Rep. Natalie A. Manley

Filed: 4/3/2014

 

 


 

 


 
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1
AMENDMENT TO HOUSE BILL 3885

2    AMENDMENT NO. ______. Amend House Bill 3885 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The Retailers' Occupation Tax Act is amended by
5changing Section 11 as follows:
 
6    (35 ILCS 120/11)  (from Ch. 120, par. 450)
7    Sec. 11. All information received by the Department from
8returns filed under this Act, or from any investigation
9conducted under this Act, shall be confidential, except for
10official purposes, and any person who divulges any such
11information in any manner, except in accordance with a proper
12judicial order or as otherwise provided by law, shall be guilty
13of a Class B misdemeanor with a mandatory fine of $10,000.
14    Nothing in this Act prevents the Director of Revenue from
15publishing or making available to the public the names and
16addresses of persons filing returns under this Act, or

 

 

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1reasonable statistics concerning the operation of the tax by
2grouping the contents of returns so the information in any
3individual return is not disclosed.
4    Nothing in this Act prevents the Director of Revenue from
5divulging to the United States Government or the government of
6any other state, or any village that does not levy any real
7property taxes for village operations and that receives more
8than 60% of its general corporate revenue from taxes under the
9Use Tax Act, the Service Use Tax Act, the Service Occupation
10Tax Act, and the Retailers' Occupation Tax Act, or any officer
11or agency thereof, for exclusively official purposes,
12information received by the Department in administering this
13Act, provided that such other governmental agency agrees to
14divulge requested tax information to the Department.
15    The Department's furnishing of information derived from a
16taxpayer's return or from an investigation conducted under this
17Act to the surety on a taxpayer's bond that has been furnished
18to the Department under this Act, either to provide notice to
19such surety of its potential liability under the bond or, in
20order to support the Department's demand for payment from such
21surety under the bond, is an official purpose within the
22meaning of this Section.
23    The furnishing upon request of information obtained by the
24Department from returns filed under this Act or investigations
25conducted under this Act to the Illinois Liquor Control
26Commission for official use is deemed to be an official purpose

 

 

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1within the meaning of this Section.
2    Notice to a surety of potential liability shall not be
3given unless the taxpayer has first been notified, not less
4than 10 days prior thereto, of the Department's intent to so
5notify the surety.
6    The furnishing upon request of the Auditor General, or his
7authorized agents, for official use, of returns filed and
8information related thereto under this Act is deemed to be an
9official purpose within the meaning of this Section.
10    Where an appeal or a protest has been filed on behalf of a
11taxpayer, the furnishing upon request of the attorney for the
12taxpayer of returns filed by the taxpayer and information
13related thereto under this Act is deemed to be an official
14purpose within the meaning of this Section.
15    The furnishing of financial information to a municipality
16home rule unit or non-home rule unit that has imposed a tax
17similar to that imposed by this Act pursuant to its home rule
18powers or the successful passage of a public referendum by a
19majority of the registered voters of the community, or to any
20village that does not levy any real property taxes for village
21operations and that receives more than 60% of its general
22corporate revenue from taxes under the Use Tax Act, the Service
23Use Tax Act, the Service Occupation Tax Act, and the Retailers'
24Occupation Tax Act, upon request of the Chief Executive
25thereof, is an official purpose within the meaning of this
26Section, provided the municipality home rule unit, non-home

 

 

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1rule unit with referendum approval, or village that does not
2levy any real property taxes for village operations and that
3receives more than 60% of its general corporate revenue from
4taxes under the Use Tax Act, the Service Use Tax Act, the
5Service Occupation Tax Act, and the Retailers' Occupation Tax
6Act agrees in writing to the requirements of this Section. On
7and after July 1, 2015, the furnishing of financial information
8to municipalities under this paragraph may be by electronic
9means.
10    For a village that does not levy any real property taxes
11for village operations and that receives more than 60% of its
12general corporate revenue from taxes under the Use Tax Act,
13Service Use Tax Act, Service Occupation Tax Act, and Retailers'
14Occupation Tax Act, the officers eligible to receive
15information from the Department of Revenue under this Section
16are the village manager and the chief financial officer of the
17village.
18    Information so provided shall be subject to all
19confidentiality provisions of this Section. The written
20agreement shall provide for reciprocity, limitations on
21access, disclosure, and procedures for requesting information.
22    The Department may make available to the Board of Trustees
23of any Metro East Mass Transit District information contained
24on transaction reporting returns required to be filed under
25Section 3 of this Act that report sales made within the
26boundary of the taxing authority of that Metro East Mass

 

 

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1Transit District, as provided in Section 5.01 of the Local Mass
2Transit District Act. The disclosure shall be made pursuant to
3a written agreement between the Department and the Board of
4Trustees of a Metro East Mass Transit District, which is an
5official purpose within the meaning of this Section. The
6written agreement between the Department and the Board of
7Trustees of a Metro East Mass Transit District shall provide
8for reciprocity, limitations on access, disclosure, and
9procedures for requesting information. Information so provided
10shall be subject to all confidentiality provisions of this
11Section.
12    The Director may make available to any State agency,
13including the Illinois Supreme Court, which licenses persons to
14engage in any occupation, information that a person licensed by
15such agency has failed to file returns under this Act or pay
16the tax, penalty and interest shown therein, or has failed to
17pay any final assessment of tax, penalty or interest due under
18this Act. The Director may make available to any State agency,
19including the Illinois Supreme Court, information regarding
20whether a bidder, contractor, or an affiliate of a bidder or
21contractor has failed to collect and remit Illinois Use tax on
22sales into Illinois, or any tax under this Act or pay the tax,
23penalty, and interest shown therein, or has failed to pay any
24final assessment of tax, penalty, or interest due under this
25Act, for the limited purpose of enforcing bidder and contractor
26certifications. The Director may make available to units of

 

 

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1local government and school districts that require bidder and
2contractor certifications, as set forth in Sections 50-11 and
350-12 of the Illinois Procurement Code, information regarding
4whether a bidder, contractor, or an affiliate of a bidder or
5contractor has failed to collect and remit Illinois Use tax on
6sales into Illinois, file returns under this Act, or pay the
7tax, penalty, and interest shown therein, or has failed to pay
8any final assessment of tax, penalty, or interest due under
9this Act, for the limited purpose of enforcing bidder and
10contractor certifications. For purposes of this Section, the
11term "affiliate" means any entity that (1) directly,
12indirectly, or constructively controls another entity, (2) is
13directly, indirectly, or constructively controlled by another
14entity, or (3) is subject to the control of a common entity.
15For purposes of this Section, an entity controls another entity
16if it owns, directly or individually, more than 10% of the
17voting securities of that entity. As used in this Section, the
18term "voting security" means a security that (1) confers upon
19the holder the right to vote for the election of members of the
20board of directors or similar governing body of the business or
21(2) is convertible into, or entitles the holder to receive upon
22its exercise, a security that confers such a right to vote. A
23general partnership interest is a voting security.
24    The Director may make available to any State agency,
25including the Illinois Supreme Court, units of local
26government, and school districts, information regarding

 

 

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1whether a bidder or contractor is an affiliate of a person who
2is not collecting and remitting Illinois Use taxes for the
3limited purpose of enforcing bidder and contractor
4certifications.
5    The Director may also make available to the Secretary of
6State information that a limited liability company, which has
7filed articles of organization with the Secretary of State, or
8corporation which has been issued a certificate of
9incorporation by the Secretary of State has failed to file
10returns under this Act or pay the tax, penalty and interest
11shown therein, or has failed to pay any final assessment of
12tax, penalty or interest due under this Act. An assessment is
13final when all proceedings in court for review of such
14assessment have terminated or the time for the taking thereof
15has expired without such proceedings being instituted.
16    The Director shall make available for public inspection in
17the Department's principal office and for publication, at cost,
18administrative decisions issued on or after January 1, 1995.
19These decisions are to be made available in a manner so that
20the following taxpayer information is not disclosed:
21        (1) The names, addresses, and identification numbers
22    of the taxpayer, related entities, and employees.
23        (2) At the sole discretion of the Director, trade
24    secrets or other confidential information identified as
25    such by the taxpayer, no later than 30 days after receipt
26    of an administrative decision, by such means as the

 

 

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1    Department shall provide by rule.
2    The Director shall determine the appropriate extent of the
3deletions allowed in paragraph (2). In the event the taxpayer
4does not submit deletions, the Director shall make only the
5deletions specified in paragraph (1).
6    The Director shall make available for public inspection and
7publication an administrative decision within 180 days after
8the issuance of the administrative decision. The term
9"administrative decision" has the same meaning as defined in
10Section 3-101 of Article III of the Code of Civil Procedure.
11Costs collected under this Section shall be paid into the Tax
12Compliance and Administration Fund.
13    Nothing contained in this Act shall prevent the Director
14from divulging information to any person pursuant to a request
15or authorization made by the taxpayer or by an authorized
16representative of the taxpayer.
17(Source: P.A. 93-25, eff. 6-20-03; 93-939, eff. 8-13-04;
1894-1074, eff. 12-26-06.)
 
19    Section 99. Effective date. This Act takes effect on
20January 1, 2015.".