102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
SB2279

 

Introduced 2/26/2021, by Sen. Steve Stadelman

 

SYNOPSIS AS INTRODUCED:
 
See Index

    Amends the Department of Revenue Law of the Civil Administrative Code of Illinois and the Retailers' Occupation Tax Act. In provisions that allow the Department of Revenue to refuse to issue, reissue, or renew a certificate of registration, provides that a person is considered to be in default for moneys due if the amount was established as a final liability within the 23 years (currently, 20 years) prior to the date of the Department of Revenue's notice of refusal to issue or reissue the certificate of registration, permit, or license. Amends the Property Tax Code. Provides that the effective date of a pollution control facility certificate shall be the date of the last submission of documentation that finalizes the application or the date of the construction of the facility, whichever is later. Creates the Property Tax Appeal Board Supplemental Fund. Provides that all filing fees collected by the Board shall be deposited in the Fund. Provides for the uses of moneys deposited in the Fund. Amends various tax Acts to provide that upon filing a claim for a credit or for a refund, if the statute of limitations will expire less than 12 months after the date a taxpayer files the claim for credit or refund, that will trigger an automatic 12-month extension of the statute of limitations for assessing additional tax due. Effective immediately.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

SB2279LRB102 16048 HLH 21420 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 5. The Department of Revenue Law of the Civil
5Administrative Code of Illinois is amended by changing Section
62505-380 as follows:
 
7    (20 ILCS 2505/2505-380)  (was 20 ILCS 2505/39b47)
8    Sec. 2505-380. Revocation of or refusal to issue or
9reissue a certificate of registration, permit, or license.
10    (a) The Department has the power, after notice and an
11opportunity for a hearing, to revoke a certificate of
12registration, permit, or license issued by the Department if
13the holder of the certificate of registration, permit, or
14license fails to file a return, or to pay the tax, fee,
15penalty, or interest shown in a filed return, or to pay any
16final assessment of tax, fee, penalty, or interest, as
17required by the tax or fee Act under which the certificate of
18registration, permit, or license is required or any other tax
19or fee Act administered by the Department.
20    (b) The Department may refuse to issue, reissue, or renew
21a certificate of registration, permit, or license authorized
22to be issued by the Department if a person who is named as the
23owner, a partner, a corporate officer, or, in the case of a

 

 

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1limited liability company, a manager or member, of the
2applicant on the application for the certificate of
3registration, permit or license, is or has been named as the
4owner, a partner, a corporate officer, or in the case of a
5limited liability company, a manager or member, on the
6application for the certificate of registration, permit, or
7license of a person that is in default for moneys due under the
8tax or fee Act upon which the certificate of registration,
9permit, or license is required or any other tax or fee Act
10administered by the Department. For purposes of this Section
11only, in determining whether a person is in default for moneys
12due, the Department shall include only amounts established as
13a final liability within the 23 20 years prior to the date of
14the Department's notice of refusal to issue or reissue the
15certificate of registration, permit, or license. For purposes
16of this Section, "person" means any natural individual, firm,
17partnership, association, joint stock company, joint
18adventure, public or private corporation, limited liability
19company, or a receiver, executor, trustee, guardian or other
20representative appointed by order of any court.
21    (c) When revoking or refusing to issue or reissue a
22certificate of registration, permit, or license issued by the
23Department, the procedure for notice and hearing used shall be
24the procedure provided under the Act pursuant to which the
25certificate of registration, permit, or license was issued.
26(Source: P.A. 98-496, eff. 1-1-14; 98-1055, eff. 1-1-16.)
 

 

 

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1    Section 10. The State Finance Act is amended by adding
2Section 5.935 as follows:
 
3    (30 ILCS 105/5.935 new)
4    Sec. 5.935. The Property Tax Appeal Board Supplemental
5Fund.
 
6    Section 15. The Illinois Income Tax Act is amended by
7changing Section 905 as follows:
 
8    (35 ILCS 5/905)  (from Ch. 120, par. 9-905)
9    Sec. 905. Limitations on Notices of Deficiency.
10    (a) In general. Except as otherwise provided in this Act:
11        (1) A notice of deficiency shall be issued not later
12    than 3 years after the date the return was filed, and
13        (2) No deficiency shall be assessed or collected with
14    respect to the year for which the return was filed unless
15    such notice is issued within such period.
16    (a-5) Notwithstanding any other provision of this Act to
17the contrary, for any taxable year included in a claim for
18credit or refund for which the statute of limitations for
19issuing a notice of deficiency under this Act will expire less
20than 12 months after the date a taxpayer files the claim for
21credit or refund, the statute of limitations is automatically
22extended for 12 months from the date it would have otherwise

 

 

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1expired.
2    (b) Substantial omission of items.
3        (1) Omission of more than 25% of income. If the
4    taxpayer omits from base income an amount properly
5    includible therein which is in excess of 25% of the amount
6    of base income stated in the return, a notice of
7    deficiency may be issued not later than 6 years after the
8    return was filed. For purposes of this paragraph, there
9    shall not be taken into account any amount which is
10    omitted in the return if such amount is disclosed in the
11    return, or in a statement attached to the return, in a
12    manner adequate to apprise the Department of the nature
13    and the amount of such item.
14        (2) Reportable transactions. If a taxpayer fails to
15    include on any return or statement for any taxable year
16    any information with respect to a reportable transaction,
17    as required under Section 501(b) of this Act, a notice of
18    deficiency may be issued not later than 6 years after the
19    return is filed with respect to the taxable year in which
20    the taxpayer participated in the reportable transaction
21    and said deficiency is limited to the non-disclosed item.
22        (3) Withholding. If an employer omits from a return
23    required under Section 704A of this Act for any period
24    beginning on or after January 1, 2013, an amount required
25    to be withheld and to be reported on that return which is
26    in excess of 25% of the total amount of withholding

 

 

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1    required to be reported on that return, a notice of
2    deficiency may be issued not later than 6 years after the
3    return was filed.
4    (c) No return or fraudulent return. If no return is filed
5or a false and fraudulent return is filed with intent to evade
6the tax imposed by this Act, a notice of deficiency may be
7issued at any time. For purposes of this subsection (c), any
8taxpayer who is required to join in the filing of a return
9filed under the provisions of subsection (e) of Section 502 of
10this Act for a taxable year ending on or after December 31,
112013 and who is not included on that return and does not file
12its own return for that taxable year shall be deemed to have
13failed to file a return; provided that the amount of any
14proposed assessment set forth in a notice of deficiency issued
15under this subsection (c) shall be limited to the amount of any
16increase in liability under this Act that should have reported
17on the return required under the provisions of subsection (e)
18of Section 502 of this Act for that taxable year resulting from
19proper inclusion of that taxpayer on that return.
20    (d) Failure to report federal change. If a taxpayer fails
21to notify the Department in any case where notification is
22required by Section 304(c) or 506(b), or fails to report a
23change or correction which is treated in the same manner as if
24it were a deficiency for federal income tax purposes, a notice
25of deficiency may be issued (i) at any time or (ii) on or after
26August 13, 1999, at any time for the taxable year for which the

 

 

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1notification is required or for any taxable year to which the
2taxpayer may carry an Article 2 credit, or a Section 207 loss,
3earned, incurred, or used in the year for which the
4notification is required; provided, however, that the amount
5of any proposed assessment set forth in the notice shall be
6limited to the amount of any deficiency resulting under this
7Act from the recomputation of the taxpayer's net income,
8Article 2 credits, or Section 207 loss earned, incurred, or
9used in the taxable year for which the notification is
10required after giving effect to the item or items required to
11be reported.
12    (e) Report of federal change.
13        (1) Before August 13, 1999, in any case where
14    notification of an alteration is given as required by
15    Section 506(b), a notice of deficiency may be issued at
16    any time within 2 years after the date such notification
17    is given, provided, however, that the amount of any
18    proposed assessment set forth in such notice shall be
19    limited to the amount of any deficiency resulting under
20    this Act from recomputation of the taxpayer's net income,
21    net loss, or Article 2 credits for the taxable year after
22    giving effect to the item or items reflected in the
23    reported alteration.
24        (2) On and after August 13, 1999, in any case where
25    notification of an alteration is given as required by
26    Section 506(b), a notice of deficiency may be issued at

 

 

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1    any time within 2 years after the date such notification
2    is given for the taxable year for which the notification
3    is given or for any taxable year to which the taxpayer may
4    carry an Article 2 credit, or a Section 207 loss, earned,
5    incurred, or used in the year for which the notification
6    is given, provided, however, that the amount of any
7    proposed assessment set forth in such notice shall be
8    limited to the amount of any deficiency resulting under
9    this Act from recomputation of the taxpayer's net income,
10    Article 2 credits, or Section 207 loss earned, incurred,
11    or used in the taxable year for which the notification is
12    given after giving effect to the item or items reflected
13    in the reported alteration.
14    (f) Extension by agreement. Where, before the expiration
15of the time prescribed in this Section for the issuance of a
16notice of deficiency, both the Department and the taxpayer
17shall have consented in writing to its issuance after such
18time, such notice may be issued at any time prior to the
19expiration of the period agreed upon. In the case of a taxpayer
20who is a partnership, Subchapter S corporation, or trust and
21who enters into an agreement with the Department pursuant to
22this subsection on or after January 1, 2003, a notice of
23deficiency may be issued to the partners, shareholders, or
24beneficiaries of the taxpayer at any time prior to the
25expiration of the period agreed upon. Any proposed assessment
26set forth in the notice, however, shall be limited to the

 

 

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1amount of any deficiency resulting under this Act from
2recomputation of items of income, deduction, credits, or other
3amounts of the taxpayer that are taken into account by the
4partner, shareholder, or beneficiary in computing its
5liability under this Act. The period so agreed upon may be
6extended by subsequent agreements in writing made before the
7expiration of the period previously agreed upon.
8    (g) Erroneous refunds. In any case in which there has been
9an erroneous refund of tax payable under this Act, a notice of
10deficiency may be issued at any time within 2 years from the
11making of such refund, or within 5 years from the making of
12such refund if it appears that any part of the refund was
13induced by fraud or the misrepresentation of a material fact,
14provided, however, that the amount of any proposed assessment
15set forth in such notice shall be limited to the amount of such
16erroneous refund.
17    Beginning July 1, 1993, in any case in which there has been
18a refund of tax payable under this Act attributable to a net
19loss carryback as provided for in Section 207, and that refund
20is subsequently determined to be an erroneous refund due to a
21reduction in the amount of the net loss which was originally
22carried back, a notice of deficiency for the erroneous refund
23amount may be issued at any time during the same time period in
24which a notice of deficiency can be issued on the loss year
25creating the carryback amount and subsequent erroneous refund.
26The amount of any proposed assessment set forth in the notice

 

 

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1shall be limited to the amount of such erroneous refund.
2    (h) Time return deemed filed. For purposes of this Section
3a tax return filed before the last day prescribed by law
4(including any extension thereof) shall be deemed to have been
5filed on such last day.
6    (i) Request for prompt determination of liability. For
7purposes of subsection (a)(1), in the case of a tax return
8required under this Act in respect of a decedent, or by his
9estate during the period of administration, or by a
10corporation, the period referred to in such Subsection shall
11be 18 months after a written request for prompt determination
12of liability is filed with the Department (at such time and in
13such form and manner as the Department shall by regulations
14prescribe) by the executor, administrator, or other fiduciary
15representing the estate of such decedent, or by such
16corporation, but not more than 3 years after the date the
17return was filed. This subsection shall not apply in the case
18of a corporation unless:
19        (1) (A) such written request notifies the Department
20    that the corporation contemplates dissolution at or before
21    the expiration of such 18-month period, (B) the
22    dissolution is begun in good faith before the expiration
23    of such 18-month period, and (C) the dissolution is
24    completed;
25        (2) (A) such written request notifies the Department
26    that a dissolution has in good faith been begun, and (B)

 

 

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1    the dissolution is completed; or
2        (3) a dissolution has been completed at the time such
3    written request is made.
4    (j) Withholding tax. In the case of returns required under
5Article 7 of this Act (with respect to any amounts withheld as
6tax or any amounts required to have been withheld as tax) a
7notice of deficiency shall be issued not later than 3 years
8after the 15th day of the 4th month following the close of the
9calendar year in which such withholding was required.
10    (k) Penalties for failure to make information reports. A
11notice of deficiency for the penalties provided by Subsection
121405.1(c) of this Act may not be issued more than 3 years after
13the due date of the reports with respect to which the penalties
14are asserted.
15    (l) Penalty for failure to file withholding returns. A
16notice of deficiency for penalties provided by Section 1004 of
17this Act for taxpayer's failure to file withholding returns
18may not be issued more than three years after the 15th day of
19the 4th month following the close of the calendar year in which
20the withholding giving rise to taxpayer's obligation to file
21those returns occurred.
22    (m) Transferee liability. A notice of deficiency may be
23issued to a transferee relative to a liability asserted under
24Section 1405 during time periods defined as follows:
25        1) Initial Transferee. In the case of the liability of
26    an initial transferee, up to 2 years after the expiration

 

 

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1    of the period of limitation for assessment against the
2    transferor, except that if a court proceeding for review
3    of the assessment against the transferor has begun, then
4    up to 2 years after the return of the certified copy of the
5    judgment in the court proceeding.
6        2) Transferee of Transferee. In the case of the
7    liability of a transferee, up to 2 years after the
8    expiration of the period of limitation for assessment
9    against the preceding transferee, but not more than 3
10    years after the expiration of the period of limitation for
11    assessment against the initial transferor; except that if,
12    before the expiration of the period of limitation for the
13    assessment of the liability of the transferee, a court
14    proceeding for the collection of the tax or liability in
15    respect thereof has been begun against the initial
16    transferor or the last preceding transferee, as the case
17    may be, then the period of limitation for assessment of
18    the liability of the transferee shall expire 2 years after
19    the return of the certified copy of the judgment in the
20    court proceeding.
21    (n) Notice of decrease in net loss. On and after August 23,
222002, no notice of deficiency shall be issued as the result of
23a decrease determined by the Department in the net loss
24incurred by a taxpayer in any taxable year ending prior to
25December 31, 2002 under Section 207 of this Act unless the
26Department has notified the taxpayer of the proposed decrease

 

 

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1within 3 years after the return reporting the loss was filed or
2within one year after an amended return reporting an increase
3in the loss was filed, provided that in the case of an amended
4return, a decrease proposed by the Department more than 3
5years after the original return was filed may not exceed the
6increase claimed by the taxpayer on the original return.
7(Source: P.A. 98-496, eff. 1-1-14.)
 
8    Section 20. The Use Tax Act is amended by changing Section
921 as follows:
 
10    (35 ILCS 105/21)  (from Ch. 120, par. 439.21)
11    Sec. 21. As to any claim for credit or refund filed with
12the Department on and after January 1 but on or before June 30
13of any given year, no amount of tax or penalty or interest
14erroneously paid (either in total or partial liquidation of a
15tax or penalty or interest under this Act) more than 3 years
16prior to such January 1 shall be credited or refunded, and as
17to any such claim filed on and after July 1 but on or before
18December 31 of any given year, no amount of tax or penalty or
19interest erroneously paid (either in total or partial
20liquidation of a tax or penalty or interest under this Act)
21more than 3 years prior to such July 1 shall be credited or
22refunded. Notwithstanding any other provision of this Act to
23the contrary, for any period included in a claim for credit or
24refund for which the statute of limitations for issuing a

 

 

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1notice of tax liability under this Act will expire less than 12
2months after the date a taxpayer files the claim for credit or
3refund, the statute of limitations is automatically extended
4for 12 months from the date it would have otherwise expired. No
5claim shall be allowed for any amount paid to the Department,
6whether paid voluntarily or involuntarily, if paid in total or
7partial liquidation of an assessment which had become final
8before the claim for credit or refund to recover the amount so
9paid is filed with the Department, or if paid in total or
10partial liquidation of a judgment or order of court.
11(Source: P.A. 79-1366; 79-1365.)
 
12    Section 25. The Service Occupation Tax Act is amended by
13changing Section 19 as follows:
 
14    (35 ILCS 115/19)  (from Ch. 120, par. 439.119)
15    Sec. 19. As to any claim for credit or refund filed with
16the Department on or after each January 1 and July 1, no amount
17of tax or penalty or interest erroneously paid (either in
18total or partial liquidation of a tax or penalty or interest
19under this Act) more than 3 years prior to such January 1 and
20July 1, respectively, shall be credited or refunded, except
21that if both the Department and taxpayer have agreed to an
22extension of time to issue a notice of tax liability as
23provided in Section 4 of the Retailers' Occupation Tax Act,
24such claim may be filed at any time prior to the expiration of

 

 

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1the period agreed upon. Notwithstanding any other provision of
2this Act to the contrary, for any period included in a claim
3for credit or refund for which the statute of limitations for
4issuing a notice of tax liability under this Act will expire
5less than 12 months after the date a taxpayer files the claim
6for credit or refund, the statute of limitations is
7automatically extended for 12 months from the date it would
8have otherwise expired. No claim shall be allowed for any
9amount paid to the Department, whether paid voluntarily or
10involuntarily, if paid in total or partial liquidation of an
11assessment which had become final before the claim for credit
12or refund to recover the amount so paid is filed with the
13Department, or if paid in total or partial liquidation of a
14judgment or order of court.
15(Source: P.A. 90-562, eff. 12-16-97.)
 
16    Section 30. The Retailers' Occupation Tax Act is amended
17by changing Sections 2a and 6 as follows:
 
18    (35 ILCS 120/2a)  (from Ch. 120, par. 441a)
19    Sec. 2a. It is unlawful for any person to engage in the
20business of selling tangible personal property at retail in
21this State without a certificate of registration from the
22Department. Application for a certificate of registration
23shall be made to the Department upon forms furnished by it.
24Each such application shall be signed and verified and shall

 

 

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1state: (1) the name and social security number of the
2applicant; (2) the address of his principal place of business;
3(3) the address of the principal place of business from which
4he engages in the business of selling tangible personal
5property at retail in this State and the addresses of all other
6places of business, if any (enumerating such addresses, if
7any, in a separate list attached to and made a part of the
8application), from which he engages in the business of selling
9tangible personal property at retail in this State; (4) the
10name and address of the person or persons who will be
11responsible for filing returns and payment of taxes due under
12this Act; (5) in the case of a publicly traded corporation, the
13name and title of the Chief Financial Officer, Chief Operating
14Officer, and any other officer or employee with responsibility
15for preparing tax returns under this Act, and, in the case of
16all other corporations, the name, title, and social security
17number of each corporate officer; (6) in the case of a limited
18liability company, the name, social security number, and FEIN
19number of each manager and member; and (7) such other
20information as the Department may reasonably require. The
21application shall contain an acceptance of responsibility
22signed by the person or persons who will be responsible for
23filing returns and payment of the taxes due under this Act. If
24the applicant will sell tangible personal property at retail
25through vending machines, his application to register shall
26indicate the number of vending machines to be so operated. If

 

 

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1requested by the Department at any time, that person shall
2verify the total number of vending machines he or she uses in
3his or her business of selling tangible personal property at
4retail.
5    The Department shall provide by rule for an expedited
6business registration process for remote retailers required to
7register and file under subsection (b) of Section 2 who use a
8certified service provider to file their returns under this
9Act. Such expedited registration process shall allow the
10Department to register a taxpayer based upon the same
11registration information required by the Streamlined Sales Tax
12Governing Board for states participating in the Streamlined
13Sales Tax Project.
14    The Department may deny a certificate of registration to
15any applicant if a person who is named as the owner, a partner,
16a manager or member of a limited liability company, or a
17corporate officer of the applicant on the application for the
18certificate of registration is or has been named as the owner,
19a partner, a manager or member of a limited liability company,
20or a corporate officer on the application for the certificate
21of registration of another retailer that is in default for
22moneys due under this Act or any other tax or fee Act
23administered by the Department. For purposes of this paragraph
24only, in determining whether a person is in default for moneys
25due, the Department shall include only amounts established as
26a final liability within the 23 20 years prior to the date of

 

 

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1the Department's notice of denial of a certificate of
2registration.
3    The Department may require an applicant for a certificate
4of registration hereunder to, at the time of filing such
5application, furnish a bond from a surety company authorized
6to do business in the State of Illinois, or an irrevocable bank
7letter of credit or a bond signed by 2 personal sureties who
8have filed, with the Department, sworn statements disclosing
9net assets equal to at least 3 times the amount of the bond to
10be required of such applicant, or a bond secured by an
11assignment of a bank account or certificate of deposit, stocks
12or bonds, conditioned upon the applicant paying to the State
13of Illinois all moneys becoming due under this Act and under
14any other State tax law or municipal or county tax ordinance or
15resolution under which the certificate of registration that is
16issued to the applicant under this Act will permit the
17applicant to engage in business without registering separately
18under such other law, ordinance or resolution. In making a
19determination as to whether to require a bond or other
20security, the Department shall take into consideration whether
21the owner, any partner, any manager or member of a limited
22liability company, or a corporate officer of the applicant is
23or has been the owner, a partner, a manager or member of a
24limited liability company, or a corporate officer of another
25retailer that is in default for moneys due under this Act or
26any other tax or fee Act administered by the Department; and

 

 

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1whether the owner, any partner, any manager or member of a
2limited liability company, or a corporate officer of the
3applicant is or has been the owner, a partner, a manager or
4member of a limited liability company, or a corporate officer
5of another retailer whose certificate of registration has been
6revoked within the previous 5 years under this Act or any other
7tax or fee Act administered by the Department. If a bond or
8other security is required, the Department shall fix the
9amount of the bond or other security, taking into
10consideration the amount of money expected to become due from
11the applicant under this Act and under any other State tax law
12or municipal or county tax ordinance or resolution under which
13the certificate of registration that is issued to the
14applicant under this Act will permit the applicant to engage
15in business without registering separately under such other
16law, ordinance, or resolution. The amount of security required
17by the Department shall be such as, in its opinion, will
18protect the State of Illinois against failure to pay the
19amount which may become due from the applicant under this Act
20and under any other State tax law or municipal or county tax
21ordinance or resolution under which the certificate of
22registration that is issued to the applicant under this Act
23will permit the applicant to engage in business without
24registering separately under such other law, ordinance or
25resolution, but the amount of the security required by the
26Department shall not exceed three times the amount of the

 

 

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1applicant's average monthly tax liability, or $50,000.00,
2whichever amount is lower.
3    No certificate of registration under this Act shall be
4issued by the Department until the applicant provides the
5Department with satisfactory security, if required, as herein
6provided for.
7    Upon receipt of the application for certificate of
8registration in proper form, and upon approval by the
9Department of the security furnished by the applicant, if
10required, the Department shall issue to such applicant a
11certificate of registration which shall permit the person to
12whom it is issued to engage in the business of selling tangible
13personal property at retail in this State. The certificate of
14registration shall be conspicuously displayed at the place of
15business which the person so registered states in his
16application to be the principal place of business from which
17he engages in the business of selling tangible personal
18property at retail in this State.
19    No certificate of registration issued prior to July 1,
202017 to a taxpayer who files returns required by this Act on a
21monthly basis or renewed prior to July 1, 2017 by a taxpayer
22who files returns required by this Act on a monthly basis shall
23be valid after the expiration of 5 years from the date of its
24issuance or last renewal. No certificate of registration
25issued on or after July 1, 2017 to a taxpayer who files returns
26required by this Act on a monthly basis or renewed on or after

 

 

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1July 1, 2017 by a taxpayer who files returns required by this
2Act on a monthly basis shall be valid after the expiration of
3one year from the date of its issuance or last renewal. The
4expiration date of a sub-certificate of registration shall be
5that of the certificate of registration to which the
6sub-certificate relates. Prior to July 1, 2017, a certificate
7of registration shall automatically be renewed, subject to
8revocation as provided by this Act, for an additional 5 years
9from the date of its expiration unless otherwise notified by
10the Department as provided by this paragraph. On and after
11July 1, 2017, a certificate of registration shall
12automatically be renewed, subject to revocation as provided by
13this Act, for an additional one year from the date of its
14expiration unless otherwise notified by the Department as
15provided by this paragraph.
16    Where a taxpayer to whom a certificate of registration is
17issued under this Act is in default to the State of Illinois
18for delinquent returns or for moneys due under this Act or any
19other State tax law or municipal or county ordinance
20administered or enforced by the Department, the Department
21shall, not less than 60 days before the expiration date of such
22certificate of registration, give notice to the taxpayer to
23whom the certificate was issued of the account period of the
24delinquent returns, the amount of tax, penalty and interest
25due and owing from the taxpayer, and that the certificate of
26registration shall not be automatically renewed upon its

 

 

SB2279- 21 -LRB102 16048 HLH 21420 b

1expiration date unless the taxpayer, on or before the date of
2expiration, has filed and paid the delinquent returns or paid
3the defaulted amount in full. A taxpayer to whom such a notice
4is issued shall be deemed an applicant for renewal. The
5Department shall promulgate regulations establishing
6procedures for taxpayers who file returns on a monthly basis
7but desire and qualify to change to a quarterly or yearly
8filing basis and will no longer be subject to renewal under
9this Section, and for taxpayers who file returns on a yearly or
10quarterly basis but who desire or are required to change to a
11monthly filing basis and will be subject to renewal under this
12Section.
13    The Department may in its discretion approve renewal by an
14applicant who is in default if, at the time of application for
15renewal, the applicant files all of the delinquent returns or
16pays to the Department such percentage of the defaulted amount
17as may be determined by the Department and agrees in writing to
18waive all limitations upon the Department for collection of
19the remaining defaulted amount to the Department over a period
20not to exceed 5 years from the date of renewal of the
21certificate; however, no renewal application submitted by an
22applicant who is in default shall be approved if the
23immediately preceding renewal by the applicant was conditioned
24upon the installment payment agreement described in this
25Section. The payment agreement herein provided for shall be in
26addition to and not in lieu of the security that may be

 

 

SB2279- 22 -LRB102 16048 HLH 21420 b

1required by this Section of a taxpayer who is no longer
2considered a prior continuous compliance taxpayer. The
3execution of the payment agreement as provided in this Act
4shall not toll the accrual of interest at the statutory rate.
5    The Department may suspend a certificate of registration
6if the Department finds that the person to whom the
7certificate of registration has been issued knowingly sold
8contraband cigarettes.
9    A certificate of registration issued under this Act more
10than 5 years before January 1, 1990 (the effective date of
11Public Act 86-383) shall expire and be subject to the renewal
12provisions of this Section on the next anniversary of the date
13of issuance of such certificate which occurs more than 6
14months after January 1, 1990 (the effective date of Public Act
1586-383). A certificate of registration issued less than 5
16years before January 1, 1990 (the effective date of Public Act
1786-383) shall expire and be subject to the renewal provisions
18of this Section on the 5th anniversary of the issuance of the
19certificate.
20    If the person so registered states that he operates other
21places of business from which he engages in the business of
22selling tangible personal property at retail in this State,
23the Department shall furnish him with a sub-certificate of
24registration for each such place of business, and the
25applicant shall display the appropriate sub-certificate of
26registration at each such place of business. All

 

 

SB2279- 23 -LRB102 16048 HLH 21420 b

1sub-certificates of registration shall bear the same
2registration number as that appearing upon the certificate of
3registration to which such sub-certificates relate.
4    If the applicant will sell tangible personal property at
5retail through vending machines, the Department shall furnish
6him with a sub-certificate of registration for each such
7vending machine, and the applicant shall display the
8appropriate sub-certificate of registration on each such
9vending machine by attaching the sub-certificate of
10registration to a conspicuous part of such vending machine. If
11a person who is registered to sell tangible personal property
12at retail through vending machines adds an additional vending
13machine or additional vending machines to the number of
14vending machines he or she uses in his or her business of
15selling tangible personal property at retail, he or she shall
16notify the Department, on a form prescribed by the Department,
17to request an additional sub-certificate or additional
18sub-certificates of registration, as applicable. With each
19such request, the applicant shall report the number of
20sub-certificates of registration he or she is requesting as
21well as the total number of vending machines from which he or
22she makes retail sales.
23    Where the same person engages in 2 or more businesses of
24selling tangible personal property at retail in this State,
25which businesses are substantially different in character or
26engaged in under different trade names or engaged in under

 

 

SB2279- 24 -LRB102 16048 HLH 21420 b

1other substantially dissimilar circumstances (so that it is
2more practicable, from an accounting, auditing or bookkeeping
3standpoint, for such businesses to be separately registered),
4the Department may require or permit such person (subject to
5the same requirements concerning the furnishing of security as
6those that are provided for hereinbefore in this Section as to
7each application for a certificate of registration) to apply
8for and obtain a separate certificate of registration for each
9such business or for any of such businesses, under a single
10certificate of registration supplemented by related
11sub-certificates of registration.
12    Any person who is registered under the Retailers'
13Occupation Tax Act as of March 8, 1963, and who, during the
143-year period immediately prior to March 8, 1963, or during a
15continuous 3-year period part of which passed immediately
16before and the remainder of which passes immediately after
17March 8, 1963, has been so registered continuously and who is
18determined by the Department not to have been either
19delinquent or deficient in the payment of tax liability during
20that period under this Act or under any other State tax law or
21municipal or county tax ordinance or resolution under which
22the certificate of registration that is issued to the
23registrant under this Act will permit the registrant to engage
24in business without registering separately under such other
25law, ordinance or resolution, shall be considered to be a
26Prior Continuous Compliance taxpayer. Also any taxpayer who

 

 

SB2279- 25 -LRB102 16048 HLH 21420 b

1has, as verified by the Department, faithfully and
2continuously complied with the condition of his bond or other
3security under the provisions of this Act for a period of 3
4consecutive years shall be considered to be a Prior Continuous
5Compliance taxpayer.
6    Every Prior Continuous Compliance taxpayer shall be exempt
7from all requirements under this Act concerning the furnishing
8of a bond or other security as a condition precedent to his
9being authorized to engage in the business of selling tangible
10personal property at retail in this State. This exemption
11shall continue for each such taxpayer until such time as he may
12be determined by the Department to be delinquent in the filing
13of any returns, or is determined by the Department (either
14through the Department's issuance of a final assessment which
15has become final under the Act, or by the taxpayer's filing of
16a return which admits tax that is not paid to be due) to be
17delinquent or deficient in the paying of any tax under this Act
18or under any other State tax law or municipal or county tax
19ordinance or resolution under which the certificate of
20registration that is issued to the registrant under this Act
21will permit the registrant to engage in business without
22registering separately under such other law, ordinance or
23resolution, at which time that taxpayer shall become subject
24to all the financial responsibility requirements of this Act
25and, as a condition of being allowed to continue to engage in
26the business of selling tangible personal property at retail,

 

 

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1may be required to post bond or other acceptable security with
2the Department covering liability which such taxpayer may
3thereafter incur. Any taxpayer who fails to pay an admitted or
4established liability under this Act may also be required to
5post bond or other acceptable security with this Department
6guaranteeing the payment of such admitted or established
7liability.
8    No certificate of registration shall be issued to any
9person who is in default to the State of Illinois for moneys
10due under this Act or under any other State tax law or
11municipal or county tax ordinance or resolution under which
12the certificate of registration that is issued to the
13applicant under this Act will permit the applicant to engage
14in business without registering separately under such other
15law, ordinance or resolution.
16    Any person aggrieved by any decision of the Department
17under this Section may, within 20 days after notice of such
18decision, protest and request a hearing, whereupon the
19Department shall give notice to such person of the time and
20place fixed for such hearing and shall hold a hearing in
21conformity with the provisions of this Act and then issue its
22final administrative decision in the matter to such person. In
23the absence of such a protest within 20 days, the Department's
24decision shall become final without any further determination
25being made or notice given.
26    With respect to security other than bonds (upon which the

 

 

SB2279- 27 -LRB102 16048 HLH 21420 b

1Department may sue in the event of a forfeiture), if the
2taxpayer fails to pay, when due, any amount whose payment such
3security guarantees, the Department shall, after such
4liability is admitted by the taxpayer or established by the
5Department through the issuance of a final assessment that has
6become final under the law, convert the security which that
7taxpayer has furnished into money for the State, after first
8giving the taxpayer at least 10 days' written notice, by
9registered or certified mail, to pay the liability or forfeit
10such security to the Department. If the security consists of
11stocks or bonds or other securities which are listed on a
12public exchange, the Department shall sell such securities
13through such public exchange. If the security consists of an
14irrevocable bank letter of credit, the Department shall
15convert the security in the manner provided for in the Uniform
16Commercial Code. If the security consists of a bank
17certificate of deposit, the Department shall convert the
18security into money by demanding and collecting the amount of
19such bank certificate of deposit from the bank which issued
20such certificate. If the security consists of a type of stocks
21or other securities which are not listed on a public exchange,
22the Department shall sell such security to the highest and
23best bidder after giving at least 10 days' notice of the date,
24time and place of the intended sale by publication in the
25"State Official Newspaper". If the Department realizes more
26than the amount of such liability from the security, plus the

 

 

SB2279- 28 -LRB102 16048 HLH 21420 b

1expenses incurred by the Department in converting the security
2into money, the Department shall pay such excess to the
3taxpayer who furnished such security, and the balance shall be
4paid into the State Treasury.
5    The Department shall discharge any surety and shall
6release and return any security deposited, assigned, pledged
7or otherwise provided to it by a taxpayer under this Section
8within 30 days after:
9        (1) such taxpayer becomes a Prior Continuous
10    Compliance taxpayer; or
11        (2) such taxpayer has ceased to collect receipts on
12    which he is required to remit tax to the Department, has
13    filed a final tax return, and has paid to the Department an
14    amount sufficient to discharge his remaining tax
15    liability, as determined by the Department, under this Act
16    and under every other State tax law or municipal or county
17    tax ordinance or resolution under which the certificate of
18    registration issued under this Act permits the registrant
19    to engage in business without registering separately under
20    such other law, ordinance or resolution. The Department
21    shall make a final determination of the taxpayer's
22    outstanding tax liability as expeditiously as possible
23    after his final tax return has been filed; if the
24    Department cannot make such final determination within 45
25    days after receiving the final tax return, within such
26    period it shall so notify the taxpayer, stating its

 

 

SB2279- 29 -LRB102 16048 HLH 21420 b

1    reasons therefor.
2(Source: P.A. 100-302, eff. 8-24-17; 100-303, eff. 8-24-17;
3100-863, eff. 8-14-18; 101-31, eff. 6-28-19.)
 
4    (35 ILCS 120/6)  (from Ch. 120, par. 445)
5    Sec. 6. Credit memorandum or refund. If it appears, after
6claim therefor filed with the Department, that an amount of
7tax or penalty or interest has been paid which was not due
8under this Act, whether as the result of a mistake of fact or
9an error of law, except as hereinafter provided, then the
10Department shall issue a credit memorandum or refund to the
11person who made the erroneous payment or, if that person died
12or became a person under legal disability, to his or her legal
13representative, as such. For purposes of this Section, the tax
14is deemed to be erroneously paid by a retailer when the
15manufacturer of a motor vehicle sold by the retailer accepts
16the return of that automobile and refunds to the purchaser the
17selling price of that vehicle as provided in the New Vehicle
18Buyer Protection Act. When a motor vehicle is returned for a
19refund of the purchase price under the New Vehicle Buyer
20Protection Act, the Department shall issue a credit memorandum
21or a refund for the amount of tax paid by the retailer under
22this Act attributable to the initial sale of that vehicle.
23Claims submitted by the retailer are subject to the same
24restrictions and procedures provided for in this Act. If it is
25determined that the Department should issue a credit

 

 

SB2279- 30 -LRB102 16048 HLH 21420 b

1memorandum or refund, the Department may first apply the
2amount thereof against any tax or penalty or interest due or to
3become due under this Act or under the Use Tax Act, the Service
4Occupation Tax Act, the Service Use Tax Act, any local
5occupation or use tax administered by the Department, Section
64 of the Water Commission Act of 1985, subsections (b), (c) and
7(d) of Section 5.01 of the Local Mass Transit District Act, or
8subsections (e), (f) and (g) of Section 4.03 of the Regional
9Transportation Authority Act, from the person who made the
10erroneous payment. If no tax or penalty or interest is due and
11no proceeding is pending to determine whether such person is
12indebted to the Department for tax or penalty or interest, the
13credit memorandum or refund shall be issued to the claimant;
14or (in the case of a credit memorandum) the credit memorandum
15may be assigned and set over by the lawful holder thereof,
16subject to reasonable rules of the Department, to any other
17person who is subject to this Act, the Use Tax Act, the Service
18Occupation Tax Act, the Service Use Tax Act, any local
19occupation or use tax administered by the Department, Section
204 of the Water Commission Act of 1985, subsections (b), (c) and
21(d) of Section 5.01 of the Local Mass Transit District Act, or
22subsections (e), (f) and (g) of Section 4.03 of the Regional
23Transportation Authority Act, and the amount thereof applied
24by the Department against any tax or penalty or interest due or
25to become due under this Act or under the Use Tax Act, the
26Service Occupation Tax Act, the Service Use Tax Act, any local

 

 

SB2279- 31 -LRB102 16048 HLH 21420 b

1occupation or use tax administered by the Department, Section
24 of the Water Commission Act of 1985, subsections (b), (c) and
3(d) of Section 5.01 of the Local Mass Transit District Act, or
4subsections (e), (f) and (g) of Section 4.03 of the Regional
5Transportation Authority Act, from such assignee. However, as
6to any claim for credit or refund filed with the Department on
7and after each January 1 and July 1 no amount of tax or penalty
8or interest erroneously paid (either in total or partial
9liquidation of a tax or penalty or amount of interest under
10this Act) more than 3 years prior to such January 1 and July 1,
11respectively, shall be credited or refunded, except that if
12both the Department and the taxpayer have agreed to an
13extension of time to issue a notice of tax liability as
14provided in Section 4 of this Act, such claim may be filed at
15any time prior to the expiration of the period agreed upon.
16Notwithstanding any other provision of this Act to the
17contrary, for any period included in a claim for credit or
18refund for which the statute of limitations for issuing a
19notice of tax liability under this Act will expire less than 12
20months after the date a taxpayer files the claim for credit or
21refund, the statute of limitations is automatically extended
22for 12 months from the date it would have otherwise expired.
23    No claim may be allowed for any amount paid to the
24Department, whether paid voluntarily or involuntarily, if paid
25in total or partial liquidation of an assessment which had
26become final before the claim for credit or refund to recover

 

 

SB2279- 32 -LRB102 16048 HLH 21420 b

1the amount so paid is filed with the Department, or if paid in
2total or partial liquidation of a judgment or order of court.
3No credit may be allowed or refund made for any amount paid by
4or collected from any claimant unless it appears (a) that the
5claimant bore the burden of such amount and has not been
6relieved thereof nor reimbursed therefor and has not shifted
7such burden directly or indirectly through inclusion of such
8amount in the price of the tangible personal property sold by
9him or her or in any manner whatsoever; and that no
10understanding or agreement, written or oral, exists whereby he
11or she or his or her legal representative may be relieved of
12the burden of such amount, be reimbursed therefor or may shift
13the burden thereof; or (b) that he or she or his or her legal
14representative has repaid unconditionally such amount to his
15or her vendee (1) who bore the burden thereof and has not
16shifted such burden directly or indirectly, in any manner
17whatsoever; (2) who, if he or she has shifted such burden, has
18repaid unconditionally such amount to his own vendee; and (3)
19who is not entitled to receive any reimbursement therefor from
20any other source than from his or her vendor, nor to be
21relieved of such burden in any manner whatsoever. No credit
22may be allowed or refund made for any amount paid by or
23collected from any claimant unless it appears that the
24claimant has unconditionally repaid, to the purchaser, any
25amount collected from the purchaser and retained by the
26claimant with respect to the same transaction under the Use

 

 

SB2279- 33 -LRB102 16048 HLH 21420 b

1Tax Act.
2    Any credit or refund that is allowed under this Section
3shall bear interest at the rate and in the manner specified in
4the Uniform Penalty and Interest Act.
5    In case the Department determines that the claimant is
6entitled to a refund, such refund shall be made only from the
7Aviation Fuel Sales Tax Refund Fund or from such appropriation
8as may be available for that purpose, as appropriate. If it
9appears unlikely that the amount available would permit
10everyone having a claim allowed during the period covered by
11such appropriation or from the Aviation Fuel Sales Tax Refund
12Fund, as appropriate, to elect to receive a cash refund, the
13Department, by rule or regulation, shall provide for the
14payment of refunds in hardship cases and shall define what
15types of cases qualify as hardship cases.
16    If a retailer who has failed to pay retailers' occupation
17tax on gross receipts from retail sales is required by the
18Department to pay such tax, such retailer, without filing any
19formal claim with the Department, shall be allowed to take
20credit against such retailers' occupation tax liability to the
21extent, if any, to which such retailer has paid an amount
22equivalent to retailers' occupation tax or has paid use tax in
23error to his or her vendor or vendors of the same tangible
24personal property which such retailer bought for resale and
25did not first use before selling it, and no penalty or interest
26shall be charged to such retailer on the amount of such credit.

 

 

SB2279- 34 -LRB102 16048 HLH 21420 b

1However, when such credit is allowed to the retailer by the
2Department, the vendor is precluded from refunding any of that
3tax to the retailer and filing a claim for credit or refund
4with respect thereto with the Department. The provisions of
5this amendatory Act shall be applied retroactively, regardless
6of the date of the transaction.
7(Source: P.A. 101-10, eff. 6-5-19.)
 
8    Section 35. The Cigarette Machine Operators' Occupation
9Tax Act is amended by changing Section 1-55 as follows:
 
10    (35 ILCS 128/1-55)
11    Sec. 1-55. Claims; credit memorandum or refunds. If it
12appears, after claim is filed with the Department, that an
13amount of tax or penalty has been paid which was not due under
14this Act, whether as the result of a mistake of fact or an
15error of law, except as hereinafter provided, then the
16Department shall issue a credit memorandum or refund to the
17person who made the erroneous payment or, if that person has
18died or become a person under legal disability, to his or her
19legal representative.
20    If it is determined that the Department should issue a
21credit or refund under this Act, the Department may first
22apply the amount thereof against any amount of tax or penalty
23due under this Act, the Cigarette Tax Act, the Cigarette Use
24Tax Act, or the Tobacco Products Act of 1995 from the person

 

 

SB2279- 35 -LRB102 16048 HLH 21420 b

1entitled to that credit or refund. For this purpose, if
2proceedings are pending to determine whether or not any tax or
3penalty is due under this Act or under the Cigarette Tax Act,
4Cigarette Use Tax Act, or the Tobacco Products Act of 1995 from
5the person, the Department may withhold issuance of the credit
6or refund pending the final disposition of such proceedings
7and may apply such credit or refund against any amount found to
8be due to the Department under this Act, the Cigarette Tax Act,
9the Cigarette Use Tax Act, or the Tobacco Products Act of 1995
10as a result of such proceedings. The balance, if any, of the
11credit or refund shall be issued to the person entitled
12thereto.
13    If no tax or penalty is due and no proceeding is pending to
14determine whether such taxpayer is indebted to the Department
15for the payment of a tax or penalty, the credit memorandum or
16refund shall be issued to the claimant; or (in the case of a
17credit memorandum) the credit memorandum may be assigned and
18set over by the lawful holder thereof, subject to reasonable
19rules of the Department, to any other person who is subject to
20this Act, the Cigarette Tax Act, the Cigarette Use Tax Act, or
21the Tobacco Products Act of 1995, and the amount thereof shall
22be applied by the Department against any tax or penalty due or
23to become due under this Act, the Cigarette Tax Act, the
24Cigarette Use Tax Act, or the Tobacco Products Act of 1995 from
25such assignee.
26    As to any claim filed hereunder with the Department on and

 

 

SB2279- 36 -LRB102 16048 HLH 21420 b

1after each January 1 and July 1, no amount of tax or penalty
2erroneously paid (either in total or partial liquidation of a
3tax or penalty under this Act) more than 3 years prior to such
4January 1 and July 1, respectively, shall be credited or
5refunded, except that, if both the Department and the taxpayer
6have agreed to an extension of time to issue a notice of tax
7liability under this Act, the claim may be filed at any time
8prior to the expiration of the period agreed upon.
9Notwithstanding any other provision of this Act to the
10contrary, for any period included in a claim for credit or
11refund for which the statute of limitations for issuing a
12notice of tax liability under this Act will expire less than 12
13months after the date a taxpayer files the claim for credit or
14refund, the statute of limitations is automatically extended
15for 12 months from the date it would have otherwise expired.
16    Any credit or refund that is allowed under this Act shall
17bear interest at the rate and in the manner set forth in the
18Uniform Penalty and Interest Act.
19    In case the Department determines that the claimant is
20entitled to a refund, such refund shall be made only from
21appropriations available for that purpose. If it appears
22unlikely that the amount appropriated would permit everyone
23having a claim allowed during the period covered by such
24appropriation to elect to receive a cash refund, the
25Department, by rule or regulation, shall provide for the
26payment of refunds in hardship cases and shall define what

 

 

SB2279- 37 -LRB102 16048 HLH 21420 b

1types of cases qualify as hardship cases.
2    The provisions of Sections 6a, 6b, and 6c of the
3Retailers' Occupation Tax Act which are not inconsistent with
4this Act shall apply, as far as practicable, to the subject
5matter of this Act to the same extent as if such provisions
6were included herein.
7(Source: P.A. 97-688, eff. 6-14-12.)
 
8    Section 40. The Cigarette Tax Act is amended by changing
9Section 9d as follows:
 
10    (35 ILCS 130/9d)  (from Ch. 120, par. 453.9d)
11    Sec. 9d. If it appears, after claim therefor filed with
12the Department, that an amount of tax or penalty has been paid
13which was not due under this Act, whether as the result of a
14mistake of fact or an error of law, except as hereinafter
15provided, then the Department shall issue a credit memorandum
16or refund to the person who made the erroneous payment or, if
17that person has died or become a person under legal
18disability, to his or her legal representative, as such.
19    If it is determined that the Department should issue a
20credit or refund under this Act, the Department may first
21apply the amount thereof against any amount of tax or penalty
22due under this Act or under the Cigarette Use Tax Act from the
23person entitled to such credit or refund. For this purpose, if
24proceedings are pending to determine whether or not any tax or

 

 

SB2279- 38 -LRB102 16048 HLH 21420 b

1penalty is due under this Act or under the Cigarette Use Tax
2Act from such person, the Department may withhold issuance of
3the credit or refund pending the final disposition of such
4proceedings and may apply such credit or refund against any
5amount found to be due to the Department under this Act or
6under the Cigarette Use Tax Act as a result of such
7proceedings. The balance, if any, of the credit or refund
8shall be issued to the person entitled thereto.
9    If no tax or penalty is due and no proceeding is pending to
10determine whether such taxpayer is indebted to the Department
11for tax or penalty, the credit memorandum or refund shall be
12issued to the claimant; or (in the case of a credit memorandum)
13the credit memorandum may be assigned and set over by the
14lawful holder thereof, subject to reasonable rules of the
15Department, to any other person who is subject to this Act or
16the Cigarette Use Tax Act, and the amount thereof shall be
17applied by the Department against any tax or penalty due or to
18become due under this Act or under the Cigarette Use Tax Act
19from such assignee.
20    As to any claim filed hereunder with the Department on and
21after each January 1 and July 1, no amount of tax or penalty
22erroneously paid (either in total or partial liquidation of a
23tax or penalty under this Act) more than 3 years prior to such
24January 1 and July 1, respectively, shall be credited or
25refunded, except that if both the Department and the taxpayer
26have agreed to an extension of time to issue a notice of tax

 

 

SB2279- 39 -LRB102 16048 HLH 21420 b

1liability under this Act, the claim may be filed at any time
2prior to the expiration of the period agreed upon.
3Notwithstanding any other provision of this Act to the
4contrary, for any period included in a claim for credit or
5refund for which the statute of limitations for issuing a
6notice of tax liability under this Act will expire less than 12
7months after the date a taxpayer files the claim for credit or
8refund, the statute of limitations is automatically extended
9for 12 months from the date it would have otherwise expired.
10    If the Department approves a claim for stamps affixed to a
11product returned to a manufacturer or for replacement of
12stamps, the credit memorandum shall not exceed the face value
13of stamps originally affixed, and replacement stamps shall be
14issued only in an amount equal to the value of the stamps
15previously affixed. Higher denomination stamps shall not be
16issued as replacements for lower value stamps. Distributors
17must prove the face value of the stamps which have been
18destroyed or returned to manufacturers when filing claims.
19    Any credit or refund that is allowed under this Act shall
20bear interest at the rate and in the manner set forth in the
21Uniform Penalty and Interest Act.
22    In case the Department determines that the claimant is
23entitled to a refund, such refund shall be made only from such
24appropriation as may be available for that purpose. If it
25appears unlikely that the amount appropriated would permit
26everyone having a claim allowed during the period covered by

 

 

SB2279- 40 -LRB102 16048 HLH 21420 b

1such appropriation to elect to receive a cash refund, the
2Department, by rule or regulation, shall provide for the
3payment of refunds in hardship cases and shall define what
4types of cases qualify as hardship cases.
5    If the Department approves a claim for the physical
6replacement of cigarette tax stamps, the Department (subject
7to the same limitations as those provided for hereinbefore in
8this Section) may issue an assignable credit memorandum or
9refund to the claimant or to the claimant's legal
10representative.
11    The provisions of Sections 6a, 6b and 6c of the Retailers'
12Occupation Tax Act which are not inconsistent with this Act,
13shall apply, as far as practicable, to the subject matter of
14this Act to the same extent as if such provisions were included
15herein.
16(Source: P.A. 90-491, eff. 1-1-98.)
 
17    Section 45. The Cigarette Use Tax Act is amended by
18changing Section 14a as follows:
 
19    (35 ILCS 135/14a)  (from Ch. 120, par. 453.44a)
20    Sec. 14a. If it appears, after claim therefor filed with
21the Department, that an amount of tax or penalty has been paid
22which was not due under this Act, whether as the result of a
23mistake of fact or an error of law, except as hereinafter
24provided, then the Department shall issue a credit memorandum

 

 

SB2279- 41 -LRB102 16048 HLH 21420 b

1or refund to the person who made the erroneous payment or, if
2that person has died or become a person under legal
3disability, to his or her legal representative, as such.
4    If it is determined that the Department should issue a
5credit or refund under this Act, the Department may first
6apply the amount thereof against any amount of tax or penalty
7due under this Act or under the Cigarette Tax Act from the
8person entitled to such credit or refund. For this purpose, if
9proceedings are pending to determine whether or not any tax or
10penalty is due under this Act or under the Cigarette Tax Act
11from such person, the Department may withhold issuance of the
12credit or refund pending the final disposition of such
13proceedings and may apply such credit or refund against any
14amount found to be due to the Department under this Act or
15under the Cigarette Tax Act as a result of such proceedings.
16The balance, if any, of the credit or refund shall be issued to
17the person entitled thereto.
18    If no tax or penalty is due and no proceeding is pending to
19determine whether such taxpayer is indebted to the Department
20for tax or penalty, the credit memorandum or refund shall be
21issued to the claimant; or (in the case of a credit memorandum)
22may be assigned and set over by the lawful holder thereof,
23subject to reasonable rules of the Department, to any other
24person who is subject to this Act or the Cigarette Tax Act, and
25the amount thereof shall be applied by the Department against
26any tax or penalty due or to become due under this Act or under

 

 

SB2279- 42 -LRB102 16048 HLH 21420 b

1the Cigarette Tax Act from such assignee.
2    As to any claim filed hereunder with the Department on and
3after each January 1 and July 1, no amount of tax or penalty
4erroneously paid (either in total or partial liquidation of a
5tax or penalty under this Act) more than 3 years prior to such
6January 1 and July 1, respectively, shall be credited or
7refunded, except that if both the Department and the taxpayer
8have agreed to an extension of time to issue a notice of tax
9liability under this Act, the claim may be filed at any time
10prior to the expiration of the period agreed upon.
11Notwithstanding any other provision of this Act to the
12contrary, for any period included in a claim for credit or
13refund for which the statute of limitations for issuing a
14notice of tax liability under this Act will expire less than 12
15months after the date a taxpayer files the claim for credit or
16refund, the statute of limitations is automatically extended
17for 12 months from the date it would have otherwise expired.
18    In case the Department determines that the claimant is
19entitled to a refund, such refund shall be made only from such
20appropriation as may be available for that purpose. If it
21appears unlikely that the amount appropriated would permit
22everyone having a claim allowed during the period covered by
23such appropriation to elect to receive a cash refund, the
24Department, by rule or regulation, shall provide for the
25payment of refunds in hardship cases and shall define what
26types of cases qualify as hardship cases.

 

 

SB2279- 43 -LRB102 16048 HLH 21420 b

1    If the Department approves a claim for the physical
2replacement of cigarette tax stamps, the Department (subject
3to the same limitations as those provided for hereinbefore in
4this Section) may issue an assignable credit memorandum or
5refund to the claimant or to the claimant's legal
6representative.
7    Any credit or refund that is allowed under this Act shall
8bear interest at the rate and in the manner set forth in the
9Uniform Penalty and Interest Act.
10    The provisions of Sections 6a, 6b and 6c of the
11"Retailers' Occupation Tax Act", approved June 28, 1933, as
12amended, in effect on the effective date of this amendatory
13Act, as subsequently amended, which are not inconsistent with
14this Act, shall apply, as far as practicable, to the subject
15matter of this Act to the same extent as if such provisions
16were included herein.
17(Source: P.A. 90-491, eff. 1-1-98.)
 
18    Section 50. The Property Tax Code is amended by changing
19Sections 11-25 and 16-180 as follows:
 
20    (35 ILCS 200/11-25)
21    Sec. 11-25. Certification procedure. Application for a
22pollution control facility certificate shall be filed with the
23Pollution Control Board in a manner and form prescribed in
24regulations issued by that board. The application shall

 

 

SB2279- 44 -LRB102 16048 HLH 21420 b

1contain appropriate and available descriptive information
2concerning anything claimed to be entitled in whole or in part
3to tax treatment as a pollution control facility. If it is
4found that the claimed facility or relevant portion thereof is
5a pollution control facility as defined in Section 11-10, the
6Pollution Control Board, acting through its Chairman or his or
7her specifically authorized delegate, shall enter a finding
8and issue a certificate to that effect. The certificate shall
9require tax treatment as a pollution control facility, but
10only for the portion certified if only a portion is certified.
11The effective date of a certificate shall be the date of the
12last submission of documentation that finalizes the
13application for the certificate or the date of the
14construction of the facility, whichever is later.
15(Source: P.A. 100-201, eff. 8-18-17.)
 
16    (35 ILCS 200/16-180)
17    Sec. 16-180. Procedure for determination of correct
18assessment and filing fees.
19    (a) The Property Tax Appeal Board shall establish by rules
20an informal procedure for the determination of the correct
21assessment of property which is the subject of an appeal. The
22procedure, to the extent that the Board considers practicable,
23shall eliminate formal rules of pleading, practice and
24evidence, and except for any reasonable filing fee determined
25by the Board, may provide that costs shall be in the discretion

 

 

SB2279- 45 -LRB102 16048 HLH 21420 b

1of the Board. A copy of the appellant's petition shall be
2mailed or sent by electronic means by the clerk of the Property
3Tax Appeal Board to the board of review whose decision is being
4appealed. In all cases where a change in assessed valuation of
5$100,000 or more is sought, the board of review shall serve a
6copy of the petition on all taxing districts as shown on the
7last available tax bill. The chairman of the Property Tax
8Appeal Board shall provide for the speedy hearing of all such
9appeals. Each appeal shall be limited to the grounds listed in
10the petition filed with the Property Tax Appeal Board. All
11appeals shall be considered de novo and the Property Tax
12Appeal Board shall not be limited to the evidence presented to
13the board of review of the county. A party participating in the
14hearing before the Property Tax Appeal Board is entitled to
15introduce evidence that is otherwise proper and admissible
16without regard to whether that evidence has previously been
17introduced at a hearing before the board of review of the
18county. Where no complaint has been made to the board of review
19of the county where the property is located and the appeal is
20based solely on the effect of an equalizing factor assigned to
21all property or to a class of property by the board of review,
22the Property Tax Appeal Board shall not grant a reduction in
23assessment greater than the amount that was added as the
24result of the equalizing factor.
25    The provisions added to this Section by this amendatory
26Act of the 93rd General Assembly shall be construed as

 

 

SB2279- 46 -LRB102 16048 HLH 21420 b

1declaratory of existing law and not as a new enactment.
2    (b) The Property Tax Appeal Board Supplemental Fund is
3created as a special fund in the State treasury. All filing
4fees collected by the Board in accordance with this Section
5shall be deposited into the Property Tax Appeal Board
6Supplemental Fund. All moneys in the Property Tax Appeal Board
7Supplemental Fund shall be appropriated to the Board, on an
8annual basis, to be used in enhancing the Board's operations,
9including, but not limited to, information technology
10initiatives, personnel, and office equipment for increasing
11the Board's efficiency in rendering final administrative
12decisions in a timely fashion.
13(Source: P.A. 99-626, eff. 7-22-16.)
 
14    Section 55. The Messages Tax Act is amended by changing
15Section 6 as follows:
 
16    (35 ILCS 610/6)  (from Ch. 120, par. 467.6)
17    Sec. 6. If it appears, after claim therefor filed with the
18Department, that an amount of tax or penalty or interest has
19been paid which was not due under this Act, whether as the
20result of a mistake of fact or an error of law, except as
21hereinafter provided, then the Department shall issue a credit
22memorandum or refund to the person who made the erroneous
23payment or, if that person has died or become a person under
24legal disability, to his or her legal representative, as such.

 

 

SB2279- 47 -LRB102 16048 HLH 21420 b

1    If it is determined that the Department should issue a
2credit or refund under this Act, the Department may first
3apply the amount thereof against any amount of tax or penalty
4or interest due hereunder from the person entitled to such
5credit or refund. For this purpose, if proceedings are pending
6to determine whether or not any tax or penalty or interest is
7due under this Act from such person, the Department may
8withhold issuance of the credit or refund pending the final
9disposition of such proceedings and may apply such credit or
10refund against any amount found to be due to the Department as
11a result of such proceedings. The balance, if any, of the
12credit or refund shall be issued to the person entitled
13thereto.
14    If no tax or penalty or interest is due and no proceeding
15is pending to determine whether such person is indebted to the
16Department for tax or penalty or interest, the credit
17memorandum or refund shall be issued to the claimant; or (in
18the case of a credit memorandum) the credit memorandum may be
19assigned and set over by the lawful holder thereof, subject to
20reasonable rules of the Department, to any other person who is
21subject to this Act, and the amount thereof shall be applied by
22the Department against any tax or penalty or interest due or to
23become due under this Act from such assignee.
24    As to any claim for credit or refund filed with the
25Department on or after each January 1 and July 1, no amounts
26erroneously paid more than 3 years prior to such January 1 and

 

 

SB2279- 48 -LRB102 16048 HLH 21420 b

1July 1, respectively, shall be credited or refunded, except
2that if both the Department and the taxpayer have agreed to an
3extension of time to issue a notice of tax liability under this
4Act, the claim may be filed at any time prior to the expiration
5of the period agreed upon. Notwithstanding any other provision
6of this Act to the contrary, for any period included in a claim
7for credit or refund for which the statute of limitations for
8issuing a notice of tax liability under this Act will expire
9less than 12 months after the date a taxpayer files the claim
10for credit or refund, the statute of limitations is
11automatically extended for 12 months from the date it would
12have otherwise expired.
13    Claims for credit or refund shall be filed upon forms
14provided by the Department. As soon as practicable after any
15claim for credit or refund is filed, the Department shall
16examine the same and determine the amount of credit or refund
17to which the claimant is entitled and shall notify the
18claimant of such determination, which amount shall be prima
19facie correct.
20    Any credit or refund that is allowed under this Act shall
21bear interest at the rate and in the manner specified in the
22Uniform Penalty and Interest Act.
23    In case the Department determines that the claimant is
24entitled to a refund, such refund shall be made only from such
25appropriation as may be available for that purpose. If it
26appears unlikely that the amount appropriated would permit

 

 

SB2279- 49 -LRB102 16048 HLH 21420 b

1everyone having a claim allowed during the period covered by
2such appropriation to elect to receive a cash refund, the
3Department, by rule or regulation, shall provide for the
4payment of refunds in hardship cases and shall define what
5types of cases qualify as hardship cases.
6(Source: P.A. 90-491, eff. 1-1-98.)
 
7    Section 60. The Gas Revenue Tax Act is amended by changing
8Section 6 as follows:
 
9    (35 ILCS 615/6)  (from Ch. 120, par. 467.21)
10    Sec. 6. If it appears, after claim therefor filed with the
11Department, that an amount of tax or penalty or interest has
12been paid which was not due under this Act, whether as the
13result of a mistake of fact or an error of law, except as
14hereinafter provided, then the Department shall issue a credit
15memorandum or refund to the person who made the erroneous
16payment or, if that person has died or become a person under
17legal disability, to his or her legal representative, as such.
18    If it is determined that the Department should issue a
19credit or refund under this Act, the Department may first
20apply the amount thereof against any amount of tax or penalty
21or interest due hereunder from the person entitled to such
22credit or refund. For this purpose, if proceedings are pending
23to determine whether or not any tax or penalty or interest is
24due under this Act from such person, the Department may

 

 

SB2279- 50 -LRB102 16048 HLH 21420 b

1withhold issuance of the credit or refund pending the final
2disposition of such proceedings and may apply such credit or
3refund against any amount found to be due to the Department as
4a result of such proceedings. The balance, if any, of the
5credit or refund shall be issued to the person entitled
6thereto.
7    If no tax or penalty or interest is due and no proceeding
8is pending to determine whether such person is indebted to the
9Department for tax or penalty or interest, the credit
10memorandum or refund shall be issued to the claimant; or (in
11the case of a credit memorandum) the credit memorandum may be
12assigned and set over by the lawful holder thereof, subject to
13reasonable rules of the Department, to any other person who is
14subject to this Act, and the amount thereof shall be applied by
15the Department against any tax or penalty or interest due or to
16become due under this Act from such assignee.
17    As to any claim for credit or refund filed with the
18Department on or after each January 1 and July 1, no amounts
19erroneously paid more than 3 years prior to such January 1 and
20July 1, respectively, shall be credited or refunded, except
21that if both the Department and the taxpayer have agreed to an
22extension of time to issue a notice of tax liability under this
23Act, the claim may be filed at any time prior to the expiration
24of the period agreed upon. Notwithstanding any other provision
25of this Act to the contrary, for any period included in a claim
26for credit or refund for which the statute of limitations for

 

 

SB2279- 51 -LRB102 16048 HLH 21420 b

1issuing a notice of tax liability under this Act will expire
2less than 12 months after the date a taxpayer files the claim
3for credit or refund, the statute of limitations is
4automatically extended for 12 months from the date it would
5have otherwise expired.
6    Claims for credit or refund shall be filed upon forms
7provided by the Department. As soon as practicable after any
8claim for credit or refund is filed, the Department shall
9examine the same and determine the amount of credit or refund
10to which the claimant is entitled and shall notify the
11claimant of such determination, which amount shall be prima
12facie correct.
13    Any credit or refund that is allowed under this Act shall
14bear interest at the rate and in the manner specified in the
15Uniform Penalty and Interest Act.
16    In case the Department determines that the claimant is
17entitled to a refund, such refund shall be made only from such
18appropriation as may be available for that purpose. If it
19appears unlikely that the amount appropriated would permit
20everyone having a claim allowed during the period covered by
21such appropriation to elect to receive a cash refund, the
22Department, by rule or regulation, shall provide for the
23payment of refunds in hardship cases and shall define what
24types of cases qualify as hardship cases.
25(Source: P.A. 90-491, eff. 1-1-98.)
 

 

 

SB2279- 52 -LRB102 16048 HLH 21420 b

1    Section 65. The Public Utilities Revenue Act is amended by
2changing Section 6 as follows:
 
3    (35 ILCS 620/6)  (from Ch. 120, par. 473)
4    Sec. 6. If it appears, after claim therefor filed with the
5Department, that an amount of tax or penalty or interest has
6been paid which was not due under this Act, whether as the
7result of a mistake of fact or an error of law, except as
8hereinafter provided, then the Department shall issue a credit
9memorandum or refund to the person who made the erroneous
10payment or, if that person has died or become a person under
11legal disability, to his or her legal representative, as such.
12    If it is determined that the Department should issue a
13credit or refund under this Act, the Department may first
14apply the amount thereof against any amount of tax or penalty
15or interest due hereunder from the person entitled to such
16credit or refund. Any credit memorandum issued under the
17Electricity Excise Tax Law may be applied against any
18liability incurred under the tax previously imposed by Section
192 of this Act. For this purpose, if proceedings are pending to
20determine whether or not any tax or penalty or interest is due
21under this Act from such person, the Department may withhold
22issuance of the credit or refund pending the final disposition
23of such proceedings and may apply such credit or refund
24against any amount found to be due to the Department as a
25result of such proceedings. The balance, if any, of the credit

 

 

SB2279- 53 -LRB102 16048 HLH 21420 b

1or refund shall be issued to the person entitled thereto.
2    If no tax or penalty or interest is due and no proceeding
3is pending to determine whether such person is indebted to the
4Department for tax or penalty or interest, the credit
5memorandum or refund shall be issued to the claimant; or (in
6the case of a credit memorandum) the credit memorandum may be
7assigned and set over by the lawful holder thereof, subject to
8reasonable rules of the Department, to any other person who is
9subject to this Act, and the amount thereof shall be applied by
10the Department against any tax or penalty or interest due or to
11become due under this Act from such assignee.
12    As to any claim for credit or refund filed with the
13Department on or after each January 1 and July 1, no amounts
14erroneously paid more than 3 years prior to such January 1 and
15July 1, respectively, shall be credited or refunded, except
16that if both the Department and the taxpayer have agreed to an
17extension of time to issue a notice of tax liability under this
18Act, the claim may be filed at any time prior to the expiration
19of the period agreed upon. Notwithstanding any other provision
20of this Act to the contrary, for any period included in a claim
21for credit or refund for which the statute of limitations for
22issuing a notice of tax liability under this Act will expire
23less than 12 months after the date a taxpayer files the claim
24for credit or refund, the statute of limitations is
25automatically extended for 12 months from the date it would
26have otherwise expired.

 

 

SB2279- 54 -LRB102 16048 HLH 21420 b

1    Claims for credit or refund shall be filed upon forms
2provided by the Department. As soon as practicable after any
3claim for credit or refund is filed, the Department shall
4examine the same and determine the amount of credit or refund
5to which the claimant is entitled and shall notify the
6claimant of such determination, which amount shall be prima
7facie correct.
8    Any credit or refund that is allowed under this Act shall
9bear interest at the rate and in the manner specified in the
10Uniform Penalty and Interest Act.
11    In case the Department determines that the claimant is
12entitled to a refund, such refund shall be made only from such
13appropriation as may be available for that purpose. If it
14appears unlikely that the amount appropriated would permit
15everyone having a claim allowed during the period covered by
16such appropriation to elect to receive a cash refund, the
17Department, by rule or regulation, shall provide for the
18payment of refunds in hardship cases and shall define what
19types of cases qualify as hardship cases.
20(Source: P.A. 90-491, eff. 1-1-98; 90-624, eff. 7-10-98.)
 
21    Section 70. The Water Company Invested Capital Tax Act is
22amended by changing Section 6 as follows:
 
23    (35 ILCS 625/6)  (from Ch. 120, par. 1416)
24    Sec. 6. If it appears, after claim therefor filed with the

 

 

SB2279- 55 -LRB102 16048 HLH 21420 b

1Department, that an amount of tax or penalty or interest has
2been paid which was not due under this Act, whether as the
3result of a mistake of fact or an error of law, except as
4hereinafter provided, then the Department shall issue a credit
5memorandum or refund to the person who made the erroneous
6payment or, if that person has died or become incompetent, to
7his legal representative, as such.
8    If it is determined that the Department should issue a
9credit or refund under this Act, the Department may first
10apply the amount thereof against any amount of tax or penalty
11or interest due hereunder from the person entitled to such
12credit or refund. For this purpose, if proceedings are pending
13to determine whether or not any tax or penalty or interest is
14due under this Act from such person, the Department may
15withhold issuance of the credit or refund pending the final
16disposition of such proceedings and may apply such credit or
17refund against any amount found to be due to the Department as
18a result of such proceedings. The balance, if any, of the
19credit or refund shall be issued to the person entitled
20thereto.
21    If no tax or penalty or interest is due and no proceeding
22is pending to determine whether such person is indebted to the
23Department for tax or penalty or interest, the credit
24memorandum or refund shall be issued to the claimant; or (in
25the case of a credit memorandum) the credit memorandum may be
26assigned and set over by the lawful holder thereof, subject to

 

 

SB2279- 56 -LRB102 16048 HLH 21420 b

1reasonable rules of the Department, to any other person who is
2subject to this Act, and the amount thereof shall be applied by
3the Department against any tax or penalty or interest due or to
4become due under this Act from such assignee.
5    As to any claim for credit or refund filed with the
6Department on or after each January 1 and July 1, no amounts
7erroneously paid more than 3 years prior to such January 1 and
8July 1, respectively, shall be credited or refunded, except
9that if both the Department and the taxpayer have agreed to an
10extension of time to issue a notice of tax liability under this
11Act, the claim may be filed at any time prior to the expiration
12of the period agreed upon. Notwithstanding any other provision
13of this Act to the contrary, for any period included in a claim
14for credit or refund for which the statute of limitations for
15issuing a notice of tax liability under this Act will expire
16less than 12 months after the date a taxpayer files the claim
17for credit or refund, the statute of limitations is
18automatically extended for 12 months from the date it would
19have otherwise expired.
20    Claims for credit or refund shall be filed upon forms
21provided by the Department. As soon as practicable after any
22claim for credit or refund is filed, the Department shall
23examine the same and determine the amount of credit or refund
24to which the claimant is entitled and shall notify the
25claimant of such determination, which amount shall be prima
26facie correct.

 

 

SB2279- 57 -LRB102 16048 HLH 21420 b

1    Any credit or refund that is allowed under this Section
2shall bear interest at the rate and in the manner specified in
3the Uniform Penalty and Interest Act.
4    In case the Department determines that the claimant is
5entitled to a refund, such refund shall be made only from such
6appropriation as may be available for that purpose. If it
7appears unlikely that the amount appropriated would permit
8everyone having a claim allowed during the period covered by
9such appropriation to elect to receive a cash refund, the
10Department, by rule or regulation, shall provide for the
11payment of refunds in hardship cases and shall define what
12types of cases qualify as hardship cases.
13(Source: P.A. 90-491, eff. 1-1-98.)
 
14    Section 75. The Telecommunications Excise Tax Act is
15amended by changing Section 10 as follows:
 
16    (35 ILCS 630/10)  (from Ch. 120, par. 2010)
17    Sec. 10. If it shall appear that an amount of tax or
18penalty or interest has been paid in error hereunder to the
19Department by a taxpayer, as distinguished from the retailer,
20whether such amount be paid through a mistake of fact or an
21error of law, such taxpayer may file a claim for credit or
22refund with the Department. If it shall appear that an amount
23of tax or penalty or interest has been paid in error to the
24Department hereunder by a retailer who is required or

 

 

SB2279- 58 -LRB102 16048 HLH 21420 b

1authorized to collect and remit the tax imposed by this
2Article, whether such amount be paid through a mistake of fact
3or an error of law, such retailer may file a claim for credit
4or refund with the Department, provided that no credit or
5refund shall be allowed for any amount paid by any such
6retailer unless it shall appear that he bore the burden of such
7amount and did not shift the burden thereof to anyone else, or
8unless it shall appear that he or she or his or her legal
9representative has unconditionally repaid such amount to his
10customer (1) who bore the burden thereof and has not shifted
11such burden directly or indirectly in any manner whatsoever;
12or (2) who, if he or she shifted such burden, has repaid
13unconditionally such amount to his or her own customer; and
14(3) who is not entitled to receive any reimbursement therefor
15from any other source than from his retailer, nor to be
16relieved of such burden in any other manner whatsoever.
17    If it is determined that the Department should issue a
18credit or refund under this Article, the Department may first
19apply the amount thereof against any amount of tax or penalty
20or interest due hereunder from the person entitled to such
21credit or refund. For this purpose, if proceedings are pending
22to determine whether or not any tax or penalty or interest is
23due under this Article from such person, the Department may
24withhold issuance of the credit or refund pending the final
25disposition of such proceedings and may apply such credit or
26refund against any amount found to be due to the Department as

 

 

SB2279- 59 -LRB102 16048 HLH 21420 b

1a result of such proceedings. The balance, if any, of the
2credit or refund shall be issued to the person entitled
3thereto.
4    If no tax or penalty or interest is due and no proceeding
5is pending to determine whether such person is indebted to the
6Department for tax or penalty or interest, the credit
7memorandum or refund shall be issued to the claimant; or (in
8the case of a credit memorandum) the credit memorandum may be
9assigned and set over by the lawful holder thereof, subject to
10reasonable rules of the Department, to any other person who is
11subject to this Article, and the amount thereof shall be
12applied by the Department against any tax or penalty or
13interest due or to become due under this Article from such
14assignee.
15    As to any claim for credit or refund filed with the
16Department on or after each January 1 and July 1, no amounts
17erroneously paid more than three years prior to such January 1
18and July 1, respectively, shall be credited or refunded,
19except that if both the Department and the taxpayer have
20agreed to an extension of time to issue a notice of tax
21liability under this Act, the claim may be filed at any time
22prior to the expiration of the period agreed upon.
23Notwithstanding any other provision of this Act to the
24contrary, for any period included in a claim for credit or
25refund for which the statute of limitations for issuing a
26notice of tax liability under this Act will expire less than 12

 

 

SB2279- 60 -LRB102 16048 HLH 21420 b

1months after the date a taxpayer files the claim for credit or
2refund, the statute of limitations is automatically extended
3for 12 months from the date it would have otherwise expired.
4    Claims for credit or refund shall be filed upon forms
5provided by the Department. As soon as practicable after any
6claim for credit or refund is filed, the Department shall
7examine the same and determine the amount of credit or refund
8to which the claimant is entitled and shall notify the
9claimant of such determination, which amount shall be prima
10facie correct.
11    A claim for credit or refund shall be considered to have
12been filed with the Department on the date upon which it is
13received by the Department. Upon receipt of any claim for
14credit or refund filed under this Article, any officer or
15employee of the Department, authorized in writing by the
16Director of Revenue to acknowledge receipt of such claims on
17behalf of the Department, shall execute on behalf of the
18Department, and shall deliver or mail to the claimant or his
19duly authorized agent, a written receipt, acknowledging that
20the claim has been filed with the Department, describing the
21claim in sufficient detail to identify it and stating the date
22upon which the claim was received by the Department. Such
23written receipt shall be prima facie evidence that the
24Department received the claim described in such receipt and
25shall be prima facie evidence of the date when such claim was
26received by the Department. In the absence of such a written

 

 

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1receipt, the records of the Department as to when the claim was
2received by the Department, or as to whether or not the claim
3was received at all by the Department, shall be deemed to be
4prima facie correct upon these questions in the event of any
5dispute between the claimant (or his or her legal
6representative) and the Department concerning these questions.
7    Any credit or refund that is allowed under this Article
8shall bear interest at the rate and in the manner specified in
9the Uniform Penalty and Interest Act.
10    In case the Department determines that the claimant is
11entitled to a refund, such refund shall be made only from such
12appropriation as may be available for that purpose. If it
13appears unlikely that the amount appropriated would permit
14everyone having a claim allowed during the period covered by
15such appropriation to elect to receive a cash refund, the
16Department by rule or regulation shall provide for the payment
17of refunds in hardship cases and shall define what types of
18cases qualify as hardship cases.
19    If a retailer who has failed to pay tax on gross charges
20for telecommunications is required by the Department to pay
21such tax, such retailer, without filing any formal claim with
22the Department, shall be allowed to take credit against such
23tax liability to the extent, if any, to which such retailer has
24paid the tax to its vendor of the telecommunications which
25such retailer purchased and used for resale, and no penalty or
26interest shall be charged to such retailer on the amount of

 

 

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1such credit. However, when such credit is allowed to the
2retailer by the Department, the vendor is precluded from
3refunding any of the tax to the retailer and filing a claim for
4credit or refund with respect thereto with the Department. The
5provisions of this Section added by this amendatory Act of
61988 shall be applied retroactively, regardless of the date of
7the transaction.
8(Source: P.A. 90-491, eff. 1-1-98.)
 
9    Section 80. The Liquor Control Act of 1934 is amended by
10changing Section 8-3 as follows:
 
11    (235 ILCS 5/8-3)  (from Ch. 43, par. 159a)
12    Sec. 8-3. If it appears, after claim therefor filed with
13the Department, that an amount of tax or penalty or interest
14has been paid which was not due under this Article, whether as
15the result of a mistake of fact or an error of law, except as
16hereinafter provided, then the Department shall issue a credit
17memorandum or refund to the person who made the erroneous
18payment or, if that person died or became a person under legal
19disability, to his or her legal representative, as such.
20    If it is determined that the Department should issue a
21credit or refund under this Article, the Department may first
22apply the amount thereof against any amount of tax or penalty
23or interest due hereunder from the person entitled to such
24credit or refund. For this purpose, if proceedings are pending

 

 

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1to determine whether or not any tax or penalty or interest is
2due under this Article from such person, the Department may
3withhold issuance of the credit or refund pending the final
4disposition of such proceedings and may apply such credit or
5refund against any amount found to be due to the Department as
6a result of such proceedings. The balance, if any, of the
7credit or refund shall be issued to the person entitled
8thereto.
9    If no tax or penalty or interest is due and no proceeding
10is pending to determine whether such taxpayer is indebted to
11the Department for tax or penalty or interest the credit
12memorandum or refund shall be issued to the claimant; or (in
13the case of a credit memorandum) the credit memorandum may be
14assigned and set over by the lawful holder thereof, subject to
15reasonable rules of the Department, to any other person who is
16subject to this Article, and the amount thereof shall be
17applied by the Department against any tax or penalty or
18interest due or to become due under this Article from such
19assignee.
20    As to any claim filed hereunder with the Department on and
21after each January 1 and July 1, no amount of tax or penalty or
22interest, erroneously paid (either in total or partial
23liquidation of a tax or penalty or interest under this
24Article) more than 3 years prior to such January 1 and July 1,
25respectively, shall be credited or refunded. Notwithstanding
26any other provision of this Act to the contrary, for any period

 

 

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1included in a claim for credit or refund for which the statute
2of limitations for issuing a notice of tax liability under
3this Act will expire less than 12 months after the date a
4taxpayer files the claim for credit or refund, the statute of
5limitations is automatically extended for 12 months from the
6date it would have otherwise expired.
7    Any credit or refund that is allowed under this Act shall
8bear interest at the rate and in the manner specified in the
9Uniform Penalty and Interest Act.
10    In case the Department determines that the claimant is
11entitled to a refund, such refund shall be made only from such
12appropriation as may be available for that purpose. If it
13appears unlikely that the amount appropriated would permit
14everyone having a claim allowed during the period covered by
15such appropriation to elect to receive a cash refund, the
16Department, by rule or regulation, shall provide for the
17payment of refunds in hardship cases and shall define what
18types of cases qualify as hardship cases.
19(Source: P.A. 87-205.)
 
20    Section 99. Effective date. This Act takes effect upon
21becoming law.

 

 

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1 INDEX
2 Statutes amended in order of appearance
3    20 ILCS 2505/2505-380was 20 ILCS 2505/39b47
4    30 ILCS 105/5.935 new
5    35 ILCS 5/905from Ch. 120, par. 9-905
6    35 ILCS 105/21from Ch. 120, par. 439.21
7    35 ILCS 115/19from Ch. 120, par. 439.119
8    35 ILCS 120/2afrom Ch. 120, par. 441a
9    35 ILCS 120/6from Ch. 120, par. 445
10    35 ILCS 128/1-55
11    35 ILCS 130/9dfrom Ch. 120, par. 453.9d
12    35 ILCS 135/14afrom Ch. 120, par. 453.44a
13    35 ILCS 200/11-25
14    35 ILCS 200/16-180
15    35 ILCS 610/6from Ch. 120, par. 467.6
16    35 ILCS 615/6from Ch. 120, par. 467.21
17    35 ILCS 620/6from Ch. 120, par. 473
18    35 ILCS 625/6from Ch. 120, par. 1416
19    35 ILCS 630/10from Ch. 120, par. 2010
20    235 ILCS 5/8-3from Ch. 43, par. 159a