Sen. Terry Link
Filed: 4/9/2008
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1 | AMENDMENT TO SENATE BILL 801
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2 | AMENDMENT NO. ______. Amend Senate Bill 801 by replacing | ||||||
3 | everything after the enacting clause with the following:
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4 | "Section 5. The Cigarette Tax Act is amended by changing | ||||||
5 | Sections 1, 3, 3-10, 4, 11, 20, and 21 and by adding Sections | ||||||
6 | 3-15, 3-20, 4c, 4d, 4e, 4f, 4g, 6a, and 11a as follows:
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7 | (35 ILCS 130/1) (from Ch. 120, par. 453.1)
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8 | Sec. 1. For the purposes of this Act:
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9 | "Brand Style" means a variety of cigarettes distinguished | ||||||
10 | by the tobacco used, tar and nicotine content, flavoring used, | ||||||
11 | size of the cigarette, filtration on the cigarette or | ||||||
12 | packaging. "Cigarette", means any when used in this Act, shall | ||||||
13 | be construed to mean: Any
roll for smoking made wholly or in | ||||||
14 | part of tobacco irrespective of size
or shape and whether or | ||||||
15 | not such tobacco is flavored, adulterated or
mixed with any | ||||||
16 | other ingredient, and the wrapper or cover of which is
made of |
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1 | paper or any other substance or material except tobacco.
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2 | "Contraband cigarettes" means: | ||||||
3 | (a) cigarettes that do not bear a required tax stamp | ||||||
4 | under this Act; | ||||||
5 | (b) cigarettes for which any required federal taxes | ||||||
6 | have not been paid; | ||||||
7 | (c) cigarettes that bear a counterfeit tax stamp; | ||||||
8 | (d) cigarettes that are manufactured, fabricated, | ||||||
9 | assembled, processed, packaged, or labeled by any person | ||||||
10 | other than (i) the owner of the trademark rights in the | ||||||
11 | cigarette brand or (ii) a person that is directly or | ||||||
12 | indirectly authorized by such owner; or | ||||||
13 | (e) cigarettes imported into the United States, or | ||||||
14 | otherwise distributed, in violation of the federal | ||||||
15 | Imported Cigarette Compliance Act of 2000 (Title IV of | ||||||
16 | Public Law 106-476). | ||||||
17 | "Person" means any natural individual, firm, partnership, | ||||||
18 | association, joint
stock company, joint adventure, public or | ||||||
19 | private corporation, however formed,
limited liability | ||||||
20 | company, or a receiver, executor, administrator, trustee,
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21 | guardian or other representative appointed by order of any | ||||||
22 | court.
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23 | "Prior Continuous Compliance Taxpayer" means any person | ||||||
24 | who is licensed
under this Act and who, having been a licensee | ||||||
25 | for a continuous period of 5
years, is determined by the | ||||||
26 | Department not to have been either delinquent
or deficient in |
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1 | the payment of tax liability during that period or
otherwise in | ||||||
2 | violation of this Act. Also, any taxpayer who has, as
verified | ||||||
3 | by the Department, continuously complied with the condition of | ||||||
4 | his
bond or other security under provisions of this Act for a | ||||||
5 | period of 5
consecutive years shall be considered to be a | ||||||
6 | "Prior continuous compliance
taxpayer". In calculating the | ||||||
7 | consecutive period of time described herein
for qualification | ||||||
8 | as a "prior continuous compliance taxpayer", a
consecutive | ||||||
9 | period of time of qualifying compliance immediately prior to
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10 | the effective date of this amendatory Act of 1987 shall be | ||||||
11 | credited to any
licensee who became licensed on or before the | ||||||
12 | effective date of this
amendatory Act of 1987.
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13 | "Department" means the Department of Revenue.
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14 | "Sale" means any transfer, exchange or barter in any manner | ||||||
15 | or by any
means whatsoever for a consideration, and includes | ||||||
16 | and means all sales
made by any person.
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17 | "Original Package" means the individual packet, box or | ||||||
18 | other container
whatsoever used to contain and to convey | ||||||
19 | cigarettes to the consumer.
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20 | "Distributor" means any and each of the following:
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21 | (1) Any person engaged in the business of selling | ||||||
22 | cigarettes in this
State who brings or causes to be brought | ||||||
23 | into this State from without
this State any original packages | ||||||
24 | of cigarettes, on which original
packages there is no | ||||||
25 | authorized evidence underneath a sealed transparent
wrapper | ||||||
26 | showing that the tax liability imposed by this Act has been |
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1 | paid
or assumed by the out-of-State seller of such cigarettes, | ||||||
2 | for sale or
other disposition in the course of such business.
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3 | (2) Any person who makes, manufactures or fabricates | ||||||
4 | cigarettes in this
State for sale in this State, except a | ||||||
5 | person who makes, manufactures
or fabricates cigarettes as a | ||||||
6 | part of a correctional industries program
for sale to residents | ||||||
7 | incarcerated in penal institutions or resident patients
of a | ||||||
8 | State-operated mental health facility.
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9 | (3) Any person who makes, manufactures or fabricates | ||||||
10 | cigarettes
outside this State, which cigarettes are placed in | ||||||
11 | original packages
contained in sealed transparent wrappers, | ||||||
12 | for delivery or shipment into
this State, and who elects to | ||||||
13 | qualify and is accepted by the Department
as a distributor | ||||||
14 | under Section 4b of this Act.
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15 | "Place of business" shall mean and include any place where | ||||||
16 | cigarettes
are sold or where cigarettes are manufactured, | ||||||
17 | stored or kept for the
purpose of sale or consumption, | ||||||
18 | including any vessel, vehicle, airplane,
train or vending | ||||||
19 | machine.
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20 | "Business" means any trade, occupation, activity or | ||||||
21 | enterprise
engaged in for the purpose of selling cigarettes in | ||||||
22 | this State.
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23 | "Retailer" means any person who engages in the making of | ||||||
24 | transfers of
the ownership of, or title to, cigarettes to a | ||||||
25 | purchaser for use or
consumption and not for resale in any | ||||||
26 | form, for a valuable consideration. "Retailer" does not include |
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1 | a person:
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2 | (1) who transfers to residents incarcerated in penal | ||||||
3 | institutions
or resident patients of a State-operated | ||||||
4 | mental health facility ownership
of cigarettes made, | ||||||
5 | manufactured, or fabricated as part of a correctional
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6 | industries program; or | ||||||
7 | (2) who transfers cigarettes to a not-for-profit | ||||||
8 | research institution that conducts tests concerning the | ||||||
9 | health effects of tobacco products and who does not offer | ||||||
10 | the cigarettes for resale.
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11 | "Retailer" shall be construed to include any person who | ||||||
12 | engages in
the making of transfers of the ownership of, or | ||||||
13 | title to, cigarettes to
a purchaser, for use or consumption by | ||||||
14 | any other person to whom such
purchaser may transfer the | ||||||
15 | cigarettes without a valuable consideration,
except a person | ||||||
16 | who transfers to residents incarcerated in penal institutions
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17 | or resident patients of a State-operated mental health facility | ||||||
18 | ownership
of cigarettes made, manufactured or fabricated as | ||||||
19 | part of a correctional
industries program.
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20 | "Stamp" or "stamps" mean the indicia required to be placed | ||||||
21 | on a pack of cigarettes that evidence payment of the tax on | ||||||
22 | cigarettes under Section 2 of this Act (35 ILCS 130/2), or the | ||||||
23 | indicia used to indicate that the cigarettes are intended for a | ||||||
24 | sale or distribution within this State that is exempt from | ||||||
25 | State tax under any applicable provision of law. | ||||||
26 | "Within this State" means within the exterior limits of the |
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1 | State of Illinois and includes all territory within these | ||||||
2 | limits owned by or ceded to the United States of America. | ||||||
3 | "Related party" means any person that is associated with | ||||||
4 | any other person because he or she: | ||||||
5 | (a) is an officer or director of a business; | ||||||
6 | (b) is legally recognized as a partner in business; or | ||||||
7 | (c) is directly or indirectly controlled by another. | ||||||
8 | (Source: P.A. 95-462, eff. 8-27-07.)
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9 | (35 ILCS 130/3) (from Ch. 120, par. 453.3)
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10 | Sec. 3. Affixing tax stamp; remitting tax to the | ||||||
11 | Department. Payment of
the taxes imposed by Section 2 of this | ||||||
12 | Act shall
(except as hereinafter provided) be evidenced by | ||||||
13 | revenue tax stamps affixed
to each original package of | ||||||
14 | cigarettes. Each distributor of cigarettes,
before delivering | ||||||
15 | or causing to be delivered any original package of
cigarettes | ||||||
16 | in this State to a purchaser, shall firmly affix a proper stamp
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17 | or stamps to each such package, or (in case of manufacturers of | ||||||
18 | cigarettes
in original packages which are contained inside a | ||||||
19 | sealed transparent
wrapper) shall imprint the required | ||||||
20 | language on the original package of
cigarettes beneath such | ||||||
21 | outside wrapper, as hereinafter provided. Any stamp required by | ||||||
22 | this Act shall note whether the State tax under Section 2 of | ||||||
23 | this Act (35 ILCS 130/2) was paid or whether the pack of | ||||||
24 | cigarettes was not subject to such tax.
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25 | No stamp or imprint may be affixed to, or made upon, any |
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1 | package of
cigarettes unless that package complies with all | ||||||
2 | requirements of the federal
Cigarette Labeling and Advertising | ||||||
3 | Act, 15 U.S.C. 1331 and following, for the
placement of labels, | ||||||
4 | warnings, or any other information upon a package of
cigarettes | ||||||
5 | that is sold within the United States. Under the authority of
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6 | Section 6, the Department shall revoke the license of any | ||||||
7 | distributor that is
determined to have violated this paragraph.
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8 | A person may not affix a stamp on a package of cigarettes, | ||||||
9 | cigarette papers,
wrappers, or tubes if that individual package | ||||||
10 | has been marked for export
outside the United States with a | ||||||
11 | label or notice in compliance with Section
290.185 of Title 27 | ||||||
12 | of the Code of Federal Regulations. It is not a defense to
a | ||||||
13 | proceeding for violation of this paragraph that the label or | ||||||
14 | notice has been
removed, mutilated, obliterated, or altered in | ||||||
15 | any manner.
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16 | Only distributors licensed under this Act or out-of-state | ||||||
17 | manufacturers holding a permit under this Act may receive | ||||||
18 | unstamped packs of cigarettes. Prior to shipment to another | ||||||
19 | person, each licensed distributor or out-of-state manufacturer | ||||||
20 | holding a permit shall apply a stamp to each pack of cigarettes | ||||||
21 | imported, distributed, or sold whether or not such cigarettes | ||||||
22 | are subject to State tax under Section 2 of this Act (35 ILCS | ||||||
23 | 130/2) or any other provision of State law, provided that a | ||||||
24 | distributor or out-of-state manufacturer may only apply a tax | ||||||
25 | stamp to a pack of cigarettes purchased or obtained directly | ||||||
26 | from a licensed distributor or an out-of-state manufacturing |
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1 | holding a permit. Only a licensed distributor or an | ||||||
2 | out-of-state manufacturer holding a permit may ship or | ||||||
3 | otherwise cause to be delivered unstamped packs of cigarettes | ||||||
4 | in, into, or from this State, provided that a licensed | ||||||
5 | distributor or an out-of-state manufacturer holding a permit | ||||||
6 | may transport unstamped packs of cigarettes to a facility, | ||||||
7 | wherever located, owned by such distributor or manufacturer. | ||||||
8 | Any person that ships or otherwise causes to be delivered | ||||||
9 | unstamped packs of cigarettes into, within, or from this State | ||||||
10 | shall ensure that the invoice or equivalent documentation and | ||||||
11 | the bill of lading or freight bill for the shipment identifies | ||||||
12 | the true name and address of the cosignor or seller, the true | ||||||
13 | name and address of the cosignee or purchaser, and the quantity | ||||||
14 | by brand style of the cigarettes so transported, provided that | ||||||
15 | this Section shall not be construed as to impose any | ||||||
16 | requirement or liability upon any common or contract carrier. | ||||||
17 | The Department, or any person authorized by the Department, | ||||||
18 | shall
sell such stamps only to persons holding valid
licenses | ||||||
19 | as distributors under this Act. On and after July 1, 2003, | ||||||
20 | payment
for such stamps must be made by means of
electronic | ||||||
21 | funds transfer. The Department may refuse to sell stamps to any
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22 | person who does not comply
with the provisions of this Act.
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23 | Beginning on the effective date of this amendatory Act of the | ||||||
24 | 92nd General
Assembly and through June 30, 2002, persons | ||||||
25 | holding valid licenses as
distributors
may purchase cigarette | ||||||
26 | tax stamps up to an amount equal to 115% of the
distributor's |
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1 | average monthly cigarette tax stamp purchases over the 12
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2 | calendar
months prior to the effective date of this amendatory | ||||||
3 | Act of the 92nd General
Assembly.
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4 | Prior to December 1, 1985, the Department shall allow a | ||||||
5 | distributor
21 days in which to make final
payment of the | ||||||
6 | amount to be paid for such stamps, by allowing the
distributor | ||||||
7 | to make payment for the stamps at the time of purchasing them
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8 | with a draft which shall be in such form as the Department | ||||||
9 | prescribes, and
which shall be payable within 21 days | ||||||
10 | thereafter: Provided that such
distributor has filed with the | ||||||
11 | Department, and has received the
Department's approval of, a | ||||||
12 | bond, which is in addition to the bond required
under Section 4 | ||||||
13 | of this Act, payable to the Department in an amount equal
to | ||||||
14 | 80% of such distributor's average monthly tax liability to
the | ||||||
15 | Department under this Act during the preceding calendar year or | ||||||
16 | $500,000,
whichever is less. The Bond shall be joint and
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17 | several and shall be in the form of a surety company bond in | ||||||
18 | such form as
the Department prescribes, or it may be in the | ||||||
19 | form of a bank certificate
of deposit or bank letter of credit. | ||||||
20 | The bond shall be conditioned upon the
distributor's payment of | ||||||
21 | amount of any 21-day draft which the Department
accepts from | ||||||
22 | that distributor for the delivery of stamps to that
distributor | ||||||
23 | under this Act. The distributor's failure to pay any such
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24 | draft, when due, shall also make such distributor automatically | ||||||
25 | liable to
the Department for a penalty equal to 25% of the | ||||||
26 | amount of such draft.
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1 | On and after December 1, 1985 and until July 1, 2003, the | ||||||
2 | Department
shall allow a distributor
30 days in which to make
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3 | final payment of the amount to be paid for such stamps, by | ||||||
4 | allowing the
distributor to make payment for the stamps at the | ||||||
5 | time of purchasing them
with a draft which shall be in such | ||||||
6 | form as the Department prescribes, and
which shall be payable | ||||||
7 | within 30 days thereafter, and beginning on January 1,
2003 and | ||||||
8 | thereafter, the draft shall be payable by means of electronic | ||||||
9 | funds
transfer: Provided that such
distributor has filed with | ||||||
10 | the Department, and has received the
Department's approval of, | ||||||
11 | a bond, which is in addition to the bond required
under Section | ||||||
12 | 4 of this Act, payable to the Department in an amount equal
to | ||||||
13 | 150% of such distributor's average monthly tax liability to the
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14 | Department under this Act during the preceding calendar year or | ||||||
15 | $750,000,
whichever is less, except that as to bonds filed on | ||||||
16 | or after January 1,
1987, such additional bond shall be in an | ||||||
17 | amount equal to 100% of such
distributor's average monthly tax | ||||||
18 | liability under this Act during the
preceding calendar year or | ||||||
19 | $750,000, whichever is less. The bond shall be
joint and | ||||||
20 | several and shall be in the form of a surety company bond in | ||||||
21 | such
form as the Department prescribes, or it may be in the | ||||||
22 | form of a bank
certificate of deposit or bank letter of credit.
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23 | The bond shall be conditioned upon the distributor's payment of | ||||||
24 | the amount
of any 30-day draft which the Department accepts | ||||||
25 | from that distributor for
the delivery of stamps to that | ||||||
26 | distributor under this Act. The
distributor's failure to pay |
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1 | any such draft, when due, shall also make such
distributor | ||||||
2 | automatically liable to the Department for a penalty equal to
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3 | 25% of the amount of such draft.
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4 | Every prior continuous compliance taxpayer shall be exempt | ||||||
5 | from all
requirements under this Section concerning the | ||||||
6 | furnishing of such bond, as
defined in this Section, as a | ||||||
7 | condition precedent to his being authorized
to engage in the | ||||||
8 | business licensed under this Act. This exemption shall
continue | ||||||
9 | for each such taxpayer until such time as he may be determined | ||||||
10 | by
the Department to be delinquent in the filing of any | ||||||
11 | returns, or is
determined by the Department (either through the | ||||||
12 | Department's issuance of a
final assessment which has become | ||||||
13 | final under the Act, or by the taxpayer's
filing of a return | ||||||
14 | which admits tax to be due that is not paid) to be
delinquent | ||||||
15 | or deficient in the paying of any tax under this Act, at which
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16 | time that taxpayer shall become subject to the bond | ||||||
17 | requirements of this
Section and, as a condition of being | ||||||
18 | allowed to continue to engage in the
business licensed under | ||||||
19 | this Act, shall be required to furnish bond to the
Department | ||||||
20 | in such form as provided in this Section. Such taxpayer shall
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21 | furnish such bond for a period of 2 years, after which, if the | ||||||
22 | taxpayer has
not been delinquent in the filing of any returns, | ||||||
23 | or delinquent or
deficient in the paying of any tax under this | ||||||
24 | Act, the Department may
reinstate such person as a prior | ||||||
25 | continuance compliance taxpayer. Any
taxpayer who fails to pay | ||||||
26 | an admitted or established liability under this
Act may also be |
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1 | required to post bond or other acceptable security with the
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2 | Department guaranteeing the payment of such admitted or | ||||||
3 | established liability.
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4 | Any person aggrieved by any decision of the Department | ||||||
5 | under this
Section may, within the time allowed by law, protest | ||||||
6 | and request a hearing,
whereupon the Department shall give | ||||||
7 | notice and shall hold a hearing in
conformity with the | ||||||
8 | provisions of this Act and then issue its final
administrative | ||||||
9 | decision in the matter to such person. In the absence of
such a | ||||||
10 | protest filed within the time allowed by law, the Department's
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11 | decision shall become final without any further determination | ||||||
12 | being made or
notice given.
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13 | The Department shall discharge any surety and shall release | ||||||
14 | and return
any bond or security deposited, assigned, pledged, | ||||||
15 | or otherwise provided to
it by a taxpayer under this Section | ||||||
16 | within 30 days after:
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17 | (1) Such taxpayer becomes a prior continuous compliance | ||||||
18 | taxpayer; or
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19 | (2) Such taxpayer has ceased to collect receipts on which | ||||||
20 | he is
required to remit tax to the Department, has filed a | ||||||
21 | final tax return, and
has paid to the Department an amount | ||||||
22 | sufficient to discharge his remaining
tax liability as | ||||||
23 | determined by the Department under this Act. The
Department | ||||||
24 | shall make a final determination of the taxpayer's outstanding
| ||||||
25 | tax liability as expeditiously as possible after his final tax | ||||||
26 | return has
been filed. If the Department cannot make such final |
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1 | determination within
45 days after receiving the final tax | ||||||
2 | return, within such period it shall
so notify the taxpayer, | ||||||
3 | stating its reasons therefor.
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4 | The Department may authorize distributors to affix revenue | ||||||
5 | tax stamps by
imprinting tax meter stamps upon original | ||||||
6 | packages of cigarettes. The
Department shall adopt rules and | ||||||
7 | regulations relating to the imprinting of
such tax meter stamps | ||||||
8 | as will result in payment of the proper taxes as
herein | ||||||
9 | imposed. No distributor may affix revenue tax stamps to | ||||||
10 | original
packages of cigarettes by imprinting tax meter stamps | ||||||
11 | thereon unless such
distributor has first obtained permission | ||||||
12 | from the Department to employ
this method of affixation. The | ||||||
13 | Department shall regulate the use of tax
meters and may, to | ||||||
14 | assure the proper collection of the taxes imposed by
this Act, | ||||||
15 | revoke or suspend the privilege, theretofore granted by the
| ||||||
16 | Department to any distributor, to imprint tax meter stamps upon | ||||||
17 | original
packages of cigarettes.
| ||||||
18 | Illinois cigarette manufacturers who place their | ||||||
19 | cigarettes in original
packages which are contained inside a | ||||||
20 | sealed transparent wrapper, and
similar out-of-State cigarette | ||||||
21 | manufacturers who elect to qualify and are
accepted by the | ||||||
22 | Department as distributors under Section 4b of this Act,
shall | ||||||
23 | pay the taxes imposed by this Act by remitting the amount | ||||||
24 | thereof to
the Department by the 5th day of each month covering | ||||||
25 | cigarettes shipped or
otherwise delivered in Illinois to | ||||||
26 | purchasers during the preceding calendar
month. Such |
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1 | manufacturers of cigarettes in original packages which are
| ||||||
2 | contained inside a sealed transparent wrapper, before | ||||||
3 | delivering such
cigarettes or causing such cigarettes to be | ||||||
4 | delivered in this State to
purchasers, shall evidence their | ||||||
5 | obligation to remit the taxes due with
respect to such | ||||||
6 | cigarettes by imprinting language to be prescribed by the
| ||||||
7 | Department on each original package of such cigarettes | ||||||
8 | underneath the
sealed transparent outside wrapper of such | ||||||
9 | original package, in such place
thereon and in such manner as | ||||||
10 | the Department may designate. Such imprinted
language shall | ||||||
11 | acknowledge the manufacturer's payment of or liability for
the | ||||||
12 | tax imposed by this Act with respect to the distribution of | ||||||
13 | such
cigarettes.
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14 | A distributor shall not affix, or cause to be affixed, any | ||||||
15 | stamp or imprint
to a package of cigarettes, as provided for in | ||||||
16 | this Section, if the tobacco
product
manufacturer, as defined | ||||||
17 | in Section 10 of the Tobacco Product Manufacturers'
Escrow
Act, | ||||||
18 | that made or sold the cigarettes has failed to become a | ||||||
19 | participating
manufacturer, as defined in subdivision (a)(1) | ||||||
20 | of Section 15 of the Tobacco
Product
Manufacturers' Escrow Act, | ||||||
21 | or has failed to create a qualified escrow fund for
any | ||||||
22 | cigarettes manufactured by the tobacco product manufacturer | ||||||
23 | and sold in
this State or otherwise failed to bring itself into | ||||||
24 | compliance with subdivision
(a)(2) of Section 15 of the Tobacco | ||||||
25 | Product
Manufacturers' Escrow Act.
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26 | (Source: P.A. 92-322, eff. 1-1-02; 92-536, eff. 6-6-02;
92-737, |
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1 | eff. 7-25-02; 93-22, eff. 6-20-03.)
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2 | (35 ILCS 130/3-10)
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3 | Sec. 3-10. Cigarette enforcement.
| ||||||
4 | (a) Prohibitions. It is unlawful for any person:
| ||||||
5 | (1) to sell or distribute in this State; to acquire, | ||||||
6 | hold, own, possess,
or
transport, for sale or distribution | ||||||
7 | in this State; or to import, or cause to be
imported into | ||||||
8 | this State for sale or distribution in this State:
| ||||||
9 | (A) any cigarettes the package of which:
| ||||||
10 | (i) bears any statement, label, stamp, | ||||||
11 | sticker, or notice
indicating that the | ||||||
12 | manufacturer did not intend the cigarettes to be
| ||||||
13 | sold, distributed, or used in the United States, | ||||||
14 | including but not
limited to labels stating "For | ||||||
15 | Export Only", "U.S. Tax Exempt",
"For Use Outside | ||||||
16 | U.S.", or similar wording; or
| ||||||
17 | (ii) does not comply with:
| ||||||
18 | (aa) all requirements imposed by or | ||||||
19 | pursuant to
federal law regarding warnings and | ||||||
20 | other information on
packages of cigarettes | ||||||
21 | manufactured, packaged, or imported
for sale, | ||||||
22 | distribution, or use in the United States, | ||||||
23 | including
but not limited to the precise | ||||||
24 | warning labels specified in the
federal | ||||||
25 | Cigarette Labeling and Advertising Act, 15 |
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| |||||||
1 | U.S.C.
1333; and
| ||||||
2 | (bb) all federal trademark and copyright | ||||||
3 | laws;
| ||||||
4 | (B) any cigarettes imported into the United States | ||||||
5 | in violation of
26 U.S.C. 5754 or any other federal | ||||||
6 | law, or implementing federal
regulations;
| ||||||
7 | (C) any cigarettes that such person otherwise | ||||||
8 | knows or has reason
to know the manufacturer did not | ||||||
9 | intend to be sold, distributed, or used in
the United | ||||||
10 | States; or
| ||||||
11 | (D) any cigarettes for which there has not been | ||||||
12 | submitted to the
Secretary of the U.S. Department of | ||||||
13 | Health and Human Services the list or
lists of the | ||||||
14 | ingredients added to tobacco in the manufacture of the
| ||||||
15 | cigarettes required by the federal Cigarette Labeling | ||||||
16 | and Advertising Act,
15 U.S.C. 1335a;
| ||||||
17 | (2) to alter the package of any cigarettes, prior to | ||||||
18 | sale or distribution
to
the
ultimate consumer, so as to | ||||||
19 | remove, conceal, or obscure:
| ||||||
20 | (A) any statement, label, stamp, sticker, or | ||||||
21 | notice described in
subdivision (a)(1)(A)(i) of this | ||||||
22 | Section;
| ||||||
23 | (B) any health warning that is not specified in, or | ||||||
24 | does not conform
with the requirements of, the federal | ||||||
25 | Cigarette Labeling and Advertising
Act, 15 U.S.C. | ||||||
26 | 1333; or
|
| |||||||
| |||||||
1 | (3) to affix any stamp required pursuant to this Act to | ||||||
2 | the package of any
cigarettes described in subdivision | ||||||
3 | (a)(1) of this Section or altered in
violation of
| ||||||
4 | subdivision (a)(2) ; or . | ||||||
5 | (4) to knowingly possess, or possess for sale, | ||||||
6 | contraband cigarettes.
| ||||||
7 | (b) Documentation. On the first business day of each month, | ||||||
8 | each person
licensed
to affix the State tax stamp to cigarettes | ||||||
9 | shall file with the Department, for
all cigarettes
imported | ||||||
10 | into the United States to which the person has affixed the tax | ||||||
11 | stamp
in the
preceding month:
| ||||||
12 | (1) a copy of:
| ||||||
13 | (A) the permit issued pursuant to the Internal | ||||||
14 | Revenue Code, 26
U.S.C. 5713, to the person importing | ||||||
15 | the cigarettes into the United States
allowing the | ||||||
16 | person to import the cigarettes; and
| ||||||
17 | (B) the customs form containing, with respect to | ||||||
18 | the cigarettes, the
internal revenue tax information | ||||||
19 | required by the U.S. Bureau of Alcohol,
Tobacco and | ||||||
20 | Firearms;
| ||||||
21 | (2) a statement, signed by the person under penalty of | ||||||
22 | perjury, which shall
be treated as confidential by the | ||||||
23 | Department and exempt from disclosure under
the Freedom of | ||||||
24 | Information Act, identifying the brand and brand styles of | ||||||
25 | all such
cigarettes, the quantity of each brand style of | ||||||
26 | such cigarettes, the supplier of such
cigarettes, and the |
| |||||||
| |||||||
1 | person or persons, if any, to whom such cigarettes have | ||||||
2 | been
conveyed for resale; and a separate statement, signed | ||||||
3 | by the individual under
penalty of perjury, which shall not | ||||||
4 | be treated as confidential or exempt from
disclosure, | ||||||
5 | separately identifying the brands and brand styles of such
| ||||||
6 | cigarettes;
and
| ||||||
7 | (3) a statement, signed by an officer of the | ||||||
8 | manufacturer or importer
under penalty of perjury, | ||||||
9 | certifying that the manufacturer or importer has
complied | ||||||
10 | with:
| ||||||
11 | (A) the package health warning and ingredient | ||||||
12 | reporting
requirements of the federal Cigarette | ||||||
13 | Labeling and Advertising Act, 15
U.S.C. 1333 and 1335a, | ||||||
14 | with respect to such cigarettes; and
| ||||||
15 | (B) the provisions of Exhibit T of the Master | ||||||
16 | Settlement Agreement
entered in
the case of People of | ||||||
17 | the State of Illinois v. Philip Morris, et al. (Circuit
| ||||||
18 | Court of Cook County, No. 96-L13146), including a | ||||||
19 | statement
indicating whether the manufacturer is, or | ||||||
20 | is not, a participating tobacco
manufacturer within | ||||||
21 | the meaning of Exhibit T.
| ||||||
22 | (c) Administrative sanctions.
| ||||||
23 | (1) Upon finding that a distributor has committed any | ||||||
24 | of the acts
prohibited by
subsection
(a), knowing or having | ||||||
25 | reason to know that he or she has done so, or has failed
to | ||||||
26 | comply
with any requirement of subsection (b), the |
| |||||||
| |||||||
1 | Department
may revoke or suspend the license or licenses of | ||||||
2 | any
distributor pursuant to the procedures set forth in | ||||||
3 | Section 6 and impose on the
distributor a civil penalty in | ||||||
4 | an amount not to exceed the greater of 500% of
the
retail | ||||||
5 | value of the cigarettes involved or $5,000.
| ||||||
6 | (2) Cigarettes that are acquired, held, owned, | ||||||
7 | possessed, transported in,
imported into, or sold or | ||||||
8 | distributed in this State in violation of this
Section | ||||||
9 | shall be deemed contraband under this Act and are subject | ||||||
10 | to seizure
and forfeiture as provided in this Act, and all | ||||||
11 | such cigarettes seized and
forfeited shall be destroyed. | ||||||
12 | Such cigarettes shall be deemed contraband
whether the | ||||||
13 | violation of this Section is knowing or otherwise.
| ||||||
14 | (d) Unfair trade practices. A violation of subsection (a) | ||||||
15 | or subsection
(b) of this Section shall constitute an unlawful | ||||||
16 | practice as provided in the
Consumer Fraud and Deceptive | ||||||
17 | Business Practices Act.
| ||||||
18 | (e) Unfair cigarette sales. For purposes of the Trademark | ||||||
19 | Registration and
Protection Act and the Counterfeit Trademark | ||||||
20 | Act, cigarettes imported or
reimported into the United States | ||||||
21 | for sale or distribution under any trade
name, trade dress, or | ||||||
22 | trademark that is the same as, or is confusingly similar
to, | ||||||
23 | any trade name, trade dress, or trademark used for cigarettes | ||||||
24 | manufactured
in the United States for sale or distribution in | ||||||
25 | the United States shall be
presumed to have been purchased | ||||||
26 | outside of the ordinary channels of trade.
|
| |||||||
| |||||||
1 | (f) General provisions.
| ||||||
2 | (1) This Section shall be enforced by the Department; | ||||||
3 | provided that, at
the request of the Director of Revenue or | ||||||
4 | the Director's duly authorized agent,
the State police and | ||||||
5 | all local police authorities shall enforce the provisions
| ||||||
6 | of this Section. The Attorney General has concurrent power | ||||||
7 | with the State's
Attorney of any county to enforce this | ||||||
8 | Section.
| ||||||
9 | (2) For the purpose of enforcing this Section, the | ||||||
10 | Director of Revenue and
any agency to which the Director | ||||||
11 | has delegated enforcement
responsibility pursuant to | ||||||
12 | subdivision (f)(1) may request information from any
State | ||||||
13 | or local agency and may share information with and request | ||||||
14 | information
from any federal agency and any agency of any | ||||||
15 | other state or any local agency
of any other state.
| ||||||
16 | (3) In addition to any other remedy provided by law, | ||||||
17 | including
enforcement as provided in subdivision (a)(1), | ||||||
18 | any person may bring an action
for appropriate injunctive | ||||||
19 | or other equitable relief for a violation of this
Section; | ||||||
20 | actual damages, if any, sustained by reason of the | ||||||
21 | violation; and, as
determined by the court, interest on the | ||||||
22 | damages from the date of the
complaint, taxable costs, and | ||||||
23 | reasonable attorney's fees. If the trier of fact
finds that | ||||||
24 | the violation is flagrant, it may increase recovery to an | ||||||
25 | amount not
in excess of 3 times the actual damages | ||||||
26 | sustained by reason of the violation.
|
| |||||||
| |||||||
1 | (g) Definitions. As used in this Section:
| ||||||
2 | "Importer" means that term as defined in 26 U.S.C. 5702(1).
| ||||||
3 | "Package" means that term as defined in 15 U.S.C. 1332(4).
| ||||||
4 | (h) Applicability.
| ||||||
5 | (1) This Section does not apply to:
| ||||||
6 | (A) cigarettes allowed to be imported or brought | ||||||
7 | into the United
States for personal use; and
| ||||||
8 | (B) cigarettes sold or intended to be sold as | ||||||
9 | duty-free merchandise
by a duty-free sales enterprise | ||||||
10 | in accordance with the provisions of 19
U.S.C. 1555(b) | ||||||
11 | and any implementing regulations; except that this | ||||||
12 | Section
shall apply to any such cigarettes that are | ||||||
13 | brought back into the customs
territory for resale | ||||||
14 | within the customs territory.
| ||||||
15 | (2) The penalties provided in this Section are in | ||||||
16 | addition to any other
penalties imposed under other | ||||||
17 | provision of law.
| ||||||
18 | (Source: P.A. 91-810, eff. 6-13-00.)
| ||||||
19 | (35 ILCS 130/3-15 new) | ||||||
20 | Sec. 3-15. Criminal and civil penalties. | ||||||
21 | (a) Civil penalties. | ||||||
22 | (1) Distributors and manufacturers. Except as | ||||||
23 | otherwise provided in this Section, a first violation of | ||||||
24 | any provision of this Act by a manufacturer or distributor | ||||||
25 | shall, in addition to any other penalty provided in this |
| |||||||
| |||||||
1 | Act, be punishable by a fine of $5,000 for each separate | ||||||
2 | violation, which shall be recovered, with costs of suit, in | ||||||
3 | a civil action. Any subsequent violation of any provision | ||||||
4 | of this Act by a manufacturer or distributor shall be | ||||||
5 | punishable by a fine of $10,000 for each separate | ||||||
6 | violation. In no case shall the fine imposed under this | ||||||
7 | paragraph exceed 10 times the retail value of the | ||||||
8 | cigarettes. | ||||||
9 | (2) Retailers. Except as otherwise provided in this | ||||||
10 | Section, a first violation of any provision of this Act by | ||||||
11 | a retailer shall, in addition to any other penalty provided | ||||||
12 | in this Act, be punishable by a fine of $1,000 for each | ||||||
13 | separate violation, which shall be recovered, with costs of | ||||||
14 | suit, in a civil action. Any subsequent violation of any | ||||||
15 | provision of this Act by a retailer shall be punishable by | ||||||
16 | a fine of $2,000 for each separate violation. In no case | ||||||
17 | shall the fine imposed under this paragraph exceed 10 times | ||||||
18 | the retail value of the cigarettes. | ||||||
19 | (3) Failure to pay tax. Any person that fails to pay | ||||||
20 | any tax imposed by this State at the time prescribed by law | ||||||
21 | or regulations shall, in addition to any other penalty | ||||||
22 | provided in this Act, be liable to a penalty of 3 times the | ||||||
23 | tax due but unpaid, to help defray the costs of detection | ||||||
24 | and investigation and any consequential damages. In no case | ||||||
25 | shall the fine imposed under this paragraph exceed 10 times | ||||||
26 | the retail value of the cigarettes. |
| |||||||
| |||||||
1 | (4) Civil forfeiture. | ||||||
2 | (A) All cigarettes which are held for sale or | ||||||
3 | distribution within this State in
violation of the | ||||||
4 | requirements of this Act shall be forfeited to this | ||||||
5 | State. All cigarettes forfeited to this State under | ||||||
6 | this Act shall be destroyed. The Department may, prior | ||||||
7 | to any destruction of cigarettes, permit the true | ||||||
8 | holder of the trademark rights in the cigarette brand | ||||||
9 | to inspect such contraband cigarettes, in order to | ||||||
10 | assist the Department in any investigation regarding | ||||||
11 | such cigarettes. | ||||||
12 | (B) Any person that, with intent to defraud the | ||||||
13 | State: | ||||||
14 | (i) fails to keep or make any record, return, | ||||||
15 | report, or inventory required
by this Act; | ||||||
16 | (ii) keeps or makes any false or fraudulent | ||||||
17 | record, return, report, or
inventory required by | ||||||
18 | this Act; | ||||||
19 | (iii) refuses to pay any tax imposed by this | ||||||
20 | Act; or | ||||||
21 | (iv) attempts in any manner to evade or defeat | ||||||
22 | the requirements of this Act
shall forfeit to the | ||||||
23 | State all fixtures, equipment, and other materials | ||||||
24 | with a substantial connection to such conduct. | ||||||
25 | (C) A distributor or retailer shall not be required | ||||||
26 | to forfeit fixtures, equipment,
and all other |
| |||||||
| |||||||
1 | materials and personal property on the premises if such | ||||||
2 | distributor or retailer: | ||||||
3 | (i) acted in good faith; | ||||||
4 | (ii) was not involved in or aware of the | ||||||
5 | unlawful activity prohibited by this
Act; and | ||||||
6 | (iii) did all that reasonably could be | ||||||
7 | expected under the circumstances to
prevent | ||||||
8 | violations of this Act. | ||||||
9 | (5) Notwithstanding any other provision of law, the | ||||||
10 | Department may use proceeds from civil penalties imposed | ||||||
11 | under this Section to offset necessary and reasonable | ||||||
12 | expenses incurred in the detection and investigation of the | ||||||
13 | failure of any person to pay any cigarette tax imposed by | ||||||
14 | this State. | ||||||
15 | (b) Criminal penalties. | ||||||
16 | (1) Fraudulent offenses. Whoever intentionally fails | ||||||
17 | to comply with any of the requirements of this Act or | ||||||
18 | regulations prescribed hereunder shall, in addition to any | ||||||
19 | other penalty provided in this Act, for each such offense, | ||||||
20 | be guilty of a Class 3 felony. | ||||||
21 | (2) Knowing offenses. Whoever, knowingly violates any | ||||||
22 | of the requirements of this Act or regulations prescribed | ||||||
23 | hereunder shall, in addition to any other penalty provided | ||||||
24 | in this Act, for each such offense, be guilty of a Class 4 | ||||||
25 | felony. | ||||||
26 | (3) Penalties for contraband. Notwithstanding any |
| |||||||
| |||||||
1 | other provision of law, the possession for sale of | ||||||
2 | contraband cigarettes by a manufacturer, distributor, or | ||||||
3 | retailer shall be punishable as follows: | ||||||
4 | (A) A person who commits a first knowing violation | ||||||
5 | shall be guilty of a Class 4 felony. | ||||||
6 | (B) A person who commits a subsequent knowing | ||||||
7 | violation shall be guilty of a Class 3 felony and shall | ||||||
8 | have his or her license, permit, or sub-certificate | ||||||
9 | revoked by the Department. In no case shall the fine | ||||||
10 | imposed under this paragraph exceed ten times the | ||||||
11 | retail value of the cigarettes. | ||||||
12 | (4) For purposes of this Section, the term contraband | ||||||
13 | cigarettes includes cigarettes that have false | ||||||
14 | manufacturing labels or packs of cigarettes bearing | ||||||
15 | counterfeit tax stamps. Any contraband cigarette seized by | ||||||
16 | this State shall be destroyed. The Department may, prior to | ||||||
17 | any destruction of cigarettes, permit the true holder of | ||||||
18 | the trademark rights in the cigarette brand to inspect such | ||||||
19 | contraband cigarettes, in order to assist the Department in | ||||||
20 | any investigation regarding such cigarettes. | ||||||
21 | (5) The penalties provided in paragraph (3) shall not | ||||||
22 | apply where a licensed distributor is in possession of | ||||||
23 | contraband cigarettes as a result of such cigarettes being | ||||||
24 | returned to the distributor by a retailer if such | ||||||
25 | distributor promptly notified appropriate law enforcement | ||||||
26 | authorities. |
| |||||||
| |||||||
1 | (6) Criminal forfeiture. | ||||||
2 | (A) Notwithstanding any other provision of law, | ||||||
3 | the possession for sale of contraband cigarettes by a | ||||||
4 | manufacturer, distributor, or retailer shall, after | ||||||
5 | notice and hearing, result in the forfeiture to this | ||||||
6 | State of the product and related machinery and | ||||||
7 | equipment used in the production of contraband | ||||||
8 | cigarettes, or to falsely mark cigarettes to reflect | ||||||
9 | the payment of excise taxes. | ||||||
10 | (B)The knowing sale or possession for sale of | ||||||
11 | contraband cigarettes shall, after
notice and hearing, | ||||||
12 | result in the seizure of all related machinery and | ||||||
13 | equipment. | ||||||
14 | (C) All cigarettes forfeited to this State under | ||||||
15 | this Section shall be destroyed. The
Department may, | ||||||
16 | prior to any destruction of cigarettes, permit the true | ||||||
17 | holder of the trademark rights in the cigarette brand | ||||||
18 | to inspect such contraband cigarettes, in order to | ||||||
19 | assist the Department in any investigation regarding | ||||||
20 | such cigarettes. | ||||||
21 | (35 ILCS 130/3-20 new)
| ||||||
22 | Sec. 3-20. Limitation on retail sales. A retailer shall not | ||||||
23 | knowingly sell or distribute more than 10 cartons of cigarettes | ||||||
24 | to any person in a single transaction or in any series of | ||||||
25 | transactions within a twenty-four hour period; provided, |
| |||||||
| |||||||
1 | however, that a retailer that is licensed as a distributor may | ||||||
2 | make any sales permitted to be made by a distributor under this | ||||||
3 | Act when acting in that capacity.
| ||||||
4 | (35 ILCS 130/4) (from Ch. 120, par. 453.4)
| ||||||
5 | Sec. 4. Distributor's license. No person may engage in | ||||||
6 | business as a distributor of cigarettes in this
State within | ||||||
7 | the meaning of the first 2 definitions of distributor in
| ||||||
8 | Section 1 of this Act without first having obtained a license | ||||||
9 | therefor from
the Department. Application for license shall be | ||||||
10 | made to the Department in
form as furnished and prescribed by | ||||||
11 | the Department. Each applicant for a
license under this Section | ||||||
12 | shall furnish to the Department on the form
signed and verified | ||||||
13 | by the applicant under penalty of perjury the following | ||||||
14 | information:
| ||||||
15 | (a) If the applicant is an individual, the name and | ||||||
16 | business address of the applicant; | ||||||
17 | (b) If the applicant is a firm, partnership, or | ||||||
18 | association, the name and business address of
each of its | ||||||
19 | members and any related party; | ||||||
20 | (c) If the applicant is an individual, the identity of | ||||||
21 | any license holder in which the individual, directly or | ||||||
22 | indirectly, owns more than 15 percent of the ownership | ||||||
23 | interests; | ||||||
24 | (d) If the applicant is a corporation or limited | ||||||
25 | liability company, the name and business address of each of |
| |||||||
| |||||||
1 | its officers and the name and business address of any | ||||||
2 | person that owns, directly or indirectly, in the aggregate, | ||||||
3 | more than 15 percent of the ownership interests in the | ||||||
4 | corporation or limited liability company and the name and | ||||||
5 | business address of any license holder in which the | ||||||
6 | applicant owns more than 15 percent of the ownership | ||||||
7 | interests; | ||||||
8 | (e) The name under which such applicant regularly does | ||||||
9 | business; | ||||||
10 | (f) The physical address of the applicant's principal | ||||||
11 | place of business and any other place of
business within | ||||||
12 | this State; | ||||||
13 | (g) In the case of a distributor who manufacturers or | ||||||
14 | imports cigarettes, the brand styles of cigarettes the | ||||||
15 | applicant manufactures or imports; | ||||||
16 | (h) The kind or nature of the business to be conducted; | ||||||
17 | (i) Sufficient information to demonstrate that the | ||||||
18 | applicant has complied or will comply with
all of the | ||||||
19 | requirements of this Act, including the identity of any | ||||||
20 | related party; | ||||||
21 | (j) Whether the applicant has committed any act in the | ||||||
22 | previous 5 years that would render the
applicant ineligible | ||||||
23 | for a license or whether the applicant has been convicted | ||||||
24 | of a crime related to contraband cigarettes, punishable by | ||||||
25 | imprisonment of one year or more; or
| ||||||
26 | (a) The name and address of the applicant;
|
| |||||||
| |||||||
1 | (b) The address of the location at which the applicant | ||||||
2 | proposes to
engage in business as a distributor of | ||||||
3 | cigarettes in this State;
| ||||||
4 | (k) (c) Such other additional information as the | ||||||
5 | Department may lawfully
require by its rules and | ||||||
6 | regulations.
| ||||||
7 | The annual license fee payable to the Department for each | ||||||
8 | distributor's
license shall be $250. The purpose of such annual | ||||||
9 | license fee is to defray
the cost, to the Department, of
| ||||||
10 | serializing cigarette tax stamps. Each applicant for license | ||||||
11 | shall pay such
fee to the Department at the time of submitting | ||||||
12 | his application for license
to the Department.
| ||||||
13 | Every applicant who is required to procure a distributor's | ||||||
14 | license shall
file with his application a joint and several | ||||||
15 | bond. Such bond shall be
executed to the Department of Revenue, | ||||||
16 | with good and sufficient surety or
sureties residing or | ||||||
17 | licensed to do business within the State of Illinois,
in the | ||||||
18 | amount of $2,500, conditioned upon the true and faithful | ||||||
19 | compliance
by the licensee with all of the provisions of this | ||||||
20 | Act. Such bond, or a
reissue thereof, or a substitute therefor, | ||||||
21 | shall be kept in effect during
the entire period covered by the | ||||||
22 | license. A separate application for
license shall be made, a | ||||||
23 | separate annual license fee paid, and a separate
bond filed, | ||||||
24 | for each place of business at which a person who is required to
| ||||||
25 | procure a distributor's license under this Section proposes to | ||||||
26 | engage in
business as a distributor in Illinois under this Act.
|
| |||||||
| |||||||
1 | The following are ineligible to receive a distributor's | ||||||
2 | license under
this Act:
| ||||||
3 | (1) a person who is not of good character and | ||||||
4 | reputation in the
community in which he resides;
| ||||||
5 | (2) a person who has been convicted of a felony | ||||||
6 | under any Federal or
State law, if the Department, | ||||||
7 | after investigation and a hearing, if
requested by the | ||||||
8 | applicant, determines that such person has not been
| ||||||
9 | sufficiently rehabilitated to warrant the public | ||||||
10 | trust;
| ||||||
11 | (3) a corporation, if any officer, manager or | ||||||
12 | director thereof, or any
stockholder or stockholders | ||||||
13 | owning in the aggregate more than 5% of the
stock of | ||||||
14 | such corporation, would not be eligible to receive a | ||||||
15 | license under
this Act for any reason. | ||||||
16 | (4) a person, or any person who owns more than 15 | ||||||
17 | percent of the ownership interests in a person or a | ||||||
18 | related party who: | ||||||
19 | (a) owes, at the time of application, $500 or | ||||||
20 | more in delinquent cigarette taxes that have been | ||||||
21 | determined by law to be due and unpaid, unless the | ||||||
22 | license applicant has entered into an agreement | ||||||
23 | approved by the Department to pay the amount due; | ||||||
24 | (b) had a license under this Act revoked within | ||||||
25 | the past two years by the Department for willful | ||||||
26 | misconduct relating to stolen or contraband |
| |||||||
| |||||||
1 | cigarettes or has been convicted of a State or | ||||||
2 | federal crime, punishable by imprisonment of one | ||||||
3 | year or more, relating to stolen or contraband | ||||||
4 | cigarettes; | ||||||
5 | (c) is a distributor who manufactures | ||||||
6 | cigarettes who is neither (i) a participating | ||||||
7 | manufacturer as defined in subsection II(jj) of | ||||||
8 | the "Master Settlement Agreement" as defined in | ||||||
9 | Sections 10 of the Tobacco Products Manufacturers' | ||||||
10 | Escrow Act and the Tobacco Products Manufacturers' | ||||||
11 | Escrow Enforcement Act of 2003 (30 ILCS 168/10 and | ||||||
12 | 30 ILCS 167/10); nor (ii) in full compliance with | ||||||
13 | Tobacco Products Manufacturers' Escrow Act and the | ||||||
14 | Tobacco Products Manufacturers' Escrow Enforcement | ||||||
15 | Act of 2003 (30 ILCS 168/ and 30 ILCS 167/); | ||||||
16 | (d) has been found to have willfully imported | ||||||
17 | or caused to be imported into the United States for | ||||||
18 | sale or distribution any cigarette in violation of | ||||||
19 | 19 U.S.C. 1681a; | ||||||
20 | (e) has been found to have willfully imported | ||||||
21 | or caused to be imported into the United States for | ||||||
22 | sale or distribution or manufactured for sale or | ||||||
23 | distribution in the United States any cigarette | ||||||
24 | that does not fully comply with the Federal | ||||||
25 | Cigarette Labeling and Advertising Act (15 U.S.C. | ||||||
26 | 1331, et. seq.); or |
| |||||||
| |||||||
1 | (f) has willfully made a material false | ||||||
2 | statement in the application or has willfully | ||||||
3 | failed to produce records required to be | ||||||
4 | maintained by this Act.
| ||||||
5 | The Department, upon receipt of an application, license fee | ||||||
6 | and bond in
proper form, from a person who is eligible to | ||||||
7 | receive a distributor's
license under this Act, shall issue to | ||||||
8 | such applicant a revocable license in form as
prescribed by the | ||||||
9 | Department, which license shall permit the applicant to
which | ||||||
10 | it is issued to engage in business as a distributor at the | ||||||
11 | place
shown in his application. A distributor that operates at | ||||||
12 | multiple locations within this State must possess a separate, | ||||||
13 | individual license for each such location. To assist in the | ||||||
14 | valid administrative needs of the Department, the Department | ||||||
15 | shall assign each licensee a unique numerical identifier. All | ||||||
16 | licenses issued by the Department under this
Act shall be valid | ||||||
17 | for not to exceed one year after issuance unless sooner
| ||||||
18 | revoked, canceled or suspended as provided in this Act. No | ||||||
19 | license issued
under this Act is transferable or assignable. | ||||||
20 | Such license shall be
conspicuously displayed in the place of | ||||||
21 | business conducted by the licensee
in Illinois under such | ||||||
22 | license. No distributor licensee acquires any vested interest | ||||||
23 | or compensable property right in a license issued under this | ||||||
24 | Act. | ||||||
25 | A licensed distributor shall notify the Department of any | ||||||
26 | change in the information contained on the application form, |
| |||||||
| |||||||
1 | including any change in ownership and shall do so within 30 | ||||||
2 | days after any such change.
| ||||||
3 | Any person aggrieved by any decision of the Department | ||||||
4 | under this Section
may, within 20 days after notice of the | ||||||
5 | decision, protest and request a
hearing. Upon receiving a | ||||||
6 | request for a hearing, the Department shall give
notice to the | ||||||
7 | person requesting the hearing of the time and place fixed for | ||||||
8 | the
hearing and shall hold a hearing in conformity with the | ||||||
9 | provisions of this Act
and then issue its final administrative | ||||||
10 | decision in the matter to that person.
In the absence of a | ||||||
11 | protest and request for a hearing within 20 days, the
| ||||||
12 | Department's decision shall become final without any further | ||||||
13 | determination
being made or notice given.
| ||||||
14 | (Source: P.A. 91-901, eff. 1-1-01; 92-322, eff. 1-1-02.)
| ||||||
15 | (35 ILCS 130/4c new) | ||||||
16 | Sec. 4c. Retailer's sub-certificate of registration. No | ||||||
17 | person may engage in business as a retailer in this State | ||||||
18 | without having obtained both a certificate of registration | ||||||
19 | described in Section 2a of the Retailers' Occupation Tax Act | ||||||
20 | (35 ILCS 120/2a) and a sub-certificate of registration | ||||||
21 | described in this Section. To engage in the business of selling | ||||||
22 | cigarettes at retail, retailers must obtain and maintain a | ||||||
23 | sub-certificate of registration from the Department prior to | ||||||
24 | the date of issuance or renewal of a retailer certificate of | ||||||
25 | registration. Such retailer sub-certificates shall be issued |
| |||||||
| |||||||
1 | without charge in such form as the Department may prescribe and | ||||||
2 | shall not be transferable or assignable. | ||||||
3 | The expiration date of a retailer's sub-certificate of | ||||||
4 | registration shall be that of the certificate of registration | ||||||
5 | to which the sub-certificate relates, but shall not be valid | ||||||
6 | after the expiration of 5 years from the date of its issuance | ||||||
7 | or last renewal. The retailer's sub-certificate of | ||||||
8 | registration shall not renew automatically. Sub-certificates | ||||||
9 | of registration shall be renewed only upon timely application. | ||||||
10 | The Department shall issue sub-certificates of | ||||||
11 | registration to retailers pursuant to this Act and under such | ||||||
12 | terms and conditions as it may determine to further the | ||||||
13 | requirements of this Act for each separate place of business | ||||||
14 | for each retailer within this State. Retailers shall | ||||||
15 | prominently display the appropriate sub-certificate of | ||||||
16 | registration at each place of business in such a manner as to | ||||||
17 | ensure that it is visible to all persons entering the place of | ||||||
18 | business. All sub-certificates of registration shall bear the | ||||||
19 | same registration number as that appearing upon the certificate | ||||||
20 | of registration to which the sub-certificate relates. | ||||||
21 | Application for a retailer's sub-certificate of | ||||||
22 | registration or a renewal thereof shall be made to the | ||||||
23 | Department upon forms furnished and prescribed by the | ||||||
24 | Department. Each such application shall be signed and verified | ||||||
25 | under penalty of perjury and shall state: | ||||||
26 | (1) if the applicant is an individual, the name and |
| |||||||
| |||||||
1 | business address of the applicant; | ||||||
2 | (2) if the applicant is a firm, partnership, or | ||||||
3 | association, the name and business address of each of its | ||||||
4 | members and any related party; | ||||||
5 | (3) if the applicant is an individual, the identity of | ||||||
6 | any distributor, manufacturer, or retailer in which the | ||||||
7 | individual, directly or indirectly, owns more than 15 | ||||||
8 | percent of the ownership interests; | ||||||
9 | (4) if the applicant is a corporation or limited | ||||||
10 | liability company, the name and business address of each of | ||||||
11 | its officers and the name and business address of any | ||||||
12 | person who owns, directly or indirectly, in the aggregate, | ||||||
13 | more than 15 percent of the ownership interests in the | ||||||
14 | corporation or limited liability company and the name and | ||||||
15 | business address of any distributor, manufacturer, or | ||||||
16 | retailer in which the applicant owns more than 15 percent | ||||||
17 | of the ownership interests; | ||||||
18 | (5) the name under which such applicant regularly does | ||||||
19 | business; | ||||||
20 | (6) the physical address of the applicant's principal | ||||||
21 | place of business and any other place of business within | ||||||
22 | this state; | ||||||
23 | (7) the kind or nature of the business to be conducted; | ||||||
24 | (8) sufficient information to demonstrate that the | ||||||
25 | applicant has complied or will comply with all of the | ||||||
26 | requirements of this Act, including the identity of any |
| |||||||
| |||||||
1 | related party; and | ||||||
2 | (9) whether the applicant has committed any act in the | ||||||
3 | previous 5 years that would render the applicant ineligible | ||||||
4 | for a sub-certificate of registration or whether the | ||||||
5 | applicant has been convicted of a crime related to | ||||||
6 | contraband cigarettes, punishable by imprisonment of one | ||||||
7 | year or more. | ||||||
8 | The Department shall not grant or renew a sub-certificate | ||||||
9 | of registration or allow such a sub-certificate to be | ||||||
10 | maintained if it determines the applicant or any person who | ||||||
11 | owns more than 15 percent of the ownership interests in the | ||||||
12 | applicant or a related party: | ||||||
13 | (1) owes, at the time of application, $500 or more in | ||||||
14 | delinquent cigarette or retail taxes that have been | ||||||
15 | determined by law to be due and unpaid, unless the | ||||||
16 | applicant has entered into an agreement approved by the | ||||||
17 | Department to pay the amount due; | ||||||
18 | (2) had a sub-certificate of registration under this | ||||||
19 | Act revoked within the past two years by the Department for | ||||||
20 | willful misconduct relating to stolen or contraband | ||||||
21 | cigarettes or has been convicted of a State or Federal | ||||||
22 | crime, punishable by imprisonment of one year or more, | ||||||
23 | relating to stolen or contraband cigarettes; | ||||||
24 | (3) has been found to have willfully imported or caused | ||||||
25 | to be imported into the United States for sale or | ||||||
26 | distribution any cigarette in violation of 19 U.S.C. 1681a; |
| |||||||
| |||||||
1 | (4) has been found to have willfully imported or caused | ||||||
2 | to be imported into the United States for sale or | ||||||
3 | distribution or manufactured for sale or distribution in | ||||||
4 | the United States any cigarette that does not fully comply | ||||||
5 | with the Federal Cigarette Labeling and Advertising Act (15 | ||||||
6 | U.S.C. 1331, et. seq.); or | ||||||
7 | (5) has willfully made a material false statement in | ||||||
8 | the application or has willfully failed to produce records | ||||||
9 | required to be maintained by this Act. | ||||||
10 | A retailer shall notify the Department of any change in the | ||||||
11 | information contained on the application form, including any | ||||||
12 | change in ownership and shall do so within 30 days of any such | ||||||
13 | change. | ||||||
14 | No retailer acquires any vested interest or compensable | ||||||
15 | property right in a sub-certificate of registration issued | ||||||
16 | under this Act. | ||||||
17 | (35 ILCS 130/4d new) | ||||||
18 | Sec. 4d. Transactions only with licensed distributors, | ||||||
19 | out-of-state manufacturers holding a permit, and retailers | ||||||
20 | holding a sub-certificate of registration. A distributor or | ||||||
21 | manufacturer may sell or distribute cigarettes to a person | ||||||
22 | located or doing business within this State only if such person | ||||||
23 | is a licensed distributor or retailer holding a sub-certificate | ||||||
24 | of registration. A retailer may only sell cigarettes obtained | ||||||
25 | from a licensed distributor or an out-of-state manufacturer |
| |||||||
| |||||||
1 | holding a permit. | ||||||
2 | (35 ILCS 130/4e new) | ||||||
3 | Sec. 4e. Proof of license, permit, or sub-certificate | ||||||
4 | required. A distributor, manufacturer, or retailer shall, | ||||||
5 | prior to the initial sale or exchange of cigarettes with any | ||||||
6 | person that is required to be licensed, hold a permit, or hold | ||||||
7 | a sub-certificate under this Act, require proof of a valid | ||||||
8 | license, permit, or sub-certificate for the relevant business | ||||||
9 | location issued under this Act. | ||||||
10 | (35 ILCS 130/4f new) | ||||||
11 | Sec. 4f. Maintenance of and publication of list of | ||||||
12 | licenses, permits, and sub-certificates issued. Within 30 days | ||||||
13 | after the effective date of this amendatory Act of the 95th | ||||||
14 | General Assembly, the Department shall create and maintain a | ||||||
15 | website setting forth the identity of all persons issued | ||||||
16 | licenses, permits, or sub-certificates under this Act and the | ||||||
17 | business locations of each licensee, permittee, or | ||||||
18 | sub-certificate holder, itemized by type of license, permit, or | ||||||
19 | certificate possessed, and shall update the website no less | ||||||
20 | frequently than once per month. The Department shall, at a | ||||||
21 | minimum, include on the website the legal name of the licensee, | ||||||
22 | permittee, or sub-certificate holder, the numerical identifier | ||||||
23 | issued to the licensee, permittee, or sub-certificate holder, | ||||||
24 | and any name under which such licensee, permittee, or |
| |||||||
| |||||||
1 | sub-certificate holder regularly does business. | ||||||
2 | (35 ILCS 130/4g new) | ||||||
3 | Sec. 4g. Maintenance of and publication of list of | ||||||
4 | licensees, permittees, and sub-certificate holders whose | ||||||
5 | licenses, permits, or sub-certificates have been suspended, | ||||||
6 | cancelled, or revoked. Within 30 days after the effective date | ||||||
7 | of this amendatory Act of the 95th General Assembly, the | ||||||
8 | Department shall create and maintain a website setting forth | ||||||
9 | the identity of all persons whose licenses, permits, or | ||||||
10 | sub-certificates have been suspended, cancelled, or revoked | ||||||
11 | under this Act within the past 3 years, itemized by type of | ||||||
12 | license, permit, or sub-certificate, and shall update the | ||||||
13 | website within 30 days after the date the Department suspends, | ||||||
14 | cancels, or revokes any person's license, permit, or | ||||||
15 | sub-certificate. The Department shall, at a minimum, include on | ||||||
16 | the website the legal name, the business locations, the unique | ||||||
17 | numerical identifier issued prior to the suspension, | ||||||
18 | cancellation, or revocation of the, and any name under which | ||||||
19 | such licensee, permittee, or sub-certificate holder regularly | ||||||
20 | does business.
| ||||||
21 | (35 ILCS 130/5) (from Ch. 120, par. 453.5)
| ||||||
22 | Sec. 5. Printing tax stamps. The Department shall adopt the | ||||||
23 | design or
designs of the tax stamps
or alternative tax indicia
| ||||||
24 | and shall procure the printing of such stamps
or alternative |
| |||||||
| |||||||
1 | tax indicia
in such amounts and denominations as it deems | ||||||
2 | necessary to provide for the
affixation of the proper amount of | ||||||
3 | tax stamps
or alternative tax indicia
to each original package | ||||||
4 | of
cigarettes. | ||||||
5 | Each roll or sheet of tax stamps shall have a separate and | ||||||
6 | unique serial number that shall be clearly visible at the point | ||||||
7 | of sale. The Department shall keep records of which licensed | ||||||
8 | distributor or out-of-state manufacturer holding a permit | ||||||
9 | purchases each roll or sheet of stamps identified by serial | ||||||
10 | number. | ||||||
11 | Each licensed distributor or out-of-state manufacturer | ||||||
12 | holding a permit authorized by the Department to make meter | ||||||
13 | impressions shall be assigned a unique meter impression number, | ||||||
14 | which number shall not be used by any other distributor or | ||||||
15 | manufacturer and shall be visible and easily identifiable on | ||||||
16 | the impression at the point of sale on each pack of cigarettes. | ||||||
17 | The Department shall keep records detailing the meter | ||||||
18 | impression number assigned to each licensed distributor or | ||||||
19 | out-of-state manufacturer holding a permit.
| ||||||
20 | (Source: P.A. 92-322, eff. 1-1-02.)
| ||||||
21 | (35 ILCS 130/6a new) | ||||||
22 | Sec. 6a. Revocation, cancellation, or suspension of | ||||||
23 | retailer's sub-certificate of registration. The Department | ||||||
24 | may, after notice and hearing as provided for by this Act, | ||||||
25 | revoke, cancel or suspend a retailers' sub-certificate of |
| |||||||
| |||||||
1 | registration for the violation of any provision of this Act, or | ||||||
2 | for noncompliance with any provision herein contained, or for | ||||||
3 | any noncompliance with any lawful rule or regulation | ||||||
4 | promulgated by the Department, or because the sub-certificate | ||||||
5 | holder is determined to be ineligible for a retailer's | ||||||
6 | sub-certificate of registration for any one or more of the | ||||||
7 | reasons provided for in Section 4c of this Act (35 ILCS | ||||||
8 | 130/4c). However, no such sub-certificate shall be revoked, | ||||||
9 | cancelled or suspended, except after a hearing by the | ||||||
10 | Department with notice to the retailer, as aforesaid, and | ||||||
11 | affording such retailer a reasonable opportunity to appear and | ||||||
12 | defend, and any retailer aggrieved by any decision of the | ||||||
13 | Department with respect thereto may have the determination of | ||||||
14 | the Department judicially reviewed, as herein provided. | ||||||
15 | A retailer's sub-certificate of registration is revoked, | ||||||
16 | cancelled, or suspended if the retail certificate of | ||||||
17 | registration to which it relates is revoked, cancelled, or | ||||||
18 | suspended. However, no such sub-certificate shall be revoked, | ||||||
19 | cancelled, or suspended, except after a hearing by the | ||||||
20 | Department with notice to the retailer, as aforesaid, and | ||||||
21 | affording such retailer a reasonable opportunity to appear and | ||||||
22 | defend, and any retailer aggrieved by any decision of the | ||||||
23 | Department with respect thereto may have the determination of | ||||||
24 | the Department judicially reviewed, as herein provided. | ||||||
25 | Any retailer aggrieved by any decision of the Department | ||||||
26 | under this Section may, within 20 days after notice of the |
| |||||||
| |||||||
1 | decision, protest and request a hearing. Upon receiving a | ||||||
2 | request for a hearing, the Department shall give notice in | ||||||
3 | writing to the retailer requesting the hearing that contains a | ||||||
4 | statement of the charges preferred against the retailer and | ||||||
5 | that states the time and place fixed for the hearing. The | ||||||
6 | Department shall hold the hearing in conformity with the | ||||||
7 | provisions of this Act and then issue its final administrative | ||||||
8 | decision in the matter to the retailer. In the absence of a | ||||||
9 | protest and request for a hearing within 20 days, the | ||||||
10 | Department's decision shall become final without any further | ||||||
11 | determination being made or notice given. | ||||||
12 | No sub-certificate so revoked, as aforesaid, shall be | ||||||
13 | reissued to any such retailer within a period of 6 months after | ||||||
14 | the date of the final determination of such revocation. No such | ||||||
15 | sub-certificate shall be reissued at all so long as the person | ||||||
16 | who would receive the sub-certificate is ineligible to receive | ||||||
17 | a retailer's sub-certificate of registration under this Act for | ||||||
18 | any one or more of the reasons provided for in Section 4c of | ||||||
19 | this Act (35 ILCS 130/4c). | ||||||
20 | The Department, upon complaint filed in the circuit court, | ||||||
21 | may by injunction restrain any person who fails, or refuses, to | ||||||
22 | comply with any of the provisions of this Act from acting as a | ||||||
23 | retailer of cigarettes in this State.
| ||||||
24 | (35 ILCS 130/11) (from Ch. 120, par. 453.11)
| ||||||
25 | Sec. 11. Every distributor of cigarettes, who is required |
| |||||||
| |||||||
1 | to procure a
license under this Act, shall keep within | ||||||
2 | Illinois, at his licensed
address, complete and accurate | ||||||
3 | records of cigarettes held, purchased,
manufactured, brought | ||||||
4 | in or caused to be brought in from without the State,
and sold, | ||||||
5 | or otherwise disposed of, and shall preserve and keep within
| ||||||
6 | Illinois at his licensed address all invoices, bills of lading, | ||||||
7 | sales
records, copies of bills of sale, inventory at the close | ||||||
8 | of each period for
which a return is required of all cigarettes | ||||||
9 | on hand and of all cigarette
revenue stamps, both affixed and | ||||||
10 | unaffixed, and other pertinent papers and
documents relating to | ||||||
11 | the manufacture, purchase, sale or disposition of
cigarettes. | ||||||
12 | All books and records and other papers and documents that are
| ||||||
13 | required by this Act to be kept shall be itemized by quantity | ||||||
14 | and brand style, itemized for each of the distributor's | ||||||
15 | facilities, kept in the English language, and
shall, at all | ||||||
16 | times during the usual business hours of the day, be subject
to | ||||||
17 | inspection by the Department or its duly authorized agents and | ||||||
18 | employees.
The Department may adopt rules that establish | ||||||
19 | requirements, including record
forms and formats, for records | ||||||
20 | required to be kept and maintained by taxpayers.
For purposes | ||||||
21 | of this Section, "records" means all data maintained by the
| ||||||
22 | taxpayer, including data on paper, microfilm, microfiche or any | ||||||
23 | type of
machine-sensible data compilation. Those books, | ||||||
24 | records, papers and documents
shall be preserved for a period | ||||||
25 | of at least 3 years after the date of the
documents, or the | ||||||
26 | date of the entries appearing in the records, unless the
|
| |||||||
| |||||||
1 | Department, in writing, authorizes their destruction or | ||||||
2 | disposal at an earlier
date. At all times during the usual | ||||||
3 | business hours of the day any duly
authorized agent or employee | ||||||
4 | of the Department may enter any place of business
of the | ||||||
5 | distributor, without a search warrant, and inspect the premises | ||||||
6 | and the
stock or packages of cigarettes and the vending devices | ||||||
7 | therein contained, to
determine whether any of the provisions | ||||||
8 | of this Act are being violated. If such
agent or employee is | ||||||
9 | denied free access or is hindered or interfered with in
making | ||||||
10 | such examination as herein provided, the license of the | ||||||
11 | distributor at
such premises shall be subject to revocation by | ||||||
12 | the Department.
| ||||||
13 | (Source: P.A. 88-480.)
| ||||||
14 | (35 ILCS 130/11a new) | ||||||
15 | Sec. 11a. Retailer records. Every cigarette retailer who is | ||||||
16 | required to procure a sub-certificate of registration under | ||||||
17 | this Act shall keep within Illinois, at the corresponding place | ||||||
18 | of business, copies of invoices or equivalent documentation, | ||||||
19 | itemized by quantity and brand style, for each transaction | ||||||
20 | involving the sale, purchase, transfer, consignment, or | ||||||
21 | receipt of packs of cigarettes. | ||||||
22 | Records required under this Section shall be preserved on | ||||||
23 | the premises described in the relevant sub-certificate of | ||||||
24 | registration in such a manner as to ensure permanency and | ||||||
25 | accessibility for inspection. All books and records and other |
| |||||||
| |||||||
1 | papers and documents required by this Act to be kept shall be | ||||||
2 | kept in the English language, and shall, at all times during | ||||||
3 | the usual business hours of the day, be subject to inspection | ||||||
4 | by the Department or its duly authorized agents and employees. | ||||||
5 | Such books and records shall be preserved for a period of at | ||||||
6 | least 3 years after the date of the documents, or the date of | ||||||
7 | the entries appearing in the records. | ||||||
8 | At all times during the usual business hours of the day any | ||||||
9 | duly authorized agent or employee of the Department may enter | ||||||
10 | any place of business of the retailer, without a search | ||||||
11 | warrant, and inspect the premises and the stock or packages of | ||||||
12 | cigarettes and the vending devices therein contained, to | ||||||
13 | determine whether any of the provisions of this Act are being | ||||||
14 | violated. If such agent or employee is denied free access or is | ||||||
15 | hindered or interfered with in making such examination as | ||||||
16 | herein provided, the sub-certificate of the retailer at such | ||||||
17 | premises shall be subject to revocation by the Department. | ||||||
18 | The Department is authorized to disclose to the Attorney | ||||||
19 | General any information received under this Section and | ||||||
20 | requested by the Attorney General. The Department and the | ||||||
21 | Attorney General shall share with each other the information | ||||||
22 | received under this Section and may share the information with | ||||||
23 | other federal, State, or local agencies for purposes of | ||||||
24 | enforcement of this Act or the laws of the Federal government | ||||||
25 | or of other States.
|
| |||||||
| |||||||
1 | (35 ILCS 130/20) (from Ch. 120, par. 453.20)
| ||||||
2 | Sec. 20. Whenever any peace officer of the State or any | ||||||
3 | duly authorized
officer or employee of the Department shall | ||||||
4 | have reason to believe that any
violation of this Act has | ||||||
5 | occurred and that the person so violating the
Act has in his, | ||||||
6 | her or its possession any original package of cigarettes,
not | ||||||
7 | tax stamped or tax imprinted underneath the sealed transparent | ||||||
8 | wrapper
of such original package as required by this Act, or | ||||||
9 | any vending device
containing such original packages to which | ||||||
10 | stamps have not been affixed, or
on which an authorized | ||||||
11 | substitute for stamps has not been imprinted
underneath the | ||||||
12 | sealed transparent wrapper of such original packages, as
| ||||||
13 | required by this Act, he may file or cause to be filed his | ||||||
14 | complaint in
writing, verified by affidavit, with any court | ||||||
15 | within whose jurisdiction
the premises to be searched are | ||||||
16 | situated, stating the facts upon which such
belief is founded, | ||||||
17 | the premises to be searched, and the property to be
seized, and | ||||||
18 | procure a search warrant and execute the same. Upon the
| ||||||
19 | execution of such search warrant, the peace officer, or officer | ||||||
20 | or employee
of the Department, executing such search warrant | ||||||
21 | shall make due return
thereof to the court issuing the same, | ||||||
22 | together with an inventory of the
property taken thereunder. | ||||||
23 | The court shall thereupon issue process against
the owner of | ||||||
24 | such property if he is known; otherwise, such process shall be
| ||||||
25 | issued against the person in whose possession the property so | ||||||
26 | taken is
found, if such person is known. In case of inability |
| |||||||
| |||||||
1 | to serve such process
upon the owner or the person in | ||||||
2 | possession of the property at the time of
its seizure, as | ||||||
3 | hereinbefore provided, notice of the proceedings before the
| ||||||
4 | court shall be given as required by the statutes of the State | ||||||
5 | governing
cases of Attachment. Upon the return of the process | ||||||
6 | duly served or upon the
posting or publishing of notice made, | ||||||
7 | as hereinabove provided, the court or
jury, if a jury shall be | ||||||
8 | demanded, shall proceed to determine whether or
not such | ||||||
9 | property so seized was held or possessed in violation of this | ||||||
10 | Act,
or whether, if a vending device has been so seized, it | ||||||
11 | contained at the
time of its seizure original packages not tax | ||||||
12 | stamped or tax imprinted
underneath the sealed transparent | ||||||
13 | wrapper of such original packages as
required by this Act. In | ||||||
14 | case of a finding that the original packages
seized were not | ||||||
15 | tax stamped or tax imprinted underneath the sealed
transparent | ||||||
16 | wrapper of such original packages in accordance with the
| ||||||
17 | provisions of this Act, or that any vending device so seized | ||||||
18 | contained at
the time of its seizure original packages not tax | ||||||
19 | stamped or tax imprinted
underneath the sealed transparent | ||||||
20 | wrapper of such original packages in
accordance with the | ||||||
21 | provisions of this Act, judgment shall be entered
confiscating | ||||||
22 | and forfeiting the property to the State and ordering its
| ||||||
23 | delivery to the Department, and in addition thereto, the court | ||||||
24 | shall have
power to tax and assess the costs of the | ||||||
25 | proceedings.
| ||||||
26 | When any original packages or any cigarette vending device |
| |||||||
| |||||||
1 | shall have
been declared forfeited to the State by any court, | ||||||
2 | as hereinbefore
provided, and when such confiscated and | ||||||
3 | forfeited property shall have been
delivered to the Department, | ||||||
4 | as provided in this Act, the said Department
shall destroy sell | ||||||
5 | such property . The Department may, prior to any destruction of | ||||||
6 | cigarettes, permit the true holder of the trademark rights in | ||||||
7 | the cigarette brand to inspect such contraband cigarettes, in | ||||||
8 | order to assist the Department in any investigation regarding | ||||||
9 | such cigarettes. for the best price obtainable and shall | ||||||
10 | forthwith
pay over the proceeds of such sale to the State | ||||||
11 | Treasurer; provided,
however, that if the value of such | ||||||
12 | property to be sold at any one time
shall be $500 or more, such | ||||||
13 | property shall be sold only to the highest and
best bidder on | ||||||
14 | such terms and conditions and on open competitive bidding
after | ||||||
15 | public advertisement, in such manner and for such terms as the
| ||||||
16 | Department, by rule, may prescribe.
| ||||||
17 | Upon making such a sale of original packages of cigarettes | ||||||
18 | which were
not tax stamped or tax imprinted underneath the | ||||||
19 | sealed transparent wrapper
of such original packages as | ||||||
20 | required by this Act, the Department shall
affix a distinctive | ||||||
21 | stamp to each of the original packages so sold
indicating that | ||||||
22 | the same are sold pursuant to the provisions of this
Section.
| ||||||
23 | (Source: Laws 1965, p. 3707.)
| ||||||
24 | (35 ILCS 130/21) (from Ch. 120, par. 453.21)
| ||||||
25 | Sec. 21. Destruction or use of forfeited property. |
| |||||||
| |||||||
1 | (a) When any original packages of cigarettes or
any | ||||||
2 | cigarette vending device shall have been declared forfeited to | ||||||
3 | the State by
the Department, as provided in Section 18a of this | ||||||
4 | Act, and when all proceedings
for the judicial review of the | ||||||
5 | Department's decision have terminated, the
Department shall, | ||||||
6 | to the extent that its decision is sustained on review, | ||||||
7 | destroy , or maintain and use such property in an undercover | ||||||
8 | capacity , or sell
such property for the best price obtainable | ||||||
9 | and shall forthwith pay over the
proceeds of such sale to the | ||||||
10 | State Treasurer.
If the value of such property to be sold at | ||||||
11 | any one time is
$500 or more, however,
such property shall be | ||||||
12 | sold only to the highest and best bidder on
such terms and | ||||||
13 | conditions and on open competitive bidding after public
| ||||||
14 | advertisement, in such manner and for such terms as the | ||||||
15 | Department, by
rule, may prescribe .
| ||||||
16 | (b) The Department may, prior to any destruction of | ||||||
17 | cigarettes, permit the true holder of the trademark rights in | ||||||
18 | the cigarette brand to inspect such contraband cigarettes in | ||||||
19 | order to assist the Department in any investigation regarding | ||||||
20 | such cigarettes. If no complaint for review, as provided in | ||||||
21 | Section 8 of
this Act, has been filed within the time required | ||||||
22 | by the Administrative
Review Law, and if no stay order has been | ||||||
23 | entered thereunder, the
Department shall proceed to sell the | ||||||
24 | property for the
best price obtainable and shall forthwith pay | ||||||
25 | over the proceeds of such
sale to the State Treasurer. If the | ||||||
26 | value
of such property to be sold at any one time is $500
or |
| |||||||
| |||||||
1 | more, however, such property
shall be sold only to the highest | ||||||
2 | and best bidder on such terms and
conditions and on open | ||||||
3 | competitive bidding after public
advertisement, in such manner | ||||||
4 | and for such terms as the Department, by
rule, may prescribe.
| ||||||
5 | (c) Upon making a sale of unstamped original packages of
| ||||||
6 | cigarettes as provided in this Section, the Department shall | ||||||
7 | affix
a distinctive stamp to each of the original packages so | ||||||
8 | sold indicating
that the same are sold under this Section.
| ||||||
9 | (d) Notwithstanding the foregoing, any cigarettes seized | ||||||
10 | under
this Act or under the Cigarette Use Tax Act may, at the | ||||||
11 | discretion of the
Director of Revenue, be distributed to any | ||||||
12 | eleemosynary institution within
the State of Illinois.
| ||||||
13 | (Source: P.A. 94-776, eff. 5-19-06.)
| ||||||
14 | (35 ILCS 130/9c rep.)
| ||||||
15 | (35 ILCS 130/28 rep.)
| ||||||
16 | Section 10. The Cigarette Tax Act is amended by repealing | ||||||
17 | Sections 9c and 28. | ||||||
18 | Section 15. The Prevention of Cigarette Sales to Minors Act | ||||||
19 | is amended by changing Sections 5 and 10 and by adding Sections | ||||||
20 | 2, 6, 7, 8, 9, 20, 25, and 30 as follows: | ||||||
21 | (720 ILCS 678/2 new)
| ||||||
22 | Sec. 2. Definitions. For the purpose of this Act: | ||||||
23 | "Clear and conspicuous statement" means the statement is of |
| |||||||
| |||||||
1 | sufficient type size to be clearly readable by the recipient of | ||||||
2 | the communication. | ||||||
3 | "Consumer" means an individual who acquires or seeks to | ||||||
4 | acquire cigarettes for personal use. | ||||||
5 | "Delivery sale" means any sale of cigarettes to a consumer | ||||||
6 | if: | ||||||
7 | (a) the consumer submits the order for such sale by | ||||||
8 | means of a telephone or other method of voice transmission, | ||||||
9 | the mails, or the Internet or other online service, or the | ||||||
10 | seller is otherwise not in the physical presence of the | ||||||
11 | buyer when the request for purchase or order is made; or | ||||||
12 | (b) the cigarettes are delivered by use of a common | ||||||
13 | carrier, private delivery
service, or the mails, or the | ||||||
14 | seller is not in the physical presence of the buyer when | ||||||
15 | the buyer obtains possession of the cigarettes. | ||||||
16 | "Delivery service" means any person (other than a person | ||||||
17 | that makes a delivery sale) who
delivers to the consumer the | ||||||
18 | cigarettes sold in a delivery sale. | ||||||
19 | "Department" means the Department of Revenue. | ||||||
20 | "Government-issued identification" means a State driver's | ||||||
21 | license, State identification card, passport, a military | ||||||
22 | identification or an official naturalization or immigration | ||||||
23 | document, such as an alien registration recipient card | ||||||
24 | (commonly known as a "green card") or an immigrant visa. | ||||||
25 | "Legal minimum age" means the minimum age at which an | ||||||
26 | individual may legally purchase cigarettes within this State, |
| |||||||
| |||||||
1 | as determined by either State or local government. | ||||||
2 | "Mails" or "mailing" mean the shipment of cigarettes | ||||||
3 | through the United States Postal Service. | ||||||
4 | "Out-of-state sale" means a sale of cigarettes to a | ||||||
5 | consumer located outside of this State where the consumer | ||||||
6 | submits the order for such sale by means of a telephonic or | ||||||
7 | other method of voice transmission, the mails or any other | ||||||
8 | delivery service, facsimile transmission, or the Internet or | ||||||
9 | other online service and where the cigarettes are delivered by | ||||||
10 | use of the mails or other delivery service. | ||||||
11 | "Person" means any individual, corporation, partnership, | ||||||
12 | limited liability company, association, or other organization | ||||||
13 | that engages in any for profit or not-for-profit activities. | ||||||
14 | "Shipping package" means a container in which packs or | ||||||
15 | cartons of cigarettes are shipped in connection with a delivery | ||||||
16 | sale. | ||||||
17 | "Shipping documents" means bills of lading, air bills, or | ||||||
18 | any other documents used to evidence the undertaking by a | ||||||
19 | delivery service to deliver letters, packages, or other | ||||||
20 | containers. | ||||||
21 | "Within this State" means within the exterior limits of the | ||||||
22 | State of Illinois and includes all territory within these | ||||||
23 | limits owned by or ceded to the United States of America. | ||||||
24 | (720 ILCS 678/5)
| ||||||
25 | Sec. 5. Unlawful shipment or transportation of cigarettes. |
| |||||||
| |||||||
1 | (a) It is unlawful for any person engaged in the business | ||||||
2 | of selling cigarettes to ship or cause to be shipped any | ||||||
3 | cigarettes unless the person shipping the cigarettes:
| ||||||
4 | (1) is licensed as a distributor under either
the | ||||||
5 | Cigarette Tax Act, or the Cigarette Use Tax Act; or
| ||||||
6 | delivers the cigarettes to a distributor licensed under | ||||||
7 | either the Cigarette Tax Act or the Cigarette Use Tax Act; | ||||||
8 | or | ||||||
9 | (2) ships them to an export warehouse proprietor | ||||||
10 | pursuant to
Chapter 52 of the Internal Revenue Code, or an | ||||||
11 | operator of
a customs bonded warehouse pursuant to Section | ||||||
12 | 1311 or
1555 of Title 19 of the United States Code.
| ||||||
13 | For purposes of this subsection (a), a person is a licensed | ||||||
14 | distributor if the person's name appears on a list of licensed | ||||||
15 | distributors published by the Illinois Department of Revenue.
| ||||||
16 | The term cigarette has the same meaning as defined in Section 1 | ||||||
17 | of the Cigarette Tax Act and Section 1 of the Cigarette Use Tax | ||||||
18 | Act.
Nothing in this Act prohibits a person licensed as a | ||||||
19 | distributor under the Cigarette Tax Act or the Cigarette Use | ||||||
20 | Tax Act from shipping or causing to be shipped any cigarettes | ||||||
21 | to a registered retailer under the Retailers' Occupation Tax | ||||||
22 | Act and the Cigarette Tax Act provided the cigarette tax or | ||||||
23 | cigarette use tax has been paid.
| ||||||
24 | (b) A common or contract carrier may transport cigarettes | ||||||
25 | to any individual person in this State only if the carrier | ||||||
26 | reasonably believes such cigarettes have been received from a |
| |||||||
| |||||||
1 | person described in paragraph (a)(1). Common or contract | ||||||
2 | carriers may make deliveries of cigarettes to licensed | ||||||
3 | distributors described in paragraph (a)(1) of this Section. | ||||||
4 | Nothing in this subsection (b) shall be construed to prohibit a | ||||||
5 | person other than a common or contract carrier from | ||||||
6 | transporting not more than 1,000 cigarettes at any one time to | ||||||
7 | any person in this State.
| ||||||
8 | (c) A common or contract carrier may not complete the | ||||||
9 | delivery of any cigarettes to persons other than those | ||||||
10 | described in paragraph (a)(1) of this Section without first | ||||||
11 | obtaining from the purchaser an official written | ||||||
12 | identification from any state or federal agency that displays | ||||||
13 | the person's date of birth or a birth certificate that includes | ||||||
14 | a reliable confirmation that the purchaser is at least 18 years | ||||||
15 | of age; that the cigarettes purchased are not intended for | ||||||
16 | consumption by an individual who is younger than 18 years of | ||||||
17 | age; and a written statement signed by the purchaser that | ||||||
18 | certifies the purchaser's address and that the purchaser is at | ||||||
19 | least 18 years of age. The statement shall also confirm: (1) | ||||||
20 | that the purchaser understands that signing another person's | ||||||
21 | name to the certification is illegal; (2) that the sale of | ||||||
22 | cigarettes to individuals under 18 years of age is illegal; and | ||||||
23 | (3) that the purchase of cigarettes by individuals under 18 | ||||||
24 | years of age is illegal under the laws of Illinois. | ||||||
25 | (d) When a person engaged in the business of selling
| ||||||
26 | cigarettes ships or causes to be shipped any cigarettes to any |
| |||||||
| |||||||
1 | person in this State, other than in the cigarette | ||||||
2 | manufacturer's or tobacco products manufacturer's original | ||||||
3 | container or wrapping, the container or wrapping must be | ||||||
4 | plainly and visibly marked with the word "cigarettes".
| ||||||
5 | (e) When a peace officer of this State or any duly | ||||||
6 | authorized officer or employee of the Illinois Department of | ||||||
7 | Public Health or Department of Revenue discovers any cigarettes | ||||||
8 | which have been or which are being shipped or transported in | ||||||
9 | violation of this Section, he or she shall seize and take | ||||||
10 | possession of the cigarettes, and the cigarettes shall be | ||||||
11 | subject to a forfeiture action pursuant to the procedures | ||||||
12 | provided under the Cigarette Tax Act or Cigarette Use Tax Act.
| ||||||
13 | (Source: P.A. 93-960, eff. 8-20-04.) | ||||||
14 | (720 ILCS 678/6 new)
| ||||||
15 | Sec. 6. Prevention of delivery sales to minors. | ||||||
16 | (a) No person shall make a delivery sale of cigarettes to | ||||||
17 | any individual who is
under the legal minimum age. | ||||||
18 | (b) Each person accepting a purchase order for a delivery | ||||||
19 | sale shall comply with
the provisions of this Act and all other | ||||||
20 | laws of this State generally applicable to sales of cigarettes | ||||||
21 | that occur entirely within this State, including, but not | ||||||
22 | limited to, those laws imposing: (i) excise taxes; (ii) sales | ||||||
23 | taxes; (iii) license and revenue-stamping requirements; and | ||||||
24 | (iv) escrow payment obligations. |
| |||||||
| |||||||
1 | (720 ILCS 678/7 new)
| ||||||
2 | Sec. 7. Age verification and shipping requirements to | ||||||
3 | prevent delivery sales to minors. | ||||||
4 | (a) No person, other than a delivery service, shall mail, | ||||||
5 | ship, or otherwise cause to be delivered a shipping package in | ||||||
6 | connection with a delivery sale unless the person: | ||||||
7 | (1) prior to the first delivery sale to the prospective | ||||||
8 | consumer, obtains
from the prospective consumer a written | ||||||
9 | certification which includes a statement signed by the | ||||||
10 | prospective consumer that certifies: | ||||||
11 | (A) the prospective consumer's current address; | ||||||
12 | and | ||||||
13 | (B) that the prospective consumer is at least the | ||||||
14 | legal minimum age; | ||||||
15 | (2) informs, in writing, such prospective consumer | ||||||
16 | that: | ||||||
17 | (A) the signing of another person's name to the | ||||||
18 | certification described in
this Section is illegal; | ||||||
19 | (B) sales of cigarettes to individuals under the | ||||||
20 | legal minimum age are
illegal; | ||||||
21 | (C) the purchase of cigarettes by individuals | ||||||
22 | under the legal minimum age
is illegal; and | ||||||
23 | (D) the name and identity of the prospective | ||||||
24 | consumer may be reported to
the state of the consumer's | ||||||
25 | current address under the Act of October 19, 1949 (15 | ||||||
26 | U.S.C. ยง 375, et seq.), commonly known as the Jenkins |
| |||||||
| |||||||
1 | Act; | ||||||
2 | (3) makes a good faith effort to verify the date of | ||||||
3 | birth of the prospective
customer provided pursuant to this | ||||||
4 | Section by: | ||||||
5 | (A) comparing the date of birth against a | ||||||
6 | commercially available database
or | ||||||
7 | (B) obtaining a photocopy or other image of a | ||||||
8 | valid, government-issued
identification stating the | ||||||
9 | date of birth or age of the prospective consumer; | ||||||
10 | (4) provides to the prospective consumer a notice that | ||||||
11 | meets the requirements of
subsection (b); | ||||||
12 | (5) receives payment for the delivery sale from the | ||||||
13 | prospective consumer by a
credit or debit card that has | ||||||
14 | been issued in such consumer's name, or by a check or other | ||||||
15 | written instrument in such consumer's name; and | ||||||
16 | (6) ensures that the shipping package is delivered to | ||||||
17 | the same address as is shown
on the government-issued | ||||||
18 | identification or contained in the commercially available | ||||||
19 | database. | ||||||
20 | (b) The notice required under this Section shall include: | ||||||
21 | (1) a statement that cigarette sales to consumers below | ||||||
22 | the legal minimum age are
illegal; | ||||||
23 | (2) a statement that sales of cigarettes are restricted | ||||||
24 | to those consumers who
provide verifiable proof of age in | ||||||
25 | accordance with subsection (a); | ||||||
26 | (3) a statement that cigarette sales are subject to tax |
| |||||||
| |||||||
1 | under Section 2 of the
Cigarette Tax Act (35 ILCS 130/2) | ||||||
2 | and an explanation of how such tax has been, or is to be, | ||||||
3 | paid with respect to such delivery sale. | ||||||
4 | (c) A statement meets the requirement of this Section if: | ||||||
5 | (1) the statement is clear and conspicuous; | ||||||
6 | (2) the statement is contained in a printed box set | ||||||
7 | apart from the other contents of
the communication; | ||||||
8 | (3) the statement is printed in bold, capital letters; | ||||||
9 | (4) the statement is printed with a degree of color | ||||||
10 | contrast between the
background and the printed statement | ||||||
11 | that is no less than the color contrast between the | ||||||
12 | background and the largest text used in the communication; | ||||||
13 | and | ||||||
14 | (5) for any printed material delivered by electronic | ||||||
15 | means, the statement appears
at both the top and the bottom | ||||||
16 | of the electronic mail message or both the top and the | ||||||
17 | bottom of the Internet website homepage. | ||||||
18 | (d) Each person, other than a delivery service, who mails, | ||||||
19 | ships, or otherwise causes to be delivered a shipping package | ||||||
20 | in connection with a delivery sale shall: | ||||||
21 | (1) include as part of the shipping documents a clear | ||||||
22 | and conspicuous statement
stating: "Cigarettes: Illinois | ||||||
23 | Law Prohibits Shipping to Individuals Under 18 and Requires | ||||||
24 | the Payment of All Applicable Taxes"; | ||||||
25 | (2) use a method of mailing, shipping, or delivery that | ||||||
26 | requires a signature before
the shipping package is |
| |||||||
| |||||||
1 | released to the consumer; and | ||||||
2 | (3) ensure that the shipping package is not delivered | ||||||
3 | to any post office box. | ||||||
4 | (720 ILCS 678/8 new)
| ||||||
5 | Sec. 8. Registration and reporting requirements to prevent | ||||||
6 | delivery sales to minors. | ||||||
7 | (a) Each person who makes a delivery sale of cigarettes to | ||||||
8 | a consumer located within this
State shall file with the | ||||||
9 | Department for each individual sale: | ||||||
10 | (1) a statement setting forth such person's name, trade | ||||||
11 | name, and the address of
such person's principal place of | ||||||
12 | business and any other place of business; and | ||||||
13 | (2) not later than the tenth day of each calendar | ||||||
14 | month, a memorandum or copy of
the invoice for each and | ||||||
15 | every such delivery sale made during the previous calendar | ||||||
16 | month, which includes the following information: | ||||||
17 | (A) the name and address of the consumer to whom | ||||||
18 | such delivery sale
was made; | ||||||
19 | (B) the brand style or brand styles of the | ||||||
20 | cigarettes that were sold in such
delivery sale; | ||||||
21 | (C) the quantity of cigarettes that were sold in | ||||||
22 | such delivery sale; and | ||||||
23 | (D) an indication of whether or not the cigarettes | ||||||
24 | sold in the delivery sale
bore a tax stamp evidencing | ||||||
25 | payment of the tax under Section 2 of the Cigarette Tax |
| |||||||
| |||||||
1 | Act (35 ILCS 130/2). | ||||||
2 | (b) Each person engaged in business within this State who | ||||||
3 | makes an out-of-state sale
shall, for each individual sale, | ||||||
4 | submit to the appropriate tax official of the state in which | ||||||
5 | the consumer is located the information required in subsection | ||||||
6 | (a). | ||||||
7 | (c) Any person that satisfies the requirements of 15 U.S.C. | ||||||
8 | Section 376 shall be deemed to
satisfy the requirements of | ||||||
9 | subsections (a) and (b). | ||||||
10 | (d) The Department is authorized to disclose to the | ||||||
11 | Attorney General any information
received under this title and | ||||||
12 | requested by the Attorney General. The Department and the | ||||||
13 | Attorney General shall share with each other the information | ||||||
14 | received under this title and may share the information with | ||||||
15 | other federal, State, or local agencies for purposes of | ||||||
16 | enforcement of this title or the laws of the Federal government | ||||||
17 | or of other States. | ||||||
18 | (e) This Section shall not be construed to impose liability | ||||||
19 | upon any delivery service, or
officers or employees thereof, | ||||||
20 | when acting within the scope of business of the delivery | ||||||
21 | service. | ||||||
22 | (720 ILCS 678/9 new)
| ||||||
23 | Sec. 9. Statements for delivery sales. | ||||||
24 | (a) Each person who makes a delivery sale shall collect and | ||||||
25 | remit to the Department all excise taxes imposed by this State |
| |||||||
| |||||||
1 | with respect to such delivery sale and maintain evidence of | ||||||
2 | such payment unless the person is located outside the State and | ||||||
3 | includes a statement on the outside of the shipping package | ||||||
4 | stating: "Illinois law requires the payment of state taxes on | ||||||
5 | this shipment of cigarettes. You are legally responsible for | ||||||
6 | all applicable unpaid state taxes on these cigarettes." | ||||||
7 | (b) A statement meets the requirements of subsection (a) if | ||||||
8 | the statement is: | ||||||
9 | (1) clear and conspicuous; | ||||||
10 | (2) contained in a printed box set apart from the | ||||||
11 | shipping label and other markings
contained on the shipping | ||||||
12 | package; | ||||||
13 | (3) printed in bold, capital letters; | ||||||
14 | (4) printed with a degree of color contrast between the | ||||||
15 | background and the printed
statement that is no less than | ||||||
16 | the color contrast between the background and the largest | ||||||
17 | text used on the shipping label; and | ||||||
18 | (5) located on the same side of the shipping package as | ||||||
19 | the shipping label. | ||||||
20 | (720 ILCS 678/10)
| ||||||
21 | Sec. 10. Violation. | ||||||
22 | (a) A person who violates subsection (a), (b), or (c) of | ||||||
23 | Section 5 or Section, 6, 7, 8, or 9 is guilty of a Class A | ||||||
24 | misdemeanor. A second or subsequent violation of subsection | ||||||
25 | (a), (b), or (c) of Section 5 or Section, 6, 7, 8, or 9 is a |
| |||||||
| |||||||
1 | Class 4 felony.
| ||||||
2 | (b) The Department of Revenue shall impose a civil penalty | ||||||
3 | not to exceed $5,000 on any person who violates subsection (a), | ||||||
4 | (b), or (c) of Section 5 or Sections 6, 7, 8, or 9 . The | ||||||
5 | Department of Revenue shall impose a civil penalty not to | ||||||
6 | exceed $5,000 on any person engaged in the business of selling | ||||||
7 | cigarettes who ships or causes to be shipped any such | ||||||
8 | cigarettes to any person in this State in violation of | ||||||
9 | subsection (d) of Section 5.
| ||||||
10 | (c) All cigarettes sold or attempted to be sold in a | ||||||
11 | delivery sale that does not meet the requirements of this Act | ||||||
12 | shall be forfeited to the State. All cigarettes forfeited to | ||||||
13 | this State under this Act shall be destroyed. The Department | ||||||
14 | may, prior to any destruction of cigarettes, permit the true | ||||||
15 | holder of the trademark rights in the cigarette brand to | ||||||
16 | inspect such contraband cigarettes, in order to assist the | ||||||
17 | Department in any investigation regarding such cigarettes. | ||||||
18 | (d) (c) Any person aggrieved by any decision of the | ||||||
19 | Department of Revenue may, within 60 days after notice of that | ||||||
20 | decision, protest in writing and request a hearing. The | ||||||
21 | Department of Revenue shall give notice to the person of the | ||||||
22 | time and place for the hearing and shall hold a hearing before | ||||||
23 | it issues a final administrative decision. Absent a written | ||||||
24 | protest within 60 days, the Department's decision shall become | ||||||
25 | final without any further determination made or notice given.
| ||||||
26 | (Source: P.A. 93-960, eff. 8-20-04.) |
| |||||||
| |||||||
1 | (720 ILCS 678/20 new)
| ||||||
2 | Sec. 20. Tip line. | ||||||
3 | (a) Not later than 120 days after the effective date of | ||||||
4 | this amendatory Act of the 95th General Assembly, the | ||||||
5 | Department shall establish, publicize, and maintain a | ||||||
6 | toll-free telephone number to receive information related to | ||||||
7 | violations of this Act. | ||||||
8 | (b) The Attorney General may pay a reward of up to $5,000 | ||||||
9 | to any person who furnishes information leading to the | ||||||
10 | Department's collection of excise taxes imposed upon delivery | ||||||
11 | sales which otherwise would not have been collected but for the | ||||||
12 | information provided by the person. | ||||||
13 | (720 ILCS 678/25 new)
| ||||||
14 | Sec. 25. Construction. The requirements imposed by this Act | ||||||
15 | shall not apply where such application would be contrary to the | ||||||
16 | Constitution and laws of the United States. | ||||||
17 | (720 ILCS 678/30 new)
| ||||||
18 | Sec. 30. Severability. If any provision of this Act is for | ||||||
19 | any reason held to be unconstitutional or invalid, such holding | ||||||
20 | shall not affect the constitutionality or validity of the | ||||||
21 | remaining provisions of this Act, and to this end the | ||||||
22 | provisions of this Act are expressly declared to be severable.
|
| |||||||
| |||||||
1 | Section 99. Effective date. This Act takes effect upon | ||||||
2 | becoming law.".
|