101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
SB3392

 

Introduced 2/14/2020, by Sen. Patrick J. Joyce

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 5/901

    Amends the Illinois Income Tax Act. Increases the amount deposited into the Local Government Distributive Fund. Effective immediately.


LRB101 19975 HLH 69501 b

FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

SB3392LRB101 19975 HLH 69501 b

1    AN ACT concerning revenue.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Income Tax Act is amended by
5changing Section 901 as follows:
 
6    (35 ILCS 5/901)
7    (Text of Section before amendment by P.A. 101-8)
8    Sec. 901. Collection authority.
9    (a) In general. The Department shall collect the taxes
10imposed by this Act. The Department shall collect certified
11past due child support amounts under Section 2505-650 of the
12Department of Revenue Law of the Civil Administrative Code of
13Illinois. Except as provided in subsections (b), (c), (e), (f),
14(g), and (h) of this Section, money collected pursuant to
15subsections (a) and (b) of Section 201 of this Act shall be
16paid into the General Revenue Fund in the State treasury; money
17collected pursuant to subsections (c) and (d) of Section 201 of
18this Act shall be paid into the Personal Property Tax
19Replacement Fund, a special fund in the State Treasury; and
20money collected under Section 2505-650 of the Department of
21Revenue Law of the Civil Administrative Code of Illinois shall
22be paid into the Child Support Enforcement Trust Fund, a
23special fund outside the State Treasury, or to the State

 

 

SB3392- 2 -LRB101 19975 HLH 69501 b

1Disbursement Unit established under Section 10-26 of the
2Illinois Public Aid Code, as directed by the Department of
3Healthcare and Family Services.
4    (b) Local Government Distributive Fund. Beginning August
51, 2017 and continuing through January 31, 2021, the Treasurer
6shall transfer each month from the General Revenue Fund to the
7Local Government Distributive Fund an amount equal to the sum
8of (i) 6.06% (10% of the ratio of the 3% individual income tax
9rate prior to 2011 to the 4.95% individual income tax rate
10after July 1, 2017) of the net revenue realized from the tax
11imposed by subsections (a) and (b) of Section 201 of this Act
12upon individuals, trusts, and estates during the preceding
13month and (ii) 6.85% (10% of the ratio of the 4.8% corporate
14income tax rate prior to 2011 to the 7% corporate income tax
15rate after July 1, 2017) of the net revenue realized from the
16tax imposed by subsections (a) and (b) of Section 201 of this
17Act upon corporations during the preceding month. Beginning
18February 1, 2021 and continuing through January 31, 2022, the
19following amounts shall be deposited into the Local Government
20Distributive Fund: (i) 8.5% of the net revenue realized from
21the tax imposed by subsections (a) and (b) of Section 201 of
22this Act upon individuals, trusts, and estates and (ii) 9.355%
23of the net revenue realized from the tax imposed by subsections
24(a) and (b) of Section 201 of this Act upon corporations.
25Beginning February 1, 2022 and continuing through January 31,
262023, the following amounts shall be deposited into the Local

 

 

SB3392- 3 -LRB101 19975 HLH 69501 b

1Government Distributive Fund: (i) 9% of the net revenue
2realized from the tax imposed by subsections (a) and (b) of
3Section 201 of this Act upon individuals, trusts, and estates
4and (ii) 9.57% of the net revenue realized from the tax imposed
5by subsections (a) and (b) of Section 201 of this Act upon
6corporations. Beginning February 1, 2023 and continuing
7through January 31, 2024, the following amounts shall be
8deposited into the Local Government Distributive Fund: (i) 9.5%
9of the net revenue realized from the tax imposed by subsections
10(a) and (b) of Section 201 of this Act upon individuals,
11trusts, and estates and (ii) 9.785% of the net revenue realized
12from the tax imposed by subsections (a) and (b) of Section 201
13of this Act upon corporations. Beginning on February 1, 2024,
14the following amounts shall be deposited into the Local
15Government Distributive Fund: 10% of the net revenue realized
16from the tax imposed on individuals, trusts, estates, and
17corporations by subsections (a) and (b) of Section 201. Net
18revenue realized for a month shall be defined as the revenue
19from the tax imposed by subsections (a) and (b) of Section 201
20of this Act which is deposited in the General Revenue Fund, the
21Education Assistance Fund, the Income Tax Surcharge Local
22Government Distributive Fund, the Fund for the Advancement of
23Education, and the Commitment to Human Services Fund during the
24month minus the amount paid out of the General Revenue Fund in
25State warrants during that same month as refunds to taxpayers
26for overpayment of liability under the tax imposed by

 

 

SB3392- 4 -LRB101 19975 HLH 69501 b

1subsections (a) and (b) of Section 201 of this Act.
2    Notwithstanding any provision of law to the contrary,
3beginning on July 6, 2017 (the effective date of Public Act
4100-23), those amounts required under this subsection (b) to be
5transferred by the Treasurer into the Local Government
6Distributive Fund from the General Revenue Fund shall be
7directly deposited into the Local Government Distributive Fund
8as the revenue is realized from the tax imposed by subsections
9(a) and (b) of Section 201 of this Act.
10    For State fiscal year 2020 only, notwithstanding any
11provision of law to the contrary, the total amount of revenue
12and deposits under this Section attributable to revenues
13realized during State fiscal year 2020 shall be reduced by 5%.
14    (c) Deposits Into Income Tax Refund Fund.
15        (1) Beginning on January 1, 1989 and thereafter, the
16    Department shall deposit a percentage of the amounts
17    collected pursuant to subsections (a) and (b)(1), (2), and
18    (3) of Section 201 of this Act into a fund in the State
19    treasury known as the Income Tax Refund Fund. Beginning
20    with State fiscal year 1990 and for each fiscal year
21    thereafter, the percentage deposited into the Income Tax
22    Refund Fund during a fiscal year shall be the Annual
23    Percentage. For fiscal year 2011, the Annual Percentage
24    shall be 8.75%. For fiscal year 2012, the Annual Percentage
25    shall be 8.75%. For fiscal year 2013, the Annual Percentage
26    shall be 9.75%. For fiscal year 2014, the Annual Percentage

 

 

SB3392- 5 -LRB101 19975 HLH 69501 b

1    shall be 9.5%. For fiscal year 2015, the Annual Percentage
2    shall be 10%. For fiscal year 2018, the Annual Percentage
3    shall be 9.8%. For fiscal year 2019, the Annual Percentage
4    shall be 9.7%. For fiscal year 2020, the Annual Percentage
5    shall be 9.5%. For all other fiscal years, the Annual
6    Percentage shall be calculated as a fraction, the numerator
7    of which shall be the amount of refunds approved for
8    payment by the Department during the preceding fiscal year
9    as a result of overpayment of tax liability under
10    subsections (a) and (b)(1), (2), and (3) of Section 201 of
11    this Act plus the amount of such refunds remaining approved
12    but unpaid at the end of the preceding fiscal year, minus
13    the amounts transferred into the Income Tax Refund Fund
14    from the Tobacco Settlement Recovery Fund, and the
15    denominator of which shall be the amounts which will be
16    collected pursuant to subsections (a) and (b)(1), (2), and
17    (3) of Section 201 of this Act during the preceding fiscal
18    year; except that in State fiscal year 2002, the Annual
19    Percentage shall in no event exceed 7.6%. The Director of
20    Revenue shall certify the Annual Percentage to the
21    Comptroller on the last business day of the fiscal year
22    immediately preceding the fiscal year for which it is to be
23    effective.
24        (2) Beginning on January 1, 1989 and thereafter, the
25    Department shall deposit a percentage of the amounts
26    collected pursuant to subsections (a) and (b)(6), (7), and

 

 

SB3392- 6 -LRB101 19975 HLH 69501 b

1    (8), (c) and (d) of Section 201 of this Act into a fund in
2    the State treasury known as the Income Tax Refund Fund.
3    Beginning with State fiscal year 1990 and for each fiscal
4    year thereafter, the percentage deposited into the Income
5    Tax Refund Fund during a fiscal year shall be the Annual
6    Percentage. For fiscal year 2011, the Annual Percentage
7    shall be 17.5%. For fiscal year 2012, the Annual Percentage
8    shall be 17.5%. For fiscal year 2013, the Annual Percentage
9    shall be 14%. For fiscal year 2014, the Annual Percentage
10    shall be 13.4%. For fiscal year 2015, the Annual Percentage
11    shall be 14%. For fiscal year 2018, the Annual Percentage
12    shall be 17.5%. For fiscal year 2019, the Annual Percentage
13    shall be 15.5%. For fiscal year 2020, the Annual Percentage
14    shall be 14.25%. For all other fiscal years, the Annual
15    Percentage shall be calculated as a fraction, the numerator
16    of which shall be the amount of refunds approved for
17    payment by the Department during the preceding fiscal year
18    as a result of overpayment of tax liability under
19    subsections (a) and (b)(6), (7), and (8), (c) and (d) of
20    Section 201 of this Act plus the amount of such refunds
21    remaining approved but unpaid at the end of the preceding
22    fiscal year, and the denominator of which shall be the
23    amounts which will be collected pursuant to subsections (a)
24    and (b)(6), (7), and (8), (c) and (d) of Section 201 of
25    this Act during the preceding fiscal year; except that in
26    State fiscal year 2002, the Annual Percentage shall in no

 

 

SB3392- 7 -LRB101 19975 HLH 69501 b

1    event exceed 23%. The Director of Revenue shall certify the
2    Annual Percentage to the Comptroller on the last business
3    day of the fiscal year immediately preceding the fiscal
4    year for which it is to be effective.
5        (3) The Comptroller shall order transferred and the
6    Treasurer shall transfer from the Tobacco Settlement
7    Recovery Fund to the Income Tax Refund Fund (i) $35,000,000
8    in January, 2001, (ii) $35,000,000 in January, 2002, and
9    (iii) $35,000,000 in January, 2003.
10    (d) Expenditures from Income Tax Refund Fund.
11        (1) Beginning January 1, 1989, money in the Income Tax
12    Refund Fund shall be expended exclusively for the purpose
13    of paying refunds resulting from overpayment of tax
14    liability under Section 201 of this Act and for making
15    transfers pursuant to this subsection (d).
16        (2) The Director shall order payment of refunds
17    resulting from overpayment of tax liability under Section
18    201 of this Act from the Income Tax Refund Fund only to the
19    extent that amounts collected pursuant to Section 201 of
20    this Act and transfers pursuant to this subsection (d) and
21    item (3) of subsection (c) have been deposited and retained
22    in the Fund.
23        (3) As soon as possible after the end of each fiscal
24    year, the Director shall order transferred and the State
25    Treasurer and State Comptroller shall transfer from the
26    Income Tax Refund Fund to the Personal Property Tax

 

 

SB3392- 8 -LRB101 19975 HLH 69501 b

1    Replacement Fund an amount, certified by the Director to
2    the Comptroller, equal to the excess of the amount
3    collected pursuant to subsections (c) and (d) of Section
4    201 of this Act deposited into the Income Tax Refund Fund
5    during the fiscal year over the amount of refunds resulting
6    from overpayment of tax liability under subsections (c) and
7    (d) of Section 201 of this Act paid from the Income Tax
8    Refund Fund during the fiscal year.
9        (4) As soon as possible after the end of each fiscal
10    year, the Director shall order transferred and the State
11    Treasurer and State Comptroller shall transfer from the
12    Personal Property Tax Replacement Fund to the Income Tax
13    Refund Fund an amount, certified by the Director to the
14    Comptroller, equal to the excess of the amount of refunds
15    resulting from overpayment of tax liability under
16    subsections (c) and (d) of Section 201 of this Act paid
17    from the Income Tax Refund Fund during the fiscal year over
18    the amount collected pursuant to subsections (c) and (d) of
19    Section 201 of this Act deposited into the Income Tax
20    Refund Fund during the fiscal year.
21        (4.5) As soon as possible after the end of fiscal year
22    1999 and of each fiscal year thereafter, the Director shall
23    order transferred and the State Treasurer and State
24    Comptroller shall transfer from the Income Tax Refund Fund
25    to the General Revenue Fund any surplus remaining in the
26    Income Tax Refund Fund as of the end of such fiscal year;

 

 

SB3392- 9 -LRB101 19975 HLH 69501 b

1    excluding for fiscal years 2000, 2001, and 2002 amounts
2    attributable to transfers under item (3) of subsection (c)
3    less refunds resulting from the earned income tax credit.
4        (5) This Act shall constitute an irrevocable and
5    continuing appropriation from the Income Tax Refund Fund
6    for the purpose of paying refunds upon the order of the
7    Director in accordance with the provisions of this Section.
8    (e) Deposits into the Education Assistance Fund and the
9Income Tax Surcharge Local Government Distributive Fund. On
10July 1, 1991, and thereafter, of the amounts collected pursuant
11to subsections (a) and (b) of Section 201 of this Act, minus
12deposits into the Income Tax Refund Fund, the Department shall
13deposit 7.3% into the Education Assistance Fund in the State
14Treasury. Beginning July 1, 1991, and continuing through
15January 31, 1993, of the amounts collected pursuant to
16subsections (a) and (b) of Section 201 of the Illinois Income
17Tax Act, minus deposits into the Income Tax Refund Fund, the
18Department shall deposit 3.0% into the Income Tax Surcharge
19Local Government Distributive Fund in the State Treasury.
20Beginning February 1, 1993 and continuing through June 30,
211993, of the amounts collected pursuant to subsections (a) and
22(b) of Section 201 of the Illinois Income Tax Act, minus
23deposits into the Income Tax Refund Fund, the Department shall
24deposit 4.4% into the Income Tax Surcharge Local Government
25Distributive Fund in the State Treasury. Beginning July 1,
261993, and continuing through June 30, 1994, of the amounts

 

 

SB3392- 10 -LRB101 19975 HLH 69501 b

1collected under subsections (a) and (b) of Section 201 of this
2Act, minus deposits into the Income Tax Refund Fund, the
3Department shall deposit 1.475% into the Income Tax Surcharge
4Local Government Distributive Fund in the State Treasury.
5    (f) Deposits into the Fund for the Advancement of
6Education. Beginning February 1, 2015, the Department shall
7deposit the following portions of the revenue realized from the
8tax imposed upon individuals, trusts, and estates by
9subsections (a) and (b) of Section 201 of this Act, minus
10deposits into the Income Tax Refund Fund, into the Fund for the
11Advancement of Education:
12        (1) beginning February 1, 2015, and prior to February
13    1, 2025, 1/30; and
14        (2) beginning February 1, 2025, 1/26.
15    If the rate of tax imposed by subsection (a) and (b) of
16Section 201 is reduced pursuant to Section 201.5 of this Act,
17the Department shall not make the deposits required by this
18subsection (f) on or after the effective date of the reduction.
19    (g) Deposits into the Commitment to Human Services Fund.
20Beginning February 1, 2015, the Department shall deposit the
21following portions of the revenue realized from the tax imposed
22upon individuals, trusts, and estates by subsections (a) and
23(b) of Section 201 of this Act, minus deposits into the Income
24Tax Refund Fund, into the Commitment to Human Services Fund:
25        (1) beginning February 1, 2015, and prior to February
26    1, 2025, 1/30; and

 

 

SB3392- 11 -LRB101 19975 HLH 69501 b

1        (2) beginning February 1, 2025, 1/26.
2    If the rate of tax imposed by subsection (a) and (b) of
3Section 201 is reduced pursuant to Section 201.5 of this Act,
4the Department shall not make the deposits required by this
5subsection (g) on or after the effective date of the reduction.
6    (h) Deposits into the Tax Compliance and Administration
7Fund. Beginning on the first day of the first calendar month to
8occur on or after August 26, 2014 (the effective date of Public
9Act 98-1098), each month the Department shall pay into the Tax
10Compliance and Administration Fund, to be used, subject to
11appropriation, to fund additional auditors and compliance
12personnel at the Department, an amount equal to 1/12 of 5% of
13the cash receipts collected during the preceding fiscal year by
14the Audit Bureau of the Department from the tax imposed by
15subsections (a), (b), (c), and (d) of Section 201 of this Act,
16net of deposits into the Income Tax Refund Fund made from those
17cash receipts.
18(Source: P.A. 100-22, eff. 7-6-17; 100-23, eff. 7-6-17;
19100-587, eff. 6-4-18; 100-621, eff. 7-20-18; 100-863, eff.
208-14-18; 100-1171, eff. 1-4-19; 101-10, eff. 6-5-19; 101-81,
21eff. 7-12-19.)
 
22    (Text of Section after amendment by P.A. 101-8)
23    Sec. 901. Collection authority.
24    (a) In general. The Department shall collect the taxes
25imposed by this Act. The Department shall collect certified

 

 

SB3392- 12 -LRB101 19975 HLH 69501 b

1past due child support amounts under Section 2505-650 of the
2Department of Revenue Law of the Civil Administrative Code of
3Illinois. Except as provided in subsections (b), (c), (e), (f),
4(g), and (h) of this Section, money collected pursuant to
5subsections (a) and (b) of Section 201 of this Act shall be
6paid into the General Revenue Fund in the State treasury; money
7collected pursuant to subsections (c) and (d) of Section 201 of
8this Act shall be paid into the Personal Property Tax
9Replacement Fund, a special fund in the State Treasury; and
10money collected under Section 2505-650 of the Department of
11Revenue Law of the Civil Administrative Code of Illinois shall
12be paid into the Child Support Enforcement Trust Fund, a
13special fund outside the State Treasury, or to the State
14Disbursement Unit established under Section 10-26 of the
15Illinois Public Aid Code, as directed by the Department of
16Healthcare and Family Services.
17    (b) Local Government Distributive Fund. Beginning August
181, 2017 and continuing through January 31, 2021, the Treasurer
19shall transfer each month from the General Revenue Fund to the
20Local Government Distributive Fund an amount equal to the sum
21of (i) 6.06% (10% of the ratio of the 3% individual income tax
22rate prior to 2011 to the 4.95% individual income tax rate
23after July 1, 2017) of the net revenue realized from the tax
24imposed by subsections (a) and (b) of Section 201 of this Act
25upon individuals, trusts, and estates during the preceding
26month and (ii) 6.85% (10% of the ratio of the 4.8% corporate

 

 

SB3392- 13 -LRB101 19975 HLH 69501 b

1income tax rate prior to 2011 to the 7% corporate income tax
2rate after July 1, 2017) of the net revenue realized from the
3tax imposed by subsections (a) and (b) of Section 201 of this
4Act upon corporations during the preceding month. Beginning
5February 1, 2021 and continuing through January 31, 2022, the
6Treasurer shall transfer each month from the General Revenue
7Fund to the Local Government Distributive Fund an amount equal
8to the sum of (i) 8.5% 5.32% of the net revenue realized from
9the tax imposed by subsections (a) and (b) of Section 201 of
10this Act upon individuals, trusts, and estates during the
11preceding month and (ii) 9.355% 6.16% of the net revenue
12realized from the tax imposed by subsections (a) and (b) of
13Section 201 of this Act upon corporations during the preceding
14month. Beginning February 1, 2022 and continuing through
15January 31, 2023, the following amounts shall be deposited into
16the Local Government Distributive Fund: (i) 9% of the net
17revenue realized from the tax imposed by subsections (a) and
18(b) of Section 201 of this Act upon individuals, trusts, and
19estates and (ii) 9.57% of the net revenue realized from the tax
20imposed by subsections (a) and (b) of Section 201 of this Act
21upon corporations. Beginning February 1, 2023 and continuing
22through January 31, 2024, the following amounts shall be
23deposited into the Local Government Distributive Fund: (i) 9.5%
24of the net revenue realized from the tax imposed by subsections
25(a) and (b) of Section 201 of this Act upon individuals,
26trusts, and estates and (ii) 9.785% of the net revenue realized

 

 

SB3392- 14 -LRB101 19975 HLH 69501 b

1from the tax imposed by subsections (a) and (b) of Section 201
2of this Act upon corporations. Beginning on February 1, 2024,
3the following amounts shall be deposited into the Local
4Government Distributive Fund: 10% of the net revenue realized
5from the tax imposed on individuals, trusts, estates, and
6corporations by subsections (a) and (b) of Section 201. Net
7revenue realized for a month shall be defined as the revenue
8from the tax imposed by subsections (a) and (b) of Section 201
9of this Act which is deposited in the General Revenue Fund, the
10Education Assistance Fund, the Income Tax Surcharge Local
11Government Distributive Fund, the Fund for the Advancement of
12Education, and the Commitment to Human Services Fund during the
13month minus the amount paid out of the General Revenue Fund in
14State warrants during that same month as refunds to taxpayers
15for overpayment of liability under the tax imposed by
16subsections (a) and (b) of Section 201 of this Act.
17    Notwithstanding any provision of law to the contrary,
18beginning on July 6, 2017 (the effective date of Public Act
19100-23), those amounts required under this subsection (b) to be
20transferred by the Treasurer into the Local Government
21Distributive Fund from the General Revenue Fund shall be
22directly deposited into the Local Government Distributive Fund
23as the revenue is realized from the tax imposed by subsections
24(a) and (b) of Section 201 of this Act.
25    For State fiscal year 2020 only, notwithstanding any
26provision of law to the contrary, the total amount of revenue

 

 

SB3392- 15 -LRB101 19975 HLH 69501 b

1and deposits under this Section attributable to revenues
2realized during State fiscal year 2020 shall be reduced by 5%.
3    (c) Deposits Into Income Tax Refund Fund.
4        (1) Beginning on January 1, 1989 and thereafter, the
5    Department shall deposit a percentage of the amounts
6    collected pursuant to subsections (a) and (b)(1), (2), and
7    (3) of Section 201 of this Act into a fund in the State
8    treasury known as the Income Tax Refund Fund. Beginning
9    with State fiscal year 1990 and for each fiscal year
10    thereafter, the percentage deposited into the Income Tax
11    Refund Fund during a fiscal year shall be the Annual
12    Percentage. For fiscal year 2011, the Annual Percentage
13    shall be 8.75%. For fiscal year 2012, the Annual Percentage
14    shall be 8.75%. For fiscal year 2013, the Annual Percentage
15    shall be 9.75%. For fiscal year 2014, the Annual Percentage
16    shall be 9.5%. For fiscal year 2015, the Annual Percentage
17    shall be 10%. For fiscal year 2018, the Annual Percentage
18    shall be 9.8%. For fiscal year 2019, the Annual Percentage
19    shall be 9.7%. For fiscal year 2020, the Annual Percentage
20    shall be 9.5%. For all other fiscal years, the Annual
21    Percentage shall be calculated as a fraction, the numerator
22    of which shall be the amount of refunds approved for
23    payment by the Department during the preceding fiscal year
24    as a result of overpayment of tax liability under
25    subsections (a) and (b)(1), (2), and (3) of Section 201 of
26    this Act plus the amount of such refunds remaining approved

 

 

SB3392- 16 -LRB101 19975 HLH 69501 b

1    but unpaid at the end of the preceding fiscal year, minus
2    the amounts transferred into the Income Tax Refund Fund
3    from the Tobacco Settlement Recovery Fund, and the
4    denominator of which shall be the amounts which will be
5    collected pursuant to subsections (a) and (b)(1), (2), and
6    (3) of Section 201 of this Act during the preceding fiscal
7    year; except that in State fiscal year 2002, the Annual
8    Percentage shall in no event exceed 7.6%. The Director of
9    Revenue shall certify the Annual Percentage to the
10    Comptroller on the last business day of the fiscal year
11    immediately preceding the fiscal year for which it is to be
12    effective.
13        (2) Beginning on January 1, 1989 and thereafter, the
14    Department shall deposit a percentage of the amounts
15    collected pursuant to subsections (a) and (b)(6), (7), and
16    (8), (c) and (d) of Section 201 of this Act into a fund in
17    the State treasury known as the Income Tax Refund Fund.
18    Beginning with State fiscal year 1990 and for each fiscal
19    year thereafter, the percentage deposited into the Income
20    Tax Refund Fund during a fiscal year shall be the Annual
21    Percentage. For fiscal year 2011, the Annual Percentage
22    shall be 17.5%. For fiscal year 2012, the Annual Percentage
23    shall be 17.5%. For fiscal year 2013, the Annual Percentage
24    shall be 14%. For fiscal year 2014, the Annual Percentage
25    shall be 13.4%. For fiscal year 2015, the Annual Percentage
26    shall be 14%. For fiscal year 2018, the Annual Percentage

 

 

SB3392- 17 -LRB101 19975 HLH 69501 b

1    shall be 17.5%. For fiscal year 2019, the Annual Percentage
2    shall be 15.5%. For fiscal year 2020, the Annual Percentage
3    shall be 14.25%. For all other fiscal years, the Annual
4    Percentage shall be calculated as a fraction, the numerator
5    of which shall be the amount of refunds approved for
6    payment by the Department during the preceding fiscal year
7    as a result of overpayment of tax liability under
8    subsections (a) and (b)(6), (7), and (8), (c) and (d) of
9    Section 201 of this Act plus the amount of such refunds
10    remaining approved but unpaid at the end of the preceding
11    fiscal year, and the denominator of which shall be the
12    amounts which will be collected pursuant to subsections (a)
13    and (b)(6), (7), and (8), (c) and (d) of Section 201 of
14    this Act during the preceding fiscal year; except that in
15    State fiscal year 2002, the Annual Percentage shall in no
16    event exceed 23%. The Director of Revenue shall certify the
17    Annual Percentage to the Comptroller on the last business
18    day of the fiscal year immediately preceding the fiscal
19    year for which it is to be effective.
20        (3) The Comptroller shall order transferred and the
21    Treasurer shall transfer from the Tobacco Settlement
22    Recovery Fund to the Income Tax Refund Fund (i) $35,000,000
23    in January, 2001, (ii) $35,000,000 in January, 2002, and
24    (iii) $35,000,000 in January, 2003.
25    (d) Expenditures from Income Tax Refund Fund.
26        (1) Beginning January 1, 1989, money in the Income Tax

 

 

SB3392- 18 -LRB101 19975 HLH 69501 b

1    Refund Fund shall be expended exclusively for the purpose
2    of paying refunds resulting from overpayment of tax
3    liability under Section 201 of this Act and for making
4    transfers pursuant to this subsection (d).
5        (2) The Director shall order payment of refunds
6    resulting from overpayment of tax liability under Section
7    201 of this Act from the Income Tax Refund Fund only to the
8    extent that amounts collected pursuant to Section 201 of
9    this Act and transfers pursuant to this subsection (d) and
10    item (3) of subsection (c) have been deposited and retained
11    in the Fund.
12        (3) As soon as possible after the end of each fiscal
13    year, the Director shall order transferred and the State
14    Treasurer and State Comptroller shall transfer from the
15    Income Tax Refund Fund to the Personal Property Tax
16    Replacement Fund an amount, certified by the Director to
17    the Comptroller, equal to the excess of the amount
18    collected pursuant to subsections (c) and (d) of Section
19    201 of this Act deposited into the Income Tax Refund Fund
20    during the fiscal year over the amount of refunds resulting
21    from overpayment of tax liability under subsections (c) and
22    (d) of Section 201 of this Act paid from the Income Tax
23    Refund Fund during the fiscal year.
24        (4) As soon as possible after the end of each fiscal
25    year, the Director shall order transferred and the State
26    Treasurer and State Comptroller shall transfer from the

 

 

SB3392- 19 -LRB101 19975 HLH 69501 b

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

 

 

SB3392- 20 -LRB101 19975 HLH 69501 b

1deposits into the Income Tax Refund Fund, the Department shall
2deposit 7.3% into the Education Assistance Fund in the State
3Treasury. Beginning July 1, 1991, and continuing through
4January 31, 1993, of the amounts collected pursuant to
5subsections (a) and (b) of Section 201 of the Illinois Income
6Tax Act, minus deposits into the Income Tax Refund Fund, the
7Department shall deposit 3.0% into the Income Tax Surcharge
8Local Government Distributive Fund in the State Treasury.
9Beginning February 1, 1993 and continuing through June 30,
101993, of the amounts collected pursuant to subsections (a) and
11(b) of Section 201 of the Illinois Income Tax Act, minus
12deposits into the Income Tax Refund Fund, the Department shall
13deposit 4.4% into the Income Tax Surcharge Local Government
14Distributive Fund in the State Treasury. Beginning July 1,
151993, and continuing through June 30, 1994, of the amounts
16collected under subsections (a) and (b) of Section 201 of this
17Act, minus deposits into the Income Tax Refund Fund, the
18Department shall deposit 1.475% into the Income Tax Surcharge
19Local Government Distributive Fund in the State Treasury.
20    (f) Deposits into the Fund for the Advancement of
21Education. Beginning February 1, 2015, the Department shall
22deposit the following portions of the revenue realized from the
23tax imposed upon individuals, trusts, and estates by
24subsections (a) and (b) of Section 201 of this Act, minus
25deposits into the Income Tax Refund Fund, into the Fund for the
26Advancement of Education:

 

 

SB3392- 21 -LRB101 19975 HLH 69501 b

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

 

 

SB3392- 22 -LRB101 19975 HLH 69501 b

1personnel at the Department, an amount equal to 1/12 of 5% of
2the cash receipts collected during the preceding fiscal year by
3the Audit Bureau of the Department from the tax imposed by
4subsections (a), (b), (c), and (d) of Section 201 of this Act,
5net of deposits into the Income Tax Refund Fund made from those
6cash receipts.
7(Source: P.A. 100-22, eff. 7-6-17; 100-23, eff. 7-6-17;
8100-587, eff. 6-4-18; 100-621, eff. 7-20-18; 100-863, eff.
98-14-18; 100-1171, eff. 1-4-19; 101-8, see Section 99 for
10effective date; 101-10, eff. 6-5-19; 101-81, eff. 7-12-19;
11revised 10-1-19.)
 
12    Section 95. No acceleration or delay. Where this Act makes
13changes in a statute that is represented in this Act by text
14that is not yet or no longer in effect (for example, a Section
15represented by multiple versions), the use of that text does
16not accelerate or delay the taking effect of (i) the changes
17made by this Act or (ii) provisions derived from any other
18Public Act.
 
19    Section 99. Effective date. This Act takes effect upon
20becoming law.