Full Text of HB2914 100th General Assembly
HB2914 100TH GENERAL ASSEMBLY |
| | 100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018 HB2914 Introduced , by Rep. Robyn Gabel SYNOPSIS AS INTRODUCED: |
| New Act | | 35 ILCS 1010/1-45 | | 30 ILCS 105/5.878 new | |
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Creates the Healthy Eating Active Living (HEAL) Act. Imposes a tax on distributors of sugar-sweetened beverages in the State at the rate of $0.01 per ounce. Contains provisions concerning the distribution of the proceeds from the tax. Creates a multi-sector Advisory Council for Health and Wellness to govern the distribution of the proceeds. Amends the State Finance Act to create the Illinois Wellness Fund. Effective immediately.
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| | A BILL FOR |
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| 1 | | AN ACT concerning revenue.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 1. Short title. This Act may be cited as the | 5 | | Healthy Eating Active Living (HEAL) Act. | 6 | | Section 5. Findings and purpose. The General Assembly finds | 7 | | that: | 8 | | Over the past 30 years, the obesity rate in the United
| 9 | | States has substantially increased. The prevalence of adult | 10 | | obesity has more than doubled during that time. According to | 11 | | statistics compiled by the Trust for America's Health, nearly
| 12 | | 31% of Illinois' adult residents in 2015 were considered obese | 13 | | (body mass index (BMI) of 30 and above) and the rate was even | 14 | | higher among African American (40.7%) and Hispanic (36%) | 15 | | residents. | 16 | | For children, the increase in obesity has been even more | 17 | | dramatic, with the obesity rate among children ages 6-11 more | 18 | | than quadrupling over the last 4 decades. The State of Illinois | 19 | | is not immune to the problem. Over 19% of Illinois children who | 20 | | are 10 to 17 years of age are obese, the ninth worst rate in the | 21 | | nation. | 22 | | Obese children are at least twice as likely as non-obese | 23 | | children to become obese adults. Research indicates that the |
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| 1 | | likelihood of an obese child becoming an obese adult increases | 2 | | with age; adolescents who are obese have a greater likelihood | 3 | | of being obese in adulthood as compared to younger children. | 4 | | The obesity epidemic has led to a dramatic increase in
| 5 | | obesity-related health conditions, such as type 2 diabetes, | 6 | | asthma, and heart disease. These health conditions cost the | 7 | | nation billions of dollars in health care costs and lost | 8 | | productivity. Overweight and obesity account for $147 billion | 9 | | in health care costs nationally, or 9% of all medical spending | 10 | | per year. Obesity-related annual medical expenditures in the | 11 | | State of Illinois are estimated at $6.3 billion dollars, with | 12 | | over $1 billion of that as a cost to the State Medicaid | 13 | | program. | 14 | | Numerous studies have established a link between obesity | 15 | | and consumption of sugar-sweetened beverages such as soft | 16 | | drinks, energy drinks, sweet teas, and sports drinks. One study | 17 | | found that just one sugary drink per day increased a child's | 18 | | odds of becoming obese by 60%. Rigorous scientific studies show | 19 | | that consuming sugary drinks leads to obesity and diabetes more | 20 | | than any other food category. One meta analysis of 8 studies | 21 | | examining the role of sugar-sweetened beverage consumption on | 22 | | health found that consumption was significantly associated | 23 | | with type 2 diabetes based on over 15,000 reported cases of | 24 | | this condition. Additionally, consumption of sugar-sweetened | 25 | | beverages has been linked to several diseases independent of a | 26 | | person's weight status, including type 2 diabetes and heart |
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| 1 | | disease, making sugary drinks especially harmful to a person's | 2 | | health. A 2014 study showed that regular consumption of sugary | 3 | | drinks (at least 7 drinks per week) was associated with an | 4 | | increased risk for death from cardiovascular disease. Adults | 5 | | who drink 1 to 2 servings of sugary drinks per day are 26% more | 6 | | likely to develop type 2 diabetes than those who drink 0 to 1 | 7 | | per month. A 2015 study in the journal Circulation suggested | 8 | | that sugar-sweetened beverages are linked to 25,000 American | 9 | | deaths per year. | 10 | | Research has found that sugary drinks have a unique and | 11 | | harmful effect on health. Liquid calories don't trigger a | 12 | | person's sense of feeling "full", and contribute to excess | 13 | | calorie consumption without the person being aware. | 14 | | Consumption of sugar-sweetened beverages has gone up over | 15 | | 500% in the last 50 years, and those beverages are now the | 16 | | number one source of added sugar in the American diet (51% of | 17 | | added sugars when considering soda, energy drinks, sports | 18 | | drinks, fruit drinks, and sweetened teas). A study of a 5-year | 19 | | period between 1999 and 2004 showed that children and | 20 | | adolescents consumed 10-15% of their daily caloric intake from | 21 | | sugar-sweetened beverages, which offer little or no | 22 | | nutritional value and massive quantities of added sugars. For | 23 | | example, a single 12-ounce can of soda contains the equivalent | 24 | | of approximately 10 teaspoons of sugar; the American Heart | 25 | | Association recommends that children over the age of 2 and | 26 | | women consume no more than 6 teaspoons of added sugar per day |
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| 1 | | and men consume no more than 9 teaspoons of added sugar per | 2 | | day. The World Health Organization recommends limiting added | 3 | | sugar intake to no more than 10% of an individual's total | 4 | | energy intake. Teenagers and young adults drink more sugary | 5 | | drinks than other age groups, and low-income persons consume | 6 | | more sugary drinks in relation to their overall diet than those | 7 | | with higher income. | 8 | | In its adult and pediatric nutrition recommendations, the | 9 | | American Heart Association recommends that no-calorie and | 10 | | low-calorie beverages like water, diet soft drinks, fat free or | 11 | | low fat milk, and other beverages that have 5 grams or less of | 12 | | added caloric sweetener per 12 fluid ounces are better choices | 13 | | than full calorie soft drinks, and Americans should limit the | 14 | | amount of added sugars in the foods they eat. The U.S.D.A. 2010 | 15 | | Dietary Guidelines for Americans also recommends limiting | 16 | | added sugars in the diet and reducing intake of sugar-sweetened | 17 | | beverages. | 18 | | The Institute of Medicine recommends a multi-pronged | 19 | | approach to obesity prevention, including: integrating | 20 | | physical activity opportunities into communities, making | 21 | | healthy food and beverages available everywhere, adopting | 22 | | policies and practices to reduce sugar-sweetened beverage | 23 | | consumption, improving marketing and messaging to the public | 24 | | regarding adopting a healthy lifestyle, expanding the role of | 25 | | health care providers, insurers, and employers in obesity | 26 | | prevention, and working to improve school health and wellness. |
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| 1 | | Studies have shown that, when compared with more affluent | 2 | | communities, low-income communities have less access to fresh, | 3 | | affordable food, contain more fast food places in the | 4 | | communities and near their schools, and have less access to | 5 | | safe places to get physical activity, including access to fewer | 6 | | adequate sidewalks. Additionally, the American Medical | 7 | | Association adopted Clinical Practice Guidelines for the | 8 | | treatment of pediatric overweight, which the American Academy | 9 | | of Pediatrics has adopted and recommends to providers. | 10 | | A study by researchers at the University of Chicago found | 11 | | that a penny-per-ounce excise tax on sugar-sweetened beverages | 12 | | in Illinois could result in a 23.5% reduction in | 13 | | sugar-sweetened beverage consumption, 185,127 fewer obese | 14 | | Illinoisans (a 9.3% reduction in youth obesity and 5.2% | 15 | | reduction in adult obesity), 3,442 fewer incidences of | 16 | | diabetes, and a $150.8 million reduction in obesity-related | 17 | | healthcare costs in the first year. Another study found that | 18 | | reducing obesity by 5% in Illinois could save Illinois $9 | 19 | | billion over the next 10 years. The World Health Organization | 20 | | recommends that governments impose a tax on sugar-sweetened | 21 | | beverages to address obesity. The tax is estimated to raise | 22 | | over $600 million in the first year in Illinois. | 23 | | It is the intent of the General Assembly, by adopting this | 24 | | Act and creating an Illinois Wellness Fund to provide targeted | 25 | | prevention initiatives in Illinois communities and additional | 26 | | health and prevention funding to Medicaid, to diminish the |
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| 1 | | human and economic costs of sugar-sweetened beverages, | 2 | | obesity, and related chronic disease in the State of Illinois. | 3 | | This Act is intended to create a dedicated revenue source for | 4 | | programs designed to prevent and treat obesity and related | 5 | | chronic diseases by creating and implementing expanded | 6 | | opportunities for Illinoisans to be healthy, especially in | 7 | | high-need communities, and to discourage excessive consumption | 8 | | of sugar-sweetened beverages by increasing the price of these | 9 | | products, thereby reducing the health and economic burden of | 10 | | sugar-sweetened drinks in Illinois. | 11 | | Section 10. Definitions. For purposes of this Act: | 12 | | "Advisory Council" means the Advisory Council for Health | 13 | | and Wellness established under Section 70. | 14 | | "Bottle" means any closed or sealed container regardless of | 15 | | size or shape, including, without limitation, those made of | 16 | | glass, metal, paper, plastic, or any other material or | 17 | | combination of materials. | 18 | | "Bottled sugar-sweetened beverage" means any | 19 | | sugar-sweetened beverage contained in a bottle that is ready | 20 | | for consumption without further processing such as, without | 21 | | limitation, dilution or carbonation. | 22 | | "Caloric sweetener" means any caloric substance suitable | 23 | | for human consumption which adds calories to the diet of a | 24 | | person who consumes that substance, is used as an ingredient of | 25 | | a beverage, syrup, or powder, and includes, without limitation, |
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| 1 | | sucrose, fructose, glucose, fruit juice concentrate, or other | 2 | | sugars. "Caloric sweetener" excludes non-caloric sweeteners. | 3 | | "Consumer" means a person who purchases a sugar-sweetened | 4 | | beverage for consumption and not for sale to another. | 5 | | "Department" means the Department of Revenue. | 6 | | "Distribute" means the act, by any person, including | 7 | | manufacturers and wholesale dealers, of receiving, storing, | 8 | | manufacturing, or bottling sugar-sweetened beverages, syrups, | 9 | | or powders for sale to retailers doing business in the State, | 10 | | whether or not that person also sells those products to | 11 | | consumers. | 12 | | "Distributor" means any person, including manufacturers | 13 | | and wholesale dealers, who distributes bottled sugar-sweetened | 14 | | beverages, syrups, or powders, for sale to retailers doing | 15 | | business in the State, whether or not that person also sells | 16 | | such products to consumers. | 17 | | "Fund" means the Illinois Wellness Fund, established | 18 | | pursuant to Section 55. | 19 | | "High-need population" means a population or community, | 20 | | defined geographically or as a group, designated as a high-need | 21 | | population by the Department of Public Health by rule pursuant | 22 | | to subsection (b) of Section 60 of this Act. | 23 | | "Non-caloric sweetener" means any non-caloric substance | 24 | | suitable for human consumption which does not add calories to | 25 | | the diet of a person who consumes that substance, is used as an | 26 | | ingredient of a beverage, syrup, or powder, and includes, |
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| 1 | | without limitation, aspartame, saccharin, stevia, and | 2 | | sucralose. "Non-caloric sweetener" excludes caloric | 3 | | sweeteners. | 4 | | "Person" means any natural person, partnership, | 5 | | cooperative association, limited liability company, | 6 | | corporation, personal representative, receiver, trustee, | 7 | | assignee, or any other legal entity. | 8 | | "Place of business" means any place where sugar-sweetened | 9 | | beverages, syrups, or powders are manufactured or received for | 10 | | sale in the State. | 11 | | "Powders" means any solid mixture of ingredients used in | 12 | | making, mixing, or compounding sugar-sweetened beverages by | 13 | | mixing the powder with any one or more other ingredients, | 14 | | including without limitation water, ice, syrup, simple syrup, | 15 | | fruits, vegetables, fruit juice, vegetable juice, carbonation | 16 | | or other gas. A powder which indicates on the label that it can | 17 | | be mixed with water is subject to the tax. Notwithstanding any | 18 | | other provision, a powder is not subject to the tax if the | 19 | | label contains either or both of the following instructions: | 20 | | (1) that the powder should not be mixed with water; or (ii) | 21 | | that the powder is intended by the manufacturer to be mixed | 22 | | only with alcohol or milk. | 23 | | "Retailer" means any person who sells or otherwise | 24 | | dispenses in the State a sugar-sweetened beverage to a consumer | 25 | | whether or not that person is also a distributor as defined in | 26 | | this Section. |
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| 1 | | "Sale" means the transfer of title or possession for | 2 | | valuable consideration regardless of the manner by which the | 3 | | transfer is completed. | 4 | | "Simple syrup" means a substance comprised of one or more | 5 | | caloric sweeteners and water or ice. | 6 | | "State" means the State of Illinois. | 7 | | "Sugar-sweetened beverage" means any nonalcoholic | 8 | | beverage, carbonated or noncarbonated, which is intended for | 9 | | human consumption and contains more than 5 grams of caloric | 10 | | sweetener per 12 fluid ounces. As used in this definition, | 11 | | "nonalcoholic beverage" means any beverage that contains less | 12 | | than one-half of one percent alcohol per volume. The term | 13 | | "sugar-sweetened beverage" does not include: | 14 | | (1) beverages sweetened solely with non-caloric | 15 | | sweeteners; | 16 | | (2) beverages sweetened with 5 grams or less of caloric | 17 | | sweeteners per 12 fluid ounces; | 18 | | (3) beverages consisting of 100% natural fruit or | 19 | | vegetable juice with no caloric sweetener; for purposes of | 20 | | this paragraph, "natural fruit juice" and "natural | 21 | | vegetable juice" mean the original liquid resulting from | 22 | | the pressing of fruits or vegetables, juice concentrate, or | 23 | | the liquid resulting from the dilution with water of | 24 | | dehydrated natural fruit juice or natural vegetable juice; | 25 | | (4) beverages in which milk, or soy, rice, or similar | 26 | | milk substitute, is the primary ingredient or the first |
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| 1 | | listed ingredient on the label of the beverage; for
| 2 | | purposes of this Act, "milk" means natural liquid milk | 3 | | regardless of animal or plant source or butterfat content, | 4 | | natural milk concentrate, whether or not reconstituted, | 5 | | regardless of animal or plant source or butterfat content, | 6 | | or dehydrated natural milk, whether or not reconstituted | 7 | | and regardless of animal or plant source or butterfat | 8 | | content; | 9 | | (5) coffee or tea without caloric sweetener; | 10 | | (6) infant formula; | 11 | | (7) medically necessary foods, as defined in the
| 12 | | federal Orphan Drug Act; and | 13 | | (8) water without any caloric sweeteners. | 14 | | "Syrup" means a liquid mixture of ingredients used in
| 15 | | making, mixing, or compounding sugar-sweetened beverages using | 16 | | one or more other ingredients including, without limitation, | 17 | | water, ice, a powder, simple syrup, fruits, vegetables, fruit | 18 | | juice, vegetable juice, carbonation, or other gas. A syrup | 19 | | which indicates on the label that it can be mixed with water is | 20 | | subject to the tax. Notwithstanding any other provision, a | 21 | | syrup is not subject to the tax if the label contains either or | 22 | | both of the following instructions: (1) that the syrup should | 23 | | not be mixed with water; or (ii) that the syrup is intended by | 24 | | the manufacturer to be mixed only with alcohol or milk. | 25 | | Section 15. Permit required. |
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| 1 | | (a) Beginning May 1, 2017, every distributor doing business | 2 | | in the State who wishes to engage in the business of selling | 3 | | sugar-sweetened beverages, syrups, or powders subject to tax | 4 | | under this Act shall file with the Department an application | 5 | | for a permit to engage in such business. An application shall | 6 | | be filed for each place of business owned and operated by the | 7 | | distributor. An application for a permit shall be filed on | 8 | | forms to be furnished by the Department for that purpose. Each | 9 | | such application shall be signed and verified and shall state: | 10 | | (1) the name and federal tax identification number of the | 11 | | applicant; (2) the address of the applicant's principal place | 12 | | of business; (3) the address of the principal place of business | 13 | | from which the applicant engages in the business of | 14 | | distributing sugar-sweetened beverages, syrups, or powders to | 15 | | retailers in this State and the addresses of all other places | 16 | | of business, if any (enumerating such addresses, if any, in a | 17 | | separate list attached to and made a part of the application), | 18 | | from which the applicant engages in the business of | 19 | | distributing sugar-sweetened beverages, syrups, or powders to | 20 | | retailers in this State; (4) the name and address of the person | 21 | | or persons who will be responsible for filing returns and | 22 | | payment of taxes due under this Act; (5) in the case of a | 23 | | corporation, the name, title, and social security number of | 24 | | each corporate officer; (6) in the case of a limited liability | 25 | | company, the name, social security number, and FEIN number of | 26 | | each manager and member; and (7) such other information as the |
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| 1 | | Department may reasonably require. The application shall | 2 | | contain an acceptance of responsibility signed by the person or | 3 | | persons who will be responsible for filing returns and payment | 4 | | of the taxes due under this Act. | 5 | | (b) The Department may deny a permit to any applicant if a | 6 | | person who is named as the owner, a partner, a manager or | 7 | | member of a limited liability company, or a corporate officer | 8 | | of the applicant on the application for the certificate of | 9 | | registration, is or has been named as the owner, a partner, a | 10 | | manager or member of a limited liability company, or a | 11 | | corporate officer, on the application for the permit or | 12 | | certificate of registration of a retailer under the Retailers' | 13 | | Occupation Tax Act that is in default for moneys due under this | 14 | | Act or any other tax or fee Act administered by the Department. | 15 | | For purposes of this paragraph only, in determining whether a | 16 | | person is in default for moneys due, the Department shall | 17 | | include only amounts established as a final liability within | 18 | | the 20 years prior to the date of the Department's notice of | 19 | | denial of a certificate of registration. The Department, in its | 20 | | discretion, may require that the application for permit be | 21 | | submitted electronically. | 22 | | (c) Upon receipt of an application and the annual permit | 23 | | fee of $250, the Department may issue to the applicant, for the | 24 | | place of business designated, a permit, authorizing the sale of | 25 | | sugar-sweetened beverages, syrups, and powders in the State. No | 26 | | distributor shall sell any sugar-sweetened beverage, syrup, or |
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| 1 | | powders without first obtaining a permit to do so under this | 2 | | Act. Permits issued pursuant to this Section shall expire one | 3 | | year from the date of issuance and may be renewed annually. | 4 | | Fees shall be deposited into the Tax Compliance and | 5 | | Administration Fund. | 6 | | (d) A permit may not be transferred or assigned from one | 7 | | person to another, and a permit shall at all times be | 8 | | prominently displayed in a distributor's place of business. The | 9 | | Department may refuse to issue a permit to any person | 10 | | previously convicted of violations of this Act under such | 11 | | procedures as the Department may establish by rule. | 12 | | (e) The Department may, in its discretion, issue the permit | 13 | | electronically. | 14 | | Section 20. Tax imposed. | 15 | | (a) Beginning on May 1, 2017, there is imposed a tax on | 16 | | every distributor for the privilege of selling the products | 17 | | governed by this Act in the State. The tax shall be imposed at | 18 | | the rate of $0.01 per ounce of bottled sugar-sweetened
| 19 | | beverages distributed to a retailer in the State. The tax on | 20 | | syrup and powder distributed to a retailer in the State, either | 21 | | as syrup or powder or as a sugar-sweetened beverage derived | 22 | | from that syrup or powder, is equal to $0.01 per ounce for each | 23 | | ounce of sugar-sweetened beverage produced from that syrup or | 24 | | powder. For purposes of calculating the tax, the volume of | 25 | | sugar-sweetened beverage produced from syrup or powder shall be |
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| 1 | | the larger of (i) the largest volume resulting from use of the | 2 | | syrup or powder according to any manufacturer's instructions or | 3 | | (ii) the volume actually produced by the retailer. The taxes | 4 | | imposed by this Section are in addition to any other taxes that | 5 | | may apply to persons or products subject to this Act. | 6 | | (b) If and only if the tax imposed under subsection (a), or | 7 | | the application thereof to any person or circumstance, shall, | 8 | | for any reason, be adjudged by a court of competent | 9 | | jurisdiction to violate the Constitution of the United States | 10 | | or the Constitution of the State of Illinois, or otherwise be | 11 | | adjudged invalid, the following language shall be used to | 12 | | replace subsection (a) for the purpose of arriving at | 13 | | satisfactory implementation of the Act: | 14 | | (1) The tax shall be imposed at the rate of $0.004 per | 15 | | gram of caloric sweetener in bottled sugar-sweetened | 16 | | beverages containing more than 5 grams of caloric sweetener | 17 | | per 12 ounces of liquid (or 0.41 grams per ounce) sold or | 18 | | transferred to a retailer in the State. | 19 | | (2) The tax on syrup and powder sold or transferred to | 20 | | a retailer in the State, either as syrup or powders or as a | 21 | | sugar-sweetened beverage derived from that syrup or | 22 | | powders, is equal to $0.004 per gram of caloric sweetener | 23 | | in sugar-sweetened beverages that contains more than 5 | 24 | | grams of caloric sweetener per 12 ounces of liquid (or 0.41 | 25 | | grams per ounce) produced from that syrup or powder; for | 26 | | purposes of calculating the tax, the volume of |
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| 1 | | sugar-sweetened beverage produced from syrup or powders | 2 | | shall be the larger of (i) the largest volume resulting | 3 | | from use of the syrup or powder according to any | 4 | | manufacturer's instructions or (ii) the volume actually | 5 | | produced by the retailer. | 6 | | (c) A retailer that sells bottled sugar-sweetened | 7 | | beverages, syrups, or powders in the State to a consumer, on | 8 | | which the tax imposed by this Section has not been paid by a | 9 | | distributor, is liable for the tax imposed in subsection (a) or | 10 | | (b), as applicable, at the time of sale to a consumer. | 11 | | Section 30. Report of sales and tax remittances. | 12 | | (a) Any distributor or retailer liable for the tax imposed | 13 | | by this Act shall, on or before the twentieth day of each | 14 | | calendar month, return to the Department a statement containing | 15 | | its name and place of business, the quantity of sugar-sweetened | 16 | | beverages, syrup, and powders subject to the tax imposed by | 17 | | this Act sold or offered for sale in the month preceding the | 18 | | month in which the report is due, and any other information | 19 | | required by the Department, along with the tax due. | 20 | | (b) If the taxpayer's average monthly tax liability to the | 21 | | Department under this Act, was $20,000 or more during the | 22 | | preceding 4 complete calendar quarters, he shall file a return | 23 | | with the Department each month by the twentieth day of the next | 24 | | month following the month during which such tax liability is | 25 | | incurred and shall make payment to the Department on or before |
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| 1 | | the 7th, 15th, 22nd, and last day of the month during which | 2 | | such liability is incurred. | 3 | | (c) The Department, in its discretion, may require that | 4 | | returns be submitted and payments be made electronically. | 5 | | Section 35. Records of distributors. Every distributor and | 6 | | every retailer subject to this Act shall maintain for not less | 7 | | than 4 years accurate books and records, showing all | 8 | | transactions that gave rise, or may have given rise, to tax | 9 | | liability under this Act. Such records are subject to | 10 | | inspection by the Department at all reasonable times during | 11 | | normal business hours. | 12 | | Section 40. Exemptions. The following shall be exempt from
| 13 | | the tax imposed under this Act: | 14 | | (1) Bottled sugar-sweetened beverages, syrups, and | 15 | | powders sold by a distributor or a retailer expressly for | 16 | | resale or consumption outside of the State. | 17 | | (2) Bottled sugar-sweetened beverages, syrups, and | 18 | | powders sold by a distributor to another distributor that | 19 | | holds a permit issued under Section 15. For this exemption | 20 | | to apply, the sales invoice shall clearly indicate that | 21 | | this subsection applies to the sale. | 22 | | (3) Bottled sugar-sweetened beverages, syrups, and | 23 | | powders sold to a person who is both a distributor and a | 24 | | retailer. For this exemption to apply, the tax shall be |
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| 1 | | levied when the purchasing distributor-retailer resells | 2 | | the product to a retailer or a consumer. This exemption | 3 | | does not apply to any other sale to a retailer. | 4 | | At no time shall the tax imposed under this Act be imposed | 5 | | more than once per product sold. | 6 | | Section 45. Penalties. | 7 | | (a) Any distributor, retailer, or other person subject to | 8 | | the provisions of this Act who fails to pay the entire amount | 9 | | of tax imposed by this Act by the date that payment is due, | 10 | | fails to submit a report or maintain records required by this | 11 | | Act, does business in the State of Illinois without first | 12 | | obtaining a permit as required by this Act, or violates any | 13 | | other provision of this Act, or rules and regulations adopted | 14 | | by the Department for the enforcement of this Act, shall be | 15 | | guilty of a misdemeanor and shall also be liable for the | 16 | | penalties set forth and incorporated by reference into this | 17 | | Section. | 18 | | (b) Incorporation by reference. All of the provisions of | 19 | | Sections 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b, | 20 | | 6c, 8, 9, 10, 11, 11a, and 12 of the Retailers' Occupation Tax | 21 | | Act, and all applicable provisions of the Uniform Penalty and | 22 | | Interest Act that are not inconsistent with this Act, apply to | 23 | | distributors of sugar-sweetened beverages to the same extent as | 24 | | if those provisions were included in this Act. References in | 25 | | the incorporated Sections of the Retailers' Occupation Tax Act |
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| 1 | | to retailers, to sellers, or to persons engaged in the business | 2 | | of selling tangible personal property mean distributors and | 3 | | retailers when used in this Act. References in the incorporated | 4 | | Sections to sales of tangible personal property mean sales of | 5 | | sugar-sweetened beverages, syrups, or powders when used in this | 6 | | Act. | 7 | | (c) In addition to any other penalty authorized by law, a | 8 | | permit issued pursuant to Section 15 shall be suspended or | 9 | | revoked if any court of competent jurisdiction determines, or | 10 | | the Department finds based on a preponderance of the evidence, | 11 | | after the permittee is afforded notice and an opportunity to be | 12 | | heard, that the permittee, or any of the permittee's agents or | 13 | | employees, has violated any of the requirements, conditions, or | 14 | | prohibitions of this Act. For a first violation of this Act | 15 | | within any 60-month period, the permit shall be suspended for | 16 | | 30 days. For a second violation of this Act within any 60-month | 17 | | period, the permit shall be suspended for 90 days. For a third | 18 | | violation of this Act within any 60-month period, the permit | 19 | | shall be suspended for one year. For a fourth or subsequent | 20 | | violation of this Act
within any 60-month period, the license | 21 | | shall be revoked. | 22 | | (d) A decision of the Department under this Section is a | 23 | | final administrative decision and is subject to review by the | 24 | | Illinois Independent Tax Tribunal. | 25 | | Section 50. Unpaid taxes a debt. The tax herein required to |
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| 1 | | be paid by any person distributing sugar-sweetened beverages, | 2 | | powders, or syrup for sale to a retailer in the State, and any | 3 | | such tax required to be paid by that person shall constitute a | 4 | | debt owed by that person to this State. | 5 | | Section 55. Revenue distribution; establishment of | 6 | | Illinois Wellness Fund. The Illinois Wellness Fund is hereby | 7 | | created as a special fund in the State Treasury. All the moneys | 8 | | collection by the Department pursuant to the taxes imposed by | 9 | | Section 20 shall be deposited as follows; 2% shall be deposited | 10 | | into the Tax Compliance and Administration Fund for the | 11 | | administrative costs of the Department, and 98% shall be | 12 | | deposited into the Illinois Wellness Fund. Of the moneys | 13 | | deposited into the Illinois Wellness Fund on a monthly basis, | 14 | | the following amounts shall remain in the fund and be used for | 15 | | the purposes set forth in Section 60 of this Act: | 16 | | (a)$4,167,000 until June 30, 2018; | 17 | | (b)$6,250,000 from July 1, 2018 until June 30, 2019; and | 18 | | (c)$8,334,000 after July 1 2019. | 19 | | The remainder of the monthly balance shall be deposited | 20 | | into the Healthcare Provider Relief Fund. Beginning July 1, | 21 | | 2019, those funds shall be used for the purposes set forth in | 22 | | Section 65 of this Act. | 23 | | Section 60. Expenditure of Illinois Wellness Fund for | 24 | | community prevention and wellness initiatives. |
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| 1 | | (a) The moneys remaining in the Illinois Wellness Fund | 2 | | shall be used to support community prevention and wellness | 3 | | initiatives, as follows: | 4 | | (1) One-half of one percent (0.5%) shall be dedicated | 5 | | to administration of the Fund by the Department of Public | 6 | | Health, and an additional 0.5% shall be appropriated to the | 7 | | Department of Public Health for the purpose of providing | 8 | | administrative support to the Advisory Council and a | 9 | | Healthy in All Policies coordinator. | 10 | | (2) At least 1% but not more than 2% shall be dedicated | 11 | | to evaluation of the impact of the Act on the health and | 12 | | wellness of Illinoisans. Evaluation of the Act shall be | 13 | | conducted by an independent evaluator selected by the | 14 | | Department of Public Health in consultation with the | 15 | | Advisory Council. Those funds may also be used to support | 16 | | relevant surveillance systems to support tracking of the | 17 | | impact of the Act. The evaluation shall encompass the | 18 | | impact of the Illinois Wellness Fund and the tax on the | 19 | | consumption of sugar-sweetened beverages and obesity | 20 | | rates, among other indicators. The evaluation shall also | 21 | | include a summary of how moneys in the Illinois Wellness | 22 | | Fund were allocated to eligible entities and spent within | 23 | | the Illinois Medicaid program. The evaluator shall report | 24 | | annually to the Advisory Council on the progress and | 25 | | results of the evaluation. | 26 | | (3) Two percent shall be dedicated to eligible entities |
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| 1 | | to provide technical assistance to and statewide | 2 | | coordination of strategies and activities of recipients of | 3 | | funding from the Fund, including, but not limited to, | 4 | | training and education around obesity prevention best | 5 | | practices, coordination of strategies across grantees, and | 6 | | quality improvement for obesity prevention and treatment | 7 | | initiatives. | 8 | | (4) Twenty percent shall be allocated to local health | 9 | | departments via a formula developed by the Illinois | 10 | | Department of Public Health based on population and need. | 11 | | These funds shall not supplant existing State funding. The | 12 | | moneys allocated under this paragraph (4) shall be used for | 13 | | the following activities and services: | 14 | | (A) conducting evidence-based obesity and chronic | 15 | | disease prevention efforts to achieve at least one of | 16 | | the following goals: eliminating racial, ethnic, and | 17 | | socioeconomic disparities in obesity and chronic | 18 | | disease incidence; improving access to and consumption | 19 | | of healthy, safe, and affordable foods; reducing | 20 | | access to and consumption of calorie-dense, | 21 | | nutrient-poor foods; encouraging physical activity and | 22 | | decreasing sedentary behavior; raising awareness about | 23 | | the importance of nutrition and physical activity for | 24 | | the prevention of chronic diseases; supporting the | 25 | | consumption of foods that are grown or produced | 26 | | locally; supporting the use of evidence-based clinical |
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| 1 | | preventive services; and promoting breastfeeding; and | 2 | | (B) leading and coordinating the efforts of other | 3 | | organizations in their jurisdictions that are engaged | 4 | | in similar efforts to achieve these goals, whether | 5 | | funded through this Act or otherwise. | 6 | | (5) The remaining money shall be used to support the | 7 | | prevention of obesity, diabetes, cardiovascular disease, | 8 | | and cancer, as well as oral health improvements, and shall | 9 | | not be used to supplant existing State funds. At least 50% | 10 | | of the funds allocated under this item (5) shall be | 11 | | allocated to eligible entities serving high-need | 12 | | populations. The Department of Public Health shall adopt | 13 | | rules to designate high-need populations. The rules shall | 14 | | establish the poverty rate as the primary indicator of | 15 | | need, and, to the extent data is available, rates of | 16 | | obesity and nutrition and physical activity-related | 17 | | chronic diseases, sugary drink consumption, and population | 18 | | density as sub-indicators of need for prioritizing funds. | 19 | | The Department shall use the most up-to-date and valid data | 20 | | available. These prevention initiatives shall include, but | 21 | | are not limited to, the following: | 22 | | (A) funds to support school and early childhood | 23 | | health and wellness, including increased access to | 24 | | healthy foods, increased physical activity and | 25 | | physical education, improved quality of physical | 26 | | education, increased nutrition education, improved |
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| 1 | | health, mental health, oral health, and social | 2 | | services in schools, increased opportunities for home | 3 | | economics courses (cooking and healthy grocery | 4 | | shopping education) and school and early childhood | 5 | | education facility improvements that support health; | 6 | | (B) funds to support community nutrition and | 7 | | access to healthy foods, including nutrition | 8 | | education, healthy cooking programs, healthy vending | 9 | | initiatives, healthy food procurement, education | 10 | | regarding shopping for healthy foods, increased | 11 | | support for breastfeeding promotion programs, and | 12 | | increasing access to healthy foods, including through | 13 | | reducing the prevalence and effects of food deserts; | 14 | | (C) funds to support physical activity in | 15 | | communities, including active transportation, | 16 | | community walkability and bike-ability initiatives, | 17 | | multi-use trails, joint-use agreements, safe routes to | 18 | | schools programs, educational programs that promote | 19 | | physical activity, physical activity in after school | 20 | | programs, environmental changes that increase physical | 21 | | activity; initiatives that create physically safe and | 22 | | accessible areas for physical activity and play; | 23 | | (D) funds to support worksite wellness, including | 24 | | promotion of nutrition, physical activity and | 25 | | preventive services in worksites, workplace policies, | 26 | | and environmental changes that support employee |
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| 1 | | wellness; | 2 | | (E) funds to support local food systems, including | 3 | | promotion of, access to, and consumption of local | 4 | | foods, farm-to-school and farm-to-institution | 5 | | programs, community gardens, urban agriculture | 6 | | projects, community-supported agriculture programs, | 7 | | farmers markets and double-value coupons programs for | 8 | | SNAP recipients at farmers markets, food hubs, | 9 | | beginning farmer training programs, and farm stands; | 10 | | and | 11 | | (F) funds to support oral health improvement, | 12 | | including increased access to oral health education, | 13 | | dental sealants for children, and use of community | 14 | | prevention and health education strategies that reduce | 15 | | risk factors for oral and pharyngeal cancers. | 16 | | (b) All moneys in the Illinois Wellness Fund, spent in | 17 | | accordance with this Section, shall be expended only for the | 18 | | purposes expressed in this Act and shall be used only to | 19 | | supplement existing levels of service and not to supplant | 20 | | current federal, State, or local funding for existing levels of | 21 | | services as provided in fiscal year 2014. Entities that are | 22 | | eligible to receive moneys from this Section include: | 23 | | (1) community-based health improvement coalitions, | 24 | | including, but not limited to: | 25 | | (A) schools and early childhood education centers; | 26 | | (B) non-profit community-based organizations; |
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| 1 | | (C) Federally Qualified Health Centers, community | 2 | | health centers, and organizations which operate a | 3 | | school-based health center certified by the Illinois | 4 | | Department of Public Health; | 5 | | (D) non-profit hospitals and health systems, | 6 | | particularly safety net hospitals; | 7 | | (E) Illinois farms producing primarily fruits, | 8 | | vegetables, and tree nuts for direct human consumption | 9 | | by Illinois residents; | 10 | | (F) faith-based organizations; | 11 | | (G) policy, research, or training institutes or | 12 | | centers; and | 13 | | (H) local public health, planning, and | 14 | | transportation departments, and local park and school | 15 | | districts; and | 16 | | (2) individual non-profit community-based | 17 | | organizations, including faith-based organizations, | 18 | | working to improve health, as determined by the Advisory | 19 | | Council; | 20 | | (3) units of local government, including local public
| 21 | | health departments, local planning and transportation
| 22 | | departments, local school districts, and local park
| 23 | | districts; | 24 | | (4) statewide or regional non-profit organizations,
| 25 | | including those with local chapters, members, or
| 26 | | affiliates;
and |
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| 1 | | (5) non-profit universities, public universities, and | 2 | | institutions of higher learning. | 3 | | (c) The Department of Public Health shall distribute the | 4 | | moneys under this Section via grants to eligible entities | 5 | | within 120 days after the start of each fiscal year including: | 6 | | (1) allocation of funds for staff and resources needed | 7 | | to administer the Fund and Advisory Council, including a | 8 | | Health in All Policies Coordinator; | 9 | | (2) distribution of funds allocated to local health | 10 | | departments via formula as described in Section 60; and | 11 | | (3) distribution of the remaining funds to eligible | 12 | | entities as recommended by the Advisory Council for Health | 13 | | and Wellness based on a request for proposal process; at | 14 | | least half of the funds shall be dedicated to entities | 15 | | serving high-need communities. | 16 | | Funds may be distributed as multi-year grants. | 17 | | Section 65. Expenditures of the Illinois Wellness Fund for | 18 | | the Illinois Medicaid Program. Beginning July 1, 2019, the | 19 | | moneys collected in the Illinois Wellness Fund and deposited | 20 | | into the Healthcare Provider Relief Fund shall be expended by | 21 | | the Department of Healthcare and Family Services for expanded | 22 | | prevention and obesity treatment services for Medicaid | 23 | | beneficiaries. The Department shall seek all required | 24 | | amendments to the existing State Plan. The Department of | 25 | | Healthcare and Family Services shall submit a report at the end |
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| 1 | | of each State fiscal year to the Advisory Council on the | 2 | | expanded services provided along with the savings and costs | 3 | | associated with these services to the Medicaid program. The | 4 | | Department of Healthcare and Family Services shall cover the | 5 | | following prevention and obesity treatment services for all | 6 | | Medicaid beneficiaries: | 7 | | (1) all services recommended for pediatric prevention, | 8 | | assessment and treatment of overweight and obesity set | 9 | | forth by the American Academy of Pediatrics (clinical | 10 | | practice guidelines) and those recommended by the U.S. | 11 | | Preventive Services Task Force Grade B Recommendation to | 12 | | screen for obesity in children and adolescents, including | 13 | | clinical pediatric weight management treatment programs; | 14 | | Medicaid benefits must follow these recommendations and | 15 | | reimbursement rates must be set at a level that ensures | 16 | | appropriate access to services outlined in the | 17 | | recommendations; | 18 | | (2) community-based, evidence-based
lifestyle change | 19 | | physical activity and nutrition programs, diabetes and
| 20 | | other health-behavior focused chronic disease
| 21 | | self-management and chronic disease prevention programs
| 22 | | for children and adults, including, but not limited to,
| 23 | | participation in the evidence-based Diabetes Prevention
| 24 | | Program, MEND program, Chronic Disease Self-Management
| 25 | | Program, and Diabetes Self-Management Program; | 26 | | (3) evidence-based diabetes education programs; |
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| 1 | | (4) medical nutrition therapy, care coordination, | 2 | | weight management programs, diabetes education and | 3 | | multi-disciplinary obesity treatment programs for | 4 | | overweight and obese children and adults, including | 5 | | coverage for services from dieticians, social workers, | 6 | | psychologists, and pharmacists; and | 7 | | (5) dental prevention services, including routine oral | 8 | | health screenings, cleanings, and oral health maintenance | 9 | | services for adults. | 10 | | Section 70. Illinois Wellness Fund governance. | 11 | | (a) The Illinois Wellness Fund shall be governed by a | 12 | | multi-sector Advisory Council for Health and Wellness, with | 13 | | administration by the Department of Public Health and | 14 | | Department of Healthcare and Family Services as described | 15 | | below. The Advisory Council for Health and Wellness shall be | 16 | | established by December 31, 2017 and be comprised of: | 17 | | (1) one ex officio representative from each of the | 18 | | following Departments: the Department of Public Health, | 19 | | the Department of Human Services, the State Board of | 20 | | Education, the Department on Aging, the Department of | 21 | | Healthcare and Family Services, the Department of | 22 | | Transportation, and the Department of Agriculture, | 23 | | appointed by the Director or Secretary of the respective | 24 | | Department; | 25 | | (2) one obesity prevention advocate representing a |
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| 1 | | statewide coalition working on reducing obesity through | 2 | | policy, systems, and environmental changes, appointed by | 3 | | the Governor; | 4 | | (3) one person representing primary or secondary | 5 | | education, or both, appointed by the Governor; | 6 | | (4) one representative of a statewide organization | 7 | | focusing on chronic disease prevention, appointed by the | 8 | | Governor; | 9 | | (5) one representative of an organization or coalition | 10 | | focusing on active transportation, appointed by the | 11 | | Governor; | 12 | | (6) one representative of an organization or coalition | 13 | | focusing on employer wellness initiatives, appointed by | 14 | | the Governor; | 15 | | (7) one person representing access to healthy foods | 16 | | initiatives, appointed by the Governor; | 17 | | (8) one person representing community-based obesity | 18 | | prevention programs, appointed by the Governor; | 19 | | (9) one representative of an association representing | 20 | | hospitals across the State, appointed by the Governor; | 21 | | (10) one person representing public health | 22 | | departments, appointed by the Governor; | 23 | | (11) one representative of an association representing | 24 | | public health practitioners, appointed by the Governor; | 25 | | (12) one representative of an organization | 26 | | representing pediatricians in the State, appointed by the |
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| 1 | | Governor; | 2 | | (13) one representative of an organization | 3 | | representing primary care providers in the State, | 4 | | appointed by the Governor; | 5 | | (14) one person representing community based healthy | 6 | | eating-active living coalitions, appointed by the | 7 | | Governor; | 8 | | (15) one person representing communities of color or | 9 | | communities that are disproportionately impacted by | 10 | | obesity, appointed by the Governor; | 11 | | (16) one person representing faith-based | 12 | | organizations, appointed by the Governor; | 13 | | (17) one person representing an organization working | 14 | | in behavioral health, appointed by the Governor; | 15 | | (18) one person representing the general public, | 16 | | appointed by the Governor; and | 17 | | (19) four members of the General Assembly, one | 18 | | appointed by each of the following: the Speaker and | 19 | | Minority Leader of the Illinois House of Representatives | 20 | | and the President and Minority Leader of the Illinois | 21 | | Senate; the members appointed by the Speaker and the | 22 | | President of the Senate shall serve as co-chairs of the | 23 | | Advisory Council. | 24 | | (b) The public members of the Advisory Council for Health | 25 | | and Wellness shall serve 4-year terms, and may be reappointed | 26 | | for consecutive terms. Members whose terms expire shall |
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| 1 | | continue to serve until their successors are appointed and | 2 | | qualified. The legislative members of the Advisory Council for | 3 | | Health and Wellness shall serve 2-year terms that correspond to | 4 | | each General Assembly, except that the incumbent shall continue | 5 | | to serve until reappointed or replaced. | 6 | | (c) The Advisory Council for Health and Wellness shall have | 7 | | the following powers and duties: | 8 | | (1) to make recommendations to Department of Public | 9 | | Health on fund allocation categories every 3 years based on | 10 | | the State's current conditions and needs related to | 11 | | nutrition and physical activity-related chronic disease | 12 | | prevention and the results of the Act evaluation report; | 13 | | (2) to develop and implement a request for proposal | 14 | | (RFP) process for allocating the Illinois Wellness Fund | 15 | | moneys via grants to eligible entities across the State | 16 | | each year (or via multi-year grants); | 17 | | (3) oversight of the request for proposals process, | 18 | | including advising on the selection of eligible entities to | 19 | | receive funds and submission of funding recommendations to | 20 | | the Department of Public Health for funding for eligible | 21 | | entities for initiatives as described in Section 60 within | 22 | | 120 days of the start of the fiscal year; | 23 | | (4) to advise on the selection of evaluators and | 24 | | provide input on the evaluation design, goals, and methods | 25 | | at least annually, and to receive and review progress | 26 | | reports on the evaluation; |
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| 1 | | (5) to annually receive and review the evaluation | 2 | | progress report and Medicaid services, costs, and savings | 3 | | report related to this Act; and | 4 | | (6) to submit a report to the General Assembly every 3 | 5 | | years on the allocation of the funds and summary results of | 6 | | the impact evaluation of the Illinois Wellness Fund and the | 7 | | tax imposed under this Act. | 8 | | Section 75. Rulemaking. No later than August 31, 2017, the | 9 | | Department of Public Health shall adopt rules for the | 10 | | distribution of Illinois Wellness Fund moneys for community | 11 | | prevention, pursuant to Section 60. No later than August 31, | 12 | | 2017, the Department of Healthcare and Family Services shall | 13 | | adopt rules for the allocation and distribution of Wellness | 14 | | Fund moneys to support prevention in the Medicaid program | 15 | | pursuant to Section 65. No later than April 30, 2017, the | 16 | | Department of Revenue shall adopt rules to implement the | 17 | | provisions of this Act related to the implementation, | 18 | | collection, and deposition of the tax, so that taxes will be | 19 | | collected beginning May 1, 2017. | 20 | | Section 97. Severability. The provisions of this Act are | 21 | | severable under Section 1.31 of the Statute on Statutes. | 22 | | Section 200. The Illinois Independent Tax Tribunal Act of | 23 | | 2012 is amended by changing Section 1-45 as follows: |
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| 1 | | (35 ILCS 1010/1-45)
| 2 | | Sec. 1-45. Jurisdiction of the Tax Tribunal. | 3 | | (a) Except as provided by the Constitution of the United | 4 | | States, the Constitution of the State of Illinois, or any | 5 | | statutes of this State, including, but not limited to, the | 6 | | State Officers and Employees Money Disposition Act, the Tax | 7 | | Tribunal shall have original jurisdiction over all | 8 | | determinations of the Department reflected on a Notice of | 9 | | Deficiency, Notice of Tax Liability, Notice of Claim Denial, or | 10 | | Notice of Penalty Liability issued under the Illinois Income | 11 | | Tax Act, the Use Tax Act, the Service Use Tax Act, the Service | 12 | | Occupation Tax Act, the Retailers' Occupation Tax Act, the | 13 | | Cigarette Tax Act, the Cigarette Use Tax Act, the Tobacco | 14 | | Products Tax Act of 1995, the Hotel Operators' Occupation Tax | 15 | | Act, the Motor Fuel Tax Law, the Automobile Renting Occupation | 16 | | and Use Tax Act, the Coin-Operated Amusement Device and | 17 | | Redemption Machine Tax Act, the Gas Revenue Tax Act, the Water | 18 | | Company Invested Capital Tax Act, the Telecommunications | 19 | | Excise Tax Act, the Telecommunications Infrastructure | 20 | | Maintenance Fee Act, the Public Utilities Revenue Act, the | 21 | | Electricity Excise Tax Law, the Aircraft Use Tax Law, the | 22 | | Watercraft Use Tax Law, the Gas Use Tax Law, or the Uniform | 23 | | Penalty and Interest Act , or the Healthy Eating Active Living | 24 | | (HEAL) Act . Except with respect to the Healthy Eating Active | 25 | | Living (HEAL) Act, jurisdiction Jurisdiction of the Tax |
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| 1 | | Tribunal is limited to Notices of Tax Liability, Notices of | 2 | | Deficiency, Notices of Claim Denial, and Notices of Penalty | 3 | | Liability where the amount at issue in a notice, or the | 4 | | aggregate amount at issue in multiple notices issued for the | 5 | | same tax year or audit period, exceeds $15,000, exclusive of | 6 | | penalties and interest. In notices solely asserting either an | 7 | | interest or penalty assessment, or both, the Tax Tribunal shall | 8 | | have jurisdiction over cases where the combined total of all | 9 | | penalties or interest assessed exceeds $15,000. | 10 | | (b) Except as otherwise permitted by this Act and by the | 11 | | Constitution of the State of Illinois or otherwise by State | 12 | | law, including, but not limited to, the State Officers and | 13 | | Employees Money Disposition Act, no person shall contest any | 14 | | matter within the jurisdiction of the Tax Tribunal in any | 15 | | action, suit, or proceeding in the circuit court or any other | 16 | | court of the State. If a person attempts to do so, then such | 17 | | action, suit, or proceeding shall be dismissed without | 18 | | prejudice. The improper commencement of any action, suit, or | 19 | | proceeding does not extend the time period for commencing a | 20 | | proceeding in the Tax Tribunal. | 21 | | (c) The Tax Tribunal may require the taxpayer to post a | 22 | | bond equal to 25% of the liability at issue (1) upon motion of | 23 | | the Department and a showing that (A) the taxpayer's action is | 24 | | frivolous or legally insufficient or (B) the taxpayer is acting | 25 | | primarily for the purpose of delaying the collection of tax or | 26 | | prejudicing the ability ultimately to collect the tax, or (2) |
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| 1 | | if, at any time during the proceedings, it is determined by the | 2 | | Tax Tribunal that the taxpayer is not pursuing the resolution | 3 | | of the case with due diligence. If the Tax Tribunal finds in a | 4 | | particular case that the taxpayer cannot procure and furnish a | 5 | | satisfactory surety or sureties for the kind of bond required | 6 | | herein, the Tax Tribunal may relieve the taxpayer of the | 7 | | obligation of filing such bond, if, upon the timely application | 8 | | for a lien in lieu thereof and accompanying proof therein | 9 | | submitted, the Tax Tribunal is satisfied that any such lien | 10 | | imposed would operate to secure the assessment in the manner | 11 | | and to the degree as would a bond. The Tax Tribunal shall adopt | 12 | | rules for the procedures to be used in securing a bond or lien | 13 | | under this Section. | 14 | | (d) If, with or after the filing of a timely petition, the | 15 | | taxpayer pays all or part of the tax or other amount in issue | 16 | | before the Tax Tribunal has rendered a decision, the Tax | 17 | | Tribunal shall treat the taxpayer's petition as a protest of a | 18 | | denial of claim for refund of the amount so paid upon a written | 19 | | motion filed by the taxpayer. | 20 | | (e) The Tax Tribunal shall not have jurisdiction to review: | 21 | | (1) any assessment made under the Property Tax Code; | 22 | | (2) any decisions relating to the issuance or denial of | 23 | | an exemption ruling for any entity claiming exemption from | 24 | | any tax imposed under the Property Tax Code or any State | 25 | | tax administered by the Department; | 26 | | (3) a notice of proposed tax liability, notice of |
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| 1 | | proposed deficiency, or any other notice of proposed | 2 | | assessment or notice of intent to take some action; | 3 | | (4) any action or determination of the Department | 4 | | regarding tax liabilities that have become finalized by | 5 | | law, including but not limited to the issuance of liens, | 6 | | levies, and revocations, suspensions, or denials of | 7 | | licenses or certificates of registration or any other | 8 | | collection activities; | 9 | | (5) any proceedings of the Department's informal | 10 | | administrative appeals function; and | 11 | | (6) any challenge to an administrative subpoena issued | 12 | | by the Department. | 13 | | (f) The Tax Tribunal shall decide questions regarding the | 14 | | constitutionality of statutes and rules adopted by the | 15 | | Department as applied to the taxpayer, but shall not have the | 16 | | power to declare a statute or rule unconstitutional or | 17 | | otherwise invalid on its face. A taxpayer challenging the | 18 | | constitutionality of a statute or rule on its face may present | 19 | | such challenge to the Tax Tribunal for the sole purpose of | 20 | | making a record for review by the Illinois Appellate Court. | 21 | | Failure to raise a constitutional issue regarding the | 22 | | application of a statute or regulations to the taxpayer shall | 23 | | not preclude the taxpayer or the Department from raising those | 24 | | issues at the appellate court level.
| 25 | | (Source: P.A. 97-1129, eff. 8-28-12; 98-463, eff. 8-16-13.) |
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| 1 | | Section 990. The State Finance Act is amended by adding | 2 | | Section 5.878 as follows: | 3 | | (30 ILCS 105/5.878 new) | 4 | | Sec. 5.878. The Illinois Wellness Fund.
| 5 | | Section 999. Effective date. This Act takes effect upon | 6 | | becoming law.
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