Full Text of HB1645 97th General Assembly
HB1645enr 97TH GENERAL ASSEMBLY |
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| 1 | | AN ACT concerning revenue.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 1. Short title. This Act may be cited as the Live | 5 | | Adult Entertainment Facility Surcharge Act. | 6 | | Section 3. Findings. It is the intent of the General | 7 | | Assembly to ameliorate the negative secondary effects | 8 | | associated with the consumption of alcoholic beverages on the | 9 | | premises of sexually oriented businesses, or the proximity of | 10 | | sexually oriented businesses to facilities serving alcohol, so | 11 | | as to promote the health, safety, and welfare of the citizens | 12 | | of Illinois. | 13 | | This Act is not intended to directly or indirectly impose | 14 | | limitations or restrictions on live nude dancing, nor is it the | 15 | | intent of this Act to restrict or deny access by adults to live | 16 | | nude dancing performances that may be protected by the First | 17 | | Amendment of the United States Constitution or by the Illinois | 18 | | Constitution. | 19 | | Section 5. Definitions. As used in this Act: | 20 | | "Admission" means entry by a person into a live adult | 21 | | entertainment facility. | 22 | | "Department" means the Department of Revenue. |
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| 1 | | "Live adult entertainment facility" means a striptease | 2 | | club or other business that serves or permits the consumption | 3 | | of alcohol on its premises, and, during at least 30 consecutive | 4 | | or nonconsecutive days in a calendar year, offers or provides | 5 | | activities by employees, agents, or contractors of the business | 6 | | that involve nude or partially denuded individuals that, when | 7 | | considered as a whole, appeal primarily to an interest in | 8 | | nudity or sex. | 9 | | "Nude or partially denuded individual" means an individual | 10 | | who is: | 11 | | (1) entirely unclothed; or | 12 | | (2) clothed in a manner that leaves uncovered or | 13 | | visible through less than fully opaque clothing any portion | 14 | | of the breasts below the top of the areola of the breasts, | 15 | | if the person is female, or any portion of the genitals or | 16 | | buttocks. | 17 | | "Operator" means any person who owns or operates a live | 18 | | adult entertainment facility in this State. | 19 | | Section 10. Surcharge imposed; returns. | 20 | | (a) An annual surcharge is imposed upon each operator who | 21 | | operates a live adult entertainment facility in this State. By | 22 | | January 20, 2014, and by January 20 of each year thereafter, | 23 | | each operator shall elect to pay the surcharge according to | 24 | | either item (1) or item (2) of this subsection. | 25 | | (1) An operator who elects to be subject to this item |
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| 1 | | (1) shall pay to the Department a surcharge imposed upon | 2 | | admissions to a live adult entertainment facility operated | 3 | | by the operator in this State in an amount equal to $3 per | 4 | | person admitted to that live adult entertainment facility. | 5 | | This item (1) does not require a live entertainment | 6 | | facility to impose a fee on a customer of the facility. An | 7 | | operator has the discretion to determine the manner in | 8 | | which the facility derives the moneys required to pay the | 9 | | surcharge imposed under this Section. In the event that an | 10 | | operator has not filed the applicable returns under the | 11 | | Retailers' Occupation Tax Act for a full calendar year | 12 | | prior to any January 20, then such operator shall pay the | 13 | | surcharge under this Act pursuant to this item (1) for | 14 | | moneys owed to the Department subject to this Act for the | 15 | | previous calendar year. | 16 | | (2) An operator may, in the alternative, pay to the | 17 | | Department the surcharge as follows: | 18 | | (A) If the gross receipts received by the live | 19 | | adult entertainment facility during the preceding | 20 | | calendar year, upon the basis of which a tax is imposed | 21 | | under Section 2 of the Retailers' Occupation Tax Act, | 22 | | are equal or greater than $2,000,000 during the | 23 | | preceding calendar year, and if the operator elects to | 24 | | be subject to this item (2), then the operator shall | 25 | | pay the Department a surcharge of $25,000. | 26 | | (B) If the gross receipts received by the live |
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| 1 | | adult entertainment facility during the preceding | 2 | | calendar year, upon the basis of which a tax is imposed | 3 | | under Section 2 of the Retailers' Occupation Tax Act, | 4 | | are equal to or greater than $500,000 but less than | 5 | | $2,000,000 during the preceding calendar year, and if | 6 | | the operator elects to be subject to this item (2), | 7 | | then the operator shall pay to the Department a | 8 | | surcharge of $15,000. | 9 | | (C) If the gross receipts received by the live | 10 | | adult entertainment facility during the preceding | 11 | | calendar year, upon the basis of which a tax is imposed | 12 | | under Section 2 of the Retailers' Occupation Tax Act, | 13 | | are less than $500,000 during the preceding calendar | 14 | | year, and if the operator elects to be subject to this | 15 | | item (2), then the operator shall pay the Department a | 16 | | surcharge of $5,000. | 17 | | (b) For each live adult entertainment facility paying the | 18 | | surcharge as set forth in item (1) of subsection (a) of this | 19 | | Section, the operator must file a return electronically as | 20 | | provided by the Department and remit payment to the Department | 21 | | on an annual basis no later than January 20 covering the | 22 | | previous calendar year. Each return made to the Department must | 23 | | state the following: | 24 | | (1) the name of the operator; | 25 | | (2) the address of the live adult entertainment | 26 | | facility and the address of the principal place of business |
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| 1 | | (if that is a different address) of the operator; | 2 | | (3) the total number of admissions to the facility in | 3 | | the preceding calendar year; and | 4 | | (4) the total amount of surcharge collected in the | 5 | | preceding calendar year. | 6 | | Notwithstanding any other provision of this subsection | 7 | | concerning the time within which an operator may file his or | 8 | | her return, if an operator ceases to operate a live adult | 9 | | entertainment facility, then he or she must file a final return | 10 | | under this Act with the Department not more than one calendar | 11 | | month after discontinuing that business. | 12 | | (c) For each live adult entertainment facility paying the | 13 | | surcharge as set forth in item (2) of subsection (a) of this | 14 | | Section, the operator must file a return electronically as | 15 | | provided by the Department and remit payment to the Department | 16 | | on an annual basis no later than January 20 covering the | 17 | | previous calendar year. Each return made to the Department must | 18 | | state the following: | 19 | | (1) the name of the operator; | 20 | | (2) the address of the live adult entertainment | 21 | | facility and the address of the principal place of business | 22 | | (if that is a different address) of the operator; | 23 | | (3) the gross receipts received by the live adult | 24 | | entertainment facility during the preceding calendar year, | 25 | | upon the basis of which tax is imposed under Section 2 of | 26 | | the Retailers' Occupation Tax Act; and |
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| 1 | | (4) the applicable surcharge from Section 10(a)(2) of | 2 | | this Act to be paid by the operator. | 3 | | Notwithstanding any other provision of this subsection | 4 | | concerning the time within which an operator may file his or | 5 | | her return, if an operator ceases to operate a live adult | 6 | | entertainment facility, then he or she must file a final return | 7 | | under this Act with the Department not more than one calendar | 8 | | month after discontinuing that business. | 9 | | (d) Beginning January 1, 2014, the Department shall pay all | 10 | | proceeds collected from the surcharge imposed under this Act | 11 | | into the Sexual Assault Services and Prevention Fund, less 2% | 12 | | of those proceeds, which shall be paid into the Tax Compliance | 13 | | and Administration Fund in the State treasury from which it | 14 | | shall be appropriated to the Department to cover the costs of | 15 | | the Department in administering and enforcing the provisions of | 16 | | this Act. | 17 | | Section 15. The Sexual Assault Services and Prevention | 18 | | Fund. | 19 | | (a) The Sexual Assault Services and Prevention Fund is | 20 | | created as a special fund in the State treasury. From | 21 | | appropriations from the Fund, the Department of Human Services | 22 | | shall make grants to sexual assault organizations with whom the | 23 | | Department has contracts for the purpose of providing | 24 | | community-based assistance to victims of sexual assault and for | 25 | | activities concerning the prevention of sexual assault. Moneys |
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| 1 | | received for the purposes of this Act, including, without | 2 | | limitation, surcharge proceeds and gifts, grants, and awards | 3 | | from any public or private entity, must be deposited into the | 4 | | Fund. Any interest earnings that are attributable to moneys in | 5 | | the Fund must be deposited into the Fund. | 6 | | (b) Notwithstanding any deposits authorized under | 7 | | subsection (d) of Section 10 of this Act, the Fund is not | 8 | | subject to sweeps, charge-backs, or any other fiscal or | 9 | | budgetary maneuver that would in any way transfer any moneys | 10 | | from the Fund into any other fund of the State. | 11 | | Section 20. Books and records. Every operator electing to | 12 | | pay the surcharge pursuant to item (1) of subsection (a) of | 13 | | Section 10 of this Act shall record the admissions of customers | 14 | | subject to the surcharge under this Act. | 15 | | Section 25. Application of Retailers' Occupation Tax | 16 | | provisions; Uniform Penalty and Interest Act provisions. All | 17 | | the provisions of Sections 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, | 18 | | 5i, 5j, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, and 13 of the Retailers' | 19 | | Occupation Tax Act that are not inconsistent with this Act | 20 | | apply, as far as practicable, to the surcharge imposed by this | 21 | | Act to the same extent as if those provisions were included in | 22 | | this Act. References in the incorporated Sections of the | 23 | | Retailers' Occupation Tax Act to retailers, to sellers, or to | 24 | | persons engaged in the business of selling tangible personal |
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| 1 | | property mean operators. All provisions of the Uniform Penalty | 2 | | and Interest Act which are not inconsistent with this Act shall | 3 | | apply. | 4 | | Section 30. Rules. The Department may adopt and enforce any | 5 | | reasonable rule to administer and enforce the surcharge imposed | 6 | | by this Act.
| 7 | | Section 40. Review under the Administrative Review Law. The | 8 | | circuit court of any county in which a hearing is held has the | 9 | | power to review all final administrative decisions of the | 10 | | Department in administering the surcharge imposed under this | 11 | | Act. The term "administrative decision" is defined as in | 12 | | Section 3-101 of the Code of Civil Procedure. | 13 | | Section 45. Penalty. Any operator who fails to make a | 14 | | return or who makes a fraudulent return is guilty of a Class 4 | 15 | | felony. | 16 | | Section 90. The State Finance Act is amended by adding | 17 | | Section 5.811 as follows: | 18 | | (30 ILCS 105/5.811 new) | 19 | | Sec. 5.811. The Sexual Assault Services and Prevention | 20 | | Fund. |
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| 1 | | Section 97. Severability. The provisions of this Act are | 2 | | severable under Section 1.31 of the Statute on Statutes. | 3 | | Section 99. Effective date. This Act takes effect January | 4 | | 1, 2013. |
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