Full Text of hB0961 98th General Assembly
HB0961enr 98TH 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 5. The State Revenue Sharing Act is amended by | 5 | | changing Section 1 as follows:
| 6 | | (30 ILCS 115/1) (from Ch. 85, par. 611)
| 7 | | Sec. 1. Local Government Distributive Fund. Through June | 8 | | 30, 1994, as
soon as may be after the first day of each month | 9 | | the Department of Revenue
shall certify to the Treasurer an | 10 | | amount equal to 1/12 of the net revenue
realized from the tax | 11 | | imposed by subsections (a) and (b) of Section 201 of the
| 12 | | Illinois Income Tax Act during the preceding month. Beginning | 13 | | July 1, 1994,
and continuing through June 30, 1995, as soon as | 14 | | may be after the first day of
each month, the Department of | 15 | | Revenue shall certify to the Treasurer an amount
equal to 1/11 | 16 | | of the net revenue realized from the tax imposed by subsections
| 17 | | (a) and (b) of Section 201 of the Illinois Income Tax Act | 18 | | during the preceding
month. Beginning July 1, 1995, as soon as | 19 | | may be after the first day of each
month, the Department of | 20 | | Revenue shall certify to the Treasurer an amount equal
to the | 21 | | amounts calculated pursuant to subsection (b) of Section 901 of | 22 | | the Illinois Income Tax Act based on 1/10 of the net revenue | 23 | | realized from the tax imposed by subsections (a) and
(b) of |
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| 1 | | Section 201 of the Illinois Income Tax Act during the preceding | 2 | | month.
Net revenue realized for a month shall be defined as the | 3 | | revenue from the tax
imposed by subsections (a) and (b) of | 4 | | Section 201 of the Illinois Income Tax
Act which is deposited | 5 | | in the General Revenue Fund, the Education Assistance
Fund and | 6 | | the Income Tax Surcharge Local Government Distributive Fund | 7 | | during the
month minus the amount paid out of the General | 8 | | Revenue Fund in State warrants
during that same month as | 9 | | refunds to taxpayers for overpayment of liability
under the tax | 10 | | imposed by subsections (a) and (b) of Section 201 of the | 11 | | Illinois
Income Tax Act. Upon receipt of such certification, | 12 | | the Treasurer shall
transfer from the General Revenue Fund to a | 13 | | special fund in the State treasury,
to be known as the "Local | 14 | | Government Distributive Fund", the amount shown on
such | 15 | | certification.
| 16 | | Beginning on the effective date of this amendatory Act of | 17 | | the 98th General Assembly, the Comptroller shall perform the | 18 | | transfers required by this Section no later than 60 days after | 19 | | he or she receives the certification from the Treasurer. | 20 | | All amounts paid into the Local Government Distributive | 21 | | Fund in accordance
with this Section and allocated pursuant to | 22 | | this Act are appropriated on a
continuing basis.
| 23 | | (Source: P.A. 88-89.)
| 24 | | Section 10. The Illinois Income Tax Act is amended by | 25 | | changing Section 901 as follows: |
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| 1 | | (35 ILCS 5/901) (from Ch. 120, par. 9-901) | 2 | | Sec. 901. Collection Authority. | 3 | | (a) In general. | 4 | | The Department shall collect the taxes imposed by this Act. | 5 | | The Department
shall collect certified past due child support | 6 | | amounts under Section 2505-650
of the Department of Revenue Law | 7 | | (20 ILCS 2505/2505-650). Except as
provided in subsections (c), | 8 | | (e), (f), and (g) of this Section, money collected
pursuant to | 9 | | subsections (a) and (b) of Section 201 of this Act shall be
| 10 | | paid into the General Revenue Fund in the State treasury; money
| 11 | | collected pursuant to subsections (c) and (d) of Section 201 of | 12 | | this Act
shall be paid into the Personal Property Tax | 13 | | Replacement Fund, a special
fund in the State Treasury; and | 14 | | money collected under Section 2505-650 of the
Department of | 15 | | Revenue Law (20 ILCS 2505/2505-650) shall be paid
into the
| 16 | | Child Support Enforcement Trust Fund, a special fund outside | 17 | | the State
Treasury, or
to the State
Disbursement Unit | 18 | | established under Section 10-26 of the Illinois Public Aid
| 19 | | Code, as directed by the Department of Healthcare and Family | 20 | | Services. | 21 | | (b) Local Government Distributive Fund. | 22 | | Beginning August 1, 1969, and continuing through June 30, | 23 | | 1994, the Treasurer
shall transfer each month from the General | 24 | | Revenue Fund to a special fund in
the State treasury, to be | 25 | | known as the "Local Government Distributive Fund", an
amount |
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| 1 | | equal to 1/12 of the net revenue realized from the tax imposed | 2 | | by
subsections (a) and (b) of Section 201 of this Act during | 3 | | the preceding month.
Beginning July 1, 1994, and continuing | 4 | | through June 30, 1995, the Treasurer
shall transfer each month | 5 | | from the General Revenue Fund to the Local Government
| 6 | | Distributive Fund an amount equal to 1/11 of the net revenue | 7 | | realized from the
tax imposed by subsections (a) and (b) of | 8 | | Section 201 of this Act during the
preceding month. Beginning | 9 | | July 1, 1995 and continuing through January 31, 2011, the | 10 | | Treasurer shall transfer each
month from the General Revenue | 11 | | Fund to the Local Government Distributive Fund
an amount equal | 12 | | to the net of (i) 1/10 of the net revenue realized from the
tax | 13 | | imposed by
subsections (a) and (b) of Section 201 of the | 14 | | Illinois Income Tax Act during
the preceding month
(ii) minus, | 15 | | beginning July 1, 2003 and ending June 30, 2004, $6,666,666, | 16 | | and
beginning July 1,
2004,
zero. Beginning February 1, 2011, | 17 | | and continuing through January 31, 2015, the Treasurer shall | 18 | | transfer each month from the General Revenue Fund to the Local | 19 | | Government Distributive Fund an amount equal to the sum of (i) | 20 | | 6% (10% of the ratio of the 3% individual income tax rate prior | 21 | | to 2011 to the 5% individual income tax rate after 2010) of the | 22 | | net revenue realized from the tax imposed by subsections (a) | 23 | | and (b) of Section 201 of this Act upon individuals, trusts, | 24 | | and estates during the preceding month and (ii) 6.86% (10% of | 25 | | the ratio of the 4.8% corporate income tax rate prior to 2011 | 26 | | to the 7% corporate income tax rate after 2010) of the net |
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| 1 | | revenue realized from the tax imposed by subsections (a) and | 2 | | (b) of Section 201 of this Act upon corporations during the | 3 | | preceding month. Beginning February 1, 2015 and continuing | 4 | | through January 31, 2025, the Treasurer shall transfer each | 5 | | month from the General Revenue Fund to the Local Government | 6 | | Distributive Fund an amount equal to the sum of (i) 8% (10% of | 7 | | the ratio of the 3% individual income tax rate prior to 2011 to | 8 | | the 3.75% individual income tax rate after 2014) of the net | 9 | | revenue realized from the tax imposed by subsections (a) and | 10 | | (b) of Section 201 of this Act upon individuals, trusts, and | 11 | | estates during the preceding month and (ii) 9.14% (10% of the | 12 | | ratio of the 4.8% corporate income tax rate prior to 2011 to | 13 | | the 5.25% corporate income tax rate after 2014) of the net | 14 | | revenue realized from the tax imposed by subsections (a) and | 15 | | (b) of Section 201 of this Act upon corporations during the | 16 | | preceding month. Beginning February 1, 2025, the Treasurer | 17 | | shall transfer each month from the General Revenue Fund to the | 18 | | Local Government Distributive Fund an amount equal to the sum | 19 | | of (i) 9.23% (10% of the ratio of the 3% individual income tax | 20 | | rate prior to 2011 to the 3.25% individual income tax rate | 21 | | after 2024) of the net revenue realized from the tax imposed by | 22 | | subsections (a) and (b) of Section 201 of this Act upon | 23 | | individuals, trusts, and estates during the preceding month and | 24 | | (ii) 10% of the net revenue realized from the tax imposed by | 25 | | subsections (a) and (b) of Section 201 of this Act upon | 26 | | corporations during the preceding month. Net revenue realized |
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| 1 | | for a month shall be defined as the
revenue from the tax | 2 | | imposed by subsections (a) and (b) of Section 201 of this
Act | 3 | | which is deposited in the General Revenue Fund, the Education | 4 | | Assistance
Fund, the Income Tax Surcharge Local Government | 5 | | Distributive Fund, the Fund for the Advancement of Education, | 6 | | and the Commitment to Human Services Fund during the
month | 7 | | minus the amount paid out of the General Revenue Fund in State | 8 | | warrants
during that same month as refunds to taxpayers for | 9 | | overpayment of liability
under the tax imposed by subsections | 10 | | (a) and (b) of Section 201 of this Act. | 11 | | Beginning on the effective date of this amendatory Act of | 12 | | the 98th General Assembly, the Comptroller shall perform the | 13 | | transfers required by this subsection (b) no later than 60 days | 14 | | after he or she receives the certification from the Treasurer | 15 | | as provided in Section 1 of the State Revenue Sharing Act. | 16 | | (c) Deposits Into Income Tax Refund Fund. | 17 | | (1) Beginning on January 1, 1989 and thereafter, the | 18 | | Department shall
deposit a percentage of the amounts | 19 | | collected pursuant to subsections (a)
and (b)(1), (2), and | 20 | | (3), of Section 201 of this Act into a fund in the State
| 21 | | treasury known as the Income Tax Refund Fund. The | 22 | | Department shall deposit 6%
of such amounts during the | 23 | | period beginning January 1, 1989 and ending on June
30, | 24 | | 1989. Beginning with State fiscal year 1990 and for each | 25 | | fiscal year
thereafter, the percentage deposited into the | 26 | | Income Tax Refund Fund during a
fiscal year shall be the |
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| 1 | | Annual Percentage. For fiscal years 1999 through
2001, the | 2 | | Annual Percentage shall be 7.1%.
For fiscal year 2003, the | 3 | | Annual Percentage shall be 8%.
For fiscal year 2004, the | 4 | | Annual Percentage shall be 11.7%. Upon the effective date | 5 | | of this amendatory Act of the 93rd General Assembly, the | 6 | | Annual Percentage shall be 10% for fiscal year 2005. For | 7 | | fiscal year 2006, the Annual Percentage shall be 9.75%. For | 8 | | fiscal
year 2007, the Annual Percentage shall be 9.75%. For | 9 | | fiscal year 2008, the Annual Percentage shall be 7.75%. For | 10 | | fiscal year 2009, the Annual Percentage shall be 9.75%. For | 11 | | fiscal year 2010, the Annual Percentage shall be 9.75%. For | 12 | | fiscal year 2011, the Annual Percentage shall be 8.75%. For | 13 | | fiscal year 2012, the Annual Percentage shall be 8.75%. For | 14 | | fiscal year 2013, the Annual Percentage shall be 9.75%. For | 15 | | fiscal year 2014, the Annual Percentage shall be 9.5%. For | 16 | | all other
fiscal years, the
Annual Percentage shall be | 17 | | calculated as a fraction, the numerator of which
shall be | 18 | | the amount of refunds approved for payment by the | 19 | | Department during
the preceding fiscal year as a result of | 20 | | overpayment of tax liability under
subsections (a) and | 21 | | (b)(1), (2), and (3) of Section 201 of this Act plus the
| 22 | | amount of such refunds remaining approved but unpaid at the | 23 | | end of the
preceding fiscal year, minus the amounts | 24 | | transferred into the Income Tax
Refund Fund from the | 25 | | Tobacco Settlement Recovery Fund, and
the denominator of | 26 | | which shall be the amounts which will be collected pursuant
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| 1 | | to subsections (a) and (b)(1), (2), and (3) of Section 201 | 2 | | of this Act during
the preceding fiscal year; except that | 3 | | in State fiscal year 2002, the Annual
Percentage shall in | 4 | | no event exceed 7.6%. The Director of Revenue shall
certify | 5 | | the Annual Percentage to the Comptroller on the last | 6 | | business day of
the fiscal year immediately preceding the | 7 | | fiscal year for which it is to be
effective. | 8 | | (2) Beginning on January 1, 1989 and thereafter, the | 9 | | Department shall
deposit a percentage of the amounts | 10 | | collected pursuant to subsections (a)
and (b)(6), (7), and | 11 | | (8), (c) and (d) of Section 201
of this Act into a fund in | 12 | | the State treasury known as the Income Tax
Refund Fund. The | 13 | | Department shall deposit 18% of such amounts during the
| 14 | | period beginning January 1, 1989 and ending on June 30, | 15 | | 1989. Beginning
with State fiscal year 1990 and for each | 16 | | fiscal year thereafter, the
percentage deposited into the | 17 | | Income Tax Refund Fund during a fiscal year
shall be the | 18 | | Annual Percentage. For fiscal years 1999, 2000, and 2001, | 19 | | the
Annual Percentage shall be 19%.
For fiscal year 2003, | 20 | | the Annual Percentage shall be 27%. For fiscal year
2004, | 21 | | the Annual Percentage shall be 32%.
Upon the effective date | 22 | | of this amendatory Act of the 93rd General Assembly, the | 23 | | Annual Percentage shall be 24% for fiscal year 2005.
For | 24 | | fiscal year 2006, the Annual Percentage shall be 20%. For | 25 | | fiscal
year 2007, the Annual Percentage shall be 17.5%. For | 26 | | fiscal year 2008, the Annual Percentage shall be 15.5%. For |
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| 1 | | fiscal year 2009, the Annual Percentage shall be 17.5%. For | 2 | | fiscal year 2010, the Annual Percentage shall be 17.5%. For | 3 | | fiscal year 2011, the Annual Percentage shall be 17.5%. For | 4 | | fiscal year 2012, the Annual Percentage shall be 17.5%. For | 5 | | fiscal year 2013, the Annual Percentage shall be 14%. For | 6 | | fiscal year 2014, the Annual Percentage shall be 13.4%. For | 7 | | all other fiscal years, the Annual
Percentage shall be | 8 | | calculated
as a fraction, the numerator of which shall be | 9 | | the amount of refunds
approved for payment by the | 10 | | Department during the preceding fiscal year as
a result of | 11 | | overpayment of tax liability under subsections (a) and | 12 | | (b)(6),
(7), and (8), (c) and (d) of Section 201 of this | 13 | | Act plus the
amount of such refunds remaining approved but | 14 | | unpaid at the end of the
preceding fiscal year, and the | 15 | | denominator of
which shall be the amounts which will be | 16 | | collected pursuant to subsections (a)
and (b)(6), (7), and | 17 | | (8), (c) and (d) of Section 201 of this Act during the
| 18 | | preceding fiscal year; except that in State fiscal year | 19 | | 2002, the Annual
Percentage shall in no event exceed 23%. | 20 | | The Director of Revenue shall
certify the Annual Percentage | 21 | | to the Comptroller on the last business day of
the fiscal | 22 | | year immediately preceding the fiscal year for which it is | 23 | | to be
effective. | 24 | | (3) The Comptroller shall order transferred and the | 25 | | Treasurer shall
transfer from the Tobacco Settlement | 26 | | Recovery Fund to the Income Tax Refund
Fund (i) $35,000,000 |
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| 1 | | in January, 2001, (ii) $35,000,000 in January, 2002, and
| 2 | | (iii) $35,000,000 in January, 2003. | 3 | | (d) Expenditures from Income Tax Refund Fund. | 4 | | (1) Beginning January 1, 1989, money in the Income Tax | 5 | | Refund Fund
shall be expended exclusively for the purpose | 6 | | of paying refunds resulting
from overpayment of tax | 7 | | liability under Section 201 of this Act, for paying
rebates | 8 | | under Section 208.1 in the event that the amounts in the | 9 | | Homeowners'
Tax Relief Fund are insufficient for that | 10 | | purpose,
and for
making transfers pursuant to this | 11 | | subsection (d). | 12 | | (2) The Director shall order payment of refunds | 13 | | resulting from
overpayment of tax liability under Section | 14 | | 201 of this Act from the
Income Tax Refund Fund only to the | 15 | | extent that amounts collected pursuant
to Section 201 of | 16 | | this Act and transfers pursuant to this subsection (d)
and | 17 | | item (3) of subsection (c) have been deposited and retained | 18 | | in the
Fund. | 19 | | (3) As soon as possible after the end of each fiscal | 20 | | year, the Director
shall
order transferred and the State | 21 | | Treasurer and State Comptroller shall
transfer from the | 22 | | Income Tax Refund Fund to the Personal Property Tax
| 23 | | Replacement Fund an amount, certified by the Director to | 24 | | the Comptroller,
equal to the excess of the amount | 25 | | collected pursuant to subsections (c) and
(d) of Section | 26 | | 201 of this Act deposited into the Income Tax Refund Fund
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| 1 | | during the fiscal year over the amount of refunds resulting | 2 | | from
overpayment of tax liability under subsections (c) and | 3 | | (d) of Section 201
of this Act paid from the Income Tax | 4 | | Refund Fund during the fiscal year. | 5 | | (4) As soon as possible after the end of each fiscal | 6 | | year, the Director shall
order transferred and the State | 7 | | Treasurer and State Comptroller shall
transfer from the | 8 | | Personal Property Tax Replacement Fund to the Income Tax
| 9 | | Refund Fund an amount, certified by the Director to the | 10 | | Comptroller, equal
to the excess of the amount of refunds | 11 | | resulting from overpayment of tax
liability under | 12 | | subsections (c) and (d) of Section 201 of this Act paid
| 13 | | from the Income Tax Refund Fund during the fiscal year over | 14 | | the amount
collected pursuant to subsections (c) and (d) of | 15 | | Section 201 of this Act
deposited into the Income Tax | 16 | | Refund Fund during the fiscal year. | 17 | | (4.5) As soon as possible after the end of fiscal year | 18 | | 1999 and of each
fiscal year
thereafter, the Director shall | 19 | | order transferred and the State Treasurer and
State | 20 | | Comptroller shall transfer from the Income Tax Refund Fund | 21 | | to the General
Revenue Fund any surplus remaining in the | 22 | | Income Tax Refund Fund as of the end
of such fiscal year; | 23 | | excluding for fiscal years 2000, 2001, and 2002
amounts | 24 | | attributable to transfers under item (3) of subsection (c) | 25 | | less refunds
resulting from the earned income tax credit. | 26 | | (5) This Act shall constitute an irrevocable and |
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| 1 | | continuing
appropriation from the Income Tax Refund Fund | 2 | | for the purpose of paying
refunds upon the order of the | 3 | | Director in accordance with the provisions of
this Section. | 4 | | (e) Deposits into the Education Assistance Fund and the | 5 | | Income Tax
Surcharge Local Government Distributive Fund. | 6 | | On July 1, 1991, and thereafter, of the amounts collected | 7 | | pursuant to
subsections (a) and (b) of Section 201 of this Act, | 8 | | minus deposits into the
Income Tax Refund Fund, the Department | 9 | | shall deposit 7.3% into the
Education Assistance Fund in the | 10 | | State Treasury. Beginning July 1, 1991,
and continuing through | 11 | | January 31, 1993, of the amounts collected pursuant to
| 12 | | subsections (a) and (b) of Section 201 of the Illinois Income | 13 | | Tax Act, minus
deposits into the Income Tax Refund Fund, the | 14 | | Department shall deposit 3.0%
into the Income Tax Surcharge | 15 | | Local Government Distributive Fund in the State
Treasury. | 16 | | Beginning February 1, 1993 and continuing through June 30, | 17 | | 1993, of
the amounts collected pursuant to subsections (a) and | 18 | | (b) of Section 201 of the
Illinois Income Tax Act, minus | 19 | | deposits into the Income Tax Refund Fund, the
Department shall | 20 | | deposit 4.4% into the Income Tax Surcharge Local Government
| 21 | | Distributive Fund in the State Treasury. Beginning July 1, | 22 | | 1993, and
continuing through June 30, 1994, of the amounts | 23 | | collected under subsections
(a) and (b) of Section 201 of this | 24 | | Act, minus deposits into the Income Tax
Refund Fund, the | 25 | | Department shall deposit 1.475% into the Income Tax Surcharge
| 26 | | Local Government Distributive Fund in the State Treasury. |
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| 1 | | (f) Deposits into the Fund for the Advancement of | 2 | | Education. Beginning February 1, 2015, the Department shall | 3 | | deposit the following portions of the revenue realized from the | 4 | | tax imposed upon individuals, trusts, and estates by | 5 | | subsections (a) and (b) of Section 201 of this Act during the | 6 | | preceding month, minus deposits into the Income Tax Refund | 7 | | Fund, into the Fund for the Advancement of Education: | 8 | | (1) beginning February 1, 2015, and prior to February | 9 | | 1, 2025, 1/30; and | 10 | | (2) beginning February 1, 2025, 1/26. | 11 | | If the rate of tax imposed by subsection (a) and (b) of | 12 | | Section 201 is reduced pursuant to Section 201.5 of this Act, | 13 | | the Department shall not make the deposits required by this | 14 | | subsection (f) on or after the effective date of the reduction. | 15 | | (g) Deposits into the Commitment to Human Services Fund. | 16 | | Beginning February 1, 2015, the Department shall deposit the | 17 | | following portions of the revenue realized from the tax imposed | 18 | | upon individuals, trusts, and estates by subsections (a) and | 19 | | (b) of Section 201 of this Act during the preceding month, | 20 | | minus deposits into the Income Tax Refund Fund, into the | 21 | | Commitment to Human Services Fund: | 22 | | (1) beginning February 1, 2015, and prior to February | 23 | | 1, 2025, 1/30; and | 24 | | (2) beginning February 1, 2025, 1/26. | 25 | | If the rate of tax imposed by subsection (a) and (b) of | 26 | | Section 201 is reduced pursuant to Section 201.5 of this Act, |
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| 1 | | the Department shall not make the deposits required by this | 2 | | subsection (g) on or after the effective date of the reduction. | 3 | | (Source: P.A. 97-72, eff. 7-1-11; 97-732, eff. 6-30-12; 98-24, | 4 | | eff. 6-19-13.)
| 5 | | Section 99. Effective date. This Act takes effect upon | 6 | | becoming law.
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