Illinois General Assembly - Full Text of Public Act 099-0517
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Public Act 099-0517


 

Public Act 0517 99TH GENERAL ASSEMBLY

  
  
  

 


 
Public Act 099-0517
 
HB5598 EnrolledLRB099 16642 HLH 40980 b

    AN ACT concerning revenue.
 
    Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
 
    Section 5. The Department of Revenue Law of the Civil
Administrative Code of Illinois is amended by changing Section
2505-190 as follows:
 
    (20 ILCS 2505/2505-190)  (was 20 ILCS 2505/39c-4)
    Sec. 2505-190. Tax Compliance and Administration Fund.
    (a) Amounts deposited into the Tax Compliance and
Administration Fund, a special fund in the State treasury that
is hereby created, must be appropriated to the Department to
reimburse the Department for its costs of collecting,
administering, and enforcing the tax laws that provide for
deposits into the Fund. Moneys in the Fund shall consist of
deposits provided for in tax laws, reimbursements, or other
payments received from units of local government for
administering a local tax or fee on behalf of the unit of local
government in accordance with the Local Tax Collection Act, or
other payments designated for deposit into the Fund.
    (b) As soon as possible after July 1, 2015, and as soon as
possible after each July 1 thereafter, the Director of the
Department of Revenue shall certify the balance in the Tax
Compliance and Administration Fund as of July 1, less any
amounts obligated, and the State Comptroller shall order
transferred and the State Treasurer shall transfer from the Tax
Compliance and Administration Fund to the General Revenue Fund
the amount certified that exceeds $2,500,000.
(Source: P.A. 98-1098, eff. 8-26-14.)
 
    Section 10. The Retailers' Occupation Tax Act is amended by
changing Section 11 as follows:
 
    (35 ILCS 120/11)  (from Ch. 120, par. 450)
    Sec. 11. All information received by the Department from
returns filed under this Act, or from any investigation
conducted under this Act, shall be confidential, except for
official purposes, and any person who divulges any such
information in any manner, except in accordance with a proper
judicial order or as otherwise provided by law, shall be guilty
of a Class B misdemeanor with a fine not to exceed $7,500.
    Nothing in this Act prevents the Director of Revenue from
publishing or making available to the public the names and
addresses of persons filing returns under this Act, or
reasonable statistics concerning the operation of the tax by
grouping the contents of returns so the information in any
individual return is not disclosed.
    Nothing in this Act prevents the Director of Revenue from
divulging to the United States Government or the government of
any other state, or any officer or agency thereof, for
exclusively official purposes, information received by the
Department in administering this Act, provided that such other
governmental agency agrees to divulge requested tax
information to the Department.
    The Department's furnishing of information derived from a
taxpayer's return or from an investigation conducted under this
Act to the surety on a taxpayer's bond that has been furnished
to the Department under this Act, either to provide notice to
such surety of its potential liability under the bond or, in
order to support the Department's demand for payment from such
surety under the bond, is an official purpose within the
meaning of this Section.
    The furnishing upon request of information obtained by the
Department from returns filed under this Act or investigations
conducted under this Act to the Illinois Liquor Control
Commission for official use is deemed to be an official purpose
within the meaning of this Section.
    Notice to a surety of potential liability shall not be
given unless the taxpayer has first been notified, not less
than 10 days prior thereto, of the Department's intent to so
notify the surety.
    The furnishing upon request of the Auditor General, or his
authorized agents, for official use, of returns filed and
information related thereto under this Act is deemed to be an
official purpose within the meaning of this Section.
    Where an appeal or a protest has been filed on behalf of a
taxpayer, the furnishing upon request of the attorney for the
taxpayer of returns filed by the taxpayer and information
related thereto under this Act is deemed to be an official
purpose within the meaning of this Section.
    The furnishing of financial information to a municipality
or county, upon request of the chief executive officer Chief
Executive thereof, is an official purpose within the meaning of
this Section, provided the municipality or county agrees in
writing to the requirements of this Section. Information
provided to municipalities and counties under this paragraph
shall be limited to: (1) the business name; (2) the business
address; (3) the standard classification number assigned to the
business; (4) net revenue distributed to the requesting
municipality or county that is directly related to the
requesting municipality's or county's local share of the
proceeds under the Use Tax Act, the Service Use Tax Act, the
Service Occupation Tax Act, and the Retailers' Occupation Tax
Act distributed from the Local Government Tax Fund, and, if
applicable, any locally imposed retailers' occupation tax or
service occupation tax; and (5) (4) a listing of all businesses
within the requesting municipality or county by account
identification number and address. On and after July 1, 2015,
the furnishing of financial information to municipalities and
counties under this paragraph may be by electronic means.
    Information so provided shall be subject to all
confidentiality provisions of this Section. The written
agreement shall provide for reciprocity, limitations on
access, disclosure, and procedures for requesting information.
    The Department may make available to the Board of Trustees
of any Metro East Mass Transit District information contained
on transaction reporting returns required to be filed under
Section 3 of this Act that report sales made within the
boundary of the taxing authority of that Metro East Mass
Transit District, as provided in Section 5.01 of the Local Mass
Transit District Act. The disclosure shall be made pursuant to
a written agreement between the Department and the Board of
Trustees of a Metro East Mass Transit District, which is an
official purpose within the meaning of this Section. The
written agreement between the Department and the Board of
Trustees of a Metro East Mass Transit District shall provide
for reciprocity, limitations on access, disclosure, and
procedures for requesting information. Information so provided
shall be subject to all confidentiality provisions of this
Section.
    The Director may make available to any State agency,
including the Illinois Supreme Court, which licenses persons to
engage in any occupation, information that a person licensed by
such agency has failed to file returns under this Act or pay
the tax, penalty and interest shown therein, or has failed to
pay any final assessment of tax, penalty or interest due under
this Act. The Director may make available to any State agency,
including the Illinois Supreme Court, information regarding
whether a bidder, contractor, or an affiliate of a bidder or
contractor has failed to collect and remit Illinois Use tax on
sales into Illinois, or any tax under this Act or pay the tax,
penalty, and interest shown therein, or has failed to pay any
final assessment of tax, penalty, or interest due under this
Act, for the limited purpose of enforcing bidder and contractor
certifications. The Director may make available to units of
local government and school districts that require bidder and
contractor certifications, as set forth in Sections 50-11 and
50-12 of the Illinois Procurement Code, information regarding
whether a bidder, contractor, or an affiliate of a bidder or
contractor has failed to collect and remit Illinois Use tax on
sales into Illinois, file returns under this Act, or pay the
tax, penalty, and interest shown therein, or has failed to pay
any final assessment of tax, penalty, or interest due under
this Act, for the limited purpose of enforcing bidder and
contractor certifications. For purposes of this Section, the
term "affiliate" means any entity that (1) directly,
indirectly, or constructively controls another entity, (2) is
directly, indirectly, or constructively controlled by another
entity, or (3) is subject to the control of a common entity.
For purposes of this Section, an entity controls another entity
if it owns, directly or individually, more than 10% of the
voting securities of that entity. As used in this Section, the
term "voting security" means a security that (1) confers upon
the holder the right to vote for the election of members of the
board of directors or similar governing body of the business or
(2) is convertible into, or entitles the holder to receive upon
its exercise, a security that confers such a right to vote. A
general partnership interest is a voting security.
    The Director may make available to any State agency,
including the Illinois Supreme Court, units of local
government, and school districts, information regarding
whether a bidder or contractor is an affiliate of a person who
is not collecting and remitting Illinois Use taxes for the
limited purpose of enforcing bidder and contractor
certifications.
    The Director may also make available to the Secretary of
State information that a limited liability company, which has
filed articles of organization with the Secretary of State, or
corporation which has been issued a certificate of
incorporation by the Secretary of State has failed to file
returns under this Act or pay the tax, penalty and interest
shown therein, or has failed to pay any final assessment of
tax, penalty or interest due under this Act. An assessment is
final when all proceedings in court for review of such
assessment have terminated or the time for the taking thereof
has expired without such proceedings being instituted.
    The Director shall make available for public inspection in
the Department's principal office and for publication, at cost,
administrative decisions issued on or after January 1, 1995.
These decisions are to be made available in a manner so that
the following taxpayer information is not disclosed:
        (1) The names, addresses, and identification numbers
    of the taxpayer, related entities, and employees.
        (2) At the sole discretion of the Director, trade
    secrets or other confidential information identified as
    such by the taxpayer, no later than 30 days after receipt
    of an administrative decision, by such means as the
    Department shall provide by rule.
    The Director shall determine the appropriate extent of the
deletions allowed in paragraph (2). In the event the taxpayer
does not submit deletions, the Director shall make only the
deletions specified in paragraph (1).
    The Director shall make available for public inspection and
publication an administrative decision within 180 days after
the issuance of the administrative decision. The term
"administrative decision" has the same meaning as defined in
Section 3-101 of Article III of the Code of Civil Procedure.
Costs collected under this Section shall be paid into the Tax
Compliance and Administration Fund.
    Nothing contained in this Act shall prevent the Director
from divulging information to any person pursuant to a request
or authorization made by the taxpayer or by an authorized
representative of the taxpayer.
(Source: P.A. 98-1058, eff. 1-1-15.)
 
    Section 15. The Local Tax Collection Act is amended by
changing Section 1 as follows:
 
    (35 ILCS 720/1)  (from Ch. 120, par. 1901)
    Sec. 1. (a) The Department of Revenue and any unit of local
government county or municipality may agree to the Department's
collecting, and transmitting back to the unit of local
government such county or municipality, any tax lawfully
imposed by that unit of local government county or
municipality, the subject of which is similar to that of a tax
imposed by the State and collected by the Department of
Revenue, unless the General Assembly has specifically required
a different method of collection for such tax. However, the
Department may not enter into a contract with any unit of local
government municipality or county pursuant to this Act for the
collection of any tax based on the sale or use of tangible
personal property generally, not including taxes based only on
the sale or use of specifically limited kinds of tangible
personal property, unless the municipal or county ordinance
adopted by the unit of local government imposes a sales or use
tax which is substantively identical to and which contains the
same exemptions as the taxes imposed by the unit of local
government's municipalities' or counties' ordinances
authorized by the Home Rule or Non-Home Rule Municipal or
County Retailers' Occupation Tax Act, the Home Rule or Non-Home
Rule or the Municipal or County Use Tax, or any other
Retailers' Occupation Tax Act or Law that is administered by
the Department of Revenue, as interpreted by the Department
through its regulations as those Acts and as those regulations
may from time to time be amended.
    (b) Regarding the collection of a tax pursuant to this
Section, the Department and any person subject to a tax
collected by the Department pursuant to this Section shall, as
much as practicable, have the same rights, remedies,
privileges, immunities, powers and duties, and be subject to
the same conditions, restrictions, limitations, penalties,
definitions of terms and procedures, as those set forth in the
Act imposing the State tax, the subject of which is similar to
the tax being collected by the Department pursuant to this
Section. The Department and unit of local government county or
municipality shall specifically agree in writing to such
rights, remedies, privileges, immunities, powers, duties,
conditions, restrictions, limitations, penalties, definitions
of terms and procedures, as well as any other terms deemed
necessary or advisable. All terms so agreed upon shall be
incorporated into an ordinance of such unit of local government
county or municipality, and the Department shall not collect
the tax pursuant to this Section until such ordinance takes
effect.
    (c) (1) The Department shall forthwith pay over to the
State Treasurer, ex officio, as trustee, all taxes and
penalties collected hereunder. On or before the 25th day of
each calendar month, the Department shall prepare and certify
to the Comptroller the disbursement of stated sums of money to
named units of local government cities and counties from which
retailers or other taxpayers have paid taxes or penalties
hereunder to the Department during the second preceding
calendar month.
    (i) The an amount to be paid to each unit of local
government county and municipality, which shall equal the taxes
and penalties collected by the Department for the unit of local
government such county or municipality pursuant to this Section
during the second preceding calendar month (not including
credit memoranda), plus an amount the Department determines is
necessary to offset any amounts which were erroneously paid to
a different taxing body, and not including (i) an amount equal
to the amount of refunds made during the second preceding
calendar month by the Department of behalf of such county or
municipality and (ii) any amount which the Department
determines is necessary to offset any amounts which are payable
to a different taxing body but were erroneously paid to the
municipality or county, less 2% of the balance, or any greater
amount of the balance as provided in the agreement between the
Department and the unit of local government required under this
Section, which sum shall be retained by the State Treasurer.
total amount of taxes and penalties collected by the Department
for such county or municipality pursuant to this Section or the
actual cost of collection of such taxes and penalties
determined pursuant to the agreement described in subsection
(b), whichever is less, which shall be retained by the State;
and
    (ii) With respect to the total amount to be retained by the
State Treasurer pursuant to subparagraph (i), the Department,
at the time of each monthly disbursement to the units of local
government, shall prepare and certify to the Comptroller the
amount so retained by the State Treasurer, which shall be
transferred such amount to be deposited into the Tax Compliance
and Administration General Revenue Fund of the State treasury
and used by the Department, subject to appropriation, to cover
the costs incurred by the Department in collecting such taxes
and penalties.
    (2) Within 10 7 days after receiving the certifications
described in paragraph (1), the Comptroller shall issue orders
for payment of the amounts specified in subparagraph (i) of
paragraph (1).
    (d) Any home rule unit of local government which imposes a
tax collected by the Department pursuant to this Section
substantially similar to a State imposed tax, or which imposes
a tax which is intended to be collected from a retail purchaser
of goods or services at the same time a similar State tax is
also collected, must file a certified copy of the ordinance
imposing the tax with the Department within 10 days after its
passage. Beginning on the effective date of this amendatory Act
of the 99th General Assembly, an ordinance or resolution
imposing or discontinuing a tax collected by the Department
under this Section or effecting a change in the rate thereof
shall either (i) be adopted and a certified copy thereof filed
with the Department on or before the first day of April,
whereupon the Department shall proceed to administer and
enforce the tax imposition, discontinuance, or rate change as
of the first day of July next following the adoption and
filing; or (ii) be adopted and certified copy thereof filed
with the Department on or before the first day of October,
whereupon the Department shall proceed to administer and
enforce the tax imposition, discontinuance, or rate change as
of the first day of January next following the adoption and
filing. No such ordinance shall become effective until it is so
filed. Any home rule unit of local government which has enacted
such an ordinance prior to the effective date of this Act shall
file a copy of such ordinance with the Department within 90
days after the effective date of this Act.
    (e) It is declared to be the law of this State, pursuant to
paragraph (g) of Section 6 of Article VII of the Illinois
Constitution, that this amendatory Act of 1988 is a denial of
the power of a home rule unit to fail to comply with the
requirements of paragraphs (d) and (e) of this Section.
(Source: P.A. 85-1215.)
 
    Section 99. Effective date. This Act takes effect upon
becoming law.
INDEX
Statutes amended in order of appearance
    20 ILCS 2505/2505-190was 20 ILCS 2505/39c-4
    35 ILCS 120/11from Ch. 120, par. 450
    35 ILCS 720/1from Ch. 120, par. 1901

Effective Date: 6/30/2016