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Public Act 101-0016 | ||||
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AN ACT concerning liquor.
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Be it enacted by the People of the State of Illinois,
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represented in the General Assembly:
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Section 5. The Liquor Control Act of 1934 is amended by | ||||
changing Sections 5-1, 6-6, 6-6.5, 8-1, and 8-5 and by adding | ||||
Sections 6-5.5 and 6-6.6 as follows: | ||||
(235 ILCS 5/5-1) (from Ch. 43, par. 115) | ||||
Sec. 5-1. Licenses issued by the Illinois Liquor Control | ||||
Commission
shall be of the following classes: | ||||
(a) Manufacturer's license - Class 1.
Distiller, Class 2. | ||||
Rectifier, Class 3. Brewer, Class 4. First Class Wine
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Manufacturer, Class 5. Second Class Wine Manufacturer,
Class 6. | ||||
First Class Winemaker, Class 7. Second Class Winemaker, Class | ||||
8.
Limited Wine Manufacturer, Class 9. Craft Distiller, Class | ||||
10. Class 1 Brewer, Class 11. Class 2 Brewer, | ||||
(b) Distributor's license, | ||||
(c) Importing Distributor's license, | ||||
(d) Retailer's license, | ||||
(e) Special Event Retailer's license (not-for-profit), | ||||
(f) Railroad license, | ||||
(g) Boat license, | ||||
(h) Non-Beverage User's license, | ||||
(i) Wine-maker's premises license, |
(j) Airplane license, | ||
(k) Foreign importer's license, | ||
(l) Broker's license, | ||
(m) Non-resident dealer's
license, | ||
(n) Brew Pub license, | ||
(o) Auction liquor license, | ||
(p) Caterer retailer license, | ||
(q) Special use permit license, | ||
(r) Winery shipper's license, | ||
(s) Craft distiller tasting permit, | ||
(t) Brewer warehouse permit. | ||
No
person, firm, partnership, corporation, or other legal | ||
business entity that is
engaged in the manufacturing of wine | ||
may concurrently obtain and hold a
wine-maker's license and a | ||
wine manufacturer's license. | ||
(a) A manufacturer's license shall allow the manufacture,
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importation in bulk, storage, distribution and sale of | ||
alcoholic liquor
to persons without the State, as may be | ||
permitted by law and to licensees
in this State as follows: | ||
Class 1. A Distiller may make sales and deliveries of | ||
alcoholic liquor to
distillers, rectifiers, importing | ||
distributors, distributors and
non-beverage users and to no | ||
other licensees. | ||
Class 2. A Rectifier, who is not a distiller, as defined | ||
herein, may make
sales and deliveries of alcoholic liquor to | ||
rectifiers, importing distributors,
distributors, retailers |
and non-beverage users and to no other licensees. | ||
Class 3. A Brewer may make sales and deliveries of beer to | ||
importing
distributors and distributors and may make sales as | ||
authorized under subsection (e) of Section 6-4 of this Act. | ||
Class 4. A first class wine-manufacturer may make sales and | ||
deliveries of
up to 50,000 gallons of wine to manufacturers,
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importing
distributors and distributors, and to no other | ||
licensees. | ||
Class 5. A second class Wine manufacturer may make sales | ||
and deliveries
of more than 50,000 gallons of wine to | ||
manufacturers, importing distributors
and distributors and to | ||
no other licensees. | ||
Class 6. A first-class wine-maker's license shall allow the | ||
manufacture
of up to 50,000 gallons of wine per year, and the
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storage
and sale of such
wine to distributors in the State and | ||
to persons without the
State, as may be permitted by law. A | ||
person who, prior to June 1, 2008 (the effective date of Public | ||
Act 95-634), is a holder of a first-class wine-maker's license | ||
and annually produces more than 25,000 gallons of its own wine | ||
and who distributes its wine to licensed retailers shall cease | ||
this practice on or before July 1, 2008 in compliance with | ||
Public Act 95-634. | ||
Class 7. A second-class wine-maker's license shall allow | ||
the manufacture
of between 50,000 and 150,000 gallons of wine | ||
per year, and
the
storage and sale of such wine
to distributors | ||
in this State and to persons without the State, as may be
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permitted by law. A person who, prior to June 1, 2008 (the | ||
effective date of Public Act 95-634), is a holder of a | ||
second-class wine-maker's license and annually produces more | ||
than 25,000 gallons of its own wine and who distributes its | ||
wine to licensed retailers shall cease this practice on or | ||
before July 1, 2008 in compliance with Public Act 95-634. | ||
Class 8. A limited wine-manufacturer may make sales and | ||
deliveries not to
exceed 40,000 gallons of wine per year to | ||
distributors, and to
non-licensees in accordance with the | ||
provisions of this Act. | ||
Class 9. A craft distiller license shall allow the | ||
manufacture of up to 100,000 gallons of spirits by distillation | ||
per year and the storage of such spirits. If a craft distiller | ||
licensee, including a craft distiller licensee who holds more | ||
than one craft distiller license, is not affiliated with any | ||
other manufacturer of spirits, then the craft distiller | ||
licensee may sell such spirits to distributors in this State | ||
and up to 2,500 gallons of such spirits to non-licensees to the | ||
extent permitted by any exemption approved by the Commission | ||
pursuant to Section 6-4 of this Act. A craft distiller license | ||
holder may store such spirits at a non-contiguous licensed | ||
location, but at no time shall a craft distiller license holder | ||
directly or indirectly produce in the aggregate more than | ||
100,000 gallons of spirits per year. | ||
A craft distiller licensee may hold more than one craft | ||
distiller's license. However, a craft distiller that holds more |
than one craft distiller license shall not manufacture, in the | ||
aggregate, more than 100,000 gallons of spirits by distillation | ||
per year and shall not sell, in the aggregate, more than 2,500 | ||
gallons of such spirits to non-licensees in accordance with an | ||
exemption approved by the State Commission pursuant to Section | ||
6-4 of this Act. | ||
Any craft distiller licensed under this Act who on July 28, | ||
2010 (the effective date of Public Act 96-1367) was licensed as | ||
a distiller and manufactured no more spirits than permitted by | ||
this Section shall not be required to pay the initial licensing | ||
fee. | ||
Class 10. A class 1 brewer license, which may only be | ||
issued to a licensed brewer or licensed non-resident dealer, | ||
shall allow the manufacture of up to 930,000 gallons of beer | ||
per year provided that the class 1 brewer licensee does not | ||
manufacture more than a combined 930,000 gallons of beer per | ||
year and is not a member of or affiliated with, directly or | ||
indirectly, a manufacturer that produces more than 930,000 | ||
gallons of beer per year or any other alcoholic liquor. A class | ||
1 brewer licensee may make sales and deliveries to importing | ||
distributors and distributors and to retail licensees in | ||
accordance with the conditions set forth in paragraph (18) of | ||
subsection (a) of Section 3-12 of this Act. If the State | ||
Commission provides prior approval, a class 1 brewer may | ||
annually transfer up to 930,000 gallons of beer manufactured by | ||
that class 1 brewer to the premises of a licensed class 1 |
brewer wholly owned and operated by the same licensee. | ||
Class 11. A class 2 brewer license, which may only be | ||
issued to a licensed brewer or licensed non-resident dealer, | ||
shall allow the manufacture of up to 3,720,000 gallons of beer | ||
per year provided that the class 2 brewer licensee does not | ||
manufacture more than a combined 3,720,000 gallons of beer per | ||
year and is not a member of or affiliated with, directly or | ||
indirectly, a manufacturer that produces more than 3,720,000 | ||
gallons of beer per year or any other alcoholic liquor. A class | ||
2 brewer licensee may make sales and deliveries to importing | ||
distributors and distributors, but shall not make sales or | ||
deliveries to any other licensee. If the State Commission | ||
provides prior approval, a class 2 brewer licensee may annually | ||
transfer up to 3,720,000 gallons of beer manufactured by that | ||
class 2 brewer licensee to the premises of a licensed class 2 | ||
brewer wholly owned and operated by the same licensee. | ||
A class 2 brewer may transfer beer to a brew pub wholly | ||
owned and operated by the class 2 brewer subject to the | ||
following limitations and restrictions: (i) the transfer shall | ||
not annually exceed more than 31,000 gallons; (ii) the annual | ||
amount transferred shall reduce the brew pub's annual permitted | ||
production limit; (iii) all beer transferred shall be subject | ||
to Article VIII of this Act; (iv) a written record shall be | ||
maintained by the brewer and brew pub specifying the amount, | ||
date of delivery, and receipt of the product by the brew pub; | ||
and (v) the brew pub shall be located no farther than 80 miles |
from the class 2 brewer's licensed location. | ||
A class 2 brewer shall, prior to transferring beer to a | ||
brew pub wholly owned by the class 2 brewer, furnish a written | ||
notice to the State Commission of intent to transfer beer | ||
setting forth the name and address of the brew pub and shall | ||
annually submit to the State Commission a verified report | ||
identifying the total gallons of beer transferred to the brew | ||
pub wholly owned by the class 2 brewer. | ||
(a-1) A manufacturer which is licensed in this State to | ||
make sales or
deliveries of alcoholic liquor to licensed | ||
distributors or importing distributors and which enlists | ||
agents, representatives, or
individuals acting on its behalf | ||
who contact licensed retailers on a regular
and continual basis | ||
in this State must register those agents, representatives,
or | ||
persons acting on its behalf with the State Commission. | ||
Registration of agents, representatives, or persons acting | ||
on behalf of a
manufacturer is fulfilled by submitting a form | ||
to the Commission. The form
shall be developed by the | ||
Commission and shall include the name and address of
the | ||
applicant, the name and address of the manufacturer he or she | ||
represents,
the territory or areas assigned to sell to or | ||
discuss pricing terms of
alcoholic liquor, and any other | ||
questions deemed appropriate and necessary.
All statements in | ||
the forms required to be made by law or by rule shall be
deemed | ||
material, and any person who knowingly misstates any material | ||
fact under
oath in an application is guilty of a Class B |
misdemeanor. Fraud,
misrepresentation, false statements, | ||
misleading statements, evasions, or
suppression of material | ||
facts in the securing of a registration are grounds for
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suspension or revocation of the registration. The State | ||
Commission shall post a list of registered agents on the | ||
Commission's website. | ||
(b) A distributor's license shall allow the wholesale | ||
purchase and storage
of alcoholic liquors and sale of alcoholic | ||
liquors to licensees in this State and to persons without the | ||
State, as may be permitted by law, and the sale of beer, cider, | ||
or both beer and cider to brewers, class 1 brewers, and class 2 | ||
brewers that, pursuant to subsection (e) of Section 6-4 of this | ||
Act, sell beer, cider, or both beer and cider to non-licensees | ||
at their breweries. No person licensed as a distributor shall | ||
be granted a non-resident dealer's license. | ||
(c) An importing distributor's license may be issued to and | ||
held by
those only who are duly licensed distributors, upon the | ||
filing of an
application by a duly licensed distributor, with | ||
the Commission and
the Commission shall, without the
payment of | ||
any fee, immediately issue such importing distributor's
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license to the applicant, which shall allow the importation of | ||
alcoholic
liquor by the licensee into this State from any point | ||
in the United
States outside this State, and the purchase of | ||
alcoholic liquor in
barrels, casks or other bulk containers and | ||
the bottling of such
alcoholic liquors before resale thereof, | ||
but all bottles or containers
so filled shall be sealed, |
labeled, stamped and otherwise made to comply
with all | ||
provisions, rules and regulations governing manufacturers in
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the preparation and bottling of alcoholic liquors. The | ||
importing
distributor's license shall permit such licensee to | ||
purchase alcoholic
liquor from Illinois licensed non-resident | ||
dealers and foreign importers only. No person licensed as an | ||
importing distributor shall be granted a non-resident dealer's | ||
license. | ||
(d) A retailer's license shall allow the licensee to sell | ||
and offer
for sale at retail, only in the premises specified in | ||
the license,
alcoholic liquor for use or consumption, but not | ||
for resale in any form. Nothing in Public Act 95-634 shall | ||
deny, limit, remove, or restrict the ability of a holder of a | ||
retailer's license to transfer, deliver, or ship alcoholic | ||
liquor to the purchaser for use or consumption subject to any | ||
applicable local law or ordinance. Any retail license issued to | ||
a manufacturer shall only
permit the manufacturer to sell beer | ||
at retail on the premises actually
occupied by the | ||
manufacturer. For the purpose of further describing the type of | ||
business conducted at a retail licensed premises, a retailer's | ||
licensee may be designated by the State Commission as (i) an on | ||
premise consumption retailer, (ii) an off premise sale | ||
retailer, or (iii) a combined on premise consumption and off | ||
premise sale retailer. | ||
Notwithstanding any other provision of this subsection | ||
(d), a retail
licensee may sell alcoholic liquors to a special |
event retailer licensee for
resale to the extent permitted | ||
under subsection (e). | ||
(e) A special event retailer's license (not-for-profit) | ||
shall permit the
licensee to purchase alcoholic liquors from an | ||
Illinois licensed distributor
(unless the licensee purchases | ||
less than $500 of alcoholic liquors for the
special event, in | ||
which case the licensee may purchase the alcoholic liquors
from | ||
a licensed retailer) and shall allow the licensee to sell and | ||
offer for
sale, at retail, alcoholic liquors for use or | ||
consumption, but not for resale
in any form and only at the | ||
location and on the specific dates designated for
the special | ||
event in the license. An applicant for a special event retailer
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license must
(i) furnish with the application: (A) a resale | ||
number issued under Section
2c of the Retailers' Occupation Tax | ||
Act or evidence that the applicant is
registered under Section | ||
2a of the Retailers' Occupation Tax Act, (B) a
current, valid | ||
exemption identification
number issued under Section 1g of the | ||
Retailers' Occupation Tax Act, and a
certification to the | ||
Commission that the purchase of alcoholic liquors will be
a | ||
tax-exempt purchase, or (C) a statement that the applicant is | ||
not registered
under Section 2a of the Retailers' Occupation | ||
Tax Act, does not hold a resale
number under Section 2c of the | ||
Retailers' Occupation Tax Act, and does not
hold an exemption | ||
number under Section 1g of the Retailers' Occupation Tax
Act, | ||
in which event the Commission shall set forth on the special | ||
event
retailer's license a statement to that effect; (ii) |
submit with the application proof satisfactory to
the State | ||
Commission that the applicant will provide dram shop liability
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insurance in the maximum limits; and (iii) show proof | ||
satisfactory to the
State Commission that the applicant has | ||
obtained local authority
approval. | ||
Nothing in this Act prohibits an Illinois licensed | ||
distributor from offering credit or a refund for unused, | ||
salable alcoholic liquors to a holder of a special event | ||
retailer's license or from the special event retailer's | ||
licensee from accepting the credit or refund of alcoholic | ||
liquors at the conclusion of the event specified in the | ||
license. | ||
(f) A railroad license shall permit the licensee to import | ||
alcoholic
liquors into this State from any point in the United | ||
States outside this
State and to store such alcoholic liquors | ||
in this State; to make wholesale
purchases of alcoholic liquors | ||
directly from manufacturers, foreign
importers, distributors | ||
and importing distributors from within or outside
this State; | ||
and to store such alcoholic liquors in this State; provided
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that the above powers may be exercised only in connection with | ||
the
importation, purchase or storage of alcoholic liquors to be | ||
sold or
dispensed on a club, buffet, lounge or dining car | ||
operated on an electric,
gas or steam railway in this State; | ||
and provided further, that railroad
licensees exercising the | ||
above powers shall be subject to all provisions of
Article VIII | ||
of this Act as applied to importing distributors. A railroad
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license shall also permit the licensee to sell or dispense | ||
alcoholic
liquors on any club, buffet, lounge or dining car | ||
operated on an electric,
gas or steam railway regularly | ||
operated by a common carrier in this State,
but shall not | ||
permit the sale for resale of any alcoholic liquors to any
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licensee within this State. A license shall be obtained for | ||
each car in which
such sales are made. | ||
(g) A boat license shall allow the sale of alcoholic liquor | ||
in
individual drinks, on any passenger boat regularly operated | ||
as a common
carrier on navigable waters in this State or on any | ||
riverboat operated
under
the Riverboat Gambling Act, which boat | ||
or riverboat maintains a public
dining room or restaurant | ||
thereon. | ||
(h) A non-beverage user's license shall allow the licensee | ||
to
purchase alcoholic liquor from a licensed manufacturer or | ||
importing
distributor, without the imposition of any tax upon | ||
the business of such
licensed manufacturer or importing | ||
distributor as to such alcoholic
liquor to be used by such | ||
licensee solely for the non-beverage purposes
set forth in | ||
subsection (a) of Section 8-1 of this Act, and
such licenses | ||
shall be divided and classified and shall permit the
purchase, | ||
possession and use of limited and stated quantities of
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alcoholic liquor as follows: | ||
Class 1, not to exceed ......................... 500 gallons
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Class 2, not to exceed ....................... 1,000 gallons
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Class 3, not to exceed ....................... 5,000 gallons
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Class 4, not to exceed ...................... 10,000 gallons
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Class 5, not to exceed ....................... 50,000 gallons | ||
(i) A wine-maker's premises license shall allow a
licensee | ||
that concurrently holds a first-class wine-maker's license to | ||
sell
and offer for sale at retail in the premises specified in | ||
such license
not more than 50,000 gallons of the first-class | ||
wine-maker's wine that is
made at the first-class wine-maker's | ||
licensed premises per year for use or
consumption, but not for | ||
resale in any form. A wine-maker's premises
license shall allow | ||
a licensee who concurrently holds a second-class
wine-maker's | ||
license to sell and offer for sale at retail in the premises
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specified in such license up to 100,000 gallons of the
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second-class wine-maker's wine that is made at the second-class | ||
wine-maker's
licensed premises per year
for use or consumption | ||
but not for resale in any form. A wine-maker's premises license | ||
shall allow a
licensee that concurrently holds a first-class | ||
wine-maker's license or a second-class
wine-maker's license to | ||
sell
and offer for sale at retail at the premises specified in | ||
the wine-maker's premises license, for use or consumption but | ||
not for resale in any form, any beer, wine, and spirits | ||
purchased from a licensed distributor. Upon approval from the
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State Commission, a wine-maker's premises license
shall allow | ||
the licensee to sell and offer for sale at (i) the wine-maker's
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licensed premises and (ii) at up to 2 additional locations for | ||
use and
consumption and not for resale. Each location shall | ||
require additional
licensing per location as specified in |
Section 5-3 of this Act. A wine-maker's premises licensee shall
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secure liquor liability insurance coverage in an amount at
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least equal to the maximum liability amounts set forth in
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subsection (a) of Section 6-21 of this Act. | ||
(j) An airplane license shall permit the licensee to import
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alcoholic liquors into this State from any point in the United | ||
States
outside this State and to store such alcoholic liquors | ||
in this State; to
make wholesale purchases of alcoholic liquors | ||
directly from
manufacturers, foreign importers, distributors | ||
and importing
distributors from within or outside this State; | ||
and to store such
alcoholic liquors in this State; provided | ||
that the above powers may be
exercised only in connection with | ||
the importation, purchase or storage
of alcoholic liquors to be | ||
sold or dispensed on an airplane; and
provided further, that | ||
airplane licensees exercising the above powers
shall be subject | ||
to all provisions of Article VIII of this Act as
applied to | ||
importing distributors. An airplane licensee shall also
permit | ||
the sale or dispensing of alcoholic liquors on any passenger
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airplane regularly operated by a common carrier in this State, | ||
but shall
not permit the sale for resale of any alcoholic | ||
liquors to any licensee
within this State. A single airplane | ||
license shall be required of an
airline company if liquor | ||
service is provided on board aircraft in this
State. The annual | ||
fee for such license shall be as determined in
Section 5-3. | ||
(k) A foreign importer's license shall permit such licensee | ||
to purchase
alcoholic liquor from Illinois licensed |
non-resident dealers only, and to
import alcoholic liquor other | ||
than in bulk from any point outside the
United States and to | ||
sell such alcoholic liquor to Illinois licensed
importing | ||
distributors and to no one else in Illinois;
provided that (i) | ||
the foreign importer registers with the State Commission
every
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brand of
alcoholic liquor that it proposes to sell to Illinois | ||
licensees during the
license period, (ii) the foreign importer | ||
complies with all of the provisions
of Section
6-9 of this Act | ||
with respect to registration of such Illinois licensees as may
| ||
be granted the
right to sell such brands at wholesale, and | ||
(iii) the foreign importer complies with the provisions of | ||
Sections 6-5 and 6-6 of this Act to the same extent that these | ||
provisions apply to manufacturers. | ||
(l) (i) A broker's license shall be required of all persons
| ||
who solicit
orders for, offer to sell or offer to supply | ||
alcoholic liquor to
retailers in the State of Illinois, or who | ||
offer to retailers to ship or
cause to be shipped or to make | ||
contact with distillers, rectifiers,
brewers or manufacturers | ||
or any other party within or without the State
of Illinois in | ||
order that alcoholic liquors be shipped to a distributor,
| ||
importing distributor or foreign importer, whether such | ||
solicitation or
offer is consummated within or without the | ||
State of Illinois. | ||
No holder of a retailer's license issued by the Illinois | ||
Liquor
Control Commission shall purchase or receive any | ||
alcoholic liquor, the
order for which was solicited or offered |
for sale to such retailer by a
broker unless the broker is the | ||
holder of a valid broker's license. | ||
The broker shall, upon the acceptance by a retailer of the | ||
broker's
solicitation of an order or offer to sell or supply or | ||
deliver or have
delivered alcoholic liquors, promptly forward | ||
to the Illinois Liquor
Control Commission a notification of | ||
said transaction in such form as
the Commission may by | ||
regulations prescribe. | ||
(ii) A broker's license shall be required of
a person | ||
within this State, other than a retail licensee,
who, for a fee | ||
or commission, promotes, solicits, or accepts orders for
| ||
alcoholic liquor, for use or consumption and not for
resale, to | ||
be shipped from this State and delivered to residents outside | ||
of
this State by an express company, common carrier, or | ||
contract carrier.
This Section does not apply to any person who | ||
promotes, solicits, or accepts
orders for wine as specifically | ||
authorized in Section 6-29 of this Act. | ||
A broker's license under this subsection (l)
shall not | ||
entitle the holder to
buy or sell any
alcoholic liquors for his | ||
own account or to take or deliver title to
such alcoholic | ||
liquors. | ||
This subsection (l)
shall not apply to distributors, | ||
employees of
distributors, or employees of a manufacturer who | ||
has registered the
trademark, brand or name of the alcoholic | ||
liquor pursuant to Section 6-9
of this Act, and who regularly | ||
sells such alcoholic liquor
in the State of Illinois only to |
its registrants thereunder. | ||
Any agent, representative, or person subject to | ||
registration pursuant to
subsection (a-1) of this Section shall | ||
not be eligible to receive a broker's
license. | ||
(m) A non-resident dealer's license shall permit such | ||
licensee to ship
into and warehouse alcoholic liquor into this | ||
State from any point
outside of this State, and to sell such | ||
alcoholic liquor to Illinois licensed
foreign importers and | ||
importing distributors and to no one else in this State;
| ||
provided that (i) said non-resident dealer shall register with | ||
the Illinois Liquor
Control Commission each and every brand of | ||
alcoholic liquor which it proposes
to sell to Illinois | ||
licensees during the license period, (ii) it shall comply with | ||
all of the provisions of Section 6-9 hereof with
respect to | ||
registration of such Illinois licensees as may be granted the | ||
right
to sell such brands at wholesale by duly filing such | ||
registration statement, thereby authorizing the non-resident | ||
dealer to proceed to sell such brands at wholesale, and (iii) | ||
the non-resident dealer shall comply with the provisions of | ||
Sections 6-5 and 6-6 of this Act to the same extent that these | ||
provisions apply to manufacturers. No person licensed as a | ||
non-resident dealer shall be granted a distributor's or | ||
importing distributor's license. | ||
(n) A brew pub license shall allow the licensee to only (i) | ||
manufacture up to 155,000 gallons of beer per year only
on the | ||
premises specified in the license, (ii) make sales of the
beer |
manufactured on the premises or, with the approval of the | ||
Commission, beer manufactured on another brew pub licensed | ||
premises that is wholly owned and operated by the same licensee | ||
to importing distributors, distributors,
and to non-licensees | ||
for use and consumption, (iii) store the beer upon
the | ||
premises, (iv) sell and offer for sale at retail from the | ||
licensed
premises for off-premises
consumption no more than | ||
155,000 gallons per year so long as such sales are only made | ||
in-person, (v) sell and offer for sale at retail for use and | ||
consumption on the premises specified in the license any form | ||
of alcoholic liquor purchased from a licensed distributor or | ||
importing distributor, and (vi) with the prior approval of the | ||
Commission, annually transfer no more than 155,000 gallons of | ||
beer manufactured on the premises to a licensed brew pub wholly | ||
owned and operated by the same licensee. | ||
A brew pub licensee shall not under any circumstance sell | ||
or offer for sale beer manufactured by the brew pub licensee to | ||
retail licensees. | ||
A person who holds a class 2 brewer license may | ||
simultaneously hold a brew pub license if the class 2 brewer | ||
(i) does not, under any circumstance, sell or offer for sale | ||
beer manufactured by the class 2 brewer to retail licensees; | ||
(ii) does not hold more than 3 brew pub licenses in this State; | ||
(iii) does not manufacture more than a combined 3,720,000 | ||
gallons of beer per year, including the beer manufactured at | ||
the brew pub; and (iv) is not a member of or affiliated with, |
directly or indirectly, a manufacturer that produces more than | ||
3,720,000 gallons of beer per year or any other alcoholic | ||
liquor. | ||
Notwithstanding any other provision of this Act, a licensed | ||
brewer, class 2 brewer, or non-resident dealer who before July | ||
1, 2015 manufactured less than 3,720,000 gallons of beer per | ||
year and held a brew pub license on or before July 1, 2015 may | ||
(i) continue to qualify for and hold that brew pub license for | ||
the licensed premises and (ii) manufacture more than 3,720,000 | ||
gallons of beer per year and continue to qualify for and hold | ||
that brew pub license if that brewer, class 2 brewer, or | ||
non-resident dealer does not simultaneously hold a class 1 | ||
brewer license and is not a member of or affiliated with, | ||
directly or indirectly, a manufacturer that produces more than | ||
3,720,000 gallons of beer per year or that produces any other | ||
alcoholic liquor. | ||
(o) A caterer retailer license shall allow the holder
to | ||
serve alcoholic liquors as an incidental part of a food service | ||
that serves
prepared meals which excludes the serving of snacks | ||
as
the primary meal, either on or off-site whether licensed or | ||
unlicensed. A caterer retailer license shall allow the holder, | ||
a distributor, or an importing distributor to transfer any | ||
inventory to and from the holder's retail premises and shall | ||
allow the holder to purchase alcoholic liquor from a | ||
distributor or importing distributor to be delivered directly | ||
to an off-site event. |
Nothing in this Act prohibits a distributor or importing | ||
distributor from offering credit or a refund for unused, | ||
salable beer to a holder of a caterer retailer license or a | ||
caterer retailer licensee from accepting a credit or refund for | ||
unused, salable beer, in the event an act of God is the sole | ||
reason an off-site event is cancelled and if: (i) the holder of | ||
a caterer retailer license has not transferred alcoholic liquor | ||
from its caterer retailer premises to an off-site location; | ||
(ii) the distributor or importing distributor offers the credit | ||
or refund for the unused, salable beer that it delivered to the | ||
off-site premises and not for any unused, salable beer that the | ||
distributor or importing distributor delivered to the caterer | ||
retailer's premises; and (iii) the unused, salable beer would | ||
likely spoil if transferred to the caterer retailer's premises. | ||
A caterer retailer license shall allow the holder to transfer | ||
any inventory from any off-site location to its caterer | ||
retailer premises at the conclusion of an off-site event or | ||
engage a distributor or importing distributor to transfer any | ||
inventory from any off-site location to its caterer retailer | ||
premises at the conclusion of an off-site event, provided that | ||
the distributor or importing distributor issues bona fide | ||
charges to the caterer retailer licensee for fuel, labor, and | ||
delivery and the distributor or importing distributor collects | ||
payment from the caterer retailer licensee prior to the | ||
distributor or importing distributor transferring inventory to | ||
the caterer retailer premises. |
For purposes of this subsection (o), an "act of God" means | ||
an unforeseeable event, such as a rain or snow storm, hail, a | ||
flood, or a similar event, that is the sole cause of the | ||
cancellation of an off-site, outdoor event. | ||
(p) An auction liquor license shall allow the licensee to | ||
sell and offer
for sale at auction wine and spirits for use or | ||
consumption, or for resale by
an Illinois liquor licensee in | ||
accordance with provisions of this Act. An
auction liquor | ||
license will be issued to a person and it will permit the
| ||
auction liquor licensee to hold the auction anywhere in the | ||
State. An auction
liquor license must be obtained for each | ||
auction at least 14 days in advance of
the auction date. | ||
(q) A special use permit license shall allow an Illinois | ||
licensed
retailer to transfer a portion of its alcoholic liquor | ||
inventory from its
retail licensed premises to the premises | ||
specified in the license hereby
created ; to purchase alcoholic | ||
liquor from a distributor or importing distributor to be | ||
delivered directly to the location specified in the license | ||
hereby created; , and to sell or offer for sale at retail, only | ||
in the premises
specified in the license hereby created, the | ||
transferred or delivered alcoholic liquor for
use or | ||
consumption, but not for resale in any form. A special use | ||
permit
license may be granted for the following time periods: | ||
one day or less; 2 or
more days to a maximum of 15 days per | ||
location in any 12-month period. An
applicant for the special | ||
use permit license must also submit with the
application proof |
satisfactory to the State Commission that the applicant will
| ||
provide dram shop liability insurance to the maximum limits and | ||
have local
authority approval. | ||
A special use permit license shall allow the holder to | ||
transfer any inventory from the holder's special use premises | ||
to its retail premises at the conclusion of the special use | ||
event or engage a distributor or importing distributor to | ||
transfer any inventory from the holder's special use premises | ||
to its retail premises at the conclusion of an off-site event, | ||
provided that the distributor or importing distributor issues | ||
bona fide charges to the special use permit licensee for fuel, | ||
labor, and delivery and the distributor or importing | ||
distributor collects payment from the retail licensee prior to | ||
the distributor or importing distributor transferring | ||
inventory to the retail premises. | ||
Nothing in this Act prohibits a distributor or importing | ||
distributor from offering credit or a refund for unused, | ||
salable beer to a special use permit licensee or a special use | ||
permit licensee from accepting a credit or refund for unused, | ||
salable beer at the conclusion of the event specified in the | ||
license if: (i) the holder of the special use permit license | ||
has not transferred alcoholic liquor from its retail licensed | ||
premises to the premises specified in the special use permit | ||
license; (ii) the distributor or importing distributor offers | ||
the credit or refund for the unused, salable beer that it | ||
delivered to the premises specified in the special use permit |
license and not for any unused, salable beer that the | ||
distributor or importing distributor delivered to the | ||
retailer's premises; and (iii) the unused, salable beer would | ||
likely spoil if transferred to the retailer premises. | ||
(r) A winery shipper's license shall allow a person
with a | ||
first-class or second-class wine manufacturer's
license, a | ||
first-class or second-class wine-maker's license,
or a limited | ||
wine manufacturer's license or who is licensed to
make wine | ||
under the laws of another state to ship wine
made by that | ||
licensee directly to a resident of this
State who is 21 years | ||
of age or older for that resident's
personal use and not for | ||
resale. Prior to receiving a
winery shipper's license, an | ||
applicant for the license must
provide the Commission with a | ||
true copy of its current
license in any state in which it is | ||
licensed as a manufacturer
of wine. An applicant for a winery | ||
shipper's license must
also complete an application form that | ||
provides any other
information the Commission deems necessary. | ||
The application form shall include all addresses from which the | ||
applicant for a winery shipper's license intends to ship wine, | ||
including the name and address of any third party, except for a | ||
common carrier, authorized to ship wine on behalf of the | ||
manufacturer. The
application form shall include an | ||
acknowledgement consenting
to the jurisdiction of the | ||
Commission, the Illinois
Department of Revenue, and the courts | ||
of this State concerning
the enforcement of this Act and any | ||
related laws, rules, and
regulations, including authorizing |
the Department of Revenue
and the Commission to conduct audits | ||
for the purpose of
ensuring compliance with Public Act 95-634, | ||
and an acknowledgement that the wine manufacturer is in | ||
compliance with Section 6-2 of this Act. Any third party, | ||
except for a common carrier, authorized to ship wine on behalf | ||
of a first-class or second-class wine manufacturer's licensee, | ||
a first-class or second-class wine-maker's licensee, a limited | ||
wine manufacturer's licensee, or a person who is licensed to | ||
make wine under the laws of another state shall also be | ||
disclosed by the winery shipper's licensee, and a copy of the | ||
written appointment of the third-party wine provider, except | ||
for a common carrier, to the wine manufacturer shall be filed | ||
with the State Commission as a supplement to the winery | ||
shipper's license application or any renewal thereof. The | ||
winery shipper's license holder shall affirm under penalty of | ||
perjury, as part of the winery shipper's license application or | ||
renewal, that he or she only ships wine, either directly or | ||
indirectly through a third-party provider, from the licensee's | ||
own production. | ||
Except for a common carrier, a third-party provider | ||
shipping wine on behalf of a winery shipper's license holder is | ||
the agent of the winery shipper's license holder and, as such, | ||
a winery shipper's license holder is responsible for the acts | ||
and omissions of the third-party provider acting on behalf of | ||
the license holder. A third-party provider, except for a common | ||
carrier, that engages in shipping wine into Illinois on behalf |
of a winery shipper's license holder shall consent to the | ||
jurisdiction of the State Commission and the State. Any | ||
third-party, except for a common carrier, holding such an | ||
appointment shall, by February 1 of each calendar year and upon | ||
request by the State Commission or the Department of Revenue, | ||
file with the State Commission a statement detailing each | ||
shipment made to an Illinois resident. The statement shall | ||
include the name and address of the third-party provider filing | ||
the statement, the time period covered by the statement, and | ||
the following information: | ||
(1) the name, address, and license number of the winery | ||
shipper on whose behalf the shipment was made; | ||
(2) the quantity of the products delivered; and | ||
(3) the date and address of the shipment. | ||
If the Department of Revenue or the State Commission requests a | ||
statement under this paragraph, the third-party provider must | ||
provide that statement no later than 30 days after the request | ||
is made. Any books, records, supporting papers, and documents | ||
containing information and data relating to a statement under | ||
this paragraph shall be kept and preserved for a period of 3 | ||
years, unless their destruction sooner is authorized, in | ||
writing, by the Director of Revenue, and shall be open and | ||
available to inspection by the Director of Revenue or the State | ||
Commission or any duly authorized officer, agent, or employee | ||
of the State Commission or the Department of Revenue, at all | ||
times during business hours of the day. Any person who violates |
any provision of this paragraph or any rule of the State | ||
Commission for the administration and enforcement of the | ||
provisions of this paragraph is guilty of a Class C | ||
misdemeanor. In case of a continuing violation, each day's | ||
continuance thereof shall be a separate and distinct offense. | ||
The State Commission shall adopt rules as soon as | ||
practicable to implement the requirements of Public Act 99-904 | ||
and shall adopt rules prohibiting any such third-party | ||
appointment of a third-party provider, except for a common | ||
carrier, that has been deemed by the State Commission to have | ||
violated the provisions of this Act with regard to any winery | ||
shipper licensee. | ||
A winery shipper licensee must pay to the Department
of | ||
Revenue the State liquor gallonage tax under Section 8-1 for
| ||
all wine that is sold by the licensee and shipped to a person
| ||
in this State. For the purposes of Section 8-1, a winery
| ||
shipper licensee shall be taxed in the same manner as a
| ||
manufacturer of wine. A licensee who is not otherwise required | ||
to register under the Retailers' Occupation Tax Act must
| ||
register under the Use Tax Act to collect and remit use tax to
| ||
the Department of Revenue for all gallons of wine that are sold
| ||
by the licensee and shipped to persons in this State. If a
| ||
licensee fails to remit the tax imposed under this Act in
| ||
accordance with the provisions of Article VIII of this Act, the
| ||
winery shipper's license shall be revoked in accordance
with | ||
the provisions of Article VII of this Act. If a licensee
fails |
to properly register and remit tax under the Use Tax Act
or the | ||
Retailers' Occupation Tax Act for all wine that is sold
by the | ||
winery shipper and shipped to persons in this
State, the winery | ||
shipper's license shall be revoked in
accordance with the | ||
provisions of Article VII of this Act. | ||
A winery shipper licensee must collect, maintain, and
| ||
submit to the Commission on a semi-annual basis the
total | ||
number of cases per resident of wine shipped to residents
of | ||
this State.
A winery shipper licensed under this subsection (r)
| ||
must comply with the requirements of Section 6-29 of this Act. | ||
Pursuant to paragraph (5.1) or (5.3) of subsection (a) of | ||
Section 3-12, the State Commission may receive, respond to, and | ||
investigate any complaint and impose any of the remedies | ||
specified in paragraph (1) of subsection (a) of Section 3-12. | ||
As used in this subsection, "third-party provider" means | ||
any entity that provides fulfillment house services, including | ||
warehousing, packaging, distribution, order processing, or | ||
shipment of wine, but not the sale of wine, on behalf of a | ||
licensed winery shipper. | ||
(s) A craft distiller tasting permit license shall allow an | ||
Illinois licensed craft distiller to transfer a portion of its | ||
alcoholic liquor inventory from its craft distiller licensed | ||
premises to the premises specified in the license hereby | ||
created and to conduct a sampling, only in the premises | ||
specified in the license hereby created, of the transferred | ||
alcoholic liquor in accordance with subsection (c) of Section |
6-31 of this Act. The transferred alcoholic liquor may not be | ||
sold or resold in any form. An applicant for the craft | ||
distiller tasting permit license must also submit with the | ||
application proof satisfactory to the State Commission that the | ||
applicant will provide dram shop liability insurance to the | ||
maximum limits and have local authority approval. | ||
A brewer warehouse permit may be issued to the holder of a | ||
class 1 brewer license or a class 2 brewer license. If the | ||
holder of the permit is a class 1 brewer licensee, the brewer | ||
warehouse permit shall allow the holder to store or warehouse | ||
up to 930,000 gallons of tax-determined beer manufactured by | ||
the holder of the permit at the premises specified on the | ||
permit. If the holder of the permit is a class 2 brewer | ||
licensee, the brewer warehouse permit shall allow the holder to | ||
store or warehouse up to 3,720,000 gallons of tax-determined | ||
beer manufactured by the holder of the permit at the premises | ||
specified on the permit. Sales to non-licensees are prohibited | ||
at the premises specified in the brewer warehouse permit. | ||
(Source: P.A. 99-448, eff. 8-24-15; 99-642, eff. 7-28-16; | ||
99-800, eff. 8-12-16; 99-902, eff. 8-26-16; 99-904, eff. | ||
1-1-17; 100-17, eff. 6-30-17; 100-201, eff. 8-18-17; 100-816, | ||
eff. 8-13-18; 100-885, eff. 8-14-18; 100-1050, eff. 8-23-18; | ||
revised 10-2-18.) | ||
(235 ILCS 5/6-5.5 new) | ||
Sec. 6-5.5. Consignment sales prohibited; retailer |
returns. | ||
(a) In this Section, "retailer" means a retailer, special | ||
event retailer, special use permit licensee, caterer retailer, | ||
or brew pub. | ||
(b) It is unlawful for a manufacturer with | ||
self-distribution privileges, importing distributor, or | ||
distributor to sell, offer for sale, or contract to sell to any | ||
retailer, or for any such retailer to purchase, offer to | ||
purchase, or contract to purchase any products: | ||
(1) on consignment or conditional sale, pursuant to | ||
which the retailer has no obligation to pay for the product | ||
until sold; | ||
(2) with the privilege of return unless expressly | ||
authorized in this Act; | ||
(3) on any basis other than a bona fide sale; or | ||
(4) if any part of the sale involves, directly or | ||
indirectly, the acquisition by the retailer of other | ||
products from a manufacturer with self-distribution | ||
privileges, importing distributor, or distributor, or an | ||
agreement to acquire other products from the manufacturer | ||
with self-distribution privileges, importing distributor, | ||
or distributor. | ||
(c) Transactions involving the bona fide return of products | ||
for ordinary and usual commercial reasons arising after the | ||
product has been sold are not prohibited. | ||
(d) Unless there is a bona fide business reason for |
replacement of an alcoholic liquor product when delivered, the | ||
alcoholic liquor product may not be replaced free of charge to | ||
a retailer. Replacement of an alcoholic liquor product damaged | ||
while in a retailer's possession constitutes the providing of | ||
something of value and is a violation of Sections 6-4, 6-5, and | ||
6-6 of this Act. A manufacturer with self-distribution | ||
privileges, importing distributor, or distributor is not | ||
required to accept the return of products for the reasons | ||
stated in items (1) through (7) of subsection (f). | ||
(1) A manufacturer with self-distribution privileges, | ||
importing distributor, or distributor may not accept the | ||
return of alcoholic liquor products as breakage if the | ||
product was damaged after delivery and while in the | ||
possession of the retailer. The manufacturer with | ||
self-distribution privileges, importing distributor, or | ||
distributor may replace damaged cartons, packaging, or | ||
carrying containers of alcoholic liquor at any time. | ||
(2) Alcoholic liquor products or other compensation | ||
shall not be furnished to a retailer for product breakage | ||
that occurs as a result of handling by the retailer or its | ||
agents, employees, or customers. | ||
(3) If an alcoholic liquor product has been damaged | ||
prior to or at the time of actual delivery, the product may | ||
only be exchanged for an equal quantity of identical | ||
product or returned for credit. If an identical product is | ||
unavailable, a similar type of product, including a |
similarly priced product, may be exchanged. | ||
(4) If an alcoholic liquor product has been damaged | ||
prior to or at the time of actual delivery, the product may | ||
be exchanged no later than 15 days after delivery under the | ||
following conditions: | ||
(A) If the pre-delivery damage is visible at the | ||
time of delivery, the retailer must identify the | ||
damaged product immediately. | ||
(B) If the damage is latent and not visible at the | ||
time of delivery, the retailer must notify the | ||
manufacturer with self-distribution privileges, | ||
importing distributor, or distributor of the | ||
pre-delivery damage within 15 days after delivery, or | ||
the date of invoice, whichever is later. | ||
(e) It is unlawful to sell, offer to sell, or contract to | ||
sell alcoholic liquor products with the privilege of return for | ||
any reason, other than those considered to be ordinary and | ||
usual commercial reasons, arising after the product has been | ||
sold. A manufacturer with self-distribution privileges, | ||
importing distributor, or distributor is under no obligation to | ||
accept a return or make an exchange for any product. A | ||
manufacturer with self-distribution privileges, importing | ||
distributor, or distributor that elects to make an authorized | ||
exchange of a product or return of a product for cash or credit | ||
does so at its sole discretion and must maintain proper books | ||
and records of the transaction in accordance with 11 Ill. Adm. |
Code 100.130. | ||
(f) Ordinary and usual commercial reasons for the return of | ||
alcoholic liquor products are limited to the following: | ||
(1) Defective products. Products that are unmarketable | ||
because of product deterioration, leaking containers, | ||
damaged labels, or missing or mutilated tamper evident | ||
closures may be exchanged for an equal quantity of | ||
identical or similar products, including similarly priced | ||
products, or credit against outstanding indebtedness. | ||
(2) Error in products delivered. Any discrepancy | ||
between products ordered and products delivered may be | ||
corrected, within 15 days after the date of delivery or | ||
date of invoice, whichever is later, by exchange of the | ||
products delivered for those that were ordered or by a | ||
return for credit against outstanding indebtedness. | ||
(3) Products that may no longer be lawfully sold. | ||
Products that may no longer be lawfully sold may be | ||
returned for credit against outstanding indebtedness. This | ||
includes situations in which, due to a change in regulation | ||
or administrative procedure over which a retailer has no | ||
control, a particular size or brand is no longer permitted | ||
to be sold. | ||
(4) Termination of business. Products on hand at the | ||
time a retailer terminates operations may be returned for | ||
cash or credit against outstanding indebtedness. This does | ||
not include a temporary seasonal shutdown. |
(5) Change in products. A retailer's inventory of a | ||
product that has been changed in formula, proof, label, or | ||
container may be exchanged for equal quantities of the new | ||
version of that product. | ||
(6) Discontinued products. If a manufacturer, | ||
non-resident dealer, foreign importer, or importing | ||
distributor discontinues the production or importation of | ||
a product, a retailer may return its inventory of that | ||
product for cash or credit against outstanding | ||
indebtedness. | ||
(7) Seasonal dealers. Manufacturers with | ||
self-distribution privileges, importing distributors, or | ||
distributors may accept the return of product from | ||
retailers who are only open a portion of the year if the | ||
products are likely to spoil during the off-season. These | ||
returns shall be for cash or credit against outstanding | ||
indebtedness. | ||
(g) Without limitation, the following are not considered | ||
ordinary and commercial reasons to justify a return of an | ||
alcoholic liquor product: | ||
(1) Overstocked and slow-moving alcoholic liquor | ||
products. The return or exchange of a product because it is | ||
overstocked or slow moving does not constitute a return for | ||
ordinary and usual commercial reasons. | ||
(2) Seasonal alcoholic liquor products. The return for | ||
cash or credit or exchange of wine or spirits for which |
there is only a limited or seasonal demand, such as holiday | ||
decanters and certain distinctive bottles, does not | ||
constitute a return for ordinary and usual commercial | ||
reasons. Nothing in this item (2) prohibits the exchange of | ||
seasonal beer products for similarly priced beer products. | ||
(h) Nothing in this Section prohibits a manufacturer with | ||
self-distribution privileges, importing distributor, or | ||
distributor from accepting the return of beer from a retailer | ||
if the beer is near or beyond its freshness date, code date, | ||
pull date, or other similar date marking the deterioration or | ||
freshness of the beer if: | ||
(1) the brewer has policies and procedures in place | ||
that specify the date the retailer must pull the product; | ||
(2) the brewer's freshness return or exchange policies | ||
and procedures are readily verifiable and consistently | ||
followed by the brewer; and | ||
(3) the container has identifying markings that | ||
correspond with this date. | ||
Returns under this subsection may be accepted in return for | ||
credit against indebtedness or equal amounts of the same or | ||
similar beer, including a similarly priced product. | ||
For purposes of this Section, beer is near code on any date | ||
on or before the freshness or code date not to exceed 30 days | ||
prior to the freshness or code date. If near-code beer is | ||
returned, a manufacturer with self-distribution privileges, | ||
importing distributor, or distributor may sell near-code beer |
to another retailer who may reasonably sell the beer on or | ||
before the expiration of the freshness or code date. No beer | ||
shall be returned as near-code prior to 30 days of the | ||
freshness or code date. | ||
It is a violation of this Section for a retailer to hold | ||
beer for the purpose of returning beer as out of code.
| ||
(235 ILCS 5/6-6) (from Ch. 43, par. 123)
| ||
Sec. 6-6.
Except as otherwise provided in this Act no | ||
manufacturer or
distributor or importing distributor shall, | ||
directly or indirectly,
sell, supply, furnish, give or pay for, | ||
or loan or lease, any
furnishing, fixture or equipment on the | ||
premises of a place of business
of another licensee authorized | ||
under this Act to sell alcoholic liquor
at retail, either for | ||
consumption on or off the premises, nor shall he or she,
| ||
directly or indirectly, pay for any such license, or advance, | ||
furnish,
lend or give money for payment of such license, or | ||
purchase or become
the owner of any note, mortgage, or other | ||
evidence of indebtedness of
such licensee or any form of | ||
security therefor, nor shall such
manufacturer, or | ||
distributor, or importing distributor, directly or
indirectly, | ||
be interested in the ownership, conduct or operation of the
| ||
business of any licensee authorized to sell alcoholic liquor at | ||
retail,
nor shall any manufacturer, or distributor, or | ||
importing distributor be
interested directly or indirectly or | ||
as owner or part owner of said
premises or as lessee or lessor |
thereof, in any premises upon which
alcoholic liquor is sold at | ||
retail.
| ||
No manufacturer or distributor or importing distributor | ||
shall,
directly or indirectly or through a subsidiary or | ||
affiliate, or by any
officer, director or firm of such | ||
manufacturer, distributor or importing
distributor, furnish, | ||
give, lend or rent, install, repair or maintain,
to or for any | ||
retail licensee in this State, any
signs or inside advertising | ||
materials except as provided in this Section and
Section 6-5. | ||
With respect to
retail licensees, other than any government | ||
owned or operated auditorium,
exhibition hall, recreation | ||
facility or other similar facility holding a
retailer's license | ||
as described in Section 6-5, a manufacturer,
distributor, or | ||
importing distributor may furnish, give, lend or rent and
| ||
erect, install, repair and maintain to or for any retail | ||
licensee, for use
at any one time in or about or in connection | ||
with a retail establishment on
which the products of the | ||
manufacturer, distributor or importing
distributor are sold, | ||
the following signs and inside advertising materials
as | ||
authorized in subparts (i), (ii), (iii), and (iv):
| ||
(i) Permanent outside signs shall cost not more than | ||
$3,000 per brand manufacturer , exclusive of erection,
| ||
installation, repair and maintenance costs, and permit | ||
fees and
shall bear only the manufacturer's name, brand | ||
name, trade name, slogans,
markings, trademark, or other | ||
symbols commonly associated with and generally
used in |
identifying the product including, but not limited to, | ||
"cold beer", "on
tap", "carry out", and "packaged liquor".
| ||
(ii) Temporary outside signs shall include, but not be | ||
limited to, banners, flags, pennants,
streamers, and other | ||
items of a temporary and non-permanent
nature, and shall | ||
cost not more than $1,000 per manufacturer. Each temporary | ||
outside sign must include the manufacturer's name,
brand | ||
name, trade name, slogans, markings,
trademark, or other | ||
symbol commonly associated with and generally used in
| ||
identifying the product. Temporary outside signs may also | ||
include,
for example, the product,
price, packaging, date | ||
or dates of a promotion and an announcement of a
retail | ||
licensee's specific sponsored event, if the temporary | ||
outside sign is
intended to promote a product, and provided | ||
that the announcement of the retail
licensee's event and | ||
the product promotion are held simultaneously. However,
| ||
temporary outside signs may not include names, slogans, | ||
markings, or logos that
relate to the retailer. Nothing in | ||
this subpart (ii) shall prohibit a
distributor or importing | ||
distributor from bearing the cost of creating or
printing a | ||
temporary outside sign for the retail licensee's specific | ||
sponsored
event or from bearing the cost of creating or | ||
printing a temporary sign for a
retail licensee containing, | ||
for example, community goodwill expressions,
regional | ||
sporting event announcements, or seasonal messages, | ||
provided that the
primary purpose of the temporary outside |
sign is to highlight, promote, or
advertise the product.
In | ||
addition, temporary outside signs provided by the | ||
manufacturer to
the distributor or importing distributor | ||
may also include, for example, subject
to the limitations | ||
of this Section, preprinted community goodwill | ||
expressions,
sporting event announcements, seasonal | ||
messages, and manufacturer promotional
announcements. | ||
However, a distributor or importing distributor shall not | ||
bear
the cost of such manufacturer preprinted signs.
| ||
(iii) Permanent inside
signs, whether visible from the | ||
outside or the inside of the premises,
include, but are not | ||
limited to: alcohol lists and menus that may include
names, | ||
slogans, markings, or logos that relate to the retailer; | ||
neons;
illuminated signs; clocks; table lamps; mirrors; | ||
tap handles; decalcomanias;
window painting; and window | ||
trim. All neons, illuminated signs, clocks, table lamps, | ||
mirrors, and tap handles are the property of the | ||
manufacturer and shall be returned to the manufacturer or | ||
its agent upon request. All permanent inside signs in place
| ||
and in use at any one time shall cost in the aggregate not | ||
more than $6,000 per
manufacturer. A permanent inside sign | ||
must include the
manufacturer's name, brand name, trade | ||
name, slogans, markings, trademark, or
other symbol | ||
commonly associated with and generally used in identifying
| ||
the product. However,
permanent inside signs may not | ||
include names, slogans, markings, or logos
that relate to |
the retailer. For the purpose of this subpart (iii), all
| ||
permanent inside signs may be displayed in an adjacent | ||
courtyard or patio
commonly referred to as a "beer garden" | ||
that is a part of the retailer's
licensed premises.
| ||
(iv) Temporary inside signs shall include, but are not | ||
limited to, lighted
chalk boards, acrylic table tent | ||
beverage or hors d'oeuvre list holders,
banners, flags, | ||
pennants, streamers, and inside advertising materials such | ||
as
posters, placards, bowling sheets, table tents, inserts | ||
for acrylic table tent
beverage or hors d'oeuvre list | ||
holders, sports schedules,
or similar printed or | ||
illustrated materials and product displays, such as | ||
display racks, bins, barrels, or similar items, the primary | ||
function of which is to temporarily hold and display | ||
alcoholic beverages; however, such items, for example,
as | ||
coasters, trays, napkins, glassware and cups shall not be | ||
deemed to be
inside signs or advertising materials and may | ||
only be sold to retailers at fair market value, which shall | ||
be no less than the cost of the item to the manufacturer, | ||
distributor, or importing distributor. All
temporary | ||
inside signs and inside advertising materials in place and | ||
in use at
any one time shall cost in the aggregate not more | ||
than $1,000 per manufacturer.
Nothing in this subpart (iv) | ||
prohibits a distributor or importing distributor
from | ||
paying the cost of
printing or creating any temporary | ||
inside banner or inserts for acrylic table
tent beverage or |
hors d'oeuvre list holders for a retail licensee, provided
| ||
that the primary purpose for the banner or insert is to | ||
highlight, promote, or
advertise the product. For the | ||
purpose of this subpart (iv), all temporary
inside signs | ||
and inside advertising materials may be displayed in an | ||
adjacent
courtyard or patio commonly referred to as a "beer | ||
garden" that is a part of
the retailer's licensed premises.
| ||
The restrictions contained in this Section 6-6 do not apply | ||
to signs, or
promotional or advertising materials furnished by | ||
manufacturers, distributors
or importing distributors to a | ||
government owned or operated facility holding
a retailer's | ||
license as described in Section 6-5.
| ||
No distributor or importing distributor shall directly or | ||
indirectly
or through a subsidiary or affiliate, or by any | ||
officer, director or
firm of such manufacturer, distributor or | ||
importing distributor,
furnish, give, lend or rent, install, | ||
repair or maintain, to or for any
retail licensee in this | ||
State, any signs or
inside advertising materials described in | ||
subparts (i), (ii), (iii), or (iv)
of this Section except as | ||
the agent for or on behalf of a manufacturer,
provided that the | ||
total cost of any signs and inside advertising materials
| ||
including but not limited to labor, erection, installation and | ||
permit fees
shall be paid by the manufacturer whose product or | ||
products said signs
and inside advertising materials advertise | ||
and except as follows:
| ||
A distributor or importing distributor may purchase from or |
enter into a
written agreement with a manufacturer or a | ||
manufacturer's designated supplier
and such manufacturer or | ||
the manufacturer's designated supplier may sell or
enter into | ||
an agreement to sell to a distributor or importing distributor
| ||
permitted signs and advertising materials described in | ||
subparts (ii), (iii), or
(iv) of this Section for the purpose | ||
of furnishing, giving, lending, renting,
installing, | ||
repairing, or maintaining such signs or advertising materials | ||
to or
for any retail licensee in this State. Any purchase by a | ||
distributor or
importing distributor from a manufacturer or a | ||
manufacturer's designated
supplier shall be voluntary and the | ||
manufacturer may not require the
distributor or the importing | ||
distributor to purchase signs or advertising
materials from the | ||
manufacturer or the manufacturer's designated supplier.
| ||
A distributor or importing distributor shall be deemed the | ||
owner of such
signs or advertising materials purchased from a | ||
manufacturer or
a manufacturer's designated supplier.
| ||
The provisions of Public Act 90-373
concerning signs or | ||
advertising materials delivered by a manufacturer to a
| ||
distributor or importing distributor shall apply only to signs | ||
or advertising
materials delivered on or after August 14, 1997.
| ||
A manufacturer, distributor, or importing distributor may | ||
furnish free social media advertising to a retail licensee if | ||
the social media advertisement does not contain the retail | ||
price of any alcoholic liquor and the social media | ||
advertisement complies with any applicable rules or |
regulations issued by the Alcohol and Tobacco Tax and Trade | ||
Bureau of the United States Department of the Treasury. A | ||
manufacturer, distributor, or importing distributor may list | ||
the names of one or more unaffiliated retailers in the | ||
advertisement of alcoholic liquor through social media. | ||
Nothing in this Section shall prohibit a retailer from | ||
communicating with a manufacturer, distributor, or importing | ||
distributor on social media or sharing media on the social | ||
media of a manufacturer, distributor, or importing | ||
distributor. A retailer may request free social media | ||
advertising from a manufacturer, distributor, or importing | ||
distributor. Nothing in this Section shall prohibit a | ||
manufacturer, distributor, or importing distributor from | ||
sharing, reposting, or otherwise forwarding a social media post | ||
by a retail licensee, so long as the sharing, reposting, or | ||
forwarding of the social media post does not contain the retail | ||
price of any alcoholic liquor. No manufacturer, distributor, or | ||
importing distributor shall pay or reimburse a retailer, | ||
directly or indirectly, for any social media advertising | ||
services, except as specifically permitted in this Act. No | ||
retailer shall accept any payment or reimbursement, directly or | ||
indirectly, for any social media advertising services offered | ||
by a manufacturer, distributor, or importing distributor, | ||
except as specifically permitted in this Act. For the purposes | ||
of this Section, "social media" means a service, platform, or | ||
site where users communicate with one another and share media, |
such as pictures, videos, music, and blogs, with other users | ||
free of charge. | ||
No person engaged in the business of manufacturing, | ||
importing or
distributing alcoholic liquors shall, directly or | ||
indirectly, pay for,
or advance, furnish, or lend money for the | ||
payment of any license for
another. Any licensee who shall | ||
permit or assent, or be a party in any
way to any violation or | ||
infringement of the provisions of this Section
shall be deemed | ||
guilty of a violation of this Act, and any money loaned
| ||
contrary to a provision of this Act shall not be recovered | ||
back, or any
note, mortgage or other evidence of indebtedness, | ||
or security, or any
lease or contract obtained or made contrary | ||
to this Act shall be
unenforceable and void.
| ||
This Section shall not apply to airplane licensees | ||
exercising powers
provided in paragraph (i) of Section 5-1 of | ||
this Act.
| ||
(Source: P.A. 99-448, eff. 8-24-15; 100-885, eff. 8-14-18.)
| ||
(235 ILCS 5/6-6.5)
| ||
Sec. 6-6.5. Sanitation. A manufacturer, distributor, or | ||
importing
distributor may sell coil cleaning services to a | ||
retail licensee at fair market
cost.
| ||
A manufacturer, distributor, or importing distributor may | ||
sell dispensing
accessories to retail licensees at a price not | ||
less than the cost to the
manufacturer, distributor, or | ||
importing distributor who initially purchased
them. Dispensing |
accessories include, but are not limited to, items such as
| ||
standards, faucets, cold plates, rods, vents, taps, tap | ||
standards, hoses,
washers, couplings, gas gauges, vent | ||
tongues, shanks, and check valves. A manufacturer, | ||
distributor, or importing distributor may service, balance, or | ||
inspect draft beer, wine, or distilled spirits systems at | ||
regular intervals and may provide labor to replace or install | ||
dispensing accessories.
| ||
Coil cleaning supplies
consisting of detergents, cleaning | ||
chemicals, brushes, or similar type cleaning
devices may be | ||
sold at a price not less than the cost to the manufacturer,
| ||
distributor, or importing distributor.
| ||
(Source: P.A. 90-432, eff. 1-1-98.)
| ||
(235 ILCS 5/6-6.6 new) | ||
Sec. 6-6.6. Giving, selling, and leasing dispensing | ||
equipment. Notwithstanding any provision of this Act to the | ||
contrary, a manufacturer, distributor, or importing | ||
distributor may: | ||
(1) give dispensing equipment free of charge to a | ||
retailer, special use permit licensee, or caterer retailer | ||
one time per year for a one-day period. A manufacturer, | ||
distributor, or importing distributor shall not supply a | ||
retailer, special use permit licensee, or caterer retailer | ||
with free beer, wine, spirits, or any other item of value | ||
for the same one-day period the dispensing equipment is |
given, except as otherwise provided in this Act or the | ||
Illinois Administrative Code; | ||
(2) give dispensing equipment free of charge to a | ||
special event retailer only for the duration of the | ||
licensed special event. A manufacturer, distributor, or | ||
importing distributor shall not supply a special event | ||
retailer with free beer, wine, or distilled spirits for the | ||
event the dispensing equipment is given, except as | ||
otherwise provided in this Act or the Illinois | ||
Administrative Code; or | ||
(3) sell dispensing equipment to a retailer, special | ||
event retailer, special use permit licensee, or caterer | ||
retailer for a price that is not less than the cost to the | ||
manufacturer, distributor, or importing distributor. For | ||
purposes of this paragraph (3), the cost of dispensing | ||
equipment is the amount that the manufacturer, | ||
distributor, or importing distributor paid for the | ||
dispensing equipment. If the manufacturer, distributor, or | ||
importing distributor did not pay for the dispensing | ||
equipment but was given the equipment, the cost of the | ||
dispensing equipment is equal to (i) the amount another | ||
manufacturer, distributor, or importing distributor paid | ||
for the dispensing equipment, (ii) the cost of | ||
manufacturing or producing the dispensing equipment, or | ||
(iii) the fair market value of the dispensing equipment. | ||
A manufacturer, distributor, or importing distributor may |
also enter into a written lease for the fair market value of | ||
the dispensing equipment to retailers, special event | ||
retailers, special use permit licensees, or caterer retailers. | ||
The manufacturer, distributor, or importing distributor shall | ||
invoice and collect the sale price or payment for the entire | ||
lease period from the retailer, special event retailer, special | ||
use permit licensee, or caterer retailer within 30 days of the | ||
date of the invoice or from the date the lease is executed. The | ||
term of any lease for dispensing equipment shall not exceed 180 | ||
days in the aggregate in one calendar year, and no lease shall | ||
be renewed automatically. There shall be a lapse of 90 | ||
consecutive days before the beginning of a new lease term. | ||
At the direction of the manufacturer, distributor, or | ||
importing distributor, the retailer, special event retailer, | ||
special use permit licensee, or caterer retailer shall return | ||
the equipment or the manufacturer, distributor, or importing | ||
distributor shall retrieve the dispensing equipment at the | ||
termination of the lease. | ||
In this Section, "dispensing equipment" means any portable | ||
or temporary unit the primary purpose of which is to pour | ||
alcoholic liquor or to maintain the alcoholic liquor in a | ||
consumable state. "Dispensing equipment" includes courtesy | ||
wagons, beer wagons, beer trailers, ice bins, draft coolers, | ||
coil boxes, portable bars, and kiosks. "Dispensing equipment" | ||
does not include permanent tap systems, permanent | ||
refrigeration systems, or any other built-in or physically |
attached fixture of the retailer, special event retailer, | ||
special use permit licensee, or caterer retailer. | ||
In this Section, "fair market value" for the purposes of | ||
leasing dispensing equipment means (i) the cost of depreciation | ||
of the dispensing equipment to the manufacturer, distributor, | ||
or importing distributor for the same period of the lease or | ||
(ii) the cost of depreciation the manufacturer, distributor, or | ||
importing distributor would have incurred based upon the market | ||
value of the dispensing equipment if the manufacturer, | ||
distributor, or importing distributor did not pay for the | ||
dispensing equipment or if the dispensing equipment is fully | ||
depreciated.
| ||
(235 ILCS 5/8-1)
| ||
Sec. 8-1.
A tax is imposed upon the privilege of engaging | ||
in business as a
manufacturer or as an importing distributor of | ||
alcoholic liquor other than beer
at the rate of $0.185 per | ||
gallon until September 1, 2009 and $0.231 per gallon beginning | ||
September 1, 2009 for cider containing not less than
0.5% | ||
alcohol by volume nor more than 7% alcohol by volume, $0.73
per | ||
gallon until September 1, 2009 and $1.39 per gallon beginning | ||
September 1, 2009 for wine other than
cider containing less | ||
than 7% alcohol by volume, and $4.50
per gallon until September | ||
1, 2009 and $8.55 per gallon beginning September 1, 2009 on | ||
alcohol and spirits manufactured and sold or used by such
| ||
manufacturer, or as agent for any other person, or sold or used |
by such
importing distributor, or as agent for any other | ||
person. A tax is imposed
upon the privilege of engaging in | ||
business as a manufacturer of beer or as an
importing | ||
distributor of beer at the rate of $0.185 per gallon until | ||
September 1, 2009 and $0.231 per gallon beginning September 1, | ||
2009 on
all beer , regardless of alcohol by volume, manufactured | ||
and sold or used by such manufacturer, or as agent for
any | ||
other person, or sold or used by such importing distributor, or | ||
as agent
for any other person. Any brewer manufacturing beer in | ||
this State shall be
entitled to and given a credit or refund of | ||
75% of the tax imposed on each
gallon of beer up to 4.9 million | ||
gallons per year in any given calendar year
for tax paid or | ||
payable on beer produced and sold in the State of Illinois.
| ||
For purposes of this Section, "beer" means beer, ale, | ||
porter, stout, and other similar fermented beverages of any | ||
name or description containing one-half of one percent or more | ||
of alcohol by volume, brewed or produced from malt, wholly or | ||
in part, or from any substitute for malt. | ||
For the purpose of this Section, "cider" means any | ||
alcoholic beverage
obtained by the alcohol fermentation of the | ||
juice of apples or pears
including, but not limited to, | ||
flavored, sparkling, or carbonated cider.
| ||
The credit or refund created by this Act shall apply to all | ||
beer taxes
in the calendar years 1982 through 1986.
| ||
The increases made by this amendatory Act of the 91st | ||
General Assembly in
the rates of taxes imposed under this |
Section shall apply beginning on July
1, 1999.
| ||
A tax at the rate of 1¢ per gallon on beer and 48¢ per | ||
gallon on
alcohol and spirits is also imposed upon the | ||
privilege of engaging in
business as a retailer or as a | ||
distributor who is not also an importing
distributor with | ||
respect to all beer and all alcohol and spirits owned
or | ||
possessed by such retailer or distributor when this amendatory | ||
Act of
1969 becomes effective, and with respect to which the | ||
additional tax
imposed by this amendatory Act upon | ||
manufacturers and importing
distributors does not apply. | ||
Retailers and distributors who are subject
to the additional | ||
tax imposed by this paragraph of this Section shall be
required | ||
to inventory such alcoholic liquor and to pay this additional
| ||
tax in a manner prescribed by the Department.
| ||
The provisions of this Section shall be construed to apply | ||
to any
importing distributor engaging in business in this | ||
State, whether
licensed or not.
| ||
However, such tax is not imposed upon any such business as | ||
to any
alcoholic liquor shipped outside Illinois by an Illinois | ||
licensed
manufacturer or importing distributor, nor as to any | ||
alcoholic liquor
delivered in Illinois by an Illinois licensed | ||
manufacturer or importing
distributor to a purchaser for | ||
immediate transportation by the purchaser
to another state into | ||
which the purchaser has a legal right, under the
laws of such | ||
state, to import such alcoholic liquor, nor as to any
alcoholic | ||
liquor other than beer sold by one Illinois licensed
|
manufacturer or importing distributor to another Illinois | ||
licensed
manufacturer or importing distributor to the extent to | ||
which the sale of
alcoholic liquor other than beer by one | ||
Illinois licensed manufacturer
or importing distributor to | ||
another Illinois licensed manufacturer or
importing | ||
distributor is authorized by the licensing provisions of this
| ||
Act, nor to alcoholic liquor whether manufactured in or | ||
imported into
this State when sold to a "non-beverage user" | ||
licensed by the State for
use in the manufacture of any of the | ||
following when they are unfit for
beverage purposes:
| ||
Patent and proprietary medicines and medicinal, | ||
antiseptic, culinary
and toilet preparations;
| ||
Flavoring extracts and syrups and food products;
| ||
Scientific, industrial and chemical products, excepting | ||
denatured
alcohol;
| ||
Or for scientific, chemical, experimental or mechanical | ||
purposes;
| ||
Nor is the tax imposed upon the privilege of engaging in | ||
any business
in interstate commerce or otherwise, which | ||
business may not, under the
Constitution and Statutes of the | ||
United States, be made the subject of
taxation by this State.
| ||
The tax herein imposed shall be in addition to all other | ||
occupation
or privilege taxes imposed by the State of Illinois | ||
or political
subdivision thereof.
| ||
If any alcoholic liquor manufactured in or imported into | ||
this State
is sold to a licensed manufacturer or importing |
distributor by a
licensed manufacturer or importing | ||
distributor to be used solely as an
ingredient in the | ||
manufacture of any beverage for human consumption, the
tax | ||
imposed upon such purchasing manufacturer or importing | ||
distributor
shall be reduced by the amount of the taxes which | ||
have been paid by the
selling manufacturer or importing | ||
distributor under this Act as to such
alcoholic liquor so used | ||
to the Department of Revenue.
| ||
If any person received any alcoholic liquors from a | ||
manufacturer or
importing distributor, with respect to which | ||
alcoholic liquors no tax is
imposed under this Article, and | ||
such alcoholic liquor shall thereafter
be disposed of in such | ||
manner or under such circumstances as may cause
the same to | ||
become the base for the tax imposed by this Article, such
| ||
person shall make the same reports and returns, pay the same | ||
taxes and
be subject to all other provisions of this Article | ||
relating to
manufacturers and importing distributors.
| ||
Nothing in this Article shall be construed to require the | ||
payment to
the Department of the taxes imposed by this Article | ||
more than once with
respect to any quantity of alcoholic liquor | ||
sold or used within this
State.
| ||
No tax is imposed by this Act on sales of alcoholic liquor | ||
by
Illinois licensed foreign importers to Illinois licensed | ||
importing
distributors.
| ||
All of the proceeds of the additional tax imposed by Public | ||
Act 96-34 shall be deposited by the Department into the Capital |
Projects Fund. The remainder of the tax imposed by this Act | ||
shall be deposited by the Department into the General Revenue | ||
Fund. | ||
A manufacturer of beer that imports or transfers beer into | ||
this State must comply with the provisions of this Section with | ||
regard to the beer imported into this State. | ||
The provisions of this Section 8-1 are severable under | ||
Section 1.31 of the Statute on Statutes.
| ||
(Source: P.A. 100-885, eff. 8-14-18.)
| ||
(235 ILCS 5/8-5) (from Ch. 43, par. 163a)
| ||
(Text of Section before amendment by P.A. 100-1050 )
| ||
Sec. 8-5.
As soon as practicable after any return is filed, | ||
the Department
shall examine such return and shall correct such | ||
return according to its
best judgment and information, which | ||
return so corrected by the Department
shall be prima facie | ||
correct and shall be prima facie evidence of the
correctness of | ||
the amount of tax due, as shown therein. Instead of
requiring | ||
the licensee to file an amended return, the Department may | ||
simply
notify the licensee of the correction or corrections it | ||
has made. Proof of
such correction by the Department, or of the | ||
determination of the amount of
tax due as provided in Sections | ||
8-4 and 8-10, may be made at
any hearing before the Department | ||
or in any legal proceeding by a
reproduced copy of the | ||
Department's record relating thereto in the name of
the | ||
Department under the certificate of the Director of Revenue. |
Such
reproduced copy shall, without further proof, be admitted | ||
into evidence
before the Department or in any legal proceeding | ||
and shall be prima facie
proof of the correctness of the amount | ||
of tax due, as shown therein. If the
return so corrected by the | ||
Department discloses the sale or use, by a
licensed | ||
manufacturer or importing distributor, of alcoholic liquors as | ||
to
which the tax provided for in this Article should have been | ||
paid, but has
not been paid, in excess of the alcoholic liquors | ||
reported as being taxable
by the licensee, and as to which the | ||
proper tax was paid the Department
shall notify the licensee | ||
that it shall issue the taxpayer a notice of tax
liability for | ||
the amount of tax claimed by the Department to be due,
together | ||
with penalties at the rates prescribed by Sections 3-3, 3-5 and
| ||
3-6 of the Uniform Penalty and Interest Act, which amount of | ||
tax shall be
equivalent to the amount of tax which, at the | ||
prescribed rate per gallon,
should have been paid with respect | ||
to the alcoholic liquors disposed of in
excess of those | ||
reported as being taxable. No earlier than 90 days after the | ||
due date of the return, the Department may compare filed | ||
returns, or any amendments thereto, against reports of sales of | ||
alcoholic liquor submitted to the Department by other | ||
manufacturers and distributors. If a return or amended return | ||
is corrected by the Department because the return or amended | ||
return failed to disclose the purchase of alcoholic liquor from | ||
manufacturers or distributors on which the tax provided for in | ||
this Article should have been paid, but has not been paid, the |
Department shall issue the taxpayer a notice of tax liability | ||
for the amount of tax claimed by the Department to be due, | ||
together with penalties at the rates prescribed by Sections | ||
3-3, 3-5, and 3-6 of the Uniform Penalty and Interest Act. In a | ||
case where no return has
been filed, the Department shall | ||
determine the amount of tax due according
to its best judgment | ||
and information and shall issue the taxpayer a notice
of tax | ||
liability for the amount of tax claimed by the Department to be | ||
due
as herein provided together with penalties at the rates | ||
prescribed by
Sections 3-3, 3-5 and 3-6 of the Uniform Penalty | ||
and Interest Act. If, in
administering the provisions of this | ||
Act, a comparison of a licensee's
return or returns with the | ||
books, records and physical inventories of such
licensee | ||
discloses a deficiency which cannot be allocated by the | ||
Department
to a particular month or months, the Department | ||
shall issue the taxpayer a
notice of tax liability for the | ||
amount of tax claimed by the Department to
be due for a given | ||
period, but without any obligation upon the Department
to | ||
allocate such deficiency to any particular month or months, | ||
together
with penalties at the rates prescribed by Sections | ||
3-3, 3-5 and 3-6 of the
Uniform Penalty and Interest Act, which | ||
amount of tax shall be equivalent to
the amount of tax which, | ||
at the prescribed rate per gallon, should have
been paid with | ||
respect to the alcoholic liquors disposed of in excess of
those | ||
reported being taxable, with the tax thereon having been paid | ||
under
which circumstances the aforesaid notice of tax liability |
shall be prima
facie correct and shall be prima facie evidence | ||
of the correctness of the
amount of tax due as shown therein; | ||
and proof of such correctness may be
made in accordance with, | ||
and the admissibility of a reproduced copy of such
notice of | ||
the Department's notice of tax liability shall be governed by,
| ||
all the provisions of this Act applicable to corrected returns.
| ||
If the licensee dies or becomes a person under legal | ||
disability
at any time before the Department issues its notice | ||
of tax liability, such
notice shall be issued to the | ||
administrator, executor or other legal
representative, as | ||
such, of the deceased or licensee who is under legal
| ||
disability.
| ||
If such licensee or legal representative, within 60 days | ||
after such
notice of tax liability, files a protest to such | ||
notice of tax liability
and requests a hearing thereon, the | ||
Department shall give at least 7 days'
notice to such licensee | ||
or legal representative, as the case may be, of the
time and | ||
place fixed for such hearing and shall hold a hearing in
| ||
conformity with the provisions of this Act, and pursuant | ||
thereto shall
issue a final assessment to such licensee or | ||
legal representative for the
amount found to be due as a result | ||
of such hearing.
| ||
If a protest to the notice of tax liability and a request | ||
for a hearing
thereon is not filed within 60 days after such | ||
notice of tax liability,
such notice of tax liability shall | ||
become final without the necessity of a
final assessment being |
issued and shall be deemed to be a final assessment.
| ||
In case of failure to pay the tax, or any portion thereof, | ||
or any
penalty provided for herein, when due, the Department | ||
may recover the
amount of such tax, or portion thereof, or | ||
penalty in a civil action; or if
the licensee dies or becomes a | ||
person under legal disability, by filing a
claim therefor | ||
against his or her estate; provided that no such claim shall
be | ||
filed against the estate of any deceased or of the licensee who | ||
is under
legal disability for any tax or penalty or portion | ||
thereof except in the
manner prescribed and within the time | ||
limited by the Probate Act of 1975,
as amended.
| ||
The collection of any such tax and penalty, or either, by | ||
any means
provided for herein, shall not be a bar to any | ||
prosecution under this Act.
| ||
In addition to any other penalty provided for in this | ||
Article, all provisions of the Uniform Penalty and Interest Act | ||
that are not inconsistent with this Act apply any
licensee who | ||
fails to pay any tax within the time required by this Article
| ||
shall be subject to assessment of penalties and interest at | ||
rates set
forth in the Uniform Penalty and Interest Act .
| ||
(Source: P.A. 87-205; 87-879 .)
| ||
(Text of Section after amendment by P.A. 100-1050 )
| ||
Sec. 8-5.
As soon as practicable after any return is filed | ||
but not before 90 days after the return is filed, or any | ||
amendments to that return, whichever is later , the Department
|
shall examine such return or amended return and shall correct | ||
such return according to its
best judgment and information, | ||
which return so corrected by the Department
shall be prima | ||
facie correct and shall be prima facie evidence of the
| ||
correctness of the amount of tax due, as shown therein. Instead | ||
of
requiring the licensee to file an amended return, the | ||
Department may simply
notify the licensee of the correction or | ||
corrections it has made. Proof of
such correction by the | ||
Department, or of the determination of the amount of
tax due as | ||
provided in Sections 8-4 and 8-10, may be made at
any hearing | ||
before the Department or in any legal proceeding by a
| ||
reproduced copy of the Department's record relating thereto in | ||
the name of
the Department under the certificate of the | ||
Director of Revenue. Such
reproduced copy shall, without | ||
further proof, be admitted into evidence
before the Department | ||
or in any legal proceeding and shall be prima facie
proof of | ||
the correctness of the amount of tax due, as shown therein. If | ||
the
return so corrected by the Department discloses the sale or | ||
use, by a
licensed manufacturer or importing distributor, of | ||
alcoholic liquors as to
which the tax provided for in this | ||
Article should have been paid, but has
not been paid, in excess | ||
of the alcoholic liquors reported as being taxable
by the | ||
licensee, and as to which the proper tax was paid the | ||
Department
shall notify the licensee that it shall issue the | ||
taxpayer a notice of tax
liability for the amount of tax | ||
claimed by the Department to be due,
together with penalties at |
the rates prescribed by Sections 3-3, 3-5 and
3-6 of the | ||
Uniform Penalty and Interest Act, which amount of tax shall be
| ||
equivalent to the amount of tax which, at the prescribed rate | ||
per gallon,
should have been paid with respect to the alcoholic | ||
liquors disposed of in
excess of those reported as being | ||
taxable. No earlier than 90 days after the due date of the | ||
return, the Department may compare filed returns, or any | ||
amendments thereto, against reports of sales of alcoholic | ||
liquor submitted to the Department by other manufacturers and | ||
distributors. If a return or amended return is corrected by the | ||
Department because the return or amended return failed to | ||
disclose the purchase of alcoholic liquor from manufacturers or | ||
distributors on which the tax provided for in this Article | ||
should have been paid, but has not been paid, the Department | ||
shall issue the taxpayer a notice of tax liability for the | ||
amount of tax claimed by the Department to be due, together | ||
with penalties at the rates prescribed by Sections 3-3, 3-5, | ||
and 3-6 of the Uniform Penalty and Interest Act. In a case | ||
where no return has
been filed, the Department shall determine | ||
the amount of tax due according
to its best judgment and | ||
information and shall issue the taxpayer a notice
of tax | ||
liability for the amount of tax claimed by the Department to be | ||
due
as herein provided together with penalties at the rates | ||
prescribed by
Sections 3-3, 3-5 and 3-6 of the Uniform Penalty | ||
and Interest Act. If, in
administering the provisions of this | ||
Act, a comparison of a licensee's
return or returns with the |
books, records and physical inventories of such
licensee | ||
discloses a deficiency which cannot be allocated by the | ||
Department
to a particular month or months, the Department | ||
shall issue the taxpayer a
notice of tax liability for the | ||
amount of tax claimed by the Department to
be due for a given | ||
period, but without any obligation upon the Department
to | ||
allocate such deficiency to any particular month or months, | ||
together
with penalties at the rates prescribed by Sections | ||
3-3, 3-5 and 3-6 of the
Uniform Penalty and Interest Act, which | ||
amount of tax shall be equivalent to
the amount of tax which, | ||
at the prescribed rate per gallon, should have
been paid with | ||
respect to the alcoholic liquors disposed of in excess of
those | ||
reported being taxable, with the tax thereon having been paid | ||
under
which circumstances the aforesaid notice of tax liability | ||
shall be prima
facie correct and shall be prima facie evidence | ||
of the correctness of the
amount of tax due as shown therein; | ||
and proof of such correctness may be
made in accordance with, | ||
and the admissibility of a reproduced copy of such
notice of | ||
the Department's notice of tax liability shall be governed by,
| ||
all the provisions of this Act applicable to corrected returns.
| ||
If the licensee dies or becomes a person under legal | ||
disability
at any time before the Department issues its notice | ||
of tax liability, such
notice shall be issued to the | ||
administrator, executor or other legal
representative, as | ||
such, of the deceased or licensee who is under legal
| ||
disability.
|
If such licensee or legal representative, within 60 days | ||
after such
notice of tax liability, files a protest to such | ||
notice of tax liability
and requests a hearing thereon, the | ||
Department shall give at least 7 days'
notice to such licensee | ||
or legal representative, as the case may be, of the
time and | ||
place fixed for such hearing and shall hold a hearing in
| ||
conformity with the provisions of this Act, and pursuant | ||
thereto shall
issue a final assessment to such licensee or | ||
legal representative for the
amount found to be due as a result | ||
of such hearing.
| ||
If a protest to the notice of tax liability and a request | ||
for a hearing
thereon is not filed within 60 days after such | ||
notice of tax liability,
such notice of tax liability shall | ||
become final without the necessity of a
final assessment being | ||
issued and shall be deemed to be a final assessment.
| ||
In case of failure to pay the tax, or any portion thereof, | ||
or any
penalty provided for herein, when due, the Department | ||
may recover the
amount of such tax, or portion thereof, or | ||
penalty in a civil action; or if
the licensee dies or becomes a | ||
person under legal disability, by filing a
claim therefor | ||
against his or her estate; provided that no such claim shall
be | ||
filed against the estate of any deceased or of the licensee who | ||
is under
legal disability for any tax or penalty or portion | ||
thereof except in the
manner prescribed and within the time | ||
limited by the Probate Act of 1975,
as amended.
| ||
The collection of any such tax and penalty, or either, by |
any means
provided for herein, shall not be a bar to any | ||
prosecution under this Act.
| ||
In addition to any other penalty provided for in this | ||
Article, all provisions of the Uniform Penalty and Interest Act | ||
that are not inconsistent with this Act apply any
licensee who | ||
fails to pay any tax within the time required by this Article
| ||
shall be subject to assessment of penalties and interest at | ||
rates set
forth in the Uniform Penalty and Interest Act .
| ||
(Source: P.A. 100-1050, eff. 7-1-19.)
| ||
Section 95. No acceleration or delay. Where this Act makes | ||
changes in a statute that is represented in this Act by text | ||
that is not yet or no longer in effect (for example, a Section | ||
represented by multiple versions), the use of that text does | ||
not accelerate or delay the taking effect of (i) the changes | ||
made by this Act or (ii) provisions derived from any other | ||
Public Act. | ||
Section 999. Effective date. This Act takes effect upon | ||
becoming law. |