Full Text of HB2755 98th General Assembly
HB2755sam001 98TH GENERAL ASSEMBLY | Sen. Chapin Rose Filed: 5/17/2013
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| 1 | | AMENDMENT TO HOUSE BILL 2755
| 2 | | AMENDMENT NO. ______. Amend House Bill 2755 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 5. The Illinois Municipal Code is amended by | 5 | | adding Section 8-11-22 as follows: | 6 | | (65 ILCS 5/8-11-22 new) | 7 | | Sec. 8-11-22. School facility occupation taxes; City of | 8 | | Shelbyville. | 9 | | (a) The corporate authorities of the City of Shelbyville | 10 | | may impose a tax upon all persons engaged in the business of | 11 | | selling tangible personal property, other than personal | 12 | | property titled or registered with an agency of this State's | 13 | | government, at retail in the City of Shelbyville on the gross | 14 | | receipts from the sales made in the course of business to | 15 | | provide revenue to be used exclusively for school facility | 16 | | purposes if a proposition for the tax has been submitted to the |
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| 1 | | electors of the City of Shelbyville and approved by a majority | 2 | | of those voting on the question as provided in subsection (c). | 3 | | The tax under this Section may be imposed in one-quarter | 4 | | percent increments and may not exceed 1%. | 5 | | A tax may not be imposed under this Section by the City of | 6 | | Shelbyville if the voters of the county have approved a school | 7 | | facility occupation tax pursuant to Section 5-1006.7 of the | 8 | | Counties Code at a referendum submitted to the voters on or | 9 | | before the March 2014 general primary election. | 10 | | This additional tax may not be imposed on the sale of food | 11 | | for human consumption that is to be consumed off the premises | 12 | | where it is sold (other than alcoholic beverages, soft drinks, | 13 | | and food that has been prepared for immediate consumption) and | 14 | | prescription and non-prescription medicines, drugs, medical | 15 | | appliances and insulin, urine testing materials, syringes and | 16 | | needles used by diabetics. The Department of Revenue has full | 17 | | power to administer and enforce this Section, to collect all | 18 | | taxes and penalties due under this Section, to dispose of taxes | 19 | | and penalties so collected in the manner provided in this | 20 | | Section, and to determine all rights to credit memoranda | 21 | | arising on account of the erroneous payment of a tax or penalty | 22 | | under this Section. The Department shall deposit all taxes and | 23 | | penalties collected under this Section into a special fund | 24 | | created for that purpose. | 25 | | In the administration of and compliance with this | 26 | | subsection, the Department and persons who are subject to this |
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| 1 | | Section: (i) have the same rights, remedies, privileges, | 2 | | immunities, powers, and duties, (ii) are subject to the same | 3 | | conditions, restrictions, limitations, penalties, and | 4 | | definitions of terms, and (iii) shall employ the same modes of | 5 | | procedure as are set forth in Sections 1 through 1o, 2 through | 6 | | 2-70 (in respect to all provisions contained in those Sections | 7 | | other than the State rate of tax), 2a through 2h, 3 (except as | 8 | | to the disposition of taxes and penalties collected), 4, 5, 5a, | 9 | | 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, | 10 | | 9, 10, 11, 11a, 12, and 13 of the Retailers' Occupation Tax Act | 11 | | and all provisions of the Uniform Penalty and Interest Act as | 12 | | if those provisions were set forth in this subsection. | 13 | | The certificate of registration that is issued by the | 14 | | Department to a retailer under the Retailers' Occupation Tax | 15 | | Act permits the retailer to engage in a business that is | 16 | | taxable without registering separately with the Department | 17 | | under an ordinance or resolution under this subsection. | 18 | | Persons subject to any tax imposed under the authority | 19 | | granted in this Section may reimburse themselves for their | 20 | | seller's tax liability by separately stating that tax as an | 21 | | additional charge, which may be stated in combination, in a | 22 | | single amount, with State tax that sellers are required to | 23 | | collect under the Use Tax Act, pursuant to any bracketed | 24 | | schedules set forth by the Department. | 25 | | (b) If a tax has been imposed under subsection (a), then a | 26 | | service occupation tax must also be imposed at the same rate |
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| 1 | | upon all persons engaged, in the City of Shelbyville, in the | 2 | | business of making sales of service, who, as an incident to | 3 | | making those sales of service, transfer tangible personal | 4 | | property within the City of Shelbyville as an incident to a | 5 | | sale of service. | 6 | | This tax may not be imposed on sales of food for human | 7 | | consumption that is to be consumed off the premises where it is | 8 | | sold (other than alcoholic beverages, soft drinks, and food | 9 | | prepared for immediate consumption) and prescription and | 10 | | non-prescription medicines, drugs, medical appliances and | 11 | | insulin, urine testing materials, syringes, and needles used by | 12 | | diabetics. | 13 | | The tax imposed under this Section and all civil penalties | 14 | | that may be assessed as an incident thereof shall be collected | 15 | | and enforced by the Department and deposited into a special | 16 | | fund created for that purpose. The Department has full power to | 17 | | administer and enforce this subsection, to collect all taxes | 18 | | and penalties due under this subsection, to dispose of taxes | 19 | | and penalties so collected in the manner provided in this | 20 | | subsection, and to determine all rights to credit memoranda | 21 | | arising on account of the erroneous payment of a tax or penalty | 22 | | under this Section. | 23 | | In the administration of and compliance with this | 24 | | subsection, the Department and persons who are subject to this | 25 | | subsection shall (i) have the same rights, remedies, | 26 | | privileges, immunities, powers and duties, (ii) be subject to |
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| 1 | | the same conditions, restrictions, limitations, penalties and | 2 | | definition of terms, and (iii) employ the same modes of | 3 | | procedure as are set forth in Sections 2 (except that that | 4 | | reference to State in the definition of supplier maintaining a | 5 | | place of business in this State means the City of Shelbyville), | 6 | | 2a through 2d, 3 through 3-50 (in respect to all provisions | 7 | | contained in those Sections other than the State rate of tax), | 8 | | 4 (except that the reference to the State shall be to the City | 9 | | of Shelbyville), 5, 7, 8 (except that the jurisdiction to which | 10 | | the tax is a debt to the extent indicated in that Section 8 is | 11 | | the City of Shelbyville), 9 (except as to the disposition of | 12 | | taxes and penalties collected), 10, 11, 12 (except the | 13 | | reference therein to Section 2b of the Retailers' Occupation | 14 | | Tax Act), 13 (except that any reference to the State means the | 15 | | City of Shelbyville), Section 15, 16, 17, 18, 19, and 20 of the | 16 | | Service Occupation Tax Act and all provisions of the Uniform | 17 | | Penalty and Interest Act, as fully as if those provisions were | 18 | | set forth herein. | 19 | | Persons subject to any tax imposed under the authority | 20 | | granted in this subsection may reimburse themselves for their | 21 | | serviceman's tax liability by separately stating the tax as an | 22 | | additional charge, which may be stated in combination, in a | 23 | | single amount, with State tax that servicemen are authorized to | 24 | | collect under the Service Use Tax Act, pursuant to any | 25 | | bracketed schedules set forth by the Department. | 26 | | (c) The tax under this Section may not be imposed until the |
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| 1 | | question of imposing the tax has been submitted to the electors | 2 | | of the City of Shelbyville at a regular election and approved | 3 | | by a majority of the electors voting on the question. | 4 | | The corporate authorities of the City of Shelbyville may by | 5 | | ordinance or resolution call for the submission to the electors | 6 | | of the City of Shelbyville the question of whether the City of | 7 | | Shelbyville shall impose a tax under this Section. Such | 8 | | question shall be certified by the county clerk. | 9 | | The county clerk must submit the question in substantially | 10 | | the following form: | 11 | | Shall a retailers' occupation tax and a service | 12 | | occupation tax (commonly referred to as a "sales tax") be | 13 | | imposed in the City of Shelbyville at a rate of 1% to be | 14 | | used exclusively for school facility purposes? | 15 | | Votes must be recorded as votes "Yes" or "No". | 16 | | If a majority of the electors voting on the question vote | 17 | | in the affirmative, then the tax shall be imposed at the rate | 18 | | set forth in the question. | 19 | | (d) The Department shall immediately pay over to the State | 20 | | Treasurer, ex officio, as trustee, all taxes and penalties | 21 | | collected under this Section to be deposited into the School | 22 | | Facility Occupation Tax Fund, which shall be an unappropriated | 23 | | trust fund held outside the State treasury. | 24 | | On or before the 25th day of each calendar month, the |
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| 1 | | Department shall prepare and certify to the Comptroller the | 2 | | amount of the tax collected under this Section. The Comptroller | 3 | | shall pay the amount certified to the City of Shelbyville (i) | 4 | | less 2% of that amount, which shall be deposited into the Tax | 5 | | Compliance and Administration Fund and shall be used by the | 6 | | Department, subject to appropriation, to cover the costs of the | 7 | | Department in administering and enforcing the provisions of | 8 | | this Section, on behalf of the City of Shelbyville, and (ii) | 9 | | less an amount equal to the amount of refunds made during the | 10 | | second preceding calendar month by the Department on behalf of | 11 | | the City of Shelbyville. When certifying the amount of a | 12 | | monthly disbursement to the City of Shelbyville under this | 13 | | Section, the Department shall increase or decrease the amounts | 14 | | by an amount necessary to offset any miscalculation of previous | 15 | | disbursements within the previous 6 months from the time a | 16 | | miscalculation is discovered. | 17 | | Within 10 days after receipt by the Comptroller from the | 18 | | Department of the disbursement certification to the regional | 19 | | superintendents of the schools provided for in this Section, | 20 | | the Comptroller shall cause the orders to be drawn for the | 21 | | respective amounts in accordance with directions contained in | 22 | | the certification. | 23 | | If the Department determines that a refund should be made | 24 | | under this Section to a claimant instead of issuing a credit | 25 | | memorandum, then the Department shall notify the Comptroller, | 26 | | who shall cause the order to be drawn for the amount specified |
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| 1 | | and to the person named in the notification from the | 2 | | Department. The refund shall be paid by the Treasurer out of | 3 | | the School Facility Occupation Tax Fund. | 4 | | (e) For the purposes of determining the local governmental | 5 | | unit whose tax is applicable, a retail sale by a producer of | 6 | | coal or another mineral mined in Illinois is a sale at retail | 7 | | at the place where the coal or other mineral mined in Illinois | 8 | | is extracted from the earth. This subsection does not apply to | 9 | | coal or another mineral when it is delivered or shipped by the | 10 | | seller to the purchaser at a point outside Illinois so that the | 11 | | sale is exempt under the United States Constitution as a sale | 12 | | in interstate or foreign commerce. | 13 | | (f) Nothing in this Section may be construed to authorize a | 14 | | tax to be imposed upon the privilege of engaging in any | 15 | | business that under the Constitution of the United States may | 16 | | not be made the subject of taxation by this State. | 17 | | (g) If the corporate authorities of the City of Shelbyville | 18 | | impose a tax under this Section pursuant to a referendum, then | 19 | | the corporate authorities may reduce or discontinue the tax, | 20 | | but only in accordance with subsections (h-5) and (i) of this | 21 | | Section. If, however, the City of Shelbyville or any taxing | 22 | | district within the City of Shelbyville issues bonds that are | 23 | | secured by the proceeds of the tax under this Section, then the | 24 | | corporate authorities may not reduce the tax rate or | 25 | | discontinue the tax if that rate reduction or discontinuance | 26 | | would adversely affect the City of Shelbyville's ability to pay |
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| 1 | | the principal and interest on those bonds as they become due or | 2 | | necessitate the extension of additional property taxes to pay | 3 | | the principal and interest on those bonds. If the corporate | 4 | | authorities reduce the tax rate or discontinues the tax, then a | 5 | | referendum must be held in accordance with subsection (c) of | 6 | | this Section in order to increase the rate of the tax or to | 7 | | reimpose the discontinued tax. | 8 | | The results of any election that imposes, reduces, or | 9 | | discontinues a tax under this Section must be certified by the | 10 | | county clerk, and any ordinance that increases or lowers the | 11 | | rate or discontinues the tax must be certified by the county | 12 | | clerk and, in each case, filed with the Illinois Department of | 13 | | Revenue either (i) on or before the first day of April, | 14 | | whereupon the Department shall proceed to administer and | 15 | | enforce the tax or change in the rate as of the first day of | 16 | | July next following the filing; or (ii) on or before the first | 17 | | day of October, whereupon the Department shall proceed to | 18 | | administer and enforce the tax or change in the rate as of the | 19 | | first day of January next following the filing. | 20 | | (h) For purposes of this Section: | 21 | | "Department" means the Department of Revenue. | 22 | | "School facility purposes" means (i) the acquisition, | 23 | | development, construction, reconstruction, rehabilitation, | 24 | | improvement, financing, architectural planning, and | 25 | | installation of capital facilities consisting of | 26 | | buildings, structures, and durable equipment and for the |
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| 1 | | acquisition and improvement of real property and interest | 2 | | in real property required, or expected to be required, in | 3 | | connection with the capital facilities and (ii) the payment | 4 | | of bonds or other obligations heretofore or hereafter | 5 | | issued, including bonds or other obligations heretofore or | 6 | | hereafter issued to refund or to continue to refund bonds | 7 | | or other obligations issued, for school facility purposes, | 8 | | provided that the taxes levied to pay those bonds are | 9 | | abated by the amount of the taxes imposed under this | 10 | | Section that are used to pay those bonds. "School-facility | 11 | | purposes" also includes fire prevention, safety, energy | 12 | | conservation, disabled accessibility, school security, and | 13 | | specified repair purposes set forth under Section 17-2.11 | 14 | | of the School Code. | 15 | | (h-5) Where a tax has been imposed by the corporate | 16 | | authorities of the City of Shelbyville under this Section | 17 | | pursuant to a referendum, they may, by ordinance or resolution, | 18 | | submit to the voters of the City of Shelbyville the question of | 19 | | reducing or discontinuing the tax. In the ordinance or | 20 | | resolution, the corporate authorities shall certify the | 21 | | question to the county clerk. The county clerk must submit the | 22 | | question in substantially the following form: | 23 | | Shall the school facility retailers' occupation tax | 24 | | and service occupation tax (commonly referred to as the | 25 | | "school facility sales tax") currently imposed in the City |
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| 1 | | of Shelbyville at a rate of (insert rate) be (reduced to | 2 | | (insert rate))(discontinued)? | 3 | | Votes must be recorded as votes "Yes" or "No". | 4 | | If a majority of the electors voting on the question vote | 5 | | in the affirmative, then, subject to the provisions of | 6 | | subsection (g) of this Section, the tax shall be reduced or | 7 | | discontinued as set forth in the question. | 8 | | (i) In the event that the City of Shelbyville imposes a tax | 9 | | under this Section and the county imposes a school facility | 10 | | occupation tax under Section 5-1006.7 of the Counties Code, | 11 | | then the City of Shelbyville may not continue to impose the tax | 12 | | under this Section, nor may the City of Shelbyville impose a | 13 | | new tax under this Section, beginning on the effective date of | 14 | | the county's ordinance or resolution imposing the tax, except | 15 | | as provided in subsection (i-5). | 16 | | (i-5) If the City of Shelbyville or any taxing district | 17 | | located within the City of Shelbyville issues bonds that are | 18 | | secured by the proceeds of the tax under this Section, then the | 19 | | tax shall not discontinue pursuant to subsection (i) if that | 20 | | discontinuance would adversely affect the City of | 21 | | Shelbyville's ability to pay the principal and interest on | 22 | | those bonds as they become due or necessitate the extension of | 23 | | additional property taxes to pay the principal and interest on | 24 | | those bonds; however, the tax shall be discontinued at such | 25 | | time as the bonds are paid in full. Furthermore, if the county |
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| 1 | | imposes a school facility occupation tax under Section 5-1006.7 | 2 | | of the Counties Code, then the City of Shelbyville may not | 3 | | issue any new or additional bonds secured by the proceeds of a | 4 | | tax imposed under this Section, except for bonds issued to | 5 | | refund bonds issued before the effective date of the tax | 6 | | imposed by the county. | 7 | | (j) This Section may be cited as the City of Shelbyville | 8 | | School Facility Occupation Tax Law.
| 9 | | Section 99. Effective date. This Act takes effect upon | 10 | | becoming law.".
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