(35 ILCS 105/3-5)
(Text of Section from P.A. 103-9, Article 5, Section 5-5) Sec. 3-5. Exemptions. Use of the following tangible personal property is exempt from the tax imposed by this Act:
(1) Personal property purchased from a corporation, society, association,
foundation, institution, or organization, other than a limited liability
company, that is organized and operated as a not-for-profit service enterprise
for the benefit of persons 65 years of age or older if the personal property was not purchased by the enterprise for the purpose of resale by the
enterprise.
(2) Personal property purchased by a not-for-profit Illinois county
fair association for use in conducting, operating, or promoting the
county fair.
(3) Personal property purchased by a not-for-profit
arts or cultural organization that establishes, by proof required by the
Department by
rule, that it has received an exemption under Section 501(c)(3) of the Internal
Revenue Code and that is organized and operated primarily for the
presentation
or support of arts or cultural programming, activities, or services. These
organizations include, but are not limited to, music and dramatic arts
organizations such as symphony orchestras and theatrical groups, arts and
cultural service organizations, local arts councils, visual arts organizations,
and media arts organizations.
On and after July 1, 2001 (the effective date of Public Act 92-35), however, an entity otherwise eligible for this exemption shall not
make tax-free purchases unless it has an active identification number issued by
the Department.
(4) Personal property purchased by a governmental body, by a
corporation, society, association, foundation, or institution organized and
operated exclusively for charitable, religious, or educational purposes, or
by a not-for-profit corporation, society, association, foundation,
institution, or organization that has no compensated officers or employees
and that is organized and operated primarily for the recreation of persons
55 years of age or older. A limited liability company may qualify for the
exemption under this paragraph only if the limited liability company is
organized and operated exclusively for educational purposes. On and after July
1, 1987, however, no entity otherwise eligible for this exemption shall make
tax-free purchases unless it has an active exemption identification number
issued by the Department.
(5) Until July 1, 2003, a passenger car that is a replacement vehicle to
the extent that the
purchase price of the car is subject to the Replacement Vehicle Tax.
(6) Until July 1, 2003 and beginning again on September 1, 2004 through August 30, 2014, graphic arts machinery and equipment, including
repair and replacement
parts, both new and used, and including that manufactured on special order,
certified by the purchaser to be used primarily for graphic arts production,
and including machinery and equipment purchased for lease.
Equipment includes chemicals or chemicals acting as catalysts but only if
the
chemicals or chemicals acting as catalysts effect a direct and immediate change
upon a graphic arts product. Beginning on July 1, 2017, graphic arts machinery and equipment is included in the manufacturing and assembling machinery and equipment exemption under paragraph (18).
(7) Farm chemicals.
(8) Legal tender, currency, medallions, or gold or silver coinage issued by
the State of Illinois, the government of the United States of America, or the
government of any foreign country, and bullion.
(9) Personal property purchased from a teacher-sponsored student
organization affiliated with an elementary or secondary school located in
Illinois.
(10) A motor vehicle that is used for automobile renting, as defined in the
Automobile Renting Occupation and Use Tax Act.
(11) Farm machinery and equipment, both new and used,
including that manufactured on special order, certified by the purchaser
to be used primarily for production agriculture or State or federal
agricultural programs, including individual replacement parts for
the machinery and equipment, including machinery and equipment
purchased
for lease,
and including implements of husbandry defined in Section 1-130 of
the Illinois Vehicle Code, farm machinery and agricultural chemical and
fertilizer spreaders, and nurse wagons required to be registered
under Section 3-809 of the Illinois Vehicle Code,
but excluding other motor
vehicles required to be
registered under the Illinois Vehicle Code.
Horticultural polyhouses or hoop houses used for propagating, growing, or
overwintering plants shall be considered farm machinery and equipment under
this item (11).
Agricultural chemical tender tanks and dry boxes shall include units sold
separately from a motor vehicle required to be licensed and units sold mounted
on a motor vehicle required to be licensed if the selling price of the tender
is separately stated.
Farm machinery and equipment shall include precision farming equipment
that is
installed or purchased to be installed on farm machinery and equipment
including, but not limited to, tractors, harvesters, sprayers, planters,
seeders, or spreaders.
Precision farming equipment includes, but is not limited to, soil testing
sensors, computers, monitors, software, global positioning
and mapping systems, and other such equipment.
Farm machinery and equipment also includes computers, sensors, software, and
related equipment used primarily in the
computer-assisted operation of production agriculture facilities, equipment,
and
activities such as, but not limited to,
the collection, monitoring, and correlation of
animal and crop data for the purpose of
formulating animal diets and agricultural chemicals. This item (11) is exempt
from the provisions of
Section 3-90.
(12) Until June 30, 2013, fuel and petroleum products sold to or used by an air common
carrier, certified by the carrier to be used for consumption, shipment, or
storage in the conduct of its business as an air common carrier, for a
flight destined for or returning from a location or locations
outside the United States without regard to previous or subsequent domestic
stopovers.
Beginning July 1, 2013, fuel and petroleum products sold to or used by an air carrier, certified by the carrier to be used for consumption, shipment, or storage in the conduct of its business as an air common carrier, for a flight that (i) is engaged in foreign trade or is engaged in trade between the United States and any of its possessions and (ii) transports at least one individual or package for hire from the city of origination to the city of final destination on the same aircraft, without regard to a change in the flight number of that aircraft. (13) Proceeds of mandatory service charges separately
stated on customers' bills for the purchase and consumption of food and
beverages purchased at retail from a retailer, to the extent that the proceeds
of the service charge are in fact turned over as tips or as a substitute
for tips to the employees who participate directly in preparing, serving,
hosting or cleaning up the food or beverage function with respect to which
the service charge is imposed.
(14) Until July 1, 2003, oil field exploration, drilling, and production
equipment,
including (i) rigs and parts of rigs, rotary
rigs, cable tool rigs, and workover rigs, (ii) pipe and tubular goods,
including casing and drill strings, (iii) pumps and pump-jack units, (iv)
storage tanks and flow lines, (v) any individual replacement part for oil
field exploration, drilling, and production equipment, and (vi) machinery and
equipment purchased
for lease; but excluding motor vehicles required to be registered under the
Illinois Vehicle Code.
(15) Photoprocessing machinery and equipment, including repair and
replacement parts, both new and used, including that
manufactured on special order, certified by the purchaser to be used
primarily for photoprocessing, and including
photoprocessing machinery and equipment purchased for lease.
(16) Until July 1, 2028, coal and aggregate exploration, mining, off-highway hauling,
processing, maintenance, and reclamation equipment,
including replacement parts and equipment, and
including equipment purchased for lease, but excluding motor
vehicles required to be registered under the Illinois Vehicle Code. The changes made to this Section by Public Act 97-767 apply on and after July 1, 2003, but no claim for credit or refund is allowed on or after August 16, 2013 (the effective date of Public Act 98-456)
for such taxes paid during the period beginning July 1, 2003 and ending on August 16, 2013 (the effective date of Public Act 98-456).
(17) Until July 1, 2003, distillation machinery and equipment, sold as a
unit or kit,
assembled or installed by the retailer, certified by the user to be used
only for the production of ethyl alcohol that will be used for consumption
as motor fuel or as a component of motor fuel for the personal use of the
user, and not subject to sale or resale.
(18) Manufacturing and assembling machinery and equipment used
primarily in the process of manufacturing or assembling tangible
personal property for wholesale or retail sale or lease, whether that sale
or lease is made directly by the manufacturer or by some other person,
whether the materials used in the process are
owned by the manufacturer or some other person, or whether that sale or
lease is made apart from or as an incident to the seller's engaging in
the service occupation of producing machines, tools, dies, jigs,
patterns, gauges, or other similar items of no commercial value on
special order for a particular purchaser. The exemption provided by this paragraph (18) includes production related tangible personal property, as defined in Section 3-50, purchased on or after July 1, 2019. The exemption provided by this paragraph (18) does not include machinery and equipment used in (i) the generation of electricity for wholesale or retail sale; (ii) the generation or treatment of natural or artificial gas for wholesale or retail sale that is delivered to customers through pipes, pipelines, or mains; or (iii) the treatment of water for wholesale or retail sale that is delivered to customers through pipes, pipelines, or mains. The provisions of Public Act 98-583 are declaratory of existing law as to the meaning and scope of this exemption. Beginning on July 1, 2017, the exemption provided by this paragraph (18) includes, but is not limited to, graphic arts machinery and equipment, as defined in paragraph (6) of this Section.
(19) Personal property delivered to a purchaser or purchaser's donee
inside Illinois when the purchase order for that personal property was
received by a florist located outside Illinois who has a florist located
inside Illinois deliver the personal property.
(20) Semen used for artificial insemination of livestock for direct
agricultural production.
(21) Horses, or interests in horses, registered with and meeting the
requirements of any of the
Arabian Horse Club Registry of America, Appaloosa Horse Club, American Quarter
Horse Association, United States
Trotting Association, or Jockey Club, as appropriate, used for
purposes of breeding or racing for prizes. This item (21) is exempt from the provisions of Section 3-90, and the exemption provided for under this item (21) applies for all periods beginning May 30, 1995, but no claim for credit or refund is allowed on or after January 1, 2008
for such taxes paid during the period beginning May 30, 2000 and ending on January 1, 2008.
(22) Computers and communications equipment utilized for any
hospital
purpose
and equipment used in the diagnosis,
analysis, or treatment of hospital patients purchased by a lessor who leases
the
equipment, under a lease of one year or longer executed or in effect at the
time the lessor would otherwise be subject to the tax imposed by this Act, to a
hospital
that has been issued an active tax exemption identification number by
the
Department under Section 1g of the Retailers' Occupation Tax Act. If the
equipment is leased in a manner that does not qualify for
this exemption or is used in any other non-exempt manner, the lessor
shall be liable for the
tax imposed under this Act or the Service Use Tax Act, as the case may
be, based on the fair market value of the property at the time the
non-qualifying use occurs. No lessor shall collect or attempt to collect an
amount (however
designated) that purports to reimburse that lessor for the tax imposed by this
Act or the Service Use Tax Act, as the case may be, if the tax has not been
paid by the lessor. If a lessor improperly collects any such amount from the
lessee, the lessee shall have a legal right to claim a refund of that amount
from the lessor. If, however, that amount is not refunded to the lessee for
any reason, the lessor is liable to pay that amount to the Department.
(23) Personal property purchased by a lessor who leases the
property, under
a
lease of
one year or longer executed or in effect at the time
the lessor would otherwise be subject to the tax imposed by this Act,
to a governmental body
that has been issued an active sales tax exemption identification number by the
Department under Section 1g of the Retailers' Occupation Tax Act.
If the
property is leased in a manner that does not qualify for
this exemption
or used in any other non-exempt manner, the lessor shall be liable for the
tax imposed under this Act or the Service Use Tax Act, as the case may
be, based on the fair market value of the property at the time the
non-qualifying use occurs. No lessor shall collect or attempt to collect an
amount (however
designated) that purports to reimburse that lessor for the tax imposed by this
Act or the Service Use Tax Act, as the case may be, if the tax has not been
paid by the lessor. If a lessor improperly collects any such amount from the
lessee, the lessee shall have a legal right to claim a refund of that amount
from the lessor. If, however, that amount is not refunded to the lessee for
any reason, the lessor is liable to pay that amount to the Department.
(24) Beginning with taxable years ending on or after December
31, 1995
and
ending with taxable years ending on or before December 31, 2004,
personal property that is
donated for disaster relief to be used in a State or federally declared
disaster area in Illinois or bordering Illinois by a manufacturer or retailer
that is registered in this State to a corporation, society, association,
foundation, or institution that has been issued a sales tax exemption
identification number by the Department that assists victims of the disaster
who reside within the declared disaster area.
(25) Beginning with taxable years ending on or after December
31, 1995 and
ending with taxable years ending on or before December 31, 2004, personal
property that is used in the performance of infrastructure repairs in this
State, including but not limited to municipal roads and streets, access roads,
bridges, sidewalks, waste disposal systems, water and sewer line extensions,
water distribution and purification facilities, storm water drainage and
retention facilities, and sewage treatment facilities, resulting from a State
or federally declared disaster in Illinois or bordering Illinois when such
repairs are initiated on facilities located in the declared disaster area
within 6 months after the disaster.
(26) Beginning July 1, 1999, game or game birds purchased at a "game
breeding
and hunting preserve area" as that term is
used in
the Wildlife Code. This paragraph is exempt from the provisions
of
Section 3-90.
(27) A motor vehicle, as that term is defined in Section 1-146
of the
Illinois
Vehicle Code, that is donated to a corporation, limited liability company,
society, association, foundation, or institution that is determined by the
Department to be organized and operated exclusively for educational purposes.
For purposes of this exemption, "a corporation, limited liability company,
society, association, foundation, or institution organized and operated
exclusively for educational purposes" means all tax-supported public schools,
private schools that offer systematic instruction in useful branches of
learning by methods common to public schools and that compare favorably in
their scope and intensity with the course of study presented in tax-supported
schools, and vocational or technical schools or institutes organized and
operated exclusively to provide a course of study of not less than 6 weeks
duration and designed to prepare individuals to follow a trade or to pursue a
manual, technical, mechanical, industrial, business, or commercial
occupation.
(28) Beginning January 1, 2000, personal property, including
food,
purchased through fundraising
events for the benefit of
a public or private elementary or
secondary school, a group of those schools, or one or more school
districts if the events are
sponsored by an entity recognized by the school district that consists
primarily of volunteers and includes
parents and teachers of the school children. This paragraph does not apply
to fundraising
events (i) for the benefit of private home instruction or (ii)
for which the fundraising entity purchases the personal property sold at
the events from another individual or entity that sold the property for the
purpose of resale by the fundraising entity and that
profits from the sale to the
fundraising entity. This paragraph is exempt
from the provisions
of Section 3-90.
(29) Beginning January 1, 2000 and through December 31, 2001, new or
used automatic vending
machines that prepare and serve hot food and beverages, including coffee, soup,
and
other items, and replacement parts for these machines.
Beginning January 1,
2002 and through June 30, 2003, machines and parts for machines used in
commercial, coin-operated amusement and vending business if a use or occupation
tax is paid on the gross receipts derived from the use of the commercial,
coin-operated amusement and vending machines.
This
paragraph
is exempt from the provisions of Section 3-90.
(30) Beginning January 1, 2001 and through June 30, 2016, food for human consumption that is to be consumed off the premises
where it is sold (other than alcoholic beverages, soft drinks, and food that
has been prepared for immediate consumption) and prescription and
nonprescription medicines, drugs, medical appliances, and insulin, urine
testing materials, syringes, and needles used by diabetics, for human use, when
purchased for use by a person receiving medical assistance under Article V of
the Illinois Public Aid Code who resides in a licensed long-term care facility,
as defined in the Nursing Home Care Act, or in a licensed facility as defined in the ID/DD Community Care Act, the MC/DD Act, or the Specialized Mental Health Rehabilitation Act of 2013.
(31) Beginning on August 2, 2001 (the effective date of Public Act 92-227),
computers and communications equipment
utilized for any hospital purpose and equipment used in the diagnosis,
analysis, or treatment of hospital patients purchased by a lessor who leases
the equipment, under a lease of one year or longer executed or in effect at the
time the lessor would otherwise be subject to the tax imposed by this Act, to a
hospital that has been issued an active tax exemption identification number by
the Department under Section 1g of the Retailers' Occupation Tax Act. If the
equipment is leased in a manner that does not qualify for this exemption or is
used in any other nonexempt manner, the lessor shall be liable for the tax
imposed under this Act or the Service Use Tax Act, as the case may be, based on
the fair market value of the property at the time the nonqualifying use
occurs. No lessor shall collect or attempt to collect an amount (however
designated) that purports to reimburse that lessor for the tax imposed by this
Act or the Service Use Tax Act, as the case may be, if the tax has not been
paid by the lessor. If a lessor improperly collects any such amount from the
lessee, the lessee shall have a legal right to claim a refund of that amount
from the lessor. If, however, that amount is not refunded to the lessee for
any reason, the lessor is liable to pay that amount to the Department.
This paragraph is exempt from the provisions of Section 3-90.
(32) Beginning on August 2, 2001 (the effective date of Public Act 92-227),
personal property purchased by a lessor who leases the property,
under a lease of one year or longer executed or in effect at the time the
lessor would otherwise be subject to the tax imposed by this Act, to a
governmental body that has been issued an active sales tax exemption
identification number by the Department under Section 1g of the Retailers'
Occupation Tax Act. If the property is leased in a manner that does not
qualify for this exemption or used in any other nonexempt manner, the lessor
shall be liable for the tax imposed under this Act or the Service Use Tax Act,
as the case may be, based on the fair market value of the property at the time
the nonqualifying use occurs. No lessor shall collect or attempt to collect
an amount (however designated) that purports to reimburse that lessor for the
tax imposed by this Act or the Service Use Tax Act, as the case may be, if the
tax has not been paid by the lessor. If a lessor improperly collects any such
amount from the lessee, the lessee shall have a legal right to claim a refund
of that amount from the lessor. If, however, that amount is not refunded to
the lessee for any reason, the lessor is liable to pay that amount to the
Department. This paragraph is exempt from the provisions of Section 3-90.
(33) On and after July 1, 2003 and through June 30, 2004, the use in this State of motor vehicles of
the second division with a gross vehicle weight in excess of 8,000 pounds and
that are subject to the commercial distribution fee imposed under Section
3-815.1 of the Illinois Vehicle Code. Beginning on July 1, 2004 and through June 30, 2005, the use in this State of motor vehicles of the second division: (i) with a gross vehicle weight rating in excess of 8,000 pounds; (ii) that are subject to the commercial distribution fee imposed under Section 3-815.1 of the Illinois Vehicle Code; and (iii) that are primarily used for commercial purposes. Through June 30, 2005, this exemption applies to repair and
replacement parts added after the initial purchase of such a motor vehicle if
that motor
vehicle is used in a manner that would qualify for the rolling stock exemption
otherwise provided for in this Act. For purposes of this paragraph, the term "used for commercial purposes" means the transportation of persons or property in furtherance of any commercial or industrial enterprise, whether for-hire or not.
(34) Beginning January 1, 2008, tangible personal property used in the construction or maintenance of a community water supply, as defined under Section 3.145 of the Environmental Protection Act, that is operated by a not-for-profit corporation that holds a valid water supply permit issued under Title IV of the Environmental Protection Act. This paragraph is exempt from the provisions of Section 3-90. (35) Beginning January 1, 2010 and continuing through December 31, 2029, materials, parts, equipment, components, and furnishings incorporated into or upon an aircraft as part of the modification, refurbishment, completion, replacement, repair, or maintenance of the aircraft. This exemption includes consumable supplies used in the modification, refurbishment, completion, replacement, repair, and maintenance of aircraft. However, until January 1, 2024, this exemption excludes any materials, parts, equipment, components, and consumable supplies used in the modification, replacement, repair, and maintenance of aircraft engines or power plants, whether such engines or power plants are installed or uninstalled upon any such aircraft. "Consumable supplies" include, but are not limited to, adhesive, tape, sandpaper, general purpose lubricants, cleaning solution, latex gloves, and protective films. Beginning January 1, 2010 and continuing through December 31, 2023, this exemption applies only to the use of qualifying tangible personal property by persons who modify, refurbish, complete, repair, replace, or maintain aircraft and who (i) hold an Air Agency Certificate and are empowered to operate an approved repair station by the Federal Aviation Administration, (ii) have a Class IV Rating, and (iii) conduct operations in accordance with Part 145 of the Federal Aviation Regulations. From January 1, 2024 through December 31, 2029, this exemption applies only to the use of qualifying tangible personal property by: (A) persons who modify, refurbish, complete, repair, replace, or maintain aircraft and who (i) hold an Air Agency Certificate and are empowered to operate an approved repair station by the Federal Aviation Administration, (ii) have a Class IV Rating, and (iii) conduct operations in accordance with Part 145 of the Federal Aviation Regulations; and (B) persons who engage in the modification, replacement, repair, and maintenance of aircraft engines or power plants without regard to whether or not those persons meet the qualifications of item (A). The exemption does not include aircraft operated by a commercial air carrier providing scheduled passenger air service pursuant to authority issued under Part 121 or Part 129 of the Federal Aviation Regulations. The changes made to this paragraph (35) by Public Act 98-534 are declarative of existing law. It is the intent of the General Assembly that the exemption under this paragraph (35) applies continuously from January 1, 2010 through December 31, 2024; however, no claim for credit or refund is allowed for taxes paid as a result of the disallowance of this exemption on or after January 1, 2015 and prior to February 5, 2020 (the effective date of Public Act 101-629). (36) Tangible personal property purchased by a public-facilities corporation, as described in Section 11-65-10 of the Illinois Municipal Code, for purposes of constructing or furnishing a municipal convention hall, but only if the legal title to the municipal convention hall is transferred to the municipality without any further consideration by or on behalf of the municipality at the time of the completion of the municipal convention hall or upon the retirement or redemption of any bonds or other debt instruments issued by the public-facilities corporation in connection with the development of the municipal convention hall. This exemption includes existing public-facilities corporations as provided in Section 11-65-25 of the Illinois Municipal Code. This paragraph is exempt from the provisions of Section 3-90. (37) Beginning January 1, 2017 and through December 31, 2026, menstrual pads, tampons, and menstrual cups. (38) Merchandise that is subject to the Rental Purchase Agreement Occupation and Use Tax. The purchaser must certify that the item is purchased to be rented subject to a rental purchase agreement, as defined in the Rental Purchase Agreement Act, and provide proof of registration under the Rental Purchase Agreement Occupation and Use Tax Act. This paragraph is exempt from the provisions of Section 3-90. (39) Tangible personal property purchased by a purchaser who is exempt from the tax imposed by this Act by operation of federal law. This paragraph is exempt from the provisions of Section 3-90. (40) Qualified tangible personal property used in the construction or operation of a data center that has been granted a certificate of exemption by the Department of Commerce and Economic Opportunity, whether that tangible personal property is purchased by the owner, operator, or tenant of the data center or by a contractor or subcontractor of the owner, operator, or tenant. Data centers that would have qualified for a certificate of exemption prior to January 1, 2020 had Public Act 101-31 been in effect may apply for and obtain an exemption for subsequent purchases of computer equipment or enabling software purchased or leased to upgrade, supplement, or replace computer equipment or enabling software purchased or leased in the original investment that would have qualified. The Department of Commerce and Economic Opportunity shall grant a certificate of exemption under this item (40) to qualified data centers as defined by Section 605-1025 of the Department of Commerce and Economic Opportunity Law of the
Civil Administrative Code of Illinois. For the purposes of this item (40): "Data center" means a building or a series of |
| buildings rehabilitated or constructed to house working servers in one physical location or multiple sites within the State of Illinois.
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"Qualified tangible personal property" means:
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| electrical systems and equipment; climate control and chilling equipment and systems; mechanical systems and equipment; monitoring and secure systems; emergency generators; hardware; computers; servers; data storage devices; network connectivity equipment; racks; cabinets; telecommunications cabling infrastructure; raised floor systems; peripheral components or systems; software; mechanical, electrical, or plumbing systems; battery systems; cooling systems and towers; temperature control systems; other cabling; and other data center infrastructure equipment and systems necessary to operate qualified tangible personal property, including fixtures; and component parts of any of the foregoing, including installation, maintenance, repair, refurbishment, and replacement of qualified tangible personal property to generate, transform, transmit, distribute, or manage electricity necessary to operate qualified tangible personal property; and all other tangible personal property that is essential to the operations of a computer data center. The term "qualified tangible personal property" also includes building materials physically incorporated in to the qualifying data center. To document the exemption allowed under this Section, the retailer must obtain from the purchaser a copy of the certificate of eligibility issued by the Department of Commerce and Economic Opportunity.
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This item (40) is exempt from the provisions of Section 3-90.
(41) Beginning July 1, 2022, breast pumps, breast pump collection and storage supplies, and breast pump kits. This item (41) is exempt from the provisions of Section 3-90. As used in this item (41):
"Breast pump" means an electrically controlled or
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| manually controlled pump device designed or marketed to be used to express milk from a human breast during lactation, including the pump device and any battery, AC adapter, or other power supply unit that is used to power the pump device and is packaged and sold with the pump device at the time of sale.
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"Breast pump collection and storage supplies" means
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| items of tangible personal property designed or marketed to be used in conjunction with a breast pump to collect milk expressed from a human breast and to store collected milk until it is ready for consumption.
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"Breast pump collection and storage supplies"
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| includes, but is not limited to: breast shields and breast shield connectors; breast pump tubes and tubing adapters; breast pump valves and membranes; backflow protectors and backflow protector adaptors; bottles and bottle caps specific to the operation of the breast pump; and breast milk storage bags.
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"Breast pump collection and storage supplies" does
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| not include: (1) bottles and bottle caps not specific to the operation of the breast pump; (2) breast pump travel bags and other similar carrying accessories, including ice packs, labels, and other similar products; (3) breast pump cleaning supplies; (4) nursing bras, bra pads, breast shells, and other similar products; and (5) creams, ointments, and other similar products that relieve breastfeeding-related symptoms or conditions of the breasts or nipples, unless sold as part of a breast pump kit that is pre-packaged by the breast pump manufacturer or distributor.
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"Breast pump kit" means a kit that: (1) contains no
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| more than a breast pump, breast pump collection and storage supplies, a rechargeable battery for operating the breast pump, a breastmilk cooler, bottle stands, ice packs, and a breast pump carrying case; and (2) is pre-packaged as a breast pump kit by the breast pump manufacturer or distributor.
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(42) Tangible personal property sold by or on behalf of the State Treasurer pursuant to the Revised Uniform Unclaimed Property Act. This item (42) is exempt from the provisions of Section 3-90.
(Source: P.A. 102-16, eff. 6-17-21; 102-700, Article 70, Section 70-5, eff. 4-19-22; 102-700, Article 75, Section 75-5, eff. 4-19-22; 102-1026, eff. 5-27-22; 103-9, Article 5, Section 5-5, eff. 6-7-23.)
(Text of Section from P.A. 103-9, Article 15, Section 15-5)
Sec. 3-5. Exemptions. Use of the following tangible personal property is exempt from the tax imposed by this Act:
(1) Personal property purchased from a corporation, society, association,
foundation, institution, or organization, other than a limited liability
company, that is organized and operated as a not-for-profit service enterprise
for the benefit of persons 65 years of age or older if the personal property was not purchased by the enterprise for the purpose of resale by the
enterprise.
(2) Personal property purchased by a not-for-profit Illinois county
fair association for use in conducting, operating, or promoting the
county fair.
(3) Personal property purchased by a not-for-profit
arts or cultural organization that establishes, by proof required by the
Department by
rule, that it has received an exemption under Section 501(c)(3) of the Internal
Revenue Code and that is organized and operated primarily for the
presentation
or support of arts or cultural programming, activities, or services. These
organizations include, but are not limited to, music and dramatic arts
organizations such as symphony orchestras and theatrical groups, arts and
cultural service organizations, local arts councils, visual arts organizations,
and media arts organizations.
On and after July 1, 2001 (the effective date of Public Act 92-35), however, an entity otherwise eligible for this exemption shall not
make tax-free purchases unless it has an active identification number issued by
the Department.
(4) Personal property purchased by a governmental body, by a
corporation, society, association, foundation, or institution organized and
operated exclusively for charitable, religious, or educational purposes, or
by a not-for-profit corporation, society, association, foundation,
institution, or organization that has no compensated officers or employees
and that is organized and operated primarily for the recreation of persons
55 years of age or older. A limited liability company may qualify for the
exemption under this paragraph only if the limited liability company is
organized and operated exclusively for educational purposes. On and after July
1, 1987, however, no entity otherwise eligible for this exemption shall make
tax-free purchases unless it has an active exemption identification number
issued by the Department.
(5) Until July 1, 2003, a passenger car that is a replacement vehicle to
the extent that the
purchase price of the car is subject to the Replacement Vehicle Tax.
(6) Until July 1, 2003 and beginning again on September 1, 2004 through August 30, 2014, graphic arts machinery and equipment, including
repair and replacement
parts, both new and used, and including that manufactured on special order,
certified by the purchaser to be used primarily for graphic arts production,
and including machinery and equipment purchased for lease.
Equipment includes chemicals or chemicals acting as catalysts but only if
the
chemicals or chemicals acting as catalysts effect a direct and immediate change
upon a graphic arts product. Beginning on July 1, 2017, graphic arts machinery and equipment is included in the manufacturing and assembling machinery and equipment exemption under paragraph (18).
(7) Farm chemicals.
(8) Legal tender, currency, medallions, or gold or silver coinage issued by
the State of Illinois, the government of the United States of America, or the
government of any foreign country, and bullion.
(9) Personal property purchased from a teacher-sponsored student
organization affiliated with an elementary or secondary school located in
Illinois.
(10) A motor vehicle that is used for automobile renting, as defined in the
Automobile Renting Occupation and Use Tax Act.
(11) Farm machinery and equipment, both new and used,
including that manufactured on special order, certified by the purchaser
to be used primarily for production agriculture or State or federal
agricultural programs, including individual replacement parts for
the machinery and equipment, including machinery and equipment
purchased
for lease,
and including implements of husbandry defined in Section 1-130 of
the Illinois Vehicle Code, farm machinery and agricultural chemical and
fertilizer spreaders, and nurse wagons required to be registered
under Section 3-809 of the Illinois Vehicle Code,
but excluding other motor
vehicles required to be
registered under the Illinois Vehicle Code.
Horticultural polyhouses or hoop houses used for propagating, growing, or
overwintering plants shall be considered farm machinery and equipment under
this item (11).
Agricultural chemical tender tanks and dry boxes shall include units sold
separately from a motor vehicle required to be licensed and units sold mounted
on a motor vehicle required to be licensed if the selling price of the tender
is separately stated.
Farm machinery and equipment shall include precision farming equipment
that is
installed or purchased to be installed on farm machinery and equipment
including, but not limited to, tractors, harvesters, sprayers, planters,
seeders, or spreaders.
Precision farming equipment includes, but is not limited to, soil testing
sensors, computers, monitors, software, global positioning
and mapping systems, and other such equipment.
Farm machinery and equipment also includes computers, sensors, software, and
related equipment used primarily in the
computer-assisted operation of production agriculture facilities, equipment,
and
activities such as, but not limited to,
the collection, monitoring, and correlation of
animal and crop data for the purpose of
formulating animal diets and agricultural chemicals.
Beginning on January 1, 2024, farm machinery and equipment also includes electrical power generation equipment used primarily for production agriculture.
This item (11) is exempt
from the provisions of
Section 3-90.
(12) Until June 30, 2013, fuel and petroleum products sold to or used by an air common
carrier, certified by the carrier to be used for consumption, shipment, or
storage in the conduct of its business as an air common carrier, for a
flight destined for or returning from a location or locations
outside the United States without regard to previous or subsequent domestic
stopovers.
Beginning July 1, 2013, fuel and petroleum products sold to or used by an air carrier, certified by the carrier to be used for consumption, shipment, or storage in the conduct of its business as an air common carrier, for a flight that (i) is engaged in foreign trade or is engaged in trade between the United States and any of its possessions and (ii) transports at least one individual or package for hire from the city of origination to the city of final destination on the same aircraft, without regard to a change in the flight number of that aircraft.
(13) Proceeds of mandatory service charges separately
stated on customers' bills for the purchase and consumption of food and
beverages purchased at retail from a retailer, to the extent that the proceeds
of the service charge are in fact turned over as tips or as a substitute
for tips to the employees who participate directly in preparing, serving,
hosting or cleaning up the food or beverage function with respect to which
the service charge is imposed.
(14) Until July 1, 2003, oil field exploration, drilling, and production
equipment,
including (i) rigs and parts of rigs, rotary
rigs, cable tool rigs, and workover rigs, (ii) pipe and tubular goods,
including casing and drill strings, (iii) pumps and pump-jack units, (iv)
storage tanks and flow lines, (v) any individual replacement part for oil
field exploration, drilling, and production equipment, and (vi) machinery and
equipment purchased
for lease; but excluding motor vehicles required to be registered under the
Illinois Vehicle Code.
(15) Photoprocessing machinery and equipment, including repair and
replacement parts, both new and used, including that
manufactured on special order, certified by the purchaser to be used
primarily for photoprocessing, and including
photoprocessing machinery and equipment purchased for lease.
(16) Until July 1, 2028, coal and aggregate exploration, mining, off-highway hauling,
processing, maintenance, and reclamation equipment,
including replacement parts and equipment, and
including equipment purchased for lease, but excluding motor
vehicles required to be registered under the Illinois Vehicle Code. The changes made to this Section by Public Act 97-767 apply on and after July 1, 2003, but no claim for credit or refund is allowed on or after August 16, 2013 (the effective date of Public Act 98-456)
for such taxes paid during the period beginning July 1, 2003 and ending on August 16, 2013 (the effective date of Public Act 98-456).
(17) Until July 1, 2003, distillation machinery and equipment, sold as a
unit or kit,
assembled or installed by the retailer, certified by the user to be used
only for the production of ethyl alcohol that will be used for consumption
as motor fuel or as a component of motor fuel for the personal use of the
user, and not subject to sale or resale.
(18) Manufacturing and assembling machinery and equipment used
primarily in the process of manufacturing or assembling tangible
personal property for wholesale or retail sale or lease, whether that sale
or lease is made directly by the manufacturer or by some other person,
whether the materials used in the process are
owned by the manufacturer or some other person, or whether that sale or
lease is made apart from or as an incident to the seller's engaging in
the service occupation of producing machines, tools, dies, jigs,
patterns, gauges, or other similar items of no commercial value on
special order for a particular purchaser. The exemption provided by this paragraph (18) includes production related tangible personal property, as defined in Section 3-50, purchased on or after July 1, 2019. The exemption provided by this paragraph (18) does not include machinery and equipment used in (i) the generation of electricity for wholesale or retail sale; (ii) the generation or treatment of natural or artificial gas for wholesale or retail sale that is delivered to customers through pipes, pipelines, or mains; or (iii) the treatment of water for wholesale or retail sale that is delivered to customers through pipes, pipelines, or mains. The provisions of Public Act 98-583 are declaratory of existing law as to the meaning and scope of this exemption. Beginning on July 1, 2017, the exemption provided by this paragraph (18) includes, but is not limited to, graphic arts machinery and equipment, as defined in paragraph (6) of this Section.
(19) Personal property delivered to a purchaser or purchaser's donee
inside Illinois when the purchase order for that personal property was
received by a florist located outside Illinois who has a florist located
inside Illinois deliver the personal property.
(20) Semen used for artificial insemination of livestock for direct
agricultural production.
(21) Horses, or interests in horses, registered with and meeting the
requirements of any of the
Arabian Horse Club Registry of America, Appaloosa Horse Club, American Quarter
Horse Association, United States
Trotting Association, or Jockey Club, as appropriate, used for
purposes of breeding or racing for prizes. This item (21) is exempt from the provisions of Section 3-90, and the exemption provided for under this item (21) applies for all periods beginning May 30, 1995, but no claim for credit or refund is allowed on or after January 1, 2008
for such taxes paid during the period beginning May 30, 2000 and ending on January 1, 2008.
(22) Computers and communications equipment utilized for any
hospital
purpose
and equipment used in the diagnosis,
analysis, or treatment of hospital patients purchased by a lessor who leases
the
equipment, under a lease of one year or longer executed or in effect at the
time the lessor would otherwise be subject to the tax imposed by this Act, to a
hospital
that has been issued an active tax exemption identification number by
the
Department under Section 1g of the Retailers' Occupation Tax Act. If the
equipment is leased in a manner that does not qualify for
this exemption or is used in any other non-exempt manner, the lessor
shall be liable for the
tax imposed under this Act or the Service Use Tax Act, as the case may
be, based on the fair market value of the property at the time the
non-qualifying use occurs. No lessor shall collect or attempt to collect an
amount (however
designated) that purports to reimburse that lessor for the tax imposed by this
Act or the Service Use Tax Act, as the case may be, if the tax has not been
paid by the lessor. If a lessor improperly collects any such amount from the
lessee, the lessee shall have a legal right to claim a refund of that amount
from the lessor. If, however, that amount is not refunded to the lessee for
any reason, the lessor is liable to pay that amount to the Department.
(23) Personal property purchased by a lessor who leases the
property, under
a
lease of
one year or longer executed or in effect at the time
the lessor would otherwise be subject to the tax imposed by this Act,
to a governmental body
that has been issued an active sales tax exemption identification number by the
Department under Section 1g of the Retailers' Occupation Tax Act.
If the
property is leased in a manner that does not qualify for
this exemption
or used in any other non-exempt manner, the lessor shall be liable for the
tax imposed under this Act or the Service Use Tax Act, as the case may
be, based on the fair market value of the property at the time the
non-qualifying use occurs. No lessor shall collect or attempt to collect an
amount (however
designated) that purports to reimburse that lessor for the tax imposed by this
Act or the Service Use Tax Act, as the case may be, if the tax has not been
paid by the lessor. If a lessor improperly collects any such amount from the
lessee, the lessee shall have a legal right to claim a refund of that amount
from the lessor. If, however, that amount is not refunded to the lessee for
any reason, the lessor is liable to pay that amount to the Department.
(24) Beginning with taxable years ending on or after December
31, 1995
and
ending with taxable years ending on or before December 31, 2004,
personal property that is
donated for disaster relief to be used in a State or federally declared
disaster area in Illinois or bordering Illinois by a manufacturer or retailer
that is registered in this State to a corporation, society, association,
foundation, or institution that has been issued a sales tax exemption
identification number by the Department that assists victims of the disaster
who reside within the declared disaster area.
(25) Beginning with taxable years ending on or after December
31, 1995 and
ending with taxable years ending on or before December 31, 2004, personal
property that is used in the performance of infrastructure repairs in this
State, including but not limited to municipal roads and streets, access roads,
bridges, sidewalks, waste disposal systems, water and sewer line extensions,
water distribution and purification facilities, storm water drainage and
retention facilities, and sewage treatment facilities, resulting from a State
or federally declared disaster in Illinois or bordering Illinois when such
repairs are initiated on facilities located in the declared disaster area
within 6 months after the disaster.
(26) Beginning July 1, 1999, game or game birds purchased at a "game
breeding
and hunting preserve area" as that term is
used in
the Wildlife Code. This paragraph is exempt from the provisions
of
Section 3-90.
(27) A motor vehicle, as that term is defined in Section 1-146
of the
Illinois
Vehicle Code, that is donated to a corporation, limited liability company,
society, association, foundation, or institution that is determined by the
Department to be organized and operated exclusively for educational purposes.
For purposes of this exemption, "a corporation, limited liability company,
society, association, foundation, or institution organized and operated
exclusively for educational purposes" means all tax-supported public schools,
private schools that offer systematic instruction in useful branches of
learning by methods common to public schools and that compare favorably in
their scope and intensity with the course of study presented in tax-supported
schools, and vocational or technical schools or institutes organized and
operated exclusively to provide a course of study of not less than 6 weeks
duration and designed to prepare individuals to follow a trade or to pursue a
manual, technical, mechanical, industrial, business, or commercial
occupation.
(28) Beginning January 1, 2000, personal property, including
food,
purchased through fundraising
events for the benefit of
a public or private elementary or
secondary school, a group of those schools, or one or more school
districts if the events are
sponsored by an entity recognized by the school district that consists
primarily of volunteers and includes
parents and teachers of the school children. This paragraph does not apply
to fundraising
events (i) for the benefit of private home instruction or (ii)
for which the fundraising entity purchases the personal property sold at
the events from another individual or entity that sold the property for the
purpose of resale by the fundraising entity and that
profits from the sale to the
fundraising entity. This paragraph is exempt
from the provisions
of Section 3-90.
(29) Beginning January 1, 2000 and through December 31, 2001, new or
used automatic vending
machines that prepare and serve hot food and beverages, including coffee, soup,
and
other items, and replacement parts for these machines.
Beginning January 1,
2002 and through June 30, 2003, machines and parts for machines used in
commercial, coin-operated amusement and vending business if a use or occupation
tax is paid on the gross receipts derived from the use of the commercial,
coin-operated amusement and vending machines.
This
paragraph
is exempt from the provisions of Section 3-90.
(30) Beginning January 1, 2001 and through June 30, 2016, food for human consumption that is to be consumed off the premises
where it is sold (other than alcoholic beverages, soft drinks, and food that
has been prepared for immediate consumption) and prescription and
nonprescription medicines, drugs, medical appliances, and insulin, urine
testing materials, syringes, and needles used by diabetics, for human use, when
purchased for use by a person receiving medical assistance under Article V of
the Illinois Public Aid Code who resides in a licensed long-term care facility,
as defined in the Nursing Home Care Act, or in a licensed facility as defined in the ID/DD Community Care Act, the MC/DD Act, or the Specialized Mental Health Rehabilitation Act of 2013.
(31) Beginning on August 2, 2001 (the effective date of Public Act 92-227),
computers and communications equipment
utilized for any hospital purpose and equipment used in the diagnosis,
analysis, or treatment of hospital patients purchased by a lessor who leases
the equipment, under a lease of one year or longer executed or in effect at the
time the lessor would otherwise be subject to the tax imposed by this Act, to a
hospital that has been issued an active tax exemption identification number by
the Department under Section 1g of the Retailers' Occupation Tax Act. If the
equipment is leased in a manner that does not qualify for this exemption or is
used in any other nonexempt manner, the lessor shall be liable for the tax
imposed under this Act or the Service Use Tax Act, as the case may be, based on
the fair market value of the property at the time the nonqualifying use
occurs. No lessor shall collect or attempt to collect an amount (however
designated) that purports to reimburse that lessor for the tax imposed by this
Act or the Service Use Tax Act, as the case may be, if the tax has not been
paid by the lessor. If a lessor improperly collects any such amount from the
lessee, the lessee shall have a legal right to claim a refund of that amount
from the lessor. If, however, that amount is not refunded to the lessee for
any reason, the lessor is liable to pay that amount to the Department.
This paragraph is exempt from the provisions of Section 3-90.
(32) Beginning on August 2, 2001 (the effective date of Public Act 92-227),
personal property purchased by a lessor who leases the property,
under a lease of one year or longer executed or in effect at the time the
lessor would otherwise be subject to the tax imposed by this Act, to a
governmental body that has been issued an active sales tax exemption
identification number by the Department under Section 1g of the Retailers'
Occupation Tax Act. If the property is leased in a manner that does not
qualify for this exemption or used in any other nonexempt manner, the lessor
shall be liable for the tax imposed under this Act or the Service Use Tax Act,
as the case may be, based on the fair market value of the property at the time
the nonqualifying use occurs. No lessor shall collect or attempt to collect
an amount (however designated) that purports to reimburse that lessor for the
tax imposed by this Act or the Service Use Tax Act, as the case may be, if the
tax has not been paid by the lessor. If a lessor improperly collects any such
amount from the lessee, the lessee shall have a legal right to claim a refund
of that amount from the lessor. If, however, that amount is not refunded to
the lessee for any reason, the lessor is liable to pay that amount to the
Department. This paragraph is exempt from the provisions of Section 3-90.
(33) On and after July 1, 2003 and through June 30, 2004, the use in this State of motor vehicles of
the second division with a gross vehicle weight in excess of 8,000 pounds and
that are subject to the commercial distribution fee imposed under Section
3-815.1 of the Illinois Vehicle Code. Beginning on July 1, 2004 and through June 30, 2005, the use in this State of motor vehicles of the second division: (i) with a gross vehicle weight rating in excess of 8,000 pounds; (ii) that are subject to the commercial distribution fee imposed under Section 3-815.1 of the Illinois Vehicle Code; and (iii) that are primarily used for commercial purposes. Through June 30, 2005, this exemption applies to repair and
replacement parts added after the initial purchase of such a motor vehicle if
that motor
vehicle is used in a manner that would qualify for the rolling stock exemption
otherwise provided for in this Act. For purposes of this paragraph, the term "used for commercial purposes" means the transportation of persons or property in furtherance of any commercial or industrial enterprise, whether for-hire or not.
(34) Beginning January 1, 2008, tangible personal property used in the construction or maintenance of a community water supply, as defined under Section 3.145 of the Environmental Protection Act, that is operated by a not-for-profit corporation that holds a valid water supply permit issued under Title IV of the Environmental Protection Act. This paragraph is exempt from the provisions of Section 3-90.
(35) Beginning January 1, 2010 and continuing through December 31, 2024, materials, parts, equipment, components, and furnishings incorporated into or upon an aircraft as part of the modification, refurbishment, completion, replacement, repair, or maintenance of the aircraft. This exemption includes consumable supplies used in the modification, refurbishment, completion, replacement, repair, and maintenance of aircraft, but excludes any materials, parts, equipment, components, and consumable supplies used in the modification, replacement, repair, and maintenance of aircraft engines or power plants, whether such engines or power plants are installed or uninstalled upon any such aircraft. "Consumable supplies" include, but are not limited to, adhesive, tape, sandpaper, general purpose lubricants, cleaning solution, latex gloves, and protective films. This exemption applies only to the use of qualifying tangible personal property by persons who modify, refurbish, complete, repair, replace, or maintain aircraft and who (i) hold an Air Agency Certificate and are empowered to operate an approved repair station by the Federal Aviation Administration, (ii) have a Class IV Rating, and (iii) conduct operations in accordance with Part 145 of the Federal Aviation Regulations. The exemption does not include aircraft operated by a commercial air carrier providing scheduled passenger air service pursuant to authority issued under Part 121 or Part 129 of the Federal Aviation Regulations. The changes made to this paragraph (35) by Public Act 98-534 are declarative of existing law. It is the intent of the General Assembly that the exemption under this paragraph (35) applies continuously from January 1, 2010 through December 31, 2024; however, no claim for credit or refund is allowed for taxes paid as a result of the disallowance of this exemption on or after January 1, 2015 and prior to February 5, 2020 (the effective date of Public Act 101-629).
(36) Tangible personal property purchased by a public-facilities corporation, as described in Section 11-65-10 of the Illinois Municipal Code, for purposes of constructing or furnishing a municipal convention hall, but only if the legal title to the municipal convention hall is transferred to the municipality without any further consideration by or on behalf of the municipality at the time of the completion of the municipal convention hall or upon the retirement or redemption of any bonds or other debt instruments issued by the public-facilities corporation in connection with the development of the municipal convention hall. This exemption includes existing public-facilities corporations as provided in Section 11-65-25 of the Illinois Municipal Code. This paragraph is exempt from the provisions of Section 3-90.
(37) Beginning January 1, 2017 and through December 31, 2026, menstrual pads, tampons, and menstrual cups.
(38) Merchandise that is subject to the Rental Purchase Agreement Occupation and Use Tax. The purchaser must certify that the item is purchased to be rented subject to a rental purchase agreement, as defined in the Rental Purchase Agreement Act, and provide proof of registration under the Rental Purchase Agreement Occupation and Use Tax Act. This paragraph is exempt from the provisions of Section 3-90.
(39) Tangible personal property purchased by a purchaser who is exempt from the tax imposed by this Act by operation of federal law. This paragraph is exempt from the provisions of Section 3-90.
(40) Qualified tangible personal property used in the construction or operation of a data center that has been granted a certificate of exemption by the Department of Commerce and Economic Opportunity, whether that tangible personal property is purchased by the owner, operator, or tenant of the data center or by a contractor or subcontractor of the owner, operator, or tenant. Data centers that would have qualified for a certificate of exemption prior to January 1, 2020 had Public Act 101-31 been in effect may apply for and obtain an exemption for subsequent purchases of computer equipment or enabling software purchased or leased to upgrade, supplement, or replace computer equipment or enabling software purchased or leased in the original investment that would have qualified.
The Department of Commerce and Economic Opportunity shall grant a certificate of exemption under this item (40) to qualified data centers as defined by Section 605-1025 of the Department of Commerce and Economic Opportunity Law of the
Civil Administrative Code of Illinois.
For the purposes of this item (40):
"Data center" means a building or a series of
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| buildings rehabilitated or constructed to house working servers in one physical location or multiple sites within the State of Illinois.
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"Qualified tangible personal property" means:
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| electrical systems and equipment; climate control and chilling equipment and systems; mechanical systems and equipment; monitoring and secure systems; emergency generators; hardware; computers; servers; data storage devices; network connectivity equipment; racks; cabinets; telecommunications cabling infrastructure; raised floor systems; peripheral components or systems; software; mechanical, electrical, or plumbing systems; battery systems; cooling systems and towers; temperature control systems; other cabling; and other data center infrastructure equipment and systems necessary to operate qualified tangible personal property, including fixtures; and component parts of any of the foregoing, including installation, maintenance, repair, refurbishment, and replacement of qualified tangible personal property to generate, transform, transmit, distribute, or manage electricity necessary to operate qualified tangible personal property; and all other tangible personal property that is essential to the operations of a computer data center. The term "qualified tangible personal property" also includes building materials physically incorporated in to the qualifying data center. To document the exemption allowed under this Section, the retailer must obtain from the purchaser a copy of the certificate of eligibility issued by the Department of Commerce and Economic Opportunity.
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This item (40) is exempt from the provisions of Section 3-90.
(41) Beginning July 1, 2022, breast pumps, breast pump collection and storage supplies, and breast pump kits. This item (41) is exempt from the provisions of Section 3-90. As used in this item (41):
"Breast pump" means an electrically controlled or
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| manually controlled pump device designed or marketed to be used to express milk from a human breast during lactation, including the pump device and any battery, AC adapter, or other power supply unit that is used to power the pump device and is packaged and sold with the pump device at the time of sale.
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"Breast pump collection and storage supplies" means
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| items of tangible personal property designed or marketed to be used in conjunction with a breast pump to collect milk expressed from a human breast and to store collected milk until it is ready for consumption.
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"Breast pump collection and storage supplies"
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| includes, but is not limited to: breast shields and breast shield connectors; breast pump tubes and tubing adapters; breast pump valves and membranes; backflow protectors and backflow protector adaptors; bottles and bottle caps specific to the operation of the breast pump; and breast milk storage bags.
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"Breast pump collection and storage supplies" does
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| not include: (1) bottles and bottle caps not specific to the operation of the breast pump; (2) breast pump travel bags and other similar carrying accessories, including ice packs, labels, and other similar products; (3) breast pump cleaning supplies; (4) nursing bras, bra pads, breast shells, and other similar products; and (5) creams, ointments, and other similar products that relieve breastfeeding-related symptoms or conditions of the breasts or nipples, unless sold as part of a breast pump kit that is pre-packaged by the breast pump manufacturer or distributor.
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"Breast pump kit" means a kit that: (1) contains no
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| more than a breast pump, breast pump collection and storage supplies, a rechargeable battery for operating the breast pump, a breastmilk cooler, bottle stands, ice packs, and a breast pump carrying case; and (2) is pre-packaged as a breast pump kit by the breast pump manufacturer or distributor.
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(42) Tangible personal property sold by or on behalf of the State Treasurer pursuant to the Revised Uniform Unclaimed Property Act. This item (42) is exempt from the provisions of Section 3-90.
(Source: P.A. 102-16, eff. 6-17-21; 102-700, Article 70, Section 70-5, eff. 4-19-22; 102-700, Article 75, Section 75-5, eff. 4-19-22; 102-1026, eff. 5-27-22; 103-9, Article 15, Section 15-5, eff. 6-7-23.)
(Text of Section from P.A. 103-154)
Sec. 3-5. Exemptions. Use of the following tangible personal property is exempt from the tax imposed by this Act:
(1) Personal property purchased from a corporation, society, association,
foundation, institution, or organization, other than a limited liability
company, that is organized and operated as a not-for-profit service enterprise
for the benefit of persons 65 years of age or older if the personal property was not purchased by the enterprise for the purpose of resale by the
enterprise.
(2) Personal property purchased by a not-for-profit Illinois county
fair association for use in conducting, operating, or promoting the
county fair.
(3) Personal property purchased by a not-for-profit
arts or cultural organization that establishes, by proof required by the
Department by
rule, that it has received an exemption under Section 501(c)(3) of the Internal
Revenue Code and that is organized and operated primarily for the
presentation
or support of arts or cultural programming, activities, or services. These
organizations include, but are not limited to, music and dramatic arts
organizations such as symphony orchestras and theatrical groups, arts and
cultural service organizations, local arts councils, visual arts organizations,
and media arts organizations.
On and after July 1, 2001 (the effective date of Public Act 92-35), however, an entity otherwise eligible for this exemption shall not
make tax-free purchases unless it has an active identification number issued by
the Department.
(4) Personal property purchased by a governmental body, by a
corporation, society, association, foundation, or institution organized and
operated exclusively for charitable, religious, or educational purposes, or
by a not-for-profit corporation, society, association, foundation,
institution, or organization that has no compensated officers or employees
and that is organized and operated primarily for the recreation of persons
55 years of age or older. A limited liability company may qualify for the
exemption under this paragraph only if the limited liability company is
organized and operated exclusively for educational purposes. On and after July
1, 1987, however, no entity otherwise eligible for this exemption shall make
tax-free purchases unless it has an active exemption identification number
issued by the Department.
(5) Until July 1, 2003, a passenger car that is a replacement vehicle to
the extent that the
purchase price of the car is subject to the Replacement Vehicle Tax.
(6) Until July 1, 2003 and beginning again on September 1, 2004 through August 30, 2014, graphic arts machinery and equipment, including
repair and replacement
parts, both new and used, and including that manufactured on special order,
certified by the purchaser to be used primarily for graphic arts production,
and including machinery and equipment purchased for lease.
Equipment includes chemicals or chemicals acting as catalysts but only if
the
chemicals or chemicals acting as catalysts effect a direct and immediate change
upon a graphic arts product. Beginning on July 1, 2017, graphic arts machinery and equipment is included in the manufacturing and assembling machinery and equipment exemption under paragraph (18).
(7) Farm chemicals.
(8) Legal tender, currency, medallions, or gold or silver coinage issued by
the State of Illinois, the government of the United States of America, or the
government of any foreign country, and bullion.
(9) Personal property purchased from a teacher-sponsored student
organization affiliated with an elementary or secondary school located in
Illinois.
(10) A motor vehicle that is used for automobile renting, as defined in the
Automobile Renting Occupation and Use Tax Act.
(11) Farm machinery and equipment, both new and used,
including that manufactured on special order, certified by the purchaser
to be used primarily for production agriculture or State or federal
agricultural programs, including individual replacement parts for
the machinery and equipment, including machinery and equipment
purchased
for lease,
and including implements of husbandry defined in Section 1-130 of
the Illinois Vehicle Code, farm machinery and agricultural chemical and
fertilizer spreaders, and nurse wagons required to be registered
under Section 3-809 of the Illinois Vehicle Code,
but excluding other motor
vehicles required to be
registered under the Illinois Vehicle Code.
Horticultural polyhouses or hoop houses used for propagating, growing, or
overwintering plants shall be considered farm machinery and equipment under
this item (11).
Agricultural chemical tender tanks and dry boxes shall include units sold
separately from a motor vehicle required to be licensed and units sold mounted
on a motor vehicle required to be licensed if the selling price of the tender
is separately stated.
Farm machinery and equipment shall include precision farming equipment
that is
installed or purchased to be installed on farm machinery and equipment
including, but not limited to, tractors, harvesters, sprayers, planters,
seeders, or spreaders.
Precision farming equipment includes, but is not limited to, soil testing
sensors, computers, monitors, software, global positioning
and mapping systems, and other such equipment.
Farm machinery and equipment also includes computers, sensors, software, and
related equipment used primarily in the
computer-assisted operation of production agriculture facilities, equipment,
and
activities such as, but not limited to,
the collection, monitoring, and correlation of
animal and crop data for the purpose of
formulating animal diets and agricultural chemicals. This item (11) is exempt
from the provisions of
Section 3-90.
(12) Until June 30, 2013, fuel and petroleum products sold to or used by an air common
carrier, certified by the carrier to be used for consumption, shipment, or
storage in the conduct of its business as an air common carrier, for a
flight destined for or returning from a location or locations
outside the United States without regard to previous or subsequent domestic
stopovers.
Beginning July 1, 2013, fuel and petroleum products sold to or used by an air carrier, certified by the carrier to be used for consumption, shipment, or storage in the conduct of its business as an air common carrier, for a flight that (i) is engaged in foreign trade or is engaged in trade between the United States and any of its possessions and (ii) transports at least one individual or package for hire from the city of origination to the city of final destination on the same aircraft, without regard to a change in the flight number of that aircraft.
(13) Proceeds of mandatory service charges separately
stated on customers' bills for the purchase and consumption of food and
beverages purchased at retail from a retailer, to the extent that the proceeds
of the service charge are in fact turned over as tips or as a substitute
for tips to the employees who participate directly in preparing, serving,
hosting or cleaning up the food or beverage function with respect to which
the service charge is imposed.
(14) Until July 1, 2003, oil field exploration, drilling, and production
equipment,
including (i) rigs and parts of rigs, rotary
rigs, cable tool rigs, and workover rigs, (ii) pipe and tubular goods,
including casing and drill strings, (iii) pumps and pump-jack units, (iv)
storage tanks and flow lines, (v) any individual replacement part for oil
field exploration, drilling, and production equipment, and (vi) machinery and
equipment purchased
for lease; but excluding motor vehicles required to be registered under the
Illinois Vehicle Code.
(15) Photoprocessing machinery and equipment, including repair and
replacement parts, both new and used, including that
manufactured on special order, certified by the purchaser to be used
primarily for photoprocessing, and including
photoprocessing machinery and equipment purchased for lease.
(16) Until July 1, 2028, coal and aggregate exploration, mining, off-highway hauling,
processing, maintenance, and reclamation equipment,
including replacement parts and equipment, and
including equipment purchased for lease, but excluding motor
vehicles required to be registered under the Illinois Vehicle Code. The changes made to this Section by Public Act 97-767 apply on and after July 1, 2003, but no claim for credit or refund is allowed on or after August 16, 2013 (the effective date of Public Act 98-456)
for such taxes paid during the period beginning July 1, 2003 and ending on August 16, 2013 (the effective date of Public Act 98-456).
(17) Until July 1, 2003, distillation machinery and equipment, sold as a
unit or kit,
assembled or installed by the retailer, certified by the user to be used
only for the production of ethyl alcohol that will be used for consumption
as motor fuel or as a component of motor fuel for the personal use of the
user, and not subject to sale or resale.
(18) Manufacturing and assembling machinery and equipment used
primarily in the process of manufacturing or assembling tangible
personal property for wholesale or retail sale or lease, whether that sale
or lease is made directly by the manufacturer or by some other person,
whether the materials used in the process are
owned by the manufacturer or some other person, or whether that sale or
lease is made apart from or as an incident to the seller's engaging in
the service occupation of producing machines, tools, dies, jigs,
patterns, gauges, or other similar items of no commercial value on
special order for a particular purchaser. The exemption provided by this paragraph (18) includes production related tangible personal property, as defined in Section 3-50, purchased on or after July 1, 2019. The exemption provided by this paragraph (18) does not include machinery and equipment used in (i) the generation of electricity for wholesale or retail sale; (ii) the generation or treatment of natural or artificial gas for wholesale or retail sale that is delivered to customers through pipes, pipelines, or mains; or (iii) the treatment of water for wholesale or retail sale that is delivered to customers through pipes, pipelines, or mains. The provisions of Public Act 98-583 are declaratory of existing law as to the meaning and scope of this exemption. Beginning on July 1, 2017, the exemption provided by this paragraph (18) includes, but is not limited to, graphic arts machinery and equipment, as defined in paragraph (6) of this Section.
(19) Personal property delivered to a purchaser or purchaser's donee
inside Illinois when the purchase order for that personal property was
received by a florist located outside Illinois who has a florist located
inside Illinois deliver the personal property.
(20) Semen used for artificial insemination of livestock for direct
agricultural production.
(21) Horses, or interests in horses, registered with and meeting the
requirements of any of the
Arabian Horse Club Registry of America, Appaloosa Horse Club, American Quarter
Horse Association, United States
Trotting Association, or Jockey Club, as appropriate, used for
purposes of breeding or racing for prizes. This item (21) is exempt from the provisions of Section 3-90, and the exemption provided for under this item (21) applies for all periods beginning May 30, 1995, but no claim for credit or refund is allowed on or after January 1, 2008
for such taxes paid during the period beginning May 30, 2000 and ending on January 1, 2008.
(22) Computers and communications equipment utilized for any
hospital
purpose
and equipment used in the diagnosis,
analysis, or treatment of hospital patients purchased by a lessor who leases
the
equipment, under a lease of one year or longer executed or in effect at the
time the lessor would otherwise be subject to the tax imposed by this Act, to a
hospital
that has been issued an active tax exemption identification number by
the
Department under Section 1g of the Retailers' Occupation Tax Act. If the
equipment is leased in a manner that does not qualify for
this exemption or is used in any other non-exempt manner, the lessor
shall be liable for the
tax imposed under this Act or the Service Use Tax Act, as the case may
be, based on the fair market value of the property at the time the
non-qualifying use occurs. No lessor shall collect or attempt to collect an
amount (however
designated) that purports to reimburse that lessor for the tax imposed by this
Act or the Service Use Tax Act, as the case may be, if the tax has not been
paid by the lessor. If a lessor improperly collects any such amount from the
lessee, the lessee shall have a legal right to claim a refund of that amount
from the lessor. If, however, that amount is not refunded to the lessee for
any reason, the lessor is liable to pay that amount to the Department.
(23) Personal property purchased by a lessor who leases the
property, under
a
lease of
one year or longer executed or in effect at the time
the lessor would otherwise be subject to the tax imposed by this Act,
to a governmental body
that has been issued an active sales tax exemption identification number by the
Department under Section 1g of the Retailers' Occupation Tax Act.
If the
property is leased in a manner that does not qualify for
this exemption
or used in any other non-exempt manner, the lessor shall be liable for the
tax imposed under this Act or the Service Use Tax Act, as the case may
be, based on the fair market value of the property at the time the
non-qualifying use occurs. No lessor shall collect or attempt to collect an
amount (however
designated) that purports to reimburse that lessor for the tax imposed by this
Act or the Service Use Tax Act, as the case may be, if the tax has not been
paid by the lessor. If a lessor improperly collects any such amount from the
lessee, the lessee shall have a legal right to claim a refund of that amount
from the lessor. If, however, that amount is not refunded to the lessee for
any reason, the lessor is liable to pay that amount to the Department.
(24) Beginning with taxable years ending on or after December
31, 1995
and
ending with taxable years ending on or before December 31, 2004,
personal property that is
donated for disaster relief to be used in a State or federally declared
disaster area in Illinois or bordering Illinois by a manufacturer or retailer
that is registered in this State to a corporation, society, association,
foundation, or institution that has been issued a sales tax exemption
identification number by the Department that assists victims of the disaster
who reside within the declared disaster area.
(25) Beginning with taxable years ending on or after December
31, 1995 and
ending with taxable years ending on or before December 31, 2004, personal
property that is used in the performance of infrastructure repairs in this
State, including but not limited to municipal roads and streets, access roads,
bridges, sidewalks, waste disposal systems, water and sewer line extensions,
water distribution and purification facilities, storm water drainage and
retention facilities, and sewage treatment facilities, resulting from a State
or federally declared disaster in Illinois or bordering Illinois when such
repairs are initiated on facilities located in the declared disaster area
within 6 months after the disaster.
(26) Beginning July 1, 1999, game or game birds purchased at a "game
breeding
and hunting preserve area" as that term is
used in
the Wildlife Code. This paragraph is exempt from the provisions
of
Section 3-90.
(27) A motor vehicle, as that term is defined in Section 1-146
of the
Illinois
Vehicle Code, that is donated to a corporation, limited liability company,
society, association, foundation, or institution that is determined by the
Department to be organized and operated exclusively for educational purposes.
For purposes of this exemption, "a corporation, limited liability company,
society, association, foundation, or institution organized and operated
exclusively for educational purposes" means all tax-supported public schools,
private schools that offer systematic instruction in useful branches of
learning by methods common to public schools and that compare favorably in
their scope and intensity with the course of study presented in tax-supported
schools, and vocational or technical schools or institutes organized and
operated exclusively to provide a course of study of not less than 6 weeks
duration and designed to prepare individuals to follow a trade or to pursue a
manual, technical, mechanical, industrial, business, or commercial
occupation.
(28) Beginning January 1, 2000, personal property, including
food,
purchased through fundraising
events for the benefit of
a public or private elementary or
secondary school, a group of those schools, or one or more school
districts if the events are
sponsored by an entity recognized by the school district that consists
primarily of volunteers and includes
parents and teachers of the school children. This paragraph does not apply
to fundraising
events (i) for the benefit of private home instruction or (ii)
for which the fundraising entity purchases the personal property sold at
the events from another individual or entity that sold the property for the
purpose of resale by the fundraising entity and that
profits from the sale to the
fundraising entity. This paragraph is exempt
from the provisions
of Section 3-90.
(29) Beginning January 1, 2000 and through December 31, 2001, new or
used automatic vending
machines that prepare and serve hot food and beverages, including coffee, soup,
and
other items, and replacement parts for these machines.
Beginning January 1,
2002 and through June 30, 2003, machines and parts for machines used in
commercial, coin-operated amusement and vending business if a use or occupation
tax is paid on the gross receipts derived from the use of the commercial,
coin-operated amusement and vending machines.
This
paragraph
is exempt from the provisions of Section 3-90.
(30) Beginning January 1, 2001 and through June 30, 2016, food for human consumption that is to be consumed off the premises
where it is sold (other than alcoholic beverages, soft drinks, and food that
has been prepared for immediate consumption) and prescription and
nonprescription medicines, drugs, medical appliances, and insulin, urine
testing materials, syringes, and needles used by diabetics, for human use, when
purchased for use by a person receiving medical assistance under Article V of
the Illinois Public Aid Code who resides in a licensed long-term care facility,
as defined in the Nursing Home Care Act, or in a licensed facility as defined in the ID/DD Community Care Act, the MC/DD Act, or the Specialized Mental Health Rehabilitation Act of 2013.
(31) Beginning on August 2, 2001 (the effective date of Public Act 92-227),
computers and communications equipment
utilized for any hospital purpose and equipment used in the diagnosis,
analysis, or treatment of hospital patients purchased by a lessor who leases
the equipment, under a lease of one year or longer executed or in effect at the
time the lessor would otherwise be subject to the tax imposed by this Act, to a
hospital that has been issued an active tax exemption identification number by
the Department under Section 1g of the Retailers' Occupation Tax Act. If the
equipment is leased in a manner that does not qualify for this exemption or is
used in any other nonexempt manner, the lessor shall be liable for the tax
imposed under this Act or the Service Use Tax Act, as the case may be, based on
the fair market value of the property at the time the nonqualifying use
occurs. No lessor shall collect or attempt to collect an amount (however
designated) that purports to reimburse that lessor for the tax imposed by this
Act or the Service Use Tax Act, as the case may be, if the tax has not been
paid by the lessor. If a lessor improperly collects any such amount from the
lessee, the lessee shall have a legal right to claim a refund of that amount
from the lessor. If, however, that amount is not refunded to the lessee for
any reason, the lessor is liable to pay that amount to the Department.
This paragraph is exempt from the provisions of Section 3-90.
(32) Beginning on August 2, 2001 (the effective date of Public Act 92-227),
personal property purchased by a lessor who leases the property,
under a lease of one year or longer executed or in effect at the time the
lessor would otherwise be subject to the tax imposed by this Act, to a
governmental body that has been issued an active sales tax exemption
identification number by the Department under Section 1g of the Retailers'
Occupation Tax Act. If the property is leased in a manner that does not
qualify for this exemption or used in any other nonexempt manner, the lessor
shall be liable for the tax imposed under this Act or the Service Use Tax Act,
as the case may be, based on the fair market value of the property at the time
the nonqualifying use occurs. No lessor shall collect or attempt to collect
an amount (however designated) that purports to reimburse that lessor for the
tax imposed by this Act or the Service Use Tax Act, as the case may be, if the
tax has not been paid by the lessor. If a lessor improperly collects any such
amount from the lessee, the lessee shall have a legal right to claim a refund
of that amount from the lessor. If, however, that amount is not refunded to
the lessee for any reason, the lessor is liable to pay that amount to the
Department. This paragraph is exempt from the provisions of Section 3-90.
(33) On and after July 1, 2003 and through June 30, 2004, the use in this State of motor vehicles of
the second division with a gross vehicle weight in excess of 8,000 pounds and
that are subject to the commercial distribution fee imposed under Section
3-815.1 of the Illinois Vehicle Code. Beginning on July 1, 2004 and through June 30, 2005, the use in this State of motor vehicles of the second division: (i) with a gross vehicle weight rating in excess of 8,000 pounds; (ii) that are subject to the commercial distribution fee imposed under Section 3-815.1 of the Illinois Vehicle Code; and (iii) that are primarily used for commercial purposes. Through June 30, 2005, this exemption applies to repair and
replacement parts added after the initial purchase of such a motor vehicle if
that motor
vehicle is used in a manner that would qualify for the rolling stock exemption
otherwise provided for in this Act. For purposes of this paragraph, the term "used for commercial purposes" means the transportation of persons or property in furtherance of any commercial or industrial enterprise, whether for-hire or not.
(34) Beginning January 1, 2008, tangible personal property used in the construction or maintenance of a community water supply, as defined under Section 3.145 of the Environmental Protection Act, that is operated by a not-for-profit corporation that holds a valid water supply permit issued under Title IV of the Environmental Protection Act. This paragraph is exempt from the provisions of Section 3-90.
(35) Beginning January 1, 2010 and continuing through December 31, 2024, materials, parts, equipment, components, and furnishings incorporated into or upon an aircraft as part of the modification, refurbishment, completion, replacement, repair, or maintenance of the aircraft. This exemption includes consumable supplies used in the modification, refurbishment, completion, replacement, repair, and maintenance of aircraft, but excludes any materials, parts, equipment, components, and consumable supplies used in the modification, replacement, repair, and maintenance of aircraft engines or power plants, whether such engines or power plants are installed or uninstalled upon any such aircraft. "Consumable supplies" include, but are not limited to, adhesive, tape, sandpaper, general purpose lubricants, cleaning solution, latex gloves, and protective films. This exemption applies only to the use of qualifying tangible personal property by persons who modify, refurbish, complete, repair, replace, or maintain aircraft and who (i) hold an Air Agency Certificate and are empowered to operate an approved repair station by the Federal Aviation Administration, (ii) have a Class IV Rating, and (iii) conduct operations in accordance with Part 145 of the Federal Aviation Regulations. The exemption does not include aircraft operated by a commercial air carrier providing scheduled passenger air service pursuant to authority issued under Part 121 or Part 129 of the Federal Aviation Regulations. The changes made to this paragraph (35) by Public Act 98-534 are declarative of existing law. It is the intent of the General Assembly that the exemption under this paragraph (35) applies continuously from January 1, 2010 through December 31, 2024; however, no claim for credit or refund is allowed for taxes paid as a result of the disallowance of this exemption on or after January 1, 2015 and prior to February 5, 2020 (the effective date of Public Act 101-629).
(36) Tangible personal property purchased by a public-facilities corporation, as described in Section 11-65-10 of the Illinois Municipal Code, for purposes of constructing or furnishing a municipal convention hall, but only if the legal title to the municipal convention hall is transferred to the municipality without any further consideration by or on behalf of the municipality at the time of the completion of the municipal convention hall or upon the retirement or redemption of any bonds or other debt instruments issued by the public-facilities corporation in connection with the development of the municipal convention hall. This exemption includes existing public-facilities corporations as provided in Section 11-65-25 of the Illinois Municipal Code. This paragraph is exempt from the provisions of Section 3-90.
(37) Beginning January 1, 2017 and through December 31, 2026, menstrual pads, tampons, and menstrual cups.
(38) Merchandise that is subject to the Rental Purchase Agreement Occupation and Use Tax. The purchaser must certify that the item is purchased to be rented subject to a rental purchase agreement, as defined in the Rental Purchase Agreement Act, and provide proof of registration under the Rental Purchase Agreement Occupation and Use Tax Act. This paragraph is exempt from the provisions of Section 3-90.
(39) Tangible personal property purchased by a purchaser who is exempt from the tax imposed by this Act by operation of federal law. This paragraph is exempt from the provisions of Section 3-90.
(40) Qualified tangible personal property used in the construction or operation of a data center that has been granted a certificate of exemption by the Department of Commerce and Economic Opportunity, whether that tangible personal property is purchased by the owner, operator, or tenant of the data center or by a contractor or subcontractor of the owner, operator, or tenant. Data centers that would have qualified for a certificate of exemption prior to January 1, 2020 had Public Act 101-31 been in effect may apply for and obtain an exemption for subsequent purchases of computer equipment or enabling software purchased or leased to upgrade, supplement, or replace computer equipment or enabling software purchased or leased in the original investment that would have qualified.
The Department of Commerce and Economic Opportunity shall grant a certificate of exemption under this item (40) to qualified data centers as defined by Section 605-1025 of the Department of Commerce and Economic Opportunity Law of the
Civil Administrative Code of Illinois.
For the purposes of this item (40):
"Data center" means a building or a series of
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| buildings rehabilitated or constructed to house working servers in one physical location or multiple sites within the State of Illinois.
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"Qualified tangible personal property" means:
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| electrical systems and equipment; climate control and chilling equipment and systems; mechanical systems and equipment; monitoring and secure systems; emergency generators; hardware; computers; servers; data storage devices; network connectivity equipment; racks; cabinets; telecommunications cabling infrastructure; raised floor systems; peripheral components or systems; software; mechanical, electrical, or plumbing systems; battery systems; cooling systems and towers; temperature control systems; other cabling; and other data center infrastructure equipment and systems necessary to operate qualified tangible personal property, including fixtures; and component parts of any of the foregoing, including installation, maintenance, repair, refurbishment, and replacement of qualified tangible personal property to generate, transform, transmit, distribute, or manage electricity necessary to operate qualified tangible personal property; and all other tangible personal property that is essential to the operations of a computer data center. The term "qualified tangible personal property" also includes building materials physically incorporated in to the qualifying data center. To document the exemption allowed under this Section, the retailer must obtain from the purchaser a copy of the certificate of eligibility issued by the Department of Commerce and Economic Opportunity.
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This item (40) is exempt from the provisions of Section 3-90.
(41) Beginning July 1, 2022, breast pumps, breast pump collection and storage supplies, and breast pump kits. This item (41) is exempt from the provisions of Section 3-90. As used in this item (41):
"Breast pump" means an electrically controlled or
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| manually controlled pump device designed or marketed to be used to express milk from a human breast during lactation, including the pump device and any battery, AC adapter, or other power supply unit that is used to power the pump device and is packaged and sold with the pump device at the time of sale.
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"Breast pump collection and storage supplies" means
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| items of tangible personal property designed or marketed to be used in conjunction with a breast pump to collect milk expressed from a human breast and to store collected milk until it is ready for consumption.
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"Breast pump collection and storage supplies"
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| includes, but is not limited to: breast shields and breast shield connectors; breast pump tubes and tubing adapters; breast pump valves and membranes; backflow protectors and backflow protector adaptors; bottles and bottle caps specific to the operation of the breast pump; and breast milk storage bags.
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"Breast pump collection and storage supplies" does
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| not include: (1) bottles and bottle caps not specific to the operation of the breast pump; (2) breast pump travel bags and other similar carrying accessories, including ice packs, labels, and other similar products; (3) breast pump cleaning supplies; (4) nursing bras, bra pads, breast shells, and other similar products; and (5) creams, ointments, and other similar products that relieve breastfeeding-related symptoms or conditions of the breasts or nipples, unless sold as part of a breast pump kit that is pre-packaged by the breast pump manufacturer or distributor.
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"Breast pump kit" means a kit that: (1) contains no
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| more than a breast pump, breast pump collection and storage supplies, a rechargeable battery for operating the breast pump, a breastmilk cooler, bottle stands, ice packs, and a breast pump carrying case; and (2) is pre-packaged as a breast pump kit by the breast pump manufacturer or distributor.
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(42) Tangible personal property sold by or on behalf of the State Treasurer pursuant to the Revised Uniform Unclaimed Property Act. This item (42) is exempt from the provisions of Section 3-90.
(Source: P.A. 102-16, eff. 6-17-21; 102-700, Article 70, Section 70-5, eff. 4-19-22; 102-700, Article 75, Section 75-5, eff. 4-19-22; 102-1026, eff. 5-27-22; 103-154, eff. 6-30-23.)
(Text of Section from P.A. 103-384)
Sec. 3-5. Exemptions. Use of the following tangible personal property is exempt from the tax imposed by this Act:
(1) Personal property purchased from a corporation, society, association,
foundation, institution, or organization, other than a limited liability
company, that is organized and operated as a not-for-profit service enterprise
for the benefit of persons 65 years of age or older if the personal property was not purchased by the enterprise for the purpose of resale by the
enterprise.
(2) Personal property purchased by a not-for-profit Illinois county
fair association for use in conducting, operating, or promoting the
county fair.
(3) Personal property purchased by a not-for-profit
arts or cultural organization that establishes, by proof required by the
Department by
rule, that it has received an exemption under Section 501(c)(3) of the Internal
Revenue Code and that is organized and operated primarily for the
presentation
or support of arts or cultural programming, activities, or services. These
organizations include, but are not limited to, music and dramatic arts
organizations such as symphony orchestras and theatrical groups, arts and
cultural service organizations, local arts councils, visual arts organizations,
and media arts organizations.
On and after July 1, 2001 (the effective date of Public Act 92-35), however, an entity otherwise eligible for this exemption shall not
make tax-free purchases unless it has an active identification number issued by
the Department.
(4) Except as otherwise provided in this Act, personal property purchased by a governmental body, by a
corporation, society, association, foundation, or institution organized and
operated exclusively for charitable, religious, or educational purposes, or
by a not-for-profit corporation, society, association, foundation,
institution, or organization that has no compensated officers or employees
and that is organized and operated primarily for the recreation of persons
55 years of age or older. A limited liability company may qualify for the
exemption under this paragraph only if the limited liability company is
organized and operated exclusively for educational purposes. On and after July
1, 1987, however, no entity otherwise eligible for this exemption shall make
tax-free purchases unless it has an active exemption identification number
issued by the Department.
(5) Until July 1, 2003, a passenger car that is a replacement vehicle to
the extent that the
purchase price of the car is subject to the Replacement Vehicle Tax.
(6) Until July 1, 2003 and beginning again on September 1, 2004 through August 30, 2014, graphic arts machinery and equipment, including
repair and replacement
parts, both new and used, and including that manufactured on special order,
certified by the purchaser to be used primarily for graphic arts production,
and including machinery and equipment purchased for lease.
Equipment includes chemicals or chemicals acting as catalysts but only if
the
chemicals or chemicals acting as catalysts effect a direct and immediate change
upon a graphic arts product. Beginning on July 1, 2017, graphic arts machinery and equipment is included in the manufacturing and assembling machinery and equipment exemption under paragraph (18).
(7) Farm chemicals.
(8) Legal tender, currency, medallions, or gold or silver coinage issued by
the State of Illinois, the government of the United States of America, or the
government of any foreign country, and bullion.
(9) Personal property purchased from a teacher-sponsored student
organization affiliated with an elementary or secondary school located in
Illinois.
(10) A motor vehicle that is used for automobile renting, as defined in the
Automobile Renting Occupation and Use Tax Act.
(11) Farm machinery and equipment, both new and used,
including that manufactured on special order, certified by the purchaser
to be used primarily for production agriculture or State or federal
agricultural programs, including individual replacement parts for
the machinery and equipment, including machinery and equipment
purchased
for lease,
and including implements of husbandry defined in Section 1-130 of
the Illinois Vehicle Code, farm machinery and agricultural chemical and
fertilizer spreaders, and nurse wagons required to be registered
under Section 3-809 of the Illinois Vehicle Code,
but excluding other motor
vehicles required to be
registered under the Illinois Vehicle Code.
Horticultural polyhouses or hoop houses used for propagating, growing, or
overwintering plants shall be considered farm machinery and equipment under
this item (11).
Agricultural chemical tender tanks and dry boxes shall include units sold
separately from a motor vehicle required to be licensed and units sold mounted
on a motor vehicle required to be licensed if the selling price of the tender
is separately stated.
Farm machinery and equipment shall include precision farming equipment
that is
installed or purchased to be installed on farm machinery and equipment
including, but not limited to, tractors, harvesters, sprayers, planters,
seeders, or spreaders.
Precision farming equipment includes, but is not limited to, soil testing
sensors, computers, monitors, software, global positioning
and mapping systems, and other such equipment.
Farm machinery and equipment also includes computers, sensors, software, and
related equipment used primarily in the
computer-assisted operation of production agriculture facilities, equipment,
and
activities such as, but not limited to,
the collection, monitoring, and correlation of
animal and crop data for the purpose of
formulating animal diets and agricultural chemicals. This item (11) is exempt
from the provisions of
Section 3-90.
(12) Until June 30, 2013, fuel and petroleum products sold to or used by an air common
carrier, certified by the carrier to be used for consumption, shipment, or
storage in the conduct of its business as an air common carrier, for a
flight destined for or returning from a location or locations
outside the United States without regard to previous or subsequent domestic
stopovers.
Beginning July 1, 2013, fuel and petroleum products sold to or used by an air carrier, certified by the carrier to be used for consumption, shipment, or storage in the conduct of its business as an air common carrier, for a flight that (i) is engaged in foreign trade or is engaged in trade between the United States and any of its possessions and (ii) transports at least one individual or package for hire from the city of origination to the city of final destination on the same aircraft, without regard to a change in the flight number of that aircraft.
(13) Proceeds of mandatory service charges separately
stated on customers' bills for the purchase and consumption of food and
beverages purchased at retail from a retailer, to the extent that the proceeds
of the service charge are in fact turned over as tips or as a substitute
for tips to the employees who participate directly in preparing, serving,
hosting or cleaning up the food or beverage function with respect to which
the service charge is imposed.
(14) Until July 1, 2003, oil field exploration, drilling, and production
equipment,
including (i) rigs and parts of rigs, rotary
rigs, cable tool rigs, and workover rigs, (ii) pipe and tubular goods,
including casing and drill strings, (iii) pumps and pump-jack units, (iv)
storage tanks and flow lines, (v) any individual replacement part for oil
field exploration, drilling, and production equipment, and (vi) machinery and
equipment purchased
for lease; but excluding motor vehicles required to be registered under the
Illinois Vehicle Code.
(15) Photoprocessing machinery and equipment, including repair and
replacement parts, both new and used, including that
manufactured on special order, certified by the purchaser to be used
primarily for photoprocessing, and including
photoprocessing machinery and equipment purchased for lease.
(16) Until July 1, 2028, coal and aggregate exploration, mining, off-highway hauling,
processing, maintenance, and reclamation equipment,
including replacement parts and equipment, and
including equipment purchased for lease, but excluding motor
vehicles required to be registered under the Illinois Vehicle Code. The changes made to this Section by Public Act 97-767 apply on and after July 1, 2003, but no claim for credit or refund is allowed on or after August 16, 2013 (the effective date of Public Act 98-456)
for such taxes paid during the period beginning July 1, 2003 and ending on August 16, 2013 (the effective date of Public Act 98-456).
(17) Until July 1, 2003, distillation machinery and equipment, sold as a
unit or kit,
assembled or installed by the retailer, certified by the user to be used
only for the production of ethyl alcohol that will be used for consumption
as motor fuel or as a component of motor fuel for the personal use of the
user, and not subject to sale or resale.
(18) Manufacturing and assembling machinery and equipment used
primarily in the process of manufacturing or assembling tangible
personal property for wholesale or retail sale or lease, whether that sale
or lease is made directly by the manufacturer or by some other person,
whether the materials used in the process are
owned by the manufacturer or some other person, or whether that sale or
lease is made apart from or as an incident to the seller's engaging in
the service occupation of producing machines, tools, dies, jigs,
patterns, gauges, or other similar items of no commercial value on
special order for a particular purchaser. The exemption provided by this paragraph (18) includes production related tangible personal property, as defined in Section 3-50, purchased on or after July 1, 2019. The exemption provided by this paragraph (18) does not include machinery and equipment used in (i) the generation of electricity for wholesale or retail sale; (ii) the generation or treatment of natural or artificial gas for wholesale or retail sale that is delivered to customers through pipes, pipelines, or mains; or (iii) the treatment of water for wholesale or retail sale that is delivered to customers through pipes, pipelines, or mains. The provisions of Public Act 98-583 are declaratory of existing law as to the meaning and scope of this exemption. Beginning on July 1, 2017, the exemption provided by this paragraph (18) includes, but is not limited to, graphic arts machinery and equipment, as defined in paragraph (6) of this Section.
(19) Personal property delivered to a purchaser or purchaser's donee
inside Illinois when the purchase order for that personal property was
received by a florist located outside Illinois who has a florist located
inside Illinois deliver the personal property.
(20) Semen used for artificial insemination of livestock for direct
agricultural production.
(21) Horses, or interests in horses, registered with and meeting the
requirements of any of the
Arabian Horse Club Registry of America, Appaloosa Horse Club, American Quarter
Horse Association, United States
Trotting Association, or Jockey Club, as appropriate, used for
purposes of breeding or racing for prizes. This item (21) is exempt from the provisions of Section 3-90, and the exemption provided for under this item (21) applies for all periods beginning May 30, 1995, but no claim for credit or refund is allowed on or after January 1, 2008
for such taxes paid during the period beginning May 30, 2000 and ending on January 1, 2008.
(22) Computers and communications equipment utilized for any
hospital
purpose
and equipment used in the diagnosis,
analysis, or treatment of hospital patients purchased by a lessor who leases
the
equipment, under a lease of one year or longer executed or in effect at the
time the lessor would otherwise be subject to the tax imposed by this Act, to a
hospital
that has been issued an active tax exemption identification number by
the
Department under Section 1g of the Retailers' Occupation Tax Act. If the
equipment is leased in a manner that does not qualify for
this exemption or is used in any other non-exempt manner, the lessor
shall be liable for the
tax imposed under this Act or the Service Use Tax Act, as the case may
be, based on the fair market value of the property at the time the
non-qualifying use occurs. No lessor shall collect or attempt to collect an
amount (however
designated) that purports to reimburse that lessor for the tax imposed by this
Act or the Service Use Tax Act, as the case may be, if the tax has not been
paid by the lessor. If a lessor improperly collects any such amount from the
lessee, the lessee shall have a legal right to claim a refund of that amount
from the lessor. If, however, that amount is not refunded to the lessee for
any reason, the lessor is liable to pay that amount to the Department.
(23) Personal property purchased by a lessor who leases the
property, under
a
lease of
one year or longer executed or in effect at the time
the lessor would otherwise be subject to the tax imposed by this Act,
to a governmental body
that has been issued an active sales tax exemption identification number by the
Department under Section 1g of the Retailers' Occupation Tax Act.
If the
property is leased in a manner that does not qualify for
this exemption
or used in any other non-exempt manner, the lessor shall be liable for the
tax imposed under this Act or the Service Use Tax Act, as the case may
be, based on the fair market value of the property at the time the
non-qualifying use occurs. No lessor shall collect or attempt to collect an
amount (however
designated) that purports to reimburse that lessor for the tax imposed by this
Act or the Service Use Tax Act, as the case may be, if the tax has not been
paid by the lessor. If a lessor improperly collects any such amount from the
lessee, the lessee shall have a legal right to claim a refund of that amount
from the lessor. If, however, that amount is not refunded to the lessee for
any reason, the lessor is liable to pay that amount to the Department.
(24) Beginning with taxable years ending on or after December
31, 1995
and
ending with taxable years ending on or before December 31, 2004,
personal property that is
donated for disaster relief to be used in a State or federally declared
disaster area in Illinois or bordering Illinois by a manufacturer or retailer
that is registered in this State to a corporation, society, association,
foundation, or institution that has been issued a sales tax exemption
identification number by the Department that assists victims of the disaster
who reside within the declared disaster area.
(25) Beginning with taxable years ending on or after December
31, 1995 and
ending with taxable years ending on or before December 31, 2004, personal
property that is used in the performance of infrastructure repairs in this
State, including but not limited to municipal roads and streets, access roads,
bridges, sidewalks, waste disposal systems, water and sewer line extensions,
water distribution and purification facilities, storm water drainage and
retention facilities, and sewage treatment facilities, resulting from a State
or federally declared disaster in Illinois or bordering Illinois when such
repairs are initiated on facilities located in the declared disaster area
within 6 months after the disaster.
(26) Beginning July 1, 1999, game or game birds purchased at a "game
breeding
and hunting preserve area" as that term is
used in
the Wildlife Code. This paragraph is exempt from the provisions
of
Section 3-90.
(27) A motor vehicle, as that term is defined in Section 1-146
of the
Illinois
Vehicle Code, that is donated to a corporation, limited liability company,
society, association, foundation, or institution that is determined by the
Department to be organized and operated exclusively for educational purposes.
For purposes of this exemption, "a corporation, limited liability company,
society, association, foundation, or institution organized and operated
exclusively for educational purposes" means all tax-supported public schools,
private schools that offer systematic instruction in useful branches of
learning by methods common to public schools and that compare favorably in
their scope and intensity with the course of study presented in tax-supported
schools, and vocational or technical schools or institutes organized and
operated exclusively to provide a course of study of not less than 6 weeks
duration and designed to prepare individuals to follow a trade or to pursue a
manual, technical, mechanical, industrial, business, or commercial
occupation.
(28) Beginning January 1, 2000, personal property, including
food,
purchased through fundraising
events for the benefit of
a public or private elementary or
secondary school, a group of those schools, or one or more school
districts if the events are
sponsored by an entity recognized by the school district that consists
primarily of volunteers and includes
parents and teachers of the school children. This paragraph does not apply
to fundraising
events (i) for the benefit of private home instruction or (ii)
for which the fundraising entity purchases the personal property sold at
the events from another individual or entity that sold the property for the
purpose of resale by the fundraising entity and that
profits from the sale to the
fundraising entity. This paragraph is exempt
from the provisions
of Section 3-90.
(29) Beginning January 1, 2000 and through December 31, 2001, new or
used automatic vending
machines that prepare and serve hot food and beverages, including coffee, soup,
and
other items, and replacement parts for these machines.
Beginning January 1,
2002 and through June 30, 2003, machines and parts for machines used in
commercial, coin-operated amusement and vending business if a use or occupation
tax is paid on the gross receipts derived from the use of the commercial,
coin-operated amusement and vending machines.
This
paragraph
is exempt from the provisions of Section 3-90.
(30) Beginning January 1, 2001 and through June 30, 2016, food for human consumption that is to be consumed off the premises
where it is sold (other than alcoholic beverages, soft drinks, and food that
has been prepared for immediate consumption) and prescription and
nonprescription medicines, drugs, medical appliances, and insulin, urine
testing materials, syringes, and needles used by diabetics, for human use, when
purchased for use by a person receiving medical assistance under Article V of
the Illinois Public Aid Code who resides in a licensed long-term care facility,
as defined in the Nursing Home Care Act, or in a licensed facility as defined in the ID/DD Community Care Act, the MC/DD Act, or the Specialized Mental Health Rehabilitation Act of 2013.
(31) Beginning on August 2, 2001 (the effective date of Public Act 92-227),
computers and communications equipment
utilized for any hospital purpose and equipment used in the diagnosis,
analysis, or treatment of hospital patients purchased by a lessor who leases
the equipment, under a lease of one year or longer executed or in effect at the
time the lessor would otherwise be subject to the tax imposed by this Act, to a
hospital that has been issued an active tax exemption identification number by
the Department under Section 1g of the Retailers' Occupation Tax Act. If the
equipment is leased in a manner that does not qualify for this exemption or is
used in any other nonexempt manner, the lessor shall be liable for the tax
imposed under this Act or the Service Use Tax Act, as the case may be, based on
the fair market value of the property at the time the nonqualifying use
occurs. No lessor shall collect or attempt to collect an amount (however
designated) that purports to reimburse that lessor for the tax imposed by this
Act or the Service Use Tax Act, as the case may be, if the tax has not been
paid by the lessor. If a lessor improperly collects any such amount from the
lessee, the lessee shall have a legal right to claim a refund of that amount
from the lessor. If, however, that amount is not refunded to the lessee for
any reason, the lessor is liable to pay that amount to the Department.
This paragraph is exempt from the provisions of Section 3-90.
(32) Beginning on August 2, 2001 (the effective date of Public Act 92-227),
personal property purchased by a lessor who leases the property,
under a lease of one year or longer executed or in effect at the time the
lessor would otherwise be subject to the tax imposed by this Act, to a
governmental body that has been issued an active sales tax exemption
identification number by the Department under Section 1g of the Retailers'
Occupation Tax Act. If the property is leased in a manner that does not
qualify for this exemption or used in any other nonexempt manner, the lessor
shall be liable for the tax imposed under this Act or the Service Use Tax Act,
as the case may be, based on the fair market value of the property at the time
the nonqualifying use occurs. No lessor shall collect or attempt to collect
an amount (however designated) that purports to reimburse that lessor for the
tax imposed by this Act or the Service Use Tax Act, as the case may be, if the
tax has not been paid by the lessor. If a lessor improperly collects any such
amount from the lessee, the lessee shall have a legal right to claim a refund
of that amount from the lessor. If, however, that amount is not refunded to
the lessee for any reason, the lessor is liable to pay that amount to the
Department. This paragraph is exempt from the provisions of Section 3-90.
(33) On and after July 1, 2003 and through June 30, 2004, the use in this State of motor vehicles of
the second division with a gross vehicle weight in excess of 8,000 pounds and
that are subject to the commercial distribution fee imposed under Section
3-815.1 of the Illinois Vehicle Code. Beginning on July 1, 2004 and through June 30, 2005, the use in this State of motor vehicles of the second division: (i) with a gross vehicle weight rating in excess of 8,000 pounds; (ii) that are subject to the commercial distribution fee imposed under Section 3-815.1 of the Illinois Vehicle Code; and (iii) that are primarily used for commercial purposes. Through June 30, 2005, this exemption applies to repair and
replacement parts added after the initial purchase of such a motor vehicle if
that motor
vehicle is used in a manner that would qualify for the rolling stock exemption
otherwise provided for in this Act. For purposes of this paragraph, the term "used for commercial purposes" means the transportation of persons or property in furtherance of any commercial or industrial enterprise, whether for-hire or not.
(34) Beginning January 1, 2008, tangible personal property used in the construction or maintenance of a community water supply, as defined under Section 3.145 of the Environmental Protection Act, that is operated by a not-for-profit corporation that holds a valid water supply permit issued under Title IV of the Environmental Protection Act. This paragraph is exempt from the provisions of Section 3-90.
(35) Beginning January 1, 2010 and continuing through December 31, 2024, materials, parts, equipment, components, and furnishings incorporated into or upon an aircraft as part of the modification, refurbishment, completion, replacement, repair, or maintenance of the aircraft. This exemption includes consumable supplies used in the modification, refurbishment, completion, replacement, repair, and maintenance of aircraft, but excludes any materials, parts, equipment, components, and consumable supplies used in the modification, replacement, repair, and maintenance of aircraft engines or power plants, whether such engines or power plants are installed or uninstalled upon any such aircraft. "Consumable supplies" include, but are not limited to, adhesive, tape, sandpaper, general purpose lubricants, cleaning solution, latex gloves, and protective films. This exemption applies only to the use of qualifying tangible personal property by persons who modify, refurbish, complete, repair, replace, or maintain aircraft and who (i) hold an Air Agency Certificate and are empowered to operate an approved repair station by the Federal Aviation Administration, (ii) have a Class IV Rating, and (iii) conduct operations in accordance with Part 145 of the Federal Aviation Regulations. The exemption does not include aircraft operated by a commercial air carrier providing scheduled passenger air service pursuant to authority issued under Part 121 or Part 129 of the Federal Aviation Regulations. The changes made to this paragraph (35) by Public Act 98-534 are declarative of existing law. It is the intent of the General Assembly that the exemption under this paragraph (35) applies continuously from January 1, 2010 through December 31, 2024; however, no claim for credit or refund is allowed for taxes paid as a result of the disallowance of this exemption on or after January 1, 2015 and prior to February 5, 2020 (the effective date of Public Act 101-629).
(36) Tangible personal property purchased by a public-facilities corporation, as described in Section 11-65-10 of the Illinois Municipal Code, for purposes of constructing or furnishing a municipal convention hall, but only if the legal title to the municipal convention hall is transferred to the municipality without any further consideration by or on behalf of the municipality at the time of the completion of the municipal convention hall or upon the retirement or redemption of any bonds or other debt instruments issued by the public-facilities corporation in connection with the development of the municipal convention hall. This exemption includes existing public-facilities corporations as provided in Section 11-65-25 of the Illinois Municipal Code. This paragraph is exempt from the provisions of Section 3-90.
(37) Beginning January 1, 2017 and through December 31, 2026, menstrual pads, tampons, and menstrual cups.
(38) Merchandise that is subject to the Rental Purchase Agreement Occupation and Use Tax. The purchaser must certify that the item is purchased to be rented subject to a rental purchase agreement, as defined in the Rental Purchase Agreement Act, and provide proof of registration under the Rental Purchase Agreement Occupation and Use Tax Act. This paragraph is exempt from the provisions of Section 3-90.
(39) Tangible personal property purchased by a purchaser who is exempt from the tax imposed by this Act by operation of federal law. This paragraph is exempt from the provisions of Section 3-90.
(40) Qualified tangible personal property used in the construction or operation of a data center that has been granted a certificate of exemption by the Department of Commerce and Economic Opportunity, whether that tangible personal property is purchased by the owner, operator, or tenant of the data center or by a contractor or subcontractor of the owner, operator, or tenant. Data centers that would have qualified for a certificate of exemption prior to January 1, 2020 had Public Act 101-31 been in effect may apply for and obtain an exemption for subsequent purchases of computer equipment or enabling software purchased or leased to upgrade, supplement, or replace computer equipment or enabling software purchased or leased in the original investment that would have qualified.
The Department of Commerce and Economic Opportunity shall grant a certificate of exemption under this item (40) to qualified data centers as defined by Section 605-1025 of the Department of Commerce and Economic Opportunity Law of the
Civil Administrative Code of Illinois.
For the purposes of this item (40):
"Data center" means a building or a series of
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| buildings rehabilitated or constructed to house working servers in one physical location or multiple sites within the State of Illinois.
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"Qualified tangible personal property" means:
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| electrical systems and equipment; climate control and chilling equipment and systems; mechanical systems and equipment; monitoring and secure systems; emergency generators; hardware; computers; servers; data storage devices; network connectivity equipment; racks; cabinets; telecommunications cabling infrastructure; raised floor systems; peripheral components or systems; software; mechanical, electrical, or plumbing systems; battery systems; cooling systems and towers; temperature control systems; other cabling; and other data center infrastructure equipment and systems necessary to operate qualified tangible personal property, including fixtures; and component parts of any of the foregoing, including installation, maintenance, repair, refurbishment, and replacement of qualified tangible personal property to generate, transform, transmit, distribute, or manage electricity necessary to operate qualified tangible personal property; and all other tangible personal property that is essential to the operations of a computer data center. The term "qualified tangible personal property" also includes building materials physically incorporated in to the qualifying data center. To document the exemption allowed under this Section, the retailer must obtain from the purchaser a copy of the certificate of eligibility issued by the Department of Commerce and Economic Opportunity.
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This item (40) is exempt from the provisions of Section 3-90.
(41) Beginning July 1, 2022, breast pumps, breast pump collection and storage supplies, and breast pump kits. This item (41) is exempt from the provisions of Section 3-90. As used in this item (41):
"Breast pump" means an electrically controlled or
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| manually controlled pump device designed or marketed to be used to express milk from a human breast during lactation, including the pump device and any battery, AC adapter, or other power supply unit that is used to power the pump device and is packaged and sold with the pump device at the time of sale.
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"Breast pump collection and storage supplies" means
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| items of tangible personal property designed or marketed to be used in conjunction with a breast pump to collect milk expressed from a human breast and to store collected milk until it is ready for consumption.
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"Breast pump collection and storage supplies"
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| includes, but is not limited to: breast shields and breast shield connectors; breast pump tubes and tubing adapters; breast pump valves and membranes; backflow protectors and backflow protector adaptors; bottles and bottle caps specific to the operation of the breast pump; and breast milk storage bags.
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"Breast pump collection and storage supplies" does
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| not include: (1) bottles and bottle caps not specific to the operation of the breast pump; (2) breast pump travel bags and other similar carrying accessories, including ice packs, labels, and other similar products; (3) breast pump cleaning supplies; (4) nursing bras, bra pads, breast shells, and other similar products; and (5) creams, ointments, and other similar products that relieve breastfeeding-related symptoms or conditions of the breasts or nipples, unless sold as part of a breast pump kit that is pre-packaged by the breast pump manufacturer or distributor.
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"Breast pump kit" means a kit that: (1) contains no
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| more than a breast pump, breast pump collection and storage supplies, a rechargeable battery for operating the breast pump, a breastmilk cooler, bottle stands, ice packs, and a breast pump carrying case; and (2) is pre-packaged as a breast pump kit by the breast pump manufacturer or distributor.
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(42) Tangible personal property sold by or on behalf of the State Treasurer pursuant to the Revised Uniform Unclaimed Property Act. This item (42) is exempt from the provisions of Section 3-90.
(43) Beginning on January 1, 2024, tangible personal property purchased by an active duty member of the armed forces of the United States who presents valid military identification and purchases the property using a form of payment where the federal government is the payor. The member of the armed forces must complete, at the point of sale, a form prescribed by the Department of Revenue documenting that the transaction is eligible for the exemption under this paragraph. Retailers must keep the form as documentation of the exemption in their records for a period of not less than 6 years. "Armed forces of the United States" means the United States Army, Navy, Air Force, Marine Corps, or Coast Guard. This paragraph is exempt from the provisions of Section 3-90.
(Source: P.A. 102-16, eff. 6-17-21; 102-700, Article 70, Section 70-5, eff. 4-19-22; 102-700, Article 75, Section 75-5, eff. 4-19-22; 102-1026, eff. 5-27-22; 103-384, eff. 1-1-24.)
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