR bonds,
21        the projects described in the STAR bond district plan
22        would not be possible;
23            (vi) that the master developer meets high
24        standards of creditworthiness and financial strength
25        as demonstrated by one or more of the following: (i)
26        corporate debenture ratings of BBB or higher by

 

 

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1        Standard & Poor's Corporation or Baa or higher by
2        Moody's Investors Service, Inc.; (ii) a letter from a
3        financial institution with assets of $10,000,000 or
4        more attesting to the financial strength of the master
5        developer; or (iii) specific evidence of equity
6        financing for not less than 10% of the estimated total
7        STAR bond project costs;
8            (vii) that the STAR bond district will strengthen
9        the commercial sector of the political subdivision;
10            (viii) that the STAR bond district will enhance the
11        tax base of the political subdivision; and
12            (ix) that the formation of a STAR bond district is
13        in the best interest of the political subdivision.
14    "Entertainment user" means an owner, operator, licensee,
15co-developer, subdeveloper, or tenant that operates a business
16within a STAR bond district that has a primary use of providing
17a venue for entertainment attractions, rides, or other
18activities oriented toward the entertainment and amusement of
19its patrons, occupies at least 20 acres of land in the STAR
20bond district, and makes an initial capital investment,
21including project costs and other direct and indirect costs, of
22not less than $25,000,000 for that venue.
23    "Feasibility study" means a feasibility study as defined in
24subsection (b) of Section 20.
25    "Infrastructure" means the public improvements and private
26improvements that serve the public purposes set forth in

 

 

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1Section 5 of this Act and that benefit the STAR bond district
2or any STAR bond projects, including, but not limited to,
3streets, drives and driveways, traffic and directional signs
4and signals, parking lots and parking facilities,
5interchanges, highways, sidewalks, bridges, underpasses and
6overpasses, bike and walking trails, sanitary storm sewers and
7lift stations, drainage conduits, channels, levees, canals,
8storm water detention and retention facilities, utilities and
9utility connections, water mains and extensions, and street and
10parking lot lighting and connections.
11    "Local sales taxes" means any locally-imposed locally
12imposed taxes received by a municipality, county, or other
13local governmental entity arising from sales by retailers and
14servicemen within a STAR bond district, including business
15district sales taxes and STAR bond occupation taxes, and that
16portion of the net revenue realized under the Retailers'
17Occupation Tax Act, the Use Tax Act, the Service Use Tax Act,
18and the Service Occupation Tax Act from transactions at places
19of business located within a STAR bond district that is
20deposited into the Local Government Tax Fund and the County and
21Mass Transit District Fund. For the purpose of this Act, "local
22sales taxes" does not include (i) any taxes authorized pursuant
23to the Local Mass Transit District Act or the Metro-East Park
24and Recreation District Act for so long as the applicable
25taxing district does not impose a tax on real property, (ii)
26county school facility and resources occupation taxes imposed

 

 

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1pursuant to Section 5-1006.7 of the Counties Code, or (iii) any
2taxes authorized under the Flood Prevention District Act.
3    "Local sales tax increment" means, except as otherwise
4provided in this Section, with respect to local sales taxes
5administered by the Illinois Department of Revenue, (i) all of
6the local sales tax paid by destination users, destination
7hotels, and entertainment users that is in excess of the local
8sales tax paid by destination users, destination hotels, and
9entertainment users for the same month in the base year, as
10determined by the Illinois Department of Revenue, (ii) in the
11case of a municipality forming a STAR bond district that is
12wholly within the corporate boundaries of the municipality and
13in the case of a municipality and county forming a STAR bond
14district that is only partially within such municipality, that
15portion of the local sales tax paid by taxpayers that are not
16destination users, destination hotels, or entertainment users
17that is in excess of the local sales tax paid by taxpayers that
18are not destination users, destination hotels, or
19entertainment users for the same month in the base year, as
20determined by the Illinois Department of Revenue, and (iii) in
21the case of a county in which a STAR bond district is formed
22that is wholly within a municipality, that portion of the local
23sales tax paid by taxpayers that are not destination users,
24destination hotels, or entertainment users that is in excess of
25the local sales tax paid by taxpayers that are not destination
26users, destination hotels, or entertainment users for the same

 

 

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1month in the base year, as determined by the Illinois
2Department of Revenue, but only if the corporate authorities of
3the county adopts an ordinance, and files a copy with the
4Department within the same time frames as required for STAR
5bond occupation taxes under Section 31, that designates the
6taxes referenced in this clause (iii) as part of the local
7sales tax increment under this Act. "Local sales tax increment"
8means, with respect to local sales taxes administered by a
9municipality, county, or other unit of local government, that
10portion of the local sales tax that is in excess of the local
11sales tax for the same month in the base year, as determined by
12the respective municipality, county, or other unit of local
13government. If any portion of local sales taxes are, at the
14time of formation of a STAR bond district, already subject to
15tax increment financing under the Tax Increment Allocation
16Redevelopment Act, then the local sales tax increment for such
17portion shall be frozen at the base year established in
18accordance with this Act, and all future incremental increases
19shall be included in the "local sales tax increment" under this
20Act. Any party otherwise entitled to receipt of incremental
21local sales tax revenues through an existing tax increment
22financing district shall be entitled to continue to receive
23such revenues up to the amount frozen in the base year. Nothing
24in this Act shall affect the prior qualification of existing
25redevelopment project costs incurred that are eligible for
26reimbursement under the Tax Increment Allocation Redevelopment

 

 

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1Act. In such event, prior to approving a STAR bond district,
2the political subdivision forming the STAR bond district shall
3take such action as is necessary, including amending the
4existing tax increment financing district redevelopment plan,
5to carry out the provisions of this Act. The Illinois
6Department of Revenue shall allocate the local sales tax
7increment only if the local sales tax is administered by the
8Department. "Local sales tax increment" does not include taxes
9and penalties collected on aviation fuel, as defined in Section
103 of the Retailers' Occupation Tax, sold on or after December
111, 2019 and through December 31, 2020.
12    "Market study" means a study to determine the ability of
13the proposed STAR bond project to gain market share locally and
14regionally and to remain profitable past the term of repayment
15of STAR bonds.
16    "Master developer" means a developer cooperating with a
17political subdivision to plan, develop, and implement a STAR
18bond project plan for a STAR bond district. Subject to the
19limitations of Section 25, the master developer may work with
20and transfer certain development rights to other developers for
21the purpose of implementing STAR bond project plans and
22achieving the purposes of this Act. A master developer for a
23STAR bond district shall be appointed by a political
24subdivision in the resolution establishing the STAR bond
25district, and the master developer must, at the time of
26appointment, own or have control of, through purchase

 

 

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1agreements, option contracts, or other means, not less than 50%
2of the acreage within the STAR bond district and the master
3developer or its affiliate must have ownership or control on
4June 1, 2010.
5    "Master development agreement" means an agreement between
6the master developer and the political subdivision to govern a
7STAR bond district and any STAR bond projects.
8    "Municipality" means the city, village, or incorporated
9town in which a proposed STAR bond district is located.
10    "Pledged STAR revenues" means those sales tax and revenues
11and other sources of funds pledged to pay debt service on STAR
12bonds or to pay project costs pursuant to Section 30.
13Notwithstanding any provision to the contrary, the following
14revenues shall not constitute pledged STAR revenues or be
15available to pay principal and interest on STAR bonds: any
16State sales tax increment or local sales tax increment from a
17retail entity initiating operations in a STAR bond district
18while terminating operations at another Illinois location
19within 25 miles of the STAR bond district. For purposes of this
20paragraph, "terminating operations" means a closing of a retail
21operation that is directly related to the opening of the same
22operation or like retail entity owned or operated by more than
2350% of the original ownership in a STAR bond district within
24one year before or after initiating operations in the STAR bond
25district, but it does not mean closing an operation for reasons
26beyond the control of the retail entity, as documented by the

 

 

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1retail entity, subject to a reasonable finding by the
2municipality (or county if such retail operation is not located
3within a municipality) in which the terminated operations were
4located that the closed location contained inadequate space,
5had become economically obsolete, or was no longer a viable
6location for the retailer or serviceman.
7    "Political subdivision" means a municipality or county
8which undertakes to establish a STAR bond district pursuant to
9the provisions of this Act.
10    "Project costs" means and includes the sum total of all
11costs incurred or estimated to be incurred on or following the
12date of establishment of a STAR bond district that are
13reasonable or necessary to implement a STAR bond district plan
14or any STAR bond project plans, or both, including costs
15incurred for public improvements and private improvements that
16serve the public purposes set forth in Section 5 of this Act.
17Such costs include without limitation the following:
18        (a) costs of studies, surveys, development of plans and
19    specifications, formation, implementation, and
20    administration of a STAR bond district, STAR bond district
21    plan, any STAR bond projects, or any STAR bond project
22    plans, including, but not limited to, staff and
23    professional service costs for architectural, engineering,
24    legal, financial, planning, or other services, provided
25    however that no charges for professional services may be
26    based on a percentage of the tax increment collected and no

 

 

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1    contracts for professional services, excluding
2    architectural and engineering services, may be entered
3    into if the terms of the contract extend beyond a period of
4    3 years;
5        (b) property assembly costs, including, but not
6    limited to, acquisition of land and other real property or
7    rights or interests therein, located within the boundaries
8    of a STAR bond district, demolition of buildings, site
9    preparation, site improvements that serve as an engineered
10    barrier addressing ground level or below ground
11    environmental contamination, including, but not limited
12    to, parking lots and other concrete or asphalt barriers,
13    the clearing and grading of land, and importing additional
14    soil and fill materials, or removal of soil and fill
15    materials from the site;
16        (c) subject to paragraph (d), costs of buildings and
17    other vertical improvements that are located within the
18    boundaries of a STAR bond district and owned by a political
19    subdivision or other public entity, including without
20    limitation police and fire stations, educational
21    facilities, and public restrooms and rest areas;
22        (c-1) costs of buildings and other vertical
23    improvements that are located within the boundaries of a
24    STAR bond district and owned by a destination user or
25    destination hotel; except that only 2 destination users in
26    a STAR bond district and one destination hotel are eligible

 

 

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1    to include the cost of those vertical improvements as
2    project costs;
3        (c-5) costs of buildings; rides and attractions, which
4    include carousels, slides, roller coasters, displays,
5    models, towers, works of art, and similar theme and
6    amusement park improvements; and other vertical
7    improvements that are located within the boundaries of a
8    STAR bond district and owned by an entertainment user;
9    except that only one entertainment user in a STAR bond
10    district is eligible to include the cost of those vertical
11    improvements as project costs;
12        (d) costs of the design and construction of
13    infrastructure and public works located within the
14    boundaries of a STAR bond district that are reasonable or
15    necessary to implement a STAR bond district plan or any
16    STAR bond project plans, or both, except that project costs
17    shall not include the cost of constructing a new municipal
18    public building principally used to provide offices,
19    storage space, or conference facilities or vehicle
20    storage, maintenance, or repair for administrative, public
21    safety, or public works personnel and that is not intended
22    to replace an existing public building unless the political
23    subdivision makes a reasonable determination in a STAR bond
24    district plan or any STAR bond project plans, supported by
25    information that provides the basis for that
26    determination, that the new municipal building is required

 

 

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1    to meet an increase in the need for public safety purposes
2    anticipated to result from the implementation of the STAR
3    bond district plan or any STAR bond project plans;
4        (e) costs of the design and construction of the
5    following improvements located outside the boundaries of a
6    STAR bond district, provided that the costs are essential
7    to further the purpose and development of a STAR bond
8    district plan and either (i) part of and connected to
9    sewer, water, or utility service lines that physically
10    connect to the STAR bond district or (ii) significant
11    improvements for adjacent offsite highways, streets,
12    roadways, and interchanges that are approved by the
13    Illinois Department of Transportation. No other cost of
14    infrastructure and public works improvements located
15    outside the boundaries of a STAR bond district may be
16    deemed project costs;
17        (f) costs of job training and retraining projects,
18    including the cost of "welfare to work" programs
19    implemented by businesses located within a STAR bond
20    district;
21        (g) financing costs, including, but not limited to, all
22    necessary and incidental expenses related to the issuance
23    of obligations and which may include payment of interest on
24    any obligations issued hereunder including interest
25    accruing during the estimated period of construction of any
26    improvements in a STAR bond district or any STAR bond

 

 

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1    projects for which such obligations are issued and for not
2    exceeding 36 months thereafter and including reasonable
3    reserves related thereto;
4        (h) to the extent the political subdivision by written
5    agreement accepts and approves the same, all or a portion
6    of a taxing district's capital costs resulting from a STAR
7    bond district or STAR bond projects necessarily incurred or
8    to be incurred within a taxing district in furtherance of
9    the objectives of a STAR bond district plan or STAR bond
10    project plans;
11        (i) interest cost incurred by a developer for project
12    costs related to the acquisition, formation,
13    implementation, development, construction, and
14    administration of a STAR bond district, STAR bond district
15    plan, STAR bond projects, or any STAR bond project plans
16    provided that:
17            (i) payment of such costs in any one year may not
18        exceed 30% of the annual interest costs incurred by the
19        developer with regard to the STAR bond district or any
20        STAR bond projects during that year; and
21            (ii) the total of such interest payments paid
22        pursuant to this Act may not exceed 30% of the total
23        cost paid or incurred by the developer for a STAR bond
24        district or STAR bond projects, plus project costs,
25        excluding any property assembly costs incurred by a
26        political subdivision pursuant to this Act;

 

 

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1        (j) costs of common areas located within the boundaries
2    of a STAR bond district;
3        (k) costs of landscaping and plantings, retaining
4    walls and fences, man-made lakes and ponds, shelters,
5    benches, lighting, and similar amenities located within
6    the boundaries of a STAR bond district;
7        (l) costs of mounted building signs, site monument, and
8    pylon signs located within the boundaries of a STAR bond
9    district; or
10        (m) if included in the STAR bond district plan and
11    approved in writing by the Director, salaries or a portion
12    of salaries for local government employees to the extent
13    the same are directly attributable to the work of such
14    employees on the establishment and management of a STAR
15    bond district or any STAR bond projects.
16    Except as specified in items (a) through (m), "project
17costs" shall not include:
18        (i) the cost of construction of buildings that are
19    privately owned or owned by a municipality and leased to a
20    developer or retail user for non-entertainment retail
21    uses;
22        (ii) moving expenses for employees of the businesses
23    locating within the STAR bond district;
24        (iii) property taxes for property located in the STAR
25    bond district;
26        (iv) lobbying costs; and

 

 

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1        (v) general overhead or administrative costs of the
2    political subdivision that would still have been incurred
3    by the political subdivision if the political subdivision
4    had not established a STAR bond district.
5    "Project development agreement" means any one or more
6agreements, including any amendments thereto, between a master
7developer and any co-developer or subdeveloper in connection
8with a STAR bond project, which project development agreement
9may include the political subdivision as a party.
10    "Projected market area" means any area within the State in
11which a STAR bond district or STAR bond project is projected to
12have a significant fiscal or market impact as determined by the
13Director.
14    "Resolution" means a resolution, order, ordinance, or
15other appropriate form of legislative action of a political
16subdivision or other applicable public entity approved by a
17vote of a majority of a quorum at a meeting of the governing
18body of the political subdivision or applicable public entity.
19    "STAR bond" means a sales tax and revenue bond, note, or
20other obligation payable from pledged STAR revenues and issued
21by a political subdivision, the proceeds of which shall be used
22only to pay project costs as defined in this Act.
23    "STAR bond district" means the specific area declared to be
24an eligible area as determined by the political subdivision,
25and approved by the Director, in which the political
26subdivision may develop one or more STAR bond projects.

 

 

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1    "STAR bond district plan" means the preliminary or
2conceptual plan that generally identifies the proposed STAR
3bond project areas and identifies in a general manner the
4buildings, facilities, and improvements to be constructed or
5improved in each STAR bond project area.
6    "STAR bond project" means a project within a STAR bond
7district which is approved pursuant to Section 20.
8    "STAR bond project area" means the geographic area within a
9STAR bond district in which there may be one or more STAR bond
10projects.
11    "STAR bond project plan" means the written plan adopted by
12a political subdivision for the development of a STAR bond
13project in a STAR bond district; the plan may include, but is
14not limited to, (i) project costs incurred prior to the date of
15the STAR bond project plan and estimated future STAR bond
16project costs, (ii) proposed sources of funds to pay those
17costs, (iii) the nature and estimated term of any obligations
18to be issued by the political subdivision to pay those costs,
19(iv) the most recent equalized assessed valuation of the STAR
20bond project area, (v) an estimate of the equalized assessed
21valuation of the STAR bond district or applicable project area
22after completion of a STAR bond project, (vi) a general
23description of the types of any known or proposed developers,
24users, or tenants of the STAR bond project or projects included
25in the plan, (vii) a general description of the type,
26structure, and character of the property or facilities to be

 

 

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1developed or improved, (viii) a description of the general land
2uses to apply to the STAR bond project, and (ix) a general
3description or an estimate of the type, class, and number of
4employees to be employed in the operation of the STAR bond
5project.
6    "State sales tax" means all of the net revenue realized
7under the Retailers' Occupation Tax Act, the Use Tax Act, the
8Service Use Tax Act, and the Service Occupation Tax Act from
9transactions at places of business located within a STAR bond
10district, excluding that portion of the net revenue realized
11under the Retailers' Occupation Tax Act, the Use Tax Act, the
12Service Use Tax Act, and the Service Occupation Tax Act from
13transactions at places of business located within a STAR bond
14district that is deposited into the Local Government Tax Fund
15and the County and Mass Transit District Fund.
16    "State sales tax increment" means (i) 100% of that portion
17of the State sales tax that is in excess of the State sales tax
18for the same month in the base year, as determined by the
19Department of Revenue, from transactions at up to 2 destination
20users, one destination hotel, and one entertainment user
21located within a STAR bond district, which destination users,
22destination hotel, and entertainment user shall be designated
23by the master developer and approved by the political
24subdivision and the Director in conjunction with the applicable
25STAR bond project approval, and (ii) 25% of that portion of the
26State sales tax that is in excess of the State sales tax for

 

 

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1the same month in the base year, as determined by the
2Department of Revenue, from all other transactions within a
3STAR bond district. If any portion of State sales taxes are, at
4the time of formation of a STAR bond district, already subject
5to tax increment financing under the Tax Increment Allocation
6Redevelopment Act, then the State sales tax increment for such
7portion shall be frozen at the base year established in
8accordance with this Act, and all future incremental increases
9shall be included in the State sales tax increment under this
10Act. Any party otherwise entitled to receipt of incremental
11State sales tax revenues through an existing tax increment
12financing district shall be entitled to continue to receive
13such revenues up to the amount frozen in the base year. Nothing
14in this Act shall affect the prior qualification of existing
15redevelopment project costs incurred that are eligible for
16reimbursement under the Tax Increment Allocation Redevelopment
17Act. In such event, prior to approving a STAR bond district,
18the political subdivision forming the STAR bond district shall
19take such action as is necessary, including amending the
20existing tax increment financing district redevelopment plan,
21to carry out the provisions of this Act.
22    "Substantial change" means a change wherein the proposed
23STAR bond project plan differs substantially in size, scope, or
24use from the approved STAR bond district plan or STAR bond
25project plan.
26    "Taxpayer" means an individual, partnership, corporation,

 

 

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1limited liability company, trust, estate, or other entity that
2is subject to the Illinois Income Tax Act.
3    "Total development costs" means the aggregate public and
4private investment in a STAR bond district, including project
5costs and other direct and indirect costs related to the
6development of the STAR bond district.
7    "Traditional retail use" means the operation of a business
8that derives at least 90% of its annual gross revenue from
9sales at retail, as that phrase is defined by Section 1 of the
10Retailers' Occupation Tax Act, but does not include the
11operations of destination users, entertainment users,
12restaurants, hotels, retail uses within hotels, or any other
13non-retail uses.
14    "Vacant" means that portion of the land in a proposed STAR
15bond district that is not occupied by a building, facility, or
16other vertical improvement.
17(Source: P.A. 101-10, eff. 6-5-19; 101-455, eff. 8-23-19;
18revised 9-25-19.)
 
19    (50 ILCS 470/31)
20    Sec. 31. STAR bond occupation taxes.
21    (a) If the corporate authorities of a political subdivision
22have established a STAR bond district and have elected to
23impose a tax by ordinance pursuant to subsection (b) or (c) of
24this Section, each year after the date of the adoption of the
25ordinance and until all STAR bond project costs and all

 

 

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1political subdivision obligations financing the STAR bond
2project costs, if any, have been paid in accordance with the
3STAR bond project plans, but in no event longer than the
4maximum maturity date of the last of the STAR bonds issued for
5projects in the STAR bond district, all amounts generated by
6the retailers' occupation tax and service occupation tax shall
7be collected and the tax shall be enforced by the Department of
8Revenue in the same manner as all retailers' occupation taxes
9and service occupation taxes imposed in the political
10subdivision imposing the tax. The corporate authorities of the
11political subdivision shall deposit the proceeds of the taxes
12imposed under subsections (b) and (c) into either (i) a special
13fund held by the corporate authorities of the political
14subdivision called the STAR Bonds Tax Allocation Fund for the
15purpose of paying STAR bond project costs and obligations
16incurred in the payment of those costs if such taxes are
17designated as pledged STAR revenues by resolution or ordinance
18of the political subdivision or (ii) the political
19subdivision's general corporate fund if such taxes are not
20designated as pledged STAR revenues by resolution or ordinance.
21    The tax imposed under this Section by a municipality may be
22imposed only on the portion of a STAR bond district that is
23within the boundaries of the municipality. For any part of a
24STAR bond district that lies outside of the boundaries of that
25municipality, the municipality in which the other part of the
26STAR bond district lies (or the county, in cases where a

 

 

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1portion of the STAR bond district lies in the unincorporated
2area of a county) is authorized to impose the tax under this
3Section on that part of the STAR bond district.
4    (b) The corporate authorities of a political subdivision
5that has established a STAR bond district under this Act may,
6by ordinance or resolution, impose a STAR Bond Retailers'
7Occupation Tax upon all persons engaged in the business of
8selling tangible personal property, other than an item of
9tangible personal property titled or registered with an agency
10of this State's government, at retail in the STAR bond district
11at a rate not to exceed 1% of the gross receipts from the sales
12made in the course of that business, to be imposed only in
130.25% increments. The tax may not be imposed on tangible
14personal property taxed at the 1% rate under the Retailers'
15Occupation Tax Act. Beginning December 1, 2019 and through
16December 31, 2020, this tax is not imposed on sales of aviation
17fuel unless the tax revenue is expended for airport-related
18purposes. If the District does not have an airport-related
19purpose to which aviation fuel tax revenue is dedicated, then
20aviation fuel is excluded from the tax. The municipality must
21comply with the certification requirements for airport-related
22purposes under Section 2-22 of the Retailers' Occupation Tax
23Act 8-11-22 of the Illinois Municipal Code. For purposes of
24this Act, "airport-related purposes" has the meaning ascribed
25in Section 6z-20.2 of the State Finance Act. Beginning January
261, 2021, this tax is not imposed on sales of aviation fuel This

 

 

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1exclusion for aviation fuel only applies for so long as the
2revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
347133 are binding on the District.
4    The tax imposed under this subsection and all civil
5penalties that may be assessed as an incident thereof shall be
6collected and enforced by the Department of Revenue. The
7certificate of registration that is issued by the Department to
8a retailer under the Retailers' Occupation Tax Act shall permit
9the retailer to engage in a business that is taxable under any
10ordinance or resolution enacted pursuant to this subsection
11without registering 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 in the manner hereinafter provided, and
16to determine all rights to credit memoranda arising on account
17of the erroneous payment of tax or penalty under this
18subsection. In the administration of, and compliance with, this
19subsection, the Department and persons who are subject to this
20subsection shall have the same rights, remedies, privileges,
21immunities, powers, and duties, and be subject to the same
22conditions, restrictions, limitations, penalties, exclusions,
23exemptions, and definitions of terms and employ the same modes
24of procedure, as are prescribed in Sections 1, 1a through 1o, 2
25through 2-65 (in respect to all provisions therein other than
26the State rate of tax), 2c through 2h, 3 (except as to the

 

 

SB0119 Enrolled- 234 -LRB101 06854 HLH 51885 b

1disposition of taxes and penalties collected, and except that
2the retailer's discount is not allowed for taxes paid on
3aviation fuel that are subject to the revenue use requirements
4of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 deposited into the
5Local Government Aviation Trust Fund), 4, 5, 5a, 5b, 5c, 5d,
65e, 5f, 5g, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12,
713, and 14 of the Retailers' Occupation Tax Act and all
8provisions of the Uniform Penalty and Interest Act, as fully as
9if those provisions were set forth herein.
10    If a tax is imposed under this subsection (b), a tax shall
11also be imposed under subsection (c) of this Section.
12    (c) If a tax has been imposed under subsection (b), a STAR
13Bond Service Occupation Tax shall also be imposed upon all
14persons engaged, in the STAR bond district, in the business of
15making sales of service, who, as an incident to making those
16sales of service, transfer tangible personal property within
17the STAR bond district, either in the form of tangible personal
18property or in the form of real estate as an incident to a sale
19of service. The tax shall be imposed at the same rate as the
20tax imposed in subsection (b) and shall not exceed 1% of the
21selling price of tangible personal property so transferred
22within the STAR bond district, to be imposed only in 0.25%
23increments. The tax may not be imposed on tangible personal
24property taxed at the 1% rate under the Service Occupation Tax
25Act. Beginning December 1, 2019 and through December 31, 2020,
26this tax is not imposed on sales of aviation fuel unless the

 

 

SB0119 Enrolled- 235 -LRB101 06854 HLH 51885 b

1tax revenue is expended for airport-related purposes. If the
2District does not have an airport-related purpose to which
3aviation fuel tax revenue is dedicated, then aviation fuel is
4excluded from the tax. The municipality must comply with the
5certification requirements for airport-related purposes under
6Section 2-22 of the Retailers' Occupation Tax Act 8-11-22 of
7the Illinois Municipal Code. For purposes of this Act,
8"airport-related purposes" has the meaning ascribed in Section
96z-20.2 of the State Finance Act. Beginning January 1, 2021,
10this tax is not imposed on sales of aviation fuel This
11exclusion for aviation fuel only applies for so long as the
12revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
1347133 are binding on the District.
14    The tax imposed under this subsection and all civil
15penalties that may be assessed as an incident thereof shall be
16collected and enforced by the Department of Revenue. The
17certificate of registration that is issued by the Department to
18a retailer under the Retailers' Occupation Tax Act or under the
19Service Occupation Tax Act shall permit the registrant to
20engage in a business that is taxable under any ordinance or
21resolution enacted pursuant to this subsection without
22registering separately with the Department under that
23ordinance or resolution or under this subsection. The
24Department of Revenue shall have full power to administer and
25enforce this subsection, to collect all taxes and penalties due
26under this subsection, to dispose of taxes and penalties so

 

 

SB0119 Enrolled- 236 -LRB101 06854 HLH 51885 b

1collected in the manner hereinafter provided, and to determine
2all rights to credit memoranda arising on account of the
3erroneous payment of tax or penalty under this subsection. In
4the administration of, and compliance with this subsection, the
5Department and persons who are subject to this subsection shall
6have the same rights, remedies, privileges, immunities,
7powers, and duties, and be subject to the same conditions,
8restrictions, limitations, penalties, exclusions, exemptions,
9and definitions of terms and employ the same modes of procedure
10as are prescribed in Sections 2, 2a through 2d, 3 through 3-50
11(in respect to all provisions therein other than the State rate
12of tax), 4 (except that the reference to the State shall be to
13the STAR bond district), 5, 7, 8 (except that the jurisdiction
14to which the tax shall be a debt to the extent indicated in
15that Section 8 shall be the political subdivision), 9 (except
16as to the disposition of taxes and penalties collected, and
17except that the returned merchandise credit for this tax may
18not be taken against any State tax, and except that the
19retailer's discount is not allowed for taxes paid on aviation
20fuel that are subject to the revenue use requirements of 49
21U.S.C. 47107(b) and 49 U.S.C. 47133 deposited into the Local
22Government Aviation Trust Fund), 10, 11, 12 (except the
23reference therein to Section 2b of the Retailers' Occupation
24Tax Act), 13 (except that any reference to the State shall mean
25the political subdivision), the first paragraph of Section 15,
26and Sections 16, 17, 18, 19 and 20 of the Service Occupation

 

 

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1Tax Act and all provisions of the Uniform Penalty and Interest
2Act, as fully as if those provisions were set forth herein.
3    If a tax is imposed under this subsection (c), a tax shall
4also be imposed under subsection (b) of this Section.
5    (d) Persons subject to any tax imposed under this Section
6may reimburse themselves for their seller's tax liability under
7this Section by separately stating the tax as an additional
8charge, which charge may be stated in combination, in a single
9amount, with State taxes that sellers are required to collect
10under the Use Tax Act, in accordance with such bracket
11schedules 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 STAR Bond Retailers' Occupation Tax Fund
19or the Local Government Aviation Trust Fund, as appropriate.
20    Except as otherwise provided in this paragraph, the
21Department shall immediately pay over to the State Treasurer,
22ex officio, as trustee, all taxes, penalties, and interest
23collected under this Section for deposit into the STAR Bond
24Retailers' Occupation Tax Fund. Taxes and penalties collected
25on aviation fuel sold on or after December 1, 2019, shall be
26immediately paid over by the Department to the State Treasurer,

 

 

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1ex officio, as trustee, for deposit into the Local Government
2Aviation Trust Fund. The Department shall only pay moneys into
3the Local Government State Aviation Trust Program Fund under
4this Section Act for so long as the revenue use requirements of
549 U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
6District. On 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 political
9subdivisions from the STAR Bond Retailers' Occupation Tax Fund,
10the political subdivisions to be those from which retailers
11have paid taxes or penalties under this Section to the
12Department during the second preceding calendar month. The
13amount to be paid to each political subdivision shall be the
14amount (not including credit memoranda and not including taxes
15and penalties collected on aviation fuel sold on or after
16December 1, 2019) collected under this Section during the
17second preceding calendar month by the Department plus an
18amount the Department determines is necessary to offset any
19amounts that were erroneously paid to a different taxing body,
20and not including an amount equal to the amount of refunds made
21during the second preceding calendar month by the Department,
22less 3% of that amount, which shall be deposited into the Tax
23Compliance and Administration Fund and shall be used by the
24Department, subject to appropriation, to cover the costs of the
25Department in administering and enforcing the provisions of
26this Section, on behalf of such political subdivision, and not

 

 

SB0119 Enrolled- 239 -LRB101 06854 HLH 51885 b

1including any amount that the Department determines is
2necessary to offset any amounts that were payable to a
3different taxing body but were erroneously paid to the
4political subdivision. Within 10 days after receipt by the
5Comptroller of the disbursement certification to the political
6subdivisions provided for in this Section to be given to the
7Comptroller by the Department, the Comptroller shall cause the
8orders to be drawn for the respective amounts in accordance
9with the directions contained in the certification. The
10proceeds of the tax paid to political subdivisions under this
11Section shall be deposited into either (i) the STAR Bonds Tax
12Allocation Fund by the political subdivision if the political
13subdivision has designated them as pledged STAR revenues by
14resolution or ordinance or (ii) the political subdivision's
15general corporate fund if the political subdivision has not
16designated them as pledged STAR revenues.
17    An ordinance or resolution imposing or discontinuing the
18tax under this Section or effecting a change in the rate
19thereof shall either (i) be adopted and a certified copy
20thereof filed with the Department on or before the first day of
21April, whereupon the Department, if all other requirements of
22this Section are met, shall proceed to administer and enforce
23this Section as of the first day of July next following the
24adoption and filing; or (ii) be adopted and a certified copy
25thereof filed with the Department on or before the first day of
26October, whereupon, if all other requirements of this Section

 

 

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

 

 

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1and on or before October 1 for administration and enforcement
2by the Department of the change, addition, or deletion
3beginning on the following January 1. The retailers in the STAR
4bond district shall be responsible for charging the tax imposed
5under this Section. If a retailer is incorrectly included or
6excluded from the list of those required to collect the tax
7under this Section, both the Department of Revenue and the
8retailer shall be held harmless if they reasonably relied on
9information provided by the political subdivision.
10    A political subdivision that imposes the tax under this
11Section must submit to the Department of Revenue any other
12information as the Department may require that is necessary for
13the administration and enforcement of the tax.
14    When certifying the amount of a monthly disbursement to a
15political subdivision under this Section, the Department shall
16increase or decrease the amount by an amount necessary to
17offset any misallocation of previous disbursements. The offset
18amount shall be the amount erroneously disbursed within the
19previous 6 months from the time a misallocation is discovered.
20    Nothing in this Section shall be construed to authorize the
21political subdivision to impose a tax upon the privilege of
22engaging in any business which under the Constitution of the
23United States may not be made the subject of taxation by this
24State.
25    (e) When STAR bond project costs, including, without
26limitation, all political subdivision obligations financing

 

 

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1STAR bond project costs, have been paid, any surplus funds then
2remaining in the STAR Bonds Tax Allocation Fund shall be
3distributed to the treasurer of the political subdivision for
4deposit into the political subdivision's general corporate
5fund. Upon payment of all STAR bond project costs and
6retirement of obligations, but in no event later than the
7maximum maturity date of the last of the STAR bonds issued in
8the STAR bond district, the political subdivision shall adopt
9an ordinance immediately rescinding the taxes imposed pursuant
10to this Section and file a certified copy of the ordinance with
11the Department in the form and manner as described in this
12Section.
13(Source: P.A. 100-1171, eff. 1-4-19; 101-10, eff. 6-5-19.)
 
14    Section 10-60. The Counties Code is amended by changing
15Sections 5-1006, 5-1006.5, 5-1006.7, 5-1007, 5-1008.5, and
165-1035.1 as follows:
 
17    (55 ILCS 5/5-1006)  (from Ch. 34, par. 5-1006)
18    Sec. 5-1006. Home Rule County Retailers' Occupation Tax
19Law. Any county that is a home rule unit may impose a tax upon
20all persons engaged in the business of selling tangible
21personal property, other than an item of tangible personal
22property titled or registered with an agency of this State's
23government, at retail in the county on the gross receipts from
24such sales made in the course of their business. If imposed,

 

 

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1this tax shall only be imposed in 1/4% increments. On and after
2September 1, 1991, this additional tax may not be imposed on
3tangible personal property taxed at the 1% rate under the
4Retailers' Occupation Tax Act. Beginning December 1, 2019, this
5tax is not imposed on sales of aviation fuel unless the tax
6revenue is expended for airport-related purposes. If the county
7does not have an airport-related purpose to which it dedicates
8aviation fuel tax revenue, then aviation fuel is excluded from
9the tax. The county must comply with the certification
10requirements for airport-related purposes under Section 2-22
11of the Retailers' Occupation Tax Act 5-1184. For purposes of
12this Section Act, "airport-related purposes" has the meaning
13ascribed in Section 6z-20.2 of the State Finance Act. This
14exclusion for aviation fuel only applies for so long as the
15revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
1647133 are binding on the county. The changes made to this
17Section by this amendatory Act of the 101st General Assembly
18are a denial and limitation of home rule powers and functions
19under subsection (g) of Section 6 of Article VII of the
20Illinois Constitution. The tax imposed by a home rule county
21pursuant to this Section and all civil penalties that may be
22assessed as an incident thereof shall be collected and enforced
23by the State Department of Revenue. The certificate of
24registration that is issued by the Department to a retailer
25under the Retailers' Occupation Tax Act shall permit the
26retailer to engage in a business that is taxable under any

 

 

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1ordinance or resolution enacted pursuant to this Section
2without registering separately with the Department under such
3ordinance or resolution or under this Section. The Department
4shall have full power to administer and enforce this Section;
5to collect all taxes and penalties due hereunder; to dispose of
6taxes and penalties so collected in the manner hereinafter
7provided; and to determine all rights to credit memoranda
8arising on account of the erroneous payment of tax or penalty
9hereunder. In the administration of, and compliance with, this
10Section, the Department and persons who are subject to this
11Section shall have the same rights, remedies, privileges,
12immunities, powers and duties, and be subject to the same
13conditions, restrictions, limitations, penalties and
14definitions of terms, and employ the same modes of procedure,
15as are prescribed in Sections 1, 1a, 1a-1, 1d, 1e, 1f, 1i, 1j,
161k, 1m, 1n, 2 through 2-65 (in respect to all provisions
17therein other than the State rate of tax), 3 (except as to the
18disposition of taxes and penalties collected, and except that
19the retailer's discount is not allowed for taxes paid on
20aviation fuel that are subject to the revenue use requirements
21of 49 U.S.C. 47107(b) and 49 U.S.C. 47133), 4, 5, 5a, 5b, 5c,
225d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d, 7, 8, 9,
2310, 11, 12 and 13 of the Retailers' Occupation Tax Act and
24Section 3-7 of the Uniform Penalty and Interest Act, as fully
25as if those provisions were set forth herein.
26    No tax may be imposed by a home rule county pursuant to

 

 

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1this Section unless the county also imposes a tax at the same
2rate pursuant to Section 5-1007.
3    Persons subject to any tax imposed pursuant to the
4authority granted in this Section may reimburse themselves for
5their seller's tax liability hereunder by separately stating
6such tax as 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 home rule county retailers' occupation tax
17fund or the Local Government Aviation Trust Fund, as
18appropriate.
19    Except as otherwise provided in this paragraph, the
20Department shall forthwith pay over to the State Treasurer, ex
21officio, as trustee, all taxes and penalties collected
22hereunder for deposit into the Home Rule County Retailers'
23Occupation Tax Fund. Taxes and penalties collected on aviation
24fuel sold on or after December 1, 2019, shall be immediately
25paid over by the Department to the State Treasurer, ex officio,
26as trustee, for deposit into the Local Government Aviation

 

 

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1Trust Fund. The Department shall only pay moneys into the Local
2Government Aviation Trust Fund under this Section Act for so
3long as the revenue use requirements of 49 U.S.C. 47107(b) and
449 U.S.C. 47133 are binding on the county.
5    As soon as possible after the first day of each month,
6beginning January 1, 2011, upon certification of the Department
7of Revenue, the Comptroller shall order transferred, and the
8Treasurer shall transfer, to the STAR Bonds Revenue Fund the
9local sales tax increment, as defined in the Innovation
10Development and Economy Act, collected under this Section
11during the second preceding calendar month for sales within a
12STAR bond district.
13    After the monthly transfer to the STAR Bonds Revenue Fund,
14on or before the 25th day of each calendar month, the
15Department shall prepare and certify to the Comptroller the
16disbursement of stated sums of money to named counties, the
17counties to be those from which retailers have paid taxes or
18penalties hereunder to the Department during the second
19preceding calendar month. The amount to be paid to each county
20shall be the amount (not including credit memoranda and not
21including taxes and penalties collected on aviation fuel sold
22on or after December 1, 2019) collected hereunder during the
23second preceding calendar month by the Department plus an
24amount the Department determines is necessary to offset any
25amounts that were erroneously paid to a different taxing body,
26and not including an amount equal to the amount of refunds made

 

 

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1during the second preceding calendar month by the Department on
2behalf of such county, and not including any amount which the
3Department determines is necessary to offset any amounts which
4were payable to a different taxing body but were erroneously
5paid to the county, and not including any amounts that are
6transferred to the STAR Bonds Revenue Fund, less 1.5% of the
7remainder, which the Department shall transfer into the Tax
8Compliance and Administration Fund. The Department, at the time
9of each monthly disbursement to the counties, shall prepare and
10certify to the State Comptroller the amount to be transferred
11into the Tax Compliance and Administration Fund under this
12Section. Within 10 days after receipt, by the Comptroller, of
13the disbursement certification to the counties and the Tax
14Compliance and Administration Fund provided for in this Section
15to be given to the Comptroller by the Department, the
16Comptroller shall cause the orders to be drawn for the
17respective amounts in accordance with the directions contained
18in the certification.
19    In addition to the disbursement required by the preceding
20paragraph, an allocation shall be made in March of each year to
21each county that received more than $500,000 in disbursements
22under the preceding paragraph in the preceding calendar year.
23The allocation shall be in an amount equal to the average
24monthly distribution made to each such county under the
25preceding paragraph during the preceding calendar year
26(excluding the 2 months of highest receipts). The distribution

 

 

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1made in March of each year subsequent to the year in which an
2allocation was made pursuant to this paragraph and the
3preceding paragraph shall be reduced by the amount allocated
4and disbursed under this paragraph in the preceding calendar
5year. The Department shall prepare and certify to the
6Comptroller for disbursement the allocations made in
7accordance with this paragraph.
8    For the purpose of determining the local governmental unit
9whose tax is applicable, a retail sale by a producer of coal or
10other mineral mined in Illinois is a sale at retail at the
11place where the coal or other mineral mined in Illinois is
12extracted from the earth. This paragraph does not apply to coal
13or other mineral when it is delivered or shipped by the seller
14to the purchaser at a point outside Illinois so that the sale
15is exempt under the United States Constitution as a sale in
16interstate or foreign commerce.
17    Nothing in this Section shall be construed to authorize a
18county to impose a tax upon the privilege of engaging in any
19business which under the Constitution of the United States may
20not be made the subject of taxation by this State.
21    An ordinance or resolution imposing or discontinuing a 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 June, whereupon the Department
25shall proceed to administer and enforce this Section as of the
26first day of September next following such adoption and filing.

 

 

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

 

 

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1decrease such amount by an amount necessary to offset any
2misallocation of previous disbursements. The offset amount
3shall be the amount erroneously disbursed within the previous 6
4months from the time a misallocation is discovered.
5    This Section shall be known and may be cited as the Home
6Rule County Retailers' Occupation Tax Law.
7(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18;
8100-1171, eff. 1-4-19; 101-10, eff. 6-5-19; 101-81, eff.
97-12-19.)
 
10    (55 ILCS 5/5-1006.5)
11    Sec. 5-1006.5. Special County Retailers' Occupation Tax
12For Public Safety, Public Facilities, Mental Health, Substance
13Abuse, or Transportation.
14    (a) The county board of any county may impose a tax upon
15all persons engaged in the business of selling tangible
16personal property, other than personal property titled or
17registered with an agency of this State's government, at retail
18in the county on the gross receipts from the sales made in the
19course of business to provide revenue to be used exclusively
20for public safety, public facility, mental health, substance
21abuse, or transportation purposes in that county (except as
22otherwise provided in this Section), if a proposition for the
23tax has been submitted to the electors of that county and
24approved by a majority of those voting on the question. If
25imposed, this tax shall be imposed only in one-quarter percent

 

 

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

 

 

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

 

 

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

 

 

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

 

 

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

 

 

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1    financing, architectural planning, and installation of
2    capital facilities consisting of buildings, structures,
3    and durable equipment and for the acquisition and
4    improvement of real property and interest in real property
5    required, or expected to be required, in connection with
6    the public facilities, for use by the county for the
7    furnishing of governmental services to its citizens,
8    including, but not limited to, museums and nursing homes.
9        The votes shall be recorded as "Yes" or "No".
10        (4) The proposition for mental health purposes shall be
11    in substantially the following form:
12        "To pay for mental health purposes, shall (name of
13    county) be authorized to impose an increase on its share of
14    local sales taxes by (insert rate)?"
15        As additional information on the ballot below the
16    question shall appear the following:
17        "This would mean that a consumer would pay an
18    additional (insert amount) in sales tax for every $100 of
19    tangible personal property bought at retail."
20        The county board may also opt to establish a sunset
21    provision at which time the additional sales tax would
22    cease being collected, if not terminated earlier by a vote
23    of the county board. If the county board votes to include a
24    sunset provision, the proposition for public facilities
25    purposes shall be in substantially the following form:
26        "To pay for mental health purposes, shall (name of

 

 

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

 

 

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1    sunset provision, the proposition for public facilities
2    purposes shall be in substantially the following form:
3        "To pay for substance abuse purposes, shall (name of
4    county) be authorized to impose an increase on its share of
5    local sales taxes by (insert rate) for a period not to
6    exceed (insert number of years)?"
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. If imposed,
12    the additional tax would cease being collected at the end
13    of (insert number of years), if not terminated earlier by a
14    vote of the county board."
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 tangible personal
21property taxed at the 1% rate under the Retailers' Occupation
22Tax Act. Beginning December 1, 2019 and through December 31,
232020, this tax is not imposed on sales of aviation fuel unless
24the tax revenue is expended for airport-related purposes. If
25the county does not have an airport-related purpose to which it
26dedicates aviation fuel tax revenue, then aviation fuel is

 

 

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1excluded from the tax. The county must comply with the
2certification requirements for airport-related purposes under
3Section 2-22 of the Retailers' Occupation Tax Act 5-1184. For
4purposes of this Section Act, "airport-related purposes" has
5the meaning ascribed in Section 6z-20.2 of the State Finance
6Act. Beginning January 1, 2021, this tax is not imposed on
7sales of aviation fuel This exclusion for aviation fuel only
8applies for so long as the revenue use requirements of 49
9U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the county.
10The tax imposed by a county under this Section and all civil
11penalties that may be assessed as an incident of the tax shall
12be collected and enforced by the Illinois Department of Revenue
13and deposited into a special fund created for that purpose. 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 without
17registering separately with the Department under an ordinance
18or resolution under this Section. The Department has full power
19to administer and enforce this Section, to collect all taxes
20and penalties due under this Section, to dispose of taxes and
21penalties so collected in the manner provided in this Section,
22and to determine all rights to credit memoranda arising on
23account of the erroneous payment of a tax or penalty under this
24Section. In the administration of and compliance with this
25Section, the Department and persons who are subject to this
26Section shall (i) have the same rights, remedies, privileges,

 

 

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

 

 

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1amount specified and to the person named in the notification
2from the Department. The refund shall be paid by the State
3Treasurer out of the County Public Safety, Public Facilities,
4Mental Health, Substance Abuse, or Transportation Retailers'
5Occupation Tax Fund or the Local Government Aviation Trust
6Fund, as appropriate.
7    (b) If a tax has been imposed under subsection (a), a
8service occupation tax shall also be imposed at the same rate
9upon all persons engaged, in the county, in the business of
10making sales of service, who, as an incident to making those
11sales of service, transfer tangible personal property within
12the county as an incident to a sale of service. This tax may
13not be imposed on tangible personal property taxed at the 1%
14rate under the Service Occupation Tax Act. Beginning December
151, 2019 and through December 31, 2020, this tax is not imposed
16on sales of aviation fuel unless the tax revenue is expended
17for airport-related purposes. If the county does not have an
18airport-related purpose to which it dedicates aviation fuel tax
19revenue, then aviation fuel is excluded from the tax. The
20county must comply with the certification requirements for
21airport-related purposes under Section 2-22 of the Retailers'
22Occupation Tax Act 5-1184. For purposes of this Section Act,
23"airport-related purposes" has the meaning ascribed in Section
246z-20.2 of the State Finance Act. Beginning January 1, 2021,
25this tax is not imposed on sales of aviation fuel This
26exclusion for aviation fuel only applies for so long as the

 

 

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1revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
247133 are binding on the county. The tax imposed under this
3subsection and all civil penalties that may be assessed as an
4incident thereof shall be collected and enforced by the
5Department of Revenue. The Department has full power to
6administer and enforce this subsection; to collect all taxes
7and penalties due hereunder; to dispose of taxes and penalties
8so collected in the manner hereinafter provided; and to
9determine all rights to credit memoranda arising on account of
10the erroneous payment of tax or penalty hereunder. In the
11administration of, and compliance with this subsection, the
12Department and persons who are subject to this paragraph shall
13(i) have the same rights, remedies, privileges, immunities,
14powers, and duties, (ii) be subject to the same conditions,
15restrictions, limitations, penalties, exclusions, exemptions,
16and definitions of terms, and (iii) employ the same modes of
17procedure as are prescribed in Sections 2 (except that the
18reference to State in the definition of supplier maintaining a
19place of business in this State shall mean the county), 2a, 2b,
202c, 3 through 3-50 (in respect to all provisions therein other
21than the State rate of tax), 4 (except that the reference to
22the State shall be to the county), 5, 7, 8 (except that the
23jurisdiction to which the tax shall be a debt to the extent
24indicated in that Section 8 shall be the county), 9 (except as
25to the disposition of taxes and penalties collected, and except
26that the retailer's discount is not allowed for taxes paid on

 

 

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1aviation fuel that are deposited into the Local Government
2Aviation Trust Fund), 10, 11, 12 (except the reference therein
3to Section 2b of the Retailers' Occupation Tax Act), 13 (except
4that any reference to the State shall mean the county), Section
515, 16, 17, 18, 19, and 20 of the Service Occupation Tax Act,
6and Section 3-7 of the Uniform Penalty and Interest Act, as
7fully as if those provisions were set forth herein.
8    Persons subject to any tax imposed under the authority
9granted in this subsection may reimburse themselves for their
10serviceman's tax liability by separately stating the tax as an
11additional charge, which charge may be stated in combination,
12in a single amount, with State tax that servicemen are
13authorized to collect under the Service Use Tax Act, in
14accordance with such bracket schedules as the Department may
15prescribe.
16    Whenever the Department determines that a refund should be
17made under this subsection to a claimant instead of issuing a
18credit memorandum, the Department shall notify the State
19Comptroller, who shall cause the warrant to be drawn for the
20amount specified, and to the person named, in the notification
21from the Department. The refund shall be paid by the State
22Treasurer out of the County Public Safety, Public Facilities,
23Mental Health, Substance Abuse, or Transportation Retailers'
24Occupation Fund or the Local Government Aviation Trust Fund, as
25appropriate.
26    Nothing in this subsection shall be construed to authorize

 

 

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1the county to impose a tax upon the privilege of engaging in
2any business which under the Constitution of the United States
3may not be made the subject of taxation by the State.
4    (c) Except as otherwise provided in this paragraph, the
5Department shall immediately pay over to the State Treasurer,
6ex officio, as trustee, all taxes and penalties collected under
7this Section to be deposited into the County Public Safety,
8Public Facilities, Mental Health, Substance Abuse, or
9Transportation Retailers' Occupation Tax Fund, which shall be
10an unappropriated trust fund held outside of the State
11treasury. Taxes and penalties collected on aviation fuel sold
12on or after December 1, 2019 and through December 31, 2020,
13shall be immediately paid over by the Department to the State
14Treasurer, ex officio, as trustee, for deposit into the Local
15Government Aviation Trust Fund. The Department shall only pay
16moneys into the Local Government Aviation Trust Fund under this
17Act for so long as the revenue use requirements of 49 U.S.C.
1847107(b) and 49 U.S.C. 47133 are binding on the county.
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.

 

 

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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 the counties from which
5retailers have paid taxes or penalties to the Department during
6the second preceding calendar month. The amount to be paid to
7each county, and deposited by the county into its special fund
8created for the purposes of this Section, shall be the amount
9(not including credit memoranda and not including taxes and
10penalties collected on aviation fuel sold on or after December
111, 2019 and through December 31, 2020) collected under this
12Section during the second preceding calendar month by the
13Department plus an amount the Department determines is
14necessary to offset any amounts that were erroneously paid to a
15different taxing body, and not including (i) an amount equal to
16the amount of refunds made during the second preceding calendar
17month by the Department on behalf of the county, (ii) any
18amount that the Department determines is necessary to offset
19any amounts that were payable to a different taxing body but
20were erroneously paid to the county, (iii) any amounts that are
21transferred to the STAR Bonds Revenue Fund, and (iv) 1.5% of
22the remainder, which shall be transferred into the Tax
23Compliance and Administration Fund. The Department, at the time
24of each monthly disbursement to the counties, shall prepare and
25certify to the State Comptroller the amount to be transferred
26into the Tax Compliance and Administration Fund under this

 

 

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1subsection. Within 10 days after receipt by the Comptroller of
2the disbursement certification to the counties and the Tax
3Compliance and Administration Fund provided for in this Section
4to be given to the Comptroller by the Department, the
5Comptroller shall cause the orders to be drawn for the
6respective amounts in accordance with directions contained in
7the certification.
8    In addition to the disbursement required by the preceding
9paragraph, an allocation shall be made in March of each year to
10each county that received more than $500,000 in disbursements
11under the preceding paragraph in the preceding calendar year.
12The allocation shall be in an amount equal to the average
13monthly distribution made to each such county under the
14preceding paragraph during the preceding calendar year
15(excluding the 2 months of highest receipts). The distribution
16made in March of each year subsequent to the year in which an
17allocation was made pursuant to this paragraph and the
18preceding paragraph shall be reduced by the amount allocated
19and disbursed under this paragraph in the preceding calendar
20year. The Department shall prepare and certify to the
21Comptroller for disbursement the allocations made in
22accordance with this paragraph.
23    (d) For the purpose of determining the local governmental
24unit whose tax is applicable, a retail sale by a producer of
25coal or another mineral mined in Illinois is a sale at retail
26at the place where the coal or other mineral mined in Illinois

 

 

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

 

 

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

 

 

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1services. The county may share tax proceeds received under this
2Section for public safety purposes, including proceeds
3received before August 4, 2009 (the effective date of Public
4Act 96-124), with any fire protection district located in the
5county. For the purposes of this Section, "transportation"
6includes, but is not limited to, the construction, maintenance,
7operation, and improvement of public highways, any other
8purpose for which a county may expend funds under the Illinois
9Highway Code, and passenger rail transportation. For the
10purposes of this Section, "public facilities purposes"
11includes, but is not limited to, the acquisition, development,
12construction, reconstruction, rehabilitation, improvement,
13financing, architectural planning, and installation of capital
14facilities consisting of buildings, structures, and durable
15equipment and for the acquisition and improvement of real
16property and interest in real property required, or expected to
17be required, in connection with the public facilities, for use
18by the county for the furnishing of governmental services to
19its citizens, including, but not limited to, museums and
20nursing homes.
21    (j) The Department may promulgate rules to implement Public
22Act 95-1002 only to the extent necessary to apply the existing
23rules for the Special County Retailers' Occupation Tax for
24Public Safety to this new purpose for public facilities.
25(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18;
26100-1167, eff. 1-4-19; 100-1171, eff. 1-4-19; 101-10, eff.

 

 

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16-5-19; 101-81, eff. 7-12-19; 101-275, eff. 8-9-19; revised
29-10-19.)
 
3    (55 ILCS 5/5-1006.7)
4    Sec. 5-1006.7. School facility and resources occupation
5taxes.
6    (a) In any county, a tax shall be imposed upon all persons
7engaged in the business of selling tangible personal property,
8other than personal property titled or registered with an
9agency of this State's government, at retail in the county on
10the gross receipts from the sales made in the course of
11business to provide revenue to be used exclusively (i) for (i)
12school facility purposes (except as otherwise provided in this
13Section), (ii) school resource officers and mental health
14professionals, or (iii) school facility purposes, school
15resource officers, and mental health professionals if a
16proposition for the tax has been submitted to the electors of
17that county and approved by a majority of those voting on the
18question as provided in subsection (c). The tax under this
19Section shall be imposed only in one-quarter percent increments
20and may not exceed 1%.
21    This additional tax may not be imposed on tangible personal
22property taxed at the 1% rate under the Retailers' Occupation
23Tax Act. Beginning December 1, 2019 and through December 31,
242020, this tax is not imposed on sales of aviation fuel unless
25the tax revenue is expended for airport-related purposes. If

 

 

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1the county does not have an airport-related purpose to which it
2dedicates aviation fuel tax revenue, then aviation fuel is
3excluded from the tax. The county must comply with the
4certification requirements for airport-related purposes under
5Section 2-22 of the Retailers' Occupation Tax Act 5-1184. For
6purposes of this Section Act, "airport-related purposes" has
7the meaning ascribed in Section 6z-20.2 of the State Finance
8Act. Beginning January 1, 2021, this tax is not imposed on
9sales of aviation fuel This exclusion for aviation fuel only
10applies for so long as the revenue use requirements of 49
11U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the county.
12The Department of Revenue has full power to administer and
13enforce this subsection, to collect all taxes and penalties due
14under this subsection, to dispose of taxes and penalties so
15collected in the manner provided in this subsection, and to
16determine all rights to credit memoranda arising on account of
17the erroneous payment of a tax or penalty under this
18subsection. The Department shall deposit all taxes and
19penalties collected under this subsection into a special fund
20created for that purpose.
21    In the administration of and compliance with this
22subsection, the Department and persons who are subject to this
23subsection (i) have the same rights, remedies, privileges,
24immunities, powers, and duties, (ii) are subject to the same
25conditions, restrictions, limitations, penalties, and
26definitions of terms, and (iii) shall employ the same modes of

 

 

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1procedure as are set forth in Sections 1 through 1o, 2 through
22-70 (in respect to all provisions contained in those Sections
3other than the State rate of tax), 2a through 2h, 3 (except as
4to the disposition of taxes and penalties collected, and except
5that the retailer's discount is not allowed for taxes paid on
6aviation fuel that are subject to the revenue use requirements
7of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 that are deposited
8into the Local Government Aviation Trust Fund), 4, 5, 5a, 5b,
95c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d, 7, 8,
109, 10, 11, 11a, 12, and 13 of the Retailers' Occupation Tax Act
11and all provisions of the Uniform Penalty and Interest Act as
12if those provisions were set forth in this subsection.
13    The certificate of registration that is issued by the
14Department to a retailer under the Retailers' Occupation Tax
15Act permits the retailer to engage in a business that is
16taxable without registering separately with the Department
17under an ordinance or resolution under this subsection.
18    Persons subject to any tax imposed under the authority
19granted in this subsection may reimburse themselves for their
20seller's tax liability by separately stating that tax as an
21additional charge, which may be stated in combination, in a
22single amount, with State tax that sellers are required to
23collect under the Use Tax Act, pursuant to any bracketed
24schedules set forth by the Department.
25    (b) If a tax has been imposed under subsection (a), then a
26service occupation tax must also be imposed at the same rate

 

 

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1upon all persons engaged, in the county, in the business of
2making sales of service, who, as an incident to making those
3sales of service, transfer tangible personal property within
4the county as an incident to a sale of service.
5    This tax may not be imposed on tangible personal property
6taxed at the 1% rate under the Service Occupation Tax Act.
7Beginning December 1, 2019 and through December 31, 2020, this
8tax is not imposed on sales of aviation fuel unless the tax
9revenue is expended for airport-related purposes. If the county
10does not have an airport-related purpose to which it dedicates
11aviation fuel tax revenue, then aviation fuel is excluded from
12the tax. The county must comply with the certification
13requirements for airport-related purposes under Section 2-22
14of the Retailers' Occupation Tax Act 5-1184. For purposes of
15this Section Act, "airport-related purposes" has the meaning
16ascribed in Section 6z-20.2 of the State Finance Act. Beginning
17January 1, 2021, this tax is not imposed on sales of aviation
18fuel This exclusion for aviation fuel only applies for so long
19as the revenue use requirements of 49 U.S.C. 47107(b) and 49
20U.S.C. 47133 are binding on the county.
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 Department and deposited into a
24special fund created for that purpose. The Department has full
25power to administer and enforce this subsection, to collect all
26taxes and penalties due under this subsection, to dispose of

 

 

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1taxes and penalties so collected in the manner provided in this
2subsection, and to determine all rights to credit memoranda
3arising on account of the erroneous payment of a tax or penalty
4under this subsection.
5    In the administration of and compliance with this
6subsection, the Department and persons who are subject to this
7subsection shall (i) have the same rights, remedies,
8privileges, immunities, powers and duties, (ii) be subject to
9the same conditions, restrictions, limitations, penalties and
10definition of terms, and (iii) employ the same modes of
11procedure as are set forth in Sections 2 (except that that
12reference to State in the definition of supplier maintaining a
13place of business in this State means the county), 2a through
142d, 3 through 3-50 (in respect to all provisions contained in
15those Sections other than the State rate of tax), 4 (except
16that the reference to the State shall be to the county), 5, 7,
178 (except that the jurisdiction to which the tax is a debt to
18the extent indicated in that Section 8 is the county), 9
19(except as to the disposition of taxes and penalties collected,
20and except that the retailer's discount is not allowed for
21taxes paid on aviation fuel that are subject to the revenue use
22requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 that are
23deposited into the Local Government Aviation Trust Fund), 10,
2411, 12 (except the reference therein to Section 2b of the
25Retailers' Occupation Tax Act), 13 (except that any reference
26to the State means the county), Section 15, 16, 17, 18, 19, and

 

 

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120 of the Service Occupation Tax Act and all provisions of the
2Uniform Penalty and Interest Act, as fully as if those
3provisions were set forth herein.
4    Persons subject to any tax imposed under the authority
5granted in this subsection may reimburse themselves for their
6serviceman's tax liability by separately stating the tax as an
7additional charge, which may be stated in combination, in a
8single amount, with State tax that servicemen are authorized to
9collect under the Service Use Tax Act, pursuant to any
10bracketed schedules set forth by the Department.
11    (c) The tax under this Section may not be imposed until the
12question of imposing the tax has been submitted to the electors
13of the county at a regular election and approved by a majority
14of the electors voting on the question. For all regular
15elections held prior to August 23, 2011 (the effective date of
16Public Act 97-542), upon a resolution by the county board or a
17resolution by school district boards that represent at least
1851% of the student enrollment within the county, the county
19board must certify the question to the proper election
20authority in accordance with the Election Code.
21    For all regular elections held prior to August 23, 2011
22(the effective date of Public Act 97-542), the election
23authority must submit the question in substantially the
24following form:
25        Shall (name of county) be authorized to impose a
26    retailers' occupation tax and a service occupation tax

 

 

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1    (commonly referred to as a "sales tax") at a rate of
2    (insert rate) to be used exclusively for school facility
3    purposes?
4    The election authority must record the votes as "Yes" or
5"No".
6    If a majority of the electors voting on the question vote
7in the affirmative, then the county may, thereafter, impose the
8tax.
9    For all regular elections held on or after August 23, 2011
10(the effective date of Public Act 97-542), the regional
11superintendent of schools for the county must, upon receipt of
12a resolution or resolutions of school district boards that
13represent more than 50% of the student enrollment within the
14county, certify the question to the proper election authority
15for submission to the electors of the county at the next
16regular election at which the question lawfully may be
17submitted to the electors, all in accordance with the Election
18Code.
19    For all regular elections held on or after August 23, 2011
20(the effective date of Public Act 97-542) and before August 23,
212019 (the effective date of Public Act 101-455) this amendatory
22Act of the 101st General Assembly, the election authority must
23submit the question in substantially the following form:
24        Shall a retailers' occupation tax and a service
25    occupation tax (commonly referred to as a "sales tax") be
26    imposed in (name of county) at a rate of (insert rate) to

 

 

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1    be used exclusively for school facility purposes?
2    The election authority must record the votes as "Yes" or
3"No".
4    If a majority of the electors voting on the question vote
5in the affirmative, then the tax shall be imposed at the rate
6set forth in the question.
7    For all regular elections held on or after August 23, 2019
8(the effective date of Public Act 101-455) this amendatory Act
9of the 101st General Assembly, the election authority must
10submit the question as follows:
11        (1) If the referendum is to expand the use of revenues
12    from a currently imposed tax exclusively for school
13    facility purposes to include school resource officers and
14    mental health professionals, the question shall be in
15    substantially the following form:
16            In addition to school facility purposes, shall
17        (name of county) school districts be authorized to use
18        revenues from the tax commonly referred to as the
19        school facility sales tax that is currently imposed in
20        (name of county) at a rate of (insert rate) for school
21        resource officers and mental health professionals?
22        (2) If the referendum is to increase the rate of a tax
23    currently imposed exclusively for school facility purposes
24    at less than 1% and dedicate the additional revenues for
25    school resource officers and mental health professionals,
26    the question shall be in substantially the following form:

 

 

SB0119 Enrolled- 278 -LRB101 06854 HLH 51885 b

1            Shall the tax commonly referred to as the school
2        facility sales tax that is currently imposed in (name
3        of county) at the rate of (insert rate) be increased to
4        a rate of (insert rate) with the additional revenues
5        used exclusively for school resource officers and
6        mental health professionals?
7        (3) If the referendum is to impose a tax in a county
8    that has not previously imposed a tax under this Section
9    exclusively for school facility purposes, the question
10    shall be in substantially the following form:
11            Shall a retailers' occupation tax and a service
12        occupation tax (commonly referred to as a sales tax) be
13        imposed in (name of county) at a rate of (insert rate)
14        to be used exclusively for school facility purposes?
15        (4) If the referendum is to impose a tax in a county
16    that has not previously imposed a tax under this Section
17    exclusively for school resource officers and mental health
18    professionals, the question shall be in substantially the
19    following form:
20            Shall a retailers' occupation tax and a service
21        occupation tax (commonly referred to as a sales tax) be
22        imposed in (name of county) at a rate of (insert rate)
23        to be used exclusively for school resource officers and
24        mental health professionals?
25        (5) If the referendum is to impose a tax in a county
26    that has not previously imposed a tax under this Section

 

 

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1    exclusively for school facility purposes, school resource
2    officers, and mental health professionals, the question
3    shall be in substantially the following 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)
7        to be used exclusively for school facility purposes,
8        school resource officers, and mental health
9        professionals?
10    The election authority must record the votes as "Yes" or
11"No".
12    If a majority of the electors voting on the question vote
13in the affirmative, then the tax shall be imposed at the rate
14set forth in the question.
15    For the purposes of this subsection (c), "enrollment" means
16the head count of the students residing in the county on the
17last school day of September of each year, which must be
18reported on the Illinois State Board of Education Public School
19Fall Enrollment/Housing Report.
20    (d) Except as otherwise provided, the Department shall
21immediately pay over to the State Treasurer, ex officio, as
22trustee, all taxes and penalties collected under this Section
23to be deposited into the School Facility Occupation Tax Fund,
24which shall be an unappropriated trust fund held outside the
25State treasury. Taxes and penalties collected on aviation fuel
26sold on or after December 1, 2019 and through December 31,

 

 

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12020, shall be immediately paid over by the Department to the
2State Treasurer, ex officio, as trustee, for deposit into the
3Local Government Aviation Trust Fund. The Department shall only
4pay moneys into the Local Government Aviation Trust Fund under
5this Section Act for so long as the revenue use requirements of
649 U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
7county.
8    On or before the 25th day of each calendar month, the
9Department shall prepare and certify to the Comptroller the
10disbursement of stated sums of money to the regional
11superintendents of schools in counties from which retailers or
12servicemen have paid taxes or penalties to the Department
13during the second preceding calendar month. The amount to be
14paid to each regional superintendent of schools and disbursed
15to him or her in accordance with Section 3-14.31 of the School
16Code, is equal to the amount (not including credit memoranda
17and not including taxes and penalties collected on aviation
18fuel sold on or after December 1, 2019 and through December 31,
192020) collected from the county under this Section during the
20second preceding calendar month by the Department, (i) less 2%
21of that amount (except the amount collected on aviation fuel
22sold on or after December 1, 2019 and through December 31,
232020), which shall be deposited into the Tax Compliance and
24Administration Fund and shall be used by the Department,
25subject to appropriation, to cover the costs of the Department
26in administering and enforcing the provisions of this Section,

 

 

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1on behalf of the county, (ii) plus an amount that the
2Department determines is necessary to offset any amounts that
3were erroneously paid to a different taxing body; (iii) less an
4amount equal to the amount of refunds made during the second
5preceding calendar month by the Department on behalf of the
6county; and (iv) less any amount that the Department determines
7is necessary to offset any amounts that were payable to a
8different taxing body but were erroneously paid to the county.
9When certifying the amount of a monthly disbursement to a
10regional superintendent of schools under this Section, the
11Department shall increase or decrease the amounts by an amount
12necessary to offset any miscalculation of previous
13disbursements within the previous 6 months from the time a
14miscalculation is discovered.
15    Within 10 days after receipt by the Comptroller from the
16Department of the disbursement certification to the regional
17superintendents of the schools provided for in this Section,
18the Comptroller shall cause the orders to be drawn for the
19respective amounts in accordance with directions contained in
20the certification.
21    If the Department determines that a refund should be made
22under this Section to a claimant instead of issuing a credit
23memorandum, then the Department shall notify the Comptroller,
24who shall cause the order to be drawn for the amount specified
25and to the person named in the notification from the
26Department. The refund shall be paid by the Treasurer out of

 

 

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1the School Facility Occupation Tax Fund or the Local Government
2Aviation Trust Fund, as appropriate.
3    (e) For the purposes of determining the local governmental
4unit whose tax is applicable, a retail sale by a producer of
5coal or another mineral mined in Illinois is a sale at retail
6at the place where the coal or other mineral mined in Illinois
7is extracted from the earth. This subsection does not apply to
8coal or another mineral when it is delivered or shipped by the
9seller to the purchaser at a point outside Illinois so that the
10sale is exempt under the United States Constitution as a sale
11in interstate or foreign commerce.
12    (f) Nothing in this Section may be construed to authorize a
13tax to be imposed upon the privilege of engaging in any
14business that under the Constitution of the United States may
15not be made the subject of taxation by this State.
16    (g) If a county board imposes a tax under this Section
17pursuant to a referendum held before August 23, 2011 (the
18effective date of Public Act 97-542) at a rate below the rate
19set forth in the question approved by a majority of electors of
20that county voting on the question as provided in subsection
21(c), then the county board may, by ordinance, increase the rate
22of the tax up to the rate set forth in the question approved by
23a majority of electors of that county voting on the question as
24provided in subsection (c). If a county board imposes a tax
25under this Section pursuant to a referendum held before August
2623, 2011 (the effective date of Public Act 97-542), then the

 

 

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1board may, by ordinance, discontinue or reduce the rate of the
2tax. If a tax is imposed under this Section pursuant to a
3referendum held on or after August 23, 2011 (the effective date
4of Public Act 97-542) and before August 23, 2019 (the effective
5date of Public Act 101-455) this amendatory Act of the 101st
6General Assembly, then the county board may reduce or
7discontinue the tax, but only in accordance with subsection
8(h-5) of this Section. If a tax is imposed under this Section
9pursuant to a referendum held on or after August 23, 2019 (the
10effective date of Public Act 101-455) this amendatory Act of
11the 101st General Assembly, then the county board may reduce or
12discontinue the tax, but only in accordance with subsection
13(h-10). If, however, a school board issues bonds that are
14secured by the proceeds of the tax under this Section, then the
15county board may not reduce the tax rate or discontinue the tax
16if that rate reduction or discontinuance would adversely affect
17the school board's ability to pay the principal and interest on
18those bonds as they become due or necessitate the extension of
19additional property taxes to pay the principal and interest on
20those bonds. If the county board reduces the tax rate or
21discontinues the tax, then a referendum must be held in
22accordance with subsection (c) of this Section in order to
23increase the rate of the tax or to reimpose the discontinued
24tax.
25    Until January 1, 2014, the results of any election that
26imposes, reduces, or discontinues a tax under this Section must

 

 

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

 

 

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1facilities consisting of buildings, structures, and durable
2equipment and for the acquisition and improvement of real
3property and interest in real property required, or expected to
4be required, in connection with the capital facilities and (ii)
5the payment of bonds or other obligations heretofore or
6hereafter issued, including bonds or other obligations
7heretofore or hereafter issued to refund or to continue to
8refund bonds or other obligations issued, for school facility
9purposes, provided that the taxes levied to pay those bonds are
10abated by the amount of the taxes imposed under this Section
11that are used to pay those bonds. "School facility
12School-facility purposes" also includes fire prevention,
13safety, energy conservation, accessibility, school security,
14and specified repair purposes set forth under Section 17-2.11
15of the School Code.
16    (h-5) A county board in a county where a tax has been
17imposed under this Section pursuant to a referendum held on or
18after August 23, 2011 (the effective date of Public Act 97-542)
19and before August 23, 2019 (the effective date of Public Act
20101-455) this amendatory Act of the 101st General Assembly may,
21by ordinance or resolution, submit to the voters of the county
22the question of reducing or discontinuing the tax. In the
23ordinance or resolution, the county board shall certify the
24question to the proper election authority in accordance with
25the Election Code. The election authority must submit the
26question in substantially the following form:

 

 

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1        Shall the school facility retailers' occupation tax
2    and service occupation tax (commonly referred to as the
3    "school facility sales tax") currently imposed in (name of
4    county) at a rate of (insert rate) be (reduced to (insert
5    rate))(discontinued)?
6If a majority of the electors voting on the question vote in
7the affirmative, then, subject to the provisions of subsection
8(g) of this Section, the tax shall be reduced or discontinued
9as set forth in the question.
10    (h-10) A county board in a county where a tax has been
11imposed under this Section pursuant to a referendum held on or
12after August 23, 2019 (the effective date of Public Act
13101-455) this amendatory Act of the 101st General Assembly may,
14by ordinance or resolution, submit to the voters of the county
15the question of reducing or discontinuing the tax. In the
16ordinance or resolution, the county board shall certify the
17question to the proper election authority in accordance with
18the Election Code. The election authority must submit the
19question in substantially the following form:
20        Shall the school facility and resources retailers'
21    occupation tax and service occupation tax (commonly
22    referred to as the school facility and resources sales tax)
23    currently imposed in (name of county) at a rate of (insert
24    rate) be (reduced to (insert rate)) (discontinued)?
25    The election authority must record the votes as "Yes" or
26"No".

 

 

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1    If a majority of the electors voting on the question vote
2in the affirmative, then, subject to the provisions of
3subsection (g) of this Section, the tax shall be reduced or
4discontinued as set forth in the question.
5    (i) This Section does not apply to Cook County.
6    (j) This Section may be cited as the County School Facility
7and Resources Occupation Tax Law.
8(Source: P.A. 100-1171, eff. 1-4-19; 101-10, eff. 6-5-19;
9101-455, eff. 8-23-19; revised 9-10-19.)
 
10    (55 ILCS 5/5-1007)  (from Ch. 34, par. 5-1007)
11    Sec. 5-1007. Home Rule County Service Occupation Tax Law.
12The corporate authorities of a home rule county may impose a
13tax upon all persons engaged, in such county, in the business
14of making sales of service at the same rate of tax imposed
15pursuant to Section 5-1006 of the selling price of all tangible
16personal property transferred by such servicemen either in the
17form of tangible personal property or in the form of real
18estate as an incident to a sale of service. If imposed, such
19tax shall only be imposed in 1/4% increments. On and after
20September 1, 1991, this additional tax may not be imposed on
21tangible personal property taxed at the 1% rate under the
22Service Occupation Tax Act. Beginning December 1, 2019, this
23tax is not imposed on sales of aviation fuel unless the tax
24revenue is expended for airport-related purposes. If the county
25does not have an airport-related purpose to which it dedicates

 

 

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1aviation fuel tax revenue, then aviation fuel is excluded from
2the tax. The county must comply with the certification
3requirements for airport-related purposes under Section 2-22
4of the Retailers' Occupation Tax Act 5-1184. For purposes of
5this Section Act, "airport-related purposes" has the meaning
6ascribed in Section 6z-20.2 of the State Finance Act. This
7exclusion for aviation fuel only applies for so long as the
8revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
947133 are binding on the county. The changes made to this
10Section by this amendatory Act of the 101st General Assembly
11are a denial and limitation of home rule powers and functions
12under subsection (g) of Section 6 of Article VII of the
13Illinois Constitution. The tax imposed by a home rule county
14pursuant to this Section and all civil penalties that may be
15assessed as an incident thereof shall be collected and enforced
16by 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, and except that the retailer's discount is not allowed for
18taxes paid on aviation fuel that are subject to the revenue use
19requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133
20deposited into the Local Government Aviation Trust Fund), 10,
2111, 12 (except the reference therein to Section 2b of the
22Retailers' Occupation Tax Act), 13 (except that any reference
23to the State shall mean the taxing county), the first paragraph
24of Section 15, 16, 17, 18, 19 and 20 of the Service Occupation
25Tax Act and Section 3-7 of the Uniform Penalty and Interest
26Act, as fully as if those provisions were set forth herein.

 

 

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1    No tax may be imposed by a home rule county pursuant to
2this Section unless such county also imposes a tax at the same
3rate pursuant to Section 5-1006.
4    Persons subject to any tax imposed pursuant to the
5authority granted in this Section may reimburse themselves for
6their serviceman's tax liability hereunder by separately
7stating such tax as an additional charge, which charge may be
8stated in combination, in a single amount, with State tax which
9servicemen are authorized to collect under the Service Use Tax
10Act, pursuant to such bracket schedules as the Department may
11prescribe.
12    Whenever the Department determines that a refund should be
13made under this Section to a claimant instead of issuing credit
14memorandum, the Department shall notify the State Comptroller,
15who shall cause the order to be drawn for the amount specified,
16and to the person named, in such notification from the
17Department. Such refund shall be paid by the State Treasurer
18out of the home rule county retailers' occupation tax fund or
19the Local Government Aviation Trust Fund, as appropriate.
20    Except as otherwise provided in this paragraph, the
21Department shall forthwith pay over to the State Treasurer, ex
22officio, as trustee, all taxes and penalties collected
23hereunder for deposit into the Home Rule County Retailers'
24Occupation Tax Fund. Taxes and penalties collected on aviation
25fuel sold on or after December 1, 2019, shall be immediately
26paid over by the Department to the State Treasurer, ex officio,

 

 

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1as trustee, for deposit into the Local Government Aviation
2Trust Fund. The Department shall only pay moneys into the Local
3Government Aviation Trust Fund under this Section Act for so
4long as the revenue use requirements of 49 U.S.C. 47107(b) and
549 U.S.C. 47133 are binding on the county.
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.
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 counties, the
18counties to be those from which suppliers and servicemen have
19paid taxes or penalties hereunder to the Department during the
20second preceding calendar month. The amount to be paid to each
21county shall be the amount (not including credit memoranda and
22not including taxes and penalties collected on aviation fuel
23sold on or after December 1, 2019) collected hereunder during
24the second preceding calendar month by the Department, and not
25including an amount equal to the amount of refunds made during
26the second preceding calendar month by the Department on behalf

 

 

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1of such county, and not including any amounts that are
2transferred to the STAR Bonds Revenue Fund, less 1.5% of the
3remainder, which the Department shall transfer into the Tax
4Compliance and Administration Fund. The Department, at the time
5of each monthly disbursement to the counties, shall prepare and
6certify to the State Comptroller the amount to be transferred
7into the Tax Compliance and Administration Fund under this
8Section. Within 10 days after receipt, by the Comptroller, of
9the disbursement certification to the counties and the Tax
10Compliance and Administration Fund provided for in this Section
11to be given to the Comptroller by the Department, the
12Comptroller shall cause the orders to be drawn for the
13respective amounts in accordance with the directions contained
14in such certification.
15    In addition to the disbursement required by the preceding
16paragraph, an allocation shall be made in each year to each
17county which received more than $500,000 in disbursements under
18the preceding paragraph in the preceding calendar year. The
19allocation shall be in an amount equal to the average monthly
20distribution made to each such county under the preceding
21paragraph during the preceding calendar year (excluding the 2
22months of highest receipts). The distribution made in March of
23each year subsequent to the year in which an allocation was
24made pursuant to this paragraph and the preceding paragraph
25shall be reduced by the amount allocated and disbursed under
26this paragraph in the preceding calendar year. The Department

 

 

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

 

 

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1discontinuing the tax hereunder or effecting a change in the
2rate thereof shall either (i) be adopted and a certified copy
3thereof filed with the Department on or before the first day of
4April, whereupon the Department shall proceed to administer and
5enforce this Section as of the first day of July next following
6the adoption and filing; or (ii) be adopted and a certified
7copy thereof filed with the Department on or before the first
8day of October, whereupon the Department shall proceed to
9administer and enforce this Section as of the first day of
10January next following the adoption and filing.
11    This Section shall be known and may be cited as the Home
12Rule County Service Occupation Tax Law.
13(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18;
14100-1171, eff. 1-4-19; 101-10, eff. 6-5-19; 101-81, eff.
157-12-19.)
 
16    (55 ILCS 5/5-1008.5)
17    Sec. 5-1008.5. Use and occupation taxes.
18    (a) The Rock Island County Board may adopt a resolution
19that authorizes a referendum on the question of whether the
20county shall be authorized to impose a retailers' occupation
21tax, a service occupation tax, and a use tax at a rate of 1/4 of
221% on behalf of the economic development activities of Rock
23Island County and communities located within the county. The
24county board shall certify the question to the proper election
25authorities who shall submit the question to the voters of the

 

 

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1county at the next regularly scheduled election in accordance
2with the general election law. The question shall be in
3substantially the following form:
4        Shall Rock Island County be authorized to impose a
5    retailers' occupation tax, a service occupation tax, and a
6    use tax at the rate of 1/4 of 1% for the sole purpose of
7    economic development activities, including creation and
8    retention of job opportunities, support of affordable
9    housing opportunities, and enhancement of quality of life
10    improvements?
11    Votes shall be recorded as "yes" or "no". If a majority of
12all votes cast on the proposition are in favor of the
13proposition, the county is authorized to impose the tax.
14    (b) The county shall impose the retailers' occupation tax
15upon all persons engaged in the business of selling tangible
16personal property at retail in the county, at the rate approved
17by referendum, on the gross receipts from the sales made in the
18course of those businesses within the county. This additional
19tax may not be imposed on tangible personal property taxed at
20the 1% rate under the Retailers' Occupation Tax Act. Beginning
21December 1, 2019, this tax is not imposed on sales of aviation
22fuel unless the tax revenue is expended for airport-related
23purposes. If the county does not have an airport-related
24purpose to which it dedicates aviation fuel tax revenue, then
25aviation fuel is excluded from the tax. The county must comply
26with the certification requirements for airport-related

 

 

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1purposes under Section 2-22 of the Retailers' Occupation Tax
2Act 5-1184. For purposes of this Section Act, "airport-related
3purposes" has the meaning ascribed in Section 6z-20.2 of the
4State Finance Act. This exclusion for aviation fuel only
5applies for so long as the revenue use requirements of 49
6U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the county.
7The tax imposed under this Section and all civil penalties that
8may be assessed as an incident of the tax shall be collected
9and enforced by the Department of Revenue. The Department has
10full power to administer and enforce this Section; to collect
11all taxes and penalties so collected in the manner provided in
12this Section; and to determine all rights to credit memoranda
13arising on account of the erroneous payment of tax or penalty
14under this Section. In the administration of, and compliance
15with, this Section, the Department and persons who are subject
16to this Section shall (i) have the same rights, remedies,
17privileges, immunities, powers and duties, (ii) be subject to
18the same conditions, restrictions, limitations, penalties,
19exclusions, exemptions, and definitions of terms, and (iii)
20employ the same modes of procedure as are prescribed in
21Sections 1, 1a, 1a-1, 1c, 1d, 1e, 1f, 1i, 1j, 1k, 1m, 1n, 2,
222-5, 2-5.5, 2-10 (in respect to all provisions other than the
23State rate of tax), 2-15 through 2-70, 2a, 2b, 2c, 3 (except as
24to the disposition of taxes and penalties collected and
25provisions related to quarter monthly payments, and except that
26the retailer's discount is not allowed for taxes paid on

 

 

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1aviation fuel that are subject to the revenue use requirements
2of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 deposited into the
3Local Government Aviation Trust Fund), 4, 5, 5a, 5b, 5c, 5d,
45e, 5f, 5g, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 11a,
512, and 13 of the Retailers' Occupation Tax Act and Section 3-7
6of the Uniform Penalty and Interest Act, as fully as if those
7provisions were set forth in this subsection.
8    Persons subject to any tax imposed under this subsection
9may reimburse themselves for their seller's tax liability by
10separately stating the tax as an additional charge, which
11charge may be stated in combination, in a single amount, with
12State taxes that sellers are required to collect, in accordance
13with bracket schedules prescribed by the Department.
14    Whenever the Department determines that a refund should be
15made under this subsection to a claimant instead of issuing a
16credit memorandum, the Department shall notify the State
17Comptroller, who shall cause the warrant 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 the tax fund referenced under paragraph (g) of
21this Section or the Local Government Aviation Trust Fund, as
22appropriate.
23    If a tax is imposed under this subsection (b), a tax shall
24also be imposed at the same rate under subsections (c) and (d)
25of this Section.
26    For the purpose of determining whether a tax authorized

 

 

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1under this Section is applicable, a retail sale, by a producer
2of coal or another mineral mined in Illinois, is a sale at
3retail at the place where the coal or other mineral mined in
4Illinois is extracted from the earth. This paragraph does not
5apply to coal or another mineral when it is delivered or
6shipped by the seller to the purchaser at a point outside
7Illinois so that the sale is exempt under the federal
8Constitution as a sale in interstate or foreign commerce.
9    Nothing in this Section shall be construed to authorize the
10county to impose a tax upon the privilege of engaging in any
11business that under the Constitution of the United States may
12not be made the subject of taxation by this State.
13    (c) If a tax has been imposed under subsection (b), a
14service occupation tax shall 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. This additional
19tax may not be imposed on tangible personal property taxed at
20the 1% rate under the Service Occupation Tax Act. Beginning
21December 1, 2019, this tax is not imposed on sales of aviation
22fuel unless the tax revenue is expended for airport-related
23purposes. If the county does not have an airport-related
24purpose to which it dedicates aviation fuel tax revenue, then
25aviation fuel is excluded from the tax. The county must comply
26with the certification requirements for airport-related

 

 

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1purposes under Section 2-22 of the Retailers' Occupation Tax
2Act 5-1184. For purposes of this Section Act, "airport-related
3purposes" has the meaning ascribed in Section 6z-20.2 of the
4State Finance Act. This exclusion for aviation fuel only
5applies for so long as the revenue use requirements of 49
6U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the county.
7The tax imposed under this subsection and all civil penalties
8that may be assessed as an incident of the tax shall be
9collected and enforced by the Department of Revenue. The
10Department has full power to administer and enforce this
11paragraph; to collect all taxes and penalties due under this
12Section; to dispose of taxes and penalties so collected in the
13manner provided in this Section; and to determine all rights to
14credit memoranda arising on account of the erroneous payment of
15tax or penalty under this Section. In the administration of,
16and compliance with this paragraph, the Department and persons
17who are subject to this paragraph shall (i) have the same
18rights, remedies, privileges, immunities, powers, and duties,
19(ii) be subject to the same conditions, restrictions,
20limitations, penalties, exclusions, exemptions, and
21definitions of terms, and (iii) employ the same modes of
22procedure as are prescribed in Sections 2 (except that the
23reference to State in the definition of supplier maintaining a
24place of business in this State shall mean the county), 2a, 2b,
253 through 3-55 (in respect to all provisions other than the
26State rate of tax), 4 (except that the reference to the State

 

 

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1shall be to the county), 5, 7, 8 (except that the jurisdiction
2to which the tax shall be a debt to the extent indicated in
3that Section 8 shall be the county), 9 (except as to the
4disposition of taxes and penalties collected, and except that
5the returned merchandise credit for this tax may not be taken
6against any State tax, and except that the retailer's discount
7is not allowed for taxes paid on aviation fuel that are subject
8to the revenue use requirements of 49 U.S.C. 47107(b) and 49
9U.S.C. 47133 deposited into the Local Government Aviation Trust
10Fund), 11, 12 (except the reference to Section 2b of the
11Retailers' Occupation Tax Act), 13 (except that any reference
12to the State shall mean the county), 15, 16, 17, 18, 19 and 20
13of the Service Occupation Tax Act and Section 3-7 of the
14Uniform Penalty and Interest Act, as fully as if those
15provisions were set forth in this subsection.
16    Persons subject to any tax imposed under the authority
17granted in this subsection may reimburse themselves for their
18serviceman's tax liability by separately stating the tax as an
19additional charge, which charge may be stated in combination,
20in a single amount, with State tax that servicemen are
21authorized to collect under the Service Use Tax Act, in
22accordance with bracket schedules prescribed by the
23Department.
24    Whenever the Department determines that a refund should be
25made under this subsection to a claimant instead of issuing a
26credit memorandum, the Department shall notify the State

 

 

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1Comptroller, who shall cause the warrant to be drawn for the
2amount specified, and to the person named, in the notification
3from the Department. The refund shall be paid by the State
4Treasurer out of the tax fund referenced under paragraph (g) of
5this Section or the Local Government Aviation Trust Fund, as
6appropriate.
7    Nothing in this paragraph shall be construed to authorize
8the county to impose a tax upon the privilege of engaging in
9any business that under the Constitution of the United States
10may not be made the subject of taxation by the State.
11    (d) If a tax has been imposed under subsection (b), a use
12tax shall also be imposed at the same rate upon the privilege
13of using, in the county, any item of tangible personal property
14that is purchased outside the county at retail from a retailer,
15and that is titled or registered at a location within the
16county with an agency of this State's government. "Selling
17price" is defined as in the Use Tax Act. The tax shall be
18collected from persons whose Illinois address for titling or
19registration purposes is given as being in the county. The tax
20shall be collected by the Department of Revenue for the county.
21The 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 has full power to administer and enforce
6this paragraph; to collect all taxes, penalties, and interest
7due under this Section; to dispose of taxes, penalties, and
8interest so collected in the manner provided in this Section;
9and to determine all rights to credit memoranda or refunds
10arising on account of the erroneous payment of tax, penalty, or
11interest under this Section. In the administration of, and
12compliance with, this subsection, the Department and persons
13who are subject to this paragraph shall (i) have the same
14rights, remedies, privileges, immunities, powers, and duties,
15(ii) be subject to the same conditions, restrictions,
16limitations, penalties, exclusions, exemptions, and
17definitions of terms, and (iii) employ the same modes of
18procedure as are prescribed in Sections 2 (except the
19definition of "retailer maintaining a place of business in this
20State"), 3, 3-5, 3-10, 3-45, 3-55, 3-65, 3-70, 3-85, 3a, 4, 6,
217, 8 (except that the jurisdiction to which the tax shall be a
22debt to the extent indicated in that Section 8 shall be the
23county), 9 (except provisions relating to quarter monthly
24payments), 10, 11, 12, 12a, 12b, 13, 14, 15, 19, 20, 21, and 22
25of the Use Tax Act and Section 3-7 of the Uniform Penalty and
26Interest Act, that are not inconsistent with this paragraph, as

 

 

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

 

 

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1of October. After proper receipt of the certifications, the
2Department shall proceed to administer and enforce this Section
3as of the first day of January next following the adoption and
4filing.
5    (g) Except as otherwise provided in paragraph (g-2), the
6Department of Revenue shall, upon collecting any taxes and
7penalties as provided in this Section, pay the taxes and
8penalties over to the State Treasurer as trustee for the
9county. The taxes and penalties shall be held in a trust fund
10outside the State Treasury. On or before the 25th day of each
11calendar month, the Department of Revenue shall prepare and
12certify to the Comptroller of the State of Illinois the amount
13to be paid to the county, which shall be the balance in the
14fund, less any amount determined by the Department to be
15necessary for the payment of refunds. Within 10 days after
16receipt by the Comptroller of the certification of the amount
17to be paid to the county, the Comptroller shall cause an order
18to be drawn for payment for the amount in accordance with the
19directions contained in the certification. Amounts received
20from the tax imposed under this Section shall be used only for
21the economic development activities of the county and
22communities located within the county.
23    (g-2) Taxes and penalties collected on aviation fuel sold
24on or after December 1, 2019, shall be immediately paid over by
25the Department to the State Treasurer, ex officio, as trustee,
26for deposit into the Local Government Aviation Trust Fund. The

 

 

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1Department shall only pay moneys into the Local Government
2Aviation Trust Fund under this Section Act for so long as the
3revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
447133 are binding on the county.
5    (h) When certifying the amount of a monthly disbursement to
6the county under this Section, the Department shall increase or
7decrease the amounts by an amount necessary to offset any
8miscalculation of previous disbursements. The offset amount
9shall be the amount erroneously disbursed within the previous 6
10months from the time a miscalculation is discovered.
11    (i) This Section may be cited as the Rock Island County Use
12and Occupation Tax Law.
13(Source: P.A. 100-1171, eff. 1-4-19; 101-10, eff. 6-5-19.)
 
14    (55 ILCS 5/5-1035.1)  (from Ch. 34, par. 5-1035.1)
15    Sec. 5-1035.1. County Motor Fuel Tax Law.
16    (a) The county board of the counties of DuPage, Kane, Lake,
17Will, and McHenry may, by an ordinance or resolution adopted by
18an affirmative vote of a majority of the members elected or
19appointed to the county board, impose a tax upon all persons
20engaged in the county in the business of selling motor fuel, as
21now or hereafter defined in the Motor Fuel Tax Law, at retail
22for the operation of motor vehicles upon public highways or for
23the operation of recreational watercraft upon waterways. The
24collection of a tax under this Section based on gallonage of
25gasoline used for the propulsion of any aircraft is prohibited,

 

 

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1and the collection of a tax based on gallonage of special fuel
2used for the propulsion of any aircraft is prohibited on and
3after December 1, 2019. Kane County may exempt diesel fuel from
4the tax imposed pursuant to this Section. The initial tax rate
5may not be less than 4 cents per gallon of motor fuel sold at
6retail within the county for the purpose of use or consumption
7and not for the purpose of resale and may not exceed 8 cents
8per gallon of motor fuel sold at retail within the county for
9the purpose of use or consumption and not for the purpose of
10resale. The proceeds from the tax shall be used by the county
11solely for the purposes purpose of operating, constructing, and
12improving public highways and waterways, and acquiring real
13property and rights-of-way right-of-ways for public highways
14and waterways within the county imposing the tax.
15    (a-5) By June 1, 2020, and by June 1 of each year
16thereafter, the Department of Revenue shall determine an annual
17rate increase to take effect on July 1 of that calendar year
18and continue through June 30 of the next calendar year. Not
19later than June 1 of each year, the Department of Revenue shall
20publish on its website the rate that will take effect on July 1
21of that calendar year. The rate shall be equal to the product
22of the rate in effect increased by an amount equal to the
23percentage increase, if any, in the Consumer Price Index for
24All Urban Consumers for all items, published by the United
25States Department of Labor for the 12 months ending in March of
26each year multiplied by the transportation fee index factor

 

 

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1determined under Section 2e of the Motor Fuel Tax Law. The rate
2shall be rounded to the nearest one-tenth of a one cent. Each
3new rate may not exceed the rate in effect on June 30 of the
4previous year plus one cent.
5    (b) A tax imposed pursuant to this Section, and all civil
6penalties that may be assessed as an incident thereof, shall be
7administered, collected, and enforced by the Illinois
8Department of Revenue in the same manner as the tax imposed
9under the Retailers' Occupation Tax Act, as now or hereafter
10amended, insofar as may be practicable; except that in the
11event of a conflict with the provisions of this Section, this
12Section shall control. The Department of Revenue shall have
13full power: to administer and enforce this Section; to collect
14all taxes and penalties due hereunder; to dispose of taxes and
15penalties so collected in the manner hereinafter provided; and
16to determine all rights to credit memoranda arising on account
17of the erroneous payment of tax or penalty hereunder.
18    (b-5) Persons subject to any tax imposed under the
19authority granted in this Section may reimburse themselves for
20their seller's tax liability hereunder by separately stating
21that tax as an additional charge, which charge may be stated in
22combination, in a single amount, with State tax which sellers
23are required to collect under the Use Tax Act, pursuant to such
24bracket schedules as the Department may prescribe.
25    (c) Whenever the Department determines that a refund shall
26be made under this Section to a claimant instead of issuing a

 

 

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1credit memorandum, the Department shall notify the State
2Comptroller, who shall cause the order to be drawn for the
3amount specified, and to the person named, in the notification
4from the Department. The refund shall be paid by the State
5Treasurer out of the County Option Motor Fuel Tax Fund.
6    (d) The Department shall forthwith pay over to the State
7Treasurer, ex officio ex-officio, as trustee, all taxes and
8penalties collected hereunder, which shall be deposited into
9the County Option Motor Fuel Tax Fund, a special fund in the
10State Treasury which is hereby created. On or before the 25th
11day of each calendar month, the Department shall prepare and
12certify to the State Comptroller the disbursement of stated
13sums of money to named counties for which taxpayers have paid
14taxes or penalties hereunder to the Department during the
15second preceding calendar month. The amount to be paid to each
16county shall be the amount (not including credit memoranda)
17collected hereunder from retailers within the county during the
18second preceding calendar month by the Department, but not
19including an amount equal to the amount of refunds made during
20the second preceding calendar month by the Department on behalf
21of the county; less 2% of the balance, which sum shall be
22retained by the State Treasurer to cover the costs incurred by
23the Department in administering and enforcing the provisions of
24this Section. The Department, at the time of each monthly
25disbursement to the counties, shall prepare and certify to the
26Comptroller the amount so retained by the State Treasurer,

 

 

SB0119 Enrolled- 309 -LRB101 06854 HLH 51885 b

1which shall be transferred into the Tax Compliance and
2Administration Fund.
3    (e) (f) Nothing in this Section shall be construed to
4authorize a county to impose a tax upon the privilege of
5engaging in any business which under the Constitution of the
6United States may not be made the subject of taxation by this
7State.
8    (f) Until January 1, 2020, an (g) An ordinance or
9resolution imposing a tax hereunder or effecting a change in
10the rate thereof shall be effective on the first day of the
11second calendar month next following the month in which the
12ordinance or resolution is adopted and a certified copy thereof
13is filed with the Department of Revenue, whereupon the
14Department of Revenue shall proceed to administer and enforce
15this Section on behalf of the county as of the effective date
16of the ordinance or resolution.
17    On and after January 1, 2020, an ordinance or resolution
18imposing or discontinuing the tax hereunder or effecting a
19change in the rate thereof shall either: (i) be adopted and a
20certified copy thereof filed with the Department on or before
21the first day of April, whereupon the Department shall proceed
22to administer and enforce this Section as of the first day of
23July next following the adoption and filing; or (ii) be adopted
24and a certified copy thereof filed with the Department on or
25before the first day of October, whereupon the Department shall
26proceed to administer and enforce this Section as of the first

 

 

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1day of January next following the adoption and filing.
2    Upon a change in rate of a tax levied hereunder, or upon
3the discontinuance of the tax, the county board of the county
4shall, on or not later than 5 days after the effective date of
5the ordinance or resolution discontinuing the tax or effecting
6a change in rate, transmit to the Department of Revenue a
7certified copy of the ordinance or resolution effecting the
8change or discontinuance.
9    (g) (h) This Section shall be known and may be cited as the
10County Motor Fuel Tax Law.
11(Source: P.A. 101-10, eff. 6-5-19; 101-32, eff. 6-28-19;
12101-275, eff. 8-9-19; revised 9-10-19.)
 
13    (55 ILCS 5/5-1184 rep.)
14    Section 10-65. The Counties Code is amended by repealing
15Section 5-1184.
 
16    Section 10-70. The Illinois Municipal Code is amended by
17changing Sections 8-11-1, 8-11-1.3, 8-11-1.4, 8-11-1.6,
188-11-1.7, 8-11-2.3, 8-11-5, 11-74.3-6, and 11-101-3 as
19follows:
 
20    (65 ILCS 5/8-11-1)  (from Ch. 24, par. 8-11-1)
21    Sec. 8-11-1. Home Rule Municipal Retailers' Occupation Tax
22Act. The corporate authorities of a home rule municipality may
23impose a tax upon all persons engaged in the business of

 

 

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1selling tangible personal property, other than an item of
2tangible personal property titled or registered with an agency
3of this State's government, at retail in the municipality on
4the gross receipts from these sales made in the course of such
5business. If imposed, the tax shall only be imposed in 1/4%
6increments. On and after September 1, 1991, this additional tax
7may not be imposed on tangible personal property taxed at the
81% rate under the Retailers' Occupation Tax Act. Beginning
9December 1, 2019, this tax is not imposed on sales of aviation
10fuel unless the tax revenue is expended for airport-related
11purposes. If a municipality does not have an airport-related
12purpose to which it dedicates aviation fuel tax revenue, then
13aviation fuel is excluded from the tax. Each municipality must
14comply with the certification requirements for airport-related
15purposes under Section 2-22 of the Retailers' Occupation Tax
16Act 8-11-22. For purposes of this Section Act, "airport-related
17purposes" has the meaning ascribed in Section 6z-20.2 of the
18State Finance Act. This exclusion for aviation fuel only
19applies for so long as the revenue use requirements of 49
20U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
21municipality. The changes made to this Section by this
22amendatory Act of the 101st General Assembly are a denial and
23limitation of home rule powers and functions under subsection
24(g) of Section 6 of Article VII of the Illinois Constitution.
25The tax imposed by a home rule municipality under this Section
26and all civil penalties that may be assessed as an incident of

 

 

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1the tax shall be collected and enforced by the State Department
2of Revenue. The certificate of registration that is issued by
3the Department to a retailer under the Retailers' Occupation
4Tax Act shall permit the retailer to engage in a business that
5is taxable under any ordinance or resolution enacted pursuant
6to this Section without registering separately with the
7Department under such ordinance or resolution or under this
8Section. The Department shall have full power to administer and
9enforce this Section; to collect all taxes and penalties due
10hereunder; to dispose of taxes and penalties so collected in
11the manner hereinafter provided; and to determine all rights to
12credit memoranda arising on account of the erroneous payment of
13tax or penalty hereunder. In the administration of, and
14compliance with, this Section the Department and persons who
15are subject to this Section shall have the same rights,
16remedies, privileges, immunities, powers and duties, and be
17subject to the same conditions, restrictions, limitations,
18penalties and definitions of terms, and employ the same modes
19of procedure, as are prescribed in Sections 1, 1a, 1d, 1e, 1f,
201i, 1j, 1k, 1m, 1n, 2 through 2-65 (in respect to all
21provisions therein other than the State rate of tax), 2c, 3
22(except as to the disposition of taxes and penalties collected,
23and except that the retailer's discount is not allowed for
24taxes paid on aviation fuel that are subject to the revenue use
25requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133
26deposited into the Local Government Aviation Trust Fund), 4, 5,

 

 

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

 

 

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1hereunder for deposit into the Home Rule Municipal Retailers'
2Occupation Tax Fund. Taxes and penalties collected on aviation
3fuel sold on or after December 1, 2019, shall be immediately
4paid over by the Department to the State Treasurer, ex officio,
5as trustee, for deposit into the Local Government Aviation
6Trust Fund. The Department shall only pay moneys into the Local
7Government Aviation Trust Fund under this Section Act for so
8long as the revenue use requirements of 49 U.S.C. 47107(b) and
949 U.S.C. 47133 are binding on the State.
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 retailers have paid
23taxes or penalties hereunder to the Department during the
24second preceding calendar month. The amount to be paid to each
25municipality shall be the amount (not including credit
26memoranda and not including taxes and penalties collected on

 

 

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1aviation fuel sold on or after December 1, 2019) collected
2hereunder during the second preceding calendar month by the
3Department plus an amount the Department determines is
4necessary to offset any amounts that were erroneously paid to a
5different taxing body, and not including an amount equal to the
6amount of refunds made during the second preceding calendar
7month by the Department 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, less 1.5% of the
13remainder, which the Department shall transfer into the Tax
14Compliance and Administration Fund. The Department, at the time
15of each monthly disbursement to the municipalities, shall
16prepare and certify to the State Comptroller the amount to be
17transferred into the Tax Compliance and Administration Fund
18under this Section. Within 10 days after receipt by the
19Comptroller of the disbursement certification to the
20municipalities and the Tax Compliance and Administration Fund
21provided for in this Section to be given to the Comptroller by
22the Department, the Comptroller shall cause the orders to be
23drawn for the respective amounts in accordance with the
24directions contained in the certification.
25    In addition to the disbursement required by the preceding
26paragraph and in order to mitigate delays caused by

 

 

SB0119 Enrolled- 316 -LRB101 06854 HLH 51885 b

1distribution procedures, an allocation shall, if requested, be
2made within 10 days after January 14, 1991, and in November of
31991 and each year thereafter, to each municipality that
4received more than $500,000 during the preceding fiscal year,
5(July 1 through June 30) whether collected by the municipality
6or disbursed by the Department as required by this Section.
7Within 10 days after January 14, 1991, participating
8municipalities shall notify the Department in writing of their
9intent to participate. In addition, for the initial
10distribution, participating municipalities shall certify to
11the Department the amounts collected by the municipality for
12each month under its home rule occupation and service
13occupation tax during the period July 1, 1989 through June 30,
141990. The allocation within 10 days after January 14, 1991,
15shall be in an amount equal to the monthly average of these
16amounts, excluding the 2 months of highest receipts. The
17monthly average for the period of July 1, 1990 through June 30,
181991 will be determined as follows: the amounts collected by
19the municipality under its home rule occupation and service
20occupation tax during the period of July 1, 1990 through
21September 30, 1990, plus amounts collected by the Department
22and paid to such municipality through June 30, 1991, excluding
23the 2 months of highest receipts. The monthly average for each
24subsequent period of July 1 through June 30 shall be an amount
25equal to the monthly distribution made to each such
26municipality under the preceding paragraph during this period,

 

 

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1excluding the 2 months of highest receipts. The distribution
2made in November 1991 and each year thereafter under this
3paragraph and the preceding paragraph shall be reduced by the
4amount allocated and disbursed under this paragraph in the
5preceding period of July 1 through June 30. The Department
6shall prepare and certify to the Comptroller for disbursement
7the allocations made in accordance with this paragraph.
8    For the purpose of determining the local governmental unit
9whose tax is applicable, a retail sale by a producer of coal or
10other mineral mined in Illinois is a sale at retail at the
11place where the coal or other mineral mined in Illinois is
12extracted from the earth. This paragraph does not apply to coal
13or other mineral when it is delivered or shipped by the seller
14to the purchaser at a point outside Illinois so that the sale
15is exempt under the United States Constitution as a sale in
16interstate or foreign commerce.
17    Nothing in this Section shall be construed to authorize a
18municipality to impose a tax upon the privilege of engaging in
19any business which under the Constitution of the United States
20may not be made the subject of taxation by this State.
21    An ordinance or resolution imposing or discontinuing a 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 June, whereupon the Department
25shall proceed to administer and enforce this Section as of the
26first day of September next following the adoption and filing.

 

 

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1Beginning January 1, 1992, an ordinance or resolution imposing
2or discontinuing the tax hereunder or effecting a change in the
3rate thereof shall be adopted and a certified copy thereof
4filed with the Department on or before the first day of July,
5whereupon the Department shall proceed to administer and
6enforce this Section as of the first day of October next
7following such adoption and filing. Beginning January 1, 1993,
8an ordinance or resolution imposing or discontinuing the 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 October, whereupon the Department
12shall proceed to administer and enforce this Section as of the
13first day of January next following the adoption and filing.
14However, a municipality located in a county with a population
15in excess of 3,000,000 that elected to become a home rule unit
16at the general primary election in 1994 may adopt an ordinance
17or resolution imposing the tax under this Section and file a
18certified copy of the ordinance or resolution with the
19Department on or before July 1, 1994. The Department shall then
20proceed to administer and enforce this Section as of October 1,
211994. Beginning April 1, 1998, an ordinance or resolution
22imposing or discontinuing the tax hereunder or effecting a
23change in the rate thereof shall either (i) be adopted and a
24certified copy thereof filed with the Department on or before
25the first day of April, whereupon the Department shall proceed
26to administer and enforce this Section as of the first day of

 

 

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1July next following the adoption and filing; or (ii) be adopted
2and a certified copy thereof filed with the Department on or
3before the first day of October, whereupon the Department shall
4proceed to administer and enforce this Section as of the first
5day of January next following the adoption and filing.
6    When certifying the amount of a monthly disbursement to a
7municipality under this Section, the Department shall increase
8or decrease the amount by an amount necessary to offset any
9misallocation of previous disbursements. The offset amount
10shall be the amount erroneously disbursed within the previous 6
11months from the time a misallocation is discovered.
12    Any unobligated balance remaining in the Municipal
13Retailers' Occupation Tax Fund on December 31, 1989, which fund
14was abolished by Public Act 85-1135, and all receipts of
15municipal tax as a result of audits of liability periods prior
16to January 1, 1990, shall be paid into the Local Government Tax
17Fund for distribution as provided by this Section prior to the
18enactment of Public Act 85-1135. All receipts of municipal tax
19as a result of an assessment not arising from an audit, for
20liability periods prior to January 1, 1990, shall be paid into
21the Local Government Tax Fund for distribution before July 1,
221990, as provided by this Section prior to the enactment of
23Public Act 85-1135; and on and after July 1, 1990, all such
24receipts shall be distributed as provided in Section 6z-18 of
25the State Finance Act.
26    As used in this Section, "municipal" and "municipality"

 

 

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1means a city, village or incorporated town, including an
2incorporated town that has superseded a civil township.
3    This Section shall be known and may be cited as the Home
4Rule Municipal Retailers' Occupation Tax Act.
5(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18;
6100-1171, eff. 1-4-19; 101-10, eff. 6-5-19; 101-81, eff.
77-12-19.)
 
8    (65 ILCS 5/8-11-1.3)  (from Ch. 24, par. 8-11-1.3)
9    Sec. 8-11-1.3. Non-Home Rule Municipal Retailers'
10Occupation Tax Act. The corporate authorities of a non-home
11rule municipality may impose a tax upon all persons engaged in
12the business of selling tangible personal property, other than
13on an item of tangible personal property which is titled and
14registered by an agency of this State's Government, at retail
15in the municipality for expenditure on public infrastructure or
16for property tax relief or both as defined in Section 8-11-1.2
17if approved by referendum as provided in Section 8-11-1.1, of
18the gross receipts from such sales made in the course of such
19business. If the tax is approved by referendum on or after July
2014, 2010 (the effective date of Public Act 96-1057), the
21corporate authorities of a non-home rule municipality may,
22until July 1, 2030, use the proceeds of the tax for expenditure
23on municipal operations, in addition to or in lieu of any
24expenditure on public infrastructure or for property tax
25relief. The tax imposed may not be more than 1% and may be

 

 

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1imposed only in 1/4% increments. The tax may not be imposed on
2tangible personal property taxed at the 1% rate under the
3Retailers' Occupation Tax Act. Beginning December 1, 2019, this
4tax is not imposed on sales of aviation fuel unless the tax
5revenue is expended for airport-related purposes. If a
6municipality does not have an airport-related purpose to which
7it dedicates aviation fuel tax revenue, then aviation fuel is
8excluded from the tax. Each municipality must comply with the
9certification requirements for airport-related purposes under
10Section 2-22 of the Retailers' Occupation Tax Act 8-11-22. For
11purposes of this Section Act, "airport-related purposes" has
12the meaning ascribed in Section 6z-20.2 of the State Finance
13Act. This exclusion for aviation fuel only applies for so long
14as the revenue use requirements of 49 U.S.C. 47107(b) and 49
15U.S.C. 47133 are binding on the municipality. The tax imposed
16by a municipality pursuant to this Section and all civil
17penalties that may be assessed as an incident thereof shall be
18collected and enforced by the State Department of Revenue. The
19certificate of registration which is issued by the Department
20to a retailer under the Retailers' Occupation Tax Act shall
21permit such retailer to engage in a business which is taxable
22under any ordinance or resolution enacted pursuant to this
23Section without registering separately with the Department
24under such ordinance or resolution or under this Section. The
25Department shall have full power to administer and enforce this
26Section; to collect all taxes and penalties due hereunder; to

 

 

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1dispose of taxes and penalties so collected in the manner
2hereinafter provided, and to determine all rights to credit
3memoranda, arising on account of the erroneous payment of tax
4or penalty hereunder. In the administration of, and compliance
5with, this Section, the Department and persons who are subject
6to this Section shall have the same rights, remedies,
7privileges, immunities, powers and duties, and be subject to
8the same conditions, restrictions, limitations, penalties and
9definitions of terms, and employ the same modes of procedure,
10as are prescribed in Sections 1, 1a, 1a-1, 1d, 1e, 1f, 1i, 1j,
112 through 2-65 (in respect to all provisions therein other than
12the State rate of tax), 2c, 3 (except as to the disposition of
13taxes and penalties collected, and except that the retailer's
14discount is not allowed for taxes paid on aviation fuel that
15are subject to the revenue use requirements of 49 U.S.C.
1647107(b) and 49 U.S.C. 47133 deposited into the Local
17Government Aviation Trust Fund), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f,
185g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d, 7, 8, 9, 10, 11, 12
19and 13 of the Retailers' 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    No municipality may impose a tax under this Section unless
23the municipality also imposes a tax at the same rate under
24Section 8-11-1.4 of this Code.
25    Persons subject to any tax imposed pursuant to the
26authority granted in this Section may reimburse themselves for

 

 

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1their seller's tax liability hereunder by separately stating
2such tax as an additional charge, which charge may be stated in
3combination, in a single amount, with State tax which sellers
4are required to collect under the Use Tax Act, pursuant to such
5bracket 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 a
8credit memorandum, the Department shall notify the State
9Comptroller, who shall cause the order to be drawn for the
10amount specified, and to the person named, in such notification
11from the Department. Such refund shall be paid by the State
12Treasurer out of the non-home rule municipal retailers'
13occupation tax fund or the Local Government Aviation Trust
14Fund, as appropriate.
15    Except as otherwise provided, the Department shall
16forthwith pay over to the State Treasurer, ex officio, as
17trustee, all taxes and penalties collected hereunder for
18deposit into the Non-Home Rule Municipal Retailers' Occupation
19Tax Fund. Taxes and penalties collected on aviation fuel sold
20on or after December 1, 2019, shall be immediately paid over by
21the Department to the State Treasurer, ex officio, as trustee,
22for deposit into the Local Government Aviation Trust Fund. The
23Department shall only pay moneys into the Local Government
24Aviation Trust Fund under this Section Act for so long as the
25revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
2647133 are binding on the municipality.

 

 

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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
11Department shall prepare and certify to the Comptroller the
12disbursement of stated sums of money to named municipalities,
13the municipalities to be those from which retailers have paid
14taxes or penalties hereunder to the Department during the
15second preceding calendar month. The amount to be paid to each
16municipality shall be the amount (not including credit
17memoranda and not including taxes and penalties collected on
18aviation fuel sold on or after December 1, 2019) collected
19hereunder during the second preceding calendar month by the
20Department plus an amount the Department determines is
21necessary to offset any amounts which were erroneously paid to
22a different taxing body, and not including an amount equal to
23the amount of refunds made during the second preceding calendar
24month by the Department on behalf of such municipality, and not
25including any amount which the Department determines is
26necessary to offset any amounts which were payable to a

 

 

SB0119 Enrolled- 325 -LRB101 06854 HLH 51885 b

1different taxing body but were erroneously paid to the
2municipality, and not including any amounts that are
3transferred to the STAR Bonds Revenue Fund, less 1.5% of the
4remainder, which the Department shall transfer into the Tax
5Compliance and Administration Fund. The Department, at the time
6of each monthly disbursement to the municipalities, shall
7prepare and certify to the State Comptroller the amount to be
8transferred into the Tax Compliance and Administration Fund
9under this Section. Within 10 days after receipt, by the
10Comptroller, of the disbursement certification to the
11municipalities and the Tax Compliance and Administration Fund
12provided for in this Section to be given to the Comptroller by
13the Department, the Comptroller shall cause the orders to be
14drawn for the respective amounts in accordance with the
15directions contained in such certification.
16    For the purpose of determining the local governmental unit
17whose tax is applicable, a retail sale, by a producer of coal
18or other mineral mined in Illinois, is a sale at retail at the
19place where the coal or other mineral mined in Illinois is
20extracted from the earth. This paragraph does not apply to coal
21or other mineral when it is delivered or shipped by the seller
22to the purchaser at a point outside Illinois so that the sale
23is exempt under the Federal Constitution as a sale in
24interstate or foreign commerce.
25    Nothing in this Section shall be construed to authorize a
26municipality to impose a tax upon the privilege of engaging in

 

 

SB0119 Enrolled- 326 -LRB101 06854 HLH 51885 b

1any business which under the constitution of the United States
2may not be made the subject of taxation by this State.
3    When certifying the amount of a monthly disbursement to a
4municipality under this Section, the Department shall increase
5or decrease such amount by an amount necessary to offset any
6misallocation of previous disbursements. The offset amount
7shall be the amount erroneously disbursed within the previous 6
8months from the time a misallocation is discovered.
9    The Department of Revenue shall implement Public Act 91-649
10so as to collect the tax on and after January 1, 2002.
11    As used in this Section, "municipal" and "municipality"
12mean means a city, village, or incorporated town, including an
13incorporated town which has superseded a civil township.
14    This Section shall be known and may be cited as the
15"Non-Home Rule Municipal Retailers' Occupation Tax Act".
16(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18;
17100-1171, eff. 1-4-19; 101-10, eff. 6-5-19; 101-47, eff.
181-1-20; 101-81, eff. 7-12-19; revised 8-19-19.)
 
19    (65 ILCS 5/8-11-1.4)  (from Ch. 24, par. 8-11-1.4)
20    Sec. 8-11-1.4. Non-Home Rule Municipal Service Occupation
21Tax Act. The corporate authorities of a non-home rule
22municipality may impose a tax upon all persons engaged, in such
23municipality, in the business of making sales of service for
24expenditure on public infrastructure or for property tax relief
25or both as defined in Section 8-11-1.2 if approved by

 

 

SB0119 Enrolled- 327 -LRB101 06854 HLH 51885 b

1referendum as provided in Section 8-11-1.1, of the selling
2price of all tangible personal property transferred by such
3servicemen either in the form of tangible personal property or
4in the form of real estate as an incident to a sale of service.
5If the tax is approved by referendum on or after July 14, 2010
6(the effective date of Public Act 96-1057), the corporate
7authorities of a non-home rule municipality may, until December
831, 2020, use the proceeds of the tax for expenditure on
9municipal operations, in addition to or in lieu of any
10expenditure 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
13tangible personal property taxed at the 1% rate under the
14Service Occupation Tax Act. Beginning December 1, 2019, this
15tax is not imposed on sales of aviation fuel unless the tax
16revenue is expended for airport-related purposes. If a
17municipality does not have an airport-related purpose to which
18it dedicates aviation fuel tax revenue, then aviation fuel is
19excluded from the tax. Each municipality must comply with the
20certification requirements for airport-related purposes under
21Section 2-22 of the Retailers' Occupation Tax Act 8-11-22. For
22purposes of this Section Act, "airport-related purposes" has
23the meaning ascribed in Section 6z-20.2 of the State Finance
24Act. This exclusion for aviation fuel only applies for so long
25as the revenue use requirements of 49 U.S.C. 47107(b) and 49
26U.S.C. 47133 are binding on the municipality. The tax imposed

 

 

SB0119 Enrolled- 328 -LRB101 06854 HLH 51885 b

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

 

 

SB0119 Enrolled- 329 -LRB101 06854 HLH 51885 b

1Section 8 shall be the taxing municipality), 9 (except as to
2the disposition of taxes and penalties collected, and except
3that the returned merchandise credit for this municipal tax may
4not be taken against any State tax, and except that the
5retailer's discount is not allowed for taxes paid on aviation
6fuel that are subject to the revenue use requirements of 49
7U.S.C. 47107(b) and 49 U.S.C. 47133 deposited into the Local
8Government Aviation Trust Fund), 10, 11, 12 (except the
9reference therein to Section 2b of the Retailers' Occupation
10Tax Act), 13 (except that any reference to the State shall mean
11the taxing municipality), the first paragraph of Section 15,
1216, 17, 18, 19 and 20 of the Service Occupation Tax Act and
13Section 3-7 of the Uniform Penalty and Interest Act, as fully
14as if those provisions were set forth herein.
15    No municipality may impose a tax under this Section unless
16the municipality also imposes a tax at the same rate under
17Section 8-11-1.3 of this Code.
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

 

 

SB0119 Enrolled- 330 -LRB101 06854 HLH 51885 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 municipal retailers' occupation tax fund or the
7Local Government Aviation Trust Fund, as appropriate.
8    Except as otherwise provided in this paragraph, the
9Department shall forthwith pay over to the State Treasurer, ex
10officio, as trustee, all taxes and penalties collected
11hereunder for deposit into the municipal retailers' occupation
12tax fund. Taxes and penalties collected on aviation fuel sold
13on or after December 1, 2019, shall be immediately paid over by
14the Department to the State Treasurer, ex officio, as trustee,
15for deposit into the Local Government Aviation Trust Fund. The
16Department shall only pay moneys into the Local Government
17Aviation Trust Fund under this Section Act for so long as the
18revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
1947133 are binding on the municipality.
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

 

 

SB0119 Enrolled- 331 -LRB101 06854 HLH 51885 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 and not including taxes and
11penalties collected on aviation fuel sold on or after December
121, 2019) collected hereunder during the second preceding
13calendar month by the Department, and not including an amount
14equal to the amount of refunds made during the second preceding
15calendar month by the Department on behalf of such
16municipality, and not including any amounts that are
17transferred to the STAR Bonds Revenue Fund, less 1.5% of the
18remainder, which the Department shall transfer into the Tax
19Compliance and Administration Fund. The Department, at the time
20of each monthly disbursement to the municipalities, shall
21prepare and certify to the State Comptroller the amount to be
22transferred into the Tax Compliance and Administration Fund
23under this Section. Within 10 days after receipt, by the
24Comptroller, of the disbursement certification to the
25municipalities, the General Revenue Fund, and the Tax
26Compliance and Administration Fund provided for in this Section

 

 

SB0119 Enrolled- 332 -LRB101 06854 HLH 51885 b

1to 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    The Department of Revenue shall implement Public Act 91-649
6so as to collect the tax on and after January 1, 2002.
7    Nothing in this Section shall be construed to authorize a
8municipality to impose a tax upon the privilege of engaging in
9any business which under the constitution of the United States
10may not be made the subject of taxation by this State.
11    As used in this Section, "municipal" or "municipality"
12means or refers to a city, village or incorporated town,
13including an incorporated town which has superseded a civil
14township.
15    This Section shall be known and may be cited as the
16"Non-Home Rule Municipal Service Occupation Tax Act".
17(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18;
18100-1171, eff. 1-4-19; 101-10, eff. 6-5-19; 101-81, eff.
197-12-19.)
 
20    (65 ILCS 5/8-11-1.6)
21    Sec. 8-11-1.6. Non-home rule municipal retailers'
22occupation tax; municipalities between 20,000 and 25,000. The
23corporate authorities of a non-home rule municipality with a
24population of more than 20,000 but less than 25,000 that has,
25prior to January 1, 1987, established a Redevelopment Project

 

 

SB0119 Enrolled- 333 -LRB101 06854 HLH 51885 b

1Area that has been certified as a State Sales Tax Boundary and
2has issued bonds or otherwise incurred indebtedness to pay for
3costs in excess of $5,000,000, which is secured in part by a
4tax increment allocation fund, in accordance with the
5provisions of Division 11-74.4 of this Code may, by passage of
6an ordinance, impose a tax upon all persons engaged in the
7business of selling tangible personal property, other than on
8an item of tangible personal property that is titled and
9registered by an agency of this State's Government, at retail
10in the municipality. This tax may not be imposed on tangible
11personal property taxed at the 1% rate under the Retailers'
12Occupation Tax Act. Beginning December 1, 2019, this tax is not
13imposed on sales of aviation fuel unless the tax revenue is
14expended for airport-related purposes. If a municipality does
15not have an airport-related purpose to which it dedicates
16aviation fuel tax revenue, then aviation fuel is excluded from
17the tax. Each municipality must comply with the certification
18requirements for airport-related purposes under Section 2-22
19of the Retailers' Occupation Tax Act 8-11-22. For purposes of
20this Section Act, "airport-related purposes" has the meaning
21ascribed in Section 6z-20.2 of the State Finance Act. This
22exclusion for aviation fuel only applies for so long as the
23revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
2447133 are binding on the municipality. If imposed, the tax
25shall only be imposed in .25% increments of the gross receipts
26from such sales made in the course of business. Any tax imposed

 

 

SB0119 Enrolled- 334 -LRB101 06854 HLH 51885 b

1by a municipality under 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. An ordinance
4imposing a tax hereunder or effecting a change in the rate
5thereof shall be adopted and a certified copy thereof filed
6with the Department on or before the first day of October,
7whereupon the Department shall proceed to administer and
8enforce this Section as of the first day of January next
9following such adoption and filing. The certificate of
10registration that is issued by the Department to a retailer
11under the Retailers' Occupation Tax Act shall permit the
12retailer to engage in a business that is taxable under any
13ordinance or resolution enacted under this Section without
14registering separately with the Department under the ordinance
15or resolution or under this Section. The Department shall have
16full power to administer and enforce this Section, to collect
17all taxes and penalties due hereunder, to dispose of taxes and
18penalties so collected in the manner hereinafter provided, and
19to determine all rights to credit memoranda, arising on account
20of the erroneous payment of tax or penalty hereunder. In the
21administration of, and compliance with this Section, the
22Department and persons who are subject to this Section shall
23have the same rights, remedies, privileges, immunities,
24powers, and duties, and be subject to the same conditions,
25restrictions, limitations, penalties, and definitions of
26terms, and employ the same modes of procedure, as are

 

 

SB0119 Enrolled- 335 -LRB101 06854 HLH 51885 b

1prescribed in Sections 1, 1a, 1a-1, 1d, 1e, 1f, 1i, 1j, 2
2through 2-65 (in respect to all provisions therein other than
3the State rate of tax), 2c, 3 (except as to the disposition of
4taxes and penalties collected, and except that the retailer's
5discount is not allowed for taxes paid on aviation fuel that
6are subject to the revenue use requirements of 49 U.S.C.
747107(b) and 49 U.S.C. 47133 deposited into the Local
8Government Aviation Trust Fund), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f,
95g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d, 7, 8, 9, 10, 11, 12
10and 13 of the Retailers' 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    A tax may not be imposed by a municipality under this
14Section unless the municipality also imposes a tax at the same
15rate under Section 8-11-1.7 of this Act.
16    Persons subject to any tax imposed under the authority
17granted in this Section may reimburse themselves for their
18seller's tax liability hereunder by separately stating the tax
19as an additional charge, which charge may be stated in
20combination, in a single amount, with State tax which sellers
21are required to collect under the Use Tax Act, pursuant to such
22bracket schedules as the Department may prescribe.
23    Whenever the Department determines that a refund should be
24made under this Section to a claimant, instead of issuing a
25credit memorandum, the Department shall notify the State
26Comptroller, who shall cause the order to be drawn for the

 

 

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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 Non-Home Rule Municipal Retailers'
4Occupation Tax Fund, which is hereby created or the Local
5Government Aviation Trust Fund, as appropriate.
6    Except as otherwise provided in this paragraph, the
7Department shall forthwith pay over to the State Treasurer, ex
8officio, as trustee, all taxes and penalties collected
9hereunder for deposit into the Non-Home Rule Municipal
10Retailers' Occupation Tax Fund. Taxes and penalties collected
11on aviation fuel sold on or after December 1, 2019, shall be
12immediately paid over by the Department to the State Treasurer,
13ex officio, as trustee, for deposit into the Local Government
14Aviation Trust Fund. The Department shall only pay moneys into
15the Local Government Aviation Trust Fund under this Section Act
16for so long as the revenue use requirements of 49 U.S.C.
1747107(b) and 49 U.S.C. 47133 are binding on the municipality.
18    As soon as possible after the first day of each month,
19beginning January 1, 2011, upon certification of the Department
20of Revenue, the Comptroller shall order transferred, and the
21Treasurer shall transfer, to the STAR Bonds Revenue Fund the
22local sales tax increment, as defined in the Innovation
23Development and Economy Act, collected under this Section
24during the second preceding calendar month for sales within a
25STAR bond district.
26    After the monthly transfer to the STAR Bonds Revenue Fund,

 

 

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1on or before the 25th day of each calendar month, the
2Department shall prepare and certify to the Comptroller the
3disbursement of stated sums of money to named municipalities,
4the municipalities to be those from which retailers have paid
5taxes or penalties hereunder to the Department during the
6second preceding calendar month. The amount to be paid to each
7municipality shall be the amount (not including credit
8memoranda and not including taxes and penalties collected on
9aviation fuel sold on or after December 1, 2019) collected
10hereunder during the second preceding calendar month by the
11Department plus an amount the Department determines is
12necessary to offset any amounts that were erroneously paid to a
13different taxing body, and not including an amount equal to the
14amount of refunds made during the second preceding calendar
15month by the Department on behalf of the municipality, and not
16including any amount that the Department determines is
17necessary to offset any amounts that were payable to a
18different taxing body but were erroneously paid to the
19municipality, and not including any amounts that are
20transferred to the STAR Bonds Revenue Fund, less 1.5% of the
21remainder, which the Department shall transfer into the Tax
22Compliance and Administration Fund. The Department, at the time
23of each monthly disbursement to the municipalities, shall
24prepare and certify to the State Comptroller the amount to be
25transferred into the Tax Compliance and Administration Fund
26under this Section. Within 10 days after receipt by the

 

 

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1Comptroller of the disbursement certification to the
2municipalities and the Tax Compliance and Administration Fund
3provided for in this Section to be given to the Comptroller by
4the Department, the Comptroller shall cause the orders to be
5drawn for the respective amounts in accordance with the
6directions contained in the certification.
7    For the purpose of determining the local governmental unit
8whose tax is applicable, a retail sale by a producer of coal or
9other mineral mined in Illinois is a sale at retail at the
10place where the coal or other mineral mined in Illinois is
11extracted from the earth. This paragraph does not apply to coal
12or other mineral when it is delivered or shipped by the seller
13to the purchaser at a point outside Illinois so that the sale
14is exempt under the federal Constitution as a sale in
15interstate or foreign commerce.
16    Nothing in this Section shall be construed to authorize a
17municipality to impose a tax upon the privilege of engaging in
18any business which under the constitution of the United States
19may not be made the subject of taxation by this State.
20    When certifying the amount of a monthly disbursement to a
21municipality under this Section, the Department shall increase
22or decrease the amount 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    As used in this Section, "municipal" and "municipality"

 

 

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1means a city, village, or incorporated town, including an
2incorporated town that has superseded a civil township.
3(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18;
4100-863, eff. 8-14-18; 100-1171, eff. 1-4-19; 101-10, eff.
56-5-19; 101-81, eff. 7-12-19.)
 
6    (65 ILCS 5/8-11-1.7)
7    Sec. 8-11-1.7. Non-home rule municipal service occupation
8tax; municipalities between 20,000 and 25,000. The corporate
9authorities of a non-home rule municipality with a population
10of more than 20,000 but less than 25,000 as determined by the
11last preceding decennial census that has, prior to January 1,
121987, established a Redevelopment Project Area that has been
13certified as a State Sales Tax Boundary and has issued bonds or
14otherwise incurred indebtedness to pay for costs in excess of
15$5,000,000, which is secured in part by a tax increment
16allocation fund, in accordance with the provisions of Division
1711-74.4 of this Code may, by passage of an ordinance, impose a
18tax upon all persons engaged in the municipality in the
19business of making sales of service. If imposed, the tax shall
20only be imposed in .25% increments of the selling price of all
21tangible personal property transferred by such servicemen
22either in the form of tangible personal property or in the form
23of real estate as an incident to a sale of service. This tax
24may not be imposed on tangible personal property taxed at the
251% rate under the Service Occupation Tax Act. Beginning

 

 

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1December 1, 2019, this tax is not imposed on sales of aviation
2fuel unless the tax revenue is expended for airport-related
3purposes. If a municipality does not have an airport-related
4purpose to which it dedicates aviation fuel tax revenue, then
5aviation fuel is excluded from the tax. Each municipality must
6comply with the certification requirements for airport-related
7purposes under Section 2-22 of the Retailers' Occupation Tax
8Act 8-11-22. For purposes of this Section Act, "airport-related
9purposes" has the meaning ascribed in Section 6z-20.2 of the
10State Finance Act. This exclusion for aviation fuel only
11applies for so long as the revenue use requirements of 49
12U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
13municipality. The tax imposed by a municipality under this
14Section and all civil penalties that may be assessed as an
15incident thereof shall be collected and enforced by the State
16Department of Revenue. An ordinance imposing a tax hereunder or
17effecting a change in the rate thereof shall be adopted and a
18certified copy thereof filed with the Department on or before
19the first day of October, whereupon the Department shall
20proceed to administer and enforce this Section as of the first
21day of January next following such adoption and filing. The
22certificate of registration that is issued by the Department to
23a retailer under the Retailers' Occupation Tax Act or under the
24Service Occupation Tax Act shall permit the registrant to
25engage in a business that is taxable under any ordinance or
26resolution enacted under this Section without registering

 

 

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1separately with the Department under the ordinance or
2resolution or under this Section. The Department shall have
3full power to administer and enforce this Section, to collect
4all taxes and penalties due hereunder, to dispose of taxes and
5penalties so collected in a manner hereinafter provided, and to
6determine all rights to credit memoranda arising on account of
7the erroneous payment of tax or penalty hereunder. In the
8administration of and compliance with this Section, the
9Department and persons who are subject to this Section shall
10have the same rights, remedies, privileges, immunities,
11powers, and duties, and be subject to the same conditions,
12restrictions, limitations, penalties and definitions of terms,
13and employ the same modes of procedure, as are prescribed in
14Sections 1a-1, 2, 2a, 3 through 3-50 (in respect to all
15provisions therein other than the State rate of tax), 4 (except
16that the reference to the State shall be to the taxing
17municipality), 5, 7, 8 (except that the jurisdiction to which
18the tax shall be a debt to the extent indicated in that Section
198 shall be the taxing municipality), 9 (except as to the
20disposition of taxes and penalties collected, and except that
21the returned merchandise credit for this municipal tax may not
22be taken against any State tax, and except that the retailer's
23discount is not allowed for taxes paid on aviation fuel that
24are subject to the revenue use requirements of 49 U.S.C.
2547107(b) and 49 U.S.C. 47133 deposited into the Local
26Government Aviation Trust Fund), 10, 11, 12, (except the

 

 

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1reference therein to Section 2b of the Retailers' Occupation
2Tax Act), 13 (except that any reference to the State shall mean
3the taxing municipality), the first paragraph of Sections 15,
416, 17, 18, 19, and 20 of the Service Occupation Tax Act and
5Section 3-7 of the Uniform Penalty and Interest Act, as fully
6as if those provisions were set forth herein.
7    A tax may not be imposed by a municipality under this
8Section unless the municipality also imposes a tax at the same
9rate under Section 8-11-1.6 of this Act.
10    Person subject to any tax imposed under the authority
11granted in this Section may reimburse themselves for their
12servicemen's tax liability hereunder by separately stating the
13tax as an additional charge, which charge may be stated in
14combination, in a single amount, with State tax that servicemen
15are authorized to collect under the Service Use Tax Act, under
16such bracket schedules as the Department may prescribe.
17    Whenever the Department determines that a refund should be
18made under this Section to a claimant instead of issuing credit
19memorandum, the Department shall notify the State Comptroller,
20who shall cause the order to be drawn for the amount specified,
21and to the person named, in such notification from the
22Department. The refund shall be paid by the State Treasurer out
23of the Non-Home Rule Municipal Retailers' Occupation Tax Fund
24or the Local Government Aviation Trust Fund, as appropriate.
25    Except as otherwise provided in this paragraph, the
26Department shall forthwith pay over to the State Treasurer, ex

 

 

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1officio, as trustee, all taxes and penalties collected
2hereunder for deposit into the Non-Home Rule Municipal
3Retailers' Occupation Tax Fund. Taxes and penalties collected
4on aviation fuel sold on or after December 1, 2019, shall be
5immediately paid over by the Department to the State Treasurer,
6ex officio, as trustee, for deposit into the Local Government
7Aviation Trust Fund. The Department shall only pay moneys into
8the Local Government Aviation Trust Fund under this Section Act
9for so long as the revenue use requirements of 49 U.S.C.
1047107(b) and 49 U.S.C. 47133 are binding on the Municipality.
11    As soon as possible after the first day of each month,
12beginning January 1, 2011, upon certification of the Department
13of Revenue, the Comptroller shall order transferred, and the
14Treasurer shall transfer, to the STAR Bonds Revenue Fund the
15local sales tax increment, as defined in the Innovation
16Development and Economy Act, collected under this Section
17during the second preceding calendar month for sales within a
18STAR bond district.
19    After the monthly transfer to the STAR Bonds Revenue Fund,
20on or before the 25th day of each calendar month, the
21Department shall prepare and certify to the Comptroller the
22disbursement of stated sums of money to named municipalities,
23the municipalities to be those from which suppliers and
24servicemen have paid taxes or penalties hereunder to the
25Department during the second preceding calendar month. The
26amount to be paid to each municipality shall be the amount (not

 

 

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1including credit memoranda and not including taxes and
2penalties collected on aviation fuel sold on or after December
31, 2019) collected hereunder during the second preceding
4calendar month by the Department, and not including an amount
5equal to the amount of refunds made during the second preceding
6calendar month by the Department on behalf of such
7municipality, and not including any amounts that are
8transferred to the STAR Bonds Revenue Fund, less 1.5% of the
9remainder, which the Department shall transfer into the Tax
10Compliance and Administration Fund. The Department, at the time
11of each monthly disbursement to the municipalities, shall
12prepare and certify to the State Comptroller the amount to be
13transferred into the Tax Compliance and Administration Fund
14under this Section. Within 10 days after receipt by the
15Comptroller of the disbursement certification to the
16municipalities, the Tax Compliance and Administration Fund,
17and the General Revenue Fund, provided for in this Section to
18be given to the Comptroller by the Department, the Comptroller
19shall cause the orders to be drawn for the respective amounts
20in accordance with the directions contained in the
21certification.
22    When certifying the amount of a monthly disbursement to a
23municipality under this Section, the Department shall increase
24or decrease the amount by an amount necessary to offset any
25misallocation of previous disbursements. The offset amount
26shall be the amount erroneously disbursed within the previous 6

 

 

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1months from the time a misallocation is discovered.
2    Nothing in this Section shall be construed to authorize a
3municipality to impose a tax upon the privilege of engaging in
4any business which under the constitution of the United States
5may not be made the subject of taxation by this State.
6(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18;
7100-863, eff. 8-14-18; 100-1171, eff. 1-4-19; 101-10, eff.
86-5-19; 101-81, eff. 7-12-19.)
 
9    (65 ILCS 5/8-11-2.3)
10    Sec. 8-11-2.3. Municipal Motor Fuel Tax Law Motor fuel tax.
11Notwithstanding any other provision of law, in addition to any
12other tax that may be imposed, a municipality in a county with
13a population of over 3,000,000 inhabitants may also impose, by
14ordinance, a tax upon all persons engaged in the municipality
15in the business of selling motor fuel, as defined in the Motor
16Fuel Tax Law, at retail for the operation of motor vehicles
17upon public highways or for the operation of recreational
18watercraft upon waterways. The tax may be imposed, in one cent
19increments, on motor fuel at a rate not to exceed $0.03 per
20gallon of motor fuel sold at retail within the municipality for
21the purpose of use or consumption and not for the purpose of
22resale. The tax may not be imposed under this Section on
23aviation fuel, as defined in Section 3 of the Retailers'
24Occupation Tax Act.
25    Persons subject to any tax imposed under the authority

 

 

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1granted in this Section may reimburse themselves for their
2seller's tax liability hereunder by separately stating that tax
3as an additional charge, which charge may be stated in
4combination, in a single amount, with State tax which sellers
5are required to collect under the Use Tax Act, pursuant to such
6bracket schedules as the Department may prescribe.
7    A tax imposed pursuant to this Section, and all civil
8penalties that may be assessed as an incident thereof, shall be
9administered, collected, and enforced by the Department of
10Revenue in the same manner as the tax imposed under the
11Retailers' Occupation Tax Act, as now or hereafter amended,
12insofar as may be practicable; except that in the event of a
13conflict with the provisions of this Section, this Section
14shall control. The Department of Revenue shall have full power
15to: administer and enforce this Section; collect all taxes and
16penalties due hereunder; dispose of taxes and penalties so
17collected in the manner hereinafter provided; and determine all
18rights to credit memoranda arising on account of the erroneous
19payment of tax or penalty hereunder.
20    Whenever the Department determines that a refund shall 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 Municipal Motor Fuel Tax Fund.

 

 

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1    A license that is issued to a distributor or a receiver
2under the Motor Fuel Tax Law shall permit that distributor or
3receiver to act as a distributor or receiver, as applicable,
4under this Section. The provisions of Sections 2b, 2d, 6, 6a,
512, 12a, 13, 13a.2, 13a.7, 13a.8, 15.1, and 21 of the Motor
6Fuel Tax Law that are not inconsistent with this Section shall
7apply as far as practicable to the subject matter of this
8Section to the same extent as if those provisions were included
9in this Section.
10    The Department shall immediately pay over to the State
11Treasurer, ex officio, as trustee, all taxes and penalties
12collected under this Section. Those taxes and penalties shall
13be deposited into the Municipal Motor Fuel Tax Fund, a trust
14fund created in the State treasury. Moneys in the Municipal
15Motor Fuel Tax Fund shall be used to make payments to
16municipalities and for the payment of refunds under this
17Section.
18    On or before the 25th day of each calendar month, the
19Department shall prepare and certify to the State Comptroller
20the disbursement of stated sums of money to named
21municipalities for which taxpayers have paid taxes or penalties
22hereunder to the Department during the second preceding
23calendar month. The amount to be paid to each municipality
24shall be the amount (not including credit memoranda) collected
25under this Section from retailers within the municipality
26during the second preceding calendar month by the Department

 

 

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1from the tax imposed by that municipality under this Section
2during the second preceding calendar month, plus an amount the
3Department determines is necessary to offset amounts that were
4erroneously paid to a different municipality, and not including
5an amount equal to the amount of refunds made during the second
6preceding calendar month by the Department on behalf of the
7municipality, and not including any amount that the Department
8determines is necessary to offset any amounts that were payable
9to a different municipality but were erroneously paid to the
10municipality, less 1.5% of the remainder, which the Department
11shall transfer into the Tax Compliance and Administration Fund.
12The Department, at the time of each monthly disbursement, shall
13prepare and certify to the State Comptroller the amount to be
14transferred into the Tax Compliance and Administration Fund
15under this Section. Within 10 days after receipt by the
16Comptroller of the disbursement certification to the
17municipalities and the Tax Compliance and Administration Fund
18provided for in this Section to be given to the Comptroller by
19the Department, the Comptroller shall cause the orders to be
20drawn for the respective amounts in accordance with the
21directions contained in the certification.
22    Nothing in this Section shall be construed to authorize a
23municipality to impose a tax upon the privilege of engaging in
24any business which under the Constitution of the United States
25may not be made the subject of taxation by this State.
26    An ordinance or resolution imposing or discontinuing the

 

 

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1tax under this Section or effecting a change in the rate
2thereof shall either: (i) be adopted and a certified copy
3thereof filed with the Department on or before the first day of
4April, whereupon the Department shall proceed to administer and
5enforce this Section as of the first day of July next following
6the adoption and filing; or (ii) be adopted and a certified
7copy thereof filed with the Department on or before the first
8day of October, whereupon the Department shall proceed to
9administer and enforce this Section as of the first day of
10January next following the adoption and filing.
11    An ordinance adopted in accordance with the provisions of
12this Section in effect before the effective date of this
13amendatory Act of the 101st General Assembly shall be deemed to
14impose the tax in accordance with the provisions of this
15Section as amended by this amendatory Act of the 101st General
16Assembly and shall be administered by the Department of Revenue
17in accordance with the provisions of this Section as amended by
18this amendatory Act of the 101st General Assembly; provided
19that, on or before October 1, 2020, the municipality adopts and
20files a certified copy of a superseding ordinance that imposes
21the tax in accordance with the provisions of this Section as
22amended by this amendatory Act of the 101st General Assembly.
23If a superseding ordinance is not so adopted and filed, then
24the tax imposed in accordance with the provisions of this
25Section in effect before the effective date of this amendatory
26Act of the 101st General Assembly shall be discontinued on

 

 

SB0119 Enrolled- 350 -LRB101 06854 HLH 51885 b

1January 1, 2021.
2    This Section shall be known and may be cited as the
3Municipal Motor Fuel Tax Law.
4(Source: P.A. 101-32, eff. 6-28-19.)
 
5    (65 ILCS 5/8-11-5)  (from Ch. 24, par. 8-11-5)
6    Sec. 8-11-5. Home Rule Municipal Service Occupation Tax
7Act. The corporate authorities of a home rule municipality may
8impose a tax upon all persons engaged, in such municipality, in
9the business of making sales of service at the same rate of tax
10imposed pursuant to Section 8-11-1, of the selling price of all
11tangible personal property transferred by such servicemen
12either in the form of tangible personal property or in the form
13of real estate as an incident to a sale of service. If imposed,
14such tax shall only be imposed in 1/4% increments. On and after
15September 1, 1991, this additional tax may not be imposed on
16tangible personal property taxed at the 1% rate under the
17Retailers' Occupation Tax Act. Beginning December 1, 2019, this
18tax may not be imposed on sales of aviation fuel unless the tax
19revenue is expended for airport-related purposes. If a
20municipality does not have an airport-related purpose to which
21it dedicates aviation fuel tax revenue, then aviation fuel
22shall be excluded from tax. Each municipality must comply with
23the certification requirements for airport-related purposes
24under Section 2-22 of the Retailers' Occupation Tax Act
258-11-22. For purposes of this Section Act, "airport-related

 

 

SB0119 Enrolled- 351 -LRB101 06854 HLH 51885 b

1purposes" has the meaning ascribed in Section 6z-20.2 of the
2State Finance Act. This exception for aviation fuel only
3applies for so long as the revenue use requirements of 49
4U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the State.
5The changes made to this Section by this amendatory Act of the
6101st General Assembly are a denial and limitation of home rule
7powers and functions under subsection (g) of Section 6 of
8Article VII of the Illinois Constitution. The tax imposed by a
9home rule municipality pursuant to this Section and all civil
10penalties that may be assessed as an incident thereof shall be
11collected and enforced by the State Department of Revenue. The
12certificate of registration which is issued by the Department
13to a retailer under the Retailers' Occupation Tax Act or under
14the Service Occupation Tax Act shall permit such registrant to
15engage in a business which is taxable under any ordinance or
16resolution enacted pursuant to this Section without
17registering separately with the Department under such
18ordinance or resolution or under this Section. The Department
19shall have full power to administer and enforce this Section;
20to collect all taxes and penalties due hereunder; to dispose of
21taxes and penalties so collected in the manner hereinafter
22provided, and to determine all rights to credit memoranda
23arising on account of the erroneous payment of tax or penalty
24hereunder. In the administration of, and compliance with, this
25Section the Department and persons who are subject to this
26Section shall have the same rights, remedies, privileges,

 

 

SB0119 Enrolled- 352 -LRB101 06854 HLH 51885 b

1immunities, powers and duties, and be subject to the same
2conditions, restrictions, limitations, penalties and
3definitions of terms, and employ the same modes of procedure,
4as are prescribed in Sections 1a-1, 2, 2a, 3 through 3-50 (in
5respect to all provisions therein other than the State rate of
6tax), 4 (except that the reference to the State shall be to the
7taxing municipality), 5, 7, 8 (except that the jurisdiction to
8which the tax shall be a debt to the extent indicated in that
9Section 8 shall be the taxing municipality), 9 (except as to
10the disposition of taxes and penalties collected, and except
11that the returned merchandise credit for this municipal tax may
12not be taken against any State tax, and except that the
13retailer's discount is not allowed for taxes paid on aviation
14fuel that are subject to the revenue use requirements of 49
15U.S.C. 47107(b) and 49 U.S.C. 47133), 10, 11, 12 (except the
16reference therein to Section 2b of the Retailers' Occupation
17Tax Act), 13 (except that any reference to the State shall mean
18the taxing municipality), the first paragraph of Section 15,
1916, 17 (except that credit memoranda issued hereunder may not
20be used to discharge any State tax liability), 18, 19 and 20 of
21the Service Occupation Tax Act and Section 3-7 of the Uniform
22Penalty and Interest Act, as fully as if those provisions were
23set forth herein.
24    No tax may be imposed by a home rule municipality pursuant
25to this Section unless such municipality also imposes a tax at
26the same rate pursuant to Section 8-11-1 of this Act.

 

 

SB0119 Enrolled- 353 -LRB101 06854 HLH 51885 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 municipal retailers' occupation tax fund
16or the Local Government Aviation Trust Fund, as appropriate.
17    Except as otherwise provided in this paragraph, the
18Department shall forthwith pay over to the State Treasurer, ex
19officio, as trustee, all taxes and penalties collected
20hereunder for deposit into the Home Rule Municipal Retailers'
21Occupation Tax Fund. Taxes and penalties collected on aviation
22fuel sold on or after December 1, 2019, shall be immediately
23paid over by the Department to the State Treasurer, ex officio,
24as trustee, for deposit into the Local Government Aviation
25Trust Fund. The Department shall only pay moneys into the Local
26Government State Aviation Trust Program Fund under this Section

 

 

SB0119 Enrolled- 354 -LRB101 06854 HLH 51885 b

1Act for so long as the revenue use requirements of 49 U.S.C.
247107(b) and 49 U.S.C. 47133 are binding on the municipality.
3    As soon as possible after the first day of each month,
4beginning January 1, 2011, upon certification of the Department
5of Revenue, the Comptroller shall order transferred, and the
6Treasurer shall transfer, to the STAR Bonds Revenue Fund the
7local sales tax increment, as defined in the Innovation
8Development and Economy Act, collected under this Section
9during the second preceding calendar month for sales within a
10STAR bond district.
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,
15the municipalities to be those from which suppliers and
16servicemen have paid taxes or penalties hereunder to the
17Department during the second preceding calendar month. The
18amount to be paid to each municipality shall be the amount (not
19including credit memoranda and not including taxes and
20penalties collected on aviation fuel sold on or after December
211, 2019) collected hereunder during the second preceding
22calendar month by the Department, and not including an amount
23equal to the amount of refunds made during the second preceding
24calendar month by the Department on behalf of such
25municipality, and not including any amounts that are
26transferred to the STAR Bonds Revenue Fund, less 1.5% of the

 

 

SB0119 Enrolled- 355 -LRB101 06854 HLH 51885 b

1remainder, which the Department shall transfer into the Tax
2Compliance and Administration Fund. The Department, at the time
3of each monthly disbursement to the municipalities, shall
4prepare and certify to the State Comptroller the amount to be
5transferred into the Tax Compliance and Administration Fund
6under this Section. Within 10 days after receipt, by the
7Comptroller, of the disbursement certification to the
8municipalities and the Tax Compliance and Administration Fund
9provided for in this Section to be given to the Comptroller by
10the Department, the Comptroller shall cause the orders to be
11drawn for the respective amounts in accordance with the
12directions contained in such certification.
13    In addition to the disbursement required by the preceding
14paragraph and in order to mitigate delays caused by
15distribution procedures, an allocation shall, if requested, be
16made within 10 days after January 14, 1991, and in November of
171991 and each year thereafter, to each municipality that
18received more than $500,000 during the preceding fiscal year,
19(July 1 through June 30) whether collected by the municipality
20or disbursed by the Department as required by this Section.
21Within 10 days after January 14, 1991, participating
22municipalities shall notify the Department in writing of their
23intent to participate. In addition, for the initial
24distribution, participating municipalities shall certify to
25the Department the amounts collected by the municipality for
26each month under its home rule occupation and service

 

 

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1occupation tax during the period July 1, 1989 through June 30,
21990. The allocation within 10 days after January 14, 1991,
3shall be in an amount equal to the monthly average of these
4amounts, excluding the 2 months of highest receipts. Monthly
5average for the period of July 1, 1990 through June 30, 1991
6will be determined as follows: the amounts collected by the
7municipality under its home rule occupation and service
8occupation tax during the period of July 1, 1990 through
9September 30, 1990, plus amounts collected by the Department
10and paid to such municipality through June 30, 1991, excluding
11the 2 months of highest receipts. The monthly average for each
12subsequent period of July 1 through June 30 shall be an amount
13equal to the monthly distribution made to each such
14municipality under the preceding paragraph during this period,
15excluding the 2 months of highest receipts. The distribution
16made in November 1991 and each year thereafter under this
17paragraph and the preceding paragraph shall be reduced by the
18amount allocated and disbursed under this paragraph in the
19preceding period of July 1 through June 30. The Department
20shall prepare and certify to the Comptroller for disbursement
21the allocations made in accordance with this paragraph.
22    Nothing in this Section shall be construed to authorize a
23municipality to impose a tax upon the privilege of engaging in
24any business which under the constitution of the United States
25may not be made the subject of taxation by this State.
26    An ordinance or resolution imposing or discontinuing a tax

 

 

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1hereunder or effecting a change in the rate thereof shall be
2adopted and a certified copy thereof filed with the Department
3on or before the first day of June, whereupon the Department
4shall proceed to administer and enforce this Section as of the
5first day of September next following such adoption and filing.
6Beginning January 1, 1992, an ordinance or resolution imposing
7or discontinuing the tax hereunder or effecting a change in the
8rate thereof shall be adopted and a certified copy thereof
9filed with the Department on or before the first day of July,
10whereupon the Department shall proceed to administer and
11enforce this Section as of the first day of October next
12following such adoption and filing. Beginning January 1, 1993,
13an ordinance or resolution imposing or discontinuing the tax
14hereunder or effecting a change in the rate thereof shall be
15adopted and a certified copy thereof filed with the Department
16on or before the first day of October, whereupon the Department
17shall proceed to administer and enforce this Section as of the
18first day of January next following such adoption and filing.
19However, a municipality located in a county with a population
20in excess of 3,000,000 that elected to become a home rule unit
21at the general primary election in 1994 may adopt an ordinance
22or resolution imposing the tax under this Section and file a
23certified copy of the ordinance or resolution with the
24Department on or before July 1, 1994. The Department shall then
25proceed to administer and enforce this Section as of October 1,
261994. Beginning April 1, 1998, an ordinance or resolution

 

 

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1imposing or discontinuing the tax hereunder or effecting a
2change in the rate thereof shall either (i) be adopted and a
3certified copy thereof filed with the Department on or before
4the first day of April, whereupon the Department shall proceed
5to administer and enforce this Section as of the first day of
6July next following the adoption and filing; or (ii) be adopted
7and a certified copy thereof filed with the Department on or
8before the first day of October, whereupon the Department shall
9proceed to administer and enforce this Section as of the first
10day of January next following the adoption and filing.
11    Any unobligated balance remaining in the Municipal
12Retailers' Occupation Tax Fund on December 31, 1989, which fund
13was abolished by Public Act 85-1135, and all receipts of
14municipal tax as a result of audits of liability periods prior
15to January 1, 1990, shall be paid into the Local Government Tax
16Fund, for distribution as provided by this Section prior to the
17enactment of Public Act 85-1135. All receipts of municipal tax
18as a result of an assessment not arising from an audit, for
19liability periods prior to January 1, 1990, shall be paid into
20the Local Government Tax Fund for distribution before July 1,
211990, as provided by this Section prior to the enactment of
22Public Act 85-1135, and on and after July 1, 1990, all such
23receipts shall be distributed as provided in Section 6z-18 of
24the State Finance Act.
25    As used in this Section, "municipal" and "municipality"
26means a city, village or incorporated town, including an

 

 

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1incorporated town which has superseded a civil township.
2    This Section shall be known and may be cited as the Home
3Rule Municipal Service Occupation Tax Act.
4(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18;
5100-1171, eff. 1-4-19; 101-10, eff. 6-5-19; 101-81, eff.
67-12-19.)
 
7    (65 ILCS 5/11-74.3-6)
8    Sec. 11-74.3-6. Business district revenue and obligations;
9business district tax allocation fund.
10    (a) If the corporate authorities of a municipality have
11approved a business district plan, have designated a business
12district, and have elected to impose a tax by ordinance
13pursuant to subsection (10) or (11) of Section 11-74.3-3, then
14each year after the date of the approval of the ordinance but
15terminating upon the date all business district project costs
16and all obligations paying or reimbursing business district
17project costs, if any, have been paid, but in no event later
18than the dissolution date, all amounts generated by the
19retailers' occupation tax and service occupation tax shall be
20collected and the tax shall be enforced by the Department of
21Revenue in the same manner as all retailers' occupation taxes
22and service occupation taxes imposed in the municipality
23imposing the tax and all amounts generated by the hotel
24operators' occupation tax shall be collected and the tax shall
25be enforced by the municipality in the same manner as all hotel

 

 

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1operators' occupation taxes imposed in the municipality
2imposing the tax. The corporate authorities of the municipality
3shall deposit the proceeds of the taxes imposed under
4subsections (10) and (11) of Section 11-74.3-3 into a special
5fund of the municipality called the "[Name of] Business
6District Tax Allocation Fund" for the purpose of paying or
7reimbursing business district project costs and obligations
8incurred in the payment of those costs.
9    (b) The corporate authorities of a municipality that has
10designated a business district under this Law may, by
11ordinance, impose a Business District Retailers' Occupation
12Tax upon all persons engaged in the business of selling
13tangible personal property, other than an item of tangible
14personal property titled or registered with an agency of this
15State's government, at retail in the business district at a
16rate not to exceed 1% of the gross receipts from the sales made
17in the course of such business, to be imposed only in 0.25%
18increments. The tax may not be imposed on tangible personal
19property taxed at the rate of 1% under the Retailers'
20Occupation Tax Act. Beginning December 1, 2019 and through
21December 31, 2020, this tax is not imposed on sales of aviation
22fuel unless the tax revenue is expended for airport-related
23purposes. If the District does not have an airport-related
24purpose to which it dedicates aviation fuel tax revenue, then
25aviation fuel is excluded from the tax. Each municipality must
26comply with the certification requirements for airport-related

 

 

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1purposes under Section 2-22 of the Retailers' Occupation Tax
2Act 8-11-22. For purposes of this Section Act, "airport-related
3purposes" has the meaning ascribed in Section 6z-20.2 of the
4State Finance Act. Beginning January 1, 2021, this tax is not
5imposed on sales of aviation fuel This exclusion for aviation
6fuel only applies for so long as the revenue use requirements
7of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
8District.
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

 

 

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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, and except that
7the retailer's discount is not allowed for taxes paid on
8aviation fuel that are subject to the revenue use requirements
9of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 deposited into the
10Local Government Aviation Trust Fund), 4, 5, 5a, 5c, 5d, 5e,
115f, 5g, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12, 13,
12and 14 of the Retailers' Occupation Tax Act and all provisions
13of the Uniform Penalty and Interest Act, as fully as if those
14provisions were set forth herein.
15    Persons subject to any tax imposed under this subsection
16may reimburse themselves for their seller's tax liability under
17this subsection by separately stating the tax as an additional
18charge, which charge may be stated in combination, in a single
19amount, with State taxes that sellers are required to collect
20under the Use Tax Act, in accordance with such bracket
21schedules as the Department may prescribe.
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 the order to be drawn for the
26amount specified and to the person named in the notification

 

 

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1from the Department. The refund shall be paid by the State
2Treasurer out of the business district retailers' occupation
3tax fund or the Local Government Aviation Trust Fund, as
4appropriate.
5    Except as otherwise provided in this paragraph, the
6Department shall immediately pay over to the State Treasurer,
7ex officio, as trustee, all taxes, penalties, and interest
8collected under this subsection for deposit into the business
9district retailers' occupation tax fund. Taxes and penalties
10collected on aviation fuel sold on or after December 1, 2019,
11shall be immediately paid over by the Department to the State
12Treasurer, ex officio, as trustee, for deposit into the Local
13Government Aviation Trust Fund. The Department shall only pay
14moneys into the Local Government Aviation Trust Fund under this
15Section Act for so long as the revenue use requirements of 49
16U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
17District.
18    As soon as possible after the first day of each month,
19beginning January 1, 2011, upon certification of the Department
20of Revenue, the Comptroller shall order transferred, and the
21Treasurer shall transfer, to the STAR Bonds Revenue Fund the
22local sales tax increment, as defined in the Innovation
23Development and Economy Act, collected under this subsection
24during the second preceding calendar month for sales within a
25STAR bond district.
26    After the monthly transfer to the STAR Bonds Revenue Fund,

 

 

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1on or before the 25th day of each calendar month, the
2Department shall prepare and certify to the Comptroller the
3disbursement of stated sums of money to named municipalities
4from the business district retailers' occupation tax fund, the
5municipalities to be those from which retailers have paid taxes
6or penalties under this subsection to the Department during the
7second preceding calendar month. The amount to be paid to each
8municipality shall be the amount (not including credit
9memoranda and not including taxes and penalties collected on
10aviation fuel sold on or after December 1, 2019) collected
11under this subsection during the second preceding calendar
12month 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, less 2% of that
17amount (except the amount collected on aviation fuel sold on or
18after December 1, 2019), which shall be deposited into the Tax
19Compliance and Administration Fund and shall be used by the
20Department, subject to appropriation, to cover the costs of the
21Department in administering and enforcing the provisions of
22this subsection, on behalf of such municipality, and not
23including any amount that the Department determines is
24necessary to offset any amounts that were payable to a
25different taxing body but were erroneously paid to the
26municipality, and not including any amounts that are

 

 

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1transferred to the STAR Bonds Revenue Fund. Within 10 days
2after receipt by the Comptroller of the disbursement
3certification to the municipalities provided for in this
4subsection to be given to the Comptroller by the Department,
5the Comptroller shall cause the orders to be drawn for the
6respective amounts in accordance with the directions contained
7in the certification. The proceeds of the tax paid to
8municipalities under this subsection shall be deposited into
9the Business District Tax Allocation Fund by the municipality.
10    An ordinance imposing or discontinuing the tax under this
11subsection or effecting a change in the rate thereof shall
12either (i) be adopted and a certified copy thereof filed with
13the Department on or before the first day of April, whereupon
14the Department, if all other requirements of this subsection
15are met, shall proceed to administer and enforce this
16subsection as of the first day of July next following the
17adoption and filing; or (ii) be adopted and a certified copy
18thereof filed with the Department on or before the first day of
19October, whereupon, if all other requirements of this
20subsection are met, the Department shall proceed to administer
21and enforce this subsection as of the first day of January next
22following the adoption and filing.
23    The Department of Revenue shall not administer or enforce
24an ordinance imposing, discontinuing, or changing the rate of
25the tax under this subsection, until the municipality also
26provides, in the manner prescribed by the Department, the

 

 

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1boundaries of the business district and each address in the
2business district in such a way that the Department can
3determine by its address whether a business is located in the
4business district. The municipality must provide this boundary
5and address information to the Department on or before April 1
6for administration and enforcement of the tax under this
7subsection by the Department beginning on the following July 1
8and on or before October 1 for administration and enforcement
9of the tax under this subsection by the Department beginning on
10the following January 1. The Department of Revenue shall not
11administer or enforce any change made to the boundaries of a
12business district or address change, addition, or deletion
13until the municipality reports the boundary change or address
14change, addition, or deletion to the Department in the manner
15prescribed by the Department. The municipality must provide
16this boundary change information or address change, addition,
17or deletion to the Department on or before April 1 for
18administration and enforcement by the Department of the change
19beginning on the following July 1 and on or before October 1
20for administration and enforcement by the Department of the
21change beginning on the following January 1. The retailers in
22the business district shall be responsible for charging the tax
23imposed under this subsection. If a retailer is incorrectly
24included or excluded from the list of those required to collect
25the tax under this subsection, both the Department of Revenue
26and the retailer shall be held harmless if they reasonably

 

 

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1relied on information provided by the municipality.
2    A municipality that imposes the tax under this subsection
3must submit to the Department of Revenue any other information
4as the Department may require for the administration and
5enforcement of the tax.
6    When certifying the amount of a monthly disbursement to a
7municipality under this subsection, the Department shall
8increase or decrease the amount by an amount necessary to
9offset any misallocation of previous disbursements. The offset
10amount shall be the amount erroneously disbursed within the
11previous 6 months from the time a misallocation is discovered.
12    Nothing in this subsection shall be construed to authorize
13the municipality to impose a tax upon the privilege of engaging
14in any business which under the Constitution of the United
15States may not be made the subject of taxation by this State.
16    If a tax is imposed under this subsection (b), a tax shall
17also be imposed under subsection (c) of this Section.
18    (c) If a tax has been imposed under subsection (b), a
19Business District Service Occupation Tax shall also be imposed
20upon all persons engaged, in the business district, in the
21business of making sales of service, who, as an incident to
22making those sales of service, transfer tangible personal
23property within the business district, either in the form of
24tangible personal property or in the form of real estate as an
25incident to a sale of service. The tax shall be imposed at the
26same rate as the tax imposed in subsection (b) and shall not

 

 

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1exceed 1% of the selling price of tangible personal property so
2transferred within the business district, to be imposed only in
30.25% increments. The tax may not be imposed on tangible
4personal property taxed at the 1% rate under the Service
5Occupation Tax Act. Beginning December 1, 2019, this tax is not
6imposed on sales of aviation fuel unless the tax revenue is
7expended for airport-related purposes. If the District does not
8have an airport-related purpose to which it dedicates aviation
9fuel tax revenue, then aviation fuel is excluded from the tax.
10Each municipality must comply with the certification
11requirements for airport-related purposes under Section 2-22
12of the Retailers' Occupation Tax Act 8-11-22. For purposes of
13this Act, "airport-related purposes" has the meaning ascribed
14in Section 6z-20.2 of the State Finance Act. Beginning January
151, 2021, this tax is not imposed on sales of aviation fuel This
16exclusion for aviation fuel only applies for so long as the
17revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
1847133 are binding on the District.
19    The tax imposed under this subsection and all civil
20penalties that may be assessed as an incident thereof shall be
21collected and enforced by the Department of Revenue. The
22certificate of registration which is issued by the Department
23to a retailer under the Retailers' Occupation Tax Act or under
24the Service Occupation Tax Act shall permit such registrant to
25engage in a business which is taxable under any ordinance or
26resolution enacted pursuant to this subsection without

 

 

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1registering separately with the Department under such
2ordinance or resolution or under this subsection. The
3Department of Revenue shall have full power to administer and
4enforce this subsection; to collect all taxes and penalties due
5under this subsection; 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 under this subsection. In
9the administration of, and compliance with this subsection, the
10Department and persons who are subject to this subsection 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 procedure
15as are prescribed in Sections 2, 2a through 2d, 3 through 3-50
16(in respect to all provisions therein other than the State rate
17of tax), 4 (except that the reference to the State shall be to
18the business district), 5, 7, 8 (except that the jurisdiction
19to which the tax shall be a debt to the extent indicated in
20that Section 8 shall be the municipality), 9 (except as to the
21disposition of taxes and penalties collected, and except that
22the returned merchandise credit for this tax may not be taken
23against any State tax, and except that the retailer's discount
24is not allowed for taxes paid on aviation fuel that are subject
25to the revenue use requirements of 49 U.S.C. 47107(b) and 49
26U.S.C. 47133 deposited into the Local Government Aviation Trust

 

 

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1Fund), 10, 11, 12 (except the reference therein to Section 2b
2of the Retailers' Occupation Tax Act), 13 (except that any
3reference to the State shall mean the municipality), the first
4paragraph of Section 15, and Sections 16, 17, 18, 19 and 20 of
5the Service Occupation Tax Act and all provisions of the
6Uniform Penalty and Interest Act, as fully as if those
7provisions were set forth herein.
8    Persons subject to any tax imposed under the authority
9granted in this subsection may reimburse themselves for their
10serviceman's tax liability hereunder by separately stating the
11tax as an additional charge, which charge may be stated in
12combination, in a single amount, with State tax that servicemen
13are authorized to collect under the Service Use Tax Act, in
14accordance with such bracket schedules as the Department may
15prescribe.
16    Whenever the Department determines that a refund should be
17made under this subsection to a claimant instead of issuing
18credit memorandum, the Department shall notify the State
19Comptroller, who shall cause the order to be drawn for the
20amount specified, and to the person named, in such notification
21from the Department. Such refund shall be paid by the State
22Treasurer out of the business district retailers' occupation
23tax fund or the Local Government Aviation Trust Fund, as
24appropriate.
25    Except as otherwise provided in this paragraph, the
26Department shall forthwith pay over to the State Treasurer,

 

 

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1ex-officio, as trustee, all taxes, penalties, and interest
2collected under this subsection for deposit into the business
3district retailers' occupation tax fund. Taxes and penalties
4collected on aviation fuel sold on or after December 1, 2019,
5shall be immediately paid over by the Department to the State
6Treasurer, ex officio, as trustee, for deposit into the Local
7Government Aviation Trust Fund. The Department shall only pay
8moneys into the Local Government Aviation Trust Fund under this
9Section Act for so long as the revenue use requirements of 49
10U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
11District.
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
23disbursement of stated sums of money to named municipalities
24from the business district retailers' occupation tax fund, the
25municipalities to be those from which suppliers and servicemen
26have paid taxes or penalties under this subsection to the

 

 

SB0119 Enrolled- 372 -LRB101 06854 HLH 51885 b

1Department during the second preceding calendar month. The
2amount to be paid to each municipality shall be the amount (not
3including credit memoranda and not including taxes and
4penalties collected on aviation fuel sold on or after December
51, 2019) collected under this subsection during the second
6preceding calendar month by the Department, less 2% of that
7amount (except the amount collected on aviation fuel sold on or
8after December 1, 2019), which shall be deposited into the Tax
9Compliance and Administration Fund and shall be used by the
10Department, subject to appropriation, to cover the costs of the
11Department in administering and enforcing the provisions of
12this subsection, and not including an amount equal to the
13amount of refunds made during the second preceding calendar
14month by the Department on behalf of such municipality, and not
15including any amounts that are transferred to the STAR Bonds
16Revenue Fund. Within 10 days after receipt, by the Comptroller,
17of the disbursement certification to the municipalities,
18provided for in this subsection to be given to the Comptroller
19by the Department, the Comptroller shall cause the orders to be
20drawn for the respective amounts in accordance with the
21directions contained in such certification. The proceeds of the
22tax paid to municipalities under this subsection shall be
23deposited into the Business District Tax Allocation Fund by the
24municipality.
25    An ordinance imposing or discontinuing the tax under this
26subsection or effecting a change in the rate thereof shall

 

 

SB0119 Enrolled- 373 -LRB101 06854 HLH 51885 b

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

 

 

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1addition, or deletion until the municipality reports the
2boundary change or address change, addition, or deletion to the
3Department in the manner prescribed by the Department. The
4municipality must provide this boundary change information or
5address change, addition, or deletion to the Department on or
6before April 1 for administration and enforcement by the
7Department of the change beginning on the following July 1 and
8on or before October 1 for administration and enforcement by
9the Department of the change beginning on the following January
101. The retailers in the business district shall be responsible
11for charging the tax imposed under this subsection. If a
12retailer is incorrectly included or excluded from the list of
13those required to collect the tax under this subsection, both
14the Department of Revenue and the retailer shall be held
15harmless if they reasonably relied on information provided by
16the municipality.
17    A municipality that imposes the tax under this subsection
18must submit to the Department of Revenue any other information
19as the Department may require for the administration and
20enforcement of the tax.
21    Nothing in this subsection shall be construed to authorize
22the municipality to impose a tax upon the privilege of engaging
23in any business which under the Constitution of the United
24States may not be made the subject of taxation by the State.
25    If a tax is imposed under this subsection (c), a tax shall
26also be imposed under subsection (b) of this Section.

 

 

SB0119 Enrolled- 375 -LRB101 06854 HLH 51885 b

1    (d) By ordinance, a municipality that has designated a
2business district under this Law may impose an occupation tax
3upon all persons engaged in the business district in the
4business of renting, leasing, or letting rooms in a hotel, as
5defined in the Hotel Operators' Occupation Tax Act, at a rate
6not to exceed 1% of the gross rental receipts from the renting,
7leasing, or letting of hotel rooms within the business
8district, to be imposed only in 0.25% increments, excluding,
9however, from gross rental receipts the proceeds of renting,
10leasing, or letting to permanent residents of a hotel, as
11defined in the Hotel Operators' Occupation Tax Act, and
12proceeds from the tax imposed under subsection (c) of Section
1313 of the Metropolitan Pier and Exposition Authority Act.
14    The tax imposed by the municipality under this subsection
15and all civil penalties that may be assessed as an incident to
16that tax shall be collected and enforced by the municipality
17imposing the tax. The municipality shall have full power to
18administer and enforce this subsection, to collect all taxes
19and penalties due under this subsection, to dispose of taxes
20and penalties so collected in the manner provided in this
21subsection, and to determine all rights to credit memoranda
22arising on account of the erroneous payment of tax or penalty
23under this subsection. In the administration of and compliance
24with this subsection, the municipality and persons who are
25subject to this subsection shall have the same rights,
26remedies, privileges, immunities, powers, and duties, shall be

 

 

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1subject to the same conditions, restrictions, limitations,
2penalties, and definitions of terms, and shall employ the same
3modes of procedure as are employed with respect to a tax
4adopted by the municipality under Section 8-3-14 of this Code.
5    Persons subject to any tax imposed under the authority
6granted in this subsection may reimburse themselves for their
7tax liability for that tax by separately stating that tax as an
8additional charge, which charge may be stated in combination,
9in a single amount, with State taxes imposed under the Hotel
10Operators' Occupation Tax Act, and with any other tax.
11    Nothing in this subsection shall be construed to authorize
12a municipality to impose a tax upon the privilege of engaging
13in any business which under the Constitution of the United
14States may not be made the subject of taxation by this State.
15    The proceeds of the tax imposed under this subsection shall
16be deposited into the Business District Tax Allocation Fund.
17    (e) Obligations secured by the Business District Tax
18Allocation Fund may be issued to provide for the payment or
19reimbursement of business district project costs. Those
20obligations, when so issued, shall be retired in the manner
21provided in the ordinance authorizing the issuance of those
22obligations by the receipts of taxes imposed pursuant to
23subsections (10) and (11) of Section 11-74.3-3 and by other
24revenue designated or pledged by the municipality. A
25municipality may in the ordinance pledge, for any period of
26time up to and including the dissolution date, all or any part

 

 

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1of the funds in and to be deposited in the Business District
2Tax Allocation Fund to the payment of business district project
3costs and obligations. Whenever a municipality pledges all of
4the funds to the credit of a business district tax allocation
5fund to secure obligations issued or to be issued to pay or
6reimburse business district project costs, the municipality
7may specifically provide that funds remaining to the credit of
8such business district tax allocation fund after the payment of
9such obligations shall be accounted for annually and shall be
10deemed to be "surplus" funds, and such "surplus" funds shall be
11expended by the municipality for any business district project
12cost as approved in the business district plan. Whenever a
13municipality pledges less than all of the monies to the credit
14of a business district tax allocation fund to secure
15obligations issued or to be issued to pay or reimburse business
16district project costs, the municipality shall provide that
17monies to the credit of the business district tax allocation
18fund and not subject to such pledge or otherwise encumbered or
19required for payment of contractual obligations for specific
20business district project costs shall be calculated annually
21and shall be deemed to be "surplus" funds, and such "surplus"
22funds shall be expended by the municipality for any business
23district project cost as approved in the business district
24plan.
25    No obligation issued pursuant to this Law and secured by a
26pledge of all or any portion of any revenues received or to be

 

 

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1received by the municipality from the imposition of taxes
2pursuant to subsection (10) of Section 11-74.3-3, shall be
3deemed to constitute an economic incentive agreement under
4Section 8-11-20, notwithstanding the fact that such pledge
5provides for the sharing, rebate, or payment of retailers'
6occupation taxes or service occupation taxes imposed pursuant
7to subsection (10) of Section 11-74.3-3 and received or to be
8received by the municipality from the development or
9redevelopment of properties in the business district.
10    Without limiting the foregoing in this Section, the
11municipality may further secure obligations secured by the
12business district tax allocation fund with a pledge, for a
13period not greater than the term of the obligations and in any
14case not longer than the dissolution date, of any part or any
15combination of the following: (i) net revenues of all or part
16of any business district project; (ii) taxes levied or imposed
17by the municipality on any or all property in the municipality,
18including, specifically, taxes levied or imposed by the
19municipality in a special service area pursuant to the Special
20Service Area Tax Law; (iii) the full faith and credit of the
21municipality; (iv) a mortgage on part or all of the business
22district project; or (v) any other taxes or anticipated
23receipts that the municipality may lawfully pledge.
24    Such obligations may be issued in one or more series, bear
25such date or dates, become due at such time or times as therein
26provided, but in any case not later than (i) 20 years after the

 

 

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1date of issue or (ii) the dissolution date, whichever is
2earlier, bear interest payable at such intervals and at such
3rate or rates as set forth therein, except as may be limited by
4applicable law, which rate or rates may be fixed or variable,
5be in such denominations, be in such form, either coupon,
6registered, or book-entry, carry such conversion, registration
7and exchange privileges, be subject to defeasance upon such
8terms, have such rank or priority, be executed in such manner,
9be payable in such medium or payment at such place or places
10within or without the State, make provision for a corporate
11trustee within or without the State with respect to such
12obligations, prescribe the rights, powers, and duties thereof
13to be exercised for the benefit of the municipality and the
14benefit of the owners of such obligations, provide for the
15holding in trust, investment, and use of moneys, funds, and
16accounts held under an ordinance, provide for assignment of and
17direct payment of the moneys to pay such obligations or to be
18deposited into such funds or accounts directly to such trustee,
19be subject to such terms of redemption with or without premium,
20and be sold at such price, all as the corporate authorities
21shall determine. No referendum approval of the electors shall
22be required as a condition to the issuance of obligations
23pursuant to this Law except as provided in this Section.
24    In the event the municipality authorizes the issuance of
25obligations pursuant to the authority of this Law secured by
26the full faith and credit of the municipality, or pledges ad

 

 

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1valorem taxes pursuant to this subsection, which obligations
2are other than obligations which may be issued under home rule
3powers provided by Section 6 of Article VII of the Illinois
4Constitution or which ad valorem taxes are other than ad
5valorem taxes which may be pledged under home rule powers
6provided by Section 6 of Article VII of the Illinois
7Constitution or which are levied in a special service area
8pursuant to the Special Service Area Tax Law, the ordinance
9authorizing the issuance of those obligations or pledging those
10taxes shall be published within 10 days after the ordinance has
11been adopted, in a newspaper having a general circulation
12within the municipality. The publication of the ordinance shall
13be accompanied by a notice of (i) the specific number of voters
14required to sign a petition requesting the question of the
15issuance of the obligations or pledging such ad valorem taxes
16to be submitted to the electors; (ii) the time within which the
17petition must be filed; and (iii) the date of the prospective
18referendum. The municipal clerk shall provide a petition form
19to any individual requesting one.
20    If no petition is filed with the municipal clerk, as
21hereinafter provided in this Section, within 21 days after the
22publication of the ordinance, the ordinance shall be in effect.
23However, if within that 21-day period a petition is filed with
24the municipal clerk, signed by electors numbering not less than
2515% of the number of electors voting for the mayor or president
26at the last general municipal election, asking that the

 

 

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1question of issuing obligations using full faith and credit of
2the municipality as security for the cost of paying or
3reimbursing business district project costs, or of pledging
4such ad valorem taxes for the payment of those obligations, or
5both, be submitted to the electors of the municipality, the
6municipality shall not be authorized to issue obligations of
7the municipality using the full faith and credit of the
8municipality as security or pledging such ad valorem taxes for
9the payment of those obligations, or both, until the
10proposition has been submitted to and approved by a majority of
11the voters voting on the proposition at a regularly scheduled
12election. The municipality shall certify the proposition to the
13proper election authorities for submission in accordance with
14the general election law.
15    The ordinance authorizing the obligations may provide that
16the obligations shall contain a recital that they are issued
17pursuant to this Law, which recital shall be conclusive
18evidence of their validity and of the regularity of their
19issuance.
20    In the event the municipality authorizes issuance of
21obligations pursuant to this Law secured by the full faith and
22credit of the municipality, the ordinance authorizing the
23obligations may provide for the levy and collection of a direct
24annual tax upon all taxable property within the municipality
25sufficient to pay the principal thereof and interest thereon as
26it matures, which levy may be in addition to and exclusive of

 

 

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1the maximum of all other taxes authorized to be levied by the
2municipality, which levy, however, shall be abated to the
3extent that monies from other sources are available for payment
4of the obligations and the municipality certifies the amount of
5those monies available to the county clerk.
6    A certified copy of the ordinance shall be filed with the
7county clerk of each county in which any portion of the
8municipality is situated, and shall constitute the authority
9for the extension and collection of the taxes to be deposited
10in the business district tax allocation fund.
11    A municipality may also issue its obligations to refund, in
12whole or in part, obligations theretofore issued by the
13municipality under the authority of this Law, whether at or
14prior to maturity. However, the last maturity of the refunding
15obligations shall not be expressed to mature later than the
16dissolution date.
17    In the event a municipality issues obligations under home
18rule powers or other legislative authority, the proceeds of
19which are pledged to pay or reimburse business district project
20costs, the municipality may, if it has followed the procedures
21in conformance with this Law, retire those obligations from
22funds in the business district tax allocation fund in amounts
23and in such manner as if those obligations had been issued
24pursuant to the provisions of this Law.
25    No obligations issued pursuant to this Law shall be
26regarded as indebtedness of the municipality issuing those

 

 

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1obligations or any other taxing district for the purpose of any
2limitation imposed by law.
3    Obligations issued pursuant to this Law shall not be
4subject to the provisions of the Bond Authorization Act.
5    (f) When business district project costs, including,
6without limitation, all obligations paying or reimbursing
7business district project costs have been paid, any surplus
8funds then remaining in the Business District Tax Allocation
9Fund shall be distributed to the municipal treasurer for
10deposit into the general corporate fund of the municipality.
11Upon payment of all business district project costs and
12retirement of all obligations paying or reimbursing business
13district project costs, but in no event more than 23 years
14after the date of adoption of the ordinance imposing taxes
15pursuant to subsection (10) or (11) of Section 11-74.3-3, the
16municipality shall adopt an ordinance immediately rescinding
17the taxes imposed pursuant to subsection (10) or (11) of
18Section 11-74.3-3.
19(Source: P.A. 100-1171, eff. 1-4-19; 101-10, eff. 6-5-19.)
 
20    (65 ILCS 5/11-101-3)
21    Sec. 11-101-3. Noise mitigation; air quality.
22    (a) A municipality that has implemented a Residential Sound
23Insulation Program to mitigate aircraft noise shall perform
24indoor air quality monitoring and laboratory analysis of
25windows and doors installed pursuant to the Residential Sound

 

 

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1Insulation Program to determine whether there are any adverse
2health impacts associated with off-gassing from such windows
3and doors. Such monitoring and analysis shall be consistent
4with applicable professional and industry standards. The
5municipality shall make any final reports resulting from such
6monitoring and analysis available to the public on the
7municipality's website. The municipality shall develop a
8science-based mitigation plan to address significant
9health-related impacts, if any, associated with such windows
10and doors as determined by the results of the monitoring and
11analysis. In a municipality that has implemented a Residential
12Sound Insulation Program to mitigate aircraft noise, if
13requested by the homeowner pursuant to a process established by
14the municipality, which process shall include, at a minimum,
15notification in a newspaper of general circulation and a mailer
16sent to every address identified as a recipient of windows and
17doors installed under the Residential Sound Insulation
18Program, the municipality shall replace all windows and doors
19installed under the Residential Sound Insulation Program in
20such homes where one or more windows or doors have been found
21to have caused offensive odors. Only those homeowners who
22request that the municipality perform an odor inspection as
23prescribed by the process established by the municipality
24within 6 months of notification being published and mailers
25being sent prior to March 31, 2020 shall be eligible for
26odorous window and odorous door replacement. Homes that have

 

 

SB0119 Enrolled- 385 -LRB101 06854 HLH 51885 b

1been identified by the municipality as having odorous windows
2or doors are not required to make said request to the
3municipality. The right to make a claim for replacement and
4have it considered pursuant to this Section shall not be
5affected by the fact of odor-related claims made or
6odor-related products received pursuant to the Residential
7Sound Insulation Program prior to June 5, 2019 (the effective
8date of this Section).
9    (b) An advisory committee shall be formed, composed of the
10following: (i) 2 members of the municipality who reside in
11homes that have received windows or doors pursuant to the
12Residential Sound Insulation Program and have been identified
13by the municipality as having odorous windows or doors,
14appointed by the Secretary of Transportation; (ii) one employee
15of the Aeronautics Division of the Department of
16Transportation; and (iii) 2 employees of the municipality that
17implemented the Residential Sound Insulation Program in
18question. The advisory committee shall determine by majority
19vote which homes contain windows or doors that cause offensive
20odors and thus are eligible for replacement, shall promulgate a
21list of such homes, and shall develop recommendations as to the
22order in which homes are to receive window replacement. The
23recommendations shall include reasonable and objective
24criteria for determining which windows or doors are odorous,
25consideration of the date of odor confirmation for
26prioritization, severity of odor, geography and individual

 

 

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1hardship, and shall provide such recommendations to the
2municipality. The advisory committee shall comply with the
3requirements of the Illinois Open Meetings Act. The
4municipality shall consider the recommendations of the
5committee but shall retain final decision-making authority
6over replacement of windows and doors installed under the
7Residential Sound Insulation Program, and shall comply with all
8federal, State, and local laws involving procurement. A
9municipality administering claims pursuant to this Section
10shall provide to every address identified as having submitted a
11valid claim under this Section a quarterly report setting forth
12the municipality's activities undertaken pursuant to this
13Section for that quarter. However, the municipality shall
14replace windows and doors pursuant to this Section only if, and
15to the extent, grants are distributed to, and received by, the
16municipality from the Sound-Reducing Windows and Doors
17Replacement Fund for the costs associated with the replacement
18of sound-reducing windows and doors installed under the
19Residential Sound Insulation Program pursuant to Section
206z-20.1 of the State Finance Act. In addition, the municipality
21shall revise its specifications for procurement of windows for
22the Residential Sound Insulation Program to address potential
23off-gassing from such windows in future phases of the program.
24A municipality subject to the Section shall not legislate or
25otherwise regulate with regard to indoor air quality
26monitoring, laboratory analysis or replacement requirements,

 

 

SB0119 Enrolled- 387 -LRB101 06854 HLH 51885 b

1except as provided in this Section, but the foregoing
2restriction shall not limit said municipality's taxing power.
3    (c) A home rule unit may not regulate indoor air quality
4monitoring and laboratory analysis, and related mitigation and
5mitigation plans, in a manner inconsistent with this Section.
6This Section is a limitation of home rule powers and functions
7under subsection (i) of Section 6 of Article VII of the
8Illinois Constitution on the concurrent exercise by home rule
9units of powers and functions exercised by the State.
10    (d) This Section shall not be construed to create a private
11right of action.
12(Source: P.A. 101-10, eff. 6-5-19; revised 8-8-19.)
 
13    (65 ILCS 5/8-11-22 rep.)
14    Section 10-80. The Illinois Municipal Code is amended by
15repealing Section 8-11-22.
 
16    Section 10-85. The Civic Center Code is amended by changing
17Section 245-12 as follows:
 
18    (70 ILCS 200/245-12)
19    Sec. 245-12. Use and occupation taxes.
20    (a) The Authority may adopt a resolution that authorizes a
21referendum on the question of whether the Authority shall be
22authorized to impose a retailers' occupation tax, a service
23occupation tax, and a use tax in one-quarter percent increments

 

 

SB0119 Enrolled- 388 -LRB101 06854 HLH 51885 b

1at a rate not to exceed 1%. The Authority shall certify the
2question to the proper election authorities who shall submit
3the question to the voters of the metropolitan area at the next
4regularly scheduled election in accordance with the general
5election law. The question shall be in substantially the
6following form:
7    "Shall the Salem Civic Center Authority be authorized to
8    impose a retailers' occupation tax, a service occupation
9    tax, and a use tax at the rate of (rate) for the sole
10    purpose of obtaining funds for the support, construction,
11    maintenance, or financing of a facility of the Authority?"
12    Votes shall be recorded as "yes" or "no".
13    If a majority of all votes cast on the proposition are in
14favor of the proposition, the Authority is authorized to impose
15the tax.
16    (b) The Authority shall impose the retailers' occupation
17tax upon all persons engaged in the business of selling
18tangible personal property at retail in the metropolitan area,
19at the rate approved by referendum, on the gross receipts from
20the sales made in the course of such business within the
21metropolitan area. Beginning December 1, 2019 and through
22December 31, 2020, this tax is not imposed on sales of aviation
23fuel unless the tax revenue is expended for airport-related
24purposes. If the Authority does not have an airport-related
25purpose to which it dedicates aviation fuel tax revenue, then
26aviation fuel is excluded from the tax. The Authority must

 

 

SB0119 Enrolled- 389 -LRB101 06854 HLH 51885 b

1comply with the certification requirements for airport-related
2purposes under Section 2-22 of the Retailers' Occupation Tax
3Act. For purposes of this Section Act, "airport-related
4purposes" has the meaning ascribed in Section 6z-20.2 of the
5State Finance Act. Beginning January 1, 2021, this tax is not
6imposed on sales of aviation fuel This exclusion for aviation
7fuel only applies for so long as the revenue use requirements
8of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
9Authority.
10    On or before September 1, 2019, and on or before each April
111 and October 1 thereafter, the Authority must certify to the
12Department of Transportation, in the form and manner required
13by the Department, whether the Authority has an airport-related
14purpose, which would allow any Retailers' Occupation Tax and
15Service Occupation Tax imposed by the Authority to include tax
16on aviation fuel. On or before October 1, 2019, and on or
17before each May 1 and November 1 thereafter, the Department of
18Transportation shall provide to the Department of Revenue, a
19list of units of local government which have certified to the
20Department of Transportation that they have airport-related
21purposes, which would allow any Retailers' Occupation Tax and
22Service Occupation Tax imposed by the unit of local government
23to include tax on aviation fuel. All disputes regarding whether
24or not a unit of local government has an airport-related
25purpose shall be resolved by the Department of Transportation.
26    The tax imposed under this Section and all civil penalties

 

 

SB0119 Enrolled- 390 -LRB101 06854 HLH 51885 b

1that may be assessed as an incident thereof shall be collected
2and enforced by the Department of Revenue. The Department has
3full power to administer and enforce this Section; to collect
4all taxes and penalties so collected in the manner provided in
5this Section; and to determine all rights to credit memoranda
6arising on account of the erroneous payment of tax or penalty
7hereunder. In the administration of, and compliance with, this
8Section, the Department and persons who are subject to this
9Section shall (i) have the same rights, remedies, privileges,
10immunities, powers and duties, (ii) be subject to the same
11conditions, restrictions, limitations, penalties, exclusions,
12exemptions, and definitions of terms, and (iii) employ the same
13modes of procedure as are prescribed in Sections 1, 1a, 1a-1,
141c, 1d, 1e, 1f, 1i, 1j, 1k, 1m, 1n, 2, 2-5, 2-5.5, 2-10 (in
15respect to all provisions therein other than the State rate of
16tax), 2-12, 2-15 through 2-70, 2a, 2b, 2c, 3 (except as to the
17disposition of taxes and penalties collected and provisions
18related to quarter monthly payments, and except that the
19retailer's discount is not allowed for taxes paid on aviation
20fuel that are subject to the revenue use requirements of 49
21U.S.C. 47107(b) and 49 U.S.C. 47133 deposited into the Local
22Government Aviation Trust Fund), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f,
235g, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 11a, 12, and
2413 of the Retailers' Occupation Tax Act and Section 3-7 of the
25Uniform Penalty and Interest Act, as fully as if those
26provisions were set forth in this subsection.

 

 

SB0119 Enrolled- 391 -LRB101 06854 HLH 51885 b

1    Persons subject to any tax imposed under this subsection
2may reimburse themselves for their seller's tax liability by
3separately stating the tax as an additional charge, which
4charge may be stated in combination, in a single amount, with
5State taxes that sellers are required to collect, in accordance
6with such bracket schedules as the Department may prescribe.
7    Whenever the Department determines that a refund should be
8made under this subsection 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 tax fund referenced under paragraph (g) of
14this Section or the Local Government Aviation Trust Fund, as
15appropriate.
16    If a tax is imposed under this subsection (b), a tax shall
17also be imposed at the same rate under subsections (c) and (d)
18of this Section.
19    For the purpose of determining whether a tax authorized
20under this Section is applicable, a retail sale, by a producer
21of coal or other mineral mined in Illinois, is a sale at retail
22at the place where the coal or other mineral mined in Illinois
23is extracted from the earth. This paragraph does not apply to
24coal or other mineral when it is delivered or shipped by the
25seller to the purchaser at a point outside Illinois so that the
26sale is exempt under the Federal Constitution as a sale in

 

 

SB0119 Enrolled- 392 -LRB101 06854 HLH 51885 b

1interstate or foreign commerce.
2    Nothing in this Section shall be construed to authorize the
3Authority to impose a tax upon the privilege of engaging in any
4business which under the Constitution of the United States may
5not be made the subject of taxation by this State.
6    (c) If a tax has been imposed under subsection (b), a
7service occupation tax shall also be imposed at the same rate
8upon all persons engaged, in the metropolitan area, in the
9business of making sales of service, who, as an incident to
10making those sales of service, transfer tangible personal
11property within the metropolitan area as an incident to a sale
12of service. 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.
15    Beginning December 1, 2019 and through December 31, 2020,
16this tax is not imposed on sales of aviation fuel unless the
17tax revenue is expended for airport-related purposes. If the
18Authority does not have an airport-related purpose to which it
19dedicates aviation fuel tax revenue, then aviation fuel is
20excluded from the tax. The Authority must comply with the
21certification requirements for airport-related purposes under
22Section 2-22 of the Retailers' Occupation Tax Act. Beginning
23January 1, 2021, this tax is not imposed on sales of aviation
24fuel for so long as the revenue use requirements of 49 U.S.C.
2547107(b) and 49 U.S.C. 47133 are binding on the Authority. On
26or before September 1, 2019, and on or before each April 1 and

 

 

SB0119 Enrolled- 393 -LRB101 06854 HLH 51885 b

1October 1 thereafter, the Authority must certify to the
2Department of Transportation, in the form and manner required
3by the Department, whether the Authority has an airport-related
4purpose, which would allow any Retailers' Occupation Tax and
5Service Occupation Tax imposed by the Authority to include tax
6on aviation fuel. On or before October, 2019, and on or before
7each May 1 and November 1 thereafter, the Department of
8Transportation shall provide to the Department of Revenue, a
9list of units of local government which have certified to the
10Department of Transportation that they have airport-related
11purposes, which would allow any Retailers' Occupation Tax and
12Service Occupation Tax imposed by the unit of local government
13to include tax on aviation fuel. All disputes regarding whether
14or not a unit of local government has an airport-related
15purpose shall be resolved by the Department of Transportation.
16    The Department has full power to administer and enforce
17this paragraph; 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 paragraph, the Department and persons who
23are subject to this paragraph shall (i) have the same rights,
24remedies, privileges, immunities, powers, and duties, (ii) be
25subject to the same conditions, restrictions, limitations,
26penalties, exclusions, exemptions, and definitions of terms,

 

 

SB0119 Enrolled- 394 -LRB101 06854 HLH 51885 b

1and (iii) employ the same modes of procedure as are prescribed
2in Sections 2 (except that the reference to State in the
3definition of supplier maintaining a place of business in this
4State shall mean the metropolitan area), 2a, 2b, 3 through 3-55
5(in respect to all provisions therein other than the State rate
6of tax), 4 (except that the reference to the State shall be to
7the Authority), 5, 7, 8 (except that the jurisdiction to which
8the tax shall be a debt to the extent indicated in that Section
98 shall be the Authority), 9 (except as to the disposition of
10taxes and penalties collected, and except that the returned
11merchandise credit for this tax may not be taken against any
12State tax, and except that the retailer's discount is not
13allowed for taxes paid on aviation fuel that are subject to the
14revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
1547133 deposited into the Local Government Aviation Trust Fund),
1611, 12 (except the reference therein to Section 2b of the
17Retailers' Occupation Tax Act), 13 (except that any reference
18to the State shall mean the Authority), 15, 16, 17, 18, 19 and
1920 of the Service Occupation Tax Act and Section 3-7 of the
20Uniform Penalty and Interest Act, as fully as if those
21provisions were set forth herein.
22    Persons subject to any tax imposed under the authority
23granted in this subsection may reimburse themselves for their
24serviceman's tax liability by separately stating the tax as an
25additional charge, which charge may be stated in combination,
26in a single amount, with State tax that servicemen are

 

 

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1authorized to collect under the Service Use Tax Act, in
2accordance with such bracket schedules as the Department may
3prescribe.
4    Whenever the Department determines that a refund should be
5made under this subsection to a claimant instead of issuing a
6credit memorandum, the Department shall notify the State
7Comptroller, who shall cause the warrant to be drawn for the
8amount specified, and to the person named, in the notification
9from the Department. The refund shall be paid by the State
10Treasurer out of the tax fund referenced under paragraph (g) of
11this Section or the Local Government Aviation Trust Fund, as
12appropriate.
13    Nothing in this paragraph shall be construed to authorize
14the Authority to impose a tax upon the privilege of engaging in
15any business which under the Constitution of the United States
16may not be made the subject of taxation by the State.
17    (d) If a tax has been imposed under subsection (b), a use
18tax shall also be imposed at the same rate upon the privilege
19of using, in the metropolitan area, any item of tangible
20personal property that is purchased outside the metropolitan
21area at retail from a retailer, and that is titled or
22registered at a location within the metropolitan area with an
23agency of this State's government. "Selling price" is defined
24as in the Use Tax Act. The tax shall be collected from persons
25whose Illinois address for titling or registration purposes is
26given as being in the metropolitan area. The tax shall be

 

 

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1collected by the Department of Revenue for the Authority. The
2tax must be paid to the State, or an exemption determination
3must be obtained from the Department of Revenue, before the
4title or certificate of registration for the property may be
5issued. The tax or proof of exemption may be transmitted to the
6Department by way of the State agency with which, or the State
7officer with whom, the tangible personal property must be
8titled or registered if the Department and the State agency or
9State officer determine that this procedure will expedite the
10processing of applications for title or registration.
11    The Department has full power to administer and enforce
12this paragraph; to collect all taxes, penalties and interest
13due hereunder; to dispose of taxes, penalties and interest so
14collected in the manner hereinafter provided; and to determine
15all rights to credit memoranda or refunds arising on account of
16the erroneous payment of tax, penalty or interest hereunder. In
17the administration of, and compliance with, this subsection,
18the Department and persons who are subject to this paragraph
19shall (i) have the same rights, remedies, privileges,
20immunities, powers, and duties, (ii) be subject to the same
21conditions, restrictions, limitations, penalties, exclusions,
22exemptions, and definitions of terms, and (iii) employ the same
23modes of procedure as are prescribed in Sections 2 (except the
24definition of "retailer maintaining a place of business in this
25State"), 3, 3-5, 3-10, 3-45, 3-55, 3-65, 3-70, 3-85, 3a, 4, 6,
267, 8 (except that the jurisdiction to which the tax shall be a

 

 

SB0119 Enrolled- 397 -LRB101 06854 HLH 51885 b

1debt to the extent indicated in that Section 8 shall be the
2Authority), 9 (except provisions relating to quarter monthly
3payments), 10, 11, 12, 12a, 12b, 13, 14, 15, 19, 20, 21, and 22
4of the Use Tax Act and Section 3-7 of the Uniform Penalty and
5Interest Act, that are not inconsistent with this paragraph, as
6fully as if those provisions were set forth herein.
7    Whenever the Department determines that a refund should be
8made under this subsection 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 tax fund referenced under paragraph (g) of
14this Section.
15    (e) A certificate of registration issued by the State
16Department of Revenue to a retailer under the Retailers'
17Occupation Tax Act or under the Service Occupation Tax Act
18shall permit the registrant to engage in a business that is
19taxed under the tax imposed under paragraphs (b), (c), or (d)
20of this Section and no additional registration shall be
21required. A certificate issued under the Use Tax Act or the
22Service Use Tax Act shall be applicable with regard to any tax
23imposed under paragraph (c) of this Section.
24    (f) The results of any election authorizing a proposition
25to impose a tax under this Section or effecting a change in the
26rate of tax shall be certified by the proper election

 

 

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1authorities and filed with the Illinois Department on or before
2the first day of April. In addition, an ordinance imposing,
3discontinuing, or effecting a change in the rate of tax under
4this Section shall be adopted and a certified copy thereof
5filed with the Department on or before the first day of April.
6After proper receipt of such certifications, the Department
7shall proceed to administer and enforce this Section as of the
8first day of July next following such adoption and filing.
9    (g) Except as otherwise provided, the Department of Revenue
10shall, upon collecting any taxes and penalties as provided in
11this Section, pay the taxes and penalties over to the State
12Treasurer as trustee for the Authority. The taxes and penalties
13shall be held in a trust fund outside the State Treasury. Taxes
14and penalties collected on aviation fuel sold on or after
15December 1, 2019 and through December 31, 2020, shall be
16immediately paid over by the Department to the State Treasurer,
17ex officio, as trustee, for deposit into the Local Government
18Aviation Trust Fund. The Department shall only pay moneys into
19the Local Government State Aviation Trust Program Fund under
20this Section Act for so long as the revenue use requirements of
2149 U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
22District. On or before the 25th day of each calendar month, the
23Department of Revenue shall prepare and certify to the
24Comptroller of the State of Illinois the amount to be paid to
25the Authority, which shall be the balance in the fund, less any
26amount determined by the Department to be necessary for the

 

 

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1payment of refunds and not including taxes and penalties
2collected on aviation fuel sold on or after December 1, 2019.
3Within 10 days after receipt by the Comptroller of the
4certification of the amount to be paid to the Authority, the
5Comptroller shall cause an order to be drawn for payment for
6the amount in accordance with the directions contained in the
7certification. Amounts received from the tax imposed under this
8Section shall be used only for the support, construction,
9maintenance, or financing of a facility of the Authority.
10    (h) When certifying the amount of a monthly disbursement to
11the Authority under this Section, the Department shall increase
12or decrease the amounts by an amount necessary to offset any
13miscalculation of previous disbursements. The offset amount
14shall be the amount erroneously disbursed within the previous 6
15months from the time a miscalculation is discovered.
16    (i) This Section may be cited as the Salem Civic Center Use
17and Occupation Tax Law.
18(Source: P.A. 101-10, eff. 6-5-19; revised 8-9-19.)
 
19    Section 10-90. The Flood Prevention District Act is amended
20by changing Section 25 as follows:
 
21    (70 ILCS 750/25)
22    Sec. 25. Flood prevention retailers' and service
23occupation taxes.
24    (a) If the Board of Commissioners of a flood prevention

 

 

SB0119 Enrolled- 400 -LRB101 06854 HLH 51885 b

1district determines that an emergency situation exists
2regarding levee repair or flood prevention, and upon an
3ordinance confirming the determination adopted by the
4affirmative vote of a majority of the members of the county
5board of the county in which the district is situated, the
6county may impose a flood prevention retailers' occupation tax
7upon all persons engaged in the business of selling tangible
8personal property at retail within the territory of the
9district to provide revenue to pay the costs of providing
10emergency levee repair and flood prevention and to secure the
11payment of bonds, notes, and other evidences of indebtedness
12issued under this Act for a period not to exceed 25 years or as
13required to repay the bonds, notes, and other evidences of
14indebtedness issued under this Act. The tax rate shall be 0.25%
15of the gross receipts from all taxable sales made in the course
16of that business. Beginning December 1, 2019 and through
17December 31, 2020, this tax is not imposed on sales of aviation
18fuel unless the tax revenue is expended for airport-related
19purposes. If the District does not have an airport-related
20purpose to which it dedicates aviation fuel tax revenue, then
21aviation fuel is excluded from the tax. The County must comply
22with the certification requirements for airport-related
23purposes under Section 2-22 of the Retailers' Occupation Tax
24Act 5-1184 of the Counties Code. The tax imposed under this
25Section and all civil penalties that may be assessed as an
26incident thereof shall be collected and enforced by the State

 

 

SB0119 Enrolled- 401 -LRB101 06854 HLH 51885 b

1Department of Revenue. The Department shall have full power to
2administer and enforce this Section; to collect all taxes and
3penalties so collected in the manner hereinafter provided; and
4to determine all rights to credit memoranda arising on account
5of the erroneous payment of tax or penalty hereunder.
6    For purposes of this Act, "airport-related purposes" has
7the meaning ascribed in Section 6z-20.2 of the State Finance
8Act. Beginning January 1, 2021, this tax is not imposed on
9sales of aviation fuel This exclusion for aviation fuel only
10applies for so long as the revenue use requirements of 49
11U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
12District.
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, and except
23that the retailer's discount is not allowed for taxes paid on
24aviation fuel that are subject to the revenue use requirements
25of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 deposited into the
26Local Government Aviation Trust Fund), 4, 5, 5a, 5b, 5c, 5d,

 

 

SB0119 Enrolled- 402 -LRB101 06854 HLH 51885 b

15e, 5f, 5g, 5h, 5i, 5l, 6, 6a, 6b, 6c, 6d, 7, 8, 9, 10, 11, 11a,
212, and 13 of the Retailers' Occupation Tax Act and all
3provisions of the Uniform Penalty and Interest Act as if those
4provisions were set forth in this subsection.
5    Persons subject to any tax imposed under this Section may
6reimburse themselves for their seller's tax liability
7hereunder by separately stating the tax as an additional
8charge, which charge may be stated in combination in a single
9amount with State taxes that sellers are required to collect
10under the Use Tax Act, under any bracket schedules the
11Department may prescribe.
12    If a tax is imposed under this subsection (a), a tax shall
13also be imposed under subsection (b) of this Section.
14    (b) If a tax has been imposed under subsection (a), a flood
15prevention service occupation tax shall also be imposed upon
16all persons engaged within the territory of the district in the
17business of making sales of service, who, as an incident to
18making the sales of service, transfer tangible personal
19property, either in the form of tangible personal property or
20in the form of real estate as an incident to a sale of service
21to provide revenue to pay the costs of providing emergency
22levee repair and flood prevention and to secure the payment of
23bonds, notes, and other evidences of indebtedness issued under
24this Act for a period not to exceed 25 years or as required to
25repay the bonds, notes, and other evidences of indebtedness.
26The tax rate shall be 0.25% of the selling price of all

 

 

SB0119 Enrolled- 403 -LRB101 06854 HLH 51885 b

1tangible personal property transferred. Beginning December 1,
22019 and through December 31, 2020, this tax is not imposed on
3sales of aviation fuel unless the tax revenue is expended for
4airport-related purposes. If the District does not have an
5airport-related purpose to which it dedicates aviation fuel tax
6revenue, then aviation fuel is excluded from the tax. The
7County must comply with the certification requirements for
8airport-related purposes under Section 2-22 of the Retailers'
9Occupation Tax Act 5-1184 of the Counties Code. For purposes of
10this Act, "airport-related purposes" has the meaning ascribed
11in Section 6z-20.2 of the State Finance Act. Beginning January
121, 2021, this tax is not imposed on sales of aviation fuel This
13exclusion for aviation fuel only applies for so long as the
14revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
1547133 are binding on the District.
16    The tax imposed under this subsection and all civil
17penalties that may be assessed as an incident thereof shall be
18collected and enforced by the State Department of Revenue. The
19Department shall have full power to administer and enforce this
20subsection; to collect all taxes and penalties due hereunder;
21to dispose of taxes and penalties collected in the manner
22hereinafter provided; and to determine all rights to credit
23memoranda arising on account of the erroneous payment of tax or
24penalty hereunder.
25    In the administration of and compliance with this
26subsection, the Department and persons who are subject to this

 

 

SB0119 Enrolled- 404 -LRB101 06854 HLH 51885 b

1subsection shall (i) have the same rights, remedies,
2privileges, immunities, powers, and duties, (ii) be subject to
3the same conditions, restrictions, limitations, penalties, and
4definitions of terms, and (iii) employ the same modes of
5procedure as are set forth in Sections 2 (except that the
6reference to State in the definition of supplier maintaining a
7place of business in this State means the district), 2a through
82d, 3 through 3-50 (in respect to all provisions contained in
9those Sections other than the State rate of tax), 4 (except
10that the reference to the State shall be to the district), 5,
117, 8 (except that the jurisdiction to which the tax is a debt
12to the extent indicated in that Section 8 is the district), 9
13(except as to the disposition of taxes and penalties collected,
14and except that the retailer's discount is not allowed for
15taxes paid on aviation fuel that are subject to the revenue use
16requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133
17deposited into the Local Government Aviation Trust Fund), 10,
1811, 12 (except the reference therein to Section 2b of the
19Retailers' Occupation Tax Act), 13 (except that any reference
20to the State means the district), Section 15, 16, 17, 18, 19,
21and 20 of the Service Occupation Tax Act and all provisions of
22the Uniform Penalty and Interest Act, as fully as if those
23provisions 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 hereunder by separately stating the

 

 

SB0119 Enrolled- 405 -LRB101 06854 HLH 51885 b

1tax as an additional charge, that charge may be stated in
2combination in a single amount with State tax that servicemen
3are authorized to collect under the Service Use Tax Act, under
4any bracket schedules the Department may prescribe.
5    (c) The taxes imposed in subsections (a) and (b) may not be
6imposed on personal property titled or registered with an
7agency of the State or on personal property taxed at the 1%
8rate under the Retailers' Occupation Tax Act and the Service
9Occupation Tax Act.
10    (d) Nothing in this Section shall be construed to authorize
11the district to impose a tax upon the privilege of engaging in
12any business that under the Constitution of the United States
13may not be made the subject of taxation by the State.
14    (e) The certificate of registration that is issued by the
15Department to a retailer under the Retailers' Occupation Tax
16Act or a serviceman under the Service Occupation Tax Act
17permits the retailer or serviceman to engage in a business that
18is taxable without registering separately with the Department
19under an ordinance or resolution under this Section.
20    (f) Except as otherwise provided, the Department shall
21immediately pay over to the State Treasurer, ex officio, as
22trustee, all taxes and penalties collected under this Section
23to be deposited into the Flood Prevention Occupation Tax Fund,
24which shall be an unappropriated trust fund held outside the
25State treasury. Taxes and penalties collected on aviation fuel
26sold on or after December 1, 2019 and through December 31,

 

 

SB0119 Enrolled- 406 -LRB101 06854 HLH 51885 b

12020, shall be immediately paid over by the Department to the
2State Treasurer, ex officio, as trustee, for deposit into the
3Local Government Aviation Trust Fund. The Department shall only
4pay moneys into the Local Government State Aviation Trust
5Program Fund under this Act for so long as the revenue use
6requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
7binding on the District.
8    On or before the 25th day of each calendar month, the
9Department shall prepare and certify to the Comptroller the
10disbursement of stated sums of money to the counties from which
11retailers or servicemen have paid taxes or penalties to the
12Department during the second preceding calendar month. The
13amount to be paid to each county is equal to the amount (not
14including credit memoranda and not including taxes and
15penalties collected on aviation fuel sold on or after December
161, 2019 and through December 31, 2020) collected from the
17county under this Section during the second preceding calendar
18month by the Department, (i) less 2% of that amount (except the
19amount collected on aviation fuel sold on or after December 1,
202019 and through December 31, 2020), which shall be deposited
21into the Tax Compliance and Administration Fund and shall be
22used by the Department in administering and enforcing the
23provisions of this Section on behalf of the county, (ii) plus
24an amount that the Department determines is necessary to offset
25any amounts that were erroneously paid to a different taxing
26body; (iii) less an amount equal to the amount of refunds made

 

 

SB0119 Enrolled- 407 -LRB101 06854 HLH 51885 b

1during the second preceding calendar month by the Department on
2behalf of the county; and (iv) less 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 county. When certifying the amount of a monthly
6disbursement to a county under this Section, the Department
7shall increase or decrease the amounts by an amount necessary
8to offset any miscalculation of previous disbursements within
9the previous 6 months from the time a miscalculation is
10discovered.
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 or the Local
23Government Aviation Trust Fund, as appropriate.
24    (g) If a county imposes a tax under this Section, then the
25county board shall, by ordinance, discontinue the tax upon the
26payment of all indebtedness of the flood prevention district.

 

 

SB0119 Enrolled- 408 -LRB101 06854 HLH 51885 b

1The tax shall not be discontinued until all indebtedness of the
2District has been paid.
3    (h) Any ordinance imposing the tax under this Section, or
4any ordinance that discontinues the tax, must be certified by
5the county clerk and filed with the Illinois Department of
6Revenue either (i) on or before the first day of April,
7whereupon the Department shall proceed to administer and
8enforce the tax or change in the rate as of the first day of
9July next following the filing; or (ii) on or before the first
10day of October, whereupon the Department shall proceed to
11administer and enforce the tax or change in the rate as of the
12first day of January next following the filing.
13    (j) County Flood Prevention Occupation Tax Fund. All
14proceeds received by a county from a tax distribution under
15this Section must be maintained in a special fund known as the
16[name of county] flood prevention occupation tax fund. The
17county shall, at the direction of the flood prevention
18district, use moneys in the fund to pay the costs of providing
19emergency levee repair and flood prevention and to pay bonds,
20notes, and other evidences of indebtedness issued under this
21Act.
22    (k) This Section may be cited as the Flood Prevention
23Occupation Tax Law.
24(Source: P.A. 100-1171, eff. 1-4-19; 101-10, eff. 6-5-19.)
 
25    Section 10-95. The Metro-East Park and Recreation District

 

 

SB0119 Enrolled- 409 -LRB101 06854 HLH 51885 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 tangible personal
12property taxed at the 1% rate under the Retailers' Occupation
13Tax Act. Beginning December 1, 2019 and through December 31,
142020, this tax is not imposed on sales of aviation fuel unless
15the tax revenue is expended for airport-related purposes. If
16the District does not have an airport-related purpose to which
17it dedicates aviation fuel tax revenue, then aviation fuel
18shall be excluded from tax. The board must comply with the
19certification requirements for airport-related purposes under
20Section 2-22 of the Retailers' Occupation Tax Act. For purposes
21of this Act, "airport-related purposes" has the meaning
22ascribed in Section 6z-20.2 of the State Finance Act. Beginning
23January 1, 2021, this tax is not imposed on sales of aviation
24fuel This exception for aviation fuel only applies for so long
25as the revenue use requirements of 49 U.S.C. 47107(b) and 49

 

 

SB0119 Enrolled- 410 -LRB101 06854 HLH 51885 b

1U.S.C. 47133 are binding on the District. The tax imposed by
2the Board under this Section and all civil penalties that may
3be assessed as an incident of the tax shall be collected and
4enforced by the Department of Revenue. The certificate of
5registration that is issued by the Department to a retailer
6under the Retailers' Occupation Tax Act shall permit the
7retailer to engage in a business that is taxable without
8registering separately with the Department under an ordinance
9or resolution under this Section. The Department has full power
10to administer and enforce this Section, to collect all taxes
11and penalties due under this Section, to dispose of taxes and
12penalties so collected in the manner provided in this Section,
13and to determine all rights to credit memoranda arising on
14account of the erroneous payment of a tax or penalty under this
15Section. In the administration of and compliance with this
16Section, the Department and persons who are subject to this
17Section shall (i) have the same rights, remedies, privileges,
18immunities, powers, and duties, (ii) be subject to the same
19conditions, restrictions, limitations, penalties, and
20definitions of terms, and (iii) employ the same modes of
21procedure as are prescribed in Sections 1, 1a, 1a-1, 1d, 1e,
221f, 1i, 1j, 1k, 1m, 1n, 2, 2-5, 2-5.5, 2-10 (in respect to all
23provisions contained in those Sections other than the State
24rate of tax), 2-12, 2-15 through 2-70, 2a, 2b, 2c, 3 (except
25provisions relating to transaction returns and quarter monthly
26payments, and except that the retailer's discount is not

 

 

SB0119 Enrolled- 411 -LRB101 06854 HLH 51885 b

1allowed for taxes paid on aviation fuel that are subject to the
2revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
347133 deposited into the Local Government Aviation Trust Fund),
44, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b,
56c, 6d, 7, 8, 9, 10, 11, 11a, 12, and 13 of the Retailers'
6Occupation Tax Act and the Uniform Penalty and Interest Act as
7if those provisions were set forth in this Section.
8    On or before September 1, 2019, and on or before each April
91 and October 1 thereafter, the Board must certify to the
10Department of Transportation, in the form and manner required
11by the Department, whether the District has an airport-related
12purpose, which would allow any Retailers' Occupation Tax and
13Service Occupation Tax imposed by the District to include tax
14on aviation fuel. On or before October 1, 2019, and on or
15before each May 1 and November 1 thereafter, the Department of
16Transportation shall provide to the Department of Revenue, a
17list of units of local government which have certified to the
18Department of Transportation that they have airport-related
19purposes, which would allow any Retailers' Occupation Tax and
20Service Occupation Tax imposed by the unit of local government
21to include tax on aviation fuel. All disputes regarding whether
22or not a unit of local government has an airport-related
23purpose shall be resolved by the Department of Transportation.
24    Persons subject to any tax imposed under the authority
25granted in this Section may reimburse themselves for their
26sellers' tax liability by separately stating the tax as an

 

 

SB0119 Enrolled- 412 -LRB101 06854 HLH 51885 b

1additional charge, which charge may be stated in combination,
2in a single amount, with State tax which sellers are required
3to collect under the Use Tax Act, pursuant to such bracketed
4schedules as the Department may prescribe.
5    Whenever the Department determines that a refund should be
6made under this Section to a claimant instead of issuing a
7credit memorandum, the Department shall notify the State
8Comptroller, who shall cause the order 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 State Metro-East Park and Recreation
12District Fund or the Local Government Aviation Trust Fund, as
13appropriate.
14    (b) If a tax has been imposed under subsection (a), a
15service occupation tax shall also be imposed at the same rate
16upon all persons engaged, in the District, in the business of
17making sales of service, who, as an incident to making those
18sales of service, transfer tangible personal property within
19the District as an incident to a sale of service. This tax may
20not be imposed on tangible personal property taxed at the 1%
21rate under the Service Occupation Tax Act. Beginning December
221, 2019 and through December 31, 2020, this tax may not be
23imposed on sales of aviation fuel unless the tax revenue is
24expended for airport-related purposes. If the District does not
25have an airport-related purpose to which it dedicates aviation
26fuel tax revenue, then aviation fuel shall be excluded from

 

 

SB0119 Enrolled- 413 -LRB101 06854 HLH 51885 b

1tax. The board must comply with the certification requirements
2for airport-related purposes under Section 2-22 of the
3Retailers' Occupation Tax Act. For purposes of this Act,
4"airport-related purposes" has the meaning ascribed in Section
56z-20.2 of the State Finance Act. Beginning January 1, 2021,
6this tax is not imposed on sales of aviation fuel This
7exception for aviation fuel only applies for so long as the
8revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
947133 are binding on the District. The tax imposed under this
10subsection and all civil penalties that may be assessed as an
11incident thereof shall be collected and enforced by the
12Department of Revenue. The Department has full power to
13administer and enforce this subsection; to collect all taxes
14and penalties due hereunder; to dispose of taxes and penalties
15so collected in the manner hereinafter provided; and to
16determine all rights to credit memoranda arising on account of
17the erroneous payment of tax or penalty hereunder. In the
18administration of, and compliance with this subsection, the
19Department and persons who are subject to this paragraph shall
20(i) have the same rights, remedies, privileges, immunities,
21powers, and duties, (ii) be subject to the same conditions,
22restrictions, limitations, penalties, exclusions, exemptions,
23and definitions of terms, and (iii) employ the same modes of
24procedure as are prescribed in Sections 2 (except that the
25reference to State in the definition of supplier maintaining a
26place of business in this State shall mean the District), 2a,

 

 

SB0119 Enrolled- 414 -LRB101 06854 HLH 51885 b

12b, 2c, 3 through 3-50 (in respect to all provisions therein
2other than the State rate of tax), 4 (except that the reference
3to the State shall be to the District), 5, 7, 8 (except that
4the jurisdiction to which the tax shall be a debt to the extent
5indicated in that Section 8 shall be the District), 9 (except
6as to the disposition of taxes and penalties collected, and
7except that the retailer's discount is not allowed for taxes
8paid on aviation fuel that are subject to the revenue use
9requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133
10deposited into the Local Government Aviation Trust Fund), 10,
1111, 12 (except the reference therein to Section 2b of the
12Retailers' Occupation Tax Act), 13 (except that any reference
13to the State shall mean the District), Sections 15, 16, 17, 18,
1419 and 20 of the Service Occupation Tax Act and the Uniform
15Penalty and Interest Act, as fully as if those provisions were
16set forth herein.
17    On or before September 1, 2019, and on or before each April
181 and October 1 thereafter, the Board must certify to the
19Department of Transportation, in the form and manner required
20by the Department, whether the District has an airport-related
21purpose, which would allow any Retailers' Occupation Tax and
22Service Occupation Tax imposed by the District to include tax
23on aviation fuel. On or before October 1, 2019, and on or
24before each May 1 and November 1 thereafter, the Department of
25Transportation shall provide to the Department of Revenue, a
26list of units of local government which have certified to the

 

 

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1Department of Transportation that they have airport-related
2purposes, which would allow any Retailers' Occupation Tax and
3Service Occupation Tax imposed by the unit of local government
4to include tax on aviation fuel. All disputes regarding whether
5or not a unit of local government has an airport-related
6purpose shall be resolved by the Department of Transportation.
7    Persons subject to any tax imposed under the authority
8granted in this subsection may reimburse themselves for their
9serviceman's tax liability by separately stating the tax as an
10additional charge, which charge may be stated in combination,
11in a single amount, with State tax that servicemen are
12authorized to collect under the Service Use Tax Act, in
13accordance with such bracket schedules as the Department may
14prescribe.
15    Whenever the Department determines that a refund should be
16made under this subsection to a claimant instead of issuing a
17credit memorandum, the Department shall notify the State
18Comptroller, who shall cause the warrant to be drawn for the
19amount specified, and to the person named, in the notification
20from the Department. The refund shall be paid by the State
21Treasurer out of the State Metro-East Park and Recreation
22District Fund or the Local Government Aviation Trust Fund, as
23appropriate.
24    Nothing in this subsection shall be construed to authorize
25the board to impose a tax upon the privilege of engaging in any
26business which under the Constitution of the United States may

 

 

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1not be made the subject of taxation by the State.
2    (c) Except as otherwise provided in this paragraph, the
3Department shall immediately pay over to the State Treasurer,
4ex officio, as trustee, all taxes and penalties collected under
5this Section to be deposited into the State Metro-East Park and
6Recreation District Fund, which shall be an unappropriated
7trust fund held outside of the State treasury. Taxes and
8penalties collected on aviation fuel sold on or after December
91, 2019 and through December 31, 2020, shall be immediately
10paid over by the Department to the State Treasurer, ex officio,
11as trustee, for deposit into the Local Government Aviation
12Trust Fund. The Department shall only pay moneys into the Local
13Government State Aviation Trust Program Fund under this Act for
14so long as the revenue use requirements of 49 U.S.C. 47107(b)
15and 49 U.S.C. 47133 are binding on the District.
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. The Department shall make this
24certification only if the Metro East Park and Recreation
25District imposes a tax on real property as provided in the
26definition of "local sales taxes" under the Innovation

 

 

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1Development and Economy Act.
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 pursuant to Section 35 of
6this Act to the District from which retailers have paid taxes
7or penalties to the Department during the second preceding
8calendar month. The amount to be paid to the District shall be
9the amount (not including credit memoranda and not including
10taxes and penalties collected on aviation fuel sold on or after
11December 1, 2019 and through December 31, 2020) collected under
12this Section during the second preceding calendar month by the
13Department plus an amount the Department determines is
14necessary to offset any amounts that were erroneously paid to a
15different taxing body, and not including (i) an amount equal to
16the amount of refunds made during the second preceding calendar
17month by the Department on behalf of the District, (ii) any
18amount that the Department determines is necessary to offset
19any amounts that were payable to a different taxing body but
20were erroneously paid to the District, (iii) any amounts that
21are transferred to the STAR Bonds Revenue Fund, and (iv) 1.5%
22of the remainder, which the Department shall transfer into the
23Tax Compliance and Administration Fund. The Department, at the
24time of each monthly disbursement to the District, shall
25prepare and certify to the State Comptroller the amount to be
26transferred into the Tax Compliance and Administration Fund

 

 

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1under this subsection. Within 10 days after receipt by the
2Comptroller of the disbursement certification to the District
3and the Tax Compliance and Administration Fund provided for in
4this Section to be given to the Comptroller by the Department,
5the Comptroller shall cause the orders to be drawn for the
6respective amounts in accordance with directions contained in
7the certification.
8    (d) For the purpose of determining whether a tax authorized
9under this Section is applicable, a retail sale by a producer
10of coal or another mineral mined in Illinois is a sale at
11retail at the place where the coal or other mineral mined in
12Illinois is extracted from the earth. This paragraph does not
13apply to coal or another mineral when it is delivered or
14shipped by the seller to the purchaser at a point outside
15Illinois so that the sale is exempt under the United States
16Constitution as a sale in interstate or foreign commerce.
17    (e) Nothing in this Section shall be construed to authorize
18the board to impose a tax upon the privilege of engaging in any
19business that under the Constitution of the United States may
20not be made the subject of taxation by this State.
21    (f) An ordinance imposing a tax under this Section or an
22ordinance extending the imposition of a tax to an additional
23county or counties shall be certified by the board and filed
24with the Department of Revenue either (i) on or before the
25first day of April, whereupon the Department shall proceed to
26administer and enforce the tax as of the first day of July next

 

 

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1following the filing; or (ii) on or before the first day of
2October, whereupon the Department shall proceed to administer
3and enforce the tax as of the first day of January next
4following the filing.
5    (g) When certifying the amount of a monthly disbursement to
6the District under this Section, the Department shall increase
7or decrease the amounts by an amount necessary to offset any
8misallocation of previous disbursements. The offset amount
9shall be the amount erroneously disbursed within the previous 6
10months from the time a misallocation is discovered.
11(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18;
12100-1171, eff. 1-4-19; 101-10, eff. 6-5-19; 101-81, eff.
137-12-19; revised 9-12-19.)
 
14    Section 10-100. The Local Mass Transit District Act is
15amended by changing Section 5.01 as follows:
 
16    (70 ILCS 3610/5.01)   (from Ch. 111 2/3, par. 355.01)
17    Sec. 5.01. Metro East Mass Transit District; use and
18occupation taxes.
19    (a) The Board of Trustees of any Metro East Mass Transit
20District may, by ordinance adopted with the concurrence of
21two-thirds of the then trustees, impose throughout the District
22any or all of the taxes and fees provided in this Section.
23Except as otherwise provided, all taxes and fees imposed under
24this Section shall be used only for public mass transportation

 

 

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1systems, and the amount used to provide mass transit service to
2unserved areas of the District shall be in the same proportion
3to the total proceeds as the number of persons residing in the
4unserved areas is to the total population of the District.
5Except as otherwise provided in this Act, taxes imposed under
6this Section and civil penalties imposed incident thereto shall
7be collected and enforced by the State Department of Revenue.
8The Department shall have the power to administer and enforce
9the taxes and to determine all rights for refunds for erroneous
10payments of the taxes.
11    (b) The Board may impose a Metro East Mass Transit District
12Retailers' Occupation Tax upon all persons engaged in the
13business of selling tangible personal property at retail in the
14district at a rate of 1/4 of 1%, or as authorized under
15subsection (d-5) of this Section, of the gross receipts from
16the sales made in the course of such business within the
17district, except that the rate of tax imposed under this
18Section on sales of aviation fuel on or after December 1, 2019
19shall be 0.25% in Madison County unless the Metro-East Mass
20Transit District in Madison County has an "airport-related
21purpose" and any additional amount authorized under subsection
22(d-5) is expended for airport-related purposes. If there is no
23airport-related purpose to which aviation fuel tax revenue is
24dedicated, then aviation fuel is excluded from any additional
25amount authorized under subsection (d-5) future increase in the
26tax. The rate in St. Clair County shall be 0.25% unless the

 

 

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1Metro-East Mass Transit District in St. Clair County has an
2"airport-related purpose" and the additional 0.50% of the 0.75%
3tax on aviation fuel imposed in that County is expended for
4airport-related purposes. If there is no airport-related
5purpose to which aviation fuel tax revenue is dedicated, then
6aviation fuel is excluded from the additional 0.50% of the
70.75% tax.
8    On or before September 1, 2019, and on or before each April
91 and October 1 thereafter, each Metro-East Mass Transit
10District and Madison and St. Clair Counties must certify to the
11Department of Transportation, in the form and manner required
12by the Department, whether they have an airport-related
13purpose, which would allow any Retailers' Occupation Tax and
14Service Occupation Tax imposed under this Act to include tax on
15aviation fuel. On or before October 1, 2019, and on or before
16each May 1 and November 1 thereafter, the Department of
17Transportation shall provide to the Department of Revenue, a
18list of units of local government which have certified to the
19Department of Transportation that they have airport-related
20purposes, which would allow any Retailers' Occupation Tax and
21Service Occupation Tax imposed by the unit of local government
22to include tax on aviation fuel. All disputes regarding whether
23or not a unit of local government has an airport-related
24purpose shall be resolved by the Department of Transportation.
25    The Board must comply with the certification requirements
26for airport-related purposes under Section 2-22 of the

 

 

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1Retailers' Occupation Tax Act. For purposes of this Section
2Act, "airport-related purposes" has the meaning ascribed in
3Section 6z-20.2 of the State Finance Act. This exclusion for
4aviation fuel only applies for so long as the revenue use
5requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
6binding on the District.
7    The tax imposed under this Section and all civil penalties
8that may be assessed as an incident thereof shall be collected
9and enforced by the State Department of Revenue. The Department
10shall have full power to administer and enforce this Section;
11to collect all taxes and penalties so collected in the manner
12hereinafter provided; and to determine all rights to credit
13memoranda arising on account of the erroneous payment of tax or
14penalty hereunder. In the administration of, and compliance
15with, this Section, the Department and persons who are subject
16to this Section shall have the same rights, remedies,
17privileges, immunities, powers and duties, and be subject to
18the same conditions, restrictions, limitations, penalties,
19exclusions, exemptions and definitions of terms and employ the
20same modes of procedure, as are prescribed in Sections 1, 1a,
211a-1, 1c, 1d, 1e, 1f, 1i, 1j, 2 through 2-65 (in respect to all
22provisions therein other than the State rate of tax), 2c, 3
23(except as to the disposition of taxes and penalties collected,
24and except that the retailer's discount is not allowed for
25taxes paid on aviation fuel that are subject to the revenue use
26requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133

 

 

SB0119 Enrolled- 423 -LRB101 06854 HLH 51885 b

1deposited into the Local Government Aviation Trust Fund), 4, 5,
25a, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d,
37, 8, 9, 10, 11, 12, 13, and 14 of the Retailers' Occupation
4Tax Act and Section 3-7 of the Uniform Penalty and Interest
5Act, as fully as if those provisions were set forth herein.
6    Persons subject to any tax imposed under the Section may
7reimburse themselves for their seller's tax liability
8hereunder by separately stating the tax as an additional
9charge, which charge may be stated in combination, in a single
10amount, with State taxes that sellers are required to collect
11under the Use Tax Act, in accordance with such bracket
12schedules 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 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 Metro East Mass Transit District tax fund
20established under paragraph (h) of this Section or the Local
21Government Aviation Trust Fund, as appropriate.
22    If a tax is imposed under this subsection (b), a tax shall
23also be imposed under subsections (c) and (d) of 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 other mineral mined in Illinois, is a sale at retail

 

 

SB0119 Enrolled- 424 -LRB101 06854 HLH 51885 b

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 other 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 Federal Constitution as a sale in
6interstate or foreign commerce.
7    No tax shall be imposed or collected under this subsection
8on the sale of a motor vehicle in this State to a resident of
9another state if that motor vehicle will not be titled in this
10State.
11    Nothing in this Section shall be construed to authorize the
12Metro East Mass Transit District to impose a tax upon the
13privilege of engaging in any business which under the
14Constitution of the United States may not be made the subject
15of taxation by this State.
16    (c) If a tax has been imposed under subsection (b), a Metro
17East Mass Transit District Service Occupation Tax shall also be
18imposed upon all persons engaged, in the district, in the
19business of making sales of service, who, as an incident to
20making those sales of service, transfer tangible personal
21property within the District, either in the form of tangible
22personal property or in the form of real estate as an incident
23to a sale of service. The tax rate shall be 1/4%, or as
24authorized under subsection (d-5) of this Section, of the
25selling price of tangible personal property so transferred
26within the district, except that the rate of tax imposed in

 

 

SB0119 Enrolled- 425 -LRB101 06854 HLH 51885 b

1these Counties under this Section on sales of aviation fuel on
2or after December 1, 2019 shall be 0.25% in Madison County
3unless the Metro-East Mass Transit District in Madison County
4has an "airport-related purpose" and any additional amount
5authorized under subsection (d-5) is expended for
6airport-related purposes. If there is no airport-related
7purpose to which aviation fuel tax revenue is dedicated, then
8aviation fuel is excluded from any additional amount authorized
9under subsection (d-5) future increase in the tax. The rate in
10St. Clair County shall be 0.25% unless the Metro-East Mass
11Transit District in St. Clair County has an "airport-related
12purpose" and the additional 0.50% of the 0.75% tax on aviation
13fuel is expended for airport-related purposes. If there is no
14airport-related purpose to which aviation fuel tax revenue is
15dedicated, then aviation fuel is excluded from the additional
160.50% of the 0.75% tax.
17    On or before December 1, 2019, and on or before each May 1
18and November 1 thereafter, each Metro-East Mass Transit
19District and Madison and St. Clair Counties must certify to the
20Department of Transportation, in the form and manner required
21by the Department, whether they have an airport-related
22purpose, which would allow any Retailers' Occupation Tax and
23Service Occupation Tax imposed under this Act to include tax on
24aviation fuel. On or before October 1, 2019, and on or before
25each May 1 and November 1 thereafter, the Department of
26Transportation shall provide to the Department of Revenue, a

 

 

SB0119 Enrolled- 426 -LRB101 06854 HLH 51885 b

1list of units of local government which have certified to the
2Department of Transportation that they have airport-related
3purposes, which would allow any Retailers' Occupation Tax and
4Service Occupation Tax imposed by the unit of local government
5to include tax on aviation fuel. All disputes regarding whether
6or not a unit of local government has an airport-related
7purpose shall be resolved by the Department of Transportation.
8    The Board must comply with the certification requirements
9for airport-related purposes under Section 2-22 of the
10Retailers' Occupation Tax Act. For purposes of this Section
11Act, "airport-related purposes" has the meaning ascribed in
12Section 6z-20.2 of the State Finance Act. This exclusion for
13aviation fuel only applies for so long as the revenue use
14requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
15binding on the District.
16    The tax imposed under this paragraph and all civil
17penalties that may be assessed as an incident thereof shall be
18collected and enforced by the State Department of Revenue. The
19Department shall have full power to administer and enforce this
20paragraph; to collect all taxes and penalties due hereunder; to
21dispose of taxes and penalties so collected in the manner
22hereinafter provided; and to determine all rights to credit
23memoranda arising on account of the erroneous payment of tax or
24penalty hereunder. In the administration of, and compliance
25with this paragraph, the Department and persons who are subject
26to this paragraph shall have the same rights, remedies,

 

 

SB0119 Enrolled- 427 -LRB101 06854 HLH 51885 b

1privileges, immunities, powers and duties, and be subject to
2the same conditions, restrictions, limitations, penalties,
3exclusions, exemptions and definitions of terms and employ the
4same modes of procedure as are prescribed in Sections 1a-1, 2
5(except that the reference to State in the definition of
6supplier maintaining a place of business in this State shall
7mean the Authority), 2a, 3 through 3-50 (in respect to all
8provisions therein other than the State rate of tax), 4 (except
9that the reference to the State shall be to the Authority), 5,
107, 8 (except that the jurisdiction to which the tax shall be a
11debt to the extent indicated in that Section 8 shall be the
12District), 9 (except as to the disposition of taxes and
13penalties collected, and except that the returned merchandise
14credit for this tax may not be taken against any State tax, and
15except that the retailer's discount is not allowed for taxes
16paid on aviation fuel that are subject to the revenue use
17requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133
18deposited into the Local Government Aviation Trust Fund), 10,
1911, 12 (except the reference therein to Section 2b of the
20Retailers' Occupation Tax Act), 13 (except that any reference
21to the State shall mean the District), the first paragraph of
22Section 15, 16, 17, 18, 19 and 20 of the Service Occupation Tax
23Act and Section 3-7 of the Uniform Penalty and Interest Act, as
24fully as if those provisions were set forth herein.
25    Persons subject to any tax imposed under the authority
26granted in this paragraph may reimburse themselves for their

 

 

SB0119 Enrolled- 428 -LRB101 06854 HLH 51885 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 or the Local
15Government Aviation Trust Fund, as appropriate.
16    Nothing in this paragraph shall be construed to authorize
17the District to impose a tax upon the privilege of engaging in
18any business which under the Constitution of the United States
19may not be made the subject of taxation by the State.
20    (d) If a tax has been imposed under subsection (b), a Metro
21East Mass Transit District Use Tax shall also be imposed upon
22the privilege of using, in the district, any item of tangible
23personal property that is purchased outside the district at
24retail from a retailer, and that is titled or registered with
25an agency of this State's government, at a rate of 1/4%, or as
26authorized under subsection (d-5) of this Section, of the

 

 

SB0119 Enrolled- 429 -LRB101 06854 HLH 51885 b

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

 

 

SB0119 Enrolled- 430 -LRB101 06854 HLH 51885 b

1exemptions and definitions of terms and employ the same modes
2of procedure, as are prescribed in Sections 2 (except the
3definition of "retailer maintaining a place of business in this
4State"), 3 through 3-80 (except provisions pertaining to the
5State rate of tax, and except provisions concerning collection
6or refunding of the tax by retailers), 4, 11, 12, 12a, 14, 15,
719 (except the portions pertaining to claims by retailers and
8except the last paragraph concerning refunds), 20, 21 and 22 of
9the Use Tax Act and Section 3-7 of the Uniform Penalty and
10Interest Act, that are not inconsistent with this paragraph, as
11fully as if those provisions were set forth herein.
12    Whenever the Department determines that a refund should be
13made under this paragraph 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 Metro East Mass Transit District tax fund
19established under paragraph (h) of this Section.
20    (d-5) (A) The county board of any county participating in
21the Metro East Mass Transit District may authorize, by
22ordinance, a referendum on the question of whether the tax
23rates for the Metro East Mass Transit District Retailers'
24Occupation Tax, the Metro East Mass Transit District Service
25Occupation Tax, and the Metro East Mass Transit District Use
26Tax for the District should be increased from 0.25% to 0.75%.

 

 

SB0119 Enrolled- 431 -LRB101 06854 HLH 51885 b

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

 

 

SB0119 Enrolled- 432 -LRB101 06854 HLH 51885 b

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

 

 

SB0119 Enrolled- 433 -LRB101 06854 HLH 51885 b

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

 

 

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1personal property titled or registered with an agency of this
2State's government as of the following January 1. After
3December 31, 1995, any reimposed rate increase in effect under
4this subsection shall no longer apply to tangible personal
5property titled or registered with an agency of this State's
6government. Beginning January 1, 1996, the Board of Trustees of
7any Metro East Mass Transit District may never reimpose a
8previously excluded tax rate increase on tangible personal
9property titled or registered with an agency of this State's
10government. After July 1, 2004, if the voters have approved a
11referendum under this subsection to increase the tax rate under
12this subsection, the Metro East Mass Transit District Board of
13Trustees may adopt by a majority vote an ordinance that
14excludes from the rate increase tangible personal property that
15is titled or registered with an agency of this State's
16government. The ordinance excluding titled or registered
17tangible personal property from the rate increase shall be
18adopted, and a certified copy of that ordinance shall be filed
19with the Department on or before October 1, whereupon the
20Department shall administer and enforce this exclusion from the
21rate increase as of the following January 1, or on or before
22April 1, whereupon the Department shall administer and enforce
23this exclusion from the rate increase as of the following July
241. The Board of Trustees of any Metro East Mass Transit
25District may never reimpose a previously excluded tax rate
26increase on tangible personal property titled or registered

 

 

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

 

 

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1subsection (d-6) and all civil penalties that may be assessed
2as an incident of the fees shall be collected and enforced by
3the State Department of Revenue. Reference to "taxes" in this
4Section shall be construed to apply to the administration,
5payment, and remittance of all fees under this Section. For
6purposes of any fee imposed under subsection (d-6), 4% of the
7fee, penalty, and interest received by the Department in the
8first 12 months that the fee is collected and enforced by the
9Department and 2% of the fee, penalty, and interest following
10the first 12 months (except the amount collected on aviation
11fuel sold on or after December 1, 2019) shall be deposited into
12the Tax Compliance and Administration Fund and shall be used by
13the Department, subject to appropriation, to cover the costs of
14the Department. No retailers' discount shall apply to any fee
15imposed under subsection (d-6).
16    (d-8) No item of titled property shall be subject to both
17the higher rate approved by referendum, as authorized under
18subsection (d-5), and any fee imposed under subsection (d-6) or
19(d-7).
20    (d-9) (Blank).
21    (d-10) (Blank).
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

 

 

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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) (Blank).
6    (g) Any ordinance imposing or discontinuing any tax under
7this Section shall be adopted and a certified copy thereof
8filed with the Department on or before June 1, whereupon the
9Department of Revenue shall proceed to administer and enforce
10this Section on behalf of the Metro East Mass Transit District
11as of September 1 next following such adoption and filing.
12Beginning January 1, 1992, an ordinance or resolution imposing
13or discontinuing the tax hereunder shall be adopted and a
14certified copy thereof filed with the Department on or before
15the first day of July, whereupon the Department shall proceed
16to administer and enforce this Section as of the first day of
17October next following such adoption and filing. Beginning
18January 1, 1993, except as provided in subsection (d-5) of this
19Section, an ordinance or resolution imposing or discontinuing
20the tax hereunder shall be adopted and a certified copy thereof
21filed with the Department on or before the first day of
22October, whereupon the Department shall proceed to administer
23and enforce this Section as of the first day of January next
24following such adoption and filing, or, beginning January 1,
252004, on or before the first day of April, whereupon the
26Department shall proceed to administer and enforce this Section

 

 

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1as of the first day of July next following the adoption and
2filing.
3    (h) Except as provided in subsection (d-7.1), the State
4Department of Revenue shall, upon collecting any taxes as
5provided in this Section, pay the taxes over to the State
6Treasurer as trustee for the District. The taxes shall be held
7in a trust fund outside the State Treasury. If an
8airport-related purpose has been certified, taxes Taxes and
9penalties collected in St. Clair County Counties on aviation
10fuel sold on or after December 1, 2019 from the 0.50% of the
110.75% rate shall be immediately paid over by the Department to
12the State Treasurer, ex officio, as trustee, for deposit into
13the Local Government Aviation Trust Fund. The Department shall
14only pay moneys into the Local Government Aviation Trust Fund
15under this Act for so long as the revenue use requirements of
1649 U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
17District.
18    As soon as possible after the first day of each month,
19beginning January 1, 2011, upon certification of the Department
20of Revenue, the Comptroller shall order transferred, and the
21Treasurer shall transfer, to the STAR Bonds Revenue Fund the
22local sales tax increment, as defined in the Innovation
23Development and Economy Act, collected under this Section
24during the second preceding calendar month for sales within a
25STAR bond district. The Department shall make this
26certification only if the local mass transit district imposes a

 

 

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1tax on real property as provided in the definition of "local
2sales taxes" under the Innovation Development and Economy Act.
3    After the monthly transfer to the STAR Bonds Revenue Fund,
4on or before the 25th day of each calendar month, the State
5Department of Revenue shall prepare and certify to the
6Comptroller of the State of Illinois the amount to be paid to
7the District, which shall be the amount (not including credit
8memoranda and not including taxes and penalties collected on
9aviation fuel sold on or after December 1, 2019 that are
10deposited into the Local Government Aviation Trust Fund)
11collected under this Section 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
15any amount equal to the amount of refunds made during the
16second preceding calendar month by the Department on behalf of
17the District, 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
20District, and less any amounts that are transferred to the STAR
21Bonds Revenue Fund, less 1.5% of the remainder, which the
22Department shall transfer into the Tax Compliance and
23Administration Fund. The Department, at the time of each
24monthly disbursement to the District, shall prepare and certify
25to the State Comptroller the amount to be transferred into the
26Tax Compliance and Administration Fund under this subsection.

 

 

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1Within 10 days after receipt by the Comptroller of the
2certification of the amount to be paid to the District and the
3Tax Compliance and Administration Fund, the Comptroller shall
4cause an order to be drawn for payment for the amount in
5accordance with the direction in the certification.
6(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18;
7101-10, eff. 6-5-19.)
 
8    Section 10-105. The Regional Transportation Authority Act
9is amended by changing Sections 4.03 and 4.03.3 as follows:
 
10    (70 ILCS 3615/4.03)  (from Ch. 111 2/3, par. 704.03)
11    Sec. 4.03. Taxes.
12    (a) In order to carry out any of the powers or purposes of
13the Authority, the Board may by ordinance adopted with the
14concurrence of 12 of the then Directors, impose throughout the
15metropolitan region any or all of the taxes provided in this
16Section. Except as otherwise provided in this Act, taxes
17imposed under this Section and civil penalties imposed incident
18thereto shall be collected and enforced by the State Department
19of Revenue. The Department shall have the power to administer
20and enforce the taxes and to determine all rights for refunds
21for erroneous payments of the taxes. Nothing in Public Act
2295-708 is intended to invalidate any taxes currently imposed by
23the Authority. The increased vote requirements to impose a tax
24shall only apply to actions taken after January 1, 2008 (the

 

 

SB0119 Enrolled- 441 -LRB101 06854 HLH 51885 b

1effective date of Public Act 95-708).
2    (b) The Board may impose a public transportation tax upon
3all persons engaged in the metropolitan region in the business
4of selling at retail motor fuel for operation of motor vehicles
5upon public highways. The tax shall be at a rate not to exceed
65% of the gross receipts from the sales of motor fuel in the
7course of the business. As used in this Act, the term "motor
8fuel" shall have the same meaning as in the Motor Fuel Tax Law.
9The Board may provide for details of the tax. The provisions of
10any tax shall conform, as closely as may be practicable, to the
11provisions of the Municipal Retailers Occupation Tax Act,
12including without limitation, conformity to penalties with
13respect to the tax imposed and as to the powers of the State
14Department of Revenue to promulgate and enforce rules and
15regulations relating to the administration and enforcement of
16the provisions of the tax imposed, except that reference in the
17Act to any municipality shall refer to the Authority and the
18tax shall be imposed only with regard to receipts from sales of
19motor fuel in the metropolitan region, at rates as limited by
20this Section.
21    (c) In connection with the tax imposed under paragraph (b)
22of this Section, the Board may impose a tax upon the privilege
23of using in the metropolitan region motor fuel for the
24operation of a motor vehicle upon public highways, the tax to
25be at a rate not in excess of the rate of tax imposed under
26paragraph (b) of this Section. The Board may provide for

 

 

SB0119 Enrolled- 442 -LRB101 06854 HLH 51885 b

1details of the tax.
2    (d) The Board may impose a motor vehicle parking tax upon
3the privilege of parking motor vehicles at off-street parking
4facilities in the metropolitan region at which a fee is
5charged, and may provide for reasonable classifications in and
6exemptions to the tax, for administration and enforcement
7thereof and for civil penalties and refunds thereunder and may
8provide criminal penalties thereunder, the maximum penalties
9not to exceed the maximum criminal penalties provided in the
10Retailers' Occupation Tax Act. The Authority may collect and
11enforce the tax itself or by contract with any unit of local
12government. The State Department of Revenue shall have no
13responsibility for the collection and enforcement unless the
14Department agrees with the Authority to undertake the
15collection and enforcement. As used in this paragraph, the term
16"parking facility" means a parking area or structure having
17parking spaces for more than 2 vehicles at which motor vehicles
18are permitted to park in return for an hourly, daily, or other
19periodic fee, whether publicly or privately owned, but does not
20include parking spaces on a public street, the use of which is
21regulated by parking meters.
22    (e) The Board may impose a Regional Transportation
23Authority Retailers' Occupation Tax upon all persons engaged in
24the business of selling tangible personal property at retail in
25the metropolitan region. In Cook County, the tax rate shall be
261.25% of the gross receipts from sales of tangible personal

 

 

SB0119 Enrolled- 443 -LRB101 06854 HLH 51885 b

1property taxed at the 1% rate under the Retailers' Occupation
2Tax Act, and 1% of the gross receipts from other taxable sales
3made in the course of that business. In DuPage, Kane, Lake,
4McHenry, and Will counties, the tax rate shall be 0.75% of the
5gross receipts from all taxable sales made in the course of
6that business. The Except that the rate of tax imposed in
7DuPage, Kane, Lake, McHenry, and Will these counties under this
8Section on sales of aviation fuel on or after December 1, 2019
9shall, however, be 0.25% unless the Regional Transportation
10Authority in DuPage, Kane, Lake, McHenry, and Will counties has
11an "airport-related purpose" and the additional 0.50% of the
120.75% tax on aviation fuel is expended for airport-related
13purposes. If there is no airport-related purpose to which
14aviation fuel tax revenue is dedicated, then aviation fuel is
15excluded from the additional 0.50% of the 0.75% tax. The tax
16imposed under this Section and all civil penalties that may be
17assessed as an incident thereof shall be collected and enforced
18by the State Department of Revenue. The Department shall have
19full power to administer and enforce this Section; to collect
20all taxes and penalties so collected in the manner hereinafter
21provided; and to determine all rights to credit memoranda
22arising on account of the erroneous payment of tax or penalty
23hereunder. In the administration of, and compliance with this
24Section, the Department and persons who are subject to this
25Section shall have the same rights, remedies, privileges,
26immunities, powers, and duties, and be subject to the same

 

 

SB0119 Enrolled- 444 -LRB101 06854 HLH 51885 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, 1a-1, 1c,
41d, 1e, 1f, 1i, 1j, 2 through 2-65 (in respect to all
5provisions therein other than the State rate of tax), 2c, 3
6(except as to the disposition of taxes and penalties collected,
7and except that the retailer's discount is not allowed for
8taxes paid on aviation fuel that are subject to the revenue use
9requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133
10deposited into the Local Government Aviation Trust Fund), 4, 5,
115a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c,
126d, 7, 8, 9, 10, 11, 12, and 13 of the Retailers' Occupation
13Tax Act and Section 3-7 of the Uniform Penalty and Interest
14Act, as fully as if those provisions were set forth herein.
15    On or before September 1, 2019, and on or before each April
161 and October 1 thereafter, the Authority and Cook, DuPage,
17Kane, Lake, McHenry, and Will counties must certify to the
18Department of Transportation, in the form and manner required
19by the Department, whether they have an airport-related
20purpose, which would allow any Retailers' Occupation Tax and
21Service Occupation Tax imposed under this Act to include tax on
22aviation fuel. On or before October 1, 2019, and on or before
23each May 1 and November 1 thereafter, the Department of
24Transportation shall provide to the Department of Revenue, a
25list of units of local government which have certified to the
26Department of Transportation that they have airport-related

 

 

SB0119 Enrolled- 445 -LRB101 06854 HLH 51885 b

1purposes, which would allow any Retailers' Occupation Tax and
2Service Occupation Tax imposed by the unit of local government
3to include tax on aviation fuel. All disputes regarding whether
4or not a unit of local government has an airport-related
5purpose shall be resolved by the Department of Transportation.
6    The Board and DuPage, Kane, Lake, McHenry, and Will
7counties must comply with the certification requirements for
8airport-related purposes under Section 2-22 of the Retailers'
9Occupation Tax Act. For purposes of this Section Act,
10"airport-related purposes" has the meaning ascribed in Section
116z-20.2 of the State Finance Act. This exclusion for aviation
12fuel only applies for so long as the revenue use requirements
13of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
14Authority.
15    Persons subject to any tax imposed under the authority
16granted in this Section may reimburse themselves for their
17seller's tax liability hereunder by separately stating the tax
18as an additional charge, which charge may be stated in
19combination in a single amount with State taxes that sellers
20are required to collect under the Use Tax Act, under any
21bracket schedules the Department may prescribe.
22    Whenever the Department determines that a refund should be
23made under this Section to a claimant instead of issuing a
24credit memorandum, the Department shall notify the State
25Comptroller, who shall cause the warrant to be drawn for the
26amount specified, and to the person named, in the notification

 

 

SB0119 Enrolled- 446 -LRB101 06854 HLH 51885 b

1from the Department. The refund shall be paid by the State
2Treasurer out of the Regional Transportation Authority tax fund
3established under paragraph (n) of this Section or the Local
4Government Aviation Trust Fund, as appropriate.
5    If a tax is imposed under this subsection (e), a tax shall
6also be imposed under subsections (f) and (g) of this Section.
7    For the purpose of determining whether a tax authorized
8under this Section is applicable, a retail sale by a producer
9of coal or other mineral mined in Illinois, is a sale at retail
10at the place where the coal or other mineral mined in Illinois
11is extracted from the earth. This paragraph does not apply to
12coal or other mineral when it is delivered or shipped by the
13seller to the purchaser at a point outside Illinois so that the
14sale is exempt under the Federal Constitution as a sale in
15interstate or foreign commerce.
16    No tax shall be imposed or collected under this subsection
17on the sale of a motor vehicle in this State to a resident of
18another state if that motor vehicle will not be titled in this
19State.
20    Nothing in this Section shall be construed to authorize the
21Regional Transportation Authority to impose a tax upon the
22privilege of engaging in any business that under the
23Constitution of the United States may not be made the subject
24of taxation by this State.
25    (f) If a tax has been imposed under paragraph (e), a
26Regional Transportation Authority Service Occupation Tax shall

 

 

SB0119 Enrolled- 447 -LRB101 06854 HLH 51885 b

1also be imposed upon all persons engaged, in the metropolitan
2region in the business of making sales of service, who as an
3incident to making the sales of service, transfer tangible
4personal property within the metropolitan region, either in the
5form of tangible personal property or in the form of real
6estate as an incident to a sale of service. In Cook County, the
7tax rate shall be: (1) 1.25% of the serviceman's cost price of
8food prepared for immediate consumption and transferred
9incident to a sale of service subject to the service occupation
10tax by an entity licensed under the Hospital Licensing Act, the
11Nursing Home Care Act, the Specialized Mental Health
12Rehabilitation Act of 2013, the ID/DD Community Care Act, or
13the MC/DD Act that is located in the metropolitan region; (2)
141.25% of the selling price of tangible personal property taxed
15at the 1% rate under the Service Occupation Tax Act; and (3) 1%
16of the selling price from other taxable sales of tangible
17personal property transferred. In DuPage, Kane, Lake, McHenry,
18and Will counties, the rate shall be 0.75% of the selling price
19of all tangible personal property transferred. The except that
20the rate of tax imposed in DuPage, Kane, Lake, McHenry, and
21Will these counties under this Section on sales of aviation
22fuel on or after December 1, 2019 shall, however, be 0.25%
23unless the Regional Transportation Authority in DuPage, Kane,
24Lake, McHenry, and Will counties has an "airport-related
25purpose" and the additional 0.50% of the 0.75% tax on aviation
26fuel is expended for airport-related purposes. If there is no

 

 

SB0119 Enrolled- 448 -LRB101 06854 HLH 51885 b

1airport-related purpose to which aviation fuel tax revenue is
2dedicated, then aviation fuel is excluded from the additional
30.5% of the 0.75% tax.
4    On or before September 1, 2019, and on or before each April
51 and October 1 thereafter, the Authority and Cook, DuPage,
6Kane, Lake, McHenry, and Will counties must certify to the
7Department of Transportation, in the form and manner required
8by the Department, whether they have an airport-related
9purpose, which would allow any Retailers' Occupation Tax and
10Service Occupation Tax imposed under this Act to include tax on
11aviation fuel. On or before October 1, 2019, and on or before
12each May 1 and November 1 thereafter, the Department of
13Transportation shall provide to the Department of Revenue, a
14list of units of local government which have certified to the
15Department of Transportation that they have airport-related
16purposes, which would allow any Retailers' Occupation Tax and
17Service Occupation Tax imposed by the unit of local government
18to include tax on aviation fuel. All disputes regarding whether
19or not a unit of local government has an airport-related
20purpose shall be resolved by the Department of Transportation.
21    The Board and DuPage, Kane, Lake, McHenry, and Will
22counties must comply with the certification requirements for
23airport-related purposes under Section 2-22 of the Retailers'
24Occupation Tax Act. For purposes of this Section Act,
25"airport-related purposes" has the meaning ascribed in Section
266z-20.2 of the State Finance Act. This exclusion for aviation

 

 

SB0119 Enrolled- 449 -LRB101 06854 HLH 51885 b

1fuel only applies for so long as the revenue use requirements
2of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
3Authority.
4    The tax imposed under this paragraph 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
8paragraph; to collect all taxes and penalties due hereunder; to
9dispose of taxes and penalties collected in the manner
10hereinafter provided; and to determine all rights to credit
11memoranda arising on account of the erroneous payment of tax or
12penalty hereunder. In the administration of and compliance with
13this paragraph, the Department and persons who are subject to
14this paragraph shall have the same rights, remedies,
15privileges, immunities, powers, and duties, and be subject to
16the same conditions, restrictions, limitations, penalties,
17exclusions, exemptions, and definitions of terms, and employ
18the same modes of procedure, as are prescribed in Sections
191a-1, 2, 2a, 3 through 3-50 (in respect to all provisions
20therein other than the State rate of tax), 4 (except that the
21reference to the State shall be to the Authority), 5, 7, 8
22(except that the jurisdiction to which the tax shall be a debt
23to the extent indicated in that Section 8 shall be the
24Authority), 9 (except as to the disposition of taxes and
25penalties collected, and except that the returned merchandise
26credit for this tax may not be taken against any State tax, and

 

 

SB0119 Enrolled- 450 -LRB101 06854 HLH 51885 b

1except that the retailer's discount is not allowed for taxes
2paid on aviation fuel that are subject to the revenue use
3requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133
4deposited into the Local Government Aviation Trust Fund), 10,
511, 12 (except the reference therein to Section 2b of the
6Retailers' Occupation Tax Act), 13 (except that any reference
7to the State shall mean the Authority), the first paragraph of
8Section 15, 16, 17, 18, 19, and 20 of the Service Occupation
9Tax Act and Section 3-7 of the Uniform Penalty and Interest
10Act, as fully as if those provisions were set forth herein.
11    Persons subject to any tax imposed under the authority
12granted in this paragraph may reimburse themselves for their
13serviceman's tax liability hereunder by separately stating the
14tax as an additional charge, that charge may be stated in
15combination in a single amount with State tax that servicemen
16are authorized to collect under the Service Use Tax Act, under
17any bracket schedules the Department may prescribe.
18    Whenever the Department determines that a refund should be
19made under this paragraph 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 Regional Transportation Authority tax fund
25established under paragraph (n) of this Section or the Local
26Government Aviation Trust Fund, as appropriate.

 

 

SB0119 Enrolled- 451 -LRB101 06854 HLH 51885 b

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

 

 

SB0119 Enrolled- 452 -LRB101 06854 HLH 51885 b

1State agency or State officer determine that this procedure
2will expedite the processing of applications for title or
3registration.
4    The Department shall have full power to administer and
5enforce this paragraph; to collect all taxes, penalties, and
6interest due hereunder; to dispose of taxes, penalties, and
7interest collected in the manner hereinafter provided; and to
8determine all rights to credit memoranda or refunds arising on
9account of the erroneous payment of tax, penalty, or interest
10hereunder. In the administration of and compliance with this
11paragraph, the Department and persons who are subject to this
12paragraph shall have the same rights, remedies, privileges,
13immunities, powers, and duties, and be subject to the same
14conditions, restrictions, limitations, penalties, exclusions,
15exemptions, and definitions of terms and employ the same modes
16of procedure, as are prescribed in Sections 2 (except the
17definition of "retailer maintaining a place of business in this
18State"), 3 through 3-80 (except provisions pertaining to the
19State rate of tax, and except provisions concerning collection
20or refunding of the tax by retailers), 4, 11, 12, 12a, 14, 15,
2119 (except the portions pertaining to claims by retailers and
22except the last paragraph concerning refunds), 20, 21, and 22
23of the Use Tax Act, and are not inconsistent with this
24paragraph, as fully as if those provisions were set forth
25herein.
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 Except as otherwise provided in this paragraph, the
20Department shall immediately pay over to the State Treasurer,
21ex officio, as trustee, all taxes collected hereunder. Taxes
22and penalties collected in DuPage, Kane, Lake, McHenry and Will
23counties on aviation fuel sold on or after December 1, 2019
24from the 0.50% of the 0.75% rate shall be immediately paid over
25by the Department to the State Treasurer, ex officio, as
26trustee, for deposit into the Local Government Aviation Trust

 

 

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1Fund. The Department shall only pay moneys into the Local
2Government Aviation Trust Fund under this Act for so long as
3the revenue use requirements of 49 U.S.C. 47107(b) and 49
4U.S.C. 47133 are binding on the Authority.
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 the Authority. The
17amount to be paid to the Authority shall be the amount
18collected hereunder during the second preceding calendar month
19by the Department, less any amount determined by the Department
20to be necessary for the payment of refunds, and less any
21amounts that are transferred to the STAR Bonds Revenue Fund.
22Within 10 days after receipt by the Comptroller of the
23disbursement certification to the Authority provided for in
24this Section to be given to the Comptroller by the Department,
25the Comptroller shall cause the orders to be drawn for that
26amount in accordance with the directions contained in the

 

 

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1certification.
2    (i) The Board may not impose any other taxes except as it
3may from time to time be authorized by law to impose.
4    (j) A certificate of registration issued by the State
5Department of Revenue to a retailer under the Retailers'
6Occupation Tax Act or under the Service Occupation Tax Act
7shall permit the registrant to engage in a business that is
8taxed under the tax imposed under paragraphs (b), (e), (f) or
9(g) of this Section and no additional registration shall be
10required under the tax. A certificate issued under the Use Tax
11Act or the Service Use Tax Act shall be applicable with regard
12to any tax imposed under paragraph (c) of this Section.
13    (k) The provisions of any tax imposed under paragraph (c)
14of this Section shall conform as closely as may be practicable
15to the provisions of the Use Tax Act, including without
16limitation conformity as to penalties with respect to the tax
17imposed and as to the powers of the State Department of Revenue
18to promulgate and enforce rules and regulations relating to the
19administration and enforcement of the provisions of the tax
20imposed. The taxes shall be imposed only on use within the
21metropolitan region and at rates as provided in the paragraph.
22    (l) The Board in imposing any tax as provided in paragraphs
23(b) and (c) of this Section, shall, after seeking the advice of
24the State Department of Revenue, provide means for retailers,
25users or purchasers of motor fuel for purposes other than those
26with regard to which the taxes may be imposed as provided in

 

 

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1those paragraphs to receive refunds of taxes improperly paid,
2which provisions may be at variance with the refund provisions
3as applicable under the Municipal Retailers Occupation Tax Act.
4The State Department of Revenue may provide for certificates of
5registration for users or purchasers of motor fuel for purposes
6other than those with regard to which taxes may be imposed as
7provided in paragraphs (b) and (c) of this Section to
8facilitate the reporting and nontaxability of the exempt sales
9or uses.
10    (m) Any ordinance imposing or discontinuing any tax under
11this Section shall be adopted and a certified copy thereof
12filed with the Department on or before June 1, whereupon the
13Department of Revenue shall proceed to administer and enforce
14this Section on behalf of the Regional Transportation Authority
15as of September 1 next following such adoption and filing.
16Beginning January 1, 1992, an ordinance or resolution imposing
17or discontinuing the tax hereunder shall be adopted and a
18certified copy thereof filed with the Department on or before
19the first day of July, whereupon the Department shall proceed
20to administer and enforce this Section as of the first day of
21October next following such adoption and filing. Beginning
22January 1, 1993, an ordinance or resolution imposing,
23increasing, decreasing, or discontinuing the tax hereunder
24shall be adopted and a certified copy thereof filed with the
25Department, whereupon the Department shall proceed to
26administer and enforce this Section as of the first day of the

 

 

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1first month to occur not less than 60 days following such
2adoption and filing. Any ordinance or resolution of the
3Authority imposing a tax under this Section and in effect on
4August 1, 2007 shall remain in full force and effect and shall
5be administered by the Department of Revenue under the terms
6and conditions and rates of tax established by such ordinance
7or resolution until the Department begins administering and
8enforcing an increased tax under this Section as authorized by
9Public Act 95-708. The tax rates authorized by Public Act
1095-708 are effective only if imposed by ordinance of the
11Authority.
12    (n) Except as otherwise provided in this subsection (n),
13the State Department of Revenue shall, upon collecting any
14taxes as provided in this Section, pay the taxes over to the
15State Treasurer as trustee for the Authority. The taxes shall
16be held in a trust fund outside the State Treasury. If an
17airport-related purpose has been certified, taxes and
18penalties collected in DuPage, Kane, Lake, McHenry and Will
19counties on aviation fuel sold on or after December 1, 2019
20from the 0.50% of the 0.75% rate shall be immediately paid over
21by the Department to the State Treasurer, ex officio, as
22trustee, for deposit into the Local Government Aviation Trust
23Fund. The Department shall only pay moneys into the Local
24Government Aviation Trust Fund under this Act for so long as
25the revenue use requirements of 49 U.S.C. 47107(b) and 49
26U.S.C. 47133 are binding on the Authority. On or before the

 

 

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125th day of each calendar month, the State Department of
2Revenue shall prepare and certify to the Comptroller of the
3State of Illinois and to the Authority (i) the amount of taxes
4collected in each county other than Cook County in the
5metropolitan region, (not including, if an airport-related
6purpose has been certified, the taxes and penalties collected
7from the 0.50% of the 0.75% rate on aviation fuel sold on or
8after December 1, 2019 that are deposited into the Local
9Government Aviation Trust Fund) (ii) the amount of taxes
10collected within the City of Chicago, and (iii) the amount
11collected in that portion of Cook County outside of Chicago,
12each amount less the amount necessary for the payment of
13refunds to taxpayers located in those areas described in items
14(i), (ii), and (iii), and less 1.5% of the remainder, which
15shall be transferred from the trust fund into the Tax
16Compliance and Administration Fund. The Department, at the time
17of each monthly disbursement to the Authority, shall prepare
18and certify to the State Comptroller the amount to be
19transferred into the Tax Compliance and Administration Fund
20under this subsection. Within 10 days after receipt by the
21Comptroller of the certification of the amounts, the
22Comptroller shall cause an order to be drawn for the transfer
23of the amount certified into the Tax Compliance and
24Administration Fund and the payment of two-thirds of the
25amounts certified in item (i) of this subsection to the
26Authority and one-third of the amounts certified in item (i) of

 

 

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1this subsection to the respective counties other than Cook
2County and the amount certified in items (ii) and (iii) of this
3subsection to the Authority.
4    In addition to the disbursement required by the preceding
5paragraph, an allocation shall be made in July 1991 and each
6year thereafter to the Regional Transportation Authority. The
7allocation shall be made in an amount equal to the average
8monthly distribution during the preceding calendar year
9(excluding the 2 months of lowest receipts) and the allocation
10shall include the amount of average monthly distribution from
11the Regional Transportation Authority Occupation and Use Tax
12Replacement Fund. The distribution made in July 1992 and each
13year thereafter under this paragraph and the preceding
14paragraph shall be reduced by the amount allocated and
15disbursed under this paragraph in the preceding calendar year.
16The Department of Revenue shall prepare and certify to the
17Comptroller for disbursement the allocations made in
18accordance with this paragraph.
19    (o) Failure to adopt a budget ordinance or otherwise to
20comply with Section 4.01 of this Act or to adopt a Five-year
21Capital Program or otherwise to comply with paragraph (b) of
22Section 2.01 of this Act shall not affect the validity of any
23tax imposed by the Authority otherwise in conformity with law.
24    (p) At no time shall a public transportation tax or motor
25vehicle parking tax authorized under paragraphs (b), (c), and
26(d) of this Section be in effect at the same time as any

 

 

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1retailers' occupation, use or service occupation tax
2authorized under paragraphs (e), (f), and (g) of this Section
3is in effect.
4    Any taxes imposed under the authority provided in
5paragraphs (b), (c), and (d) shall remain in effect only until
6the time as any tax authorized by paragraph (e), (f), or (g) of
7this Section are imposed and becomes effective. Once any tax
8authorized by paragraph (e), (f), or (g) is imposed the Board
9may not reimpose taxes as authorized in paragraphs (b), (c),
10and (d) of the Section unless any tax authorized by paragraph
11(e), (f), or (g) of this Section becomes ineffective by means
12other than an ordinance of the Board.
13    (q) Any existing rights, remedies and obligations
14(including enforcement by the Regional Transportation
15Authority) arising under any tax imposed under paragraph (b),
16(c), or (d) of this Section shall not be affected by the
17imposition of a tax under paragraph (e), (f), or (g) of this
18Section.
19(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18;
20100-1171, eff. 1-4-19; 101-10, eff. 6-5-19; 101-81, eff.
217-12-19; revised 9-19-19.)
 
22    (70 ILCS 3615/4.03.3)
23    Sec. 4.03.3. Distribution of Revenues. This Section
24applies only after the Department begins administering and
25enforcing an increased tax under Section 4.03(m) as authorized

 

 

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1by this amendatory Act of the 95th General Assembly. After
2providing for payment of its obligations with respect to bonds
3and notes issued under the provisions of Section 4.04 and
4obligations related to those bonds and notes and separately
5accounting for the tax on aviation fuel deposited into the
6Local Government Aviation Trust Fund, the Authority shall
7disburse the remaining proceeds from taxes it has received from
8the Department of Revenue under this Article IV and the
9remaining proceeds it has received from the State under Section
104.09(a) as follows:
11    (a) With respect to taxes imposed by the Authority under
12Section 4.03, after withholding 15% of 80% of the receipts from
13those taxes collected in Cook County at a rate of 1.25%, 15% of
1475% of the receipts from those taxes collected in Cook County
15at the rate of 1%, 15% of one-half of the receipts from those
16taxes collected in DuPage, Kane, Lake, McHenry, and Will
17Counties, and 15% of money received by the Authority from the
18Regional Transportation Authority Occupation and Use Tax
19Replacement Fund or from the Regional Transportation Authority
20tax fund created in Section 4.03(n), the Board shall allocate
21the proceeds and money remaining to the Service Boards as
22follows:
23        (1) an amount equal to (i) 85% of 80% of the receipts
24    from those taxes collected within the City of Chicago at a
25    rate of 1.25%, (ii) 85% of 75% of the receipts from those
26    taxes collected in the City of Chicago at the rate of 1%,

 

 

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1    and (iii) 85% of the money received by the Authority on
2    account of transfers to the Regional Transportation
3    Authority Occupation and Use Tax Replacement Fund or to the
4    Regional Transportation Authority tax fund created in
5    Section 4.03(n) from the County and Mass Transit District
6    Fund attributable to retail sales within the City of
7    Chicago shall be allocated to the Chicago Transit
8    Authority;
9        (2) an amount equal to (i) 85% of 80% of the receipts
10    from those taxes collected within Cook County outside of
11    the City of Chicago at a rate of 1.25%, (ii) 85% of 75% of
12    the receipts from those taxes collected within Cook County
13    outside the City of Chicago at a rate of 1%, and (iii) 85%
14    of the money received by the Authority on account of
15    transfers to the Regional Transportation Authority
16    Occupation and Use Tax Replacement Fund or to the Regional
17    Transportation Authority tax fund created in Section
18    4.03(n) from the County and Mass Transit District Fund
19    attributable to retail sales within Cook County outside of
20    the City of Chicago shall be allocated 30% to the Chicago
21    Transit Authority, 55% to the Commuter Rail Board, and 15%
22    to the Suburban Bus Board; and
23        (3) an amount equal to 85% of one-half of the receipts
24    from the taxes collected within the Counties of DuPage,
25    Kane, Lake, McHenry, and Will shall be allocated 70% to the
26    Commuter Rail Board and 30% to the Suburban Bus Board.

 

 

SB0119 Enrolled- 463 -LRB101 06854 HLH 51885 b

1    (b) Moneys received by the Authority on account of
2transfers to the Regional Transportation Authority Occupation
3and Use Tax Replacement Fund from the State and Local Sales Tax
4Reform Fund shall be allocated among the Authority and the
5Service Boards as follows: 15% of such moneys shall be retained
6by the Authority and the remaining 85% shall be transferred to
7the Service Boards as soon as may be practicable after the
8Authority receives payment. Moneys which are distributable to
9the Service Boards pursuant to the preceding sentence shall be
10allocated among the Service Boards on the basis of each Service
11Board's distribution ratio. The term "distribution ratio"
12means, for purposes of this subsection (b), the ratio of the
13total amount distributed to a Service Board pursuant to
14subsection (a) of Section 4.03.3 for the immediately preceding
15calendar year to the total amount distributed to all of the
16Service Boards pursuant to subsection (a) of Section 4.03.3 for
17the immediately preceding calendar year.
18    (c)(i) 20% of the receipts from those taxes collected in
19Cook County under Section 4.03 at the rate of 1.25%, (ii) 25%
20of the receipts from those taxes collected in Cook County under
21Section 4.03 at the rate of 1%, (iii) 50% of the receipts from
22those taxes collected in DuPage, Kane, Lake, McHenry, and Will
23Counties under Section 4.03, and (iv) amounts received from the
24State under Section 4.09 (a)(2) and items (i), (ii), and (iii)
25of Section 4.09 (a)(3) shall be allocated as follows: the
26amount required to be deposited into the ADA Paratransit Fund

 

 

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1described in Section 2.01d, the amount required to be deposited
2into the Suburban Community Mobility Fund described in Section
32.01e, and the amount required to be deposited into the
4Innovation, Coordination and Enhancement Fund described in
5Section 2.01c, and the balance shall be allocated 48% to the
6Chicago Transit Authority, 39% to the Commuter Rail Board, and
713% to the Suburban Bus Board.
8    (d) Amounts received from the State under Section 4.09
9(a)(3)(iv) shall be distributed 100% to the Chicago Transit
10Authority.
11    (e) With respect to those taxes collected in DuPage, Kane,
12Lake, McHenry, and Will Counties and paid directly to the
13counties under Section 4.03, the County Board of each county
14shall use those amounts to fund operating and capital costs of
15public safety and public transportation services or facilities
16or to fund operating, capital, right-of-way, construction, and
17maintenance costs of other transportation purposes, including
18road, bridge, public safety, and transit purposes intended to
19improve mobility or reduce congestion in the county. The
20receipt of funding by such counties pursuant to this paragraph
21shall not be used as the basis for reducing any funds that such
22counties would otherwise have received from the State of
23Illinois, any agency or instrumentality thereof, the
24Authority, or the Service Boards.
25    (f) The Authority by ordinance adopted by 12 of its then
26Directors shall apportion to the Service Boards funds provided

 

 

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1by the State of Illinois under Section 4.09(a)(1) as it shall
2determine and shall make payment of the amounts to each Service
3Board as soon as may be practicable upon their receipt provided
4the Authority has adopted a balanced budget as required by
5Section 4.01 and further provided the Service Board is in
6compliance with the requirements in Section 4.11.
7    (g) Beginning January 1, 2009, before making any payments,
8transfers, or expenditures under this Section to a Service
9Board, the Authority must first comply with Section 4.02a or
104.02b of this Act, whichever may be applicable.
11    (h) Moneys may be appropriated from the Public
12Transportation Fund to the Office of the Executive Inspector
13General for the costs incurred by the Executive Inspector
14General while serving as the inspector general for the
15Authority and each of the Service Boards. Beginning December
1631, 2012, and each year thereafter, the Office of the Executive
17Inspector General shall annually report to the General Assembly
18the expenses incurred while serving as the inspector general
19for the Authority and each of the Service Boards.
20(Source: P.A. 97-399, eff. 8-16-11; 97-641, eff. 12-19-11.)
 
21    Section 10-110. The Water Commission Act of 1985 is amended
22by changing Section 4 as follows:
 
23    (70 ILCS 3720/4)  (from Ch. 111 2/3, par. 254)
24    Sec. 4. Taxes.

 

 

SB0119 Enrolled- 466 -LRB101 06854 HLH 51885 b

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

 

 

SB0119 Enrolled- 467 -LRB101 06854 HLH 51885 b

1in the business of selling tangible personal property at retail
2in the territory of the commission at a rate of 1/4% of the
3gross receipts from the sales made in the course of such
4business within the territory. Beginning January 1, 2021, this
5tax is not imposed on sales of aviation fuel for so long as the
6revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
747133 are binding on the District.
8    The tax imposed under this paragraph and all civil
9penalties that may be assessed as an incident thereof shall be
10collected and enforced by the State Department of Revenue. The
11Department shall have full power to administer and enforce this
12paragraph; to collect all taxes and penalties due hereunder; to
13dispose of taxes and penalties so collected in the manner
14hereinafter provided; and to determine all rights to credit
15memoranda arising on account of the erroneous payment of tax or
16penalty hereunder. In the administration of, and compliance
17with, this paragraph, the Department and persons who are
18subject to this paragraph shall have the same rights, remedies,
19privileges, immunities, powers and duties, and be subject to
20the same conditions, restrictions, limitations, penalties,
21exclusions, exemptions and definitions of terms, and employ the
22same modes of procedure, as are prescribed in Sections 1, 1a,
231a-1, 1c, 1d, 1e, 1f, 1i, 1j, 2 through 2-65 (in respect to all
24provisions therein other than the State rate of tax except that
25tangible personal property taxed at the 1% rate under the
26Retailers' Occupation Tax Act shall not be subject to tax

 

 

SB0119 Enrolled- 468 -LRB101 06854 HLH 51885 b

1hereunder), 2c, 3 (except as to the disposition of taxes and
2penalties collected, and except that the retailer's discount is
3not allowed for taxes paid on aviation fuel sold on or after
4December 1, 2019 and through December 31, 2020), 4, 5, 5a, 5b,
55c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d, 7, 8,
69, 10, 11, 12, and 13 of the Retailers' Occupation Tax Act and
7Section 3-7 of the Uniform Penalty and Interest Act, as fully
8as if those provisions were set forth herein.
9    Persons subject to any tax imposed under the authority
10granted in this paragraph may reimburse themselves for their
11seller's tax liability hereunder by separately stating the tax
12as an additional charge, which charge may be stated in
13combination, in a single amount, with State taxes that sellers
14are required to collect under the Use Tax Act and under
15subsection (e) of Section 4.03 of the Regional Transportation
16Authority Act, in accordance with such bracket schedules as the
17Department may prescribe.
18    Whenever the Department determines that a refund should be
19made under this paragraph 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 a county water commission tax fund established
25under subsection (g) of this Section.
26    For the purpose of determining whether a tax authorized

 

 

SB0119 Enrolled- 469 -LRB101 06854 HLH 51885 b

1under this paragraph is applicable, a retail sale by a producer
2of coal or other mineral mined in Illinois is a sale at retail
3at the place where the coal or other mineral mined in Illinois
4is extracted from the earth. This paragraph does not apply to
5coal or other mineral when it is delivered or shipped by the
6seller to the purchaser at a point outside Illinois so that the
7sale is exempt under the Federal Constitution as a sale in
8interstate or foreign commerce.
9    If a tax is imposed under this subsection (b), a tax shall
10also be imposed under subsections (c) and (d) of this Section.
11    No tax shall be imposed or collected under this subsection
12on the sale of a motor vehicle in this State to a resident of
13another state if that motor vehicle will not be titled in this
14State.
15    Nothing in this paragraph shall be construed to authorize a
16county water commission to impose a tax upon the privilege of
17engaging in any business which under the Constitution of the
18United States may not be made the subject of taxation by this
19State.
20    (c) If a tax has been imposed under subsection (b), a
21County Water Commission Service Occupation Tax shall also be
22imposed upon all persons engaged, in the territory of the
23commission, in the business of making sales of service, who, as
24an incident to making the sales of service, transfer tangible
25personal property within the territory. The tax rate shall be
261/4% of the selling price of tangible personal property so

 

 

SB0119 Enrolled- 470 -LRB101 06854 HLH 51885 b

1transferred within the territory. Beginning January 1, 2021,
2this tax is not imposed on sales of aviation fuel for so long
3as the revenue use requirements of 49 U.S.C. 47107(b) and 49
4U.S.C. 47133 are binding on the District.
5    The tax imposed under this paragraph and all civil
6penalties that may be assessed as an incident thereof shall be
7collected and enforced by the State Department of Revenue. The
8Department shall have full power to administer and enforce this
9paragraph; to collect all taxes and penalties due hereunder; to
10dispose of taxes and penalties so collected in the manner
11hereinafter provided; and to determine all rights to credit
12memoranda arising on account of the erroneous payment of tax or
13penalty hereunder. In the administration of, and compliance
14with, this paragraph, the Department and persons who are
15subject to this paragraph shall have the same rights, remedies,
16privileges, immunities, powers and duties, and be subject to
17the same conditions, restrictions, limitations, penalties,
18exclusions, exemptions and definitions of terms, and employ the
19same modes of procedure, as are prescribed in Sections 1a-1, 2
20(except that the reference to State in the definition of
21supplier maintaining a place of business in this State shall
22mean the territory of the commission), 2a, 3 through 3-50 (in
23respect to all provisions therein other than the State rate of
24tax except that tangible personal property taxed at the 1% rate
25under the Service Occupation Tax Act shall not be subject to
26tax hereunder), 4 (except that the reference to the State shall

 

 

SB0119 Enrolled- 471 -LRB101 06854 HLH 51885 b

1be to the territory of the commission), 5, 7, 8 (except that
2the jurisdiction to which the tax shall be a debt to the extent
3indicated in that Section 8 shall be the commission), 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, and except that the
7retailer's discount is not allowed for taxes paid on aviation
8fuel sold on or after December 1, 2019 and through December 31,
92020), 10, 11, 12 (except the reference therein to Section 2b
10of the Retailers' Occupation Tax Act), 13 (except that any
11reference to the State shall mean the territory of the
12commission), the first paragraph of Section 15, 15.5, 16, 17,
1318, 19, and 20 of the Service Occupation Tax Act as fully as if
14those provisions were set forth herein.
15    Persons subject to any tax imposed under the authority
16granted in this paragraph may reimburse themselves for their
17serviceman's tax liability hereunder by separately stating the
18tax as an additional charge, which charge may be stated in
19combination, in a single amount, with State tax that servicemen
20are authorized to collect under the Service Use Tax Act, and
21any tax for which servicemen may be liable under subsection (f)
22of Section 4.03 of the Regional Transportation Authority Act,
23in accordance with such bracket schedules as the Department may
24prescribe.
25    Whenever the Department determines that a refund should be
26made under this paragraph to a claimant instead of issuing a

 

 

SB0119 Enrolled- 472 -LRB101 06854 HLH 51885 b

1credit memorandum, the Department shall notify the State
2Comptroller, who shall cause the warrant to be drawn for the
3amount specified, and to the person named, in the notification
4from the Department. The refund shall be paid by the State
5Treasurer out of a county water commission tax fund established
6under subsection (g) of this Section.
7    Nothing in this paragraph shall be construed to authorize a
8county water commission to impose a tax upon the privilege of
9engaging in any business which under the Constitution of the
10United States may not be made the subject of taxation by the
11State.
12    (d) If a tax has been imposed under subsection (b), a tax
13shall also be imposed upon the privilege of using, in the
14territory of the commission, any item of tangible personal
15property that is purchased outside the territory at retail from
16a retailer, and that is titled or registered with an agency of
17this State's government, at a rate of 1/4% of the selling price
18of the tangible personal property within the territory, as
19"selling price" is defined in the Use Tax Act. The tax shall be
20collected from persons whose Illinois address for titling or
21registration purposes is given as being in the territory. The
22tax shall be collected by the Department of Revenue for a
23county water commission. The tax must be paid to the State, or
24an exemption determination must be obtained from the Department
25of Revenue, before the title or certificate of registration for
26the property may be issued. The tax or proof of exemption may

 

 

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1be transmitted to the Department by way of the State agency
2with which, or the State officer with whom, the tangible
3personal property must be titled or registered if the
4Department and the State agency or State officer determine that
5this procedure will expedite the processing of applications for
6title or registration.
7    The Department shall have full power to administer and
8enforce this paragraph; to collect all taxes, penalties, and
9interest due hereunder; to dispose of taxes, penalties, and
10interest so collected in the manner hereinafter provided; and
11to determine all rights to credit memoranda or refunds arising
12on account of the erroneous payment of tax, penalty, or
13interest hereunder. In the administration of and compliance
14with this paragraph, the Department and persons who are subject
15to this paragraph shall have the same rights, remedies,
16privileges, immunities, powers, and duties, and be subject to
17the same conditions, restrictions, limitations, penalties,
18exclusions, exemptions, and definitions of terms and employ the
19same modes of procedure, as are prescribed in Sections 2
20(except the definition of "retailer maintaining a place of
21business in this State"), 3 through 3-80 (except provisions
22pertaining to the State rate of tax, and except provisions
23concerning collection or refunding of the tax by retailers), 4,
2411, 12, 12a, 14, 15, 19 (except the portions pertaining to
25claims by retailers and except the last paragraph concerning
26refunds), 20, 21, and 22 of the Use Tax Act and Section 3-7 of

 

 

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1the Uniform Penalty and Interest Act that are not inconsistent
2with this paragraph, as fully as if those provisions were set
3forth herein.
4    Whenever the Department determines that a refund should be
5made under this paragraph to a claimant instead of issuing a
6credit memorandum, the Department shall notify the State
7Comptroller, who shall cause the order to be drawn for the
8amount specified, and to the person named, in the notification
9from the Department. The refund shall be paid by the State
10Treasurer out of a county water commission tax fund established
11under subsection (g) of this Section.
12    (e) A certificate of registration issued by the State
13Department of Revenue to a retailer under the Retailers'
14Occupation Tax Act or under the Service Occupation Tax Act
15shall permit the registrant to engage in a business that is
16taxed under the tax imposed under subsection (b), (c), or (d)
17of this Section and no additional registration shall be
18required under the tax. A certificate issued under the Use Tax
19Act or the Service Use Tax Act shall be applicable with regard
20to any tax imposed under subsection (c) of this Section.
21    (f) Any ordinance imposing or discontinuing any tax under
22this Section shall be adopted and a certified copy thereof
23filed with the Department on or before June 1, whereupon the
24Department of Revenue shall proceed to administer and enforce
25this Section on behalf of the county water commission as of
26September 1 next following the adoption and filing. Beginning

 

 

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1January 1, 1992, an ordinance or resolution imposing or
2discontinuing the tax hereunder shall be adopted and a
3certified copy thereof filed with the Department on or before
4the first day of July, whereupon the Department shall proceed
5to administer and enforce this Section as of the first day of
6October next following such adoption and filing. Beginning
7January 1, 1993, an ordinance or resolution imposing or
8discontinuing the tax hereunder shall be adopted and a
9certified copy thereof filed with the Department on or before
10the first day of October, whereupon the Department shall
11proceed to administer and enforce this Section as of the first
12day of January next following such adoption and filing.
13    (g) The State Department of Revenue shall, upon collecting
14any taxes as provided in this Section, pay the taxes over to
15the State Treasurer as trustee for the commission. The taxes
16shall be held in a trust fund outside the State Treasury.
17    As soon as possible after the first day of each month,
18beginning January 1, 2011, upon certification of the Department
19of Revenue, the Comptroller shall order transferred, and the
20Treasurer shall transfer, to the STAR Bonds Revenue Fund the
21local sales tax increment, as defined in the Innovation
22Development and Economy Act, collected under this Section
23during the second preceding calendar month for sales within a
24STAR bond district.
25    After the monthly transfer to the STAR Bonds Revenue Fund,
26on or before the 25th day of each calendar month, the State

 

 

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1Department of Revenue shall prepare and certify to the
2Comptroller of the State of Illinois the amount to be paid to
3the commission, which shall be the amount (not including credit
4memoranda) collected under this Section during the second
5preceding calendar month by the Department plus an amount the
6Department determines is necessary to offset any amounts that
7were erroneously paid to a different taxing body, and not
8including any amount equal to the amount of refunds made during
9the second preceding calendar month by the Department on behalf
10of the commission, and not including any amount that the
11Department determines is necessary to offset any amounts that
12were payable to a different taxing body but were erroneously
13paid to the commission, and less any amounts that are
14transferred to the STAR Bonds Revenue Fund, less 1.5% of the
15remainder, which shall be transferred into the Tax Compliance
16and Administration Fund. The Department, at the time of each
17monthly disbursement to the commission, shall prepare and
18certify to the State Comptroller the amount to be transferred
19into the Tax Compliance and Administration Fund under this
20subsection. Within 10 days after receipt by the Comptroller of
21the certification of the amount to be paid to the commission
22and the Tax Compliance and Administration Fund, the Comptroller
23shall cause an order to be drawn for the payment for the amount
24in accordance with the direction in the certification.
25    (h) Beginning June 1, 2016, any tax imposed pursuant to
26this Section may no longer be imposed or collected, unless a

 

 

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1continuation of the tax is approved by the voters at a
2referendum as set forth in this Section.
3(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18;
4100-863, eff. 8-14-18; 100-1171, eff. 1-4-19; 101-10, eff.
56-5-19; 101-81, eff. 7-12-19.)
 
6    Section 10-130. The Environmental Impact Fee Law is amended
7by changing Sections 310, 315, and 320 as follows:
 
8    (415 ILCS 125/310)
9    (Section scheduled to be repealed on January 1, 2025)
10    Sec. 310. Environmental impact fee; imposition. Beginning
11January 1, 1996, all receivers of fuel are subject to an
12environmental impact fee of $60 per 7,500 gallons of fuel, or
13an equivalent amount per fraction thereof, that is sold or used
14in Illinois. The fee shall be paid by the receiver in this
15State who first sells or uses the fuel. The environmental
16impact fee imposed by this Law replaces the fee imposed under
17the corresponding provisions of Article 3 of Public Act 89-428.
18Environmental impact fees paid under that Article 3 shall
19satisfy the receiver's corresponding liability under this Law.
20    A receiver of fuels is subject to the fee without regard to
21whether the fuel is intended to be used for operation of motor
22vehicles on the public highways and waters. However, no fee
23shall be imposed upon the importation or receipt of aviation
24fuels and kerosene at airports with over 170,000 operations per

 

 

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1year, located in a city of more than 1,000,000 inhabitants, for
2sale to or use by holders of certificates of public convenience
3and necessity or foreign air carrier permits, issued by the
4United States Department of Transportation, and their air
5carrier affiliates, or upon the importation or receipt of
6aviation fuels and kerosene at facilities owned or leased by
7those certificate or permit holders and used in their
8activities at an airport described above. In addition, no fee
9may be imposed upon the importation or receipt of diesel fuel
10or liquefied natural gas sold to or used by a rail carrier
11registered under Section 18c-7201 of the Illinois Vehicle Code
12or otherwise recognized by the Illinois Commerce Commission as
13a rail carrier, to the extent used directly in railroad
14operations. In addition, no fee may be imposed when the sale is
15made with delivery to a purchaser outside this State or when
16the sale is made to a person holding a valid license as a
17receiver. In addition, no fee shall be imposed upon diesel fuel
18or liquefied natural gas consumed or used in the operation of
19ships, barges, or vessels, that are used primarily in or for
20the transportation of property in interstate commerce for hire
21on rivers bordering on this State, if the diesel fuel or
22liquefied natural gas is delivered by a licensed receiver to
23the purchaser's barge, ship, or vessel while it is afloat upon
24that bordering river. A specific notation thereof shall be made
25on the invoices or sales slips covering each sale. Beginning
26January 1, 2021 no fee shall be imposed under this Section on

 

 

SB0119 Enrolled- 479 -LRB101 06854 HLH 51885 b

1receivers of aviation fuel for sale or use for so long as the
2revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
347133 are binding on the State.
4(Source: P.A. 100-9, eff. 7-1-17.)
 
5    (415 ILCS 125/315)
6    (Section scheduled to be repealed on January 1, 2025)
7    Sec. 315. Fee on receivers of fuel for sale or use;
8collection and reporting. A person that is required to pay the
9fee imposed by this Law shall pay the fee to the Department by
10return showing all fuel purchased, acquired, or received and
11sold, distributed or used during the preceding calendar month,
12including losses of fuel as the result of evaporation or
13shrinkage due to temperature variations, and such other
14reasonable information as the Department may require. Losses of
15fuel as the result of evaporation or shrinkage due to
16temperature variations may not exceed 1% of the total gallons
17in storage at the beginning of the month, plus the receipts of
18gallonage during the month, minus the gallonage remaining in
19storage at the end of the month. Any loss reported that is in
20excess of this amount shall be subject to the fee imposed by
21Section 310 of this Law. On and after July 1, 2001, for each
226-month period January through June, net losses of fuel (for
23each category of fuel that is required to be reported on a
24return) as the result of evaporation or shrinkage due to
25temperature variations may not exceed 1% of the total gallons

 

 

SB0119 Enrolled- 480 -LRB101 06854 HLH 51885 b

1in storage at the beginning of each January, plus the receipts
2of gallonage each January through June, minus the gallonage
3remaining in storage at the end of each June. On and after July
41, 2001, for each 6-month period July through December, net
5losses of fuel (for each category of fuel that is required to
6be reported on a return) as the result of evaporation or
7shrinkage due to temperature variations may not exceed 1% of
8the total gallons in storage at the beginning of each July,
9plus the receipts of gallonage each July through December,
10minus the gallonage remaining in storage at the end of each
11December. Any net loss reported that is in excess of this
12amount shall be subject to the fee imposed by Section 310 of
13this Law. For purposes of this Section, "net loss" means the
14number of gallons gained through temperature variations minus
15the number of gallons lost through temperature variations or
16evaporation for each of the respective 6-month periods.
17    The return shall be prescribed by the Department and shall
18be filed between the 1st and 20th days of each calendar month.
19The Department may, in its discretion, combine the return filed
20under this Law with the return filed under Section 2b of the
21Motor Fuel Tax Law. If the return is timely filed, the receiver
22may take a discount of 2% through June 30, 2003 and 1.75%
23thereafter to reimburse himself for the expenses incurred in
24keeping records, preparing and filing returns, collecting and
25remitting the fee, and supplying data to the Department on
26request. However, the discount applies only to the amount of

 

 

SB0119 Enrolled- 481 -LRB101 06854 HLH 51885 b

1the fee payment that accompanies a return that is timely filed
2in accordance with this Section. The discount is not permitted
3on fees paid on aviation fuel sold or used on and after
4December 1, 2019 and through December 31, 2020. This exception
5for aviation fuel only applies for so long as the revenue use
6requirements of 49 U.S.C. 47017(b) and 49 U.S.C. 47133 are
7binding on the State.
8    Beginning with returns due on January 20, 2019 and ending
9with returns due on January 20, 2021 January 1, 2018, each
10retailer required or authorized to collect the fee imposed by
11this Act on aviation fuel at retail in this State during the
12preceding calendar month shall, instead of reporting and paying
13tax on aviation fuel as otherwise required by this Section,
14report and pay such tax on a separate file an aviation fuel tax
15return, or on a separate line on the return with the
16Department, on or before the twentieth day of each calendar
17month. The requirements related to the return shall be as
18otherwise provided in this Section. Notwithstanding any other
19provisions of this Act to the contrary, retailers collecting
20fees on aviation fuel shall file all aviation fuel tax returns
21and shall make all aviation fuel fee payments by electronic
22means in the manner and form required by the Department. For
23purposes of this paragraph, "aviation fuel" means jet fuel and
24aviation gasoline a product that is intended for use or offered
25for sale as fuel for an aircraft.
26    If any payment provided for in this Section exceeds the

 

 

SB0119 Enrolled- 482 -LRB101 06854 HLH 51885 b

1receiver's liabilities under this Act, as shown on an original
2return, the Department may authorize the receiver to credit
3such excess payment against liability subsequently to be
4remitted to the Department under this Act, in accordance with
5reasonable rules adopted by the Department. If the Department
6subsequently determines that all or any part of the credit
7taken was not actually due to the receiver, the receiver's
8discount shall be reduced by an amount equal to the difference
9between the discount as applied to the credit taken and that
10actually due, and that receiver shall be liable for penalties
11and interest on such difference.
12(Source: P.A. 100-1171, eff. 1-4-19; 101-10, eff. 6-5-19;
13revised 7-16-19.)
 
14    (415 ILCS 125/320)
15    (Section scheduled to be repealed on January 1, 2025)
16    Sec. 320. Deposit of fee receipts. Except as otherwise
17provided in this paragraph, all money received by the
18Department under this Law shall be deposited in the Underground
19Storage Tank Fund created by Section 57.11 of the Environmental
20Protection Act. All money received for aviation fuel by the
21Department under this Law on or after December 1, 2019 and
22ending with returns due on January 20, 2021, shall be
23immediately paid over by the Department to the State Aviation
24Program Fund. The Department shall only pay such moneys into
25the State Aviation Program Fund under this Act for so long as

 

 

SB0119 Enrolled- 483 -LRB101 06854 HLH 51885 b

1the revenue use requirements of 49 U.S.C. 47107(b) and 49
2U.S.C. 47133 are binding on the State. For purposes of this
3Section, "aviation fuel" means jet fuel and aviation gasoline a
4product that is intended for use or offered for sale as fuel
5for an aircraft.
6(Source: P.A. 101-10, eff. 6-5-19.)
 
7    Section 10-135. The Franchise Tax and License Fee Amnesty
8Act of 2007 is amended by changing Section 5-10 as follows:
 
9    (805 ILCS 8/5-10)
10    Sec. 5-10. Amnesty program. The Secretary shall establish
11an amnesty program for all taxpayers owing any franchise tax or
12license fee imposed by Article XV of the Business Corporation
13Act of 1983. The amnesty program shall be for a period from
14February 1, 2008 through March 15, 2008. The amnesty program
15shall also be for a period between October 1, 2019 and November
1615, 2019, and shall apply to franchise tax or license fee
17liabilities for any tax period ending after March 15, 2008 and
18on or before June 30, 2019. The amnesty program shall provide
19that, upon payment by a taxpayer of all franchise taxes and
20license fees due from that taxpayer to the State of Illinois
21for any taxable period, the Secretary shall abate and not seek
22to collect any interest or penalties that may be applicable,
23and the Secretary shall not seek civil or criminal prosecution
24for any taxpayer for the period of time for which amnesty has

 

 

SB0119 Enrolled- 484 -LRB101 06854 HLH 51885 b

1been granted to the taxpayer. Failure to pay all taxes due to
2the State for a taxable period shall not invalidate any amnesty
3granted under this Act with respect to the taxes paid pursuant
4to the amnesty program. Amnesty shall be granted only if all
5amnesty conditions are satisfied by the taxpayer. Amnesty shall
6not be granted to taxpayers who are a party to any criminal
7investigation or to any civil or criminal litigation that is
8pending in any circuit court or appellate court or the Supreme
9Court of this State for nonpayment, delinquency, or fraud in
10relation to any franchise tax or license fee imposed by Article
11XV of the Business Corporation Act of 1983. Voluntary payments
12made under this Act shall be made by check, guaranteed
13remittance, or ACH debit. The Secretary shall adopt rules as
14necessary to implement the provisions of this Act. Except as
15otherwise provided in this Section, all money collected under
16this Act that would otherwise be deposited into the General
17Revenue Fund shall be deposited into the General Revenue Fund.
18Two percent of all money collected under this Act shall be
19deposited by the State Treasurer into the Business Services
20Special Operations Fund Franchise Tax and License Fee Amnesty
21Administration Fund and, subject to appropriation, shall be
22used by the Secretary to cover costs associated with the
23administration of this Act.
24(Source: P.A. 101-9, eff. 6-5-19.)
 
25
ARTICLE 15. USE AND OCCUPATION TAXES; MARKETPLACE FACILITATORS

 

 

 

SB0119 Enrolled- 485 -LRB101 06854 HLH 51885 b

1    Section 15-5. The State Comptroller Act is amended by
2changing Section 16 as follows:
 
3    (15 ILCS 405/16)  (from Ch. 15, par. 216)
4    Sec. 16. Reports from State agencies. The comptroller shall
5prescribe the form and require the filing of quarterly fiscal
6reports by each State agency. Within 30 days after the end of
7each quarter, or at such earlier time as the comptroller by
8rule requires, each State agency shall file with the
9comptroller the report of activity for funds held outside of
10the State Treasury. The report shall include receipts and
11collections during the preceding quarter, including receipts
12and collections of taxes and fees, bond proceeds, gifts, grants
13and donations, and income from revenue producing activities.
14The report shall specify the nature, source and fair market
15value of any assets received, any increase or decrease in its
16security holdings, and such other related information as the
17comptroller, by rule, requires. The report shall, consistent
18with the uniform State accounting system, account for all
19disbursements and transfers by the State agency. This Section
20does not require the duplication of reports concerning security
21holdings and investment income of the State Treasurer which are
22issued by the Treasurer pursuant to law.
23    In addition to the quarterly reports required by this
24Section, each agency shall on an annual basis file a report

 

 

SB0119 Enrolled- 486 -LRB101 06854 HLH 51885 b

1giving that agency's best estimate of the cost of each tax
2expenditure related to each of the revenue sources administered
3by the agency. This annual report shall include the agency's
4best estimate of the cost of each tax expenditure including:
5(a) a citation of the legal authority for the tax expenditure,
6the year it was enacted, the fiscal year in which it first took
7effect, and any subsequent amendments; (b) to the extent that
8it can be determined, the total cost of the tax expenditure for
9the preceding fiscal year together with an estimate of the
10projected cost for the next succeeding fiscal year along with a
11description of the methodology used to determine or estimate
12the cost of the tax expenditure; and (c) an assessment of the
13impact of the tax expenditure on the incidence of the tax in
14terms of the relative shares of revenue received under the
15provisions of the tax expenditure and the revenue that would
16have been received had the tax expenditure not been in effect.
17For purposes of this Act, the term "tax expenditure" means any
18tax incentive authorized by law that by exemption, exclusion,
19deduction, allowance, credit, preferential tax rate,
20abatement, or other device reduces the amount of tax revenues
21that would otherwise accrue to the State, but shall not include
22reimbursements for services provided to the State by any person
23collecting and remitting tax under the Retailers' Occupation
24Tax Act, the Use Tax Act, the Service Occupation Tax Act, or
25the Service Use Tax Act.
26(Source: P.A. 101-34, eff. 6-28-19.)
 

 

 

SB0119 Enrolled- 487 -LRB101 06854 HLH 51885 b

1    Section 15-10. The Use Tax Act is amended by changing
2Sections 2 and 2d as follows:
 
3    (35 ILCS 105/2)  (from Ch. 120, par. 439.2)
4    Sec. 2. Definitions.
5    "Use" means the exercise by any person of any right or
6power over tangible personal property incident to the ownership
7of that property, except that it does not include the sale of
8such property in any form as tangible personal property in the
9regular course of business to the extent that such property is
10not first subjected to a use for which it was purchased, and
11does not include the use of such property by its owner for
12demonstration purposes: Provided that the property purchased
13is deemed to be purchased for the purpose of resale, despite
14first being used, to the extent to which it is resold as an
15ingredient of an intentionally produced product or by-product
16of manufacturing. "Use" does not mean the demonstration use or
17interim use of tangible personal property by a retailer before
18he sells that tangible personal property. For watercraft or
19aircraft, if the period of demonstration use or interim use by
20the retailer exceeds 18 months, the retailer shall pay on the
21retailers' original cost price the tax imposed by this Act, and
22no credit for that tax is permitted if the watercraft or
23aircraft is subsequently sold by the retailer. "Use" does not
24mean the physical incorporation of tangible personal property,

 

 

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1to the extent not first subjected to a use for which it was
2purchased, as an ingredient or constituent, into other tangible
3personal property (a) which is sold in the regular course of
4business or (b) which the person incorporating such ingredient
5or constituent therein has undertaken at the time of such
6purchase to cause to be transported in interstate commerce to
7destinations outside the State of Illinois: Provided that the
8property purchased is deemed to be purchased for the purpose of
9resale, despite first being used, to the extent to which it is
10resold as an ingredient of an intentionally produced product or
11by-product of manufacturing.
12    "Watercraft" means a Class 2, Class 3, or Class 4
13watercraft as defined in Section 3-2 of the Boat Registration
14and Safety Act, a personal watercraft, or any boat equipped
15with an inboard motor.
16    "Purchase at retail" means the acquisition of the ownership
17of or title to tangible personal property through a sale at
18retail.
19    "Purchaser" means anyone who, through a sale at retail,
20acquires the ownership of tangible personal property for a
21valuable consideration.
22    "Sale at retail" means any transfer of the ownership of or
23title to tangible personal property to a purchaser, for the
24purpose of use, and not for the purpose of resale in any form
25as tangible personal property to the extent not first subjected
26to a use for which it was purchased, for a valuable

 

 

SB0119 Enrolled- 489 -LRB101 06854 HLH 51885 b

1consideration: Provided that the property purchased is deemed
2to be purchased for the purpose of resale, despite first being
3used, to the extent to which it is resold as an ingredient of
4an intentionally produced product or by-product of
5manufacturing. For this purpose, slag produced as an incident
6to manufacturing pig iron or steel and sold is considered to be
7an intentionally produced by-product of manufacturing. "Sale
8at retail" includes any such transfer made for resale unless
9made in compliance with Section 2c of the Retailers' Occupation
10Tax Act, as incorporated by reference into Section 12 of this
11Act. Transactions whereby the possession of the property is
12transferred but the seller retains the title as security for
13payment of the selling price are sales.
14    "Sale at retail" shall also be construed to include any
15Illinois florist's sales transaction in which the purchase
16order is received in Illinois by a florist and the sale is for
17use or consumption, but the Illinois florist has a florist in
18another state deliver the property to the purchaser or the
19purchaser's donee in such other state.
20    Nonreusable tangible personal property that is used by
21persons engaged in the business of operating a restaurant,
22cafeteria, or drive-in is a sale for resale when it is
23transferred to customers in the ordinary course of business as
24part of the sale of food or beverages and is used to deliver,
25package, or consume food or beverages, regardless of where
26consumption of the food or beverages occurs. Examples of those

 

 

SB0119 Enrolled- 490 -LRB101 06854 HLH 51885 b

1items include, but are not limited to nonreusable, paper and
2plastic cups, plates, baskets, boxes, sleeves, buckets or other
3containers, utensils, straws, placemats, napkins, doggie bags,
4and wrapping or packaging materials that are transferred to
5customers as part of the sale of food or beverages in the
6ordinary course of business.
7    The purchase, employment and transfer of such tangible
8personal property as newsprint and ink for the primary purpose
9of conveying news (with or without other information) is not a
10purchase, use or sale of tangible personal property.
11    "Selling price" means the consideration for a sale valued
12in money whether received in money or otherwise, including
13cash, credits, property other than as hereinafter provided, and
14services, but, prior to January 1, 2020, not including the
15value of or credit given for traded-in tangible personal
16property where the item that is traded-in is of like kind and
17character as that which is being sold; beginning January 1,
182020, "selling price" includes the portion of the value of or
19credit given for traded-in motor vehicles of the First Division
20as defined in Section 1-146 of the Illinois Vehicle Code of
21like kind and character as that which is being sold that
22exceeds $10,000. "Selling price" shall be determined without
23any deduction on account of the cost of the property sold, the
24cost of materials used, labor or service cost or any other
25expense whatsoever, but does not include interest or finance
26charges which appear as separate items on the bill of sale or

 

 

SB0119 Enrolled- 491 -LRB101 06854 HLH 51885 b

1sales contract nor charges that are added to prices by sellers
2on account of the seller's tax liability under the "Retailers'
3Occupation Tax Act", or on account of the seller's duty to
4collect, from the purchaser, the tax that is imposed by this
5Act, or, except as otherwise provided with respect to any
6cigarette tax imposed by a home rule unit, on account of the
7seller's tax liability under any local occupation tax
8administered by the Department, or, except as otherwise
9provided with respect to any cigarette tax imposed by a home
10rule unit on account of the seller's duty to collect, from the
11purchasers, the tax that is imposed under any local use tax
12administered by the Department. Effective December 1, 1985,
13"selling price" shall include charges that are added to prices
14by sellers on account of the seller's tax liability under the
15Cigarette Tax Act, on account of the seller's duty to collect,
16from the purchaser, the tax imposed under the Cigarette Use Tax
17Act, and on account of the seller's duty to collect, from the
18purchaser, any cigarette tax imposed by a home rule unit.
19    Notwithstanding any law to the contrary, for any motor
20vehicle, as defined in Section 1-146 of the Vehicle Code, that
21is sold on or after January 1, 2015 for the purpose of leasing
22the vehicle for a defined period that is longer than one year
23and (1) is a motor vehicle of the second division that: (A) is
24a self-contained motor vehicle designed or permanently
25converted to provide living quarters for recreational,
26camping, or travel use, with direct walk through access to the

 

 

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1living quarters from the driver's seat; (B) is of the van
2configuration designed for the transportation of not less than
37 nor more than 16 passengers; or (C) has a gross vehicle
4weight rating of 8,000 pounds or less or (2) is a motor vehicle
5of the first division, "selling price" or "amount of sale"
6means the consideration received by the lessor pursuant to the
7lease contract, including amounts due at lease signing and all
8monthly or other regular payments charged over the term of the
9lease. Also included in the selling price is any amount
10received by the lessor from the lessee for the leased vehicle
11that is not calculated at the time the lease is executed,
12including, but not limited to, excess mileage charges and
13charges for excess wear and tear. For sales that occur in
14Illinois, with respect to any amount received by the lessor
15from the lessee for the leased vehicle that is not calculated
16at the time the lease is executed, the lessor who purchased the
17motor vehicle does not incur the tax imposed by the Use Tax Act
18on those amounts, and the retailer who makes the retail sale of
19the motor vehicle to the lessor is not required to collect the
20tax imposed by this Act or to pay the tax imposed by the
21Retailers' Occupation Tax Act on those amounts. However, the
22lessor who purchased the motor vehicle assumes the liability
23for reporting and paying the tax on those amounts directly to
24the Department in the same form (Illinois Retailers' Occupation
25Tax, and local retailers' occupation taxes, if applicable) in
26which the retailer would have reported and paid such tax if the

 

 

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1retailer had accounted for the tax to the Department. For
2amounts received by the lessor from the lessee that are not
3calculated at the time the lease is executed, the lessor must
4file the return and pay the tax to the Department by the due
5date otherwise required by this Act for returns other than
6transaction returns. If the retailer is entitled under this Act
7to a discount for collecting and remitting the tax imposed
8under this Act to the Department with respect to the sale of
9the motor vehicle to the lessor, then the right to the discount
10provided in this Act shall be transferred to the lessor with
11respect to the tax paid by the lessor for any amount received
12by the lessor from the lessee for the leased vehicle that is
13not calculated at the time the lease is executed; provided that
14the discount is only allowed if the return is timely filed and
15for amounts timely paid. The "selling price" of a motor vehicle
16that is sold on or after January 1, 2015 for the purpose of
17leasing for a defined period of longer than one year shall not
18be reduced by the value of or credit given for traded-in
19tangible personal property owned by the lessor, nor shall it be
20reduced by the value of or credit given for traded-in tangible
21personal property owned by the lessee, regardless of whether
22the trade-in value thereof is assigned by the lessee to the
23lessor. In the case of a motor vehicle that is sold for the
24purpose of leasing for a defined period of longer than one
25year, the sale occurs at the time of the delivery of the
26vehicle, regardless of the due date of any lease payments. A

 

 

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1lessor who incurs a Retailers' Occupation Tax liability on the
2sale of a motor vehicle coming off lease may not take a credit
3against that liability for the Use Tax the lessor paid upon the
4purchase of the motor vehicle (or for any tax the lessor paid
5with respect to any amount received by the lessor from the
6lessee for the leased vehicle that was not calculated at the
7time the lease was executed) if the selling price of the motor
8vehicle at the time of purchase was calculated using the
9definition of "selling price" as defined in this paragraph.
10Notwithstanding any other provision of this Act to the
11contrary, lessors shall file all returns and make all payments
12required under this paragraph to the Department by electronic
13means in the manner and form as required by the Department.
14This paragraph does not apply to leases of motor vehicles for
15which, at the time the lease is entered into, the term of the
16lease is not a defined period, including leases with a defined
17initial period with the option to continue the lease on a
18month-to-month or other basis beyond the initial defined
19period.
20    The phrase "like kind and character" shall be liberally
21construed (including but not limited to any form of motor
22vehicle for any form of motor vehicle, or any kind of farm or
23agricultural implement for any other kind of farm or
24agricultural implement), while not including a kind of item
25which, if sold at retail by that retailer, would be exempt from
26retailers' occupation tax and use tax as an isolated or

 

 

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1occasional sale.
2    "Department" means the Department of Revenue.
3    "Person" means any natural individual, firm, partnership,
4association, joint stock company, joint adventure, public or
5private corporation, limited liability company, or a receiver,
6executor, trustee, guardian or other representative appointed
7by order of any court.
8    "Retailer" means and includes every person engaged in the
9business of making sales at retail as defined in this Section.
10    A person who holds himself or herself out as being engaged
11(or who habitually engages) in selling tangible personal
12property at retail is a retailer hereunder with respect to such
13sales (and not primarily in a service occupation)
14notwithstanding the fact that such person designs and produces
15such tangible personal property on special order for the
16purchaser and in such a way as to render the property of value
17only to such purchaser, if such tangible personal property so
18produced on special order serves substantially the same
19function as stock or standard items of tangible personal
20property that are sold at retail.
21    A person whose activities are organized and conducted
22primarily as a not-for-profit service enterprise, and who
23engages in selling tangible personal property at retail
24(whether to the public or merely to members and their guests)
25is a retailer with respect to such transactions, excepting only
26a person organized and operated exclusively for charitable,

 

 

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1religious or educational purposes either (1), to the extent of
2sales by such person to its members, students, patients or
3inmates of tangible personal property to be used primarily for
4the purposes of such person, or (2), to the extent of sales by
5such person of tangible personal property which is not sold or
6offered for sale by persons organized for profit. The selling
7of school books and school supplies by schools at retail to
8students is not "primarily for the purposes of" the school
9which does such selling. This paragraph does not apply to nor
10subject to taxation occasional dinners, social or similar
11activities of a person organized and operated exclusively for
12charitable, religious or educational purposes, whether or not
13such activities are open to the public.
14    A person who is the recipient of a grant or contract under
15Title VII of the Older Americans Act of 1965 (P.L. 92-258) and
16serves meals to participants in the federal Nutrition Program
17for the Elderly in return for contributions established in
18amount by the individual participant pursuant to a schedule of
19suggested fees as provided for in the federal Act is not a
20retailer under this Act with respect to such transactions.
21    Persons who engage in the business of transferring tangible
22personal property upon the redemption of trading stamps are
23retailers hereunder when engaged in such business.
24    The isolated or occasional sale of tangible personal
25property at retail by a person who does not hold himself out as
26being engaged (or who does not habitually engage) in selling

 

 

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1such tangible personal property at retail or a sale through a
2bulk vending machine does not make such person a retailer
3hereunder. However, any person who is engaged in a business
4which is not subject to the tax imposed by the "Retailers'
5Occupation Tax Act" because of involving the sale of or a
6contract to sell real estate or a construction contract to
7improve real estate, but who, in the course of conducting such
8business, transfers tangible personal property to users or
9consumers in the finished form in which it was purchased, and
10which does not become real estate, under any provision of a
11construction contract or real estate sale or real estate sales
12agreement entered into with some other person arising out of or
13because of such nontaxable business, is a retailer to the
14extent of the value of the tangible personal property so
15transferred. If, in such transaction, a separate charge is made
16for the tangible personal property so transferred, the value of
17such property, for the purposes of this Act, is the amount so
18separately charged, but not less than the cost of such property
19to the transferor; if no separate charge is made, the value of
20such property, for the purposes of this Act, is the cost to the
21transferor of such tangible personal property.
22    "Retailer maintaining a place of business in this State",
23or any like term, means and includes any of the following
24retailers:
25        (1) A retailer having or maintaining within this State,
26    directly or by a subsidiary, an office, distribution house,

 

 

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1    sales house, warehouse or other place of business, or any
2    agent or other representative operating within this State
3    under the authority of the retailer or its subsidiary,
4    irrespective of whether such place of business or agent or
5    other representative is located here permanently or
6    temporarily, or whether such retailer or subsidiary is
7    licensed to do business in this State. However, the
8    ownership of property that is located at the premises of a
9    printer with which the retailer has contracted for printing
10    and that consists of the final printed product, property
11    that becomes a part of the final printed product, or copy
12    from which the printed product is produced shall not result
13    in the retailer being deemed to have or maintain an office,
14    distribution house, sales house, warehouse, or other place
15    of business within this State.
16        (1.1) A retailer having a contract with a person
17    located in this State under which the person, for a
18    commission or other consideration based upon the sale of
19    tangible personal property by the retailer, directly or
20    indirectly refers potential customers to the retailer by
21    providing to the potential customers a promotional code or
22    other mechanism that allows the retailer to track purchases
23    referred by such persons. Examples of mechanisms that allow
24    the retailer to track purchases referred by such persons
25    include but are not limited to the use of a link on the
26    person's Internet website, promotional codes distributed

 

 

SB0119 Enrolled- 499 -LRB101 06854 HLH 51885 b

1    through the person's hand-delivered or mailed material,
2    and promotional codes distributed by the person through
3    radio or other broadcast media. The provisions of this
4    paragraph (1.1) shall apply only if the cumulative gross
5    receipts from sales of tangible personal property by the
6    retailer to customers who are referred to the retailer by
7    all persons in this State under such contracts exceed
8    $10,000 during the preceding 4 quarterly periods ending on
9    the last day of March, June, September, and December. A
10    retailer meeting the requirements of this paragraph (1.1)
11    shall be presumed to be maintaining a place of business in
12    this State but may rebut this presumption by submitting
13    proof that the referrals or other activities pursued within
14    this State by such persons were not sufficient to meet the
15    nexus standards of the United States Constitution during
16    the preceding 4 quarterly periods. (Blank).
17        (1.2) Beginning July 1, 2011, a retailer having a
18    contract with a person located in this State under which:
19            (A) the retailer sells the same or substantially
20        similar line of products as the person located in this
21        State and does so using an identical or substantially
22        similar name, trade name, or trademark as the person
23        located in this State; and
24            (B) the retailer provides a commission or other
25        consideration to the person located in this State based
26        upon the sale of tangible personal property by the

 

 

SB0119 Enrolled- 500 -LRB101 06854 HLH 51885 b

1        retailer.
2        The provisions of this paragraph (1.2) shall apply only
3    if the cumulative gross receipts from sales of tangible
4    personal property by the retailer to customers in this
5    State under all such contracts exceed $10,000 during the
6    preceding 4 quarterly periods ending on the last day of
7    March, June, September, and December. (Blank).
8        (2) (Blank).
9        (3) (Blank).
10        (4) (Blank).
11        (5) (Blank).
12        (6) (Blank).
13        (7) (Blank).
14        (8) (Blank).
15        (9) Beginning October 1, 2018 through June 30, 2020, a
16    retailer making sales of tangible personal property to
17    purchasers in Illinois from outside of Illinois if:
18            (A) the cumulative gross receipts from sales of
19        tangible personal property to purchasers in Illinois
20        are $100,000 or more; or
21            (B) the retailer enters into 200 or more separate
22        transactions for the sale of tangible personal
23        property to purchasers in Illinois.
24        The retailer shall determine on a quarterly basis,
25    ending on the last day of March, June, September, and
26    December, whether he or she meets the criteria of either

 

 

SB0119 Enrolled- 501 -LRB101 06854 HLH 51885 b

1    subparagraph (A) or (B) of this paragraph (9) for the
2    preceding 12-month period. If the retailer meets the
3    threshold criteria of either subparagraph (A) or (B) for a
4    12-month period, he or she is considered a retailer
5    maintaining a place of business in this State and is
6    required to collect and remit the tax imposed under this
7    Act and file returns for one year. At the end of that
8    one-year period, the retailer shall determine whether he or
9    she the retailer met the threshold criteria of either
10    subparagraph (A) or (B) during the preceding 12-month
11    period. If the retailer met the criteria in either
12    subparagraph (A) or (B) for the preceding 12-month period,
13    he or she is considered a retailer maintaining a place of
14    business in this State and is required to collect and remit
15    the tax imposed under this Act and file returns for the
16    subsequent year. If at the end of a one-year period a
17    retailer that was required to collect and remit the tax
18    imposed under this Act determines that he or she did not
19    meet the threshold criteria in either subparagraph (A) or
20    (B) during the preceding 12-month period, the retailer
21    shall subsequently determine on a quarterly basis, ending
22    on the last day of March, June, September, and December,
23    whether he or she meets the threshold criteria of either
24    subparagraph (A) or (B) for the preceding 12-month period.
25        Beginning January 1, 2020, neither the gross receipts
26    from nor the number of separate transactions for sales of

 

 

SB0119 Enrolled- 502 -LRB101 06854 HLH 51885 b

1    tangible personal property to purchasers in Illinois that a
2    retailer makes through a marketplace facilitator and for
3    which the retailer has received a certification from the
4    marketplace facilitator pursuant to Section 2d of this Act
5    shall be included for purposes of determining whether he or
6    she has met the thresholds of this paragraph (9).
7        (10) Beginning January 1, 2020, a marketplace
8    facilitator that meets a threshold set forth in subsection
9    (b) of , as defined in Section 2d of this Act.
10    "Bulk vending machine" means a vending machine, containing
11unsorted confections, nuts, toys, or other items designed
12primarily to be used or played with by children which, when a
13coin or coins of a denomination not larger than $0.50 are
14inserted, are dispensed in equal portions, at random and
15without selection by the customer.
16(Source: P.A. 100-587, eff. 6-4-18; 101-9, eff. 6-5-19; 101-31,
17eff. 1-1-20; revised 7-11-19.)
 
18    (35 ILCS 105/2d)
19    Sec. 2d. Marketplace facilitators and marketplace sellers.
20    (a) As used in this Section:
21    "Affiliate" means a person that, with respect to another
22person: (i) has a direct or indirect ownership interest of more
23than 5 percent in the other person; or (ii) is related to the
24other person because a third person, or a group of third
25persons who are affiliated with each other as defined in this

 

 

SB0119 Enrolled- 503 -LRB101 06854 HLH 51885 b

1subsection, holds a direct or indirect ownership interest of
2more than 5% in the related person.
3    "Marketplace" means a physical or electronic place, forum,
4platform, application, or other method by which a marketplace
5seller sells or offers to sell items.
6    "Marketplace facilitator" means a person who, pursuant to
7an agreement with an unrelated third-party marketplace seller,
8directly or indirectly through one or more affiliates
9facilitates a retail sale by an unrelated third party
10marketplace seller by:
11        (1) listing or advertising for sale by the marketplace
12    seller in a marketplace, tangible personal property that is
13    subject to tax under this Act; and
14        (2) either directly or indirectly, through agreements
15    or arrangements with third parties, collecting payment
16    from the customer and transmitting that payment to the
17    marketplace seller regardless of whether the marketplace
18    facilitator receives compensation or other consideration
19    in exchange for its services.
20    "Marketplace facilitator" means a person who, pursuant to
21an agreement with a marketplace seller, facilitates sales of
22tangible personal property by that marketplace seller. A person
23facilitates a sale of tangible personal property by, directly
24or indirectly through one or more affiliates, doing both of the
25following: (i) listing or otherwise making available for sale
26the tangible personal property of the marketplace seller

 

 

SB0119 Enrolled- 504 -LRB101 06854 HLH 51885 b

1through a marketplace owned or operated by the marketplace
2facilitator; and (ii) processing sales or payments for
3marketplace sellers.
4    "Marketplace seller" means a person that sells or offers to
5sell tangible personal property through a marketplace operated
6by an unrelated third-party marketplace facilitator.
7    (b) Beginning on January 1, 2020, a marketplace facilitator
8who meets either of the following thresholds criteria is
9considered the retailer for of each sale of tangible personal
10property made through its on the marketplace:
11        (1) the cumulative gross receipts from sales of
12    tangible personal property to purchasers in Illinois by the
13    marketplace facilitator and by marketplace sellers selling
14    through the marketplace are $100,000 or more; or
15        (2) the marketplace facilitator and marketplace
16    sellers selling through the marketplace cumulatively enter
17    into 200 or more separate transactions for the sale of
18    tangible personal property to purchasers in Illinois.
19    A marketplace facilitator shall determine on a quarterly
20basis, ending on the last day of March, June, September, and
21December, whether he or she meets the threshold criteria of
22either paragraph (1) or (2) of this subsection (b) for the
23preceding 12-month period. If the marketplace facilitator
24meets the threshold criteria of either paragraph (1) or (2) for
25a 12-month period, he or she is considered a retailer
26maintaining a place of business in this State and is required

 

 

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1to collect and remit the tax imposed under this Act and file
2returns for one year. At the end of that one-year period, the
3marketplace facilitator shall determine whether the
4marketplace facilitator met the threshold criteria of either
5paragraph (1) or (2) during the preceding 12-month period. If
6the marketplace facilitator met the threshold criteria in
7either paragraph (1) or (2) for the preceding 12-month period,
8he or she is considered a retailer maintaining a place of
9business in this State and is required to collect and remit the
10tax imposed under this Act and file returns for the subsequent
11year. If at the end of a one-year period a marketplace
12facilitator that was required to collect and remit the tax
13imposed under this Act determines that he or she did not meet
14the threshold criteria in either paragraph (1) or (2) during
15the preceding 12-month period, the marketplace facilitator
16shall subsequently determine on a quarterly basis, ending on
17the last day of March, June, September, and December, whether
18he or she meets the threshold criteria of either paragraph (1)
19or (2) for the preceding 12-month period.
20    (c) Beginning on January 1, 2020 a A marketplace
21facilitator considered to be the retailer pursuant to that
22meets either of the thresholds in subsection (b) of this
23Section is considered the retailer with respect to of each sale
24made through its marketplace and is liable for collecting and
25remitting the tax under this Act on all such sales. The
26marketplace facilitator who is considered to be the retailer

 

 

SB0119 Enrolled- 506 -LRB101 06854 HLH 51885 b

1under subsection (b) for sales made through its marketplace has
2all the rights and duties, and is required to comply with the
3same requirements and procedures, as all other retailers
4maintaining a place of business in this State who are
5registered or who are required to be registered to collect and
6remit the tax imposed by this Act with respect to such sales.
7    (d) A marketplace facilitator shall:
8        (1) certify to each marketplace seller that the
9    marketplace facilitator assumes the rights and duties of a
10    retailer under this Act with respect to sales made by the
11    marketplace seller through the marketplace; and
12        (2) collect taxes imposed by this Act as required by
13    Section 3-45 of this Act for sales made through the
14    marketplace.
15    (e) A marketplace seller shall retain books and records for
16all sales made through a marketplace in accordance with the
17requirements of Section 11.
18    (f) A marketplace seller shall furnish to the marketplace
19facilitator information that is necessary for the marketplace
20facilitator to correctly collect and remit taxes for a retail
21sale. The information may include a certification that an item
22being sold is taxable, not taxable, exempt from taxation, or
23taxable at a specified rate. A marketplace seller shall be held
24harmless for liability for the tax imposed under this Act when
25a marketplace facilitator fails to correctly collect and remit
26tax after having been provided with information by a

 

 

SB0119 Enrolled- 507 -LRB101 06854 HLH 51885 b

1marketplace seller to correctly collect and remit taxes imposed
2under this Act.
3    (g) If Except as provided in subsection (h), if the
4marketplace facilitator demonstrates to the satisfaction of
5the Department that its failure to correctly collect and remit
6tax on a retail sale resulted from the marketplace
7facilitator's good faith reliance on incorrect or insufficient
8information provided by a marketplace seller, it shall be
9relieved of liability for the tax on that retail sale. In this
10case, a marketplace seller is liable for any resulting tax due.
11    (h) (Blank). A marketplace facilitator and marketplace
12seller that are affiliates, as defined by subsection (a), are
13jointly and severally liable for tax liability resulting from a
14sale made by the affiliated marketplace seller through the
15marketplace.
16    (i) This Section does not affect the tax liability of a
17purchaser under this Act.
18    (j) (Blank). The Department may adopt rules for the
19administration and enforcement of the provisions of this
20Section.
21    (k) A marketplace facilitator required to collect taxes
22imposed under this Section and this Act on retail sales made
23through its marketplace shall be liable to the Department for
24such taxes, except when the marketplace facilitator is relieved
25of the duty to remit such taxes by virtue of having paid to the
26Department taxes imposed by the Retailers' Occupation Tax Act

 

 

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1upon his or her gross receipts from the same transactions.
2    (l) If, for any reason, the Department is prohibited from
3enforcing the marketplace facilitator's duty under this Act to
4collect and remit taxes pursuant to this Section, the duty to
5collect and remit such taxes reverts to the marketplace seller
6that is a retailer maintaining a place of business in this
7State pursuant to Section 2.
8(Source: P.A. 101-9, eff. 6-5-19.)
 
9    Section 15-15. The Retailers' Occupation Tax Act is amended
10by changing Sections 1, 2, and 2-12 as follows:
 
11    (35 ILCS 120/1)  (from Ch. 120, par. 440)
12    Sec. 1. Definitions. "Sale at retail" means any transfer of
13the ownership of or title to tangible personal property to a
14purchaser, for the purpose of use or consumption, and not for
15the purpose of resale in any form as tangible personal property
16to the extent not first subjected to a use for which it was
17purchased, for a valuable consideration: Provided that the
18property purchased is deemed to be purchased for the purpose of
19resale, despite first being used, to the extent to which it is
20resold as an ingredient of an intentionally produced product or
21byproduct of manufacturing. For this purpose, slag produced as
22an incident to manufacturing pig iron or steel and sold is
23considered to be an intentionally produced byproduct of
24manufacturing. Transactions whereby the possession of the

 

 

SB0119 Enrolled- 509 -LRB101 06854 HLH 51885 b

1property is transferred but the seller retains the title as
2security for payment of the selling price shall be deemed to be
3sales.
4    "Sale at retail" shall be construed to include any transfer
5of the ownership of or title to tangible personal property to a
6purchaser, for use or consumption by any other person to whom
7such purchaser may transfer the tangible personal property
8without a valuable consideration, and to include any transfer,
9whether made for or without a valuable consideration, for
10resale in any form as tangible personal property unless made in
11compliance with Section 2c of this Act.
12    Sales of tangible personal property, which property, to the
13extent not first subjected to a use for which it was purchased,
14as an ingredient or constituent, goes into and forms a part of
15tangible personal property subsequently the subject of a "Sale
16at retail", are not sales at retail as defined in this Act:
17Provided that the property purchased is deemed to be purchased
18for the purpose of resale, despite first being used, to the
19extent to which it is resold as an ingredient of an
20intentionally produced product or byproduct of manufacturing.
21    "Sale at retail" shall be construed to include any Illinois
22florist's sales transaction in which the purchase order is
23received in Illinois by a florist and the sale is for use or
24consumption, but the Illinois florist has a florist in another
25state deliver the property to the purchaser or the purchaser's
26donee in such other state.

 

 

SB0119 Enrolled- 510 -LRB101 06854 HLH 51885 b

1    Nonreusable tangible personal property that is used by
2persons engaged in the business of operating a restaurant,
3cafeteria, or drive-in is a sale for resale when it is
4transferred to customers in the ordinary course of business as
5part of the sale of food or beverages and is used to deliver,
6package, or consume food or beverages, regardless of where
7consumption of the food or beverages occurs. Examples of those
8items include, but are not limited to nonreusable, paper and
9plastic cups, plates, baskets, boxes, sleeves, buckets or other
10containers, utensils, straws, placemats, napkins, doggie bags,
11and wrapping or packaging materials that are transferred to
12customers as part of the sale of food or beverages in the
13ordinary course of business.
14    The purchase, employment and transfer of such tangible
15personal property as newsprint and ink for the primary purpose
16of conveying news (with or without other information) is not a
17purchase, use or sale of tangible personal property.
18    A person whose activities are organized and conducted
19primarily as a not-for-profit service enterprise, and who
20engages in selling tangible personal property at retail
21(whether to the public or merely to members and their guests)
22is engaged in the business of selling tangible personal
23property at retail with respect to such transactions, excepting
24only a person organized and operated exclusively for
25charitable, religious or educational purposes either (1), to
26the extent of sales by such person to its members, students,

 

 

SB0119 Enrolled- 511 -LRB101 06854 HLH 51885 b

1patients or inmates of tangible personal property to be used
2primarily for the purposes of such person, or (2), to the
3extent of sales by such person of tangible personal property
4which is not sold or offered for sale by persons organized for
5profit. The selling of school books and school supplies by
6schools at retail to students is not "primarily for the
7purposes of" the school which does such selling. The provisions
8of this paragraph shall not apply to nor subject to taxation
9occasional dinners, socials or similar activities of a person
10organized and operated exclusively for charitable, religious
11or educational purposes, whether or not such activities are
12open to the public.
13    A person who is the recipient of a grant or contract under
14Title VII of the Older Americans Act of 1965 (P.L. 92-258) and
15serves meals to participants in the federal Nutrition Program
16for the Elderly in return for contributions established in
17amount by the individual participant pursuant to a schedule of
18suggested fees as provided for in the federal Act is not
19engaged in the business of selling tangible personal property
20at retail with respect to such transactions.
21    "Purchaser" means anyone who, through a sale at retail,
22acquires the ownership of or title to tangible personal
23property for a valuable consideration.
24    "Reseller of motor fuel" means any person engaged in the
25business of selling or delivering or transferring title of
26motor fuel to another person other than for use or consumption.

 

 

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1No person shall act as a reseller of motor fuel within this
2State without first being registered as a reseller pursuant to
3Section 2c or a retailer pursuant to Section 2a.
4    "Selling price" or the "amount of sale" means the
5consideration for a sale valued in money whether received in
6money or otherwise, including cash, credits, property, other
7than as hereinafter provided, and services, but, prior to
8January 1, 2020, not including the value of or credit given for
9traded-in tangible personal property where the item that is
10traded-in is of like kind and character as that which is being
11sold; beginning January 1, 2020, "selling price" includes the
12portion of the value of or credit given for traded-in motor
13vehicles of the First Division as defined in Section 1-146 of
14the Illinois Vehicle Code of like kind and character as that
15which is being sold that exceeds $10,000. "Selling price" shall
16be determined without any deduction on account of the cost of
17the property sold, the cost of materials used, labor or service
18cost or any other expense whatsoever, but does not include
19charges that are added to prices by sellers on account of the
20seller's tax liability under this Act, or on account of the
21seller's duty to collect, from the purchaser, the tax that is
22imposed by the Use Tax Act, or, except as otherwise provided
23with respect to any cigarette tax imposed by a home rule unit,
24on account of the seller's tax liability under any local
25occupation tax administered by the Department, or, except as
26otherwise provided with respect to any cigarette tax imposed by

 

 

SB0119 Enrolled- 513 -LRB101 06854 HLH 51885 b

1a home rule unit on account of the seller's duty to collect,
2from the purchasers, the tax that is imposed under any local
3use tax administered by the Department. Effective December 1,
41985, "selling price" shall include charges that are added to
5prices by sellers on account of the seller's tax liability
6under the Cigarette Tax Act, on account of the sellers' duty to
7collect, from the purchaser, the tax imposed under the
8Cigarette Use Tax Act, and on account of the seller's duty to
9collect, from the purchaser, any cigarette tax imposed by a
10home rule unit.
11    Notwithstanding any law to the contrary, for any motor
12vehicle, as defined in Section 1-146 of the Vehicle Code, that
13is sold on or after January 1, 2015 for the purpose of leasing
14the vehicle for a defined period that is longer than one year
15and (1) is a motor vehicle of the second division that: (A) is
16a self-contained motor vehicle designed or permanently
17converted to provide living quarters for recreational,
18camping, or travel use, with direct walk through access to the
19living quarters from the driver's seat; (B) is of the van
20configuration designed for the transportation of not less than
217 nor more than 16 passengers; or (C) has a gross vehicle
22weight rating of 8,000 pounds or less or (2) is a motor vehicle
23of the first division, "selling price" or "amount of sale"
24means the consideration received by the lessor pursuant to the
25lease contract, including amounts due at lease signing and all
26monthly or other regular payments charged over the term of the

 

 

SB0119 Enrolled- 514 -LRB101 06854 HLH 51885 b

1lease. Also included in the selling price is any amount
2received by the lessor from the lessee for the leased vehicle
3that is not calculated at the time the lease is executed,
4including, but not limited to, excess mileage charges and
5charges for excess wear and tear. For sales that occur in
6Illinois, with respect to any amount received by the lessor
7from the lessee for the leased vehicle that is not calculated
8at the time the lease is executed, the lessor who purchased the
9motor vehicle does not incur the tax imposed by the Use Tax Act
10on those amounts, and the retailer who makes the retail sale of
11the motor vehicle to the lessor is not required to collect the
12tax imposed by the Use Tax Act or to pay the tax imposed by this
13Act on those amounts. However, the lessor who purchased the
14motor vehicle assumes the liability for reporting and paying
15the tax on those amounts directly to the Department in the same
16form (Illinois Retailers' Occupation Tax, and local retailers'
17occupation taxes, if applicable) in which the retailer would
18have reported and paid such tax if the retailer had accounted
19for the tax to the Department. For amounts received by the
20lessor from the lessee that are not calculated at the time the
21lease is executed, the lessor must file the return and pay the
22tax to the Department by the due date otherwise required by
23this Act for returns other than transaction returns. If the
24retailer is entitled under this Act to a discount for
25collecting and remitting the tax imposed under this Act to the
26Department with respect to the sale of the motor vehicle to the

 

 

SB0119 Enrolled- 515 -LRB101 06854 HLH 51885 b

1lessor, then the right to the discount provided in this Act
2shall be transferred to the lessor with respect to the tax paid
3by the lessor for any amount received by the lessor from the
4lessee for the leased vehicle that is not calculated at the
5time the lease is executed; provided that the discount is only
6allowed if the return is timely filed and for amounts timely
7paid. The "selling price" of a motor vehicle that is sold on or
8after January 1, 2015 for the purpose of leasing for a defined
9period of longer than one year shall not be reduced by the
10value of or credit given for traded-in tangible personal
11property owned by the lessor, nor shall it be reduced by the
12value of or credit given for traded-in tangible personal
13property owned by the lessee, regardless of whether the
14trade-in value thereof is assigned by the lessee to the lessor.
15In the case of a motor vehicle that is sold for the purpose of
16leasing for a defined period of longer than one year, the sale
17occurs at the time of the delivery of the vehicle, regardless
18of the due date of any lease payments. A lessor who incurs a
19Retailers' Occupation Tax liability on the sale of a motor
20vehicle coming off lease may not take a credit against that
21liability for the Use Tax the lessor paid upon the purchase of
22the motor vehicle (or for any tax the lessor paid with respect
23to any amount received by the lessor from the lessee for the
24leased vehicle that was not calculated at the time the lease
25was executed) if the selling price of the motor vehicle at the
26time of purchase was calculated using the definition of

 

 

SB0119 Enrolled- 516 -LRB101 06854 HLH 51885 b

1"selling price" as defined in this paragraph. Notwithstanding
2any other provision of this Act to the contrary, lessors shall
3file all returns and make all payments required under this
4paragraph to the Department by electronic means in the manner
5and form as required by the Department. This paragraph does not
6apply to leases of motor vehicles for which, at the time the
7lease is entered into, the term of the lease is not a defined
8period, including leases with a defined initial period with the
9option to continue the lease on a month-to-month or other basis
10beyond the initial defined period.
11    The phrase "like kind and character" shall be liberally
12construed (including but not limited to any form of motor
13vehicle for any form of motor vehicle, or any kind of farm or
14agricultural implement for any other kind of farm or
15agricultural implement), while not including a kind of item
16which, if sold at retail by that retailer, would be exempt from
17retailers' occupation tax and use tax as an isolated or
18occasional sale.
19    "Gross receipts" from the sales of tangible personal
20property at retail means the total selling price or the amount
21of such sales, as hereinbefore defined. In the case of charge
22and time sales, the amount thereof shall be included only as
23and when payments are received by the seller. Receipts or other
24consideration derived by a seller from the sale, transfer or
25assignment of accounts receivable to a wholly owned subsidiary
26will not be deemed payments prior to the time the purchaser

 

 

SB0119 Enrolled- 517 -LRB101 06854 HLH 51885 b

1makes payment on such accounts.
2    "Department" means the Department of Revenue.
3    "Person" means any natural individual, firm, partnership,
4association, joint stock company, joint adventure, public or
5private corporation, limited liability company, or a receiver,
6executor, trustee, guardian or other representative appointed
7by order of any court.
8    The isolated or occasional sale of tangible personal
9property at retail by a person who does not hold himself out as
10being engaged (or who does not habitually engage) in selling
11such tangible personal property at retail, or a sale through a
12bulk vending machine, does not constitute engaging in a
13business of selling such tangible personal property at retail
14within the meaning of this Act; provided that any person who is
15engaged in a business which is not subject to the tax imposed
16by this Act because of involving the sale of or a contract to
17sell real estate or a construction contract to improve real
18estate or a construction contract to engineer, install, and
19maintain an integrated system of products, but who, in the
20course of conducting such business, transfers tangible
21personal property to users or consumers in the finished form in
22which it was purchased, and which does not become real estate
23or was not engineered and installed, under any provision of a
24construction contract or real estate sale or real estate sales
25agreement entered into with some other person arising out of or
26because of such nontaxable business, is engaged in the business

 

 

SB0119 Enrolled- 518 -LRB101 06854 HLH 51885 b

1of selling tangible personal property at retail to the extent
2of the value of the tangible personal property so transferred.
3If, in such a transaction, a separate charge is made for the
4tangible personal property so transferred, the value of such
5property, for the purpose of this Act, shall be the amount so
6separately charged, but not less than the cost of such property
7to the transferor; if no separate charge is made, the value of
8such property, for the purposes of this Act, is the cost to the
9transferor of such tangible personal property. Construction
10contracts for the improvement of real estate consisting of
11engineering, installation, and maintenance of voice, data,
12video, security, and all telecommunication systems do not
13constitute engaging in a business of selling tangible personal
14property at retail within the meaning of this Act if they are
15sold at one specified contract price.
16    A person who holds himself or herself out as being engaged
17(or who habitually engages) in selling tangible personal
18property at retail is a person engaged in the business of
19selling tangible personal property at retail hereunder with
20respect to such sales (and not primarily in a service
21occupation) notwithstanding the fact that such person designs
22and produces such tangible personal property on special order
23for the purchaser and in such a way as to render the property
24of value only to such purchaser, if such tangible personal
25property so produced on special order serves substantially the
26same function as stock or standard items of tangible personal

 

 

SB0119 Enrolled- 519 -LRB101 06854 HLH 51885 b

1property that are sold at retail.
2    Persons who engage in the business of transferring tangible
3personal property upon the redemption of trading stamps are
4engaged in the business of selling such property at retail and
5shall be liable for and shall pay the tax imposed by this Act
6on the basis of the retail value of the property transferred
7upon redemption of such stamps.
8    "Bulk vending machine" means a vending machine, containing
9unsorted confections, nuts, toys, or other items designed
10primarily to be used or played with by children which, when a
11coin or coins of a denomination not larger than $0.50 are
12inserted, are dispensed in equal portions, at random and
13without selection by the customer.
14    "Remote retailer" means a retailer located outside of this
15State that does not maintain within this State, directly or by
16a subsidiary, an office, distribution house, sales house,
17warehouse or other place of business, or any agent or other
18representative operating within this State under the authority
19of the retailer or its subsidiary, irrespective of whether such
20place of business or agent is located here permanently or
21temporarily or whether such retailer or subsidiary is licensed
22to do business in this State.
23    "Marketplace" means a physical or electronic place, forum,
24platform, application, or other method by which a marketplace
25seller sells or offers to sell items.
26    "Marketplace facilitator" means a person who, pursuant to

 

 

SB0119 Enrolled- 520 -LRB101 06854 HLH 51885 b

1an agreement with an unrelated third-party marketplace seller,
2directly or indirectly through one or more affiliates
3facilitates a retail sale by an unrelated third party
4marketplace seller by:
5        (1) listing or advertising for sale by the marketplace
6    seller in a marketplace, tangible personal property that is
7    subject to tax under this Act; and
8        (2) either directly or indirectly, through agreements
9    or arrangements with third parties, collecting payment
10    from the customer and transmitting that payment to the
11    marketplace seller regardless of whether the marketplace
12    facilitator receives compensation or other consideration
13    in exchange for its services.
14    A person who provides advertising services, including
15listing products for sale, is not considered a marketplace
16facilitator, so long as the advertising service platform or
17forum does not engage, directly or indirectly through one or
18more affiliated persons, in the activities described in
19paragraph (2) of this definition of "marketplace facilitator".
20    "Marketplace seller" means a person that makes sales
21through a marketplace operated by an unrelated third party
22marketplace facilitator.
23(Source: P.A. 101-31, eff. 6-28-19.)
 
24    (35 ILCS 120/2)  (from Ch. 120, par. 441)
25    Sec. 2. Tax imposed.

 

 

SB0119 Enrolled- 521 -LRB101 06854 HLH 51885 b

1    (a) A tax is imposed upon persons engaged in the business
2of selling at retail tangible personal property, including
3computer software, and including photographs, negatives, and
4positives that are the product of photoprocessing, but not
5including products of photoprocessing produced for use in
6motion pictures for public commercial exhibition. Beginning
7January 1, 2001, prepaid telephone calling arrangements shall
8be considered tangible personal property subject to the tax
9imposed under this Act regardless of the form in which those
10arrangements may be embodied, transmitted, or fixed by any
11method now known or hereafter developed. Sales of (1)
12electricity delivered to customers by wire; (2) natural or
13artificial gas that is delivered to customers through pipes,
14pipelines, or mains; and (3) water that is delivered to
15customers through pipes, pipelines, or mains are not subject to
16tax under this Act. The provisions of this amendatory Act of
17the 98th General Assembly are declaratory of existing law as to
18the meaning and scope of this Act.
19    (b) Beginning on January 1, 2021 July 1, 2020, a remote
20retailer is engaged in the occupation of selling at retail in
21Illinois for purposes of this Act, if:
22        (1) the cumulative gross receipts from sales of
23    tangible personal property to purchasers in Illinois are
24    $100,000 or more; or
25        (2) the retailer enters into 200 or more separate
26    transactions for the sale of tangible personal property to

 

 

SB0119 Enrolled- 522 -LRB101 06854 HLH 51885 b

1    purchasers in Illinois.
2    Remote retailers that meet or exceed the threshold in
3either paragraph (1) or (2) above shall be liable for all
4applicable State retailers' and locally imposed retailers'
5occupation taxes administered by the Department on all retail
6sales to Illinois purchasers.
7    The remote retailer shall determine on a quarterly basis,
8ending on the last day of March, June, September, and December,
9whether he or she meets the criteria of either paragraph (1) or
10(2) of this subsection for the preceding 12-month period. If
11the retailer meets the criteria of either paragraph (1) or (2)
12for a 12-month period, he or she is considered a retailer
13maintaining a place of business in this State and is required
14to collect and remit the tax imposed under this Act and all
15retailers' occupation tax imposed by local taxing
16jurisdictions in Illinois, provided such local taxes are
17administered by the Department, and to file all applicable
18returns for one year. At the end of that one-year period, the
19retailer shall determine whether the retailer met the criteria
20of either paragraph (1) or (2) for the preceding 12-month
21period. If the retailer met the criteria in either paragraph
22(1) or (2) for the preceding 12-month period, he or she is
23considered a retailer maintaining a place of business in this
24State and is required to collect and remit all applicable State
25and local retailers' occupation taxes and file returns for the
26subsequent year. If, at the end of a one-year period, a

 

 

SB0119 Enrolled- 523 -LRB101 06854 HLH 51885 b

1retailer that was required to collect and remit the tax imposed
2under this Act determines that he or she did not meet the
3criteria in either paragraph (1) or (2) during the preceding
412-month period, then the retailer shall subsequently
5determine on a quarterly basis, ending on the last day of
6March, June, September, and December, whether he or she meets
7the criteria of either paragraph (1) or (2) for the preceding
812-month period.
9    (b-5) For the purposes of this Section, neither the gross
10receipts from nor the number of separate transactions for sales
11of tangible personal property to purchasers in Illinois that a
12remote retailer makes through a marketplace facilitator shall
13be included for the purposes of determining whether he or she
14has met the thresholds of subsection (b) of this Section so
15long as the remote retailer has received certification from the
16marketplace facilitator that the marketplace facilitator is
17legally responsible for payment of tax on such sales.
18    (b-10) A remote retailer required to collect taxes imposed
19under the Use Tax Act on retail sales made to Illinois
20purchasers shall be liable to the Department for such taxes,
21except when the remote retailer is relieved of the duty to
22remit such taxes by virtue of having paid to the Department
23taxes imposed by this Act in accordance with this Section upon
24his or her gross receipts from such sales.
25    (c) Marketplace facilitators engaged in the business of
26selling at retail tangible personal property in Illinois.

 

 

SB0119 Enrolled- 524 -LRB101 06854 HLH 51885 b

1Beginning January 1, 2021, a marketplace facilitator is engaged
2in the occupation of selling at retail tangible personal
3property in Illinois for purposes of this Act if, during the
4previous 12-month period:
5        (1) the cumulative gross receipts from sales of
6    tangible personal property on its own behalf or on behalf
7    of marketplace sellers to purchasers in Illinois equals
8    $100,000 or more; or
9        (2) the marketplace facilitator enters into 200 or more
10    separate transactions on its own behalf or on behalf of
11    marketplace sellers for the sale of tangible personal
12    property to purchasers in Illinois, regardless of whether
13    the marketplace facilitator or marketplace sellers for
14    whom such sales are facilitated are registered as retailers
15    in this State.
16    A marketplace facilitator who meets either paragraph (1) or
17(2) of this subsection is required to remit the applicable
18State retailers' occupation taxes under this Act and local
19retailers' occupation taxes administered by the Department on
20all taxable sales of tangible personal property made by the
21marketplace facilitator or facilitated for marketplace sellers
22to customers in this State. A marketplace facilitator selling
23or facilitating the sale of tangible personal property to
24customers in this State is subject to all applicable procedures
25and requirements of this Act.
26    The marketplace facilitator shall determine on a quarterly

 

 

SB0119 Enrolled- 525 -LRB101 06854 HLH 51885 b

1basis, ending on the last day of March, June, September, and
2December, whether he or she meets the criteria of either
3paragraph (1) or (2) of this subsection for the preceding
412-month period. If the marketplace facilitator meets the
5criteria of either paragraph (1) or (2) for a 12-month period,
6he or she is considered a retailer maintaining a place of
7business in this State and is required to remit the tax imposed
8under this Act and all retailers' occupation tax imposed by
9local taxing jurisdictions in Illinois, provided such local
10taxes are administered by the Department, and to file all
11applicable returns for one year. At the end of that one-year
12period, the marketplace facilitator shall determine whether it
13met the criteria of either paragraph (1) or (2) for the
14preceding 12-month period. If the marketplace facilitator met
15the criteria in either paragraph (1) or (2) for the preceding
1612-month period, it is considered a retailer maintaining a
17place of business in this State and is required to collect and
18remit all applicable State and local retailers' occupation
19taxes and file returns for the subsequent year. If at the end
20of a one-year period a marketplace facilitator that was
21required to collect and remit the tax imposed under this Act
22determines that he or she did not meet the criteria in either
23paragraph (1) or (2) during the preceding 12-month period, the
24marketplace facilitator shall subsequently determine on a
25quarterly basis, ending on the last day of March, June,
26September, and December, whether he or she meets the criteria

 

 

SB0119 Enrolled- 526 -LRB101 06854 HLH 51885 b

1of either paragraph (1) or (2) for the preceding 12-month
2period.
3    A marketplace facilitator shall be entitled to any credits,
4deductions, or adjustments to the sales price otherwise
5provided to the marketplace seller, in addition to any such
6adjustments provided directly to the marketplace facilitator.
7This Section pertains to, but is not limited to, adjustments
8such as discounts, coupons, and rebates. In addition, a
9marketplace facilitator shall be entitled to the retailers'
10discount provided in Section 3 of the Retailers' Occupation Tax
11Act on all marketplace sales, and the marketplace seller shall
12not include sales made through a marketplace facilitator when
13computing any retailers' discount on remaining sales.
14Marketplace facilitators shall report and remit the applicable
15State and local retailers' occupation taxes on sales
16facilitated for marketplace sellers separately from any sales
17or use tax collected on taxable retail sales made directly by
18the marketplace facilitator or its affiliates.
19    The marketplace facilitator is liable for the remittance of
20all applicable State retailers' occupation taxes under this Act
21and local retailers' occupation taxes administered by the
22Department on sales through the marketplace and is subject to
23audit on all such sales. The Department shall not audit
24marketplace sellers for their marketplace sales where a
25marketplace facilitator remitted the applicable State and
26local retailers' occupation taxes unless the marketplace

 

 

SB0119 Enrolled- 527 -LRB101 06854 HLH 51885 b

1facilitator seeks relief as a result of incorrect information
2provided to the marketplace facilitator by a marketplace seller
3as set forth in this Section. The marketplace facilitator shall
4not be held liable for tax on any sales made by a marketplace
5seller that take place outside of the marketplace and which are
6not a part of any agreement between a marketplace facilitator
7and a marketplace seller. In addition, marketplace
8facilitators shall not be held liable to State and local
9governments of Illinois for having charged and remitted an
10incorrect amount of State and local retailers' occupation tax
11if, at the time of the sale, the tax is computed based on
12erroneous data provided by the State in database files on tax
13rates, boundaries, or taxing jurisdictions or incorrect
14information provided to the marketplace facilitator by the
15marketplace seller.
16    (d) A marketplace facilitator shall:
17        (1) certify to each marketplace seller that the
18    marketplace facilitator assumes the rights and duties of a
19    retailer under this Act with respect to sales made by the
20    marketplace seller through the marketplace; and
21        (2) remit taxes imposed by this Act as required by this
22    Act for sales made through the marketplace.
23    (e) A marketplace seller shall retain books and records for
24all sales made through a marketplace in accordance with the
25requirements of this Act.
26    (f) A marketplace facilitator is subject to audit on all

 

 

SB0119 Enrolled- 528 -LRB101 06854 HLH 51885 b

1marketplace sales for which it is considered to be the
2retailer, but shall not be liable for tax or subject to audit
3on sales made by marketplace sellers outside of the
4marketplace.
5    (g) A marketplace facilitator required to collect taxes
6imposed under the Use Tax Act on marketplace sales made to
7Illinois purchasers shall be liable to the Department for such
8taxes, except when the marketplace facilitator is relieved of
9the duty to remit such taxes by virtue of having paid to the
10Department taxes imposed by this Act in accordance with this
11Section upon his or her gross receipts from such sales.
12    (h) Nothing in this Section shall allow the Department to
13collect retailers' occupation taxes from both the marketplace
14facilitator and marketplace seller on the same transaction.
15    (i) If, for any reason, the Department is prohibited from
16enforcing the marketplace facilitator's duty under this Act to
17remit taxes pursuant to this Section, the duty to remit such
18taxes remains with the marketplace seller.
19    (j) Nothing in this Section affects the obligation of any
20consumer to remit use tax for any taxable transaction for which
21a certified service provider acting on behalf of a remote
22retailer or a marketplace facilitator does not collect and
23remit the appropriate tax.
24    (k) Nothing in this Section shall allow the Department to
25collect the retailers' occupation tax from both the marketplace
26facilitator and the marketplace seller.

 

 

SB0119 Enrolled- 529 -LRB101 06854 HLH 51885 b

1(Source: P.A. 101-31, eff. 6-28-19.)
 
2    (35 ILCS 120/2-12)
3    Sec. 2-12. Location where retailer is deemed to be engaged
4in the business of selling. The purpose of this Section is to
5specify where a retailer is deemed to be engaged in the
6business of selling tangible personal property for the purposes
7of this Act, the Use Tax Act, the Service Use Tax Act, and the
8Service Occupation Tax Act, and for the purpose of collecting
9any other local retailers' occupation tax administered by the
10Department. This Section applies only with respect to the
11particular selling activities described in the following
12paragraphs. The provisions of this Section are not intended to,
13and shall not be interpreted to, affect where a retailer is
14deemed to be engaged in the business of selling with respect to
15any activity that is not specifically described in the
16following paragraphs.
17        (1) If a purchaser who is present at the retailer's
18    place of business, having no prior commitment to the
19    retailer, agrees to purchase and makes payment for tangible
20    personal property at the retailer's place of business, then
21    the transaction shall be deemed an over-the-counter sale
22    occurring at the retailer's same place of business where
23    the purchaser was present and made payment for that
24    tangible personal property if the retailer regularly
25    stocks the purchased tangible personal property or similar

 

 

SB0119 Enrolled- 530 -LRB101 06854 HLH 51885 b

1    tangible personal property in the quantity, or similar
2    quantity, for sale at the retailer's same place of business
3    and then either (i) the purchaser takes possession of the
4    tangible personal property at the same place of business or
5    (ii) the retailer delivers or arranges for the tangible
6    personal property to be delivered to the purchaser.
7        (2) If a purchaser, having no prior commitment to the
8    retailer, agrees to purchase tangible personal property
9    and makes payment over the phone, in writing, or via the
10    Internet and takes possession of the tangible personal
11    property at the retailer's place of business, then the sale
12    shall be deemed to have occurred at the retailer's place of
13    business where the purchaser takes possession of the
14    property if the retailer regularly stocks the item or
15    similar items in the quantity, or similar quantities,
16    purchased by the purchaser.
17        (3) A retailer is deemed to be engaged in the business
18    of selling food, beverages, or other tangible personal
19    property through a vending machine at the location where
20    the vending machine is located at the time the sale is made
21    if (i) the vending machine is a device operated by coin,
22    currency, credit card, token, coupon or similar device; (2)
23    the food, beverage or other tangible personal property is
24    contained within the vending machine and dispensed from the
25    vending machine; and (3) the purchaser takes possession of
26    the purchased food, beverage or other tangible personal

 

 

SB0119 Enrolled- 531 -LRB101 06854 HLH 51885 b

1    property immediately.
2        (4) Minerals. A producer of coal or other mineral mined
3    in Illinois is deemed to be engaged in the business of
4    selling at the place where the coal or other mineral mined
5    in Illinois is extracted from the earth. With respect to
6    minerals (i) the term "extracted from the earth" means the
7    location at which the coal or other mineral is extracted
8    from the mouth of the mine, and (ii) a "mineral" includes
9    not only coal, but also oil, sand, stone taken from a
10    quarry, gravel and any other thing commonly regarded as a
11    mineral and extracted from the earth. This paragraph does
12    not apply to coal or another mineral when it is delivered
13    or shipped by the seller to the purchaser at a point
14    outside Illinois so that the sale is exempt under the
15    United States Constitution as a sale in interstate or
16    foreign commerce.
17        (5) A retailer selling tangible personal property to a
18    nominal lessee or bailee pursuant to a lease with a dollar
19    or other nominal option to purchase is engaged in the
20    business of selling at the location where the property is
21    first delivered to the lessee or bailee for its intended
22    use.
23        (6) Beginning on January 1, 2021, a remote retailer
24    making retail sales of tangible personal property that meet
25    or exceed the thresholds established in paragraph (1) or
26    (2) of subsection (b) of Section 2 of this Act is engaged

 

 

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1    in the business of selling at the Illinois location to
2    which the tangible personal property is shipped or
3    delivered or at which possession is taken by the purchaser.
4    July 1, 2020, for the purposes of determining the correct
5    local retailers' occupation tax rate, retail sales made by
6    a remote retailer that meet or exceed the thresholds
7    established in paragraph (1) or (2) of subsection (b) of
8    Section 2 of this Act shall be deemed to be made at the
9    Illinois location to which the tangible personal property
10    is shipped or delivered or at which possession is taken by
11    the purchaser.
12        (7) Beginning January 1, 2021, a marketplace
13    facilitator facilitating sales of tangible personal
14    property that meet or exceed one of the thresholds
15    established in paragraph (1) or (2) of subsection (c) of
16    Section 2 of this Act is deemed to be engaged in the
17    business of selling at the Illinois location to which the
18    tangible personal property is shipped or delivered or at
19    which possession is taken by the purchaser when the sale is
20    made by a marketplace seller on the marketplace
21    facilitator's marketplace.
22(Source: P.A. 101-31, eff. 6-28-19.)
 
23    Section 15-20. The Leveling the Playing Field for Illinois
24Retail Act is amended by changing Sections 5-5, 5-15, 5-20,
255-25, and 5-30 and by adding Section 5-27 as follows:
 

 

 

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1    (35 ILCS 185/5-5)
2    Sec. 5-5. Findings. The General Assembly finds that
3certified service providers and certified automated systems
4simplify use and occupation tax compliance for remote retailers
5out-of-state sellers, which fosters higher levels of accurate
6tax collection and remittance and generates administrative
7savings and new marginal tax revenue for both State and local
8taxing jurisdictions. By making the services of certified
9service providers and certified automated systems available to
10remote retailers without charge, other than their retailer
11customer's retail discount, as provided in this Act, the State
12will substantially eliminate the burden on those remote
13retailers to collect and remit both State and local taxing
14jurisdiction use and occupation taxes. While providing a means
15for remote retailers to collect and remit tax on an even basis
16with Illinois retailers, this Act also protects existing local
17tax revenue streams by retaining origin sourcing for all
18transactions by retailers maintaining a physical presence in
19Illinois.
20(Source: P.A. 101-31, eff. 6-28-19.)
 
21    (35 ILCS 185/5-15)
22    Sec. 5-15. Certification of certified service providers.
23The Department shall, no later than December 31, 2019,
24establish standards for the certification of certified service

 

 

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1providers and certified automated systems and may act jointly
2with other states to accomplish these ends.
3    The Department may take other actions reasonably required
4to implement the provisions of this Act, including the adoption
5of rules and emergency rules and the procurement of goods and
6services, which also may be coordinated jointly with other
7states.
8(Source: P.A. 101-31, eff. 6-28-19.)
 
9    (35 ILCS 185/5-20)
10    Sec. 5-20. Provision of databases. The Department shall, no
11later than July 1, 2020:
12        (1) provide and maintain an electronic, downloadable
13    database of defined product categories that identifies the
14    taxability of each category;
15        (2) provide and maintain an electronic, downloadable
16    database of all retailers' occupation tax rates for the
17    jurisdictions in this State that levy a retailers'
18    occupation tax; and
19        (3) provide and maintain an electronic, downloadable
20    database that assigns delivery addresses in this State to
21    the applicable taxing jurisdictions.
22(Source: P.A. 101-31, eff. 6-28-19.)
 
23    (35 ILCS 185/5-25)
24    Sec. 5-25. Certification.

 

 

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1    (a) The Department shall, no later than July 1, 2020:
2        (1) establish provide uniform minimum standards that
3    companies wishing to be designated as a certified service
4    provider in this State must meet; those minimum standards
5    must include an expedited certification process for
6    companies that have been certified in at least 5 other
7    states;
8        (2) establish provide uniform minimum standards that
9    certified automated systems must meet; those minimum
10    standards may include an expedited certification process
11    for automated systems that have been certified in at least
12    5 other states;
13        (3) establish a certification process to review the
14    systems of companies wishing to be designated as a
15    certified service provider in this State or of companies
16    wishing to use a certified automated process; this
17    certification process shall provide that companies that
18    meet all required standards and whose systems have been
19    tested and approved by the Department for properly
20    determining the taxability of items to be sold, the correct
21    tax rate to apply to a transaction, and the appropriate
22    jurisdictions to which the tax shall be remitted, shall be
23    certified;
24        (4) enter into a contractual relationship with each
25    company that qualifies as a certified service provider or
26    that will be using a certified automated system; those

 

 

SB0119 Enrolled- 536 -LRB101 06854 HLH 51885 b

1    contracts shall, at a minimum, provide:
2            (A) that the certified service provider shall be
3        held liable for the tax imposed under this Act and the
4        Use Tax Act and all applicable local occupation taxes
5        administered by the Department if the certified
6        service provider fails to correctly remit the tax after
7        having been provided with the tax and information by a
8        remote retailer to correctly remit the taxes imposed
9        under this Act and the Use Tax Act and all applicable
10        local occupation taxes administered by the Department;
11        if the certified service provider demonstrates to the
12        satisfaction of the Department that its failure to
13        correctly remit tax on a retail sale resulted from the
14        certified service provider's good faith reliance on
15        incorrect or insufficient information provided by the
16        remote retailer, the certified service provider shall
17        be relieved of liability for the tax on that retail
18        sale; in that case, the remote retailer is liable for
19        any resulting tax due the responsibilities of the
20        certified service provider and the remote retailers
21        that contract with the certified service provider or
22        the user of a certified automated system related to
23        liability for proper collection and remittance of use
24        and occupation taxes;
25            (B) the responsibilities of the certified service
26        provider and the remote retailers that contract with

 

 

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1        the certified service provider or the user of a
2        certified automated system service provider related to
3        record keeping and auditing consistent with
4        requirements imposed under the Retailers' Occupation
5        Tax Act and the Use Tax Act;
6            (C) for the protection and confidentiality of tax
7        information consistent with requirements imposed under
8        the Retailers' Occupation Tax Act and the Use Tax Act;
9        and
10            (D) compensation equal to 1.75% of the tax dollars
11        collected and remitted to the State by a certified
12        service provider on a timely basis, along with a return
13        that has been timely filed, on behalf of remote
14        retailers; remote retailers using a certified service
15        provider may not claim the vendor's discount allowed
16        under the Retailers' Occupation Tax Act or the Service
17        Occupation Tax Act; and .
18            (E) that the certified service provider shall file
19        a separate return for each remote retailer with which
20        it has a Tax Remittance Agreement.
21    The provisions of this Section shall supersede the
22provisions of the Illinois Procurement Code.
23    (b) The Department may act jointly with other states to
24establish the minimum standards and process for certification
25required by paragraphs (1), (2), and (3) of subsection (a).
26    (c) When the systems of a certified service provider or

 

 

SB0119 Enrolled- 538 -LRB101 06854 HLH 51885 b

1certified automated systems are updated or upgraded, they must
2be recertified by the Department. Notification of changes shall
3be provided to the Department prior to implementation. Upon
4receipt of such notification, the Department shall review and
5test the changes to assess whether the updated system of the
6certified service provider or the updated certified automated
7system can properly determine the taxability of items to be
8sold, the correct tax rate to apply to a transaction, and the
9appropriate jurisdictions to which the tax shall be remitted.
10The Department shall recertify updated systems that meet these
11requirements. The certified service provider or retailer using
12a certified automated system shall be liable for any tax
13resulting from errors caused by use of an updated or upgraded
14system prior to recertification by the Department. In addition
15to these procedures, the Department may periodically review the
16system of a certified service provider or the certified
17automated system used by a retailer to ensure that the system
18can properly determine the taxability of items to be sold, the
19correct tax rate to apply to a transaction, and the appropriate
20jurisdictions to which the tax shall be remitted.
21(Source: P.A. 101-31, eff. 6-28-19.)
 
22    (35 ILCS 185/5-27 new)
23    Sec. 5-27. Tax remittance agreement.
24    (a) Before using the services of a certified service
25provider to remit taxes, remote retailers using a certified

 

 

SB0119 Enrolled- 539 -LRB101 06854 HLH 51885 b

1service provider shall enter into a tax remittance agreement
2with that certified service provider under which the certified
3service provider agrees to remit all State retailers'
4occupation taxes under this Act, use tax, and local occupation
5taxes administered by the Department for sales made by the
6remote retailer. A copy of the tax remittance agreement shall
7be electronically filed with the Department by the certified
8service provider no later than 30 days prior to its effective
9date.
10    (b) A certified service provider that has entered into a
11tax remittance agreement with a remote retailer is required to
12file all returns and remit all taxes required under the tax
13remittance agreement, including all local occupation taxes
14administered by the Department, with respect to all sales for
15which there is not otherwise an exemption.
 
16    (35 ILCS 185/5-30)
17    Sec. 5-30. Database; relief Relief from liability; annual
18verification; refunds.
19    (a) The Department shall, to the best of its ability,
20utilize an electronic database to provide information
21assigning purchaser addresses to the proper local taxing
22jurisdiction.
23    (b) Remote Beginning January 1, 2020, remote retailers
24using certified service providers or certified automated
25systems and their certified service providers or certified

 

 

SB0119 Enrolled- 540 -LRB101 06854 HLH 51885 b

1automated systems providers are relieved from liability to the
2State for having remitted charged and collected the incorrect
3amount of use or occupation tax resulting from a certified
4service provider or certified automated system relying, at the
5time of the sale, on: (1) erroneous data provided by the State
6in database files on tax rates, boundaries, or taxing
7jurisdictions; or (2) erroneous data provided by the State
8concerning the taxability of products and services.
9    (c) Beginning February 1, 2022 and on or before February 1
10of each year thereafter, the Department shall make available to
11each local taxing jurisdiction the taxing jurisdiction's
12boundaries, determined by the Department, for its
13verification. Jurisdictions shall verify these taxing
14jurisdiction boundaries and notify the Department of any
15changes, additions, or deletions by April 1 of each year in the
16form and manner required by the Department. The Department
17shall use its best judgment and information to confirm the
18information provided by the taxing jurisdictions and update its
19database. The Department shall administer and enforce such
20changes on the first day of the next following July. The
21Department shall, to the best of its ability, assign addresses
22to the proper local taxing jurisdiction using a 9-digit zip
23code identifier. On an annual basis, the Department shall make
24available to local taxing jurisdictions the taxing
25jurisdiction boundaries determined by the Department for their
26verification. If a jurisdiction fails to verify their taxing

 

 

SB0119 Enrolled- 541 -LRB101 06854 HLH 51885 b

1jurisdiction boundaries to the Department in any given year,
2the Department shall assign retailers' occupation tax revenue
3from remote retail sales based on its best information. In that
4case, tax revenues from remote retail sales remitted to a
5taxing jurisdiction based on erroneous local tax boundary
6information will be assigned to the correct taxing jurisdiction
7on a prospective basis upon notice of the boundary error from a
8local taxing jurisdiction.
9    (d) The clerk of any municipality or county from which
10territory has been annexed or disconnected shall notify the
11Department of Revenue of that annexation or disconnection in
12the form and manner required by the Department. Required
13documentation shall include a certified copy of the plat of
14annexation or, in the case of disconnection, the ordinance,
15final judgment, or resolution of disconnection together with an
16accurate depiction of the territory disconnected. Notification
17shall be provided to the Department either (i) on or before the
18first day of April, whereupon the Department shall confirm the
19information provided by the municipality or county and update
20its database and proceed to administer and enforce the
21confirmed changes on the first day of July next following the
22proper notification; or (ii) on or before the first day of
23October, whereupon the Department shall confirm the
24information provided by the municipality or county and update
25its database and proceed to administer and enforce the
26confirmed changes on the first day of January next following

 

 

SB0119 Enrolled- 542 -LRB101 06854 HLH 51885 b

1proper notification.
2No certified service provider or remote retailer using a
3certified automated system shall be subject to a class action
4brought on behalf of customers and arising from, or in any way
5related to, an overpayment of retailers' occupation tax
6collected by the certified service provider if, at the time of
7the sale, they relied on information provided by the
8Department, regardless of whether that claim is characterized
9as a tax refund claim.
10    (e) Nothing in this Section affects a customer's right to
11seek a refund from the remote retailer as provided in this Act.
12(Source: P.A. 101-31, eff. 6-28-19.)
 
13    Section 15-97. Severability. The provisions of this
14Article are severable under Section 1.31 of the Statute on
15Statutes.
 
16
ARTICLE 20. VEHICLE CODE; JUNKING CERTIFICATE

 
17    Section 20-5. The Illinois Vehicle Code is amended by
18changing Section 3-821 as follows:
 
19    (625 ILCS 5/3-821)  (from Ch. 95 1/2, par. 3-821)
20    Sec. 3-821. Miscellaneous registration and title fees.
21    (a) Except as provided under subsection (h), the fee to be
22paid to the Secretary of State for the following certificates,

 

 

SB0119 Enrolled- 543 -LRB101 06854 HLH 51885 b

1registrations or evidences of proper registration, or for
2corrected or duplicate documents shall be in accordance with
3the following schedule:
4    Certificate of Title, except for an all-terrain
5vehicle or off-highway motorcycle, prior to July 1,
62019 $95
7    Certificate of Title, except for an all-terrain
8vehicle, off-highway motorcycle, or motor home, mini
9motor home or van camper, on and after July 1, 2019 $150
10    Certificate of Title for a motor home, mini motor
11home, or van camper, on and after July 1,2019 $250
12    Certificate of Title for an all-terrain vehicle
13or off-highway motorcycle$30
14    Certificate of Title for an all-terrain vehicle
15or off-highway motorcycle used for production
16agriculture, or accepted by a dealer in trade$13
17    Certificate of Title for a low-speed vehicle$30
18    Transfer of Registration or any evidence of
19proper registration $25
20    Duplicate Registration Card for plates or other
21evidence of proper registration$3
22    Duplicate Registration Sticker or Stickers, each$20
23    Duplicate Certificate of Title, prior to July 1,
242019 $95
25    Duplicate Certificate of Title, on and after July
261, 2019 $50

 

 

SB0119 Enrolled- 544 -LRB101 06854 HLH 51885 b

1    Corrected Registration Card or Card for other
2evidence of proper registration$3
3    Corrected Certificate of Title$95
4    Salvage Certificate, prior to July 1, 2019 $4
5    Salvage Certificate, on and after July 1, 2019 $20
6    Fleet Reciprocity Permit$15
7    Prorate Decal$1
8    Prorate Backing Plate$3
9    Special Corrected Certificate of Title$15
10    Expedited Title Service (to be charged in addition
11to other applicable fees)$30
12    Dealer Lien Release Certificate of Title$20
13    Junking Certificate, on and after July 1, 2019 $10
14    A special corrected certificate of title shall be issued
15(i) to remove a co-owner's name due to the death of the
16co-owner, to transfer title to a spouse if the decedent-spouse
17was the sole owner on the title, or due to a divorce; (ii) to
18change a co-owner's name due to a marriage; or (iii) due to a
19name change under Article XXI of the Code of Civil Procedure.
20    There shall be no fee paid for a Junking Certificate prior
21to July 1, 2019.
22    There shall be no fee paid for a certificate of title
23issued to a county when the vehicle is forfeited to the county
24under Article 36 of the Criminal Code of 2012.
25    (a-5) The Secretary of State may revoke a certificate of
26title and registration card and issue a corrected certificate

 

 

SB0119 Enrolled- 545 -LRB101 06854 HLH 51885 b

1of title and registration card, at no fee to the vehicle owner
2or lienholder, if there is proof that the vehicle
3identification number is erroneously shown on the original
4certificate of title.
5    (a-10) The Secretary of State may issue, in connection with
6the sale of a motor vehicle, a corrected title to a motor
7vehicle dealer upon application and submittal of a lien release
8letter from the lienholder listed in the files of the
9Secretary. In the case of a title issued by another state, the
10dealer must submit proof from the state that issued the last
11title. The corrected title, which shall be known as a dealer
12lien release certificate of title, shall be issued in the name
13of the vehicle owner without the named lienholder. If the motor
14vehicle is currently titled in a state other than Illinois, the
15applicant must submit either (i) a letter from the current
16lienholder releasing the lien and stating that the lienholder
17has possession of the title; or (ii) a letter from the current
18lienholder releasing the lien and a copy of the records of the
19department of motor vehicles for the state in which the vehicle
20is titled, showing that the vehicle is titled in the name of
21the applicant and that no liens are recorded other than the
22lien for which a release has been submitted. The fee for the
23dealer lien release certificate of title is $20.
24    (b) The Secretary may prescribe the maximum service charge
25to be imposed upon an applicant for renewal of a registration
26by any person authorized by law to receive and remit or

 

 

SB0119 Enrolled- 546 -LRB101 06854 HLH 51885 b

1transmit to the Secretary such renewal application and fees
2therewith.
3    (c) If payment is delivered to the Office of the Secretary
4of State as payment of any fee or tax under this Code, and such
5payment is not honored for any reason, the registrant or other
6person tendering the payment remains liable for the payment of
7such fee or tax. The Secretary of State may assess a service
8charge of $25 in addition to the fee or tax due and owing for
9all dishonored payments.
10    If the total amount then due and owing exceeds the sum of
11$100 and has not been paid in full within 60 days from the date
12the dishonored payment was first delivered to the Secretary of
13State, the Secretary of State shall assess a penalty of 25% of
14such amount remaining unpaid.
15    All amounts payable under this Section shall be computed to
16the nearest dollar. Out of each fee collected for dishonored
17payments, $5 shall be deposited in the Secretary of State
18Special Services Fund.
19    (d) The minimum fee and tax to be paid by any applicant for
20apportionment of a fleet of vehicles under this Code shall be
21$15 if the application was filed on or before the date
22specified by the Secretary together with fees and taxes due. If
23an application and the fees or taxes due are filed after the
24date specified by the Secretary, the Secretary may prescribe
25the payment of interest at the rate of 1/2 of 1% per month or
26fraction thereof after such due date and a minimum of $8.

 

 

SB0119 Enrolled- 547 -LRB101 06854 HLH 51885 b

1    (e) Trucks, truck tractors, truck tractors with loads, and
2motor buses, any one of which having a combined total weight in
3excess of 12,000 lbs. shall file an application for a Fleet
4Reciprocity Permit issued by the Secretary of State. This
5permit shall be in the possession of any driver operating a
6vehicle on Illinois highways. Any foreign licensed vehicle of
7the second division operating at any time in Illinois without a
8Fleet Reciprocity Permit or other proper Illinois
9registration, shall subject the operator to the penalties
10provided in Section 3-834 of this Code. For the purposes of
11this Code, "Fleet Reciprocity Permit" means any second division
12motor vehicle with a foreign license and used only in
13interstate transportation of goods. The fee for such permit
14shall be $15 per fleet which shall include all vehicles of the
15fleet being registered.
16    (f) For purposes of this Section, "all-terrain vehicle or
17off-highway motorcycle used for production agriculture" means
18any all-terrain vehicle or off-highway motorcycle used in the
19raising of or the propagation of livestock, crops for sale for
20human consumption, crops for livestock consumption, and
21production seed stock grown for the propagation of feed grains
22and the husbandry of animals or for the purpose of providing a
23food product, including the husbandry of blood stock as a main
24source of providing a food product. "All-terrain vehicle or
25off-highway motorcycle used in production agriculture" also
26means any all-terrain vehicle or off-highway motorcycle used in

 

 

SB0119 Enrolled- 548 -LRB101 06854 HLH 51885 b

1animal husbandry, floriculture, aquaculture, horticulture, and
2viticulture.
3    (g) All of the proceeds of the additional fees imposed by
4Public Act 96-34 shall be deposited into the Capital Projects
5Fund.
6    (h) The fee for a duplicate registration sticker or
7stickers shall be the amount required under subsection (a) or
8the vehicle's annual registration fee amount, whichever is
9less.
10    (i) All of the proceeds of the additional fees imposed by
11this amendatory Act of the 101st General Assembly shall be
12deposited into the Road Fund.
13(Source: P.A. 100-956, eff. 1-1-19; 101-32, eff. 6-28-19.)
 
14
ARTICLE 95. NON-ACCELERATION

 
15    Section 95-995. No acceleration or delay. Where this Act
16makes changes in a statute that is represented in this Act by
17text that is not yet or no longer in effect (for example, a
18Section represented by multiple versions), the use of that text
19does not accelerate or delay the taking effect of (i) the
20changes made by this Act or (ii) provisions derived from any
21other Public Act.
 
22
ARTICLE 99. EFFECTIVE DATE

 
23    Section 99-999. Effective date. This Act takes effect upon

 

 

SB0119 Enrolled- 549 -LRB101 06854 HLH 51885 b

1becoming law, except that the provisions of Article 15 take
2effect January 1, 2020.