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92_HB4998
LRB9214105SMdv
1 AN ACT regarding taxation.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 5. The State Finance Act is amended by changing
5 Sections 6z-18 and 6z-20 as follows:
6 (30 ILCS 105/6z-18) (from Ch. 127, par. 142z-18)
7 Sec. 6z-18. A portion of the money paid into the Local
8 Government Tax Fund from sales of food for human consumption
9 which is to be consumed off the premises where it is sold
10 (other than alcoholic beverages, soft drinks and food which
11 has been prepared for immediate consumption) and prescription
12 and nonprescription medicines, drugs, medical appliances and
13 insulin, urine testing materials, syringes and needles used
14 by diabetics, which occurred in municipalities, shall be
15 distributed to each municipality based upon the sales which
16 occurred in that municipality. The remainder shall be
17 distributed to each county based upon the sales which
18 occurred in the unincorporated area of that county.
19 A portion of the money paid into the Local Government Tax
20 Fund from the 6.25% general use tax rate on the selling price
21 of tangible personal property which is purchased outside
22 Illinois at retail from a retailer and which is titled or
23 registered by any agency of this State's government shall be
24 distributed to municipalities as provided in this paragraph.
25 Each municipality shall receive the amount attributable to
26 sales for which Illinois addresses for titling or
27 registration purposes are given as being in such
28 municipality. The remainder of the money paid into the Local
29 Government Tax Fund from such sales shall be distributed to
30 counties. Each county shall receive the amount attributable
31 to sales for which Illinois addresses for titling or
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1 registration purposes are given as being located in the
2 unincorporated area of such county.
3 A portion of the money paid into the Local Government Tax
4 Fund from the 6.25% general rate (and, beginning July 1, 2000
5 and through December 31, 2000, the 1.25% rate on motor fuel
6 and gasohol and, beginning July 1, 2002, the 1.25% rate on
7 textbooks required for use at State universities and public
8 community colleges) on sales subject to taxation under the
9 Retailers' Occupation Tax Act and the Service Occupation Tax
10 Act, which occurred in municipalities, shall be distributed
11 to each municipality, based upon the sales which occurred in
12 that municipality. The remainder shall be distributed to each
13 county, based upon the sales which occurred in the
14 unincorporated area of such county.
15 For the purpose of determining allocation to the local
16 government unit, a retail sale by a producer of coal or other
17 mineral mined in Illinois is a sale at retail at the place
18 where the coal or other mineral mined in Illinois is
19 extracted from the earth. This paragraph does not apply to
20 coal or other mineral when it is delivered or shipped by the
21 seller to the purchaser at a point outside Illinois so that
22 the sale is exempt under the United States Constitution as a
23 sale in interstate or foreign commerce.
24 Whenever the Department determines that a refund of money
25 paid into the Local Government Tax Fund should be made to a
26 claimant instead of issuing a credit memorandum, the
27 Department shall notify the State Comptroller, who shall
28 cause the order to be drawn for the amount specified, and to
29 the person named, in such notification from the Department.
30 Such refund shall be paid by the State Treasurer out of the
31 Local Government Tax Fund.
32 On or before the 25th day of each calendar month, the
33 Department shall prepare and certify to the Comptroller the
34 disbursement of stated sums of money to named municipalities
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1 and counties, the municipalities and counties to be those
2 entitled to distribution of taxes or penalties paid to the
3 Department during the second preceding calendar month. The
4 amount to be paid to each municipality or county shall be the
5 amount (not including credit memoranda) collected during the
6 second preceding calendar month by the Department and paid
7 into the Local Government Tax Fund, plus an amount the
8 Department determines is necessary to offset any amounts
9 which were erroneously paid to a different taxing body, and
10 not including an amount equal to the amount of refunds made
11 during the second preceding calendar month by the Department,
12 and not including any amount which the Department determines
13 is necessary to offset any amounts which are payable to a
14 different taxing body but were erroneously paid to the
15 municipality or county. Within 10 days after receipt, by the
16 Comptroller, of the disbursement certification to the
17 municipalities and counties, provided for in this Section to
18 be given to the Comptroller by the Department, the
19 Comptroller shall cause the orders to be drawn for the
20 respective amounts in accordance with the directions
21 contained in such certification.
22 When certifying the amount of monthly disbursement to a
23 municipality or county under this Section, the Department
24 shall increase or decrease that amount by an amount necessary
25 to offset any misallocation of previous disbursements. The
26 offset amount shall be the amount erroneously disbursed
27 within the 6 months preceding the time a misallocation is
28 discovered.
29 The provisions directing the distributions from the
30 special fund in the State Treasury provided for in this
31 Section shall constitute an irrevocable and continuing
32 appropriation of all amounts as provided herein. The State
33 Treasurer and State Comptroller are hereby authorized to make
34 distributions as provided in this Section.
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1 In construing any development, redevelopment, annexation,
2 preannexation or other lawful agreement in effect prior to
3 September 1, 1990, which describes or refers to receipts from
4 a county or municipal retailers' occupation tax, use tax or
5 service occupation tax which now cannot be imposed, such
6 description or reference shall be deemed to include the
7 replacement revenue for such abolished taxes, distributed
8 from the Local Government Tax Fund.
9 (Source: P.A. 90-491, eff. 1-1-98; 91-51, eff. 6-30-99;
10 91-872, eff. 7-1-00.)
11 (30 ILCS 105/6z-20) (from Ch. 127, par. 142z-20)
12 Sec. 6z-20. Of the money received from the 6.25% general
13 rate (and, beginning July 1, 2000 and through December 31,
14 2000, the 1.25% rate on motor fuel and gasohol and, beginning
15 July 1, 2002, the 1.25% rate on textbooks required for use at
16 State universities and public community colleges) on sales
17 subject to taxation under the Retailers' Occupation Tax Act
18 and Service Occupation Tax Act and paid into the County and
19 Mass Transit District Fund, distribution to the Regional
20 Transportation Authority tax fund, created pursuant to
21 Section 4.03 of the Regional Transportation Authority Act,
22 for deposit therein shall be made based upon the retail sales
23 occurring in a county having more than 3,000,000 inhabitants.
24 The remainder shall be distributed to each county having
25 3,000,000 or fewer inhabitants based upon the retail sales
26 occurring in each such county.
27 For the purpose of determining allocation to the local
28 government unit, a retail sale by a producer of coal or other
29 mineral mined in Illinois is a sale at retail at the place
30 where the coal or other mineral mined in Illinois is
31 extracted from the earth. This paragraph does not apply to
32 coal or other mineral when it is delivered or shipped by the
33 seller to the purchaser at a point outside Illinois so that
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1 the sale is exempt under the United States Constitution as a
2 sale in interstate or foreign commerce.
3 Of the money received from the 6.25% general use tax rate
4 on tangible personal property which is purchased outside
5 Illinois at retail from a retailer and which is titled or
6 registered by any agency of this State's government and paid
7 into the County and Mass Transit District Fund, the amount
8 for which Illinois addresses for titling or registration
9 purposes are given as being in each county having more than
10 3,000,000 inhabitants shall be distributed into the Regional
11 Transportation Authority tax fund, created pursuant to
12 Section 4.03 of the Regional Transportation Authority Act.
13 The remainder of the money paid from such sales shall be
14 distributed to each county based on sales for which Illinois
15 addresses for titling or registration purposes are given as
16 being located in the county. Any money paid into the
17 Regional Transportation Authority Occupation and Use Tax
18 Replacement Fund from the County and Mass Transit District
19 Fund prior to January 14, 1991, which has not been paid to
20 the Authority prior to that date, shall be transferred to the
21 Regional Transportation Authority tax fund.
22 Whenever the Department determines that a refund of money
23 paid into the County and Mass Transit District Fund should be
24 made to a claimant instead of issuing a credit memorandum,
25 the Department shall notify the State Comptroller, who shall
26 cause the order to be drawn for the amount specified, and to
27 the person named, in such notification from the Department.
28 Such refund shall be paid by the State Treasurer out of the
29 County and Mass Transit District Fund.
30 On or before the 25th day of each calendar month, the
31 Department shall prepare and certify to the Comptroller the
32 disbursement of stated sums of money to the Regional
33 Transportation Authority and to named counties, the counties
34 to be those entitled to distribution, as hereinabove
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1 provided, of taxes or penalties paid to the Department during
2 the second preceding calendar month. The amount to be paid
3 to the Regional Transportation Authority and each county
4 having 3,000,000 or fewer inhabitants shall be the amount
5 (not including credit memoranda) collected during the second
6 preceding calendar month by the Department and paid into the
7 County and Mass Transit District Fund, plus an amount the
8 Department determines is necessary to offset any amounts
9 which were erroneously paid to a different taxing body, and
10 not including an amount equal to the amount of refunds made
11 during the second preceding calendar month by the Department,
12 and not including any amount which the Department determines
13 is necessary to offset any amounts which were payable to a
14 different taxing body but were erroneously paid to the
15 Regional Transportation Authority or county. Within 10 days
16 after receipt, by the Comptroller, of the disbursement
17 certification to the Regional Transportation Authority and
18 counties, provided for in this Section to be given to the
19 Comptroller by the Department, the Comptroller shall cause
20 the orders to be drawn for the respective amounts in
21 accordance with the directions contained in such
22 certification.
23 When certifying the amount of a monthly disbursement to
24 the Regional Transportation Authority or to a county under
25 this Section, the Department shall increase or decrease that
26 amount by an amount necessary to offset any misallocation of
27 previous disbursements. The offset amount shall be the
28 amount erroneously disbursed within the 6 months preceding
29 the time a misallocation is discovered.
30 The provisions directing the distributions from the
31 special fund in the State Treasury provided for in this
32 Section and from the Regional Transportation Authority tax
33 fund created by Section 4.03 of the Regional Transportation
34 Authority Act shall constitute an irrevocable and continuing
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1 appropriation of all amounts as provided herein. The State
2 Treasurer and State Comptroller are hereby authorized to make
3 distributions as provided in this Section.
4 In construing any development, redevelopment, annexation,
5 preannexation or other lawful agreement in effect prior to
6 September 1, 1990, which describes or refers to receipts from
7 a county or municipal retailers' occupation tax, use tax or
8 service occupation tax which now cannot be imposed, such
9 description or reference shall be deemed to include the
10 replacement revenue for such abolished taxes, distributed
11 from the County and Mass Transit District Fund or Local
12 Government Distributive Fund, as the case may be.
13 (Source: P.A. 90-491, eff. 1-1-98; 91-872, eff. 7-1-00.)
14 Section 10. The Use Tax Act is amended by changing
15 Sections 3-10 and 9 as follows:
16 (35 ILCS 105/3-10) (from Ch. 120, par. 439.3-10)
17 Sec. 3-10. Rate of tax. Unless otherwise provided in
18 this Section, the tax imposed by this Act is at the rate of
19 6.25% of either the selling price or the fair market value,
20 if any, of the tangible personal property. In all cases
21 where property functionally used or consumed is the same as
22 the property that was purchased at retail, then the tax is
23 imposed on the selling price of the property. In all cases
24 where property functionally used or consumed is a by-product
25 or waste product that has been refined, manufactured, or
26 produced from property purchased at retail, then the tax is
27 imposed on the lower of the fair market value, if any, of the
28 specific property so used in this State or on the selling
29 price of the property purchased at retail. For purposes of
30 this Section "fair market value" means the price at which
31 property would change hands between a willing buyer and a
32 willing seller, neither being under any compulsion to buy or
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1 sell and both having reasonable knowledge of the relevant
2 facts. The fair market value shall be established by Illinois
3 sales by the taxpayer of the same property as that
4 functionally used or consumed, or if there are no such sales
5 by the taxpayer, then comparable sales or purchases of
6 property of like kind and character in Illinois.
7 Beginning on July 1, 2000 and through December 31, 2000,
8 with respect to motor fuel, as defined in Section 1.1 of the
9 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40
10 of the Use Tax Act, the tax is imposed at the rate of 1.25%.
11 With respect to gasohol, the tax imposed by this Act
12 applies to 70% of the proceeds of sales made on or after
13 January 1, 1990, and before July 1, 2003, and to 100% of the
14 proceeds of sales made thereafter.
15 Beginning July 1, 2002, with respect to textbooks
16 required for use at State universities and public community
17 colleges, the tax is imposed at the rate of 1.25%. The
18 Department may adopt rules necessary to implement and
19 administer the 1.25% rate on textbooks.
20 With respect to food for human consumption that is to be
21 consumed off the premises where it is sold (other than
22 alcoholic beverages, soft drinks, and food that has been
23 prepared for immediate consumption) and prescription and
24 nonprescription medicines, drugs, medical appliances,
25 modifications to a motor vehicle for the purpose of rendering
26 it usable by a disabled person, and insulin, urine testing
27 materials, syringes, and needles used by diabetics, for human
28 use, the tax is imposed at the rate of 1%. For the purposes
29 of this Section, the term "soft drinks" means any complete,
30 finished, ready-to-use, non-alcoholic drink, whether
31 carbonated or not, including but not limited to soda water,
32 cola, fruit juice, vegetable juice, carbonated water, and all
33 other preparations commonly known as soft drinks of whatever
34 kind or description that are contained in any closed or
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1 sealed bottle, can, carton, or container, regardless of size.
2 "Soft drinks" does not include coffee, tea, non-carbonated
3 water, infant formula, milk or milk products as defined in
4 the Grade A Pasteurized Milk and Milk Products Act, or drinks
5 containing 50% or more natural fruit or vegetable juice.
6 Notwithstanding any other provisions of this Act, "food
7 for human consumption that is to be consumed off the premises
8 where it is sold" includes all food sold through a vending
9 machine, except soft drinks and food products that are
10 dispensed hot from a vending machine, regardless of the
11 location of the vending machine.
12 If the property that is purchased at retail from a
13 retailer is acquired outside Illinois and used outside
14 Illinois before being brought to Illinois for use here and is
15 taxable under this Act, the "selling price" on which the tax
16 is computed shall be reduced by an amount that represents a
17 reasonable allowance for depreciation for the period of prior
18 out-of-state use.
19 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
20 91-51, eff. 6-30-99; 91-872, eff. 7-1-00.)
21 (35 ILCS 105/9) (from Ch. 120, par. 439.9)
22 Sec. 9. Except as to motor vehicles, watercraft,
23 aircraft, and trailers that are required to be registered
24 with an agency of this State, each retailer required or
25 authorized to collect the tax imposed by this Act shall pay
26 to the Department the amount of such tax (except as otherwise
27 provided) at the time when he is required to file his return
28 for the period during which such tax was collected, less a
29 discount of 2.1% prior to January 1, 1990, and 1.75% on and
30 after January 1, 1990, or $5 per calendar year, whichever is
31 greater, which is allowed to reimburse the retailer for
32 expenses incurred in collecting the tax, keeping records,
33 preparing and filing returns, remitting the tax and supplying
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1 data to the Department on request. In the case of retailers
2 who report and pay the tax on a transaction by transaction
3 basis, as provided in this Section, such discount shall be
4 taken with each such tax remittance instead of when such
5 retailer files his periodic return. A retailer need not
6 remit that part of any tax collected by him to the extent
7 that he is required to remit and does remit the tax imposed
8 by the Retailers' Occupation Tax Act, with respect to the
9 sale of the same property.
10 Where such tangible personal property is sold under a
11 conditional sales contract, or under any other form of sale
12 wherein the payment of the principal sum, or a part thereof,
13 is extended beyond the close of the period for which the
14 return is filed, the retailer, in collecting the tax (except
15 as to motor vehicles, watercraft, aircraft, and trailers that
16 are required to be registered with an agency of this State),
17 may collect for each tax return period, only the tax
18 applicable to that part of the selling price actually
19 received during such tax return period.
20 Except as provided in this Section, on or before the
21 twentieth day of each calendar month, such retailer shall
22 file a return for the preceding calendar month. Such return
23 shall be filed on forms prescribed by the Department and
24 shall furnish such information as the Department may
25 reasonably require.
26 The Department may require returns to be filed on a
27 quarterly basis. If so required, a return for each calendar
28 quarter shall be filed on or before the twentieth day of the
29 calendar month following the end of such calendar quarter.
30 The taxpayer shall also file a return with the Department for
31 each of the first two months of each calendar quarter, on or
32 before the twentieth day of the following calendar month,
33 stating:
34 1. The name of the seller;
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1 2. The address of the principal place of business
2 from which he engages in the business of selling tangible
3 personal property at retail in this State;
4 3. The total amount of taxable receipts received by
5 him during the preceding calendar month from sales of
6 tangible personal property by him during such preceding
7 calendar month, including receipts from charge and time
8 sales, but less all deductions allowed by law;
9 4. The amount of credit provided in Section 2d of
10 this Act;
11 5. The amount of tax due;
12 5-5. The signature of the taxpayer; and
13 6. Such other reasonable information as the
14 Department may require.
15 If a taxpayer fails to sign a return within 30 days after
16 the proper notice and demand for signature by the Department,
17 the return shall be considered valid and any amount shown to
18 be due on the return shall be deemed assessed.
19 Beginning October 1, 1993, a taxpayer who has an average
20 monthly tax liability of $150,000 or more shall make all
21 payments required by rules of the Department by electronic
22 funds transfer. Beginning October 1, 1994, a taxpayer who has
23 an average monthly tax liability of $100,000 or more shall
24 make all payments required by rules of the Department by
25 electronic funds transfer. Beginning October 1, 1995, a
26 taxpayer who has an average monthly tax liability of $50,000
27 or more shall make all payments required by rules of the
28 Department by electronic funds transfer. Beginning October 1,
29 2000, a taxpayer who has an annual tax liability of $200,000
30 or more shall make all payments required by rules of the
31 Department by electronic funds transfer. The term "annual
32 tax liability" shall be the sum of the taxpayer's liabilities
33 under this Act, and under all other State and local
34 occupation and use tax laws administered by the Department,
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1 for the immediately preceding calendar year. The term
2 "average monthly tax liability" means the sum of the
3 taxpayer's liabilities under this Act, and under all other
4 State and local occupation and use tax laws administered by
5 the Department, for the immediately preceding calendar year
6 divided by 12. Beginning on October 1, 2002, a taxpayer who
7 has a tax liability in the amount set forth in subsection (b)
8 of Section 2505-210 of the Department of Revenue Law shall
9 make all payments required by rules of the Department by
10 electronic funds transfer.
11 Before August 1 of each year beginning in 1993, the
12 Department shall notify all taxpayers required to make
13 payments by electronic funds transfer. All taxpayers required
14 to make payments by electronic funds transfer shall make
15 those payments for a minimum of one year beginning on October
16 1.
17 Any taxpayer not required to make payments by electronic
18 funds transfer may make payments by electronic funds transfer
19 with the permission of the Department.
20 All taxpayers required to make payment by electronic
21 funds transfer and any taxpayers authorized to voluntarily
22 make payments by electronic funds transfer shall make those
23 payments in the manner authorized by the Department.
24 The Department shall adopt such rules as are necessary to
25 effectuate a program of electronic funds transfer and the
26 requirements of this Section.
27 Before October 1, 2000, if the taxpayer's average monthly
28 tax liability to the Department under this Act, the
29 Retailers' Occupation Tax Act, the Service Occupation Tax
30 Act, the Service Use Tax Act was $10,000 or more during the
31 preceding 4 complete calendar quarters, he shall file a
32 return with the Department each month by the 20th day of the
33 month next following the month during which such tax
34 liability is incurred and shall make payments to the
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1 Department on or before the 7th, 15th, 22nd and last day of
2 the month during which such liability is incurred. On and
3 after October 1, 2000, if the taxpayer's average monthly tax
4 liability to the Department under this Act, the Retailers'
5 Occupation Tax Act, the Service Occupation Tax Act, and the
6 Service Use Tax Act was $20,000 or more during the preceding
7 4 complete calendar quarters, he shall file a return with the
8 Department each month by the 20th day of the month next
9 following the month during which such tax liability is
10 incurred and shall make payment to the Department on or
11 before the 7th, 15th, 22nd and last day of the month during
12 which such liability is incurred. If the month during which
13 such tax liability is incurred began prior to January 1,
14 1985, each payment shall be in an amount equal to 1/4 of the
15 taxpayer's actual liability for the month or an amount set by
16 the Department not to exceed 1/4 of the average monthly
17 liability of the taxpayer to the Department for the preceding
18 4 complete calendar quarters (excluding the month of highest
19 liability and the month of lowest liability in such 4 quarter
20 period). If the month during which such tax liability is
21 incurred begins on or after January 1, 1985, and prior to
22 January 1, 1987, each payment shall be in an amount equal to
23 22.5% of the taxpayer's actual liability for the month or
24 27.5% of the taxpayer's liability for the same calendar month
25 of the preceding year. If the month during which such tax
26 liability is incurred begins on or after January 1, 1987, and
27 prior to January 1, 1988, each payment shall be in an amount
28 equal to 22.5% of the taxpayer's actual liability for the
29 month or 26.25% 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, 1988, and prior to January 1, 1989, or begins on
33 or after January 1, 1996, each payment shall be in an amount
34 equal to 22.5% of the taxpayer's actual liability for the
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1 month or 25% of the taxpayer's liability for the same
2 calendar month of the preceding year. If the month during
3 which such tax liability is incurred begins on or after
4 January 1, 1989, and prior to January 1, 1996, each payment
5 shall be in an amount equal to 22.5% of the taxpayer's actual
6 liability for the month or 25% of the taxpayer's liability
7 for the same calendar month of the preceding year or 100% of
8 the taxpayer's actual liability for the quarter monthly
9 reporting period. The amount of such quarter monthly
10 payments shall be credited against the final tax liability of
11 the taxpayer's return for that month. Before October 1,
12 2000, once applicable, the requirement of the making of
13 quarter monthly payments to the Department shall continue
14 until such taxpayer's average monthly liability to the
15 Department during the preceding 4 complete calendar quarters
16 (excluding the month of highest liability and the month of
17 lowest liability) is less than $9,000, or until such
18 taxpayer's average monthly liability to the Department as
19 computed for each calendar quarter of the 4 preceding
20 complete calendar quarter period is less than $10,000.
21 However, if a taxpayer can show the Department that a
22 substantial change in the taxpayer's business has occurred
23 which causes the taxpayer to anticipate that his average
24 monthly tax liability for the reasonably foreseeable future
25 will fall below the $10,000 threshold stated above, then such
26 taxpayer may petition the Department for change in such
27 taxpayer's reporting status. On and after October 1, 2000,
28 once applicable, the requirement of the making of quarter
29 monthly payments to the Department shall continue until such
30 taxpayer's average monthly liability to the Department during
31 the preceding 4 complete calendar quarters (excluding the
32 month of highest liability and the month of lowest liability)
33 is less than $19,000 or until such taxpayer's average monthly
34 liability to the Department as computed for each calendar
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1 quarter of the 4 preceding complete calendar quarter period
2 is less than $20,000. However, if a taxpayer can show the
3 Department that a substantial change in the taxpayer's
4 business has occurred which causes the taxpayer to anticipate
5 that his average monthly tax liability for the reasonably
6 foreseeable future will fall below the $20,000 threshold
7 stated above, then such taxpayer may petition the Department
8 for a change in such taxpayer's reporting status. The
9 Department shall change such taxpayer's reporting status
10 unless it finds that such change is seasonal in nature and
11 not likely to be long term. If any such quarter monthly
12 payment is not paid at the time or in the amount required by
13 this Section, then the taxpayer shall be liable for penalties
14 and interest on the difference between the minimum amount due
15 and the amount of such quarter monthly payment actually and
16 timely paid, except insofar as the taxpayer has previously
17 made payments for that month to the Department in excess of
18 the minimum payments previously due as provided in this
19 Section. The Department shall make reasonable rules and
20 regulations to govern the quarter monthly payment amount and
21 quarter monthly payment dates for taxpayers who file on other
22 than a calendar monthly basis.
23 If any such payment provided for in this Section exceeds
24 the taxpayer's liabilities under this Act, the Retailers'
25 Occupation Tax Act, the Service Occupation Tax Act and the
26 Service Use Tax Act, as shown by an original monthly return,
27 the Department shall issue to the taxpayer a credit
28 memorandum no later than 30 days after the date of payment,
29 which memorandum may be submitted by the taxpayer to the
30 Department in payment of tax liability subsequently to be
31 remitted by the taxpayer to the Department or be assigned by
32 the taxpayer to a similar taxpayer under this Act, the
33 Retailers' Occupation Tax Act, the Service Occupation Tax Act
34 or the Service Use Tax Act, in accordance with reasonable
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1 rules and regulations to be prescribed by the Department,
2 except that if such excess payment is shown on an original
3 monthly return and is made after December 31, 1986, no credit
4 memorandum shall be issued, unless requested by the taxpayer.
5 If no such request is made, the taxpayer may credit such
6 excess payment against tax liability subsequently to be
7 remitted by the taxpayer to the Department under this Act,
8 the Retailers' Occupation Tax Act, the Service Occupation Tax
9 Act or the Service Use Tax Act, in accordance with reasonable
10 rules and regulations prescribed by the Department. If the
11 Department subsequently determines that all or any part of
12 the credit taken was not actually due to the taxpayer, the
13 taxpayer's 2.1% or 1.75% vendor's discount shall be reduced
14 by 2.1% or 1.75% of the difference between the credit taken
15 and that actually due, and the taxpayer shall be liable for
16 penalties and interest on such difference.
17 If the retailer is otherwise required to file a monthly
18 return and if the retailer's average monthly tax liability to
19 the Department does not exceed $200, the Department may
20 authorize his returns to be filed on a quarter annual basis,
21 with the return for January, February, and March of a given
22 year being due by April 20 of such year; with the return for
23 April, May and June of a given year being due by July 20 of
24 such year; with the return for July, August and September of
25 a given year being due by October 20 of such year, and with
26 the return for October, November and December of a given year
27 being due by January 20 of the following year.
28 If the retailer is otherwise required to file a monthly
29 or quarterly return and if the retailer's average monthly tax
30 liability to the Department does not exceed $50, the
31 Department may authorize his returns to be filed on an annual
32 basis, with the return for a given year being due by January
33 20 of the following year.
34 Such quarter annual and annual returns, as to form and
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1 substance, shall be subject to the same requirements as
2 monthly returns.
3 Notwithstanding any other provision in this Act
4 concerning the time within which a retailer may file his
5 return, in the case of any retailer who ceases to engage in a
6 kind of business which makes him responsible for filing
7 returns under this Act, such retailer shall file a final
8 return under this Act with the Department not more than one
9 month after discontinuing such business.
10 In addition, with respect to motor vehicles, watercraft,
11 aircraft, and trailers that are required to be registered
12 with an agency of this State, every retailer selling this
13 kind of tangible personal property shall file, with the
14 Department, upon a form to be prescribed and supplied by the
15 Department, a separate return for each such item of tangible
16 personal property which the retailer sells, except that if,
17 in the same transaction, (i) a retailer of aircraft,
18 watercraft, motor vehicles or trailers transfers more than
19 one aircraft, watercraft, motor vehicle or trailer to another
20 aircraft, watercraft, motor vehicle or trailer retailer for
21 the purpose of resale or (ii) a retailer of aircraft,
22 watercraft, motor vehicles, or trailers transfers more than
23 one aircraft, watercraft, motor vehicle, or trailer to a
24 purchaser for use as a qualifying rolling stock as provided
25 in Section 3-55 of this Act, then that seller 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 August 1, 2000, each month the Department shall
16 pay into the State and Local Sales Tax Reform Fund 100% of
17 the net revenue realized for the preceding month from the
18 1.25% rate on the selling price of motor fuel and gasohol.
19 Beginning August 1, 2002, each month the Department shall
20 pay into the State and Local Sales Tax Reform Fund 100% of
21 the net revenue realized for the preceding month from the
22 1.25% rate on the selling price of textbooks required for use
23 at State universities and public community colleges.
24 Beginning January 1, 1990, each month the Department
25 shall pay into the Local Government Tax Fund 16% of the net
26 revenue realized for the preceding month from the 6.25%
27 general rate on the selling price of tangible personal
28 property which is purchased outside Illinois at retail from a
29 retailer and which is titled or registered by an agency of
30 this State's government.
31 Of the remainder of the moneys received by the Department
32 pursuant to this Act, (a) 1.75% thereof shall be paid into
33 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
34 and on and after July 1, 1989, 3.8% thereof shall be paid
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1 into the Build Illinois Fund; provided, however, that if in
2 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
3 as the case may be, of the moneys received by the Department
4 and required to be paid into the Build Illinois Fund pursuant
5 to Section 3 of the Retailers' Occupation Tax Act, Section 9
6 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
7 Section 9 of the Service Occupation Tax Act, such Acts being
8 hereinafter called the "Tax Acts" and such aggregate of 2.2%
9 or 3.8%, as the case may be, of moneys being hereinafter
10 called the "Tax Act Amount", and (2) the amount transferred
11 to the Build Illinois Fund from the State and Local Sales Tax
12 Reform Fund shall be less than the Annual Specified Amount
13 (as defined in Section 3 of the Retailers' Occupation Tax
14 Act), an amount equal to the difference shall be immediately
15 paid into the Build Illinois Fund from other moneys received
16 by the Department pursuant to the Tax Acts; and further
17 provided, that if on the last business day of any month the
18 sum of (1) the Tax Act Amount required to be deposited into
19 the Build Illinois Bond Account in the Build Illinois Fund
20 during such month and (2) the amount transferred during such
21 month to the Build Illinois Fund from the State and Local
22 Sales Tax Reform Fund shall have been less than 1/12 of the
23 Annual Specified Amount, an amount equal to the difference
24 shall be immediately paid into the Build Illinois Fund from
25 other moneys received by the Department pursuant to the Tax
26 Acts; and, further provided, that in no event shall the
27 payments required under the preceding proviso result in
28 aggregate payments into the Build Illinois Fund pursuant to
29 this clause (b) for any fiscal year in excess of the greater
30 of (i) the Tax Act Amount or (ii) the Annual Specified Amount
31 for such fiscal year; and, further provided, that the amounts
32 payable into the Build Illinois Fund under this clause (b)
33 shall be payable only until such time as the aggregate amount
34 on deposit under each trust indenture securing Bonds issued
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1 and outstanding pursuant to the Build Illinois Bond Act is
2 sufficient, taking into account any future investment income,
3 to fully provide, in accordance with such indenture, for the
4 defeasance of or the payment of the principal of, premium, if
5 any, and interest on the Bonds secured by such indenture and
6 on any Bonds expected to be issued thereafter and all fees
7 and costs payable with respect thereto, all as certified by
8 the Director of the Bureau of the Budget. If on the last
9 business day of any month in which Bonds are outstanding
10 pursuant to the Build Illinois Bond Act, the aggregate of the
11 moneys deposited in the Build Illinois Bond Account in the
12 Build Illinois Fund in such month shall be less than the
13 amount required to be transferred in such month from the
14 Build Illinois Bond Account to the Build Illinois Bond
15 Retirement and Interest Fund pursuant to Section 13 of the
16 Build Illinois Bond Act, an amount equal to such deficiency
17 shall be immediately paid from other moneys received by the
18 Department pursuant to the Tax Acts to the Build Illinois
19 Fund; provided, however, that any amounts paid to the Build
20 Illinois Fund in any fiscal year pursuant to this sentence
21 shall be deemed to constitute payments pursuant to clause (b)
22 of the preceding sentence and shall reduce the amount
23 otherwise payable for such fiscal year pursuant to clause (b)
24 of the preceding sentence. The moneys received by the
25 Department pursuant to this Act and required to be deposited
26 into the Build Illinois Fund are subject to the pledge, claim
27 and charge set forth in Section 12 of the Build Illinois Bond
28 Act.
29 Subject to payment of amounts into the Build Illinois
30 Fund as provided in the preceding paragraph or in any
31 amendment thereto hereafter enacted, the following specified
32 monthly installment of the amount requested in the
33 certificate of the Chairman of the Metropolitan Pier and
34 Exposition Authority provided under Section 8.25f of the
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1 State Finance Act, but not in excess of the sums designated
2 as "Total Deposit", shall be deposited in the aggregate from
3 collections under Section 9 of the Use Tax Act, Section 9 of
4 the Service Use Tax Act, Section 9 of the Service Occupation
5 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
6 into the McCormick Place Expansion Project Fund in the
7 specified fiscal years.
8 Fiscal Year Total Deposit
9 1993 $0
10 1994 53,000,000
11 1995 58,000,000
12 1996 61,000,000
13 1997 64,000,000
14 1998 68,000,000
15 1999 71,000,000
16 2000 75,000,000
17 2001 80,000,000
18 2002 93,000,000
19 2003 99,000,000
20 2004 103,000,000
21 2005 108,000,000
22 2006 113,000,000
23 2007 119,000,000
24 2008 126,000,000
25 2009 132,000,000
26 2010 139,000,000
27 2011 146,000,000
28 2012 153,000,000
29 2013 161,000,000
30 2014 170,000,000
31 2015 179,000,000
32 2016 189,000,000
33 2017 199,000,000
34 2018 210,000,000
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1 2019 221,000,000
2 2020 233,000,000
3 2021 246,000,000
4 2022 260,000,000
5 2023 and 275,000,000
6 each fiscal year
7 thereafter that bonds
8 are outstanding under
9 Section 13.2 of the
10 Metropolitan Pier and
11 Exposition Authority
12 Act, but not after fiscal year 2042.
13 Beginning July 20, 1993 and in each month of each fiscal
14 year thereafter, one-eighth of the amount requested in the
15 certificate of the Chairman of the Metropolitan Pier and
16 Exposition Authority for that fiscal year, less the amount
17 deposited into the McCormick Place Expansion Project Fund by
18 the State Treasurer in the respective month under subsection
19 (g) of Section 13 of the Metropolitan Pier and Exposition
20 Authority Act, plus cumulative deficiencies in the deposits
21 required under this Section for previous months and years,
22 shall be deposited into the McCormick Place Expansion Project
23 Fund, until the full amount requested for the fiscal year,
24 but not in excess of the amount specified above as "Total
25 Deposit", has been deposited.
26 Subject to payment of amounts into the Build Illinois
27 Fund and the McCormick Place Expansion Project Fund pursuant
28 to the preceding paragraphs or in any amendment thereto
29 hereafter enacted, each month the Department shall pay into
30 the Local Government Distributive Fund .4% of the net revenue
31 realized for the preceding month from the 5% general rate, or
32 .4% of 80% of the net revenue realized for the preceding
33 month from the 6.25% general rate, as the case may be, on the
34 selling price of tangible personal property which amount
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1 shall, subject to appropriation, be distributed as provided
2 in Section 2 of the State Revenue Sharing Act. No payments or
3 distributions pursuant to this paragraph shall be made if the
4 tax imposed by this Act on photoprocessing products is
5 declared unconstitutional, or if the proceeds from such tax
6 are unavailable for distribution because of litigation.
7 Subject to payment of amounts into the Build Illinois
8 Fund, the McCormick Place Expansion Project Fund, and the
9 Local Government Distributive Fund pursuant to the preceding
10 paragraphs or in any amendments thereto hereafter enacted,
11 beginning July 1, 1993, the Department shall each month pay
12 into the Illinois Tax Increment Fund 0.27% of 80% of the net
13 revenue realized for the preceding month from the 6.25%
14 general rate on the selling price of tangible personal
15 property.
16 Subject to payment of amounts into the Build Illinois
17 Fund, the McCormick Place Expansion Project Fund, and the
18 Local Government Distributive Fund pursuant to the preceding
19 paragraphs or in any amendments thereto hereafter enacted,
20 beginning with the receipt of the first report of taxes paid
21 by an eligible business and continuing for a 25-year period,
22 the Department shall each month pay into the Energy
23 Infrastructure Fund 80% of the net revenue realized from the
24 6.25% general rate on the selling price of Illinois-mined
25 coal that was sold to an eligible business. For purposes of
26 this paragraph, the term "eligible business" means a new
27 electric generating facility certified pursuant to Section
28 605-332 of the Department of Commerce and Community Affairs
29 Law of the Civil Administrative Code of Illinois.
30 Of the remainder of the moneys received by the Department
31 pursuant to this Act, 75% thereof shall be paid into the
32 State Treasury and 25% shall be reserved in a special account
33 and used only for the transfer to the Common School Fund as
34 part of the monthly transfer from the General Revenue Fund in
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1 accordance with Section 8a of the State Finance Act.
2 As soon as possible after the first day of each month,
3 upon certification of the Department of Revenue, the
4 Comptroller shall order transferred and the Treasurer shall
5 transfer from the General Revenue Fund to the Motor Fuel Tax
6 Fund an amount equal to 1.7% of 80% of the net revenue
7 realized under this Act for the second preceding month.
8 Beginning April 1, 2000, this transfer is no longer required
9 and shall not be made.
10 Net revenue realized for a month shall be the revenue
11 collected by the State pursuant to this Act, less the amount
12 paid out during that month as refunds to taxpayers for
13 overpayment of liability.
14 For greater simplicity of administration, manufacturers,
15 importers and wholesalers whose products are sold at retail
16 in Illinois by numerous retailers, and who wish to do so, may
17 assume the responsibility for accounting and paying to the
18 Department all tax accruing under this Act with respect to
19 such sales, if the retailers who are affected do not make
20 written objection to the Department to this arrangement.
21 (Source: P.A. 91-37, eff. 7-1-99; 91-51, eff. 6-30-99;
22 91-101, eff. 7-12-99; 91-541, eff. 8-13-99; 91-872, eff.
23 7-1-00; 91-901, eff. 1-1-01; 92-12, eff. 7-1-01; 92-16, eff.
24 6-28-01; 92-208, eff. 8-2-01; 92-492, eff. 1-1-02; revised
25 9-14-01.)
26 Section 15. The Service Use Tax Act is amended by
27 changing Sections 3-10 and 9 as follows:
28 (35 ILCS 110/3-10) (from Ch. 120, par. 439.33-10)
29 Sec. 3-10. Rate of tax. Unless otherwise provided in
30 this Section, the tax imposed by this Act is at the rate of
31 6.25% of the selling price of tangible personal property
32 transferred as an incident to the sale of service, but, for
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1 the purpose of computing this tax, in no event shall the
2 selling price be less than the cost price of the property to
3 the serviceman.
4 Beginning on July 1, 2000 and through December 31, 2000,
5 with respect to motor fuel, as defined in Section 1.1 of the
6 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40
7 of the Use Tax Act, the tax is imposed at the rate of 1.25%.
8 With respect to gasohol, as defined in the Use Tax Act,
9 the tax imposed by this Act applies to 70% of the selling
10 price of property transferred as an incident to the sale of
11 service on or after January 1, 1990, and before July 1, 2003,
12 and to 100% of the selling price thereafter.
13 Beginning July 1, 2002, with respect to textbooks
14 required for use at State universities and public community
15 colleges, the tax is imposed at the rate of 1.25%. The
16 Department may adopt rules necessary to implement and
17 administer the 1.25% rate on textbooks.
18 At the election of any registered serviceman made for
19 each fiscal year, sales of service in which the aggregate
20 annual cost price of tangible personal property transferred
21 as an incident to the sales of service is less than 35%, or
22 75% in the case of servicemen transferring prescription drugs
23 or servicemen engaged in graphic arts production, of the
24 aggregate annual total gross receipts from all sales of
25 service, the tax imposed by this Act shall be based on the
26 serviceman's cost price of the tangible personal property
27 transferred as an incident to the sale of those services.
28 The tax shall be imposed at the rate of 1% on food
29 prepared for immediate consumption and transferred incident
30 to a sale of service subject to this Act or the Service
31 Occupation Tax Act by an entity licensed under the Hospital
32 Licensing Act, the Nursing Home Care Act, or the Child Care
33 Act of 1969. The tax shall also be imposed at the rate of 1%
34 on food for human consumption that is to be consumed off the
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1 premises where it is sold (other than alcoholic beverages,
2 soft drinks, and food that has been prepared for immediate
3 consumption and is not otherwise included in this paragraph)
4 and prescription and nonprescription medicines, drugs,
5 medical appliances, modifications to a motor vehicle for the
6 purpose of rendering it usable by a disabled person, and
7 insulin, urine testing materials, syringes, and needles used
8 by diabetics, for human use. For the purposes of this
9 Section, the term "soft drinks" means any complete, finished,
10 ready-to-use, non-alcoholic drink, whether carbonated or not,
11 including but not limited to soda water, cola, fruit juice,
12 vegetable juice, carbonated water, and all other preparations
13 commonly known as soft drinks of whatever kind or description
14 that are contained in any closed or sealed bottle, can,
15 carton, or container, regardless of size. "Soft drinks" does
16 not include coffee, tea, non-carbonated water, infant
17 formula, milk or milk products as defined in the Grade A
18 Pasteurized Milk and Milk Products Act, or drinks containing
19 50% or more natural fruit or vegetable juice.
20 Notwithstanding any other provisions of this Act, "food
21 for human consumption that is to be consumed off the premises
22 where it is sold" includes all food sold through a vending
23 machine, except soft drinks and food products that are
24 dispensed hot from a vending machine, regardless of the
25 location of the vending machine.
26 If the property that is acquired from a serviceman is
27 acquired outside Illinois and used outside Illinois before
28 being brought to Illinois for use here and is taxable under
29 this Act, the "selling price" on which the tax is computed
30 shall be reduced by an amount that represents a reasonable
31 allowance for depreciation for the period of prior
32 out-of-state use.
33 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
34 91-51, eff. 6-30-99; 91-541, eff. 8-13-99; 91-872, eff.
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1 7-1-00.)
2 (35 ILCS 110/9) (from Ch. 120, par. 439.39)
3 Sec. 9. Each serviceman required or authorized to
4 collect the tax herein imposed shall pay to the Department
5 the amount of such tax (except as otherwise provided) at the
6 time when he is required to file his return for the period
7 during which such tax was collected, less a discount of 2.1%
8 prior to January 1, 1990 and 1.75% on and after January 1,
9 1990, or $5 per calendar year, whichever is greater, which is
10 allowed to reimburse the serviceman for expenses incurred in
11 collecting the tax, keeping records, preparing and filing
12 returns, remitting the tax and supplying data to the
13 Department on request. A serviceman need not remit that part
14 of any tax collected by him to the extent that he is required
15 to pay and does pay the tax imposed by the Service Occupation
16 Tax Act with respect to his sale of service involving the
17 incidental transfer by him of the same property.
18 Except as provided hereinafter in this Section, on or
19 before the twentieth day of each calendar month, such
20 serviceman shall file a return for the preceding calendar
21 month in accordance with reasonable Rules and Regulations to
22 be promulgated by the Department. Such return shall be filed
23 on a form prescribed by the Department and shall contain such
24 information as the Department may reasonably require.
25 The Department may require returns to be filed on a
26 quarterly basis. If so required, a return for each calendar
27 quarter shall be filed on or before the twentieth day of the
28 calendar month following the end of such calendar quarter.
29 The taxpayer shall also file a return with the Department for
30 each of the first two months of each calendar quarter, on or
31 before the twentieth day of the following calendar month,
32 stating:
33 1. The name of the seller;
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1 2. The address of the principal place of business
2 from which he engages in business as a serviceman in this
3 State;
4 3. The total amount of taxable receipts received by
5 him during the preceding calendar month, including
6 receipts from charge and time sales, but less all
7 deductions allowed by law;
8 4. The amount of credit provided in Section 2d of
9 this Act;
10 5. The amount of tax due;
11 5-5. The signature of the taxpayer; and
12 6. Such other reasonable information as the
13 Department may require.
14 If a taxpayer fails to sign a return within 30 days after
15 the proper notice and demand for signature by the Department,
16 the return shall be considered valid and any amount shown to
17 be due on the return shall be deemed assessed.
18 Beginning October 1, 1993, a taxpayer who has an average
19 monthly tax liability of $150,000 or more shall make all
20 payments required by rules of the Department by electronic
21 funds transfer. Beginning October 1, 1994, a taxpayer who
22 has an average monthly tax liability of $100,000 or more
23 shall make all payments required by rules of the Department
24 by electronic funds transfer. Beginning October 1, 1995, a
25 taxpayer who has an average monthly tax liability of $50,000
26 or more shall make all payments required by rules of the
27 Department by electronic funds transfer. Beginning October 1,
28 2000, a taxpayer who has an annual tax liability of $200,000
29 or more shall make all payments required by rules of the
30 Department by electronic funds transfer. The term "annual
31 tax liability" shall be the sum of the taxpayer's liabilities
32 under this Act, and under all other State and local
33 occupation and use tax laws administered by the Department,
34 for the immediately preceding calendar year. The term
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1 "average monthly tax liability" means the sum of the
2 taxpayer's liabilities under this Act, and under all other
3 State and local occupation and use tax laws administered by
4 the Department, for the immediately preceding calendar year
5 divided by 12. Beginning on October 1, 2002, a taxpayer who
6 has a tax liability in the amount set forth in subsection (b)
7 of Section 2505-210 of the Department of Revenue Law shall
8 make all payments required by rules of the Department by
9 electronic funds transfer.
10 Before August 1 of each year beginning in 1993, the
11 Department shall notify all taxpayers required to make
12 payments by electronic funds transfer. All taxpayers required
13 to make payments by electronic funds transfer shall make
14 those payments for a minimum of one year beginning on October
15 1.
16 Any taxpayer not required to make payments by electronic
17 funds transfer may make payments by electronic funds transfer
18 with the permission of the Department.
19 All taxpayers required to make payment by electronic
20 funds transfer and any taxpayers authorized to voluntarily
21 make payments by electronic funds transfer shall make those
22 payments in the manner authorized by the Department.
23 The Department shall adopt such rules as are necessary to
24 effectuate a program of electronic funds transfer and the
25 requirements of this Section.
26 If the serviceman is otherwise required to file a monthly
27 return and if the serviceman's average monthly tax liability
28 to the Department does not exceed $200, the Department may
29 authorize his returns to be filed on a quarter annual basis,
30 with the return for January, February and March of a given
31 year being due by April 20 of such year; with the return for
32 April, May and June of a given year being due by July 20 of
33 such year; with the return for July, August and September of
34 a given year being due by October 20 of such year, and with
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1 the return for October, November and December of a given year
2 being due by January 20 of the following year.
3 If the serviceman is otherwise required to file a monthly
4 or quarterly return and if the serviceman's average monthly
5 tax liability to the Department does not exceed $50, the
6 Department may authorize his returns to be filed on an annual
7 basis, with the return for a given year being due by January
8 20 of the following year.
9 Such quarter annual and annual returns, as to form and
10 substance, shall be subject to the same requirements as
11 monthly returns.
12 Notwithstanding any other provision in this Act
13 concerning the time within which a serviceman may file his
14 return, in the case of any serviceman who ceases to engage in
15 a kind of business which makes him responsible for filing
16 returns under this Act, such serviceman shall file a final
17 return under this Act with the Department not more than 1
18 month after discontinuing such business.
19 Where a serviceman collects the tax with respect to the
20 selling price of property which he sells and the purchaser
21 thereafter returns such property and the serviceman refunds
22 the selling price thereof to the purchaser, such serviceman
23 shall also refund, to the purchaser, the tax so collected
24 from the purchaser. When filing his return for the period in
25 which he refunds such tax to the purchaser, the serviceman
26 may deduct the amount of the tax so refunded by him to the
27 purchaser from any other Service Use Tax, Service Occupation
28 Tax, retailers' occupation tax or use tax which such
29 serviceman may be required to pay or remit to the Department,
30 as shown by such return, provided that the amount of the tax
31 to be deducted shall previously have been remitted to the
32 Department by such serviceman. If the serviceman shall not
33 previously have remitted the amount of such tax to the
34 Department, he shall be entitled to no deduction hereunder
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1 upon refunding such tax to the purchaser.
2 Any serviceman filing a return hereunder shall also
3 include the total tax upon the selling price of tangible
4 personal property purchased for use by him as an incident to
5 a sale of service, and such serviceman shall remit the amount
6 of such tax to the Department when filing such return.
7 If experience indicates such action to be practicable,
8 the Department may prescribe and furnish a combination or
9 joint return which will enable servicemen, who are required
10 to file returns hereunder and also under the Service
11 Occupation Tax Act, to furnish all the return information
12 required by both Acts on the one form.
13 Where the serviceman has more than one business
14 registered with the Department under separate registration
15 hereunder, such serviceman shall not file each return that is
16 due as a single return covering all such registered
17 businesses, but shall file separate returns for each such
18 registered business.
19 Beginning January 1, 1990, each month the Department
20 shall pay into the State and Local Tax Reform Fund, a special
21 fund in the State Treasury, the net revenue realized for the
22 preceding month from the 1% tax on sales of food for human
23 consumption which is to be consumed off the premises where it
24 is sold (other than alcoholic beverages, soft drinks and food
25 which has been prepared for immediate consumption) and
26 prescription and nonprescription medicines, drugs, medical
27 appliances and insulin, urine testing materials, syringes and
28 needles used by diabetics.
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 August 1, 2000, each month the Department shall
4 pay into the State and Local Sales Tax Reform Fund 100% of
5 the net revenue realized for the preceding month from the
6 1.25% rate on the selling price of motor fuel and gasohol.
7 Beginning August 1, 2002, each month the Department shall
8 pay into the State and Local Sales Tax Reform Fund 100% of
9 the net revenue realized for the preceding month from the
10 1.25% rate on the selling price of textbooks required for use
11 at State universities and public community colleges.
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 Section 3 of the Retailers' Occupation Tax Act, Section 9
21 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
22 Section 9 of the Service Occupation Tax Act, such Acts being
23 hereinafter called the "Tax Acts" and such aggregate of 2.2%
24 or 3.8%, as the case may be, of moneys being hereinafter
25 called the "Tax Act Amount", and (2) the amount transferred
26 to the Build Illinois Fund from the State and Local Sales Tax
27 Reform Fund shall be less than the Annual Specified Amount
28 (as defined in Section 3 of the Retailers' Occupation Tax
29 Act), an amount equal to the difference shall be immediately
30 paid into the Build Illinois Fund from other moneys received
31 by the Department pursuant to the Tax Acts; and further
32 provided, that if on the last business day of any month the
33 sum of (1) the Tax Act Amount required to be deposited into
34 the Build Illinois Bond Account in the Build Illinois Fund
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1 during such month and (2) the amount transferred during such
2 month to the Build Illinois Fund from the State and Local
3 Sales Tax Reform Fund shall have been less than 1/12 of the
4 Annual Specified Amount, an amount equal to the difference
5 shall be immediately paid into the Build Illinois Fund from
6 other moneys received by the Department pursuant to the Tax
7 Acts; and, further provided, that in no event shall the
8 payments required under the preceding proviso result in
9 aggregate payments into the Build Illinois Fund pursuant to
10 this clause (b) for any fiscal year in excess of the greater
11 of (i) the Tax Act Amount or (ii) the Annual Specified Amount
12 for such fiscal year; and, further provided, that the amounts
13 payable into the Build Illinois Fund under this clause (b)
14 shall be payable only until such time as the aggregate amount
15 on deposit under each trust indenture securing Bonds issued
16 and outstanding pursuant to the Build Illinois Bond Act is
17 sufficient, taking into account any future investment income,
18 to fully provide, in accordance with such indenture, for the
19 defeasance of or the payment of the principal of, premium, if
20 any, and interest on the Bonds secured by such indenture and
21 on any Bonds expected to be issued thereafter and all fees
22 and costs payable with respect thereto, all as certified by
23 the Director of the Bureau of the Budget. If on the last
24 business day of any month in which Bonds are outstanding
25 pursuant to the Build Illinois Bond Act, the aggregate of the
26 moneys deposited in the Build Illinois Bond Account in the
27 Build Illinois Fund in such month shall be less than the
28 amount required to be transferred in such month from the
29 Build Illinois Bond Account to the Build Illinois Bond
30 Retirement and Interest Fund pursuant to Section 13 of the
31 Build Illinois Bond Act, an amount equal to such deficiency
32 shall be immediately paid from other moneys received by the
33 Department pursuant to the Tax Acts to the Build Illinois
34 Fund; provided, however, that any amounts paid to the Build
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1 Illinois Fund in any fiscal year pursuant to this sentence
2 shall be deemed to constitute payments pursuant to clause (b)
3 of the preceding sentence and shall reduce the amount
4 otherwise payable for such fiscal year pursuant to clause (b)
5 of the preceding sentence. The moneys received by the
6 Department pursuant to this Act and required to be deposited
7 into the Build Illinois Fund are subject to the pledge, claim
8 and charge set forth in Section 12 of the Build Illinois Bond
9 Act.
10 Subject to payment of amounts into the Build Illinois
11 Fund as provided in the preceding paragraph or in any
12 amendment thereto hereafter enacted, the following specified
13 monthly installment of the amount requested in the
14 certificate of the Chairman of the Metropolitan Pier and
15 Exposition Authority provided under Section 8.25f of the
16 State Finance Act, but not in excess of the sums designated
17 as "Total Deposit", shall be deposited in the aggregate from
18 collections under Section 9 of the Use Tax Act, Section 9 of
19 the Service Use Tax Act, Section 9 of the Service Occupation
20 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
21 into the McCormick Place Expansion Project Fund in the
22 specified fiscal years.
23 Fiscal Year Total Deposit
24 1993 $0
25 1994 53,000,000
26 1995 58,000,000
27 1996 61,000,000
28 1997 64,000,000
29 1998 68,000,000
30 1999 71,000,000
31 2000 75,000,000
32 2001 80,000,000
33 2002 93,000,000
34 2003 99,000,000
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1 2004 103,000,000
2 2005 108,000,000
3 2006 113,000,000
4 2007 119,000,000
5 2008 126,000,000
6 2009 132,000,000
7 2010 139,000,000
8 2011 146,000,000
9 2012 153,000,000
10 2013 161,000,000
11 2014 170,000,000
12 2015 179,000,000
13 2016 189,000,000
14 2017 199,000,000
15 2018 210,000,000
16 2019 221,000,000
17 2020 233,000,000
18 2021 246,000,000
19 2022 260,000,000
20 2023 and 275,000,000
21 each fiscal year
22 thereafter that bonds
23 are outstanding under
24 Section 13.2 of the
25 Metropolitan Pier and
26 Exposition Authority Act,
27 but not after fiscal year 2042.
28 Beginning July 20, 1993 and in each month of each fiscal
29 year thereafter, one-eighth of the amount requested in the
30 certificate of the Chairman of the Metropolitan Pier and
31 Exposition Authority for that fiscal year, less the amount
32 deposited into the McCormick Place Expansion Project Fund by
33 the State Treasurer in the respective month under subsection
34 (g) of Section 13 of the Metropolitan Pier and Exposition
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1 Authority Act, plus cumulative deficiencies in the deposits
2 required under this Section for previous months and years,
3 shall be deposited into the McCormick Place Expansion Project
4 Fund, until the full amount requested for the fiscal year,
5 but not in excess of the amount specified above as "Total
6 Deposit", has been deposited.
7 Subject to payment of amounts into the Build Illinois
8 Fund and the McCormick Place Expansion Project Fund pursuant
9 to the preceding paragraphs or in any amendment thereto
10 hereafter enacted, each month the Department shall pay into
11 the Local Government Distributive Fund 0.4% of the net
12 revenue realized for the preceding month from the 5% general
13 rate or 0.4% of 80% of the net revenue realized for the
14 preceding month from the 6.25% general rate, as the case may
15 be, on the selling price of tangible personal property which
16 amount shall, subject to appropriation, be distributed as
17 provided in Section 2 of the State Revenue Sharing Act. No
18 payments or distributions pursuant to this paragraph shall be
19 made if the tax imposed by this Act on photo processing
20 products is declared unconstitutional, or if the proceeds
21 from such tax are unavailable for distribution because of
22 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 Subject to payment of amounts into the Build Illinois
33 Fund, the McCormick Place Expansion Project Fund, and the
34 Local Government Distributive Fund pursuant to the preceding
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1 paragraphs or in any amendments thereto hereafter enacted,
2 beginning with the receipt of the first report of taxes paid
3 by an eligible business and continuing for a 25-year period,
4 the Department shall each month pay into the Energy
5 Infrastructure Fund 80% of the net revenue realized from the
6 6.25% general rate on the selling price of Illinois-mined
7 coal that was sold to an eligible business. For purposes of
8 this paragraph, the term "eligible business" means a new
9 electric generating facility certified pursuant to Section
10 605-332 of the Department of Commerce and Community Affairs
11 Law of the Civil Administrative Code of Illinois.
12 All remaining moneys received by the Department pursuant
13 to this Act shall be paid into the General Revenue Fund of
14 the State Treasury.
15 As soon as possible after the first day of each month,
16 upon certification of the Department of Revenue, the
17 Comptroller shall order transferred and the Treasurer shall
18 transfer from the General Revenue Fund to the Motor Fuel Tax
19 Fund an amount equal to 1.7% of 80% of the net revenue
20 realized under this Act for the second preceding month.
21 Beginning April 1, 2000, this transfer is no longer required
22 and shall not be made.
23 Net revenue realized for a month shall be the revenue
24 collected by the State pursuant to this Act, less the amount
25 paid out during that month as refunds to taxpayers for
26 overpayment of liability.
27 (Source: P.A. 91-37, eff. 7-1-99; 91-51, eff. 6-30-99;
28 91-101, eff. 7-12-99; 91-541, eff. 8-13-99; 91-872, eff.
29 7-1-00; 92-12, eff. 7-1-01; 92-208, eff. 8-2-01; 92-492, eff.
30 1-1-02; revised 9-14-01.)
31 Section 20. The Service Occupation Tax Act is amended by
32 changing Sections 3-10 and 9 as follows:
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1 (35 ILCS 115/3-10) (from Ch. 120, par. 439.103-10)
2 Sec. 3-10. Rate of tax. Unless otherwise provided in
3 this Section, the tax imposed by this Act is at the rate of
4 6.25% of the "selling price", as defined in Section 2 of the
5 Service Use Tax Act, of the tangible personal property. For
6 the purpose of computing this tax, in no event shall the
7 "selling price" be less than the cost price to the serviceman
8 of the tangible personal property transferred. The selling
9 price of each item of tangible personal property transferred
10 as an incident of a sale of service may be shown as a
11 distinct and separate item on the serviceman's billing to the
12 service customer. If the selling price is not so shown, the
13 selling price of the tangible personal property is deemed to
14 be 50% of the serviceman's entire billing to the service
15 customer. When, however, a serviceman contracts to design,
16 develop, and produce special order machinery or equipment,
17 the tax imposed by this Act shall be based on the
18 serviceman's cost price of the tangible personal property
19 transferred incident to the completion of the contract.
20 Beginning on July 1, 2000 and through December 31, 2000,
21 with respect to motor fuel, as defined in Section 1.1 of the
22 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40
23 of the Use Tax Act, the tax is imposed at the rate of 1.25%.
24 With respect to gasohol, as defined in the Use Tax Act,
25 the tax imposed by this Act shall apply to 70% of the cost
26 price of property transferred as an incident to the sale of
27 service on or after January 1, 1990, and before July 1, 2003,
28 and to 100% of the cost price thereafter.
29 Beginning July 1, 2002, with respect to textbooks
30 required for use at State universities and public community
31 colleges, the tax is imposed at the rate of 1.25%. The
32 Department may adopt rules necessary to implement and
33 administer the 1.25% rate on textbooks.
34 At the election of any registered serviceman made for
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1 each fiscal year, sales of service in which the aggregate
2 annual cost price of tangible personal property transferred
3 as an incident to the sales of service is less than 35%, or
4 75% in the case of servicemen transferring prescription drugs
5 or servicemen engaged in graphic arts production, of the
6 aggregate annual total gross receipts from all sales of
7 service, the tax imposed by this Act shall be based on the
8 serviceman's cost price of the tangible personal property
9 transferred incident to the sale of those services.
10 The tax shall be imposed at the rate of 1% on food
11 prepared for immediate consumption and transferred incident
12 to a sale of service subject to this Act or the Service
13 Occupation Tax Act by an entity licensed under the Hospital
14 Licensing Act, the Nursing Home Care Act, or the Child Care
15 Act of 1969. The tax shall also be imposed at the rate of 1%
16 on food for human consumption that is to be consumed off the
17 premises where it is sold (other than alcoholic beverages,
18 soft drinks, and food that has been prepared for immediate
19 consumption and is not otherwise included in this paragraph)
20 and prescription and nonprescription medicines, drugs,
21 medical appliances, modifications to a motor vehicle for the
22 purpose of rendering it usable by a disabled person, and
23 insulin, urine testing materials, syringes, and needles used
24 by diabetics, for human use. For the purposes of this
25 Section, the term "soft drinks" means any complete, finished,
26 ready-to-use, non-alcoholic drink, whether carbonated or not,
27 including but not limited to soda water, cola, fruit juice,
28 vegetable juice, carbonated water, and all other preparations
29 commonly known as soft drinks of whatever kind or description
30 that are contained in any closed or sealed can, carton, or
31 container, regardless of size. "Soft drinks" does not
32 include coffee, tea, non-carbonated water, infant formula,
33 milk or milk products as defined in the Grade A Pasteurized
34 Milk and Milk Products Act, or drinks containing 50% or more
-44- LRB9214105SMdv
1 natural fruit or vegetable juice.
2 Notwithstanding any other provisions of this Act, "food
3 for human consumption that is to be consumed off the premises
4 where it is sold" includes all food sold through a vending
5 machine, except soft drinks and food products that are
6 dispensed hot from a vending machine, regardless of the
7 location of the vending machine.
8 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
9 91-51, 6-30-99; 91-541, eff. 8-13-99; 91-872, eff. 7-1-00.)
10 (35 ILCS 115/9) (from Ch. 120, par. 439.109)
11 Sec. 9. Each serviceman required or authorized to
12 collect the tax herein imposed shall pay to the Department
13 the amount of such tax at the time when he is required to
14 file his return for the period during which such tax was
15 collectible, less a discount of 2.1% prior to January 1,
16 1990, and 1.75% on and after January 1, 1990, or $5 per
17 calendar year, whichever is greater, which is allowed to
18 reimburse the serviceman for expenses incurred in collecting
19 the tax, keeping records, preparing and filing returns,
20 remitting the tax and supplying data to the Department on
21 request.
22 Where such tangible personal property is sold under a
23 conditional sales contract, or under any other form of sale
24 wherein the payment of the principal sum, or a part thereof,
25 is extended beyond the close of the period for which the
26 return is filed, the serviceman, in collecting the tax may
27 collect, for each tax return period, only the tax applicable
28 to the part of the selling price actually received during
29 such tax return period.
30 Except as provided hereinafter in this Section, on or
31 before the twentieth day of each calendar month, such
32 serviceman shall file a return for the preceding calendar
33 month in accordance with reasonable rules and regulations to
-45- LRB9214105SMdv
1 be promulgated by the Department of Revenue. Such return
2 shall be filed on a form prescribed by the Department and
3 shall contain 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 business as a serviceman in this
16 State;
17 3. The total amount of taxable receipts received by
18 him during the preceding calendar month, including
19 receipts from charge and time sales, but less all
20 deductions allowed by law;
21 4. The amount of credit provided in Section 2d of
22 this Act;
23 5. The amount of tax due;
24 5-5. The signature of the taxpayer; and
25 6. Such other reasonable information as the
26 Department may require.
27 If a taxpayer fails to sign a return within 30 days after
28 the proper notice and demand for signature by the Department,
29 the return shall be considered valid and any amount shown to
30 be due on the return shall be deemed assessed.
31 A serviceman may accept a Manufacturer's Purchase Credit
32 certification from a purchaser in satisfaction of Service Use
33 Tax as provided in Section 3-70 of the Service Use Tax Act if
34 the purchaser provides the appropriate documentation as
-46- LRB9214105SMdv
1 required by Section 3-70 of the Service Use Tax Act. A
2 Manufacturer's Purchase Credit certification, accepted by a
3 serviceman as provided in Section 3-70 of the Service Use Tax
4 Act, may be used by that serviceman to satisfy Service
5 Occupation Tax liability in the amount claimed in the
6 certification, not to exceed 6.25% of the receipts subject to
7 tax from a qualifying purchase.
8 If the serviceman's average monthly tax liability to the
9 Department does not exceed $200, the Department may authorize
10 his returns to be filed on a quarter annual basis, with the
11 return for January, February and March of a given year being
12 due by April 20 of such year; with the return for April, May
13 and June of a given year being due by July 20 of such year;
14 with the return for July, August and September of a given
15 year being due by October 20 of such year, and with the
16 return for October, November and December of a given year
17 being due by January 20 of the following year.
18 If the serviceman's average monthly tax liability to the
19 Department does not exceed $50, the Department may authorize
20 his returns to be filed on an annual basis, with the return
21 for a given year being due by January 20 of the following
22 year.
23 Such quarter annual and annual returns, as to form and
24 substance, shall be subject to the same requirements as
25 monthly returns.
26 Notwithstanding any other provision in this Act
27 concerning the time within which a serviceman may file his
28 return, in the case of any serviceman who ceases to engage in
29 a kind of business which makes him responsible for filing
30 returns under this Act, such serviceman shall file a final
31 return under this Act with the Department not more than 1
32 month after discontinuing such business.
33 Beginning October 1, 1993, a taxpayer who has an average
34 monthly tax liability of $150,000 or more shall make all
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1 payments required by rules of the Department by electronic
2 funds transfer. Beginning October 1, 1994, a taxpayer who
3 has an average monthly tax liability of $100,000 or more
4 shall make all payments required by rules of the Department
5 by electronic funds transfer. Beginning October 1, 1995, a
6 taxpayer who has an average monthly tax liability of $50,000
7 or more shall make all payments required by rules of the
8 Department by electronic funds transfer. Beginning October
9 1, 2000, a taxpayer who has an annual tax liability of
10 $200,000 or more shall make all payments required by rules of
11 the Department by electronic funds transfer. The term
12 "annual tax liability" shall be the sum of the taxpayer's
13 liabilities under this Act, and under all other State and
14 local occupation and use tax laws administered by the
15 Department, for the immediately preceding calendar year. The
16 term "average monthly tax liability" means the sum of the
17 taxpayer's liabilities under this Act, and under all other
18 State and local occupation and use tax laws administered by
19 the Department, for the immediately preceding calendar year
20 divided by 12. Beginning on October 1, 2002, a taxpayer who
21 has a tax liability in the amount set forth in subsection (b)
22 of Section 2505-210 of the Department of Revenue Law shall
23 make all payments required by rules of the Department by
24 electronic funds transfer.
25 Before August 1 of each year beginning in 1993, the
26 Department shall notify all taxpayers required to make
27 payments by electronic funds transfer. All taxpayers
28 required to make payments by electronic funds transfer shall
29 make those payments for a minimum of one year beginning on
30 October 1.
31 Any taxpayer not required to make payments by electronic
32 funds transfer may make payments by electronic funds transfer
33 with the permission of the Department.
34 All taxpayers required to make payment by electronic
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1 funds transfer and any taxpayers authorized to voluntarily
2 make payments by electronic funds transfer shall make those
3 payments in the manner authorized by the Department.
4 The Department shall adopt such rules as are necessary to
5 effectuate a program of electronic funds transfer and the
6 requirements of this Section.
7 Where a serviceman collects the tax with respect to the
8 selling price of tangible personal property which he sells
9 and the purchaser thereafter returns such tangible personal
10 property and the serviceman refunds the selling price thereof
11 to the purchaser, such serviceman shall also refund, to the
12 purchaser, the tax so collected from the purchaser. When
13 filing his return for the period in which he refunds such tax
14 to the purchaser, the serviceman may deduct the amount of the
15 tax so refunded by him to the purchaser from any other
16 Service Occupation Tax, Service Use Tax, Retailers'
17 Occupation Tax or Use Tax which such serviceman may be
18 required to pay or remit to the Department, as shown by such
19 return, provided that the amount of the tax to be deducted
20 shall previously have been remitted to the Department by such
21 serviceman. If the serviceman shall not previously have
22 remitted the amount of such tax to the Department, he shall
23 be entitled to no deduction hereunder upon refunding such tax
24 to the purchaser.
25 If experience indicates such action to be practicable,
26 the Department may prescribe and furnish a combination or
27 joint return which will enable servicemen, who are required
28 to file returns hereunder and also under the Retailers'
29 Occupation Tax Act, the Use Tax Act or the Service Use Tax
30 Act, to furnish all the return information required by all
31 said Acts on the one form.
32 Where the serviceman has more than one business
33 registered with the Department under separate registrations
34 hereunder, such serviceman shall file separate returns for
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1 each registered business.
2 Beginning January 1, 1990, each month the Department
3 shall pay into the Local Government Tax Fund the revenue
4 realized for the preceding month from the 1% tax on sales of
5 food for human consumption which is to be consumed off the
6 premises where it is sold (other than alcoholic beverages,
7 soft drinks and food which has been prepared for immediate
8 consumption) and prescription and nonprescription medicines,
9 drugs, medical appliances and insulin, urine testing
10 materials, syringes and needles used by diabetics.
11 Beginning January 1, 1990, each month the Department
12 shall pay into the County and Mass Transit District Fund 4%
13 of the revenue realized for the preceding month from the
14 6.25% general rate.
15 Beginning August 1, 2000, each month the Department shall
16 pay into the County and Mass Transit District Fund 20% of the
17 net revenue realized for the preceding month from the 1.25%
18 rate on the selling price of motor fuel and gasohol.
19 Beginning August 1, 2002, each month the Department shall
20 pay into the County and Mass Transit District Fund 20% of the
21 net revenue realized for the preceding month from the 1.25%
22 rate on the selling price of textbooks required for use at
23 State universities and public community colleges.
24 Beginning January 1, 1990, each month the Department
25 shall pay into the Local Government Tax Fund 16% of the
26 revenue realized for the preceding month from the 6.25%
27 general rate on transfers of tangible personal property.
28 Beginning August 1, 2000, each month the Department shall
29 pay into the Local Government Tax Fund 80% of the net revenue
30 realized for the preceding month from the 1.25% rate on the
31 selling price of motor fuel and gasohol.
32 Beginning August 1, 2002, each month the Department shall
33 pay into the Local Government Tax Fund 80% of the net revenue
34 realized for the preceding month from the 1.25% rate on the
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1 selling price of textbooks required for use at State
2 universities and public community colleges.
3 Of the remainder of the moneys received by the Department
4 pursuant to this Act, (a) 1.75% thereof shall be paid into
5 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
6 and on and after July 1, 1989, 3.8% thereof shall be paid
7 into the Build Illinois Fund; provided, however, that if in
8 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
9 as the case may be, of the moneys received by the Department
10 and required to be paid into the Build Illinois Fund pursuant
11 to Section 3 of the Retailers' Occupation Tax Act, Section 9
12 of the Use Tax Act, Section 9 of the Service Use Tax Act, and
13 Section 9 of the Service Occupation Tax Act, such Acts being
14 hereinafter called the "Tax Acts" and such aggregate of 2.2%
15 or 3.8%, as the case may be, of moneys being hereinafter
16 called the "Tax Act Amount", and (2) the amount transferred
17 to the Build Illinois Fund from the State and Local Sales Tax
18 Reform Fund shall be less than the Annual Specified Amount
19 (as defined in Section 3 of the Retailers' Occupation Tax
20 Act), an amount equal to the difference shall be immediately
21 paid into the Build Illinois Fund from other moneys received
22 by the Department pursuant to the Tax Acts; and further
23 provided, that if on the last business day of any month the
24 sum of (1) the Tax Act Amount required to be deposited into
25 the Build Illinois Account in the Build Illinois Fund during
26 such month and (2) the amount transferred during such month
27 to the Build Illinois Fund from the State and Local Sales Tax
28 Reform Fund shall have been less than 1/12 of the Annual
29 Specified Amount, an amount equal to the difference shall be
30 immediately paid into the Build Illinois Fund from other
31 moneys received by the Department pursuant to the Tax Acts;
32 and, further provided, that in no event shall the payments
33 required under the preceding proviso result in aggregate
34 payments into the Build Illinois Fund pursuant to this clause
-51- LRB9214105SMdv
1 (b) for any fiscal year in excess of the greater of (i) the
2 Tax Act Amount or (ii) the Annual Specified Amount for such
3 fiscal year; and, further provided, that the amounts payable
4 into the Build Illinois Fund under this clause (b) shall be
5 payable only until such time as the aggregate amount on
6 deposit under each trust indenture securing Bonds issued and
7 outstanding pursuant to the Build Illinois Bond Act is
8 sufficient, taking into account any future investment income,
9 to fully provide, in accordance with such indenture, for the
10 defeasance of or the payment of the principal of, premium, if
11 any, and interest on the Bonds secured by such indenture and
12 on any Bonds expected to be issued thereafter and all fees
13 and costs payable with respect thereto, all as certified by
14 the Director of the Bureau of the Budget. If on the last
15 business day of any month in which Bonds are outstanding
16 pursuant to the Build Illinois Bond Act, the aggregate of the
17 moneys deposited in the Build Illinois Bond Account in the
18 Build Illinois Fund in such month shall be less than the
19 amount required to be transferred in such month from the
20 Build Illinois Bond Account to the Build Illinois Bond
21 Retirement and Interest Fund pursuant to Section 13 of the
22 Build Illinois Bond Act, an amount equal to such deficiency
23 shall be immediately paid from other moneys received by the
24 Department pursuant to the Tax Acts to the Build Illinois
25 Fund; provided, however, that any amounts paid to the Build
26 Illinois Fund in any fiscal year pursuant to this sentence
27 shall be deemed to constitute payments pursuant to clause (b)
28 of the preceding sentence and shall reduce the amount
29 otherwise payable for such fiscal year pursuant to clause (b)
30 of the preceding sentence. The moneys received by the
31 Department pursuant to this Act and required to be deposited
32 into the Build Illinois Fund are subject to the pledge, claim
33 and charge set forth in Section 12 of the Build Illinois Bond
34 Act.
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1 Subject to payment of amounts into the Build Illinois
2 Fund as provided in the preceding paragraph or in any
3 amendment thereto hereafter enacted, the following specified
4 monthly installment of the amount requested in the
5 certificate of the Chairman of the Metropolitan Pier and
6 Exposition Authority provided under Section 8.25f of the
7 State Finance Act, but not in excess of the sums designated
8 as "Total Deposit", shall be deposited in the aggregate from
9 collections under Section 9 of the Use Tax Act, Section 9 of
10 the Service Use Tax Act, Section 9 of the Service Occupation
11 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
12 into the McCormick Place Expansion Project Fund in the
13 specified fiscal years.
14 Fiscal Year Total Deposit
15 1993 $0
16 1994 53,000,000
17 1995 58,000,000
18 1996 61,000,000
19 1997 64,000,000
20 1998 68,000,000
21 1999 71,000,000
22 2000 75,000,000
23 2001 80,000,000
24 2002 93,000,000
25 2003 99,000,000
26 2004 103,000,000
27 2005 108,000,000
28 2006 113,000,000
29 2007 119,000,000
30 2008 126,000,000
31 2009 132,000,000
32 2010 139,000,000
33 2011 146,000,000
34 2012 153,000,000
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1 2013 161,000,000
2 2014 170,000,000
3 2015 179,000,000
4 2016 189,000,000
5 2017 199,000,000
6 2018 210,000,000
7 2019 221,000,000
8 2020 233,000,000
9 2021 246,000,000
10 2022 260,000,000
11 2023 and 275,000,000
12 each fiscal year
13 thereafter that bonds
14 are outstanding under
15 Section 13.2 of the
16 Metropolitan Pier and
17 Exposition Authority
18 Act, but not after fiscal year 2042.
19 Beginning July 20, 1993 and in each month of each fiscal
20 year thereafter, one-eighth of the amount requested in the
21 certificate of the Chairman of the Metropolitan Pier and
22 Exposition Authority for that fiscal year, less the amount
23 deposited into the McCormick Place Expansion Project Fund by
24 the State Treasurer in the respective month under subsection
25 (g) of Section 13 of the Metropolitan Pier and Exposition
26 Authority Act, plus cumulative deficiencies in the deposits
27 required under this Section for previous months and years,
28 shall be deposited into the McCormick Place Expansion Project
29 Fund, until the full amount requested for the fiscal year,
30 but not in excess of the amount specified above as "Total
31 Deposit", has been deposited.
32 Subject to payment of amounts into the Build Illinois
33 Fund and the McCormick Place Expansion Project Fund pursuant
34 to the preceding paragraphs or in any amendment thereto
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1 hereafter enacted, each month the Department shall pay into
2 the Local Government Distributive Fund 0.4% of the net
3 revenue realized for the preceding month from the 5% general
4 rate or 0.4% of 80% of the net revenue realized for the
5 preceding month from the 6.25% general rate, as the case may
6 be, on the selling price of tangible personal property which
7 amount shall, subject to appropriation, be distributed as
8 provided in Section 2 of the State Revenue Sharing Act. No
9 payments or distributions pursuant to this paragraph shall be
10 made if the tax imposed by this Act on photoprocessing
11 products is declared unconstitutional, or if the proceeds
12 from such tax are unavailable for distribution because of
13 litigation.
14 Subject to payment of amounts into the Build Illinois
15 Fund, the McCormick Place Expansion Project Fund, and the
16 Local Government Distributive Fund pursuant to the preceding
17 paragraphs or in any amendments thereto hereafter enacted,
18 beginning July 1, 1993, the Department shall each month pay
19 into the Illinois Tax Increment Fund 0.27% of 80% 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 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 with the receipt of the first report of taxes paid
28 by an eligible business and continuing for a 25-year period,
29 the Department shall each month pay into the Energy
30 Infrastructure Fund 80% of the net revenue realized from the
31 6.25% general rate on the selling price of Illinois-mined
32 coal that was sold to an eligible business. For purposes of
33 this paragraph, the term "eligible business" means a new
34 electric generating facility certified pursuant to Section
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1 605-332 of the Department of Commerce and Community Affairs
2 Law of the Civil Administrative Code of Illinois.
3 Remaining moneys received by the Department pursuant to
4 this Act shall be paid into the General Revenue Fund of the
5 State Treasury.
6 The Department may, upon separate written notice to a
7 taxpayer, require the taxpayer to prepare and file with the
8 Department on a form prescribed by the Department within not
9 less than 60 days after receipt of the notice an annual
10 information return for the tax year specified in the notice.
11 Such annual return to the Department shall include a
12 statement of gross receipts as shown by the taxpayer's last
13 Federal income tax return. If the total receipts of the
14 business as reported in the Federal income tax return do not
15 agree with the gross receipts reported to the Department of
16 Revenue for the same period, the taxpayer shall attach to his
17 annual return a schedule showing a reconciliation of the 2
18 amounts and the reasons for the difference. The taxpayer's
19 annual return to the Department shall also disclose the cost
20 of goods sold by the taxpayer during the year covered by such
21 return, opening and closing inventories of such goods for
22 such year, cost of goods used from stock or taken from stock
23 and given away by the taxpayer during such year, pay roll
24 information of the taxpayer's business during such year and
25 any additional reasonable information which the Department
26 deems would be helpful in determining the accuracy of the
27 monthly, quarterly or annual returns filed by such taxpayer
28 as hereinbefore provided for in this Section.
29 If the annual information return required by this Section
30 is not filed when and as required, the taxpayer shall be
31 liable as follows:
32 (i) Until January 1, 1994, the taxpayer shall be
33 liable for a penalty equal to 1/6 of 1% of the tax due
34 from such taxpayer under this Act during the period to be
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1 covered by the annual return for each month or fraction
2 of a month until such return is filed as required, the
3 penalty to be assessed and collected in the same manner
4 as any other penalty provided for in this Act.
5 (ii) On and after January 1, 1994, the taxpayer
6 shall be liable for a penalty as described in Section 3-4
7 of the Uniform Penalty and Interest Act.
8 The chief executive officer, proprietor, owner or highest
9 ranking manager shall sign the annual return to certify the
10 accuracy of the information contained therein. Any person
11 who willfully signs the annual return containing false or
12 inaccurate information shall be guilty of perjury and
13 punished accordingly. The annual return form prescribed by
14 the Department shall include a warning that the person
15 signing the return may be liable for perjury.
16 The foregoing portion of this Section concerning the
17 filing of an annual information return shall not apply to a
18 serviceman who is not required to file an income tax return
19 with the United States Government.
20 As soon as possible after the first day of each month,
21 upon certification of the Department of Revenue, the
22 Comptroller shall order transferred and the Treasurer shall
23 transfer from the General Revenue Fund to the Motor Fuel Tax
24 Fund an amount equal to 1.7% of 80% of the net revenue
25 realized under this Act for the second preceding month.
26 Beginning April 1, 2000, this transfer is no longer required
27 and shall not be made.
28 Net revenue realized for a month shall be the revenue
29 collected by the State pursuant to this Act, less the amount
30 paid out during that month as refunds to taxpayers for
31 overpayment of liability.
32 For greater simplicity of administration, it shall be
33 permissible for manufacturers, importers and wholesalers
34 whose products are sold by numerous servicemen in Illinois,
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1 and who wish to do so, to assume the responsibility for
2 accounting and paying to the Department all tax accruing
3 under this Act with respect to such sales, if the servicemen
4 who are affected do not make written objection to the
5 Department to this arrangement.
6 (Source: P.A. 91-37, eff. 7-1-99; 91-51, eff. 6-30-99;
7 91-101, eff. 7-12-99; 91-541, eff. 8-13-99; 91-872, eff.
8 7-1-00; 92-12, eff. 7-1-01; 92-208, eff. 8-2-01; 92-492, eff.
9 1-1-02; revised 9-14-01.)
10 Section 25. The Retailers' Occupation Tax Act is amended
11 by changing Sections 2-10 and 3 as follows:
12 (35 ILCS 120/2-10) (from Ch. 120, par. 441-10)
13 Sec. 2-10. Rate of tax. Unless otherwise provided in
14 this Section, the tax imposed by this Act is at the rate of
15 6.25% of gross receipts from sales of tangible personal
16 property made in the course of business.
17 Beginning on July 1, 2000 and through December 31, 2000,
18 with respect to motor fuel, as defined in Section 1.1 of the
19 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40
20 of the Use Tax Act, the tax is imposed at the rate of 1.25%.
21 Within 14 days after the effective date of this
22 amendatory Act of the 91st General Assembly, each retailer of
23 motor fuel and gasohol shall cause the following notice to be
24 posted in a prominently visible place on each retail
25 dispensing device that is used to dispense motor fuel or
26 gasohol in the State of Illinois: "As of July 1, 2000, the
27 State of Illinois has eliminated the State's share of sales
28 tax on motor fuel and gasohol through December 31, 2000. The
29 price on this pump should reflect the elimination of the
30 tax." The notice shall be printed in bold print on a sign
31 that is no smaller than 4 inches by 8 inches. The sign shall
32 be clearly visible to customers. Any retailer who fails to
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1 post or maintain a required sign through December 31, 2000 is
2 guilty of a petty offense for which the fine shall be $500
3 per day per each retail premises where a violation occurs.
4 With respect to gasohol, as defined in the Use Tax Act,
5 the tax imposed by this Act applies to 70% of the proceeds of
6 sales made on or after January 1, 1990, and before July 1,
7 2003, and to 100% of the proceeds of sales made thereafter.
8 Beginning July 1, 2002, with respect to textbooks
9 required for use at State universities and public community
10 colleges, the tax is imposed at the rate of 1.25%. The
11 Department may adopt rules necessary to implement and
12 administer the 1.25% rate on textbooks.
13 With respect to food for human consumption that is to be
14 consumed off the premises where it is sold (other than
15 alcoholic beverages, soft drinks, and food that has been
16 prepared for immediate consumption) and prescription and
17 nonprescription medicines, drugs, medical appliances,
18 modifications to a motor vehicle for the purpose of rendering
19 it usable by a disabled person, and insulin, urine testing
20 materials, syringes, and needles used by diabetics, for human
21 use, the tax is imposed at the rate of 1%. For the purposes
22 of this Section, the term "soft drinks" means any complete,
23 finished, ready-to-use, non-alcoholic drink, whether
24 carbonated or not, including but not limited to soda water,
25 cola, fruit juice, vegetable juice, carbonated water, and all
26 other preparations commonly known as soft drinks of whatever
27 kind or description that are contained in any closed or
28 sealed bottle, can, carton, or container, regardless of size.
29 "Soft drinks" does not include coffee, tea, non-carbonated
30 water, infant formula, milk or milk products as defined in
31 the Grade A Pasteurized Milk and Milk Products Act, or drinks
32 containing 50% or more natural fruit or vegetable juice.
33 Notwithstanding any other provisions of this Act, "food
34 for human consumption that is to be consumed off the premises
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1 where it is sold" includes all food sold through a vending
2 machine, except soft drinks and food products that are
3 dispensed hot from a vending machine, regardless of the
4 location of the vending machine.
5 (Source: P.A. 90-605, eff. 6-30-98; 90-606, eff. 6-30-98;
6 91-51, eff. 6-30-99; 91-872, eff. 7-1-00.)
7 (35 ILCS 120/3) (from Ch. 120, par. 442)
8 Sec. 3. Except as provided in this Section, on or before
9 the twentieth day of each calendar month, every person
10 engaged in the business of selling tangible personal property
11 at retail in this State during the preceding calendar month
12 shall file a return with the Department, stating:
13 1. The name of the seller;
14 2. His residence address and the address of his
15 principal place of business and the address of the
16 principal place of business (if that is a different
17 address) from which he engages in the business of selling
18 tangible personal property at retail in this State;
19 3. Total amount of receipts received by him during
20 the preceding calendar month or quarter, as the case may
21 be, from sales of tangible personal property, and from
22 services furnished, by him during such preceding calendar
23 month or quarter;
24 4. Total amount received by him during the
25 preceding calendar month or quarter on charge and time
26 sales of tangible personal property, and from services
27 furnished, by him prior to the month or quarter for which
28 the return is filed;
29 5. Deductions allowed by law;
30 6. Gross receipts which were received by him during
31 the preceding calendar month or quarter and upon the
32 basis of which the tax is imposed;
33 7. The amount of credit provided in Section 2d of
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1 this Act;
2 8. The amount of tax due;
3 9. The signature of the taxpayer; and
4 10. Such other reasonable information as the
5 Department may require.
6 If a taxpayer fails to sign a return within 30 days after
7 the proper notice and demand for signature by the Department,
8 the return shall be considered valid and any amount shown to
9 be due on the return shall be deemed assessed.
10 Each return shall be accompanied by the statement of
11 prepaid tax issued pursuant to Section 2e for which credit is
12 claimed.
13 A retailer may accept a Manufacturer's Purchase Credit
14 certification from a purchaser in satisfaction of Use Tax as
15 provided in Section 3-85 of the Use Tax Act if the purchaser
16 provides the appropriate documentation as required by Section
17 3-85 of the Use Tax Act. A Manufacturer's Purchase Credit
18 certification, accepted by a retailer as provided in Section
19 3-85 of the Use Tax Act, may be used by that retailer to
20 satisfy Retailers' Occupation Tax liability in the amount
21 claimed in the certification, not to exceed 6.25% of the
22 receipts subject to tax from a qualifying purchase.
23 The Department may require returns to be filed on a
24 quarterly basis. If so required, a return for each calendar
25 quarter shall be filed on or before the twentieth day of the
26 calendar month following the end of such calendar quarter.
27 The taxpayer shall also file a return with the Department for
28 each of the first two months of each calendar quarter, on or
29 before the twentieth day of the following calendar month,
30 stating:
31 1. The name of the seller;
32 2. The address of the principal place of business
33 from which he engages in the business of selling tangible
34 personal property at retail in this State;
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1 3. The total amount of taxable receipts received by
2 him during the preceding calendar month from sales of
3 tangible personal property by him during such preceding
4 calendar month, including receipts from charge and time
5 sales, but less all deductions allowed by law;
6 4. The amount of credit provided in Section 2d of
7 this Act;
8 5. The amount of tax due; and
9 6. Such other reasonable information as the
10 Department may require.
11 If a total amount of less than $1 is payable, refundable
12 or creditable, such amount shall be disregarded if it is less
13 than 50 cents and shall be increased to $1 if it is 50 cents
14 or more.
15 Beginning October 1, 1993, a taxpayer who has an average
16 monthly tax liability of $150,000 or more shall make all
17 payments required by rules of the Department by electronic
18 funds transfer. Beginning October 1, 1994, a taxpayer who
19 has an average monthly tax liability of $100,000 or more
20 shall make all payments required by rules of the Department
21 by electronic funds transfer. Beginning October 1, 1995, a
22 taxpayer who has an average monthly tax liability of $50,000
23 or more shall make all payments required by rules of the
24 Department by electronic funds transfer. Beginning October
25 1, 2000, a taxpayer who has an annual tax liability of
26 $200,000 or more shall make all payments required by rules of
27 the Department by electronic funds transfer. The term
28 "annual tax liability" shall be the sum of the taxpayer's
29 liabilities under this Act, and under all other State and
30 local occupation and use tax laws administered by the
31 Department, for the immediately preceding calendar year. The
32 term "average monthly tax liability" shall be the sum of the
33 taxpayer's liabilities under this Act, and under all other
34 State and local occupation and use tax laws administered by
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1 the Department, for the immediately preceding calendar year
2 divided by 12. Beginning on October 1, 2002, a taxpayer who
3 has a tax liability in the amount set forth in subsection (b)
4 of Section 2505-210 of the Department of Revenue Law shall
5 make all payments required by rules of the Department by
6 electronic funds transfer.
7 Before August 1 of each year beginning in 1993, the
8 Department shall notify all taxpayers required to make
9 payments by electronic funds transfer. All taxpayers
10 required to make payments by electronic funds transfer shall
11 make those payments for a minimum of one year beginning on
12 October 1.
13 Any taxpayer not required to make payments by electronic
14 funds transfer may make payments by electronic funds transfer
15 with the permission of the Department.
16 All taxpayers required to make payment by electronic
17 funds transfer and any taxpayers authorized to voluntarily
18 make payments by electronic funds transfer shall make those
19 payments in the manner authorized by the Department.
20 The Department shall adopt such rules as are necessary to
21 effectuate a program of electronic funds transfer and the
22 requirements of this Section.
23 Any amount which is required to be shown or reported on
24 any return or other document under this Act shall, if such
25 amount is not a whole-dollar amount, be increased to the
26 nearest whole-dollar amount in any case where the fractional
27 part of a dollar is 50 cents or more, and decreased to the
28 nearest whole-dollar amount where the fractional part of a
29 dollar is less than 50 cents.
30 If the retailer is otherwise required to file a monthly
31 return and if the retailer's average monthly tax liability to
32 the Department does not exceed $200, the Department may
33 authorize his returns to be filed on a quarter annual basis,
34 with the return for January, February and March of a given
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1 year being due by April 20 of such year; with the return for
2 April, May and June of a given year being due by July 20 of
3 such year; with the return for July, August and September of
4 a given year being due by October 20 of such year, and with
5 the return for October, November and December of a given year
6 being due by January 20 of the following year.
7 If the retailer is otherwise required to file a monthly
8 or quarterly return and if the retailer's average monthly tax
9 liability with the Department does not exceed $50, the
10 Department may authorize his returns to be filed on an annual
11 basis, with the return for a given year being due by January
12 20 of the following year.
13 Such quarter annual and annual returns, as to form and
14 substance, shall be subject to the same requirements as
15 monthly returns.
16 Notwithstanding any other provision in this Act
17 concerning the time within which a retailer may file his
18 return, in the case of any retailer who ceases to engage in a
19 kind of business which makes him responsible for filing
20 returns under this Act, such retailer shall file a final
21 return under this Act with the Department not more than one
22 month after discontinuing such business.
23 Where the same person has more than one business
24 registered with the Department under separate registrations
25 under this Act, such person may not file each return that is
26 due as a single return covering all such registered
27 businesses, but shall file separate returns for each such
28 registered business.
29 In addition, with respect to motor vehicles, watercraft,
30 aircraft, and trailers that are required to be registered
31 with an agency of this State, every retailer selling this
32 kind of tangible personal property shall file, with the
33 Department, upon a form to be prescribed and supplied by the
34 Department, a separate return for each such item of tangible
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1 personal property which the retailer sells, except that if,
2 in the same transaction, (i) a retailer of aircraft,
3 watercraft, motor vehicles or trailers transfers more than
4 one aircraft, watercraft, motor vehicle or trailer to another
5 aircraft, watercraft, motor vehicle retailer or trailer
6 retailer for the purpose of resale or (ii) a retailer of
7 aircraft, watercraft, motor vehicles, or trailers transfers
8 more than one aircraft, watercraft, motor vehicle, or trailer
9 to a purchaser for use as a qualifying rolling stock as
10 provided in Section 2-5 of this Act, then that seller may
11 report the transfer of all aircraft, watercraft, motor
12 vehicles or trailers involved in that transaction to the
13 Department on the same uniform invoice-transaction reporting
14 return form. For purposes of this Section, "watercraft"
15 means a Class 2, Class 3, or Class 4 watercraft as defined in
16 Section 3-2 of the Boat Registration and Safety Act, a
17 personal watercraft, or any boat equipped with an inboard
18 motor.
19 Any retailer who sells only motor vehicles, watercraft,
20 aircraft, or trailers that are required to be registered with
21 an agency of this State, so that all retailers' occupation
22 tax liability is required to be reported, and is reported, on
23 such transaction reporting returns and who is not otherwise
24 required to file monthly or quarterly returns, need not file
25 monthly or quarterly returns. However, those retailers shall
26 be required to file returns on an annual basis.
27 The transaction reporting return, in the case of motor
28 vehicles or trailers that are required to be registered with
29 an agency of this State, shall be the same document as the
30 Uniform Invoice referred to in Section 5-402 of The Illinois
31 Vehicle Code and 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; such other information as is required in
12 Section 5-402 of The Illinois Vehicle Code, and such other
13 information as the Department may reasonably require.
14 The transaction reporting return in the case of
15 watercraft or aircraft must show the name and address of the
16 seller; the name and address of the purchaser; the amount of
17 the selling price including the amount allowed by the
18 retailer for traded-in property, if any; the amount allowed
19 by the retailer for the traded-in tangible personal property,
20 if any, to the extent to which Section 1 of this Act allows
21 an exemption for the value of traded-in property; the balance
22 payable after deducting such trade-in allowance from the
23 total selling price; the amount of tax due from the retailer
24 with respect to such transaction; the amount of tax collected
25 from the purchaser by the retailer on such transaction (or
26 satisfactory evidence that such tax is not due in that
27 particular instance, if that is claimed to be the fact); the
28 place and date of the sale, a sufficient identification of
29 the property sold, and such other information as the
30 Department may reasonably require.
31 Such transaction reporting return shall be filed not
32 later than 20 days after the day of delivery of the item that
33 is being sold, but may be filed by the retailer at any time
34 sooner than that if he chooses to do so. The transaction
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1 reporting return and tax remittance or proof of exemption
2 from the Illinois use tax may be transmitted to the
3 Department by way of the State agency with which, or State
4 officer with whom the tangible personal property must be
5 titled or registered (if titling or registration is required)
6 if the Department and such agency or State officer determine
7 that this procedure will expedite the processing of
8 applications for title or registration.
9 With each such transaction reporting return, the retailer
10 shall remit the proper amount of tax due (or shall submit
11 satisfactory evidence that the sale is not taxable if that is
12 the case), to the Department or its agents, whereupon the
13 Department shall issue, in the purchaser's name, a use tax
14 receipt (or a certificate of exemption if the Department is
15 satisfied that the particular sale is tax exempt) which such
16 purchaser may submit to the agency with which, or State
17 officer with whom, he must title or register the tangible
18 personal property that is involved (if titling or
19 registration is required) in support of such purchaser's
20 application for an Illinois certificate or other evidence of
21 title or registration to such tangible personal property.
22 No retailer's failure or refusal to remit tax under this
23 Act precludes a user, who has paid the proper tax to the
24 retailer, from obtaining his certificate of title or other
25 evidence of title or registration (if titling or registration
26 is required) upon satisfying the Department that such user
27 has paid the proper tax (if tax is due) to the retailer. The
28 Department shall adopt appropriate rules to carry out the
29 mandate of this paragraph.
30 If the user who would otherwise pay tax to the retailer
31 wants the transaction reporting return filed and the payment
32 of the tax or proof of exemption made to the Department
33 before the retailer is willing to take these actions and such
34 user has not paid the tax to the retailer, such user may
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1 certify to the fact of such delay by the retailer and may
2 (upon the Department being satisfied of the truth of such
3 certification) transmit the information required by the
4 transaction reporting return and the remittance for tax or
5 proof of exemption directly to the Department and obtain his
6 tax receipt or exemption determination, in which event the
7 transaction reporting return and tax remittance (if a tax
8 payment was required) shall be credited by the Department to
9 the proper retailer's account with the Department, but
10 without the 2.1% or 1.75% discount provided for in this
11 Section being allowed. When the user pays the tax directly
12 to the Department, he shall pay the tax in the same amount
13 and in the same form in which it would be remitted if the tax
14 had been remitted to the Department by the retailer.
15 Refunds made by the seller during the preceding return
16 period to purchasers, on account of tangible personal
17 property returned to the seller, shall be allowed as a
18 deduction under subdivision 5 of his monthly or quarterly
19 return, as the case may be, in case the seller had
20 theretofore included the receipts from the sale of such
21 tangible personal property in a return filed by him and had
22 paid the tax imposed by this Act with respect to such
23 receipts.
24 Where the seller is a corporation, the return filed on
25 behalf of such corporation shall be signed by the president,
26 vice-president, secretary or treasurer or by the properly
27 accredited agent of such corporation.
28 Where the seller is a limited liability company, the
29 return filed on behalf of the limited liability company shall
30 be signed by a manager, member, or properly accredited agent
31 of the limited liability company.
32 Except as provided in this Section, the retailer filing
33 the return under this Section shall, at the time of filing
34 such return, pay to the Department the amount of tax imposed
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1 by this Act less a discount of 2.1% prior to January 1, 1990
2 and 1.75% on and after January 1, 1990, or $5 per calendar
3 year, whichever is greater, which is allowed to reimburse the
4 retailer for the expenses incurred in keeping records,
5 preparing and filing returns, remitting the tax and supplying
6 data to the Department on request. Any prepayment made
7 pursuant to Section 2d of this Act shall be included in the
8 amount on which such 2.1% or 1.75% discount is computed. In
9 the case of retailers who report and pay the tax on a
10 transaction by transaction basis, as provided in this
11 Section, such discount shall be taken with each such tax
12 remittance instead of when such retailer files his periodic
13 return.
14 Before October 1, 2000, if the taxpayer's average monthly
15 tax liability to the Department under this Act, the Use Tax
16 Act, the Service Occupation Tax Act, and the Service Use Tax
17 Act, excluding any liability for prepaid sales tax to be
18 remitted in accordance with Section 2d of this Act, was
19 $10,000 or more during the preceding 4 complete calendar
20 quarters, he shall file a return with the Department each
21 month by the 20th day of the month next following the month
22 during which such tax liability is incurred and shall make
23 payments to the Department on or before the 7th, 15th, 22nd
24 and last day of the month during which such liability is
25 incurred. On and after October 1, 2000, if the taxpayer's
26 average monthly tax liability to the Department under this
27 Act, the Use Tax Act, the Service Occupation Tax Act, and the
28 Service Use Tax Act, excluding any liability for prepaid
29 sales tax to be remitted in accordance with Section 2d of
30 this Act, was $20,000 or more during the preceding 4 complete
31 calendar quarters, he shall file a return with the Department
32 each month by the 20th day of the month next following the
33 month during which such tax liability is incurred and shall
34 make payment to the Department on or before the 7th, 15th,
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1 22nd and last day of the month during which such liability is
2 incurred. If the month during which such tax liability is
3 incurred began prior to January 1, 1985, each payment shall
4 be in an amount equal to 1/4 of the taxpayer's actual
5 liability for the month or an amount set by the Department
6 not to exceed 1/4 of the average monthly liability of the
7 taxpayer to the Department for the preceding 4 complete
8 calendar quarters (excluding the month of highest liability
9 and the month of lowest liability in such 4 quarter period).
10 If the month during which such tax liability is incurred
11 begins on or after January 1, 1985 and prior to January 1,
12 1987, each payment shall be in an amount equal to 22.5% of
13 the taxpayer's actual liability for the month or 27.5% of the
14 taxpayer's liability for the same calendar month of the
15 preceding year. If the month during which such tax liability
16 is incurred begins on or after January 1, 1987 and prior to
17 January 1, 1988, each payment shall be in an amount equal to
18 22.5% of the taxpayer's actual liability for the month or
19 26.25% of the taxpayer's liability for the same calendar
20 month of the preceding year. If the month during which such
21 tax liability is incurred begins on or after January 1, 1988,
22 and prior to January 1, 1989, or begins on or after January
23 1, 1996, each payment shall be in an amount equal to 22.5% of
24 the taxpayer's actual liability for the month or 25% of the
25 taxpayer's liability for the same calendar month of the
26 preceding year. If the month during which such tax liability
27 is incurred begins on or after January 1, 1989, and prior to
28 January 1, 1996, each payment shall be in an amount equal to
29 22.5% of the taxpayer's actual liability for the month or 25%
30 of the taxpayer's liability for the same calendar month of
31 the preceding year or 100% of the taxpayer's actual liability
32 for the quarter monthly reporting period. The amount of such
33 quarter monthly payments shall be credited against the final
34 tax liability of the taxpayer's return for that month.
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1 Before October 1, 2000, once applicable, the requirement of
2 the making of quarter monthly payments to the Department by
3 taxpayers having an average monthly tax liability of $10,000
4 or more as determined in the manner provided above shall
5 continue until such taxpayer's average monthly liability to
6 the Department during the preceding 4 complete calendar
7 quarters (excluding the month of highest liability and the
8 month of lowest liability) is less than $9,000, or until such
9 taxpayer's average monthly liability to the Department as
10 computed for each calendar quarter of the 4 preceding
11 complete calendar quarter period is less than $10,000.
12 However, if a taxpayer can show the Department that a
13 substantial change in the taxpayer's business has occurred
14 which causes the taxpayer to anticipate that his average
15 monthly tax liability for the reasonably foreseeable future
16 will fall below the $10,000 threshold stated above, then such
17 taxpayer may petition the Department for a change in such
18 taxpayer's reporting status. On and after October 1, 2000,
19 once applicable, the requirement of the making of quarter
20 monthly payments to the Department by taxpayers having an
21 average monthly tax liability of $20,000 or more as
22 determined in the manner provided above shall continue until
23 such taxpayer's average monthly liability to the Department
24 during the preceding 4 complete calendar quarters (excluding
25 the month of highest liability and the month of lowest
26 liability) is less than $19,000 or until such taxpayer's
27 average monthly liability to the Department as computed for
28 each calendar quarter of the 4 preceding complete calendar
29 quarter period is less than $20,000. However, if a taxpayer
30 can show the Department that a substantial change in the
31 taxpayer's business has occurred which causes the taxpayer to
32 anticipate that his average monthly tax liability for the
33 reasonably foreseeable future will fall below the $20,000
34 threshold stated above, then such taxpayer may petition the
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1 Department for a change in such taxpayer's reporting status.
2 The Department shall change such taxpayer's reporting status
3 unless it finds that such change is seasonal in nature and
4 not likely to be long term. If any such quarter monthly
5 payment is not paid at the time or in the amount required by
6 this Section, then the taxpayer shall be liable for penalties
7 and interest on the difference between the minimum amount due
8 as a payment and the amount of such quarter monthly payment
9 actually and timely paid, except insofar as the taxpayer has
10 previously made payments for that month to the Department in
11 excess of the minimum payments previously due as provided in
12 this Section. The Department shall make reasonable rules and
13 regulations to govern the quarter monthly payment amount and
14 quarter monthly payment dates for taxpayers who file on other
15 than a calendar monthly basis.
16 The provisions of this paragraph apply before October 1,
17 2001. Without regard to whether a taxpayer is required to
18 make quarter monthly payments as specified above, any
19 taxpayer who is required by Section 2d of this Act to collect
20 and remit prepaid taxes and has collected prepaid taxes which
21 average in excess of $25,000 per month during the preceding 2
22 complete calendar quarters, shall file a return with the
23 Department as required by Section 2f and shall make payments
24 to the Department on or before the 7th, 15th, 22nd and last
25 day of the month during which such liability is incurred. If
26 the month during which such tax liability is incurred began
27 prior to the effective date of this amendatory Act of 1985,
28 each payment shall be in an amount not less than 22.5% of the
29 taxpayer's actual liability under Section 2d. If the month
30 during which such tax liability is incurred begins on or
31 after January 1, 1986, each payment shall be in an amount
32 equal to 22.5% of the taxpayer's actual liability for the
33 month or 27.5% of the taxpayer's liability for the same
34 calendar month of the preceding calendar year. If the month
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1 during which such tax liability is incurred begins on or
2 after January 1, 1987, each payment shall be in an amount
3 equal to 22.5% of the taxpayer's actual liability for the
4 month or 26.25% of the taxpayer's liability for the same
5 calendar month of the preceding year. The amount of such
6 quarter monthly payments shall be credited against the final
7 tax liability of the taxpayer's return for that month filed
8 under this Section or Section 2f, as the case may be. Once
9 applicable, the requirement of the making of quarter monthly
10 payments to the Department pursuant to this paragraph shall
11 continue until such taxpayer's average monthly prepaid tax
12 collections during the preceding 2 complete calendar quarters
13 is $25,000 or less. If any such quarter monthly payment is
14 not paid at the time or in the amount required, the taxpayer
15 shall be liable for penalties and interest on such
16 difference, except insofar as the taxpayer has previously
17 made payments for that month in excess of the minimum
18 payments previously due.
19 The provisions of this paragraph apply on and after
20 October 1, 2001. Without regard to whether a taxpayer is
21 required to make quarter monthly payments as specified above,
22 any taxpayer who is required by Section 2d of this Act to
23 collect and remit prepaid taxes and has collected prepaid
24 taxes that average in excess of $20,000 per month during the
25 preceding 4 complete calendar quarters shall file a return
26 with the Department as required by Section 2f and shall make
27 payments to the Department on or before the 7th, 15th, 22nd
28 and last day of the month during which the liability is
29 incurred. Each payment shall be in an amount equal to 22.5%
30 of the taxpayer's actual liability for the month or 25% of
31 the taxpayer's liability for the same calendar month of the
32 preceding year. The amount of the quarter monthly payments
33 shall be credited against the final tax liability of the
34 taxpayer's return for that month filed under this Section or
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1 Section 2f, as the case may be. Once applicable, the
2 requirement of the making of quarter monthly payments to the
3 Department pursuant to this paragraph shall continue until
4 the taxpayer's average monthly prepaid tax collections during
5 the preceding 4 complete calendar quarters (excluding the
6 month of highest liability and the month of lowest liability)
7 is less than $19,000 or until such taxpayer's average monthly
8 liability to the Department as computed for each calendar
9 quarter of the 4 preceding complete calendar quarters is less
10 than $20,000. If any such quarter monthly payment is not
11 paid at the time or in the amount required, the taxpayer
12 shall be liable for penalties and interest on such
13 difference, except insofar as the taxpayer has previously
14 made payments for that month in excess of the minimum
15 payments previously due.
16 If any payment provided for in this Section exceeds the
17 taxpayer's liabilities under this Act, the Use Tax Act, the
18 Service Occupation Tax Act and the Service Use Tax Act, as
19 shown on an original monthly return, the Department shall, if
20 requested by the taxpayer, issue to the taxpayer a credit
21 memorandum no later than 30 days after the date of payment.
22 The credit evidenced by such credit memorandum may be
23 assigned by the taxpayer to a similar taxpayer under this
24 Act, the Use Tax Act, the Service Occupation Tax Act or the
25 Service Use Tax Act, in accordance with reasonable rules and
26 regulations to be prescribed by the Department. If no such
27 request is made, the taxpayer may credit such excess payment
28 against tax liability subsequently to be remitted to the
29 Department under this Act, the Use Tax Act, the Service
30 Occupation Tax Act or the Service Use Tax Act, in accordance
31 with reasonable rules and regulations prescribed by the
32 Department. If the Department subsequently determined that
33 all or any part of the credit taken was not actually due to
34 the taxpayer, the taxpayer's 2.1% and 1.75% vendor's discount
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1 shall be reduced by 2.1% or 1.75% of the difference between
2 the credit taken and that actually due, and that taxpayer
3 shall be liable for penalties and interest on such
4 difference.
5 If a retailer of motor fuel is entitled to a credit under
6 Section 2d of this Act which exceeds the taxpayer's liability
7 to the Department under this Act for the month which the
8 taxpayer is filing a return, the Department shall issue the
9 taxpayer a credit memorandum for the excess.
10 Beginning January 1, 1990, each month the Department
11 shall pay into the Local Government Tax Fund, a special fund
12 in the State treasury which is hereby created, the net
13 revenue realized for the preceding month from the 1% tax on
14 sales of food for human consumption which is to be consumed
15 off the premises where it is sold (other than alcoholic
16 beverages, soft drinks and food which has been prepared for
17 immediate consumption) and prescription and nonprescription
18 medicines, drugs, medical appliances and insulin, urine
19 testing materials, syringes and needles used by diabetics.
20 Beginning January 1, 1990, each month the Department
21 shall pay into the County and Mass Transit District Fund, a
22 special fund in the State treasury which is hereby created,
23 4% of the net revenue realized for the preceding month from
24 the 6.25% general rate.
25 Beginning August 1, 2000, each month the Department shall
26 pay into the County and Mass Transit District Fund 20% of the
27 net revenue realized for the preceding month from the 1.25%
28 rate on the selling price of motor fuel and gasohol.
29 Beginning August 1, 2002, each month the Department shall
30 pay into the County and Mass Transit District Fund 20% of the
31 net revenue realized for the preceding month from the 1.25%
32 rate on the selling price of textbooks required for use at
33 State universities and public community colleges.
34 Beginning January 1, 1990, each month the Department
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1 shall pay into the Local Government Tax Fund 16% 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 Beginning August 1, 2000, each month the Department shall
6 pay into the Local Government Tax Fund 80% of the net revenue
7 realized for the preceding month from the 1.25% rate on the
8 selling price of motor fuel and gasohol.
9 Beginning August 1, 2002, each month the Department shall
10 pay into the Local Government Tax Fund 80% of the net revenue
11 realized for the preceding month from the 1.25% rate on the
12 selling price of textbooks required for use at State
13 universities and public community colleges.
14 Of the remainder of the moneys received by the Department
15 pursuant to this Act, (a) 1.75% thereof shall be paid into
16 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2%
17 and on and after July 1, 1989, 3.8% thereof shall be paid
18 into the Build Illinois Fund; provided, however, that if in
19 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%,
20 as the case may be, of the moneys received by the Department
21 and required to be paid into the Build Illinois Fund pursuant
22 to this Act, Section 9 of the Use Tax Act, Section 9 of the
23 Service Use Tax Act, and Section 9 of the Service Occupation
24 Tax Act, such Acts being hereinafter called the "Tax Acts"
25 and such aggregate of 2.2% or 3.8%, as the case may be, of
26 moneys being hereinafter called the "Tax Act Amount", and (2)
27 the amount transferred to the Build Illinois Fund from the
28 State and Local Sales Tax Reform Fund shall be less than the
29 Annual Specified Amount (as hereinafter defined), an amount
30 equal to the difference shall be immediately paid into the
31 Build Illinois Fund from other moneys received by the
32 Department pursuant to the Tax Acts; the "Annual Specified
33 Amount" means the amounts specified below for fiscal years
34 1986 through 1993:
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1 Fiscal Year Annual Specified Amount
2 1986 $54,800,000
3 1987 $76,650,000
4 1988 $80,480,000
5 1989 $88,510,000
6 1990 $115,330,000
7 1991 $145,470,000
8 1992 $182,730,000
9 1993 $206,520,000;
10 and means the Certified Annual Debt Service Requirement (as
11 defined in Section 13 of the Build Illinois Bond Act) or the
12 Tax Act Amount, whichever is greater, for fiscal year 1994
13 and each fiscal year thereafter; and further provided, that
14 if on the last business day of any month the sum of (1) the
15 Tax Act Amount required to be deposited into the Build
16 Illinois Bond Account in the Build Illinois Fund during such
17 month and (2) the amount transferred to the Build Illinois
18 Fund from the State and Local Sales Tax Reform Fund shall
19 have been less than 1/12 of the Annual Specified Amount, an
20 amount equal to the difference shall be immediately paid into
21 the Build Illinois Fund from other moneys received by the
22 Department pursuant to the Tax Acts; and, further provided,
23 that in no event shall the payments required under the
24 preceding proviso result in aggregate payments into the Build
25 Illinois Fund pursuant to this clause (b) for any fiscal year
26 in excess of the greater of (i) the Tax Act Amount or (ii)
27 the Annual Specified Amount for such fiscal year. The
28 amounts payable into the Build Illinois Fund under clause (b)
29 of the first sentence in this paragraph shall be payable only
30 until such time as the aggregate amount on deposit under each
31 trust indenture securing Bonds issued and outstanding
32 pursuant to the Build Illinois Bond Act is sufficient, taking
33 into account any future investment income, to fully provide,
34 in accordance with such indenture, for the defeasance of or
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1 the payment of the principal of, premium, if any, and
2 interest on the Bonds secured by such indenture and on any
3 Bonds expected to be issued thereafter and all fees and costs
4 payable with respect thereto, all as certified by the
5 Director of the Bureau of the Budget. If on the last
6 business day of any month in which Bonds are outstanding
7 pursuant to the Build Illinois Bond Act, the aggregate of
8 moneys deposited in the Build Illinois Bond Account in the
9 Build Illinois Fund in such month shall be less than the
10 amount required to be transferred in such month from the
11 Build Illinois Bond Account to the Build Illinois Bond
12 Retirement and Interest Fund pursuant to Section 13 of the
13 Build Illinois Bond Act, an amount equal to such deficiency
14 shall be immediately paid from other moneys received by the
15 Department pursuant to the Tax Acts to the Build Illinois
16 Fund; provided, however, that any amounts paid to the Build
17 Illinois Fund in any fiscal year pursuant to this sentence
18 shall be deemed to constitute payments pursuant to clause (b)
19 of the first sentence of this paragraph and shall reduce the
20 amount otherwise payable for such fiscal year pursuant to
21 that clause (b). The moneys received by the Department
22 pursuant to this Act and required to be deposited into the
23 Build Illinois Fund are subject to the pledge, claim and
24 charge set forth in Section 12 of the Build Illinois Bond
25 Act.
26 Subject to payment of amounts into the Build Illinois
27 Fund as provided in the preceding paragraph or in any
28 amendment thereto hereafter enacted, the following specified
29 monthly installment of the amount requested in the
30 certificate of the Chairman of the Metropolitan Pier and
31 Exposition Authority provided under Section 8.25f of the
32 State Finance Act, but not in excess of sums designated as
33 "Total Deposit", shall be deposited in the aggregate from
34 collections under Section 9 of the Use Tax Act, Section 9 of
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1 the Service Use Tax Act, Section 9 of the Service Occupation
2 Tax Act, and Section 3 of the Retailers' Occupation Tax Act
3 into the McCormick Place Expansion Project Fund in the
4 specified fiscal years.
5 Fiscal Year Total Deposit
6 1993 $0
7 1994 53,000,000
8 1995 58,000,000
9 1996 61,000,000
10 1997 64,000,000
11 1998 68,000,000
12 1999 71,000,000
13 2000 75,000,000
14 2001 80,000,000
15 2002 93,000,000
16 2003 99,000,000
17 2004 103,000,000
18 2005 108,000,000
19 2006 113,000,000
20 2007 119,000,000
21 2008 126,000,000
22 2009 132,000,000
23 2010 139,000,000
24 2011 146,000,000
25 2012 153,000,000
26 2013 161,000,000
27 2014 170,000,000
28 2015 179,000,000
29 2016 189,000,000
30 2017 199,000,000
31 2018 210,000,000
32 2019 221,000,000
33 2020 233,000,000
34 2021 246,000,000
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1 2022 260,000,000
2 2023 and 275,000,000
3 each fiscal year
4 thereafter that bonds
5 are outstanding under
6 Section 13.2 of the
7 Metropolitan Pier and
8 Exposition Authority
9 Act, but not after fiscal year 2042.
10 Beginning July 20, 1993 and in each month of each fiscal
11 year thereafter, one-eighth of the amount requested in the
12 certificate of the Chairman of the Metropolitan Pier and
13 Exposition Authority for that fiscal year, less the amount
14 deposited into the McCormick Place Expansion Project Fund by
15 the State Treasurer in the respective month under subsection
16 (g) of Section 13 of the Metropolitan Pier and Exposition
17 Authority Act, plus cumulative deficiencies in the deposits
18 required under this Section for previous months and years,
19 shall be deposited into the McCormick Place Expansion Project
20 Fund, until the full amount requested for the fiscal year,
21 but not in excess of the amount specified above as "Total
22 Deposit", has been deposited.
23 Subject to payment of amounts into the Build Illinois
24 Fund and the McCormick Place Expansion Project Fund pursuant
25 to the preceding paragraphs or in any amendment thereto
26 hereafter enacted, each month the Department shall pay into
27 the Local Government Distributive Fund 0.4% of the net
28 revenue realized for the preceding month from the 5% general
29 rate or 0.4% of 80% of the net revenue realized for the
30 preceding month from the 6.25% general rate, as the case may
31 be, on the selling price of tangible personal property which
32 amount shall, subject to appropriation, be distributed as
33 provided in Section 2 of the State Revenue Sharing Act. No
34 payments or distributions pursuant to this paragraph shall be
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1 made if the tax imposed by this Act on photoprocessing
2 products is declared unconstitutional, or if the proceeds
3 from such tax are unavailable for distribution because of
4 litigation.
5 Subject to payment of amounts into the Build Illinois
6 Fund, and the McCormick Place Expansion Project Fund, and the
7 Local Government Distributive Fund pursuant to the preceding
8 paragraphs or in any amendments thereto hereafter enacted,
9 beginning July 1, 1993, the Department shall each month pay
10 into the Illinois Tax Increment Fund 0.27% of 80% of the net
11 revenue realized for the preceding month from the 6.25%
12 general rate on the selling price of tangible personal
13 property.
14 Subject to payment of amounts into the Build Illinois
15 Fund, the McCormick Place Expansion Project Fund, and the
16 Local Government Distributive Fund pursuant to the preceding
17 paragraphs or in any amendments thereto hereafter enacted,
18 beginning with the receipt of the first report of taxes paid
19 by an eligible business and continuing for a 25-year period,
20 the Department shall each month pay into the Energy
21 Infrastructure Fund 80% of the net revenue realized from the
22 6.25% general rate on the selling price of Illinois-mined
23 coal that was sold to an eligible business. For purposes of
24 this paragraph, the term "eligible business" means a new
25 electric generating facility certified pursuant to Section
26 605-332 of the Department of Commerce and Community Affairs
27 Law of the Civil Administrative Code of Illinois.
28 Of the remainder of the moneys received by the Department
29 pursuant to this Act, 75% thereof shall be paid into the
30 State Treasury and 25% shall be reserved in a special account
31 and used only for the transfer to the Common School Fund as
32 part of the monthly transfer from the General Revenue Fund in
33 accordance with Section 8a of the State Finance Act.
34 The Department may, upon separate written notice to a
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1 taxpayer, require the taxpayer to prepare and file with the
2 Department on a form prescribed by the Department within not
3 less than 60 days after receipt of the notice an annual
4 information return for the tax year specified in the notice.
5 Such annual return to the Department shall include a
6 statement of gross receipts as shown by the retailer's last
7 Federal income tax return. If the total receipts of the
8 business as reported in the Federal income tax return do not
9 agree with the gross receipts reported to the Department of
10 Revenue for the same period, the retailer shall attach to his
11 annual return a schedule showing a reconciliation of the 2
12 amounts and the reasons for the difference. The retailer's
13 annual return to the Department shall also disclose the cost
14 of goods sold by the retailer during the year covered by such
15 return, opening and closing inventories of such goods for
16 such year, costs of goods used from stock or taken from stock
17 and given away by the retailer during such year, payroll
18 information of the retailer's business during such year and
19 any additional reasonable information which the Department
20 deems would be helpful in determining the accuracy of the
21 monthly, quarterly or annual returns filed by such retailer
22 as provided for in this Section.
23 If the annual information return required by this Section
24 is not filed when and as required, the taxpayer shall be
25 liable as follows:
26 (i) Until January 1, 1994, the taxpayer shall be
27 liable for a penalty equal to 1/6 of 1% of the tax due
28 from such taxpayer under this Act during the period to be
29 covered by the annual return for each month or fraction
30 of a month until such return is filed as required, the
31 penalty to be assessed and collected in the same manner
32 as any other penalty provided for in this Act.
33 (ii) On and after January 1, 1994, the taxpayer
34 shall be liable for a penalty as described in Section 3-4
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1 of the Uniform Penalty and Interest Act.
2 The chief executive officer, proprietor, owner or highest
3 ranking manager shall sign the annual return to certify the
4 accuracy of the information contained therein. Any person
5 who willfully signs the annual return containing false or
6 inaccurate information shall be guilty of perjury and
7 punished accordingly. The annual return form prescribed by
8 the Department shall include a warning that the person
9 signing the return may be liable for perjury.
10 The provisions of this Section concerning the filing of
11 an annual information return do not apply to a retailer who
12 is not required to file an income tax return with the United
13 States Government.
14 As soon as possible after the first day of each month,
15 upon certification of the Department of Revenue, the
16 Comptroller shall order transferred and the Treasurer shall
17 transfer from the General Revenue Fund to the Motor Fuel Tax
18 Fund an amount equal to 1.7% of 80% of the net revenue
19 realized under this Act for the second preceding month.
20 Beginning April 1, 2000, this transfer is no longer required
21 and shall not be made.
22 Net revenue realized for a month shall be the revenue
23 collected by the State pursuant to this Act, less the amount
24 paid out during that month as refunds to taxpayers for
25 overpayment of liability.
26 For greater simplicity of administration, manufacturers,
27 importers and wholesalers whose products are sold at retail
28 in Illinois by numerous retailers, and who wish to do so, may
29 assume the responsibility for accounting and paying to the
30 Department all tax accruing under this Act with respect to
31 such sales, if the retailers who are affected do not make
32 written objection to the Department to this arrangement.
33 Any person who promotes, organizes, provides retail
34 selling space for concessionaires or other types of sellers
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1 at the Illinois State Fair, DuQuoin State Fair, county fairs,
2 local fairs, art shows, flea markets and similar exhibitions
3 or events, including any transient merchant as defined by
4 Section 2 of the Transient Merchant Act of 1987, is required
5 to file a report with the Department providing the name of
6 the merchant's business, the name of the person or persons
7 engaged in merchant's business, the permanent address and
8 Illinois Retailers Occupation Tax Registration Number of the
9 merchant, the dates and location of the event and other
10 reasonable information that the Department may require. The
11 report must be filed not later than the 20th day of the month
12 next following the month during which the event with retail
13 sales was held. Any person who fails to file a report
14 required by this Section commits a business offense and is
15 subject to a fine not to exceed $250.
16 Any person engaged in the business of selling tangible
17 personal property at retail as a concessionaire or other type
18 of seller at the Illinois State Fair, county fairs, art
19 shows, flea markets and similar exhibitions or events, or any
20 transient merchants, as defined by Section 2 of the Transient
21 Merchant Act of 1987, may be required to make a daily report
22 of the amount of such sales to the Department and to make a
23 daily payment of the full amount of tax due. The Department
24 shall impose this requirement when it finds that there is a
25 significant risk of loss of revenue to the State at such an
26 exhibition or event. Such a finding shall be based on
27 evidence that a substantial number of concessionaires or
28 other sellers who are not residents of Illinois will be
29 engaging in the business of selling tangible personal
30 property at retail at the exhibition or event, or other
31 evidence of a significant risk of loss of revenue to the
32 State. The Department shall notify concessionaires and other
33 sellers affected by the imposition of this requirement. In
34 the absence of notification by the Department, the
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1 concessionaires and other sellers shall file their returns as
2 otherwise required in this Section.
3 (Source: P.A. 91-37, eff. 7-1-99; 91-51, eff. 6-30-99;
4 91-101, eff. 7-12-99; 91-541, eff. 8-13-99; 91-872, eff.
5 7-1-00; 91-901, eff. 1-1-01; 92-12, eff. 7-1-01; 92-16, eff.
6 6-28-01; 92-208, eff. 8-2-01; 92-484, eff. 8-23-01; 92-492,
7 eff. 1-1-02; revised 9-14-01.)
8 Section 99. Effective date. This Act takes effect upon
9 becoming law.