(805 ILCS 5/15.70) (from Ch. 32, par. 15.70)
Sec. 15.70.
Basis for computation of franchise taxes payable by foreign
corporations.
(a) The basis for the initial franchise tax payable by a foreign
corporation shall be the amount represented in this State, determined in
accordance with the provisions of this Section, of its paid-in capital as
disclosed by its application for authority to transact
business in this State.
(b) The basis for an additional franchise tax payable by a corporation,
except in the case of a statutory merger, shall be the increased amount
represented in this State, determined in accordance with the provisions
of this Section, of its paid-in capital as disclosed by any report of
issuance of additional shares, or of an increase in paid-in capital without
the issuance of shares, or of an exchange or reclassification of shares, or
of cumulative changes in paid-in capital.
(c) Whenever a foreign corporation shall be a party to a statutory
merger
and shall be the surviving corporation, the basis for an additional
franchise tax shall be the increased amount represented in this State,
determined in accordance with the provisions of this Section, of the
paid-in capital of the surviving corporation immediately after the merger
over the aggregate of the amounts represented in this State of the paid-in
capital of the merged corporations; provided, however, the basis for a
further additional franchise tax payable by the surviving corporation shall
be determined in accordance with the provisions of this Section, on the
paid-in capital of each of the merged corporations from its taxable year
end to the next succeeding anniversary month or, in the case of a
corporation that has established an extended filing month, the extended
filing month of the surviving corporation; however if the taxable year ends
within the 2 month period immediately preceding the anniversary month or,
in the case of a corporation that has established an extended filing month,
the extended filing month of the surviving corporation, the tax shall be
computed to the anniversary month or, in the case of a corporation that has
established an extended filing month, the extended filing month of the
surviving corporation in the next succeeding calendar year.
(d) The basis for the annual franchise tax payable by a foreign
corporation
shall be the amount represented in this State, determined in accordance
with the provisions of this Section, of its paid-in capital on the last day
of the third month preceding the anniversary month or, in the case of a
corporation that has established an extended filing month, on the last day
of the corporation's fiscal year preceding the extended filing month.
(e) The amount represented in this State of the paid-in capital
of a foreign corporation shall be that proportion of its paid-in
capital that the sum of (1) the value of its property located in this
State and (2) the gross amount of business transacted by it at or from
places of business in this State bears to the sum of (1) the value of all
of its property, wherever located, and (2) the gross amount of its
business, wherever transacted, except as follows:
(1) If the corporation elects in its annual report in |
| any year to pay its franchise tax upon its entire paid-in capital, all franchise taxes accruing against the corporation for that taxable year shall be computed accordingly until the corporation elects otherwise in an annual report for a subsequent year.
|
|
(2) If the corporation fails to file its annual
|
| report in any year within the time prescribed by this Act, the proportion of its paid-in capital represented in this State shall be deemed to be its entire paid-in capital, unless its annual report is thereafter filed and its franchise taxes are thereafter adjusted by the Secretary of State in accordance with the provisions of this Act, in which case the proportion shall likewise be adjusted to the same proportion that would have prevailed if the corporation had filed its annual report within the time prescribed by this Act.
|
|
(3) In the case of a statutory merger that becomes
|
| effective either prior to January 1, 1991 or on or prior to the last day of the third month preceding the corporation's anniversary month in 1991, the amount of the paid-in capital represented in this State of the surviving corporation immediately after the merger, until the filing of the next annual report of such corporation, shall be deemed to be that proportion of the paid-in capital of the surviving corporation that the aggregate amounts represented in this State of the sum of the paid-in capital of the merged corporations, separately determined, bore to the total of the sum of the paid-in capital of all of the merged corporations immediately prior to the merger.
|
|
(f) For increases in paid-in capital that occur either prior to January
1, 1991
or on or prior to the last day of the third month preceding the
corporation's anniversary month in 1991, the proportion represented in
this State of the paid-in capital of a foreign corporation shall be
determined from information contained in the latest annual report of the
corporation on file on the date the particular increase in paid-in capital
is shown to have been made, or, if no annual
report was on file on the date of the increase, from information contained
in its application for authority to transact business in
this State, or, in case of a merger that becomes effective either prior to
January 1, 1991 or on or prior to the last day of the third month preceding
the surviving corporation's anniversary month in 1991, from information
contained in the report of the surviving corporation of the amount of its
paid-in capital following the merger. For changes in paid-in capital
that occur after both December 31, 1990 and the last day of such third
month, the proportion represented in this State of the paid-in capital of a
corporation shall be determined from information contained in the
latest annual report of the corporation for the taxable period in which the
particular increase in paid-in capital is shown to have been made or, if
no annual report was on file on the date of the increase, from information
contained in its application for authority to transact
business in Illinois.
(g) No basis under this Section may consist of any redeemable preference
shares sold to the United States Secretary of Transportation under Sections
505 and 506 of Public Law 94-210.
(Source: P.A. 91-464, eff. 1-1-00; 92-33, eff. 7-1-01.)
|