Full Text of SB0602 99th General Assembly
SB0602sam001 99TH GENERAL ASSEMBLY | Sen. Toi W. Hutchinson Filed: 3/31/2015
| | 09900SB0602sam001 | | LRB099 03448 HLH 33561 a |
|
| 1 | | AMENDMENT TO SENATE BILL 602
| 2 | | AMENDMENT NO. ______. Amend Senate Bill 602 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 5. The Retailers' Occupation Tax Act is amended by | 5 | | changing Section 11 as follows:
| 6 | | (35 ILCS 120/11) (from Ch. 120, par. 450)
| 7 | | Sec. 11. All information received by the Department from | 8 | | returns filed
under this Act, or from any investigation | 9 | | conducted under this Act, shall
be confidential, except for | 10 | | official purposes, and any person who divulges
any such | 11 | | information in any manner, except in accordance with a proper
| 12 | | judicial order or as otherwise provided by law, shall be guilty | 13 | | of a Class
B misdemeanor with a fine not to exceed $7,500.
| 14 | | Nothing in this Act prevents the Director of Revenue from | 15 | | publishing or
making available to the public the names and | 16 | | addresses of persons filing
returns under this Act, or |
| | | 09900SB0602sam001 | - 2 - | LRB099 03448 HLH 33561 a |
|
| 1 | | reasonable statistics concerning the operation
of the tax by | 2 | | grouping the contents of returns so the information in any
| 3 | | individual return is not disclosed.
| 4 | | Nothing in this Act prevents the Director of Revenue from | 5 | | divulging to
the United States Government or the government of | 6 | | any other state, or any
officer or agency thereof, for | 7 | | exclusively official purposes, information
received by the | 8 | | Department in administering this Act, provided that such
other | 9 | | governmental agency agrees to divulge requested tax | 10 | | information to
the Department.
| 11 | | The Department's furnishing of information derived from a | 12 | | taxpayer's
return or from an investigation conducted under this | 13 | | Act to the surety on a
taxpayer's bond that has been furnished | 14 | | to the Department under this Act,
either to provide notice to | 15 | | such surety of its potential liability under
the bond or, in | 16 | | order to support the Department's demand for payment from
such | 17 | | surety under the bond, is an official purpose within the | 18 | | meaning of
this Section.
| 19 | | The furnishing upon request of information obtained by the | 20 | | Department
from returns filed under this Act or investigations | 21 | | conducted under this
Act to the Illinois Liquor Control | 22 | | Commission for official use is deemed to
be an official purpose | 23 | | within the meaning of this Section.
| 24 | | Notice to a surety of potential liability shall not be | 25 | | given unless the
taxpayer has first been notified, not less | 26 | | than 10 days prior thereto, of
the Department's intent to so |
| | | 09900SB0602sam001 | - 3 - | LRB099 03448 HLH 33561 a |
|
| 1 | | notify the surety.
| 2 | | The furnishing upon request of the Auditor General, or his | 3 | | authorized agents,
for official use, of returns filed and | 4 | | information related thereto under
this Act is deemed to be an | 5 | | official purpose within the meaning of this
Section.
| 6 | | Where an appeal or a protest has been filed on behalf of a | 7 | | taxpayer, the
furnishing upon request of the attorney for the | 8 | | taxpayer of returns filed
by the taxpayer and information | 9 | | related thereto under this Act is deemed
to be an official | 10 | | purpose within the meaning of this Section.
| 11 | | The furnishing of financial information to a municipality | 12 | | or home rule unit , upon request of the Chief
Executive thereof, | 13 | | is an official purpose within the meaning of this Section,
| 14 | | provided the municipality or home rule unit agrees in
writing | 15 | | to the requirements of this Section. Information provided to | 16 | | municipalities and home rule units under this paragraph shall | 17 | | be limited to: (1) the business name; (2) the business address; | 18 | | (3) net revenue distributed to the requesting municipality or | 19 | | home rule unit that is directly related to the requesting | 20 | | municipality's local share of the proceeds under the Use Tax | 21 | | Act, the Service Use Tax Act, the Service Occupation Tax Act, | 22 | | and the Retailers' Occupation Tax Act, and, if applicable, any | 23 | | locally imposed retailers' occupation tax or service | 24 | | occupation tax; and (4) a listing of all businesses within the | 25 | | requesting municipality by account identification number and | 26 | | address. On and after July 1, 2015, the furnishing of financial |
| | | 09900SB0602sam001 | - 4 - | LRB099 03448 HLH 33561 a |
|
| 1 | | information to municipalities and home rule units under this | 2 | | paragraph may be by electronic means.
| 3 | | Information so provided shall be subject to all | 4 | | confidentiality provisions
of this Section. The written | 5 | | agreement shall provide for reciprocity,
limitations on | 6 | | access, disclosure, and procedures for requesting information.
| 7 | | The Department may make available to the Board of Trustees | 8 | | of any Metro
East Mass Transit District information contained | 9 | | on transaction reporting
returns required to be filed under | 10 | | Section 3 of this Act that report sales made
within the | 11 | | boundary of the taxing authority of that Metro East Mass | 12 | | Transit
District, as provided in Section 5.01 of the Local Mass | 13 | | Transit District Act.
The disclosure shall be made pursuant to | 14 | | a written agreement between the
Department and the Board of | 15 | | Trustees of a Metro East Mass Transit District,
which is an | 16 | | official purpose within the meaning of this Section. The | 17 | | written
agreement between the Department and the Board of | 18 | | Trustees of a Metro East
Mass Transit District shall provide | 19 | | for reciprocity, limitations on access,
disclosure, and | 20 | | procedures for requesting information. Information so provided
| 21 | | shall be subject to all confidentiality provisions of this | 22 | | Section.
| 23 | | The Director may make available to any State agency, | 24 | | including the
Illinois Supreme Court, which licenses persons to | 25 | | engage in any occupation,
information that a person licensed by | 26 | | such agency has failed to file
returns under this Act or pay |
| | | 09900SB0602sam001 | - 5 - | LRB099 03448 HLH 33561 a |
|
| 1 | | the tax, penalty and interest shown therein,
or has failed to | 2 | | pay any final assessment of tax, penalty or interest due
under | 3 | | this Act.
The Director may make available to any State agency, | 4 | | including the Illinois
Supreme
Court, information regarding | 5 | | whether a bidder, contractor, or an affiliate of a
bidder or
| 6 | | contractor has failed to collect and remit Illinois Use tax on | 7 | | sales into
Illinois, or any tax
under this Act or pay the tax, | 8 | | penalty, and interest shown therein, or has
failed to pay any
| 9 | | final assessment of tax, penalty, or interest due under this | 10 | | Act, for the
limited purpose of
enforcing bidder and contractor | 11 | | certifications. The Director may make available
to units
of | 12 | | local government and school districts that require bidder and | 13 | | contractor
certifications,
as set forth in Sections 50-11 and | 14 | | 50-12 of the Illinois Procurement Code,
information
regarding | 15 | | whether a bidder, contractor, or an affiliate of a bidder or
| 16 | | contractor has failed
to collect and remit Illinois Use tax on | 17 | | sales into Illinois, file returns under
this Act, or
pay the | 18 | | tax, penalty, and interest shown therein, or has failed to pay | 19 | | any final
assessment
of tax, penalty, or interest due under | 20 | | this Act, for the limited purpose of
enforcing bidder
and | 21 | | contractor certifications. For purposes of this Section, the | 22 | | term
"affiliate" means any
entity that (1) directly, | 23 | | indirectly, or constructively controls another
entity,
(2) is | 24 | | directly,
indirectly, or constructively controlled by another | 25 | | entity, or (3) is subject
to
the control of
a common entity. | 26 | | For purposes of this Section, an entity controls another
entity
|
| | | 09900SB0602sam001 | - 6 - | LRB099 03448 HLH 33561 a |
|
| 1 | | if it owns,
directly or individually, more than 10% of the | 2 | | voting securities of that
entity.
As used in
this Section, the | 3 | | term "voting security" means a security that (1) confers upon
| 4 | | the holder
the right to vote for the election of members of the | 5 | | board of directors or
similar governing
body of the business or | 6 | | (2) is convertible into, or entitles the holder to
receive upon | 7 | | its
exercise, a security that confers such a right to vote. A | 8 | | general partnership
interest is a
voting security.
| 9 | | The Director may make available to any State agency, | 10 | | including the
Illinois
Supreme Court, units of local | 11 | | government, and school districts, information
regarding
| 12 | | whether a bidder or contractor is an affiliate of a person who | 13 | | is not
collecting
and
remitting Illinois Use taxes for the | 14 | | limited purpose of enforcing bidder and
contractor
| 15 | | certifications.
| 16 | | The Director may also make available to the Secretary of | 17 | | State
information that a limited liability company, which has | 18 | | filed articles of
organization with the Secretary of State, or | 19 | | corporation which has been
issued a certificate of | 20 | | incorporation by the Secretary of State has failed to
file | 21 | | returns under this Act or pay the tax, penalty and interest | 22 | | shown therein,
or has failed to pay any final assessment of | 23 | | tax, penalty or interest due under
this Act. An assessment is | 24 | | final when all proceedings in court for review of
such | 25 | | assessment have terminated or the time for the taking thereof | 26 | | has expired
without such proceedings being instituted.
|
| | | 09900SB0602sam001 | - 7 - | LRB099 03448 HLH 33561 a |
|
| 1 | | The Director shall make available for public inspection in | 2 | | the Department's
principal office and for publication, at cost, | 3 | | administrative decisions issued
on or after January 1, 1995. | 4 | | These decisions are to be made available in a
manner so that | 5 | | the following taxpayer information is not disclosed:
| 6 | | (1) The names, addresses, and identification numbers | 7 | | of the taxpayer,
related entities, and employees.
| 8 | | (2) At the sole discretion of the Director, trade | 9 | | secrets
or other confidential information identified as | 10 | | such by the taxpayer, no later
than 30 days after receipt | 11 | | of an administrative decision, by such means as the
| 12 | | Department shall provide by rule.
| 13 | | The Director shall determine the appropriate extent of the | 14 | | deletions allowed
in paragraph (2). In the event the taxpayer | 15 | | does not submit deletions, the
Director shall make only the | 16 | | deletions specified in paragraph (1).
| 17 | | The Director shall make available for public inspection and | 18 | | publication an
administrative decision within 180 days after | 19 | | the issuance of the
administrative decision. The term | 20 | | "administrative decision" has the same
meaning as defined in | 21 | | Section 3-101 of Article III of the Code of Civil
Procedure. | 22 | | Costs collected under this Section shall be paid into the Tax
| 23 | | Compliance and Administration Fund.
| 24 | | Nothing contained in this Act shall prevent the Director | 25 | | from divulging
information to any person pursuant to a request | 26 | | or authorization made by the
taxpayer or by an authorized |
| | | 09900SB0602sam001 | - 8 - | LRB099 03448 HLH 33561 a |
|
| 1 | | representative of the taxpayer.
| 2 | | (Source: P.A. 98-1058, eff. 1-1-15 .)
| 3 | | Section 10. The Local Tax Collection Act is amended by | 4 | | changing Section 1 as follows:
| 5 | | (35 ILCS 720/1) (from Ch. 120, par. 1901)
| 6 | | Sec. 1.
(a) The Department of Revenue and any county or | 7 | | municipality
may agree to the Department's collecting, and | 8 | | transmitting back to such county
or municipality, any tax | 9 | | lawfully imposed by that county or municipality,
the subject of | 10 | | which is similar to that of a tax imposed by the State and
| 11 | | collected by the Department of Revenue, unless the General | 12 | | Assembly has
specifically required a different method of | 13 | | collection for such tax.
However, the Department may not enter | 14 | | into a contract with any municipality
or county pursuant to | 15 | | this Act for the collection of any tax based on the
sale or use | 16 | | of tangible personal property generally, not including taxes
| 17 | | based only on the sale or use of specifically limited kinds of | 18 | | tangible
personal property, unless the
municipal or county | 19 | | ordinance imposes a sales or use tax which is
substantively | 20 | | identical to and which contains the same exemptions as the
| 21 | | taxes imposed by the municipalities' or counties' ordinances | 22 | | authorized by
the Municipal or County Retailers' Occupation Tax | 23 | | Act or the Municipal or
County Use Tax as interpreted by the | 24 | | Department through its regulations as
those Acts and as those |
| | | 09900SB0602sam001 | - 9 - | LRB099 03448 HLH 33561 a |
|
| 1 | | regulations may from time to time be amended.
| 2 | | (b) Regarding the collection of a tax pursuant to this | 3 | | Section, the
Department and any person subject to a tax | 4 | | collected by the Department
pursuant to this Section shall, as | 5 | | much as practicable, have the same
rights, remedies, | 6 | | privileges, immunities, powers and duties, and be subject
to | 7 | | the same conditions, restrictions, limitations,
penalties, | 8 | | definitions of terms and procedures, as those set forth in the
| 9 | | Act imposing the State tax, the subject of which is similar to | 10 | | the tax being
collected by the Department pursuant to this | 11 | | Section. The Department and
county or municipality shall | 12 | | specifically agree in writing to such rights,
remedies, | 13 | | privileges, immunities, powers, duties, conditions, | 14 | | restrictions,
limitations, penalties, definitions of terms and | 15 | | procedures, as well as any
other terms deemed necessary or | 16 | | advisable. All terms so agreed upon shall
be incorporated into | 17 | | an ordinance of such county or municipality,
and the Department | 18 | | shall not collect the tax pursuant to this Section until
such | 19 | | ordinance takes effect.
| 20 | | (c) (1) The Department shall forthwith pay over to the | 21 | | State Treasurer, ex
officio, as trustee, all taxes and | 22 | | penalties collected hereunder. On or
before the 25th day of | 23 | | each calendar month, the Department shall prepare
and certify | 24 | | to the Comptroller the disbursement of stated sums of money to
| 25 | | named cities and counties from which retailers or other | 26 | | taxpayers have paid taxes or penalties
hereunder to the |
| | | 09900SB0602sam001 | - 10 - | LRB099 03448 HLH 33561 a |
|
| 1 | | Department during the second preceding calendar month.
| 2 | | (i) The an amount to be paid to each county and | 3 | | municipality , which shall equal
the taxes and penalties | 4 | | collected by the Department for such county or
municipality | 5 | | pursuant to this Section during the second preceding calendar | 6 | | month (not including credit memoranda), and not including an | 7 | | amount equal to the amount of refunds made during the second | 8 | | preceding calendar month by the Department of behalf of such | 9 | | county or municipality, plus an amount the Department | 10 | | determines is necessary to offset any amounts which were | 11 | | erroneously paid to a different taxing body, and not including | 12 | | any amount which the Department determines is necessary to | 13 | | offset any amounts which are payable to a different taxing body | 14 | | but were erroneously paid to the municipality or county ,
less | 15 | | 2% of the balance, which sum shall be retained by the State | 16 | | Treasurer to cover the costs incurred by the Department in | 17 | | administering and enforcing the provisions of this Section, as | 18 | | provided herein. total amount of taxes and penalties collected | 19 | | by the Department
for such county or municipality pursuant to | 20 | | this Section or the actual cost
of collection of such taxes and | 21 | | penalties determined pursuant to the
agreement described in | 22 | | subsection (b), whichever is less, which shall be
retained by | 23 | | the State; and
| 24 | | (ii) With respect to the total amount to be retained by the | 25 | | State Treasurer pursuant to
subparagraph (i), the Department, | 26 | | at the time of each monthly disbursement to the counties and |
| | | 09900SB0602sam001 | - 11 - | LRB099 03448 HLH 33561 a |
|
| 1 | | municipalities, shall prepare and certify to the Comptroller | 2 | | the amount so retained by the State Treasurer, which shall be | 3 | | transferred such amount to be deposited into the Tax Compliance | 4 | | and Administration General Revenue Fund
of the State treasury | 5 | | and used by the Department, subject to appropriation, to cover | 6 | | the costs incurred by the
Department in collecting such taxes | 7 | | and penalties.
| 8 | | (2) Within 10 7 days after receiving the certifications | 9 | | described in paragraph
(1), the Comptroller shall issue orders | 10 | | for payment of the amounts specified
in subparagraph (i) of | 11 | | paragraph (1).
| 12 | | (d) Any home rule unit of local government which imposes a | 13 | | tax
collected by the Department pursuant to this Section | 14 | | substantially similar to a State imposed tax, or which imposes | 15 | | a tax which
is intended to be collected from a retail purchaser | 16 | | of goods or services at
the same time a similar State tax is | 17 | | also collected, must file a certified copy of
the ordinance | 18 | | imposing the tax with the Department within 10 days after
its | 19 | | passage. Beginning on the effective date of this amendatory Act | 20 | | of the 99th General Assembly, an ordinance or resolution | 21 | | imposing or discontinuing a tax collected by the Department | 22 | | under this Section or effecting a change in the rate thereof | 23 | | shall either (i) be adopted and a certified copy thereof filed | 24 | | with the Department on or before the first day of April, | 25 | | whereupon the
Department shall proceed to administer and | 26 | | enforce the tax imposition, discontinuance, or rate change as |
| | | 09900SB0602sam001 | - 12 - | LRB099 03448 HLH 33561 a |
|
| 1 | | of the first day of July next following the adoption and | 2 | | filing; or (ii) be adopted and certified copy thereof filed | 3 | | with the Department on or before the first day of October, | 4 | | whereupon the Department shall proceed to administer and | 5 | | enforce the tax imposition, discontinuance, or rate change as | 6 | | of the first day of January next following the adoption and | 7 | | filing. No such ordinance shall become effective until it is so
| 8 | | filed. Any home rule unit of local government which has enacted | 9 | | such an
ordinance prior to the effective date of this Act shall | 10 | | file a copy of such
ordinance with the Department within 90 | 11 | | days after the effective date of this Act.
| 12 | | (e) It is declared to be the law of this State, pursuant to | 13 | | paragraph
(g) of Section 6 of Article VII of the Illinois | 14 | | Constitution, that this
amendatory Act of 1988 is a denial of | 15 | | the power of a home rule unit to fail
to comply with the | 16 | | requirements of paragraphs (d) and (e) of this Section.
| 17 | | (Source: P.A. 85-1215.)
| 18 | | Section 99. Effective date. This Act takes effect upon | 19 | | becoming law.".
|
|