HR0854enr 93RD GENERAL ASSEMBLY

HR0854 Enrolled LRB093 21939 BDD 50118 r

HOUSE RESOLUTION 854

WHEREAS, The Illinois retail industry is one of Illinois' chief creators of jobs, with more than 608,000 Illinoisans working in retail trade, according to the U.S. Census Bureau; and

WHEREAS, Sales taxes paid by retailers on purchases of taxable goods and services in Illinois are a vital component of the State's budget, with the Illinois Economic and Fiscal Commission projecting Illinois State sales tax revenues of more than $7.3 billion in FY04; and

WHEREAS, The Illinois retail industry and the sales taxes it pays are under threat from some out-of-state retailers who ship goods into Illinois without collecting Illinois sales taxes on goods meant for use in Illinois; and

WHEREAS, Many out-of-state retailers are facing up to their responsibility to levy and forward sales taxes on goods meant for use in Illinois; and

WHEREAS, FurnitureLand South of Jamestown, North Carolina, which bills itself as "the world's largest home furnishings showplace", has started collecting sales and use taxes on products that it sells to consumers in 26 to 30 states; and

WHEREAS, Jason Harris, executive vice president of FurnitureLand South, has told "Furniture Today," a trade periodical, that FurnitureLand South eventually plans to collect sales taxes for all 45 states with a sales tax; and

WHEREAS, Many other furniture retailers with substantial sales across state lines do not yet collect Illinois sales and use taxes for sales made to customers within Illinois, despite Illinois laws requiring the payment of these taxes when an article is purchased for use within Illinois; therefore, be it

RESOLVED, BY THE HOUSE OF REPRESENTATIVES OF THE NINETY-THIRD GENERAL ASSEMBLY OF THE STATE OF ILLINOIS, that we urge FurnitureLand South to collect sales taxes upon furniture sold to customers for use within Illinois; and be it further

RESOLVED, That we urge all other retailers, especially but not limited to furniture retailers, to collect sales taxes upon goods and taxable services intended for use within Illinois; and be it further

RESOLVED, That we urge the Department of Revenue to take additional steps to improve the collection of sales taxes upon out-of-state goods intended for use within Illinois; and be it further

RESOLVED, That we urge Governor Rod Blagojevich to allocate sufficient funds and personnel resources, within the Department of Revenue, to maximize State sales tax revenues, provide for the cash flow that the State needs to perform its vital duties, and maintain a level playing field between out-of-state retailers and retailers that do business and employ personnel within the State of Illinois; and be it further

RESOLVED, That suitable copies of this resolution be delivered to the Governor of the State of Illinois, the Director of the Illinois Department of Revenue, and A. Darrell Harris, President of FurnitureLand South, Inc. of Jamestown, North Carolina.