Full Text of HB3548 97th General Assembly
HB3548 97TH GENERAL ASSEMBLY
97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
Introduced 2/24/2011, by Rep. Mary E. Flowers
SYNOPSIS AS INTRODUCED:
Creates the Financial Transaction Tax Act. Beginning September 1,
2011, imposes a tax on the privilege of engaging in a financial transaction
on any of the following exchanges or boards of trade: the Chicago Stock
Exchange, the Chicago Mercantile Exchange, the Chicago Board of Trade, and
the Chicago Board Options Exchange. Provides that the tax is imposed at a
rate of 0.01% of the value of the transaction. Provides that the term
"financial transaction" means a transaction involving the purchase or sale
of a stock contract, futures contract, swap contract, credit default swap
contract, or options contract, but does not include a transaction involving
securities held in a retirement account or a transaction involving a mutual
fund. Effective immediately.
|FISCAL NOTE ACT MAY APPLY|
A BILL FOR
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AN ACT concerning revenue.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
This Act may be cited as the
Financial Transaction Tax Act.
Tax imposed; definitions.
(a) Beginning September 1, 2011, a tax is imposed on the
privilege of engaging in a financial transaction on any of the
following exchanges or boards of trade: the Chicago Stock
Exchange, the Chicago Mercantile Exchange, the Chicago Board of
Trade, and the Chicago Board Options Exchange. The tax is
imposed at a rate of 0.01% of the value of the transaction. The
tax shall be paid by the trading facility or, in any other
case, by the purchaser involved in the transaction.
(b) A tax imposed under this Act, and all civil penalties
be assessed as an incident thereof, shall be
administered, collected, and
enforced by the Illinois
Department of Revenue, and commodity brokers shall register
with the Department, in the same manner as required under the
Retailers' Occupation Tax Act insofar as may be applicable.
Department of Revenue has full power to administer and enforce
this Act, to collect all taxes and penalties due under this
Act, to dispose
of taxes and penalties so collected as provided
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in this Act, and
to determine all rights to credit memoranda
arising on account of the
erroneous payment of tax or penalty
under this Act. The Department of Revenue shall pay over to the
State Treasurer all taxes and penalties collected under this
Act for deposit into the General Revenue Fund.
For the purpose of this Act, "financial transaction" means
a transaction involving the purchase or sale of a stock
contract, futures contract, swap contract, credit default swap
contract, or options contract, but does not include a
transaction involving securities held in a retirement account
or a transaction involving a mutual fund.
The Department shall adopt
administrative rules to implement and administer this Act.
Initial rules may be adopted as emergency rules.
Interstate commerce exemption.
No tax is
imposed under this Act upon the privilege of engaging in a
business in interstate commerce or otherwise when the business
may not, under the Constitution and statutes of the United
States, be made the subject of taxation by this State.
This Act takes effect upon