103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB3201

 

Introduced 2/17/2023, by Rep. Jennifer Sanalitro

 

SYNOPSIS AS INTRODUCED:
 
30 ILCS 105/6z-18  from Ch. 127, par. 142z-18
30 ILCS 105/6z-20  from Ch. 127, par. 142z-20
35 ILCS 105/3-6
35 ILCS 105/3-10
35 ILCS 105/9  from Ch. 120, par. 439.9
35 ILCS 120/2-8
35 ILCS 120/2-10
35 ILCS 120/3  from Ch. 120, par. 442

    Amends the Use Tax Act, the Retailers' Occupation Tax Act, and the State Finance Act. Provides for a sales tax holiday on school supplies during the first 7 days of August of each calendar year. Effective immediately.


LRB103 29494 HLH 55889 b

 

 

A BILL FOR

 

HB3201LRB103 29494 HLH 55889 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 State Finance Act is amended by changing
5Sections 6z-18 and 6z-20 as follows:
 
6    (30 ILCS 105/6z-18)  (from Ch. 127, par. 142z-18)
7    Sec. 6z-18. Local Government Tax Fund. A portion of the
8money paid into the Local Government Tax Fund from sales of
9tangible personal property taxed at the 1% rate under the
10Retailers' Occupation Tax Act and the Service Occupation Tax
11Act, which occurred in municipalities, shall be distributed to
12each municipality based upon the sales which occurred in that
13municipality. The remainder shall be distributed to each
14county based upon the sales which occurred in the
15unincorporated area of that county.
16    Moneys transferred from the Grocery Tax Replacement Fund
17to the Local Government Tax Fund under Section 6z-130 shall be
18treated under this Section in the same manner as if they had
19been remitted with the return on which they were reported.
20    A portion of the money paid into the Local Government Tax
21Fund from the 6.25% general use tax rate on the selling price
22of tangible personal property which is purchased outside
23Illinois at retail from a retailer and which is titled or

 

 

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1registered by any agency of this State's government shall be
2distributed to municipalities as provided in this paragraph.
3Each municipality shall receive the amount attributable to
4sales for which Illinois addresses for titling or registration
5purposes are given as being in such municipality. The
6remainder of the money paid into the Local Government Tax Fund
7from such sales shall be distributed to counties. Each county
8shall receive the amount attributable to sales for which
9Illinois addresses for titling or registration purposes are
10given as being located in the unincorporated area of such
11county.
12    A portion of the money paid into the Local Government Tax
13Fund from the 6.25% general rate (and, beginning July 1, 2000
14and through December 31, 2000, the 1.25% rate on motor fuel and
15gasohol, and during a sales tax holiday period, as defined in
16Section 3-6 of the Use Tax Act, beginning on August 6, 2010
17through August 15, 2010, and beginning again on August 5, 2022
18through August 14, 2022, the 1.25% rate on sales tax holiday
19items) on sales subject to taxation under the Retailers'
20Occupation Tax Act and the Service Occupation Tax Act, which
21occurred in municipalities, shall be distributed to each
22municipality, based upon the sales which occurred in that
23municipality. The remainder shall be distributed to each
24county, based upon the sales which occurred in the
25unincorporated area of such county.
26    For the purpose of determining allocation to the local

 

 

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1government unit, a retail sale by a producer of coal or other
2mineral mined in Illinois is a sale at retail at the place
3where the coal or other mineral mined in Illinois is extracted
4from the earth. This paragraph does not apply to coal or other
5mineral when it is delivered or shipped by the seller to the
6purchaser at a point outside Illinois so that the sale is
7exempt under the United States Constitution as a sale in
8interstate or foreign commerce.
9    Whenever the Department determines that a refund of money
10paid into the Local Government Tax Fund should be made to a
11claimant instead of issuing a credit memorandum, the
12Department shall notify the State Comptroller, who shall cause
13the order to be drawn for the amount specified, and to the
14person named, in such notification from the Department. Such
15refund shall be paid by the State Treasurer out of the Local
16Government Tax Fund.
17    As soon as possible after the first day of each month,
18beginning January 1, 2011, upon certification of the
19Department of Revenue, the Comptroller shall order
20transferred, and the Treasurer shall transfer, to the STAR
21Bonds Revenue Fund the local sales tax increment, as defined
22in the Innovation Development and Economy Act, collected
23during the second preceding calendar month for sales within a
24STAR bond district and deposited into the Local Government Tax
25Fund, less 3% of that amount, which shall be transferred into
26the Tax Compliance and Administration Fund and shall be used

 

 

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

 

 

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1Department, the Comptroller shall cause the orders to be drawn
2for the respective amounts in accordance with the directions
3contained in such certification.
4    When certifying the amount of monthly disbursement to a
5municipality or county under this Section, the Department
6shall increase or decrease that amount by an amount necessary
7to offset any misallocation of previous disbursements. The
8offset amount shall be the amount erroneously disbursed within
9the 6 months preceding the time a misallocation is discovered.
10    The provisions directing the distributions from the
11special fund in the State treasury Treasury provided for in
12this Section shall constitute an irrevocable and continuing
13appropriation of all amounts as provided herein. The State
14Treasurer and State Comptroller are hereby authorized to make
15distributions as provided in this Section.
16    In construing any development, redevelopment, annexation,
17preannexation, or other lawful agreement in effect prior to
18September 1, 1990, which describes or refers to receipts from
19a county or municipal retailers' occupation tax, use tax or
20service occupation tax which now cannot be imposed, such
21description or reference shall be deemed to include the
22replacement revenue for such abolished taxes, distributed from
23the Local Government Tax Fund.
24    As soon as possible after March 8, 2013 (the effective
25date of Public Act 98-3) this amendatory Act of the 98th
26General Assembly, the State Comptroller shall order and the

 

 

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1State Treasurer shall transfer $6,600,000 from the Local
2Government Tax Fund to the Illinois State Medical Disciplinary
3Fund.
4(Source: P.A. 102-700, Article 60, Section 60-10, eff.
54-19-22; 102-700, Article 65, Section 65-15, eff. 4-19-22;
6revised 6-2-22.)
 
7    (30 ILCS 105/6z-20)  (from Ch. 127, par. 142z-20)
8    Sec. 6z-20. County and Mass Transit District Fund. Of the
9money received from the 6.25% general rate (and, beginning
10July 1, 2000 and through December 31, 2000, the 1.25% rate on
11motor fuel and gasohol, and beginning on August 6, 2010
12through August 15, 2010, and during a sales tax holiday
13period, as defined in Section 3-6 of the Use Tax Act, beginning
14again on August 5, 2022 through August 14, 2022, the 1.25% rate
15on sales tax holiday items) on sales subject to taxation under
16the Retailers' Occupation Tax Act and Service Occupation Tax
17Act and paid into the County and Mass Transit District Fund,
18distribution to the Regional Transportation Authority tax
19fund, created pursuant to Section 4.03 of the Regional
20Transportation Authority Act, for deposit therein shall be
21made based upon the retail sales occurring in a county having
22more than 3,000,000 inhabitants. The remainder shall be
23distributed to each county having 3,000,000 or fewer
24inhabitants based upon the retail sales occurring in each such
25county.

 

 

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1    For the purpose of determining allocation to the local
2government unit, a retail sale by a producer of coal or other
3mineral mined in Illinois is a sale at retail at the place
4where the coal or other mineral mined in Illinois is extracted
5from the earth. This paragraph does not apply to coal or other
6mineral when it is delivered or shipped by the seller to the
7purchaser at a point outside Illinois so that the sale is
8exempt under the United States Constitution as a sale in
9interstate or foreign commerce.
10    Of the money received from the 6.25% general use tax rate
11on tangible personal property which is purchased outside
12Illinois at retail from a retailer and which is titled or
13registered by any agency of this State's government and paid
14into the County and Mass Transit District Fund, the amount for
15which Illinois addresses for titling or registration purposes
16are given as being in each county having more than 3,000,000
17inhabitants shall be distributed into the Regional
18Transportation Authority tax fund, created pursuant to Section
194.03 of the Regional Transportation Authority Act. The
20remainder of the money paid from such sales shall be
21distributed to each county based on sales for which Illinois
22addresses for titling or registration purposes are given as
23being located in the county. Any money paid into the Regional
24Transportation Authority Occupation and Use Tax Replacement
25Fund from the County and Mass Transit District Fund prior to
26January 14, 1991, which has not been paid to the Authority

 

 

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1prior to that date, shall be transferred to the Regional
2Transportation Authority tax fund.
3    Whenever the Department determines that a refund of money
4paid into the County and Mass Transit District Fund should be
5made to a claimant instead of issuing a credit memorandum, the
6Department shall notify the State Comptroller, who shall cause
7the order to be drawn for the amount specified, and to the
8person named, in such notification from the Department. Such
9refund shall be paid by the State Treasurer out of the County
10and Mass Transit District Fund.
11    As soon as possible after the first day of each month,
12beginning January 1, 2011, upon certification of the
13Department of Revenue, the Comptroller shall order
14transferred, and the Treasurer shall transfer, to the STAR
15Bonds Revenue Fund the local sales tax increment, as defined
16in the Innovation Development and Economy Act, collected
17during the second preceding calendar month for sales within a
18STAR bond district and deposited into the County and Mass
19Transit District Fund, less 3% of that amount, which shall be
20transferred into the Tax Compliance and Administration Fund
21and shall be used by the Department, subject to appropriation,
22to cover the costs of the Department in administering the
23Innovation Development and Economy Act.
24    After the monthly transfer to the STAR Bonds Revenue Fund,
25on or before the 25th day of each calendar month, the
26Department shall prepare and certify to the Comptroller the

 

 

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1disbursement of stated sums of money to the Regional
2Transportation Authority and to named counties, the counties
3to be those entitled to distribution, as hereinabove provided,
4of taxes or penalties paid to the Department during the second
5preceding calendar month. The amount to be paid to the
6Regional Transportation Authority and each county having
73,000,000 or fewer inhabitants shall be the amount (not
8including credit memoranda) collected during the second
9preceding calendar month by the Department and paid into the
10County and Mass Transit District Fund, plus an amount the
11Department determines is necessary to offset any amounts which
12were erroneously paid to a different taxing body, and not
13including an amount equal to the amount of refunds made during
14the second preceding calendar month by the Department, and not
15including any amount which the Department determines is
16necessary to offset any amounts which were payable to a
17different taxing body but were erroneously paid to the
18Regional Transportation Authority or county, and not including
19any amounts that are transferred to the STAR Bonds Revenue
20Fund, less 1.5% of the amount to be paid to the Regional
21Transportation Authority, which shall be transferred into the
22Tax Compliance and Administration Fund. The Department, at the
23time of each monthly disbursement to the Regional
24Transportation Authority, shall prepare and certify to the
25State Comptroller the amount to be transferred into the Tax
26Compliance and Administration Fund under this Section. Within

 

 

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110 days after receipt, by the Comptroller, of the disbursement
2certification to the Regional Transportation Authority,
3counties, and the Tax Compliance and Administration Fund
4provided for in this Section to be given to the Comptroller by
5the Department, the Comptroller shall cause the orders to be
6drawn for the respective amounts in accordance with the
7directions contained in such certification.
8    When certifying the amount of a monthly disbursement to
9the Regional Transportation Authority or to a county under
10this Section, the Department shall increase or decrease that
11amount by an amount necessary to offset any misallocation of
12previous disbursements. The offset amount shall be the amount
13erroneously disbursed within the 6 months preceding the time a
14misallocation is discovered.
15    The provisions directing the distributions from the
16special fund in the State Treasury provided for in this
17Section and from the Regional Transportation Authority tax
18fund created by Section 4.03 of the Regional Transportation
19Authority Act shall constitute an irrevocable and continuing
20appropriation of all amounts as provided herein. The State
21Treasurer and State Comptroller are hereby authorized to make
22distributions as provided in this Section.
23    In construing any development, redevelopment, annexation,
24preannexation or other lawful agreement in effect prior to
25September 1, 1990, which describes or refers to receipts from
26a county or municipal retailers' occupation tax, use tax or

 

 

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1service occupation tax which now cannot be imposed, such
2description or reference shall be deemed to include the
3replacement revenue for such abolished taxes, distributed from
4the County and Mass Transit District Fund or Local Government
5Distributive Fund, as the case may be.
6(Source: P.A. 102-700, eff. 4-19-22.)
 
7    Section 10. The Use Tax Act is amended by changing
8Sections 3-6, 3-10, and 9 as follows:
 
9    (35 ILCS 105/3-6)
10    Sec. 3-6. Sales tax holiday items.
11    (a) Any tangible personal property described in this
12subsection is a sales tax holiday item and qualifies for the
131.25% reduced rate of tax during the sales tax holiday period
14for the period set forth in Section 3-10 of this Act
15(hereinafter referred to as the Sales Tax Holiday Period). The
16reduced rate on these items shall be administered under the
17provisions of subsection (b) of this Section. The following
18items are subject to the reduced rate:
19        (1) Clothing items that each have a retail selling
20    price of less than $125.
21        "Clothing" means, unless otherwise specified in this
22    Section, all human wearing apparel suitable for general
23    use. "Clothing" does not include clothing accessories,
24    protective equipment, or sport or recreational equipment.

 

 

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1    "Clothing" includes, but is not limited to: household and
2    shop aprons; athletic supporters; bathing suits and caps;
3    belts and suspenders; boots; coats and jackets; ear muffs;
4    footlets; gloves and mittens for general use; hats and
5    caps; hosiery; insoles for shoes; lab coats; neckties;
6    overshoes; pantyhose; rainwear; rubber pants; sandals;
7    scarves; shoes and shoelaces; slippers; sneakers; socks
8    and stockings; steel-toed shoes; underwear; and school
9    uniforms.
10        "Clothing accessories" means, but is not limited to:
11    briefcases; cosmetics; hair notions, including, but not
12    limited to barrettes, hair bows, and hair nets; handbags;
13    handkerchiefs; jewelry; non-prescription sunglasses;
14    umbrellas; wallets; watches; and wigs and hair pieces.
15        "Protective equipment" means, but is not limited to:
16    breathing masks; clean room apparel and equipment; ear and
17    hearing protectors; face shields; hard hats; helmets;
18    paint or dust respirators; protective gloves; safety
19    glasses and goggles; safety belts; tool belts; and
20    welder's gloves and masks.
21        "Sport or recreational equipment" means, but is not
22    limited to: ballet and tap shoes; cleated or spiked
23    athletic shoes; gloves, including, but not limited to,
24    baseball, bowling, boxing, hockey, and golf gloves;
25    goggles; hand and elbow guards; life preservers and vests;
26    mouth guards; roller and ice skates; shin guards; shoulder

 

 

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1    pads; ski boots; waders; and wetsuits and fins.
2        (2) School supplies. "School supplies" means, unless
3    otherwise specified in this Section, items used by a
4    student in a course of study. The purchase of school
5    supplies for use by persons other than students for use in
6    a course of study are not eligible for the reduced rate of
7    tax. "School supplies" do not include school art supplies;
8    school instructional materials; cameras; film and memory
9    cards; videocameras, tapes, and videotapes; computers;
10    cell phones; Personal Digital Assistants (PDAs); handheld
11    electronic schedulers; and school computer supplies.
12        "School supplies" includes, but is not limited to:
13    binders; book bags; calculators; cellophane tape;
14    blackboard chalk; compasses; composition books; crayons;
15    erasers; expandable, pocket, plastic, and manila folders;
16    glue, paste, and paste sticks; highlighters; index cards;
17    index card boxes; legal pads; lunch boxes; markers;
18    notebooks; paper, including loose leaf ruled notebook
19    paper, copy paper, graph paper, tracing paper, manila
20    paper, colored paper, poster board, and construction
21    paper; pencils; pencil leads; pens; ink and ink refills
22    for pens; pencil boxes and other school supply boxes;
23    pencil sharpeners; protractors; rulers; scissors; and
24    writing tablets.
25        "School art supply" means an item commonly used by a
26    student in a course of study for artwork and includes only

 

 

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1    the following items: clay and glazes; acrylic, tempera,
2    and oil paint; paintbrushes for artwork; sketch and
3    drawing pads; and watercolors.
4        "School instructional material" means written material
5    commonly used by a student in a course of study as a
6    reference and to learn the subject being taught and
7    includes only the following items: reference books;
8    reference maps and globes; textbooks; and workbooks.
9        "School computer supply" means an item commonly used
10    by a student in a course of study in which a computer is
11    used and applies only to the following items: flashdrives
12    and other computer data storage devices; data storage
13    media, such as diskettes and compact disks; boxes and
14    cases for disk storage; external ports or drives; computer
15    cases; computer cables; computer printers; and printer
16    cartridges, toner, and ink.
17    (b) Administration. Notwithstanding any other provision of
18this Act, the reduced rate of tax under Section 3-10 of this
19Act for clothing and school supplies shall be administered by
20the Department under the provisions of this subsection (b).
21        (1) Bundled sales. Items that qualify for the reduced
22    rate of tax that are bundled together with items that do
23    not qualify for the reduced rate of tax and that are sold
24    for one itemized price will be subject to the reduced rate
25    of tax only if the value of the items that qualify for the
26    reduced rate of tax exceeds the value of the items that do

 

 

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1    not qualify for the reduced rate of tax.
2        (2) Coupons and discounts. An unreimbursed discount by
3    the seller reduces the sales price of the property so that
4    the discounted sales price determines whether the sales
5    price is within a sales tax holiday price threshold. A
6    coupon or other reduction in the sales price is treated as
7    a discount if the seller is not reimbursed for the coupon
8    or reduction amount by a third party.
9        (3) Splitting of items normally sold together.
10    Articles that are normally sold as a single unit must
11    continue to be sold in that manner. Such articles cannot
12    be priced separately and sold as individual items in order
13    to obtain the reduced rate of tax. For example, a pair of
14    shoes cannot have each shoe sold separately so that the
15    sales price of each shoe is within a sales tax holiday
16    price threshold.
17        (4) Rain checks. A rain check is a procedure that
18    allows a customer to purchase an item at a certain price at
19    a later time because the particular item was out of stock.
20    Eligible property that customers purchase during the Sales
21    Tax Holiday Period with the use of a rain check will
22    qualify for the reduced rate of tax regardless of when the
23    rain check was issued. Issuance of a rain check during the
24    Sales Tax Holiday Period will not qualify eligible
25    property for the reduced rate of tax if the property is
26    actually purchased after the Sales Tax Holiday Period.

 

 

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1        (5) Exchanges. The procedure for an exchange in
2    regards to a sales tax holiday is as follows:
3            (A) If a customer purchases an item of eligible
4        property during the Sales Tax Holiday Period, but
5        later exchanges the item for a similar eligible item,
6        even if a different size, different color, or other
7        feature, no additional tax is due even if the exchange
8        is made after the Sales Tax Holiday Period.
9            (B) If a customer purchases an item of eligible
10        property during the Sales Tax Holiday Period, but
11        after the Sales Tax Holiday Period has ended, the
12        customer returns the item and receives credit on the
13        purchase of a different item, the 6.25% general
14        merchandise sales tax rate is due on the sale of the
15        newly purchased item.
16            (C) If a customer purchases an item of eligible
17        property before the Sales Tax Holiday Period, but
18        during the Sales Tax Holiday Period the customer
19        returns the item and receives credit on the purchase
20        of a different item of eligible property, the reduced
21        rate of tax is due on the sale of the new item if the
22        new item is purchased during the Sales Tax Holiday
23        Period.
24        (6) (Blank).
25        (7) Order date and back orders. For the purpose of a
26    sales tax holiday, eligible property qualifies for the

 

 

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1    reduced rate of tax if: (i) the item is both delivered to
2    and paid for by the customer during the Sales Tax Holiday
3    Period or (ii) the customer orders and pays for the item
4    and the seller accepts the order during the Sales Tax
5    Holiday Period for immediate shipment, even if delivery is
6    made after the Sales Tax Holiday Period. The seller
7    accepts an order when the seller has taken action to fill
8    the order for immediate shipment. Actions to fill an order
9    include placement of an "in date" stamp on an order or
10    assignment of an "order number" to an order within the
11    Sales Tax Holiday Period. An order is for immediate
12    shipment when the customer does not request delayed
13    shipment. An order is for immediate shipment
14    notwithstanding that the shipment may be delayed because
15    of a backlog of orders or because stock is currently
16    unavailable to, or on back order by, the seller.
17        (8) Returns. For a 60-day period immediately after the
18    Sales Tax Holiday Period, if a customer returns an item
19    that would qualify for the reduced rate of tax, credit for
20    or refund of sales tax shall be given only at the reduced
21    rate unless the customer provides a receipt or invoice
22    that shows tax was paid at the 6.25% general merchandise
23    rate, or the seller has sufficient documentation to show
24    that tax was paid at the 6.25% general merchandise rate on
25    the specific item. This 60-day period is set solely for
26    the purpose of designating a time period during which the

 

 

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1    customer must provide documentation that shows that the
2    appropriate sales tax rate was paid on returned
3    merchandise. The 60-day period is not intended to change a
4    seller's policy on the time period during which the seller
5    will accept returns.
6    (c) The Department may implement the provisions of this
7Section through the use of emergency rules, along with
8permanent rules filed concurrently with such emergency rules,
9in accordance with the provisions of Section 5-45 of the
10Illinois Administrative Procedure Act. For purposes of the
11Illinois Administrative Procedure Act, the adoption of rules
12to implement the provisions of this Section shall be deemed an
13emergency and necessary for the public interest, safety, and
14welfare.
15    (d) As used in this Section, "sales tax holiday period"
16means:
17        (1) from August 6, 2010 through August 15, 2010;
18        (2) from August 5, 2022 through August 14, 2022; and
19        (3) beginning in calendar year 2023, the first 7 days
20    in August of each calendar year.
21(Source: P.A. 102-700, eff. 4-19-22.)
 
22    (35 ILCS 105/3-10)
23    Sec. 3-10. Rate of tax. Unless otherwise provided in this
24Section, the tax imposed by this Act is at the rate of 6.25% of
25either the selling price or the fair market value, if any, of

 

 

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1the tangible personal property. In all cases where property
2functionally used or consumed is the same as the property that
3was purchased at retail, then the tax is imposed on the selling
4price of the property. In all cases where property
5functionally used or consumed is a by-product or waste product
6that has been refined, manufactured, or produced from property
7purchased at retail, then the tax is imposed on the lower of
8the fair market value, if any, of the specific property so used
9in this State or on the selling price of the property purchased
10at retail. For purposes of this Section "fair market value"
11means the price at which property would change hands between a
12willing buyer and a willing seller, neither being under any
13compulsion to buy or sell and both having reasonable knowledge
14of the relevant facts. The fair market value shall be
15established by Illinois sales by the taxpayer of the same
16property as that functionally used or consumed, or if there
17are no such sales by the taxpayer, then comparable sales or
18purchases of property of like kind and character in Illinois.
19    Beginning on July 1, 2000 and through December 31, 2000,
20with respect to motor fuel, as defined in Section 1.1 of the
21Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
22the Use Tax Act, the tax is imposed at the rate of 1.25%.
23    During the sales tax holiday period set forth in Section
243-6, Beginning on August 6, 2010 through August 15, 2010, and
25beginning again on August 5, 2022 through August 14, 2022,
26with respect to sales tax holiday items as defined in Section

 

 

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13-6 of this Act, the tax is imposed at the rate of 1.25%.
2    With respect to gasohol, the tax imposed by this Act
3applies to (i) 70% of the proceeds of sales made on or after
4January 1, 1990, and before July 1, 2003, (ii) 80% of the
5proceeds of sales made on or after July 1, 2003 and on or
6before July 1, 2017, and (iii) 100% of the proceeds of sales
7made thereafter. If, at any time, however, the tax under this
8Act on sales of gasohol is imposed at the rate of 1.25%, then
9the tax imposed by this Act applies to 100% of the proceeds of
10sales of gasohol made during that time.
11    With respect to majority blended ethanol fuel, the tax
12imposed by this Act does not apply to the proceeds of sales
13made on or after July 1, 2003 and on or before December 31,
142023 but applies to 100% of the proceeds of sales made
15thereafter.
16    With respect to biodiesel blends with no less than 1% and
17no more than 10% biodiesel, the tax imposed by this Act applies
18to (i) 80% of the proceeds of sales made on or after July 1,
192003 and on or before December 31, 2018 and (ii) 100% of the
20proceeds of sales made after December 31, 2018 and before
21January 1, 2024. On and after January 1, 2024 and on or before
22December 31, 2030, the taxation of biodiesel, renewable
23diesel, and biodiesel blends shall be as provided in Section
243-5.1. If, at any time, however, the tax under this Act on
25sales of biodiesel blends with no less than 1% and no more than
2610% biodiesel is imposed at the rate of 1.25%, then the tax

 

 

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1imposed by this Act applies to 100% of the proceeds of sales of
2biodiesel blends with no less than 1% and no more than 10%
3biodiesel made during that time.
4    With respect to biodiesel and biodiesel blends with more
5than 10% but no more than 99% biodiesel, the tax imposed by
6this Act does not apply to the proceeds of sales made on or
7after July 1, 2003 and on or before December 31, 2023. On and
8after January 1, 2024 and on or before December 31, 2030, the
9taxation of biodiesel, renewable diesel, and biodiesel blends
10shall be as provided in Section 3-5.1.
11    Until July 1, 2022 and beginning again on July 1, 2023,
12with respect to food for human consumption that is to be
13consumed off the premises where it is sold (other than
14alcoholic beverages, food consisting of or infused with adult
15use cannabis, soft drinks, and food that has been prepared for
16immediate consumption), the tax is imposed at the rate of 1%.
17Beginning on July 1, 2022 and until July 1, 2023, with respect
18to food for human consumption that is to be consumed off the
19premises where it is sold (other than alcoholic beverages,
20food consisting of or infused with adult use cannabis, soft
21drinks, and food that has been prepared for immediate
22consumption), the tax is imposed at the rate of 0%.
23    With respect to prescription and nonprescription
24medicines, drugs, medical appliances, products classified as
25Class III medical devices by the United States Food and Drug
26Administration that are used for cancer treatment pursuant to

 

 

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1a prescription, as well as any accessories and components
2related to those devices, modifications to a motor vehicle for
3the purpose of rendering it usable by a person with a
4disability, and insulin, blood sugar testing materials,
5syringes, and needles used by human diabetics, the tax is
6imposed at the rate of 1%. For the purposes of this Section,
7until September 1, 2009: the term "soft drinks" means any
8complete, finished, ready-to-use, non-alcoholic drink, whether
9carbonated or not, including, but not limited to, soda water,
10cola, fruit juice, vegetable juice, carbonated water, and all
11other preparations commonly known as soft drinks of whatever
12kind or description that are contained in any closed or sealed
13bottle, can, carton, or container, regardless of size; but
14"soft drinks" does not include coffee, tea, non-carbonated
15water, infant formula, milk or milk products as defined in the
16Grade A Pasteurized Milk and Milk Products Act, or drinks
17containing 50% or more natural fruit or vegetable juice.
18    Notwithstanding any other provisions of this Act,
19beginning September 1, 2009, "soft drinks" means non-alcoholic
20beverages that contain natural or artificial sweeteners. "Soft
21drinks" does do not include beverages that contain milk or
22milk products, soy, rice or similar milk substitutes, or
23greater than 50% of vegetable or fruit juice by volume.
24    Until August 1, 2009, and notwithstanding any other
25provisions of this Act, "food for human consumption that is to
26be consumed off the premises where it is sold" includes all

 

 

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1food sold through a vending machine, except soft drinks and
2food products that are dispensed hot from a vending machine,
3regardless of the location of the vending machine. Beginning
4August 1, 2009, and notwithstanding any other provisions of
5this Act, "food for human consumption that is to be consumed
6off the premises where it is sold" includes all food sold
7through a vending machine, except soft drinks, candy, and food
8products that are dispensed hot from a vending machine,
9regardless of the location of the vending machine.
10    Notwithstanding any other provisions of this Act,
11beginning September 1, 2009, "food for human consumption that
12is to be consumed off the premises where it is sold" does not
13include candy. For purposes of this Section, "candy" means a
14preparation of sugar, honey, or other natural or artificial
15sweeteners in combination with chocolate, fruits, nuts or
16other ingredients or flavorings in the form of bars, drops, or
17pieces. "Candy" does not include any preparation that contains
18flour or requires refrigeration.
19    Notwithstanding any other provisions of this Act,
20beginning September 1, 2009, "nonprescription medicines and
21drugs" does not include grooming and hygiene products. For
22purposes of this Section, "grooming and hygiene products"
23includes, but is not limited to, soaps and cleaning solutions,
24shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
25lotions and screens, unless those products are available by
26prescription only, regardless of whether the products meet the

 

 

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1definition of "over-the-counter-drugs". For the purposes of
2this paragraph, "over-the-counter-drug" means a drug for human
3use that contains a label that identifies the product as a drug
4as required by 21 CFR C.F.R. 201.66. The
5"over-the-counter-drug" label includes:
6        (A) a A "Drug Facts" panel; or
7        (B) a A statement of the "active ingredient(s)" with a
8    list of those ingredients contained in the compound,
9    substance or preparation.
10    Beginning on January 1, 2014 (the effective date of Public
11Act 98-122) this amendatory Act of the 98th General Assembly,
12"prescription and nonprescription medicines and drugs"
13includes medical cannabis purchased from a registered
14dispensing organization under the Compassionate Use of Medical
15Cannabis Program Act.
16    As used in this Section, "adult use cannabis" means
17cannabis subject to tax under the Cannabis Cultivation
18Privilege Tax Law and the Cannabis Purchaser Excise Tax Law
19and does not include cannabis subject to tax under the
20Compassionate Use of Medical Cannabis Program Act.
21    If the property that is purchased at retail from a
22retailer is acquired outside Illinois and used outside
23Illinois before being brought to Illinois for use here and is
24taxable under this Act, the "selling price" on which the tax is
25computed shall be reduced by an amount that represents a
26reasonable allowance for depreciation for the period of prior

 

 

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1out-of-state use.
2(Source: P.A. 101-363, eff. 8-9-19; 101-593, eff. 12-4-19;
3102-4, eff. 4-27-21; 102-700, Article 20, Section 20-5, eff.
44-19-22; 102-700, Article 60, Section 60-15, eff. 4-19-22;
5102-700, Article 65, Section 65-5, eff. 4-19-22; revised
65-27-22.)
 
7    (35 ILCS 105/9)  (from Ch. 120, par. 439.9)
8    Sec. 9. Except as to motor vehicles, watercraft, aircraft,
9and trailers that are required to be registered with an agency
10of this State, each retailer required or authorized to collect
11the tax imposed by this Act shall pay to the Department the
12amount of such tax (except as otherwise provided) at the time
13when he is required to file his return for the period during
14which such tax was collected, less a discount of 2.1% prior to
15January 1, 1990, and 1.75% on and after January 1, 1990, or $5
16per calendar year, whichever is greater, which is allowed to
17reimburse the retailer for expenses incurred in collecting the
18tax, keeping records, preparing and filing returns, remitting
19the tax and supplying data to the Department on request. When
20determining the discount allowed under this Section, retailers
21shall include the amount of tax that would have been due at the
226.25% rate but for the 1.25% rate imposed on sales tax holiday
23items during the sales tax period set forth in Section 3-6
24under this amendatory Act of the 102nd General Assembly. The
25discount under this Section is not allowed for the 1.25%

 

 

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1portion of taxes paid on aviation fuel that is subject to the
2revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
347133. When determining the discount allowed under this
4Section, retailers shall include the amount of tax that would
5have been due at the 1% rate but for the 0% rate imposed under
6Public Act 102-700 this amendatory Act of the 102nd General
7Assembly. In the case of retailers who report and pay the tax
8on a transaction by transaction basis, as provided in this
9Section, such discount shall be taken with each such tax
10remittance instead of when such retailer files his periodic
11return. The discount allowed under this Section is allowed
12only for returns that are filed in the manner required by this
13Act. The Department may disallow the discount for retailers
14whose certificate of registration is revoked at the time the
15return is filed, but only if the Department's decision to
16revoke the certificate of registration has become final. A
17retailer need not remit that part of any tax collected by him
18to the extent that he is required to remit and does remit the
19tax imposed by the Retailers' Occupation Tax Act, with respect
20to the sale of the same property.
21    Where such tangible personal property is sold under a
22conditional sales contract, or under any other form of sale
23wherein the payment of the principal sum, or a part thereof, is
24extended beyond the close of the period for which the return is
25filed, the retailer, in collecting the tax (except as to motor
26vehicles, watercraft, aircraft, and trailers that are required

 

 

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1to be registered with an agency of this State), may collect for
2each tax return period, only the tax applicable to that part of
3the selling price actually received during such tax return
4period.
5    Except as provided in this Section, on or before the
6twentieth day of each calendar month, such retailer shall file
7a return for the preceding calendar month. Such return shall
8be filed on forms prescribed by the Department and shall
9furnish such information as the Department may reasonably
10require. The return shall include the gross receipts on food
11for human consumption that is to be consumed off the premises
12where it is sold (other than alcoholic beverages, food
13consisting of or infused with adult use cannabis, soft drinks,
14and food that has been prepared for immediate consumption)
15which were received during the preceding calendar month,
16quarter, or year, as appropriate, and upon which tax would
17have been due but for the 0% rate imposed under Public Act
18102-700 this amendatory Act of the 102nd General Assembly. The
19return shall also include the amount of tax that would have
20been due on food for human consumption that is to be consumed
21off the premises where it is sold (other than alcoholic
22beverages, food consisting of or infused with adult use
23cannabis, soft drinks, and food that has been prepared for
24immediate consumption) but for the 0% rate imposed under
25Public Act 102-700 this amendatory Act of the 102nd General
26Assembly.

 

 

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1    On and after January 1, 2018, except for returns required
2to be filed prior to January 1, 2023 for motor vehicles,
3watercraft, aircraft, and trailers that are required to be
4registered with an agency of this State, with respect to
5retailers whose annual gross receipts average $20,000 or more,
6all returns required to be filed pursuant to this Act shall be
7filed electronically. On and after January 1, 2023, with
8respect to retailers whose annual gross receipts average
9$20,000 or more, all returns required to be filed pursuant to
10this Act, including, but not limited to, returns for motor
11vehicles, watercraft, aircraft, and trailers that are required
12to be registered with an agency of this State, shall be filed
13electronically. Retailers who demonstrate that they do not
14have access to the Internet or demonstrate hardship in filing
15electronically may petition the Department to waive the
16electronic filing requirement.
17    The Department may require returns to be filed on a
18quarterly basis. If so required, a return for each calendar
19quarter shall be filed on or before the twentieth day of the
20calendar month following the end of such calendar quarter. The
21taxpayer shall also file a return with the Department for each
22of the first two months of each calendar quarter, on or before
23the twentieth day of the following calendar month, stating:
24        1. The name of the seller;
25        2. The address of the principal place of business from
26    which he engages in the business of selling tangible

 

 

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1    personal property at retail in this State;
2        3. The total amount of taxable receipts received by
3    him during the preceding calendar month from sales of
4    tangible personal property by him during such preceding
5    calendar month, including receipts from charge and time
6    sales, but less all deductions allowed by law;
7        4. The amount of credit provided in Section 2d of this
8    Act;
9        5. The amount of tax due;
10        5-5. The signature of the taxpayer; and
11        6. Such other reasonable information as the Department
12    may require.
13    Each retailer required or authorized to collect the tax
14imposed by this Act on aviation fuel sold at retail in this
15State during the preceding calendar month shall, instead of
16reporting and paying tax on aviation fuel as otherwise
17required by this Section, report and pay such tax on a separate
18aviation fuel tax return. The requirements related to the
19return shall be as otherwise provided in this Section.
20Notwithstanding any other provisions of this Act to the
21contrary, retailers collecting tax on aviation fuel shall file
22all aviation fuel tax returns and shall make all aviation fuel
23tax payments by electronic means in the manner and form
24required by the Department. For purposes of this Section,
25"aviation fuel" means jet fuel and aviation gasoline.
26    If a taxpayer fails to sign a return within 30 days after

 

 

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1the proper notice and demand for signature by the Department,
2the return shall be considered valid and any amount shown to be
3due on the return shall be deemed assessed.
4    Notwithstanding any other provision of this Act to the
5contrary, retailers subject to tax on cannabis shall file all
6cannabis tax returns and shall make all cannabis tax payments
7by electronic means in the manner and form required by the
8Department.
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
14make all payments required by rules of the Department by
15electronic funds transfer. Beginning October 1, 1995, a
16taxpayer who has an average monthly tax liability of $50,000
17or more shall make all payments required by rules of the
18Department by electronic funds transfer. Beginning October 1,
192000, a taxpayer who has an annual tax liability of $200,000 or
20more shall make all payments required by rules of the
21Department by electronic funds transfer. The term "annual tax
22liability" shall be the sum of the taxpayer's liabilities
23under this Act, and under all other State and local occupation
24and use tax laws administered by the Department, for the
25immediately preceding calendar year. The term "average monthly
26tax liability" means the sum of the taxpayer's liabilities

 

 

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1under this Act, and under all other State and local occupation
2and use tax laws administered by the Department, for the
3immediately preceding calendar year divided by 12. Beginning
4on October 1, 2002, a taxpayer who has a tax liability in the
5amount set forth in subsection (b) of Section 2505-210 of the
6Department of Revenue Law shall make all payments required by
7rules of the Department by electronic funds transfer.
8    Before August 1 of each year beginning in 1993, the
9Department shall notify all taxpayers required to make
10payments by electronic funds transfer. All taxpayers required
11to make payments by electronic funds transfer shall make those
12payments for 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
19payments in 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    Before October 1, 2000, if the taxpayer's average monthly
24tax liability to the Department under this Act, the Retailers'
25Occupation Tax Act, the Service Occupation Tax Act, the
26Service Use Tax Act was $10,000 or more during the preceding 4

 

 

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1complete calendar quarters, he shall file a return with the
2Department each month by the 20th day of the month next
3following the month during which such tax liability is
4incurred and shall make payments to the Department on or
5before the 7th, 15th, 22nd and last day of the month during
6which such liability is incurred. On and after October 1,
72000, if the taxpayer's average monthly tax liability to the
8Department under this Act, the Retailers' Occupation Tax Act,
9the Service Occupation Tax Act, and the Service Use Tax Act was
10$20,000 or more during the preceding 4 complete calendar
11quarters, he shall file a return with the Department each
12month by the 20th day of the month next following the month
13during which such tax liability is incurred and shall make
14payment to the Department on or before the 7th, 15th, 22nd and
15last day of the month during which such liability is incurred.
16If the month during which such tax liability is incurred began
17prior to January 1, 1985, each payment shall be in an amount
18equal to 1/4 of the taxpayer's actual liability for the month
19or an amount set by the Department not to exceed 1/4 of the
20average monthly liability of the taxpayer to the Department
21for the preceding 4 complete calendar quarters (excluding the
22month of highest liability and the month of lowest liability
23in such 4 quarter period). If the month during which such tax
24liability is incurred begins on or after January 1, 1985, and
25prior to January 1, 1987, each payment shall be in an amount
26equal to 22.5% of the taxpayer's actual liability for the

 

 

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1month or 27.5% of the taxpayer's liability for the same
2calendar month of the preceding year. If the month during
3which such tax liability is incurred begins on or after
4January 1, 1987, and prior to January 1, 1988, each payment
5shall be in an amount equal to 22.5% of the taxpayer's actual
6liability for the month or 26.25% of the taxpayer's liability
7for the same calendar month of the preceding year. If the month
8during which such tax liability is incurred begins on or after
9January 1, 1988, and prior to January 1, 1989, or begins on or
10after January 1, 1996, each payment shall be in an amount equal
11to 22.5% of the taxpayer's actual liability for the month or
1225% of the taxpayer's liability for the same calendar month of
13the preceding year. If the month during which such tax
14liability is incurred begins on or after January 1, 1989, and
15prior to January 1, 1996, each payment shall be in an amount
16equal to 22.5% of the taxpayer's actual liability for the
17month or 25% of the taxpayer's liability for the same calendar
18month of the preceding year or 100% of the taxpayer's actual
19liability for the quarter monthly reporting period. The amount
20of such quarter monthly payments shall be credited against the
21final tax liability of the taxpayer's return for that month.
22Before October 1, 2000, once applicable, the requirement of
23the making of quarter monthly payments to the Department shall
24continue until such taxpayer's average monthly liability to
25the Department during the preceding 4 complete calendar
26quarters (excluding the month of highest liability and the

 

 

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1month of lowest liability) is less than $9,000, or until such
2taxpayer's average monthly liability to the Department as
3computed for each calendar quarter of the 4 preceding complete
4calendar quarter period is less than $10,000. However, if a
5taxpayer can show the Department that a substantial change in
6the taxpayer's business has occurred which causes the taxpayer
7to anticipate that his average monthly tax liability for the
8reasonably foreseeable future will fall below the $10,000
9threshold stated above, then such taxpayer may petition the
10Department for change in such taxpayer's reporting status. On
11and after October 1, 2000, once applicable, the requirement of
12the making of quarter monthly payments to the Department shall
13continue until such taxpayer's average monthly liability to
14the Department during the preceding 4 complete calendar
15quarters (excluding the month of highest liability and the
16month of lowest liability) is less than $19,000 or until such
17taxpayer's average monthly liability to the Department as
18computed for each calendar quarter of the 4 preceding complete
19calendar quarter period is less than $20,000. However, if a
20taxpayer can show the Department that a substantial change in
21the taxpayer's business has occurred which causes the taxpayer
22to anticipate that his average monthly tax liability for the
23reasonably foreseeable future will fall below the $20,000
24threshold stated above, then such taxpayer may petition the
25Department for a change in such taxpayer's reporting status.
26The Department shall change such taxpayer's reporting status

 

 

HB3201- 35 -LRB103 29494 HLH 55889 b

1unless it finds that such change is seasonal in nature and not
2likely to be long term. Quarter monthly payment status shall
3be determined under this paragraph as if the rate reduction to
41.25% in Public Act 102-700 and this amendatory Act of the
5103rd 102nd General Assembly on sales tax holiday items had
6not occurred. For quarter monthly payments due on or after
7July 1, 2023 and through June 30, 2025 June 30, 2024, "25% of
8the taxpayer's liability for the same calendar month of the
9preceding year" shall be determined as if the rate reduction
10to 1.25% in Public Act 102-700 and this amendatory Act of the
11103rd 102nd General Assembly on sales tax holiday items had
12not occurred. Quarter monthly payment status shall be
13determined under this paragraph as if the rate reduction to 0%
14in Public Act 102-700 this amendatory Act of the 102nd General
15Assembly on food for human consumption that is to be consumed
16off the premises where it is sold (other than alcoholic
17beverages, food consisting of or infused with adult use
18cannabis, soft drinks, and food that has been prepared for
19immediate consumption) had not occurred. For quarter monthly
20payments due under this paragraph on or after July 1, 2023 and
21through June 30, 2024, "25% of the taxpayer's liability for
22the same calendar month of the preceding year" shall be
23determined as if the rate reduction to 0% in Public Act 102-700
24this amendatory Act of the 102nd General Assembly had not
25occurred. If any such quarter monthly payment is not paid at
26the time or in the amount required by this Section, then the

 

 

HB3201- 36 -LRB103 29494 HLH 55889 b

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

 

 

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1the taxpayer may credit such excess payment against tax
2liability subsequently to be remitted by the taxpayer to the
3Department under this Act, the Retailers' Occupation Tax Act,
4the Service Occupation Tax Act or the Service Use Tax Act, in
5accordance with reasonable rules and regulations prescribed by
6the Department. If the Department subsequently determines that
7all or any part of the credit taken was not actually due to the
8taxpayer, the taxpayer's 2.1% or 1.75% vendor's discount shall
9be reduced by 2.1% or 1.75% of the difference between the
10credit taken and that actually due, and the taxpayer shall be
11liable for penalties and interest on such difference.
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
17year being due by April 20 of such year; with the return for
18April, May and June of a given year being due by July 20 of
19such year; with the return for July, August and September of a
20given year being due by October 20 of such year, and with the
21return for October, November and December of a given year
22being due by January 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 to the Department does not exceed $50, the
26Department may authorize his returns to be filed on an annual

 

 

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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
5monthly returns.
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    In addition, with respect to motor vehicles, watercraft,
14aircraft, and trailers that are required to be registered with
15an agency of this State, except as otherwise provided in this
16Section, every retailer selling this kind of tangible personal
17property shall file, with the Department, upon a form to be
18prescribed and supplied by the Department, a separate return
19for each such item of tangible personal property which the
20retailer sells, except that if, in the same transaction, (i) a
21retailer of aircraft, watercraft, motor vehicles or trailers
22transfers more than one aircraft, watercraft, motor vehicle or
23trailer to another aircraft, watercraft, motor vehicle or
24trailer retailer for the purpose of resale or (ii) a retailer
25of aircraft, watercraft, motor vehicles, or trailers transfers
26more than one aircraft, watercraft, motor vehicle, or trailer

 

 

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1to a purchaser for use as a qualifying rolling stock as
2provided in Section 3-55 of this Act, then that seller may
3report the transfer of all the aircraft, watercraft, motor
4vehicles or trailers involved in that transaction to the
5Department on the same uniform invoice-transaction reporting
6return form. For purposes of this Section, "watercraft" means
7a Class 2, Class 3, or Class 4 watercraft as defined in Section
83-2 of the Boat Registration and Safety Act, a personal
9watercraft, or any boat equipped with an inboard motor.
10    In addition, with respect to motor vehicles, watercraft,
11aircraft, and trailers that are required to be registered with
12an agency of this State, every person who is engaged in the
13business of leasing or renting such items and who, in
14connection with such business, sells any such item to a
15retailer for the purpose of resale is, notwithstanding any
16other provision of this Section to the contrary, authorized to
17meet the return-filing requirement of this Act by reporting
18the transfer of all the aircraft, watercraft, motor vehicles,
19or trailers transferred for resale during a month to the
20Department on the same uniform invoice-transaction reporting
21return form on or before the 20th of the month following the
22month in which the transfer takes place. Notwithstanding any
23other provision of this Act to the contrary, all returns filed
24under this paragraph must be filed by electronic means in the
25manner and form as required by the Department.
26    The transaction reporting return in the case of motor

 

 

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

 

 

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

 

 

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

 

 

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1and the remittance for tax or proof of exemption directly to
2the Department and obtain his tax receipt or exemption
3determination, in which event the transaction reporting return
4and tax remittance (if a tax payment was required) shall be
5credited by the Department to the proper retailer's account
6with the Department, but without the 2.1% or 1.75% discount
7provided for in this Section being allowed. When the user pays
8the tax directly to the Department, he shall pay the tax in the
9same amount and in the same form in which it would be remitted
10if the tax had been remitted to the Department by the retailer.
11    Where a retailer collects the tax with respect to the
12selling price of tangible personal property which he sells and
13the purchaser thereafter returns such tangible personal
14property and the retailer refunds the selling price thereof to
15the purchaser, such retailer shall also refund, to the
16purchaser, the tax so collected from the purchaser. When
17filing his return for the period in which he refunds such tax
18to the purchaser, the retailer may deduct the amount of the tax
19so refunded by him to the purchaser from any other use tax
20which such retailer may be required to pay or remit to the
21Department, as shown by such return, if the amount of the tax
22to be deducted was previously remitted to the Department by
23such retailer. If the retailer has not previously remitted the
24amount of such tax to the Department, he is entitled to no
25deduction under this Act upon refunding such tax to the
26purchaser.

 

 

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1    Any retailer filing a return under this Section shall also
2include (for the purpose of paying tax thereon) the total tax
3covered by such return upon the selling price of tangible
4personal property purchased by him at retail from a retailer,
5but as to which the tax imposed by this Act was not collected
6from the retailer filing such return, and such retailer shall
7remit the amount of such tax to the Department when filing such
8return.
9    If experience indicates such action to be practicable, the
10Department may prescribe and furnish a combination or joint
11return which will enable retailers, who are required to file
12returns hereunder and also under the Retailers' Occupation Tax
13Act, to furnish all the return information required by both
14Acts on the one form.
15    Where the retailer has more than one business registered
16with the Department under separate registration under this
17Act, such retailer may not file each return that is due as a
18single return covering all such registered businesses, but
19shall file separate returns for each such registered business.
20    Beginning January 1, 1990, each month the Department shall
21pay into the State and Local Sales Tax Reform Fund, a special
22fund in the State Treasury which is hereby created, the net
23revenue realized for the preceding month from the 1% tax
24imposed under this Act.
25    Beginning January 1, 1990, each month the Department shall
26pay into the County and Mass Transit District Fund 4% of the

 

 

HB3201- 45 -LRB103 29494 HLH 55889 b

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

 

 

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1as the revenue use requirements of 49 U.S.C. 47107(b) and 49
2U.S.C. 47133 are binding on the State.
3    Beginning August 1, 2000, each month the Department shall
4pay into the State and Local Sales Tax Reform Fund 100% of the
5net revenue realized for the preceding month from the 1.25%
6rate on the selling price of motor fuel and gasohol. If, in any
7month, the tax on sales tax holiday items, as defined in
8Section 3-6, is imposed at the rate of 1.25%, then the
9Department shall pay 100% of the net revenue realized for that
10month from the 1.25% rate on the selling price of sales tax
11holiday items into the State and Local Sales Tax Reform Fund.
12    Beginning January 1, 1990, each month the Department shall
13pay into the Local Government Tax Fund 16% of the net revenue
14realized for the preceding month from the 6.25% general rate
15on the selling price of tangible personal property which is
16purchased outside Illinois at retail from a retailer and which
17is titled or registered by an agency of this State's
18government.
19    Beginning October 1, 2009, each month the Department shall
20pay into the Capital Projects Fund an amount that is equal to
21an amount estimated by the Department to represent 80% of the
22net revenue realized for the preceding month from the sale of
23candy, grooming and hygiene products, and soft drinks that had
24been taxed at a rate of 1% prior to September 1, 2009 but that
25are now taxed at 6.25%.
26    Beginning July 1, 2011, each month the Department shall

 

 

HB3201- 47 -LRB103 29494 HLH 55889 b

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

 

 

HB3201- 48 -LRB103 29494 HLH 55889 b

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

 

 

HB3201- 49 -LRB103 29494 HLH 55889 b

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

 

 

HB3201- 50 -LRB103 29494 HLH 55889 b

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

 

 

HB3201- 51 -LRB103 29494 HLH 55889 b

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

 

 

HB3201- 52 -LRB103 29494 HLH 55889 b

12016189,000,000
22017199,000,000
32018210,000,000
42019221,000,000
52020233,000,000
62021300,000,000
72022300,000,000
82023300,000,000
92024 300,000,000
102025 300,000,000
112026 300,000,000
122027 375,000,000
132028 375,000,000
142029 375,000,000
152030 375,000,000
162031 375,000,000
172032 375,000,000
182033 375,000,000
192034375,000,000
202035375,000,000
212036450,000,000
22and
23each fiscal year
24thereafter that bonds
25are outstanding under
26Section 13.2 of the

 

 

HB3201- 53 -LRB103 29494 HLH 55889 b

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

 

 

HB3201- 54 -LRB103 29494 HLH 55889 b

1under this paragraph for so long as the revenue use
2requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
3binding on the State.
4    Subject to payment of amounts into the Build Illinois Fund
5and the McCormick Place Expansion Project Fund pursuant to the
6preceding paragraphs or in any amendments thereto hereafter
7enacted, beginning July 1, 1993 and ending on September 30,
82013, the Department shall each month pay into the Illinois
9Tax Increment Fund 0.27% of 80% of the net revenue realized for
10the preceding month from the 6.25% general rate on the selling
11price of tangible personal property.
12    Subject to payment of amounts into the Build Illinois Fund
13and the McCormick Place Expansion Project Fund pursuant to the
14preceding paragraphs or in any amendments thereto hereafter
15enacted, beginning with the receipt of the first report of
16taxes paid by an eligible business and continuing for a
1725-year period, the Department shall each month pay into the
18Energy Infrastructure Fund 80% of the net revenue realized
19from the 6.25% general rate on the selling price of
20Illinois-mined coal that was sold to an eligible business. For
21purposes of this paragraph, the term "eligible business" means
22a new electric generating facility certified pursuant to
23Section 605-332 of the Department of Commerce and Economic
24Opportunity Law of the Civil Administrative Code of Illinois.
25    Subject to payment of amounts into the Build Illinois
26Fund, the McCormick Place Expansion Project Fund, the Illinois

 

 

HB3201- 55 -LRB103 29494 HLH 55889 b

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

 

 

HB3201- 56 -LRB103 29494 HLH 55889 b

1public-private agreement between the public agency and private
2entity and completion of the civic build, beginning on July 1,
32023, of the remainder of the moneys received by the
4Department under the Use Tax Act, the Service Use Tax Act, the
5Service Occupation Tax Act, and this Act, the Department shall
6deposit the following specified deposits in the aggregate from
7collections under the Use Tax Act, the Service Use Tax Act, the
8Service Occupation Tax Act, and the Retailers' Occupation Tax
9Act, as required under Section 8.25g of the State Finance Act
10for distribution consistent with the Public-Private
11Partnership for Civic and Transit Infrastructure Project Act.
12The moneys received by the Department pursuant to this Act and
13required to be deposited into the Civic and Transit
14Infrastructure Fund are subject to the pledge, claim, and
15charge set forth in Section 25-55 of the Public-Private
16Partnership for Civic and Transit Infrastructure Project Act.
17As used in this paragraph, "civic build", "private entity",
18"public-private agreement", and "public agency" have the
19meanings provided in Section 25-10 of the Public-Private
20Partnership for Civic and Transit Infrastructure Project Act.
21        Fiscal Year............................Total Deposit
22        2024....................................$200,000,000
23        2025....................................$206,000,000
24        2026....................................$212,200,000
25        2027....................................$218,500,000
26        2028....................................$225,100,000

 

 

HB3201- 57 -LRB103 29494 HLH 55889 b

1        2029....................................$288,700,000
2        2030....................................$298,900,000
3        2031....................................$309,300,000
4        2032....................................$320,100,000
5        2033....................................$331,200,000
6        2034....................................$341,200,000
7        2035....................................$351,400,000
8        2036....................................$361,900,000
9        2037....................................$372,800,000
10        2038....................................$384,000,000
11        2039....................................$395,500,000
12        2040....................................$407,400,000
13        2041....................................$419,600,000
14        2042....................................$432,200,000
15        2043....................................$445,100,000
16    Beginning July 1, 2021 and until July 1, 2022, subject to
17the payment of amounts into the State and Local Sales Tax
18Reform Fund, the Build Illinois Fund, the McCormick Place
19Expansion Project Fund, the Illinois Tax Increment Fund, the
20Energy Infrastructure Fund, and the Tax Compliance and
21Administration Fund as provided in this Section, the
22Department shall pay each month into the Road Fund the amount
23estimated to represent 16% of the net revenue realized from
24the taxes imposed on motor fuel and gasohol. Beginning July 1,
252022 and until July 1, 2023, subject to the payment of amounts
26into the State and Local Sales Tax Reform Fund, the Build

 

 

HB3201- 58 -LRB103 29494 HLH 55889 b

1Illinois Fund, the McCormick Place Expansion Project Fund, the
2Illinois Tax Increment Fund, the Energy Infrastructure Fund,
3and the Tax Compliance and Administration Fund as provided in
4this Section, the Department shall pay each month into the
5Road Fund the amount estimated to represent 32% of the net
6revenue realized from the taxes imposed on motor fuel and
7gasohol. Beginning July 1, 2023 and until July 1, 2024,
8subject to the payment of amounts into the State and Local
9Sales Tax Reform Fund, the Build Illinois Fund, the McCormick
10Place Expansion Project Fund, the Illinois Tax Increment Fund,
11the Energy Infrastructure Fund, and the Tax Compliance and
12Administration Fund as provided in this Section, the
13Department shall pay each month into the Road Fund the amount
14estimated to represent 48% of the net revenue realized from
15the taxes imposed on motor fuel and gasohol. Beginning July 1,
162024 and until July 1, 2025, subject to the payment of amounts
17into the State and Local Sales Tax Reform Fund, the Build
18Illinois Fund, the McCormick Place Expansion Project Fund, the
19Illinois Tax Increment Fund, the Energy Infrastructure Fund,
20and the Tax Compliance and Administration Fund as provided in
21this Section, the Department shall pay each month into the
22Road Fund the amount estimated to represent 64% of the net
23revenue realized from the taxes imposed on motor fuel and
24gasohol. Beginning on July 1, 2025, subject to the payment of
25amounts into the State and Local Sales Tax Reform Fund, the
26Build Illinois Fund, the McCormick Place Expansion Project

 

 

HB3201- 59 -LRB103 29494 HLH 55889 b

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

 

 

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1    For greater simplicity of administration, manufacturers,
2importers and wholesalers whose products are sold at retail in
3Illinois by numerous retailers, and who wish to do so, may
4assume the responsibility for accounting and paying to the
5Department all tax accruing under this Act with respect to
6such sales, if the retailers who are affected do not make
7written objection to the Department to this arrangement.
8(Source: P.A. 101-10, Article 15, Section 15-10, eff. 6-5-19;
9101-10, Article 25, Section 25-105, eff. 6-5-19; 101-27, eff.
106-25-19; 101-32, eff. 6-28-19; 101-604, eff. 12-13-19;
11101-636, eff. 6-10-20; 102-700, Article 60, Section 60-15,
12eff. 4-19-22; 102-700, Article 65, Section 65-5, eff. 4-19-22;
13102-1019, eff. 1-1-23; revised 12-13-22.)
 
14    Section 15. The Retailers' Occupation Tax Act is amended
15by changing Sections 2-8, 2-10, and 3 as follows:
 
16    (35 ILCS 120/2-8)
17    Sec. 2-8. Sales tax holiday items.
18    (a) Any tangible personal property described in this
19subsection is a sales tax holiday item and qualifies for the
201.25% reduced rate of tax during the sales tax holiday period
21for the period set forth in Section 2-10 of this Act
22(hereinafter referred to as the Sales Tax Holiday Period). The
23reduced rate on these items shall be administered under the
24provisions of subsection (b) of this Section. The following

 

 

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1items are subject to the reduced rate:
2        (1) Clothing items that each have a retail selling
3    price of less than $125.
4        "Clothing" means, unless otherwise specified in this
5    Section, all human wearing apparel suitable for general
6    use. "Clothing" does not include clothing accessories,
7    protective equipment, or sport or recreational equipment.
8    "Clothing" includes, but is not limited to: household and
9    shop aprons; athletic supporters; bathing suits and caps;
10    belts and suspenders; boots; coats and jackets; ear muffs;
11    footlets; gloves and mittens for general use; hats and
12    caps; hosiery; insoles for shoes; lab coats; neckties;
13    overshoes; pantyhose; rainwear; rubber pants; sandals;
14    scarves; shoes and shoelaces; slippers; sneakers; socks
15    and stockings; steel-toed shoes; underwear; and school
16    uniforms.
17        "Clothing accessories" means, but is not limited to:
18    briefcases; cosmetics; hair notions, including, but not
19    limited to barrettes, hair bows, and hair nets; handbags;
20    handkerchiefs; jewelry; non-prescription sunglasses;
21    umbrellas; wallets; watches; and wigs and hair pieces.
22        "Protective equipment" means, but is not limited to:
23    breathing masks; clean room apparel and equipment; ear and
24    hearing protectors; face shields; hard hats; helmets;
25    paint or dust respirators; protective gloves; safety
26    glasses and goggles; safety belts; tool belts; and

 

 

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1    welder's gloves and masks.
2        "Sport or recreational equipment" means, but is not
3    limited to: ballet and tap shoes; cleated or spiked
4    athletic shoes; gloves, including, but not limited to,
5    baseball, bowling, boxing, hockey, and golf gloves;
6    goggles; hand and elbow guards; life preservers and vests;
7    mouth guards; roller and ice skates; shin guards; shoulder
8    pads; ski boots; waders; and wetsuits and fins.
9        (2) School supplies. "School supplies" means, unless
10    otherwise specified in this Section, items used by a
11    student in a course of study. The purchase of school
12    supplies for use by persons other than students for use in
13    a course of study are not eligible for the reduced rate of
14    tax. "School supplies" do not include school art supplies;
15    school instructional materials; cameras; film and memory
16    cards; videocameras, tapes, and videotapes; computers;
17    cell phones; Personal Digital Assistants (PDAs); handheld
18    electronic schedulers; and school computer supplies.
19        "School supplies" includes, but is not limited to:
20    binders; book bags; calculators; cellophane tape;
21    blackboard chalk; compasses; composition books; crayons;
22    erasers; expandable, pocket, plastic, and manila folders;
23    glue, paste, and paste sticks; highlighters; index cards;
24    index card boxes; legal pads; lunch boxes; markers;
25    notebooks; paper, including loose leaf ruled notebook
26    paper, copy paper, graph paper, tracing paper, manila

 

 

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1    paper, colored paper, poster board, and construction
2    paper; pencils; pencil leads; pens; ink and ink refills
3    for pens; pencil boxes and other school supply boxes;
4    pencil sharpeners; protractors; rulers; scissors; and
5    writing tablets.
6        "School art supply" means an item commonly used by a
7    student in a course of study for artwork and includes only
8    the following items: clay and glazes; acrylic, tempera,
9    and oil paint; paintbrushes for artwork; sketch and
10    drawing pads; and watercolors.
11        "School instructional material" means written material
12    commonly used by a student in a course of study as a
13    reference and to learn the subject being taught and
14    includes only the following items: reference books;
15    reference maps and globes; textbooks; and workbooks.
16        "School computer supply" means an item commonly used
17    by a student in a course of study in which a computer is
18    used and applies only to the following items: flashdrives
19    and other computer data storage devices; data storage
20    media, such as diskettes and compact disks; boxes and
21    cases for disk storage; external ports or drives; computer
22    cases; computer cables; computer printers; and printer
23    cartridges, toner, and ink.
24    (b) Administration. Notwithstanding any other provision of
25this Act, the reduced rate of tax under Section 3-10 of this
26Act for clothing and school supplies shall be administered by

 

 

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1the Department under the provisions of this subsection (b).
2        (1) Bundled sales. Items that qualify for the reduced
3    rate of tax that are bundled together with items that do
4    not qualify for the reduced rate of tax and that are sold
5    for one itemized price will be subject to the reduced rate
6    of tax only if the value of the items that qualify for the
7    reduced rate of tax exceeds the value of the items that do
8    not qualify for the reduced rate of tax.
9        (2) Coupons and discounts. An unreimbursed discount by
10    the seller reduces the sales price of the property so that
11    the discounted sales price determines whether the sales
12    price is within a sales tax holiday price threshold. A
13    coupon or other reduction in the sales price is treated as
14    a discount if the seller is not reimbursed for the coupon
15    or reduction amount by a third party.
16        (3) Splitting of items normally sold together.
17    Articles that are normally sold as a single unit must
18    continue to be sold in that manner. Such articles cannot
19    be priced separately and sold as individual items in order
20    to obtain the reduced rate of tax. For example, a pair of
21    shoes cannot have each shoe sold separately so that the
22    sales price of each shoe is within a sales tax holiday
23    price threshold.
24        (4) Rain checks. A rain check is a procedure that
25    allows a customer to purchase an item at a certain price at
26    a later time because the particular item was out of stock.

 

 

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1    Eligible property that customers purchase during the Sales
2    Tax Holiday Period with the use of a rain check will
3    qualify for the reduced rate of tax regardless of when the
4    rain check was issued. Issuance of a rain check during the
5    Sales Tax Holiday Period will not qualify eligible
6    property for the reduced rate of tax if the property is
7    actually purchased after the Sales Tax Holiday Period.
8        (5) Exchanges. The procedure for an exchange in
9    regards to a sales tax holiday is as follows:
10            (A) If a customer purchases an item of eligible
11        property during the Sales Tax Holiday Period, but
12        later exchanges the item for a similar eligible item,
13        even if a different size, different color, or other
14        feature, no additional tax is due even if the exchange
15        is made after the Sales Tax Holiday Period.
16            (B) If a customer purchases an item of eligible
17        property during the Sales Tax Holiday Period, but
18        after the Sales Tax Holiday Period has ended, the
19        customer returns the item and receives credit on the
20        purchase of a different item, the 6.25% general
21        merchandise sales tax rate is due on the sale of the
22        newly purchased item.
23            (C) If a customer purchases an item of eligible
24        property before the Sales Tax Holiday Period, but
25        during the Sales Tax Holiday Period the customer
26        returns the item and receives credit on the purchase

 

 

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1        of a different item of eligible property, the reduced
2        rate of tax is due on the sale of the new item if the
3        new item is purchased during the Sales Tax Holiday
4        Period.
5        (6) (Blank).
6        (7) Order date and back orders. For the purpose of a
7    sales tax holiday, eligible property qualifies for the
8    reduced rate of tax if: (i) the item is both delivered to
9    and paid for by the customer during the Sales Tax Holiday
10    Period or (ii) the customer orders and pays for the item
11    and the seller accepts the order during the Sales Tax
12    Holiday Period for immediate shipment, even if delivery is
13    made after the Sales Tax Holiday Period. The seller
14    accepts an order when the seller has taken action to fill
15    the order for immediate shipment. Actions to fill an order
16    include placement of an "in date" stamp on an order or
17    assignment of an "order number" to an order within the
18    Sales Tax Holiday Period. An order is for immediate
19    shipment when the customer does not request delayed
20    shipment. An order is for immediate shipment
21    notwithstanding that the shipment may be delayed because
22    of a backlog of orders or because stock is currently
23    unavailable to, or on back order by, the seller.
24        (8) Returns. For a 60-day period immediately after the
25    Sales Tax Holiday Period, if a customer returns an item
26    that would qualify for the reduced rate of tax, credit for

 

 

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1    or refund of sales tax shall be given only at the reduced
2    rate unless the customer provides a receipt or invoice
3    that shows tax was paid at the 6.25% general merchandise
4    rate, or the seller has sufficient documentation to show
5    that tax was paid at the 6.25% general merchandise rate on
6    the specific item. This 60-day period is set solely for
7    the purpose of designating a time period during which the
8    customer must provide documentation that shows that the
9    appropriate sales tax rate was paid on returned
10    merchandise. The 60-day period is not intended to change a
11    seller's policy on the time period during which the seller
12    will accept returns.
13    (c) The Department may implement the provisions of this
14Section through the use of emergency rules, along with
15permanent rules filed concurrently with such emergency rules,
16in accordance with the provisions of Section 5-45 of the
17Illinois Administrative Procedure Act. For purposes of the
18Illinois Administrative Procedure Act, the adoption of rules
19to implement the provisions of this Section shall be deemed an
20emergency and necessary for the public interest, safety, and
21welfare.
22    (d) As used in this Section, "sales tax holiday period"
23means:
24        (1) from August 6, 2010 through August 15, 2010;
25        (2) from August 5, 2022 through August 14, 2022; and
26        (3) from August 5, 2023 through August 14, 2023.

 

 

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1(Source: P.A. 102-700, eff. 4-19-22.)
 
2    (35 ILCS 120/2-10)
3    Sec. 2-10. Rate of tax. Unless otherwise provided in this
4Section, the tax imposed by this Act is at the rate of 6.25% of
5gross receipts from sales of tangible personal property made
6in the course of business.
7    Beginning on July 1, 2000 and through December 31, 2000,
8with respect to motor fuel, as defined in Section 1.1 of the
9Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
10the Use Tax Act, the tax is imposed at the rate of 1.25%.
11    During the sales tax holiday period set forth in Section
122-8, Beginning on August 6, 2010 through August 15, 2010, and
13beginning again on August 5, 2022 through August 14, 2022,
14with respect to sales tax holiday items as defined in Section
152-8 of this Act, the tax is imposed at the rate of 1.25%.
16    Within 14 days after July 1, 2000 (the effective date of
17Public Act 91-872) this amendatory Act of the 91st General
18Assembly, each retailer of motor fuel and gasohol shall cause
19the following notice to be posted in a prominently visible
20place on each retail dispensing device that is used to
21dispense motor fuel or gasohol in the State of Illinois: "As of
22July 1, 2000, the State of Illinois has eliminated the State's
23share of sales tax on motor fuel and gasohol through December
2431, 2000. The price on this pump should reflect the
25elimination of the tax." The notice shall be printed in bold

 

 

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1print on a sign that is no smaller than 4 inches by 8 inches.
2The sign shall be clearly visible to customers. Any retailer
3who fails to post or maintain a required sign through December
431, 2000 is guilty of a petty offense for which the fine shall
5be $500 per day per each retail premises where a violation
6occurs.
7    With respect to gasohol, as defined in the Use Tax Act, the
8tax imposed by this Act applies to (i) 70% of the proceeds of
9sales made on or after January 1, 1990, and before July 1,
102003, (ii) 80% of the proceeds of sales made on or after July
111, 2003 and on or before July 1, 2017, and (iii) 100% of the
12proceeds of sales made thereafter. If, at any time, however,
13the tax under this Act on sales of gasohol, as defined in the
14Use Tax Act, is imposed at the rate of 1.25%, then the tax
15imposed by this Act applies to 100% of the proceeds of sales of
16gasohol made during that time.
17    With respect to majority blended ethanol fuel, as defined
18in the Use Tax Act, the tax imposed by this Act does not apply
19to the proceeds of sales made on or after July 1, 2003 and on
20or before December 31, 2023 but applies to 100% of the proceeds
21of sales made thereafter.
22    With respect to biodiesel blends, as defined in the Use
23Tax Act, with no less than 1% and no more than 10% biodiesel,
24the tax imposed by this Act applies to (i) 80% of the proceeds
25of sales made on or after July 1, 2003 and on or before
26December 31, 2018 and (ii) 100% of the proceeds of sales made

 

 

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1after December 31, 2018 and before January 1, 2024. On and
2after January 1, 2024 and on or before December 31, 2030, the
3taxation of biodiesel, renewable diesel, and biodiesel blends
4shall be as provided in Section 3-5.1 of the Use Tax Act. If,
5at any time, however, the tax under this Act on sales of
6biodiesel blends, as defined in the Use Tax Act, with no less
7than 1% and no more than 10% biodiesel is imposed at the rate
8of 1.25%, then the tax imposed by this Act applies to 100% of
9the proceeds of sales of biodiesel blends with no less than 1%
10and no more than 10% biodiesel made during that time.
11    With respect to biodiesel, as defined in the Use Tax Act,
12and biodiesel blends, as defined in the Use Tax Act, with more
13than 10% but no more than 99% biodiesel, the tax imposed by
14this Act does not apply to the proceeds of sales made on or
15after July 1, 2003 and on or before December 31, 2023. On and
16after January 1, 2024 and on or before December 31, 2030, the
17taxation of biodiesel, renewable diesel, and biodiesel blends
18shall be as provided in Section 3-5.1 of the Use Tax Act.
19    Until July 1, 2022 and beginning again on July 1, 2023,
20with respect to food for human consumption that is to be
21consumed off the premises where it is sold (other than
22alcoholic beverages, food consisting of or infused with adult
23use cannabis, soft drinks, and food that has been prepared for
24immediate consumption), the tax is imposed at the rate of 1%.
25Beginning July 1, 2022 and until July 1, 2023, with respect to
26food for human consumption that is to be consumed off the

 

 

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1premises where it is sold (other than alcoholic beverages,
2food consisting of or infused with adult use cannabis, soft
3drinks, and food that has been prepared for immediate
4consumption), the tax is imposed at the rate of 0%.
5    With respect to prescription and nonprescription
6medicines, drugs, medical appliances, products classified as
7Class III medical devices by the United States Food and Drug
8Administration that are used for cancer treatment pursuant to
9a prescription, as well as any accessories and components
10related to those devices, modifications to a motor vehicle for
11the purpose of rendering it usable by a person with a
12disability, and insulin, blood sugar testing materials,
13syringes, and needles used by human diabetics, the tax is
14imposed at the rate of 1%. For the purposes of this Section,
15until September 1, 2009: the term "soft drinks" means any
16complete, finished, ready-to-use, non-alcoholic drink, whether
17carbonated or not, including, but not limited to, soda water,
18cola, fruit juice, vegetable juice, carbonated water, and all
19other preparations commonly known as soft drinks of whatever
20kind or description that are contained in any closed or sealed
21bottle, can, carton, or container, regardless of size; but
22"soft drinks" does not include coffee, tea, non-carbonated
23water, infant formula, milk or milk products as defined in the
24Grade A Pasteurized Milk and Milk Products Act, or drinks
25containing 50% or more natural fruit or vegetable juice.
26    Notwithstanding any other provisions of this Act,

 

 

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1beginning September 1, 2009, "soft drinks" means non-alcoholic
2beverages that contain natural or artificial sweeteners. "Soft
3drinks" does do not include beverages that contain milk or
4milk products, soy, rice or similar milk substitutes, or
5greater than 50% of vegetable or fruit juice by volume.
6    Until August 1, 2009, and notwithstanding any other
7provisions of this Act, "food for human consumption that is to
8be consumed off the premises where it is sold" includes all
9food sold through a vending machine, except soft drinks and
10food products that are dispensed hot from a vending machine,
11regardless of the location of the vending machine. Beginning
12August 1, 2009, and notwithstanding any other provisions of
13this Act, "food for human consumption that is to be consumed
14off the premises where it is sold" includes all food sold
15through a vending machine, except soft drinks, candy, and food
16products that are dispensed hot from a vending machine,
17regardless of the location of the vending machine.
18    Notwithstanding any other provisions of this Act,
19beginning September 1, 2009, "food for human consumption that
20is to be consumed off the premises where it is sold" does not
21include candy. For purposes of this Section, "candy" means a
22preparation of sugar, honey, or other natural or artificial
23sweeteners in combination with chocolate, fruits, nuts or
24other ingredients or flavorings in the form of bars, drops, or
25pieces. "Candy" does not include any preparation that contains
26flour or requires refrigeration.

 

 

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1    Notwithstanding any other provisions of this Act,
2beginning September 1, 2009, "nonprescription medicines and
3drugs" does not include grooming and hygiene products. For
4purposes of this Section, "grooming and hygiene products"
5includes, but is not limited to, soaps and cleaning solutions,
6shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
7lotions and screens, unless those products are available by
8prescription only, regardless of whether the products meet the
9definition of "over-the-counter-drugs". For the purposes of
10this paragraph, "over-the-counter-drug" means a drug for human
11use that contains a label that identifies the product as a drug
12as required by 21 CFR C.F.R. 201.66. The
13"over-the-counter-drug" label includes:
14        (A) a A "Drug Facts" panel; or
15        (B) a A statement of the "active ingredient(s)" with a
16    list of those ingredients contained in the compound,
17    substance or preparation.
18    Beginning on January 1, 2014 (the effective date of Public
19Act 98-122) this amendatory Act of the 98th General Assembly,
20"prescription and nonprescription medicines and drugs"
21includes medical cannabis purchased from a registered
22dispensing organization under the Compassionate Use of Medical
23Cannabis Program Act.
24    As used in this Section, "adult use cannabis" means
25cannabis subject to tax under the Cannabis Cultivation
26Privilege Tax Law and the Cannabis Purchaser Excise Tax Law

 

 

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1and does not include cannabis subject to tax under the
2Compassionate Use of Medical Cannabis Program Act.
3(Source: P.A. 101-363, eff. 8-9-19; 101-593, eff. 12-4-19;
4102-4, eff. 4-27-21; 102-700, Article 20, Section 20-20, eff.
54-19-22; 102-700, Article 60, Section 60-30, eff. 4-19-22;
6102-700, Article 65, Section 65-10, eff. 4-19-22; revised
76-1-22.)
 
8    (35 ILCS 120/3)  (from Ch. 120, par. 442)
9    Sec. 3. Except as provided in this Section, on or before
10the twentieth day of each calendar month, every person engaged
11in the business of selling tangible personal property at
12retail in this State during the preceding calendar month shall
13file a return with the Department, stating:
14        1. The name of the seller;
15        2. His residence address and the address of his
16    principal place of business and the address of the
17    principal place of business (if that is a different
18    address) from which he engages in the business of selling
19    tangible personal property at retail in this State;
20        3. Total amount of receipts received by him during the
21    preceding calendar month or quarter, as the case may be,
22    from sales of tangible personal property, and from
23    services furnished, by him during such preceding calendar
24    month or quarter;
25        4. Total amount received by him during the preceding

 

 

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1    calendar month or quarter on charge and time sales of
2    tangible personal property, and from services furnished,
3    by him prior to the month or quarter for which the return
4    is filed;
5        5. Deductions allowed by law;
6        6. Gross receipts which were received by him during
7    the preceding calendar month or quarter and upon the basis
8    of which the tax is imposed, including gross receipts on
9    food for human consumption that is to be consumed off the
10    premises where it is sold (other than alcoholic beverages,
11    food consisting of or infused with adult use cannabis,
12    soft drinks, and food that has been prepared for immediate
13    consumption) which were received during the preceding
14    calendar month or quarter and upon which tax would have
15    been due but for the 0% rate imposed under Public Act
16    102-700 this amendatory Act of the 102nd General Assembly;
17        7. The amount of credit provided in Section 2d of this
18    Act;
19        8. The amount of tax due, including the amount of tax
20    that would have been due on food for human consumption
21    that is to be consumed off the premises where it is sold
22    (other than alcoholic beverages, food consisting of or
23    infused with adult use cannabis, soft drinks, and food
24    that has been prepared for immediate consumption) but for
25    the 0% rate imposed under Public Act 102-700 this
26    amendatory Act of the 102nd General Assembly;

 

 

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1        9. The signature of the taxpayer; and
2        10. Such other reasonable information as the
3    Department may require.
4    On and after January 1, 2018, except for returns required
5to be filed prior to January 1, 2023 for motor vehicles,
6watercraft, aircraft, and trailers that are required to be
7registered with an agency of this State, with respect to
8retailers whose annual gross receipts average $20,000 or more,
9all returns required to be filed pursuant to this Act shall be
10filed electronically. On and after January 1, 2023, with
11respect to retailers whose annual gross receipts average
12$20,000 or more, all returns required to be filed pursuant to
13this Act, including, but not limited to, returns for motor
14vehicles, watercraft, aircraft, and trailers that are required
15to be registered with an agency of this State, shall be filed
16electronically. Retailers who demonstrate that they do not
17have access to the Internet or demonstrate hardship in filing
18electronically may petition the Department to waive the
19electronic filing requirement.
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    Each return shall be accompanied by the statement of
25prepaid tax issued pursuant to Section 2e for which credit is
26claimed.

 

 

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1    Prior to October 1, 2003, and on and after September 1,
22004 a retailer may accept a Manufacturer's Purchase Credit
3certification from a purchaser in satisfaction of Use Tax as
4provided in Section 3-85 of the Use Tax Act if the purchaser
5provides the appropriate documentation as required by Section
63-85 of the Use Tax Act. A Manufacturer's Purchase Credit
7certification, accepted by a retailer prior to October 1, 2003
8and on and after September 1, 2004 as provided in Section 3-85
9of the Use Tax Act, may be used by that retailer to satisfy
10Retailers' Occupation Tax liability in the amount claimed in
11the certification, not to exceed 6.25% of the receipts subject
12to tax from a qualifying purchase. A Manufacturer's Purchase
13Credit reported on any original or amended return filed under
14this Act after October 20, 2003 for reporting periods prior to
15September 1, 2004 shall be disallowed. Manufacturer's Purchase
16Credit reported on annual returns due on or after January 1,
172005 will be disallowed for periods prior to September 1,
182004. No Manufacturer's Purchase Credit may be used after
19September 30, 2003 through August 31, 2004 to satisfy any tax
20liability imposed under this Act, including any audit
21liability.
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 the business of selling tangible
6    personal property at retail in this State;
7        3. The total amount of taxable receipts received by
8    him during the preceding calendar month from sales of
9    tangible personal property by him during such preceding
10    calendar month, including receipts from charge and time
11    sales, but less all deductions allowed by law;
12        4. The amount of credit provided in Section 2d of this
13    Act;
14        5. The amount of tax due; and
15        6. Such other reasonable information as the Department
16    may require.
17    Every person engaged in the business of selling aviation
18fuel at retail in this State during the preceding calendar
19month shall, instead of reporting and paying tax as otherwise
20required by this Section, report and pay such tax on a separate
21aviation fuel tax return. The requirements related to the
22return shall be as otherwise provided in this Section.
23Notwithstanding any other provisions of this Act to the
24contrary, retailers selling aviation fuel shall file all
25aviation fuel tax returns and shall make all aviation fuel tax
26payments by electronic means in the manner and form required

 

 

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1by the Department. For purposes of this Section, "aviation
2fuel" means jet fuel and aviation gasoline.
3    Beginning on October 1, 2003, any person who is not a
4licensed distributor, importing distributor, or manufacturer,
5as defined in the Liquor Control Act of 1934, but is engaged in
6the business of selling, at retail, alcoholic liquor shall
7file a statement with the Department of Revenue, in a format
8and at a time prescribed by the Department, showing the total
9amount paid for alcoholic liquor purchased during the
10preceding month and such other information as is reasonably
11required by the Department. The Department may adopt rules to
12require that this statement be filed in an electronic or
13telephonic format. Such rules may provide for exceptions from
14the filing requirements of this paragraph. For the purposes of
15this paragraph, the term "alcoholic liquor" shall have the
16meaning prescribed in the Liquor Control Act of 1934.
17    Beginning on October 1, 2003, every distributor, importing
18distributor, and manufacturer of alcoholic liquor as defined
19in the Liquor Control Act of 1934, shall file a statement with
20the Department of Revenue, no later than the 10th day of the
21month for the preceding month during which transactions
22occurred, by electronic means, showing the total amount of
23gross receipts from the sale of alcoholic liquor sold or
24distributed during the preceding month to purchasers;
25identifying the purchaser to whom it was sold or distributed;
26the purchaser's tax registration number; and such other

 

 

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1information reasonably required by the Department. A
2distributor, importing distributor, or manufacturer of
3alcoholic liquor must personally deliver, mail, or provide by
4electronic means to each retailer listed on the monthly
5statement a report containing a cumulative total of that
6distributor's, importing distributor's, or manufacturer's
7total sales of alcoholic liquor to that retailer no later than
8the 10th day of the month for the preceding month during which
9the transaction occurred. The distributor, importing
10distributor, or manufacturer shall notify the retailer as to
11the method by which the distributor, importing distributor, or
12manufacturer will provide the sales information. If the
13retailer is unable to receive the sales information by
14electronic means, the distributor, importing distributor, or
15manufacturer shall furnish the sales information by personal
16delivery or by mail. For purposes of this paragraph, the term
17"electronic means" includes, but is not limited to, the use of
18a secure Internet website, e-mail, or facsimile.
19    If a total amount of less than $1 is payable, refundable or
20creditable, such amount shall be disregarded if it is less
21than 50 cents and shall be increased to $1 if it is 50 cents or
22more.
23    Notwithstanding any other provision of this Act to the
24contrary, retailers subject to tax on cannabis shall file all
25cannabis tax returns and shall make all cannabis tax payments
26by electronic means in the manner and form required by the

 

 

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1Department.
2    Beginning October 1, 1993, a taxpayer who has an average
3monthly tax liability of $150,000 or more shall make all
4payments required by rules of the Department by electronic
5funds transfer. Beginning October 1, 1994, a taxpayer who has
6an average monthly tax liability of $100,000 or more shall
7make all payments required by rules of the Department by
8electronic funds transfer. Beginning October 1, 1995, a
9taxpayer who has an average monthly tax liability of $50,000
10or more shall make all payments required by rules of the
11Department by electronic funds transfer. Beginning October 1,
122000, a taxpayer who has an annual tax liability of $200,000 or
13more shall make all payments required by rules of the
14Department by electronic funds transfer. The term "annual tax
15liability" shall be the sum of the taxpayer's liabilities
16under this Act, and under all other State and local occupation
17and use tax laws administered by the Department, for the
18immediately preceding calendar year. The term "average monthly
19tax liability" shall be the sum of the taxpayer's liabilities
20under this Act, and under all other State and local occupation
21and use tax laws administered by the Department, for the
22immediately preceding calendar year divided by 12. Beginning
23on October 1, 2002, a taxpayer who has a tax liability in the
24amount set forth in subsection (b) of Section 2505-210 of the
25Department of Revenue Law shall make all payments required by
26rules of the Department by electronic funds transfer.

 

 

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1    Before August 1 of each year beginning in 1993, the
2Department shall notify all taxpayers required to make
3payments by electronic funds transfer. All taxpayers required
4to make payments by electronic funds transfer shall make those
5payments for a minimum of one year beginning on October 1.
6    Any taxpayer not required to make payments by electronic
7funds transfer may make payments by electronic funds transfer
8with the permission of the Department.
9    All taxpayers required to make payment by electronic funds
10transfer and any taxpayers authorized to voluntarily make
11payments by electronic funds transfer shall make those
12payments in the manner authorized by the Department.
13    The Department shall adopt such rules as are necessary to
14effectuate a program of electronic funds transfer and the
15requirements of this Section.
16    Any amount which is required to be shown or reported on any
17return or other document under this Act shall, if such amount
18is not a whole-dollar amount, be increased to the nearest
19whole-dollar amount in any case where the fractional part of a
20dollar is 50 cents or more, and decreased to the nearest
21whole-dollar amount where the fractional part of a dollar is
22less than 50 cents.
23    If the retailer is otherwise required to file a monthly
24return and if the retailer's average monthly tax liability to
25the Department does not exceed $200, the Department may
26authorize his returns to be filed on a quarter annual basis,

 

 

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

 

 

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1due as a single return covering all such registered
2businesses, but shall file separate returns for each such
3registered business.
4    In addition, with respect to motor vehicles, watercraft,
5aircraft, and trailers that are required to be registered with
6an agency of this State, except as otherwise provided in this
7Section, every retailer selling this kind of tangible personal
8property shall file, with the Department, upon a form to be
9prescribed and supplied by the Department, a separate return
10for each such item of tangible personal property which the
11retailer sells, except that if, in the same transaction, (i) a
12retailer of aircraft, watercraft, motor vehicles or trailers
13transfers more than one aircraft, watercraft, motor vehicle or
14trailer to another aircraft, watercraft, motor vehicle
15retailer or trailer retailer for the purpose of resale or (ii)
16a retailer of aircraft, watercraft, motor vehicles, or
17trailers transfers more than one aircraft, watercraft, motor
18vehicle, or trailer to a purchaser for use as a qualifying
19rolling stock as provided in Section 2-5 of this Act, then that
20seller may report the transfer of all aircraft, watercraft,
21motor vehicles or trailers involved in that transaction to the
22Department on the same uniform invoice-transaction reporting
23return form. For purposes of this Section, "watercraft" means
24a Class 2, Class 3, or Class 4 watercraft as defined in Section
253-2 of the Boat Registration and Safety Act, a personal
26watercraft, or any boat equipped with an inboard motor.

 

 

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1    In addition, with respect to motor vehicles, watercraft,
2aircraft, and trailers that are required to be registered with
3an agency of this State, every person who is engaged in the
4business of leasing or renting such items and who, in
5connection with such business, sells any such item to a
6retailer for the purpose of resale is, notwithstanding any
7other provision of this Section to the contrary, authorized to
8meet the return-filing requirement of this Act by reporting
9the transfer of all the aircraft, watercraft, motor vehicles,
10or trailers transferred for resale during a month to the
11Department on the same uniform invoice-transaction reporting
12return form on or before the 20th of the month following the
13month in which the transfer takes place. Notwithstanding any
14other provision of this Act to the contrary, all returns filed
15under this paragraph must be filed by electronic means in the
16manner and form as required by the Department.
17    Any retailer who sells only motor vehicles, watercraft,
18aircraft, or trailers that are required to be registered with
19an agency of this State, so that all retailers' occupation tax
20liability is required to be reported, and is reported, on such
21transaction reporting returns and who is not otherwise
22required to file monthly or quarterly returns, need not file
23monthly or quarterly returns. However, those retailers shall
24be required to file returns on an annual basis.
25    The transaction reporting return, in the case of motor
26vehicles or trailers that are required to be registered with

 

 

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

 

 

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

 

 

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

 

 

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

 

 

HB3201- 90 -LRB103 29494 HLH 55889 b

1the return under this Section shall, at the time of filing such
2return, pay to the Department the amount of tax imposed by this
3Act less a discount of 2.1% prior to January 1, 1990 and 1.75%
4on and after January 1, 1990, or $5 per calendar year,
5whichever is greater, which is allowed to reimburse the
6retailer for the expenses incurred in keeping records,
7preparing and filing returns, remitting the tax and supplying
8data to the Department on request. On and after January 1,
92021, a certified service provider, as defined in the Leveling
10the Playing Field for Illinois Retail Act, filing the return
11under this Section on behalf of a remote retailer shall, at the
12time of such return, pay to the Department the amount of tax
13imposed by this Act less a discount of 1.75%. A remote retailer
14using a certified service provider to file a return on its
15behalf, as provided in the Leveling the Playing Field for
16Illinois Retail Act, is not eligible for the discount. When
17determining the discount allowed under this Section, retailers
18shall include the amount of tax that would have been due at the
191% rate but for the 0% rate imposed under Public Act 102-700
20this amendatory Act of the 102nd General Assembly. When
21determining the discount allowed under this Section, retailers
22shall include the amount of tax that would have been due at the
236.25% rate but for the 1.25% rate imposed on sales tax holiday
24items during the sales tax holiday period set forth in Section
252-8 under this amendatory Act of the 102nd General Assembly.
26The discount under this Section is not allowed for the 1.25%

 

 

HB3201- 91 -LRB103 29494 HLH 55889 b

1portion of taxes paid on aviation fuel that is subject to the
2revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
347133. Any prepayment made pursuant to Section 2d of this Act
4shall be included in the amount on which such 2.1% or 1.75%
5discount is computed. In the case of retailers who report and
6pay the tax on a transaction by transaction basis, as provided
7in this Section, such discount shall be taken with each such
8tax remittance instead of when such retailer files his
9periodic return. The discount allowed under this Section is
10allowed only for returns that are filed in the manner required
11by this Act. The Department may disallow the discount for
12retailers whose certificate of registration is revoked at the
13time the return is filed, but only if the Department's
14decision to revoke the certificate of registration has become
15final.
16    Before October 1, 2000, if the taxpayer's average monthly
17tax liability to the Department under this Act, the Use Tax
18Act, the Service Occupation Tax Act, and the Service Use Tax
19Act, excluding any liability for prepaid sales tax to be
20remitted in accordance with Section 2d of this Act, was
21$10,000 or more during the preceding 4 complete calendar
22quarters, he shall file a return with the Department each
23month by the 20th day of the month next following the month
24during which such tax liability is incurred and shall make
25payments to the Department on or before the 7th, 15th, 22nd and
26last day of the month during which such liability is incurred.

 

 

HB3201- 92 -LRB103 29494 HLH 55889 b

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

 

 

HB3201- 93 -LRB103 29494 HLH 55889 b

1shall be in an amount equal to 22.5% of the taxpayer's actual
2liability for the month or 26.25% of the taxpayer's liability
3for the same calendar month of the preceding year. If the month
4during which such tax liability is incurred begins on or after
5January 1, 1988, and prior to January 1, 1989, or begins on or
6after January 1, 1996, each payment shall be in an amount equal
7to 22.5% of the taxpayer's actual liability for the month or
825% of the taxpayer's liability for the same calendar month of
9the preceding year. If the month during which such tax
10liability is incurred begins on or after January 1, 1989, and
11prior to January 1, 1996, each payment shall be in an amount
12equal to 22.5% of the taxpayer's actual liability for the
13month or 25% of the taxpayer's liability for the same calendar
14month of the preceding year or 100% of the taxpayer's actual
15liability for the quarter monthly reporting period. The amount
16of such quarter monthly payments shall be credited against the
17final tax liability of the taxpayer's return for that month.
18Before October 1, 2000, once applicable, the requirement of
19the making of quarter monthly payments to the Department by
20taxpayers having an average monthly tax liability of $10,000
21or more as determined in the manner provided above shall
22continue until such taxpayer's average monthly liability to
23the Department during the preceding 4 complete calendar
24quarters (excluding the month of highest liability and the
25month of lowest liability) is less than $9,000, or until such
26taxpayer's average monthly liability to the Department as

 

 

HB3201- 94 -LRB103 29494 HLH 55889 b

1computed for each calendar quarter of the 4 preceding complete
2calendar quarter period is less than $10,000. However, if a
3taxpayer can show the Department that a substantial change in
4the taxpayer's business has occurred which causes the taxpayer
5to anticipate that his average monthly tax liability for the
6reasonably foreseeable future will fall below the $10,000
7threshold stated above, then such taxpayer may petition the
8Department for a change in such taxpayer's reporting status.
9On and after October 1, 2000, once applicable, the requirement
10of the making of quarter monthly payments to the Department by
11taxpayers having an average monthly tax liability of $20,000
12or more as determined in the manner provided above shall
13continue until such taxpayer's average monthly liability to
14the Department during the preceding 4 complete calendar
15quarters (excluding the month of highest liability and the
16month of lowest liability) is less than $19,000 or until such
17taxpayer's average monthly liability to the Department as
18computed for each calendar quarter of the 4 preceding complete
19calendar quarter period is less than $20,000. However, if a
20taxpayer can show the Department that a substantial change in
21the taxpayer's business has occurred which causes the taxpayer
22to anticipate that his average monthly tax liability for the
23reasonably foreseeable future will fall below the $20,000
24threshold stated above, then such taxpayer may petition the
25Department for a change in such taxpayer's reporting status.
26The Department shall change such taxpayer's reporting status

 

 

HB3201- 95 -LRB103 29494 HLH 55889 b

1unless it finds that such change is seasonal in nature and not
2likely to be long term. Quarter monthly payment status shall
3be determined under this paragraph as if the rate reduction to
40% in Public Act 102-700 this amendatory Act of the 102nd
5General Assembly on food for human consumption that is to be
6consumed off the premises where it is sold (other than
7alcoholic beverages, food consisting of or infused with adult
8use cannabis, soft drinks, and food that has been prepared for
9immediate consumption) had not occurred. For quarter monthly
10payments due under this paragraph on or after July 1, 2023 and
11through June 30, 2024, "25% of the taxpayer's liability for
12the same calendar month of the preceding year" shall be
13determined as if the rate reduction to 0% in Public Act 102-700
14this amendatory Act of the 102nd General Assembly had not
15occurred. Quarter monthly payment status shall be determined
16under this paragraph as if the rate reduction to 1.25% in
17Public Act 102-700 and this amendatory Act of the 103rd
18General Assembly this amendatory Act of the 102nd General
19Assembly on sales tax holiday items had not occurred. For
20quarter monthly payments due on or after July 1, 2023 and
21through June 30, 2025 June 30, 2024, "25% of the taxpayer's
22liability for the same calendar month of the preceding year"
23shall be determined as if the rate reduction to 1.25% in Public
24Act 102-700 and this amendatory Act of the 103rd General
25Assembly this amendatory Act of the 102nd General Assembly on
26sales tax holiday items had not occurred. If any such quarter

 

 

HB3201- 96 -LRB103 29494 HLH 55889 b

1monthly payment is not paid at the time or in the amount
2required by this Section, then the taxpayer shall be liable
3for penalties and interest on the difference between the
4minimum amount due as a payment and the amount of such quarter
5monthly payment actually and timely paid, except insofar as
6the taxpayer has previously made payments for that month to
7the Department in excess of the minimum payments previously
8due as provided in this Section. The Department shall make
9reasonable rules and regulations to govern the quarter monthly
10payment amount and quarter monthly payment dates for taxpayers
11who file on other than a calendar monthly basis.
12    The provisions of this paragraph apply before October 1,
132001. Without regard to whether a taxpayer is required to make
14quarter monthly payments as specified above, any taxpayer who
15is required by Section 2d of this Act to collect and remit
16prepaid taxes and has collected prepaid taxes which average in
17excess of $25,000 per month during the preceding 2 complete
18calendar quarters, shall file a return with the Department as
19required by Section 2f and shall make payments to the
20Department on or before the 7th, 15th, 22nd and last day of the
21month during which such liability is incurred. If the month
22during which such tax liability is incurred began prior to
23September 1, 1985 (the effective date of Public Act 84-221),
24each payment shall be in an amount not less than 22.5% of the
25taxpayer's actual liability under Section 2d. If the month
26during which such tax liability is incurred begins on or after

 

 

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1January 1, 1986, each payment shall be in an amount equal to
222.5% of the taxpayer's actual liability for the month or
327.5% of the taxpayer's liability for the same calendar month
4of the preceding calendar year. If the month during which such
5tax liability is incurred begins on or after January 1, 1987,
6each payment shall be in an amount equal to 22.5% of the
7taxpayer's actual liability for the month or 26.25% of the
8taxpayer's liability for the same calendar month of the
9preceding year. The amount of such quarter monthly payments
10shall be credited against the final tax liability of the
11taxpayer's return for that month filed under this Section or
12Section 2f, as the case may be. Once applicable, the
13requirement of the making of quarter monthly payments to the
14Department pursuant to this paragraph shall continue until
15such taxpayer's average monthly prepaid tax collections during
16the preceding 2 complete calendar quarters is $25,000 or less.
17If any such quarter monthly payment is not paid at the time or
18in the amount required, the taxpayer shall be liable for
19penalties and interest on such difference, except insofar as
20the taxpayer has previously made payments for that month in
21excess of the minimum payments previously due.
22    The provisions of this paragraph apply on and after
23October 1, 2001. Without regard to whether a taxpayer is
24required to make quarter monthly payments as specified above,
25any taxpayer who is required by Section 2d of this Act to
26collect and remit prepaid taxes and has collected prepaid

 

 

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

 

 

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1taxpayer's liabilities under this Act, the Use Tax Act, the
2Service Occupation Tax Act and the Service Use Tax Act, as
3shown on an original monthly return, the Department shall, if
4requested by the taxpayer, issue to the taxpayer a credit
5memorandum no later than 30 days after the date of payment. The
6credit evidenced by such credit memorandum may be assigned by
7the taxpayer to a similar taxpayer under this Act, the Use Tax
8Act, the Service Occupation Tax Act or the Service Use Tax Act,
9in accordance with reasonable rules and regulations to be
10prescribed by the Department. If no such request is made, the
11taxpayer may credit such excess payment against tax liability
12subsequently to be remitted to the Department under this Act,
13the Use Tax Act, the Service Occupation Tax Act or the Service
14Use Tax Act, in accordance with reasonable rules and
15regulations prescribed by the Department. If the Department
16subsequently determined that all or any part of the credit
17taken was not actually due to the taxpayer, the taxpayer's
182.1% and 1.75% vendor's discount shall be reduced by 2.1% or
191.75% of the difference between the credit taken and that
20actually due, and that taxpayer shall be liable for penalties
21and interest on such difference.
22    If a retailer of motor fuel is entitled to a credit under
23Section 2d of this Act which exceeds the taxpayer's liability
24to the Department under this Act for the month for which the
25taxpayer is filing a return, the Department shall issue the
26taxpayer a credit memorandum for the excess.

 

 

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1    Beginning January 1, 1990, each month the Department shall
2pay into the Local Government Tax Fund, a special fund in the
3State treasury which is hereby created, the net revenue
4realized for the preceding month from the 1% tax imposed under
5this Act.
6    Beginning January 1, 1990, each month the Department shall
7pay into the County and Mass Transit District Fund, a special
8fund in the State treasury which is hereby created, 4% of the
9net revenue realized for the preceding month from the 6.25%
10general rate other than aviation fuel sold on or after
11December 1, 2019. This exception for aviation fuel only
12applies for so long as the revenue use requirements of 49
13U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the State.
14    Beginning August 1, 2000, each month the Department shall
15pay into the County and Mass Transit District Fund 20% of the
16net revenue realized for the preceding month from the 1.25%
17rate on the selling price of motor fuel and gasohol. If, in any
18month, the tax on sales tax holiday items, as defined in
19Section 2-8, is imposed at the rate of 1.25%, then the
20Department shall pay 20% of the net revenue realized for that
21month from the 1.25% rate on the selling price of sales tax
22holiday items into the County and Mass Transit District Fund.
23    Beginning January 1, 1990, each month the Department shall
24pay into the Local Government Tax Fund 16% of the net revenue
25realized for the preceding month from the 6.25% general rate
26on the selling price of tangible personal property other than

 

 

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1aviation fuel sold on or after December 1, 2019. This
2exception for aviation fuel only applies for so long as the
3revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
447133 are binding on the State.
5    For aviation fuel sold on or after December 1, 2019, each
6month the Department shall pay into the State Aviation Program
7Fund 20% of the net revenue realized for the preceding month
8from the 6.25% general rate on the selling price of aviation
9fuel, less an amount estimated by the Department to be
10required for refunds of the 20% portion of the tax on aviation
11fuel under this Act, which amount shall be deposited into the
12Aviation Fuel Sales Tax Refund Fund. The Department shall only
13pay moneys into the State Aviation Program Fund and the
14Aviation Fuel Sales Tax Refund Fund under this Act for so long
15as the revenue use requirements of 49 U.S.C. 47107(b) and 49
16U.S.C. 47133 are binding on the State.
17    Beginning August 1, 2000, each month the Department shall
18pay into the Local Government Tax Fund 80% of the net revenue
19realized for the preceding month from the 1.25% rate on the
20selling price of motor fuel and gasohol. If, in any month, the
21tax on sales tax holiday items, as defined in Section 2-8, is
22imposed at the rate of 1.25%, then the Department shall pay 80%
23of the net revenue realized for that month from the 1.25% rate
24on the selling price of sales tax holiday items into the Local
25Government Tax Fund.
26    Beginning October 1, 2009, each month the Department shall

 

 

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1pay into the Capital Projects Fund an amount that is equal to
2an amount estimated by the Department to represent 80% of the
3net revenue realized for the preceding month from the sale of
4candy, grooming and hygiene products, and soft drinks that had
5been taxed at a rate of 1% prior to September 1, 2009 but that
6are now taxed at 6.25%.
7    Beginning July 1, 2011, each month the Department shall
8pay into the Clean Air Act Permit Fund 80% of the net revenue
9realized for the preceding month from the 6.25% general rate
10on the selling price of sorbents used in Illinois in the
11process of sorbent injection as used to comply with the
12Environmental Protection Act or the federal Clean Air Act, but
13the total payment into the Clean Air Act Permit Fund under this
14Act and the Use Tax Act shall not exceed $2,000,000 in any
15fiscal year.
16    Beginning July 1, 2013, each month the Department shall
17pay into the Underground Storage Tank Fund from the proceeds
18collected under this Act, the Use Tax Act, the Service Use Tax
19Act, and the Service Occupation Tax Act an amount equal to the
20average monthly deficit in the Underground Storage Tank Fund
21during the prior year, as certified annually by the Illinois
22Environmental Protection Agency, but the total payment into
23the Underground Storage Tank Fund under this Act, the Use Tax
24Act, the Service Use Tax Act, and the Service Occupation Tax
25Act shall not exceed $18,000,000 in any State fiscal year. As
26used in this paragraph, the "average monthly deficit" shall be

 

 

HB3201- 103 -LRB103 29494 HLH 55889 b

1equal to the difference between the average monthly claims for
2payment by the fund and the average monthly revenues deposited
3into the fund, excluding payments made pursuant to this
4paragraph.
5    Beginning July 1, 2015, of the remainder of the moneys
6received by the Department under the Use Tax Act, the Service
7Use Tax Act, the Service Occupation Tax Act, and this Act, each
8month the Department shall deposit $500,000 into the State
9Crime Laboratory Fund.
10    Of the remainder of the moneys received by the Department
11pursuant to this Act, (a) 1.75% thereof shall be paid into the
12Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
13and after July 1, 1989, 3.8% thereof shall be paid into the
14Build Illinois Fund; provided, however, that if in any fiscal
15year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
16may be, of the moneys received by the Department and required
17to be paid into the Build Illinois Fund pursuant to this Act,
18Section 9 of the Use Tax Act, Section 9 of the Service Use Tax
19Act, and Section 9 of the Service Occupation Tax Act, such Acts
20being hereinafter called the "Tax Acts" and such aggregate of
212.2% or 3.8%, as the case may be, of moneys being hereinafter
22called the "Tax Act Amount", and (2) the amount transferred to
23the Build Illinois Fund from the State and Local Sales Tax
24Reform Fund shall be less than the Annual Specified Amount (as
25hereinafter defined), an amount equal to the difference shall
26be immediately paid into the Build Illinois Fund from other

 

 

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1moneys received by the Department pursuant to the Tax Acts;
2the "Annual Specified Amount" means the amounts specified
3below for fiscal years 1986 through 1993:
4Fiscal YearAnnual Specified Amount
51986$54,800,000
61987$76,650,000
71988$80,480,000
81989$88,510,000
91990$115,330,000
101991$145,470,000
111992$182,730,000
121993$206,520,000;
13and means the Certified Annual Debt Service Requirement (as
14defined in Section 13 of the Build Illinois Bond Act) or the
15Tax Act Amount, whichever is greater, for fiscal year 1994 and
16each fiscal year thereafter; and further provided, that if on
17the last business day of any month the sum of (1) the Tax Act
18Amount required to be deposited into the Build Illinois Bond
19Account in the Build Illinois Fund during such month and (2)
20the amount transferred to the Build Illinois Fund from the
21State and Local Sales Tax Reform Fund shall have been less than
221/12 of the Annual Specified Amount, an amount equal to the
23difference shall be immediately paid into the Build Illinois
24Fund from other moneys received by the Department pursuant to
25the Tax Acts; and, further provided, that in no event shall the
26payments required under the preceding proviso result in

 

 

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1aggregate payments into the Build Illinois Fund pursuant to
2this clause (b) for any fiscal year in excess of the greater of
3(i) the Tax Act Amount or (ii) the Annual Specified Amount for
4such fiscal year. The amounts payable into the Build Illinois
5Fund under clause (b) of the first sentence in this paragraph
6shall be payable only until such time as the aggregate amount
7on deposit under each trust indenture securing Bonds issued
8and outstanding pursuant to the Build Illinois Bond Act is
9sufficient, taking into account any future investment income,
10to fully provide, in accordance with such indenture, for the
11defeasance of or the payment of the principal of, premium, if
12any, and interest on the Bonds secured by such indenture and on
13any Bonds expected to be issued thereafter and all fees and
14costs payable with respect thereto, all as certified by the
15Director of the Bureau of the Budget (now Governor's Office of
16Management and Budget). If on the last business day of any
17month in which Bonds are outstanding pursuant to the Build
18Illinois Bond Act, the aggregate of moneys deposited in the
19Build Illinois Bond Account in the Build Illinois Fund in such
20month shall be less than the amount required to be transferred
21in such month from the Build Illinois Bond Account to the Build
22Illinois Bond Retirement and Interest Fund pursuant to Section
2313 of the Build Illinois Bond Act, an amount equal to such
24deficiency shall be immediately paid from other moneys
25received by the Department pursuant to the Tax Acts to the
26Build Illinois Fund; provided, however, that any amounts paid

 

 

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1to the Build Illinois Fund in any fiscal year pursuant to this
2sentence shall be deemed to constitute payments pursuant to
3clause (b) of the first sentence of this paragraph and shall
4reduce the amount otherwise payable for such fiscal year
5pursuant to that clause (b). The moneys received by the
6Department pursuant to this Act and required to be deposited
7into the Build Illinois Fund are subject to the pledge, claim
8and charge set forth in Section 12 of the Build Illinois Bond
9Act.
10    Subject to payment of amounts into the Build Illinois Fund
11as provided in the preceding paragraph or in any amendment
12thereto hereafter enacted, the following specified monthly
13installment of the amount requested in the certificate of the
14Chairman of the Metropolitan Pier and Exposition Authority
15provided under Section 8.25f of the State Finance Act, but not
16in excess of sums designated as "Total Deposit", shall be
17deposited in the aggregate from collections under Section 9 of
18the Use Tax Act, Section 9 of the Service Use Tax Act, Section
199 of the Service Occupation Tax Act, and Section 3 of the
20Retailers' Occupation Tax Act into the McCormick Place
21Expansion Project Fund in the specified fiscal years.
22Fiscal YearTotal Deposit
231993         $0
241994 53,000,000
251995 58,000,000
261996 61,000,000

 

 

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11997 64,000,000
21998 68,000,000
31999 71,000,000
42000 75,000,000
52001 80,000,000
62002 93,000,000
72003 99,000,000
82004103,000,000
92005108,000,000
102006113,000,000
112007119,000,000
122008126,000,000
132009132,000,000
142010139,000,000
152011146,000,000
162012153,000,000
172013161,000,000
182014170,000,000
192015179,000,000
202016189,000,000
212017199,000,000
222018210,000,000
232019221,000,000
242020233,000,000
252021300,000,000
262022300,000,000

 

 

HB3201- 108 -LRB103 29494 HLH 55889 b

12023300,000,000
22024 300,000,000
32025 300,000,000
42026 300,000,000
52027 375,000,000
62028 375,000,000
72029 375,000,000
82030 375,000,000
92031 375,000,000
102032 375,000,000
112033375,000,000
122034375,000,000
132035375,000,000
142036450,000,000
15and
16each fiscal year
17thereafter that bonds
18are outstanding under
19Section 13.2 of the
20Metropolitan Pier and
21Exposition Authority Act,
22but not after fiscal year 2060.
23    Beginning July 20, 1993 and in each month of each fiscal
24year thereafter, one-eighth of the amount requested in the
25certificate of the Chairman of the Metropolitan Pier and
26Exposition Authority for that fiscal year, less the amount

 

 

HB3201- 109 -LRB103 29494 HLH 55889 b

1deposited into the McCormick Place Expansion Project Fund by
2the State Treasurer in the respective month under subsection
3(g) of Section 13 of the Metropolitan Pier and Exposition
4Authority Act, plus cumulative deficiencies in the deposits
5required under this Section for previous months and years,
6shall be deposited into the McCormick Place Expansion Project
7Fund, until the full amount requested for the fiscal year, but
8not in excess of the amount specified above as "Total
9Deposit", has been deposited.
10    Subject to payment of amounts into the Capital Projects
11Fund, the Clean Air Act Permit Fund, the Build Illinois Fund,
12and the McCormick Place Expansion Project Fund pursuant to the
13preceding paragraphs or in any amendments thereto hereafter
14enacted, for aviation fuel sold on or after December 1, 2019,
15the Department shall each month deposit into the Aviation Fuel
16Sales Tax Refund Fund an amount estimated by the Department to
17be required for refunds of the 80% portion of the tax on
18aviation fuel under this Act. The Department shall only
19deposit moneys into the Aviation Fuel Sales Tax Refund Fund
20under this paragraph for so long as the revenue use
21requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
22binding on the State.
23    Subject to payment of amounts into the Build Illinois Fund
24and the McCormick Place Expansion Project Fund pursuant to the
25preceding paragraphs or in any amendments thereto hereafter
26enacted, beginning July 1, 1993 and ending on September 30,

 

 

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12013, the Department shall each month pay into the Illinois
2Tax Increment Fund 0.27% of 80% of the net revenue realized for
3the preceding month from the 6.25% general rate on the selling
4price of tangible personal property.
5    Subject to payment of amounts into the Build Illinois Fund
6and the McCormick Place Expansion Project Fund pursuant to the
7preceding paragraphs or in any amendments thereto hereafter
8enacted, beginning with the receipt of the first report of
9taxes paid by an eligible business and continuing for a
1025-year period, the Department shall each month pay into the
11Energy Infrastructure Fund 80% of the net revenue realized
12from the 6.25% general rate on the selling price of
13Illinois-mined coal that was sold to an eligible business. For
14purposes of this paragraph, the term "eligible business" means
15a new electric generating facility certified pursuant to
16Section 605-332 of the Department of Commerce and Economic
17Opportunity Law of the Civil Administrative Code of Illinois.
18    Subject to payment of amounts into the Build Illinois
19Fund, the McCormick Place Expansion Project Fund, the Illinois
20Tax Increment Fund, and the Energy Infrastructure Fund
21pursuant to the preceding paragraphs or in any amendments to
22this Section hereafter enacted, beginning on the first day of
23the first calendar month to occur on or after August 26, 2014
24(the effective date of Public Act 98-1098), each month, from
25the collections made under Section 9 of the Use Tax Act,
26Section 9 of the Service Use Tax Act, Section 9 of the Service

 

 

HB3201- 111 -LRB103 29494 HLH 55889 b

1Occupation Tax Act, and Section 3 of the Retailers' Occupation
2Tax Act, the Department shall pay into the Tax Compliance and
3Administration Fund, to be used, subject to appropriation, to
4fund additional auditors and compliance personnel at the
5Department of Revenue, an amount equal to 1/12 of 5% of 80% of
6the cash receipts collected during the preceding fiscal year
7by the Audit Bureau of the Department under the Use Tax Act,
8the Service Use Tax Act, the Service Occupation Tax Act, the
9Retailers' Occupation Tax Act, and associated local occupation
10and use taxes administered by the Department.
11    Subject to payments of amounts into the Build Illinois
12Fund, the McCormick Place Expansion Project Fund, the Illinois
13Tax Increment Fund, the Energy Infrastructure Fund, and the
14Tax Compliance and Administration Fund as provided in this
15Section, beginning on July 1, 2018 the Department shall pay
16each month into the Downstate Public Transportation Fund the
17moneys required to be so paid under Section 2-3 of the
18Downstate Public Transportation Act.
19    Subject to successful execution and delivery of a
20public-private agreement between the public agency and private
21entity and completion of the civic build, beginning on July 1,
222023, of the remainder of the moneys received by the
23Department under the Use Tax Act, the Service Use Tax Act, the
24Service Occupation Tax Act, and this Act, the Department shall
25deposit the following specified deposits in the aggregate from
26collections under the Use Tax Act, the Service Use Tax Act, the

 

 

HB3201- 112 -LRB103 29494 HLH 55889 b

1Service Occupation Tax Act, and the Retailers' Occupation Tax
2Act, as required under Section 8.25g of the State Finance Act
3for distribution consistent with the Public-Private
4Partnership for Civic and Transit Infrastructure Project Act.
5The moneys received by the Department pursuant to this Act and
6required to be deposited into the Civic and Transit
7Infrastructure Fund are subject to the pledge, claim and
8charge set forth in Section 25-55 of the Public-Private
9Partnership for Civic and Transit Infrastructure Project Act.
10As used in this paragraph, "civic build", "private entity",
11"public-private agreement", and "public agency" have the
12meanings provided in Section 25-10 of the Public-Private
13Partnership for Civic and Transit 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

 

 

HB3201- 113 -LRB103 29494 HLH 55889 b

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
16Road Fund the amount estimated to represent 16% of the net
17revenue realized from the taxes imposed on motor fuel and
18gasohol. Beginning July 1, 2022 and until July 1, 2023,
19subject to the payment of amounts into the County and Mass
20Transit District Fund, the Local Government Tax Fund, the
21Build 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
25each month into the Road Fund the amount estimated to
26represent 32% of the net revenue realized from the taxes

 

 

HB3201- 114 -LRB103 29494 HLH 55889 b

1imposed on motor fuel and gasohol. Beginning July 1, 2023 and
2until July 1, 2024, subject to the payment of amounts into the
3County and Mass Transit District Fund, the Local Government
4Tax Fund, the Build Illinois Fund, the McCormick Place
5Expansion Project Fund, the Illinois Tax Increment Fund, the
6Energy Infrastructure Fund, and the Tax Compliance and
7Administration Fund as provided in this Section, the
8Department shall pay each month into the Road Fund the amount
9estimated to represent 48% of the net revenue realized from
10the taxes imposed on motor fuel and gasohol. Beginning July 1,
112024 and until July 1, 2025, subject to the payment of amounts
12into the County and Mass Transit District Fund, the Local
13Government Tax Fund, the Build Illinois Fund, the McCormick
14Place Expansion Project Fund, the Illinois Tax Increment Fund,
15the Energy Infrastructure Fund, and the Tax Compliance and
16Administration Fund as provided in this Section, the
17Department shall pay each month into the Road Fund the amount
18estimated to represent 64% of the net revenue realized from
19the taxes imposed on motor fuel and gasohol. Beginning on July
201, 2025, subject to the payment of amounts into the County and
21Mass Transit District Fund, the Local Government Tax Fund, the
22Build Illinois Fund, the McCormick Place Expansion Project
23Fund, the Illinois Tax Increment Fund, the Energy
24Infrastructure Fund, and the Tax Compliance and Administration
25Fund as provided in this Section, the Department shall pay
26each month into the Road Fund the amount estimated to

 

 

HB3201- 115 -LRB103 29494 HLH 55889 b

1represent 80% of the net revenue realized from the taxes
2imposed on motor fuel and gasohol. As used in this paragraph
3"motor fuel" has the meaning given to that term in Section 1.1
4of the Motor Fuel Tax Law, and "gasohol" has the meaning given
5to that term in Section 3-40 of the Use Tax Act.
6    Of the remainder of the moneys received by the Department
7pursuant to this Act, 75% thereof shall be paid into the State
8treasury Treasury and 25% shall be reserved in a special
9account and used only for the transfer to the Common School
10Fund as part of the monthly transfer from the General Revenue
11Fund in accordance with Section 8a of the State Finance Act.
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 retailer'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 retailer shall attach to his annual return a
23schedule showing a reconciliation of the 2 amounts and the
24reasons for the difference. The retailer's annual return to
25the Department shall also disclose the cost of goods sold by
26the retailer during the year covered by such return, opening

 

 

HB3201- 116 -LRB103 29494 HLH 55889 b

1and closing inventories of such goods for such year, costs of
2goods used from stock or taken from stock and given away by the
3retailer during such year, payroll information of the
4retailer'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 retailer as provided for in
8this 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
13    liable for a penalty equal to 1/6 of 1% of the tax due from
14    such taxpayer under this Act during the period to be
15    covered by the annual return for each month or fraction of
16    a month until such return is filed as required, the
17    penalty to be assessed and collected in the same manner as
18    any other 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

 

 

HB3201- 117 -LRB103 29494 HLH 55889 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 provisions of this Section concerning the filing of an
5annual information return do not apply to a retailer who is not
6required to file an income tax return with the United States
7Government.
8    As soon as possible after the first day of each month, upon
9certification of the Department of Revenue, the Comptroller
10shall order transferred and the Treasurer shall transfer from
11the General Revenue Fund to the Motor Fuel Tax Fund an amount
12equal to 1.7% of 80% of the net revenue realized under this Act
13for the second preceding month. Beginning April 1, 2000, this
14transfer is no longer required and shall not be made.
15    Net revenue realized for a month shall be the revenue
16collected by the State pursuant to this Act, less the amount
17paid out during that month as refunds to taxpayers for
18overpayment of liability.
19    For greater simplicity of administration, manufacturers,
20importers and wholesalers whose products are sold at retail in
21Illinois by numerous retailers, and who wish to do so, may
22assume the responsibility for accounting and paying to the
23Department all tax accruing under this Act with respect to
24such sales, if the retailers who are affected do not make
25written objection to the Department to this arrangement.
26    Any person who promotes, organizes, provides retail

 

 

HB3201- 118 -LRB103 29494 HLH 55889 b

1selling space for concessionaires or other types of sellers at
2the Illinois State Fair, DuQuoin State Fair, county fairs,
3local fairs, art shows, flea markets and similar exhibitions
4or events, including any transient merchant as defined by
5Section 2 of the Transient Merchant Act of 1987, is required to
6file a report with the Department providing the name of the
7merchant's business, the name of the person or persons engaged
8in merchant's business, the permanent address and Illinois
9Retailers Occupation Tax Registration Number of the merchant,
10the dates and location of the event and other reasonable
11information that the Department may require. The report must
12be filed not later than the 20th day of the month next
13following the month during which the event with retail sales
14was held. Any person who fails to file a report required by
15this Section commits a business offense and is subject to a
16fine not to exceed $250.
17    Any person engaged in the business of selling tangible
18personal property at retail as a concessionaire or other type
19of seller at the Illinois State Fair, county fairs, art shows,
20flea markets and similar exhibitions or events, or any
21transient merchants, as defined by Section 2 of the Transient
22Merchant Act of 1987, may be required to make a daily report of
23the amount of such sales to the Department and to make a daily
24payment of the full amount of tax due. The Department shall
25impose this requirement when it finds that there is a
26significant risk of loss of revenue to the State at such an

 

 

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1exhibition or event. Such a finding shall be based on evidence
2that a substantial number of concessionaires or other sellers
3who are not residents of Illinois will be engaging in the
4business of selling tangible personal property at retail at
5the exhibition or event, or other evidence of a significant
6risk of loss of revenue to the State. The Department shall
7notify concessionaires and other sellers affected by the
8imposition of this requirement. In the absence of notification
9by the Department, the concessionaires and other sellers shall
10file their returns as otherwise required in this Section.
11(Source: P.A. 101-10, Article 15, Section 15-25, eff. 6-5-19;
12101-10, Article 25, Section 25-120, eff. 6-5-19; 101-27, eff.
136-25-19; 101-32, eff. 6-28-19; 101-604, eff. 12-13-19;
14101-636, eff. 6-10-20; 102-634, eff. 8-27-21; 102-700, Article
1560, Section 60-30, eff. 4-19-22; 102-700, Article 65, Section
1665-10, eff. 4-19-22; 102-813, eff. 5-13-22; 102-1019, eff.
171-1-23; revised 12-13-22.)
 
18    Section 99. Effective date. This Act takes effect upon
19becoming law.