Illinois General Assembly - Full Text of SB2300
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Full Text of SB2300  102nd General Assembly




State of Illinois
2021 and 2022


Introduced 2/26/2021, by Sen. Ann Gillespie


New Act
30 ILCS 105/5.935 new

    Creates the Assault Weapon Retailers' Tax Act. Imposes a tax on licensed firearm dealers engaged in the State in the business of making retail sales of assault weapons, large capacity ammunition feeding devices, or both. Provides that the tax shall be imposed at the rate of 10% of the retail selling price of each assault weapon or large capacity ammunition feeding device sold in the State. Provides that the proceeds from the tax shall be deposited into the Firearms Tax Fund. Provides that moneys in the Firearms Tax Fund shall be used to prevent gun violence in schools and State-owned buildings. Amends the State Finance Act to create the Firearms Tax Fund.

LRB102 17270 HLH 22742 b






SB2300LRB102 17270 HLH 22742 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 1. Short title. This Act may be cited as the
5Assault Weapon Retailers' Tax Act.
6    Section 5. Definitions. As used in this Act:
7    "Assault weapon" means a firearm that accepts large
8capacity ammunition feeding devices.
9    "Department" means the Department of Revenue.
10    "Large capacity ammunition feeding device" means:
11        (1) a magazine, belt, drum, feed strip, or similar
12    device that has a capacity of, or that can be readily
13    restored or converted to accept, more than 10 rounds of
14    ammunition; or
15        (2) any combination of parts from which a device
16    described in paragraph (1) can be assembled.
17    "Large capacity ammunition feeding device" does not
18include an attached tubular device designed to accept, and
19capable of operating only with, .22 caliber rimfire
20ammunition. "Large capacity ammunition feeding device" does
21not include a tubular magazine that is contained in a
22lever-action firearm or any device that has been made
23permanently inoperable.



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1    "Licensed firearm dealer" means a person who possesses a
2valid certificate of license issued under the Firearm Dealer
3License Certification Act.
4    "Person" means any natural individual, firm, partnership,
5association, joint stock company, joint adventure, public or
6private corporation, limited liability company, or a receiver,
7executor, trustee, guardian, or other representative appointed
8by order of any court.
9    "Retail selling price" means the consideration for a sale
10valued in money whether received in money or otherwise,
11including cash, credits, property, and services. "Retail
12selling price" shall be determined without any deduction on
13account of the cost of the property sold, the cost of materials
14used, labor or service cost, or any other expense, but does not
15include charges that are added by sellers on account of the tax
16imposed under this Act or any federal, State, or local tax
17required to be collected by the seller.
18    Section 10. Tax imposed. Beginning on January 1, 2022, a
19tax is imposed on each licensed firearm dealer engaged in the
20State in the business of making retail sales of assault
21weapons, large capacity ammunition feeding devices, or both.
22The tax shall be imposed at the rate of 10% of the retail
23selling price of each assault weapon or large capacity
24ammunition feeding device sold in the State. The Department
25may adopt rules for the implementation and enforcement of this



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1Act. Proceeds from the tax shall be deposited into the
2Firearms Tax Fund.
3    Section 15. Exemptions. The following are exempt from the
4tax imposed under this Act:
5        (1) sales of firearms or large capacity ammunition
6    feeding devices to any federal, State, or local law
7    enforcement agency; and
8        (2) sales between unlicensed persons where the
9    licensed firearm dealer's only role is to facilitate the
10    sale by conducting a background check.
11    Section 20. Returns; payment of tax. On or before the
12twentieth day of January, April, July, and October, every
13person engaged in the business of selling assault weapons,
14large capacity ammunition feeding devices, or both at retail
15in this State during the preceding calendar quarter shall file
16a return with the Department, stating:
17        (1) the name of the licensed firearm dealer;
18        (2) his or her residence address and the address of
19    his principal place of business and the address of the
20    principal place of business (if that is a different
21    address) from which he or she engages in business as a
22    licensed firearm dealer in this State;
23        (3) the total amount of receipts received by him or
24    her during the preceding calendar quarter from taxable



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1    sales under this Act;
2        (4) the amount of tax due;
3        (5) the signature of the taxpayer; and
4        (6) such other reasonable information as the
5    Department may require.
6    With each such return, the licensed firearm dealer shall
7remit the proper amount of tax due (or shall submit
8satisfactory evidence that the sale is not taxable if that is
9the case), to the Department or its agents. The Department may
10adopt rules requiring or allowing payments to be made by
11electronic funds transfer or any other lawful means.
12    All of the provisions of Sections 5a, 5b, 5c, 5d, 5e, 5f,
135g, 5i, 5j, and 13 of the Retailers' Occupation Tax Act, which
14are not inconsistent with this Act, and Section 3-7 of the
15Uniform Penalty and Interest Act shall apply, as far as
16practicable, to the subject matter of this Act to the same
17extent as if such provisions were included herein. References
18in such incorporated Sections of the "Retailers' Occupation
19Tax Act" to retailers, to sellers, or to persons engaged in the
20business of selling tangible personal property shall mean
21licensed firearm dealers when used in this Act.
22    In case any person who is required to file a return under
23this Act fails to file such return, the Department shall
24determine the amount of tax due from him or her according to
25its best judgment and information, which amount so fixed by
26the Department shall be prima facie correct and shall be prima



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1facie evidence of the correctness of the amount of tax due, as
2shown in such determination. Proof of such determination by
3the Department may be made at any hearing before the
4Department or in any legal proceeding by a reproduced copy of
5the Department's record relating thereto in the name of the
6Department under the certificate of the Director of Revenue.
7Such reproduced copy shall, without further proof, be admitted
8into evidence before the Department or in any legal proceeding
9and shall be prima facie proof of the correctness of the amount
10of tax due, as shown therein. The Department shall issue such
11person a notice of tax liability for the amount of tax claimed
12by the Department to be due, together with a penalty in an
13amount determined in accordance with Sections 3-3, 3-5 and 3-6
14of the Uniform Penalty and Interest Act. If such person or the
15legal representative of such person, within 60 days after such
16notice, files a protest to such notice of tax liability and
17requests a hearing thereon, the Department shall give notice
18to such person or the legal representative of such person of
19the time and place fixed for such hearing and shall hold a
20hearing in conformity with the provisions of this Act, and
21pursuant thereto shall issue a final assessment to such person
22or to the legal representative of such person for the amount
23found to be due as a result of such hearing. If a protest to
24the notice of tax liability and a request for a hearing thereon
25is not filed within 60 days after such notice of tax liability,
26such notice of tax liability shall become final without the



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1necessity of a final assessment being issued and shall be
2deemed to be a final assessment. Any person aggrieved by a
3final decision of the Department under this Section may obtain
4review of the decision under the provisions of the
5Administrative Review Law.
6    Section 25. Firearms Tax Fund; creation; deposit of tax
7proceeds. The Firearms Tax Fund is hereby created as a special
8fund in the State treasury. Moneys in the Fund shall be used to
9prevent gun violence in schools and State-owned buildings by
10funding programs that promote safety and prevent gun violence
11in those areas, as well as safety enhancements in such schools
12and State-owned buildings; however, no funds shall be used to
13arm or increase the arming of personnel in those buildings.
14Such programs may include, but are not limited to, research,
15prevention, and youth education and employment programs.
16Moneys in the Fund may also be used for administrative costs
17related to the Fund. Interest earned on moneys in the Fund
18shall be deposited into the Fund.
19    Section 900. The State Finance Act is amended by adding
20Section 5.935 as follows:
21    (30 ILCS 105/5.935 new)
22    Sec. 5.935. The Firearms Tax Fund.