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91_SB1310ham002
LRB9110257SMdvam20
1 AMENDMENT TO SENATE BILL 1310
2 AMENDMENT NO. . Amend Senate Bill 1310 by replacing
3 everything after the enacting clause with the following:
4 "Section 3. The State Finance Act is amended by changing
5 Sections 6z-18 and 6z-20 as follows:
6 (30 ILCS 105/6z-18) (from Ch. 127, par. 142z-18)
7 Sec. 6z-18. A portion of the money paid into the Local
8 Government Tax Fund from sales of food for human consumption
9 which is to be consumed off the premises where it is sold
10 (other than alcoholic beverages, soft drinks and food which
11 has been prepared for immediate consumption) and prescription
12 and nonprescription medicines, drugs, medical appliances and
13 insulin, urine testing materials, syringes and needles used
14 by diabetics, which occurred in municipalities, shall be
15 distributed to each municipality based upon the sales which
16 occurred in that municipality. The remainder shall be
17 distributed to each county based upon the sales which
18 occurred in the unincorporated area of that county.
19 A portion of the money paid into the Local Government Tax
20 Fund from the 6.25% general use tax rate on the selling price
21 of tangible personal property which is purchased outside
22 Illinois at retail from a retailer and which is titled or
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1 registered by any agency of this State's government shall be
2 distributed to municipalities as provided in this paragraph.
3 Each municipality shall receive the amount attributable to
4 sales for which Illinois addresses for titling or
5 registration purposes are given as being in such
6 municipality. The remainder of the money paid into the Local
7 Government Tax Fund from such sales shall be distributed to
8 counties. Each county shall receive the amount attributable
9 to sales for which Illinois addresses for titling or
10 registration purposes are given as being located in the
11 unincorporated area of such county.
12 A portion of the money paid into the Local Government Tax
13 Fund from the 6.25% general rate (and, beginning July 1, 2000
14 and through December 31, 2000, the 1.25% rate on motor fuel
15 and gasohol) on sales subject to taxation under the
16 Retailers' Occupation Tax Act and the Service Occupation Tax
17 Act, which occurred in municipalities, shall be distributed
18 to each municipality, based upon the sales which occurred in
19 that municipality. The remainder shall be distributed to each
20 county, based upon the sales which occurred in the
21 unincorporated area of such county.
22 For the purpose of determining allocation to the local
23 government unit, a retail sale by a producer of coal or other
24 mineral mined in Illinois is a sale at retail at the place
25 where the coal or other mineral mined in Illinois is
26 extracted from the earth. This paragraph does not apply to
27 coal or other mineral when it is delivered or shipped by the
28 seller to the purchaser at a point outside Illinois so that
29 the sale is exempt under the United States Constitution as a
30 sale in interstate or foreign commerce.
31 Whenever the Department determines that a refund of money
32 paid into the Local Government Tax Fund should be made to a
33 claimant instead of issuing a credit memorandum, the
34 Department shall notify the State Comptroller, who shall
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1 cause the order to be drawn for the amount specified, and to
2 the person named, in such notification from the Department.
3 Such refund shall be paid by the State Treasurer out of the
4 Local Government Tax Fund.
5 On or before the 25th day of each calendar month, the
6 Department shall prepare and certify to the Comptroller the
7 disbursement of stated sums of money to named municipalities
8 and counties, the municipalities and counties to be those
9 entitled to distribution of taxes or penalties paid to the
10 Department during the second preceding calendar month. The
11 amount to be paid to each municipality or county shall be the
12 amount (not including credit memoranda) collected during the
13 second preceding calendar month by the Department and paid
14 into the Local Government Tax Fund, plus an amount the
15 Department determines is necessary to offset any amounts
16 which were erroneously paid to a different taxing body, and
17 not including an amount equal to the amount of refunds made
18 during the second preceding calendar month by the Department,
19 and not including any amount which the Department determines
20 is necessary to offset any amounts which are payable to a
21 different taxing body but were erroneously paid to the
22 municipality or county. Within 10 days after receipt, by the
23 Comptroller, of the disbursement certification to the
24 municipalities and counties, provided for in this Section to
25 be given to the Comptroller by the Department, the
26 Comptroller shall cause the orders to be drawn for the
27 respective amounts in accordance with the directions
28 contained in such certification.
29 When certifying the amount of monthly disbursement to a
30 municipality or county under this Section, the Department
31 shall increase or decrease that amount by an amount necessary
32 to offset any misallocation of previous disbursements. The
33 offset amount shall be the amount erroneously disbursed
34 within the 6 months preceding the time a misallocation is
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1 discovered.
2 The provisions directing the distributions from the
3 special fund in the State Treasury provided for in this
4 Section shall constitute an irrevocable and continuing
5 appropriation of all amounts as provided herein. The State
6 Treasurer and State Comptroller are hereby authorized to make
7 distributions as provided in this Section.
8 In construing any development, redevelopment, annexation,
9 preannexation or other lawful agreement in effect prior to
10 September 1, 1990, which describes or refers to receipts from
11 a county or municipal retailers' occupation tax, use tax or
12 service occupation tax which now cannot be imposed, such
13 description or reference shall be deemed to include the
14 replacement revenue for such abolished taxes, distributed
15 from the Local Government Tax Fund.
16 (Source: P.A. 90-491, eff. 1-1-98; 91-51, eff. 6-30-99.)
17 (30 ILCS 105/6z-20) (from Ch. 127, par. 142z-20)
18 Sec. 6z-20. Of the money received from the 6.25% general
19 rate (and, beginning July 1, 2000 and through December 31,
20 2000, the 1.25% rate on motor fuel and gasohol) on sales
21 subject to taxation under the Retailers' Occupation Tax Act
22 and Service Occupation Tax Act and paid into the County and
23 Mass Transit District Fund, distribution to the Regional
24 Transportation Authority tax fund, created pursuant to
25 Section 4.03 of the Regional Transportation Authority Act,
26 for deposit therein shall be made based upon the retail sales
27 occurring in a county having more than 3,000,000 inhabitants.
28 The remainder shall be distributed to each county having
29 3,000,000 or fewer inhabitants based upon the retail sales
30 occurring in each such county.
31 For the purpose of determining allocation to the local
32 government unit, a retail sale by a producer of coal or other
33 mineral mined in Illinois is a sale at retail at the place
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1 where the coal or other mineral mined in Illinois is
2 extracted from the earth. This paragraph does not apply to
3 coal or other mineral when it is delivered or shipped by the
4 seller to the purchaser at a point outside Illinois so that
5 the sale is exempt under the United States Constitution as a
6 sale in interstate or foreign commerce.
7 Of the money received from the 6.25% general use tax rate
8 on tangible personal property which is purchased outside
9 Illinois at retail from a retailer and which is titled or
10 registered by any agency of this State's government and paid
11 into the County and Mass Transit District Fund, the amount
12 for which Illinois addresses for titling or registration
13 purposes are given as being in each county having more than
14 3,000,000 inhabitants shall be distributed into the Regional
15 Transportation Authority tax fund, created pursuant to
16 Section 4.03 of the Regional Transportation Authority Act.
17 The remainder of the money paid from such sales shall be
18 distributed to each county based on sales for which Illinois
19 addresses for titling or registration purposes are given as
20 being located in the county. Any money paid into the
21 Regional Transportation Authority Occupation and Use Tax
22 Replacement Fund from the County and Mass Transit District
23 Fund prior to January 14, 1991, which has not been paid to
24 the Authority prior to that date, shall be transferred to the
25 Regional Transportation Authority tax fund.
26 Whenever the Department determines that a refund of money
27 paid into the County and Mass Transit District Fund should be
28 made to a claimant instead of issuing a credit memorandum,
29 the Department shall notify the State Comptroller, who shall
30 cause the order to be drawn for the amount specified, and to
31 the person named, in such notification from the Department.
32 Such refund shall be paid by the State Treasurer out of the
33 County and Mass Transit District Fund.
34 On or before the 25th day of each calendar month, the
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1 Department shall prepare and certify to the Comptroller the
2 disbursement of stated sums of money to the Regional
3 Transportation Authority and to named counties, the counties
4 to be those entitled to distribution, as hereinabove
5 provided, of taxes or penalties paid to the Department during
6 the second preceding calendar month. The amount to be paid
7 to the Regional Transportation Authority and each county
8 having 3,000,000 or fewer inhabitants shall be the amount
9 (not including credit memoranda) collected during the second
10 preceding calendar month by the Department and paid into the
11 County and Mass Transit District Fund, plus an amount the
12 Department determines is necessary to offset any amounts
13 which were erroneously paid to a different taxing body, and
14 not including an amount equal to the amount of refunds made
15 during the second preceding calendar month by the Department,
16 and not including any amount which the Department determines
17 is necessary to offset any amounts which were payable to a
18 different taxing body but were erroneously paid to the
19 Regional Transportation Authority or county. Within 10 days
20 after receipt, by the Comptroller, of the disbursement
21 certification to the Regional Transportation Authority and
22 counties, provided for in this Section to be given to the
23 Comptroller by the Department, the Comptroller shall cause
24 the orders to be drawn for the respective amounts in
25 accordance with the directions contained in such
26 certification.
27 When certifying the amount of a monthly disbursement to
28 the Regional Transportation Authority or to a county under
29 this Section, the Department shall increase or decrease that
30 amount by an amount necessary to offset any misallocation of
31 previous disbursements. The offset amount shall be the
32 amount erroneously disbursed within the 6 months preceding
33 the time a misallocation is discovered.
34 The provisions directing the distributions from the
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1 special fund in the State Treasury provided for in this
2 Section and from the Regional Transportation Authority tax
3 fund created by Section 4.03 of the Regional Transportation
4 Authority Act shall constitute an irrevocable and continuing
5 appropriation of all amounts as provided herein. The State
6 Treasurer and State Comptroller are hereby authorized to make
7 distributions as provided in this Section.
8 In construing any development, redevelopment, annexation,
9 preannexation or other lawful agreement in effect prior to
10 September 1, 1990, which describes or refers to receipts from
11 a county or municipal retailers' occupation tax, use tax or
12 service occupation tax which now cannot be imposed, such
13 description or reference shall be deemed to include the
14 replacement revenue for such abolished taxes, distributed
15 from the County and Mass Transit District Fund or Local
16 Government Distributive Fund, as the case may be.
17 (Source: P.A. 90-491, eff. 1-1-98.)
18 Section 5. The Use Tax Act is amended by changing
19 Sections 3-10 and 9 as follows:
20 (35 ILCS 105/3-10) (from Ch. 120, par. 439.3-10)
21 Sec. 3-10. Rate of tax. Unless otherwise provided in
22 this Section, the tax imposed by this Act is at the rate of
23 6.25% of either the selling price or the fair market value,
24 if any, of the tangible personal property. In all cases
25 where property functionally used or consumed is the same as
26 the property that was purchased at retail, then the tax is
27 imposed on the selling price of the property. In all cases
28 where property functionally used or consumed is a by-product
29 or waste product that has been refined, manufactured, or
30 produced from property purchased at retail, then the tax is
31 imposed on the lower of the fair market value, if any, of the
32 specific property so used in this State or on the selling
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1 price of the property purchased at retail. For purposes of
2 this Section "fair market value" means the price at which
3 property would change hands between a willing buyer and a
4 willing seller, neither being under any compulsion to buy or
5 sell and both having reasonable knowledge of the relevant
6 facts. The fair market value shall be established by Illinois
7 sales by the taxpayer of the same property as that
8 functionally used or consumed, or if there are no such sales
9 by the taxpayer, then comparable sales or purchases of
10 property of like kind and character in Illinois.
11 Beginning on July 1, 2000 and through December 31, 2000,
12 with respect to motor fuel, as defined in Section 1.1 of the
13 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40
14 of the Use Tax Act, the tax is imposed at the rate of 1.25%.
15 With respect to gasohol, the tax imposed by this Act
16 applies to 70% of the proceeds of sales made on or after
17 January 1, 1990, and before July 1, 2003, and to 100% of the
18 proceeds of sales made thereafter.
19 With respect to food for human consumption that is to be
20 consumed off the premises where it is sold (other than
21 alcoholic beverages, soft drinks, and food that has been
22 prepared for immediate consumption) and prescription and
23 nonprescription medicines, drugs, medical appliances,
24 modifications to a motor vehicle for the purpose of rendering
25 it usable by a disabled person, and insulin, urine testing
26 materials, syringes, and needles used by diabetics, for human
27 use, the tax is imposed at the rate of 1%. For the purposes
28 of this Section, the term "soft drinks" means any complete,
29 finished, ready-to-use, non-alcoholic drink, whether
30 carbonated or not, including but not limited to soda water,
31 cola, fruit juice, vegetable juice, carbonated water, and all
32 other preparations commonly known as soft drinks of whatever
33 kind or description that are contained in any closed or
34 sealed bottle, can, carton, or container, regardless of size.
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1 "Soft drinks" does not include coffee, tea, non-carbonated
2 water, infant formula, milk or milk products as defined in
3 the Grade A Pasteurized Milk and Milk Products Act, or drinks
4 containing 50% or more natural fruit or vegetable juice.
5 Notwithstanding any other provisions of this Act, "food
6 for human consumption that is to be consumed off the premises
7 where it is sold" includes all food sold through a vending
8 machine, except soft drinks and food products that are
9 dispensed hot from a vending machine, regardless of the
10 location of the vending machine.
11 If the property that is purchased at retail from a
12 retailer is acquired outside Illinois and used outside
13 Illinois before being brought to Illinois for use here and is
14 taxable under this Act, the "selling price" on which the tax
15 is computed shall be reduced by an amount that represents a
16 reasonable allowance for depreciation for the period of prior
17 out-of-state use.
18 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
19 91-51, eff. 6-30-99.)
20 (35 ILCS 105/9) (from Ch. 120, par. 439.9)
21 Sec. 9. Except as to motor vehicles, watercraft,
22 aircraft, and trailers that are required to be registered
23 with an agency of this State, each retailer required or
24 authorized to collect the tax imposed by this Act shall pay
25 to the Department the amount of such tax (except as otherwise
26 provided) at the time when he is required to file his return
27 for the period during which such tax was collected, less a
28 discount of 2.1% prior to January 1, 1990, and 1.75% on and
29 after January 1, 1990, or $5 per calendar year, whichever is
30 greater, which is allowed to reimburse the retailer for
31 expenses incurred in collecting the tax, keeping records,
32 preparing and filing returns, remitting the tax and supplying
33 data to the Department on request. In the case of retailers
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1 who report and pay the tax on a transaction by transaction
2 basis, as provided in this Section, such discount shall be
3 taken with each such tax remittance instead of when such
4 retailer files his periodic return. A retailer need not
5 remit that part of any tax collected by him to the extent
6 that he is required to remit and does remit the tax imposed
7 by the Retailers' Occupation Tax Act, with respect to the
8 sale of the same property.
9 Where such tangible personal property is sold under a
10 conditional sales contract, or under any other form of sale
11 wherein the payment of the principal sum, or a part thereof,
12 is extended beyond the close of the period for which the
13 return is filed, the retailer, in collecting the tax (except
14 as to motor vehicles, watercraft, aircraft, and trailers that
15 are required to be registered with an agency of this State),
16 may collect for each tax return period, only the tax
17 applicable to that part of the selling price actually
18 received during such tax return period.
19 Except as provided in this Section, on or before the
20 twentieth day of each calendar month, such retailer shall
21 file a return for the preceding calendar month. Such return
22 shall be filed on forms prescribed by the Department and
23 shall furnish such information as the Department may
24 reasonably require.
25 The Department may require returns to be filed on a
26 quarterly basis. If so required, a return for each calendar
27 quarter shall be filed on or before the twentieth day of the
28 calendar month following the end of such calendar quarter.
29 The taxpayer shall also file a return with the Department for
30 each of the first two months of each calendar quarter, on or
31 before the twentieth day of the following calendar month,
32 stating:
33 1. The name of the seller;
34 2. The address of the principal place of business
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1 from which he engages in the business of selling tangible
2 personal property at retail in this State;
3 3. The total amount of taxable receipts received by
4 him during the preceding calendar month from sales of
5 tangible personal property by him during such preceding
6 calendar month, including receipts from charge and time
7 sales, but less all deductions allowed by law;
8 4. The amount of credit provided in Section 2d of
9 this Act;
10 5. The amount of tax due;
11 5-5. The signature of the taxpayer; and
12 6. Such other reasonable information as the
13 Department may require.
14 If a taxpayer fails to sign a return within 30 days after
15 the proper notice and demand for signature by the Department,
16 the return shall be considered valid and any amount shown to
17 be due on the return shall be deemed assessed.
18 Beginning October 1, 1993, a taxpayer who has an average
19 monthly tax liability of $150,000 or more shall make all
20 payments required by rules of the Department by electronic
21 funds transfer. Beginning October 1, 1994, a taxpayer who has
22 an average monthly tax liability of $100,000 or more shall
23 make all payments required by rules of the Department by
24 electronic funds transfer. Beginning October 1, 1995, a
25 taxpayer who has an average monthly tax liability of $50,000
26 or more shall make all payments required by rules of the
27 Department by electronic funds transfer. Beginning October 1,
28 2000, a taxpayer who has an annual tax liability of $200,000
29 or more shall make all payments required by rules of the
30 Department by electronic funds transfer. The term "annual
31 tax liability" shall be the sum of the taxpayer's liabilities
32 under this Act, and under all other State and local
33 occupation and use tax laws administered by the Department,
34 for the immediately preceding calendar year. The term
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1 "average monthly tax liability" means the sum of the
2 taxpayer's liabilities under this Act, and under all other
3 State and local occupation and use tax laws administered by
4 the Department, for the immediately preceding calendar year
5 divided by 12.
6 Before August 1 of each year beginning in 1993, the
7 Department shall notify all taxpayers required to make
8 payments by electronic funds transfer. All taxpayers required
9 to make payments by electronic funds transfer shall make
10 those payments for a minimum of one year beginning on October
11 1.
12 Any taxpayer not required to make payments by electronic
13 funds transfer may make payments by electronic funds transfer
14 with the permission of the Department.
15 All taxpayers required to make payment by electronic
16 funds transfer and any taxpayers authorized to voluntarily
17 make payments by electronic funds transfer shall make those
18 payments in the manner authorized by the Department.
19 The Department shall adopt such rules as are necessary to
20 effectuate a program of electronic funds transfer and the
21 requirements of this Section.
22 Before October 1, 2000, if the taxpayer's average monthly
23 tax liability to the Department under this Act, the
24 Retailers' Occupation Tax Act, the Service Occupation Tax
25 Act, the Service Use Tax Act was $10,000 or more during the
26 preceding 4 complete calendar quarters, he shall file a
27 return with the Department each month by the 20th day of the
28 month next following the month during which such tax
29 liability is incurred and shall make payments to the
30 Department on or before the 7th, 15th, 22nd and last day of
31 the month during which such liability is incurred. On and
32 after October 1, 2000, if the taxpayer's average monthly tax
33 liability to the Department under this Act, the Retailers'
34 Occupation Tax Act, the Service Occupation Tax Act, and the
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1 Service Use Tax Act was $20,000 or more during the preceding
2 4 complete calendar quarters, he shall file a return with the
3 Department each month by the 20th day of the month next
4 following the month during which such tax liability is
5 incurred and shall make payment to the Department on or
6 before the 7th, 15th, 22nd and last day of or the month
7 during which such liability is incurred. If the month during
8 which such tax liability is incurred began prior to January
9 1, 1985, each payment shall be in an amount equal to 1/4 of
10 the taxpayer's actual liability for the month or an amount
11 set by the Department not to exceed 1/4 of the average
12 monthly liability of the taxpayer to the Department for the
13 preceding 4 complete calendar quarters (excluding the month
14 of highest liability and the month of lowest liability in
15 such 4 quarter period). If the month during which such tax
16 liability is incurred begins on or after January 1, 1985, and
17 prior to January 1, 1987, each payment shall be in an amount
18 equal to 22.5% of the taxpayer's actual liability for the
19 month or 27.5% of the taxpayer's liability for the same
20 calendar month of the preceding year. If the month during
21 which such tax liability is incurred begins on or after
22 January 1, 1987, and prior to January 1, 1988, each payment
23 shall be in an amount equal to 22.5% of the taxpayer's actual
24 liability for the month or 26.25% of the taxpayer's liability
25 for the same calendar month of the preceding year. If the
26 month during which such tax liability is incurred begins on
27 or after January 1, 1988, and prior to January 1, 1989, or
28 begins on or after January 1, 1996, each payment shall be in
29 an amount equal to 22.5% of the taxpayer's actual liability
30 for the month or 25% of the taxpayer's liability for the same
31 calendar month of the preceding year. If the month during
32 which such tax liability is incurred begins on or after
33 January 1, 1989, and prior to January 1, 1996, each payment
34 shall be in an amount equal to 22.5% of the taxpayer's actual
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1 liability for the month or 25% of the taxpayer's liability
2 for the same calendar month of the preceding year or 100% of
3 the taxpayer's actual liability for the quarter monthly
4 reporting period. The amount of such quarter monthly
5 payments shall be credited against the final tax liability of
6 the taxpayer's return for that month. Before October 1,
7 2000, once applicable, the requirement of the making of
8 quarter monthly payments to the Department shall continue
9 until such taxpayer's average monthly liability to the
10 Department during the preceding 4 complete calendar quarters
11 (excluding the month of highest liability and the month of
12 lowest liability) is less than $9,000, or until such
13 taxpayer's average monthly liability to the Department as
14 computed for each calendar quarter of the 4 preceding
15 complete calendar quarter period is less than $10,000.
16 However, if a taxpayer can show the Department that a
17 substantial change in the taxpayer's business has occurred
18 which causes the taxpayer to anticipate that his average
19 monthly tax liability for the reasonably foreseeable future
20 will fall below the $10,000 threshold stated above, then such
21 taxpayer may petition the Department for change in such
22 taxpayer's reporting status. On and after October 1, 2000,
23 once applicable, the requirement of the making of quarter
24 monthly payments to the Department shall continue until such
25 taxpayer's average monthly liability to the Department during
26 the preceding 4 complete calendar quarters (excluding the
27 month of highest liability and the month of lowest liability)
28 is less than $19,000 or until such taxpayer's average monthly
29 liability to the Department as computed for each calendar
30 quarter of the 4 preceding complete calendar quarter period
31 is less than $20,000. However, if a taxpayer can show the
32 Department that a substantial change in the taxpayer's
33 business has occurred which causes the taxpayer to anticipate
34 that his average monthly tax liability for the reasonably
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1 foreseeable future will fall below the $20,000 threshold
2 stated above, then such taxpayer may petition the Department
3 for a change in such taxpayer's reporting status. The
4 Department shall change such taxpayer's reporting status
5 unless it finds that such change is seasonal in nature and
6 not likely to be long term. If any such quarter monthly
7 payment is not paid at the time or in the amount required by
8 this Section, then the taxpayer shall be liable for penalties
9 and interest on the difference between the minimum amount due
10 and the amount of such quarter monthly payment actually and
11 timely paid, except insofar as the taxpayer has previously
12 made payments for that month to the Department in excess of
13 the minimum payments previously due as provided in this
14 Section. The Department shall make reasonable rules and
15 regulations to govern the quarter monthly payment amount and
16 quarter monthly payment dates for taxpayers who file on other
17 than a calendar monthly basis.
18 If any such payment provided for in this Section exceeds
19 the taxpayer's liabilities under this Act, the Retailers'
20 Occupation Tax Act, the Service Occupation Tax Act and the
21 Service Use Tax Act, as shown by an original monthly return,
22 the Department shall issue to the taxpayer a credit
23 memorandum no later than 30 days after the date of payment,
24 which memorandum may be submitted by the taxpayer to the
25 Department in payment of tax liability subsequently to be
26 remitted by the taxpayer to the Department or be assigned by
27 the taxpayer to a similar taxpayer under this Act, the
28 Retailers' Occupation Tax Act, the Service Occupation Tax Act
29 or the Service Use Tax Act, in accordance with reasonable
30 rules and regulations to be prescribed by the Department,
31 except that if such excess payment is shown on an original
32 monthly return and is made after December 31, 1986, no credit
33 memorandum shall be issued, unless requested by the taxpayer.
34 If no such request is made, the taxpayer may credit such
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1 excess payment against tax liability subsequently to be
2 remitted by the taxpayer to the Department under this Act,
3 the Retailers' Occupation Tax Act, the Service Occupation Tax
4 Act or the Service Use Tax Act, in accordance with reasonable
5 rules and regulations prescribed by the Department. If the
6 Department subsequently determines that all or any part of
7 the credit taken was not actually due to the taxpayer, the
8 taxpayer's 2.1% or 1.75% vendor's discount shall be reduced
9 by 2.1% or 1.75% of the difference between the credit taken
10 and that actually due, and the taxpayer shall be liable for
11 penalties and interest on such difference.
12 If the retailer is otherwise required to file a monthly
13 return and if the retailer's average monthly tax liability to
14 the Department does not exceed $200, the Department may
15 authorize his returns to be filed on a quarter annual basis,
16 with the return for January, February, and March of a given
17 year being due by April 20 of such year; with the return for
18 April, May and June of a given year being due by July 20 of
19 such year; with the return for July, August and September of
20 a given year being due by October 20 of such year, and with
21 the return for October, November and December of a given year
22 being due by January 20 of the following year.
23 If the retailer is otherwise required to file a monthly
24 or quarterly return and if the retailer's average monthly tax
25 liability to the Department does not exceed $50, the
26 Department may authorize his returns to be filed on an annual
27 basis, with the return for a given year being due by January
28 20 of the following 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 retailer may file his
34 return, in the case of any retailer who ceases to engage in a
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1 kind of business which makes him responsible for filing
2 returns under this Act, such retailer shall file a final
3 return under this Act with the Department not more than one
4 month after discontinuing such business.
5 In addition, with respect to motor vehicles, watercraft,
6 aircraft, and trailers that are required to be registered
7 with an agency of this State, every retailer selling this
8 kind of tangible personal property shall file, with the
9 Department, upon a form to be prescribed and supplied by the
10 Department, a separate return for each such item of tangible
11 personal property which the retailer sells, except that
12 where, in the same transaction, a retailer of aircraft,
13 watercraft, motor vehicles or trailers transfers more than
14 one aircraft, watercraft, motor vehicle or trailer to another
15 aircraft, watercraft, motor vehicle or trailer retailer for
16 the purpose of resale, that seller for resale may report the
17 transfer of all the aircraft, watercraft, motor vehicles or
18 trailers involved in that transaction to the Department on
19 the same uniform invoice-transaction reporting return form.
20 For purposes of this Section, "watercraft" means a Class 2,
21 Class 3, or Class 4 watercraft as defined in Section 3-2 of
22 the Boat Registration and Safety Act, a personal watercraft,
23 or any boat equipped with an inboard motor.
24 The transaction reporting return in the case of motor
25 vehicles or trailers that are required to be registered with
26 an agency of this State, shall be the same document as the
27 Uniform Invoice referred to in Section 5-402 of the Illinois
28 Vehicle Code and must show the name and address of the
29 seller; the name and address of the purchaser; the amount of
30 the selling price including the amount allowed by the
31 retailer for traded-in property, if any; the amount allowed
32 by the retailer for the traded-in tangible personal property,
33 if any, to the extent to which Section 2 of this Act allows
34 an exemption for the value of traded-in property; the balance
-18- LRB9110257SMdvam20
1 payable after deducting such trade-in allowance from the
2 total selling price; the amount of tax due from the retailer
3 with respect to such transaction; the amount of tax collected
4 from the purchaser by the retailer on such transaction (or
5 satisfactory evidence that such tax is not due in that
6 particular instance, if that is claimed to be the fact); the
7 place and date of the sale; a sufficient identification of
8 the property sold; such other information as is required in
9 Section 5-402 of the Illinois Vehicle Code, and such other
10 information as the Department may reasonably require.
11 The transaction reporting return in the case of
12 watercraft and aircraft must show the name and address of the
13 seller; the name and address of the purchaser; the amount of
14 the selling price including the amount allowed by the
15 retailer for traded-in property, if any; the amount allowed
16 by the retailer for the traded-in tangible personal property,
17 if any, to the extent to which Section 2 of this Act allows
18 an exemption for the value of traded-in property; the balance
19 payable after deducting such trade-in allowance from the
20 total selling price; the amount of tax due from the retailer
21 with respect to such transaction; the amount of tax collected
22 from the purchaser by the retailer on such transaction (or
23 satisfactory evidence that such tax is not due in that
24 particular instance, if that is claimed to be the fact); the
25 place and date of the sale, a sufficient identification of
26 the property sold, and such other information as the
27 Department may reasonably require.
28 Such transaction reporting return shall be filed not
29 later than 20 days after the date of delivery of the item
30 that is being sold, but may be filed by the retailer at any
31 time sooner than that if he chooses to do so. The
32 transaction reporting return and tax remittance or proof of
33 exemption from the tax that is imposed by this Act may be
34 transmitted to the Department by way of the State agency with
-19- LRB9110257SMdvam20
1 which, or State officer with whom, the tangible personal
2 property must be titled or registered (if titling or
3 registration is required) if the Department and such agency
4 or State officer determine that this procedure will expedite
5 the processing of applications for title or registration.
6 With each such transaction reporting return, the retailer
7 shall remit the proper amount of tax due (or shall submit
8 satisfactory evidence that the sale is not taxable if that is
9 the case), to the Department or its agents, whereupon the
10 Department shall issue, in the purchaser's name, a tax
11 receipt (or a certificate of exemption if the Department is
12 satisfied that the particular sale is tax exempt) which such
13 purchaser may submit to the agency with which, or State
14 officer with whom, he must title or register the tangible
15 personal property that is involved (if titling or
16 registration is required) in support of such purchaser's
17 application for an Illinois certificate or other evidence of
18 title or registration to such tangible personal property.
19 No retailer's failure or refusal to remit tax under this
20 Act precludes a user, who has paid the proper tax to the
21 retailer, from obtaining his certificate of title or other
22 evidence of title or registration (if titling or registration
23 is required) upon satisfying the Department that such user
24 has paid the proper tax (if tax is due) to the retailer. The
25 Department shall adopt appropriate rules to carry out the
26 mandate of this paragraph.
27 If the user who would otherwise pay tax to the retailer
28 wants the transaction reporting return filed and the payment
29 of tax or proof of exemption made to the Department before
30 the retailer is willing to take these actions and such user
31 has not paid the tax to the retailer, such user may certify
32 to the fact of such delay by the retailer, and may (upon the
33 Department being satisfied of the truth of such
34 certification) transmit the information required by the
-20- LRB9110257SMdvam20
1 transaction reporting return and the remittance for tax or
2 proof of exemption directly to the Department and obtain his
3 tax receipt or exemption determination, in which event the
4 transaction reporting return and tax remittance (if a tax
5 payment was required) shall be credited by the Department to
6 the proper retailer's account with the Department, but
7 without the 2.1% or 1.75% discount provided for in this
8 Section being allowed. When the user pays the tax directly
9 to the Department, he shall pay the tax in the same amount
10 and in the same form in which it would be remitted if the tax
11 had been remitted to the Department by the retailer.
12 Where a retailer collects the tax with respect to the
13 selling price of tangible personal property which he sells
14 and the purchaser thereafter returns such tangible personal
15 property and the retailer refunds the selling price thereof
16 to the purchaser, such retailer shall also refund, to the
17 purchaser, the tax so collected from the purchaser. When
18 filing his return for the period in which he refunds such tax
19 to the purchaser, the retailer may deduct the amount of the
20 tax so refunded by him to the purchaser from any other use
21 tax which such retailer may be required to pay or remit to
22 the Department, as shown by such return, if the amount of the
23 tax to be deducted was previously remitted to the Department
24 by such retailer. If the retailer has not previously
25 remitted the amount of such tax to the Department, he is
26 entitled to no deduction under this Act upon refunding such
27 tax to the purchaser.
28 Any retailer filing a return under this Section shall
29 also include (for the purpose of paying tax thereon) the
30 total tax covered by such return upon the selling price of
31 tangible personal property purchased by him at retail from a
32 retailer, but as to which the tax imposed by this Act was not
33 collected from the retailer filing such return, and such
34 retailer shall remit the amount of such tax to the Department
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1 when filing such return.
2 If experience indicates such action to be practicable,
3 the Department may prescribe and furnish a combination or
4 joint return which will enable retailers, who are required to
5 file returns hereunder and also under the Retailers'
6 Occupation Tax Act, to furnish all the return information
7 required by both Acts on the one form.
8 Where the retailer has more than one business registered
9 with the Department under separate registration under this
10 Act, such retailer may not file each return that is due as a
11 single return covering all such registered businesses, but
12 shall file separate returns for each such registered
13 business.
14 Beginning January 1, 1990, each month the Department
15 shall pay into the State and Local Sales Tax Reform Fund, a
16 special fund in the State Treasury which is hereby created,
17 the net revenue realized for the preceding month from the 1%
18 tax on sales of food for human consumption which is to be
19 consumed off the premises where it is sold (other than
20 alcoholic beverages, soft drinks and food which has been
21 prepared for immediate consumption) and prescription and
22 nonprescription medicines, drugs, medical appliances and
23 insulin, urine testing materials, syringes and needles used
24 by diabetics.
25 Beginning January 1, 1990, each month the Department
26 shall pay into the County and Mass Transit District Fund 4%
27 of the net revenue realized for the preceding month from the
28 6.25% general rate on the selling price of tangible personal
29 property which is purchased outside Illinois at retail from a
30 retailer and which is titled or registered by an agency of
31 this State's government.
32 Beginning January 1, 1990, each month the Department
33 shall pay into the State and Local Sales Tax Reform Fund, a
34 special fund in the State Treasury, 20% of the net revenue
-22- LRB9110257SMdvam20
1 realized for the preceding month from the 6.25% general rate
2 on the selling price of tangible personal property, other
3 than tangible personal property which is purchased outside
4 Illinois at retail from a retailer and which is titled or
5 registered by an agency of this State's government.
6 Beginning August 1, 2000, each month the Department shall
7 pay into the State and Local Sales Tax Reform Fund 100% of
8 the net revenue realized for the preceding month from the
9 1.25% rate on the selling price of motor fuel and gasohol.
10 Beginning January 1, 1990, each month the Department
11 shall pay into the Local Government Tax Fund 16% of the net
12 revenue realized for the preceding month from the 6.25%
13 general rate on the selling price of tangible personal
14 property which is purchased outside Illinois at retail from a
15 retailer and which is titled or registered by an agency of
16 this State's government.
17 Of the remainder of the moneys received by the Department
18 pursuant to this Act, (a) 1.75% thereof shall be paid into
19 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
20 and on and after July 1, 1989, 3.8% thereof shall be paid
21 into the Build Illinois Fund; provided, however, that if in
22 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
23 as the case may be, of the moneys received by the Department
24 and required to be paid into the Build Illinois Fund pursuant
25 to Section 3 of the Retailers' Occupation Tax Act, Section 9
26 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
27 Section 9 of the Service Occupation Tax Act, such Acts being
28 hereinafter called the "Tax Acts" and such aggregate of 2.2%
29 or 3.8%, as the case may be, of moneys being hereinafter
30 called the "Tax Act Amount", and (2) the amount transferred
31 to the Build Illinois Fund from the State and Local Sales Tax
32 Reform Fund shall be less than the Annual Specified Amount
33 (as defined in Section 3 of the Retailers' Occupation Tax
34 Act), an amount equal to the difference shall be immediately
-23- LRB9110257SMdvam20
1 paid into the Build Illinois Fund from other moneys received
2 by the Department pursuant to the Tax Acts; and further
3 provided, that if on the last business day of any month the
4 sum of (1) the Tax Act Amount required to be deposited into
5 the Build Illinois Bond Account in the Build Illinois Fund
6 during such month and (2) the amount transferred during such
7 month to the Build Illinois Fund from the State and Local
8 Sales Tax Reform Fund shall have been less than 1/12 of the
9 Annual Specified Amount, an amount equal to the difference
10 shall be immediately paid into the Build Illinois Fund from
11 other moneys received by the Department pursuant to the Tax
12 Acts; and, further provided, that in no event shall the
13 payments required under the preceding proviso result in
14 aggregate payments into the Build Illinois Fund pursuant to
15 this clause (b) for any fiscal year in excess of the greater
16 of (i) the Tax Act Amount or (ii) the Annual Specified Amount
17 for such fiscal year; and, further provided, that the amounts
18 payable into the Build Illinois Fund under this clause (b)
19 shall be payable only until such time as the aggregate amount
20 on deposit under each trust indenture securing Bonds issued
21 and outstanding pursuant to the Build Illinois Bond Act is
22 sufficient, taking into account any future investment income,
23 to fully provide, in accordance with such indenture, for the
24 defeasance of or the payment of the principal of, premium, if
25 any, and interest on the Bonds secured by such indenture and
26 on any Bonds expected to be issued thereafter and all fees
27 and costs payable with respect thereto, all as certified by
28 the Director of the Bureau of the Budget. If on the last
29 business day of any month in which Bonds are outstanding
30 pursuant to the Build Illinois Bond Act, the aggregate of the
31 moneys deposited in the Build Illinois Bond Account in the
32 Build Illinois Fund in such month shall be less than the
33 amount required to be transferred in such month from the
34 Build Illinois Bond Account to the Build Illinois Bond
-24- LRB9110257SMdvam20
1 Retirement and Interest Fund pursuant to Section 13 of the
2 Build Illinois Bond Act, an amount equal to such deficiency
3 shall be immediately paid from other moneys received by the
4 Department pursuant to the Tax Acts to the Build Illinois
5 Fund; provided, however, that any amounts paid to the Build
6 Illinois Fund in any fiscal year pursuant to this sentence
7 shall be deemed to constitute payments pursuant to clause (b)
8 of the preceding sentence and shall reduce the amount
9 otherwise payable for such fiscal year pursuant to clause (b)
10 of the preceding sentence. The moneys received by the
11 Department pursuant to this Act and required to be deposited
12 into the Build Illinois Fund are subject to the pledge, claim
13 and charge set forth in Section 12 of the Build Illinois Bond
14 Act.
15 Subject to payment of amounts into the Build Illinois
16 Fund as provided in the preceding paragraph or in any
17 amendment thereto hereafter enacted, the following specified
18 monthly installment of the amount requested in the
19 certificate of the Chairman of the Metropolitan Pier and
20 Exposition Authority provided under Section 8.25f of the
21 State Finance Act, but not in excess of the sums designated
22 as "Total Deposit", shall be deposited in the aggregate from
23 collections under Section 9 of the Use Tax Act, Section 9 of
24 the Service Use Tax Act, Section 9 of the Service Occupation
25 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
26 into the McCormick Place Expansion Project Fund in the
27 specified fiscal years.
28 Fiscal Year Total Deposit
29 1993 $0
30 1994 53,000,000
31 1995 58,000,000
32 1996 61,000,000
33 1997 64,000,000
34 1998 68,000,000
-25- LRB9110257SMdvam20
1 1999 71,000,000
2 2000 75,000,000
3 2001 80,000,000
4 2002 84,000,000
5 2003 89,000,000
6 2004 93,000,000
7 2005 97,000,000
8 2006 102,000,000
9 2007 108,000,000
10 2008 115,000,000
11 2009 120,000,000
12 2010 126,000,000
13 2011 132,000,000
14 2012 138,000,000
15 2013 and 145,000,000
16 each fiscal year
17 thereafter that bonds
18 are outstanding under
19 Section 13.2 of the
20 Metropolitan Pier and
21 Exposition Authority
22 Act, but not after fiscal year 2029.
23 Beginning July 20, 1993 and in each month of each fiscal
24 year thereafter, one-eighth of the amount requested in the
25 certificate of the Chairman of the Metropolitan Pier and
26 Exposition Authority for that fiscal year, less the amount
27 deposited into the McCormick Place Expansion Project Fund by
28 the State Treasurer in the respective month under subsection
29 (g) of Section 13 of the Metropolitan Pier and Exposition
30 Authority Act, plus cumulative deficiencies in the deposits
31 required under this Section for previous months and years,
32 shall be deposited into the McCormick Place Expansion Project
33 Fund, until the full amount requested for the fiscal year,
34 but not in excess of the amount specified above as "Total
-26- LRB9110257SMdvam20
1 Deposit", has been deposited.
2 Subject to payment of amounts into the Build Illinois
3 Fund and the McCormick Place Expansion Project Fund pursuant
4 to the preceding paragraphs or in any amendment thereto
5 hereafter enacted, each month the Department shall pay into
6 the Local Government Distributive Fund .4% of the net revenue
7 realized for the preceding month from the 5% general rate, or
8 .4% of 80% of the net revenue realized for the preceding
9 month from the 6.25% general rate, as the case may be, on the
10 selling price of tangible personal property which amount
11 shall, subject to appropriation, be distributed as provided
12 in Section 2 of the State Revenue Sharing Act. No payments or
13 distributions pursuant to this paragraph shall be made if the
14 tax imposed by this Act on photoprocessing products is
15 declared unconstitutional, or if the proceeds from such tax
16 are unavailable for distribution because of litigation.
17 Subject to payment of amounts into the Build Illinois
18 Fund, the McCormick Place Expansion Project Fund, and the
19 Local Government Distributive Fund pursuant to the preceding
20 paragraphs or in any amendments thereto hereafter enacted,
21 beginning July 1, 1993, the Department shall each month pay
22 into the Illinois Tax Increment Fund 0.27% of 80% of the net
23 revenue realized for the preceding month from the 6.25%
24 general rate on the selling price of tangible personal
25 property.
26 Of the remainder of the moneys received by the Department
27 pursuant to this Act, 75% thereof shall be paid into the
28 State Treasury and 25% shall be reserved in a special account
29 and used only for the transfer to the Common School Fund as
30 part of the monthly transfer from the General Revenue Fund in
31 accordance with Section 8a of the State Finance Act.
32 As soon as possible after the first day of each month,
33 upon certification of the Department of Revenue, the
34 Comptroller shall order transferred and the Treasurer shall
-27- LRB9110257SMdvam20
1 transfer from the General Revenue Fund to the Motor Fuel Tax
2 Fund an amount equal to 1.7% of 80% of the net revenue
3 realized under this Act for the second preceding month.
4 Beginning April 1, 2000, this transfer is no longer required
5 and shall not be made.
6 Net revenue realized for a month shall be the revenue
7 collected by the State pursuant to this Act, less the amount
8 paid out during that month as refunds to taxpayers for
9 overpayment of liability.
10 For greater simplicity of administration, manufacturers,
11 importers and wholesalers whose products are sold at retail
12 in Illinois by numerous retailers, and who wish to do so, may
13 assume the responsibility for accounting and paying to the
14 Department all tax accruing under this Act with respect to
15 such sales, if the retailers who are affected do not make
16 written objection to the Department to this arrangement.
17 (Source: P.A. 90-491, eff. 1-1-99; 90-612, eff. 7-8-98;
18 91-37, eff. 7-1-99; 91-51, eff. 6-30-99; 91-101, eff.
19 7-12-99; 91-541, eff. 8-13-99; revised 9-29-99.)
20 Section 10. The Service Use Tax Act is amended by
21 changing Sections 3-10 and 9 as follows:
22 (35 ILCS 110/3-10) (from Ch. 120, par. 439.33-10)
23 Sec. 3-10. Rate of tax. Unless otherwise provided in
24 this Section, the tax imposed by this Act is at the rate of
25 6.25% of the selling price of tangible personal property
26 transferred as an incident to the sale of service, but, for
27 the purpose of computing this tax, in no event shall the
28 selling price be less than the cost price of the property to
29 the serviceman.
30 Beginning on July 1, 2000 and through December 31, 2000,
31 with respect to motor fuel, as defined in Section 1.1 of the
32 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40
-28- LRB9110257SMdvam20
1 of the Use Tax Act, the tax is imposed at the rate of 1.25%.
2 With respect to gasohol, as defined in the Use Tax Act,
3 the tax imposed by this Act applies to 70% of the selling
4 price of property transferred as an incident to the sale of
5 service on or after January 1, 1990, and before July 1, 2003,
6 and to 100% of the selling price thereafter.
7 At the election of any registered serviceman made for
8 each fiscal year, sales of service in which the aggregate
9 annual cost price of tangible personal property transferred
10 as an incident to the sales of service is less than 35%, or
11 75% in the case of servicemen transferring prescription drugs
12 or servicemen engaged in graphic arts production, of the
13 aggregate annual total gross receipts from all sales of
14 service, the tax imposed by this Act shall be based on the
15 serviceman's cost price of the tangible personal property
16 transferred as an incident to the sale of those services.
17 The tax shall be imposed at the rate of 1% on food
18 prepared for immediate consumption and transferred incident
19 to a sale of service subject to this Act or the Service
20 Occupation Tax Act by an entity licensed under the Hospital
21 Licensing Act, the Nursing Home Care Act, or the Child Care
22 Act of 1969. The tax shall also be imposed at the rate of 1%
23 on food for human consumption that is to be consumed off the
24 premises where it is sold (other than alcoholic beverages,
25 soft drinks, and food that has been prepared for immediate
26 consumption and is not otherwise included in this paragraph)
27 and prescription and nonprescription medicines, drugs,
28 medical appliances, modifications to a motor vehicle for the
29 purpose of rendering it usable by a disabled person, and
30 insulin, urine testing materials, syringes, and needles used
31 by diabetics, for human use. For the purposes of this
32 Section, the term "soft drinks" means any complete, finished,
33 ready-to-use, non-alcoholic drink, whether carbonated or not,
34 including but not limited to soda water, cola, fruit juice,
-29- LRB9110257SMdvam20
1 vegetable juice, carbonated water, and all other preparations
2 commonly known as soft drinks of whatever kind or description
3 that are contained in any closed or sealed bottle, can,
4 carton, or container, regardless of size. "Soft drinks" does
5 not include coffee, tea, non-carbonated water, infant
6 formula, milk or milk products as defined in the Grade A
7 Pasteurized Milk and Milk Products Act, or drinks containing
8 50% or more natural fruit or vegetable juice.
9 Notwithstanding any other provisions of this Act, "food
10 for human consumption that is to be consumed off the premises
11 where it is sold" includes all food sold through a vending
12 machine, except soft drinks and food products that are
13 dispensed hot from a vending machine, regardless of the
14 location of the vending machine.
15 If the property that is acquired from a serviceman is
16 acquired outside Illinois and used outside Illinois before
17 being brought to Illinois for use here and is taxable under
18 this Act, the "selling price" on which the tax is computed
19 shall be reduced by an amount that represents a reasonable
20 allowance for depreciation for the period of prior
21 out-of-state use.
22 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
23 91-51, eff. 6-30-99; 91-541, eff. 8-13-99.)
24 (35 ILCS 110/9) (from Ch. 120, par. 439.39)
25 Sec. 9. Each serviceman required or authorized to
26 collect the tax herein imposed shall pay to the Department
27 the amount of such tax (except as otherwise provided) at the
28 time when he is required to file his return for the period
29 during which such tax was collected, less a discount of 2.1%
30 prior to January 1, 1990 and 1.75% on and after January 1,
31 1990, or $5 per calendar year, whichever is greater, which is
32 allowed to reimburse the serviceman for expenses incurred in
33 collecting the tax, keeping records, preparing and filing
-30- LRB9110257SMdvam20
1 returns, remitting the tax and supplying data to the
2 Department on request. A serviceman need not remit that part
3 of any tax collected by him to the extent that he is required
4 to pay and does pay the tax imposed by the Service Occupation
5 Tax Act with respect to his sale of service involving the
6 incidental transfer by him of the same property.
7 Except as provided hereinafter in this Section, on or
8 before the twentieth day of each calendar month, such
9 serviceman shall file a return for the preceding calendar
10 month in accordance with reasonable Rules and Regulations to
11 be promulgated by the Department. Such return shall be filed
12 on a form prescribed by the Department and shall contain such
13 information as the Department may reasonably require.
14 The Department may require returns to be filed on a
15 quarterly basis. If so required, a return for each calendar
16 quarter shall be filed on or before the twentieth day of the
17 calendar month following the end of such calendar quarter.
18 The taxpayer shall also file a return with the Department for
19 each of the first two months of each calendar quarter, on or
20 before the twentieth day of the following calendar month,
21 stating:
22 1. The name of the seller;
23 2. The address of the principal place of business
24 from which he engages in business as a serviceman in this
25 State;
26 3. The total amount of taxable receipts received by
27 him during the preceding calendar month, including
28 receipts from charge and time sales, but less all
29 deductions allowed by law;
30 4. The amount of credit provided in Section 2d of
31 this Act;
32 5. The amount of tax due;
33 5-5. The signature of the taxpayer; and
34 6. Such other reasonable information as the
-31- LRB9110257SMdvam20
1 Department may require.
2 If a taxpayer fails to sign a return within 30 days after
3 the proper notice and demand for signature by the Department,
4 the return shall be considered valid and any amount shown to
5 be due on the return shall be deemed assessed.
6 Beginning October 1, 1993, a taxpayer who has an average
7 monthly tax liability of $150,000 or more shall make all
8 payments required by rules of the Department by electronic
9 funds transfer. Beginning October 1, 1994, a taxpayer who
10 has an average monthly tax liability of $100,000 or more
11 shall make all payments required by rules of the Department
12 by electronic funds transfer. Beginning October 1, 1995, a
13 taxpayer who has an average monthly tax liability of $50,000
14 or more shall make all payments required by rules of the
15 Department by electronic funds transfer. Beginning October 1,
16 2000, a taxpayer who has an annual tax liability of $200,000
17 or more shall make all payments required by rules of the
18 Department by electronic funds transfer. The term "annual
19 tax liability" shall be the sum of the taxpayer's liabilities
20 under this Act, and under all other State and local
21 occupation and use tax laws administered by the Department,
22 for the immediately preceding calendar year. The term
23 "average monthly tax liability" means the sum of the
24 taxpayer's liabilities under this Act, and under all other
25 State and local occupation and use tax laws administered by
26 the Department, for the immediately preceding calendar year
27 divided by 12.
28 Before August 1 of each year beginning in 1993, the
29 Department shall notify all taxpayers required to make
30 payments by electronic funds transfer. All taxpayers required
31 to make payments by electronic funds transfer shall make
32 those payments for a minimum of one year beginning on October
33 1.
34 Any taxpayer not required to make payments by electronic
-32- LRB9110257SMdvam20
1 funds transfer may make payments by electronic funds transfer
2 with the permission of the Department.
3 All taxpayers required to make payment by electronic
4 funds transfer and any taxpayers authorized to voluntarily
5 make payments by electronic funds transfer shall make those
6 payments in the manner authorized by the Department.
7 The Department shall adopt such rules as are necessary to
8 effectuate a program of electronic funds transfer and the
9 requirements of this Section.
10 If the serviceman is otherwise required to file a monthly
11 return and if the serviceman's average monthly tax liability
12 to the Department does not exceed $200, the Department may
13 authorize his returns to be filed on a quarter annual basis,
14 with the return for January, February and March of a given
15 year being due by April 20 of such year; with the return for
16 April, May and June of a given year being due by July 20 of
17 such year; with the return for July, August and September of
18 a given year being due by October 20 of such year, and with
19 the return for October, November and December of a given year
20 being due by January 20 of the following year.
21 If the serviceman is otherwise required to file a monthly
22 or quarterly return and if the serviceman's average monthly
23 tax liability to the Department does not exceed $50, the
24 Department may authorize his returns to be filed on an annual
25 basis, with the return for a given year being due by January
26 20 of the following year.
27 Such quarter annual and annual returns, as to form and
28 substance, shall be subject to the same requirements as
29 monthly returns.
30 Notwithstanding any other provision in this Act
31 concerning the time within which a serviceman may file his
32 return, in the case of any serviceman who ceases to engage in
33 a kind of business which makes him responsible for filing
34 returns under this Act, such serviceman shall file a final
-33- LRB9110257SMdvam20
1 return under this Act with the Department not more than 1
2 month after discontinuing such business.
3 Where a serviceman collects the tax with respect to the
4 selling price of property which he sells and the purchaser
5 thereafter returns such property and the serviceman refunds
6 the selling price thereof to the purchaser, such serviceman
7 shall also refund, to the purchaser, the tax so collected
8 from the purchaser. When filing his return for the period in
9 which he refunds such tax to the purchaser, the serviceman
10 may deduct the amount of the tax so refunded by him to the
11 purchaser from any other Service Use Tax, Service Occupation
12 Tax, retailers' occupation tax or use tax which such
13 serviceman may be required to pay or remit to the Department,
14 as shown by such return, provided that the amount of the tax
15 to be deducted shall previously have been remitted to the
16 Department by such serviceman. If the serviceman shall not
17 previously have remitted the amount of such tax to the
18 Department, he shall be entitled to no deduction hereunder
19 upon refunding such tax to the purchaser.
20 Any serviceman filing a return hereunder shall also
21 include the total tax upon the selling price of tangible
22 personal property purchased for use by him as an incident to
23 a sale of service, and such serviceman shall remit the amount
24 of such tax to the Department when filing such return.
25 If experience indicates such action to be practicable,
26 the Department may prescribe and furnish a combination or
27 joint return which will enable servicemen, who are required
28 to file returns hereunder and also under the Service
29 Occupation Tax Act, to furnish all the return information
30 required by both Acts on the one form.
31 Where the serviceman has more than one business
32 registered with the Department under separate registration
33 hereunder, such serviceman shall not file each return that is
34 due as a single return covering all such registered
-34- LRB9110257SMdvam20
1 businesses, but shall file separate returns for each such
2 registered business.
3 Beginning January 1, 1990, each month the Department
4 shall pay into the State and Local Tax Reform Fund, a special
5 fund in the State Treasury, the net revenue realized for the
6 preceding month from the 1% tax on sales of food for human
7 consumption which is to be consumed off the premises where it
8 is sold (other than alcoholic beverages, soft drinks and food
9 which has been prepared for immediate consumption) and
10 prescription and nonprescription medicines, drugs, medical
11 appliances and insulin, urine testing materials, syringes and
12 needles used by diabetics.
13 Beginning January 1, 1990, each month the Department
14 shall pay into the State and Local Sales Tax Reform Fund 20%
15 of the net revenue realized for the preceding month from the
16 6.25% general rate on transfers of tangible personal
17 property, other than tangible personal property which is
18 purchased outside Illinois at retail from a retailer and
19 which is titled or registered by an agency of this State's
20 government.
21 Beginning August 1, 2000, each month the Department shall
22 pay into the State and Local Sales Tax Reform Fund 100% of
23 the net revenue realized for the preceding month from the
24 1.25% rate on the selling price of motor fuel and gasohol.
25 Of the remainder of the moneys received by the Department
26 pursuant to this Act, (a) 1.75% thereof shall be paid into
27 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
28 and on and after July 1, 1989, 3.8% thereof shall be paid
29 into the Build Illinois Fund; provided, however, that if in
30 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
31 as the case may be, of the moneys received by the Department
32 and required to be paid into the Build Illinois Fund pursuant
33 to Section 3 of the Retailers' Occupation Tax Act, Section 9
34 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
-35- LRB9110257SMdvam20
1 Section 9 of the Service Occupation Tax Act, such Acts being
2 hereinafter called the "Tax Acts" and such aggregate of 2.2%
3 or 3.8%, as the case may be, of moneys being hereinafter
4 called the "Tax Act Amount", and (2) the amount transferred
5 to the Build Illinois Fund from the State and Local Sales Tax
6 Reform Fund shall be less than the Annual Specified Amount
7 (as defined in Section 3 of the Retailers' Occupation Tax
8 Act), an amount equal to the difference shall be immediately
9 paid into the Build Illinois Fund from other moneys received
10 by the Department pursuant to the Tax Acts; and further
11 provided, that if on the last business day of any month the
12 sum of (1) the Tax Act Amount required to be deposited into
13 the Build Illinois Bond Account in the Build Illinois Fund
14 during such month and (2) the amount transferred during such
15 month to the Build Illinois Fund from the State and Local
16 Sales Tax Reform Fund shall have been less than 1/12 of the
17 Annual Specified Amount, an amount equal to the difference
18 shall be immediately paid into the Build Illinois Fund from
19 other moneys received by the Department pursuant to the Tax
20 Acts; and, further provided, that in no event shall the
21 payments required under the preceding proviso result in
22 aggregate payments into the Build Illinois Fund pursuant to
23 this clause (b) for any fiscal year in excess of the greater
24 of (i) the Tax Act Amount or (ii) the Annual Specified Amount
25 for such fiscal year; and, further provided, that the amounts
26 payable into the Build Illinois Fund under this clause (b)
27 shall be payable only until such time as the aggregate amount
28 on deposit under each trust indenture securing Bonds issued
29 and outstanding pursuant to the Build Illinois Bond Act is
30 sufficient, taking into account any future investment income,
31 to fully provide, in accordance with such indenture, for the
32 defeasance of or the payment of the principal of, premium, if
33 any, and interest on the Bonds secured by such indenture and
34 on any Bonds expected to be issued thereafter and all fees
-36- LRB9110257SMdvam20
1 and costs payable with respect thereto, all as certified by
2 the Director of the Bureau of the Budget. If on the last
3 business day of any month in which Bonds are outstanding
4 pursuant to the Build Illinois Bond Act, the aggregate of the
5 moneys deposited in the Build Illinois Bond Account in the
6 Build Illinois Fund in such month shall be less than the
7 amount required to be transferred in such month from the
8 Build Illinois Bond Account to the Build Illinois Bond
9 Retirement and Interest Fund pursuant to Section 13 of the
10 Build Illinois Bond Act, an amount equal to such deficiency
11 shall be immediately paid from other moneys received by the
12 Department pursuant to the Tax Acts to the Build Illinois
13 Fund; provided, however, that any amounts paid to the Build
14 Illinois Fund in any fiscal year pursuant to this sentence
15 shall be deemed to constitute payments pursuant to clause (b)
16 of the preceding sentence and shall reduce the amount
17 otherwise payable for such fiscal year pursuant to clause (b)
18 of the preceding sentence. The moneys received by the
19 Department pursuant to this Act and required to be deposited
20 into the Build Illinois Fund are subject to the pledge, claim
21 and charge set forth in Section 12 of the Build Illinois Bond
22 Act.
23 Subject to payment of amounts into the Build Illinois
24 Fund as provided in the preceding paragraph or in any
25 amendment thereto hereafter enacted, the following specified
26 monthly installment of the amount requested in the
27 certificate of the Chairman of the Metropolitan Pier and
28 Exposition Authority provided under Section 8.25f of the
29 State Finance Act, but not in excess of the sums designated
30 as "Total Deposit", shall be deposited in the aggregate from
31 collections under Section 9 of the Use Tax Act, Section 9 of
32 the Service Use Tax Act, Section 9 of the Service Occupation
33 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
34 into the McCormick Place Expansion Project Fund in the
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1 specified fiscal years.
2 Fiscal Year Total Deposit
3 1993 $0
4 1994 53,000,000
5 1995 58,000,000
6 1996 61,000,000
7 1997 64,000,000
8 1998 68,000,000
9 1999 71,000,000
10 2000 75,000,000
11 2001 80,000,000
12 2002 84,000,000
13 2003 89,000,000
14 2004 93,000,000
15 2005 97,000,000
16 2006 102,000,000
17 2007 108,000,000
18 2008 115,000,000
19 2009 120,000,000
20 2010 126,000,000
21 2011 132,000,000
22 2012 138,000,000
23 2013 and 145,000,000
24 each fiscal year
25 thereafter that bonds
26 are outstanding under
27 Section 13.2 of the
28 Metropolitan Pier and
29 Exposition Authority Act,
30 but not after fiscal year 2029.
31 Beginning July 20, 1993 and in each month of each fiscal
32 year thereafter, one-eighth of the amount requested in the
33 certificate of the Chairman of the Metropolitan Pier and
34 Exposition Authority for that fiscal year, less the amount
-38- LRB9110257SMdvam20
1 deposited into the McCormick Place Expansion Project Fund by
2 the State Treasurer in the respective month under subsection
3 (g) of Section 13 of the Metropolitan Pier and Exposition
4 Authority Act, plus cumulative deficiencies in the deposits
5 required under this Section for previous months and years,
6 shall be deposited into the McCormick Place Expansion Project
7 Fund, until the full amount requested for the fiscal year,
8 but not in excess of the amount specified above as "Total
9 Deposit", has been deposited.
10 Subject to payment of amounts into the Build Illinois
11 Fund and the McCormick Place Expansion Project Fund pursuant
12 to the preceding paragraphs or in any amendment thereto
13 hereafter enacted, each month the Department shall pay into
14 the Local Government Distributive Fund 0.4% of the net
15 revenue realized for the preceding month from the 5% general
16 rate or 0.4% of 80% of the net revenue realized for the
17 preceding month from the 6.25% general rate, as the case may
18 be, on the selling price of tangible personal property which
19 amount shall, subject to appropriation, be distributed as
20 provided in Section 2 of the State Revenue Sharing Act. No
21 payments or distributions pursuant to this paragraph shall be
22 made if the tax imposed by this Act on photo processing
23 products is declared unconstitutional, or if the proceeds
24 from such tax are unavailable for distribution because of
25 litigation.
26 Subject to payment of amounts into the Build Illinois
27 Fund, the McCormick Place Expansion Project Fund, and the
28 Local Government Distributive Fund pursuant to the preceding
29 paragraphs or in any amendments thereto hereafter enacted,
30 beginning July 1, 1993, the Department shall each month pay
31 into the Illinois Tax Increment Fund 0.27% of 80% of the net
32 revenue realized for the preceding month from the 6.25%
33 general rate on the selling price of tangible personal
34 property.
-39- LRB9110257SMdvam20
1 All remaining moneys received by the Department pursuant
2 to this Act shall be paid into the General Revenue Fund of
3 the State Treasury.
4 As soon as possible after the first day of each month,
5 upon certification of the Department of Revenue, the
6 Comptroller shall order transferred and the Treasurer shall
7 transfer from the General Revenue Fund to the Motor Fuel Tax
8 Fund an amount equal to 1.7% of 80% of the net revenue
9 realized under this Act for the second preceding month.
10 Beginning April 1, 2000, this transfer is no longer required
11 and shall not be made.
12 Net revenue realized for a month shall be the revenue
13 collected by the State pursuant to this Act, less the amount
14 paid out during that month as refunds to taxpayers for
15 overpayment of liability.
16 (Source: P.A. 90-612, eff. 7-8-98; 91-37, eff. 7-1-99; 91-51,
17 eff. 6-30-99; 91-101, eff. 7-12-99; 91-541, eff. 8-13-99;
18 revised 9-27-99.)
19 Section 15. The Service Occupation Tax Act is amended by
20 changing Sections 3-10 and 9 as follows:
21 (35 ILCS 115/3-10) (from Ch. 120, par. 439.103-10)
22 Sec. 3-10. Rate of tax. Unless otherwise provided in
23 this Section, the tax imposed by this Act is at the rate of
24 6.25% of the "selling price", as defined in Section 2 of the
25 Service Use Tax Act, of the tangible personal property. For
26 the purpose of computing this tax, in no event shall the
27 "selling price" be less than the cost price to the serviceman
28 of the tangible personal property transferred. The selling
29 price of each item of tangible personal property transferred
30 as an incident of a sale of service may be shown as a
31 distinct and separate item on the serviceman's billing to the
32 service customer. If the selling price is not so shown, the
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1 selling price of the tangible personal property is deemed to
2 be 50% of the serviceman's entire billing to the service
3 customer. When, however, a serviceman contracts to design,
4 develop, and produce special order machinery or equipment,
5 the tax imposed by this Act shall be based on the
6 serviceman's cost price of the tangible personal property
7 transferred incident to the completion of the contract.
8 Beginning on July 1, 2000 and through December 31, 2000,
9 with respect to motor fuel, as defined in Section 1.1 of the
10 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40
11 of the Use Tax Act, the tax is imposed at the rate of 1.25%.
12 With respect to gasohol, as defined in the Use Tax Act,
13 the tax imposed by this Act shall apply to 70% of the cost
14 price of property transferred as an incident to the sale of
15 service on or after January 1, 1990, and before July 1, 2003,
16 and to 100% of the cost price thereafter.
17 At the election of any registered serviceman made for
18 each fiscal year, sales of service in which the aggregate
19 annual cost price of tangible personal property transferred
20 as an incident to the sales of service is less than 35%, or
21 75% in the case of servicemen transferring prescription drugs
22 or servicemen engaged in graphic arts production, of the
23 aggregate annual total gross receipts from all sales of
24 service, the tax imposed by this Act shall be based on the
25 serviceman's cost price of the tangible personal property
26 transferred incident to the sale of those services.
27 The tax shall be imposed at the rate of 1% on food
28 prepared for immediate consumption and transferred incident
29 to a sale of service subject to this Act or the Service
30 Occupation Tax Act by an entity licensed under the Hospital
31 Licensing Act, the Nursing Home Care Act, or the Child Care
32 Act of 1969. The tax shall also be imposed at the rate of 1%
33 on food for human consumption that is to be consumed off the
34 premises where it is sold (other than alcoholic beverages,
-41- LRB9110257SMdvam20
1 soft drinks, and food that has been prepared for immediate
2 consumption and is not otherwise included in this paragraph)
3 and prescription and nonprescription medicines, drugs,
4 medical appliances, modifications to a motor vehicle for the
5 purpose of rendering it usable by a disabled person, and
6 insulin, urine testing materials, syringes, and needles used
7 by diabetics, for human use. For the purposes of this
8 Section, the term "soft drinks" means any complete, finished,
9 ready-to-use, non-alcoholic drink, whether carbonated or not,
10 including but not limited to soda water, cola, fruit juice,
11 vegetable juice, carbonated water, and all other preparations
12 commonly known as soft drinks of whatever kind or description
13 that are contained in any closed or sealed can, carton, or
14 container, regardless of size. "Soft drinks" does not
15 include coffee, tea, non-carbonated water, infant formula,
16 milk or milk products as defined in the Grade A Pasteurized
17 Milk and Milk Products Act, or drinks containing 50% or more
18 natural fruit or vegetable juice.
19 Notwithstanding any other provisions of this Act, "food
20 for human consumption that is to be consumed off the premises
21 where it is sold" includes all food sold through a vending
22 machine, except soft drinks and food products that are
23 dispensed hot from a vending machine, regardless of the
24 location of the vending machine.
25 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
26 91-51, 6-30-99; 91-541, eff. 8-13-99.)
27 (35 ILCS 115/9) (from Ch. 120, par. 439.109)
28 Sec. 9. Each serviceman required or authorized to
29 collect the tax herein imposed shall pay to the Department
30 the amount of such tax at the time when he is required to
31 file his return for the period during which such tax was
32 collectible, less a discount of 2.1% prior to January 1,
33 1990, and 1.75% on and after January 1, 1990, or $5 per
-42- LRB9110257SMdvam20
1 calendar year, whichever is greater, which is allowed to
2 reimburse the serviceman for expenses incurred in collecting
3 the tax, keeping records, preparing and filing returns,
4 remitting the tax and supplying data to the Department on
5 request.
6 Where such tangible personal property is sold under a
7 conditional sales contract, or under any other form of sale
8 wherein the payment of the principal sum, or a part thereof,
9 is extended beyond the close of the period for which the
10 return is filed, the serviceman, in collecting the tax may
11 collect, for each tax return period, only the tax applicable
12 to the part of the selling price actually received during
13 such tax return period.
14 Except as provided hereinafter in this Section, on or
15 before the twentieth day of each calendar month, such
16 serviceman shall file a return for the preceding calendar
17 month in accordance with reasonable rules and regulations to
18 be promulgated by the Department of Revenue. Such return
19 shall be filed on a form prescribed by the Department and
20 shall contain such information as the Department may
21 reasonably require.
22 The Department may require returns to be filed on a
23 quarterly basis. If so required, a return for each calendar
24 quarter shall be filed on or before the twentieth day of the
25 calendar month following the end of such calendar quarter.
26 The taxpayer shall also file a return with the Department for
27 each of the first two months of each calendar quarter, on or
28 before the twentieth day of the following calendar month,
29 stating:
30 1. The name of the seller;
31 2. The address of the principal place of business
32 from which he engages in business as a serviceman in this
33 State;
34 3. The total amount of taxable receipts received by
-43- LRB9110257SMdvam20
1 him during the preceding calendar month, including
2 receipts from charge and time sales, but less all
3 deductions allowed by law;
4 4. The amount of credit provided in Section 2d of
5 this Act;
6 5. The amount of tax due;
7 5-5. The signature of the taxpayer; and
8 6. Such other reasonable information as the
9 Department may require.
10 If a taxpayer fails to sign a return within 30 days after
11 the proper notice and demand for signature by the Department,
12 the return shall be considered valid and any amount shown to
13 be due on the return shall be deemed assessed.
14 A serviceman may accept a Manufacturer's Purchase Credit
15 certification from a purchaser in satisfaction of Service Use
16 Tax as provided in Section 3-70 of the Service Use Tax Act if
17 the purchaser provides the appropriate documentation as
18 required by Section 3-70 of the Service Use Tax Act. A
19 Manufacturer's Purchase Credit certification, accepted by a
20 serviceman as provided in Section 3-70 of the Service Use Tax
21 Act, may be used by that serviceman to satisfy Service
22 Occupation Tax liability in the amount claimed in the
23 certification, not to exceed 6.25% of the receipts subject to
24 tax from a qualifying purchase.
25 If the serviceman's average monthly tax liability to the
26 Department does not exceed $200, the Department may authorize
27 his returns to be filed on a quarter annual basis, with the
28 return for January, February and March of a given year being
29 due by April 20 of such year; with the return for April, May
30 and June of a given year being due by July 20 of such year;
31 with the return for July, August and September of a given
32 year being due by October 20 of such year, and with the
33 return for October, November and December of a given year
34 being due by January 20 of the following year.
-44- LRB9110257SMdvam20
1 If the serviceman's average monthly tax liability to the
2 Department does not exceed $50, the Department may authorize
3 his returns to be filed on an annual basis, with the return
4 for a given year being due by January 20 of the following
5 year.
6 Such quarter annual and annual returns, as to form and
7 substance, shall be subject to the same requirements as
8 monthly returns.
9 Notwithstanding any other provision in this Act
10 concerning the time within which a serviceman may file his
11 return, in the case of any serviceman who ceases to engage in
12 a kind of business which makes him responsible for filing
13 returns under this Act, such serviceman shall file a final
14 return under this Act with the Department not more than 1
15 month after discontinuing such business.
16 Beginning October 1, 1993, a taxpayer who has an average
17 monthly tax liability of $150,000 or more shall make all
18 payments required by rules of the Department by electronic
19 funds transfer. Beginning October 1, 1994, a taxpayer who
20 has an average monthly tax liability of $100,000 or more
21 shall make all payments required by rules of the Department
22 by electronic funds transfer. Beginning October 1, 1995, a
23 taxpayer who has an average monthly tax liability of $50,000
24 or more shall make all payments required by rules of the
25 Department by electronic funds transfer. Beginning October
26 1, 2000, a taxpayer who has an annual tax liability of
27 $200,000 or more shall make all payments required by rules of
28 the Department by electronic funds transfer. The term
29 "annual tax liability" shall be the sum of the taxpayer's
30 liabilities under this Act, and under all other State and
31 local occupation and use tax laws administered by the
32 Department, for the immediately preceding calendar year. The
33 term "average monthly tax liability" means the sum of the
34 taxpayer's liabilities under this Act, and under all other
-45- LRB9110257SMdvam20
1 State and local occupation and use tax laws administered by
2 the Department, for the immediately preceding calendar year
3 divided by 12.
4 Before August 1 of each year beginning in 1993, the
5 Department shall notify all taxpayers required to make
6 payments by electronic funds transfer. All taxpayers
7 required to make payments by electronic funds transfer shall
8 make those payments for a minimum of one year beginning on
9 October 1.
10 Any taxpayer not required to make payments by electronic
11 funds transfer may make payments by electronic funds transfer
12 with the permission of the Department.
13 All taxpayers required to make payment by electronic
14 funds transfer and any taxpayers authorized to voluntarily
15 make payments by electronic funds transfer shall make those
16 payments in the manner authorized by the Department.
17 The Department shall adopt such rules as are necessary to
18 effectuate a program of electronic funds transfer and the
19 requirements of this Section.
20 Where a serviceman collects the tax with respect to the
21 selling price of tangible personal property which he sells
22 and the purchaser thereafter returns such tangible personal
23 property and the serviceman refunds the selling price thereof
24 to the purchaser, such serviceman shall also refund, to the
25 purchaser, the tax so collected from the purchaser. When
26 filing his return for the period in which he refunds such tax
27 to the purchaser, the serviceman may deduct the amount of the
28 tax so refunded by him to the purchaser from any other
29 Service Occupation Tax, Service Use Tax, Retailers'
30 Occupation Tax or Use Tax which such serviceman may be
31 required to pay or remit to the Department, as shown by such
32 return, provided that the amount of the tax to be deducted
33 shall previously have been remitted to the Department by such
34 serviceman. If the serviceman shall not previously have
-46- LRB9110257SMdvam20
1 remitted the amount of such tax to the Department, he shall
2 be entitled to no deduction hereunder upon refunding such tax
3 to the purchaser.
4 If experience indicates such action to be practicable,
5 the Department may prescribe and furnish a combination or
6 joint return which will enable servicemen, who are required
7 to file returns hereunder and also under the Retailers'
8 Occupation Tax Act, the Use Tax Act or the Service Use Tax
9 Act, to furnish all the return information required by all
10 said Acts on the one form.
11 Where the serviceman has more than one business
12 registered with the Department under separate registrations
13 hereunder, such serviceman shall file separate returns for
14 each registered business.
15 Beginning January 1, 1990, each month the Department
16 shall pay into the Local Government Tax Fund the revenue
17 realized for the preceding month from the 1% tax on sales of
18 food for human consumption which is to be consumed off the
19 premises where it is sold (other than alcoholic beverages,
20 soft drinks and food which has been prepared for immediate
21 consumption) and prescription and nonprescription medicines,
22 drugs, medical appliances and insulin, urine testing
23 materials, syringes and needles used by diabetics.
24 Beginning January 1, 1990, each month the Department
25 shall pay into the County and Mass Transit District Fund 4%
26 of the revenue realized for the preceding month from the
27 6.25% general rate.
28 Beginning August 1, 2000, each month the Department shall
29 pay into the County and Mass Transit District Fund 20% of the
30 net revenue realized for the preceding month from the 1.25%
31 rate on the selling price of motor fuel and gasohol.
32 Beginning January 1, 1990, each month the Department
33 shall pay into the Local Government Tax Fund 16% of the
34 revenue realized for the preceding month from the 6.25%
-47- LRB9110257SMdvam20
1 general rate on transfers of tangible personal property.
2 Beginning August 1, 2000, each month the Department shall
3 pay into the Local Government Tax Fund 80% of the net revenue
4 realized for the preceding month from the 1.25% rate on the
5 selling 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 Account in the Build Illinois Fund during
29 such month and (2) the amount transferred during such month
30 to the Build Illinois Fund from the State and Local Sales Tax
31 Reform Fund shall have been less than 1/12 of the Annual
32 Specified Amount, an amount equal to the difference shall be
33 immediately paid into the Build Illinois Fund from other
34 moneys received by the Department pursuant to the Tax Acts;
-48- LRB9110257SMdvam20
1 and, further provided, that in no event shall the payments
2 required under the preceding proviso result in aggregate
3 payments into the Build Illinois Fund pursuant to this clause
4 (b) for any fiscal year in excess of the greater of (i) the
5 Tax Act Amount or (ii) the Annual Specified Amount for such
6 fiscal year; and, further provided, that the amounts payable
7 into the Build Illinois Fund under this clause (b) shall be
8 payable only until such time as the aggregate amount on
9 deposit under each trust indenture securing Bonds issued and
10 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
-49- LRB9110257SMdvam20
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
-50- LRB9110257SMdvam20
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
11 Act, 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
-51- LRB9110257SMdvam20
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 photoprocessing
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 Remaining moneys received by the Department pursuant to
17 this Act shall be paid into the General Revenue Fund of the
18 State Treasury.
19 The Department may, upon separate written notice to a
20 taxpayer, require the taxpayer to prepare and file with the
21 Department on a form prescribed by the Department within not
22 less than 60 days after receipt of the notice an annual
23 information return for the tax year specified in the notice.
24 Such annual return to the Department shall include a
25 statement of gross receipts as shown by the taxpayer's last
26 Federal income tax return. If the total receipts of the
27 business as reported in the Federal income tax return do not
28 agree with the gross receipts reported to the Department of
29 Revenue for the same period, the taxpayer shall attach to his
30 annual return a schedule showing a reconciliation of the 2
31 amounts and the reasons for the difference. The taxpayer's
32 annual return to the Department shall also disclose the cost
33 of goods sold by the taxpayer during the year covered by such
34 return, opening and closing inventories of such goods for
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1 such year, cost of goods used from stock or taken from stock
2 and given away by the taxpayer during such year, pay roll
3 information of the taxpayer's business during such year and
4 any additional reasonable information which the Department
5 deems would be helpful in determining the accuracy of the
6 monthly, quarterly or annual returns filed by such taxpayer
7 as hereinbefore provided for in this Section.
8 If the annual information return required by this Section
9 is not filed when and as required, the taxpayer shall be
10 liable as follows:
11 (i) Until January 1, 1994, the taxpayer shall be
12 liable for a penalty equal to 1/6 of 1% of the tax due
13 from such taxpayer under this Act during the period to be
14 covered by the annual return for each month or fraction
15 of a month until such return is filed as required, the
16 penalty to be assessed and collected in the same manner
17 as any other penalty provided for in this Act.
18 (ii) On and after January 1, 1994, the taxpayer
19 shall be liable for a penalty as described in Section 3-4
20 of the Uniform Penalty and Interest Act.
21 The chief executive officer, proprietor, owner or highest
22 ranking manager shall sign the annual return to certify the
23 accuracy of the information contained therein. Any person
24 who willfully signs the annual return containing false or
25 inaccurate information shall be guilty of perjury and
26 punished accordingly. The annual return form prescribed by
27 the Department shall include a warning that the person
28 signing the return may be liable for perjury.
29 The foregoing portion of this Section concerning the
30 filing of an annual information return shall not apply to a
31 serviceman who is not required to file an income tax return
32 with the United States Government.
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, it shall be
12 permissible for manufacturers, importers and wholesalers
13 whose products are sold by numerous servicemen in Illinois,
14 and who wish to do so, to assume the responsibility for
15 accounting and paying to the Department all tax accruing
16 under this Act with respect to such sales, if the servicemen
17 who are affected do not make written objection to the
18 Department to this arrangement.
19 (Source: P.A. 90-612, eff. 7-8-98; 91-37, eff. 7-1-99; 91-51,
20 eff. 6-30-99; 91-101, eff. 7-12-99; 91-541, eff. 8-13-99;
21 revised 9-28-99.)
22 Section 20. The Retailers' Occupation Tax Act is amended
23 by changing Sections 2-10, 2d, and 3 as follows:
24 (35 ILCS 120/2-10) (from Ch. 120, par. 441-10)
25 Sec. 2-10. Rate of tax. Unless otherwise provided in
26 this Section, the tax imposed by this Act is at the rate of
27 6.25% of gross receipts from sales of tangible personal
28 property made in the course of business.
29 Beginning on July 1, 2000 and through December 31, 2000,
30 with respect to motor fuel, as defined in Section 1.1 of the
31 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40
32 of the Use Tax Act, the tax is imposed at the rate of 1.25%.
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1 Within 14 days after the effective date of this
2 amendatory Act of the 91st General Assembly, each retailer of
3 motor fuel and gasohol shall cause the following notice to be
4 posted in a prominently visible place on each retail
5 dispensing device that is used to dispense motor fuel or
6 gasohol in the State of Illinois: "As of July 1, 2000, the
7 State of Illinois has eliminated the State's share of sales
8 tax on motor fuel and gasohol through December 31, 2000. The
9 price on this pump should reflect the elimination of the
10 tax." The notice shall be printed in bold print on a sign
11 that is no smaller than 4 inches by 8 inches. The sign shall
12 be clearly visible to customers. Any retailer who fails to
13 post or maintain a required sign through December 31, 2000 is
14 guilty of a petty offense for which the fine shall be $500
15 per day per each retail premises where a violation occurs.
16 With respect to gasohol, as defined in the Use Tax Act,
17 the tax imposed by this Act applies to 70% of the proceeds of
18 sales made on or after January 1, 1990, and before July 1,
19 2003, and to 100% of the proceeds of sales made thereafter.
20 With respect to food for human consumption that is to be
21 consumed off the premises where it is sold (other than
22 alcoholic beverages, soft drinks, and food that has been
23 prepared for immediate consumption) and prescription and
24 nonprescription medicines, drugs, medical appliances,
25 modifications to a motor vehicle for the purpose of rendering
26 it usable by a disabled person, and insulin, urine testing
27 materials, syringes, and needles used by diabetics, for human
28 use, the tax is imposed at the rate of 1%. For the purposes
29 of this Section, the term "soft drinks" means any complete,
30 finished, ready-to-use, non-alcoholic drink, whether
31 carbonated or not, including but not limited to soda water,
32 cola, fruit juice, vegetable juice, carbonated water, and all
33 other preparations commonly known as soft drinks of whatever
34 kind or description that are contained in any closed or
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1 sealed bottle, can, carton, or container, regardless of size.
2 "Soft drinks" does not include coffee, tea, non-carbonated
3 water, infant formula, milk or milk products as defined in
4 the Grade A Pasteurized Milk and Milk Products Act, or drinks
5 containing 50% or more natural fruit or vegetable juice.
6 Notwithstanding any other provisions of this Act, "food
7 for human consumption that is to be consumed off the premises
8 where it is sold" includes all food sold through a vending
9 machine, except soft drinks and food products that are
10 dispensed hot from a vending machine, regardless of the
11 location of the vending machine.
12 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
13 91-51, eff. 6-30-99.)
14 (35 ILCS 120/2d) (from Ch. 120, par. 441d)
15 Sec. 2d. Tax prepayment by motor fuel retailer. Any
16 person engaged in the business of selling motor fuel at
17 retail, as defined in the Motor Fuel Tax Law, and who is not
18 a licensed distributor or supplier, as defined in the Motor
19 Fuel Tax Law, shall prepay to his or her distributor,
20 supplier, or other reseller of motor fuel a portion of the
21 tax imposed by this Act if the distributor, supplier, or
22 other reseller of motor fuel is registered under Section 2a
23 or Section 2c of this Act. The prepayment requirement
24 provided for in this Section does not apply to liquid propane
25 gas.
26 Beginning on July 1, 2000 and through December 31, 2000,
27 the Retailers' Occupation Tax paid to the distributor,
28 supplier, or other reseller shall be an amount equal to $0.01
29 $0.04 per gallon of the motor fuel, except gasohol as defined
30 in Section 2-10 of this Act which shall be an amount equal to
31 $0.01 $0.03 per gallon, purchased from the distributor,
32 supplier, or other reseller.
33 Before July 1, 2000 and then beginning on January 1, 2001
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1 and thereafter, the Retailers' Occupation Tax paid to the
2 distributor, supplier, or other reseller shall be an amount
3 equal to $0.04 per gallon of the motor fuel, except gasohol
4 as defined in Section 2-10 of this Act which shall be an
5 amount equal to $0.03 per gallon, purchased from the
6 distributor, supplier, or other reseller.
7 Any person engaged in the business of selling motor fuel
8 at retail shall be entitled to a credit against tax due under
9 this Act in an amount equal to the tax paid to the
10 distributor, supplier, or other reseller.
11 Every distributor, supplier, or other reseller registered
12 as provided in Section 2a or Section 2c of this Act shall
13 remit the prepaid tax on all motor fuel that is due from any
14 person engaged in the business of selling at retail motor
15 fuel with the returns filed under Section 2f or Section 3 of
16 this Act, but the vendors discount provided in Section 3
17 shall not apply to the amount of prepaid tax that is
18 remitted. Any distributor or supplier who fails to properly
19 collect and remit the tax shall be liable for the tax. For
20 purposes of this Section, the prepaid tax is due on invoiced
21 gallons sold during a month by the 20th day of the following
22 month.
23 (Source: P.A. 86-1475; 87-14.)
24 (35 ILCS 120/3) (from Ch. 120, par. 442)
25 Sec. 3. Except as provided in this Section, on or before
26 the twentieth day of each calendar month, every person
27 engaged in the business of selling tangible personal property
28 at retail in this State during the preceding calendar month
29 shall file a return with the Department, stating:
30 1. The name of the seller;
31 2. His residence address and the address of his
32 principal place of business and the address of the
33 principal place of business (if that is a different
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1 address) from which he engages in the business of selling
2 tangible personal property at retail in this State;
3 3. Total amount of receipts received by him during
4 the preceding calendar month or quarter, as the case may
5 be, from sales of tangible personal property, and from
6 services furnished, by him during such preceding calendar
7 month or quarter;
8 4. Total amount received by him during the
9 preceding calendar month or quarter on charge and time
10 sales of tangible personal property, and from services
11 furnished, by him prior to the month or quarter for which
12 the return is filed;
13 5. Deductions allowed by law;
14 6. Gross receipts which were received by him during
15 the preceding calendar month or quarter and upon the
16 basis of which the tax is imposed;
17 7. The amount of credit provided in Section 2d of
18 this Act;
19 8. The amount of tax due;
20 9. The signature of the taxpayer; and
21 10. Such other reasonable information as the
22 Department may require.
23 If a taxpayer fails to sign a return within 30 days after
24 the proper notice and demand for signature by the Department,
25 the return shall be considered valid and any amount shown to
26 be due on the return shall be deemed assessed.
27 Each return shall be accompanied by the statement of
28 prepaid tax issued pursuant to Section 2e for which credit is
29 claimed.
30 A retailer may accept a Manufacturer's Purchase Credit
31 certification from a purchaser in satisfaction of Use Tax as
32 provided in Section 3-85 of the Use Tax Act if the purchaser
33 provides the appropriate documentation as required by Section
34 3-85 of the Use Tax Act. A Manufacturer's Purchase Credit
-58- LRB9110257SMdvam20
1 certification, accepted by a retailer as provided in Section
2 3-85 of the Use Tax Act, may be used by that retailer to
3 satisfy Retailers' Occupation Tax liability in the amount
4 claimed in the certification, not to exceed 6.25% of the
5 receipts subject to tax from a qualifying purchase.
6 The Department may require returns to be filed on a
7 quarterly basis. If so required, a return for each calendar
8 quarter shall be filed on or before the twentieth day of the
9 calendar month following the end of such calendar quarter.
10 The taxpayer shall also file a return with the Department for
11 each of the first two months of each calendar quarter, on or
12 before the twentieth day of the following calendar month,
13 stating:
14 1. The name of the seller;
15 2. The address of the principal place of business
16 from which he engages in the business of selling tangible
17 personal property at retail in this State;
18 3. The total amount of taxable receipts received by
19 him during the preceding calendar month from sales of
20 tangible personal property by him during such preceding
21 calendar month, including receipts from charge and time
22 sales, but less all deductions allowed by law;
23 4. The amount of credit provided in Section 2d of
24 this Act;
25 5. The amount of tax due; and
26 6. Such other reasonable information as the
27 Department may require.
28 If a total amount of less than $1 is payable, refundable
29 or creditable, such amount shall be disregarded if it is less
30 than 50 cents and shall be increased to $1 if it is 50 cents
31 or more.
32 Beginning October 1, 1993, a taxpayer who has an average
33 monthly tax liability of $150,000 or more shall make all
34 payments required by rules of the Department by electronic
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1 funds transfer. Beginning October 1, 1994, a taxpayer who
2 has an average monthly tax liability of $100,000 or more
3 shall make all payments required by rules of the Department
4 by electronic funds transfer. Beginning October 1, 1995, a
5 taxpayer who has an average monthly tax liability of $50,000
6 or more shall make all payments required by rules of the
7 Department by electronic funds transfer. Beginning October
8 1, 2000, a taxpayer who has an annual tax liability of
9 $200,000 or more shall make all payments required by rules of
10 the Department by electronic funds transfer. The term
11 "annual tax liability" shall be the sum of the taxpayer's
12 liabilities under this Act, and under all other State and
13 local occupation and use tax laws administered by the
14 Department, for the immediately preceding calendar year. The
15 term "average monthly tax liability" shall be the sum of the
16 taxpayer's liabilities under this Act, and under all other
17 State and local occupation and use tax laws administered by
18 the Department, for the immediately preceding calendar year
19 divided by 12.
20 Before August 1 of each year beginning in 1993, the
21 Department shall notify all taxpayers required to make
22 payments by electronic funds transfer. All taxpayers
23 required to make payments by electronic funds transfer shall
24 make those payments for a minimum of one year beginning on
25 October 1.
26 Any taxpayer not required to make payments by electronic
27 funds transfer may make payments by electronic funds transfer
28 with the permission of the Department.
29 All taxpayers required to make payment by electronic
30 funds transfer and any taxpayers authorized to voluntarily
31 make payments by electronic funds transfer shall make those
32 payments in the manner authorized by the Department.
33 The Department shall adopt such rules as are necessary to
34 effectuate a program of electronic funds transfer and the
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1 requirements of this Section.
2 Any amount which is required to be shown or reported on
3 any return or other document under this Act shall, if such
4 amount is not a whole-dollar amount, be increased to the
5 nearest whole-dollar amount in any case where the fractional
6 part of a dollar is 50 cents or more, and decreased to the
7 nearest whole-dollar amount where the fractional part of a
8 dollar is less than 50 cents.
9 If the retailer is otherwise required to file a monthly
10 return and if the retailer's average monthly tax liability to
11 the Department does not exceed $200, the Department may
12 authorize his returns to be filed on a quarter annual basis,
13 with the return for January, February and March of a given
14 year being due by April 20 of such year; with the return for
15 April, May and June of a given year being due by July 20 of
16 such year; with the return for July, August and September of
17 a given year being due by October 20 of such year, and with
18 the return for October, November and December of a given year
19 being due by January 20 of the following year.
20 If the retailer is otherwise required to file a monthly
21 or quarterly return and if the retailer's average monthly tax
22 liability with the Department does not exceed $50, the
23 Department may authorize his returns to be filed on an annual
24 basis, with the return for a given year being due by January
25 20 of the following year.
26 Such quarter annual and annual returns, as to form and
27 substance, shall be subject to the same requirements as
28 monthly returns.
29 Notwithstanding any other provision in this Act
30 concerning the time within which a retailer may file his
31 return, in the case of any retailer who ceases to engage in a
32 kind of business which makes him responsible for filing
33 returns under this Act, such retailer shall file a final
34 return under this Act with the Department not more than one
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1 month after discontinuing such business.
2 Where the same person has more than one business
3 registered with the Department under separate registrations
4 under this Act, such person may not file each return that is
5 due as a single return covering all such registered
6 businesses, but shall file separate returns for each such
7 registered business.
8 In addition, with respect to motor vehicles, watercraft,
9 aircraft, and trailers that are required to be registered
10 with an agency of this State, every retailer selling this
11 kind of tangible personal property shall file, with the
12 Department, upon a form to be prescribed and supplied by the
13 Department, a separate return for each such item of tangible
14 personal property which the retailer sells, except that
15 where, in the same transaction, a retailer of aircraft,
16 watercraft, motor vehicles or trailers transfers more than
17 one aircraft, watercraft, motor vehicle or trailer to another
18 aircraft, watercraft, motor vehicle retailer or trailer
19 retailer for the purpose of resale, that seller for resale
20 may report the transfer of all aircraft, watercraft, motor
21 vehicles or trailers involved in that transaction to the
22 Department on the same uniform invoice-transaction reporting
23 return form. For purposes of this Section, "watercraft"
24 means a Class 2, Class 3, or Class 4 watercraft as defined in
25 Section 3-2 of the Boat Registration and Safety Act, a
26 personal watercraft, or any boat equipped with an inboard
27 motor.
28 Any retailer who sells only motor vehicles, watercraft,
29 aircraft, or trailers that are required to be registered with
30 an agency of this State, so that all retailers' occupation
31 tax liability is required to be reported, and is reported, on
32 such transaction reporting returns and who is not otherwise
33 required to file monthly or quarterly returns, need not file
34 monthly or quarterly returns. However, those retailers shall
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1 be required to file returns on an annual basis.
2 The transaction reporting return, in the case of motor
3 vehicles or trailers that are required to be registered with
4 an agency of this State, shall be the same document as the
5 Uniform Invoice referred to in Section 5-402 of The Illinois
6 Vehicle Code and must show the name and address of the
7 seller; the name and address of the purchaser; the amount of
8 the selling price including the amount allowed by the
9 retailer for traded-in property, if any; the amount allowed
10 by the retailer for the traded-in tangible personal property,
11 if any, to the extent to which Section 1 of this Act allows
12 an exemption for the value of traded-in property; the balance
13 payable after deducting such trade-in allowance from the
14 total selling price; the amount of tax due from the retailer
15 with respect to such transaction; the amount of tax collected
16 from the purchaser by the retailer on such transaction (or
17 satisfactory evidence that such tax is not due in that
18 particular instance, if that is claimed to be the fact); the
19 place and date of the sale; a sufficient identification of
20 the property sold; such other information as is required in
21 Section 5-402 of The Illinois Vehicle Code, and such other
22 information as the Department may reasonably require.
23 The transaction reporting return in the case of
24 watercraft or aircraft must show the name and address of the
25 seller; the name and address of the purchaser; the amount of
26 the selling price including the amount allowed by the
27 retailer for traded-in property, if any; the amount allowed
28 by the retailer for the traded-in tangible personal property,
29 if any, to the extent to which Section 1 of this Act allows
30 an exemption for the value of traded-in property; the balance
31 payable after deducting such trade-in allowance from the
32 total selling price; the amount of tax due from the retailer
33 with respect to such transaction; the amount of tax collected
34 from the purchaser by the retailer on such transaction (or
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1 satisfactory evidence that such tax is not due in that
2 particular instance, if that is claimed to be the fact); the
3 place and date of the sale, a sufficient identification of
4 the property sold, and such other information as the
5 Department may reasonably require.
6 Such transaction reporting return shall be filed not
7 later than 20 days after the day of delivery of the item that
8 is being sold, but may be filed by the retailer at any time
9 sooner than that if he chooses to do so. The transaction
10 reporting return and tax remittance or proof of exemption
11 from the Illinois use tax may be transmitted to the
12 Department by way of the State agency with which, or State
13 officer with whom the tangible personal property must be
14 titled or registered (if titling or registration is required)
15 if the Department and such agency or State officer determine
16 that this procedure will expedite the processing of
17 applications for title or registration.
18 With each such transaction reporting return, the retailer
19 shall remit the proper amount of tax due (or shall submit
20 satisfactory evidence that the sale is not taxable if that is
21 the case), to the Department or its agents, whereupon the
22 Department shall issue, in the purchaser's name, a use tax
23 receipt (or a certificate of exemption if the Department is
24 satisfied that the particular sale is tax exempt) which such
25 purchaser may submit to the agency with which, or State
26 officer with whom, he must title or register the tangible
27 personal property that is involved (if titling or
28 registration is required) in support of such purchaser's
29 application for an Illinois certificate or other evidence of
30 title or registration to such tangible personal property.
31 No retailer's failure or refusal to remit tax under this
32 Act precludes a user, who has paid the proper tax to the
33 retailer, from obtaining his certificate of title or other
34 evidence of title or registration (if titling or registration
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1 is required) upon satisfying the Department that such user
2 has paid the proper tax (if tax is due) to the retailer. The
3 Department shall adopt appropriate rules to carry out the
4 mandate of this paragraph.
5 If the user who would otherwise pay tax to the retailer
6 wants the transaction reporting return filed and the payment
7 of the tax or proof of exemption made to the Department
8 before the retailer is willing to take these actions and such
9 user has not paid the tax to the retailer, such user may
10 certify to the fact of such delay by the retailer and may
11 (upon the Department being satisfied of the truth of such
12 certification) transmit the information required by the
13 transaction reporting return and the remittance for tax or
14 proof of exemption directly to the Department and obtain his
15 tax receipt or exemption determination, in which event the
16 transaction reporting return and tax remittance (if a tax
17 payment was required) shall be credited by the Department to
18 the proper retailer's account with the Department, but
19 without the 2.1% or 1.75% discount provided for in this
20 Section being allowed. When the user pays the tax directly
21 to the Department, he shall pay the tax in the same amount
22 and in the same form in which it would be remitted if the tax
23 had been remitted to the Department by the retailer.
24 Refunds made by the seller during the preceding return
25 period to purchasers, on account of tangible personal
26 property returned to the seller, shall be allowed as a
27 deduction under subdivision 5 of his monthly or quarterly
28 return, as the case may be, in case the seller had
29 theretofore included the receipts from the sale of such
30 tangible personal property in a return filed by him and had
31 paid the tax imposed by this Act with respect to such
32 receipts.
33 Where the seller is a corporation, the return filed on
34 behalf of such corporation shall be signed by the president,
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1 vice-president, secretary or treasurer or by the properly
2 accredited agent of such corporation.
3 Where the seller is a limited liability company, the
4 return filed on behalf of the limited liability company shall
5 be signed by a manager, member, or properly accredited agent
6 of the limited liability company.
7 Except as provided in this Section, the retailer filing
8 the return under this Section shall, at the time of filing
9 such return, pay to the Department the amount of tax imposed
10 by this Act less a discount of 2.1% prior to January 1, 1990
11 and 1.75% on and after January 1, 1990, or $5 per calendar
12 year, whichever is greater, which is allowed to reimburse the
13 retailer for the expenses incurred in keeping records,
14 preparing and filing returns, remitting the tax and supplying
15 data to the Department on request. Any prepayment made
16 pursuant to Section 2d of this Act shall be included in the
17 amount on which such 2.1% or 1.75% discount is computed. In
18 the case of retailers who report and pay the tax on a
19 transaction by transaction basis, as provided in this
20 Section, such discount shall be taken with each such tax
21 remittance instead of when such retailer files his periodic
22 return.
23 Before October 1, 2000, if the taxpayer's average monthly
24 tax liability to the Department under this Act, the Use Tax
25 Act, the Service Occupation Tax Act, and the Service Use Tax
26 Act, excluding any liability for prepaid sales tax to be
27 remitted in accordance with Section 2d of this Act, was
28 $10,000 or more during the preceding 4 complete calendar
29 quarters, he shall file a return with the Department each
30 month by the 20th day of the month next following the month
31 during which such tax liability is incurred and shall make
32 payments to the Department on or before the 7th, 15th, 22nd
33 and last day of the month during which such liability is
34 incurred. On and after October 1, 2000, if the taxpayer's
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1 average monthly tax liability to the Department under this
2 Act, the Use Tax Act, the Service Occupation Tax Act, and the
3 Service Use Tax Act, excluding any liability for prepaid
4 sales tax to be remitted in accordance with Section 2d of
5 this Act, was $20,000 or more during the preceding 4 complete
6 calendar quarters, he shall file a return with the Department
7 each month by the 20th day of the month next following the
8 month during which such tax liability is incurred and shall
9 make payment to the Department on or before the 7th, 15th,
10 22nd and last day of the month during which such liability is
11 incurred. If the month during which such tax liability is
12 incurred began prior to January 1, 1985, each payment shall
13 be in an amount equal to 1/4 of the taxpayer's actual
14 liability for the month or an amount set by the Department
15 not to exceed 1/4 of the average monthly liability of the
16 taxpayer to the Department for the preceding 4 complete
17 calendar quarters (excluding the month of highest liability
18 and the month of lowest liability in such 4 quarter period).
19 If the month during which such tax liability is incurred
20 begins on or after January 1, 1985 and prior to January 1,
21 1987, each payment shall be in an amount equal to 22.5% of
22 the taxpayer's actual liability for the month or 27.5% of the
23 taxpayer's liability for the same calendar month of the
24 preceding year. If the month during which such tax liability
25 is incurred begins on or after January 1, 1987 and prior to
26 January 1, 1988, each payment shall be in an amount equal to
27 22.5% of the taxpayer's actual liability for the month or
28 26.25% of the taxpayer's liability for the same calendar
29 month of the preceding year. If the month during which such
30 tax liability is incurred begins on or after January 1, 1988,
31 and prior to January 1, 1989, or begins on or after January
32 1, 1996, each payment shall be in an amount equal to 22.5% of
33 the taxpayer's actual liability for the month or 25% of the
34 taxpayer's liability for the same calendar month of the
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1 preceding year. If the month during which such tax liability
2 is incurred begins on or after January 1, 1989, and prior to
3 January 1, 1996, each payment shall be in an amount equal to
4 22.5% of the taxpayer's actual liability for the month or 25%
5 of the taxpayer's liability for the same calendar month of
6 the preceding year or 100% of the taxpayer's actual liability
7 for the quarter monthly reporting period. The amount of such
8 quarter monthly payments shall be credited against the final
9 tax liability of the taxpayer's return for that month.
10 Before October 1, 2000, once applicable, the requirement of
11 the making of quarter monthly payments to the Department by
12 taxpayers having an average monthly tax liability of $10,000
13 or more as determined in the manner provided above shall
14 continue until such taxpayer's average monthly liability to
15 the Department during the preceding 4 complete calendar
16 quarters (excluding the month of highest liability and the
17 month of lowest liability) is less than $9,000, or until such
18 taxpayer's average monthly liability to the Department as
19 computed for each calendar quarter of the 4 preceding
20 complete calendar quarter period is less than $10,000.
21 However, if a taxpayer can show the Department that a
22 substantial change in the taxpayer's business has occurred
23 which causes the taxpayer to anticipate that his average
24 monthly tax liability for the reasonably foreseeable future
25 will fall below the $10,000 threshold stated above, then such
26 taxpayer may petition the Department for a change in such
27 taxpayer's reporting status. On and after October 1, 2000,
28 once applicable, the requirement of the making of quarter
29 monthly payments to the Department by taxpayers having an
30 average monthly tax liability of $20,000 or more as
31 determined in the manner provided above shall continue until
32 such taxpayer's average monthly liability to the Department
33 during the preceding 4 complete calendar quarters (excluding
34 the month of highest liability and the month of lowest
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1 liability) is less than $19,000 or until such taxpayer's
2 average monthly liability to the Department as computed for
3 each calendar quarter of the 4 preceding complete calendar
4 quarter period is less than $20,000. However, if a taxpayer
5 can show the Department that a substantial change in the
6 taxpayer's business has occurred which causes the taxpayer to
7 anticipate that his average monthly tax liability for the
8 reasonably foreseeable future will fall below the $20,000
9 threshold stated above, then such taxpayer may petition the
10 Department for a change in such taxpayer's reporting status.
11 The Department shall change such taxpayer's reporting status
12 unless it finds that such change is seasonal in nature and
13 not likely to be long term. If any such quarter monthly
14 payment is not paid at the time or in the amount required by
15 this Section, then the taxpayer shall be liable for penalties
16 and interest on the difference between the minimum amount due
17 as a payment and the amount of such quarter monthly payment
18 actually and timely paid, except insofar as the taxpayer has
19 previously made payments for that month to the Department in
20 excess of the minimum payments previously due as provided in
21 this Section. The Department shall make reasonable rules and
22 regulations to govern the quarter monthly payment amount and
23 quarter monthly payment dates for taxpayers who file on other
24 than a calendar monthly basis.
25 Without regard to whether a taxpayer is required to make
26 quarter monthly payments as specified above, any taxpayer who
27 is required by Section 2d of this Act to collect and remit
28 prepaid taxes and has collected prepaid taxes which average
29 in excess of $25,000 per month during the preceding 2
30 complete calendar quarters, shall file a return with the
31 Department as required by Section 2f and shall make payments
32 to the Department on or before the 7th, 15th, 22nd and last
33 day of the month during which such liability is incurred. If
34 the month during which such tax liability is incurred began
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1 prior to the effective date of this amendatory Act of 1985,
2 each payment shall be in an amount not less than 22.5% of the
3 taxpayer's actual liability under Section 2d. If the month
4 during which such tax liability is incurred begins on or
5 after January 1, 1986, each payment shall be in an amount
6 equal to 22.5% of the taxpayer's actual liability for the
7 month or 27.5% of the taxpayer's liability for the same
8 calendar month of the preceding calendar year. If the month
9 during which such tax liability is incurred begins on or
10 after January 1, 1987, each payment shall be in an amount
11 equal to 22.5% of the taxpayer's actual liability for the
12 month or 26.25% of the taxpayer's liability for the same
13 calendar month of the preceding year. The amount of such
14 quarter monthly payments shall be credited against the final
15 tax liability of the taxpayer's return for that month filed
16 under this Section or Section 2f, as the case may be. Once
17 applicable, the requirement of the making of quarter monthly
18 payments to the Department pursuant to this paragraph shall
19 continue until such taxpayer's average monthly prepaid tax
20 collections during the preceding 2 complete calendar quarters
21 is $25,000 or less. If any such quarter monthly payment is
22 not paid at the time or in the amount required, the taxpayer
23 shall be liable for penalties and interest on such
24 difference, except insofar as the taxpayer has previously
25 made payments for that month in excess of the minimum
26 payments previously due.
27 If any payment provided for in this Section exceeds the
28 taxpayer's liabilities under this Act, the Use Tax Act, the
29 Service Occupation Tax Act and the Service Use Tax Act, as
30 shown on an original monthly return, the Department shall, if
31 requested by the taxpayer, issue to the taxpayer a credit
32 memorandum no later than 30 days after the date of payment.
33 The credit evidenced by such credit memorandum may be
34 assigned by the taxpayer to a similar taxpayer under this
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1 Act, the Use Tax Act, the Service Occupation Tax Act or the
2 Service Use Tax Act, in accordance with reasonable rules and
3 regulations to be prescribed by the Department. If no such
4 request is made, the taxpayer may credit such excess payment
5 against tax liability subsequently to be remitted to the
6 Department under this Act, the Use Tax Act, the Service
7 Occupation Tax Act or the Service Use Tax Act, in accordance
8 with reasonable rules and regulations prescribed by the
9 Department. If the Department subsequently determined that
10 all or any part of the credit taken was not actually due to
11 the taxpayer, the taxpayer's 2.1% and 1.75% vendor's discount
12 shall be reduced by 2.1% or 1.75% of the difference between
13 the credit taken and that actually due, and that taxpayer
14 shall be liable for penalties and interest on such
15 difference.
16 If a retailer of motor fuel is entitled to a credit under
17 Section 2d of this Act which exceeds the taxpayer's liability
18 to the Department under this Act for the month which the
19 taxpayer is filing a return, the Department shall issue the
20 taxpayer a credit memorandum for the excess.
21 Beginning January 1, 1990, each month the Department
22 shall pay into the Local Government Tax Fund, a special fund
23 in the State treasury which is hereby created, the net
24 revenue realized for the preceding month from the 1% tax on
25 sales of food for human consumption which is to be consumed
26 off the premises where it is sold (other than alcoholic
27 beverages, soft drinks and food which has been prepared for
28 immediate consumption) and prescription and nonprescription
29 medicines, drugs, medical appliances and insulin, urine
30 testing materials, syringes and needles used by diabetics.
31 Beginning January 1, 1990, each month the Department
32 shall pay into the County and Mass Transit District Fund, a
33 special fund in the State treasury which is hereby created,
34 4% of the net revenue realized for the preceding month from
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1 the 6.25% general rate.
2 Beginning August 1, 2000, each month the Department shall
3 pay into the County and Mass Transit District Fund 20% of the
4 net revenue realized for the preceding month from the 1.25%
5 rate 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.
11 Beginning August 1, 2000, each month the Department shall
12 pay into the Local Government Tax Fund 80% of the net revenue
13 realized for the preceding month from the 1.25% rate on the
14 selling price of motor fuel and gasohol.
15 Of the remainder of the moneys received by the Department
16 pursuant to this Act, (a) 1.75% thereof shall be paid into
17 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
18 and on and after July 1, 1989, 3.8% thereof shall be paid
19 into the Build Illinois Fund; provided, however, that if in
20 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
21 as the case may be, of the moneys received by the Department
22 and required to be paid into the Build Illinois Fund pursuant
23 to this Act, Section 9 of the Use Tax Act, Section 9 of the
24 Service Use Tax Act, and Section 9 of the Service Occupation
25 Tax Act, such Acts being hereinafter called the "Tax Acts"
26 and such aggregate of 2.2% or 3.8%, as the case may be, of
27 moneys being hereinafter called the "Tax Act Amount", and (2)
28 the amount transferred to the Build Illinois Fund from the
29 State and Local Sales Tax Reform Fund shall be less than the
30 Annual Specified Amount (as hereinafter defined), an amount
31 equal to the difference shall be immediately paid into the
32 Build Illinois Fund from other moneys received by the
33 Department pursuant to the Tax Acts; the "Annual Specified
34 Amount" means the amounts specified below for fiscal years
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1 1986 through 1993:
2 Fiscal Year Annual Specified Amount
3 1986 $54,800,000
4 1987 $76,650,000
5 1988 $80,480,000
6 1989 $88,510,000
7 1990 $115,330,000
8 1991 $145,470,000
9 1992 $182,730,000
10 1993 $206,520,000;
11 and means the Certified Annual Debt Service Requirement (as
12 defined in Section 13 of the Build Illinois Bond Act) or the
13 Tax Act Amount, whichever is greater, for fiscal year 1994
14 and each fiscal year thereafter; and further provided, that
15 if on the last business day of any month the sum of (1) the
16 Tax Act Amount required to be deposited into the Build
17 Illinois Bond Account in the Build Illinois Fund during such
18 month and (2) the amount transferred to the Build Illinois
19 Fund from the State and Local Sales Tax Reform Fund shall
20 have been less than 1/12 of the Annual Specified Amount, an
21 amount equal to the difference shall be immediately paid into
22 the Build Illinois Fund from other moneys received by the
23 Department pursuant to the Tax Acts; and, further provided,
24 that in no event shall the payments required under the
25 preceding proviso result in aggregate payments into the Build
26 Illinois Fund pursuant to this clause (b) for any fiscal year
27 in excess of the greater of (i) the Tax Act Amount or (ii)
28 the Annual Specified Amount for such fiscal year. The
29 amounts payable into the Build Illinois Fund under clause (b)
30 of the first sentence in this paragraph shall be payable only
31 until such time as the aggregate amount on deposit under each
32 trust indenture securing Bonds issued and outstanding
33 pursuant to the Build Illinois Bond Act is sufficient, taking
34 into account any future investment income, to fully provide,
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1 in accordance with such indenture, for the defeasance of or
2 the payment of the principal of, premium, if any, and
3 interest on the Bonds secured by such indenture and on any
4 Bonds expected to be issued thereafter and all fees and costs
5 payable with respect thereto, all as certified by the
6 Director of the Bureau of the Budget. If on the last
7 business day of any month in which Bonds are outstanding
8 pursuant to the Build Illinois Bond Act, the aggregate of
9 moneys deposited in the Build Illinois Bond Account in the
10 Build Illinois Fund in such month shall be less than the
11 amount required to be transferred in such month from the
12 Build Illinois Bond Account to the Build Illinois Bond
13 Retirement and Interest Fund pursuant to Section 13 of the
14 Build Illinois Bond Act, an amount equal to such deficiency
15 shall be immediately paid from other moneys received by the
16 Department pursuant to the Tax Acts to the Build Illinois
17 Fund; provided, however, that any amounts paid to the Build
18 Illinois Fund in any fiscal year pursuant to this sentence
19 shall be deemed to constitute payments pursuant to clause (b)
20 of the first sentence of this paragraph and shall reduce the
21 amount otherwise payable for such fiscal year pursuant to
22 that clause (b). The moneys received by the Department
23 pursuant to this Act and required to be deposited into the
24 Build Illinois Fund are subject to the pledge, claim and
25 charge set forth in Section 12 of the Build Illinois Bond
26 Act.
27 Subject to payment of amounts into the Build Illinois
28 Fund as provided in the preceding paragraph or in any
29 amendment thereto hereafter enacted, the following specified
30 monthly installment of the amount requested in the
31 certificate of the Chairman of the Metropolitan Pier and
32 Exposition Authority provided under Section 8.25f of the
33 State Finance Act, but not in excess of sums designated as
34 "Total Deposit", shall be deposited in the aggregate from
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1 collections under Section 9 of the Use Tax Act, Section 9 of
2 the Service Use Tax Act, Section 9 of the Service Occupation
3 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
4 into the McCormick Place Expansion Project Fund in the
5 specified fiscal years.
6 Fiscal Year Total Deposit
7 1993 $0
8 1994 53,000,000
9 1995 58,000,000
10 1996 61,000,000
11 1997 64,000,000
12 1998 68,000,000
13 1999 71,000,000
14 2000 75,000,000
15 2001 80,000,000
16 2002 84,000,000
17 2003 89,000,000
18 2004 93,000,000
19 2005 97,000,000
20 2006 102,000,000
21 2007 108,000,000
22 2008 115,000,000
23 2009 120,000,000
24 2010 126,000,000
25 2011 132,000,000
26 2012 138,000,000
27 2013 and 145,000,000
28 each fiscal year
29 thereafter that bonds
30 are outstanding under
31 Section 13.2 of the
32 Metropolitan Pier and
33 Exposition Authority
34 Act, but not after fiscal year 2029.
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1 Beginning July 20, 1993 and in each month of each fiscal
2 year thereafter, one-eighth of the amount requested in the
3 certificate of the Chairman of the Metropolitan Pier and
4 Exposition Authority for that fiscal year, less the amount
5 deposited into the McCormick Place Expansion Project Fund by
6 the State Treasurer in the respective month under subsection
7 (g) of Section 13 of the Metropolitan Pier and Exposition
8 Authority Act, plus cumulative deficiencies in the deposits
9 required under this Section for previous months and years,
10 shall be deposited into the McCormick Place Expansion Project
11 Fund, until the full amount requested for the fiscal year,
12 but not in excess of the amount specified above as "Total
13 Deposit", has been deposited.
14 Subject to payment of amounts into the Build Illinois
15 Fund and the McCormick Place Expansion Project Fund pursuant
16 to the preceding paragraphs or in any amendment thereto
17 hereafter enacted, each month the Department shall pay into
18 the Local Government Distributive Fund 0.4% of the net
19 revenue realized for the preceding month from the 5% general
20 rate or 0.4% of 80% of the net revenue realized for the
21 preceding month from the 6.25% general rate, as the case may
22 be, on the selling price of tangible personal property which
23 amount shall, subject to appropriation, be distributed as
24 provided in Section 2 of the State Revenue Sharing Act. No
25 payments or distributions pursuant to this paragraph shall be
26 made if the tax imposed by this Act on photoprocessing
27 products is declared unconstitutional, or if the proceeds
28 from such tax are unavailable for distribution because of
29 litigation.
30 Subject to payment of amounts into the Build Illinois
31 Fund, the McCormick Place Expansion Project to the preceding
32 paragraphs or in any amendments thereto hereafter enacted,
33 beginning July 1, 1993, the Department shall each month pay
34 into the Illinois Tax Increment Fund 0.27% of 80% of the net
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1 revenue realized for the preceding month from the 6.25%
2 general rate on the selling price of tangible personal
3 property.
4 Of the remainder of the moneys received by the Department
5 pursuant to this Act, 75% thereof shall be paid into the
6 State Treasury and 25% shall be reserved in a special account
7 and used only for the transfer to the Common School Fund as
8 part of the monthly transfer from the General Revenue Fund in
9 accordance with Section 8a of the State Finance Act.
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 retailer'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 retailer shall attach to his
21 annual return a schedule showing a reconciliation of the 2
22 amounts and the reasons for the difference. The retailer's
23 annual return to the Department shall also disclose the cost
24 of goods sold by the retailer during the year covered by such
25 return, opening and closing inventories of such goods for
26 such year, costs of goods used from stock or taken from stock
27 and given away by the retailer during such year, payroll
28 information of the retailer'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 retailer
32 as 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
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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 provisions of this Section concerning the filing of
21 an annual information return do not apply to a retailer who
22 is not required to file an income tax return with the United
23 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, manufacturers,
3 importers and wholesalers whose products are sold at retail
4 in Illinois by numerous retailers, and who wish to do so, may
5 assume the responsibility for accounting and paying to the
6 Department all tax accruing under this Act with respect to
7 such sales, if the retailers who are affected do not make
8 written objection to the Department to this arrangement.
9 Any person who promotes, organizes, provides retail
10 selling space for concessionaires or other types of sellers
11 at the Illinois State Fair, DuQuoin State Fair, county fairs,
12 local fairs, art shows, flea markets and similar exhibitions
13 or events, including any transient merchant as defined by
14 Section 2 of the Transient Merchant Act of 1987, is required
15 to file a report with the Department providing the name of
16 the merchant's business, the name of the person or persons
17 engaged in merchant's business, the permanent address and
18 Illinois Retailers Occupation Tax Registration Number of the
19 merchant, the dates and location of the event and other
20 reasonable information that the Department may require. The
21 report must be filed not later than the 20th day of the month
22 next following the month during which the event with retail
23 sales was held. Any person who fails to file a report
24 required by this Section commits a business offense and is
25 subject to a fine not to exceed $250.
26 Any person engaged in the business of selling tangible
27 personal property at retail as a concessionaire or other type
28 of seller at the Illinois State Fair, county fairs, art
29 shows, flea markets and similar exhibitions or events, or any
30 transient merchants, as defined by Section 2 of the Transient
31 Merchant Act of 1987, may be required to make a daily report
32 of the amount of such sales to the Department and to make a
33 daily payment of the full amount of tax due. The Department
34 shall impose this requirement when it finds that there is a
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1 significant risk of loss of revenue to the State at such an
2 exhibition or event. Such a finding shall be based on
3 evidence that a substantial number of concessionaires or
4 other sellers who are not residents of Illinois will be
5 engaging in the business of selling tangible personal
6 property at retail at the exhibition or event, or other
7 evidence of a significant risk of loss of revenue to the
8 State. The Department shall notify concessionaires and other
9 sellers affected by the imposition of this requirement. In
10 the absence of notification by the Department, the
11 concessionaires and other sellers shall file their returns as
12 otherwise required in this Section.
13 (Source: P.A. 90-491, eff. 1-1-99; 90-612, eff. 7-8-98;
14 91-37, eff. 7-1-99; 91-51, eff. 6-30-99; 91-101, eff.
15 7-12-99; 91-541, eff. 8-13-99; revised 9-29-99.)
16 Section 22. The Motor Fuel Tax Law is amended by
17 changing Section 13a as follows:
18 (35 ILCS 505/13a) (from Ch. 120, par. 429a)
19 Sec. 13a. (1) A tax is hereby imposed upon the use of
20 motor fuel upon highways of this State by commercial motor
21 vehicles. The tax shall be comprised of 2 parts. Part (a)
22 shall be at the rate established by Section 2 of this Act, as
23 heretofore or hereafter amended. Part (b) shall be at the
24 rate established by subsection (2) of this Section as now or
25 hereafter amended.
26 (2) A rate shall be established by the Department as of
27 January 1 of each year using the average "selling price", as
28 defined in the Retailers' Occupation Tax Act, per gallon of
29 motor fuel sold in this State during the previous 12 months
30 and multiplying it by 6 1/4% to determine the cents per
31 gallon rate. For the period beginning on July 1, 2000 and
32 through December 31, 2000, the Department shall establish a
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1 rate using the average "selling price", as defined in the
2 Retailers' Occupation Tax Act, per gallon of motor fuel sold
3 in this State during calendar year 1999 and multiplying it by
4 1.25% to determine the cents per gallon rate.
5 (Source: P.A. 88-480.)
6 Section 99. Effective date. This Act takes effect on
7 July 1, 2000.".