91st General Assembly
Summary of SB1929
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Senate Sponsors:
PETERSON-DILLARD.

House Sponsors:
MOORE,ANDREA-DAVIS,MONIQUE

Short description: 
QUALIFIED TECHNO LEASE TAX ACT                                             

Synopsis of Bill as introduced:
        Creates the Qualified Technological Equipment Leasing  Occupation      
   and Use Tax Act.  Imposes a tax on persons engaged in the State in the      
   business  of  leasing qualified technological equipment in Illinois at      
   the rate of 6.25% of the gross receipts received  from  the  business.      
   Imposes  a  tax  upon  the  privilege of using in this State qualified      
   technological equipment that is leased from a lessor at  the  rate  of      
   6.25% of the leasing price of the equipment paid to the lessor under a      
   lease  agreement.   Provides  that each month the Department shall pay      
   into the Local Government Distributive Fund 20%  of  the  net  revenue      
   realized  for  the  preceding  month under this Act. Provides that the      
   remaining 80% shall be distributed under  the  Use  Tax  Act  and  the      
   Retailers' Occupation Tax Act. Exempts   manufacturer-lessors from the      
   coverage of the Act and allows qualified lessees to  opt  out  of  the      
   coverage  of  the  Act  and  pay  taxes  pursuant  to  the  Retailers'      
   Occupation Tax Act or the Use Tax Act instead. Amends the Use Tax Act,      
   the  Service  Use  Tax  Act,  the  Service Occupation Tax Act, and the      
   Retailers' Occupation Tax Act to exempt from the taxes  imposed  under      
   those Acts qualified technological equipment sold to lessors for lease      
   under  leases subject to the Qualified Technological Equipment Leasing      
   Occupation and Use Tax Act.  Provides that the exemption is  available      
   for  so long as the equipment is leased.  Provides that the exemptions      
   are  not  subject  to  the  sunset  provisions.   Provides  that   the      
   exemptions  for  computer  equipment  used  in  hospitals  and certain      
   property leased to a governmental body  are  exempt  from  the  sunset      
   provisions.  In the Use Tax Act and the Retailers' Occupation Tax Act,      
   provides  that  a  purchaser  of qualified technological equipment may      
   obtain a refund of use and occupation taxes paid administered  by  the      
   Department  of Revenue if the purchaser sells the property to a rentor      
   under a bona fide sale and leaseback  transaction  to  such  purchaser      
   within  90  days  of  the first functional use of the property.  Makes      
   other changes. Effective January 1, 2001.                                   
        HOUSE AMENDMENT NO. 1.                                                 
          Deletes reference to:                                                
          30 ILCS 115/1                                                        
          35 ILCS 105/3-5                                                      
          35 ILCS 105/9                                                        
          35 ILCS 105/9.5 new                                                  
          35 ILCS 110/3-5                                                      
          35 ILCS 115/3-5                                                      
          35 ILCS 120/1c-5 new                                                 
          35 ILCS 120/2-5                                                      
          35 ILCS 120/3                                                        
          35 ILCS 120/3.5 new                                                  
        Deletes everything.  Reinserts the short title of the Act only.        
 
Last action on Bill: SESSION SINE DIE

   Last action date: 01-01-09

           Location: Senate

 Amendments to Bill: AMENDMENTS ADOPTED: HOUSE -   1     SENATE -   0


   END OF INQUIRY 



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