093_HB2810

                                     LRB093 04444 SJM 04496 b

 1        AN ACT regarding taxation.

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

 4        Section  5.  The State Finance Act is amended by changing
 5    Sections 6z-18 and 6z-20 as follows:

 6        (30 ILCS 105/6z-18) (from Ch. 127, par. 142z-18)
 7        Sec. 6z-18.  A portion of the money paid into  the  Local
 8    Government  Tax Fund from sales of food for human consumption
 9    which is to be consumed off the premises  where  it  is  sold
10    (other  than  alcoholic beverages, soft drinks and food which
11    has been prepared for immediate consumption) and prescription
12    and nonprescription medicines, drugs, medical appliances  and
13    insulin,  urine  testing materials, syringes and needles used
14    by diabetics, which  occurred  in  municipalities,  shall  be
15    distributed  to  each municipality based upon the sales which
16    occurred  in  that  municipality.   The  remainder  shall  be
17    distributed  to  each  county  based  upon  the  sales  which
18    occurred in the unincorporated area of that county.
19        A portion of the money paid into the Local Government Tax
20    Fund from the 6.25% general use tax rate on the selling price
21    of tangible personal  property  which  is  purchased  outside
22    Illinois  at  retail  from  a retailer and which is titled or
23    registered by any agency of this State's government shall  be
24    distributed  to municipalities as provided in this paragraph.
25    Each municipality shall receive the  amount  attributable  to
26    sales   for   which   Illinois   addresses   for  titling  or
27    registration  purposes   are   given   as   being   in   such
28    municipality.  The remainder of the money paid into the Local
29    Government  Tax  Fund from such sales shall be distributed to
30    counties.  Each county shall receive the amount  attributable
31    to   sales  for  which  Illinois  addresses  for  titling  or
 
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 1    registration purposes are  given  as  being  located  in  the
 2    unincorporated area of such county.
 3        A portion of the money paid into the Local Government Tax
 4    Fund from the 6.25% general rate (and, beginning July 1, 2000
 5    and  through  December 31, 2000, the 1.25% rate on motor fuel
 6    and gasohol and, beginning July 1, 2003, the  1.25%  rate  on
 7    textbooks  required  for use at State universities and public
 8    community colleges or at institutions of higher  learning  as
 9    defined   in   the  Illinois  Financial  Assistance  Act  for
10    Nonpublic Institutions of Higher Learning) on  sales  subject
11    to  taxation  under the Retailers' Occupation Tax Act and the
12    Service Occupation Tax Act, which occurred in municipalities,
13    shall be distributed to each  municipality,  based  upon  the
14    sales  which  occurred  in  that  municipality. The remainder
15    shall be distributed to each county,  based  upon  the  sales
16    which occurred in the unincorporated area of such county.
17        For  the  purpose  of determining allocation to the local
18    government unit, a retail sale by a producer of coal or other
19    mineral mined in Illinois is a sale at retail  at  the  place
20    where  the  coal  or  other  mineral  mined  in  Illinois  is
21    extracted  from  the earth.  This paragraph does not apply to
22    coal or other mineral when it is delivered or shipped by  the
23    seller  to  the purchaser at a point outside Illinois so that
24    the sale is exempt under the United States Constitution as  a
25    sale in interstate or foreign commerce.
26        Whenever the Department determines that a refund of money
27    paid  into  the Local Government Tax Fund should be made to a
28    claimant  instead  of  issuing  a  credit   memorandum,   the
29    Department  shall  notify  the  State  Comptroller, who shall
30    cause the order to be drawn for the amount specified, and  to
31    the  person  named, in such notification from the Department.
32    Such refund shall be paid by the State Treasurer out  of  the
33    Local Government Tax Fund.
34        On  or  before  the  25th day of each calendar month, the
 
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 1    Department shall prepare and certify to the  Comptroller  the
 2    disbursement  of stated sums of money to named municipalities
 3    and counties, the municipalities and  counties  to  be  those
 4    entitled  to  distribution  of taxes or penalties paid to the
 5    Department during the second preceding  calendar  month.  The
 6    amount to be paid to each municipality or county shall be the
 7    amount  (not including credit memoranda) collected during the
 8    second preceding calendar month by the  Department  and  paid
 9    into  the  Local  Government  Tax  Fund,  plus  an amount the
10    Department determines is  necessary  to  offset  any  amounts
11    which  were  erroneously paid to a different taxing body, and
12    not including an amount equal to the amount of  refunds  made
13    during the second preceding calendar month by the Department,
14    and  not including any amount which the Department determines
15    is necessary to offset any amounts which  are  payable  to  a
16    different  taxing  body  but  were  erroneously  paid  to the
17    municipality or county.  Within 10 days after receipt, by the
18    Comptroller,  of  the  disbursement  certification   to   the
19    municipalities and counties,  provided for in this Section to
20    be   given   to   the  Comptroller  by  the  Department,  the
21    Comptroller shall cause  the  orders  to  be  drawn  for  the
22    respective   amounts   in   accordance  with  the  directions
23    contained in such certification.
24        When certifying the amount of monthly disbursement  to  a
25    municipality  or  county  under  this Section, the Department
26    shall increase or decrease that amount by an amount necessary
27    to offset any misallocation of  previous  disbursements.  The
28    offset  amount  shall  be  the  amount  erroneously disbursed
29    within the 6 months preceding the  time  a  misallocation  is
30    discovered.
31        The  provisions  directing  the  distributions  from  the
32    special  fund  in  the  State  Treasury  provided for in this
33    Section  shall  constitute  an  irrevocable  and   continuing
34    appropriation  of  all  amounts as provided herein. The State
 
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 1    Treasurer and State Comptroller are hereby authorized to make
 2    distributions as provided in this Section.
 3        In construing any development, redevelopment, annexation,
 4    preannexation or other lawful agreement in  effect  prior  to
 5    September 1, 1990, which describes or refers to receipts from
 6    a  county  or municipal retailers' occupation tax, use tax or
 7    service occupation tax which  now  cannot  be  imposed,  such
 8    description  or  reference  shall  be  deemed  to include the
 9    replacement revenue for  such  abolished  taxes,  distributed
10    from the Local Government Tax Fund.
11    (Source:  P.A.  90-491,  eff.  1-1-98;  91-51,  eff. 6-30-99;
12    91-872, eff. 7-1-00.)

13        (30 ILCS 105/6z-20) (from Ch. 127, par. 142z-20)
14        Sec. 6z-20. Of the money received from the 6.25%  general
15    rate  (and,  beginning  July 1, 2000 and through December 31,
16    2000, the 1.25% rate on motor fuel and gasohol and, beginning
17    July 1, 2003, the 1.25% rate on textbooks required for use at
18    State  universities  and  public  community  colleges  or  at
19    institutions of higher learning as defined  in  the  Illinois
20    Financial Assistance Act for Nonpublic Institutions of Higher
21    Learning)  on  sales subject to taxation under the Retailers'
22    Occupation Tax Act and Service Occupation Tax  Act  and  paid
23    into  the County and Mass Transit District Fund, distribution
24    to the Regional Transportation Authority  tax  fund,  created
25    pursuant  to  Section  4.03  of  the  Regional Transportation
26    Authority Act, for deposit therein shall be made  based  upon
27    the  retail  sales  occurring  in  a  county having more than
28    3,000,000 inhabitants. The remainder shall be distributed  to
29    each  county having 3,000,000 or fewer inhabitants based upon
30    the retail sales occurring in each such county.
31        For the purpose of determining allocation  to  the  local
32    government unit, a retail sale by a producer of coal or other
33    mineral  mined  in  Illinois is a sale at retail at the place
 
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 1    where  the  coal  or  other  mineral  mined  in  Illinois  is
 2    extracted from the earth.  This paragraph does not  apply  to
 3    coal  or other mineral when it is delivered or shipped by the
 4    seller to the purchaser at a point outside Illinois  so  that
 5    the  sale is exempt under the United States Constitution as a
 6    sale in interstate or foreign commerce.
 7        Of the money received from the 6.25% general use tax rate
 8    on tangible personal  property  which  is  purchased  outside
 9    Illinois  at  retail  from  a retailer and which is titled or
10    registered by any agency of this State's government and  paid
11    into  the  County  and Mass Transit District Fund, the amount
12    for which Illinois  addresses  for  titling  or  registration
13    purposes  are  given as being in each county having more than
14    3,000,000 inhabitants shall be distributed into the  Regional
15    Transportation   Authority  tax  fund,  created  pursuant  to
16    Section 4.03 of the Regional  Transportation  Authority  Act.
17    The  remainder  of  the  money  paid from such sales shall be
18    distributed to each county based on sales for which  Illinois
19    addresses  for  titling or registration purposes are given as
20    being located  in  the  county.   Any  money  paid  into  the
21    Regional  Transportation  Authority  Occupation  and  Use Tax
22    Replacement Fund from the County and  Mass  Transit  District
23    Fund  prior  to  January 14, 1991, which has not been paid to
24    the Authority prior to that date, shall be transferred to the
25    Regional Transportation Authority tax fund.
26        Whenever the Department determines that a refund of money
27    paid into the County and Mass Transit District Fund should be
28    made to a claimant instead of issuing  a  credit  memorandum,
29    the  Department shall notify the State Comptroller, who shall
30    cause the order to be drawn for the amount specified, and  to
31    the  person  named, in such notification from the Department.
32    Such refund shall be paid by the State Treasurer out  of  the
33    County and Mass Transit District Fund.
34        On  or  before  the  25th day of each calendar month, the
 
                            -6-      LRB093 04444 SJM 04496 b
 1    Department shall prepare and certify to the  Comptroller  the
 2    disbursement   of  stated  sums  of  money  to  the  Regional
 3    Transportation Authority and to named counties, the  counties
 4    to   be   those  entitled  to  distribution,  as  hereinabove
 5    provided, of taxes or penalties paid to the Department during
 6    the second preceding calendar month.  The amount to  be  paid
 7    to  the  Regional  Transportation  Authority  and each county
 8    having 3,000,000 or fewer inhabitants  shall  be  the  amount
 9    (not  including credit memoranda) collected during the second
10    preceding calendar month by the Department and paid into  the
11    County  and  Mass  Transit  District Fund, plus an amount the
12    Department determines is  necessary  to  offset  any  amounts
13    which  were  erroneously paid to a different taxing body, and
14    not including an amount equal to the amount of  refunds  made
15    during the second preceding calendar month by the Department,
16    and  not including any amount which the Department determines
17    is necessary to offset any amounts which were  payable  to  a
18    different  taxing  body  but  were  erroneously  paid  to the
19    Regional Transportation Authority or county.  Within 10  days
20    after  receipt,  by  the  Comptroller,  of  the  disbursement
21    certification  to  the  Regional Transportation Authority and
22    counties, provided for in this Section to  be  given  to  the
23    Comptroller  by  the  Department, the Comptroller shall cause
24    the  orders  to  be  drawn  for  the  respective  amounts  in
25    accordance   with   the   directions   contained   in    such
26    certification.
27        When  certifying  the amount of a monthly disbursement to
28    the Regional Transportation Authority or to  a  county  under
29    this  Section, the Department shall increase or decrease that
30    amount by an amount necessary to offset any misallocation  of
31    previous  disbursements.   The  offset  amount  shall  be the
32    amount erroneously disbursed within the  6  months  preceding
33    the time a misallocation is discovered.
34        The  provisions  directing  the  distributions  from  the
 
                            -7-      LRB093 04444 SJM 04496 b
 1    special  fund  in  the  State  Treasury  provided for in this
 2    Section and from the Regional  Transportation  Authority  tax
 3    fund  created  by Section 4.03 of the Regional Transportation
 4    Authority Act shall constitute an irrevocable and  continuing
 5    appropriation  of  all  amounts as provided herein. The State
 6    Treasurer and State Comptroller are hereby authorized to make
 7    distributions as provided in this Section.
 8        In construing any development, redevelopment, annexation,
 9    preannexation or other lawful agreement in  effect  prior  to
10    September 1, 1990, which describes or refers to receipts from
11    a  county  or municipal retailers' occupation tax, use tax or
12    service occupation tax which  now  cannot  be  imposed,  such
13    description  or  reference  shall  be  deemed  to include the
14    replacement revenue for  such  abolished  taxes,  distributed
15    from  the  County  and  Mass  Transit  District Fund or Local
16    Government Distributive Fund, as the case may be.
17    (Source: P.A. 90-491, eff. 1-1-98; 91-872, eff. 7-1-00.)

18        Section 10.  The Use  Tax  Act  is  amended  by  changing
19    Sections 3-10 and 9 as follows:

20        (35 ILCS 105/3-10) (from Ch. 120, par. 439.3-10)
21        Sec.  3-10.   Rate  of tax.  Unless otherwise provided in
22    this Section, the tax imposed by this Act is at the  rate  of
23    6.25%  of  either the selling price or the fair market value,
24    if any, of the tangible  personal  property.   In  all  cases
25    where  property  functionally used or consumed is the same as
26    the property that was purchased at retail, then  the  tax  is
27    imposed  on  the selling price of the property.  In all cases
28    where property functionally used or consumed is a  by-product
29    or  waste  product  that  has  been refined, manufactured, or
30    produced from property purchased at retail, then the  tax  is
31    imposed on the lower of the fair market value, if any, of the
32    specific  property  so  used  in this State or on the selling
 
                            -8-      LRB093 04444 SJM 04496 b
 1    price of the property purchased at retail.  For  purposes  of
 2    this  Section  "fair  market  value" means the price at which
 3    property would change hands between a  willing  buyer  and  a
 4    willing  seller, neither being under any compulsion to buy or
 5    sell and both having reasonable  knowledge  of  the  relevant
 6    facts. The fair market value shall be established by Illinois
 7    sales   by   the  taxpayer  of  the  same  property  as  that
 8    functionally used or consumed, or if there are no such  sales
 9    by  the  taxpayer,  then  comparable  sales  or  purchases of
10    property of like kind and character in Illinois.
11        Beginning on July 1, 2000 and through December 31,  2000,
12    with  respect to motor fuel, as defined in Section 1.1 of the
13    Motor Fuel Tax Law, and gasohol, as defined in  Section  3-40
14    of the Use Tax Act, the tax is imposed at the rate of 1.25%.
15        With  respect  to  gasohol,  the  tax imposed by this Act
16    applies to 70% of the proceeds of  sales  made  on  or  after
17    January  1, 1990, and before July 1, 2003, and to 100% of the
18    proceeds of sales made thereafter.
19        Beginning  July  1,  2003,  with  respect  to   textbooks
20    required  for  use at State universities and public community
21    colleges or at institutions of higher learning as defined  in
22    the   Illinois   Financial   Assistance   Act  for  Nonpublic
23    Institutions of Higher Learning, the tax is  imposed  at  the
24    rate  of  1.25%.  The Department may adopt rules necessary to
25    implement and administer the 1.25% rate on textbooks.
26        With respect to food for human consumption that is to  be
27    consumed  off  the  premises  where  it  is  sold (other than
28    alcoholic beverages, soft drinks,  and  food  that  has  been
29    prepared  for  immediate  consumption)  and  prescription and
30    nonprescription   medicines,   drugs,   medical   appliances,
31    modifications to a motor vehicle for the purpose of rendering
32    it usable by a disabled person, and  insulin,  urine  testing
33    materials, syringes, and needles used by diabetics, for human
34    use,  the  tax is imposed at the rate of 1%. For the purposes
 
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 1    of this Section, the term "soft drinks" means  any  complete,
 2    finished,    ready-to-use,   non-alcoholic   drink,   whether
 3    carbonated or not, including but not limited to  soda  water,
 4    cola, fruit juice, vegetable juice, carbonated water, and all
 5    other  preparations commonly known as soft drinks of whatever
 6    kind or description that  are  contained  in  any  closed  or
 7    sealed bottle, can, carton, or container, regardless of size.
 8    "Soft  drinks"  does  not include coffee, tea, non-carbonated
 9    water, infant formula, milk or milk products  as  defined  in
10    the Grade A Pasteurized Milk and Milk Products Act, or drinks
11    containing 50% or more natural fruit or vegetable juice.
12        Notwithstanding  any  other provisions of this Act, "food
13    for human consumption that is to be consumed off the premises
14    where it is sold" includes all food sold  through  a  vending
15    machine,  except  soft  drinks  and  food  products  that are
16    dispensed hot from  a  vending  machine,  regardless  of  the
17    location of the vending machine.
18        If  the  property  that  is  purchased  at  retail from a
19    retailer  is  acquired  outside  Illinois  and  used  outside
20    Illinois before being brought to Illinois for use here and is
21    taxable under this Act, the "selling price" on which the  tax
22    is  computed  shall be reduced by an amount that represents a
23    reasonable allowance for depreciation for the period of prior
24    out-of-state use.
25    (Source: P.A. 90-605, eff.  6-30-98;  90-606,  eff.  6-30-98;
26    91-51, eff. 6-30-99; 91-872, eff. 7-1-00.)

27        (35 ILCS 105/9) (from Ch. 120, par. 439.9)
28        Sec.   9.  Except   as  to  motor  vehicles,  watercraft,
29    aircraft, and trailers that are  required  to  be  registered
30    with  an  agency  of  this  State,  each retailer required or
31    authorized to collect the tax imposed by this Act  shall  pay
32    to the Department the amount of such tax (except as otherwise
33    provided)  at the time when he is required to file his return
 
                            -10-     LRB093 04444 SJM 04496 b
 1    for the period during which such tax was  collected,  less  a
 2    discount  of  2.1% prior to January 1, 1990, and 1.75% on and
 3    after January 1, 1990, or $5 per calendar year, whichever  is
 4    greater,  which  is  allowed  to  reimburse  the retailer for
 5    expenses incurred in collecting  the  tax,  keeping  records,
 6    preparing and filing returns, remitting the tax and supplying
 7    data  to the Department on request.  In the case of retailers
 8    who report and pay the tax on a  transaction  by  transaction
 9    basis,  as  provided  in this Section, such discount shall be
10    taken with each such tax  remittance  instead  of  when  such
11    retailer  files  his  periodic  return.   A retailer need not
12    remit that part of any tax collected by  him  to  the  extent
13    that  he  is required to remit and does remit the tax imposed
14    by the Retailers' Occupation Tax Act,  with  respect  to  the
15    sale of the same property.
16        Where  such  tangible  personal  property is sold under a
17    conditional sales contract, or under any other form  of  sale
18    wherein  the payment of the principal sum, or a part thereof,
19    is extended beyond the close of  the  period  for  which  the
20    return  is filed, the retailer, in collecting the tax (except
21    as to motor vehicles, watercraft, aircraft, and trailers that
22    are required to be registered with an agency of this  State),
23    may  collect  for  each  tax  return  period,  only  the  tax
24    applicable  to  that  part  of  the  selling  price  actually
25    received during such tax return period.
26        Except  as  provided  in  this  Section, on or before the
27    twentieth day of each calendar  month,  such  retailer  shall
28    file  a return for the preceding calendar month.  Such return
29    shall be filed on forms  prescribed  by  the  Department  and
30    shall   furnish   such  information  as  the  Department  may
31    reasonably require.
32        The Department may require  returns  to  be  filed  on  a
33    quarterly  basis.  If so required, a return for each calendar
34    quarter shall be filed on or before the twentieth day of  the
 
                            -11-     LRB093 04444 SJM 04496 b
 1    calendar  month  following  the end of such calendar quarter.
 2    The taxpayer shall also file a return with the Department for
 3    each of the first two months of each calendar quarter, on  or
 4    before  the  twentieth  day  of the following calendar month,
 5    stating:
 6             1.  The name of the seller;
 7             2.  The address of the principal place  of  business
 8        from which he engages in the business of selling tangible
 9        personal property at retail in this State;
10             3.  The total amount of taxable receipts received by
11        him  during  the  preceding  calendar month from sales of
12        tangible personal property by him during  such  preceding
13        calendar  month,  including receipts from charge and time
14        sales, but less all deductions allowed by law;
15             4.  The amount of credit provided in Section  2d  of
16        this Act;
17             5.  The amount of tax due;
18             5-5.  The signature of the taxpayer; and
19             6.  Such   other   reasonable   information  as  the
20        Department may require.
21        If a taxpayer fails to sign a return within 30 days after
22    the proper notice and demand for signature by the Department,
23    the return shall be considered valid and any amount shown  to
24    be due on the return shall be deemed assessed.
25        Beginning  October 1, 1993, a taxpayer who has an average
26    monthly tax liability of $150,000  or  more  shall  make  all
27    payments  required  by  rules of the Department by electronic
28    funds transfer. Beginning October 1, 1994, a taxpayer who has
29    an average monthly tax liability of $100,000  or  more  shall
30    make  all  payments  required  by  rules of the Department by
31    electronic funds  transfer.  Beginning  October  1,  1995,  a
32    taxpayer  who has an average monthly tax liability of $50,000
33    or more shall make all payments  required  by  rules  of  the
34    Department by electronic funds transfer. Beginning October 1,
 
                            -12-     LRB093 04444 SJM 04496 b
 1    2000,  a taxpayer who has an annual tax liability of $200,000
 2    or more shall make all payments  required  by  rules  of  the
 3    Department  by  electronic  funds transfer.  The term "annual
 4    tax liability" shall be the sum of the taxpayer's liabilities
 5    under  this  Act,  and  under  all  other  State  and   local
 6    occupation  and  use tax laws administered by the Department,
 7    for  the  immediately  preceding  calendar  year.  The   term
 8    "average   monthly  tax  liability"  means  the  sum  of  the
 9    taxpayer's liabilities under this Act, and  under  all  other
10    State  and  local occupation and use tax laws administered by
11    the Department, for the immediately preceding  calendar  year
12    divided  by  12. Beginning on October 1, 2002, a taxpayer who
13    has a tax liability in the amount set forth in subsection (b)
14    of Section 2505-210 of the Department of  Revenue  Law  shall
15    make  all  payments  required  by  rules of the Department by
16    electronic funds transfer.
17        Before August 1 of  each  year  beginning  in  1993,  the
18    Department  shall  notify  all  taxpayers  required  to  make
19    payments by electronic funds transfer. All taxpayers required
20    to  make  payments  by  electronic  funds transfer shall make
21    those payments for a minimum of one year beginning on October
22    1.
23        Any taxpayer not required to make payments by  electronic
24    funds transfer may make payments by electronic funds transfer
25    with the permission of the Department.
26        All  taxpayers  required  to  make  payment by electronic
27    funds transfer and any taxpayers  authorized  to  voluntarily
28    make  payments  by electronic funds transfer shall make those
29    payments in the manner authorized by the Department.
30        The Department shall adopt such rules as are necessary to
31    effectuate a program of electronic  funds  transfer  and  the
32    requirements of this Section.
33        Before October 1, 2000, if the taxpayer's average monthly
34    tax   liability   to  the  Department  under  this  Act,  the
 
                            -13-     LRB093 04444 SJM 04496 b
 1    Retailers' Occupation Tax Act,  the  Service  Occupation  Tax
 2    Act,  the  Service Use Tax Act was $10,000 or more during the
 3    preceding 4 complete  calendar  quarters,  he  shall  file  a
 4    return  with the Department each month by the 20th day of the
 5    month  next  following  the  month  during  which  such   tax
 6    liability   is  incurred  and  shall  make  payments  to  the
 7    Department on or before the 7th, 15th, 22nd and last  day  of
 8    the  month  during  which  such liability is incurred. On and
 9    after October 1, 2000, if the taxpayer's average monthly  tax
10    liability  to  the  Department under this Act, the Retailers'
11    Occupation Tax Act, the Service Occupation Tax Act,  and  the
12    Service  Use Tax Act was $20,000 or more during the preceding
13    4 complete calendar quarters, he shall file a return with the
14    Department each month by the  20th  day  of  the  month  next
15    following  the  month  during  which  such  tax  liability is
16    incurred and shall make  payment  to  the  Department  on  or
17    before  the  7th, 15th, 22nd and last day of the month during
18    which such liability is incurred. If the month  during  which
19    such  tax  liability  is  incurred  began prior to January 1,
20    1985, each payment shall be in an amount equal to 1/4 of  the
21    taxpayer's actual liability for the month or an amount set by
22    the  Department  not  to  exceed  1/4  of the average monthly
23    liability of the taxpayer to the Department for the preceding
24    4 complete calendar quarters (excluding the month of  highest
25    liability and the month of lowest liability in such 4 quarter
26    period).   If  the  month  during which such tax liability is
27    incurred begins on or after January 1,  1985,  and  prior  to
28    January  1, 1987, each payment shall be in an amount equal to
29    22.5% of the taxpayer's actual liability  for  the  month  or
30    27.5% of the taxpayer's liability for the same calendar month
31    of  the  preceding  year.  If the month during which such tax
32    liability is incurred begins on or after January 1, 1987, and
33    prior to January 1, 1988, each payment shall be in an  amount
34    equal  to  22.5%  of  the taxpayer's actual liability for the
 
                            -14-     LRB093 04444 SJM 04496 b
 1    month or 26.25% of the  taxpayer's  liability  for  the  same
 2    calendar  month  of  the preceding year.  If the month during
 3    which such tax liability  is  incurred  begins  on  or  after
 4    January  1,  1988, and prior to January 1, 1989, or begins on
 5    or after January 1, 1996, each payment shall be in an  amount
 6    equal  to  22.5%  of  the taxpayer's actual liability for the
 7    month or  25%  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,  1989, and prior to January 1, 1996, each payment
11    shall be in an amount equal to 22.5% of the taxpayer's actual
12    liability for the month or 25% of  the  taxpayer's  liability
13    for  the same calendar month of the preceding year or 100% of
14    the taxpayer's  actual  liability  for  the  quarter  monthly
15    reporting   period.   The  amount  of  such  quarter  monthly
16    payments shall be credited against the final tax liability of
17    the taxpayer's return for  that  month.   Before  October  1,
18    2000,  once  applicable,  the  requirement  of  the making of
19    quarter monthly payments to  the  Department  shall  continue
20    until  such  taxpayer's  average  monthly  liability  to  the
21    Department  during the preceding 4 complete calendar quarters
22    (excluding the month of highest liability and  the  month  of
23    lowest   liability)  is  less  than  $9,000,  or  until  such
24    taxpayer's average monthly liability  to  the  Department  as
25    computed  for  each  calendar  quarter  of  the  4  preceding
26    complete  calendar  quarter  period  is  less  than  $10,000.
27    However,  if  a  taxpayer  can  show  the  Department  that a
28    substantial change in the taxpayer's  business  has  occurred
29    which  causes  the  taxpayer  to  anticipate that his average
30    monthly tax liability for the reasonably  foreseeable  future
31    will fall below the $10,000 threshold stated above, then such
32    taxpayer  may  petition  the  Department  for  change in such
33    taxpayer's reporting status. On and after  October  1,  2000,
34    once  applicable,  the  requirement  of the making of quarter
 
                            -15-     LRB093 04444 SJM 04496 b
 1    monthly payments to the Department shall continue until  such
 2    taxpayer's average monthly liability to the Department during
 3    the  preceding  4  complete  calendar quarters (excluding the
 4    month of highest liability and the month of lowest liability)
 5    is less than $19,000 or until such taxpayer's average monthly
 6    liability to the Department as  computed  for  each  calendar
 7    quarter  of  the 4 preceding complete calendar quarter period
 8    is less than $20,000.  However, if a taxpayer  can  show  the
 9    Department  that  a  substantial  change  in  the  taxpayer's
10    business has occurred which causes the taxpayer to anticipate
11    that  his  average  monthly  tax liability for the reasonably
12    foreseeable future will  fall  below  the  $20,000  threshold
13    stated  above, then such taxpayer may petition the Department
14    for a change  in  such  taxpayer's  reporting  status.    The
15    Department  shall  change  such  taxpayer's  reporting status
16    unless it finds that such change is seasonal  in  nature  and
17    not  likely  to  be  long  term.  If any such quarter monthly
18    payment is not paid at the time or in the amount required  by
19    this Section, then the taxpayer shall be liable for penalties
20    and interest on the difference between the minimum amount due
21    and  the  amount of such quarter monthly payment actually and
22    timely paid, except insofar as the  taxpayer  has  previously
23    made  payments  for that month to the Department in excess of
24    the minimum payments  previously  due  as  provided  in  this
25    Section.    The  Department  shall  make reasonable rules and
26    regulations to govern the quarter monthly payment amount  and
27    quarter monthly payment dates for taxpayers who file on other
28    than a calendar monthly basis.
29        If  any such payment provided for in this Section exceeds
30    the taxpayer's liabilities under  this  Act,  the  Retailers'
31    Occupation  Tax  Act,  the Service Occupation Tax Act and the
32    Service Use Tax Act, as shown by an original monthly  return,
33    the   Department   shall  issue  to  the  taxpayer  a  credit
34    memorandum no later than 30 days after the date  of  payment,
 
                            -16-     LRB093 04444 SJM 04496 b
 1    which  memorandum  may  be  submitted  by the taxpayer to the
 2    Department in payment of tax  liability  subsequently  to  be
 3    remitted  by the taxpayer to the Department or be assigned by
 4    the taxpayer to  a  similar  taxpayer  under  this  Act,  the
 5    Retailers' Occupation Tax Act, the Service Occupation Tax Act
 6    or  the  Service  Use  Tax Act, in accordance with reasonable
 7    rules and regulations to be  prescribed  by  the  Department,
 8    except  that  if  such excess payment is shown on an original
 9    monthly return and is made after December 31, 1986, no credit
10    memorandum shall be issued, unless requested by the taxpayer.
11    If no such request is made,  the  taxpayer  may  credit  such
12    excess  payment  against  tax  liability  subsequently  to be
13    remitted by the taxpayer to the Department  under  this  Act,
14    the Retailers' Occupation Tax Act, the Service Occupation Tax
15    Act or the Service Use Tax Act, in accordance with reasonable
16    rules  and  regulations prescribed by the Department.  If the
17    Department subsequently determines that all or  any  part  of
18    the  credit  taken  was not actually due to the taxpayer, the
19    taxpayer's 2.1% or 1.75% vendor's discount shall  be  reduced
20    by  2.1%  or 1.75% of the difference between the credit taken
21    and that actually due, and the taxpayer shall be  liable  for
22    penalties and interest on such difference.
23        If  the  retailer is otherwise required to file a monthly
24    return and if the retailer's average monthly tax liability to
25    the Department does  not  exceed  $200,  the  Department  may
26    authorize  his returns to be filed on a quarter annual basis,
27    with the return for January, February, and March of  a  given
28    year  being due by April 20 of such year; with the return for
29    April, May and June of a given year being due by July  20  of
30    such  year; with the return for July, August and September of
31    a given year being due by October 20 of such year,  and  with
32    the return for October, November and December of a given year
33    being due by January 20 of the following year.
34        If  the  retailer is otherwise required to file a monthly
 
                            -17-     LRB093 04444 SJM 04496 b
 1    or quarterly return and if the retailer's average monthly tax
 2    liability  to  the  Department  does  not  exceed  $50,   the
 3    Department may authorize his returns to be filed on an annual
 4    basis,  with the return for a given year being due by January
 5    20 of the following year.
 6        Such quarter annual and annual returns, as  to  form  and
 7    substance,  shall  be  subject  to  the  same requirements as
 8    monthly returns.
 9        Notwithstanding  any  other   provision   in   this   Act
10    concerning  the  time  within  which  a retailer may file his
11    return, in the case of any retailer who ceases to engage in a
12    kind of business  which  makes  him  responsible  for  filing
13    returns  under  this  Act,  such  retailer shall file a final
14    return under this Act with the Department not more  than  one
15    month after discontinuing such business.
16        In  addition, with respect to motor vehicles, watercraft,
17    aircraft, and trailers that are  required  to  be  registered
18    with  an  agency  of  this State, every retailer selling this
19    kind of tangible  personal  property  shall  file,  with  the
20    Department,  upon a form to be prescribed and supplied by the
21    Department, a separate return for each such item of  tangible
22    personal  property  which the retailer sells, except that if,
23    in  the  same  transaction,  (i)  a  retailer  of   aircraft,
24    watercraft,  motor  vehicles  or trailers transfers more than
25    one aircraft, watercraft, motor vehicle or trailer to another
26    aircraft, watercraft, motor vehicle or trailer  retailer  for
27    the  purpose  of  resale  or  (ii)  a  retailer  of aircraft,
28    watercraft, motor vehicles, or trailers transfers  more  than
29    one  aircraft,  watercraft,  motor  vehicle,  or trailer to a
30    purchaser for use as a qualifying rolling stock  as  provided
31    in  Section 3-55 of this Act, then that seller may report the
32    transfer of all the aircraft, watercraft, motor  vehicles  or
33    trailers  involved  in  that transaction to the Department on
34    the same uniform invoice-transaction reporting  return  form.
 
                            -18-     LRB093 04444 SJM 04496 b
 1    For  purposes  of this Section, "watercraft" means a Class 2,
 2    Class 3, or Class 4 watercraft as defined in Section  3-2  of
 3    the  Boat Registration and Safety Act, a personal watercraft,
 4    or any boat equipped with an inboard motor.
 5        The transaction reporting return in  the  case  of  motor
 6    vehicles  or trailers that are required to be registered with
 7    an agency of this State, shall be the same  document  as  the
 8    Uniform  Invoice referred to in Section 5-402 of the Illinois
 9    Vehicle Code and must  show  the  name  and  address  of  the
10    seller;  the name and address of the purchaser; the amount of
11    the  selling  price  including  the  amount  allowed  by  the
12    retailer for traded-in property, if any; the  amount  allowed
13    by the retailer for the traded-in tangible personal property,
14    if  any,  to the extent to which Section 2 of this Act allows
15    an exemption for the value of traded-in property; the balance
16    payable after deducting  such  trade-in  allowance  from  the
17    total  selling price; the amount of tax due from the retailer
18    with respect to such transaction; the amount of tax collected
19    from the purchaser by the retailer on  such  transaction  (or
20    satisfactory  evidence  that  such  tax  is  not  due in that
21    particular instance, if that is claimed to be the fact);  the
22    place  and  date  of the sale; a sufficient identification of
23    the property sold; such other information as is  required  in
24    Section  5-402  of  the Illinois Vehicle Code, and such other
25    information as the Department may reasonably require.
26        The  transaction  reporting  return  in   the   case   of
27    watercraft and aircraft must show the name and address of the
28    seller;  the name and address of the purchaser; the amount of
29    the  selling  price  including  the  amount  allowed  by  the
30    retailer for traded-in property, if any; the  amount  allowed
31    by the retailer for the traded-in tangible personal property,
32    if  any,  to the extent to which Section 2 of this Act allows
33    an exemption for the value of traded-in property; the balance
34    payable after deducting  such  trade-in  allowance  from  the
 
                            -19-     LRB093 04444 SJM 04496 b
 1    total  selling price; the amount of tax due from the retailer
 2    with respect to such transaction; the amount of tax collected
 3    from the purchaser by the retailer on  such  transaction  (or
 4    satisfactory  evidence  that  such  tax  is  not  due in that
 5    particular instance, if that is claimed to be the fact);  the
 6    place  and  date  of the sale, a sufficient identification of
 7    the  property  sold,  and  such  other  information  as   the
 8    Department may reasonably require.
 9        Such  transaction  reporting  return  shall  be filed not
10    later than 20 days after the date of  delivery  of  the  item
11    that  is  being sold, but may be filed by the retailer at any
12    time  sooner  than  that  if  he  chooses  to  do  so.    The
13    transaction  reporting  return and tax remittance or proof of
14    exemption from the tax that is imposed by  this  Act  may  be
15    transmitted to the Department by way of the State agency with
16    which,  or  State  officer  with  whom, the tangible personal
17    property  must  be  titled  or  registered  (if  titling   or
18    registration  is  required) if the Department and such agency
19    or State officer determine that this procedure will  expedite
20    the processing of applications for title or registration.
21        With each such transaction reporting return, the retailer
22    shall  remit  the  proper  amount of tax due (or shall submit
23    satisfactory evidence that the sale is not taxable if that is
24    the case), to the Department or  its  agents,  whereupon  the
25    Department  shall  issue,  in  the  purchaser's  name,  a tax
26    receipt (or a certificate of exemption if the  Department  is
27    satisfied  that the particular sale is tax exempt) which such
28    purchaser may submit to  the  agency  with  which,  or  State
29    officer  with  whom,  he  must title or register the tangible
30    personal  property  that   is   involved   (if   titling   or
31    registration  is  required)  in  support  of such purchaser's
32    application for an Illinois certificate or other evidence  of
33    title or registration to such tangible personal property.
34        No  retailer's failure or refusal to remit tax under this
 
                            -20-     LRB093 04444 SJM 04496 b
 1    Act precludes a user, who has paid  the  proper  tax  to  the
 2    retailer,  from  obtaining  his certificate of title or other
 3    evidence of title or registration (if titling or registration
 4    is required) upon satisfying the Department  that  such  user
 5    has paid the proper tax (if tax is due) to the retailer.  The
 6    Department  shall  adopt  appropriate  rules to carry out the
 7    mandate of this paragraph.
 8        If the user who would otherwise pay tax to  the  retailer
 9    wants  the transaction reporting return filed and the payment
10    of tax or proof of exemption made to  the  Department  before
11    the  retailer  is willing to take these actions and such user
12    has not paid the tax to the retailer, such user  may  certify
13    to  the fact of such delay by the retailer, and may (upon the
14    Department   being   satisfied   of   the   truth   of   such
15    certification)  transmit  the  information  required  by  the
16    transaction reporting return and the remittance  for  tax  or
17    proof  of exemption directly to the Department and obtain his
18    tax receipt or exemption determination, in  which  event  the
19    transaction  reporting  return  and  tax remittance (if a tax
20    payment was required) shall be credited by the Department  to
21    the  proper  retailer's  account  with  the  Department,  but
22    without  the  2.1%  or  1.75%  discount  provided for in this
23    Section being allowed.  When the user pays the  tax  directly
24    to  the  Department,  he shall pay the tax in the same amount
25    and in the same form in which it would be remitted if the tax
26    had been remitted to the Department by the retailer.
27        Where a retailer collects the tax  with  respect  to  the
28    selling  price  of  tangible personal property which he sells
29    and the purchaser thereafter returns such  tangible  personal
30    property  and  the retailer refunds the selling price thereof
31    to the purchaser, such retailer shall  also  refund,  to  the
32    purchaser,  the  tax  so  collected  from the purchaser. When
33    filing his return for the period in which he refunds such tax
34    to the purchaser, the retailer may deduct the amount  of  the
 
                            -21-     LRB093 04444 SJM 04496 b
 1    tax  so  refunded  by him to the purchaser from any other use
 2    tax which such retailer may be required to pay  or  remit  to
 3    the Department, as shown by such return, if the amount of the
 4    tax  to be deducted was previously remitted to the Department
 5    by  such  retailer.   If  the  retailer  has  not  previously
 6    remitted the amount of such tax  to  the  Department,  he  is
 7    entitled  to  no deduction under this Act upon refunding such
 8    tax to the purchaser.
 9        Any retailer filing a return  under  this  Section  shall
10    also  include  (for  the  purpose  of paying tax thereon) the
11    total tax covered by such return upon the  selling  price  of
12    tangible  personal property purchased by him at retail from a
13    retailer, but as to which the tax imposed by this Act was not
14    collected from the retailer  filing  such  return,  and  such
15    retailer shall remit the amount of such tax to the Department
16    when filing such return.
17        If  experience  indicates  such action to be practicable,
18    the Department may prescribe and  furnish  a  combination  or
19    joint return which will enable retailers, who are required to
20    file   returns   hereunder  and  also  under  the  Retailers'
21    Occupation Tax Act, to furnish  all  the  return  information
22    required by both Acts on the one form.
23        Where  the retailer has more than one business registered
24    with the Department under separate  registration  under  this
25    Act,  such retailer may not file each return that is due as a
26    single return covering all such  registered  businesses,  but
27    shall   file   separate  returns  for  each  such  registered
28    business.
29        Beginning January 1,  1990,  each  month  the  Department
30    shall  pay  into the State and Local Sales Tax Reform Fund, a
31    special fund in the State Treasury which is  hereby  created,
32    the  net revenue realized for the preceding month from the 1%
33    tax on sales of food for human consumption  which  is  to  be
34    consumed  off  the  premises  where  it  is  sold (other than
 
                            -22-     LRB093 04444 SJM 04496 b
 1    alcoholic beverages, soft drinks  and  food  which  has  been
 2    prepared  for  immediate  consumption)  and  prescription and
 3    nonprescription  medicines,  drugs,  medical  appliances  and
 4    insulin, urine testing materials, syringes and  needles  used
 5    by diabetics.
 6        Beginning  January  1,  1990,  each  month the Department
 7    shall pay into the County and Mass Transit District  Fund  4%
 8    of  the net revenue realized for the preceding month from the
 9    6.25% general rate on the selling price of tangible  personal
10    property which is purchased outside Illinois at retail from a
11    retailer  and  which  is titled or registered by an agency of
12    this State's government.
13        Beginning January 1,  1990,  each  month  the  Department
14    shall  pay  into the State and Local Sales Tax Reform Fund, a
15    special fund in the State Treasury, 20% of  the  net  revenue
16    realized  for the preceding month from the 6.25% general rate
17    on the selling price of  tangible  personal  property,  other
18    than  tangible  personal  property which is purchased outside
19    Illinois at retail from a retailer and  which  is  titled  or
20    registered by an agency of this State's government.
21        Beginning August 1, 2000, each month the Department shall
22    pay  into  the  State and Local Sales Tax Reform Fund 100% of
23    the net revenue realized for the  preceding  month  from  the
24    1.25%  rate  on  the selling price of motor fuel and gasohol.
25         Beginning August 1,  2003,  each  month  the  Department
26    shall pay into the State and Local Sales Tax Reform Fund 100%
27    of  the net revenue realized for the preceding month from the
28    1.25% rate on the selling price of textbooks required for use
29    at State universities and public  community  colleges  or  at
30    institutions  of  higher  learning as defined in the Illinois
31    Financial Assistance Act for Nonpublic Institutions of Higher
32    Learning.
33        Beginning January 1,  1990,  each  month  the  Department
34    shall  pay  into the Local Government Tax Fund 16% of the net
 
                            -23-     LRB093 04444 SJM 04496 b
 1    revenue realized for  the  preceding  month  from  the  6.25%
 2    general  rate  on  the  selling  price  of  tangible personal
 3    property which is purchased outside Illinois at retail from a
 4    retailer and which is titled or registered by  an  agency  of
 5    this State's government.
 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 Section 3 of the Retailers' Occupation Tax Act, Section  9
15    of the Use Tax Act, Section 9 of the Service Use Tax Act, and
16    Section  9 of the Service Occupation Tax Act, such Acts being
17    hereinafter called the "Tax Acts" and such aggregate of  2.2%
18    or  3.8%,  as  the  case  may be, of moneys being hereinafter
19    called the "Tax Act Amount", and (2) the  amount  transferred
20    to the Build Illinois Fund from the State and Local Sales Tax
21    Reform  Fund  shall  be less than the Annual Specified Amount
22    (as defined in Section 3 of  the  Retailers'  Occupation  Tax
23    Act),  an amount equal to the difference shall be immediately
24    paid into the Build Illinois Fund from other moneys  received
25    by  the  Department  pursuant  to  the  Tax Acts; and further
26    provided, that if on the last business day of any  month  the
27    sum  of  (1) the Tax Act Amount required to be deposited into
28    the Build Illinois Bond Account in the  Build  Illinois  Fund
29    during  such month and (2) the amount transferred during such
30    month to the Build Illinois Fund from  the  State  and  Local
31    Sales  Tax  Reform Fund shall have been less than 1/12 of the
32    Annual Specified Amount, an amount equal  to  the  difference
33    shall  be  immediately paid into the Build Illinois Fund from
34    other moneys received by the Department pursuant to  the  Tax
 
                            -24-     LRB093 04444 SJM 04496 b
 1    Acts;  and,  further  provided,  that  in  no event shall the
 2    payments required  under  the  preceding  proviso  result  in
 3    aggregate  payments  into the Build Illinois Fund pursuant to
 4    this clause (b) for any fiscal year in excess of the  greater
 5    of (i) the Tax Act Amount or (ii) the Annual Specified Amount
 6    for such fiscal year; and, further provided, that the amounts
 7    payable  into  the  Build Illinois Fund under this clause (b)
 8    shall be payable only until such time as the aggregate amount
 9    on deposit under each trust indenture securing  Bonds  issued
10    and  outstanding  pursuant  to the Build Illinois Bond Act is
11    sufficient, taking into account any future investment income,
12    to fully provide, in accordance with such indenture, for  the
13    defeasance of or the payment of the principal of, premium, if
14    any,  and interest on the Bonds secured by such indenture and
15    on any Bonds expected to be issued thereafter  and  all  fees
16    and  costs  payable with respect thereto, all as certified by
17    the Director of the Bureau of the Budget.   If  on  the  last
18    business  day  of  any  month  in which Bonds are outstanding
19    pursuant to the Build Illinois Bond Act, the aggregate of the
20    moneys deposited in the Build Illinois Bond  Account  in  the
21    Build  Illinois  Fund  in  such  month shall be less than the
22    amount required to be transferred  in  such  month  from  the
23    Build  Illinois  Bond  Account  to  the  Build  Illinois Bond
24    Retirement and Interest Fund pursuant to Section  13  of  the
25    Build  Illinois  Bond Act, an amount equal to such deficiency
26    shall be immediately paid from other moneys received  by  the
27    Department  pursuant  to  the  Tax Acts to the Build Illinois
28    Fund; provided, however, that any amounts paid to  the  Build
29    Illinois  Fund  in  any fiscal year pursuant to this sentence
30    shall be deemed to constitute payments pursuant to clause (b)
31    of  the  preceding  sentence  and  shall  reduce  the  amount
32    otherwise payable for such fiscal year pursuant to clause (b)
33    of the  preceding  sentence.   The  moneys  received  by  the
34    Department  pursuant to this Act and required to be deposited
 
                            -25-     LRB093 04444 SJM 04496 b
 1    into the Build Illinois Fund are subject to the pledge, claim
 2    and charge set forth in Section 12 of the Build Illinois Bond
 3    Act.
 4        Subject to payment of amounts  into  the  Build  Illinois
 5    Fund  as  provided  in  the  preceding  paragraph  or  in any
 6    amendment thereto hereafter enacted, the following  specified
 7    monthly   installment   of   the   amount  requested  in  the
 8    certificate of the Chairman  of  the  Metropolitan  Pier  and
 9    Exposition  Authority  provided  under  Section  8.25f of the
10    State Finance Act, but not in excess of the  sums  designated
11    as  "Total Deposit", shall be deposited in the aggregate from
12    collections under Section 9 of the Use Tax Act, Section 9  of
13    the  Service Use Tax Act, Section 9 of the Service Occupation
14    Tax Act, and Section 3 of the Retailers' Occupation  Tax  Act
15    into  the  McCormick  Place  Expansion  Project  Fund  in the
16    specified fiscal years.
17               Fiscal Year                           Total Deposit
18                   1993                                        $0
19                   1994                                53,000,000
20                   1995                                58,000,000
21                   1996                                61,000,000
22                   1997                                64,000,000
23                   1998                                68,000,000
24                   1999                                71,000,000
25                   2000                                75,000,000
26                   2001                                80,000,000
27                   2002                                93,000,000
28                   2003                                99,000,000
29                   2004                               103,000,000
30                   2005                               108,000,000
31                   2006                               113,000,000
32                   2007                               119,000,000
33                   2008                               126,000,000
34                   2009                               132,000,000
 
                            -26-     LRB093 04444 SJM 04496 b
 1                   2010                               139,000,000
 2                   2011                               146,000,000
 3                   2012                               153,000,000
 4                   2013                               161,000,000
 5                   2014                               170,000,000
 6                   2015                               179,000,000
 7                   2016                               189,000,000
 8                   2017                               199,000,000
 9                   2018                               210,000,000
10                   2019                               221,000,000
11                   2020                               233,000,000
12                   2021                               246,000,000
13                   2022                               260,000,000
14                 2023 and                             275,000,000
15    each fiscal year
16    thereafter that bonds
17    are outstanding under
18    Section 13.2 of the
19    Metropolitan Pier and
20    Exposition Authority
21    Act, but not after fiscal year 2042.
22        Beginning July 20, 1993 and in each month of each  fiscal
23    year  thereafter,  one-eighth  of the amount requested in the
24    certificate of the Chairman  of  the  Metropolitan  Pier  and
25    Exposition  Authority  for  that fiscal year, less the amount
26    deposited into the McCormick Place Expansion Project Fund  by
27    the  State Treasurer in the respective month under subsection
28    (g) of Section 13 of the  Metropolitan  Pier  and  Exposition
29    Authority  Act,  plus cumulative deficiencies in the deposits
30    required under this Section for previous  months  and  years,
31    shall be deposited into the McCormick Place Expansion Project
32    Fund,  until  the  full amount requested for the fiscal year,
33    but not in excess of the amount  specified  above  as  "Total
34    Deposit", has been deposited.
 
                            -27-     LRB093 04444 SJM 04496 b
 1        Subject  to  payment  of  amounts into the Build Illinois
 2    Fund and the McCormick Place Expansion Project Fund  pursuant
 3    to  the  preceding  paragraphs  or  in any amendments thereto
 4    hereafter enacted, beginning July  1,  1993,  the  Department
 5    shall  each  month  pay  into the Illinois Tax Increment Fund
 6    0.27% of 80% of the net revenue realized  for  the  preceding
 7    month  from  the  6.25%  general rate on the selling price of
 8    tangible personal property.
 9        Subject to payment of amounts  into  the  Build  Illinois
10    Fund  and the McCormick Place Expansion Project Fund pursuant
11    to the preceding paragraphs  or  in  any  amendments  thereto
12    hereafter  enacted,  beginning  with the receipt of the first
13    report of taxes paid by an eligible business  and  continuing
14    for  a  25-year  period,  the Department shall each month pay
15    into the Energy Infrastructure Fund 80% of  the  net  revenue
16    realized  from the 6.25% general rate on the selling price of
17    Illinois-mined coal that was sold to  an  eligible  business.
18    For  purposes of this paragraph, the term "eligible business"
19    means a new electric generating facility  certified  pursuant
20    to   Section  605-332  of  the  Department  of  Commerce  and
21    Community Affairs Law of the  Civil  Administrative  Code  of
22    Illinois.
23        Of the remainder of the moneys received by the Department
24    pursuant  to  this  Act,  75%  thereof shall be paid into the
25    State Treasury and 25% shall be reserved in a special account
26    and used only for the transfer to the Common School  Fund  as
27    part of the monthly transfer from the General Revenue Fund in
28    accordance with Section 8a of the State Finance Act.
29        As  soon  as  possible after the first day of each month,
30    upon  certification  of  the  Department  of   Revenue,   the
31    Comptroller  shall  order transferred and the Treasurer shall
32    transfer from the General Revenue Fund to the Motor Fuel  Tax
33    Fund  an  amount  equal  to  1.7%  of  80% of the net revenue
34    realized under this  Act  for  the  second  preceding  month.
 
                            -28-     LRB093 04444 SJM 04496 b
 1    Beginning  April 1, 2000, this transfer is no longer required
 2    and shall not be made.
 3        Net revenue realized for a month  shall  be  the  revenue
 4    collected  by the State pursuant to this Act, less the amount
 5    paid out during  that  month  as  refunds  to  taxpayers  for
 6    overpayment of liability.
 7        For  greater simplicity of administration, manufacturers,
 8    importers and wholesalers whose products are sold  at  retail
 9    in Illinois by numerous retailers, and who wish to do so, may
10    assume  the  responsibility  for accounting and paying to the
11    Department all tax accruing under this Act  with  respect  to
12    such  sales,  if  the  retailers who are affected do not make
13    written objection to the Department to this arrangement.
14    (Source: P.A.  91-37,  eff.  7-1-99;  91-51,  eff.   6-30-99;
15    91-101,  eff.  7-12-99;  91-541,  eff.  8-13-99; 91-872, eff.
16    7-1-00; 91-901, eff. 1-1-01; 92-12, eff. 7-1-01; 92-16,  eff.
17    6-28-01;  92-208,  eff.  8-2-01; 92-492, eff. 1-1-02; 92-600,
18    eff. 6-28-02; 92-651, eff. 7-11-02.)

19        Section 15.  The  Service  Use  Tax  Act  is  amended  by
20    changing Sections 3-10 and 9 as follows:

21        (35 ILCS 110/3-10) (from Ch. 120, par. 439.33-10)
22        Sec.  3-10.   Rate  of tax.  Unless otherwise provided in
23    this Section, the tax imposed by this Act is at the  rate  of
24    6.25%  of  the  selling  price  of tangible personal property
25    transferred as an incident to the sale of service,  but,  for
26    the  purpose  of  computing  this  tax, in no event shall the
27    selling price be less than the cost price of the property  to
28    the serviceman.
29        Beginning  on July 1, 2000 and through December 31, 2000,
30    with respect to motor fuel, as defined in Section 1.1 of  the
31    Motor  Fuel  Tax Law, and gasohol, as defined in Section 3-40
32    of the Use Tax Act, the tax is imposed at the rate of 1.25%.
 
                            -29-     LRB093 04444 SJM 04496 b
 1        With respect to gasohol, as defined in the Use  Tax  Act,
 2    the  tax  imposed  by  this Act applies to 70% of the selling
 3    price of property transferred as an incident to the  sale  of
 4    service on or after January 1, 1990, and before July 1, 2003,
 5    and to 100% of the selling price thereafter.
 6        Beginning   July  1,  2003,  with  respect  to  textbooks
 7    required for use at State universities and  public  community
 8    colleges  or at institutions of higher learning as defined in
 9    the  Illinois  Financial   Assistance   Act   for   Nonpublic
10    Institutions  of  Higher  Learning, the tax is imposed at the
11    rate of 1.25%. The Department may adopt  rules  necessary  to
12    implement and administer the 1.25% rate on textbooks.
13        At  the  election  of  any registered serviceman made for
14    each fiscal year, sales of service  in  which  the  aggregate
15    annual  cost  price of tangible personal property transferred
16    as an incident to the sales of service is less than  35%,  or
17    75% in the case of servicemen transferring prescription drugs
18    or  servicemen  engaged  in  graphic  arts production, of the
19    aggregate annual total  gross  receipts  from  all  sales  of
20    service,  the  tax  imposed by this Act shall be based on the
21    serviceman's cost price of  the  tangible  personal  property
22    transferred as an incident to the sale of those services.
23        The  tax  shall  be  imposed  at  the  rate of 1% on food
24    prepared for immediate consumption and  transferred  incident
25    to  a  sale  of  service  subject  to this Act or the Service
26    Occupation Tax Act by an entity licensed under  the  Hospital
27    Licensing  Act,  the Nursing Home Care Act, or the Child Care
28    Act of 1969.  The tax shall also be imposed at the rate of 1%
29    on food for human consumption that is to be consumed off  the
30    premises  where  it  is sold (other than alcoholic beverages,
31    soft drinks, and food that has been  prepared  for  immediate
32    consumption  and is not otherwise included in this paragraph)
33    and  prescription  and  nonprescription   medicines,   drugs,
34    medical  appliances, modifications to a motor vehicle for the
 
                            -30-     LRB093 04444 SJM 04496 b
 1    purpose of rendering it usable  by  a  disabled  person,  and
 2    insulin,  urine testing materials, syringes, and needles used
 3    by diabetics,  for  human  use.  For  the  purposes  of  this
 4    Section, the term "soft drinks" means any complete, finished,
 5    ready-to-use, non-alcoholic drink, whether carbonated or not,
 6    including  but  not limited to soda water, cola, fruit juice,
 7    vegetable juice, carbonated water, and all other preparations
 8    commonly known as soft drinks of whatever kind or description
 9    that are contained in  any  closed  or  sealed  bottle,  can,
10    carton, or container, regardless of size.  "Soft drinks" does
11    not   include   coffee,  tea,  non-carbonated  water,  infant
12    formula, milk or milk products as  defined  in  the  Grade  A
13    Pasteurized  Milk and Milk Products Act, or drinks containing
14    50% or more natural fruit or vegetable juice.
15        Notwithstanding any other provisions of this  Act,  "food
16    for human consumption that is to be consumed off the premises
17    where  it  is  sold" includes all food sold through a vending
18    machine, except  soft  drinks  and  food  products  that  are
19    dispensed  hot  from  a  vending  machine,  regardless of the
20    location of the vending machine.
21        If the property that is acquired  from  a  serviceman  is
22    acquired  outside  Illinois  and used outside Illinois before
23    being brought to Illinois for use here and is  taxable  under
24    this  Act,  the  "selling price" on which the tax is computed
25    shall be reduced by an amount that  represents  a  reasonable
26    allowance   for   depreciation   for   the  period  of  prior
27    out-of-state use.
28    (Source: P.A. 90-605, eff.  6-30-98;  90-606,  eff.  6-30-98;
29    91-51,  eff.  6-30-99;  91-541,  eff.  8-13-99;  91-872, eff.
30    7-1-00.)

31        (35 ILCS 110/9) (from Ch. 120, par. 439.39)
32        Sec.  9.  Each  serviceman  required  or  authorized   to
33    collect  the  tax  herein imposed shall pay to the Department
 
                            -31-     LRB093 04444 SJM 04496 b
 1    the amount of such tax (except as otherwise provided) at  the
 2    time  when  he  is required to file his return for the period
 3    during which such tax was collected, less a discount of  2.1%
 4    prior  to  January  1, 1990 and 1.75% on and after January 1,
 5    1990, or $5 per calendar year, whichever is greater, which is
 6    allowed to reimburse the serviceman for expenses incurred  in
 7    collecting  the  tax,  keeping  records, preparing and filing
 8    returns,  remitting  the  tax  and  supplying  data  to   the
 9    Department  on request. A serviceman need not remit that part
10    of any tax collected by him to the extent that he is required
11    to pay and does pay the tax imposed by the Service Occupation
12    Tax Act with respect to his sale  of  service  involving  the
13    incidental transfer by him of the same property.
14        Except  as  provided  hereinafter  in this Section, on or
15    before  the  twentieth  day  of  each  calendar  month,  such
16    serviceman shall file a return  for  the  preceding  calendar
17    month  in accordance with reasonable Rules and Regulations to
18    be promulgated by the Department. Such return shall be  filed
19    on a form prescribed by the Department and shall contain such
20    information as the Department may reasonably require.
21        The  Department  may  require  returns  to  be filed on a
22    quarterly basis.  If so required, a return for each  calendar
23    quarter  shall be filed on or before the twentieth day of the
24    calendar month following the end of  such  calendar  quarter.
25    The taxpayer shall also file a return with the Department for
26    each  of the first two months of each calendar quarter, on or
27    before the twentieth day of  the  following  calendar  month,
28    stating:
29             1.  The name of the seller;
30             2.  The  address  of the principal place of business
31        from which he engages in business as a serviceman in this
32        State;
33             3.  The total amount of taxable receipts received by
34        him  during  the  preceding  calendar  month,   including
 
                            -32-     LRB093 04444 SJM 04496 b
 1        receipts  from  charge  and  time  sales,  but  less  all
 2        deductions allowed by law;
 3             4.  The  amount  of credit provided in Section 2d of
 4        this Act;
 5             5.  The amount of tax due;
 6             5-5.  The signature of the taxpayer; and
 7             6.  Such  other  reasonable   information   as   the
 8        Department may require.
 9        If a taxpayer fails to sign a return within 30 days after
10    the proper notice and demand for signature by the Department,
11    the  return shall be considered valid and any amount shown to
12    be due on the return shall be deemed assessed.
13        Beginning October 1, 1993, a taxpayer who has an  average
14    monthly  tax  liability  of  $150,000  or more shall make all
15    payments required by rules of the  Department  by  electronic
16    funds  transfer.   Beginning  October 1, 1994, a taxpayer who
17    has an average monthly tax  liability  of  $100,000  or  more
18    shall  make  all payments required by rules of the Department
19    by electronic funds transfer.  Beginning October 1,  1995,  a
20    taxpayer  who has an average monthly tax liability of $50,000
21    or more shall make all payments  required  by  rules  of  the
22    Department by electronic funds transfer. Beginning October 1,
23    2000,  a taxpayer who has an annual tax liability of $200,000
24    or more shall make all payments  required  by  rules  of  the
25    Department  by  electronic  funds transfer.  The term "annual
26    tax liability" shall be the sum of the taxpayer's liabilities
27    under  this  Act,  and  under  all  other  State  and   local
28    occupation  and  use tax laws administered by the Department,
29    for the  immediately  preceding  calendar  year.    The  term
30    "average   monthly  tax  liability"  means  the  sum  of  the
31    taxpayer's liabilities under this Act, and  under  all  other
32    State  and  local occupation and use tax laws administered by
33    the Department, for the immediately preceding  calendar  year
34    divided  by  12. Beginning on October 1, 2002, a taxpayer who
 
                            -33-     LRB093 04444 SJM 04496 b
 1    has a tax liability in the amount set forth in subsection (b)
 2    of Section 2505-210 of the Department of  Revenue  Law  shall
 3    make  all  payments  required  by  rules of the Department by
 4    electronic funds transfer.
 5        Before August 1 of  each  year  beginning  in  1993,  the
 6    Department  shall  notify  all  taxpayers  required  to  make
 7    payments by electronic funds transfer. All taxpayers required
 8    to  make  payments  by  electronic  funds transfer shall make
 9    those payments for a minimum of one year beginning on October
10    1.
11        Any taxpayer not required to make payments by  electronic
12    funds transfer may make payments by electronic funds transfer
13    with the permission of the Department.
14        All  taxpayers  required  to  make  payment by electronic
15    funds transfer and any taxpayers  authorized  to  voluntarily
16    make  payments  by electronic funds transfer shall make those
17    payments in the manner authorized by the Department.
18        The Department shall adopt such rules as are necessary to
19    effectuate a program of electronic  funds  transfer  and  the
20    requirements of this Section.
21        If the serviceman is otherwise required to file a monthly
22    return  and if the serviceman's average monthly tax liability
23    to the Department does not exceed $200,  the  Department  may
24    authorize  his returns to be filed on a quarter annual basis,
25    with the return for January, February and March  of  a  given
26    year  being due by April 20 of such year; with the return for
27    April, May and June of a given year being due by July  20  of
28    such  year; with the return for July, August and September of
29    a given year being due by October 20 of such year,  and  with
30    the return for October, November and December of a given year
31    being due by January 20 of the following year.
32        If the serviceman is otherwise required to file a monthly
33    or  quarterly  return and if the serviceman's average monthly
34    tax liability to the Department  does  not  exceed  $50,  the
 
                            -34-     LRB093 04444 SJM 04496 b
 1    Department may authorize his returns to be filed on an annual
 2    basis,  with the return for a given year being due by January
 3    20 of the following 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        Where  a  serviceman collects the tax with respect to the
15    selling price of property which he sells  and  the  purchaser
16    thereafter  returns  such property and the serviceman refunds
17    the selling price thereof to the purchaser,  such  serviceman
18    shall  also  refund,  to  the purchaser, the tax so collected
19    from the purchaser. When filing his return for the period  in
20    which  he  refunds  such tax to the purchaser, the serviceman
21    may deduct the amount of the tax so refunded by  him  to  the
22    purchaser  from any other Service Use Tax, Service Occupation
23    Tax,  retailers'  occupation  tax  or  use  tax  which   such
24    serviceman may be required to pay or remit to the Department,
25    as  shown by such return, provided that the amount of the tax
26    to be deducted shall previously have  been  remitted  to  the
27    Department  by  such  serviceman. If the serviceman shall not
28    previously have remitted  the  amount  of  such  tax  to  the
29    Department,  he  shall  be entitled to no deduction hereunder
30    upon refunding such tax to the purchaser.
31        Any serviceman  filing  a  return  hereunder  shall  also
32    include  the  total  tax  upon  the selling price of tangible
33    personal property purchased for use by him as an incident  to
34    a sale of service, and such serviceman shall remit the amount
 
                            -35-     LRB093 04444 SJM 04496 b
 1    of such tax to the Department when filing such return.
 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   Service
 6    Occupation  Tax  Act,  to  furnish all the return information
 7    required by both Acts on the one form.
 8        Where  the  serviceman  has  more   than   one   business
 9    registered  with  the  Department under separate registration
10    hereunder, such serviceman shall not file each return that is
11    due  as  a  single  return  covering  all   such   registered
12    businesses,  but  shall  file  separate returns for each such
13    registered business.
14        Beginning January 1,  1990,  each  month  the  Department
15    shall pay into the State and Local Tax Reform Fund, a special
16    fund  in the State Treasury, the net revenue realized for the
17    preceding month from the 1% tax on sales of  food  for  human
18    consumption which is to be consumed off the premises where it
19    is sold (other than alcoholic beverages, soft drinks and food
20    which  has  been  prepared  for  immediate  consumption)  and
21    prescription  and  nonprescription  medicines, drugs, medical
22    appliances and insulin, urine testing materials, syringes and
23    needles used by diabetics.
24        Beginning January 1,  1990,  each  month  the  Department
25    shall  pay into the State and Local Sales Tax Reform Fund 20%
26    of the net revenue realized for the preceding month from  the
27    6.25%   general   rate  on  transfers  of  tangible  personal
28    property, other than  tangible  personal  property  which  is
29    purchased  outside  Illinois  at  retail  from a retailer and
30    which is titled or registered by an agency  of  this  State's
31    government.
32        Beginning August 1, 2000, each month the Department shall
33    pay  into  the  State and Local Sales Tax Reform Fund 100% of
34    the net revenue realized for the  preceding  month  from  the
 
                            -36-     LRB093 04444 SJM 04496 b
 1    1.25% rate on the selling price of motor fuel and gasohol.
 2        Beginning August 1, 2003, each month the Department shall
 3    pay  into  the  State and Local Sales Tax Reform Fund 100% of
 4    the net revenue realized for the  preceding  month  from  the
 5    1.25% rate on the selling price of textbooks required for use
 6    at  State  universities  and  public community colleges or at
 7    institutions of higher learning as defined  in  the  Illinois
 8    Financial Assistance Act for Nonpublic Institutions of Higher
 9    Learning.
10        Of the remainder of the moneys received by the Department
11    pursuant  to  this Act, (a)  1.75% thereof shall be paid into
12    the Build Illinois Fund and (b) prior to July 1,  1989,  2.2%
13    and  on  and  after July 1, 1989, 3.8% thereof shall be  paid
14    into the Build Illinois Fund; provided, however, that  if  in
15    any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
16    as  the case may be, of the moneys received by the Department
17    and required to be paid into the Build Illinois Fund pursuant
18    to Section 3 of the Retailers' Occupation Tax Act, Section  9
19    of the Use Tax Act, Section 9 of the Service Use Tax Act, and
20    Section  9 of the Service Occupation Tax Act, such Acts being
21    hereinafter called the "Tax Acts" and such aggregate of  2.2%
22    or  3.8%,  as  the  case  may be, of moneys being hereinafter
23    called the "Tax Act Amount", and (2) the  amount  transferred
24    to the Build Illinois Fund from the State and Local Sales Tax
25    Reform  Fund  shall be less than the Annual Specified  Amount
26    (as defined in Section 3 of  the  Retailers'  Occupation  Tax
27    Act),  an amount equal to the difference shall be immediately
28    paid into the Build Illinois Fund from other moneys  received
29    by  the  Department  pursuant  to  the  Tax Acts; and further
30    provided, that if on the last business day of any  month  the
31    sum  of  (1) the Tax Act Amount required to be deposited into
32    the Build Illinois Bond Account in the  Build  Illinois  Fund
33    during  such month and (2) the amount transferred during such
34    month to the Build Illinois Fund from  the  State  and  Local
 
                            -37-     LRB093 04444 SJM 04496 b
 1    Sales  Tax  Reform Fund shall have been less than 1/12 of the
 2    Annual Specified Amount, an amount equal  to  the  difference
 3    shall  be  immediately paid into the Build Illinois Fund from
 4    other moneys received by the Department pursuant to  the  Tax
 5    Acts;  and,  further  provided,  that  in  no event shall the
 6    payments required  under  the  preceding  proviso  result  in
 7    aggregate  payments  into the Build Illinois Fund pursuant to
 8    this clause (b) for any fiscal year in excess of the  greater
 9    of (i) the Tax Act Amount or (ii) the Annual Specified Amount
10    for such fiscal year; and, further provided, that the amounts
11    payable  into  the  Build Illinois Fund under this clause (b)
12    shall be payable only until such time as the aggregate amount
13    on deposit under each trust indenture securing  Bonds  issued
14    and  outstanding  pursuant  to the Build Illinois Bond Act is
15    sufficient, taking into account any future investment income,
16    to fully provide, in accordance with such indenture, for  the
17    defeasance of or the payment of the principal of, premium, if
18    any,  and interest on the Bonds secured by such indenture and
19    on any Bonds expected to be issued thereafter  and  all  fees
20    and  costs  payable with respect thereto, all as certified by
21    the Director of the Bureau of the Budget.   If  on  the  last
22    business  day  of  any  month  in which Bonds are outstanding
23    pursuant to the Build Illinois Bond Act, the aggregate of the
24    moneys deposited in the Build Illinois Bond  Account  in  the
25    Build  Illinois  Fund  in  such  month shall be less than the
26    amount required to be transferred  in  such  month  from  the
27    Build  Illinois  Bond  Account  to  the  Build  Illinois Bond
28    Retirement and Interest Fund pursuant to Section  13  of  the
29    Build  Illinois  Bond Act, an amount equal to such deficiency
30    shall be immediately paid from other moneys received  by  the
31    Department  pursuant  to  the  Tax Acts to the Build Illinois
32    Fund; provided, however, that any amounts paid to  the  Build
33    Illinois  Fund  in  any fiscal year pursuant to this sentence
34    shall be deemed to constitute payments pursuant to clause (b)
 
                            -38-     LRB093 04444 SJM 04496 b
 1    of  the  preceding  sentence  and  shall  reduce  the  amount
 2    otherwise payable for such fiscal year pursuant to clause (b)
 3    of the  preceding  sentence.   The  moneys  received  by  the
 4    Department  pursuant to this Act and required to be deposited
 5    into the Build Illinois Fund are subject to the pledge, claim
 6    and charge set forth in Section 12 of the Build Illinois Bond
 7    Act.
 8        Subject to payment of amounts  into  the  Build  Illinois
 9    Fund  as  provided  in  the  preceding  paragraph  or  in any
10    amendment thereto hereafter enacted, the following  specified
11    monthly   installment   of   the   amount  requested  in  the
12    certificate of the Chairman  of  the  Metropolitan  Pier  and
13    Exposition  Authority  provided  under  Section  8.25f of the
14    State Finance Act, but not in excess of the  sums  designated
15    as  "Total Deposit", shall be deposited in the aggregate from
16    collections under Section 9 of the Use Tax Act, Section 9  of
17    the  Service Use Tax Act, Section 9 of the Service Occupation
18    Tax Act, and Section 3 of the Retailers' Occupation  Tax  Act
19    into  the  McCormick  Place  Expansion  Project  Fund  in the
20    specified fiscal years.
21               Fiscal Year                           Total Deposit
22                   1993                                        $0
23                   1994                                53,000,000
24                   1995                                58,000,000
25                   1996                                61,000,000
26                   1997                                64,000,000
27                   1998                                68,000,000
28                   1999                                71,000,000
29                   2000                                75,000,000
30                   2001                                80,000,000
31                   2002                                93,000,000
32                   2003                                99,000,000
33                   2004                               103,000,000
34                   2005                               108,000,000
 
                            -39-     LRB093 04444 SJM 04496 b
 1                   2006                               113,000,000
 2                   2007                               119,000,000
 3                   2008                               126,000,000
 4                   2009                               132,000,000
 5                   2010                               139,000,000
 6                   2011                               146,000,000
 7                   2012                               153,000,000
 8                   2013                               161,000,000
 9                   2014                               170,000,000
10                   2015                               179,000,000
11                   2016                               189,000,000
12                   2017                               199,000,000
13                   2018                               210,000,000
14                   2019                               221,000,000
15                   2020                               233,000,000
16                   2021                               246,000,000
17                   2022                               260,000,000
18                 2023 and                             275,000,000
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 Act,
25    but not after fiscal year 2042.
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,
 
                            -40-     LRB093 04444 SJM 04496 b
 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 amendments thereto
 8    hereafter enacted, beginning July  1,  1993,  the  Department
 9    shall  each  month  pay  into the Illinois Tax Increment Fund
10    0.27% of 80% of the net revenue realized  for  the  preceding
11    month  from  the  6.25%  general rate on the selling price of
12    tangible personal property.
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  amendments  thereto
16    hereafter  enacted,  beginning  with the receipt of the first
17    report of taxes paid by an eligible business  and  continuing
18    for  a  25-year  period,  the Department shall each month pay
19    into the Energy Infrastructure Fund 80% of  the  net  revenue
20    realized  from the 6.25% general rate on the selling price of
21    Illinois-mined coal that was sold to  an  eligible  business.
22    For  purposes of this paragraph, the term "eligible business"
23    means a new electric generating facility  certified  pursuant
24    to   Section  605-332  of  the  Department  of  Commerce  and
25    Community Affairs Law of the  Civil  Administrative  Code  of
26    Illinois.
27        All  remaining moneys received by the Department pursuant
28    to this Act shall be paid into the General  Revenue  Fund  of
29    the State Treasury.
30        As  soon  as  possible after the first day of each month,
31    upon  certification  of  the  Department  of   Revenue,   the
32    Comptroller  shall  order transferred and the Treasurer shall
33    transfer from the General Revenue Fund to the Motor Fuel  Tax
34    Fund  an  amount  equal  to  1.7%  of  80% of the net revenue
 
                            -41-     LRB093 04444 SJM 04496 b
 1    realized under this  Act  for  the  second  preceding  month.
 2    Beginning  April 1, 2000, this transfer is no longer required
 3    and shall not be made.
 4        Net revenue realized for a month  shall  be  the  revenue
 5    collected  by the State pursuant to this Act, less the amount
 6    paid out during  that  month  as  refunds  to  taxpayers  for
 7    overpayment of liability.
 8    (Source: P.A.   91-37,  eff.  7-1-99;  91-51,  eff.  6-30-99;
 9    91-101, eff. 7-12-99;  91-541,  eff.  8-13-99;  91-872,  eff.
10    7-1-00; 92-12, eff. 7-1-01; 92-208, eff. 8-2-01; 92-492, eff.
11    1-1-02; 92-600, eff. 6-28-02; 92-651, eff. 7-11-02.)

12        Section 20.  The Service Occupation Tax Act is amended by
13    changing Sections 3-10 and 9 as follows:

14        (35 ILCS 115/3-10) (from Ch. 120, par. 439.103-10)
15        Sec.  3-10.  Rate  of  tax.  Unless otherwise provided in
16    this Section, the tax imposed by this Act is at the  rate  of
17    6.25%  of the "selling price", as defined in Section 2 of the
18    Service Use Tax Act, of the tangible personal property.   For
19    the  purpose  of  computing  this  tax, in no event shall the
20    "selling price" be less than the cost price to the serviceman
21    of the tangible personal property transferred.   The  selling
22    price  of each item of tangible personal property transferred
23    as an incident of a  sale  of  service  may  be  shown  as  a
24    distinct and separate item on the serviceman's billing to the
25    service  customer.  If the selling price is not so shown, the
26    selling price of the tangible personal property is deemed  to
27    be  50%  of  the  serviceman's  entire billing to the service
28    customer.  When, however, a serviceman contracts  to  design,
29    develop,  and  produce  special order machinery or equipment,
30    the  tax  imposed  by  this  Act  shall  be  based   on   the
31    serviceman's  cost  price  of  the tangible personal property
32    transferred incident to the completion of the contract.
 
                            -42-     LRB093 04444 SJM 04496 b
 1        Beginning on July 1, 2000 and through December 31,  2000,
 2    with  respect to motor fuel, as defined in Section 1.1 of the
 3    Motor Fuel Tax Law, and gasohol, as defined in  Section  3-40
 4    of the Use Tax Act, the tax is imposed at the rate of 1.25%.
 5        With  respect  to gasohol, as defined in the Use Tax Act,
 6    the tax imposed by this Act shall apply to 70%  of  the  cost
 7    price  of  property transferred as an incident to the sale of
 8    service on or after January 1, 1990, and before July 1, 2003,
 9    and to 100% of the cost price thereafter.
10        Beginning  July  1,  2003,  with  respect  to   textbooks
11    required  for  use at State universities and public community
12    colleges or at institutions of higher learning as defined  in
13    the   Illinois   Financial   Assistance   Act  for  Nonpublic
14    Institutions of Higher Learning,  the tax is imposed  at  the
15    rate  of  1.25%.  The Department may adopt rules necessary to
16    implement and administer the 1.25% rate on textbooks.
17        At the election of any  registered  serviceman  made  for
18    each  fiscal  year,  sales  of service in which the aggregate
19    annual cost price of tangible personal  property  transferred
20    as  an  incident to the sales of service is less than 35%, or
21    75% in the case of servicemen transferring prescription drugs
22    or servicemen engaged in  graphic  arts  production,  of  the
23    aggregate  annual  total  gross  receipts  from  all sales of
24    service, the tax imposed by this Act shall be  based  on  the
25    serviceman's  cost  price  of  the tangible personal property
26    transferred incident to the sale of those services.
27        The tax shall be imposed  at  the  rate  of  1%  on  food
28    prepared  for  immediate consumption and transferred incident
29    to a sale of service subject  to  this  Act  or  the  Service
30    Occupation  Tax  Act by an entity licensed under the Hospital
31    Licensing Act, the Nursing Home Care Act, or the  Child  Care
32    Act of 1969.  The tax shall also be imposed at the rate of 1%
33    on  food for human consumption that is to be consumed off the
34    premises where it is sold (other  than  alcoholic  beverages,
 
                            -43-     LRB093 04444 SJM 04496 b
 1    soft  drinks,  and  food that has been prepared for immediate
 2    consumption and is not otherwise included in this  paragraph)
 3    and   prescription   and  nonprescription  medicines,  drugs,
 4    medical appliances, modifications to a motor vehicle for  the
 5    purpose  of  rendering  it  usable  by a disabled person, and
 6    insulin, urine testing materials, syringes, and needles  used
 7    by  diabetics,  for  human  use.   For  the  purposes of this
 8    Section, the term "soft drinks" means any complete, finished,
 9    ready-to-use, non-alcoholic drink, whether carbonated or not,
10    including but not limited to soda water, cola,  fruit  juice,
11    vegetable juice, carbonated water, and all other preparations
12    commonly known as soft drinks of whatever kind or description
13    that  are  contained  in any closed or sealed can, carton, or
14    container,  regardless  of  size.   "Soft  drinks"  does  not
15    include coffee, tea, non-carbonated  water,  infant  formula,
16    milk  or  milk products as defined in the Grade A Pasteurized
17    Milk and Milk Products Act, or drinks containing 50% or  more
18    natural fruit or vegetable juice.
19        Notwithstanding  any  other provisions of this Act, "food
20    for human consumption that is to be consumed off the premises
21    where it is sold" includes all food sold  through  a  vending
22    machine,  except  soft  drinks  and  food  products  that are
23    dispensed hot from  a  vending  machine,  regardless  of  the
24    location of the vending machine.
25    (Source:  P.A.  90-605,  eff.  6-30-98; 90-606, eff. 6-30-98;
26    91-51, 6-30-99; 91-541, eff. 8-13-99; 91-872, eff. 7-1-00.)

27        (35 ILCS 115/9) (from Ch. 120, par. 439.109)
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 at the time when he is required to
31    file his return for the period  during  which  such  tax  was
32    collectible,  less  a  discount  of  2.1% prior to January 1,
33    1990, and 1.75% on and after  January  1,  1990,  or  $5  per
 
                            -44-     LRB093 04444 SJM 04496 b
 1    calendar  year,  whichever  is  greater,  which is allowed to
 2    reimburse the serviceman for expenses incurred in  collecting
 3    the  tax,  keeping  records,  preparing  and  filing returns,
 4    remitting the tax and supplying data  to  the  Department  on
 5    request.
 6        Where  such  tangible  personal  property is sold under a
 7    conditional sales contract, or under any other form  of  sale
 8    wherein  the payment of the principal sum, or a part thereof,
 9    is extended beyond the close of  the  period  for  which  the
10    return  is  filed,  the serviceman, in collecting the tax may
11    collect, for each tax return period, only the tax  applicable
12    to  the  part  of  the selling price actually received during
13    such tax return period.
14        Except as provided hereinafter in  this  Section,  on  or
15    before  the  twentieth  day  of  each  calendar  month,  such
16    serviceman  shall  file  a  return for the preceding calendar
17    month in accordance with reasonable rules and regulations  to
18    be  promulgated  by  the  Department of Revenue.  Such return
19    shall be filed on a form prescribed  by  the  Department  and
20    shall   contain   such  information  as  the  Department  may
21    reasonably require.
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 business as a serviceman in this
33        State;
34             3.  The total amount of taxable receipts received by
 
                            -45-     LRB093 04444 SJM 04496 b
 1        him   during  the  preceding  calendar  month,  including
 2        receipts  from  charge  and  time  sales,  but  less  all
 3        deductions allowed by law;
 4             4.  The amount of credit provided in Section  2d  of
 5        this Act;
 6             5.  The amount of tax due;
 7             5-5.  The signature of the taxpayer; and
 8             6.  Such   other   reasonable   information  as  the
 9        Department may require.
10        If a taxpayer fails to sign a return within 30 days after
11    the proper notice and demand for signature by the Department,
12    the return shall be considered valid and any amount shown  to
13    be due on the return shall be deemed assessed.
14        A  serviceman may accept a Manufacturer's Purchase Credit
15    certification from a purchaser in satisfaction of Service Use
16    Tax as provided in Section 3-70 of the Service Use Tax Act if
17    the  purchaser  provides  the  appropriate  documentation  as
18    required by Section 3-70 of the  Service  Use  Tax  Act.    A
19    Manufacturer's  Purchase  Credit certification, accepted by a
20    serviceman as provided in Section 3-70 of the Service Use Tax
21    Act, may be  used  by  that  serviceman  to  satisfy  Service
22    Occupation  Tax  liability  in  the  amount  claimed  in  the
23    certification, not to exceed 6.25% of the receipts subject to
24    tax from a qualifying purchase.
25        If  the serviceman's average monthly tax liability to the
26    Department does not exceed $200, the Department may authorize
27    his returns to be filed on a quarter annual basis,  with  the
28    return  for January, February and March of a given year being
29    due by April 20 of such year; with the return for April,  May
30    and  June  of a given year being due by July 20 of such year;
31    with the return for July, August and  September  of  a  given
32    year  being  due  by  October  20  of such year, and with the
33    return for October, November and December  of  a  given  year
34    being due by January 20 of the following year.
 
                            -46-     LRB093 04444 SJM 04496 b
 1        If  the serviceman's average monthly tax liability to the
 2    Department does not exceed $50, the Department may  authorize
 3    his  returns  to be filed on an annual basis, with the return
 4    for a given year being due by January  20  of  the  following
 5    year.
 6        Such  quarter  annual  and annual returns, as to form and
 7    substance, shall be  subject  to  the  same  requirements  as
 8    monthly returns.
 9        Notwithstanding   any   other   provision   in  this  Act
10    concerning the time within which a serviceman  may  file  his
11    return, in the case of any serviceman who ceases to engage in
12    a  kind  of  business  which makes him responsible for filing
13    returns under this Act, such serviceman shall  file  a  final
14    return  under  this  Act  with the Department not more than 1
15    month after discontinuing such business.
16        Beginning October 1, 1993, a taxpayer who has an  average
17    monthly  tax  liability  of  $150,000  or more shall make all
18    payments required by rules of the  Department  by  electronic
19    funds  transfer.   Beginning  October 1, 1994, a taxpayer who
20    has an average monthly tax  liability  of  $100,000  or  more
21    shall  make  all payments required by rules of the Department
22    by electronic funds transfer.  Beginning October 1,  1995,  a
23    taxpayer  who has an average monthly tax liability of $50,000
24    or more shall make all payments  required  by  rules  of  the
25    Department  by  electronic funds transfer.  Beginning October
26    1, 2000, a taxpayer  who  has  an  annual  tax  liability  of
27    $200,000 or more shall make all payments required by rules of
28    the  Department  by  electronic  funds  transfer.   The  term
29    "annual  tax  liability"  shall  be the sum of the taxpayer's
30    liabilities under this Act, and under  all  other  State  and
31    local  occupation  and  use  tax  laws  administered  by  the
32    Department,  for the immediately preceding calendar year. The
33    term "average monthly tax liability" means  the  sum  of  the
34    taxpayer's  liabilities  under  this Act, and under all other
 
                            -47-     LRB093 04444 SJM 04496 b
 1    State and local occupation and use tax laws  administered  by
 2    the  Department,  for the immediately preceding calendar year
 3    divided by 12. Beginning on October 1, 2002, a  taxpayer  who
 4    has a tax liability in the amount set forth in subsection (b)
 5    of  Section  2505-210  of the Department of Revenue Law shall
 6    make all payments required by  rules  of  the  Department  by
 7    electronic funds transfer.
 8        Before  August  1  of  each  year  beginning in 1993, the
 9    Department  shall  notify  all  taxpayers  required  to  make
10    payments  by  electronic  funds  transfer.    All   taxpayers
11    required  to make payments by electronic funds transfer shall
12    make those payments for a minimum of one  year  beginning  on
13    October 1.
14        Any  taxpayer not required to make payments by electronic
15    funds transfer may make payments by electronic funds transfer
16    with the permission of the Department.
17        All taxpayers required  to  make  payment  by  electronic
18    funds  transfer  and  any taxpayers authorized to voluntarily
19    make payments by electronic funds transfer shall  make  those
20    payments in the manner authorized by the Department.
21        The Department shall adopt such rules as are necessary to
22    effectuate  a  program  of  electronic funds transfer and the
23    requirements of this Section.
24        Where a serviceman collects the tax with respect  to  the
25    selling  price  of  tangible personal property which he sells
26    and the purchaser thereafter returns such  tangible  personal
27    property and the serviceman refunds the selling price thereof
28    to  the  purchaser, such serviceman shall also refund, to the
29    purchaser, the tax so collected  from  the  purchaser.   When
30    filing his return for the period in which he refunds such tax
31    to the purchaser, the serviceman may deduct the amount of the
32    tax  so  refunded  by  him  to  the  purchaser from any other
33    Service  Occupation  Tax,   Service   Use   Tax,   Retailers'
34    Occupation  Tax  or  Use  Tax  which  such  serviceman may be
 
                            -48-     LRB093 04444 SJM 04496 b
 1    required to pay or remit to the Department, as shown by  such
 2    return,  provided  that  the amount of the tax to be deducted
 3    shall previously have been remitted to the Department by such
 4    serviceman.  If the  serviceman  shall  not  previously  have
 5    remitted  the  amount of such tax to the Department, he shall
 6    be entitled to no deduction hereunder upon refunding such tax
 7    to the purchaser.
 8        If experience indicates such action  to  be  practicable,
 9    the  Department  may  prescribe  and furnish a combination or
10    joint return which will enable servicemen, who  are  required
11    to  file  returns  hereunder  and  also  under the Retailers'
12    Occupation Tax Act, the Use Tax Act or the  Service  Use  Tax
13    Act,  to  furnish  all the return information required by all
14    said Acts on the one form.
15        Where  the  serviceman  has  more   than   one   business
16    registered  with  the Department under separate registrations
17    hereunder, such serviceman shall file  separate  returns  for
18    each registered business.
19        Beginning  January  1,  1990,  each  month the Department
20    shall pay into the Local  Government  Tax  Fund  the  revenue
21    realized  for the preceding month from the 1% tax on sales of
22    food for human consumption which is to be  consumed  off  the
23    premises  where  it  is sold (other than alcoholic beverages,
24    soft drinks and food which has been  prepared  for  immediate
25    consumption)  and prescription and nonprescription medicines,
26    drugs,  medical  appliances  and   insulin,   urine   testing
27    materials, syringes and needles used by diabetics.
28        Beginning  January  1,  1990,  each  month the Department
29    shall pay into the County and Mass Transit District  Fund  4%
30    of  the  revenue  realized  for  the preceding month from the
31    6.25% general rate.
32        Beginning August 1, 2000, each month the Department shall
33    pay into the County and Mass Transit District Fund 20% of the
34    net revenue realized for the preceding month from  the  1.25%
 
                            -49-     LRB093 04444 SJM 04496 b
 1    rate on the selling price of motor fuel and gasohol.
 2        Beginning August 1, 2003, each month the Department shall
 3    pay into the County and Mass Transit District Fund 20% of the
 4    net  revenue  realized for the preceding month from the 1.25%
 5    rate on the selling price of textbooks required  for  use  at
 6    State  universities  and  public  community  colleges  or  at
 7    institutions  of  higher  learning as defined in the Illinois
 8    Financial Assistance Act for Nonpublic Institutions of Higher
 9    Learning.
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        Beginning August 1, 2000, each month the Department shall
15    pay into the Local Government Tax Fund 80% of the net revenue
16    realized  for  the preceding month from the 1.25% rate on the
17    selling price of motor fuel and gasohol.
18        Beginning August 1, 2003, each month the Department shall
19    pay into the Local Government Tax Fund 80% of the net revenue
20    realized for the preceding month from the 1.25% rate  on  the
21    selling   price  of  textbooks  required  for  use  at  State
22    universities and public community colleges or at institutions
23    of higher learning  as  defined  in  the  Illinois  Financial
24    Assistance Act for Nonpublic Institutions of Higher Learning.
25        Of the remainder of the moneys received by the Department
26    pursuant  to  this  Act, (a) 1.75% thereof shall be paid into
27    the Build Illinois Fund and (b) prior to July 1,  1989,  2.2%
28    and  on  and  after  July 1, 1989, 3.8% thereof shall be paid
29    into the Build Illinois Fund; provided, however, that  if  in
30    any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
31    as  the case may be, of the moneys received by the Department
32    and required to be paid into the Build Illinois Fund pursuant
33    to Section 3 of the Retailers' Occupation Tax Act, Section  9
34    of the Use Tax Act, Section 9 of the Service Use Tax Act, and
 
                            -50-     LRB093 04444 SJM 04496 b
 1    Section  9 of the Service Occupation Tax Act, such Acts being
 2    hereinafter called the "Tax Acts" and such aggregate of  2.2%
 3    or  3.8%,  as  the  case  may be, of moneys being hereinafter
 4    called the "Tax Act Amount", and (2) the  amount  transferred
 5    to the Build Illinois Fund from the State and Local Sales Tax
 6    Reform  Fund  shall  be less than the Annual Specified Amount
 7    (as defined in Section 3 of  the  Retailers'  Occupation  Tax
 8    Act),  an amount equal to the difference shall be immediately
 9    paid into the Build Illinois Fund from other moneys  received
10    by  the  Department  pursuant  to  the  Tax Acts; and further
11    provided, that if on the last business day of any  month  the
12    sum  of  (1) the Tax Act Amount required to be deposited into
13    the Build Illinois Account in the Build Illinois Fund  during
14    such  month  and (2) the amount transferred during such month
15    to the Build Illinois Fund from the State and Local Sales Tax
16    Reform Fund shall have been less  than  1/12  of  the  Annual
17    Specified  Amount, an amount equal to the difference shall be
18    immediately paid into the  Build  Illinois  Fund  from  other
19    moneys  received  by the Department pursuant to the Tax Acts;
20    and, further provided, that in no event  shall  the  payments
21    required  under  the  preceding  proviso  result in aggregate
22    payments into the Build Illinois Fund pursuant to this clause
23    (b) for any fiscal year in excess of the greater of  (i)  the
24    Tax  Act  Amount or (ii) the Annual Specified Amount for such
25    fiscal year; and, further provided, that the amounts  payable
26    into  the  Build Illinois Fund under this clause (b) shall be
27    payable only until such  time  as  the  aggregate  amount  on
28    deposit  under each trust indenture securing Bonds issued and
29    outstanding pursuant  to  the  Build  Illinois  Bond  Act  is
30    sufficient, taking into account any future investment income,
31    to  fully provide, in accordance with such indenture, for the
32    defeasance of or the payment of the principal of, premium, if
33    any, and interest on the Bonds secured by such indenture  and
34    on  any  Bonds  expected to be issued thereafter and all fees
 
                            -51-     LRB093 04444 SJM 04496 b
 1    and costs payable with respect thereto, all as  certified  by
 2    the  Director  of  the  Bureau of the Budget.  If on the last
 3    business day of any month  in  which  Bonds  are  outstanding
 4    pursuant to the Build Illinois Bond Act, the aggregate of the
 5    moneys  deposited  in  the Build Illinois Bond Account in the
 6    Build Illinois Fund in such month  shall  be  less  than  the
 7    amount  required  to  be  transferred  in such month from the
 8    Build Illinois  Bond  Account  to  the  Build  Illinois  Bond
 9    Retirement  and  Interest  Fund pursuant to Section 13 of the
10    Build Illinois Bond Act, an amount equal to  such  deficiency
11    shall  be  immediately paid from other moneys received by the
12    Department pursuant to the Tax Acts  to  the  Build  Illinois
13    Fund;  provided,  however, that any amounts paid to the Build
14    Illinois Fund in any fiscal year pursuant  to  this  sentence
15    shall be deemed to constitute payments pursuant to clause (b)
16    of  the  preceding  sentence  and  shall  reduce  the  amount
17    otherwise payable for such fiscal year pursuant to clause (b)
18    of  the  preceding  sentence.   The  moneys  received  by the
19    Department pursuant to this Act and required to be  deposited
20    into the Build Illinois Fund are subject to the pledge, claim
21    and charge set forth in Section 12 of the Build Illinois Bond
22    Act.
23        Subject  to  payment  of  amounts into the Build Illinois
24    Fund as  provided  in  the  preceding  paragraph  or  in  any
25    amendment  thereto hereafter enacted, the following specified
26    monthly  installment  of  the   amount   requested   in   the
27    certificate  of  the  Chairman  of  the Metropolitan Pier and
28    Exposition Authority provided  under  Section  8.25f  of  the
29    State  Finance  Act, but not in excess of the sums designated
30    as "Total Deposit", shall be deposited in the aggregate  from
31    collections  under Section 9 of the Use Tax Act, Section 9 of
32    the Service Use Tax Act, Section 9 of the Service  Occupation
33    Tax  Act,  and Section 3 of the Retailers' Occupation Tax Act
34    into the  McCormick  Place  Expansion  Project  Fund  in  the
 
                            -52-     LRB093 04444 SJM 04496 b
 1    specified fiscal years.
 2               Fiscal Year                           Total Deposit
 3                   1993                                        $0
 4                   1994                                53,000,000
 5                   1995                                58,000,000
 6                   1996                                61,000,000
 7                   1997                                64,000,000
 8                   1998                                68,000,000
 9                   1999                                71,000,000
10                   2000                                75,000,000
11                   2001                                80,000,000
12                   2002                                93,000,000
13                   2003                                99,000,000
14                   2004                               103,000,000
15                   2005                               108,000,000
16                   2006                               113,000,000
17                   2007                               119,000,000
18                   2008                               126,000,000
19                   2009                               132,000,000
20                   2010                               139,000,000
21                   2011                               146,000,000
22                   2012                               153,000,000
23                   2013                               161,000,000
24                   2014                               170,000,000
25                   2015                               179,000,000
26                   2016                               189,000,000
27                   2017                               199,000,000
28                   2018                               210,000,000
29                   2019                               221,000,000
30                   2020                               233,000,000
31                   2021                               246,000,000
32                   2022                               260,000,000
33                 2023 and                             275,000,000
34    each fiscal year
 
                            -53-     LRB093 04444 SJM 04496 b
 1    thereafter that bonds
 2    are outstanding under
 3    Section 13.2 of the
 4    Metropolitan Pier and
 5    Exposition Authority
 6    Act, but not after fiscal year 2042.
 7        Beginning  July 20, 1993 and in each month of each fiscal
 8    year thereafter, one-eighth of the amount  requested  in  the
 9    certificate  of  the  Chairman  of  the Metropolitan Pier and
10    Exposition Authority for that fiscal year,  less  the  amount
11    deposited  into the McCormick Place Expansion Project Fund by
12    the State Treasurer in the respective month under  subsection
13    (g)  of  Section  13  of the Metropolitan Pier and Exposition
14    Authority Act, plus cumulative deficiencies in  the  deposits
15    required  under  this  Section for previous months and years,
16    shall be deposited into the McCormick Place Expansion Project
17    Fund, until the full amount requested for  the  fiscal  year,
18    but  not  in  excess  of the amount specified above as "Total
19    Deposit", has been deposited.
20        Subject to payment of amounts  into  the  Build  Illinois
21    Fund  and the McCormick Place Expansion Project Fund pursuant
22    to the preceding paragraphs  or  in  any  amendments  thereto
23    hereafter  enacted,  beginning  July  1, 1993, the Department
24    shall each month pay into the  Illinois  Tax  Increment  Fund
25    0.27%  of  80%  of the net revenue realized for the preceding
26    month from the 6.25% general rate on  the  selling  price  of
27    tangible personal property.
28        Subject  to  payment  of  amounts into the Build Illinois
29    Fund and the McCormick Place Expansion Project Fund  pursuant
30    to  the  preceding  paragraphs  or  in any amendments thereto
31    hereafter enacted, beginning with the receipt  of  the  first
32    report  of  taxes paid by an eligible business and continuing
33    for a 25-year period, the Department  shall  each  month  pay
34    into  the  Energy  Infrastructure Fund 80% of the net revenue
 
                            -54-     LRB093 04444 SJM 04496 b
 1    realized from the 6.25% general rate on the selling price  of
 2    Illinois-mined  coal  that  was sold to an eligible business.
 3    For purposes of this paragraph, the term "eligible  business"
 4    means  a  new electric generating facility certified pursuant
 5    to  Section  605-332  of  the  Department  of  Commerce   and
 6    Community  Affairs  Law  of  the Civil Administrative Code of
 7    Illinois.
 8        Remaining moneys received by the Department  pursuant  to
 9    this  Act  shall be paid into the General Revenue Fund of the
10    State Treasury.
11        The Department may, upon separate  written  notice  to  a
12    taxpayer,  require  the taxpayer to prepare and file with the
13    Department on a form prescribed by the Department within  not
14    less  than  60  days  after  receipt  of the notice an annual
15    information return for the tax year specified in the  notice.
16    Such   annual  return  to  the  Department  shall  include  a
17    statement of gross receipts as shown by the  taxpayer's  last
18    Federal  income  tax  return.   If  the total receipts of the
19    business as reported in the Federal income tax return do  not
20    agree  with  the gross receipts reported to the Department of
21    Revenue for the same period, the taxpayer shall attach to his
22    annual return a schedule showing a reconciliation  of  the  2
23    amounts  and  the reasons for the difference.  The taxpayer's
24    annual return to the Department shall also disclose the  cost
25    of goods sold by the taxpayer during the year covered by such
26    return,  opening  and  closing  inventories of such goods for
27    such year, cost of goods used from stock or taken from  stock
28    and  given  away  by  the taxpayer during such year, pay roll
29    information of the taxpayer's business during such  year  and
30    any  additional  reasonable  information which the Department
31    deems would be helpful in determining  the  accuracy  of  the
32    monthly,  quarterly  or annual returns filed by such taxpayer
33    as hereinbefore provided for in this Section.
34        If the annual information return required by this Section
 
                            -55-     LRB093 04444 SJM 04496 b
 1    is not filed when and as  required,  the  taxpayer  shall  be
 2    liable as follows:
 3             (i)  Until  January  1,  1994, the taxpayer shall be
 4        liable for a penalty equal to 1/6 of 1% of  the  tax  due
 5        from such taxpayer under this Act during the period to be
 6        covered  by  the annual return for each month or fraction
 7        of a month until such return is filed  as  required,  the
 8        penalty  to  be assessed and collected in the same manner
 9        as any other penalty provided for in this Act.
10             (ii)  On and after January  1,  1994,  the  taxpayer
11        shall be liable for a penalty as described in Section 3-4
12        of the Uniform Penalty and Interest Act.
13        The chief executive officer, proprietor, owner or highest
14    ranking  manager  shall sign the annual return to certify the
15    accuracy of the information contained  therein.   Any  person
16    who  willfully  signs  the  annual return containing false or
17    inaccurate  information  shall  be  guilty  of  perjury   and
18    punished  accordingly.   The annual return form prescribed by
19    the Department  shall  include  a  warning  that  the  person
20    signing the return may be liable for perjury.
21        The  foregoing  portion  of  this  Section concerning the
22    filing of an annual information return shall not apply  to  a
23    serviceman  who  is not required to file an income tax return
24    with the United States Government.
25        As soon as possible after the first day  of  each  month,
26    upon   certification   of  the  Department  of  Revenue,  the
27    Comptroller shall order transferred and the  Treasurer  shall
28    transfer  from the General Revenue Fund to the Motor Fuel Tax
29    Fund an amount equal to  1.7%  of  80%  of  the  net  revenue
30    realized  under  this  Act  for  the  second preceding month.
31    Beginning April 1, 2000, this transfer is no longer  required
32    and shall not be made.
33        Net  revenue  realized  for  a month shall be the revenue
34    collected by the State pursuant to this Act, less the  amount
 
                            -56-     LRB093 04444 SJM 04496 b
 1    paid  out  during  that  month  as  refunds  to taxpayers for
 2    overpayment of liability.
 3        For greater simplicity of  administration,  it  shall  be
 4    permissible  for  manufacturers,  importers  and  wholesalers
 5    whose  products  are sold by numerous servicemen in Illinois,
 6    and who wish to do  so,  to  assume  the  responsibility  for
 7    accounting  and  paying  to  the  Department all tax accruing
 8    under this Act with respect to such sales, if the  servicemen
 9    who  are  affected  do  not  make  written  objection  to the
10    Department to this arrangement.
11    (Source: P.A.  91-37,  eff.  7-1-99;  91-51,  eff.   6-30-99;
12    91-101,  eff.  7-12-99;  91-541,  eff.  8-13-99; 91-872, eff.
13    7-1-00; 92-12, eff. 7-1-01; 92-208, eff. 8-2-01; 92-492, eff.
14    1-1-02; 92-600, eff. 6-28-02; 92-651, eff. 7-11-02.)

15        Section 25.  The Retailers' Occupation Tax Act is amended
16    by changing Sections 2-10 and 3 as follows:

17        (35 ILCS 120/2-10) (from Ch. 120, par. 441-10)
18        Sec. 2-10. Rate of tax.   Unless  otherwise  provided  in
19    this  Section,  the tax imposed by this Act is at the rate of
20    6.25% of gross  receipts  from  sales  of  tangible  personal
21    property made in the course of business.
22        Beginning  on July 1, 2000 and through December 31, 2000,
23    with respect to motor fuel, as defined in Section 1.1 of  the
24    Motor  Fuel  Tax Law, and gasohol, as defined in Section 3-40
25    of the Use Tax Act, the tax is imposed at the rate of 1.25%.
26        Within  14  days  after  the  effective  date   of   this
27    amendatory Act of the 91st General Assembly, each retailer of
28    motor fuel and gasohol shall cause the following notice to be
29    posted   in  a  prominently  visible  place  on  each  retail
30    dispensing device that is used  to  dispense  motor  fuel  or
31    gasohol  in  the State of Illinois:  "As of July 1, 2000, the
32    State of Illinois has eliminated the State's share  of  sales
 
                            -57-     LRB093 04444 SJM 04496 b
 1    tax  on motor fuel and gasohol through December 31, 2000. The
 2    price on this pump should  reflect  the  elimination  of  the
 3    tax."   The  notice  shall be printed in bold print on a sign
 4    that is no smaller than 4 inches by 8 inches.  The sign shall
 5    be clearly visible to customers.  Any retailer who  fails  to
 6    post or maintain a required sign through December 31, 2000 is
 7    guilty  of  a  petty offense for which the fine shall be $500
 8    per day per each retail premises where a violation occurs.
 9        With respect to gasohol, as defined in the Use  Tax  Act,
10    the tax imposed by this Act applies to 70% of the proceeds of
11    sales  made  on  or after January 1, 1990, and before July 1,
12    2003, and to 100% of the proceeds of sales made thereafter.
13        Beginning  July  1,  2003,  with  respect  to   textbooks
14    required  for  use at State universities and public community
15    colleges or at institutions of higher learning as defined  in
16    the   Illinois   Financial   Assistance   Act  for  Nonpublic
17    Institutions of Higher Learning, the tax is  imposed  at  the
18    rate  of  1.25%.  The Department may adopt rules necessary to
19    implement and administer the 1.25% rate on textbooks.
20        With respect to food for human consumption that is to  be
21    consumed  off  the  premises  where  it  is  sold (other than
22    alcoholic beverages, soft drinks,  and  food  that  has  been
23    prepared  for  immediate  consumption)  and  prescription and
24    nonprescription   medicines,   drugs,   medical   appliances,
25    modifications to a motor vehicle for the purpose of rendering
26    it usable by a disabled person, and  insulin,  urine  testing
27    materials, syringes, and needles used by diabetics, for human
28    use,  the  tax is imposed at the rate of 1%. For the purposes
29    of this Section, the term "soft drinks" means  any  complete,
30    finished,    ready-to-use,   non-alcoholic   drink,   whether
31    carbonated or not, including but not limited to  soda  water,
32    cola, fruit juice, vegetable juice, carbonated water, and all
33    other  preparations commonly known as soft drinks of whatever
34    kind or description that  are  contained  in  any  closed  or
 
                            -58-     LRB093 04444 SJM 04496 b
 1    sealed bottle, can, carton, or container, regardless of size.
 2    "Soft  drinks"  does  not include coffee, tea, non-carbonated
 3    water, infant formula, milk or milk products  as  defined  in
 4    the Grade A Pasteurized Milk and Milk Products Act, or drinks
 5    containing 50% or more natural fruit or vegetable juice.
 6        Notwithstanding  any  other provisions of this Act, "food
 7    for human consumption that is to be consumed off the premises
 8    where it is sold" includes all food sold  through  a  vending
 9    machine,  except  soft  drinks  and  food  products  that are
10    dispensed hot from  a  vending  machine,  regardless  of  the
11    location of the vending machine.
12    (Source:  P.A.  90-605,  eff.  6-30-98; 90-606, eff. 6-30-98;
13    91-51, eff. 6-30-99; 91-872, eff. 7-1-00.)

14        (35 ILCS 120/3) (from Ch. 120, par. 442)
15        Sec. 3.  Except as provided in this Section, on or before
16    the twentieth  day  of  each  calendar  month,  every  person
17    engaged in the business of selling tangible personal property
18    at  retail  in this State during the preceding calendar month
19    shall file a return with the Department, stating:
20             1.  The name of the seller;
21             2.  His residence address and  the  address  of  his
22        principal  place  of  business  and  the  address  of the
23        principal place of  business  (if  that  is  a  different
24        address) from which he engages in the business of selling
25        tangible personal property at retail in this State;
26             3.  Total  amount of receipts received by him during
27        the preceding calendar month or quarter, as the case  may
28        be,  from  sales  of tangible personal property, and from
29        services furnished, by him during such preceding calendar
30        month or quarter;
31             4.  Total  amount  received  by   him   during   the
32        preceding  calendar  month  or quarter on charge and time
33        sales of tangible personal property,  and  from  services
 
                            -59-     LRB093 04444 SJM 04496 b
 1        furnished, by him prior to the month or quarter for which
 2        the return is filed;
 3             5.  Deductions allowed by law;
 4             6.  Gross receipts which were received by him during
 5        the  preceding  calendar  month  or  quarter and upon the
 6        basis of which the tax is imposed;
 7             7.  The amount of credit provided in Section  2d  of
 8        this Act;
 9             8.  The amount of tax due;
10             9.  The signature of the taxpayer; and
11             10.  Such   other   reasonable  information  as  the
12        Department may require.
13        If a taxpayer fails to sign a return within 30 days after
14    the proper notice and demand for signature by the Department,
15    the return shall be considered valid and any amount shown  to
16    be due on the return shall be deemed assessed.
17        Each  return  shall  be  accompanied  by the statement of
18    prepaid tax issued pursuant to Section 2e for which credit is
19    claimed.
20        A retailer may accept a  Manufacturer's  Purchase  Credit
21    certification  from a purchaser in satisfaction of Use Tax as
22    provided in Section 3-85 of the Use Tax Act if the  purchaser
23    provides the appropriate documentation as required by Section
24    3-85  of  the  Use Tax Act.  A Manufacturer's Purchase Credit
25    certification, accepted by a retailer as provided in  Section
26    3-85  of  the  Use  Tax  Act, may be used by that retailer to
27    satisfy Retailers' Occupation Tax  liability  in  the  amount
28    claimed  in  the  certification,  not  to exceed 6.25% of the
29    receipts subject to tax from a qualifying purchase.
30        The Department may require  returns  to  be  filed  on  a
31    quarterly  basis.  If so required, a return for each calendar
32    quarter shall be filed on or before the twentieth day of  the
33    calendar  month  following  the end of such calendar quarter.
34    The taxpayer shall also file a return with the Department for
 
                            -60-     LRB093 04444 SJM 04496 b
 1    each of the first two months of each calendar quarter, on  or
 2    before  the  twentieth  day  of the following calendar month,
 3    stating:
 4             1.  The name of the seller;
 5             2.  The address of the principal place  of  business
 6        from which he engages in the business of selling tangible
 7        personal property at retail in this State;
 8             3.  The total amount of taxable receipts received by
 9        him  during  the  preceding  calendar month from sales of
10        tangible personal property by him during  such  preceding
11        calendar  month,  including receipts from charge and time
12        sales, but less all deductions allowed by law;
13             4.  The amount of credit provided in Section  2d  of
14        this Act;
15             5.  The amount of tax due; and
16             6.  Such   other   reasonable   information  as  the
17        Department may require.
18        If a total amount of less than $1 is payable,  refundable
19    or creditable, such amount shall be disregarded if it is less
20    than  50 cents and shall be increased to $1 if it is 50 cents
21    or more.
22        Beginning October 1, 1993, a taxpayer who has an  average
23    monthly  tax  liability  of  $150,000  or more shall make all
24    payments required by rules of the  Department  by  electronic
25    funds  transfer.   Beginning  October 1, 1994, a taxpayer who
26    has an average monthly tax  liability  of  $100,000  or  more
27    shall  make  all payments required by rules of the Department
28    by electronic funds transfer.  Beginning October 1,  1995,  a
29    taxpayer  who has an average monthly tax liability of $50,000
30    or more shall make all payments  required  by  rules  of  the
31    Department  by  electronic funds transfer.  Beginning October
32    1, 2000, a taxpayer  who  has  an  annual  tax  liability  of
33    $200,000 or more shall make all payments required by rules of
34    the  Department  by  electronic  funds  transfer.   The  term
 
                            -61-     LRB093 04444 SJM 04496 b
 1    "annual  tax  liability"  shall  be the sum of the taxpayer's
 2    liabilities under this Act, and under  all  other  State  and
 3    local  occupation  and  use  tax  laws  administered  by  the
 4    Department,  for the immediately preceding calendar year. The
 5    term "average monthly tax liability" shall be the sum of  the
 6    taxpayer's  liabilities  under  this Act, and under all other
 7    State and local occupation and use tax laws  administered  by
 8    the  Department,  for the immediately preceding calendar year
 9    divided by 12. Beginning on October 1, 2002, a  taxpayer  who
10    has a tax liability in the amount set forth in subsection (b)
11    of  Section  2505-210  of the Department of Revenue Law shall
12    make all payments required by  rules  of  the  Department  by
13    electronic funds transfer.
14        Before  August  1  of  each  year  beginning in 1993, the
15    Department  shall  notify  all  taxpayers  required  to  make
16    payments  by  electronic  funds  transfer.    All   taxpayers
17    required  to make payments by electronic funds transfer shall
18    make those payments for a minimum of one  year  beginning  on
19    October 1.
20        Any  taxpayer not required to make payments by electronic
21    funds transfer may make payments by electronic funds transfer
22    with the permission of the Department.
23        All taxpayers required  to  make  payment  by  electronic
24    funds  transfer  and  any taxpayers authorized to voluntarily
25    make payments by electronic funds transfer shall  make  those
26    payments in the manner authorized by the Department.
27        The Department shall adopt such rules as are necessary to
28    effectuate  a  program  of  electronic funds transfer and the
29    requirements of this Section.
30        Any amount which is required to be shown or  reported  on
31    any  return  or  other document under this Act shall, if such
32    amount is not a whole-dollar  amount,  be  increased  to  the
33    nearest  whole-dollar amount in any case where the fractional
34    part of a dollar is 50 cents or more, and  decreased  to  the
 
                            -62-     LRB093 04444 SJM 04496 b
 1    nearest  whole-dollar  amount  where the fractional part of a
 2    dollar is less than 50 cents.
 3        If the retailer is otherwise required to file  a  monthly
 4    return and if the retailer's average monthly tax liability to
 5    the  Department  does  not  exceed  $200,  the Department may
 6    authorize his returns to be filed on a quarter annual  basis,
 7    with  the  return  for January, February and March of a given
 8    year being due by April 20 of such year; with the return  for
 9    April,  May  and June of a given year being due by July 20 of
10    such year; with the return for July, August and September  of
11    a  given  year being due by October 20 of such year, and with
12    the return for October, November and December of a given year
13    being due by January 20 of the following year.
14        If the retailer is otherwise required to file  a  monthly
15    or quarterly return and if the retailer's average monthly tax
16    liability  with  the  Department  does  not  exceed  $50, the
17    Department may authorize his returns to be filed on an annual
18    basis, with the return for a given year being due by  January
19    20 of the following year.
20        Such  quarter  annual  and annual returns, as to form and
21    substance, shall be  subject  to  the  same  requirements  as
22    monthly returns.
23        Notwithstanding   any   other   provision   in  this  Act
24    concerning the time within which  a  retailer  may  file  his
25    return, in the case of any retailer who ceases to engage in a
26    kind  of  business  which  makes  him  responsible for filing
27    returns under this Act, such  retailer  shall  file  a  final
28    return  under  this Act with the Department not more than one
29    month after discontinuing such business.
30        Where  the  same  person  has  more  than  one   business
31    registered  with  the Department under separate registrations
32    under this Act, such person may not file each return that  is
33    due   as   a  single  return  covering  all  such  registered
34    businesses, but shall file separate  returns  for  each  such
 
                            -63-     LRB093 04444 SJM 04496 b
 1    registered business.
 2        In  addition, with respect to motor vehicles, watercraft,
 3    aircraft, and trailers that are  required  to  be  registered
 4    with  an  agency  of  this State, every retailer selling this
 5    kind of tangible  personal  property  shall  file,  with  the
 6    Department,  upon a form to be prescribed and supplied by the
 7    Department, a separate return for each such item of  tangible
 8    personal  property  which the retailer sells, except that if,
 9    in  the  same  transaction,  (i)  a  retailer  of   aircraft,
10    watercraft,  motor  vehicles  or trailers transfers more than
11    one aircraft, watercraft, motor vehicle or trailer to another
12    aircraft,  watercraft,  motor  vehicle  retailer  or  trailer
13    retailer for the purpose of resale  or  (ii)  a  retailer  of
14    aircraft,  watercraft,  motor vehicles, or trailers transfers
15    more than one aircraft, watercraft, motor vehicle, or trailer
16    to a purchaser for use  as  a  qualifying  rolling  stock  as
17    provided  in  Section  2-5  of this Act, then that seller may
18    report  the  transfer  of  all  aircraft,  watercraft,  motor
19    vehicles or trailers involved  in  that  transaction  to  the
20    Department  on the same uniform invoice-transaction reporting
21    return form.  For  purposes  of  this  Section,  "watercraft"
22    means a Class 2, Class 3, or Class 4 watercraft as defined in
23    Section  3-2  of  the  Boat  Registration  and  Safety Act, a
24    personal watercraft, or any boat  equipped  with  an  inboard
25    motor.
26        Any  retailer  who sells only motor vehicles, watercraft,
27    aircraft, or trailers that are required to be registered with
28    an agency of this State, so that  all  retailers'  occupation
29    tax liability is required to be reported, and is reported, on
30    such  transaction  reporting returns and who is not otherwise
31    required to file monthly or quarterly returns, need not  file
32    monthly or quarterly returns.  However, those retailers shall
33    be required to file returns on an annual basis.
34        The  transaction  reporting  return, in the case of motor
 
                            -64-     LRB093 04444 SJM 04496 b
 1    vehicles or trailers that are required to be registered  with
 2    an  agency  of  this State, shall be the same document as the
 3    Uniform Invoice referred to in Section 5-402 of The  Illinois
 4    Vehicle  Code  and  must  show  the  name  and address of the
 5    seller; the name and address of the purchaser; the amount  of
 6    the  selling  price  including  the  amount  allowed  by  the
 7    retailer  for  traded-in property, if any; the amount allowed
 8    by the retailer for the traded-in tangible personal property,
 9    if any, to the extent to which Section 1 of this  Act  allows
10    an exemption for the value of traded-in property; the balance
11    payable  after  deducting  such  trade-in  allowance from the
12    total selling price; the amount of tax due from the  retailer
13    with respect to such transaction; the amount of tax collected
14    from  the  purchaser  by the retailer on such transaction (or
15    satisfactory evidence that  such  tax  is  not  due  in  that
16    particular  instance, if that is claimed to be the fact); the
17    place and date of the sale; a  sufficient  identification  of
18    the  property  sold; such other information as is required in
19    Section 5-402 of The Illinois Vehicle Code,  and  such  other
20    information as the Department may reasonably require.
21        The   transaction   reporting   return  in  the  case  of
22    watercraft or aircraft 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
 
                            -65-     LRB093 04444 SJM 04496 b
 1    place  and  date  of the sale, a sufficient identification of
 2    the  property  sold,  and  such  other  information  as   the
 3    Department may reasonably require.
 4        Such  transaction  reporting  return  shall  be filed not
 5    later than 20 days after the day of delivery of the item that
 6    is being sold, but may be filed by the retailer at  any  time
 7    sooner  than  that  if  he chooses to do so.  The transaction
 8    reporting return and tax remittance  or  proof  of  exemption
 9    from   the  Illinois  use  tax  may  be  transmitted  to  the
10    Department by way of the State agency with  which,  or  State
11    officer  with  whom  the  tangible  personal property must be
12    titled or registered (if titling or registration is required)
13    if the Department and such agency or State officer  determine
14    that   this   procedure   will  expedite  the  processing  of
15    applications for title or registration.
16        With each such transaction reporting return, the retailer
17    shall remit the proper amount of tax  due  (or  shall  submit
18    satisfactory evidence that the sale is not taxable if that is
19    the  case),  to  the  Department or its agents, whereupon the
20    Department shall issue, in the purchaser's name,  a  use  tax
21    receipt  (or  a certificate of exemption if the Department is
22    satisfied that the particular sale is tax exempt) which  such
23    purchaser  may  submit  to  the  agency  with which, or State
24    officer with whom, he must title  or  register  the  tangible
25    personal   property   that   is   involved   (if  titling  or
26    registration is required)  in  support  of  such  purchaser's
27    application  for an Illinois certificate or other evidence of
28    title or registration to such tangible personal property.
29        No retailer's failure or refusal to remit tax under  this
30    Act  precludes  a  user,  who  has paid the proper tax to the
31    retailer, from obtaining his certificate of  title  or  other
32    evidence of title or registration (if titling or registration
33    is  required)  upon  satisfying the Department that such user
34    has paid the proper tax (if tax is due) to the retailer.  The
 
                            -66-     LRB093 04444 SJM 04496 b
 1    Department shall adopt appropriate rules  to  carry  out  the
 2    mandate of this paragraph.
 3        If  the  user who would otherwise pay tax to the retailer
 4    wants the transaction reporting return filed and the  payment
 5    of  the  tax  or  proof  of  exemption made to the Department
 6    before the retailer is willing to take these actions and such
 7    user has not paid the tax to  the  retailer,  such  user  may
 8    certify  to  the  fact  of such delay by the retailer and may
 9    (upon the Department being satisfied of  the  truth  of  such
10    certification)  transmit  the  information  required  by  the
11    transaction  reporting  return  and the remittance for tax or
12    proof of exemption directly to the Department and obtain  his
13    tax  receipt  or  exemption determination, in which event the
14    transaction reporting return and tax  remittance  (if  a  tax
15    payment  was required) shall be credited by the Department to
16    the  proper  retailer's  account  with  the  Department,  but
17    without the 2.1% or  1.75%  discount  provided  for  in  this
18    Section  being  allowed.  When the user pays the tax directly
19    to the Department, he shall pay the tax in  the  same  amount
20    and in the same form in which it would be remitted if the tax
21    had been remitted to the Department by the retailer.
22        Refunds  made  by  the seller during the preceding return
23    period  to  purchasers,  on  account  of  tangible   personal
24    property  returned  to  the  seller,  shall  be  allowed as a
25    deduction under subdivision 5 of  his  monthly  or  quarterly
26    return,   as  the  case  may  be,  in  case  the  seller  had
27    theretofore included the  receipts  from  the  sale  of  such
28    tangible  personal  property in a return filed by him and had
29    paid the tax  imposed  by  this  Act  with  respect  to  such
30    receipts.
31        Where  the  seller  is a corporation, the return filed on
32    behalf of such corporation shall be signed by the  president,
33    vice-president,  secretary  or  treasurer  or by the properly
34    accredited agent of such corporation.
 
                            -67-     LRB093 04444 SJM 04496 b
 1        Where the seller is  a  limited  liability  company,  the
 2    return filed on behalf of the limited liability company shall
 3    be  signed by a manager, member, or properly accredited agent
 4    of the limited liability company.
 5        Except as provided in this Section, the  retailer  filing
 6    the  return  under  this Section shall, at the time of filing
 7    such return, pay to the Department the amount of tax  imposed
 8    by  this Act less a discount of 2.1% prior to January 1, 1990
 9    and 1.75% on and after January 1, 1990, or  $5  per  calendar
10    year, whichever is greater, which is allowed to reimburse the
11    retailer  for  the  expenses  incurred  in  keeping  records,
12    preparing and filing returns, remitting the tax and supplying
13    data  to  the  Department  on  request.   Any prepayment made
14    pursuant to Section 2d of this Act shall be included  in  the
15    amount  on which such 2.1% or 1.75% discount is computed.  In
16    the case of retailers  who  report  and  pay  the  tax  on  a
17    transaction   by  transaction  basis,  as  provided  in  this
18    Section, such discount shall be  taken  with  each  such  tax
19    remittance  instead  of when such retailer files his periodic
20    return.
21        Before October 1, 2000, if the taxpayer's average monthly
22    tax liability to the Department under this Act, the  Use  Tax
23    Act,  the Service Occupation Tax Act, and the Service Use Tax
24    Act, excluding any liability for  prepaid  sales  tax  to  be
25    remitted  in  accordance  with  Section  2d  of this Act, was
26    $10,000 or more during  the  preceding  4  complete  calendar
27    quarters,  he  shall  file  a return with the Department each
28    month by the 20th day of the month next following  the  month
29    during  which  such  tax liability is incurred and shall make
30    payments to the Department on or before the 7th,  15th,  22nd
31    and  last  day  of  the  month during which such liability is
32    incurred. On and after October 1,  2000,  if  the  taxpayer's
33    average  monthly  tax  liability to the Department under this
34    Act, the Use Tax Act, the Service Occupation Tax Act, and the
 
                            -68-     LRB093 04444 SJM 04496 b
 1    Service Use Tax Act,  excluding  any  liability  for  prepaid
 2    sales  tax  to  be  remitted in accordance with Section 2d of
 3    this Act, was $20,000 or more during the preceding 4 complete
 4    calendar quarters, he shall file a return with the Department
 5    each month by the 20th day of the month  next  following  the
 6    month  during  which such tax liability is incurred and shall
 7    make payment to the Department on or before  the  7th,  15th,
 8    22nd and last day of the month during which such liability is
 9    incurred.    If  the month during which such tax liability is
10    incurred began prior to January 1, 1985, each  payment  shall
11    be  in  an  amount  equal  to  1/4  of  the taxpayer's actual
12    liability for the month or an amount set  by  the  Department
13    not  to  exceed  1/4  of the average monthly liability of the
14    taxpayer to the  Department  for  the  preceding  4  complete
15    calendar  quarters  (excluding the month of highest liability
16    and the month of lowest liability in such 4 quarter  period).
17    If  the  month  during  which  such tax liability is incurred
18    begins on or after January 1, 1985 and prior  to  January  1,
19    1987,  each  payment  shall be in an amount equal to 22.5% of
20    the taxpayer's actual liability for the month or 27.5% of the
21    taxpayer's liability for  the  same  calendar  month  of  the
22    preceding year.  If the month during which such tax liability
23    is  incurred  begins on or after January 1, 1987 and prior to
24    January 1, 1988, each payment shall be in an amount equal  to
25    22.5%  of  the  taxpayer's  actual liability for the month or
26    26.25% of the taxpayer's  liability  for  the  same  calendar
27    month  of the preceding year.  If the month during which such
28    tax liability is incurred begins on or after January 1, 1988,
29    and prior to January 1, 1989, or begins on or  after  January
30    1, 1996, each payment shall be in an amount equal to 22.5% of
31    the  taxpayer's  actual liability for the month or 25% of the
32    taxpayer's liability for  the  same  calendar  month  of  the
33    preceding  year. If the month during which such tax liability
34    is incurred begins on or after January 1, 1989, and prior  to
 
                            -69-     LRB093 04444 SJM 04496 b
 1    January  1, 1996, each payment shall be in an amount equal to
 2    22.5% of the taxpayer's actual liability for the month or 25%
 3    of the taxpayer's liability for the same  calendar  month  of
 4    the preceding year or 100% of the taxpayer's actual liability
 5    for the quarter monthly reporting period.  The amount of such
 6    quarter  monthly payments shall be credited against the final
 7    tax liability  of  the  taxpayer's  return  for  that  month.
 8    Before  October  1, 2000, once applicable, the requirement of
 9    the making of quarter monthly payments to the  Department  by
10    taxpayers  having an average monthly tax liability of $10,000
11    or more as determined in  the  manner  provided  above  shall
12    continue  until  such taxpayer's average monthly liability to
13    the Department  during  the  preceding  4  complete  calendar
14    quarters  (excluding  the  month of highest liability and the
15    month of lowest liability) is less than $9,000, or until such
16    taxpayer's average monthly liability  to  the  Department  as
17    computed  for  each  calendar  quarter  of  the  4  preceding
18    complete  calendar  quarter  period  is  less  than  $10,000.
19    However,  if  a  taxpayer  can  show  the  Department  that a
20    substantial change in the taxpayer's  business  has  occurred
21    which  causes  the  taxpayer  to  anticipate that his average
22    monthly tax liability for the reasonably  foreseeable  future
23    will fall below the $10,000 threshold stated above, then such
24    taxpayer  may  petition  the  Department for a change in such
25    taxpayer's reporting status.  On and after October  1,  2000,
26    once  applicable,  the  requirement  of the making of quarter
27    monthly payments to the Department  by  taxpayers  having  an
28    average   monthly   tax  liability  of  $20,000  or  more  as
29    determined in the manner provided above shall continue  until
30    such  taxpayer's  average monthly liability to the Department
31    during the preceding 4 complete calendar quarters  (excluding
32    the  month  of  highest  liability  and  the  month of lowest
33    liability) is less than  $19,000  or  until  such  taxpayer's
34    average  monthly  liability to the Department as computed for
 
                            -70-     LRB093 04444 SJM 04496 b
 1    each calendar quarter of the 4  preceding  complete  calendar
 2    quarter  period is less than $20,000.  However, if a taxpayer
 3    can show the Department that  a  substantial  change  in  the
 4    taxpayer's business has occurred which causes the taxpayer to
 5    anticipate  that  his  average  monthly tax liability for the
 6    reasonably foreseeable future will  fall  below  the  $20,000
 7    threshold  stated  above, then such taxpayer may petition the
 8    Department for a change in such taxpayer's reporting  status.
 9    The  Department shall change such taxpayer's reporting status
10    unless it finds that such change is seasonal  in  nature  and
11    not  likely  to  be  long  term.  If any such quarter monthly
12    payment is not paid at the time or in the amount required  by
13    this Section, then the taxpayer shall be liable for penalties
14    and interest on the difference between the minimum amount due
15    as  a  payment and the amount of such quarter monthly payment
16    actually and timely paid, except insofar as the taxpayer  has
17    previously  made payments for that month to the Department in
18    excess of the minimum payments previously due as provided  in
19    this  Section. The Department shall make reasonable rules and
20    regulations to govern the quarter monthly payment amount  and
21    quarter monthly payment dates for taxpayers who file on other
22    than a calendar monthly basis.
23        The  provisions of this paragraph apply before October 1,
24    2001. Without regard to whether a  taxpayer  is  required  to
25    make   quarter  monthly  payments  as  specified  above,  any
26    taxpayer who is required by Section 2d of this Act to collect
27    and remit prepaid taxes and has collected prepaid taxes which
28    average in excess of $25,000 per month during the preceding 2
29    complete calendar quarters, shall  file  a  return  with  the
30    Department  as required by Section 2f and shall make payments
31    to the Department on or before the 7th, 15th, 22nd  and  last
32    day of the month during which such liability is incurred.  If
33    the  month  during which such tax liability is incurred began
34    prior to the effective date of this amendatory Act  of  1985,
 
                            -71-     LRB093 04444 SJM 04496 b
 1    each payment shall be in an amount not less than 22.5% of the
 2    taxpayer's  actual  liability under Section 2d.  If the month
 3    during which such tax liability  is  incurred  begins  on  or
 4    after  January  1,  1986,  each payment shall be in an amount
 5    equal to 22.5% of the taxpayer's  actual  liability  for  the
 6    month  or  27.5%  of  the  taxpayer's  liability for the same
 7    calendar month of the preceding calendar year.  If the  month
 8    during  which  such  tax  liability  is incurred begins on or
 9    after January 1, 1987, each payment shall  be  in  an  amount
10    equal  to  22.5%  of  the taxpayer's actual liability for the
11    month or 26.25% of the  taxpayer's  liability  for  the  same
12    calendar  month  of  the  preceding year.  The amount of such
13    quarter monthly payments shall be credited against the  final
14    tax  liability  of the taxpayer's return for that month filed
15    under this Section or Section 2f, as the case may  be.   Once
16    applicable,  the requirement of the making of quarter monthly
17    payments to the Department pursuant to this  paragraph  shall
18    continue  until  such  taxpayer's average monthly prepaid tax
19    collections during the preceding 2 complete calendar quarters
20    is $25,000 or less.  If any such quarter monthly  payment  is
21    not  paid at the time or in the amount required, the taxpayer
22    shall  be  liable  for  penalties  and   interest   on   such
23    difference,  except  insofar  as  the taxpayer has previously
24    made payments  for  that  month  in  excess  of  the  minimum
25    payments previously due.
26        The  provisions  of  this  paragraph  apply  on and after
27    October 1, 2001.  Without regard to  whether  a  taxpayer  is
28    required to make quarter monthly payments as specified above,
29    any  taxpayer  who  is  required by Section 2d of this Act to
30    collect and remit prepaid taxes  and  has  collected  prepaid
31    taxes  that average in excess of $20,000 per month during the
32    preceding 4 complete calendar quarters shall  file  a  return
33    with  the Department as required by Section 2f and shall make
34    payments to the Department on or before the 7th,  15th,  22nd
 
                            -72-     LRB093 04444 SJM 04496 b
 1    and  last  day  of  the  month  during which the liability is
 2    incurred.  Each payment shall be in an amount equal to  22.5%
 3    of  the  taxpayer's  actual liability for the month or 25% of
 4    the taxpayer's liability for the same calendar month  of  the
 5    preceding  year.   The amount of the quarter monthly payments
 6    shall be credited against the  final  tax  liability  of  the
 7    taxpayer's  return for that month filed under this Section or
 8    Section 2f,  as  the  case  may  be.   Once  applicable,  the
 9    requirement  of the making of quarter monthly payments to the
10    Department pursuant to this paragraph  shall  continue  until
11    the taxpayer's average monthly prepaid tax collections during
12    the  preceding  4  complete  calendar quarters (excluding the
13    month of highest liability and the month of lowest liability)
14    is less than $19,000 or until such taxpayer's average monthly
15    liability to the Department as  computed  for  each  calendar
16    quarter of the 4 preceding complete calendar quarters is less
17    than  $20,000.   If  any  such quarter monthly payment is not
18    paid at the time or in  the  amount  required,  the  taxpayer
19    shall   be   liable   for  penalties  and  interest  on  such
20    difference, except insofar as  the  taxpayer  has  previously
21    made  payments  for  that  month  in  excess  of  the minimum
22    payments previously due.
23        If any payment provided for in this Section  exceeds  the
24    taxpayer's  liabilities  under this Act, the Use Tax Act, the
25    Service Occupation Tax Act and the Service Use  Tax  Act,  as
26    shown on an original monthly return, the Department shall, if
27    requested  by  the  taxpayer,  issue to the taxpayer a credit
28    memorandum no later than 30 days after the date  of  payment.
29    The  credit  evidenced  by  such  credit  memorandum  may  be
30    assigned  by  the  taxpayer  to a similar taxpayer under this
31    Act, the Use Tax Act, the Service Occupation Tax Act  or  the
32    Service  Use Tax Act, in accordance with reasonable rules and
33    regulations to be prescribed by the Department.  If  no  such
34    request  is made, the taxpayer may credit such excess payment
 
                            -73-     LRB093 04444 SJM 04496 b
 1    against tax liability subsequently  to  be  remitted  to  the
 2    Department  under  this  Act,  the  Use  Tax Act, the Service
 3    Occupation Tax Act or the Service Use Tax Act, in  accordance
 4    with  reasonable  rules  and  regulations  prescribed  by the
 5    Department.  If the Department subsequently  determined  that
 6    all  or  any part of the credit taken was not actually due to
 7    the taxpayer, the taxpayer's 2.1% and 1.75% vendor's discount
 8    shall be reduced by 2.1% or 1.75% of the  difference  between
 9    the  credit  taken  and  that actually due, and that taxpayer
10    shall  be  liable  for  penalties  and   interest   on   such
11    difference.
12        If a retailer of motor fuel is entitled to a credit under
13    Section 2d of this Act which exceeds the taxpayer's liability
14    to  the  Department  under  this  Act for the month which the
15    taxpayer is filing a return, the Department shall  issue  the
16    taxpayer a credit memorandum for the excess.
17        Beginning  January  1,  1990,  each  month the Department
18    shall pay into the Local Government Tax Fund, a special  fund
19    in  the  State  treasury  which  is  hereby  created, the net
20    revenue realized for the preceding month from the 1%  tax  on
21    sales  of  food for human consumption which is to be consumed
22    off the premises where  it  is  sold  (other  than  alcoholic
23    beverages,  soft  drinks and food which has been prepared for
24    immediate consumption) and prescription  and  nonprescription
25    medicines,  drugs,  medical  appliances  and  insulin,  urine
26    testing materials, syringes and needles used by diabetics.
27        Beginning  January  1,  1990,  each  month the Department
28    shall pay into the County and Mass Transit District  Fund,  a
29    special  fund  in the State treasury which is hereby created,
30    4% of the net revenue realized for the preceding  month  from
31    the 6.25% general rate.
32        Beginning August 1, 2000, each month the Department shall
33    pay into the County and Mass Transit District Fund 20% of the
34    net  revenue  realized for the preceding month from the 1.25%
 
                            -74-     LRB093 04444 SJM 04496 b
 1    rate on the selling price of motor fuel and gasohol.
 2        Beginning August 1, 2003, each month the Department shall
 3    pay into the County and Mass Transit District Fund 20% of the
 4    net revenue realized for the preceding month from  the  1.25%
 5    rate  on  the  selling price of textbooks required for use at
 6    State  universities  and  public  community  colleges  or  at
 7    institutions of higher learning as defined  in  the  Illinois
 8    Financial Assistance Act for Nonpublic Institutions of Higher
 9    Learning.
10        Beginning  January  1,  1990,  each  month the Department
11    shall pay into the Local Government Tax Fund 16% of  the  net
12    revenue  realized  for  the  preceding  month  from the 6.25%
13    general rate  on  the  selling  price  of  tangible  personal
14    property.
15        Beginning August 1, 2000, each month the Department shall
16    pay into the Local Government Tax Fund 80% of the net revenue
17    realized  for  the preceding month from the 1.25% rate on the
18    selling price of motor fuel and gasohol.
19        Beginning August 1, 2003, each month the Department shall
20    pay into the Local Government Tax Fund 80% of the net revenue
21    realized for the preceding month from the 1.25% rate  on  the
22    selling   price  of  textbooks  required  for  use  at  State
23    universities and public community colleges or at institutions
24    of higher learning  as  defined  in  the  Illinois  Financial
25    Assistance Act for Nonpublic Institutions of Higher Learning.
26        Of the remainder of the moneys received by the Department
27    pursuant  to  this  Act, (a) 1.75% thereof shall be paid into
28    the Build Illinois Fund and (b) prior to July 1,  1989,  2.2%
29    and  on  and  after  July 1, 1989, 3.8% thereof shall be paid
30    into the Build Illinois Fund; provided, however, that  if  in
31    any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
32    as  the case may be, of the moneys received by the Department
33    and required to be paid into the Build Illinois Fund pursuant
34    to this Act, Section 9 of the Use Tax Act, Section 9  of  the
 
                            -75-     LRB093 04444 SJM 04496 b
 1    Service  Use Tax Act, and Section 9 of the Service Occupation
 2    Tax Act, such Acts being hereinafter called  the  "Tax  Acts"
 3    and  such  aggregate  of 2.2% or 3.8%, as the case may be, of
 4    moneys being hereinafter called the "Tax Act Amount", and (2)
 5    the amount transferred to the Build Illinois  Fund  from  the
 6    State  and Local Sales Tax Reform Fund shall be less than the
 7    Annual Specified Amount (as hereinafter defined),  an  amount
 8    equal  to  the  difference shall be immediately paid into the
 9    Build  Illinois  Fund  from  other  moneys  received  by  the
10    Department pursuant to the Tax Acts;  the  "Annual  Specified
11    Amount"  means  the  amounts specified below for fiscal years
12    1986 through 1993:
13             Fiscal Year              Annual Specified Amount
14                 1986                       $54,800,000
15                 1987                       $76,650,000
16                 1988                       $80,480,000
17                 1989                       $88,510,000
18                 1990                       $115,330,000
19                 1991                       $145,470,000
20                 1992                       $182,730,000
21                 1993                      $206,520,000;
22    and means the Certified Annual Debt Service  Requirement  (as
23    defined  in Section 13 of the Build Illinois Bond Act) or the
24    Tax Act Amount, whichever is greater, for  fiscal  year  1994
25    and  each  fiscal year thereafter; and further provided, that
26    if on the last business day of any month the sum of  (1)  the
27    Tax  Act  Amount  required  to  be  deposited  into the Build
28    Illinois Bond Account in the Build Illinois Fund during  such
29    month  and  (2)  the amount transferred to the Build Illinois
30    Fund from the State and Local Sales  Tax  Reform  Fund  shall
31    have  been  less than 1/12 of the Annual Specified Amount, an
32    amount equal to the difference shall be immediately paid into
33    the Build Illinois Fund from other  moneys  received  by  the
34    Department  pursuant  to the Tax Acts; and, further provided,
 
                            -76-     LRB093 04444 SJM 04496 b
 1    that in no  event  shall  the  payments  required  under  the
 2    preceding proviso result in aggregate payments into the Build
 3    Illinois Fund pursuant to this clause (b) for any fiscal year
 4    in  excess  of  the greater of (i) the Tax Act Amount or (ii)
 5    the Annual  Specified  Amount  for  such  fiscal  year.   The
 6    amounts payable into the Build Illinois Fund under clause (b)
 7    of the first sentence in this paragraph shall be payable only
 8    until such time as the aggregate amount on deposit under each
 9    trust   indenture   securing  Bonds  issued  and  outstanding
10    pursuant to the Build Illinois Bond Act is sufficient, taking
11    into account any future investment income, to fully  provide,
12    in  accordance  with such indenture, for the defeasance of or
13    the payment  of  the  principal  of,  premium,  if  any,  and
14    interest  on  the  Bonds secured by such indenture and on any
15    Bonds expected to be issued thereafter and all fees and costs
16    payable  with  respect  thereto,  all  as  certified  by  the
17    Director of the  Bureau  of  the  Budget.   If  on  the  last
18    business  day  of  any  month  in which Bonds are outstanding
19    pursuant to the Build Illinois Bond  Act,  the  aggregate  of
20    moneys  deposited  in  the Build Illinois Bond Account in the
21    Build Illinois Fund in such month  shall  be  less  than  the
22    amount  required  to  be  transferred  in such month from the
23    Build Illinois  Bond  Account  to  the  Build  Illinois  Bond
24    Retirement  and  Interest  Fund pursuant to Section 13 of the
25    Build Illinois Bond Act, an amount equal to  such  deficiency
26    shall  be  immediately paid from other moneys received by the
27    Department pursuant to the Tax Acts  to  the  Build  Illinois
28    Fund;  provided,  however, that any amounts paid to the Build
29    Illinois Fund in any fiscal year pursuant  to  this  sentence
30    shall be deemed to constitute payments pursuant to clause (b)
31    of  the first sentence of this paragraph and shall reduce the
32    amount otherwise payable for such  fiscal  year  pursuant  to
33    that  clause  (b).   The  moneys  received  by the Department
34    pursuant to this Act and required to be  deposited  into  the
 
                            -77-     LRB093 04444 SJM 04496 b
 1    Build  Illinois  Fund  are  subject  to the pledge, claim and
 2    charge set forth in Section 12 of  the  Build  Illinois  Bond
 3    Act.
 4        Subject  to  payment  of  amounts into the Build Illinois
 5    Fund as  provided  in  the  preceding  paragraph  or  in  any
 6    amendment  thereto hereafter enacted, the following specified
 7    monthly  installment  of  the   amount   requested   in   the
 8    certificate  of  the  Chairman  of  the Metropolitan Pier and
 9    Exposition Authority provided  under  Section  8.25f  of  the
10    State  Finance  Act,  but not in excess of sums designated as
11    "Total Deposit", shall be deposited  in  the  aggregate  from
12    collections  under Section 9 of the Use Tax Act, Section 9 of
13    the Service Use Tax Act, Section 9 of the Service  Occupation
14    Tax  Act,  and Section 3 of the Retailers' Occupation Tax Act
15    into the  McCormick  Place  Expansion  Project  Fund  in  the
16    specified fiscal years.
17               Fiscal Year                           Total Deposit
18                   1993                                        $0
19                   1994                                53,000,000
20                   1995                                58,000,000
21                   1996                                61,000,000
22                   1997                                64,000,000
23                   1998                                68,000,000
24                   1999                                71,000,000
25                   2000                                75,000,000
26                   2001                                80,000,000
27                   2002                                93,000,000
28                   2003                                99,000,000
29                   2004                               103,000,000
30                   2005                               108,000,000
31                   2006                               113,000,000
32                   2007                               119,000,000
33                   2008                               126,000,000
34                   2009                               132,000,000
 
                            -78-     LRB093 04444 SJM 04496 b
 1                   2010                               139,000,000
 2                   2011                               146,000,000
 3                   2012                               153,000,000
 4                   2013                               161,000,000
 5                   2014                               170,000,000
 6                   2015                               179,000,000
 7                   2016                               189,000,000
 8                   2017                               199,000,000
 9                   2018                               210,000,000
10                   2019                               221,000,000
11                   2020                               233,000,000
12                   2021                               246,000,000
13                   2022                               260,000,000
14                 2023 and                             275,000,000
15    each fiscal year
16    thereafter that bonds
17    are outstanding under
18    Section 13.2 of the
19    Metropolitan Pier and
20    Exposition Authority
21    Act, but not after fiscal year 2042.
22        Beginning  July 20, 1993 and in each month of each fiscal
23    year thereafter, one-eighth of the amount  requested  in  the
24    certificate  of  the  Chairman  of  the Metropolitan Pier and
25    Exposition Authority for that fiscal year,  less  the  amount
26    deposited  into the McCormick Place Expansion Project Fund by
27    the State Treasurer in the respective month under  subsection
28    (g)  of  Section  13  of the Metropolitan Pier and Exposition
29    Authority Act, plus cumulative deficiencies in  the  deposits
30    required  under  this  Section for previous months and years,
31    shall be deposited into the McCormick Place Expansion Project
32    Fund, until the full amount requested for  the  fiscal  year,
33    but  not  in  excess  of the amount specified above as "Total
34    Deposit", has been deposited.
 
                            -79-     LRB093 04444 SJM 04496 b
 1        Subject to payment of amounts  into  the  Build  Illinois
 2    Fund  and the McCormick Place Expansion Project Fund pursuant
 3    to the preceding paragraphs  or  in  any  amendments  thereto
 4    hereafter  enacted,  beginning  July  1, 1993, the Department
 5    shall each month pay into the  Illinois  Tax  Increment  Fund
 6    0.27%  of  80%  of the net revenue realized for the preceding
 7    month from the 6.25% general rate on  the  selling  price  of
 8    tangible personal property.
 9        Subject  to  payment  of  amounts into the Build Illinois
10    Fund and the McCormick Place Expansion Project Fund  pursuant
11    to  the  preceding  paragraphs  or  in any amendments thereto
12    hereafter enacted, beginning with the receipt  of  the  first
13    report  of  taxes paid by an eligible business and continuing
14    for a 25-year period, the Department  shall  each  month  pay
15    into  the  Energy  Infrastructure Fund 80% of the net revenue
16    realized from the 6.25% general rate on the selling price  of
17    Illinois-mined  coal  that  was sold to an eligible business.
18    For purposes of this paragraph, the term "eligible  business"
19    means  a  new electric generating facility certified pursuant
20    to  Section  605-332  of  the  Department  of  Commerce   and
21    Community  Affairs  Law  of  the Civil Administrative Code of
22    Illinois.
23        Of the remainder of the moneys received by the Department
24    pursuant to this Act, 75% thereof  shall  be  paid  into  the
25    State Treasury and 25% shall be reserved in a special account
26    and  used  only for the transfer to the Common School Fund as
27    part of the monthly transfer from the General Revenue Fund in
28    accordance with Section 8a of the State Finance Act.
29        The Department may, upon separate  written  notice  to  a
30    taxpayer,  require  the taxpayer to prepare and file with the
31    Department on a form prescribed by the Department within  not
32    less  than  60  days  after  receipt  of the notice an annual
33    information return for the tax year specified in the  notice.
34    Such   annual  return  to  the  Department  shall  include  a
 
                            -80-     LRB093 04444 SJM 04496 b
 1    statement of gross receipts as shown by the  retailer's  last
 2    Federal  income  tax  return.   If  the total receipts of the
 3    business as reported in the Federal income tax return do  not
 4    agree  with  the gross receipts reported to the Department of
 5    Revenue for the same period, the retailer shall attach to his
 6    annual return a schedule showing a reconciliation  of  the  2
 7    amounts  and  the reasons for the difference.  The retailer's
 8    annual return to the Department shall also disclose the  cost
 9    of goods sold by the retailer during the year covered by such
10    return,  opening  and  closing  inventories of such goods for
11    such year, costs of goods used from stock or taken from stock
12    and given away by the  retailer  during  such  year,  payroll
13    information  of  the retailer's business during such year and
14    any additional reasonable information  which  the  Department
15    deems  would  be  helpful  in determining the accuracy of the
16    monthly, quarterly or annual returns filed by  such  retailer
17    as provided for in this Section.
18        If the annual information return required by this Section
19    is  not  filed  when  and  as required, the taxpayer shall be
20    liable as follows:
21             (i)  Until January 1, 1994, the  taxpayer  shall  be
22        liable  for  a  penalty equal to 1/6 of 1% of the tax due
23        from such taxpayer under this Act during the period to be
24        covered by the annual return for each month  or  fraction
25        of  a  month  until such return is filed as required, the
26        penalty to be assessed and collected in the  same  manner
27        as any other penalty provided for in this Act.
28             (ii)  On  and  after  January  1, 1994, the taxpayer
29        shall be liable for a penalty as described in Section 3-4
30        of the Uniform Penalty and Interest Act.
31        The chief executive officer, proprietor, owner or highest
32    ranking manager shall sign the annual return to  certify  the
33    accuracy  of  the information contained therein.   Any person
34    who willfully signs the annual  return  containing  false  or
 
                            -81-     LRB093 04444 SJM 04496 b
 1    inaccurate   information  shall  be  guilty  of  perjury  and
 2    punished accordingly.  The annual return form  prescribed  by
 3    the  Department  shall  include  a  warning  that  the person
 4    signing the return may be liable for perjury.
 5        The provisions of this Section concerning the  filing  of
 6    an  annual  information return do not apply to a retailer who
 7    is not required to file an income tax return with the  United
 8    States Government.
 9        As  soon  as  possible after the first day of each month,
10    upon  certification  of  the  Department  of   Revenue,   the
11    Comptroller  shall  order transferred and the Treasurer shall
12    transfer from the General Revenue Fund to the Motor Fuel  Tax
13    Fund  an  amount  equal  to  1.7%  of  80% of the net revenue
14    realized under this  Act  for  the  second  preceding  month.
15    Beginning  April 1, 2000, this transfer is no longer required
16    and shall not be made.
17        Net revenue realized for a month  shall  be  the  revenue
18    collected  by the State pursuant to this Act, less the amount
19    paid out during  that  month  as  refunds  to  taxpayers  for
20    overpayment of liability.
21        For  greater simplicity of administration, manufacturers,
22    importers and wholesalers whose products are sold  at  retail
23    in Illinois by numerous retailers, and who wish to do so, may
24    assume  the  responsibility  for accounting and paying to the
25    Department all tax accruing under this Act  with  respect  to
26    such  sales,  if  the  retailers who are affected do not make
27    written objection to the Department to this arrangement.
28        Any  person  who  promotes,  organizes,  provides  retail
29    selling space for concessionaires or other types  of  sellers
30    at the Illinois State Fair, DuQuoin State Fair, county fairs,
31    local  fairs, art shows, flea markets and similar exhibitions
32    or events, including any transient  merchant  as  defined  by
33    Section  2 of the Transient Merchant Act of 1987, is required
34    to file a report with the Department providing  the  name  of
 
                            -82-     LRB093 04444 SJM 04496 b
 1    the  merchant's  business,  the name of the person or persons
 2    engaged in merchant's business,  the  permanent  address  and
 3    Illinois  Retailers Occupation Tax Registration Number of the
 4    merchant, the dates and  location  of  the  event  and  other
 5    reasonable  information that the Department may require.  The
 6    report must be filed not later than the 20th day of the month
 7    next following the month during which the event  with  retail
 8    sales  was  held.   Any  person  who  fails  to file a report
 9    required by this Section commits a business  offense  and  is
10    subject to a fine not to exceed $250.
11        Any  person  engaged  in the business of selling tangible
12    personal property at retail as a concessionaire or other type
13    of seller at the  Illinois  State  Fair,  county  fairs,  art
14    shows, flea markets and similar exhibitions or events, or any
15    transient merchants, as defined by Section 2 of the Transient
16    Merchant  Act of 1987, may be required to make a daily report
17    of the amount of such sales to the Department and to  make  a
18    daily  payment of the full amount of tax due.  The Department
19    shall impose this requirement when it finds that there  is  a
20    significant  risk  of loss of revenue to the State at such an
21    exhibition or event.   Such  a  finding  shall  be  based  on
22    evidence  that  a  substantial  number  of concessionaires or
23    other sellers who are  not  residents  of  Illinois  will  be
24    engaging   in  the  business  of  selling  tangible  personal
25    property at retail at  the  exhibition  or  event,  or  other
26    evidence  of  a  significant  risk  of loss of revenue to the
27    State.  The Department shall notify concessionaires and other
28    sellers affected by the imposition of this  requirement.   In
29    the   absence   of   notification   by  the  Department,  the
30    concessionaires and other sellers shall file their returns as
31    otherwise required in this Section.
32    (Source: P.A.  91-37,  eff.  7-1-99;  91-51,  eff.   6-30-99;
33    91-101,  eff.  7-12-99;  91-541,  eff.  8-13-99; 91-872, eff.
34    7-1-00; 91-901, eff. 1-1-01; 92-12, eff. 7-1-01; 92-16,  eff.
 
                            -83-     LRB093 04444 SJM 04496 b
 1    6-28-01;  92-208,  eff. 8-2-01; 92-484, eff. 8-23-01; 92-492,
 2    eff. 1-1-02; 92-600, eff. 6-28-02; 92-651, eff. 7-11-02.)

 3        Section 99.  Effective date.  This Act takes effect  upon
 4    becoming law.