91st General Assembly
Status of HB4431
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CURRIE-MOORE,ANDREA-MURPHY.

(RAUSCHENBERGER)

   35 ILCS 5/201             from Ch. 120, par. 2-201                          
   35 ILCS 5/203             from Ch. 120, par. 2-203                          
   35 ILCS 5/405                                                               
   35 ILCS 5/803             from Ch. 120, par. 8-803                          
   35 ILCS 5/1501            from Ch. 120, par. 15-1501                        
   35 ILCS 105/3-5           from Ch. 120, par. 439.3-5                        
   35 ILCS 105/3-70          from Ch. 120, par. 439.3-70                       
   35 ILCS 105/9             from Ch. 120, par. 439.9                          
   35 ILCS 105/10            from Ch. 120, par. 439.10                         
   35 ILCS 105/22            from Ch. 120, par. 439.22                         
   35 ILCS 110/20            from Ch. 120, par. 439.50                         
   35 ILCS 115/3-5           from Ch. 120, par. 439.103-5                      
   35 ILCS 115/20            from Ch. 120, par. 439.120                        
   35 ILCS 120/3             from Ch. 120, par. 442                            
   35 ILCS 120/6             from Ch. 120, par. 445                            
   35 ILCS 130/4             from Ch. 120, par. 453.4                          
   35 ILCS 130/6             from Ch. 120, par. 453.6                          
   35 ILCS 135/4             from Ch. 120, par. 453.34                         
   35 ILCS 135/6             from Ch. 120, par. 453.36                         

        Amends  the  Illinois  Income  Tax  Act.   Adds   a   subtraction      
   modification  from  base  income in the case of an S corporation in an      
   amount equal to all amounts  of  income  allocable  to  a  shareholder      
   subject to the Personal Property Tax Replacement Income Tax.  Provides      
   an income tax credit for certain partners of a partnership and certain      
   shareholders  of  S  corporations  if  those  partners or shareholders      
   qualified their partnerships  or  S  corporations  for  a  subtraction      
   modification  for  the  Personal  Property Tax Replacement Income Tax.      
   Increases the threshold for the required payment  of  estimated  taxes      
   from  $250  to  $500  for  non-corporations  required to pay estimated      
   taxes.  Excludes from the definition of "partnership" any entity  that      
   elects  to  be  excluded  from  the  application  of  the Partners and      
   Partnership subchapter of the  Internal  Revenue  Code  under  certain      
   provisions  of  that subchapter.  Makes other changes.  Amends the Use      
   Tax Act, the Service Use Tax Act, the Service Occupation Tax Act,  and      
   the  Retailers'  Occupation  Tax Act to replace references to specific      
   local occupation  and  use  taxes  with  a  reference  to  "any  local      
   occupation  or  use  tax administered by the Department".  Makes other      
   changes.  Further amends the Use Tax Act and the Retailers' Occupation      
   Tax Act.  Provides that a  retailer  of  aircraft,  watercraft,  motor      
   vehicles,  or trailers who transfers more than one of these items to a      
   purchaser for use as qualifying rolling stock may report the  transfer      
   of  all of the items involved in that transaction to the Department of      
   Revenue on the same reporting form.  Amends the Cigarette Tax Act  and      
   the  Cigarette Use Tax Act.  Adds a provision allowing distributors 20      
   days  to  protest  a  Department  of  Revenue  decision  regarding   a      
   distributor's   license   and   adds  provisions  regarding  hearings.      
   Effective January 1, 2001.                                                  
        HOUSE AMENDMENT NO. 1.                                                 
          Adds reference to:                                                   
          220 ILCS 5/8-403.1              from Ch. 111 2/3, par. 8-403.1       
        In the subtraction modification for Subchapter S corporations  in      
   the Illinois Income Tax Act, exempts the subtraction modification from      
   the  sunset  provisions  of the Act.  Amends the Public Utilities Act.      
   Provides that the Department of Revenue  (now,  the  State  Treasurer)      
   shall  prescribe  the  forms  to be filed by and collect payments from      
   qualified solid waste energy facilities based on the kilowatt hours of      
   electricity sold by them.                                                   
          FISCAL NOTE, H-AM 1 (Department of Revenue)                          
          The Department cannot determine the actual loss in replacement       
          revenues from allowing Subchapter S corporations a subtraction       
          modification for income distributable to shareholders subject        
          to replacement tax, or from provisions concerning investment         
          credits allocations in partnerships, but believes the losses         
          in replacement tax revenues to be minimal. Increasing the            
          threshold for making estimated payments to $500 will translate       
          into approximately 11,000 fewer penalties being assessed which       
          equates to about $1 million (at an average tax penalty assess-       
          ment of $90). However, not all of this $1 million can be viewed      
          as lost revenue, due to the fact that much of this penalty is        
          subsequently abated in the reasonable cause penalty abatement        
          process. Including rolling stock in the provisions allowing          
          filing only one sales/use tax return to cover multiple sales/        
          purchases of certain exempt items will cause a decrease in           
          processing costs at the Department, but no loss to the State.        
          Adding protest provisions to the Cigarette Tax and Cigarette         
          Use Tax Acts creates an indeterminable, but very minimal,            
          fiscal impact to the State. Requiring use tax to be paid on          
          tangible personal property that must be titled or registered         
          with the federal government would create State revenues (each        
          such airplane used subsequently in Illinois will generate an         
          estimated $1.87 million in additional use tax revenues for           
          Illinois).                                                           
        HOUSE AMENDMENT NO. 2.                                                 
          Deletes reference to:                                                
          35 ILCS 105/3-70                                                     
          35 ILCS 115/3-5                                                      
        In the Illinois Income Tax Act removes  the  exclusion  from  the      
   definition  of  "partnership"  of an entity that elects to be excluded      
   from the application of the Partners and Partnership subchapter of the      
   Internal Revenue Code under certain provisions of that subchapter.  In      
   the Use Tax Act removes the changes to a Section  concerning  property      
   acquired  by a nonresident.  In the Service Occupation Tax Act removes      
   the changes to the exemptions Section.                                      
          FISCAL NOTE, H-AM 1,2 (Department of Revenue)                        
          The fiscal impact of H-am 1 remains unchanged. H-am 2 makes          
          technical changes and creates no fiscal impact.                      
          STATE MANDATES NOTE, H-AM 1,2                                        
          (Department of Commerce and Community Affairs)                       
          This legislation does not create a State mandate.                    
          HOME RULE NOTE, H-AM 1,2                                             
          (Department of Commerce and Community Affairs)                       
          This legislation does not contain language indicating a              
          pre-emption of home rule powers and functions.                       
        SENATE AMENDMENT NO. 1.                                                
          Deletes reference to:                                                
          35 ILCS 105/3-5                                                      
          35 ILCS 105/9                                                        
          35 ILCS 105/10                                                       
          35 ILCS 105/22                                                       
          35 ILCS 110/20                                                       
          35 ILCS 115/20                                                       
          35 ILCS 120/3                                                        
          35 ILCS 120/6                                                        
          35 ILCS 130/4                                                        
          35 ILCS 130/6                                                        
          35 ILCS 135/4                                                        
          35 ILCS 135/6                                                        
          220 ILCS 5/8-403.1                                                   
          Adds reference to:                                                   
          35 ILCS 5/502                   from Ch. 120, par. 5-502             
        Deletes everything except the changes made to the Illinois Income      
   Tax Act. Makes an additional change to the Illinois Income Tax Act  to      
   provide  that, for taxable years ending on or after December 31, 1999,      
   the Department may, by regulation, permit any persons  transacting  an      
   insurance  business organized under a Lloyds plan of operation to file      
   composite returns reflecting the income of such persons  allocable  to      
   Illinois  and  the  tax  rates  applicable to such persons and to make      
   composite tax payments and shall, by regulation, also provide that the      
   income and apportionment factors attributable to the transaction of an      
   insurance business organized under a Lloyds plan of operation  by  any      
   person joining in the filing of a composite return shall, for purposes      
   of  allocating  and  apportioning  income and computing net income, be      
   excluded from any other  income  and  apportionment  factors  of  that      
   person  or  of  any  unitary  business  group to which that person may      
   belong.                                                                     
   00-02-04  H  FILED WITH CLERK                                               
   00-02-04  H  FIRST READING                                                  
   00-02-04  H  REFERRED TO HOUSE RULES COMMITTEE        RULES                 
   00-02-08  H  PRIMARY SPONSOR CHANGED TO               BIGGINS               
   00-02-08  H  PRIMARY SPONSOR CHANGED TO               CURRIE                
   00-02-08  H  ADDED AS A JOINT SPONSOR                 MOORE,ANDREA          
   00-02-09  H       ASSIGNED TO COMMITTEE               REVENUE               
   00-02-09  H  ADDED AS A JOINT SPONSOR                 MURPHY                
   00-02-17  H                             AMENDMENT NO. 01-REVENUE       H    
   00-02-17  H                                   ADOPTED 006-003-000           
   00-02-17  H  DO PASS AMENDED/SHORT DEBATE             006-003-000   HREV    
   00-02-17  H  PLACED CALENDAR 2ND READING-SHORT DEBATE                       
   00-02-22  H  FISCAL NOTE REQUESTED AS AMENDED         BY HA #1/TENHOUSE     
   00-02-22  H  STATE MNDT FISCAL NOTE RQSTD AS AMENDED  BY HA #1/TENHOUSE     
   00-02-22  H  HOME RULE NOTE REQUESTED AS AMENDED      BY HA #1/TENHOUSE     
   00-02-22  H  CALENDAR ORDER 2ND READING-SHORT DEBATE                        
   00-02-24  H  FISCAL NOTE FILED AS AMENDED             BY HOUSE AMEND #1     
   00-02-24  H  CALENDAR ORDER 2ND READING-SHORT DEBATE                        
   00-02-25  H                             AMENDMENT NO. 02-CURRIE             
   00-02-25  H                     AMENDMENT REFERRED TO HRUL                  
   00-02-25  H  CALENDAR ORDER 2ND READING-SHORT DEBATE                        
   00-02-29  H                             AMENDMENT NO. 02-CURRIE             
   00-02-29  H  RECOMMENDS BE ADOPTED                    HRUL/005-000-000      
   00-02-29  H  SECOND READING-SHORT DEBATE                                    
   00-02-29  H                             AMENDMENT NO. 02-CURRIE             
   00-02-29  H                                   ADOPTED                       
   00-02-29  H  FISCAL NOTE REQUESTED AS AMENDED         BY HA #2/TENHOUSE     
   00-02-29  H  STATE MNDT FISCAL NOTE RQSTD AS AMENDED  BY HA #2/TENHOUSE     
   00-02-29  H  HOME RULE NOTE REQUESTED AS AMENDED      BY HA #2/TENHOUSE     
   00-02-29  H  HELD ON CAL ORDER 2ND RDG - SHORT DEBATE                       
   00-03-01  H  FISCAL NOTE FILED AS AMENDED             BY HOUSE AMEND 1&2    
   00-03-01  H  STATE MNDT FISCAL NOTE FILED AS AMENDED  BY HOUSE AMEND 1&2    
   00-03-01  H  HOME RULE NOTE FILED AS AMENDED          BY HOUSE AMEND 1&2    
   00-03-01  H  PLCD CAL ORDER 3RD READING-SHORT DEBATE                        
   00-03-01  H  THIRD READING/SHORT DEBATE/PASSED        086-031-000           
   00-03-06  S  ARRIVE IN SENATE                                               
   00-03-06  S  PLACED CALENDAR ORDER OF FIRST READING   00-03-07              
   00-03-08  S  CHIEF SPONSOR                            RAUSCHENBERGER        
   00-03-08  S  FIRST READING                                                  
   00-03-08  S  REFERRED TO SENATE RULES COMMITTEE       RULES                 
   00-03-09  S       ASSIGNED TO COMMITTEE               REVENUE               
   00-03-24  S                                 POSTPONED                       
   00-03-30  S                             AMENDMENT NO. 01-REVENUE       S    
   00-03-30  S                                   ADOPTED                       
   00-03-30  S       DO PASS AS AMENDED                  010-000-000   SREV    
   00-03-30  S  PLACED ON CALENDAR ORDER OF 2ND READING  00-03-31              
   00-04-05  S  SECOND READING                                                 
   00-04-05  S  PLACED ON CALENDAR ORDER OF 3RD READING  00-04-06              
   00-04-06  S  THIRD READING - PASSED                   058-000-000           
   00-04-07  H  ARRIVE IN HOUSE                                                
   00-04-07  H  PLACED ON CALENDAR ORDER OF CONCURRENCE  01                    
   00-04-12  H  MOTION FILED CONCUR                      01/CURRIE             
   00-04-12  H                        MOTION REFERRED TO HRUL                  
   00-04-12  H                           RULES REFERS TO HREV                  
   00-04-12  H                APPROVED FOR CONSIDERATION HREV/009-000-000      
   00-04-12  H  CALENDAR ORDER OF CONCURRENCE            01                    
   00-04-13  H  HSE CONCURS IN SEN AMENDMENTS (NO.)      01/115-000-001        
   00-04-13  H  PASSED BOTH HOUSES                                             
   00-05-12  H  SENT TO THE GOVERNOR                                           
   00-07-07  H  GOVERNOR APPROVED                                              
   00-07-07  H                            EFFECTIVE DATE 01-01-01              
   00-07-07  H  PUBLIC ACT.............................. 91-0913               

   END OF INQUIRY 



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