|
|||||||||||||||||||||||||||
|
|||||||||||||||||||||||||||
| |||||||||||||||||||||||||||
| |||||||||||||||||||||||||||
| |||||||||||||||||||||||||||
1 | AN ACT concerning revenue.
| ||||||||||||||||||||||||||
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 adding Section 3b | ||||||||||||||||||||||||||
5 | as follows:
| ||||||||||||||||||||||||||
6 | (35 ILCS 105/3b new) | ||||||||||||||||||||||||||
7 | Sec. 3b. Back-To-School Tax Holiday. | ||||||||||||||||||||||||||
8 | (a) No tax is imposed under this Act upon the privilege of | ||||||||||||||||||||||||||
9 | using, in this State, qualified school supplies that are | ||||||||||||||||||||||||||
10 | purchased at retail from a retailer if the qualified school | ||||||||||||||||||||||||||
11 | supplies are purchased during the holiday period. | ||||||||||||||||||||||||||
12 | (b) For the purpose of this Section: | ||||||||||||||||||||||||||
13 | "Holiday period" means the period from 12:01 a.m. on the | ||||||||||||||||||||||||||
14 | first Thursday in August through
midnight of the Sunday that | ||||||||||||||||||||||||||
15 | follows 10 days later. | ||||||||||||||||||||||||||
16 | "Qualified school supplies" means those items defined as | ||||||||||||||||||||||||||
17 | qualified school supplies by the Department of Revenue by rule. | ||||||||||||||||||||||||||
18 | (c) For purpose of this Section, a "purchase" occurs
during | ||||||||||||||||||||||||||
19 | the tax holiday if the buyer places an order and pays
the | ||||||||||||||||||||||||||
20 | purchase price by cash or credit during the tax holiday
period | ||||||||||||||||||||||||||
21 | regardless of whether the delivery of the item occurs
after the | ||||||||||||||||||||||||||
22 | tax holiday period. | ||||||||||||||||||||||||||
23 | A qualified school supply that is placed in a layaway or |
| |||||||
| |||||||
1 | similar deferred plan during the holiday period is not eligible | ||||||
2 | for the exemption unless the item is delivered to the purchaser | ||||||
3 | during the period. An item that was placed in a layaway or | ||||||
4 | similar deferred plan before the holiday period and is then | ||||||
5 | delivered to the purchaser during the holiday period is | ||||||
6 | eligible for the exemption. | ||||||
7 | (d) Qualified merchandise that customers purchase during | ||||||
8 | the holiday period with the use of a rain check qualify for the | ||||||
9 | holiday regardless of when the rain check was issued. The | ||||||
10 | issuance of a rain check, however, during the holiday period | ||||||
11 | does not qualify merchandise for the exemption if the | ||||||
12 | merchandise is actually purchased after the holiday period. | ||||||
13 | (e) If a customer purchases an item of qualified | ||||||
14 | merchandise during the holiday period but later exchanges the | ||||||
15 | item for a substantially similar item of a different size, | ||||||
16 | different color, or other feature, then no additional tax is | ||||||
17 | due even if the exchange is made after the holiday period. | ||||||
18 | If a customer purchases an item of qualified merchandise | ||||||
19 | during the holiday period, but after the holiday period has | ||||||
20 | ended, the customer returns the item and receives credit on the | ||||||
21 | purchase of a different item, then the newly purchased item is | ||||||
22 | subject to the full tax rate. | ||||||
23 | If a customer purchases an item of qualified merchandise | ||||||
24 | before the holiday period, but during the holiday period, the | ||||||
25 | customer returns the item and receives credit on the purchase | ||||||
26 | of a different item of qualified merchandise, then the newly |
| |||||||
| |||||||
1 | purchased item is subject to the exemption.
| ||||||
2 | (f) Each unit of local government that imposes a use tax
| ||||||
3 | may, by resolution or ordinance, declare a tax holiday with
| ||||||
4 | respect to its use tax for the same items, during the same
| ||||||
5 | periods, and under the same conditions and is encouraged to do
| ||||||
6 | so. | ||||||
7 | Section 10. The Retailers' Occupation Tax Act is amended by | ||||||
8 | adding Section 2-75 as follows: | ||||||
9 | (35 ILCS 120/2-75 new) | ||||||
10 | Sec. 2-75. Back-To-School Tax Holiday. | ||||||
11 | (a) No tax is imposed under this Act upon persons engaged | ||||||
12 | in the business of selling, at retail, qualified school | ||||||
13 | supplies that are purchased at retail from a retailer if the | ||||||
14 | qualified school supplies are purchased during the holiday | ||||||
15 | period. | ||||||
16 | (b) For the purpose of this Section: | ||||||
17 | "Holiday period" means the period from 12:01 a.m. on the | ||||||
18 | first Thursday in August through
midnight of the Sunday that | ||||||
19 | follows 10 days later. | ||||||
20 | "Qualified school supplies" means those items defined as | ||||||
21 | qualified school supplies by the Department of Revenue by rule. | ||||||
22 | (c) For purpose of this Section, a "purchase" occurs
during | ||||||
23 | the tax holiday if the buyer places an order and pays
the | ||||||
24 | purchase price by cash or credit during the tax holiday
period |
| |||||||
| |||||||
1 | regardless of whether the delivery of the item occurs
after the | ||||||
2 | tax holiday period. | ||||||
3 | A qualified school supply that is placed in a layaway or | ||||||
4 | similar deferred plan during the holiday period is not eligible | ||||||
5 | for the exemption unless the item is delivered to the purchaser | ||||||
6 | during the period. An item that was placed in a layaway or | ||||||
7 | similar deferred plan before the holiday period and is then | ||||||
8 | delivered to the purchaser during the holiday period is | ||||||
9 | eligible for the exemption. | ||||||
10 | (d) Qualified merchandise that customers purchase during | ||||||
11 | the holiday period with the use of a rain check qualify for the | ||||||
12 | holiday regardless of when the rain check was issued. The | ||||||
13 | issuance of a rain check, however, during the holiday period | ||||||
14 | does not qualify merchandise for the exemption if the | ||||||
15 | merchandise is actually purchased after the holiday period. | ||||||
16 | (e) If a customer purchases an item of qualified | ||||||
17 | merchandise during the holiday period but later exchanges the | ||||||
18 | item for a substantially similar item of a different size, | ||||||
19 | different color, or other feature, then no additional tax is | ||||||
20 | due even if the exchange is made after the holiday period. | ||||||
21 | If a customer purchases an item of qualified merchandise | ||||||
22 | during the holiday period, but after the holiday period has | ||||||
23 | ended, the customer returns the item and receives credit on the | ||||||
24 | purchase of a different item, then the newly purchased item is | ||||||
25 | subject to the full tax rate. | ||||||
26 | If a customer purchases an item of qualified merchandise |
| |||||||
| |||||||
1 | before the holiday period, but during the holiday period, the | ||||||
2 | customer returns the item and receives credit on the purchase | ||||||
3 | of a different item of qualified merchandise, then the newly | ||||||
4 | purchased item is subject to the exemption.
| ||||||
5 | (f) Each unit of local government that imposes a use tax
| ||||||
6 | may, by resolution or ordinance, declare a tax holiday with
| ||||||
7 | respect to its use tax for the same items, during the same
| ||||||
8 | periods, and under the same conditions and is encouraged to do
| ||||||
9 | so.
| ||||||
10 | Section 99. Effective date. This Act takes effect upon | ||||||
11 | becoming law.
|