Full Text of SB3617 103rd General Assembly
SB3617sam001 103RD GENERAL ASSEMBLY | Sen. Sara Feigenholtz Filed: 3/1/2024 | | 10300SB3617sam001 | | LRB103 34188 HLH 70334 a |
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| 1 | | AMENDMENT TO SENATE BILL 3617
| 2 | | AMENDMENT NO. ______. Amend Senate Bill 3617 by replacing | 3 | | everything after the enacting clause with the following: | 4 | | "Section 5. The Department of Revenue Law of the Civil | 5 | | Administrative Code of Illinois is amended by adding Section | 6 | | 2505-430 as follows: | 7 | | (20 ILCS 2505/2505-430 new) | 8 | | Sec. 2505-430. Financial institution data matching. | 9 | | (a) Definitions. As used in this Section: | 10 | | "Account" means a demand deposit account, checking or | 11 | | negotiable withdrawal order account, savings account, time | 12 | | deposit account, or money market mutual fund account. | 13 | | "Financial institution" means: | 14 | | (1) a depository institution, which is any bank or | 15 | | saving association; | 16 | | (2) an insured depository institution, which is any |
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| 1 | | bank or saving institution the deposits of which are | 2 | | insured pursuant to the Federal Deposit Insurance Act, or | 3 | | any uninsured branch or agency of a foreign bank or a | 4 | | commercial lending company owned or controlled by a | 5 | | foreign bank; | 6 | | (3) a federal depository institution, which is any | 7 | | national bank, any federal savings association, or any | 8 | | federal branch; | 9 | | (4) a state depository institution, which is any state | 10 | | bank, any state savings association, or any insured branch | 11 | | that is not a federal branch; | 12 | | (5) a federal credit union, which is a cooperative | 13 | | association organized in accordance with the provisions of | 14 | | the Federal Credit Union Act; | 15 | | (6) a state-chartered credit union that is organized | 16 | | and operated according to the laws of this or any other | 17 | | state, which laws provide for the organization of credit | 18 | | unions similar in principle and objectives to federal | 19 | | credit unions; and | 20 | | (7) any benefit association, insurance company, safe | 21 | | deposit company, money market mutual fund, or similar | 22 | | entity authorized to do business in this State. | 23 | | "Financial record" has the meaning given to that term in | 24 | | Section 3401 of the federal Right to Financial Privacy Act of | 25 | | 1978. | 26 | | (b) The Department may design and implement a data match |
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| 1 | | system pursuant to which the Department and financial | 2 | | institutions doing business in this State may enter into | 3 | | agreements for the purpose of identifying accounts of | 4 | | taxpayers who are delinquent in the payment of a tax collected | 5 | | by the Department. No financial institution shall be required | 6 | | to enter into any such agreement with the Department. | 7 | | Any agreement entered into with a financial institution | 8 | | under this Section shall provide, at the option of the | 9 | | financial institution, either (i) that the financial | 10 | | institution shall compare the data of account holders, owners, | 11 | | or customers who maintain one or more accounts at the | 12 | | financial institution with data of individuals and business | 13 | | entities who are identified by the Department as delinquent | 14 | | taxpayers and whose name, record address, and social security | 15 | | number or tax identification number are provided by the | 16 | | Department to the financial institution or (ii) that the | 17 | | financial institution shall provide to the Department the | 18 | | social security numbers or tax identification numbers of the | 19 | | account holders, owners, or customers who maintain one or more | 20 | | accounts at the financial institution, and the Department | 21 | | shall compare that data with data of individuals and business | 22 | | entities who are identified by the Department as delinquent | 23 | | taxpayers. | 24 | | If the financial institution or the Department determines | 25 | | that the name and social security number or tax identification | 26 | | number of an individual or business entity identified by the |
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| 1 | | Department as a delinquent taxpayer matches the name and | 2 | | social security number or tax identification number of an | 3 | | account holder, owner, or customer who maintains one or more | 4 | | accounts at the financial institution, then the financial | 5 | | institution shall report the individual's or business entity's | 6 | | name and either social security number or tax identification | 7 | | number to the Department for each calendar quarter in which | 8 | | the Department notifies the financial institution that the | 9 | | individual or business entity is a delinquent taxpayer. | 10 | | (c) The reporting requirements of subsection (b) of this | 11 | | Section apply to personal (both individual and joint) and | 12 | | business accounts, including sole proprietorship accounts. In | 13 | | the case of a joint account, the account holder or owner shall | 14 | | be deemed to be the primary account holder or owner | 15 | | established by the financial institution in accordance with | 16 | | federal 1099 reporting requirements. | 17 | | (d) The Department shall make a reasonable effort to | 18 | | accommodate those financial institutions on which the | 19 | | requirements of this Section would impose a hardship. In the | 20 | | case of a non-automated financial institution, a paper copy | 21 | | including either social security numbers or tax identification | 22 | | numbers is an acceptable format. In order to allow for data | 23 | | processing implementation, no agreement shall become effective | 24 | | earlier than 90 days after its execution. | 25 | | (e) All information provided by a financial institution | 26 | | under this Section is confidential and may be used only for the |
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| 1 | | purpose of enforcing payment of delinquent taxes. | 2 | | (f) A financial institution that provides information | 3 | | under this Section shall not be liable to any account holder, | 4 | | owner, or other person in any civil, criminal, or | 5 | | administrative action for any of the following: | 6 | | (1) disclosing the required information to the | 7 | | Department, any other provisions of law notwithstanding; | 8 | | (2) holding, encumbering, or surrendering any of an | 9 | | individual's accounts as defined in subsection (a) of this | 10 | | Section in response to a lien or order to withhold and | 11 | | deliver issued by the Department; or | 12 | | (3) any other action taken or omission made in good | 13 | | faith to comply with this Section, including individual or | 14 | | mechanical errors, provided that the action or omission | 15 | | does not constitute gross negligence or willful | 16 | | misconduct. | 17 | | Section 99. Effective date. This Act takes effect upon | 18 | | becoming law.". |
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