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90_HB0581ccr001
LRB9001527KDpcccr
1 90TH GENERAL ASSEMBLY
2 CONFERENCE COMMITTEE REPORT
3 ON HOUSE BILL 581
4 -------------------------------------------------------------
5 -------------------------------------------------------------
6 To the President of the Senate and the Speaker of the
7 House of Representatives:
8 We, the conference committee appointed to consider the
9 differences between the houses in relation to Senate
10 Amendment No. 1 to House Bill 581, recommend the following:
11 (1) that the Senate recede from Senate Amendment No. 1;
12 and
13 (2) that House Bill 581 be amended by replacing the
14 title with the following:
15 "AN ACT in relation to taxes."; and
16 by replacing everything after the enacting clause with the
17 following:
18 "Section 3. The Civil Administrative Code of Illinois is
19 amended by changing Section 39b51 as follows:
20 (20 ILCS 2505/39b51)
21 Sec. 39b51. Jobs Impact Committee and report. With
22 respect to the credits provided for by Sections 209 and 210
23 of the Illinois Income Tax Act, Section 3-50 of the Use Tax
24 Act, Section 2 of the Service Use Tax Act, Section 2 of the
25 Service Occupation Tax Act, and Section 2-45 of the
26 Retailers' Occupation Tax Act, there is hereby created a Jobs
27 Impact Committee which shall consist of the Director of the
28 Department of Revenue or such person or persons as he may
29 designate, and such representative or representatives as
30 shall be designated to serve on the Committee by the
31 Department of Commerce and Community Affairs, the Bureau of
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1 the Budget, and the Economic and Fiscal Commission. The
2 Committee, so assembled, shall invite and appoint 2 members
3 of the businesses that are eligible for the credits provided
4 by those Sections. The Committee shall study the use and
5 effectiveness of these credits with regard to job creation
6 relative to the revenue loss to the State from the provision
7 of these credits. The Director of the Department of Revenue
8 shall, on behalf of the Committee, submit the Committee's
9 report to the General Assembly on or before June 30, 1998
10 June 30, 1997.
11 (Source: P.A. 88-505.)
12 Section 5. The State Finance Act is amended by changing
13 Sections 5.122 and 6p-4 as follows:
14 (30 ILCS 105/5.122) (from Ch. 127, par. 141.122)
15 Sec. 5.122. The Senior Citizens and Disabled Persons
16 Real Estate Deferred Tax Revolving Fund.
17 (Source: P.A. 83-1362.)
18 (30 ILCS 105/6p-4) (from Ch. 127, par. 142p4)
19 Sec. 6p-4. Senior Citizens and Disabled Persons Real
20 Estate Deferred Tax Revolving Fund. As soon as possible
21 after the effective date of the Senior Citizens Real Estate
22 Tax Deferral Act, the sum of $330,000 shall be transferred
23 from the State Lottery Fund to the Senior Citizens Real
24 Estate Deferred Tax Revolving Fund by the Comptroller and the
25 State Treasurer. Additional funds, as may be necessary, may
26 be appropriated from the General Revenue Fund. Thereafter
27 All moneys received by the Department of Revenue in payment
28 of deferred taxes and accrued interest, under Section 7 of
29 the Senior Citizens and Disabled Persons Real Estate Tax
30 Deferral Act, shall be paid into the Senior Citizens and
31 Disabled Persons Real Estate Deferred Tax Revolving Fund.
32 Appropriations from the Senior Citizens and Disabled Persons
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1 Real Estate Deferred Tax Revolving Fund shall only be made to
2 the Department of Revenue for making payments to county
3 collectors as provided in the Senior Citizens and Disabled
4 Persons Real Estate Tax Deferral Act.
5 (Source: P.A. 83-1362.)
6 Section 10. The Use Tax Act is amended by changing
7 Sections 3-5 and 3-55 as follows:
8 (35 ILCS 105/3-5) (from Ch. 120, par. 439.3-5)
9 Sec. 3-5. Exemptions. Use of the following tangible
10 personal property is exempt from the tax imposed by this Act:
11 (1) Personal property purchased from a corporation,
12 society, association, foundation, institution, or
13 organization, other than a limited liability company, that is
14 organized and operated as a not-for-profit service enterprise
15 for the benefit of persons 65 years of age or older if the
16 personal property was not purchased by the enterprise for the
17 purpose of resale by the enterprise.
18 (2) Personal property purchased by a not-for-profit
19 Illinois county fair association for use in conducting,
20 operating, or promoting the county fair.
21 (3) Personal property purchased by a not-for-profit
22 music or dramatic arts organization that establishes, by
23 proof required by the Department by rule, that it has
24 received an exemption under Section 501(c)(3) of the Internal
25 Revenue Code and that is organized and operated for the
26 presentation of live public performances of musical or
27 theatrical works on a regular basis.
28 (4) Personal property purchased by a governmental body,
29 by a corporation, society, association, foundation, or
30 institution organized and operated exclusively for
31 charitable, religious, or educational purposes, or by a
32 not-for-profit corporation, society, association, foundation,
33 institution, or organization that has no compensated officers
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1 or employees and that is organized and operated primarily for
2 the recreation of persons 55 years of age or older. A limited
3 liability company may qualify for the exemption under this
4 paragraph only if the limited liability company is organized
5 and operated exclusively for educational purposes. On and
6 after July 1, 1987, however, no entity otherwise eligible for
7 this exemption shall make tax-free purchases unless it has an
8 active exemption identification number issued by the
9 Department.
10 (5) A passenger car that is a replacement vehicle to the
11 extent that the purchase price of the car is subject to the
12 Replacement Vehicle Tax.
13 (6) Graphic arts machinery and equipment, including
14 repair and replacement parts, both new and used, and
15 including that manufactured on special order, certified by
16 the purchaser to be used primarily for graphic arts
17 production, and including machinery and equipment purchased
18 for lease.
19 (7) Farm chemicals.
20 (8) Legal tender, currency, medallions, or gold or
21 silver coinage issued by the State of Illinois, the
22 government of the United States of America, or the government
23 of any foreign country, and bullion.
24 (9) Personal property purchased from a teacher-sponsored
25 student organization affiliated with an elementary or
26 secondary school located in Illinois.
27 (10) A motor vehicle of the first division, a motor
28 vehicle of the second division that is a self-contained motor
29 vehicle designed or permanently converted to provide living
30 quarters for recreational, camping, or travel use, with
31 direct walk through to the living quarters from the driver's
32 seat, or a motor vehicle of the second division that is of
33 the van configuration designed for the transportation of not
34 less than 7 nor more than 16 passengers, as defined in
35 Section 1-146 of the Illinois Vehicle Code, that is used for
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1 automobile renting, as defined in the Automobile Renting
2 Occupation and Use Tax Act.
3 (11) Farm machinery and equipment, both new and used,
4 including that manufactured on special order, certified by
5 the purchaser to be used primarily for production agriculture
6 or State or federal agricultural programs, including
7 individual replacement parts for the machinery and equipment,
8 and including machinery and equipment purchased for lease,
9 but excluding motor vehicles required to be registered under
10 the Illinois Vehicle Code. Horticultural polyhouses or hoop
11 houses used for propagating, growing, or overwintering plants
12 shall be considered farm machinery and equipment under this
13 paragraph.
14 (12) Fuel and petroleum products sold to or used by an
15 air common carrier, certified by the carrier to be used for
16 consumption, shipment, or storage in the conduct of its
17 business as an air common carrier, for a flight destined for
18 or returning from a location or locations outside the United
19 States without regard to previous or subsequent domestic
20 stopovers.
21 (13) Proceeds of mandatory service charges separately
22 stated on customers' bills for the purchase and consumption
23 of food and beverages purchased at retail from a retailer, to
24 the extent that the proceeds of the service charge are in
25 fact turned over as tips or as a substitute for tips to the
26 employees who participate directly in preparing, serving,
27 hosting or cleaning up the food or beverage function with
28 respect to which the service charge is imposed.
29 (14) Oil field exploration, drilling, and production
30 equipment, including (i) rigs and parts of rigs, rotary rigs,
31 cable tool rigs, and workover rigs, (ii) pipe and tubular
32 goods, including casing and drill strings, (iii) pumps and
33 pump-jack units, (iv) storage tanks and flow lines, (v) any
34 individual replacement part for oil field exploration,
35 drilling, and production equipment, and (vi) machinery and
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1 equipment purchased for lease; but excluding motor vehicles
2 required to be registered under the Illinois Vehicle Code.
3 (15) Photoprocessing machinery and equipment, including
4 repair and replacement parts, both new and used, including
5 that manufactured on special order, certified by the
6 purchaser to be used primarily for photoprocessing, and
7 including photoprocessing machinery and equipment purchased
8 for lease.
9 (16) Coal exploration, mining, offhighway hauling,
10 processing, maintenance, and reclamation equipment, including
11 replacement parts and equipment, and including equipment
12 purchased for lease, but excluding motor vehicles required to
13 be registered under the Illinois Vehicle Code.
14 (17) Distillation machinery and equipment, sold as a
15 unit or kit, assembled or installed by the retailer,
16 certified by the user to be used only for the production of
17 ethyl alcohol that will be used for consumption as motor fuel
18 or as a component of motor fuel for the personal use of the
19 user, and not subject to sale or resale.
20 (18) Manufacturing and assembling machinery and
21 equipment used primarily in the process of manufacturing or
22 assembling tangible personal property for wholesale or retail
23 sale or lease, whether that sale or lease is made directly by
24 the manufacturer or by some other person, whether the
25 materials used in the process are owned by the manufacturer
26 or some other person, or whether that sale or lease is made
27 apart from or as an incident to the seller's engaging in the
28 service occupation of producing machines, tools, dies, jigs,
29 patterns, gauges, or other similar items of no commercial
30 value on special order for a particular purchaser.
31 (19) Personal property delivered to a purchaser or
32 purchaser's donee inside Illinois when the purchase order for
33 that personal property was received by a florist located
34 outside Illinois who has a florist located inside Illinois
35 deliver the personal property.
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1 (20) Semen used for artificial insemination of livestock
2 for direct agricultural production.
3 (21) Horses, or interests in horses, registered with and
4 meeting the requirements of any of the Arabian Horse Club
5 Registry of America, Appaloosa Horse Club, American Quarter
6 Horse Association, United States Trotting Association, or
7 Jockey Club, as appropriate, used for purposes of breeding or
8 racing for prizes.
9 (22) Computers and communications equipment utilized
10 for any hospital purpose and equipment used in the diagnosis,
11 analysis, or treatment of hospital patients purchased by a
12 lessor who leases the equipment, under a lease of one year or
13 longer executed or in effect at the time the lessor would
14 otherwise be subject to the tax imposed by this Act, to a
15 hospital that has been issued an active tax exemption
16 identification number by the Department under Section 1g of
17 the Retailers' Occupation Tax Act. If the equipment is
18 leased in a manner that does not qualify for this exemption
19 or is used in any other non-exempt manner, the lessor shall
20 be liable for the tax imposed under this Act or the Service
21 Use Tax Act, as the case may be, based on the fair market
22 value of the property at the time the non-qualifying use
23 occurs. No lessor shall collect or attempt to collect an
24 amount (however designated) that purports to reimburse that
25 lessor for the tax imposed by this Act or the Service Use Tax
26 Act, as the case may be, if the tax has not been paid by the
27 lessor. If a lessor improperly collects any such amount from
28 the lessee, the lessee shall have a legal right to claim a
29 refund of that amount from the lessor. If, however, that
30 amount is not refunded to the lessee for any reason, the
31 lessor is liable to pay that amount to the Department.
32 (23) Personal property purchased by a lessor who leases
33 the property, under a lease of one year or longer executed
34 or in effect at the time the lessor would otherwise be
35 subject to the tax imposed by this Act, to a governmental
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1 body that has been issued an active sales tax exemption
2 identification number by the Department under Section 1g of
3 the Retailers' Occupation Tax Act. If the property is leased
4 in a manner that does not qualify for this exemption or used
5 in any other non-exempt manner, the lessor shall be liable
6 for the tax imposed under this Act or the Service Use Tax
7 Act, as the case may be, based on the fair market value of
8 the property at the time the non-qualifying use occurs. No
9 lessor shall collect or attempt to collect an amount (however
10 designated) that purports to reimburse that lessor for the
11 tax imposed by this Act or the Service Use Tax Act, as the
12 case may be, if the tax has not been paid by the lessor. If
13 a lessor improperly collects any such amount from the lessee,
14 the lessee shall have a legal right to claim a refund of that
15 amount from the lessor. If, however, that amount is not
16 refunded to the lessee for any reason, the lessor is liable
17 to pay that amount to the Department.
18 (24) Beginning with taxable years ending on or after
19 December 31, 1995 and ending with taxable years ending on or
20 before December 31, 2004, personal property that is donated
21 for disaster relief to be used in a State or federally
22 declared disaster area in Illinois or bordering Illinois by a
23 manufacturer or retailer that is registered in this State to
24 a corporation, society, association, foundation, or
25 institution that has been issued a sales tax exemption
26 identification number by the Department that assists victims
27 of the disaster who reside within the declared disaster area.
28 (25) Beginning with taxable years ending on or after
29 December 31, 1995 and ending with taxable years ending on or
30 before December 31, 2004, personal property that is used in
31 the performance of infrastructure repairs in this State,
32 including but not limited to municipal roads and streets,
33 access roads, bridges, sidewalks, waste disposal systems,
34 water and sewer line extensions, water distribution and
35 purification facilities, storm water drainage and retention
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1 facilities, and sewage treatment facilities, resulting from a
2 State or federally declared disaster in Illinois or bordering
3 Illinois when such repairs are initiated on facilities
4 located in the declared disaster area within 6 months after
5 the disaster.
6 (Source: P.A. 88-337; 88-480; 88-547; 88-670, eff. 12-2-94;
7 89-16, eff. 5-30-95; 89-115, eff. 1-1-96; 89-349, eff.
8 8-17-95; 89-495, eff. 6-24-96; 89-496, eff. 6-25-96; 89-626,
9 eff. 8-9-96; revised 8-21-96.)
10 (35 ILCS 105/3-55) (from Ch. 120, par. 439.3-55)
11 Sec. 3-55. Multistate exemption. To prevent actual or
12 likely multistate taxation, the tax imposed by this Act does
13 not apply to the use of tangible personal property in this
14 State under the following circumstances:
15 (a) The use, in this State, of tangible personal
16 property acquired outside this State by a nonresident
17 individual and brought into this State by the individual for
18 his or her own use while temporarily within this State or
19 while passing through this State.
20 (b) The use, in this State, of tangible personal
21 property by an interstate carrier for hire as rolling stock
22 moving in interstate commerce or by lessors under a lease of
23 one year or longer executed or in effect at the time of
24 purchase of tangible personal property by interstate carriers
25 for-hire for use as rolling stock moving in interstate
26 commerce as long as so used by the interstate carriers
27 for-hire, and equipment operated by a telecommunications
28 provider, licensed as a common carrier by the Federal
29 Communications Commission, which is permanently installed in
30 or affixed to aircraft moving in interstate commerce.
31 (c) The use, in this State, by owners, lessors, or
32 shippers of tangible personal property that is utilized by
33 interstate carriers for hire for use as rolling stock moving
34 in interstate commerce as long as so used by the interstate
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1 carriers for hire, and equipment operated by a
2 telecommunications provider, licensed as a common carrier by
3 the Federal Communications Commission, which is permanently
4 installed in or affixed to aircraft moving in interstate
5 commerce.
6 (d) The use, in this State, of tangible personal
7 property that is acquired outside this State and caused to be
8 brought into this State by a person who has already paid a
9 tax in another State in respect to the sale, purchase, or use
10 of that property, to the extent of the amount of the tax
11 properly due and paid in the other State.
12 (e) The temporary storage, in this State, of tangible
13 personal property that is acquired outside this State and
14 that, after being brought into this State and stored here
15 temporarily, is used solely outside this State or is
16 physically attached to or incorporated into other tangible
17 personal property that is used solely outside this State, or
18 is altered by converting, fabricating, manufacturing,
19 printing, processing, or shaping, and, as altered, is used
20 solely outside this State.
21 (f) The temporary storage in this State of building
22 materials and fixtures that are acquired either in this State
23 or outside this State by an Illinois registered combination
24 retailer and construction contractor, and that the purchaser
25 thereafter uses outside this State by incorporating that
26 property into real estate located outside this State.
27 (g) The use or purchase of tangible personal property by
28 a common carrier by rail or motor that receives the physical
29 possession of the property in Illinois, and that transports
30 the property, or shares with another common carrier in the
31 transportation of the property, out of Illinois on a standard
32 uniform bill of lading showing the seller of the property as
33 the shipper or consignor of the property to a destination
34 outside Illinois, for use outside Illinois.
35 (h) The use, in this State, of a motor vehicle that was
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1 sold in this State to a nonresident, even though the motor
2 vehicle is delivered to the nonresident in this State, if the
3 motor vehicle is not to be titled in this State, and if a
4 driveaway decal permit is issued to the motor vehicle as
5 provided in Section 3-603 of the Illinois Vehicle Code or if
6 the nonresident purchaser has vehicle registration plates to
7 transfer to the motor vehicle upon returning to his or her
8 home state. The issuance of the driveaway decal permit or
9 having the out-of-state registration plates to be transferred
10 shall be prima facie evidence that the motor vehicle will not
11 be titled in this State.
12 (Source: P.A. 86-44; 86-244; 86-252; 86-820; 86-905; 86-928;
13 86-953; 86-1394; 86-1475; 87-1263.)
14 Section 15. The Service Use Tax Act is amended by
15 changing Section 3-5 as follows:
16 (35 ILCS 110/3-5) (from Ch. 120, par. 439.33-5)
17 Sec. 3-5. Exemptions. Use of the following tangible
18 personal property is exempt from the tax imposed by this Act:
19 (1) Personal property purchased from a corporation,
20 society, association, foundation, institution, or
21 organization, other than a limited liability company, that is
22 organized and operated as a not-for-profit service enterprise
23 for the benefit of persons 65 years of age or older if the
24 personal property was not purchased by the enterprise for the
25 purpose of resale by the enterprise.
26 (2) Personal property purchased by a non-profit Illinois
27 county fair association for use in conducting, operating, or
28 promoting the county fair.
29 (3) Personal property purchased by a not-for-profit
30 music or dramatic arts organization that establishes, by
31 proof required by the Department by rule, that it has
32 received an exemption under Section 501(c)(3) of the Internal
33 Revenue Code and that is organized and operated for the
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1 presentation of live public performances of musical or
2 theatrical works on a regular basis.
3 (4) Legal tender, currency, medallions, or gold or
4 silver coinage issued by the State of Illinois, the
5 government of the United States of America, or the government
6 of any foreign country, and bullion.
7 (5) Graphic arts machinery and equipment, including
8 repair and replacement parts, both new and used, and
9 including that manufactured on special order or purchased for
10 lease, certified by the purchaser to be used primarily for
11 graphic arts production.
12 (6) Personal property purchased from a teacher-sponsored
13 student organization affiliated with an elementary or
14 secondary school located in Illinois.
15 (7) Farm machinery and equipment, both new and used,
16 including that manufactured on special order, certified by
17 the purchaser to be used primarily for production agriculture
18 or State or federal agricultural programs, including
19 individual replacement parts for the machinery and equipment,
20 and including machinery and equipment purchased for lease,
21 but excluding motor vehicles required to be registered under
22 the Illinois Vehicle Code. Horticultural polyhouses or hoop
23 houses used for propagating, growing, or overwintering plants
24 shall be considered farm machinery and equipment under this
25 paragraph.
26 (8) Fuel and petroleum products sold to or used by an
27 air common carrier, certified by the carrier to be used for
28 consumption, shipment, or storage in the conduct of its
29 business as an air common carrier, for a flight destined for
30 or returning from a location or locations outside the United
31 States without regard to previous or subsequent domestic
32 stopovers.
33 (9) Proceeds of mandatory service charges separately
34 stated on customers' bills for the purchase and consumption
35 of food and beverages acquired as an incident to the purchase
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1 of a service from a serviceman, to the extent that the
2 proceeds of the service charge are in fact turned over as
3 tips or as a substitute for tips to the employees who
4 participate directly in preparing, serving, hosting or
5 cleaning up the food or beverage function with respect to
6 which the service charge is imposed.
7 (10) Oil field exploration, drilling, and production
8 equipment, including (i) rigs and parts of rigs, rotary rigs,
9 cable tool rigs, and workover rigs, (ii) pipe and tubular
10 goods, including casing and drill strings, (iii) pumps and
11 pump-jack units, (iv) storage tanks and flow lines, (v) any
12 individual replacement part for oil field exploration,
13 drilling, and production equipment, and (vi) machinery and
14 equipment purchased for lease; but excluding motor vehicles
15 required to be registered under the Illinois Vehicle Code.
16 (11) Proceeds from the sale of photoprocessing machinery
17 and equipment, including repair and replacement parts, both
18 new and used, including that manufactured on special order,
19 certified by the purchaser to be used primarily for
20 photoprocessing, and including photoprocessing machinery and
21 equipment purchased for lease.
22 (12) Coal exploration, mining, offhighway hauling,
23 processing, maintenance, and reclamation equipment, including
24 replacement parts and equipment, and including equipment
25 purchased for lease, but excluding motor vehicles required to
26 be registered under the Illinois Vehicle Code.
27 (13) Semen used for artificial insemination of livestock
28 for direct agricultural production.
29 (14) Horses, or interests in horses, registered with and
30 meeting the requirements of any of the Arabian Horse Club
31 Registry of America, Appaloosa Horse Club, American Quarter
32 Horse Association, United States Trotting Association, or
33 Jockey Club, as appropriate, used for purposes of breeding or
34 racing for prizes.
35 (15) Computers and communications equipment utilized for
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1 any hospital purpose and equipment used in the diagnosis,
2 analysis, or treatment of hospital patients purchased by a
3 lessor who leases the equipment, under a lease of one year or
4 longer executed or in effect at the time the lessor would
5 otherwise be subject to the tax imposed by this Act, to a
6 hospital that has been issued an active tax exemption
7 identification number by the Department under Section 1g of
8 the Retailers' Occupation Tax Act. If the equipment is leased
9 in a manner that does not qualify for this exemption or is
10 used in any other non-exempt manner, the lessor shall be
11 liable for the tax imposed under this Act or the Use Tax Act,
12 as the case may be, based on the fair market value of the
13 property at the time the non-qualifying use occurs. No
14 lessor shall collect or attempt to collect an amount (however
15 designated) that purports to reimburse that lessor for the
16 tax imposed by this Act or the Use Tax Act, as the case may
17 be, if the tax has not been paid by the lessor. If a lessor
18 improperly collects any such amount from the lessee, the
19 lessee shall have a legal right to claim a refund of that
20 amount from the lessor. If, however, that amount is not
21 refunded to the lessee for any reason, the lessor is liable
22 to pay that amount to the Department.
23 (16) Personal property purchased by a lessor who leases
24 the property, under a lease of one year or longer executed or
25 in effect at the time the lessor would otherwise be subject
26 to the tax imposed by this Act, to a governmental body that
27 has been issued an active tax exemption identification number
28 by the Department under Section 1g of the Retailers'
29 Occupation Tax Act. If the property is leased in a manner
30 that does not qualify for this exemption or is used in any
31 other non-exempt manner, the lessor shall be liable for the
32 tax imposed under this Act or the Use Tax Act, as the case
33 may be, based on the fair market value of the property at the
34 time the non-qualifying use occurs. No lessor shall collect
35 or attempt to collect an amount (however designated) that
-15- LRB9001527KDpcccr
1 purports to reimburse that lessor for the tax imposed by this
2 Act or the Use Tax Act, as the case may be, if the tax has
3 not been paid by the lessor. If a lessor improperly collects
4 any such amount from the lessee, the lessee shall have a
5 legal right to claim a refund of that amount from the lessor.
6 If, however, that amount is not refunded to the lessee for
7 any reason, the lessor is liable to pay that amount to the
8 Department.
9 (17) Beginning with taxable years ending on or after
10 December 31, 1995 and ending with taxable years ending on or
11 before December 31, 2004, personal property that is donated
12 for disaster relief to be used in a State or federally
13 declared disaster area in Illinois or bordering Illinois by a
14 manufacturer or retailer that is registered in this State to
15 a corporation, society, association, foundation, or
16 institution that has been issued a sales tax exemption
17 identification number by the Department that assists victims
18 of the disaster who reside within the declared disaster area.
19 (18) Beginning with taxable years ending on or after
20 December 31, 1995 and ending with taxable years ending on or
21 before December 31, 2004, personal property that is used in
22 the performance of infrastructure repairs in this State,
23 including but not limited to municipal roads and streets,
24 access roads, bridges, sidewalks, waste disposal systems,
25 water and sewer line extensions, water distribution and
26 purification facilities, storm water drainage and retention
27 facilities, and sewage treatment facilities, resulting from a
28 State or federally declared disaster in Illinois or bordering
29 Illinois when such repairs are initiated on facilities
30 located in the declared disaster area within 6 months after
31 the disaster.
32 (Source: P.A. 88-337; 88-480; 88-547; 88-670, eff. 12-2-94;
33 89-16, eff. 5-30-95; 89-115, eff. 1-1-96; 89-349, eff.
34 8-17-95; 89-495, eff. 6-24-96; 89-496, eff. 6-25-96; 89-626,
35 eff. 8-9-96; revised 8-21-96.)
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1 Section 20. The Service Occupation Tax Act is amended by
2 changing Section 3-5 as follows:
3 (35 ILCS 115/3-5) (from Ch. 120, par. 439.103-5)
4 Sec. 3-5. Exemptions. The following tangible personal
5 property is exempt from the tax imposed by this Act:
6 (1) Personal property sold by a corporation, society,
7 association, foundation, institution, or organization, other
8 than a limited liability company, that is organized and
9 operated as a not-for-profit service enterprise for the
10 benefit of persons 65 years of age or older if the personal
11 property was not purchased by the enterprise for the purpose
12 of resale by the enterprise.
13 (2) Personal property purchased by a not-for-profit
14 Illinois county fair association for use in conducting,
15 operating, or promoting the county fair.
16 (3) Personal property purchased by any not-for-profit
17 music or dramatic arts organization that establishes, by
18 proof required by the Department by rule, that it has
19 received an exemption under Section 501(c)(3) of the
20 Internal Revenue Code and that is organized and operated for
21 the presentation of live public performances of musical or
22 theatrical works on a regular basis.
23 (4) Legal tender, currency, medallions, or gold or
24 silver coinage issued by the State of Illinois, the
25 government of the United States of America, or the government
26 of any foreign country, and bullion.
27 (5) Graphic arts machinery and equipment, including
28 repair and replacement parts, both new and used, and
29 including that manufactured on special order or purchased for
30 lease, certified by the purchaser to be used primarily for
31 graphic arts production.
32 (6) Personal property sold by a teacher-sponsored
33 student organization affiliated with an elementary or
34 secondary school located in Illinois.
-17- LRB9001527KDpcccr
1 (7) Farm machinery and equipment, both new and used,
2 including that manufactured on special order, certified by
3 the purchaser to be used primarily for production agriculture
4 or State or federal agricultural programs, including
5 individual replacement parts for the machinery and equipment,
6 and including machinery and equipment purchased for lease,
7 but excluding motor vehicles required to be registered under
8 the Illinois Vehicle Code. Horticultural polyhouses or hoop
9 houses used for propagating, growing, or overwintering plants
10 shall be considered farm machinery and equipment under this
11 paragraph.
12 (8) Fuel and petroleum products sold to or used by an
13 air common carrier, certified by the carrier to be used for
14 consumption, shipment, or storage in the conduct of its
15 business as an air common carrier, for a flight destined for
16 or returning from a location or locations outside the United
17 States without regard to previous or subsequent domestic
18 stopovers.
19 (9) Proceeds of mandatory service charges separately
20 stated on customers' bills for the purchase and consumption
21 of food and beverages, to the extent that the proceeds of the
22 service charge are in fact turned over as tips or as a
23 substitute for tips to the employees who participate directly
24 in preparing, serving, hosting or cleaning up the food or
25 beverage function with respect to which the service charge is
26 imposed.
27 (10) Oil field exploration, drilling, and production
28 equipment, including (i) rigs and parts of rigs, rotary rigs,
29 cable tool rigs, and workover rigs, (ii) pipe and tubular
30 goods, including casing and drill strings, (iii) pumps and
31 pump-jack units, (iv) storage tanks and flow lines, (v) any
32 individual replacement part for oil field exploration,
33 drilling, and production equipment, and (vi) machinery and
34 equipment purchased for lease; but excluding motor vehicles
35 required to be registered under the Illinois Vehicle Code.
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1 (11) Photoprocessing machinery and equipment, including
2 repair and replacement parts, both new and used, including
3 that manufactured on special order, certified by the
4 purchaser to be used primarily for photoprocessing, and
5 including photoprocessing machinery and equipment purchased
6 for lease.
7 (12) Coal exploration, mining, offhighway hauling,
8 processing, maintenance, and reclamation equipment, including
9 replacement parts and equipment, and including equipment
10 purchased for lease, but excluding motor vehicles required to
11 be registered under the Illinois Vehicle Code.
12 (13) Food for human consumption that is to be consumed
13 off the premises where it is sold (other than alcoholic
14 beverages, soft drinks and food that has been prepared for
15 immediate consumption) and prescription and nonprescription
16 medicines, drugs, medical appliances, and insulin, urine
17 testing materials, syringes, and needles used by diabetics,
18 for human use, when purchased for use by a person receiving
19 medical assistance under Article 5 of the Illinois Public Aid
20 Code who resides in a licensed long-term care facility, as
21 defined in the Nursing Home Care Act.
22 (14) Semen used for artificial insemination of livestock
23 for direct agricultural production.
24 (15) Horses, or interests in horses, registered with and
25 meeting the requirements of any of the Arabian Horse Club
26 Registry of America, Appaloosa Horse Club, American Quarter
27 Horse Association, United States Trotting Association, or
28 Jockey Club, as appropriate, used for purposes of breeding or
29 racing for prizes.
30 (16) Computers and communications equipment utilized for
31 any hospital purpose and equipment used in the diagnosis,
32 analysis, or treatment of hospital patients sold to a lessor
33 who leases the equipment, under a lease of one year or longer
34 executed or in effect at the time of the purchase, to a
35 hospital that has been issued an active tax exemption
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1 identification number by the Department under Section 1g of
2 the Retailers' Occupation Tax Act.
3 (17) Personal property sold to a lessor who leases the
4 property, under a lease of one year or longer executed or in
5 effect at the time of the purchase, to a governmental body
6 that has been issued an active tax exemption identification
7 number by the Department under Section 1g of the Retailers'
8 Occupation Tax Act.
9 (18) Beginning with taxable years ending on or after
10 December 31, 1995 and ending with taxable years ending on or
11 before December 31, 2004, personal property that is donated
12 for disaster relief to be used in a State or federally
13 declared disaster area in Illinois or bordering Illinois by a
14 manufacturer or retailer that is registered in this State to
15 a corporation, society, association, foundation, or
16 institution that has been issued a sales tax exemption
17 identification number by the Department that assists victims
18 of the disaster who reside within the declared disaster area.
19 (19) Beginning with taxable years ending on or after
20 December 31, 1995 and ending with taxable years ending on or
21 before December 31, 2004, personal property that is used in
22 the performance of infrastructure repairs in this State,
23 including but not limited to municipal roads and streets,
24 access roads, bridges, sidewalks, waste disposal systems,
25 water and sewer line extensions, water distribution and
26 purification facilities, storm water drainage and retention
27 facilities, and sewage treatment facilities, resulting from a
28 State or federally declared disaster in Illinois or bordering
29 Illinois when such repairs are initiated on facilities
30 located in the declared disaster area within 6 months after
31 the disaster.
32 (Source: P.A. 88-337; 88-480; 88-547; 88-670, eff. 12-2-94;
33 89-16, eff. 5-30-95; 89-115, eff. 1-1-96; 89-349, eff.
34 8-17-95; 89-495, eff. 6-24-96; 89-496, eff. 6-25-96; 89-626,
35 eff. 8-9-96; revised 8-21-96.)
-20- LRB9001527KDpcccr
1 Section 25. The Retailers' Occupation Tax Act is amended
2 by changing Section 2-5 as follows:
3 (35 ILCS 120/2-5) (from Ch. 120, par. 441-5)
4 Sec. 2-5. Exemptions. Gross receipts from proceeds from
5 the sale of the following tangible personal property are
6 exempt from the tax imposed by this Act:
7 (1) Farm chemicals.
8 (2) Farm machinery and equipment, both new and used,
9 including that manufactured on special order, certified by
10 the purchaser to be used primarily for production agriculture
11 or State or federal agricultural programs, including
12 individual replacement parts for the machinery and equipment,
13 and including machinery and equipment purchased for lease,
14 but excluding motor vehicles required to be registered under
15 the Illinois Vehicle Code. Horticultural polyhouses or hoop
16 houses used for propagating, growing, or overwintering plants
17 shall be considered farm machinery and equipment under this
18 paragraph.
19 (3) Distillation machinery and equipment, sold as a unit
20 or kit, assembled or installed by the retailer, certified by
21 the user to be used only for the production of ethyl alcohol
22 that will be used for consumption as motor fuel or as a
23 component of motor fuel for the personal use of the user, and
24 not subject to sale or resale.
25 (4) Graphic arts machinery and equipment, including
26 repair and replacement parts, both new and used, and
27 including that manufactured on special order or purchased for
28 lease, certified by the purchaser to be used primarily for
29 graphic arts production.
30 (5) A motor vehicle of the first division, a motor
31 vehicle of the second division that is a self-contained motor
32 vehicle designed or permanently converted to provide living
33 quarters for recreational, camping, or travel use, with
34 direct walk through access to the living quarters from the
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1 driver's seat, or a motor vehicle of the second division that
2 is of the van configuration designed for the transportation
3 of not less than 7 nor more than 16 passengers, as defined in
4 Section 1-146 of the Illinois Vehicle Code, that is used for
5 automobile renting, as defined in the Automobile Renting
6 Occupation and Use Tax Act.
7 (6) Personal property sold by a teacher-sponsored
8 student organization affiliated with an elementary or
9 secondary school located in Illinois.
10 (7) Proceeds of that portion of the selling price of a
11 passenger car the sale of which is subject to the Replacement
12 Vehicle Tax.
13 (8) Personal property sold to an Illinois county fair
14 association for use in conducting, operating, or promoting
15 the county fair.
16 (9) Personal property sold to a not-for-profit music or
17 dramatic arts organization that establishes, by proof
18 required by the Department by rule, that it has received an
19 exemption under Section 501(c) (3) of the Internal Revenue
20 Code and that is organized and operated for the presentation
21 of live public performances of musical or theatrical works on
22 a regular basis.
23 (10) Personal property sold by a corporation, society,
24 association, foundation, institution, or organization, other
25 than a limited liability company, that is organized and
26 operated as a not-for-profit service enterprise for the
27 benefit of persons 65 years of age or older if the personal
28 property was not purchased by the enterprise for the purpose
29 of resale by the enterprise.
30 (11) Personal property sold to a governmental body, to a
31 corporation, society, association, foundation, or institution
32 organized and operated exclusively for charitable, religious,
33 or educational purposes, or to a not-for-profit corporation,
34 society, association, foundation, institution, or
35 organization that has no compensated officers or employees
-22- LRB9001527KDpcccr
1 and that is organized and operated primarily for the
2 recreation of persons 55 years of age or older. A limited
3 liability company may qualify for the exemption under this
4 paragraph only if the limited liability company is organized
5 and operated exclusively for educational purposes. On and
6 after July 1, 1987, however, no entity otherwise eligible for
7 this exemption shall make tax-free purchases unless it has an
8 active identification number issued by the Department.
9 (12) Personal property sold to interstate carriers for
10 hire for use as rolling stock moving in interstate commerce
11 or to lessors under leases of one year or longer executed or
12 in effect at the time of purchase by interstate carriers for
13 hire for use as rolling stock moving in interstate commerce
14 and equipment operated by a telecommunications provider,
15 licensed as a common carrier by the Federal Communications
16 Commission, which is permanently installed in or affixed to
17 aircraft moving in interstate commerce.
18 (13) Proceeds from sales to owners, lessors, or shippers
19 of tangible personal property that is utilized by interstate
20 carriers for hire for use as rolling stock moving in
21 interstate commerce and equipment operated by a
22 telecommunications provider, licensed as a common carrier by
23 the Federal Communications Commission, which is permanently
24 installed in or affixed to aircraft moving in interstate
25 commerce.
26 (14) Machinery and equipment that will be used by the
27 purchaser, or a lessee of the purchaser, primarily in the
28 process of manufacturing or assembling tangible personal
29 property for wholesale or retail sale or lease, whether the
30 sale or lease is made directly by the manufacturer or by some
31 other person, whether the materials used in the process are
32 owned by the manufacturer or some other person, or whether
33 the sale or lease is made apart from or as an incident to the
34 seller's engaging in the service occupation of producing
35 machines, tools, dies, jigs, patterns, gauges, or other
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1 similar items of no commercial value on special order for a
2 particular purchaser.
3 (15) Proceeds of mandatory service charges separately
4 stated on customers' bills for purchase and consumption of
5 food and beverages, to the extent that the proceeds of the
6 service charge are in fact turned over as tips or as a
7 substitute for tips to the employees who participate directly
8 in preparing, serving, hosting or cleaning up the food or
9 beverage function with respect to which the service charge is
10 imposed.
11 (16) Petroleum products sold to a purchaser if the
12 seller is prohibited by federal law from charging tax to the
13 purchaser.
14 (17) Tangible personal property sold to a common carrier
15 by rail or motor that receives the physical possession of the
16 property in Illinois and that transports the property, or
17 shares with another common carrier in the transportation of
18 the property, out of Illinois on a standard uniform bill of
19 lading showing the seller of the property as the shipper or
20 consignor of the property to a destination outside Illinois,
21 for use outside Illinois.
22 (18) Legal tender, currency, medallions, or gold or
23 silver coinage issued by the State of Illinois, the
24 government of the United States of America, or the government
25 of any foreign country, and bullion.
26 (19) Oil field exploration, drilling, and production
27 equipment, including (i) rigs and parts of rigs, rotary rigs,
28 cable tool rigs, and workover rigs, (ii) pipe and tubular
29 goods, including casing and drill strings, (iii) pumps and
30 pump-jack units, (iv) storage tanks and flow lines, (v) any
31 individual replacement part for oil field exploration,
32 drilling, and production equipment, and (vi) machinery and
33 equipment purchased for lease; but excluding motor vehicles
34 required to be registered under the Illinois Vehicle Code.
35 (20) Photoprocessing machinery and equipment, including
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1 repair and replacement parts, both new and used, including
2 that manufactured on special order, certified by the
3 purchaser to be used primarily for photoprocessing, and
4 including photoprocessing machinery and equipment purchased
5 for lease.
6 (21) Coal exploration, mining, offhighway hauling,
7 processing, maintenance, and reclamation equipment, including
8 replacement parts and equipment, and including equipment
9 purchased for lease, but excluding motor vehicles required to
10 be registered under the Illinois Vehicle Code.
11 (22) Fuel and petroleum products sold to or used by an
12 air carrier, certified by the carrier to be used for
13 consumption, shipment, or storage in the conduct of its
14 business as an air common carrier, for a flight destined for
15 or returning from a location or locations outside the United
16 States without regard to previous or subsequent domestic
17 stopovers.
18 (23) A transaction in which the purchase order is
19 received by a florist who is located outside Illinois, but
20 who has a florist located in Illinois deliver the property to
21 the purchaser or the purchaser's donee in Illinois.
22 (24) Fuel consumed or used in the operation of ships,
23 barges, or vessels that are used primarily in or for the
24 transportation of property or the conveyance of persons for
25 hire on rivers bordering on this State if the fuel is
26 delivered by the seller to the purchaser's barge, ship, or
27 vessel while it is afloat upon that bordering river.
28 (25) A motor vehicle sold in this State to a nonresident
29 even though the motor vehicle is delivered to the nonresident
30 in this State, if the motor vehicle is not to be titled in
31 this State, and if a driveaway decal permit is issued to the
32 motor vehicle as provided in Section 3-603 of the Illinois
33 Vehicle Code or if the nonresident purchaser has vehicle
34 registration plates to transfer to the motor vehicle upon
35 returning to his or her home state. The issuance of the
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1 driveaway decal permit or having the out-of-state
2 registration plates to be transferred is prima facie evidence
3 that the motor vehicle will not be titled in this State.
4 (26) Semen used for artificial insemination of livestock
5 for direct agricultural production.
6 (27) Horses, or interests in horses, registered with and
7 meeting the requirements of any of the Arabian Horse Club
8 Registry of America, Appaloosa Horse Club, American Quarter
9 Horse Association, United States Trotting Association, or
10 Jockey Club, as appropriate, used for purposes of breeding or
11 racing for prizes.
12 (28) Computers and communications equipment utilized for
13 any hospital purpose and equipment used in the diagnosis,
14 analysis, or treatment of hospital patients sold to a lessor
15 who leases the equipment, under a lease of one year or longer
16 executed or in effect at the time of the purchase, to a
17 hospital that has been issued an active tax exemption
18 identification number by the Department under Section 1g of
19 this Act.
20 (29) Personal property sold to a lessor who leases the
21 property, under a lease of one year or longer executed or in
22 effect at the time of the purchase, to a governmental body
23 that has been issued an active tax exemption identification
24 number by the Department under Section 1g of this Act.
25 (30) Beginning with taxable years ending on or after
26 December 31, 1995 and ending with taxable years ending on or
27 before December 31, 2004, personal property that is donated
28 for disaster relief to be used in a State or federally
29 declared disaster area in Illinois or bordering Illinois by a
30 manufacturer or retailer that is registered in this State to
31 a corporation, society, association, foundation, or
32 institution that has been issued a sales tax exemption
33 identification number by the Department that assists victims
34 of the disaster who reside within the declared disaster area.
35 (31) Beginning with taxable years ending on or after
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1 December 31, 1995 and ending with taxable years ending on or
2 before December 31, 2004, personal property that is used in
3 the performance of infrastructure repairs in this State,
4 including but not limited to municipal roads and streets,
5 access roads, bridges, sidewalks, waste disposal systems,
6 water and sewer line extensions, water distribution and
7 purification facilities, storm water drainage and retention
8 facilities, and sewage treatment facilities, resulting from a
9 State or federally declared disaster in Illinois or bordering
10 Illinois when such repairs are initiated on facilities
11 located in the declared disaster area within 6 months after
12 the disaster.
13 (Source: P.A. 88-337; 88-480; 88-547; 88-670, eff. 12-2-94;
14 89-16, eff. 5-30-95; 89-115, eff. 1-1-96; 89-349, eff.
15 8-17-95; 89-495, eff. 6-24-96; 89-496, eff. 6-25-96; 89-626,
16 eff. 8-9-96; revised 8-21-96.)
17 Section 30. The Property Tax Code is amended by changing
18 Sections 6-30, 10-152, 14-20, 15-170, and 15-175 and adding
19 Sections 6-32 and 6-34 as follows:
20 (35 ILCS 200/6-30)
21 Sec. 6-30. Board of review in commission counties. In
22 counties not under township organization with less than
23 3,000,000 inhabitants in which no board of review is elected
24 under Section 6-35, the board of county commissioners shall
25 constitute the board of review. They shall have all the
26 powers and perform all the duties conferred on or required by
27 boards of review and shall within one year of taking office
28 successfully complete a basic course in assessment practice
29 approved by the Department. Alternatively, the board of
30 county commissioners may appoint a 3-member board of review.
31 County commissioners shall receive no additional compensation
32 for serving on the board of review. County commissioners
33 serving as the board of review must meet the examination
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1 requirements of Section 6-32. If any member of the board of
2 county commissioners fails to meet the examination
3 requirements, the board of county commissioners shall appoint
4 a board of review.
5 The board of county commissioners shall appoint a
6 3-member board of review if (i) the board of county
7 commissioners so chooses or (ii) any member of the board of
8 county commissioners fails to meet the examination
9 requirements of Section 6-32. No person may serve on an
10 appointed board of review under this Section unless he or she
11 meets the examination requirements of Section 6-32. Members
12 of a board of review appointed by the board of county
13 commissioners shall receive a per diem for their services as
14 established by the board of county commissioners.
15 A board of review appointed by the board of county
16 commissioners shall serve at the pleasure of the board of the
17 county commissioners. If the board of review is appointed
18 because any member of the board of county commissioners fails
19 to meet the examination requirements of Section 6-32 and all
20 members subsequently fulfill the requirements, the board of
21 county commissioners may terminate the authority of the
22 sitting board of review, as soon as it completes its work for
23 a tax year, and serve as the board of review.
24 (Source: P.A. 87-818; 87-1189; 88-455; incorporates 88-221;
25 88-670, eff. 12-2-94.)
26 (35 ILCS 200/6-32 new)
27 Sec. 6-32. Examination requirement. In any county to
28 which Section 6-30 applies, no person may serve on a board of
29 review who has not passed an examination prepared and
30 administered by the Department to determine his or her
31 competence to hold the office. The Department shall conduct
32 examinations for various counties in a convenient location in
33 the region. A candidate appearing at the examination shall
34 indicate to the Department the name of the county the results
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1 shall be certified to if he or she successfully passes the
2 examination. The Department shall certify the list to each
3 county from which candidates have appeared at the examination
4 location. Within one year after the effective date of this
5 amendatory Act of 1997, the Department shall conduct an
6 examination at least once in each commission county for which
7 the chairman of the County Board of Commissioners requests an
8 examination. The Department may provide by rule the maximum
9 time that the name of a person who has passed the examination
10 shall be included on a list of persons eligible to serve on
11 the board of review.
12 (35 ILCS 200/6-34 new)
13 Sec. 6-34. Political makeup. If the board of county
14 commissioners appoints a board of review as prescribed in
15 Section 6-30, the board of review shall consist of 2 members
16 affiliated with the political party polling the highest vote
17 for any county office in the county and one member of the
18 party polling the second highest vote for the same county
19 office at the last general election.
20 (35 ILCS 200/10-152)
21 (Section scheduled to be repealed on December 31, 2006)
22 Sec. 10-152. Vegetative filter strip assessment.
23 (a) In counties with less than 3,000,000 inhabitants,
24 any land (i) that is located between a farm field and an area
25 to be protected, including but not limited to surface water,
26 a stream, a river, or a sinkhole and (ii) that meets the
27 requirements of subsection (b) of this Section shall be
28 considered a "vegetative filter strip" and valued at 1/6th of
29 its productivity index equalized assessed value as cropland.
30 In counties with 3,000,000 or more inhabitants, the land
31 shall be valued at the lesser of either (i) 16% of the fair
32 cash value of the farmland estimated at the price it would
33 bring at a fair, voluntary sale for use by the buyer as a
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1 farm as defined in Section 1-60 or (ii) 90% of the 1983
2 average equalized assessed value per acre certified by the
3 Department of Revenue.
4 (b) Vegetative filter strips shall meet the standards
5 and specifications set forth in the Natural Resources
6 Conservation Service Technical Guide and shall must be at
7 least 66 feet in width and contain vegetation that (i) has a
8 dense top growth; (ii) forms a uniform ground cover; (iii)
9 has a heavy fibrous root system; and (iv) tolerates
10 pesticides used in the farm field.
11 (c) The county's soil and water conservation district
12 shall assist the taxpayer in completing a uniform certified
13 document as prescribed by the Department of Revenue in
14 cooperation with the Association of Illinois Soil and Water
15 Conservation Districts that certifies (i) that the property
16 meets the requirements established under this Section for
17 vegetative filter strips and (ii) the acreage or square
18 footage of property that qualifies for assessment as a
19 vegetative filter strip. The document shall be filed by the
20 applicant with the Chief County Assessment Officer. The
21 Chief County Assessment Officer shall promulgate rules
22 concerning the filing of the document. The soil and water
23 conservation district shall create a conservation plan for
24 the creation of the filter strip. The plan shall be kept on
25 file in the soil and water conservation district office.
26 Nothing in this Section shall be construed to require any
27 taxpayer to have vegetative filter strips.
28 (d) A joint report by the Department of Agriculture and
29 the Department of Natural Resources concerning the effect and
30 impact of vegetative filter strip assessment shall be
31 submitted to the General Assembly by March 1, 2006.
32 (e) This Section is repealed on December 31, 2006.
33 (Source: P.A. 89-606, eff. 1-1-97.)
34 (35 ILCS 200/14-20)
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1 Sec. 14-20. Certificate of error; counties of less than
2 3,000,000. In any county with less than 3,000,000
3 inhabitants, if, at any time before judgment or order of sale
4 is entered in any proceeding to collect or to enjoin the
5 collection of taxes based upon any assessment of any
6 property, the chief county assessment officer discovers an
7 error or mistake in the assessment (other than errors of
8 judgment as to the valuation of the property), he or she
9 shall issue to the person erroneously assessed a certificate
10 setting forth the nature of the error and the cause or causes
11 of the error. In any county with less than 3,000,000
12 inhabitants, if an owner fails to file an application for the
13 Senior Citizens Assessment Freeze Homestead Exemption
14 provided in Section 15-172 during the previous assessment
15 year and qualifies for the exemption, the Chief County
16 Assessment Officer pursuant to this Section, or the Board of
17 Review pursuant to Section 16-75, shall issue a certificate
18 of error setting forth the correct taxable valuation of the
19 property. The certificate, when properly endorsed by the
20 majority of the board of review, showing their concurrence,
21 and not otherwise, may be used in evidence in any court of
22 competent jurisdiction, and when so introduced in evidence,
23 shall become a part of the court record and shall not be
24 removed from the files except on an order of the court.
25 Issuance of a certificate of error shall not reduce a
26 tax, except as ordered by the court.
27 (Source: P.A. 83-121; 88-455.)
28 (35 ILCS 200/15-170)
29 Sec. 15-170. Senior Citizens Homestead Exemption. An
30 annual homestead exemption limited, except as described here
31 with relation to cooperatives, to a maximum reduction set
32 forth below from the property's value, as equalized or
33 assessed by the Department, is granted for property that is
34 occupied as a residence by a person 65 years of age or older
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1 who is liable for paying real estate taxes on the property
2 and is an owner of record of the property or has a legal or
3 equitable interest therein as evidenced by a written
4 instrument, except for a leasehold interest, other than a
5 leasehold interest of land on which a single family residence
6 is located, which is occupied as a residence by a person 65
7 years or older who has an ownership interest therein, legal,
8 equitable or as a lessee, and on which he or she is liable
9 for the payment of property taxes. The maximum reduction
10 shall be $2,500 in counties with 3,000,000 or more
11 inhabitants and $2,000 in all other counties. For land
12 improved with an apartment building owned and operated as a
13 cooperative or a building which is a life care facility which
14 shall be considered to be a cooperative, the maximum
15 reduction from the value of the property, as equalized by the
16 Department, shall be multiplied by the number of apartments
17 or units occupied by a person 65 years of age or older who is
18 liable, by contract with the owner or owners of record, for
19 paying property taxes on the property and is an owner of
20 record of a legal or equitable interest in the cooperative
21 apartment building, other than a leasehold interest. In a
22 cooperative where a homestead exemption has been granted,
23 the cooperative association or its management firm shall
24 credit the savings resulting from that exemption only to the
25 apportioned tax liability of the owner who qualified for the
26 exemption. Any person who willfully refuses to so credit the
27 savings shall be guilty of a Class B misdemeanor. Under this
28 Section and Section 15-175, "life care facility" means a
29 facility as defined in Section 2 of the Life Care Facilities
30 Act, with which the applicant for the homestead exemption has
31 a life care contract as defined in that Act, which requires
32 the applicant to pay property taxes.
33 When a homestead exemption has been granted under this
34 Section and the person qualifying subsequently becomes a
35 resident of a facility licensed under the Nursing Home Care
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1 Act, the exemption shall continue so long as the residence
2 continues to be occupied by the qualifying person's spouse if
3 the spouse is 65 years of age or older, or if the residence
4 remains unoccupied but is still owned by the person qualified
5 for the homestead exemption.
6 A person who will be 65 years of age during the current
7 assessment year shall be eligible to apply for the homestead
8 exemption during that assessment year. Application shall be
9 made during the application period in effect for the county
10 of his residence.
11 The assessor or chief county assessment officer may
12 determine the eligibility of a life care facility to receive
13 the benefits provided by this Section, by affidavit,
14 application, visual inspection, questionnaire or other
15 reasonable methods in order to insure that the tax savings
16 resulting from the exemption are credited by the management
17 firm to the apportioned tax liability of each qualifying
18 resident. The assessor may request reasonable proof that the
19 management firm has so credited the exemption.
20 The chief county assessment officer of each county with
21 less than 3,000,000 inhabitants shall provide to each person
22 allowed a homestead exemption under this Section a form to
23 designate any other person to receive a duplicate of any
24 notice of delinquency in the payment of taxes assessed and
25 levied under this Code on the property of the person
26 receiving the exemption. The duplicate notice shall be in
27 addition to the notice required to be provided to the person
28 receiving the exemption, and shall be given in the manner
29 required by this Code. The person filing the request for the
30 duplicate notice shall pay a fee of $5 to cover
31 administrative costs to the supervisor of assessments, who
32 shall then file the executed designation with the county
33 collector. Notwithstanding any other provision of this Code
34 to the contrary, the filing of such an executed designation
35 requires the county collector to provide duplicate notices as
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1 indicated by the designation. A designation may be rescinded
2 by the person who executed such designation at any time, in
3 the manner and form required by the chief county assessment
4 officer.
5 The assessor or chief county assessment officer may
6 determine the eligibility of residential property to receive
7 the homestead exemption provided by this Section by
8 application, visual inspection, questionnaire or other
9 reasonable methods. The determination shall be made in
10 accordance with guidelines established by the Department.
11 In counties with less than 3,000,000 inhabitants, if the
12 assessor or chief county assessment officer requires annual
13 application for verification of eligibility for an exemption
14 once granted under this Section, the application shall be
15 mailed to the taxpayer.
16 The assessor or chief county assessment officer shall
17 notify each person who qualifies for an exemption under this
18 Section that the person may also qualify for deferral of real
19 estate taxes under the Senior Citizens and Disabled Persons
20 Real Estate Tax Deferral Act. The notice shall set forth the
21 qualifications needed for deferral of real estate taxes, the
22 address and telephone number of county collector, and a
23 statement that applications for deferral of real estate taxes
24 may be obtained from the county collector.
25 (Source: P.A. 88-455; 89-412, eff. 11-17-95.)
26 (35 ILCS 200/15-175)
27 Sec. 15-175. General homestead exemption. Homestead
28 property is entitled to an annual homestead exemption
29 limited, except as described here with relation to
30 cooperatives, to a reduction in the equalized assessed value
31 of homestead property equal to the increase in equalized
32 assessed value for the current assessment year above the
33 equalized assessed value of the property for 1977, up to the
34 maximum reduction set forth below. If however, the 1977
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1 equalized assessed value upon which taxes were paid is
2 subsequently determined by local assessing officials, the
3 Property Tax Appeal Board, or a court to have been excessive,
4 the equalized assessed value which should have been placed on
5 the property for 1977 shall be used to determine the amount
6 of the exemption.
7 The maximum reduction shall be $4,500 in counties with
8 3,000,000 or more inhabitants and $3,500 in all other
9 counties.
10 "Homestead property" under this Section includes
11 residential property that is occupied by its owner or owners
12 as his or their principal dwelling place, or that is a
13 leasehold interest on which a single family residence is
14 situated, which is occupied as a residence by a person who
15 has an ownership interest therein, legal or equitable or as a
16 lessee, and on which the person is liable for the payment of
17 property taxes. For land improved with an apartment building
18 owned and operated as a cooperative or a building which is a
19 life care facility as defined in Section 15-170 and
20 considered to be a cooperative under Section 15-170, the
21 maximum reduction from the equalized assessed value shall be
22 limited to the increase in the value above the equalized
23 assessed value of the property for 1977, up to the maximum
24 reduction set forth above, multiplied by the number of
25 apartments or units occupied by a person or persons who is
26 liable, by contract with the owner or owners of record, for
27 paying property taxes on the property and is an owner of
28 record of a legal or equitable interest in the cooperative
29 apartment building, other than a leasehold interest. For
30 purposes of this Section, the term "life care facility" has
31 the meaning stated in Section 15-170.
32 In a cooperative where a homestead exemption has been
33 granted, the cooperative association or its management firm
34 shall credit the savings resulting from that exemption only
35 to the apportioned tax liability of the owner who qualified
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1 for the exemption. Any person who willfully refuses to so
2 credit the savings shall be guilty of a Class B misdemeanor.
3 Where married persons maintain and reside in separate
4 residences qualifying as homestead property, each residence
5 shall receive 50% of the total reduction in equalized
6 assessed valuation provided by this Section.
7 The assessor, or chief county assessment officer may
8 determine the eligibility of residential property to receive
9 the homestead exemption by application, visual inspection,
10 questionnaire or other reasonable methods. The determination
11 shall be made in accordance with guidelines established by
12 the Department. In counties with less than 3,000,000
13 inhabitants, if an application is used to determine
14 eligibility, the application shall be mailed to any taxpayer
15 over 65 years of age who has once applied for and been
16 granted an exemption under this Section. In counties with
17 fewer than 3,000,000 inhabitants, in the event of a sale of
18 homestead property the homestead exemption shall remain in
19 effect for the remainder of the assessment year of the sale.
20 The assessor or chief county assessment officer may require
21 the new owner of the property to apply for the homestead
22 exemption for the following assessment year.
23 (Source: P.A. 87-894; 87-1189; 88-455.)
24 Section 32. The Counties Code is amended by changing
25 Section 5-1006.5 as follows:
26 (55 ILCS 5/5-1006.5)
27 Sec. 5-1006.5. Special County Retailers' Occupation Tax
28 For Public Safety.
29 (a) The county board of any county may impose a tax upon
30 all persons engaged in the business of selling tangible
31 personal property, other than personal property titled or
32 registered with an agency of this State's government, at
33 retail in the county on the gross receipts from the sales
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1 made in the course of business to provide revenue to be used
2 exclusively for public safety purposes in that county, if a
3 proposition for the tax has been submitted to the electors of
4 that county and approved by a majority of those voting on the
5 question. If imposed, this tax shall be imposed only in
6 one-quarter percent increments. By resolution, the county
7 board may order the proposition to be submitted at any
8 election. The county clerk shall certify the question to the
9 proper election authority, who shall submit the proposition
10 at an election in accordance with the general election law.
11 The proposition shall be in substantially the following
12 form:
13 "Shall (name of county) be authorized to impose a
14 public safety tax at the rate of .... upon all persons
15 engaged in the business of selling tangible personal
16 property at retail in the county on gross receipts from
17 the sales made in the course of their business to be used
18 for crime prevention, detention, and other public safety
19 purposes?"
20 Votes shall be recorded as Yes or No. If a majority of the
21 electors voting on the proposition vote in favor of it, the
22 county may impose the tax.
23 This additional tax may not be imposed on the sales of
24 food for human consumption that is to be consumed off the
25 premises where it is sold (other than alcoholic beverages,
26 soft drinks, and food which has been prepared for immediate
27 consumption) and prescription and non-prescription medicines,
28 drugs, medical appliances and insulin, urine testing
29 materials, syringes, and needles used by diabetics. The tax
30 imposed by a county under this Section and all civil
31 penalties that may be assessed as an incident of the tax
32 shall be collected and enforced by the Illinois Department of
33 Revenue. The certificate of registration that is issued by
34 the Department to a retailer under the Retailers' Occupation
35 Tax Act shall permit the retailer to engage in a business
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1 that is taxable without registering separately with the
2 Department under an ordinance or resolution under this
3 Section. The Department has full power to administer and
4 enforce this Section, to collect all taxes and penalties due
5 under this Section, to dispose of taxes and penalties so
6 collected in the manner provided in this Section, and to
7 determine all rights to credit memoranda arising on account
8 of the erroneous payment of a tax or penalty under this
9 Section. In the administration of and compliance with this
10 Section, the Department and persons who are subject to this
11 Section shall (i) have the same rights, remedies, privileges,
12 immunities, powers, and duties, (ii) be subject to the same
13 conditions, restrictions, limitations, penalties, and
14 definitions of terms, and (iii) employ the same modes of
15 procedure as are prescribed in Sections 1, 1a, 1a-1, 1d, 1e,
16 1f, 1i, 1j, 2, 2-10 (in respect to all provisions contained
17 in those Sections other than the State rate of tax), 2-40,
18 2a, 2b, 2c, 3 (except provisions relating to transaction
19 returns and quarter monthly payments), 4, 5, 5a, 5b, 5c, 5d,
20 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10,
21 11, 11a, 12, and 13 of the Retailers' Occupation Tax Act and
22 Section 3-7 of the Uniform Penalty and Interest Act as if
23 those provisions were set forth in this Section.
24 Persons subject to any tax imposed under the authority
25 granted in this Section may reimburse themselves for their
26 sellers' tax liability by separately stating the tax as an
27 additional charge, which charge may be stated in combination,
28 in a single amount, with State tax which sellers are required
29 to collect under the Use Tax Act, pursuant to such bracketed
30 schedules as the Department may prescribe.
31 Whenever the Department determines that a refund should
32 be made under this Section to a claimant instead of issuing a
33 credit memorandum, the Department shall notify the State
34 Comptroller, who shall cause the order to be drawn for the
35 amount specified and to the person named in the notification
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1 from the Department. The refund shall be paid by the State
2 Treasurer out of the County Public Safety Retailers'
3 Occupation Tax Fund.
4 (b) If a tax has been imposed under subsection (a), a
5 service occupation tax shall also be imposed at the same rate
6 upon all persons engaged, in the county, in the business of
7 making sales of service, who, as an incident to making those
8 sales of service, transfer tangible personal property within
9 the county as an incident to a sale of service. This tax may
10 not be imposed on sales of food for human consumption that is
11 to be consumed off the premises where it is sold (other than
12 alcoholic beverages, soft drinks, and food prepared for
13 immediate consumption) and prescription and non-prescription
14 medicines, drugs, medical appliances and insulin, urine
15 testing materials, syringes, and needles used by diabetics.
16 The tax imposed under this subsection and all civil penalties
17 that may be assessed as an incident thereof shall be
18 collected and enforced by the Department of Revenue. The
19 Department has full power to administer and enforce this
20 subsection; to collect all taxes and penalties due hereunder;
21 to dispose of taxes and penalties so collected in the manner
22 hereinafter provided; and to determine all rights to credit
23 memoranda arising on account of the erroneous payment of tax
24 or penalty hereunder. In the administration of, and
25 compliance with this subsection, the Department and persons
26 who are subject to this paragraph shall (i) have the same
27 rights, remedies, privileges, immunities, powers, and duties,
28 (ii) be subject to the same conditions, restrictions,
29 limitations, penalties, exclusions, exemptions, and
30 definitions of terms, and (iii) employ the same modes of
31 procedure as are prescribed in Sections 1a-1, 2 (except that
32 the reference to State in the definition of supplier
33 maintaining a place of business in this State shall mean the
34 county), 2a, 3 through 3-50 (in respect to all provisions
35 therein other than the State rate of tax), 4 (except that the
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1 reference to the State shall be to the county), 5, 7, 8
2 (except that the jurisdiction to which the tax shall be a
3 debt to the extent indicated in that Section 8 shall be the
4 county), 9 (except as to the disposition of taxes and
5 penalties collected, and except that the returned merchandise
6 credit for this tax may not be taken against any State tax),
7 10, 11, 12 (except the reference therein to Section 2b of the
8 Retailers' Occupation Tax Act), 13 (except that any reference
9 to the State shall mean the county), the first paragraph of
10 Section 15, 16, 17, 18, 19 and 20 of the Service Occupation
11 Tax Act and Section 3-7 of the Uniform Penalty and Interest
12 Act, as fully as if those provisions were set forth herein.
13 Persons subject to any tax imposed under the authority
14 granted in this subsection may reimburse themselves for their
15 serviceman's tax liability by separately stating the tax as
16 an additional charge, which charge may be stated in
17 combination, in a single amount, with State tax that
18 servicemen are authorized to collect under the Service Use
19 Tax Act, in accordance with such bracket schedules as the
20 Department may prescribe.
21 Whenever the Department determines that a refund should
22 be made under this subsection to a claimant instead of
23 issuing a credit memorandum, the Department shall notify the
24 State Comptroller, who shall cause the warrant to be drawn
25 for the amount specified, and to the person named, in the
26 notification from the Department. The refund shall be paid
27 by the State Treasurer out of the County Public Safety
28 Retailers' Occupation Fund.
29 Nothing in this subsection shall be construed to
30 authorize the county to impose a tax upon the privilege of
31 engaging in any business which under the Constitution of the
32 United States may not be made the subject of taxation by the
33 State.
34 (c) The Department shall immediately pay over to the
35 State Treasurer, Ex Officio, as trustee, all taxes and
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1 penalties collected under this Section to be deposited into
2 the County Public Safety Retailers' Occupation Tax Fund,
3 which shall be an unappropriated trust fund held outside of
4 the State treasury is created in the State treasury. On or
5 before the 25th day of each calendar month, the Department
6 shall prepare and certify to the Comptroller the disbursement
7 of stated sums of money to the counties from which retailers
8 have paid taxes or penalties to the Department during the
9 second preceding calendar month. The amount to be paid to
10 each county shall be the amount (not including credit
11 memoranda) collected under this Section during the second
12 preceding calendar month by the Department plus an amount the
13 Department determines is necessary to offset any amounts that
14 were erroneously paid to a different taxing body, and not
15 including (i) an amount equal to the amount of refunds made
16 during the second preceding calendar month by the Department
17 on behalf of the county and (ii) any amount that the
18 Department determines is necessary to offset any amounts that
19 were payable to a different taxing body but were erroneously
20 paid to the county. Within 10 days after receipt by the
21 Comptroller of the disbursement certification to the counties
22 provided for in this Section to be given to the Comptroller
23 by the Department, the Comptroller shall cause the orders to
24 be drawn for the respective amounts in accordance with
25 directions contained in the certification.
26 In addition to the disbursement required by the preceding
27 paragraph, an allocation shall be made in March of each year
28 to each county that received more than $500,000 in
29 disbursements under the preceding paragraph in the preceding
30 calendar year. The allocation shall be in an amount equal to
31 the average monthly distribution made to each such county
32 under the preceding paragraph during the preceding calendar
33 year (excluding the 2 months of highest receipts). The
34 distribution made in March of each year subsequent to the
35 year in which an allocation was made pursuant to this
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1 paragraph and the preceding paragraph shall be reduced by the
2 amount allocated and disbursed under this paragraph in the
3 preceding calendar year. The Department shall prepare and
4 certify to the Comptroller for disbursement the allocations
5 made in accordance with this paragraph.
6 (d) For the purpose of determining the local
7 governmental unit whose tax is applicable, a retail sale by a
8 producer of coal or another mineral mined in Illinois is a
9 sale at retail at the place where the coal or other mineral
10 mined in Illinois is extracted from the earth. This
11 paragraph does not apply to coal or another mineral when it
12 is delivered or shipped by the seller to the purchaser at a
13 point outside Illinois so that the sale is exempt under the
14 United States Constitution as a sale in interstate or foreign
15 commerce.
16 (e) Nothing in this Section shall be construed to
17 authorize a county to impose a tax upon the privilege of
18 engaging in any business that under the Constitution of the
19 United States may not be made the subject of taxation by this
20 State.
21 (f) The results of any election authorizing a
22 proposition to impose a tax under this Section or effecting a
23 change in the rate of tax shall be certified by the county
24 clerk and filed with the Illinois Department of Revenue on or
25 before the first day of June. The Illinois Department of
26 Revenue shall then proceed to administer and enforce this
27 Section as of the first day of January next following the
28 filing.
29 (g) When certifying the amount of a monthly disbursement
30 to a county under this Section, the Department shall increase
31 or decrease the amounts by an amount necessary to offset any
32 miscalculation of previous disbursements. The offset amount
33 shall be the amount erroneously disbursed within the previous
34 6 months from the time a miscalculation is discovered.
35 (h) This Section may be cited as the "Special County
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1 Occupation Tax For Public Safety Law".
2 (Source: P.A. 89-107, eff. 1-1-96; 89-718, eff. 3-7-97.)
3 Section 35. The Senior Citizens Real Estate Tax Deferral
4 Act is amended by changing Sections 1, 2, 3, 5, and 7 and the
5 title of the Act as follows:
6 (320 ILCS 30/Act title)
7 An Act in relation to the deferral of payment of real
8 estate taxes by persons 65 years of age and over and disabled
9 persons.
10 (Source: P.A. 83-895.)
11 (320 ILCS 30/1) (from Ch. 67 1/2, par. 451)
12 Sec. 1. Short title. This Act shall be known and may be
13 cited as the "Senior Citizens and Disabled Persons Real
14 Estate Tax Deferral Act".
15 (Source: P.A. 83-895.)
16 (320 ILCS 30/2) (from Ch. 67 1/2, par. 452)
17 Sec. 2. Definitions. As used in this Act:
18 (a) "Taxpayer" means an individual whose household
19 income for the year is no greater than $25,000.
20 (b) "Tax deferred property" means the property upon
21 which real estate taxes are deferred under this Act.
22 (c) "Homestead" means the land and buildings thereon,
23 including a condominium or a dwelling unit in a multidwelling
24 building that is owned and operated as a cooperative,
25 occupied by the taxpayer as his residence or which are
26 temporarily unoccupied by the taxpayer because such taxpayer
27 is temporarily residing, for not more than 1 year, in a
28 licensed facility as defined in Section 1-113 of the Nursing
29 Home Care Act.
30 (d) "Real estate taxes" or "taxes" means the taxes on
31 real property for which the taxpayer would be liable under
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1 the Property Tax Code, including special service area taxes,
2 and special assessments on benefited real property for which
3 the taxpayer would be liable to a unit of local government.
4 (e) "Department" means the Department of Revenue.
5 (f) "Qualifying property" means a homestead which (a)
6 the taxpayer or the taxpayer and his spouse own in fee simple
7 or are purchasing in fee simple under a recorded instrument
8 of sale, (b) is not income-producing property, (c) is not
9 subject to a lien for unpaid real estate taxes when a claim
10 under this Act is filed.
11 (g) "Equity interest" means the current assessed
12 valuation of the qualified property times the fraction
13 necessary to convert that figure to full market value minus
14 any outstanding debts or liens on that property. In the case
15 of qualifying property not having a separate assessed
16 valuation, the appraised value as determined by a qualified
17 real estate appraiser shall be used instead of the current
18 assessed valuation.
19 (h) "Household income" has the meaning ascribed to that
20 term in the Senior Citizens and Disabled Persons Property Tax
21 Relief and Pharmaceutical Assistance Act.
22 (i) "Collector" means the county collector or, if the
23 taxes to be deferred are special assessments, an official
24 designated by a unit of local government to collect special
25 assessments.
26 (j) "Disabled person" has the same meaning as in Section
27 3.14 of the Senior Citizens and Disabled Persons Property Tax
28 Relief and Pharmaceutical Assistance Act.
29 (Source: P.A. 88-268; 88-509; 88-670, eff. 12-2-94.)
30 (320 ILCS 30/3) (from Ch. 67 1/2, par. 453)
31 Sec. 3. Application and requirements. A taxpayer may,
32 on or before March 1 of each year, apply to the county
33 collector of the county where his or her qualifying property
34 is located, or to the official designated by a unit of local
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1 government to collect special assessments on the qualifying
2 property, as the case may be, for a deferral of all or a part
3 of real estate taxes payable during that year for the
4 preceding year in the case of real estate taxes other than
5 special assessments, or for a deferral of any installments
6 payable during that year in the case of special assessments,
7 on all or part of his or her qualifying property. The
8 application shall be on a form prescribed by the Department
9 and furnished by the collector, showing that (a) the
10 applicant will be 65 years of age or older by June 1 of the
11 year for which a tax deferral is claimed or the applicant is
12 a disabled person as defined by Section 3.14 of the Senior
13 Citizens and Disabled Persons Property Tax Relief and
14 Pharmaceutical Assistance Act, (b) describing the property
15 and verifying that the property is qualifying property as
16 defined in Section 2, (c) certifying that the taxpayer has
17 owned and occupied as his or her residence such property or
18 other qualifying property in the State for at least the last
19 3 years except for any periods during which the taxpayer may
20 have temporarily resided in a nursing or sheltered care home,
21 and (d) specifying whether the deferral is for all or a part
22 of the taxes, and, if for a part, the amount of deferral
23 applied for. As to qualifying property not having a separate
24 assessed valuation, the taxpayer shall also file with the
25 county collector a written appraisal of the property prepared
26 by a qualified real estate appraiser together with a
27 certificate signed by the appraiser stating that he or she
28 has personally examined the property and setting forth the
29 value of the land and the value of the buildings thereon
30 occupied by the taxpayer as his or her residence. The
31 collector shall grant the tax deferral provided such deferral
32 does not exceed funds available in the Senior Citizens and
33 Disabled Persons Real Estate Deferred Tax Revolving Fund and
34 provided that the owner or owners of such real property have
35 entered into a tax deferral and recovery agreement with the
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1 collector on behalf of the county or other unit of local
2 government, which agreement expressly states:
3 (1) that the total amount of taxes deferred under this
4 Act, plus interest, for the year for which a tax deferral is
5 claimed as well as for those previous years for which taxes
6 are not delinquent and for which such deferral has been
7 claimed may not exceed 80% of the taxpayer's equity interest
8 in the property for which taxes are to be deferred and that,
9 if the total deferred taxes plus interest equals 80% of the
10 taxpayer's equity interest in the property, the taxpayer
11 shall thereafter pay the annual interest due on such deferred
12 taxes plus interest so that total deferred taxes plus
13 interest will not exceed such 80% of the taxpayer's equity
14 interest in the property;
15 (2) that any real estate taxes deferred under this Act
16 and any interest accrued thereon at the rate of 6% per year
17 are a lien on the real estate and improvements thereon until
18 paid. No sale or transfer of such real property may be
19 legally closed and recorded until the taxes which would
20 otherwise have been due on the property, plus accrued
21 interest, have been paid unless the collector certifies in
22 writing that an arrangement for prompt payment of the amount
23 due has been made with his or her office. The same shall
24 apply if the property is to be made the subject of a contract
25 of sale.
26 (3) that upon the death of the taxpayer claiming the
27 deferral the heirs-at-law, assignees or legatees shall have
28 first priority to the real property upon which taxes have
29 been deferred by paying in full the total taxes which would
30 otherwise have been due, plus interest. However, if such
31 heir-at-law, assignee, or legatee is a surviving spouse, the
32 tax deferred status of the property shall be continued during
33 the life of that surviving spouse if the spouse is 55 years
34 of age or older within 6 months of the date of death of the
35 taxpayer and enters into a tax deferral and recovery
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1 agreement before the time when deferred taxes become due
2 under this Section. Any additional taxes deferred, plus
3 interest, on the real property under a tax deferral and
4 recovery agreement signed by a surviving spouse shall be
5 added to the taxes and interest which would otherwise have
6 been due, and the payment of which has been postponed during
7 the life of such surviving spouse, in determining the 80%
8 equity requirement provided by this Section.
9 (4) that if the taxes due, plus interest, are not paid
10 by the heir-at-law, assignee or legatee or if payment is not
11 postponed during the life of a surviving spouse, the deferred
12 taxes and interest shall be recovered from the estate of the
13 taxpayer within one year of the date of his or her death. In
14 addition, deferred real estate taxes and any interest accrued
15 thereon are due within 90 days after any tax deferred
16 property ceases to be qualifying property as defined in
17 Section 2.
18 If payment is not made when required by this Section,
19 foreclosure proceedings may be instituted under the Property
20 Tax Code.
21 (5) that any joint owner or mortgagee holding a mortgage
22 on such property has given written prior approval for such
23 agreement, which written approval shall be made a part of
24 such agreement.
25 (6) that a guardian for a person under legal disability
26 appointed for a taxpayer who otherwise qualifies under this
27 Act may act for the taxpayer in complying with this Act.
28 (7) that a taxpayer or his or her agent has provided to
29 the satisfaction of the collector, sufficient evidence that
30 the qualifying property on which the taxes are to be deferred
31 is insured against fire or casualty loss for at least the
32 total amount of taxes which have been deferred.
33 If the taxes to be deferred are special assessments, the
34 unit of local government making the assessments shall forward
35 a copy of the agreement entered into pursuant to this Section
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1 and the bills for such assessments to the county collector of
2 the county in which the qualifying property is located.
3 (Source: P.A. 88-670, eff. 12-2-94.)
4 (320 ILCS 30/5) (from Ch. 67 1/2, par. 455)
5 Sec. 5. Tax bills; payment. The county collector shall
6 note on his or her books each claim for deferral of real
7 estate taxes which meets the requirements of Section 3 and,
8 when taxes are extended, shall send to the Department the tax
9 bills, including special assessment bills forwarded to the
10 county collector under Section 3, on all tax deferred
11 property in that collector's county. The Department shall
12 then pay by June 1 or within 30 days of the receipt of these
13 tax bills, whichever is later, to the county collector, for
14 distribution to the taxing bodies in his or her county, the
15 total amount of taxes so deferred. The Department shall make
16 these payments from the Senior Citizens and Disabled Persons
17 Real Estate Deferred Tax Revolving Fund.
18 (Source: P.A. 84-807.)
19 (320 ILCS 30/7) (from Ch. 67 1/2, par. 457)
20 Sec. 7. Collection. When any deferred taxes, including
21 interest, are collected, the moneys shall be credited to a
22 special account in the treasury of the unit of local
23 government and the collector shall notify the treasurer of
24 the unit of local government of the properties for which the
25 taxes were collected by setting forth a description of the
26 property and the amount of taxes and interest collected for
27 each property. The treasurer shall remit by the 10th day of
28 each month the amount of deferred taxes and accrued interest
29 paid during the preceding month, minus $50 or the total
30 amount of deferred taxes and accrued interest collected,
31 whichever is less, to the Department. The remittance shall
32 be accompanied by a statement giving a description for each
33 property for which the taxes were collected and setting out
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1 the amount of the taxes and interest collected for each
2 property.
3 If the tax deferred property is sold by foreclosure under
4 the Property Tax Code, the proceeds of the sale which may be
5 applied under that Act to the payment of real estate taxes
6 and interest shall be remitted by the county treasurer to the
7 Department along with a description of the property and the
8 amount of taxes and interest collected thereon.
9 When any deferred taxes and accrued interest are received
10 by the Department, it shall enter the amounts received
11 against the accounts which have been set up for the tax
12 deferred properties and shall within 5 days remit such moneys
13 to the State Treasurer for deposit in the Senior Citizens and
14 Disabled Persons Real Estate Deferred Tax Revolving Fund.
15 (Source: P.A. 88-670, eff. 12-2-94.)
16 (30 ILCS 105/5.416 rep.)
17 Section 50. The State Finance Act is amended by
18 repealing Section 5.416.
19 Section 99. Effective date. This Act takes effect upon
20 becoming law, except that the provisions amending the
21 Property Tax Code by changing Section 6-30 and adding
22 Sections 6-32 and 6-34 take effect January 1, 1999.".
23 Submitted on , 1997.
24 ______________________________ _____________________________
25 Senator Hawkinson Representative Smith, Michael
26 ______________________________ _____________________________
27 Senator Peterson Representative Fantin
28 ______________________________ _____________________________
29 Senator Weaver, S. Representative Currie
30 ______________________________ _____________________________
31 Senator Severns Representative Churchill
32 ______________________________ _____________________________
33 Senator Clayborne Representative Leitch
34 Committee for the Senate Committee for the House