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91_HB0197
LRB9100968PTpk
1 AN ACT in relation to taxes.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 5. The Use Tax Act is amended by changing
5 Sections 3-10 and 9 as follows:
6 (35 ILCS 105/3-10) (from Ch. 120, par. 439.3-10)
7 Sec. 3-10. Rate of tax. Unless otherwise provided in
8 this Section, the tax imposed by this Act is at the rate of
9 6.25% of either the selling price or the fair market value,
10 if any, of the tangible personal property. In all cases
11 where property functionally used or consumed is the same as
12 the property that was purchased at retail, then the tax is
13 imposed on the selling price of the property. In all cases
14 where property functionally used or consumed is a by-product
15 or waste product that has been refined, manufactured, or
16 produced from property purchased at retail, then the tax is
17 imposed on the lower of the fair market value, if any, of the
18 specific property so used in this State or on the selling
19 price of the property purchased at retail. For purposes of
20 this Section "fair market value" means the price at which
21 property would change hands between a willing buyer and a
22 willing seller, neither being under any compulsion to buy or
23 sell and both having reasonable knowledge of the relevant
24 facts. The fair market value shall be established by Illinois
25 sales by the taxpayer of the same property as that
26 functionally used or consumed, or if there are no such sales
27 by the taxpayer, then comparable sales or purchases of
28 property of like kind and character in Illinois.
29 With respect to motor fuel, as defined in Section 1.1 of
30 the Motor Fuel Tax Law, and gasohol, as defined in Section
31 3-40 of the Use Tax Act, the tax is imposed at the rate of
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1 1.25%. If, however, the aggregate tax revenues from motor
2 fuel and gasohol under the Use Tax Act, the Service Use Tax
3 Act, the Service Occupation Tax Act, and the Retailers'
4 Occupation Tax Act during the period from January 1, 2000
5 through December 31, 2000 are not at least 15% more than the
6 aggregate tax revenues from motor fuel and gasohol under
7 those Acts during the period from January 1, 1999 through
8 December 31, 1999, then beginning January 1, 2003 the tax is
9 imposed on motor fuel and gasohol at the 6.25% general rate.
10 With respect to gasohol, the tax imposed by this Act
11 applies to 70% of the proceeds of sales made on or after
12 January 1, 1990, and before July 1, 2003, and to 100% of the
13 proceeds of sales made thereafter.
14 With respect to food for human consumption that is to be
15 consumed off the premises where it is sold (other than
16 alcoholic beverages, soft drinks, and food that has been
17 prepared for immediate consumption) and prescription and
18 nonprescription medicines, drugs, medical appliances,
19 modifications to a motor vehicle for the purpose of rendering
20 it usable by a disabled person, and insulin, urine testing
21 materials, syringes, and needles used by diabetics, for human
22 use, the tax is imposed at the rate of 1%. For the purposes
23 of this Section, the term "soft drinks" means any complete,
24 finished, ready-to-use, non-alcoholic drink, whether
25 carbonated or not, including but not limited to soda water,
26 cola, fruit juice, vegetable juice, carbonated water, and all
27 other preparations commonly known as soft drinks of whatever
28 kind or description that are contained in any closed or
29 sealed bottle, can, carton, or container, regardless of size.
30 "Soft drinks" does not include coffee, tea, non-carbonated
31 water, infant formula, milk or milk products as defined in
32 the Grade A Pasteurized Milk and Milk Products Act, or drinks
33 containing 50% or more natural fruit or vegetable juice.
34 Notwithstanding any other provisions of this Act, "food
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1 for human consumption that is to be consumed off the premises
2 where it is sold" includes all food sold through a vending
3 machine, except soft drinks and food products that are
4 dispensed hot from a vending machine, regardless of the
5 location of the vending machine.
6 If the property that is purchased at retail from a
7 retailer is acquired outside Illinois and used outside
8 Illinois before being brought to Illinois for use here and is
9 taxable under this Act, the "selling price" on which the tax
10 is computed shall be reduced by an amount that represents a
11 reasonable allowance for depreciation for the period of prior
12 out-of-state use.
13 (Source: P.A. 89-359, eff. 8-17-95; 89-420, eff. 6-1-96;
14 89-463, eff. 5-31-96; 89-626, eff. 8-9-96; 90-605, eff.
15 6-30-98; 90-606, eff. 6-30-98.)
16 (35 ILCS 105/9) (from Ch. 120, par. 439.9)
17 Sec. 9. Except as to motor vehicles, watercraft,
18 aircraft, and trailers that are required to be registered
19 with an agency of this State, each retailer required or
20 authorized to collect the tax imposed by this Act shall pay
21 to the Department the amount of such tax (except as otherwise
22 provided) at the time when he is required to file his return
23 for the period during which such tax was collected, less a
24 discount of 2.1% prior to January 1, 1990, and 1.75% on and
25 after January 1, 1990, or $5 per calendar year, whichever is
26 greater, which is allowed to reimburse the retailer for
27 expenses incurred in collecting the tax, keeping records,
28 preparing and filing returns, remitting the tax and supplying
29 data to the Department on request. In the case of retailers
30 who report and pay the tax on a transaction by transaction
31 basis, as provided in this Section, such discount shall be
32 taken with each such tax remittance instead of when such
33 retailer files his periodic return. A retailer need not
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1 remit that part of any tax collected by him to the extent
2 that he is required to remit and does remit the tax imposed
3 by the Retailers' Occupation Tax Act, with respect to the
4 sale of the same property.
5 Where such tangible personal property is sold under a
6 conditional sales contract, or under any other form of sale
7 wherein the payment of the principal sum, or a part thereof,
8 is extended beyond the close of the period for which the
9 return is filed, the retailer, in collecting the tax (except
10 as to motor vehicles, watercraft, aircraft, and trailers that
11 are required to be registered with an agency of this State),
12 may collect for each tax return period, only the tax
13 applicable to that part of the selling price actually
14 received during such tax return period.
15 Except as provided in this Section, on or before the
16 twentieth day of each calendar month, such retailer shall
17 file a return for the preceding calendar month. Such return
18 shall be filed on forms prescribed by the Department and
19 shall furnish such information as the Department may
20 reasonably require.
21 The Department may require returns to be filed on a
22 quarterly basis. If so required, a return for each calendar
23 quarter shall be filed on or before the twentieth day of the
24 calendar month following the end of such calendar quarter.
25 The taxpayer shall also file a return with the Department for
26 each of the first two months of each calendar quarter, on or
27 before the twentieth day of the following calendar month,
28 stating:
29 1. The name of the seller;
30 2. The address of the principal place of business
31 from which he engages in the business of selling tangible
32 personal property at retail in this State;
33 3. The total amount of taxable receipts received by
34 him during the preceding calendar month from sales of
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1 tangible personal property by him during such preceding
2 calendar month, including receipts from charge and time
3 sales, but less all deductions allowed by law;
4 4. The amount of credit provided in Section 2d of
5 this Act;
6 5. The amount of tax due;
7 5-5. The signature of the taxpayer; and
8 6. Such other reasonable information as the
9 Department may require.
10 If a taxpayer fails to sign a return within 30 days after
11 the proper notice and demand for signature by the Department,
12 the return shall be considered valid and any amount shown to
13 be due on the return shall be deemed assessed.
14 Beginning October 1, 1993, a taxpayer who has an average
15 monthly tax liability of $150,000 or more shall make all
16 payments required by rules of the Department by electronic
17 funds transfer. Beginning October 1, 1994, a taxpayer who has
18 an average monthly tax liability of $100,000 or more shall
19 make all payments required by rules of the Department by
20 electronic funds transfer. Beginning October 1, 1995, a
21 taxpayer who has an average monthly tax liability of $50,000
22 or more shall make all payments required by rules of the
23 Department by electronic funds transfer. The term "average
24 monthly tax liability" means the sum of the taxpayer's
25 liabilities under this Act, and under all other State and
26 local occupation and use tax laws administered by the
27 Department, for the immediately preceding calendar year
28 divided by 12.
29 Before August 1 of each year beginning in 1993, the
30 Department shall notify all taxpayers required to make
31 payments by electronic funds transfer. All taxpayers required
32 to make payments by electronic funds transfer shall make
33 those payments for a minimum of one year beginning on October
34 1.
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1 Any taxpayer not required to make payments by electronic
2 funds transfer may make payments by electronic funds transfer
3 with the permission of the Department.
4 All taxpayers required to make payment by electronic
5 funds transfer and any taxpayers authorized to voluntarily
6 make payments by electronic funds transfer shall make those
7 payments in the manner authorized by the Department.
8 The Department shall adopt such rules as are necessary to
9 effectuate a program of electronic funds transfer and the
10 requirements of this Section.
11 If the taxpayer's average monthly tax liability to the
12 Department under this Act, the Retailers' Occupation Tax Act,
13 the Service Occupation Tax Act, the Service Use Tax Act was
14 $10,000 or more during the preceding 4 complete calendar
15 quarters, he shall file a return with the Department each
16 month by the 20th day of the month next following the month
17 during which such tax liability is incurred and shall make
18 payments to the Department on or before the 7th, 15th, 22nd
19 and last day of the month during which such liability is
20 incurred. If the month during which such tax liability is
21 incurred began prior to January 1, 1985, each payment shall
22 be in an amount equal to 1/4 of the taxpayer's actual
23 liability for the month or an amount set by the Department
24 not to exceed 1/4 of the average monthly liability of the
25 taxpayer to the Department for the preceding 4 complete
26 calendar quarters (excluding the month of highest liability
27 and the month of lowest liability in such 4 quarter period).
28 If the month during which such tax liability is incurred
29 begins on or after January 1, 1985, and prior to January 1,
30 1987, each payment shall be in an amount equal to 22.5% of
31 the taxpayer's actual liability for the month or 27.5% of the
32 taxpayer's liability for the same calendar month of the
33 preceding year. If the month during which such tax liability
34 is incurred begins on or after January 1, 1987, and prior to
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1 January 1, 1988, each payment shall be in an amount equal to
2 22.5% of the taxpayer's actual liability for the month or
3 26.25% of the taxpayer's liability for the same calendar
4 month of the preceding year. If the month during which such
5 tax liability is incurred begins on or after January 1, 1988,
6 and prior to January 1, 1989, or begins on or after January
7 1, 1996, each payment shall be in an amount equal to 22.5% of
8 the taxpayer's actual liability for the month or 25% of the
9 taxpayer's liability for the same calendar month of the
10 preceding year. If the month during which such tax liability
11 is incurred begins on or after January 1, 1989, and prior to
12 January 1, 1996, each payment shall be in an amount equal to
13 22.5% of the taxpayer's actual liability for the month or 25%
14 of the taxpayer's liability for the same calendar month of
15 the preceding year or 100% of the taxpayer's actual liability
16 for the quarter monthly reporting period. The amount of such
17 quarter monthly payments shall be credited against the final
18 tax liability of the taxpayer's return for that month. Once
19 applicable, the requirement of the making of quarter monthly
20 payments to the Department shall continue until such
21 taxpayer's average monthly liability to the Department during
22 the preceding 4 complete calendar quarters (excluding the
23 month of highest liability and the month of lowest liability)
24 is less than $9,000, or until such taxpayer's average monthly
25 liability to the Department as computed for each calendar
26 quarter of the 4 preceding complete calendar quarter period
27 is less than $10,000. However, if a taxpayer can show the
28 Department that a substantial change in the taxpayer's
29 business has occurred which causes the taxpayer to anticipate
30 that his average monthly tax liability for the reasonably
31 foreseeable future will fall below $10,000, then such
32 taxpayer may petition the Department for change in such
33 taxpayer's reporting status. The Department shall change
34 such taxpayer's reporting status unless it finds that such
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1 change is seasonal in nature and not likely to be long term.
2 If any such quarter monthly payment is not paid at the time
3 or in the amount required by this Section, then the taxpayer
4 shall be liable for penalties and interest on the difference
5 between the minimum amount due and the amount of such quarter
6 monthly payment actually and timely paid, except insofar as
7 the taxpayer has previously made payments for that month to
8 the Department in excess of the minimum payments previously
9 due as provided in this Section. The Department shall make
10 reasonable rules and regulations to govern the quarter
11 monthly payment amount and quarter monthly payment dates for
12 taxpayers who file on other than a calendar monthly basis.
13 If any such payment provided for in this Section exceeds
14 the taxpayer's liabilities under this Act, the Retailers'
15 Occupation Tax Act, the Service Occupation Tax Act and the
16 Service Use Tax Act, as shown by an original monthly return,
17 the Department shall issue to the taxpayer a credit
18 memorandum no later than 30 days after the date of payment,
19 which memorandum may be submitted by the taxpayer to the
20 Department in payment of tax liability subsequently to be
21 remitted by the taxpayer to the Department or be assigned by
22 the taxpayer to a similar taxpayer under this Act, the
23 Retailers' Occupation Tax Act, the Service Occupation Tax Act
24 or the Service Use Tax Act, in accordance with reasonable
25 rules and regulations to be prescribed by the Department,
26 except that if such excess payment is shown on an original
27 monthly return and is made after December 31, 1986, no credit
28 memorandum shall be issued, unless requested by the taxpayer.
29 If no such request is made, the taxpayer may credit such
30 excess payment against tax liability subsequently to be
31 remitted by the taxpayer to the Department under this Act,
32 the Retailers' Occupation Tax Act, the Service Occupation Tax
33 Act or the Service Use Tax Act, in accordance with reasonable
34 rules and regulations prescribed by the Department. If the
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1 Department subsequently determines that all or any part of
2 the credit taken was not actually due to the taxpayer, the
3 taxpayer's 2.1% or 1.75% vendor's discount shall be reduced
4 by 2.1% or 1.75% of the difference between the credit taken
5 and that actually due, and the taxpayer shall be liable for
6 penalties and interest on such difference.
7 If the retailer is otherwise required to file a monthly
8 return and if the retailer's average monthly tax liability to
9 the Department does not exceed $200, the Department may
10 authorize his returns to be filed on a quarter annual basis,
11 with the return for January, February, and March of a given
12 year being due by April 20 of such year; with the return for
13 April, May and June of a given year being due by July 20 of
14 such year; with the return for July, August and September of
15 a given year being due by October 20 of such year, and with
16 the return for October, November and December of a given year
17 being due by January 20 of the following year.
18 If the retailer is otherwise required to file a monthly
19 or quarterly return and if the retailer's average monthly tax
20 liability to the Department does not exceed $50, the
21 Department may authorize his returns to be filed on an annual
22 basis, with the return for a given year being due by January
23 20 of the following year.
24 Such quarter annual and annual returns, as to form and
25 substance, shall be subject to the same requirements as
26 monthly returns.
27 Notwithstanding any other provision in this Act
28 concerning the time within which a retailer may file his
29 return, in the case of any retailer who ceases to engage in a
30 kind of business which makes him responsible for filing
31 returns under this Act, such retailer shall file a final
32 return under this Act with the Department not more than one
33 month after discontinuing such business.
34 In addition, with respect to motor vehicles, watercraft,
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1 aircraft, and trailers that are required to be registered
2 with an agency of this State, every retailer selling this
3 kind of tangible personal property shall file, with the
4 Department, upon a form to be prescribed and supplied by the
5 Department, a separate return for each such item of tangible
6 personal property which the retailer sells, except that
7 where, in the same transaction, a retailer of aircraft,
8 watercraft, motor vehicles or trailers transfers more than
9 one aircraft, watercraft, motor vehicle or trailer to another
10 aircraft, watercraft, motor vehicle or trailer retailer for
11 the purpose of resale, that seller for resale may report the
12 transfer of all the aircraft, watercraft, motor vehicles or
13 trailers involved in that transaction to the Department on
14 the same uniform invoice-transaction reporting return form.
15 For purposes of this Section, "watercraft" means a Class 2,
16 Class 3, or Class 4 watercraft as defined in Section 3-2 of
17 the Boat Registration and Safety Act, a personal watercraft,
18 or any boat equipped with an inboard motor.
19 The transaction reporting return in the case of motor
20 vehicles or trailers that are required to be registered with
21 an agency of this State, shall be the same document as the
22 Uniform Invoice referred to in Section 5-402 of the Illinois
23 Vehicle Code and must show the name and address of the
24 seller; the name and address of the purchaser; the amount of
25 the selling price including the amount allowed by the
26 retailer for traded-in property, if any; the amount allowed
27 by the retailer for the traded-in tangible personal property,
28 if any, to the extent to which Section 2 of this Act allows
29 an exemption for the value of traded-in property; the balance
30 payable after deducting such trade-in allowance from the
31 total selling price; the amount of tax due from the retailer
32 with respect to such transaction; the amount of tax collected
33 from the purchaser by the retailer on such transaction (or
34 satisfactory evidence that such tax is not due in that
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1 particular instance, if that is claimed to be the fact); the
2 place and date of the sale; a sufficient identification of
3 the property sold; such other information as is required in
4 Section 5-402 of the Illinois Vehicle Code, and such other
5 information as the Department may reasonably require.
6 The transaction reporting return in the case of
7 watercraft and aircraft must show the name and address of the
8 seller; the name and address of the purchaser; the amount of
9 the selling price including the amount allowed by the
10 retailer for traded-in property, if any; the amount allowed
11 by the retailer for the traded-in tangible personal property,
12 if any, to the extent to which Section 2 of this Act allows
13 an exemption for the value of traded-in property; the balance
14 payable after deducting such trade-in allowance from the
15 total selling price; the amount of tax due from the retailer
16 with respect to such transaction; the amount of tax collected
17 from the purchaser by the retailer on such transaction (or
18 satisfactory evidence that such tax is not due in that
19 particular instance, if that is claimed to be the fact); the
20 place and date of the sale, a sufficient identification of
21 the property sold, and such other information as the
22 Department may reasonably require.
23 Such transaction reporting return shall be filed not
24 later than 20 days after the date of delivery of the item
25 that is being sold, but may be filed by the retailer at any
26 time sooner than that if he chooses to do so. The
27 transaction reporting return and tax remittance or proof of
28 exemption from the tax that is imposed by this Act may be
29 transmitted to the Department by way of the State agency with
30 which, or State officer with whom, the tangible personal
31 property must be titled or registered (if titling or
32 registration is required) if the Department and such agency
33 or State officer determine that this procedure will expedite
34 the processing of applications for title or registration.
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1 With each such transaction reporting return, the retailer
2 shall remit the proper amount of tax due (or shall submit
3 satisfactory evidence that the sale is not taxable if that is
4 the case), to the Department or its agents, whereupon the
5 Department shall issue, in the purchaser's name, a tax
6 receipt (or a certificate of exemption if the Department is
7 satisfied that the particular sale is tax exempt) which such
8 purchaser may submit to the agency with which, or State
9 officer with whom, he must title or register the tangible
10 personal property that is involved (if titling or
11 registration is required) in support of such purchaser's
12 application for an Illinois certificate or other evidence of
13 title or registration to such tangible personal property.
14 No retailer's failure or refusal to remit tax under this
15 Act precludes a user, who has paid the proper tax to the
16 retailer, from obtaining his certificate of title or other
17 evidence of title or registration (if titling or registration
18 is required) upon satisfying the Department that such user
19 has paid the proper tax (if tax is due) to the retailer. The
20 Department shall adopt appropriate rules to carry out the
21 mandate of this paragraph.
22 If the user who would otherwise pay tax to the retailer
23 wants the transaction reporting return filed and the payment
24 of tax or proof of exemption made to the Department before
25 the retailer is willing to take these actions and such user
26 has not paid the tax to the retailer, such user may certify
27 to the fact of such delay by the retailer, and may (upon the
28 Department being satisfied of the truth of such
29 certification) transmit the information required by the
30 transaction reporting return and the remittance for tax or
31 proof of exemption directly to the Department and obtain his
32 tax receipt or exemption determination, in which event the
33 transaction reporting return and tax remittance (if a tax
34 payment was required) shall be credited by the Department to
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1 the proper retailer's account with the Department, but
2 without the 2.1% or 1.75% discount provided for in this
3 Section being allowed. When the user pays the tax directly
4 to the Department, he shall pay the tax in the same amount
5 and in the same form in which it would be remitted if the tax
6 had been remitted to the Department by the retailer.
7 Where a retailer collects the tax with respect to the
8 selling price of tangible personal property which he sells
9 and the purchaser thereafter returns such tangible personal
10 property and the retailer refunds the selling price thereof
11 to the purchaser, such retailer shall also refund, to the
12 purchaser, the tax so collected from the purchaser. When
13 filing his return for the period in which he refunds such tax
14 to the purchaser, the retailer may deduct the amount of the
15 tax so refunded by him to the purchaser from any other use
16 tax which such retailer may be required to pay or remit to
17 the Department, as shown by such return, if the amount of the
18 tax to be deducted was previously remitted to the Department
19 by such retailer. If the retailer has not previously
20 remitted the amount of such tax to the Department, he is
21 entitled to no deduction under this Act upon refunding such
22 tax to the purchaser.
23 Any retailer filing a return under this Section shall
24 also include (for the purpose of paying tax thereon) the
25 total tax covered by such return upon the selling price of
26 tangible personal property purchased by him at retail from a
27 retailer, but as to which the tax imposed by this Act was not
28 collected from the retailer filing such return, and such
29 retailer shall remit the amount of such tax to the Department
30 when filing such return.
31 If experience indicates such action to be practicable,
32 the Department may prescribe and furnish a combination or
33 joint return which will enable retailers, who are required to
34 file returns hereunder and also under the Retailers'
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1 Occupation Tax Act, to furnish all the return information
2 required by both Acts on the one form.
3 Where the retailer has more than one business registered
4 with the Department under separate registration under this
5 Act, such retailer may not file each return that is due as a
6 single return covering all such registered businesses, but
7 shall file separate returns for each such registered
8 business.
9 Beginning January 1, 1990, each month the Department
10 shall pay into the State and Local Sales Tax Reform Fund, a
11 special fund in the State Treasury which is hereby created,
12 the net revenue realized for the preceding month from the 1%
13 tax on sales of food for human consumption which is to be
14 consumed off the premises where it is sold (other than
15 alcoholic beverages, soft drinks and food which has been
16 prepared for immediate consumption) and prescription and
17 nonprescription medicines, drugs, medical appliances and
18 insulin, urine testing materials, syringes and needles used
19 by diabetics.
20 Beginning January 1, 1990, each month the Department
21 shall pay into the County and Mass Transit District Fund 4%
22 of the net revenue realized for the preceding month from the
23 6.25% general rate on the selling price of tangible personal
24 property which is purchased outside Illinois at retail from a
25 retailer and which is titled or registered by an agency of
26 this State's government.
27 Beginning January 1, 1990, each month the Department
28 shall pay into the State and Local Sales Tax Reform Fund, a
29 special fund in the State Treasury, 20% of the net revenue
30 realized for the preceding month from the 6.25% general rate
31 on the selling price of tangible personal property, other
32 than tangible personal property which is purchased outside
33 Illinois at retail from a retailer and which is titled or
34 registered by an agency of this State's government.
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1 Beginning January 1, 2000, and so long as the rate
2 remains at 1.25%, each month the Department shall pay into
3 the County and Mass Transit District Fund 20% of the net
4 revenue realized for the preceding month from the 1.25% rate
5 on the proceeds of sales of motor fuel and gasohol.
6 Beginning January 1, 1990, each month the Department
7 shall pay into the Local Government Tax Fund 16% of the net
8 revenue realized for the preceding month from the 6.25%
9 general rate on the selling price of tangible personal
10 property which is purchased outside Illinois at retail from a
11 retailer and which is titled or registered by an agency of
12 this State's government.
13 Beginning January 1, 2000, and so long as the rate
14 remains at 1.25%, each month the Department shall pay into
15 the Local Government Tax Fund 80% of the net revenue realized
16 for the preceding month from the 1.25% rate on the proceeds
17 of sales of motor fuel and gasohol.
18 Of the remainder of the moneys received by the Department
19 pursuant to this Act, (a) 1.75% thereof shall be paid into
20 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
21 and on and after July 1, 1989, 3.8% thereof shall be paid
22 into the Build Illinois Fund; provided, however, that if in
23 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
24 as the case may be, of the moneys received by the Department
25 and required to be paid into the Build Illinois Fund pursuant
26 to Section 3 of the Retailers' Occupation Tax Act, Section 9
27 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
28 Section 9 of the Service Occupation Tax Act, such Acts being
29 hereinafter called the "Tax Acts" and such aggregate of 2.2%
30 or 3.8%, as the case may be, of moneys being hereinafter
31 called the "Tax Act Amount", and (2) the amount transferred
32 to the Build Illinois Fund from the State and Local Sales Tax
33 Reform Fund shall be less than the Annual Specified Amount
34 (as defined in Section 3 of the Retailers' Occupation Tax
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1 Act), an amount equal to the difference shall be immediately
2 paid into the Build Illinois Fund from other moneys received
3 by the Department pursuant to the Tax Acts; and further
4 provided, that if on the last business day of any month the
5 sum of (1) the Tax Act Amount required to be deposited into
6 the Build Illinois Bond Account in the Build Illinois Fund
7 during such month and (2) the amount transferred during such
8 month to the Build Illinois Fund from the State and Local
9 Sales Tax Reform Fund shall have been less than 1/12 of the
10 Annual Specified Amount, an amount equal to the difference
11 shall be immediately paid into the Build Illinois Fund from
12 other moneys received by the Department pursuant to the Tax
13 Acts; and, further provided, that in no event shall the
14 payments required under the preceding proviso result in
15 aggregate payments into the Build Illinois Fund pursuant to
16 this clause (b) for any fiscal year in excess of the greater
17 of (i) the Tax Act Amount or (ii) the Annual Specified Amount
18 for such fiscal year; and, further provided, that the amounts
19 payable into the Build Illinois Fund under this clause (b)
20 shall be payable only until such time as the aggregate amount
21 on deposit under each trust indenture securing Bonds issued
22 and outstanding pursuant to the Build Illinois Bond Act is
23 sufficient, taking into account any future investment income,
24 to fully provide, in accordance with such indenture, for the
25 defeasance of or the payment of the principal of, premium, if
26 any, and interest on the Bonds secured by such indenture and
27 on any Bonds expected to be issued thereafter and all fees
28 and costs payable with respect thereto, all as certified by
29 the Director of the Bureau of the Budget. If on the last
30 business day of any month in which Bonds are outstanding
31 pursuant to the Build Illinois Bond Act, the aggregate of the
32 moneys deposited in the Build Illinois Bond Account in the
33 Build Illinois Fund in such month shall be less than the
34 amount required to be transferred in such month from the
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1 Build Illinois Bond Account to the Build Illinois Bond
2 Retirement and Interest Fund pursuant to Section 13 of the
3 Build Illinois Bond Act, an amount equal to such deficiency
4 shall be immediately paid from other moneys received by the
5 Department pursuant to the Tax Acts to the Build Illinois
6 Fund; provided, however, that any amounts paid to the Build
7 Illinois Fund in any fiscal year pursuant to this sentence
8 shall be deemed to constitute payments pursuant to clause (b)
9 of the preceding sentence and shall reduce the amount
10 otherwise payable for such fiscal year pursuant to clause (b)
11 of the preceding sentence. The moneys received by the
12 Department pursuant to this Act and required to be deposited
13 into the Build Illinois Fund are subject to the pledge, claim
14 and charge set forth in Section 12 of the Build Illinois Bond
15 Act.
16 Subject to payment of amounts into the Build Illinois
17 Fund as provided in the preceding paragraph or in any
18 amendment thereto hereafter enacted, the following specified
19 monthly installment of the amount requested in the
20 certificate of the Chairman of the Metropolitan Pier and
21 Exposition Authority provided under Section 8.25f of the
22 State Finance Act, but not in excess of the sums designated
23 as "Total Deposit", shall be deposited in the aggregate from
24 collections under Section 9 of the Use Tax Act, Section 9 of
25 the Service Use Tax Act, Section 9 of the Service Occupation
26 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
27 into the McCormick Place Expansion Project Fund in the
28 specified fiscal years.
29 Fiscal Year Total Deposit
30 1993 $0
31 1994 53,000,000
32 1995 58,000,000
33 1996 61,000,000
34 1997 64,000,000
-18- LRB9100968PTpk
1 1998 68,000,000
2 1999 71,000,000
3 2000 75,000,000
4 2001 80,000,000
5 2002 84,000,000
6 2003 89,000,000
7 2004 93,000,000
8 2005 97,000,000
9 2006 102,000,000
10 2007 and 106,000,000
11 each fiscal year
12 thereafter that bonds
13 are outstanding under
14 Section 13.2 of the
15 Metropolitan Pier and
16 Exposition Authority
17 Act, but not after fiscal year 2029.
18 Beginning July 20, 1993 and in each month of each fiscal
19 year thereafter, one-eighth of the amount requested in the
20 certificate of the Chairman of the Metropolitan Pier and
21 Exposition Authority for that fiscal year, less the amount
22 deposited into the McCormick Place Expansion Project Fund by
23 the State Treasurer in the respective month under subsection
24 (g) of Section 13 of the Metropolitan Pier and Exposition
25 Authority Act, plus cumulative deficiencies in the deposits
26 required under this Section for previous months and years,
27 shall be deposited into the McCormick Place Expansion Project
28 Fund, until the full amount requested for the fiscal year,
29 but not in excess of the amount specified above as "Total
30 Deposit", has been deposited.
31 Subject to payment of amounts into the Build Illinois
32 Fund and the McCormick Place Expansion Project Fund pursuant
33 to the preceding paragraphs or in any amendment thereto
34 hereafter enacted, each month the Department shall pay into
-19- LRB9100968PTpk
1 the Local Government Distributive Fund .4% of the net revenue
2 realized for the preceding month from the 5% general rate, or
3 .4% of 80% of the net revenue realized for the preceding
4 month from the 6.25% general rate, as the case may be, on the
5 selling price of tangible personal property which amount
6 shall, subject to appropriation, be distributed as provided
7 in Section 2 of the State Revenue Sharing Act. No payments or
8 distributions pursuant to this paragraph shall be made if the
9 tax imposed by this Act on photoprocessing products is
10 declared unconstitutional, or if the proceeds from such tax
11 are unavailable for distribution because of litigation.
12 Subject to payment of amounts into the Build Illinois
13 Fund, the McCormick Place Expansion Project Fund, and the
14 Local Government Distributive Fund pursuant to the preceding
15 paragraphs or in any amendments thereto hereafter enacted,
16 beginning July 1, 1993, the Department shall each month pay
17 into the Illinois Tax Increment Fund 0.27% of 80% of the net
18 revenue realized for the preceding month from the 6.25%
19 general rate on the selling price of tangible personal
20 property.
21 Of the remainder of the moneys received by the Department
22 pursuant to this Act, 75% thereof shall be paid into the
23 State Treasury and 25% shall be reserved in a special account
24 and used only for the transfer to the Common School Fund as
25 part of the monthly transfer from the General Revenue Fund in
26 accordance with Section 8a of the State Finance Act.
27 As soon as possible after the first day of each month,
28 upon certification of the Department of Revenue, the
29 Comptroller shall order transferred and the Treasurer shall
30 transfer from the General Revenue Fund to the Motor Fuel Tax
31 Fund an amount equal to 1.7% of 80% of the net revenue
32 realized under this Act for the second preceding month;
33 except that this transfer shall not be made for the months
34 February through June of 1992.
-20- LRB9100968PTpk
1 Net revenue realized for a month shall be the revenue
2 collected by the State pursuant to this Act, less the amount
3 paid out during that month as refunds to taxpayers for
4 overpayment of liability.
5 For greater simplicity of administration, manufacturers,
6 importers and wholesalers whose products are sold at retail
7 in Illinois by numerous retailers, and who wish to do so, may
8 assume the responsibility for accounting and paying to the
9 Department all tax accruing under this Act with respect to
10 such sales, if the retailers who are affected do not make
11 written objection to the Department to this arrangement.
12 (Source: P.A. 89-379, eff. 1-1-96; 89-626, eff. 8-9-96;
13 90-491, eff. 1-1-99; 90-612, eff. 7-8-98.)
14 Section 10. The Service Use Tax Act is amended by
15 changing Sections 3-10 and 9 as follows:
16 (35 ILCS 110/3-10) (from Ch. 120, par. 439.33-10)
17 Sec. 3-10. Rate of tax. Unless otherwise provided in
18 this Section, the tax imposed by this Act is at the rate of
19 6.25% of the selling price of tangible personal property
20 transferred as an incident to the sale of service, but, for
21 the purpose of computing this tax, in no event shall the
22 selling price be less than the cost price of the property to
23 the serviceman.
24 With respect to motor fuel, as defined in Section 1.1 of
25 the Motor Fuel Tax Law, and gasohol, as defined in Section
26 3-40 of the Use Tax Act, the tax is imposed at the rate of
27 1.25%. If, however, the aggregate tax revenues from motor
28 fuel and gasohol under the Use Tax Act, the Service Use Tax
29 Act, the Service Occupation Tax Act, and the Retailers'
30 Occupation Tax Act during the period from January 1, 2000
31 through December 31, 2000 are not at least 15% more than the
32 aggregate tax revenues from motor fuel and gasohol under
-21- LRB9100968PTpk
1 those Acts during the period from January 1, 1999 through
2 December 31, 1999, then beginning January 1, 2003 the tax is
3 imposed on motor fuel and gasohol at the 6.25% general rate.
4 With respect to gasohol, as defined in the Use Tax Act,
5 the tax imposed by this Act applies to 70% of the selling
6 price of property transferred as an incident to the sale of
7 service on or after January 1, 1990, and before July 1, 2003,
8 and to 100% of the selling price thereafter.
9 At the election of any registered serviceman made for
10 each fiscal year, sales of service in which the aggregate
11 annual cost price of tangible personal property transferred
12 as an incident to the sales of service is less than 35%, or
13 75% in the case of servicemen transferring prescription drugs
14 or servicemen engaged in graphic arts production, of the
15 aggregate annual total gross receipts from all sales of
16 service, the tax imposed by this Act shall be based on the
17 serviceman's cost price of the tangible personal property
18 transferred as an incident to the sale of those services.
19 The tax shall be imposed at the rate of 1% on food
20 prepared for immediate consumption and transferred incident
21 to a sale of service subject to this Act or the Service
22 Occupation Tax Act by an entity licensed under the Hospital
23 Licensing Act or the Nursing Home Care Act. The tax shall
24 also be imposed at the rate of 1% on food for human
25 consumption that is to be consumed off the premises where it
26 is sold (other than alcoholic beverages, soft drinks, and
27 food that has been prepared for immediate consumption and is
28 not otherwise included in this paragraph) and prescription
29 and nonprescription medicines, drugs, medical appliances,
30 modifications to a motor vehicle for the purpose of rendering
31 it usable by a disabled person, and insulin, urine testing
32 materials, syringes, and needles used by diabetics, for human
33 use. For the purposes of this Section, the term "soft drinks"
34 means any complete, finished, ready-to-use, non-alcoholic
-22- LRB9100968PTpk
1 drink, whether carbonated or not, including but not limited
2 to soda water, cola, fruit juice, vegetable juice, carbonated
3 water, and all other preparations commonly known as soft
4 drinks of whatever kind or description that are contained in
5 any closed or sealed bottle, can, carton, or container,
6 regardless of size. "Soft drinks" does not include coffee,
7 tea, non-carbonated water, infant formula, milk or milk
8 products as defined in the Grade A Pasteurized Milk and Milk
9 Products Act, or drinks containing 50% or more natural fruit
10 or vegetable juice.
11 Notwithstanding any other provisions of this Act, "food
12 for human consumption that is to be consumed off the premises
13 where it is sold" includes all food sold through a vending
14 machine, except soft drinks and food products that are
15 dispensed hot from a vending machine, regardless of the
16 location of the vending machine.
17 If the property that is acquired from a serviceman is
18 acquired outside Illinois and used outside Illinois before
19 being brought to Illinois for use here and is taxable under
20 this Act, the "selling price" on which the tax is computed
21 shall be reduced by an amount that represents a reasonable
22 allowance for depreciation for the period of prior
23 out-of-state use.
24 (Source: P.A. 89-359, eff. 8-17-95; 89-420, eff. 6-1-96;
25 89-463, eff. 5-31-96; 89-626, eff. 8-9-96; 90-605, eff.
26 6-30-98; 90-606, eff. 6-30-98.)
27 (35 ILCS 110/9) (from Ch. 120, par. 439.39)
28 Sec. 9. Each serviceman required or authorized to
29 collect the tax herein imposed shall pay to the Department
30 the amount of such tax (except as otherwise provided) at the
31 time when he is required to file his return for the period
32 during which such tax was collected, less a discount of 2.1%
33 prior to January 1, 1990 and 1.75% on and after January 1,
-23- LRB9100968PTpk
1 1990, or $5 per calendar year, whichever is greater, which is
2 allowed to reimburse the serviceman for expenses incurred in
3 collecting the tax, keeping records, preparing and filing
4 returns, remitting the tax and supplying data to the
5 Department on request. A serviceman need not remit that part
6 of any tax collected by him to the extent that he is required
7 to pay and does pay the tax imposed by the Service Occupation
8 Tax Act with respect to his sale of service involving the
9 incidental transfer by him of the same property.
10 Except as provided hereinafter in this Section, on or
11 before the twentieth day of each calendar month, such
12 serviceman shall file a return for the preceding calendar
13 month in accordance with reasonable Rules and Regulations to
14 be promulgated by the Department. Such return shall be filed
15 on a form prescribed by the Department and shall contain such
16 information as the Department may reasonably require.
17 The Department may require returns to be filed on a
18 quarterly basis. If so required, a return for each calendar
19 quarter shall be filed on or before the twentieth day of the
20 calendar month following the end of such calendar quarter.
21 The taxpayer shall also file a return with the Department for
22 each of the first two months of each calendar quarter, on or
23 before the twentieth day of the following calendar month,
24 stating:
25 1. The name of the seller;
26 2. The address of the principal place of business
27 from which he engages in business as a serviceman in this
28 State;
29 3. The total amount of taxable receipts received by
30 him during the preceding calendar month, including
31 receipts from charge and time sales, but less all
32 deductions allowed by law;
33 4. The amount of credit provided in Section 2d of
34 this Act;
-24- LRB9100968PTpk
1 5. The amount of tax due;
2 5-5. The signature of the taxpayer; and
3 6. Such other reasonable information as the
4 Department may require.
5 If a taxpayer fails to sign a return within 30 days after
6 the proper notice and demand for signature by the Department,
7 the return shall be considered valid and any amount shown to
8 be due on the return shall be deemed assessed.
9 Beginning October 1, 1993, a taxpayer who has an average
10 monthly tax liability of $150,000 or more shall make all
11 payments required by rules of the Department by electronic
12 funds transfer. Beginning October 1, 1994, a taxpayer who
13 has an average monthly tax liability of $100,000 or more
14 shall make all payments required by rules of the Department
15 by electronic funds transfer. Beginning October 1, 1995, a
16 taxpayer who has an average monthly tax liability of $50,000
17 or more shall make all payments required by rules of the
18 Department by electronic funds transfer. The term "average
19 monthly tax liability" means the sum of the taxpayer's
20 liabilities under this Act, and under all other State and
21 local occupation and use tax laws administered by the
22 Department, for the immediately preceding calendar year
23 divided by 12.
24 Before August 1 of each year beginning in 1993, the
25 Department shall notify all taxpayers required to make
26 payments by electronic funds transfer. All taxpayers required
27 to make payments by electronic funds transfer shall make
28 those payments for a minimum of one year beginning on October
29 1.
30 Any taxpayer not required to make payments by electronic
31 funds transfer may make payments by electronic funds transfer
32 with the permission of the Department.
33 All taxpayers required to make payment by electronic
34 funds transfer and any taxpayers authorized to voluntarily
-25- LRB9100968PTpk
1 make payments by electronic funds transfer shall make those
2 payments in the manner authorized by the Department.
3 The Department shall adopt such rules as are necessary to
4 effectuate a program of electronic funds transfer and the
5 requirements of this Section.
6 If the serviceman is otherwise required to file a monthly
7 return and if the serviceman's average monthly tax liability
8 to the Department does not exceed $200, the Department may
9 authorize his returns to be filed on a quarter annual basis,
10 with the return for January, February and March of a given
11 year being due by April 20 of such year; with the return for
12 April, May and June of a given year being due by July 20 of
13 such year; with the return for July, August and September of
14 a given year being due by October 20 of such year, and with
15 the return for October, November and December of a given year
16 being due by January 20 of the following year.
17 If the serviceman is otherwise required to file a monthly
18 or quarterly return and if the serviceman's average monthly
19 tax liability to the Department does not exceed $50, the
20 Department may authorize his returns to be filed on an annual
21 basis, with the return for a given year being due by January
22 20 of the following year.
23 Such quarter annual and annual returns, as to form and
24 substance, shall be subject to the same requirements as
25 monthly returns.
26 Notwithstanding any other provision in this Act
27 concerning the time within which a serviceman may file his
28 return, in the case of any serviceman who ceases to engage in
29 a kind of business which makes him responsible for filing
30 returns under this Act, such serviceman shall file a final
31 return under this Act with the Department not more than 1
32 month after discontinuing such business.
33 Where a serviceman collects the tax with respect to the
34 selling price of property which he sells and the purchaser
-26- LRB9100968PTpk
1 thereafter returns such property and the serviceman refunds
2 the selling price thereof to the purchaser, such serviceman
3 shall also refund, to the purchaser, the tax so collected
4 from the purchaser. When filing his return for the period in
5 which he refunds such tax to the purchaser, the serviceman
6 may deduct the amount of the tax so refunded by him to the
7 purchaser from any other Service Use Tax, Service Occupation
8 Tax, retailers' occupation tax or use tax which such
9 serviceman may be required to pay or remit to the Department,
10 as shown by such return, provided that the amount of the tax
11 to be deducted shall previously have been remitted to the
12 Department by such serviceman. If the serviceman shall not
13 previously have remitted the amount of such tax to the
14 Department, he shall be entitled to no deduction hereunder
15 upon refunding such tax to the purchaser.
16 Any serviceman filing a return hereunder shall also
17 include the total tax upon the selling price of tangible
18 personal property purchased for use by him as an incident to
19 a sale of service, and such serviceman shall remit the amount
20 of such tax to the Department when filing such return.
21 If experience indicates such action to be practicable,
22 the Department may prescribe and furnish a combination or
23 joint return which will enable servicemen, who are required
24 to file returns hereunder and also under the Service
25 Occupation Tax Act, to furnish all the return information
26 required by both Acts on the one form.
27 Where the serviceman has more than one business
28 registered with the Department under separate registration
29 hereunder, such serviceman shall not file each return that is
30 due as a single return covering all such registered
31 businesses, but shall file separate returns for each such
32 registered business.
33 Beginning January 1, 1990, each month the Department
34 shall pay into the State and Local Tax Reform Fund, a special
-27- LRB9100968PTpk
1 fund in the State Treasury, the net revenue realized for the
2 preceding month from the 1% tax on sales of food for human
3 consumption which is to be consumed off the premises where it
4 is sold (other than alcoholic beverages, soft drinks and food
5 which has been prepared for immediate consumption) and
6 prescription and nonprescription medicines, drugs, medical
7 appliances and insulin, urine testing materials, syringes and
8 needles used by diabetics.
9 Beginning January 1, 2000, and so long as the rate
10 remains at 1.25%, each month the Department shall pay into
11 the County and Mass Transit District Fund 20% of the net
12 revenue realized for the preceding month from the 1.25% rate
13 on the selling price of motor fuel and gasohol.
14 Beginning January 1, 1990, each month the Department
15 shall pay into the State and Local Sales Tax Reform Fund 20%
16 of the net revenue realized for the preceding month from the
17 6.25% general rate on transfers of tangible personal
18 property, other than tangible personal property which is
19 purchased outside Illinois at retail from a retailer and
20 which is titled or registered by an agency of this State's
21 government.
22 Beginning January 1, 2000, and so long as the rate
23 remains at 1.25%, each month the Department shall pay into
24 the Local Government Tax Fund 80% of the net revenue realized
25 for the preceding month from the 1.25% rate on the selling
26 price of motor fuel and gasohol.
27 Of the remainder of the moneys received by the Department
28 pursuant to this Act, (a) 1.75% thereof shall be paid into
29 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
30 and on and after July 1, 1989, 3.8% thereof shall be paid
31 into the Build Illinois Fund; provided, however, that if in
32 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
33 as the case may be, of the moneys received by the Department
34 and required to be paid into the Build Illinois Fund pursuant
-28- LRB9100968PTpk
1 to Section 3 of the Retailers' Occupation Tax Act, Section 9
2 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
3 Section 9 of the Service Occupation Tax Act, such Acts being
4 hereinafter called the "Tax Acts" and such aggregate of 2.2%
5 or 3.8%, as the case may be, of moneys being hereinafter
6 called the "Tax Act Amount", and (2) the amount transferred
7 to the Build Illinois Fund from the State and Local Sales Tax
8 Reform Fund shall be less than the Annual Specified Amount
9 (as defined in Section 3 of the Retailers' Occupation Tax
10 Act), an amount equal to the difference shall be immediately
11 paid into the Build Illinois Fund from other moneys received
12 by the Department pursuant to the Tax Acts; and further
13 provided, that if on the last business day of any month the
14 sum of (1) the Tax Act Amount required to be deposited into
15 the Build Illinois Bond Account in the Build Illinois Fund
16 during such month and (2) the amount transferred during such
17 month to the Build Illinois Fund from the State and Local
18 Sales Tax Reform Fund shall have been less than 1/12 of the
19 Annual Specified Amount, an amount equal to the difference
20 shall be immediately paid into the Build Illinois Fund from
21 other moneys received by the Department pursuant to the Tax
22 Acts; and, further provided, that in no event shall the
23 payments required under the preceding proviso result in
24 aggregate payments into the Build Illinois Fund pursuant to
25 this clause (b) for any fiscal year in excess of the greater
26 of (i) the Tax Act Amount or (ii) the Annual Specified Amount
27 for such fiscal year; and, further provided, that the amounts
28 payable into the Build Illinois Fund under this clause (b)
29 shall be payable only until such time as the aggregate amount
30 on deposit under each trust indenture securing Bonds issued
31 and outstanding pursuant to the Build Illinois Bond Act is
32 sufficient, taking into account any future investment income,
33 to fully provide, in accordance with such indenture, for the
34 defeasance of or the payment of the principal of, premium, if
-29- LRB9100968PTpk
1 any, and interest on the Bonds secured by such indenture and
2 on any Bonds expected to be issued thereafter and all fees
3 and costs payable with respect thereto, all as certified by
4 the Director of the Bureau of the Budget. If on the last
5 business day of any month in which Bonds are outstanding
6 pursuant to the Build Illinois Bond Act, the aggregate of the
7 moneys deposited in the Build Illinois Bond Account in the
8 Build Illinois Fund in such month shall be less than the
9 amount required to be transferred in such month from the
10 Build Illinois Bond Account to the Build Illinois Bond
11 Retirement and Interest Fund pursuant to Section 13 of the
12 Build Illinois Bond Act, an amount equal to such deficiency
13 shall be immediately paid from other moneys received by the
14 Department pursuant to the Tax Acts to the Build Illinois
15 Fund; provided, however, that any amounts paid to the Build
16 Illinois Fund in any fiscal year pursuant to this sentence
17 shall be deemed to constitute payments pursuant to clause (b)
18 of the preceding sentence and shall reduce the amount
19 otherwise payable for such fiscal year pursuant to clause (b)
20 of the preceding sentence. The moneys received by the
21 Department pursuant to this Act and required to be deposited
22 into the Build Illinois Fund are subject to the pledge, claim
23 and charge set forth in Section 12 of the Build Illinois Bond
24 Act.
25 Subject to payment of amounts into the Build Illinois
26 Fund as provided in the preceding paragraph or in any
27 amendment thereto hereafter enacted, the following specified
28 monthly installment of the amount requested in the
29 certificate of the Chairman of the Metropolitan Pier and
30 Exposition Authority provided under Section 8.25f of the
31 State Finance Act, but not in excess of the sums designated
32 as "Total Deposit", shall be deposited in the aggregate from
33 collections under Section 9 of the Use Tax Act, Section 9 of
34 the Service Use Tax Act, Section 9 of the Service Occupation
-30- LRB9100968PTpk
1 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
2 into the McCormick Place Expansion Project Fund in the
3 specified fiscal years.
4 Fiscal Year Total Deposit
5 1993 $0
6 1994 53,000,000
7 1995 58,000,000
8 1996 61,000,000
9 1997 64,000,000
10 1998 68,000,000
11 1999 71,000,000
12 2000 75,000,000
13 2001 80,000,000
14 2002 84,000,000
15 2003 89,000,000
16 2004 93,000,000
17 2005 97,000,000
18 2006 102,000,000
19 2007 and 106,000,000
20 each fiscal year
21 thereafter that bonds
22 are outstanding under
23 Section 13.2 of the
24 Metropolitan Pier and
25 Exposition Authority Act,
26 but not after fiscal year 2029.
27 Beginning July 20, 1993 and in each month of each fiscal
28 year thereafter, one-eighth of the amount requested in the
29 certificate of the Chairman of the Metropolitan Pier and
30 Exposition Authority for that fiscal year, less the amount
31 deposited into the McCormick Place Expansion Project Fund by
32 the State Treasurer in the respective month under subsection
33 (g) of Section 13 of the Metropolitan Pier and Exposition
34 Authority Act, plus cumulative deficiencies in the deposits
-31- LRB9100968PTpk
1 required under this Section for previous months and years,
2 shall be deposited into the McCormick Place Expansion Project
3 Fund, until the full amount requested for the fiscal year,
4 but not in excess of the amount specified above as "Total
5 Deposit", has been deposited.
6 Subject to payment of amounts into the Build Illinois
7 Fund and the McCormick Place Expansion Project Fund pursuant
8 to the preceding paragraphs or in any amendment thereto
9 hereafter enacted, each month the Department shall pay into
10 the Local Government Distributive Fund 0.4% of the net
11 revenue realized for the preceding month from the 5% general
12 rate or 0.4% of 80% of the net revenue realized for the
13 preceding month from the 6.25% general rate, as the case may
14 be, on the selling price of tangible personal property which
15 amount shall, subject to appropriation, be distributed as
16 provided in Section 2 of the State Revenue Sharing Act. No
17 payments or distributions pursuant to this paragraph shall be
18 made if the tax imposed by this Act on photo processing
19 products is declared unconstitutional, or if the proceeds
20 from such tax are unavailable for distribution because of
21 litigation.
22 Subject to payment of amounts into the Build Illinois
23 Fund, the McCormick Place Expansion Project Fund, and the
24 Local Government Distributive Fund pursuant to the preceding
25 paragraphs or in any amendments thereto hereafter enacted,
26 beginning July 1, 1993, the Department shall each month pay
27 into the Illinois Tax Increment Fund 0.27% of 80% of the net
28 revenue realized for the preceding month from the 6.25%
29 general rate on the selling price of tangible personal
30 property.
31 All remaining moneys received by the Department pursuant
32 to this Act shall be paid into the General Revenue Fund of
33 the State Treasury.
34 As soon as possible after the first day of each month,
-32- LRB9100968PTpk
1 upon certification of the Department of Revenue, the
2 Comptroller shall order transferred and the Treasurer shall
3 transfer from the General Revenue Fund to the Motor Fuel Tax
4 Fund an amount equal to 1.7% of 80% of the net revenue
5 realized under this Act for the second preceding month;
6 except that this transfer shall not be made for the months
7 February through June, 1992.
8 Net revenue realized for a month shall be the revenue
9 collected by the State pursuant to this Act, less the amount
10 paid out during that month as refunds to taxpayers for
11 overpayment of liability.
12 (Source: P.A. 89-379, eff. 1-1-96; 90-612, eff. 7-8-98.)
13 Section 15. The Service Occupation Tax Act is amended by
14 changing Sections 3-10 and 9 as follows:
15 (35 ILCS 115/3-10) (from Ch. 120, par. 439.103-10)
16 Sec. 3-10. Rate of tax. Unless otherwise provided in
17 this Section, the tax imposed by this Act is at the rate of
18 6.25% of the "selling price", as defined in Section 2 of the
19 Service Use Tax Act, of the tangible personal property. For
20 the purpose of computing this tax, in no event shall the
21 "selling price" be less than the cost price to the serviceman
22 of the tangible personal property transferred. The selling
23 price of each item of tangible personal property transferred
24 as an incident of a sale of service may be shown as a
25 distinct and separate item on the serviceman's billing to the
26 service customer. If the selling price is not so shown, the
27 selling price of the tangible personal property is deemed to
28 be 50% of the serviceman's entire billing to the service
29 customer. When, however, a serviceman contracts to design,
30 develop, and produce special order machinery or equipment,
31 the tax imposed by this Act shall be based on the
32 serviceman's cost price of the tangible personal property
-33- LRB9100968PTpk
1 transferred incident to the completion of the contract.
2 With respect to motor fuel, as defined in Section 1.1 of
3 the Motor Fuel Tax Law, and gasohol, as defined in Section
4 3-40 of the Use Tax Act, the tax is imposed at the rate of
5 1.25%. If, however, the aggregate tax revenues from motor
6 fuel and gasohol under the Use Tax Act, the Service Use Tax
7 Act, the Service Occupation Tax Act, and the Retailers'
8 Occupation Tax Act during the period from January 1, 2000
9 through December 31, 2000 are not at least 15% more than the
10 aggregate tax revenues from motor fuel and gasohol under
11 those Acts during the period from January 1, 1999 through
12 December 31, 1999, then beginning January 1, 2003 the tax is
13 imposed on motor fuel and gasohol at the 6.25% general rate.
14 With respect to gasohol, as defined in the Use Tax Act,
15 the tax imposed by this Act shall apply to 70% of the cost
16 price of property transferred as an incident to the sale of
17 service on or after January 1, 1990, and before July 1, 2003,
18 and to 100% of the cost price thereafter.
19 At the election of any registered serviceman made for
20 each fiscal year, sales of service in which the aggregate
21 annual cost price of tangible personal property transferred
22 as an incident to the sales of service is less than 35%, or
23 75% in the case of servicemen transferring prescription drugs
24 or servicemen engaged in graphic arts production, of the
25 aggregate annual total gross receipts from all sales of
26 service, the tax imposed by this Act shall be based on the
27 serviceman's cost price of the tangible personal property
28 transferred incident to the sale of those services.
29 The tax shall be imposed at the rate of 1% on food
30 prepared for immediate consumption and transferred incident
31 to a sale of service subject to this Act or the Service
32 Occupation Tax Act by an entity licensed under the Hospital
33 Licensing Act or the Nursing Home Care Act. The tax shall
34 also be imposed at the rate of 1% on food for human
-34- LRB9100968PTpk
1 consumption that is to be consumed off the premises where it
2 is sold (other than alcoholic beverages, soft drinks, and
3 food that has been prepared for immediate consumption and is
4 not otherwise included in this paragraph) and prescription
5 and nonprescription medicines, drugs, medical appliances,
6 modifications to a motor vehicle for the purpose of rendering
7 it usable by a disabled person, and insulin, urine testing
8 materials, syringes, and needles used by diabetics, for human
9 use. For the purposes of this Section, the term "soft
10 drinks" means any complete, finished, ready-to-use,
11 non-alcoholic drink, whether carbonated or not, including but
12 not limited to soda water, cola, fruit juice, vegetable
13 juice, carbonated water, and all other preparations commonly
14 known as soft drinks of whatever kind or description that are
15 contained in any closed or sealed can, carton, or container,
16 regardless of size. "Soft drinks" does not include coffee,
17 tea, non-carbonated water, infant formula, milk or milk
18 products as defined in the Grade A Pasteurized Milk and Milk
19 Products Act, or drinks containing 50% or more natural fruit
20 or vegetable juice.
21 Notwithstanding any other provisions of this Act, "food
22 for human consumption that is to be consumed off the premises
23 where it is sold" includes all food sold through a vending
24 machine, except soft drinks and food products that are
25 dispensed hot from a vending machine, regardless of the
26 location of the vending machine.
27 (Source: P.A. 89-359, eff. 8-17-95; 89-420, eff. 6-1-96;
28 89-463, eff. 5-31-96; 89-626, eff. 8-9-96; 90-605, eff.
29 6-30-98; 90-606, eff. 6-30-98.)
30 (35 ILCS 115/9) (from Ch. 120, par. 439.109)
31 Sec. 9. Each serviceman required or authorized to
32 collect the tax herein imposed shall pay to the Department
33 the amount of such tax at the time when he is required to
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1 file his return for the period during which such tax was
2 collectible, less a discount of 2.1% prior to January 1,
3 1990, and 1.75% on and after January 1, 1990, or $5 per
4 calendar year, whichever is greater, which is allowed to
5 reimburse the serviceman for expenses incurred in collecting
6 the tax, keeping records, preparing and filing returns,
7 remitting the tax and supplying data to the Department on
8 request.
9 Where such tangible personal property is sold under a
10 conditional sales contract, or under any other form of sale
11 wherein the payment of the principal sum, or a part thereof,
12 is extended beyond the close of the period for which the
13 return is filed, the serviceman, in collecting the tax may
14 collect, for each tax return period, only the tax applicable
15 to the part of the selling price actually received during
16 such tax return period.
17 Except as provided hereinafter in this Section, on or
18 before the twentieth day of each calendar month, such
19 serviceman shall file a return for the preceding calendar
20 month in accordance with reasonable rules and regulations to
21 be promulgated by the Department of Revenue. Such return
22 shall be filed on a form prescribed by the Department and
23 shall contain such information as the Department may
24 reasonably require.
25 The Department may require returns to be filed on a
26 quarterly basis. If so required, a return for each calendar
27 quarter shall be filed on or before the twentieth day of the
28 calendar month following the end of such calendar quarter.
29 The taxpayer shall also file a return with the Department for
30 each of the first two months of each calendar quarter, on or
31 before the twentieth day of the following calendar month,
32 stating:
33 1. The name of the seller;
34 2. The address of the principal place of business
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1 from which he engages in business as a serviceman in this
2 State;
3 3. The total amount of taxable receipts received by
4 him during the preceding calendar month, including
5 receipts from charge and time sales, but less all
6 deductions allowed by law;
7 4. The amount of credit provided in Section 2d of
8 this Act;
9 5. The amount of tax due;
10 5-5. The signature of the taxpayer; and
11 6. Such other reasonable information as the
12 Department may require.
13 If a taxpayer fails to sign a return within 30 days after
14 the proper notice and demand for signature by the Department,
15 the return shall be considered valid and any amount shown to
16 be due on the return shall be deemed assessed.
17 A serviceman may accept a Manufacturer's Purchase Credit
18 certification from a purchaser in satisfaction of Service Use
19 Tax as provided in Section 3-70 of the Service Use Tax Act if
20 the purchaser provides the appropriate documentation as
21 required by Section 3-70 of the Service Use Tax Act. A
22 Manufacturer's Purchase Credit certification, accepted by a
23 serviceman as provided in Section 3-70 of the Service Use Tax
24 Act, may be used by that serviceman to satisfy Service
25 Occupation Tax liability in the amount claimed in the
26 certification, not to exceed 6.25% of the receipts subject to
27 tax from a qualifying purchase.
28 If the serviceman's average monthly tax liability to the
29 Department does not exceed $200, the Department may authorize
30 his returns to be filed on a quarter annual basis, with the
31 return for January, February and March of a given year being
32 due by April 20 of such year; with the return for April, May
33 and June of a given year being due by July 20 of such year;
34 with the return for July, August and September of a given
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1 year being due by October 20 of such year, and with the
2 return for October, November and December of a given year
3 being due by January 20 of the following year.
4 If the serviceman's average monthly tax liability to the
5 Department does not exceed $50, the Department may authorize
6 his returns to be filed on an annual basis, with the return
7 for a given year being due by January 20 of the following
8 year.
9 Such quarter annual and annual returns, as to form and
10 substance, shall be subject to the same requirements as
11 monthly returns.
12 Notwithstanding any other provision in this Act
13 concerning the time within which a serviceman may file his
14 return, in the case of any serviceman who ceases to engage in
15 a kind of business which makes him responsible for filing
16 returns under this Act, such serviceman shall file a final
17 return under this Act with the Department not more than 1
18 month after discontinuing such business.
19 Beginning October 1, 1993, a taxpayer who has an average
20 monthly tax liability of $150,000 or more shall make all
21 payments required by rules of the Department by electronic
22 funds transfer. Beginning October 1, 1994, a taxpayer who
23 has an average monthly tax liability of $100,000 or more
24 shall make all payments required by rules of the Department
25 by electronic funds transfer. Beginning October 1, 1995, a
26 taxpayer who has an average monthly tax liability of $50,000
27 or more shall make all payments required by rules of the
28 Department by electronic funds transfer. The term "average
29 monthly tax liability" means the sum of the taxpayer's
30 liabilities under this Act, and under all other State and
31 local occupation and use tax laws administered by the
32 Department, for the immediately preceding calendar year
33 divided by 12.
34 Before August 1 of each year beginning in 1993, the
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1 Department shall notify all taxpayers required to make
2 payments by electronic funds transfer. All taxpayers
3 required to make payments by electronic funds transfer shall
4 make those payments for a minimum of one year beginning on
5 October 1.
6 Any taxpayer not required to make payments by electronic
7 funds transfer may make payments by electronic funds transfer
8 with the permission of the Department.
9 All taxpayers required to make payment by electronic
10 funds transfer and any taxpayers authorized to voluntarily
11 make payments by electronic funds transfer shall make those
12 payments in the manner authorized by the Department.
13 The Department shall adopt such rules as are necessary to
14 effectuate a program of electronic funds transfer and the
15 requirements of this Section.
16 Where a serviceman collects the tax with respect to the
17 selling price of tangible personal property which he sells
18 and the purchaser thereafter returns such tangible personal
19 property and the serviceman refunds the selling price thereof
20 to the purchaser, such serviceman shall also refund, to the
21 purchaser, the tax so collected from the purchaser. When
22 filing his return for the period in which he refunds such tax
23 to the purchaser, the serviceman may deduct the amount of the
24 tax so refunded by him to the purchaser from any other
25 Service Occupation Tax, Service Use Tax, Retailers'
26 Occupation Tax or Use Tax which such serviceman may be
27 required to pay or remit to the Department, as shown by such
28 return, provided that the amount of the tax to be deducted
29 shall previously have been remitted to the Department by such
30 serviceman. If the serviceman shall not previously have
31 remitted the amount of such tax to the Department, he shall
32 be entitled to no deduction hereunder upon refunding such tax
33 to the purchaser.
34 If experience indicates such action to be practicable,
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1 the Department may prescribe and furnish a combination or
2 joint return which will enable servicemen, who are required
3 to file returns hereunder and also under the Retailers'
4 Occupation Tax Act, the Use Tax Act or the Service Use Tax
5 Act, to furnish all the return information required by all
6 said Acts on the one form.
7 Where the serviceman has more than one business
8 registered with the Department under separate registrations
9 hereunder, such serviceman shall file separate returns for
10 each registered business.
11 Beginning January 1, 1990, each month the Department
12 shall pay into the Local Government Tax Fund the revenue
13 realized for the preceding month from the 1% tax on sales of
14 food for human consumption which is to be consumed off the
15 premises where it is sold (other than alcoholic beverages,
16 soft drinks and food which has been prepared for immediate
17 consumption) and prescription and nonprescription medicines,
18 drugs, medical appliances and insulin, urine testing
19 materials, syringes and needles used by diabetics.
20 Beginning January 1, 1990, each month the Department
21 shall pay into the County and Mass Transit District Fund 4%
22 of the revenue realized for the preceding month from the
23 6.25% general rate.
24 Beginning January 1, 2000, and so long as the rate
25 remains at 1.25%, each month the Department shall pay into
26 the County and Mass Transit District Fund 20% of the net
27 revenue realized for the preceding month from the 1.25% rate
28 on the cost price of motor fuel and gasohol.
29 Beginning January 1, 1990, each month the Department
30 shall pay into the Local Government Tax Fund 16% of the
31 revenue realized for the preceding month from the 6.25%
32 general rate on transfers of tangible personal property.
33 Beginning January 1, 2000, and so long as the rate
34 remains at 1.25%, each month the Department shall pay into
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1 the Local Government Tax Fund 80% of the net revenue realized
2 for the preceding month from the 1.25% rate on the cost price
3 of motor fuel and gasohol.
4 Of the remainder of the moneys received by the Department
5 pursuant to this Act, (a) 1.75% thereof shall be paid into
6 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
7 and on and after July 1, 1989, 3.8% thereof shall be paid
8 into the Build Illinois Fund; provided, however, that if in
9 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
10 as the case may be, of the moneys received by the Department
11 and required to be paid into the Build Illinois Fund pursuant
12 to Section 3 of the Retailers' Occupation Tax Act, Section 9
13 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
14 Section 9 of the Service Occupation Tax Act, such Acts being
15 hereinafter called the "Tax Acts" and such aggregate of 2.2%
16 or 3.8%, as the case may be, of moneys being hereinafter
17 called the "Tax Act Amount", and (2) the amount transferred
18 to the Build Illinois Fund from the State and Local Sales Tax
19 Reform Fund shall be less than the Annual Specified Amount
20 (as defined in Section 3 of the Retailers' Occupation Tax
21 Act), an amount equal to the difference shall be immediately
22 paid into the Build Illinois Fund from other moneys received
23 by the Department pursuant to the Tax Acts; and further
24 provided, that if on the last business day of any month the
25 sum of (1) the Tax Act Amount required to be deposited into
26 the Build Illinois Account in the Build Illinois Fund during
27 such month and (2) the amount transferred during such month
28 to the Build Illinois Fund from the State and Local Sales Tax
29 Reform Fund shall have been less than 1/12 of the Annual
30 Specified Amount, an amount equal to the difference shall be
31 immediately paid into the Build Illinois Fund from other
32 moneys received by the Department pursuant to the Tax Acts;
33 and, further provided, that in no event shall the payments
34 required under the preceding proviso result in aggregate
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1 payments into the Build Illinois Fund pursuant to this clause
2 (b) for any fiscal year in excess of the greater of (i) the
3 Tax Act Amount or (ii) the Annual Specified Amount for such
4 fiscal year; and, further provided, that the amounts payable
5 into the Build Illinois Fund under this clause (b) shall be
6 payable only until such time as the aggregate amount on
7 deposit under each trust indenture securing Bonds issued and
8 outstanding pursuant to the Build Illinois Bond Act is
9 sufficient, taking into account any future investment income,
10 to fully provide, in accordance with such indenture, for the
11 defeasance of or the payment of the principal of, premium, if
12 any, and interest on the Bonds secured by such indenture and
13 on any Bonds expected to be issued thereafter and all fees
14 and costs payable with respect thereto, all as certified by
15 the Director of the Bureau of the Budget. If on the last
16 business day of any month in which Bonds are outstanding
17 pursuant to the Build Illinois Bond Act, the aggregate of the
18 moneys deposited in the Build Illinois Bond Account in the
19 Build Illinois Fund in such month shall be less than the
20 amount required to be transferred in such month from the
21 Build Illinois Bond Account to the Build Illinois Bond
22 Retirement and Interest Fund pursuant to Section 13 of the
23 Build Illinois Bond Act, an amount equal to such deficiency
24 shall be immediately paid from other moneys received by the
25 Department pursuant to the Tax Acts to the Build Illinois
26 Fund; provided, however, that any amounts paid to the Build
27 Illinois Fund in any fiscal year pursuant to this sentence
28 shall be deemed to constitute payments pursuant to clause (b)
29 of the preceding sentence and shall reduce the amount
30 otherwise payable for such fiscal year pursuant to clause (b)
31 of the preceding sentence. The moneys received by the
32 Department pursuant to this Act and required to be deposited
33 into the Build Illinois Fund are subject to the pledge, claim
34 and charge set forth in Section 12 of the Build Illinois Bond
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1 Act.
2 Subject to payment of amounts into the Build Illinois
3 Fund as provided in the preceding paragraph or in any
4 amendment thereto hereafter enacted, the following specified
5 monthly installment of the amount requested in the
6 certificate of the Chairman of the Metropolitan Pier and
7 Exposition Authority provided under Section 8.25f of the
8 State Finance Act, but not in excess of the sums designated
9 as "Total Deposit", shall be deposited in the aggregate from
10 collections under Section 9 of the Use Tax Act, Section 9 of
11 the Service Use Tax Act, Section 9 of the Service Occupation
12 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
13 into the McCormick Place Expansion Project Fund in the
14 specified fiscal years.
15 Fiscal Year Total Deposit
16 1993 $0
17 1994 53,000,000
18 1995 58,000,000
19 1996 61,000,000
20 1997 64,000,000
21 1998 68,000,000
22 1999 71,000,000
23 2000 75,000,000
24 2001 80,000,000
25 2002 84,000,000
26 2003 89,000,000
27 2004 93,000,000
28 2005 97,000,000
29 2006 102,000,000
30 2007 and 106,000,000
31 each fiscal year
32 thereafter that bonds
33 are outstanding under
34 Section 13.2 of the
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1 Metropolitan Pier and
2 Exposition Authority
3 Act, but not after fiscal year 2029.
4 Beginning July 20, 1993 and in each month of each fiscal
5 year thereafter, one-eighth of the amount requested in the
6 certificate of the Chairman of the Metropolitan Pier and
7 Exposition Authority for that fiscal year, less the amount
8 deposited into the McCormick Place Expansion Project Fund by
9 the State Treasurer in the respective month under subsection
10 (g) of Section 13 of the Metropolitan Pier and Exposition
11 Authority Act, plus cumulative deficiencies in the deposits
12 required under this Section for previous months and years,
13 shall be deposited into the McCormick Place Expansion Project
14 Fund, until the full amount requested for the fiscal year,
15 but not in excess of the amount specified above as "Total
16 Deposit", has been deposited.
17 Subject to payment of amounts into the Build Illinois
18 Fund and the McCormick Place Expansion Project Fund pursuant
19 to the preceding paragraphs or in any amendment thereto
20 hereafter enacted, each month the Department shall pay into
21 the Local Government Distributive Fund 0.4% of the net
22 revenue realized for the preceding month from the 5% general
23 rate or 0.4% of 80% of the net revenue realized for the
24 preceding month from the 6.25% general rate, as the case may
25 be, on the selling price of tangible personal property which
26 amount shall, subject to appropriation, be distributed as
27 provided in Section 2 of the State Revenue Sharing Act. No
28 payments or distributions pursuant to this paragraph shall be
29 made if the tax imposed by this Act on photoprocessing
30 products is declared unconstitutional, or if the proceeds
31 from such tax are unavailable for distribution because of
32 litigation.
33 Subject to payment of amounts into the Build Illinois
34 Fund, the McCormick Place Expansion Project Fund, and the
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1 Local Government Distributive Fund pursuant to the preceding
2 paragraphs or in any amendments thereto hereafter enacted,
3 beginning July 1, 1993, the Department shall each month pay
4 into the Illinois Tax Increment Fund 0.27% of 80% of the net
5 revenue realized for the preceding month from the 6.25%
6 general rate on the selling price of tangible personal
7 property.
8 Remaining moneys received by the Department pursuant to
9 this Act shall be paid into the General Revenue Fund of the
10 State Treasury.
11 The Department may, upon separate written notice to a
12 taxpayer, require the taxpayer to prepare and file with the
13 Department on a form prescribed by the Department within not
14 less than 60 days after receipt of the notice an annual
15 information return for the tax year specified in the notice.
16 Such annual return to the Department shall include a
17 statement of gross receipts as shown by the taxpayer's last
18 Federal income tax return. If the total receipts of the
19 business as reported in the Federal income tax return do not
20 agree with the gross receipts reported to the Department of
21 Revenue for the same period, the taxpayer shall attach to his
22 annual return a schedule showing a reconciliation of the 2
23 amounts and the reasons for the difference. The taxpayer's
24 annual return to the Department shall also disclose the cost
25 of goods sold by the taxpayer during the year covered by such
26 return, opening and closing inventories of such goods for
27 such year, cost of goods used from stock or taken from stock
28 and given away by the taxpayer during such year, pay roll
29 information of the taxpayer's business during such year and
30 any additional reasonable information which the Department
31 deems would be helpful in determining the accuracy of the
32 monthly, quarterly or annual returns filed by such taxpayer
33 as hereinbefore provided for in this Section.
34 If the annual information return required by this Section
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1 is not filed when and as required, the taxpayer shall be
2 liable as follows:
3 (i) Until January 1, 1994, the taxpayer shall be
4 liable for a penalty equal to 1/6 of 1% of the tax due
5 from such taxpayer under this Act during the period to be
6 covered by the annual return for each month or fraction
7 of a month until such return is filed as required, the
8 penalty to be assessed and collected in the same manner
9 as any other penalty provided for in this Act.
10 (ii) On and after January 1, 1994, the taxpayer
11 shall be liable for a penalty as described in Section 3-4
12 of the Uniform Penalty and Interest Act.
13 The chief executive officer, proprietor, owner or highest
14 ranking manager shall sign the annual return to certify the
15 accuracy of the information contained therein. Any person
16 who willfully signs the annual return containing false or
17 inaccurate information shall be guilty of perjury and
18 punished accordingly. The annual return form prescribed by
19 the Department shall include a warning that the person
20 signing the return may be liable for perjury.
21 The foregoing portion of this Section concerning the
22 filing of an annual information return shall not apply to a
23 serviceman who is not required to file an income tax return
24 with the United States Government.
25 As soon as possible after the first day of each month,
26 upon certification of the Department of Revenue, the
27 Comptroller shall order transferred and the Treasurer shall
28 transfer from the General Revenue Fund to the Motor Fuel Tax
29 Fund an amount equal to 1.7% of 80% of the net revenue
30 realized under this Act for the second preceding month;
31 except that this transfer shall not be made for the months
32 February through June, 1992.
33 Net revenue realized for a month shall be the revenue
34 collected by the State pursuant to this Act, less the amount
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1 paid out during that month as refunds to taxpayers for
2 overpayment of liability.
3 For greater simplicity of administration, it shall be
4 permissible for manufacturers, importers and wholesalers
5 whose products are sold by numerous servicemen in Illinois,
6 and who wish to do so, to assume the responsibility for
7 accounting and paying to the Department all tax accruing
8 under this Act with respect to such sales, if the servicemen
9 who are affected do not make written objection to the
10 Department to this arrangement.
11 (Source: P.A. 89-89, eff. 6-30-95; 89-235, eff. 8-4-95;
12 89-379, eff. 1-1-96; 89-626, eff. 8-9-96; 90-612, eff.
13 7-8-98.)
14 Section 20. The Retailers' Occupation Tax Act is amended
15 by changing Sections 2-10, 2d, and 3 as follows:
16 (35 ILCS 120/2-10) (from Ch. 120, par. 441-10)
17 Sec. 2-10. Rate of tax. Unless otherwise provided in
18 this Section, the tax imposed by this Act is at the rate of
19 6.25% of gross receipts from sales of tangible personal
20 property made in the course of business.
21 With respect to motor fuel, as defined in Section 1.1 of
22 the Motor Fuel Tax Law, and gasohol, as defined in Section
23 3-40 of the Use Tax Act, the tax is imposed at the rate of
24 1.25%. If, however, the aggregate tax revenues from motor
25 fuel and gasohol under the Use Tax Act, the Service Use Tax
26 Act, the Service Occupation Tax Act, and the Retailers'
27 Occupation Tax Act during the period from January 1, 2000
28 through December 31, 2000 are not at least 15% more than the
29 aggregate tax revenues from motor fuel and gasohol under
30 those Acts during the period from January 1, 1999 through
31 December 31, 1999, then beginning January 1, 2003 the tax is
32 imposed on motor fuel and gasohol at the 6.25% general rate.
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1 With respect to gasohol, as defined in the Use Tax Act,
2 the tax imposed by this Act applies to 70% of the proceeds of
3 sales made on or after January 1, 1990, and before July 1,
4 2003, and to 100% of the proceeds of sales made thereafter.
5 With respect to food for human consumption that is to be
6 consumed off the premises where it is sold (other than
7 alcoholic beverages, soft drinks, and food that has been
8 prepared for immediate consumption) and prescription and
9 nonprescription medicines, drugs, medical appliances,
10 modifications to a motor vehicle for the purpose of rendering
11 it usable by a disabled person, and insulin, urine testing
12 materials, syringes, and needles used by diabetics, for human
13 use, the tax is imposed at the rate of 1%. For the purposes
14 of this Section, the term "soft drinks" means any complete,
15 finished, ready-to-use, non-alcoholic drink, whether
16 carbonated or not, including but not limited to soda water,
17 cola, fruit juice, vegetable juice, carbonated water, and all
18 other preparations commonly known as soft drinks of whatever
19 kind or description that are contained in any closed or
20 sealed bottle, can, carton, or container, regardless of size.
21 "Soft drinks" does not include coffee, tea, non-carbonated
22 water, infant formula, milk or milk products as defined in
23 the Grade A Pasteurized Milk and Milk Products Act, or drinks
24 containing 50% or more natural fruit or vegetable juice.
25 Notwithstanding any other provisions of this Act, "food
26 for human consumption that is to be consumed off the premises
27 where it is sold" includes all food sold through a vending
28 machine, except soft drinks and food products that are
29 dispensed hot from a vending machine, regardless of the
30 location of the vending machine.
31 (Source: P.A. 89-359, eff. 8-17-95; 89-420, eff. 6-1-96;
32 89-463, eff. 5-31-96; 89-626, eff. 8-9-96; 90-605, eff.
33 6-30-98; 90-606, eff. 6-30-98.)
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1 (35 ILCS 120/2d) (from Ch. 120, par. 441d)
2 Sec. 2d. Tax prepayment by motor fuel retailer. Any
3 person engaged in the business of selling motor fuel at
4 retail, as defined in the Motor Fuel Tax Law, and who is not
5 a licensed distributor or supplier, as defined in the Motor
6 Fuel Tax Law, shall prepay to his or her distributor,
7 supplier, or other reseller of motor fuel a portion of the
8 tax imposed by this Act if the distributor, supplier, or
9 other reseller of motor fuel is registered under Section 2a
10 or Section 2c of this Act. The prepayment requirement
11 provided for in this Section does not apply to liquid propane
12 gas.
13 The Retailers' Occupation Tax paid to the distributor,
14 supplier, or other reseller shall be an amount equal to 0.8
15 cents $0.04 per gallon of the motor fuel, except gasohol as
16 defined in Section 2-10 of this Act which shall be an amount
17 equal to 0.6 cents $0.03 per gallon, purchased from the
18 distributor, supplier, or other reseller.
19 Any person engaged in the business of selling motor fuel
20 at retail shall be entitled to a credit against tax due under
21 this Act in an amount equal to the tax paid to the
22 distributor, supplier, or other reseller.
23 Every distributor, supplier, or other reseller registered
24 as provided in Section 2a or Section 2c of this Act shall
25 remit the prepaid tax on all motor fuel that is due from any
26 person engaged in the business of selling at retail motor
27 fuel with the returns filed under Section 2f or Section 3 of
28 this Act, but the vendors discount provided in Section 3
29 shall not apply to the amount of prepaid tax that is
30 remitted. Any distributor or supplier who fails to properly
31 collect and remit the tax shall be liable for the tax. For
32 purposes of this Section, the prepaid tax is due on invoiced
33 gallons sold during a month by the 20th day of the following
34 month.
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1 (Source: P.A. 86-1475; 87-14.)
2 (35 ILCS 120/3) (from Ch. 120, par. 442)
3 Sec. 3. Except as provided in this Section, on or before
4 the twentieth day of each calendar month, every person
5 engaged in the business of selling tangible personal property
6 at retail in this State during the preceding calendar month
7 shall file a return with the Department, stating:
8 1. The name of the seller;
9 2. His residence address and the address of his
10 principal place of business and the address of the
11 principal place of business (if that is a different
12 address) from which he engages in the business of selling
13 tangible personal property at retail in this State;
14 3. Total amount of receipts received by him during
15 the preceding calendar month or quarter, as the case may
16 be, from sales of tangible personal property, and from
17 services furnished, by him during such preceding calendar
18 month or quarter;
19 4. Total amount received by him during the
20 preceding calendar month or quarter on charge and time
21 sales of tangible personal property, and from services
22 furnished, by him prior to the month or quarter for which
23 the return is filed;
24 5. Deductions allowed by law;
25 6. Gross receipts which were received by him during
26 the preceding calendar month or quarter and upon the
27 basis of which the tax is imposed;
28 7. The amount of credit provided in Section 2d of
29 this Act;
30 8. The amount of tax due;
31 9. The signature of the taxpayer; and
32 10. Such other reasonable information as the
33 Department may require.
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1 If a taxpayer fails to sign a return within 30 days after
2 the proper notice and demand for signature by the Department,
3 the return shall be considered valid and any amount shown to
4 be due on the return shall be deemed assessed.
5 Each return shall be accompanied by the statement of
6 prepaid tax issued pursuant to Section 2e for which credit is
7 claimed.
8 A retailer may accept a Manufacturer's Purchase Credit
9 certification from a purchaser in satisfaction of Use Tax as
10 provided in Section 3-85 of the Use Tax Act if the purchaser
11 provides the appropriate documentation as required by Section
12 3-85 of the Use Tax Act. A Manufacturer's Purchase Credit
13 certification, accepted by a retailer as provided in Section
14 3-85 of the Use Tax Act, may be used by that retailer to
15 satisfy Retailers' Occupation Tax liability in the amount
16 claimed in the certification, not to exceed 6.25% of the
17 receipts subject to tax from a qualifying purchase.
18 The Department may require returns to be filed on a
19 quarterly basis. If so required, a return for each calendar
20 quarter shall be filed on or before the twentieth day of the
21 calendar month following the end of such calendar quarter.
22 The taxpayer shall also file a return with the Department for
23 each of the first two months of each calendar quarter, on or
24 before the twentieth day of the following calendar month,
25 stating:
26 1. The name of the seller;
27 2. The address of the principal place of business
28 from which he engages in the business of selling tangible
29 personal property at retail in this State;
30 3. The total amount of taxable receipts received by
31 him during the preceding calendar month from sales of
32 tangible personal property by him during such preceding
33 calendar month, including receipts from charge and time
34 sales, but less all deductions allowed by law;
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1 4. The amount of credit provided in Section 2d of
2 this Act;
3 5. The amount of tax due; and
4 6. Such other reasonable information as the
5 Department may require.
6 If a total amount of less than $1 is payable, refundable
7 or creditable, such amount shall be disregarded if it is less
8 than 50 cents and shall be increased to $1 if it is 50 cents
9 or more.
10 Beginning October 1, 1993, a taxpayer who has an average
11 monthly tax liability of $150,000 or more shall make all
12 payments required by rules of the Department by electronic
13 funds transfer. Beginning October 1, 1994, a taxpayer who
14 has an average monthly tax liability of $100,000 or more
15 shall make all payments required by rules of the Department
16 by electronic funds transfer. Beginning October 1, 1995, a
17 taxpayer who has an average monthly tax liability of $50,000
18 or more shall make all payments required by rules of the
19 Department by electronic funds transfer. The term "average
20 monthly tax liability" shall be the sum of the taxpayer's
21 liabilities under this Act, and under all other State and
22 local occupation and use tax laws administered by the
23 Department, for the immediately preceding calendar year
24 divided by 12.
25 Before August 1 of each year beginning in 1993, the
26 Department shall notify all taxpayers required to make
27 payments by electronic funds transfer. All taxpayers
28 required to make payments by electronic funds transfer shall
29 make those payments for a minimum of one year beginning on
30 October 1.
31 Any taxpayer not required to make payments by electronic
32 funds transfer may make payments by electronic funds transfer
33 with the permission of the Department.
34 All taxpayers required to make payment by electronic
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1 funds transfer and any taxpayers authorized to voluntarily
2 make payments by electronic funds transfer shall make those
3 payments in the manner authorized by the Department.
4 The Department shall adopt such rules as are necessary to
5 effectuate a program of electronic funds transfer and the
6 requirements of this Section.
7 Any amount which is required to be shown or reported on
8 any return or other document under this Act shall, if such
9 amount is not a whole-dollar amount, be increased to the
10 nearest whole-dollar amount in any case where the fractional
11 part of a dollar is 50 cents or more, and decreased to the
12 nearest whole-dollar amount where the fractional part of a
13 dollar is less than 50 cents.
14 If the retailer is otherwise required to file a monthly
15 return and if the retailer's average monthly tax liability to
16 the Department does not exceed $200, the Department may
17 authorize his returns to be filed on a quarter annual basis,
18 with the return for January, February and March of a given
19 year being due by April 20 of such year; with the return for
20 April, May and June of a given year being due by July 20 of
21 such year; with the return for July, August and September of
22 a given year being due by October 20 of such year, and with
23 the return for October, November and December of a given year
24 being due by January 20 of the following year.
25 If the retailer is otherwise required to file a monthly
26 or quarterly return and if the retailer's average monthly tax
27 liability with the Department does not exceed $50, the
28 Department may authorize his returns to be filed on an annual
29 basis, with the return for a given year being due by January
30 20 of the following year.
31 Such quarter annual and annual returns, as to form and
32 substance, shall be subject to the same requirements as
33 monthly returns.
34 Notwithstanding any other provision in this Act
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1 concerning the time within which a retailer may file his
2 return, in the case of any retailer who ceases to engage in a
3 kind of business which makes him responsible for filing
4 returns under this Act, such retailer shall file a final
5 return under this Act with the Department not more than one
6 month after discontinuing such business.
7 Where the same person has more than one business
8 registered with the Department under separate registrations
9 under this Act, such person may not file each return that is
10 due as a single return covering all such registered
11 businesses, but shall file separate returns for each such
12 registered business.
13 In addition, with respect to motor vehicles, watercraft,
14 aircraft, and trailers that are required to be registered
15 with an agency of this State, every retailer selling this
16 kind of tangible personal property shall file, with the
17 Department, upon a form to be prescribed and supplied by the
18 Department, a separate return for each such item of tangible
19 personal property which the retailer sells, except that
20 where, in the same transaction, a retailer of aircraft,
21 watercraft, motor vehicles or trailers transfers more than
22 one aircraft, watercraft, motor vehicle or trailer to another
23 aircraft, watercraft, motor vehicle retailer or trailer
24 retailer for the purpose of resale, that seller for resale
25 may report the transfer of all aircraft, watercraft, motor
26 vehicles or trailers involved in that transaction to the
27 Department on the same uniform invoice-transaction reporting
28 return form. For purposes of this Section, "watercraft"
29 means a Class 2, Class 3, or Class 4 watercraft as defined in
30 Section 3-2 of the Boat Registration and Safety Act, a
31 personal watercraft, or any boat equipped with an inboard
32 motor.
33 Any retailer who sells only motor vehicles, watercraft,
34 aircraft, or trailers that are required to be registered with
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1 an agency of this State, so that all retailers' occupation
2 tax liability is required to be reported, and is reported, on
3 such transaction reporting returns and who is not otherwise
4 required to file monthly or quarterly returns, need not file
5 monthly or quarterly returns. However, those retailers shall
6 be required to file returns on an annual basis.
7 The transaction reporting return, in the case of motor
8 vehicles or trailers that are required to be registered with
9 an agency of this State, shall be the same document as the
10 Uniform Invoice referred to in Section 5-402 of The Illinois
11 Vehicle Code and must show the name and address of the
12 seller; the name and address of the purchaser; the amount of
13 the selling price including the amount allowed by the
14 retailer for traded-in property, if any; the amount allowed
15 by the retailer for the traded-in tangible personal property,
16 if any, to the extent to which Section 1 of this Act allows
17 an exemption for the value of traded-in property; the balance
18 payable after deducting such trade-in allowance from the
19 total selling price; the amount of tax due from the retailer
20 with respect to such transaction; the amount of tax collected
21 from the purchaser by the retailer on such transaction (or
22 satisfactory evidence that such tax is not due in that
23 particular instance, if that is claimed to be the fact); the
24 place and date of the sale; a sufficient identification of
25 the property sold; such other information as is required in
26 Section 5-402 of The Illinois Vehicle Code, and such other
27 information as the Department may reasonably require.
28 The transaction reporting return in the case of
29 watercraft or aircraft must show the name and address of the
30 seller; the name and address of the purchaser; the amount of
31 the selling price including the amount allowed by the
32 retailer for traded-in property, if any; the amount allowed
33 by the retailer for the traded-in tangible personal property,
34 if any, to the extent to which Section 1 of this Act allows
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1 an exemption for the value of traded-in property; the balance
2 payable after deducting such trade-in allowance from the
3 total selling price; the amount of tax due from the retailer
4 with respect to such transaction; the amount of tax collected
5 from the purchaser by the retailer on such transaction (or
6 satisfactory evidence that such tax is not due in that
7 particular instance, if that is claimed to be the fact); the
8 place and date of the sale, a sufficient identification of
9 the property sold, and such other information as the
10 Department may reasonably require.
11 Such transaction reporting return shall be filed not
12 later than 20 days after the day of delivery of the item that
13 is being sold, but may be filed by the retailer at any time
14 sooner than that if he chooses to do so. The transaction
15 reporting return and tax remittance or proof of exemption
16 from the Illinois use tax may be transmitted to the
17 Department by way of the State agency with which, or State
18 officer with whom the tangible personal property must be
19 titled or registered (if titling or registration is required)
20 if the Department and such agency or State officer determine
21 that this procedure will expedite the processing of
22 applications for title or registration.
23 With each such transaction reporting return, the retailer
24 shall remit the proper amount of tax due (or shall submit
25 satisfactory evidence that the sale is not taxable if that is
26 the case), to the Department or its agents, whereupon the
27 Department shall issue, in the purchaser's name, a use tax
28 receipt (or a certificate of exemption if the Department is
29 satisfied that the particular sale is tax exempt) which such
30 purchaser may submit to the agency with which, or State
31 officer with whom, he must title or register the tangible
32 personal property that is involved (if titling or
33 registration is required) in support of such purchaser's
34 application for an Illinois certificate or other evidence of
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1 title or registration to such tangible personal property.
2 No retailer's failure or refusal to remit tax under this
3 Act precludes a user, who has paid the proper tax to the
4 retailer, from obtaining his certificate of title or other
5 evidence of title or registration (if titling or registration
6 is required) upon satisfying the Department that such user
7 has paid the proper tax (if tax is due) to the retailer. The
8 Department shall adopt appropriate rules to carry out the
9 mandate of this paragraph.
10 If the user who would otherwise pay tax to the retailer
11 wants the transaction reporting return filed and the payment
12 of the tax or proof of exemption made to the Department
13 before the retailer is willing to take these actions and such
14 user has not paid the tax to the retailer, such user may
15 certify to the fact of such delay by the retailer and may
16 (upon the Department being satisfied of the truth of such
17 certification) transmit the information required by the
18 transaction reporting return and the remittance for tax or
19 proof of exemption directly to the Department and obtain his
20 tax receipt or exemption determination, in which event the
21 transaction reporting return and tax remittance (if a tax
22 payment was required) shall be credited by the Department to
23 the proper retailer's account with the Department, but
24 without the 2.1% or 1.75% discount provided for in this
25 Section being allowed. When the user pays the tax directly
26 to the Department, he shall pay the tax in the same amount
27 and in the same form in which it would be remitted if the tax
28 had been remitted to the Department by the retailer.
29 Refunds made by the seller during the preceding return
30 period to purchasers, on account of tangible personal
31 property returned to the seller, shall be allowed as a
32 deduction under subdivision 5 of his monthly or quarterly
33 return, as the case may be, in case the seller had
34 theretofore included the receipts from the sale of such
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1 tangible personal property in a return filed by him and had
2 paid the tax imposed by this Act with respect to such
3 receipts.
4 Where the seller is a corporation, the return filed on
5 behalf of such corporation shall be signed by the president,
6 vice-president, secretary or treasurer or by the properly
7 accredited agent of such corporation.
8 Where the seller is a limited liability company, the
9 return filed on behalf of the limited liability company shall
10 be signed by a manager, member, or properly accredited agent
11 of the limited liability company.
12 Except as provided in this Section, the retailer filing
13 the return under this Section shall, at the time of filing
14 such return, pay to the Department the amount of tax imposed
15 by this Act less a discount of 2.1% prior to January 1, 1990
16 and 1.75% on and after January 1, 1990, or $5 per calendar
17 year, whichever is greater, which is allowed to reimburse the
18 retailer for the expenses incurred in keeping records,
19 preparing and filing returns, remitting the tax and supplying
20 data to the Department on request. Any prepayment made
21 pursuant to Section 2d of this Act shall be included in the
22 amount on which such 2.1% or 1.75% discount is computed. In
23 the case of retailers who report and pay the tax on a
24 transaction by transaction basis, as provided in this
25 Section, such discount shall be taken with each such tax
26 remittance instead of when such retailer files his periodic
27 return.
28 If the taxpayer's average monthly tax liability to the
29 Department under this Act, the Use Tax Act, the Service
30 Occupation Tax Act, and the Service Use Tax Act, excluding
31 any liability for prepaid sales tax to be remitted in
32 accordance with Section 2d of this Act, was $10,000 or more
33 during the preceding 4 complete calendar quarters, he shall
34 file a return with the Department each month by the 20th day
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1 of the month next following the month during which such tax
2 liability is incurred and shall make payments to the
3 Department on or before the 7th, 15th, 22nd and last day of
4 the month during which such liability is incurred. If the
5 month during which such tax liability is incurred began prior
6 to January 1, 1985, each payment shall be in an amount equal
7 to 1/4 of the taxpayer's actual liability for the month or an
8 amount set by the Department not to exceed 1/4 of the average
9 monthly liability of the taxpayer to the Department for the
10 preceding 4 complete calendar quarters (excluding the month
11 of highest liability and the month of lowest liability in
12 such 4 quarter period). If the month during which such tax
13 liability is incurred begins on or after January 1, 1985 and
14 prior to January 1, 1987, each payment shall be in an amount
15 equal to 22.5% of the taxpayer's actual liability for the
16 month or 27.5% of the taxpayer's liability for the same
17 calendar month of the preceding year. If the month during
18 which such tax liability is incurred begins on or after
19 January 1, 1987 and prior to January 1, 1988, each payment
20 shall be in an amount equal to 22.5% of the taxpayer's actual
21 liability for the month or 26.25% of the taxpayer's liability
22 for the same calendar month of the preceding year. If the
23 month during which such tax liability is incurred begins on
24 or after January 1, 1988, and prior to January 1, 1989, or
25 begins on or after January 1, 1996, each payment shall be in
26 an amount equal to 22.5% of the taxpayer's actual liability
27 for the month or 25% of the taxpayer's liability for the same
28 calendar month of the preceding year. If the month during
29 which such tax liability is incurred begins on or after
30 January 1, 1989, and prior to January 1, 1996, each payment
31 shall be in an amount equal to 22.5% of the taxpayer's actual
32 liability for the month or 25% of the taxpayer's liability
33 for the same calendar month of the preceding year or 100% of
34 the taxpayer's actual liability for the quarter monthly
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1 reporting period. The amount of such quarter monthly
2 payments shall be credited against the final tax liability of
3 the taxpayer's return for that month. Once applicable, the
4 requirement of the making of quarter monthly payments to the
5 Department by taxpayers having an average monthly tax
6 liability of $10,000 or more as determined in the manner
7 provided above shall continue until such taxpayer's average
8 monthly liability to the Department during the preceding 4
9 complete calendar quarters (excluding the month of highest
10 liability and the month of lowest liability) is less than
11 $9,000, or until such taxpayer's average monthly liability to
12 the Department as computed for each calendar quarter of the 4
13 preceding complete calendar quarter period is less than
14 $10,000. However, if a taxpayer can show the Department that
15 a substantial change in the taxpayer's business has occurred
16 which causes the taxpayer to anticipate that his average
17 monthly tax liability for the reasonably foreseeable future
18 will fall below $10,000, then such taxpayer may petition the
19 Department for a change in such taxpayer's reporting status.
20 The Department shall change such taxpayer's reporting status
21 unless it finds that such change is seasonal in nature and
22 not likely to be long term. If any such quarter monthly
23 payment is not paid at the time or in the amount required by
24 this Section, then the taxpayer shall be liable for penalties
25 and interest on the difference between the minimum amount due
26 as a payment and the amount of such quarter monthly payment
27 actually and timely paid, except insofar as the taxpayer has
28 previously made payments for that month to the Department in
29 excess of the minimum payments previously due as provided in
30 this Section. The Department shall make reasonable rules and
31 regulations to govern the quarter monthly payment amount and
32 quarter monthly payment dates for taxpayers who file on other
33 than a calendar monthly basis.
34 Without regard to whether a taxpayer is required to make
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1 quarter monthly payments as specified above, any taxpayer who
2 is required by Section 2d of this Act to collect and remit
3 prepaid taxes and has collected prepaid taxes which average
4 in excess of $25,000 per month during the preceding 2
5 complete calendar quarters, shall file a return with the
6 Department as required by Section 2f and shall make payments
7 to the Department on or before the 7th, 15th, 22nd and last
8 day of the month during which such liability is incurred. If
9 the month during which such tax liability is incurred began
10 prior to the effective date of this amendatory Act of 1985,
11 each payment shall be in an amount not less than 22.5% of the
12 taxpayer's actual liability under Section 2d. If the month
13 during which such tax liability is incurred begins on or
14 after January 1, 1986, each payment shall be in an amount
15 equal to 22.5% of the taxpayer's actual liability for the
16 month or 27.5% of the taxpayer's liability for the same
17 calendar month of the preceding calendar year. If the month
18 during which such tax liability is incurred begins on or
19 after January 1, 1987, each payment shall be in an amount
20 equal to 22.5% of the taxpayer's actual liability for the
21 month or 26.25% of the taxpayer's liability for the same
22 calendar month of the preceding year. The amount of such
23 quarter monthly payments shall be credited against the final
24 tax liability of the taxpayer's return for that month filed
25 under this Section or Section 2f, as the case may be. Once
26 applicable, the requirement of the making of quarter monthly
27 payments to the Department pursuant to this paragraph shall
28 continue until such taxpayer's average monthly prepaid tax
29 collections during the preceding 2 complete calendar quarters
30 is $25,000 or less. If any such quarter monthly payment is
31 not paid at the time or in the amount required, the taxpayer
32 shall be liable for penalties and interest on such
33 difference, except insofar as the taxpayer has previously
34 made payments for that month in excess of the minimum
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1 payments previously due.
2 If any payment provided for in this Section exceeds the
3 taxpayer's liabilities under this Act, the Use Tax Act, the
4 Service Occupation Tax Act and the Service Use Tax Act, as
5 shown on an original monthly return, the Department shall, if
6 requested by the taxpayer, issue to the taxpayer a credit
7 memorandum no later than 30 days after the date of payment.
8 The credit evidenced by such credit memorandum may be
9 assigned by the taxpayer to a similar taxpayer under this
10 Act, the Use Tax Act, the Service Occupation Tax Act or the
11 Service Use Tax Act, in accordance with reasonable rules and
12 regulations to be prescribed by the Department. If no such
13 request is made, the taxpayer may credit such excess payment
14 against tax liability subsequently to be remitted to the
15 Department under this Act, the Use Tax Act, the Service
16 Occupation Tax Act or the Service Use Tax Act, in accordance
17 with reasonable rules and regulations prescribed by the
18 Department. If the Department subsequently determined that
19 all or any part of the credit taken was not actually due to
20 the taxpayer, the taxpayer's 2.1% and 1.75% vendor's discount
21 shall be reduced by 2.1% or 1.75% of the difference between
22 the credit taken and that actually due, and that taxpayer
23 shall be liable for penalties and interest on such
24 difference.
25 If a retailer of motor fuel is entitled to a credit under
26 Section 2d of this Act which exceeds the taxpayer's liability
27 to the Department under this Act for the month which the
28 taxpayer is filing a return, the Department shall issue the
29 taxpayer a credit memorandum for the excess.
30 Beginning January 1, 1990, each month the Department
31 shall pay into the Local Government Tax Fund, a special fund
32 in the State treasury which is hereby created, the net
33 revenue realized for the preceding month from the 1% tax on
34 sales of food for human consumption which is to be consumed
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1 off the premises where it is sold (other than alcoholic
2 beverages, soft drinks and food which has been prepared for
3 immediate consumption) and prescription and nonprescription
4 medicines, drugs, medical appliances and insulin, urine
5 testing materials, syringes and needles used by diabetics.
6 Beginning January 1, 1990, each month the Department
7 shall pay into the County and Mass Transit District Fund, a
8 special fund in the State treasury which is hereby created,
9 4% of the net revenue realized for the preceding month from
10 the 6.25% general rate.
11 Beginning January 1, 2000, and so long as the rate
12 remains at 1.25%, each month the Department shall pay into
13 the County and Mass Transit District Fund 20% of the net
14 revenue realized for the preceding month from the 1.25% rate
15 on the proceeds of sales of motor fuel and gasohol.
16 Beginning January 1, 1990, each month the Department
17 shall pay into the Local Government Tax Fund 16% of the net
18 revenue realized for the preceding month from the 6.25%
19 general rate on the selling price of tangible personal
20 property.
21 Beginning January 1, 2000, and so long as the rate
22 remains at 1.25%, each month the Department shall pay into
23 the Local Government Tax Fund 80% of the net revenue realized
24 for the preceding month from the 1.25% rate on the proceeds
25 of sales of motor fuel and gasohol.
26 Of the remainder of the moneys received by the Department
27 pursuant to this Act, (a) 1.75% thereof shall be paid into
28 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
29 and on and after July 1, 1989, 3.8% thereof shall be paid
30 into the Build Illinois Fund; provided, however, that if in
31 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
32 as the case may be, of the moneys received by the Department
33 and required to be paid into the Build Illinois Fund pursuant
34 to this Act, Section 9 of the Use Tax Act, Section 9 of the
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1 Service Use Tax Act, and Section 9 of the Service Occupation
2 Tax Act, such Acts being hereinafter called the "Tax Acts"
3 and such aggregate of 2.2% or 3.8%, as the case may be, of
4 moneys being hereinafter called the "Tax Act Amount", and (2)
5 the amount transferred to the Build Illinois Fund from the
6 State and Local Sales Tax Reform Fund shall be less than the
7 Annual Specified Amount (as hereinafter defined), an amount
8 equal to the difference shall be immediately paid into the
9 Build Illinois Fund from other moneys received by the
10 Department pursuant to the Tax Acts; the "Annual Specified
11 Amount" means the amounts specified below for fiscal years
12 1986 through 1993:
13 Fiscal Year Annual Specified Amount
14 1986 $54,800,000
15 1987 $76,650,000
16 1988 $80,480,000
17 1989 $88,510,000
18 1990 $115,330,000
19 1991 $145,470,000
20 1992 $182,730,000
21 1993 $206,520,000;
22 and means the Certified Annual Debt Service Requirement (as
23 defined in Section 13 of the Build Illinois Bond Act) or the
24 Tax Act Amount, whichever is greater, for fiscal year 1994
25 and each fiscal year thereafter; and further provided, that
26 if on the last business day of any month the sum of (1) the
27 Tax Act Amount required to be deposited into the Build
28 Illinois Bond Account in the Build Illinois Fund during such
29 month and (2) the amount transferred to the Build Illinois
30 Fund from the State and Local Sales Tax Reform Fund shall
31 have been less than 1/12 of the Annual Specified Amount, an
32 amount equal to the difference shall be immediately paid into
33 the Build Illinois Fund from other moneys received by the
34 Department pursuant to the Tax Acts; and, further provided,
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1 that in no event shall the payments required under the
2 preceding proviso result in aggregate payments into the Build
3 Illinois Fund pursuant to this clause (b) for any fiscal year
4 in excess of the greater of (i) the Tax Act Amount or (ii)
5 the Annual Specified Amount for such fiscal year. The
6 amounts payable into the Build Illinois Fund under clause (b)
7 of the first sentence in this paragraph shall be payable only
8 until such time as the aggregate amount on deposit under each
9 trust indenture securing Bonds issued and outstanding
10 pursuant to the Build Illinois Bond Act is sufficient, taking
11 into account any future investment income, to fully provide,
12 in accordance with such indenture, for the defeasance of or
13 the payment of the principal of, premium, if any, and
14 interest on the Bonds secured by such indenture and on any
15 Bonds expected to be issued thereafter and all fees and costs
16 payable with respect thereto, all as certified by the
17 Director of the Bureau of the Budget. If on the last
18 business day of any month in which Bonds are outstanding
19 pursuant to the Build Illinois Bond Act, the aggregate of
20 moneys deposited in the Build Illinois Bond Account in the
21 Build Illinois Fund in such month shall be less than the
22 amount required to be transferred in such month from the
23 Build Illinois Bond Account to the Build Illinois Bond
24 Retirement and Interest Fund pursuant to Section 13 of the
25 Build Illinois Bond Act, an amount equal to such deficiency
26 shall be immediately paid from other moneys received by the
27 Department pursuant to the Tax Acts to the Build Illinois
28 Fund; provided, however, that any amounts paid to the Build
29 Illinois Fund in any fiscal year pursuant to this sentence
30 shall be deemed to constitute payments pursuant to clause (b)
31 of the first sentence of this paragraph and shall reduce the
32 amount otherwise payable for such fiscal year pursuant to
33 that clause (b). The moneys received by the Department
34 pursuant to this Act and required to be deposited into the
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1 Build Illinois Fund are subject to the pledge, claim and
2 charge set forth in Section 12 of the Build Illinois Bond
3 Act.
4 Subject to payment of amounts into the Build Illinois
5 Fund as provided in the preceding paragraph or in any
6 amendment thereto hereafter enacted, the following specified
7 monthly installment of the amount requested in the
8 certificate of the Chairman of the Metropolitan Pier and
9 Exposition Authority provided under Section 8.25f of the
10 State Finance Act, but not in excess of sums designated as
11 "Total Deposit", shall be deposited in the aggregate from
12 collections under Section 9 of the Use Tax Act, Section 9 of
13 the Service Use Tax Act, Section 9 of the Service Occupation
14 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
15 into the McCormick Place Expansion Project Fund in the
16 specified fiscal years.
17 Fiscal Year Total Deposit
18 1993 $0
19 1994 53,000,000
20 1995 58,000,000
21 1996 61,000,000
22 1997 64,000,000
23 1998 68,000,000
24 1999 71,000,000
25 2000 75,000,000
26 2001 80,000,000
27 2002 84,000,000
28 2003 89,000,000
29 2004 93,000,000
30 2005 97,000,000
31 2006 102,000,000
32 2007 and 106,000,000
33 each fiscal year
34 thereafter that bonds
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1 are outstanding under
2 Section 13.2 of the
3 Metropolitan Pier and
4 Exposition Authority
5 Act, but not after fiscal year 2029.
6 Beginning July 20, 1993 and in each month of each fiscal
7 year thereafter, one-eighth of the amount requested in the
8 certificate of the Chairman of the Metropolitan Pier and
9 Exposition Authority for that fiscal year, less the amount
10 deposited into the McCormick Place Expansion Project Fund by
11 the State Treasurer in the respective month under subsection
12 (g) of Section 13 of the Metropolitan Pier and Exposition
13 Authority Act, plus cumulative deficiencies in the deposits
14 required under this Section for previous months and years,
15 shall be deposited into the McCormick Place Expansion Project
16 Fund, until the full amount requested for the fiscal year,
17 but not in excess of the amount specified above as "Total
18 Deposit", has been deposited.
19 Subject to payment of amounts into the Build Illinois
20 Fund and the McCormick Place Expansion Project Fund pursuant
21 to the preceding paragraphs or in any amendment thereto
22 hereafter enacted, each month the Department shall pay into
23 the Local Government Distributive Fund 0.4% of the net
24 revenue realized for the preceding month from the 5% general
25 rate or 0.4% of 80% of the net revenue realized for the
26 preceding month from the 6.25% general rate, as the case may
27 be, on the selling price of tangible personal property which
28 amount shall, subject to appropriation, be distributed as
29 provided in Section 2 of the State Revenue Sharing Act. No
30 payments or distributions pursuant to this paragraph shall be
31 made if the tax imposed by this Act on photoprocessing
32 products is declared unconstitutional, or if the proceeds
33 from such tax are unavailable for distribution because of
34 litigation.
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1 Subject to payment of amounts into the Build Illinois
2 Fund, the McCormick Place Expansion Project to the preceding
3 paragraphs or in any amendments thereto hereafter enacted,
4 beginning July 1, 1993, the Department shall each month pay
5 into the Illinois Tax Increment Fund 0.27% of 80% of the net
6 revenue realized for the preceding month from the 6.25%
7 general rate on the selling price of tangible personal
8 property.
9 Of the remainder of the moneys received by the Department
10 pursuant to this Act, 75% thereof shall be paid into the
11 State Treasury and 25% shall be reserved in a special account
12 and used only for the transfer to the Common School Fund as
13 part of the monthly transfer from the General Revenue Fund in
14 accordance with Section 8a of the State Finance Act.
15 The Department may, upon separate written notice to a
16 taxpayer, require the taxpayer to prepare and file with the
17 Department on a form prescribed by the Department within not
18 less than 60 days after receipt of the notice an annual
19 information return for the tax year specified in the notice.
20 Such annual return to the Department shall include a
21 statement of gross receipts as shown by the retailer's last
22 Federal income tax return. If the total receipts of the
23 business as reported in the Federal income tax return do not
24 agree with the gross receipts reported to the Department of
25 Revenue for the same period, the retailer shall attach to his
26 annual return a schedule showing a reconciliation of the 2
27 amounts and the reasons for the difference. The retailer's
28 annual return to the Department shall also disclose the cost
29 of goods sold by the retailer during the year covered by such
30 return, opening and closing inventories of such goods for
31 such year, costs of goods used from stock or taken from stock
32 and given away by the retailer during such year, payroll
33 information of the retailer's business during such year and
34 any additional reasonable information which the Department
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1 deems would be helpful in determining the accuracy of the
2 monthly, quarterly or annual returns filed by such retailer
3 as provided for in this Section.
4 If the annual information return required by this Section
5 is not filed when and as required, the taxpayer shall be
6 liable as follows:
7 (i) Until January 1, 1994, the taxpayer shall be
8 liable for a penalty equal to 1/6 of 1% of the tax due
9 from such taxpayer under this Act during the period to be
10 covered by the annual return for each month or fraction
11 of a month until such return is filed as required, the
12 penalty to be assessed and collected in the same manner
13 as any other penalty provided for in this Act.
14 (ii) On and after January 1, 1994, the taxpayer
15 shall be liable for a penalty as described in Section 3-4
16 of the Uniform Penalty and Interest Act.
17 The chief executive officer, proprietor, owner or highest
18 ranking manager shall sign the annual return to certify the
19 accuracy of the information contained therein. Any person
20 who willfully signs the annual return containing false or
21 inaccurate information shall be guilty of perjury and
22 punished accordingly. The annual return form prescribed by
23 the Department shall include a warning that the person
24 signing the return may be liable for perjury.
25 The provisions of this Section concerning the filing of
26 an annual information return do not apply to a retailer who
27 is not required to file an income tax return with the United
28 States Government.
29 As soon as possible after the first day of each month,
30 upon certification of the Department of Revenue, the
31 Comptroller shall order transferred and the Treasurer shall
32 transfer from the General Revenue Fund to the Motor Fuel Tax
33 Fund an amount equal to 1.7% of 80% of the net revenue
34 realized under this Act for the second preceding month;
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1 except that this transfer shall not be made for the months
2 February through June, 1992.
3 Net revenue realized for a month shall be the revenue
4 collected by the State pursuant to this Act, less the amount
5 paid out during that month as refunds to taxpayers for
6 overpayment of liability.
7 For greater simplicity of administration, manufacturers,
8 importers and wholesalers whose products are sold at retail
9 in Illinois by numerous retailers, and who wish to do so, may
10 assume the responsibility for accounting and paying to the
11 Department all tax accruing under this Act with respect to
12 such sales, if the retailers who are affected do not make
13 written objection to the Department to this arrangement.
14 Any person who promotes, organizes, provides retail
15 selling space for concessionaires or other types of sellers
16 at the Illinois State Fair, DuQuoin State Fair, county fairs,
17 local fairs, art shows, flea markets and similar exhibitions
18 or events, including any transient merchant as defined by
19 Section 2 of the Transient Merchant Act of 1987, is required
20 to file a report with the Department providing the name of
21 the merchant's business, the name of the person or persons
22 engaged in merchant's business, the permanent address and
23 Illinois Retailers Occupation Tax Registration Number of the
24 merchant, the dates and location of the event and other
25 reasonable information that the Department may require. The
26 report must be filed not later than the 20th day of the month
27 next following the month during which the event with retail
28 sales was held. Any person who fails to file a report
29 required by this Section commits a business offense and is
30 subject to a fine not to exceed $250.
31 Any person engaged in the business of selling tangible
32 personal property at retail as a concessionaire or other type
33 of seller at the Illinois State Fair, county fairs, art
34 shows, flea markets and similar exhibitions or events, or any
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1 transient merchants, as defined by Section 2 of the Transient
2 Merchant Act of 1987, may be required to make a daily report
3 of the amount of such sales to the Department and to make a
4 daily payment of the full amount of tax due. The Department
5 shall impose this requirement when it finds that there is a
6 significant risk of loss of revenue to the State at such an
7 exhibition or event. Such a finding shall be based on
8 evidence that a substantial number of concessionaires or
9 other sellers who are not residents of Illinois will be
10 engaging in the business of selling tangible personal
11 property at retail at the exhibition or event, or other
12 evidence of a significant risk of loss of revenue to the
13 State. The Department shall notify concessionaires and other
14 sellers affected by the imposition of this requirement. In
15 the absence of notification by the Department, the
16 concessionaires and other sellers shall file their returns as
17 otherwise required in this Section.
18 (Source: P.A. 89-89, eff. 6-30-95; 89-235, eff. 8-4-95;
19 89-379, eff. 1-1-96; 89-626, eff. 8-9-96; 90-491, eff.
20 1-1-99; 90-612, eff. 7-8-98.)
21 Section 23. The Motor Fuel Tax Law is amended by
22 changing Section 13a as follows:
23 (35 ILCS 505/13a) (from Ch. 120, par. 429a)
24 Sec. 13a. Commercial vehicle; motor fuel use tax.
25 (1) A tax is hereby imposed upon the use of motor fuel
26 upon highways of this State by commercial motor vehicles. The
27 tax shall be comprised of 2 parts. Part (a) shall be at the
28 rate established by Section 2 of this Act, as heretofore or
29 hereafter amended. Part (b) shall be at the rate established
30 by subsection (2) of this Section as now or hereafter
31 amended.
32 (2) A rate shall be established by the Department as of
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1 January 1 of each year using the average "selling price", as
2 defined in the Retailers' Occupation Tax Act, per gallon of
3 motor fuel sold in this State during the previous 12 months
4 and multiplying it by the general rate imposed by the
5 Retailers' Occupation Tax Act 6 1/4% to determine the cents
6 per gallon rate.
7 (Source: P.A. 88-480.)
8 Section 25. The Counties Code is amended by changing
9 Sections 5-1006, 5-1006.5, 5-1007, and 5-1035.1 as follows:
10 (55 ILCS 5/5-1006) (from Ch. 34, par. 5-1006)
11 Sec. 5-1006. Home Rule County Retailers' Occupation Tax
12 Law. Any county that is a home rule unit may impose a tax
13 upon all persons engaged in the business of selling tangible
14 personal property, other than an item of tangible personal
15 property titled or registered with an agency of this State's
16 government, at retail in the county on the gross receipts
17 from such sales made in the course of their business. If
18 imposed, this tax shall only be imposed in 1/4% increments.
19 On and after September 1, 1991, this additional tax may not
20 be imposed on the sales of food for human consumption which
21 is to be consumed off the premises where it is sold (other
22 than alcoholic beverages, soft drinks and food which has been
23 prepared for immediate consumption) and prescription and
24 nonprescription medicines, drugs, medical appliances and
25 insulin, urine testing materials, syringes and needles used
26 by diabetics. The tax imposed by a home rule county pursuant
27 to this Section and all civil penalties that may be assessed
28 as an incident thereof shall be collected and enforced by the
29 State Department of Revenue. The certificate of registration
30 that is issued by the Department to a retailer under the
31 Retailers' Occupation Tax Act shall permit the retailer to
32 engage in a business that is taxable under any ordinance or
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1 resolution enacted pursuant to this Section without
2 registering separately with the Department under such
3 ordinance or resolution or under this Section. The
4 Department shall have full power to administer and enforce
5 this Section; to collect all taxes and penalties due
6 hereunder; to dispose of taxes and penalties so collected in
7 the manner hereinafter provided; and to determine all rights
8 to credit memoranda arising on account of the erroneous
9 payment of tax or penalty hereunder. In the administration
10 of, and compliance with, this Section, the Department and
11 persons who are subject to this Section shall have the same
12 rights, remedies, privileges, immunities, powers and duties,
13 and be subject to the same conditions, restrictions,
14 limitations, penalties and definitions of terms, and employ
15 the same modes of procedure, as are prescribed in Sections 1,
16 1a, 1a-1, 1d, 1e, 1f, 1i, 1j, 1k, 1m, 1n, 2 through 2-65 (in
17 respect to all provisions therein other than the State rate
18 of tax), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k,
19 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12 and 13 of the
20 Retailers' Occupation Tax Act and Section 3-7 of the Uniform
21 Penalty and Interest Act, as fully as if those provisions
22 were set forth herein.
23 No tax may be imposed by a home rule county pursuant to
24 this Section unless the county also imposes a tax at the same
25 rate pursuant to Section 5-1007.
26 A home rule county that has not imposed a tax under this
27 Section on the gross receipts from the sale of motor fuel or
28 gasohol before the effective date of this amendatory Act of
29 the 91st General Assembly shall not impose such a tax on or
30 after that date. A home rule county that has imposed a tax
31 under this Section on the gross receipts from the sale of
32 motor fuel or gasohol before the effective date of this
33 amendatory Act of the 91st General Assembly shall not
34 increase the rate of the tax on or after that date. This
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1 amendatory Act of the 91st General Assembly is a denial and
2 limitation of home rule powers to tax under subsection (g) of
3 Section 6 of Article VII of the Illinois Constitution.
4 Persons subject to any tax imposed pursuant to the
5 authority granted in this Section may reimburse themselves
6 for their seller's tax liability hereunder by separately
7 stating such tax as an additional charge, which charge may be
8 stated in combination, in a single amount, with State tax
9 which sellers are required to collect under the Use Tax Act,
10 pursuant to such bracket schedules as the Department may
11 prescribe.
12 Whenever the Department determines that a refund should
13 be made under this Section to a claimant instead of issuing a
14 credit memorandum, the Department shall notify the State
15 Comptroller, who shall cause the order to be drawn for the
16 amount specified and to the person named in the notification
17 from the Department. The refund shall be paid by the State
18 Treasurer out of the home rule county retailers' occupation
19 tax fund.
20 The Department shall forthwith pay over to the State
21 Treasurer, ex officio, as trustee, all taxes and penalties
22 collected hereunder. On or before the 25th day of each
23 calendar month, the Department shall prepare and certify to
24 the Comptroller the disbursement of stated sums of money to
25 named counties, the counties to be those from which retailers
26 have paid taxes or penalties hereunder to the Department
27 during the second preceding calendar month. The amount to be
28 paid to each county shall be the amount (not including credit
29 memoranda) collected hereunder during the second preceding
30 calendar month by the Department plus an amount the
31 Department determines is necessary to offset any amounts that
32 were erroneously paid to a different taxing body, and not
33 including an amount equal to the amount of refunds made
34 during the second preceding calendar month by the Department
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1 on behalf of such county, and not including any amount which
2 the Department determines is necessary to offset any amounts
3 which were payable to a different taxing body but were
4 erroneously paid to the county. Within 10 days after receipt,
5 by the Comptroller, of the disbursement certification to the
6 counties provided for in this Section to be given to the
7 Comptroller by the Department, the Comptroller shall cause
8 the orders to be drawn for the respective amounts in
9 accordance with the directions contained in the
10 certification.
11 In addition to the disbursement required by the preceding
12 paragraph, an allocation shall be made in March of each year
13 to each county that received more than $500,000 in
14 disbursements under the preceding paragraph in the preceding
15 calendar year. The allocation shall be in an amount equal to
16 the average monthly distribution made to each such county
17 under the preceding paragraph during the preceding calendar
18 year (excluding the 2 months of highest receipts). The
19 distribution made in March of each year subsequent to the
20 year in which an allocation was made pursuant to this
21 paragraph and the preceding paragraph shall be reduced by the
22 amount allocated and disbursed under this paragraph in the
23 preceding calendar year. The Department shall prepare and
24 certify to the Comptroller for disbursement the allocations
25 made in accordance with this paragraph.
26 For the purpose of determining the local governmental
27 unit whose tax is applicable, a retail sale by a producer of
28 coal or other mineral mined in Illinois is a sale at retail
29 at the place where the coal or other mineral mined in
30 Illinois is extracted from the earth. This paragraph does
31 not apply to coal or other mineral when it is delivered or
32 shipped by the seller to the purchaser at a point outside
33 Illinois so that the sale is exempt under the United States
34 Constitution as a sale in interstate or foreign commerce.
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1 Nothing in this Section shall be construed to authorize a
2 county to impose a tax upon the privilege of engaging in any
3 business which under the Constitution of the United States
4 may not be made the subject of taxation by this State.
5 An ordinance or resolution imposing or discontinuing a
6 tax hereunder or effecting a change in the rate thereof shall
7 be adopted and a certified copy thereof filed with the
8 Department on or before the first day of June, whereupon the
9 Department shall proceed to administer and enforce this
10 Section as of the first day of September next following such
11 adoption and filing. Beginning January 1, 1992, an ordinance
12 or resolution imposing or discontinuing the tax hereunder or
13 effecting a change in the rate thereof shall be adopted and a
14 certified copy thereof filed with the Department on or before
15 the first day of July, whereupon the Department shall proceed
16 to administer and enforce this Section as of the first day of
17 October next following such adoption and filing. Beginning
18 January 1, 1993, an ordinance or resolution imposing or
19 discontinuing the tax hereunder or effecting a change in the
20 rate thereof shall be adopted and a certified copy thereof
21 filed with the Department on or before the first day of
22 October, whereupon the Department shall proceed to administer
23 and enforce this Section as of the first day of January next
24 following such adoption and filing. Beginning April 1, 1998,
25 an ordinance or resolution imposing or discontinuing the tax
26 hereunder or effecting a change in the rate thereof shall
27 either (i) be adopted and a certified copy thereof filed with
28 the Department on or before the first day of April, whereupon
29 the Department shall proceed to administer and enforce this
30 Section as of the first day of July next following the
31 adoption and filing; or (ii) be adopted and a certified copy
32 thereof filed with the Department on or before the first day
33 of October, whereupon the Department shall proceed to
34 administer and enforce this Section as of the first day of
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1 January next following the adoption and filing.
2 When certifying the amount of a monthly disbursement to a
3 county under this Section, the Department shall increase or
4 decrease such amount by an amount necessary to offset any
5 misallocation of previous disbursements. The offset amount
6 shall be the amount erroneously disbursed within the previous
7 6 months from the time a misallocation is discovered.
8 This Section shall be known and may be cited as the Home
9 Rule County Retailers' Occupation Tax Law.
10 (Source: P.A. 90-689, eff. 7-31-98.)
11 (55 ILCS 5/5-1006.5)
12 Sec. 5-1006.5. Special County Retailers' Occupation Tax
13 For Public Safety Law.
14 (a) The county board of any county may impose a tax upon
15 all persons engaged in the business of selling tangible
16 personal property, other than personal property titled or
17 registered with an agency of this State's government, at
18 retail in the county on the gross receipts from the sales
19 made in the course of business to provide revenue to be used
20 exclusively for public safety purposes in that county, if a
21 proposition for the tax has been submitted to the electors of
22 that county and approved by a majority of those voting on the
23 question. If imposed, this tax shall be imposed only in
24 one-quarter percent increments. By resolution, the county
25 board may order the proposition to be submitted at any
26 election. The county clerk shall certify the question to the
27 proper election authority, who shall submit the proposition
28 at an election in accordance with the general election law.
29 The proposition shall be in substantially the following
30 form:
31 "Shall (name of county) be authorized to impose a
32 public safety tax at the rate of .... upon all persons
33 engaged in the business of selling tangible personal
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1 property at retail in the county on gross receipts from
2 the sales made in the course of their business to be used
3 for crime prevention, detention, and other public safety
4 purposes?"
5 Votes shall be recorded as Yes or No. If a majority of the
6 electors voting on the proposition vote in favor of it, the
7 county may impose the tax.
8 This additional tax may not be imposed on the sales of
9 food for human consumption that is to be consumed off the
10 premises where it is sold (other than alcoholic beverages,
11 soft drinks, and food which has been prepared for immediate
12 consumption) and prescription and non-prescription medicines,
13 drugs, medical appliances and insulin, urine testing
14 materials, syringes, and needles used by diabetics. The tax
15 imposed by a county under this Section and all civil
16 penalties that may be assessed as an incident of the tax
17 shall be collected and enforced by the Illinois Department of
18 Revenue. The certificate of registration that is issued by
19 the Department to a retailer under the Retailers' Occupation
20 Tax Act shall permit the retailer to engage in a business
21 that is taxable without registering separately with the
22 Department under an ordinance or resolution under this
23 Section. The Department has full power to administer and
24 enforce this Section, to collect all taxes and penalties due
25 under this Section, to dispose of taxes and penalties so
26 collected in the manner provided in this Section, and to
27 determine all rights to credit memoranda arising on account
28 of the erroneous payment of a tax or penalty under this
29 Section. In the administration of and compliance with this
30 Section, the Department and persons who are subject to this
31 Section shall (i) have the same rights, remedies, privileges,
32 immunities, powers, and duties, (ii) be subject to the same
33 conditions, restrictions, limitations, penalties, and
34 definitions of terms, and (iii) employ the same modes of
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1 procedure as are prescribed in Sections 1, 1a, 1a-1, 1d, 1e,
2 1f, 1i, 1j, 1k, 1m, 1n, 2, 2-5, 2-5.5, 2-10 (in respect to
3 all provisions contained in those Sections other than the
4 State rate of tax), 2-15 through 2-70, 2a, 2b, 2c, 3 (except
5 provisions relating to transaction returns and quarter
6 monthly payments), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i,
7 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 11a, 12, and 13
8 of the Retailers' Occupation Tax Act and Section 3-7 of the
9 Uniform Penalty and Interest Act as if those provisions were
10 set forth in this Section.
11 A county that has not imposed a tax under this subsection
12 on the gross receipts from the sale of motor fuel or gasohol
13 before the effective date of this amendatory Act of the 91st
14 General Assembly shall not impose such a tax on or after that
15 date. A county that has imposed a tax under this subsection
16 on the gross receipts from the sale of motor fuel or gasohol
17 before the effective date of this amendatory Act of the 91st
18 General Assembly shall not increase the rate of the tax on or
19 after that date.
20 Persons subject to any tax imposed under the authority
21 granted in this Section may reimburse themselves for their
22 sellers' tax liability by separately stating the tax as an
23 additional charge, which charge may be stated in combination,
24 in a single amount, with State tax which sellers are required
25 to collect under the Use Tax Act, pursuant to such bracketed
26 schedules as the Department may prescribe.
27 Whenever the Department determines that a refund should
28 be made under this Section to a claimant instead of issuing a
29 credit memorandum, the Department shall notify the State
30 Comptroller, who shall cause the order to be drawn for the
31 amount specified and to the person named in the notification
32 from the Department. The refund shall be paid by the State
33 Treasurer out of the County Public Safety Retailers'
34 Occupation Tax Fund.
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1 (b) If a tax has been imposed under subsection (a), a
2 service occupation tax shall also be imposed at the same rate
3 upon all persons engaged, in the county, in the business of
4 making sales of service, who, as an incident to making those
5 sales of service, transfer tangible personal property within
6 the county as an incident to a sale of service. This tax may
7 not be imposed on sales of food for human consumption that is
8 to be consumed off the premises where it is sold (other than
9 alcoholic beverages, soft drinks, and food prepared for
10 immediate consumption) and prescription and non-prescription
11 medicines, drugs, medical appliances and insulin, urine
12 testing materials, syringes, and needles used by diabetics.
13 The tax imposed under this subsection and all civil penalties
14 that may be assessed as an incident thereof shall be
15 collected and enforced by the Department of Revenue. The
16 Department has full power to administer and enforce this
17 subsection; to collect all taxes and penalties due hereunder;
18 to dispose of taxes and penalties so collected in the manner
19 hereinafter provided; and to determine all rights to credit
20 memoranda arising on account of the erroneous payment of tax
21 or penalty hereunder. In the administration of, and
22 compliance with this subsection, the Department and persons
23 who are subject to this paragraph shall (i) have the same
24 rights, remedies, privileges, immunities, powers, and duties,
25 (ii) be subject to the same conditions, restrictions,
26 limitations, penalties, exclusions, exemptions, and
27 definitions of terms, and (iii) employ the same modes of
28 procedure as are prescribed in Sections 2 (except that the
29 reference to State in the definition of supplier maintaining
30 a place of business in this State shall mean the county), 2a,
31 2b, 2c, 3 through 3-50 (in respect to all provisions therein
32 other than the State rate of tax), 4 (except that the
33 reference to the State shall be to the county), 5, 7, 8
34 (except that the jurisdiction to which the tax shall be a
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1 debt to the extent indicated in that Section 8 shall be the
2 county), 9 (except as to the disposition of taxes and
3 penalties collected), 10, 11, 12 (except the reference
4 therein to Section 2b of the Retailers' Occupation Tax Act),
5 13 (except that any reference to the State shall mean the
6 county), Section 15, 16, 17, 18, 19 and 20 of the Service
7 Occupation Tax Act and Section 3-7 of the Uniform Penalty and
8 Interest Act, as fully as if those provisions were set forth
9 herein.
10 A county that has not imposed a tax under this subsection
11 on the cost price of motor fuel or gasohol before the
12 effective date of this amendatory Act of the 91st General
13 Assembly shall not impose such a tax on or after that date.
14 A county that has imposed a tax under this subsection on the
15 cost price of motor fuel or gasohol before the effective date
16 of this amendatory Act of the 91st General Assembly shall not
17 increase the rate of the tax on or after that date.
18 Persons subject to any tax imposed under the authority
19 granted in this subsection may reimburse themselves for their
20 serviceman's tax liability by separately stating the tax as
21 an additional charge, which charge may be stated in
22 combination, in a single amount, with State tax that
23 servicemen are authorized to collect under the Service Use
24 Tax Act, in accordance with such bracket schedules as the
25 Department may prescribe.
26 Whenever the Department determines that a refund should
27 be made under this subsection to a claimant instead of
28 issuing a credit memorandum, the Department shall notify the
29 State Comptroller, who shall cause the warrant to be drawn
30 for the amount specified, and to the person named, in the
31 notification from the Department. The refund shall be paid
32 by the State Treasurer out of the County Public Safety
33 Retailers' Occupation Fund.
34 Nothing in this subsection shall be construed to
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1 authorize the county to impose a tax upon the privilege of
2 engaging in any business which under the Constitution of the
3 United States may not be made the subject of taxation by the
4 State.
5 (c) The Department shall immediately pay over to the
6 State Treasurer, ex officio, as trustee, all taxes and
7 penalties collected under this Section to be deposited into
8 the County Public Safety Retailers' Occupation Tax Fund,
9 which shall be an unappropriated trust fund held outside of
10 the State treasury. On or before the 25th day of each
11 calendar month, the Department shall prepare and certify to
12 the Comptroller the disbursement of stated sums of money to
13 the counties from which retailers have paid taxes or
14 penalties to the Department during the second preceding
15 calendar month. The amount to be paid to each county shall
16 be the amount (not including credit memoranda) collected
17 under this Section during the second preceding calendar month
18 by the Department plus an amount the Department determines is
19 necessary to offset any amounts that were erroneously paid to
20 a different taxing body, and not including (i) an amount
21 equal to the amount of refunds made during the second
22 preceding calendar month by the Department on behalf of the
23 county and (ii) any amount that the Department determines is
24 necessary to offset any amounts that were payable to a
25 different taxing body but were erroneously paid to the
26 county. Within 10 days after receipt by the Comptroller of
27 the disbursement certification to the counties provided for
28 in this Section to be given to the Comptroller by the
29 Department, the Comptroller shall cause the orders to be
30 drawn for the respective amounts in accordance with
31 directions contained in the certification.
32 In addition to the disbursement required by the preceding
33 paragraph, an allocation shall be made in March of each year
34 to each county that received more than $500,000 in
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1 disbursements under the preceding paragraph in the preceding
2 calendar year. The allocation shall be in an amount equal to
3 the average monthly distribution made to each such county
4 under the preceding paragraph during the preceding calendar
5 year (excluding the 2 months of highest receipts). The
6 distribution made in March of each year subsequent to the
7 year in which an allocation was made pursuant to this
8 paragraph and the preceding paragraph shall be reduced by the
9 amount allocated and disbursed under this paragraph in the
10 preceding calendar year. The Department shall prepare and
11 certify to the Comptroller for disbursement the allocations
12 made in accordance with this paragraph.
13 (d) For the purpose of determining the local
14 governmental unit whose tax is applicable, a retail sale by a
15 producer of coal or another mineral mined in Illinois is a
16 sale at retail at the place where the coal or other mineral
17 mined in Illinois is extracted from the earth. This
18 paragraph does not apply to coal or another mineral when it
19 is delivered or shipped by the seller to the purchaser at a
20 point outside Illinois so that the sale is exempt under the
21 United States Constitution as a sale in interstate or foreign
22 commerce.
23 (e) Nothing in this Section shall be construed to
24 authorize a county to impose a tax upon the privilege of
25 engaging in any business that under the Constitution of the
26 United States may not be made the subject of taxation by this
27 State.
28 (e-5) If a county imposes a tax under this Section, the
29 county board may, by ordinance, discontinue or lower the rate
30 of the tax. If the county board lowers the tax rate or
31 discontinues the tax, a referendum must be held in accordance
32 with subsection (a) of this Section in order to increase the
33 rate of the tax or to reimpose the discontinued tax.
34 (f) Beginning April 1, 1998, the results of any election
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1 authorizing a proposition to impose a tax under this Section
2 or effecting a change in the rate of tax, or any ordinance
3 lowering the rate or discontinuing the tax, shall be
4 certified by the county clerk and filed with the Illinois
5 Department of Revenue either (i) on or before the first day
6 of April, whereupon the Department shall proceed to
7 administer and enforce the tax as of the first day of July
8 next following the filing; or (ii) on or before the first day
9 of October, whereupon the Department shall proceed to
10 administer and enforce the tax as of the first day of January
11 next following the filing.
12 (g) When certifying the amount of a monthly disbursement
13 to a county under this Section, the Department shall increase
14 or decrease the amounts by an amount necessary to offset any
15 miscalculation of previous disbursements. The offset amount
16 shall be the amount erroneously disbursed within the previous
17 6 months from the time a miscalculation is discovered.
18 (h) This Section may be cited as the "Special County
19 Occupation Tax For Public Safety Law".
20 (i) For purposes of this Section, "public safety"
21 includes but is not limited to fire fighting, police,
22 medical, ambulance, or other emergency services.
23 (j) This amendatory Act of the 91st General Assembly is
24 a denial and limitation of home rule powers to tax under
25 subsection (g) of Section 6 of Article VII of the Illinois
26 Constitution.
27 (Source: P.A. 89-107, eff. 1-1-96; 89-718, eff. 3-7-97;
28 90-190, eff. 7-24-97; 90-267, eff. 7-30-97; 90-552, eff.
29 12-12-97; 90-562, eff. 12-16-97; 90-655, eff. 7-30-98;
30 90-689, eff. 7-31-98.)
31 (55 ILCS 5/5-1007) (from Ch. 34, par. 5-1007)
32 Sec. 5-1007. Home Rule County Service Occupation Tax
33 Law. The corporate authorities of a home rule county may
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1 impose a tax upon all persons engaged, in such county, in the
2 business of making sales of service at the same rate of tax
3 imposed pursuant to Section 5-1006 of the selling price of
4 all tangible personal property transferred by such servicemen
5 either in the form of tangible personal property or in the
6 form of real estate as an incident to a sale of service. If
7 imposed, such tax shall only be imposed in 1/4% increments.
8 On and after September 1, 1991, this additional tax may not
9 be imposed on the sales of food for human consumption which
10 is to be consumed off the premises where it is sold (other
11 than alcoholic beverages, soft drinks and food which has been
12 prepared for immediate consumption) and prescription and
13 nonprescription medicines, drugs, medical appliances and
14 insulin, urine testing materials, syringes and needles used
15 by diabetics. The tax imposed by a home rule county pursuant
16 to this Section and all civil penalties that may be assessed
17 as an incident thereof shall be collected and enforced by the
18 State Department of Revenue. The certificate of registration
19 which is issued by the Department to a retailer under the
20 Retailers' Occupation Tax Act or under the Service Occupation
21 Tax Act shall permit such registrant to engage in a business
22 which is taxable under any ordinance or resolution enacted
23 pursuant to this Section without registering separately with
24 the Department under such ordinance or resolution or under
25 this Section. The Department shall have full power to
26 administer and enforce this Section; to collect all taxes and
27 penalties due hereunder; to dispose of taxes and penalties so
28 collected in the manner hereinafter provided; and to
29 determine all rights to credit memoranda arising on account
30 of the erroneous payment of tax or penalty hereunder. In the
31 administration of, and compliance with, this Section the
32 Department and persons who are subject to this Section shall
33 have the same rights, remedies, privileges, immunities,
34 powers and duties, and be subject to the same conditions,
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1 restrictions, limitations, penalties and definitions of
2 terms, and employ the same modes of procedure, as are
3 prescribed in Sections 1a-1, 2, 2a, 3 through 3-50 (in
4 respect to all provisions therein other than the State rate
5 of tax), 4 (except that the reference to the State shall be
6 to the taxing county), 5, 7, 8 (except that the jurisdiction
7 to which the tax shall be a debt to the extent indicated in
8 that Section 8 shall be the taxing county), 9 (except as to
9 the disposition of taxes and penalties collected, and except
10 that the returned merchandise credit for this county tax may
11 not be taken against any State tax), 10, 11, 12 (except the
12 reference therein to Section 2b of the Retailers' Occupation
13 Tax Act), 13 (except that any reference to the State shall
14 mean the taxing county), the first paragraph of Section 15,
15 16, 17, 18, 19 and 20 of the Service Occupation Tax Act and
16 Section 3-7 of the Uniform Penalty and Interest Act, as fully
17 as if those provisions were set forth herein.
18 No tax may be imposed by a home rule county pursuant to
19 this Section unless such county also imposes a tax at the
20 same rate pursuant to Section 5-1006.
21 A home rule county that has not imposed a tax under this
22 Section on the selling price of motor fuel or gasohol before
23 the effective date of this amendatory Act of the 91st General
24 Assembly shall not impose such a tax on or after that date. A
25 home rule county that has imposed a tax under this Section on
26 the selling price motor fuel or gasohol before the effective
27 date of this amendatory Act of the 91st General Assembly
28 shall not increase the rate of the tax on or after that date.
29 This amendatory Act of the 91st General Assembly is denial
30 and limitation of home rule powers to tax under subsection
31 (g) of Section 6 of Article VII of the Illinois Constitution.
32
33 Persons subject to any tax imposed pursuant to the
34 authority granted in this Section may reimburse themselves
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1 for their serviceman's tax liability hereunder by separately
2 stating such tax as an additional charge, which charge may be
3 stated in combination, in a single amount, with State tax
4 which servicemen are authorized to collect under the Service
5 Use Tax Act, pursuant to such bracket schedules as the
6 Department may prescribe.
7 Whenever the Department determines that a refund should
8 be made under this Section to a claimant instead of issuing
9 credit memorandum, the Department shall notify the State
10 Comptroller, who shall cause the order to be drawn for the
11 amount specified, and to the person named, in such
12 notification from the Department. Such refund shall be paid
13 by the State Treasurer out of the home rule county retailers'
14 occupation tax fund.
15 The Department shall forthwith pay over to the State
16 Treasurer, ex-officio, as trustee, all taxes and penalties
17 collected hereunder. On or before the 25th day of each
18 calendar month, the Department shall prepare and certify to
19 the Comptroller the disbursement of stated sums of money to
20 named counties, the counties to be those from which suppliers
21 and servicemen have paid taxes or penalties hereunder to the
22 Department during the second preceding calendar month. The
23 amount to be paid to each county shall be the amount (not
24 including credit memoranda) collected hereunder during the
25 second preceding calendar month by the Department, and not
26 including an amount equal to the amount of refunds made
27 during the second preceding calendar month by the Department
28 on behalf of such county. Within 10 days after receipt, by
29 the Comptroller, of the disbursement certification to the
30 counties provided for in this Section to be given to the
31 Comptroller by the Department, the Comptroller shall cause
32 the orders to be drawn for the respective amounts in
33 accordance with the directions contained in such
34 certification.
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1 In addition to the disbursement required by the preceding
2 paragraph, an allocation shall be made in each year to each
3 county which received more than $500,000 in disbursements
4 under the preceding paragraph in the preceding calendar year.
5 The allocation shall be in an amount equal to the average
6 monthly distribution made to each such county under the
7 preceding paragraph during the preceding calendar year
8 (excluding the 2 months of highest receipts). The
9 distribution made in March of each year subsequent to the
10 year in which an allocation was made pursuant to this
11 paragraph and the preceding paragraph shall be reduced by the
12 amount allocated and disbursed under this paragraph in the
13 preceding calendar year. The Department shall prepare and
14 certify to the Comptroller for disbursement the allocations
15 made in accordance with this paragraph.
16 Nothing in this Section shall be construed to authorize a
17 county to impose a tax upon the privilege of engaging in any
18 business which under the Constitution of the United States
19 may not be made the subject of taxation by this State.
20 An ordinance or resolution imposing or discontinuing a
21 tax hereunder or effecting a change in the rate thereof shall
22 be adopted and a certified copy thereof filed with the
23 Department on or before the first day of June, whereupon the
24 Department shall proceed to administer and enforce this
25 Section as of the first day of September next following such
26 adoption and filing. Beginning January 1, 1992, an ordinance
27 or resolution imposing or discontinuing the tax hereunder or
28 effecting a change in the rate thereof shall be adopted and a
29 certified copy thereof filed with the Department on or before
30 the first day of July, whereupon the Department shall proceed
31 to administer and enforce this Section as of the first day of
32 October next following such adoption and filing. Beginning
33 January 1, 1993, an ordinance or resolution imposing or
34 discontinuing the tax hereunder or effecting a change in the
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1 rate thereof shall be adopted and a certified copy thereof
2 filed with the Department on or before the first day of
3 October, whereupon the Department shall proceed to administer
4 and enforce this Section as of the first day of January next
5 following such adoption and filing. Beginning April 1, 1998,
6 an ordinance or resolution imposing or discontinuing the tax
7 hereunder or effecting a change in the rate thereof shall
8 either (i) be adopted and a certified copy thereof filed with
9 the Department on or before the first day of April, whereupon
10 the Department shall proceed to administer and enforce this
11 Section as of the first day of July next following the
12 adoption and filing; or (ii) be adopted and a certified copy
13 thereof filed with the Department on or before the first day
14 of October, whereupon the Department shall proceed to
15 administer and enforce this Section as of the first day of
16 January next following the adoption and filing.
17 This Section shall be known and may be cited as the Home
18 Rule County Service Occupation Tax Law.
19 (Source: P.A. 90-689, eff. 7-31-98.)
20 (55 ILCS 5/5-1035.1) (from Ch. 34, par. 5-1035.1)
21 Sec. 5-1035.1. County Motor Fuel Tax Law. The county
22 board of the counties of DuPage, Kane and McHenry may, by an
23 ordinance or resolution adopted by an affirmative vote of a
24 majority of the members elected or appointed to the county
25 board, impose a tax upon all persons engaged in the county in
26 the business of selling motor fuel, as now or hereafter
27 defined in the Motor Fuel Tax Law, at retail for the
28 operation of motor vehicles upon public highways or for the
29 operation of recreational watercraft upon waterways. Kane
30 County may exempt diesel fuel from the tax imposed pursuant
31 to this Section. The tax may be imposed, in half-cent
32 increments, at a rate not exceeding 4 cents per gallon of
33 motor fuel sold at retail within the county for the purpose
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1 of use or consumption and not for the purpose of resale. The
2 proceeds from the tax shall be used by the county solely for
3 the purpose of operating, constructing and improving public
4 highways and waterways, and acquiring real property and
5 right-of-ways for public highways and waterways within the
6 county imposing the tax.
7 A county that has not imposed a tax under this Section
8 before the effective date of this amendatory Act of the 91st
9 General Assembly shall not impose such a tax on or after that
10 date. A county that has imposed a tax under this Section
11 before the effective date of this amendatory Act of the 91st
12 General Assembly shall not increase the rate of the tax on or
13 after that date.
14 A tax imposed pursuant to this Section, and all civil
15 penalties that may be assessed as an incident thereof, shall
16 be administered, collected and enforced by the Illinois
17 Department of Revenue in the same manner as the tax imposed
18 under the Retailers' Occupation Tax Act, as now or hereafter
19 amended, insofar as may be practicable; except that in the
20 event of a conflict with the provisions of this Section, this
21 Section shall control. The Department of Revenue shall have
22 full power: to administer and enforce this Section; to
23 collect all taxes and penalties due hereunder; to dispose of
24 taxes and penalties so collected in the manner hereinafter
25 provided; and to determine all rights to credit memoranda
26 arising on account of the erroneous payment of tax or penalty
27 hereunder.
28 Whenever the Department determines that a refund shall be
29 made under this Section to a claimant instead of issuing a
30 credit memorandum, the Department shall notify the State
31 Comptroller, who shall cause the order to be drawn for the
32 amount specified, and to the person named, in the
33 notification from the Department. The refund shall be paid by
34 the State Treasurer out of the County Option Motor Fuel Tax
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1 Fund.
2 The Department shall forthwith pay over to the State
3 Treasurer, ex-officio, as trustee, all taxes and penalties
4 collected hereunder, which shall be deposited into the County
5 Option Motor Fuel Tax Fund, a special fund in the State
6 Treasury which is hereby created. On or before the 25th day
7 of each calendar month, the Department shall prepare and
8 certify to the State Comptroller the disbursement of stated
9 sums of money to named counties for which taxpayers have paid
10 taxes or penalties hereunder to the Department during the
11 second preceding calendar month. The amount to be paid to
12 each county shall be the amount (not including credit
13 memoranda) collected hereunder from retailers within the
14 county during the second preceding calendar month by the
15 Department, but not including an amount equal to the amount
16 of refunds made during the second preceding calendar month by
17 the Department on behalf of the county; less the amount
18 expended during the second preceding month by the Department
19 pursuant to appropriation from the County Option Motor Fuel
20 Tax Fund for the administration and enforcement of this
21 Section, which appropriation shall not exceed $200,000 for
22 fiscal year 1990 and, for each year thereafter, shall not
23 exceed 2% of the amount deposited into the County Option
24 Motor Fuel Tax Fund during the preceding fiscal year.
25 Nothing in this Section shall be construed to authorize a
26 county to impose a tax upon the privilege of engaging in any
27 business which under the Constitution of the United States
28 may not be made the subject of taxation by this State.
29 An ordinance or resolution imposing a tax hereunder or
30 effecting a change in the rate thereof shall be effective on
31 the first day of the second calendar month next following the
32 month in which the ordinance or resolution is adopted and a
33 certified copy thereof is filed with the Department of
34 Revenue, whereupon the Department of Revenue shall proceed
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1 to administer and enforce this Section on behalf of the
2 county as of the effective date of the ordinance or
3 resolution. Upon a change in rate of a tax levied hereunder,
4 or upon the discontinuance of the tax, the county board of
5 the county shall, on or not later than 5 days after the
6 effective date of the ordinance or resolution discontinuing
7 the tax or effecting a change in rate, transmit to the
8 Department of Revenue a certified copy of the ordinance or
9 resolution effecting the change or discontinuance.
10 This Section shall be known and may be cited as the
11 County Motor Fuel Tax Law.
12 (Source: P.A. 86-1028; 87-289.)
13 Section 30. The Illinois Municipal Code is amended by
14 changing Sections 8-11-1, 8-11-1.1, 8-11-1.6, 8-11-1.7,
15 8-11-5, and 8-11-16 as follows:
16 (65 ILCS 5/8-11-1) (from Ch. 24, par. 8-11-1)
17 Sec. 8-11-1. Home Rule Municipal Retailers' Occupation
18 Tax Act. The corporate authorities of a home rule
19 municipality may impose a tax upon all persons engaged in the
20 business of selling tangible personal property, other than an
21 item of tangible personal property titled or registered with
22 an agency of this State's government, at retail in the
23 municipality on the gross receipts from these sales made in
24 the course of such business. If imposed, the tax shall only
25 be imposed in 1/4% increments. On and after September 1,
26 1991, this additional tax may not be imposed on the sales of
27 food for human consumption that is to be consumed off the
28 premises where it is sold (other than alcoholic beverages,
29 soft drinks and food that has been prepared for immediate
30 consumption) and prescription and nonprescription medicines,
31 drugs, medical appliances and insulin, urine testing
32 materials, syringes and needles used by diabetics. The tax
-92- LRB9100968PTpk
1 imposed by a home rule municipality under this Section and
2 all civil penalties that may be assessed as an incident of
3 the tax shall be collected and enforced by the State
4 Department of Revenue. The certificate of registration that
5 is issued by the Department to a retailer under the
6 Retailers' Occupation Tax Act shall permit the retailer to
7 engage in a business that is taxable under any ordinance or
8 resolution enacted pursuant to this Section without
9 registering separately with the Department under such
10 ordinance or resolution or under this Section. The
11 Department shall have full power to administer and enforce
12 this Section; to collect all taxes and penalties due
13 hereunder; to dispose of taxes and penalties so collected in
14 the manner hereinafter provided; and to determine all rights
15 to credit memoranda arising on account of the erroneous
16 payment of tax or penalty hereunder. In the administration
17 of, and compliance with, this Section the Department and
18 persons who are subject to this Section shall have the same
19 rights, remedies, privileges, immunities, powers and duties,
20 and be subject to the same conditions, restrictions,
21 limitations, penalties and definitions of terms, and employ
22 the same modes of procedure, as are prescribed in Sections 1,
23 1a, 1d, 1e, 1f, 1i, 1j, 1k, 1m, 1n, 2 through 2-65 (in
24 respect to all provisions therein other than the State rate
25 of tax), 2c, 3 (except as to the disposition of taxes and
26 penalties collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h,
27 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12 and 13 of
28 the Retailers' Occupation Tax Act and Section 3-7 of the
29 Uniform Penalty and Interest Act, as fully as if those
30 provisions were set forth herein.
31 No tax may be imposed by a home rule municipality under
32 this Section unless the municipality also imposes a tax at
33 the same rate under Section 8-11-5 of this Act.
34 A home rule municipality that has not imposed a tax under
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1 this Section on the gross receipts from the sale of motor
2 fuel or gasohol before the effective date of this amendatory
3 Act of the 91st General Assembly shall not impose such a tax
4 on or after that date. A home rule municipality that has
5 imposed a tax under this Section on the gross receipts from
6 the sale of motor fuel or gasohol before the effective date
7 of this amendatory Act of the 91st General Assembly shall not
8 increase the rate of the tax on or after that date. This
9 amendatory Act of the 91st General Assembly is a denial and
10 limitation of home rule powers to tax under subsection (g) of
11 Section 6 of Article VII of the Illinois Constitution.
12 Persons subject to any tax imposed under the authority
13 granted in this Section may reimburse themselves for their
14 seller's tax liability hereunder by separately stating that
15 tax as an additional charge, which charge may be stated in
16 combination, in a single amount, with State tax which sellers
17 are required to collect under the Use Tax Act, pursuant to
18 such bracket schedules as the Department may prescribe.
19 Whenever the Department determines that a refund should
20 be made under this Section to a claimant instead of issuing a
21 credit memorandum, the Department shall notify the State
22 Comptroller, who shall cause the order to be drawn for the
23 amount specified and to the person named in the notification
24 from the Department. The refund shall be paid by the State
25 Treasurer out of the home rule municipal retailers'
26 occupation tax fund.
27 The Department shall immediately pay over to the State
28 Treasurer, ex officio, as trustee, all taxes and penalties
29 collected hereunder. On or before the 25th day of each
30 calendar month, the Department shall prepare and certify to
31 the Comptroller the disbursement of stated sums of money to
32 named municipalities, the municipalities to be those from
33 which retailers have paid taxes or penalties hereunder to the
34 Department during the second preceding calendar month. The
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1 amount to be paid to each municipality shall be the amount
2 (not including credit memoranda) collected hereunder during
3 the second preceding calendar month by the Department plus an
4 amount the Department determines is necessary to offset any
5 amounts that were erroneously paid to a different taxing
6 body, and not including an amount equal to the amount of
7 refunds made during the second preceding calendar month by
8 the Department on behalf of such municipality, and not
9 including any amount that the Department determines is
10 necessary to offset any amounts that were payable to a
11 different taxing body but were erroneously paid to the
12 municipality. Within 10 days after receipt by the Comptroller
13 of the disbursement certification to the municipalities
14 provided for in this Section to be given to the Comptroller
15 by the Department, the Comptroller shall cause the orders to
16 be drawn for the respective amounts in accordance with the
17 directions contained in the certification.
18 In addition to the disbursement required by the preceding
19 paragraph and in order to mitigate delays caused by
20 distribution procedures, an allocation shall, if requested,
21 be made within 10 days after January 14, 1991, and in
22 November of 1991 and each year thereafter, to each
23 municipality that received more than $500,000 during the
24 preceding fiscal year, (July 1 through June 30) whether
25 collected by the municipality or disbursed by the Department
26 as required by this Section. Within 10 days after January 14,
27 1991, participating municipalities shall notify the
28 Department in writing of their intent to participate. In
29 addition, for the initial distribution, participating
30 municipalities shall certify to the Department the amounts
31 collected by the municipality for each month under its home
32 rule occupation and service occupation tax during the period
33 July 1, 1989 through June 30, 1990. The allocation within 10
34 days after January 14, 1991, shall be in an amount equal to
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1 the monthly average of these amounts, excluding the 2 months
2 of highest receipts. The monthly average for the period of
3 July 1, 1990 through June 30, 1991 will be determined as
4 follows: the amounts collected by the municipality under its
5 home rule occupation and service occupation tax during the
6 period of July 1, 1990 through September 30, 1990, plus
7 amounts collected by the Department and paid to such
8 municipality through June 30, 1991, excluding the 2 months of
9 highest receipts. The monthly average for each subsequent
10 period of July 1 through June 30 shall be an amount equal to
11 the monthly distribution made to each such municipality under
12 the preceding paragraph during this period, excluding the 2
13 months of highest receipts. The distribution made in
14 November 1991 and each year thereafter under this paragraph
15 and the preceding paragraph shall be reduced by the amount
16 allocated and disbursed under this paragraph in the preceding
17 period of July 1 through June 30. The Department shall
18 prepare and certify to the Comptroller for disbursement the
19 allocations made in accordance with this paragraph.
20 For the purpose of determining the local governmental
21 unit whose tax is applicable, a retail sale by a producer of
22 coal or other mineral mined in Illinois is a sale at retail
23 at the place where the coal or other mineral mined in
24 Illinois is extracted from the earth. This paragraph does
25 not apply to coal or other mineral when it is delivered or
26 shipped by the seller to the purchaser at a point outside
27 Illinois so that the sale is exempt under the United States
28 Constitution as a sale in interstate or foreign commerce.
29 Nothing in this Section shall be construed to authorize a
30 municipality to impose a tax upon the privilege of engaging
31 in any business which under the Constitution of the United
32 States may not be made the subject of taxation by this State.
33 An ordinance or resolution imposing or discontinuing a
34 tax hereunder or effecting a change in the rate thereof shall
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1 be adopted and a certified copy thereof filed with the
2 Department on or before the first day of June, whereupon the
3 Department shall proceed to administer and enforce this
4 Section as of the first day of September next following the
5 adoption and filing. Beginning January 1, 1992, an ordinance
6 or resolution imposing or discontinuing the tax hereunder or
7 effecting a change in the rate thereof shall be adopted and a
8 certified copy thereof filed with the Department on or before
9 the first day of July, whereupon the Department shall proceed
10 to administer and enforce this Section as of the first day of
11 October next following such adoption and filing. Beginning
12 January 1, 1993, an ordinance or resolution imposing or
13 discontinuing the tax hereunder or effecting a change in the
14 rate thereof shall be adopted and a certified copy thereof
15 filed with the Department on or before the first day of
16 October, whereupon the Department shall proceed to administer
17 and enforce this Section as of the first day of January next
18 following the adoption and filing. However, a municipality
19 located in a county with a population in excess of 3,000,000
20 that elected to become a home rule unit at the general
21 primary election in 1994 may adopt an ordinance or resolution
22 imposing the tax under this Section and file a certified copy
23 of the ordinance or resolution with the Department on or
24 before July 1, 1994. The Department shall then proceed to
25 administer and enforce this Section as of October 1, 1994.
26 Beginning April 1, 1998, an ordinance or resolution imposing
27 or discontinuing the tax hereunder or effecting a change in
28 the rate thereof shall either (i) be adopted and a certified
29 copy thereof filed with the Department on or before the first
30 day of April, whereupon the Department shall proceed to
31 administer and enforce this Section as of the first day of
32 July next following the adoption and filing; or (ii) be
33 adopted and a certified copy thereof filed with the
34 Department on or before the first day of October, whereupon
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1 the Department shall proceed to administer and enforce this
2 Section as of the first day of January next following the
3 adoption and filing.
4 When certifying the amount of a monthly disbursement to a
5 municipality under this Section, the Department shall
6 increase or decrease the amount by an amount necessary to
7 offset any misallocation of previous disbursements. The
8 offset amount shall be the amount erroneously disbursed
9 within the previous 6 months from the time a misallocation is
10 discovered.
11 Any unobligated balance remaining in the Municipal
12 Retailers' Occupation Tax Fund on December 31, 1989, which
13 fund was abolished by Public Act 85-1135, and all receipts of
14 municipal tax as a result of audits of liability periods
15 prior to January 1, 1990, shall be paid into the Local
16 Government Tax Fund for distribution as provided by this
17 Section prior to the enactment of Public Act 85-1135. All
18 receipts of municipal tax as a result of an assessment not
19 arising from an audit, for liability periods prior to January
20 1, 1990, shall be paid into the Local Government Tax Fund for
21 distribution before July 1, 1990, as provided by this Section
22 prior to the enactment of Public Act 85-1135; and on and
23 after July 1, 1990, all such receipts shall be distributed as
24 provided in Section 6z-18 of the State Finance Act.
25 As used in this Section, "municipal" and "municipality"
26 means a city, village or incorporated town, including an
27 incorporated town that has superseded a civil township.
28 This Section shall be known and may be cited as the Home
29 Rule Municipal Retailers' Occupation Tax Act.
30 (Source: P.A. 90-689, eff. 7-31-98.)
31 (65 ILCS 5/8-11-1.1) (from Ch. 24, par. 8-11-1.1)
32 Sec. 8-11-1.1. Non-home rule municipality use and
33 occupation taxes.
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1 (a) The corporate authorities of a non-home rule
2 municipality with a population greater than 130,000 but less
3 than 2,000,000 may, upon approval of the electors of the
4 municipality pursuant to subsection (b) of this Section,
5 impose by ordinance or resolution the 1/2 of 1% tax
6 authorized in Sections 8-11-1.3, 8-11-1.4 and 8-11-1.5 of
7 this Act.
8 A municipality that has not imposed a tax on the gross
9 receipts from the sale or on the selling price of motor fuel
10 or gasohol as authorized in Sections 8-11-1.3 and 8-11-1.4
11 before the effective date of this amendatory Act of the 91st
12 General Assembly shall not impose such a tax on or after that
13 date. A municipality that has imposed a tax on the gross
14 receipts from the sale or on the selling price of motor fuel
15 or gasohol authorized in Sections 8-11-1.3 and 8-11-1.4
16 before the effective date of this amendatory Act of the 91st
17 General Assembly shall not increase the rate of the tax on or
18 after that date.
19 (b) The corporate authorities of the municipality may by
20 ordinance or resolution call for the submission to the
21 electors of the municipality the question of whether the
22 municipality shall impose such tax. Such question shall be
23 certified by the municipal clerk to the election authority in
24 accordance with Section 28-5 of the Election Code and shall
25 be in a form in accordance with Section 16-7 of the Election
26 Code.
27 If a majority of the electors in the municipality voting
28 upon the question vote in the affirmative, such tax shall be
29 imposed.
30 An ordinance or resolution imposing the 1/2 of 1% tax
31 hereunder or discontinuing the same shall be adopted and a
32 certified copy thereof, together with a certification that
33 the ordinance or resolution received referendum approval in
34 the case of the imposition of such tax, filed with the
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1 Department of Revenue, on or before the first day of June,
2 whereupon the Department shall proceed to administer and
3 enforce the additional tax or to discontinue the tax, as the
4 case may be, as of the first day of September next following
5 such adoption and filing. Beginning January 1, 1992, an
6 ordinance or resolution imposing or discontinuing the tax
7 hereunder shall be adopted and a certified copy thereof filed
8 with the Department on or before the first day of July,
9 whereupon the Department shall proceed to administer and
10 enforce this Section as of the first day of October next
11 following such adoption and filing. Beginning January 1,
12 1993, an ordinance or resolution imposing or discontinuing
13 the tax hereunder shall be adopted and a certified copy
14 thereof filed with the Department on or before the first day
15 of October, whereupon the Department shall proceed to
16 administer and enforce this Section as of the first day of
17 January next following such adoption and filing.
18 (Source: P.A. 86-928; 87-205.)
19 (65 ILCS 5/8-11-1.6)
20 Sec. 8-11-1.6. Non-home rule municipal retailers
21 occupation tax; municipalities between 20,000 and 25,000. The
22 corporate authorities of a non-home rule municipality with a
23 population of more than 20,000 but less than 25,000 that has,
24 prior to January 1, 1987, established a Redevelopment Project
25 Area that has been certified as a State Sales Tax Boundary
26 and has issued bonds or otherwise incurred indebtedness to
27 pay for costs in excess of $5,000,000, which is secured in
28 part by a tax increment allocation fund, in accordance with
29 the provisions of Division 11-74.4 of this Code may, by
30 passage of an ordinance, impose a tax upon all persons
31 engaged in the business of selling tangible personal
32 property, other than on an item of tangible personal property
33 that is titled and registered by an agency of this State's
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1 Government, at retail in the municipality. This tax may not
2 be imposed on the sales of food for human consumption that is
3 to be consumed off the premises where it is sold (other than
4 alcoholic beverages, soft drinks, and food that has been
5 prepared for immediate consumption) and prescription and
6 nonprescription medicines, drugs, medical appliances and
7 insulin, urine testing materials, syringes, and needles used
8 by diabetics. If imposed, the tax shall only be imposed in
9 .25% increments of the gross receipts from such sales made in
10 the course of business. Any tax imposed by a municipality
11 under this Sec. and all civil penalties that may be assessed
12 as an incident thereof shall be collected and enforced by the
13 State Department of Revenue. An ordinance imposing a tax
14 hereunder or effecting a change in the rate thereof shall be
15 adopted and a certified copy thereof filed with the
16 Department on or before the first day of October, whereupon
17 the Department shall proceed to administer and enforce this
18 Section as of the first day of January next following such
19 adoption and filing. The certificate of registration that is
20 issued by the Department to a retailer under the Retailers'
21 Occupation Tax Act shall permit the retailer to engage in a
22 business that is taxable under any ordinance or resolution
23 enacted under this Section without registering separately
24 with the Department under the ordinance or resolution or
25 under this Section. The Department shall have full power to
26 administer and enforce this Section, to collect all taxes and
27 penalties due hereunder, to dispose of taxes and penalties so
28 collected in the manner hereinafter provided, and to
29 determine all rights to credit memoranda, arising on account
30 of the erroneous payment of tax or penalty hereunder. In the
31 administration of, and compliance with this Section, the
32 Department and persons who are subject to this Section shall
33 have the same rights, remedies, privileges, immunities,
34 powers, and duties, and be subject to the same conditions,
-101- LRB9100968PTpk
1 restrictions, limitations, penalties, and definitions of
2 terms, and employ the same modes of procedure, as are
3 prescribed in Sections 1, 1a, 1a-1, 1d, 1e, 1f, 1i, 1j, 2
4 through 2-65 (in respect to all provisions therein other than
5 the State rate of tax), 2c, 3 (except as to the disposition
6 of taxes and penalties collected), 4, 5, 5a, 5b, 5c, 5d, 5e,
7 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11,
8 12 and 13 of the Retailers' Occupation Tax Act and Section
9 3-7 of the Uniform Penalty and Interest Act as fully as if
10 those provisions were set forth herein.
11 A tax may not be imposed by a municipality under this
12 Section unless the municipality also imposes a tax at the
13 same rate under Section 8-11-1.7 of this Act.
14 A municipality that has not imposed a tax under this
15 Section on the gross receipts from the sale of motor fuel or
16 gasohol before the effective date of this amendatory Act of
17 the 91st General Assembly shall not impose such a tax on or
18 after that date. A municipality that has imposed a tax under
19 this Section on the gross receipts from the sale of motor
20 fuel or gasohol before the effective date of this amendatory
21 Act of the 91st General Assembly shall not increase the rate
22 of the tax on or after that date.
23 Persons subject to any tax imposed under the authority
24 granted in this Section, may reimburse themselves for their
25 seller's tax liability hereunder by separately stating the
26 tax as an additional charge, which charge may be stated in
27 combination, in a single amount, with State tax which sellers
28 are required to collect under the Use Tax Act, pursuant to
29 such bracket schedules as the Department may prescribe.
30 Whenever the Department determines that a refund should
31 be made under this Section to a claimant, instead of issuing
32 a credit memorandum, the Department shall notify the State
33 Comptroller, who shall cause the order to be drawn for the
34 amount specified, and to the person named in the notification
-102- LRB9100968PTpk
1 from the Department. The refund shall be paid by the State
2 Treasurer out of the Non-Home Rule Municipal Retailers'
3 Occupation Tax Fund, which is hereby created.
4 The Department shall forthwith pay over to the State
5 Treasurer, ex officio, as trustee, all taxes and penalties
6 collected hereunder. On or before the 25th day of each
7 calendar month, the Department shall prepare and certify to
8 the Comptroller the disbursement of stated sums of money to
9 named municipalities, the municipalities to be those from
10 which retailers have paid taxes or penalties hereunder to the
11 Department during the second preceding calendar month. The
12 amount to be paid to each municipality shall be the amount
13 (not including credit memoranda) collected hereunder during
14 the second preceding calendar month by the Department plus an
15 amount the Department determines is necessary to offset any
16 amounts that were erroneously paid to a different taxing
17 body, and not including an amount equal to the amount of
18 refunds made during the second preceding calendar month by
19 the Department on behalf of the municipality, and not
20 including any amount that the Department determines is
21 necessary to offset any amounts that were payable to a
22 different taxing body but were erroneously paid to the
23 municipality. Within 10 days after receipt by the
24 Comptroller of the disbursement certification to the
25 municipalities provided for in this Section to be given to
26 the Comptroller by the Department, the Comptroller shall
27 cause the orders to be drawn for the respective amounts in
28 accordance with the directions contained in the
29 certification.
30 For the purpose of determining the local governmental
31 unit whose tax is applicable, a retail sale by a producer of
32 coal or other mineral mined in Illinois is a sale at retail
33 at the place where the coal or other mineral mined in
34 Illinois is extracted from the earth. This paragraph does
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1 not apply to coal or other mineral when it is delivered or
2 shipped by the seller to the purchaser at a point outside
3 Illinois so that the sale is exempt under the federal
4 Constitution as a sale in interstate or foreign commerce.
5 Nothing in this Section shall be construed to authorize a
6 municipality to impose a tax upon the privilege of engaging
7 in any business which under the constitution of the United
8 States may not be made the subject of taxation by this State.
9 When certifying the amount of a monthly disbursement to a
10 municipality under this Section, the Department shall
11 increase or decrease the amount by an amount necessary to
12 offset any misallocation of previous disbursements. The
13 offset amount shall be the amount erroneously disbursed
14 within the previous 6 months from the time a misallocation is
15 discovered.
16 As used in this Section, "municipal" and "municipality"
17 means a city, village, or incorporated town, including an
18 incorporated town that has superseded a civil township.
19 (Source: P.A. 88-334; 89-399, eff. 8-20-95.)
20 (65 ILCS 5/8-11-1.7)
21 Sec. 8-11-1.7. Non-home rule municipal service occupation
22 tax; municipalities between 20,000 and 25,000. The corporate
23 authorities of a non-home rule municipality with a population
24 of more than 20,000 but less than 25,000 as determined by the
25 last preceding decennial census that has, prior to January 1,
26 1987, established a Redevelopment Project Area that has been
27 certified as a State Sales Tax Boundary and has issued bonds
28 or otherwise incurred indebtedness to pay for costs in excess
29 of $5,000,000, which is secured in part by a tax increment
30 allocation fund, in accordance with the provisions of
31 Division 11-74.7 of this Code may, by passage of an
32 ordinance, impose a tax upon all persons engaged in the
33 municipality in the business of making sales of service. If
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1 imposed, the tax shall only be imposed in .25% increments of
2 the selling price of all tangible personal property
3 transferred by such servicemen either in the form of tangible
4 personal property or in the form of real estate as an
5 incident to a sale of service. This tax may not be imposed on
6 the sales of food for human consumption that is to be
7 consumed off the premises where it is sold (other than
8 alcoholic beverages, soft drinks, and food that has been
9 prepared for immediate consumption) and prescription and
10 nonprescription medicines, drugs, medical appliances and
11 insulin, urine testing materials, syringes, and needles used
12 by diabetics. The tax imposed by a municipality under this
13 Sec. and all civil penalties that may be assessed as an
14 incident thereof shall be collected and enforced by the State
15 Department of Revenue. An ordinance imposing a tax hereunder
16 or effecting a change in the rate thereof shall be adopted
17 and a certified copy thereof filed with the Department on or
18 before the first day of October, whereupon the Department
19 shall proceed to administer and enforce this Section as of
20 the first day of January next following such adoption and
21 filing. The certificate of registration that is issued by
22 the Department to a retailer under the Retailers' Occupation
23 Tax Act or under the Service Occupation Tax Act shall permit
24 the registrant to engage in a business that is taxable under
25 any ordinance or resolution enacted under this Section
26 without registering separately with the Department under the
27 ordinance or resolution or under this Section. The Department
28 shall have full power to administer and enforce this Section,
29 to collect all taxes and penalties due hereunder, to dispose
30 of taxes and penalties so collected in a manner hereinafter
31 provided, and to determine all rights to credit memoranda
32 arising on account of the erroneous payment of tax or penalty
33 hereunder. In the administration of and compliance with this
34 Section, the Department and persons who are subject to this
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1 Section shall have the same rights, remedies, privileges,
2 immunities, powers, and duties, and be subject to the same
3 conditions, restrictions, limitations, penalties and
4 definitions of terms, and employ the same modes of procedure,
5 as are prescribed in Sections 1a-1, 2, 2a, 3 through 3-50 (in
6 respect to all provisions therein other than the State rate
7 of tax), 4 (except that the reference to the State shall be
8 to the taxing municipality), 5, 7, 8 (except that the
9 jurisdiction to which the tax shall be a debt to the extent
10 indicated in that Section 8 shall be the taxing
11 municipality), 9 (except as to the disposition of taxes and
12 penalties collected, and except that the returned merchandise
13 credit for this municipal tax may not be taken against any
14 State tax), 10, 11, 12, (except the reference therein to
15 Section 2b of the Retailers' Occupation Tax Act), 13 (except
16 that any reference to the State shall mean the taxing
17 municipality), the first paragraph of Sections 15, 16, 17,
18 18, 19, and 20 of the Service Occupation Tax Act and Section
19 3-7 of the Uniform Penalty and Interest Act, as fully as if
20 those provisions were set forth herein.
21 A tax may not be imposed by a municipality under this
22 Section unless the municipality also imposes a tax at the
23 same rate under Section 8-11-1.6 of this Act.
24 A municipality that has not imposed a tax under this
25 Section on the selling price of motor fuel or gasohol before
26 the effective date of this amendatory Act of the 91st General
27 Assembly shall not impose such a tax on or after that date. A
28 municipality that has imposed a tax under this Section on the
29 selling price of motor fuel or gasohol before the effective
30 date of this amendatory Act of the 91st General Assembly
31 shall not increase the rate of the tax on or after that date.
32
33 Person subject to any tax imposed under the authority
34 granted in this Section may reimburse themselves for their
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1 servicemen's tax liability hereunder by separately stating
2 the tax as an additional charge, which charge may be stated
3 in combination, in a single amount, with State tax that
4 servicemen are authorized to collect under the Service Use
5 Tax Act, under such bracket schedules as the Department may
6 prescribe.
7 Whenever the Department determines that a refund should
8 be made under this Section to a claimant instead of issuing
9 credit memorandum, the Department shall notify the State
10 Comptroller, who shall cause the order to be drawn for the
11 amount specified, and to the person named, in such
12 notification from the Department. The refund shall be paid by
13 the State Treasurer out of the Non-Home Rule Municipal
14 Retailers' Occupation Tax Fund.
15 The Department shall forthwith pay over to the State
16 Treasurer, ex officio, as trustee, all taxes and penalties
17 collected hereunder. On or before the 25th day of each
18 calendar month, the Department shall prepare and certify to
19 the Comptroller the disbursement of stated sums of money to
20 named municipalities, the municipalities to be those from
21 which suppliers and servicemen have paid taxes or penalties
22 hereunder to the Department during the second preceding
23 calendar month. The amount to be paid to each municipality
24 shall be the amount (not including credit memoranda)
25 collected hereunder during the second preceding calendar
26 month by the Department, and not including an amount equal to
27 the amount of refunds made during the second preceding
28 calendar month by the Department on behalf of such
29 municipality. Within 10 days after receipt by the Comptroller
30 of the disbursement certification to the municipalities and
31 the General Revenue Fund, provided for in this Section to be
32 given to the Comptroller by the Department, the Comptroller
33 shall cause the orders to be drawn for the respective amounts
34 in accordance with the directions contained in the
-107- LRB9100968PTpk
1 certification.
2 When certifying the amount of a monthly disbursement to a
3 municipality under this Section, the Department shall
4 increase or decrease the amount by an amount necessary to
5 offset any misallocation of previous disbursements. The
6 offset amount shall be the amount erroneously disbursed
7 within the previous 6 months from the time a misallocation is
8 discovered.
9 Nothing in this Section shall be construed to authorize a
10 municipality to impose a tax upon the privilege of engaging
11 in any business which under the constitution of the United
12 States may not be made the subject of taxation by this State.
13 (Source: P.A. 88-334; 89-399, eff. 8-20-95.)
14 (65 ILCS 5/8-11-5) (from Ch. 24, par. 8-11-5)
15 Sec. 8-11-5. Home Rule Municipal Service Occupation Tax
16 Act. The corporate authorities of a home rule municipality
17 may impose a tax upon all persons engaged, in such
18 municipality, in the business of making sales of service at
19 the same rate of tax imposed pursuant to Section 8-11-1, of
20 the selling price of all tangible personal property
21 transferred by such servicemen either in the form of tangible
22 personal property or in the form of real estate as an
23 incident to a sale of service. If imposed, such tax shall
24 only be imposed in 1/4% increments. On and after September 1,
25 1991, this additional tax may not be imposed on the sales of
26 food for human consumption which is to be consumed off the
27 premises where it is sold (other than alcoholic beverages,
28 soft drinks and food which has been prepared for immediate
29 consumption) and prescription and nonprescription medicines,
30 drugs, medical appliances and insulin, urine testing
31 materials, syringes and needles used by diabetics. The tax
32 imposed by a home rule municipality pursuant to this Section
33 and all civil penalties that may be assessed as an incident
-108- LRB9100968PTpk
1 thereof shall be collected and enforced by the State
2 Department of Revenue. The certificate of registration which
3 is issued by the Department to a retailer under the
4 Retailers' Occupation Tax Act or under the Service Occupation
5 Tax Act shall permit such registrant to engage in a business
6 which is taxable under any ordinance or resolution enacted
7 pursuant to this Section without registering separately with
8 the Department under such ordinance or resolution or under
9 this Section. The Department shall have full power to
10 administer and enforce this Section; to collect all taxes and
11 penalties due hereunder; to dispose of taxes and penalties so
12 collected in the manner hereinafter provided, and to
13 determine all rights to credit memoranda arising on account
14 of the erroneous payment of tax or penalty hereunder. In the
15 administration of, and compliance with, this Section the
16 Department and persons who are subject to this Section shall
17 have the same rights, remedies, privileges, immunities,
18 powers and duties, and be subject to the same conditions,
19 restrictions, limitations, penalties and definitions of
20 terms, and employ the same modes of procedure, as are
21 prescribed in Sections 1a-1, 2, 2a, 3 through 3-50 (in
22 respect to all provisions therein other than the State rate
23 of tax), 4 (except that the reference to the State shall be
24 to the taxing municipality), 5, 7, 8 (except that the
25 jurisdiction to which the tax shall be a debt to the extent
26 indicated in that Section 8 shall be the taxing
27 municipality), 9 (except as to the disposition of taxes and
28 penalties collected, and except that the returned merchandise
29 credit for this municipal tax may not be taken against any
30 State tax), 10, 11, 12 (except the reference therein to
31 Section 2b of the Retailers' Occupation Tax Act), 13 (except
32 that any reference to the State shall mean the taxing
33 municipality), the first paragraph of Section 15, 16, 17
34 (except that credit memoranda issued hereunder may not be
-109- LRB9100968PTpk
1 used to discharge any State tax liability), 18, 19 and 20 of
2 the Service Occupation Tax Act and Section 3-7 of the Uniform
3 Penalty and Interest Act, as fully as if those provisions
4 were set forth herein.
5 No tax may be imposed by a home rule municipality
6 pursuant to this Section unless such municipality also
7 imposes a tax at the same rate pursuant to Section 8-11-1 of
8 this Act.
9 A home rule municipality that has not imposed a tax under
10 this Section on the selling price of motor fuel or gasohol
11 before the effective date of this amendatory Act of the 91st
12 General Assembly shall not impose such a tax on or after that
13 date. A home rule municipality that has imposed a tax under
14 this Section on the selling price of motor fuel or gasohol
15 before the effective date of this amendatory Act of the 91st
16 General Assembly shall not increase the rate of the tax on or
17 after that date. This amendatory Act of the 91st General
18 Assembly is a denial and limitation of home rule powers to
19 tax under subsection (g) of Section 6 of Article VII of the
20 Illinois Constitution.
21 Persons subject to any tax imposed pursuant to the
22 authority granted in this Section may reimburse themselves
23 for their serviceman's tax liability hereunder by separately
24 stating such tax as an additional charge, which charge may be
25 stated in combination, in a single amount, with State tax
26 which servicemen are authorized to collect under the Service
27 Use Tax Act, pursuant to such bracket schedules as the
28 Department may prescribe.
29 Whenever the Department determines that a refund should
30 be made under this Section to a claimant instead of issuing
31 credit memorandum, the Department shall notify the State
32 Comptroller, who shall cause the order to be drawn for the
33 amount specified, and to the person named, in such
34 notification from the Department. Such refund shall be paid
-110- LRB9100968PTpk
1 by the State Treasurer out of the home rule municipal
2 retailers' occupation tax fund.
3 The Department shall forthwith pay over to the State
4 Treasurer, ex-officio, as trustee, all taxes and penalties
5 collected hereunder. On or before the 25th day of each
6 calendar month, the Department shall prepare and certify to
7 the Comptroller the disbursement of stated sums of money to
8 named municipalities, the municipalities to be those from
9 which suppliers and servicemen have paid taxes or penalties
10 hereunder to the Department during the second preceding
11 calendar month. The amount to be paid to each municipality
12 shall be the amount (not including credit memoranda)
13 collected hereunder during the second preceding calendar
14 month by the Department, and not including an amount equal to
15 the amount of refunds made during the second preceding
16 calendar month by the Department on behalf of such
17 municipality. Within 10 days after receipt, by the
18 Comptroller, of the disbursement certification to the
19 municipalities, provided for in this Section to be given to
20 the Comptroller by the Department, the Comptroller shall
21 cause the orders to be drawn for the respective amounts in
22 accordance with the directions contained in such
23 certification.
24 In addition to the disbursement required by the preceding
25 paragraph and in order to mitigate delays caused by
26 distribution procedures, an allocation shall, if requested,
27 be made within 10 days after January 14, 1991, and in
28 November of 1991 and each year thereafter, to each
29 municipality that received more than $500,000 during the
30 preceding fiscal year, (July 1 through June 30) whether
31 collected by the municipality or disbursed by the Department
32 as required by this Section. Within 10 days after January 14,
33 1991, participating municipalities shall notify the
34 Department in writing of their intent to participate. In
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1 addition, for the initial distribution, participating
2 municipalities shall certify to the Department the amounts
3 collected by the municipality for each month under its home
4 rule occupation and service occupation tax during the period
5 July 1, 1989 through June 30, 1990. The allocation within 10
6 days after January 14, 1991, shall be in an amount equal to
7 the monthly average of these amounts, excluding the 2 months
8 of highest receipts. Monthly average for the period of July
9 1, 1990 through June 30, 1991 will be determined as follows:
10 the amounts collected by the municipality under its home rule
11 occupation and service occupation tax during the period of
12 July 1, 1990 through September 30, 1990, plus amounts
13 collected by the Department and paid to such municipality
14 through June 30, 1991, excluding the 2 months of highest
15 receipts. The monthly average for each subsequent period of
16 July 1 through June 30 shall be an amount equal to the
17 monthly distribution made to each such municipality under the
18 preceding paragraph during this period, excluding the 2
19 months of highest receipts. The distribution made in
20 November 1991 and each year thereafter under this paragraph
21 and the preceding paragraph shall be reduced by the amount
22 allocated and disbursed under this paragraph in the preceding
23 period of July 1 through June 30. The Department shall
24 prepare and certify to the Comptroller for disbursement the
25 allocations made in accordance with this paragraph.
26 Nothing in this Section shall be construed to authorize a
27 municipality to impose a tax upon the privilege of engaging
28 in any business which under the constitution of the United
29 States may not be made the subject of taxation by this State.
30 An ordinance or resolution imposing or discontinuing a
31 tax hereunder or effecting a change in the rate thereof shall
32 be adopted and a certified copy thereof filed with the
33 Department on or before the first day of June, whereupon the
34 Department shall proceed to administer and enforce this
-112- LRB9100968PTpk
1 Section as of the first day of September next following such
2 adoption and filing. Beginning January 1, 1992, an ordinance
3 or resolution imposing or discontinuing the tax hereunder or
4 effecting a change in the rate thereof shall be adopted and a
5 certified copy thereof filed with the Department on or before
6 the first day of July, whereupon the Department shall proceed
7 to administer and enforce this Section as of the first day of
8 October next following such adoption and filing. Beginning
9 January 1, 1993, an ordinance or resolution imposing or
10 discontinuing the tax hereunder or effecting a change in the
11 rate thereof shall be adopted and a certified copy thereof
12 filed with the Department on or before the first day of
13 October, whereupon the Department shall proceed to administer
14 and enforce this Section as of the first day of January next
15 following such adoption and filing. However, a municipality
16 located in a county with a population in excess of 3,000,000
17 that elected to become a home rule unit at the general
18 primary election in 1994 may adopt an ordinance or resolution
19 imposing the tax under this Section and file a certified copy
20 of the ordinance or resolution with the Department on or
21 before July 1, 1994. The Department shall then proceed to
22 administer and enforce this Section as of October 1, 1994.
23 Beginning April 1, 1998, an ordinance or resolution imposing
24 or discontinuing the tax hereunder or effecting a change in
25 the rate thereof shall either (i) be adopted and a certified
26 copy thereof filed with the Department on or before the first
27 day of April, whereupon the Department shall proceed to
28 administer and enforce this Section as of the first day of
29 July next following the adoption and filing; or (ii) be
30 adopted and a certified copy thereof filed with the
31 Department on or before the first day of October, whereupon
32 the Department shall proceed to administer and enforce this
33 Section as of the first day of January next following the
34 adoption and filing.
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1 Any unobligated balance remaining in the Municipal
2 Retailers' Occupation Tax Fund on December 31, 1989, which
3 fund was abolished by Public Act 85-1135, and all receipts of
4 municipal tax as a result of audits of liability periods
5 prior to January 1, 1990, shall be paid into the Local
6 Government Tax Fund, for distribution as provided by this
7 Section prior to the enactment of Public Act 85-1135. All
8 receipts of municipal tax as a result of an assessment not
9 arising from an audit, for liability periods prior to January
10 1, 1990, shall be paid into the Local Government Tax Fund for
11 distribution before July 1, 1990, as provided by this Section
12 prior to the enactment of Public Act 85-1135, and on and
13 after July 1, 1990, all such receipts shall be distributed as
14 provided in Section 6z-18 of the State Finance Act.
15 As used in this Section, "municipal" and "municipality"
16 means a city, village or incorporated town, including an
17 incorporated town which has superseded a civil township.
18 This Section shall be known and may be cited as the Home
19 Rule Municipal Service Occupation Tax Act.
20 (Source: P.A. 90-689, eff. 7-31-98.)
21 (65 ILCS 5/8-11-15) (from Ch. 24, par. 8-11-15)
22 Sec. 8-11-15. Municipal motor fuel tax.
23 (a) The corporate authorities of a municipality of over
24 100,000 inhabitants may, upon approval of the electors of the
25 municipality pursuant to subsection (b), impose a tax of one
26 cent per gallon on motor fuel sold at retail within such
27 municipality. A tax imposed pursuant to this Section shall be
28 paid in addition to any other taxes on such motor fuel.
29 A municipality that has not imposed a tax under this
30 Section before the effective date of this amendatory Act of
31 the 91st General Assembly shall not impose such a tax on or
32 after that date. A municipality that has imposed a tax under
33 this Section before the effective date of this amendatory Act
-114- LRB9100968PTpk
1 of the 91st General Assembly shall not increase the rate of
2 the tax on or after that date. This amendatory Act of the
3 91st General Assembly is a denial and limitation of home rule
4 powers to tax under subsection (g) of Section 6 of Article
5 VII of the Illinois Constitution.
6 (b) The corporate authorities of the municipality may by
7 resolution call for the submission to the electors of the
8 municipality of the question of whether the municipality
9 shall impose such tax. Such question shall be certified by
10 the municipal clerk to the election authority in accordance
11 with Section 28-5 of The Election Code. The question shall be
12 in substantially the following form:
13 -------------------------------------------------------------
14 Shall the city (village or
15 incorporated town) of ....... YES
16 impose a tax of one cent per -----------------------------
17 gallon on motor fuel sold at NO
18 retail within its boundaries?
19 -------------------------------------------------------------
20 If a majority of the electors in the municipality voting
21 upon the question vote in the affirmative, such tax shall be
22 imposed.
23 (c) The purchaser of the motor fuel shall be liable for
24 payment of a tax imposed pursuant to this Section. This
25 Section shall not be construed to impose a tax on the
26 occupation of persons engaged in the sale of motor fuel.
27 If a municipality imposes a tax on motor fuel pursuant to
28 this Section, it shall be the duty of any person engaged in
29 the retail sale of motor fuel within such municipality to
30 collect such tax from the purchaser at the same time he
31 collects the purchase price of the motor fuel and to pay over
32 such tax to the municipality as prescribed by the ordinance
33 of the municipality imposing such tax.
34 (d) For purposes of this Section, "motor fuel" shall
-115- LRB9100968PTpk
1 have the same meaning as provided in the "Motor Fuel Tax
2 Law".
3 (Source: P.A. 84-1099.)
4 Section 35. The Civic Center Code is amended by changing
5 Section 245-12 as follows:
6 (70 ILCS 200/245-12)
7 Sec. 245-12. Use and occupation taxes.
8 (a) The Authority may adopt a resolution that authorizes
9 a referendum on the question of whether the Authority shall
10 be authorized to impose a retailers' occupation tax, a
11 service occupation tax, and a use tax in one-quarter percent
12 increments at a rate not to exceed 1%. The Authority shall
13 certify the question to the proper election authorities who
14 shall submit the question to the voters of the metropolitan
15 area at the next regularly scheduled election in accordance
16 with the general election law. The question shall be in
17 substantially the following form:
18 "Shall the Salem Civic Center Authority be authorized to
19 impose a retailers' occupation tax, a service occupation
20 tax, and a use tax at the rate of (rate) for the sole
21 purpose of obtaining funds for the support, construction,
22 maintenance, or financing of a facility of the
23 Authority?"
24 Votes shall be recorded as "yes" or "no". If a majority
25 of all votes cast on the proposition are in favor of the
26 proposition, the Authority is authorized to impose the tax.
27 (b) The Authority shall impose the retailers' occupation
28 tax upon all persons engaged in the business of selling
29 tangible personal property at retail in the metropolitan
30 area, at the rate approved by referendum, on the gross
31 receipts from the sales made in the course of such business
32 within the metropolitan area. The tax imposed under this
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1 Section and all civil penalties that may be assessed as an
2 incident thereof shall be collected and enforced by the
3 Department of Revenue. The Department has full power to
4 administer and enforce this Section; to collect all taxes and
5 penalties so collected in the manner provided in this
6 Section; and to determine all rights to credit memoranda
7 arising on account of the erroneous payment of tax or penalty
8 hereunder. In the administration of, and compliance with,
9 this Section, the Department and persons who are subject to
10 this Section shall (i) have the same rights, remedies,
11 privileges, immunities, powers and duties, (ii) be subject to
12 the same conditions, restrictions, limitations, penalties,
13 exclusions, exemptions, and definitions of terms, and (iii)
14 employ the same modes of procedure as are prescribed in
15 Sections 1, 1a, 1a-1, 1c, 1d, 1e, 1f, 1i, 1j, 1k, 1m, 1n, 2,
16 2-5, 2-5.5, 2-10 (in respect to all provisions therein other
17 than the State rate of tax), 2-15 through 2-70, 2a, 2b, 2c, 3
18 (except as to the disposition of taxes and penalties
19 collected and provisions related to quarter monthly
20 payments), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 5k, 5l,
21 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 11a, 12, and 13 of the
22 Retailers' Occupation Tax Act and Section 3-7 of the Uniform
23 Penalty and Interest Act, as fully as if those provisions
24 were set forth in this subsection.
25 If the Authority has not imposed a tax under this
26 subsection on the gross receipts from the sale of motor fuel
27 or gasohol before the effective date of this amendatory Act
28 of the 91st General Assembly, then the Authority shall not
29 impose such a tax on or after that date. If the Authority
30 has imposed a tax under this subsection on the gross receipts
31 from the sale of motor fuel or gasohol before the effective
32 date of this amendatory Act of the 91st General Assembly,
33 then the Authority shall not increase the rate of the tax on
34 or after that date.
-117- LRB9100968PTpk
1 Persons subject to any tax imposed under this subsection
2 may reimburse themselves for their seller's tax liability by
3 separately stating the tax as an additional charge, which
4 charge may be stated in combination, in a single amount, with
5 State taxes that sellers are required to collect, in
6 accordance with such bracket schedules as the Department may
7 prescribe.
8 Whenever the Department determines that a refund should
9 be made under this subsection to a claimant instead of
10 issuing a credit memorandum, the Department shall notify the
11 State Comptroller, who shall cause the warrant to be drawn
12 for the amount specified, and to the person named, in the
13 notification from the Department. The refund shall be paid
14 by the State Treasurer out of the tax fund referenced under
15 paragraph (g) of this Section.
16 If a tax is imposed under this subsection (b), a tax
17 shall also be imposed at the same rate under subsections (c)
18 and (d) of this Section.
19 For the purpose of determining whether a tax authorized
20 under this Section is applicable, a retail sale, by a
21 producer of coal or other mineral mined in Illinois, is a
22 sale at retail at the place where the coal or other mineral
23 mined in Illinois is extracted from the earth. This
24 paragraph does not apply to coal or other mineral when it is
25 delivered or shipped by the seller to the purchaser at a
26 point outside Illinois so that the sale is exempt under the
27 Federal Constitution as a sale in interstate or foreign
28 commerce.
29 Nothing in this Section shall be construed to authorize
30 the Authority to impose a tax upon the privilege of engaging
31 in any business which under the Constitution of the United
32 States may not be made the subject of taxation by this State.
33 (c) If a tax has been imposed under subsection (b), a
34 service occupation tax shall also be imposed at the same rate
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1 upon all persons engaged, in the metropolitan area, in the
2 business of making sales of service, who, as an incident to
3 making those sales of service, transfer tangible personal
4 property within the metropolitan area as an incident to a
5 sale of service. The tax imposed under this subsection and
6 all civil penalties that may be assessed as an incident
7 thereof shall be collected and enforced by the Department of
8 Revenue. The Department has full power to administer and
9 enforce this paragraph; to collect all taxes and penalties
10 due hereunder; to dispose of taxes and penalties so collected
11 in the manner hereinafter provided; and to determine all
12 rights to credit memoranda arising on account of the
13 erroneous payment of tax or penalty hereunder. In the
14 administration of, and compliance with this paragraph, the
15 Department and persons who are subject to this paragraph
16 shall (i) have the same rights, remedies, privileges,
17 immunities, powers, and duties, (ii) be subject to the same
18 conditions, restrictions, limitations, penalties, exclusions,
19 exemptions, and definitions of terms, and (iii) employ the
20 same modes of procedure as are prescribed in Sections 2
21 (except that the reference to State in the definition of
22 supplier maintaining a place of business in this State shall
23 mean the metropolitan area), 2a, 2b, 3 through 3-55 (in
24 respect to all provisions therein other than the State rate
25 of tax), 4 (except that the reference to the State shall be
26 to the Authority), 5, 7, 8 (except that the jurisdiction to
27 which the tax shall be a debt to the extent indicated in that
28 Section 8 shall be the Authority), 9 (except as to the
29 disposition of taxes and penalties collected, and except that
30 the returned merchandise credit for this tax may not be taken
31 against any State tax), 11, 12 (except the reference therein
32 to Section 2b of the Retailers' Occupation Tax Act), 13
33 (except that any reference to the State shall mean the
34 Authority), 15, 16, 17, 18, 19 and 20 of the Service
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1 Occupation Tax Act and Section 3-7 of the Uniform Penalty and
2 Interest Act, as fully as if those provisions were set forth
3 herein.
4 If the Authority has not imposed a tax under this
5 subsection on the cost price of motor fuel or gasohol before
6 the effective date of this amendatory Act of the 91st General
7 Assembly, then the Authority shall not impose such a tax on
8 or after that date. If the Authority has imposed a tax under
9 this subsection on the cost price of motor fuel or gasohol
10 before the effective date of this amendatory Act of the 91st
11 General Assembly, then the Authority shall not increase the
12 rate of the tax on or after that date.
13 Persons subject to any tax imposed under the authority
14 granted in this subsection may reimburse themselves for their
15 serviceman's tax liability by separately stating the tax as
16 an additional charge, which charge may be stated in
17 combination, in a single amount, with State tax that
18 servicemen are authorized to collect under the Service Use
19 Tax Act, in accordance with such bracket schedules as the
20 Department may prescribe.
21 Whenever the Department determines that a refund should
22 be made under this subsection to a claimant instead of
23 issuing a credit memorandum, the Department shall notify the
24 State Comptroller, who shall cause the warrant to be drawn
25 for the amount specified, and to the person named, in the
26 notification from the Department. The refund shall be paid
27 by the State Treasurer out of the tax fund referenced under
28 paragraph (g) of this Section.
29 Nothing in this paragraph shall be construed to authorize
30 the Authority to impose a tax upon the privilege of engaging
31 in any business which under the Constitution of the United
32 States may not be made the subject of taxation by the State.
33 (d) If a tax has been imposed under subsection (b), a
34 use tax shall also be imposed at the same rate upon the
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1 privilege of using, in the metropolitan area, any item of
2 tangible personal property that is purchased outside the
3 metropolitan area at retail from a retailer, and that is
4 titled or registered at a location within the metropolitan
5 area with an agency of this State's government. "Selling
6 price" is defined as in the Use Tax Act. The tax shall be
7 collected from persons whose Illinois address for titling or
8 registration purposes is given as being in the metropolitan
9 area. The tax shall be collected by the Department of
10 Revenue for the Authority. The tax must be paid to the State,
11 or an exemption determination must be obtained from the
12 Department of Revenue, before the title or certificate of
13 registration for the property may be issued. The tax or
14 proof of exemption may be transmitted to the Department by
15 way of the State agency with which, or the State officer with
16 whom, the tangible personal property must be titled or
17 registered if the Department and the State agency or State
18 officer determine that this procedure will expedite the
19 processing of applications for title or registration.
20 The Department has full power to administer and enforce
21 this paragraph; to collect all taxes, penalties and interest
22 due hereunder; to dispose of taxes, penalties and interest so
23 collected in the manner hereinafter provided; and to
24 determine all rights to credit memoranda or refunds arising
25 on account of the erroneous payment of tax, penalty or
26 interest hereunder. In the administration of, and compliance
27 with, this subsection, the Department and persons who are
28 subject to this paragraph shall (i) have the same rights,
29 remedies, privileges, immunities, powers, and duties, (ii) be
30 subject to the same conditions, restrictions, limitations,
31 penalties, exclusions, exemptions, and definitions of terms,
32 and (iii) employ the same modes of procedure as are
33 prescribed in Sections 2 (except the definition of "retailer
34 maintaining a place of business in this State"), 3, 3-5,
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1 3-10, 3-45, 3-55, 3-65, 3-70, 3-85, 3a, 4, 6, 7, 8 (except
2 that the jurisdiction to which the tax shall be a debt to the
3 extent indicated in that Section 8 shall be the Authority), 9
4 (except provisions relating to quarter monthly payments), 10,
5 11, 12, 12a, 12b, 13, 14, 15, 19, 20, 21, and 22 of the Use
6 Tax Act and Section 3-7 of the Uniform Penalty and Interest
7 Act, that are not inconsistent with this paragraph, as fully
8 as if those provisions were set forth herein.
9 Whenever the Department determines that a refund should
10 be made under this subsection to a claimant instead of
11 issuing a credit memorandum, the Department shall notify the
12 State Comptroller, who shall cause the order to be drawn for
13 the amount specified, and to the person named, in the
14 notification from the Department. The refund shall be paid by
15 the State Treasurer out of the tax fund referenced under
16 paragraph (g) of this Section.
17 (e) A certificate of registration issued by the State
18 Department of Revenue to a retailer under the Retailers'
19 Occupation Tax Act or under the Service Occupation Tax Act
20 shall permit the registrant to engage in a business that is
21 taxed under the tax imposed under paragraphs (b), (c), or (d)
22 of this Section and no additional registration shall be
23 required. A certificate issued under the Use Tax Act or the
24 Service Use Tax Act shall be applicable with regard to any
25 tax imposed under paragraph (c) of this Section.
26 (f) The results of any election authorizing a
27 proposition to impose a tax under this Section or effecting a
28 change in the rate of tax shall be certified by the proper
29 election authorities and filed with the Illinois Department
30 on or before the first day of April. In addition, an
31 ordinance imposing, discontinuing, or effecting a change in
32 the rate of tax under this Section shall be adopted and a
33 certified copy thereof filed with the Department on or before
34 the first day of April. After proper receipt of such
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1 certifications, the Department shall proceed to administer
2 and enforce this Section as of the first day of July next
3 following such adoption and filing.
4 (g) The Department of Revenue shall, upon collecting any
5 taxes and penalties as provided in this Section, pay the
6 taxes and penalties over to the State Treasurer as trustee
7 for the Authority. The taxes and penalties shall be held in a
8 trust fund outside the State Treasury. On or before the 25th
9 day of each calendar month, the Department of Revenue shall
10 prepare and certify to the Comptroller of the State of
11 Illinois the amount to be paid to the Authority, which shall
12 be the balance in the fund, less any amount determined by the
13 Department to be necessary for the payment of refunds. Within
14 10 days after receipt by the Comptroller of the certification
15 of the amount to be paid to the Authority, the Comptroller
16 shall cause an order to be drawn for payment for the amount
17 in accordance with the directions contained in the
18 certification. Amounts received from the tax imposed under
19 this Section shall be used only for the support,
20 construction, maintenance, or financing of a facility of the
21 Authority.
22 (h) When certifying the amount of a monthly disbursement
23 to the Authority under this Section, the Department shall
24 increase or decrease the amounts by an amount necessary to
25 offset any miscalculation of previous disbursements. The
26 offset amount shall be the amount erroneously disbursed
27 within the previous 6 months from the time a miscalculation
28 is discovered.
29 (i) This Section may be cited as the Salem Civic Center
30 Use and Occupation Tax Law.
31 (Source: P.A. 90-328, eff. 1-1-98.)
32 Section 40. The Local Mass Transit District Act is
33 amended by changing Section 5.01 as follows:
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1 (70 ILCS 3610/5.01) (from Ch. 111 2/3, par. 355.01)
2 Sec. 5.01. Metro East Mass Transit District; use and
3 occupation taxes.
4 (a) The Board of Trustees of any Metro East Mass Transit
5 District may, by ordinance adopted with the concurrence of
6 two-thirds of the then trustees, impose throughout the
7 District any or all of the taxes and fees provided in this
8 Section. All taxes and fees imposed under this Section shall
9 be used only for public mass transportation systems, and the
10 amount used to provide mass transit service to unserved areas
11 of the District shall be in the same proportion to the total
12 proceeds as the number of persons residing in the unserved
13 areas is to the total population of the District. Except as
14 otherwise provided in this Act, taxes imposed under this
15 Section and civil penalties imposed incident thereto shall be
16 collected and enforced by the State Department of Revenue.
17 The Department shall have the power to administer and enforce
18 the taxes and to determine all rights for refunds for
19 erroneous payments of the taxes.
20 (b) The Board may impose a Metro East Mass Transit
21 District Retailers' Occupation Tax upon all persons engaged
22 in the business of selling tangible personal property at
23 retail in the district at a rate of 1/4 of 1%, or as
24 authorized under subsection (d-5) of this Section, of the
25 gross receipts from the sales made in the course of such
26 business within the district. The tax imposed under this
27 Section and all civil penalties that may be assessed as an
28 incident thereof shall be collected and enforced by the State
29 Department of Revenue. The Department shall have full power
30 to administer and enforce this Section; to collect all taxes
31 and penalties so collected in the manner hereinafter
32 provided; and to determine all rights to credit memoranda
33 arising on account of the erroneous payment of tax or penalty
34 hereunder. In the administration of, and compliance with,
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1 this Section, the Department and persons who are subject to
2 this Section shall have the same rights, remedies,
3 privileges, immunities, powers and duties, and be subject to
4 the same conditions, restrictions, limitations, penalties,
5 exclusions, exemptions and definitions of terms and employ
6 the same modes of procedure, as are prescribed in Sections 1,
7 1a, 1a-1, 1c, 1d, 1e, 1f, 1i, 1j, 2 through 2-65 (in respect
8 to all provisions therein other than the State rate of tax),
9 2c, 3 (except as to the disposition of taxes and penalties
10 collected), 4, 5, 5a, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l,
11 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12, 13, and 14 of the
12 Retailers' Occupation Tax Act and Section 3-7 of the Uniform
13 Penalty and Interest Act, as fully as if those provisions
14 were set forth herein.
15 If the Board has not imposed a tax under this subsection
16 on the gross receipts from the sale of motor fuel or gasohol
17 before the effective date of this amendatory Act of the 91st
18 General Assembly, then the Board shall not impose such a tax
19 on or after that date. If the Board has imposed a tax under
20 this subsection on the gross receipts from the sale of motor
21 fuel or gasohol before the effective date of this amendatory
22 Act of the 91st General Assembly, then the Board shall not
23 increase the rate of the tax on or after that date.
24 Persons subject to any tax imposed under the Section may
25 reimburse themselves for their seller's tax liability
26 hereunder by separately stating the tax as an additional
27 charge, which charge may be stated in combination, in a
28 single amount, with State taxes that sellers are required to
29 collect under the Use Tax Act, in accordance with such
30 bracket schedules as the Department may prescribe.
31 Whenever the Department determines that a refund should
32 be made under this Section to a claimant instead of issuing a
33 credit memorandum, the Department shall notify the State
34 Comptroller, who shall cause the warrant to be drawn for the
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1 amount specified, and to the person named, in the
2 notification from the Department. The refund shall be paid
3 by the State Treasurer out of the Metro East Mass Transit
4 District tax fund established under paragraph (g) of this
5 Section.
6 If a tax is imposed under this subsection (b), a tax
7 shall also be imposed under subsections (c) and (d) of this
8 Section.
9 For the purpose of determining whether a tax authorized
10 under this Section is applicable, a retail sale, by a
11 producer of coal or other mineral mined in Illinois, is a
12 sale at retail at the place where the coal or other mineral
13 mined in Illinois is extracted from the earth. This
14 paragraph does not apply to coal or other mineral when it is
15 delivered or shipped by the seller to the purchaser at a
16 point outside Illinois so that the sale is exempt under the
17 Federal Constitution as a sale in interstate or foreign
18 commerce.
19 Nothing in this Section shall be construed to authorize
20 the Metro East Mass Transit District to impose a tax upon the
21 privilege of engaging in any business which under the
22 Constitution of the United States may not be made the subject
23 of taxation by this State.
24 (c) If a tax has been imposed under subsection (b), a
25 Metro East Mass Transit District Service Occupation Tax shall
26 also be imposed upon all persons engaged, in the district, in
27 the business of making sales of service, who, as an incident
28 to making those sales of service, transfer tangible personal
29 property within the District, either in the form of tangible
30 personal property or in the form of real estate as an
31 incident to a sale of service. The tax rate shall be 1/4%, or
32 as authorized under subsection (d-5) of this Section, of the
33 selling price of tangible personal property so transferred
34 within the district. The tax imposed under this paragraph
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1 and all civil penalties that may be assessed as an incident
2 thereof shall be collected and enforced by the State
3 Department of Revenue. The Department shall have full power
4 to administer and enforce this paragraph; to collect all
5 taxes and penalties due hereunder; to dispose of taxes and
6 penalties so collected in the manner hereinafter provided;
7 and to determine all rights to credit memoranda arising on
8 account of the erroneous payment of tax or penalty hereunder.
9 In the administration of, and compliance with this paragraph,
10 the Department and persons who are subject to this paragraph
11 shall have the same rights, remedies, privileges, immunities,
12 powers and duties, and be subject to the same conditions,
13 restrictions, limitations, penalties, exclusions, exemptions
14 and definitions of terms and employ the same modes of
15 procedure as are prescribed in Sections 1a-1, 2 (except that
16 the reference to State in the definition of supplier
17 maintaining a place of business in this State shall mean the
18 Authority), 2a, 3 through 3-50 (in respect to all provisions
19 therein other than the State rate of tax), 4 (except that the
20 reference to the State shall be to the Authority), 5, 7, 8
21 (except that the jurisdiction to which the tax shall be a
22 debt to the extent indicated in that Section 8 shall be the
23 District), 9 (except as to the disposition of taxes and
24 penalties collected, and except that the returned merchandise
25 credit for this tax may not be taken against any State tax),
26 10, 11, 12 (except the reference therein to Section 2b of the
27 Retailers' Occupation Tax Act), 13 (except that any reference
28 to the State shall mean the District), the first paragraph of
29 Section 15, 16, 17, 18, 19 and 20 of the Service Occupation
30 Tax Act and Section 3-7 of the Uniform Penalty and Interest
31 Act, as fully as if those provisions were set forth herein.
32 If the Board has not imposed a tax under this subsection
33 on the selling price of motor fuel or gasohol before the
34 effective date of this amendatory Act of the 91st General
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1 Assembly, then the Board shall not impose such a tax on or
2 after that date. If the Board has imposed a tax under this
3 subsection on the selling price of motor fuel or gasohol
4 before the effective date of this amendatory Act of the 91st
5 General Assembly, then the Board shall not increase the rate
6 of the tax on or after that date.
7 Persons subject to any tax imposed under the authority
8 granted in this paragraph may reimburse themselves for their
9 serviceman's tax liability hereunder by separately stating
10 the tax as an additional charge, which charge may be stated
11 in combination, in a single amount, with State tax that
12 servicemen are authorized to collect under the Service Use
13 Tax Act, in accordance with such bracket schedules as the
14 Department may prescribe.
15 Whenever the Department determines that a refund should
16 be made under this paragraph to a claimant instead of issuing
17 a credit memorandum, the Department shall notify the State
18 Comptroller, who shall cause the warrant to be drawn for the
19 amount specified, and to the person named, in the
20 notification from the Department. The refund shall be paid
21 by the State Treasurer out of the Metro East Mass Transit
22 District tax fund established under paragraph (g) of this
23 Section.
24 Nothing in this paragraph shall be construed to authorize
25 the District to impose a tax upon the privilege of engaging
26 in any business which under the Constitution of the United
27 States may not be made the subject of taxation by the State.
28 (d) If a tax has been imposed under subsection (b), a
29 Metro East Mass Transit District Use Tax shall also be
30 imposed upon the privilege of using, in the district, any
31 item of tangible personal property that is purchased outside
32 the district at retail from a retailer, and that is titled or
33 registered with an agency of this State's government, at a
34 rate of 1/4%, or as authorized under subsection (d-5) of this
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1 Section, of the selling price of the tangible personal
2 property within the District, as "selling price" is defined
3 in the Use Tax Act. The tax shall be collected from persons
4 whose Illinois address for titling or registration purposes
5 is given as being in the District. The tax shall be
6 collected by the Department of Revenue for the Metro East
7 Mass Transit District. The tax must be paid to the State, or
8 an exemption determination must be obtained from the
9 Department of Revenue, before the title or certificate of
10 registration for the property may be issued. The tax or
11 proof of exemption may be transmitted to the Department by
12 way of the State agency with which, or the State officer with
13 whom, the tangible personal property must be titled or
14 registered if the Department and the State agency or State
15 officer determine that this procedure will expedite the
16 processing of applications for title or registration.
17 The Department shall have full power to administer and
18 enforce this paragraph; to collect all taxes, penalties and
19 interest due hereunder; to dispose of taxes, penalties and
20 interest so collected in the manner hereinafter provided; and
21 to determine all rights to credit memoranda or refunds
22 arising on account of the erroneous payment of tax, penalty
23 or interest hereunder. In the administration of, and
24 compliance with, this paragraph, the Department and persons
25 who are subject to this paragraph shall have the same rights,
26 remedies, privileges, immunities, powers and duties, and be
27 subject to the same conditions, restrictions, limitations,
28 penalties, exclusions, exemptions and definitions of terms
29 and employ the same modes of procedure, as are prescribed in
30 Sections 2 (except the definition of "retailer maintaining a
31 place of business in this State"), 3 through 3-80 (except
32 provisions pertaining to the State rate of tax, and except
33 provisions concerning collection or refunding of the tax by
34 retailers), 4, 11, 12, 12a, 14, 15, 19 (except the portions
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1 pertaining to claims by retailers and except the last
2 paragraph concerning refunds), 20, 21 and 22 of the Use Tax
3 Act and Section 3-7 of the Uniform Penalty and Interest Act,
4 that are not inconsistent with this paragraph, as fully as if
5 those provisions were set forth herein.
6 Whenever the Department determines that a refund should
7 be made under this paragraph to a claimant instead of issuing
8 a credit memorandum, the Department shall notify the State
9 Comptroller, who shall cause the order to be drawn for the
10 amount specified, and to the person named, in the
11 notification from the Department. The refund shall be paid by
12 the State Treasurer out of the Metro East Mass Transit
13 District tax fund established under paragraph (g) of this
14 Section.
15 (d-5) The county board of any county participating in
16 the Metro East Mass Transit District may authorize, by
17 ordinance, a referendum on the question of whether the tax
18 rates for the Metro East Mass Transit District Retailers'
19 Occupation Tax, the Metro East Mass Transit District Service
20 Occupation Tax, and the Metro East Mass Transit District Use
21 Tax for the District should be increased from 0.25% to 0.75%.
22 Upon adopting the ordinance, the county board shall certify
23 the proposition to the proper election officials who shall
24 submit the proposition to the voters of the District at the
25 next election, in accordance with the general election law.
26 The proposition shall be in substantially the following
27 form:
28 Shall the tax rates for the Metro East Mass Transit
29 District Retailers' Occupation Tax, the Metro East Mass
30 Transit District Service Occupation Tax, and the Metro
31 East Mass Transit District Use Tax be increased from
32 0.25% to 0.75%?
33 The votes shall be recorded as "YES" or "NO". If a
34 majority of all votes cast on the proposition are for the
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1 increase in the tax rates, the Metro East Mass Transit
2 District shall begin imposing the increased rates in the
3 District, and the Department of Revenue shall begin
4 collecting the increased amounts, as provided under this
5 Section. An ordinance imposing or discontinuing a tax
6 hereunder or effecting a change in the rate thereof shall be
7 adopted and a certified copy thereof filed with the
8 Department on or before the first day of October, whereupon
9 the Department shall proceed to administer and enforce this
10 Section as of the first day of January next following the
11 adoption and filing.
12 If the voters have approved a referendum under this
13 subsection, before November 1, 1994, to increase the tax rate
14 under this subsection, the Metro East Mass Transit District
15 Board of Trustees may adopt by a majority vote an ordinance
16 at any time before January 1, 1995 that excludes from the
17 rate increase tangible personal property that is titled or
18 registered with an agency of this State's government. The
19 ordinance excluding titled or registered tangible personal
20 property from the rate increase must be filed with the
21 Department at least 15 days before its effective date. At any
22 time after adopting an ordinance excluding from the rate
23 increase tangible personal property that is titled or
24 registered with an agency of this State's government, the
25 Metro East Mass Transit District Board of Trustees may adopt
26 an ordinance applying the rate increase to that tangible
27 personal property. The ordinance shall be adopted, and a
28 certified copy of that ordinance shall be filed with the
29 Department, on or before October 1, whereupon the Department
30 shall proceed to administer and enforce the rate increase
31 against tangible personal property titled or registered with
32 an agency of this State's government as of the following
33 January 1. After December 31, 1995, any reimposed rate
34 increase in effect under this subsection shall no longer
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1 apply to tangible personal property titled or registered with
2 an agency of this State's government. Beginning January 1,
3 1996, the Board of Trustees of any Metro East Mass Transit
4 District may never reimpose a previously excluded tax rate
5 increase on tangible personal property titled or registered
6 with an agency of this State's government.
7 (d-6) If the Board of Trustees of any Metro East Mass
8 Transit District has imposed a rate increase under subsection
9 (d-5) and filed an ordinance with the Department of Revenue
10 excluding titled property from the higher rate, then that
11 Board may, by ordinance adopted with the concurrence of
12 two-thirds of the then trustees, impose throughout the
13 District a fee. The fee on the excluded property shall not
14 exceed $20 per retail transaction or an amount equal to the
15 amount of tax excluded, whichever is less, on tangible
16 personal property that is titled or registered with an agency
17 of this State's government. The Board of Trustees of any
18 Metro East Mass Transit District shall have full power to
19 administer and enforce this subsection and to determine all
20 rights to credit memoranda or refunds arising on account of
21 the erroneous payment of the fee hereunder. The Board shall
22 proceed to administer and enforce this subsection as of the
23 first day of the second month following the adoption of the
24 ordinance.
25 (d-7) If a fee has been imposed under subsection (d-6),
26 a fee shall also be imposed upon the privilege of using, in
27 the district, any item of tangible personal property that is
28 titled or registered with any agency of this State's
29 government, in an amount equal to the amount of the fee
30 imposed under subsection (d-6). The Board of Trustees of any
31 Metro East Mass Transit District shall have full power to
32 administer and enforce this subsection and to determine all
33 rights to credit memoranda or refunds arising on account of
34 the erroneous payment of the fee hereunder. The Board shall
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1 proceed to administer and enforce this subsection
2 concurrently with the administration of the fee imposed under
3 subsection (d-6).
4 (d-8) No item of titled property shall be subject to
5 both the higher rate approved by referendum, as authorized
6 under subsection (d-5), and any fee imposed under subsection
7 (d-6) or (d-7).
8 (d-9) If fees have been imposed under subsections (d-6)
9 and (d-7), the Board shall forward a copy of the ordinance
10 adopting such fees, which shall include all zip codes in
11 whole or in part within the boundaries of the district, to
12 the Secretary of State within thirty days. By the 25th of
13 each month, the Secretary of State shall subsequently provide
14 the Board with a list of identifiable retail transactions
15 subject to the .25% rate occurring within the zip codes which
16 are in whole or in part within the boundaries of the district
17 and a list of title applications for addresses within the
18 boundaries of the district for the previous month.
19 (d-10) In the event that a retailer fails to pay
20 applicable fees within 30 days of the date of the
21 transaction, a penalty shall be assessed at the rate of 25%
22 of the amount of fees. Interest on both late fees and
23 penalties shall be assessed at the rate of 1% per month. All
24 fees, penalties, and attorney fees shall constitute a lien on
25 the personal and real property of the retailer. The Board of
26 Trustees of any Metro East Transit District shall have full
27 power to administer and enforce this subsection.
28 (e) A certificate of registration issued by the State
29 Department of Revenue to a retailer under the Retailers'
30 Occupation Tax Act or under the Service Occupation Tax Act
31 shall permit the registrant to engage in a business that is
32 taxed under the tax imposed under paragraphs (b), (c) or (d)
33 of this Section and no additional registration shall be
34 required under the tax. A certificate issued under the Use
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1 Tax Act or the Service Use Tax Act shall be applicable with
2 regard to any tax imposed under paragraph (c) of this
3 Section.
4 (f) The Board may impose a replacement vehicle tax of
5 $50 on any passenger car, as defined in Section 1-157 of the
6 Illinois Vehicle Code, purchased within the district area by
7 or on behalf of an insurance company to replace a passenger
8 car of an insured person in settlement of a total loss claim.
9 The tax imposed may not become effective before the first day
10 of the month following the passage of the ordinance imposing
11 the tax and receipt of a certified copy of the ordinance by
12 the Department of Revenue. The Department of Revenue shall
13 collect the tax for the district in accordance with Sections
14 3-2002 and 3-2003 of the Illinois Vehicle Code.
15 The Department shall immediately pay over to the State
16 Treasurer, ex officio, as trustee, all taxes collected
17 hereunder. On or before the 25th day of each calendar month,
18 the Department shall prepare and certify to the Comptroller
19 the disbursement of stated sums of money to named districts,
20 the districts to be those from which retailers have paid
21 taxes or penalties hereunder to the Department during the
22 second preceding calendar month. The amount to be paid to
23 each district shall be the amount collected hereunder during
24 the second preceding calendar month by the Department, less
25 any amount determined by the Department to be necessary for
26 the payment of refunds. Within 10 days after receipt by the
27 Comptroller of the disbursement certification to the
28 districts, provided for in this Section to be given to the
29 Comptroller by the Department, the Comptroller shall cause
30 the orders to be drawn for the respective amounts in
31 accordance with the directions contained in the
32 certification.
33 (g) Any ordinance imposing or discontinuing any tax
34 under this Section shall be adopted and a certified copy
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1 thereof filed with the Department on or before June 1,
2 whereupon the Department of Revenue shall proceed to
3 administer and enforce this Section on behalf of the Metro
4 East Mass Transit District as of September 1 next following
5 such adoption and filing. Beginning January 1, 1992, an
6 ordinance or resolution imposing or discontinuing the tax
7 hereunder shall be adopted and a certified copy thereof filed
8 with the Department on or before the first day of July,
9 whereupon the Department shall proceed to administer and
10 enforce this Section as of the first day of October next
11 following such adoption and filing. Beginning January 1,
12 1993, except as provided in subsection (d-5) of this Section,
13 an ordinance or resolution imposing or discontinuing the tax
14 hereunder shall be adopted and a certified copy thereof filed
15 with the Department on or before the first day of October,
16 whereupon the Department shall proceed to administer and
17 enforce this Section as of the first day of January next
18 following such adoption and filing.
19 (h) The State Department of Revenue shall, upon
20 collecting any taxes as provided in this Section, pay the
21 taxes over to the State Treasurer as trustee for the
22 District. The taxes shall be held in a trust fund outside the
23 State Treasury. On or before the 25th day of each calendar
24 month, the State Department of Revenue shall prepare and
25 certify to the Comptroller of the State of Illinois the
26 amount to be paid to the District, which shall be the then
27 balance in the fund, less any amount determined by the
28 Department to be necessary for the payment of refunds. Within
29 10 days after receipt by the Comptroller of the certification
30 of the amount to be paid to the District, the Comptroller
31 shall cause an order to be drawn for payment for the amount
32 in accordance with the direction in the certification.
33 (Source: P.A. 88-115; 88-672, eff. 12-14-94; 89-436, eff.
34 1-1-96; 89-705, eff. 1-31-97.)
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1 Section 45. The Regional Transportation Authority Act is
2 amended by changing Section 4.03 as follows:
3 (70 ILCS 3615/4.03) (from Ch. 111 2/3, par. 704.03)
4 Sec. 4.03. Taxes.
5 (a) In order to carry out any of the powers or purposes
6 of the Authority, the Board may by ordinance adopted with the
7 concurrence of 9 of the then Directors, impose throughout the
8 metropolitan region any or all of the taxes provided in this
9 Section. Except as otherwise provided in this Act, taxes
10 imposed under this Section and civil penalties imposed
11 incident thereto shall be collected and enforced by the State
12 Department of Revenue. The Department shall have the power to
13 administer and enforce the taxes and to determine all rights
14 for refunds for erroneous payments of the taxes.
15 (b) The Board may impose a public transportation tax
16 upon all persons engaged in the metropolitan region in the
17 business of selling at retail motor fuel for operation of
18 motor vehicles upon public highways. The tax shall be at a
19 rate not to exceed 5% of the gross receipts from the sales of
20 motor fuel in the course of the business. As used in this
21 Act, the term "motor fuel" shall have the same meaning as in
22 the Motor Fuel Tax Act. The Board may provide for details of
23 the tax. The provisions of any tax shall conform, as closely
24 as may be practicable, to the provisions of the Municipal
25 Retailers Occupation Tax Act, including without limitation,
26 conformity to penalties with respect to the tax imposed and
27 as to the powers of the State Department of Revenue to
28 promulgate and enforce rules and regulations relating to the
29 administration and enforcement of the provisions of the tax
30 imposed, except that reference in the Act to any municipality
31 shall refer to the Authority and the tax shall be imposed
32 only with regard to receipts from sales of motor fuel in the
33 metropolitan region, at rates as limited by this Section.
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1 If the Board has not imposed a tax under this subsection
2 before the effective date of this amendatory Act of the 91st
3 General Assembly, then the Board shall not impose such a tax
4 on or after that date. If the Board has imposed a tax under
5 this subsection before the effective date of this amendatory
6 Act of the 91st General Assembly, then the Board shall not
7 increase the rate of the tax on or after that date.
8 (c) In connection with the tax imposed under paragraph
9 (b) of this Section the Board may impose a tax upon the
10 privilege of using in the metropolitan region motor fuel for
11 the operation of a motor vehicle upon public highways, the
12 tax to be at a rate not in excess of the rate of tax imposed
13 under paragraph (b) of this Section. The Board may provide
14 for details of the tax.
15 If the Board has not imposed a tax under this subsection
16 before the effective date of this amendatory Act of the 91st
17 General Assembly, then the Board shall not impose such a tax
18 on or after that date. If the Board has imposed a tax under
19 this subsection before the effective date of this amendatory
20 Act of the 91st General Assembly, then the Board shall not
21 increase the rate of the tax on or after that date.
22 (d) The Board may impose a motor vehicle parking tax
23 upon the privilege of parking motor vehicles at off-street
24 parking facilities in the metropolitan region at which a fee
25 is charged, and may provide for reasonable classifications in
26 and exemptions to the tax, for administration and enforcement
27 thereof and for civil penalties and refunds thereunder and
28 may provide criminal penalties thereunder, the maximum
29 penalties not to exceed the maximum criminal penalties
30 provided in the Retailers' Occupation Tax Act. The Authority
31 may collect and enforce the tax itself or by contract with
32 any unit of local government. The State Department of
33 Revenue shall have no responsibility for the collection and
34 enforcement unless the Department agrees with the Authority
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1 to undertake the collection and enforcement. As used in this
2 paragraph, the term "parking facility" means a parking area
3 or structure having parking spaces for more than 2 vehicles
4 at which motor vehicles are permitted to park in return for
5 an hourly, daily, or other periodic fee, whether publicly or
6 privately owned, but does not include parking spaces on a
7 public street, the use of which is regulated by parking
8 meters.
9 (e) The Board may impose a Regional Transportation
10 Authority Retailers' Occupation Tax upon all persons engaged
11 in the business of selling tangible personal property at
12 retail in the metropolitan region. In Cook County the tax
13 rate shall be 1% of the gross receipts from sales of food for
14 human consumption that is to be consumed off the premises
15 where it is sold (other than alcoholic beverages, soft drinks
16 and food that has been prepared for immediate consumption)
17 and prescription and nonprescription medicines, drugs,
18 medical appliances and insulin, urine testing materials,
19 syringes and needles used by diabetics, and 3/4% of the gross
20 receipts from other taxable sales made in the course of that
21 business. In DuPage, Kane, Lake, McHenry, and Will Counties,
22 the tax rate shall be 1/4% of the gross receipts from all
23 taxable sales made in the course of that business. The tax
24 imposed under this Section and all civil penalties that may
25 be assessed as an incident thereof shall be collected and
26 enforced by the State Department of Revenue. The Department
27 shall have full power to administer and enforce this Section;
28 to collect all taxes and penalties so collected in the manner
29 hereinafter provided; and to determine all rights to credit
30 memoranda arising on account of the erroneous payment of tax
31 or penalty hereunder. In the administration of, and
32 compliance with this Section, the Department and persons who
33 are subject to this Section shall have the same rights,
34 remedies, privileges, immunities, powers and duties, and be
-138- LRB9100968PTpk
1 subject to the same conditions, restrictions, limitations,
2 penalties, exclusions, exemptions and definitions of terms,
3 and employ the same modes of procedure, as are prescribed in
4 Sections 1, 1a, 1a-1, 1c, 1d, 1e, 1f, 1i, 1j, 2 through 2-65
5 (in respect to all provisions therein other than the State
6 rate of tax), 2c, 3 (except as to the disposition of taxes
7 and penalties collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g,
8 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12 and 13
9 of the Retailers' Occupation Tax Act and Section 3-7 of the
10 Uniform Penalty and Interest Act, as fully as if those
11 provisions were set forth herein.
12 If the Board has not imposed a tax under this subsection
13 on the gross receipts from the sale of motor fuel or gasohol
14 before the effective date of this amendatory Act of the 91st
15 General Assembly, then the Board shall not impose such a tax
16 on or after that date. If the Board has imposed a tax under
17 this subsection on the gross receipts from the sale of motor
18 fuel or gasohol before the effective date of this amendatory
19 Act of the 91st General Assembly, then the Board shall not
20 increase the rate of the tax on or after that date.
21 Persons subject to any tax imposed under the authority
22 granted in this Section may reimburse themselves for their
23 seller's tax liability hereunder by separately stating the
24 tax as an additional charge, which charge may be stated in
25 combination in a single amount with State taxes that sellers
26 are required to collect under the Use Tax Act, under any
27 bracket schedules the Department may prescribe.
28 Whenever the Department determines that a refund should
29 be made under this Section to a claimant instead of issuing a
30 credit memorandum, the Department shall notify the State
31 Comptroller, who shall cause the warrant to be drawn for the
32 amount specified, and to the person named, in the
33 notification from the Department. The refund shall be paid
34 by the State Treasurer out of the Regional Transportation
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1 Authority tax fund established under paragraph (n) of this
2 Section.
3 If a tax is imposed under this subsection (e), a tax
4 shall also be imposed under subsections (f) and (g) of this
5 Section.
6 For the purpose of determining whether a tax authorized
7 under this Section is applicable, a retail sale by a producer
8 of coal or other mineral mined in Illinois, is a sale at
9 retail at the place where the coal or other mineral mined in
10 Illinois is extracted from the earth. This paragraph does not
11 apply to coal or other mineral when it is delivered or
12 shipped by the seller to the purchaser at a point outside
13 Illinois so that the sale is exempt under the Federal
14 Constitution as a sale in interstate or foreign commerce.
15 Nothing in this Section shall be construed to authorize
16 the Regional Transportation Authority to impose a tax upon
17 the privilege of engaging in any business that under the
18 Constitution of the United States may not be made the subject
19 of taxation by this State.
20 (f) If a tax has been imposed under paragraph (e), a tax
21 shall also be imposed upon all persons engaged, in the
22 metropolitan region in the business of making sales of
23 service, who as an incident to making the sales of service,
24 transfer tangible personal property within the metropolitan
25 region, either in the form of tangible personal property or
26 in the form of real estate as an incident to a sale of
27 service. In Cook County, the tax rate shall be: (1) 1% of
28 the serviceman's cost price of food prepared for immediate
29 consumption and transferred incident to a sale of service
30 subject to the service occupation tax by an entity licensed
31 under the Hospital Licensing Act or the Nursing Home Care Act
32 that is located in the metropolitan region; (2) 1% of the
33 selling price of food for human consumption that is to be
34 consumed off the premises where it is sold (other than
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1 alcoholic beverages, soft drinks and food that has been
2 prepared for immediate consumption) and prescription and
3 nonprescription medicines, drugs, medical appliances and
4 insulin, urine testing materials, syringes and needles used
5 by diabetics; and (3) 3/4% of the selling price from other
6 taxable sales of tangible personal property transferred. In
7 DuPage, Kane, Lake, McHenry and Will Counties the rate shall
8 be 1/4% of the selling price of all tangible personal
9 property transferred.
10 The tax imposed under this paragraph and all civil
11 penalties that may be assessed as an incident thereof shall
12 be collected and enforced by the State Department of Revenue.
13 The Department shall have full power to administer and
14 enforce this paragraph; to collect all taxes and penalties
15 due hereunder; to dispose of taxes and penalties collected in
16 the manner hereinafter provided; and to determine all rights
17 to credit memoranda arising on account of the erroneous
18 payment of tax or penalty hereunder. In the administration
19 of and compliance with this paragraph, the Department and
20 persons who are subject to this paragraph shall have the same
21 rights, remedies, privileges, immunities, powers and duties,
22 and be subject to the same conditions, restrictions,
23 limitations, penalties, exclusions, exemptions and
24 definitions of terms, and employ the same modes of procedure,
25 as are prescribed in Sections 1a-1, 2, 2a, 3 through 3-50 (in
26 respect to all provisions therein other than the State rate
27 of tax), 4 (except that the reference to the State shall be
28 to the Authority), 5, 7, 8 (except that the jurisdiction to
29 which the tax shall be a debt to the extent indicated in that
30 Section 8 shall be the Authority), 9 (except as to the
31 disposition of taxes and penalties collected, and except that
32 the returned merchandise credit for this tax may not be taken
33 against any State tax), 10, 11, 12 (except the reference
34 therein to Section 2b of the Retailers' Occupation Tax Act),
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1 13 (except that any reference to the State shall mean the
2 Authority), the first paragraph of Section 15, 16, 17, 18, 19
3 and 20 of the Service Occupation Tax Act and Section 3-7 of
4 the Uniform Penalty and Interest Act, as fully as if those
5 provisions were set forth herein.
6 If the Board has not imposed a tax under this subsection
7 on the selling price of motor fuel or gasohol before the
8 effective date of this amendatory Act of the 91st General
9 Assembly, then the Board shall not impose such a tax on or
10 after that date. If the Board has imposed a tax under this
11 subsection on the selling price of motor fuel or gasohol
12 before the effective date of this amendatory Act of the 91st
13 General Assembly, then the Board shall not increase the rate
14 of the tax on or after that date.
15 Persons subject to any tax imposed under the authority
16 granted in this paragraph may reimburse themselves for their
17 serviceman's tax liability hereunder by separately stating
18 the tax as an additional charge, that charge may be stated in
19 combination in a single amount with State tax that servicemen
20 are authorized to collect under the Service Use Tax Act,
21 under any bracket schedules the Department may prescribe.
22 Whenever the Department determines that a refund should
23 be made under this paragraph to a claimant instead of issuing
24 a credit memorandum, the Department shall notify the State
25 Comptroller, who shall cause the warrant to be drawn for the
26 amount specified, and to the person named in the notification
27 from the Department. The refund shall be paid by the State
28 Treasurer out of the Regional Transportation Authority tax
29 fund established under paragraph (n) of this Section.
30 Nothing in this paragraph shall be construed to authorize
31 the Authority to impose a tax upon the privilege of engaging
32 in any business that under the Constitution of the United
33 States may not be made the subject of taxation by the State.
34 (g) If a tax has been imposed under paragraph (e), a tax
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1 shall also be imposed upon the privilege of using in the
2 metropolitan region, any item of tangible personal property
3 that is purchased outside the metropolitan region at retail
4 from a retailer, and that is titled or registered with an
5 agency of this State's government. In Cook County the tax
6 rate shall be 3/4% of the selling price of the tangible
7 personal property, as "selling price" is defined in the Use
8 Tax Act. In DuPage, Kane, Lake, McHenry and Will counties
9 the tax rate shall be 1/4% of the selling price of the
10 tangible personal property, as "selling price" is defined in
11 the Use Tax Act. The tax shall be collected from persons
12 whose Illinois address for titling or registration purposes
13 is given as being in the metropolitan region. The tax shall
14 be collected by the Department of Revenue for the Regional
15 Transportation Authority. The tax must be paid to the State,
16 or an exemption determination must be obtained from the
17 Department of Revenue, before the title or certificate of
18 registration for the property may be issued. The tax or proof
19 of exemption may be transmitted to the Department by way of
20 the State agency with which, or the State officer with whom,
21 the tangible personal property must be titled or registered
22 if the Department and the State agency or State officer
23 determine that this procedure will expedite the processing of
24 applications for title or registration.
25 The Department shall have full power to administer and
26 enforce this paragraph; to collect all taxes, penalties and
27 interest due hereunder; to dispose of taxes, penalties and
28 interest collected in the manner hereinafter provided; and to
29 determine all rights to credit memoranda or refunds arising
30 on account of the erroneous payment of tax, penalty or
31 interest hereunder. In the administration of and compliance
32 with this paragraph, the Department and persons who are
33 subject to this paragraph shall have the same rights,
34 remedies, privileges, immunities, powers and duties, and be
-143- LRB9100968PTpk
1 subject to the same conditions, restrictions, limitations,
2 penalties, exclusions, exemptions and definitions of terms
3 and employ the same modes of procedure, as are prescribed in
4 Sections 2 (except the definition of "retailer maintaining a
5 place of business in this State"), 3 through 3-80 (except
6 provisions pertaining to the State rate of tax, and except
7 provisions concerning collection or refunding of the tax by
8 retailers), 4, 11, 12, 12a, 14, 15, 19 (except the portions
9 pertaining to claims by retailers and except the last
10 paragraph concerning refunds), 20, 21 and 22 of the Use Tax
11 Act, and are not inconsistent with this paragraph, as fully
12 as if those provisions were set forth herein.
13 Whenever the Department determines that a refund should
14 be made under this paragraph to a claimant instead of issuing
15 a credit memorandum, the Department shall notify the State
16 Comptroller, who shall cause the order to be drawn for the
17 amount specified, and to the person named in the notification
18 from the Department. The refund shall be paid by the State
19 Treasurer out of the Regional Transportation Authority tax
20 fund established under paragraph (n) of this Section.
21 (h) The Authority may impose a replacement vehicle tax
22 of $50 on any passenger car as defined in Section 1-157 of
23 the Illinois Vehicle Code purchased within the metropolitan
24 region by or on behalf of an insurance company to replace a
25 passenger car of an insured person in settlement of a total
26 loss claim. The tax imposed may not become effective before
27 the first day of the month following the passage of the
28 ordinance imposing the tax and receipt of a certified copy of
29 the ordinance by the Department of Revenue. The Department
30 of Revenue shall collect the tax for the Authority in
31 accordance with Sections 3-2002 and 3-2003 of the Illinois
32 Vehicle Code.
33 The Department shall immediately pay over to the State
34 Treasurer, ex officio, as trustee, all taxes collected
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1 hereunder. On or before the 25th day of each calendar month,
2 the Department shall prepare and certify to the Comptroller
3 the disbursement of stated sums of money to the Authority.
4 The amount to be paid to the Authority shall be the amount
5 collected hereunder during the second preceding calendar
6 month by the Department, less any amount determined by the
7 Department to be necessary for the payment of refunds.
8 Within 10 days after receipt by the Comptroller of the
9 disbursement certification to the Authority provided for in
10 this Section to be given to the Comptroller by the
11 Department, the Comptroller shall cause the orders to be
12 drawn for that amount in accordance with the directions
13 contained in the certification.
14 (i) The Board may not impose any other taxes except as
15 it may from time to time be authorized by law to impose.
16 (j) A certificate of registration issued by the State
17 Department of Revenue to a retailer under the Retailers'
18 Occupation Tax Act or under the Service Occupation Tax Act
19 shall permit the registrant to engage in a business that is
20 taxed under the tax imposed under paragraphs (b), (e), (f) or
21 (g) of this Section and no additional registration shall be
22 required under the tax. A certificate issued under the Use
23 Tax Act or the Service Use Tax Act shall be applicable with
24 regard to any tax imposed under paragraph (c) of this
25 Section.
26 (k) The provisions of any tax imposed under paragraph
27 (c) of this Section shall conform as closely as may be
28 practicable to the provisions of the Use Tax Act, including
29 without limitation conformity as to penalties with respect to
30 the tax imposed and as to the powers of the State Department
31 of Revenue to promulgate and enforce rules and regulations
32 relating to the administration and enforcement of the
33 provisions of the tax imposed. The taxes shall be imposed
34 only on use within the metropolitan region and at rates as
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1 provided in the paragraph.
2 (l) The Board in imposing any tax as provided in
3 paragraphs (b) and (c) of this Section, shall, after seeking
4 the advice of the State Department of Revenue, provide means
5 for retailers, users or purchasers of motor fuel for purposes
6 other than those with regard to which the taxes may be
7 imposed as provided in those paragraphs to receive refunds of
8 taxes improperly paid, which provisions may be at variance
9 with the refund provisions as applicable under the Municipal
10 Retailers Occupation Tax Act. The State Department of
11 Revenue may provide for certificates of registration for
12 users or purchasers of motor fuel for purposes other than
13 those with regard to which taxes may be imposed as provided
14 in paragraphs (b) and (c) of this Section to facilitate the
15 reporting and nontaxability of the exempt sales or uses.
16 (m) Any ordinance imposing or discontinuing any tax
17 under this Section shall be adopted and a certified copy
18 thereof filed with the Department on or before June 1,
19 whereupon the Department of Revenue shall proceed to
20 administer and enforce this Section on behalf of the Regional
21 Transportation Authority as of September 1 next following
22 such adoption and filing. Beginning January 1, 1992, an
23 ordinance or resolution imposing or discontinuing the tax
24 hereunder shall be adopted and a certified copy thereof filed
25 with the Department on or before the first day of July,
26 whereupon the Department shall proceed to administer and
27 enforce this Section as of the first day of October next
28 following such adoption and filing. Beginning January 1,
29 1993, an ordinance or resolution imposing or discontinuing
30 the tax hereunder shall be adopted and a certified copy
31 thereof filed with the Department on or before the first day
32 of October, whereupon the Department shall proceed to
33 administer and enforce this Section as of the first day of
34 January next following such adoption and filing.
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1 (n) The State Department of Revenue shall, upon
2 collecting any taxes as provided in this Section, pay the
3 taxes over to the State Treasurer as trustee for the
4 Authority. The taxes shall be held in a trust fund outside
5 the State Treasury. On or before the 25th day of each
6 calendar month, the State Department of Revenue shall prepare
7 and certify to the Comptroller of the State of Illinois the
8 amount to be paid to the Authority, which shall be the then
9 balance in the fund, less any amount determined by the
10 Department to be necessary for the payment of refunds. The
11 State Department of Revenue shall also certify to the
12 Authority the amount of taxes collected in each County other
13 than Cook County in the metropolitan region less the amount
14 necessary for the payment of refunds to taxpayers in the
15 County. With regard to the County of Cook, the certification
16 shall specify the amount of taxes collected within the City
17 of Chicago less the amount necessary for the payment of
18 refunds to taxpayers in the City of Chicago and the amount
19 collected in that portion of Cook County outside of Chicago
20 less the amount necessary for the payment of refunds to
21 taxpayers in that portion of Cook County outside of Chicago.
22 Within 10 days after receipt by the Comptroller of the
23 certification of the amount to be paid to the Authority, the
24 Comptroller shall cause an order to be drawn for the payment
25 for the amount in accordance with the direction in the
26 certification.
27 In addition to the disbursement required by the preceding
28 paragraph, an allocation shall be made in July 1991 and each
29 year thereafter to the Regional Transportation Authority.
30 The allocation shall be made in an amount equal to the
31 average monthly distribution during the preceding calendar
32 year (excluding the 2 months of lowest receipts) and the
33 allocation shall include the amount of average monthly
34 distribution from the Regional Transportation Authority
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1 Occupation and Use Tax Replacement Fund. The distribution
2 made in July 1992 and each year thereafter under this
3 paragraph and the preceding paragraph shall be reduced by the
4 amount allocated and disbursed under this paragraph in the
5 preceding calendar year. The Department of Revenue shall
6 prepare and certify to the Comptroller for disbursement the
7 allocations made in accordance with this paragraph.
8 (o) Failure to adopt a budget ordinance or otherwise to
9 comply with Section 4.01 of this Act or to adopt a Five-year
10 Program or otherwise to comply with paragraph (b) of Section
11 2.01 of this Act shall not affect the validity of any tax
12 imposed by the Authority otherwise in conformity with law.
13 (p) At no time shall a public transportation tax or
14 motor vehicle parking tax authorized under paragraphs (b),
15 (c) and (d) of this Section be in effect at the same time as
16 any retailers' occupation, use or service occupation tax
17 authorized under paragraphs (e), (f) and (g) of this Section
18 is in effect.
19 Any taxes imposed under the authority provided in
20 paragraphs (b), (c) and (d) shall remain in effect only until
21 the time as any tax authorized by paragraphs (e), (f) or (g)
22 of this Section are imposed and becomes effective. Once any
23 tax authorized by paragraphs (e), (f) or (g) is imposed the
24 Board may not reimpose taxes as authorized in paragraphs (b),
25 (c) and (d) of the Section unless any tax authorized by
26 paragraphs (e), (f) or (g) of this Section becomes
27 ineffective by means other than an ordinance of the Board.
28 (q) Any existing rights, remedies and obligations
29 (including enforcement by the Regional Transportation
30 Authority) arising under any tax imposed under paragraphs
31 (b), (c) or (d) of this Section shall not be affected by the
32 imposition of a tax under paragraphs (e), (f) or (g) of this
33 Section.
34 (Source: P.A. 86-928; 86-1475; 86-1481; 87-205; 87-435;
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1 87-876; 87-895.)
2 Section 50. The Water Commission Act of 1985 is amended
3 by changing Section 4 as follows:
4 (70 ILCS 3720/4) (from Ch. 111 2/3, par. 254)
5 Sec. 4. Taxes.
6 (a) The board of commissioners of any county water
7 commission may, by ordinance, impose throughout the territory
8 of the commission any or all of the taxes provided in this
9 Section for its corporate purposes. However, no county water
10 commission may impose any such tax unless the commission
11 certifies the proposition of imposing the tax to the proper
12 election officials, who shall submit the proposition to the
13 voters residing in the territory at an election in accordance
14 with the general election law, and the proposition has been
15 approved by a majority of those voting on the proposition.
16 The proposition shall be in the form provided in Section
17 5 or shall be substantially in the following form:
18 -------------------------------------------------------------
19 Shall the (insert corporate
20 name of county water commission) YES
21 impose (state type of tax or ------------------------
22 taxes to be imposed) at the NO
23 rate of 1/4%?
24 -------------------------------------------------------------
25 Taxes imposed under this Section and civil penalties
26 imposed incident thereto shall be collected and enforced by
27 the State Department of Revenue. The Department shall have
28 the power to administer and enforce the taxes and to
29 determine all rights for refunds for erroneous payments of
30 the taxes.
31 (b) The board of commissioners may impose a County Water
32 Commission Retailers' Occupation Tax upon all persons engaged
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1 in the business of selling tangible personal property at
2 retail in the territory of the commission at a rate of 1/4%
3 of the gross receipts from the sales made in the course of
4 such business within the territory. The tax imposed under
5 this paragraph and all civil penalties that may be assessed
6 as an incident thereof shall be collected and enforced by the
7 State Department of Revenue. The Department shall have full
8 power to administer and enforce this paragraph; to collect
9 all taxes and penalties due hereunder; to dispose of taxes
10 and penalties so collected in the manner hereinafter
11 provided; and to determine all rights to credit memoranda
12 arising on account of the erroneous payment of tax or penalty
13 hereunder. In the administration of, and compliance with,
14 this paragraph, the Department and persons who are subject to
15 this paragraph shall have the same rights, remedies,
16 privileges, immunities, powers and duties, and be subject to
17 the same conditions, restrictions, limitations, penalties,
18 exclusions, exemptions and definitions of terms, and employ
19 the same modes of procedure, as are prescribed in Sections 1,
20 1a, 1a-1, 1c, 1d, 1e, 1f, 1i, 1j, 2 through 2-65 (in respect
21 to all provisions therein other than the State rate of tax
22 except that food for human consumption that is to be consumed
23 off the premises where it is sold (other than alcoholic
24 beverages, soft drinks, and food that has been prepared for
25 immediate consumption) and prescription and nonprescription
26 medicine, drugs, medical appliances and insulin, urine
27 testing materials, syringes, and needles used by diabetics,
28 for human use, shall not be subject to tax hereunder), 2c, 3
29 (except as to the disposition of taxes and penalties
30 collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k,
31 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12 and 13 of the
32 Retailers' Occupation Tax Act and Section 3-7 of the Uniform
33 Penalty and Interest Act, as fully as if those provisions
34 were set forth herein.
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1 If the board of commissioners has not imposed a tax under
2 this subsection on the gross receipts from the sale of motor
3 fuel or gasohol before the effective date of this amendatory
4 Act of the 91st General Assembly, then the board shall not
5 impose such a tax on or after that date. If the board of
6 commissioners has imposed a tax under this subsection on the
7 gross receipts from the sale of motor fuel or gasohol before
8 the effective date of this amendatory Act of the 91st General
9 Assembly, then the board shall not increase the rate of the
10 tax on or after that date.
11 Persons subject to any tax imposed under the authority
12 granted in this paragraph may reimburse themselves for their
13 seller's tax liability hereunder by separately stating the
14 tax as an additional charge, which charge may be stated in
15 combination, in a single amount, with State taxes that
16 sellers are required to collect under the Use Tax Act and
17 under subsection (e) of Section 4.03 of the Regional
18 Transportation Authority Act, in accordance with such bracket
19 schedules as the Department may prescribe.
20 Whenever the Department determines that a refund should
21 be made under this paragraph to a claimant instead of issuing
22 a credit memorandum, the Department shall notify the State
23 Comptroller, who shall cause the warrant to be drawn for the
24 amount specified, and to the person named, in the
25 notification from the Department. The refund shall be paid
26 by the State Treasurer out of a county water commission tax
27 fund established under paragraph (g) of this Section.
28 For the purpose of determining whether a tax authorized
29 under this paragraph is applicable, a retail sale by a
30 producer of coal or other mineral mined in Illinois is a sale
31 at retail at the place where the coal or other mineral mined
32 in Illinois is extracted from the earth. This paragraph does
33 not apply to coal or other mineral when it is delivered or
34 shipped by the seller to the purchaser at a point outside
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1 Illinois so that the sale is exempt under the Federal
2 Constitution as a sale in interstate or foreign commerce.
3 If a tax is imposed under this subsection (b) a tax shall
4 also be imposed under subsections (c) and (d) of this
5 Section.
6 Nothing in this paragraph shall be construed to authorize
7 a county water commission to impose a tax upon the privilege
8 of engaging in any business which under the Constitution of
9 the United States may not be made the subject of taxation by
10 this State.
11 (c) If a tax has been imposed under subsection (b), a
12 tax shall also be imposed upon all persons engaged, in the
13 territory of the commission, in the business of making sales
14 of service, who, as an incident to making the sales of
15 service, transfer tangible personal property within the
16 territory. The tax rate shall be 1/4% of the selling price of
17 tangible personal property so transferred within the
18 territory. The tax imposed under this paragraph and all
19 civil penalties that may be assessed as an incident thereof
20 shall be collected and enforced by the State Department of
21 Revenue. The Department shall have full power to administer
22 and enforce this paragraph; to collect all taxes and
23 penalties due hereunder; to dispose of taxes and penalties so
24 collected in the manner hereinafter provided; and to
25 determine all rights to credit memoranda arising on account
26 of the erroneous payment of tax or penalty hereunder. In the
27 administration of, and compliance with, this paragraph, the
28 Department and persons who are subject to this paragraph
29 shall have the same rights, remedies, privileges, immunities,
30 powers and duties, and be subject to the same conditions,
31 restrictions, limitations, penalties, exclusions, exemptions
32 and definitions of terms, and employ the same modes of
33 procedure, as are prescribed in Sections 1a-1, 2 (except that
34 the reference to State in the definition of supplier
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1 maintaining a place of business in this State shall mean the
2 territory of the commission), 2a, 3 through 3-50 (in respect
3 to all provisions therein other than the State rate of tax
4 except that food for human consumption that is to be consumed
5 off the premises where it is sold (other than alcoholic
6 beverages, soft drinks, and food that has been prepared for
7 immediate consumption) and prescription and nonprescription
8 medicines, drugs, medical appliances and insulin, urine
9 testing materials, syringes, and needles used by diabetics,
10 for human use, shall not be subject to tax hereunder), 4
11 (except that the reference to the State shall be to the
12 territory of the commission), 5, 7, 8 (except that the
13 jurisdiction to which the tax shall be a debt to the extent
14 indicated in that Section 8 shall be the commission), 9
15 (except as to the disposition of taxes and penalties
16 collected and except that the returned merchandise credit for
17 this tax may not be taken against any State tax), 10, 11, 12
18 (except the reference therein to Section 2b of the Retailers'
19 Occupation Tax Act), 13 (except that any reference to the
20 State shall mean the territory of the commission), the first
21 paragraph of Section 15, 15.5, 16, 17, 18, 19 and 20 of the
22 Service Occupation Tax Act as fully as if those provisions
23 were set forth herein.
24 If the board of commissioners has not imposed a tax under
25 this subsection on the selling price of motor fuel or gasohol
26 before the effective date of this amendatory Act of the 91st
27 General Assembly, then the board shall not impose such a tax
28 on or after that date. If the board of commissioners has
29 imposed a tax under this subsection on the selling price of
30 motor fuel or gasohol before the effective date of this
31 amendatory Act of the 91st General Assembly, then the board
32 shall not increase the rate of the tax on or after that date.
33
34 Persons subject to any tax imposed under the authority
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1 granted in this paragraph may reimburse themselves for their
2 serviceman's tax liability hereunder by separately stating
3 the tax as an additional charge, which charge may be stated
4 in combination, in a single amount, with State tax that
5 servicemen are authorized to collect under the Service Use
6 Tax Act, and any tax for which servicemen may be liable under
7 subsection (f) of Sec. 4.03 of the Regional Transportation
8 Authority Act, in accordance with such bracket schedules as
9 the Department may prescribe.
10 Whenever the Department determines that a refund should
11 be made under this paragraph to a claimant instead of issuing
12 a credit memorandum, the Department shall notify the State
13 Comptroller, who shall cause the warrant to be drawn for the
14 amount specified, and to the person named, in the
15 notification from the Department. The refund shall be paid
16 by the State Treasurer out of a county water commission tax
17 fund established under paragraph (g) of this Section.
18 Nothing in this paragraph shall be construed to authorize
19 a county water commission to impose a tax upon the privilege
20 of engaging in any business which under the Constitution of
21 the United States may not be made the subject of taxation by
22 the State.
23 (d) If a tax has been imposed under subsection (b), a
24 tax shall also imposed upon the privilege of using, in the
25 territory of the commission, any item of tangible personal
26 property that is purchased outside the territory at retail
27 from a retailer, and that is titled or registered with an
28 agency of this State's government, at a rate of 1/4% of the
29 selling price of the tangible personal property within the
30 territory, as "selling price" is defined in the Use Tax Act.
31 The tax shall be collected from persons whose Illinois
32 address for titling or registration purposes is given as
33 being in the territory. The tax shall be collected by the
34 Department of Revenue for a county water commission. The tax
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1 must be paid to the State, or an exemption determination must
2 be obtained from the Department of Revenue, before the title
3 or certificate of registration for the property may be
4 issued. The tax or proof of exemption may be transmitted to
5 the Department by way of the State agency with which, or the
6 State officer with whom, the tangible personal property must
7 be titled or registered if the Department and the State
8 agency or State officer determine that this procedure will
9 expedite the processing of applications for title or
10 registration.
11 The Department shall have full power to administer and
12 enforce this paragraph; to collect all taxes, penalties and
13 interest due hereunder; to dispose of taxes, penalties and
14 interest so collected in the manner hereinafter provided; and
15 to determine all rights to credit memoranda or refunds
16 arising on account of the erroneous payment of tax, penalty
17 or interest hereunder. In the administration of, and
18 compliance with this paragraph, the Department and persons
19 who are subject to this paragraph shall have the same rights,
20 remedies, privileges, immunities, powers and duties, and be
21 subject to the same conditions, restrictions, limitations,
22 penalties, exclusions, exemptions and definitions of terms
23 and employ the same modes of procedure, as are prescribed in
24 Sections 2 (except the definition of "retailer maintaining a
25 place of business in this State"), 3 through 3-80 (except
26 provisions pertaining to the State rate of tax, and except
27 provisions concerning collection or refunding of the tax by
28 retailers, and except that food for human consumption that is
29 to be consumed off the premises where it is sold (other than
30 alcoholic beverages, soft drinks, and food that has been
31 prepared for immediate consumption) and prescription and
32 nonprescription medicines, drugs, medical appliances and
33 insulin, urine testing materials, syringes, and needles used
34 by diabetics, for human use, shall not be subject to tax
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1 hereunder), 4, 11, 12, 12a, 14, 15, 19 (except the portions
2 pertaining to claims by retailers and except the last
3 paragraph concerning refunds), 20, 21 and 22 of the Use Tax
4 Act and Section 3-7 of the Uniform Penalty and Interest Act
5 that are not inconsistent with this paragraph, as fully as if
6 those provisions were set forth herein.
7 Whenever the Department determines that a refund should
8 be made under this paragraph to a claimant instead of issuing
9 a credit memorandum, the Department shall notify the State
10 Comptroller, who shall cause the order to be drawn for the
11 amount specified, and to the person named, in the
12 notification from the Department. The refund shall be paid
13 by the State Treasurer out of a county water commission tax
14 fund established under paragraph (g) of this Section.
15 (e) A certificate of registration issued by the State
16 Department of Revenue to a retailer under the Retailers'
17 Occupation Tax Act or under the Service Occupation Tax Act
18 shall permit the registrant to engage in a business that is
19 taxed under the tax imposed under paragraphs (b), (c) or (d)
20 of this Section and no additional registration shall be
21 required under the tax. A certificate issued under the Use
22 Tax Act or the Service Use Tax Act shall be applicable with
23 regard to any tax imposed under paragraph (c) of this
24 Section.
25 (f) Any ordinance imposing or discontinuing any tax
26 under this Section shall be adopted and a certified copy
27 thereof filed with the Department on or before June 1,
28 whereupon the Department of Revenue shall proceed to
29 administer and enforce this Section on behalf of the county
30 water commission as of September 1 next following the
31 adoption and filing. Beginning January 1, 1992, an ordinance
32 or resolution imposing or discontinuing the tax hereunder
33 shall be adopted and a certified copy thereof filed with the
34 Department on or before the first day of July, whereupon the
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1 Department shall proceed to administer and enforce this
2 Section as of the first day of October next following such
3 adoption and filing. Beginning January 1, 1993, an ordinance
4 or resolution imposing or discontinuing the tax hereunder
5 shall be adopted and a certified copy thereof filed with the
6 Department on or before the first day of October, whereupon
7 the Department shall proceed to administer and enforce this
8 Section as of the first day of January next following such
9 adoption and filing.
10 (g) The State Department of Revenue shall, upon
11 collecting any taxes as provided in this Section, pay the
12 taxes over to the State Treasurer as trustee for the
13 commission. The taxes shall be held in a trust fund outside
14 the State Treasury. On or before the 25th day of each
15 calendar month, the State Department of Revenue shall prepare
16 and certify to the Comptroller of the State of Illinois the
17 amount to be paid to the commission, which shall be the then
18 balance in the fund, less any amount determined by the
19 Department to be necessary for the payment of refunds. Within
20 10 days after receipt by the Comptroller of the certification
21 of the amount to be paid to the commission, the Comptroller
22 shall cause an order to be drawn for the payment for the
23 amount in accordance with the direction in the certification.
24 (Source: P.A. 86-928; 86-1475; 87-205; 87-895.)
25 Section 90. The State Mandates Act is amended by adding
26 Section 8.23 as follows:
27 (30 ILCS 805/8.23 new)
28 Sec. 8.23. Exempt mandate. Notwithstanding Sections 6
29 and 8 of this Act, no reimbursement by the State is required
30 for the implementation of any mandate created by this
31 amendatory Act of 1999.
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1 Section 99. Effective date. This Act takes effect
2 January 1, 2000.
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1 INDEX
2 Statutes amended in order of appearance
3 SEE INDEX
4 35 ILCS 105/3-10 from Ch. 120, par. 439.3-10
5 35 ILCS 105/9 from Ch. 120, par. 439.9
6 35 ILCS 110/3-10 from Ch. 120, par. 439.33-10
7 35 ILCS 110/9 from Ch. 120, par. 439.39
8 35 ILCS 115/3-10 from Ch. 120, par. 439.103-10
9 35 ILCS 115/9 from Ch. 120, par. 439.109
10 35 ILCS 120/2-10 from Ch. 120, par. 441-10
11 35 ILCS 120/2d from Ch. 120, par. 441d
12 35 ILCS 120/3 from Ch. 120, par. 442
13 35 ILCS 505/13a from Ch. 120, par. 429a
14 55 ILCS 5/5-1006 from Ch. 34, par. 5-1006
15 55 ILCS 5/5-1006.5
16 55 ILCS 5/5-1007 from Ch. 34, par. 5-1007
17 55 ILCS 5/5-1035.1 from Ch. 34, par. 5-1035.1
18 65 ILCS 5/8-11-1 from Ch. 24, par. 8-11-1
19 65 ILCS 5/8-11-1.1 from Ch. 24, par. 8-11-1.1
20 65 ILCS 5/8-11-1.6
21 65 ILCS 5/8-11-1.7
22 65 ILCS 5/8-11-5 from Ch. 24, par. 8-11-5
23 65 ILCS 5/8-11-15 from Ch. 24, par. 8-11-15
24 70 ILCS 200/245-12
25 70 ILCS 3610/5.01 from Ch. 111 2/3, par. 355.01
26 70 ILCS 3615/4.03 from Ch. 111 2/3, par. 704.03
27 70 ILCS 3720/4 from Ch. 111 2/3, par. 254
28 30 ILCS 805/8.23 new