Full Text of HB0328 99th General Assembly
HB0328 99TH GENERAL ASSEMBLY |
| | 99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016 HB0328 Introduced , by Rep. Jay Hoffman SYNOPSIS AS INTRODUCED: |
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Amends the Flood Prevention District Act. Provides that 1% (currently 2%) of the proceeds collected from flood prevention retailers' and service occupation taxes shall be deposited into the Tax Compliance and Administration Fund. Effective July 1, 2015.
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| | | FISCAL NOTE ACT MAY APPLY | |
| | A BILL FOR |
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| 1 | | AN ACT concerning local government.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Flood Prevention District Act is amended by | 5 | | changing Section 25 as follows:
| 6 | | (70 ILCS 750/25)
| 7 | | Sec. 25. Flood prevention retailers' and service | 8 | | occupation taxes. | 9 | | (a) If the Board of Commissioners of a flood prevention | 10 | | district determines that an emergency situation exists | 11 | | regarding levee repair or flood prevention, and upon an | 12 | | ordinance confirming the determination adopted by the | 13 | | affirmative vote of a majority of the members of the county | 14 | | board of the county in which the district is situated, the | 15 | | county may impose a flood prevention
retailers' occupation tax | 16 | | upon all persons engaged in the business of
selling tangible | 17 | | personal property at retail within the territory of the | 18 | | district to provide revenue to pay the costs of providing | 19 | | emergency levee repair and flood prevention and to secure the | 20 | | payment of bonds, notes, and other evidences of indebtedness | 21 | | issued under this Act for a period not to exceed 25 years or as | 22 | | required to repay the bonds, notes, and other evidences of | 23 | | indebtedness issued under this Act.
The tax rate shall be 0.25%
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| 1 | | of the gross receipts from all taxable sales made in the course | 2 | | of that
business. The tax
imposed under this Section and all | 3 | | civil penalties that may be
assessed as an incident thereof | 4 | | shall be collected and enforced by the
State Department of | 5 | | Revenue. The Department shall have full power to
administer and | 6 | | enforce this Section; to collect all taxes and penalties
so | 7 | | collected in the manner hereinafter provided; and to determine | 8 | | all
rights to credit memoranda arising on account of the | 9 | | erroneous payment
of tax or penalty hereunder. | 10 | | In the administration of and compliance with this | 11 | | subsection, the Department and persons who are subject to this | 12 | | subsection (i) have the same rights, remedies, privileges, | 13 | | immunities, powers, and duties, (ii) are subject to the same | 14 | | conditions, restrictions, limitations, penalties, and | 15 | | definitions of terms, and (iii) shall employ the same modes of | 16 | | procedure as are set forth in Sections 1 through 1o, 2 through | 17 | | 2-70 (in respect to all provisions contained in those Sections | 18 | | other than the State rate of tax), 2a through 2h, 3 (except as | 19 | | to the disposition of taxes and penalties collected), 4, 5, 5a, | 20 | | 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, | 21 | | 11, 11a, 12, and 13 of the Retailers' Occupation Tax Act and | 22 | | all provisions of the Uniform Penalty and Interest Act as if | 23 | | those provisions were set forth in this subsection. | 24 | | Persons subject to any tax imposed under this Section may | 25 | | reimburse themselves for their seller's tax
liability | 26 | | hereunder by separately stating the tax as an additional
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| 1 | | charge, which charge may be stated in combination in a single | 2 | | amount
with State taxes that sellers are required to collect | 3 | | under the Use
Tax Act, under any bracket schedules the
| 4 | | Department may prescribe. | 5 | | If a tax is imposed under this subsection (a), a tax shall | 6 | | also
be imposed under subsection (b) of this Section. | 7 | | (b) If a tax has been imposed under subsection (a), a flood | 8 | | prevention service occupation
tax shall
also be imposed upon | 9 | | all persons engaged within the territory of the district in
the | 10 | | business of making sales of service, who, as an incident to | 11 | | making the sales
of service, transfer tangible personal | 12 | | property,
either in the form of tangible personal property or | 13 | | in the form of real estate
as an incident to a sale of service | 14 | | to provide revenue to pay the costs of providing emergency | 15 | | levee repair and flood prevention and to secure the payment of | 16 | | bonds, notes, and other evidences of indebtedness issued under | 17 | | this Act for a period not to exceed 25 years or as required to | 18 | | repay the bonds, notes, and other evidences of indebtedness. | 19 | | The tax rate shall be 0.25% of the selling price
of all | 20 | | tangible personal property transferred. | 21 | | The tax imposed under this subsection and all civil
| 22 | | penalties that may be assessed as an incident thereof shall be | 23 | | collected
and enforced by the State Department of Revenue. The | 24 | | Department shall
have full power to administer and enforce this | 25 | | subsection; to collect all
taxes and penalties due hereunder; | 26 | | to dispose of taxes and penalties
collected in the manner |
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| 1 | | hereinafter provided; and to determine all
rights to credit | 2 | | memoranda arising on account of the erroneous payment
of tax or | 3 | | penalty hereunder. | 4 | | In the administration of and compliance with this | 5 | | subsection, the Department and persons who are subject to this | 6 | | subsection shall (i) have the same rights, remedies, | 7 | | privileges, immunities, powers, and duties, (ii) be subject to | 8 | | the same conditions, restrictions, limitations, penalties, and | 9 | | definitions of terms, and (iii) employ the same modes of | 10 | | procedure as are set forth in Sections 2 (except that the | 11 | | reference to State in the definition of supplier maintaining a | 12 | | place of business in this State means the district), 2a through | 13 | | 2d, 3 through 3-50 (in respect to all provisions contained in | 14 | | those Sections other than the State rate of tax), 4 (except | 15 | | that the reference to the State shall be to the district), 5, | 16 | | 7, 8 (except that the jurisdiction to which the tax is a debt | 17 | | to the extent indicated in that Section 8 is the district), 9 | 18 | | (except as to the disposition of taxes and penalties | 19 | | collected), 10, 11, 12 (except the reference therein to Section | 20 | | 2b of the Retailers' Occupation Tax Act), 13 (except that any | 21 | | reference to the State means the district), Section 15, 16, 17, | 22 | | 18, 19, and 20 of the Service Occupation Tax Act and all | 23 | | provisions of the Uniform Penalty and Interest Act, as fully as | 24 | | if those provisions were set forth herein. | 25 | | Persons subject to any tax imposed under the authority | 26 | | granted
in this subsection may reimburse themselves for their |
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| 1 | | serviceman's tax
liability hereunder by separately stating the | 2 | | tax as an additional
charge, that charge may be stated in | 3 | | combination in a single amount
with State tax that servicemen | 4 | | are authorized to collect under the
Service Use Tax Act, under | 5 | | any bracket schedules the
Department may prescribe. | 6 | | (c) The taxes imposed in subsections (a) and (b) may not be | 7 | | imposed on personal property titled or registered with an | 8 | | agency of the State; food for human consumption that is to be | 9 | | consumed off the premises where it is sold (other than | 10 | | alcoholic beverages, soft drinks, and food that has been | 11 | | prepared for immediate consumption); prescription and | 12 | | non-prescription medicines, drugs, and medical appliances; | 13 | | modifications to a motor vehicle for the purpose of rendering | 14 | | it usable by a disabled person; or insulin, urine testing | 15 | | materials, and syringes and needles used by diabetics. | 16 | | (d) Nothing in this Section shall be construed to authorize | 17 | | the
district to impose a tax upon the privilege of engaging in | 18 | | any business
that under the Constitution of the United States | 19 | | may not be made the
subject of taxation by the State. | 20 | | (e) The certificate of registration that is issued by the | 21 | | Department to a retailer under the Retailers' Occupation Tax | 22 | | Act or a serviceman under the Service Occupation Tax Act | 23 | | permits the retailer or serviceman to engage in a business that | 24 | | is taxable without registering separately with the Department | 25 | | under an ordinance or resolution under this Section. | 26 | | (f) The Department shall immediately pay over to the State |
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| 1 | | Treasurer, ex officio, as trustee, all taxes and penalties | 2 | | collected under this Section to be deposited into the Flood | 3 | | Prevention Occupation Tax Fund, which shall be an | 4 | | unappropriated trust fund held outside the State treasury. | 5 | | On or before the 25th day of each calendar month, the | 6 | | Department shall prepare and certify to the Comptroller the | 7 | | disbursement of stated sums of money to the counties from which | 8 | | retailers or servicemen have paid taxes or penalties to the | 9 | | Department during the second preceding calendar month. The | 10 | | amount to be paid to each county is equal to the amount (not | 11 | | including credit memoranda) collected from the county under | 12 | | this Section during the second preceding calendar month by the | 13 | | Department, (i) less 1% 2% of that amount, which shall be | 14 | | deposited into the Tax Compliance and Administration Fund and | 15 | | shall be used by the Department in administering and enforcing | 16 | | the provisions of this Section on behalf of the county, (ii) | 17 | | plus an amount that the Department determines is necessary to | 18 | | offset any amounts that were erroneously paid to a different | 19 | | taxing body; (iii) less an amount equal to the amount of | 20 | | refunds made during the second preceding calendar month by the | 21 | | Department on behalf of the county; and (iv) less any amount | 22 | | that the Department determines is necessary to offset any | 23 | | amounts that were payable to a different taxing body but were | 24 | | erroneously paid to the county. When certifying the amount of a | 25 | | monthly disbursement to a county under this Section, the | 26 | | Department shall increase or decrease the amounts by an amount |
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| 1 | | necessary to offset any miscalculation of previous | 2 | | disbursements within the previous 6 months from the time a | 3 | | miscalculation is discovered. | 4 | | Within 10 days after receipt by the Comptroller from the | 5 | | Department of the disbursement certification to the counties | 6 | | provided for in this Section, the Comptroller shall cause the | 7 | | orders to be drawn for the respective amounts in accordance | 8 | | with directions contained in the certification. | 9 | | If the Department determines that a refund should be made | 10 | | under this Section to a claimant instead of issuing a credit | 11 | | memorandum, then the Department shall notify the Comptroller, | 12 | | who shall cause the order to be drawn for the amount specified | 13 | | and to the person named in the notification from the | 14 | | Department. The refund shall be paid by the Treasurer out of | 15 | | the Flood Prevention Occupation Tax Fund. | 16 | | (g) If a county imposes a tax under this Section, then the | 17 | | county board shall, by ordinance, discontinue the tax upon the | 18 | | payment of all indebtedness of the flood prevention district. | 19 | | The tax shall not be discontinued until all indebtedness of the | 20 | | District has been paid. | 21 | | (h) Any ordinance imposing the tax under this Section, or | 22 | | any ordinance that discontinues the tax, must be certified by | 23 | | the county clerk and filed with the Illinois Department of | 24 | | Revenue either (i) on or before the first day of April, | 25 | | whereupon the Department shall proceed to administer and | 26 | | enforce the tax or change in the rate as of the first day of |
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| 1 | | July next following the filing; or (ii) on or before the first | 2 | | day of October, whereupon the Department shall proceed to | 3 | | administer and enforce the tax or change in the rate as of the | 4 | | first day of January next following the filing. | 5 | | (j) County Flood Prevention Occupation Tax Fund. All | 6 | | proceeds received by a county from a tax distribution under | 7 | | this Section must be maintained in a special fund known as the | 8 | | [name of county] flood prevention occupation tax fund. The | 9 | | county shall, at the direction of the flood prevention | 10 | | district, use moneys in the fund to pay the costs of providing | 11 | | emergency levee repair and flood prevention and to pay bonds, | 12 | | notes, and other evidences of indebtedness issued under this | 13 | | Act. | 14 | | (k) This Section may be cited as the Flood Prevention | 15 | | Occupation Tax Law.
| 16 | | (Source: P.A. 96-939, eff. 6-24-10; 97-188, eff. 7-22-11.)
| 17 | | Section 99. Effective date. This Act takes effect July 1, | 18 | | 2015.
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