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92_HB2530
LRB9204159SMdv
1 AN ACT with respect to taxation.
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
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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 January 1, 2002 and through
7 December 31, 2006, the 1.25% rate on gasohol) on sales
8 subject to taxation under the Retailers' Occupation Tax Act
9 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
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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.
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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,
15 beginning January 1, 2002 and through December 31, 2006, the
16 1.25% rate on 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
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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
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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
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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 Sections 3-10 and 9 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
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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 with respect to motor fuel, as defined in Section 1.1 of the
9 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40
10 of the Use Tax Act, the tax is imposed at the rate of 1.25%.
11 Beginning on January 1, 2002 and through December 31,
12 2006, with respect to gasohol, as defined in Section 3-40,
13 the tax is imposed at the rate of 1.25%.
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
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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 (35 ILCS 105/9) (from Ch. 120, par. 439.9)
20 Sec. 9. Except as to motor vehicles, watercraft,
21 aircraft, and trailers that are required to be registered
22 with an agency of this State, each retailer required or
23 authorized to collect the tax imposed by this Act shall pay
24 to the Department the amount of such tax (except as otherwise
25 provided) at the time when he is required to file his return
26 for the period during which such tax was collected, less a
27 discount of 2.1% prior to January 1, 1990, and 1.75% on and
28 after January 1, 1990, or $5 per calendar year, whichever is
29 greater, which is allowed to reimburse the retailer for
30 expenses incurred in collecting the tax, keeping records,
31 preparing and filing returns, remitting the tax and supplying
32 data to the Department on request. In the case of retailers
33 who report and pay the tax on a transaction by transaction
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1 basis, as provided in this Section, such discount shall be
2 taken with each such tax remittance instead of when such
3 retailer files his periodic return. A retailer need not
4 remit that part of any tax collected by him to the extent
5 that he is required to remit and does remit the tax imposed
6 by the Retailers' Occupation Tax Act, with respect to the
7 sale of the same property.
8 Where such tangible personal property is sold under a
9 conditional sales contract, or under any other form of sale
10 wherein the payment of the principal sum, or a part thereof,
11 is extended beyond the close of the period for which the
12 return is filed, the retailer, in collecting the tax (except
13 as to motor vehicles, watercraft, aircraft, and trailers that
14 are required to be registered with an agency of this State),
15 may collect for each tax return period, only the tax
16 applicable to that part of the selling price actually
17 received during such tax return period.
18 Except as provided in this Section, on or before the
19 twentieth day of each calendar month, such retailer shall
20 file a return for the preceding calendar month. Such return
21 shall be filed on forms prescribed by the Department and
22 shall furnish such information as the Department may
23 reasonably require.
24 The Department may require returns to be filed on a
25 quarterly basis. If so required, a return for each calendar
26 quarter shall be filed on or before the twentieth day of the
27 calendar month following the end of such calendar quarter.
28 The taxpayer shall also file a return with the Department for
29 each of the first two months of each calendar quarter, on or
30 before the twentieth day of the following calendar month,
31 stating:
32 1. The name of the seller;
33 2. The address of the principal place of business
34 from which he engages in the business of selling tangible
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1 personal property at retail in this State;
2 3. The total amount of taxable receipts received by
3 him during the preceding calendar month from sales of
4 tangible personal property by him during such preceding
5 calendar month, including receipts from charge and time
6 sales, but less all deductions allowed by law;
7 4. The amount of credit provided in Section 2d of
8 this Act;
9 5. The amount of tax due;
10 5-5. The signature of the taxpayer; and
11 6. Such other reasonable information as the
12 Department may require.
13 If a taxpayer fails to sign a return within 30 days after
14 the proper notice and demand for signature by the Department,
15 the return shall be considered valid and any amount shown to
16 be due on the return shall be deemed assessed.
17 Beginning October 1, 1993, a taxpayer who has an average
18 monthly tax liability of $150,000 or more shall make all
19 payments required by rules of the Department by electronic
20 funds transfer. Beginning October 1, 1994, a taxpayer who has
21 an average monthly tax liability of $100,000 or more shall
22 make all payments required by rules of the Department by
23 electronic funds transfer. Beginning October 1, 1995, a
24 taxpayer who has an average monthly tax liability of $50,000
25 or more shall make all payments required by rules of the
26 Department by electronic funds transfer. Beginning October 1,
27 2000, a taxpayer who has an annual tax liability of $200,000
28 or more shall make all payments required by rules of the
29 Department by electronic funds transfer. The term "annual
30 tax liability" shall be the sum of the taxpayer's liabilities
31 under this Act, and under all other State and local
32 occupation and use tax laws administered by the Department,
33 for the immediately preceding calendar year. The term
34 "average monthly tax liability" means the sum of the
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1 taxpayer's liabilities under this Act, and under all other
2 State and local occupation and use tax laws administered by
3 the Department, for the immediately preceding calendar year
4 divided by 12.
5 Before August 1 of each year beginning in 1993, the
6 Department shall notify all taxpayers required to make
7 payments by electronic funds transfer. All taxpayers required
8 to make payments by electronic funds transfer shall make
9 those payments for a minimum of one year beginning on October
10 1.
11 Any taxpayer not required to make payments by electronic
12 funds transfer may make payments by electronic funds transfer
13 with the permission of the Department.
14 All taxpayers required to make payment by electronic
15 funds transfer and any taxpayers authorized to voluntarily
16 make payments by electronic funds transfer shall make those
17 payments in the manner authorized by the Department.
18 The Department shall adopt such rules as are necessary to
19 effectuate a program of electronic funds transfer and the
20 requirements of this Section.
21 Before October 1, 2000, if the taxpayer's average monthly
22 tax liability to the Department under this Act, the
23 Retailers' Occupation Tax Act, the Service Occupation Tax
24 Act, the Service Use Tax Act was $10,000 or more during the
25 preceding 4 complete calendar quarters, he shall file a
26 return with the Department each month by the 20th day of the
27 month next following the month during which such tax
28 liability is incurred and shall make payments to the
29 Department on or before the 7th, 15th, 22nd and last day of
30 the month during which such liability is incurred. On and
31 after October 1, 2000, if the taxpayer's average monthly tax
32 liability to the Department under this Act, the Retailers'
33 Occupation Tax Act, the Service Occupation Tax Act, and the
34 Service Use Tax Act was $20,000 or more during the preceding
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1 4 complete calendar quarters, he shall file a return with the
2 Department each month by the 20th day of the month next
3 following the month during which such tax liability is
4 incurred and shall make payment to the Department on or
5 before the 7th, 15th, 22nd and last day of the month during
6 which such liability is incurred. If the month during which
7 such tax liability is incurred began prior to January 1,
8 1985, each payment shall be in an amount equal to 1/4 of the
9 taxpayer's actual liability for the month or an amount set by
10 the Department not to exceed 1/4 of the average monthly
11 liability of the taxpayer to the Department for the preceding
12 4 complete calendar quarters (excluding the month of highest
13 liability and the month of lowest liability in such 4 quarter
14 period). If the month during which such tax liability is
15 incurred begins on or after January 1, 1985, and prior to
16 January 1, 1987, each payment shall be in an amount equal to
17 22.5% of the taxpayer's actual liability for the month or
18 27.5% of the taxpayer's liability for the same calendar month
19 of the preceding year. If the month during which such tax
20 liability is incurred begins on or after January 1, 1987, and
21 prior to January 1, 1988, each payment shall be in an amount
22 equal to 22.5% of the taxpayer's actual liability for the
23 month or 26.25% of the taxpayer's liability for the same
24 calendar month of the preceding year. If the month during
25 which such tax liability is incurred begins on or after
26 January 1, 1988, and prior to January 1, 1989, or begins on
27 or after January 1, 1996, each payment shall be in an amount
28 equal to 22.5% of the taxpayer's actual liability for the
29 month or 25% of the taxpayer's liability for the same
30 calendar month of the preceding year. If the month during
31 which such tax liability is incurred begins on or after
32 January 1, 1989, and prior to January 1, 1996, each payment
33 shall be in an amount equal to 22.5% of the taxpayer's actual
34 liability for the month or 25% of the taxpayer's liability
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1 for the same calendar month of the preceding year or 100% of
2 the taxpayer's actual liability for the quarter monthly
3 reporting period. The amount of such quarter monthly
4 payments shall be credited against the final tax liability of
5 the taxpayer's return for that month. Before October 1,
6 2000, once applicable, the requirement of the making of
7 quarter monthly payments to the Department shall continue
8 until such taxpayer's average monthly liability to the
9 Department during the preceding 4 complete calendar quarters
10 (excluding the month of highest liability and the month of
11 lowest liability) is less than $9,000, or until such
12 taxpayer's average monthly liability to the Department as
13 computed for each calendar quarter of the 4 preceding
14 complete calendar quarter period is less than $10,000.
15 However, if a taxpayer can show the Department that a
16 substantial change in the taxpayer's business has occurred
17 which causes the taxpayer to anticipate that his average
18 monthly tax liability for the reasonably foreseeable future
19 will fall below the $10,000 threshold stated above, then such
20 taxpayer may petition the Department for change in such
21 taxpayer's reporting status. On and after October 1, 2000,
22 once applicable, the requirement of the making of quarter
23 monthly payments to the Department shall continue until such
24 taxpayer's average monthly liability to the Department during
25 the preceding 4 complete calendar quarters (excluding the
26 month of highest liability and the month of lowest liability)
27 is less than $19,000 or until such taxpayer's average monthly
28 liability to the Department as computed for each calendar
29 quarter of the 4 preceding complete calendar quarter period
30 is less than $20,000. However, if a taxpayer can show the
31 Department that a substantial change in the taxpayer's
32 business has occurred which causes the taxpayer to anticipate
33 that his average monthly tax liability for the reasonably
34 foreseeable future will fall below the $20,000 threshold
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1 stated above, then such taxpayer may petition the Department
2 for a change in such taxpayer's reporting status. The
3 Department shall change such taxpayer's reporting status
4 unless it finds that such change is seasonal in nature and
5 not likely to be long term. If any such quarter monthly
6 payment is not paid at the time or in the amount required by
7 this Section, then the taxpayer shall be liable for penalties
8 and interest on the difference between the minimum amount due
9 and the amount of such quarter monthly payment actually and
10 timely paid, except insofar as the taxpayer has previously
11 made payments for that month to the Department in excess of
12 the minimum payments previously due as provided in this
13 Section. The Department shall make reasonable rules and
14 regulations to govern the quarter monthly payment amount and
15 quarter monthly payment dates for taxpayers who file on other
16 than a calendar monthly basis.
17 If any such payment provided for in this Section exceeds
18 the taxpayer's liabilities under this Act, the Retailers'
19 Occupation Tax Act, the Service Occupation Tax Act and the
20 Service Use Tax Act, as shown by an original monthly return,
21 the Department shall issue to the taxpayer a credit
22 memorandum no later than 30 days after the date of payment,
23 which memorandum may be submitted by the taxpayer to the
24 Department in payment of tax liability subsequently to be
25 remitted by the taxpayer to the Department or be assigned by
26 the taxpayer to a similar taxpayer under this Act, the
27 Retailers' Occupation Tax Act, the Service Occupation Tax Act
28 or the Service Use Tax Act, in accordance with reasonable
29 rules and regulations to be prescribed by the Department,
30 except that if such excess payment is shown on an original
31 monthly return and is made after December 31, 1986, no credit
32 memorandum shall be issued, unless requested by the taxpayer.
33 If no such request is made, the taxpayer may credit such
34 excess payment against tax liability subsequently to be
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1 remitted by the taxpayer to the Department under this Act,
2 the Retailers' Occupation Tax Act, the Service Occupation Tax
3 Act or the Service Use Tax Act, in accordance with reasonable
4 rules and regulations prescribed by the Department. If the
5 Department subsequently determines that all or any part of
6 the credit taken was not actually due to the taxpayer, the
7 taxpayer's 2.1% or 1.75% vendor's discount shall be reduced
8 by 2.1% or 1.75% of the difference between the credit taken
9 and that actually due, and the taxpayer shall be liable for
10 penalties and interest on such difference.
11 If the retailer is otherwise required to file a monthly
12 return and if the retailer's average monthly tax liability to
13 the Department does not exceed $200, the Department may
14 authorize his returns to be filed on a quarter annual basis,
15 with the return for January, February, and March of a given
16 year being due by April 20 of such year; with the return for
17 April, May and June of a given year being due by July 20 of
18 such year; with the return for July, August and September of
19 a given year being due by October 20 of such year, and with
20 the return for October, November and December of a given year
21 being due by January 20 of the following year.
22 If the retailer is otherwise required to file a monthly
23 or quarterly return and if the retailer's average monthly tax
24 liability to the Department does not exceed $50, the
25 Department may authorize his returns to be filed on an annual
26 basis, with the return for a given year being due by January
27 20 of the following year.
28 Such quarter annual and annual returns, as to form and
29 substance, shall be subject to the same requirements as
30 monthly returns.
31 Notwithstanding any other provision in this Act
32 concerning the time within which a retailer may file his
33 return, in the case of any retailer who ceases to engage in a
34 kind of business which makes him responsible for filing
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1 returns under this Act, such retailer shall file a final
2 return under this Act with the Department not more than one
3 month after discontinuing such business.
4 In addition, with respect to motor vehicles, watercraft,
5 aircraft, and trailers that are required to be registered
6 with an agency of this State, every retailer selling this
7 kind of tangible personal property shall file, with the
8 Department, upon a form to be prescribed and supplied by the
9 Department, a separate return for each such item of tangible
10 personal property which the retailer sells, except that if,
11 in the same transaction, (i) a retailer of aircraft,
12 watercraft, motor vehicles or trailers transfers more than
13 one aircraft, watercraft, motor vehicle or trailer to another
14 aircraft, watercraft, motor vehicle or trailer retailer for
15 the purpose of resale or (ii) a retailer of aircraft,
16 watercraft, motor vehicles, or trailers transfers more than
17 one aircraft, watercraft, motor vehicle, or trailer to a
18 purchaser for use as a qualifying rolling stock as provided
19 in Section 3-55 of this Act, then that seller may report the
20 transfer of all the aircraft, watercraft, motor vehicles or
21 trailers involved in that transaction to the Department on
22 the same uniform invoice-transaction reporting return form.
23 For purposes of this Section, "watercraft" means a Class 2,
24 Class 3, or Class 4 watercraft as defined in Section 3-2 of
25 the Boat Registration and Safety Act, a personal watercraft,
26 or any boat equipped with an inboard motor.
27 The transaction reporting return in the case of motor
28 vehicles or trailers that are required to be registered with
29 an agency of this State, shall be the same document as the
30 Uniform Invoice referred to in Section 5-402 of the Illinois
31 Vehicle Code and must show the name and address of the
32 seller; the name and address of the purchaser; the amount of
33 the selling price including the amount allowed by the
34 retailer for traded-in property, if any; the amount allowed
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1 by the retailer for the traded-in tangible personal property,
2 if any, to the extent to which Section 2 of this Act allows
3 an exemption for the value of traded-in property; the balance
4 payable after deducting such trade-in allowance from the
5 total selling price; the amount of tax due from the retailer
6 with respect to such transaction; the amount of tax collected
7 from the purchaser by the retailer on such transaction (or
8 satisfactory evidence that such tax is not due in that
9 particular instance, if that is claimed to be the fact); the
10 place and date of the sale; a sufficient identification of
11 the property sold; such other information as is required in
12 Section 5-402 of the Illinois Vehicle Code, and such other
13 information as the Department may reasonably require.
14 The transaction reporting return in the case of
15 watercraft and aircraft must show the name and address of the
16 seller; the name and address of the purchaser; the amount of
17 the selling price including the amount allowed by the
18 retailer for traded-in property, if any; the amount allowed
19 by the retailer for the traded-in tangible personal property,
20 if any, to the extent to which Section 2 of this Act allows
21 an exemption for the value of traded-in property; the balance
22 payable after deducting such trade-in allowance from the
23 total selling price; the amount of tax due from the retailer
24 with respect to such transaction; the amount of tax collected
25 from the purchaser by the retailer on such transaction (or
26 satisfactory evidence that such tax is not due in that
27 particular instance, if that is claimed to be the fact); the
28 place and date of the sale, a sufficient identification of
29 the property sold, and such other information as the
30 Department may reasonably require.
31 Such transaction reporting return shall be filed not
32 later than 20 days after the date of delivery of the item
33 that is being sold, but may be filed by the retailer at any
34 time sooner than that if he chooses to do so. The
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1 transaction reporting return and tax remittance or proof of
2 exemption from the tax that is imposed by this Act may be
3 transmitted to the Department by way of the State agency with
4 which, or State officer with whom, the tangible personal
5 property must be titled or registered (if titling or
6 registration is required) if the Department and such agency
7 or State officer determine that this procedure will expedite
8 the processing of applications for title or registration.
9 With each such transaction reporting return, the retailer
10 shall remit the proper amount of tax due (or shall submit
11 satisfactory evidence that the sale is not taxable if that is
12 the case), to the Department or its agents, whereupon the
13 Department shall issue, in the purchaser's name, a tax
14 receipt (or a certificate of exemption if the Department is
15 satisfied that the particular sale is tax exempt) which such
16 purchaser may submit to the agency with which, or State
17 officer with whom, he must title or register the tangible
18 personal property that is involved (if titling or
19 registration is required) in support of such purchaser's
20 application for an Illinois certificate or other evidence of
21 title or registration to such tangible personal property.
22 No retailer's failure or refusal to remit tax under this
23 Act precludes a user, who has paid the proper tax to the
24 retailer, from obtaining his certificate of title or other
25 evidence of title or registration (if titling or registration
26 is required) upon satisfying the Department that such user
27 has paid the proper tax (if tax is due) to the retailer. The
28 Department shall adopt appropriate rules to carry out the
29 mandate of this paragraph.
30 If the user who would otherwise pay tax to the retailer
31 wants the transaction reporting return filed and the payment
32 of tax or proof of exemption made to the Department before
33 the retailer is willing to take these actions and such user
34 has not paid the tax to the retailer, such user may certify
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1 to the fact of such delay by the retailer, and may (upon the
2 Department being satisfied of the truth of such
3 certification) transmit the information required by the
4 transaction reporting return and the remittance for tax or
5 proof of exemption directly to the Department and obtain his
6 tax receipt or exemption determination, in which event the
7 transaction reporting return and tax remittance (if a tax
8 payment was required) shall be credited by the Department to
9 the proper retailer's account with the Department, but
10 without the 2.1% or 1.75% discount provided for in this
11 Section being allowed. When the user pays the tax directly
12 to the Department, he shall pay the tax in the same amount
13 and in the same form in which it would be remitted if the tax
14 had been remitted to the Department by the retailer.
15 Where a retailer collects the tax with respect to the
16 selling price of tangible personal property which he sells
17 and the purchaser thereafter returns such tangible personal
18 property and the retailer refunds the selling price thereof
19 to the purchaser, such retailer shall also refund, to the
20 purchaser, the tax so collected from the purchaser. When
21 filing his return for the period in which he refunds such tax
22 to the purchaser, the retailer may deduct the amount of the
23 tax so refunded by him to the purchaser from any other use
24 tax which such retailer may be required to pay or remit to
25 the Department, as shown by such return, if the amount of the
26 tax to be deducted was previously remitted to the Department
27 by such retailer. If the retailer has not previously
28 remitted the amount of such tax to the Department, he is
29 entitled to no deduction under this Act upon refunding such
30 tax to the purchaser.
31 Any retailer filing a return under this Section shall
32 also include (for the purpose of paying tax thereon) the
33 total tax covered by such return upon the selling price of
34 tangible personal property purchased by him at retail from a
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1 retailer, but as to which the tax imposed by this Act was not
2 collected from the retailer filing such return, and such
3 retailer shall remit the amount of such tax to the Department
4 when filing such return.
5 If experience indicates such action to be practicable,
6 the Department may prescribe and furnish a combination or
7 joint return which will enable retailers, who are required to
8 file returns hereunder and also under the Retailers'
9 Occupation Tax Act, to furnish all the return information
10 required by both Acts on the one form.
11 Where the retailer has more than one business registered
12 with the Department under separate registration under this
13 Act, such retailer may not file each return that is due as a
14 single return covering all such registered businesses, but
15 shall file separate returns for each such registered
16 business.
17 Beginning January 1, 1990, each month the Department
18 shall pay into the State and Local Sales Tax Reform Fund, a
19 special fund in the State Treasury which is hereby created,
20 the net revenue realized for the preceding month from the 1%
21 tax on sales of food for human consumption which is to be
22 consumed off the premises where it is sold (other than
23 alcoholic beverages, soft drinks and food which has been
24 prepared for immediate consumption) and prescription and
25 nonprescription medicines, drugs, medical appliances and
26 insulin, urine testing materials, syringes and needles used
27 by diabetics.
28 Beginning January 1, 1990, each month the Department
29 shall pay into the County and Mass Transit District Fund 4%
30 of the net revenue realized for the preceding month from the
31 6.25% general rate on the selling price of tangible personal
32 property which is purchased outside Illinois at retail from a
33 retailer and which is titled or registered by an agency of
34 this State's government.
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1 Beginning January 1, 1990, each month the Department
2 shall pay into the State and Local Sales Tax Reform Fund, a
3 special fund in the State Treasury, 20% of the net revenue
4 realized for the preceding month from the 6.25% general rate
5 on the selling price of tangible personal property, other
6 than tangible personal property which is purchased outside
7 Illinois at retail from a retailer and which is titled or
8 registered by an agency of this State's government.
9 Beginning August 1, 2000, each month the Department shall
10 pay into the State and Local Sales Tax Reform Fund 100% of
11 the net revenue realized for the preceding month from the
12 1.25% rate on the selling price of motor fuel and gasohol.
13 Beginning February 1, 2002, each month the Department
14 shall pay into the State and Local Sales Tax Reform Fund 100%
15 of the net revenue realized for the preceding month form the
16 1.25% rate on the selling price of gasohol.
17 Beginning January 1, 1990, each month the Department
18 shall pay into the Local Government Tax Fund 16% of the net
19 revenue realized for the preceding month from the 6.25%
20 general rate on the selling price of tangible personal
21 property which is purchased outside Illinois at retail from a
22 retailer and which is titled or registered by an agency of
23 this State's government.
24 Of the remainder of the moneys received by the Department
25 pursuant to this Act, (a) 1.75% thereof shall be paid into
26 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
27 and on and after July 1, 1989, 3.8% thereof shall be paid
28 into the Build Illinois Fund; provided, however, that if in
29 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
30 as the case may be, of the moneys received by the Department
31 and required to be paid into the Build Illinois Fund pursuant
32 to Section 3 of the Retailers' Occupation Tax Act, Section 9
33 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
34 Section 9 of the Service Occupation Tax Act, such Acts being
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1 hereinafter called the "Tax Acts" and such aggregate of 2.2%
2 or 3.8%, as the case may be, of moneys being hereinafter
3 called the "Tax Act Amount", and (2) the amount transferred
4 to the Build Illinois Fund from the State and Local Sales Tax
5 Reform Fund shall be less than the Annual Specified Amount
6 (as defined in Section 3 of the Retailers' Occupation Tax
7 Act), an amount equal to the difference shall be immediately
8 paid into the Build Illinois Fund from other moneys received
9 by the Department pursuant to the Tax Acts; and further
10 provided, that if on the last business day of any month the
11 sum of (1) the Tax Act Amount required to be deposited into
12 the Build Illinois Bond Account in the Build Illinois Fund
13 during such month and (2) the amount transferred during such
14 month to the Build Illinois Fund from the State and Local
15 Sales Tax Reform Fund shall have been less than 1/12 of the
16 Annual Specified Amount, an amount equal to the difference
17 shall be immediately paid into the Build Illinois Fund from
18 other moneys received by the Department pursuant to the Tax
19 Acts; and, further provided, that in no event shall the
20 payments required under the preceding proviso result in
21 aggregate payments into the Build Illinois Fund pursuant to
22 this clause (b) for any fiscal year in excess of the greater
23 of (i) the Tax Act Amount or (ii) the Annual Specified Amount
24 for such fiscal year; and, further provided, that the amounts
25 payable into the Build Illinois Fund under this clause (b)
26 shall be payable only until such time as the aggregate amount
27 on deposit under each trust indenture securing Bonds issued
28 and outstanding pursuant to the Build Illinois Bond Act is
29 sufficient, taking into account any future investment income,
30 to fully provide, in accordance with such indenture, for the
31 defeasance of or the payment of the principal of, premium, if
32 any, and interest on the Bonds secured by such indenture and
33 on any Bonds expected to be issued thereafter and all fees
34 and costs payable with respect thereto, all as certified by
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1 the Director of the Bureau of the Budget. If on the last
2 business day of any month in which Bonds are outstanding
3 pursuant to the Build Illinois Bond Act, the aggregate of the
4 moneys deposited in the Build Illinois Bond Account in the
5 Build Illinois Fund in such month shall be less than the
6 amount required to be transferred in such month from the
7 Build Illinois Bond Account to the Build Illinois Bond
8 Retirement and Interest Fund pursuant to Section 13 of the
9 Build Illinois Bond Act, an amount equal to such deficiency
10 shall be immediately paid from other moneys received by the
11 Department pursuant to the Tax Acts to the Build Illinois
12 Fund; provided, however, that any amounts paid to the Build
13 Illinois Fund in any fiscal year pursuant to this sentence
14 shall be deemed to constitute payments pursuant to clause (b)
15 of the preceding sentence and shall reduce the amount
16 otherwise payable for such fiscal year pursuant to clause (b)
17 of the preceding sentence. The moneys received by the
18 Department pursuant to this Act and required to be deposited
19 into the Build Illinois Fund are subject to the pledge, claim
20 and charge set forth in Section 12 of the Build Illinois Bond
21 Act.
22 Subject to payment of amounts into the Build Illinois
23 Fund as provided in the preceding paragraph or in any
24 amendment thereto hereafter enacted, the following specified
25 monthly installment of the amount requested in the
26 certificate of the Chairman of the Metropolitan Pier and
27 Exposition Authority provided under Section 8.25f of the
28 State Finance Act, but not in excess of the sums designated
29 as "Total Deposit", shall be deposited in the aggregate from
30 collections under Section 9 of the Use Tax Act, Section 9 of
31 the Service Use Tax Act, Section 9 of the Service Occupation
32 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
33 into the McCormick Place Expansion Project Fund in the
34 specified fiscal years.
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1 Fiscal Year Total Deposit
2 1993 $0
3 1994 53,000,000
4 1995 58,000,000
5 1996 61,000,000
6 1997 64,000,000
7 1998 68,000,000
8 1999 71,000,000
9 2000 75,000,000
10 2001 80,000,000
11 2002 84,000,000
12 2003 89,000,000
13 2004 93,000,000
14 2005 97,000,000
15 2006 102,000,000
16 2007 108,000,000
17 2008 115,000,000
18 2009 120,000,000
19 2010 126,000,000
20 2011 132,000,000
21 2012 138,000,000
22 2013 and 145,000,000
23 each fiscal year
24 thereafter that bonds
25 are outstanding under
26 Section 13.2 of the
27 Metropolitan Pier and
28 Exposition Authority
29 Act, but not after fiscal year 2029.
30 Beginning July 20, 1993 and in each month of each fiscal
31 year thereafter, one-eighth of the amount requested in the
32 certificate of the Chairman of the Metropolitan Pier and
33 Exposition Authority for that fiscal year, less the amount
34 deposited into the McCormick Place Expansion Project Fund by
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1 the State Treasurer in the respective month under subsection
2 (g) of Section 13 of the Metropolitan Pier and Exposition
3 Authority Act, plus cumulative deficiencies in the deposits
4 required under this Section for previous months and years,
5 shall be deposited into the McCormick Place Expansion Project
6 Fund, until the full amount requested for the fiscal year,
7 but not in excess of the amount specified above as "Total
8 Deposit", has been deposited.
9 Subject to payment of amounts into the Build Illinois
10 Fund and the McCormick Place Expansion Project Fund pursuant
11 to the preceding paragraphs or in any amendment thereto
12 hereafter enacted, each month the Department shall pay into
13 the Local Government Distributive Fund .4% of the net revenue
14 realized for the preceding month from the 5% general rate, or
15 .4% of 80% of the net revenue realized for the preceding
16 month from the 6.25% general rate, as the case may be, on the
17 selling price of tangible personal property which amount
18 shall, subject to appropriation, be distributed as provided
19 in Section 2 of the State Revenue Sharing Act. No payments or
20 distributions pursuant to this paragraph shall be made if the
21 tax imposed by this Act on photoprocessing products is
22 declared unconstitutional, or if the proceeds from such tax
23 are unavailable for distribution because of litigation.
24 Subject to payment of amounts into the Build Illinois
25 Fund, the McCormick Place Expansion Project Fund, and the
26 Local Government Distributive Fund pursuant to the preceding
27 paragraphs or in any amendments thereto hereafter enacted,
28 beginning July 1, 1993, the Department shall each month pay
29 into the Illinois Tax Increment Fund 0.27% of 80% of the net
30 revenue realized for the preceding month from the 6.25%
31 general rate on the selling price of tangible personal
32 property.
33 Of the remainder of the moneys received by the Department
34 pursuant to this Act, 75% thereof shall be paid into the
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1 State Treasury and 25% shall be reserved in a special account
2 and used only for the transfer to the Common School Fund as
3 part of the monthly transfer from the General Revenue Fund in
4 accordance with Section 8a of the State Finance Act.
5 As soon as possible after the first day of each month,
6 upon certification of the Department of Revenue, the
7 Comptroller shall order transferred and the Treasurer shall
8 transfer from the General Revenue Fund to the Motor Fuel Tax
9 Fund an amount equal to 1.7% of 80% of the net revenue
10 realized under this Act for the second preceding month.
11 Beginning April 1, 2000, this transfer is no longer required
12 and shall not be made.
13 Net revenue realized for a month shall be the revenue
14 collected by the State pursuant to this Act, less the amount
15 paid out during that month as refunds to taxpayers for
16 overpayment of liability.
17 For greater simplicity of administration, manufacturers,
18 importers and wholesalers whose products are sold at retail
19 in Illinois by numerous retailers, and who wish to do so, may
20 assume the responsibility for accounting and paying to the
21 Department all tax accruing under this Act with respect to
22 such sales, if the retailers who are affected do not make
23 written objection to the Department to this arrangement.
24 (Source: P.A. 90-491, eff. 1-1-99; 90-612, eff. 7-8-98;
25 91-37, eff. 7-1-99; 91-51, eff. 6-30-99; 91-101, eff.
26 7-12-99; 91-541, eff. 8-13-99; 91-872, eff. 7-1-00; 91-901,
27 eff. 1-1-01; revised 8-30-00.)
28 Section 15. The Service Use Tax Act is amended by
29 changing Sections 3-10 and 9 as follows:
30 (35 ILCS 110/3-10) (from Ch. 120, par. 439.33-10)
31 Sec. 3-10. Rate of tax. Unless otherwise provided in
32 this Section, the tax imposed by this Act is at the rate of
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1 6.25% of the selling price of tangible personal property
2 transferred as an incident to the sale of service, but, for
3 the purpose of computing this tax, in no event shall the
4 selling price be less than the cost price of the property to
5 the serviceman.
6 Beginning on July 1, 2000 and through December 31, 2000,
7 with respect to motor fuel, as defined in Section 1.1 of the
8 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40
9 of the Use Tax Act, the tax is imposed at the rate of 1.25%.
10 Beginning on January 1, 2002 and through December 31,
11 2006, with respect to gasohol, as defined in Section 3-40 of
12 the Use Tax Act, the tax is imposed at the rate of 1.25%.
13 With respect to gasohol, as defined in the Use Tax Act,
14 the tax imposed by this Act applies to 70% of the selling
15 price of property transferred as an incident to the sale of
16 service on or after January 1, 1990, and before July 1, 2003,
17 and to 100% of the selling price thereafter.
18 At the election of any registered serviceman made for
19 each fiscal year, sales of service in which the aggregate
20 annual cost price of tangible personal property transferred
21 as an incident to the sales of service is less than 35%, or
22 75% in the case of servicemen transferring prescription drugs
23 or servicemen engaged in graphic arts production, of the
24 aggregate annual total gross receipts from all sales of
25 service, the tax imposed by this Act shall be based on the
26 serviceman's cost price of the tangible personal property
27 transferred as an incident to the sale of those services.
28 The tax shall be imposed at the rate of 1% on food
29 prepared for immediate consumption and transferred incident
30 to a sale of service subject to this Act or the Service
31 Occupation Tax Act by an entity licensed under the Hospital
32 Licensing Act, the Nursing Home Care Act, or the Child Care
33 Act of 1969. The tax shall also be imposed at the rate of 1%
34 on food for human consumption that is to be consumed off the
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1 premises where it is sold (other than alcoholic beverages,
2 soft drinks, and food that has been prepared for immediate
3 consumption and is not otherwise included in this paragraph)
4 and prescription and nonprescription medicines, drugs,
5 medical appliances, modifications to a motor vehicle for the
6 purpose of rendering it usable by a disabled person, and
7 insulin, urine testing materials, syringes, and needles used
8 by diabetics, for human use. For the purposes of this
9 Section, the term "soft drinks" means any complete, finished,
10 ready-to-use, non-alcoholic drink, whether carbonated or not,
11 including but not limited to soda water, cola, fruit juice,
12 vegetable juice, carbonated water, and all other preparations
13 commonly known as soft drinks of whatever kind or description
14 that are contained in any closed or sealed bottle, can,
15 carton, or container, regardless of size. "Soft drinks" does
16 not include coffee, tea, non-carbonated water, infant
17 formula, milk or milk products as defined in the Grade A
18 Pasteurized Milk and Milk Products Act, or drinks containing
19 50% or more natural fruit or vegetable juice.
20 Notwithstanding any other provisions of this Act, "food
21 for human consumption that is to be consumed off the premises
22 where it is sold" includes all food sold through a vending
23 machine, except soft drinks and food products that are
24 dispensed hot from a vending machine, regardless of the
25 location of the vending machine.
26 If the property that is acquired from a serviceman is
27 acquired outside Illinois and used outside Illinois before
28 being brought to Illinois for use here and is taxable under
29 this Act, the "selling price" on which the tax is computed
30 shall be reduced by an amount that represents a reasonable
31 allowance for depreciation for the period of prior
32 out-of-state use.
33 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
34 91-51, eff. 6-30-99; 91-541, eff. 8-13-99; 91-872, eff.
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1 7-1-00.)
2 (35 ILCS 110/9) (from Ch. 120, par. 439.39)
3 Sec. 9. Each serviceman required or authorized to
4 collect the tax herein imposed shall pay to the Department
5 the amount of such tax (except as otherwise provided) at the
6 time when he is required to file his return for the period
7 during which such tax was collected, less a discount of 2.1%
8 prior to January 1, 1990 and 1.75% on and after January 1,
9 1990, or $5 per calendar year, whichever is greater, which is
10 allowed to reimburse the serviceman for expenses incurred in
11 collecting the tax, keeping records, preparing and filing
12 returns, remitting the tax and supplying data to the
13 Department on request. A serviceman need not remit that part
14 of any tax collected by him to the extent that he is required
15 to pay and does pay the tax imposed by the Service Occupation
16 Tax Act with respect to his sale of service involving the
17 incidental transfer by him of the same property.
18 Except as provided hereinafter in this Section, on or
19 before the twentieth day of each calendar month, such
20 serviceman shall file a return for the preceding calendar
21 month in accordance with reasonable Rules and Regulations to
22 be promulgated by the Department. Such return shall be filed
23 on a form prescribed by the Department and shall contain such
24 information as the Department may 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;
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1 2. The address of the principal place of business
2 from which he engages in business as a serviceman in this
3 State;
4 3. The total amount of taxable receipts received by
5 him during the preceding calendar month, including
6 receipts from charge and time sales, but less all
7 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
22 has an average monthly tax liability of $100,000 or more
23 shall make all payments required by rules of the Department
24 by 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
-32- LRB9204159SMdv
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 If the serviceman is otherwise required to file a monthly
23 return and if the serviceman's average monthly tax liability
24 to the Department does not exceed $200, the Department may
25 authorize his returns to be filed on a quarter annual basis,
26 with the return for January, February and March of a given
27 year being due by April 20 of such year; with the return for
28 April, May and June of a given year being due by July 20 of
29 such year; with the return for July, August and September of
30 a given year being due by October 20 of such year, and with
31 the return for October, November and December of a given year
32 being due by January 20 of the following year.
33 If the serviceman is otherwise required to file a monthly
34 or quarterly return and if the serviceman's average monthly
-33- LRB9204159SMdv
1 tax liability to the Department does not exceed $50, the
2 Department may authorize his returns to be filed on an annual
3 basis, with the return for a given year being due by January
4 20 of the following year.
5 Such quarter annual and annual returns, as to form and
6 substance, shall be subject to the same requirements as
7 monthly returns.
8 Notwithstanding any other provision in this Act
9 concerning the time within which a serviceman may file his
10 return, in the case of any serviceman who ceases to engage in
11 a kind of business which makes him responsible for filing
12 returns under this Act, such serviceman shall file a final
13 return under this Act with the Department not more than 1
14 month after discontinuing such business.
15 Where a serviceman collects the tax with respect to the
16 selling price of property which he sells and the purchaser
17 thereafter returns such property and the serviceman refunds
18 the selling price thereof to the purchaser, such serviceman
19 shall also refund, to the purchaser, the tax so collected
20 from the purchaser. When filing his return for the period in
21 which he refunds such tax to the purchaser, the serviceman
22 may deduct the amount of the tax so refunded by him to the
23 purchaser from any other Service Use Tax, Service Occupation
24 Tax, retailers' occupation tax or use tax which such
25 serviceman may be required to pay or remit to the Department,
26 as shown by such return, provided that the amount of the tax
27 to be deducted shall previously have been remitted to the
28 Department by such serviceman. If the serviceman shall not
29 previously have remitted the amount of such tax to the
30 Department, he shall be entitled to no deduction hereunder
31 upon refunding such tax to the purchaser.
32 Any serviceman filing a return hereunder shall also
33 include the total tax upon the selling price of tangible
34 personal property purchased for use by him as an incident to
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1 a sale of service, and such serviceman shall remit the amount
2 of such tax to the Department when filing such return.
3 If experience indicates such action to be practicable,
4 the Department may prescribe and furnish a combination or
5 joint return which will enable servicemen, who are required
6 to file returns hereunder and also under the Service
7 Occupation Tax Act, to furnish all the return information
8 required by both Acts on the one form.
9 Where the serviceman has more than one business
10 registered with the Department under separate registration
11 hereunder, such serviceman shall not file each return that is
12 due as a single return covering all such registered
13 businesses, but shall file separate returns for each such
14 registered business.
15 Beginning January 1, 1990, each month the Department
16 shall pay into the State and Local Tax Reform Fund, a special
17 fund in the State Treasury, the net revenue realized for the
18 preceding month from the 1% tax on sales of food for human
19 consumption which is to be consumed off the premises where it
20 is sold (other than alcoholic beverages, soft drinks and food
21 which has been prepared for immediate consumption) and
22 prescription and nonprescription medicines, drugs, medical
23 appliances and insulin, urine testing materials, syringes and
24 needles used by diabetics.
25 Beginning January 1, 1990, each month the Department
26 shall pay into the State and Local Sales Tax Reform Fund 20%
27 of the net revenue realized for the preceding month from the
28 6.25% general rate on transfers of tangible personal
29 property, other than tangible personal property which is
30 purchased outside Illinois at retail from a retailer and
31 which is titled or registered by an agency of this State's
32 government.
33 Beginning August 1, 2000, each month the Department shall
34 pay into the State and Local Sales Tax Reform Fund 100% of
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1 the net revenue realized for the preceding month from the
2 1.25% rate on the selling price of motor fuel and gasohol.
3 Beginning February 1, 2002, each month the Department
4 shall pay into the State and Local Sales Tax Reform Fund 100%
5 of the net revenue realized for the preceding month form the
6 1.25% rate on the selling price of gasohol.
7 Of the remainder of the moneys received by the Department
8 pursuant to this Act, (a) 1.75% thereof shall be paid into
9 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
10 and on and after July 1, 1989, 3.8% thereof shall be paid
11 into the Build Illinois Fund; provided, however, that if in
12 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
13 as the case may be, of the moneys received by the Department
14 and required to be paid into the Build Illinois Fund pursuant
15 to Section 3 of the Retailers' Occupation Tax Act, Section 9
16 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
17 Section 9 of the Service Occupation Tax Act, such Acts being
18 hereinafter called the "Tax Acts" and such aggregate of 2.2%
19 or 3.8%, as the case may be, of moneys being hereinafter
20 called the "Tax Act Amount", and (2) the amount transferred
21 to the Build Illinois Fund from the State and Local Sales Tax
22 Reform Fund shall be less than the Annual Specified Amount
23 (as defined in Section 3 of the Retailers' Occupation Tax
24 Act), an amount equal to the difference shall be immediately
25 paid into the Build Illinois Fund from other moneys received
26 by the Department pursuant to the Tax Acts; and further
27 provided, that if on the last business day of any month the
28 sum of (1) the Tax Act Amount required to be deposited into
29 the Build Illinois Bond Account in the Build Illinois Fund
30 during such month and (2) the amount transferred during such
31 month to the Build Illinois Fund from the State and Local
32 Sales Tax Reform Fund shall have been less than 1/12 of the
33 Annual Specified Amount, an amount equal to the difference
34 shall be immediately paid into the Build Illinois Fund from
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1 other moneys received by the Department pursuant to the Tax
2 Acts; and, further provided, that in no event shall the
3 payments required under the preceding proviso result in
4 aggregate payments into the Build Illinois Fund pursuant to
5 this clause (b) for any fiscal year in excess of the greater
6 of (i) the Tax Act Amount or (ii) the Annual Specified Amount
7 for such fiscal year; and, further provided, that the amounts
8 payable into the Build Illinois Fund under this clause (b)
9 shall be payable only until such time as the aggregate amount
10 on deposit under each trust indenture securing Bonds issued
11 and outstanding pursuant to the Build Illinois Bond Act is
12 sufficient, taking into account any future investment income,
13 to fully provide, in accordance with such indenture, for the
14 defeasance of or the payment of the principal of, premium, if
15 any, and interest on the Bonds secured by such indenture and
16 on any Bonds expected to be issued thereafter and all fees
17 and costs payable with respect thereto, all as certified by
18 the Director of the Bureau of the Budget. If on the last
19 business day of any month in which Bonds are outstanding
20 pursuant to the Build Illinois Bond Act, the aggregate of the
21 moneys deposited in the Build Illinois Bond Account in the
22 Build Illinois Fund in such month shall be less than the
23 amount required to be transferred in such month from the
24 Build Illinois Bond Account to the Build Illinois Bond
25 Retirement and Interest Fund pursuant to Section 13 of the
26 Build Illinois Bond Act, an amount equal to such deficiency
27 shall be immediately paid from other moneys received by the
28 Department pursuant to the Tax Acts to the Build Illinois
29 Fund; provided, however, that any amounts paid to the Build
30 Illinois Fund in any fiscal year pursuant to this sentence
31 shall be deemed to constitute payments pursuant to clause (b)
32 of the preceding sentence and shall reduce the amount
33 otherwise payable for such fiscal year pursuant to clause (b)
34 of the preceding sentence. The moneys received by the
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1 Department pursuant to this Act and required to be deposited
2 into the Build Illinois Fund are subject to the pledge, claim
3 and charge set forth in Section 12 of the Build Illinois Bond
4 Act.
5 Subject to payment of amounts into the Build Illinois
6 Fund as provided in the preceding paragraph or in any
7 amendment thereto hereafter enacted, the following specified
8 monthly installment of the amount requested in the
9 certificate of the Chairman of the Metropolitan Pier and
10 Exposition Authority provided under Section 8.25f of the
11 State Finance Act, but not in excess of the sums designated
12 as "Total Deposit", shall be deposited in the aggregate from
13 collections under Section 9 of the Use Tax Act, Section 9 of
14 the Service Use Tax Act, Section 9 of the Service Occupation
15 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
16 into the McCormick Place Expansion Project Fund in the
17 specified fiscal years.
18 Fiscal Year Total Deposit
19 1993 $0
20 1994 53,000,000
21 1995 58,000,000
22 1996 61,000,000
23 1997 64,000,000
24 1998 68,000,000
25 1999 71,000,000
26 2000 75,000,000
27 2001 80,000,000
28 2002 84,000,000
29 2003 89,000,000
30 2004 93,000,000
31 2005 97,000,000
32 2006 102,000,000
33 2007 108,000,000
34 2008 115,000,000
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1 2009 120,000,000
2 2010 126,000,000
3 2011 132,000,000
4 2012 138,000,000
5 2013 and 145,000,000
6 each fiscal year
7 thereafter that bonds
8 are outstanding under
9 Section 13.2 of the
10 Metropolitan Pier and
11 Exposition Authority Act,
12 but not after fiscal year 2029.
13 Beginning July 20, 1993 and in each month of each fiscal
14 year thereafter, one-eighth of the amount requested in the
15 certificate of the Chairman of the Metropolitan Pier and
16 Exposition Authority for that fiscal year, less the amount
17 deposited into the McCormick Place Expansion Project Fund by
18 the State Treasurer in the respective month under subsection
19 (g) of Section 13 of the Metropolitan Pier and Exposition
20 Authority Act, plus cumulative deficiencies in the deposits
21 required under this Section for previous months and years,
22 shall be deposited into the McCormick Place Expansion Project
23 Fund, until the full amount requested for the fiscal year,
24 but not in excess of the amount specified above as "Total
25 Deposit", has been deposited.
26 Subject to payment of amounts into the Build Illinois
27 Fund and the McCormick Place Expansion Project Fund pursuant
28 to the preceding paragraphs or in any amendment thereto
29 hereafter enacted, each month the Department shall pay into
30 the Local Government Distributive Fund 0.4% of the net
31 revenue realized for the preceding month from the 5% general
32 rate or 0.4% of 80% of the net revenue realized for the
33 preceding month from the 6.25% general rate, as the case may
34 be, on the selling price of tangible personal property which
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1 amount shall, subject to appropriation, be distributed as
2 provided in Section 2 of the State Revenue Sharing Act. No
3 payments or distributions pursuant to this paragraph shall be
4 made if the tax imposed by this Act on photo processing
5 products is declared unconstitutional, or if the proceeds
6 from such tax are unavailable for distribution because of
7 litigation.
8 Subject to payment of amounts into the Build Illinois
9 Fund, the McCormick Place Expansion Project Fund, and the
10 Local Government Distributive Fund pursuant to the preceding
11 paragraphs or in any amendments thereto hereafter enacted,
12 beginning July 1, 1993, the Department shall each month pay
13 into the Illinois Tax Increment Fund 0.27% of 80% of the net
14 revenue realized for the preceding month from the 6.25%
15 general rate on the selling price of tangible personal
16 property.
17 All remaining moneys received by the Department pursuant
18 to this Act shall be paid into the General Revenue Fund of
19 the State Treasury.
20 As soon as possible after the first day of each month,
21 upon certification of the Department of Revenue, the
22 Comptroller shall order transferred and the Treasurer shall
23 transfer from the General Revenue Fund to the Motor Fuel Tax
24 Fund an amount equal to 1.7% of 80% of the net revenue
25 realized under this Act for the second preceding month.
26 Beginning April 1, 2000, this transfer is no longer required
27 and shall not be made.
28 Net revenue realized for a month shall be the revenue
29 collected by the State pursuant to this Act, less the amount
30 paid out during that month as refunds to taxpayers for
31 overpayment of liability.
32 (Source: P.A. 90-612, eff. 7-8-98; 91-37, eff. 7-1-99; 91-51,
33 eff. 6-30-99; 91-101, eff. 7-12-99; 91-541, eff. 8-13-99;
34 91-872, eff. 7-1-00.)
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1 Section 20. The Service Occupation Tax Act is amended by
2 changing Sections 3-10 and 9 as follows:
3 (35 ILCS 115/3-10) (from Ch. 120, par. 439.103-10)
4 Sec. 3-10. Rate of tax. Unless otherwise provided in
5 this Section, the tax imposed by this Act is at the rate of
6 6.25% of the "selling price", as defined in Section 2 of the
7 Service Use Tax Act, of the tangible personal property. For
8 the purpose of computing this tax, in no event shall the
9 "selling price" be less than the cost price to the serviceman
10 of the tangible personal property transferred. The selling
11 price of each item of tangible personal property transferred
12 as an incident of a sale of service may be shown as a
13 distinct and separate item on the serviceman's billing to the
14 service customer. If the selling price is not so shown, the
15 selling price of the tangible personal property is deemed to
16 be 50% of the serviceman's entire billing to the service
17 customer. When, however, a serviceman contracts to design,
18 develop, and produce special order machinery or equipment,
19 the tax imposed by this Act shall be based on the
20 serviceman's cost price of the tangible personal property
21 transferred incident to the completion of the contract.
22 Beginning on July 1, 2000 and through December 31, 2000,
23 with respect to motor fuel, as defined in Section 1.1 of the
24 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40
25 of the Use Tax Act, the tax is imposed at the rate of 1.25%.
26 Beginning on January 1, 2002 and through December 31,
27 2006, with respect to gasohol, as defined in Section 3-40 of
28 the Use Tax Act, the tax is imposed at the rate of 1.25%.
29 With respect to gasohol, as defined in the Use Tax Act,
30 the tax imposed by this Act shall apply to 70% of the cost
31 price of property transferred as an incident to the sale of
32 service on or after January 1, 1990, and before July 1, 2003,
33 and to 100% of the cost price thereafter.
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1 At the election of any registered serviceman made for
2 each fiscal year, sales of service in which the aggregate
3 annual cost price of tangible personal property transferred
4 as an incident to the sales of service is less than 35%, or
5 75% in the case of servicemen transferring prescription drugs
6 or servicemen engaged in graphic arts production, of the
7 aggregate annual total gross receipts from all sales of
8 service, the tax imposed by this Act shall be based on the
9 serviceman's cost price of the tangible personal property
10 transferred incident to the sale of those services.
11 The tax shall be imposed at the rate of 1% on food
12 prepared for immediate consumption and transferred incident
13 to a sale of service subject to this Act or the Service
14 Occupation Tax Act by an entity licensed under the Hospital
15 Licensing Act, the Nursing Home Care Act, or the Child Care
16 Act of 1969. The tax shall also be imposed at the rate of 1%
17 on food for human consumption that is to be consumed off the
18 premises where it is sold (other than alcoholic beverages,
19 soft drinks, and food that has been prepared for immediate
20 consumption and is not otherwise included in this paragraph)
21 and prescription and nonprescription medicines, drugs,
22 medical appliances, modifications to a motor vehicle for the
23 purpose of rendering it usable by a disabled person, and
24 insulin, urine testing materials, syringes, and needles used
25 by diabetics, for human use. For the purposes of this
26 Section, the term "soft drinks" means any complete, finished,
27 ready-to-use, non-alcoholic drink, whether carbonated or not,
28 including but not limited to soda water, cola, fruit juice,
29 vegetable juice, carbonated water, and all other preparations
30 commonly known as soft drinks of whatever kind or description
31 that are contained in any closed or sealed can, carton, or
32 container, regardless of size. "Soft drinks" does not
33 include coffee, tea, non-carbonated water, infant formula,
34 milk or milk products as defined in the Grade A Pasteurized
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1 Milk and Milk Products Act, or drinks containing 50% or more
2 natural fruit or vegetable juice.
3 Notwithstanding any other provisions of this Act, "food
4 for human consumption that is to be consumed off the premises
5 where it is sold" includes all food sold through a vending
6 machine, except soft drinks and food products that are
7 dispensed hot from a vending machine, regardless of the
8 location of the vending machine.
9 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
10 91-51, 6-30-99; 91-541, eff. 8-13-99; 91-872, eff. 7-1-00.)
11 (35 ILCS 115/9) (from Ch. 120, par. 439.109)
12 Sec. 9. Each serviceman required or authorized to
13 collect the tax herein imposed shall pay to the Department
14 the amount of such tax at the time when he is required to
15 file his return for the period during which such tax was
16 collectible, less a discount of 2.1% prior to January 1,
17 1990, and 1.75% on and after January 1, 1990, or $5 per
18 calendar year, whichever is greater, which is allowed to
19 reimburse the serviceman for expenses incurred in collecting
20 the tax, keeping records, preparing and filing returns,
21 remitting the tax and supplying data to the Department on
22 request.
23 Where such tangible personal property is sold under a
24 conditional sales contract, or under any other form of sale
25 wherein the payment of the principal sum, or a part thereof,
26 is extended beyond the close of the period for which the
27 return is filed, the serviceman, in collecting the tax may
28 collect, for each tax return period, only the tax applicable
29 to the part of the selling price actually received during
30 such tax return period.
31 Except as provided hereinafter in this Section, on or
32 before the twentieth day of each calendar month, such
33 serviceman shall file a return for the preceding calendar
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1 month in accordance with reasonable rules and regulations to
2 be promulgated by the Department of Revenue. Such return
3 shall be filed on a form prescribed by the Department and
4 shall contain such information as the Department may
5 reasonably require.
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 business as a serviceman in this
17 State;
18 3. The total amount of taxable receipts received by
19 him during the preceding calendar month, including
20 receipts from charge and time sales, but less all
21 deductions allowed by law;
22 4. The amount of credit provided in Section 2d of
23 this Act;
24 5. The amount of tax due;
25 5-5. The signature of the taxpayer; and
26 6. Such other reasonable information as the
27 Department may require.
28 If a taxpayer fails to sign a return within 30 days after
29 the proper notice and demand for signature by the Department,
30 the return shall be considered valid and any amount shown to
31 be due on the return shall be deemed assessed.
32 A serviceman may accept a Manufacturer's Purchase Credit
33 certification from a purchaser in satisfaction of Service Use
34 Tax as provided in Section 3-70 of the Service Use Tax Act if
-44- LRB9204159SMdv
1 the purchaser provides the appropriate documentation as
2 required by Section 3-70 of the Service Use Tax Act. A
3 Manufacturer's Purchase Credit certification, accepted by a
4 serviceman as provided in Section 3-70 of the Service Use Tax
5 Act, may be used by that serviceman to satisfy Service
6 Occupation Tax liability in the amount claimed in the
7 certification, not to exceed 6.25% of the receipts subject to
8 tax from a qualifying purchase.
9 If the serviceman's average monthly tax liability to the
10 Department does not exceed $200, the Department may authorize
11 his returns to be filed on a quarter annual basis, with the
12 return for January, February and March of a given year being
13 due by April 20 of such year; with the return for April, May
14 and June of a given year being due by July 20 of such year;
15 with the return for July, August and September of a given
16 year being due by October 20 of such year, and with the
17 return for October, November and December of a given year
18 being due by January 20 of the following year.
19 If the serviceman's average monthly tax liability to the
20 Department does not exceed $50, the Department may authorize
21 his returns to be filed on an annual basis, with the return
22 for a given year being due by January 20 of the following
23 year.
24 Such quarter annual and annual returns, as to form and
25 substance, shall be subject to the same requirements as
26 monthly returns.
27 Notwithstanding any other provision in this Act
28 concerning the time within which a serviceman may file his
29 return, in the case of any serviceman who ceases to engage in
30 a kind of business which makes him responsible for filing
31 returns under this Act, such serviceman shall file a final
32 return under this Act with the Department not more than 1
33 month after discontinuing such business.
34 Beginning October 1, 1993, a taxpayer who has an average
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1 monthly tax liability of $150,000 or more shall make all
2 payments required by rules of the Department by electronic
3 funds transfer. Beginning October 1, 1994, a taxpayer who
4 has an average monthly tax liability of $100,000 or more
5 shall make all payments required by rules of the Department
6 by electronic funds transfer. Beginning October 1, 1995, a
7 taxpayer who has an average monthly tax liability of $50,000
8 or more shall make all payments required by rules of the
9 Department by electronic funds transfer. Beginning October
10 1, 2000, a taxpayer who has an annual tax liability of
11 $200,000 or more shall make all payments required by rules of
12 the Department by electronic funds transfer. The term
13 "annual tax liability" shall be the sum of the taxpayer's
14 liabilities under this Act, and under all other State and
15 local occupation and use tax laws administered by the
16 Department, for the immediately preceding calendar year. The
17 term "average monthly tax liability" means the sum of the
18 taxpayer's liabilities under this Act, and under all other
19 State and local occupation and use tax laws administered by
20 the Department, for the immediately preceding calendar year
21 divided by 12.
22 Before August 1 of each year beginning in 1993, the
23 Department shall notify all taxpayers required to make
24 payments by electronic funds transfer. All taxpayers
25 required to make payments by electronic funds transfer shall
26 make those payments for a minimum of one year beginning on
27 October 1.
28 Any taxpayer not required to make payments by electronic
29 funds transfer may make payments by electronic funds transfer
30 with the permission of the Department.
31 All taxpayers required to make payment by electronic
32 funds transfer and any taxpayers authorized to voluntarily
33 make payments by electronic funds transfer shall make those
34 payments in the manner authorized by the Department.
-46- LRB9204159SMdv
1 The Department shall adopt such rules as are necessary to
2 effectuate a program of electronic funds transfer and the
3 requirements of this Section.
4 Where a serviceman collects the tax with respect to the
5 selling price of tangible personal property which he sells
6 and the purchaser thereafter returns such tangible personal
7 property and the serviceman refunds the selling price thereof
8 to the purchaser, such serviceman shall also refund, to the
9 purchaser, the tax so collected from the purchaser. When
10 filing his return for the period in which he refunds such tax
11 to the purchaser, the serviceman may deduct the amount of the
12 tax so refunded by him to the purchaser from any other
13 Service Occupation Tax, Service Use Tax, Retailers'
14 Occupation Tax or Use Tax which such serviceman may be
15 required to pay or remit to the Department, as shown by such
16 return, provided that the amount of the tax to be deducted
17 shall previously have been remitted to the Department by such
18 serviceman. If the serviceman shall not previously have
19 remitted the amount of such tax to the Department, he shall
20 be entitled to no deduction hereunder upon refunding such tax
21 to the purchaser.
22 If experience indicates such action to be practicable,
23 the Department may prescribe and furnish a combination or
24 joint return which will enable servicemen, who are required
25 to file returns hereunder and also under the Retailers'
26 Occupation Tax Act, the Use Tax Act or the Service Use Tax
27 Act, to furnish all the return information required by all
28 said Acts on the one form.
29 Where the serviceman has more than one business
30 registered with the Department under separate registrations
31 hereunder, such serviceman shall file separate returns for
32 each registered business.
33 Beginning January 1, 1990, each month the Department
34 shall pay into the Local Government Tax Fund the revenue
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1 realized for the preceding month from the 1% tax on sales of
2 food for human consumption which is to be consumed off the
3 premises where it is sold (other than alcoholic beverages,
4 soft drinks and food which has been prepared for immediate
5 consumption) and prescription and nonprescription medicines,
6 drugs, medical appliances and insulin, urine testing
7 materials, syringes and needles used by diabetics.
8 Beginning January 1, 1990, each month the Department
9 shall pay into the County and Mass Transit District Fund 4%
10 of the revenue realized for the preceding month from the
11 6.25% general rate.
12 Beginning August 1, 2000, each month the Department shall
13 pay into the County and Mass Transit District Fund 20% of the
14 net revenue realized for the preceding month from the 1.25%
15 rate on the selling price of motor fuel and gasohol.
16 Beginning February 1, 2002, each month the Department
17 shall pay into the County and Mass Transit District Fund 20%
18 of the net revenue realized for the preceding month form the
19 1.25% rate on the selling price of gasohol.
20 Beginning January 1, 1990, each month the Department
21 shall pay into the Local Government Tax Fund 16% of the
22 revenue realized for the preceding month from the 6.25%
23 general rate on transfers of tangible personal property.
24 Beginning August 1, 2000, each month the Department shall
25 pay into the Local Government Tax Fund 80% of the net revenue
26 realized for the preceding month from the 1.25% rate on the
27 selling price of motor fuel and gasohol.
28 Beginning February 1, 2002, each month the Department
29 shall pay into the Local Government Tax Fund 80% of the net
30 revenue realized for the preceding month form the 1.25% rate
31 on the selling price of gasohol.
32 Of the remainder of the moneys received by the Department
33 pursuant to this Act, (a) 1.75% thereof shall be paid into
34 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
-48- LRB9204159SMdv
1 and on and after July 1, 1989, 3.8% thereof shall be paid
2 into the Build Illinois Fund; provided, however, that if in
3 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
4 as the case may be, of the moneys received by the Department
5 and required to be paid into the Build Illinois Fund pursuant
6 to Section 3 of the Retailers' Occupation Tax Act, Section 9
7 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
8 Section 9 of the Service Occupation Tax Act, such Acts being
9 hereinafter called the "Tax Acts" and such aggregate of 2.2%
10 or 3.8%, as the case may be, of moneys being hereinafter
11 called the "Tax Act Amount", and (2) the amount transferred
12 to the Build Illinois Fund from the State and Local Sales Tax
13 Reform Fund shall be less than the Annual Specified Amount
14 (as defined in Section 3 of the Retailers' Occupation Tax
15 Act), an amount equal to the difference shall be immediately
16 paid into the Build Illinois Fund from other moneys received
17 by the Department pursuant to the Tax Acts; and further
18 provided, that if on the last business day of any month the
19 sum of (1) the Tax Act Amount required to be deposited into
20 the Build Illinois Account in the Build Illinois Fund during
21 such month and (2) the amount transferred during such month
22 to the Build Illinois Fund from the State and Local Sales Tax
23 Reform Fund shall have been less than 1/12 of the Annual
24 Specified Amount, an amount equal to the difference shall be
25 immediately paid into the Build Illinois Fund from other
26 moneys received by the Department pursuant to the Tax Acts;
27 and, further provided, that in no event shall the payments
28 required under the preceding proviso result in aggregate
29 payments into the Build Illinois Fund pursuant to this clause
30 (b) for any fiscal year in excess of the greater of (i) the
31 Tax Act Amount or (ii) the Annual Specified Amount for such
32 fiscal year; and, further provided, that the amounts payable
33 into the Build Illinois Fund under this clause (b) shall be
34 payable only until such time as the aggregate amount on
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1 deposit under each trust indenture securing Bonds issued and
2 outstanding pursuant to the Build Illinois Bond Act is
3 sufficient, taking into account any future investment income,
4 to fully provide, in accordance with such indenture, for the
5 defeasance of or the payment of the principal of, premium, if
6 any, and interest on the Bonds secured by such indenture and
7 on any Bonds expected to be issued thereafter and all fees
8 and costs payable with respect thereto, all as certified by
9 the Director of the Bureau of the Budget. If on the last
10 business day of any month in which Bonds are outstanding
11 pursuant to the Build Illinois Bond Act, the aggregate of the
12 moneys deposited in the Build Illinois Bond Account in the
13 Build Illinois Fund in such month shall be less than the
14 amount required to be transferred in such month from the
15 Build Illinois Bond Account to the Build Illinois Bond
16 Retirement and Interest Fund pursuant to Section 13 of the
17 Build Illinois Bond Act, an amount equal to such deficiency
18 shall be immediately paid from other moneys received by the
19 Department pursuant to the Tax Acts to the Build Illinois
20 Fund; provided, however, that any amounts paid to the Build
21 Illinois Fund in any fiscal year pursuant to this sentence
22 shall be deemed to constitute payments pursuant to clause (b)
23 of the preceding sentence and shall reduce the amount
24 otherwise payable for such fiscal year pursuant to clause (b)
25 of the preceding sentence. The moneys received by the
26 Department pursuant to this Act and required to be deposited
27 into the Build Illinois Fund are subject to the pledge, claim
28 and charge set forth in Section 12 of the Build Illinois Bond
29 Act.
30 Subject to payment of amounts into the Build Illinois
31 Fund as provided in the preceding paragraph or in any
32 amendment thereto hereafter enacted, the following specified
33 monthly installment of the amount requested in the
34 certificate of the Chairman of the Metropolitan Pier and
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1 Exposition Authority provided under Section 8.25f of the
2 State Finance Act, but not in excess of the sums designated
3 as "Total Deposit", shall be deposited in the aggregate from
4 collections under Section 9 of the Use Tax Act, Section 9 of
5 the Service Use Tax Act, Section 9 of the Service Occupation
6 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
7 into the McCormick Place Expansion Project Fund in the
8 specified fiscal years.
9 Fiscal Year Total Deposit
10 1993 $0
11 1994 53,000,000
12 1995 58,000,000
13 1996 61,000,000
14 1997 64,000,000
15 1998 68,000,000
16 1999 71,000,000
17 2000 75,000,000
18 2001 80,000,000
19 2002 84,000,000
20 2003 89,000,000
21 2004 93,000,000
22 2005 97,000,000
23 2006 102,000,000
24 2007 108,000,000
25 2008 115,000,000
26 2009 120,000,000
27 2010 126,000,000
28 2011 132,000,000
29 2012 138,000,000
30 2013 and 145,000,000
31 each fiscal year
32 thereafter that bonds
33 are outstanding under
34 Section 13.2 of the
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1 Metropolitan Pier and
2 Exposition Authority
3 Act, but not after fiscal year 2029.
4 Beginning July 20, 1993 and in each month of each fiscal
5 year thereafter, one-eighth of the amount requested in the
6 certificate of the Chairman of the Metropolitan Pier and
7 Exposition Authority for that fiscal year, less the amount
8 deposited into the McCormick Place Expansion Project Fund by
9 the State Treasurer in the respective month under subsection
10 (g) of Section 13 of the Metropolitan Pier and Exposition
11 Authority Act, plus cumulative deficiencies in the deposits
12 required under this Section for previous months and years,
13 shall be deposited into the McCormick Place Expansion Project
14 Fund, until the full amount requested for the fiscal year,
15 but not in excess of the amount specified above as "Total
16 Deposit", has been deposited.
17 Subject to payment of amounts into the Build Illinois
18 Fund and the McCormick Place Expansion Project Fund pursuant
19 to the preceding paragraphs or in any amendment thereto
20 hereafter enacted, each month the Department shall pay into
21 the Local Government Distributive Fund 0.4% of the net
22 revenue realized for the preceding month from the 5% general
23 rate or 0.4% of 80% of the net revenue realized for the
24 preceding month from the 6.25% general rate, as the case may
25 be, on the selling price of tangible personal property which
26 amount shall, subject to appropriation, be distributed as
27 provided in Section 2 of the State Revenue Sharing Act. No
28 payments or distributions pursuant to this paragraph shall be
29 made if the tax imposed by this Act on photoprocessing
30 products is declared unconstitutional, or if the proceeds
31 from such tax are unavailable for distribution because of
32 litigation.
33 Subject to payment of amounts into the Build Illinois
34 Fund, the McCormick Place Expansion Project Fund, and the
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1 Local Government Distributive Fund pursuant to the preceding
2 paragraphs or in any amendments thereto hereafter enacted,
3 beginning July 1, 1993, the Department shall each month pay
4 into the Illinois Tax Increment Fund 0.27% of 80% of the net
5 revenue realized for the preceding month from the 6.25%
6 general rate on the selling price of tangible personal
7 property.
8 Remaining moneys received by the Department pursuant to
9 this Act shall be paid into the General Revenue Fund of the
10 State Treasury.
11 The Department may, upon separate written notice to a
12 taxpayer, require the taxpayer to prepare and file with the
13 Department on a form prescribed by the Department within not
14 less than 60 days after receipt of the notice an annual
15 information return for the tax year specified in the notice.
16 Such annual return to the Department shall include a
17 statement of gross receipts as shown by the taxpayer's last
18 Federal income tax return. If the total receipts of the
19 business as reported in the Federal income tax return do not
20 agree with the gross receipts reported to the Department of
21 Revenue for the same period, the taxpayer shall attach to his
22 annual return a schedule showing a reconciliation of the 2
23 amounts and the reasons for the difference. The taxpayer's
24 annual return to the Department shall also disclose the cost
25 of goods sold by the taxpayer during the year covered by such
26 return, opening and closing inventories of such goods for
27 such year, cost of goods used from stock or taken from stock
28 and given away by the taxpayer during such year, pay roll
29 information of the taxpayer's business during such year and
30 any additional reasonable information which the Department
31 deems would be helpful in determining the accuracy of the
32 monthly, quarterly or annual returns filed by such taxpayer
33 as hereinbefore provided for in this Section.
34 If the annual information return required by this Section
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1 is not filed when and as required, the taxpayer shall be
2 liable as follows:
3 (i) Until January 1, 1994, the taxpayer shall be
4 liable for a penalty equal to 1/6 of 1% of the tax due
5 from such taxpayer under this Act during the period to be
6 covered by the annual return for each month or fraction
7 of a month until such return is filed as required, the
8 penalty to be assessed and collected in the same manner
9 as any other penalty provided for in this Act.
10 (ii) On and after January 1, 1994, the taxpayer
11 shall be liable for a penalty as described in Section 3-4
12 of the Uniform Penalty and Interest Act.
13 The chief executive officer, proprietor, owner or highest
14 ranking manager shall sign the annual return to certify the
15 accuracy of the information contained therein. Any person
16 who willfully signs the annual return containing false or
17 inaccurate information shall be guilty of perjury and
18 punished accordingly. The annual return form prescribed by
19 the Department shall include a warning that the person
20 signing the return may be liable for perjury.
21 The foregoing portion of this Section concerning the
22 filing of an annual information return shall not apply to a
23 serviceman who is not required to file an income tax return
24 with the United States Government.
25 As soon as possible after the first day of each month,
26 upon certification of the Department of Revenue, the
27 Comptroller shall order transferred and the Treasurer shall
28 transfer from the General Revenue Fund to the Motor Fuel Tax
29 Fund an amount equal to 1.7% of 80% of the net revenue
30 realized under this Act for the second preceding month.
31 Beginning April 1, 2000, this transfer is no longer required
32 and shall not be made.
33 Net revenue realized for a month shall be the revenue
34 collected by the State pursuant to this Act, less the amount
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1 paid out during that month as refunds to taxpayers for
2 overpayment of liability.
3 For greater simplicity of administration, it shall be
4 permissible for manufacturers, importers and wholesalers
5 whose products are sold by numerous servicemen in Illinois,
6 and who wish to do so, to assume the responsibility for
7 accounting and paying to the Department all tax accruing
8 under this Act with respect to such sales, if the servicemen
9 who are affected do not make written objection to the
10 Department to this arrangement.
11 (Source: P.A. 90-612, eff. 7-8-98; 91-37, eff. 7-1-99; 91-51,
12 eff. 6-30-99; 91-101, eff. 7-12-99; 91-541, eff. 8-13-99;
13 91-872, eff. 7-1-00.)
14 Section 25. The Retailers' Occupation Tax Act is amended
15 by changing Sections 2-10, 2d, and 3 as follows:
16 (35 ILCS 120/2-10) (from Ch. 120, par. 441-10)
17 Sec. 2-10. 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 gross receipts from sales of tangible personal
20 property made in the course of business.
21 Beginning on July 1, 2000 and through December 31, 2000,
22 with respect to motor fuel, as defined in Section 1.1 of the
23 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40
24 of the Use Tax Act, the tax is imposed at the rate of 1.25%.
25 Within 14 days after the effective date of this
26 amendatory Act of the 91st General Assembly, each retailer of
27 motor fuel and gasohol shall cause the following notice to be
28 posted in a prominently visible place on each retail
29 dispensing device that is used to dispense motor fuel or
30 gasohol in the State of Illinois: "As of July 1, 2000, the
31 State of Illinois has eliminated the State's share of sales
32 tax on motor fuel and gasohol through December 31, 2000. The
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1 price on this pump should reflect the elimination of the
2 tax." The notice shall be printed in bold print on a sign
3 that is no smaller than 4 inches by 8 inches. The sign shall
4 be clearly visible to customers. Any retailer who fails to
5 post or maintain a required sign through December 31, 2000 is
6 guilty of a petty offense for which the fine shall be $500
7 per day per each retail premises where a violation occurs.
8 Beginning on January 1, 2002 and through December 31,
9 2006, with respect to gasohol, as defined in Section 3-40 of
10 the Use Tax Act, the tax is imposed at the rate of 1.25%.
11 With respect to gasohol, as defined in the Use Tax Act,
12 the tax imposed by this Act applies to 70% of the proceeds of
13 sales made on or after January 1, 1990, and before July 1,
14 2003, and to 100% of the proceeds of sales made thereafter.
15 With respect to food for human consumption that is to be
16 consumed off the premises where it is sold (other than
17 alcoholic beverages, soft drinks, and food that has been
18 prepared for immediate consumption) and prescription and
19 nonprescription medicines, drugs, medical appliances,
20 modifications to a motor vehicle for the purpose of rendering
21 it usable by a disabled person, and insulin, urine testing
22 materials, syringes, and needles used by diabetics, for human
23 use, the tax is imposed at the rate of 1%. For the purposes
24 of this Section, the term "soft drinks" means any complete,
25 finished, ready-to-use, non-alcoholic drink, whether
26 carbonated or not, including but not limited to soda water,
27 cola, fruit juice, vegetable juice, carbonated water, and all
28 other preparations commonly known as soft drinks of whatever
29 kind or description that are contained in any closed or
30 sealed bottle, can, carton, or container, regardless of size.
31 "Soft drinks" does not include coffee, tea, non-carbonated
32 water, infant formula, milk or milk products as defined in
33 the Grade A Pasteurized Milk and Milk Products Act, or drinks
34 containing 50% or more natural fruit or vegetable juice.
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1 Notwithstanding any other provisions of this Act, "food
2 for human consumption that is to be consumed off the premises
3 where it is sold" includes all food sold through a vending
4 machine, except soft drinks and food products that are
5 dispensed hot from a vending machine, regardless of the
6 location of the vending machine.
7 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
8 91-51, eff. 6-30-99; 91-872, eff. 7-1-00.)
9 (35 ILCS 120/2d) (from Ch. 120, par. 441d)
10 Sec. 2d. Tax prepayment by motor fuel retailer. Any
11 person engaged in the business of selling motor fuel at
12 retail, as defined in the Motor Fuel Tax Law, and who is not
13 a licensed distributor or supplier, as defined in the Motor
14 Fuel Tax Law, shall prepay to his or her distributor,
15 supplier, or other reseller of motor fuel a portion of the
16 tax imposed by this Act if the distributor, supplier, or
17 other reseller of motor fuel is registered under Section 2a
18 or Section 2c of this Act. The prepayment requirement
19 provided for in this Section does not apply to liquid propane
20 gas.
21 Beginning on July 1, 2000 and through December 31, 2000,
22 the Retailers' Occupation Tax paid to the distributor,
23 supplier, or other reseller shall be an amount equal to $0.01
24 per gallon of the motor fuel, except gasohol as defined in
25 Section 2-10 of this Act which shall be an amount equal to
26 $0.01 per gallon, purchased from the distributor, supplier,
27 or other reseller.
28 Before July 1, 2000 and then beginning on January 1, 2001
29 and thereafter, the Retailers' Occupation Tax paid to the
30 distributor, supplier, or other reseller shall be an amount
31 equal to $0.04 per gallon of the motor fuel purchased from
32 the distributor, supplier, or other reseller.
33 Before July 1, 2000 and then beginning on January 1, 2001
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1 and through December 31, 2001, for, except gasohol, as
2 defined in Section 2-10 of this Act, the Retailers'
3 Occupation Tax paid to the distributor, supplier, or other
4 reseller which shall be an amount equal to $0.03 per gallon,
5 purchased from the distributor, supplier, or other reseller.
6 Beginning on January 1, 2002 and through December 31,
7 2006, for gasohol, as defined in Section 2-10 of this Act,
8 the Retailers' Occupation Tax paid to the distributor,
9 supplier, or other reseller shall be an amount equal to
10 $0.006 per gallon purchased from the distributor, supplier,
11 or reseller.
12 Beginning on January 1, 2007 and thereafter, for gasohol,
13 as defined in Section 2-10 of this Act, the Retailers'
14 Occupation Tax paid to the distributor, supplier, or other
15 reseller shall be an amount equal to $0.03 per gallon
16 purchased from the distributor, supplier, or reseller.
17 Any person engaged in the business of selling motor fuel
18 at retail shall be entitled to a credit against tax due under
19 this Act in an amount equal to the tax paid to the
20 distributor, supplier, or other reseller.
21 Every distributor, supplier, or other reseller registered
22 as provided in Section 2a or Section 2c of this Act shall
23 remit the prepaid tax on all motor fuel that is due from any
24 person engaged in the business of selling at retail motor
25 fuel with the returns filed under Section 2f or Section 3 of
26 this Act, but the vendors discount provided in Section 3
27 shall not apply to the amount of prepaid tax that is
28 remitted. Any distributor or supplier who fails to properly
29 collect and remit the tax shall be liable for the tax. For
30 purposes of this Section, the prepaid tax is due on invoiced
31 gallons sold during a month by the 20th day of the following
32 month.
33 (Source: P.A. 91-872, eff. 7-1-00.)
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1 (35 ILCS 120/3) (from Ch. 120, par. 442)
2 Sec. 3. Except as provided in this Section, on or before
3 the twentieth day of each calendar month, every person
4 engaged in the business of selling tangible personal property
5 at retail in this State during the preceding calendar month
6 shall file a return with the Department, stating:
7 1. The name of the seller;
8 2. His residence address and the address of his
9 principal place of business and the address of the
10 principal place of business (if that is a different
11 address) from which he engages in the business of selling
12 tangible personal property at retail in this State;
13 3. Total amount of receipts received by him during
14 the preceding calendar month or quarter, as the case may
15 be, from sales of tangible personal property, and from
16 services furnished, by him during such preceding calendar
17 month or quarter;
18 4. Total amount received by him during the
19 preceding calendar month or quarter on charge and time
20 sales of tangible personal property, and from services
21 furnished, by him prior to the month or quarter for which
22 the return is filed;
23 5. Deductions allowed by law;
24 6. Gross receipts which were received by him during
25 the preceding calendar month or quarter and upon the
26 basis of which the tax is imposed;
27 7. The amount of credit provided in Section 2d of
28 this Act;
29 8. The amount of tax due;
30 9. The signature of the taxpayer; and
31 10. Such other reasonable information as the
32 Department may require.
33 If a taxpayer fails to sign a return within 30 days after
34 the proper notice and demand for signature by the Department,
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1 the return shall be considered valid and any amount shown to
2 be due on the return shall be deemed assessed.
3 Each return shall be accompanied by the statement of
4 prepaid tax issued pursuant to Section 2e for which credit is
5 claimed.
6 A retailer may accept a Manufacturer's Purchase Credit
7 certification from a purchaser in satisfaction of Use Tax as
8 provided in Section 3-85 of the Use Tax Act if the purchaser
9 provides the appropriate documentation as required by Section
10 3-85 of the Use Tax Act. A Manufacturer's Purchase Credit
11 certification, accepted by a retailer as provided in Section
12 3-85 of the Use Tax Act, may be used by that retailer to
13 satisfy Retailers' Occupation Tax liability in the amount
14 claimed in the certification, not to exceed 6.25% of the
15 receipts subject to tax from a qualifying purchase.
16 The Department may require returns to be filed on a
17 quarterly basis. If so required, a return for each calendar
18 quarter shall be filed on or before the twentieth day of the
19 calendar month following the end of such calendar quarter.
20 The taxpayer shall also file a return with the Department for
21 each of the first two months of each calendar quarter, on or
22 before the twentieth day of the following calendar month,
23 stating:
24 1. The name of the seller;
25 2. The address of the principal place of business
26 from which he engages in the business of selling tangible
27 personal property at retail in this State;
28 3. The total amount of taxable receipts received by
29 him during the preceding calendar month from sales of
30 tangible personal property by him during such preceding
31 calendar month, including receipts from charge and time
32 sales, but less all deductions allowed by law;
33 4. The amount of credit provided in Section 2d of
34 this Act;
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1 5. The amount of tax due; and
2 6. Such other reasonable information as the
3 Department may require.
4 If a total amount of less than $1 is payable, refundable
5 or creditable, such amount shall be disregarded if it is less
6 than 50 cents and shall be increased to $1 if it is 50 cents
7 or more.
8 Beginning October 1, 1993, a taxpayer who has an average
9 monthly tax liability of $150,000 or more shall make all
10 payments required by rules of the Department by electronic
11 funds transfer. Beginning October 1, 1994, a taxpayer who
12 has an average monthly tax liability of $100,000 or more
13 shall make all payments required by rules of the Department
14 by electronic funds transfer. Beginning October 1, 1995, a
15 taxpayer who has an average monthly tax liability of $50,000
16 or more shall make all payments required by rules of the
17 Department by electronic funds transfer. Beginning October
18 1, 2000, a taxpayer who has an annual tax liability of
19 $200,000 or more shall make all payments required by rules of
20 the Department by electronic funds transfer. The term
21 "annual tax liability" shall be the sum of the taxpayer's
22 liabilities under this Act, and under all other State and
23 local occupation and use tax laws administered by the
24 Department, for the immediately preceding calendar year. The
25 term "average monthly tax liability" shall be the sum of the
26 taxpayer's liabilities under this Act, and under all other
27 State and local occupation and use tax laws administered by
28 the Department, for the immediately preceding calendar year
29 divided by 12.
30 Before August 1 of each year beginning in 1993, the
31 Department shall notify all taxpayers required to make
32 payments by electronic funds transfer. All taxpayers
33 required to make payments by electronic funds transfer shall
34 make those payments for a minimum of one year beginning on
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1 October 1.
2 Any taxpayer not required to make payments by electronic
3 funds transfer may make payments by electronic funds transfer
4 with the permission of the Department.
5 All taxpayers required to make payment by electronic
6 funds transfer and any taxpayers authorized to voluntarily
7 make payments by electronic funds transfer shall make those
8 payments in the manner authorized by the Department.
9 The Department shall adopt such rules as are necessary to
10 effectuate a program of electronic funds transfer and the
11 requirements of this Section.
12 Any amount which is required to be shown or reported on
13 any return or other document under this Act shall, if such
14 amount is not a whole-dollar amount, be increased to the
15 nearest whole-dollar amount in any case where the fractional
16 part of a dollar is 50 cents or more, and decreased to the
17 nearest whole-dollar amount where the fractional part of a
18 dollar is less than 50 cents.
19 If the retailer is otherwise required to file a monthly
20 return and if the retailer's average monthly tax liability to
21 the Department does not exceed $200, the Department may
22 authorize his returns to be filed on a quarter annual basis,
23 with the return for January, February and March of a given
24 year being due by April 20 of such year; with the return for
25 April, May and June of a given year being due by July 20 of
26 such year; with the return for July, August and September of
27 a given year being due by October 20 of such year, and with
28 the return for October, November and December of a given year
29 being due by January 20 of the following year.
30 If the retailer is otherwise required to file a monthly
31 or quarterly return and if the retailer's average monthly tax
32 liability with the Department does not exceed $50, the
33 Department may authorize his returns to be filed on an annual
34 basis, with the return for a given year being due by January
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1 20 of the following year.
2 Such quarter annual and annual returns, as to form and
3 substance, shall be subject to the same requirements as
4 monthly returns.
5 Notwithstanding any other provision in this Act
6 concerning the time within which a retailer may file his
7 return, in the case of any retailer who ceases to engage in a
8 kind of business which makes him responsible for filing
9 returns under this Act, such retailer shall file a final
10 return under this Act with the Department not more than one
11 month after discontinuing such business.
12 Where the same person has more than one business
13 registered with the Department under separate registrations
14 under this Act, such person may not file each return that is
15 due as a single return covering all such registered
16 businesses, but shall file separate returns for each such
17 registered business.
18 In addition, with respect to motor vehicles, watercraft,
19 aircraft, and trailers that are required to be registered
20 with an agency of this State, every retailer selling this
21 kind of tangible personal property shall file, with the
22 Department, upon a form to be prescribed and supplied by the
23 Department, a separate return for each such item of tangible
24 personal property which the retailer sells, except that if,
25 in the same transaction, (i) a retailer of aircraft,
26 watercraft, motor vehicles or trailers transfers more than
27 one aircraft, watercraft, motor vehicle or trailer to another
28 aircraft, watercraft, motor vehicle retailer or trailer
29 retailer for the purpose of resale or (ii) a retailer of
30 aircraft, watercraft, motor vehicles, or trailers transfers
31 more than one aircraft, watercraft, motor vehicle, or trailer
32 to a purchaser for use as a qualifying rolling stock as
33 provided in Section 2-5 of this Act, then that seller may
34 report the transfer of all aircraft, watercraft, motor
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1 vehicles or trailers involved in that transaction to the
2 Department on the same uniform invoice-transaction reporting
3 return form. For purposes of this Section, "watercraft"
4 means a Class 2, Class 3, or Class 4 watercraft as defined in
5 Section 3-2 of the Boat Registration and Safety Act, a
6 personal watercraft, or any boat equipped with an inboard
7 motor.
8 Any retailer who sells only motor vehicles, watercraft,
9 aircraft, or trailers that are required to be registered with
10 an agency of this State, so that all retailers' occupation
11 tax liability is required to be reported, and is reported, on
12 such transaction reporting returns and who is not otherwise
13 required to file monthly or quarterly returns, need not file
14 monthly or quarterly returns. However, those retailers shall
15 be required to file returns on an annual basis.
16 The transaction reporting return, in the case of motor
17 vehicles or trailers that are required to be registered with
18 an agency of this State, shall be the same document as the
19 Uniform Invoice referred to in Section 5-402 of The Illinois
20 Vehicle Code and must show the name and address of the
21 seller; the name and address of the purchaser; the amount of
22 the selling price including the amount allowed by the
23 retailer for traded-in property, if any; the amount allowed
24 by the retailer for the traded-in tangible personal property,
25 if any, to the extent to which Section 1 of this Act allows
26 an exemption for the value of traded-in property; the balance
27 payable after deducting such trade-in allowance from the
28 total selling price; the amount of tax due from the retailer
29 with respect to such transaction; the amount of tax collected
30 from the purchaser by the retailer on such transaction (or
31 satisfactory evidence that such tax is not due in that
32 particular instance, if that is claimed to be the fact); the
33 place and date of the sale; a sufficient identification of
34 the property sold; such other information as is required in
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1 Section 5-402 of The Illinois Vehicle Code, and such other
2 information as the Department may reasonably require.
3 The transaction reporting return in the case of
4 watercraft or aircraft must show the name and address of the
5 seller; the name and address of the purchaser; the amount of
6 the selling price including the amount allowed by the
7 retailer for traded-in property, if any; the amount allowed
8 by the retailer for the traded-in tangible personal property,
9 if any, to the extent to which Section 1 of this Act allows
10 an exemption for the value of traded-in property; the balance
11 payable after deducting such trade-in allowance from the
12 total selling price; the amount of tax due from the retailer
13 with respect to such transaction; the amount of tax collected
14 from the purchaser by the retailer on such transaction (or
15 satisfactory evidence that such tax is not due in that
16 particular instance, if that is claimed to be the fact); the
17 place and date of the sale, a sufficient identification of
18 the property sold, and such other information as the
19 Department may reasonably require.
20 Such transaction reporting return shall be filed not
21 later than 20 days after the day of delivery of the item that
22 is being sold, but may be filed by the retailer at any time
23 sooner than that if he chooses to do so. The transaction
24 reporting return and tax remittance or proof of exemption
25 from the Illinois use tax may be transmitted to the
26 Department by way of the State agency with which, or State
27 officer with whom the tangible personal property must be
28 titled or registered (if titling or registration is required)
29 if the Department and such agency or State officer determine
30 that this procedure will expedite the processing of
31 applications for title or registration.
32 With each such transaction reporting return, the retailer
33 shall remit the proper amount of tax due (or shall submit
34 satisfactory evidence that the sale is not taxable if that is
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1 the case), to the Department or its agents, whereupon the
2 Department shall issue, in the purchaser's name, a use tax
3 receipt (or a certificate of exemption if the Department is
4 satisfied that the particular sale is tax exempt) which such
5 purchaser may submit to the agency with which, or State
6 officer with whom, he must title or register the tangible
7 personal property that is involved (if titling or
8 registration is required) in support of such purchaser's
9 application for an Illinois certificate or other evidence of
10 title or registration to such tangible personal property.
11 No retailer's failure or refusal to remit tax under this
12 Act precludes a user, who has paid the proper tax to the
13 retailer, from obtaining his certificate of title or other
14 evidence of title or registration (if titling or registration
15 is required) upon satisfying the Department that such user
16 has paid the proper tax (if tax is due) to the retailer. The
17 Department shall adopt appropriate rules to carry out the
18 mandate of this paragraph.
19 If the user who would otherwise pay tax to the retailer
20 wants the transaction reporting return filed and the payment
21 of the tax or proof of exemption made to the Department
22 before the retailer is willing to take these actions and such
23 user has not paid the tax to the retailer, such user may
24 certify to the fact of such delay by the retailer and may
25 (upon the Department being satisfied of the truth of such
26 certification) transmit the information required by the
27 transaction reporting return and the remittance for tax or
28 proof of exemption directly to the Department and obtain his
29 tax receipt or exemption determination, in which event the
30 transaction reporting return and tax remittance (if a tax
31 payment was required) shall be credited by the Department to
32 the proper retailer's account with the Department, but
33 without the 2.1% or 1.75% discount provided for in this
34 Section being allowed. When the user pays the tax directly
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1 to the Department, he shall pay the tax in the same amount
2 and in the same form in which it would be remitted if the tax
3 had been remitted to the Department by the retailer.
4 Refunds made by the seller during the preceding return
5 period to purchasers, on account of tangible personal
6 property returned to the seller, shall be allowed as a
7 deduction under subdivision 5 of his monthly or quarterly
8 return, as the case may be, in case the seller had
9 theretofore included the receipts from the sale of such
10 tangible personal property in a return filed by him and had
11 paid the tax imposed by this Act with respect to such
12 receipts.
13 Where the seller is a corporation, the return filed on
14 behalf of such corporation shall be signed by the president,
15 vice-president, secretary or treasurer or by the properly
16 accredited agent of such corporation.
17 Where the seller is a limited liability company, the
18 return filed on behalf of the limited liability company shall
19 be signed by a manager, member, or properly accredited agent
20 of the limited liability company.
21 Except as provided in this Section, the retailer filing
22 the return under this Section shall, at the time of filing
23 such return, pay to the Department the amount of tax imposed
24 by this Act less a discount of 2.1% prior to January 1, 1990
25 and 1.75% on and after January 1, 1990, or $5 per calendar
26 year, whichever is greater, which is allowed to reimburse the
27 retailer for the expenses incurred in keeping records,
28 preparing and filing returns, remitting the tax and supplying
29 data to the Department on request. Any prepayment made
30 pursuant to Section 2d of this Act shall be included in the
31 amount on which such 2.1% or 1.75% discount is computed. In
32 the case of retailers who report and pay the tax on a
33 transaction by transaction basis, as provided in this
34 Section, such discount shall be taken with each such tax
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1 remittance instead of when such retailer files his periodic
2 return.
3 Before October 1, 2000, if the taxpayer's average monthly
4 tax liability to the Department under this Act, the Use Tax
5 Act, the Service Occupation Tax Act, and the Service Use Tax
6 Act, excluding any liability for prepaid sales tax to be
7 remitted in accordance with Section 2d of this Act, was
8 $10,000 or more during the preceding 4 complete calendar
9 quarters, he shall file a return with the Department each
10 month by the 20th day of the month next following the month
11 during which such tax liability is incurred and shall make
12 payments to the Department on or before the 7th, 15th, 22nd
13 and last day of the month during which such liability is
14 incurred. On and after October 1, 2000, if the taxpayer's
15 average monthly tax liability to the Department under this
16 Act, the Use Tax Act, the Service Occupation Tax Act, and the
17 Service Use Tax Act, excluding any liability for prepaid
18 sales tax to be remitted in accordance with Section 2d of
19 this Act, was $20,000 or more during the preceding 4 complete
20 calendar quarters, he shall file a return with the Department
21 each month by the 20th day of the month next following the
22 month during which such tax liability is incurred and shall
23 make payment to the Department on or before the 7th, 15th,
24 22nd and last day of the month during which such liability is
25 incurred. If the month during which such tax liability is
26 incurred began prior to January 1, 1985, each payment shall
27 be in an amount equal to 1/4 of the taxpayer's actual
28 liability for the month or an amount set by the Department
29 not to exceed 1/4 of the average monthly liability of the
30 taxpayer to the Department for the preceding 4 complete
31 calendar quarters (excluding the month of highest liability
32 and the month of lowest liability in such 4 quarter period).
33 If the month during which such tax liability is incurred
34 begins on or after January 1, 1985 and prior to January 1,
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1 1987, each payment shall be in an amount equal to 22.5% of
2 the taxpayer's actual liability for the month or 27.5% of the
3 taxpayer's liability for the same calendar month of the
4 preceding year. If the month during which such tax liability
5 is incurred begins on or after January 1, 1987 and prior to
6 January 1, 1988, each payment shall be in an amount equal to
7 22.5% of the taxpayer's actual liability for the month or
8 26.25% of the taxpayer's liability for the same calendar
9 month of the preceding year. If the month during which such
10 tax liability is incurred begins on or after January 1, 1988,
11 and prior to January 1, 1989, or begins on or after January
12 1, 1996, each payment shall be in an amount equal to 22.5% of
13 the taxpayer's actual liability for the month or 25% of the
14 taxpayer's liability for the same calendar month of the
15 preceding year. If the month during which such tax liability
16 is incurred begins on or after January 1, 1989, and prior to
17 January 1, 1996, each payment shall be in an amount equal to
18 22.5% of the taxpayer's actual liability for the month or 25%
19 of the taxpayer's liability for the same calendar month of
20 the preceding year or 100% of the taxpayer's actual liability
21 for the quarter monthly reporting period. The amount of such
22 quarter monthly payments shall be credited against the final
23 tax liability of the taxpayer's return for that month.
24 Before October 1, 2000, once applicable, the requirement of
25 the making of quarter monthly payments to the Department by
26 taxpayers having an average monthly tax liability of $10,000
27 or more as determined in the manner provided above shall
28 continue until such taxpayer's average monthly liability to
29 the Department during the preceding 4 complete calendar
30 quarters (excluding the month of highest liability and the
31 month of lowest liability) is less than $9,000, or until such
32 taxpayer's average monthly liability to the Department as
33 computed for each calendar quarter of the 4 preceding
34 complete calendar quarter period is less than $10,000.
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1 However, if a taxpayer can show the Department that a
2 substantial change in the taxpayer's business has occurred
3 which causes the taxpayer to anticipate that his average
4 monthly tax liability for the reasonably foreseeable future
5 will fall below the $10,000 threshold stated above, then such
6 taxpayer may petition the Department for a change in such
7 taxpayer's reporting status. On and after October 1, 2000,
8 once applicable, the requirement of the making of quarter
9 monthly payments to the Department by taxpayers having an
10 average monthly tax liability of $20,000 or more as
11 determined in the manner provided above shall continue until
12 such taxpayer's average monthly liability to the Department
13 during the preceding 4 complete calendar quarters (excluding
14 the month of highest liability and the month of lowest
15 liability) is less than $19,000 or until such taxpayer's
16 average monthly liability to the Department as computed for
17 each calendar quarter of the 4 preceding complete calendar
18 quarter period is less than $20,000. However, if a taxpayer
19 can show the Department that a substantial change in the
20 taxpayer's business has occurred which causes the taxpayer to
21 anticipate that his average monthly tax liability for the
22 reasonably foreseeable future will fall below the $20,000
23 threshold stated above, then such taxpayer may petition the
24 Department for a change in such taxpayer's reporting status.
25 The Department shall change such taxpayer's reporting status
26 unless it finds that such change is seasonal in nature and
27 not likely to be long term. If any such quarter monthly
28 payment is not paid at the time or in the amount required by
29 this Section, then the taxpayer shall be liable for penalties
30 and interest on the difference between the minimum amount due
31 as a payment and the amount of such quarter monthly payment
32 actually and timely paid, except insofar as the taxpayer has
33 previously made payments for that month to the Department in
34 excess of the minimum payments previously due as provided in
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1 this Section. The Department shall make reasonable rules and
2 regulations to govern the quarter monthly payment amount and
3 quarter monthly payment dates for taxpayers who file on other
4 than a calendar monthly basis.
5 Without regard to whether a taxpayer is required to make
6 quarter monthly payments as specified above, any taxpayer who
7 is required by Section 2d of this Act to collect and remit
8 prepaid taxes and has collected prepaid taxes which average
9 in excess of $25,000 per month during the preceding 2
10 complete calendar quarters, shall file a return with the
11 Department as required by Section 2f and shall make payments
12 to the Department on or before the 7th, 15th, 22nd and last
13 day of the month during which such liability is incurred. If
14 the month during which such tax liability is incurred began
15 prior to the effective date of this amendatory Act of 1985,
16 each payment shall be in an amount not less than 22.5% of the
17 taxpayer's actual liability under Section 2d. If the month
18 during which such tax liability is incurred begins on or
19 after January 1, 1986, each payment shall be in an amount
20 equal to 22.5% of the taxpayer's actual liability for the
21 month or 27.5% of the taxpayer's liability for the same
22 calendar month of the preceding calendar year. If the month
23 during which such tax liability is incurred begins on or
24 after January 1, 1987, each payment shall be in an amount
25 equal to 22.5% of the taxpayer's actual liability for the
26 month or 26.25% of the taxpayer's liability for the same
27 calendar month of the preceding year. The amount of such
28 quarter monthly payments shall be credited against the final
29 tax liability of the taxpayer's return for that month filed
30 under this Section or Section 2f, as the case may be. Once
31 applicable, the requirement of the making of quarter monthly
32 payments to the Department pursuant to this paragraph shall
33 continue until such taxpayer's average monthly prepaid tax
34 collections during the preceding 2 complete calendar quarters
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1 is $25,000 or less. If any such quarter monthly payment is
2 not paid at the time or in the amount required, the taxpayer
3 shall be liable for penalties and interest on such
4 difference, except insofar as the taxpayer has previously
5 made payments for that month in excess of the minimum
6 payments previously due.
7 If any payment provided for in this Section exceeds the
8 taxpayer's liabilities under this Act, the Use Tax Act, the
9 Service Occupation Tax Act and the Service Use Tax Act, as
10 shown on an original monthly return, the Department shall, if
11 requested by the taxpayer, issue to the taxpayer a credit
12 memorandum no later than 30 days after the date of payment.
13 The credit evidenced by such credit memorandum may be
14 assigned by the taxpayer to a similar taxpayer under this
15 Act, the Use Tax Act, the Service Occupation Tax Act or the
16 Service Use Tax Act, in accordance with reasonable rules and
17 regulations to be prescribed by the Department. If no such
18 request is made, the taxpayer may credit such excess payment
19 against tax liability subsequently to be remitted to the
20 Department under this Act, the Use Tax Act, the Service
21 Occupation Tax Act or the Service Use Tax Act, in accordance
22 with reasonable rules and regulations prescribed by the
23 Department. If the Department subsequently determined that
24 all or any part of the credit taken was not actually due to
25 the taxpayer, the taxpayer's 2.1% and 1.75% vendor's discount
26 shall be reduced by 2.1% or 1.75% of the difference between
27 the credit taken and that actually due, and that taxpayer
28 shall be liable for penalties and interest on such
29 difference.
30 If a retailer of motor fuel is entitled to a credit under
31 Section 2d of this Act which exceeds the taxpayer's liability
32 to the Department under this Act for the month which the
33 taxpayer is filing a return, the Department shall issue the
34 taxpayer a credit memorandum for the excess.
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1 Beginning January 1, 1990, each month the Department
2 shall pay into the Local Government Tax Fund, a special fund
3 in the State treasury which is hereby created, the net
4 revenue realized for the preceding month from the 1% tax on
5 sales of food for human consumption which is to be consumed
6 off the premises where it is sold (other than alcoholic
7 beverages, soft drinks and food which has been prepared for
8 immediate consumption) and prescription and nonprescription
9 medicines, drugs, medical appliances and insulin, urine
10 testing materials, syringes and needles used by diabetics.
11 Beginning January 1, 1990, each month the Department
12 shall pay into the County and Mass Transit District Fund, a
13 special fund in the State treasury which is hereby created,
14 4% of the net revenue realized for the preceding month from
15 the 6.25% general rate.
16 Beginning August 1, 2000, each month the Department shall
17 pay into the County and Mass Transit District Fund 20% of the
18 net revenue realized for the preceding month from the 1.25%
19 rate on the selling price of motor fuel and gasohol.
20 Beginning February 1, 2002, each month the Department
21 shall pay into the County and Mass Transit District Fund 20%
22 of the net revenue realized for the preceding month form the
23 1.25% rate on the selling price of gasohol.
24 Beginning January 1, 1990, each month the Department
25 shall pay into the Local Government Tax Fund 16% of the net
26 revenue realized for the preceding month from the 6.25%
27 general rate on the selling price of tangible personal
28 property.
29 Beginning August 1, 2000, each month the Department shall
30 pay into the Local Government Tax Fund 80% of the net revenue
31 realized for the preceding month from the 1.25% rate on the
32 selling price of motor fuel and gasohol.
33 Beginning February 1, 2002, each month the Department
34 shall pay into the Local Government Tax Fund 80% of the net
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1 revenue realized for the preceding month form the 1.25% rate
2 on the selling price of gasohol.
3 Of the remainder of the moneys received by the Department
4 pursuant to this Act, (a) 1.75% thereof shall be paid into
5 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
6 and on and after July 1, 1989, 3.8% thereof shall be paid
7 into the Build Illinois Fund; provided, however, that if in
8 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
9 as the case may be, of the moneys received by the Department
10 and required to be paid into the Build Illinois Fund pursuant
11 to this Act, Section 9 of the Use Tax Act, Section 9 of the
12 Service Use Tax Act, and Section 9 of the Service Occupation
13 Tax Act, such Acts being hereinafter called the "Tax Acts"
14 and such aggregate of 2.2% or 3.8%, as the case may be, of
15 moneys being hereinafter called the "Tax Act Amount", and (2)
16 the amount transferred to the Build Illinois Fund from the
17 State and Local Sales Tax Reform Fund shall be less than the
18 Annual Specified Amount (as hereinafter defined), an amount
19 equal to the difference shall be immediately paid into the
20 Build Illinois Fund from other moneys received by the
21 Department pursuant to the Tax Acts; the "Annual Specified
22 Amount" means the amounts specified below for fiscal years
23 1986 through 1993:
24 Fiscal Year Annual Specified Amount
25 1986 $54,800,000
26 1987 $76,650,000
27 1988 $80,480,000
28 1989 $88,510,000
29 1990 $115,330,000
30 1991 $145,470,000
31 1992 $182,730,000
32 1993 $206,520,000;
33 and means the Certified Annual Debt Service Requirement (as
34 defined in Section 13 of the Build Illinois Bond Act) or the
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1 Tax Act Amount, whichever is greater, for fiscal year 1994
2 and each fiscal year thereafter; and further provided, that
3 if on the last business day of any month the sum of (1) the
4 Tax Act Amount required to be deposited into the Build
5 Illinois Bond Account in the Build Illinois Fund during such
6 month and (2) the amount transferred to the Build Illinois
7 Fund from the State and Local Sales Tax Reform Fund shall
8 have been less than 1/12 of the Annual Specified Amount, an
9 amount equal to the difference shall be immediately paid into
10 the Build Illinois Fund from other moneys received by the
11 Department pursuant to the Tax Acts; and, further provided,
12 that in no event shall the payments required under the
13 preceding proviso result in aggregate payments into the Build
14 Illinois Fund pursuant to this clause (b) for any fiscal year
15 in excess of the greater of (i) the Tax Act Amount or (ii)
16 the Annual Specified Amount for such fiscal year. The
17 amounts payable into the Build Illinois Fund under clause (b)
18 of the first sentence in this paragraph shall be payable only
19 until such time as the aggregate amount on deposit under each
20 trust indenture securing Bonds issued and outstanding
21 pursuant to the Build Illinois Bond Act is sufficient, taking
22 into account any future investment income, to fully provide,
23 in accordance with such indenture, for the defeasance of or
24 the payment of the principal of, premium, if any, and
25 interest on the Bonds secured by such indenture and on any
26 Bonds expected to be issued thereafter and all fees and costs
27 payable with respect thereto, all as certified by the
28 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
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
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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 first sentence of this paragraph and shall reduce the
9 amount otherwise payable for such fiscal year pursuant to
10 that clause (b). The moneys received by the Department
11 pursuant to this Act and required to be deposited into the
12 Build Illinois Fund are subject to the pledge, claim and
13 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 sums designated as
22 "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
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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
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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 0.4% of the net
7 revenue realized for the preceding month from the 5% general
8 rate or 0.4% of 80% of the net revenue realized for the
9 preceding month from the 6.25% general rate, as the case may
10 be, on the selling price of tangible personal property which
11 amount shall, subject to appropriation, be distributed as
12 provided in Section 2 of the State Revenue Sharing Act. No
13 payments or distributions pursuant to this paragraph shall be
14 made if the tax imposed by this Act on photoprocessing
15 products is declared unconstitutional, or if the proceeds
16 from such tax are unavailable for distribution because of
17 litigation.
18 Subject to payment of amounts into the Build Illinois
19 Fund, the McCormick Place Expansion Project Fund, and the
20 Local Government Distributive Fund pursuant to the preceding
21 paragraphs or in any amendments thereto hereafter enacted,
22 beginning July 1, 1993, the Department shall each month pay
23 into the Illinois Tax Increment Fund 0.27% of 80% of the net
24 revenue realized for the preceding month from the 6.25%
25 general rate on the selling price of tangible personal
26 property.
27 Of the remainder of the moneys received by the Department
28 pursuant to this Act, 75% thereof shall be paid into the
29 State Treasury and 25% shall be reserved in a special account
30 and used only for the transfer to the Common School Fund as
31 part of the monthly transfer from the General Revenue Fund in
32 accordance with Section 8a of the State Finance Act.
33 The Department may, upon separate written notice to a
34 taxpayer, require the taxpayer to prepare and file with the
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1 Department on a form prescribed by the Department within not
2 less than 60 days after receipt of the notice an annual
3 information return for the tax year specified in the notice.
4 Such annual return to the Department shall include a
5 statement of gross receipts as shown by the retailer's last
6 Federal income tax return. If the total receipts of the
7 business as reported in the Federal income tax return do not
8 agree with the gross receipts reported to the Department of
9 Revenue for the same period, the retailer shall attach to his
10 annual return a schedule showing a reconciliation of the 2
11 amounts and the reasons for the difference. The retailer's
12 annual return to the Department shall also disclose the cost
13 of goods sold by the retailer during the year covered by such
14 return, opening and closing inventories of such goods for
15 such year, costs of goods used from stock or taken from stock
16 and given away by the retailer during such year, payroll
17 information of the retailer's business during such year and
18 any additional reasonable information which the Department
19 deems would be helpful in determining the accuracy of the
20 monthly, quarterly or annual returns filed by such retailer
21 as provided for in this Section.
22 If the annual information return required by this Section
23 is not filed when and as required, the taxpayer shall be
24 liable as follows:
25 (i) Until January 1, 1994, the taxpayer shall be
26 liable for a penalty equal to 1/6 of 1% of the tax due
27 from such taxpayer under this Act during the period to be
28 covered by the annual return for each month or fraction
29 of a month until such return is filed as required, the
30 penalty to be assessed and collected in the same manner
31 as any other penalty provided for in this Act.
32 (ii) On and after January 1, 1994, the taxpayer
33 shall be liable for a penalty as described in Section 3-4
34 of the Uniform Penalty and Interest Act.
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1 The chief executive officer, proprietor, owner or highest
2 ranking manager shall sign the annual return to certify the
3 accuracy of the information contained therein. Any person
4 who willfully signs the annual return containing false or
5 inaccurate information shall be guilty of perjury and
6 punished accordingly. The annual return form prescribed by
7 the Department shall include a warning that the person
8 signing the return may be liable for perjury.
9 The provisions of this Section concerning the filing of
10 an annual information return do not apply to a retailer who
11 is not required to file an income tax return with the United
12 States Government.
13 As soon as possible after the first day of each month,
14 upon certification of the Department of Revenue, the
15 Comptroller shall order transferred and the Treasurer shall
16 transfer from the General Revenue Fund to the Motor Fuel Tax
17 Fund an amount equal to 1.7% of 80% of the net revenue
18 realized under this Act for the second preceding month.
19 Beginning April 1, 2000, this transfer is no longer required
20 and shall not be made.
21 Net revenue realized for a month shall be the revenue
22 collected by the State pursuant to this Act, less the amount
23 paid out during that month as refunds to taxpayers for
24 overpayment of liability.
25 For greater simplicity of administration, manufacturers,
26 importers and wholesalers whose products are sold at retail
27 in Illinois by numerous retailers, and who wish to do so, may
28 assume the responsibility for accounting and paying to the
29 Department all tax accruing under this Act with respect to
30 such sales, if the retailers who are affected do not make
31 written objection to the Department to this arrangement.
32 Any person who promotes, organizes, provides retail
33 selling space for concessionaires or other types of sellers
34 at the Illinois State Fair, DuQuoin State Fair, county fairs,
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1 local fairs, art shows, flea markets and similar exhibitions
2 or events, including any transient merchant as defined by
3 Section 2 of the Transient Merchant Act of 1987, is required
4 to file a report with the Department providing the name of
5 the merchant's business, the name of the person or persons
6 engaged in merchant's business, the permanent address and
7 Illinois Retailers Occupation Tax Registration Number of the
8 merchant, the dates and location of the event and other
9 reasonable information that the Department may require. The
10 report must be filed not later than the 20th day of the month
11 next following the month during which the event with retail
12 sales was held. Any person who fails to file a report
13 required by this Section commits a business offense and is
14 subject to a fine not to exceed $250.
15 Any person engaged in the business of selling tangible
16 personal property at retail as a concessionaire or other type
17 of seller at the Illinois State Fair, county fairs, art
18 shows, flea markets and similar exhibitions or events, or any
19 transient merchants, as defined by Section 2 of the Transient
20 Merchant Act of 1987, may be required to make a daily report
21 of the amount of such sales to the Department and to make a
22 daily payment of the full amount of tax due. The Department
23 shall impose this requirement when it finds that there is a
24 significant risk of loss of revenue to the State at such an
25 exhibition or event. Such a finding shall be based on
26 evidence that a substantial number of concessionaires or
27 other sellers who are not residents of Illinois will be
28 engaging in the business of selling tangible personal
29 property at retail at the exhibition or event, or other
30 evidence of a significant risk of loss of revenue to the
31 State. The Department shall notify concessionaires and other
32 sellers affected by the imposition of this requirement. In
33 the absence of notification by the Department, the
34 concessionaires and other sellers shall file their returns as
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1 otherwise required in this Section.
2 (Source: P.A. 90-491, eff. 1-1-99; 90-612, eff. 7-8-98;
3 91-37, eff. 7-1-99; 91-51, eff. 6-30-99; 91-101, eff.
4 7-12-99; 91-541, eff. 8-13-99; 91-872, eff. 7-1-00; 91-901,
5 eff. 1-1-01; revised 1-15-01.)
6 Section 30. The Motor Fuel Tax Law is amended by
7 changing Section 13a as follows:
8 (35 ILCS 505/13a) (from Ch. 120, par. 429a)
9 Sec. 13a. Commercial vehicle motor fuel use tax.
10 (1) A tax is hereby imposed upon the use of motor fuel
11 upon highways of this State by commercial motor vehicles. The
12 tax shall be comprised of 2 parts. Part (a) shall be at the
13 rate established by Section 2 of this Act, as heretofore or
14 hereafter amended. Part (b) shall be at the rate established
15 by subsection (2) of this Section as now or hereafter
16 amended.
17 (2) A rate shall be established by the Department as of
18 January 1 of each year using the average "selling price", as
19 defined in the Retailers' Occupation Tax Act, per gallon of
20 motor fuel sold in this State during the previous 12 months
21 and multiplying it by 6 1/4% to determine the cents per
22 gallon rate. For the period beginning on July 1, 2000 and
23 through December 31, 2000, the Department shall establish a
24 rate using the average "selling price", as defined in the
25 Retailers' Occupation Tax Act, per gallon of motor fuel sold
26 in this State during calendar year 1999 and multiplying it by
27 1.25% to determine the cents per gallon rate.
28 Notwithstanding the preceding paragraph, the Department
29 shall establish a separate rate for each of the calendar
30 years 2002 through 2006 for gasohol, as defined in Section
31 3-40 of the Use Tax Act. The rate for gasohol shall be
32 established by the Department as of January 1 of each of
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1 these years using the average "selling price", as defined in
2 the Retailers' Occupation Tax Act, per gallon of gasohol sold
3 in this State during the previous 12 months and multiplying
4 it by 1.25% to determine the cents per gallon rate.
5 Beginning again on January 1, 2007, the Department shall
6 establish the rate for all motor fuel as provided in the
7 preceding paragraph.
8 (Source: P.A. 91-872, eff. 7-1-00.)
9 Section 99. Effective date. This Act takes effect upon
10 becoming law.