093_SB0046eng SB46 Engrossed LRB093 02617 SJM 02627 b 1 AN ACT concerning taxes. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 5. The Use Tax Act is amended by changing 5 Section 3-10 and by adding Sections 3-41 and 3-42 as follows: 6 (35 ILCS 105/3-10) (from Ch. 120, par. 439.3-10) 7 Sec. 3-10. Rate of tax. Unless otherwise provided in 8 this Section, the tax imposed by this Act is at the rate of 9 6.25% of either the selling price or the fair market value, 10 if any, of the tangible personal property. In all cases 11 where property functionally used or consumed is the same as 12 the property that was purchased at retail, then the tax is 13 imposed on the selling price of the property. In all cases 14 where property functionally used or consumed is a by-product 15 or waste product that has been refined, manufactured, or 16 produced from property purchased at retail, then the tax is 17 imposed on the lower of the fair market value, if any, of the 18 specific property so used in this State or on the selling 19 price of the property purchased at retail. For purposes of 20 this Section "fair market value" means the price at which 21 property would change hands between a willing buyer and a 22 willing seller, neither being under any compulsion to buy or 23 sell and both having reasonable knowledge of the relevant 24 facts. The fair market value shall be established by Illinois 25 sales by the taxpayer of the same property as that 26 functionally used or consumed, or if there are no such sales 27 by the taxpayer, then comparable sales or purchases of 28 property of like kind and character in Illinois. 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 SB46 Engrossed -2- LRB093 02617 SJM 02627 b 1 of the Use Tax Act, the tax is imposed at the rate of 1.25%. 2 With respect to gasohol, the tax imposed by this Act 3 applies to (i) 70% of the proceeds of sales made on or after 4 January 1, 1990, and before July 1, 2003, (ii) 75% of the 5 proceeds of sales made on or after July 1, 2003 and through 6 December 31, 2007, (iii) 80% of the proceeds of sales made on 7 or after January 1, 2008 and through December 31, 2013, and 8 (iv)to100% of the proceeds of sales made thereafter. If, at 9 any time, however, the tax under this Act on sales of gasohol 10 is imposed at the rate of 1.25%, then the tax imposed by this 11 Act applies to 100% of the proceeds of sales of gasohol made 12 during that time. 13 With respect to E85 blend fuel, the tax imposed by this 14 Act does not apply to the proceeds of sales made on or after 15 July 1, 2003 and through December 31, 2013 but applies to 16 100% of the proceeds of sales made thereafter. If, at any 17 time, however, the tax under this Act on sales of E85 blend 18 fuel is imposed at the rate of 1.25%, then the tax imposed by 19 this Act applies to 100% of the proceeds of sales of E85 20 blend fuel made during that time. 21 With respect to bio-diesel blend fuel with no more than 22 10% fuel made from biomass material, the tax imposed by this 23 Act applies to (i) 75% of the proceeds of sales made on or 24 after July 1, 2003 and through December 31, 2007, (ii) 80% of 25 the proceeds of sales made on or after January 1, 2008 and 26 through December 31, 2013, and (iii) 100% of the proceeds of 27 sales made thereafter. If, at any time, however, the tax 28 under this Act on sales of bio-diesel blend fuel with no more 29 than 10% fuel made from biomass material is imposed at the 30 rate of 1.25%, then the tax imposed by this Act applies to 31 100% of the proceeds of sales of bio-diesel blend fuel with 32 no more than 10% fuel made from biomass material made during 33 that time. 34 With respect to bio-diesel blend fuel with more than 10% SB46 Engrossed -3- LRB093 02617 SJM 02627 b 1 fuel made from biomass material, the tax imposed by this Act 2 does not apply to the proceeds of sales made on or after July 3 1, 2003 and through December 31, 2013 but applies to 100% of 4 the proceeds of sales made thereafter. If, at any time, 5 however, the tax under this Act on sales of bio-diesel blend 6 fuel with more than 10% fuel made from biomass material is 7 imposed at the rate of 1.25%, then the tax imposed by this 8 Act applies to 100% of the proceeds of sales of bio-diesel 9 blend fuel with more than 10% fuel made from biomass material 10 made during that time. 11 With respect to food for human consumption that is to be 12 consumed off the premises where it is sold (other than 13 alcoholic beverages, soft drinks, and food that has been 14 prepared for immediate consumption) and prescription and 15 nonprescription medicines, drugs, medical appliances, 16 modifications to a motor vehicle for the purpose of rendering 17 it usable by a disabled person, and insulin, urine testing 18 materials, syringes, and needles used by diabetics, for human 19 use, the tax is imposed at the rate of 1%. For the purposes 20 of this Section, the term "soft drinks" means any complete, 21 finished, ready-to-use, non-alcoholic drink, whether 22 carbonated or not, including but not limited to soda water, 23 cola, fruit juice, vegetable juice, carbonated water, and all 24 other preparations commonly known as soft drinks of whatever 25 kind or description that are contained in any closed or 26 sealed bottle, can, carton, or container, regardless of size. 27 "Soft drinks" does not include coffee, tea, non-carbonated 28 water, infant formula, milk or milk products as defined in 29 the Grade A Pasteurized Milk and Milk Products Act, or drinks 30 containing 50% or more natural fruit or vegetable juice. 31 Notwithstanding any other provisions of this Act, "food 32 for human consumption that is to be consumed off the premises 33 where it is sold" includes all food sold through a vending 34 machine, except soft drinks and food products that are SB46 Engrossed -4- LRB093 02617 SJM 02627 b 1 dispensed hot from a vending machine, regardless of the 2 location of the vending machine. 3 If the property that is purchased at retail from a 4 retailer is acquired outside Illinois and used outside 5 Illinois before being brought to Illinois for use here and is 6 taxable under this Act, the "selling price" on which the tax 7 is computed shall be reduced by an amount that represents a 8 reasonable allowance for depreciation for the period of prior 9 out-of-state use. 10 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98; 11 91-51, eff. 6-30-99; 91-872, eff. 7-1-00.) 12 (35 ILCS 105/3-41 new) 13 Sec. 3-41. Bio-diesel blend. "Bio-diesel blend" means 14 diesel fuel blended with no less than 0.5% and no more than 15 20% fuel made from biomass material. "Diesel fuel" means any 16 petroleum product intended for use or offered for sale as a 17 fuel for engines in which the fuel is injected into the 18 combustion chamber and ignited by pressure without electric 19 spark. "Biomass material" includes, but is not limited to, 20 soybean oil, other vegetable oils, and denatured ethanol. 21 (35 ILCS 105/3-42 new) 22 Sec. 3-42. E85 blend fuel. "E85 blend fuel" means 23 motor fuel that contains at least 70% denatured ethanol and 24 no more than 30% gasoline. "Gasoline" means all products 25 commonly or commercially known or sold as gasoline (including 26 casing head and absorption or natural gasoline). 27 Section 10. The Service Use Tax Act is amended by 28 changing Section 3-10 as follows: 29 (35 ILCS 110/3-10) (from Ch. 120, par. 439.33-10) 30 Sec. 3-10. Rate of tax. Unless otherwise provided in SB46 Engrossed -5- LRB093 02617 SJM 02627 b 1 this Section, the tax imposed by this Act is at the rate of 2 6.25% of the selling price of tangible personal property 3 transferred as an incident to the sale of service, but, for 4 the purpose of computing this tax, in no event shall the 5 selling price be less than the cost price of the property to 6 the serviceman. 7 Beginning on July 1, 2000 and through December 31, 2000, 8 with respect to motor fuel, as defined in Section 1.1 of the 9 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 10 of the Use Tax Act, the tax is imposed at the rate of 1.25%. 11 With respect to gasohol, as defined in the Use Tax Act, 12 the tax imposed by this Act applies to (i) 70% of the selling 13 price of property transferred as an incident to the sale of 14 service on or after January 1, 1990, and before July 1, 2003, 15 (ii) 75% of the selling price of property transferred as an 16 incident to the sale of service on or after July 1, 2003 and 17 through December 31, 2007, (iii) 80% of the selling price of 18 property transferred as an incident to the sale of service on 19 or after January 1, 2008 and through December 31, 2013, and 20 (iv)to100% of the selling price thereafter. If, at any 21 time, however, the tax under this Act on sales of gasohol, as 22 defined in the Use Tax Act, is imposed at the rate of 1.25%, 23 then the tax imposed by this Act applies to 100% of the 24 proceeds of sales of gasohol made during that time. 25 With respect to E85 blend fuel, as defined in the Use Tax 26 Act, the tax imposed by this Act does not apply to the 27 selling price of property transferred as an incident to the 28 sale of service on or after July 1, 2003 and through December 29 31, 2013 but applies to 100% of the selling price thereafter. 30 If, at any time, however, the tax under this Act on sales of 31 E85 blend fuel, as defined in the Use Tax Act, is imposed at 32 the rate of 1.25%, then the tax imposed by this Act applies 33 to 100% of the proceeds of sales of E85 blend fuel made 34 during that time. SB46 Engrossed -6- LRB093 02617 SJM 02627 b 1 With respect to bio-diesel blend fuel, as defined in the 2 Use Tax Act, with no more than 10% fuel made from biomass 3 material, the tax imposed by this Act applies to (i) 75% of 4 the selling price of property transferred as an incident to 5 the sale of service on or after July 1, 2003 and through 6 December 31, 2007, (ii) 80% of the proceeds of the selling 7 price of property transferred as an incident to the sale of 8 service on or after January 1, 2008 and through December 31, 9 2013, and (iii) 100% of the proceeds of the selling price 10 thereafter. If, at any time, however, the tax under this Act 11 on sales of bio-diesel blend fuel, as defined in the Use Tax 12 Act, with no more than 10% fuel made from biomass material is 13 imposed at the rate of 1.25%, then the tax imposed by this 14 Act applies to 100% of the proceeds of sales of bio-diesel 15 blend fuel with no more than 10% fuel made from biomass 16 material made during that time. 17 With respect to bio-diesel blend fuel, as defined in the 18 Use Tax Act, with more than 10% fuel made from biomass 19 material, the tax imposed by this Act does not apply to the 20 proceeds of the selling price of property transferred as an 21 incident to the sale of service on or after July 1, 2003 and 22 through December 31, 2013 but applies to 100% of the selling 23 price thereafter. If, at any time, however, the tax under 24 this Act on sales of bio-diesel blend fuel, as defined in the 25 Use Tax Act, with more than 10% fuel made from biomass 26 material is imposed at the rate of 1.25%, then the tax 27 imposed by this Act applies to 100% of the proceeds of sales 28 of bio-diesel blend fuel with more than 10% fuel made from 29 biomass material made during that time. 30 At the election of any registered serviceman made for 31 each fiscal year, sales of service in which the aggregate 32 annual cost price of tangible personal property transferred 33 as an incident to the sales of service is less than 35%, or 34 75% in the case of servicemen transferring prescription drugs SB46 Engrossed -7- LRB093 02617 SJM 02627 b 1 or servicemen engaged in graphic arts production, of the 2 aggregate annual total gross receipts from all sales of 3 service, the tax imposed by this Act shall be based on the 4 serviceman's cost price of the tangible personal property 5 transferred as an incident to the sale of those services. 6 The tax shall be imposed at the rate of 1% on food 7 prepared for immediate consumption and transferred incident 8 to a sale of service subject to this Act or the Service 9 Occupation Tax Act by an entity licensed under the Hospital 10 Licensing Act, the Nursing Home Care Act, or the Child Care 11 Act of 1969. The tax shall also be imposed at the rate of 1% 12 on food for human consumption that is to be consumed off the 13 premises where it is sold (other than alcoholic beverages, 14 soft drinks, and food that has been prepared for immediate 15 consumption and is not otherwise included in this paragraph) 16 and prescription and nonprescription medicines, drugs, 17 medical appliances, modifications to a motor vehicle for the 18 purpose of rendering it usable by a disabled person, and 19 insulin, urine testing materials, syringes, and needles used 20 by diabetics, for human use. For the purposes of this 21 Section, the term "soft drinks" means any complete, finished, 22 ready-to-use, non-alcoholic drink, whether carbonated or not, 23 including but not limited to soda water, cola, fruit juice, 24 vegetable juice, carbonated water, and all other preparations 25 commonly known as soft drinks of whatever kind or description 26 that are contained in any closed or sealed bottle, can, 27 carton, or container, regardless of size. "Soft drinks" does 28 not include coffee, tea, non-carbonated water, infant 29 formula, milk or milk products as defined in the Grade A 30 Pasteurized Milk and Milk Products Act, or drinks containing 31 50% or more natural fruit or vegetable juice. 32 Notwithstanding any other provisions of this Act, "food 33 for human consumption that is to be consumed off the premises 34 where it is sold" includes all food sold through a vending SB46 Engrossed -8- LRB093 02617 SJM 02627 b 1 machine, except soft drinks and food products that are 2 dispensed hot from a vending machine, regardless of the 3 location of the vending machine. 4 If the property that is acquired from a serviceman is 5 acquired outside Illinois and used outside Illinois before 6 being brought to Illinois for use here and is taxable under 7 this Act, the "selling price" on which the tax is computed 8 shall be reduced by an amount that represents a reasonable 9 allowance for depreciation for the period of prior 10 out-of-state use. 11 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98; 12 91-51, eff. 6-30-99; 91-541, eff. 8-13-99; 91-872, eff. 13 7-1-00.) 14 Section 15. The Service Occupation Tax Act is amended by 15 changing Section 3-10 as follows: 16 (35 ILCS 115/3-10) (from Ch. 120, par. 439.103-10) 17 Sec. 3-10. Rate of tax. Unless otherwise provided in 18 this Section, the tax imposed by this Act is at the rate of 19 6.25% of the "selling price", as defined in Section 2 of the 20 Service Use Tax Act, of the tangible personal property. For 21 the purpose of computing this tax, in no event shall the 22 "selling price" be less than the cost price to the serviceman 23 of the tangible personal property transferred. The selling 24 price of each item of tangible personal property transferred 25 as an incident of a sale of service may be shown as a 26 distinct and separate item on the serviceman's billing to the 27 service customer. If the selling price is not so shown, the 28 selling price of the tangible personal property is deemed to 29 be 50% of the serviceman's entire billing to the service 30 customer. When, however, a serviceman contracts to design, 31 develop, and produce special order machinery or equipment, 32 the tax imposed by this Act shall be based on the SB46 Engrossed -9- LRB093 02617 SJM 02627 b 1 serviceman's cost price of the tangible personal property 2 transferred incident to the completion of the contract. 3 Beginning on July 1, 2000 and through December 31, 2000, 4 with respect to motor fuel, as defined in Section 1.1 of the 5 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 6 of the Use Tax Act, the tax is imposed at the rate of 1.25%. 7 With respect to gasohol, as defined in the Use Tax Act, 8 the tax imposed by this Act shall apply to (i) 70% of the 9 cost price of property transferred as an incident to the sale 10 of service on or after January 1, 1990, and before July 1, 11 2003, (ii) 75% of the selling price of property transferred 12 as an incident to the sale of service on or after July 1, 13 2003 and through December 31, 2007, (iii) 80% of the selling 14 price of property transferred as an incident to the sale of 15 service on or after January 1, 2008 and through December 31, 16 2013, and (iv)to100% of the cost price thereafter. If, at 17 any time, however, the tax under this Act on sales of 18 gasohol, as defined in the Use Tax Act, is imposed at the 19 rate of 1.25%, then the tax imposed by this Act applies to 20 100% of the proceeds of sales of gasohol made during that 21 time. 22 With respect to E85 blend fuel, as defined in the Use Tax 23 Act, the tax imposed by this Act does not apply to the 24 selling price of property transferred as an incident to the 25 sale of service on or after July 1, 2003 and through December 26 31, 2013 but applies to 100% of the selling price thereafter. 27 If, at any time, however, the tax under this Act on sales of 28 E85 blend fuel, as defined in the Use Tax Act, is imposed at 29 the rate of 1.25%, then the tax imposed by this Act applies 30 to 100% of the proceeds of sales of E85 blend fuel made 31 during that time. 32 With respect to bio-diesel blend fuel, as defined in the 33 Use Tax Act, with no more than 10% fuel made from biomass 34 material, the tax imposed by this Act applies to (i) 75% of SB46 Engrossed -10- LRB093 02617 SJM 02627 b 1 the selling price of property transferred as an incident to 2 the sale of service on or after July 1, 2003 and through 3 December 31, 2007, (ii) 80% of the proceeds of the selling 4 price of property transferred as an incident to the sale of 5 service on or after January 1, 2008 and through December 31, 6 2013, and (iii) 100% of the proceeds of the selling price 7 thereafter. If, at any time, however, the tax under this Act 8 on sales of bio-diesel blend fuel, as defined in the Use Tax 9 Act, with no more than 10% fuel made from biomass material is 10 imposed at the rate of 1.25%, then the tax imposed by this 11 Act applies to 100% of the proceeds of sales of bio-diesel 12 blend fuel with no more than 10% fuel made from biomass 13 material made during that time. 14 With respect to bio-diesel blend fuel, as defined in the 15 Use Tax Act, with more than 10% fuel made from biomass 16 material, the tax imposed by this Act does not apply to the 17 proceeds of the selling price of property transferred as an 18 incident to the sale of service on or after July 1, 2003 and 19 through December 31, 2013 but applies to 100% of the selling 20 price thereafter. If, at any time, however, the tax under 21 this Act on sales of bio-diesel blend fuel, as defined in the 22 Use Tax Act, with more than 10% fuel made from biomass 23 material is imposed at the rate of 1.25%, then the tax 24 imposed by this Act applies to 100% of the proceeds of sales 25 of bio-diesel blend fuel with more than 10% fuel made from 26 biomass material made during that time. 27 At the election of any registered serviceman made for 28 each fiscal year, sales of service in which the aggregate 29 annual cost price of tangible personal property transferred 30 as an incident to the sales of service is less than 35%, or 31 75% in the case of servicemen transferring prescription drugs 32 or servicemen engaged in graphic arts production, of the 33 aggregate annual total gross receipts from all sales of 34 service, the tax imposed by this Act shall be based on the SB46 Engrossed -11- LRB093 02617 SJM 02627 b 1 serviceman's cost price of the tangible personal property 2 transferred incident to the sale of those services. 3 The tax shall be imposed at the rate of 1% on food 4 prepared for immediate consumption and transferred incident 5 to a sale of service subject to this Act or the Service 6 Occupation Tax Act by an entity licensed under the Hospital 7 Licensing Act, the Nursing Home Care Act, or the Child Care 8 Act of 1969. The tax shall also be imposed at the rate of 1% 9 on food for human consumption that is to be consumed off the 10 premises where it is sold (other than alcoholic beverages, 11 soft drinks, and food that has been prepared for immediate 12 consumption and is not otherwise included in this paragraph) 13 and prescription and nonprescription medicines, drugs, 14 medical appliances, modifications to a motor vehicle for the 15 purpose of rendering it usable by a disabled person, and 16 insulin, urine testing materials, syringes, and needles used 17 by diabetics, for human use. For the purposes of this 18 Section, the term "soft drinks" means any complete, finished, 19 ready-to-use, non-alcoholic drink, whether carbonated or not, 20 including but not limited to soda water, cola, fruit juice, 21 vegetable juice, carbonated water, and all other preparations 22 commonly known as soft drinks of whatever kind or description 23 that are contained in any closed or sealed can, carton, or 24 container, regardless of size. "Soft drinks" does not 25 include coffee, tea, non-carbonated water, infant formula, 26 milk or milk products as defined in the Grade A Pasteurized 27 Milk and Milk Products Act, or drinks containing 50% or more 28 natural fruit or vegetable juice. 29 Notwithstanding any other provisions of this Act, "food 30 for human consumption that is to be consumed off the premises 31 where it is sold" includes all food sold through a vending 32 machine, except soft drinks and food products that are 33 dispensed hot from a vending machine, regardless of the 34 location of the vending machine. SB46 Engrossed -12- LRB093 02617 SJM 02627 b 1 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98; 2 91-51, 6-30-99; 91-541, eff. 8-13-99; 91-872, eff. 7-1-00.) 3 Section 20. The Retailers' Occupation Tax Act is amended 4 by changing Section 2-10 as follows: 5 (35 ILCS 120/2-10) (from Ch. 120, par. 441-10) 6 Sec. 2-10. Rate of tax. Unless otherwise provided in 7 this Section, the tax imposed by this Act is at the rate of 8 6.25% of gross receipts from sales of tangible personal 9 property made in the course of business. 10 Beginning on July 1, 2000 and through December 31, 2000, 11 with respect to motor fuel, as defined in Section 1.1 of the 12 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 13 of the Use Tax Act, the tax is imposed at the rate of 1.25%. 14 Within 14 days after the effective date of this 15 amendatory Act of the 91st General Assembly, each retailer of 16 motor fuel and gasohol shall cause the following notice to be 17 posted in a prominently visible place on each retail 18 dispensing device that is used to dispense motor fuel or 19 gasohol in the State of Illinois: "As of July 1, 2000, the 20 State of Illinois has eliminated the State's share of sales 21 tax on motor fuel and gasohol through December 31, 2000. The 22 price on this pump should reflect the elimination of the 23 tax." The notice shall be printed in bold print on a sign 24 that is no smaller than 4 inches by 8 inches. The sign shall 25 be clearly visible to customers. Any retailer who fails to 26 post or maintain a required sign through December 31, 2000 is 27 guilty of a petty offense for which the fine shall be $500 28 per day per each retail premises where a violation occurs. 29 With respect to gasohol, as defined in the Use Tax Act, 30 the tax imposed by this Act applies to (i) 70% of the 31 proceeds of sales made on or after January 1, 1990, and 32 before July 1, 2003, (ii) 75% of the proceeds of sales made SB46 Engrossed -13- LRB093 02617 SJM 02627 b 1 on or after July 1, 2003 and through December 31, 2007, (iii) 2 80% of the proceeds of sales made on or after January 1, 2008 3 and through December 31, 2013, and (iv)to100% of the 4 proceeds of sales made thereafter. If, at any time, however, 5 the tax under this Act on sales of gasohol, as defined in the 6 Use Tax Act, is imposed at the rate of 1.25%, then the tax 7 imposed by this Act applies to 100% of the proceeds of sales 8 of gasohol made during that time. 9 With respect to E85 blend fuel, as defined in the Use Tax 10 Act, the tax imposed by this Act does not apply to the 11 proceeds of sales made on or after July 1, 2003 and through 12 December 31, 2013 but applies to 100% of the proceeds of 13 sales made thereafter. If, at any time, however, the tax 14 under this Act on sales of E85 blend fuel, as defined in the 15 Use Tax Act, is imposed at the rate of 1.25%, then the tax 16 imposed by this Act applies to 100% of the proceeds of sales 17 of E85 blend fuel made during that time. 18 With respect to bio-diesel blend fuel, as defined in the 19 Use Tax Act, with no more than 10% fuel made from biomass 20 material, the tax imposed by this Act applies to (i) 75% of 21 the proceeds of sales made on or after July 1, 2003 and 22 through December 31, 2007, (ii) 80% of the proceeds of sales 23 made on or after January 1, 2008 and through December 31, 24 2013, and (iii) 100% of the proceeds of sales made 25 thereafter. If, at any time, however, the tax under this Act 26 on sales of bio-diesel blend fuel, as defined in the Use Tax 27 Act, with no more than 10% fuel made from biomass material is 28 imposed at the rate of 1.25%, then the tax imposed by this 29 Act applies to 100% of the proceeds of sales of bio-diesel 30 blend fuel with no more than 10% fuel made from biomass 31 material made during that time. 32 With respect to bio-diesel blend fuel, as defined in the 33 Use Tax Act, with more than 10% fuel made from biomass 34 material, the tax imposed by this Act does not apply to the SB46 Engrossed -14- LRB093 02617 SJM 02627 b 1 proceeds of sales made on or after July 1, 2003 and through 2 December 31, 2013 but applies to 100% of the proceeds of 3 sales made thereafter. If, at any time, however, the tax 4 under this Act on sales of bio-diesel blend fuel, as defined 5 in the Use Tax Act, with more than 10% fuel made from biomass 6 material is imposed at the rate of 1.25%, then the tax 7 imposed by this Act applies to 100% of the proceeds of sales 8 of bio-diesel blend fuel with more than 10% fuel made from 9 biomass material made during that time. 10 With respect to food for human consumption that is to be 11 consumed off the premises where it is sold (other than 12 alcoholic beverages, soft drinks, and food that has been 13 prepared for immediate consumption) and prescription and 14 nonprescription medicines, drugs, medical appliances, 15 modifications to a motor vehicle for the purpose of rendering 16 it usable by a disabled person, and insulin, urine testing 17 materials, syringes, and needles used by diabetics, for human 18 use, the tax is imposed at the rate of 1%. For the purposes 19 of this Section, the term "soft drinks" means any complete, 20 finished, ready-to-use, non-alcoholic drink, whether 21 carbonated or not, including but not limited to soda water, 22 cola, fruit juice, vegetable juice, carbonated water, and all 23 other preparations commonly known as soft drinks of whatever 24 kind or description that are contained in any closed or 25 sealed bottle, can, carton, or container, regardless of size. 26 "Soft drinks" does not include coffee, tea, non-carbonated 27 water, infant formula, milk or milk products as defined in 28 the Grade A Pasteurized Milk and Milk Products Act, or drinks 29 containing 50% or more natural fruit or vegetable juice. 30 Notwithstanding any other provisions of this Act, "food 31 for human consumption that is to be consumed off the premises 32 where it is sold" includes all food sold through a vending 33 machine, except soft drinks and food products that are 34 dispensed hot from a vending machine, regardless of the SB46 Engrossed -15- LRB093 02617 SJM 02627 b 1 location of the vending machine. 2 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98; 3 91-51, eff. 6-30-99; 91-872, eff. 7-1-00.) 4 Section 99. Effective date. This Act takes effect upon 5 becoming law.