093_HB2877

 
                                     LRB093 07203 DRH 07358 b

 1        AN ACT in relation to vehicles.

 2        Be it enacted by the People of  the  State  of  Illinois,
 3    represented in the General Assembly:

 4        Section  5.   The  Illinois  Vehicle  Code  is amended by
 5    changing Section 3-1001 as follows:

 6        (625 ILCS 5/3-1001) (from Ch. 95 1/2, par. 3-1001)
 7        Sec. 3-1001.  A tax is hereby imposed on the privilege of
 8    using, in this State, any motor vehicle as defined in Section
 9    1-146 of this Code acquired by gift, transfer,  or  purchase,
10    and  having  a  year  model designation preceding the year of
11    application for title by 5 or fewer years prior to October 1,
12    1985 and 10 or fewer years on and after October 1,  1985  and
13    prior  to January 1, 1988.  On and after January 1, 1988, the
14    tax shall apply to all motor vehicles without regard to model
15    year. Except that the tax shall not apply
16             (i)  if the use of the motor  vehicle  is  otherwise
17        taxed under the Use Tax Act;
18             (ii)  if  the  motor vehicle is bought and used by a
19        governmental agency or a society, association, foundation
20        or institution organized  and  operated  exclusively  for
21        charitable, religious or educational purposes;
22             (iii)  if  the  use  of  the  motor  vehicle  is not
23        subject to the Use Tax Act by reason of  subsection  (a),
24        (b),  (c),  (d),  (e)  or (f) of Section 3-55 of that Act
25        dealing  with  the  prevention  of   actual   or   likely
26        multistate taxation;
27             (iv)  to implements of husbandry;
28             (v)  when  a  junking certificate is issued pursuant
29        to Section 3-117(a) of this Code;
30             (vi)  when a vehicle is subject to  the  replacement
31        vehicle tax imposed by Section 3-2001 of this Act;
 
                            -2-      LRB093 07203 DRH 07358 b
 1             (vii)  when  the transfer is a gift to a beneficiary
 2        in the administration of an estate and the beneficiary is
 3        a surviving spouse.
 4        Prior to January 1, 1988, the rate of tax shall be 5%  of
 5    the  selling  price  for  each  purchase  of  a motor vehicle
 6    covered  by  Section  3-1001  of  this   Code.    Except   as
 7    hereinafter  provided, beginning January 1, 1988, the rate of
 8    tax shall be as follows for transactions in which the selling
 9    price of the motor vehicle is less than $15,000:
10    Number of Years Transpired After       Applicable Tax
11     Model Year of Motor Vehicle
12              1 or less                      $312 $390
13                  2                           232  290
14                  3                           172  215
15                  4                           132  165
16                  5                            92  115
17                  6                            72   90
18                  7                            64   80
19                  8                            52   65
20                  9                            40   50
21                  10                           32   40
22               over 10                         20   25
23    Except as hereinafter provided, beginning  January  1,  1988,
24    the rate of tax shall be as follows for transactions in which
25    the selling price of the motor vehicle is $15,000 or more:
26            Selling Price                  Applicable Tax
27          $15,000 - $19,999                $  600 $  750
28          $20,000 - $24,999                $  800 $1,000
29          $25,000 - $29,999                $1,000 $1,250
30           $30,000 and over                $1,200 $1,500
31    For the following transactions, the tax rate shall be $15 for
32    each motor vehicle acquired in such transaction:
33             (i)  when the transferee or purchaser is the spouse,
34        mother,   father,   brother,   sister  or  child  of  the
 
                            -3-      LRB093 07203 DRH 07358 b
 1        transferor;
 2             (ii)  when the transfer is a gift to  a  beneficiary
 3        in the administration of an estate and the beneficiary is
 4        not a surviving spouse;
 5             (iii)  when  a  motor  vehicle  which  has once been
 6        subjected to the Illinois retailers'  occupation  tax  or
 7        use   tax   is   transferred   in   connection  with  the
 8        organization,  reorganization,  dissolution  or   partial
 9        liquidation of an incorporated or unincorporated business
10        wherein the beneficial ownership is not changed.
11        A   claim   that   the   transaction   is  taxable  under
12    subparagraph (i) shall be supported by such proof  of  family
13    relationship as provided by rules of the Department.
14        For  a  transaction  in  which a motorcycle, motor driven
15    cycle or motorized pedalcycle is acquired the tax rate  shall
16    be $25.
17        On  and  after October 1, 1985, 1/12 of $5,000,000 of the
18    moneys received by the Department of Revenue pursuant to this
19    Section shall be paid each month into the Build Illinois Fund
20    and the remainder into the General Revenue Fund.
21        At the end  of  any  fiscal  year  in  which  the  moneys
22    received  by  the  Department  of  Revenue  pursuant  to this
23    Section exceeds the Annual Specified Amount,  as  defined  in
24    Section  3  of  the  Retailers' Occupation Tax Act, the State
25    Comptroller shall direct the State Treasurer to transfer such
26    excess amount from the General  Revenue  Fund  to  the  Build
27    Illinois Purposes Fund.
28        The  tax  imposed  by this Section shall be abated and no
29    longer imposed when the amount deposited to secure the  bonds
30    issued  pursuant to the Build Illinois Bond Act is sufficient
31    to provide for the payment of the principal of, and  interest
32    and  premium, if any, on the bonds, as certified to the State
33    Comptroller and the Director of Revenue by  the  Director  of
34    the Bureau of the Budget.
 
                            -4-      LRB093 07203 DRH 07358 b
 1    (Source: P.A. 90-89, eff. 1-1-98.)