Full Text of HR1185 99th General Assembly
HR1185 99TH GENERAL ASSEMBLY |
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| 1 | | HOUSE RESOLUTION
| 2 | | WHEREAS, In the case of National Bellas Hess, Inc. v. | 3 | | Department of Revenue, 386 U.S. 753 (1967), the
United States | 4 | | Supreme Court held, in relevant part, that Congress alone has | 5 | | the power to regulate and
control the taxation of commerce, | 6 | | which is conducted between a business that is located within | 7 | | one
state, and a customer who is located in another state and | 8 | | who communicates with and purchases from
the business using | 9 | | only remote means; and
| 10 | | WHEREAS, The United States Supreme Court established in | 11 | | Quill Corp. v. North Dakota, 504 U.S. 298
(1992), that a state | 12 | | government cannot, of its own accord, require out-of-state | 13 | | retailers to collect sales
tax on sales within the state; and
| 14 | | WHEREAS, The United States Supreme Court also announced in | 15 | | Quill that Congress could exercise its
authority under the | 16 | | Commerce Clause of the United States Constitution to decide | 17 | | whether, when and to
what extent the states may require | 18 | | collection of sales tax on remote sales; and | 19 | | WHEREAS, The State of Illinois and municipalities within | 20 | | this State receive significant operating revenue
from sales | 21 | | taxes collected by brick-and-mortar businesses and online | 22 | | vendors with a nexus to the State
and from use taxes on |
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| 1 | | purchases made online through vendors without a | 2 | | brick-and-mortar location in
the State; and | 3 | | WHEREAS, The tax collection loophole for online retailers | 4 | | deprives local governments of revenue that
could be used to | 5 | | fund necessities such as schools, police and fire departments, | 6 | | and other important
infrastructure; and | 7 | | WHEREAS, The Marketplace Fairness Act, S. 698, 114th Cong. | 8 | | (2015), and subsequently the Remote
Transactions Parity Act, | 9 | | H.R. 2775, 114th Cong. (2015) proposes to provide states with | 10 | | the authority to
require out-of-state retailers, such as online | 11 | | and catalog retailers, to collect and remit sales tax on
| 12 | | purchases shipped into the state; and | 13 | | WHEREAS, The State of Illinois has enacted the Simplified | 14 | | Sales and Use Tax Administration Act, 35 ILCS
171, which is in | 15 | | compliance with the Marketplace Fairness Act, S. 698, 114th | 16 | | Cong. (2015); and | 17 | | WHEREAS, Since 1999, various state legislators, governors, | 18 | | local elected officials, state tax
administrators, and | 19 | | representatives of the private sector have worked together to | 20 | | develop standards,
protocols, and tax systems that mitigate the | 21 | | burdens addressed in Quill Corp. v. North Dakota; and |
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| 1 | | WHEREAS, Between 2001 and 2002, 40 states enacted | 2 | | legislation expressing their intent to simplify their sales and | 3 | | use tax collection systems and to participate in discussions to | 4 | | allow for the collection of
state sales and use taxes; and
| 5 | | WHEREAS, 24 states have joined the Streamlined Sales and | 6 | | Use Tax Agreement and have refined their
state laws | 7 | | accordingly; and
| 8 | | WHEREAS, The end consumer is responsible for paying the | 9 | | statutorily due sales and use tax and the
retailer is the | 10 | | state-appointed collector of sales and use tax; and
| 11 | | WHEREAS, The enactment of legislation by Congress that | 12 | | allows states to require remote sellers to
collect state sales | 13 | | and use taxes is necessary to treat all sales transactions the | 14 | | same regardless of
whether they are done by an in-state, | 15 | | remote, or online retailer; therefore, be it
| 16 | | RESOLVED, BY THE HOUSE OF REPRESENTATIVES OF THE | 17 | | NINETY-NINTH GENERAL ASSEMBLY OF THE STATE OF ILLINOIS, that we | 18 | | urge Congress to pass, without delay, the Remote Transactions | 19 | | Parity Act of
2015, which provides for the fair, uniform, | 20 | | simplified, and constitutional administration of and | 21 | | collection
of state and local sales and use taxes due; and be | 22 | | it further
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| 1 | | RESOLVED, That suitable copies of this resolution be sent | 2 | | to the Majority Leader of the United States
Senate, the Speaker | 3 | | of the United States House of Representatives, the Chair and | 4 | | Co-Chair of the Senate
Finance Committee, the Chair and | 5 | | Co-Chair of the House Judiciary Committee, and all members of
| 6 | | Illinois Congressional Delegation.
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