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91_SB1453
LRB9111084SMdv
1 AN ACT concerning taxation, amending named Acts.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 5. The Use Tax Act is amended by changing
5 Section 9 as follows:
6 (35 ILCS 105/9) (from Ch. 120, par. 439.9)
7 Sec. 9. Except as to motor vehicles, watercraft,
8 aircraft, and trailers that are required to be registered
9 with an agency of this State, each retailer required or
10 authorized to collect the tax imposed by this Act shall pay
11 to the Department the amount of such tax (except as otherwise
12 provided) at the time when he is required to file his return
13 for the period during which such tax was collected, less a
14 discount of 2.1% prior to January 1, 1990, and 1.75% on and
15 after January 1, 1990, or $5 per calendar year, whichever is
16 greater, which is allowed to reimburse the retailer for
17 expenses incurred in collecting the tax, keeping records,
18 preparing and filing returns, remitting the tax and supplying
19 data to the Department on request. In the case of retailers
20 who report and pay the tax on a transaction by transaction
21 basis, as provided in this Section, such discount shall be
22 taken with each such tax remittance instead of when such
23 retailer files his periodic return. A retailer need not
24 remit that part of any tax collected by him to the extent
25 that he is required to remit and does remit the tax imposed
26 by the Retailers' Occupation Tax Act, with respect to the
27 sale of the same property.
28 Where such tangible personal property is sold under a
29 conditional sales contract, or under any other form of sale
30 wherein the payment of the principal sum, or a part thereof,
31 is extended beyond the close of the period for which the
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1 return is filed, the retailer, in collecting the tax (except
2 as to motor vehicles, watercraft, aircraft, and trailers that
3 are required to be registered with an agency of this State),
4 may collect for each tax return period, only the tax
5 applicable to that part of the selling price actually
6 received during such tax return period.
7 Except as provided in this Section, on or before the
8 twentieth day of each calendar month, such retailer shall
9 file a return for the preceding calendar month. Such return
10 shall be filed on forms prescribed by the Department and
11 shall furnish such information as the Department may
12 reasonably require.
13 The Department may require returns to be filed on a
14 quarterly basis. If so required, a return for each calendar
15 quarter shall be filed on or before the twentieth day of the
16 calendar month following the end of such calendar quarter.
17 The taxpayer shall also file a return with the Department for
18 each of the first two months of each calendar quarter, on or
19 before the twentieth day of the following calendar month,
20 stating:
21 1. The name of the seller;
22 2. The address of the principal place of business
23 from which he engages in the business of selling tangible
24 personal property at retail in this State;
25 3. The total amount of taxable receipts received by
26 him during the preceding calendar month from sales of
27 tangible personal property by him during such preceding
28 calendar month, including receipts from charge and time
29 sales, but less all deductions allowed by law;
30 4. The amount of credit provided in Section 2d of
31 this Act;
32 5. The amount of tax due;
33 5-5. The signature of the taxpayer; and
34 6. Such other reasonable information as the
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1 Department may require.
2 If a taxpayer fails to sign a return within 30 days after
3 the proper notice and demand for signature by the Department,
4 the return shall be considered valid and any amount shown to
5 be due on the return shall be deemed assessed.
6 Beginning October 1, 1993, a taxpayer who has an average
7 monthly tax liability of $150,000 or more shall make all
8 payments required by rules of the Department by electronic
9 funds transfer. Beginning October 1, 1994, a taxpayer who has
10 an average monthly tax liability of $100,000 or more shall
11 make all payments required by rules of the Department by
12 electronic funds transfer. Beginning October 1, 1995, a
13 taxpayer who has an average monthly tax liability of $50,000
14 or more shall make all payments required by rules of the
15 Department by electronic funds transfer. Beginning October 1,
16 2000, a taxpayer who has an annual tax liability of $200,000
17 or more shall make all payments required by rules of the
18 Department by electronic funds transfer. The term "annual
19 tax liability" shall be the sum of the taxpayer's liabilities
20 under this Act, and under all other State and local
21 occupation and use tax laws administered by the Department,
22 for the immediately preceding calendar year. The term
23 "average monthly tax liability" means the sum of the
24 taxpayer's liabilities under this Act, and under all other
25 State and local occupation and use tax laws administered by
26 the Department, for the immediately preceding calendar year
27 divided by 12.
28 Before August 1 of each year beginning in 1993, the
29 Department shall notify all taxpayers required to make
30 payments by electronic funds transfer. All taxpayers required
31 to make payments by electronic funds transfer shall make
32 those payments for a minimum of one year beginning on October
33 1.
34 Any taxpayer not required to make payments by electronic
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1 funds transfer may make payments by electronic funds transfer
2 with the permission of the Department.
3 All taxpayers required to make payment by electronic
4 funds transfer and any taxpayers authorized to voluntarily
5 make payments by electronic funds transfer shall make those
6 payments in the manner authorized by the Department.
7 The Department shall adopt such rules as are necessary to
8 effectuate a program of electronic funds transfer and the
9 requirements of this Section.
10 Before October 1, 2000, if the taxpayer's average monthly
11 tax liability to the Department under this Act, the
12 Retailers' Occupation Tax Act, the Service Occupation Tax
13 Act, the Service Use Tax Act was $10,000 or more during the
14 preceding 4 complete calendar quarters, he shall file a
15 return with the Department each month by the 20th day of the
16 month next following the month during which such tax
17 liability is incurred and shall make payments to the
18 Department on or before the 7th, 15th, 22nd and last day of
19 the month during which such liability is incurred. On and
20 after October 1, 2000, if the taxpayer's average monthly tax
21 liability to the Department under this Act, the Retailers'
22 Occupation Tax Act, the Service Occupation Tax Act, and the
23 Service Use Tax Act was $20,000 or more during the preceding
24 4 complete calendar quarters, he shall file a return with the
25 Department each month by the 20th day of the month next
26 following the month during which such tax liability is
27 incurred and shall make payment to the Department on or
28 before the 7th, 15th, 22nd and last day of or the month
29 during which such liability is incurred. If the month during
30 which such tax liability is incurred began prior to January
31 1, 1985, each payment shall be in an amount equal to 1/4 of
32 the taxpayer's actual liability for the month or an amount
33 set by the Department not to exceed 1/4 of the average
34 monthly liability of the taxpayer to the Department for the
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1 preceding 4 complete calendar quarters (excluding the month
2 of highest liability and the month of lowest liability in
3 such 4 quarter period). If the month during which such tax
4 liability is incurred begins on or after January 1, 1985, and
5 prior to January 1, 1987, each payment shall be in an amount
6 equal to 22.5% of the taxpayer's actual liability for the
7 month or 27.5% of the taxpayer's liability for the same
8 calendar month of the preceding year. If the month during
9 which such tax liability is incurred begins on or after
10 January 1, 1987, and prior to January 1, 1988, each payment
11 shall be in an amount equal to 22.5% of the taxpayer's actual
12 liability for the month or 26.25% of the taxpayer's liability
13 for the same calendar month of the preceding year. If the
14 month during which such tax liability is incurred begins on
15 or after January 1, 1988, and prior to January 1, 1989, or
16 begins on or after January 1, 1996, each payment shall be in
17 an amount equal to 22.5% of the taxpayer's actual liability
18 for the month or 25% of the taxpayer's liability for the same
19 calendar month of the preceding year. If the month during
20 which such tax liability is incurred begins on or after
21 January 1, 1989, and prior to January 1, 1996, each payment
22 shall be in an amount equal to 22.5% of the taxpayer's actual
23 liability for the month or 25% of the taxpayer's liability
24 for the same calendar month of the preceding year or 100% of
25 the taxpayer's actual liability for the quarter monthly
26 reporting period. The amount of such quarter monthly
27 payments shall be credited against the final tax liability of
28 the taxpayer's return for that month. Before October 1,
29 2000, once applicable, the requirement of the making of
30 quarter monthly payments to the Department shall continue
31 until such taxpayer's average monthly liability to the
32 Department during the preceding 4 complete calendar quarters
33 (excluding the month of highest liability and the month of
34 lowest liability) is less than $9,000, or until such
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1 taxpayer's average monthly liability to the Department as
2 computed for each calendar quarter of the 4 preceding
3 complete calendar quarter period is less than $10,000.
4 However, if a taxpayer can show the Department that a
5 substantial change in the taxpayer's business has occurred
6 which causes the taxpayer to anticipate that his average
7 monthly tax liability for the reasonably foreseeable future
8 will fall below the $10,000 threshold stated above, then such
9 taxpayer may petition the Department for change in such
10 taxpayer's reporting status. On and after October 1, 2000,
11 once applicable, the requirement of the making of quarter
12 monthly payments to the Department shall continue until such
13 taxpayer's average monthly liability to the Department during
14 the preceding 4 complete calendar quarters (excluding the
15 month of highest liability and the month of lowest liability)
16 is less than $19,000 or until such taxpayer's average monthly
17 liability to the Department as computed for each calendar
18 quarter of the 4 preceding complete calendar quarter period
19 is less than $20,000. However, if a taxpayer can show the
20 Department that a substantial change in the taxpayer's
21 business has occurred which causes the taxpayer to anticipate
22 that his average monthly tax liability for the reasonably
23 foreseeable future will fall below the $20,000 threshold
24 stated above, then such taxpayer may petition the Department
25 for a change in such taxpayer's reporting status. The
26 Department shall change such taxpayer's reporting status
27 unless it finds that such change is seasonal in nature and
28 not likely to be long term. If any such quarter monthly
29 payment is not paid at the time or in the amount required by
30 this Section, then the taxpayer shall be liable for penalties
31 and interest on the difference between the minimum amount due
32 and the amount of such quarter monthly payment actually and
33 timely paid, except insofar as the taxpayer has previously
34 made payments for that month to the Department in excess of
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1 the minimum payments previously due as provided in this
2 Section. The Department shall make reasonable rules and
3 regulations to govern the quarter monthly payment amount and
4 quarter monthly payment dates for taxpayers who file on other
5 than a calendar monthly basis.
6 If any such payment provided for in this Section exceeds
7 the taxpayer's liabilities under this Act, the Retailers'
8 Occupation Tax Act, the Service Occupation Tax Act and the
9 Service Use Tax Act, as shown by an original monthly return,
10 the Department shall issue to the taxpayer a credit
11 memorandum no later than 30 days after the date of payment,
12 which memorandum may be submitted by the taxpayer to the
13 Department in payment of tax liability subsequently to be
14 remitted by the taxpayer to the Department or be assigned by
15 the taxpayer to a similar taxpayer under this Act, the
16 Retailers' Occupation Tax Act, the Service Occupation Tax Act
17 or the Service Use Tax Act, in accordance with reasonable
18 rules and regulations to be prescribed by the Department,
19 except that if such excess payment is shown on an original
20 monthly return and is made after December 31, 1986, no credit
21 memorandum shall be issued, unless requested by the taxpayer.
22 If no such request is made, the taxpayer may credit such
23 excess payment against tax liability subsequently to be
24 remitted by the taxpayer to the Department under this Act,
25 the Retailers' Occupation Tax Act, the Service Occupation Tax
26 Act or the Service Use Tax Act, in accordance with reasonable
27 rules and regulations prescribed by the Department. If the
28 Department subsequently determines that all or any part of
29 the credit taken was not actually due to the taxpayer, the
30 taxpayer's 2.1% or 1.75% vendor's discount shall be reduced
31 by 2.1% or 1.75% of the difference between the credit taken
32 and that actually due, and the taxpayer shall be liable for
33 penalties and interest on such difference.
34 If the retailer is otherwise required to file a monthly
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1 return and if the retailer's average monthly tax liability to
2 the Department does not exceed $200, the Department may
3 authorize his returns to be filed on a quarter annual basis,
4 with the return for January, February, and March of a given
5 year being due by April 20 of such year; with the return for
6 April, May and June of a given year being due by July 20 of
7 such year; with the return for July, August and September of
8 a given year being due by October 20 of such year, and with
9 the return for October, November and December of a given year
10 being due by January 20 of the following year.
11 If the retailer is otherwise required to file a monthly
12 or quarterly return and if the retailer's average monthly tax
13 liability to the Department does not exceed $50, the
14 Department may authorize his returns to be filed on an annual
15 basis, with the return for a given year being due by January
16 20 of the following year.
17 Such quarter annual and annual returns, as to form and
18 substance, shall be subject to the same requirements as
19 monthly returns.
20 Notwithstanding any other provision in this Act
21 concerning the time within which a retailer may file his
22 return, in the case of any retailer who ceases to engage in a
23 kind of business which makes him responsible for filing
24 returns under this Act, such retailer shall file a final
25 return under this Act with the Department not more than one
26 month after discontinuing such business.
27 In addition, with respect to motor vehicles, watercraft,
28 aircraft, and trailers that are required to be registered
29 with an agency of this State, every retailer selling this
30 kind of tangible personal property shall file, with the
31 Department, upon a form to be prescribed and supplied by the
32 Department, a separate return for each such item of tangible
33 personal property which the retailer sells, except that
34 where, in the same transaction, a retailer of aircraft,
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1 watercraft, motor vehicles or trailers transfers more than
2 one aircraft, watercraft, motor vehicle or trailer to another
3 aircraft, watercraft, motor vehicle or trailer retailer for
4 the purpose of resale, that seller for resale may report the
5 transfer of all the aircraft, watercraft, motor vehicles or
6 trailers involved in that transaction to the Department on
7 the same uniform invoice-transaction reporting return form.
8 For purposes of this Section, "watercraft" means a Class 2,
9 Class 3, or Class 4 watercraft as defined in Section 3-2 of
10 the Boat Registration and Safety Act, a personal watercraft,
11 or any boat equipped with an inboard motor.
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 2 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 and aircraft must show the name and address of the
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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 2 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 date of delivery of the item
18 that is being sold, but may be filed by the retailer at any
19 time sooner than that if he chooses to do so. The
20 transaction reporting return and tax remittance or proof of
21 exemption from the tax that is imposed by this Act may be
22 transmitted to the Department by way of the State agency with
23 which, or State officer with whom, the tangible personal
24 property must be titled or registered (if titling or
25 registration is required) if the Department and such agency
26 or State officer determine that this procedure will expedite
27 the processing of 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 tax
33 receipt (or a certificate of exemption if the Department is
34 satisfied that the particular sale is tax exempt) which such
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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 tax or proof of exemption made to the Department before
18 the retailer is willing to take these actions and such user
19 has not paid the tax to the retailer, such user may certify
20 to the fact of such delay by the retailer, and may (upon the
21 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 Where a retailer collects the tax with respect to the
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1 selling price of tangible personal property which he sells
2 and the purchaser thereafter returns such tangible personal
3 property and the retailer refunds the selling price thereof
4 to the purchaser, such retailer shall also refund, to the
5 purchaser, the tax so collected from the purchaser. When
6 filing his return for the period in which he refunds such tax
7 to the purchaser, the retailer may deduct the amount of the
8 tax so refunded by him to the purchaser from any other use
9 tax which such retailer may be required to pay or remit to
10 the Department, as shown by such return, if the amount of the
11 tax to be deducted was previously remitted to the Department
12 by such retailer. If the retailer has not previously
13 remitted the amount of such tax to the Department, he is
14 entitled to no deduction under this Act upon refunding such
15 tax to the purchaser.
16 Any retailer filing a return under this Section shall
17 also include (for the purpose of paying tax thereon) the
18 total tax covered by such return upon the selling price of
19 tangible personal property purchased by him at retail from a
20 retailer, but as to which the tax imposed by this Act was not
21 collected from the retailer filing such return, and such
22 retailer shall remit the amount of such tax to the Department
23 when filing such return.
24 If experience indicates such action to be practicable,
25 the Department may prescribe and furnish a combination or
26 joint return which will enable retailers, who are required to
27 file returns hereunder and also under the Retailers'
28 Occupation Tax Act, to furnish all the return information
29 required by both Acts on the one form.
30 Where the retailer has more than one business registered
31 with the Department under separate registration under this
32 Act, such retailer may not file each return that is due as a
33 single return covering all such registered businesses, but
34 shall file separate returns for each such registered
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1 business.
2 Beginning January 1, 2001, if a taxpayer's average
3 monthly tax liability to the Department under this Act, the
4 Retailers Occupation Tax Act, the Service Occupation Tax Act,
5 and the Service Use Tax Act exceeds $50, the taxpayer is
6 eligible to file returns under this Act on a quarter annual
7 basis. The Department shall provide, by reasonable rules,
8 for a phase-in period not to exceed one year for the
9 conversion to quarter annual filing of returns for taxpayers
10 formerly required to file on a monthly basis and the
11 methodology for determining a taxpayer's quarter annual
12 filing periods. The Department shall notify each taxpayer,
13 in writing, of the taxpayer's change in return filing
14 frequency, if any, no less than 120 days in advance of the
15 change in filing frequency and the dates determined for the
16 close of the taxpayer's quarter annual periods. Except as
17 otherwise provided in this Section, every person incurring a
18 tax liability under this Act during the preceding quarter
19 annual filing period shall file a return with the Department
20 no later than the 20th day of the month next following the
21 close of the taxpayer's quarter annual filing period. If a
22 taxpayer's average monthly tax liability to the Department
23 does not exceed $50, the Department may authorize the
24 taxpayer's return to be filed on an annual basis, with the
25 return for a given year being due by January 20 of the
26 following year. Any retailer filing a return under this
27 Section shall also include the total tax covered by the
28 return upon the selling price of tangible personal property
29 purchased by the retailer at retail from another retailer,
30 but as to which the tax imposed by this Act was not collected
31 from the selling retailer at the time of the sale. This
32 amendatory Act of the 91st General Assembly does not change
33 the filing requirements for retailers who sell only motor
34 vehicles, watercraft, aircraft, and trailers that are
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1 required to be registered with an agency of this State. Such
2 retailers shall be required to file an annual return no later
3 than January 20 of the following year provided that all tax
4 liability is reported on transaction reporting returns
5 required by this Section to be filed no later than 20 days
6 after the day of delivery of the item that is being sold.
7 Beginning January 1, 2001, if the taxpayer's average
8 monthly tax liability to the Department under this Act, the
9 Retailers Occupation Tax Act, the Service Occupation Tax Act,
10 and the Service Use Tax Act was $10,000 or more during the
11 preceding 4 complete quarter annual periods, the taxpayer
12 shall continue to make payment of tax due by the method
13 prescribed by this Section on the 7th, 15th, 22nd, and last
14 day of the month during which such liability is incurred.
15 The amount of the quarter monthly payments shall be credited
16 against the final tax liability of the taxpayer's return for
17 that quarter annual period. Beginning January 1, 2001, if
18 the taxpayer's average monthly tax liability to the
19 Department under this Act, the Retailers Occupation Tax Act,
20 the Service Occupation Tax Act, and the Service Use Tax Act
21 was less than $10,000 but more than $50 during the preceding
22 4 complete quarter annual periods, the taxpayer shall
23 continue to make payment of tax due to the Department as
24 prescribed by this Section on or before the 20th day of the
25 month next following the month in which the tax liability is
26 incurred. The amount of the monthly payments shall be
27 credited against the final tax liability of the taxpayer's
28 return for that quarter annual period. If a taxpayer is
29 authorized to file an annual return by the Department,
30 payment of tax due shall accompany the taxpayer's annual
31 return due no later than January 20 of the following year.
32 Retailers who sell motor vehicles, watercraft, aircraft, and
33 trailers that are required to be registered with an agency of
34 this State shall be required to remit tax due with each
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1 transaction reporting return required to be filed by this
2 Section. Any retailer filing a return under this Section
3 shall also remit on a quarter monthly, monthly, or annual
4 basis, as the case may be, the tax due under this Act on the
5 selling price of tangible personal property purchased by the
6 retailer at retail from another retailer, but as to which the
7 tax imposed by this Act was not collected from the selling
8 retailer. This amendatory Act of the 91st General Assembly
9 does not change the thresholds or requirements provided in
10 this Section for the payment of tax due by electronic funds
11 transfer. A retailer shall, at the time each tax payment is
12 due, as provided in this Section, pay to the Department the
13 amount of tax imposed by this Act less a discount of 1.75% or
14 $5 per calendar year, whichever is greater, which is allowed
15 to reimburse the retailer for the expenses incurred in
16 keeping records, preparing and filing returns, remitting the
17 tax, and supplying data to the Department on request. In the
18 case of retailers who report and pay the tax on a transaction
19 by transaction basis, as provided in this Section, the
20 discount shall be taken with each such tax remittance instead
21 of when the retailer files his quarter annual or annual
22 return.
23 Beginning January 1, 1990, each month the Department
24 shall pay into the State and Local Sales Tax Reform Fund, a
25 special fund in the State Treasury which is hereby created,
26 the net revenue realized for the preceding month from the 1%
27 tax on sales of food for human consumption which is to be
28 consumed off the premises where it is sold (other than
29 alcoholic beverages, soft drinks and food which has been
30 prepared for immediate consumption) and prescription and
31 nonprescription medicines, drugs, medical appliances and
32 insulin, urine testing materials, syringes and needles used
33 by diabetics.
34 Beginning January 1, 1990, each month the Department
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1 shall pay into the County and Mass Transit District Fund 4%
2 of the net revenue realized for the preceding month from the
3 6.25% general rate on the selling price of tangible personal
4 property which is purchased outside Illinois at retail from a
5 retailer and which is titled or registered by an agency of
6 this State's government.
7 Beginning January 1, 1990, each month the Department
8 shall pay into the State and Local Sales Tax Reform Fund, a
9 special fund in the State Treasury, 20% of the net revenue
10 realized for the preceding month from the 6.25% general rate
11 on the selling price of tangible personal property, other
12 than tangible personal property which is purchased outside
13 Illinois at retail from a retailer and which is titled or
14 registered by an agency of this State's government.
15 Beginning January 1, 1990, each month the Department
16 shall pay into the Local Government Tax Fund 16% of the net
17 revenue realized for the preceding month from the 6.25%
18 general rate on the selling price of tangible personal
19 property which is purchased outside Illinois at retail from a
20 retailer and which is titled or registered by an agency of
21 this State's government.
22 Of the remainder of the moneys received by the Department
23 pursuant to this Act, (a) 1.75% thereof shall be paid into
24 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
25 and on and after July 1, 1989, 3.8% thereof shall be paid
26 into the Build Illinois Fund; provided, however, that if in
27 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
28 as the case may be, of the moneys received by the Department
29 and required to be paid into the Build Illinois Fund pursuant
30 to Section 3 of the Retailers' Occupation Tax Act, Section 9
31 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
32 Section 9 of the Service Occupation Tax Act, such Acts being
33 hereinafter called the "Tax Acts" and such aggregate of 2.2%
34 or 3.8%, as the case may be, of moneys being hereinafter
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1 called the "Tax Act Amount", and (2) the amount transferred
2 to the Build Illinois Fund from the State and Local Sales Tax
3 Reform Fund shall be less than the Annual Specified Amount
4 (as defined in Section 3 of the Retailers' Occupation Tax
5 Act), an amount equal to the difference shall be immediately
6 paid into the Build Illinois Fund from other moneys received
7 by the Department pursuant to the Tax Acts; and further
8 provided, that if on the last business day of any month the
9 sum of (1) the Tax Act Amount required to be deposited into
10 the Build Illinois Bond Account in the Build Illinois Fund
11 during such month and (2) the amount transferred during such
12 month to the Build Illinois Fund from the State and Local
13 Sales Tax Reform Fund shall have been less than 1/12 of the
14 Annual Specified Amount, an amount equal to the difference
15 shall be immediately paid into the Build Illinois Fund from
16 other moneys received by the Department pursuant to the Tax
17 Acts; and, further provided, that in no event shall the
18 payments required under the preceding proviso result in
19 aggregate payments into the Build Illinois Fund pursuant to
20 this clause (b) for any fiscal year in excess of the greater
21 of (i) the Tax Act Amount or (ii) the Annual Specified Amount
22 for such fiscal year; and, further provided, that the amounts
23 payable into the Build Illinois Fund under this clause (b)
24 shall be payable only until such time as the aggregate amount
25 on deposit under each trust indenture securing Bonds issued
26 and outstanding pursuant to the Build Illinois Bond Act is
27 sufficient, taking into account any future investment income,
28 to fully provide, in accordance with such indenture, for the
29 defeasance of or the payment of the principal of, premium, if
30 any, and interest on the Bonds secured by such indenture and
31 on any Bonds expected to be issued thereafter and all fees
32 and costs payable with respect thereto, all as certified by
33 the Director of the Bureau of the Budget. If on the last
34 business day of any month in which Bonds are outstanding
-18- LRB9111084SMdv
1 pursuant to the Build Illinois Bond Act, the aggregate of the
2 moneys deposited in the Build Illinois Bond Account in the
3 Build Illinois Fund in such month shall be less than the
4 amount required to be transferred in such month from the
5 Build Illinois Bond Account to the Build Illinois Bond
6 Retirement and Interest Fund pursuant to Section 13 of the
7 Build Illinois Bond Act, an amount equal to such deficiency
8 shall be immediately paid from other moneys received by the
9 Department pursuant to the Tax Acts to the Build Illinois
10 Fund; provided, however, that any amounts paid to the Build
11 Illinois Fund in any fiscal year pursuant to this sentence
12 shall be deemed to constitute payments pursuant to clause (b)
13 of the preceding sentence and shall reduce the amount
14 otherwise payable for such fiscal year pursuant to clause (b)
15 of the preceding sentence. The moneys received by the
16 Department pursuant to this Act and required to be deposited
17 into the Build Illinois Fund are subject to the pledge, claim
18 and charge set forth in Section 12 of the Build Illinois Bond
19 Act.
20 Subject to payment of amounts into the Build Illinois
21 Fund as provided in the preceding paragraph or in any
22 amendment thereto hereafter enacted, the following specified
23 monthly installment of the amount requested in the
24 certificate of the Chairman of the Metropolitan Pier and
25 Exposition Authority provided under Section 8.25f of the
26 State Finance Act, but not in excess of the sums designated
27 as "Total Deposit", shall be deposited in the aggregate from
28 collections under Section 9 of the Use Tax Act, Section 9 of
29 the Service Use Tax Act, Section 9 of the Service Occupation
30 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
31 into the McCormick Place Expansion Project Fund in the
32 specified fiscal years.
33 Fiscal Year Total Deposit
34 1993 $0
-19- LRB9111084SMdv
1 1994 53,000,000
2 1995 58,000,000
3 1996 61,000,000
4 1997 64,000,000
5 1998 68,000,000
6 1999 71,000,000
7 2000 75,000,000
8 2001 80,000,000
9 2002 84,000,000
10 2003 89,000,000
11 2004 93,000,000
12 2005 97,000,000
13 2006 102,000,000
14 2007 108,000,000
15 2008 115,000,000
16 2009 120,000,000
17 2010 126,000,000
18 2011 132,000,000
19 2012 138,000,000
20 2013 and 145,000,000
21 each fiscal year
22 thereafter that bonds
23 are outstanding under
24 Section 13.2 of the
25 Metropolitan Pier and
26 Exposition Authority
27 Act, but not after fiscal year 2029.
28 Beginning July 20, 1993 and in each month of each fiscal
29 year thereafter, one-eighth of the amount requested in the
30 certificate of the Chairman of the Metropolitan Pier and
31 Exposition Authority for that fiscal year, less the amount
32 deposited into the McCormick Place Expansion Project Fund by
33 the State Treasurer in the respective month under subsection
34 (g) of Section 13 of the Metropolitan Pier and Exposition
-20- LRB9111084SMdv
1 Authority Act, plus cumulative deficiencies in the deposits
2 required under this Section for previous months and years,
3 shall be deposited into the McCormick Place Expansion Project
4 Fund, until the full amount requested for the fiscal year,
5 but not in excess of the amount specified above as "Total
6 Deposit", has been deposited.
7 Subject to payment of amounts into the Build Illinois
8 Fund and the McCormick Place Expansion Project Fund pursuant
9 to the preceding paragraphs or in any amendment thereto
10 hereafter enacted, each month the Department shall pay into
11 the Local Government Distributive Fund .4% of the net revenue
12 realized for the preceding month from the 5% general rate, or
13 .4% of 80% of the net revenue realized for the preceding
14 month from the 6.25% general rate, as the case may be, on the
15 selling price of tangible personal property which amount
16 shall, subject to appropriation, be distributed as provided
17 in Section 2 of the State Revenue Sharing Act. No payments or
18 distributions pursuant to this paragraph shall be made if the
19 tax imposed by this Act on photoprocessing products is
20 declared unconstitutional, or if the proceeds from such tax
21 are unavailable for distribution because of litigation.
22 Subject to payment of amounts into the Build Illinois
23 Fund, the McCormick Place Expansion Project Fund, and the
24 Local Government Distributive Fund pursuant to the preceding
25 paragraphs or in any amendments thereto hereafter enacted,
26 beginning July 1, 1993, the Department shall each month pay
27 into the Illinois Tax Increment Fund 0.27% of 80% of the net
28 revenue realized for the preceding month from the 6.25%
29 general rate on the selling price of tangible personal
30 property.
31 Of the remainder of the moneys received by the Department
32 pursuant to this Act, 75% thereof shall be paid into the
33 State Treasury and 25% shall be reserved in a special account
34 and used only for the transfer to the Common School Fund as
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1 part of the monthly transfer from the General Revenue Fund in
2 accordance with Section 8a of the State Finance Act.
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 For greater simplicity of administration, manufacturers,
16 importers and wholesalers whose products are sold at retail
17 in Illinois by numerous retailers, and who wish to do so, may
18 assume the responsibility for accounting and paying to the
19 Department all tax accruing under this Act with respect to
20 such sales, if the retailers who are affected do not make
21 written objection to the Department to this arrangement.
22 (Source: P.A. 90-491, eff. 1-1-99; 90-612, eff. 7-8-98;
23 91-37, eff. 7-1-99; 91-51, eff. 6-30-99; 91-101, eff.
24 7-12-99; 91-541, eff. 8-13-99; revised 9-29-99.)
25 Section 10. The Service Use Tax Act is amended by
26 changing Section 9 as follows:
27 (35 ILCS 110/9) (from Ch. 120, par. 439.39)
28 Sec. 9. Each serviceman required or authorized to
29 collect the tax herein imposed shall pay to the Department
30 the amount of such tax (except as otherwise provided) at the
31 time when he is required to file his return for the period
32 during which such tax was collected, less a discount of 2.1%
-22- LRB9111084SMdv
1 prior to January 1, 1990 and 1.75% on and after January 1,
2 1990, or $5 per calendar year, whichever is greater, which is
3 allowed to reimburse the serviceman for expenses incurred in
4 collecting the tax, keeping records, preparing and filing
5 returns, remitting the tax and supplying data to the
6 Department on request. A serviceman need not remit that part
7 of any tax collected by him to the extent that he is required
8 to pay and does pay the tax imposed by the Service Occupation
9 Tax Act with respect to his sale of service involving the
10 incidental transfer by him of the same property.
11 Except as provided hereinafter in this Section, on or
12 before the twentieth day of each calendar month, such
13 serviceman shall file a return for the preceding calendar
14 month in accordance with reasonable Rules and Regulations to
15 be promulgated by the Department. Such return shall be filed
16 on a form prescribed by the Department and shall contain such
17 information as the Department may reasonably require.
18 The Department may require returns to be filed on a
19 quarterly basis. If so required, a return for each calendar
20 quarter shall be filed on or before the twentieth day of the
21 calendar month following the end of such calendar quarter.
22 The taxpayer shall also file a return with the Department for
23 each of the first two months of each calendar quarter, on or
24 before the twentieth day of the following calendar month,
25 stating:
26 1. The name of the seller;
27 2. The address of the principal place of business
28 from which he engages in business as a serviceman in this
29 State;
30 3. The total amount of taxable receipts received by
31 him during the preceding calendar month, including
32 receipts from charge and time sales, but less all
33 deductions allowed by law;
34 4. The amount of credit provided in Section 2d of
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1 this Act;
2 5. The amount of tax due;
3 5-5. The signature of the taxpayer; and
4 6. Such other reasonable information as the
5 Department may require.
6 If a taxpayer fails to sign a return within 30 days after
7 the proper notice and demand for signature by the Department,
8 the return shall be considered valid and any amount shown to
9 be due on the return shall be deemed assessed.
10 Beginning October 1, 1993, a taxpayer who has an average
11 monthly tax liability of $150,000 or more shall make all
12 payments required by rules of the Department by electronic
13 funds transfer. Beginning October 1, 1994, a taxpayer who
14 has an average monthly tax liability of $100,000 or more
15 shall make all payments required by rules of the Department
16 by electronic funds transfer. Beginning October 1, 1995, a
17 taxpayer who has an average monthly tax liability of $50,000
18 or more shall make all payments required by rules of the
19 Department by electronic funds transfer. Beginning October 1,
20 2000, a taxpayer who has an annual tax liability of $200,000
21 or more shall make all payments required by rules of the
22 Department by electronic funds transfer. The term "annual
23 tax liability" shall be the sum of the taxpayer's liabilities
24 under this Act, and under all other State and local
25 occupation and use tax laws administered by the Department,
26 for the immediately preceding calendar year. The term
27 "average monthly tax liability" means the sum of the
28 taxpayer's liabilities under this Act, and under all other
29 State and local occupation and use tax laws administered by
30 the Department, for the immediately preceding calendar year
31 divided by 12.
32 Before August 1 of each year beginning in 1993, the
33 Department shall notify all taxpayers required to make
34 payments by electronic funds transfer. All taxpayers required
-24- LRB9111084SMdv
1 to make payments by electronic funds transfer shall make
2 those payments for a minimum of one year beginning on October
3 1.
4 Any taxpayer not required to make payments by electronic
5 funds transfer may make payments by electronic funds transfer
6 with the permission of the Department.
7 All taxpayers required to make payment by electronic
8 funds transfer and any taxpayers authorized to voluntarily
9 make payments by electronic funds transfer shall make those
10 payments in the manner authorized by the Department.
11 The Department shall adopt such rules as are necessary to
12 effectuate a program of electronic funds transfer and the
13 requirements of this Section.
14 If the serviceman is otherwise required to file a monthly
15 return and if the serviceman's average monthly tax liability
16 to the Department does not exceed $200, the Department may
17 authorize his returns to be filed on a quarter annual basis,
18 with the return for January, February and March of a given
19 year being due by April 20 of such year; with the return for
20 April, May and June of a given year being due by July 20 of
21 such year; with the return for July, August and September of
22 a given year being due by October 20 of such year, and with
23 the return for October, November and December of a given year
24 being due by January 20 of the following year.
25 If the serviceman is otherwise required to file a monthly
26 or quarterly return and if the serviceman's average monthly
27 tax liability to the Department does not exceed $50, the
28 Department may authorize his returns to be filed on an annual
29 basis, with the return for a given year being due by January
30 20 of the following year.
31 Such quarter annual and annual returns, as to form and
32 substance, shall be subject to the same requirements as
33 monthly returns.
34 Notwithstanding any other provision in this Act
-25- LRB9111084SMdv
1 concerning the time within which a serviceman may file his
2 return, in the case of any serviceman who ceases to engage in
3 a kind of business which makes him responsible for filing
4 returns under this Act, such serviceman shall file a final
5 return under this Act with the Department not more than 1
6 month after discontinuing such business.
7 Where a serviceman collects the tax with respect to the
8 selling price of property which he sells and the purchaser
9 thereafter returns such property and the serviceman refunds
10 the selling price thereof to the purchaser, such serviceman
11 shall also refund, to the purchaser, the tax so collected
12 from the purchaser. When filing his return for the period in
13 which he refunds such tax to the purchaser, the serviceman
14 may deduct the amount of the tax so refunded by him to the
15 purchaser from any other Service Use Tax, Service Occupation
16 Tax, retailers' occupation tax or use tax which such
17 serviceman may be required to pay or remit to the Department,
18 as shown by such return, provided that the amount of the tax
19 to be deducted shall previously have been remitted to the
20 Department by such serviceman. If the serviceman shall not
21 previously have remitted the amount of such tax to the
22 Department, he shall be entitled to no deduction hereunder
23 upon refunding such tax to the purchaser.
24 Any serviceman filing a return hereunder shall also
25 include the total tax upon the selling price of tangible
26 personal property purchased for use by him as an incident to
27 a sale of service, and such serviceman shall remit the amount
28 of such tax to the Department when filing such return.
29 If experience indicates such action to be practicable,
30 the Department may prescribe and furnish a combination or
31 joint return which will enable servicemen, who are required
32 to file returns hereunder and also under the Service
33 Occupation Tax Act, to furnish all the return information
34 required by both Acts on the one form.
-26- LRB9111084SMdv
1 Where the serviceman has more than one business
2 registered with the Department under separate registration
3 hereunder, such serviceman shall not file each return that is
4 due as a single return covering all such registered
5 businesses, but shall file separate returns for each such
6 registered business.
7 Beginning January 1, 2001, if a taxpayer's average
8 monthly tax liability to the Department under this Act, the
9 Retailers Occupation Tax Act, the Service Occupation Tax Act,
10 and the Use Tax Act exceeds $50, the taxpayer is eligible to
11 file returns under this Act on a quarter annual basis. The
12 Department shall provide, by reasonable rules, for a phase-in
13 period not to exceed one year for the conversion to quarter
14 annual filing of returns for taxpayers formerly required to
15 file on a monthly basis and the methodology for determining a
16 taxpayer's quarter annual filing periods. The Department
17 shall notify each taxpayer, in writing, of the taxpayer's
18 change in return filing frequency, if any, no less than 120
19 days in advance of the change in filing frequency and the
20 dates determined for the close of the taxpayer's quarter
21 annual periods. Except as otherwise provided in this
22 Section, every person incurring a tax liability under this
23 Act during the preceding quarter annual filing period shall
24 file a return with the Department no later than the 20th day
25 of the month next following the close of the taxpayer's
26 quarter annual filing period. If a taxpayer's average
27 monthly tax liability to the Department does not exceed $50,
28 the Department may authorize the taxpayer's return to be
29 filed on an annual basis, with the return for a given year
30 being due by January 20 of the following year. Any serviceman
31 filing a return under this Section shall also include the
32 total tax covered by the return upon the selling price of
33 tangible personal property purchased by him as an incidence
34 to a sale of service, but as to which the tax imposed by this
-27- LRB9111084SMdv
1 Act was not collected from the selling serviceman at the time
2 of the sale.
3 Beginning January 1, 2001, if the taxpayer's average
4 monthly tax liability to the Department under this Act, the
5 Retailers Occupation Tax Act, the Service Occupation Tax Act,
6 and the Use Tax Act was $10,000 or more during the preceding
7 4 complete quarter annual periods, the taxpayer shall
8 continue to make payment of tax due by the method prescribed
9 by this Section on the 7th, 15th, 22nd, and last day of the
10 month during which the liability is incurred. The amount of
11 the quarter monthly payments shall be credited against the
12 final tax liability of the taxpayer's return for that quarter
13 annual period. Beginning January 1, 2001, if the taxpayer's
14 average monthly tax liability to the Department under this
15 Act, the Retailers Occupation Tax Act, the Service Occupation
16 Tax Act, and the Use Tax Act was less than $10,000 but more
17 than $50 during the preceding 4 complete quarter annual
18 periods, the taxpayer shall continue to make payment of tax
19 due to the Department as prescribed by this Section on or
20 before the 20th day of the month next following the month in
21 which the tax liability is incurred. The amount of the
22 monthly payments shall be credited against the final tax
23 liability of the taxpayer's return for that quarter annual
24 period. If a taxpayer is authorized to file an annual return
25 by the Department, payment of tax due shall accompany the
26 taxpayer's annual return due no later than January 20 of the
27 following year. Any serviceman filing a return under this
28 Section shall also remit on a quarter monthly, monthly, or
29 annual basis, as the case may be, the tax due under this Act
30 on the selling price of tangible personal property purchased
31 by him as an incident to a sale of service from a serviceman,
32 but as to which the tax imposed by this Act was not collected
33 from the selling serviceman. This amendatory Act of the 91st
34 General Assembly does not change the thresholds or
-28- LRB9111084SMdv
1 requirements provided in this Section for the payment of tax
2 due by electronic funds transfer. A serviceman shall, at the
3 time each tax payment is due, as provided in this Section,
4 pay to the Department the amount of tax imposed by this Act
5 less a discount of 1.75% or $5 per calendar year, whichever
6 is greater, which is allowed to reimburse the serviceman for
7 the expenses incurred in keeping records, preparing and
8 filing returns, remitting the tax, and supplying data to the
9 Department on request.
10 Beginning January 1, 1990, each month the Department
11 shall pay into the State and Local Tax Reform Fund, a special
12 fund in the State Treasury, the net revenue realized for the
13 preceding month from the 1% tax on sales of food for human
14 consumption which is to be consumed off the premises where it
15 is sold (other than alcoholic beverages, soft drinks and food
16 which has been prepared for immediate consumption) and
17 prescription and nonprescription medicines, drugs, medical
18 appliances and insulin, urine testing materials, syringes and
19 needles used by diabetics.
20 Beginning January 1, 1990, each month the Department
21 shall pay into the State and Local Sales Tax Reform Fund 20%
22 of the net revenue realized for the preceding month from the
23 6.25% general rate on transfers of tangible personal
24 property, other than tangible personal property which is
25 purchased outside Illinois at retail from a retailer and
26 which is titled or registered by an agency of this State's
27 government.
28 Of the remainder of the moneys received by the Department
29 pursuant to this Act, (a) 1.75% thereof shall be paid into
30 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
31 and on and after July 1, 1989, 3.8% thereof shall be paid
32 into the Build Illinois Fund; provided, however, that if in
33 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
34 as the case may be, of the moneys received by the Department
-29- LRB9111084SMdv
1 and required to be paid into the Build Illinois Fund pursuant
2 to Section 3 of the Retailers' Occupation Tax Act, Section 9
3 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
4 Section 9 of the Service Occupation Tax Act, such Acts being
5 hereinafter called the "Tax Acts" and such aggregate of 2.2%
6 or 3.8%, as the case may be, of moneys being hereinafter
7 called the "Tax Act Amount", and (2) the amount transferred
8 to the Build Illinois Fund from the State and Local Sales Tax
9 Reform Fund shall be less than the Annual Specified Amount
10 (as defined in Section 3 of the Retailers' Occupation Tax
11 Act), an amount equal to the difference shall be immediately
12 paid into the Build Illinois Fund from other moneys received
13 by the Department pursuant to the Tax Acts; and further
14 provided, that if on the last business day of any month the
15 sum of (1) the Tax Act Amount required to be deposited into
16 the Build Illinois Bond Account in the Build Illinois Fund
17 during such month and (2) the amount transferred during such
18 month to the Build Illinois Fund from the State and Local
19 Sales Tax Reform Fund shall have been less than 1/12 of the
20 Annual Specified Amount, an amount equal to the difference
21 shall be immediately paid into the Build Illinois Fund from
22 other moneys received by the Department pursuant to the Tax
23 Acts; and, further provided, that in no event shall the
24 payments required under the preceding proviso result in
25 aggregate payments into the Build Illinois Fund pursuant to
26 this clause (b) for any fiscal year in excess of the greater
27 of (i) the Tax Act Amount or (ii) the Annual Specified Amount
28 for such fiscal year; and, further provided, that the amounts
29 payable into the Build Illinois Fund under this clause (b)
30 shall be payable only until such time as the aggregate amount
31 on deposit under each trust indenture securing Bonds issued
32 and outstanding pursuant to the Build Illinois Bond Act is
33 sufficient, taking into account any future investment income,
34 to fully provide, in accordance with such indenture, for the
-30- LRB9111084SMdv
1 defeasance of or the payment of the principal of, premium, if
2 any, and interest on the Bonds secured by such indenture and
3 on any Bonds expected to be issued thereafter and all fees
4 and costs payable with respect thereto, all as certified by
5 the Director of the Bureau of the Budget. If on the last
6 business day of any month in which Bonds are outstanding
7 pursuant to the Build Illinois Bond Act, the aggregate of the
8 moneys deposited in the Build Illinois Bond Account in the
9 Build Illinois Fund in such month shall be less than the
10 amount required to be transferred in such month from the
11 Build Illinois Bond Account to the Build Illinois Bond
12 Retirement and Interest Fund pursuant to Section 13 of the
13 Build Illinois Bond Act, an amount equal to such deficiency
14 shall be immediately paid from other moneys received by the
15 Department pursuant to the Tax Acts to the Build Illinois
16 Fund; provided, however, that any amounts paid to the Build
17 Illinois Fund in any fiscal year pursuant to this sentence
18 shall be deemed to constitute payments pursuant to clause (b)
19 of the preceding sentence and shall reduce the amount
20 otherwise payable for such fiscal year pursuant to clause (b)
21 of the preceding sentence. The moneys received by the
22 Department pursuant to this Act and required to be deposited
23 into the Build Illinois Fund are subject to the pledge, claim
24 and charge set forth in Section 12 of the Build Illinois Bond
25 Act.
26 Subject to payment of amounts into the Build Illinois
27 Fund as provided in the preceding paragraph or in any
28 amendment thereto hereafter enacted, the following specified
29 monthly installment of the amount requested in the
30 certificate of the Chairman of the Metropolitan Pier and
31 Exposition Authority provided under Section 8.25f of the
32 State Finance Act, but not in excess of the sums designated
33 as "Total Deposit", shall be deposited in the aggregate from
34 collections under Section 9 of the Use Tax Act, Section 9 of
-31- LRB9111084SMdv
1 the Service Use Tax Act, Section 9 of the Service Occupation
2 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
3 into the McCormick Place Expansion Project Fund in the
4 specified fiscal years.
5 Fiscal Year Total Deposit
6 1993 $0
7 1994 53,000,000
8 1995 58,000,000
9 1996 61,000,000
10 1997 64,000,000
11 1998 68,000,000
12 1999 71,000,000
13 2000 75,000,000
14 2001 80,000,000
15 2002 84,000,000
16 2003 89,000,000
17 2004 93,000,000
18 2005 97,000,000
19 2006 102,000,000
20 2007 108,000,000
21 2008 115,000,000
22 2009 120,000,000
23 2010 126,000,000
24 2011 132,000,000
25 2012 138,000,000
26 2013 and 145,000,000
27 each fiscal year
28 thereafter that bonds
29 are outstanding under
30 Section 13.2 of the
31 Metropolitan Pier and
32 Exposition Authority Act,
33 but not after fiscal year 2029.
34 Beginning July 20, 1993 and in each month of each fiscal
-32- LRB9111084SMdv
1 year thereafter, one-eighth of the amount requested in the
2 certificate of the Chairman of the Metropolitan Pier and
3 Exposition Authority for that fiscal year, less the amount
4 deposited into the McCormick Place Expansion Project Fund by
5 the State Treasurer in the respective month under subsection
6 (g) of Section 13 of the Metropolitan Pier and Exposition
7 Authority Act, plus cumulative deficiencies in the deposits
8 required under this Section for previous months and years,
9 shall be deposited into the McCormick Place Expansion Project
10 Fund, until the full amount requested for the fiscal year,
11 but not in excess of the amount specified above as "Total
12 Deposit", has been deposited.
13 Subject to payment of amounts into the Build Illinois
14 Fund and the McCormick Place Expansion Project Fund pursuant
15 to the preceding paragraphs or in any amendment thereto
16 hereafter enacted, each month the Department shall pay into
17 the Local Government Distributive Fund 0.4% of the net
18 revenue realized for the preceding month from the 5% general
19 rate or 0.4% of 80% of the net revenue realized for the
20 preceding month from the 6.25% general rate, as the case may
21 be, on the selling price of tangible personal property which
22 amount shall, subject to appropriation, be distributed as
23 provided in Section 2 of the State Revenue Sharing Act. No
24 payments or distributions pursuant to this paragraph shall be
25 made if the tax imposed by this Act on photo processing
26 products is declared unconstitutional, or if the proceeds
27 from such tax are unavailable for distribution because of
28 litigation.
29 Subject to payment of amounts into the Build Illinois
30 Fund, the McCormick Place Expansion Project Fund, and the
31 Local Government Distributive Fund pursuant to the preceding
32 paragraphs or in any amendments thereto hereafter enacted,
33 beginning July 1, 1993, the Department shall each month pay
34 into the Illinois Tax Increment Fund 0.27% of 80% of the net
-33- LRB9111084SMdv
1 revenue realized for the preceding month from the 6.25%
2 general rate on the selling price of tangible personal
3 property.
4 All remaining moneys received by the Department pursuant
5 to this Act shall be paid into the General Revenue Fund of
6 the State Treasury.
7 As soon as possible after the first day of each month,
8 upon certification of the Department of Revenue, the
9 Comptroller shall order transferred and the Treasurer shall
10 transfer from the General Revenue Fund to the Motor Fuel Tax
11 Fund an amount equal to 1.7% of 80% of the net revenue
12 realized under this Act for the second preceding month.
13 Beginning April 1, 2000, this transfer is no longer required
14 and shall not be made.
15 Net revenue realized for a month shall be the revenue
16 collected by the State pursuant to this Act, less the amount
17 paid out during that month as refunds to taxpayers for
18 overpayment of liability.
19 (Source: P.A. 90-612, eff. 7-8-98; 91-37, eff. 7-1-99; 91-51,
20 eff. 6-30-99; 91-101, eff. 7-12-99; 91-541, eff. 8-13-99;
21 revised 9-27-99.)
22 Section 15. The Service Occupation Tax Act is amended by
23 changing Section 9 as follows:
24 (35 ILCS 115/9) (from Ch. 120, par. 439.109)
25 Sec. 9. Each serviceman required or authorized to
26 collect the tax herein imposed shall pay to the Department
27 the amount of such tax at the time when he is required to
28 file his return for the period during which such tax was
29 collectible, less a discount of 2.1% prior to January 1,
30 1990, and 1.75% on and after January 1, 1990, or $5 per
31 calendar year, whichever is greater, which is allowed to
32 reimburse the serviceman for expenses incurred in collecting
-34- LRB9111084SMdv
1 the tax, keeping records, preparing and filing returns,
2 remitting the tax and supplying data to the Department on
3 request.
4 Where such tangible personal property is sold under a
5 conditional sales contract, or under any other form of sale
6 wherein the payment of the principal sum, or a part thereof,
7 is extended beyond the close of the period for which the
8 return is filed, the serviceman, in collecting the tax may
9 collect, for each tax return period, only the tax applicable
10 to the part of the selling price actually received during
11 such tax return period.
12 Except as provided hereinafter in this Section, on or
13 before the twentieth day of each calendar month, such
14 serviceman shall file a return for the preceding calendar
15 month in accordance with reasonable rules and regulations to
16 be promulgated by the Department of Revenue. Such return
17 shall be filed on a form prescribed by the Department and
18 shall contain such information as the Department may
19 reasonably require.
20 The Department may require returns to be filed on a
21 quarterly basis. If so required, a return for each calendar
22 quarter shall be filed on or before the twentieth day of the
23 calendar month following the end of such calendar quarter.
24 The taxpayer shall also file a return with the Department for
25 each of the first two months of each calendar quarter, on or
26 before the twentieth day of the following calendar month,
27 stating:
28 1. The name of the seller;
29 2. The address of the principal place of business
30 from which he engages in business as a serviceman in this
31 State;
32 3. The total amount of taxable receipts received by
33 him during the preceding calendar month, including
34 receipts from charge and time sales, but less all
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1 deductions allowed by law;
2 4. The amount of credit provided in Section 2d of
3 this Act;
4 5. The amount of tax due;
5 5-5. The signature of the taxpayer; and
6 6. Such other reasonable information as the
7 Department may require.
8 If a taxpayer fails to sign a return within 30 days after
9 the proper notice and demand for signature by the Department,
10 the return shall be considered valid and any amount shown to
11 be due on the return shall be deemed assessed.
12 A serviceman may accept a Manufacturer's Purchase Credit
13 certification from a purchaser in satisfaction of Service Use
14 Tax as provided in Section 3-70 of the Service Use Tax Act if
15 the purchaser provides the appropriate documentation as
16 required by Section 3-70 of the Service Use Tax Act. A
17 Manufacturer's Purchase Credit certification, accepted by a
18 serviceman as provided in Section 3-70 of the Service Use Tax
19 Act, may be used by that serviceman to satisfy Service
20 Occupation Tax liability in the amount claimed in the
21 certification, not to exceed 6.25% of the receipts subject to
22 tax from a qualifying purchase.
23 If the serviceman's average monthly tax liability to the
24 Department does not exceed $200, the Department may authorize
25 his returns to be filed on a quarter annual basis, with the
26 return for January, February and March of a given year being
27 due by April 20 of such year; with the return for April, May
28 and June of a given year being due by July 20 of such year;
29 with the return for July, August and September of a given
30 year being due by October 20 of such year, and with the
31 return for October, November and December of a given year
32 being due by January 20 of the following year.
33 If the serviceman's average monthly tax liability to the
34 Department does not exceed $50, the Department may authorize
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1 his returns to be filed on an annual basis, with the return
2 for a given year being due by January 20 of the following
3 year.
4 Such quarter annual and annual returns, as to form and
5 substance, shall be subject to the same requirements as
6 monthly returns.
7 Notwithstanding any other provision in this Act
8 concerning the time within which a serviceman may file his
9 return, in the case of any serviceman who ceases to engage in
10 a kind of business which makes him responsible for filing
11 returns under this Act, such serviceman shall file a final
12 return under this Act with the Department not more than 1
13 month after discontinuing such business.
14 Beginning October 1, 1993, a taxpayer who has an average
15 monthly tax liability of $150,000 or more shall make all
16 payments required by rules of the Department by electronic
17 funds transfer. Beginning October 1, 1994, a taxpayer who
18 has an average monthly tax liability of $100,000 or more
19 shall make all payments required by rules of the Department
20 by electronic funds transfer. Beginning October 1, 1995, a
21 taxpayer who has an average monthly tax liability of $50,000
22 or more shall make all payments required by rules of the
23 Department by electronic funds transfer. Beginning October
24 1, 2000, a taxpayer who has an annual tax liability of
25 $200,000 or more shall make all payments required by rules of
26 the Department by electronic funds transfer. The term
27 "annual tax liability" shall be the sum of the taxpayer's
28 liabilities under this Act, and under all other State and
29 local occupation and use tax laws administered by the
30 Department, for the immediately preceding calendar year. The
31 term "average monthly tax liability" means the sum of the
32 taxpayer's liabilities under this Act, and under all other
33 State and local occupation and use tax laws administered by
34 the Department, for the immediately preceding calendar year
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1 divided by 12.
2 Before August 1 of each year beginning in 1993, the
3 Department shall notify all taxpayers required to make
4 payments by electronic funds transfer. All taxpayers
5 required to make payments by electronic funds transfer shall
6 make those payments for a minimum of one year beginning on
7 October 1.
8 Any taxpayer not required to make payments by electronic
9 funds transfer may make payments by electronic funds transfer
10 with the permission of the Department.
11 All taxpayers required to make payment by electronic
12 funds transfer and any taxpayers authorized to voluntarily
13 make payments by electronic funds transfer shall make those
14 payments in the manner authorized by the Department.
15 The Department shall adopt such rules as are necessary to
16 effectuate a program of electronic funds transfer and the
17 requirements of this Section.
18 Where a serviceman collects the tax with respect to the
19 selling price of tangible personal property which he sells
20 and the purchaser thereafter returns such tangible personal
21 property and the serviceman refunds the selling price thereof
22 to the purchaser, such serviceman shall also refund, to the
23 purchaser, the tax so collected from the purchaser. When
24 filing his return for the period in which he refunds such tax
25 to the purchaser, the serviceman may deduct the amount of the
26 tax so refunded by him to the purchaser from any other
27 Service Occupation Tax, Service Use Tax, Retailers'
28 Occupation Tax or Use Tax which such serviceman may be
29 required to pay or remit to the Department, as shown by such
30 return, provided that the amount of the tax to be deducted
31 shall previously have been remitted to the Department by such
32 serviceman. If the serviceman shall not previously have
33 remitted the amount of such tax to the Department, he shall
34 be entitled to no deduction hereunder upon refunding such tax
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1 to the purchaser.
2 If experience indicates such action to be practicable,
3 the Department may prescribe and furnish a combination or
4 joint return which will enable servicemen, who are required
5 to file returns hereunder and also under the Retailers'
6 Occupation Tax Act, the Use Tax Act or the Service Use Tax
7 Act, to furnish all the return information required by all
8 said Acts on the one form.
9 Where the serviceman has more than one business
10 registered with the Department under separate registrations
11 hereunder, such serviceman shall file separate returns for
12 each registered business.
13 Beginning January 1, 2001, if a taxpayer's average
14 monthly tax liability to the Department under this Act, the
15 Use Tax Act, the Retailers' Occupation Tax Act, and the
16 Service Use Tax Act exceeds $50, the taxpayer is eligible to
17 file returns under this Act on a quarter annual basis. The
18 Department shall provide, by reasonable rules, for a phase-in
19 period not to exceed one year for the conversion to quarter
20 annual filing of returns for taxpayers formerly required to
21 file on a monthly basis and the methodology for determining a
22 taxpayer's quarter annual filing periods. The Department
23 shall notify each taxpayer, in writing, of the taxpayer's
24 change in return filing frequency, if any, no less than 120
25 days in advance of the change in filing frequency and the
26 dates determined for the close of the taxpayer's quarter
27 annual periods. Except as otherwise provided by this Act,
28 every serviceman engaged in the business of selling tangible
29 personal property as an incident to a sale of service in this
30 State who was required or authorized to collect the tax
31 imposed by this Act during the preceding quarter annual
32 filing period shall file a return with the Department no
33 later than the 20th day of the month next following the close
34 of the serviceman's quarter annual filing period. If a
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1 serviceman's average monthly tax liability to the Department
2 does not exceed $50, the Department may authorize the
3 serviceman's return to be filed on an annual basis, with the
4 return for a given year being due by January 20 of the
5 following year.
6 Beginning January 1, 2001, if the taxpayer's average
7 monthly tax liability to the Department under this Act, the
8 Use Tax Act, the Retailers Occupation Tax Act, and the
9 Service Use Tax Act exceeds $50 during the preceding 4
10 complete quarter annual periods, the taxpayer shall continue
11 to make payment of tax due by the method prescribed by this
12 Section on or before the 20th day of the month next following
13 the month in which the tax liability is incurred. The amount
14 of the monthly payments shall be credited against the final
15 tax liability of the taxpayer's return for that quarter
16 annual period. If the taxpayer's average monthly tax
17 liability to the Department is less than $50 and the taxpayer
18 is authorized to file an annual return by the Department,
19 payment of tax due shall accompany the taxpayer's annual
20 return due no later than January 20 of the following year.
21 This amendatory Act of the 91st General Assembly does not
22 change the thresholds or requirements provided in this
23 Section for the payment of tax due by electronic funds
24 transfer. A serviceman shall, at the time each tax payment
25 is due, as provided in this Section, pay to the Department
26 the amount of tax imposed by this Act less a discount of
27 1.75% or $5 per calendar year, whichever is greater, which is
28 allowed to reimburse the serviceman for the expenses incurred
29 in keeping records, preparing and filing returns, remitting
30 the tax, and supplying data to the Department on request.
31 Beginning January 1, 1990, each month the Department
32 shall pay into the Local Government Tax Fund the revenue
33 realized for the preceding month from the 1% tax on sales of
34 food for human consumption which is to be consumed off the
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1 premises where it is sold (other than alcoholic beverages,
2 soft drinks and food which has been prepared for immediate
3 consumption) and prescription and nonprescription medicines,
4 drugs, medical appliances and insulin, urine testing
5 materials, syringes and needles used by diabetics.
6 Beginning January 1, 1990, each month the Department
7 shall pay into the County and Mass Transit District Fund 4%
8 of the revenue realized for the preceding month from the
9 6.25% general rate.
10 Beginning January 1, 1990, each month the Department
11 shall pay into the Local Government Tax Fund 16% of the
12 revenue realized for the preceding month from the 6.25%
13 general rate on transfers of tangible personal property.
14 Of the remainder of the moneys received by the Department
15 pursuant to this Act, (a) 1.75% thereof shall be paid into
16 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
17 and on and after July 1, 1989, 3.8% thereof shall be paid
18 into the Build Illinois Fund; provided, however, that if in
19 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
20 as the case may be, of the moneys received by the Department
21 and required to be paid into the Build Illinois Fund pursuant
22 to Section 3 of the Retailers' Occupation Tax Act, Section 9
23 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
24 Section 9 of the Service Occupation Tax Act, such Acts being
25 hereinafter called the "Tax Acts" and such aggregate of 2.2%
26 or 3.8%, as the case may be, of moneys being hereinafter
27 called the "Tax Act Amount", and (2) the amount transferred
28 to the Build Illinois Fund from the State and Local Sales Tax
29 Reform Fund shall be less than the Annual Specified Amount
30 (as defined in Section 3 of the Retailers' Occupation Tax
31 Act), an amount equal to the difference shall be immediately
32 paid into the Build Illinois Fund from other moneys received
33 by the Department pursuant to the Tax Acts; and further
34 provided, that if on the last business day of any month the
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1 sum of (1) the Tax Act Amount required to be deposited into
2 the Build Illinois Account in the Build Illinois Fund during
3 such month and (2) the amount transferred during such month
4 to the Build Illinois Fund from the State and Local Sales Tax
5 Reform Fund shall have been less than 1/12 of the Annual
6 Specified Amount, an amount equal to the difference shall be
7 immediately paid into the Build Illinois Fund from other
8 moneys received by the Department pursuant to the Tax Acts;
9 and, further provided, that in no event shall the payments
10 required under the preceding proviso result in aggregate
11 payments into the Build Illinois Fund pursuant to this clause
12 (b) for any fiscal year in excess of the greater of (i) the
13 Tax Act Amount or (ii) the Annual Specified Amount for such
14 fiscal year; and, further provided, that the amounts payable
15 into the Build Illinois Fund under this clause (b) shall be
16 payable only until such time as the aggregate amount on
17 deposit under each trust indenture securing Bonds issued and
18 outstanding pursuant to the Build Illinois Bond Act is
19 sufficient, taking into account any future investment income,
20 to fully provide, in accordance with such indenture, for the
21 defeasance of or the payment of the principal of, premium, if
22 any, and interest on the Bonds secured by such indenture and
23 on any Bonds expected to be issued thereafter and all fees
24 and costs payable with respect thereto, all as certified by
25 the Director of the Bureau of the Budget. If on the last
26 business day of any month in which Bonds are outstanding
27 pursuant to the Build Illinois Bond Act, the aggregate of the
28 moneys deposited in the Build Illinois Bond Account in the
29 Build Illinois Fund in such month shall be less than the
30 amount required to be transferred in such month from the
31 Build Illinois Bond Account to the Build Illinois Bond
32 Retirement and Interest Fund pursuant to Section 13 of the
33 Build Illinois Bond Act, an amount equal to such deficiency
34 shall be immediately paid from other moneys received by the
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1 Department pursuant to the Tax Acts to the Build Illinois
2 Fund; provided, however, that any amounts paid to the Build
3 Illinois Fund in any fiscal year pursuant to this sentence
4 shall be deemed to constitute payments pursuant to clause (b)
5 of the preceding sentence and shall reduce the amount
6 otherwise payable for such fiscal year pursuant to clause (b)
7 of the preceding sentence. The moneys received by the
8 Department pursuant to this Act and required to be deposited
9 into the Build Illinois Fund are subject to the pledge, claim
10 and charge set forth in Section 12 of the Build Illinois Bond
11 Act.
12 Subject to payment of amounts into the Build Illinois
13 Fund as provided in the preceding paragraph or in any
14 amendment thereto hereafter enacted, the following specified
15 monthly installment of the amount requested in the
16 certificate of the Chairman of the Metropolitan Pier and
17 Exposition Authority provided under Section 8.25f of the
18 State Finance Act, but not in excess of the sums designated
19 as "Total Deposit", shall be deposited in the aggregate from
20 collections under Section 9 of the Use Tax Act, Section 9 of
21 the Service Use Tax Act, Section 9 of the Service Occupation
22 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
23 into the McCormick Place Expansion Project Fund in the
24 specified fiscal years.
25 Fiscal Year Total Deposit
26 1993 $0
27 1994 53,000,000
28 1995 58,000,000
29 1996 61,000,000
30 1997 64,000,000
31 1998 68,000,000
32 1999 71,000,000
33 2000 75,000,000
34 2001 80,000,000
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1 2002 84,000,000
2 2003 89,000,000
3 2004 93,000,000
4 2005 97,000,000
5 2006 102,000,000
6 2007 108,000,000
7 2008 115,000,000
8 2009 120,000,000
9 2010 126,000,000
10 2011 132,000,000
11 2012 138,000,000
12 2013 and 145,000,000
13 each fiscal year
14 thereafter that bonds
15 are outstanding under
16 Section 13.2 of the
17 Metropolitan Pier and
18 Exposition Authority
19 Act, but not after fiscal year 2029.
20 Beginning July 20, 1993 and in each month of each fiscal
21 year thereafter, one-eighth of the amount requested in the
22 certificate of the Chairman of the Metropolitan Pier and
23 Exposition Authority for that fiscal year, less the amount
24 deposited into the McCormick Place Expansion Project Fund by
25 the State Treasurer in the respective month under subsection
26 (g) of Section 13 of the Metropolitan Pier and Exposition
27 Authority Act, plus cumulative deficiencies in the deposits
28 required under this Section for previous months and years,
29 shall be deposited into the McCormick Place Expansion Project
30 Fund, until the full amount requested for the fiscal year,
31 but not in excess of the amount specified above as "Total
32 Deposit", has been deposited.
33 Subject to payment of amounts into the Build Illinois
34 Fund and the McCormick Place Expansion Project Fund pursuant
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1 to the preceding paragraphs or in any amendment thereto
2 hereafter enacted, each month the Department shall pay into
3 the Local Government Distributive Fund 0.4% of the net
4 revenue realized for the preceding month from the 5% general
5 rate or 0.4% of 80% of the net revenue realized for the
6 preceding month from the 6.25% general rate, as the case may
7 be, on the selling price of tangible personal property which
8 amount shall, subject to appropriation, be distributed as
9 provided in Section 2 of the State Revenue Sharing Act. No
10 payments or distributions pursuant to this paragraph shall be
11 made if the tax imposed by this Act on photoprocessing
12 products is declared unconstitutional, or if the proceeds
13 from such tax are unavailable for distribution because of
14 litigation.
15 Subject to payment of amounts into the Build Illinois
16 Fund, the McCormick Place Expansion Project Fund, and the
17 Local Government Distributive Fund pursuant 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 Remaining moneys received by the Department pursuant to
25 this Act shall be paid into the General Revenue Fund of the
26 State Treasury.
27 The Department may, upon separate written notice to a
28 taxpayer, require the taxpayer to prepare and file with the
29 Department on a form prescribed by the Department within not
30 less than 60 days after receipt of the notice an annual
31 information return for the tax year specified in the notice.
32 Such annual return to the Department shall include a
33 statement of gross receipts as shown by the taxpayer's last
34 Federal income tax return. If the total receipts of the
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1 business as reported in the Federal income tax return do not
2 agree with the gross receipts reported to the Department of
3 Revenue for the same period, the taxpayer shall attach to his
4 annual return a schedule showing a reconciliation of the 2
5 amounts and the reasons for the difference. The taxpayer's
6 annual return to the Department shall also disclose the cost
7 of goods sold by the taxpayer during the year covered by such
8 return, opening and closing inventories of such goods for
9 such year, cost of goods used from stock or taken from stock
10 and given away by the taxpayer during such year, pay roll
11 information of the taxpayer's business during such year and
12 any additional reasonable information which the Department
13 deems would be helpful in determining the accuracy of the
14 monthly, quarterly or annual returns filed by such taxpayer
15 as hereinbefore provided for in this Section.
16 If the annual information return required by this Section
17 is not filed when and as required, the taxpayer shall be
18 liable as follows:
19 (i) Until January 1, 1994, the taxpayer shall be
20 liable for a penalty equal to 1/6 of 1% of the tax due
21 from such taxpayer under this Act during the period to be
22 covered by the annual return for each month or fraction
23 of a month until such return is filed as required, the
24 penalty to be assessed and collected in the same manner
25 as any other penalty provided for in this Act.
26 (ii) On and after January 1, 1994, the taxpayer
27 shall be liable for a penalty as described in Section 3-4
28 of the Uniform Penalty and Interest Act.
29 The chief executive officer, proprietor, owner or highest
30 ranking manager shall sign the annual return to certify the
31 accuracy of the information contained therein. Any person
32 who willfully signs the annual return containing false or
33 inaccurate information shall be guilty of perjury and
34 punished accordingly. The annual return form prescribed by
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1 the Department shall include a warning that the person
2 signing the return may be liable for perjury.
3 The foregoing portion of this Section concerning the
4 filing of an annual information return shall not apply to a
5 serviceman who is not required to file an income tax return
6 with the United States Government.
7 As soon as possible after the first day of each month,
8 upon certification of the Department of Revenue, the
9 Comptroller shall order transferred and the Treasurer shall
10 transfer from the General Revenue Fund to the Motor Fuel Tax
11 Fund an amount equal to 1.7% of 80% of the net revenue
12 realized under this Act for the second preceding month.
13 Beginning April 1, 2000, this transfer is no longer required
14 and shall not be made.
15 Net revenue realized for a month shall be the revenue
16 collected by the State pursuant to this Act, less the amount
17 paid out during that month as refunds to taxpayers for
18 overpayment of liability.
19 For greater simplicity of administration, it shall be
20 permissible for manufacturers, importers and wholesalers
21 whose products are sold by numerous servicemen in Illinois,
22 and who wish to do so, to assume the responsibility for
23 accounting and paying to the Department all tax accruing
24 under this Act with respect to such sales, if the servicemen
25 who are affected do not make written objection to the
26 Department to this arrangement.
27 (Source: P.A. 90-612, eff. 7-8-98; 91-37, eff. 7-1-99; 91-51,
28 eff. 6-30-99; 91-101, eff. 7-12-99; 91-541, eff. 8-13-99;
29 revised 9-28-99.)
30 Section 20. The Retailers' Occupation Tax Act is amended
31 by changing Sections 2a and 3 as follows:
32 (35 ILCS 120/2a) (from Ch. 120, par. 441a)
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1 Sec. 2a. It is unlawful for any person to engage in the
2 business of selling tangible personal property at retail in
3 this State without a certificate of registration from the
4 Department. Application for a certificate of registration
5 shall be made to the Department upon forms furnished by it.
6 Each such application shall be signed and verified and shall
7 state: (1) the name and social security number of the
8 applicant; (2) the address of his principal place of
9 business; (3) the address of the principal place of business
10 from which he engages in the business of selling tangible
11 personal property at retail in this State and the addresses
12 of all other places of business, if any (enumerating such
13 addresses, if any, in a separate list attached to and made a
14 part of the application), from which he engages in the
15 business of selling tangible personal property at retail in
16 this State; (4) the name and address of the person or persons
17 who will be responsible for filing returns and payment of
18 taxes due under this Act; (5) in the case of a corporation,
19 the name, title, and social security number of each corporate
20 officer; (6) in the case of a limited liability company, the
21 name, social security number, and FEIN number of each manager
22 and member; and (7) such other information as the Department
23 may reasonably require. The application shall contain an
24 acceptance of responsibility signed by the person or persons
25 who will be responsible for filing returns and payment of the
26 taxes due under this Act. If the applicant will sell
27 tangible personal property at retail through vending
28 machines, his application to register shall indicate the
29 number of vending machines to be so operated; and thereafter,
30 he shall notify the Department by January 31 of the number of
31 vending machines which such person was using in his business
32 of selling tangible personal property at retail on the
33 preceding December 31.
34 The Department may deny a certificate of registration to
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1 any applicant if the owner, any partner, any manager or
2 member of a limited liability company, or a corporate officer
3 of the applicant, is or has been the owner, a partner, a
4 manager or member of a limited liability company, or a
5 corporate officer, of another retailer that is in default for
6 moneys due under this Act.
7 Every applicant for a certificate of registration
8 hereunder shall, at the time of filing such application,
9 furnish a bond from a surety company authorized to do
10 business in the State of Illinois, or an irrevocable bank
11 letter of credit or a bond signed by 2 personal sureties who
12 have filed, with the Department, sworn statements disclosing
13 net assets equal to at least 3 times the amount of the bond
14 to be required of such applicant, or a bond secured by an
15 assignment of a bank account or certificate of deposit,
16 stocks or bonds, conditioned upon the applicant paying to the
17 State of Illinois all moneys becoming due under this Act and
18 under any other State tax law or municipal or county tax
19 ordinance or resolution under which the certificate of
20 registration that is issued to the applicant under this Act
21 will permit the applicant to engage in business without
22 registering separately under such other law, ordinance or
23 resolution. The Department shall fix the amount of such
24 security in each case, taking into consideration the amount
25 of money expected to become due from the applicant under this
26 Act and under any other State tax law or municipal or county
27 tax ordinance or resolution under which the certificate of
28 registration that is issued to the applicant under this Act
29 will permit the applicant to engage in business without
30 registering separately under such other law, ordinance or
31 resolution. The amount of security required by the Department
32 shall be such as, in its opinion, will protect the State of
33 Illinois against failure to pay the amount which may become
34 due from the applicant under this Act and under any other
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1 State tax law or municipal or county tax ordinance or
2 resolution under which the certificate of registration that
3 is issued to the applicant under this Act will permit the
4 applicant to engage in business without registering
5 separately under such other law, ordinance or resolution, but
6 the amount of the security required by the Department shall
7 not exceed three times the amount of the applicant's average
8 quarter annual monthly tax liability, or $50,000.00,
9 whichever amount is lower.
10 No certificate of registration under this Act shall be
11 issued by the Department until the applicant provides the
12 Department with satisfactory security as herein provided for.
13 Upon receipt of the application for certificate of
14 registration in proper form, and upon approval by the
15 Department of the security furnished by the applicant, the
16 Department shall issue to such applicant a certificate of
17 registration which shall permit the person to whom it is
18 issued to engage in the business of selling tangible personal
19 property at retail in this State. The certificate of
20 registration shall be conspicuously displayed at the place of
21 business which the person so registered states in his
22 application to be the principal place of business from which
23 he engages in the business of selling tangible personal
24 property at retail in this State.
25 No certificate of registration issued to a taxpayer who
26 files returns required by this Act on a monthly basis shall
27 be valid after the expiration of 5 years from the date of its
28 issuance or last renewal. The expiration date of a
29 sub-certificate of registration shall be that of the
30 certificate of registration to which the sub-certificate
31 relates. A certificate of registration shall automatically
32 be renewed, subject to revocation as provided by this Act,
33 for an additional 5 years from the date of its expiration
34 unless otherwise notified by the Department as provided by
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1 this paragraph. Where a taxpayer to whom a certificate of
2 registration is issued under this Act is in default to the
3 State of Illinois for delinquent returns or for moneys due
4 under this Act or any other State tax law or municipal or
5 county ordinance administered or enforced by the Department,
6 the Department shall, not less than 120 days before the
7 expiration date of such certificate of registration, give
8 notice to the taxpayer to whom the certificate was issued of
9 the account period of the delinquent returns, the amount of
10 tax, penalty and interest due and owing from the taxpayer,
11 and that the certificate of registration shall not be
12 automatically renewed upon its expiration date unless the
13 taxpayer, on or before the date of expiration, has filed and
14 paid the delinquent returns or paid the defaulted amount in
15 full. A taxpayer to whom such a notice is issued shall be
16 deemed an applicant for renewal. The Department shall
17 promulgate regulations establishing procedures for taxpayers
18 who file returns on a quarter annual monthly basis but desire
19 and qualify to change to a quarterly or yearly filing basis
20 and will no longer be subject to renewal under this Section,
21 and for taxpayers who file returns on a yearly or quarterly
22 basis but who desire or are required to change to a quarterly
23 monthly filing basis and will be subject to renewal under
24 this Section.
25 The Department may in its discretion approve renewal by
26 an applicant who is in default if, at the time of application
27 for renewal, the applicant files all of the delinquent
28 returns or pays to the Department such percentage of the
29 defaulted amount as may be determined by the Department and
30 agrees in writing to waive all limitations upon the
31 Department for collection of the remaining defaulted amount
32 to the Department over a period not to exceed 5 years from
33 the date of renewal of the certificate; however, no renewal
34 application submitted by an applicant who is in default shall
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1 be approved if the immediately preceding renewal by the
2 applicant was conditioned upon the installment payment
3 agreement described in this Section. The payment agreement
4 herein provided for shall be in addition to and not in lieu
5 of the security required by this Section of a taxpayer who is
6 no longer considered a prior continuous compliance taxpayer.
7 The execution of the payment agreement as provided in this
8 Act shall not toll the accrual of interest at the statutory
9 rate.
10 A certificate of registration issued under this Act more
11 than 5 years before the effective date of this amendatory Act
12 of 1989 shall expire and be subject to the renewal provisions
13 of this Section on the next anniversary of the date of
14 issuance of such certificate which occurs more than 6 months
15 after the effective date of this amendatory Act of 1989. A
16 certificate of registration issued less than 5 years before
17 the effective date of this amendatory Act of 1989 shall
18 expire and be subject to the renewal provisions of this
19 Section on the 5th anniversary of the issuance of the
20 certificate.
21 If the person so registered states that he operates other
22 places of business from which he engages in the business of
23 selling tangible personal property at retail in this State,
24 the Department shall furnish him with a sub-certificate of
25 registration for each such place of business, and the
26 applicant shall display the appropriate sub-certificate of
27 registration at each such place of business. All
28 sub-certificates of registration shall bear the same
29 registration number as that appearing upon the certificate of
30 registration to which such sub-certificates relate.
31 If the applicant will sell tangible personal property at
32 retail through vending machines, the Department shall furnish
33 him with a sub-certificate of registration for each such
34 vending machine, and the applicant shall display the
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1 appropriate sub-certificate of registration on each such
2 vending machine by attaching the sub-certificate of
3 registration to a conspicuous part of such vending machine.
4 Where the same person engages in 2 or more businesses of
5 selling tangible personal property at retail in this State,
6 which businesses are substantially different in character or
7 engaged in under different trade names or engaged in under
8 other substantially dissimilar circumstances (so that it is
9 more practicable, from an accounting, auditing or bookkeeping
10 standpoint, for such businesses to be separately registered),
11 the Department may require or permit such person (subject to
12 the same requirements concerning the furnishing of security
13 as those that are provided for hereinbefore in this Section
14 as to each application for a certificate of registration) to
15 apply for and obtain a separate certificate of registration
16 for each such business or for any of such businesses, under a
17 single certificate of registration supplemented by related
18 sub-certificates of registration.
19 Any person who is registered under the "Retailers'
20 Occupation Tax Act" as of March 8, 1963, and who, during the
21 3-year period immediately prior to March 8, 1963, or during a
22 continuous 3-year period part of which passed immediately
23 before and the remainder of which passes immediately after
24 March 8, 1963, has been so registered continuously and who is
25 determined by the Department not to have been either
26 delinquent or deficient in the payment of tax liability
27 during that period under this Act or under any other State
28 tax law or municipal or county tax ordinance or resolution
29 under which the certificate of registration that is issued to
30 the registrant under this Act will permit the registrant to
31 engage in business without registering separately under such
32 other law, ordinance or resolution, shall be considered to be
33 a Prior Continuous Compliance taxpayer. Also any taxpayer who
34 has, as verified by the Department, faithfully and
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1 continuously complied with the condition of his bond or other
2 security under the provisions of this Act for a period of 3
3 consecutive years shall be considered to be a Prior
4 Continuous Compliance taxpayer.
5 Every Prior Continuous Compliance taxpayer shall be
6 exempt from all requirements under this Act concerning the
7 furnishing of security as a condition precedent to his being
8 authorized to engage in the business of selling tangible
9 personal property at retail in this State. This exemption
10 shall continue for each such taxpayer until such time as he
11 may be determined by the Department to be delinquent in the
12 filing of any returns, or is determined by the Department
13 (either through the Department's issuance of a final
14 assessment which has become final under the Act, or by the
15 taxpayer's filing of a return which admits tax that is not
16 paid to be due) to be delinquent or deficient in the paying
17 of any tax under this Act or under any other State tax law or
18 municipal or county tax ordinance or resolution under which
19 the certificate of registration that is issued to the
20 registrant under this Act will permit the registrant to
21 engage in business without registering separately under such
22 other law, ordinance or resolution, at which time that
23 taxpayer shall become subject to all the financial
24 responsibility requirements of this Act and, as a condition
25 of being allowed to continue to engage in the business of
26 selling tangible personal property at retail, shall be
27 required to post bond or other acceptable security with the
28 Department covering liability which such taxpayer may
29 thereafter incur. Any taxpayer who fails to pay an admitted
30 or established liability under this Act may also be required
31 to post bond or other acceptable security with this
32 Department guaranteeing the payment of such admitted or
33 established liability.
34 No certificate of registration shall be issued to any
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1 person who is in default to the State of Illinois for moneys
2 due under this Act or under any other State tax law or
3 municipal or county tax ordinance or resolution under which
4 the certificate of registration that is issued to the
5 applicant under this Act will permit the applicant to engage
6 in business without registering separately under such other
7 law, ordinance or resolution.
8 Any person aggrieved by any decision of the Department
9 under this Section may, within 20 days after notice of such
10 decision, protest and request a hearing, whereupon the
11 Department shall give notice to such person of the time and
12 place fixed for such hearing and shall hold a hearing in
13 conformity with the provisions of this Act and then issue its
14 final administrative decision in the matter to such person.
15 In the absence of such a protest within 20 days, the
16 Department's decision shall become final without any further
17 determination being made or notice given.
18 With respect to security other than bonds (upon which the
19 Department may sue in the event of a forfeiture), if the
20 taxpayer fails to pay, when due, any amount whose payment
21 such security guarantees, the Department shall, after such
22 liability is admitted by the taxpayer or established by the
23 Department through the issuance of a final assessment that
24 has become final under the law, convert the security which
25 that taxpayer has furnished into money for the State, after
26 first giving the taxpayer at least 10 days' written notice,
27 by registered or certified mail, to pay the liability or
28 forfeit such security to the Department. If the security
29 consists of stocks or bonds or other securities which are
30 listed on a public exchange, the Department shall sell such
31 securities through such public exchange. If the security
32 consists of an irrevocable bank letter of credit, the
33 Department shall convert the security in the manner provided
34 for in the Uniform Commercial Code. If the security consists
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1 of a bank certificate of deposit, the Department shall
2 convert the security into money by demanding and collecting
3 the amount of such bank certificate of deposit from the bank
4 which issued such certificate. If the security consists of a
5 type of stocks or other securities which are not listed on a
6 public exchange, the Department shall sell such security to
7 the highest and best bidder after giving at least 10 days'
8 notice of the date, time and place of the intended sale by
9 publication in the "State Official Newspaper". If the
10 Department realizes more than the amount of such liability
11 from the security, plus the expenses incurred by the
12 Department in converting the security into money, the
13 Department shall pay such excess to the taxpayer who
14 furnished such security, and the balance shall be paid into
15 the State Treasury.
16 The Department shall discharge any surety and shall
17 release and return any security deposited, assigned, pledged
18 or otherwise provided to it by a taxpayer under this Section
19 within 30 days after:
20 (1) such taxpayer becomes a Prior Continuous
21 Compliance taxpayer; or
22 (2) such taxpayer has ceased to collect receipts on
23 which he is required to remit tax to the Department, has
24 filed a final tax return, and has paid to the Department
25 an amount sufficient to discharge his remaining tax
26 liability, as determined by the Department, under this
27 Act and under every other State tax law or municipal or
28 county tax ordinance or resolution under which the
29 certificate of registration issued under this Act permits
30 the registrant to engage in business without registering
31 separately under such other law, ordinance or resolution.
32 The Department shall make a final determination of the
33 taxpayer's outstanding tax liability as expeditiously as
34 possible after his final tax return has been filed; if
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1 the Department cannot make such final determination
2 within 45 days after receiving the final tax return,
3 within such period it shall so notify the taxpayer,
4 stating its reasons therefor.
5 (Source: P.A. 90-491, eff. 1-1-98; 91-357, eff. 7-29-99.)
6 (35 ILCS 120/3) (from Ch. 120, par. 442)
7 Sec. 3. Except as provided in this Section, on or before
8 the twentieth day of each calendar month, every person
9 engaged in the business of selling tangible personal property
10 at retail in this State during the preceding calendar month
11 shall file a return with the Department, stating:
12 1. The name of the seller;
13 2. His residence address and the address of his
14 principal place of business and the address of the
15 principal place of business (if that is a different
16 address) from which he engages in the business of selling
17 tangible personal property at retail in this State;
18 3. Total amount of receipts received by him during
19 the preceding calendar month or quarter, as the case may
20 be, from sales of tangible personal property, and from
21 services furnished, by him during such preceding calendar
22 month or quarter;
23 4. Total amount received by him during the
24 preceding calendar month or quarter on charge and time
25 sales of tangible personal property, and from services
26 furnished, by him prior to the month or quarter for which
27 the return is filed;
28 5. Deductions allowed by law;
29 6. Gross receipts which were received by him during
30 the preceding calendar month or quarter and upon the
31 basis of which the tax is imposed;
32 7. The amount of credit provided in Section 2d of
33 this Act;
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1 8. The amount of tax due;
2 9. The signature of the taxpayer; and
3 10. Such other reasonable information as the
4 Department may require.
5 If a taxpayer fails to sign a return within 30 days after
6 the proper notice and demand for signature by the Department,
7 the return shall be considered valid and any amount shown to
8 be due on the return shall be deemed assessed.
9 Each return shall be accompanied by the statement of
10 prepaid tax issued pursuant to Section 2e for which credit is
11 claimed.
12 A retailer may accept a Manufacturer's Purchase Credit
13 certification from a purchaser in satisfaction of Use Tax as
14 provided in Section 3-85 of the Use Tax Act if the purchaser
15 provides the appropriate documentation as required by Section
16 3-85 of the Use Tax Act. A Manufacturer's Purchase Credit
17 certification, accepted by a retailer as provided in Section
18 3-85 of the Use Tax Act, may be used by that retailer to
19 satisfy Retailers' Occupation Tax liability in the amount
20 claimed in the certification, not to exceed 6.25% of the
21 receipts subject to tax from a qualifying purchase.
22 The Department may require returns to be filed on a
23 quarterly basis. If so required, a return for each calendar
24 quarter shall be filed on or before the twentieth day of the
25 calendar month following the end of such calendar quarter.
26 The taxpayer shall also file a return with the Department for
27 each of the first two months of each calendar quarter, on or
28 before the twentieth day of the following calendar month,
29 stating:
30 1. The name of the seller;
31 2. The address of the principal place of business
32 from which he engages in the business of selling tangible
33 personal property at retail in this State;
34 3. The total amount of taxable receipts received by
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1 him during the preceding calendar month from sales of
2 tangible personal property by him during such preceding
3 calendar month, including receipts from charge and time
4 sales, but less all deductions allowed by law;
5 4. The amount of credit provided in Section 2d of
6 this Act;
7 5. The amount of tax due; and
8 6. Such other reasonable information as the
9 Department may require.
10 If a total amount of less than $1 is payable, refundable
11 or creditable, such amount shall be disregarded if it is less
12 than 50 cents and shall be increased to $1 if it is 50 cents
13 or more.
14 Beginning October 1, 1993, a taxpayer who has an average
15 monthly tax liability of $150,000 or more shall make all
16 payments required by rules of the Department by electronic
17 funds transfer. Beginning October 1, 1994, a taxpayer who
18 has an average monthly tax liability of $100,000 or more
19 shall make all payments required by rules of the Department
20 by electronic funds transfer. Beginning October 1, 1995, a
21 taxpayer who has an average monthly tax liability of $50,000
22 or more shall make all payments required by rules of the
23 Department by electronic funds transfer. Beginning October
24 1, 2000, a taxpayer who has an annual tax liability of
25 $200,000 or more shall make all payments required by rules of
26 the Department by electronic funds transfer. The term
27 "annual tax liability" shall be the sum of the taxpayer's
28 liabilities under this Act, and under all other State and
29 local occupation and use tax laws administered by the
30 Department, for the immediately preceding calendar year. The
31 term "average monthly tax liability" shall be the sum of the
32 taxpayer's liabilities under this Act, and under all other
33 State and local occupation and use tax laws administered by
34 the Department, for the immediately preceding calendar year
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1 divided by 12.
2 Before August 1 of each year beginning in 1993, the
3 Department shall notify all taxpayers required to make
4 payments by electronic funds transfer. All taxpayers
5 required to make payments by electronic funds transfer shall
6 make those payments for a minimum of one year beginning on
7 October 1.
8 Any taxpayer not required to make payments by electronic
9 funds transfer may make payments by electronic funds transfer
10 with the permission of the Department.
11 All taxpayers required to make payment by electronic
12 funds transfer and any taxpayers authorized to voluntarily
13 make payments by electronic funds transfer shall make those
14 payments in the manner authorized by the Department.
15 The Department shall adopt such rules as are necessary to
16 effectuate a program of electronic funds transfer and the
17 requirements of this Section.
18 Any amount which is required to be shown or reported on
19 any return or other document under this Act shall, if such
20 amount is not a whole-dollar amount, be increased to the
21 nearest whole-dollar amount in any case where the fractional
22 part of a dollar is 50 cents or more, and decreased to the
23 nearest whole-dollar amount where the fractional part of a
24 dollar is less than 50 cents.
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
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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 with 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 Where the same person has more than one business
19 registered with the Department under separate registrations
20 under this Act, such person may not file each return that is
21 due as a single return covering all such registered
22 businesses, but shall file separate returns for each such
23 registered business.
24 In addition, with respect to motor vehicles, watercraft,
25 aircraft, and trailers that are required to be registered
26 with an agency of this State, every retailer selling this
27 kind of tangible personal property shall file, with the
28 Department, upon a form to be prescribed and supplied by the
29 Department, a separate return for each such item of tangible
30 personal property which the retailer sells, except that
31 where, in the same transaction, a retailer of aircraft,
32 watercraft, motor vehicles or trailers transfers more than
33 one aircraft, watercraft, motor vehicle or trailer to another
34 aircraft, watercraft, motor vehicle retailer or trailer
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1 retailer for the purpose of resale, that seller for resale
2 may report the transfer of all aircraft, watercraft, motor
3 vehicles or trailers involved in that transaction to the
4 Department on the same uniform invoice-transaction reporting
5 return form. For purposes of this Section, "watercraft"
6 means a Class 2, Class 3, or Class 4 watercraft as defined in
7 Section 3-2 of the Boat Registration and Safety Act, a
8 personal watercraft, or any boat equipped with an inboard
9 motor.
10 Any retailer who sells only motor vehicles, watercraft,
11 aircraft, or trailers that are required to be registered with
12 an agency of this State, so that all retailers' occupation
13 tax liability is required to be reported, and is reported, on
14 such transaction reporting returns and who is not otherwise
15 required to file monthly or quarterly returns, need not file
16 monthly or quarterly returns. However, those retailers shall
17 be required to file returns on an annual basis.
18 The transaction reporting return, in the case of motor
19 vehicles or trailers that are required to be registered with
20 an agency of this State, shall be the same document as the
21 Uniform Invoice referred to in Section 5-402 of The Illinois
22 Vehicle Code and must show the name and address of the
23 seller; the name and address of the purchaser; the amount of
24 the selling price including the amount allowed by the
25 retailer for traded-in property, if any; the amount allowed
26 by the retailer for the traded-in tangible personal property,
27 if any, to the extent to which Section 1 of this Act allows
28 an exemption for the value of traded-in property; the balance
29 payable after deducting such trade-in allowance from the
30 total selling price; the amount of tax due from the retailer
31 with respect to such transaction; the amount of tax collected
32 from the purchaser by the retailer on such transaction (or
33 satisfactory evidence that such tax is not due in that
34 particular instance, if that is claimed to be the fact); the
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1 place and date of the sale; a sufficient identification of
2 the property sold; such other information as is required in
3 Section 5-402 of The Illinois Vehicle Code, and such other
4 information as the Department may reasonably require.
5 The transaction reporting return in the case of
6 watercraft or aircraft must show the name and address of the
7 seller; the name and address of the purchaser; the amount of
8 the selling price including the amount allowed by the
9 retailer for traded-in property, if any; the amount allowed
10 by the retailer for the traded-in tangible personal property,
11 if any, to the extent to which Section 1 of this Act allows
12 an exemption for the value of traded-in property; the balance
13 payable after deducting such trade-in allowance from the
14 total selling price; the amount of tax due from the retailer
15 with respect to such transaction; the amount of tax collected
16 from the purchaser by the retailer on such transaction (or
17 satisfactory evidence that such tax is not due in that
18 particular instance, if that is claimed to be the fact); the
19 place and date of the sale, a sufficient identification of
20 the property sold, and such other information as the
21 Department may reasonably require.
22 Such transaction reporting return shall be filed not
23 later than 20 days after the day of delivery of the item that
24 is being sold, but may be filed by the retailer at any time
25 sooner than that if he chooses to do so. The transaction
26 reporting return and tax remittance or proof of exemption
27 from the Illinois use tax may be transmitted to the
28 Department by way of the State agency with which, or State
29 officer with whom the tangible personal property must be
30 titled or registered (if titling or registration is required)
31 if the Department and such agency or State officer determine
32 that this procedure will expedite the processing of
33 applications for title or registration.
34 With each such transaction reporting return, the retailer
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1 shall remit the proper amount of tax due (or shall submit
2 satisfactory evidence that the sale is not taxable if that is
3 the case), to the Department or its agents, whereupon the
4 Department shall issue, in the purchaser's name, a use tax
5 receipt (or a certificate of exemption if the Department is
6 satisfied that the particular sale is tax exempt) which such
7 purchaser may submit to the agency with which, or State
8 officer with whom, he must title or register the tangible
9 personal property that is involved (if titling or
10 registration is required) in support of such purchaser's
11 application for an Illinois certificate or other evidence of
12 title or registration to such tangible personal property.
13 No retailer's failure or refusal to remit tax under this
14 Act precludes a user, who has paid the proper tax to the
15 retailer, from obtaining his certificate of title or other
16 evidence of title or registration (if titling or registration
17 is required) upon satisfying the Department that such user
18 has paid the proper tax (if tax is due) to the retailer. The
19 Department shall adopt appropriate rules to carry out the
20 mandate of this paragraph.
21 If the user who would otherwise pay tax to the retailer
22 wants the transaction reporting return filed and the payment
23 of the tax or proof of exemption made to the Department
24 before the retailer is willing to take these actions and such
25 user has not paid the tax to the retailer, such user may
26 certify to the fact of such delay by the retailer and may
27 (upon the Department being satisfied of the truth of such
28 certification) transmit the information required by the
29 transaction reporting return and the remittance for tax or
30 proof of exemption directly to the Department and obtain his
31 tax receipt or exemption determination, in which event the
32 transaction reporting return and tax remittance (if a tax
33 payment was required) shall be credited by the Department to
34 the proper retailer's account with the Department, but
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1 without the 2.1% or 1.75% discount provided for in this
2 Section being allowed. When the user pays the tax directly
3 to the Department, he shall pay the tax in the same amount
4 and in the same form in which it would be remitted if the tax
5 had been remitted to the Department by the retailer.
6 Refunds made by the seller during the preceding return
7 period to purchasers, on account of tangible personal
8 property returned to the seller, shall be allowed as a
9 deduction under subdivision 5 of his monthly or quarterly
10 return, as the case may be, in case the seller had
11 theretofore included the receipts from the sale of such
12 tangible personal property in a return filed by him and had
13 paid the tax imposed by this Act with respect to such
14 receipts.
15 Where the seller is a corporation, the return filed on
16 behalf of such corporation shall be signed by the president,
17 vice-president, secretary or treasurer or by the properly
18 accredited agent of such corporation.
19 Where the seller is a limited liability company, the
20 return filed on behalf of the limited liability company shall
21 be signed by a manager, member, or properly accredited agent
22 of the limited liability company.
23 Except as provided in this Section, the retailer filing
24 the return under this Section shall, at the time of filing
25 such return, pay to the Department the amount of tax imposed
26 by this Act less a discount of 2.1% prior to January 1, 1990
27 and 1.75% on and after January 1, 1990, or $5 per calendar
28 year, whichever is greater, which is allowed to reimburse the
29 retailer for the expenses incurred in keeping records,
30 preparing and filing returns, remitting the tax and supplying
31 data to the Department on request. Any prepayment made
32 pursuant to Section 2d of this Act shall be included in the
33 amount on which such 2.1% or 1.75% discount is computed. In
34 the case of retailers who report and pay the tax on a
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1 transaction by transaction basis, as provided in this
2 Section, such discount shall be taken with each such tax
3 remittance instead of when such retailer files his periodic
4 return.
5 Before October 1, 2000, if the taxpayer's average monthly
6 tax liability to the Department under this Act, the Use Tax
7 Act, the Service Occupation Tax Act, and the Service Use Tax
8 Act, excluding any liability for prepaid sales tax to be
9 remitted in accordance with Section 2d of this Act, was
10 $10,000 or more during the preceding 4 complete calendar
11 quarters, he shall file a return with the Department each
12 month by the 20th day of the month next following the month
13 during which such tax liability is incurred and shall make
14 payments to the Department on or before the 7th, 15th, 22nd
15 and last day of the month during which such liability is
16 incurred. On and after October 1, 2000, if the taxpayer's
17 average monthly tax liability to the Department under this
18 Act, the Use Tax Act, the Service Occupation Tax Act, and the
19 Service Use Tax Act, excluding any liability for prepaid
20 sales tax to be remitted in accordance with Section 2d of
21 this Act, was $20,000 or more during the preceding 4 complete
22 calendar quarters, he shall file a return with the Department
23 each month by the 20th day of the month next following the
24 month during which such tax liability is incurred and shall
25 make payment to the Department on or before the 7th, 15th,
26 22nd and last day of the month during which such liability is
27 incurred. If the month during which such tax liability is
28 incurred began prior to January 1, 1985, each payment shall
29 be in an amount equal to 1/4 of the taxpayer's actual
30 liability for the month or an amount set by the Department
31 not to exceed 1/4 of the average monthly liability of the
32 taxpayer to the Department for the preceding 4 complete
33 calendar quarters (excluding the month of highest liability
34 and the month of lowest liability in such 4 quarter period).
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1 If the month during which such tax liability is incurred
2 begins on or after January 1, 1985 and prior to January 1,
3 1987, each payment shall be in an amount equal to 22.5% of
4 the taxpayer's actual liability for the month or 27.5% of the
5 taxpayer's liability for the same calendar month of the
6 preceding year. If the month during which such tax liability
7 is incurred begins on or after January 1, 1987 and prior to
8 January 1, 1988, each payment shall be in an amount equal to
9 22.5% of the taxpayer's actual liability for the month or
10 26.25% of the taxpayer's liability for the same calendar
11 month of the preceding year. If the month during which such
12 tax liability is incurred begins on or after January 1, 1988,
13 and prior to January 1, 1989, or begins on or after January
14 1, 1996, each payment shall be in an amount equal to 22.5% of
15 the taxpayer's actual liability for the month or 25% of the
16 taxpayer's liability for the same calendar month of the
17 preceding year. If the month during which such tax liability
18 is incurred begins on or after January 1, 1989, and prior to
19 January 1, 1996, each payment shall be in an amount equal to
20 22.5% of the taxpayer's actual liability for the month or 25%
21 of the taxpayer's liability for the same calendar month of
22 the preceding year or 100% of the taxpayer's actual liability
23 for the quarter monthly reporting period. 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.
26 Before October 1, 2000, once applicable, the requirement of
27 the making of quarter monthly payments to the Department by
28 taxpayers having an average monthly tax liability of $10,000
29 or more as determined in the manner provided above shall
30 continue until such taxpayer's average monthly liability to
31 the Department during the preceding 4 complete calendar
32 quarters (excluding the month of highest liability and the
33 month of lowest liability) is less than $9,000, or until such
34 taxpayer's average monthly liability to the Department as
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1 computed for each calendar quarter of the 4 preceding
2 complete calendar quarter period is less than $10,000.
3 However, if a taxpayer can show the Department that a
4 substantial change in the taxpayer's business has occurred
5 which causes the taxpayer to anticipate that his average
6 monthly tax liability for the reasonably foreseeable future
7 will fall below the $10,000 threshold stated above, then such
8 taxpayer may petition the Department for a change in such
9 taxpayer's reporting status. On and after October 1, 2000,
10 once applicable, the requirement of the making of quarter
11 monthly payments to the Department by taxpayers having an
12 average monthly tax liability of $20,000 or more as
13 determined in the manner provided above shall continue until
14 such taxpayer's average monthly liability to the Department
15 during the preceding 4 complete calendar quarters (excluding
16 the month of highest liability and the month of lowest
17 liability) is less than $19,000 or until such taxpayer's
18 average monthly liability to the Department as computed for
19 each calendar quarter of the 4 preceding complete calendar
20 quarter period is less than $20,000. However, if a taxpayer
21 can show the Department that a substantial change in the
22 taxpayer's business has occurred which causes the taxpayer to
23 anticipate that his average monthly tax liability for the
24 reasonably foreseeable future will fall below the $20,000
25 threshold stated above, then such taxpayer may petition the
26 Department for a change in such taxpayer's reporting status.
27 The Department shall change such taxpayer's reporting status
28 unless it finds that such change is seasonal in nature and
29 not likely to be long term. If any such quarter monthly
30 payment is not paid at the time or in the amount required by
31 this Section, then the taxpayer shall be liable for penalties
32 and interest on the difference between the minimum amount due
33 as a payment and the amount of such quarter monthly payment
34 actually and timely paid, except insofar as the taxpayer has
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1 previously made payments for that month to the Department in
2 excess of the minimum payments previously due as provided in
3 this Section. The Department shall make reasonable rules and
4 regulations to govern the quarter monthly payment amount and
5 quarter monthly payment dates for taxpayers who file on other
6 than a calendar monthly basis.
7 Without regard to whether a taxpayer is required to make
8 quarter monthly payments as specified above, any taxpayer who
9 is required by Section 2d of this Act to collect and remit
10 prepaid taxes and has collected prepaid taxes which average
11 in excess of $25,000 per month during the preceding 2
12 complete calendar quarters, shall file a return with the
13 Department as required by Section 2f and shall make payments
14 to the Department on or before the 7th, 15th, 22nd and last
15 day of the month during which such liability is incurred. If
16 the month during which such tax liability is incurred began
17 prior to the effective date of this amendatory Act of 1985,
18 each payment shall be in an amount not less than 22.5% of the
19 taxpayer's actual liability under Section 2d. If the month
20 during which such tax liability is incurred begins on or
21 after January 1, 1986, each payment shall be in an amount
22 equal to 22.5% of the taxpayer's actual liability for the
23 month or 27.5% of the taxpayer's liability for the same
24 calendar month of the preceding calendar year. If the month
25 during which such tax liability is incurred begins on or
26 after January 1, 1987, each payment shall be in an amount
27 equal to 22.5% of the taxpayer's actual liability for the
28 month or 26.25% of the taxpayer's liability for the same
29 calendar month of the preceding year. The amount of such
30 quarter monthly payments shall be credited against the final
31 tax liability of the taxpayer's return for that month filed
32 under this Section or Section 2f, as the case may be. Once
33 applicable, the requirement of the making of quarter monthly
34 payments to the Department pursuant to this paragraph shall
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1 continue until such taxpayer's average monthly prepaid tax
2 collections during the preceding 2 complete calendar quarters
3 is $25,000 or less. If any such quarter monthly payment is
4 not paid at the time or in the amount required, the taxpayer
5 shall be liable for penalties and interest on such
6 difference, except insofar as the taxpayer has previously
7 made payments for that month in excess of the minimum
8 payments previously due.
9 If any payment provided for in this Section exceeds the
10 taxpayer's liabilities under this Act, the Use Tax Act, the
11 Service Occupation Tax Act and the Service Use Tax Act, as
12 shown on an original monthly return, the Department shall, if
13 requested by the taxpayer, issue to the taxpayer a credit
14 memorandum no later than 30 days after the date of payment.
15 The credit evidenced by such credit memorandum may be
16 assigned by the taxpayer to a similar taxpayer under this
17 Act, the Use Tax Act, the Service Occupation Tax Act or the
18 Service Use Tax Act, in accordance with reasonable rules and
19 regulations to be prescribed by the Department. If no such
20 request is made, the taxpayer may credit such excess payment
21 against tax liability subsequently to be remitted to the
22 Department under this Act, the Use Tax Act, the Service
23 Occupation Tax Act or the Service Use Tax Act, in accordance
24 with reasonable rules and regulations prescribed by the
25 Department. If the Department subsequently determined that
26 all or any part of the credit taken was not actually due to
27 the taxpayer, the taxpayer's 2.1% and 1.75% vendor's discount
28 shall be reduced by 2.1% or 1.75% of the difference between
29 the credit taken and that actually due, and that taxpayer
30 shall be liable for penalties and interest on such
31 difference.
32 If a retailer of motor fuel is entitled to a credit under
33 Section 2d of this Act which exceeds the taxpayer's liability
34 to the Department under this Act for the month which the
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1 taxpayer is filing a return, the Department shall issue the
2 taxpayer a credit memorandum for the excess.
3 Beginning January 1, 2001, if a taxpayer's average
4 monthly tax liability to the Department under this Act, the
5 Use Tax Act, the Service Occupation Tax Act, and the Service
6 Use Tax Act, excluding any liability for prepaid sales tax to
7 be remitted in accordance with Section 2d of this Act,
8 exceeds $50, the taxpayer is eligible to file returns under
9 this Act on a quarter annual basis. The Department shall
10 provide, by reasonable rules, for a phase-in period not to
11 exceed one year for the conversion to quarter annual filing
12 of returns for taxpayers formerly required to file on a
13 monthly basis and the methodology for determining a
14 taxpayer's quarter annual filing periods. The Department
15 shall notify each taxpayer, in writing, of the taxpayer's
16 change in return filing frequency, if any, no less than 120
17 days in advance of the change in filing frequency and the
18 dates determined for the close of the taxpayer's quarter
19 annual periods. Except as otherwise provided in this
20 Section, every person engaged in the business of selling
21 tangible personal property at retail in this State during the
22 preceding quarter annual filing period shall file a return
23 with the Department no later than the 20th day of the month
24 next following the close of the taxpayer's quarter annual
25 filing period. If a retailer's average monthly tax liability
26 to the Department does not exceed $50, the Department may
27 authorize the retailer's return to be filed on an annual
28 basis, with the return for a given year being due by January
29 20 of the following year. This amendatory Act of the 91st
30 General Assembly does not change the filing requirements for
31 retailers who sell only motor vehicles, watercraft, aircraft,
32 and trailers that are required to be registered with an
33 agency of this State. Such retailers shall be required to
34 file an annual return no later than January 20 of the
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1 following year provided that all tax liability is reported on
2 transaction reporting returns required by this Section to be
3 filed no later than 20 days after the day of delivery of the
4 item that is being sold.
5 Beginning January 1, 2001, if the taxpayer's average
6 monthly tax liability to the Department under this Act, the
7 Use Tax Act, the Service Occupation Tax Act, and the Service
8 Use Tax Act, excluding any liability for prepaid sales tax to
9 be remitted in accordance with Section 2d of this Act, was
10 $10,000 or more during the preceding 4 complete quarter
11 annual periods, the taxpayer shall continue to make payment
12 of tax due by the method prescribed by this Section on the
13 7th, 15th, 22nd, and last day of the month during which the
14 liability is incurred. The amount of the quarter monthly
15 payments shall be credited against the final tax liability of
16 the taxpayer's return for that quarter annual period.
17 Beginning January 1, 2001, if the taxpayer's average monthly
18 tax liability to the Department under this Act, the Use Tax
19 Act, the Service Occupation Tax Act, and the Service Use Tax
20 Act, excluding any liability for prepaid sales tax to be
21 remitted in accordance with Section 2d of this Act, was less
22 than $10,000 but more than $50 during the preceding 4
23 complete quarter annual periods, the taxpayer shall continue
24 to make payment of tax due to the Department as prescribed by
25 this Section on or before the 20th day of the month next
26 following the month in which the tax liability is incurred.
27 The amount of the monthly payments shall be credited against
28 the final tax liability of the taxpayer's return for that
29 quarter annual period. If a taxpayer is authorized to file
30 an annual return by the Department, payment of tax due shall
31 accompany the taxpayer's annual return due no later than
32 January 20 of the following year. Retailers who sell motor
33 vehicles, watercraft, aircraft, and trailers that are
34 required to registered with an agency of this State shall be
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1 required to remit the tax due with each transaction reporting
2 return required to be filed by this Section. This amendatory
3 Act of the 91st General Assembly does not change the
4 thresholds or requirements provided in this Section for the
5 payment of tax due by electronic funds transfer. A retailer
6 shall, at the time each tax payment is due, as provided in
7 this Section, pay to the Department the amount of tax imposed
8 by this Act less a discount of 1.75% or $5 per calendar year,
9 whichever is greater, which is allowed to reimburse the
10 retailer for the expenses incurred in keeping records,
11 preparing and filing returns, remitting the tax, and
12 supplying data to the Department on request. Any prepayment
13 made pursuant to Section 2d of this Act shall be included in
14 the amount on which the 1.75% discount is computed. In the
15 case of retailers who report and pay the tax on a transaction
16 by transaction basis, as provided in this Section, the
17 discount shall be taken with each such tax remittance instead
18 of when the retailer files his quarter annual or annual
19 return.
20 Beginning January 1, 1990, each month the Department
21 shall pay into the Local Government Tax Fund, a special fund
22 in the State treasury which is hereby created, the net
23 revenue realized for the preceding month from the 1% tax on
24 sales of food for human consumption which is to be consumed
25 off the premises where it is sold (other than alcoholic
26 beverages, soft drinks and food which has been prepared for
27 immediate consumption) and prescription and nonprescription
28 medicines, drugs, medical appliances and insulin, urine
29 testing materials, syringes and needles used by diabetics.
30 Beginning January 1, 1990, each month the Department
31 shall pay into the County and Mass Transit District Fund, a
32 special fund in the State treasury which is hereby created,
33 4% of the net revenue realized for the preceding month from
34 the 6.25% general rate.
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1 Beginning January 1, 1990, each month the Department
2 shall pay into the Local Government Tax Fund 16% of the net
3 revenue realized for the preceding month from the 6.25%
4 general rate on the selling price of tangible personal
5 property.
6 Of the remainder of the moneys received by the Department
7 pursuant to this Act, (a) 1.75% thereof shall be paid into
8 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
9 and on and after July 1, 1989, 3.8% thereof shall be paid
10 into the Build Illinois Fund; provided, however, that if in
11 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
12 as the case may be, of the moneys received by the Department
13 and required to be paid into the Build Illinois Fund pursuant
14 to this Act, Section 9 of the Use Tax Act, Section 9 of the
15 Service Use Tax Act, and Section 9 of the Service Occupation
16 Tax Act, such Acts being hereinafter called the "Tax Acts"
17 and such aggregate of 2.2% or 3.8%, as the case may be, of
18 moneys being hereinafter called the "Tax Act Amount", and (2)
19 the amount transferred to the Build Illinois Fund from the
20 State and Local Sales Tax Reform Fund shall be less than the
21 Annual Specified Amount (as hereinafter defined), an amount
22 equal to the difference shall be immediately paid into the
23 Build Illinois Fund from other moneys received by the
24 Department pursuant to the Tax Acts; the "Annual Specified
25 Amount" means the amounts specified below for fiscal years
26 1986 through 1993:
27 Fiscal Year Annual Specified Amount
28 1986 $54,800,000
29 1987 $76,650,000
30 1988 $80,480,000
31 1989 $88,510,000
32 1990 $115,330,000
33 1991 $145,470,000
34 1992 $182,730,000
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1 1993 $206,520,000;
2 and means the Certified Annual Debt Service Requirement (as
3 defined in Section 13 of the Build Illinois Bond Act) or the
4 Tax Act Amount, whichever is greater, for fiscal year 1994
5 and each fiscal year thereafter; and further provided, that
6 if on the last business day of any month the sum of (1) the
7 Tax Act Amount required to be deposited into the Build
8 Illinois Bond Account in the Build Illinois Fund during such
9 month and (2) the amount transferred to the Build Illinois
10 Fund from the State and Local Sales Tax Reform Fund shall
11 have been less than 1/12 of the Annual Specified Amount, an
12 amount equal to the difference shall be immediately paid into
13 the Build Illinois Fund from other moneys received by the
14 Department pursuant to the Tax Acts; and, further provided,
15 that in no event shall the payments required under the
16 preceding proviso result in aggregate payments into the Build
17 Illinois Fund pursuant to this clause (b) for any fiscal year
18 in excess of the greater of (i) the Tax Act Amount or (ii)
19 the Annual Specified Amount for such fiscal year. The
20 amounts payable into the Build Illinois Fund under clause (b)
21 of the first sentence in this paragraph shall be payable only
22 until such time as the aggregate amount on deposit under each
23 trust indenture securing Bonds issued and outstanding
24 pursuant to the Build Illinois Bond Act is sufficient, taking
25 into account any future investment income, to fully provide,
26 in accordance with such indenture, for the defeasance of or
27 the payment of the principal of, premium, if any, and
28 interest on the Bonds secured by such indenture and on any
29 Bonds expected to be issued thereafter and all fees and costs
30 payable with respect thereto, all as certified by the
31 Director of the Bureau of the Budget. If on the last
32 business day of any month in which Bonds are outstanding
33 pursuant to the Build Illinois Bond Act, the aggregate of
34 moneys deposited in the Build Illinois Bond Account in the
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1 Build Illinois Fund in such month shall be less than the
2 amount required to be transferred in such month from the
3 Build Illinois Bond Account to the Build Illinois Bond
4 Retirement and Interest Fund pursuant to Section 13 of the
5 Build Illinois Bond Act, an amount equal to such deficiency
6 shall be immediately paid from other moneys received by the
7 Department pursuant to the Tax Acts to the Build Illinois
8 Fund; provided, however, that any amounts paid to the Build
9 Illinois Fund in any fiscal year pursuant to this sentence
10 shall be deemed to constitute payments pursuant to clause (b)
11 of the first sentence of this paragraph and shall reduce the
12 amount otherwise payable for such fiscal year pursuant to
13 that clause (b). The moneys received by the Department
14 pursuant to this Act and required to be deposited into the
15 Build Illinois Fund are subject to the pledge, claim and
16 charge set forth in Section 12 of the Build Illinois Bond
17 Act.
18 Subject to payment of amounts into the Build Illinois
19 Fund as provided in the preceding paragraph or in any
20 amendment thereto hereafter enacted, the following specified
21 monthly installment of the amount requested in the
22 certificate of the Chairman of the Metropolitan Pier and
23 Exposition Authority provided under Section 8.25f of the
24 State Finance Act, but not in excess of sums designated as
25 "Total Deposit", shall be deposited in the aggregate from
26 collections under Section 9 of the Use Tax Act, Section 9 of
27 the Service Use Tax Act, Section 9 of the Service Occupation
28 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
29 into the McCormick Place Expansion Project Fund in the
30 specified fiscal years.
31 Fiscal Year Total Deposit
32 1993 $0
33 1994 53,000,000
34 1995 58,000,000
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1 1996 61,000,000
2 1997 64,000,000
3 1998 68,000,000
4 1999 71,000,000
5 2000 75,000,000
6 2001 80,000,000
7 2002 84,000,000
8 2003 89,000,000
9 2004 93,000,000
10 2005 97,000,000
11 2006 102,000,000
12 2007 108,000,000
13 2008 115,000,000
14 2009 120,000,000
15 2010 126,000,000
16 2011 132,000,000
17 2012 138,000,000
18 2013 and 145,000,000
19 each fiscal year
20 thereafter that bonds
21 are outstanding under
22 Section 13.2 of the
23 Metropolitan Pier and
24 Exposition Authority
25 Act, but not after fiscal year 2029.
26 Beginning July 20, 1993 and in each month of each fiscal
27 year thereafter, one-eighth of the amount requested in the
28 certificate of the Chairman of the Metropolitan Pier and
29 Exposition Authority for that fiscal year, less the amount
30 deposited into the McCormick Place Expansion Project Fund by
31 the State Treasurer in the respective month under subsection
32 (g) of Section 13 of the Metropolitan Pier and Exposition
33 Authority Act, plus cumulative deficiencies in the deposits
34 required under this Section for previous months and years,
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1 shall be deposited into the McCormick Place Expansion Project
2 Fund, until the full amount requested for the fiscal year,
3 but not in excess of the amount specified above as "Total
4 Deposit", has been deposited.
5 Subject to payment of amounts into the Build Illinois
6 Fund and the McCormick Place Expansion Project Fund pursuant
7 to the preceding paragraphs or in any amendment thereto
8 hereafter enacted, each month the Department shall pay into
9 the Local Government Distributive Fund 0.4% of the net
10 revenue realized for the preceding month from the 5% general
11 rate or 0.4% of 80% of the net revenue realized for the
12 preceding month from the 6.25% general rate, as the case may
13 be, on the selling price of tangible personal property which
14 amount shall, subject to appropriation, be distributed as
15 provided in Section 2 of the State Revenue Sharing Act. No
16 payments or distributions pursuant to this paragraph shall be
17 made if the tax imposed by this Act on photoprocessing
18 products is declared unconstitutional, or if the proceeds
19 from such tax are unavailable for distribution because of
20 litigation.
21 Subject to payment of amounts into the Build Illinois
22 Fund, the McCormick Place Expansion Project 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 Of the remainder of the moneys received by the Department
30 pursuant to this Act, 75% thereof shall be paid into the
31 State Treasury and 25% shall be reserved in a special account
32 and used only for the transfer to the Common School Fund as
33 part of the monthly transfer from the General Revenue Fund in
34 accordance with Section 8a of the State Finance Act.
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1 The Department may, upon separate written notice to a
2 taxpayer, require the taxpayer to prepare and file with the
3 Department on a form prescribed by the Department within not
4 less than 60 days after receipt of the notice an annual
5 information return for the tax year specified in the notice.
6 Such annual return to the Department shall include a
7 statement of gross receipts as shown by the retailer's last
8 Federal income tax return. If the total receipts of the
9 business as reported in the Federal income tax return do not
10 agree with the gross receipts reported to the Department of
11 Revenue for the same period, the retailer shall attach to his
12 annual return a schedule showing a reconciliation of the 2
13 amounts and the reasons for the difference. The retailer's
14 annual return to the Department shall also disclose the cost
15 of goods sold by the retailer during the year covered by such
16 return, opening and closing inventories of such goods for
17 such year, costs of goods used from stock or taken from stock
18 and given away by the retailer during such year, payroll
19 information of the retailer's business during such year and
20 any additional reasonable information which the Department
21 deems would be helpful in determining the accuracy of the
22 monthly, quarterly or annual returns filed by such retailer
23 as provided for in this Section.
24 If the annual information return required by this Section
25 is not filed when and as required, the taxpayer shall be
26 liable as follows:
27 (i) Until January 1, 1994, the taxpayer shall be
28 liable for a penalty equal to 1/6 of 1% of the tax due
29 from such taxpayer under this Act during the period to be
30 covered by the annual return for each month or fraction
31 of a month until such return is filed as required, the
32 penalty to be assessed and collected in the same manner
33 as any other penalty provided for in this Act.
34 (ii) On and after January 1, 1994, the taxpayer
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1 shall be liable for a penalty as described in Section 3-4
2 of the Uniform Penalty and Interest Act.
3 The chief executive officer, proprietor, owner or highest
4 ranking manager shall sign the annual return to certify the
5 accuracy of the information contained therein. Any person
6 who willfully signs the annual return containing false or
7 inaccurate information shall be guilty of perjury and
8 punished accordingly. The annual return form prescribed by
9 the Department shall include a warning that the person
10 signing the return may be liable for perjury.
11 The provisions of this Section concerning the filing of
12 an annual information return do not apply to a retailer who
13 is not required to file an income tax return with the United
14 States Government.
15 As soon as possible after the first day of each month,
16 upon certification of the Department of Revenue, the
17 Comptroller shall order transferred and the Treasurer shall
18 transfer from the General Revenue Fund to the Motor Fuel Tax
19 Fund an amount equal to 1.7% of 80% of the net revenue
20 realized under this Act for the second preceding month.
21 Beginning April 1, 2000, this transfer is no longer required
22 and shall not be made.
23 Net revenue realized for a month shall be the revenue
24 collected by the State pursuant to this Act, less the amount
25 paid out during that month as refunds to taxpayers for
26 overpayment of liability.
27 For greater simplicity of administration, manufacturers,
28 importers and wholesalers whose products are sold at retail
29 in Illinois by numerous retailers, and who wish to do so, may
30 assume the responsibility for accounting and paying to the
31 Department all tax accruing under this Act with respect to
32 such sales, if the retailers who are affected do not make
33 written objection to the Department to this arrangement.
34 Any person who promotes, organizes, provides retail
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1 selling space for concessionaires or other types of sellers
2 at the Illinois State Fair, DuQuoin State Fair, county fairs,
3 local fairs, art shows, flea markets and similar exhibitions
4 or events, including any transient merchant as defined by
5 Section 2 of the Transient Merchant Act of 1987, is required
6 to file a report with the Department providing the name of
7 the merchant's business, the name of the person or persons
8 engaged in merchant's business, the permanent address and
9 Illinois Retailers Occupation Tax Registration Number of the
10 merchant, the dates and location of the event and other
11 reasonable information that the Department may require. The
12 report must be filed not later than the 20th day of the month
13 next following the month during which the event with retail
14 sales was held. Any person who fails to file a report
15 required by this Section commits a business offense and is
16 subject to a fine not to exceed $250.
17 Any person engaged in the business of selling tangible
18 personal property at retail as a concessionaire or other type
19 of seller at the Illinois State Fair, county fairs, art
20 shows, flea markets and similar exhibitions or events, or any
21 transient merchants, as defined by Section 2 of the Transient
22 Merchant Act of 1987, may be required to make a daily report
23 of the amount of such sales to the Department and to make a
24 daily payment of the full amount of tax due. The Department
25 shall impose this requirement when it finds that there is a
26 significant risk of loss of revenue to the State at such an
27 exhibition or event. Such a finding shall be based on
28 evidence that a substantial number of concessionaires or
29 other sellers who are not residents of Illinois will be
30 engaging in the business of selling tangible personal
31 property at retail at the exhibition or event, or other
32 evidence of a significant risk of loss of revenue to the
33 State. The Department shall notify concessionaires and other
34 sellers affected by the imposition of this requirement. In
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1 the absence of notification by the Department, the
2 concessionaires and other sellers shall file their returns as
3 otherwise required in this Section.
4 (Source: P.A. 90-491, eff. 1-1-99; 90-612, eff. 7-8-98;
5 91-37, eff. 7-1-99; 91-51, eff. 6-30-99; 91-101, eff.
6 7-12-99; 91-541, eff. 8-13-99; revised 9-29-99.)
7 Section 99. Effective date. This Act takes effect upon
8 becoming law.