98TH GENERAL ASSEMBLY
State of Illinois
2013 and 2014
HB5827
 
Introduced , by Rep. John D. Cavaletto
 
SYNOPSIS AS INTRODUCED:
 

 
410 ILCS 130/200

     Amends the Compassionate Use of Medical Cannabis Pilot Program Act. Imposes (1) an additional tax upon the
privilege of cultivating medical cannabis at the rate of 50% of the sales price per ounce, (2) a tax upon the privilege of dispensing medical cannabis at
a rate of 25% of the sales price per ounce, and (3) a tax upon the privilege of using medical cannabis at a rate of 15% of the sales price per ounce. Provides that proceeds from the taxes shall be deposited into the General Revenue Fund and specifies the manner in which the proceeds shall be used.
  


LRB098 18971 RPM 54119 b

FISCAL NOTE ACT MAY APPLY
 
 
A BILL FOR
 

  
HB5827LRB098 18971 RPM 54119 b


  
1    AN ACT concerning public health.
  
 
2    Be it enacted by the People of the State of Illinois,
 
3represented in the General Assembly:
  
 
 
4    Section 5. The Compassionate Use of Medical Cannabis Pilot 
5Program Act is amended  by changing Section 200 as follows:
 
6    (410 ILCS 130/200)
7    (Section scheduled to be repealed on January 1, 2018)

8    Sec. 200. Tax imposed.  
9    (a)  Beginning on the effective date of this Act, a tax is 
10imposed upon the privilege of cultivating medical cannabis at a 
11rate of 7% of the sales price per ounce.  The proceeds from this  
12tax shall be deposited into the Compassionate Use of Medical 
13Cannabis Fund created under the  Compassionate Use of Medical 
14Cannabis Pilot Program Act.  This tax shall be paid by a 
15cultivation center and is not the responsibility of a 
16dispensing organization or a qualifying patient.
17    (a-5) Beginning on the effective date of this amendatory 
18Act of the 98th General Assembly, an additional tax is imposed 
19upon the
privilege of cultivating medical cannabis at the rate 
20of 50% of the sales price per ounce. The proceeds
from this 50% 
21tax shall be deposited into the General Revenue Fund, and shall 
22be used in the
manner set forth in subsection (a-10) of this 
23Section.
 
 
HB5827- 2 -LRB098 18971 RPM 54119 b

1    A tax is imposed upon the privilege of dispensing medical 
2cannabis at
a rate of 25% of the sales price per ounce. The 
3proceeds from this tax shall be deposited into the General

4Revenue Fund, and shall be used in the manner set forth in 
5subsection (a-10) of this Section.
6    A tax is imposed
upon the privilege of using medical 
7cannabis at a rate of 15% of the sales price per ounce. The 
8proceeds
from this tax shall be deposited into the General 
9Revenue Fund, and shall be used in the
manner set forth in 
10subsection  (a-10) of this Section. 
11    (a-10) Proceeds from the taxes generated under subsection 
12(a-5) of this Section shall be deposited into the General 
13Revenue Fund. The proceeds shall be designated as follows:
14        (1) Thirty-five percent to pay outstanding pension 
15    obligations.
16        (2) Thirty-five percent to pay outstanding debt 
17    obligations of the State. Once outstanding debt 
18    obligations
are eliminated, the remaining proceeds from 
19    the 35% shall remain in the General
Revenue Fund.
20        (3) Thirty percent to be transferred into the 
21    Grandparents Custody Assistance Fund. 
22    (b)  The tax imposed under this Act shall be in addition to 
23all other occupation or privilege taxes imposed by the State of 
24Illinois or by any municipal corporation or political 
25subdivision thereof.

26(Source: P.A. 98-122, eff. 1-1-14.)