[ Search ] [ Legislation ]
[ Home ] [ Back ] [ Bottom ]
| [ Introduced ] |
91_HB4743ham001
LRB9114654SMdvam02
1 AMENDMENT TO HOUSE BILL 4743
2 AMENDMENT NO. . Amend House Bill 4743 by replacing
3 the title with the following:
4 "AN ACT concerning taxation."; and
5 by replacing everything after the enacting clause with the
6 following:
7 "Section 5. The State Finance Act is amended by
8 changing Sections 6z-18 and 6z-20 as follows:
9 (30 ILCS 105/6z-18) (from Ch. 127, par. 142z-18)
10 Sec. 6z-18. A portion of the money paid into the Local
11 Government Tax Fund from sales of food for human consumption
12 which is to be consumed off the premises where it is sold
13 (other than alcoholic beverages, soft drinks and food which
14 has been prepared for immediate consumption) and prescription
15 and nonprescription medicines, drugs, medical appliances and
16 insulin, urine testing materials, syringes and needles used
17 by diabetics, which occurred in municipalities, shall be
18 distributed to each municipality based upon the sales which
19 occurred in that municipality. The remainder shall be
20 distributed to each county based upon the sales which
21 occurred in the unincorporated area of that county.
-2- LRB9114654SMdvam02
1 A portion of the money paid into the Local Government Tax
2 Fund from the 6.25% general use tax rate on the selling price
3 of tangible personal property which is purchased outside
4 Illinois at retail from a retailer and which is titled or
5 registered by any agency of this State's government shall be
6 distributed to municipalities as provided in this paragraph.
7 Each municipality shall receive the amount attributable to
8 sales for which Illinois addresses for titling or
9 registration purposes are given as being in such
10 municipality. The remainder of the money paid into the Local
11 Government Tax Fund from such sales shall be distributed to
12 counties. Each county shall receive the amount attributable
13 to sales for which Illinois addresses for titling or
14 registration purposes are given as being located in the
15 unincorporated area of such county.
16 A portion of the money paid into the Local Government Tax
17 Fund from the 6.25% general rate (and, beginning July 1, 2000
18 and through December 31, 2000, the 1.25% rate on motor fuel
19 and gasohol and, beginning December 1, 2000 and through April
20 30, 2001, the 1.25% rate on propane and home heating oil sold
21 to residential customers) on sales subject to taxation under
22 the Retailers' Occupation Tax Act and the Service Occupation
23 Tax Act, which occurred in municipalities, shall be
24 distributed to each municipality, based upon the sales which
25 occurred in that municipality. The remainder shall be
26 distributed to each county, based upon the sales which
27 occurred in the unincorporated area of such county.
28 For the purpose of determining allocation to the local
29 government unit, a retail sale by a producer of coal or other
30 mineral mined in Illinois is a sale at retail at the place
31 where the coal or other mineral mined in Illinois is
32 extracted from the earth. This paragraph does not apply to
33 coal or other mineral when it is delivered or shipped by the
34 seller to the purchaser at a point outside Illinois so that
-3- LRB9114654SMdvam02
1 the sale is exempt under the United States Constitution as a
2 sale in interstate or foreign commerce.
3 Whenever the Department determines that a refund of money
4 paid into the Local Government Tax Fund should be made to a
5 claimant instead of issuing a credit memorandum, the
6 Department shall notify the State Comptroller, who shall
7 cause the order to be drawn for the amount specified, and to
8 the person named, in such notification from the Department.
9 Such refund shall be paid by the State Treasurer out of the
10 Local Government Tax Fund.
11 On or before the 25th day of each calendar month, the
12 Department shall prepare and certify to the Comptroller the
13 disbursement of stated sums of money to named municipalities
14 and counties, the municipalities and counties to be those
15 entitled to distribution of taxes or penalties paid to the
16 Department during the second preceding calendar month. The
17 amount to be paid to each municipality or county shall be the
18 amount (not including credit memoranda) collected during the
19 second preceding calendar month by the Department and paid
20 into the Local Government Tax Fund, plus an amount the
21 Department determines is necessary to offset any amounts
22 which were erroneously paid to a different taxing body, and
23 not including an amount equal to the amount of refunds made
24 during the second preceding calendar month by the Department,
25 and not including any amount which the Department determines
26 is necessary to offset any amounts which are payable to a
27 different taxing body but were erroneously paid to the
28 municipality or county. Within 10 days after receipt, by the
29 Comptroller, of the disbursement certification to the
30 municipalities and counties, provided for in this Section to
31 be given to the Comptroller by the Department, the
32 Comptroller shall cause the orders to be drawn for the
33 respective amounts in accordance with the directions
34 contained in such certification.
-4- LRB9114654SMdvam02
1 When certifying the amount of monthly disbursement to a
2 municipality or county under this Section, the Department
3 shall increase or decrease that amount by an amount necessary
4 to offset any misallocation of previous disbursements. The
5 offset amount shall be the amount erroneously disbursed
6 within the 6 months preceding the time a misallocation is
7 discovered.
8 The provisions directing the distributions from the
9 special fund in the State Treasury provided for in this
10 Section shall constitute an irrevocable and continuing
11 appropriation of all amounts as provided herein. The State
12 Treasurer and State Comptroller are hereby authorized to make
13 distributions as provided in this Section.
14 In construing any development, redevelopment, annexation,
15 preannexation or other lawful agreement in effect prior to
16 September 1, 1990, which describes or refers to receipts from
17 a county or municipal retailers' occupation tax, use tax or
18 service occupation tax which now cannot be imposed, such
19 description or reference shall be deemed to include the
20 replacement revenue for such abolished taxes, distributed
21 from the Local Government Tax Fund.
22 (Source: P.A. 90-491, eff. 1-1-98; 91-51, eff. 6-30-99;
23 91-872, eff. 7-1-00.)
24 (30 ILCS 105/6z-20) (from Ch. 127, par. 142z-20)
25 Sec. 6z-20. Of the money received from the 6.25% general
26 rate (and, beginning July 1, 2000 and through December 31,
27 2000, the 1.25% rate on motor fuel and gasohol and, beginning
28 December 1, 2000 and through April 30, 2001, the 1.25% rate
29 on propane and home heating oil sold to residential
30 customers) on sales subject to taxation under the Retailers'
31 Occupation Tax Act and Service Occupation Tax Act and paid
32 into the County and Mass Transit District Fund, distribution
33 to the Regional Transportation Authority tax fund, created
-5- LRB9114654SMdvam02
1 pursuant to Section 4.03 of the Regional Transportation
2 Authority Act, for deposit therein shall be made based upon
3 the retail sales occurring in a county having more than
4 3,000,000 inhabitants. The remainder shall be distributed to
5 each county having 3,000,000 or fewer inhabitants based upon
6 the retail sales occurring in each such county.
7 For the purpose of determining allocation to the local
8 government unit, a retail sale by a producer of coal or other
9 mineral mined in Illinois is a sale at retail at the place
10 where the coal or other mineral mined in Illinois is
11 extracted from the earth. This paragraph does not apply to
12 coal or other mineral when it is delivered or shipped by the
13 seller to the purchaser at a point outside Illinois so that
14 the sale is exempt under the United States Constitution as a
15 sale in interstate or foreign commerce.
16 Of the money received from the 6.25% general use tax rate
17 on tangible personal property which is purchased outside
18 Illinois at retail from a retailer and which is titled or
19 registered by any agency of this State's government and paid
20 into the County and Mass Transit District Fund, the amount
21 for which Illinois addresses for titling or registration
22 purposes are given as being in each county having more than
23 3,000,000 inhabitants shall be distributed into the Regional
24 Transportation Authority tax fund, created pursuant to
25 Section 4.03 of the Regional Transportation Authority Act.
26 The remainder of the money paid from such sales shall be
27 distributed to each county based on sales for which Illinois
28 addresses for titling or registration purposes are given as
29 being located in the county. Any money paid into the
30 Regional Transportation Authority Occupation and Use Tax
31 Replacement Fund from the County and Mass Transit District
32 Fund prior to January 14, 1991, which has not been paid to
33 the Authority prior to that date, shall be transferred to the
34 Regional Transportation Authority tax fund.
-6- LRB9114654SMdvam02
1 Whenever the Department determines that a refund of money
2 paid into the County and Mass Transit District Fund should be
3 made to a claimant instead of issuing a credit memorandum,
4 the Department shall notify the State Comptroller, who shall
5 cause the order to be drawn for the amount specified, and to
6 the person named, in such notification from the Department.
7 Such refund shall be paid by the State Treasurer out of the
8 County and Mass Transit District Fund.
9 On or before the 25th day of each calendar month, the
10 Department shall prepare and certify to the Comptroller the
11 disbursement of stated sums of money to the Regional
12 Transportation Authority and to named counties, the counties
13 to be those entitled to distribution, as hereinabove
14 provided, of taxes or penalties paid to the Department during
15 the second preceding calendar month. The amount to be paid
16 to the Regional Transportation Authority and each county
17 having 3,000,000 or fewer inhabitants shall be the amount
18 (not including credit memoranda) collected during the second
19 preceding calendar month by the Department and paid into the
20 County and Mass Transit District Fund, plus an amount the
21 Department determines is necessary to offset any amounts
22 which were erroneously paid to a different taxing body, and
23 not including an amount equal to the amount of refunds made
24 during the second preceding calendar month by the Department,
25 and not including any amount which the Department determines
26 is necessary to offset any amounts which were payable to a
27 different taxing body but were erroneously paid to the
28 Regional Transportation Authority or county. Within 10 days
29 after receipt, by the Comptroller, of the disbursement
30 certification to the Regional Transportation Authority and
31 counties, provided for in this Section to be given to the
32 Comptroller by the Department, the Comptroller shall cause
33 the orders to be drawn for the respective amounts in
34 accordance with the directions contained in such
-7- LRB9114654SMdvam02
1 certification.
2 When certifying the amount of a monthly disbursement to
3 the Regional Transportation Authority or to a county under
4 this Section, the Department shall increase or decrease that
5 amount by an amount necessary to offset any misallocation of
6 previous disbursements. The offset amount shall be the
7 amount erroneously disbursed within the 6 months preceding
8 the time a misallocation is discovered.
9 The provisions directing the distributions from the
10 special fund in the State Treasury provided for in this
11 Section and from the Regional Transportation Authority tax
12 fund created by Section 4.03 of the Regional Transportation
13 Authority Act shall constitute an irrevocable and continuing
14 appropriation of all amounts as provided herein. The State
15 Treasurer and State Comptroller are hereby authorized to make
16 distributions as provided in this Section.
17 In construing any development, redevelopment, annexation,
18 preannexation or other lawful agreement in effect prior to
19 September 1, 1990, which describes or refers to receipts from
20 a county or municipal retailers' occupation tax, use tax or
21 service occupation tax which now cannot be imposed, such
22 description or reference shall be deemed to include the
23 replacement revenue for such abolished taxes, distributed
24 from the County and Mass Transit District Fund or Local
25 Government Distributive Fund, as the case may be.
26 (Source: P.A. 90-491, eff. 1-1-98; 91-872, eff. 7-1-00.)
27 Section 10. The Use Tax Act is amended by changing
28 Sections 3-10 and 9 as follows:
29 (35 ILCS 105/3-10) (from Ch. 120, par. 439.3-10)
30 Sec. 3-10. Rate of tax. Unless otherwise provided in
31 this Section, the tax imposed by this Act is at the rate of
32 6.25% of either the selling price or the fair market value,
-8- LRB9114654SMdvam02
1 if any, of the tangible personal property. In all cases
2 where property functionally used or consumed is the same as
3 the property that was purchased at retail, then the tax is
4 imposed on the selling price of the property. In all cases
5 where property functionally used or consumed is a by-product
6 or waste product that has been refined, manufactured, or
7 produced from property purchased at retail, then the tax is
8 imposed on the lower of the fair market value, if any, of the
9 specific property so used in this State or on the selling
10 price of the property purchased at retail. For purposes of
11 this Section "fair market value" means the price at which
12 property would change hands between a willing buyer and a
13 willing seller, neither being under any compulsion to buy or
14 sell and both having reasonable knowledge of the relevant
15 facts. The fair market value shall be established by Illinois
16 sales by the taxpayer of the same property as that
17 functionally used or consumed, or if there are no such sales
18 by the taxpayer, then comparable sales or purchases of
19 property of like kind and character in Illinois.
20 Beginning on July 1, 2000 and through December 31, 2000,
21 with respect to motor fuel, as defined in Section 1.1 of the
22 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40
23 of the Use Tax Act, the tax is imposed at the rate of 1.25%.
24 With respect to gasohol, the tax imposed by this Act
25 applies to 70% of the proceeds of sales made on or after
26 January 1, 1990, and before July 1, 2003, and to 100% of the
27 proceeds of sales made thereafter.
28 Beginning on December 1, 2000 and through April 30, 2001,
29 with respect to propane and home heating oil sold to
30 residential customers, the tax is imposed at the rate of
31 1.25%.
32 With respect to food for human consumption that is to be
33 consumed off the premises where it is sold (other than
34 alcoholic beverages, soft drinks, and food that has been
-9- LRB9114654SMdvam02
1 prepared for immediate consumption) and prescription and
2 nonprescription medicines, drugs, medical appliances,
3 modifications to a motor vehicle for the purpose of rendering
4 it usable by a disabled person, and insulin, urine testing
5 materials, syringes, and needles used by diabetics, for human
6 use, the tax is imposed at the rate of 1%. For the purposes
7 of this Section, the term "soft drinks" means any complete,
8 finished, ready-to-use, non-alcoholic drink, whether
9 carbonated or not, including but not limited to soda water,
10 cola, fruit juice, vegetable juice, carbonated water, and all
11 other preparations commonly known as soft drinks of whatever
12 kind or description that are contained in any closed or
13 sealed bottle, can, carton, or container, regardless of size.
14 "Soft drinks" does not include coffee, tea, non-carbonated
15 water, infant formula, milk or milk products as defined in
16 the Grade A Pasteurized Milk and Milk Products Act, or drinks
17 containing 50% or more natural fruit or vegetable juice.
18 Notwithstanding any other provisions of this Act, "food
19 for human consumption that is to be consumed off the premises
20 where it is sold" includes all food sold through a vending
21 machine, except soft drinks and food products that are
22 dispensed hot from a vending machine, regardless of the
23 location of the vending machine.
24 If the property that is purchased at retail from a
25 retailer is acquired outside Illinois and used outside
26 Illinois before being brought to Illinois for use here and is
27 taxable under this Act, the "selling price" on which the tax
28 is computed shall be reduced by an amount that represents a
29 reasonable allowance for depreciation for the period of prior
30 out-of-state use.
31 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
32 91-51, eff. 6-30-99; 91-872, eff. 7-1-00.)
33 (35 ILCS 105/9) (from Ch. 120, par. 439.9)
-10- LRB9114654SMdvam02
1 Sec. 9. Except as to motor vehicles, watercraft,
2 aircraft, and trailers that are required to be registered
3 with an agency of this State, each retailer required or
4 authorized to collect the tax imposed by this Act shall pay
5 to the Department the amount of such tax (except as otherwise
6 provided) at the time when he is required to file his return
7 for the period during which such tax was collected, less a
8 discount of 2.1% prior to January 1, 1990, and 1.75% on and
9 after January 1, 1990, or $5 per calendar year, whichever is
10 greater, which is allowed to reimburse the retailer for
11 expenses incurred in collecting the tax, keeping records,
12 preparing and filing returns, remitting the tax and supplying
13 data to the Department on request. In the case of retailers
14 who report and pay the tax on a transaction by transaction
15 basis, as provided in this Section, such discount shall be
16 taken with each such tax remittance instead of when such
17 retailer files his periodic return. A retailer need not
18 remit that part of any tax collected by him to the extent
19 that he is required to remit and does remit the tax imposed
20 by the Retailers' Occupation Tax Act, with respect to the
21 sale of the same property.
22 Where such tangible personal property is sold under a
23 conditional sales contract, or under any other form of sale
24 wherein the payment of the principal sum, or a part thereof,
25 is extended beyond the close of the period for which the
26 return is filed, the retailer, in collecting the tax (except
27 as to motor vehicles, watercraft, aircraft, and trailers that
28 are required to be registered with an agency of this State),
29 may collect for each tax return period, only the tax
30 applicable to that part of the selling price actually
31 received during such tax return period.
32 Except as provided in this Section, on or before the
33 twentieth day of each calendar month, such retailer shall
34 file a return for the preceding calendar month. Such return
-11- LRB9114654SMdvam02
1 shall be filed on forms prescribed by the Department and
2 shall furnish such information as the Department may
3 reasonably require.
4 The Department may require returns to be filed on a
5 quarterly basis. If so required, a return for each calendar
6 quarter shall be filed on or before the twentieth day of the
7 calendar month following the end of such calendar quarter.
8 The taxpayer shall also file a return with the Department for
9 each of the first two months of each calendar quarter, on or
10 before the twentieth day of the following calendar month,
11 stating:
12 1. The name of the seller;
13 2. The address of the principal place of business
14 from which he engages in the business of selling tangible
15 personal property at retail in this State;
16 3. The total amount of taxable receipts received by
17 him during the preceding calendar month from sales of
18 tangible personal property by him during such preceding
19 calendar month, including receipts from charge and time
20 sales, but less all deductions allowed by law;
21 4. The amount of credit provided in Section 2d of
22 this Act;
23 5. The amount of tax due;
24 5-5. The signature of the taxpayer; and
25 6. Such other reasonable information as the
26 Department may require.
27 If a taxpayer fails to sign a return within 30 days after
28 the proper notice and demand for signature by the Department,
29 the return shall be considered valid and any amount shown to
30 be due on the return shall be deemed assessed.
31 Beginning October 1, 1993, a taxpayer who has an average
32 monthly tax liability of $150,000 or more shall make all
33 payments required by rules of the Department by electronic
34 funds transfer. Beginning October 1, 1994, a taxpayer who has
-12- LRB9114654SMdvam02
1 an average monthly tax liability of $100,000 or more shall
2 make all payments required by rules of the Department by
3 electronic funds transfer. Beginning October 1, 1995, a
4 taxpayer who has an average monthly tax liability of $50,000
5 or more shall make all payments required by rules of the
6 Department by electronic funds transfer. Beginning October 1,
7 2000, a taxpayer who has an annual tax liability of $200,000
8 or more shall make all payments required by rules of the
9 Department by electronic funds transfer. The term "annual
10 tax liability" shall be the sum of the taxpayer's liabilities
11 under this Act, and under all other State and local
12 occupation and use tax laws administered by the Department,
13 for the immediately preceding calendar year. The term
14 "average monthly tax liability" means the sum of the
15 taxpayer's liabilities under this Act, and under all other
16 State and local occupation and use tax laws administered by
17 the Department, for the immediately preceding calendar year
18 divided by 12.
19 Before August 1 of each year beginning in 1993, the
20 Department shall notify all taxpayers required to make
21 payments by electronic funds transfer. All taxpayers required
22 to make payments by electronic funds transfer shall make
23 those payments for a minimum of one year beginning on October
24 1.
25 Any taxpayer not required to make payments by electronic
26 funds transfer may make payments by electronic funds transfer
27 with the permission of the Department.
28 All taxpayers required to make payment by electronic
29 funds transfer and any taxpayers authorized to voluntarily
30 make payments by electronic funds transfer shall make those
31 payments in the manner authorized by the Department.
32 The Department shall adopt such rules as are necessary to
33 effectuate a program of electronic funds transfer and the
34 requirements of this Section.
-13- LRB9114654SMdvam02
1 Before October 1, 2000, if the taxpayer's average monthly
2 tax liability to the Department under this Act, the
3 Retailers' Occupation Tax Act, the Service Occupation Tax
4 Act, the Service Use Tax Act was $10,000 or more during the
5 preceding 4 complete calendar quarters, he shall file a
6 return with the Department each month by the 20th day of the
7 month next following the month during which such tax
8 liability is incurred and shall make payments to the
9 Department on or before the 7th, 15th, 22nd and last day of
10 the month during which such liability is incurred. On and
11 after October 1, 2000, if the taxpayer's average monthly tax
12 liability to the Department under this Act, the Retailers'
13 Occupation Tax Act, the Service Occupation Tax Act, and the
14 Service Use Tax Act was $20,000 or more during the preceding
15 4 complete calendar quarters, he shall file a return with the
16 Department each month by the 20th day of the month next
17 following the month during which such tax liability is
18 incurred and shall make payment to the Department on or
19 before the 7th, 15th, 22nd and last day of the month during
20 which such liability is incurred. If the month during which
21 such tax liability is incurred began prior to January 1,
22 1985, each payment shall be in an amount equal to 1/4 of the
23 taxpayer's actual liability for the month or an amount set by
24 the Department not to exceed 1/4 of the average monthly
25 liability of the taxpayer to the Department for the preceding
26 4 complete calendar quarters (excluding the month of highest
27 liability and the month of lowest liability in such 4 quarter
28 period). If the month during which such tax liability is
29 incurred begins on or after January 1, 1985, and prior to
30 January 1, 1987, each payment shall be in an amount equal to
31 22.5% of the taxpayer's actual liability for the month or
32 27.5% of the taxpayer's liability for the same calendar month
33 of the preceding year. If the month during which such tax
34 liability is incurred begins on or after January 1, 1987, and
-14- LRB9114654SMdvam02
1 prior to January 1, 1988, each payment shall be in an amount
2 equal to 22.5% of the taxpayer's actual liability for the
3 month or 26.25% of the taxpayer's liability for the same
4 calendar month of the preceding year. If the month during
5 which such tax liability is incurred begins on or after
6 January 1, 1988, and prior to January 1, 1989, or begins on
7 or after January 1, 1996, each payment shall be in an amount
8 equal to 22.5% of the taxpayer's actual liability for the
9 month or 25% of the taxpayer's liability for the same
10 calendar month of the preceding year. If the month during
11 which such tax liability is incurred begins on or after
12 January 1, 1989, and prior to January 1, 1996, each payment
13 shall be in an amount equal to 22.5% of the taxpayer's actual
14 liability for the month or 25% of the taxpayer's liability
15 for the same calendar month of the preceding year or 100% of
16 the taxpayer's actual liability for the quarter monthly
17 reporting period. The amount of such quarter monthly
18 payments shall be credited against the final tax liability of
19 the taxpayer's return for that month. Before October 1,
20 2000, once applicable, the requirement of the making of
21 quarter monthly payments to the Department shall continue
22 until such taxpayer's average monthly liability to the
23 Department during the preceding 4 complete calendar quarters
24 (excluding the month of highest liability and the month of
25 lowest liability) is less than $9,000, or until such
26 taxpayer's average monthly liability to the Department as
27 computed for each calendar quarter of the 4 preceding
28 complete calendar quarter period is less than $10,000.
29 However, if a taxpayer can show the Department that a
30 substantial change in the taxpayer's business has occurred
31 which causes the taxpayer to anticipate that his average
32 monthly tax liability for the reasonably foreseeable future
33 will fall below the $10,000 threshold stated above, then such
34 taxpayer may petition the Department for change in such
-15- LRB9114654SMdvam02
1 taxpayer's reporting status. On and after October 1, 2000,
2 once applicable, the requirement of the making of quarter
3 monthly payments to the Department shall continue until such
4 taxpayer's average monthly liability to the Department during
5 the preceding 4 complete calendar quarters (excluding the
6 month of highest liability and the month of lowest liability)
7 is less than $19,000 or until such taxpayer's average monthly
8 liability to the Department as computed for each calendar
9 quarter of the 4 preceding complete calendar quarter period
10 is less than $20,000. However, if a taxpayer can show the
11 Department that a substantial change in the taxpayer's
12 business has occurred which causes the taxpayer to anticipate
13 that his average monthly tax liability for the reasonably
14 foreseeable future will fall below the $20,000 threshold
15 stated above, then such taxpayer may petition the Department
16 for a change in such taxpayer's reporting status. The
17 Department shall change such taxpayer's reporting status
18 unless it finds that such change is seasonal in nature and
19 not likely to be long term. If any such quarter monthly
20 payment is not paid at the time or in the amount required by
21 this Section, then the taxpayer shall be liable for penalties
22 and interest on the difference between the minimum amount due
23 and the amount of such quarter monthly payment actually and
24 timely paid, except insofar as the taxpayer has previously
25 made payments for that month to the Department in excess of
26 the minimum payments previously due as provided in this
27 Section. The Department shall make reasonable rules and
28 regulations to govern the quarter monthly payment amount and
29 quarter monthly payment dates for taxpayers who file on other
30 than a calendar monthly basis.
31 If any such payment provided for in this Section exceeds
32 the taxpayer's liabilities under this Act, the Retailers'
33 Occupation Tax Act, the Service Occupation Tax Act and the
34 Service Use Tax Act, as shown by an original monthly return,
-16- LRB9114654SMdvam02
1 the Department shall issue to the taxpayer a credit
2 memorandum no later than 30 days after the date of payment,
3 which memorandum may be submitted by the taxpayer to the
4 Department in payment of tax liability subsequently to be
5 remitted by the taxpayer to the Department or be assigned by
6 the taxpayer to a similar taxpayer under this Act, the
7 Retailers' Occupation Tax Act, the Service Occupation Tax Act
8 or the Service Use Tax Act, in accordance with reasonable
9 rules and regulations to be prescribed by the Department,
10 except that if such excess payment is shown on an original
11 monthly return and is made after December 31, 1986, no credit
12 memorandum shall be issued, unless requested by the taxpayer.
13 If no such request is made, the taxpayer may credit such
14 excess payment against tax liability subsequently to be
15 remitted by the taxpayer to the Department under this Act,
16 the Retailers' Occupation Tax Act, the Service Occupation Tax
17 Act or the Service Use Tax Act, in accordance with reasonable
18 rules and regulations prescribed by the Department. If the
19 Department subsequently determines that all or any part of
20 the credit taken was not actually due to the taxpayer, the
21 taxpayer's 2.1% or 1.75% vendor's discount shall be reduced
22 by 2.1% or 1.75% of the difference between the credit taken
23 and that actually due, and the taxpayer shall be liable for
24 penalties and interest on such difference.
25 If the retailer is otherwise required to file a monthly
26 return and if the retailer's average monthly tax liability to
27 the Department does not exceed $200, the Department may
28 authorize his returns to be filed on a quarter annual basis,
29 with the return for January, February, and March of a given
30 year being due by April 20 of such year; with the return for
31 April, May and June of a given year being due by July 20 of
32 such year; with the return for July, August and September of
33 a given year being due by October 20 of such year, and with
34 the return for October, November and December of a given year
-17- LRB9114654SMdvam02
1 being due by January 20 of the following year.
2 If the retailer is otherwise required to file a monthly
3 or quarterly return and if the retailer's average monthly tax
4 liability to the Department does not exceed $50, the
5 Department may authorize his returns to be filed on an annual
6 basis, with the return for a given year being due by January
7 20 of the following year.
8 Such quarter annual and annual returns, as to form and
9 substance, shall be subject to the same requirements as
10 monthly returns.
11 Notwithstanding any other provision in this Act
12 concerning the time within which a retailer may file his
13 return, in the case of any retailer who ceases to engage in a
14 kind of business which makes him responsible for filing
15 returns under this Act, such retailer shall file a final
16 return under this Act with the Department not more than one
17 month after discontinuing such business.
18 In addition, with respect to motor vehicles, watercraft,
19 aircraft, and trailers that are required to be registered
20 with an agency of this State, every retailer selling this
21 kind of tangible personal property shall file, with the
22 Department, upon a form to be prescribed and supplied by the
23 Department, a separate return for each such item of tangible
24 personal property which the retailer sells, except that if,
25 in the same transaction, (i) a retailer of aircraft,
26 watercraft, motor vehicles or trailers transfers more than
27 one aircraft, watercraft, motor vehicle or trailer to another
28 aircraft, watercraft, motor vehicle or trailer retailer for
29 the purpose of resale or (ii) a retailer of aircraft,
30 watercraft, motor vehicles, or trailers transfers more than
31 one aircraft, watercraft, motor vehicle, or trailer to a
32 purchaser for use as a qualifying rolling stock as provided
33 in Section 3-55 of this Act, then that seller may report the
34 transfer of all the aircraft, watercraft, motor vehicles or
-18- LRB9114654SMdvam02
1 trailers involved in that transaction to the Department on
2 the same uniform invoice-transaction reporting return form.
3 For purposes of this Section, "watercraft" means a Class 2,
4 Class 3, or Class 4 watercraft as defined in Section 3-2 of
5 the Boat Registration and Safety Act, a personal watercraft,
6 or any boat equipped with an inboard motor.
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 2 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 and 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 2 of this Act allows
-19- LRB9114654SMdvam02
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 date of delivery of the item
13 that is being sold, but may be filed by the retailer at any
14 time sooner than that if he chooses to do so. The
15 transaction reporting return and tax remittance or proof of
16 exemption from the tax that is imposed by this Act may be
17 transmitted to the Department by way of the State agency with
18 which, or State officer with whom, the tangible personal
19 property must be titled or registered (if titling or
20 registration is required) if the Department and such agency
21 or State officer determine that this procedure will expedite
22 the processing of 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 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
-20- LRB9114654SMdvam02
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 tax or proof of exemption made to the Department before
13 the retailer is willing to take these actions and such user
14 has not paid the tax to the retailer, such user may certify
15 to the fact of such delay by the retailer, and may (upon the
16 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 Where a retailer collects the tax with respect to the
30 selling price of tangible personal property which he sells
31 and the purchaser thereafter returns such tangible personal
32 property and the retailer refunds the selling price thereof
33 to the purchaser, such retailer shall also refund, to the
34 purchaser, the tax so collected from the purchaser. When
-21- LRB9114654SMdvam02
1 filing his return for the period in which he refunds such tax
2 to the purchaser, the retailer may deduct the amount of the
3 tax so refunded by him to the purchaser from any other use
4 tax which such retailer may be required to pay or remit to
5 the Department, as shown by such return, if the amount of the
6 tax to be deducted was previously remitted to the Department
7 by such retailer. If the retailer has not previously
8 remitted the amount of such tax to the Department, he is
9 entitled to no deduction under this Act upon refunding such
10 tax to the purchaser.
11 Any retailer filing a return under this Section shall
12 also include (for the purpose of paying tax thereon) the
13 total tax covered by such return upon the selling price of
14 tangible personal property purchased by him at retail from a
15 retailer, but as to which the tax imposed by this Act was not
16 collected from the retailer filing such return, and such
17 retailer shall remit the amount of such tax to the Department
18 when filing such return.
19 If experience indicates such action to be practicable,
20 the Department may prescribe and furnish a combination or
21 joint return which will enable retailers, who are required to
22 file returns hereunder and also under the Retailers'
23 Occupation Tax Act, to furnish all the return information
24 required by both Acts on the one form.
25 Where the retailer has more than one business registered
26 with the Department under separate registration under this
27 Act, such retailer may not file each return that is due as a
28 single return covering all such registered businesses, but
29 shall file separate returns for each such registered
30 business.
31 Beginning January 1, 1990, each month the Department
32 shall pay into the State and Local Sales Tax Reform Fund, a
33 special fund in the State Treasury which is hereby created,
34 the net revenue realized for the preceding month from the 1%
-22- LRB9114654SMdvam02
1 tax on sales of food for human consumption which is to be
2 consumed off the premises where it is sold (other than
3 alcoholic beverages, soft drinks and food which has been
4 prepared for immediate consumption) and prescription and
5 nonprescription medicines, drugs, medical appliances and
6 insulin, urine testing materials, syringes and needles used
7 by diabetics.
8 Beginning January 1, 1990, each month the Department
9 shall pay into the County and Mass Transit District Fund 4%
10 of the net revenue realized for the preceding month from the
11 6.25% general rate on the selling price of tangible personal
12 property which is purchased outside Illinois at retail from a
13 retailer and which is titled or registered by an agency of
14 this State's government.
15 Beginning January 1, 1990, each month the Department
16 shall pay into the State and Local Sales Tax Reform Fund, a
17 special fund in the State Treasury, 20% of the net revenue
18 realized for the preceding month from the 6.25% general rate
19 on the selling price of tangible personal property, other
20 than tangible personal property which is purchased outside
21 Illinois at retail from a retailer and which is titled or
22 registered by an agency of this State's government.
23 Beginning August 1, 2000, each month the Department shall
24 pay into the State and Local Sales Tax Reform Fund 100% of
25 the net revenue realized for the preceding month from the
26 1.25% rate on the selling price of motor fuel and gasohol.
27 Beginning January 1, 2001, each month the Department
28 shall pay into the State and Local Sales Tax Reform Fund 100%
29 of the net revenue realized for the preceding month from the
30 1.25% rate on the selling price of propane and home heating
31 oil sold to residential customers.
32 Beginning January 1, 1990, each month the Department
33 shall pay into the Local Government Tax Fund 16% of the net
34 revenue realized for the preceding month from the 6.25%
-23- LRB9114654SMdvam02
1 general rate on the selling price of tangible personal
2 property which is purchased outside Illinois at retail from a
3 retailer and which is titled or registered by an agency of
4 this State's government.
5 Of the remainder of the moneys received by the Department
6 pursuant to this Act, (a) 1.75% thereof shall be paid into
7 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
8 and on and after July 1, 1989, 3.8% thereof shall be paid
9 into the Build Illinois Fund; provided, however, that if in
10 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
11 as the case may be, of the moneys received by the Department
12 and required to be paid into the Build Illinois Fund pursuant
13 to Section 3 of the Retailers' Occupation Tax Act, Section 9
14 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
15 Section 9 of the Service Occupation Tax Act, such Acts being
16 hereinafter called the "Tax Acts" and such aggregate of 2.2%
17 or 3.8%, as the case may be, of moneys being hereinafter
18 called the "Tax Act Amount", and (2) the amount transferred
19 to the Build Illinois Fund from the State and Local Sales Tax
20 Reform Fund shall be less than the Annual Specified Amount
21 (as defined in Section 3 of the Retailers' Occupation Tax
22 Act), an amount equal to the difference shall be immediately
23 paid into the Build Illinois Fund from other moneys received
24 by the Department pursuant to the Tax Acts; and further
25 provided, that if on the last business day of any month the
26 sum of (1) the Tax Act Amount required to be deposited into
27 the Build Illinois Bond Account in the Build Illinois Fund
28 during such month and (2) the amount transferred during such
29 month to the Build Illinois Fund from the State and Local
30 Sales Tax Reform Fund shall have been less than 1/12 of the
31 Annual Specified Amount, an amount equal to the difference
32 shall be immediately paid into the Build Illinois Fund from
33 other moneys received by the Department pursuant to the Tax
34 Acts; and, further provided, that in no event shall the
-24- LRB9114654SMdvam02
1 payments required under the preceding proviso result in
2 aggregate payments into the Build Illinois Fund pursuant to
3 this clause (b) for any fiscal year in excess of the greater
4 of (i) the Tax Act Amount or (ii) the Annual Specified Amount
5 for such fiscal year; and, further provided, that the amounts
6 payable into the Build Illinois Fund under this clause (b)
7 shall be payable only until such time as the aggregate amount
8 on deposit under each trust indenture securing Bonds issued
9 and outstanding pursuant to the Build Illinois Bond Act is
10 sufficient, taking into account any future investment income,
11 to fully provide, in accordance with such indenture, for the
12 defeasance of or the payment of the principal of, premium, if
13 any, and interest on the Bonds secured by such indenture and
14 on any Bonds expected to be issued thereafter and all fees
15 and costs payable with respect thereto, all as certified by
16 the Director of the Bureau of the Budget. If on the last
17 business day of any month in which Bonds are outstanding
18 pursuant to the Build Illinois Bond Act, the aggregate of the
19 moneys deposited in the Build Illinois Bond Account in the
20 Build Illinois Fund in such month shall be less than the
21 amount required to be transferred in such month from the
22 Build Illinois Bond Account to the Build Illinois Bond
23 Retirement and Interest Fund pursuant to Section 13 of the
24 Build Illinois Bond Act, an amount equal to such deficiency
25 shall be immediately paid from other moneys received by the
26 Department pursuant to the Tax Acts to the Build Illinois
27 Fund; provided, however, that any amounts paid to the Build
28 Illinois Fund in any fiscal year pursuant to this sentence
29 shall be deemed to constitute payments pursuant to clause (b)
30 of the preceding sentence and shall reduce the amount
31 otherwise payable for such fiscal year pursuant to clause (b)
32 of the preceding sentence. The moneys received by the
33 Department pursuant to this Act and required to be deposited
34 into the Build Illinois Fund are subject to the pledge, claim
-25- LRB9114654SMdvam02
1 and charge set forth in Section 12 of the Build Illinois Bond
2 Act.
3 Subject to payment of amounts into the Build Illinois
4 Fund as provided in the preceding paragraph or in any
5 amendment thereto hereafter enacted, the following specified
6 monthly installment of the amount requested in the
7 certificate of the Chairman of the Metropolitan Pier and
8 Exposition Authority provided under Section 8.25f of the
9 State Finance Act, but not in excess of the sums designated
10 as "Total Deposit", shall be deposited in the aggregate from
11 collections under Section 9 of the Use Tax Act, Section 9 of
12 the Service Use Tax Act, Section 9 of the Service Occupation
13 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
14 into the McCormick Place Expansion Project Fund in the
15 specified fiscal years.
16 Fiscal Year Total Deposit
17 1993 $0
18 1994 53,000,000
19 1995 58,000,000
20 1996 61,000,000
21 1997 64,000,000
22 1998 68,000,000
23 1999 71,000,000
24 2000 75,000,000
25 2001 80,000,000
26 2002 84,000,000
27 2003 89,000,000
28 2004 93,000,000
29 2005 97,000,000
30 2006 102,000,000
31 2007 108,000,000
32 2008 115,000,000
33 2009 120,000,000
34 2010 126,000,000
-26- LRB9114654SMdvam02
1 2011 132,000,000
2 2012 138,000,000
3 2013 and 145,000,000
4 each fiscal year
5 thereafter that bonds
6 are outstanding under
7 Section 13.2 of the
8 Metropolitan Pier and
9 Exposition Authority
10 Act, but not after fiscal year 2029.
11 Beginning July 20, 1993 and in each month of each fiscal
12 year thereafter, one-eighth of the amount requested in the
13 certificate of the Chairman of the Metropolitan Pier and
14 Exposition Authority for that fiscal year, less the amount
15 deposited into the McCormick Place Expansion Project Fund by
16 the State Treasurer in the respective month under subsection
17 (g) of Section 13 of the Metropolitan Pier and Exposition
18 Authority Act, plus cumulative deficiencies in the deposits
19 required under this Section for previous months and years,
20 shall be deposited into the McCormick Place Expansion Project
21 Fund, until the full amount requested for the fiscal year,
22 but not in excess of the amount specified above as "Total
23 Deposit", has been deposited.
24 Subject to payment of amounts into the Build Illinois
25 Fund and the McCormick Place Expansion Project Fund pursuant
26 to the preceding paragraphs or in any amendment thereto
27 hereafter enacted, each month the Department shall pay into
28 the Local Government Distributive Fund .4% of the net revenue
29 realized for the preceding month from the 5% general rate, or
30 .4% of 80% of the net revenue realized for the preceding
31 month from the 6.25% general rate, as the case may be, on the
32 selling price of tangible personal property which amount
33 shall, subject to appropriation, be distributed as provided
34 in Section 2 of the State Revenue Sharing Act. No payments or
-27- LRB9114654SMdvam02
1 distributions pursuant to this paragraph shall be made if the
2 tax imposed by this Act on photoprocessing products is
3 declared unconstitutional, or if the proceeds from such tax
4 are unavailable for distribution because of litigation.
5 Subject to payment of amounts into the Build Illinois
6 Fund, the McCormick Place Expansion Project Fund, and the
7 Local Government Distributive Fund pursuant to the preceding
8 paragraphs or in any amendments thereto hereafter enacted,
9 beginning July 1, 1993, the Department shall each month pay
10 into the Illinois Tax Increment Fund 0.27% of 80% of the net
11 revenue realized for the preceding month from the 6.25%
12 general rate on the selling price of tangible personal
13 property.
14 Of the remainder of the moneys received by the Department
15 pursuant to this Act, 75% thereof shall be paid into the
16 State Treasury and 25% shall be reserved in a special account
17 and used only for the transfer to the Common School Fund as
18 part of the monthly transfer from the General Revenue Fund in
19 accordance with Section 8a of the State Finance Act.
20 As soon as possible after the first day of each month,
21 upon certification of the Department of Revenue, the
22 Comptroller shall order transferred and the Treasurer shall
23 transfer from the General Revenue Fund to the Motor Fuel Tax
24 Fund an amount equal to 1.7% of 80% of the net revenue
25 realized under this Act for the second preceding month.
26 Beginning April 1, 2000, this transfer is no longer required
27 and shall not be made.
28 Net revenue realized for a month shall be the revenue
29 collected by the State pursuant to this Act, less the amount
30 paid out during that month as refunds to taxpayers for
31 overpayment of liability.
32 For greater simplicity of administration, manufacturers,
33 importers and wholesalers whose products are sold at retail
34 in Illinois by numerous retailers, and who wish to do so, may
-28- LRB9114654SMdvam02
1 assume the responsibility for accounting and paying to the
2 Department all tax accruing under this Act with respect to
3 such sales, if the retailers who are affected do not make
4 written objection to the Department to this arrangement.
5 (Source: P.A. 90-491, eff. 1-1-99; 90-612, eff. 7-8-98;
6 91-37, eff. 7-1-99; 91-51, eff. 6-30-99; 91-101, eff.
7 7-12-99; 91-541, eff. 8-13-99; 91-872, eff. 7-1-00; 91-901,
8 eff. 1-1-01; revised 8-30-00.)
9 Section 15. The Service Use Tax Act is amended by
10 changing Sections 3-10 and 9 as follows:
11 (35 ILCS 110/3-10) (from Ch. 120, par. 439.33-10)
12 Sec. 3-10. Rate of tax. Unless otherwise provided in
13 this Section, the tax imposed by this Act is at the rate of
14 6.25% of the selling price of tangible personal property
15 transferred as an incident to the sale of service, but, for
16 the purpose of computing this tax, in no event shall the
17 selling price be less than the cost price of the property to
18 the serviceman.
19 Beginning on July 1, 2000 and through December 31, 2000,
20 with respect to motor fuel, as defined in Section 1.1 of the
21 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40
22 of the Use Tax Act, the tax is imposed at the rate of 1.25%.
23 Beginning on December 1, 2000 and through April 30, 2001,
24 with respect to propane and home heating oil sold to
25 residential customers, the tax is imposed at the rate of
26 1.25%.
27 With respect to gasohol, as defined in the Use Tax Act,
28 the tax imposed by this Act applies to 70% of the selling
29 price of property transferred as an incident to the sale of
30 service on or after January 1, 1990, and before July 1, 2003,
31 and to 100% of the selling price thereafter.
32 At the election of any registered serviceman made for
-29- LRB9114654SMdvam02
1 each fiscal year, sales of service in which the aggregate
2 annual cost price of tangible personal property transferred
3 as an incident to the sales of service is less than 35%, or
4 75% in the case of servicemen transferring prescription drugs
5 or servicemen engaged in graphic arts production, of the
6 aggregate annual total gross receipts from all sales of
7 service, the tax imposed by this Act shall be based on the
8 serviceman's cost price of the tangible personal property
9 transferred as an incident to the sale of those services.
10 The tax shall be imposed at the rate of 1% on food
11 prepared for immediate consumption and transferred incident
12 to a sale of service subject to this Act or the Service
13 Occupation Tax Act by an entity licensed under the Hospital
14 Licensing Act, the Nursing Home Care Act, or the Child Care
15 Act of 1969. The tax shall also be imposed at the rate of 1%
16 on food for human consumption that is to be consumed off the
17 premises where it is sold (other than alcoholic beverages,
18 soft drinks, and food that has been prepared for immediate
19 consumption and is not otherwise included in this paragraph)
20 and prescription and nonprescription medicines, drugs,
21 medical appliances, modifications to a motor vehicle for the
22 purpose of rendering it usable by a disabled person, and
23 insulin, urine testing materials, syringes, and needles used
24 by diabetics, for human use. For the purposes of this
25 Section, the term "soft drinks" means any complete, finished,
26 ready-to-use, non-alcoholic drink, whether carbonated or not,
27 including but not limited to soda water, cola, fruit juice,
28 vegetable juice, carbonated water, and all other preparations
29 commonly known as soft drinks of whatever kind or description
30 that are contained in any closed or sealed bottle, can,
31 carton, or container, regardless of size. "Soft drinks" does
32 not include coffee, tea, non-carbonated water, infant
33 formula, milk or milk products as defined in the Grade A
34 Pasteurized Milk and Milk Products Act, or drinks containing
-30- LRB9114654SMdvam02
1 50% or more natural fruit or vegetable juice.
2 Notwithstanding any other provisions of this Act, "food
3 for human consumption that is to be consumed off the premises
4 where it is sold" includes all food sold through a vending
5 machine, except soft drinks and food products that are
6 dispensed hot from a vending machine, regardless of the
7 location of the vending machine.
8 If the property that is acquired from a serviceman is
9 acquired outside Illinois and used outside Illinois before
10 being brought to Illinois for use here and is taxable under
11 this Act, the "selling price" on which the tax is computed
12 shall be reduced by an amount that represents a reasonable
13 allowance for depreciation for the period of prior
14 out-of-state use.
15 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
16 91-51, eff. 6-30-99; 91-541, eff. 8-13-99; 91-872, eff.
17 7-1-00.)
18 (35 ILCS 110/9) (from Ch. 120, par. 439.39)
19 Sec. 9. Each serviceman required or authorized to
20 collect the tax herein imposed shall pay to the Department
21 the amount of such tax (except as otherwise provided) at the
22 time when he is required to file his return for the period
23 during which such tax was collected, less a discount of 2.1%
24 prior to January 1, 1990 and 1.75% on and after January 1,
25 1990, or $5 per calendar year, whichever is greater, which is
26 allowed to reimburse the serviceman for expenses incurred in
27 collecting the tax, keeping records, preparing and filing
28 returns, remitting the tax and supplying data to the
29 Department on request. A serviceman need not remit that part
30 of any tax collected by him to the extent that he is required
31 to pay and does pay the tax imposed by the Service Occupation
32 Tax Act with respect to his sale of service involving the
33 incidental transfer by him of the same property.
-31- LRB9114654SMdvam02
1 Except as provided hereinafter in this Section, on or
2 before the twentieth day of each calendar month, such
3 serviceman shall file a return for the preceding calendar
4 month in accordance with reasonable Rules and Regulations to
5 be promulgated by the Department. Such return shall be filed
6 on a form prescribed by the Department and shall contain such
7 information as the Department may reasonably require.
8 The Department may require returns to be filed on a
9 quarterly basis. If so required, a return for each calendar
10 quarter shall be filed on or before the twentieth day of the
11 calendar month following the end of such calendar quarter.
12 The taxpayer shall also file a return with the Department for
13 each of the first two months of each calendar quarter, on or
14 before the twentieth day of the following calendar month,
15 stating:
16 1. The name of the seller;
17 2. The address of the principal place of business
18 from which he engages in business as a serviceman in this
19 State;
20 3. The total amount of taxable receipts received by
21 him during the preceding calendar month, including
22 receipts from charge and time sales, but less all
23 deductions allowed by law;
24 4. The amount of credit provided in Section 2d of
25 this Act;
26 5. The amount of tax due;
27 5-5. The signature of the taxpayer; and
28 6. Such other reasonable information as the
29 Department may require.
30 If a taxpayer fails to sign a return within 30 days after
31 the proper notice and demand for signature by the Department,
32 the return shall be considered valid and any amount shown to
33 be due on the return shall be deemed assessed.
34 Beginning October 1, 1993, a taxpayer who has an average
-32- LRB9114654SMdvam02
1 monthly tax liability of $150,000 or more shall make all
2 payments required by rules of the Department by electronic
3 funds transfer. Beginning October 1, 1994, a taxpayer who
4 has an average monthly tax liability of $100,000 or more
5 shall make all payments required by rules of the Department
6 by electronic funds transfer. Beginning October 1, 1995, a
7 taxpayer who has an average monthly tax liability of $50,000
8 or more shall make all payments required by rules of the
9 Department by electronic funds transfer. Beginning October 1,
10 2000, a taxpayer who has an annual tax liability of $200,000
11 or more shall make all payments required by rules of the
12 Department by electronic funds transfer. The term "annual
13 tax liability" shall be the sum of the taxpayer's liabilities
14 under this Act, and under all other State and local
15 occupation and use tax laws administered by the Department,
16 for the immediately preceding calendar year. The term
17 "average monthly tax liability" means the sum of the
18 taxpayer's liabilities under this Act, and under all other
19 State and local occupation and use tax laws administered by
20 the Department, for the immediately preceding calendar year
21 divided by 12.
22 Before August 1 of each year beginning in 1993, the
23 Department shall notify all taxpayers required to make
24 payments by electronic funds transfer. All taxpayers required
25 to make payments by electronic funds transfer shall make
26 those payments for a minimum of one year beginning on October
27 1.
28 Any taxpayer not required to make payments by electronic
29 funds transfer may make payments by electronic funds transfer
30 with the permission of the Department.
31 All taxpayers required to make payment by electronic
32 funds transfer and any taxpayers authorized to voluntarily
33 make payments by electronic funds transfer shall make those
34 payments in the manner authorized by the Department.
-33- LRB9114654SMdvam02
1 The Department shall adopt such rules as are necessary to
2 effectuate a program of electronic funds transfer and the
3 requirements of this Section.
4 If the serviceman is otherwise required to file a monthly
5 return and if the serviceman's average monthly tax liability
6 to the Department does not exceed $200, the Department may
7 authorize his returns to be filed on a quarter annual basis,
8 with the return for January, February and March of a given
9 year being due by April 20 of such year; with the return for
10 April, May and June of a given year being due by July 20 of
11 such year; with the return for July, August and September of
12 a given year being due by October 20 of such year, and with
13 the return for October, November and December of a given year
14 being due by January 20 of the following year.
15 If the serviceman is otherwise required to file a monthly
16 or quarterly return and if the serviceman's average monthly
17 tax liability to the Department does not exceed $50, the
18 Department may authorize his returns to be filed on an annual
19 basis, with the return for a given year being due by January
20 20 of the following year.
21 Such quarter annual and annual returns, as to form and
22 substance, shall be subject to the same requirements as
23 monthly returns.
24 Notwithstanding any other provision in this Act
25 concerning the time within which a serviceman may file his
26 return, in the case of any serviceman who ceases to engage in
27 a kind of business which makes him responsible for filing
28 returns under this Act, such serviceman shall file a final
29 return under this Act with the Department not more than 1
30 month after discontinuing such business.
31 Where a serviceman collects the tax with respect to the
32 selling price of property which he sells and the purchaser
33 thereafter returns such property and the serviceman refunds
34 the selling price thereof to the purchaser, such serviceman
-34- LRB9114654SMdvam02
1 shall also refund, to the purchaser, the tax so collected
2 from the purchaser. When filing his return for the period in
3 which he refunds such tax to the purchaser, the serviceman
4 may deduct the amount of the tax so refunded by him to the
5 purchaser from any other Service Use Tax, Service Occupation
6 Tax, retailers' occupation tax or use tax which such
7 serviceman may be required to pay or remit to the Department,
8 as shown by such return, provided that the amount of the tax
9 to be deducted shall previously have been remitted to the
10 Department by such serviceman. If the serviceman shall not
11 previously have remitted the amount of such tax to the
12 Department, he shall be entitled to no deduction hereunder
13 upon refunding such tax to the purchaser.
14 Any serviceman filing a return hereunder shall also
15 include the total tax upon the selling price of tangible
16 personal property purchased for use by him as an incident to
17 a sale of service, and such serviceman shall remit the amount
18 of such tax to the Department when filing such return.
19 If experience indicates such action to be practicable,
20 the Department may prescribe and furnish a combination or
21 joint return which will enable servicemen, who are required
22 to file returns hereunder and also under the Service
23 Occupation Tax Act, to furnish all the return information
24 required by both Acts on the one form.
25 Where the serviceman has more than one business
26 registered with the Department under separate registration
27 hereunder, such serviceman shall not file each return that is
28 due as a single return covering all such registered
29 businesses, but shall file separate returns for each such
30 registered business.
31 Beginning January 1, 1990, each month the Department
32 shall pay into the State and Local Tax Reform Fund, a special
33 fund in the State Treasury, the net revenue realized for the
34 preceding month from the 1% tax on sales of food for human
-35- LRB9114654SMdvam02
1 consumption which is to be consumed off the premises where it
2 is sold (other than alcoholic beverages, soft drinks and food
3 which has been prepared for immediate consumption) and
4 prescription and nonprescription medicines, drugs, medical
5 appliances and insulin, urine testing materials, syringes and
6 needles used by diabetics.
7 Beginning January 1, 1990, each month the Department
8 shall pay into the State and Local Sales Tax Reform Fund 20%
9 of the net revenue realized for the preceding month from the
10 6.25% general rate on transfers of tangible personal
11 property, other than tangible personal property which is
12 purchased outside Illinois at retail from a retailer and
13 which is titled or registered by an agency of this State's
14 government.
15 Beginning August 1, 2000, each month the Department shall
16 pay into the State and Local Sales Tax Reform Fund 100% of
17 the net revenue realized for the preceding month from the
18 1.25% rate on the selling price of motor fuel and gasohol.
19 Beginning January 1, 2001, each month the Department
20 shall pay into the State and Local Sales Tax Reform Fund 100%
21 of the net revenue realized for the preceding month from the
22 1.25% rate on the selling price of propane and home heating
23 oil sold to residential customers.
24 Of the remainder of the moneys received by the Department
25 pursuant to this Act, (a) 1.75% thereof shall be paid into
26 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
27 and on and after July 1, 1989, 3.8% thereof shall be paid
28 into the Build Illinois Fund; provided, however, that if in
29 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
30 as the case may be, of the moneys received by the Department
31 and required to be paid into the Build Illinois Fund pursuant
32 to Section 3 of the Retailers' Occupation Tax Act, Section 9
33 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
34 Section 9 of the Service Occupation Tax Act, such Acts being
-36- LRB9114654SMdvam02
1 hereinafter called the "Tax Acts" and such aggregate of 2.2%
2 or 3.8%, as the case may be, of moneys being hereinafter
3 called the "Tax Act Amount", and (2) the amount transferred
4 to the Build Illinois Fund from the State and Local Sales Tax
5 Reform Fund shall be less than the Annual Specified Amount
6 (as defined in Section 3 of the Retailers' Occupation Tax
7 Act), an amount equal to the difference shall be immediately
8 paid into the Build Illinois Fund from other moneys received
9 by the Department pursuant to the Tax Acts; and further
10 provided, that if on the last business day of any month the
11 sum of (1) the Tax Act Amount required to be deposited into
12 the Build Illinois Bond Account in the Build Illinois Fund
13 during such month and (2) the amount transferred during such
14 month to the Build Illinois Fund from the State and Local
15 Sales Tax Reform Fund shall have been less than 1/12 of the
16 Annual Specified Amount, an amount equal to the difference
17 shall be immediately paid into the Build Illinois Fund from
18 other moneys received by the Department pursuant to the Tax
19 Acts; and, further provided, that in no event shall the
20 payments required under the preceding proviso result in
21 aggregate payments into the Build Illinois Fund pursuant to
22 this clause (b) for any fiscal year in excess of the greater
23 of (i) the Tax Act Amount or (ii) the Annual Specified Amount
24 for such fiscal year; and, further provided, that the amounts
25 payable into the Build Illinois Fund under this clause (b)
26 shall be payable only until such time as the aggregate amount
27 on deposit under each trust indenture securing Bonds issued
28 and outstanding pursuant to the Build Illinois Bond Act is
29 sufficient, taking into account any future investment income,
30 to fully provide, in accordance with such indenture, for the
31 defeasance of or the payment of the principal of, premium, if
32 any, and interest on the Bonds secured by such indenture and
33 on any Bonds expected to be issued thereafter and all fees
34 and costs payable with respect thereto, all as certified by
-37- LRB9114654SMdvam02
1 the Director of the Bureau of the Budget. If on the last
2 business day of any month in which Bonds are outstanding
3 pursuant to the Build Illinois Bond Act, the aggregate of the
4 moneys deposited in the Build Illinois Bond Account in the
5 Build Illinois Fund in such month shall be less than the
6 amount required to be transferred in such month from the
7 Build Illinois Bond Account to the Build Illinois Bond
8 Retirement and Interest Fund pursuant to Section 13 of the
9 Build Illinois Bond Act, an amount equal to such deficiency
10 shall be immediately paid from other moneys received by the
11 Department pursuant to the Tax Acts to the Build Illinois
12 Fund; provided, however, that any amounts paid to the Build
13 Illinois Fund in any fiscal year pursuant to this sentence
14 shall be deemed to constitute payments pursuant to clause (b)
15 of the preceding sentence and shall reduce the amount
16 otherwise payable for such fiscal year pursuant to clause (b)
17 of the preceding sentence. The moneys received by the
18 Department pursuant to this Act and required to be deposited
19 into the Build Illinois Fund are subject to the pledge, claim
20 and charge set forth in Section 12 of the Build Illinois Bond
21 Act.
22 Subject to payment of amounts into the Build Illinois
23 Fund as provided in the preceding paragraph or in any
24 amendment thereto hereafter enacted, the following specified
25 monthly installment of the amount requested in the
26 certificate of the Chairman of the Metropolitan Pier and
27 Exposition Authority provided under Section 8.25f of the
28 State Finance Act, but not in excess of the sums designated
29 as "Total Deposit", shall be deposited in the aggregate from
30 collections under Section 9 of the Use Tax Act, Section 9 of
31 the Service Use Tax Act, Section 9 of the Service Occupation
32 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
33 into the McCormick Place Expansion Project Fund in the
34 specified fiscal years.
-38- LRB9114654SMdvam02
1 Fiscal Year Total Deposit
2 1993 $0
3 1994 53,000,000
4 1995 58,000,000
5 1996 61,000,000
6 1997 64,000,000
7 1998 68,000,000
8 1999 71,000,000
9 2000 75,000,000
10 2001 80,000,000
11 2002 84,000,000
12 2003 89,000,000
13 2004 93,000,000
14 2005 97,000,000
15 2006 102,000,000
16 2007 108,000,000
17 2008 115,000,000
18 2009 120,000,000
19 2010 126,000,000
20 2011 132,000,000
21 2012 138,000,000
22 2013 and 145,000,000
23 each fiscal year
24 thereafter that bonds
25 are outstanding under
26 Section 13.2 of the
27 Metropolitan Pier and
28 Exposition Authority Act,
29 but not after fiscal year 2029.
30 Beginning July 20, 1993 and in each month of each fiscal
31 year thereafter, one-eighth of the amount requested in the
32 certificate of the Chairman of the Metropolitan Pier and
33 Exposition Authority for that fiscal year, less the amount
34 deposited into the McCormick Place Expansion Project Fund by
-39- LRB9114654SMdvam02
1 the State Treasurer in the respective month under subsection
2 (g) of Section 13 of the Metropolitan Pier and Exposition
3 Authority Act, plus cumulative deficiencies in the deposits
4 required under this Section for previous months and years,
5 shall be deposited into the McCormick Place Expansion Project
6 Fund, until the full amount requested for the fiscal year,
7 but not in excess of the amount specified above as "Total
8 Deposit", has been deposited.
9 Subject to payment of amounts into the Build Illinois
10 Fund and the McCormick Place Expansion Project Fund pursuant
11 to the preceding paragraphs or in any amendment thereto
12 hereafter enacted, each month the Department shall pay into
13 the Local Government Distributive Fund 0.4% of the net
14 revenue realized for the preceding month from the 5% general
15 rate or 0.4% of 80% of the net revenue realized for the
16 preceding month from the 6.25% general rate, as the case may
17 be, on the selling price of tangible personal property which
18 amount shall, subject to appropriation, be distributed as
19 provided in Section 2 of the State Revenue Sharing Act. No
20 payments or distributions pursuant to this paragraph shall be
21 made if the tax imposed by this Act on photo processing
22 products is declared unconstitutional, or if the proceeds
23 from such tax are unavailable for distribution because of
24 litigation.
25 Subject to payment of amounts into the Build Illinois
26 Fund, the McCormick Place Expansion Project Fund, and the
27 Local Government Distributive Fund pursuant to the preceding
28 paragraphs or in any amendments thereto hereafter enacted,
29 beginning July 1, 1993, the Department shall each month pay
30 into the Illinois Tax Increment Fund 0.27% of 80% of the net
31 revenue realized for the preceding month from the 6.25%
32 general rate on the selling price of tangible personal
33 property.
34 All remaining moneys received by the Department pursuant
-40- LRB9114654SMdvam02
1 to this Act shall be paid into the General Revenue Fund of
2 the State Treasury.
3 As soon as possible after the first day of each month,
4 upon certification of the Department of Revenue, the
5 Comptroller shall order transferred and the Treasurer shall
6 transfer from the General Revenue Fund to the Motor Fuel Tax
7 Fund an amount equal to 1.7% of 80% of the net revenue
8 realized under this Act for the second preceding month.
9 Beginning April 1, 2000, this transfer is no longer required
10 and shall not be made.
11 Net revenue realized for a month shall be the revenue
12 collected by the State pursuant to this Act, less the amount
13 paid out during that month as refunds to taxpayers for
14 overpayment of liability.
15 (Source: P.A. 90-612, eff. 7-8-98; 91-37, eff. 7-1-99; 91-51,
16 eff. 6-30-99; 91-101, eff. 7-12-99; 91-541, eff. 8-13-99;
17 91-872, eff. 7-1-00.)
18 Section 20. The Service Occupation Tax Act is amended by
19 changing Sections 3-10 and 9 as follows:
20 (35 ILCS 115/3-10) (from Ch. 120, par. 439.103-10)
21 Sec. 3-10. Rate of tax. Unless otherwise provided in
22 this Section, the tax imposed by this Act is at the rate of
23 6.25% of the "selling price", as defined in Section 2 of the
24 Service Use Tax Act, of the tangible personal property. For
25 the purpose of computing this tax, in no event shall the
26 "selling price" be less than the cost price to the serviceman
27 of the tangible personal property transferred. The selling
28 price of each item of tangible personal property transferred
29 as an incident of a sale of service may be shown as a
30 distinct and separate item on the serviceman's billing to the
31 service customer. If the selling price is not so shown, the
32 selling price of the tangible personal property is deemed to
-41- LRB9114654SMdvam02
1 be 50% of the serviceman's entire billing to the service
2 customer. When, however, a serviceman contracts to design,
3 develop, and produce special order machinery or equipment,
4 the tax imposed by this Act shall be based on the
5 serviceman's cost price of the tangible personal property
6 transferred incident to the completion of the contract.
7 Beginning on July 1, 2000 and through December 31, 2000,
8 with respect to motor fuel, as defined in Section 1.1 of the
9 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40
10 of the Use Tax Act, the tax is imposed at the rate of 1.25%.
11 Beginning on December 1, 2000 and through April 30, 2001,
12 with respect to propane and home heating oil sold to
13 residential customers, the tax is imposed at the rate of
14 1.25%.
15 With respect to gasohol, as defined in the Use Tax Act,
16 the tax imposed by this Act shall apply to 70% of the cost
17 price of property transferred as an incident to the sale of
18 service on or after January 1, 1990, and before July 1, 2003,
19 and to 100% of the cost price thereafter.
20 At the election of any registered serviceman made for
21 each fiscal year, sales of service in which the aggregate
22 annual cost price of tangible personal property transferred
23 as an incident to the sales of service is less than 35%, or
24 75% in the case of servicemen transferring prescription drugs
25 or servicemen engaged in graphic arts production, of the
26 aggregate annual total gross receipts from all sales of
27 service, the tax imposed by this Act shall be based on the
28 serviceman's cost price of the tangible personal property
29 transferred incident to the sale of those services.
30 The tax shall be imposed at the rate of 1% on food
31 prepared for immediate consumption and transferred incident
32 to a sale of service subject to this Act or the Service
33 Occupation Tax Act by an entity licensed under the Hospital
34 Licensing Act, the Nursing Home Care Act, or the Child Care
-42- LRB9114654SMdvam02
1 Act of 1969. The tax shall also be imposed at the rate of 1%
2 on food for human consumption that is to be consumed off the
3 premises where it is sold (other than alcoholic beverages,
4 soft drinks, and food that has been prepared for immediate
5 consumption and is not otherwise included in this paragraph)
6 and prescription and nonprescription medicines, drugs,
7 medical appliances, modifications to a motor vehicle for the
8 purpose of rendering it usable by a disabled person, and
9 insulin, urine testing materials, syringes, and needles used
10 by diabetics, for human use. For the purposes of this
11 Section, the term "soft drinks" means any complete, finished,
12 ready-to-use, non-alcoholic drink, whether carbonated or not,
13 including but not limited to soda water, cola, fruit juice,
14 vegetable juice, carbonated water, and all other preparations
15 commonly known as soft drinks of whatever kind or description
16 that are contained in any closed or sealed can, carton, or
17 container, regardless of size. "Soft drinks" does not
18 include coffee, tea, non-carbonated water, infant formula,
19 milk or milk products as defined in the Grade A Pasteurized
20 Milk and Milk Products Act, or drinks containing 50% or more
21 natural fruit or vegetable juice.
22 Notwithstanding any other provisions of this Act, "food
23 for human consumption that is to be consumed off the premises
24 where it is sold" includes all food sold through a vending
25 machine, except soft drinks and food products that are
26 dispensed hot from a vending machine, regardless of the
27 location of the vending machine.
28 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
29 91-51, 6-30-99; 91-541, eff. 8-13-99; 91-872, eff. 7-1-00.)
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
-43- LRB9114654SMdvam02
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
-44- LRB9114654SMdvam02
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
-45- LRB9114654SMdvam02
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. Beginning October
29 1, 2000, a taxpayer who has an annual tax liability of
30 $200,000 or more shall make all payments required by rules of
31 the Department by electronic funds transfer. The term
32 "annual tax liability" shall be the sum of the taxpayer's
33 liabilities under this Act, and under all other State and
34 local occupation and use tax laws administered by the
-46- LRB9114654SMdvam02
1 Department, for the immediately preceding calendar year. The
2 term "average monthly tax liability" means the sum of the
3 taxpayer's liabilities under this Act, and under all other
4 State and local occupation and use tax laws administered by
5 the Department, for the immediately preceding calendar year
6 divided by 12.
7 Before August 1 of each year beginning in 1993, the
8 Department shall notify all taxpayers required to make
9 payments by electronic funds transfer. All taxpayers
10 required to make payments by electronic funds transfer shall
11 make those payments for a minimum of one year beginning on
12 October 1.
13 Any taxpayer not required to make payments by electronic
14 funds transfer may make payments by electronic funds transfer
15 with the permission of the Department.
16 All taxpayers required to make payment by electronic
17 funds transfer and any taxpayers authorized to voluntarily
18 make payments by electronic funds transfer shall make those
19 payments in the manner authorized by the Department.
20 The Department shall adopt such rules as are necessary to
21 effectuate a program of electronic funds transfer and the
22 requirements of this Section.
23 Where a serviceman collects the tax with respect to the
24 selling price of tangible personal property which he sells
25 and the purchaser thereafter returns such tangible personal
26 property and the serviceman refunds the selling price thereof
27 to the purchaser, such serviceman shall also refund, to the
28 purchaser, the tax so collected from the purchaser. When
29 filing his return for the period in which he refunds such tax
30 to the purchaser, the serviceman may deduct the amount of the
31 tax so refunded by him to the purchaser from any other
32 Service Occupation Tax, Service Use Tax, Retailers'
33 Occupation Tax or Use Tax which such serviceman may be
34 required to pay or remit to the Department, as shown by such
-47- LRB9114654SMdvam02
1 return, provided that the amount of the tax to be deducted
2 shall previously have been remitted to the Department by such
3 serviceman. If the serviceman shall not previously have
4 remitted the amount of such tax to the Department, he shall
5 be entitled to no deduction hereunder upon refunding such tax
6 to the purchaser.
7 If experience indicates such action to be practicable,
8 the Department may prescribe and furnish a combination or
9 joint return which will enable servicemen, who are required
10 to file returns hereunder and also under the Retailers'
11 Occupation Tax Act, the Use Tax Act or the Service Use Tax
12 Act, to furnish all the return information required by all
13 said Acts on the one form.
14 Where the serviceman has more than one business
15 registered with the Department under separate registrations
16 hereunder, such serviceman shall file separate returns for
17 each registered business.
18 Beginning January 1, 1990, each month the Department
19 shall pay into the Local Government Tax Fund the revenue
20 realized for the preceding month from the 1% tax on sales of
21 food for human consumption which is to be consumed off the
22 premises where it is sold (other than alcoholic beverages,
23 soft drinks and food which has been prepared for immediate
24 consumption) and prescription and nonprescription medicines,
25 drugs, medical appliances and insulin, urine testing
26 materials, syringes and needles used by diabetics.
27 Beginning January 1, 1990, each month the Department
28 shall pay into the County and Mass Transit District Fund 4%
29 of the revenue realized for the preceding month from the
30 6.25% general rate.
31 Beginning August 1, 2000, each month the Department shall
32 pay into the County and Mass Transit District Fund 20% of the
33 net revenue realized for the preceding month from the 1.25%
34 rate on the selling price of motor fuel and gasohol.
-48- LRB9114654SMdvam02
1 Beginning January 1, 2001, each month the Department
2 shall pay into the County and Mass Transit District Fund 20%
3 of the net revenue realized for the preceding month from the
4 1.25% rate on the selling price of propane and home heating
5 oil sold to residential customers.
6 Beginning January 1, 1990, each month the Department
7 shall pay into the Local Government Tax Fund 16% of the
8 revenue realized for the preceding month from the 6.25%
9 general rate on transfers of tangible personal property.
10 Beginning August 1, 2000, each month the Department shall
11 pay into the Local Government Tax Fund 80% of the net revenue
12 realized for the preceding month from the 1.25% rate on the
13 selling price of motor fuel and gasohol.
14 Beginning January 1, 2001, each month the Department
15 shall pay into the Local Government Tax Fund 80% of the net
16 revenue realized for the preceding month from the 1.25% rate
17 on the selling price of propane and home heating oil sold to
18 residential customers.
19 Of the remainder of the moneys received by the Department
20 pursuant to this Act, (a) 1.75% thereof shall be paid into
21 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
22 and on and after July 1, 1989, 3.8% thereof shall be paid
23 into the Build Illinois Fund; provided, however, that if in
24 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
25 as the case may be, of the moneys received by the Department
26 and required to be paid into the Build Illinois Fund pursuant
27 to Section 3 of the Retailers' Occupation Tax Act, Section 9
28 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
29 Section 9 of the Service Occupation Tax Act, such Acts being
30 hereinafter called the "Tax Acts" and such aggregate of 2.2%
31 or 3.8%, as the case may be, of moneys being hereinafter
32 called the "Tax Act Amount", and (2) the amount transferred
33 to the Build Illinois Fund from the State and Local Sales Tax
34 Reform Fund shall be less than the Annual Specified Amount
-49- LRB9114654SMdvam02
1 (as defined in Section 3 of the Retailers' Occupation Tax
2 Act), an amount equal to the difference shall be immediately
3 paid into the Build Illinois Fund from other moneys received
4 by the Department pursuant to the Tax Acts; and further
5 provided, that if on the last business day of any month the
6 sum of (1) the Tax Act Amount required to be deposited into
7 the Build Illinois Account in the Build Illinois Fund during
8 such month and (2) the amount transferred during such month
9 to the Build Illinois Fund from the State and Local Sales Tax
10 Reform Fund shall have been less than 1/12 of the Annual
11 Specified Amount, an amount equal to the difference shall be
12 immediately paid into the Build Illinois Fund from other
13 moneys received by the Department pursuant to the Tax Acts;
14 and, further provided, that in no event shall the payments
15 required under the preceding proviso result in aggregate
16 payments into the Build Illinois Fund pursuant to this clause
17 (b) for any fiscal year in excess of the greater of (i) the
18 Tax Act Amount or (ii) the Annual Specified Amount for such
19 fiscal year; and, further provided, that the amounts payable
20 into the Build Illinois Fund under this clause (b) shall be
21 payable only until such time as the aggregate amount on
22 deposit under each trust indenture securing Bonds issued and
23 outstanding pursuant to the Build Illinois Bond Act is
24 sufficient, taking into account any future investment income,
25 to fully provide, in accordance with such indenture, for the
26 defeasance of or the payment of the principal of, premium, if
27 any, and interest on the Bonds secured by such indenture and
28 on any Bonds expected to be issued thereafter and all fees
29 and costs payable with respect thereto, all as certified by
30 the Director of the Bureau of the Budget. If on the last
31 business day of any month in which Bonds are outstanding
32 pursuant to the Build Illinois Bond Act, the aggregate of the
33 moneys deposited in the Build Illinois Bond Account in the
34 Build Illinois Fund in such month shall be less than the
-50- LRB9114654SMdvam02
1 amount required to be transferred in such month from the
2 Build Illinois Bond Account to the Build Illinois Bond
3 Retirement and Interest Fund pursuant to Section 13 of the
4 Build Illinois Bond Act, an amount equal to such deficiency
5 shall be immediately paid from other moneys received by the
6 Department pursuant to the Tax Acts to the Build Illinois
7 Fund; provided, however, that any amounts paid to the Build
8 Illinois Fund in any fiscal year pursuant to this sentence
9 shall be deemed to constitute payments pursuant to clause (b)
10 of the preceding sentence and shall reduce the amount
11 otherwise payable for such fiscal year pursuant to clause (b)
12 of the preceding sentence. The moneys received by the
13 Department pursuant to this Act and required to be deposited
14 into the Build Illinois Fund are subject to the pledge, claim
15 and charge set forth in Section 12 of the Build Illinois Bond
16 Act.
17 Subject to payment of amounts into the Build Illinois
18 Fund as provided in the preceding paragraph or in any
19 amendment thereto hereafter enacted, the following specified
20 monthly installment of the amount requested in the
21 certificate of the Chairman of the Metropolitan Pier and
22 Exposition Authority provided under Section 8.25f of the
23 State Finance Act, but not in excess of the sums designated
24 as "Total Deposit", shall be deposited in the aggregate from
25 collections under Section 9 of the Use Tax Act, Section 9 of
26 the Service Use Tax Act, Section 9 of the Service Occupation
27 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
28 into the McCormick Place Expansion Project Fund in the
29 specified fiscal years.
30 Fiscal Year Total Deposit
31 1993 $0
32 1994 53,000,000
33 1995 58,000,000
34 1996 61,000,000
-51- LRB9114654SMdvam02
1 1997 64,000,000
2 1998 68,000,000
3 1999 71,000,000
4 2000 75,000,000
5 2001 80,000,000
6 2002 84,000,000
7 2003 89,000,000
8 2004 93,000,000
9 2005 97,000,000
10 2006 102,000,000
11 2007 108,000,000
12 2008 115,000,000
13 2009 120,000,000
14 2010 126,000,000
15 2011 132,000,000
16 2012 138,000,000
17 2013 and 145,000,000
18 each fiscal year
19 thereafter that bonds
20 are outstanding under
21 Section 13.2 of the
22 Metropolitan Pier and
23 Exposition Authority
24 Act, but not after fiscal year 2029.
25 Beginning July 20, 1993 and in each month of each fiscal
26 year thereafter, one-eighth of the amount requested in the
27 certificate of the Chairman of the Metropolitan Pier and
28 Exposition Authority for that fiscal year, less the amount
29 deposited into the McCormick Place Expansion Project Fund by
30 the State Treasurer in the respective month under subsection
31 (g) of Section 13 of the Metropolitan Pier and Exposition
32 Authority Act, plus cumulative deficiencies in the deposits
33 required under this Section for previous months and years,
34 shall be deposited into the McCormick Place Expansion Project
-52- LRB9114654SMdvam02
1 Fund, until the full amount requested for the fiscal year,
2 but not in excess of the amount specified above as "Total
3 Deposit", has been deposited.
4 Subject to payment of amounts into the Build Illinois
5 Fund and the McCormick Place Expansion Project Fund pursuant
6 to the preceding paragraphs or in any amendment thereto
7 hereafter enacted, each month the Department shall pay into
8 the Local Government Distributive Fund 0.4% of the net
9 revenue realized for the preceding month from the 5% general
10 rate or 0.4% of 80% of the net revenue realized for the
11 preceding month from the 6.25% general rate, as the case may
12 be, on the selling price of tangible personal property which
13 amount shall, subject to appropriation, be distributed as
14 provided in Section 2 of the State Revenue Sharing Act. No
15 payments or distributions pursuant to this paragraph shall be
16 made if the tax imposed by this Act on photoprocessing
17 products is declared unconstitutional, or if the proceeds
18 from such tax are unavailable for distribution because of
19 litigation.
20 Subject to payment of amounts into the Build Illinois
21 Fund, the McCormick Place Expansion Project Fund, and the
22 Local Government Distributive Fund pursuant to the preceding
23 paragraphs or in any amendments thereto hereafter enacted,
24 beginning July 1, 1993, the Department shall each month pay
25 into the Illinois Tax Increment Fund 0.27% of 80% of the net
26 revenue realized for the preceding month from the 6.25%
27 general rate on the selling price of tangible personal
28 property.
29 Remaining moneys received by the Department pursuant to
30 this Act shall be paid into the General Revenue Fund of the
31 State Treasury.
32 The Department may, upon separate written notice to a
33 taxpayer, require the taxpayer to prepare and file with the
34 Department on a form prescribed by the Department within not
-53- LRB9114654SMdvam02
1 less than 60 days after receipt of the notice an annual
2 information return for the tax year specified in the notice.
3 Such annual return to the Department shall include a
4 statement of gross receipts as shown by the taxpayer's last
5 Federal income tax return. If the total receipts of the
6 business as reported in the Federal income tax return do not
7 agree with the gross receipts reported to the Department of
8 Revenue for the same period, the taxpayer shall attach to his
9 annual return a schedule showing a reconciliation of the 2
10 amounts and the reasons for the difference. The taxpayer's
11 annual return to the Department shall also disclose the cost
12 of goods sold by the taxpayer during the year covered by such
13 return, opening and closing inventories of such goods for
14 such year, cost of goods used from stock or taken from stock
15 and given away by the taxpayer during such year, pay roll
16 information of the taxpayer's business during such year and
17 any additional reasonable information which the Department
18 deems would be helpful in determining the accuracy of the
19 monthly, quarterly or annual returns filed by such taxpayer
20 as hereinbefore provided for in this Section.
21 If the annual information return required by this Section
22 is not filed when and as required, the taxpayer shall be
23 liable as follows:
24 (i) Until January 1, 1994, the taxpayer shall be
25 liable for a penalty equal to 1/6 of 1% of the tax due
26 from such taxpayer under this Act during the period to be
27 covered by the annual return for each month or fraction
28 of a month until such return is filed as required, the
29 penalty to be assessed and collected in the same manner
30 as any other penalty provided for in this Act.
31 (ii) On and after January 1, 1994, the taxpayer
32 shall be liable for a penalty as described in Section 3-4
33 of the Uniform Penalty and Interest Act.
34 The chief executive officer, proprietor, owner or highest
-54- LRB9114654SMdvam02
1 ranking manager shall sign the annual return to certify the
2 accuracy of the information contained therein. Any person
3 who willfully signs the annual return containing false or
4 inaccurate information shall be guilty of perjury and
5 punished accordingly. The annual return form prescribed by
6 the Department shall include a warning that the person
7 signing the return may be liable for perjury.
8 The foregoing portion of this Section concerning the
9 filing of an annual information return shall not apply to a
10 serviceman who is not required to file an income tax return
11 with the United States Government.
12 As soon as possible after the first day of each month,
13 upon certification of the Department of Revenue, the
14 Comptroller shall order transferred and the Treasurer shall
15 transfer from the General Revenue Fund to the Motor Fuel Tax
16 Fund an amount equal to 1.7% of 80% of the net revenue
17 realized under this Act for the second preceding month.
18 Beginning April 1, 2000, this transfer is no longer required
19 and shall not be made.
20 Net revenue realized for a month shall be the revenue
21 collected by the State pursuant to this Act, less the amount
22 paid out during that month as refunds to taxpayers for
23 overpayment of liability.
24 For greater simplicity of administration, it shall be
25 permissible for manufacturers, importers and wholesalers
26 whose products are sold by numerous servicemen in Illinois,
27 and who wish to do so, to assume the responsibility for
28 accounting and paying to the Department all tax accruing
29 under this Act with respect to such sales, if the servicemen
30 who are affected do not make written objection to the
31 Department to this arrangement.
32 (Source: P.A. 90-612, eff. 7-8-98; 91-37, eff. 7-1-99; 91-51,
33 eff. 6-30-99; 91-101, eff. 7-12-99; 91-541, eff. 8-13-99;
34 91-872, eff. 7-1-00.)
-55- LRB9114654SMdvam02
1 Section 25. The Retailers' Occupation Tax Act is
2 amended by changing Sections 2-10 and 3 as follows:
3 (35 ILCS 120/2-10) (from Ch. 120, par. 441-10)
4 Sec. 2-10. Rate of tax. Unless otherwise provided in
5 this Section, the tax imposed by this Act is at the rate of
6 6.25% of gross receipts from sales of tangible personal
7 property made in the course of business.
8 Beginning on July 1, 2000 and through December 31, 2000,
9 with respect to motor fuel, as defined in Section 1.1 of the
10 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40
11 of the Use Tax Act, the tax is imposed at the rate of 1.25%.
12 Within 14 days after the effective date of this
13 amendatory Act of the 91st General Assembly, each retailer of
14 motor fuel and gasohol shall cause the following notice to be
15 posted in a prominently visible place on each retail
16 dispensing device that is used to dispense motor fuel or
17 gasohol in the State of Illinois: "As of July 1, 2000, the
18 State of Illinois has eliminated the State's share of sales
19 tax on motor fuel and gasohol through December 31, 2000. The
20 price on this pump should reflect the elimination of the
21 tax." The notice shall be printed in bold print on a sign
22 that is no smaller than 4 inches by 8 inches. The sign shall
23 be clearly visible to customers. Any retailer who fails to
24 post or maintain a required sign through December 31, 2000 is
25 guilty of a petty offense for which the fine shall be $500
26 per day per each retail premises where a violation occurs.
27 With respect to gasohol, as defined in the Use Tax Act,
28 the tax imposed by this Act applies to 70% of the proceeds of
29 sales made on or after January 1, 1990, and before July 1,
30 2003, and to 100% of the proceeds of sales made thereafter.
31 Beginning on December 1, 2000 and through April 30, 2001,
32 with respect to propane and home heating oil sold to
33 residential customers, the tax is imposed at the rate of
-56- LRB9114654SMdvam02
1 1.25%.
2 With respect to food for human consumption that is to be
3 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,
7 modifications to a motor vehicle for the purpose of rendering
8 it usable by a disabled person, and insulin, urine testing
9 materials, syringes, and needles used by diabetics, for human
10 use, the tax is imposed at the rate of 1%. For the purposes
11 of this Section, the term "soft drinks" means any complete,
12 finished, ready-to-use, non-alcoholic drink, whether
13 carbonated or not, including but not limited to soda water,
14 cola, fruit juice, vegetable juice, carbonated water, and all
15 other preparations commonly known as soft drinks of whatever
16 kind or description that are contained in any closed or
17 sealed bottle, can, carton, or container, regardless of size.
18 "Soft drinks" does not include coffee, tea, non-carbonated
19 water, infant formula, milk or milk products as defined in
20 the Grade A Pasteurized Milk and Milk Products Act, or drinks
21 containing 50% or more natural fruit or vegetable juice.
22 Notwithstanding any other provisions of this Act, "food
23 for human consumption that is to be consumed off the premises
24 where it is sold" includes all food sold through a vending
25 machine, except soft =rinks and food products that are
26 dispensed hot from a vending machine, regardless of the
27 location of the vending machine.
28 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
29 91-51, eff. 6-30-99; 91-872, eff. 7-1-00.)
30 (35 ILCS 120/3) (from Ch. 120, par. 442)
31 Sec. 3. Except as provided in this Section, on or before
32 the twentieth day of each calendar month, every person
33 engaged in the business of selling tangible personal property
-57- LRB9114654SMdvam02
1 at retail in this State during the preceding calendar month
2 shall file a return with the Department, stating:
3 1. The name of the seller;
4 2. His residence address and the address of his
5 principal place of business and the address of the
6 principal place of business (if that is a different
7 address) from which he engages in the business of selling
8 tangible personal property at retail in this State;
9 3. Total amount of receipts received by him during
10 the preceding calendar month or quarter, as the case may
11 be, from sales of tangible personal property, and from
12 services furnished, by him during such preceding calendar
13 month or quarter;
14 4. Total amount received by him during the
15 preceding calendar month or quarter on charge and time
16 sales of tangible personal property, and from services
17 furnished, by him prior to the month or quarter for which
18 the return is filed;
19 5. Deductions allowed by law;
20 6. Gross receipts which were received by him during
21 the preceding calendar month or quarter and upon the
22 basis of which the tax is imposed;
23 7. The amount of credit provided in Section 2d of
24 this Act;
25 8. The amount of tax due;
26 9. The signature of the taxpayer; and
27 10. Such other reasonable information as the
28 Department may require.
29 If a taxpayer fails to sign a return within 30 days after
30 the proper notice and demand for signature by the Department,
31 the return shall be considered valid and any amount shown to
32 be due on the return shall be deemed assessed.
33 Each return shall be accompanied by the statement of
34 prepaid tax issued pursuant to Section 2e for which credit is
-58- LRB9114654SMdvam02
1 claimed.
2 A retailer may accept a Manufacturer's Purchase Credit
3 certification from a purchaser in satisfaction of Use Tax as
4 provided in Section 3-85 of the Use Tax Act if the purchaser
5 provides the appropriate documentation as required by Section
6 3-85 of the Use Tax Act. A Manufacturer's Purchase Credit
7 certification, accepted by a retailer as provided in Section
8 3-85 of the Use Tax Act, may be used by that retailer to
9 satisfy Retailers' Occupation Tax liability in the amount
10 claimed in the certification, not to exceed 6.25% of the
11 receipts subject to tax from a qualifying purchase.
12 The Department may require returns to be filed on a
13 quarterly basis. If so required, a return for each calendar
14 quarter shall be filed on or before the twentieth day of the
15 calendar month following the end of such calendar quarter.
16 The taxpayer shall also file a return with the Department for
17 each of the first two months of each calendar quarter, on or
18 before the twentieth day of the following calendar month,
19 stating:
20 1. The name of the seller;
21 2. The address of the principal place of business
22 from which he engages in the business of selling tangible
23 personal property at retail in this State;
24 3. The total amount of taxable receipts received by
25 him during the preceding calendar month from sales of
26 tangible personal property by him during such preceding
27 calendar month, including receipts from charge and time
28 sales, but less all deductions allowed by law;
29 4. The amount of credit provided in Section 2d of
30 this Act;
31 5. The amount of tax due; and
32 6. Such other reasonable information as the
33 Department may require.
34 If a total amount of less than $1 is payable, refundable
-59- LRB9114654SMdvam02
1 or creditable, such amount shall be disregarded if it is less
2 than 50 cents and shall be increased to $1 if it is 50 cents
3 or more.
4 Beginning October 1, 1993, a taxpayer who has an average
5 monthly tax liability of $150,000 or more shall make all
6 payments required by rules of the Department by electronic
7 funds transfer. Beginning October 1, 1994, a taxpayer who
8 has an average monthly tax liability of $100,000 or more
9 shall make all payments required by rules of the Department
10 by electronic funds transfer. Beginning October 1, 1995, a
11 taxpayer who has an average monthly tax liability of $50,000
12 or more shall make all payments required by rules of the
13 Department by electronic funds transfer. Beginning October
14 1, 2000, a taxpayer who has an annual tax liability of
15 $200,000 or more shall make all payments required by rules of
16 the Department by electronic funds transfer. The term
17 "annual tax liability" shall be the sum of the taxpayer's
18 liabilities under this Act, and under all other State and
19 local occupation and use tax laws administered by the
20 Department, for the immediately preceding calendar year. The
21 term "average monthly tax liability" shall be the sum of the
22 taxpayer's liabilities under this Act, and under all other
23 State and local occupation and use tax laws administered by
24 the Department, for the immediately preceding calendar year
25 divided by 12.
26 Before August 1 of each year beginning in 1993, the
27 Department shall notify all taxpayers required to make
28 payments by electronic funds transfer. All taxpayers
29 required to make payments by electronic funds transfer shall
30 make those payments for a minimum of one year beginning on
31 October 1.
32 Any taxpayer not required to make payments by electronic
33 funds transfer may make payments by electronic funds transfer
34 with the permission of the Department.
-60- LRB9114654SMdvam02
1 All taxpayers required to make payment by electronic
2 funds transfer and any taxpayers authorized to voluntarily
3 make payments by electronic funds transfer shall make those
4 payments in the manner authorized by the Department.
5 The Department shall adopt such rules as are necessary to
6 effectuate a program of electronic funds transfer and the
7 requirements of this Section.
8 Any amount which is required to be shown or reported on
9 any return or other document under this Act shall, if such
10 amount is not a whole-dollar amount, be increased to the
11 nearest whole-dollar amount in any case where the fractional
12 part of a dollar is 50 cents or more, and decreased to the
13 nearest whole-dollar amount where the fractional part of a
14 dollar is less than 50 cents.
15 If the retailer is otherwise required to file a monthly
16 return and if the retailer's average monthly tax liability to
17 the Department does not exceed $200, the Department may
18 authorize his returns to be filed on a quarter annual basis,
19 with the return for January, February and March of a given
20 year being due by April 20 of such year; with the return for
21 April, May and June of a given year being due by July 20 of
22 such year; with the return for July, August and September of
23 a given year being due by October 20 of such year, and with
24 the return for October, November and December of a given year
25 being due by January 20 of the following year.
26 If the retailer is otherwise required to file a monthly
27 or quarterly return and if the retailer's average monthly tax
28 liability with the Department does not exceed $50, the
29 Department may authorize his returns to be filed on an annual
30 basis, with the return for a given year being due by January
31 20 of the following year.
32 Such quarter annual and annual returns, as to form and
33 substance, shall be subject to the same requirements as
34 monthly returns.
-61- LRB9114654SMdvam02
1 Notwithstanding any other provision in this Act
2 concerning the time within which a retailer may file his
3 return, in the case of any retailer who ceases to engage in a
4 kind of business which makes him responsible for filing
5 returns under this Act, such retailer shall file a final
6 return under this Act with the Department not more than one
7 month after discontinuing such business.
8 Where the same person has more than one business
9 registered with the Department under separate registrations
10 under this Act, such person may not file each return that is
11 due as a single return covering all such registered
12 businesses, but shall file separate returns for each such
13 registered business.
14 In addition, with respect to motor vehicles, watercraft,
15 aircraft, and trailers that are required to be registered
16 with an agency of this State, every retailer selling this
17 kind of tangible personal property shall file, with the
18 Department, upon a form to be prescribed and supplied by the
19 Department, a separate return for each such item of tangible
20 personal property which the retailer sells, except that if,
21 in the same transaction, (i) a retailer of aircraft,
22 watercraft, motor vehicles or trailers transfers more than
23 one aircraft, watercraft, motor vehicle or trailer to another
24 aircraft, watercraft, motor vehicle retailer or trailer
25 retailer for the purpose of resale or (ii) a retailer of
26 aircraft, watercraft, motor vehicles, or trailers transfers
27 more than one aircraft, watercraft, motor vehicle, or trailer
28 to a purchaser for use as a qualifying rolling stock as
29 provided in Section 2-5 of this Act, then that seller may
30 report the transfer of all aircraft, watercraft, motor
31 vehicles or trailers involved in that transaction to the
32 Department on the same uniform invoice-transaction reporting
33 return form. For purposes of this Section, "watercraft"
34 means a Class 2, Class 3, or Class 4 watercraft as defined in
-62- LRB9114654SMdvam02
1 Section 3-2 of the Boat Registration and Safety Act, a
2 personal watercraft, or any boat equipped with an inboard
3 motor.
4 Any retailer who sells only motor vehicles, watercraft,
5 aircraft, or trailers that are required to be registered with
6 an agency of this State, so that all retailers' occupation
7 tax liability is required to be reported, and is reported, on
8 such transaction reporting returns and who is not otherwise
9 required to file monthly or quarterly returns, need not file
10 monthly or quarterly returns. However, those retailers shall
11 be required to file returns on an annual basis.
12 The transaction reporting return, in the case of motor
13 vehicles or trailers that are required to be registered with
14 an agency of this State, shall be the same document as the
15 Uniform Invoice referred to in Section 5-402 of The Illinois
16 Vehicle Code and must show the name and address of the
17 seller; the name and address of the purchaser; the amount of
18 the selling price including the amount allowed by the
19 retailer for traded-in property, if any; the amount allowed
20 by the retailer for the traded-in tangible personal property,
21 if any, to the extent to which Section 1 of this Act allows
22 an exemption for the value of traded-in property; the balance
23 payable after deducting such trade-in allowance from the
24 total selling price; the amount of tax due from the retailer
25 with respect to such transaction; the amount of tax collected
26 from the purchaser by the retailer on such transaction (or
27 satisfactory evidence that such tax is not due in that
28 particular instance, if that is claimed to be the fact); the
29 place and date of the sale; a sufficient identification of
30 the property sold; such other information as is required in
31 Section 5-402 of The Illinois Vehicle Code, and such other
32 information as the Department may reasonably require.
33 The transaction reporting return in the case of
34 watercraft or aircraft must show the name and address of the
-63- LRB9114654SMdvam02
1 seller; the name and address of the purchaser; the amount of
2 the selling price including the amount allowed by the
3 retailer for traded-in property, if any; the amount allowed
4 by the retailer for the traded-in tangible personal property,
5 if any, to the extent to which Section 1 of this Act allows
6 an exemption for the value of traded-in property; the balance
7 payable after deducting such trade-in allowance from the
8 total selling price; the amount of tax due from the retailer
9 with respect to such transaction; the amount of tax collected
10 from the purchaser by the retailer on such transaction (or
11 satisfactory evidence that such tax is not due in that
12 particular instance, if that is claimed to be the fact); the
13 place and date of the sale, a sufficient identification of
14 the property sold, and such other information as the
15 Department may reasonably require.
16 Such transaction reporting return shall be filed not
17 later than 20 days after the day of delivery of the item that
18 is being sold, but may be filed by the retailer at any time
19 sooner than that if he chooses to do so. The transaction
20 reporting return and tax remittance or proof of exemption
21 from the Illinois use tax may be transmitted to the
22 Department by way of the State agency with which, or State
23 officer with whom the tangible personal property must be
24 titled or registered (if titling or registration is required)
25 if the Department and such agency or State officer determine
26 that this procedure will expedite the processing of
27 applications for title or registration.
28 With each such transaction reporting return, the retailer
29 shall remit the proper amount of tax due (or shall submit
30 satisfactory evidence that the sale is not taxable if that is
31 the case), to the Department or its agents, whereupon the
32 Department shall issue, in the purchaser's name, a use tax
33 receipt (or a certificate of exemption if the Department is
34 satisfied that the particular sale is tax exempt) which such
-64- LRB9114654SMdvam02
1 purchaser may submit to the agency with which, or State
2 officer with whom, he must title or register the tangible
3 personal property that is involved (if titling or
4 registration is required) in support of such purchaser's
5 application for an Illinois certificate or other evidence of
6 title or registration to such tangible personal property.
7 No retailer's failure or refusal to remit tax under this
8 Act precludes a user, who has paid the proper tax to the
9 retailer, from obtaining his certificate of title or other
10 evidence of title or registration (if titling or registration
11 is required) upon satisfying the Department that such user
12 has paid the proper tax (if tax is due) to the retailer. The
13 Department shall adopt appropriate rules to carry out the
14 mandate of this paragraph.
15 If the user who would otherwise pay tax to the retailer
16 wants the transaction reporting return filed and the payment
17 of the tax or proof of exemption made to the Department
18 before the retailer is willing to take these actions and such
19 user has not paid the tax to the retailer, such user may
20 certify to the fact of such delay by the retailer and may
21 (upon the Department being satisfied of the truth of such
22 certification) transmit the information required by the
23 transaction reporting return and the remittance for tax or
24 proof of exemption directly to the Department and obtain his
25 tax receipt or exemption determination, in which event the
26 transaction reporting return and tax remittance (if a tax
27 payment was required) shall be credited by the Department to
28 the proper retailer's account with the Department, but
29 without the 2.1% or 1.75% discount provided for in this
30 Section being allowed. When the user pays the tax directly
31 to the Department, he shall pay the tax in the same amount
32 and in the same form in which it would be remitted if the tax
33 had been remitted to the Department by the retailer.
34 Refunds made by the seller during the preceding return
-65- LRB9114654SMdvam02
1 period to purchasers, on account of tangible personal
2 property returned to the seller, shall be allowed as a
3 deduction under subdivision 5 of his monthly or quarterly
4 return, as the case may be, in case the seller had
5 theretofore included the receipts from the sale of such
6 tangible personal property in a return filed by him and had
7 paid the tax imposed by this Act with respect to such
8 receipts.
9 Where the seller is a corporation, the return filed on
10 behalf of such corporation shall be signed by the president,
11 vice-president, secretary or treasurer or by the properly
12 accredited agent of such corporation.
13 Where the seller is a limited liability company, the
14 return filed on behalf of the limited liability company shall
15 be signed by a manager, member, or properly accredited agent
16 of the limited liability company.
17 Except as provided in this Section, the retailer filing
18 the return under this Section shall, at the time of filing
19 such return, pay to the Department the amount of tax imposed
20 by this Act less a discount of 2.1% prior to January 1, 1990
21 and 1.75% on and after January 1, 1990, or $5 per calendar
22 year, whichever is greater, which is allowed to reimburse the
23 retailer for the expenses incurred in keeping records,
24 preparing and filing returns, remitting the tax and supplying
25 data to the Department on request. Any prepayment made
26 pursuant to Section 2d of this Act shall be included in the
27 amount on which such 2.1% or 1.75% discount is computed. In
28 the case of retailers who report and pay the tax on a
29 transaction by transaction basis, as provided in this
30 Section, such discount shall be taken with each such tax
31 remittance instead of when such retailer files his periodic
32 return.
33 Before October 1, 2000, if the taxpayer's average monthly
34 tax liability to the Department under this Act, the Use Tax
-66- LRB9114654SMdvam02
1 Act, the Service Occupation Tax Act, and the Service Use Tax
2 Act, excluding any liability for prepaid sales tax to be
3 remitted in accordance with Section 2d of this Act, was
4 $10,000 or more during the preceding 4 complete calendar
5 quarters, he shall file a return with the Department each
6 month by the 20th day of the month next following the month
7 during which such tax liability is incurred and shall make
8 payments to the Department on or before the 7th, 15th, 22nd
9 and last day of the month during which such liability is
10 incurred. On and after October 1, 2000, if the taxpayer's
11 average monthly tax liability to the Department under this
12 Act, the Use Tax Act, the Service Occupation Tax Act, and the
13 Service Use Tax Act, excluding any liability for prepaid
14 sales tax to be remitted in accordance with Section 2d of
15 this Act, was $20,000 or more during the preceding 4 complete
16 calendar quarters, he shall file a return with the Department
17 each month by the 20th day of the month next following the
18 month during which such tax liability is incurred and shall
19 make payment to the Department on or before the 7th, 15th,
20 22nd and last day of the month during which such liability is
21 incurred. If the month during which such tax liability is
22 incurred began prior to January 1, 1985, each payment shall
23 be in an amount equal to 1/4 of the taxpayer's actual
24 liability for the month or an amount set by the Department
25 not to exceed 1/4 of the average monthly liability of the
26 taxpayer to the Department for the preceding 4 complete
27 calendar quarters (excluding the month of highest liability
28 and the month of lowest liability in such 4 quarter period).
29 If the month during which such tax liability is incurred
30 begins on or after January 1, 1985 and prior to January 1,
31 1987, each payment shall be in an amount equal to 22.5% of
32 the taxpayer's actual liability for the month or 27.5% of the
33 taxpayer's liability for the same calendar month of the
34 preceding year. If the month during which such tax liability
-67- LRB9114654SMdvam02
1 is incurred begins on or after January 1, 1987 and prior to
2 January 1, 1988, each payment shall be in an amount equal to
3 22.5% of the taxpayer's actual liability for the month or
4 26.25% of the taxpayer's liability for the same calendar
5 month of the preceding year. If the month during which such
6 tax liability is incurred begins on or after January 1, 1988,
7 and prior to January 1, 1989, or begins on or after January
8 1, 1996, each payment shall be in an amount equal to 22.5% of
9 the taxpayer's actual liability for the month or 25% of the
10 taxpayer's liability for the same calendar month of the
11 preceding year. If the month during which such tax liability
12 is incurred begins on or after January 1, 1989, and prior to
13 January 1, 1996, each payment shall be in an amount equal to
14 22.5% of the taxpayer's actual liability for the month or 25%
15 of the taxpayer's liability for the same calendar month of
16 the preceding year or 100% of the taxpayer's actual liability
17 for the quarter monthly reporting period. The amount of such
18 quarter monthly payments shall be credited against the final
19 tax liability of the taxpayer's return for that month.
20 Before October 1, 2000, once applicable, the requirement of
21 the making of quarter monthly payments to the Department by
22 taxpayers having an average monthly tax liability of $10,000
23 or more as determined in the manner provided above shall
24 continue until such taxpayer's average monthly liability to
25 the Department during the preceding 4 complete calendar
26 quarters (excluding the month of highest liability and the
27 month of lowest liability) is less than $9,000, or until such
28 taxpayer's average monthly liability to the Department as
29 computed for each calendar quarter of the 4 preceding
30 complete calendar quarter period is less than $10,000.
31 However, if a taxpayer can show the Department that a
32 substantial change in the taxpayer's business has occurred
33 which causes the taxpayer to anticipate that his average
34 monthly tax liability for the reasonably foreseeable future
-68- LRB9114654SMdvam02
1 will fall below the $10,000 threshold stated above, then such
2 taxpayer may petition the Department for a change in such
3 taxpayer's reporting status. On and after October 1, 2000,
4 once applicable, the requirement of the making of quarter
5 monthly payments to the Department by taxpayers having an
6 average monthly tax liability of $20,000 or more as
7 determined in the manner provided above shall continue until
8 such taxpayer's average monthly liability to the Department
9 during the preceding 4 complete calendar quarters (excluding
10 the month of highest liability and the month of lowest
11 liability) is less than $19,000 or until such taxpayer's
12 average monthly liability to the Department as computed for
13 each calendar quarter of the 4 preceding complete calendar
14 quarter period is less than $20,000. However, if a taxpayer
15 can show the Department that a substantial change in the
16 taxpayer's business has occurred which causes the taxpayer to
17 anticipate that his average monthly tax liability for the
18 reasonably foreseeable future will fall below the $20,000
19 threshold stated above, then such taxpayer may petition the
20 Department for a change in such taxpayer's reporting status.
21 The Department shall change such taxpayer's reporting status
22 unless it finds that such change is seasonal in nature and
23 not likely to be long term. If any such quarter monthly
24 payment is not paid at the time or in the amount required by
25 this Section, then the taxpayer shall be liable for penalties
26 and interest on the difference between the minimum amount due
27 as a payment and the amount of such quarter monthly payment
28 actually and timely paid, except insofar as the taxpayer has
29 previously made payments for that month to the Department in
30 excess of the minimum payments previously due as provided in
31 this Section. The Department shall make reasonable rules and
32 regulations to govern the quarter monthly payment amount and
33 quarter monthly payment dates for taxpayers who file on other
34 than a calendar monthly basis.
-69- LRB9114654SMdvam02
1 Without regard to whether a taxpayer is required to make
2 quarter monthly payments as specified above, any taxpayer who
3 is required by Section 2d of this Act to collect and remit
4 prepaid taxes and has collected prepaid taxes which average
5 in excess of $25,000 per month during the preceding 2
6 complete calendar quarters, shall file a return with the
7 Department as required by Section 2f and shall make payments
8 to the Department on or before the 7th, 15th, 22nd and last
9 day of the month during which such liability is incurred. If
10 the month during which such tax liability is incurred began
11 prior to the effective date of this amendatory Act of 1985,
12 each payment shall be in an amount not less than 22.5% of the
13 taxpayer's actual liability under Section 2d. If the month
14 during which such tax liability is incurred begins on or
15 after January 1, 1986, each payment shall be in an amount
16 equal to 22.5% of the taxpayer's actual liability for the
17 month or 27.5% of the taxpayer's liability for the same
18 calendar month of the preceding calendar year. If the month
19 during which such tax liability is incurred begins on or
20 after January 1, 1987, each payment shall be in an amount
21 equal to 22.5% of the taxpayer's actual liability for the
22 month or 26.25% of the taxpayer's liability for the same
23 calendar month of the preceding year. The amount of such
24 quarter monthly payments shall be credited against the final
25 tax liability of the taxpayer's return for that month filed
26 under this Section or Section 2f, as the case may be. Once
27 applicable, the requirement of the making of quarter monthly
28 payments to the Department pursuant to this paragraph shall
29 continue until such taxpayer's average monthly prepaid tax
30 collections during the preceding 2 complete calendar quarters
31 is $25,000 or less. If any such quarter monthly payment is
32 not paid at the time or in the amount required, the taxpayer
33 shall be liable for penalties and interest on such
34 difference, except insofar as the taxpayer has previously
-70- LRB9114654SMdvam02
1 made payments for that month in excess of the minimum
2 payments previously due.
3 If any payment provided for in this Section exceeds the
4 taxpayer's liabilities under this Act, the Use Tax Act, the
5 Service Occupation Tax Act and the Service Use Tax Act, as
6 shown on an original monthly return, the Department shall, if
7 requested by the taxpayer, issue to the taxpayer a credit
8 memorandum no later than 30 days after the date of payment.
9 The credit evidenced by such credit memorandum may be
10 assigned by the taxpayer to a similar taxpayer under this
11 Act, the Use Tax Act, the Service Occupation Tax Act or the
12 Service Use Tax Act, in accordance with reasonable rules and
13 regulations to be prescribed by the Department. If no such
14 request is made, the taxpayer may credit such excess payment
15 against tax liability subsequently to be remitted to the
16 Department under this Act, the Use Tax Act, the Service
17 Occupation Tax Act or the Service Use Tax Act, in accordance
18 with reasonable rules and regulations prescribed by the
19 Department. If the Department subsequently determined that
20 all or any part of the credit taken was not actually due to
21 the taxpayer, the taxpayer's 2.1% and 1.75% vendor's discount
22 shall be reduced by 2.1% or 1.75% of the difference between
23 the credit taken and that actually due, and that taxpayer
24 shall be liable for penalties and interest on such
25 difference.
26 If a retailer of motor fuel is entitled to a credit under
27 Section 2d of this Act which exceeds the taxpayer's liability
28 to the Department under this Act for the month which the
29 taxpayer is filing a return, the Department shall issue the
30 taxpayer a credit memorandum for the excess.
31 Beginning January 1, 1990, each month the Department
32 shall pay into the Local Government Tax Fund, a special fund
33 in the State treasury which is hereby created, the net
34 revenue realized for the preceding month from the 1% tax on
-71- LRB9114654SMdvam02
1 sales of food for human consumption which is to be consumed
2 off the premises where it is sold (other than alcoholic
3 beverages, soft drinks and food which has been prepared for
4 immediate consumption) and prescription and nonprescription
5 medicines, drugs, medical appliances and insulin, urine
6 testing materials, syringes and needles used by diabetics.
7 Beginning January 1, 1990, each month the Department
8 shall pay into the County and Mass Transit District Fund, a
9 special fund in the State treasury which is hereby created,
10 4% of the net revenue realized for the preceding month from
11 the 6.25% general rate.
12 Beginning August 1, 2000, each month the Department shall
13 pay into the County and Mass Transit District Fund 20% of the
14 net revenue realized for the preceding month from the 1.25%
15 rate on the selling price of motor fuel and gasohol.
16 Beginning January 1, 2001, each month the Department
17 shall pay into the County and Mass Transit District Fund 20%
18 of the net revenue realized for the preceding month from the
19 1.25% rate on the selling price of propane and home heating
20 oil sold to residential customers.
21 Beginning January 1, 1990, each month the Department
22 shall pay into the Local Government Tax Fund 16% of the net
23 revenue realized for the preceding month from the 6.25%
24 general rate on the selling price of tangible personal
25 property.
26 Beginning August 1, 2000, each month the Department shall
27 pay into the Local Government Tax Fund 80% of the net revenue
28 realized for the preceding month from the 1.25% rate on the
29 selling price of motor fuel and gasohol.
30 Beginning January 1, 2001, each month the Department
31 shall pay into the Local Government Tax Fund 80% of the net
32 revenue realized for the preceding month from the 1.25% rate
33 on the selling price of propane and home heating oil sold to
34 residential customers.
-72- LRB9114654SMdvam02
1 Of the remainder of the moneys received by the Department
2 pursuant to this Act, (a) 1.75% thereof shall be paid into
3 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
4 and on and after July 1, 1989, 3.8% thereof shall be paid
5 into the Build Illinois Fund; provided, however, that if in
6 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
7 as the case may be, of the moneys received by the Department
8 and required to be paid into the Build Illinois Fund pursuant
9 to this Act, Section 9 of the Use Tax Act, Section 9 of the
10 Service Use Tax Act, and Section 9 of the Service Occupation
11 Tax Act, such Acts being hereinafter called the "Tax Acts"
12 and such aggregate of 2.2% or 3.8%, as the case may be, of
13 moneys being hereinafter called the "Tax Act Amount", and (2)
14 the amount transferred to the Build Illinois Fund from the
15 State and Local Sales Tax Reform Fund shall be less than the
16 Annual Specified Amount (as hereinafter defined), an amount
17 equal to the difference shall be immediately paid into the
18 Build Illinois Fund from other moneys received by the
19 Department pursuant to the Tax Acts; the "Annual Specified
20 Amount" means the amounts specified below for fiscal years
21 1986 through 1993:
22 Fiscal Year Annual Specified Amount
23 1986 $54,800,000
24 1987 $76,650,000
25 1988 $80,480,000
26 1989 $88,510,000
27 1990 $115,330,000
28 1991 $145,470,000
29 1992 $182,730,000
30 1993 $206,520,000;
31 and means the Certified Annual Debt Service Requirement (as
32 defined in Section 13 of the Build Illinois Bond Act) or the
33 Tax Act Amount, whichever is greater, for fiscal year 1994
34 and each fiscal year thereafter; and further provided, that
-73- LRB9114654SMdvam02
1 if on the last business day of any month the sum of (1) the
2 Tax Act Amount required to be deposited into the Build
3 Illinois Bond Account in the Build Illinois Fund during such
4 month and (2) the amount transferred to the Build Illinois
5 Fund from the State and Local Sales Tax Reform Fund shall
6 have been less than 1/12 of the Annual Specified Amount, an
7 amount equal to the difference shall be immediately paid into
8 the Build Illinois Fund from other moneys received by the
9 Department pursuant to the Tax Acts; and, further provided,
10 that in no event shall the payments required under the
11 preceding proviso result in aggregate payments into the Build
12 Illinois Fund pursuant to this clause (b) for any fiscal year
13 in excess of the greater of (i) the Tax Act Amount or (ii)
14 the Annual Specified Amount for such fiscal year. The
15 amounts payable into the Build Illinois Fund under clause (b)
16 of the first sentence in this paragraph shall be payable only
17 until such time as the aggregate amount on deposit under each
18 trust indenture securing Bonds issued and outstanding
19 pursuant to the Build Illinois Bond Act is sufficient, taking
20 into account any future investment income, to fully provide,
21 in accordance with such indenture, for the defeasance of or
22 the payment of the principal of, premium, if any, and
23 interest on the Bonds secured by such indenture and on any
24 Bonds expected to be issued thereafter and all fees and costs
25 payable with respect thereto, all as certified by the
26 Director of the Bureau of the Budget. If on the last
27 business day of any month in which Bonds are outstanding
28 pursuant to the Build Illinois Bond Act, the aggregate of
29 moneys deposited in the Build Illinois Bond Account in the
30 Build Illinois Fund in such month shall be less than the
31 amount required to be transferred in such month from the
32 Build Illinois Bond Account to the Build Illinois Bond
33 Retirement and Interest Fund pursuant to Section 13 of the
34 Build Illinois Bond Act, an amount equal to such deficiency
-74- LRB9114654SMdvam02
1 shall be immediately paid from other moneys received by the
2 Department pursuant to the Tax Acts to the Build Illinois
3 Fund; provided, however, that any amounts paid to the Build
4 Illinois Fund in any fiscal year pursuant to this sentence
5 shall be deemed to constitute payments pursuant to clause (b)
6 of the first sentence of this paragraph and shall reduce the
7 amount otherwise payable for such fiscal year pursuant to
8 that clause (b). The moneys received by the Department
9 pursuant to this Act and required to be deposited into the
10 Build Illinois Fund are subject to the pledge, claim and
11 charge set forth in Section 12 of the Build Illinois Bond
12 Act.
13 Subject to payment of amounts into the Build Illinois
14 Fund as provided in the preceding paragraph or in any
15 amendment thereto hereafter enacted, the following specified
16 monthly installment of the amount requested in the
17 certificate of the Chairman of the Metropolitan Pier and
18 Exposition Authority provided under Section 8.25f of the
19 State Finance Act, but not in excess of sums designated as
20 "Total Deposit", shall be deposited in the aggregate from
21 collections under Section 9 of the Use Tax Act, Section 9 of
22 the Service Use Tax Act, Section 9 of the Service Occupation
23 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
24 into the McCormick Place Expansion Project Fund in the
25 specified fiscal years.
26 Fiscal Year Total Deposit
27 1993 $0
28 1994 53,000,000
29 1995 58,000,000
30 1996 61,000,000
31 1997 64,000,000
32 1998 68,000,000
33 1999 71,000,000
34 2000 75,000,000
-75- LRB9114654SMdvam02
1 2001 80,000,000
2 2002 84,000,000
3 2003 89,000,000
4 2004 93,000,000
5 2005 97,000,000
6 2006 102,000,000
7 2007 108,000,000
8 2008 115,000,000
9 2009 120,000,000
10 2010 126,000,000
11 2011 132,000,000
12 2012 138,000,000
13 2013 and 145,000,000
14 each fiscal year
15 thereafter that bonds
16 are outstanding under
17 Section 13.2 of the
18 Metropolitan Pier and
19 Exposition Authority
20 Act, but not after fiscal year 2029.
21 Beginning July 20, 1993 and in each month of each fiscal
22 year thereafter, one-eighth of the amount requested in the
23 certificate of the Chairman of the Metropolitan Pier and
24 Exposition Authority for that fiscal year, less the amount
25 deposited into the McCormick Place Expansion Project Fund by
26 the State Treasurer in the respective month under subsection
27 (g) of Section 13 of the Metropolitan Pier and Exposition
28 Authority Act, plus cumulative deficiencies in the deposits
29 required under this Section for previous months and years,
30 shall be deposited into the McCormick Place Expansion Project
31 Fund, until the full amount requested for the fiscal year,
32 but not in excess of the amount specified above as "Total
33 Deposit", has been deposited.
34 Subject to payment of amounts into the Build Illinois
-76- LRB9114654SMdvam02
1 Fund and the McCormick Place Expansion Project Fund pursuant
2 to the preceding paragraphs or in any amendment thereto
3 hereafter enacted, each month the Department shall pay into
4 the Local Government Distributive Fund 0.4% of the net
5 revenue realized for the preceding month from the 5% general
6 rate or 0.4% of 80% of the net revenue realized for the
7 preceding month from the 6.25% general rate, as the case may
8 be, on the selling price of tangible personal property which
9 amount shall, subject to appropriation, be distributed as
10 provided in Section 2 of the State Revenue Sharing Act. No
11 payments or distributions pursuant to this paragraph shall be
12 made if the tax imposed by this Act on photoprocessing
13 products is declared unconstitutional, or if the proceeds
14 from such tax are unavailable for distribution because of
15 litigation.
16 Subject to payment of amounts into the Build Illinois
17 Fund, the McCormick Place Expansion Project to the preceding
18 paragraphs or in any amendments thereto hereafter enacted,
19 beginning July 1, 1993, the Department shall each month pay
20 into the Illinois Tax Increment Fund 0.27% of 80% of the net
21 revenue realized for the preceding month from the 6.25%
22 general rate on the selling price of tangible personal
23 property.
24 Of the remainder of the moneys received by the Department
25 pursuant to this Act, 75% thereof shall be paid into the
26 State Treasury and 25% shall be reserved in a special account
27 and used only for the transfer to the Common School Fund as
28 part of the monthly transfer from the General Revenue Fund in
29 accordance with Section 8a of the State Finance Act.
30 The Department may, upon separate written notice to a
31 taxpayer, require the taxpayer to prepare and file with the
32 Department on a form prescribed by the Department within not
33 less than 60 days after receipt of the notice an annual
34 information return for the tax year specified in the notice.
-77- LRB9114654SMdvam02
1 Such annual return to the Department shall include a
2 statement of gross receipts as shown by the retailer's last
3 Federal income tax return. If the total receipts of the
4 business as reported in the Federal income tax return do not
5 agree with the gross receipts reported to the Department of
6 Revenue for the same period, the retailer shall attach to his
7 annual return a schedule showing a reconciliation of the 2
8 amounts and the reasons for the difference. The retailer's
9 annual return to the Department shall also disclose the cost
10 of goods sold by the retailer during the year covered by such
11 return, opening and closing inventories of such goods for
12 such year, costs of goods used from stock or taken from stock
13 and given away by the retailer during such year, payroll
14 information of the retailer's business during such year and
15 any additional reasonable information which the Department
16 deems would be helpful in determining the accuracy of the
17 monthly, quarterly or annual returns filed by such retailer
18 as provided for in this Section.
19 If the annual information return required by this Section
20 is not filed when and as required, the taxpayer shall be
21 liable as follows:
22 (i) Until January 1, 1994, the taxpayer shall be
23 liable for a penalty equal to 1/6 of 1% of the tax due
24 from such taxpayer under this Act during the period to be
25 covered by the annual return for each month or fraction
26 of a month until such return is filed as required, the
27 penalty to be assessed and collected in the same manner
28 as any other penalty provided for in this Act.
29 (ii) On and after January 1, 1994, the taxpayer
30 shall be liable for a penalty as described in Section 3-4
31 of the Uniform Penalty and Interest Act.
32 The chief executive officer, proprietor, owner or highest
33 ranking manager shall sign the annual return to certify the
34 accuracy of the information contained therein. Any person
-78- LRB9114654SMdvam02
1 who willfully signs the annual return containing false or
2 inaccurate information shall be guilty of perjury and
3 punished accordingly. The annual return form prescribed by
4 the Department shall include a warning that the person
5 signing the return may be liable for perjury.
6 The provisions of this Section concerning the filing of
7 an annual information return do not apply to a retailer who
8 is not required to file an income tax return with the United
9 States Government.
10 As soon as possible after the first day of each month,
11 upon certification of the Department of Revenue, the
12 Comptroller shall order transferred and the Treasurer shall
13 transfer from the General Revenue Fund to the Motor Fuel Tax
14 Fund an amount equal to 1.7% of 80% of the net revenue
15 realized under this Act for the second preceding month.
16 Beginning April 1, 2000, this transfer is no longer required
17 and shall not be made.
18 Net revenue realized for a month shall be the revenue
19 collected by the State pursuant to this Act, less the amount
20 paid out during that month as refunds to taxpayers for
21 overpayment of liability.
22 For greater simplicity of administration, manufacturers,
23 importers and wholesalers whose products are sold at retail
24 in Illinois by numerous retailers, and who wish to do so, may
25 assume the responsibility for accounting and paying to the
26 Department all tax accruing under this Act with respect to
27 such sales, if the retailers who are affected do not make
28 written objection to the Department to this arrangement.
29 Any person who promotes, organizes, provides retail
30 selling space for concessionaires or other types of sellers
31 at the Illinois State Fair, DuQuoin State Fair, county fairs,
32 local fairs, art shows, flea markets and similar exhibitions
33 or events, including any transient merchant as defined by
34 Section 2 of the Transient Merchant Act of 1987, is required
-79- LRB9114654SMdvam02
1 to file a report with the Department providing the name of
2 the merchant's business, the name of the person or persons
3 engaged in merchant's business, the permanent address and
4 Illinois Retailers Occupation Tax Registration Number of the
5 merchant, the dates and location of the event and other
6 reasonable information that the Department may require. The
7 report must be filed not later than the 20th day of the month
8 next following the month during which the event with retail
9 sales was held. Any person who fails to file a report
10 required by this Section commits a business offense and is
11 subject to a fine not to exceed $250.
12 Any person engaged in the business of selling tangible
13 personal property at retail as a concessionaire or other type
14 of seller at the Illinois State Fair, county fairs, art
15 shows, flea markets and similar exhibitions or events, or any
16 transient merchants, as defined by Section 2 of the Transient
17 Merchant Act of 1987, may be required to make a daily report
18 of the amount of such sales to the Department and to make a
19 daily payment of the full amount of tax due. The Department
20 shall impose this requirement when it finds that there is a
21 significant risk of loss of revenue to the State at such an
22 exhibition or event. Such a finding shall be based on
23 evidence that a substantial number of concessionaires or
24 other sellers who are not residents of Illinois will be
25 engaging in the business of selling tangible personal
26 property at retail at the exhibition or event, or other
27 evidence of a significant risk of loss of revenue to the
28 State. The Department shall notify concessionaires and other
29 sellers affected by the imposition of this requirement. In
30 the absence of notification by the Department, the
31 concessionaires and other sellers shall file their returns as
32 otherwise required in this Section.
33 (Source: P.A. 90-491, eff. 1-1-99; 90-612, eff. 7-8-98;
34 91-37, eff. 7-1-99; 91-51, eff. 6-30-99; 91-101, eff.
-80- LRB9114654SMdvam02
1 7-12-99; 91-541, eff. 8-13-99; 91-872, eff. 7-1-00; 91-901,
2 eff. 1-1-01; revised 8-30-00.)
3 Section 30. The Gas Revenue Tax Act is amended by
4 changing Section 2 as follows:
5 (35 ILCS 615/2) (from Ch. 120, par. 467.17)
6 Sec. 2. Tax on use or consumption; imposed; rate.
7 (a) Except as provided in subsection (b), a tax is
8 imposed upon persons engaged in the business of distributing,
9 supplying, furnishing or selling gas to persons for use or
10 consumption and not for resale at the rate of 2.4 cents per
11 therm of all gas which is so distributed, supplied,
12 furnished, sold or transported to or for each customer in the
13 course of such business, or 5% of the gross receipts received
14 from each customer from such business, whichever is the lower
15 rate as applied to each customer for that customer's billing
16 period, provided that any change in rate imposed by this
17 amendatory Act of 1985 shall become effective only with bills
18 having a meter reading date on or after January 1, 1986.
19 However, such taxes are not imposed with respect to any
20 business in interstate commerce, or otherwise to the extent
21 to which such business may not, under the Constitution and
22 statutes of the United States, be made the subject of
23 taxation by this State.
24 Nothing in this amendatory Act of 1985 shall impose a tax
25 with respect to any transaction with respect to which no tax
26 was imposed immediately preceding the effective date of this
27 amendatory Act of 1985.
28 (b) No tax is imposed under this Section for gas
29 distributed, supplied, furnished, sold, or transported to a
30 residential customer if the bill to the residential customer
31 for such gas is issued between December 1, 2000 and April 30,
32 2001. For purposes of this subsection, "residential
-81- LRB9114654SMdvam02
1 customer" means a customer who is receiving gas or gas
2 service for household purposes which is either (i)
3 distributed to a dwelling of 2 or fewer units and billed
4 under a residential rate or (ii) distributed to a dwelling
5 unit or units, billed under a residential rate, and
6 registered by a separate meter for each dwelling unit.
7 (Source: P.A. 84-307; 84-1093.)
8 Section 99. Effective date. This Act takes effect on
9 December 1, 2000.".