[ Search ] [ PDF text ] [ Legislation ]
[ Home ] [ Back ] [ Bottom ]
92_HB0057
LRB9200805SMdv
1 AN ACT in relation to taxes.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 5. The 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
23 registered by any agency of this State's government shall be
24 distributed to municipalities as provided in this paragraph.
25 Each municipality shall receive the amount attributable to
26 sales for which Illinois addresses for titling or
27 registration purposes are given as being in such
28 municipality. The remainder of the money paid into the Local
29 Government Tax Fund from such sales shall be distributed to
30 counties. Each county shall receive the amount attributable
31 to sales for which Illinois addresses for titling or
-2- LRB9200805SMdv
1 registration purposes are given as being located in the
2 unincorporated area of such county.
3 A portion of the money paid into the Local Government Tax
4 Fund from the 6.25% general rate (and, beginning July 1, 2000
5 and through December 31, 2000, the 1.25% rate on motor fuel
6 and gasohol and, beginning again on July 1, 2001 and
7 thereafter, the 1.25% rate on motor fuel and gasohol) on
8 sales subject to taxation under the Retailers' Occupation Tax
9 Act and the Service Occupation Tax Act, which occurred in
10 municipalities, shall be distributed to each municipality,
11 based upon the sales which occurred in that municipality. The
12 remainder shall be distributed to each county, based upon the
13 sales which occurred in the unincorporated area of such
14 county.
15 For the purpose of determining allocation to the local
16 government unit, a retail sale by a producer of coal or other
17 mineral mined in Illinois is a sale at retail at the place
18 where the coal or other mineral mined in Illinois is
19 extracted from the earth. This paragraph does not apply to
20 coal or other mineral when it is delivered or shipped by the
21 seller to the purchaser at a point outside Illinois so that
22 the sale is exempt under the United States Constitution as a
23 sale in interstate or foreign commerce.
24 Whenever the Department determines that a refund of money
25 paid into the Local Government Tax Fund should be made to a
26 claimant instead of issuing a credit memorandum, the
27 Department shall notify the State Comptroller, who shall
28 cause the order to be drawn for the amount specified, and to
29 the person named, in such notification from the Department.
30 Such refund shall be paid by the State Treasurer out of the
31 Local Government Tax Fund.
32 On or before the 25th day of each calendar month, the
33 Department shall prepare and certify to the Comptroller the
34 disbursement of stated sums of money to named municipalities
-3- LRB9200805SMdv
1 and counties, the municipalities and counties to be those
2 entitled to distribution of taxes or penalties paid to the
3 Department during the second preceding calendar month. The
4 amount to be paid to each municipality or county shall be the
5 amount (not including credit memoranda) collected during the
6 second preceding calendar month by the Department and paid
7 into the Local Government Tax Fund, plus an amount the
8 Department determines is necessary to offset any amounts
9 which were erroneously paid to a different taxing body, and
10 not including an amount equal to the amount of refunds made
11 during the second preceding calendar month by the Department,
12 and not including any amount which the Department determines
13 is necessary to offset any amounts which are payable to a
14 different taxing body but were erroneously paid to the
15 municipality or county. Within 10 days after receipt, by the
16 Comptroller, of the disbursement certification to the
17 municipalities and counties, provided for in this Section to
18 be given to the Comptroller by the Department, the
19 Comptroller shall cause the orders to be drawn for the
20 respective amounts in accordance with the directions
21 contained in such certification.
22 When certifying the amount of monthly disbursement to a
23 municipality or county under this Section, the Department
24 shall increase or decrease that amount by an amount necessary
25 to offset any misallocation of previous disbursements. The
26 offset amount shall be the amount erroneously disbursed
27 within the 6 months preceding the time a misallocation is
28 discovered.
29 The provisions directing the distributions from the
30 special fund in the State Treasury provided for in this
31 Section shall constitute an irrevocable and continuing
32 appropriation of all amounts as provided herein. The State
33 Treasurer and State Comptroller are hereby authorized to make
34 distributions as provided in this Section.
-4- LRB9200805SMdv
1 In construing any development, redevelopment, annexation,
2 preannexation or other lawful agreement in effect prior to
3 September 1, 1990, which describes or refers to receipts from
4 a county or municipal retailers' occupation tax, use tax or
5 service occupation tax which now cannot be imposed, such
6 description or reference shall be deemed to include the
7 replacement revenue for such abolished taxes, distributed
8 from the Local Government Tax Fund.
9 (Source: P.A. 90-491, eff. 1-1-98; 91-51, eff. 6-30-99;
10 91-872, eff. 7-1-00.)
11 (30 ILCS 105/6z-20) (from Ch. 127, par. 142z-20)
12 Sec. 6z-20. Of the money received from the 6.25% general
13 rate (and, beginning July 1, 2000 and through December 31,
14 2000, the 1.25% rate on motor fuel and gasohol and, beginning
15 again on July 1, 2001 and thereafter, the 1.25% rate on motor
16 fuel and gasohol) on sales subject to taxation under the
17 Retailers' Occupation Tax Act and Service Occupation Tax Act
18 and paid into the County and Mass Transit District Fund,
19 distribution to the Regional Transportation Authority tax
20 fund, created pursuant to Section 4.03 of the Regional
21 Transportation Authority Act, for deposit therein shall be
22 made based upon the retail sales occurring in a county having
23 more than 3,000,000 inhabitants. The remainder shall be
24 distributed to each county having 3,000,000 or fewer
25 inhabitants based upon the retail sales occurring in each
26 such county.
27 For the purpose of determining allocation to the local
28 government unit, a retail sale by a producer of coal or other
29 mineral mined in Illinois is a sale at retail at the place
30 where the coal or other mineral mined in Illinois is
31 extracted from the earth. This paragraph does not apply to
32 coal or other mineral when it is delivered or shipped by the
33 seller to the purchaser at a point outside Illinois so that
-5- LRB9200805SMdv
1 the sale is exempt under the United States Constitution as a
2 sale in interstate or foreign commerce.
3 Of the money received from the 6.25% general use tax rate
4 on tangible personal property which is purchased outside
5 Illinois at retail from a retailer and which is titled or
6 registered by any agency of this State's government and paid
7 into the County and Mass Transit District Fund, the amount
8 for which Illinois addresses for titling or registration
9 purposes are given as being in each county having more than
10 3,000,000 inhabitants shall be distributed into the Regional
11 Transportation Authority tax fund, created pursuant to
12 Section 4.03 of the Regional Transportation Authority Act.
13 The remainder of the money paid from such sales shall be
14 distributed to each county based on sales for which Illinois
15 addresses for titling or registration purposes are given as
16 being located in the county. Any money paid into the
17 Regional Transportation Authority Occupation and Use Tax
18 Replacement Fund from the County and Mass Transit District
19 Fund prior to January 14, 1991, which has not been paid to
20 the Authority prior to that date, shall be transferred to the
21 Regional Transportation Authority tax fund.
22 Whenever the Department determines that a refund of money
23 paid into the County and Mass Transit District Fund should be
24 made to a claimant instead of issuing a credit memorandum,
25 the Department shall notify the State Comptroller, who shall
26 cause the order to be drawn for the amount specified, and to
27 the person named, in such notification from the Department.
28 Such refund shall be paid by the State Treasurer out of the
29 County and Mass Transit District Fund.
30 On or before the 25th day of each calendar month, the
31 Department shall prepare and certify to the Comptroller the
32 disbursement of stated sums of money to the Regional
33 Transportation Authority and to named counties, the counties
34 to be those entitled to distribution, as hereinabove
-6- LRB9200805SMdv
1 provided, of taxes or penalties paid to the Department during
2 the second preceding calendar month. The amount to be paid
3 to the Regional Transportation Authority and each county
4 having 3,000,000 or fewer inhabitants shall be the amount
5 (not including credit memoranda) collected during the second
6 preceding calendar month by the Department and paid into the
7 County and Mass Transit District Fund, plus an amount the
8 Department determines is necessary to offset any amounts
9 which were erroneously paid to a different taxing body, and
10 not including an amount equal to the amount of refunds made
11 during the second preceding calendar month by the Department,
12 and not including any amount which the Department determines
13 is necessary to offset any amounts which were payable to a
14 different taxing body but were erroneously paid to the
15 Regional Transportation Authority or county. Within 10 days
16 after receipt, by the Comptroller, of the disbursement
17 certification to the Regional Transportation Authority and
18 counties, provided for in this Section to be given to the
19 Comptroller by the Department, the Comptroller shall cause
20 the orders to be drawn for the respective amounts in
21 accordance with the directions contained in such
22 certification.
23 When certifying the amount of a monthly disbursement to
24 the Regional Transportation Authority or to a county under
25 this Section, the Department shall increase or decrease that
26 amount by an amount necessary to offset any misallocation of
27 previous disbursements. The offset amount shall be the
28 amount erroneously disbursed within the 6 months preceding
29 the time a misallocation is discovered.
30 The provisions directing the distributions from the
31 special fund in the State Treasury provided for in this
32 Section and from the Regional Transportation Authority tax
33 fund created by Section 4.03 of the Regional Transportation
34 Authority Act shall constitute an irrevocable and continuing
-7- LRB9200805SMdv
1 appropriation of all amounts as provided herein. The State
2 Treasurer and State Comptroller are hereby authorized to make
3 distributions as provided in this Section.
4 In construing any development, redevelopment, annexation,
5 preannexation or other lawful agreement in effect prior to
6 September 1, 1990, which describes or refers to receipts from
7 a county or municipal retailers' occupation tax, use tax or
8 service occupation tax which now cannot be imposed, such
9 description or reference shall be deemed to include the
10 replacement revenue for such abolished taxes, distributed
11 from the County and Mass Transit District Fund or Local
12 Government Distributive Fund, as the case may be.
13 (Source: P.A. 90-491, eff. 1-1-98; 91-872, eff. 7-1-00.)
14 Section 10. The Use Tax Act is amended by changing
15 Section 3-10 as follows:
16 (35 ILCS 105/3-10) (from Ch. 120, par. 439.3-10)
17 Sec. 3-10. Rate of tax. Unless otherwise provided in
18 this Section, the tax imposed by this Act is at the rate of
19 6.25% of either the selling price or the fair market value,
20 if any, of the tangible personal property. In all cases
21 where property functionally used or consumed is the same as
22 the property that was purchased at retail, then the tax is
23 imposed on the selling price of the property. In all cases
24 where property functionally used or consumed is a by-product
25 or waste product that has been refined, manufactured, or
26 produced from property purchased at retail, then the tax is
27 imposed on the lower of the fair market value, if any, of the
28 specific property so used in this State or on the selling
29 price of the property purchased at retail. For purposes of
30 this Section "fair market value" means the price at which
31 property would change hands between a willing buyer and a
32 willing seller, neither being under any compulsion to buy or
-8- LRB9200805SMdv
1 sell and both having reasonable knowledge of the relevant
2 facts. The fair market value shall be established by Illinois
3 sales by the taxpayer of the same property as that
4 functionally used or consumed, or if there are no such sales
5 by the taxpayer, then comparable sales or purchases of
6 property of like kind and character in Illinois.
7 Beginning on July 1, 2000 and through December 31, 2000,
8 and beginning again on July 1, 2001 and thereafter, with
9 respect to motor fuel, as defined in Section 1.1 of the Motor
10 Fuel Tax Law, and gasohol, as defined in Section 3-40 of the
11 Use Tax Act, the tax is imposed at the rate of 1.25%. The
12 changes made by this amendatory Act of the 92nd General
13 Assembly are exempt from the provisions of Section 3-90.
14 With respect to gasohol, the tax imposed by this Act
15 applies to 70% of the proceeds of sales made on or after
16 January 1, 1990, and before July 1, 2003, and to 100% of the
17 proceeds of sales made thereafter.
18 With respect to food for human consumption that is to be
19 consumed off the premises where it is sold (other than
20 alcoholic beverages, soft drinks, and food that has been
21 prepared for immediate consumption) and prescription and
22 nonprescription medicines, drugs, medical appliances,
23 modifications to a motor vehicle for the purpose of rendering
24 it usable by a disabled person, and insulin, urine testing
25 materials, syringes, and needles used by diabetics, for human
26 use, the tax is imposed at the rate of 1%. For the purposes
27 of this Section, the term "soft drinks" means any complete,
28 finished, ready-to-use, non-alcoholic drink, whether
29 carbonated or not, including but not limited to soda water,
30 cola, fruit juice, vegetable juice, carbonated water, and all
31 other preparations commonly known as soft drinks of whatever
32 kind or description that are contained in any closed or
33 sealed bottle, can, carton, or container, regardless of size.
34 "Soft drinks" does not include coffee, tea, non-carbonated
-9- LRB9200805SMdv
1 water, infant formula, milk or milk products as defined in
2 the Grade A Pasteurized Milk and Milk Products Act, or drinks
3 containing 50% or more natural fruit or vegetable juice.
4 Notwithstanding any other provisions of this Act, "food
5 for human consumption that is to be consumed off the premises
6 where it is sold" includes all food sold through a vending
7 machine, except soft drinks and food products that are
8 dispensed hot from a vending machine, regardless of the
9 location of the vending machine.
10 If the property that is purchased at retail from a
11 retailer is acquired outside Illinois and used outside
12 Illinois before being brought to Illinois for use here and is
13 taxable under this Act, the "selling price" on which the tax
14 is computed shall be reduced by an amount that represents a
15 reasonable allowance for depreciation for the period of prior
16 out-of-state use.
17 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
18 91-51, eff. 6-30-99; 91-872, eff. 7-1-00.)
19 Section 15. The Service Use Tax Act is amended by
20 changing Section 3-10 as follows:
21 (35 ILCS 110/3-10) (from Ch. 120, par. 439.33-10)
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 of tangible personal property
25 transferred as an incident to the sale of service, but, for
26 the purpose of computing this tax, in no event shall the
27 selling price be less than the cost price of the property to
28 the serviceman.
29 Beginning on July 1, 2000 and through December 31, 2000,
30 and beginning again on July 1, 2001 and thereafter, with
31 respect to motor fuel, as defined in Section 1.1 of the Motor
32 Fuel Tax Law, and gasohol, as defined in Section 3-40 of the
-10- LRB9200805SMdv
1 Use Tax Act, the tax is imposed at the rate of 1.25%. The
2 changes made by this amendatory Act of the 92nd General
3 Assembly are exempt from the provisions of Section 3-75.
4 With respect to gasohol, as defined in the Use Tax Act,
5 the tax imposed by this Act applies to 70% of the selling
6 price of property transferred as an incident to the sale of
7 service on or after January 1, 1990, and before July 1, 2003,
8 and to 100% of the selling price thereafter.
9 At the election of any registered serviceman made for
10 each fiscal year, sales of service in which the aggregate
11 annual cost price of tangible personal property transferred
12 as an incident to the sales of service is less than 35%, or
13 75% in the case of servicemen transferring prescription drugs
14 or servicemen engaged in graphic arts production, of the
15 aggregate annual total gross receipts from all sales of
16 service, the tax imposed by this Act shall be based on the
17 serviceman's cost price of the tangible personal property
18 transferred as an incident to the sale of those services.
19 The tax shall be imposed at the rate of 1% on food
20 prepared for immediate consumption and transferred incident
21 to a sale of service subject to this Act or the Service
22 Occupation Tax Act by an entity licensed under the Hospital
23 Licensing Act, the Nursing Home Care Act, or the Child Care
24 Act of 1969. The tax shall also be imposed at the rate of 1%
25 on food for human consumption that is to be consumed off the
26 premises where it is sold (other than alcoholic beverages,
27 soft drinks, and food that has been prepared for immediate
28 consumption and is not otherwise included in this paragraph)
29 and prescription and nonprescription medicines, drugs,
30 medical appliances, modifications to a motor vehicle for the
31 purpose of rendering it usable by a disabled person, and
32 insulin, urine testing materials, syringes, and needles used
33 by diabetics, for human use. For the purposes of this
34 Section, the term "soft drinks" means any complete, finished,
-11- LRB9200805SMdv
1 ready-to-use, non-alcoholic drink, whether carbonated or not,
2 including but not limited to soda water, cola, fruit juice,
3 vegetable juice, carbonated water, and all other preparations
4 commonly known as soft drinks of whatever kind or description
5 that are contained in any closed or sealed bottle, can,
6 carton, or container, regardless of size. "Soft drinks" does
7 not include coffee, tea, non-carbonated water, infant
8 formula, milk or milk products as defined in the Grade A
9 Pasteurized Milk and Milk Products Act, or drinks containing
10 50% or more natural fruit or vegetable juice.
11 Notwithstanding any other provisions of this Act, "food
12 for human consumption that is to be consumed off the premises
13 where it is sold" includes all food sold through a vending
14 machine, except soft drinks and food products that are
15 dispensed hot from a vending machine, regardless of the
16 location of the vending machine.
17 If the property that is acquired from a serviceman is
18 acquired outside Illinois and used outside Illinois before
19 being brought to Illinois for use here and is taxable under
20 this Act, the "selling price" on which the tax is computed
21 shall be reduced by an amount that represents a reasonable
22 allowance for depreciation for the period of prior
23 out-of-state use.
24 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
25 91-51, eff. 6-30-99; 91-541, eff. 8-13-99; 91-872, eff.
26 7-1-00.)
27 Section 20. The Service Occupation Tax Act is amended by
28 changing Section 3-10 as follows:
29 (35 ILCS 115/3-10) (from Ch. 120, par. 439.103-10)
30 Sec. 3-10. Rate of tax. Unless otherwise provided in
31 this Section, the tax imposed by this Act is at the rate of
32 6.25% of the "selling price", as defined in Section 2 of the
-12- LRB9200805SMdv
1 Service Use Tax Act, of the tangible personal property. For
2 the purpose of computing this tax, in no event shall the
3 "selling price" be less than the cost price to the serviceman
4 of the tangible personal property transferred. The selling
5 price of each item of tangible personal property transferred
6 as an incident of a sale of service may be shown as a
7 distinct and separate item on the serviceman's billing to the
8 service customer. If the selling price is not so shown, the
9 selling price of the tangible personal property is deemed to
10 be 50% of the serviceman's entire billing to the service
11 customer. When, however, a serviceman contracts to design,
12 develop, and produce special order machinery or equipment,
13 the tax imposed by this Act shall be based on the
14 serviceman's cost price of the tangible personal property
15 transferred incident to the completion of the contract.
16 Beginning on July 1, 2000 and through December 31, 2000,
17 and beginning again on July 1, 2001 and thereafter, with
18 respect to motor fuel, as defined in Section 1.1 of the Motor
19 Fuel Tax Law, and gasohol, as defined in Section 3-40 of the
20 Use Tax Act, the tax is imposed at the rate of 1.25%. The
21 changes made by this amendatory Act of the 92nd General
22 Assembly are exempt from the provisions of Section 3-55.
23 With respect to gasohol, as defined in the Use Tax Act,
24 the tax imposed by this Act shall apply to 70% of the cost
25 price of property transferred as an incident to the sale of
26 service on or after January 1, 1990, and before July 1, 2003,
27 and to 100% of the cost price thereafter.
28 At the election of any registered serviceman made for
29 each fiscal year, sales of service in which the aggregate
30 annual cost price of tangible personal property transferred
31 as an incident to the sales of service is less than 35%, or
32 75% in the case of servicemen transferring prescription drugs
33 or servicemen engaged in graphic arts production, of the
34 aggregate annual total gross receipts from all sales of
-13- LRB9200805SMdv
1 service, the tax imposed by this Act shall be based on the
2 serviceman's cost price of the tangible personal property
3 transferred incident to the sale of those services.
4 The tax shall be imposed at the rate of 1% on food
5 prepared for immediate consumption and transferred incident
6 to a sale of service subject to this Act or the Service
7 Occupation Tax Act by an entity licensed under the Hospital
8 Licensing Act, the Nursing Home Care Act, or the Child Care
9 Act of 1969. The tax shall also be imposed at the rate of 1%
10 on food for human consumption that is to be consumed off the
11 premises where it is sold (other than alcoholic beverages,
12 soft drinks, and food that has been prepared for immediate
13 consumption and is not otherwise included in this paragraph)
14 and prescription and nonprescription medicines, drugs,
15 medical appliances, modifications to a motor vehicle for the
16 purpose of rendering it usable by a disabled person, and
17 insulin, urine testing materials, syringes, and needles used
18 by diabetics, for human use. For the purposes of this
19 Section, the term "soft drinks" means any complete, finished,
20 ready-to-use, non-alcoholic drink, whether carbonated or not,
21 including but not limited to soda water, cola, fruit juice,
22 vegetable juice, carbonated water, and all other preparations
23 commonly known as soft drinks of whatever kind or description
24 that are contained in any closed or sealed can, carton, or
25 container, regardless of size. "Soft drinks" does not
26 include coffee, tea, non-carbonated water, infant formula,
27 milk or milk products as defined in the Grade A Pasteurized
28 Milk and Milk Products Act, or drinks containing 50% or more
29 natural fruit or vegetable juice.
30 Notwithstanding any other provisions of this Act, "food
31 for human consumption that is to be consumed off the premises
32 where it is sold" includes all food sold through a vending
33 machine, except soft drinks and food products that are
34 dispensed hot from a vending machine, regardless of the
-14- LRB9200805SMdv
1 location of the vending machine.
2 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
3 91-51, 6-30-99; 91-541, eff. 8-13-99; 91-872, eff. 7-1-00.)
4 Section 25. The Retailers' Occupation Tax Act is amended
5 by changing Sections 2-10 and 2d as follows:
6 (35 ILCS 120/2-10) (from Ch. 120, par. 441-10)
7 Sec. 2-10. Rate of tax. Unless otherwise provided in
8 this Section, the tax imposed by this Act is at the rate of
9 6.25% of gross receipts from sales of tangible personal
10 property made in the course of business.
11 Beginning on July 1, 2000 and through December 31, 2000,
12 and beginning again on July 1, 2001 and thereafter, with
13 respect to motor fuel, as defined in Section 1.1 of the Motor
14 Fuel Tax Law, and gasohol, as defined in Section 3-40 of the
15 Use Tax Act, the tax is imposed at the rate of 1.25%. The
16 changes made by this amendatory Act of the 92nd General
17 Assembly are exempt from the provisions of Section 2-70.
18 Within 14 days after the effective date of this
19 amendatory Act of the 91st General Assembly, each retailer of
20 motor fuel and gasohol shall cause the following notice to be
21 posted in a prominently visible place on each retail
22 dispensing device that is used to dispense motor fuel or
23 gasohol in the State of Illinois: "As of July 1, 2000, the
24 State of Illinois has eliminated the State's share of sales
25 tax on motor fuel and gasohol through December 31, 2000. The
26 price on this pump should reflect the elimination of the
27 tax." The notice shall be printed in bold print on a sign
28 that is no smaller than 4 inches by 8 inches. The sign shall
29 be clearly visible to customers. Any retailer who fails to
30 post or maintain a required sign through December 31, 2000 is
31 guilty of a petty offense for which the fine shall be $500
32 per day per each retail premises where a violation occurs.
-15- LRB9200805SMdv
1 With respect to gasohol, as defined in the Use Tax Act,
2 the tax imposed by this Act applies to 70% of the proceeds of
3 sales made on or after January 1, 1990, and before July 1,
4 2003, and to 100% of the proceeds of sales made thereafter.
5 With respect to food for human consumption that is to be
6 consumed off the premises where it is sold (other than
7 alcoholic beverages, soft drinks, and food that has been
8 prepared for immediate consumption) and prescription and
9 nonprescription medicines, drugs, medical appliances,
10 modifications to a motor vehicle for the purpose of rendering
11 it usable by a disabled person, and insulin, urine testing
12 materials, syringes, and needles used by diabetics, for human
13 use, the tax is imposed at the rate of 1%. For the purposes
14 of this Section, the term "soft drinks" means any complete,
15 finished, ready-to-use, non-alcoholic drink, whether
16 carbonated or not, including but not limited to soda water,
17 cola, fruit juice, vegetable juice, carbonated water, and all
18 other preparations commonly known as soft drinks of whatever
19 kind or description that are contained in any closed or
20 sealed bottle, can, carton, or container, regardless of size.
21 "Soft drinks" does not include coffee, tea, non-carbonated
22 water, infant formula, milk or milk products as defined in
23 the Grade A Pasteurized Milk and Milk Products Act, or drinks
24 containing 50% or more natural fruit or vegetable juice.
25 Notwithstanding any other provisions of this Act, "food
26 for human consumption that is to be consumed off the premises
27 where it is sold" includes all food sold through a vending
28 machine, except soft drinks and food products that are
29 dispensed hot from a vending machine, regardless of the
30 location of the vending machine.
31 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
32 91-51, eff. 6-30-99; 91-872, eff. 7-1-00.)
33 (35 ILCS 120/2d) (from Ch. 120, par. 441d)
-16- LRB9200805SMdv
1 Sec. 2d. Tax prepayment by motor fuel retailer. Any
2 person engaged in the business of selling motor fuel at
3 retail, as defined in the Motor Fuel Tax Law, and who is not
4 a licensed distributor or supplier, as defined in the Motor
5 Fuel Tax Law, shall prepay to his or her distributor,
6 supplier, or other reseller of motor fuel a portion of the
7 tax imposed by this Act if the distributor, supplier, or
8 other reseller of motor fuel is registered under Section 2a
9 or Section 2c of this Act. The prepayment requirement
10 provided for in this Section does not apply to liquid propane
11 gas.
12 Beginning on July 1, 2000 and through December 31, 2000,
13 the Retailers' Occupation Tax paid to the distributor,
14 supplier, or other reseller shall be an amount equal to $0.01
15 per gallon of the motor fuel, except gasohol as defined in
16 Section 2-10 of this Act which shall be an amount equal to
17 $0.01 per gallon, purchased from the distributor, supplier,
18 or other reseller.
19 Before July 1, 2000 and then beginning on January 1, 2001
20 and through June 30, 2001 thereafter, the Retailers'
21 Occupation Tax paid to the distributor, supplier, or other
22 reseller shall be an amount equal to $0.04 per gallon of the
23 motor fuel, except gasohol as defined in Section 2-10 of this
24 Act which shall be an amount equal to $0.03 per gallon,
25 purchased from the distributor, supplier, or other reseller.
26 Beginning again on July 1, 2001 and thereafter, the
27 Retailers' Occupation Tax paid to the distributor, supplier,
28 or other reseller shall be an amount equal to $0.01 per
29 gallon of the motor fuel purchased from the distributor,
30 supplier, or other reseller.
31 Any person engaged in the business of selling motor fuel
32 at retail shall be entitled to a credit against tax due under
33 this Act in an amount equal to the tax paid to the
34 distributor, supplier, or other reseller.
-17- LRB9200805SMdv
1 Every distributor, supplier, or other reseller registered
2 as provided in Section 2a or Section 2c of this Act shall
3 remit the prepaid tax on all motor fuel that is due from any
4 person engaged in the business of selling at retail motor
5 fuel with the returns filed under Section 2f or Section 3 of
6 this Act, but the vendors discount provided in Section 3
7 shall not apply to the amount of prepaid tax that is
8 remitted. Any distributor or supplier who fails to properly
9 collect and remit the tax shall be liable for the tax. For
10 purposes of this Section, the prepaid tax is due on invoiced
11 gallons sold during a month by the 20th day of the following
12 month.
13 (Source: P.A. 91-872, eff. 7-1-00.)
14 Section 30. The Motor Fuel Tax Law is amended by
15 changing Section 13a as follows:
16 (35 ILCS 505/13a) (from Ch. 120, par. 429a)
17 Sec. 13a. (1) A tax is hereby imposed upon the use of
18 motor fuel upon highways of this State by commercial motor
19 vehicles. The tax shall be comprised of 2 parts. Part (a)
20 shall be at the rate established by Section 2 of this Act, as
21 heretofore or hereafter amended. Part (b) shall be at the
22 rate established by subsection (2) of this Section as now or
23 hereafter amended.
24 (2) For calendar years 1999 and before and for the
25 periods of January through June of 2000 and 2001, a rate
26 shall be established by the Department as of January 1 of
27 each year using the average "selling price", as defined in
28 the Retailers' Occupation Tax Act, per gallon of motor fuel
29 sold in this State during the previous 12 months and
30 multiplying it by 6 1/4% to determine the cents per gallon
31 rate. For the period beginning on July 1, 2000 and through
32 December 31, 2000, the Department shall establish a rate
-18- LRB9200805SMdv
1 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. For the period
5 beginning on July 1, 2001 and through December 31, 2001, the
6 Department shall establish a rate using the average "selling
7 price", as defined in the Retailers' Occupation Tax Act, per
8 gallon of motor fuel sold in this State during calendar year
9 2000 and multiplying it by 1.25% to determine the cents per
10 gallon rate. On January 1, 2002 and on each January 1
11 thereafter the Department shall establish a rate using the
12 average "selling price", as defined in the Retailers'
13 Occupation Tax Act, per gallon of motor fuel sold in this
14 State during the previous 12 months and multiplying it by
15 1.25% to determine the cents per gallon rate.
16 (Source: P.A. 91-872, eff. 7-1-00.)
17 Section 99. Effective date. This Act takes effect upon
18 becoming law.