Full Text of HB4559 95th General Assembly
HB4559 95TH GENERAL ASSEMBLY
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95TH GENERAL ASSEMBLY
State of Illinois
2007 and 2008 HB4559
Introduced 1/18/2008, by Rep. Jim Watson SYNOPSIS AS INTRODUCED: |
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35 ILCS 505/2 |
from Ch. 120, par. 418 |
35 ILCS 505/15 |
from Ch. 120, par. 431 |
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Amends the Motor Fuel Tax Law. Exempts from taxation, motor fuel used or sold for recreational type watercraft
operating upon the Mississippi, Wabash, or Ohio River. Effective immediately.
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| FISCAL NOTE ACT MAY APPLY | |
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A BILL FOR
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HB4559 |
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LRB095 16314 BDD 42338 b |
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| AN ACT concerning revenue.
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| Be it enacted by the People of the State of Illinois,
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| represented in the General Assembly:
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| Section 5. The Motor Fuel Tax Law is amended by changing | 5 |
| Sections 2 and 15 as follows:
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| (35 ILCS 505/2) (from Ch. 120, par. 418)
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| Sec. 2. A tax is imposed on the privilege of operating | 8 |
| motor vehicles
upon the public highways and recreational-type | 9 |
| watercraft upon the waters
of this State.
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| (a) Prior to August 1, 1989, the tax is imposed at the rate | 11 |
| of 13 cents
per gallon on all motor fuel used in motor vehicles | 12 |
| operating on the public
highways and recreational type | 13 |
| watercraft operating upon the waters of this
State (other than | 14 |
| the Mississippi, Wabash, or Ohio River) . Beginning on August 1, | 15 |
| 1989 and until January 1, 1990, the rate of the
tax imposed in | 16 |
| this paragraph shall be 16 cents per gallon. Beginning January
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| 1, 1990, the rate of tax imposed in this paragraph shall be 19 | 18 |
| cents per
gallon.
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| (b) The tax on the privilege of operating motor vehicles | 20 |
| which use diesel
fuel shall be the rate according to paragraph | 21 |
| (a) plus an additional 2 1/2
cents per gallon. "Diesel fuel" is | 22 |
| defined as any product
intended
for use or offered for sale as | 23 |
| a fuel for engines in which the fuel is injected
into the |
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| combustion chamber and ignited by pressure without electric | 2 |
| spark.
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| (c) A tax is imposed upon the privilege of engaging in the | 4 |
| business of
selling motor fuel as a retailer or reseller on all | 5 |
| motor fuel used in motor
vehicles operating on the public | 6 |
| highways and recreational type watercraft
operating upon the | 7 |
| waters of this State (other than the Mississippi, Wabash, or | 8 |
| Ohio River) : (1) at the rate of 3 cents per gallon
on motor | 9 |
| fuel owned or possessed by such retailer or reseller at 12:01 | 10 |
| a.m. on
August 1, 1989; and (2) at the rate of 3 cents per | 11 |
| gallon on motor fuel owned
or possessed by such retailer or | 12 |
| reseller at 12:01 A.M. on January 1, 1990.
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| Retailers and resellers who are subject to this additional | 14 |
| tax shall be
required to inventory such motor fuel and pay this | 15 |
| additional tax in a
manner prescribed by the Department of | 16 |
| Revenue.
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| The tax imposed in this paragraph (c) shall be in addition | 18 |
| to all other
taxes imposed by the State of Illinois or any unit | 19 |
| of local government in this
State.
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| (d) Except as provided in Section 2a, the collection of a | 21 |
| tax based on
gallonage of gasoline used for the propulsion of | 22 |
| any aircraft is prohibited
on and after October 1, 1979.
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| (e) The collection of a tax, based on gallonage of all | 24 |
| products commonly or
commercially known or sold as 1-K | 25 |
| kerosene, regardless of its classification
or uses, is | 26 |
| prohibited (i) on and after July 1, 1992 until December 31, |
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| 1999,
except when the 1-K kerosene is either: (1) delivered | 2 |
| into bulk storage
facilities of a bulk user, or (2) delivered | 3 |
| directly into the fuel supply tanks
of motor vehicles and (ii) | 4 |
| on and after January 1, 2000. Beginning on January
1, 2000, the | 5 |
| collection of a tax, based on gallonage of all products | 6 |
| commonly
or commercially known or sold as 1-K kerosene, | 7 |
| regardless of its classification
or uses, is prohibited except | 8 |
| when the 1-K kerosene is delivered directly into
a storage tank | 9 |
| that is located at a facility that has withdrawal facilities
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| that are readily accessible to and are capable of dispensing | 11 |
| 1-K kerosene into
the fuel supply tanks of motor vehicles.
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| Any person who sells or uses 1-K kerosene for use in motor | 13 |
| vehicles upon
which the tax imposed by this Law has not been | 14 |
| paid shall be liable for any
tax due on the sales or use of 1-K | 15 |
| kerosene.
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| (Source: P.A. 93-17, eff. 6-11-03.)
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| (35 ILCS 505/15) (from Ch. 120, par. 431)
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| Sec. 15. 1. Any person who knowingly acts as a distributor | 19 |
| of motor fuel
or supplier of special fuel, or receiver of fuel | 20 |
| without having a license so to
do, or who knowingly fails or | 21 |
| refuses to file a return with the Department as
provided in | 22 |
| Section 2b, Section 5, or Section 5a of this Act, or who | 23 |
| knowingly
fails or refuses to make payment to the Department as | 24 |
| provided either in
Section 2b, Section 6, Section 6a, or | 25 |
| Section 7 of this Act, shall be guilty of
a Class 3 felony. |
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| Each day any person knowingly acts as a distributor of motor
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| fuel, supplier of special fuel, or receiver of fuel without | 3 |
| having a
license so to do or after such a license has been | 4 |
| revoked, constitutes a
separate offense.
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| 2. Any person who acts as a motor carrier without having a | 6 |
| valid
motor fuel use tax license, issued by the Department or | 7 |
| by a member
jurisdiction under the provisions of the | 8 |
| International Fuel Tax Agreement, or a
valid single trip permit | 9 |
| is guilty of a Class A misdemeanor for a first offense
and is | 10 |
| guilty of a Class 4 felony for each subsequent offense. Any | 11 |
| person (i)
who fails or refuses to make payment to the | 12 |
| Department as provided in Section
13a.1 of this Act or in the | 13 |
| International Fuel Tax Agreement referenced in
Section 14a, or | 14 |
| (ii) who fails or refuses to make the quarterly return as
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| provided in Section 13a.3 is guilty of a Class 4 felony; and | 16 |
| for each
subsequent offense, such person is guilty of a Class 3 | 17 |
| felony.
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| 3. In case such person acting as a distributor, receiver, | 19 |
| supplier,
or motor carrier is a corporation, then the officer | 20 |
| or officers, agent
or agents, employee or employees, of such | 21 |
| corporation responsible for any
act of such corporation, or | 22 |
| failure of such corporation to act, which acts
or failure to | 23 |
| act constitutes a violation of any of the provisions of this
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| Act as enumerated in paragraphs 1 and 2 of this Section, shall | 25 |
| be punished
by such fine or imprisonment, or by both such fine | 26 |
| and imprisonment as
provided in those paragraphs.
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| 3.5. Any person who knowingly enters false information on | 2 |
| any supporting
documentation required to be kept by Section 6 | 3 |
| or 6a of this Act is guilty of a
Class 3
felony.
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| 3.7. Any person who knowingly attempts in any manner to | 5 |
| evade or defeat any
tax imposed by this Act or the payment of | 6 |
| any tax imposed by this Act is guilty
of a Class 2 felony.
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| 4. Any person who refuses, upon demand, to submit for | 8 |
| inspection,
books and records, or who fails or refuses to keep | 9 |
| books and records in
violation of Section 12 of this Act, or | 10 |
| any distributor, receiver, or
supplier who violates
any | 11 |
| reasonable rule or regulation adopted
by the Department for the | 12 |
| enforcement of this Act is guilty of a Class A
misdemeanor. Any | 13 |
| person
who acts
as a blender in violation of Section 3 of this | 14 |
| Act or who
having transported reportable motor fuel within | 15 |
| Section 7b
of this Act fails to make the return required by | 16 |
| that Section,
is guilty of a Class 4 felony.
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| 5. Any person licensed under Section 13a.4, 13a.5, or the | 18 |
| International
Fuel Tax Agreement who: (a) fails or refuses to | 19 |
| keep records
and
books, as provided in Section 13a.2 or as | 20 |
| required
by the terms of the
International Fuel Tax Agreement, | 21 |
| (b) refuses upon demand
by the Department to submit for | 22 |
| inspection and examination the records required
by Section | 23 |
| 13a.2 of this Act or by the terms of the International Fuel
Tax | 24 |
| Agreement, or (c) violates any reasonable rule or
regulation | 25 |
| adopted by the Department for the enforcement of this Act, is
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| guilty of a Class A misdemeanor.
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| 6. Any person who makes any false return or report to the
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| Department as to any material fact required by Sections 2b, 5, | 3 |
| 5a, 7, 13, or
13a.3 of this Act or by the International Fuel | 4 |
| Tax Agreement
is guilty of a Class 2 felony.
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| 7. A prosecution for any violation of this Section may be
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| commenced anytime within 5 years of the commission of that | 7 |
| violation.
A prosecution for tax evasion as set forth in | 8 |
| paragraph 3.7 of this Section
may be prosecuted any time within | 9 |
| 5 years of the commission of the last act in
furtherance of | 10 |
| evasion. The running of the period of limitations under this
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| Section shall be suspended while any proceeding or appeal from
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| any proceeding relating to the quashing or enforcement of any | 13 |
| grand jury or
administrative subpoena issued in connection with | 14 |
| an investigation of the
violation of any provision of this Act | 15 |
| is pending.
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| 8. Any person who provides false documentation required by | 17 |
| any
Section of this Act is guilty of a Class 4 felony.
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| 9. Any person filing a fraudulent application or order form | 19 |
| under any
provision of this Act is guilty of a Class A | 20 |
| misdemeanor. For each subsequent
offense, the person is guilty | 21 |
| of a Class 4 felony.
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| 10. Any person who acts as a motor carrier and who fails to | 23 |
| carry a
manifest as provided in Section 5.5 is guilty of a | 24 |
| Class A misdemeanor. For
each subsequent offense, the person is | 25 |
| guilty of a Class 4 felony.
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| 11. Any person who knowingly sells or attempts to sell dyed |
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| diesel fuel
for highway use or for use by recreational-type | 2 |
| watercraft on the waters of
this State (other than the | 3 |
| Mississippi, Wabash, or Ohio River) is guilty of a Class 4 | 4 |
| felony. For each subsequent
offense, the person is guilty of a | 5 |
| Class 2 felony.
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| 12. Any person who knowingly possesses dyed diesel fuel for | 7 |
| highway
use or for use by recreational-type watercraft on the | 8 |
| waters of this State (other than the Mississippi, Wabash, or | 9 |
| Ohio River)
is guilty of a Class A misdemeanor. For each | 10 |
| subsequent offense,
the person is guilty of a Class 4 felony.
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| 13. Any person who sells or transports dyed diesel fuel | 12 |
| without the
notice required by Section 4e shall pay the | 13 |
| following penalty:
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| First occurrence ...................................$ 500
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| Second and each occurrence thereafter .............$1,000
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| 14. Any person who owns, operates, or controls any | 17 |
| container, storage
tank, or facility used to store or | 18 |
| distribute dyed diesel fuel without the
notice required by | 19 |
| Section 4f shall pay the following penalty:
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| First occurrence ...................................$ 500
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| Second and each occurrence thereafter .............$1,000
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| 15. If a motor vehicle required to be registered for | 23 |
| highway purposes
is found to have dyed diesel fuel within
the | 24 |
| ordinary fuel tanks attached to the motor vehicle or if a
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| recreational-type watercraft on the waters of this State (other | 26 |
| than the Mississippi, Wabash, or Ohio River) is found to have |
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| dyed
diesel fuel within the ordinary fuel tanks attached to the | 2 |
| watercraft, the
operator shall pay the following penalty:
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| First occurrence ..................................$2,500
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| Second and each occurrence thereafter .............$5,000
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| 16. Any licensed motor fuel distributor or licensed | 6 |
| supplier who sells
or attempts to sell dyed diesel fuel for | 7 |
| highway use or for use by
recreational-type watercraft on the | 8 |
| waters of this State (other than the Mississippi, Wabash, or | 9 |
| Ohio River) shall pay the
following penalty:
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| First occurrence .................................$ 5,000
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| Second and each occurrence thereafter ............$10,000
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| 17. Any person who knowingly sells or distributes dyed | 13 |
| diesel fuel
without the notice required by Section 4e is guilty | 14 |
| of a petty offense. For
each subsequent offense, the person is | 15 |
| guilty of a Class A misdemeanor.
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| 18. Any person who knowingly owns, operates, or controls | 17 |
| any
container, storage tank, or facility used to store or | 18 |
| distribute dyed diesel
fuel without the notice required by | 19 |
| Section 4f is guilty of a petty offense.
For each subsequent | 20 |
| offense the person is guilty of a Class A
misdemeanor.
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| For purposes of this Section, dyed diesel fuel means any | 22 |
| dyed diesel fuel
whether or not dyed pursuant to Section 4d of | 23 |
| this Law.
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| Any person aggrieved by any action of the Department under | 25 |
| item 13, 14, 15,
or 16 of this Section may protest the action | 26 |
| by making a written request for a
hearing within 60 days of the |
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| original action. If the hearing is not requested
in writing | 2 |
| within 60 days, the original action is final.
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| All penalties received under items 13, 14, 15, and 16 of | 4 |
| this Section shall
be deposited into the Tax Compliance and | 5 |
| Administration Fund.
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| (Source: P.A. 94-1074, eff. 12-26-06.)
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| Section 99. Effective date. This Act takes effect upon | 8 |
| becoming law.
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