Illinois General Assembly - Full Text of HB4169
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Full Text of HB4169  102nd General Assembly

HB4169 102ND GENERAL ASSEMBLY

  
  

 


 
102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB4169

 

Introduced 10/19/2021, by Rep. Anthony DeLuca, Steven Reick, Daniel Didech, Jonathan Carroll and Seth Lewis

 

SYNOPSIS AS INTRODUCED:
 
30 ILCS 115/2  from Ch. 85, par. 612
35 ILCS 5/901

    Amends the Illinois Income Tax Act. Provides that an amount equal to the sum of (i) 8% of the net revenue realized from the tax imposed upon individuals, trusts, and estates and (ii) 9.11% of the net revenue realized from the tax imposed upon corporations shall be deposited into the Local Government Distributive Fund (currently, an amount equal to the sum of (i) 6.06% of the net revenue realized from the tax imposed upon individuals, trusts, and estates and (ii) 6.85% of the net revenue realized from the tax imposed upon corporations shall be deposited into the Local Government Distributive Fund). Amends the State Revenue Sharing Act to provide that amounts paid into the Local Government Distributive Fund are appropriated on a continuing basis. Effective July 1, 2022.


LRB102 20319 HLH 29521 b

FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB4169LRB102 20319 HLH 29521 b

1    AN ACT concerning revenue.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The State Revenue Sharing Act is amended by
5changing Section 2 as follows:
 
6    (30 ILCS 115/2)  (from Ch. 85, par. 612)
7    Sec. 2. Allocation and Disbursement.
8    (a) As soon as may be after the first day of each month,
9the Department of Revenue shall allocate among the several
10municipalities and counties of this State the amount available
11in the Local Government Distributive Fund and in the Income
12Tax Surcharge Local Government Distributive Fund, determined
13as provided in Sections 1 and 1a above. Except as provided in
14Sections 13 and 13.1 of this Act, the Department shall then
15certify such allocations to the State Comptroller, who shall
16pay over to the several municipalities and counties the
17respective amounts allocated to them. The amount of such Funds
18allocable to each such municipality and county shall be in
19proportion to the number of individual residents of such
20municipality or county to the total population of the State,
21determined in each case on the basis of the latest census of
22the State, municipality or county conducted by the Federal
23government and certified by the Secretary of State and for

 

 

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1annexations to municipalities, the latest Federal, State or
2municipal census of the annexed area which has been certified
3by the Department of Revenue. Allocations to the City of
4Chicago under this Section are subject to Section 6 of the
5Hotel Operators' Occupation Tax Act. For the purpose of this
6Section, the number of individual residents of a county shall
7be reduced by the number of individuals residing therein in
8municipalities, but the number of individual residents of the
9State, county and municipality shall reflect the latest census
10of any of them. The amounts transferred into the Local
11Government Distributive Fund pursuant to Section 9 of the Use
12Tax Act, Section 9 of the Service Use Tax Act, Section 9 of the
13Service Occupation Tax Act, and Section 3 of the Retailers'
14Occupation Tax Act, each as now or hereafter amended, pursuant
15to the amendments of such Sections by Public Act 85-1135,
16shall be distributed as provided in said Sections.
17    (b) It is the intent of the General Assembly that
18allocations made under this Section shall be made in a fair and
19equitable manner. Accordingly, the clerk of any municipality
20to which territory has been annexed, or from which territory
21has been disconnected, shall notify the Department of Revenue
22in writing of that annexation or disconnection and shall (1)
23state the number of residents within the territory that was
24annexed or disconnected, based on the last census conducted by
25the federal, State, or municipal government and certified by
26the Illinois Secretary of State, and (2) furnish therewith a

 

 

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1certified copy of the plat of annexation or, in the case of
2disconnection, the ordinance, final judgment, or resolution of
3disconnection together with an accurate depiction of the
4territory disconnected. The county in which the annexed or
5disconnected territory is located shall verify that the number
6of residents stated on the written notice that is to be sent to
7the Department of Revenue is true and accurate. The verified
8statement of the county shall accompany the written notice.
9However, if the county does not respond to the municipality's
10request for verification within 30 days, this verification
11requirement shall be waived. The written notice shall be
12provided to the Department of Revenue (1) within 30 days after
13the effective date of this amendatory Act of the 96th General
14Assembly for disconnections occurring after January 1, 2007
15and before the effective date of this amendatory Act of the
1696th General Assembly or (2) within 30 days after the
17annexation or disconnection for annexations or disconnections
18occurring on or after the effective date of this amendatory
19Act of the 96th General Assembly. For purposes of this
20Section, a disconnection or annexation through court order is
21deemed to be effective 30 days after the entry of a final
22judgment order, unless stayed pending appeal. Thereafter, the
23monthly allocation made to the municipality and to any other
24municipality or county affected by the annexation or
25disconnection shall be adjusted in accordance with this
26Section to reflect the change in residency of the residents of

 

 

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1the territory that was annexed or disconnected. The adjustment
2shall be made no later than 30 days after the Department of
3Revenue's receipt of the written notice of annexation or
4disconnection described in this Section.
5    (c) All amounts paid into the Local Government
6Distributive Fund in accordance with this Section and
7allocated pursuant to this Act are appropriated on a
8continuing basis.
9(Source: P.A. 96-1040, eff. 7-14-10.)
 
10    Section 10. The Illinois Income Tax Act is amended by
11changing Section 901 as follows:
 
12    (35 ILCS 5/901)
13    (Text of Section without the changes made by P.A. 101-8,
14which did not take effect (see Section 99 of P.A. 101-8))
15    Sec. 901. Collection authority.
16    (a) In general. The Department shall collect the taxes
17imposed by this Act. The Department shall collect certified
18past due child support amounts under Section 2505-650 of the
19Department of Revenue Law of the Civil Administrative Code of
20Illinois. Except as provided in subsections (b), (c), (e),
21(f), (g), and (h) of this Section, money collected pursuant to
22subsections (a) and (b) of Section 201 of this Act shall be
23paid into the General Revenue Fund in the State treasury;
24money collected pursuant to subsections (c) and (d) of Section

 

 

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1201 of this Act shall be paid into the Personal Property Tax
2Replacement Fund, a special fund in the State Treasury; and
3money collected under Section 2505-650 of the Department of
4Revenue Law of the Civil Administrative Code of Illinois shall
5be paid into the Child Support Enforcement Trust Fund, a
6special fund outside the State Treasury, or to the State
7Disbursement Unit established under Section 10-26 of the
8Illinois Public Aid Code, as directed by the Department of
9Healthcare and Family Services.
10    (b) Local Government Distributive Fund. Beginning August
111, 2017 and continuing through June 30, 2022, the Treasurer
12shall transfer each month from the General Revenue Fund to the
13Local Government Distributive Fund an amount equal to the sum
14of (i) 6.06% (10% of the ratio of the 3% individual income tax
15rate prior to 2011 to the 4.95% individual income tax rate
16after July 1, 2017) of the net revenue realized from the tax
17imposed by subsections (a) and (b) of Section 201 of this Act
18upon individuals, trusts, and estates during the preceding
19month and (ii) 6.85% (10% of the ratio of the 4.8% corporate
20income tax rate prior to 2011 to the 7% corporate income tax
21rate after July 1, 2017) of the net revenue realized from the
22tax imposed by subsections (a) and (b) of Section 201 of this
23Act upon corporations during the preceding month. Beginning
24July 1, 2022, an amount equal to the sum of (i) 8% (13.3% of
25the ratio of the 3% individual income tax rate prior to 2011 to
26the 4.95% individual income tax rate after July 1, 2017) of the

 

 

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1net revenue realized from the tax imposed by subsections (a)
2and (b) of Section 201 of this Act upon individuals, trusts,
3and estates and (ii) 9.11% (13.3% of the ratio of the 4.8%
4corporate income tax rate prior to 2011 to the 7% corporate
5income tax rate after July 1, 2017) of the net revenue realized
6from the tax imposed by subsections (a) and (b) of Section 201
7of this Act upon corporations shall be deposited into the
8Local Government Distributive Fund. Net revenue realized for a
9month shall be defined as the revenue from the tax imposed by
10subsections (a) and (b) of Section 201 of this Act which is
11deposited in the General Revenue Fund, the Education
12Assistance Fund, the Income Tax Surcharge Local Government
13Distributive Fund, the Fund for the Advancement of Education,
14and the Commitment to Human Services Fund during the month
15minus the amount paid out of the General Revenue Fund in State
16warrants during that same month as refunds to taxpayers for
17overpayment of liability under the tax imposed by subsections
18(a) and (b) of Section 201 of this Act.
19    Notwithstanding any provision of law to the contrary,
20beginning on July 6, 2017 (the effective date of Public Act
21100-23), those amounts required under this subsection (b) to
22be transferred by the Treasurer into the Local Government
23Distributive Fund from the General Revenue Fund shall be
24directly deposited into the Local Government Distributive Fund
25as the revenue is realized from the tax imposed by subsections
26(a) and (b) of Section 201 of this Act.

 

 

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1    For State fiscal year 2020 only, notwithstanding any
2provision of law to the contrary, the total amount of revenue
3and deposits under this Section attributable to revenues
4realized during State fiscal year 2020 shall be reduced by 5%.
5    (c) Deposits Into Income Tax Refund Fund.
6        (1) Beginning on January 1, 1989 and thereafter, the
7    Department shall deposit a percentage of the amounts
8    collected pursuant to subsections (a) and (b)(1), (2), and
9    (3) of Section 201 of this Act into a fund in the State
10    treasury known as the Income Tax Refund Fund. Beginning
11    with State fiscal year 1990 and for each fiscal year
12    thereafter, the percentage deposited into the Income Tax
13    Refund Fund during a fiscal year shall be the Annual
14    Percentage. For fiscal year 2011, the Annual Percentage
15    shall be 8.75%. For fiscal year 2012, the Annual
16    Percentage shall be 8.75%. For fiscal year 2013, the
17    Annual Percentage shall be 9.75%. For fiscal year 2014,
18    the Annual Percentage shall be 9.5%. For fiscal year 2015,
19    the Annual Percentage shall be 10%. For fiscal year 2018,
20    the Annual Percentage shall be 9.8%. For fiscal year 2019,
21    the Annual Percentage shall be 9.7%. For fiscal year 2020,
22    the Annual Percentage shall be 9.5%. For fiscal year 2021,
23    the Annual Percentage shall be 9%. For all other fiscal
24    years, the Annual Percentage shall be calculated as a
25    fraction, the numerator of which shall be the amount of
26    refunds approved for payment by the Department during the

 

 

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1    preceding fiscal year as a result of overpayment of tax
2    liability under subsections (a) and (b)(1), (2), and (3)
3    of Section 201 of this Act plus the amount of such refunds
4    remaining approved but unpaid at the end of the preceding
5    fiscal year, minus the amounts transferred into the Income
6    Tax Refund Fund from the Tobacco Settlement Recovery Fund,
7    and the denominator of which shall be the amounts which
8    will be collected pursuant to subsections (a) and (b)(1),
9    (2), and (3) of Section 201 of this Act during the
10    preceding fiscal year; except that in State fiscal year
11    2002, the Annual Percentage shall in no event exceed 7.6%.
12    The Director of Revenue shall certify the Annual
13    Percentage to the Comptroller on the last business day of
14    the fiscal year immediately preceding the fiscal year for
15    which it is to be effective.
16        (2) Beginning on January 1, 1989 and thereafter, the
17    Department shall deposit a percentage of the amounts
18    collected pursuant to subsections (a) and (b)(6), (7), and
19    (8), (c) and (d) of Section 201 of this Act into a fund in
20    the State treasury known as the Income Tax Refund Fund.
21    Beginning with State fiscal year 1990 and for each fiscal
22    year thereafter, the percentage deposited into the Income
23    Tax Refund Fund during a fiscal year shall be the Annual
24    Percentage. For fiscal year 2011, the Annual Percentage
25    shall be 17.5%. For fiscal year 2012, the Annual
26    Percentage shall be 17.5%. For fiscal year 2013, the

 

 

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1    Annual Percentage shall be 14%. For fiscal year 2014, the
2    Annual Percentage shall be 13.4%. For fiscal year 2015,
3    the Annual Percentage shall be 14%. For fiscal year 2018,
4    the Annual Percentage shall be 17.5%. For fiscal year
5    2019, the Annual Percentage shall be 15.5%. For fiscal
6    year 2020, the Annual Percentage shall be 14.25%. For
7    fiscal year 2021, the Annual Percentage shall be 14%. For
8    all other fiscal years, the Annual Percentage shall be
9    calculated as a fraction, the numerator of which shall be
10    the amount of refunds approved for payment by the
11    Department during the preceding fiscal year as a result of
12    overpayment of tax liability under subsections (a) and
13    (b)(6), (7), and (8), (c) and (d) of Section 201 of this
14    Act plus the amount of such refunds remaining approved but
15    unpaid at the end of the preceding fiscal year, and the
16    denominator of which shall be the amounts which will be
17    collected pursuant to subsections (a) and (b)(6), (7), and
18    (8), (c) and (d) of Section 201 of this Act during the
19    preceding fiscal year; except that in State fiscal year
20    2002, the Annual Percentage shall in no event exceed 23%.
21    The Director of Revenue shall certify the Annual
22    Percentage to the Comptroller on the last business day of
23    the fiscal year immediately preceding the fiscal year for
24    which it is to be effective.
25        (3) The Comptroller shall order transferred and the
26    Treasurer shall transfer from the Tobacco Settlement

 

 

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1    Recovery Fund to the Income Tax Refund Fund (i)
2    $35,000,000 in January, 2001, (ii) $35,000,000 in January,
3    2002, and (iii) $35,000,000 in January, 2003.
4    (d) Expenditures from Income Tax Refund Fund.
5        (1) Beginning January 1, 1989, money in the Income Tax
6    Refund Fund shall be expended exclusively for the purpose
7    of paying refunds resulting from overpayment of tax
8    liability under Section 201 of this Act and for making
9    transfers pursuant to this subsection (d).
10        (2) The Director shall order payment of refunds
11    resulting from overpayment of tax liability under Section
12    201 of this Act from the Income Tax Refund Fund only to the
13    extent that amounts collected pursuant to Section 201 of
14    this Act and transfers pursuant to this subsection (d) and
15    item (3) of subsection (c) have been deposited and
16    retained in the Fund.
17        (3) As soon as possible after the end of each fiscal
18    year, the Director shall order transferred and the State
19    Treasurer and State Comptroller shall transfer from the
20    Income Tax Refund Fund to the Personal Property Tax
21    Replacement Fund an amount, certified by the Director to
22    the Comptroller, equal to the excess of the amount
23    collected pursuant to subsections (c) and (d) of Section
24    201 of this Act deposited into the Income Tax Refund Fund
25    during the fiscal year over the amount of refunds
26    resulting from overpayment of tax liability under

 

 

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1    subsections (c) and (d) of Section 201 of this Act paid
2    from the Income Tax Refund Fund during the fiscal year.
3        (4) As soon as possible after the end of each fiscal
4    year, the Director shall order transferred and the State
5    Treasurer and State Comptroller shall transfer from the
6    Personal Property Tax Replacement Fund to the Income Tax
7    Refund Fund an amount, certified by the Director to the
8    Comptroller, equal to the excess of the amount of refunds
9    resulting from overpayment of tax liability under
10    subsections (c) and (d) of Section 201 of this Act paid
11    from the Income Tax Refund Fund during the fiscal year
12    over the amount collected pursuant to subsections (c) and
13    (d) of Section 201 of this Act deposited into the Income
14    Tax Refund Fund during the fiscal year.
15        (4.5) As soon as possible after the end of fiscal year
16    1999 and of each fiscal year thereafter, the Director
17    shall order transferred and the State Treasurer and State
18    Comptroller shall transfer from the Income Tax Refund Fund
19    to the General Revenue Fund any surplus remaining in the
20    Income Tax Refund Fund as of the end of such fiscal year;
21    excluding for fiscal years 2000, 2001, and 2002 amounts
22    attributable to transfers under item (3) of subsection (c)
23    less refunds resulting from the earned income tax credit.
24        (5) This Act shall constitute an irrevocable and
25    continuing appropriation from the Income Tax Refund Fund
26    for the purpose of paying refunds upon the order of the

 

 

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1    Director in accordance with the provisions of this
2    Section.
3    (e) Deposits into the Education Assistance Fund and the
4Income Tax Surcharge Local Government Distributive Fund. On
5July 1, 1991, and thereafter, of the amounts collected
6pursuant to subsections (a) and (b) of Section 201 of this Act,
7minus deposits into the Income Tax Refund Fund, the Department
8shall deposit 7.3% into the Education Assistance Fund in the
9State Treasury. Beginning July 1, 1991, and continuing through
10January 31, 1993, of the amounts collected pursuant to
11subsections (a) and (b) of Section 201 of the Illinois Income
12Tax Act, minus deposits into the Income Tax Refund Fund, the
13Department shall deposit 3.0% into the Income Tax Surcharge
14Local Government Distributive Fund in the State Treasury.
15Beginning February 1, 1993 and continuing through June 30,
161993, of the amounts collected pursuant to subsections (a) and
17(b) of Section 201 of the Illinois Income Tax Act, minus
18deposits into the Income Tax Refund Fund, the Department shall
19deposit 4.4% into the Income Tax Surcharge Local Government
20Distributive Fund in the State Treasury. Beginning July 1,
211993, and continuing through June 30, 1994, of the amounts
22collected under subsections (a) and (b) of Section 201 of this
23Act, minus deposits into the Income Tax Refund Fund, the
24Department shall deposit 1.475% into the Income Tax Surcharge
25Local Government Distributive Fund in the State Treasury.
26    (f) Deposits into the Fund for the Advancement of

 

 

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1Education. Beginning February 1, 2015, the Department shall
2deposit the following portions of the revenue realized from
3the tax imposed upon individuals, trusts, and estates by
4subsections (a) and (b) of Section 201 of this Act, minus
5deposits into the Income Tax Refund Fund, into the Fund for the
6Advancement of Education:
7        (1) beginning February 1, 2015, and prior to February
8    1, 2025, 1/30; and
9        (2) beginning February 1, 2025, 1/26.
10    If the rate of tax imposed by subsection (a) and (b) of
11Section 201 is reduced pursuant to Section 201.5 of this Act,
12the Department shall not make the deposits required by this
13subsection (f) on or after the effective date of the
14reduction.
15    (g) Deposits into the Commitment to Human Services Fund.
16Beginning February 1, 2015, the Department shall deposit the
17following portions of the revenue realized from the tax
18imposed upon individuals, trusts, and estates by subsections
19(a) and (b) of Section 201 of this Act, minus deposits into the
20Income Tax Refund Fund, into the Commitment to Human Services
21Fund:
22        (1) beginning February 1, 2015, and prior to February
23    1, 2025, 1/30; and
24        (2) beginning February 1, 2025, 1/26.
25    If the rate of tax imposed by subsection (a) and (b) of
26Section 201 is reduced pursuant to Section 201.5 of this Act,

 

 

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1the Department shall not make the deposits required by this
2subsection (g) on or after the effective date of the
3reduction.
4    (h) Deposits into the Tax Compliance and Administration
5Fund. Beginning on the first day of the first calendar month to
6occur on or after August 26, 2014 (the effective date of Public
7Act 98-1098), each month the Department shall pay into the Tax
8Compliance and Administration Fund, to be used, subject to
9appropriation, to fund additional auditors and compliance
10personnel at the Department, an amount equal to 1/12 of 5% of
11the cash receipts collected during the preceding fiscal year
12by the Audit Bureau of the Department from the tax imposed by
13subsections (a), (b), (c), and (d) of Section 201 of this Act,
14net of deposits into the Income Tax Refund Fund made from those
15cash receipts.
16(Source: P.A. 100-22, eff. 7-6-17; 100-23, eff. 7-6-17;
17100-587, eff. 6-4-18; 100-621, eff. 7-20-18; 100-863, eff.
188-14-18; 100-1171, eff. 1-4-19; 101-10, eff. 6-5-19; 101-81,
19eff. 7-12-19; 101-636, eff. 6-10-20.)
 
20    (Text of Section with the changes made by P.A. 101-8,
21which did not take effect (see Section 99 of P.A. 101-8))
22    Sec. 901. Collection authority.
23    (a) In general. The Department shall collect the taxes
24imposed by this Act. The Department shall collect certified
25past due child support amounts under Section 2505-650 of the

 

 

HB4169- 15 -LRB102 20319 HLH 29521 b

1Department of Revenue Law of the Civil Administrative Code of
2Illinois. Except as provided in subsections (b), (c), (e),
3(f), (g), and (h) of this Section, money collected pursuant to
4subsections (a) and (b) of Section 201 of this Act shall be
5paid into the General Revenue Fund in the State treasury;
6money collected pursuant to subsections (c) and (d) of Section
7201 of this Act shall be paid into the Personal Property Tax
8Replacement Fund, a special fund in the State Treasury; and
9money collected under Section 2505-650 of the Department of
10Revenue Law of the Civil Administrative Code of Illinois shall
11be paid into the Child Support Enforcement Trust Fund, a
12special fund outside the State Treasury, or to the State
13Disbursement Unit established under Section 10-26 of the
14Illinois Public Aid Code, as directed by the Department of
15Healthcare and Family Services.
16    (b) Local Government Distributive Fund. Beginning August
171, 2017 and continuing through June 30, 2022 January 31, 2021,
18the Treasurer shall transfer each month from the General
19Revenue Fund to the Local Government Distributive Fund an
20amount equal to the sum of (i) 6.06% (10% of the ratio of the
213% individual income tax rate prior to 2011 to the 4.95%
22individual income tax rate after July 1, 2017) of the net
23revenue realized from the tax imposed by subsections (a) and
24(b) of Section 201 of this Act upon individuals, trusts, and
25estates during the preceding month and (ii) 6.85% (10% of the
26ratio of the 4.8% corporate income tax rate prior to 2011 to

 

 

HB4169- 16 -LRB102 20319 HLH 29521 b

1the 7% corporate income tax rate after July 1, 2017) of the net
2revenue realized from the tax imposed by subsections (a) and
3(b) of Section 201 of this Act upon corporations during the
4preceding month. Beginning July 1, 2022, an amount equal to
5the sum of (i) 8% (13.3% of the ratio of the 3% individual
6income tax rate prior to 2011 to the 4.95% individual income
7tax rate after July 1, 2017) of the net revenue realized from
8the tax imposed by subsections (a) and (b) of Section 201 of
9this Act upon individuals, trusts, and estates and (ii) 9.11%
10(13.3% of the ratio of the 4.8% corporate income tax rate prior
11to 2011 to the 7% corporate income tax rate after July 1, 2017)
12of the net revenue realized from the tax imposed by
13subsections (a) and (b) of Section 201 of this Act upon
14corporations shall be deposited into the Local Government
15Distributive Fund. Beginning February 1, 2021, the Treasurer
16shall transfer each month from the General Revenue Fund to the
17Local Government Distributive Fund an amount equal to the sum
18of (i) 5.32% of the net revenue realized from the tax imposed
19by subsections (a) and (b) of Section 201 of this Act upon
20individuals, trusts, and estates during the preceding month
21and (ii) 6.16% of the net revenue realized from the tax imposed
22by subsections (a) and (b) of Section 201 of this Act upon
23corporations during the preceding month. Net revenue realized
24for a month shall be defined as the revenue from the tax
25imposed by subsections (a) and (b) of Section 201 of this Act
26which is deposited in the General Revenue Fund, the Education

 

 

HB4169- 17 -LRB102 20319 HLH 29521 b

1Assistance Fund, the Income Tax Surcharge Local Government
2Distributive Fund, the Fund for the Advancement of Education,
3and the Commitment to Human Services Fund during the month
4minus the amount paid out of the General Revenue Fund in State
5warrants during that same month as refunds to taxpayers for
6overpayment of liability under the tax imposed by subsections
7(a) and (b) of Section 201 of this Act.
8    Notwithstanding any provision of law to the contrary,
9beginning on July 6, 2017 (the effective date of Public Act
10100-23), those amounts required under this subsection (b) to
11be transferred by the Treasurer into the Local Government
12Distributive Fund from the General Revenue Fund shall be
13directly deposited into the Local Government Distributive Fund
14as the revenue is realized from the tax imposed by subsections
15(a) and (b) of Section 201 of this Act.
16    For State fiscal year 2020 only, notwithstanding any
17provision of law to the contrary, the total amount of revenue
18and deposits under this Section attributable to revenues
19realized during State fiscal year 2020 shall be reduced by 5%.
20    (c) Deposits Into Income Tax Refund Fund.
21        (1) Beginning on January 1, 1989 and thereafter, the
22    Department shall deposit a percentage of the amounts
23    collected pursuant to subsections (a) and (b)(1), (2), and
24    (3) of Section 201 of this Act into a fund in the State
25    treasury known as the Income Tax Refund Fund. Beginning
26    with State fiscal year 1990 and for each fiscal year

 

 

HB4169- 18 -LRB102 20319 HLH 29521 b

1    thereafter, the percentage deposited into the Income Tax
2    Refund Fund during a fiscal year shall be the Annual
3    Percentage. For fiscal year 2011, the Annual Percentage
4    shall be 8.75%. For fiscal year 2012, the Annual
5    Percentage shall be 8.75%. For fiscal year 2013, the
6    Annual Percentage shall be 9.75%. For fiscal year 2014,
7    the Annual Percentage shall be 9.5%. For fiscal year 2015,
8    the Annual Percentage shall be 10%. For fiscal year 2018,
9    the Annual Percentage shall be 9.8%. For fiscal year 2019,
10    the Annual Percentage shall be 9.7%. For fiscal year 2020,
11    the Annual Percentage shall be 9.5%. For fiscal year 2021,
12    the Annual Percentage shall be 9%. For all other fiscal
13    years, the Annual Percentage shall be calculated as a
14    fraction, the numerator of which shall be the amount of
15    refunds approved for payment by the Department during the
16    preceding fiscal year as a result of overpayment of tax
17    liability under subsections (a) and (b)(1), (2), and (3)
18    of Section 201 of this Act plus the amount of such refunds
19    remaining approved but unpaid at the end of the preceding
20    fiscal year, minus the amounts transferred into the Income
21    Tax Refund Fund from the Tobacco Settlement Recovery Fund,
22    and the denominator of which shall be the amounts which
23    will be collected pursuant to subsections (a) and (b)(1),
24    (2), and (3) of Section 201 of this Act during the
25    preceding fiscal year; except that in State fiscal year
26    2002, the Annual Percentage shall in no event exceed 7.6%.

 

 

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1    The Director of Revenue shall certify the Annual
2    Percentage to the Comptroller on the last business day of
3    the fiscal year immediately preceding the fiscal year for
4    which it is to be effective.
5        (2) Beginning on January 1, 1989 and thereafter, the
6    Department shall deposit a percentage of the amounts
7    collected pursuant to subsections (a) and (b)(6), (7), and
8    (8), (c) and (d) of Section 201 of this Act into a fund in
9    the State treasury known as the Income Tax Refund Fund.
10    Beginning with State fiscal year 1990 and for each fiscal
11    year thereafter, the percentage deposited into the Income
12    Tax Refund Fund during a fiscal year shall be the Annual
13    Percentage. For fiscal year 2011, the Annual Percentage
14    shall be 17.5%. For fiscal year 2012, the Annual
15    Percentage shall be 17.5%. For fiscal year 2013, the
16    Annual Percentage shall be 14%. For fiscal year 2014, the
17    Annual Percentage shall be 13.4%. For fiscal year 2015,
18    the Annual Percentage shall be 14%. For fiscal year 2018,
19    the Annual Percentage shall be 17.5%. For fiscal year
20    2019, the Annual Percentage shall be 15.5%. For fiscal
21    year 2020, the Annual Percentage shall be 14.25%. For
22    fiscal year 2021, the Annual Percentage shall be 14%. For
23    all other fiscal years, the Annual Percentage shall be
24    calculated as a fraction, the numerator of which shall be
25    the amount of refunds approved for payment by the
26    Department during the preceding fiscal year as a result of

 

 

HB4169- 20 -LRB102 20319 HLH 29521 b

1    overpayment of tax liability under subsections (a) and
2    (b)(6), (7), and (8), (c) and (d) of Section 201 of this
3    Act plus the amount of such refunds remaining approved but
4    unpaid at the end of the preceding fiscal year, and the
5    denominator of which shall be the amounts which will be
6    collected pursuant to subsections (a) and (b)(6), (7), and
7    (8), (c) and (d) of Section 201 of this Act during the
8    preceding fiscal year; except that in State fiscal year
9    2002, the Annual Percentage shall in no event exceed 23%.
10    The Director of Revenue shall certify the Annual
11    Percentage to the Comptroller on the last business day of
12    the fiscal year immediately preceding the fiscal year for
13    which it is to be effective.
14        (3) The Comptroller shall order transferred and the
15    Treasurer shall transfer from the Tobacco Settlement
16    Recovery Fund to the Income Tax Refund Fund (i)
17    $35,000,000 in January, 2001, (ii) $35,000,000 in January,
18    2002, and (iii) $35,000,000 in January, 2003.
19    (d) Expenditures from Income Tax Refund Fund.
20        (1) Beginning January 1, 1989, money in the Income Tax
21    Refund Fund shall be expended exclusively for the purpose
22    of paying refunds resulting from overpayment of tax
23    liability under Section 201 of this Act and for making
24    transfers pursuant to this subsection (d).
25        (2) The Director shall order payment of refunds
26    resulting from overpayment of tax liability under Section

 

 

HB4169- 21 -LRB102 20319 HLH 29521 b

1    201 of this Act from the Income Tax Refund Fund only to the
2    extent that amounts collected pursuant to Section 201 of
3    this Act and transfers pursuant to this subsection (d) and
4    item (3) of subsection (c) have been deposited and
5    retained in the Fund.
6        (3) As soon as possible after the end of each fiscal
7    year, the Director shall order transferred and the State
8    Treasurer and State Comptroller shall transfer from the
9    Income Tax Refund Fund to the Personal Property Tax
10    Replacement Fund an amount, certified by the Director to
11    the Comptroller, equal to the excess of the amount
12    collected pursuant to subsections (c) and (d) of Section
13    201 of this Act deposited into the Income Tax Refund Fund
14    during the fiscal year over the amount of refunds
15    resulting from overpayment of tax liability under
16    subsections (c) and (d) of Section 201 of this Act paid
17    from the Income Tax Refund Fund during the fiscal year.
18        (4) As soon as possible after the end of each fiscal
19    year, the Director shall order transferred and the State
20    Treasurer and State Comptroller shall transfer from the
21    Personal Property Tax Replacement Fund to the Income Tax
22    Refund Fund an amount, certified by the Director to the
23    Comptroller, equal to the excess of the amount of refunds
24    resulting from overpayment of tax liability under
25    subsections (c) and (d) of Section 201 of this Act paid
26    from the Income Tax Refund Fund during the fiscal year

 

 

HB4169- 22 -LRB102 20319 HLH 29521 b

1    over the amount collected pursuant to subsections (c) and
2    (d) of Section 201 of this Act deposited into the Income
3    Tax Refund Fund during the fiscal year.
4        (4.5) As soon as possible after the end of fiscal year
5    1999 and of each fiscal year thereafter, the Director
6    shall order transferred and the State Treasurer and State
7    Comptroller shall transfer from the Income Tax Refund Fund
8    to the General Revenue Fund any surplus remaining in the
9    Income Tax Refund Fund as of the end of such fiscal year;
10    excluding for fiscal years 2000, 2001, and 2002 amounts
11    attributable to transfers under item (3) of subsection (c)
12    less refunds resulting from the earned income tax credit.
13        (5) This Act shall constitute an irrevocable and
14    continuing appropriation from the Income Tax Refund Fund
15    for the purpose of paying refunds upon the order of the
16    Director in accordance with the provisions of this
17    Section.
18    (e) Deposits into the Education Assistance Fund and the
19Income Tax Surcharge Local Government Distributive Fund. On
20July 1, 1991, and thereafter, of the amounts collected
21pursuant to subsections (a) and (b) of Section 201 of this Act,
22minus deposits into the Income Tax Refund Fund, the Department
23shall deposit 7.3% into the Education Assistance Fund in the
24State Treasury. Beginning July 1, 1991, and continuing through
25January 31, 1993, of the amounts collected pursuant to
26subsections (a) and (b) of Section 201 of the Illinois Income

 

 

HB4169- 23 -LRB102 20319 HLH 29521 b

1Tax Act, minus deposits into the Income Tax Refund Fund, the
2Department shall deposit 3.0% into the Income Tax Surcharge
3Local Government Distributive Fund in the State Treasury.
4Beginning February 1, 1993 and continuing through June 30,
51993, of the amounts collected pursuant to subsections (a) and
6(b) of Section 201 of the Illinois Income Tax Act, minus
7deposits into the Income Tax Refund Fund, the Department shall
8deposit 4.4% into the Income Tax Surcharge Local Government
9Distributive Fund in the State Treasury. Beginning July 1,
101993, and continuing through June 30, 1994, of the amounts
11collected under subsections (a) and (b) of Section 201 of this
12Act, minus deposits into the Income Tax Refund Fund, the
13Department shall deposit 1.475% into the Income Tax Surcharge
14Local Government Distributive Fund in the State Treasury.
15    (f) Deposits into the Fund for the Advancement of
16Education. Beginning February 1, 2015, the Department shall
17deposit the following portions of the revenue realized from
18the tax imposed upon individuals, trusts, and estates by
19subsections (a) and (b) of Section 201 of this Act, minus
20deposits into the Income Tax Refund Fund, into the Fund for the
21Advancement of Education:
22        (1) beginning February 1, 2015, and prior to February
23    1, 2025, 1/30; and
24        (2) beginning February 1, 2025, 1/26.
25    If the rate of tax imposed by subsection (a) and (b) of
26Section 201 is reduced pursuant to Section 201.5 of this Act,

 

 

HB4169- 24 -LRB102 20319 HLH 29521 b

1the Department shall not make the deposits required by this
2subsection (f) on or after the effective date of the
3reduction.
4    (g) Deposits into the Commitment to Human Services Fund.
5Beginning February 1, 2015, the Department shall deposit the
6following portions of the revenue realized from the tax
7imposed upon individuals, trusts, and estates by subsections
8(a) and (b) of Section 201 of this Act, minus deposits into the
9Income Tax Refund Fund, into the Commitment to Human Services
10Fund:
11        (1) beginning February 1, 2015, and prior to February
12    1, 2025, 1/30; and
13        (2) beginning February 1, 2025, 1/26.
14    If the rate of tax imposed by subsection (a) and (b) of
15Section 201 is reduced pursuant to Section 201.5 of this Act,
16the Department shall not make the deposits required by this
17subsection (g) on or after the effective date of the
18reduction.
19    (h) Deposits into the Tax Compliance and Administration
20Fund. Beginning on the first day of the first calendar month to
21occur on or after August 26, 2014 (the effective date of Public
22Act 98-1098), each month the Department shall pay into the Tax
23Compliance and Administration Fund, to be used, subject to
24appropriation, to fund additional auditors and compliance
25personnel at the Department, an amount equal to 1/12 of 5% of
26the cash receipts collected during the preceding fiscal year

 

 

HB4169- 25 -LRB102 20319 HLH 29521 b

1by the Audit Bureau of the Department from the tax imposed by
2subsections (a), (b), (c), and (d) of Section 201 of this Act,
3net of deposits into the Income Tax Refund Fund made from those
4cash receipts.
5(Source: P.A. 100-22, eff. 7-6-17; 100-23, eff. 7-6-17;
6100-587, eff. 6-4-18; 100-621, eff. 7-20-18; 100-863, eff.
78-14-18; 100-1171, eff. 1-4-19; 101-8, see Section 99 for
8effective date; 101-10, eff. 6-5-19; 101-81, eff. 7-12-19;
9101-636, eff. 6-10-20.)
 
10    Section 95. No acceleration or delay. Where this Act makes
11changes in a statute that is represented in this Act by text
12that is not yet or no longer in effect (for example, a Section
13represented by multiple versions), the use of that text does
14not accelerate or delay the taking effect of (i) the changes
15made by this Act or (ii) provisions derived from any other
16Public Act.
 
17    Section 99. Effective date. This Act takes effect July 1,
182022.