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90_SB1458sam003
LRB9011307PTbdam
1 AMENDMENT TO SENATE BILL 1458
2 AMENDMENT NO. . Amend Senate Bill 1458, AS AMENDED,
3 by replacing the title with the following:
4 "AN ACT in relation to taxes."; and
5 by replacing everything after the enacting clause with the
6 following:
7 "Section 5. The Use Tax Act is amended by changing
8 Sections 3-10 and 9 as follows:
9 (35 ILCS 105/3-10) (from Ch. 120, par. 439.3-10)
10 Sec. 3-10. Rate of tax. Unless otherwise provided in
11 this Section, the tax imposed by this Act is at the rate of
12 6.25% of either the selling price or the fair market value,
13 if any, of the tangible personal property. In all cases
14 where property functionally used or consumed is the same as
15 the property that was purchased at retail, then the tax is
16 imposed on the selling price of the property. In all cases
17 where property functionally used or consumed is a by-product
18 or waste product that has been refined, manufactured, or
19 produced from property purchased at retail, then the tax is
20 imposed on the lower of the fair market value, if any, of the
21 specific property so used in this State or on the selling
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1 price of the property purchased at retail. For purposes of
2 this Section "fair market value" means the price at which
3 property would change hands between a willing buyer and a
4 willing seller, neither being under any compulsion to buy or
5 sell and both having reasonable knowledge of the relevant
6 facts. The fair market value shall be established by Illinois
7 sales by the taxpayer of the same property as that
8 functionally used or consumed, or if there are no such sales
9 by the taxpayer, then comparable sales or purchases of
10 property of like kind and character in Illinois.
11 With respect to motor fuel, as defined in Section 1.1 of
12 the Motor Fuel Tax Law, and gasohol, as defined in Section
13 3-40 of the Use Tax Act, the tax is imposed at the rate of
14 1.25%. If, however, the aggregate tax revenues from motor
15 fuel and gasohol under the Use Tax Act, the Service Use Tax
16 Act, the Service Occupation Tax Act, and the Retailers'
17 Occupation Tax Act during the period from October 1, 2001
18 through September 30, 2002 are not at least 15% more than the
19 aggregate tax revenues from motor fuel and gasohol under
20 those Acts during the period from October 1, 1998 through
21 September 30, 1999, then beginning January 1, 2003 the tax is
22 imposed on motor fuel and gasohol at the 6.25% general rate.
23 With respect to gasohol, the tax imposed by this Act
24 applies to 70% of the proceeds of sales made on or after
25 January 1, 1990, and before July 1, 1999, and to 100% of the
26 proceeds of sales made thereafter, except that from July 1,
27 1997 to July 1, 1999, the rate shall be 85% for gasohol sold
28 in this State during the 12 months beginning July 1 following
29 any calendar year for which the Department has determined
30 that the percentages in Section 10 of the Gasohol Fuels Tax
31 Abatement Act have not been met.
32 With respect to food for human consumption that is to be
33 consumed off the premises where it is sold (other than
34 alcoholic beverages, soft drinks, and food that has been
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1 prepared for immediate consumption) and prescription and
2 nonprescription medicines, drugs, medical appliances,
3 modifications to a motor vehicle for the purpose of rendering
4 it usable by a disabled person, and insulin, urine testing
5 materials, syringes, and needles used by diabetics, for human
6 use, the tax is imposed at the rate of 1%. For the purposes
7 of this Section, the term "soft drinks" means any complete,
8 finished, ready-to-use, non-alcoholic drink, whether
9 carbonated or not, including but not limited to soda water,
10 cola, fruit juice, vegetable juice, carbonated water, and all
11 other preparations commonly known as soft drinks of whatever
12 kind or description that are contained in any closed or
13 sealed bottle, can, carton, or container, regardless of size.
14 "Soft drinks" does not include coffee, tea, non-carbonated
15 water, infant formula, milk or milk products as defined in
16 the Grade A Pasteurized Milk and Milk Products Act, or drinks
17 containing 50% or more natural fruit or vegetable juice.
18 Notwithstanding any other provisions of this Act, "food
19 for human consumption that is to be consumed off the premises
20 where it is sold" includes all food sold through a vending
21 machine, except soft drinks and food products that are
22 dispensed hot from a vending machine, regardless of the
23 location of the vending machine.
24 If the property that is purchased at retail from a
25 retailer is acquired outside Illinois and used outside
26 Illinois before being brought to Illinois for use here and is
27 taxable under this Act, the "selling price" on which the tax
28 is computed shall be reduced by an amount that represents a
29 reasonable allowance for depreciation for the period of prior
30 out-of-state use.
31 (Source: P.A. 88-45; 89-359, eff. 8-17-95; 89-420, eff.
32 6-1-96; 89-463, eff. 5-31-96; 89-626, eff. 8-9-96.)
33 (35 ILCS 105/9) (from Ch. 120, par. 439.9)
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1 (Text of Section before amendment by P.A. 90-491)
2 Sec. 9. Except as to motor vehicles, watercraft,
3 aircraft, and trailers that are required to be registered
4 with an agency of this State, each retailer required or
5 authorized to collect the tax imposed by this Act shall pay
6 to the Department the amount of such tax (except as otherwise
7 provided) at the time when he is required to file his return
8 for the period during which such tax was collected, less a
9 discount of 2.1% prior to January 1, 1990, and 1.75% on and
10 after January 1, 1990, or $5 per calendar year, whichever is
11 greater, which is allowed to reimburse the retailer for
12 expenses incurred in collecting the tax, keeping records,
13 preparing and filing returns, remitting the tax and supplying
14 data to the Department on request. In the case of retailers
15 who report and pay the tax on a transaction by transaction
16 basis, as provided in this Section, such discount shall be
17 taken with each such tax remittance instead of when such
18 retailer files his periodic return. A retailer need not
19 remit that part of any tax collected by him to the extent
20 that he is required to remit and does remit the tax imposed
21 by the Retailers' Occupation Tax Act, with respect to the
22 sale of the same property.
23 Where such tangible personal property is sold under a
24 conditional sales contract, or under any other form of sale
25 wherein the payment of the principal sum, or a part thereof,
26 is extended beyond the close of the period for which the
27 return is filed, the retailer, in collecting the tax (except
28 as to motor vehicles, watercraft, aircraft, and trailers that
29 are required to be registered with an agency of this State),
30 may collect for each tax return period, only the tax
31 applicable to that part of the selling price actually
32 received during such tax return period.
33 Except as provided in this Section, on or before the
34 twentieth day of each calendar month, such retailer shall
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1 file a return for the preceding calendar month. Such return
2 shall be filed on forms prescribed by the Department and
3 shall furnish such information as the Department may
4 reasonably require.
5 The Department may require returns to be filed on a
6 quarterly basis. If so required, a return for each calendar
7 quarter shall be filed on or before the twentieth day of the
8 calendar month following the end of such calendar quarter.
9 The taxpayer shall also file a return with the Department for
10 each of the first two months of each calendar quarter, on or
11 before the twentieth day of the following calendar month,
12 stating:
13 1. The name of the seller;
14 2. The address of the principal place of business
15 from which he engages in the business of selling tangible
16 personal property at retail in this State;
17 3. The total amount of taxable receipts received by
18 him during the preceding calendar month from sales of
19 tangible personal property by him during such preceding
20 calendar month, including receipts from charge and time
21 sales, but less all deductions allowed by law;
22 4. The amount of credit provided in Section 2d of
23 this Act;
24 5. The amount of tax due;
25 5-5. The signature of the taxpayer; and
26 6. Such other reasonable information as the
27 Department may require.
28 If a taxpayer fails to sign a return within 30 days after
29 the proper notice and demand for signature by the Department,
30 the return shall be considered valid and any amount shown to
31 be due on the return shall be deemed assessed.
32 Beginning October 1, 1993, a taxpayer who has an average
33 monthly tax liability of $150,000 or more shall make all
34 payments required by rules of the Department by electronic
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1 funds transfer. Beginning October 1, 1994, a taxpayer who has
2 an average monthly tax liability of $100,000 or more shall
3 make all payments required by rules of the Department by
4 electronic funds transfer. Beginning October 1, 1995, a
5 taxpayer who has an average monthly tax liability of $50,000
6 or more shall make all payments required by rules of the
7 Department by electronic funds transfer. The term "average
8 monthly tax liability" means the sum of the taxpayer's
9 liabilities under this Act, and under all other State and
10 local occupation and use tax laws administered by the
11 Department, for the immediately preceding calendar year
12 divided by 12.
13 Before August 1 of each year beginning in 1993, the
14 Department shall notify all taxpayers required to make
15 payments by electronic funds transfer. All taxpayers required
16 to make payments by electronic funds transfer shall make
17 those payments for a minimum of one year beginning on October
18 1.
19 Any taxpayer not required to make payments by electronic
20 funds transfer may make payments by electronic funds transfer
21 with the permission of the Department.
22 All taxpayers required to make payment by electronic
23 funds transfer and any taxpayers authorized to voluntarily
24 make payments by electronic funds transfer shall make those
25 payments in the manner authorized by the Department.
26 The Department shall adopt such rules as are necessary to
27 effectuate a program of electronic funds transfer and the
28 requirements of this Section.
29 If the taxpayer's average monthly tax liability to the
30 Department under this Act, the Retailers' Occupation Tax Act,
31 the Service Occupation Tax Act, the Service Use Tax Act was
32 $10,000 or more during the preceding 4 complete calendar
33 quarters, he shall file a return with the Department each
34 month by the 20th day of the month next following the month
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1 during which such tax liability is incurred and shall make
2 payments to the Department on or before the 7th, 15th, 22nd
3 and last day of the month during which such liability is
4 incurred. If the month during which such tax liability is
5 incurred began prior to January 1, 1985, each payment shall
6 be in an amount equal to 1/4 of the taxpayer's actual
7 liability for the month or an amount set by the Department
8 not to exceed 1/4 of the average monthly liability of the
9 taxpayer to the Department for the preceding 4 complete
10 calendar quarters (excluding the month of highest liability
11 and the month of lowest liability in such 4 quarter period).
12 If the month during which such tax liability is incurred
13 begins on or after January 1, 1985, and prior to January 1,
14 1987, each payment shall be in an amount equal to 22.5% of
15 the taxpayer's actual liability for the month or 27.5% of the
16 taxpayer's liability for the same calendar month of the
17 preceding year. If the month during which such tax liability
18 is incurred begins on or after January 1, 1987, and prior to
19 January 1, 1988, each payment shall be in an amount equal to
20 22.5% of the taxpayer's actual liability for the month or
21 26.25% of the taxpayer's liability for the same calendar
22 month of the preceding year. If the month during which such
23 tax liability is incurred begins on or after January 1, 1988,
24 and prior to January 1, 1989, or begins on or after January
25 1, 1996, each payment shall be in an amount equal to 22.5% of
26 the taxpayer's actual liability for the month or 25% of the
27 taxpayer's liability for the same calendar month of the
28 preceding year. If the month during which such tax liability
29 is incurred begins on or after January 1, 1989, and prior to
30 January 1, 1996, each payment shall be in an amount equal to
31 22.5% of the taxpayer's actual liability for the month or 25%
32 of the taxpayer's liability for the same calendar month of
33 the preceding year or 100% of the taxpayer's actual liability
34 for the quarter monthly reporting period. The amount of such
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1 quarter monthly payments shall be credited against the final
2 tax liability of the taxpayer's return for that month. Once
3 applicable, the requirement of the making of quarter monthly
4 payments to the Department shall continue until such
5 taxpayer's average monthly liability to the Department during
6 the preceding 4 complete calendar quarters (excluding the
7 month of highest liability and the month of lowest liability)
8 is less than $9,000, or until such taxpayer's average monthly
9 liability to the Department as computed for each calendar
10 quarter of the 4 preceding complete calendar quarter period
11 is less than $10,000. However, if a taxpayer can show the
12 Department that a substantial change in the taxpayer's
13 business has occurred which causes the taxpayer to anticipate
14 that his average monthly tax liability for the reasonably
15 foreseeable future will fall below $10,000, then such
16 taxpayer may petition the Department for change in such
17 taxpayer's reporting status. The Department shall change
18 such taxpayer's reporting status unless it finds that such
19 change is seasonal in nature and not likely to be long term.
20 If any such quarter monthly payment is not paid at the time
21 or in the amount required by this Section, then the
22 taxpayer's 2.1% or 1.75% vendors' discount shall be reduced
23 by 2.1% or 1.75%, as the case may be, of the difference
24 between the minimum amount due and the amount of such quarter
25 monthly payment actually and timely paid and the taxpayer
26 shall be liable for penalties and interest on such
27 difference, except insofar as the taxpayer has previously
28 made payments for that month to the Department in excess of
29 the minimum payments previously due as provided in this
30 Section. The Department shall make reasonable rules and
31 regulations to govern the quarter monthly payment amount and
32 quarter monthly payment dates for taxpayers who file on other
33 than a calendar monthly basis.
34 If any such payment provided for in this Section exceeds
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1 the taxpayer's liabilities under this Act, the Retailers'
2 Occupation Tax Act, the Service Occupation Tax Act and the
3 Service Use Tax Act, as shown by an original monthly return,
4 the Department shall issue to the taxpayer a credit
5 memorandum no later than 30 days after the date of payment,
6 which memorandum may be submitted by the taxpayer to the
7 Department in payment of tax liability subsequently to be
8 remitted by the taxpayer to the Department or be assigned by
9 the taxpayer to a similar taxpayer under this Act, the
10 Retailers' Occupation Tax Act, the Service Occupation Tax Act
11 or the Service Use Tax Act, in accordance with reasonable
12 rules and regulations to be prescribed by the Department,
13 except that if such excess payment is shown on an original
14 monthly return and is made after December 31, 1986, no credit
15 memorandum shall be issued, unless requested by the taxpayer.
16 If no such request is made, the taxpayer may credit such
17 excess payment against tax liability subsequently to be
18 remitted by the taxpayer to the Department under this Act,
19 the Retailers' Occupation Tax Act, the Service Occupation Tax
20 Act or the Service Use Tax Act, in accordance with reasonable
21 rules and regulations prescribed by the Department. If the
22 Department subsequently determines that all or any part of
23 the credit taken was not actually due to the taxpayer, the
24 taxpayer's 2.1% or 1.75% vendor's discount shall be reduced
25 by 2.1% or 1.75% of the difference between the credit taken
26 and that actually due, and the taxpayer shall be liable for
27 penalties and interest on such difference.
28 If the retailer is otherwise required to file a monthly
29 return and if the retailer's average monthly tax liability to
30 the Department does not exceed $200, the Department may
31 authorize his returns to be filed on a quarter annual basis,
32 with the return for January, February, and March of a given
33 year being due by April 20 of such year; with the return for
34 April, May and June of a given year being due by July 20 of
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1 such year; with the return for July, August and September of
2 a given year being due by October 20 of such year, and with
3 the return for October, November and December of a given year
4 being due by January 20 of the following year.
5 If the retailer is otherwise required to file a monthly
6 or quarterly return and if the retailer's average monthly tax
7 liability to the Department does not exceed $50, the
8 Department may authorize his returns to be filed on an annual
9 basis, with the return for a given year being due by January
10 20 of the following year.
11 Such quarter annual and annual returns, as to form and
12 substance, shall be subject to the same requirements as
13 monthly returns.
14 Notwithstanding any other provision in this Act
15 concerning the time within which a retailer may file his
16 return, in the case of any retailer who ceases to engage in a
17 kind of business which makes him responsible for filing
18 returns under this Act, such retailer shall file a final
19 return under this Act with the Department not more than one
20 month after discontinuing such business.
21 In addition, with respect to motor vehicles, watercraft,
22 aircraft, and trailers that are required to be registered
23 with an agency of this State, every retailer selling this
24 kind of tangible personal property shall file, with the
25 Department, upon a form to be prescribed and supplied by the
26 Department, a separate return for each such item of tangible
27 personal property which the retailer sells, except that
28 where, in the same transaction, a retailer of aircraft,
29 watercraft, motor vehicles or trailers transfers more than
30 one aircraft, watercraft, motor vehicle or trailer to another
31 aircraft, watercraft, motor vehicle or trailer retailer for
32 the purpose of resale, that seller for resale may report the
33 transfer of all the aircraft, watercraft, motor vehicles or
34 trailers involved in that transaction to the Department on
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1 the same uniform invoice-transaction reporting return form.
2 For purposes of this Section, "watercraft" means a Class 2,
3 Class 3, or Class 4 watercraft as defined in Section 3-2 of
4 the Boat Registration and Safety Act, a personal watercraft,
5 or any boat equipped with an inboard motor.
6 The transaction reporting return in the case of motor
7 vehicles or trailers that are required to be registered with
8 an agency of this State, shall be the same document as the
9 Uniform Invoice referred to in Section 5-402 of the Illinois
10 Vehicle Code and must show the name and address of the
11 seller; the name and address of the purchaser; the amount of
12 the selling price including the amount allowed by the
13 retailer for traded-in property, if any; the amount allowed
14 by the retailer for the traded-in tangible personal property,
15 if any, to the extent to which Section 2 of this Act allows
16 an exemption for the value of traded-in property; the balance
17 payable after deducting such trade-in allowance from the
18 total selling price; the amount of tax due from the retailer
19 with respect to such transaction; the amount of tax collected
20 from the purchaser by the retailer on such transaction (or
21 satisfactory evidence that such tax is not due in that
22 particular instance, if that is claimed to be the fact); the
23 place and date of the sale; a sufficient identification of
24 the property sold; such other information as is required in
25 Section 5-402 of the Illinois Vehicle Code, and such other
26 information as the Department may reasonably require.
27 The transaction reporting return in the case of
28 watercraft and aircraft must show the name and address of the
29 seller; the name and address of the purchaser; the amount of
30 the selling price including the amount allowed by the
31 retailer for traded-in property, if any; the amount allowed
32 by the retailer for the traded-in tangible personal property,
33 if any, to the extent to which Section 2 of this Act allows
34 an exemption for the value of traded-in property; the balance
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1 payable after deducting such trade-in allowance from the
2 total selling price; the amount of tax due from the retailer
3 with respect to such transaction; the amount of tax collected
4 from the purchaser by the retailer on such transaction (or
5 satisfactory evidence that such tax is not due in that
6 particular instance, if that is claimed to be the fact); the
7 place and date of the sale, a sufficient identification of
8 the property sold, and such other information as the
9 Department may reasonably require.
10 Such transaction reporting return shall be filed not
11 later than 20 days after the date of delivery of the item
12 that is being sold, but may be filed by the retailer at any
13 time sooner than that if he chooses to do so. The
14 transaction reporting return and tax remittance or proof of
15 exemption from the tax that is imposed by this Act may be
16 transmitted to the Department by way of the State agency with
17 which, or State officer with whom, the tangible personal
18 property must be titled or registered (if titling or
19 registration is required) if the Department and such agency
20 or State officer determine that this procedure will expedite
21 the processing of applications for title or registration.
22 With each such transaction reporting return, the retailer
23 shall remit the proper amount of tax due (or shall submit
24 satisfactory evidence that the sale is not taxable if that is
25 the case), to the Department or its agents, whereupon the
26 Department shall issue, in the purchaser's name, a tax
27 receipt (or a certificate of exemption if the Department is
28 satisfied that the particular sale is tax exempt) which such
29 purchaser may submit to the agency with which, or State
30 officer with whom, he must title or register the tangible
31 personal property that is involved (if titling or
32 registration is required) in support of such purchaser's
33 application for an Illinois certificate or other evidence of
34 title or registration to such tangible personal property.
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1 No retailer's failure or refusal to remit tax under this
2 Act precludes a user, who has paid the proper tax to the
3 retailer, from obtaining his certificate of title or other
4 evidence of title or registration (if titling or registration
5 is required) upon satisfying the Department that such user
6 has paid the proper tax (if tax is due) to the retailer. The
7 Department shall adopt appropriate rules to carry out the
8 mandate of this paragraph.
9 If the user who would otherwise pay tax to the retailer
10 wants the transaction reporting return filed and the payment
11 of tax or proof of exemption made to the Department before
12 the retailer is willing to take these actions and such user
13 has not paid the tax to the retailer, such user may certify
14 to the fact of such delay by the retailer, and may (upon the
15 Department being satisfied of the truth of such
16 certification) transmit the information required by the
17 transaction reporting return and the remittance for tax or
18 proof of exemption directly to the Department and obtain his
19 tax receipt or exemption determination, in which event the
20 transaction reporting return and tax remittance (if a tax
21 payment was required) shall be credited by the Department to
22 the proper retailer's account with the Department, but
23 without the 2.1% or 1.75% discount provided for in this
24 Section being allowed. When the user pays the tax directly
25 to the Department, he shall pay the tax in the same amount
26 and in the same form in which it would be remitted if the tax
27 had been remitted to the Department by the retailer.
28 Where a retailer collects the tax with respect to the
29 selling price of tangible personal property which he sells
30 and the purchaser thereafter returns such tangible personal
31 property and the retailer refunds the selling price thereof
32 to the purchaser, such retailer shall also refund, to the
33 purchaser, the tax so collected from the purchaser. When
34 filing his return for the period in which he refunds such tax
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1 to the purchaser, the retailer may deduct the amount of the
2 tax so refunded by him to the purchaser from any other use
3 tax which such retailer may be required to pay or remit to
4 the Department, as shown by such return, if the amount of the
5 tax to be deducted was previously remitted to the Department
6 by such retailer. If the retailer has not previously
7 remitted the amount of such tax to the Department, he is
8 entitled to no deduction under this Act upon refunding such
9 tax to the purchaser.
10 Any retailer filing a return under this Section shall
11 also include (for the purpose of paying tax thereon) the
12 total tax covered by such return upon the selling price of
13 tangible personal property purchased by him at retail from a
14 retailer, but as to which the tax imposed by this Act was not
15 collected from the retailer filing such return, and such
16 retailer shall remit the amount of such tax to the Department
17 when filing such return.
18 If experience indicates such action to be practicable,
19 the Department may prescribe and furnish a combination or
20 joint return which will enable retailers, who are required to
21 file returns hereunder and also under the Retailers'
22 Occupation Tax Act, to furnish all the return information
23 required by both Acts on the one form.
24 Where the retailer has more than one business registered
25 with the Department under separate registration under this
26 Act, such retailer may not file each return that is due as a
27 single return covering all such registered businesses, but
28 shall file separate returns for each such registered
29 business.
30 Beginning January 1, 1990, each month the Department
31 shall pay into the State and Local Sales Tax Reform Fund, a
32 special fund in the State Treasury which is hereby created,
33 the net revenue realized for the preceding month from the 1%
34 tax on sales of food for human consumption which is to be
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1 consumed off the premises where it is sold (other than
2 alcoholic beverages, soft drinks and food which has been
3 prepared for immediate consumption) and prescription and
4 nonprescription medicines, drugs, medical appliances and
5 insulin, urine testing materials, syringes and needles used
6 by diabetics.
7 Beginning January 1, 1990, each month the Department
8 shall pay into the County and Mass Transit District Fund 4%
9 of the net revenue realized for the preceding month from the
10 6.25% general rate on the selling price of tangible personal
11 property which is purchased outside Illinois at retail from a
12 retailer and which is titled or registered by an agency of
13 this State's government.
14 Beginning January 1, 1990, each month the Department
15 shall pay into the State and Local Sales Tax Reform Fund, a
16 special fund in the State Treasury, 20% of the net revenue
17 realized for the preceding month from the 6.25% general rate
18 on the selling price of tangible personal property, other
19 than tangible personal property which is purchased outside
20 Illinois at retail from a retailer and which is titled or
21 registered by an agency of this State's government.
22 Beginning November 1, 1998, and so long as the rate
23 remains at 1.25%, each month the Department shall pay into
24 the County and Mass Transit District Fund 20% of the net
25 revenue realized for the preceding month from the 1.25% rate
26 on the selling price of motor fuel and gasohol.
27 Beginning January 1, 1990, each month the Department
28 shall pay into the Local Government Tax Fund 16% of the net
29 revenue realized for the preceding month from the 6.25%
30 general rate on the selling price of tangible personal
31 property which is purchased outside Illinois at retail from a
32 retailer and which is titled or registered by an agency of
33 this State's government.
34 Beginning November 1, 1998, and so long as the rate
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1 remains at 1.25%, each month the Department shall pay into
2 the Local Government Tax Fund 80% of the net revenue realized
3 for the preceding month from the 1.25% rate on the selling
4 price of motor fuel and gasohol.
5 Of the remainder of the moneys received by the Department
6 pursuant to this Act, (a) 1.75% thereof shall be paid into
7 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
8 and on and after July 1, 1989, 3.8% thereof shall be paid
9 into the Build Illinois Fund; provided, however, that if in
10 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
11 as the case may be, of the moneys received by the Department
12 and required to be paid into the Build Illinois Fund pursuant
13 to Section 3 of the Retailers' Occupation Tax Act, Section 9
14 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
15 Section 9 of the Service Occupation Tax Act, such Acts being
16 hereinafter called the "Tax Acts" and such aggregate of 2.2%
17 or 3.8%, as the case may be, of moneys being hereinafter
18 called the "Tax Act Amount", and (2) the amount transferred
19 to the Build Illinois Fund from the State and Local Sales Tax
20 Reform Fund shall be less than the Annual Specified Amount
21 (as defined in Section 3 of the Retailers' Occupation Tax
22 Act), an amount equal to the difference shall be immediately
23 paid into the Build Illinois Fund from other moneys received
24 by the Department pursuant to the Tax Acts; and further
25 provided, that if on the last business day of any month the
26 sum of (1) the Tax Act Amount required to be deposited into
27 the Build Illinois Bond Account in the Build Illinois Fund
28 during such month and (2) the amount transferred during such
29 month to the Build Illinois Fund from the State and Local
30 Sales Tax Reform Fund shall have been less than 1/12 of the
31 Annual Specified Amount, an amount equal to the difference
32 shall be immediately paid into the Build Illinois Fund from
33 other moneys received by the Department pursuant to the Tax
34 Acts; and, further provided, that in no event shall the
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1 payments required under the preceding proviso result in
2 aggregate payments into the Build Illinois Fund pursuant to
3 this clause (b) for any fiscal year in excess of the greater
4 of (i) the Tax Act Amount or (ii) the Annual Specified Amount
5 for such fiscal year; and, further provided, that the amounts
6 payable into the Build Illinois Fund under this clause (b)
7 shall be payable only until such time as the aggregate amount
8 on deposit under each trust indenture securing Bonds issued
9 and outstanding pursuant to the Build Illinois Bond Act is
10 sufficient, taking into account any future investment income,
11 to fully provide, in accordance with such indenture, for the
12 defeasance of or the payment of the principal of, premium, if
13 any, and interest on the Bonds secured by such indenture and
14 on any Bonds expected to be issued thereafter and all fees
15 and costs payable with respect thereto, all as certified by
16 the Director of the Bureau of the Budget. If on the last
17 business day of any month in which Bonds are outstanding
18 pursuant to the Build Illinois Bond Act, the aggregate of the
19 moneys deposited in the Build Illinois Bond Account in the
20 Build Illinois Fund in such month shall be less than the
21 amount required to be transferred in such month from the
22 Build Illinois Bond Account to the Build Illinois Bond
23 Retirement and Interest Fund pursuant to Section 13 of the
24 Build Illinois Bond Act, an amount equal to such deficiency
25 shall be immediately paid from other moneys received by the
26 Department pursuant to the Tax Acts to the Build Illinois
27 Fund; provided, however, that any amounts paid to the Build
28 Illinois Fund in any fiscal year pursuant to this sentence
29 shall be deemed to constitute payments pursuant to clause (b)
30 of the preceding sentence and shall reduce the amount
31 otherwise payable for such fiscal year pursuant to clause (b)
32 of the preceding sentence. The moneys received by the
33 Department pursuant to this Act and required to be deposited
34 into the Build Illinois Fund are subject to the pledge, claim
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1 and charge set forth in Section 12 of the Build Illinois Bond
2 Act.
3 Subject to payment of amounts into the Build Illinois
4 Fund as provided in the preceding paragraph or in any
5 amendment thereto hereafter enacted, the following specified
6 monthly installment of the amount requested in the
7 certificate of the Chairman of the Metropolitan Pier and
8 Exposition Authority provided under Section 8.25f of the
9 State Finance Act, but not in excess of the sums designated
10 as "Total Deposit", shall be deposited in the aggregate from
11 collections under Section 9 of the Use Tax Act, Section 9 of
12 the Service Use Tax Act, Section 9 of the Service Occupation
13 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
14 into the McCormick Place Expansion Project Fund in the
15 specified fiscal years.
16 Fiscal Year Total Deposit
17 1993 $0
18 1994 53,000,000
19 1995 58,000,000
20 1996 61,000,000
21 1997 64,000,000
22 1998 68,000,000
23 1999 71,000,000
24 2000 75,000,000
25 2001 80,000,000
26 2002 84,000,000
27 2003 89,000,000
28 2004 and 93,000,000
29 each fiscal year
30 thereafter that bonds
31 are outstanding under
32 Section 13.2 of the
33 Metropolitan Pier and
34 Exposition Authority
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1 Act.
2 Beginning July 20, 1993 and in each month of each fiscal
3 year thereafter, one-eighth of the amount requested in the
4 certificate of the Chairman of the Metropolitan Pier and
5 Exposition Authority for that fiscal year, less the amount
6 deposited into the McCormick Place Expansion Project Fund by
7 the State Treasurer in the respective month under subsection
8 (g) of Section 13 of the Metropolitan Pier and Exposition
9 Authority Act, plus cumulative deficiencies in the deposits
10 required under this Section for previous months and years,
11 shall be deposited into the McCormick Place Expansion Project
12 Fund, until the full amount requested for the fiscal year,
13 but not in excess of the amount specified above as "Total
14 Deposit", has been deposited.
15 Subject to payment of amounts into the Build Illinois
16 Fund and the McCormick Place Expansion Project Fund pursuant
17 to the preceding paragraphs or in any amendment thereto
18 hereafter enacted, each month the Department shall pay into
19 the Local Government Distributive Fund .4% of the net revenue
20 realized for the preceding month from the 5% general rate, or
21 .4% of 80% of the net revenue realized for the preceding
22 month from the 6.25% general rate, as the case may be, on the
23 selling price of tangible personal property which amount
24 shall, subject to appropriation, be distributed as provided
25 in Section 2 of the State Revenue Sharing Act. No payments or
26 distributions pursuant to this paragraph shall be made if the
27 tax imposed by this Act on photoprocessing products is
28 declared unconstitutional, or if the proceeds from such tax
29 are unavailable for distribution because of litigation.
30 Subject to payment of amounts into the Build Illinois
31 Fund, the McCormick Place Expansion Project Fund, and the
32 Local Government Distributive Fund pursuant to the preceding
33 paragraphs or in any amendments thereto hereafter enacted,
34 beginning July 1, 1993, the Department shall each month pay
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1 into the Illinois Tax Increment Fund 0.27% of 80% of the net
2 revenue realized for the preceding month from the 6.25%
3 general rate on the selling price of tangible personal
4 property.
5 Of the remainder of the moneys received by the Department
6 pursuant to this Act, 75% thereof shall be paid into the
7 State Treasury and 25% shall be reserved in a special account
8 and used only for the transfer to the Common School Fund as
9 part of the monthly transfer from the General Revenue Fund in
10 accordance with Section 8a of the State Finance Act.
11 As soon as possible after the first day of each month,
12 upon certification of the Department of Revenue, the
13 Comptroller shall order transferred and the Treasurer shall
14 transfer from the General Revenue Fund to the Motor Fuel Tax
15 Fund an amount equal to 1.7% of 80% of the net revenue
16 realized under this Act for the second preceding month;
17 except that this transfer shall not be made for the months
18 February through June of 1992.
19 Net revenue realized for a month shall be the revenue
20 collected by the State pursuant to this Act, less the amount
21 paid out during that month as refunds to taxpayers for
22 overpayment of liability.
23 For greater simplicity of administration, manufacturers,
24 importers and wholesalers whose products are sold at retail
25 in Illinois by numerous retailers, and who wish to do so, may
26 assume the responsibility for accounting and paying to the
27 Department all tax accruing under this Act with respect to
28 such sales, if the retailers who are affected do not make
29 written objection to the Department to this arrangement.
30 (Source: P.A. 89-379, eff. 1-1-96; 89-626, eff. 8-9-96.)
31 (Text of Section after amendment by P.A. 90-491)
32 Sec. 9. Except as to motor vehicles, watercraft,
33 aircraft, and trailers that are required to be registered
34 with an agency of this State, each retailer required or
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1 authorized to collect the tax imposed by this Act shall pay
2 to the Department the amount of such tax (except as otherwise
3 provided) at the time when he is required to file his return
4 for the period during which such tax was collected, less a
5 discount of 2.1% prior to January 1, 1990, and 1.75% on and
6 after January 1, 1990, or $5 per calendar year, whichever is
7 greater, which is allowed to reimburse the retailer for
8 expenses incurred in collecting the tax, keeping records,
9 preparing and filing returns, remitting the tax and supplying
10 data to the Department on request. In the case of retailers
11 who report and pay the tax on a transaction by transaction
12 basis, as provided in this Section, such discount shall be
13 taken with each such tax remittance instead of when such
14 retailer files his periodic return. A retailer need not
15 remit that part of any tax collected by him to the extent
16 that he is required to remit and does remit the tax imposed
17 by the Retailers' Occupation Tax Act, with respect to the
18 sale of the same property.
19 Where such tangible personal property is sold under a
20 conditional sales contract, or under any other form of sale
21 wherein the payment of the principal sum, or a part thereof,
22 is extended beyond the close of the period for which the
23 return is filed, the retailer, in collecting the tax (except
24 as to motor vehicles, watercraft, aircraft, and trailers that
25 are required to be registered with an agency of this State),
26 may collect for each tax return period, only the tax
27 applicable to that part of the selling price actually
28 received during such tax return period.
29 Except as provided in this Section, on or before the
30 twentieth day of each calendar month, such retailer shall
31 file a return for the preceding calendar month. Such return
32 shall be filed on forms prescribed by the Department and
33 shall furnish such information as the Department may
34 reasonably require.
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1 The Department may require returns to be filed on a
2 quarterly basis. If so required, a return for each calendar
3 quarter shall be filed on or before the twentieth day of the
4 calendar month following the end of such calendar quarter.
5 The taxpayer shall also file a return with the Department for
6 each of the first two months of each calendar quarter, on or
7 before the twentieth day of the following calendar month,
8 stating:
9 1. The name of the seller;
10 2. The address of the principal place of business
11 from which he engages in the business of selling tangible
12 personal property at retail in this State;
13 3. The total amount of taxable receipts received by
14 him during the preceding calendar month from sales of
15 tangible personal property by him during such preceding
16 calendar month, including receipts from charge and time
17 sales, but less all deductions allowed by law;
18 4. The amount of credit provided in Section 2d of
19 this Act;
20 5. The amount of tax due;
21 5-5. The signature of the taxpayer; and
22 6. Such other reasonable information as the
23 Department may require.
24 If a taxpayer fails to sign a return within 30 days after
25 the proper notice and demand for signature by the Department,
26 the return shall be considered valid and any amount shown to
27 be due on the return shall be deemed assessed.
28 Beginning October 1, 1993, a taxpayer who has an average
29 monthly tax liability of $150,000 or more shall make all
30 payments required by rules of the Department by electronic
31 funds transfer. Beginning October 1, 1994, a taxpayer who has
32 an average monthly tax liability of $100,000 or more shall
33 make all payments required by rules of the Department by
34 electronic funds transfer. Beginning October 1, 1995, a
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1 taxpayer who has an average monthly tax liability of $50,000
2 or more shall make all payments required by rules of the
3 Department by electronic funds transfer. The term "average
4 monthly tax liability" means the sum of the taxpayer's
5 liabilities under this Act, and under all other State and
6 local occupation and use tax laws administered by the
7 Department, for the immediately preceding calendar year
8 divided by 12.
9 Before August 1 of each year beginning in 1993, the
10 Department shall notify all taxpayers required to make
11 payments by electronic funds transfer. All taxpayers required
12 to make payments by electronic funds transfer shall make
13 those payments for a minimum of one year beginning on October
14 1.
15 Any taxpayer not required to make payments by electronic
16 funds transfer may make payments by electronic funds transfer
17 with the permission of the Department.
18 All taxpayers required to make payment by electronic
19 funds transfer and any taxpayers authorized to voluntarily
20 make payments by electronic funds transfer shall make those
21 payments in the manner authorized by the Department.
22 The Department shall adopt such rules as are necessary to
23 effectuate a program of electronic funds transfer and the
24 requirements of this Section.
25 If the taxpayer's average monthly tax liability to the
26 Department under this Act, the Retailers' Occupation Tax Act,
27 the Service Occupation Tax Act, the Service Use Tax Act was
28 $10,000 or more during the preceding 4 complete calendar
29 quarters, he shall file a return with the Department each
30 month by the 20th day of the month next following the month
31 during which such tax liability is incurred and shall make
32 payments to the Department on or before the 7th, 15th, 22nd
33 and last day of the month during which such liability is
34 incurred. If the month during which such tax liability is
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1 incurred began prior to January 1, 1985, each payment shall
2 be in an amount equal to 1/4 of the taxpayer's actual
3 liability for the month or an amount set by the Department
4 not to exceed 1/4 of the average monthly liability of the
5 taxpayer to the Department for the preceding 4 complete
6 calendar quarters (excluding the month of highest liability
7 and the month of lowest liability in such 4 quarter period).
8 If the month during which such tax liability is incurred
9 begins on or after January 1, 1985, and prior to January 1,
10 1987, each payment shall be in an amount equal to 22.5% of
11 the taxpayer's actual liability for the month or 27.5% of the
12 taxpayer's liability for the same calendar month of the
13 preceding year. If the month during which such tax liability
14 is incurred begins on or after January 1, 1987, and prior to
15 January 1, 1988, each payment shall be in an amount equal to
16 22.5% of the taxpayer's actual liability for the month or
17 26.25% of the taxpayer's liability for the same calendar
18 month of the preceding year. If the month during which such
19 tax liability is incurred begins on or after January 1, 1988,
20 and prior to January 1, 1989, or begins on or after January
21 1, 1996, each payment shall be in an amount equal to 22.5% of
22 the taxpayer's actual liability for the month or 25% of the
23 taxpayer's liability for the same calendar month of the
24 preceding year. If the month during which such tax liability
25 is incurred begins on or after January 1, 1989, and prior to
26 January 1, 1996, each payment shall be in an amount equal to
27 22.5% of the taxpayer's actual liability for the month or 25%
28 of the taxpayer's liability for the same calendar month of
29 the preceding year or 100% of the taxpayer's actual liability
30 for the quarter monthly reporting period. The amount of such
31 quarter monthly payments shall be credited against the final
32 tax liability of the taxpayer's return for that month. Once
33 applicable, the requirement of the making of quarter monthly
34 payments to the Department shall continue until such
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1 taxpayer's average monthly liability to the Department during
2 the preceding 4 complete calendar quarters (excluding the
3 month of highest liability and the month of lowest liability)
4 is less than $9,000, or until such taxpayer's average monthly
5 liability to the Department as computed for each calendar
6 quarter of the 4 preceding complete calendar quarter period
7 is less than $10,000. However, if a taxpayer can show the
8 Department that a substantial change in the taxpayer's
9 business has occurred which causes the taxpayer to anticipate
10 that his average monthly tax liability for the reasonably
11 foreseeable future will fall below $10,000, then such
12 taxpayer may petition the Department for change in such
13 taxpayer's reporting status. The Department shall change
14 such taxpayer's reporting status unless it finds that such
15 change is seasonal in nature and not likely to be long term.
16 If any such quarter monthly payment is not paid at the time
17 or in the amount required by this Section, then the taxpayer
18 shall be liable for penalties and interest on the difference
19 between the minimum amount due and the amount of such quarter
20 monthly payment actually and timely paid, except insofar as
21 the taxpayer has previously made payments for that month to
22 the Department in excess of the minimum payments previously
23 due as provided in this Section. The Department shall make
24 reasonable rules and regulations to govern the quarter
25 monthly payment amount and quarter monthly payment dates for
26 taxpayers who file on other than a calendar monthly basis.
27 If any such payment provided for in this Section exceeds
28 the taxpayer's liabilities under this Act, the Retailers'
29 Occupation Tax Act, the Service Occupation Tax Act and the
30 Service Use Tax Act, as shown by an original monthly return,
31 the Department shall issue to the taxpayer a credit
32 memorandum no later than 30 days after the date of payment,
33 which memorandum may be submitted by the taxpayer to the
34 Department in payment of tax liability subsequently to be
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1 remitted by the taxpayer to the Department or be assigned by
2 the taxpayer to a similar taxpayer under this Act, the
3 Retailers' Occupation Tax Act, the Service Occupation Tax Act
4 or the Service Use Tax Act, in accordance with reasonable
5 rules and regulations to be prescribed by the Department,
6 except that if such excess payment is shown on an original
7 monthly return and is made after December 31, 1986, no credit
8 memorandum shall be issued, unless requested by the taxpayer.
9 If no such request is made, the taxpayer may credit such
10 excess payment against tax liability subsequently to be
11 remitted by the taxpayer to the Department under this Act,
12 the Retailers' Occupation Tax Act, the Service Occupation Tax
13 Act or the Service Use Tax Act, in accordance with reasonable
14 rules and regulations prescribed by the Department. If the
15 Department subsequently determines that all or any part of
16 the credit taken was not actually due to the taxpayer, the
17 taxpayer's 2.1% or 1.75% vendor's discount shall be reduced
18 by 2.1% or 1.75% of the difference between the credit taken
19 and that actually due, and the taxpayer shall be liable for
20 penalties and interest on such difference.
21 If the retailer is otherwise required to file a monthly
22 return and if the retailer's average monthly tax liability to
23 the Department does not exceed $200, the Department may
24 authorize his returns to be filed on a quarter annual basis,
25 with the return for January, February, and March of a given
26 year being due by April 20 of such year; with the return for
27 April, May and June of a given year being due by July 20 of
28 such year; with the return for July, August and September of
29 a given year being due by October 20 of such year, and with
30 the return for October, November and December of a given year
31 being due by January 20 of the following year.
32 If the retailer is otherwise required to file a monthly
33 or quarterly return and if the retailer's average monthly tax
34 liability to the Department does not exceed $50, the
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1 Department may authorize his returns to be filed on an annual
2 basis, with the return for a given year being due by January
3 20 of the following year.
4 Such quarter annual and annual returns, as to form and
5 substance, shall be subject to the same requirements as
6 monthly returns.
7 Notwithstanding any other provision in this Act
8 concerning the time within which a retailer may file his
9 return, in the case of any retailer who ceases to engage in a
10 kind of business which makes him responsible for filing
11 returns under this Act, such retailer shall file a final
12 return under this Act with the Department not more than one
13 month after discontinuing such business.
14 In addition, with respect to motor vehicles, watercraft,
15 aircraft, and trailers that are required to be registered
16 with an agency of this State, every retailer selling this
17 kind of tangible personal property shall file, with the
18 Department, upon a form to be prescribed and supplied by the
19 Department, a separate return for each such item of tangible
20 personal property which the retailer sells, except that
21 where, in the same transaction, a retailer of aircraft,
22 watercraft, motor vehicles or trailers transfers more than
23 one aircraft, watercraft, motor vehicle or trailer to another
24 aircraft, watercraft, motor vehicle or trailer retailer for
25 the purpose of resale, that seller for resale may report the
26 transfer of all the aircraft, watercraft, motor vehicles or
27 trailers involved in that transaction to the Department on
28 the same uniform invoice-transaction reporting return form.
29 For purposes of this Section, "watercraft" means a Class 2,
30 Class 3, or Class 4 watercraft as defined in Section 3-2 of
31 the Boat Registration and Safety Act, a personal watercraft,
32 or any boat equipped with an inboard motor.
33 The transaction reporting return in the case of motor
34 vehicles or trailers that are required to be registered with
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1 an agency of this State, shall be the same document as the
2 Uniform Invoice referred to in Section 5-402 of the Illinois
3 Vehicle Code and must show the name and address of the
4 seller; the name and address of the purchaser; the amount of
5 the selling price including the amount allowed by the
6 retailer for traded-in property, if any; the amount allowed
7 by the retailer for the traded-in tangible personal property,
8 if any, to the extent to which Section 2 of this Act allows
9 an exemption for the value of traded-in property; the balance
10 payable after deducting such trade-in allowance from the
11 total selling price; the amount of tax due from the retailer
12 with respect to such transaction; the amount of tax collected
13 from the purchaser by the retailer on such transaction (or
14 satisfactory evidence that such tax is not due in that
15 particular instance, if that is claimed to be the fact); the
16 place and date of the sale; a sufficient identification of
17 the property sold; such other information as is required in
18 Section 5-402 of the Illinois Vehicle Code, and such other
19 information as the Department may reasonably require.
20 The transaction reporting return in the case of
21 watercraft and aircraft must show the name and address of the
22 seller; the name and address of the purchaser; the amount of
23 the selling price including the amount allowed by the
24 retailer for traded-in property, if any; the amount allowed
25 by the retailer for the traded-in tangible personal property,
26 if any, to the extent to which Section 2 of this Act allows
27 an exemption for the value of traded-in property; the balance
28 payable after deducting such trade-in allowance from the
29 total selling price; the amount of tax due from the retailer
30 with respect to such transaction; the amount of tax collected
31 from the purchaser by the retailer on such transaction (or
32 satisfactory evidence that such tax is not due in that
33 particular instance, if that is claimed to be the fact); the
34 place and date of the sale, a sufficient identification of
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1 the property sold, and such other information as the
2 Department may reasonably require.
3 Such transaction reporting return shall be filed not
4 later than 20 days after the date of delivery of the item
5 that is being sold, but may be filed by the retailer at any
6 time sooner than that if he chooses to do so. The
7 transaction reporting return and tax remittance or proof of
8 exemption from the tax that is imposed by this Act may be
9 transmitted to the Department by way of the State agency with
10 which, or State officer with whom, the tangible personal
11 property must be titled or registered (if titling or
12 registration is required) if the Department and such agency
13 or State officer determine that this procedure will expedite
14 the processing of applications for title or registration.
15 With each such transaction reporting return, the retailer
16 shall remit the proper amount of tax due (or shall submit
17 satisfactory evidence that the sale is not taxable if that is
18 the case), to the Department or its agents, whereupon the
19 Department shall issue, in the purchaser's name, a tax
20 receipt (or a certificate of exemption if the Department is
21 satisfied that the particular sale is tax exempt) which such
22 purchaser may submit to the agency with which, or State
23 officer with whom, he must title or register the tangible
24 personal property that is involved (if titling or
25 registration is required) in support of such purchaser's
26 application for an Illinois certificate or other evidence of
27 title or registration to such tangible personal property.
28 No retailer's failure or refusal to remit tax under this
29 Act precludes a user, who has paid the proper tax to the
30 retailer, from obtaining his certificate of title or other
31 evidence of title or registration (if titling or registration
32 is required) upon satisfying the Department that such user
33 has paid the proper tax (if tax is due) to the retailer. The
34 Department shall adopt appropriate rules to carry out the
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1 mandate of this paragraph.
2 If the user who would otherwise pay tax to the retailer
3 wants the transaction reporting return filed and the payment
4 of tax or proof of exemption made to the Department before
5 the retailer is willing to take these actions and such user
6 has not paid the tax to the retailer, such user may certify
7 to the fact of such delay by the retailer, and may (upon the
8 Department being satisfied of the truth of such
9 certification) transmit the information required by the
10 transaction reporting return and the remittance for tax or
11 proof of exemption directly to the Department and obtain his
12 tax receipt or exemption determination, in which event the
13 transaction reporting return and tax remittance (if a tax
14 payment was required) shall be credited by the Department to
15 the proper retailer's account with the Department, but
16 without the 2.1% or 1.75% discount provided for in this
17 Section being allowed. When the user pays the tax directly
18 to the Department, he shall pay the tax in the same amount
19 and in the same form in which it would be remitted if the tax
20 had been remitted to the Department by the retailer.
21 Where a retailer collects the tax with respect to the
22 selling price of tangible personal property which he sells
23 and the purchaser thereafter returns such tangible personal
24 property and the retailer refunds the selling price thereof
25 to the purchaser, such retailer shall also refund, to the
26 purchaser, the tax so collected from the purchaser. When
27 filing his return for the period in which he refunds such tax
28 to the purchaser, the retailer may deduct the amount of the
29 tax so refunded by him to the purchaser from any other use
30 tax which such retailer may be required to pay or remit to
31 the Department, as shown by such return, if the amount of the
32 tax to be deducted was previously remitted to the Department
33 by such retailer. If the retailer has not previously
34 remitted the amount of such tax to the Department, he is
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1 entitled to no deduction under this Act upon refunding such
2 tax to the purchaser.
3 Any retailer filing a return under this Section shall
4 also include (for the purpose of paying tax thereon) the
5 total tax covered by such return upon the selling price of
6 tangible personal property purchased by him at retail from a
7 retailer, but as to which the tax imposed by this Act was not
8 collected from the retailer filing such return, and such
9 retailer shall remit the amount of such tax to the Department
10 when filing such return.
11 If experience indicates such action to be practicable,
12 the Department may prescribe and furnish a combination or
13 joint return which will enable retailers, who are required to
14 file returns hereunder and also under the Retailers'
15 Occupation Tax Act, to furnish all the return information
16 required by both Acts on the one form.
17 Where the retailer has more than one business registered
18 with the Department under separate registration under this
19 Act, such retailer may not file each return that is due as a
20 single return covering all such registered businesses, but
21 shall file separate returns for each such registered
22 business.
23 Beginning January 1, 1990, each month the Department
24 shall pay into the State and Local Sales Tax Reform Fund, a
25 special fund in the State Treasury which is hereby created,
26 the net revenue realized for the preceding month from the 1%
27 tax on sales of food for human consumption which is to be
28 consumed off the premises where it is sold (other than
29 alcoholic beverages, soft drinks and food which has been
30 prepared for immediate consumption) and prescription and
31 nonprescription medicines, drugs, medical appliances and
32 insulin, urine testing materials, syringes and needles used
33 by diabetics.
34 Beginning January 1, 1990, each month the Department
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1 shall pay into the County and Mass Transit District Fund 4%
2 of the net revenue realized for the preceding month from the
3 6.25% general rate on the selling price of tangible personal
4 property which is purchased outside Illinois at retail from a
5 retailer and which is titled or registered by an agency of
6 this State's government.
7 Beginning January 1, 1990, each month the Department
8 shall pay into the State and Local Sales Tax Reform Fund, a
9 special fund in the State Treasury, 20% of the net revenue
10 realized for the preceding month from the 6.25% general rate
11 on the selling price of tangible personal property, other
12 than tangible personal property which is purchased outside
13 Illinois at retail from a retailer and which is titled or
14 registered by an agency of this State's government.
15 Beginning November 1, 1998, and so long as the rate
16 remains at 1.25%, each month the Department shall pay into
17 the County and Mass Transit District Fund 20% of the net
18 revenue realized for the preceding month from the 1.25% rate
19 on the selling price of motor fuel and gasohol.
20 Beginning January 1, 1990, each month the Department
21 shall pay into the Local Government Tax Fund 16% of the net
22 revenue realized for the preceding month from the 6.25%
23 general rate on the selling price of tangible personal
24 property which is purchased outside Illinois at retail from a
25 retailer and which is titled or registered by an agency of
26 this State's government.
27 Beginning November 1, 1998, and so long as the rate
28 remains at 1.25%, each month the Department shall pay into
29 the Local Government Tax Fund 80% of the net revenue realized
30 for the preceding month from the 1.25% rate on the selling
31 price of motor fuel and gasohol.
32 Of the remainder of the moneys received by the Department
33 pursuant to this Act, (a) 1.75% thereof shall be paid into
34 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
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1 and on and after July 1, 1989, 3.8% thereof shall be paid
2 into the Build Illinois Fund; provided, however, that if in
3 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
4 as the case may be, of the moneys received by the Department
5 and required to be paid into the Build Illinois Fund pursuant
6 to Section 3 of the Retailers' Occupation Tax Act, Section 9
7 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
8 Section 9 of the Service Occupation Tax Act, such Acts being
9 hereinafter called the "Tax Acts" and such aggregate of 2.2%
10 or 3.8%, as the case may be, of moneys being hereinafter
11 called the "Tax Act Amount", and (2) the amount transferred
12 to the Build Illinois Fund from the State and Local Sales Tax
13 Reform Fund shall be less than the Annual Specified Amount
14 (as defined in Section 3 of the Retailers' Occupation Tax
15 Act), an amount equal to the difference shall be immediately
16 paid into the Build Illinois Fund from other moneys received
17 by the Department pursuant to the Tax Acts; and further
18 provided, that if on the last business day of any month the
19 sum of (1) the Tax Act Amount required to be deposited into
20 the Build Illinois Bond Account in the Build Illinois Fund
21 during such month and (2) the amount transferred during such
22 month to the Build Illinois Fund from the State and Local
23 Sales Tax Reform Fund shall have been less than 1/12 of the
24 Annual Specified Amount, an amount equal to the difference
25 shall be immediately paid into the Build Illinois Fund from
26 other moneys received by the Department pursuant to the Tax
27 Acts; and, further provided, that in no event shall the
28 payments required under the preceding proviso result in
29 aggregate payments into the Build Illinois Fund pursuant to
30 this clause (b) for any fiscal year in excess of the greater
31 of (i) the Tax Act Amount or (ii) the Annual Specified Amount
32 for such fiscal year; and, further provided, that the amounts
33 payable into the Build Illinois Fund under this clause (b)
34 shall be payable only until such time as the aggregate amount
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1 on deposit under each trust indenture securing Bonds issued
2 and outstanding pursuant to the Build Illinois Bond Act is
3 sufficient, taking into account any future investment income,
4 to fully provide, in accordance with such indenture, for the
5 defeasance of or the payment of the principal of, premium, if
6 any, and interest on the Bonds secured by such indenture and
7 on any Bonds expected to be issued thereafter and all fees
8 and costs payable with respect thereto, all as certified by
9 the Director of the Bureau of the Budget. If on the last
10 business day of any month in which Bonds are outstanding
11 pursuant to the Build Illinois Bond Act, the aggregate of the
12 moneys deposited in the Build Illinois Bond Account in the
13 Build Illinois Fund in such month shall be less than the
14 amount required to be transferred in such month from the
15 Build Illinois Bond Account to the Build Illinois Bond
16 Retirement and Interest Fund pursuant to Section 13 of the
17 Build Illinois Bond Act, an amount equal to such deficiency
18 shall be immediately paid from other moneys received by the
19 Department pursuant to the Tax Acts to the Build Illinois
20 Fund; provided, however, that any amounts paid to the Build
21 Illinois Fund in any fiscal year pursuant to this sentence
22 shall be deemed to constitute payments pursuant to clause (b)
23 of the preceding sentence and shall reduce the amount
24 otherwise payable for such fiscal year pursuant to clause (b)
25 of the preceding sentence. The moneys received by the
26 Department pursuant to this Act and required to be deposited
27 into the Build Illinois Fund are subject to the pledge, claim
28 and charge set forth in Section 12 of the Build Illinois Bond
29 Act.
30 Subject to payment of amounts into the Build Illinois
31 Fund as provided in the preceding paragraph or in any
32 amendment thereto hereafter enacted, the following specified
33 monthly installment of the amount requested in the
34 certificate of the Chairman of the Metropolitan Pier and
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1 Exposition Authority provided under Section 8.25f of the
2 State Finance Act, but not in excess of the sums designated
3 as "Total Deposit", shall be deposited in the aggregate from
4 collections under Section 9 of the Use Tax Act, Section 9 of
5 the Service Use Tax Act, Section 9 of the Service Occupation
6 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
7 into the McCormick Place Expansion Project Fund in the
8 specified fiscal years.
9 Fiscal Year Total Deposit
10 1993 $0
11 1994 53,000,000
12 1995 58,000,000
13 1996 61,000,000
14 1997 64,000,000
15 1998 68,000,000
16 1999 71,000,000
17 2000 75,000,000
18 2001 80,000,000
19 2002 84,000,000
20 2003 89,000,000
21 2004 and 93,000,000
22 each fiscal year
23 thereafter that bonds
24 are outstanding under
25 Section 13.2 of the
26 Metropolitan Pier and
27 Exposition Authority
28 Act.
29 Beginning July 20, 1993 and in each month of each fiscal
30 year thereafter, one-eighth of the amount requested in the
31 certificate of the Chairman of the Metropolitan Pier and
32 Exposition Authority for that fiscal year, less the amount
33 deposited into the McCormick Place Expansion Project Fund by
34 the State Treasurer in the respective month under subsection
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1 (g) of Section 13 of the Metropolitan Pier and Exposition
2 Authority Act, plus cumulative deficiencies in the deposits
3 required under this Section for previous months and years,
4 shall be deposited into the McCormick Place Expansion Project
5 Fund, until the full amount requested for the fiscal year,
6 but not in excess of the amount specified above as "Total
7 Deposit", has been deposited.
8 Subject to payment of amounts into the Build Illinois
9 Fund and the McCormick Place Expansion Project Fund pursuant
10 to the preceding paragraphs or in any amendment thereto
11 hereafter enacted, each month the Department shall pay into
12 the Local Government Distributive Fund .4% of the net revenue
13 realized for the preceding month from the 5% general rate, or
14 .4% of 80% of the net revenue realized for the preceding
15 month from the 6.25% general rate, as the case may be, on the
16 selling price of tangible personal property which amount
17 shall, subject to appropriation, be distributed as provided
18 in Section 2 of the State Revenue Sharing Act. No payments or
19 distributions pursuant to this paragraph shall be made if the
20 tax imposed by this Act on photoprocessing products is
21 declared unconstitutional, or if the proceeds from such tax
22 are unavailable for distribution because of litigation.
23 Subject to payment of amounts into the Build Illinois
24 Fund, the McCormick Place Expansion Project Fund, and the
25 Local Government Distributive Fund pursuant to the preceding
26 paragraphs or in any amendments thereto hereafter enacted,
27 beginning July 1, 1993, the Department shall each month pay
28 into the Illinois Tax Increment Fund 0.27% of 80% of the net
29 revenue realized for the preceding month from the 6.25%
30 general rate on the selling price of tangible personal
31 property.
32 Of the remainder of the moneys received by the Department
33 pursuant to this Act, 75% thereof shall be paid into the
34 State Treasury and 25% shall be reserved in a special account
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1 and used only for the transfer to the Common School Fund as
2 part of the monthly transfer from the General Revenue Fund in
3 accordance with Section 8a of the State Finance Act.
4 As soon as possible after the first day of each month,
5 upon certification of the Department of Revenue, the
6 Comptroller shall order transferred and the Treasurer shall
7 transfer from the General Revenue Fund to the Motor Fuel Tax
8 Fund an amount equal to 1.7% of 80% of the net revenue
9 realized under this Act for the second preceding month;
10 except that this transfer shall not be made for the months
11 February through June of 1992.
12 Net revenue realized for a month shall be the revenue
13 collected by the State pursuant to this Act, less the amount
14 paid out during that month as refunds to taxpayers for
15 overpayment of liability.
16 For greater simplicity of administration, manufacturers,
17 importers and wholesalers whose products are sold at retail
18 in Illinois by numerous retailers, and who wish to do so, may
19 assume the responsibility for accounting and paying to the
20 Department all tax accruing under this Act with respect to
21 such sales, if the retailers who are affected do not make
22 written objection to the Department to this arrangement.
23 (Source: P.A. 89-379, eff. 1-1-96; 89-626, eff. 8-9-96;
24 90-491, eff. 1-1-99.)
25 Section 10. The Service Use Tax Act is amended by
26 changing Sections 3-10 and 9 as follows:
27 (35 ILCS 110/3-10) (from Ch. 120, par. 439.33-10)
28 Sec. 3-10. Rate of tax. Unless otherwise provided in
29 this Section, the tax imposed by this Act is at the rate of
30 6.25% of the selling price of tangible personal property
31 transferred as an incident to the sale of service, but, for
32 the purpose of computing this tax, in no event shall the
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1 selling price be less than the cost price of the property to
2 the serviceman.
3 With respect to motor fuel, as defined in Section 1.1 of
4 the Motor Fuel Tax Law, and gasohol, as defined in Section
5 3-40 of the Use Tax Act, the tax is imposed at the rate of
6 1.25%. If, however, the aggregate tax revenues from motor
7 fuel and gasohol under the Use Tax Act, the Service Use Tax
8 Act, the Service Occupation Tax Act, and the Retailers'
9 Occupation Tax Act during the period from October 1, 2001
10 through September 30, 2002 are not at least 15% more than the
11 aggregate tax revenues from motor fuel and gasohol under
12 those Acts during the period from October 1, 1998 through
13 September 30, 1999, then beginning January 1, 2003 the tax is
14 imposed on motor fuel and gasohol at the 6.25% general rate.
15 With respect to gasohol, as defined in the Use Tax Act,
16 the tax imposed by this Act applies to 70% of the selling
17 price of property transferred as an incident to the sale of
18 service on or after January 1, 1990, and before July 1, 1999,
19 and to 100% of the selling price thereafter, except that from
20 July 1, 1997 to July 1, 1999, the rate shall be 85% for
21 gasohol sold in this State during the 12 months beginning
22 July 1 following any calendar year for which the Department
23 has determined that the percentages in Section 10 of the
24 Gasohol Fuels Tax Abatement Act have not been met.
25 At the election of any registered serviceman made for
26 each fiscal year, sales of service in which the aggregate
27 annual cost price of tangible personal property transferred
28 as an incident to the sales of service is less than 35%, or
29 75% in the case of servicemen transferring prescription drugs
30 or servicemen engaged in graphic arts production, of the
31 aggregate annual total gross receipts from all sales of
32 service, the tax imposed by this Act shall be based on the
33 serviceman's cost price of the tangible personal property
34 transferred as an incident to the sale of those services.
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1 The tax shall be imposed at the rate of 1% on food
2 prepared for immediate consumption and transferred incident
3 to a sale of service subject to this Act or the Service
4 Occupation Tax Act by an entity licensed under the Hospital
5 Licensing Act or the Nursing Home Care Act. The tax shall
6 also be imposed at the rate of 1% on food for human
7 consumption that is to be consumed off the premises where it
8 is sold (other than alcoholic beverages, soft drinks, and
9 food that has been prepared for immediate consumption and is
10 not otherwise included in this paragraph) and prescription
11 and nonprescription medicines, drugs, medical appliances,
12 modifications to a motor vehicle for the purpose of rendering
13 it usable by a disabled person, and insulin, urine testing
14 materials, syringes, and needles used by diabetics, for human
15 use. For the purposes of this Section, the term "soft drinks"
16 means any complete, finished, ready-to-use, non-alcoholic
17 drink, whether carbonated or not, including but not limited
18 to soda water, cola, fruit juice, vegetable juice, carbonated
19 water, and all other preparations commonly known as soft
20 drinks of whatever kind or description that are contained in
21 any closed or sealed bottle, can, carton, or container,
22 regardless of size. "Soft drinks" does not include coffee,
23 tea, non-carbonated water, infant formula, milk or milk
24 products as defined in the Grade A Pasteurized Milk and Milk
25 Products Act, or drinks containing 50% or more natural fruit
26 or vegetable juice.
27 Notwithstanding any other provisions of this Act, "food
28 for human consumption that is to be consumed off the premises
29 where it is sold" includes all food sold through a vending
30 machine, except soft drinks and food products that are
31 dispensed hot from a vending machine, regardless of the
32 location of the vending machine.
33 If the property that is acquired from a serviceman is
34 acquired outside Illinois and used outside Illinois before
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1 being brought to Illinois for use here and is taxable under
2 this Act, the "selling price" on which the tax is computed
3 shall be reduced by an amount that represents a reasonable
4 allowance for depreciation for the period of prior
5 out-of-state use.
6 (Source: P.A. 88-45; 89-359, eff. 8-17-95; 89-420, eff.
7 6-1-96; 89-463, eff. 5-31-96; 89-626, eff. 8-9-96.)
8 (35 ILCS 110/9) (from Ch. 120, par. 439.39)
9 Sec. 9. Each serviceman required or authorized to
10 collect the tax herein imposed shall pay to the Department
11 the amount of such tax (except as otherwise provided) at the
12 time when he is required to file his return for the period
13 during which such tax was collected, less a discount of 2.1%
14 prior to January 1, 1990 and 1.75% on and after January 1,
15 1990, or $5 per calendar year, whichever is greater, which is
16 allowed to reimburse the serviceman for expenses incurred in
17 collecting the tax, keeping records, preparing and filing
18 returns, remitting the tax and supplying data to the
19 Department on request. A serviceman need not remit that part
20 of any tax collected by him to the extent that he is required
21 to pay and does pay the tax imposed by the Service Occupation
22 Tax Act with respect to his sale of service involving the
23 incidental transfer by him of the same property.
24 Except as provided hereinafter in this Section, on or
25 before the twentieth day of each calendar month, such
26 serviceman shall file a return for the preceding calendar
27 month in accordance with reasonable Rules and Regulations to
28 be promulgated by the Department. Such return shall be filed
29 on a form prescribed by the Department and shall contain such
30 information as the Department may reasonably require.
31 The Department may require returns to be filed on a
32 quarterly basis. If so required, a return for each calendar
33 quarter shall be filed on or before the twentieth day of the
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1 calendar month following the end of such calendar quarter.
2 The taxpayer shall also file a return with the Department for
3 each of the first two months of each calendar quarter, on or
4 before the twentieth day of the following calendar month,
5 stating:
6 1. The name of the seller;
7 2. The address of the principal place of business
8 from which he engages in business as a serviceman in this
9 State;
10 3. The total amount of taxable receipts received by
11 him during the preceding calendar month, including
12 receipts from charge and time sales, but less all
13 deductions allowed by law;
14 4. The amount of credit provided in Section 2d of
15 this Act;
16 5. The amount of tax due;
17 5-5. The signature of the taxpayer; and
18 6. Such other reasonable information as the
19 Department may require.
20 If a taxpayer fails to sign a return within 30 days after
21 the proper notice and demand for signature by the Department,
22 the return shall be considered valid and any amount shown to
23 be due on the return shall be deemed assessed.
24 Beginning October 1, 1993, a taxpayer who has an average
25 monthly tax liability of $150,000 or more shall make all
26 payments required by rules of the Department by electronic
27 funds transfer. Beginning October 1, 1994, a taxpayer who
28 has an average monthly tax liability of $100,000 or more
29 shall make all payments required by rules of the Department
30 by electronic funds transfer. Beginning October 1, 1995, a
31 taxpayer who has an average monthly tax liability of $50,000
32 or more shall make all payments required by rules of the
33 Department by electronic funds transfer. The term "average
34 monthly tax liability" means the sum of the taxpayer's
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1 liabilities under this Act, and under all other State and
2 local occupation and use tax laws administered by the
3 Department, for the immediately preceding calendar year
4 divided by 12.
5 Before August 1 of each year beginning in 1993, the
6 Department shall notify all taxpayers required to make
7 payments by electronic funds transfer. All taxpayers required
8 to make payments by electronic funds transfer shall make
9 those payments for a minimum of one year beginning on October
10 1.
11 Any taxpayer not required to make payments by electronic
12 funds transfer may make payments by electronic funds transfer
13 with the permission of the Department.
14 All taxpayers required to make payment by electronic
15 funds transfer and any taxpayers authorized to voluntarily
16 make payments by electronic funds transfer shall make those
17 payments in the manner authorized by the Department.
18 The Department shall adopt such rules as are necessary to
19 effectuate a program of electronic funds transfer and the
20 requirements of this Section.
21 If the serviceman is otherwise required to file a monthly
22 return and if the serviceman's average monthly tax liability
23 to the Department does not exceed $200, the Department may
24 authorize his returns to be filed on a quarter annual basis,
25 with the return for January, February and March of a given
26 year being due by April 20 of such year; with the return for
27 April, May and June of a given year being due by July 20 of
28 such year; with the return for July, August and September of
29 a given year being due by October 20 of such year, and with
30 the return for October, November and December of a given year
31 being due by January 20 of the following year.
32 If the serviceman is otherwise required to file a monthly
33 or quarterly return and if the serviceman's average monthly
34 tax liability to the Department does not exceed $50, the
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1 Department may authorize his returns to be filed on an annual
2 basis, with the return for a given year being due by January
3 20 of the following year.
4 Such quarter annual and annual returns, as to form and
5 substance, shall be subject to the same requirements as
6 monthly returns.
7 Notwithstanding any other provision in this Act
8 concerning the time within which a serviceman may file his
9 return, in the case of any serviceman who ceases to engage in
10 a kind of business which makes him responsible for filing
11 returns under this Act, such serviceman shall file a final
12 return under this Act with the Department not more than 1
13 month after discontinuing such business.
14 Where a serviceman collects the tax with respect to the
15 selling price of property which he sells and the purchaser
16 thereafter returns such property and the serviceman refunds
17 the selling price thereof to the purchaser, such serviceman
18 shall also refund, to the purchaser, the tax so collected
19 from the purchaser. When filing his return for the period in
20 which he refunds such tax to the purchaser, the serviceman
21 may deduct the amount of the tax so refunded by him to the
22 purchaser from any other Service Use Tax, Service Occupation
23 Tax, retailers' occupation tax or use tax which such
24 serviceman may be required to pay or remit to the Department,
25 as shown by such return, provided that the amount of the tax
26 to be deducted shall previously have been remitted to the
27 Department by such serviceman. If the serviceman shall not
28 previously have remitted the amount of such tax to the
29 Department, he shall be entitled to no deduction hereunder
30 upon refunding such tax to the purchaser.
31 Any serviceman filing a return hereunder shall also
32 include the total tax upon the selling price of tangible
33 personal property purchased for use by him as an incident to
34 a sale of service, and such serviceman shall remit the amount
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1 of such tax to the Department when filing such return.
2 If experience indicates such action to be practicable,
3 the Department may prescribe and furnish a combination or
4 joint return which will enable servicemen, who are required
5 to file returns hereunder and also under the Service
6 Occupation Tax Act, to furnish all the return information
7 required by both Acts on the one form.
8 Where the serviceman has more than one business
9 registered with the Department under separate registration
10 hereunder, such serviceman shall not file each return that is
11 due as a single return covering all such registered
12 businesses, but shall file separate returns for each such
13 registered business.
14 Beginning January 1, 1990, each month the Department
15 shall pay into the State and Local Tax Reform Fund, a special
16 fund in the State Treasury, the net revenue realized for the
17 preceding month from the 1% tax on sales of food for human
18 consumption which is to be consumed off the premises where it
19 is sold (other than alcoholic beverages, soft drinks and food
20 which has been prepared for immediate consumption) and
21 prescription and nonprescription medicines, drugs, medical
22 appliances and insulin, urine testing materials, syringes and
23 needles used by diabetics.
24 Beginning November 1, 1998, and so long as the rate
25 remains at 1.25%, each month the Department shall pay into
26 the County and Mass Transit District Fund 20% of the net
27 revenue realized for the preceding month from the 1.25% rate
28 on the selling price of motor fuel and gasohol.
29 Beginning January 1, 1990, each month the Department
30 shall pay into the State and Local Sales Tax Reform Fund 20%
31 of the net revenue realized for the preceding month from the
32 6.25% general rate on transfers of tangible personal
33 property, other than tangible personal property which is
34 purchased outside Illinois at retail from a retailer and
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1 which is titled or registered by an agency of this State's
2 government.
3 Beginning November 1, 1998, and so long as the rate
4 remains at 1.25%, each month the Department shall pay into
5 the Local Government Tax Fund 80% of the net revenue realized
6 for the preceding month from the 1.25% rate on the selling
7 price of motor fuel and gasohol.
8 Of the remainder of the moneys received by the Department
9 pursuant to this Act, (a) 1.75% thereof shall be paid into
10 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
11 and on and after July 1, 1989, 3.8% thereof shall be paid
12 into the Build Illinois Fund; provided, however, that if in
13 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
14 as the case may be, of the moneys received by the Department
15 and required to be paid into the Build Illinois Fund pursuant
16 to Section 3 of the Retailers' Occupation Tax Act, Section 9
17 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
18 Section 9 of the Service Occupation Tax Act, such Acts being
19 hereinafter called the "Tax Acts" and such aggregate of 2.2%
20 or 3.8%, as the case may be, of moneys being hereinafter
21 called the "Tax Act Amount", and (2) the amount transferred
22 to the Build Illinois Fund from the State and Local Sales Tax
23 Reform Fund shall be less than the Annual Specified Amount
24 (as defined in Section 3 of the Retailers' Occupation Tax
25 Act), an amount equal to the difference shall be immediately
26 paid into the Build Illinois Fund from other moneys received
27 by the Department pursuant to the Tax Acts; and further
28 provided, that if on the last business day of any month the
29 sum of (1) the Tax Act Amount required to be deposited into
30 the Build Illinois Bond Account in the Build Illinois Fund
31 during such month and (2) the amount transferred during such
32 month to the Build Illinois Fund from the State and Local
33 Sales Tax Reform Fund shall have been less than 1/12 of the
34 Annual Specified Amount, an amount equal to the difference
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1 shall be immediately paid into the Build Illinois Fund from
2 other moneys received by the Department pursuant to the Tax
3 Acts; and, further provided, that in no event shall the
4 payments required under the preceding proviso result in
5 aggregate payments into the Build Illinois Fund pursuant to
6 this clause (b) for any fiscal year in excess of the greater
7 of (i) the Tax Act Amount or (ii) the Annual Specified Amount
8 for such fiscal year; and, further provided, that the amounts
9 payable into the Build Illinois Fund under this clause (b)
10 shall be payable only until such time as the aggregate amount
11 on deposit under each trust indenture securing Bonds issued
12 and outstanding pursuant to the Build Illinois Bond Act is
13 sufficient, taking into account any future investment income,
14 to fully provide, in accordance with such indenture, for the
15 defeasance of or the payment of the principal of, premium, if
16 any, and interest on the Bonds secured by such indenture and
17 on any Bonds expected to be issued thereafter and all fees
18 and costs payable with respect thereto, all as certified by
19 the Director of the Bureau of the Budget. If on the last
20 business day of any month in which Bonds are outstanding
21 pursuant to the Build Illinois Bond Act, the aggregate of the
22 moneys deposited in the Build Illinois Bond Account in the
23 Build Illinois Fund in such month shall be less than the
24 amount required to be transferred in such month from the
25 Build Illinois Bond Account to the Build Illinois Bond
26 Retirement and Interest Fund pursuant to Section 13 of the
27 Build Illinois Bond Act, an amount equal to such deficiency
28 shall be immediately paid from other moneys received by the
29 Department pursuant to the Tax Acts to the Build Illinois
30 Fund; provided, however, that any amounts paid to the Build
31 Illinois Fund in any fiscal year pursuant to this sentence
32 shall be deemed to constitute payments pursuant to clause (b)
33 of the preceding sentence and shall reduce the amount
34 otherwise payable for such fiscal year pursuant to clause (b)
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1 of the preceding sentence. The moneys received by the
2 Department pursuant to this Act and required to be deposited
3 into the Build Illinois Fund are subject to the pledge, claim
4 and charge set forth in Section 12 of the Build Illinois Bond
5 Act.
6 Subject to payment of amounts into the Build Illinois
7 Fund as provided in the preceding paragraph or in any
8 amendment thereto hereafter enacted, the following specified
9 monthly installment of the amount requested in the
10 certificate of the Chairman of the Metropolitan Pier and
11 Exposition Authority provided under Section 8.25f of the
12 State Finance Act, but not in excess of the sums designated
13 as "Total Deposit", shall be deposited in the aggregate from
14 collections under Section 9 of the Use Tax Act, Section 9 of
15 the Service Use Tax Act, Section 9 of the Service Occupation
16 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
17 into the McCormick Place Expansion Project Fund in the
18 specified fiscal years.
19 Fiscal Year Total Deposit
20 1993 $0
21 1994 53,000,000
22 1995 58,000,000
23 1996 61,000,000
24 1997 64,000,000
25 1998 68,000,000
26 1999 71,000,000
27 2000 75,000,000
28 2001 80,000,000
29 2002 84,000,000
30 2003 89,000,000
31 2004 and 93,000,000
32 each fiscal year
33 thereafter that bonds
34 are outstanding under
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1 Section 13.2 of the
2 Metropolitan Pier and
3 Exposition Authority Act.
4 Beginning July 20, 1993 and in each month of each fiscal
5 year thereafter, one-eighth of the amount requested in the
6 certificate of the Chairman of the Metropolitan Pier and
7 Exposition Authority for that fiscal year, less the amount
8 deposited into the McCormick Place Expansion Project Fund by
9 the State Treasurer in the respective month under subsection
10 (g) of Section 13 of the Metropolitan Pier and Exposition
11 Authority Act, plus cumulative deficiencies in the deposits
12 required under this Section for previous months and years,
13 shall be deposited into the McCormick Place Expansion Project
14 Fund, until the full amount requested for the fiscal year,
15 but not in excess of the amount specified above as "Total
16 Deposit", has been deposited.
17 Subject to payment of amounts into the Build Illinois
18 Fund and the McCormick Place Expansion Project Fund pursuant
19 to the preceding paragraphs or in any amendment thereto
20 hereafter enacted, each month the Department shall pay into
21 the Local Government Distributive Fund 0.4% of the net
22 revenue realized for the preceding month from the 5% general
23 rate or 0.4% of 80% of the net revenue realized for the
24 preceding month from the 6.25% general rate, as the case may
25 be, on the selling price of tangible personal property which
26 amount shall, subject to appropriation, be distributed as
27 provided in Section 2 of the State Revenue Sharing Act. No
28 payments or distributions pursuant to this paragraph shall be
29 made if the tax imposed by this Act on photo processing
30 products is declared unconstitutional, or if the proceeds
31 from such tax are unavailable for distribution because of
32 litigation.
33 Subject to payment of amounts into the Build Illinois
34 Fund, the McCormick Place Expansion Project Fund, and the
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1 Local Government Distributive Fund pursuant to the preceding
2 paragraphs or in any amendments thereto hereafter enacted,
3 beginning July 1, 1993, the Department shall each month pay
4 into the Illinois Tax Increment Fund 0.27% of 80% of the net
5 revenue realized for the preceding month from the 6.25%
6 general rate on the selling price of tangible personal
7 property.
8 All remaining moneys received by the Department pursuant
9 to this Act shall be paid into the General Revenue Fund of
10 the State Treasury.
11 As soon as possible after the first day of each month,
12 upon certification of the Department of Revenue, the
13 Comptroller shall order transferred and the Treasurer shall
14 transfer from the General Revenue Fund to the Motor Fuel Tax
15 Fund an amount equal to 1.7% of 80% of the net revenue
16 realized under this Act for the second preceding month;
17 except that this transfer shall not be made for the months
18 February through June, 1992.
19 Net revenue realized for a month shall be the revenue
20 collected by the State pursuant to this Act, less the amount
21 paid out during that month as refunds to taxpayers for
22 overpayment of liability.
23 (Source: P.A. 88-45; 88-116; 88-669, eff. 11-29-94; 89-379,
24 eff. 1-1-96.)
25 Section 15. The Service Occupation Tax Act is amended by
26 changing Sections 3-10 and 9 as follows:
27 (35 ILCS 115/3-10) (from Ch. 120, par. 439.103-10)
28 Sec. 3-10. Rate of tax. Unless otherwise provided in
29 this Section, the tax imposed by this Act is at the rate of
30 6.25% of the "selling price", as defined in Section 2 of the
31 Service Use Tax Act, of the tangible personal property. For
32 the purpose of computing this tax, in no event shall the
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1 "selling price" be less than the cost price to the serviceman
2 of the tangible personal property transferred. The selling
3 price of each item of tangible personal property transferred
4 as an incident of a sale of service may be shown as a
5 distinct and separate item on the serviceman's billing to the
6 service customer. If the selling price is not so shown, the
7 selling price of the tangible personal property is deemed to
8 be 50% of the serviceman's entire billing to the service
9 customer. When, however, a serviceman contracts to design,
10 develop, and produce special order machinery or equipment,
11 the tax imposed by this Act shall be based on the
12 serviceman's cost price of the tangible personal property
13 transferred incident to the completion of the contract.
14 With respect to motor fuel, as defined in Section 1.1 of
15 the Motor Fuel Tax Law, and gasohol, as defined in Section
16 3-40 of the Use Tax Act, the tax is imposed at the rate of
17 1.25%. If, however, the aggregate tax revenues from motor
18 fuel and gasohol under the Use Tax Act, the Service Use Tax
19 Act, the Service Occupation Tax Act, and the Retailers'
20 Occupation Tax Act during the period from October 1, 2001
21 through September 30, 2002 are not at least 15% more than the
22 aggregate tax revenues from motor fuel and gasohol under
23 those Acts during the period from October 1, 1998 through
24 September 30, 1999, then beginning January 1, 2003 the tax is
25 imposed on motor fuel and gasohol at the 6.25% general rate.
26 With respect to gasohol, as defined in the Use Tax Act,
27 the tax imposed by this Act shall apply to 70% of the cost
28 price of property transferred as an incident to the sale of
29 service on or after January 1, 1990, and before July 1, 1999,
30 and to 100% of the cost price thereafter, except that from
31 July 1, 1997 to July 1, 1999, the rate shall be 85% for
32 gasohol sold in this State during the 12 months beginning
33 July 1 following any calendar year for which the Department
34 has determined that the percentages in Section 10 of the
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1 Gasohol Fuels Tax Abatement Act have not been met.
2 At the election of any registered serviceman made for
3 each fiscal year, sales of service in which the aggregate
4 annual cost price of tangible personal property transferred
5 as an incident to the sales of service is less than 35%, or
6 75% in the case of servicemen transferring prescription drugs
7 or servicemen engaged in graphic arts production, of the
8 aggregate annual total gross receipts from all sales of
9 service, the tax imposed by this Act shall be based on the
10 serviceman's cost price of the tangible personal property
11 transferred incident to the sale of those services.
12 The tax shall be imposed at the rate of 1% on food
13 prepared for immediate consumption and transferred incident
14 to a sale of service subject to this Act or the Service
15 Occupation Tax Act by an entity licensed under the Hospital
16 Licensing Act or the Nursing Home Care Act. The tax shall
17 also be imposed at the rate of 1% on food for human
18 consumption that is to be consumed off the premises where it
19 is sold (other than alcoholic beverages, soft drinks, and
20 food that has been prepared for immediate consumption and is
21 not otherwise included in this paragraph) and prescription
22 and nonprescription medicines, drugs, medical appliances,
23 modifications to a motor vehicle for the purpose of rendering
24 it usable by a disabled person, and insulin, urine testing
25 materials, syringes, and needles used by diabetics, for human
26 use. For the purposes of this Section, the term "soft
27 drinks" means any complete, finished, ready-to-use,
28 non-alcoholic drink, whether carbonated or not, including but
29 not limited to soda water, cola, fruit juice, vegetable
30 juice, carbonated water, and all other preparations commonly
31 known as soft drinks of whatever kind or description that are
32 contained in any closed or sealed can, carton, or container,
33 regardless of size. "Soft drinks" does not include coffee,
34 tea, non-carbonated water, infant formula, milk or milk
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1 products as defined in the Grade A Pasteurized Milk and Milk
2 Products Act, or drinks containing 50% or more natural fruit
3 or vegetable juice.
4 Notwithstanding any other provisions of this Act, "food
5 for human consumption that is to be consumed off the premises
6 where it is sold" includes all food sold through a vending
7 machine, except soft drinks and food products that are
8 dispensed hot from a vending machine, regardless of the
9 location of the vending machine.
10 (Source: P.A. 89-359, eff. 8-17-95; 89-420, eff. 6-1-96;
11 89-463, eff. 5-31-96; 89-626, eff. 8-9-96.)
12 (35 ILCS 115/9) (from Ch. 120, par. 439.109)
13 Sec. 9. Each serviceman required or authorized to
14 collect the tax herein imposed shall pay to the Department
15 the amount of such tax at the time when he is required to
16 file his return for the period during which such tax was
17 collectible, less a discount of 2.1% prior to January 1,
18 1990, and 1.75% on and after January 1, 1990, or $5 per
19 calendar year, whichever is greater, which is allowed to
20 reimburse the serviceman for expenses incurred in collecting
21 the tax, keeping records, preparing and filing returns,
22 remitting the tax and supplying data to the Department on
23 request.
24 Where such tangible personal property is sold under a
25 conditional sales contract, or under any other form of sale
26 wherein the payment of the principal sum, or a part thereof,
27 is extended beyond the close of the period for which the
28 return is filed, the serviceman, in collecting the tax may
29 collect, for each tax return period, only the tax applicable
30 to the part of the selling price actually received during
31 such tax return period.
32 Except as provided hereinafter in this Section, on or
33 before the twentieth day of each calendar month, such
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1 serviceman shall file a return for the preceding calendar
2 month in accordance with reasonable rules and regulations to
3 be promulgated by the Department of Revenue. Such return
4 shall be filed on a form prescribed by the Department and
5 shall contain such information as the Department may
6 reasonably require.
7 The Department may require returns to be filed on a
8 quarterly basis. If so required, a return for each calendar
9 quarter shall be filed on or before the twentieth day of the
10 calendar month following the end of such calendar quarter.
11 The taxpayer shall also file a return with the Department for
12 each of the first two months of each calendar quarter, on or
13 before the twentieth day of the following calendar month,
14 stating:
15 1. The name of the seller;
16 2. The address of the principal place of business
17 from which he engages in business as a serviceman in this
18 State;
19 3. The total amount of taxable receipts received by
20 him during the preceding calendar month, including
21 receipts from charge and time sales, but less all
22 deductions allowed by law;
23 4. The amount of credit provided in Section 2d of
24 this Act;
25 5. The amount of tax due;
26 5-5. The signature of the taxpayer; and
27 6. Such other reasonable information as the
28 Department may require.
29 If a taxpayer fails to sign a return within 30 days after
30 the proper notice and demand for signature by the Department,
31 the return shall be considered valid and any amount shown to
32 be due on the return shall be deemed assessed.
33 A serviceman may accept a Manufacturer's Purchase Credit
34 certification from a purchaser in satisfaction of Service Use
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1 Tax as provided in Section 3-70 of the Service Use Tax Act if
2 the purchaser provides the appropriate documentation as
3 required by Section 3-70 of the Service Use Tax Act. A
4 Manufacturer's Purchase Credit certification, accepted by a
5 serviceman as provided in Section 3-70 of the Service Use Tax
6 Act, may be used by that serviceman to satisfy Service
7 Occupation Tax liability in the amount claimed in the
8 certification, not to exceed 6.25% of the receipts subject to
9 tax from a qualifying purchase.
10 If the serviceman's average monthly tax liability to the
11 Department does not exceed $200, the Department may authorize
12 his returns to be filed on a quarter annual basis, with the
13 return for January, February and March of a given year being
14 due by April 20 of such year; with the return for April, May
15 and June of a given year being due by July 20 of such year;
16 with the return for July, August and September of a given
17 year being due by October 20 of such year, and with the
18 return for October, November and December of a given year
19 being due by January 20 of the following year.
20 If the serviceman's average monthly tax liability to the
21 Department does not exceed $50, the Department may authorize
22 his returns to be filed on an annual basis, with the return
23 for a given year being due by January 20 of the following
24 year.
25 Such quarter annual and annual returns, as to form and
26 substance, shall be subject to the same requirements as
27 monthly returns.
28 Notwithstanding any other provision in this Act
29 concerning the time within which a serviceman may file his
30 return, in the case of any serviceman who ceases to engage in
31 a kind of business which makes him responsible for filing
32 returns under this Act, such serviceman shall file a final
33 return under this Act with the Department not more than 1
34 month after discontinuing such business.
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1 Beginning October 1, 1993, a taxpayer who has an average
2 monthly tax liability of $150,000 or more shall make all
3 payments required by rules of the Department by electronic
4 funds transfer. Beginning October 1, 1994, a taxpayer who
5 has an average monthly tax liability of $100,000 or more
6 shall make all payments required by rules of the Department
7 by electronic funds transfer. Beginning October 1, 1995, a
8 taxpayer who has an average monthly tax liability of $50,000
9 or more shall make all payments required by rules of the
10 Department by electronic funds transfer. The term "average
11 monthly tax liability" means the sum of the taxpayer's
12 liabilities under this Act, and under all other State and
13 local occupation and use tax laws administered by the
14 Department, for the immediately preceding calendar year
15 divided by 12.
16 Before August 1 of each year beginning in 1993, the
17 Department shall notify all taxpayers required to make
18 payments by electronic funds transfer. All taxpayers
19 required to make payments by electronic funds transfer shall
20 make those payments for a minimum of one year beginning on
21 October 1.
22 Any taxpayer not required to make payments by electronic
23 funds transfer may make payments by electronic funds transfer
24 with the permission of the Department.
25 All taxpayers required to make payment by electronic
26 funds transfer and any taxpayers authorized to voluntarily
27 make payments by electronic funds transfer shall make those
28 payments in the manner authorized by the Department.
29 The Department shall adopt such rules as are necessary to
30 effectuate a program of electronic funds transfer and the
31 requirements of this Section.
32 Where a serviceman collects the tax with respect to the
33 selling price of tangible personal property which he sells
34 and the purchaser thereafter returns such tangible personal
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1 property and the serviceman refunds the selling price thereof
2 to the purchaser, such serviceman shall also refund, to the
3 purchaser, the tax so collected from the purchaser. When
4 filing his return for the period in which he refunds such tax
5 to the purchaser, the serviceman may deduct the amount of the
6 tax so refunded by him to the purchaser from any other
7 Service Occupation Tax, Service Use Tax, Retailers'
8 Occupation Tax or Use Tax which such serviceman may be
9 required to pay or remit to the Department, as shown by such
10 return, provided that the amount of the tax to be deducted
11 shall previously have been remitted to the Department by such
12 serviceman. If the serviceman shall not previously have
13 remitted the amount of such tax to the Department, he shall
14 be entitled to no deduction hereunder upon refunding such tax
15 to the purchaser.
16 If experience indicates such action to be practicable,
17 the Department may prescribe and furnish a combination or
18 joint return which will enable servicemen, who are required
19 to file returns hereunder and also under the Retailers'
20 Occupation Tax Act, the Use Tax Act or the Service Use Tax
21 Act, to furnish all the return information required by all
22 said Acts on the one form.
23 Where the serviceman has more than one business
24 registered with the Department under separate registrations
25 hereunder, such serviceman shall file separate returns for
26 each registered business.
27 Beginning January 1, 1990, each month the Department
28 shall pay into the Local Government Tax Fund the revenue
29 realized for the preceding month from the 1% tax on sales of
30 food for human consumption which is to be consumed off the
31 premises where it is sold (other than alcoholic beverages,
32 soft drinks and food which has been prepared for immediate
33 consumption) and prescription and nonprescription medicines,
34 drugs, medical appliances and insulin, urine testing
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1 materials, syringes and needles used by diabetics.
2 Beginning January 1, 1990, each month the Department
3 shall pay into the County and Mass Transit District Fund 4%
4 of the revenue realized for the preceding month from the
5 6.25% general rate.
6 Beginning November 1, 1998, and so long as the rate
7 remains at 1.25%, each month the Department shall pay into
8 the County and Mass Transit District Fund 20% of the net
9 revenue realized for the preceding month from the 1.25% rate
10 on the selling price of motor fuel and gasohol.
11 Beginning January 1, 1990, each month the Department
12 shall pay into the Local Government Tax Fund 16% of the
13 revenue realized for the preceding month from the 6.25%
14 general rate on transfers of tangible personal property.
15 Beginning November 1, 1998, and so long as the rate
16 remains at 1.25%, each month the Department shall pay into
17 the Local Government Tax Fund 80% of the net revenue realized
18 for the preceding month from the 1.25% rate on the selling
19 price of motor fuel and gasohol.
20 Of the remainder of the moneys received by the Department
21 pursuant to this Act, (a) 1.75% thereof shall be paid into
22 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
23 and on and after July 1, 1989, 3.8% thereof shall be paid
24 into the Build Illinois Fund; provided, however, that if in
25 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
26 as the case may be, of the moneys received by the Department
27 and required to be paid into the Build Illinois Fund pursuant
28 to Section 3 of the Retailers' Occupation Tax Act, Section 9
29 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
30 Section 9 of the Service Occupation Tax Act, such Acts being
31 hereinafter called the "Tax Acts" and such aggregate of 2.2%
32 or 3.8%, as the case may be, of moneys being hereinafter
33 called the "Tax Act Amount", and (2) the amount transferred
34 to the Build Illinois Fund from the State and Local Sales Tax
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1 Reform Fund shall be less than the Annual Specified Amount
2 (as defined in Section 3 of the Retailers' Occupation Tax
3 Act), an amount equal to the difference shall be immediately
4 paid into the Build Illinois Fund from other moneys received
5 by the Department pursuant to the Tax Acts; and further
6 provided, that if on the last business day of any month the
7 sum of (1) the Tax Act Amount required to be deposited into
8 the Build Illinois Account in the Build Illinois Fund during
9 such month and (2) the amount transferred during such month
10 to the Build Illinois Fund from the State and Local Sales Tax
11 Reform Fund shall have been less than 1/12 of the Annual
12 Specified Amount, an amount equal to the difference shall be
13 immediately paid into the Build Illinois Fund from other
14 moneys received by the Department pursuant to the Tax Acts;
15 and, further provided, that in no event shall the payments
16 required under the preceding proviso result in aggregate
17 payments into the Build Illinois Fund pursuant to this clause
18 (b) for any fiscal year in excess of the greater of (i) the
19 Tax Act Amount or (ii) the Annual Specified Amount for such
20 fiscal year; and, further provided, that the amounts payable
21 into the Build Illinois Fund under this clause (b) shall be
22 payable only until such time as the aggregate amount on
23 deposit under each trust indenture securing Bonds issued and
24 outstanding pursuant to the Build Illinois Bond Act is
25 sufficient, taking into account any future investment income,
26 to fully provide, in accordance with such indenture, for the
27 defeasance of or the payment of the principal of, premium, if
28 any, and interest on the Bonds secured by such indenture and
29 on any Bonds expected to be issued thereafter and all fees
30 and costs payable with respect thereto, all as certified by
31 the Director of the Bureau of the Budget. If on the last
32 business day of any month in which Bonds are outstanding
33 pursuant to the Build Illinois Bond Act, the aggregate of the
34 moneys deposited in the Build Illinois Bond Account in the
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1 Build Illinois Fund in such month shall be less than the
2 amount required to be transferred in such month from the
3 Build Illinois Bond Account to the Build Illinois Bond
4 Retirement and Interest Fund pursuant to Section 13 of the
5 Build Illinois Bond Act, an amount equal to such deficiency
6 shall be immediately paid from other moneys received by the
7 Department pursuant to the Tax Acts to the Build Illinois
8 Fund; provided, however, that any amounts paid to the Build
9 Illinois Fund in any fiscal year pursuant to this sentence
10 shall be deemed to constitute payments pursuant to clause (b)
11 of the preceding sentence and shall reduce the amount
12 otherwise payable for such fiscal year pursuant to clause (b)
13 of the preceding sentence. The moneys received by the
14 Department pursuant to this Act and required to be deposited
15 into the Build Illinois Fund are subject to the pledge, claim
16 and charge set forth in Section 12 of the Build Illinois Bond
17 Act.
18 Subject to payment of amounts into the Build Illinois
19 Fund as provided in the preceding paragraph or in any
20 amendment thereto hereafter enacted, the following specified
21 monthly installment of the amount requested in the
22 certificate of the Chairman of the Metropolitan Pier and
23 Exposition Authority provided under Section 8.25f of the
24 State Finance Act, but not in excess of the sums designated
25 as "Total Deposit", shall be deposited in the aggregate from
26 collections under Section 9 of the Use Tax Act, Section 9 of
27 the Service Use Tax Act, Section 9 of the Service Occupation
28 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
29 into the McCormick Place Expansion Project Fund in the
30 specified fiscal years.
31 Fiscal Year Total Deposit
32 1993 $0
33 1994 53,000,000
34 1995 58,000,000
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1 1996 61,000,000
2 1997 64,000,000
3 1998 68,000,000
4 1999 71,000,000
5 2000 75,000,000
6 2001 80,000,000
7 2002 84,000,000
8 2003 89,000,000
9 2004 and 93,000,000
10 each fiscal year
11 thereafter that bonds
12 are outstanding under
13 Section 13.2 of the
14 Metropolitan Pier and
15 Exposition Authority
16 Act.
17 Beginning July 20, 1993 and in each month of each fiscal
18 year thereafter, one-eighth of the amount requested in the
19 certificate of the Chairman of the Metropolitan Pier and
20 Exposition Authority for that fiscal year, less the amount
21 deposited into the McCormick Place Expansion Project Fund by
22 the State Treasurer in the respective month under subsection
23 (g) of Section 13 of the Metropolitan Pier and Exposition
24 Authority Act, plus cumulative deficiencies in the deposits
25 required under this Section for previous months and years,
26 shall be deposited into the McCormick Place Expansion Project
27 Fund, until the full amount requested for the fiscal year,
28 but not in excess of the amount specified above as "Total
29 Deposit", has been deposited.
30 Subject to payment of amounts into the Build Illinois
31 Fund and the McCormick Place Expansion Project Fund pursuant
32 to the preceding paragraphs or in any amendment thereto
33 hereafter enacted, each month the Department shall pay into
34 the Local Government Distributive Fund 0.4% of the net
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1 revenue realized for the preceding month from the 5% general
2 rate or 0.4% of 80% of the net revenue realized for the
3 preceding month from the 6.25% general rate, as the case may
4 be, on the selling price of tangible personal property which
5 amount shall, subject to appropriation, be distributed as
6 provided in Section 2 of the State Revenue Sharing Act. No
7 payments or distributions pursuant to this paragraph shall be
8 made if the tax imposed by this Act on photoprocessing
9 products is declared unconstitutional, or if the proceeds
10 from such tax are unavailable for distribution because of
11 litigation.
12 Subject to payment of amounts into the Build Illinois
13 Fund, the McCormick Place Expansion Project Fund, and the
14 Local Government Distributive Fund pursuant to the preceding
15 paragraphs or in any amendments thereto hereafter enacted,
16 beginning July 1, 1993, the Department shall each month pay
17 into the Illinois Tax Increment Fund 0.27% of 80% of the net
18 revenue realized for the preceding month from the 6.25%
19 general rate on the selling price of tangible personal
20 property.
21 Remaining moneys received by the Department pursuant to
22 this Act shall be paid into the General Revenue Fund of the
23 State Treasury.
24 The Department may, upon separate written notice to a
25 taxpayer, require the taxpayer to prepare and file with the
26 Department on a form prescribed by the Department within not
27 less than 60 days after receipt of the notice an annual
28 information return for the tax year specified in the notice.
29 Such annual return to the Department shall include a
30 statement of gross receipts as shown by the taxpayer's last
31 Federal income tax return. If the total receipts of the
32 business as reported in the Federal income tax return do not
33 agree with the gross receipts reported to the Department of
34 Revenue for the same period, the taxpayer shall attach to his
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1 annual return a schedule showing a reconciliation of the 2
2 amounts and the reasons for the difference. The taxpayer's
3 annual return to the Department shall also disclose the cost
4 of goods sold by the taxpayer during the year covered by such
5 return, opening and closing inventories of such goods for
6 such year, cost of goods used from stock or taken from stock
7 and given away by the taxpayer during such year, pay roll
8 information of the taxpayer's business during such year and
9 any additional reasonable information which the Department
10 deems would be helpful in determining the accuracy of the
11 monthly, quarterly or annual returns filed by such taxpayer
12 as hereinbefore provided for in this Section.
13 If the annual information return required by this Section
14 is not filed when and as required, the taxpayer shall be
15 liable as follows:
16 (i) Until January 1, 1994, the taxpayer shall be
17 liable for a penalty equal to 1/6 of 1% of the tax due
18 from such taxpayer under this Act during the period to be
19 covered by the annual return for each month or fraction
20 of a month until such return is filed as required, the
21 penalty to be assessed and collected in the same manner
22 as any other penalty provided for in this Act.
23 (ii) On and after January 1, 1994, the taxpayer
24 shall be liable for a penalty as described in Section 3-4
25 of the Uniform Penalty and Interest Act.
26 The chief executive officer, proprietor, owner or highest
27 ranking manager shall sign the annual return to certify the
28 accuracy of the information contained therein. Any person
29 who willfully signs the annual return containing false or
30 inaccurate information shall be guilty of perjury and
31 punished accordingly. The annual return form prescribed by
32 the Department shall include a warning that the person
33 signing the return may be liable for perjury.
34 The foregoing portion of this Section concerning the
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1 filing of an annual information return shall not apply to a
2 serviceman who is not required to file an income tax return
3 with the United States Government.
4 As soon as possible after the first day of each month,
5 upon certification of the Department of Revenue, the
6 Comptroller shall order transferred and the Treasurer shall
7 transfer from the General Revenue Fund to the Motor Fuel Tax
8 Fund an amount equal to 1.7% of 80% of the net revenue
9 realized under this Act for the second preceding month;
10 except that this transfer shall not be made for the months
11 February through June, 1992.
12 Net revenue realized for a month shall be the revenue
13 collected by the State pursuant to this Act, less the amount
14 paid out during that month as refunds to taxpayers for
15 overpayment of liability.
16 For greater simplicity of administration, it shall be
17 permissible for manufacturers, importers and wholesalers
18 whose products are sold by numerous servicemen in Illinois,
19 and who wish to do so, to assume the responsibility for
20 accounting and paying to the Department all tax accruing
21 under this Act with respect to such sales, if the servicemen
22 who are affected do not make written objection to the
23 Department to this arrangement.
24 (Source: P.A. 88-45; 88-116; 88-547, eff. 6-30-94; 88-669,
25 eff. 11-29-94; 89-89, eff. 6-30-95; 89-235, eff. 8-4-95;
26 89-379, eff. 1-1-96; 89-626, eff. 8-9-96.)
27 Section 20. The Retailers' Occupation Tax Act is amended
28 by changing Sections 2-10, 2d, and 3 as follows:
29 (35 ILCS 120/2-10) (from Ch. 120, par. 441-10)
30 Sec. 2-10. Rate of tax. Unless otherwise provided in
31 this Section, the tax imposed by this Act is at the rate of
32 6.25% of gross receipts from sales of tangible personal
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1 property made in the course of business.
2 With respect to motor fuel, as defined in Section 1.1 of
3 the Motor Fuel Tax Law, and gasohol, as defined in Section
4 3-40 of the Use Tax Act, the tax is imposed at the rate of
5 1.25%. If, however, the aggregate tax revenues from motor
6 fuel and gasohol under the Use Tax Act, the Service Use Tax
7 Act, the Service Occupation Tax Act, and the Retailers'
8 Occupation Tax Act during the period from October 1, 2001
9 through September 30, 2002 are not at least 15% more than the
10 aggregate tax revenues from motor fuel and gasohol under
11 those Acts during the period from October 1, 1998 through
12 September 30, 1999, then beginning January 1, 2003 the tax is
13 imposed on motor fuel and gasohol at the 6.25% general rate.
14 With respect to gasohol, as defined in the Use Tax Act,
15 the tax imposed by this Act applies to 70% of the proceeds of
16 sales made on or after January 1, 1990, and before July 1,
17 1999, and to 100% of the proceeds of sales made thereafter,
18 except that from July 1, 1997 to July 1, 1999, the rate shall
19 be 85% for gasohol sold in this State during the 12 months
20 beginning July 1 following any calendar year for which the
21 Department has determined that the percentages in Section 10
22 of the Gasohol Fuels Tax Abatement Act have not been met.
23 With respect to food for human consumption that is to be
24 consumed off the premises where it is sold (other than
25 alcoholic beverages, soft drinks, and food that has been
26 prepared for immediate consumption) and prescription and
27 nonprescription medicines, drugs, medical appliances,
28 modifications to a motor vehicle for the purpose of rendering
29 it usable by a disabled person, and insulin, urine testing
30 materials, syringes, and needles used by diabetics, for human
31 use, the tax is imposed at the rate of 1%. For the purposes
32 of this Section, the term "soft drinks" means any complete,
33 finished, ready-to-use, non-alcoholic drink, whether
34 carbonated or not, including but not limited to soda water,
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1 cola, fruit juice, vegetable juice, carbonated water, and all
2 other preparations commonly known as soft drinks of whatever
3 kind or description that are contained in any closed or
4 sealed bottle, can, carton, or container, regardless of size.
5 "Soft drinks" does not include coffee, tea, non-carbonated
6 water, infant formula, milk or milk products as defined in
7 the Grade A Pasteurized Milk and Milk Products Act, or drinks
8 containing 50% or more natural fruit or vegetable juice.
9 Notwithstanding any other provisions of this Act, "food
10 for human consumption that is to be consumed off the premises
11 where it is sold" includes all food sold through a vending
12 machine, except soft drinks and food products that are
13 dispensed hot from a vending machine, regardless of the
14 location of the vending machine.
15 (Source: P.A. 89-359, eff. 8-17-95; 89-420, eff. 6-1-96;
16 89-463, eff. 5-31-96; 89-626, eff. 8-9-96.)
17 (35 ILCS 120/2d) (from Ch. 120, par. 441d)
18 Sec. 2d. Tax prepayment by motor fuel retailer. Any
19 person engaged in the business of selling motor fuel at
20 retail, as defined in the Motor Fuel Tax Law, and who is not
21 a licensed distributor or supplier, as defined in the Motor
22 Fuel Tax Law, shall prepay to his or her distributor,
23 supplier, or other reseller of motor fuel a portion of the
24 tax imposed by this Act if the distributor, supplier, or
25 other reseller of motor fuel is registered under Section 2a
26 or Section 2c of this Act. The prepayment requirement
27 provided for in this Section does not apply to liquid propane
28 gas.
29 The Retailers' Occupation Tax paid to the distributor,
30 supplier, or other reseller shall be an amount equal to 0.8
31 cents $0.04 per gallon of the motor fuel, except gasohol as
32 defined in Section 2-10 of this Act which shall be an amount
33 equal to 0.6 cents $0.03 per gallon, purchased from the
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1 distributor, supplier, or other reseller.
2 Any person engaged in the business of selling motor fuel
3 at retail shall be entitled to a credit against tax due under
4 this Act in an amount equal to the tax paid to the
5 distributor, supplier, or other reseller.
6 Every distributor, supplier, or other reseller registered
7 as provided in Section 2a or Section 2c of this Act shall
8 remit the prepaid tax on all motor fuel that is due from any
9 person engaged in the business of selling at retail motor
10 fuel with the returns filed under Section 2f or Section 3 of
11 this Act, but the vendors discount provided in Section 3
12 shall not apply to the amount of prepaid tax that is
13 remitted. Any distributor or supplier who fails to properly
14 collect and remit the tax shall be liable for the tax. For
15 purposes of this Section, the prepaid tax is due on invoiced
16 gallons sold during a month by the 20th day of the following
17 month.
18 (Source: P.A. 86-1475; 87-14.)
19 (35 ILCS 120/3) (from Ch. 120, par. 442)
20 (Text of Section before amendment by P.A. 90-491)
21 Sec. 3. Except as provided in this Section, on or before
22 the twentieth day of each calendar month, every person
23 engaged in the business of selling tangible personal property
24 at retail in this State during the preceding calendar month
25 shall file a return with the Department, stating:
26 1. The name of the seller;
27 2. His residence address and the address of his
28 principal place of business and the address of the
29 principal place of business (if that is a different
30 address) from which he engages in the business of selling
31 tangible personal property at retail in this State;
32 3. Total amount of receipts received by him during
33 the preceding calendar month or quarter, as the case may
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1 be, from sales of tangible personal property, and from
2 services furnished, by him during such preceding calendar
3 month or quarter;
4 4. Total amount received by him during the
5 preceding calendar month or quarter on charge and time
6 sales of tangible personal property, and from services
7 furnished, by him prior to the month or quarter for which
8 the return is filed;
9 5. Deductions allowed by law;
10 6. Gross receipts which were received by him during
11 the preceding calendar month or quarter and upon the
12 basis of which the tax is imposed;
13 7. The amount of credit provided in Section 2d of
14 this Act;
15 8. The amount of tax due;
16 9. The signature of the taxpayer; and
17 10. Such other reasonable information as the
18 Department may require.
19 If a taxpayer fails to sign a return within 30 days after
20 the proper notice and demand for signature by the Department,
21 the return shall be considered valid and any amount shown to
22 be due on the return shall be deemed assessed.
23 Each return shall be accompanied by the statement of
24 prepaid tax issued pursuant to Section 2e for which credit is
25 claimed.
26 A retailer may accept a Manufacturer's Purchase Credit
27 certification from a purchaser in satisfaction of Use Tax as
28 provided in Section 3-85 of the Use Tax Act if the purchaser
29 provides the appropriate documentation as required by Section
30 3-85 of the Use Tax Act. A Manufacturer's Purchase Credit
31 certification, accepted by a retailer as provided in Section
32 3-85 of the Use Tax Act, may be used by that retailer to
33 satisfy Retailers' Occupation Tax liability in the amount
34 claimed in the certification, not to exceed 6.25% of the
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1 receipts subject to tax from a qualifying purchase.
2 The Department may require returns to be filed on a
3 quarterly basis. If so required, a return for each calendar
4 quarter shall be filed on or before the twentieth day of the
5 calendar month following the end of such calendar quarter.
6 The taxpayer shall also file a return with the Department for
7 each of the first two months of each calendar quarter, on or
8 before the twentieth day of the following calendar month,
9 stating:
10 1. The name of the seller;
11 2. The address of the principal place of business
12 from which he engages in the business of selling tangible
13 personal property at retail in this State;
14 3. The total amount of taxable receipts received by
15 him during the preceding calendar month from sales of
16 tangible personal property by him during such preceding
17 calendar month, including receipts from charge and time
18 sales, but less all deductions allowed by law;
19 4. The amount of credit provided in Section 2d of
20 this Act;
21 5. The amount of tax due; and
22 6. Such other reasonable information as the
23 Department may require.
24 If a total amount of less than $1 is payable, refundable
25 or creditable, such amount shall be disregarded if it is less
26 than 50 cents and shall be increased to $1 if it is 50 cents
27 or more.
28 Beginning October 1, 1993, a taxpayer who has an average
29 monthly tax liability of $150,000 or more shall make all
30 payments required by rules of the Department by electronic
31 funds transfer. Beginning October 1, 1994, a taxpayer who
32 has an average monthly tax liability of $100,000 or more
33 shall make all payments required by rules of the Department
34 by electronic funds transfer. Beginning October 1, 1995, a
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1 taxpayer who has an average monthly tax liability of $50,000
2 or more shall make all payments required by rules of the
3 Department by electronic funds transfer. The term "average
4 monthly tax liability" shall be the sum of the taxpayer's
5 liabilities under this Act, and under all other State and
6 local occupation and use tax laws administered by the
7 Department, for the immediately preceding calendar year
8 divided by 12.
9 Before August 1 of each year beginning in 1993, the
10 Department shall notify all taxpayers required to make
11 payments by electronic funds transfer. All taxpayers
12 required to make payments by electronic funds transfer shall
13 make those payments for a minimum of one year beginning on
14 October 1.
15 Any taxpayer not required to make payments by electronic
16 funds transfer may make payments by electronic funds transfer
17 with the permission of the Department.
18 All taxpayers required to make payment by electronic
19 funds transfer and any taxpayers authorized to voluntarily
20 make payments by electronic funds transfer shall make those
21 payments in the manner authorized by the Department.
22 The Department shall adopt such rules as are necessary to
23 effectuate a program of electronic funds transfer and the
24 requirements of this Section.
25 Any amount which is required to be shown or reported on
26 any return or other document under this Act shall, if such
27 amount is not a whole-dollar amount, be increased to the
28 nearest whole-dollar amount in any case where the fractional
29 part of a dollar is 50 cents or more, and decreased to the
30 nearest whole-dollar amount where the fractional part of a
31 dollar is less than 50 cents.
32 If the retailer is otherwise required to file a monthly
33 return and if the retailer's average monthly tax liability to
34 the Department does not exceed $200, the Department may
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1 authorize his returns to be filed on a quarter annual basis,
2 with the return for January, February and March of a given
3 year being due by April 20 of such year; with the return for
4 April, May and June of a given year being due by July 20 of
5 such year; with the return for July, August and September of
6 a given year being due by October 20 of such year, and with
7 the return for October, November and December of a given year
8 being due by January 20 of the following year.
9 If the retailer is otherwise required to file a monthly
10 or quarterly return and if the retailer's average monthly tax
11 liability with the Department does not exceed $50, the
12 Department may authorize his returns to be filed on an annual
13 basis, with the return for a given year being due by January
14 20 of the following year.
15 Such quarter annual and annual returns, as to form and
16 substance, shall be subject to the same requirements as
17 monthly returns.
18 Notwithstanding any other provision in this Act
19 concerning the time within which a retailer may file his
20 return, in the case of any retailer who ceases to engage in a
21 kind of business which makes him responsible for filing
22 returns under this Act, such retailer shall file a final
23 return under this Act with the Department not more than one
24 month after discontinuing such business.
25 Where the same person has more than one business
26 registered with the Department under separate registrations
27 under this Act, such person may not file each return that is
28 due as a single return covering all such registered
29 businesses, but shall file separate returns for each such
30 registered business.
31 In addition, with respect to motor vehicles, watercraft,
32 aircraft, and trailers that are required to be registered
33 with an agency of this State, every retailer selling this
34 kind of tangible personal property shall file, with the
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1 Department, upon a form to be prescribed and supplied by the
2 Department, a separate return for each such item of tangible
3 personal property which the retailer sells, except that
4 where, in the same transaction, a retailer of aircraft,
5 watercraft, motor vehicles or trailers transfers more than
6 one aircraft, watercraft, motor vehicle or trailer to another
7 aircraft, watercraft, motor vehicle retailer or trailer
8 retailer for the purpose of resale, that seller for resale
9 may report the transfer of all aircraft, watercraft, motor
10 vehicles or trailers involved in that transaction to the
11 Department on the same uniform invoice-transaction reporting
12 return form. For purposes of this Section, "watercraft"
13 means a Class 2, Class 3, or Class 4 watercraft as defined in
14 Section 3-2 of the Boat Registration and Safety Act, a
15 personal watercraft, or any boat equipped with an inboard
16 motor.
17 Any retailer who sells only motor vehicles, watercraft,
18 aircraft, or trailers that are required to be registered with
19 an agency of this State, so that all retailers' occupation
20 tax liability is required to be reported, and is reported, on
21 such transaction reporting returns and who is not otherwise
22 required to file monthly or quarterly returns, need not file
23 monthly or quarterly returns. However, those retailers shall
24 be required to file returns on an annual basis.
25 The transaction reporting return, in the case of motor
26 vehicles or trailers that are required to be registered with
27 an agency of this State, shall be the same document as the
28 Uniform Invoice referred to in Section 5-402 of The Illinois
29 Vehicle Code and must show the name and address of the
30 seller; the name and address of the purchaser; the amount of
31 the selling price including the amount allowed by the
32 retailer for traded-in property, if any; the amount allowed
33 by the retailer for the traded-in tangible personal property,
34 if any, to the extent to which Section 1 of this Act allows
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1 an exemption for the value of traded-in property; the balance
2 payable after deducting such trade-in allowance from the
3 total selling price; the amount of tax due from the retailer
4 with respect to such transaction; the amount of tax collected
5 from the purchaser by the retailer on such transaction (or
6 satisfactory evidence that such tax is not due in that
7 particular instance, if that is claimed to be the fact); the
8 place and date of the sale; a sufficient identification of
9 the property sold; such other information as is required in
10 Section 5-402 of The Illinois Vehicle Code, and such other
11 information as the Department may reasonably require.
12 The transaction reporting return in the case of
13 watercraft or aircraft must show the name and address of the
14 seller; the name and address of the purchaser; the amount of
15 the selling price including the amount allowed by the
16 retailer for traded-in property, if any; the amount allowed
17 by the retailer for the traded-in tangible personal property,
18 if any, to the extent to which Section 1 of this Act allows
19 an exemption for the value of traded-in property; the balance
20 payable after deducting such trade-in allowance from the
21 total selling price; the amount of tax due from the retailer
22 with respect to such transaction; the amount of tax collected
23 from the purchaser by the retailer on such transaction (or
24 satisfactory evidence that such tax is not due in that
25 particular instance, if that is claimed to be the fact); the
26 place and date of the sale, a sufficient identification of
27 the property sold, and such other information as the
28 Department may reasonably require.
29 Such transaction reporting return shall be filed not
30 later than 20 days after the day of delivery of the item that
31 is being sold, but may be filed by the retailer at any time
32 sooner than that if he chooses to do so. The transaction
33 reporting return and tax remittance or proof of exemption
34 from the Illinois use tax may be transmitted to the
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1 Department by way of the State agency with which, or State
2 officer with whom the tangible personal property must be
3 titled or registered (if titling or registration is required)
4 if the Department and such agency or State officer determine
5 that this procedure will expedite the processing of
6 applications for title or registration.
7 With each such transaction reporting return, the retailer
8 shall remit the proper amount of tax due (or shall submit
9 satisfactory evidence that the sale is not taxable if that is
10 the case), to the Department or its agents, whereupon the
11 Department shall issue, in the purchaser's name, a use tax
12 receipt (or a certificate of exemption if the Department is
13 satisfied that the particular sale is tax exempt) which such
14 purchaser may submit to the agency with which, or State
15 officer with whom, he must title or register the tangible
16 personal property that is involved (if titling or
17 registration is required) in support of such purchaser's
18 application for an Illinois certificate or other evidence of
19 title or registration to such tangible personal property.
20 No retailer's failure or refusal to remit tax under this
21 Act precludes a user, who has paid the proper tax to the
22 retailer, from obtaining his certificate of title or other
23 evidence of title or registration (if titling or registration
24 is required) upon satisfying the Department that such user
25 has paid the proper tax (if tax is due) to the retailer. The
26 Department shall adopt appropriate rules to carry out the
27 mandate of this paragraph.
28 If the user who would otherwise pay tax to the retailer
29 wants the transaction reporting return filed and the payment
30 of the tax or proof of exemption made to the Department
31 before the retailer is willing to take these actions and such
32 user has not paid the tax to the retailer, such user may
33 certify to the fact of such delay by the retailer and may
34 (upon the Department being satisfied of the truth of such
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1 certification) transmit the information required by the
2 transaction reporting return and the remittance for tax or
3 proof of exemption directly to the Department and obtain his
4 tax receipt or exemption determination, in which event the
5 transaction reporting return and tax remittance (if a tax
6 payment was required) shall be credited by the Department to
7 the proper retailer's account with the Department, but
8 without the 2.1% or 1.75% discount provided for in this
9 Section being allowed. When the user pays the tax directly
10 to the Department, he shall pay the tax in the same amount
11 and in the same form in which it would be remitted if the tax
12 had been remitted to the Department by the retailer.
13 Refunds made by the seller during the preceding return
14 period to purchasers, on account of tangible personal
15 property returned to the seller, shall be allowed as a
16 deduction under subdivision 5 of his monthly or quarterly
17 return, as the case may be, in case the seller had
18 theretofore included the receipts from the sale of such
19 tangible personal property in a return filed by him and had
20 paid the tax imposed by this Act with respect to such
21 receipts.
22 Where the seller is a corporation, the return filed on
23 behalf of such corporation shall be signed by the president,
24 vice-president, secretary or treasurer or by the properly
25 accredited agent of such corporation.
26 Where the seller is a limited liability company, the
27 return filed on behalf of the limited liability company shall
28 be signed by a manager, member, or properly accredited agent
29 of the limited liability company.
30 Except as provided in this Section, the retailer filing
31 the return under this Section shall, at the time of filing
32 such return, pay to the Department the amount of tax imposed
33 by this Act less a discount of 2.1% prior to January 1, 1990
34 and 1.75% on and after January 1, 1990, or $5 per calendar
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1 year, whichever is greater, which is allowed to reimburse the
2 retailer for the expenses incurred in keeping records,
3 preparing and filing returns, remitting the tax and supplying
4 data to the Department on request. Any prepayment made
5 pursuant to Section 2d of this Act shall be included in the
6 amount on which such 2.1% or 1.75% discount is computed. In
7 the case of retailers who report and pay the tax on a
8 transaction by transaction basis, as provided in this
9 Section, such discount shall be taken with each such tax
10 remittance instead of when such retailer files his periodic
11 return.
12 If the taxpayer's average monthly tax liability to the
13 Department under this Act, the Use Tax Act, the Service
14 Occupation Tax Act, and the Service Use Tax Act, excluding
15 any liability for prepaid sales tax to be remitted in
16 accordance with Section 2d of this Act, was $10,000 or more
17 during the preceding 4 complete calendar quarters, he shall
18 file a return with the Department each month by the 20th day
19 of the month next following the month during which such tax
20 liability is incurred and shall make payments to the
21 Department on or before the 7th, 15th, 22nd and last day of
22 the month during which such liability is incurred. If the
23 month during which such tax liability is incurred began prior
24 to January 1, 1985, each payment shall be in an amount equal
25 to 1/4 of the taxpayer's actual liability for the month or an
26 amount set by the Department not to exceed 1/4 of the average
27 monthly liability of the taxpayer to the Department for the
28 preceding 4 complete calendar quarters (excluding the month
29 of highest liability and the month of lowest liability in
30 such 4 quarter period). If the month during which such tax
31 liability is incurred begins on or after January 1, 1985 and
32 prior to January 1, 1987, each payment shall be in an amount
33 equal to 22.5% of the taxpayer's actual liability for the
34 month or 27.5% of the taxpayer's liability for the same
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1 calendar month of the preceding year. If the month during
2 which such tax liability is incurred begins on or after
3 January 1, 1987 and prior to January 1, 1988, each payment
4 shall be in an amount equal to 22.5% of the taxpayer's actual
5 liability for the month or 26.25% of the taxpayer's liability
6 for the same calendar month of the preceding year. If the
7 month during which such tax liability is incurred begins on
8 or after January 1, 1988, and prior to January 1, 1989, or
9 begins on or after January 1, 1996, each payment shall be in
10 an amount equal to 22.5% of the taxpayer's actual liability
11 for the month or 25% of the taxpayer's liability for the same
12 calendar month of the preceding year. If the month during
13 which such tax liability is incurred begins on or after
14 January 1, 1989, and prior to January 1, 1996, each payment
15 shall be in an amount equal to 22.5% of the taxpayer's actual
16 liability for the month or 25% of the taxpayer's liability
17 for the same calendar month of the preceding year or 100% of
18 the taxpayer's actual liability for the quarter monthly
19 reporting period. The amount of such quarter monthly
20 payments shall be credited against the final tax liability of
21 the taxpayer's return for that month. Once applicable, the
22 requirement of the making of quarter monthly payments to the
23 Department by taxpayers having an average monthly tax
24 liability of $10,000 or more as determined in the manner
25 provided above shall continue until such taxpayer's average
26 monthly liability to the Department during the preceding 4
27 complete calendar quarters (excluding the month of highest
28 liability and the month of lowest liability) is less than
29 $9,000, or until such taxpayer's average monthly liability to
30 the Department as computed for each calendar quarter of the 4
31 preceding complete calendar quarter period is less than
32 $10,000. However, if a taxpayer can show the Department that
33 a substantial change in the taxpayer's business has occurred
34 which causes the taxpayer to anticipate that his average
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1 monthly tax liability for the reasonably foreseeable future
2 will fall below $10,000, then such taxpayer may petition the
3 Department for a change in such taxpayer's reporting status.
4 The Department shall change such taxpayer's reporting status
5 unless it finds that such change is seasonal in nature and
6 not likely to be long term. If any such quarter monthly
7 payment is not paid at the time or in the amount required by
8 this Section, then the taxpayer's 2.1% or 1.75% vendors'
9 discount shall be reduced by 2.1% or 1.75% of the difference
10 between the minimum amount due as a payment and the amount of
11 such quarter monthly payment actually and timely paid, and
12 the taxpayer shall be liable for penalties and interest on
13 such difference, except insofar as the taxpayer has
14 previously made payments for that month to the Department in
15 excess of the minimum payments previously due as provided in
16 this Section. The Department shall make reasonable rules and
17 regulations to govern the quarter monthly payment amount and
18 quarter monthly payment dates for taxpayers who file on other
19 than a calendar monthly basis.
20 Without regard to whether a taxpayer is required to make
21 quarter monthly payments as specified above, any taxpayer who
22 is required by Section 2d of this Act to collect and remit
23 prepaid taxes and has collected prepaid taxes which average
24 in excess of $25,000 per month during the preceding 2
25 complete calendar quarters, shall file a return with the
26 Department as required by Section 2f and shall make payments
27 to the Department on or before the 7th, 15th, 22nd and last
28 day of the month during which such liability is incurred. If
29 the month during which such tax liability is incurred began
30 prior to the effective date of this amendatory Act of 1985,
31 each payment shall be in an amount not less than 22.5% of the
32 taxpayer's actual liability under Section 2d. If the month
33 during which such tax liability is incurred begins on or
34 after January 1, 1986, each payment shall be in an amount
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1 equal to 22.5% of the taxpayer's actual liability for the
2 month or 27.5% of the taxpayer's liability for the same
3 calendar month of the preceding calendar year. If the month
4 during which such tax liability is incurred begins on or
5 after January 1, 1987, each payment shall be in an amount
6 equal to 22.5% of the taxpayer's actual liability for the
7 month or 26.25% of the taxpayer's liability for the same
8 calendar month of the preceding year. The amount of such
9 quarter monthly payments shall be credited against the final
10 tax liability of the taxpayer's return for that month filed
11 under this Section or Section 2f, as the case may be. Once
12 applicable, the requirement of the making of quarter monthly
13 payments to the Department pursuant to this paragraph shall
14 continue until such taxpayer's average monthly prepaid tax
15 collections during the preceding 2 complete calendar quarters
16 is $25,000 or less. If any such quarter monthly payment is
17 not paid at the time or in the amount required, the taxpayer
18 shall be liable for penalties and interest on such
19 difference, except insofar as the taxpayer has previously
20 made payments for that month in excess of the minimum
21 payments previously due.
22 If any payment provided for in this Section exceeds the
23 taxpayer's liabilities under this Act, the Use Tax Act, the
24 Service Occupation Tax Act and the Service Use Tax Act, as
25 shown on an original monthly return, the Department shall, if
26 requested by the taxpayer, issue to the taxpayer a credit
27 memorandum no later than 30 days after the date of payment.
28 The credit evidenced by such credit memorandum may be
29 assigned by the taxpayer to a similar taxpayer under this
30 Act, the Use Tax Act, the Service Occupation Tax Act or the
31 Service Use Tax Act, in accordance with reasonable rules and
32 regulations to be prescribed by the Department. If no such
33 request is made, the taxpayer may credit such excess payment
34 against tax liability subsequently to be remitted to the
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1 Department under this Act, the Use Tax Act, the Service
2 Occupation Tax Act or the Service Use Tax Act, in accordance
3 with reasonable rules and regulations prescribed by the
4 Department. If the Department subsequently determined that
5 all or any part of the credit taken was not actually due to
6 the taxpayer, the taxpayer's 2.1% and 1.75% vendor's discount
7 shall be reduced by 2.1% or 1.75% of the difference between
8 the credit taken and that actually due, and that taxpayer
9 shall be liable for penalties and interest on such
10 difference.
11 If a retailer of motor fuel is entitled to a credit under
12 Section 2d of this Act which exceeds the taxpayer's liability
13 to the Department under this Act for the month which the
14 taxpayer is filing a return, the Department shall issue the
15 taxpayer a credit memorandum for the excess.
16 Beginning January 1, 1990, each month the Department
17 shall pay into the Local Government Tax Fund, a special fund
18 in the State treasury which is hereby created, the net
19 revenue realized for the preceding month from the 1% tax on
20 sales of food for human consumption which is to be consumed
21 off the premises where it is sold (other than alcoholic
22 beverages, soft drinks and food which has been prepared for
23 immediate consumption) and prescription and nonprescription
24 medicines, drugs, medical appliances and insulin, urine
25 testing materials, syringes and needles used by diabetics.
26 Beginning January 1, 1990, each month the Department
27 shall pay into the County and Mass Transit District Fund, a
28 special fund in the State treasury which is hereby created,
29 4% of the net revenue realized for the preceding month from
30 the 6.25% general rate.
31 Beginning November 1, 1998, and so long as the rate
32 remains at 1.25%, each month the Department shall pay into
33 the County and Mass Transit District Fund 20% of the net
34 revenue realized for the preceding month from the 1.25% rate
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1 on the selling price of motor fuel and gasohol.
2 Beginning January 1, 1990, each month the Department
3 shall pay into the Local Government Tax Fund 16% of the net
4 revenue realized for the preceding month from the 6.25%
5 general rate on the selling price of tangible personal
6 property.
7 Beginning November 1, 1998, and so long as the rate
8 remains at 1.25%, each month the Department shall pay into
9 the Local Government Tax Fund 80% of the net revenue realized
10 for the preceding month from the 1.25% rate on the selling
11 price of motor fuel and gasohol.
12 Of the remainder of the moneys received by the Department
13 pursuant to this Act, (a) 1.75% thereof shall be paid into
14 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
15 and on and after July 1, 1989, 3.8% thereof shall be paid
16 into the Build Illinois Fund; provided, however, that if in
17 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
18 as the case may be, of the moneys received by the Department
19 and required to be paid into the Build Illinois Fund pursuant
20 to this Act, Section 9 of the Use Tax Act, Section 9 of the
21 Service Use Tax Act, and Section 9 of the Service Occupation
22 Tax Act, such Acts being hereinafter called the "Tax Acts"
23 and such aggregate of 2.2% or 3.8%, as the case may be, of
24 moneys being hereinafter called the "Tax Act Amount", and (2)
25 the amount transferred to the Build Illinois Fund from the
26 State and Local Sales Tax Reform Fund shall be less than the
27 Annual Specified Amount (as hereinafter defined), an amount
28 equal to the difference shall be immediately paid into the
29 Build Illinois Fund from other moneys received by the
30 Department pursuant to the Tax Acts; the "Annual Specified
31 Amount" means the amounts specified below for fiscal years
32 1986 through 1993:
33 Fiscal Year Annual Specified Amount
34 1986 $54,800,000
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1 1987 $76,650,000
2 1988 $80,480,000
3 1989 $88,510,000
4 1990 $115,330,000
5 1991 $145,470,000
6 1992 $182,730,000
7 1993 $206,520,000;
8 and means the Certified Annual Debt Service Requirement (as
9 defined in Section 13 of the Build Illinois Bond Act) or the
10 Tax Act Amount, whichever is greater, for fiscal year 1994
11 and each fiscal year thereafter; and further provided, that
12 if on the last business day of any month the sum of (1) the
13 Tax Act Amount required to be deposited into the Build
14 Illinois Bond Account in the Build Illinois Fund during such
15 month and (2) the amount transferred to the Build Illinois
16 Fund from the State and Local Sales Tax Reform Fund shall
17 have been less than 1/12 of the Annual Specified Amount, an
18 amount equal to the difference shall be immediately paid into
19 the Build Illinois Fund from other moneys received by the
20 Department pursuant to the Tax Acts; and, further provided,
21 that in no event shall the payments required under the
22 preceding proviso result in aggregate payments into the Build
23 Illinois Fund pursuant to this clause (b) for any fiscal year
24 in excess of the greater of (i) the Tax Act Amount or (ii)
25 the Annual Specified Amount for such fiscal year. The
26 amounts payable into the Build Illinois Fund under clause (b)
27 of the first sentence in this paragraph shall be payable only
28 until such time as the aggregate amount on deposit under each
29 trust indenture securing Bonds issued and outstanding
30 pursuant to the Build Illinois Bond Act is sufficient, taking
31 into account any future investment income, to fully provide,
32 in accordance with such indenture, for the defeasance of or
33 the payment of the principal of, premium, if any, and
34 interest on the Bonds secured by such indenture and on any
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1 Bonds expected to be issued thereafter and all fees and costs
2 payable with respect thereto, all as certified by the
3 Director of the Bureau of the Budget. If on the last
4 business day of any month in which Bonds are outstanding
5 pursuant to the Build Illinois Bond Act, the aggregate of
6 moneys deposited in the Build Illinois Bond Account in the
7 Build Illinois Fund in such month shall be less than the
8 amount required to be transferred in such month from the
9 Build Illinois Bond Account to the Build Illinois Bond
10 Retirement and Interest Fund pursuant to Section 13 of the
11 Build Illinois Bond Act, an amount equal to such deficiency
12 shall be immediately paid from other moneys received by the
13 Department pursuant to the Tax Acts to the Build Illinois
14 Fund; provided, however, that any amounts paid to the Build
15 Illinois Fund in any fiscal year pursuant to this sentence
16 shall be deemed to constitute payments pursuant to clause (b)
17 of the first sentence of this paragraph and shall reduce the
18 amount otherwise payable for such fiscal year pursuant to
19 that clause (b). The moneys received by the Department
20 pursuant to this Act and required to be deposited into the
21 Build Illinois Fund are subject to the pledge, claim and
22 charge set forth in Section 12 of the Build Illinois Bond
23 Act.
24 Subject to payment of amounts into the Build Illinois
25 Fund as provided in the preceding paragraph or in any
26 amendment thereto hereafter enacted, the following specified
27 monthly installment of the amount requested in the
28 certificate of the Chairman of the Metropolitan Pier and
29 Exposition Authority provided under Section 8.25f of the
30 State Finance Act, but not in excess of sums designated as
31 "Total Deposit", shall be deposited in the aggregate from
32 collections under Section 9 of the Use Tax Act, Section 9 of
33 the Service Use Tax Act, Section 9 of the Service Occupation
34 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
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1 into the McCormick Place Expansion Project Fund in the
2 specified fiscal years.
3 Fiscal Year Total Deposit
4 1993 $0
5 1994 53,000,000
6 1995 58,000,000
7 1996 61,000,000
8 1997 64,000,000
9 1998 68,000,000
10 1999 71,000,000
11 2000 75,000,000
12 2001 80,000,000
13 2002 84,000,000
14 2003 89,000,000
15 2004 and 93,000,000
16 each fiscal year
17 thereafter that bonds
18 are outstanding under
19 Section 13.2 of the
20 Metropolitan Pier and
21 Exposition Authority
22 Act.
23 Beginning July 20, 1993 and in each month of each fiscal
24 year thereafter, one-eighth of the amount requested in the
25 certificate of the Chairman of the Metropolitan Pier and
26 Exposition Authority for that fiscal year, less the amount
27 deposited into the McCormick Place Expansion Project Fund by
28 the State Treasurer in the respective month under subsection
29 (g) of Section 13 of the Metropolitan Pier and Exposition
30 Authority Act, plus cumulative deficiencies in the deposits
31 required under this Section for previous months and years,
32 shall be deposited into the McCormick Place Expansion Project
33 Fund, until the full amount requested for the fiscal year,
34 but not in excess of the amount specified above as "Total
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1 Deposit", has been deposited.
2 Subject to payment of amounts into the Build Illinois
3 Fund and the McCormick Place Expansion Project Fund pursuant
4 to the preceding paragraphs or in any amendment thereto
5 hereafter enacted, each month the Department shall pay into
6 the Local Government Distributive Fund 0.4% of the net
7 revenue realized for the preceding month from the 5% general
8 rate or 0.4% of 80% of the net revenue realized for the
9 preceding month from the 6.25% general rate, as the case may
10 be, on the selling price of tangible personal property which
11 amount shall, subject to appropriation, be distributed as
12 provided in Section 2 of the State Revenue Sharing Act. No
13 payments or distributions pursuant to this paragraph shall be
14 made if the tax imposed by this Act on photoprocessing
15 products is declared unconstitutional, or if the proceeds
16 from such tax are unavailable for distribution because of
17 litigation.
18 Subject to payment of amounts into the Build Illinois
19 Fund, the McCormick Place Expansion Project to the preceding
20 paragraphs or in any amendments thereto hereafter enacted,
21 beginning July 1, 1993, the Department shall each month pay
22 into the Illinois Tax Increment Fund 0.27% of 80% of the net
23 revenue realized for the preceding month from the 6.25%
24 general rate on the selling price of tangible personal
25 property.
26 Of the remainder of the moneys received by the Department
27 pursuant to this Act, 75% thereof shall be paid into the
28 State Treasury and 25% shall be reserved in a special account
29 and used only for the transfer to the Common School Fund as
30 part of the monthly transfer from the General Revenue Fund in
31 accordance with Section 8a of the State Finance Act.
32 The Department may, upon separate written notice to a
33 taxpayer, require the taxpayer to prepare and file with the
34 Department on a form prescribed by the Department within not
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1 less than 60 days after receipt of the notice an annual
2 information return for the tax year specified in the notice.
3 Such annual return to the Department shall include a
4 statement of gross receipts as shown by the retailer's last
5 Federal income tax return. If the total receipts of the
6 business as reported in the Federal income tax return do not
7 agree with the gross receipts reported to the Department of
8 Revenue for the same period, the retailer shall attach to his
9 annual return a schedule showing a reconciliation of the 2
10 amounts and the reasons for the difference. The retailer's
11 annual return to the Department shall also disclose the cost
12 of goods sold by the retailer during the year covered by such
13 return, opening and closing inventories of such goods for
14 such year, costs of goods used from stock or taken from stock
15 and given away by the retailer during such year, payroll
16 information of the retailer's business during such year and
17 any additional reasonable information which the Department
18 deems would be helpful in determining the accuracy of the
19 monthly, quarterly or annual returns filed by such retailer
20 as provided for in this Section.
21 If the annual information return required by this Section
22 is not filed when and as required, the taxpayer shall be
23 liable as follows:
24 (i) Until January 1, 1994, the taxpayer shall be
25 liable for a penalty equal to 1/6 of 1% of the tax due
26 from such taxpayer under this Act during the period to be
27 covered by the annual return for each month or fraction
28 of a month until such return is filed as required, the
29 penalty to be assessed and collected in the same manner
30 as any other penalty provided for in this Act.
31 (ii) On and after January 1, 1994, the taxpayer
32 shall be liable for a penalty as described in Section 3-4
33 of the Uniform Penalty and Interest Act.
34 The chief executive officer, proprietor, owner or highest
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1 ranking manager shall sign the annual return to certify the
2 accuracy of the information contained therein. Any person
3 who willfully signs the annual return containing false or
4 inaccurate information shall be guilty of perjury and
5 punished accordingly. The annual return form prescribed by
6 the Department shall include a warning that the person
7 signing the return may be liable for perjury.
8 The provisions of this Section concerning the filing of
9 an annual information return do not apply to a retailer who
10 is not required to file an income tax return with the United
11 States Government.
12 As soon as possible after the first day of each month,
13 upon certification of the Department of Revenue, the
14 Comptroller shall order transferred and the Treasurer shall
15 transfer from the General Revenue Fund to the Motor Fuel Tax
16 Fund an amount equal to 1.7% of 80% of the net revenue
17 realized under this Act for the second preceding month;
18 except that this transfer shall not be made for the months
19 February through June, 1992.
20 Net revenue realized for a month shall be the revenue
21 collected by the State pursuant to this Act, less the amount
22 paid out during that month as refunds to taxpayers for
23 overpayment of liability.
24 For greater simplicity of administration, manufacturers,
25 importers and wholesalers whose products are sold at retail
26 in Illinois by numerous retailers, and who wish to do so, may
27 assume the responsibility for accounting and paying to the
28 Department all tax accruing under this Act with respect to
29 such sales, if the retailers who are affected do not make
30 written objection to the Department to this arrangement.
31 Any person who promotes, organizes, provides retail
32 selling space for concessionaires or other types of sellers
33 at the Illinois State Fair, DuQuoin State Fair, county fairs,
34 local fairs, art shows, flea markets and similar exhibitions
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1 or events, including any transient merchant as defined by
2 Section 2 of the Transient Merchant Act of 1987, is required
3 to file a report with the Department providing the name of
4 the merchant's business, the name of the person or persons
5 engaged in merchant's business, the permanent address and
6 Illinois Retailers Occupation Tax Registration Number of the
7 merchant, the dates and location of the event and other
8 reasonable information that the Department may require. The
9 report must be filed not later than the 20th day of the month
10 next following the month during which the event with retail
11 sales was held. Any person who fails to file a report
12 required by this Section commits a business offense and is
13 subject to a fine not to exceed $250.
14 Any person engaged in the business of selling tangible
15 personal property at retail as a concessionaire or other type
16 of seller at the Illinois State Fair, county fairs, art
17 shows, flea markets and similar exhibitions or events, or any
18 transient merchants, as defined by Section 2 of the Transient
19 Merchant Act of 1987, may be required to make a daily report
20 of the amount of such sales to the Department and to make a
21 daily payment of the full amount of tax due. The Department
22 shall impose this requirement when it finds that there is a
23 significant risk of loss of revenue to the State at such an
24 exhibition or event. Such a finding shall be based on
25 evidence that a substantial number of concessionaires or
26 other sellers who are not residents of Illinois will be
27 engaging in the business of selling tangible personal
28 property at retail at the exhibition or event, or other
29 evidence of a significant risk of loss of revenue to the
30 State. The Department shall notify concessionaires and other
31 sellers affected by the imposition of this requirement. In
32 the absence of notification by the Department, the
33 concessionaires and other sellers shall file their returns as
34 otherwise required in this Section.
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1 (Source: P.A. 88-45; 88-116; 88-194; 88-480; 88-547, eff.
2 6-30-94; 88-660, eff. 9-16-94; 88-669, eff. 11-29-94; 88-670,
3 eff. 12-2-94; 89-89, eff. 6-30-95; 89-235, eff. 8-4-95;
4 89-379, eff. 1-1-96; 89-626, eff. 8-9-96.)
5 (Text of Section after amendment by P.A. 90-491)
6 Sec. 3. Except as provided in this Section, on or before
7 the twentieth day of each calendar month, every person
8 engaged in the business of selling tangible personal property
9 at retail in this State during the preceding calendar month
10 shall file a return with the Department, stating:
11 1. The name of the seller;
12 2. His residence address and the address of his
13 principal place of business and the address of the
14 principal place of business (if that is a different
15 address) from which he engages in the business of selling
16 tangible personal property at retail in this State;
17 3. Total amount of receipts received by him during
18 the preceding calendar month or quarter, as the case may
19 be, from sales of tangible personal property, and from
20 services furnished, by him during such preceding calendar
21 month or quarter;
22 4. Total amount received by him during the
23 preceding calendar month or quarter on charge and time
24 sales of tangible personal property, and from services
25 furnished, by him prior to the month or quarter for which
26 the return is filed;
27 5. Deductions allowed by law;
28 6. Gross receipts which were received by him during
29 the preceding calendar month or quarter and upon the
30 basis of which the tax is imposed;
31 7. The amount of credit provided in Section 2d of
32 this Act;
33 8. The amount of tax due;
34 9. The signature of the taxpayer; and
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1 10. Such other reasonable information as the
2 Department may require.
3 If a taxpayer fails to sign a return within 30 days after
4 the proper notice and demand for signature by the Department,
5 the return shall be considered valid and any amount shown to
6 be due on the return shall be deemed assessed.
7 Each return shall be accompanied by the statement of
8 prepaid tax issued pursuant to Section 2e for which credit is
9 claimed.
10 A retailer may accept a Manufacturer's Purchase Credit
11 certification from a purchaser in satisfaction of Use Tax as
12 provided in Section 3-85 of the Use Tax Act if the purchaser
13 provides the appropriate documentation as required by Section
14 3-85 of the Use Tax Act. A Manufacturer's Purchase Credit
15 certification, accepted by a retailer as provided in Section
16 3-85 of the Use Tax Act, may be used by that retailer to
17 satisfy Retailers' Occupation Tax liability in the amount
18 claimed in the certification, not to exceed 6.25% of the
19 receipts subject to tax from a qualifying purchase.
20 The Department may require returns to be filed on a
21 quarterly basis. If so required, a return for each calendar
22 quarter shall be filed on or before the twentieth day of the
23 calendar month following the end of such calendar quarter.
24 The taxpayer shall also file a return with the Department for
25 each of the first two months of each calendar quarter, on or
26 before the twentieth day of the following calendar month,
27 stating:
28 1. The name of the seller;
29 2. The address of the principal place of business
30 from which he engages in the business of selling tangible
31 personal property at retail in this State;
32 3. The total amount of taxable receipts received by
33 him during the preceding calendar month from sales of
34 tangible personal property by him during such preceding
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1 calendar month, including receipts from charge and time
2 sales, but less all deductions allowed by law;
3 4. The amount of credit provided in Section 2d of
4 this Act;
5 5. The amount of tax due; and
6 6. Such other reasonable information as the
7 Department may require.
8 If a total amount of less than $1 is payable, refundable
9 or creditable, such amount shall be disregarded if it is less
10 than 50 cents and shall be increased to $1 if it is 50 cents
11 or more.
12 Beginning October 1, 1993, a taxpayer who has an average
13 monthly tax liability of $150,000 or more shall make all
14 payments required by rules of the Department by electronic
15 funds transfer. Beginning October 1, 1994, a taxpayer who
16 has an average monthly tax liability of $100,000 or more
17 shall make all payments required by rules of the Department
18 by electronic funds transfer. Beginning October 1, 1995, a
19 taxpayer who has an average monthly tax liability of $50,000
20 or more shall make all payments required by rules of the
21 Department by electronic funds transfer. The term "average
22 monthly tax liability" shall be the sum of the taxpayer's
23 liabilities under this Act, and under all other State and
24 local occupation and use tax laws administered by the
25 Department, for the immediately preceding calendar year
26 divided by 12.
27 Before August 1 of each year beginning in 1993, the
28 Department shall notify all taxpayers required to make
29 payments by electronic funds transfer. All taxpayers
30 required to make payments by electronic funds transfer shall
31 make those payments for a minimum of one year beginning on
32 October 1.
33 Any taxpayer not required to make payments by electronic
34 funds transfer may make payments by electronic funds transfer
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1 with the permission of the Department.
2 All taxpayers required to make payment by electronic
3 funds transfer and any taxpayers authorized to voluntarily
4 make payments by electronic funds transfer shall make those
5 payments in the manner authorized by the Department.
6 The Department shall adopt such rules as are necessary to
7 effectuate a program of electronic funds transfer and the
8 requirements of this Section.
9 Any amount which is required to be shown or reported on
10 any return or other document under this Act shall, if such
11 amount is not a whole-dollar amount, be increased to the
12 nearest whole-dollar amount in any case where the fractional
13 part of a dollar is 50 cents or more, and decreased to the
14 nearest whole-dollar amount where the fractional part of a
15 dollar is less than 50 cents.
16 If the retailer is otherwise required to file a monthly
17 return and if the retailer's average monthly tax liability to
18 the Department does not exceed $200, the Department may
19 authorize his returns to be filed on a quarter annual basis,
20 with the return for January, February and March of a given
21 year being due by April 20 of such year; with the return for
22 April, May and June of a given year being due by July 20 of
23 such year; with the return for July, August and September of
24 a given year being due by October 20 of such year, and with
25 the return for October, November and December of a given year
26 being due by January 20 of the following year.
27 If the retailer is otherwise required to file a monthly
28 or quarterly return and if the retailer's average monthly tax
29 liability with the Department does not exceed $50, the
30 Department may authorize his returns to be filed on an annual
31 basis, with the return for a given year being due by January
32 20 of the following year.
33 Such quarter annual and annual returns, as to form and
34 substance, shall be subject to the same requirements as
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1 monthly returns.
2 Notwithstanding any other provision in this Act
3 concerning the time within which a retailer may file his
4 return, in the case of any retailer who ceases to engage in a
5 kind of business which makes him responsible for filing
6 returns under this Act, such retailer shall file a final
7 return under this Act with the Department not more than one
8 month after discontinuing such business.
9 Where the same person has more than one business
10 registered with the Department under separate registrations
11 under this Act, such person may not file each return that is
12 due as a single return covering all such registered
13 businesses, but shall file separate returns for each such
14 registered business.
15 In addition, with respect to motor vehicles, watercraft,
16 aircraft, and trailers that are required to be registered
17 with an agency of this State, every retailer selling this
18 kind of tangible personal property shall file, with the
19 Department, upon a form to be prescribed and supplied by the
20 Department, a separate return for each such item of tangible
21 personal property which the retailer sells, except that
22 where, in the same transaction, a retailer of aircraft,
23 watercraft, motor vehicles or trailers transfers more than
24 one aircraft, watercraft, motor vehicle or trailer to another
25 aircraft, watercraft, motor vehicle retailer or trailer
26 retailer for the purpose of resale, that seller for resale
27 may report the transfer of all aircraft, watercraft, motor
28 vehicles or trailers involved in that transaction to the
29 Department on the same uniform invoice-transaction reporting
30 return form. For purposes of this Section, "watercraft"
31 means a Class 2, Class 3, or Class 4 watercraft as defined in
32 Section 3-2 of the Boat Registration and Safety Act, a
33 personal watercraft, or any boat equipped with an inboard
34 motor.
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1 Any retailer who sells only motor vehicles, watercraft,
2 aircraft, or trailers that are required to be registered with
3 an agency of this State, so that all retailers' occupation
4 tax liability is required to be reported, and is reported, on
5 such transaction reporting returns and who is not otherwise
6 required to file monthly or quarterly returns, need not file
7 monthly or quarterly returns. However, those retailers shall
8 be required to file returns on an annual basis.
9 The transaction reporting return, in the case of motor
10 vehicles or trailers that are required to be registered with
11 an agency of this State, shall be the same document as the
12 Uniform Invoice referred to in Section 5-402 of The Illinois
13 Vehicle Code and must show the name and address of the
14 seller; the name and address of the purchaser; the amount of
15 the selling price including the amount allowed by the
16 retailer for traded-in property, if any; the amount allowed
17 by the retailer for the traded-in tangible personal property,
18 if any, to the extent to which Section 1 of this Act allows
19 an exemption for the value of traded-in property; the balance
20 payable after deducting such trade-in allowance from the
21 total selling price; the amount of tax due from the retailer
22 with respect to such transaction; the amount of tax collected
23 from the purchaser by the retailer on such transaction (or
24 satisfactory evidence that such tax is not due in that
25 particular instance, if that is claimed to be the fact); the
26 place and date of the sale; a sufficient identification of
27 the property sold; such other information as is required in
28 Section 5-402 of The Illinois Vehicle Code, and such other
29 information as the Department may reasonably require.
30 The transaction reporting return in the case of
31 watercraft or aircraft must show the name and address of the
32 seller; the name and address of the purchaser; the amount of
33 the selling price including the amount allowed by the
34 retailer for traded-in property, if any; the amount allowed
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1 by the retailer for the traded-in tangible personal property,
2 if any, to the extent to which Section 1 of this Act allows
3 an exemption for the value of traded-in property; the balance
4 payable after deducting such trade-in allowance from the
5 total selling price; the amount of tax due from the retailer
6 with respect to such transaction; the amount of tax collected
7 from the purchaser by the retailer on such transaction (or
8 satisfactory evidence that such tax is not due in that
9 particular instance, if that is claimed to be the fact); the
10 place and date of the sale, a sufficient identification of
11 the property sold, and such other information as the
12 Department may reasonably require.
13 Such transaction reporting return shall be filed not
14 later than 20 days after the day of delivery of the item that
15 is being sold, but may be filed by the retailer at any time
16 sooner than that if he chooses to do so. The transaction
17 reporting return and tax remittance or proof of exemption
18 from the Illinois use tax may be transmitted to the
19 Department by way of the State agency with which, or State
20 officer with whom the tangible personal property must be
21 titled or registered (if titling or registration is required)
22 if the Department and such agency or State officer determine
23 that this procedure will expedite the processing of
24 applications for title or registration.
25 With each such transaction reporting return, the retailer
26 shall remit the proper amount of tax due (or shall submit
27 satisfactory evidence that the sale is not taxable if that is
28 the case), to the Department or its agents, whereupon the
29 Department shall issue, in the purchaser's name, a use tax
30 receipt (or a certificate of exemption if the Department is
31 satisfied that the particular sale is tax exempt) which such
32 purchaser may submit to the agency with which, or State
33 officer with whom, he must title or register the tangible
34 personal property that is involved (if titling or
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1 registration is required) in support of such purchaser's
2 application for an Illinois certificate or other evidence of
3 title or registration to such tangible personal property.
4 No retailer's failure or refusal to remit tax under this
5 Act precludes a user, who has paid the proper tax to the
6 retailer, from obtaining his certificate of title or other
7 evidence of title or registration (if titling or registration
8 is required) upon satisfying the Department that such user
9 has paid the proper tax (if tax is due) to the retailer. The
10 Department shall adopt appropriate rules to carry out the
11 mandate of this paragraph.
12 If the user who would otherwise pay tax to the retailer
13 wants the transaction reporting return filed and the payment
14 of the tax or proof of exemption made to the Department
15 before the retailer is willing to take these actions and such
16 user has not paid the tax to the retailer, such user may
17 certify to the fact of such delay by the retailer and may
18 (upon the Department being satisfied of the truth of such
19 certification) transmit the information required by the
20 transaction reporting return and the remittance for tax or
21 proof of exemption directly to the Department and obtain his
22 tax receipt or exemption determination, in which event the
23 transaction reporting return and tax remittance (if a tax
24 payment was required) shall be credited by the Department to
25 the proper retailer's account with the Department, but
26 without the 2.1% or 1.75% discount provided for in this
27 Section being allowed. When the user pays the tax directly
28 to the Department, he shall pay the tax in the same amount
29 and in the same form in which it would be remitted if the tax
30 had been remitted to the Department by the retailer.
31 Refunds made by the seller during the preceding return
32 period to purchasers, on account of tangible personal
33 property returned to the seller, shall be allowed as a
34 deduction under subdivision 5 of his monthly or quarterly
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1 return, as the case may be, in case the seller had
2 theretofore included the receipts from the sale of such
3 tangible personal property in a return filed by him and had
4 paid the tax imposed by this Act with respect to such
5 receipts.
6 Where the seller is a corporation, the return filed on
7 behalf of such corporation shall be signed by the president,
8 vice-president, secretary or treasurer or by the properly
9 accredited agent of such corporation.
10 Where the seller is a limited liability company, the
11 return filed on behalf of the limited liability company shall
12 be signed by a manager, member, or properly accredited agent
13 of the limited liability company.
14 Except as provided in this Section, the retailer filing
15 the return under this Section shall, at the time of filing
16 such return, pay to the Department the amount of tax imposed
17 by this Act less a discount of 2.1% prior to January 1, 1990
18 and 1.75% on and after January 1, 1990, or $5 per calendar
19 year, whichever is greater, which is allowed to reimburse the
20 retailer for the expenses incurred in keeping records,
21 preparing and filing returns, remitting the tax and supplying
22 data to the Department on request. Any prepayment made
23 pursuant to Section 2d of this Act shall be included in the
24 amount on which such 2.1% or 1.75% discount is computed. In
25 the case of retailers who report and pay the tax on a
26 transaction by transaction basis, as provided in this
27 Section, such discount shall be taken with each such tax
28 remittance instead of when such retailer files his periodic
29 return.
30 If the taxpayer's average monthly tax liability to the
31 Department under this Act, the Use Tax Act, the Service
32 Occupation Tax Act, and the Service Use Tax Act, excluding
33 any liability for prepaid sales tax to be remitted in
34 accordance with Section 2d of this Act, was $10,000 or more
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1 during the preceding 4 complete calendar quarters, he shall
2 file a return with the Department each month by the 20th day
3 of the month next following the month during which such tax
4 liability is incurred and shall make payments to the
5 Department on or before the 7th, 15th, 22nd and last day of
6 the month during which such liability is incurred. If the
7 month during which such tax liability is incurred began prior
8 to January 1, 1985, each payment shall be in an amount equal
9 to 1/4 of the taxpayer's actual liability for the month or an
10 amount set by the Department not to exceed 1/4 of the average
11 monthly liability of the taxpayer to the Department for the
12 preceding 4 complete calendar quarters (excluding the month
13 of highest liability and the month of lowest liability in
14 such 4 quarter period). If the month during which such tax
15 liability is incurred begins on or after January 1, 1985 and
16 prior to January 1, 1987, each payment shall be in an amount
17 equal to 22.5% of the taxpayer's actual liability for the
18 month or 27.5% of the taxpayer's liability for the same
19 calendar month of the preceding year. If the month during
20 which such tax liability is incurred begins on or after
21 January 1, 1987 and prior to January 1, 1988, each payment
22 shall be in an amount equal to 22.5% of the taxpayer's actual
23 liability for the month or 26.25% of the taxpayer's liability
24 for the same calendar month of the preceding year. If the
25 month during which such tax liability is incurred begins on
26 or after January 1, 1988, and prior to January 1, 1989, or
27 begins on or after January 1, 1996, each payment shall be in
28 an amount equal to 22.5% of the taxpayer's actual liability
29 for the month or 25% of the taxpayer's liability for the same
30 calendar month of the preceding year. If the month during
31 which such tax liability is incurred begins on or after
32 January 1, 1989, and prior to January 1, 1996, each payment
33 shall be in an amount equal to 22.5% of the taxpayer's actual
34 liability for the month or 25% of the taxpayer's liability
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1 for the same calendar month of the preceding year or 100% of
2 the taxpayer's actual liability for the quarter monthly
3 reporting period. The amount of such quarter monthly
4 payments shall be credited against the final tax liability of
5 the taxpayer's return for that month. Once applicable, the
6 requirement of the making of quarter monthly payments to the
7 Department by taxpayers having an average monthly tax
8 liability of $10,000 or more as determined in the manner
9 provided above shall continue until such taxpayer's average
10 monthly liability to the Department during the preceding 4
11 complete calendar quarters (excluding the month of highest
12 liability and the month of lowest liability) is less than
13 $9,000, or until such taxpayer's average monthly liability to
14 the Department as computed for each calendar quarter of the 4
15 preceding complete calendar quarter period is less than
16 $10,000. However, if a taxpayer can show the Department that
17 a substantial change in the taxpayer's business has occurred
18 which causes the taxpayer to anticipate that his average
19 monthly tax liability for the reasonably foreseeable future
20 will fall below $10,000, then such taxpayer may petition the
21 Department for a change in such taxpayer's reporting status.
22 The Department shall change such taxpayer's reporting status
23 unless it finds that such change is seasonal in nature and
24 not likely to be long term. If any such quarter monthly
25 payment is not paid at the time or in the amount required by
26 this Section, then the taxpayer shall be liable for penalties
27 and interest on the difference between the minimum amount due
28 as a payment and the amount of such quarter monthly payment
29 actually and timely paid, except insofar as the taxpayer has
30 previously made payments for that month to the Department in
31 excess of the minimum payments previously due as provided in
32 this Section. The Department shall make reasonable rules and
33 regulations to govern the quarter monthly payment amount and
34 quarter monthly payment dates for taxpayers who file on other
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1 than a calendar monthly basis.
2 Without regard to whether a taxpayer is required to make
3 quarter monthly payments as specified above, any taxpayer who
4 is required by Section 2d of this Act to collect and remit
5 prepaid taxes and has collected prepaid taxes which average
6 in excess of $25,000 per month during the preceding 2
7 complete calendar quarters, shall file a return with the
8 Department as required by Section 2f and shall make payments
9 to the Department on or before the 7th, 15th, 22nd and last
10 day of the month during which such liability is incurred. If
11 the month during which such tax liability is incurred began
12 prior to the effective date of this amendatory Act of 1985,
13 each payment shall be in an amount not less than 22.5% of the
14 taxpayer's actual liability under Section 2d. If the month
15 during which such tax liability is incurred begins on or
16 after January 1, 1986, each payment shall be in an amount
17 equal to 22.5% of the taxpayer's actual liability for the
18 month or 27.5% of the taxpayer's liability for the same
19 calendar month of the preceding calendar year. If the month
20 during which such tax liability is incurred begins on or
21 after January 1, 1987, each payment shall be in an amount
22 equal to 22.5% of the taxpayer's actual liability for the
23 month or 26.25% of the taxpayer's liability for the same
24 calendar month of the preceding year. The amount of such
25 quarter monthly payments shall be credited against the final
26 tax liability of the taxpayer's return for that month filed
27 under this Section or Section 2f, as the case may be. Once
28 applicable, the requirement of the making of quarter monthly
29 payments to the Department pursuant to this paragraph shall
30 continue until such taxpayer's average monthly prepaid tax
31 collections during the preceding 2 complete calendar quarters
32 is $25,000 or less. If any such quarter monthly payment is
33 not paid at the time or in the amount required, the taxpayer
34 shall be liable for penalties and interest on such
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1 difference, except insofar as the taxpayer has previously
2 made payments for that month in excess of the minimum
3 payments previously due.
4 If any payment provided for in this Section exceeds the
5 taxpayer's liabilities under this Act, the Use Tax Act, the
6 Service Occupation Tax Act and the Service Use Tax Act, as
7 shown on an original monthly return, the Department shall, if
8 requested by the taxpayer, issue to the taxpayer a credit
9 memorandum no later than 30 days after the date of payment.
10 The credit evidenced by such credit memorandum may be
11 assigned by the taxpayer to a similar taxpayer under this
12 Act, the Use Tax Act, the Service Occupation Tax Act or the
13 Service Use Tax Act, in accordance with reasonable rules and
14 regulations to be prescribed by the Department. If no such
15 request is made, the taxpayer may credit such excess payment
16 against tax liability subsequently to be remitted to the
17 Department under this Act, the Use Tax Act, the Service
18 Occupation Tax Act or the Service Use Tax Act, in accordance
19 with reasonable rules and regulations prescribed by the
20 Department. If the Department subsequently determined that
21 all or any part of the credit taken was not actually due to
22 the taxpayer, the taxpayer's 2.1% and 1.75% vendor's discount
23 shall be reduced by 2.1% or 1.75% of the difference between
24 the credit taken and that actually due, and that taxpayer
25 shall be liable for penalties and interest on such
26 difference.
27 If a retailer of motor fuel is entitled to a credit under
28 Section 2d of this Act which exceeds the taxpayer's liability
29 to the Department under this Act for the month which the
30 taxpayer is filing a return, the Department shall issue the
31 taxpayer a credit memorandum for the excess.
32 Beginning January 1, 1990, each month the Department
33 shall pay into the Local Government Tax Fund, a special fund
34 in the State treasury which is hereby created, the net
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1 revenue realized for the preceding month from the 1% tax on
2 sales of food for human consumption which is to be consumed
3 off the premises where it is sold (other than alcoholic
4 beverages, soft drinks and food which has been prepared for
5 immediate consumption) and prescription and nonprescription
6 medicines, drugs, medical appliances and insulin, urine
7 testing materials, syringes and needles used by diabetics.
8 Beginning January 1, 1990, each month the Department
9 shall pay into the County and Mass Transit District Fund, a
10 special fund in the State treasury which is hereby created,
11 4% of the net revenue realized for the preceding month from
12 the 6.25% general rate.
13 Beginning November 1, 1998, and so long as the rate
14 remains at 1.25%, each month the Department shall pay into
15 the County and Mass Transit District Fund 20% of the net
16 revenue realized for the preceding month from the 1.25% rate
17 on the selling price of motor fuel and gasohol.
18 Beginning January 1, 1990, each month the Department
19 shall pay into the Local Government Tax Fund 16% of the net
20 revenue realized for the preceding month from the 6.25%
21 general rate on the selling price of tangible personal
22 property.
23 Beginning November 1, 1998, and so long as the rate
24 remains at 1.25%, each month the Department shall pay into
25 the Local Government Tax Fund 80% of the net revenue realized
26 for the preceding month from the 1.25% rate on the selling
27 price of motor fuel and gasohol.
28 Of the remainder of the moneys received by the Department
29 pursuant to this Act, (a) 1.75% thereof shall be paid into
30 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
31 and on and after July 1, 1989, 3.8% thereof shall be paid
32 into the Build Illinois Fund; provided, however, that if in
33 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
34 as the case may be, of the moneys received by the Department
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1 and required to be paid into the Build Illinois Fund pursuant
2 to this Act, Section 9 of the Use Tax Act, Section 9 of the
3 Service Use Tax Act, and Section 9 of the Service Occupation
4 Tax Act, such Acts being hereinafter called the "Tax Acts"
5 and such aggregate of 2.2% or 3.8%, as the case may be, of
6 moneys being hereinafter called the "Tax Act Amount", and (2)
7 the amount transferred to the Build Illinois Fund from the
8 State and Local Sales Tax Reform Fund shall be less than the
9 Annual Specified Amount (as hereinafter defined), an amount
10 equal to the difference shall be immediately paid into the
11 Build Illinois Fund from other moneys received by the
12 Department pursuant to the Tax Acts; the "Annual Specified
13 Amount" means the amounts specified below for fiscal years
14 1986 through 1993:
15 Fiscal Year Annual Specified Amount
16 1986 $54,800,000
17 1987 $76,650,000
18 1988 $80,480,000
19 1989 $88,510,000
20 1990 $115,330,000
21 1991 $145,470,000
22 1992 $182,730,000
23 1993 $206,520,000;
24 and means the Certified Annual Debt Service Requirement (as
25 defined in Section 13 of the Build Illinois Bond Act) or the
26 Tax Act Amount, whichever is greater, for fiscal year 1994
27 and each fiscal year thereafter; and further provided, that
28 if on the last business day of any month the sum of (1) the
29 Tax Act Amount required to be deposited into the Build
30 Illinois Bond Account in the Build Illinois Fund during such
31 month and (2) the amount transferred to the Build Illinois
32 Fund from the State and Local Sales Tax Reform Fund shall
33 have been less than 1/12 of the Annual Specified Amount, an
34 amount equal to the difference shall be immediately paid into
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1 the Build Illinois Fund from other moneys received by the
2 Department pursuant to the Tax Acts; and, further provided,
3 that in no event shall the payments required under the
4 preceding proviso result in aggregate payments into the Build
5 Illinois Fund pursuant to this clause (b) for any fiscal year
6 in excess of the greater of (i) the Tax Act Amount or (ii)
7 the Annual Specified Amount for such fiscal year. The
8 amounts payable into the Build Illinois Fund under clause (b)
9 of the first sentence in this paragraph shall be payable only
10 until such time as the aggregate amount on deposit under each
11 trust indenture securing Bonds issued and outstanding
12 pursuant to the Build Illinois Bond Act is sufficient, taking
13 into account any future investment income, to fully provide,
14 in accordance with such indenture, for the defeasance of or
15 the payment of the principal of, premium, if any, and
16 interest on the Bonds secured by such indenture and on any
17 Bonds expected to be issued thereafter and all fees and costs
18 payable with respect thereto, all as certified by the
19 Director of the Bureau of the Budget. If on the last
20 business day of any month in which Bonds are outstanding
21 pursuant to the Build Illinois Bond Act, the aggregate of
22 moneys deposited in the Build Illinois Bond Account in the
23 Build Illinois Fund in such month shall be less than the
24 amount required to be transferred in such month from the
25 Build Illinois Bond Account to the Build Illinois Bond
26 Retirement and Interest Fund pursuant to Section 13 of the
27 Build Illinois Bond Act, an amount equal to such deficiency
28 shall be immediately paid from other moneys received by the
29 Department pursuant to the Tax Acts to the Build Illinois
30 Fund; provided, however, that any amounts paid to the Build
31 Illinois Fund in any fiscal year pursuant to this sentence
32 shall be deemed to constitute payments pursuant to clause (b)
33 of the first sentence of this paragraph and shall reduce the
34 amount otherwise payable for such fiscal year pursuant to
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1 that clause (b). The moneys received by the Department
2 pursuant to this Act and required to be deposited into the
3 Build Illinois Fund are subject to the pledge, claim and
4 charge set forth in Section 12 of the Build Illinois Bond
5 Act.
6 Subject to payment of amounts into the Build Illinois
7 Fund as provided in the preceding paragraph or in any
8 amendment thereto hereafter enacted, the following specified
9 monthly installment of the amount requested in the
10 certificate of the Chairman of the Metropolitan Pier and
11 Exposition Authority provided under Section 8.25f of the
12 State Finance Act, but not in excess of sums designated as
13 "Total Deposit", shall be deposited in the aggregate from
14 collections under Section 9 of the Use Tax Act, Section 9 of
15 the Service Use Tax Act, Section 9 of the Service Occupation
16 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
17 into the McCormick Place Expansion Project Fund in the
18 specified fiscal years.
19 Fiscal Year Total Deposit
20 1993 $0
21 1994 53,000,000
22 1995 58,000,000
23 1996 61,000,000
24 1997 64,000,000
25 1998 68,000,000
26 1999 71,000,000
27 2000 75,000,000
28 2001 80,000,000
29 2002 84,000,000
30 2003 89,000,000
31 2004 and 93,000,000
32 each fiscal year
33 thereafter that bonds
34 are outstanding under
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1 Section 13.2 of the
2 Metropolitan Pier and
3 Exposition Authority
4 Act.
5 Beginning July 20, 1993 and in each month of each fiscal
6 year thereafter, one-eighth of the amount requested in the
7 certificate of the Chairman of the Metropolitan Pier and
8 Exposition Authority for that fiscal year, less the amount
9 deposited into the McCormick Place Expansion Project Fund by
10 the State Treasurer in the respective month under subsection
11 (g) of Section 13 of the Metropolitan Pier and Exposition
12 Authority Act, plus cumulative deficiencies in the deposits
13 required under this Section for previous months and years,
14 shall be deposited into the McCormick Place Expansion Project
15 Fund, until the full amount requested for the fiscal year,
16 but not in excess of the amount specified above as "Total
17 Deposit", has been deposited.
18 Subject to payment of amounts into the Build Illinois
19 Fund and the McCormick Place Expansion Project Fund pursuant
20 to the preceding paragraphs or in any amendment thereto
21 hereafter enacted, each month the Department shall pay into
22 the Local Government Distributive Fund 0.4% of the net
23 revenue realized for the preceding month from the 5% general
24 rate or 0.4% of 80% of the net revenue realized for the
25 preceding month from the 6.25% general rate, as the case may
26 be, on the selling price of tangible personal property which
27 amount shall, subject to appropriation, be distributed as
28 provided in Section 2 of the State Revenue Sharing Act. No
29 payments or distributions pursuant to this paragraph shall be
30 made if the tax imposed by this Act on photoprocessing
31 products is declared unconstitutional, or if the proceeds
32 from such tax are unavailable for distribution because of
33 litigation.
34 Subject to payment of amounts into the Build Illinois
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1 Fund, the McCormick Place Expansion Project to the preceding
2 paragraphs or in any amendments thereto hereafter enacted,
3 beginning July 1, 1993, the Department shall each month pay
4 into the Illinois Tax Increment Fund 0.27% of 80% of the net
5 revenue realized for the preceding month from the 6.25%
6 general rate on the selling price of tangible personal
7 property.
8 Of the remainder of the moneys received by the Department
9 pursuant to this Act, 75% thereof shall be paid into the
10 State Treasury and 25% shall be reserved in a special account
11 and used only for the transfer to the Common School Fund as
12 part of the monthly transfer from the General Revenue Fund in
13 accordance with Section 8a of the State Finance Act.
14 The Department may, upon separate written notice to a
15 taxpayer, require the taxpayer to prepare and file with the
16 Department on a form prescribed by the Department within not
17 less than 60 days after receipt of the notice an annual
18 information return for the tax year specified in the notice.
19 Such annual return to the Department shall include a
20 statement of gross receipts as shown by the retailer's last
21 Federal income tax return. If the total receipts of the
22 business as reported in the Federal income tax return do not
23 agree with the gross receipts reported to the Department of
24 Revenue for the same period, the retailer shall attach to his
25 annual return a schedule showing a reconciliation of the 2
26 amounts and the reasons for the difference. The retailer's
27 annual return to the Department shall also disclose the cost
28 of goods sold by the retailer during the year covered by such
29 return, opening and closing inventories of such goods for
30 such year, costs of goods used from stock or taken from stock
31 and given away by the retailer during such year, payroll
32 information of the retailer's business during such year and
33 any additional reasonable information which the Department
34 deems would be helpful in determining the accuracy of the
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1 monthly, quarterly or annual returns filed by such retailer
2 as provided for in this Section.
3 If the annual information return required by this Section
4 is not filed when and as required, the taxpayer shall be
5 liable as follows:
6 (i) Until January 1, 1994, the taxpayer shall be
7 liable for a penalty equal to 1/6 of 1% of the tax due
8 from such taxpayer under this Act during the period to be
9 covered by the annual return for each month or fraction
10 of a month until such return is filed as required, the
11 penalty to be assessed and collected in the same manner
12 as any other penalty provided for in this Act.
13 (ii) On and after January 1, 1994, the taxpayer
14 shall be liable for a penalty as described in Section 3-4
15 of the Uniform Penalty and Interest Act.
16 The chief executive officer, proprietor, owner or highest
17 ranking manager shall sign the annual return to certify the
18 accuracy of the information contained therein. Any person
19 who willfully signs the annual return containing false or
20 inaccurate information shall be guilty of perjury and
21 punished accordingly. The annual return form prescribed by
22 the Department shall include a warning that the person
23 signing the return may be liable for perjury.
24 The provisions of this Section concerning the filing of
25 an annual information return do not apply to a retailer who
26 is not required to file an income tax return with the United
27 States Government.
28 As soon as possible after the first day of each month,
29 upon certification of the Department of Revenue, the
30 Comptroller shall order transferred and the Treasurer shall
31 transfer from the General Revenue Fund to the Motor Fuel Tax
32 Fund an amount equal to 1.7% of 80% of the net revenue
33 realized under this Act for the second preceding month;
34 except that this transfer shall not be made for the months
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1 February through June, 1992.
2 Net revenue realized for a month shall be the revenue
3 collected by the State pursuant to this Act, less the amount
4 paid out during that month as refunds to taxpayers for
5 overpayment of liability.
6 For greater simplicity of administration, manufacturers,
7 importers and wholesalers whose products are sold at retail
8 in Illinois by numerous retailers, and who wish to do so, may
9 assume the responsibility for accounting and paying to the
10 Department all tax accruing under this Act with respect to
11 such sales, if the retailers who are affected do not make
12 written objection to the Department to this arrangement.
13 Any person who promotes, organizes, provides retail
14 selling space for concessionaires or other types of sellers
15 at the Illinois State Fair, DuQuoin State Fair, county fairs,
16 local fairs, art shows, flea markets and similar exhibitions
17 or events, including any transient merchant as defined by
18 Section 2 of the Transient Merchant Act of 1987, is required
19 to file a report with the Department providing the name of
20 the merchant's business, the name of the person or persons
21 engaged in merchant's business, the permanent address and
22 Illinois Retailers Occupation Tax Registration Number of the
23 merchant, the dates and location of the event and other
24 reasonable information that the Department may require. The
25 report must be filed not later than the 20th day of the month
26 next following the month during which the event with retail
27 sales was held. Any person who fails to file a report
28 required by this Section commits a business offense and is
29 subject to a fine not to exceed $250.
30 Any person engaged in the business of selling tangible
31 personal property at retail as a concessionaire or other type
32 of seller at the Illinois State Fair, county fairs, art
33 shows, flea markets and similar exhibitions or events, or any
34 transient merchants, as defined by Section 2 of the Transient
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1 Merchant Act of 1987, may be required to make a daily report
2 of the amount of such sales to the Department and to make a
3 daily payment of the full amount of tax due. The Department
4 shall impose this requirement when it finds that there is a
5 significant risk of loss of revenue to the State at such an
6 exhibition or event. Such a finding shall be based on
7 evidence that a substantial number of concessionaires or
8 other sellers who are not residents of Illinois will be
9 engaging in the business of selling tangible personal
10 property at retail at the exhibition or event, or other
11 evidence of a significant risk of loss of revenue to the
12 State. The Department shall notify concessionaires and other
13 sellers affected by the imposition of this requirement. In
14 the absence of notification by the Department, the
15 concessionaires and other sellers shall file their returns as
16 otherwise required in this Section.
17 (Source: P.A. 89-89, eff. 6-30-95; 89-235, eff. 8-4-95;
18 89-379, eff. 1-1-96; 89-626, eff. 8-9-96; 90-491, eff.
19 1-1-99.)
20 Section 25. The Counties Code is amended by changing
21 Sections 5-1006, 5-1006.5, 5-1007, and 5-1035.1 as follows:
22 (55 ILCS 5/5-1006) (from Ch. 34, par. 5-1006)
23 Sec. 5-1006. Home Rule County Retailers' Occupation Tax.
24 Any county that is a home rule unit may impose a tax upon all
25 persons engaged in the business of selling tangible personal
26 property, other than an item of tangible personal property
27 titled or registered with an agency of this State's
28 government, at retail in the county on the gross receipts
29 from such sales made in the course of their business. If
30 imposed, this tax shall only be imposed in 1/4% increments.
31 On and after September 1, 1991, this additional tax may not
32 be imposed on the sales of food for human consumption which
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1 is to be consumed off the premises where it is sold (other
2 than alcoholic beverages, soft drinks and food which has been
3 prepared for immediate consumption) and prescription and
4 nonprescription medicines, drugs, medical appliances and
5 insulin, urine testing materials, syringes and needles used
6 by diabetics. The tax imposed by a home rule county pursuant
7 to this Section and all civil penalties that may be assessed
8 as an incident thereof shall be collected and enforced by the
9 State Department of Revenue. The certificate of registration
10 that is issued by the Department to a retailer under the
11 Retailers' Occupation Tax Act shall permit the retailer to
12 engage in a business that is taxable under any ordinance or
13 resolution enacted pursuant to this Section without
14 registering separately with the Department under such
15 ordinance or resolution or under this Section. The
16 Department shall have full power to administer and enforce
17 this Section; to collect all taxes and penalties due
18 hereunder; to dispose of taxes and penalties so collected in
19 the manner hereinafter provided; and to determine all rights
20 to credit memoranda arising on account of the erroneous
21 payment of tax or penalty hereunder. In the administration
22 of, and compliance with, this Section, the Department and
23 persons who are subject to this Section shall have the same
24 rights, remedies, privileges, immunities, powers and duties,
25 and be subject to the same conditions, restrictions,
26 limitations, penalties and definitions of terms, and employ
27 the same modes of procedure, as are prescribed in Sections 1,
28 1a, 1a-1, 1d, 1e, 1f, 1i, 1j, 2 through 2-65 (in respect to
29 all provisions therein other than the State rate of tax), 4,
30 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b,
31 6c, 7, 8, 9, 10, 11, 12 and 13 of the Retailers' Occupation
32 Tax Act and Section 3-7 of the Uniform Penalty and Interest
33 Act, as fully as if those provisions were set forth herein.
34 No tax may be imposed by a home rule county pursuant to
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1 this Section unless the county also imposes a tax at the same
2 rate pursuant to Section 5-1007.
3 A home rule county that has not imposed a tax under this
4 Section on the sale of motor fuel or gasohol before the
5 effective date of this amendatory Act of 1998 shall not
6 impose such a tax on or after that date. A home rule county
7 that has imposed a tax under this Section on the sale of
8 motor fuel or gasohol before the effective date of this
9 amendatory Act of 1998 shall not increase the rate of the tax
10 on or after that date. This amendatory Act of 1998 is a
11 denial and limitation of home rule powers to tax under
12 subsection (g) of Section 6 of Article VII of the Illinois
13 Constitution.
14 Persons subject to any tax imposed pursuant to the
15 authority granted in this Section may reimburse themselves
16 for their seller's tax liability hereunder by separately
17 stating such tax as an additional charge, which charge may be
18 stated in combination, in a single amount, with State tax
19 which sellers are required to collect under the Use Tax Act,
20 pursuant to such bracket schedules as the Department may
21 prescribe.
22 Whenever the Department determines that a refund should
23 be made under this Section to a claimant instead of issuing a
24 credit memorandum, the Department shall notify the State
25 Comptroller, who shall cause the order to be drawn for the
26 amount specified and to the person named in the notification
27 from the Department. The refund shall be paid by the State
28 Treasurer out of the home rule county retailers' occupation
29 tax fund.
30 The Department shall forthwith pay over to the State
31 Treasurer, ex officio, as trustee, all taxes and penalties
32 collected hereunder. On or before the 25th day of each
33 calendar month, the Department shall prepare and certify to
34 the Comptroller the disbursement of stated sums of money to
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1 named counties, the counties to be those from which retailers
2 have paid taxes or penalties hereunder to the Department
3 during the second preceding calendar month. The amount to be
4 paid to each county shall be the amount (not including credit
5 memoranda) collected hereunder during the second preceding
6 calendar month by the Department plus an amount the
7 Department determines is necessary to offset any amounts that
8 were erroneously paid to a different taxing body, and not
9 including an amount equal to the amount of refunds made
10 during the second preceding calendar month by the Department
11 on behalf of such county, and not including any amount which
12 the Department determines is necessary to offset any amounts
13 which were payable to a different taxing body but were
14 erroneously paid to the county. Within 10 days after receipt,
15 by the Comptroller, of the disbursement certification to the
16 counties provided for in this Section to be given to the
17 Comptroller by the Department, the Comptroller shall cause
18 the orders to be drawn for the respective amounts in
19 accordance with the directions contained in the
20 certification.
21 In addition to the disbursement required by the preceding
22 paragraph, an allocation shall be made in March of each year
23 to each county that received more than $500,000 in
24 disbursements under the preceding paragraph in the preceding
25 calendar year. The allocation shall be in an amount equal to
26 the average monthly distribution made to each such county
27 under the preceding paragraph during the preceding calendar
28 year (excluding the 2 months of highest receipts). The
29 distribution made in March of each year subsequent to the
30 year in which an allocation was made pursuant to this
31 paragraph and the preceding paragraph shall be reduced by the
32 amount allocated and disbursed under this paragraph in the
33 preceding calendar year. The Department shall prepare and
34 certify to the Comptroller for disbursement the allocations
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1 made in accordance with this paragraph.
2 For the purpose of determining the local governmental
3 unit whose tax is applicable, a retail sale by a producer of
4 coal or other mineral mined in Illinois is a sale at retail
5 at the place where the coal or other mineral mined in
6 Illinois is extracted from the earth. This paragraph does
7 not apply to coal or other mineral when it is delivered or
8 shipped by the seller to the purchaser at a point outside
9 Illinois so that the sale is exempt under the United States
10 Constitution as a sale in interstate or foreign commerce.
11 Nothing in this Section shall be construed to authorize a
12 county to impose a tax upon the privilege of engaging in any
13 business which under the Constitution of the United States
14 may not be made the subject of taxation by this State.
15 An ordinance or resolution imposing or discontinuing a
16 tax hereunder or effecting a change in the rate thereof shall
17 be adopted and a certified copy thereof filed with the
18 Department on or before the first day of June, whereupon the
19 Department shall proceed to administer and enforce this
20 Section as of the first day of September next following such
21 adoption and filing. Beginning January 1, 1992, an ordinance
22 or resolution imposing or discontinuing the tax hereunder or
23 effecting a change in the rate thereof shall be adopted and a
24 certified copy thereof filed with the Department on or before
25 the first day of July, whereupon the Department shall proceed
26 to administer and enforce this Section as of the first day of
27 October next following such adoption and filing. Beginning
28 January 1, 1993, an ordinance or resolution imposing or
29 discontinuing the tax hereunder or effecting a change in the
30 rate thereof shall be adopted and a certified copy thereof
31 filed with the Department on or before the first day of
32 October, whereupon the Department shall proceed to administer
33 and enforce this Section as of the first day of January next
34 following such adoption and filing.
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1 When certifying the amount of a monthly disbursement to a
2 county under this Section, the Department shall increase or
3 decrease such amount by an amount necessary to offset any
4 misallocation of previous disbursements. The offset amount
5 shall be the amount erroneously disbursed within the previous
6 6 months from the time a misallocation is discovered.
7 This Section shall be known and may be cited as the "Home
8 Rule County Retailers' Occupation Tax Law".
9 (Source: P.A. 86-962; 86-1028; 86-1475; 87-205; 87-895.)
10 (55 ILCS 5/5-1006.5)
11 Sec. 5-1006.5. Special County Retailers' Occupation Tax
12 For Public Safety.
13 (a) The county board of any county may impose a tax upon
14 all persons engaged in the business of selling tangible
15 personal property, other than personal property titled or
16 registered with an agency of this State's government, at
17 retail in the county on the gross receipts from the sales
18 made in the course of business to provide revenue to be used
19 exclusively for public safety purposes in that county, if a
20 proposition for the tax has been submitted to the electors of
21 that county and approved by a majority of those voting on the
22 question. If imposed, this tax shall be imposed only in
23 one-quarter percent increments. By resolution, the county
24 board may order the proposition to be submitted at any
25 election. The county clerk shall certify the question to the
26 proper election authority, who shall submit the proposition
27 at an election in accordance with the general election law.
28 The proposition shall be in substantially the following
29 form:
30 "Shall (name of county) be authorized to impose a
31 public safety tax at the rate of .... upon all persons
32 engaged in the business of selling tangible personal
33 property at retail in the county on gross receipts from
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1 the sales made in the course of their business to be used
2 for crime prevention, detention, and other public safety
3 purposes?"
4 Votes shall be recorded as Yes or No. If a majority of the
5 electors voting on the proposition vote in favor of it, the
6 county may impose the tax.
7 This additional tax may not be imposed on the sales of
8 food for human consumption that is to be consumed off the
9 premises where it is sold (other than alcoholic beverages,
10 soft drinks, and food which has been prepared for immediate
11 consumption) and prescription and non-prescription medicines,
12 drugs, medical appliances and insulin, urine testing
13 materials, syringes, and needles used by diabetics. The tax
14 imposed by a county under this Section and all civil
15 penalties that may be assessed as an incident of the tax
16 shall be collected and enforced by the Illinois Department of
17 Revenue. The certificate of registration that is issued by
18 the Department to a retailer under the Retailers' Occupation
19 Tax Act shall permit the retailer to engage in a business
20 that is taxable without registering separately with the
21 Department under an ordinance or resolution under this
22 Section. The Department has full power to administer and
23 enforce this Section, to collect all taxes and penalties due
24 under this Section, to dispose of taxes and penalties so
25 collected in the manner provided in this Section, and to
26 determine all rights to credit memoranda arising on account
27 of the erroneous payment of a tax or penalty under this
28 Section. In the administration of and compliance with this
29 Section, the Department and persons who are subject to this
30 Section shall (i) have the same rights, remedies, privileges,
31 immunities, powers, and duties, (ii) be subject to the same
32 conditions, restrictions, limitations, penalties, and
33 definitions of terms, and (iii) employ the same modes of
34 procedure as are prescribed in Sections 1, 1a, 1a-1, 1d, 1e,
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1 1f, 1i, 1j, 2, 2-5, 2-5.5, 2-10 (in respect to all provisions
2 contained in those Sections other than the State rate of
3 tax), 2-15 through 2-70, 2a, 2b, 2c, 3 (except provisions
4 relating to transaction returns and quarter monthly
5 payments), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k,
6 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 11a, 12, and 13 of the
7 Retailers' Occupation Tax Act and Section 3-7 of the Uniform
8 Penalty and Interest Act as if those provisions were set
9 forth in this Section.
10 A county that has not imposed a tax under this subsection
11 on the sale of motor fuel or gasohol before the effective
12 date of this amendatory Act of 1998 shall not impose such a
13 tax on or after that date. A county that has imposed a tax
14 under this subsection on the sale of motor fuel or gasohol
15 before the effective date of this amendatory Act of 1998
16 shall not increase the rate of the tax on or after that date.
17 Persons subject to any tax imposed under the authority
18 granted in this Section may reimburse themselves for their
19 sellers' tax liability by separately stating the tax as an
20 additional charge, which charge may be stated in combination,
21 in a single amount, with State tax which sellers are required
22 to collect under the Use Tax Act, pursuant to such bracketed
23 schedules as the Department may prescribe.
24 Whenever the Department determines that a refund should
25 be made under this Section to a claimant instead of issuing a
26 credit memorandum, the Department shall notify the State
27 Comptroller, who shall cause the order to be drawn for the
28 amount specified and to the person named in the notification
29 from the Department. The refund shall be paid by the State
30 Treasurer out of the County Public Safety Retailers'
31 Occupation Tax Fund.
32 (b) If a tax has been imposed under subsection (a), a
33 service occupation tax shall also be imposed at the same rate
34 upon all persons engaged, in the county, in the business of
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1 making sales of service, who, as an incident to making those
2 sales of service, transfer tangible personal property within
3 the county as an incident to a sale of service. This tax may
4 not be imposed on sales of food for human consumption that is
5 to be consumed off the premises where it is sold (other than
6 alcoholic beverages, soft drinks, and food prepared for
7 immediate consumption) and prescription and non-prescription
8 medicines, drugs, medical appliances and insulin, urine
9 testing materials, syringes, and needles used by diabetics.
10 The tax imposed under this subsection and all civil penalties
11 that may be assessed as an incident thereof shall be
12 collected and enforced by the Department of Revenue. The
13 Department has full power to administer and enforce this
14 subsection; to collect all taxes and penalties due hereunder;
15 to dispose of taxes and penalties so collected in the manner
16 hereinafter provided; and to determine all rights to credit
17 memoranda arising on account of the erroneous payment of tax
18 or penalty hereunder. In the administration of, and
19 compliance with this subsection, the Department and persons
20 who are subject to this paragraph shall (i) have the same
21 rights, remedies, privileges, immunities, powers, and duties,
22 (ii) be subject to the same conditions, restrictions,
23 limitations, penalties, exclusions, exemptions, and
24 definitions of terms, and (iii) employ the same modes of
25 procedure as are prescribed in Sections 1a-1, 2 (except that
26 the reference to State in the definition of supplier
27 maintaining a place of business in this State shall mean the
28 county), 2a, 3 through 3-50 (in respect to all provisions
29 therein other than the State rate of tax), 4 (except that the
30 reference to the State shall be to the county), 5, 7, 8
31 (except that the jurisdiction to which the tax shall be a
32 debt to the extent indicated in that Section 8 shall be the
33 county), 9 (except as to the disposition of taxes and
34 penalties collected, and except that the returned merchandise
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1 credit for this tax may not be taken against any State tax),
2 10, 11, 12 (except the reference therein to Section 2b of the
3 Retailers' Occupation Tax Act), 13 (except that any reference
4 to the State shall mean the county), the first paragraph of
5 Section 15, 16, 17, 18, 19 and 20 of the Service Occupation
6 Tax Act and Section 3-7 of the Uniform Penalty and Interest
7 Act, as fully as if those provisions were set forth herein.
8 A county that has not imposed a tax under this subsection
9 on the selling price of motor fuel or gasohol before the
10 effective date of this amendatory Act of 1998 shall not
11 impose such a tax on or after that date. A county that has
12 imposed a tax under this subsection on the selling price of
13 motor fuel or gasohol before the effective date of this
14 amendatory Act of 1998 shall not increase the rate of the tax
15 on or after that date.
16 Persons subject to any tax imposed under the authority
17 granted in this subsection may reimburse themselves for their
18 serviceman's tax liability by separately stating the tax as
19 an additional charge, which charge may be stated in
20 combination, in a single amount, with State tax that
21 servicemen are authorized to collect under the Service Use
22 Tax Act, in accordance with such bracket schedules as the
23 Department may prescribe.
24 Whenever the Department determines that a refund should
25 be made under this subsection to a claimant instead of
26 issuing a credit memorandum, the Department shall notify the
27 State Comptroller, who shall cause the warrant to be drawn
28 for the amount specified, and to the person named, in the
29 notification from the Department. The refund shall be paid
30 by the State Treasurer out of the County Public Safety
31 Retailers' Occupation Fund.
32 Nothing in this subsection shall be construed to
33 authorize the county to impose a tax upon the privilege of
34 engaging in any business which under the Constitution of the
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1 United States may not be made the subject of taxation by the
2 State.
3 (c) The Department shall immediately pay over to the
4 State Treasurer, ex officio, as trustee, all taxes and
5 penalties collected under this Section to be deposited into
6 the County Public Safety Retailers' Occupation Tax Fund,
7 which shall be an unappropriated trust fund held outside of
8 the State treasury. On or before the 25th day of each
9 calendar month, the Department shall prepare and certify to
10 the Comptroller the disbursement of stated sums of money to
11 the counties from which retailers have paid taxes or
12 penalties to the Department during the second preceding
13 calendar month. The amount to be paid to each county shall
14 be the amount (not including credit memoranda) collected
15 under this Section during the second preceding calendar month
16 by the Department plus an amount the Department determines is
17 necessary to offset any amounts that were erroneously paid to
18 a different taxing body, and not including (i) an amount
19 equal to the amount of refunds made during the second
20 preceding calendar month by the Department on behalf of the
21 county and (ii) any amount that the Department determines is
22 necessary to offset any amounts that were payable to a
23 different taxing body but were erroneously paid to the
24 county. Within 10 days after receipt by the Comptroller of
25 the disbursement certification to the counties provided for
26 in this Section to be given to the Comptroller by the
27 Department, the Comptroller shall cause the orders to be
28 drawn for the respective amounts in accordance with
29 directions contained in the certification.
30 In addition to the disbursement required by the preceding
31 paragraph, an allocation shall be made in March of each year
32 to each county that received more than $500,000 in
33 disbursements under the preceding paragraph in the preceding
34 calendar year. The allocation shall be in an amount equal to
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1 the average monthly distribution made to each such county
2 under the preceding paragraph during the preceding calendar
3 year (excluding the 2 months of highest receipts). The
4 distribution made in March of each year subsequent to the
5 year in which an allocation was made pursuant to this
6 paragraph and the preceding paragraph shall be reduced by the
7 amount allocated and disbursed under this paragraph in the
8 preceding calendar year. The Department shall prepare and
9 certify to the Comptroller for disbursement the allocations
10 made in accordance with this paragraph.
11 (d) For the purpose of determining the local
12 governmental unit whose tax is applicable, a retail sale by a
13 producer of coal or another mineral mined in Illinois is a
14 sale at retail at the place where the coal or other mineral
15 mined in Illinois is extracted from the earth. This
16 paragraph does not apply to coal or another mineral when it
17 is delivered or shipped by the seller to the purchaser at a
18 point outside Illinois so that the sale is exempt under the
19 United States Constitution as a sale in interstate or foreign
20 commerce.
21 (e) Nothing in this Section shall be construed to
22 authorize a county to impose a tax upon the privilege of
23 engaging in any business that under the Constitution of the
24 United States may not be made the subject of taxation by this
25 State.
26 (e-5) If a county imposes a tax under this Section, the
27 county board may, by ordinance, discontinue or lower the rate
28 of the tax. If the county board lowers the tax rate or
29 discontinues the tax, a referendum must be held in accordance
30 with subsection (a) of this Section in order to increase the
31 rate of the tax or to reimpose the discontinued tax.
32 (f) The results of any election authorizing a
33 proposition to impose a tax under this Section or effecting a
34 change in the rate of tax, or any ordinance lowering the rate
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1 or discontinuing the tax, shall be certified by the county
2 clerk and filed with the Illinois Department of Revenue on or
3 before the first day of June. The Illinois Department of
4 Revenue shall then proceed to administer and enforce this
5 Section or to lower the rate or discontinue the tax, as the
6 case may be, as of the first day of January next following
7 the filing.
8 (g) When certifying the amount of a monthly disbursement
9 to a county under this Section, the Department shall increase
10 or decrease the amounts by an amount necessary to offset any
11 miscalculation of previous disbursements. The offset amount
12 shall be the amount erroneously disbursed within the previous
13 6 months from the time a miscalculation is discovered.
14 (h) This Section may be cited as the "Special County
15 Occupation Tax For Public Safety Law".
16 (i) For purposes of this Section, "public safety"
17 includes but is not limited to fire fighting, police,
18 medical, ambulance, or other emergency services.
19 (j) This amendatory Act of 1998 is a denial and
20 limitation of home rule powers to tax under subsection (g) of
21 Section 6 of Article VII of the Illinois Constitution.
22 (Source: P.A. 89-107, eff. 1-1-96; 89-718, eff. 3-7-97;
23 90-190, eff. 7-24-97; 90-267, eff. 7-30-97; 90-552, eff.
24 12-12-97; 90-562, eff. 12-16-97; revised 12-30-97.)
25 (55 ILCS 5/5-1007) (from Ch. 34, par. 5-1007)
26 Sec. 5-1007. Home Rule County Service Occupation Tax. The
27 corporate authorities of a home rule county may impose a tax
28 upon all persons engaged, in such county, in the business of
29 making sales of service at the same rate of tax imposed
30 pursuant to Section 5-1006 of the selling price of all
31 tangible personal property transferred by such servicemen
32 either in the form of tangible personal property or in the
33 form of real estate as an incident to a sale of service. If
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1 imposed, such tax shall only be imposed in 1/4% increments.
2 On and after September 1, 1991, this additional tax may not
3 be imposed on the sales of food for human consumption which
4 is to be consumed off the premises where it is sold (other
5 than alcoholic beverages, soft drinks and food which has been
6 prepared for immediate consumption) and prescription and
7 nonprescription medicines, drugs, medical appliances and
8 insulin, urine testing materials, syringes and needles used
9 by diabetics. The tax imposed by a home rule county pursuant
10 to this Section and all civil penalties that may be assessed
11 as an incident thereof shall be collected and enforced by the
12 State Department of Revenue. The certificate of registration
13 which is issued by the Department to a retailer under the
14 Retailers' Occupation Tax Act or under the Service Occupation
15 Tax Act shall permit such registrant to engage in a business
16 which is taxable under any ordinance or resolution enacted
17 pursuant to this Section without registering separately with
18 the Department under such ordinance or resolution or under
19 this Section. The Department shall have full power to
20 administer and enforce this Section; to collect all taxes and
21 penalties due hereunder; to dispose of taxes and penalties so
22 collected in the manner hereinafter provided; and to
23 determine all rights to credit memoranda arising on account
24 of the erroneous payment of tax or penalty hereunder. In the
25 administration of, and compliance with, this Section the
26 Department and persons who are subject to this Section shall
27 have the same rights, remedies, privileges, immunities,
28 powers and duties, and be subject to the same conditions,
29 restrictions, limitations, penalties and definitions of
30 terms, and employ the same modes of procedure, as are
31 prescribed in Sections 1a-1, 2, 2a, 3 through 3-50 (in
32 respect to all provisions therein other than the State rate
33 of tax), 4 (except that the reference to the State shall be
34 to the taxing county), 5, 7, 8 (except that the jurisdiction
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1 to which the tax shall be a debt to the extent indicated in
2 that Section 8 shall be the taxing county), 9 (except as to
3 the disposition of taxes and penalties collected, and except
4 that the returned merchandise credit for this county tax may
5 not be taken against any State tax), 10, 11, 12 (except the
6 reference therein to Section 2b of the Retailers' Occupation
7 Tax Act), 13 (except that any reference to the State shall
8 mean the taxing county), the first paragraph of Section 15,
9 16, 17, 18, 19 and 20 of the Service Occupation Tax Act and
10 Section 3-7 of the Uniform Penalty and Interest Act, as fully
11 as if those provisions were set forth herein.
12 No tax may be imposed by a home rule county pursuant to
13 this Section unless such county also imposes a tax at the
14 same rate pursuant to Section 5-1006.
15 A home rule county that has not imposed a tax under this
16 Section on the selling price of motor fuel or gasohol before
17 the effective date of this amendatory Act of 1998 shall not
18 impose such a tax on or after that date. A home rule county
19 that has imposed a tax under this Section on the sale of
20 motor fuel or gasohol before the effective date of this
21 amendatory Act of 1998 shall not increase the rate of the tax
22 on or after that date. This amendatory Act of 1998 is denial
23 and limitation of home rule powers to tax under subsection
24 (g) of Section 6 of Article VII of the Illinois Constitution.
25 Persons subject to any tax imposed pursuant to the
26 authority granted in this Section may reimburse themselves
27 for their serviceman's tax liability hereunder by separately
28 stating such tax as an additional charge, which charge may be
29 stated in combination, in a single amount, with State tax
30 which servicemen are authorized to collect under the Service
31 Use Tax Act, pursuant to such bracket schedules as the
32 Department may prescribe.
33 Whenever the Department determines that a refund should
34 be made under this Section to a claimant instead of issuing
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1 credit memorandum, the Department shall notify the State
2 Comptroller, who shall cause the order to be drawn for the
3 amount specified, and to the person named, in such
4 notification from the Department. Such refund shall be paid
5 by the State Treasurer out of the home rule county retailers'
6 occupation tax fund.
7 The Department shall forthwith pay over to the State
8 Treasurer, ex-officio, as trustee, all taxes and penalties
9 collected hereunder. On or before the 25th day of each
10 calendar month, the Department shall prepare and certify to
11 the Comptroller the disbursement of stated sums of money to
12 named counties, the counties to be those from which suppliers
13 and servicemen have paid taxes or penalties hereunder to the
14 Department during the second preceding calendar month. The
15 amount to be paid to each county shall be the amount (not
16 including credit memoranda) collected hereunder during the
17 second preceding calendar month by the Department, and not
18 including an amount equal to the amount of refunds made
19 during the second preceding calendar month by the Department
20 on behalf of such county. Within 10 days after receipt, by
21 the Comptroller, of the disbursement certification to the
22 counties provided for in this Section to be given to the
23 Comptroller by the Department, the Comptroller shall cause
24 the orders to be drawn for the respective amounts in
25 accordance with the directions contained in such
26 certification.
27 In addition to the disbursement required by the preceding
28 paragraph, an allocation shall be made in each year to each
29 county which received more than $500,000 in disbursements
30 under the preceding paragraph in the preceding calendar year.
31 The allocation shall be in an amount equal to the average
32 monthly distribution made to each such county under the
33 preceding paragraph during the preceding calendar year
34 (excluding the 2 months of highest receipts). The
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1 distribution made in March of each year subsequent to the
2 year in which an allocation was made pursuant to this
3 paragraph and the preceding paragraph shall be reduced by the
4 amount allocated and disbursed under this paragraph in the
5 preceding calendar year. The Department shall prepare and
6 certify to the Comptroller for disbursement the allocations
7 made in accordance with this paragraph.
8 Nothing in this Section shall be construed to authorize a
9 county to impose a tax upon the privilege of engaging in any
10 business which under the Constitution of the United States
11 may not be made the subject of taxation by this State.
12 An ordinance or resolution imposing or discontinuing a
13 tax hereunder or effecting a change in the rate thereof shall
14 be adopted and a certified copy thereof filed with the
15 Department on or before the first day of June, whereupon the
16 Department shall proceed to administer and enforce this
17 Section as of the first day of September next following such
18 adoption and filing. Beginning January 1, 1992, an ordinance
19 or resolution imposing or discontinuing the tax hereunder or
20 effecting a change in the rate thereof shall be adopted and a
21 certified copy thereof filed with the Department on or before
22 the first day of July, whereupon the Department shall proceed
23 to administer and enforce this Section as of the first day of
24 October next following such adoption and filing. Beginning
25 January 1, 1993, an ordinance or resolution imposing or
26 discontinuing the tax hereunder or effecting a change in the
27 rate thereof shall be adopted and a certified copy thereof
28 filed with the Department on or before the first day of
29 October, whereupon the Department shall proceed to administer
30 and enforce this Section as of the first day of January next
31 following such adoption and filing.
32 This Section shall be known and may be cited as the "Home
33 Rule County Service Occupation Tax Law".
34 (Source: P.A. 86-962; 86-1028; 86-1475; 87-205; 87-895.)
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1 (55 ILCS 5/5-1035.1) (from Ch. 34, par. 5-1035.1)
2 Sec. 5-1035.1. County Motor Fuel Tax Law. The county
3 board of the counties of DuPage, Kane and McHenry may, by an
4 ordinance or resolution adopted by an affirmative vote of a
5 majority of the members elected or appointed to the county
6 board, impose a tax upon all persons engaged in the county in
7 the business of selling motor fuel, as now or hereafter
8 defined in the Motor Fuel Tax Law, at retail for the
9 operation of motor vehicles upon public highways or for the
10 operation of recreational watercraft upon waterways. Kane
11 County may exempt diesel fuel from the tax imposed pursuant
12 to this Section. The tax may be imposed, in half-cent
13 increments, at a rate not exceeding 4 cents per gallon of
14 motor fuel sold at retail within the county for the purpose
15 of use or consumption and not for the purpose of resale. The
16 proceeds from the tax shall be used by the county solely for
17 the purpose of operating, constructing and improving public
18 highways and waterways, and acquiring real property and
19 right-of-ways for public highways and waterways within the
20 county imposing the tax.
21 A county that has not imposed a tax under this Section
22 before the effective date of this amendatory Act of 1998
23 shall not impose such a tax on or after that date. A county
24 that has imposed a tax under this Section before the
25 effective date of this amendatory Act of 1998 shall not
26 increase the rate of the tax on or after that date.
27 A tax imposed pursuant to this Section, and all civil
28 penalties that may be assessed as an incident thereof, shall
29 be administered, collected and enforced by the Illinois
30 Department of Revenue in the same manner as the tax imposed
31 under the Retailers' Occupation Tax Act, as now or hereafter
32 amended, insofar as may be practicable; except that in the
33 event of a conflict with the provisions of this Section, this
34 Section shall control. The Department of Revenue shall have
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1 full power: to administer and enforce this Section; to
2 collect all taxes and penalties due hereunder; to dispose of
3 taxes and penalties so collected in the manner hereinafter
4 provided; and to determine all rights to credit memoranda
5 arising on account of the erroneous payment of tax or penalty
6 hereunder.
7 Whenever the Department determines that a refund shall be
8 made under this Section to a claimant instead of issuing a
9 credit memorandum, the Department shall notify the State
10 Comptroller, who shall cause the order to be drawn for the
11 amount specified, and to the person named, in the
12 notification from the Department. The refund shall be paid by
13 the State Treasurer out of the County Option Motor Fuel Tax
14 Fund.
15 The Department shall forthwith pay over to the State
16 Treasurer, ex-officio, as trustee, all taxes and penalties
17 collected hereunder, which shall be deposited into the County
18 Option Motor Fuel Tax Fund, a special fund in the State
19 Treasury which is hereby created. On or before the 25th day
20 of each calendar month, the Department shall prepare and
21 certify to the State Comptroller the disbursement of stated
22 sums of money to named counties for which taxpayers have paid
23 taxes or penalties hereunder to the Department during the
24 second preceding calendar month. The amount to be paid to
25 each county shall be the amount (not including credit
26 memoranda) collected hereunder from retailers within the
27 county during the second preceding calendar month by the
28 Department, but not including an amount equal to the amount
29 of refunds made during the second preceding calendar month by
30 the Department on behalf of the county; less the amount
31 expended during the second preceding month by the Department
32 pursuant to appropriation from the County Option Motor Fuel
33 Tax Fund for the administration and enforcement of this
34 Section, which appropriation shall not exceed $200,000 for
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1 fiscal year 1990 and, for each year thereafter, shall not
2 exceed 2% of the amount deposited into the County Option
3 Motor Fuel Tax Fund during the preceding fiscal year.
4 Nothing in this Section shall be construed to authorize a
5 county to impose a tax upon the privilege of engaging in any
6 business which under the Constitution of the United States
7 may not be made the subject of taxation by this State.
8 An ordinance or resolution imposing a tax hereunder or
9 effecting a change in the rate thereof shall be effective on
10 the first day of the second calendar month next following the
11 month in which the ordinance or resolution is adopted and a
12 certified copy thereof is filed with the Department of
13 Revenue, whereupon the Department of Revenue shall proceed
14 to administer and enforce this Section on behalf of the
15 county as of the effective date of the ordinance or
16 resolution. Upon a change in rate of a tax levied hereunder,
17 or upon the discontinuance of the tax, the county board of
18 the county shall, on or not later than 5 days after the
19 effective date of the ordinance or resolution discontinuing
20 the tax or effecting a change in rate, transmit to the
21 Department of Revenue a certified copy of the ordinance or
22 resolution effecting the change or discontinuance.
23 This Section shall be known and may be cited as the
24 County Motor Fuel Tax Law.
25 (Source: P.A. 86-1028; 87-289.)
26 Section 30. The Illinois Municipal Code is amended by
27 changing Sections 8-11-1, 8-11-1.1, 8-11-5, 8-11-6, and
28 8-11-16 as follows:
29 (65 ILCS 5/8-11-1) (from Ch. 24, par. 8-11-1)
30 Sec. 8-11-1. Home Rule Municipal Retailers' Occupation
31 Tax. The corporate authorities of a home rule municipality
32 may impose a tax upon all persons engaged in the business of
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1 selling tangible personal property, other than an item of
2 tangible personal property titled or registered with an
3 agency of this State's government, at retail in the
4 municipality on the gross receipts from these sales made in
5 the course of such business. If imposed, the tax shall only
6 be imposed in 1/4% increments. On and after September 1,
7 1991, this additional tax may not be imposed on the sales of
8 food for human consumption that is to be consumed off the
9 premises where it is sold (other than alcoholic beverages,
10 soft drinks and food that has been prepared for immediate
11 consumption) and prescription and nonprescription medicines,
12 drugs, medical appliances and insulin, urine testing
13 materials, syringes and needles used by diabetics. The tax
14 imposed by a home rule municipality under this Section and
15 all civil penalties that may be assessed as an incident of
16 the tax shall be collected and enforced by the State
17 Department of Revenue. The certificate of registration that
18 is issued by the Department to a retailer under the
19 Retailers' Occupation Tax Act shall permit the retailer to
20 engage in a business that is taxable under any ordinance or
21 resolution enacted pursuant to this Section without
22 registering separately with the Department under such
23 ordinance or resolution or under this Section. The
24 Department shall have full power to administer and enforce
25 this Section; to collect all taxes and penalties due
26 hereunder; to dispose of taxes and penalties so collected in
27 the manner hereinafter provided; and to determine all rights
28 to credit memoranda arising on account of the erroneous
29 payment of tax or penalty hereunder. In the administration
30 of, and compliance with, this Section the Department and
31 persons who are subject to this Section shall have the same
32 rights, remedies, privileges, immunities, powers and duties,
33 and be subject to the same conditions, restrictions,
34 limitations, penalties and definitions of terms, and employ
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1 the same modes of procedure, as are prescribed in Sections 1,
2 1a, 1d, 1e, 1f, 1i, 1j, 2 through 2-65 (in respect to all
3 provisions therein other than the State rate of tax), 2c, 3
4 (except as to the disposition of taxes and penalties
5 collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k,
6 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12 and 13 of the
7 Retailers' Occupation Tax Act and Section 3-7 of the Uniform
8 Penalty and Interest Act, as fully as if those provisions
9 were set forth herein.
10 No tax may be imposed by a home rule municipality under
11 this Section unless the municipality also imposes a tax at
12 the same rate under Section 8-11-5 of this Act.
13 A home rule municipality that has not imposed a tax under
14 this Section on the sale of motor fuel or gasohol before the
15 effective date of this amendatory Act of 1998 shall not
16 impose such a tax on or after that date. A home rule
17 municipality that has imposed a tax under this Section on the
18 sale of motor fuel or gasohol before the effective date of
19 this amendatory Act of 1998 shall not increase the rate of
20 the tax on or after that date. This amendatory Act of 1998 is
21 a denial and limitation of home rule powers to tax under
22 subsection (g) of Section 6 of Article VII of the Illinois
23 Constitution.
24 Persons subject to any tax imposed under the authority
25 granted in this Section may reimburse themselves for their
26 seller's tax liability hereunder by separately stating that
27 tax as an additional charge, which charge may be stated in
28 combination, in a single amount, with State tax which sellers
29 are required to collect under the Use Tax Act, pursuant to
30 such bracket 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
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1 amount specified and to the person named in the notification
2 from the Department. The refund shall be paid by the State
3 Treasurer out of the home rule municipal retailers'
4 occupation tax fund.
5 The Department shall immediately pay over to the State
6 Treasurer, ex officio, as trustee, all taxes and penalties
7 collected hereunder. On or before the 25th day of each
8 calendar month, the Department shall prepare and certify to
9 the Comptroller the disbursement of stated sums of money to
10 named municipalities, the municipalities to be those from
11 which retailers have paid taxes or penalties hereunder to the
12 Department during the second preceding calendar month. The
13 amount to be paid to each municipality shall be the amount
14 (not including credit memoranda) collected hereunder during
15 the second preceding calendar month by the Department plus an
16 amount the Department determines is necessary to offset any
17 amounts that were erroneously paid to a different taxing
18 body, and not including an amount equal to the amount of
19 refunds made during the second preceding calendar month by
20 the Department on behalf of such municipality, and not
21 including any amount that the Department determines is
22 necessary to offset any amounts that were payable to a
23 different taxing body but were erroneously paid to the
24 municipality. Within 10 days after receipt by the Comptroller
25 of the disbursement certification to the municipalities
26 provided for in this Section to be given to the Comptroller
27 by the Department, the Comptroller shall cause the orders to
28 be drawn for the respective amounts in accordance with the
29 directions contained in the certification.
30 In addition to the disbursement required by the preceding
31 paragraph and in order to mitigate delays caused by
32 distribution procedures, an allocation shall, if requested,
33 be made within 10 days after January 14, 1991, and in
34 November of 1991 and each year thereafter, to each
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1 municipality that received more than $500,000 during the
2 preceding fiscal year, (July 1 through June 30) whether
3 collected by the municipality or disbursed by the Department
4 as required by this Section. Within 10 days after January 14,
5 1991, participating municipalities shall notify the
6 Department in writing of their intent to participate. In
7 addition, for the initial distribution, participating
8 municipalities shall certify to the Department the amounts
9 collected by the municipality for each month under its home
10 rule occupation and service occupation tax during the period
11 July 1, 1989 through June 30, 1990. The allocation within 10
12 days after January 14, 1991, shall be in an amount equal to
13 the monthly average of these amounts, excluding the 2 months
14 of highest receipts. The monthly average for the period of
15 July 1, 1990 through June 30, 1991 will be determined as
16 follows: the amounts collected by the municipality under its
17 home rule occupation and service occupation tax during the
18 period of July 1, 1990 through September 30, 1990, plus
19 amounts collected by the Department and paid to such
20 municipality through June 30, 1991, excluding the 2 months of
21 highest receipts. The monthly average for each subsequent
22 period of July 1 through June 30 shall be an amount equal to
23 the monthly distribution made to each such municipality under
24 the preceding paragraph during this period, excluding the 2
25 months of highest receipts. The distribution made in
26 November 1991 and each year thereafter under this paragraph
27 and the preceding paragraph shall be reduced by the amount
28 allocated and disbursed under this paragraph in the preceding
29 period of July 1 through June 30. The Department shall
30 prepare and certify to the Comptroller for disbursement the
31 allocations made in accordance with this paragraph.
32 For the purpose of determining the local governmental
33 unit whose tax is applicable, a retail sale by a producer of
34 coal or other mineral mined in Illinois is a sale at retail
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1 at the place where the coal or other mineral mined in
2 Illinois is extracted from the earth. This paragraph does
3 not apply to coal or other mineral when it is delivered or
4 shipped by the seller to the purchaser at a point outside
5 Illinois so that the sale is exempt under the United States
6 Constitution as a sale in interstate or foreign commerce.
7 Nothing in this Section shall be construed to authorize a
8 municipality to impose a tax upon the privilege of engaging
9 in any business which under the Constitution of the United
10 States may not be made the subject of taxation by this State.
11 An ordinance or resolution imposing or discontinuing a
12 tax hereunder or effecting a change in the rate thereof shall
13 be adopted and a certified copy thereof filed with the
14 Department on or before the first day of June, whereupon the
15 Department shall proceed to administer and enforce this
16 Section as of the first day of September next following the
17 adoption and filing. Beginning January 1, 1992, an ordinance
18 or resolution imposing or discontinuing the tax hereunder or
19 effecting a change in the rate thereof shall be adopted and a
20 certified copy thereof filed with the Department on or before
21 the first day of July, whereupon the Department shall proceed
22 to administer and enforce this Section as of the first day of
23 October next following such adoption and filing. Beginning
24 January 1, 1993, an ordinance or resolution imposing or
25 discontinuing the tax hereunder or effecting a change in the
26 rate thereof shall be adopted and a certified copy thereof
27 filed with the Department on or before the first day of
28 October, whereupon the Department shall proceed to administer
29 and enforce this Section as of the first day of January next
30 following the adoption and filing. However, a municipality
31 located in a county with a population in excess of 3,000,000
32 that elected to become a home rule unit at the general
33 primary election in 1994 may adopt an ordinance or resolution
34 imposing the tax under this Section and file a certified copy
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1 of the ordinance or resolution with the Department on or
2 before July 1, 1994. The Department shall then proceed to
3 administer and enforce this Section as of October 1, 1994.
4 When certifying the amount of a monthly disbursement to a
5 municipality under this Section, the Department shall
6 increase or decrease the amount by an amount necessary to
7 offset any misallocation of previous disbursements. The
8 offset amount shall be the amount erroneously disbursed
9 within the previous 6 months from the time a misallocation is
10 discovered.
11 Any unobligated balance remaining in the Municipal
12 Retailers' Occupation Tax Fund on December 31, 1989, which
13 fund was abolished by Public Act 85-1135, and all receipts of
14 municipal tax as a result of audits of liability periods
15 prior to January 1, 1990, shall be paid into the Local
16 Government Tax Fund for distribution as provided by this
17 Section prior to the enactment of Public Act 85-1135. All
18 receipts of municipal tax as a result of an assessment not
19 arising from an audit, for liability periods prior to January
20 1, 1990, shall be paid into the Local Government Tax Fund for
21 distribution before July 1, 1990, as provided by this Section
22 prior to the enactment of Public Act 85-1135; and on and
23 after July 1, 1990, all such receipts shall be distributed as
24 provided in Section 6z-18 of the State Finance Act.
25 As used in this Section, "municipal" and "municipality"
26 means a city, village or incorporated town, including an
27 incorporated town that has superseded a civil township.
28 This Section shall be known and may be cited as the Home
29 Rule Municipal Retailers' Occupation Tax Act.
30 (Source: P.A. 87-205; 87-435; 87-895; 88-603, eff. 9-1-94.)
31 (65 ILCS 5/8-11-1.1) (from Ch. 24, par. 8-11-1.1)
32 Sec. 8-11-1.1. Non-home rule municipality use and
33 occupation taxes.
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1 (a) The corporate authorities of a non-home rule
2 municipality with a population greater than 130,000 but less
3 than 2,000,000 may, upon approval of the electors of the
4 municipality pursuant to subsection (b) of this Section,
5 impose by ordinance or resolution the 1/2 of 1% tax
6 authorized in Sections 8-11-1.3, 8-11-1.4 and 8-11-1.5 of
7 this Act.
8 A municipality that has not imposed a tax on motor fuel
9 or gasohol authorized in Sections 8-11-1.3, 8-11-1.4, and
10 8-11-1.5 before the effective date of this amendatory Act of
11 1998 shall not impose such a tax on or after that date. A
12 municipality that has imposed a tax on motor fuel or gasohol
13 authorized in Sections 8-11-1.3, 8-11-1.4, and 8-11-1.5
14 before the effective date of this amendatory Act of 1998
15 shall not increase the rate of the tax on or after that date.
16 (b) The corporate authorities of the municipality may by
17 ordinance or resolution call for the submission to the
18 electors of the municipality the question of whether the
19 municipality shall impose such tax. Such question shall be
20 certified by the municipal clerk to the election authority in
21 accordance with Section 28-5 of the Election Code and shall
22 be in a form in accordance with Section 16-7 of the Election
23 Code.
24 If a majority of the electors in the municipality voting
25 upon the question vote in the affirmative, such tax shall be
26 imposed.
27 An ordinance or resolution imposing the 1/2 of 1% tax
28 hereunder or discontinuing the same shall be adopted and a
29 certified copy thereof, together with a certification that
30 the ordinance or resolution received referendum approval in
31 the case of the imposition of such tax, filed with the
32 Department of Revenue, on or before the first day of June,
33 whereupon the Department shall proceed to administer and
34 enforce the additional tax or to discontinue the tax, as the
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1 case may be, as of the first day of September next following
2 such adoption and filing. Beginning January 1, 1992, an
3 ordinance or resolution imposing or discontinuing the tax
4 hereunder shall be adopted and a certified copy thereof filed
5 with the Department on or before the first day of July,
6 whereupon the Department shall proceed to administer and
7 enforce this Section as of the first day of October next
8 following such adoption and filing. Beginning January 1,
9 1993, an ordinance or resolution imposing or discontinuing
10 the tax hereunder shall be adopted and a certified copy
11 thereof filed with the Department on or before the first day
12 of October, whereupon the Department shall proceed to
13 administer and enforce this Section as of the first day of
14 January next following such adoption and filing.
15 (Source: P.A. 86-928; 87-205.)
16 (65 ILCS 5/8-11-5) (from Ch. 24, par. 8-11-5)
17 Sec. 8-11-5. Home Rule Municipal Service Occupation Tax.
18 The corporate authorities of a home rule municipality may
19 impose a tax upon all persons engaged, in such municipality,
20 in the business of making sales of service at the same rate
21 of tax imposed pursuant to Section 8-11-1, of the selling
22 price of all tangible personal property transferred by such
23 servicemen either in the form of tangible personal property
24 or in the form of real estate as an incident to a sale of
25 service. If imposed, such tax shall only be imposed in 1/4%
26 increments. On and after September 1, 1991, this additional
27 tax may not be imposed on the sales of food for human
28 consumption which is to be consumed off the premises where it
29 is sold (other than alcoholic beverages, soft drinks and food
30 which has been prepared for immediate consumption) and
31 prescription and nonprescription medicines, drugs, medical
32 appliances and insulin, urine testing materials, syringes and
33 needles used by diabetics. The tax imposed by a home rule
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1 municipality pursuant to this Section and all civil penalties
2 that may be assessed as an incident thereof shall be
3 collected and enforced by the State Department of Revenue.
4 The certificate of registration which is issued by the
5 Department to a retailer under the Retailers' Occupation Tax
6 Act or under the Service Occupation Tax Act shall permit such
7 registrant to engage in a business which is taxable under any
8 ordinance or resolution enacted pursuant to this Section
9 without registering separately with the Department under such
10 ordinance or resolution or under this Section. The
11 Department shall have full power to administer and enforce
12 this Section; to collect all taxes and penalties due
13 hereunder; to dispose of taxes and penalties so collected in
14 the manner hereinafter provided, and to determine all rights
15 to credit memoranda arising on account of the erroneous
16 payment of tax or penalty hereunder. In the administration
17 of, and compliance with, this Section the Department and
18 persons who are subject to this Section shall have the same
19 rights, remedies, privileges, immunities, powers and duties,
20 and be subject to the same conditions, restrictions,
21 limitations, penalties and definitions of terms, and employ
22 the same modes of procedure, as are prescribed in Sections
23 1a-1, 2, 2a, 3 through 3-50 (in respect to all provisions
24 therein other than the State rate of tax), 4 (except that the
25 reference to the State shall be to the taxing municipality),
26 5, 7, 8 (except that the jurisdiction to which the tax shall
27 be a debt to the extent indicated in that Section 8 shall be
28 the taxing municipality), 9 (except as to the disposition of
29 taxes and penalties collected, and except that the returned
30 merchandise credit for this municipal tax may not be taken
31 against any State tax), 10, 11, 12 (except the reference
32 therein to Section 2b of the Retailers' Occupation Tax Act),
33 13 (except that any reference to the State shall mean the
34 taxing municipality), the first paragraph of Section 15, 16,
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1 17 (except that credit memoranda issued hereunder may not be
2 used to discharge any State tax liability), 18, 19 and 20 of
3 the Service Occupation Tax Act and Section 3-7 of the Uniform
4 Penalty and Interest Act, as fully as if those provisions
5 were set forth herein.
6 No tax may be imposed by a home rule municipality
7 pursuant to this Section unless such municipality also
8 imposes a tax at the same rate pursuant to Section 8-11-1 of
9 this Act.
10 A home rule municipality that has not imposed a tax under
11 this Section on the selling price of motor fuel or gasohol
12 before the effective date of this amendatory Act of 1998
13 shall not impose such a tax on or after that date. A home
14 rule municipality that has imposed a tax under this Section
15 on the selling price of motor fuel or gasohol before the
16 effective date of this amendatory Act of 1998 shall not
17 increase the rate of the tax on or after that date. This
18 amendatory Act of 1998 is a denial and limitation of home
19 rule powers to tax under subsection (g) of Section 6 of
20 Article VII of the Illinois Constitution.
21 Persons subject to any tax imposed pursuant to the
22 authority granted in this Section may reimburse themselves
23 for their serviceman's tax liability hereunder by separately
24 stating such tax as an additional charge, which charge may be
25 stated in combination, in a single amount, with State tax
26 which servicemen are authorized to collect under the Service
27 Use Tax Act, pursuant to such bracket schedules as the
28 Department may prescribe.
29 Whenever the Department determines that a refund should
30 be made under this Section to a claimant instead of issuing
31 credit memorandum, the Department shall notify the State
32 Comptroller, who shall cause the order to be drawn for the
33 amount specified, and to the person named, in such
34 notification from the Department. Such refund shall be paid
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1 by the State Treasurer out of the home rule municipal
2 retailers' occupation tax fund.
3 The Department shall forthwith pay over to the State
4 Treasurer, ex-officio, as trustee, all taxes and penalties
5 collected hereunder. On or before the 25th day of each
6 calendar month, the Department shall prepare and certify to
7 the Comptroller the disbursement of stated sums of money to
8 named municipalities, the municipalities to be those from
9 which suppliers and servicemen have paid taxes or penalties
10 hereunder to the Department during the second preceding
11 calendar month. The amount to be paid to each municipality
12 shall be the amount (not including credit memoranda)
13 collected hereunder during the second preceding calendar
14 month by the Department, and not including an amount equal to
15 the amount of refunds made during the second preceding
16 calendar month by the Department on behalf of such
17 municipality. Within 10 days after receipt, by the
18 Comptroller, of the disbursement certification to the
19 municipalities, provided for in this Section to be given to
20 the Comptroller by the Department, the Comptroller shall
21 cause the orders to be drawn for the respective amounts in
22 accordance with the directions contained in such
23 certification.
24 In addition to the disbursement required by the preceding
25 paragraph and in order to mitigate delays caused by
26 distribution procedures, an allocation shall, if requested,
27 be made within 10 days after January 14, 1991, and in
28 November of 1991 and each year thereafter, to each
29 municipality that received more than $500,000 during the
30 preceding fiscal year, (July 1 through June 30) whether
31 collected by the municipality or disbursed by the Department
32 as required by this Section. Within 10 days after January 14,
33 1991, participating municipalities shall notify the
34 Department in writing of their intent to participate. In
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1 addition, for the initial distribution, participating
2 municipalities shall certify to the Department the amounts
3 collected by the municipality for each month under its home
4 rule occupation and service occupation tax during the period
5 July 1, 1989 through June 30, 1990. The allocation within 10
6 days after January 14, 1991, shall be in an amount equal to
7 the monthly average of these amounts, excluding the 2 months
8 of highest receipts. Monthly average for the period of July
9 1, 1990 through June 30, 1991 will be determined as follows:
10 the amounts collected by the municipality under its home rule
11 occupation and service occupation tax during the period of
12 July 1, 1990 through September 30, 1990, plus amounts
13 collected by the Department and paid to such municipality
14 through June 30, 1991, excluding the 2 months of highest
15 receipts. The monthly average for each subsequent period of
16 July 1 through June 30 shall be an amount equal to the
17 monthly distribution made to each such municipality under the
18 preceding paragraph during this period, excluding the 2
19 months of highest receipts. The distribution made in
20 November 1991 and each year thereafter under this paragraph
21 and the preceding paragraph shall be reduced by the amount
22 allocated and disbursed under this paragraph in the preceding
23 period of July 1 through June 30. The Department shall
24 prepare and certify to the Comptroller for disbursement the
25 allocations made in accordance with this paragraph.
26 Nothing in this Section shall be construed to authorize a
27 municipality to impose a tax upon the privilege of engaging
28 in any business which under the constitution of the United
29 States may not be made the subject of taxation by this State.
30 An ordinance or resolution imposing or discontinuing a
31 tax hereunder or effecting a change in the rate thereof shall
32 be adopted and a certified copy thereof filed with the
33 Department on or before the first day of June, whereupon the
34 Department shall proceed to administer and enforce this
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1 Section as of the first day of September next following such
2 adoption and filing. Beginning January 1, 1992, an ordinance
3 or resolution imposing or discontinuing the tax hereunder or
4 effecting a change in the rate thereof shall be adopted and a
5 certified copy thereof filed with the Department on or before
6 the first day of July, whereupon the Department shall proceed
7 to administer and enforce this Section as of the first day of
8 October next following such adoption and filing. Beginning
9 January 1, 1993, an ordinance or resolution imposing or
10 discontinuing the tax hereunder or effecting a change in the
11 rate thereof shall be adopted and a certified copy thereof
12 filed with the Department on or before the first day of
13 October, whereupon the Department shall proceed to administer
14 and enforce this Section as of the first day of January next
15 following such adoption and filing. However, a municipality
16 located in a county with a population in excess of 3,000,000
17 that elected to become a home rule unit at the general
18 primary election in 1994 may adopt an ordinance or resolution
19 imposing the tax under this Section and file a certified copy
20 of the ordinance or resolution with the Department on or
21 before July 1, 1994. The Department shall then proceed to
22 administer and enforce this Section as of October 1, 1994.
23 Any unobligated balance remaining in the Municipal
24 Retailers' Occupation Tax Fund on December 31, 1989, which
25 fund was abolished by Public Act 85-1135, and all receipts of
26 municipal tax as a result of audits of liability periods
27 prior to January 1, 1990, shall be paid into the Local
28 Government Tax Fund, for distribution as provided by this
29 Section prior to the enactment of Public Act 85-1135. All
30 receipts of municipal tax as a result of an assessment not
31 arising from an audit, for liability periods prior to January
32 1, 1990, shall be paid into the Local Government Tax Fund for
33 distribution before July 1, 1990, as provided by this Section
34 prior to the enactment of Public Act 85-1135, and on and
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1 after July 1, 1990, all such receipts shall be distributed as
2 provided in Section 6z-18 of the State Finance Act.
3 As used in this Section, "municipal" and "municipality"
4 means a city, village or incorporated town, including an
5 incorporated town which has superseded a civil township.
6 This Section shall be known and may be cited as the Home
7 Rule Municipal Service Occupation Tax Act.
8 (Source: P.A. 87-205; 87-435; 87-895; 88-603, eff. 9-1-94.)
9 (65 ILCS 5/8-11-6) (from Ch. 24, par. 8-11-6)
10 Sec. 8-11-6. Home Rule Municipal Use Tax.
11 (a) The corporate authorities of a home rule municipality
12 may impose a tax upon the privilege of using, in such
13 municipality, any item of tangible personal property which is
14 purchased at retail from a retailer, and which is titled or
15 registered at a location within the corporate limits of such
16 home rule municipality with an agency of this State's
17 government, at a rate which is an increment of 1/4% and based
18 on the selling price of such tangible personal property, as
19 "selling price" is defined in the Use Tax Act. In home rule
20 municipalities with less than 2,000,000 inhabitants, the tax
21 shall be collected by the municipality imposing the tax from
22 persons whose Illinois address for titling or registration
23 purposes is given as being in such municipality.
24 (b) In home rule municipalities with 2,000,000 or more
25 inhabitants, the corporate authorities of the municipality
26 may additionally impose a tax beginning July 1, 1991 upon the
27 privilege of using in the municipality, any item of tangible
28 personal property, other than tangible personal property
29 titled or registered with an agency of the State's
30 government, that is purchased at retail from a retailer
31 located outside the corporate limits of the municipality, at
32 a rate that is an increment of 1/4% not to exceed 1% and
33 based on the selling price of the tangible personal property,
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1 as "selling price" is defined in the Use Tax Act. Such tax
2 shall be collected from the purchaser by the municipality
3 imposing such tax.
4 To prevent multiple home rule taxation, the use in a home
5 rule municipality of tangible personal property that is
6 acquired outside the municipality and caused to be brought
7 into the municipality by a person who has already paid a home
8 rule municipal tax in another municipality in respect to the
9 sale, purchase, or use of that property, shall be exempt to
10 the extent of the amount of the tax properly due and paid in
11 the other home rule municipality.
12 (b-5) A home rule municipality that has not imposed a
13 tax under this Section on the use of motor fuel or gasohol
14 before the effective date of this amendatory Act of 1998
15 shall not impose such a tax on or after that date. A home
16 rule municipality that has imposed a tax under this Section
17 on the use of motor fuel or gasohol before the effective date
18 of this amendatory Act of 1998 shall not increase the rate of
19 the tax on or after that date. This amendatory Act of 1998 is
20 a denial and limitation of home rule powers to tax under
21 subsection (g) of Section 6 of Article VII of the Illinois
22 Constitution.
23 (c) If a municipality having 2,000,000 or more
24 inhabitants imposes the tax authorized by subsection (a),
25 then the tax shall be collected by the Illinois Department of
26 Revenue when the property is purchased at retail from a
27 retailer in the county in which the home rule municipality
28 imposing the tax is located, and in all contiguous counties.
29 The tax shall be remitted to the State, or an exemption
30 determination must be obtained from the Department before the
31 title or certificate of registration for the property may be
32 issued. The tax or proof of exemption may be transmitted to
33 the Department by way of the State agency with which, or
34 State officer with whom, the tangible personal property must
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1 be titled or registered if the Department and that agency or
2 State officer determine that this procedure will expedite the
3 processing of applications for title or registration.
4 The Department shall have full power to administer and
5 enforce this Section to collect all taxes, penalties and
6 interest due hereunder, to dispose of taxes, penalties and
7 interest so collected in the manner hereinafter provided, and
8 determine all rights to credit memoranda or refunds arising
9 on account of the erroneous payment of tax, penalty or
10 interest hereunder. In the administration of and compliance
11 with this Section the Department and persons who are subject
12 to this Section shall have the same rights, remedies,
13 privileges, immunities, powers and duties, and be subject to
14 the same conditions, restrictions, limitations, penalties and
15 definitions of terms, and employ the same modes of procedure
16 as are prescribed in Sections 2 (except the definition of
17 "retailer maintaining a place of business in this State"), 3
18 (except provisions pertaining to the State rate of tax, and
19 except provisions concerning collection or refunding of the
20 tax by retailers), 4, 11, 12, 12a, 14, 15, 19, 20, 21 and 22
21 of the Use Tax Act, which are not inconsistent with this
22 Section, as fully as if provisions contained in those
23 Sections of the Use Tax Act were set forth herein.
24 Whenever the Department determines that a refund shall be
25 made under this Section to a claimant instead of issuing a
26 credit memorandum, the Department shall notify the State
27 Comptroller, who shall cause the order to be drawn for the
28 amount specified, and to the person named, in such
29 notification from the Department. Such refund shall be paid
30 by the State Treasurer out of the home rule municipal
31 retailers' occupation tax fund.
32 The Department shall forthwith pay over to the State
33 Treasurer, ex officio, as trustee, all taxes, penalties and
34 interest collected hereunder. On or before the 25th day of
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1 each calendar month, the Department shall prepare and certify
2 to the State Comptroller the disbursement of stated sums of
3 money to named municipalities, the municipality in each
4 instance to be that municipality from which the Department
5 during the second preceding calendar month, collected
6 municipal use tax from any person whose Illinois address for
7 titling or registration purposes is given as being in such
8 municipality. The amount to be paid to each municipality
9 shall be the amount (not including credit memoranda)
10 collected hereunder during the second preceding calendar
11 month by the Department, and not including an amount equal to
12 the amount of refunds made during the second preceding
13 calendar month by the Department on behalf of such
14 municipality, less the amount expended during the second
15 preceding month by the Department to be paid from the
16 appropriation to the Department from the Home Rule Municipal
17 Retailers' Occupation Tax Trust Fund. The appropriation to
18 cover the costs incurred by the Department in administering
19 and enforcing this Section shall not exceed 2% of the amount
20 estimated to be deposited into the Home Rule Municipal
21 Retailers' Occupation Tax Trust Fund during the fiscal year
22 for which the appropriation is made. Within 10 days after
23 receipt by the State Comptroller of the disbursement
24 certification to the municipalities provided for in this
25 Section to be given to the State Comptroller by the
26 Department, the State Comptroller shall cause the orders to
27 be drawn for the respective amounts in accordance with the
28 directions contained in that certification.
29 Any ordinance imposing or discontinuing any tax to be
30 collected and enforced by the Department under this Section
31 shall be adopted and a certified copy thereof filed with the
32 Department on or before October 1, whereupon the Department
33 of Revenue shall proceed to administer and enforce this
34 Section on behalf of the municipalities as of January 1 next
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1 following such adoption and filing.
2 Nothing in this subsection (c) shall prevent a home rule
3 municipality from collecting the tax pursuant to subsection
4 (a) in any situation where such tax is not collected by the
5 Department of Revenue under this subsection (c).
6 (d) Any unobligated balance remaining in the Municipal
7 Retailers' Occupation Tax Fund on December 31, 1989, which
8 fund was abolished by Public Act 85-1135, and all receipts of
9 municipal tax as a result of audits of liability periods
10 prior to January 1, 1990, shall be paid into the Local
11 Government Tax Fund, for distribution as provided by this
12 Section prior to the enactment of Public Act 85-1135. All
13 receipts of municipal tax as a result of an assessment not
14 arising from an audit, for liability periods prior to January
15 1, 1990, shall be paid into the Local Government Tax Fund for
16 distribution before July 1, 1990, as provided by this Section
17 prior to the enactment of Public Act 85-1135, and on and
18 after July 1, 1990, all such receipts shall be distributed as
19 provided in Section 6z-18 of the State Finance Act.
20 (e) As used in this Section, "Municipal" and
21 "Municipality" means a city, village or incorporated town,
22 including an incorporated town which has superseded a civil
23 township.
24 (f) This Section shall be known and may be cited as the
25 "Home Rule Municipal Use Tax Act".
26 (Source: P.A. 90-562, eff. 12-16-97.)
27 (65 ILCS 5/8-11-15) (from Ch. 24, par. 8-11-15)
28 Sec. 8-11-15. Municipal motor fuel tax.
29 (a) The corporate authorities of a municipality of over
30 100,000 inhabitants may, upon approval of the electors of the
31 municipality pursuant to subsection (b), impose a tax of one
32 cent per gallon on motor fuel sold at retail within such
33 municipality. A tax imposed pursuant to this Section shall be
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1 paid in addition to any other taxes on such motor fuel.
2 A municipality that has not imposed a tax under this
3 Section before the effective date of this amendatory Act of
4 1998 shall not impose such a tax on or after that date. A
5 municipality that has imposed a tax under this Section before
6 the effective date of this amendatory Act of 1998 shall not
7 increase the rate of the tax on or after that date. This
8 amendatory Act of 1998 is a denial and limitation of home
9 rule powers to tax under subsection (g) of Section 6 of
10 Article VII at the Illinois Constitution.
11 (b) The corporate authorities of the municipality may by
12 resolution call for the submission to the electors of the
13 municipality of the question of whether the municipality
14 shall impose such tax. Such question shall be certified by
15 the municipal clerk to the election authority in accordance
16 with Section 28-5 of The Election Code. The question shall be
17 in substantially the following form:
18 -------------------------------------------------------------
19 Shall the city (village or
20 incorporated town) of ....... YES
21 impose a tax of one cent per -----------------------------
22 gallon on motor fuel sold at NO
23 retail within its boundaries?
24 -------------------------------------------------------------
25 If a majority of the electors in the municipality voting
26 upon the question vote in the affirmative, such tax shall be
27 imposed.
28 (c) The purchaser of the motor fuel shall be liable for
29 payment of a tax imposed pursuant to this Section. This
30 Section shall not be construed to impose a tax on the
31 occupation of persons engaged in the sale of motor fuel.
32 If a municipality imposes a tax on motor fuel pursuant to
33 this Section, it shall be the duty of any person engaged in
34 the retail sale of motor fuel within such municipality to
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1 collect such tax from the purchaser at the same time he
2 collects the purchase price of the motor fuel and to pay over
3 such tax to the municipality as prescribed by the ordinance
4 of the municipality imposing such tax.
5 (d) For purposes of this Section, "motor fuel" shall
6 have the same meaning as provided in the "Motor Fuel Tax
7 Law".
8 (Source: P.A. 84-1099.)
9 Section 35. The Civic Center Code is amended by changing
10 Section 245-12 as follows:
11 (70 ILCS 200/245-12)
12 Sec. 245-12. Use and occupation taxes.
13 (a) The Authority may adopt a resolution that authorizes
14 a referendum on the question of whether the Authority shall
15 be authorized to impose a retailers' occupation tax, a
16 service occupation tax, and a use tax in one-quarter percent
17 increments at a rate not to exceed 1%. The Authority shall
18 certify the question to the proper election authorities who
19 shall submit the question to the voters of the metropolitan
20 area at the next regularly scheduled election in accordance
21 with the general election law. The question shall be in
22 substantially the following form:
23 "Shall the Salem Civic Center Authority be authorized to
24 impose a retailers' occupation tax, a service occupation
25 tax, and a use tax at the rate of (rate) for the sole
26 purpose of obtaining funds for the support, construction,
27 maintenance, or financing of a facility of the
28 Authority?"
29 Votes shall be recorded as "yes" or "no". If a majority
30 of all votes cast on the proposition are in favor of the
31 proposition, the Authority is authorized to impose the tax.
32 (b) The Authority shall impose the retailers' occupation
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1 tax upon all persons engaged in the business of selling
2 tangible personal property at retail in the metropolitan
3 area, at the rate approved by referendum, on the gross
4 receipts from the sales made in the course of such business
5 within the metropolitan area. The tax imposed under this
6 Section and all civil penalties that may be assessed as an
7 incident thereof shall be collected and enforced by the
8 Department of Revenue. The Department has full power to
9 administer and enforce this Section; to collect all taxes and
10 penalties so collected in the manner provided in this
11 Section; and to determine all rights to credit memoranda
12 arising on account of the erroneous payment of tax or penalty
13 hereunder. In the administration of, and compliance with,
14 this Section, the Department and persons who are subject to
15 this Section shall (i) have the same rights, remedies,
16 privileges, immunities, powers and duties, (ii) be subject to
17 the same conditions, restrictions, limitations, penalties,
18 exclusions, exemptions, and definitions of terms, and (iii)
19 employ the same modes of procedure as are prescribed in
20 Sections 1, 1a, 1a-1, 1c, 1d, 1e, 1f, 1i, 1j, 1k, 1m, 1n, 2,
21 2-5, 2-5.5, 2-10 (in respect to all provisions therein other
22 than the State rate of tax), 2-15 through 2-70, 2a, 2b, 2c, 3
23 (except as to the disposition of taxes and penalties
24 collected and provisions related to quarter monthly
25 payments), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 5k, 5l,
26 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 11a, 12, and 13 of the
27 Retailers' Occupation Tax Act and Section 3-7 of the Uniform
28 Penalty and Interest Act, as fully as if those provisions
29 were set forth in this subsection.
30 If the Authority has not imposed a tax under this
31 subsection on the sale of motor fuel or gasohol before the
32 effective date of this amendatory Act of 1998, then the
33 Authority shall not impose such a tax on or after that date.
34 If the Authority has imposed a tax under this subsection on
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1 the sale of motor fuel or gasohol before the effective date
2 of this amendatory Act of 1998, then the Authority shall not
3 increase the rate of the tax on or after that date.
4 Persons subject to any tax imposed under this subsection
5 may reimburse themselves for their seller's tax liability by
6 separately stating the tax as an additional charge, which
7 charge may be stated in combination, in a single amount, with
8 State taxes that sellers are required to collect, in
9 accordance with such bracket schedules as the Department may
10 prescribe.
11 Whenever the Department determines that a refund should
12 be made under this subsection to a claimant instead of
13 issuing a credit memorandum, the Department shall notify the
14 State Comptroller, who shall cause the warrant to be drawn
15 for the amount specified, and to the person named, in the
16 notification from the Department. The refund shall be paid
17 by the State Treasurer out of the tax fund referenced under
18 paragraph (g) of this Section.
19 If a tax is imposed under this subsection (b), a tax
20 shall also be imposed at the same rate under subsections (c)
21 and (d) of this Section.
22 For the purpose of determining whether a tax authorized
23 under this Section is applicable, a retail sale, by a
24 producer of coal or other mineral mined in Illinois, is a
25 sale at retail at the place where the coal or other mineral
26 mined in Illinois is extracted from the earth. This
27 paragraph does not apply to coal or other mineral when it is
28 delivered or shipped by the seller to the purchaser at a
29 point outside Illinois so that the sale is exempt under the
30 Federal Constitution as a sale in interstate or foreign
31 commerce.
32 Nothing in this Section shall be construed to authorize
33 the Authority to impose a tax upon the privilege of engaging
34 in any business which under the Constitution of the United
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1 States may not be made the subject of taxation by this State.
2 (c) If a tax has been imposed under subsection (b), a
3 service occupation tax shall also be imposed at the same rate
4 upon all persons engaged, in the metropolitan area, in the
5 business of making sales of service, who, as an incident to
6 making those sales of service, transfer tangible personal
7 property within the metropolitan area as an incident to a
8 sale of service. The tax imposed under this subsection and
9 all civil penalties that may be assessed as an incident
10 thereof shall be collected and enforced by the Department of
11 Revenue. The Department has full power to administer and
12 enforce this paragraph; to collect all taxes and penalties
13 due hereunder; to dispose of taxes and penalties so collected
14 in the manner hereinafter provided; and to determine all
15 rights to credit memoranda arising on account of the
16 erroneous payment of tax or penalty hereunder. In the
17 administration of, and compliance with this paragraph, the
18 Department and persons who are subject to this paragraph
19 shall (i) have the same rights, remedies, privileges,
20 immunities, powers, and duties, (ii) be subject to the same
21 conditions, restrictions, limitations, penalties, exclusions,
22 exemptions, and definitions of terms, and (iii) employ the
23 same modes of procedure as are prescribed in Sections 2
24 (except that the reference to State in the definition of
25 supplier maintaining a place of business in this State shall
26 mean the metropolitan area), 2a, 2b, 3 through 3-55 (in
27 respect to all provisions therein other than the State rate
28 of tax), 4 (except that the reference to the State shall be
29 to the Authority), 5, 7, 8 (except that the jurisdiction to
30 which the tax shall be a debt to the extent indicated in that
31 Section 8 shall be the Authority), 9 (except as to the
32 disposition of taxes and penalties collected, and except that
33 the returned merchandise credit for this tax may not be taken
34 against any State tax), 11, 12 (except the reference therein
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1 to Section 2b of the Retailers' Occupation Tax Act), 13
2 (except that any reference to the State shall mean the
3 Authority), 15, 16, 17, 18, 19 and 20 of the Service
4 Occupation Tax Act and Section 3-7 of the Uniform Penalty and
5 Interest Act, as fully as if those provisions were set forth
6 herein.
7 If the Authority has not imposed a tax under this
8 subsection on the selling price of motor fuel or gasohol
9 before the effective date of this amendatory Act of 1998,
10 then the Authority shall not impose such a tax on or after
11 that date. If the Authority has imposed a tax under this
12 subsection on the selling price of motor fuel or gasohol
13 before the effective date of this amendatory Act of 1998,
14 then the Authority shall not increase the rate of the tax on
15 or after that date.
16 Persons subject to any tax imposed under the authority
17 granted in this subsection may reimburse themselves for their
18 serviceman's tax liability by separately stating the tax as
19 an additional charge, which charge may be stated in
20 combination, in a single amount, with State tax that
21 servicemen are authorized to collect under the Service Use
22 Tax Act, in accordance with such bracket schedules as the
23 Department may prescribe.
24 Whenever the Department determines that a refund should
25 be made under this subsection to a claimant instead of
26 issuing a credit memorandum, the Department shall notify the
27 State Comptroller, who shall cause the warrant to be drawn
28 for the amount specified, and to the person named, in the
29 notification from the Department. The refund shall be paid
30 by the State Treasurer out of the tax fund referenced under
31 paragraph (g) of this Section.
32 Nothing in this paragraph shall be construed to authorize
33 the Authority to impose a tax upon the privilege of engaging
34 in any business which under the Constitution of the United
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1 States may not be made the subject of taxation by the State.
2 (d) If a tax has been imposed under subsection (b), a
3 use tax shall also be imposed at the same rate upon the
4 privilege of using, in the metropolitan area, any item of
5 tangible personal property that is purchased outside the
6 metropolitan area at retail from a retailer, and that is
7 titled or registered at a location within the metropolitan
8 area with an agency of this State's government. "Selling
9 price" is defined as in the Use Tax Act. The tax shall be
10 collected from persons whose Illinois address for titling or
11 registration purposes is given as being in the metropolitan
12 area. The tax shall be collected by the Department of
13 Revenue for the Authority. The tax must be paid to the State,
14 or an exemption determination must be obtained from the
15 Department of Revenue, before the title or certificate of
16 registration for the property may be issued. The tax or
17 proof of exemption may be transmitted to the Department by
18 way of the State agency with which, or the State officer with
19 whom, the tangible personal property must be titled or
20 registered if the Department and the State agency or State
21 officer determine that this procedure will expedite the
22 processing of applications for title or registration.
23 The Department has full power to administer and enforce
24 this paragraph; to collect all taxes, penalties and interest
25 due hereunder; to dispose of taxes, penalties and interest so
26 collected in the manner hereinafter provided; and to
27 determine all rights to credit memoranda or refunds arising
28 on account of the erroneous payment of tax, penalty or
29 interest hereunder. In the administration of, and compliance
30 with, this subsection, the Department and persons who are
31 subject to this paragraph shall (i) have the same rights,
32 remedies, privileges, immunities, powers, and duties, (ii) be
33 subject to the same conditions, restrictions, limitations,
34 penalties, exclusions, exemptions, and definitions of terms,
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1 and (iii) employ the same modes of procedure as are
2 prescribed in Sections 2 (except the definition of "retailer
3 maintaining a place of business in this State"), 3, 3-5,
4 3-10, 3-45, 3-55, 3-65, 3-70, 3-85, 3a, 4, 6, 7, 8 (except
5 that the jurisdiction to which the tax shall be a debt to the
6 extent indicated in that Section 8 shall be the Authority), 9
7 (except provisions relating to quarter monthly payments), 10,
8 11, 12, 12a, 12b, 13, 14, 15, 19, 20, 21, and 22 of the Use
9 Tax Act and Section 3-7 of the Uniform Penalty and Interest
10 Act, that are not inconsistent with this paragraph, as fully
11 as if those provisions were set forth herein.
12 If the Authority has not imposed a tax under this
13 subsection on the use of motor fuel or gasohol before the
14 effective date of this amendatory Act of 1998, then the
15 Authority shall not impose such a tax on or after that date.
16 If the Authority has imposed a tax under this subsection on
17 the use of motor fuel or gasohol before the effective date of
18 this amendatory Act of 1998, then the Authority shall not
19 increase the rate of the tax on or after that date.
20 Whenever the Department determines that a refund should
21 be made under this subsection to a claimant instead of
22 issuing a credit memorandum, the Department shall notify the
23 State Comptroller, who shall cause the order to be drawn for
24 the amount specified, and to the person named, in the
25 notification from the Department. The refund shall be paid by
26 the State Treasurer out of the tax fund referenced under
27 paragraph (g) of this Section.
28 (e) A certificate of registration issued by the State
29 Department of Revenue to a retailer under the Retailers'
30 Occupation Tax Act or under the Service Occupation Tax Act
31 shall permit the registrant to engage in a business that is
32 taxed under the tax imposed under paragraphs (b), (c), or (d)
33 of this Section and no additional registration shall be
34 required. A certificate issued under the Use Tax Act or the
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1 Service Use Tax Act shall be applicable with regard to any
2 tax imposed under paragraph (c) of this Section.
3 (f) The results of any election authorizing a
4 proposition to impose a tax under this Section or effecting a
5 change in the rate of tax shall be certified by the proper
6 election authorities and filed with the Illinois Department
7 on or before the first day of April. In addition, an
8 ordinance imposing, discontinuing, or effecting a change in
9 the rate of tax under this Section shall be adopted and a
10 certified copy thereof filed with the Department on or before
11 the first day of April. After proper receipt of such
12 certifications, the Department shall proceed to administer
13 and enforce this Section as of the first day of July next
14 following such adoption and filing.
15 (g) The Department of Revenue shall, upon collecting any
16 taxes and penalties as provided in this Section, pay the
17 taxes and penalties over to the State Treasurer as trustee
18 for the Authority. The taxes and penalties shall be held in a
19 trust fund outside the State Treasury. On or before the 25th
20 day of each calendar month, the Department of Revenue shall
21 prepare and certify to the Comptroller of the State of
22 Illinois the amount to be paid to the Authority, which shall
23 be the balance in the fund, less any amount determined by the
24 Department to be necessary for the payment of refunds. Within
25 10 days after receipt by the Comptroller of the certification
26 of the amount to be paid to the Authority, the Comptroller
27 shall cause an order to be drawn for payment for the amount
28 in accordance with the directions contained in the
29 certification. Amounts received from the tax imposed under
30 this Section shall be used only for the support,
31 construction, maintenance, or financing of a facility of the
32 Authority.
33 (h) When certifying the amount of a monthly disbursement
34 to the Authority under this Section, the Department shall
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1 increase or decrease the amounts by an amount necessary to
2 offset any miscalculation of previous disbursements. The
3 offset amount shall be the amount erroneously disbursed
4 within the previous 6 months from the time a miscalculation
5 is discovered.
6 (i) This Section may be cited as the Salem Civic Center
7 Use and Occupation Tax Law.
8 (Source: P.A. 90-328, eff. 1-1-98.)
9 Section 40. The Local Mass Transit District Act is
10 amended by changing Section 5.01 as follows:
11 (70 ILCS 3610/5.01) (from Ch. 111 2/3, par. 355.01)
12 Sec. 5.01. Metro East Mass Transit District; use and
13 occupation taxes.
14 (a) The Board of Trustees of any Metro East Mass Transit
15 District may, by ordinance adopted with the concurrence of
16 two-thirds of the then trustees, impose throughout the
17 District any or all of the taxes and fees provided in this
18 Section. All taxes and fees imposed under this Section shall
19 be used only for public mass transportation systems, and the
20 amount used to provide mass transit service to unserved areas
21 of the District shall be in the same proportion to the total
22 proceeds as the number of persons residing in the unserved
23 areas is to the total population of the District. Except as
24 otherwise provided in this Act, taxes imposed under this
25 Section and civil penalties imposed incident thereto shall be
26 collected and enforced by the State Department of Revenue.
27 The Department shall have the power to administer and enforce
28 the taxes and to determine all rights for refunds for
29 erroneous payments of the taxes.
30 (b) The Board may impose a Metro East Mass Transit
31 District Retailers' Occupation Tax upon all persons engaged
32 in the business of selling tangible personal property at
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1 retail in the district at a rate of 1/4 of 1%, or as
2 authorized under subsection (d-5) of this Section, of the
3 gross receipts from the sales made in the course of such
4 business within the district. The tax imposed under this
5 Section and all civil penalties that may be assessed as an
6 incident thereof shall be collected and enforced by the State
7 Department of Revenue. The Department shall have full power
8 to administer and enforce this Section; to collect all taxes
9 and penalties so collected in the manner hereinafter
10 provided; and to determine all rights to credit memoranda
11 arising on account of the erroneous payment of tax or penalty
12 hereunder. In the administration of, and compliance with,
13 this Section, the Department and persons who are subject to
14 this Section shall have the same rights, remedies,
15 privileges, immunities, powers and duties, and be subject to
16 the same conditions, restrictions, limitations, penalties,
17 exclusions, exemptions and definitions of terms and employ
18 the same modes of procedure, as are prescribed in Sections 1,
19 1a, 1a-1, 1c, 1d, 1e, 1f, 1i, 1j, 2 through 2-65 (in respect
20 to all provisions therein other than the State rate of tax),
21 2c, 3 (except as to the disposition of taxes and penalties
22 collected), 4, 5, 5a, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l,
23 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12, 13, and 14 of the
24 Retailers' Occupation Tax Act and Section 3-7 of the Uniform
25 Penalty and Interest Act, as fully as if those provisions
26 were set forth herein.
27 If the Board has not imposed a tax under this subsection
28 on the sale of motor fuel or gasohol before the effective
29 date of this amendatory Act of 1998, then the Board shall not
30 impose such a tax on or after that date. If the Board has
31 imposed a tax under this subsection on the sale of motor fuel
32 or gasohol before the effective date of this amendatory Act
33 of 1998, then the Board shall not increase the rate of the
34 tax on or after that date.
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1 Persons subject to any tax imposed under the Section may
2 reimburse themselves for their seller's tax liability
3 hereunder by separately stating the tax as an additional
4 charge, which charge may be stated in combination, in a
5 single amount, with State taxes that sellers are required to
6 collect under the Use Tax Act, in accordance with such
7 bracket schedules as the Department may prescribe.
8 Whenever the Department determines that a refund should
9 be made under this Section to a claimant instead of issuing a
10 credit memorandum, the Department shall notify the State
11 Comptroller, who shall cause the warrant to be drawn for the
12 amount specified, and to the person named, in the
13 notification from the Department. The refund shall be paid
14 by the State Treasurer out of the Metro East Mass Transit
15 District tax fund established under paragraph (g) of this
16 Section.
17 If a tax is imposed under this subsection (b), a tax
18 shall also be imposed under subsections (c) and (d) of this
19 Section.
20 For the purpose of determining whether a tax authorized
21 under this Section is applicable, a retail sale, by a
22 producer of coal or other mineral mined in Illinois, is a
23 sale at retail at the place where the coal or other mineral
24 mined in Illinois is extracted from the earth. This
25 paragraph does not apply to coal or other mineral when it is
26 delivered or shipped by the seller to the purchaser at a
27 point outside Illinois so that the sale is exempt under the
28 Federal Constitution as a sale in interstate or foreign
29 commerce.
30 Nothing in this Section shall be construed to authorize
31 the Metro East Mass Transit District to impose a tax upon the
32 privilege of engaging in any business which under the
33 Constitution of the United States may not be made the subject
34 of taxation by this State.
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1 (c) If a tax has been imposed under subsection (b), a
2 Metro East Mass Transit District Service Occupation Tax shall
3 also be imposed upon all persons engaged, in the district, in
4 the business of making sales of service, who, as an incident
5 to making those sales of service, transfer tangible personal
6 property within the District, either in the form of tangible
7 personal property or in the form of real estate as an
8 incident to a sale of service. The tax rate shall be 1/4%, or
9 as authorized under subsection (d-5) of this Section, of the
10 selling price of tangible personal property so transferred
11 within the district. The tax imposed under this paragraph
12 and all civil penalties that may be assessed as an incident
13 thereof shall be collected and enforced by the State
14 Department of Revenue. The Department shall have full power
15 to administer and enforce this paragraph; to collect all
16 taxes and penalties due hereunder; to dispose of taxes and
17 penalties so collected in the manner hereinafter provided;
18 and to determine all rights to credit memoranda arising on
19 account of the erroneous payment of tax or penalty hereunder.
20 In the administration of, and compliance with this paragraph,
21 the Department and persons who are subject to this paragraph
22 shall have the same rights, remedies, privileges, immunities,
23 powers and duties, and be subject to the same conditions,
24 restrictions, limitations, penalties, exclusions, exemptions
25 and definitions of terms and employ the same modes of
26 procedure as are prescribed in Sections 1a-1, 2 (except that
27 the reference to State in the definition of supplier
28 maintaining a place of business in this State shall mean the
29 Authority), 2a, 3 through 3-50 (in respect to all provisions
30 therein other than the State rate of tax), 4 (except that the
31 reference to the State shall be to the Authority), 5, 7, 8
32 (except that the jurisdiction to which the tax shall be a
33 debt to the extent indicated in that Section 8 shall be the
34 District), 9 (except as to the disposition of taxes and
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1 penalties collected, and except that the returned merchandise
2 credit for this tax may not be taken against any State tax),
3 10, 11, 12 (except the reference therein to Section 2b of the
4 Retailers' Occupation Tax Act), 13 (except that any reference
5 to the State shall mean the District), the first paragraph of
6 Section 15, 16, 17, 18, 19 and 20 of the Service Occupation
7 Tax Act and Section 3-7 of the Uniform Penalty and Interest
8 Act, as fully as if those provisions were set forth herein.
9 If the Board has not imposed a tax under this subsection
10 on the selling price of motor fuel or gasohol before the
11 effective date of this amendatory Act of 1998, then the Board
12 shall not impose such a tax on or after that date. If the
13 Board has imposed a tax under this subsection on the selling
14 price of motor fuel or gasohol before the effective date of
15 this amendatory Act of 1998, then the Board shall not
16 increase the rate of the tax on or after that date.
17 Persons subject to any tax imposed under the authority
18 granted in this paragraph may reimburse themselves for their
19 serviceman's tax liability hereunder by separately stating
20 the tax as an additional charge, which charge may be stated
21 in combination, in a single amount, with State tax that
22 servicemen are authorized to collect under the Service Use
23 Tax Act, in accordance with such bracket schedules as the
24 Department may prescribe.
25 Whenever the Department determines that a refund should
26 be made under this paragraph to a claimant instead of issuing
27 a credit memorandum, the Department shall notify the State
28 Comptroller, who shall cause the warrant to be drawn for the
29 amount specified, and to the person named, in the
30 notification from the Department. The refund shall be paid
31 by the State Treasurer out of the Metro East Mass Transit
32 District tax fund established under paragraph (g) of this
33 Section.
34 Nothing in this paragraph shall be construed to authorize
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1 the District to impose a tax upon the privilege of engaging
2 in any business which under the Constitution of the United
3 States may not be made the subject of taxation by the State.
4 (d) If a tax has been imposed under subsection (b), a
5 Metro East Mass Transit District Use Tax shall also be
6 imposed upon the privilege of using, in the district, any
7 item of tangible personal property that is purchased outside
8 the district at retail from a retailer, and that is titled or
9 registered with an agency of this State's government, at a
10 rate of 1/4%, or as authorized under subsection (d-5) of this
11 Section, of the selling price of the tangible personal
12 property within the District, as "selling price" is defined
13 in the Use Tax Act. The tax shall be collected from persons
14 whose Illinois address for titling or registration purposes
15 is given as being in the District. The tax shall be
16 collected by the Department of Revenue for the Metro East
17 Mass Transit District. The tax must be paid to the State, or
18 an exemption determination must be obtained from the
19 Department of Revenue, before the title or certificate of
20 registration for the property may be issued. The tax or
21 proof of exemption may be transmitted to the Department by
22 way of the State agency with which, or the State officer with
23 whom, the tangible personal property must be titled or
24 registered if the Department and the State agency or State
25 officer determine that this procedure will expedite the
26 processing of applications for title or registration.
27 The Department shall have full power to administer and
28 enforce this paragraph; to collect all taxes, penalties and
29 interest due hereunder; to dispose of taxes, penalties and
30 interest so collected in the manner hereinafter provided; and
31 to determine all rights to credit memoranda or refunds
32 arising on account of the erroneous payment of tax, penalty
33 or interest hereunder. In the administration of, and
34 compliance with, this paragraph, the Department and persons
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1 who are subject to this paragraph shall have the same rights,
2 remedies, privileges, immunities, powers and duties, and be
3 subject to the same conditions, restrictions, limitations,
4 penalties, exclusions, exemptions and definitions of terms
5 and employ the same modes of procedure, as are prescribed in
6 Sections 2 (except the definition of "retailer maintaining a
7 place of business in this State"), 3 through 3-80 (except
8 provisions pertaining to the State rate of tax, and except
9 provisions concerning collection or refunding of the tax by
10 retailers), 4, 11, 12, 12a, 14, 15, 19 (except the portions
11 pertaining to claims by retailers and except the last
12 paragraph concerning refunds), 20, 21 and 22 of the Use Tax
13 Act and Section 3-7 of the Uniform Penalty and Interest Act,
14 that are not inconsistent with this paragraph, as fully as if
15 those provisions were set forth herein.
16 If the Board has not imposed a tax under this subsection
17 on the use of motor fuel or gasohol before the effective date
18 of this amendatory Act of 1998, then the Board shall not
19 impose such a tax on or after that date. If the Board has
20 imposed a tax under this subsection on the use of motor fuel
21 or gasohol before the effective date of this amendatory Act
22 of 1998, then the Board shall not increase the rate of the
23 tax on or after that date.
24 Whenever the Department determines that a refund should
25 be made under this paragraph to a claimant instead of issuing
26 a credit memorandum, the Department shall notify the State
27 Comptroller, who shall cause the order to be drawn for the
28 amount specified, and to the person named, in the
29 notification from the Department. The refund shall be paid by
30 the State Treasurer out of the Metro East Mass Transit
31 District tax fund established under paragraph (g) of this
32 Section.
33 (d-5) The county board of any county participating in
34 the Metro East Mass Transit District may authorize, by
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1 ordinance, a referendum on the question of whether the tax
2 rates for the Metro East Mass Transit District Retailers'
3 Occupation Tax, the Metro East Mass Transit District Service
4 Occupation Tax, and the Metro East Mass Transit District Use
5 Tax for the District should be increased from 0.25% to 0.75%.
6 Upon adopting the ordinance, the county board shall certify
7 the proposition to the proper election officials who shall
8 submit the proposition to the voters of the District at the
9 next election, in accordance with the general election law.
10 The proposition shall be in substantially the following
11 form:
12 Shall the tax rates for the Metro East Mass Transit
13 District Retailers' Occupation Tax, the Metro East Mass
14 Transit District Service Occupation Tax, and the Metro
15 East Mass Transit District Use Tax be increased from
16 0.25% to 0.75%?
17 The votes shall be recorded as "YES" or "NO". If a
18 majority of all votes cast on the proposition are for the
19 increase in the tax rates, the Metro East Mass Transit
20 District shall begin imposing the increased rates in the
21 District, and the Department of Revenue shall begin
22 collecting the increased amounts, as provided under this
23 Section. An ordinance imposing or discontinuing a tax
24 hereunder or effecting a change in the rate thereof shall be
25 adopted and a certified copy thereof filed with the
26 Department on or before the first day of October, whereupon
27 the Department shall proceed to administer and enforce this
28 Section as of the first day of January next following the
29 adoption and filing.
30 If the voters have approved a referendum under this
31 subsection, before November 1, 1994, to increase the tax rate
32 under this subsection, the Metro East Mass Transit District
33 Board of Trustees may adopt by a majority vote an ordinance
34 at any time before January 1, 1995 that excludes from the
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1 rate increase tangible personal property that is titled or
2 registered with an agency of this State's government. The
3 ordinance excluding titled or registered tangible personal
4 property from the rate increase must be filed with the
5 Department at least 15 days before its effective date. At any
6 time after adopting an ordinance excluding from the rate
7 increase tangible personal property that is titled or
8 registered with an agency of this State's government, the
9 Metro East Mass Transit District Board of Trustees may adopt
10 an ordinance applying the rate increase to that tangible
11 personal property. The ordinance shall be adopted, and a
12 certified copy of that ordinance shall be filed with the
13 Department, on or before October 1, whereupon the Department
14 shall proceed to administer and enforce the rate increase
15 against tangible personal property titled or registered with
16 an agency of this State's government as of the following
17 January 1. After December 31, 1995, any reimposed rate
18 increase in effect under this subsection shall no longer
19 apply to tangible personal property titled or registered with
20 an agency of this State's government. Beginning January 1,
21 1996, the Board of Trustees of any Metro East Mass Transit
22 District may never reimpose a previously excluded tax rate
23 increase on tangible personal property titled or registered
24 with an agency of this State's government.
25 (d-6) If the Board of Trustees of any Metro East Mass
26 Transit District has imposed a rate increase under subsection
27 (d-5) and filed an ordinance with the Department of Revenue
28 excluding titled property from the higher rate, then that
29 Board may, by ordinance adopted with the concurrence of
30 two-thirds of the then trustees, impose throughout the
31 District a fee. The fee on the excluded property shall not
32 exceed $20 per retail transaction or an amount equal to the
33 amount of tax excluded, whichever is less, on tangible
34 personal property that is titled or registered with an agency
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1 of this State's government. The Board of Trustees of any
2 Metro East Mass Transit District shall have full power to
3 administer and enforce this subsection and to determine all
4 rights to credit memoranda or refunds arising on account of
5 the erroneous payment of the fee hereunder. The Board shall
6 proceed to administer and enforce this subsection as of the
7 first day of the second month following the adoption of the
8 ordinance.
9 (d-7) If a fee has been imposed under subsection (d-6),
10 a fee shall also be imposed upon the privilege of using, in
11 the district, any item of tangible personal property that is
12 titled or registered with any agency of this State's
13 government, in an amount equal to the amount of the fee
14 imposed under subsection (d-6). The Board of Trustees of any
15 Metro East Mass Transit District shall have full power to
16 administer and enforce this subsection and to determine all
17 rights to credit memoranda or refunds arising on account of
18 the erroneous payment of the fee hereunder. The Board shall
19 proceed to administer and enforce this subsection
20 concurrently with the administration of the fee imposed under
21 subsection (d-6).
22 (d-8) No item of titled property shall be subject to
23 both the higher rate approved by referendum, as authorized
24 under subsection (d-5), and any fee imposed under subsection
25 (d-6) or (d-7).
26 (d-9) If fees have been imposed under subsections (d-6)
27 and (d-7), the Board shall forward a copy of the ordinance
28 adopting such fees, which shall include all zip codes in
29 whole or in part within the boundaries of the district, to
30 the Secretary of State within thirty days. By the 25th of
31 each month, the Secretary of State shall subsequently provide
32 the Board with a list of identifiable retail transactions
33 subject to the .25% rate occurring within the zip codes which
34 are in whole or in part within the boundaries of the district
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1 and a list of title applications for addresses within the
2 boundaries of the district for the previous month.
3 (d-10) In the event that a retailer fails to pay
4 applicable fees within 30 days of the date of the
5 transaction, a penalty shall be assessed at the rate of 25%
6 of the amount of fees. Interest on both late fees and
7 penalties shall be assessed at the rate of 1% per month. All
8 fees, penalties, and attorney fees shall constitute a lien on
9 the personal and real property of the retailer. The Board of
10 Trustees of any Metro East Transit District shall have full
11 power to administer and enforce this subsection.
12 (e) A certificate of registration issued by the State
13 Department of Revenue to a retailer under the Retailers'
14 Occupation Tax Act or under the Service Occupation Tax Act
15 shall permit the registrant to engage in a business that is
16 taxed under the tax imposed under paragraphs (b), (c) or (d)
17 of this Section and no additional registration shall be
18 required under the tax. A certificate issued under the Use
19 Tax Act or the Service Use Tax Act shall be applicable with
20 regard to any tax imposed under paragraph (c) of this
21 Section.
22 (f) The Board may impose a replacement vehicle tax of
23 $50 on any passenger car, as defined in Section 1-157 of the
24 Illinois Vehicle Code, purchased within the district area by
25 or on behalf of an insurance company to replace a passenger
26 car of an insured person in settlement of a total loss claim.
27 The tax imposed may not become effective before the first day
28 of the month following the passage of the ordinance imposing
29 the tax and receipt of a certified copy of the ordinance by
30 the Department of Revenue. The Department of Revenue shall
31 collect the tax for the district in accordance with Sections
32 3-2002 and 3-2003 of the Illinois Vehicle Code.
33 The Department shall immediately pay over to the State
34 Treasurer, ex officio, as trustee, all taxes collected
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1 hereunder. On or before the 25th day of each calendar month,
2 the Department shall prepare and certify to the Comptroller
3 the disbursement of stated sums of money to named districts,
4 the districts to be those from which retailers have paid
5 taxes or penalties hereunder to the Department during the
6 second preceding calendar month. The amount to be paid to
7 each district shall be the amount collected hereunder during
8 the second preceding calendar month by the Department, less
9 any amount determined by the Department to be necessary for
10 the payment of refunds. Within 10 days after receipt by the
11 Comptroller of the disbursement certification to the
12 districts, provided for in this Section to be given to the
13 Comptroller by the Department, the Comptroller shall cause
14 the orders to be drawn for the respective amounts in
15 accordance with the directions contained in the
16 certification.
17 (g) Any ordinance imposing or discontinuing any tax
18 under this Section shall be adopted and a certified copy
19 thereof filed with the Department on or before June 1,
20 whereupon the Department of Revenue shall proceed to
21 administer and enforce this Section on behalf of the Metro
22 East Mass Transit District as of September 1 next following
23 such adoption and filing. Beginning January 1, 1992, an
24 ordinance or resolution imposing or discontinuing the tax
25 hereunder shall be adopted and a certified copy thereof filed
26 with the Department on or before the first day of July,
27 whereupon the Department shall proceed to administer and
28 enforce this Section as of the first day of October next
29 following such adoption and filing. Beginning January 1,
30 1993, except as provided in subsection (d-5) of this Section,
31 an ordinance or resolution imposing or discontinuing the tax
32 hereunder shall be adopted and a certified copy thereof filed
33 with the Department on or before the first day of October,
34 whereupon the Department shall proceed to administer and
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1 enforce this Section as of the first day of January next
2 following such adoption and filing.
3 (h) The State Department of Revenue shall, upon
4 collecting any taxes as provided in this Section, pay the
5 taxes over to the State Treasurer as trustee for the
6 District. The taxes shall be held in a trust fund outside the
7 State Treasury. On or before the 25th day of each calendar
8 month, the State Department of Revenue shall prepare and
9 certify to the Comptroller of the State of Illinois the
10 amount to be paid to the District, which shall be the then
11 balance in the fund, less any amount determined by the
12 Department to be necessary for the payment of refunds. Within
13 10 days after receipt by the Comptroller of the certification
14 of the amount to be paid to the District, the Comptroller
15 shall cause an order to be drawn for payment for the amount
16 in accordance with the direction in the certification.
17 (Source: P.A. 88-115; 88-672, eff. 12-14-94; 89-436, eff.
18 1-1-96; 89-705, eff. 1-31-97.)
19 Section 45. The Regional Transportation Authority Act is
20 amended by changing Section 4.03 as follows:
21 (70 ILCS 3615/4.03) (from Ch. 111 2/3, par. 704.03)
22 Sec. 4.03. Taxes.
23 (a) In order to carry out any of the powers or purposes
24 of the Authority, the Board may by ordinance adopted with the
25 concurrence of 9 of the then Directors, impose throughout the
26 metropolitan region any or all of the taxes provided in this
27 Section. Except as otherwise provided in this Act, taxes
28 imposed under this Section and civil penalties imposed
29 incident thereto shall be collected and enforced by the State
30 Department of Revenue. The Department shall have the power to
31 administer and enforce the taxes and to determine all rights
32 for refunds for erroneous payments of the taxes.
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1 (b) The Board may impose a public transportation tax
2 upon all persons engaged in the metropolitan region in the
3 business of selling at retail motor fuel for operation of
4 motor vehicles upon public highways. The tax shall be at a
5 rate not to exceed 5% of the gross receipts from the sales of
6 motor fuel in the course of the business. As used in this
7 Act, the term "motor fuel" shall have the same meaning as in
8 the Motor Fuel Tax Act. The Board may provide for details of
9 the tax. The provisions of any tax shall conform, as closely
10 as may be practicable, to the provisions of the Municipal
11 Retailers Occupation Tax Act, including without limitation,
12 conformity to penalties with respect to the tax imposed and
13 as to the powers of the State Department of Revenue to
14 promulgate and enforce rules and regulations relating to the
15 administration and enforcement of the provisions of the tax
16 imposed, except that reference in the Act to any municipality
17 shall refer to the Authority and the tax shall be imposed
18 only with regard to receipts from sales of motor fuel in the
19 metropolitan region, at rates as limited by this Section.
20 If the Board has not imposed a tax under this subsection
21 before the effective date of this amendatory Act of 1998,
22 then the Board shall not impose such a tax on or after that
23 date. If the Board has imposed a tax under this subsection
24 before the effective date of this amendatory Act of 1998,
25 then the Board shall not increase the rate of the tax on or
26 after that date.
27 (c) In connection with the tax imposed under paragraph
28 (b) of this Section the Board may impose a tax upon the
29 privilege of using in the metropolitan region motor fuel for
30 the operation of a motor vehicle upon public highways, the
31 tax to be at a rate not in excess of the rate of tax imposed
32 under paragraph (b) of this Section. The Board may provide
33 for details of the tax.
34 If the Board has not imposed a tax under this subsection
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1 before the effective date of this amendatory Act of 1998,
2 then the Board shall not impose such a tax on or after that
3 date. If the Board has imposed a tax under this subsection
4 before the effective date of this amendatory Act of 1998,
5 then the Board shall not increase the rate of the tax on or
6 after that date.
7 (d) The Board may impose a motor vehicle parking tax
8 upon the privilege of parking motor vehicles at off-street
9 parking facilities in the metropolitan region at which a fee
10 is charged, and may provide for reasonable classifications in
11 and exemptions to the tax, for administration and enforcement
12 thereof and for civil penalties and refunds thereunder and
13 may provide criminal penalties thereunder, the maximum
14 penalties not to exceed the maximum criminal penalties
15 provided in the Retailers' Occupation Tax Act. The Authority
16 may collect and enforce the tax itself or by contract with
17 any unit of local government. The State Department of
18 Revenue shall have no responsibility for the collection and
19 enforcement unless the Department agrees with the Authority
20 to undertake the collection and enforcement. As used in this
21 paragraph, the term "parking facility" means a parking area
22 or structure having parking spaces for more than 2 vehicles
23 at which motor vehicles are permitted to park in return for
24 an hourly, daily, or other periodic fee, whether publicly or
25 privately owned, but does not include parking spaces on a
26 public street, the use of which is regulated by parking
27 meters.
28 (e) The Board may impose a Regional Transportation
29 Authority Retailers' Occupation Tax upon all persons engaged
30 in the business of selling tangible personal property at
31 retail in the metropolitan region. In Cook County the tax
32 rate shall be 1% of the gross receipts from sales of food for
33 human consumption that is to be consumed off the premises
34 where it is sold (other than alcoholic beverages, soft drinks
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1 and food that has been prepared for immediate consumption)
2 and prescription and nonprescription medicines, drugs,
3 medical appliances and insulin, urine testing materials,
4 syringes and needles used by diabetics, and 3/4% of the gross
5 receipts from other taxable sales made in the course of that
6 business. In DuPage, Kane, Lake, McHenry, and Will Counties,
7 the tax rate shall be 1/4% of the gross receipts from all
8 taxable sales made in the course of that business. The tax
9 imposed under this Section and all civil penalties that may
10 be assessed as an incident thereof shall be collected and
11 enforced by the State Department of Revenue. The Department
12 shall have full power to administer and enforce this Section;
13 to collect all taxes and penalties so collected in the manner
14 hereinafter provided; and to determine all rights to credit
15 memoranda arising on account of the erroneous payment of tax
16 or penalty hereunder. In the administration of, and
17 compliance with this Section, the Department and persons who
18 are subject to this Section shall have the same rights,
19 remedies, privileges, immunities, powers and duties, and be
20 subject to the same conditions, restrictions, limitations,
21 penalties, exclusions, exemptions and definitions of terms,
22 and employ the same modes of procedure, as are prescribed in
23 Sections 1, 1a, 1a-1, 1c, 1d, 1e, 1f, 1i, 1j, 2 through 2-65
24 (in respect to all provisions therein other than the State
25 rate of tax), 2c, 3 (except as to the disposition of taxes
26 and penalties collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g,
27 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12 and 13
28 of the Retailers' Occupation Tax Act and Section 3-7 of the
29 Uniform Penalty and Interest Act, as fully as if those
30 provisions were set forth herein.
31 If the Board has not imposed a tax under this subsection
32 on the sale of motor fuel or gasohol before the effective
33 date of this amendatory Act of 1998, then the Board shall not
34 impose such a tax on or after that date. If the Board has
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1 imposed a tax under this subsection on the sale of motor fuel
2 or gasohol before the effective date of this amendatory Act
3 of 1998, then the Board shall not increase the rate of the
4 tax on or after that date.
5 Persons subject to any tax imposed under the authority
6 granted in this Section may reimburse themselves for their
7 seller's tax liability hereunder by separately stating the
8 tax as an additional charge, which charge may be stated in
9 combination in a single amount with State taxes that sellers
10 are required to collect under the Use Tax Act, under any
11 bracket schedules the Department may prescribe.
12 Whenever the Department determines that a refund should
13 be made under this Section to a claimant instead of issuing a
14 credit memorandum, the Department shall notify the State
15 Comptroller, who shall cause the warrant to be drawn for the
16 amount specified, and to the person named, in the
17 notification from the Department. The refund shall be paid
18 by the State Treasurer out of the Regional Transportation
19 Authority tax fund established under paragraph (n) of this
20 Section.
21 If a tax is imposed under this subsection (e), a tax
22 shall also be imposed under subsections (f) and (g) of this
23 Section.
24 For the purpose of determining whether a tax authorized
25 under this Section is applicable, a retail sale by a producer
26 of coal or other mineral mined in Illinois, is a sale at
27 retail at the place where the coal or other mineral mined in
28 Illinois is extracted from the earth. This paragraph does not
29 apply to coal or other mineral when it is delivered or
30 shipped by the seller to the purchaser at a point outside
31 Illinois so that the sale is exempt under the Federal
32 Constitution as a sale in interstate or foreign commerce.
33 Nothing in this Section shall be construed to authorize
34 the Regional Transportation Authority to impose a tax upon
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1 the privilege of engaging in any business that under the
2 Constitution of the United States may not be made the subject
3 of taxation by this State.
4 (f) If a tax has been imposed under paragraph (e), a tax
5 shall also be imposed upon all persons engaged, in the
6 metropolitan region in the business of making sales of
7 service, who as an incident to making the sales of service,
8 transfer tangible personal property within the metropolitan
9 region, either in the form of tangible personal property or
10 in the form of real estate as an incident to a sale of
11 service. In Cook County, the tax rate shall be: (1) 1% of
12 the serviceman's cost price of food prepared for immediate
13 consumption and transferred incident to a sale of service
14 subject to the service occupation tax by an entity licensed
15 under the Hospital Licensing Act or the Nursing Home Care Act
16 that is located in the metropolitan region; (2) 1% of the
17 selling price of food for human consumption that is to be
18 consumed off the premises where it is sold (other than
19 alcoholic beverages, soft drinks and food that has been
20 prepared for immediate consumption) and prescription and
21 nonprescription medicines, drugs, medical appliances and
22 insulin, urine testing materials, syringes and needles used
23 by diabetics; and (3) 3/4% of the selling price from other
24 taxable sales of tangible personal property transferred. In
25 DuPage, Kane, Lake, McHenry and Will Counties the rate shall
26 be 1/4% of the selling price of all tangible personal
27 property transferred.
28 The tax imposed under this paragraph and all civil
29 penalties that may be assessed as an incident thereof shall
30 be collected and enforced by the State Department of Revenue.
31 The Department shall have full power to administer and
32 enforce this paragraph; to collect all taxes and penalties
33 due hereunder; to dispose of taxes and penalties collected in
34 the manner hereinafter provided; and to determine all rights
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1 to credit memoranda arising on account of the erroneous
2 payment of tax or penalty hereunder. In the administration
3 of and compliance with this paragraph, the Department and
4 persons who are subject to this paragraph shall have the same
5 rights, remedies, privileges, immunities, powers and duties,
6 and be subject to the same conditions, restrictions,
7 limitations, penalties, exclusions, exemptions and
8 definitions of terms, and employ the same modes of procedure,
9 as are prescribed in Sections 1a-1, 2, 2a, 3 through 3-50 (in
10 respect to all provisions therein other than the State rate
11 of tax), 4 (except that the reference to the State shall be
12 to the Authority), 5, 7, 8 (except that the jurisdiction to
13 which the tax shall be a debt to the extent indicated in that
14 Section 8 shall be the Authority), 9 (except as to the
15 disposition of taxes and penalties collected, and except that
16 the returned merchandise credit for this tax may not be taken
17 against any State tax), 10, 11, 12 (except the reference
18 therein to Section 2b of the Retailers' Occupation Tax Act),
19 13 (except that any reference to the State shall mean the
20 Authority), the first paragraph of Section 15, 16, 17, 18, 19
21 and 20 of the Service Occupation Tax Act and Section 3-7 of
22 the Uniform Penalty and Interest Act, as fully as if those
23 provisions were set forth herein.
24 If the Board has not imposed a tax under this subsection
25 on the selling price of motor fuel or gasohol before the
26 effective date of this amendatory Act of 1998, then the Board
27 shall not impose such a tax on or after that date. If the
28 Board has imposed a tax under this subsection on the selling
29 price of motor fuel or gasohol before the effective date of
30 this amendatory Act of 1998, then the Board shall not
31 increase the rate of the tax on or after that date.
32 Persons subject to any tax imposed under the authority
33 granted in this paragraph may reimburse themselves for their
34 serviceman's tax liability hereunder by separately stating
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1 the tax as an additional charge, that charge may be stated in
2 combination in a single amount with State tax that servicemen
3 are authorized to collect under the Service Use Tax Act,
4 under any bracket schedules the Department may prescribe.
5 Whenever the Department determines that a refund should
6 be made under this paragraph to a claimant instead of issuing
7 a credit memorandum, the Department shall notify the State
8 Comptroller, who shall cause the warrant to be drawn for the
9 amount specified, and to the person named in the notification
10 from the Department. The refund shall be paid by the State
11 Treasurer out of the Regional Transportation Authority tax
12 fund established under paragraph (n) of this Section.
13 Nothing in this paragraph shall be construed to authorize
14 the Authority to impose a tax upon the privilege of engaging
15 in any business that under the Constitution of the United
16 States may not be made the subject of taxation by the State.
17 (g) If a tax has been imposed under paragraph (e), a tax
18 shall also be imposed upon the privilege of using in the
19 metropolitan region, any item of tangible personal property
20 that is purchased outside the metropolitan region at retail
21 from a retailer, and that is titled or registered with an
22 agency of this State's government. In Cook County the tax
23 rate shall be 3/4% of the selling price of the tangible
24 personal property, as "selling price" is defined in the Use
25 Tax Act. In DuPage, Kane, Lake, McHenry and Will counties
26 the tax rate shall be 1/4% of the selling price of the
27 tangible personal property, as "selling price" is defined in
28 the Use Tax Act. The tax shall be collected from persons
29 whose Illinois address for titling or registration purposes
30 is given as being in the metropolitan region. The tax shall
31 be collected by the Department of Revenue for the Regional
32 Transportation Authority. The tax must be paid to the State,
33 or an exemption determination must be obtained from the
34 Department of Revenue, before the title or certificate of
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1 registration for the property may be issued. The tax or proof
2 of exemption may be transmitted to the Department by way of
3 the State agency with which, or the State officer with whom,
4 the tangible personal property must be titled or registered
5 if the Department and the State agency or State officer
6 determine that this procedure will expedite the processing of
7 applications for title or registration.
8 The Department shall have full power to administer and
9 enforce this paragraph; to collect all taxes, penalties and
10 interest due hereunder; to dispose of taxes, penalties and
11 interest collected in the manner hereinafter provided; and to
12 determine all rights to credit memoranda or refunds arising
13 on account of the erroneous payment of tax, penalty or
14 interest hereunder. In the administration of and compliance
15 with this paragraph, the Department and persons who are
16 subject to this paragraph shall have the same rights,
17 remedies, privileges, immunities, powers and duties, and be
18 subject to the same conditions, restrictions, limitations,
19 penalties, exclusions, exemptions and definitions of terms
20 and employ the same modes of procedure, as are prescribed in
21 Sections 2 (except the definition of "retailer maintaining a
22 place of business in this State"), 3 through 3-80 (except
23 provisions pertaining to the State rate of tax, and except
24 provisions concerning collection or refunding of the tax by
25 retailers), 4, 11, 12, 12a, 14, 15, 19 (except the portions
26 pertaining to claims by retailers and except the last
27 paragraph concerning refunds), 20, 21 and 22 of the Use Tax
28 Act, and are not inconsistent with this paragraph, as fully
29 as if those provisions were set forth herein.
30 If the Board has not imposed a tax under this subsection
31 on the use of motor fuel or gasohol before the effective date
32 of this amendatory Act of 1998, then the Board shall not
33 impose such a tax on or after that date. If the Board has
34 imposed a tax under this subsection on the use of motor fuel
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1 or gasohol before the effective date of this amendatory Act
2 of 1998, then the Board shall not increase the rate of the
3 tax on or after that date.
4 Whenever the Department determines that a refund should
5 be made under this paragraph to a claimant instead of issuing
6 a credit memorandum, the Department shall notify the State
7 Comptroller, who shall cause the order to be drawn for the
8 amount specified, and to the person named in the notification
9 from the Department. The refund shall be paid by the State
10 Treasurer out of the Regional Transportation Authority tax
11 fund established under paragraph (n) of this Section.
12 (h) The Authority may impose a replacement vehicle tax
13 of $50 on any passenger car as defined in Section 1-157 of
14 the Illinois Vehicle Code purchased within the metropolitan
15 region by or on behalf of an insurance company to replace a
16 passenger car of an insured person in settlement of a total
17 loss claim. The tax imposed may not become effective before
18 the first day of the month following the passage of the
19 ordinance imposing the tax and receipt of a certified copy of
20 the ordinance by the Department of Revenue. The Department
21 of Revenue shall collect the tax for the Authority in
22 accordance with Sections 3-2002 and 3-2003 of the Illinois
23 Vehicle Code.
24 The Department shall immediately pay over to the State
25 Treasurer, ex officio, as trustee, all taxes collected
26 hereunder. On or before the 25th day of each calendar month,
27 the Department shall prepare and certify to the Comptroller
28 the disbursement of stated sums of money to the Authority.
29 The amount to be paid to the Authority shall be the amount
30 collected hereunder during the second preceding calendar
31 month by the Department, less any amount determined by the
32 Department to be necessary for the payment of refunds.
33 Within 10 days after receipt by the Comptroller of the
34 disbursement certification to the Authority provided for in
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1 this Section to be given to the Comptroller by the
2 Department, the Comptroller shall cause the orders to be
3 drawn for that amount in accordance with the directions
4 contained in the certification.
5 (i) The Board may not impose any other taxes except as
6 it may from time to time be authorized by law to impose.
7 (j) A certificate of registration issued by the State
8 Department of Revenue to a retailer under the Retailers'
9 Occupation Tax Act or under the Service Occupation Tax Act
10 shall permit the registrant to engage in a business that is
11 taxed under the tax imposed under paragraphs (b), (e), (f) or
12 (g) of this Section and no additional registration shall be
13 required under the tax. A certificate issued under the Use
14 Tax Act or the Service Use Tax Act shall be applicable with
15 regard to any tax imposed under paragraph (c) of this
16 Section.
17 (k) The provisions of any tax imposed under paragraph
18 (c) of this Section shall conform as closely as may be
19 practicable to the provisions of the Use Tax Act, including
20 without limitation conformity as to penalties with respect to
21 the tax imposed and as to the powers of the State Department
22 of Revenue to promulgate and enforce rules and regulations
23 relating to the administration and enforcement of the
24 provisions of the tax imposed. The taxes shall be imposed
25 only on use within the metropolitan region and at rates as
26 provided in the paragraph.
27 (l) The Board in imposing any tax as provided in
28 paragraphs (b) and (c) of this Section, shall, after seeking
29 the advice of the State Department of Revenue, provide means
30 for retailers, users or purchasers of motor fuel for purposes
31 other than those with regard to which the taxes may be
32 imposed as provided in those paragraphs to receive refunds of
33 taxes improperly paid, which provisions may be at variance
34 with the refund provisions as applicable under the Municipal
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1 Retailers Occupation Tax Act. The State Department of
2 Revenue may provide for certificates of registration for
3 users or purchasers of motor fuel for purposes other than
4 those with regard to which taxes may be imposed as provided
5 in paragraphs (b) and (c) of this Section to facilitate the
6 reporting and nontaxability of the exempt sales or uses.
7 (m) Any ordinance imposing or discontinuing any tax
8 under this Section shall be adopted and a certified copy
9 thereof filed with the Department on or before June 1,
10 whereupon the Department of Revenue shall proceed to
11 administer and enforce this Section on behalf of the Regional
12 Transportation Authority as of September 1 next following
13 such adoption and filing. Beginning January 1, 1992, an
14 ordinance or resolution imposing or discontinuing the tax
15 hereunder shall be adopted and a certified copy thereof filed
16 with the Department on or before the first day of July,
17 whereupon the Department shall proceed to administer and
18 enforce this Section as of the first day of October next
19 following such adoption and filing. Beginning January 1,
20 1993, an ordinance or resolution imposing or discontinuing
21 the tax hereunder shall be adopted and a certified copy
22 thereof filed with the Department on or before the first day
23 of October, whereupon the Department shall proceed to
24 administer and enforce this Section as of the first day of
25 January next following such adoption and filing.
26 (n) The State Department of Revenue shall, upon
27 collecting any taxes as provided in this Section, pay the
28 taxes over to the State Treasurer as trustee for the
29 Authority. The taxes shall be held in a trust fund outside
30 the State Treasury. On or before the 25th day of each
31 calendar month, the State Department of Revenue shall prepare
32 and certify to the Comptroller of the State of Illinois the
33 amount to be paid to the Authority, which shall be the then
34 balance in the fund, less any amount determined by the
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1 Department to be necessary for the payment of refunds. The
2 State Department of Revenue shall also certify to the
3 Authority the amount of taxes collected in each County other
4 than Cook County in the metropolitan region less the amount
5 necessary for the payment of refunds to taxpayers in the
6 County. With regard to the County of Cook, the certification
7 shall specify the amount of taxes collected within the City
8 of Chicago less the amount necessary for the payment of
9 refunds to taxpayers in the City of Chicago and the amount
10 collected in that portion of Cook County outside of Chicago
11 less the amount necessary for the payment of refunds to
12 taxpayers in that portion of Cook County outside of Chicago.
13 Within 10 days after receipt by the Comptroller of the
14 certification of the amount to be paid to the Authority, the
15 Comptroller shall cause an order to be drawn for the payment
16 for the amount in accordance with the direction in the
17 certification.
18 In addition to the disbursement required by the preceding
19 paragraph, an allocation shall be made in July 1991 and each
20 year thereafter to the Regional Transportation Authority.
21 The allocation shall be made in an amount equal to the
22 average monthly distribution during the preceding calendar
23 year (excluding the 2 months of lowest receipts) and the
24 allocation shall include the amount of average monthly
25 distribution from the Regional Transportation Authority
26 Occupation and Use Tax Replacement Fund. The distribution
27 made in July 1992 and each year thereafter under this
28 paragraph and the preceding paragraph shall be reduced by the
29 amount allocated and disbursed under this paragraph in the
30 preceding calendar year. The Department of Revenue shall
31 prepare and certify to the Comptroller for disbursement the
32 allocations made in accordance with this paragraph.
33 (o) Failure to adopt a budget ordinance or otherwise to
34 comply with Section 4.01 of this Act or to adopt a Five-year
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1 Program or otherwise to comply with paragraph (b) of Section
2 2.01 of this Act shall not affect the validity of any tax
3 imposed by the Authority otherwise in conformity with law.
4 (p) At no time shall a public transportation tax or
5 motor vehicle parking tax authorized under paragraphs (b),
6 (c) and (d) of this Section be in effect at the same time as
7 any retailers' occupation, use or service occupation tax
8 authorized under paragraphs (e), (f) and (g) of this Section
9 is in effect.
10 Any taxes imposed under the authority provided in
11 paragraphs (b), (c) and (d) shall remain in effect only until
12 the time as any tax authorized by paragraphs (e), (f) or (g)
13 of this Section are imposed and becomes effective. Once any
14 tax authorized by paragraphs (e), (f) or (g) is imposed the
15 Board may not reimpose taxes as authorized in paragraphs (b),
16 (c) and (d) of the Section unless any tax authorized by
17 paragraphs (e), (f) or (g) of this Section becomes
18 ineffective by means other than an ordinance of the Board.
19 (q) Any existing rights, remedies and obligations
20 (including enforcement by the Regional Transportation
21 Authority) arising under any tax imposed under paragraphs
22 (b), (c) or (d) of this Section shall not be affected by the
23 imposition of a tax under paragraphs (e), (f) or (g) of this
24 Section.
25 (Source: P.A. 86-928; 86-1475; 86-1481; 87-205; 87-435;
26 87-876; 87-895.)
27 Section 50. The Water Commission Act of 1985 is amended
28 by changing Section 4 as follows:
29 (70 ILCS 3720/4) (from Ch. 111 2/3, par. 254)
30 Sec. 4. Taxes.
31 (a) The board of commissioners of any county water
32 commission may, by ordinance, impose throughout the territory
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1 of the commission any or all of the taxes provided in this
2 Section for its corporate purposes. However, no county water
3 commission may impose any such tax unless the commission
4 certifies the proposition of imposing the tax to the proper
5 election officials, who shall submit the proposition to the
6 voters residing in the territory at an election in accordance
7 with the general election law, and the proposition has been
8 approved by a majority of those voting on the proposition.
9 The proposition shall be in the form provided in Section
10 5 or shall be substantially in the following form:
11 -------------------------------------------------------------
12 Shall the (insert corporate
13 name of county water commission) YES
14 impose (state type of tax or ------------------------
15 taxes to be imposed) at the NO
16 rate of 1/4%?
17 -------------------------------------------------------------
18 Taxes imposed under this Section and civil penalties
19 imposed incident thereto shall be collected and enforced by
20 the State Department of Revenue. The Department shall have
21 the power to administer and enforce the taxes and to
22 determine all rights for refunds for erroneous payments of
23 the taxes.
24 (b) The board of commissioners may impose a County Water
25 Commission Retailers' Occupation Tax upon all persons engaged
26 in the business of selling tangible personal property at
27 retail in the territory of the commission at a rate of 1/4%
28 of the gross receipts from the sales made in the course of
29 such business within the territory. The tax imposed under
30 this paragraph and all civil penalties that may be assessed
31 as an incident thereof shall be collected and enforced by the
32 State Department of Revenue. The Department shall have full
33 power to administer and enforce this paragraph; to collect
34 all taxes and penalties due hereunder; to dispose of taxes
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1 and penalties so collected in the manner hereinafter
2 provided; and to determine all rights to credit memoranda
3 arising on account of the erroneous payment of tax or penalty
4 hereunder. In the administration of, and compliance with,
5 this paragraph, the Department and persons who are subject to
6 this paragraph shall have the same rights, remedies,
7 privileges, immunities, powers and duties, and be subject to
8 the same conditions, restrictions, limitations, penalties,
9 exclusions, exemptions and definitions of terms, and employ
10 the same modes of procedure, as are prescribed in Sections 1,
11 1a, 1a-1, 1c, 1d, 1e, 1f, 1i, 1j, 2 through 2-65 (in respect
12 to all provisions therein other than the State rate of tax
13 except that food for human consumption that is to be consumed
14 off the premises where it is sold (other than alcoholic
15 beverages, soft drinks, and food that has been prepared for
16 immediate consumption) and prescription and nonprescription
17 medicine, drugs, medical appliances and insulin, urine
18 testing materials, syringes, and needles used by diabetics,
19 for human use, shall not be subject to tax hereunder), 2c, 3
20 (except as to the disposition of taxes and penalties
21 collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k,
22 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12 and 13 of the
23 Retailers' Occupation Tax Act and Section 3-7 of the Uniform
24 Penalty and Interest Act, as fully as if those provisions
25 were set forth herein.
26 If the board of commissioners has not imposed a tax under
27 this subsection on the sale of motor fuel or gasohol before
28 the effective date of this amendatory Act of 1998, then the
29 board shall not impose such a tax on or after that date. If
30 the board of commissioners has imposed a tax under this
31 subsection on the sale of motor fuel or gasohol before the
32 effective date of this amendatory Act of 1998, then the board
33 shall not increase the rate of the tax on or after that date.
34 Persons subject to any tax imposed under the authority
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1 granted in this paragraph may reimburse themselves for their
2 seller's tax liability hereunder by separately stating the
3 tax as an additional charge, which charge may be stated in
4 combination, in a single amount, with State taxes that
5 sellers are required to collect under the Use Tax Act and
6 under subsection (e) of Section 4.03 of the Regional
7 Transportation Authority Act, in accordance with such bracket
8 schedules as the Department may prescribe.
9 Whenever the Department determines that a refund should
10 be made under this paragraph to a claimant instead of issuing
11 a credit memorandum, the Department shall notify the State
12 Comptroller, who shall cause the warrant to be drawn for the
13 amount specified, and to the person named, in the
14 notification from the Department. The refund shall be paid
15 by the State Treasurer out of a county water commission tax
16 fund established under paragraph (g) of this Section.
17 For the purpose of determining whether a tax authorized
18 under this paragraph is applicable, a retail sale by a
19 producer of coal or other mineral mined in Illinois is a sale
20 at retail at the place where the coal or other mineral mined
21 in Illinois is extracted from the earth. This paragraph does
22 not apply to coal or other mineral when it is delivered or
23 shipped by the seller to the purchaser at a point outside
24 Illinois so that the sale is exempt under the Federal
25 Constitution as a sale in interstate or foreign commerce.
26 If a tax is imposed under this subsection (b) a tax shall
27 also be imposed under subsections (c) and (d) of this
28 Section.
29 Nothing in this paragraph shall be construed to authorize
30 a county water commission to impose a tax upon the privilege
31 of engaging in any business which under the Constitution of
32 the United States may not be made the subject of taxation by
33 this State.
34 (c) If a tax has been imposed under subsection (b), a
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1 tax shall also be imposed upon all persons engaged, in the
2 territory of the commission, in the business of making sales
3 of service, who, as an incident to making the sales of
4 service, transfer tangible personal property within the
5 territory. The tax rate shall be 1/4% of the selling price of
6 tangible personal property so transferred within the
7 territory. The tax imposed under this paragraph and all
8 civil penalties that may be assessed as an incident thereof
9 shall be collected and enforced by the State Department of
10 Revenue. The Department shall have full power to administer
11 and enforce this paragraph; to collect all taxes and
12 penalties due hereunder; to dispose of taxes and penalties so
13 collected in the manner hereinafter provided; and to
14 determine all rights to credit memoranda arising on account
15 of the erroneous payment of tax or penalty hereunder. In the
16 administration of, and compliance with, this paragraph, the
17 Department and persons who are subject to this paragraph
18 shall have the same rights, remedies, privileges, immunities,
19 powers and duties, and be subject to the same conditions,
20 restrictions, limitations, penalties, exclusions, exemptions
21 and definitions of terms, and employ the same modes of
22 procedure, as are prescribed in Sections 1a-1, 2 (except that
23 the reference to State in the definition of supplier
24 maintaining a place of business in this State shall mean the
25 territory of the commission), 2a, 3 through 3-50 (in respect
26 to all provisions therein other than the State rate of tax
27 except that food for human consumption that is to be consumed
28 off the premises where it is sold (other than alcoholic
29 beverages, soft drinks, and food that has been prepared for
30 immediate consumption) and prescription and nonprescription
31 medicines, drugs, medical appliances and insulin, urine
32 testing materials, syringes, and needles used by diabetics,
33 for human use, shall not be subject to tax hereunder), 4
34 (except that the reference to the State shall be to the
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1 territory of the commission), 5, 7, 8 (except that the
2 jurisdiction to which the tax shall be a debt to the extent
3 indicated in that Section 8 shall be the commission), 9
4 (except as to the disposition of taxes and penalties
5 collected and except that the returned merchandise credit for
6 this tax may not be taken against any State tax), 10, 11, 12
7 (except the reference therein to Section 2b of the Retailers'
8 Occupation Tax Act), 13 (except that any reference to the
9 State shall mean the territory of the commission), the first
10 paragraph of Section 15, 15.5, 16, 17, 18, 19 and 20 of the
11 Service Occupation Tax Act as fully as if those provisions
12 were set forth herein.
13 If the board of commissioners has not imposed a tax under
14 this subsection on the selling price of motor fuel or gasohol
15 before the effective date of this amendatory Act of 1998,
16 then the board shall not impose such a tax on or after that
17 date. If the board of commissioners has imposed a tax under
18 this subsection on the selling price of motor fuel or gasohol
19 before the effective date of this amendatory Act of 1998,
20 then the board shall not increase the rate of the tax on or
21 after that date.
22 Persons subject to any tax imposed under the authority
23 granted in this paragraph may reimburse themselves for their
24 serviceman's tax liability hereunder by separately stating
25 the tax as an additional charge, which charge may be stated
26 in combination, in a single amount, with State tax that
27 servicemen are authorized to collect under the Service Use
28 Tax Act, and any tax for which servicemen may be liable under
29 subsection (f) of Sec. 4.03 of the Regional Transportation
30 Authority Act, in accordance with such bracket schedules as
31 the Department may prescribe.
32 Whenever the Department determines that a refund should
33 be made under this paragraph to a claimant instead of issuing
34 a credit memorandum, the Department shall notify the State
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1 Comptroller, who shall cause the warrant to be drawn for the
2 amount specified, and to the person named, in the
3 notification from the Department. The refund shall be paid
4 by the State Treasurer out of a county water commission tax
5 fund established under paragraph (g) of this Section.
6 Nothing in this paragraph shall be construed to authorize
7 a county water commission to impose a tax upon the privilege
8 of engaging in any business which under the Constitution of
9 the United States may not be made the subject of taxation by
10 the State.
11 (d) If a tax has been imposed under subsection (b), a
12 tax shall also imposed upon the privilege of using, in the
13 territory of the commission, any item of tangible personal
14 property that is purchased outside the territory at retail
15 from a retailer, and that is titled or registered with an
16 agency of this State's government, at a rate of 1/4% of the
17 selling price of the tangible personal property within the
18 territory, as "selling price" is defined in the Use Tax Act.
19 The tax shall be collected from persons whose Illinois
20 address for titling or registration purposes is given as
21 being in the territory. The tax shall be collected by the
22 Department of Revenue for a county water commission. The tax
23 must be paid to the State, or an exemption determination must
24 be obtained from the Department of Revenue, before the title
25 or certificate of registration for the property may be
26 issued. The tax or proof of exemption may be transmitted to
27 the Department by way of the State agency with which, or the
28 State officer with whom, the tangible personal property must
29 be titled or registered if the Department and the State
30 agency or State officer determine that this procedure will
31 expedite the processing of applications for title or
32 registration.
33 The Department shall have full power to administer and
34 enforce this paragraph; to collect all taxes, penalties and
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1 interest due hereunder; to dispose of taxes, penalties and
2 interest so collected in the manner hereinafter provided; and
3 to determine all rights to credit memoranda or refunds
4 arising on account of the erroneous payment of tax, penalty
5 or interest hereunder. In the administration of, and
6 compliance with this paragraph, the Department and persons
7 who are subject to this paragraph shall have the same rights,
8 remedies, privileges, immunities, powers and duties, and be
9 subject to the same conditions, restrictions, limitations,
10 penalties, exclusions, exemptions and definitions of terms
11 and employ the same modes of procedure, as are prescribed in
12 Sections 2 (except the definition of "retailer maintaining a
13 place of business in this State"), 3 through 3-80 (except
14 provisions pertaining to the State rate of tax, and except
15 provisions concerning collection or refunding of the tax by
16 retailers, and except that food for human consumption that is
17 to be consumed off the premises where it is sold (other than
18 alcoholic beverages, soft drinks, and food that has been
19 prepared for immediate consumption) and prescription and
20 nonprescription medicines, drugs, medical appliances and
21 insulin, urine testing materials, syringes, and needles used
22 by diabetics, for human use, shall not be subject to tax
23 hereunder), 4, 11, 12, 12a, 14, 15, 19 (except the portions
24 pertaining to claims by retailers and except the last
25 paragraph concerning refunds), 20, 21 and 22 of the Use Tax
26 Act and Section 3-7 of the Uniform Penalty and Interest Act
27 that are not inconsistent with this paragraph, as fully as if
28 those provisions were set forth herein.
29 If the board of commissioners has not imposed a tax under
30 this subsection on the use of motor fuel or gasohol before
31 the effective date of this amendatory Act of 1998, then the
32 board shall not impose such a tax on or after that date. If
33 the board of commissioners has imposed a tax under this
34 subsection on the use of motor fuel or gasohol before the
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1 effective date of this amendatory Act of 1998, then the board
2 shall not increase the rate of the tax on or after that date.
3 Whenever the Department determines that a refund should
4 be made under this paragraph to a claimant instead of issuing
5 a credit memorandum, the Department shall notify the State
6 Comptroller, who shall cause the order to be drawn for the
7 amount specified, and to the person named, in the
8 notification from the Department. The refund shall be paid
9 by the State Treasurer out of a county water commission tax
10 fund established under paragraph (g) of this Section.
11 (e) A certificate of registration issued by the State
12 Department of Revenue to a retailer under the Retailers'
13 Occupation Tax Act or under the Service Occupation Tax Act
14 shall permit the registrant to engage in a business that is
15 taxed under the tax imposed under paragraphs (b), (c) or (d)
16 of this Section and no additional registration shall be
17 required under the tax. A certificate issued under the Use
18 Tax Act or the Service Use Tax Act shall be applicable with
19 regard to any tax imposed under paragraph (c) of this
20 Section.
21 (f) Any ordinance imposing or discontinuing any tax
22 under this Section shall be adopted and a certified copy
23 thereof filed with the Department on or before June 1,
24 whereupon the Department of Revenue shall proceed to
25 administer and enforce this Section on behalf of the county
26 water commission as of September 1 next following the
27 adoption and filing. Beginning January 1, 1992, an ordinance
28 or resolution imposing or discontinuing the tax hereunder
29 shall be adopted and a certified copy thereof filed with the
30 Department on or before the first day of July, whereupon the
31 Department shall proceed to administer and enforce this
32 Section as of the first day of October next following such
33 adoption and filing. Beginning January 1, 1993, an ordinance
34 or resolution imposing or discontinuing the tax hereunder
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1 shall be adopted and a certified copy thereof filed with the
2 Department on or before the first day of October, whereupon
3 the Department shall proceed to administer and enforce this
4 Section as of the first day of January next following such
5 adoption and filing.
6 (g) The State Department of Revenue shall, upon
7 collecting any taxes as provided in this Section, pay the
8 taxes over to the State Treasurer as trustee for the
9 commission. The taxes shall be held in a trust fund outside
10 the State Treasury. On or before the 25th day of each
11 calendar month, the State Department of Revenue shall prepare
12 and certify to the Comptroller of the State of Illinois the
13 amount to be paid to the commission, which shall be the then
14 balance in the fund, less any amount determined by the
15 Department to be necessary for the payment of refunds. Within
16 10 days after receipt by the Comptroller of the certification
17 of the amount to be paid to the commission, the Comptroller
18 shall cause an order to be drawn for the payment for the
19 amount in accordance with the direction in the certification.
20 (Source: P.A. 86-928; 86-1475; 87-205; 87-895.)
21 Section 95. No acceleration or delay. Where this Act
22 makes changes in a statute that is represented in this Act by
23 text that is not yet or no longer in effect (for example, a
24 Section represented by multiple versions), the use of that
25 text does not accelerate or delay the taking effect of (i)
26 the changes made by this Act or (ii) provisions derived from
27 any other Public Act.
28 Section 99. Effective date. This Act takes effect upon
29 becoming law, except that Sections 5 through 20 take effect
30 October 1, 1998.".