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91_SB1310
LRB9110257SMdv
1 AN ACT in relation to taxes.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 5. The Use Tax Act is amended by changing
5 Sections 3-10 and 9 as follows:
6 (35 ILCS 105/3-10) (from Ch. 120, par. 439.3-10)
7 Sec. 3-10. Rate of tax. Unless otherwise provided in
8 this Section, the tax imposed by this Act is at the rate of
9 6.25% of either the selling price or the fair market value,
10 if any, of the tangible personal property. In all cases
11 where property functionally used or consumed is the same as
12 the property that was purchased at retail, then the tax is
13 imposed on the selling price of the property. In all cases
14 where property functionally used or consumed is a by-product
15 or waste product that has been refined, manufactured, or
16 produced from property purchased at retail, then the tax is
17 imposed on the lower of the fair market value, if any, of the
18 specific property so used in this State or on the selling
19 price of the property purchased at retail. For purposes of
20 this Section "fair market value" means the price at which
21 property would change hands between a willing buyer and a
22 willing seller, neither being under any compulsion to buy or
23 sell and both having reasonable knowledge of the relevant
24 facts. The fair market value shall be established by Illinois
25 sales by the taxpayer of the same property as that
26 functionally used or consumed, or if there are no such sales
27 by the taxpayer, then comparable sales or purchases of
28 property of like kind and character in Illinois.
29 With respect to motor fuel, as defined in Section 1.1 of
30 the Motor Fuel Tax Law, and gasohol, as defined in Section
31 3-40 of the Use Tax Act, the tax is imposed at the rate of
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1 1.25%. If, however, the aggregate tax revenues from motor
2 fuel and gasohol under the Use Tax Act, the Service Use Tax
3 Act, the Service Occupation Tax Act, and the Retailers'
4 Occupation Tax Act during the period from October 1, 2003
5 through September 30, 2004 are not at least 15% more than the
6 aggregate tax revenues from motor fuel and gasohol under
7 those Acts during the period from October 1, 2000 through
8 September 30, 2001, then beginning January 1, 2005 the tax is
9 imposed on motor fuel and gasohol at the 6.25% general rate.
10 With respect to gasohol, the tax imposed by this Act
11 applies to 70% of the proceeds of sales made on or after
12 January 1, 1990, and before July 1, 2003, and to 100% of the
13 proceeds of sales made thereafter.
14 With respect to food for human consumption that is to be
15 consumed off the premises where it is sold (other than
16 alcoholic beverages, soft drinks, and food that has been
17 prepared for immediate consumption) and prescription and
18 nonprescription medicines, drugs, medical appliances,
19 modifications to a motor vehicle for the purpose of rendering
20 it usable by a disabled person, and insulin, urine testing
21 materials, syringes, and needles used by diabetics, for human
22 use, the tax is imposed at the rate of 1%. For the purposes
23 of this Section, the term "soft drinks" means any complete,
24 finished, ready-to-use, non-alcoholic drink, whether
25 carbonated or not, including but not limited to soda water,
26 cola, fruit juice, vegetable juice, carbonated water, and all
27 other preparations commonly known as soft drinks of whatever
28 kind or description that are contained in any closed or
29 sealed bottle, can, carton, or container, regardless of size.
30 "Soft drinks" does not include coffee, tea, non-carbonated
31 water, infant formula, milk or milk products as defined in
32 the Grade A Pasteurized Milk and Milk Products Act, or drinks
33 containing 50% or more natural fruit or vegetable juice.
34 Notwithstanding any other provisions of this Act, "food
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1 for human consumption that is to be consumed off the premises
2 where it is sold" includes all food sold through a vending
3 machine, except soft drinks and food products that are
4 dispensed hot from a vending machine, regardless of the
5 location of the vending machine.
6 If the property that is purchased at retail from a
7 retailer is acquired outside Illinois and used outside
8 Illinois before being brought to Illinois for use here and is
9 taxable under this Act, the "selling price" on which the tax
10 is computed shall be reduced by an amount that represents a
11 reasonable allowance for depreciation for the period of prior
12 out-of-state use.
13 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
14 91-51, eff. 6-30-99.)
15 (35 ILCS 105/9) (from Ch. 120, par. 439.9)
16 Sec. 9. Except as to motor vehicles, watercraft,
17 aircraft, and trailers that are required to be registered
18 with an agency of this State, each retailer required or
19 authorized to collect the tax imposed by this Act shall pay
20 to the Department the amount of such tax (except as otherwise
21 provided) at the time when he is required to file his return
22 for the period during which such tax was collected, less a
23 discount of 2.1% prior to January 1, 1990, and 1.75% on and
24 after January 1, 1990, or $5 per calendar year, whichever is
25 greater, which is allowed to reimburse the retailer for
26 expenses incurred in collecting the tax, keeping records,
27 preparing and filing returns, remitting the tax and supplying
28 data to the Department on request. In the case of retailers
29 who report and pay the tax on a transaction by transaction
30 basis, as provided in this Section, such discount shall be
31 taken with each such tax remittance instead of when such
32 retailer files his periodic return. A retailer need not
33 remit that part of any tax collected by him to the extent
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1 that he is required to remit and does remit the tax imposed
2 by the Retailers' Occupation Tax Act, with respect to the
3 sale of the same property.
4 Where such tangible personal property is sold under a
5 conditional sales contract, or under any other form of sale
6 wherein the payment of the principal sum, or a part thereof,
7 is extended beyond the close of the period for which the
8 return is filed, the retailer, in collecting the tax (except
9 as to motor vehicles, watercraft, aircraft, and trailers that
10 are required to be registered with an agency of this State),
11 may collect for each tax return period, only the tax
12 applicable to that part of the selling price actually
13 received during such tax return period.
14 Except as provided in this Section, on or before the
15 twentieth day of each calendar month, such retailer shall
16 file a return for the preceding calendar month. Such return
17 shall be filed on forms prescribed by the Department and
18 shall furnish such information as the Department may
19 reasonably require.
20 The Department may require returns to be filed on a
21 quarterly basis. If so required, a return for each calendar
22 quarter shall be filed on or before the twentieth day of the
23 calendar month following the end of such calendar quarter.
24 The taxpayer shall also file a return with the Department for
25 each of the first two months of each calendar quarter, on or
26 before the twentieth day of the following calendar month,
27 stating:
28 1. The name of the seller;
29 2. The address of the principal place of business
30 from which he engages in the business of selling tangible
31 personal property at retail in this State;
32 3. The total amount of taxable receipts received by
33 him during the preceding calendar month from sales of
34 tangible personal property by him during such preceding
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1 calendar month, including receipts from charge and time
2 sales, but less all deductions allowed by law;
3 4. The amount of credit provided in Section 2d of
4 this Act;
5 5. The amount of tax due;
6 5-5. The signature of the taxpayer; and
7 6. Such other reasonable information as the
8 Department may require.
9 If a taxpayer fails to sign a return within 30 days after
10 the proper notice and demand for signature by the Department,
11 the return shall be considered valid and any amount shown to
12 be due on the return shall be deemed assessed.
13 Beginning October 1, 1993, a taxpayer who has an average
14 monthly tax liability of $150,000 or more shall make all
15 payments required by rules of the Department by electronic
16 funds transfer. Beginning October 1, 1994, a taxpayer who has
17 an average monthly tax liability of $100,000 or more shall
18 make all payments required by rules of the Department by
19 electronic funds transfer. Beginning October 1, 1995, a
20 taxpayer who has an average monthly tax liability of $50,000
21 or more shall make all payments required by rules of the
22 Department by electronic funds transfer. Beginning October 1,
23 2000, a taxpayer who has an annual tax liability of $200,000
24 or more shall make all payments required by rules of the
25 Department by electronic funds transfer. The term "annual
26 tax liability" shall be the sum of the taxpayer's liabilities
27 under this Act, and under all other State and local
28 occupation and use tax laws administered by the Department,
29 for the immediately preceding calendar year. The term
30 "average monthly tax liability" means the sum of the
31 taxpayer's liabilities under this Act, and under all other
32 State and local occupation and use tax laws administered by
33 the Department, for the immediately preceding calendar year
34 divided by 12.
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1 Before August 1 of each year beginning in 1993, the
2 Department shall notify all taxpayers required to make
3 payments by electronic funds transfer. All taxpayers required
4 to make payments by electronic funds transfer shall make
5 those payments for a minimum of one year beginning on October
6 1.
7 Any taxpayer not required to make payments by electronic
8 funds transfer may make payments by electronic funds transfer
9 with the permission of the Department.
10 All taxpayers required to make payment by electronic
11 funds transfer and any taxpayers authorized to voluntarily
12 make payments by electronic funds transfer shall make those
13 payments in the manner authorized by the Department.
14 The Department shall adopt such rules as are necessary to
15 effectuate a program of electronic funds transfer and the
16 requirements of this Section.
17 Before October 1, 2000, if the taxpayer's average monthly
18 tax liability to the Department under this Act, the
19 Retailers' Occupation Tax Act, the Service Occupation Tax
20 Act, the Service Use Tax Act was $10,000 or more during the
21 preceding 4 complete calendar quarters, he shall file a
22 return with the Department each month by the 20th day of the
23 month next following the month during which such tax
24 liability is incurred and shall make payments to the
25 Department on or before the 7th, 15th, 22nd and last day of
26 the month during which such liability is incurred. On and
27 after October 1, 2000, if the taxpayer's average monthly tax
28 liability to the Department under this Act, the Retailers'
29 Occupation Tax Act, the Service Occupation Tax Act, and the
30 Service Use Tax Act was $20,000 or more during the preceding
31 4 complete calendar quarters, he shall file a return with the
32 Department each month by the 20th day of the month next
33 following the month during which such tax liability is
34 incurred and shall make payment to the Department on or
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1 before the 7th, 15th, 22nd and last day of or the month
2 during which such liability is incurred. If the month during
3 which such tax liability is incurred began prior to January
4 1, 1985, each payment shall be in an amount equal to 1/4 of
5 the taxpayer's actual liability for the month or an amount
6 set by the Department not to exceed 1/4 of the average
7 monthly liability of the taxpayer to the Department for the
8 preceding 4 complete calendar quarters (excluding the month
9 of highest liability and the month of lowest liability in
10 such 4 quarter period). If the month during which such tax
11 liability is incurred begins on or after January 1, 1985, and
12 prior to January 1, 1987, each payment shall be in an amount
13 equal to 22.5% of the taxpayer's actual liability for the
14 month or 27.5% of the taxpayer's liability for the same
15 calendar month of the preceding year. If the month during
16 which such tax liability is incurred begins on or after
17 January 1, 1987, and prior to January 1, 1988, each payment
18 shall be in an amount equal to 22.5% of the taxpayer's actual
19 liability for the month or 26.25% of the taxpayer's liability
20 for the same calendar month of the preceding year. If the
21 month during which such tax liability is incurred begins on
22 or after January 1, 1988, and prior to January 1, 1989, or
23 begins on or after January 1, 1996, each payment shall be in
24 an amount equal to 22.5% of the taxpayer's actual liability
25 for the month or 25% of the taxpayer's liability for the same
26 calendar month of the preceding year. If the month during
27 which such tax liability is incurred begins on or after
28 January 1, 1989, and prior to January 1, 1996, each payment
29 shall be in an amount equal to 22.5% of the taxpayer's actual
30 liability for the month or 25% of the taxpayer's liability
31 for the same calendar month of the preceding year or 100% of
32 the taxpayer's actual liability for the quarter monthly
33 reporting period. The amount of such quarter monthly
34 payments shall be credited against the final tax liability of
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1 the taxpayer's return for that month. Before October 1,
2 2000, once applicable, the requirement of the making of
3 quarter monthly payments to the Department shall continue
4 until such taxpayer's average monthly liability to the
5 Department during the preceding 4 complete calendar quarters
6 (excluding the month of highest liability and the month of
7 lowest liability) is less than $9,000, or until such
8 taxpayer's average monthly liability to the Department as
9 computed for each calendar quarter of the 4 preceding
10 complete calendar quarter period is less than $10,000.
11 However, if a taxpayer can show the Department that a
12 substantial change in the taxpayer's business has occurred
13 which causes the taxpayer to anticipate that his average
14 monthly tax liability for the reasonably foreseeable future
15 will fall below the $10,000 threshold stated above, then such
16 taxpayer may petition the Department for change in such
17 taxpayer's reporting status. On and after October 1, 2000,
18 once applicable, the requirement of the making of quarter
19 monthly payments to the Department shall continue until such
20 taxpayer's average monthly liability to the Department during
21 the preceding 4 complete calendar quarters (excluding the
22 month of highest liability and the month of lowest liability)
23 is less than $19,000 or until such taxpayer's average monthly
24 liability to the Department as computed for each calendar
25 quarter of the 4 preceding complete calendar quarter period
26 is less than $20,000. However, if a taxpayer can show the
27 Department that a substantial change in the taxpayer's
28 business has occurred which causes the taxpayer to anticipate
29 that his average monthly tax liability for the reasonably
30 foreseeable future will fall below the $20,000 threshold
31 stated above, then such taxpayer may petition the Department
32 for a change in such taxpayer's reporting status. The
33 Department shall change such taxpayer's reporting status
34 unless it finds that such change is seasonal in nature and
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1 not likely to be long term. If any such quarter monthly
2 payment is not paid at the time or in the amount required by
3 this Section, then the taxpayer shall be liable for penalties
4 and interest on the difference between the minimum amount due
5 and the amount of such quarter monthly payment actually and
6 timely paid, except insofar as the taxpayer has previously
7 made payments for that month to the Department in excess of
8 the minimum payments previously due as provided in this
9 Section. The Department shall make reasonable rules and
10 regulations to govern the quarter monthly payment amount and
11 quarter monthly payment dates for taxpayers who file on other
12 than a calendar monthly basis.
13 If any such payment provided for in this Section exceeds
14 the taxpayer's liabilities under this Act, the Retailers'
15 Occupation Tax Act, the Service Occupation Tax Act and the
16 Service Use Tax Act, as shown by an original monthly return,
17 the Department shall issue to the taxpayer a credit
18 memorandum no later than 30 days after the date of payment,
19 which memorandum may be submitted by the taxpayer to the
20 Department in payment of tax liability subsequently to be
21 remitted by the taxpayer to the Department or be assigned by
22 the taxpayer to a similar taxpayer under this Act, the
23 Retailers' Occupation Tax Act, the Service Occupation Tax Act
24 or the Service Use Tax Act, in accordance with reasonable
25 rules and regulations to be prescribed by the Department,
26 except that if such excess payment is shown on an original
27 monthly return and is made after December 31, 1986, no credit
28 memorandum shall be issued, unless requested by the taxpayer.
29 If no such request is made, the taxpayer may credit such
30 excess payment against tax liability subsequently to be
31 remitted by the taxpayer to the Department under this Act,
32 the Retailers' Occupation Tax Act, the Service Occupation Tax
33 Act or the Service Use Tax Act, in accordance with reasonable
34 rules and regulations prescribed by the Department. If the
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1 Department subsequently determines that all or any part of
2 the credit taken was not actually due to the taxpayer, the
3 taxpayer's 2.1% or 1.75% vendor's discount shall be reduced
4 by 2.1% or 1.75% of the difference between the credit taken
5 and that actually due, and the taxpayer shall be liable for
6 penalties and interest on such difference.
7 If the retailer is otherwise required to file a monthly
8 return and if the retailer's average monthly tax liability to
9 the Department does not exceed $200, the Department may
10 authorize his returns to be filed on a quarter annual basis,
11 with the return for January, February, and March of a given
12 year being due by April 20 of such year; with the return for
13 April, May and June of a given year being due by July 20 of
14 such year; with the return for July, August and September of
15 a given year being due by October 20 of such year, and with
16 the return for October, November and December of a given year
17 being due by January 20 of the following year.
18 If the retailer is otherwise required to file a monthly
19 or quarterly return and if the retailer's average monthly tax
20 liability to the Department does not exceed $50, the
21 Department may authorize his returns to be filed on an annual
22 basis, with the return for a given year being due by January
23 20 of the following year.
24 Such quarter annual and annual returns, as to form and
25 substance, shall be subject to the same requirements as
26 monthly returns.
27 Notwithstanding any other provision in this Act
28 concerning the time within which a retailer may file his
29 return, in the case of any retailer who ceases to engage in a
30 kind of business which makes him responsible for filing
31 returns under this Act, such retailer shall file a final
32 return under this Act with the Department not more than one
33 month after discontinuing such business.
34 In addition, with respect to motor vehicles, watercraft,
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1 aircraft, and trailers that are required to be registered
2 with an agency of this State, every retailer selling this
3 kind of tangible personal property shall file, with the
4 Department, upon a form to be prescribed and supplied by the
5 Department, a separate return for each such item of tangible
6 personal property which the retailer sells, except that
7 where, in the same transaction, a retailer of aircraft,
8 watercraft, motor vehicles or trailers transfers more than
9 one aircraft, watercraft, motor vehicle or trailer to another
10 aircraft, watercraft, motor vehicle or trailer retailer for
11 the purpose of resale, that seller for resale may report the
12 transfer of all the aircraft, watercraft, motor vehicles or
13 trailers involved in that transaction to the Department on
14 the same uniform invoice-transaction reporting return form.
15 For purposes of this Section, "watercraft" means a Class 2,
16 Class 3, or Class 4 watercraft as defined in Section 3-2 of
17 the Boat Registration and Safety Act, a personal watercraft,
18 or any boat equipped with an inboard motor.
19 The transaction reporting return in the case of motor
20 vehicles or trailers that are required to be registered with
21 an agency of this State, shall be the same document as the
22 Uniform Invoice referred to in Section 5-402 of the Illinois
23 Vehicle Code and must show the name and address of the
24 seller; the name and address of the purchaser; the amount of
25 the selling price including the amount allowed by the
26 retailer for traded-in property, if any; the amount allowed
27 by the retailer for the traded-in tangible personal property,
28 if any, to the extent to which Section 2 of this Act allows
29 an exemption for the value of traded-in property; the balance
30 payable after deducting such trade-in allowance from the
31 total selling price; the amount of tax due from the retailer
32 with respect to such transaction; the amount of tax collected
33 from the purchaser by the retailer on such transaction (or
34 satisfactory evidence that such tax is not due in that
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1 particular instance, if that is claimed to be the fact); the
2 place and date of the sale; a sufficient identification of
3 the property sold; such other information as is required in
4 Section 5-402 of the Illinois Vehicle Code, and such other
5 information as the Department may reasonably require.
6 The transaction reporting return in the case of
7 watercraft and aircraft must show the name and address of the
8 seller; the name and address of the purchaser; the amount of
9 the selling price including the amount allowed by the
10 retailer for traded-in property, if any; the amount allowed
11 by the retailer for the traded-in tangible personal property,
12 if any, to the extent to which Section 2 of this Act allows
13 an exemption for the value of traded-in property; the balance
14 payable after deducting such trade-in allowance from the
15 total selling price; the amount of tax due from the retailer
16 with respect to such transaction; the amount of tax collected
17 from the purchaser by the retailer on such transaction (or
18 satisfactory evidence that such tax is not due in that
19 particular instance, if that is claimed to be the fact); the
20 place and date of the sale, a sufficient identification of
21 the property sold, and such other information as the
22 Department may reasonably require.
23 Such transaction reporting return shall be filed not
24 later than 20 days after the date of delivery of the item
25 that is being sold, but may be filed by the retailer at any
26 time sooner than that if he chooses to do so. The
27 transaction reporting return and tax remittance or proof of
28 exemption from the tax that is imposed by this Act may be
29 transmitted to the Department by way of the State agency with
30 which, or State officer with whom, the tangible personal
31 property must be titled or registered (if titling or
32 registration is required) if the Department and such agency
33 or State officer determine that this procedure will expedite
34 the processing of applications for title or registration.
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1 With each such transaction reporting return, the retailer
2 shall remit the proper amount of tax due (or shall submit
3 satisfactory evidence that the sale is not taxable if that is
4 the case), to the Department or its agents, whereupon the
5 Department shall issue, in the purchaser's name, a tax
6 receipt (or a certificate of exemption if the Department is
7 satisfied that the particular sale is tax exempt) which such
8 purchaser may submit to the agency with which, or State
9 officer with whom, he must title or register the tangible
10 personal property that is involved (if titling or
11 registration is required) in support of such purchaser's
12 application for an Illinois certificate or other evidence of
13 title or registration to such tangible personal property.
14 No retailer's failure or refusal to remit tax under this
15 Act precludes a user, who has paid the proper tax to the
16 retailer, from obtaining his certificate of title or other
17 evidence of title or registration (if titling or registration
18 is required) upon satisfying the Department that such user
19 has paid the proper tax (if tax is due) to the retailer. The
20 Department shall adopt appropriate rules to carry out the
21 mandate of this paragraph.
22 If the user who would otherwise pay tax to the retailer
23 wants the transaction reporting return filed and the payment
24 of tax or proof of exemption made to the Department before
25 the retailer is willing to take these actions and such user
26 has not paid the tax to the retailer, such user may certify
27 to the fact of such delay by the retailer, and may (upon the
28 Department being satisfied of the truth of such
29 certification) transmit the information required by the
30 transaction reporting return and the remittance for tax or
31 proof of exemption directly to the Department and obtain his
32 tax receipt or exemption determination, in which event the
33 transaction reporting return and tax remittance (if a tax
34 payment was required) shall be credited by the Department to
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1 the proper retailer's account with the Department, but
2 without the 2.1% or 1.75% discount provided for in this
3 Section being allowed. When the user pays the tax directly
4 to the Department, he shall pay the tax in the same amount
5 and in the same form in which it would be remitted if the tax
6 had been remitted to the Department by the retailer.
7 Where a retailer collects the tax with respect to the
8 selling price of tangible personal property which he sells
9 and the purchaser thereafter returns such tangible personal
10 property and the retailer refunds the selling price thereof
11 to the purchaser, such retailer shall also refund, to the
12 purchaser, the tax so collected from the purchaser. When
13 filing his return for the period in which he refunds such tax
14 to the purchaser, the retailer may deduct the amount of the
15 tax so refunded by him to the purchaser from any other use
16 tax which such retailer may be required to pay or remit to
17 the Department, as shown by such return, if the amount of the
18 tax to be deducted was previously remitted to the Department
19 by such retailer. If the retailer has not previously
20 remitted the amount of such tax to the Department, he is
21 entitled to no deduction under this Act upon refunding such
22 tax to the purchaser.
23 Any retailer filing a return under this Section shall
24 also include (for the purpose of paying tax thereon) the
25 total tax covered by such return upon the selling price of
26 tangible personal property purchased by him at retail from a
27 retailer, but as to which the tax imposed by this Act was not
28 collected from the retailer filing such return, and such
29 retailer shall remit the amount of such tax to the Department
30 when filing such return.
31 If experience indicates such action to be practicable,
32 the Department may prescribe and furnish a combination or
33 joint return which will enable retailers, who are required to
34 file returns hereunder and also under the Retailers'
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1 Occupation Tax Act, to furnish all the return information
2 required by both Acts on the one form.
3 Where the retailer has more than one business registered
4 with the Department under separate registration under this
5 Act, such retailer may not file each return that is due as a
6 single return covering all such registered businesses, but
7 shall file separate returns for each such registered
8 business.
9 Beginning January 1, 1990, each month the Department
10 shall pay into the State and Local Sales Tax Reform Fund, a
11 special fund in the State Treasury which is hereby created,
12 the net revenue realized for the preceding month from the 1%
13 tax on sales of food for human consumption which is to be
14 consumed off the premises where it is sold (other than
15 alcoholic beverages, soft drinks and food which has been
16 prepared for immediate consumption) and prescription and
17 nonprescription medicines, drugs, medical appliances and
18 insulin, urine testing materials, syringes and needles used
19 by diabetics.
20 Beginning January 1, 1990, each month the Department
21 shall pay into the County and Mass Transit District Fund 4%
22 of the net revenue realized for the preceding month from the
23 6.25% general rate on the selling price of tangible personal
24 property which is purchased outside Illinois at retail from a
25 retailer and which is titled or registered by an agency of
26 this State's government.
27 Beginning January 1, 1990, each month the Department
28 shall pay into the State and Local Sales Tax Reform Fund, a
29 special fund in the State Treasury, 20% of the net revenue
30 realized for the preceding month from the 6.25% general rate
31 on the selling price of tangible personal property, other
32 than tangible personal property which is purchased outside
33 Illinois at retail from a retailer and which is titled or
34 registered by an agency of this State's government.
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1 Beginning November 1, 2000, and so long as the rate
2 remains at 1.25%, each month the Department shall pay into
3 the County and Mass Transit District Fund 20% of the net
4 revenue realized for the preceding month from the 1.25% rate
5 on the selling price of motor fuel and gasohol.
6 Beginning January 1, 1990, each month the Department
7 shall pay into the Local Government Tax Fund 16% of the net
8 revenue realized for the preceding month from the 6.25%
9 general rate on the selling price of tangible personal
10 property which is purchased outside Illinois at retail from a
11 retailer and which is titled or registered by an agency of
12 this State's government.
13 Beginning November 1, 2000, and so long as the rate
14 remains at 1.25%, each month the Department shall pay into
15 the Local Government Tax Fund 80% of the net revenue realized
16 for the preceding month from the 1.25% rate on the selling
17 price of motor fuel and gasohol.
18 Of the remainder of the moneys received by the Department
19 pursuant to this Act, (a) 1.75% thereof shall be paid into
20 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
21 and on and after July 1, 1989, 3.8% thereof shall be paid
22 into the Build Illinois Fund; provided, however, that if in
23 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
24 as the case may be, of the moneys received by the Department
25 and required to be paid into the Build Illinois Fund pursuant
26 to Section 3 of the Retailers' Occupation Tax Act, Section 9
27 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
28 Section 9 of the Service Occupation Tax Act, such Acts being
29 hereinafter called the "Tax Acts" and such aggregate of 2.2%
30 or 3.8%, as the case may be, of moneys being hereinafter
31 called the "Tax Act Amount", and (2) the amount transferred
32 to the Build Illinois Fund from the State and Local Sales Tax
33 Reform Fund shall be less than the Annual Specified Amount
34 (as defined in Section 3 of the Retailers' Occupation Tax
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1 Act), an amount equal to the difference shall be immediately
2 paid into the Build Illinois Fund from other moneys received
3 by the Department pursuant to the Tax Acts; and further
4 provided, that if on the last business day of any month the
5 sum of (1) the Tax Act Amount required to be deposited into
6 the Build Illinois Bond Account in the Build Illinois Fund
7 during such month and (2) the amount transferred during such
8 month to the Build Illinois Fund from the State and Local
9 Sales Tax Reform Fund shall have been less than 1/12 of the
10 Annual Specified Amount, an amount equal to the difference
11 shall be immediately paid into the Build Illinois Fund from
12 other moneys received by the Department pursuant to the Tax
13 Acts; and, further provided, that in no event shall the
14 payments required under the preceding proviso result in
15 aggregate payments into the Build Illinois Fund pursuant to
16 this clause (b) for any fiscal year in excess of the greater
17 of (i) the Tax Act Amount or (ii) the Annual Specified Amount
18 for such fiscal year; and, further provided, that the amounts
19 payable into the Build Illinois Fund under this clause (b)
20 shall be payable only until such time as the aggregate amount
21 on deposit under each trust indenture securing Bonds issued
22 and outstanding pursuant to the Build Illinois Bond Act is
23 sufficient, taking into account any future investment income,
24 to fully provide, in accordance with such indenture, for the
25 defeasance of or the payment of the principal of, premium, if
26 any, and interest on the Bonds secured by such indenture and
27 on any Bonds expected to be issued thereafter and all fees
28 and costs payable with respect thereto, all as certified by
29 the Director of the Bureau of the Budget. If on the last
30 business day of any month in which Bonds are outstanding
31 pursuant to the Build Illinois Bond Act, the aggregate of the
32 moneys deposited in the Build Illinois Bond Account in the
33 Build Illinois Fund in such month shall be less than the
34 amount required to be transferred in such month from the
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1 Build Illinois Bond Account to the Build Illinois Bond
2 Retirement and Interest Fund pursuant to Section 13 of the
3 Build Illinois Bond Act, an amount equal to such deficiency
4 shall be immediately paid from other moneys received by the
5 Department pursuant to the Tax Acts to the Build Illinois
6 Fund; provided, however, that any amounts paid to the Build
7 Illinois Fund in any fiscal year pursuant to this sentence
8 shall be deemed to constitute payments pursuant to clause (b)
9 of the preceding sentence and shall reduce the amount
10 otherwise payable for such fiscal year pursuant to clause (b)
11 of the preceding sentence. The moneys received by the
12 Department pursuant to this Act and required to be deposited
13 into the Build Illinois Fund are subject to the pledge, claim
14 and charge set forth in Section 12 of the Build Illinois Bond
15 Act.
16 Subject to payment of amounts into the Build Illinois
17 Fund as provided in the preceding paragraph or in any
18 amendment thereto hereafter enacted, the following specified
19 monthly installment of the amount requested in the
20 certificate of the Chairman of the Metropolitan Pier and
21 Exposition Authority provided under Section 8.25f of the
22 State Finance Act, but not in excess of the sums designated
23 as "Total Deposit", shall be deposited in the aggregate from
24 collections under Section 9 of the Use Tax Act, Section 9 of
25 the Service Use Tax Act, Section 9 of the Service Occupation
26 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
27 into the McCormick Place Expansion Project Fund in the
28 specified fiscal years.
29 Fiscal Year Total Deposit
30 1993 $0
31 1994 53,000,000
32 1995 58,000,000
33 1996 61,000,000
34 1997 64,000,000
-19- LRB9110257SMdv
1 1998 68,000,000
2 1999 71,000,000
3 2000 75,000,000
4 2001 80,000,000
5 2002 84,000,000
6 2003 89,000,000
7 2004 93,000,000
8 2005 97,000,000
9 2006 102,000,000
10 2007 108,000,000
11 2008 115,000,000
12 2009 120,000,000
13 2010 126,000,000
14 2011 132,000,000
15 2012 138,000,000
16 2013 and 145,000,000
17 each fiscal year
18 thereafter that bonds
19 are outstanding under
20 Section 13.2 of the
21 Metropolitan Pier and
22 Exposition Authority
23 Act, but not after fiscal year 2029.
24 Beginning July 20, 1993 and in each month of each fiscal
25 year thereafter, one-eighth of the amount requested in the
26 certificate of the Chairman of the Metropolitan Pier and
27 Exposition Authority for that fiscal year, less the amount
28 deposited into the McCormick Place Expansion Project Fund by
29 the State Treasurer in the respective month under subsection
30 (g) of Section 13 of the Metropolitan Pier and Exposition
31 Authority Act, plus cumulative deficiencies in the deposits
32 required under this Section for previous months and years,
33 shall be deposited into the McCormick Place Expansion Project
34 Fund, until the full amount requested for the fiscal year,
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1 but not in excess of the amount specified above as "Total
2 Deposit", has been deposited.
3 Subject to payment of amounts into the Build Illinois
4 Fund and the McCormick Place Expansion Project Fund pursuant
5 to the preceding paragraphs or in any amendment thereto
6 hereafter enacted, each month the Department shall pay into
7 the Local Government Distributive Fund .4% of the net revenue
8 realized for the preceding month from the 5% general rate, or
9 .4% of 80% of the net revenue realized for the preceding
10 month from the 6.25% general rate, as the case may be, on the
11 selling price of tangible personal property which amount
12 shall, subject to appropriation, be distributed as provided
13 in Section 2 of the State Revenue Sharing Act. No payments or
14 distributions pursuant to this paragraph shall be made if the
15 tax imposed by this Act on photoprocessing products is
16 declared unconstitutional, or if the proceeds from such tax
17 are unavailable for distribution because of litigation.
18 Subject to payment of amounts into the Build Illinois
19 Fund, the McCormick Place Expansion Project Fund, and the
20 Local Government Distributive Fund pursuant to the preceding
21 paragraphs or in any amendments thereto hereafter enacted,
22 beginning July 1, 1993, the Department shall each month pay
23 into the Illinois Tax Increment Fund 0.27% of 80% of the net
24 revenue realized for the preceding month from the 6.25%
25 general rate on the selling price of tangible personal
26 property.
27 Of the remainder of the moneys received by the Department
28 pursuant to this Act, 75% thereof shall be paid into the
29 State Treasury and 25% shall be reserved in a special account
30 and used only for the transfer to the Common School Fund as
31 part of the monthly transfer from the General Revenue Fund in
32 accordance with Section 8a of the State Finance Act.
33 As soon as possible after the first day of each month,
34 upon certification of the Department of Revenue, the
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1 Comptroller shall order transferred and the Treasurer shall
2 transfer from the General Revenue Fund to the Motor Fuel Tax
3 Fund an amount equal to 1.7% of 80% of the net revenue
4 realized under this Act for the second preceding month.
5 Beginning April 1, 2000, this transfer is no longer required
6 and shall not be made.
7 Net revenue realized for a month shall be the revenue
8 collected by the State pursuant to this Act, less the amount
9 paid out during that month as refunds to taxpayers for
10 overpayment of liability.
11 For greater simplicity of administration, manufacturers,
12 importers and wholesalers whose products are sold at retail
13 in Illinois by numerous retailers, and who wish to do so, may
14 assume the responsibility for accounting and paying to the
15 Department all tax accruing under this Act with respect to
16 such sales, if the retailers who are affected do not make
17 written objection to the Department to this arrangement.
18 (Source: P.A. 90-491, eff. 1-1-99; 90-612, eff. 7-8-98;
19 91-37, eff. 7-1-99; 91-51, eff. 6-30-99; 91-101, eff.
20 7-12-99; 91-541, eff. 8-13-99; revised 9-29-99.)
21 Section 10. The Service Use Tax Act is amended by
22 changing Sections 3-10 and 9 as follows:
23 (35 ILCS 110/3-10) (from Ch. 120, par. 439.33-10)
24 Sec. 3-10. Rate of tax. Unless otherwise provided in
25 this Section, the tax imposed by this Act is at the rate of
26 6.25% of the selling price of tangible personal property
27 transferred as an incident to the sale of service, but, for
28 the purpose of computing this tax, in no event shall the
29 selling price be less than the cost price of the property to
30 the serviceman.
31 With respect to motor fuel, as defined in Section 1.1 of
32 the Motor Fuel Tax Law, and gasohol, as defined in Section
-22- LRB9110257SMdv
1 3-40 of the Use Tax Act, the tax is imposed at the rate of
2 1.25%. If, however, the aggregate tax revenues from motor
3 fuel and gasohol under the Use Tax Act, the Service Use Tax
4 Act, the Service Occupation Tax Act, and the Retailers'
5 Occupation Tax Act during the period from October 1, 2003
6 through September 30, 2004 are not at least 15% more than the
7 aggregate tax revenues from motor fuel and gasohol under
8 those Acts during the period from October 1, 2000 through
9 September 30, 2001, then beginning January 1, 2005 the tax is
10 imposed on motor fuel and gasohol at the 6.25% general rate.
11 With respect to gasohol, as defined in the Use Tax Act,
12 the tax imposed by this Act applies to 70% of the selling
13 price of property transferred as an incident to the sale of
14 service on or after January 1, 1990, and before July 1, 2003,
15 and to 100% of the selling price thereafter.
16 At the election of any registered serviceman made for
17 each fiscal year, sales of service in which the aggregate
18 annual cost price of tangible personal property transferred
19 as an incident to the sales of service is less than 35%, or
20 75% in the case of servicemen transferring prescription drugs
21 or servicemen engaged in graphic arts production, of the
22 aggregate annual total gross receipts from all sales of
23 service, the tax imposed by this Act shall be based on the
24 serviceman's cost price of the tangible personal property
25 transferred as an incident to the sale of those services.
26 The tax shall be imposed at the rate of 1% on food
27 prepared for immediate consumption and transferred incident
28 to a sale of service subject to this Act or the Service
29 Occupation Tax Act by an entity licensed under the Hospital
30 Licensing Act, the Nursing Home Care Act, or the Child Care
31 Act of 1969. The tax shall also be imposed at the rate of 1%
32 on food for human consumption that is to be consumed off the
33 premises where it is sold (other than alcoholic beverages,
34 soft drinks, and food that has been prepared for immediate
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1 consumption and is not otherwise included in this paragraph)
2 and prescription and nonprescription medicines, drugs,
3 medical appliances, modifications to a motor vehicle for the
4 purpose of rendering it usable by a disabled person, and
5 insulin, urine testing materials, syringes, and needles used
6 by diabetics, for human use. For the purposes of this
7 Section, the term "soft drinks" means any complete, finished,
8 ready-to-use, non-alcoholic drink, whether carbonated or not,
9 including but not limited to soda water, cola, fruit juice,
10 vegetable juice, carbonated water, and all other preparations
11 commonly known as soft drinks of whatever kind or description
12 that are contained in any closed or sealed bottle, can,
13 carton, or container, regardless of size. "Soft drinks" does
14 not include coffee, tea, non-carbonated water, infant
15 formula, milk or milk products as defined in the Grade A
16 Pasteurized Milk and Milk Products Act, or drinks containing
17 50% or more natural fruit or vegetable juice.
18 Notwithstanding any other provisions of this Act, "food
19 for human consumption that is to be consumed off the premises
20 where it is sold" includes all food sold through a vending
21 machine, except soft drinks and food products that are
22 dispensed hot from a vending machine, regardless of the
23 location of the vending machine.
24 If the property that is acquired from a serviceman is
25 acquired outside Illinois and used outside Illinois before
26 being brought to Illinois for use here and is taxable under
27 this Act, the "selling price" on which the tax is computed
28 shall be reduced by an amount that represents a reasonable
29 allowance for depreciation for the period of prior
30 out-of-state use.
31 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
32 91-51, eff. 6-30-99; 91-541, eff. 8-13-99.)
33 (35 ILCS 110/9) (from Ch. 120, par. 439.39)
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1 Sec. 9. Each serviceman required or authorized to
2 collect the tax herein imposed shall pay to the Department
3 the amount of such tax (except as otherwise provided) at the
4 time when he is required to file his return for the period
5 during which such tax was collected, less a discount of 2.1%
6 prior to January 1, 1990 and 1.75% on and after January 1,
7 1990, or $5 per calendar year, whichever is greater, which is
8 allowed to reimburse the serviceman for expenses incurred in
9 collecting the tax, keeping records, preparing and filing
10 returns, remitting the tax and supplying data to the
11 Department on request. A serviceman need not remit that part
12 of any tax collected by him to the extent that he is required
13 to pay and does pay the tax imposed by the Service Occupation
14 Tax Act with respect to his sale of service involving the
15 incidental transfer by him of the same property.
16 Except as provided hereinafter in this Section, on or
17 before the twentieth day of each calendar month, such
18 serviceman shall file a return for the preceding calendar
19 month in accordance with reasonable Rules and Regulations to
20 be promulgated by the Department. Such return shall be filed
21 on a form prescribed by the Department and shall contain such
22 information as the Department may reasonably require.
23 The Department may require returns to be filed on a
24 quarterly basis. If so required, a return for each calendar
25 quarter shall be filed on or before the twentieth day of the
26 calendar month following the end of such calendar quarter.
27 The taxpayer shall also file a return with the Department for
28 each of the first two months of each calendar quarter, on or
29 before the twentieth day of the following calendar month,
30 stating:
31 1. The name of the seller;
32 2. The address of the principal place of business
33 from which he engages in business as a serviceman in this
34 State;
-25- LRB9110257SMdv
1 3. The total amount of taxable receipts received by
2 him during the preceding calendar month, including
3 receipts from charge and time sales, but less all
4 deductions allowed by law;
5 4. The amount of credit provided in Section 2d of
6 this Act;
7 5. The amount of tax due;
8 5-5. The signature of the taxpayer; and
9 6. Such other reasonable information as the
10 Department may require.
11 If a taxpayer fails to sign a return within 30 days after
12 the proper notice and demand for signature by the Department,
13 the return shall be considered valid and any amount shown to
14 be due on the return shall be deemed assessed.
15 Beginning October 1, 1993, a taxpayer who has an average
16 monthly tax liability of $150,000 or more shall make all
17 payments required by rules of the Department by electronic
18 funds transfer. Beginning October 1, 1994, a taxpayer who
19 has an average monthly tax liability of $100,000 or more
20 shall make all payments required by rules of the Department
21 by electronic funds transfer. Beginning October 1, 1995, a
22 taxpayer who has an average monthly tax liability of $50,000
23 or more shall make all payments required by rules of the
24 Department by electronic funds transfer. Beginning October 1,
25 2000, a taxpayer who has an annual tax liability of $200,000
26 or more shall make all payments required by rules of the
27 Department by electronic funds transfer. The term "annual
28 tax liability" shall be the sum of the taxpayer's liabilities
29 under this Act, and under all other State and local
30 occupation and use tax laws administered by the Department,
31 for the immediately preceding calendar year. The term
32 "average monthly tax liability" means the sum of the
33 taxpayer's liabilities under this Act, and under all other
34 State and local occupation and use tax laws administered by
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1 the Department, for the immediately preceding calendar year
2 divided by 12.
3 Before August 1 of each year beginning in 1993, the
4 Department shall notify all taxpayers required to make
5 payments by electronic funds transfer. All taxpayers required
6 to make payments by electronic funds transfer shall make
7 those payments for a minimum of one year beginning on October
8 1.
9 Any taxpayer not required to make payments by electronic
10 funds transfer may make payments by electronic funds transfer
11 with the permission of the Department.
12 All taxpayers required to make payment by electronic
13 funds transfer and any taxpayers authorized to voluntarily
14 make payments by electronic funds transfer shall make those
15 payments in the manner authorized by the Department.
16 The Department shall adopt such rules as are necessary to
17 effectuate a program of electronic funds transfer and the
18 requirements of this Section.
19 If the serviceman is otherwise required to file a monthly
20 return and if the serviceman's average monthly tax liability
21 to the Department does not exceed $200, the Department may
22 authorize his returns to be filed on a quarter annual basis,
23 with the return for January, February and March of a given
24 year being due by April 20 of such year; with the return for
25 April, May and June of a given year being due by July 20 of
26 such year; with the return for July, August and September of
27 a given year being due by October 20 of such year, and with
28 the return for October, November and December of a given year
29 being due by January 20 of the following year.
30 If the serviceman is otherwise required to file a monthly
31 or quarterly return and if the serviceman's average monthly
32 tax liability to the Department does not exceed $50, the
33 Department may authorize his returns to be filed on an annual
34 basis, with the return for a given year being due by January
-27- LRB9110257SMdv
1 20 of the following year.
2 Such quarter annual and annual returns, as to form and
3 substance, shall be subject to the same requirements as
4 monthly returns.
5 Notwithstanding any other provision in this Act
6 concerning the time within which a serviceman may file his
7 return, in the case of any serviceman who ceases to engage in
8 a kind of business which makes him responsible for filing
9 returns under this Act, such serviceman shall file a final
10 return under this Act with the Department not more than 1
11 month after discontinuing such business.
12 Where a serviceman collects the tax with respect to the
13 selling price of property which he sells and the purchaser
14 thereafter returns such property and the serviceman refunds
15 the selling price thereof to the purchaser, such serviceman
16 shall also refund, to the purchaser, the tax so collected
17 from the purchaser. When filing his return for the period in
18 which he refunds such tax to the purchaser, the serviceman
19 may deduct the amount of the tax so refunded by him to the
20 purchaser from any other Service Use Tax, Service Occupation
21 Tax, retailers' occupation tax or use tax which such
22 serviceman may be required to pay or remit to the Department,
23 as shown by such return, provided that the amount of the tax
24 to be deducted shall previously have been remitted to the
25 Department by such serviceman. If the serviceman shall not
26 previously have remitted the amount of such tax to the
27 Department, he shall be entitled to no deduction hereunder
28 upon refunding such tax to the purchaser.
29 Any serviceman filing a return hereunder shall also
30 include the total tax upon the selling price of tangible
31 personal property purchased for use by him as an incident to
32 a sale of service, and such serviceman shall remit the amount
33 of such tax to the Department when filing such return.
34 If experience indicates such action to be practicable,
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1 the Department may prescribe and furnish a combination or
2 joint return which will enable servicemen, who are required
3 to file returns hereunder and also under the Service
4 Occupation Tax Act, to furnish all the return information
5 required by both Acts on the one form.
6 Where the serviceman has more than one business
7 registered with the Department under separate registration
8 hereunder, such serviceman shall not file each return that is
9 due as a single return covering all such registered
10 businesses, but shall file separate returns for each such
11 registered business.
12 Beginning January 1, 1990, each month the Department
13 shall pay into the State and Local Tax Reform Fund, a special
14 fund in the State Treasury, the net revenue realized for the
15 preceding month from the 1% tax on sales of food for human
16 consumption which is to be consumed off the premises where it
17 is sold (other than alcoholic beverages, soft drinks and food
18 which has been prepared for immediate consumption) and
19 prescription and nonprescription medicines, drugs, medical
20 appliances and insulin, urine testing materials, syringes and
21 needles used by diabetics.
22 Beginning November 1, 2000, and so long as the rate
23 remains at 1.25%, each month the Department shall pay into
24 the County and Mass Transit District Fund 20% of the net
25 revenue realized for the preceding month from the 1.25% rate
26 on the selling price of motor fuel and gasohol.
27 Beginning January 1, 1990, each month the Department
28 shall pay into the State and Local Sales Tax Reform Fund 20%
29 of the net revenue realized for the preceding month from the
30 6.25% general rate on transfers of tangible personal
31 property, other than tangible personal property which is
32 purchased outside Illinois at retail from a retailer and
33 which is titled or registered by an agency of this State's
34 government.
-29- LRB9110257SMdv
1 Beginning November 1, 2000, and so long as the rate
2 remains at 1.25%, each month the Department shall pay into
3 the Local Government Tax Fund 80% of the net revenue realized
4 for the preceding month from the 1.25% rate on the selling
5 price of motor fuel and gasohol.
6 Of the remainder of the moneys received by the Department
7 pursuant to this Act, (a) 1.75% thereof shall be paid into
8 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
9 and on and after July 1, 1989, 3.8% thereof shall be paid
10 into the Build Illinois Fund; provided, however, that if in
11 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
12 as the case may be, of the moneys received by the Department
13 and required to be paid into the Build Illinois Fund pursuant
14 to Section 3 of the Retailers' Occupation Tax Act, Section 9
15 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
16 Section 9 of the Service Occupation Tax Act, such Acts being
17 hereinafter called the "Tax Acts" and such aggregate of 2.2%
18 or 3.8%, as the case may be, of moneys being hereinafter
19 called the "Tax Act Amount", and (2) the amount transferred
20 to the Build Illinois Fund from the State and Local Sales Tax
21 Reform Fund shall be less than the Annual Specified Amount
22 (as defined in Section 3 of the Retailers' Occupation Tax
23 Act), an amount equal to the difference shall be immediately
24 paid into the Build Illinois Fund from other moneys received
25 by the Department pursuant to the Tax Acts; and further
26 provided, that if on the last business day of any month the
27 sum of (1) the Tax Act Amount required to be deposited into
28 the Build Illinois Bond Account in the Build Illinois Fund
29 during such month and (2) the amount transferred during such
30 month to the Build Illinois Fund from the State and Local
31 Sales Tax Reform Fund shall have been less than 1/12 of the
32 Annual Specified Amount, an amount equal to the difference
33 shall be immediately paid into the Build Illinois Fund from
34 other moneys received by the Department pursuant to the Tax
-30- LRB9110257SMdv
1 Acts; and, further provided, that in no event shall the
2 payments required under the preceding proviso result in
3 aggregate payments into the Build Illinois Fund pursuant to
4 this clause (b) for any fiscal year in excess of the greater
5 of (i) the Tax Act Amount or (ii) the Annual Specified Amount
6 for such fiscal year; and, further provided, that the amounts
7 payable into the Build Illinois Fund under this clause (b)
8 shall be payable only until such time as the aggregate amount
9 on deposit under each trust indenture securing Bonds issued
10 and outstanding pursuant to the Build Illinois Bond Act is
11 sufficient, taking into account any future investment income,
12 to fully provide, in accordance with such indenture, for the
13 defeasance of or the payment of the principal of, premium, if
14 any, and interest on the Bonds secured by such indenture and
15 on any Bonds expected to be issued thereafter and all fees
16 and costs payable with respect thereto, all as certified by
17 the Director of the Bureau of the Budget. If on the last
18 business day of any month in which Bonds are outstanding
19 pursuant to the Build Illinois Bond Act, the aggregate of the
20 moneys deposited in the Build Illinois Bond Account in the
21 Build Illinois Fund in such month shall be less than the
22 amount required to be transferred in such month from the
23 Build Illinois Bond Account to the Build Illinois Bond
24 Retirement and Interest Fund pursuant to Section 13 of the
25 Build Illinois Bond Act, an amount equal to such deficiency
26 shall be immediately paid from other moneys received by the
27 Department pursuant to the Tax Acts to the Build Illinois
28 Fund; provided, however, that any amounts paid to the Build
29 Illinois Fund in any fiscal year pursuant to this sentence
30 shall be deemed to constitute payments pursuant to clause (b)
31 of the preceding sentence and shall reduce the amount
32 otherwise payable for such fiscal year pursuant to clause (b)
33 of the preceding sentence. The moneys received by the
34 Department pursuant to this Act and required to be deposited
-31- LRB9110257SMdv
1 into the Build Illinois Fund are subject to the pledge, claim
2 and charge set forth in Section 12 of the Build Illinois Bond
3 Act.
4 Subject to payment of amounts into the Build Illinois
5 Fund as provided in the preceding paragraph or in any
6 amendment thereto hereafter enacted, the following specified
7 monthly installment of the amount requested in the
8 certificate of the Chairman of the Metropolitan Pier and
9 Exposition Authority provided under Section 8.25f of the
10 State Finance Act, but not in excess of the sums designated
11 as "Total Deposit", shall be deposited in the aggregate from
12 collections under Section 9 of the Use Tax Act, Section 9 of
13 the Service Use Tax Act, Section 9 of the Service Occupation
14 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
15 into the McCormick Place Expansion Project Fund in the
16 specified fiscal years.
17 Fiscal Year Total Deposit
18 1993 $0
19 1994 53,000,000
20 1995 58,000,000
21 1996 61,000,000
22 1997 64,000,000
23 1998 68,000,000
24 1999 71,000,000
25 2000 75,000,000
26 2001 80,000,000
27 2002 84,000,000
28 2003 89,000,000
29 2004 93,000,000
30 2005 97,000,000
31 2006 102,000,000
32 2007 108,000,000
33 2008 115,000,000
34 2009 120,000,000
-32- LRB9110257SMdv
1 2010 126,000,000
2 2011 132,000,000
3 2012 138,000,000
4 2013 and 145,000,000
5 each fiscal year
6 thereafter that bonds
7 are outstanding under
8 Section 13.2 of the
9 Metropolitan Pier and
10 Exposition Authority Act,
11 but not after fiscal year 2029.
12 Beginning July 20, 1993 and in each month of each fiscal
13 year thereafter, one-eighth of the amount requested in the
14 certificate of the Chairman of the Metropolitan Pier and
15 Exposition Authority for that fiscal year, less the amount
16 deposited into the McCormick Place Expansion Project Fund by
17 the State Treasurer in the respective month under subsection
18 (g) of Section 13 of the Metropolitan Pier and Exposition
19 Authority Act, plus cumulative deficiencies in the deposits
20 required under this Section for previous months and years,
21 shall be deposited into the McCormick Place Expansion Project
22 Fund, until the full amount requested for the fiscal year,
23 but not in excess of the amount specified above as "Total
24 Deposit", has been deposited.
25 Subject to payment of amounts into the Build Illinois
26 Fund and the McCormick Place Expansion Project Fund pursuant
27 to the preceding paragraphs or in any amendment thereto
28 hereafter enacted, each month the Department shall pay into
29 the Local Government Distributive Fund 0.4% of the net
30 revenue realized for the preceding month from the 5% general
31 rate or 0.4% of 80% of the net revenue realized for the
32 preceding month from the 6.25% general rate, as the case may
33 be, on the selling price of tangible personal property which
34 amount shall, subject to appropriation, be distributed as
-33- LRB9110257SMdv
1 provided in Section 2 of the State Revenue Sharing Act. No
2 payments or distributions pursuant to this paragraph shall be
3 made if the tax imposed by this Act on photo processing
4 products is declared unconstitutional, or if the proceeds
5 from such tax are unavailable for distribution because of
6 litigation.
7 Subject to payment of amounts into the Build Illinois
8 Fund, the McCormick Place Expansion Project Fund, and the
9 Local Government Distributive Fund pursuant to the preceding
10 paragraphs or in any amendments thereto hereafter enacted,
11 beginning July 1, 1993, the Department shall each month pay
12 into the Illinois Tax Increment Fund 0.27% of 80% of the net
13 revenue realized for the preceding month from the 6.25%
14 general rate on the selling price of tangible personal
15 property.
16 All remaining moneys received by the Department pursuant
17 to this Act shall be paid into the General Revenue Fund of
18 the State Treasury.
19 As soon as possible after the first day of each month,
20 upon certification of the Department of Revenue, the
21 Comptroller shall order transferred and the Treasurer shall
22 transfer from the General Revenue Fund to the Motor Fuel Tax
23 Fund an amount equal to 1.7% of 80% of the net revenue
24 realized under this Act for the second preceding month.
25 Beginning April 1, 2000, this transfer is no longer required
26 and shall not be made.
27 Net revenue realized for a month shall be the revenue
28 collected by the State pursuant to this Act, less the amount
29 paid out during that month as refunds to taxpayers for
30 overpayment of liability.
31 (Source: P.A. 90-612, eff. 7-8-98; 91-37, eff. 7-1-99; 91-51,
32 eff. 6-30-99; 91-101, eff. 7-12-99; 91-541, eff. 8-13-99;
33 revised 9-27-99.)
-34- LRB9110257SMdv
1 Section 15. The Service Occupation Tax Act is amended by
2 changing Sections 3-10 and 9 as follows:
3 (35 ILCS 115/3-10) (from Ch. 120, par. 439.103-10)
4 Sec. 3-10. Rate of tax. Unless otherwise provided in
5 this Section, the tax imposed by this Act is at the rate of
6 6.25% of the "selling price", as defined in Section 2 of the
7 Service Use Tax Act, of the tangible personal property. For
8 the purpose of computing this tax, in no event shall the
9 "selling price" be less than the cost price to the serviceman
10 of the tangible personal property transferred. The selling
11 price of each item of tangible personal property transferred
12 as an incident of a sale of service may be shown as a
13 distinct and separate item on the serviceman's billing to the
14 service customer. If the selling price is not so shown, the
15 selling price of the tangible personal property is deemed to
16 be 50% of the serviceman's entire billing to the service
17 customer. When, however, a serviceman contracts to design,
18 develop, and produce special order machinery or equipment,
19 the tax imposed by this Act shall be based on the
20 serviceman's cost price of the tangible personal property
21 transferred incident to the completion of the contract.
22 With respect to motor fuel, as defined in Section 1.1 of
23 the Motor Fuel Tax Law, and gasohol, as defined in Section
24 3-40 of the Use Tax Act, the tax is imposed at the rate of
25 1.25%. If, however, the aggregate tax revenues from motor
26 fuel and gasohol under the Use Tax Act, the Service Use Tax
27 Act, the Service Occupation Tax Act, and the Retailers'
28 Occupation Tax Act during the period from October 1, 2003
29 through September 30, 2004 are not at least 15% more than the
30 aggregate tax revenues from motor fuel and gasohol under
31 those Acts during the period from October 1, 2000 through
32 September 30, 2001, then beginning January 1, 2005 the tax is
33 imposed on motor fuel and gasohol at the 6.25% general rate.
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1 With respect to gasohol, as defined in the Use Tax Act,
2 the tax imposed by this Act shall apply to 70% of the cost
3 price of property transferred as an incident to the sale of
4 service on or after January 1, 1990, and before July 1, 2003,
5 and to 100% of the cost price thereafter.
6 At the election of any registered serviceman made for
7 each fiscal year, sales of service in which the aggregate
8 annual cost price of tangible personal property transferred
9 as an incident to the sales of service is less than 35%, or
10 75% in the case of servicemen transferring prescription drugs
11 or servicemen engaged in graphic arts production, of the
12 aggregate annual total gross receipts from all sales of
13 service, the tax imposed by this Act shall be based on the
14 serviceman's cost price of the tangible personal property
15 transferred incident to the sale of those services.
16 The tax shall be imposed at the rate of 1% on food
17 prepared for immediate consumption and transferred incident
18 to a sale of service subject to this Act or the Service
19 Occupation Tax Act by an entity licensed under the Hospital
20 Licensing Act, the Nursing Home Care Act, or the Child Care
21 Act of 1969. The tax shall also be imposed at the rate of 1%
22 on food for human consumption that is to be consumed off the
23 premises where it is sold (other than alcoholic beverages,
24 soft drinks, and food that has been prepared for immediate
25 consumption and is not otherwise included in this paragraph)
26 and prescription and nonprescription medicines, drugs,
27 medical appliances, modifications to a motor vehicle for the
28 purpose of rendering it usable by a disabled person, and
29 insulin, urine testing materials, syringes, and needles used
30 by diabetics, for human use. For the purposes of this
31 Section, the term "soft drinks" means any complete, finished,
32 ready-to-use, non-alcoholic drink, whether carbonated or not,
33 including but not limited to soda water, cola, fruit juice,
34 vegetable juice, carbonated water, and all other preparations
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1 commonly known as soft drinks of whatever kind or description
2 that are contained in any closed or sealed can, carton, or
3 container, regardless of size. "Soft drinks" does not
4 include coffee, tea, non-carbonated water, infant formula,
5 milk or milk products as defined in the Grade A Pasteurized
6 Milk and Milk Products Act, or drinks containing 50% or more
7 natural fruit or vegetable juice.
8 Notwithstanding any other provisions of this Act, "food
9 for human consumption that is to be consumed off the premises
10 where it is sold" includes all food sold through a vending
11 machine, except soft drinks and food products that are
12 dispensed hot from a vending machine, regardless of the
13 location of the vending machine.
14 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
15 91-51, 6-30-99; 91-541, eff. 8-13-99.)
16 (35 ILCS 115/9) (from Ch. 120, par. 439.109)
17 Sec. 9. Each serviceman required or authorized to
18 collect the tax herein imposed shall pay to the Department
19 the amount of such tax at the time when he is required to
20 file his return for the period during which such tax was
21 collectible, less a discount of 2.1% prior to January 1,
22 1990, and 1.75% on and after January 1, 1990, or $5 per
23 calendar year, whichever is greater, which is allowed to
24 reimburse the serviceman for expenses incurred in collecting
25 the tax, keeping records, preparing and filing returns,
26 remitting the tax and supplying data to the Department on
27 request.
28 Where such tangible personal property is sold under a
29 conditional sales contract, or under any other form of sale
30 wherein the payment of the principal sum, or a part thereof,
31 is extended beyond the close of the period for which the
32 return is filed, the serviceman, in collecting the tax may
33 collect, for each tax return period, only the tax applicable
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1 to the part of the selling price actually received during
2 such tax return period.
3 Except as provided hereinafter in this Section, on or
4 before the twentieth day of each calendar month, such
5 serviceman shall file a return for the preceding calendar
6 month in accordance with reasonable rules and regulations to
7 be promulgated by the Department of Revenue. Such return
8 shall be filed on a form prescribed by the Department and
9 shall contain such information as the Department may
10 reasonably require.
11 The Department may require returns to be filed on a
12 quarterly basis. If so required, a return for each calendar
13 quarter shall be filed on or before the twentieth day of the
14 calendar month following the end of such calendar quarter.
15 The taxpayer shall also file a return with the Department for
16 each of the first two months of each calendar quarter, on or
17 before the twentieth day of the following calendar month,
18 stating:
19 1. The name of the seller;
20 2. The address of the principal place of business
21 from which he engages in business as a serviceman in this
22 State;
23 3. The total amount of taxable receipts received by
24 him during the preceding calendar month, including
25 receipts from charge and time sales, but less all
26 deductions allowed by law;
27 4. The amount of credit provided in Section 2d of
28 this Act;
29 5. The amount of tax due;
30 5-5. The signature of the taxpayer; and
31 6. Such other reasonable information as the
32 Department may require.
33 If a taxpayer fails to sign a return within 30 days after
34 the proper notice and demand for signature by the Department,
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1 the return shall be considered valid and any amount shown to
2 be due on the return shall be deemed assessed.
3 A serviceman may accept a Manufacturer's Purchase Credit
4 certification from a purchaser in satisfaction of Service Use
5 Tax as provided in Section 3-70 of the Service Use Tax Act if
6 the purchaser provides the appropriate documentation as
7 required by Section 3-70 of the Service Use Tax Act. A
8 Manufacturer's Purchase Credit certification, accepted by a
9 serviceman as provided in Section 3-70 of the Service Use Tax
10 Act, may be used by that serviceman to satisfy Service
11 Occupation Tax liability in the amount claimed in the
12 certification, not to exceed 6.25% of the receipts subject to
13 tax from a qualifying purchase.
14 If the serviceman's average monthly tax liability to the
15 Department does not exceed $200, the Department may authorize
16 his returns to be filed on a quarter annual basis, with the
17 return for January, February and March of a given year being
18 due by April 20 of such year; with the return for April, May
19 and June of a given year being due by July 20 of such year;
20 with the return for July, August and September of a given
21 year being due by October 20 of such year, and with the
22 return for October, November and December of a given year
23 being due by January 20 of the following year.
24 If the serviceman's average monthly tax liability to the
25 Department does not exceed $50, the Department may authorize
26 his returns to be filed on an annual basis, with the return
27 for a given year being due by January 20 of the following
28 year.
29 Such quarter annual and annual returns, as to form and
30 substance, shall be subject to the same requirements as
31 monthly returns.
32 Notwithstanding any other provision in this Act
33 concerning the time within which a serviceman may file his
34 return, in the case of any serviceman who ceases to engage in
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1 a kind of business which makes him responsible for filing
2 returns under this Act, such serviceman shall file a final
3 return under this Act with the Department not more than 1
4 month after discontinuing such business.
5 Beginning October 1, 1993, a taxpayer who has an average
6 monthly tax liability of $150,000 or more shall make all
7 payments required by rules of the Department by electronic
8 funds transfer. Beginning October 1, 1994, a taxpayer who
9 has an average monthly tax liability of $100,000 or more
10 shall make all payments required by rules of the Department
11 by electronic funds transfer. Beginning October 1, 1995, a
12 taxpayer who has an average monthly tax liability of $50,000
13 or more shall make all payments required by rules of the
14 Department by electronic funds transfer. Beginning October
15 1, 2000, a taxpayer who has an annual tax liability of
16 $200,000 or more shall make all payments required by rules of
17 the Department by electronic funds transfer. The term
18 "annual tax liability" shall be the sum of the taxpayer's
19 liabilities under this Act, and under all other State and
20 local occupation and use tax laws administered by the
21 Department, for the immediately preceding calendar year. The
22 term "average monthly tax liability" means the sum of the
23 taxpayer's liabilities under this Act, and under all other
24 State and local occupation and use tax laws administered by
25 the Department, for the immediately preceding calendar year
26 divided by 12.
27 Before August 1 of each year beginning in 1993, the
28 Department shall notify all taxpayers required to make
29 payments by electronic funds transfer. All taxpayers
30 required to make payments by electronic funds transfer shall
31 make those payments for a minimum of one year beginning on
32 October 1.
33 Any taxpayer not required to make payments by electronic
34 funds transfer may make payments by electronic funds transfer
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1 with the permission of the Department.
2 All taxpayers required to make payment by electronic
3 funds transfer and any taxpayers authorized to voluntarily
4 make payments by electronic funds transfer shall make those
5 payments in the manner authorized by the Department.
6 The Department shall adopt such rules as are necessary to
7 effectuate a program of electronic funds transfer and the
8 requirements of this Section.
9 Where a serviceman collects the tax with respect to the
10 selling price of tangible personal property which he sells
11 and the purchaser thereafter returns such tangible personal
12 property and the serviceman refunds the selling price thereof
13 to the purchaser, such serviceman shall also refund, to the
14 purchaser, the tax so collected from the purchaser. When
15 filing his return for the period in which he refunds such tax
16 to the purchaser, the serviceman may deduct the amount of the
17 tax so refunded by him to the purchaser from any other
18 Service Occupation Tax, Service Use Tax, Retailers'
19 Occupation Tax or Use Tax which such serviceman may be
20 required to pay or remit to the Department, as shown by such
21 return, provided that the amount of the tax to be deducted
22 shall previously have been remitted to the Department by such
23 serviceman. If the serviceman shall not previously have
24 remitted the amount of such tax to the Department, he shall
25 be entitled to no deduction hereunder upon refunding such tax
26 to the purchaser.
27 If experience indicates such action to be practicable,
28 the Department may prescribe and furnish a combination or
29 joint return which will enable servicemen, who are required
30 to file returns hereunder and also under the Retailers'
31 Occupation Tax Act, the Use Tax Act or the Service Use Tax
32 Act, to furnish all the return information required by all
33 said Acts on the one form.
34 Where the serviceman has more than one business
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1 registered with the Department under separate registrations
2 hereunder, such serviceman shall file separate returns for
3 each registered business.
4 Beginning January 1, 1990, each month the Department
5 shall pay into the Local Government Tax Fund the revenue
6 realized for the preceding month from the 1% tax on sales of
7 food for human consumption which is to be consumed off the
8 premises where it is sold (other than alcoholic beverages,
9 soft drinks and food which has been prepared for immediate
10 consumption) and prescription and nonprescription medicines,
11 drugs, medical appliances and insulin, urine testing
12 materials, syringes and needles used by diabetics.
13 Beginning January 1, 1990, each month the Department
14 shall pay into the County and Mass Transit District Fund 4%
15 of the revenue realized for the preceding month from the
16 6.25% general rate.
17 Beginning November 1, 2000, and so long as the rate
18 remains at 1.25%, each month the Department shall pay into
19 the County and Mass Transit District Fund 20% of the net
20 revenue realized for the preceding month from the 1.25% rate
21 on the selling price of motor fuel and gasohol.
22 Beginning January 1, 1990, each month the Department
23 shall pay into the Local Government Tax Fund 16% of the
24 revenue realized for the preceding month from the 6.25%
25 general rate on transfers of tangible personal property.
26 Beginning November 1, 2000, and so long as the rate
27 remains at 1.25%, each month the Department shall pay into
28 the Local Government Tax Fund 80% of the net revenue realized
29 for the preceding month from the 1.25% rate on the selling
30 price of motor fuel and gasohol.
31 Of the remainder of the moneys received by the Department
32 pursuant to this Act, (a) 1.75% thereof shall be paid into
33 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
34 and on and after July 1, 1989, 3.8% thereof shall be paid
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1 into the Build Illinois Fund; provided, however, that if in
2 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
3 as the case may be, of the moneys received by the Department
4 and required to be paid into the Build Illinois Fund pursuant
5 to Section 3 of the Retailers' Occupation Tax Act, Section 9
6 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
7 Section 9 of the Service Occupation Tax Act, such Acts being
8 hereinafter called the "Tax Acts" and such aggregate of 2.2%
9 or 3.8%, as the case may be, of moneys being hereinafter
10 called the "Tax Act Amount", and (2) the amount transferred
11 to the Build Illinois Fund from the State and Local Sales Tax
12 Reform Fund shall be less than the Annual Specified Amount
13 (as defined in Section 3 of the Retailers' Occupation Tax
14 Act), an amount equal to the difference shall be immediately
15 paid into the Build Illinois Fund from other moneys received
16 by the Department pursuant to the Tax Acts; and further
17 provided, that if on the last business day of any month the
18 sum of (1) the Tax Act Amount required to be deposited into
19 the Build Illinois Account in the Build Illinois Fund during
20 such month and (2) the amount transferred during such month
21 to the Build Illinois Fund from the State and Local Sales Tax
22 Reform Fund shall have been less than 1/12 of the Annual
23 Specified Amount, an amount equal to the difference shall be
24 immediately paid into the Build Illinois Fund from other
25 moneys received by the Department pursuant to the Tax Acts;
26 and, further provided, that in no event shall the payments
27 required under the preceding proviso result in aggregate
28 payments into the Build Illinois Fund pursuant to this clause
29 (b) for any fiscal year in excess of the greater of (i) the
30 Tax Act Amount or (ii) the Annual Specified Amount for such
31 fiscal year; and, further provided, that the amounts payable
32 into the Build Illinois Fund under this clause (b) shall be
33 payable only until such time as the aggregate amount on
34 deposit under each trust indenture securing Bonds issued and
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1 outstanding pursuant to the Build Illinois Bond Act is
2 sufficient, taking into account any future investment income,
3 to fully provide, in accordance with such indenture, for the
4 defeasance of or the payment of the principal of, premium, if
5 any, and interest on the Bonds secured by such indenture and
6 on any Bonds expected to be issued thereafter and all fees
7 and costs payable with respect thereto, all as certified by
8 the Director of the Bureau of the Budget. If on the last
9 business day of any month in which Bonds are outstanding
10 pursuant to the Build Illinois Bond Act, the aggregate of the
11 moneys deposited in the Build Illinois Bond Account in the
12 Build Illinois Fund in such month shall be less than the
13 amount required to be transferred in such month from the
14 Build Illinois Bond Account to the Build Illinois Bond
15 Retirement and Interest Fund pursuant to Section 13 of the
16 Build Illinois Bond Act, an amount equal to such deficiency
17 shall be immediately paid from other moneys received by the
18 Department pursuant to the Tax Acts to the Build Illinois
19 Fund; provided, however, that any amounts paid to the Build
20 Illinois Fund in any fiscal year pursuant to this sentence
21 shall be deemed to constitute payments pursuant to clause (b)
22 of the preceding sentence and shall reduce the amount
23 otherwise payable for such fiscal year pursuant to clause (b)
24 of the preceding sentence. The moneys received by the
25 Department pursuant to this Act and required to be deposited
26 into the Build Illinois Fund are subject to the pledge, claim
27 and charge set forth in Section 12 of the Build Illinois Bond
28 Act.
29 Subject to payment of amounts into the Build Illinois
30 Fund as provided in the preceding paragraph or in any
31 amendment thereto hereafter enacted, the following specified
32 monthly installment of the amount requested in the
33 certificate of the Chairman of the Metropolitan Pier and
34 Exposition Authority provided under Section 8.25f of the
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1 State Finance Act, but not in excess of the sums designated
2 as "Total Deposit", shall be deposited in the aggregate from
3 collections under Section 9 of the Use Tax Act, Section 9 of
4 the Service Use Tax Act, Section 9 of the Service Occupation
5 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
6 into the McCormick Place Expansion Project Fund in the
7 specified fiscal years.
8 Fiscal Year Total Deposit
9 1993 $0
10 1994 53,000,000
11 1995 58,000,000
12 1996 61,000,000
13 1997 64,000,000
14 1998 68,000,000
15 1999 71,000,000
16 2000 75,000,000
17 2001 80,000,000
18 2002 84,000,000
19 2003 89,000,000
20 2004 93,000,000
21 2005 97,000,000
22 2006 102,000,000
23 2007 108,000,000
24 2008 115,000,000
25 2009 120,000,000
26 2010 126,000,000
27 2011 132,000,000
28 2012 138,000,000
29 2013 and 145,000,000
30 each fiscal year
31 thereafter that bonds
32 are outstanding under
33 Section 13.2 of the
34 Metropolitan Pier and
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1 Exposition Authority
2 Act, but not after fiscal year 2029.
3 Beginning July 20, 1993 and in each month of each fiscal
4 year thereafter, one-eighth of the amount requested in the
5 certificate of the Chairman of the Metropolitan Pier and
6 Exposition Authority for that fiscal year, less the amount
7 deposited into the McCormick Place Expansion Project Fund by
8 the State Treasurer in the respective month under subsection
9 (g) of Section 13 of the Metropolitan Pier and Exposition
10 Authority Act, plus cumulative deficiencies in the deposits
11 required under this Section for previous months and years,
12 shall be deposited into the McCormick Place Expansion Project
13 Fund, until the full amount requested for the fiscal year,
14 but not in excess of the amount specified above as "Total
15 Deposit", has been deposited.
16 Subject to payment of amounts into the Build Illinois
17 Fund and the McCormick Place Expansion Project Fund pursuant
18 to the preceding paragraphs or in any amendment thereto
19 hereafter enacted, each month the Department shall pay into
20 the Local Government Distributive Fund 0.4% of the net
21 revenue realized for the preceding month from the 5% general
22 rate or 0.4% of 80% of the net revenue realized for the
23 preceding month from the 6.25% general rate, as the case may
24 be, on the selling price of tangible personal property which
25 amount shall, subject to appropriation, be distributed as
26 provided in Section 2 of the State Revenue Sharing Act. No
27 payments or distributions pursuant to this paragraph shall be
28 made if the tax imposed by this Act on photoprocessing
29 products is declared unconstitutional, or if the proceeds
30 from such tax are unavailable for distribution because of
31 litigation.
32 Subject to payment of amounts into the Build Illinois
33 Fund, the McCormick Place Expansion Project Fund, and the
34 Local Government Distributive Fund pursuant to the preceding
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1 paragraphs or in any amendments thereto hereafter enacted,
2 beginning July 1, 1993, the Department shall each month pay
3 into the Illinois Tax Increment Fund 0.27% of 80% of the net
4 revenue realized for the preceding month from the 6.25%
5 general rate on the selling price of tangible personal
6 property.
7 Remaining moneys received by the Department pursuant to
8 this Act shall be paid into the General Revenue Fund of the
9 State Treasury.
10 The Department may, upon separate written notice to a
11 taxpayer, require the taxpayer to prepare and file with the
12 Department on a form prescribed by the Department within not
13 less than 60 days after receipt of the notice an annual
14 information return for the tax year specified in the notice.
15 Such annual return to the Department shall include a
16 statement of gross receipts as shown by the taxpayer's last
17 Federal income tax return. If the total receipts of the
18 business as reported in the Federal income tax return do not
19 agree with the gross receipts reported to the Department of
20 Revenue for the same period, the taxpayer shall attach to his
21 annual return a schedule showing a reconciliation of the 2
22 amounts and the reasons for the difference. The taxpayer's
23 annual return to the Department shall also disclose the cost
24 of goods sold by the taxpayer during the year covered by such
25 return, opening and closing inventories of such goods for
26 such year, cost of goods used from stock or taken from stock
27 and given away by the taxpayer during such year, pay roll
28 information of the taxpayer's business during such year and
29 any additional reasonable information which the Department
30 deems would be helpful in determining the accuracy of the
31 monthly, quarterly or annual returns filed by such taxpayer
32 as hereinbefore provided for in this Section.
33 If the annual information return required by this Section
34 is not filed when and as required, the taxpayer shall be
-47- LRB9110257SMdv
1 liable as follows:
2 (i) Until January 1, 1994, the taxpayer shall be
3 liable for a penalty equal to 1/6 of 1% of the tax due
4 from such taxpayer under this Act during the period to be
5 covered by the annual return for each month or fraction
6 of a month until such return is filed as required, the
7 penalty to be assessed and collected in the same manner
8 as any other penalty provided for in this Act.
9 (ii) On and after January 1, 1994, the taxpayer
10 shall be liable for a penalty as described in Section 3-4
11 of the Uniform Penalty and Interest Act.
12 The chief executive officer, proprietor, owner or highest
13 ranking manager shall sign the annual return to certify the
14 accuracy of the information contained therein. Any person
15 who willfully signs the annual return containing false or
16 inaccurate information shall be guilty of perjury and
17 punished accordingly. The annual return form prescribed by
18 the Department shall include a warning that the person
19 signing the return may be liable for perjury.
20 The foregoing portion of this Section concerning the
21 filing of an annual information return shall not apply to a
22 serviceman who is not required to file an income tax return
23 with the United States Government.
24 As soon as possible after the first day of each month,
25 upon certification of the Department of Revenue, the
26 Comptroller shall order transferred and the Treasurer shall
27 transfer from the General Revenue Fund to the Motor Fuel Tax
28 Fund an amount equal to 1.7% of 80% of the net revenue
29 realized under this Act for the second preceding month.
30 Beginning April 1, 2000, this transfer is no longer required
31 and shall not be made.
32 Net revenue realized for a month shall be the revenue
33 collected by the State pursuant to this Act, less the amount
34 paid out during that month as refunds to taxpayers for
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1 overpayment of liability.
2 For greater simplicity of administration, it shall be
3 permissible for manufacturers, importers and wholesalers
4 whose products are sold by numerous servicemen in Illinois,
5 and who wish to do so, to assume the responsibility for
6 accounting and paying to the Department all tax accruing
7 under this Act with respect to such sales, if the servicemen
8 who are affected do not make written objection to the
9 Department to this arrangement.
10 (Source: P.A. 90-612, eff. 7-8-98; 91-37, eff. 7-1-99; 91-51,
11 eff. 6-30-99; 91-101, eff. 7-12-99; 91-541, eff. 8-13-99;
12 revised 9-28-99.)
13 Section 20. The Retailers' Occupation Tax Act is amended
14 by changing Sections 2-10, 2d, and 3 as follows:
15 (35 ILCS 120/2-10) (from Ch. 120, par. 441-10)
16 Sec. 2-10. Rate of tax. Unless otherwise provided in
17 this Section, the tax imposed by this Act is at the rate of
18 6.25% of gross receipts from sales of tangible personal
19 property made in the course of business.
20 With respect to motor fuel, as defined in Section 1.1 of
21 the Motor Fuel Tax Law, and gasohol, as defined in Section
22 3-40 of the Use Tax Act, the tax is imposed at the rate of
23 1.25%. If, however, the aggregate tax revenues from motor
24 fuel and gasohol under the Use Tax Act, the Service Use Tax
25 Act, the Service Occupation Tax Act, and the Retailers'
26 Occupation Tax Act during the period from October 1, 2003
27 through September 30, 2004 are not at least 15% more than the
28 aggregate tax revenues from motor fuel and gasohol under
29 those Acts during the period from October 1, 2000 through
30 September 30, 2001, then beginning January 1, 2005 the tax is
31 imposed on motor fuel and gasohol at the 6.25% general rate.
32 With respect to gasohol, as defined in the Use Tax Act,
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1 the tax imposed by this Act applies to 70% of the proceeds of
2 sales made on or after January 1, 1990, and before July 1,
3 2003, and to 100% of the proceeds of sales made thereafter.
4 With respect to food for human consumption that is to be
5 consumed off the premises where it is sold (other than
6 alcoholic beverages, soft drinks, and food that has been
7 prepared for immediate consumption) and prescription and
8 nonprescription medicines, drugs, medical appliances,
9 modifications to a motor vehicle for the purpose of rendering
10 it usable by a disabled person, and insulin, urine testing
11 materials, syringes, and needles used by diabetics, for human
12 use, the tax is imposed at the rate of 1%. For the purposes
13 of this Section, the term "soft drinks" means any complete,
14 finished, ready-to-use, non-alcoholic drink, whether
15 carbonated or not, including but not limited to soda water,
16 cola, fruit juice, vegetable juice, carbonated water, and all
17 other preparations commonly known as soft drinks of whatever
18 kind or description that are contained in any closed or
19 sealed bottle, can, carton, or container, regardless of size.
20 "Soft drinks" does not include coffee, tea, non-carbonated
21 water, infant formula, milk or milk products as defined in
22 the Grade A Pasteurized Milk and Milk Products Act, or drinks
23 containing 50% or more natural fruit or vegetable juice.
24 Notwithstanding any other provisions of this Act, "food
25 for human consumption that is to be consumed off the premises
26 where it is sold" includes all food sold through a vending
27 machine, except soft drinks and food products that are
28 dispensed hot from a vending machine, regardless of the
29 location of the vending machine.
30 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
31 91-51, eff. 6-30-99.)
32 (35 ILCS 120/2d) (from Ch. 120, par. 441d)
33 Sec. 2d. Tax prepayment by motor fuel retailer. Any
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1 person engaged in the business of selling motor fuel at
2 retail, as defined in the Motor Fuel Tax Law, and who is not
3 a licensed distributor or supplier, as defined in the Motor
4 Fuel Tax Law, shall prepay to his or her distributor,
5 supplier, or other reseller of motor fuel a portion of the
6 tax imposed by this Act if the distributor, supplier, or
7 other reseller of motor fuel is registered under Section 2a
8 or Section 2c of this Act. The prepayment requirement
9 provided for in this Section does not apply to liquid propane
10 gas.
11 The Retailers' Occupation Tax paid to the distributor,
12 supplier, or other reseller shall be an amount equal to 0.8
13 cents $0.04 per gallon of the motor fuel, except gasohol as
14 defined in Section 2-10 of this Act which shall be an amount
15 equal to 0.6 cents $0.03 per gallon, purchased from the
16 distributor, supplier, or other reseller.
17 Any person engaged in the business of selling motor fuel
18 at retail shall be entitled to a credit against tax due under
19 this Act in an amount equal to the tax paid to the
20 distributor, supplier, or other reseller.
21 Every distributor, supplier, or other reseller registered
22 as provided in Section 2a or Section 2c of this Act shall
23 remit the prepaid tax on all motor fuel that is due from any
24 person engaged in the business of selling at retail motor
25 fuel with the returns filed under Section 2f or Section 3 of
26 this Act, but the vendors discount provided in Section 3
27 shall not apply to the amount of prepaid tax that is
28 remitted. Any distributor or supplier who fails to properly
29 collect and remit the tax shall be liable for the tax. For
30 purposes of this Section, the prepaid tax is due on invoiced
31 gallons sold during a month by the 20th day of the following
32 month.
33 (Source: P.A. 86-1475; 87-14.)
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1 (35 ILCS 120/3) (from Ch. 120, par. 442)
2 Sec. 3. Except as provided in this Section, on or before
3 the twentieth day of each calendar month, every person
4 engaged in the business of selling tangible personal property
5 at retail in this State during the preceding calendar month
6 shall file a return with the Department, stating:
7 1. The name of the seller;
8 2. His residence address and the address of his
9 principal place of business and the address of the
10 principal place of business (if that is a different
11 address) from which he engages in the business of selling
12 tangible personal property at retail in this State;
13 3. Total amount of receipts received by him during
14 the preceding calendar month or quarter, as the case may
15 be, from sales of tangible personal property, and from
16 services furnished, by him during such preceding calendar
17 month or quarter;
18 4. Total amount received by him during the
19 preceding calendar month or quarter on charge and time
20 sales of tangible personal property, and from services
21 furnished, by him prior to the month or quarter for which
22 the return is filed;
23 5. Deductions allowed by law;
24 6. Gross receipts which were received by him during
25 the preceding calendar month or quarter and upon the
26 basis of which the tax is imposed;
27 7. The amount of credit provided in Section 2d of
28 this Act;
29 8. The amount of tax due;
30 9. The signature of the taxpayer; and
31 10. Such other reasonable information as the
32 Department may require.
33 If a taxpayer fails to sign a return within 30 days after
34 the proper notice and demand for signature by the Department,
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1 the return shall be considered valid and any amount shown to
2 be due on the return shall be deemed assessed.
3 Each return shall be accompanied by the statement of
4 prepaid tax issued pursuant to Section 2e for which credit is
5 claimed.
6 A retailer may accept a Manufacturer's Purchase Credit
7 certification from a purchaser in satisfaction of Use Tax as
8 provided in Section 3-85 of the Use Tax Act if the purchaser
9 provides the appropriate documentation as required by Section
10 3-85 of the Use Tax Act. A Manufacturer's Purchase Credit
11 certification, accepted by a retailer as provided in Section
12 3-85 of the Use Tax Act, may be used by that retailer to
13 satisfy Retailers' Occupation Tax liability in the amount
14 claimed in the certification, not to exceed 6.25% of the
15 receipts subject to tax from a qualifying purchase.
16 The Department may require returns to be filed on a
17 quarterly basis. If so required, a return for each calendar
18 quarter shall be filed on or before the twentieth day of the
19 calendar month following the end of such calendar quarter.
20 The taxpayer shall also file a return with the Department for
21 each of the first two months of each calendar quarter, on or
22 before the twentieth day of the following calendar month,
23 stating:
24 1. The name of the seller;
25 2. The address of the principal place of business
26 from which he engages in the business of selling tangible
27 personal property at retail in this State;
28 3. The total amount of taxable receipts received by
29 him during the preceding calendar month from sales of
30 tangible personal property by him during such preceding
31 calendar month, including receipts from charge and time
32 sales, but less all deductions allowed by law;
33 4. The amount of credit provided in Section 2d of
34 this Act;
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1 5. The amount of tax due; and
2 6. Such other reasonable information as the
3 Department may require.
4 If a total amount of less than $1 is payable, refundable
5 or creditable, such amount shall be disregarded if it is less
6 than 50 cents and shall be increased to $1 if it is 50 cents
7 or more.
8 Beginning October 1, 1993, a taxpayer who has an average
9 monthly tax liability of $150,000 or more shall make all
10 payments required by rules of the Department by electronic
11 funds transfer. Beginning October 1, 1994, a taxpayer who
12 has an average monthly tax liability of $100,000 or more
13 shall make all payments required by rules of the Department
14 by electronic funds transfer. Beginning October 1, 1995, a
15 taxpayer who has an average monthly tax liability of $50,000
16 or more shall make all payments required by rules of the
17 Department by electronic funds transfer. Beginning October
18 1, 2000, a taxpayer who has an annual tax liability of
19 $200,000 or more shall make all payments required by rules of
20 the Department by electronic funds transfer. The term
21 "annual tax liability" shall be the sum of the taxpayer's
22 liabilities under this Act, and under all other State and
23 local occupation and use tax laws administered by the
24 Department, for the immediately preceding calendar year. The
25 term "average monthly tax liability" shall be the sum of the
26 taxpayer's liabilities under this Act, and under all other
27 State and local occupation and use tax laws administered by
28 the Department, for the immediately preceding calendar year
29 divided by 12.
30 Before August 1 of each year beginning in 1993, the
31 Department shall notify all taxpayers required to make
32 payments by electronic funds transfer. All taxpayers
33 required to make payments by electronic funds transfer shall
34 make those payments for a minimum of one year beginning on
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1 October 1.
2 Any taxpayer not required to make payments by electronic
3 funds transfer may make payments by electronic funds transfer
4 with the permission of the Department.
5 All taxpayers required to make payment by electronic
6 funds transfer and any taxpayers authorized to voluntarily
7 make payments by electronic funds transfer shall make those
8 payments in the manner authorized by the Department.
9 The Department shall adopt such rules as are necessary to
10 effectuate a program of electronic funds transfer and the
11 requirements of this Section.
12 Any amount which is required to be shown or reported on
13 any return or other document under this Act shall, if such
14 amount is not a whole-dollar amount, be increased to the
15 nearest whole-dollar amount in any case where the fractional
16 part of a dollar is 50 cents or more, and decreased to the
17 nearest whole-dollar amount where the fractional part of a
18 dollar is less than 50 cents.
19 If the retailer is otherwise required to file a monthly
20 return and if the retailer's average monthly tax liability to
21 the Department does not exceed $200, the Department may
22 authorize his returns to be filed on a quarter annual basis,
23 with the return for January, February and March of a given
24 year being due by April 20 of such year; with the return for
25 April, May and June of a given year being due by July 20 of
26 such year; with the return for July, August and September of
27 a given year being due by October 20 of such year, and with
28 the return for October, November and December of a given year
29 being due by January 20 of the following year.
30 If the retailer is otherwise required to file a monthly
31 or quarterly return and if the retailer's average monthly tax
32 liability with the Department does not exceed $50, the
33 Department may authorize his returns to be filed on an annual
34 basis, with the return for a given year being due by January
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1 20 of the following year.
2 Such quarter annual and annual returns, as to form and
3 substance, shall be subject to the same requirements as
4 monthly returns.
5 Notwithstanding any other provision in this Act
6 concerning the time within which a retailer may file his
7 return, in the case of any retailer who ceases to engage in a
8 kind of business which makes him responsible for filing
9 returns under this Act, such retailer shall file a final
10 return under this Act with the Department not more than one
11 month after discontinuing such business.
12 Where the same person has more than one business
13 registered with the Department under separate registrations
14 under this Act, such person may not file each return that is
15 due as a single return covering all such registered
16 businesses, but shall file separate returns for each such
17 registered business.
18 In addition, with respect to motor vehicles, watercraft,
19 aircraft, and trailers that are required to be registered
20 with an agency of this State, every retailer selling this
21 kind of tangible personal property shall file, with the
22 Department, upon a form to be prescribed and supplied by the
23 Department, a separate return for each such item of tangible
24 personal property which the retailer sells, except that
25 where, in the same transaction, a retailer of aircraft,
26 watercraft, motor vehicles or trailers transfers more than
27 one aircraft, watercraft, motor vehicle or trailer to another
28 aircraft, watercraft, motor vehicle retailer or trailer
29 retailer for the purpose of resale, that seller for resale
30 may report the transfer of all aircraft, watercraft, motor
31 vehicles or trailers involved in that transaction to the
32 Department on the same uniform invoice-transaction reporting
33 return form. For purposes of this Section, "watercraft"
34 means a Class 2, Class 3, or Class 4 watercraft as defined in
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1 Section 3-2 of the Boat Registration and Safety Act, a
2 personal watercraft, or any boat equipped with an inboard
3 motor.
4 Any retailer who sells only motor vehicles, watercraft,
5 aircraft, or trailers that are required to be registered with
6 an agency of this State, so that all retailers' occupation
7 tax liability is required to be reported, and is reported, on
8 such transaction reporting returns and who is not otherwise
9 required to file monthly or quarterly returns, need not file
10 monthly or quarterly returns. However, those retailers shall
11 be required to file returns on an annual basis.
12 The transaction reporting return, in the case of motor
13 vehicles or trailers that are required to be registered with
14 an agency of this State, shall be the same document as the
15 Uniform Invoice referred to in Section 5-402 of The Illinois
16 Vehicle Code and must show the name and address of the
17 seller; the name and address of the purchaser; the amount of
18 the selling price including the amount allowed by the
19 retailer for traded-in property, if any; the amount allowed
20 by the retailer for the traded-in tangible personal property,
21 if any, to the extent to which Section 1 of this Act allows
22 an exemption for the value of traded-in property; the balance
23 payable after deducting such trade-in allowance from the
24 total selling price; the amount of tax due from the retailer
25 with respect to such transaction; the amount of tax collected
26 from the purchaser by the retailer on such transaction (or
27 satisfactory evidence that such tax is not due in that
28 particular instance, if that is claimed to be the fact); the
29 place and date of the sale; a sufficient identification of
30 the property sold; such other information as is required in
31 Section 5-402 of The Illinois Vehicle Code, and such other
32 information as the Department may reasonably require.
33 The transaction reporting return in the case of
34 watercraft or aircraft must show the name and address of the
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1 seller; the name and address of the purchaser; the amount of
2 the selling price including the amount allowed by the
3 retailer for traded-in property, if any; the amount allowed
4 by the retailer for the traded-in tangible personal property,
5 if any, to the extent to which Section 1 of this Act allows
6 an exemption for the value of traded-in property; the balance
7 payable after deducting such trade-in allowance from the
8 total selling price; the amount of tax due from the retailer
9 with respect to such transaction; the amount of tax collected
10 from the purchaser by the retailer on such transaction (or
11 satisfactory evidence that such tax is not due in that
12 particular instance, if that is claimed to be the fact); the
13 place and date of the sale, a sufficient identification of
14 the property sold, and such other information as the
15 Department may reasonably require.
16 Such transaction reporting return shall be filed not
17 later than 20 days after the day of delivery of the item that
18 is being sold, but may be filed by the retailer at any time
19 sooner than that if he chooses to do so. The transaction
20 reporting return and tax remittance or proof of exemption
21 from the Illinois use tax may be transmitted to the
22 Department by way of the State agency with which, or State
23 officer with whom the tangible personal property must be
24 titled or registered (if titling or registration is required)
25 if the Department and such agency or State officer determine
26 that this procedure will expedite the processing of
27 applications for title or registration.
28 With each such transaction reporting return, the retailer
29 shall remit the proper amount of tax due (or shall submit
30 satisfactory evidence that the sale is not taxable if that is
31 the case), to the Department or its agents, whereupon the
32 Department shall issue, in the purchaser's name, a use tax
33 receipt (or a certificate of exemption if the Department is
34 satisfied that the particular sale is tax exempt) which such
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1 purchaser may submit to the agency with which, or State
2 officer with whom, he must title or register the tangible
3 personal property that is involved (if titling or
4 registration is required) in support of such purchaser's
5 application for an Illinois certificate or other evidence of
6 title or registration to such tangible personal property.
7 No retailer's failure or refusal to remit tax under this
8 Act precludes a user, who has paid the proper tax to the
9 retailer, from obtaining his certificate of title or other
10 evidence of title or registration (if titling or registration
11 is required) upon satisfying the Department that such user
12 has paid the proper tax (if tax is due) to the retailer. The
13 Department shall adopt appropriate rules to carry out the
14 mandate of this paragraph.
15 If the user who would otherwise pay tax to the retailer
16 wants the transaction reporting return filed and the payment
17 of the tax or proof of exemption made to the Department
18 before the retailer is willing to take these actions and such
19 user has not paid the tax to the retailer, such user may
20 certify to the fact of such delay by the retailer and may
21 (upon the Department being satisfied of the truth of such
22 certification) transmit the information required by the
23 transaction reporting return and the remittance for tax or
24 proof of exemption directly to the Department and obtain his
25 tax receipt or exemption determination, in which event the
26 transaction reporting return and tax remittance (if a tax
27 payment was required) shall be credited by the Department to
28 the proper retailer's account with the Department, but
29 without the 2.1% or 1.75% discount provided for in this
30 Section being allowed. When the user pays the tax directly
31 to the Department, he shall pay the tax in the same amount
32 and in the same form in which it would be remitted if the tax
33 had been remitted to the Department by the retailer.
34 Refunds made by the seller during the preceding return
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1 period to purchasers, on account of tangible personal
2 property returned to the seller, shall be allowed as a
3 deduction under subdivision 5 of his monthly or quarterly
4 return, as the case may be, in case the seller had
5 theretofore included the receipts from the sale of such
6 tangible personal property in a return filed by him and had
7 paid the tax imposed by this Act with respect to such
8 receipts.
9 Where the seller is a corporation, the return filed on
10 behalf of such corporation shall be signed by the president,
11 vice-president, secretary or treasurer or by the properly
12 accredited agent of such corporation.
13 Where the seller is a limited liability company, the
14 return filed on behalf of the limited liability company shall
15 be signed by a manager, member, or properly accredited agent
16 of the limited liability company.
17 Except as provided in this Section, the retailer filing
18 the return under this Section shall, at the time of filing
19 such return, pay to the Department the amount of tax imposed
20 by this Act less a discount of 2.1% prior to January 1, 1990
21 and 1.75% on and after January 1, 1990, or $5 per calendar
22 year, whichever is greater, which is allowed to reimburse the
23 retailer for the expenses incurred in keeping records,
24 preparing and filing returns, remitting the tax and supplying
25 data to the Department on request. Any prepayment made
26 pursuant to Section 2d of this Act shall be included in the
27 amount on which such 2.1% or 1.75% discount is computed. In
28 the case of retailers who report and pay the tax on a
29 transaction by transaction basis, as provided in this
30 Section, such discount shall be taken with each such tax
31 remittance instead of when such retailer files his periodic
32 return.
33 Before October 1, 2000, if the taxpayer's average monthly
34 tax liability to the Department under this Act, the Use Tax
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1 Act, the Service Occupation Tax Act, and the Service Use Tax
2 Act, excluding any liability for prepaid sales tax to be
3 remitted in accordance with Section 2d of this Act, was
4 $10,000 or more during the preceding 4 complete calendar
5 quarters, he shall file a return with the Department each
6 month by the 20th day of the month next following the month
7 during which such tax liability is incurred and shall make
8 payments to the Department on or before the 7th, 15th, 22nd
9 and last day of the month during which such liability is
10 incurred. On and after October 1, 2000, if the taxpayer's
11 average monthly tax liability to the Department under this
12 Act, the Use Tax Act, the Service Occupation Tax Act, and the
13 Service Use Tax Act, excluding any liability for prepaid
14 sales tax to be remitted in accordance with Section 2d of
15 this Act, was $20,000 or more during the preceding 4 complete
16 calendar quarters, he shall file a return with the Department
17 each month by the 20th day of the month next following the
18 month during which such tax liability is incurred and shall
19 make payment to the Department on or before the 7th, 15th,
20 22nd and last day of the month during which such liability is
21 incurred. If the month during which such tax liability is
22 incurred began prior to January 1, 1985, each payment shall
23 be in an amount equal to 1/4 of the taxpayer's actual
24 liability for the month or an amount set by the Department
25 not to exceed 1/4 of the average monthly liability of the
26 taxpayer to the Department for the preceding 4 complete
27 calendar quarters (excluding the month of highest liability
28 and the month of lowest liability in such 4 quarter period).
29 If the month during which such tax liability is incurred
30 begins on or after January 1, 1985 and prior to January 1,
31 1987, each payment shall be in an amount equal to 22.5% of
32 the taxpayer's actual liability for the month or 27.5% of the
33 taxpayer's liability for the same calendar month of the
34 preceding year. If the month during which such tax liability
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1 is incurred begins on or after January 1, 1987 and prior to
2 January 1, 1988, each payment shall be in an amount equal to
3 22.5% of the taxpayer's actual liability for the month or
4 26.25% of the taxpayer's liability for the same calendar
5 month of the preceding year. If the month during which such
6 tax liability is incurred begins on or after January 1, 1988,
7 and prior to January 1, 1989, or begins on or after January
8 1, 1996, each payment shall be in an amount equal to 22.5% of
9 the taxpayer's actual liability for the month or 25% of the
10 taxpayer's liability for the same calendar month of the
11 preceding year. If the month during which such tax liability
12 is incurred begins on or after January 1, 1989, and prior to
13 January 1, 1996, each payment shall be in an amount equal to
14 22.5% of the taxpayer's actual liability for the month or 25%
15 of the taxpayer's liability for the same calendar month of
16 the preceding year or 100% of the taxpayer's actual liability
17 for the quarter monthly reporting period. The amount of such
18 quarter monthly payments shall be credited against the final
19 tax liability of the taxpayer's return for that month.
20 Before October 1, 2000, once applicable, the requirement of
21 the making of quarter monthly payments to the Department by
22 taxpayers having an average monthly tax liability of $10,000
23 or more as determined in the manner provided above shall
24 continue until such taxpayer's average monthly liability to
25 the Department during the preceding 4 complete calendar
26 quarters (excluding the month of highest liability and the
27 month of lowest liability) is less than $9,000, or until such
28 taxpayer's average monthly liability to the Department as
29 computed for each calendar quarter of the 4 preceding
30 complete calendar quarter period is less than $10,000.
31 However, if a taxpayer can show the Department that a
32 substantial change in the taxpayer's business has occurred
33 which causes the taxpayer to anticipate that his average
34 monthly tax liability for the reasonably foreseeable future
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1 will fall below the $10,000 threshold stated above, then such
2 taxpayer may petition the Department for a change in such
3 taxpayer's reporting status. On and after October 1, 2000,
4 once applicable, the requirement of the making of quarter
5 monthly payments to the Department by taxpayers having an
6 average monthly tax liability of $20,000 or more as
7 determined in the manner provided above shall continue until
8 such taxpayer's average monthly liability to the Department
9 during the preceding 4 complete calendar quarters (excluding
10 the month of highest liability and the month of lowest
11 liability) is less than $19,000 or until such taxpayer's
12 average monthly liability to the Department as computed for
13 each calendar quarter of the 4 preceding complete calendar
14 quarter period is less than $20,000. However, if a taxpayer
15 can show the Department that a substantial change in the
16 taxpayer's business has occurred which causes the taxpayer to
17 anticipate that his average monthly tax liability for the
18 reasonably foreseeable future will fall below the $20,000
19 threshold stated above, then such taxpayer may petition the
20 Department for a change in such taxpayer's reporting status.
21 The Department shall change such taxpayer's reporting status
22 unless it finds that such change is seasonal in nature and
23 not likely to be long term. If any such quarter monthly
24 payment is not paid at the time or in the amount required by
25 this Section, then the taxpayer shall be liable for penalties
26 and interest on the difference between the minimum amount due
27 as a payment and the amount of such quarter monthly payment
28 actually and timely paid, except insofar as the taxpayer has
29 previously made payments for that month to the Department in
30 excess of the minimum payments previously due as provided in
31 this Section. The Department shall make reasonable rules and
32 regulations to govern the quarter monthly payment amount and
33 quarter monthly payment dates for taxpayers who file on other
34 than a calendar monthly basis.
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1 Without regard to whether a taxpayer is required to make
2 quarter monthly payments as specified above, any taxpayer who
3 is required by Section 2d of this Act to collect and remit
4 prepaid taxes and has collected prepaid taxes which average
5 in excess of $25,000 per month during the preceding 2
6 complete calendar quarters, shall file a return with the
7 Department as required by Section 2f and shall make payments
8 to the Department on or before the 7th, 15th, 22nd and last
9 day of the month during which such liability is incurred. If
10 the month during which such tax liability is incurred began
11 prior to the effective date of this amendatory Act of 1985,
12 each payment shall be in an amount not less than 22.5% of the
13 taxpayer's actual liability under Section 2d. If the month
14 during which such tax liability is incurred begins on or
15 after January 1, 1986, each payment shall be in an amount
16 equal to 22.5% of the taxpayer's actual liability for the
17 month or 27.5% of the taxpayer's liability for the same
18 calendar month of the preceding calendar year. If the month
19 during which such tax liability is incurred begins on or
20 after January 1, 1987, each payment shall be in an amount
21 equal to 22.5% of the taxpayer's actual liability for the
22 month or 26.25% of the taxpayer's liability for the same
23 calendar month of the preceding year. The amount of such
24 quarter monthly payments shall be credited against the final
25 tax liability of the taxpayer's return for that month filed
26 under this Section or Section 2f, as the case may be. Once
27 applicable, the requirement of the making of quarter monthly
28 payments to the Department pursuant to this paragraph shall
29 continue until such taxpayer's average monthly prepaid tax
30 collections during the preceding 2 complete calendar quarters
31 is $25,000 or less. If any such quarter monthly payment is
32 not paid at the time or in the amount required, the taxpayer
33 shall be liable for penalties and interest on such
34 difference, except insofar as the taxpayer has previously
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1 made payments for that month in excess of the minimum
2 payments previously due.
3 If any payment provided for in this Section exceeds the
4 taxpayer's liabilities under this Act, the Use Tax Act, the
5 Service Occupation Tax Act and the Service Use Tax Act, as
6 shown on an original monthly return, the Department shall, if
7 requested by the taxpayer, issue to the taxpayer a credit
8 memorandum no later than 30 days after the date of payment.
9 The credit evidenced by such credit memorandum may be
10 assigned by the taxpayer to a similar taxpayer under this
11 Act, the Use Tax Act, the Service Occupation Tax Act or the
12 Service Use Tax Act, in accordance with reasonable rules and
13 regulations to be prescribed by the Department. If no such
14 request is made, the taxpayer may credit such excess payment
15 against tax liability subsequently to be remitted to the
16 Department under this Act, the Use Tax Act, the Service
17 Occupation Tax Act or the Service Use Tax Act, in accordance
18 with reasonable rules and regulations prescribed by the
19 Department. If the Department subsequently determined that
20 all or any part of the credit taken was not actually due to
21 the taxpayer, the taxpayer's 2.1% and 1.75% vendor's discount
22 shall be reduced by 2.1% or 1.75% of the difference between
23 the credit taken and that actually due, and that taxpayer
24 shall be liable for penalties and interest on such
25 difference.
26 If a retailer of motor fuel is entitled to a credit under
27 Section 2d of this Act which exceeds the taxpayer's liability
28 to the Department under this Act for the month which the
29 taxpayer is filing a return, the Department shall issue the
30 taxpayer a credit memorandum for the excess.
31 Beginning January 1, 1990, each month the Department
32 shall pay into the Local Government Tax Fund, a special fund
33 in the State treasury which is hereby created, the net
34 revenue realized for the preceding month from the 1% tax on
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1 sales of food for human consumption which is to be consumed
2 off the premises where it is sold (other than alcoholic
3 beverages, soft drinks and food which has been prepared for
4 immediate consumption) and prescription and nonprescription
5 medicines, drugs, medical appliances and insulin, urine
6 testing materials, syringes and needles used by diabetics.
7 Beginning January 1, 1990, each month the Department
8 shall pay into the County and Mass Transit District Fund, a
9 special fund in the State treasury which is hereby created,
10 4% of the net revenue realized for the preceding month from
11 the 6.25% general rate.
12 Beginning November 1, 2000, and so long as the rate
13 remains at 1.25%, each month the Department shall pay into
14 the County and Mass Transit District Fund 20% of the net
15 revenue realized for the preceding month from the 1.25% rate
16 on the selling price of motor fuel and gasohol.
17 Beginning January 1, 1990, each month the Department
18 shall pay into the Local Government Tax Fund 16% of the net
19 revenue realized for the preceding month from the 6.25%
20 general rate on the selling price of tangible personal
21 property.
22 Beginning November 1, 2000, and so long as the rate
23 remains at 1.25%, each month the Department shall pay into
24 the Local Government Tax Fund 80% of the net revenue realized
25 for the preceding month from the 1.25% rate on the selling
26 price of motor fuel and gasohol.
27 Of the remainder of the moneys received by the Department
28 pursuant to this Act, (a) 1.75% thereof shall be paid into
29 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
30 and on and after July 1, 1989, 3.8% thereof shall be paid
31 into the Build Illinois Fund; provided, however, that if in
32 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
33 as the case may be, of the moneys received by the Department
34 and required to be paid into the Build Illinois Fund pursuant
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1 to this Act, Section 9 of the Use Tax Act, Section 9 of the
2 Service Use Tax Act, and Section 9 of the Service Occupation
3 Tax Act, such Acts being hereinafter called the "Tax Acts"
4 and such aggregate of 2.2% or 3.8%, as the case may be, of
5 moneys being hereinafter called the "Tax Act Amount", and (2)
6 the amount transferred to the Build Illinois Fund from the
7 State and Local Sales Tax Reform Fund shall be less than the
8 Annual Specified Amount (as hereinafter defined), an amount
9 equal to the difference shall be immediately paid into the
10 Build Illinois Fund from other moneys received by the
11 Department pursuant to the Tax Acts; the "Annual Specified
12 Amount" means the amounts specified below for fiscal years
13 1986 through 1993:
14 Fiscal Year Annual Specified Amount
15 1986 $54,800,000
16 1987 $76,650,000
17 1988 $80,480,000
18 1989 $88,510,000
19 1990 $115,330,000
20 1991 $145,470,000
21 1992 $182,730,000
22 1993 $206,520,000;
23 and means the Certified Annual Debt Service Requirement (as
24 defined in Section 13 of the Build Illinois Bond Act) or the
25 Tax Act Amount, whichever is greater, for fiscal year 1994
26 and each fiscal year thereafter; and further provided, that
27 if on the last business day of any month the sum of (1) the
28 Tax Act Amount required to be deposited into the Build
29 Illinois Bond Account in the Build Illinois Fund during such
30 month and (2) the amount transferred to the Build Illinois
31 Fund from the State and Local Sales Tax Reform Fund shall
32 have been less than 1/12 of the Annual Specified Amount, an
33 amount equal to the difference shall be immediately paid into
34 the Build Illinois Fund from other moneys received by the
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1 Department pursuant to the Tax Acts; and, further provided,
2 that in no event shall the payments required under the
3 preceding proviso result in aggregate payments into the Build
4 Illinois Fund pursuant to this clause (b) for any fiscal year
5 in excess of the greater of (i) the Tax Act Amount or (ii)
6 the Annual Specified Amount for such fiscal year. The
7 amounts payable into the Build Illinois Fund under clause (b)
8 of the first sentence in this paragraph shall be payable only
9 until such time as the aggregate amount on deposit under each
10 trust indenture securing Bonds issued and outstanding
11 pursuant to the Build Illinois Bond Act is sufficient, taking
12 into account any future investment income, to fully provide,
13 in accordance with such indenture, for the defeasance of or
14 the payment of the principal of, premium, if any, and
15 interest on the Bonds secured by such indenture and on any
16 Bonds expected to be issued thereafter and all fees and costs
17 payable with respect thereto, all as certified by the
18 Director of the Bureau of the Budget. If on the last
19 business day of any month in which Bonds are outstanding
20 pursuant to the Build Illinois Bond Act, the aggregate of
21 moneys deposited in the Build Illinois Bond Account in the
22 Build Illinois Fund in such month shall be less than the
23 amount required to be transferred in such month from the
24 Build Illinois Bond Account to the Build Illinois Bond
25 Retirement and Interest Fund pursuant to Section 13 of the
26 Build Illinois Bond Act, an amount equal to such deficiency
27 shall be immediately paid from other moneys received by the
28 Department pursuant to the Tax Acts to the Build Illinois
29 Fund; provided, however, that any amounts paid to the Build
30 Illinois Fund in any fiscal year pursuant to this sentence
31 shall be deemed to constitute payments pursuant to clause (b)
32 of the first sentence of this paragraph and shall reduce the
33 amount otherwise payable for such fiscal year pursuant to
34 that clause (b). The moneys received by the Department
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1 pursuant to this Act and required to be deposited into the
2 Build Illinois Fund are subject to the pledge, claim and
3 charge set forth in Section 12 of the Build Illinois Bond
4 Act.
5 Subject to payment of amounts into the Build Illinois
6 Fund as provided in the preceding paragraph or in any
7 amendment thereto hereafter enacted, the following specified
8 monthly installment of the amount requested in the
9 certificate of the Chairman of the Metropolitan Pier and
10 Exposition Authority provided under Section 8.25f of the
11 State Finance Act, but not in excess of sums designated as
12 "Total Deposit", shall be deposited in the aggregate from
13 collections under Section 9 of the Use Tax Act, Section 9 of
14 the Service Use Tax Act, Section 9 of the Service Occupation
15 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
16 into the McCormick Place Expansion Project Fund in the
17 specified fiscal years.
18 Fiscal Year Total Deposit
19 1993 $0
20 1994 53,000,000
21 1995 58,000,000
22 1996 61,000,000
23 1997 64,000,000
24 1998 68,000,000
25 1999 71,000,000
26 2000 75,000,000
27 2001 80,000,000
28 2002 84,000,000
29 2003 89,000,000
30 2004 93,000,000
31 2005 97,000,000
32 2006 102,000,000
33 2007 108,000,000
34 2008 115,000,000
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1 2009 120,000,000
2 2010 126,000,000
3 2011 132,000,000
4 2012 138,000,000
5 2013 and 145,000,000
6 each fiscal year
7 thereafter that bonds
8 are outstanding under
9 Section 13.2 of the
10 Metropolitan Pier and
11 Exposition Authority
12 Act, but not after fiscal year 2029.
13 Beginning July 20, 1993 and in each month of each fiscal
14 year thereafter, one-eighth of the amount requested in the
15 certificate of the Chairman of the Metropolitan Pier and
16 Exposition Authority for that fiscal year, less the amount
17 deposited into the McCormick Place Expansion Project Fund by
18 the State Treasurer in the respective month under subsection
19 (g) of Section 13 of the Metropolitan Pier and Exposition
20 Authority Act, plus cumulative deficiencies in the deposits
21 required under this Section for previous months and years,
22 shall be deposited into the McCormick Place Expansion Project
23 Fund, until the full amount requested for the fiscal year,
24 but not in excess of the amount specified above as "Total
25 Deposit", has been deposited.
26 Subject to payment of amounts into the Build Illinois
27 Fund and the McCormick Place Expansion Project Fund pursuant
28 to the preceding paragraphs or in any amendment thereto
29 hereafter enacted, each month the Department shall pay into
30 the Local Government Distributive Fund 0.4% of the net
31 revenue realized for the preceding month from the 5% general
32 rate or 0.4% of 80% of the net revenue realized for the
33 preceding month from the 6.25% general rate, as the case may
34 be, on the selling price of tangible personal property which
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1 amount shall, subject to appropriation, be distributed as
2 provided in Section 2 of the State Revenue Sharing Act. No
3 payments or distributions pursuant to this paragraph shall be
4 made if the tax imposed by this Act on photoprocessing
5 products is declared unconstitutional, or if the proceeds
6 from such tax are unavailable for distribution because of
7 litigation.
8 Subject to payment of amounts into the Build Illinois
9 Fund, the McCormick Place Expansion Project to the preceding
10 paragraphs or in any amendments thereto hereafter enacted,
11 beginning July 1, 1993, the Department shall each month pay
12 into the Illinois Tax Increment Fund 0.27% of 80% of the net
13 revenue realized for the preceding month from the 6.25%
14 general rate on the selling price of tangible personal
15 property.
16 Of the remainder of the moneys received by the Department
17 pursuant to this Act, 75% thereof shall be paid into the
18 State Treasury and 25% shall be reserved in a special account
19 and used only for the transfer to the Common School Fund as
20 part of the monthly transfer from the General Revenue Fund in
21 accordance with Section 8a of the State Finance Act.
22 The Department may, upon separate written notice to a
23 taxpayer, require the taxpayer to prepare and file with the
24 Department on a form prescribed by the Department within not
25 less than 60 days after receipt of the notice an annual
26 information return for the tax year specified in the notice.
27 Such annual return to the Department shall include a
28 statement of gross receipts as shown by the retailer's last
29 Federal income tax return. If the total receipts of the
30 business as reported in the Federal income tax return do not
31 agree with the gross receipts reported to the Department of
32 Revenue for the same period, the retailer shall attach to his
33 annual return a schedule showing a reconciliation of the 2
34 amounts and the reasons for the difference. The retailer's
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1 annual return to the Department shall also disclose the cost
2 of goods sold by the retailer during the year covered by such
3 return, opening and closing inventories of such goods for
4 such year, costs of goods used from stock or taken from stock
5 and given away by the retailer during such year, payroll
6 information of the retailer's business during such year and
7 any additional reasonable information which the Department
8 deems would be helpful in determining the accuracy of the
9 monthly, quarterly or annual returns filed by such retailer
10 as provided for in this Section.
11 If the annual information return required by this Section
12 is not filed when and as required, the taxpayer shall be
13 liable as follows:
14 (i) Until January 1, 1994, the taxpayer shall be
15 liable for a penalty equal to 1/6 of 1% of the tax due
16 from such taxpayer under this Act during the period to be
17 covered by the annual return for each month or fraction
18 of a month until such return is filed as required, the
19 penalty to be assessed and collected in the same manner
20 as any other penalty provided for in this Act.
21 (ii) On and after January 1, 1994, the taxpayer
22 shall be liable for a penalty as described in Section 3-4
23 of the Uniform Penalty and Interest Act.
24 The chief executive officer, proprietor, owner or highest
25 ranking manager shall sign the annual return to certify the
26 accuracy of the information contained therein. Any person
27 who willfully signs the annual return containing false or
28 inaccurate information shall be guilty of perjury and
29 punished accordingly. The annual return form prescribed by
30 the Department shall include a warning that the person
31 signing the return may be liable for perjury.
32 The provisions of this Section concerning the filing of
33 an annual information return do not apply to a retailer who
34 is not required to file an income tax return with the United
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1 States Government.
2 As soon as possible after the first day of each month,
3 upon certification of the Department of Revenue, the
4 Comptroller shall order transferred and the Treasurer shall
5 transfer from the General Revenue Fund to the Motor Fuel Tax
6 Fund an amount equal to 1.7% of 80% of the net revenue
7 realized under this Act for the second preceding month.
8 Beginning April 1, 2000, this transfer is no longer required
9 and shall not be made.
10 Net revenue realized for a month shall be the revenue
11 collected by the State pursuant to this Act, less the amount
12 paid out during that month as refunds to taxpayers for
13 overpayment of liability.
14 For greater simplicity of administration, manufacturers,
15 importers and wholesalers whose products are sold at retail
16 in Illinois by numerous retailers, and who wish to do so, may
17 assume the responsibility for accounting and paying to the
18 Department all tax accruing under this Act with respect to
19 such sales, if the retailers who are affected do not make
20 written objection to the Department to this arrangement.
21 Any person who promotes, organizes, provides retail
22 selling space for concessionaires or other types of sellers
23 at the Illinois State Fair, DuQuoin State Fair, county fairs,
24 local fairs, art shows, flea markets and similar exhibitions
25 or events, including any transient merchant as defined by
26 Section 2 of the Transient Merchant Act of 1987, is required
27 to file a report with the Department providing the name of
28 the merchant's business, the name of the person or persons
29 engaged in merchant's business, the permanent address and
30 Illinois Retailers Occupation Tax Registration Number of the
31 merchant, the dates and location of the event and other
32 reasonable information that the Department may require. The
33 report must be filed not later than the 20th day of the month
34 next following the month during which the event with retail
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1 sales was held. Any person who fails to file a report
2 required by this Section commits a business offense and is
3 subject to a fine not to exceed $250.
4 Any person engaged in the business of selling tangible
5 personal property at retail as a concessionaire or other type
6 of seller at the Illinois State Fair, county fairs, art
7 shows, flea markets and similar exhibitions or events, or any
8 transient merchants, as defined by Section 2 of the Transient
9 Merchant Act of 1987, may be required to make a daily report
10 of the amount of such sales to the Department and to make a
11 daily payment of the full amount of tax due. The Department
12 shall impose this requirement when it finds that there is a
13 significant risk of loss of revenue to the State at such an
14 exhibition or event. Such a finding shall be based on
15 evidence that a substantial number of concessionaires or
16 other sellers who are not residents of Illinois will be
17 engaging in the business of selling tangible personal
18 property at retail at the exhibition or event, or other
19 evidence of a significant risk of loss of revenue to the
20 State. The Department shall notify concessionaires and other
21 sellers affected by the imposition of this requirement. In
22 the absence of notification by the Department, the
23 concessionaires and other sellers shall file their returns as
24 otherwise required in this Section.
25 (Source: P.A. 90-491, eff. 1-1-99; 90-612, eff. 7-8-98;
26 91-37, eff. 7-1-99; 91-51, eff. 6-30-99; 91-101, eff.
27 7-12-99; 91-541, eff. 8-13-99; revised 9-29-99.)
28 Section 25. The Counties Code is amended by changing
29 Sections 5-1006, 5-1006.5, 5-1007, and 5-1035.1 as follows:
30 (55 ILCS 5/5-1006) (from Ch. 34, par. 5-1006)
31 Sec. 5-1006. Home Rule County Retailers' Occupation Tax
32 Law. Any county that is a home rule unit may impose a tax
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1 upon all persons engaged in the business of selling tangible
2 personal property, other than an item of tangible personal
3 property titled or registered with an agency of this State's
4 government, at retail in the county on the gross receipts
5 from such sales made in the course of their business. If
6 imposed, this tax shall only be imposed in 1/4% increments.
7 On and after September 1, 1991, this additional tax may not
8 be imposed on the sales of food for human consumption which
9 is to be consumed off the premises where it is sold (other
10 than alcoholic beverages, soft drinks and food which has been
11 prepared for immediate consumption) and prescription and
12 nonprescription medicines, drugs, medical appliances and
13 insulin, urine testing materials, syringes and needles used
14 by diabetics. The tax imposed by a home rule county pursuant
15 to this Section and all civil penalties that may be assessed
16 as an incident thereof shall be collected and enforced by the
17 State Department of Revenue. The certificate of registration
18 that is issued by the Department to a retailer under the
19 Retailers' Occupation Tax Act shall permit the retailer to
20 engage in a business that is taxable under any ordinance or
21 resolution enacted pursuant to this Section without
22 registering separately with the Department under such
23 ordinance or resolution or under this Section. The
24 Department shall have full power to administer and enforce
25 this Section; to collect all taxes and penalties due
26 hereunder; to dispose of taxes and penalties so collected in
27 the manner hereinafter provided; and to determine all rights
28 to credit memoranda arising on account of the erroneous
29 payment of tax or penalty hereunder. In the administration
30 of, and compliance with, this Section, the Department and
31 persons who are subject to this Section shall have the same
32 rights, remedies, privileges, immunities, powers and duties,
33 and be subject to the same conditions, restrictions,
34 limitations, penalties and definitions of terms, and employ
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1 the same modes of procedure, as are prescribed in Sections 1,
2 1a, 1a-1, 1d, 1e, 1f, 1i, 1j, 1k, 1m, 1n, 2 through 2-65 (in
3 respect to all provisions therein other than the State rate
4 of tax), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k,
5 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12 and 13 of the
6 Retailers' Occupation Tax Act and Section 3-7 of the Uniform
7 Penalty and Interest Act, as fully as if those provisions
8 were set forth herein.
9 No tax may be imposed by a home rule county pursuant to
10 this Section unless the county also imposes a tax at the same
11 rate pursuant to Section 5-1007.
12 A home rule county that has not imposed a tax under this
13 Section on the sale of motor fuel or gasohol before the
14 effective date of this amendatory Act of the 91st General
15 Assembly shall not impose such a tax on or after that date. A
16 home rule county that has imposed a tax under this Section on
17 the sale of motor fuel or gasohol before the effective date
18 of this amendatory Act of the 91st General Assembly shall not
19 increase the rate of the tax on or after that date. This
20 amendatory Act of the 91st General Assembly is a denial and
21 limitation of home rule powers to tax under subsection (g) of
22 Section 6 of Article VII of the Illinois Constitution.
23 Persons subject to any tax imposed pursuant to the
24 authority granted in this Section may reimburse themselves
25 for their seller's tax liability hereunder by separately
26 stating such tax as an additional charge, which charge may be
27 stated in combination, in a single amount, with State tax
28 which sellers are required to collect under the Use Tax Act,
29 pursuant to such bracket schedules as the Department may
30 prescribe.
31 Whenever the Department determines that a refund should
32 be made under this Section to a claimant instead of issuing a
33 credit memorandum, the Department shall notify the State
34 Comptroller, who shall cause the order to be drawn for the
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1 amount specified and to the person named in the notification
2 from the Department. The refund shall be paid by the State
3 Treasurer out of the home rule county retailers' occupation
4 tax fund.
5 The Department shall forthwith pay over to the State
6 Treasurer, ex officio, as trustee, all taxes and penalties
7 collected hereunder. On or before the 25th day of each
8 calendar month, the Department shall prepare and certify to
9 the Comptroller the disbursement of stated sums of money to
10 named counties, the counties to be those from which retailers
11 have paid taxes or penalties hereunder to the Department
12 during the second preceding calendar month. The amount to be
13 paid to each county shall be the amount (not including credit
14 memoranda) collected hereunder during the second preceding
15 calendar month by the Department plus an amount the
16 Department determines is necessary to offset any amounts that
17 were erroneously paid to a different taxing body, and not
18 including an amount equal to the amount of refunds made
19 during the second preceding calendar month by the Department
20 on behalf of such county, and not including any amount which
21 the Department determines is necessary to offset any amounts
22 which were payable to a different taxing body but were
23 erroneously paid to the county. Within 10 days after receipt,
24 by the Comptroller, of the disbursement certification to the
25 counties provided for in this Section to be given to the
26 Comptroller by the Department, the Comptroller shall cause
27 the orders to be drawn for the respective amounts in
28 accordance with the directions contained in the
29 certification.
30 In addition to the disbursement required by the preceding
31 paragraph, an allocation shall be made in March of each year
32 to each county that received more than $500,000 in
33 disbursements under the preceding paragraph in the preceding
34 calendar year. The allocation shall be in an amount equal to
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1 the average monthly distribution made to each such county
2 under the preceding paragraph during the preceding calendar
3 year (excluding the 2 months of highest receipts). The
4 distribution made in March of each year subsequent to the
5 year in which an allocation was made pursuant to this
6 paragraph and the preceding paragraph shall be reduced by the
7 amount allocated and disbursed under this paragraph in the
8 preceding calendar year. The Department shall prepare and
9 certify to the Comptroller for disbursement the allocations
10 made in accordance with this paragraph.
11 For the purpose of determining the local governmental
12 unit whose tax is applicable, a retail sale by a producer of
13 coal or other mineral mined in Illinois is a sale at retail
14 at the place where the coal or other mineral mined in
15 Illinois is extracted from the earth. This paragraph does
16 not apply to coal or other mineral when it is delivered or
17 shipped by the seller to the purchaser at a point outside
18 Illinois so that the sale is exempt under the United States
19 Constitution as a sale in interstate or foreign commerce.
20 Nothing in this Section shall be construed to authorize a
21 county to impose a tax upon the privilege of engaging in any
22 business which under the Constitution of the United States
23 may not be made the subject of taxation by this State.
24 An ordinance or resolution imposing or discontinuing a
25 tax hereunder or effecting a change in the rate thereof shall
26 be adopted and a certified copy thereof filed with the
27 Department on or before the first day of June, whereupon the
28 Department shall proceed to administer and enforce this
29 Section as of the first day of September next following such
30 adoption and filing. Beginning January 1, 1992, an ordinance
31 or resolution imposing or discontinuing the tax hereunder or
32 effecting a change in the rate thereof shall be adopted and a
33 certified copy thereof filed with the Department on or before
34 the first day of July, whereupon the Department shall proceed
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1 to administer and enforce this Section as of the first day of
2 October next following such adoption and filing. Beginning
3 January 1, 1993, an ordinance or resolution imposing or
4 discontinuing the tax hereunder or effecting a change in the
5 rate thereof shall be adopted and a certified copy thereof
6 filed with the Department on or before the first day of
7 October, whereupon the Department shall proceed to administer
8 and enforce this Section as of the first day of January next
9 following such adoption and filing. Beginning April 1, 1998,
10 an ordinance or resolution imposing or discontinuing the tax
11 hereunder or effecting a change in the rate thereof shall
12 either (i) be adopted and a certified copy thereof filed with
13 the Department on or before the first day of April, whereupon
14 the Department shall proceed to administer and enforce this
15 Section as of the first day of July next following the
16 adoption and filing; or (ii) be adopted and a certified copy
17 thereof filed with the Department on or before the first day
18 of October, whereupon the Department shall proceed to
19 administer and enforce this Section as of the first day of
20 January next following the adoption and filing.
21 When certifying the amount of a monthly disbursement to a
22 county under this Section, the Department shall increase or
23 decrease such amount by an amount necessary to offset any
24 misallocation of previous disbursements. The offset amount
25 shall be the amount erroneously disbursed within the previous
26 6 months from the time a misallocation is discovered.
27 This Section shall be known and may be cited as the Home
28 Rule County Retailers' Occupation Tax Law.
29 (Source: P.A. 90-689, eff. 7-31-98; 91-51, eff. 6-30-99.)
30 (55 ILCS 5/5-1006.5)
31 Sec. 5-1006.5. Special County Retailers' Occupation Tax
32 For Public Safety.
33 (a) The county board of any county may impose a tax upon
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1 all persons engaged in the business of selling tangible
2 personal property, other than personal property titled or
3 registered with an agency of this State's government, at
4 retail in the county on the gross receipts from the sales
5 made in the course of business to provide revenue to be used
6 exclusively for public safety purposes in that county, if a
7 proposition for the tax has been submitted to the electors of
8 that county and approved by a majority of those voting on the
9 question. If imposed, this tax shall be imposed only in
10 one-quarter percent increments. By resolution, the county
11 board may order the proposition to be submitted at any
12 election. The county clerk shall certify the question to the
13 proper election authority, who shall submit the proposition
14 at an election in accordance with the general election law.
15 The proposition shall be in substantially the following
16 form:
17 "Shall (name of county) be authorized to impose a
18 public safety tax at the rate of .... upon all persons
19 engaged in the business of selling tangible personal
20 property at retail in the county on gross receipts from
21 the sales made in the course of their business to be used
22 for crime prevention, detention, and other public safety
23 purposes?"
24 Votes shall be recorded as Yes or No. If a majority of the
25 electors voting on the proposition vote in favor of it, the
26 county may impose the tax.
27 This additional tax may not be imposed on the sales of
28 food for human consumption that is to be consumed off the
29 premises where it is sold (other than alcoholic beverages,
30 soft drinks, and food which has been prepared for immediate
31 consumption) and prescription and non-prescription medicines,
32 drugs, medical appliances and insulin, urine testing
33 materials, syringes, and needles used by diabetics. The tax
34 imposed by a county under this Section and all civil
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1 penalties that may be assessed as an incident of the tax
2 shall be collected and enforced by the Illinois Department of
3 Revenue. The certificate of registration that is issued by
4 the Department to a retailer under the Retailers' Occupation
5 Tax Act shall permit the retailer to engage in a business
6 that is taxable without registering separately with the
7 Department under an ordinance or resolution under this
8 Section. The Department has full power to administer and
9 enforce this Section, to collect all taxes and penalties due
10 under this Section, to dispose of taxes and penalties so
11 collected in the manner provided in this Section, and to
12 determine all rights to credit memoranda arising on account
13 of the erroneous payment of a tax or penalty under this
14 Section. In the administration of and compliance with this
15 Section, the Department and persons who are subject to this
16 Section shall (i) have the same rights, remedies, privileges,
17 immunities, powers, and duties, (ii) be subject to the same
18 conditions, restrictions, limitations, penalties, and
19 definitions of terms, and (iii) employ the same modes of
20 procedure as are prescribed in Sections 1, 1a, 1a-1, 1d, 1e,
21 1f, 1i, 1j, 1k, 1m, 1n, 2, 2-5, 2-5.5, 2-10 (in respect to
22 all provisions contained in those Sections other than the
23 State rate of tax), 2-15 through 2-70, 2a, 2b, 2c, 3 (except
24 provisions relating to transaction returns and quarter
25 monthly payments), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i,
26 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 11a, 12, and 13
27 of the Retailers' Occupation Tax Act and Section 3-7 of the
28 Uniform Penalty and Interest Act as if those provisions were
29 set forth in this Section.
30 A county that has not imposed a tax under this subsection
31 on the sale of motor fuel or gasohol before the effective
32 date of this amendatory Act of the 91st General Assembly
33 shall not impose such a tax on or after that date. A county
34 that has imposed a tax under this subsection on the sale of
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1 motor fuel or gasohol before the effective date of this
2 amendatory Act of the 91st General Assembly shall not
3 increase the rate of the tax on or after that date.
4 Persons subject to any tax imposed under the authority
5 granted in this Section may reimburse themselves for their
6 sellers' tax liability by separately stating the tax as an
7 additional charge, which charge may be stated in combination,
8 in a single amount, with State tax which sellers are required
9 to collect under the Use Tax Act, pursuant to such bracketed
10 schedules as the Department may prescribe.
11 Whenever the Department determines that a refund should
12 be made under this Section to a claimant instead of issuing a
13 credit memorandum, the Department shall notify the State
14 Comptroller, who shall cause the order to be drawn for the
15 amount specified and to the person named in the notification
16 from the Department. The refund shall be paid by the State
17 Treasurer out of the County Public Safety Retailers'
18 Occupation Tax Fund.
19 (b) If a tax has been imposed under subsection (a), a
20 service occupation tax shall also be imposed at the same rate
21 upon all persons engaged, in the county, in the business of
22 making sales of service, who, as an incident to making those
23 sales of service, transfer tangible personal property within
24 the county as an incident to a sale of service. This tax may
25 not be imposed on sales of food for human consumption that is
26 to be consumed off the premises where it is sold (other than
27 alcoholic beverages, soft drinks, and food prepared for
28 immediate consumption) and prescription and non-prescription
29 medicines, drugs, medical appliances and insulin, urine
30 testing materials, syringes, and needles used by diabetics.
31 The tax imposed under this subsection and all civil penalties
32 that may be assessed as an incident thereof shall be
33 collected and enforced by the Department of Revenue. The
34 Department has full power to administer and enforce this
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1 subsection; to collect all taxes and penalties due hereunder;
2 to dispose of taxes and penalties so collected in the manner
3 hereinafter provided; and to determine all rights to credit
4 memoranda arising on account of the erroneous payment of tax
5 or penalty hereunder. In the administration of, and
6 compliance with this subsection, the Department and persons
7 who are subject to this paragraph shall (i) have the same
8 rights, remedies, privileges, immunities, powers, and duties,
9 (ii) be subject to the same conditions, restrictions,
10 limitations, penalties, exclusions, exemptions, and
11 definitions of terms, and (iii) employ the same modes of
12 procedure as are prescribed in Sections 2 (except that the
13 reference to State in the definition of supplier maintaining
14 a place of business in this State shall mean the county), 2a,
15 2b, 2c, 3 through 3-50 (in respect to all provisions therein
16 other than the State rate of tax), 4 (except that the
17 reference to the State shall be to the county), 5, 7, 8
18 (except that the jurisdiction to which the tax shall be a
19 debt to the extent indicated in that Section 8 shall be the
20 county), 9 (except as to the disposition of taxes and
21 penalties collected), 10, 11, 12 (except the reference
22 therein to Section 2b of the Retailers' Occupation Tax Act),
23 13 (except that any reference to the State shall mean the
24 county), Section 15, 16, 17, 18, 19 and 20 of the Service
25 Occupation Tax Act and Section 3-7 of the Uniform Penalty and
26 Interest Act, as fully as if those provisions were set forth
27 herein.
28 A county that has not imposed a tax under this subsection
29 on the selling price of motor fuel or gasohol before the
30 effective date of this amendatory Act of the 91st General
31 Assembly shall not impose such a tax on or after that date.
32 A county that has imposed a tax under this subsection on the
33 selling price of motor fuel or gasahol before the effective
34 date of this amendatory Act of the 91st General Assembly
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1 shall not increase the rate of the tax on or after that date.
2 Persons subject to any tax imposed under the authority
3 granted in this subsection may reimburse themselves for their
4 serviceman's tax liability by separately stating the tax as
5 an additional charge, which charge may be stated in
6 combination, in a single amount, with State tax that
7 servicemen are authorized to collect under the Service Use
8 Tax Act, in accordance with such bracket schedules as the
9 Department may prescribe.
10 Whenever the Department determines that a refund should
11 be made under this subsection to a claimant instead of
12 issuing a credit memorandum, the Department shall notify the
13 State Comptroller, who shall cause the warrant to be drawn
14 for the amount specified, and to the person named, in the
15 notification from the Department. The refund shall be paid
16 by the State Treasurer out of the County Public Safety
17 Retailers' Occupation Fund.
18 Nothing in this subsection shall be construed to
19 authorize the county to impose a tax upon the privilege of
20 engaging in any business which under the Constitution of the
21 United States may not be made the subject of taxation by the
22 State.
23 (c) The Department shall immediately pay over to the
24 State Treasurer, ex officio, as trustee, all taxes and
25 penalties collected under this Section to be deposited into
26 the County Public Safety Retailers' Occupation Tax Fund,
27 which shall be an unappropriated trust fund held outside of
28 the State treasury. On or before the 25th day of each
29 calendar month, the Department shall prepare and certify to
30 the Comptroller the disbursement of stated sums of money to
31 the counties from which retailers have paid taxes or
32 penalties to the Department during the second preceding
33 calendar month. The amount to be paid to each county shall
34 be the amount (not including credit memoranda) collected
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1 under this Section during the second preceding calendar month
2 by the Department plus an amount the Department determines is
3 necessary to offset any amounts that were erroneously paid to
4 a different taxing body, and not including (i) an amount
5 equal to the amount of refunds made during the second
6 preceding calendar month by the Department on behalf of the
7 county and (ii) any amount that the Department determines is
8 necessary to offset any amounts that were payable to a
9 different taxing body but were erroneously paid to the
10 county. Within 10 days after receipt by the Comptroller of
11 the disbursement certification to the counties provided for
12 in this Section to be given to the Comptroller by the
13 Department, the Comptroller shall cause the orders to be
14 drawn for the respective amounts in accordance with
15 directions contained in the certification.
16 In addition to the disbursement required by the preceding
17 paragraph, an allocation shall be made in March of each year
18 to each county that received more than $500,000 in
19 disbursements under the preceding paragraph in the preceding
20 calendar year. The allocation shall be in an amount equal to
21 the average monthly distribution made to each such county
22 under the preceding paragraph during the preceding calendar
23 year (excluding the 2 months of highest receipts). The
24 distribution made in March of each year subsequent to the
25 year in which an allocation was made pursuant to this
26 paragraph and the preceding paragraph shall be reduced by the
27 amount allocated and disbursed under this paragraph in the
28 preceding calendar year. The Department shall prepare and
29 certify to the Comptroller for disbursement the allocations
30 made in accordance with this paragraph.
31 (d) For the purpose of determining the local
32 governmental unit whose tax is applicable, a retail sale by a
33 producer of coal or another mineral mined in Illinois is a
34 sale at retail at the place where the coal or other mineral
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1 mined in Illinois is extracted from the earth. This
2 paragraph does not apply to coal or another mineral when it
3 is delivered or shipped by the seller to the purchaser at a
4 point outside Illinois so that the sale is exempt under the
5 United States Constitution as a sale in interstate or foreign
6 commerce.
7 (e) Nothing in this Section shall be construed to
8 authorize a county to impose a tax upon the privilege of
9 engaging in any business that under the Constitution of the
10 United States may not be made the subject of taxation by this
11 State.
12 (e-5) If a county imposes a tax under this Section, the
13 county board may, by ordinance, discontinue or lower the rate
14 of the tax. If the county board lowers the tax rate or
15 discontinues the tax, a referendum must be held in accordance
16 with subsection (a) of this Section in order to increase the
17 rate of the tax or to reimpose the discontinued tax.
18 (f) Beginning April 1, 1998, the results of any election
19 authorizing a proposition to impose a tax under this Section
20 or effecting a change in the rate of tax, or any ordinance
21 lowering the rate or discontinuing the tax, shall be
22 certified by the county clerk and filed with the Illinois
23 Department of Revenue either (i) on or before the first day
24 of April, whereupon the Department shall proceed to
25 administer and enforce the tax as of the first day of July
26 next following the filing; or (ii) on or before the first day
27 of October, whereupon the Department shall proceed to
28 administer and enforce the tax as of the first day of January
29 next following the filing.
30 (g) When certifying the amount of a monthly disbursement
31 to a county under this Section, the Department shall increase
32 or decrease the amounts by an amount necessary to offset any
33 miscalculation of previous disbursements. The offset amount
34 shall be the amount erroneously disbursed within the previous
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1 6 months from the time a miscalculation is discovered.
2 (h) This Section may be cited as the "Special County
3 Occupation Tax For Public Safety Law".
4 (i) For purposes of this Section, "public safety"
5 includes but is not limited to fire fighting, police,
6 medical, ambulance, or other emergency services.
7 (j) This amendatory Act of the 91st General Assembly is
8 a denial and limitation of home rule powers to tax under
9 subsection (g) of Section 6 of Article VII of the Illinois
10 Constitution.
11 (Source: P.A. 89-107, eff. 1-1-96; 89-718, eff. 3-7-97;
12 90-190, eff. 7-24-97; 90-267, eff. 7-30-97; 90-552, eff.
13 12-12-97; 90-562, eff. 12-16-97; 90-655, eff. 7-30-98;
14 90-689, eff. 7-31-98.)
15 (55 ILCS 5/5-1007) (from Ch. 34, par. 5-1007)
16 Sec. 5-1007. Home Rule County Service Occupation Tax
17 Law. The corporate authorities of a home rule county may
18 impose a tax upon all persons engaged, in such county, in the
19 business of making sales of service at the same rate of tax
20 imposed pursuant to Section 5-1006 of the selling price of
21 all tangible personal property transferred by such servicemen
22 either in the form of tangible personal property or in the
23 form of real estate as an incident to a sale of service. If
24 imposed, such tax shall only be imposed in 1/4% increments.
25 On and after September 1, 1991, this additional tax may not
26 be imposed on the sales of food for human consumption which
27 is to be consumed off the premises where it is sold (other
28 than alcoholic beverages, soft drinks and food which has been
29 prepared for immediate consumption) and prescription and
30 nonprescription medicines, drugs, medical appliances and
31 insulin, urine testing materials, syringes and needles used
32 by diabetics. The tax imposed by a home rule county pursuant
33 to this Section and all civil penalties that may be assessed
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1 as an incident thereof shall be collected and enforced by the
2 State Department of Revenue. The certificate of registration
3 which is issued by the Department to a retailer under the
4 Retailers' Occupation Tax Act or under the Service Occupation
5 Tax Act shall permit such registrant to engage in a business
6 which is taxable under any ordinance or resolution enacted
7 pursuant to this Section without registering separately with
8 the Department under such ordinance or resolution or under
9 this Section. The Department shall have full power to
10 administer and enforce this Section; to collect all taxes and
11 penalties due hereunder; to dispose of taxes and penalties so
12 collected in the manner hereinafter provided; and to
13 determine all rights to credit memoranda arising on account
14 of the erroneous payment of tax or penalty hereunder. In the
15 administration of, and compliance with, this Section the
16 Department and persons who are subject to this Section shall
17 have the same rights, remedies, privileges, immunities,
18 powers and duties, and be subject to the same conditions,
19 restrictions, limitations, penalties and definitions of
20 terms, and employ the same modes of procedure, as are
21 prescribed in Sections 1a-1, 2, 2a, 3 through 3-50 (in
22 respect to all provisions therein other than the State rate
23 of tax), 4 (except that the reference to the State shall be
24 to the taxing county), 5, 7, 8 (except that the jurisdiction
25 to which the tax shall be a debt to the extent indicated in
26 that Section 8 shall be the taxing county), 9 (except as to
27 the disposition of taxes and penalties collected, and except
28 that the returned merchandise credit for this county tax may
29 not be taken against any State tax), 10, 11, 12 (except the
30 reference therein to Section 2b of the Retailers' Occupation
31 Tax Act), 13 (except that any reference to the State shall
32 mean the taxing county), the first paragraph of Section 15,
33 16, 17, 18, 19 and 20 of the Service Occupation Tax Act and
34 Section 3-7 of the Uniform Penalty and Interest Act, as fully
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1 as if those provisions were set forth herein.
2 No tax may be imposed by a home rule county pursuant to
3 this Section unless such county also imposes a tax at the
4 same rate pursuant to Section 5-1006.
5 A home rule county that has not imposed a tax under this
6 Section on the selling price of motor fuel or gasohol before
7 the effective date of this amendatory Act of the 91st General
8 Assembly shall not impose such a tax on or after that date. A
9 home rule county that has imposed a tax under this Section on
10 the sale of motor fuel or gasohol before the effective date
11 of this amendatory Act of the 91st General Assembly shall not
12 increase the rate of the tax on or after that date. This
13 amendatory Act of the 91st General Assembly is denial and
14 limitation of home rule powers to tax under subsection (g) of
15 Section 6 of Article VII of the Illinois Constitution.
16 Persons subject to any tax imposed pursuant to the
17 authority granted in this Section may reimburse themselves
18 for their serviceman's tax liability hereunder by separately
19 stating such tax as an additional charge, which charge may be
20 stated in combination, in a single amount, with State tax
21 which servicemen are authorized to collect under the Service
22 Use Tax Act, pursuant to such bracket schedules as the
23 Department may prescribe.
24 Whenever the Department determines that a refund should
25 be made under this Section to a claimant instead of issuing
26 credit memorandum, the Department shall notify the State
27 Comptroller, who shall cause the order to be drawn for the
28 amount specified, and to the person named, in such
29 notification from the Department. Such refund shall be paid
30 by the State Treasurer out of the home rule county retailers'
31 occupation tax fund.
32 The Department shall forthwith pay over to the State
33 Treasurer, ex-officio, as trustee, all taxes and penalties
34 collected hereunder. On or before the 25th day of each
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1 calendar month, the Department shall prepare and certify to
2 the Comptroller the disbursement of stated sums of money to
3 named counties, the counties to be those from which suppliers
4 and servicemen have paid taxes or penalties hereunder to the
5 Department during the second preceding calendar month. The
6 amount to be paid to each county shall be the amount (not
7 including credit memoranda) collected hereunder during the
8 second preceding calendar month by the Department, and not
9 including an amount equal to the amount of refunds made
10 during the second preceding calendar month by the Department
11 on behalf of such county. Within 10 days after receipt, by
12 the Comptroller, of the disbursement certification to the
13 counties provided for in this Section to be given to the
14 Comptroller by the Department, the Comptroller shall cause
15 the orders to be drawn for the respective amounts in
16 accordance with the directions contained in such
17 certification.
18 In addition to the disbursement required by the preceding
19 paragraph, an allocation shall be made in each year to each
20 county which received more than $500,000 in disbursements
21 under the preceding paragraph in the preceding calendar year.
22 The allocation shall be in an amount equal to the average
23 monthly distribution made to each such county under the
24 preceding paragraph during the preceding calendar year
25 (excluding the 2 months of highest receipts). The
26 distribution made in March of each year subsequent to the
27 year in which an allocation was made pursuant to this
28 paragraph and the preceding paragraph shall be reduced by the
29 amount allocated and disbursed under this paragraph in the
30 preceding calendar year. The Department shall prepare and
31 certify to the Comptroller for disbursement the allocations
32 made in accordance with this paragraph.
33 Nothing in this Section shall be construed to authorize a
34 county to impose a tax upon the privilege of engaging in any
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1 business which under the Constitution of the United States
2 may not be made the subject of taxation by this State.
3 An ordinance or resolution imposing or discontinuing a
4 tax hereunder or effecting a change in the rate thereof shall
5 be adopted and a certified copy thereof filed with the
6 Department on or before the first day of June, whereupon the
7 Department shall proceed to administer and enforce this
8 Section as of the first day of September next following such
9 adoption and filing. Beginning January 1, 1992, an ordinance
10 or resolution imposing or discontinuing the tax hereunder or
11 effecting a change in the rate thereof shall be adopted and a
12 certified copy thereof filed with the Department on or before
13 the first day of July, whereupon the Department shall proceed
14 to administer and enforce this Section as of the first day of
15 October next following such adoption and filing. Beginning
16 January 1, 1993, an ordinance or resolution imposing or
17 discontinuing the tax hereunder or effecting a change in the
18 rate thereof shall be adopted and a certified copy thereof
19 filed with the Department on or before the first day of
20 October, whereupon the Department shall proceed to administer
21 and enforce this Section as of the first day of January next
22 following such adoption and filing. Beginning April 1, 1998,
23 an ordinance or resolution imposing or discontinuing the tax
24 hereunder or effecting a change in the rate thereof shall
25 either (i) be adopted and a certified copy thereof filed with
26 the Department on or before the first day of April, whereupon
27 the Department shall proceed to administer and enforce this
28 Section as of the first day of July next following the
29 adoption and filing; or (ii) be adopted and a certified copy
30 thereof filed with the Department on or before the first day
31 of October, whereupon the Department shall proceed to
32 administer and enforce this Section as of the first day of
33 January next following the adoption and filing.
34 This Section shall be known and may be cited as the Home
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1 Rule County Service Occupation Tax Law.
2 (Source: P.A. 90-689, eff. 7-31-98; 91-51, eff. 6-30-99.)
3 (55 ILCS 5/5-1035.1) (from Ch. 34, par. 5-1035.1)
4 Sec. 5-1035.1. County Motor Fuel Tax Law. The county
5 board of the counties of DuPage, Kane and McHenry may, by an
6 ordinance or resolution adopted by an affirmative vote of a
7 majority of the members elected or appointed to the county
8 board, impose a tax upon all persons engaged in the county in
9 the business of selling motor fuel, as now or hereafter
10 defined in the Motor Fuel Tax Law, at retail for the
11 operation of motor vehicles upon public highways or for the
12 operation of recreational watercraft upon waterways. Kane
13 County may exempt diesel fuel from the tax imposed pursuant
14 to this Section. The tax may be imposed, in half-cent
15 increments, at a rate not exceeding 4 cents per gallon of
16 motor fuel sold at retail within the county for the purpose
17 of use or consumption and not for the purpose of resale. The
18 proceeds from the tax shall be used by the county solely for
19 the purpose of operating, constructing and improving public
20 highways and waterways, and acquiring real property and
21 right-of-ways for public highways and waterways within the
22 county imposing the tax.
23 A county that has not imposed a tax under this Section
24 before the effective date of this amendatory Act of the 91st
25 General Assembly shall not impose such a tax on or after that
26 date. A county that has imposed a tax under this Section
27 before the effective date of this amendatory Act of the 91st
28 General Assembly shall not increase the rate of the tax on or
29 after that date.
30 A tax imposed pursuant to this Section, and all civil
31 penalties that may be assessed as an incident thereof, shall
32 be administered, collected and enforced by the Illinois
33 Department of Revenue in the same manner as the tax imposed
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1 under the Retailers' Occupation Tax Act, as now or hereafter
2 amended, insofar as may be practicable; except that in the
3 event of a conflict with the provisions of this Section, this
4 Section shall control. The Department of Revenue shall have
5 full power: to administer and enforce this Section; to
6 collect all taxes and penalties due hereunder; to dispose of
7 taxes and penalties so collected in the manner hereinafter
8 provided; and to determine all rights to credit memoranda
9 arising on account of the erroneous payment of tax or penalty
10 hereunder.
11 Whenever the Department determines that a refund shall be
12 made under this Section to a claimant instead of issuing a
13 credit memorandum, the Department shall notify the State
14 Comptroller, who shall cause the order to be drawn for the
15 amount specified, and to the person named, in the
16 notification from the Department. The refund shall be paid by
17 the State Treasurer out of the County Option Motor Fuel Tax
18 Fund.
19 The Department shall forthwith pay over to the State
20 Treasurer, ex-officio, as trustee, all taxes and penalties
21 collected hereunder, which shall be deposited into the County
22 Option Motor Fuel Tax Fund, a special fund in the State
23 Treasury which is hereby created. On or before the 25th day
24 of each calendar month, the Department shall prepare and
25 certify to the State Comptroller the disbursement of stated
26 sums of money to named counties for which taxpayers have paid
27 taxes or penalties hereunder to the Department during the
28 second preceding calendar month. The amount to be paid to
29 each county shall be the amount (not including credit
30 memoranda) collected hereunder from retailers within the
31 county during the second preceding calendar month by the
32 Department, but not including an amount equal to the amount
33 of refunds made during the second preceding calendar month by
34 the Department on behalf of the county; less the amount
-93- LRB9110257SMdv
1 expended during the second preceding month by the Department
2 pursuant to appropriation from the County Option Motor Fuel
3 Tax Fund for the administration and enforcement of this
4 Section, which appropriation shall not exceed $200,000 for
5 fiscal year 1990 and, for each year thereafter, shall not
6 exceed 2% of the amount deposited into the County Option
7 Motor Fuel Tax Fund during the preceding fiscal year.
8 Nothing in this Section shall be construed to authorize a
9 county to impose a tax upon the privilege of engaging in any
10 business which under the Constitution of the United States
11 may not be made the subject of taxation by this State.
12 An ordinance or resolution imposing a tax hereunder or
13 effecting a change in the rate thereof shall be effective on
14 the first day of the second calendar month next following the
15 month in which the ordinance or resolution is adopted and a
16 certified copy thereof is filed with the Department of
17 Revenue, whereupon the Department of Revenue shall proceed
18 to administer and enforce this Section on behalf of the
19 county as of the effective date of the ordinance or
20 resolution. Upon a change in rate of a tax levied hereunder,
21 or upon the discontinuance of the tax, the county board of
22 the county shall, on or not later than 5 days after the
23 effective date of the ordinance or resolution discontinuing
24 the tax or effecting a change in rate, transmit to the
25 Department of Revenue a certified copy of the ordinance or
26 resolution effecting the change or discontinuance.
27 This Section shall be known and may be cited as the
28 County Motor Fuel Tax Law.
29 (Source: P.A. 86-1028; 87-289.)
30 Section 30. The Illinois Municipal Code is amended by
31 changing Sections 8-11-1, 8-11-1.1, 8-11-5, 8-11-6, and
32 8-11-15 as follows:
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1 (65 ILCS 5/8-11-1) (from Ch. 24, par. 8-11-1)
2 Sec. 8-11-1. Home Rule Municipal Retailers' Occupation
3 Tax Act. The corporate authorities of a home rule
4 municipality may impose a tax upon all persons engaged in the
5 business of selling tangible personal property, other than an
6 item of tangible personal property titled or registered with
7 an agency of this State's government, at retail in the
8 municipality on the gross receipts from these sales made in
9 the course of such business. If imposed, the tax shall only
10 be imposed in 1/4% increments. On and after September 1,
11 1991, this additional tax may not be imposed on the sales of
12 food for human consumption that is to be consumed off the
13 premises where it is sold (other than alcoholic beverages,
14 soft drinks and food that has been prepared for immediate
15 consumption) and prescription and nonprescription medicines,
16 drugs, medical appliances and insulin, urine testing
17 materials, syringes and needles used by diabetics. The tax
18 imposed by a home rule municipality under this Section and
19 all civil penalties that may be assessed as an incident of
20 the tax shall be collected and enforced by the State
21 Department of Revenue. The certificate of registration that
22 is issued by the Department to a retailer under the
23 Retailers' Occupation Tax Act shall permit the retailer to
24 engage in a business that is taxable under any ordinance or
25 resolution enacted pursuant to this Section without
26 registering separately with the Department under such
27 ordinance or resolution or under this Section. The
28 Department shall have full power to administer and enforce
29 this Section; to collect all taxes and penalties due
30 hereunder; to dispose of taxes and penalties so collected in
31 the manner hereinafter provided; and to determine all rights
32 to credit memoranda arising on account of the erroneous
33 payment of tax or penalty hereunder. In the administration
34 of, and compliance with, this Section the Department and
-95- LRB9110257SMdv
1 persons who are subject to this Section shall have the same
2 rights, remedies, privileges, immunities, powers and duties,
3 and be subject to the same conditions, restrictions,
4 limitations, penalties and definitions of terms, and employ
5 the same modes of procedure, as are prescribed in Sections 1,
6 1a, 1d, 1e, 1f, 1i, 1j, 1k, 1m, 1n, 2 through 2-65 (in
7 respect to all provisions therein other than the State rate
8 of tax), 2c, 3 (except as to the disposition of taxes and
9 penalties collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h,
10 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12 and 13 of
11 the Retailers' Occupation Tax Act and Section 3-7 of the
12 Uniform Penalty and Interest Act, as fully as if those
13 provisions were set forth herein.
14 No tax may be imposed by a home rule municipality under
15 this Section unless the municipality also imposes a tax at
16 the same rate under Section 8-11-5 of this Act.
17 A home rule municipality that has not imposed a tax under
18 this Section on the sale of motor fuel or gasohol before the
19 effective date of this amendatory Act of the 91st General
20 Assembly shall not impose such a tax on or after that date. A
21 home rule municipality that has imposed a tax under this
22 Section on the sale of motor fuel or gasohol before the
23 effective date of this amendatory Act of the 91st General
24 Assembly shall not increase the rate of the tax on or after
25 that date. This amendatory Act of the 91st General Assembly
26 is a denial and limitation of home rule powers to tax under
27 subsection (g) of Section 6 of Article VII of the Illinois
28 Constitution.
29 Persons subject to any tax imposed under the authority
30 granted in this Section may reimburse themselves for their
31 seller's tax liability hereunder by separately stating that
32 tax as an additional charge, which charge may be stated in
33 combination, in a single amount, with State tax which sellers
34 are required to collect under the Use Tax Act, pursuant to
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1 such bracket schedules as the Department may prescribe.
2 Whenever the Department determines that a refund should
3 be made under this Section to a claimant instead of issuing a
4 credit memorandum, the Department shall notify the State
5 Comptroller, who shall cause the order to be drawn for the
6 amount specified and to the person named in the notification
7 from the Department. The refund shall be paid by the State
8 Treasurer out of the home rule municipal retailers'
9 occupation tax fund.
10 The Department shall immediately pay over to the State
11 Treasurer, ex officio, as trustee, all taxes and penalties
12 collected hereunder. On or before the 25th day of each
13 calendar month, the Department shall prepare and certify to
14 the Comptroller the disbursement of stated sums of money to
15 named municipalities, the municipalities to be those from
16 which retailers have paid taxes or penalties hereunder to the
17 Department during the second preceding calendar month. The
18 amount to be paid to each municipality shall be the amount
19 (not including credit memoranda) collected hereunder during
20 the second preceding calendar month by the Department plus an
21 amount the Department determines is necessary to offset any
22 amounts that were erroneously paid to a different taxing
23 body, and not including an amount equal to the amount of
24 refunds made during the second preceding calendar month by
25 the Department on behalf of such municipality, and not
26 including any amount that the Department determines is
27 necessary to offset any amounts that were payable to a
28 different taxing body but were erroneously paid to the
29 municipality. Within 10 days after receipt by the Comptroller
30 of the disbursement certification to the municipalities
31 provided for in this Section to be given to the Comptroller
32 by the Department, the Comptroller shall cause the orders to
33 be drawn for the respective amounts in accordance with the
34 directions contained in the certification.
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1 In addition to the disbursement required by the preceding
2 paragraph and in order to mitigate delays caused by
3 distribution procedures, an allocation shall, if requested,
4 be made within 10 days after January 14, 1991, and in
5 November of 1991 and each year thereafter, to each
6 municipality that received more than $500,000 during the
7 preceding fiscal year, (July 1 through June 30) whether
8 collected by the municipality or disbursed by the Department
9 as required by this Section. Within 10 days after January 14,
10 1991, participating municipalities shall notify the
11 Department in writing of their intent to participate. In
12 addition, for the initial distribution, participating
13 municipalities shall certify to the Department the amounts
14 collected by the municipality for each month under its home
15 rule occupation and service occupation tax during the period
16 July 1, 1989 through June 30, 1990. The allocation within 10
17 days after January 14, 1991, shall be in an amount equal to
18 the monthly average of these amounts, excluding the 2 months
19 of highest receipts. The monthly average for the period of
20 July 1, 1990 through June 30, 1991 will be determined as
21 follows: the amounts collected by the municipality under its
22 home rule occupation and service occupation tax during the
23 period of July 1, 1990 through September 30, 1990, plus
24 amounts collected by the Department and paid to such
25 municipality through June 30, 1991, excluding the 2 months of
26 highest receipts. The monthly average for each subsequent
27 period of July 1 through June 30 shall be an amount equal to
28 the monthly distribution made to each such municipality under
29 the preceding paragraph during this period, excluding the 2
30 months of highest receipts. The distribution made in
31 November 1991 and each year thereafter under this paragraph
32 and the preceding paragraph shall be reduced by the amount
33 allocated and disbursed under this paragraph in the preceding
34 period of July 1 through June 30. The Department shall
-98- LRB9110257SMdv
1 prepare and certify to the Comptroller for disbursement the
2 allocations made in accordance with this paragraph.
3 For the purpose of determining the local governmental
4 unit whose tax is applicable, a retail sale by a producer of
5 coal or other mineral mined in Illinois is a sale at retail
6 at the place where the coal or other mineral mined in
7 Illinois is extracted from the earth. This paragraph does
8 not apply to coal or other mineral when it is delivered or
9 shipped by the seller to the purchaser at a point outside
10 Illinois so that the sale is exempt under the United States
11 Constitution as a sale in interstate or foreign commerce.
12 Nothing in this Section shall be construed to authorize a
13 municipality to impose a tax upon the privilege of engaging
14 in any business which under the Constitution of the United
15 States may not be made the subject of taxation by this State.
16 An ordinance or resolution imposing or discontinuing a
17 tax hereunder or effecting a change in the rate thereof shall
18 be adopted and a certified copy thereof filed with the
19 Department on or before the first day of June, whereupon the
20 Department shall proceed to administer and enforce this
21 Section as of the first day of September next following the
22 adoption and filing. Beginning January 1, 1992, an ordinance
23 or resolution imposing or discontinuing the tax hereunder or
24 effecting a change in the rate thereof shall be adopted and a
25 certified copy thereof filed with the Department on or before
26 the first day of July, whereupon the Department shall proceed
27 to administer and enforce this Section as of the first day of
28 October next following such adoption and filing. Beginning
29 January 1, 1993, an ordinance or resolution imposing or
30 discontinuing the tax hereunder or effecting a change in the
31 rate thereof shall be adopted and a certified copy thereof
32 filed with the Department on or before the first day of
33 October, whereupon the Department shall proceed to administer
34 and enforce this Section as of the first day of January next
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1 following the adoption and filing. However, a municipality
2 located in a county with a population in excess of 3,000,000
3 that elected to become a home rule unit at the general
4 primary election in 1994 may adopt an ordinance or resolution
5 imposing the tax under this Section and file a certified copy
6 of the ordinance or resolution with the Department on or
7 before July 1, 1994. The Department shall then proceed to
8 administer and enforce this Section as of October 1, 1994.
9 Beginning April 1, 1998, an ordinance or resolution imposing
10 or discontinuing the tax hereunder or effecting a change in
11 the rate thereof shall either (i) be adopted and a certified
12 copy thereof filed with the Department on or before the first
13 day of April, whereupon the Department shall proceed to
14 administer and enforce this Section as of the first day of
15 July next following the adoption and filing; or (ii) be
16 adopted and a certified copy thereof filed with the
17 Department on or before the first day of October, whereupon
18 the Department shall proceed to administer and enforce this
19 Section as of the first day of January next following the
20 adoption and filing.
21 When certifying the amount of a monthly disbursement to a
22 municipality under this Section, the Department shall
23 increase or decrease the amount by an amount necessary to
24 offset any misallocation of previous disbursements. The
25 offset amount shall be the amount erroneously disbursed
26 within the previous 6 months from the time a misallocation is
27 discovered.
28 Any unobligated balance remaining in the Municipal
29 Retailers' Occupation Tax Fund on December 31, 1989, which
30 fund was abolished by Public Act 85-1135, and all receipts of
31 municipal tax as a result of audits of liability periods
32 prior to January 1, 1990, shall be paid into the Local
33 Government Tax Fund for distribution as provided by this
34 Section prior to the enactment of Public Act 85-1135. All
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1 receipts of municipal tax as a result of an assessment not
2 arising from an audit, for liability periods prior to January
3 1, 1990, shall be paid into the Local Government Tax Fund for
4 distribution before July 1, 1990, as provided by this Section
5 prior to the enactment of Public Act 85-1135; and on and
6 after July 1, 1990, all such receipts shall be distributed as
7 provided in Section 6z-18 of the State Finance Act.
8 As used in this Section, "municipal" and "municipality"
9 means a city, village or incorporated town, including an
10 incorporated town that has superseded a civil township.
11 This Section shall be known and may be cited as the Home
12 Rule Municipal Retailers' Occupation Tax Act.
13 (Source: P.A. 90-689, eff. 7-31-98; 91-51, eff. 6-30-99.)
14 (65 ILCS 5/8-11-1.1) (from Ch. 24, par. 8-11-1.1)
15 Sec. 8-11-1.1. Non-home rule municipality use and
16 occupation taxes.
17 (a) The corporate authorities of a non-home rule
18 municipality with a population greater than 130,000 but less
19 than 2,000,000 may, upon approval of the electors of the
20 municipality pursuant to subsection (b) of this Section,
21 impose by ordinance or resolution the 1/2 of 1% tax
22 authorized in Sections 8-11-1.3, 8-11-1.4 and 8-11-1.5 of
23 this Act.
24 A municipality that has not imposed a tax on motor fuel
25 or gasohol authorized in Sections 8-11-1.3, 8-11-1.4, and
26 8-11-1.5 before the effective date of this amendatory Act of
27 the 91st General Assembly shall not impose such a tax on or
28 after that date. A municipality that has imposed a tax on
29 motor fuel or gasohol authorized in Sections 8-11-1.3,
30 8-11-1.4, and 8-11-1.5 before the effective date of this
31 amendatory Act of the 91st General Assembly shall not
32 increase the rate of the tax on or after that date.
33 (b) The corporate authorities of the municipality may by
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1 ordinance or resolution call for the submission to the
2 electors of the municipality the question of whether the
3 municipality shall impose such tax. Such question shall be
4 certified by the municipal clerk to the election authority in
5 accordance with Section 28-5 of the Election Code and shall
6 be in a form in accordance with Section 16-7 of the Election
7 Code.
8 If a majority of the electors in the municipality voting
9 upon the question vote in the affirmative, such tax shall be
10 imposed.
11 An ordinance or resolution imposing the 1/2 of 1% tax
12 hereunder or discontinuing the same shall be adopted and a
13 certified copy thereof, together with a certification that
14 the ordinance or resolution received referendum approval in
15 the case of the imposition of such tax, filed with the
16 Department of Revenue, on or before the first day of June,
17 whereupon the Department shall proceed to administer and
18 enforce the additional tax or to discontinue the tax, as the
19 case may be, as of the first day of September next following
20 such adoption and filing. Beginning January 1, 1992, an
21 ordinance or resolution imposing or discontinuing the tax
22 hereunder shall be adopted and a certified copy thereof filed
23 with the Department on or before the first day of July,
24 whereupon the Department shall proceed to administer and
25 enforce this Section as of the first day of October next
26 following such adoption and filing. Beginning January 1,
27 1993, an ordinance or resolution imposing or discontinuing
28 the tax hereunder shall be adopted and a certified copy
29 thereof filed with the Department on or before the first day
30 of October, whereupon the Department shall proceed to
31 administer and enforce this Section as of the first day of
32 January next following such adoption and filing.
33 (Source: P.A. 91-51, eff. 6-30-99.)
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1 (65 ILCS 5/8-11-5) (from Ch. 24, par. 8-11-5)
2 Sec. 8-11-5. Home Rule Municipal Service Occupation Tax
3 Act. The corporate authorities of a home rule municipality
4 may impose a tax upon all persons engaged, in such
5 municipality, in the business of making sales of service at
6 the same rate of tax imposed pursuant to Section 8-11-1, of
7 the selling price of all tangible personal property
8 transferred by such servicemen either in the form of tangible
9 personal property or in the form of real estate as an
10 incident to a sale of service. If imposed, such tax shall
11 only be imposed in 1/4% increments. On and after September 1,
12 1991, this additional tax may not be imposed on the sales of
13 food for human consumption which is to be consumed off the
14 premises where it is sold (other than alcoholic beverages,
15 soft drinks and food which has been prepared for immediate
16 consumption) and prescription and nonprescription medicines,
17 drugs, medical appliances and insulin, urine testing
18 materials, syringes and needles used by diabetics. The tax
19 imposed by a home rule municipality pursuant to this Section
20 and all civil penalties that may be assessed as an incident
21 thereof shall be collected and enforced by the State
22 Department of Revenue. The certificate of registration which
23 is issued by the Department to a retailer under the
24 Retailers' Occupation Tax Act or under the Service Occupation
25 Tax Act shall permit such registrant to engage in a business
26 which is taxable under any ordinance or resolution enacted
27 pursuant to this Section without registering separately with
28 the Department under such ordinance or resolution or under
29 this Section. The Department shall have full power to
30 administer and enforce this Section; to collect all taxes and
31 penalties due hereunder; to dispose of taxes and penalties so
32 collected in the manner hereinafter provided, and to
33 determine all rights to credit memoranda arising on account
34 of the erroneous payment of tax or penalty hereunder. In the
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1 administration of, and compliance with, this Section the
2 Department and persons who are subject to this Section shall
3 have the same rights, remedies, privileges, immunities,
4 powers and duties, and be subject to the same conditions,
5 restrictions, limitations, penalties and definitions of
6 terms, and employ the same modes of procedure, as are
7 prescribed in Sections 1a-1, 2, 2a, 3 through 3-50 (in
8 respect to all provisions therein other than the State rate
9 of tax), 4 (except that the reference to the State shall be
10 to the taxing municipality), 5, 7, 8 (except that the
11 jurisdiction to which the tax shall be a debt to the extent
12 indicated in that Section 8 shall be the taxing
13 municipality), 9 (except as to the disposition of taxes and
14 penalties collected, and except that the returned merchandise
15 credit for this municipal tax may not be taken against any
16 State tax), 10, 11, 12 (except the reference therein to
17 Section 2b of the Retailers' Occupation Tax Act), 13 (except
18 that any reference to the State shall mean the taxing
19 municipality), the first paragraph of Section 15, 16, 17
20 (except that credit memoranda issued hereunder may not be
21 used to discharge any State tax liability), 18, 19 and 20 of
22 the Service Occupation Tax Act and Section 3-7 of the Uniform
23 Penalty and Interest Act, as fully as if those provisions
24 were set forth herein.
25 No tax may be imposed by a home rule municipality
26 pursuant to this Section unless such municipality also
27 imposes a tax at the same rate pursuant to Section 8-11-1 of
28 this Act.
29 A home rule municipality that has not imposed a tax under
30 this Section on the selling price of motor fuel or gasohol
31 before the effective date of this amendatory Act of the 91st
32 General Assembly shall not impose such a tax on or after that
33 date. A home rule municipality that has imposed a tax under
34 this Section on the selling price of motor fuel or gasohol
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1 before the effective date of this amendatory Act of the 91st
2 General Assembly shall not increase the rate of the tax on or
3 after that date. This amendatory Act of the 91st General
4 Assembly is a denial and limitation of home rule powers to
5 tax under subsection (g) of Section 6 of Article VII of the
6 Illinois Constitution.
7 Persons subject to any tax imposed pursuant to the
8 authority granted in this Section may reimburse themselves
9 for their serviceman's tax liability hereunder by separately
10 stating such tax as an additional charge, which charge may be
11 stated in combination, in a single amount, with State tax
12 which servicemen are authorized to collect under the Service
13 Use Tax Act, pursuant to such bracket schedules as the
14 Department may prescribe.
15 Whenever the Department determines that a refund should
16 be made under this Section to a claimant instead of issuing
17 credit memorandum, the Department shall notify the State
18 Comptroller, who shall cause the order to be drawn for the
19 amount specified, and to the person named, in such
20 notification from the Department. Such refund shall be paid
21 by the State Treasurer out of the home rule municipal
22 retailers' occupation tax fund.
23 The Department shall forthwith pay over to the State
24 Treasurer, ex-officio, as trustee, all taxes and penalties
25 collected hereunder. On or before the 25th day of each
26 calendar month, the Department shall prepare and certify to
27 the Comptroller the disbursement of stated sums of money to
28 named municipalities, the municipalities to be those from
29 which suppliers and servicemen have paid taxes or penalties
30 hereunder to the Department during the second preceding
31 calendar month. The amount to be paid to each municipality
32 shall be the amount (not including credit memoranda)
33 collected hereunder during the second preceding calendar
34 month by the Department, and not including an amount equal to
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1 the amount of refunds made during the second preceding
2 calendar month by the Department on behalf of such
3 municipality. Within 10 days after receipt, by the
4 Comptroller, of the disbursement certification to the
5 municipalities, provided for in this Section to be given to
6 the Comptroller by the Department, the Comptroller shall
7 cause the orders to be drawn for the respective amounts in
8 accordance with the directions contained in such
9 certification.
10 In addition to the disbursement required by the preceding
11 paragraph and in order to mitigate delays caused by
12 distribution procedures, an allocation shall, if requested,
13 be made within 10 days after January 14, 1991, and in
14 November of 1991 and each year thereafter, to each
15 municipality that received more than $500,000 during the
16 preceding fiscal year, (July 1 through June 30) whether
17 collected by the municipality or disbursed by the Department
18 as required by this Section. Within 10 days after January 14,
19 1991, participating municipalities shall notify the
20 Department in writing of their intent to participate. In
21 addition, for the initial distribution, participating
22 municipalities shall certify to the Department the amounts
23 collected by the municipality for each month under its home
24 rule occupation and service occupation tax during the period
25 July 1, 1989 through June 30, 1990. The allocation within 10
26 days after January 14, 1991, shall be in an amount equal to
27 the monthly average of these amounts, excluding the 2 months
28 of highest receipts. Monthly average for the period of July
29 1, 1990 through June 30, 1991 will be determined as follows:
30 the amounts collected by the municipality under its home rule
31 occupation and service occupation tax during the period of
32 July 1, 1990 through September 30, 1990, plus amounts
33 collected by the Department and paid to such municipality
34 through June 30, 1991, excluding the 2 months of highest
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1 receipts. The monthly average for each subsequent period of
2 July 1 through June 30 shall be an amount equal to the
3 monthly distribution made to each such municipality under the
4 preceding paragraph during this period, excluding the 2
5 months of highest receipts. The distribution made in
6 November 1991 and each year thereafter under this paragraph
7 and the preceding paragraph shall be reduced by the amount
8 allocated and disbursed under this paragraph in the preceding
9 period of July 1 through June 30. The Department shall
10 prepare and certify to the Comptroller for disbursement the
11 allocations made in accordance with this paragraph.
12 Nothing in this Section shall be construed to authorize a
13 municipality to impose a tax upon the privilege of engaging
14 in any business which under the constitution of the United
15 States may not be made the subject of taxation by this State.
16 An ordinance or resolution imposing or discontinuing a
17 tax hereunder or effecting a change in the rate thereof shall
18 be adopted and a certified copy thereof filed with the
19 Department on or before the first day of June, whereupon the
20 Department shall proceed to administer and enforce this
21 Section as of the first day of September next following such
22 adoption and filing. Beginning January 1, 1992, an ordinance
23 or resolution imposing or discontinuing the tax hereunder or
24 effecting a change in the rate thereof shall be adopted and a
25 certified copy thereof filed with the Department on or before
26 the first day of July, whereupon the Department shall proceed
27 to administer and enforce this Section as of the first day of
28 October next following such adoption and filing. Beginning
29 January 1, 1993, an ordinance or resolution imposing or
30 discontinuing the tax hereunder or effecting a change in the
31 rate thereof shall be adopted and a certified copy thereof
32 filed with the Department on or before the first day of
33 October, whereupon the Department shall proceed to administer
34 and enforce this Section as of the first day of January next
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1 following such adoption and filing. However, a municipality
2 located in a county with a population in excess of 3,000,000
3 that elected to become a home rule unit at the general
4 primary election in 1994 may adopt an ordinance or resolution
5 imposing the tax under this Section and file a certified copy
6 of the ordinance or resolution with the Department on or
7 before July 1, 1994. The Department shall then proceed to
8 administer and enforce this Section as of October 1, 1994.
9 Beginning April 1, 1998, an ordinance or resolution imposing
10 or discontinuing the tax hereunder or effecting a change in
11 the rate thereof shall either (i) be adopted and a certified
12 copy thereof filed with the Department on or before the first
13 day of April, whereupon the Department shall proceed to
14 administer and enforce this Section as of the first day of
15 July next following the adoption and filing; or (ii) be
16 adopted and a certified copy thereof filed with the
17 Department on or before the first day of October, whereupon
18 the Department shall proceed to administer and enforce this
19 Section as of the first day of January next following the
20 adoption and filing.
21 Any unobligated balance remaining in the Municipal
22 Retailers' Occupation Tax Fund on December 31, 1989, which
23 fund was abolished by Public Act 85-1135, and all receipts of
24 municipal tax as a result of audits of liability periods
25 prior to January 1, 1990, shall be paid into the Local
26 Government Tax Fund, for distribution as provided by this
27 Section prior to the enactment of Public Act 85-1135. All
28 receipts of municipal tax as a result of an assessment not
29 arising from an audit, for liability periods prior to January
30 1, 1990, shall be paid into the Local Government Tax Fund for
31 distribution before July 1, 1990, as provided by this Section
32 prior to the enactment of Public Act 85-1135, and on and
33 after July 1, 1990, all such receipts shall be distributed as
34 provided in Section 6z-18 of the State Finance Act.
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1 As used in this Section, "municipal" and "municipality"
2 means a city, village or incorporated town, including an
3 incorporated town which has superseded a civil township.
4 This Section shall be known and may be cited as the Home
5 Rule Municipal Service Occupation Tax Act.
6 (Source: P.A. 90-689, eff. 7-31-98; 91-51, eff. 6-30-99.)
7 (65 ILCS 5/8-11-6) (from Ch. 24, par. 8-11-6)
8 Sec. 8-11-6. Home Rule Municipal Use Tax Act.
9 (a) The corporate authorities of a home rule
10 municipality may impose a tax upon the privilege of using, in
11 such municipality, any item of tangible personal property
12 which is purchased at retail from a retailer, and which is
13 titled or registered at a location within the corporate
14 limits of such home rule municipality with an agency of this
15 State's government, at a rate which is an increment of 1/4%
16 and based on the selling price of such tangible personal
17 property, as "selling price" is defined in the Use Tax Act.
18 In home rule municipalities with less than 2,000,000
19 inhabitants, the tax shall be collected by the municipality
20 imposing the tax from persons whose Illinois address for
21 titling or registration purposes is given as being in such
22 municipality.
23 (b) In home rule municipalities with 2,000,000 or more
24 inhabitants, the corporate authorities of the municipality
25 may additionally impose a tax beginning July 1, 1991 upon the
26 privilege of using in the municipality, any item of tangible
27 personal property, other than tangible personal property
28 titled or registered with an agency of the State's
29 government, that is purchased at retail from a retailer
30 located outside the corporate limits of the municipality, at
31 a rate that is an increment of 1/4% not to exceed 1% and
32 based on the selling price of the tangible personal property,
33 as "selling price" is defined in the Use Tax Act. Such tax
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1 shall be collected from the purchaser by the municipality
2 imposing such tax.
3 To prevent multiple home rule taxation, the use in a home
4 rule municipality of tangible personal property that is
5 acquired outside the municipality and caused to be brought
6 into the municipality by a person who has already paid a home
7 rule municipal tax in another municipality in respect to the
8 sale, purchase, or use of that property, shall be exempt to
9 the extent of the amount of the tax properly due and paid in
10 the other home rule municipality.
11 (b-5) A home rule municipality that has not imposed a
12 tax under this Section on the use of motor fuel or gasohol
13 before the effective date of this amendatory Act of the 91st
14 General Assembly shall not impose such a tax on or after that
15 date. A home rule municipality that has imposed a tax under
16 this Section on the use of motor fuel or gasohol before the
17 effective date of this amendatory Act of the 91st General
18 Assembly shall not increase the rate of the tax on or after
19 that date. This amendatory Act of the 91st General Assembly
20 is a denial and limitation of home rule powers to tax under
21 subsection (g) of Section 6 of Article VII of the Illinois
22 Constitution.
23 (c) If a municipality having 2,000,000 or more
24 inhabitants imposes the tax authorized by subsection (a),
25 then the tax shall be collected by the Illinois Department of
26 Revenue when the property is purchased at retail from a
27 retailer in the county in which the home rule municipality
28 imposing the tax is located, and in all contiguous counties.
29 The tax shall be remitted to the State, or an exemption
30 determination must be obtained from the Department before the
31 title or certificate of registration for the property may be
32 issued. The tax or proof of exemption may be transmitted to
33 the Department by way of the State agency with which, or
34 State officer with whom, the tangible personal property must
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1 be titled or registered if the Department and that agency or
2 State officer determine that this procedure will expedite the
3 processing of applications for title or registration.
4 The Department shall have full power to administer and
5 enforce this Section to collect all taxes, penalties and
6 interest due hereunder, to dispose of taxes, penalties and
7 interest so collected in the manner hereinafter provided, and
8 determine all rights to credit memoranda or refunds arising
9 on account of the erroneous payment of tax, penalty or
10 interest hereunder. In the administration of and compliance
11 with this Section the Department and persons who are subject
12 to this Section shall have the same rights, remedies,
13 privileges, immunities, powers and duties, and be subject to
14 the same conditions, restrictions, limitations, penalties and
15 definitions of terms, and employ the same modes of procedure
16 as are prescribed in Sections 2 (except the definition of
17 "retailer maintaining a place of business in this State"), 3
18 (except provisions pertaining to the State rate of tax, and
19 except provisions concerning collection or refunding of the
20 tax by retailers), 4, 11, 12, 12a, 14, 15, 19, 20, 21 and 22
21 of the Use Tax Act, which are not inconsistent with this
22 Section, as fully as if provisions contained in those
23 Sections of the Use Tax Act were set forth herein.
24 Whenever the Department determines that a refund shall be
25 made under this Section to a claimant instead of issuing a
26 credit memorandum, the Department shall notify the State
27 Comptroller, who shall cause the order to be drawn for the
28 amount specified, and to the person named, in such
29 notification from the Department. Such refund shall be paid
30 by the State Treasurer out of the home rule municipal
31 retailers' occupation tax fund.
32 The Department shall forthwith pay over to the State
33 Treasurer, ex officio, as trustee, all taxes, penalties and
34 interest collected hereunder. On or before the 25th day of
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1 each calendar month, the Department shall prepare and certify
2 to the State Comptroller the disbursement of stated sums of
3 money to named municipalities, the municipality in each
4 instance to be that municipality from which the Department
5 during the second preceding calendar month, collected
6 municipal use tax from any person whose Illinois address for
7 titling or registration purposes is given as being in such
8 municipality. The amount to be paid to each municipality
9 shall be the amount (not including credit memoranda)
10 collected hereunder during the second preceding calendar
11 month by the Department, and not including an amount equal to
12 the amount of refunds made during the second preceding
13 calendar month by the Department on behalf of such
14 municipality, less the amount expended during the second
15 preceding month by the Department to be paid from the
16 appropriation to the Department from the Home Rule Municipal
17 Retailers' Occupation Tax Trust Fund. The appropriation to
18 cover the costs incurred by the Department in administering
19 and enforcing this Section shall not exceed 2% of the amount
20 estimated to be deposited into the Home Rule Municipal
21 Retailers' Occupation Tax Trust Fund during the fiscal year
22 for which the appropriation is made. Within 10 days after
23 receipt by the State Comptroller of the disbursement
24 certification to the municipalities provided for in this
25 Section to be given to the State Comptroller by the
26 Department, the State Comptroller shall cause the orders to
27 be drawn for the respective amounts in accordance with the
28 directions contained in that certification.
29 Any ordinance imposing or discontinuing any tax to be
30 collected and enforced by the Department under this Section
31 shall be adopted and a certified copy thereof filed with the
32 Department on or before October 1, whereupon the Department
33 of Revenue shall proceed to administer and enforce this
34 Section on behalf of the municipalities as of January 1 next
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1 following such adoption and filing. Beginning April 1, 1998,
2 any ordinance imposing or discontinuing any tax to be
3 collected and enforced by the Department under this Section
4 shall either (i) be adopted and a certified copy thereof
5 filed with the Department on or before April 1, whereupon the
6 Department of Revenue shall proceed to administer and enforce
7 this Section on behalf of the municipalities as of July 1
8 next following the adoption and filing; or (ii) be adopted
9 and a certified copy thereof filed with the Department on or
10 before October 1, whereupon the Department of Revenue shall
11 proceed to administer and enforce this Section on behalf of
12 the municipalities as of January 1 next following the
13 adoption and filing.
14 Nothing in this subsection (c) shall prevent a home rule
15 municipality from collecting the tax pursuant to subsection
16 (a) in any situation where such tax is not collected by the
17 Department of Revenue under this subsection (c).
18 (d) Any unobligated balance remaining in the Municipal
19 Retailers' Occupation Tax Fund on December 31, 1989, which
20 fund was abolished by Public Act 85-1135, and all receipts of
21 municipal tax as a result of audits of liability periods
22 prior to January 1, 1990, shall be paid into the Local
23 Government Tax Fund, for distribution as provided by this
24 Section prior to the enactment of Public Act 85-1135. All
25 receipts of municipal tax as a result of an assessment not
26 arising from an audit, for liability periods prior to January
27 1, 1990, shall be paid into the Local Government Tax Fund for
28 distribution before July 1, 1990, as provided by this Section
29 prior to the enactment of Public Act 85-1135, and on and
30 after July 1, 1990, all such receipts shall be distributed as
31 provided in Section 6z-18 of the State Finance Act.
32 (e) As used in this Section, "Municipal" and
33 "Municipality" means a city, village or incorporated town,
34 including an incorporated town which has superseded a civil
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1 township.
2 (f) This Section shall be known and may be cited as the
3 Home Rule Municipal Use Tax Act.
4 (Source: P.A. 90-562, eff. 12-16-97; 90-689, eff. 7-31-98;
5 91-51, eff. 6-30-99.)
6 (65 ILCS 5/8-11-15) (from Ch. 24, par. 8-11-15)
7 Sec. 8-11-15. Municipal motor fuel.
8 (a) The corporate authorities of a municipality of over
9 100,000 inhabitants may, upon approval of the electors of the
10 municipality pursuant to subsection (b), impose a tax of one
11 cent per gallon on motor fuel sold at retail within such
12 municipality. A tax imposed pursuant to this Section shall be
13 paid in addition to any other taxes on such motor fuel.
14 A municipality that has not imposed a tax under this
15 Section before the effective date of this amendatory Act of
16 the 91st General Assembly shall not impose such a tax on or
17 after that date. A municipality that has imposed a tax under
18 this Section before the effective date of this amendatory Act
19 of the 91st General Assembly shall not increase the rate of
20 the tax on or after that date. This amendatory Act of the
21 91st General Assembly is a denial and limitation of home rule
22 powers to tax under subsection (g) of Section 6 of Article
23 VII of the Illinois Constitution.
24 (b) The corporate authorities of the municipality may by
25 resolution call for the submission to the electors of the
26 municipality of the question of whether the municipality
27 shall impose such tax. Such question shall be certified by
28 the municipal clerk to the election authority in accordance
29 with Section 28-5 of The Election Code. The question shall be
30 in substantially the following form:
31 -------------------------------------------------------------
32 Shall the city (village or
33 incorporated town) of ....... YES
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1 impose a tax of one cent per -----------------------------
2 gallon on motor fuel sold at NO
3 retail within its boundaries?
4 -------------------------------------------------------------
5 If a majority of the electors in the municipality voting
6 upon the question vote in the affirmative, such tax shall be
7 imposed.
8 (c) The purchaser of the motor fuel shall be liable for
9 payment of a tax imposed pursuant to this Section. This
10 Section shall not be construed to impose a tax on the
11 occupation of persons engaged in the sale of motor fuel.
12 If a municipality imposes a tax on motor fuel pursuant to
13 this Section, it shall be the duty of any person engaged in
14 the retail sale of motor fuel within such municipality to
15 collect such tax from the purchaser at the same time he
16 collects the purchase price of the motor fuel and to pay over
17 such tax to the municipality as prescribed by the ordinance
18 of the municipality imposing such tax.
19 (d) For purposes of this Section, "motor fuel" shall
20 have the same meaning as provided in the "Motor Fuel Tax
21 Law".
22 (Source: P.A. 84-1099.)
23 Section 35. The Civic Center Code is amended by changing
24 Section 245-12 as follows:
25 (70 ILCS 200/245-12)
26 Sec. 245-12. Use and occupation taxes.
27 (a) The Authority may adopt a resolution that authorizes
28 a referendum on the question of whether the Authority shall
29 be authorized to impose a retailers' occupation tax, a
30 service occupation tax, and a use tax in one-quarter percent
31 increments at a rate not to exceed 1%. The Authority shall
32 certify the question to the proper election authorities who
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1 shall submit the question to the voters of the metropolitan
2 area at the next regularly scheduled election in accordance
3 with the general election law. The question shall be in
4 substantially the following form:
5 "Shall the Salem Civic Center Authority be authorized to
6 impose a retailers' occupation tax, a service occupation
7 tax, and a use tax at the rate of (rate) for the sole
8 purpose of obtaining funds for the support, construction,
9 maintenance, or financing of a facility of the
10 Authority?"
11 Votes shall be recorded as "yes" or "no". If a majority
12 of all votes cast on the proposition are in favor of the
13 proposition, the Authority is authorized to impose the tax.
14 (b) The Authority shall impose the retailers' occupation
15 tax upon all persons engaged in the business of selling
16 tangible personal property at retail in the metropolitan
17 area, at the rate approved by referendum, on the gross
18 receipts from the sales made in the course of such business
19 within the metropolitan area. The tax imposed under this
20 Section and all civil penalties that may be assessed as an
21 incident thereof shall be collected and enforced by the
22 Department of Revenue. The Department has full power to
23 administer and enforce this Section; to collect all taxes and
24 penalties so collected in the manner provided in this
25 Section; and to determine all rights to credit memoranda
26 arising on account of the erroneous payment of tax or penalty
27 hereunder. In the administration of, and compliance with,
28 this Section, the Department and persons who are subject to
29 this Section shall (i) have the same rights, remedies,
30 privileges, immunities, powers and duties, (ii) be subject to
31 the same conditions, restrictions, limitations, penalties,
32 exclusions, exemptions, and definitions of terms, and (iii)
33 employ the same modes of procedure as are prescribed in
34 Sections 1, 1a, 1a-1, 1c, 1d, 1e, 1f, 1i, 1j, 1k, 1m, 1n, 2,
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1 2-5, 2-5.5, 2-10 (in respect to all provisions therein other
2 than the State rate of tax), 2-15 through 2-70, 2a, 2b, 2c, 3
3 (except as to the disposition of taxes and penalties
4 collected and provisions related to quarter monthly
5 payments), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 5k, 5l,
6 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 11a, 12, and 13 of the
7 Retailers' Occupation Tax Act and Section 3-7 of the Uniform
8 Penalty and Interest Act, as fully as if those provisions
9 were set forth in this subsection.
10 If the Authority has not imposed a tax under this
11 subsection on the sale of motor fuel or gasohol before the
12 effective date of this amendatory Act of the 91st General
13 Assembly, then the Authority shall not impose such a tax on
14 or after that date. If the Authority has imposed a tax under
15 this subsection on the sale of motor fuel or gasohol before
16 the effective date of this amendatory Act of the 91st General
17 Assembly, then the Authority shall not increase the rate of
18 the tax on or after that date.
19 Persons subject to any tax imposed under this subsection
20 may reimburse themselves for their seller's tax liability by
21 separately stating the tax as an additional charge, which
22 charge may be stated in combination, in a single amount, with
23 State taxes that sellers are required to collect, in
24 accordance with such bracket schedules as the Department may
25 prescribe.
26 Whenever the Department determines that a refund should
27 be made under this subsection to a claimant instead of
28 issuing a credit memorandum, the Department shall notify the
29 State Comptroller, who shall cause the warrant to be drawn
30 for the amount specified, and to the person named, in the
31 notification from the Department. The refund shall be paid
32 by the State Treasurer out of the tax fund referenced under
33 paragraph (g) of this Section.
34 If a tax is imposed under this subsection (b), a tax
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1 shall also be imposed at the same rate under subsections (c)
2 and (d) of this Section.
3 For the purpose of determining whether a tax authorized
4 under this Section is applicable, a retail sale, by a
5 producer of coal or other mineral mined in Illinois, is a
6 sale at retail at the place where the coal or other mineral
7 mined in Illinois is extracted from the earth. This
8 paragraph does not apply to coal or other mineral when it is
9 delivered or shipped by the seller to the purchaser at a
10 point outside Illinois so that the sale is exempt under the
11 Federal Constitution as a sale in interstate or foreign
12 commerce.
13 Nothing in this Section shall be construed to authorize
14 the Authority to impose a tax upon the privilege of engaging
15 in any business which under the Constitution of the United
16 States may not be made the subject of taxation by this State.
17 (c) If a tax has been imposed under subsection (b), a
18 service occupation tax shall also be imposed at the same rate
19 upon all persons engaged, in the metropolitan area, in the
20 business of making sales of service, who, as an incident to
21 making those sales of service, transfer tangible personal
22 property within the metropolitan area as an incident to a
23 sale of service. The tax imposed under this subsection and
24 all civil penalties that may be assessed as an incident
25 thereof shall be collected and enforced by the Department of
26 Revenue. The Department has full power to administer and
27 enforce this paragraph; to collect all taxes and penalties
28 due hereunder; to dispose of taxes and penalties so collected
29 in the manner hereinafter provided; and to determine all
30 rights to credit memoranda arising on account of the
31 erroneous payment of tax or penalty hereunder. In the
32 administration of, and compliance with this paragraph, the
33 Department and persons who are subject to this paragraph
34 shall (i) have the same rights, remedies, privileges,
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1 immunities, powers, and duties, (ii) be subject to the same
2 conditions, restrictions, limitations, penalties, exclusions,
3 exemptions, and definitions of terms, and (iii) employ the
4 same modes of procedure as are prescribed in Sections 2
5 (except that the reference to State in the definition of
6 supplier maintaining a place of business in this State shall
7 mean the metropolitan area), 2a, 2b, 3 through 3-55 (in
8 respect to all provisions therein other than the State rate
9 of tax), 4 (except that the reference to the State shall be
10 to the Authority), 5, 7, 8 (except that the jurisdiction to
11 which the tax shall be a debt to the extent indicated in that
12 Section 8 shall be the Authority), 9 (except as to the
13 disposition of taxes and penalties collected, and except that
14 the returned merchandise credit for this tax may not be taken
15 against any State tax), 11, 12 (except the reference therein
16 to Section 2b of the Retailers' Occupation Tax Act), 13
17 (except that any reference to the State shall mean the
18 Authority), 15, 16, 17, 18, 19 and 20 of the Service
19 Occupation Tax Act and Section 3-7 of the Uniform Penalty and
20 Interest Act, as fully as if those provisions were set forth
21 herein.
22 If the Authority has not imposed a tax under this
23 subsection on the selling price of motor fuel or gasohol
24 before the effective date of this amendatory Act of the 91st
25 General Assembly, then the Authority shall not impose such a
26 tax on or after that date. If the Authority has imposed a
27 tax under this subsection on the selling price of motor fuel
28 or gasohol before the effective date of this amendatory Act
29 of the 91st General Assembly, then the Authority shall not
30 increase the rate of the tax on or after that date.
31 Persons subject to any tax imposed under the authority
32 granted in this subsection may reimburse themselves for their
33 serviceman's tax liability by separately stating the tax as
34 an additional charge, which charge may be stated in
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1 combination, in a single amount, with State tax that
2 servicemen are authorized to collect under the Service Use
3 Tax Act, in accordance with such bracket schedules as the
4 Department may prescribe.
5 Whenever the Department determines that a refund should
6 be made under this subsection to a claimant instead of
7 issuing a credit memorandum, the Department shall notify the
8 State Comptroller, who shall cause the warrant to be drawn
9 for the amount specified, and to the person named, in the
10 notification from the Department. The refund shall be paid
11 by the State Treasurer out of the tax fund referenced under
12 paragraph (g) of this Section.
13 Nothing in this paragraph shall be construed to authorize
14 the Authority to impose a tax upon the privilege of engaging
15 in any business which under the Constitution of the United
16 States may not be made the subject of taxation by the State.
17 (d) If a tax has been imposed under subsection (b), a
18 use tax shall also be imposed at the same rate upon the
19 privilege of using, in the metropolitan area, any item of
20 tangible personal property that is purchased outside the
21 metropolitan area at retail from a retailer, and that is
22 titled or registered at a location within the metropolitan
23 area with an agency of this State's government. "Selling
24 price" is defined as in the Use Tax Act. The tax shall be
25 collected from persons whose Illinois address for titling or
26 registration purposes is given as being in the metropolitan
27 area. The tax shall be collected by the Department of
28 Revenue for the Authority. The tax must be paid to the State,
29 or an exemption determination must be obtained from the
30 Department of Revenue, before the title or certificate of
31 registration for the property may be issued. The tax or
32 proof of exemption may be transmitted to the Department by
33 way of the State agency with which, or the State officer with
34 whom, the tangible personal property must be titled or
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1 registered if the Department and the State agency or State
2 officer determine that this procedure will expedite the
3 processing of applications for title or registration.
4 The Department has full power to administer and enforce
5 this paragraph; to collect all taxes, penalties and interest
6 due hereunder; to dispose of taxes, penalties and interest so
7 collected in the manner hereinafter provided; and to
8 determine all rights to credit memoranda or refunds arising
9 on account of the erroneous payment of tax, penalty or
10 interest hereunder. In the administration of, and compliance
11 with, this subsection, the Department and persons who are
12 subject to this paragraph shall (i) have the same rights,
13 remedies, privileges, immunities, powers, and duties, (ii) be
14 subject to the same conditions, restrictions, limitations,
15 penalties, exclusions, exemptions, and definitions of terms,
16 and (iii) employ the same modes of procedure as are
17 prescribed in Sections 2 (except the definition of "retailer
18 maintaining a place of business in this State"), 3, 3-5,
19 3-10, 3-45, 3-55, 3-65, 3-70, 3-85, 3a, 4, 6, 7, 8 (except
20 that the jurisdiction to which the tax shall be a debt to the
21 extent indicated in that Section 8 shall be the Authority), 9
22 (except provisions relating to quarter monthly payments), 10,
23 11, 12, 12a, 12b, 13, 14, 15, 19, 20, 21, and 22 of the Use
24 Tax Act and Section 3-7 of the Uniform Penalty and Interest
25 Act, that are not inconsistent with this paragraph, as fully
26 as if those provisions were set forth herein.
27 If the Authority has not imposed a tax under this
28 subsection on the use of motor fuel or gasohol before the
29 effective date of this amendatory Act of the 91st General
30 Assembly, then the Authority shall not impose such a tax on
31 or after that date. If the Authority has imposed a tax under
32 this subsection on the use of motor fuel or gasohol before
33 the effective date of this amendatory Act of the 91st General
34 Assembly, then the Authority shall not increase the rate of
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1 the tax on or after that date.
2 Whenever the Department determines that a refund should
3 be made under this subsection to a claimant instead of
4 issuing a credit memorandum, the Department shall notify the
5 State Comptroller, who shall cause the order to be drawn for
6 the amount specified, and to the person named, in the
7 notification from the Department. The refund shall be paid by
8 the State Treasurer out of the tax fund referenced under
9 paragraph (g) of this Section.
10 (e) A certificate of registration issued by the State
11 Department of Revenue to a retailer under the Retailers'
12 Occupation Tax Act or under the Service Occupation Tax Act
13 shall permit the registrant to engage in a business that is
14 taxed under the tax imposed under paragraphs (b), (c), or (d)
15 of this Section and no additional registration shall be
16 required. A certificate issued under the Use Tax Act or the
17 Service Use Tax Act shall be applicable with regard to any
18 tax imposed under paragraph (c) of this Section.
19 (f) The results of any election authorizing a
20 proposition to impose a tax under this Section or effecting a
21 change in the rate of tax shall be certified by the proper
22 election authorities and filed with the Illinois Department
23 on or before the first day of April. In addition, an
24 ordinance imposing, discontinuing, or effecting a change in
25 the rate of tax under this Section shall be adopted and a
26 certified copy thereof filed with the Department on or before
27 the first day of April. After proper receipt of such
28 certifications, the Department shall proceed to administer
29 and enforce this Section as of the first day of July next
30 following such adoption and filing.
31 (g) The Department of Revenue shall, upon collecting any
32 taxes and penalties as provided in this Section, pay the
33 taxes and penalties over to the State Treasurer as trustee
34 for the Authority. The taxes and penalties shall be held in a
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1 trust fund outside the State Treasury. On or before the 25th
2 day of each calendar month, the Department of Revenue shall
3 prepare and certify to the Comptroller of the State of
4 Illinois the amount to be paid to the Authority, which shall
5 be the balance in the fund, less any amount determined by the
6 Department to be necessary for the payment of refunds. Within
7 10 days after receipt by the Comptroller of the certification
8 of the amount to be paid to the Authority, the Comptroller
9 shall cause an order to be drawn for payment for the amount
10 in accordance with the directions contained in the
11 certification. Amounts received from the tax imposed under
12 this Section shall be used only for the support,
13 construction, maintenance, or financing of a facility of the
14 Authority.
15 (h) When certifying the amount of a monthly disbursement
16 to the Authority under this Section, the Department shall
17 increase or decrease the amounts by an amount necessary to
18 offset any miscalculation of previous disbursements. The
19 offset amount shall be the amount erroneously disbursed
20 within the previous 6 months from the time a miscalculation
21 is discovered.
22 (i) This Section may be cited as the Salem Civic Center
23 Use and Occupation Tax Law.
24 (Source: P.A. 90-328, eff. 1-1-98.)
25 Section 40. The Local Mass Transit District Act is
26 amended by changing Section 5.01 as follows:
27 (70 ILCS 3610/5.01) (from Ch. 111 2/3, par. 355.01)
28 Sec. 5.01. Metro East Mass Transit District; use and
29 occupation taxes.
30 (a) The Board of Trustees of any Metro East Mass Transit
31 District may, by ordinance adopted with the concurrence of
32 two-thirds of the then trustees, impose throughout the
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1 District any or all of the taxes and fees provided in this
2 Section. All taxes and fees imposed under this Section shall
3 be used only for public mass transportation systems, and the
4 amount used to provide mass transit service to unserved areas
5 of the District shall be in the same proportion to the total
6 proceeds as the number of persons residing in the unserved
7 areas is to the total population of the District. Except as
8 otherwise provided in this Act, taxes imposed under this
9 Section and civil penalties imposed incident thereto shall be
10 collected and enforced by the State Department of Revenue.
11 The Department shall have the power to administer and enforce
12 the taxes and to determine all rights for refunds for
13 erroneous payments of the taxes.
14 (b) The Board may impose a Metro East Mass Transit
15 District Retailers' Occupation Tax upon all persons engaged
16 in the business of selling tangible personal property at
17 retail in the district at a rate of 1/4 of 1%, or as
18 authorized under subsection (d-5) of this Section, of the
19 gross receipts from the sales made in the course of such
20 business within the district. The tax imposed under this
21 Section and all civil penalties that may be assessed as an
22 incident thereof shall be collected and enforced by the State
23 Department of Revenue. The Department shall have full power
24 to administer and enforce this Section; to collect all taxes
25 and penalties so collected in the manner hereinafter
26 provided; and to determine all rights to credit memoranda
27 arising on account of the erroneous payment of tax or penalty
28 hereunder. In the administration of, and compliance with,
29 this Section, the Department and persons who are subject to
30 this Section shall have the same rights, remedies,
31 privileges, immunities, powers and duties, and be subject to
32 the same conditions, restrictions, limitations, penalties,
33 exclusions, exemptions and definitions of terms and employ
34 the same modes of procedure, as are prescribed in Sections 1,
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1 1a, 1a-1, 1c, 1d, 1e, 1f, 1i, 1j, 2 through 2-65 (in respect
2 to all provisions therein other than the State rate of tax),
3 2c, 3 (except as to the disposition of taxes and penalties
4 collected), 4, 5, 5a, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l,
5 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12, 13, and 14 of the
6 Retailers' Occupation Tax Act and Section 3-7 of the Uniform
7 Penalty and Interest Act, as fully as if those provisions
8 were set forth herein.
9 If the Board has not imposed a tax under this subsection
10 on the sale of motor fuel or gasohol before the effective
11 date of this amendatory Act of the 91st General Assembly,
12 then the Board shall not impose such a tax on or after that
13 date. If the Board has imposed a tax under this subsection
14 on the sale of motor fuel or gasohol before the effective
15 date of this amendatory Act of the 91st General Assembly,
16 then the Board shall not increase the rate of the tax on or
17 after that date.
18 Persons subject to any tax imposed under the Section may
19 reimburse themselves for their seller's tax liability
20 hereunder by separately stating the tax as an additional
21 charge, which charge may be stated in combination, in a
22 single amount, with State taxes that sellers are required to
23 collect under the Use Tax Act, in accordance with such
24 bracket schedules as the Department may prescribe.
25 Whenever the Department determines that a refund should
26 be made under this Section to a claimant instead of issuing a
27 credit memorandum, the Department shall notify the State
28 Comptroller, who shall cause the warrant to be drawn for the
29 amount specified, and to the person named, in the
30 notification from the Department. The refund shall be paid
31 by the State Treasurer out of the Metro East Mass Transit
32 District tax fund established under paragraph (g) of this
33 Section.
34 If a tax is imposed under this subsection (b), a tax
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1 shall also be imposed under subsections (c) and (d) of this
2 Section.
3 For the purpose of determining whether a tax authorized
4 under this Section is applicable, a retail sale, by a
5 producer of coal or other mineral mined in Illinois, is a
6 sale at retail at the place where the coal or other mineral
7 mined in Illinois is extracted from the earth. This
8 paragraph does not apply to coal or other mineral when it is
9 delivered or shipped by the seller to the purchaser at a
10 point outside Illinois so that the sale is exempt under the
11 Federal Constitution as a sale in interstate or foreign
12 commerce.
13 Nothing in this Section shall be construed to authorize
14 the Metro East Mass Transit District to impose a tax upon the
15 privilege of engaging in any business which under the
16 Constitution of the United States may not be made the subject
17 of taxation by this State.
18 (c) If a tax has been imposed under subsection (b), a
19 Metro East Mass Transit District Service Occupation Tax shall
20 also be imposed upon all persons engaged, in the district, in
21 the business of making sales of service, who, as an incident
22 to making those sales of service, transfer tangible personal
23 property within the District, either in the form of tangible
24 personal property or in the form of real estate as an
25 incident to a sale of service. The tax rate shall be 1/4%, or
26 as authorized under subsection (d-5) of this Section, of the
27 selling price of tangible personal property so transferred
28 within the district. The tax imposed under this paragraph
29 and all civil penalties that may be assessed as an incident
30 thereof shall be collected and enforced by the State
31 Department of Revenue. The Department shall have full power
32 to administer and enforce this paragraph; to collect all
33 taxes and penalties due hereunder; to dispose of taxes and
34 penalties so collected in the manner hereinafter provided;
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1 and to determine all rights to credit memoranda arising on
2 account of the erroneous payment of tax or penalty hereunder.
3 In the administration of, and compliance with this paragraph,
4 the Department and persons who are subject to this paragraph
5 shall have the same rights, remedies, privileges, immunities,
6 powers and duties, and be subject to the same conditions,
7 restrictions, limitations, penalties, exclusions, exemptions
8 and definitions of terms and employ the same modes of
9 procedure as are prescribed in Sections 1a-1, 2 (except that
10 the reference to State in the definition of supplier
11 maintaining a place of business in this State shall mean the
12 Authority), 2a, 3 through 3-50 (in respect to all provisions
13 therein other than the State rate of tax), 4 (except that the
14 reference to the State shall be to the Authority), 5, 7, 8
15 (except that the jurisdiction to which the tax shall be a
16 debt to the extent indicated in that Section 8 shall be the
17 District), 9 (except as to the disposition of taxes and
18 penalties collected, and except that the returned merchandise
19 credit for this tax may not be taken against any State tax),
20 10, 11, 12 (except the reference therein to Section 2b of the
21 Retailers' Occupation Tax Act), 13 (except that any reference
22 to the State shall mean the District), the first paragraph of
23 Section 15, 16, 17, 18, 19 and 20 of the Service Occupation
24 Tax Act and Section 3-7 of the Uniform Penalty and Interest
25 Act, as fully as if those provisions were set forth herein.
26 If the Board has not imposed a tax under this subsection
27 on the selling price of motor fuel or gasohol before the
28 effective date of this amendatory Act of the 91st General
29 Assembly, then the Board shall not impose such a tax on or
30 after that date. If the Board has imposed a tax under this
31 subsection on the selling price of motor fuel or gasohol
32 before the effective date of this amendatory Act of the
33 General Assembly, then the Board shall not increase the rate
34 of the tax on or after that date.
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1 Persons subject to any tax imposed under the authority
2 granted in this paragraph may reimburse themselves for their
3 serviceman's tax liability hereunder by separately stating
4 the tax as an additional charge, which charge may be stated
5 in combination, in a single amount, with State tax that
6 servicemen are authorized to collect under the Service Use
7 Tax Act, in accordance with such bracket schedules as the
8 Department may prescribe.
9 Whenever the Department determines that a refund should
10 be made under this paragraph to a claimant instead of issuing
11 a credit memorandum, the Department shall notify the State
12 Comptroller, who shall cause the warrant to be drawn for the
13 amount specified, and to the person named, in the
14 notification from the Department. The refund shall be paid
15 by the State Treasurer out of the Metro East Mass Transit
16 District tax fund established under paragraph (g) of this
17 Section.
18 Nothing in this paragraph shall be construed to authorize
19 the District to impose a tax upon the privilege of engaging
20 in any business which under the Constitution of the United
21 States may not be made the subject of taxation by the State.
22 (d) If a tax has been imposed under subsection (b), a
23 Metro East Mass Transit District Use Tax shall also be
24 imposed upon the privilege of using, in the district, any
25 item of tangible personal property that is purchased outside
26 the district at retail from a retailer, and that is titled or
27 registered with an agency of this State's government, at a
28 rate of 1/4%, or as authorized under subsection (d-5) of this
29 Section, of the selling price of the tangible personal
30 property within the District, as "selling price" is defined
31 in the Use Tax Act. The tax shall be collected from persons
32 whose Illinois address for titling or registration purposes
33 is given as being in the District. The tax shall be
34 collected by the Department of Revenue for the Metro East
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1 Mass Transit District. The tax must be paid to the State, or
2 an exemption determination must be obtained from the
3 Department of Revenue, before the title or certificate of
4 registration for the property may be issued. The tax or
5 proof of exemption may be transmitted to the Department by
6 way of the State agency with which, or the State officer with
7 whom, the tangible personal property must be titled or
8 registered if the Department and the State agency or State
9 officer determine that this procedure will expedite the
10 processing of applications for title or registration.
11 The Department shall have full power to administer and
12 enforce this paragraph; to collect all taxes, penalties and
13 interest due hereunder; to dispose of taxes, penalties and
14 interest so collected in the manner hereinafter provided; and
15 to determine all rights to credit memoranda or refunds
16 arising on account of the erroneous payment of tax, penalty
17 or interest hereunder. In the administration of, and
18 compliance with, this paragraph, the Department and persons
19 who are subject to this paragraph shall have the same rights,
20 remedies, privileges, immunities, powers and duties, and be
21 subject to the same conditions, restrictions, limitations,
22 penalties, exclusions, exemptions and definitions of terms
23 and employ the same modes of procedure, as are prescribed in
24 Sections 2 (except the definition of "retailer maintaining a
25 place of business in this State"), 3 through 3-80 (except
26 provisions pertaining to the State rate of tax, and except
27 provisions concerning collection or refunding of the tax by
28 retailers), 4, 11, 12, 12a, 14, 15, 19 (except the portions
29 pertaining to claims by retailers and except the last
30 paragraph concerning refunds), 20, 21 and 22 of the Use Tax
31 Act and Section 3-7 of the Uniform Penalty and Interest Act,
32 that are not inconsistent with this paragraph, as fully as if
33 those provisions were set forth herein.
34 If the Board has not imposed a tax under this subsection
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1 on the use of motor fuel or gasohol before the effective date
2 of this amendatory Act of the 91st General Assembly, then the
3 Board shall not impose such a tax on or after that date. If
4 the Board has imposed a tax under this subsection on the use
5 of motor fuel or gasohol before the effective date of this
6 amendatory Act of the 91st General Assembly, then the Board
7 shall not increase the rate of the tax on or after that date.
8 Whenever the Department determines that a refund should
9 be made under this paragraph to a claimant instead of issuing
10 a credit memorandum, the Department shall notify the State
11 Comptroller, who shall cause the order to be drawn for the
12 amount specified, and to the person named, in the
13 notification from the Department. The refund shall be paid by
14 the State Treasurer out of the Metro East Mass Transit
15 District tax fund established under paragraph (g) of this
16 Section.
17 (d-5) The county board of any county participating in
18 the Metro East Mass Transit District may authorize, by
19 ordinance, a referendum on the question of whether the tax
20 rates for the Metro East Mass Transit District Retailers'
21 Occupation Tax, the Metro East Mass Transit District Service
22 Occupation Tax, and the Metro East Mass Transit District Use
23 Tax for the District should be increased from 0.25% to 0.75%.
24 Upon adopting the ordinance, the county board shall certify
25 the proposition to the proper election officials who shall
26 submit the proposition to the voters of the District at the
27 next election, in accordance with the general election law.
28 The proposition shall be in substantially the following
29 form:
30 Shall the tax rates for the Metro East Mass Transit
31 District Retailers' Occupation Tax, the Metro East Mass
32 Transit District Service Occupation Tax, and the Metro
33 East Mass Transit District Use Tax be increased from
34 0.25% to 0.75%?
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1 The votes shall be recorded as "YES" or "NO". If a
2 majority of all votes cast on the proposition are for the
3 increase in the tax rates, the Metro East Mass Transit
4 District shall begin imposing the increased rates in the
5 District, and the Department of Revenue shall begin
6 collecting the increased amounts, as provided under this
7 Section. An ordinance imposing or discontinuing a tax
8 hereunder or effecting a change in the rate thereof shall be
9 adopted and a certified copy thereof filed with the
10 Department on or before the first day of October, whereupon
11 the Department shall proceed to administer and enforce this
12 Section as of the first day of January next following the
13 adoption and filing.
14 If the voters have approved a referendum under this
15 subsection, before November 1, 1994, to increase the tax rate
16 under this subsection, the Metro East Mass Transit District
17 Board of Trustees may adopt by a majority vote an ordinance
18 at any time before January 1, 1995 that excludes from the
19 rate increase tangible personal property that is titled or
20 registered with an agency of this State's government. The
21 ordinance excluding titled or registered tangible personal
22 property from the rate increase must be filed with the
23 Department at least 15 days before its effective date. At any
24 time after adopting an ordinance excluding from the rate
25 increase tangible personal property that is titled or
26 registered with an agency of this State's government, the
27 Metro East Mass Transit District Board of Trustees may adopt
28 an ordinance applying the rate increase to that tangible
29 personal property. The ordinance shall be adopted, and a
30 certified copy of that ordinance shall be filed with the
31 Department, on or before October 1, whereupon the Department
32 shall proceed to administer and enforce the rate increase
33 against tangible personal property titled or registered with
34 an agency of this State's government as of the following
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1 January 1. After December 31, 1995, any reimposed rate
2 increase in effect under this subsection shall no longer
3 apply to tangible personal property titled or registered with
4 an agency of this State's government. Beginning January 1,
5 1996, the Board of Trustees of any Metro East Mass Transit
6 District may never reimpose a previously excluded tax rate
7 increase on tangible personal property titled or registered
8 with an agency of this State's government.
9 (d-6) If the Board of Trustees of any Metro East Mass
10 Transit District has imposed a rate increase under subsection
11 (d-5) and filed an ordinance with the Department of Revenue
12 excluding titled property from the higher rate, then that
13 Board may, by ordinance adopted with the concurrence of
14 two-thirds of the then trustees, impose throughout the
15 District a fee. The fee on the excluded property shall not
16 exceed $20 per retail transaction or an amount equal to the
17 amount of tax excluded, whichever is less, on tangible
18 personal property that is titled or registered with an agency
19 of this State's government. The Board of Trustees of any
20 Metro East Mass Transit District shall have full power to
21 administer and enforce this subsection and to determine all
22 rights to credit memoranda or refunds arising on account of
23 the erroneous payment of the fee hereunder. The Board shall
24 proceed to administer and enforce this subsection as of the
25 first day of the second month following the adoption of the
26 ordinance.
27 (d-7) If a fee has been imposed under subsection (d-6),
28 a fee shall also be imposed upon the privilege of using, in
29 the district, any item of tangible personal property that is
30 titled or registered with any agency of this State's
31 government, in an amount equal to the amount of the fee
32 imposed under subsection (d-6). The Board of Trustees of any
33 Metro East Mass Transit District shall have full power to
34 administer and enforce this subsection and to determine all
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1 rights to credit memoranda or refunds arising on account of
2 the erroneous payment of the fee hereunder. The Board shall
3 proceed to administer and enforce this subsection
4 concurrently with the administration of the fee imposed under
5 subsection (d-6).
6 (d-8) No item of titled property shall be subject to
7 both the higher rate approved by referendum, as authorized
8 under subsection (d-5), and any fee imposed under subsection
9 (d-6) or (d-7).
10 (d-9) If fees have been imposed under subsections (d-6)
11 and (d-7), the Board shall forward a copy of the ordinance
12 adopting such fees, which shall include all zip codes in
13 whole or in part within the boundaries of the district, to
14 the Secretary of State within thirty days. By the 25th of
15 each month, the Secretary of State shall subsequently provide
16 the Board with a list of identifiable retail transactions
17 subject to the .25% rate occurring within the zip codes which
18 are in whole or in part within the boundaries of the district
19 and a list of title applications for addresses within the
20 boundaries of the district for the previous month.
21 (d-10) In the event that a retailer fails to pay
22 applicable fees within 30 days of the date of the
23 transaction, a penalty shall be assessed at the rate of 25%
24 of the amount of fees. Interest on both late fees and
25 penalties shall be assessed at the rate of 1% per month. All
26 fees, penalties, and attorney fees shall constitute a lien on
27 the personal and real property of the retailer. The Board of
28 Trustees of any Metro East Transit District shall have full
29 power to administer and enforce this subsection.
30 (e) A certificate of registration issued by the State
31 Department of Revenue to a retailer under the Retailers'
32 Occupation Tax Act or under the Service Occupation Tax Act
33 shall permit the registrant to engage in a business that is
34 taxed under the tax imposed under paragraphs (b), (c) or (d)
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1 of this Section and no additional registration shall be
2 required under the tax. A certificate issued under the Use
3 Tax Act or the Service Use Tax Act shall be applicable with
4 regard to any tax imposed under paragraph (c) of this
5 Section.
6 (f) The Board may impose a replacement vehicle tax of
7 $50 on any passenger car, as defined in Section 1-157 of the
8 Illinois Vehicle Code, purchased within the district area by
9 or on behalf of an insurance company to replace a passenger
10 car of an insured person in settlement of a total loss claim.
11 The tax imposed may not become effective before the first day
12 of the month following the passage of the ordinance imposing
13 the tax and receipt of a certified copy of the ordinance by
14 the Department of Revenue. The Department of Revenue shall
15 collect the tax for the district in accordance with Sections
16 3-2002 and 3-2003 of the Illinois Vehicle Code.
17 The Department shall immediately pay over to the State
18 Treasurer, ex officio, as trustee, all taxes collected
19 hereunder. On or before the 25th day of each calendar month,
20 the Department shall prepare and certify to the Comptroller
21 the disbursement of stated sums of money to named districts,
22 the districts to be those from which retailers have paid
23 taxes or penalties hereunder to the Department during the
24 second preceding calendar month. The amount to be paid to
25 each district shall be the amount collected hereunder during
26 the second preceding calendar month by the Department, less
27 any amount determined by the Department to be necessary for
28 the payment of refunds. Within 10 days after receipt by the
29 Comptroller of the disbursement certification to the
30 districts, provided for in this Section to be given to the
31 Comptroller by the Department, the Comptroller shall cause
32 the orders to be drawn for the respective amounts in
33 accordance with the directions contained in the
34 certification.
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1 (g) Any ordinance imposing or discontinuing any tax
2 under this Section shall be adopted and a certified copy
3 thereof filed with the Department on or before June 1,
4 whereupon the Department of Revenue shall proceed to
5 administer and enforce this Section on behalf of the Metro
6 East Mass Transit District as of September 1 next following
7 such adoption and filing. Beginning January 1, 1992, an
8 ordinance or resolution imposing or discontinuing the tax
9 hereunder shall be adopted and a certified copy thereof filed
10 with the Department on or before the first day of July,
11 whereupon the Department shall proceed to administer and
12 enforce this Section as of the first day of October next
13 following such adoption and filing. Beginning January 1,
14 1993, except as provided in subsection (d-5) of this Section,
15 an ordinance or resolution imposing or discontinuing the tax
16 hereunder shall be adopted and a certified copy thereof filed
17 with the Department on or before the first day of October,
18 whereupon the Department shall proceed to administer and
19 enforce this Section as of the first day of January next
20 following such adoption and filing.
21 (h) The State Department of Revenue shall, upon
22 collecting any taxes as provided in this Section, pay the
23 taxes over to the State Treasurer as trustee for the
24 District. The taxes shall be held in a trust fund outside the
25 State Treasury. On or before the 25th day of each calendar
26 month, the State Department of Revenue shall prepare and
27 certify to the Comptroller of the State of Illinois the
28 amount to be paid to the District, which shall be the then
29 balance in the fund, less any amount determined by the
30 Department to be necessary for the payment of refunds. Within
31 10 days after receipt by the Comptroller of the certification
32 of the amount to be paid to the District, the Comptroller
33 shall cause an order to be drawn for payment for the amount
34 in accordance with the direction in the certification.
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1 (Source: P.A. 91-51, eff. 6-30-99.)
2 Section 45. The Regional Transportation Authority Act is
3 amended by changing Section 4.03 as follows:
4 (70 ILCS 3615/4.03) (from Ch. 111 2/3, par. 704.03)
5 Sec. 4.03. Taxes.
6 (a) In order to carry out any of the powers or purposes
7 of the Authority, the Board may by ordinance adopted with the
8 concurrence of 9 of the then Directors, impose throughout the
9 metropolitan region any or all of the taxes provided in this
10 Section. Except as otherwise provided in this Act, taxes
11 imposed under this Section and civil penalties imposed
12 incident thereto shall be collected and enforced by the State
13 Department of Revenue. The Department shall have the power to
14 administer and enforce the taxes and to determine all rights
15 for refunds for erroneous payments of the taxes.
16 (b) The Board may impose a public transportation tax
17 upon all persons engaged in the metropolitan region in the
18 business of selling at retail motor fuel for operation of
19 motor vehicles upon public highways. The tax shall be at a
20 rate not to exceed 5% of the gross receipts from the sales of
21 motor fuel in the course of the business. As used in this
22 Act, the term "motor fuel" shall have the same meaning as in
23 the Motor Fuel Tax Act. The Board may provide for details of
24 the tax. The provisions of any tax shall conform, as closely
25 as may be practicable, to the provisions of the Municipal
26 Retailers Occupation Tax Act, including without limitation,
27 conformity to penalties with respect to the tax imposed and
28 as to the powers of the State Department of Revenue to
29 promulgate and enforce rules and regulations relating to the
30 administration and enforcement of the provisions of the tax
31 imposed, except that reference in the Act to any municipality
32 shall refer to the Authority and the tax shall be imposed
-136- LRB9110257SMdv
1 only with regard to receipts from sales of motor fuel in the
2 metropolitan region, at rates as limited by this Section.
3 If the Board has not imposed a tax under this subsection
4 before the effective date of this amendatory Act of the 91st
5 General Assembly, then the Board shall not impose such a tax
6 on or after that date. If the Board has imposed a tax under
7 this subsection before the effective date of this amendatory
8 Act of 91st General Assembly, then the Board shall not
9 increase the rate of the tax on or after that date.
10 (c) In connection with the tax imposed under paragraph
11 (b) of this Section the Board may impose a tax upon the
12 privilege of using in the metropolitan region motor fuel for
13 the operation of a motor vehicle upon public highways, the
14 tax to be at a rate not in excess of the rate of tax imposed
15 under paragraph (b) of this Section. The Board may provide
16 for details of the tax.
17 If the Board has not imposed a tax under this subsection
18 before the effective date of this amendatory Act of the 91st
19 General Assembly, then the Board shall not impose such a tax
20 on or after that date. If the Board has imposed a tax under
21 this subsection before the effective date of this amendatory
22 Act of 91st General Assembly, then the Board shall not
23 increase the rate of the tax on or after that date.
24 (d) The Board may impose a motor vehicle parking tax
25 upon the privilege of parking motor vehicles at off-street
26 parking facilities in the metropolitan region at which a fee
27 is charged, and may provide for reasonable classifications in
28 and exemptions to the tax, for administration and enforcement
29 thereof and for civil penalties and refunds thereunder and
30 may provide criminal penalties thereunder, the maximum
31 penalties not to exceed the maximum criminal penalties
32 provided in the Retailers' Occupation Tax Act. The Authority
33 may collect and enforce the tax itself or by contract with
34 any unit of local government. The State Department of
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1 Revenue shall have no responsibility for the collection and
2 enforcement unless the Department agrees with the Authority
3 to undertake the collection and enforcement. As used in this
4 paragraph, the term "parking facility" means a parking area
5 or structure having parking spaces for more than 2 vehicles
6 at which motor vehicles are permitted to park in return for
7 an hourly, daily, or other periodic fee, whether publicly or
8 privately owned, but does not include parking spaces on a
9 public street, the use of which is regulated by parking
10 meters.
11 (e) The Board may impose a Regional Transportation
12 Authority Retailers' Occupation Tax upon all persons engaged
13 in the business of selling tangible personal property at
14 retail in the metropolitan region. In Cook County the tax
15 rate shall be 1% of the gross receipts from sales of food for
16 human consumption that is to be consumed off the premises
17 where it is sold (other than alcoholic beverages, soft drinks
18 and food that has been prepared for immediate consumption)
19 and prescription and nonprescription medicines, drugs,
20 medical appliances and insulin, urine testing materials,
21 syringes and needles used by diabetics, and 3/4% of the gross
22 receipts from other taxable sales made in the course of that
23 business. In DuPage, Kane, Lake, McHenry, and Will Counties,
24 the tax rate shall be 1/4% of the gross receipts from all
25 taxable sales made in the course of that business. The tax
26 imposed under this Section and all civil penalties that may
27 be assessed as an incident thereof shall be collected and
28 enforced by the State Department of Revenue. The Department
29 shall have full power to administer and enforce this Section;
30 to collect all taxes and penalties so collected in the manner
31 hereinafter provided; and to determine all rights to credit
32 memoranda arising on account of the erroneous payment of tax
33 or penalty hereunder. In the administration of, and
34 compliance with this Section, the Department and persons who
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1 are subject to this Section shall have the same rights,
2 remedies, privileges, immunities, powers and duties, and be
3 subject to the same conditions, restrictions, limitations,
4 penalties, exclusions, exemptions and definitions of terms,
5 and employ the same modes of procedure, as are prescribed in
6 Sections 1, 1a, 1a-1, 1c, 1d, 1e, 1f, 1i, 1j, 2 through 2-65
7 (in respect to all provisions therein other than the State
8 rate of tax), 2c, 3 (except as to the disposition of taxes
9 and penalties collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g,
10 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12 and 13
11 of the Retailers' Occupation Tax Act and Section 3-7 of the
12 Uniform Penalty and Interest Act, as fully as if those
13 provisions were set forth herein.
14 If the Board has not imposed a tax under this subsection
15 on the sale of motor fuel or gasohol before the effective
16 date of this amendatory Act of the 91st General Assembly,
17 then the Board shall not impose such a tax on or after that
18 date. If the Board has imposed a tax under this subsection
19 on the sale of motor fuel or gasohol before the effective
20 date of this amendatory Act of the 91st General Assembly,
21 then the Board shall not increase the rate of the tax on or
22 after that date.
23 Persons subject to any tax imposed under the authority
24 granted in this Section may reimburse themselves for their
25 seller's tax liability hereunder by separately stating the
26 tax as an additional charge, which charge may be stated in
27 combination in a single amount with State taxes that sellers
28 are required to collect under the Use Tax Act, under any
29 bracket schedules the Department may prescribe.
30 Whenever the Department determines that a refund should
31 be made under this Section to a claimant instead of issuing a
32 credit memorandum, the Department shall notify the State
33 Comptroller, who shall cause the warrant to be drawn for the
34 amount specified, and to the person named, in the
-139- LRB9110257SMdv
1 notification from the Department. The refund shall be paid
2 by the State Treasurer out of the Regional Transportation
3 Authority tax fund established under paragraph (n) of this
4 Section.
5 If a tax is imposed under this subsection (e), a tax
6 shall also be imposed under subsections (f) and (g) of this
7 Section.
8 For the purpose of determining whether a tax authorized
9 under this Section is applicable, a retail sale by a producer
10 of coal or other mineral mined in Illinois, is a sale at
11 retail at the place where the coal or other mineral mined in
12 Illinois is extracted from the earth. This paragraph does not
13 apply to coal or other mineral when it is delivered or
14 shipped by the seller to the purchaser at a point outside
15 Illinois so that the sale is exempt under the Federal
16 Constitution as a sale in interstate or foreign commerce.
17 Nothing in this Section shall be construed to authorize
18 the Regional Transportation Authority to impose a tax upon
19 the privilege of engaging in any business that under the
20 Constitution of the United States may not be made the subject
21 of taxation by this State.
22 (f) If a tax has been imposed under paragraph (e), a tax
23 shall also be imposed upon all persons engaged, in the
24 metropolitan region in the business of making sales of
25 service, who as an incident to making the sales of service,
26 transfer tangible personal property within the metropolitan
27 region, either in the form of tangible personal property or
28 in the form of real estate as an incident to a sale of
29 service. In Cook County, the tax rate shall be: (1) 1% of
30 the serviceman's cost price of food prepared for immediate
31 consumption and transferred incident to a sale of service
32 subject to the service occupation tax by an entity licensed
33 under the Hospital Licensing Act or the Nursing Home Care Act
34 that is located in the metropolitan region; (2) 1% of the
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1 selling price of food for human consumption that is to be
2 consumed off the premises where it is sold (other than
3 alcoholic beverages, soft drinks and food that has been
4 prepared for immediate consumption) and prescription and
5 nonprescription medicines, drugs, medical appliances and
6 insulin, urine testing materials, syringes and needles used
7 by diabetics; and (3) 3/4% of the selling price from other
8 taxable sales of tangible personal property transferred. In
9 DuPage, Kane, Lake, McHenry and Will Counties the rate shall
10 be 1/4% of the selling price of all tangible personal
11 property transferred.
12 The tax imposed under this paragraph and all civil
13 penalties that may be assessed as an incident thereof shall
14 be collected and enforced by the State Department of Revenue.
15 The Department shall have full power to administer and
16 enforce this paragraph; to collect all taxes and penalties
17 due hereunder; to dispose of taxes and penalties collected in
18 the manner hereinafter provided; and to determine all rights
19 to credit memoranda arising on account of the erroneous
20 payment of tax or penalty hereunder. In the administration
21 of and compliance with this paragraph, the Department and
22 persons who are subject to this paragraph shall have the same
23 rights, remedies, privileges, immunities, powers and duties,
24 and be subject to the same conditions, restrictions,
25 limitations, penalties, exclusions, exemptions and
26 definitions of terms, and employ the same modes of procedure,
27 as are prescribed in Sections 1a-1, 2, 2a, 3 through 3-50 (in
28 respect to all provisions therein other than the State rate
29 of tax), 4 (except that the reference to the State shall be
30 to the Authority), 5, 7, 8 (except that the jurisdiction to
31 which the tax shall be a debt to the extent indicated in that
32 Section 8 shall be the Authority), 9 (except as to the
33 disposition of taxes and penalties collected, and except that
34 the returned merchandise credit for this tax may not be taken
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1 against any State tax), 10, 11, 12 (except the reference
2 therein to Section 2b of the Retailers' Occupation Tax Act),
3 13 (except that any reference to the State shall mean the
4 Authority), the first paragraph of Section 15, 16, 17, 18, 19
5 and 20 of the Service Occupation Tax Act and Section 3-7 of
6 the Uniform Penalty and Interest Act, as fully as if those
7 provisions were set forth herein.
8 If the Board has not imposed a tax under this subsection
9 on the selling price of motor fuel or gasohol before the
10 effective date of this amendatory Act of the 91st General
11 Assembly, then the Board shall not impose such a tax on or
12 after that date. If the Board has imposed a tax under this
13 subsection on the selling price of motor fuel or gasohol
14 before the effective date of this amendatory Act of the 91st
15 General Assembly, then the Board shall not increase the rate
16 of the tax on or after that date.
17 Persons subject to any tax imposed under the authority
18 granted in this paragraph may reimburse themselves for their
19 serviceman's tax liability hereunder by separately stating
20 the tax as an additional charge, that charge may be stated in
21 combination in a single amount with State tax that servicemen
22 are authorized to collect under the Service Use Tax Act,
23 under any bracket schedules the Department may prescribe.
24 Whenever the Department determines that a refund should
25 be made under this paragraph to a claimant instead of issuing
26 a credit memorandum, the Department shall notify the State
27 Comptroller, who shall cause the warrant to be drawn for the
28 amount specified, and to the person named in the notification
29 from the Department. The refund shall be paid by the State
30 Treasurer out of the Regional Transportation Authority tax
31 fund established under paragraph (n) of this Section.
32 Nothing in this paragraph shall be construed to authorize
33 the Authority to impose a tax upon the privilege of engaging
34 in any business that under the Constitution of the United
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1 States may not be made the subject of taxation by the State.
2 (g) If a tax has been imposed under paragraph (e), a tax
3 shall also be imposed upon the privilege of using in the
4 metropolitan region, any item of tangible personal property
5 that is purchased outside the metropolitan region at retail
6 from a retailer, and that is titled or registered with an
7 agency of this State's government. In Cook County the tax
8 rate shall be 3/4% of the selling price of the tangible
9 personal property, as "selling price" is defined in the Use
10 Tax Act. In DuPage, Kane, Lake, McHenry and Will counties
11 the tax rate shall be 1/4% of the selling price of the
12 tangible personal property, as "selling price" is defined in
13 the Use Tax Act. The tax shall be collected from persons
14 whose Illinois address for titling or registration purposes
15 is given as being in the metropolitan region. The tax shall
16 be collected by the Department of Revenue for the Regional
17 Transportation Authority. The tax must be paid to the State,
18 or an exemption determination must be obtained from the
19 Department of Revenue, before the title or certificate of
20 registration for the property may be issued. The tax or proof
21 of exemption may be transmitted to the Department by way of
22 the State agency with which, or the State officer with whom,
23 the tangible personal property must be titled or registered
24 if the Department and the State agency or State officer
25 determine that this procedure will expedite the processing of
26 applications for title or registration.
27 The Department shall have full power to administer and
28 enforce this paragraph; to collect all taxes, penalties and
29 interest due hereunder; to dispose of taxes, penalties and
30 interest collected in the manner hereinafter provided; and to
31 determine all rights to credit memoranda or refunds arising
32 on account of the erroneous payment of tax, penalty or
33 interest hereunder. In the administration of and compliance
34 with this paragraph, the Department and persons who are
-143- LRB9110257SMdv
1 subject to this paragraph shall have the same rights,
2 remedies, privileges, immunities, powers and duties, and be
3 subject to the same conditions, restrictions, limitations,
4 penalties, exclusions, exemptions and definitions of terms
5 and employ the same modes of procedure, as are prescribed in
6 Sections 2 (except the definition of "retailer maintaining a
7 place of business in this State"), 3 through 3-80 (except
8 provisions pertaining to the State rate of tax, and except
9 provisions concerning collection or refunding of the tax by
10 retailers), 4, 11, 12, 12a, 14, 15, 19 (except the portions
11 pertaining to claims by retailers and except the last
12 paragraph concerning refunds), 20, 21 and 22 of the Use Tax
13 Act, and are not inconsistent with this paragraph, as fully
14 as if those provisions were set forth herein.
15 If the Board has not imposed a tax under this subsection
16 on the use of motor fuel or gasohol before the effective date
17 of this amendatory Act of the 91st General Assembly, then the
18 Board shall not impose such a tax on or after that date. If
19 the Board has imposed a tax under this subsection on the use
20 of motor fuel or gasohol before the effective date of this
21 amendatory Act of the 91st General Assembly, then the Board
22 shall not increase the rate of the tax on or after that date.
23 Whenever the Department determines that a refund should
24 be made under this paragraph to a claimant instead of issuing
25 a credit memorandum, the Department shall notify the State
26 Comptroller, who shall cause the order to be drawn for the
27 amount specified, and to the person named in the notification
28 from the Department. The refund shall be paid by the State
29 Treasurer out of the Regional Transportation Authority tax
30 fund established under paragraph (n) of this Section.
31 (h) The Authority may impose a replacement vehicle tax
32 of $50 on any passenger car as defined in Section 1-157 of
33 the Illinois Vehicle Code purchased within the metropolitan
34 region by or on behalf of an insurance company to replace a
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1 passenger car of an insured person in settlement of a total
2 loss claim. The tax imposed may not become effective before
3 the first day of the month following the passage of the
4 ordinance imposing the tax and receipt of a certified copy of
5 the ordinance by the Department of Revenue. The Department
6 of Revenue shall collect the tax for the Authority in
7 accordance with Sections 3-2002 and 3-2003 of the Illinois
8 Vehicle Code.
9 The Department shall immediately pay over to the State
10 Treasurer, ex officio, as trustee, all taxes collected
11 hereunder. On or before the 25th day of each calendar month,
12 the Department shall prepare and certify to the Comptroller
13 the disbursement of stated sums of money to the Authority.
14 The amount to be paid to the Authority shall be the amount
15 collected hereunder during the second preceding calendar
16 month by the Department, less any amount determined by the
17 Department to be necessary for the payment of refunds.
18 Within 10 days after receipt by the Comptroller of the
19 disbursement certification to the Authority provided for in
20 this Section to be given to the Comptroller by the
21 Department, the Comptroller shall cause the orders to be
22 drawn for that amount in accordance with the directions
23 contained in the certification.
24 (i) The Board may not impose any other taxes except as
25 it may from time to time be authorized by law to impose.
26 (j) A certificate of registration issued by the State
27 Department of Revenue to a retailer under the Retailers'
28 Occupation Tax Act or under the Service Occupation Tax Act
29 shall permit the registrant to engage in a business that is
30 taxed under the tax imposed under paragraphs (b), (e), (f) or
31 (g) of this Section and no additional registration shall be
32 required under the tax. A certificate issued under the Use
33 Tax Act or the Service Use Tax Act shall be applicable with
34 regard to any tax imposed under paragraph (c) of this
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1 Section.
2 (k) The provisions of any tax imposed under paragraph
3 (c) of this Section shall conform as closely as may be
4 practicable to the provisions of the Use Tax Act, including
5 without limitation conformity as to penalties with respect to
6 the tax imposed and as to the powers of the State Department
7 of Revenue to promulgate and enforce rules and regulations
8 relating to the administration and enforcement of the
9 provisions of the tax imposed. The taxes shall be imposed
10 only on use within the metropolitan region and at rates as
11 provided in the paragraph.
12 (l) The Board in imposing any tax as provided in
13 paragraphs (b) and (c) of this Section, shall, after seeking
14 the advice of the State Department of Revenue, provide means
15 for retailers, users or purchasers of motor fuel for purposes
16 other than those with regard to which the taxes may be
17 imposed as provided in those paragraphs to receive refunds of
18 taxes improperly paid, which provisions may be at variance
19 with the refund provisions as applicable under the Municipal
20 Retailers Occupation Tax Act. The State Department of
21 Revenue may provide for certificates of registration for
22 users or purchasers of motor fuel for purposes other than
23 those with regard to which taxes may be imposed as provided
24 in paragraphs (b) and (c) of this Section to facilitate the
25 reporting and nontaxability of the exempt sales or uses.
26 (m) Any ordinance imposing or discontinuing any tax
27 under this Section shall be adopted and a certified copy
28 thereof filed with the Department on or before June 1,
29 whereupon the Department of Revenue shall proceed to
30 administer and enforce this Section on behalf of the Regional
31 Transportation Authority as of September 1 next following
32 such adoption and filing. Beginning January 1, 1992, an
33 ordinance or resolution imposing or discontinuing the tax
34 hereunder shall be adopted and a certified copy thereof filed
-146- LRB9110257SMdv
1 with the Department on or before the first day of July,
2 whereupon the Department shall proceed to administer and
3 enforce this Section as of the first day of October next
4 following such adoption and filing. Beginning January 1,
5 1993, an ordinance or resolution imposing or discontinuing
6 the tax hereunder shall be adopted and a certified copy
7 thereof filed with the Department on or before the first day
8 of October, whereupon the Department shall proceed to
9 administer and enforce this Section as of the first day of
10 January next following such adoption and filing.
11 (n) The State Department of Revenue shall, upon
12 collecting any taxes as provided in this Section, pay the
13 taxes over to the State Treasurer as trustee for the
14 Authority. The taxes shall be held in a trust fund outside
15 the State Treasury. On or before the 25th day of each
16 calendar month, the State Department of Revenue shall prepare
17 and certify to the Comptroller of the State of Illinois the
18 amount to be paid to the Authority, which shall be the then
19 balance in the fund, less any amount determined by the
20 Department to be necessary for the payment of refunds. The
21 State Department of Revenue shall also certify to the
22 Authority the amount of taxes collected in each County other
23 than Cook County in the metropolitan region less the amount
24 necessary for the payment of refunds to taxpayers in the
25 County. With regard to the County of Cook, the certification
26 shall specify the amount of taxes collected within the City
27 of Chicago less the amount necessary for the payment of
28 refunds to taxpayers in the City of Chicago and the amount
29 collected in that portion of Cook County outside of Chicago
30 less the amount necessary for the payment of refunds to
31 taxpayers in that portion of Cook County outside of Chicago.
32 Within 10 days after receipt by the Comptroller of the
33 certification of the amount to be paid to the Authority, the
34 Comptroller shall cause an order to be drawn for the payment
-147- LRB9110257SMdv
1 for the amount in accordance with the direction in the
2 certification.
3 In addition to the disbursement required by the preceding
4 paragraph, an allocation shall be made in July 1991 and each
5 year thereafter to the Regional Transportation Authority.
6 The allocation shall be made in an amount equal to the
7 average monthly distribution during the preceding calendar
8 year (excluding the 2 months of lowest receipts) and the
9 allocation shall include the amount of average monthly
10 distribution from the Regional Transportation Authority
11 Occupation and Use Tax Replacement Fund. The distribution
12 made in July 1992 and each year thereafter under this
13 paragraph and the preceding paragraph shall be reduced by the
14 amount allocated and disbursed under this paragraph in the
15 preceding calendar year. The Department of Revenue shall
16 prepare and certify to the Comptroller for disbursement the
17 allocations made in accordance with this paragraph.
18 (o) Failure to adopt a budget ordinance or otherwise to
19 comply with Section 4.01 of this Act or to adopt a Five-year
20 Program or otherwise to comply with paragraph (b) of Section
21 2.01 of this Act shall not affect the validity of any tax
22 imposed by the Authority otherwise in conformity with law.
23 (p) At no time shall a public transportation tax or
24 motor vehicle parking tax authorized under paragraphs (b),
25 (c) and (d) of this Section be in effect at the same time as
26 any retailers' occupation, use or service occupation tax
27 authorized under paragraphs (e), (f) and (g) of this Section
28 is in effect.
29 Any taxes imposed under the authority provided in
30 paragraphs (b), (c) and (d) shall remain in effect only until
31 the time as any tax authorized by paragraphs (e), (f) or (g)
32 of this Section are imposed and becomes effective. Once any
33 tax authorized by paragraphs (e), (f) or (g) is imposed the
34 Board may not reimpose taxes as authorized in paragraphs (b),
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1 (c) and (d) of the Section unless any tax authorized by
2 paragraphs (e), (f) or (g) of this Section becomes
3 ineffective by means other than an ordinance of the Board.
4 (q) Any existing rights, remedies and obligations
5 (including enforcement by the Regional Transportation
6 Authority) arising under any tax imposed under paragraphs
7 (b), (c) or (d) of this Section shall not be affected by the
8 imposition of a tax under paragraphs (e), (f) or (g) of this
9 Section.
10 (Source: P.A. 91-51, eff. 6-30-99.)
11 Section 50. The Water Commission Act of 1985 is amended
12 by changing Section 4 as follows:
13 (70 ILCS 3720/4) (from Ch. 111 2/3, par. 254)
14 Sec. 4. Taxes.
15 (a) The board of commissioners of any county water
16 commission may, by ordinance, impose throughout the territory
17 of the commission any or all of the taxes provided in this
18 Section for its corporate purposes. However, no county water
19 commission may impose any such tax unless the commission
20 certifies the proposition of imposing the tax to the proper
21 election officials, who shall submit the proposition to the
22 voters residing in the territory at an election in accordance
23 with the general election law, and the proposition has been
24 approved by a majority of those voting on the proposition.
25 The proposition shall be in the form provided in Section
26 5 or shall be substantially in the following form:
27 -------------------------------------------------------------
28 Shall the (insert corporate
29 name of county water commission) YES
30 impose (state type of tax or ------------------------
31 taxes to be imposed) at the NO
32 rate of 1/4%?
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1 -------------------------------------------------------------
2 Taxes imposed under this Section and civil penalties
3 imposed incident thereto shall be collected and enforced by
4 the State Department of Revenue. The Department shall have
5 the power to administer and enforce the taxes and to
6 determine all rights for refunds for erroneous payments of
7 the taxes.
8 (b) The board of commissioners may impose a County Water
9 Commission Retailers' Occupation Tax upon all persons engaged
10 in the business of selling tangible personal property at
11 retail in the territory of the commission at a rate of 1/4%
12 of the gross receipts from the sales made in the course of
13 such business within the territory. The tax imposed under
14 this paragraph and all civil penalties that may be assessed
15 as an incident thereof shall be collected and enforced by the
16 State Department of Revenue. The Department shall have full
17 power to administer and enforce this paragraph; to collect
18 all taxes and penalties due hereunder; to dispose of taxes
19 and penalties so collected in the manner hereinafter
20 provided; and to determine all rights to credit memoranda
21 arising on account of the erroneous payment of tax or penalty
22 hereunder. In the administration of, and compliance with,
23 this paragraph, the Department and persons who are subject to
24 this paragraph shall have the same rights, remedies,
25 privileges, immunities, powers and duties, and be subject to
26 the same conditions, restrictions, limitations, penalties,
27 exclusions, exemptions and definitions of terms, and employ
28 the same modes of procedure, as are prescribed in Sections 1,
29 1a, 1a-1, 1c, 1d, 1e, 1f, 1i, 1j, 2 through 2-65 (in respect
30 to all provisions therein other than the State rate of tax
31 except that food for human consumption that is to be consumed
32 off the premises where it is sold (other than alcoholic
33 beverages, soft drinks, and food that has been prepared for
34 immediate consumption) and prescription and nonprescription
-150- LRB9110257SMdv
1 medicine, drugs, medical appliances and insulin, urine
2 testing materials, syringes, and needles used by diabetics,
3 for human use, shall not be subject to tax hereunder), 2c, 3
4 (except as to the disposition of taxes and penalties
5 collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k,
6 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12 and 13 of the
7 Retailers' Occupation Tax Act and Section 3-7 of the Uniform
8 Penalty and Interest Act, as fully as if those provisions
9 were set forth herein.
10 If the board of commissioners has not imposed a tax under
11 this subsection on the sale of motor fuel or gasohol before
12 the effective date of this amendatory Act of the 91st General
13 Assembly, then the board shall not impose such a tax on or
14 after that date. If the board of commissioners has imposed a
15 tax under this subsection on the sale of motor fuel or
16 gasohol before the effective date of this amendatory Act of
17 the 91st General Assembly, then the board shall not increase
18 the rate of the tax on or after that date.
19 Persons subject to any tax imposed under the authority
20 granted in this paragraph may reimburse themselves for their
21 seller's tax liability hereunder by separately stating the
22 tax as an additional charge, which charge may be stated in
23 combination, in a single amount, with State taxes that
24 sellers are required to collect under the Use Tax Act and
25 under subsection (e) of Section 4.03 of the Regional
26 Transportation Authority Act, in accordance with such bracket
27 schedules as the Department may prescribe.
28 Whenever the Department determines that a refund should
29 be made under this paragraph to a claimant instead of issuing
30 a credit memorandum, the Department shall notify the State
31 Comptroller, who shall cause the warrant to be drawn for the
32 amount specified, and to the person named, in the
33 notification from the Department. The refund shall be paid
34 by the State Treasurer out of a county water commission tax
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1 fund established under paragraph (g) of this Section.
2 For the purpose of determining whether a tax authorized
3 under this paragraph is applicable, a retail sale by a
4 producer of coal or other mineral mined in Illinois is a sale
5 at retail at the place where the coal or other mineral mined
6 in Illinois is extracted from the earth. This paragraph does
7 not apply to coal or other mineral when it is delivered or
8 shipped by the seller to the purchaser at a point outside
9 Illinois so that the sale is exempt under the Federal
10 Constitution as a sale in interstate or foreign commerce.
11 If a tax is imposed under this subsection (b) a tax shall
12 also be imposed under subsections (c) and (d) of this
13 Section.
14 Nothing in this paragraph shall be construed to authorize
15 a county water commission to impose a tax upon the privilege
16 of engaging in any business which under the Constitution of
17 the United States may not be made the subject of taxation by
18 this State.
19 (c) If a tax has been imposed under subsection (b), a
20 tax shall also be imposed upon all persons engaged, in the
21 territory of the commission, in the business of making sales
22 of service, who, as an incident to making the sales of
23 service, transfer tangible personal property within the
24 territory. The tax rate shall be 1/4% of the selling price of
25 tangible personal property so transferred within the
26 territory. The tax imposed under this paragraph and all
27 civil penalties that may be assessed as an incident thereof
28 shall be collected and enforced by the State Department of
29 Revenue. The Department shall have full power to administer
30 and enforce this paragraph; to collect all taxes and
31 penalties due hereunder; to dispose of taxes and penalties so
32 collected in the manner hereinafter provided; and to
33 determine all rights to credit memoranda arising on account
34 of the erroneous payment of tax or penalty hereunder. In the
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1 administration of, and compliance with, this paragraph, the
2 Department and persons who are subject to this paragraph
3 shall have the same rights, remedies, privileges, immunities,
4 powers and duties, and be subject to the same conditions,
5 restrictions, limitations, penalties, exclusions, exemptions
6 and definitions of terms, and employ the same modes of
7 procedure, as are prescribed in Sections 1a-1, 2 (except that
8 the reference to State in the definition of supplier
9 maintaining a place of business in this State shall mean the
10 territory of the commission), 2a, 3 through 3-50 (in respect
11 to all provisions therein other than the State rate of tax
12 except that food for human consumption that is to be consumed
13 off the premises where it is sold (other than alcoholic
14 beverages, soft drinks, and food that has been prepared for
15 immediate consumption) and prescription and nonprescription
16 medicines, drugs, medical appliances and insulin, urine
17 testing materials, syringes, and needles used by diabetics,
18 for human use, shall not be subject to tax hereunder), 4
19 (except that the reference to the State shall be to the
20 territory of the commission), 5, 7, 8 (except that the
21 jurisdiction to which the tax shall be a debt to the extent
22 indicated in that Section 8 shall be the commission), 9
23 (except as to the disposition of taxes and penalties
24 collected and except that the returned merchandise credit for
25 this tax may not be taken against any State tax), 10, 11, 12
26 (except the reference therein to Section 2b of the Retailers'
27 Occupation Tax Act), 13 (except that any reference to the
28 State shall mean the territory of the commission), the first
29 paragraph of Section 15, 15.5, 16, 17, 18, 19 and 20 of the
30 Service Occupation Tax Act as fully as if those provisions
31 were set forth herein.
32 If the board of commissioners has not imposed a tax under
33 this subsection on the selling price of motor fuel or gasohol
34 before the effective date of this amendatory Act of the 91st
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1 General Assembly, then the board shall not impose such a tax
2 on or after that date. If the board of commissioners has
3 imposed a tax under this subsection on the selling price of
4 motor fuel or gasohol before the effective date of this
5 amendatory Act of the 91st General Assembly, then the board
6 shall not increase the rate of the tax on or after that date.
7 Persons subject to any tax imposed under the authority
8 granted in this paragraph may reimburse themselves for their
9 serviceman's tax liability hereunder by separately stating
10 the tax as an additional charge, which charge may be stated
11 in combination, in a single amount, with State tax that
12 servicemen are authorized to collect under the Service Use
13 Tax Act, and any tax for which servicemen may be liable under
14 subsection (f) of Sec. 4.03 of the Regional Transportation
15 Authority Act, in accordance with such bracket schedules as
16 the Department may prescribe.
17 Whenever the Department determines that a refund should
18 be made under this paragraph to a claimant instead of issuing
19 a credit memorandum, the Department shall notify the State
20 Comptroller, who shall cause the warrant to be drawn for the
21 amount specified, and to the person named, in the
22 notification from the Department. The refund shall be paid
23 by the State Treasurer out of a county water commission tax
24 fund established under paragraph (g) of this Section.
25 Nothing in this paragraph shall be construed to authorize
26 a county water commission to impose a tax upon the privilege
27 of engaging in any business which under the Constitution of
28 the United States may not be made the subject of taxation by
29 the State.
30 (d) If a tax has been imposed under subsection (b), a
31 tax shall also imposed upon the privilege of using, in the
32 territory of the commission, any item of tangible personal
33 property that is purchased outside the territory at retail
34 from a retailer, and that is titled or registered with an
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1 agency of this State's government, at a rate of 1/4% of the
2 selling price of the tangible personal property within the
3 territory, as "selling price" is defined in the Use Tax Act.
4 The tax shall be collected from persons whose Illinois
5 address for titling or registration purposes is given as
6 being in the territory. The tax shall be collected by the
7 Department of Revenue for a county water commission. The tax
8 must be paid to the State, or an exemption determination must
9 be obtained from the Department of Revenue, before the title
10 or certificate of registration for the property may be
11 issued. The tax or proof of exemption may be transmitted to
12 the Department by way of the State agency with which, or the
13 State officer with whom, the tangible personal property must
14 be titled or registered if the Department and the State
15 agency or State officer determine that this procedure will
16 expedite the processing of applications for title or
17 registration.
18 The Department shall have full power to administer and
19 enforce this paragraph; to collect all taxes, penalties and
20 interest due hereunder; to dispose of taxes, penalties and
21 interest so collected in the manner hereinafter provided; and
22 to determine all rights to credit memoranda or refunds
23 arising on account of the erroneous payment of tax, penalty
24 or interest hereunder. In the administration of, and
25 compliance with this paragraph, the Department and persons
26 who are subject to this paragraph shall have the same rights,
27 remedies, privileges, immunities, powers and duties, and be
28 subject to the same conditions, restrictions, limitations,
29 penalties, exclusions, exemptions and definitions of terms
30 and employ the same modes of procedure, as are prescribed in
31 Sections 2 (except the definition of "retailer maintaining a
32 place of business in this State"), 3 through 3-80 (except
33 provisions pertaining to the State rate of tax, and except
34 provisions concerning collection or refunding of the tax by
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1 retailers, and except that food for human consumption that is
2 to be consumed off the premises where it is sold (other than
3 alcoholic beverages, soft drinks, and food that has been
4 prepared for immediate consumption) and prescription and
5 nonprescription medicines, drugs, medical appliances and
6 insulin, urine testing materials, syringes, and needles used
7 by diabetics, for human use, shall not be subject to tax
8 hereunder), 4, 11, 12, 12a, 14, 15, 19 (except the portions
9 pertaining to claims by retailers and except the last
10 paragraph concerning refunds), 20, 21 and 22 of the Use Tax
11 Act and Section 3-7 of the Uniform Penalty and Interest Act
12 that are not inconsistent with this paragraph, as fully as if
13 those provisions were set forth herein.
14 If the board of commissioners has not imposed a tax under
15 this subsection on the use of motor fuel or gasohol before
16 the effective date of this amendatory Act of the 91st General
17 Assembly, then the board shall not impose such a tax on or
18 after that date. If the board of commissioners has imposed a
19 tax under this subsection on the use of motor fuel or gasohol
20 before the effective date of this amendatory Act of the 91st
21 General Assembly, then the board shall not increase the rate
22 of the tax on or after that date.
23 Whenever the Department determines that a refund should
24 be made under this paragraph to a claimant instead of issuing
25 a credit memorandum, the Department shall notify the State
26 Comptroller, who shall cause the order to be drawn for the
27 amount specified, and to the person named, in the
28 notification from the Department. The refund shall be paid
29 by the State Treasurer out of a county water commission tax
30 fund established under paragraph (g) of this Section.
31 (e) A certificate of registration issued by the State
32 Department of Revenue to a retailer under the Retailers'
33 Occupation Tax Act or under the Service Occupation Tax Act
34 shall permit the registrant to engage in a business that is
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1 taxed under the tax imposed under paragraphs (b), (c) or (d)
2 of this Section and no additional registration shall be
3 required under the tax. A certificate issued under the Use
4 Tax Act or the Service Use Tax Act shall be applicable with
5 regard to any tax imposed under paragraph (c) of this
6 Section.
7 (f) Any ordinance imposing or discontinuing any tax
8 under this Section shall be adopted and a certified copy
9 thereof filed with the Department on or before June 1,
10 whereupon the Department of Revenue shall proceed to
11 administer and enforce this Section on behalf of the county
12 water commission as of September 1 next following the
13 adoption and filing. Beginning January 1, 1992, an ordinance
14 or resolution imposing or discontinuing the tax hereunder
15 shall be adopted and a certified copy thereof filed with the
16 Department on or before the first day of July, whereupon the
17 Department shall proceed to administer and enforce this
18 Section as of the first day of October next following such
19 adoption and filing. Beginning January 1, 1993, an ordinance
20 or resolution imposing or discontinuing the tax hereunder
21 shall be adopted and a certified copy thereof filed with the
22 Department on or before the first day of October, whereupon
23 the Department shall proceed to administer and enforce this
24 Section as of the first day of January next following such
25 adoption and filing.
26 (g) The State Department of Revenue shall, upon
27 collecting any taxes as provided in this Section, pay the
28 taxes over to the State Treasurer as trustee for the
29 commission. The taxes shall be held in a trust fund outside
30 the State Treasury. On or before the 25th day of each
31 calendar month, the State Department of Revenue shall prepare
32 and certify to the Comptroller of the State of Illinois the
33 amount to be paid to the commission, which shall be the then
34 balance in the fund, less any amount determined by the
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1 Department to be necessary for the payment of refunds. Within
2 10 days after receipt by the Comptroller of the certification
3 of the amount to be paid to the commission, the Comptroller
4 shall cause an order to be drawn for the payment for the
5 amount in accordance with the direction in the certification.
6 (Source: P.A. 91-51, eff. 6-30-99.)
7 Section 99. Effective date. This Act takes effect upon
8 becoming law, except that Sections 5 through 20 take effect
9 October 1, 2000.
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1 INDEX
2 Statutes amended in order of appearance
3 35 ILCS 105/3-10 from Ch. 120, par. 439.3-10
4 35 ILCS 105/9 from Ch. 120, par. 439.9
5 35 ILCS 110/3-10 from Ch. 120, par. 439.33-10
6 35 ILCS 110/9 from Ch. 120, par. 439.39
7 35 ILCS 115/3-10 from Ch. 120, par. 439.103-10
8 35 ILCS 115/9 from Ch. 120, par. 439.109
9 35 ILCS 120/2-10 from Ch. 120, par. 441-10
10 35 ILCS 120/2d from Ch. 120, par. 441d
11 35 ILCS 120/3 from Ch. 120, par. 442
12 55 ILCS 5/5-1006 from Ch. 34, par. 5-1006
13 55 ILCS 5/5-1006.5
14 55 ILCS 5/5-1007 from Ch. 34, par. 5-1007
15 55 ILCS 5/5-1035.1 from Ch. 34, par. 5-1035.1
16 65 ILCS 5/8-11-1 from Ch. 24, par. 8-11-1
17 65 ILCS 5/8-11-1.1 from Ch. 24, par. 8-11-1.1
18 65 ILCS 5/8-11-5 from Ch. 24, par. 8-11-5
19 65 ILCS 5/8-11-6 from Ch. 24, par. 8-11-6
20 65 ILCS 5/8-11-15 from Ch. 24, par. 8-11-15
21 70 ILCS 200/245-12
22 70 ILCS 3610/5.01 from Ch. 111 2/3, par. 355.01
23 70 ILCS 3615/4.03 from Ch. 111 2/3, par. 704.03
24 70 ILCS 3720/4 from Ch. 111 2/3, par. 254