Public Act 93-0031

SB1733 Enrolled                      LRB093 03177 JLS 03194 b

    AN ACT in relation to taxes.

    Be it enacted by the People of  the  State  of  Illinois,
represented in the General Assembly:

                          ARTICLE 5

    Section  5-1.  Short  title. This Article may be cited as
the Gas Use Tax Law.

    Section 5-5. Definitions.  For purposes of this Law:
    "Delivering supplier" means any  person  engaged  in  the
business  of delivering gas to persons for use or consumption
and not for resale, and who, in any case where more than  one
person  participates  in  the  delivery  of gas to a specific
purchaser, is the last of the suppliers engaged in delivering
the gas prior to its receipt by the purchaser.
    "Delivering supplier maintaining a place of  business  in
this  State", or any like term, means any delivering supplier
having or maintaining within this State,  directly  or  by  a
subsidiary,  an  office, distribution facility, sales office,
or other place of business, or any employee, agent, or  other
representative   operating   within   this  State  under  the
authority of such  delivering  supplier  or  such  delivering
supplier's  subsidiary, irrespective of whether such place of
business or agent or other representative is located in  this
State  permanently or temporarily, or whether such delivering
supplier or such delivering supplier's subsidiary is licensed
to do business in this State.
    "Department" means the Department of Revenue of the State
of Illinois.
    "Director" means the Director of Revenue.
    "Gas"  means  any  gaseous  fuel  distributed  through  a
pipeline system.
    "Person"  means  any  natural  individual,  firm,  trust,
estate, partnership, association, joint stock company,  joint
adventure,  corporation,  limited  liability  company,  or  a
receiver,   trustee,   guardian,   or   other  representative
appointed by order of any court, or any city,  town,  county,
or other political subdivision of this State.
    "Purchase  of  out-of-State  gas" means a transaction for
the purchase of gas from any supplier in a manner  that  does
not subject the seller of that gas to liability under the Gas
Revenue Tax Act.
    "Purchase  price"  means  the  consideration paid for the
distribution, supply, furnishing,  sale,  transportation,  or
delivery  of  gas  to a person for use or consumption and not
for resale, and for all  services  directly  related  to  the
production,    transportation,   or   distribution   of   gas
distributed,  supplied,  furnished,  sold,  transmitted,   or
delivered  for  use or consumption, including cash, services,
and property of every kind and  nature.   However,  "purchase
price" shall not include consideration paid for:
         (i) Any charge for a dishonored check.
         (ii)  Any  finance or credit charge, penalty, charge
    for delayed payment, or discount for prompt payment.
         (iii) Any charge for reconnection of service or  for
    replacement or relocation of facilities.
         (iv)   Any   advance   or  contribution  in  aid  of
    construction.
         (v) Repair, inspection, or  servicing  of  equipment
    located on customer premises.
         (vi)  Leasing or rental of equipment, the leasing or
    rental  of  which  is  not   necessary   to   furnishing,
    supplying, or selling gas.
         (vii)  Any  purchase by a purchaser if the  supplier
    is prohibited by federal or State  constitution,  treaty,
    convention,  statute,  or  court decision from recovering
    the related tax liability from such purchaser.
         (viii)  Any  amounts  added  to  purchasers'   bills
    because  of  changes  made pursuant to the tax imposed by
    this Law.
In case credit is  extended,  the  amount  thereof  shall  be
included only as and when payments are received.
    "Purchaser"  means  any person who acquires the ownership
of gas for use or consumption, and  not  for  resale,  for  a
valuable consideration.
    "Self-assessing  purchaser"  means a purchaser of gas for
use or consumption that is required to be registered with the
Department and is responsible for filing returns  and  paying
the tax imposed under this Law directly to the Department.
    "Use"  means  the  exercise by any person of any right or
power over gas incident to the ownership of that gas,  except
that  it  does  not  include  the  sale of gas in the regular
course of business.

    Section 5-10. Imposition of  tax.  Beginning  October  1,
2003,  a  tax  is imposed upon the privilege of using in this
State gas obtained in a purchase of out-of-state gas  at  the
rate  of  2.4 cents per therm or 5% of the purchase price for
the billing period, whichever is the  lower  rate.  Such  tax
rate  shall  be  referred to as the "self-assessing purchaser
tax  rate".  Beginning  with  bills  issued   by   delivering
suppliers  on and after October 1, 2003, purchasers may elect
an alternative tax rate of 2.4 cents per  therm  to  be  paid
under  the  provisions  of  Section  5-15  of  this  Law to a
delivering supplier maintaining a place of business  in  this
State.  Such  tax rate shall be referred to as the "alternate
tax rate". The tax imposed under this Section shall not apply
to gas used by business enterprises certified  under  Section
9-222.1  of  the  Public  Utilities  Act,  as amended, to the
extent of such  exemption  and  during  the  period  of  time
specified   by  the  Department  of  Commerce  and  Community
Affairs.

    Section 5-15. Collection of Gas Use Tax; relief of  duty.
Beginning  with  bills issued on and after October 1, 2003, a
delivering supplier maintaining a place of business  in  this
State shall collect, from the purchasers who have elected the
alternate  tax rate provided in Section 5-10 of this Law, the
tax that is imposed by this Law at the  alternate  2.4  cents
per  therm rate. The tax imposed at the alternate tax rate by
this Law shall, when collected, be stated as a  distinct  and
separate  item  apart  from the selling price of the gas. The
tax collected by any delivering supplier shall  constitute  a
debt  owed  by  that  person to this State. Upon receipt by a
delivering  supplier  of  a  copy   of   a   certificate   of
registration  issued  to  a  self-assessing  purchaser  under
Section  5-20  of  this  Law,  that  delivering  supplier  is
relieved  of  the duty to collect the alternate tax from that
self-assessing purchaser beginning with bills issued to  that
self-assessing purchaser 30 or more days after receipt of the
copy of that certificate of registration.

    Section   5-20.  Self-assessing  purchaser  registration;
certificate of registration. Any purchaser who does not elect
the alternate tax rate to be paid to  a  delivering  supplier
shall  register  with  the  Department  as  a  self-assessing
purchaser and pay the tax imposed by Section 5-10 of this Law
directly  to  the  Department at the self-assessing purchaser
rate.
    A purchaser registering as a self-assessing purchaser may
not  revoke  such  registration  for  at   least   one   year
thereafter.  Application for a certificate of registration as
a self-assessing purchaser shall be made  to  the  Department
upon  forms furnished by the Department and shall contain any
reasonable information that the Department may  require.  The
self-assessing  purchaser  shall  be required to disclose the
name  of  the  delivering  supplier  or  suppliers  who   are
delivering  the  gas  upon which the self-assessing purchaser
will be paying tax directly to the Department.
    Upon receipt of the  application  for  a  certificate  of
registration  in  proper  form, the Department shall issue to
the  applicant   a   certificate   of   registration   as   a
self-assessing  purchaser. The applicant shall provide a copy
of  the  certificate  of  registration  as  a  self-assessing
purchaser  to  the   applicant's   delivering   supplier   or
suppliers.

    Section  5-25.  Self-assessing  purchaser;  direct return
and payment of tax. Except for purchasers who have chosen the
alternate tax rate  to  be  paid  to  a  delivering  supplier
maintaining  a  place  of  business  in  this  State, the tax
imposed in Section 5-10 of this Law  shall  be  paid  to  the
Department  directly  by each self-assessing purchaser who is
subject to the tax imposed by this Law.  Each  self-assessing
purchaser  shall,  on  or  before the 15th day of each month,
make a return to the Department for  the  preceding  calendar
month, stating the following:
         (1)  His or her name and principal address.
         (2)  The  total  number of therms used by him or her
    during the preceding calendar month and upon the basis of
    which the tax is imposed.
         (3)  The purchase price of gas used by  him  or  her
    during the preceding calendar month and upon the basis of
    which the tax is imposed.
         (4)  Amount of tax (computed upon items 2 and 3).
         (5)  Such   other   reasonable  information  as  the
    Department may require.
    In making such return, the self-assessing  purchaser  may
use  any  reasonable method to derive reportable "therms" and
"purchase price" from his or her billing and payment records.
    If the average monthly liability  of  the  self-assessing
purchaser  to  the  Department  does  not  exceed  $100,  the
Department  may authorize his or her returns to be filed on a
quarter-annual basis, with the return for January,  February,
and March of a given year being due by April 30 of such year;
with  the  return  for  April,  May, and June of a given year
being due by July 31 of such year; with the return for  July,
August, and September of a given year being due by October 31
of  such year; and with the return for October, November, and
December of a given year being  due  by  January  31  of  the
following year.
    If  the  average  monthly liability of the self-assessing
purchaser  to  the  Department  does  not  exceed  $20,   the
Department  may authorize his or her returns to be filed on a
annual basis, with the return for a given year being  due  by
January 31 of the following year.
    Such  quarter-annual  and  annual returns, as to form and
substance, shall be  subject  to  the  same  requirements  as
monthly returns.
    Notwithstanding   any   other   provision   in  this  Law
concerning the time within which a  self-assessing  purchaser
may  file  his  or  her  return,  in  the  case  of  any such
self-assessing purchaser who ceases to engage in  a  kind  of
business  which  makes  him  or  her  responsible  for filing
returns under this Law, such person shall file a final return
under this Law with the Department not more  than  one  month
after discontinuing such business.
    Each   self-assessing  purchaser  whose  average  monthly
liability to the Department under this  Law  was  $10,000  or
more  during the preceding calendar year, excluding the month
of highest liability and the month  of  lowest  liability  in
such  calendar  year,  and  who  is not operated by a unit of
local  government,  shall  make  estimated  payments  to  the
Department on or before the 7th, 15th, 22nd, and last day  of
the  month  during  which  tax liability to the Department is
incurred in an amount not less than the lower of either 22.5%
of such person's actual tax liability for the month or 25% of
such person's actual tax  liability  for  the  same  calendar
month   of   the   preceding   year.   The   amount  of  such
quarter-monthly payments shall be credited against the  final
tax  liability  of  the self-assessing purchaser's return for
that  month.  Any  outstanding  credit,   approved   by   the
Department,   arising  from  the  self-assessing  purchaser's
overpayment of his or her final tax liability for  any  month
may  be  applied  to  reduce  the  amount  of  any subsequent
quarter-monthly payment or credited  against  the  final  tax
liability  of  such self-assessing purchaser's return for any
subsequent month. If any quarter-monthly payment is not  paid
at  the  time or in the amount required by this Section, such
person shall be  liable  for  penalty  and  interest  on  the
difference  between  the  minimum amount due as a payment and
the amount of such payment actually and timely  paid,  except
insofar  as such person has previously made payments for that
month to the Department in excess  of  the  minimum  payments
previously due.
    The  self-assessing  purchaser making the return provided
for in this Section shall, at the time of making such return,
pay to the Department the amount of tax imposed by this  Law.
All moneys received by the Department under this Law shall be
paid into the General Revenue Fund in the State treasury.

    Section  5-30.  Registration  of  delivering suppliers. A
delivering supplier maintaining a place of business  in  this
State  who engages in the delivery of gas in this State shall
register with  the  Department.  A  delivering  supplier,  if
required  to register under the Gas Revenue Tax Act, need not
obtain an additional certificate of registration  under  this
Law,  but  shall  be  deemed to be sufficiently registered by
virtue of his being registered under the Gas Revenue Tax Act.
Application for a certificate of registration shall  be  made
to  the Department upon forms furnished by the Department and
shall contain any reasonable information the  Department  may
require. Upon receipt of the application for a certificate of
registration  in  proper  form, the Department shall issue to
the applicant a certificate of registration.  The  Department
may  deny  a  certificate of registration to any applicant if
such applicant is in default for moneys due under  this  Law.
Any  person aggrieved by any decision of the Department under
this Section  may,  within  20  days  after  notice  of  such
decision,  protest  and  request  a  hearing,  whereupon  the
Department  shall  give notice to such person of the time and
place fixed for such hearing and  shall  hold  a  hearing  in
conformity with the provisions of this Law and then issue its
final  administrative  decision in the matter to such person.
In the  absence  of  such  a  protest  within  20  days,  the
Department's  decision shall become final without any further
determination being made or notice given.

    Section 5-35. Return and payment  of  tax  by  delivering
supplier.   Each  delivering  supplier  who is required under
Section 5-15 to collect the tax imposed  by  this  Law  shall
make  a return to the Department on or before the 15th day of
each month for  the  preceding  calendar  month  stating  the
following:
         (1)  His or her name.
         (2)  The  address  of  his or her principal place of
    business and  the  address  of  the  principal  place  of
    business  (if  that is a different address) from which he
    or she engages in  the  business  of  delivering  gas  to
    persons for use or consumption and not for resale.
         (3)  The  total number of therms of gas delivered to
    purchasers during the preceding calendar month  and  upon
    the basis of which the tax is imposed.
         (4)  Amount of tax computed upon item 3.
         (5)  Such   other   reasonable  information  as  the
    Department may require.
    In making such return the person engaged in the  business
of  delivering  gas to persons for use or consumption and not
for resale may use any reasonable method to derive reportable
"therms" from his or her billing and payment records.
    If the average monthly liability to the Department of the
delivering supplier does not exceed $100, the Department  may
authorize  his or her returns to be filed on a quarter-annual
basis, with the return for January, February, and March of  a
given  year  being  due  by  April  30 of such year; with the
return for April, May, and June of a given year being due  by
July  31  of such year; with the return for July, August, and
September of a given year being due by  October  31  of  such
year; and with the return for October, November, and December
of  a  given  year  being  due by January 31 of the following
year.
    If the average monthly liability to the Department of the
delivering supplier does not exceed $20, the  Department  may
authorize  his or her returns to be filed on an annual basis,
with the return for a given year being due by January  31  of
the following year.
    Such  quarter-annual  and  annual returns, as to form and
substance, shall be  subject  to  the  same  requirements  as
monthly returns.
    Notwithstanding   any   other   provision   in  this  Law
concerning the time within which a  delivering  supplier  may
file  his  or  her  return,  in  the  case  of any delivering
supplier who ceases to engage in  a  kind  of  business  that
makes  him  or  her responsible for filing returns under this
Law, such delivering supplier shall file a final return under
this Law with the Department not more than  one  month  after
discontinuing such business.
    Each  delivering supplier whose average monthly liability
to the Department under this Law was $10,000 or  more  during
the  preceding  calendar year, excluding the month of highest
liability and the month of lowest liability in such  calendar
year,  and who is not operated by a unit of local government,
shall make estimated payments to the Department on or  before
the  7th,  15th, 22nd, and last day of the month during which
tax liability to the Department is incurred in an amount  not
less  than  the lower of either 22.5% of such person's actual
tax liability for the month or 25% of  such  person's  actual
tax  liability  for  the same calendar month of the preceding
year. The amount of such quarter-monthly  payments  shall  be
credited  against  the  final  tax liability of such person's
return for that month. Any outstanding  credit,  approved  by
the Department, arising from such person's overpayment of his
or  her  final  tax liability for any month may be applied to
reduce the amount of any subsequent  quarter-monthly  payment
or  credited against the final tax liability of such person's
return for  any  subsequent  month.  If  any  quarter-monthly
payment  is not paid at the time or in the amount required by
this Section, such person shall be  liable  for  penalty  and
interest  on the difference between the minimum amount due as
a payment and the amount of such payment actually and  timely
paid,  except  insofar  as  such  person  has previously made
payments for that month to the Department in  excess  of  the
minimum payments previously due.
    The delivering supplier making the return provided for in
this Section shall, at the time of making such return, pay to
the  Department  the  amount  of tax imposed by this Law. All
moneys received by the Department under  this  Law  shall  be
paid into the General Revenue Fund in the State treasury.
    Section  5-40.  Incorporation of applicable Sections. The
Department shall have full power to  administer  and  enforce
this  Law;  to collect all taxes, penalties, and interest due
hereunder; to dispose of taxes, penalties,  and  interest  so
collected   in   the  manner  hereinafter  provided;  and  to
determine all rights to credit memoranda or  refunds  arising
on  account  of  the  erroneous  payment  of tax, penalty, or
interest hereunder. In the administration of, and  compliance
with,  this  Section,  the  Department  and  persons  who are
subject to this Section shall have the same rights, remedies,
privileges, immunities, powers, and duties, be subject to the
same conditions, restrictions,  limitations,  penalties,  and
definitions of terms, and employ the same modes of procedure,
as  are  prescribed  in  Sections  2,  4,  5, 6, 7, 9 (except
provisions relating to transaction returns  and  except  that
the  due date for returns shall be the 15th day of each month
for the preceding calendar month), 10, 11, 12, 12a, 12b,  13,
14,  15,  18,  19, 20, 21, and 22 of the Use Tax Act, and are
not inconsistent with this Section,  as  fully  as  if  those
provisions were set forth herein.

    Section  5-45.  Multistate  exemption.  To prevent actual
multi-state taxation of the  privilege  that  is  subject  to
taxation  under  this  Law,  any  purchaser,  upon proof that
purchaser has paid a tax in  another  state  on  such  event,
shall  be  allowed  a  credit against the tax imposed by this
Law, to the extent of the amount of the tax properly due  and
paid in the other state.

    Section 5-50.  Exemptions. The tax imposed under this Act
shall not apply to:
         (1)  Gas  used by business enterprises located in an
    enterprise zone certified by the Department  of  Commerce
    and   Economic   Opportunity  pursuant  to  the  Illinois
    Enterprise Zone Act;
         (2)  Gas  used  by   governmental   bodies,   or   a
    corporation,   society,   association,   foundation,   or
    institution   organized   and  operated  exclusively  for
    charitable, religious, or educational purposes.  Such use
    shall not  be  exempt  unless  the  government  body,  or
    corporation,   society,   association,   foundation,   or
    institution   organized   and  operated  exclusively  for
    charitable, religious, or educational purposes has  first
    been  issued a tax exemption identification number by the
    Department of Revenue  pursuant  to  Section  1g  of  the
    Retailers'   Occupation  Tax  Act.  A  limited  liability
    company may qualify for the exemption under this  Section
    only  if  the  limited liability company is organized and
    operated exclusively for educational purposes.  The  term
    "educational  purposes"  shall  have  the same meaning as
    that set forth in Section 2h of the Retailers' Occupation
    Tax Act;
         (3)  Gas used in the production of electric  energy.
    This  exemption  does not include gas used in the general
    maintenance or heating of an electric  energy  production
    facility or other structure;
         (4)  Gas used in a petroleum refinery operation;
         (5)  Gas   purchased   by   persons   for   use   in
    liquefaction  and  fractionation  processes  that produce
    value added natural gas byproducts for resale;
         (6)  Gas used in the production of anhydrous ammonia
    and downstream nitrogen fertilizer products for resale.
    The  Department  may  adopt  rules   to   implement   the
provisions of this Section.

    Section  5-905.   The  Gas  Revenue Tax Act is amended by
changing Sections 1 and 2 as follows:
    (35 ILCS 615/1) (from Ch. 120, par. 467.16)
    Sec. 1.  For the purposes of this Act:  "Gross  receipts"
means   the   consideration  received  for  gas  distributed,
supplied, furnished or sold to persons for use or consumption
and not for resale,  and  for  all  services  (including  the
transportation or storage of gas for an end-user) rendered in
connection  therewith,  and  shall include cash, services and
property of every kind or nature,  and  shall  be  determined
without  any deduction on account of the cost of the service,
product or commodity supplied, the cost  of  materials  used,
labor  or  service  costs,  or  any other expense whatsoever.
However, "gross receipts" shall not include receipts from:
         (i)  any minimum or other  charge  for  gas  or  gas
    service where the customer has taken no therms of gas;
         (ii)  any charge for a dishonored check;
         (iii)  any  finance  or  credit  charge,  penalty or
    charge  for  delayed  payment,  or  discount  for  prompt
    payment;
         (iv)  any charge for reconnection of service or  for
    replacement or relocation of facilities;
         (v)  any   advance   or   contribution   in  aid  of
    construction;
         (vi)  repair, inspection or servicing  of  equipment
    located on customer premises;
         (vii)  leasing  or  rental of equipment, the leasing
    or rental of which  is  not  necessary  to  distributing,
    furnishing,  supplying,  selling, transporting or storing
    gas;
         (viii)  any sale to a customer if  the  taxpayer  is
    prohibited  by  federal  or  State  constitution, treaty,
    convention, statute or court decision from recovering the
    related tax liability from such customer;
         (ix)  any charges added to customers' bills pursuant
    to the provisions of Section 9-221 or  Section  9-222  of
    the  Public  Utilities  Act,  as  amended, or any charges
    added to  customers'  bills  by  taxpayers  who  are  not
    subject  to  rate  regulation  by  the  Illinois Commerce
    Commission for the purpose of recovering any of  the  tax
    liabilities or other amounts specified in such provisions
    of such Act; and
         (x)  prior to October 1, 2003, any charge for gas or
    gas  services  to  a  customer  who  acquired contractual
    rights for the direct purchase of  gas  or  gas  services
    originating from an out-of-state supplier or source on or
    before  March  1,  1995,  except for those charges solely
    related to the local distribution  of  gas  by  a  public
    utility.   This  exemption includes any charge for gas or
    gas service, except for those charges solely  related  to
    the  local  distribution of gas by a public utility, to a
    customer who maintained an account with a public  utility
    (as defined in Section 3-105 of the Public Utilities Act)
    for the transportation of customer-owned gas on or before
    March  1, 1995.  The provisions of this amendatory Act of
    1997  are  intended  to  clarify,  rather  than   change,
    existing  law  as  to  the  meaning  and  scope  of  this
    exemption.   This  exemption (x) expires on September 30,
    2003.
    In case credit is extended, the amount thereof  shall  be
included only as and when payments are received.
    "Gross receipts" shall not include consideration received
from  business enterprises certified under Section 9-222.1 of
the Public Utilities Act, as amended, to the extent  of  such
exemption  and  during  the  period  of time specified by the
Department of Commerce and Community Affairs.
    "Department" means the Department of Revenue of the State
of Illinois.
    "Director"  means  the  Director  of  Revenue   for   the
Department of Revenue of the State of Illinois.
    "Taxpayer"  means  a  person  engaged  in the business of
distributing, supplying, furnishing or selling gas for use or
consumption and not for resale.
    "Person"  means  any  natural  individual,  firm,  trust,
estate, partnership, association, joint stock company,  joint
adventure,  corporation,  limited  liability  company,  or  a
receiver, trustee, guardian or other representative appointed
by  order  of  any  court, or any city, town, county or other
political subdivision of this State.
    "Invested capital" means that amount  equal  to  (i)  the
average  of  the  balances  at  the beginning and end of each
taxable period of the taxpayer's total  stockholder's  equity
and total long-term debt, less investments in and advances to
all corporations, as set forth on the balance sheets included
in  the  taxpayer's  annual  report  to the Illinois Commerce
Commission for the  taxable  period;  (ii)  multiplied  by  a
fraction  determined  under  Sections  301  and 304(a) of the
"Illinois Income Tax Act" and reported on the Illinois income
tax return for the taxable  period  ending  in  or  with  the
taxable  period  in  question.  However,  notwithstanding the
income  tax  return  reporting  requirement   stated   above,
beginning  July  1,  1979, no taxpayer's denominators used to
compute  the  sales,  property  or  payroll   factors   under
subsection  (a) of Section 304 of the Illinois Income Tax Act
shall include payroll, property or  sales  of  any  corporate
entity   other   than   the  taxpayer  for  the  purposes  of
determining an allocation for the invested capital tax.  This
amendatory  Act  of 1982, Public Act 82-1024, is not intended
to and does not  make  any  change  in  the  meaning  of  any
provision  of  this  Act,  it  having  been the intent of the
General Assembly in  initially  enacting  the  definition  of
"invested  capital"  to  provide  for  apportionment  of  the
invested  capital  of  each  company,  based  solely upon the
sales, property and payroll of that company.
    "Taxable period" means each period which ends  after  the
effective  date of this Act and which is covered by an annual
report filed by  the  taxpayer  with  the  Illinois  Commerce
Commission.
(Source: P.A. 89-417, eff. 1-1-96; 90-16, eff. 6-16-97.)

    (35 ILCS 615/2) (from Ch. 120, par. 467.17)
    Sec.  2.  A  tax  is  imposed upon persons engaged in the
business of distributing, supplying,  furnishing  or  selling
gas  to  persons for use or consumption and not for resale at
the rate of 2.4 cents per  therm  of  all  gas  which  is  so
distributed,  supplied,  furnished, sold or transported to or
for each customer in the course of such business,  or  5%  of
the  gross  receipts  received  from  each customer from such
business, whichever is the lower  rate  as  applied  to  each
customer  for  that  customer's billing period, provided that
any change in rate imposed by this  amendatory  Act  of  1985
shall become effective only with bills having a meter reading
date on or after January 1, 1986. However, such taxes are not
imposed  with respect to any business in interstate commerce,
or otherwise to the extent to which such  business  may  not,
under  the Constitution and statutes of the United States, be
made the subject of taxation by this State.
    Nothing in this amendatory Act of 1985 shall impose a tax
with respect to any transaction with respect to which no  tax
was  imposed immediately preceding the effective date of this
amendatory Act of 1985.
    Beginning with bills issued to  customers  on  and  after
October  1,  2003,  no tax shall be imposed under this Act on
transactions with customers who incur a tax  liability  under
the Gas Use Tax Law.
(Source: P.A. 84-307; 84-1093.)

    Section 5-999.  Effective date.  This Act takes effect on
October 1, 2003.