Full Text of HB2455 101st General Assembly
HB2455sam001 101ST GENERAL ASSEMBLY | Sen. Omar Aquino Filed: 10/29/2019
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| 1 | | AMENDMENT TO HOUSE BILL 2455
| 2 | | AMENDMENT NO. ______. Amend House Bill 2455 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 5. The Illinois Secure Choice Savings Program Act | 5 | | is amended by changing Section 85 as follows: | 6 | | (820 ILCS 80/85)
| 7 | | Sec. 85. Penalties.
| 8 | | (a) An employer who fails without reasonable cause to | 9 | | enroll an employee in the Program within the time prescribed | 10 | | under Section 60 of this Act shall be subject to a penalty | 11 | | equal to:
| 12 | | (1) $250 per for each employee for the first each | 13 | | calendar year the employer is noncompliant or portion of a | 14 | | calendar year during which the employee neither was | 15 | | enrolled in the Program nor had elected out of | 16 | | participation in the Program ; or
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| 1 | | (2) $500 per employee for each subsequent calendar year | 2 | | the employer is noncompliant; noncompliance does not need | 3 | | to be consecutive to qualify for the $500 penalty beginning | 4 | | after the date a penalty has been assessed with respect to | 5 | | an employee, $500 for any portion of that calendar year | 6 | | during which such employee continues to be unenrolled | 7 | | without electing out of participation in the Program .
| 8 | | The Department shall determine total employee count using | 9 | | the annual average from employer-reported quarterly data. | 10 | | (b) After determining that an employer is subject to a | 11 | | penalty under this Section for a calendar year, the Department | 12 | | shall issue a notice of proposed assessment to such employer, | 13 | | stating the number of employees for which the penalty is | 14 | | proposed under item (1) of subsection (a) of this Section or | 15 | | and the number of employees for which the penalty is proposed | 16 | | under item (2) of subsection (a) of this Section for such | 17 | | calendar year, and the total amount of penalties proposed.
| 18 | | Upon the expiration of 90 days after the date on which a | 19 | | notice of proposed assessment was issued, the penalties | 20 | | specified therein shall be deemed assessed, unless the employer | 21 | | had filed a protest with the Department under subsection (c) of | 22 | | this Section.
| 23 | | If, within 90 days after the date on which it was issued, a | 24 | | protest of a notice of proposed assessment is filed under | 25 | | subsection (c) of this Section, the penalties specified therein | 26 | | shall be deemed assessed upon the date when the decision of the |
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| 1 | | Department with respect to the protest becomes final. | 2 | | (c) A written protest against the proposed assessment shall | 3 | | be filed with the Department in such form as the Department may | 4 | | by rule prescribe, setting forth the grounds on which such | 5 | | protest is based. If such a protest is filed within 90 days | 6 | | after the date the notice of proposed assessment is issued, the | 7 | | Department shall reconsider the proposed assessment and shall | 8 | | grant the employer a hearing. As soon as practicable after such | 9 | | reconsideration and hearing, the Department shall issue a | 10 | | notice of decision to the employer, setting forth the | 11 | | Department's findings of fact and the basis of decision. The | 12 | | decision of the Department shall become final: | 13 | | (1) if no action for review of the decision is | 14 | | commenced under the Administrative Review Law, on the date | 15 | | on which the time for commencement of such review has | 16 | | expired; or
| 17 | | (2) if a timely action for review of the decision is | 18 | | commenced under the Administrative Review Law, on the date | 19 | | all proceedings in court for the review of such assessment | 20 | | have terminated or the time for the taking thereof has | 21 | | expired without such proceedings being instituted.
| 22 | | (d) As soon as practicable after the penalties specified in | 23 | | a notice of proposed assessment are deemed assessed, the | 24 | | Department shall give notice to the employer liable for any | 25 | | unpaid portion of such assessment, stating the amount due and | 26 | | demanding payment. If an employer neglects or refuses to pay |
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| 1 | | the entire liability shown on the notice and demand within 10 | 2 | | days after the notice and demand is issued, the unpaid amount | 3 | | of the liability shall be a lien in favor of the State of | 4 | | Illinois upon all property and rights to property, whether real | 5 | | or personal,
belonging to the employer, and the provisions in | 6 | | the Illinois Income Tax Act regarding liens, levies and | 7 | | collection actions with regard to assessed and unpaid | 8 | | liabilities under that Act, including the periods for taking | 9 | | any action, shall apply.
| 10 | | (e) An employer who has overpaid a penalty assessed under | 11 | | this Section may file a claim for refund with the Department. A | 12 | | claim shall be in writing in such form as the Department may by | 13 | | rule prescribe and shall state the specific grounds upon which | 14 | | it is founded. As soon as practicable after a claim for refund | 15 | | is filed, the Department shall examine it and either issue a | 16 | | refund or issue a notice of denial. If such a protest is filed, | 17 | | the Department shall reconsider the denial and grant the | 18 | | employer a hearing. As soon as practicable after such | 19 | | reconsideration and hearing, the Department shall issue a | 20 | | notice of decision to the employer. The notice shall set forth | 21 | | briefly the Department's findings of fact and the basis of | 22 | | decision in each case decided in whole or in part adversely to | 23 | | the employer. A denial of a claim for refund becomes final 90 | 24 | | days after the date of issuance of the notice of the denial | 25 | | except for such amounts denied as to which the employer has | 26 | | filed a protest with the Department. If a protest has been |
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| 1 | | timely filed, the decision of the Department shall become | 2 | | final:
| 3 | | (1) if no action for review of the decision is | 4 | | commenced under the Administrative Review Law, on the date | 5 | | on which the time for commencement of such review has | 6 | | expired; or
| 7 | | (2) if a timely action for review of the decision is | 8 | | commenced under the Administrative Review Law, on the date | 9 | | all proceedings in court for the review of such assessment | 10 | | have terminated or the time for the taking thereof has | 11 | | expired without such proceedings being instituted.
| 12 | | (f) No notice of proposed assessment may be issued with | 13 | | respect to a calendar year after June 30 of the fourth | 14 | | subsequent calendar year. No claim for refund may be filed more | 15 | | than 1 year after the date of payment of the amount to be | 16 | | refunded.
| 17 | | (g) The provisions of the Administrative Review Law and the | 18 | | rules adopted pursuant to it shall apply to and govern all | 19 | | proceedings for the judicial review of final decisions of the | 20 | | Department in response to a protest filed by the employer under | 21 | | subsections (c) and (e) of this Section. Final decisions of the | 22 | | Department shall constitute "administrative decisions" as | 23 | | defined in Section 3-101 of the Code of Civil Procedure.
The | 24 | | Department may adopt any rules necessary to carry out its | 25 | | duties pursuant to this Section. | 26 | | (h) Whenever notice is required by this Section, it may be |
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| 1 | | given or issued by mailing it by first-class mail addressed to | 2 | | the person concerned at his or her last known address or in an | 3 | | electronic format as determined by the Department .
| 4 | | (i) All books and records and other papers and documents | 5 | | relevant to the determination of any penalty due under this | 6 | | Section shall, at all times during business hours of the day, | 7 | | be subject to inspection by the Department or its duly | 8 | | authorized agents and employees.
| 9 | | (j) The Department may require employers to report | 10 | | information relevant to their compliance with this Act on | 11 | | returns otherwise due from the employers under Section 704A of | 12 | | the Illinois Income Tax Act and failure to provide the | 13 | | requested information on a return shall cause such return to be | 14 | | treated as unprocessable.
| 15 | | (k) For purposes of any provision of State law allowing the | 16 | | Department or any other agency of this State to offset an | 17 | | amount owed to a taxpayer against a tax liability of that | 18 | | taxpayer or allowing the Department to offset an overpayment of | 19 | | tax against any liability owed to the State, a penalty assessed | 20 | | under this Section shall be deemed to be a tax liability of the | 21 | | employer and any refund due to an employer shall be deemed to | 22 | | be an overpayment of tax of the employer.
| 23 | | (l) Except as provided in this subsection, all information | 24 | | received by the Department from returns filed by an employer or | 25 | | from any investigation conducted under the provisions of this | 26 | | Act shall be confidential, except for official purposes within |
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| 1 | | the Department or pursuant to official procedures for | 2 | | collection of penalties assessed under this Act. Nothing | 3 | | contained in this subsection shall prevent the Director from | 4 | | publishing or making available to the public reasonable | 5 | | statistics concerning the operation of this Act wherein the | 6 | | contents of returns are grouped into aggregates in such a way | 7 | | that the specific information of any employer shall not be | 8 | | disclosed. Nothing contained in this subsection shall prevent | 9 | | the Director from divulging information to an authorized | 10 | | representative of the employer or to any person pursuant to a | 11 | | request or authorization made by the employer or by an | 12 | | authorized representative of the employer.
| 13 | | (m) Civil penalties collected under this Act and fees | 14 | | collected pursuant to subsection (n) of this Section shall be | 15 | | deposited into the Tax Compliance and Administration Fund. The | 16 | | Department may, subject to appropriation, use moneys in the | 17 | | fund to cover expenses it incurs in the performance of its | 18 | | duties under this Act. Interest attributable to moneys in the | 19 | | Tax Compliance and Administration Fund shall be credited to the | 20 | | Tax Compliance and Administration Fund. | 21 | | (n) The Department may charge the Board a reasonable fee | 22 | | for its costs in performing its duties under this Section to | 23 | | the extent that such costs have not been recovered from | 24 | | penalties imposed under this Section.
| 25 | | (o) By January 1, 2021, This Section shall become operative | 26 | | 9 months after the Board notifies the Director that the Program |
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| 1 | | has been implemented. Upon receipt of such notification from | 2 | | the Board, the Department shall immediately post on its | 3 | | Internet website a notice stating that this Section is | 4 | | operative and the date that it is first operative .
This notice | 5 | | shall include a statement that rather than enrolling employees | 6 | | in the Program under this Act, employers may sponsor an | 7 | | alternative arrangement, including, but not limited to, a | 8 | | defined benefit plan, 401(k) plan, a Simplified Employee | 9 | | Pension (SEP) plan, a Savings Incentive Match Plan for | 10 | | Employees (SIMPLE) plan, or an automatic enrollment payroll | 11 | | deduction IRA offered through a private provider. The Board | 12 | | shall provide a link to the vendor Internet website described | 13 | | in subsection (i) of Section 60 of this Act , if applicable .
| 14 | | (Source: P.A. 98-1150, eff. 6-1-15; 99-464, eff. 8-26-15.)".
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