103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
SB2988

 

Introduced 1/31/2024, by Sen. Sara Feigenholtz

 

SYNOPSIS AS INTRODUCED:
 
65 ILCS 5/8-11-6a  from Ch. 24, par. 8-11-6a

    Amends the Illinois Municipal Code. In provisions relating to preemption of certain taxes in home rule municipalities, provides that nothing in the provisions shall prevent a tax based upon the number of units of cigarettes, on other tobacco products, or both if the home rule municipality imposed a tax either based on the number of units of cigarettes or on other tobacco products before July 1, 1993 (rather than, if a home rule municipality had not imposed a tax based on the number of units of cigarettes or tobacco products before July 1, 1993, the home rule municipality may not impose such a tax after that date).


LRB103 35691 AWJ 65766 b

 

 

A BILL FOR

 

SB2988LRB103 35691 AWJ 65766 b

1    AN ACT concerning local government.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Municipal Code is amended by
5changing Section 8-11-6a as follows:
 
6    (65 ILCS 5/8-11-6a)  (from Ch. 24, par. 8-11-6a)
7    Sec. 8-11-6a. Home rule municipalities; preemption of
8certain taxes. Except as provided in Sections 8-11-1, 8-11-5,
98-11-6, 8-11-6b, 8-11-6c, 8-11-23, and 11-74.3-6 on and after
10September 1, 1990, no home rule municipality has the authority
11to impose, pursuant to its home rule authority, a retailer's
12occupation tax, service occupation tax, use tax, sales tax or
13other tax on the use, sale or purchase of tangible personal
14property based on the gross receipts from such sales or the
15selling or purchase price of said tangible personal property.
16Notwithstanding the foregoing, this Section does not preempt
17any home rule imposed tax such as the following: (1) a tax on
18alcoholic beverages, whether based on gross receipts, volume
19sold or any other measurement; (2) a tax based on the number of
20units of cigarettes, on other or tobacco products, or both if
21the (provided, however, that a home rule municipality that has
22not imposed a tax either based on the number of units of
23cigarettes or on other tobacco products before July 1, 1993,

 

 

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1shall not impose such a tax after that date); (3) a tax,
2however measured, based on the use of a hotel or motel room or
3similar facility; (4) a tax, however measured, on the sale or
4transfer of real property; (5) a tax, however measured, on
5lease receipts; (6) a tax on food prepared for immediate
6consumption and on alcoholic beverages sold by a business
7which provides for on premise consumption of said food or
8alcoholic beverages; or (7) other taxes not based on the
9selling or purchase price or gross receipts from the use, sale
10or purchase of tangible personal property. This Section does
11not preempt a home rule municipality with a population of more
12than 2,000,000 from imposing a tax, however measured, on the
13use, for consideration, of a parking lot, garage, or other
14parking facility. This Section is not intended to affect any
15existing tax on food and beverages prepared for immediate
16consumption on the premises where the sale occurs, or any
17existing tax on alcoholic beverages, or any existing tax
18imposed on the charge for renting a hotel or motel room, which
19was in effect January 15, 1988, or any extension of the
20effective date of such an existing tax by ordinance of the
21municipality imposing the tax, which extension is hereby
22authorized, in any non-home rule municipality in which the
23imposition of such a tax has been upheld by judicial
24determination, nor is this Section intended to preempt the
25authority granted by Public Act 85-1006. On and after December
261, 2019, no home rule municipality has the authority to

 

 

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1impose, pursuant to its home rule authority, a tax, however
2measured, on sales of aviation fuel, as defined in Section 3 of
3the Retailers' Occupation Tax Act, unless the tax is not
4subject to the revenue use requirements of 49 U.S.C. 47107(b)
5and 49 U.S.C. 47133, or unless the tax revenue is expended for
6airport-related purposes. For purposes of this Section,
7"airport-related purposes" has the meaning ascribed in Section
86z-20.2 of the State Finance Act. Aviation fuel shall be
9excluded from tax only if, and for so long as, the revenue use
10requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
11binding on the municipality. This Section is a limitation,
12pursuant to subsection (g) of Section 6 of Article VII of the
13Illinois Constitution, on the power of home rule units to tax.
14The changes made to this Section by Public Act 101-10 are a
15denial and limitation of home rule powers and functions under
16subsection (g) of Section 6 of Article VII of the Illinois
17Constitution.
18(Source: P.A. 101-10, eff. 6-5-19; 101-27, eff. 6-25-19;
19101-593, eff. 12-4-19.)