90th General Assembly
Status of HB0585
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KUBIK-BRUNSVOLD-LYONS,EILEEN-LINDNER-DURKIN AND BIGGINS.

(PETERSON-KLEMM-SEVERNS-RADOGNO-LINK)

   35 ILCS 5/304             from Ch. 120, par. 3-304                          

        Amends the Illinois Income Tax Act.  Provides that  if  a  person      
   other  than  a  resident  derives  business income from this State and      
   others, the business income shall be  apportioned  to  this  State  by      
   multiplying  the  income  by  the sales factor (now by multiplying the      
   income by a fraction, the  numerator  of  which  is  the  sum  of  the      
   property  factor, the payroll factor, and 200% of the sales factor and      
   the denominator of which is 4 reduced by the number of  factors  other      
   than  the  sales  factor  which  have  a denominator of zero and by an      
   additional 2 if the sales factor has a denominator of zero).   Deletes      
   provisions in the definition of sales factor stating that sales are in      
   this  State  if  the  property  is  shipped  from  this  State and the      
   purchaser is the government or  is  otherwise  exempt  from  taxation.      
   Deletes  provision  stating  that  sales  are not in this State if the      
   seller and purchaser would be members of  the  same  unitary  business      
   group  but  for the fact that one of them is a person with 80% or more      
   of total business activity  outside  of  the  United  States  and  the      
   property  is  purchased  for  resale.   Provides  that  the  provision      
   excluding  dividends  and Subpart F income from the sales factor shall      
   apply to taxable years ending on  or  after  December  31,  1995  (now      
   taxable  years  ending  on  or  after  December 31, 1995 and excluding      
   taxable years ending after December 31, 1997).  Effective immediately.      
        HOUSE AMENDMENT NO. 1.                                                 
          Adds reference to:                                                   
          35 ILCS 5/804                   from Ch. 120, par. 8-804             
          35 ILCS 5/1501                  from Ch. 120, par. 15-1501           
        Deletes  everything.   Amends  the  Illinois  Income   Tax   Act.      
   Provides  that  for  tax  years  ending on or after December 31, 1997,      
   persons other than residents who  derive  business  income  from  this      
   State  and  one  or  more  other states shall apportion their business      
   income using a single factor sales formula.  Provides that this  sales      
   factor  shall be a fraction, the numerator of which is the total sales      
   of the  person  in  this  State  during  the  taxable  year,  and  the      
   denominator  of  which  is  the  total  sales of the person everywhere      
   during the taxable year.  Excludes  certain  amounts  from  the  sales      
   factor  for  taxable  years  ending  on  or  after  December 31, 1995.      
   Provides that no penalty shall be  imposed  for  failure  to  pay  the      
   estimated  tax due before the effective date of this amendatory Act if      
   the underpayments  are  solely  attributable  to  the  change  in  the      
   apportionment  of  income.   In  the  definition  of "unitary business      
   group", provides that if the members' accounting periods  differ,  the      
   common  parent's  accounting  period, or if there is no common parent,      
   the accounting period of the member that is expected  to  have,  on  a      
   recurring  basis,  the  greatest Illinois income tax liability must be      
   used to determine which apportionment method to  use.   Provides  that      
   the  provisions of this amendatory Act apply to tax years ending on or      
   after December 31, 1997.  Effective immediately.                            
   97-02-06  H  FIRST READING                                                  
   97-02-06  H  ADDED AS A JOINT SPONSOR                 BRUNSVOLD             
   97-02-06  H  REFERRED TO HOUSE RULES COMMITTEE        RULES                 
   97-02-10  H       ASSIGNED TO COMMITTEE               REVENUE               
   97-03-13  H  ADDED AS A CO-SPONSOR                    BIGGINS               
   97-03-13  H                             AMENDMENT NO. 01-REVENUE       H    
   97-03-13  H                                   ADOPTED                       
   97-03-13  H  DO PASS AMENDED/SHORT DEBATE             010-001-000   HREV    
   97-03-13  H  PLACED CALENDAR 2ND READING-SHORT DEBATE                       
   97-03-18  H  SECOND READING-SHORT DEBATE                                    
   97-03-18  H  PLCD CAL ORDER 3RD READING-SHORT DEBATE                        
   97-04-08  H  THIRD READING/SHORT DEBATE/PASSED        079-029-006           
   97-04-08  H  ADDED AS A CO-SPONSOR                    LYONS,EILEEN          
   97-04-08  H  ADDED AS A CO-SPONSOR                    LINDNER               
   97-04-08  H  ADDED AS A CO-SPONSOR                    DURKIN                
   97-04-09  S  ARRIVE IN SENATE                                               
   97-04-09  S  PLACED CALENDAR ORDER OF FIRST READING                         
   97-04-09  S  SENATE SPONSOR                           PETERSON              
   97-04-09  S  ADDED AS A CHIEF CO-SPONSOR              KLEMM                 
   97-04-09  S  FIRST READING                                                  
   97-04-09  S  REFERRED TO SENATE RULES COMMITTEE       RULES                 
   97-04-10  S  ADDED AS A CHIEF CO-SPONSOR              SEVERNS               
   97-04-10  S  ADDED AS A CHIEF CO-SPONSOR              RADOGNO               
   97-04-11  S  ADDED AS A CHIEF CO-SPONSOR              LINK                  
   97-04-23  S       ASSIGNED TO COMMITTEE               REVENUE               
   97-04-25  S  ADDED AS A CO-SPONSOR                    LAUZEN                
   97-04-28  S  ADDED AS A CO-SPONSOR                    PARKER                
   97-05-01  S       DO PASS                             009-001-000   SREV    
   97-05-01  S  PLACED ON CALENDAR ORDER OF 2ND READING  97-05-06              
   97-05-07  S  SECOND READING                                                 
   97-05-07  S  PLACED ON CALENDAR ORDER OF 3RD READING  97-05-08              
   97-05-08  S  ADDED AS A CO-SPONSOR                    VIVERITO              
   97-05-08  S  ADDED AS A CO-SPONSOR                    SHADID                
   97-05-08  S  ADDED AS A CO-SPONSOR                    HAWKINSON             
   97-05-08  S  THIRD READING - PASSED                   056-000-000           
   97-05-08  H  PASSED BOTH HOUSES                                             
   97-06-06  H  SENT TO THE GOVERNOR                                           
   97-08-01  H  GOVERNOR VETOED                                                
   97-08-01  H  PLACED CALENDAR TOTAL VETO               OCTOBER 28, 1997      
   97-10-16  H  MOTION FILED OVERRIDE GOVERNOR VETO      #1/KUBIK              
   97-10-16  H  PLACED CALENDAR TOTAL VETO               OCTOBER 28, 1997      
   97-10-30  H  TOTAL VETO STANDS                                              

   END OF INQUIRY 



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