Full Text of HB4762 94th General Assembly
HB4762 94TH GENERAL ASSEMBLY
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94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006 HB4762
Introduced 01/18/06, by Rep. Carolyn H. Krause SYNOPSIS AS INTRODUCED: |
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35 ILCS 105/3-13 new |
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35 ILCS 120/2-13 new |
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Amends the Use Tax Act and the Retailers' Occupation Tax Act. Provides
that no tax is imposed under the Acts upon the use or purchase of energy-efficient products
that qualify as an "Energy Star" products under the federal Energy Star Program and that are purchased at a price of $1,500 or less during a tax holiday. Defines "tax-holiday" as the periods each year: (1) beginning at 12:01 a.m. on November 1st and continuing through 11:59 p.m. on November 7th; and (2) beginning at 12:01 a.m. on April 22nd and continuing through 11:59 p.m. on April 28th. Sets forth criteria for
transactions to qualify for the exemption. Effective immediately.
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A BILL FOR
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HB4762 |
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LRB094 15879 BDD 51101 b |
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| AN ACT concerning revenue.
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| Be it enacted by the People of the State of Illinois,
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| represented in the General Assembly:
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| Section 5. The Use Tax Act is amended by adding Section | 5 |
| 3-13 as follows: | 6 |
| (35 ILCS 105/3-13 new) | 7 |
| Sec. 3-13. Tax holiday for energy-efficient products. | 8 |
| (a) No tax is imposed under this Act upon the privilege of
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| using, in this State, any energy-efficient product that is | 10 |
| purchased
at retail at a sales price of $1,500 or less if the | 11 |
| product is
purchased during a holiday period. | 12 |
| (b) For the purpose of this Section: | 13 |
| "Holiday period" means the periods each year: | 14 |
| (1) beginning at 12:01 a.m. on November 1st and | 15 |
| continuing through 11:59 p.m. on November 7th; and | 16 |
| (2) beginning at 12:01 a.m. on April 22nd and | 17 |
| continuing through 11:59 p.m. on April 28th. | 18 |
| "Energy-efficient product" means a dishwasher, clothes | 19 |
| washer, air conditioner, ceiling fan, incandescent or | 20 |
| flourescent light bulb, dehumidifier, programmable thermostat, | 21 |
| or refrigerator that qualifies as an "Energy Star" product | 22 |
| under the
Energy Star Program administered by the United States
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| Environmental Protection Agency. | 24 |
| (c) For purpose of this Section, a "purchase" occurs during
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| the tax holiday if the buyer places an order and pays the
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| purchase price by cash or credit during the tax holiday period
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| regardless of whether the delivery of the product occurs after | 28 |
| the
tax holiday period. | 29 |
| An energy-efficient product that is placed in a
layaway or | 30 |
| similar deferred plan during the holiday period is
not eligible | 31 |
| for the exemption unless the product is delivered to
the | 32 |
| purchaser during the period. An energy-efficient product that |
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HB4762 |
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LRB094 15879 BDD 51101 b |
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| 1 |
| was placed in a
layaway or similar deferred plan before the | 2 |
| holiday period and
is then delivered to the purchaser during | 3 |
| the holiday period is
eligible for the exemption. | 4 |
| (d) Any discount, coupon, or other credit offered either by
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| the retailer or by a vendor of the retailer to reduce the final
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| price to the customer must be taken into account in determining
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| the selling price of the product for the purposes of this | 8 |
| holiday.
If the the price of a product is free or reduced with | 9 |
| the
purchase of another energy-efficient product, then the | 10 |
| total price of the products may
not be averaged in order for | 11 |
| both products to qualify for the
holiday. | 12 |
| The amount of any rebate may not be considered when
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| determining the selling price of an energy-efficient product | 14 |
| for the purposes of
this holiday. | 15 |
| (e) Articles that are normally sold as a unit must continue
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| to be sold in that manner; they may not be priced separately
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| and sold as individual items in order to be subject to the
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| holiday. Components
that are normally priced as separate | 19 |
| articles, however, may
continue to be sold as separate | 20 |
| articles. | 21 |
| (f) An energy-efficient product that a customer purchases | 22 |
| during
the holiday period with the use of a rain check | 23 |
| qualifies for the
holiday regardless of when the rain check was | 24 |
| issued. The
issuance of a rain check, however, during the | 25 |
| holiday period
does not qualify merchandise for the exemption | 26 |
| if the
product is actually purchased after the holiday period. | 27 |
| (g) If a customer purchases an energy-efficient product | 28 |
| during the holiday period but later exchanges the
product for a | 29 |
| substantially similar product of a different size,
different | 30 |
| color, or other feature, then no additional tax is
due even if | 31 |
| the exchange is made after the holiday period. | 32 |
| If a customer purchases an energy-efficient product
during | 33 |
| the holiday period, but after the holiday period has
ended, the | 34 |
| customer returns the product and receives credit on the
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| purchase of a different product, then the newly purchased | 36 |
| product is
subject to the full tax rate. |
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HB4762 |
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LRB094 15879 BDD 51101 b |
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| If a customer purchases an energy-efficient product
before | 2 |
| the holiday period, but, during the holiday period, the
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| customer returns the product and receives credit on the | 4 |
| purchase
of a different energy-efficient product, then the | 5 |
| newly
purchased product is subject to the exemption. | 6 |
| (h) Each unit of local government that imposes a use tax
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| may, by resolution or ordinance, declare a tax holiday with
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| respect to its use tax for the same items, during the same
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| periods, and under the same conditions and is encouraged to do
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| so. | 11 |
| Section 10. The Retailers' Occupation Tax Act is amended by | 12 |
| adding Section 2-13 as follows: | 13 |
| (35 ILCS 120/2-13 new) | 14 |
| Sec. 2-13. Tax holiday for energy-efficient products. | 15 |
| (a) No tax is imposed under this Act upon persons engaged
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| in the business of selling, at retail, any energy-efficient | 17 |
| product if
the product is purchased at a sales price of $1,500 | 18 |
| or less during a tax-holiday
period.
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| (b) For the purpose of this Section: | 20 |
| "Tax-holiday period" means the periods each year: | 21 |
| (1) beginning at 12:01 a.m. on November 1st and | 22 |
| continuing through 11:59 p.m. on November 7th; and | 23 |
| (2) beginning at 12:01 a.m. on April 22nd and | 24 |
| continuing through 11:59 p.m. on April 28th. | 25 |
| "Energy-efficient product" means a dishwasher, clothes | 26 |
| washer, air conditioner, ceiling fan, incandescent or | 27 |
| flourescent light bulb, dehumidifier, programmable thermostat, | 28 |
| or refrigerator that qualifies as an "Energy Star" product | 29 |
| under the
Energy Star Program administered by the United States
| 30 |
| Environmental Protection Agency. | 31 |
| (c) For purpose of this Section, a "purchase" occurs during
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| the tax holiday if the buyer places an order and pays the
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| purchase price by cash or credit during the tax holiday period
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| regardless of whether the delivery of the product occurs after |
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HB4762 |
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LRB094 15879 BDD 51101 b |
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| 1 |
| the
tax holiday period. | 2 |
| An energy-efficient product that is placed in a
layaway or | 3 |
| similar deferred plan during the holiday period is
not eligible | 4 |
| for the exemption unless the product is delivered to
the | 5 |
| purchaser during the period. An energy-efficient product that | 6 |
| was placed in a
layaway or similar deferred plan before the | 7 |
| holiday period and
is then delivered to the purchaser during | 8 |
| the holiday period is
eligible for the exemption. | 9 |
| (d) Any discount, coupon, or other credit offered either by
| 10 |
| the retailer or by a vendor of the retailer to reduce the final
| 11 |
| price to the customer must be taken into account in determining
| 12 |
| the selling price of the product for the purposes of this | 13 |
| holiday.
If the the price of a product is free or reduced with | 14 |
| the
purchase of another energy-efficient product, then the | 15 |
| total price of the products may
not be averaged in order for | 16 |
| both products to qualify for the
holiday. | 17 |
| The amount of any rebate may not be considered when
| 18 |
| determining the selling price of an energy-efficient product | 19 |
| for the purposes of
this holiday. | 20 |
| (e) Articles that are normally sold as a unit must continue
| 21 |
| to be sold in that manner; they may not be priced separately
| 22 |
| and sold as individual items in order to be subject to the
| 23 |
| holiday. Components
that are normally priced as separate | 24 |
| articles, however, may
continue to be sold as separate | 25 |
| articles. | 26 |
| (f) An energy-efficient product that a customer purchases | 27 |
| during
the holiday period with the use of a rain check | 28 |
| qualifies for the
holiday regardless of when the rain check was | 29 |
| issued. The
issuance of a rain check, however, during the | 30 |
| holiday period
does not qualify merchandise for the exemption | 31 |
| if the
product is actually purchased after the holiday period. | 32 |
| (g) If a customer purchases an energy-efficient product | 33 |
| during the holiday period but later exchanges the
product for a | 34 |
| substantially similar product of a different size,
different | 35 |
| color, or other feature, then no additional tax is
due even if | 36 |
| the exchange is made after the holiday period. |
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HB4762 |
- 5 - |
LRB094 15879 BDD 51101 b |
|
| 1 |
| If a customer purchases an energy-efficient product
during | 2 |
| the holiday period, but after the holiday period has
ended, the | 3 |
| customer returns the product and receives credit on the
| 4 |
| purchase of a different product, then the newly purchased | 5 |
| product is
subject to the full tax rate. | 6 |
| If a customer purchases an energy-efficient product
before | 7 |
| the holiday period, but, during the holiday period, the
| 8 |
| customer returns the product and receives credit on the | 9 |
| purchase
of a different energy-efficient product, then the | 10 |
| newly
purchased product is subject to the exemption. | 11 |
| (h) Each unit of local government that imposes a retailers' | 12 |
| occupation tax
may, by resolution or ordinance, declare a tax | 13 |
| holiday with
respect to its occupation tax for the same items, | 14 |
| during the same
periods, and under the same conditions and is | 15 |
| encouraged to do
so.
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| Section 99. Effective date. This Act takes effect upon | 17 |
| becoming law.
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