103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB2556

Introduced , by Rep. Sonya M. Harper

SYNOPSIS AS INTRODUCED:
30 ILCS 105/5.990 new
35 ILCS 105/3-10
35 ILCS 105/9 from Ch. 120, par. 439.9
35 ILCS 110/3-10 from Ch. 120, par. 439.33-10
35 ILCS 110/9 from Ch. 120, par. 439.39
35 ILCS 115/3-10 from Ch. 120, par. 439.103-10
35 ILCS 115/9 from Ch. 120, par. 439.109
35 ILCS 120/2-10
35 ILCS 120/3 from Ch. 120, par. 442
105 ILCS 5/10-20.85 new
105 ILCS 5/34-18.82 new
110 ILCS 330/15 new
210 ILCS 85/6.34 new

Amends the State Finance Act to create the Trauma Response Fund as a special fund in the State treasury. Amends the School Code. Requires school boards to develop a trauma response protocol that shall be implemented in response to a traumatic event at a school, including, but not limited to, a shooting at the school. Sets forth various requirements for the protocol, including response by hospitals, trauma intervention services, and community engagement. Provides that all moneys in the Trauma Response Fund shall be paid as grants to school districts to implement the trauma response protocol. Amends the University of Illinois Hospital Act and Hospital Licensing Act to make conforming changes. Amends the Use Tax Act, Service Use Tax Act, Service Occupation Tax Act, and Retailers' Occupation Tax Act. Imposes a 1% surcharge on firearm ammunition, which shall be deposited into the Trauma Response Fund. Effective immediately.
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A BILL FOR

HB2556LRB103 25797 HLH 52147 b
1 AN ACT concerning education.
2 Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4 Section 5. The State Finance Act is amended by adding
5Section 5.990 as follows:
6 (30 ILCS 105/5.990 new)
7 Sec. 5.990. The Trauma Response Fund.
8 Section 10. The Use Tax Act is amended by changing
9Sections 3-10 and 9 as follows:
10 (35 ILCS 105/3-10)
11 Sec. 3-10. Rate of tax. Unless otherwise provided in this
12Section, the tax imposed by this Act is at the rate of 6.25% of
13either the selling price or the fair market value, if any, of
14the tangible personal property. In all cases where property
15functionally used or consumed is the same as the property that
16was purchased at retail, then the tax is imposed on the selling
17price of the property. In all cases where property
18functionally used or consumed is a by-product or waste product
19that has been refined, manufactured, or produced from property
20purchased at retail, then the tax is imposed on the lower of
21the fair market value, if any, of the specific property so used

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1in this State or on the selling price of the property purchased
2at retail. For purposes of this Section "fair market value"
3means the price at which property would change hands between a
4willing buyer and a willing seller, neither being under any
5compulsion to buy or sell and both having reasonable knowledge
6of the relevant facts. The fair market value shall be
7established by Illinois sales by the taxpayer of the same
8property as that functionally used or consumed, or if there
9are no such sales by the taxpayer, then comparable sales or
10purchases of property of like kind and character in Illinois.
11 Beginning on July 1, 2000 and through December 31, 2000,
12with respect to motor fuel, as defined in Section 1.1 of the
13Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
14the Use Tax Act, the tax is imposed at the rate of 1.25%.
15 Beginning on August 6, 2010 through August 15, 2010, and
16beginning again on August 5, 2022 through August 14, 2022,
17with respect to sales tax holiday items as defined in Section
183-6 of this Act, the tax is imposed at the rate of 1.25%.
19 With respect to gasohol, the tax imposed by this Act
20applies to (i) 70% of the proceeds of sales made on or after
21January 1, 1990, and before July 1, 2003, (ii) 80% of the
22proceeds of sales made on or after July 1, 2003 and on or
23before July 1, 2017, and (iii) 100% of the proceeds of sales
24made thereafter. If, at any time, however, the tax under this
25Act on sales of gasohol is imposed at the rate of 1.25%, then
26the tax imposed by this Act applies to 100% of the proceeds of

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1sales of gasohol made during that time.
2 With respect to majority blended ethanol fuel, the tax
3imposed by this Act does not apply to the proceeds of sales
4made on or after July 1, 2003 and on or before December 31,
52023 but applies to 100% of the proceeds of sales made
6thereafter.
7 With respect to biodiesel blends with no less than 1% and
8no more than 10% biodiesel, the tax imposed by this Act applies
9to (i) 80% of the proceeds of sales made on or after July 1,
102003 and on or before December 31, 2018 and (ii) 100% of the
11proceeds of sales made after December 31, 2018 and before
12January 1, 2024. On and after January 1, 2024 and on or before
13December 31, 2030, the taxation of biodiesel, renewable
14diesel, and biodiesel blends shall be as provided in Section
153-5.1. If, at any time, however, the tax under this Act on
16sales of biodiesel blends with no less than 1% and no more than
1710% biodiesel is imposed at the rate of 1.25%, then the tax
18imposed by this Act applies to 100% of the proceeds of sales of
19biodiesel blends with no less than 1% and no more than 10%
20biodiesel made during that time.
21 With respect to biodiesel and biodiesel blends with more
22than 10% but no more than 99% biodiesel, the tax imposed by
23this Act does not apply to the proceeds of sales made on or
24after July 1, 2003 and on or before December 31, 2023. On and
25after January 1, 2024 and on or before December 31, 2030, the
26taxation of biodiesel, renewable diesel, and biodiesel blends

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1shall be as provided in Section 3-5.1.
2 Until July 1, 2022 and beginning again on July 1, 2023,
3with respect to food for human consumption that is to be
4consumed off the premises where it is sold (other than
5alcoholic beverages, food consisting of or infused with adult
6use cannabis, soft drinks, and food that has been prepared for
7immediate consumption), the tax is imposed at the rate of 1%.
8Beginning on July 1, 2022 and until July 1, 2023, with respect
9to food for human consumption that is to be consumed off the
10premises where it is sold (other than alcoholic beverages,
11food consisting of or infused with adult use cannabis, soft
12drinks, and food that has been prepared for immediate
13consumption), the tax is imposed at the rate of 0%.
14 With respect to prescription and nonprescription
15medicines, drugs, medical appliances, products classified as
16Class III medical devices by the United States Food and Drug
17Administration that are used for cancer treatment pursuant to
18a prescription, as well as any accessories and components
19related to those devices, modifications to a motor vehicle for
20the purpose of rendering it usable by a person with a
21disability, and insulin, blood sugar testing materials,
22syringes, and needles used by human diabetics, the tax is
23imposed at the rate of 1%. For the purposes of this Section,
24until September 1, 2009: the term "soft drinks" means any
25complete, finished, ready-to-use, non-alcoholic drink, whether
26carbonated or not, including, but not limited to, soda water,

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1cola, fruit juice, vegetable juice, carbonated water, and all
2other preparations commonly known as soft drinks of whatever
3kind or description that are contained in any closed or sealed
4bottle, can, carton, or container, regardless of size; but
5"soft drinks" does not include coffee, tea, non-carbonated
6water, infant formula, milk or milk products as defined in the
7Grade A Pasteurized Milk and Milk Products Act, or drinks
8containing 50% or more natural fruit or vegetable juice.
9 Notwithstanding any other provisions of this Act,
10beginning September 1, 2009, "soft drinks" means non-alcoholic
11beverages that contain natural or artificial sweeteners. "Soft
12drinks" does do not include beverages that contain milk or
13milk products, soy, rice or similar milk substitutes, or
14greater than 50% of vegetable or fruit juice by volume.
15 Until August 1, 2009, and notwithstanding any other
16provisions of this Act, "food for human consumption that is to
17be consumed off the premises where it is sold" includes all
18food sold through a vending machine, except soft drinks and
19food products that are dispensed hot from a vending machine,
20regardless of the location of the vending machine. Beginning
21August 1, 2009, and notwithstanding any other provisions of
22this Act, "food for human consumption that is to be consumed
23off the premises where it is sold" includes all food sold
24through a vending machine, except soft drinks, candy, and food
25products that are dispensed hot from a vending machine,
26regardless of the location of the vending machine.

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1 Notwithstanding any other provisions of this Act,
2beginning September 1, 2009, "food for human consumption that
3is to be consumed off the premises where it is sold" does not
4include candy. For purposes of this Section, "candy" means a
5preparation of sugar, honey, or other natural or artificial
6sweeteners in combination with chocolate, fruits, nuts or
7other ingredients or flavorings in the form of bars, drops, or
8pieces. "Candy" does not include any preparation that contains
9flour or requires refrigeration.
10 Notwithstanding any other provisions of this Act,
11beginning September 1, 2009, "nonprescription medicines and
12drugs" does not include grooming and hygiene products. For
13purposes of this Section, "grooming and hygiene products"
14includes, but is not limited to, soaps and cleaning solutions,
15shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
16lotions and screens, unless those products are available by
17prescription only, regardless of whether the products meet the
18definition of "over-the-counter-drugs". For the purposes of
19this paragraph, "over-the-counter-drug" means a drug for human
20use that contains a label that identifies the product as a drug
21as required by 21 CFR C.F.R. § 201.66. The
22"over-the-counter-drug" label includes:
23 (A) a A "Drug Facts" panel; or
24 (B) a A statement of the "active ingredient(s)" with a
25 list of those ingredients contained in the compound,
26 substance or preparation.

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1 Beginning on January 1, 2014 (the effective date of Public
2Act 98-122) this amendatory Act of the 98th General Assembly,
3"prescription and nonprescription medicines and drugs"
4includes medical cannabis purchased from a registered
5dispensing organization under the Compassionate Use of Medical
6Cannabis Program Act.
7 As used in this Section, "adult use cannabis" means
8cannabis subject to tax under the Cannabis Cultivation
9Privilege Tax Law and the Cannabis Purchaser Excise Tax Law
10and does not include cannabis subject to tax under the
11Compassionate Use of Medical Cannabis Program Act.
12 Beginning July 1, 2023, in addition to all other rates of
13tax imposed under this Act, a surcharge of 1% is imposed on the
14selling price of firearm ammunition. "Firearm ammunition" has
15the meaning given to that term under Section 31A-0.1 of the
16Criminal Code of 2012.
17 If the property that is purchased at retail from a
18retailer is acquired outside Illinois and used outside
19Illinois before being brought to Illinois for use here and is
20taxable under this Act, the "selling price" on which the tax is
21computed shall be reduced by an amount that represents a
22reasonable allowance for depreciation for the period of prior
23out-of-state use.
24(Source: P.A. 101-363, eff. 8-9-19; 101-593, eff. 12-4-19;
25102-4, eff. 4-27-21; 102-700, Article 20, Section 20-5, eff.
264-19-22; 102-700, Article 60, Section 60-15, eff. 4-19-22;

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1102-700, Article 65, Section 65-5, eff. 4-19-22; revised
25-27-22.)
3 (35 ILCS 105/9) (from Ch. 120, par. 439.9)
4 Sec. 9. Except as to motor vehicles, watercraft, aircraft,
5and trailers that are required to be registered with an agency
6of this State, each retailer required or authorized to collect
7the tax imposed by this Act shall pay to the Department the
8amount of such tax (except as otherwise provided) at the time
9when he is required to file his return for the period during
10which such tax was collected, less a discount of 2.1% prior to
11January 1, 1990, and 1.75% on and after January 1, 1990, or $5
12per calendar year, whichever is greater, which is allowed to
13reimburse the retailer for expenses incurred in collecting the
14tax, keeping records, preparing and filing returns, remitting
15the tax and supplying data to the Department on request. When
16determining the discount allowed under this Section, retailers
17shall include the amount of tax that would have been due at the
186.25% rate but for the 1.25% rate imposed on sales tax holiday
19items under Public Act 102-700 this amendatory Act of the
20102nd General Assembly. The discount under this Section is not
21allowed for the 1.25% portion of taxes paid on aviation fuel
22that is subject to the revenue use requirements of 49 U.S.C.
2347107(b) and 49 U.S.C. 47133. When determining the discount
24allowed under this Section, retailers shall include the amount
25of tax that would have been due at the 1% rate but for the 0%

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1rate imposed under Public Act 102-700 this amendatory Act of
2the 102nd General Assembly. In the case of retailers who
3report and pay the tax on a transaction by transaction basis,
4as provided in this Section, such discount shall be taken with
5each such tax remittance instead of when such retailer files
6his periodic return. The discount allowed under this Section
7is allowed only for returns that are filed in the manner
8required by this Act. The Department may disallow the discount
9for retailers whose certificate of registration is revoked at
10the time the return is filed, but only if the Department's
11decision to revoke the certificate of registration has become
12final. A retailer need not remit that part of any tax collected
13by him to the extent that he is required to remit and does
14remit the tax imposed by the Retailers' Occupation Tax Act,
15with respect to the sale of the same property.
16 Where such tangible personal property is sold under a
17conditional sales contract, or under any other form of sale
18wherein the payment of the principal sum, or a part thereof, is
19extended beyond the close of the period for which the return is
20filed, the retailer, in collecting the tax (except as to motor
21vehicles, watercraft, aircraft, and trailers that are required
22to be registered with an agency of this State), may collect for
23each tax return period, only the tax applicable to that part of
24the selling price actually received during such tax return
25period.
26 Except as provided in this Section, on or before the

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1twentieth day of each calendar month, such retailer shall file
2a return for the preceding calendar month. Such return shall
3be filed on forms prescribed by the Department and shall
4furnish such information as the Department may reasonably
5require. The return shall include the gross receipts on food
6for human consumption that is to be consumed off the premises
7where it is sold (other than alcoholic beverages, food
8consisting of or infused with adult use cannabis, soft drinks,
9and food that has been prepared for immediate consumption)
10which were received during the preceding calendar month,
11quarter, or year, as appropriate, and upon which tax would
12have been due but for the 0% rate imposed under Public Act
13102-700 this amendatory Act of the 102nd General Assembly. The
14return shall also include the amount of tax that would have
15been due on food for human consumption that is to be consumed
16off the premises where it is sold (other than alcoholic
17beverages, food consisting of or infused with adult use
18cannabis, soft drinks, and food that has been prepared for
19immediate consumption) but for the 0% rate imposed under
20Public Act 102-700 this amendatory Act of the 102nd General
21Assembly.
22 On and after January 1, 2018, except for returns required
23to be filed prior to January 1, 2023 for motor vehicles,
24watercraft, aircraft, and trailers that are required to be
25registered with an agency of this State, with respect to
26retailers whose annual gross receipts average $20,000 or more,

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1all returns required to be filed pursuant to this Act shall be
2filed electronically. On and after January 1, 2023, with
3respect to retailers whose annual gross receipts average
4$20,000 or more, all returns required to be filed pursuant to
5this Act, including, but not limited to, returns for motor
6vehicles, watercraft, aircraft, and trailers that are required
7to be registered with an agency of this State, shall be filed
8electronically. Retailers who demonstrate that they do not
9have access to the Internet or demonstrate hardship in filing
10electronically may petition the Department to waive the
11electronic filing requirement.
12 The Department may require returns to be filed on a
13quarterly basis. If so required, a return for each calendar
14quarter shall be filed on or before the twentieth day of the
15calendar month following the end of such calendar quarter. The
16taxpayer shall also file a return with the Department for each
17of the first two months of each calendar quarter, on or before
18the twentieth day of the following calendar month, stating:
19 1. The name of the seller;
20 2. The address of the principal place of business from
21 which he engages in the business of selling tangible
22 personal property at retail in this State;
23 3. The total amount of taxable receipts received by
24 him during the preceding calendar month from sales of
25 tangible personal property by him during such preceding
26 calendar month, including receipts from charge and time

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1 sales, but less all deductions allowed by law;
2 4. The amount of credit provided in Section 2d of this
3 Act;
4 5. The amount of tax due;
5 5-5. The signature of the taxpayer; and
6 6. Such other reasonable information as the Department
7 may require.
8 Each retailer required or authorized to collect the tax
9imposed by this Act on aviation fuel sold at retail in this
10State during the preceding calendar month shall, instead of
11reporting and paying tax on aviation fuel as otherwise
12required by this Section, report and pay such tax on a separate
13aviation fuel tax return. The requirements related to the
14return shall be as otherwise provided in this Section.
15Notwithstanding any other provisions of this Act to the
16contrary, retailers collecting tax on aviation fuel shall file
17all aviation fuel tax returns and shall make all aviation fuel
18tax payments by electronic means in the manner and form
19required by the Department. For purposes of this Section,
20"aviation fuel" means jet fuel and aviation gasoline.
21 If a taxpayer fails to sign a return within 30 days after
22the proper notice and demand for signature by the Department,
23the return shall be considered valid and any amount shown to be
24due on the return shall be deemed assessed.
25 Notwithstanding any other provision of this Act to the
26contrary, retailers subject to tax on cannabis shall file all

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1cannabis tax returns and shall make all cannabis tax payments
2by electronic means in the manner and form required by the
3Department.
4 Beginning October 1, 1993, a taxpayer who has an average
5monthly tax liability of $150,000 or more shall make all
6payments required by rules of the Department by electronic
7funds transfer. Beginning October 1, 1994, a taxpayer who has
8an average monthly tax liability of $100,000 or more shall
9make all payments required by rules of the Department by
10electronic funds transfer. Beginning October 1, 1995, a
11taxpayer who has an average monthly tax liability of $50,000
12or more shall make all payments required by rules of the
13Department by electronic funds transfer. Beginning October 1,
142000, a taxpayer who has an annual tax liability of $200,000 or
15more shall make all payments required by rules of the
16Department by electronic funds transfer. The term "annual tax
17liability" shall be the sum of the taxpayer's liabilities
18under this Act, and under all other State and local occupation
19and use tax laws administered by the Department, for the
20immediately preceding calendar year. The term "average monthly
21tax liability" means the sum of the taxpayer's liabilities
22under this Act, and under all other State and local occupation
23and use tax laws administered by the Department, for the
24immediately preceding calendar year divided by 12. Beginning
25on October 1, 2002, a taxpayer who has a tax liability in the
26amount set forth in subsection (b) of Section 2505-210 of the

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1Department of Revenue Law shall make all payments required by
2rules of the Department by electronic funds transfer.
3 Before August 1 of each year beginning in 1993, the
4Department shall notify all taxpayers required to make
5payments by electronic funds transfer. All taxpayers required
6to make payments by electronic funds transfer shall make those
7payments for a minimum of one year beginning on October 1.
8 Any taxpayer not required to make payments by electronic
9funds transfer may make payments by electronic funds transfer
10with the permission of the Department.
11 All taxpayers required to make payment by electronic funds
12transfer and any taxpayers authorized to voluntarily make
13payments by electronic funds transfer shall make those
14payments in the manner authorized by the Department.
15 The Department shall adopt such rules as are necessary to
16effectuate a program of electronic funds transfer and the
17requirements of this Section.
18 Before October 1, 2000, if the taxpayer's average monthly
19tax liability to the Department under this Act, the Retailers'
20Occupation Tax Act, the Service Occupation Tax Act, the
21Service Use Tax Act was $10,000 or more during the preceding 4
22complete calendar quarters, he shall file a return with the
23Department each month by the 20th day of the month next
24following the month during which such tax liability is
25incurred and shall make payments to the Department on or
26before the 7th, 15th, 22nd and last day of the month during

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1which such liability is incurred. On and after October 1,
22000, if the taxpayer's average monthly tax liability to the
3Department under this Act, the Retailers' Occupation Tax Act,
4the Service Occupation Tax Act, and the Service Use Tax Act was
5$20,000 or more during the preceding 4 complete calendar
6quarters, he shall file a return with the Department each
7month by the 20th day of the month next following the month
8during which such tax liability is incurred and shall make
9payment to the Department on or before the 7th, 15th, 22nd and
10last day of the month during which such liability is incurred.
11If the month during which such tax liability is incurred began
12prior to January 1, 1985, each payment shall be in an amount
13equal to 1/4 of the taxpayer's actual liability for the month
14or an amount set by the Department not to exceed 1/4 of the
15average monthly liability of the taxpayer to the Department
16for the preceding 4 complete calendar quarters (excluding the
17month of highest liability and the month of lowest liability
18in such 4 quarter period). If the month during which such tax
19liability is incurred begins on or after January 1, 1985, and
20prior to January 1, 1987, each payment shall be in an amount
21equal to 22.5% of the taxpayer's actual liability for the
22month or 27.5% of the taxpayer's liability for the same
23calendar month of the preceding year. If the month during
24which such tax liability is incurred begins on or after
25January 1, 1987, and prior to January 1, 1988, each payment
26shall be in an amount equal to 22.5% of the taxpayer's actual

HB2556- 16 -LRB103 25797 HLH 52147 b
1liability for the month or 26.25% of the taxpayer's liability
2for the same calendar month of the preceding year. If the month
3during which such tax liability is incurred begins on or after
4January 1, 1988, and prior to January 1, 1989, or begins on or
5after January 1, 1996, each payment shall be in an amount equal
6to 22.5% of the taxpayer's actual liability for the month or
725% of the taxpayer's liability for the same calendar month of
8the preceding year. If the month during which such tax
9liability is incurred begins on or after January 1, 1989, and
10prior to January 1, 1996, each payment shall be in an amount
11equal to 22.5% of the taxpayer's actual liability for the
12month or 25% of the taxpayer's liability for the same calendar
13month of the preceding year or 100% of the taxpayer's actual
14liability for the quarter monthly reporting period. The amount
15of such quarter monthly payments shall be credited against the
16final tax liability of the taxpayer's return for that month.
17Before October 1, 2000, once applicable, the requirement of
18the making of quarter monthly payments to the Department shall
19continue until such taxpayer's average monthly liability to
20the Department during the preceding 4 complete calendar
21quarters (excluding the month of highest liability and the
22month of lowest liability) is less than $9,000, or until such
23taxpayer's average monthly liability to the Department as
24computed for each calendar quarter of the 4 preceding complete
25calendar quarter period is less than $10,000. However, if a
26taxpayer can show the Department that a substantial change in

HB2556- 17 -LRB103 25797 HLH 52147 b
1the taxpayer's business has occurred which causes the taxpayer
2to anticipate that his average monthly tax liability for the
3reasonably foreseeable future will fall below the $10,000
4threshold stated above, then such taxpayer may petition the
5Department for change in such taxpayer's reporting status. On
6and after October 1, 2000, once applicable, the requirement of
7the making of quarter monthly payments to the Department shall
8continue until such taxpayer's average monthly liability to
9the Department during the preceding 4 complete calendar
10quarters (excluding the month of highest liability and the
11month of lowest liability) is less than $19,000 or until such
12taxpayer's average monthly liability to the Department as
13computed for each calendar quarter of the 4 preceding complete
14calendar quarter period is less than $20,000. However, if a
15taxpayer can show the Department that a substantial change in
16the taxpayer's business has occurred which causes the taxpayer
17to anticipate that his average monthly tax liability for the
18reasonably foreseeable future will fall below the $20,000
19threshold stated above, then such taxpayer may petition the
20Department for a change in such taxpayer's reporting status.
21The Department shall change such taxpayer's reporting status
22unless it finds that such change is seasonal in nature and not
23likely to be long term. Quarter monthly payment status shall
24be determined under this paragraph as if the rate reduction to
251.25% in Public Act 102-700 this amendatory Act of the 102nd
26General Assembly on sales tax holiday items had not occurred.

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1For quarter monthly payments due on or after July 1, 2023 and
2through June 30, 2024, "25% of the taxpayer's liability for
3the same calendar month of the preceding year" shall be
4determined as if the rate reduction to 1.25% in Public Act
5102-700 this amendatory Act of the 102nd General Assembly on
6sales tax holiday items had not occurred. Quarter monthly
7payment status shall be determined under this paragraph as if
8the rate reduction to 0% in Public Act 102-700 this amendatory
9Act of the 102nd General Assembly on food for human
10consumption that is to be consumed off the premises where it is
11sold (other than alcoholic beverages, food consisting of or
12infused with adult use cannabis, soft drinks, and food that
13has been prepared for immediate consumption) had not occurred.
14For quarter monthly payments due under this paragraph on or
15after July 1, 2023 and through June 30, 2024, "25% of the
16taxpayer's liability for the same calendar month of the
17preceding year" shall be determined as if the rate reduction
18to 0% in Public Act 102-700 this amendatory Act of the 102nd
19General Assembly had not occurred. If any such quarter monthly
20payment is not paid at the time or in the amount required by
21this Section, then the taxpayer shall be liable for penalties
22and interest on the difference between the minimum amount due
23and the amount of such quarter monthly payment actually and
24timely paid, except insofar as the taxpayer has previously
25made payments for that month to the Department in excess of the
26minimum payments previously due as provided in this Section.

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1The Department shall make reasonable rules and regulations to
2govern the quarter monthly payment amount and quarter monthly
3payment dates for taxpayers who file on other than a calendar
4monthly basis.
5 If any such payment provided for in this Section exceeds
6the taxpayer's liabilities under this Act, the Retailers'
7Occupation Tax Act, the Service Occupation Tax Act and the
8Service Use Tax Act, as shown by an original monthly return,
9the Department shall issue to the taxpayer a credit memorandum
10no later than 30 days after the date of payment, which
11memorandum may be submitted by the taxpayer to the Department
12in payment of tax liability subsequently to be remitted by the
13taxpayer to the Department or be assigned by the taxpayer to a
14similar taxpayer under this Act, the Retailers' Occupation Tax
15Act, the Service Occupation Tax Act or the Service Use Tax Act,
16in accordance with reasonable rules and regulations to be
17prescribed by the Department, except that if such excess
18payment is shown on an original monthly return and is made
19after December 31, 1986, no credit memorandum shall be issued,
20unless requested by the taxpayer. If no such request is made,
21the taxpayer may credit such excess payment against tax
22liability subsequently to be remitted by the taxpayer to the
23Department under this Act, the Retailers' Occupation Tax Act,
24the Service Occupation Tax Act or the Service Use Tax Act, in
25accordance with reasonable rules and regulations prescribed by
26the Department. If the Department subsequently determines that

HB2556- 20 -LRB103 25797 HLH 52147 b
1all or any part of the credit taken was not actually due to the
2taxpayer, the taxpayer's 2.1% or 1.75% vendor's discount shall
3be reduced by 2.1% or 1.75% of the difference between the
4credit taken and that actually due, and the taxpayer shall be
5liable for penalties and interest on such difference.
6 If the retailer is otherwise required to file a monthly
7return and if the retailer's average monthly tax liability to
8the Department does not exceed $200, the Department may
9authorize his returns to be filed on a quarter annual basis,
10with the return for January, February, and March of a given
11year being due by April 20 of such year; with the return for
12April, May and June of a given year being due by July 20 of
13such year; with the return for July, August and September of a
14given year being due by October 20 of such year, and with the
15return for October, November and December of a given year
16being due by January 20 of the following year.
17 If the retailer is otherwise required to file a monthly or
18quarterly return and if the retailer's average monthly tax
19liability to the Department does not exceed $50, the
20Department may authorize his returns to be filed on an annual
21basis, with the return for a given year being due by January 20
22of the following year.
23 Such quarter annual and annual returns, as to form and
24substance, shall be subject to the same requirements as
25monthly returns.
26 Notwithstanding any other provision in this Act concerning

HB2556- 21 -LRB103 25797 HLH 52147 b
1the time within which a retailer may file his return, in the
2case of any retailer who ceases to engage in a kind of business
3which makes him responsible for filing returns under this Act,
4such retailer shall file a final return under this Act with the
5Department not more than one month after discontinuing such
6business.
7 In addition, with respect to motor vehicles, watercraft,
8aircraft, and trailers that are required to be registered with
9an agency of this State, except as otherwise provided in this
10Section, every retailer selling this kind of tangible personal
11property shall file, with the Department, upon a form to be
12prescribed and supplied by the Department, a separate return
13for each such item of tangible personal property which the
14retailer sells, except that if, in the same transaction, (i) a
15retailer of aircraft, watercraft, motor vehicles or trailers
16transfers more than one aircraft, watercraft, motor vehicle or
17trailer to another aircraft, watercraft, motor vehicle or
18trailer retailer for the purpose of resale or (ii) a retailer
19of aircraft, watercraft, motor vehicles, or trailers transfers
20more than one aircraft, watercraft, motor vehicle, or trailer
21to a purchaser for use as a qualifying rolling stock as
22provided in Section 3-55 of this Act, then that seller may
23report the transfer of all the aircraft, watercraft, motor
24vehicles or trailers involved in that transaction to the
25Department on the same uniform invoice-transaction reporting
26return form. For purposes of this Section, "watercraft" means

HB2556- 22 -LRB103 25797 HLH 52147 b
1a Class 2, Class 3, or Class 4 watercraft as defined in Section
23-2 of the Boat Registration and Safety Act, a personal
3watercraft, or any boat equipped with an inboard motor.
4 In addition, with respect to motor vehicles, watercraft,
5aircraft, and trailers that are required to be registered with
6an agency of this State, every person who is engaged in the
7business of leasing or renting such items and who, in
8connection with such business, sells any such item to a
9retailer for the purpose of resale is, notwithstanding any
10other provision of this Section to the contrary, authorized to
11meet the return-filing requirement of this Act by reporting
12the transfer of all the aircraft, watercraft, motor vehicles,
13or trailers transferred for resale during a month to the
14Department on the same uniform invoice-transaction reporting
15return form on or before the 20th of the month following the
16month in which the transfer takes place. Notwithstanding any
17other provision of this Act to the contrary, all returns filed
18under this paragraph must be filed by electronic means in the
19manner and form as required by the Department.
20 The transaction reporting return in the case of motor
21vehicles or trailers that are required to be registered with
22an agency of this State, shall be the same document as the
23Uniform Invoice referred to in Section 5-402 of the Illinois
24Vehicle Code and must show the name and address of the seller;
25the name and address of the purchaser; the amount of the
26selling price including the amount allowed by the retailer for

HB2556- 23 -LRB103 25797 HLH 52147 b
1traded-in property, if any; the amount allowed by the retailer
2for the traded-in tangible personal property, if any, to the
3extent to which Section 2 of this Act allows an exemption for
4the value of traded-in property; the balance payable after
5deducting such trade-in allowance from the total selling
6price; the amount of tax due from the retailer with respect to
7such transaction; the amount of tax collected from the
8purchaser by the retailer on such transaction (or satisfactory
9evidence that such tax is not due in that particular instance,
10if that is claimed to be the fact); the place and date of the
11sale; a sufficient identification of the property sold; such
12other information as is required in Section 5-402 of the
13Illinois Vehicle Code, and such other information as the
14Department may reasonably require.
15 The transaction reporting return in the case of watercraft
16and aircraft must show the name and address of the seller; the
17name and address of the purchaser; the amount of the selling
18price including the amount allowed by the retailer for
19traded-in property, if any; the amount allowed by the retailer
20for the traded-in tangible personal property, if any, to the
21extent to which Section 2 of this Act allows an exemption for
22the value of traded-in property; the balance payable after
23deducting such trade-in allowance from the total selling
24price; the amount of tax due from the retailer with respect to
25such transaction; the amount of tax collected from the
26purchaser by the retailer on such transaction (or satisfactory

HB2556- 24 -LRB103 25797 HLH 52147 b
1evidence that such tax is not due in that particular instance,
2if that is claimed to be the fact); the place and date of the
3sale, a sufficient identification of the property sold, and
4such other information as the Department may reasonably
5require.
6 Such transaction reporting return shall be filed not later
7than 20 days after the date of delivery of the item that is
8being sold, but may be filed by the retailer at any time sooner
9than that if he chooses to do so. The transaction reporting
10return and tax remittance or proof of exemption from the tax
11that is imposed by this Act may be transmitted to the
12Department by way of the State agency with which, or State
13officer with whom, the tangible personal property must be
14titled or registered (if titling or registration is required)
15if the Department and such agency or State officer determine
16that this procedure will expedite the processing of
17applications for title or registration.
18 With each such transaction reporting return, the retailer
19shall remit the proper amount of tax due (or shall submit
20satisfactory evidence that the sale is not taxable if that is
21the case), to the Department or its agents, whereupon the
22Department shall issue, in the purchaser's name, a tax receipt
23(or a certificate of exemption if the Department is satisfied
24that the particular sale is tax exempt) which such purchaser
25may submit to the agency with which, or State officer with
26whom, he must title or register the tangible personal property

HB2556- 25 -LRB103 25797 HLH 52147 b
1that is involved (if titling or registration is required) in
2support of such purchaser's application for an Illinois
3certificate or other evidence of title or registration to such
4tangible personal property.
5 No retailer's failure or refusal to remit tax under this
6Act precludes a user, who has paid the proper tax to the
7retailer, from obtaining his certificate of title or other
8evidence of title or registration (if titling or registration
9is required) upon satisfying the Department that such user has
10paid the proper tax (if tax is due) to the retailer. The
11Department shall adopt appropriate rules to carry out the
12mandate of this paragraph.
13 If the user who would otherwise pay tax to the retailer
14wants the transaction reporting return filed and the payment
15of tax or proof of exemption made to the Department before the
16retailer is willing to take these actions and such user has not
17paid the tax to the retailer, such user may certify to the fact
18of such delay by the retailer, and may (upon the Department
19being satisfied of the truth of such certification) transmit
20the information required by the transaction reporting return
21and the remittance for tax or proof of exemption directly to
22the Department and obtain his tax receipt or exemption
23determination, in which event the transaction reporting return
24and tax remittance (if a tax payment was required) shall be
25credited by the Department to the proper retailer's account
26with the Department, but without the 2.1% or 1.75% discount

HB2556- 26 -LRB103 25797 HLH 52147 b
1provided for in this Section being allowed. When the user pays
2the tax directly to the Department, he shall pay the tax in the
3same amount and in the same form in which it would be remitted
4if the tax had been remitted to the Department by the retailer.
5 Where a retailer collects the tax with respect to the
6selling price of tangible personal property which he sells and
7the purchaser thereafter returns such tangible personal
8property and the retailer refunds the selling price thereof to
9the purchaser, such retailer shall also refund, to the
10purchaser, the tax so collected from the purchaser. When
11filing his return for the period in which he refunds such tax
12to the purchaser, the retailer may deduct the amount of the tax
13so refunded by him to the purchaser from any other use tax
14which such retailer may be required to pay or remit to the
15Department, as shown by such return, if the amount of the tax
16to be deducted was previously remitted to the Department by
17such retailer. If the retailer has not previously remitted the
18amount of such tax to the Department, he is entitled to no
19deduction under this Act upon refunding such tax to the
20purchaser.
21 Any retailer filing a return under this Section shall also
22include (for the purpose of paying tax thereon) the total tax
23covered by such return upon the selling price of tangible
24personal property purchased by him at retail from a retailer,
25but as to which the tax imposed by this Act was not collected
26from the retailer filing such return, and such retailer shall

HB2556- 27 -LRB103 25797 HLH 52147 b
1remit the amount of such tax to the Department when filing such
2return.
3 If experience indicates such action to be practicable, the
4Department may prescribe and furnish a combination or joint
5return which will enable retailers, who are required to file
6returns hereunder and also under the Retailers' Occupation Tax
7Act, to furnish all the return information required by both
8Acts on the one form.
9 Where the retailer has more than one business registered
10with the Department under separate registration under this
11Act, such retailer may not file each return that is due as a
12single return covering all such registered businesses, but
13shall file separate returns for each such registered business.
14 Beginning January 1, 1990, each month the Department shall
15pay into the State and Local Sales Tax Reform Fund, a special
16fund in the State Treasury which is hereby created, the net
17revenue realized for the preceding month from the 1% tax
18imposed under this Act.
19 Beginning January 1, 1990, each month the Department shall
20pay into the County and Mass Transit District Fund 4% of the
21net revenue realized for the preceding month from the 6.25%
22general rate on the selling price of tangible personal
23property which is purchased outside Illinois at retail from a
24retailer and which is titled or registered by an agency of this
25State's government.
26 Beginning January 1, 1990, each month the Department shall

HB2556- 28 -LRB103 25797 HLH 52147 b
1pay into the State and Local Sales Tax Reform Fund, a special
2fund in the State Treasury, 20% of the net revenue realized for
3the preceding month from the 6.25% general rate on the selling
4price of tangible personal property, other than (i) tangible
5personal property which is purchased outside Illinois at
6retail from a retailer and which is titled or registered by an
7agency of this State's government and (ii) aviation fuel sold
8on or after December 1, 2019. This exception for aviation fuel
9only applies for so long as the revenue use requirements of 49
10U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the State.
11 For aviation fuel sold on or after December 1, 2019, each
12month the Department shall pay into the State Aviation Program
13Fund 20% of the net revenue realized for the preceding month
14from the 6.25% general rate on the selling price of aviation
15fuel, less an amount estimated by the Department to be
16required for refunds of the 20% portion of the tax on aviation
17fuel under this Act, which amount shall be deposited into the
18Aviation Fuel Sales Tax Refund Fund. The Department shall only
19pay moneys into the State Aviation Program Fund and the
20Aviation Fuels Sales Tax Refund Fund under this Act for so long
21as the revenue use requirements of 49 U.S.C. 47107(b) and 49
22U.S.C. 47133 are binding on the State.
23 Beginning August 1, 2000, each month the Department shall
24pay into the State and Local Sales Tax Reform Fund 100% of the
25net revenue realized for the preceding month from the 1.25%
26rate on the selling price of motor fuel and gasohol. If, in any

HB2556- 29 -LRB103 25797 HLH 52147 b
1month, the tax on sales tax holiday items, as defined in
2Section 3-6, is imposed at the rate of 1.25%, then the
3Department shall pay 100% of the net revenue realized for that
4month from the 1.25% rate on the selling price of sales tax
5holiday items into the State and Local Sales Tax Reform Fund.
6 Beginning January 1, 1990, each month the Department shall
7pay into the Local Government Tax Fund 16% of the net revenue
8realized for the preceding month from the 6.25% general rate
9on the selling price of tangible personal property which is
10purchased outside Illinois at retail from a retailer and which
11is titled or registered by an agency of this State's
12government.
13 Beginning October 1, 2009, each month the Department shall
14pay into the Capital Projects Fund an amount that is equal to
15an amount estimated by the Department to represent 80% of the
16net revenue realized for the preceding month from the sale of
17candy, grooming and hygiene products, and soft drinks that had
18been taxed at a rate of 1% prior to September 1, 2009 but that
19are now taxed at 6.25%.
20 Beginning July 1, 2011, each month the Department shall
21pay into the Clean Air Act Permit Fund 80% of the net revenue
22realized for the preceding month from the 6.25% general rate
23on the selling price of sorbents used in Illinois in the
24process of sorbent injection as used to comply with the
25Environmental Protection Act or the federal Clean Air Act, but
26the total payment into the Clean Air Act Permit Fund under this

HB2556- 30 -LRB103 25797 HLH 52147 b
1Act and the Retailers' Occupation Tax Act shall not exceed
2$2,000,000 in any fiscal year.
3 Beginning July 1, 2013, each month the Department shall
4pay into the Underground Storage Tank Fund from the proceeds
5collected under this Act, the Service Use Tax Act, the Service
6Occupation Tax Act, and the Retailers' Occupation Tax Act an
7amount equal to the average monthly deficit in the Underground
8Storage Tank Fund during the prior year, as certified annually
9by the Illinois Environmental Protection Agency, but the total
10payment into the Underground Storage Tank Fund under this Act,
11the Service Use Tax Act, the Service Occupation Tax Act, and
12the Retailers' Occupation Tax Act shall not exceed $18,000,000
13in any State fiscal year. As used in this paragraph, the
14"average monthly deficit" shall be equal to the difference
15between the average monthly claims for payment by the fund and
16the average monthly revenues deposited into the fund,
17excluding payments made pursuant to this paragraph.
18 Beginning July 1, 2015, of the remainder of the moneys
19received by the Department under this Act, the Service Use Tax
20Act, the Service Occupation Tax Act, and the Retailers'
21Occupation Tax Act, each month the Department shall deposit
22$500,000 into the State Crime Laboratory Fund.
23 Beginning July 1, 2023, the Department shall pay into the
24Trauma Response Fund 100% of the net revenue realized for the
25preceding month from the 1% surcharge on the selling price of
26firearm ammunition.

HB2556- 31 -LRB103 25797 HLH 52147 b
1 Of the remainder of the moneys received by the Department
2pursuant to this Act, (a) 1.75% thereof shall be paid into the
3Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
4and after July 1, 1989, 3.8% thereof shall be paid into the
5Build Illinois Fund; provided, however, that if in any fiscal
6year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
7may be, of the moneys received by the Department and required
8to be paid into the Build Illinois Fund pursuant to Section 3
9of the Retailers' Occupation Tax Act, Section 9 of the Use Tax
10Act, Section 9 of the Service Use Tax Act, and Section 9 of the
11Service Occupation Tax Act, such Acts being hereinafter called
12the "Tax Acts" and such aggregate of 2.2% or 3.8%, as the case
13may be, of moneys being hereinafter called the "Tax Act
14Amount", and (2) the amount transferred to the Build Illinois
15Fund from the State and Local Sales Tax Reform Fund shall be
16less than the Annual Specified Amount (as defined in Section 3
17of the Retailers' Occupation Tax Act), an amount equal to the
18difference shall be immediately paid into the Build Illinois
19Fund from other moneys received by the Department pursuant to
20the Tax Acts; and further provided, that if on the last
21business day of any month the sum of (1) the Tax Act Amount
22required to be deposited into the Build Illinois Bond Account
23in the Build Illinois Fund during such month and (2) the amount
24transferred during such month to the Build Illinois Fund from
25the State and Local Sales Tax Reform Fund shall have been less
26than 1/12 of the Annual Specified Amount, an amount equal to

HB2556- 32 -LRB103 25797 HLH 52147 b
1the difference shall be immediately paid into the Build
2Illinois Fund from other moneys received by the Department
3pursuant to the Tax Acts; and, further provided, that in no
4event shall the payments required under the preceding proviso
5result in aggregate payments into the Build Illinois Fund
6pursuant to this clause (b) for any fiscal year in excess of
7the greater of (i) the Tax Act Amount or (ii) the Annual
8Specified Amount for such fiscal year; and, further provided,
9that the amounts payable into the Build Illinois Fund under
10this clause (b) shall be payable only until such time as the
11aggregate amount on deposit under each trust indenture
12securing Bonds issued and outstanding pursuant to the Build
13Illinois Bond Act is sufficient, taking into account any
14future investment income, to fully provide, in accordance with
15such indenture, for the defeasance of or the payment of the
16principal of, premium, if any, and interest on the Bonds
17secured by such indenture and on any Bonds expected to be
18issued thereafter and all fees and costs payable with respect
19thereto, all as certified by the Director of the Bureau of the
20Budget (now Governor's Office of Management and Budget). If on
21the last business day of any month in which Bonds are
22outstanding pursuant to the Build Illinois Bond Act, the
23aggregate of the moneys deposited in the Build Illinois Bond
24Account in the Build Illinois Fund in such month shall be less
25than the amount required to be transferred in such month from
26the Build Illinois Bond Account to the Build Illinois Bond

HB2556- 33 -LRB103 25797 HLH 52147 b
1Retirement and Interest Fund pursuant to Section 13 of the
2Build Illinois Bond Act, an amount equal to such deficiency
3shall be immediately paid from other moneys received by the
4Department pursuant to the Tax Acts to the Build Illinois
5Fund; provided, however, that any amounts paid to the Build
6Illinois Fund in any fiscal year pursuant to this sentence
7shall be deemed to constitute payments pursuant to clause (b)
8of the preceding sentence and shall reduce the amount
9otherwise payable for such fiscal year pursuant to clause (b)
10of the preceding sentence. The moneys received by the
11Department pursuant to this Act and required to be deposited
12into the Build Illinois Fund are subject to the pledge, claim
13and charge set forth in Section 12 of the Build Illinois Bond
14Act.
15 Subject to payment of amounts into the Build Illinois Fund
16as provided in the preceding paragraph or in any amendment
17thereto hereafter enacted, the following specified monthly
18installment of the amount requested in the certificate of the
19Chairman of the Metropolitan Pier and Exposition Authority
20provided under Section 8.25f of the State Finance Act, but not
21in excess of the sums designated as "Total Deposit", shall be
22deposited in the aggregate from collections under Section 9 of
23the Use Tax Act, Section 9 of the Service Use Tax Act, Section
249 of the Service Occupation Tax Act, and Section 3 of the
25Retailers' Occupation Tax Act into the McCormick Place
26Expansion Project Fund in the specified fiscal years.

HB2556- 34 -LRB103 25797 HLH 52147 b
1Fiscal YearTotal Deposit
21993 $0
31994 53,000,000
41995 58,000,000
51996 61,000,000
61997 64,000,000
71998 68,000,000
81999 71,000,000
92000 75,000,000
102001 80,000,000
112002 93,000,000
122003 99,000,000
132004103,000,000
142005108,000,000
152006113,000,000
162007119,000,000
172008126,000,000
182009132,000,000
192010139,000,000
202011146,000,000
212012153,000,000
222013161,000,000
232014170,000,000
242015179,000,000
252016189,000,000
262017199,000,000

HB2556- 35 -LRB103 25797 HLH 52147 b
12018210,000,000
22019221,000,000
32020233,000,000
42021300,000,000
52022300,000,000
62023300,000,000
72024 300,000,000
82025 300,000,000
92026 300,000,000
102027 375,000,000
112028 375,000,000
122029 375,000,000
132030 375,000,000
142031 375,000,000
152032 375,000,000
162033 375,000,000
172034375,000,000
182035375,000,000
192036450,000,000
20and
21each fiscal year
22thereafter that bonds
23are outstanding under
24Section 13.2 of the
25Metropolitan Pier and
26Exposition Authority Act,

HB2556- 36 -LRB103 25797 HLH 52147 b
1but not after fiscal year 2060.
2 Beginning July 20, 1993 and in each month of each fiscal
3year thereafter, one-eighth of the amount requested in the
4certificate of the Chairman of the Metropolitan Pier and
5Exposition Authority for that fiscal year, less the amount
6deposited into the McCormick Place Expansion Project Fund by
7the State Treasurer in the respective month under subsection
8(g) of Section 13 of the Metropolitan Pier and Exposition
9Authority Act, plus cumulative deficiencies in the deposits
10required under this Section for previous months and years,
11shall be deposited into the McCormick Place Expansion Project
12Fund, until the full amount requested for the fiscal year, but
13not in excess of the amount specified above as "Total
14Deposit", has been deposited.
15 Subject to payment of amounts into the Capital Projects
16Fund, the Clean Air Act Permit Fund, the Build Illinois Fund,
17and the McCormick Place Expansion Project Fund pursuant to the
18preceding paragraphs or in any amendments thereto hereafter
19enacted, for aviation fuel sold on or after December 1, 2019,
20the Department shall each month deposit into the Aviation Fuel
21Sales Tax Refund Fund an amount estimated by the Department to
22be required for refunds of the 80% portion of the tax on
23aviation fuel under this Act. The Department shall only
24deposit moneys into the Aviation Fuel Sales Tax Refund Fund
25under this paragraph for so long as the revenue use
26requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are

HB2556- 37 -LRB103 25797 HLH 52147 b
1binding on the State.
2 Subject to payment of amounts into the Build Illinois Fund
3and the McCormick Place Expansion Project Fund pursuant to the
4preceding paragraphs or in any amendments thereto hereafter
5enacted, beginning July 1, 1993 and ending on September 30,
62013, the Department shall each month pay into the Illinois
7Tax Increment Fund 0.27% of 80% of the net revenue realized for
8the preceding month from the 6.25% general rate on the selling
9price of tangible personal property.
10 Subject to payment of amounts into the Build Illinois Fund
11and the McCormick Place Expansion Project Fund pursuant to the
12preceding paragraphs or in any amendments thereto hereafter
13enacted, beginning with the receipt of the first report of
14taxes paid by an eligible business and continuing for a
1525-year period, the Department shall each month pay into the
16Energy Infrastructure Fund 80% of the net revenue realized
17from the 6.25% general rate on the selling price of
18Illinois-mined coal that was sold to an eligible business. For
19purposes of this paragraph, the term "eligible business" means
20a new electric generating facility certified pursuant to
21Section 605-332 of the Department of Commerce and Economic
22Opportunity Law of the Civil Administrative Code of Illinois.
23 Subject to payment of amounts into the Build Illinois
24Fund, the McCormick Place Expansion Project Fund, the Illinois
25Tax Increment Fund, and the Energy Infrastructure Fund
26pursuant to the preceding paragraphs or in any amendments to

HB2556- 38 -LRB103 25797 HLH 52147 b
1this Section hereafter enacted, beginning on the first day of
2the first calendar month to occur on or after August 26, 2014
3(the effective date of Public Act 98-1098), each month, from
4the collections made under Section 9 of the Use Tax Act,
5Section 9 of the Service Use Tax Act, Section 9 of the Service
6Occupation Tax Act, and Section 3 of the Retailers' Occupation
7Tax Act, the Department shall pay into the Tax Compliance and
8Administration Fund, to be used, subject to appropriation, to
9fund additional auditors and compliance personnel at the
10Department of Revenue, an amount equal to 1/12 of 5% of 80% of
11the cash receipts collected during the preceding fiscal year
12by the Audit Bureau of the Department under the Use Tax Act,
13the Service Use Tax Act, the Service Occupation Tax Act, the
14Retailers' Occupation Tax Act, and associated local occupation
15and use taxes administered by the Department.
16 Subject to payments of amounts into the Build Illinois
17Fund, the McCormick Place Expansion Project Fund, the Illinois
18Tax Increment Fund, the Energy Infrastructure Fund, and the
19Tax Compliance and Administration Fund as provided in this
20Section, beginning on July 1, 2018 the Department shall pay
21each month into the Downstate Public Transportation Fund the
22moneys required to be so paid under Section 2-3 of the
23Downstate Public Transportation Act.
24 Subject to successful execution and delivery of a
25public-private agreement between the public agency and private
26entity and completion of the civic build, beginning on July 1,

HB2556- 39 -LRB103 25797 HLH 52147 b
12023, of the remainder of the moneys received by the
2Department under the Use Tax Act, the Service Use Tax Act, the
3Service Occupation Tax Act, and this Act, the Department shall
4deposit the following specified deposits in the aggregate from
5collections under the Use Tax Act, the Service Use Tax Act, the
6Service Occupation Tax Act, and the Retailers' Occupation Tax
7Act, as required under Section 8.25g of the State Finance Act
8for distribution consistent with the Public-Private
9Partnership for Civic and Transit Infrastructure Project Act.
10The moneys received by the Department pursuant to this Act and
11required to be deposited into the Civic and Transit
12Infrastructure Fund are subject to the pledge, claim, and
13charge set forth in Section 25-55 of the Public-Private
14Partnership for Civic and Transit Infrastructure Project Act.
15As used in this paragraph, "civic build", "private entity",
16"public-private agreement", and "public agency" have the
17meanings provided in Section 25-10 of the Public-Private
18Partnership for Civic and Transit Infrastructure Project Act.
19 Fiscal Year............................Total Deposit
20 2024....................................$200,000,000
21 2025....................................$206,000,000
22 2026....................................$212,200,000
23 2027....................................$218,500,000
24 2028....................................$225,100,000
25 2029....................................$288,700,000
26 2030....................................$298,900,000

HB2556- 40 -LRB103 25797 HLH 52147 b
1 2031....................................$309,300,000
2 2032....................................$320,100,000
3 2033....................................$331,200,000
4 2034....................................$341,200,000
5 2035....................................$351,400,000
6 2036....................................$361,900,000
7 2037....................................$372,800,000
8 2038....................................$384,000,000
9 2039....................................$395,500,000
10 2040....................................$407,400,000
11 2041....................................$419,600,000
12 2042....................................$432,200,000
13 2043....................................$445,100,000
14 Beginning July 1, 2021 and until July 1, 2022, subject to
15the payment of amounts into the State and Local Sales Tax
16Reform Fund, the Build Illinois Fund, the McCormick Place
17Expansion Project Fund, the Illinois Tax Increment Fund, the
18Energy Infrastructure Fund, and the Tax Compliance and
19Administration Fund as provided in this Section, the
20Department shall pay each month into the Road Fund the amount
21estimated to represent 16% of the net revenue realized from
22the taxes imposed on motor fuel and gasohol. Beginning July 1,
232022 and until July 1, 2023, subject to the payment of amounts
24into the State and Local Sales Tax Reform Fund, the Build
25Illinois Fund, the McCormick Place Expansion Project Fund, the
26Illinois Tax Increment Fund, the Energy Infrastructure Fund,

HB2556- 41 -LRB103 25797 HLH 52147 b
1and the Tax Compliance and Administration Fund as provided in
2this Section, the Department shall pay each month into the
3Road Fund the amount estimated to represent 32% of the net
4revenue realized from the taxes imposed on motor fuel and
5gasohol. Beginning July 1, 2023 and until July 1, 2024,
6subject to the payment of amounts into the State and Local
7Sales Tax Reform Fund, the Build Illinois Fund, the McCormick
8Place Expansion Project Fund, the Illinois Tax Increment Fund,
9the Energy Infrastructure Fund, and the Tax Compliance and
10Administration Fund as provided in this Section, the
11Department shall pay each month into the Road Fund the amount
12estimated to represent 48% of the net revenue realized from
13the taxes imposed on motor fuel and gasohol. Beginning July 1,
142024 and until July 1, 2025, subject to the payment of amounts
15into the State and Local Sales Tax Reform Fund, the Build
16Illinois Fund, the McCormick Place Expansion Project Fund, the
17Illinois Tax Increment Fund, the Energy Infrastructure Fund,
18and the Tax Compliance and Administration Fund as provided in
19this Section, the Department shall pay each month into the
20Road Fund the amount estimated to represent 64% of the net
21revenue realized from the taxes imposed on motor fuel and
22gasohol. Beginning on July 1, 2025, subject to the payment of
23amounts into the State and Local Sales Tax Reform Fund, the
24Build Illinois Fund, the McCormick Place Expansion Project
25Fund, the Illinois Tax Increment Fund, the Energy
26Infrastructure Fund, and the Tax Compliance and Administration

HB2556- 42 -LRB103 25797 HLH 52147 b
1Fund as provided in this Section, the Department shall pay
2each month into the Road Fund the amount estimated to
3represent 80% of the net revenue realized from the taxes
4imposed on motor fuel and gasohol. As used in this paragraph
5"motor fuel" has the meaning given to that term in Section 1.1
6of the Motor Fuel Tax Law, and "gasohol" has the meaning given
7to that term in Section 3-40 of this Act.
8 Of the remainder of the moneys received by the Department
9pursuant to this Act, 75% thereof shall be paid into the State
10Treasury and 25% shall be reserved in a special account and
11used only for the transfer to the Common School Fund as part of
12the monthly transfer from the General Revenue Fund in
13accordance with Section 8a of the State Finance Act.
14 As soon as possible after the first day of each month, upon
15certification of the Department of Revenue, the Comptroller
16shall order transferred and the Treasurer shall transfer from
17the General Revenue Fund to the Motor Fuel Tax Fund an amount
18equal to 1.7% of 80% of the net revenue realized under this Act
19for the second preceding month. Beginning April 1, 2000, this
20transfer is no longer required and shall not be made.
21 Net revenue realized for a month shall be the revenue
22collected by the State pursuant to this Act, less the amount
23paid out during that month as refunds to taxpayers for
24overpayment of liability.
25 For greater simplicity of administration, manufacturers,
26importers and wholesalers whose products are sold at retail in

HB2556- 43 -LRB103 25797 HLH 52147 b
1Illinois by numerous retailers, and who wish to do so, may
2assume the responsibility for accounting and paying to the
3Department all tax accruing under this Act with respect to
4such sales, if the retailers who are affected do not make
5written objection to the Department to this arrangement.
6(Source: P.A. 101-10, Article 15, Section 15-10, eff. 6-5-19;
7101-10, Article 25, Section 25-105, eff. 6-5-19; 101-27, eff.
86-25-19; 101-32, eff. 6-28-19; 101-604, eff. 12-13-19;
9101-636, eff. 6-10-20; 102-700, Article 60, Section 60-15,
10eff. 4-19-22; 102-700, Article 65, Section 65-5, eff. 4-19-22;
11102-1019, eff. 1-1-23; revised 12-13-22.)
12 Section 15. The Service Use Tax Act is amended by changing
13Sections 3-10 and 9 as follows:
14 (35 ILCS 110/3-10) (from Ch. 120, par. 439.33-10)
15 Sec. 3-10. Rate of tax. Unless otherwise provided in this
16Section, the tax imposed by this Act is at the rate of 6.25% of
17the selling price of tangible personal property transferred as
18an incident to the sale of service, but, for the purpose of
19computing this tax, in no event shall the selling price be less
20than the cost price of the property to the serviceman.
21 Beginning on July 1, 2000 and through December 31, 2000,
22with respect to motor fuel, as defined in Section 1.1 of the
23Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
24the Use Tax Act, the tax is imposed at the rate of 1.25%.

HB2556- 44 -LRB103 25797 HLH 52147 b
1 With respect to gasohol, as defined in the Use Tax Act, the
2tax imposed by this Act applies to (i) 70% of the selling price
3of property transferred as an incident to the sale of service
4on or after January 1, 1990, and before July 1, 2003, (ii) 80%
5of the selling price of property transferred as an incident to
6the sale of service on or after July 1, 2003 and on or before
7July 1, 2017, and (iii) 100% of the selling price thereafter.
8If, at any time, however, the tax under this Act on sales of
9gasohol, as defined in the Use Tax Act, is imposed at the rate
10of 1.25%, then the tax imposed by this Act applies to 100% of
11the proceeds of sales of gasohol made during that time.
12 With respect to majority blended ethanol fuel, as defined
13in the Use Tax Act, the tax imposed by this Act does not apply
14to the selling price of property transferred as an incident to
15the sale of service on or after July 1, 2003 and on or before
16December 31, 2023 but applies to 100% of the selling price
17thereafter.
18 With respect to biodiesel blends, as defined in the Use
19Tax Act, with no less than 1% and no more than 10% biodiesel,
20the tax imposed by this Act applies to (i) 80% of the selling
21price of property transferred as an incident to the sale of
22service on or after July 1, 2003 and on or before December 31,
232018 and (ii) 100% of the proceeds of the selling price after
24December 31, 2018 and before January 1, 2024. On and after
25January 1, 2024 and on or before December 31, 2030, the
26taxation of biodiesel, renewable diesel, and biodiesel blends

HB2556- 45 -LRB103 25797 HLH 52147 b
1shall be as provided in Section 3-5.1 of the Use Tax Act. If,
2at any time, however, the tax under this Act on sales of
3biodiesel blends, as defined in the Use Tax Act, with no less
4than 1% and no more than 10% biodiesel is imposed at the rate
5of 1.25%, then the tax imposed by this Act applies to 100% of
6the proceeds of sales of biodiesel blends with no less than 1%
7and no more than 10% biodiesel made during that time.
8 With respect to biodiesel, as defined in the Use Tax Act,
9and biodiesel blends, as defined in the Use Tax Act, with more
10than 10% but no more than 99% biodiesel, the tax imposed by
11this Act does not apply to the proceeds of the selling price of
12property transferred as an incident to the sale of service on
13or after July 1, 2003 and on or before December 31, 2023. On
14and after January 1, 2024 and on or before December 31, 2030,
15the taxation of biodiesel, renewable diesel, and biodiesel
16blends shall be as provided in Section 3-5.1 of the Use Tax
17Act.
18 At the election of any registered serviceman made for each
19fiscal year, sales of service in which the aggregate annual
20cost price of tangible personal property transferred as an
21incident to the sales of service is less than 35%, or 75% in
22the case of servicemen transferring prescription drugs or
23servicemen engaged in graphic arts production, of the
24aggregate annual total gross receipts from all sales of
25service, the tax imposed by this Act shall be based on the
26serviceman's cost price of the tangible personal property

HB2556- 46 -LRB103 25797 HLH 52147 b
1transferred as an incident to the sale of those services.
2 Until July 1, 2022 and beginning again on July 1, 2023, the
3tax shall be imposed at the rate of 1% on food prepared for
4immediate consumption and transferred incident to a sale of
5service subject to this Act or the Service Occupation Tax Act
6by an entity licensed under the Hospital Licensing Act, the
7Nursing Home Care Act, the Assisted Living and Shared Housing
8Act, the ID/DD Community Care Act, the MC/DD Act, the
9Specialized Mental Health Rehabilitation Act of 2013, or the
10Child Care Act of 1969, or an entity that holds a permit issued
11pursuant to the Life Care Facilities Act. Until July 1, 2022
12and beginning again on July 1, 2023, the tax shall also be
13imposed at the rate of 1% on food for human consumption that is
14to be consumed off the premises where it is sold (other than
15alcoholic beverages, food consisting of or infused with adult
16use cannabis, soft drinks, and food that has been prepared for
17immediate consumption and is not otherwise included in this
18paragraph).
19 Beginning on July 1, 2022 and until July 1, 2023, the tax
20shall be imposed at the rate of 0% on food prepared for
21immediate consumption and transferred incident to a sale of
22service subject to this Act or the Service Occupation Tax Act
23by an entity licensed under the Hospital Licensing Act, the
24Nursing Home Care Act, the Assisted Living and Shared Housing
25Act, the ID/DD Community Care Act, the MC/DD Act, the
26Specialized Mental Health Rehabilitation Act of 2013, or the

HB2556- 47 -LRB103 25797 HLH 52147 b
1Child Care Act of 1969, or an entity that holds a permit issued
2pursuant to the Life Care Facilities Act. Beginning on July 1,
32022 and until July 1, 2023, the tax shall also be imposed at
4the rate of 0% on food for human consumption that is to be
5consumed off the premises where it is sold (other than
6alcoholic beverages, food consisting of or infused with adult
7use cannabis, soft drinks, and food that has been prepared for
8immediate consumption and is not otherwise included in this
9paragraph).
10 The tax shall also be imposed at the rate of 1% on
11prescription and nonprescription medicines, drugs, medical
12appliances, products classified as Class III medical devices
13by the United States Food and Drug Administration that are
14used for cancer treatment pursuant to a prescription, as well
15as any accessories and components related to those devices,
16modifications to a motor vehicle for the purpose of rendering
17it usable by a person with a disability, and insulin, blood
18sugar testing materials, syringes, and needles used by human
19diabetics. For the purposes of this Section, until September
201, 2009: the term "soft drinks" means any complete, finished,
21ready-to-use, non-alcoholic drink, whether carbonated or not,
22including, but not limited to, soda water, cola, fruit juice,
23vegetable juice, carbonated water, and all other preparations
24commonly known as soft drinks of whatever kind or description
25that are contained in any closed or sealed bottle, can,
26carton, or container, regardless of size; but "soft drinks"

HB2556- 48 -LRB103 25797 HLH 52147 b
1does not include coffee, tea, non-carbonated water, infant
2formula, milk or milk products as defined in the Grade A
3Pasteurized Milk and Milk Products Act, or drinks containing
450% or more natural fruit or vegetable juice.
5 Notwithstanding any other provisions of this Act,
6beginning September 1, 2009, "soft drinks" means non-alcoholic
7beverages that contain natural or artificial sweeteners. "Soft
8drinks" does do not include beverages that contain milk or
9milk products, soy, rice or similar milk substitutes, or
10greater than 50% of vegetable or fruit juice by volume.
11 Until August 1, 2009, and notwithstanding any other
12provisions of this Act, "food for human consumption that is to
13be consumed off the premises where it is sold" includes all
14food sold through a vending machine, except soft drinks and
15food products that are dispensed hot from a vending machine,
16regardless of the location of the vending machine. Beginning
17August 1, 2009, and notwithstanding any other provisions of
18this Act, "food for human consumption that is to be consumed
19off the premises where it is sold" includes all food sold
20through a vending machine, except soft drinks, candy, and food
21products that are dispensed hot from a vending machine,
22regardless of the location of the vending machine.
23 Notwithstanding any other provisions of this Act,
24beginning September 1, 2009, "food for human consumption that
25is to be consumed off the premises where it is sold" does not
26include candy. For purposes of this Section, "candy" means a

HB2556- 49 -LRB103 25797 HLH 52147 b
1preparation of sugar, honey, or other natural or artificial
2sweeteners in combination with chocolate, fruits, nuts or
3other ingredients or flavorings in the form of bars, drops, or
4pieces. "Candy" does not include any preparation that contains
5flour or requires refrigeration.
6 Notwithstanding any other provisions of this Act,
7beginning September 1, 2009, "nonprescription medicines and
8drugs" does not include grooming and hygiene products. For
9purposes of this Section, "grooming and hygiene products"
10includes, but is not limited to, soaps and cleaning solutions,
11shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
12lotions and screens, unless those products are available by
13prescription only, regardless of whether the products meet the
14definition of "over-the-counter-drugs". For the purposes of
15this paragraph, "over-the-counter-drug" means a drug for human
16use that contains a label that identifies the product as a drug
17as required by 21 CFR C.F.R. § 201.66. The
18"over-the-counter-drug" label includes:
19 (A) a A "Drug Facts" panel; or
20 (B) a A statement of the "active ingredient(s)" with a
21 list of those ingredients contained in the compound,
22 substance or preparation.
23 Beginning on January 1, 2014 (the effective date of Public
24Act 98-122), "prescription and nonprescription medicines and
25drugs" includes medical cannabis purchased from a registered
26dispensing organization under the Compassionate Use of Medical

HB2556- 50 -LRB103 25797 HLH 52147 b
1Cannabis Program Act.
2 As used in this Section, "adult use cannabis" means
3cannabis subject to tax under the Cannabis Cultivation
4Privilege Tax Law and the Cannabis Purchaser Excise Tax Law
5and does not include cannabis subject to tax under the
6Compassionate Use of Medical Cannabis Program Act.
7 Beginning July 1, 2023, in addition to all other rates of
8tax imposed under this Act, a surcharge of 1% is imposed on the
9selling price of firearm ammunition. "Firearm ammunition" has
10the meaning given to that term under Section 31A-0.1 of the
11Criminal Code of 2012.
12 If the property that is acquired from a serviceman is
13acquired outside Illinois and used outside Illinois before
14being brought to Illinois for use here and is taxable under
15this Act, the "selling price" on which the tax is computed
16shall be reduced by an amount that represents a reasonable
17allowance for depreciation for the period of prior
18out-of-state use.
19(Source: P.A. 101-363, eff. 8-9-19; 101-593, eff. 12-4-19;
20102-4, eff. 4-27-21; 102-16, eff. 6-17-21; 102-700, Article
2120, Section 20-10, eff. 4-19-22; 102-700, Article 60, Section
2260-20, eff. 4-19-22; revised 6-1-22.)
23 (35 ILCS 110/9) (from Ch. 120, par. 439.39)
24 Sec. 9. Each serviceman required or authorized to collect
25the tax herein imposed shall pay to the Department the amount

HB2556- 51 -LRB103 25797 HLH 52147 b
1of such tax (except as otherwise provided) at the time when he
2is required to file his return for the period during which such
3tax was collected, less a discount of 2.1% prior to January 1,
41990 and 1.75% on and after January 1, 1990, or $5 per calendar
5year, whichever is greater, which is allowed to reimburse the
6serviceman for expenses incurred in collecting the tax,
7keeping records, preparing and filing returns, remitting the
8tax and supplying data to the Department on request. When
9determining the discount allowed under this Section,
10servicemen shall include the amount of tax that would have
11been due at the 1% rate but for the 0% rate imposed under this
12amendatory Act of the 102nd General Assembly. The discount
13under this Section is not allowed for the 1.25% portion of
14taxes paid on aviation fuel that is subject to the revenue use
15requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133. The
16discount allowed under this Section is allowed only for
17returns that are filed in the manner required by this Act. The
18Department may disallow the discount for servicemen whose
19certificate of registration is revoked at the time the return
20is filed, but only if the Department's decision to revoke the
21certificate of registration has become final. A serviceman
22need not remit that part of any tax collected by him to the
23extent that he is required to pay and does pay the tax imposed
24by the Service Occupation Tax Act with respect to his sale of
25service involving the incidental transfer by him of the same
26property.

HB2556- 52 -LRB103 25797 HLH 52147 b
1 Except as provided hereinafter in this Section, on or
2before the twentieth day of each calendar month, such
3serviceman shall file a return for the preceding calendar
4month in accordance with reasonable Rules and Regulations to
5be promulgated by the Department. Such return shall be filed
6on a form prescribed by the Department and shall contain such
7information as the Department may reasonably require. The
8return shall include the gross receipts which were received
9during the preceding calendar month or quarter on the
10following items upon which tax would have been due but for the
110% rate imposed under this amendatory Act of the 102nd General
12Assembly: (i) food for human consumption that is to be
13consumed off the premises where it is sold (other than
14alcoholic beverages, food consisting of or infused with adult
15use cannabis, soft drinks, and food that has been prepared for
16immediate consumption); and (ii) food prepared for immediate
17consumption and transferred incident to a sale of service
18subject to this Act or the Service Occupation Tax Act by an
19entity licensed under the Hospital Licensing Act, the Nursing
20Home Care Act, the Assisted Living and Shared Housing Act, the
21ID/DD Community Care Act, the MC/DD Act, the Specialized
22Mental Health Rehabilitation Act of 2013, or the Child Care
23Act of 1969, or an entity that holds a permit issued pursuant
24to the Life Care Facilities Act. The return shall also include
25the amount of tax that would have been due on the items listed
26in the previous sentence but for the 0% rate imposed under this

HB2556- 53 -LRB103 25797 HLH 52147 b
1amendatory Act of the 102nd General Assembly.
2 On and after January 1, 2018, with respect to servicemen
3whose annual gross receipts average $20,000 or more, all
4returns required to be filed pursuant to this Act shall be
5filed electronically. Servicemen who demonstrate that they do
6not have access to the Internet or demonstrate hardship in
7filing electronically may petition the Department to waive the
8electronic filing requirement.
9 The Department may require returns to be filed on a
10quarterly basis. If so required, a return for each calendar
11quarter shall be filed on or before the twentieth day of the
12calendar month following the end of such calendar quarter. The
13taxpayer shall also file a return with the Department for each
14of the first two months of each calendar quarter, on or before
15the twentieth day of the following calendar month, stating:
16 1. The name of the seller;
17 2. The address of the principal place of business from
18 which he engages in business as a serviceman in this
19 State;
20 3. The total amount of taxable receipts received by
21 him during the preceding calendar month, including
22 receipts from charge and time sales, but less all
23 deductions allowed by law;
24 4. The amount of credit provided in Section 2d of this
25 Act;
26 5. The amount of tax due;

HB2556- 54 -LRB103 25797 HLH 52147 b
1 5-5. The signature of the taxpayer; and
2 6. Such other reasonable information as the Department
3 may require.
4 Each serviceman required or authorized to collect the tax
5imposed by this Act on aviation fuel transferred as an
6incident of a sale of service in this State during the
7preceding calendar month shall, instead of reporting and
8paying tax on aviation fuel as otherwise required by this
9Section, report and pay such tax on a separate aviation fuel
10tax return. The requirements related to the return shall be as
11otherwise provided in this Section. Notwithstanding any other
12provisions of this Act to the contrary, servicemen collecting
13tax on aviation fuel shall file all aviation fuel tax returns
14and shall make all aviation fuel tax payments by electronic
15means in the manner and form required by the Department. For
16purposes of this Section, "aviation fuel" means jet fuel and
17aviation gasoline.
18 If a taxpayer fails to sign a return within 30 days after
19the proper notice and demand for signature by the Department,
20the return shall be considered valid and any amount shown to be
21due on the return shall be deemed assessed.
22 Notwithstanding any other provision of this Act to the
23contrary, servicemen subject to tax on cannabis shall file all
24cannabis tax returns and shall make all cannabis tax payments
25by electronic means in the manner and form required by the
26Department.

HB2556- 55 -LRB103 25797 HLH 52147 b
1 Beginning October 1, 1993, a taxpayer who has an average
2monthly tax liability of $150,000 or more shall make all
3payments required by rules of the Department by electronic
4funds transfer. Beginning October 1, 1994, a taxpayer who has
5an average monthly tax liability of $100,000 or more shall
6make all payments required by rules of the Department by
7electronic funds transfer. Beginning October 1, 1995, a
8taxpayer who has an average monthly tax liability of $50,000
9or more shall make all payments required by rules of the
10Department by electronic funds transfer. Beginning October 1,
112000, a taxpayer who has an annual tax liability of $200,000 or
12more shall make all payments required by rules of the
13Department by electronic funds transfer. The term "annual tax
14liability" shall be the sum of the taxpayer's liabilities
15under this Act, and under all other State and local occupation
16and use tax laws administered by the Department, for the
17immediately preceding calendar year. The term "average monthly
18tax liability" means the sum of the taxpayer's liabilities
19under this Act, and under all other State and local occupation
20and use tax laws administered by the Department, for the
21immediately preceding calendar year divided by 12. Beginning
22on October 1, 2002, a taxpayer who has a tax liability in the
23amount set forth in subsection (b) of Section 2505-210 of the
24Department of Revenue Law shall make all payments required by
25rules of the Department by electronic funds transfer.
26 Before August 1 of each year beginning in 1993, the

HB2556- 56 -LRB103 25797 HLH 52147 b
1Department shall notify all taxpayers required to make
2payments by electronic funds transfer. All taxpayers required
3to make payments by electronic funds transfer shall make those
4payments for a minimum of one year beginning on October 1.
5 Any taxpayer not required to make payments by electronic
6funds transfer may make payments by electronic funds transfer
7with the permission of the Department.
8 All taxpayers required to make payment by electronic funds
9transfer and any taxpayers authorized to voluntarily make
10payments by electronic funds transfer shall make those
11payments in the manner authorized by the Department.
12 The Department shall adopt such rules as are necessary to
13effectuate a program of electronic funds transfer and the
14requirements of this Section.
15 If the serviceman is otherwise required to file a monthly
16return and if the serviceman's average monthly tax liability
17to the Department does not exceed $200, the Department may
18authorize his returns to be filed on a quarter annual basis,
19with the return for January, February and March of a given year
20being due by April 20 of such year; with the return for April,
21May and June of a given year being due by July 20 of such year;
22with the return for July, August and September of a given year
23being due by October 20 of such year, and with the return for
24October, November and December of a given year being due by
25January 20 of the following year.
26 If the serviceman is otherwise required to file a monthly

HB2556- 57 -LRB103 25797 HLH 52147 b
1or quarterly return and if the serviceman's average monthly
2tax liability to the Department does not exceed $50, the
3Department may authorize his returns to be filed on an annual
4basis, with the return for a given year being due by January 20
5of the following year.
6 Such quarter annual and annual returns, as to form and
7substance, shall be subject to the same requirements as
8monthly returns.
9 Notwithstanding any other provision in this Act concerning
10the time within which a serviceman may file his return, in the
11case of any serviceman who ceases to engage in a kind of
12business which makes him responsible for filing returns under
13this Act, such serviceman shall file a final return under this
14Act with the Department not more than 1 month after
15discontinuing such business.
16 Where a serviceman collects the tax with respect to the
17selling price of property which he sells and the purchaser
18thereafter returns such property and the serviceman refunds
19the selling price thereof to the purchaser, such serviceman
20shall also refund, to the purchaser, the tax so collected from
21the purchaser. When filing his return for the period in which
22he refunds such tax to the purchaser, the serviceman may
23deduct the amount of the tax so refunded by him to the
24purchaser from any other Service Use Tax, Service Occupation
25Tax, retailers' occupation tax or use tax which such
26serviceman may be required to pay or remit to the Department,

HB2556- 58 -LRB103 25797 HLH 52147 b
1as shown by such return, provided that the amount of the tax to
2be deducted shall previously have been remitted to the
3Department by such serviceman. If the serviceman shall not
4previously have remitted the amount of such tax to the
5Department, he shall be entitled to no deduction hereunder
6upon refunding such tax to the purchaser.
7 Any serviceman filing a return hereunder shall also
8include the total tax upon the selling price of tangible
9personal property purchased for use by him as an incident to a
10sale of service, and such serviceman shall remit the amount of
11such tax to the Department when filing such return.
12 If experience indicates such action to be practicable, the
13Department may prescribe and furnish a combination or joint
14return which will enable servicemen, who are required to file
15returns hereunder and also under the Service Occupation Tax
16Act, to furnish all the return information required by both
17Acts on the one form.
18 Where the serviceman has more than one business registered
19with the Department under separate registration hereunder,
20such serviceman shall not file each return that is due as a
21single return covering all such registered businesses, but
22shall file separate returns for each such registered business.
23 Beginning January 1, 1990, each month the Department shall
24pay into the State and Local Tax Reform Fund, a special fund in
25the State Treasury, the net revenue realized for the preceding
26month from the 1% tax imposed under this Act.

HB2556- 59 -LRB103 25797 HLH 52147 b
1 Beginning January 1, 1990, each month the Department shall
2pay into the State and Local Sales Tax Reform Fund 20% of the
3net revenue realized for the preceding month from the 6.25%
4general rate on transfers of tangible personal property, other
5than (i) tangible personal property which is purchased outside
6Illinois at retail from a retailer and which is titled or
7registered by an agency of this State's government and (ii)
8aviation fuel sold on or after December 1, 2019. This
9exception for aviation fuel only applies for so long as the
10revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
1147133 are binding on the State.
12 For aviation fuel sold on or after December 1, 2019, each
13month the Department shall pay into the State Aviation Program
14Fund 20% of the net revenue realized for the preceding month
15from the 6.25% general rate on the selling price of aviation
16fuel, less an amount estimated by the Department to be
17required for refunds of the 20% portion of the tax on aviation
18fuel under this Act, which amount shall be deposited into the
19Aviation Fuel Sales Tax Refund Fund. The Department shall only
20pay moneys into the State Aviation Program Fund and the
21Aviation Fuel Sales Tax Refund Fund under this Act for so long
22as the revenue use requirements of 49 U.S.C. 47107(b) and 49
23U.S.C. 47133 are binding on the State.
24 Beginning August 1, 2000, each month the Department shall
25pay into the State and Local Sales Tax Reform Fund 100% of the
26net revenue realized for the preceding month from the 1.25%

HB2556- 60 -LRB103 25797 HLH 52147 b
1rate on the selling price of motor fuel and gasohol.
2 Beginning October 1, 2009, each month the Department shall
3pay into the Capital Projects Fund an amount that is equal to
4an amount estimated by the Department to represent 80% of the
5net revenue realized for the preceding month from the sale of
6candy, grooming and hygiene products, and soft drinks that had
7been taxed at a rate of 1% prior to September 1, 2009 but that
8are now taxed at 6.25%.
9 Beginning July 1, 2013, each month the Department shall
10pay into the Underground Storage Tank Fund from the proceeds
11collected under this Act, the Use Tax Act, the Service
12Occupation Tax Act, and the Retailers' Occupation Tax Act an
13amount equal to the average monthly deficit in the Underground
14Storage Tank Fund during the prior year, as certified annually
15by the Illinois Environmental Protection Agency, but the total
16payment into the Underground Storage Tank Fund under this Act,
17the Use Tax Act, the Service Occupation Tax Act, and the
18Retailers' Occupation Tax Act shall not exceed $18,000,000 in
19any State fiscal year. As used in this paragraph, the "average
20monthly deficit" shall be equal to the difference between the
21average monthly claims for payment by the fund and the average
22monthly revenues deposited into the fund, excluding payments
23made pursuant to this paragraph.
24 Beginning July 1, 2015, of the remainder of the moneys
25received by the Department under the Use Tax Act, this Act, the
26Service Occupation Tax Act, and the Retailers' Occupation Tax

HB2556- 61 -LRB103 25797 HLH 52147 b
1Act, each month the Department shall deposit $500,000 into the
2State Crime Laboratory Fund.
3 Beginning July 1, 2023, the Department shall pay into the
4Trauma Response Fund 100% of the net revenue realized for the
5preceding month from the 1% surcharge on the selling price of
6firearm ammunition.
7 Of the remainder of the moneys received by the Department
8pursuant to this Act, (a) 1.75% thereof shall be paid into the
9Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
10and after July 1, 1989, 3.8% thereof shall be paid into the
11Build Illinois Fund; provided, however, that if in any fiscal
12year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
13may be, of the moneys received by the Department and required
14to be paid into the Build Illinois Fund pursuant to Section 3
15of the Retailers' Occupation Tax Act, Section 9 of the Use Tax
16Act, Section 9 of the Service Use Tax Act, and Section 9 of the
17Service Occupation Tax Act, such Acts being hereinafter called
18the "Tax Acts" and such aggregate of 2.2% or 3.8%, as the case
19may be, of moneys being hereinafter called the "Tax Act
20Amount", and (2) the amount transferred to the Build Illinois
21Fund from the State and Local Sales Tax Reform Fund shall be
22less than the Annual Specified Amount (as defined in Section 3
23of the Retailers' Occupation Tax Act), an amount equal to the
24difference shall be immediately paid into the Build Illinois
25Fund from other moneys received by the Department pursuant to
26the Tax Acts; and further provided, that if on the last

HB2556- 62 -LRB103 25797 HLH 52147 b
1business day of any month the sum of (1) the Tax Act Amount
2required to be deposited into the Build Illinois Bond Account
3in the Build Illinois Fund during such month and (2) the amount
4transferred during such month to the Build Illinois Fund from
5the State and Local Sales Tax Reform Fund shall have been less
6than 1/12 of the Annual Specified Amount, an amount equal to
7the difference shall be immediately paid into the Build
8Illinois Fund from other moneys received by the Department
9pursuant to the Tax Acts; and, further provided, that in no
10event shall the payments required under the preceding proviso
11result in aggregate payments into the Build Illinois Fund
12pursuant to this clause (b) for any fiscal year in excess of
13the greater of (i) the Tax Act Amount or (ii) the Annual
14Specified Amount for such fiscal year; and, further provided,
15that the amounts payable into the Build Illinois Fund under
16this clause (b) shall be payable only until such time as the
17aggregate amount on deposit under each trust indenture
18securing Bonds issued and outstanding pursuant to the Build
19Illinois Bond Act is sufficient, taking into account any
20future investment income, to fully provide, in accordance with
21such indenture, for the defeasance of or the payment of the
22principal of, premium, if any, and interest on the Bonds
23secured by such indenture and on any Bonds expected to be
24issued thereafter and all fees and costs payable with respect
25thereto, all as certified by the Director of the Bureau of the
26Budget (now Governor's Office of Management and Budget). If on

HB2556- 63 -LRB103 25797 HLH 52147 b
1the last business day of any month in which Bonds are
2outstanding pursuant to the Build Illinois Bond Act, the
3aggregate of the moneys deposited in the Build Illinois Bond
4Account in the Build Illinois Fund in such month shall be less
5than the amount required to be transferred in such month from
6the Build Illinois Bond Account to the Build Illinois Bond
7Retirement and Interest Fund pursuant to Section 13 of the
8Build Illinois Bond Act, an amount equal to such deficiency
9shall be immediately paid from other moneys received by the
10Department pursuant to the Tax Acts to the Build Illinois
11Fund; provided, however, that any amounts paid to the Build
12Illinois Fund in any fiscal year pursuant to this sentence
13shall be deemed to constitute payments pursuant to clause (b)
14of the preceding sentence and shall reduce the amount
15otherwise payable for such fiscal year pursuant to clause (b)
16of the preceding sentence. The moneys received by the
17Department pursuant to this Act and required to be deposited
18into the Build Illinois Fund are subject to the pledge, claim
19and charge set forth in Section 12 of the Build Illinois Bond
20Act.
21 Subject to payment of amounts into the Build Illinois Fund
22as provided in the preceding paragraph or in any amendment
23thereto hereafter enacted, the following specified monthly
24installment of the amount requested in the certificate of the
25Chairman of the Metropolitan Pier and Exposition Authority
26provided under Section 8.25f of the State Finance Act, but not

HB2556- 64 -LRB103 25797 HLH 52147 b
1in excess of the sums designated as "Total Deposit", shall be
2deposited in the aggregate from collections under Section 9 of
3the Use Tax Act, Section 9 of the Service Use Tax Act, Section
49 of the Service Occupation Tax Act, and Section 3 of the
5Retailers' Occupation Tax Act into the McCormick Place
6Expansion Project Fund in the specified fiscal years.
7Fiscal YearTotal Deposit
81993 $0
91994 53,000,000
101995 58,000,000
111996 61,000,000
121997 64,000,000
131998 68,000,000
141999 71,000,000
152000 75,000,000
162001 80,000,000
172002 93,000,000
182003 99,000,000
192004103,000,000
202005108,000,000
212006113,000,000
222007119,000,000
232008126,000,000
242009132,000,000
252010139,000,000

HB2556- 65 -LRB103 25797 HLH 52147 b
12011146,000,000
22012153,000,000
32013161,000,000
42014170,000,000
52015179,000,000
62016189,000,000
72017199,000,000
82018210,000,000
92019221,000,000
102020233,000,000
112021300,000,000
122022300,000,000
132023300,000,000
142024 300,000,000
152025 300,000,000
162026 300,000,000
172027 375,000,000
182028 375,000,000
192029 375,000,000
202030 375,000,000
212031 375,000,000
222032 375,000,000
232033 375,000,000
242034375,000,000
252035375,000,000
262036450,000,000

HB2556- 66 -LRB103 25797 HLH 52147 b
1and
2each fiscal year
3thereafter that bonds
4are outstanding under
5Section 13.2 of the
6Metropolitan Pier and
7Exposition Authority Act,
8but not after fiscal year 2060.
9 Beginning July 20, 1993 and in each month of each fiscal
10year thereafter, one-eighth of the amount requested in the
11certificate of the Chairman of the Metropolitan Pier and
12Exposition Authority for that fiscal year, less the amount
13deposited into the McCormick Place Expansion Project Fund by
14the State Treasurer in the respective month under subsection
15(g) of Section 13 of the Metropolitan Pier and Exposition
16Authority Act, plus cumulative deficiencies in the deposits
17required under this Section for previous months and years,
18shall be deposited into the McCormick Place Expansion Project
19Fund, until the full amount requested for the fiscal year, but
20not in excess of the amount specified above as "Total
21Deposit", has been deposited.
22 Subject to payment of amounts into the Capital Projects
23Fund, the Clean Air Act Permit Fund, the Build Illinois Fund,
24and the McCormick Place Expansion Project Fund pursuant to the
25preceding paragraphs or in any amendments thereto hereafter
26enacted, for aviation fuel sold on or after December 1, 2019,

HB2556- 67 -LRB103 25797 HLH 52147 b
1the Department shall each month deposit into the Aviation Fuel
2Sales Tax Refund Fund an amount estimated by the Department to
3be required for refunds of the 80% portion of the tax on
4aviation fuel under this Act. The Department shall only
5deposit moneys into the Aviation Fuel Sales Tax Refund Fund
6under this paragraph for so long as the revenue use
7requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
8binding on the State.
9 Subject to payment of amounts into the Build Illinois Fund
10and the McCormick Place Expansion Project Fund pursuant to the
11preceding paragraphs or in any amendments thereto hereafter
12enacted, beginning July 1, 1993 and ending on September 30,
132013, the Department shall each month pay into the Illinois
14Tax Increment Fund 0.27% of 80% of the net revenue realized for
15the preceding month from the 6.25% general rate on the selling
16price of tangible personal property.
17 Subject to payment of amounts into the Build Illinois Fund
18and the McCormick Place Expansion Project Fund pursuant to the
19preceding paragraphs or in any amendments thereto hereafter
20enacted, beginning with the receipt of the first report of
21taxes paid by an eligible business and continuing for a
2225-year period, the Department shall each month pay into the
23Energy Infrastructure Fund 80% of the net revenue realized
24from the 6.25% general rate on the selling price of
25Illinois-mined coal that was sold to an eligible business. For
26purposes of this paragraph, the term "eligible business" means

HB2556- 68 -LRB103 25797 HLH 52147 b
1a new electric generating facility certified pursuant to
2Section 605-332 of the Department of Commerce and Economic
3Opportunity Law of the Civil Administrative Code of Illinois.
4 Subject to payment of amounts into the Build Illinois
5Fund, the McCormick Place Expansion Project Fund, the Illinois
6Tax Increment Fund, and the Energy Infrastructure Fund
7pursuant to the preceding paragraphs or in any amendments to
8this Section hereafter enacted, beginning on the first day of
9the first calendar month to occur on or after August 26, 2014
10(the effective date of Public Act 98-1098), each month, from
11the collections made under Section 9 of the Use Tax Act,
12Section 9 of the Service Use Tax Act, Section 9 of the Service
13Occupation Tax Act, and Section 3 of the Retailers' Occupation
14Tax Act, the Department shall pay into the Tax Compliance and
15Administration Fund, to be used, subject to appropriation, to
16fund additional auditors and compliance personnel at the
17Department of Revenue, an amount equal to 1/12 of 5% of 80% of
18the cash receipts collected during the preceding fiscal year
19by the Audit Bureau of the Department under the Use Tax Act,
20the Service Use Tax Act, the Service Occupation Tax Act, the
21Retailers' Occupation Tax Act, and associated local occupation
22and use taxes administered by the Department.
23 Subject to payments of amounts into the Build Illinois
24Fund, the McCormick Place Expansion Project Fund, the Illinois
25Tax Increment Fund, the Energy Infrastructure Fund, and the
26Tax Compliance and Administration Fund as provided in this

HB2556- 69 -LRB103 25797 HLH 52147 b
1Section, beginning on July 1, 2018 the Department shall pay
2each month into the Downstate Public Transportation Fund the
3moneys required to be so paid under Section 2-3 of the
4Downstate Public Transportation Act.
5 Subject to successful execution and delivery of a
6public-private agreement between the public agency and private
7entity and completion of the civic build, beginning on July 1,
82023, of the remainder of the moneys received by the
9Department under the Use Tax Act, the Service Use Tax Act, the
10Service Occupation Tax Act, and this Act, the Department shall
11deposit the following specified deposits in the aggregate from
12collections under the Use Tax Act, the Service Use Tax Act, the
13Service Occupation Tax Act, and the Retailers' Occupation Tax
14Act, as required under Section 8.25g of the State Finance Act
15for distribution consistent with the Public-Private
16Partnership for Civic and Transit Infrastructure Project Act.
17The moneys received by the Department pursuant to this Act and
18required to be deposited into the Civic and Transit
19Infrastructure Fund are subject to the pledge, claim, and
20charge set forth in Section 25-55 of the Public-Private
21Partnership for Civic and Transit Infrastructure Project Act.
22As used in this paragraph, "civic build", "private entity",
23"public-private agreement", and "public agency" have the
24meanings provided in Section 25-10 of the Public-Private
25Partnership for Civic and Transit Infrastructure Project Act.
26 Fiscal Year............................Total Deposit

HB2556- 70 -LRB103 25797 HLH 52147 b
1 2024....................................$200,000,000
2 2025....................................$206,000,000
3 2026....................................$212,200,000
4 2027....................................$218,500,000
5 2028....................................$225,100,000
6 2029....................................$288,700,000
7 2030....................................$298,900,000
8 2031....................................$309,300,000
9 2032....................................$320,100,000
10 2033....................................$331,200,000
11 2034....................................$341,200,000
12 2035....................................$351,400,000
13 2036....................................$361,900,000
14 2037....................................$372,800,000
15 2038....................................$384,000,000
16 2039....................................$395,500,000
17 2040....................................$407,400,000
18 2041....................................$419,600,000
19 2042....................................$432,200,000
20 2043....................................$445,100,000
21 Beginning July 1, 2021 and until July 1, 2022, subject to
22the payment of amounts into the State and Local Sales Tax
23Reform Fund, the Build Illinois Fund, the McCormick Place
24Expansion Project Fund, the Illinois Tax Increment Fund, the
25Energy Infrastructure Fund, and the Tax Compliance and
26Administration Fund as provided in this Section, the

HB2556- 71 -LRB103 25797 HLH 52147 b
1Department shall pay each month into the Road Fund the amount
2estimated to represent 16% of the net revenue realized from
3the taxes imposed on motor fuel and gasohol. Beginning July 1,
42022 and until July 1, 2023, subject to the payment of amounts
5into the State and Local Sales Tax Reform Fund, the Build
6Illinois Fund, the McCormick Place Expansion Project Fund, the
7Illinois Tax Increment Fund, the Energy Infrastructure Fund,
8and the Tax Compliance and Administration Fund as provided in
9this Section, the Department shall pay each month into the
10Road Fund the amount estimated to represent 32% of the net
11revenue realized from the taxes imposed on motor fuel and
12gasohol. Beginning July 1, 2023 and until July 1, 2024,
13subject to the payment of amounts into the State and Local
14Sales Tax Reform Fund, the Build Illinois Fund, the McCormick
15Place Expansion Project Fund, the Illinois Tax Increment Fund,
16the Energy Infrastructure Fund, and the Tax Compliance and
17Administration Fund as provided in this Section, the
18Department shall pay each month into the Road Fund the amount
19estimated to represent 48% of the net revenue realized from
20the taxes imposed on motor fuel and gasohol. Beginning July 1,
212024 and until July 1, 2025, subject to the payment of amounts
22into the State and Local Sales Tax Reform Fund, the Build
23Illinois Fund, the McCormick Place Expansion Project Fund, the
24Illinois Tax Increment Fund, the Energy Infrastructure Fund,
25and the Tax Compliance and Administration Fund as provided in
26this Section, the Department shall pay each month into the

HB2556- 72 -LRB103 25797 HLH 52147 b
1Road Fund the amount estimated to represent 64% of the net
2revenue realized from the taxes imposed on motor fuel and
3gasohol. Beginning on July 1, 2025, subject to the payment of
4amounts into the State and Local Sales Tax Reform Fund, the
5Build Illinois Fund, the McCormick Place Expansion Project
6Fund, the Illinois Tax Increment Fund, the Energy
7Infrastructure Fund, and the Tax Compliance and Administration
8Fund as provided in this Section, the Department shall pay
9each month into the Road Fund the amount estimated to
10represent 80% of the net revenue realized from the taxes
11imposed on motor fuel and gasohol. As used in this paragraph
12"motor fuel" has the meaning given to that term in Section 1.1
13of the Motor Fuel Tax Law, and "gasohol" has the meaning given
14to that term in Section 3-40 of the Use Tax Act.
15 Of the remainder of the moneys received by the Department
16pursuant to this Act, 75% thereof shall be paid into the
17General Revenue Fund of the State Treasury and 25% shall be
18reserved in a special account and used only for the transfer to
19the Common School Fund as part of the monthly transfer from the
20General Revenue Fund in accordance with Section 8a of the
21State Finance Act.
22 As soon as possible after the first day of each month, upon
23certification of the Department of Revenue, the Comptroller
24shall order transferred and the Treasurer shall transfer from
25the General Revenue Fund to the Motor Fuel Tax Fund an amount
26equal to 1.7% of 80% of the net revenue realized under this Act

HB2556- 73 -LRB103 25797 HLH 52147 b
1for the second preceding month. Beginning April 1, 2000, this
2transfer is no longer required and shall not be made.
3 Net revenue realized for a month shall be the revenue
4collected by the State pursuant to this Act, less the amount
5paid out during that month as refunds to taxpayers for
6overpayment of liability.
7(Source: P.A. 101-10, Article 15, Section 15-15, eff. 6-5-19;
8101-10, Article 25, Section 25-110, eff. 6-5-19; 101-27, eff.
96-25-19; 101-32, eff. 6-28-19; 101-604, eff. 12-13-19;
10101-636, eff. 6-10-20; 102-700, eff. 4-19-22.)
11 Section 20. The Service Occupation Tax Act is amended by
12changing Sections 3-10 and 9 as follows:
13 (35 ILCS 115/3-10) (from Ch. 120, par. 439.103-10)
14 Sec. 3-10. Rate of tax. Unless otherwise provided in this
15Section, the tax imposed by this Act is at the rate of 6.25% of
16the "selling price", as defined in Section 2 of the Service Use
17Tax Act, of the tangible personal property. For the purpose of
18computing this tax, in no event shall the "selling price" be
19less than the cost price to the serviceman of the tangible
20personal property transferred. The selling price of each item
21of tangible personal property transferred as an incident of a
22sale of service may be shown as a distinct and separate item on
23the serviceman's billing to the service customer. If the
24selling price is not so shown, the selling price of the

HB2556- 74 -LRB103 25797 HLH 52147 b
1tangible personal property is deemed to be 50% of the
2serviceman's entire billing to the service customer. When,
3however, a serviceman contracts to design, develop, and
4produce special order machinery or equipment, the tax imposed
5by this Act shall be based on the serviceman's cost price of
6the tangible personal property transferred incident to the
7completion of the contract.
8 Beginning on July 1, 2000 and through December 31, 2000,
9with respect to motor fuel, as defined in Section 1.1 of the
10Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
11the Use Tax Act, the tax is imposed at the rate of 1.25%.
12 With respect to gasohol, as defined in the Use Tax Act, the
13tax imposed by this Act shall apply to (i) 70% of the cost
14price of property transferred as an incident to the sale of
15service on or after January 1, 1990, and before July 1, 2003,
16(ii) 80% of the selling price of property transferred as an
17incident to the sale of service on or after July 1, 2003 and on
18or before July 1, 2017, and (iii) 100% of the cost price
19thereafter. If, at any time, however, the tax under this Act on
20sales of gasohol, as defined in the Use Tax Act, is imposed at
21the rate of 1.25%, then the tax imposed by this Act applies to
22100% of the proceeds of sales of gasohol made during that time.
23 With respect to majority blended ethanol fuel, as defined
24in the Use Tax Act, the tax imposed by this Act does not apply
25to the selling price of property transferred as an incident to
26the sale of service on or after July 1, 2003 and on or before

HB2556- 75 -LRB103 25797 HLH 52147 b
1December 31, 2023 but applies to 100% of the selling price
2thereafter.
3 With respect to biodiesel blends, as defined in the Use
4Tax Act, with no less than 1% and no more than 10% biodiesel,
5the tax imposed by this Act applies to (i) 80% of the selling
6price of property transferred as an incident to the sale of
7service on or after July 1, 2003 and on or before December 31,
82018 and (ii) 100% of the proceeds of the selling price after
9December 31, 2018 and before January 1, 2024. On and after
10January 1, 2024 and on or before December 31, 2030, the
11taxation of biodiesel, renewable diesel, and biodiesel blends
12shall be as provided in Section 3-5.1 of the Use Tax Act. If,
13at any time, however, the tax under this Act on sales of
14biodiesel blends, as defined in the Use Tax Act, with no less
15than 1% and no more than 10% biodiesel is imposed at the rate
16of 1.25%, then the tax imposed by this Act applies to 100% of
17the proceeds of sales of biodiesel blends with no less than 1%
18and no more than 10% biodiesel made during that time.
19 With respect to biodiesel, as defined in the Use Tax Act,
20and biodiesel blends, as defined in the Use Tax Act, with more
21than 10% but no more than 99% biodiesel material, the tax
22imposed by this Act does not apply to the proceeds of the
23selling price of property transferred as an incident to the
24sale of service on or after July 1, 2003 and on or before
25December 31, 2023. On and after January 1, 2024 and on or
26before December 31, 2030, the taxation of biodiesel, renewable

HB2556- 76 -LRB103 25797 HLH 52147 b
1diesel, and biodiesel blends shall be as provided in Section
23-5.1 of the Use Tax Act.
3 At the election of any registered serviceman made for each
4fiscal year, sales of service in which the aggregate annual
5cost price of tangible personal property transferred as an
6incident to the sales of service is less than 35%, or 75% in
7the case of servicemen transferring prescription drugs or
8servicemen engaged in graphic arts production, of the
9aggregate annual total gross receipts from all sales of
10service, the tax imposed by this Act shall be based on the
11serviceman's cost price of the tangible personal property
12transferred incident to the sale of those services.
13 Until July 1, 2022 and beginning again on July 1, 2023, the
14tax shall be imposed at the rate of 1% on food prepared for
15immediate consumption and transferred incident to a sale of
16service subject to this Act or the Service Use Tax Act by an
17entity licensed under the Hospital Licensing Act, the Nursing
18Home Care Act, the Assisted Living and Shared Housing Act, the
19ID/DD Community Care Act, the MC/DD Act, the Specialized
20Mental Health Rehabilitation Act of 2013, or the Child Care
21Act of 1969, or an entity that holds a permit issued pursuant
22to the Life Care Facilities Act. Until July 1, 2022 and
23beginning again on July 1, 2023, the tax shall also be imposed
24at the rate of 1% on food for human consumption that is to be
25consumed off the premises where it is sold (other than
26alcoholic beverages, food consisting of or infused with adult

HB2556- 77 -LRB103 25797 HLH 52147 b
1use cannabis, soft drinks, and food that has been prepared for
2immediate consumption and is not otherwise included in this
3paragraph).
4 Beginning on July 1, 2022 and until July 1, 2023, the tax
5shall be imposed at the rate of 0% on food prepared for
6immediate consumption and transferred incident to a sale of
7service subject to this Act or the Service Use Tax Act by an
8entity licensed under the Hospital Licensing Act, the Nursing
9Home Care Act, the Assisted Living and Shared Housing Act, the
10ID/DD Community Care Act, the MC/DD Act, the Specialized
11Mental Health Rehabilitation Act of 2013, or the Child Care
12Act of 1969, or an entity that holds a permit issued pursuant
13to the Life Care Facilities Act. Beginning July 1, 2022 and
14until July 1, 2023, the tax shall also be imposed at the rate
15of 0% on food for human consumption that is to be consumed off
16the premises where it is sold (other than alcoholic beverages,
17food consisting of or infused with adult use cannabis, soft
18drinks, and food that has been prepared for immediate
19consumption and is not otherwise included in this paragraph).
20 The tax shall also be imposed at the rate of 1% on
21prescription and nonprescription medicines, drugs, medical
22appliances, products classified as Class III medical devices
23by the United States Food and Drug Administration that are
24used for cancer treatment pursuant to a prescription, as well
25as any accessories and components related to those devices,
26modifications to a motor vehicle for the purpose of rendering

HB2556- 78 -LRB103 25797 HLH 52147 b
1it usable by a person with a disability, and insulin, blood
2sugar testing materials, syringes, and needles used by human
3diabetics. For the purposes of this Section, until September
41, 2009: the term "soft drinks" means any complete, finished,
5ready-to-use, non-alcoholic drink, whether carbonated or not,
6including, but not limited to, soda water, cola, fruit juice,
7vegetable juice, carbonated water, and all other preparations
8commonly known as soft drinks of whatever kind or description
9that are contained in any closed or sealed can, carton, or
10container, regardless of size; but "soft drinks" does not
11include coffee, tea, non-carbonated water, infant formula,
12milk or milk products as defined in the Grade A Pasteurized
13Milk and Milk Products Act, or drinks containing 50% or more
14natural fruit or vegetable juice.
15 Notwithstanding any other provisions of this Act,
16beginning September 1, 2009, "soft drinks" means non-alcoholic
17beverages that contain natural or artificial sweeteners. "Soft
18drinks" does do not include beverages that contain milk or
19milk products, soy, rice or similar milk substitutes, or
20greater than 50% of vegetable or fruit juice by volume.
21 Until August 1, 2009, and notwithstanding any other
22provisions of this Act, "food for human consumption that is to
23be consumed off the premises where it is sold" includes all
24food sold through a vending machine, except soft drinks and
25food products that are dispensed hot from a vending machine,
26regardless of the location of the vending machine. Beginning

HB2556- 79 -LRB103 25797 HLH 52147 b
1August 1, 2009, and notwithstanding any other provisions of
2this Act, "food for human consumption that is to be consumed
3off the premises where it is sold" includes all food sold
4through a vending machine, except soft drinks, candy, and food
5products that are dispensed hot from a vending machine,
6regardless of the location of the vending machine.
7 Notwithstanding any other provisions of this Act,
8beginning September 1, 2009, "food for human consumption that
9is to be consumed off the premises where it is sold" does not
10include candy. For purposes of this Section, "candy" means a
11preparation of sugar, honey, or other natural or artificial
12sweeteners in combination with chocolate, fruits, nuts or
13other ingredients or flavorings in the form of bars, drops, or
14pieces. "Candy" does not include any preparation that contains
15flour or requires refrigeration.
16 Notwithstanding any other provisions of this Act,
17beginning September 1, 2009, "nonprescription medicines and
18drugs" does not include grooming and hygiene products. For
19purposes of this Section, "grooming and hygiene products"
20includes, but is not limited to, soaps and cleaning solutions,
21shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
22lotions and screens, unless those products are available by
23prescription only, regardless of whether the products meet the
24definition of "over-the-counter-drugs". For the purposes of
25this paragraph, "over-the-counter-drug" means a drug for human
26use that contains a label that identifies the product as a drug

HB2556- 80 -LRB103 25797 HLH 52147 b
1as required by 21 CFR C.F.R. § 201.66. The
2"over-the-counter-drug" label includes:
3 (A) a A "Drug Facts" panel; or
4 (B) a A statement of the "active ingredient(s)" with a
5 list of those ingredients contained in the compound,
6 substance or preparation.
7 Beginning on January 1, 2014 (the effective date of Public
8Act 98-122), "prescription and nonprescription medicines and
9drugs" includes medical cannabis purchased from a registered
10dispensing organization under the Compassionate Use of Medical
11Cannabis Program Act.
12 As used in this Section, "adult use cannabis" means
13cannabis subject to tax under the Cannabis Cultivation
14Privilege Tax Law and the Cannabis Purchaser Excise Tax Law
15and does not include cannabis subject to tax under the
16Compassionate Use of Medical Cannabis Program Act.
17 Beginning July 1, 2023, in addition to all other rates of
18tax imposed under this Act, a surcharge of 1% is imposed on the
19selling price of firearm ammunition. "Firearm ammunition" has
20the meaning given to that term under Section 31A-0.1 of the
21Criminal Code of 2012.
22(Source: P.A. 101-363, eff. 8-9-19; 101-593, eff. 12-4-19;
23102-4, eff. 4-27-21; 102-16, eff. 6-17-21; 102-700, Article
2420, Section 20-15, eff. 4-19-22; 102-700, Article 60, Section
2560-25, eff. 4-19-22; revised 6-1-22.)

HB2556- 81 -LRB103 25797 HLH 52147 b
1 (35 ILCS 115/9) (from Ch. 120, par. 439.109)
2 Sec. 9. Each serviceman required or authorized to collect
3the tax herein imposed shall pay to the Department the amount
4of such tax at the time when he is required to file his return
5for the period during which such tax was collectible, less a
6discount of 2.1% prior to January 1, 1990, and 1.75% on and
7after January 1, 1990, or $5 per calendar year, whichever is
8greater, which is allowed to reimburse the serviceman for
9expenses incurred in collecting the tax, keeping records,
10preparing and filing returns, remitting the tax and supplying
11data to the Department on request. When determining the
12discount allowed under this Section, servicemen shall include
13the amount of tax that would have been due at the 1% rate but
14for the 0% rate imposed under this amendatory Act of the 102nd
15General Assembly. The discount under this Section is not
16allowed for the 1.25% portion of taxes paid on aviation fuel
17that is subject to the revenue use requirements of 49 U.S.C.
1847107(b) and 49 U.S.C. 47133. The discount allowed under this
19Section is allowed only for returns that are filed in the
20manner required by this Act. The Department may disallow the
21discount for servicemen whose certificate of registration is
22revoked at the time the return is filed, but only if the
23Department's decision to revoke the certificate of
24registration has become final.
25 Where such tangible personal property is sold under a
26conditional sales contract, or under any other form of sale

HB2556- 82 -LRB103 25797 HLH 52147 b
1wherein the payment of the principal sum, or a part thereof, is
2extended beyond the close of the period for which the return is
3filed, the serviceman, in collecting the tax may collect, for
4each tax return period, only the tax applicable to the part of
5the selling price actually received during such tax return
6period.
7 Except as provided hereinafter in this Section, on or
8before the twentieth day of each calendar month, such
9serviceman shall file a return for the preceding calendar
10month in accordance with reasonable rules and regulations to
11be promulgated by the Department of Revenue. Such return shall
12be filed on a form prescribed by the Department and shall
13contain such information as the Department may reasonably
14require. The return shall include the gross receipts which
15were received during the preceding calendar month or quarter
16on the following items upon which tax would have been due but
17for the 0% rate imposed under this amendatory Act of the 102nd
18General Assembly: (i) food for human consumption that is to be
19consumed off the premises where it is sold (other than
20alcoholic beverages, food consisting of or infused with adult
21use cannabis, soft drinks, and food that has been prepared for
22immediate consumption); and (ii) food prepared for immediate
23consumption and transferred incident to a sale of service
24subject to this Act or the Service Use Tax Act by an entity
25licensed under the Hospital Licensing Act, the Nursing Home
26Care Act, the Assisted Living and Shared Housing Act, the

HB2556- 83 -LRB103 25797 HLH 52147 b
1ID/DD Community Care Act, the MC/DD Act, the Specialized
2Mental Health Rehabilitation Act of 2013, or the Child Care
3Act of 1969, or an entity that holds a permit issued pursuant
4to the Life Care Facilities Act. The return shall also include
5the amount of tax that would have been due on the items listed
6in the previous sentence but for the 0% rate imposed under this
7amendatory Act of the 102nd General Assembly.
8 On and after January 1, 2018, with respect to servicemen
9whose annual gross receipts average $20,000 or more, all
10returns required to be filed pursuant to this Act shall be
11filed electronically. Servicemen who demonstrate that they do
12not have access to the Internet or demonstrate hardship in
13filing electronically may petition the Department to waive the
14electronic filing requirement.
15 The Department may require returns to be filed on a
16quarterly basis. If so required, a return for each calendar
17quarter shall be filed on or before the twentieth day of the
18calendar month following the end of such calendar quarter. The
19taxpayer shall also file a return with the Department for each
20of the first two months of each calendar quarter, on or before
21the twentieth day of the following calendar month, stating:
22 1. The name of the seller;
23 2. The address of the principal place of business from
24 which he engages in business as a serviceman in this
25 State;
26 3. The total amount of taxable receipts received by

HB2556- 84 -LRB103 25797 HLH 52147 b
1 him during the preceding calendar month, including
2 receipts from charge and time sales, but less all
3 deductions allowed by law;
4 4. The amount of credit provided in Section 2d of this
5 Act;
6 5. The amount of tax due;
7 5-5. The signature of the taxpayer; and
8 6. Such other reasonable information as the Department
9 may require.
10 Each serviceman required or authorized to collect the tax
11herein imposed on aviation fuel acquired as an incident to the
12purchase of a service in this State during the preceding
13calendar month shall, instead of reporting and paying tax as
14otherwise required by this Section, report and pay such tax on
15a separate aviation fuel tax return. The requirements related
16to the return shall be as otherwise provided in this Section.
17Notwithstanding any other provisions of this Act to the
18contrary, servicemen transferring aviation fuel incident to
19sales of service shall file all aviation fuel tax returns and
20shall make all aviation fuel tax payments by electronic means
21in the manner and form required by the Department. For
22purposes of this Section, "aviation fuel" means jet fuel and
23aviation gasoline.
24 If a taxpayer fails to sign a return within 30 days after
25the proper notice and demand for signature by the Department,
26the return shall be considered valid and any amount shown to be

HB2556- 85 -LRB103 25797 HLH 52147 b
1due on the return shall be deemed assessed.
2 Notwithstanding any other provision of this Act to the
3contrary, servicemen subject to tax on cannabis shall file all
4cannabis tax returns and shall make all cannabis tax payments
5by electronic means in the manner and form required by the
6Department.
7 Prior to October 1, 2003, and on and after September 1,
82004 a serviceman may accept a Manufacturer's Purchase Credit
9certification from a purchaser in satisfaction of Service Use
10Tax as provided in Section 3-70 of the Service Use Tax Act if
11the purchaser provides the appropriate documentation as
12required by Section 3-70 of the Service Use Tax Act. A
13Manufacturer's Purchase Credit certification, accepted prior
14to October 1, 2003 or on or after September 1, 2004 by a
15serviceman as provided in Section 3-70 of the Service Use Tax
16Act, may be used by that serviceman to satisfy Service
17Occupation Tax liability in the amount claimed in the
18certification, not to exceed 6.25% of the receipts subject to
19tax from a qualifying purchase. A Manufacturer's Purchase
20Credit reported on any original or amended return filed under
21this Act after October 20, 2003 for reporting periods prior to
22September 1, 2004 shall be disallowed. Manufacturer's Purchase
23Credit reported on annual returns due on or after January 1,
242005 will be disallowed for periods prior to September 1,
252004. No Manufacturer's Purchase Credit may be used after
26September 30, 2003 through August 31, 2004 to satisfy any tax

HB2556- 86 -LRB103 25797 HLH 52147 b
1liability imposed under this Act, including any audit
2liability.
3 If the serviceman's average monthly tax liability to the
4Department does not exceed $200, the Department may authorize
5his returns to be filed on a quarter annual basis, with the
6return for January, February and March of a given year being
7due by April 20 of such year; with the return for April, May
8and June of a given year being due by July 20 of such year;
9with the return for July, August and September of a given year
10being due by October 20 of such year, and with the return for
11October, November and December of a given year being due by
12January 20 of the following year.
13 If the serviceman's average monthly tax liability to the
14Department does not exceed $50, the Department may authorize
15his returns to be filed on an annual basis, with the return for
16a given year being due by January 20 of the following year.
17 Such quarter annual and annual returns, as to form and
18substance, shall be subject to the same requirements as
19monthly returns.
20 Notwithstanding any other provision in this Act concerning
21the time within which a serviceman may file his return, in the
22case of any serviceman who ceases to engage in a kind of
23business which makes him responsible for filing returns under
24this Act, such serviceman shall file a final return under this
25Act with the Department not more than 1 month after
26discontinuing such business.

HB2556- 87 -LRB103 25797 HLH 52147 b
1 Beginning October 1, 1993, a taxpayer who has an average
2monthly tax liability of $150,000 or more shall make all
3payments required by rules of the Department by electronic
4funds transfer. Beginning October 1, 1994, a taxpayer who has
5an average monthly tax liability of $100,000 or more shall
6make all payments required by rules of the Department by
7electronic funds transfer. Beginning October 1, 1995, a
8taxpayer who has an average monthly tax liability of $50,000
9or more shall make all payments required by rules of the
10Department by electronic funds transfer. Beginning October 1,
112000, a taxpayer who has an annual tax liability of $200,000 or
12more shall make all payments required by rules of the
13Department by electronic funds transfer. The term "annual tax
14liability" shall be the sum of the taxpayer's liabilities
15under this Act, and under all other State and local occupation
16and use tax laws administered by the Department, for the
17immediately preceding calendar year. The term "average monthly
18tax liability" means the sum of the taxpayer's liabilities
19under this Act, and under all other State and local occupation
20and use tax laws administered by the Department, for the
21immediately preceding calendar year divided by 12. Beginning
22on October 1, 2002, a taxpayer who has a tax liability in the
23amount set forth in subsection (b) of Section 2505-210 of the
24Department of Revenue Law shall make all payments required by
25rules of the Department by electronic funds transfer.
26 Before August 1 of each year beginning in 1993, the

HB2556- 88 -LRB103 25797 HLH 52147 b
1Department shall notify all taxpayers required to make
2payments by electronic funds transfer. All taxpayers required
3to make payments by electronic funds transfer shall make those
4payments for a minimum of one year beginning on October 1.
5 Any taxpayer not required to make payments by electronic
6funds transfer may make payments by electronic funds transfer
7with the permission of the Department.
8 All taxpayers required to make payment by electronic funds
9transfer and any taxpayers authorized to voluntarily make
10payments by electronic funds transfer shall make those
11payments in the manner authorized by the Department.
12 The Department shall adopt such rules as are necessary to
13effectuate a program of electronic funds transfer and the
14requirements of this Section.
15 Where a serviceman collects the tax with respect to the
16selling price of tangible personal property which he sells and
17the purchaser thereafter returns such tangible personal
18property and the serviceman refunds the selling price thereof
19to the purchaser, such serviceman shall also refund, to the
20purchaser, the tax so collected from the purchaser. When
21filing his return for the period in which he refunds such tax
22to the purchaser, the serviceman may deduct the amount of the
23tax so refunded by him to the purchaser from any other Service
24Occupation Tax, Service Use Tax, Retailers' Occupation Tax or
25Use Tax which such serviceman may be required to pay or remit
26to the Department, as shown by such return, provided that the

HB2556- 89 -LRB103 25797 HLH 52147 b
1amount of the tax to be deducted shall previously have been
2remitted to the Department by such serviceman. If the
3serviceman shall not previously have remitted the amount of
4such tax to the Department, he shall be entitled to no
5deduction hereunder upon refunding such tax to the purchaser.
6 If experience indicates such action to be practicable, the
7Department may prescribe and furnish a combination or joint
8return which will enable servicemen, who are required to file
9returns hereunder and also under the Retailers' Occupation Tax
10Act, the Use Tax Act or the Service Use Tax Act, to furnish all
11the return information required by all said Acts on the one
12form.
13 Where the serviceman has more than one business registered
14with the Department under separate registrations hereunder,
15such serviceman shall file separate returns for each
16registered business.
17 Beginning January 1, 1990, each month the Department shall
18pay into the Local Government Tax Fund the revenue realized
19for the preceding month from the 1% tax imposed under this Act.
20 Beginning January 1, 1990, each month the Department shall
21pay into the County and Mass Transit District Fund 4% of the
22revenue realized for the preceding month from the 6.25%
23general rate on sales of tangible personal property other than
24aviation fuel sold on or after December 1, 2019. This
25exception for aviation fuel only applies for so long as the
26revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.

HB2556- 90 -LRB103 25797 HLH 52147 b
147133 are binding on the State.
2 Beginning August 1, 2000, each month the Department shall
3pay into the County and Mass Transit District Fund 20% of the
4net revenue realized for the preceding month from the 1.25%
5rate on the selling price of motor fuel and gasohol.
6 Beginning January 1, 1990, each month the Department shall
7pay into the Local Government Tax Fund 16% of the revenue
8realized for the preceding month from the 6.25% general rate
9on transfers of tangible personal property other than aviation
10fuel sold on or after December 1, 2019. This exception for
11aviation fuel only applies for so long as the revenue use
12requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
13binding on the State.
14 For aviation fuel sold on or after December 1, 2019, each
15month the Department shall pay into the State Aviation Program
16Fund 20% of the net revenue realized for the preceding month
17from the 6.25% general rate on the selling price of aviation
18fuel, less an amount estimated by the Department to be
19required for refunds of the 20% portion of the tax on aviation
20fuel under this Act, which amount shall be deposited into the
21Aviation Fuel Sales Tax Refund Fund. The Department shall only
22pay moneys into the State Aviation Program Fund and the
23Aviation Fuel Sales Tax Refund Fund under this Act for so long
24as the revenue use requirements of 49 U.S.C. 47107(b) and 49
25U.S.C. 47133 are binding on the State.
26 Beginning August 1, 2000, each month the Department shall

HB2556- 91 -LRB103 25797 HLH 52147 b
1pay into the Local Government Tax Fund 80% of the net revenue
2realized for the preceding month from the 1.25% rate on the
3selling price of motor fuel and gasohol.
4 Beginning October 1, 2009, each month the Department shall
5pay into the Capital Projects Fund an amount that is equal to
6an amount estimated by the Department to represent 80% of the
7net revenue realized for the preceding month from the sale of
8candy, grooming and hygiene products, and soft drinks that had
9been taxed at a rate of 1% prior to September 1, 2009 but that
10are now taxed at 6.25%.
11 Beginning July 1, 2013, each month the Department shall
12pay into the Underground Storage Tank Fund from the proceeds
13collected under this Act, the Use Tax Act, the Service Use Tax
14Act, and the Retailers' Occupation Tax Act an amount equal to
15the average monthly deficit in the Underground Storage Tank
16Fund during the prior year, as certified annually by the
17Illinois Environmental Protection Agency, but the total
18payment into the Underground Storage Tank Fund under this Act,
19the Use Tax Act, the Service Use Tax Act, and the Retailers'
20Occupation Tax Act shall not exceed $18,000,000 in any State
21fiscal year. As used in this paragraph, the "average monthly
22deficit" shall be equal to the difference between the average
23monthly claims for payment by the fund and the average monthly
24revenues deposited into the fund, excluding payments made
25pursuant to this paragraph.
26 Beginning July 1, 2015, of the remainder of the moneys

HB2556- 92 -LRB103 25797 HLH 52147 b
1received by the Department under the Use Tax Act, the Service
2Use Tax Act, this Act, and the Retailers' Occupation Tax Act,
3each month the Department shall deposit $500,000 into the
4State Crime Laboratory Fund.
5 Beginning July 1, 2023, the Department shall pay into the
6Trauma Response Fund 100% of the net revenue realized for the
7preceding month from the 1% surcharge on the selling price of
8firearm ammunition.
9 Of the remainder of the moneys received by the Department
10pursuant to this Act, (a) 1.75% thereof shall be paid into the
11Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
12and after July 1, 1989, 3.8% thereof shall be paid into the
13Build Illinois Fund; provided, however, that if in any fiscal
14year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
15may be, of the moneys received by the Department and required
16to be paid into the Build Illinois Fund pursuant to Section 3
17of the Retailers' Occupation Tax Act, Section 9 of the Use Tax
18Act, Section 9 of the Service Use Tax Act, and Section 9 of the
19Service Occupation Tax Act, such Acts being hereinafter called
20the "Tax Acts" and such aggregate of 2.2% or 3.8%, as the case
21may be, of moneys being hereinafter called the "Tax Act
22Amount", and (2) the amount transferred to the Build Illinois
23Fund from the State and Local Sales Tax Reform Fund shall be
24less than the Annual Specified Amount (as defined in Section 3
25of the Retailers' Occupation Tax Act), an amount equal to the
26difference shall be immediately paid into the Build Illinois

HB2556- 93 -LRB103 25797 HLH 52147 b
1Fund from other moneys received by the Department pursuant to
2the Tax Acts; and further provided, that if on the last
3business day of any month the sum of (1) the Tax Act Amount
4required to be deposited into the Build Illinois Account in
5the Build Illinois Fund during such month and (2) the amount
6transferred during such month to the Build Illinois Fund from
7the State and Local Sales Tax Reform Fund shall have been less
8than 1/12 of the Annual Specified Amount, an amount equal to
9the difference shall be immediately paid into the Build
10Illinois Fund from other moneys received by the Department
11pursuant to the Tax Acts; and, further provided, that in no
12event shall the payments required under the preceding proviso
13result in aggregate payments into the Build Illinois Fund
14pursuant to this clause (b) for any fiscal year in excess of
15the greater of (i) the Tax Act Amount or (ii) the Annual
16Specified Amount for such fiscal year; and, further provided,
17that the amounts payable into the Build Illinois Fund under
18this clause (b) shall be payable only until such time as the
19aggregate amount on deposit under each trust indenture
20securing Bonds issued and outstanding pursuant to the Build
21Illinois Bond Act is sufficient, taking into account any
22future investment income, to fully provide, in accordance with
23such indenture, for the defeasance of or the payment of the
24principal of, premium, if any, and interest on the Bonds
25secured by such indenture and on any Bonds expected to be
26issued thereafter and all fees and costs payable with respect

HB2556- 94 -LRB103 25797 HLH 52147 b
1thereto, all as certified by the Director of the Bureau of the
2Budget (now Governor's Office of Management and Budget). If on
3the last business day of any month in which Bonds are
4outstanding pursuant to the Build Illinois Bond Act, the
5aggregate of the moneys deposited in the Build Illinois Bond
6Account in the Build Illinois Fund in such month shall be less
7than the amount required to be transferred in such month from
8the Build Illinois Bond Account to the Build Illinois Bond
9Retirement and Interest Fund pursuant to Section 13 of the
10Build Illinois Bond Act, an amount equal to such deficiency
11shall be immediately paid from other moneys received by the
12Department pursuant to the Tax Acts to the Build Illinois
13Fund; provided, however, that any amounts paid to the Build
14Illinois Fund in any fiscal year pursuant to this sentence
15shall be deemed to constitute payments pursuant to clause (b)
16of the preceding sentence and shall reduce the amount
17otherwise payable for such fiscal year pursuant to clause (b)
18of the preceding sentence. The moneys received by the
19Department pursuant to this Act and required to be deposited
20into the Build Illinois Fund are subject to the pledge, claim
21and charge set forth in Section 12 of the Build Illinois Bond
22Act.
23 Subject to payment of amounts into the Build Illinois Fund
24as provided in the preceding paragraph or in any amendment
25thereto hereafter enacted, the following specified monthly
26installment of the amount requested in the certificate of the

HB2556- 95 -LRB103 25797 HLH 52147 b
1Chairman of the Metropolitan Pier and Exposition Authority
2provided under Section 8.25f of the State Finance Act, but not
3in excess of the sums designated as "Total Deposit", shall be
4deposited in the aggregate from collections under Section 9 of
5the Use Tax Act, Section 9 of the Service Use Tax Act, Section
69 of the Service Occupation Tax Act, and Section 3 of the
7Retailers' Occupation Tax Act into the McCormick Place
8Expansion Project Fund in the specified fiscal years.
9Fiscal YearTotal Deposit
101993 $0
111994 53,000,000
121995 58,000,000
131996 61,000,000
141997 64,000,000
151998 68,000,000
161999 71,000,000
172000 75,000,000
182001 80,000,000
192002 93,000,000
202003 99,000,000
212004103,000,000
222005108,000,000
232006113,000,000
242007119,000,000
252008126,000,000

HB2556- 96 -LRB103 25797 HLH 52147 b
12009132,000,000
22010139,000,000
32011146,000,000
42012153,000,000
52013161,000,000
62014170,000,000
72015179,000,000
82016189,000,000
92017199,000,000
102018210,000,000
112019221,000,000
122020233,000,000
132021300,000,000
142022300,000,000
152023300,000,000
162024 300,000,000
172025 300,000,000
182026 300,000,000
192027 375,000,000
202028 375,000,000
212029 375,000,000
222030 375,000,000
232031 375,000,000
242032 375,000,000
252033 375,000,000
262034375,000,000

HB2556- 97 -LRB103 25797 HLH 52147 b
12035375,000,000
22036450,000,000
3and
4each fiscal year
5thereafter that bonds
6are outstanding under
7Section 13.2 of the
8Metropolitan Pier and
9Exposition Authority Act,
10but not after fiscal year 2060.
11 Beginning July 20, 1993 and in each month of each fiscal
12year thereafter, one-eighth of the amount requested in the
13certificate of the Chairman of the Metropolitan Pier and
14Exposition Authority for that fiscal year, less the amount
15deposited into the McCormick Place Expansion Project Fund by
16the State Treasurer in the respective month under subsection
17(g) of Section 13 of the Metropolitan Pier and Exposition
18Authority Act, plus cumulative deficiencies in the deposits
19required under this Section for previous months and years,
20shall be deposited into the McCormick Place Expansion Project
21Fund, until the full amount requested for the fiscal year, but
22not in excess of the amount specified above as "Total
23Deposit", has been deposited.
24 Subject to payment of amounts into the Capital Projects
25Fund, the Build Illinois Fund, and the McCormick Place
26Expansion Project Fund pursuant to the preceding paragraphs or

HB2556- 98 -LRB103 25797 HLH 52147 b
1in any amendments thereto hereafter enacted, for aviation fuel
2sold on or after December 1, 2019, the Department shall each
3month deposit into the Aviation Fuel Sales Tax Refund Fund an
4amount estimated by the Department to be required for refunds
5of the 80% portion of the tax on aviation fuel under this Act.
6The Department shall only deposit moneys into the Aviation
7Fuel Sales Tax Refund Fund under this paragraph for so long as
8the revenue use requirements of 49 U.S.C. 47107(b) and 49
9U.S.C. 47133 are binding on the State.
10 Subject to payment of amounts into the Build Illinois Fund
11and the McCormick Place Expansion Project Fund pursuant to the
12preceding paragraphs or in any amendments thereto hereafter
13enacted, beginning July 1, 1993 and ending on September 30,
142013, the Department shall each month pay into the Illinois
15Tax Increment Fund 0.27% of 80% of the net revenue realized for
16the preceding month from the 6.25% general rate on the selling
17price of tangible personal property.
18 Subject to payment of amounts into the Build Illinois Fund
19and the McCormick Place Expansion Project Fund pursuant to the
20preceding paragraphs or in any amendments thereto hereafter
21enacted, beginning with the receipt of the first report of
22taxes paid by an eligible business and continuing for a
2325-year period, the Department shall each month pay into the
24Energy Infrastructure Fund 80% of the net revenue realized
25from the 6.25% general rate on the selling price of
26Illinois-mined coal that was sold to an eligible business. For

HB2556- 99 -LRB103 25797 HLH 52147 b
1purposes of this paragraph, the term "eligible business" means
2a new electric generating facility certified pursuant to
3Section 605-332 of the Department of Commerce and Economic
4Opportunity Law of the Civil Administrative Code of Illinois.
5 Subject to payment of amounts into the Build Illinois
6Fund, the McCormick Place Expansion Project Fund, the Illinois
7Tax Increment Fund, and the Energy Infrastructure Fund
8pursuant to the preceding paragraphs or in any amendments to
9this Section hereafter enacted, beginning on the first day of
10the first calendar month to occur on or after August 26, 2014
11(the effective date of Public Act 98-1098), each month, from
12the collections made under Section 9 of the Use Tax Act,
13Section 9 of the Service Use Tax Act, Section 9 of the Service
14Occupation Tax Act, and Section 3 of the Retailers' Occupation
15Tax Act, the Department shall pay into the Tax Compliance and
16Administration Fund, to be used, subject to appropriation, to
17fund additional auditors and compliance personnel at the
18Department of Revenue, an amount equal to 1/12 of 5% of 80% of
19the cash receipts collected during the preceding fiscal year
20by the Audit Bureau of the Department under the Use Tax Act,
21the Service Use Tax Act, the Service Occupation Tax Act, the
22Retailers' Occupation Tax Act, and associated local occupation
23and use taxes administered by the Department.
24 Subject to payments of amounts into the Build Illinois
25Fund, the McCormick Place Expansion Project Fund, the Illinois
26Tax Increment Fund, the Energy Infrastructure Fund, and the

HB2556- 100 -LRB103 25797 HLH 52147 b
1Tax Compliance and Administration Fund as provided in this
2Section, beginning on July 1, 2018 the Department shall pay
3each month into the Downstate Public Transportation Fund the
4moneys required to be so paid under Section 2-3 of the
5Downstate Public Transportation Act.
6 Subject to successful execution and delivery of a
7public-private agreement between the public agency and private
8entity and completion of the civic build, beginning on July 1,
92023, of the remainder of the moneys received by the
10Department under the Use Tax Act, the Service Use Tax Act, the
11Service Occupation Tax Act, and this Act, the Department shall
12deposit the following specified deposits in the aggregate from
13collections under the Use Tax Act, the Service Use Tax Act, the
14Service Occupation Tax Act, and the Retailers' Occupation Tax
15Act, as required under Section 8.25g of the State Finance Act
16for distribution consistent with the Public-Private
17Partnership for Civic and Transit Infrastructure Project Act.
18The moneys received by the Department pursuant to this Act and
19required to be deposited into the Civic and Transit
20Infrastructure Fund are subject to the pledge, claim and
21charge set forth in Section 25-55 of the Public-Private
22Partnership for Civic and Transit Infrastructure Project Act.
23As used in this paragraph, "civic build", "private entity",
24"public-private agreement", and "public agency" have the
25meanings provided in Section 25-10 of the Public-Private
26Partnership for Civic and Transit Infrastructure Project Act.

HB2556- 101 -LRB103 25797 HLH 52147 b
1 Fiscal Year............................Total Deposit
2 2024....................................$200,000,000
3 2025....................................$206,000,000
4 2026....................................$212,200,000
5 2027....................................$218,500,000
6 2028....................................$225,100,000
7 2029....................................$288,700,000
8 2030....................................$298,900,000
9 2031....................................$309,300,000
10 2032....................................$320,100,000
11 2033....................................$331,200,000
12 2034....................................$341,200,000
13 2035....................................$351,400,000
14 2036....................................$361,900,000
15 2037....................................$372,800,000
16 2038....................................$384,000,000
17 2039....................................$395,500,000
18 2040....................................$407,400,000
19 2041....................................$419,600,000
20 2042....................................$432,200,000
21 2043....................................$445,100,000
22 Beginning July 1, 2021 and until July 1, 2022, subject to
23the payment of amounts into the County and Mass Transit
24District Fund, the Local Government Tax Fund, the Build
25Illinois Fund, the McCormick Place Expansion Project Fund, the
26Illinois Tax Increment Fund, the Energy Infrastructure Fund,

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1and the Tax Compliance and Administration Fund as provided in
2this Section, the Department shall pay each month into the
3Road Fund the amount estimated to represent 16% of the net
4revenue realized from the taxes imposed on motor fuel and
5gasohol. Beginning July 1, 2022 and until July 1, 2023,
6subject to the payment of amounts into the County and Mass
7Transit District Fund, the Local Government Tax Fund, the
8Build Illinois Fund, the McCormick Place Expansion Project
9Fund, the Illinois Tax Increment Fund, the Energy
10Infrastructure Fund, and the Tax Compliance and Administration
11Fund as provided in this Section, the Department shall pay
12each month into the Road Fund the amount estimated to
13represent 32% of the net revenue realized from the taxes
14imposed on motor fuel and gasohol. Beginning July 1, 2023 and
15until July 1, 2024, subject to the payment of amounts into the
16County and Mass Transit District Fund, the Local Government
17Tax Fund, the Build Illinois Fund, the McCormick Place
18Expansion Project Fund, the Illinois Tax Increment Fund, the
19Energy Infrastructure Fund, and the Tax Compliance and
20Administration Fund as provided in this Section, the
21Department shall pay each month into the Road Fund the amount
22estimated to represent 48% of the net revenue realized from
23the taxes imposed on motor fuel and gasohol. Beginning July 1,
242024 and until July 1, 2025, subject to the payment of amounts
25into the County and Mass Transit District Fund, the Local
26Government Tax Fund, the Build Illinois Fund, the McCormick

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1Place Expansion Project Fund, the Illinois Tax Increment Fund,
2the Energy Infrastructure Fund, and the Tax Compliance and
3Administration Fund as provided in this Section, the
4Department shall pay each month into the Road Fund the amount
5estimated to represent 64% of the net revenue realized from
6the taxes imposed on motor fuel and gasohol. Beginning on July
71, 2025, subject to the payment of amounts into the County and
8Mass Transit District Fund, the Local Government Tax Fund, the
9Build Illinois Fund, the McCormick Place Expansion Project
10Fund, the Illinois Tax Increment Fund, the Energy
11Infrastructure Fund, and the Tax Compliance and Administration
12Fund as provided in this Section, the Department shall pay
13each month into the Road Fund the amount estimated to
14represent 80% of the net revenue realized from the taxes
15imposed on motor fuel and gasohol. As used in this paragraph
16"motor fuel" has the meaning given to that term in Section 1.1
17of the Motor Fuel Tax Law, and "gasohol" has the meaning given
18to that term in Section 3-40 of the Use Tax Act.
19 Of the remainder of the moneys received by the Department
20pursuant to this Act, 75% shall be paid into the General
21Revenue Fund of the State Treasury and 25% shall be reserved in
22a special account and used only for the transfer to the Common
23School Fund as part of the monthly transfer from the General
24Revenue Fund in accordance with Section 8a of the State
25Finance Act.
26 The Department may, upon separate written notice to a

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1taxpayer, require the taxpayer to prepare and file with the
2Department on a form prescribed by the Department within not
3less than 60 days after receipt of the notice an annual
4information return for the tax year specified in the notice.
5Such annual return to the Department shall include a statement
6of gross receipts as shown by the taxpayer's last Federal
7income tax return. If the total receipts of the business as
8reported in the Federal income tax return do not agree with the
9gross receipts reported to the Department of Revenue for the
10same period, the taxpayer shall attach to his annual return a
11schedule showing a reconciliation of the 2 amounts and the
12reasons for the difference. The taxpayer's annual return to
13the Department shall also disclose the cost of goods sold by
14the taxpayer during the year covered by such return, opening
15and closing inventories of such goods for such year, cost of
16goods used from stock or taken from stock and given away by the
17taxpayer during such year, pay roll information of the
18taxpayer's business during such year and any additional
19reasonable information which the Department deems would be
20helpful in determining the accuracy of the monthly, quarterly
21or annual returns filed by such taxpayer as hereinbefore
22provided for in this Section.
23 If the annual information return required by this Section
24is not filed when and as required, the taxpayer shall be liable
25as follows:
26 (i) Until January 1, 1994, the taxpayer shall be

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1 liable for a penalty equal to 1/6 of 1% of the tax due from
2 such taxpayer under this Act during the period to be
3 covered by the annual return for each month or fraction of
4 a month until such return is filed as required, the
5 penalty to be assessed and collected in the same manner as
6 any other penalty provided for in this Act.
7 (ii) On and after January 1, 1994, the taxpayer shall
8 be liable for a penalty as described in Section 3-4 of the
9 Uniform Penalty and Interest Act.
10 The chief executive officer, proprietor, owner or highest
11ranking manager shall sign the annual return to certify the
12accuracy of the information contained therein. Any person who
13willfully signs the annual return containing false or
14inaccurate information shall be guilty of perjury and punished
15accordingly. The annual return form prescribed by the
16Department shall include a warning that the person signing the
17return may be liable for perjury.
18 The foregoing portion of this Section concerning the
19filing of an annual information return shall not apply to a
20serviceman who is not required to file an income tax return
21with the United States Government.
22 As soon as possible after the first day of each month, upon
23certification of the Department of Revenue, the Comptroller
24shall order transferred and the Treasurer shall transfer from
25the General Revenue Fund to the Motor Fuel Tax Fund an amount
26equal to 1.7% of 80% of the net revenue realized under this Act

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1for the second preceding month. Beginning April 1, 2000, this
2transfer is no longer required and shall not be made.
3 Net revenue realized for a month shall be the revenue
4collected by the State pursuant to this Act, less the amount
5paid out during that month as refunds to taxpayers for
6overpayment of liability.
7 For greater simplicity of administration, it shall be
8permissible for manufacturers, importers and wholesalers whose
9products are sold by numerous servicemen in Illinois, and who
10wish to do so, to assume the responsibility for accounting and
11paying to the Department all tax accruing under this Act with
12respect to such sales, if the servicemen who are affected do
13not make written objection to the Department to this
14arrangement.
15(Source: P.A. 101-10, Article 15, Section 15-20, eff. 6-5-19;
16101-10, Article 25, Section 25-115, eff. 6-5-19; 101-27, eff.
176-25-19; 101-32, eff. 6-28-19; 101-604, eff. 12-13-19;
18101-636, eff. 6-10-20; 102-700, eff. 4-19-22.)
19 Section 25. The Retailers' Occupation Tax Act is amended
20by changing Sections 2-10 and 3 as follows:
21 (35 ILCS 120/2-10)
22 Sec. 2-10. Rate of tax. Unless otherwise provided in this
23Section, the tax imposed by this Act is at the rate of 6.25% of
24gross receipts from sales of tangible personal property made

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1in the course of business.
2 Beginning on July 1, 2000 and through December 31, 2000,
3with respect to motor fuel, as defined in Section 1.1 of the
4Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
5the Use Tax Act, the tax is imposed at the rate of 1.25%.
6 Beginning on August 6, 2010 through August 15, 2010, and
7beginning again on August 5, 2022 through August 14, 2022,
8with respect to sales tax holiday items as defined in Section
92-8 of this Act, the tax is imposed at the rate of 1.25%.
10 Within 14 days after July 1, 2000 (the effective date of
11Public Act 91-872) this amendatory Act of the 91st General
12Assembly, each retailer of motor fuel and gasohol shall cause
13the following notice to be posted in a prominently visible
14place on each retail dispensing device that is used to
15dispense motor fuel or gasohol in the State of Illinois: "As of
16July 1, 2000, the State of Illinois has eliminated the State's
17share of sales tax on motor fuel and gasohol through December
1831, 2000. The price on this pump should reflect the
19elimination of the tax." The notice shall be printed in bold
20print on a sign that is no smaller than 4 inches by 8 inches.
21The sign shall be clearly visible to customers. Any retailer
22who fails to post or maintain a required sign through December
2331, 2000 is guilty of a petty offense for which the fine shall
24be $500 per day per each retail premises where a violation
25occurs.
26 With respect to gasohol, as defined in the Use Tax Act, the

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1tax imposed by this Act applies to (i) 70% of the proceeds of
2sales made on or after January 1, 1990, and before July 1,
32003, (ii) 80% of the proceeds of sales made on or after July
41, 2003 and on or before July 1, 2017, and (iii) 100% of the
5proceeds of sales made thereafter. If, at any time, however,
6the tax under this Act on sales of gasohol, as defined in the
7Use Tax Act, is imposed at the rate of 1.25%, then the tax
8imposed by this Act applies to 100% of the proceeds of sales of
9gasohol made during that time.
10 With respect to majority blended ethanol fuel, as defined
11in the Use Tax Act, the tax imposed by this Act does not apply
12to the proceeds of sales made on or after July 1, 2003 and on
13or before December 31, 2023 but applies to 100% of the proceeds
14of sales made thereafter.
15 With respect to biodiesel blends, as defined in the Use
16Tax Act, with no less than 1% and no more than 10% biodiesel,
17the tax imposed by this Act applies to (i) 80% of the proceeds
18of sales made on or after July 1, 2003 and on or before
19December 31, 2018 and (ii) 100% of the proceeds of sales made
20after December 31, 2018 and before January 1, 2024. On and
21after January 1, 2024 and on or before December 31, 2030, the
22taxation of biodiesel, renewable diesel, and biodiesel blends
23shall be as provided in Section 3-5.1 of the Use Tax Act. If,
24at any time, however, the tax under this Act on sales of
25biodiesel blends, as defined in the Use Tax Act, with no less
26than 1% and no more than 10% biodiesel is imposed at the rate

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1of 1.25%, then the tax imposed by this Act applies to 100% of
2the proceeds of sales of biodiesel blends with no less than 1%
3and no more than 10% biodiesel made during that time.
4 With respect to biodiesel, as defined in the Use Tax Act,
5and biodiesel blends, as defined in the Use Tax Act, with more
6than 10% but no more than 99% biodiesel, the tax imposed by
7this Act does not apply to the proceeds of sales made on or
8after July 1, 2003 and on or before December 31, 2023. On and
9after January 1, 2024 and on or before December 31, 2030, the
10taxation of biodiesel, renewable diesel, and biodiesel blends
11shall be as provided in Section 3-5.1 of the Use Tax Act.
12 Until July 1, 2022 and beginning again on July 1, 2023,
13with respect to food for human consumption that is to be
14consumed off the premises where it is sold (other than
15alcoholic beverages, food consisting of or infused with adult
16use cannabis, soft drinks, and food that has been prepared for
17immediate consumption), the tax is imposed at the rate of 1%.
18Beginning July 1, 2022 and until July 1, 2023, with respect to
19food for human consumption that is to be consumed off the
20premises where it is sold (other than alcoholic beverages,
21food consisting of or infused with adult use cannabis, soft
22drinks, and food that has been prepared for immediate
23consumption), the tax is imposed at the rate of 0%.
24 With respect to prescription and nonprescription
25medicines, drugs, medical appliances, products classified as
26Class III medical devices by the United States Food and Drug

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1Administration that are used for cancer treatment pursuant to
2a prescription, as well as any accessories and components
3related to those devices, modifications to a motor vehicle for
4the purpose of rendering it usable by a person with a
5disability, and insulin, blood sugar testing materials,
6syringes, and needles used by human diabetics, the tax is
7imposed at the rate of 1%. For the purposes of this Section,
8until September 1, 2009: the term "soft drinks" means any
9complete, finished, ready-to-use, non-alcoholic drink, whether
10carbonated or not, including, but not limited to, soda water,
11cola, fruit juice, vegetable juice, carbonated water, and all
12other preparations commonly known as soft drinks of whatever
13kind or description that are contained in any closed or sealed
14bottle, can, carton, or container, regardless of size; but
15"soft drinks" does not include coffee, tea, non-carbonated
16water, infant formula, milk or milk products as defined in the
17Grade A Pasteurized Milk and Milk Products Act, or drinks
18containing 50% or more natural fruit or vegetable juice.
19 Notwithstanding any other provisions of this Act,
20beginning September 1, 2009, "soft drinks" means non-alcoholic
21beverages that contain natural or artificial sweeteners. "Soft
22drinks" does do not include beverages that contain milk or
23milk products, soy, rice or similar milk substitutes, or
24greater than 50% of vegetable or fruit juice by volume.
25 Until August 1, 2009, and notwithstanding any other
26provisions of this Act, "food for human consumption that is to

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1be consumed off the premises where it is sold" includes all
2food sold through a vending machine, except soft drinks and
3food products that are dispensed hot from a vending machine,
4regardless of the location of the vending machine. Beginning
5August 1, 2009, and notwithstanding any other provisions of
6this Act, "food for human consumption that is to be consumed
7off the premises where it is sold" includes all food sold
8through a vending machine, except soft drinks, candy, and food
9products that are dispensed hot from a vending machine,
10regardless of the location of the vending machine.
11 Notwithstanding any other provisions of this Act,
12beginning September 1, 2009, "food for human consumption that
13is to be consumed off the premises where it is sold" does not
14include candy. For purposes of this Section, "candy" means a
15preparation of sugar, honey, or other natural or artificial
16sweeteners in combination with chocolate, fruits, nuts or
17other ingredients or flavorings in the form of bars, drops, or
18pieces. "Candy" does not include any preparation that contains
19flour or requires refrigeration.
20 Notwithstanding any other provisions of this Act,
21beginning September 1, 2009, "nonprescription medicines and
22drugs" does not include grooming and hygiene products. For
23purposes of this Section, "grooming and hygiene products"
24includes, but is not limited to, soaps and cleaning solutions,
25shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
26lotions and screens, unless those products are available by

HB2556- 112 -LRB103 25797 HLH 52147 b
1prescription only, regardless of whether the products meet the
2definition of "over-the-counter-drugs". For the purposes of
3this paragraph, "over-the-counter-drug" means a drug for human
4use that contains a label that identifies the product as a drug
5as required by 21 CFR C.F.R. § 201.66. The
6"over-the-counter-drug" label includes:
7 (A) a A "Drug Facts" panel; or
8 (B) a A statement of the "active ingredient(s)" with a
9 list of those ingredients contained in the compound,
10 substance or preparation.
11 Beginning on January 1, 2014 (the effective date of Public
12Act 98-122) this amendatory Act of the 98th General Assembly,
13"prescription and nonprescription medicines and drugs"
14includes medical cannabis purchased from a registered
15dispensing organization under the Compassionate Use of Medical
16Cannabis Program Act.
17 As used in this Section, "adult use cannabis" means
18cannabis subject to tax under the Cannabis Cultivation
19Privilege Tax Law and the Cannabis Purchaser Excise Tax Law
20and does not include cannabis subject to tax under the
21Compassionate Use of Medical Cannabis Program Act.
22 Beginning July 1, 2023, in addition to all other rates of
23tax imposed under this Act, a surcharge of 1% is imposed on the
24selling price of firearm ammunition. "Firearm ammunition" has
25the meaning given to that term under Section 31A-0.1 of the
26Criminal Code of 2012.

HB2556- 113 -LRB103 25797 HLH 52147 b
1(Source: P.A. 101-363, eff. 8-9-19; 101-593, eff. 12-4-19;
2102-4, eff. 4-27-21; 102-700, Article 20, Section 20-20, eff.
34-19-22; 102-700, Article 60, Section 60-30, eff. 4-19-22;
4102-700, Article 65, Section 65-10, eff. 4-19-22; revised
56-1-22.)
6 (35 ILCS 120/3) (from Ch. 120, par. 442)
7 Sec. 3. Except as provided in this Section, on or before
8the twentieth day of each calendar month, every person engaged
9in the business of selling tangible personal property at
10retail in this State during the preceding calendar month shall
11file a return with the Department, stating:
12 1. The name of the seller;
13 2. His residence address and the address of his
14 principal place of business and the address of the
15 principal place of business (if that is a different
16 address) from which he engages in the business of selling
17 tangible personal property at retail in this State;
18 3. Total amount of receipts received by him during the
19 preceding calendar month or quarter, as the case may be,
20 from sales of tangible personal property, and from
21 services furnished, by him during such preceding calendar
22 month or quarter;
23 4. Total amount received by him during the preceding
24 calendar month or quarter on charge and time sales of
25 tangible personal property, and from services furnished,

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1 by him prior to the month or quarter for which the return
2 is filed;
3 5. Deductions allowed by law;
4 6. Gross receipts which were received by him during
5 the preceding calendar month or quarter and upon the basis
6 of which the tax is imposed, including gross receipts on
7 food for human consumption that is to be consumed off the
8 premises where it is sold (other than alcoholic beverages,
9 food consisting of or infused with adult use cannabis,
10 soft drinks, and food that has been prepared for immediate
11 consumption) which were received during the preceding
12 calendar month or quarter and upon which tax would have
13 been due but for the 0% rate imposed under Public Act
14 102-700 this amendatory Act of the 102nd General Assembly;
15 7. The amount of credit provided in Section 2d of this
16 Act;
17 8. The amount of tax due, including the amount of tax
18 that would have been due on food for human consumption
19 that is to be consumed off the premises where it is sold
20 (other than alcoholic beverages, food consisting of or
21 infused with adult use cannabis, soft drinks, and food
22 that has been prepared for immediate consumption) but for
23 the 0% rate imposed under Public Act 102-700 this
24 amendatory Act of the 102nd General Assembly;
25 9. The signature of the taxpayer; and
26 10. Such other reasonable information as the

HB2556- 115 -LRB103 25797 HLH 52147 b
1 Department may require.
2 On and after January 1, 2018, except for returns required
3to be filed prior to January 1, 2023 for motor vehicles,
4watercraft, aircraft, and trailers that are required to be
5registered with an agency of this State, with respect to
6retailers whose annual gross receipts average $20,000 or more,
7all returns required to be filed pursuant to this Act shall be
8filed electronically. On and after January 1, 2023, with
9respect to retailers whose annual gross receipts average
10$20,000 or more, all returns required to be filed pursuant to
11this Act, including, but not limited to, returns for motor
12vehicles, watercraft, aircraft, and trailers that are required
13to be registered with an agency of this State, shall be filed
14electronically. Retailers who demonstrate that they do not
15have access to the Internet or demonstrate hardship in filing
16electronically may petition the Department to waive the
17electronic filing requirement.
18 If a taxpayer fails to sign a return within 30 days after
19the proper notice and demand for signature by the Department,
20the return shall be considered valid and any amount shown to be
21due on the return shall be deemed assessed.
22 Each return shall be accompanied by the statement of
23prepaid tax issued pursuant to Section 2e for which credit is
24claimed.
25 Prior to October 1, 2003, and on and after September 1,
262004 a retailer may accept a Manufacturer's Purchase Credit

HB2556- 116 -LRB103 25797 HLH 52147 b
1certification from a purchaser in satisfaction of Use Tax as
2provided in Section 3-85 of the Use Tax Act if the purchaser
3provides the appropriate documentation as required by Section
43-85 of the Use Tax Act. A Manufacturer's Purchase Credit
5certification, accepted by a retailer prior to October 1, 2003
6and on and after September 1, 2004 as provided in Section 3-85
7of the Use Tax Act, may be used by that retailer to satisfy
8Retailers' Occupation Tax liability in the amount claimed in
9the certification, not to exceed 6.25% of the receipts subject
10to tax from a qualifying purchase. A Manufacturer's Purchase
11Credit reported on any original or amended return filed under
12this Act after October 20, 2003 for reporting periods prior to
13September 1, 2004 shall be disallowed. Manufacturer's Purchase
14Credit reported on annual returns due on or after January 1,
152005 will be disallowed for periods prior to September 1,
162004. No Manufacturer's Purchase Credit may be used after
17September 30, 2003 through August 31, 2004 to satisfy any tax
18liability imposed under this Act, including any audit
19liability.
20 The Department may require returns to be filed on a
21quarterly basis. If so required, a return for each calendar
22quarter shall be filed on or before the twentieth day of the
23calendar month following the end of such calendar quarter. The
24taxpayer shall also file a return with the Department for each
25of the first two months of each calendar quarter, on or before
26the twentieth day of the following calendar month, stating:

HB2556- 117 -LRB103 25797 HLH 52147 b
1 1. The name of the seller;
2 2. The address of the principal place of business from
3 which he engages in the business of selling tangible
4 personal property at retail in this State;
5 3. The total amount of taxable receipts received by
6 him during the preceding calendar month from sales of
7 tangible personal property by him during such preceding
8 calendar month, including receipts from charge and time
9 sales, but less all deductions allowed by law;
10 4. The amount of credit provided in Section 2d of this
11 Act;
12 5. The amount of tax due; and
13 6. Such other reasonable information as the Department
14 may require.
15 Every person engaged in the business of selling aviation
16fuel at retail in this State during the preceding calendar
17month shall, instead of reporting and paying tax as otherwise
18required by this Section, report and pay such tax on a separate
19aviation fuel tax return. The requirements related to the
20return shall be as otherwise provided in this Section.
21Notwithstanding any other provisions of this Act to the
22contrary, retailers selling aviation fuel shall file all
23aviation fuel tax returns and shall make all aviation fuel tax
24payments by electronic means in the manner and form required
25by the Department. For purposes of this Section, "aviation
26fuel" means jet fuel and aviation gasoline.

HB2556- 118 -LRB103 25797 HLH 52147 b
1 Beginning on October 1, 2003, any person who is not a
2licensed distributor, importing distributor, or manufacturer,
3as defined in the Liquor Control Act of 1934, but is engaged in
4the business of selling, at retail, alcoholic liquor shall
5file a statement with the Department of Revenue, in a format
6and at a time prescribed by the Department, showing the total
7amount paid for alcoholic liquor purchased during the
8preceding month and such other information as is reasonably
9required by the Department. The Department may adopt rules to
10require that this statement be filed in an electronic or
11telephonic format. Such rules may provide for exceptions from
12the filing requirements of this paragraph. For the purposes of
13this paragraph, the term "alcoholic liquor" shall have the
14meaning prescribed in the Liquor Control Act of 1934.
15 Beginning on October 1, 2003, every distributor, importing
16distributor, and manufacturer of alcoholic liquor as defined
17in the Liquor Control Act of 1934, shall file a statement with
18the Department of Revenue, no later than the 10th day of the
19month for the preceding month during which transactions
20occurred, by electronic means, showing the total amount of
21gross receipts from the sale of alcoholic liquor sold or
22distributed during the preceding month to purchasers;
23identifying the purchaser to whom it was sold or distributed;
24the purchaser's tax registration number; and such other
25information reasonably required by the Department. A
26distributor, importing distributor, or manufacturer of

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1alcoholic liquor must personally deliver, mail, or provide by
2electronic means to each retailer listed on the monthly
3statement a report containing a cumulative total of that
4distributor's, importing distributor's, or manufacturer's
5total sales of alcoholic liquor to that retailer no later than
6the 10th day of the month for the preceding month during which
7the transaction occurred. The distributor, importing
8distributor, or manufacturer shall notify the retailer as to
9the method by which the distributor, importing distributor, or
10manufacturer will provide the sales information. If the
11retailer is unable to receive the sales information by
12electronic means, the distributor, importing distributor, or
13manufacturer shall furnish the sales information by personal
14delivery or by mail. For purposes of this paragraph, the term
15"electronic means" includes, but is not limited to, the use of
16a secure Internet website, e-mail, or facsimile.
17 If a total amount of less than $1 is payable, refundable or
18creditable, such amount shall be disregarded if it is less
19than 50 cents and shall be increased to $1 if it is 50 cents or
20more.
21 Notwithstanding any other provision of this Act to the
22contrary, retailers subject to tax on cannabis shall file all
23cannabis tax returns and shall make all cannabis tax payments
24by electronic means in the manner and form required by the
25Department.
26 Beginning October 1, 1993, a taxpayer who has an average

HB2556- 120 -LRB103 25797 HLH 52147 b
1monthly tax liability of $150,000 or more shall make all
2payments required by rules of the Department by electronic
3funds transfer. Beginning October 1, 1994, a taxpayer who has
4an average monthly tax liability of $100,000 or more shall
5make all payments required by rules of the Department by
6electronic funds transfer. Beginning October 1, 1995, a
7taxpayer who has an average monthly tax liability of $50,000
8or more shall make all payments required by rules of the
9Department by electronic funds transfer. Beginning October 1,
102000, a taxpayer who has an annual tax liability of $200,000 or
11more shall make all payments required by rules of the
12Department by electronic funds transfer. The term "annual tax
13liability" shall be the sum of the taxpayer's liabilities
14under this Act, and under all other State and local occupation
15and use tax laws administered by the Department, for the
16immediately preceding calendar year. The term "average monthly
17tax liability" shall be the sum of the taxpayer's liabilities
18under this Act, and under all other State and local occupation
19and use tax laws administered by the Department, for the
20immediately preceding calendar year divided by 12. Beginning
21on October 1, 2002, a taxpayer who has a tax liability in the
22amount set forth in subsection (b) of Section 2505-210 of the
23Department of Revenue Law shall make all payments required by
24rules of the Department by electronic funds transfer.
25 Before August 1 of each year beginning in 1993, the
26Department shall notify all taxpayers required to make

HB2556- 121 -LRB103 25797 HLH 52147 b
1payments by electronic funds transfer. All taxpayers required
2to make payments by electronic funds transfer shall make those
3payments for a minimum of one year beginning on October 1.
4 Any taxpayer not required to make payments by electronic
5funds transfer may make payments by electronic funds transfer
6with the permission of the Department.
7 All taxpayers required to make payment by electronic funds
8transfer and any taxpayers authorized to voluntarily make
9payments by electronic funds transfer shall make those
10payments in the manner authorized by the Department.
11 The Department shall adopt such rules as are necessary to
12effectuate a program of electronic funds transfer and the
13requirements of this Section.
14 Any amount which is required to be shown or reported on any
15return or other document under this Act shall, if such amount
16is not a whole-dollar amount, be increased to the nearest
17whole-dollar amount in any case where the fractional part of a
18dollar is 50 cents or more, and decreased to the nearest
19whole-dollar amount where the fractional part of a dollar is
20less than 50 cents.
21 If the retailer is otherwise required to file a monthly
22return and if the retailer's average monthly tax liability to
23the Department does not exceed $200, the Department may
24authorize his returns to be filed on a quarter annual basis,
25with the return for January, February and March of a given year
26being due by April 20 of such year; with the return for April,

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1May and June of a given year being due by July 20 of such year;
2with the return for July, August and September of a given year
3being due by October 20 of such year, and with the return for
4October, November and December of a given year being due by
5January 20 of the following year.
6 If the retailer is otherwise required to file a monthly or
7quarterly return and if the retailer's average monthly tax
8liability with the Department does not exceed $50, the
9Department may authorize his returns to be filed on an annual
10basis, with the return for a given year being due by January 20
11of the following year.
12 Such quarter annual and annual returns, as to form and
13substance, shall be subject to the same requirements as
14monthly returns.
15 Notwithstanding any other provision in this Act concerning
16the time within which a retailer may file his return, in the
17case of any retailer who ceases to engage in a kind of business
18which makes him responsible for filing returns under this Act,
19such retailer shall file a final return under this Act with the
20Department not more than one month after discontinuing such
21business.
22 Where the same person has more than one business
23registered with the Department under separate registrations
24under this Act, such person may not file each return that is
25due as a single return covering all such registered
26businesses, but shall file separate returns for each such

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1registered business.
2 In addition, with respect to motor vehicles, watercraft,
3aircraft, and trailers that are required to be registered with
4an agency of this State, except as otherwise provided in this
5Section, every retailer selling this kind of tangible personal
6property shall file, with the Department, upon a form to be
7prescribed and supplied by the Department, a separate return
8for each such item of tangible personal property which the
9retailer sells, except that if, in the same transaction, (i) a
10retailer of aircraft, watercraft, motor vehicles or trailers
11transfers more than one aircraft, watercraft, motor vehicle or
12trailer to another aircraft, watercraft, motor vehicle
13retailer or trailer retailer for the purpose of resale or (ii)
14a retailer of aircraft, watercraft, motor vehicles, or
15trailers transfers more than one aircraft, watercraft, motor
16vehicle, or trailer to a purchaser for use as a qualifying
17rolling stock as provided in Section 2-5 of this Act, then that
18seller may report the transfer of all aircraft, watercraft,
19motor vehicles or trailers involved in that transaction to the
20Department on the same uniform invoice-transaction reporting
21return form. For purposes of this Section, "watercraft" means
22a Class 2, Class 3, or Class 4 watercraft as defined in Section
233-2 of the Boat Registration and Safety Act, a personal
24watercraft, or any boat equipped with an inboard motor.
25 In addition, with respect to motor vehicles, watercraft,
26aircraft, and trailers that are required to be registered with

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1an agency of this State, every person who is engaged in the
2business of leasing or renting such items and who, in
3connection with such business, sells any such item to a
4retailer for the purpose of resale is, notwithstanding any
5other provision of this Section to the contrary, authorized to
6meet the return-filing requirement of this Act by reporting
7the transfer of all the aircraft, watercraft, motor vehicles,
8or trailers transferred for resale during a month to the
9Department on the same uniform invoice-transaction reporting
10return form on or before the 20th of the month following the
11month in which the transfer takes place. Notwithstanding any
12other provision of this Act to the contrary, all returns filed
13under this paragraph must be filed by electronic means in the
14manner and form as required by the Department.
15 Any retailer who sells only motor vehicles, watercraft,
16aircraft, or trailers that are required to be registered with
17an agency of this State, so that all retailers' occupation tax
18liability is required to be reported, and is reported, on such
19transaction reporting returns and who is not otherwise
20required to file monthly or quarterly returns, need not file
21monthly or quarterly returns. However, those retailers shall
22be required to file returns on an annual basis.
23 The transaction reporting return, in the case of motor
24vehicles or trailers that are required to be registered with
25an agency of this State, shall be the same document as the
26Uniform Invoice referred to in Section 5-402 of the Illinois

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1Vehicle Code and must show the name and address of the seller;
2the name and address of the purchaser; the amount of the
3selling price including the amount allowed by the retailer for
4traded-in property, if any; the amount allowed by the retailer
5for the traded-in tangible personal property, if any, to the
6extent to which Section 1 of this Act allows an exemption for
7the value of traded-in property; the balance payable after
8deducting such trade-in allowance from the total selling
9price; the amount of tax due from the retailer with respect to
10such transaction; the amount of tax collected from the
11purchaser by the retailer on such transaction (or satisfactory
12evidence that such tax is not due in that particular instance,
13if that is claimed to be the fact); the place and date of the
14sale; a sufficient identification of the property sold; such
15other information as is required in Section 5-402 of the
16Illinois Vehicle Code, and such other information as the
17Department may reasonably require.
18 The transaction reporting return in the case of watercraft
19or aircraft must show the name and address of the seller; the
20name and address of the purchaser; the amount of the selling
21price including the amount allowed by the retailer for
22traded-in property, if any; the amount allowed by the retailer
23for the traded-in tangible personal property, if any, to the
24extent to which Section 1 of this Act allows an exemption for
25the value of traded-in property; the balance payable after
26deducting such trade-in allowance from the total selling

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1price; the amount of tax due from the retailer with respect to
2such transaction; the amount of tax collected from the
3purchaser by the retailer on such transaction (or satisfactory
4evidence that such tax is not due in that particular instance,
5if that is claimed to be the fact); the place and date of the
6sale, a sufficient identification of the property sold, and
7such other information as the Department may reasonably
8require.
9 Such transaction reporting return shall be filed not later
10than 20 days after the day of delivery of the item that is
11being sold, but may be filed by the retailer at any time sooner
12than that if he chooses to do so. The transaction reporting
13return and tax remittance or proof of exemption from the
14Illinois use tax may be transmitted to the Department by way of
15the State agency with which, or State officer with whom the
16tangible personal property must be titled or registered (if
17titling or registration is required) if the Department and
18such agency or State officer determine that this procedure
19will expedite the processing of applications for title or
20registration.
21 With each such transaction reporting return, the retailer
22shall remit the proper amount of tax due (or shall submit
23satisfactory evidence that the sale is not taxable if that is
24the case), to the Department or its agents, whereupon the
25Department shall issue, in the purchaser's name, a use tax
26receipt (or a certificate of exemption if the Department is

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1satisfied that the particular sale is tax exempt) which such
2purchaser may submit to the agency with which, or State
3officer with whom, he must title or register the tangible
4personal property that is involved (if titling or registration
5is required) in support of such purchaser's application for an
6Illinois certificate or other evidence of title or
7registration to such tangible personal property.
8 No retailer's failure or refusal to remit tax under this
9Act precludes a user, who has paid the proper tax to the
10retailer, from obtaining his certificate of title or other
11evidence of title or registration (if titling or registration
12is required) upon satisfying the Department that such user has
13paid the proper tax (if tax is due) to the retailer. The
14Department shall adopt appropriate rules to carry out the
15mandate of this paragraph.
16 If the user who would otherwise pay tax to the retailer
17wants the transaction reporting return filed and the payment
18of the tax or proof of exemption made to the Department before
19the retailer is willing to take these actions and such user has
20not paid the tax to the retailer, such user may certify to the
21fact of such delay by the retailer and may (upon the Department
22being satisfied of the truth of such certification) transmit
23the information required by the transaction reporting return
24and the remittance for tax or proof of exemption directly to
25the Department and obtain his tax receipt or exemption
26determination, in which event the transaction reporting return

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1and tax remittance (if a tax payment was required) shall be
2credited by the Department to the proper retailer's account
3with the Department, but without the 2.1% or 1.75% discount
4provided for in this Section being allowed. When the user pays
5the tax directly to the Department, he shall pay the tax in the
6same amount and in the same form in which it would be remitted
7if the tax had been remitted to the Department by the retailer.
8 Refunds made by the seller during the preceding return
9period to purchasers, on account of tangible personal property
10returned to the seller, shall be allowed as a deduction under
11subdivision 5 of his monthly or quarterly return, as the case
12may be, in case the seller had theretofore included the
13receipts from the sale of such tangible personal property in a
14return filed by him and had paid the tax imposed by this Act
15with respect to such receipts.
16 Where the seller is a corporation, the return filed on
17behalf of such corporation shall be signed by the president,
18vice-president, secretary or treasurer or by the properly
19accredited agent of such corporation.
20 Where the seller is a limited liability company, the
21return filed on behalf of the limited liability company shall
22be signed by a manager, member, or properly accredited agent
23of the limited liability company.
24 Except as provided in this Section, the retailer filing
25the return under this Section shall, at the time of filing such
26return, pay to the Department the amount of tax imposed by this

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1Act less a discount of 2.1% prior to January 1, 1990 and 1.75%
2on and after January 1, 1990, or $5 per calendar year,
3whichever is greater, which is allowed to reimburse the
4retailer for the expenses incurred in keeping records,
5preparing and filing returns, remitting the tax and supplying
6data to the Department on request. On and after January 1,
72021, a certified service provider, as defined in the Leveling
8the Playing Field for Illinois Retail Act, filing the return
9under this Section on behalf of a remote retailer shall, at the
10time of such return, pay to the Department the amount of tax
11imposed by this Act less a discount of 1.75%. A remote retailer
12using a certified service provider to file a return on its
13behalf, as provided in the Leveling the Playing Field for
14Illinois Retail Act, is not eligible for the discount. When
15determining the discount allowed under this Section, retailers
16shall include the amount of tax that would have been due at the
171% rate but for the 0% rate imposed under Public Act 102-700
18this amendatory Act of the 102nd General Assembly. When
19determining the discount allowed under this Section, retailers
20shall include the amount of tax that would have been due at the
216.25% rate but for the 1.25% rate imposed on sales tax holiday
22items under Public Act 102-700 this amendatory Act of the
23102nd General Assembly. The discount under this Section is not
24allowed for the 1.25% portion of taxes paid on aviation fuel
25that is subject to the revenue use requirements of 49 U.S.C.
2647107(b) and 49 U.S.C. 47133. Any prepayment made pursuant to

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1Section 2d of this Act shall be included in the amount on which
2such 2.1% or 1.75% discount is computed. In the case of
3retailers who report and pay the tax on a transaction by
4transaction basis, as provided in this Section, such discount
5shall be taken with each such tax remittance instead of when
6such retailer files his periodic return. The discount allowed
7under this Section is allowed only for returns that are filed
8in the manner required by this Act. The Department may
9disallow the discount for retailers whose certificate of
10registration is revoked at the time the return is filed, but
11only if the Department's decision to revoke the certificate of
12registration has become final.
13 Before October 1, 2000, if the taxpayer's average monthly
14tax liability to the Department under this Act, the Use Tax
15Act, the Service Occupation Tax Act, and the Service Use Tax
16Act, excluding any liability for prepaid sales tax to be
17remitted in accordance with Section 2d of this Act, was
18$10,000 or more during the preceding 4 complete calendar
19quarters, he shall file a return with the Department each
20month by the 20th day of the month next following the month
21during which such tax liability is incurred and shall make
22payments to the Department on or before the 7th, 15th, 22nd and
23last day of the month during which such liability is incurred.
24On and after October 1, 2000, if the taxpayer's average
25monthly tax liability to the Department under this Act, the
26Use Tax Act, the Service Occupation Tax Act, and the Service

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1Use Tax Act, excluding any liability for prepaid sales tax to
2be remitted in accordance with Section 2d of this Act, was
3$20,000 or more during the preceding 4 complete calendar
4quarters, he shall file a return with the Department each
5month by the 20th day of the month next following the month
6during which such tax liability is incurred and shall make
7payment to the Department on or before the 7th, 15th, 22nd and
8last day of the month during which such liability is incurred.
9If the month during which such tax liability is incurred began
10prior to January 1, 1985, each payment shall be in an amount
11equal to 1/4 of the taxpayer's actual liability for the month
12or an amount set by the Department not to exceed 1/4 of the
13average monthly liability of the taxpayer to the Department
14for the preceding 4 complete calendar quarters (excluding the
15month of highest liability and the month of lowest liability
16in such 4 quarter period). If the month during which such tax
17liability is incurred begins on or after January 1, 1985 and
18prior to January 1, 1987, each payment shall be in an amount
19equal to 22.5% of the taxpayer's actual liability for the
20month or 27.5% of the taxpayer's liability for the same
21calendar month of the preceding year. If the month during
22which such tax liability is incurred begins on or after
23January 1, 1987 and prior to January 1, 1988, each payment
24shall be in an amount equal to 22.5% of the taxpayer's actual
25liability for the month or 26.25% of the taxpayer's liability
26for the same calendar month of the preceding year. If the month

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1during which such tax liability is incurred begins on or after
2January 1, 1988, and prior to January 1, 1989, or begins on or
3after January 1, 1996, each payment shall be in an amount equal
4to 22.5% of the taxpayer's actual liability for the month or
525% of the taxpayer's liability for the same calendar month of
6the preceding year. If the month during which such tax
7liability is incurred begins on or after January 1, 1989, and
8prior to January 1, 1996, each payment shall be in an amount
9equal to 22.5% of the taxpayer's actual liability for the
10month or 25% of the taxpayer's liability for the same calendar
11month of the preceding year or 100% of the taxpayer's actual
12liability for the quarter monthly reporting period. The amount
13of such quarter monthly payments shall be credited against the
14final tax liability of the taxpayer's return for that month.
15Before October 1, 2000, once applicable, the requirement of
16the making of quarter monthly payments to the Department by
17taxpayers having an average monthly tax liability of $10,000
18or more as determined in the manner provided above shall
19continue until such taxpayer's average monthly liability to
20the Department during the preceding 4 complete calendar
21quarters (excluding the month of highest liability and the
22month of lowest liability) is less than $9,000, or until such
23taxpayer's average monthly liability to the Department as
24computed for each calendar quarter of the 4 preceding complete
25calendar quarter period is less than $10,000. However, if a
26taxpayer can show the Department that a substantial change in

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1the taxpayer's business has occurred which causes the taxpayer
2to anticipate that his average monthly tax liability for the
3reasonably foreseeable future will fall below the $10,000
4threshold stated above, then such taxpayer may petition the
5Department for a change in such taxpayer's reporting status.
6On and after October 1, 2000, once applicable, the requirement
7of the making of quarter monthly payments to the Department by
8taxpayers having an average monthly tax liability of $20,000
9or more as determined in the manner provided above shall
10continue until such taxpayer's average monthly liability to
11the Department during the preceding 4 complete calendar
12quarters (excluding the month of highest liability and the
13month of lowest liability) is less than $19,000 or until such
14taxpayer's average monthly liability to the Department as
15computed for each calendar quarter of the 4 preceding complete
16calendar quarter period is less than $20,000. However, if a
17taxpayer can show the Department that a substantial change in
18the taxpayer's business has occurred which causes the taxpayer
19to anticipate that his average monthly tax liability for the
20reasonably foreseeable future will fall below the $20,000
21threshold stated above, then such taxpayer may petition the
22Department for a change in such taxpayer's reporting status.
23The Department shall change such taxpayer's reporting status
24unless it finds that such change is seasonal in nature and not
25likely to be long term. Quarter monthly payment status shall
26be determined under this paragraph as if the rate reduction to

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10% in Public Act 102-700 this amendatory Act of the 102nd
2General Assembly on food for human consumption that is to be
3consumed off the premises where it is sold (other than
4alcoholic beverages, food consisting of or infused with adult
5use cannabis, soft drinks, and food that has been prepared for
6immediate consumption) had not occurred. For quarter monthly
7payments due under this paragraph on or after July 1, 2023 and
8through June 30, 2024, "25% of the taxpayer's liability for
9the same calendar month of the preceding year" shall be
10determined as if the rate reduction to 0% in Public Act 102-700
11this amendatory Act of the 102nd General Assembly had not
12occurred. Quarter monthly payment status shall be determined
13under this paragraph as if the rate reduction to 1.25% in
14Public Act 102-700 this amendatory Act of the 102nd General
15Assembly on sales tax holiday items had not occurred. For
16quarter monthly payments due on or after July 1, 2023 and
17through June 30, 2024, "25% of the taxpayer's liability for
18the same calendar month of the preceding year" shall be
19determined as if the rate reduction to 1.25% in Public Act
20102-700 this amendatory Act of the 102nd General Assembly on
21sales tax holiday items had not occurred. If any such quarter
22monthly payment is not paid at the time or in the amount
23required by this Section, then the taxpayer shall be liable
24for penalties and interest on the difference between the
25minimum amount due as a payment and the amount of such quarter
26monthly payment actually and timely paid, except insofar as

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1the taxpayer has previously made payments for that month to
2the Department in excess of the minimum payments previously
3due as provided in this Section. The Department shall make
4reasonable rules and regulations to govern the quarter monthly
5payment amount and quarter monthly payment dates for taxpayers
6who file on other than a calendar monthly basis.
7 The provisions of this paragraph apply before October 1,
82001. Without regard to whether a taxpayer is required to make
9quarter monthly payments as specified above, any taxpayer who
10is required by Section 2d of this Act to collect and remit
11prepaid taxes and has collected prepaid taxes which average in
12excess of $25,000 per month during the preceding 2 complete
13calendar quarters, shall file a return with the Department as
14required by Section 2f and shall make payments to the
15Department on or before the 7th, 15th, 22nd and last day of the
16month during which such liability is incurred. If the month
17during which such tax liability is incurred began prior to
18September 1, 1985 (the effective date of Public Act 84-221),
19each payment shall be in an amount not less than 22.5% of the
20taxpayer's actual liability under Section 2d. If the month
21during which such tax liability is incurred begins on or after
22January 1, 1986, each payment shall be in an amount equal to
2322.5% of the taxpayer's actual liability for the month or
2427.5% of the taxpayer's liability for the same calendar month
25of the preceding calendar year. If the month during which such
26tax liability is incurred begins on or after January 1, 1987,

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1each payment shall be in an amount equal to 22.5% of the
2taxpayer's actual liability for the month or 26.25% of the
3taxpayer's liability for the same calendar month of the
4preceding year. The amount of such quarter monthly payments
5shall be credited against the final tax liability of the
6taxpayer's return for that month filed under this Section or
7Section 2f, as the case may be. Once applicable, the
8requirement of the making of quarter monthly payments to the
9Department pursuant to this paragraph shall continue until
10such taxpayer's average monthly prepaid tax collections during
11the preceding 2 complete calendar quarters is $25,000 or less.
12If any such quarter monthly payment is not paid at the time or
13in the amount required, the taxpayer shall be liable for
14penalties and interest on such difference, except insofar as
15the taxpayer has previously made payments for that month in
16excess of the minimum payments previously due.
17 The provisions of this paragraph apply on and after
18October 1, 2001. Without regard to whether a taxpayer is
19required to make quarter monthly payments as specified above,
20any taxpayer who is required by Section 2d of this Act to
21collect and remit prepaid taxes and has collected prepaid
22taxes that average in excess of $20,000 per month during the
23preceding 4 complete calendar quarters shall file a return
24with the Department as required by Section 2f and shall make
25payments to the Department on or before the 7th, 15th, 22nd and
26last day of the month during which the liability is incurred.

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1Each payment shall be in an amount equal to 22.5% of the
2taxpayer's actual liability for the month or 25% of the
3taxpayer's liability for the same calendar month of the
4preceding year. The amount of the quarter monthly payments
5shall be credited against the final tax liability of the
6taxpayer's return for that month filed under this Section or
7Section 2f, as the case may be. Once applicable, the
8requirement of the making of quarter monthly payments to the
9Department pursuant to this paragraph shall continue until the
10taxpayer's average monthly prepaid tax collections during the
11preceding 4 complete calendar quarters (excluding the month of
12highest liability and the month of lowest liability) is less
13than $19,000 or until such taxpayer's average monthly
14liability to the Department as computed for each calendar
15quarter of the 4 preceding complete calendar quarters is less
16than $20,000. If any such quarter monthly payment is not paid
17at the time or in the amount required, the taxpayer shall be
18liable for penalties and interest on such difference, except
19insofar as the taxpayer has previously made payments for that
20month in excess of the minimum payments previously due.
21 If any payment provided for in this Section exceeds the
22taxpayer's liabilities under this Act, the Use Tax Act, the
23Service Occupation Tax Act and the Service Use Tax Act, as
24shown on an original monthly return, the Department shall, if
25requested by the taxpayer, issue to the taxpayer a credit
26memorandum no later than 30 days after the date of payment. The

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1credit evidenced by such credit memorandum may be assigned by
2the taxpayer to a similar taxpayer under this Act, the Use Tax
3Act, the Service Occupation Tax Act or the Service Use Tax Act,
4in accordance with reasonable rules and regulations to be
5prescribed by the Department. If no such request is made, the
6taxpayer may credit such excess payment against tax liability
7subsequently to be remitted to the Department under this Act,
8the Use Tax Act, the Service Occupation Tax Act or the Service
9Use Tax Act, in accordance with reasonable rules and
10regulations prescribed by the Department. If the Department
11subsequently determined that all or any part of the credit
12taken was not actually due to the taxpayer, the taxpayer's
132.1% and 1.75% vendor's discount shall be reduced by 2.1% or
141.75% of the difference between the credit taken and that
15actually due, and that taxpayer shall be liable for penalties
16and interest on such difference.
17 If a retailer of motor fuel is entitled to a credit under
18Section 2d of this Act which exceeds the taxpayer's liability
19to the Department under this Act for the month for which the
20taxpayer is filing a return, the Department shall issue the
21taxpayer a credit memorandum for the excess.
22 Beginning January 1, 1990, each month the Department shall
23pay into the Local Government Tax Fund, a special fund in the
24State treasury which is hereby created, the net revenue
25realized for the preceding month from the 1% tax imposed under
26this Act.

HB2556- 139 -LRB103 25797 HLH 52147 b
1 Beginning January 1, 1990, each month the Department shall
2pay into the County and Mass Transit District Fund, a special
3fund in the State treasury which is hereby created, 4% of the
4net revenue realized for the preceding month from the 6.25%
5general rate other than aviation fuel sold on or after
6December 1, 2019. This exception for aviation fuel only
7applies for so long as the revenue use requirements of 49
8U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the State.
9 Beginning August 1, 2000, each month the Department shall
10pay into the County and Mass Transit District Fund 20% of the
11net revenue realized for the preceding month from the 1.25%
12rate on the selling price of motor fuel and gasohol. If, in any
13month, the tax on sales tax holiday items, as defined in
14Section 2-8, is imposed at the rate of 1.25%, then the
15Department shall pay 20% of the net revenue realized for that
16month from the 1.25% rate on the selling price of sales tax
17holiday items into the County and Mass Transit District Fund.
18 Beginning January 1, 1990, each month the Department shall
19pay into the Local Government Tax Fund 16% of the net revenue
20realized for the preceding month from the 6.25% general rate
21on the selling price of tangible personal property other than
22aviation fuel sold on or after December 1, 2019. This
23exception for aviation fuel only applies for so long as the
24revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
2547133 are binding on the State.
26 For aviation fuel sold on or after December 1, 2019, each

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1month the Department shall pay into the State Aviation Program
2Fund 20% of the net revenue realized for the preceding month
3from the 6.25% general rate on the selling price of aviation
4fuel, less an amount estimated by the Department to be
5required for refunds of the 20% portion of the tax on aviation
6fuel under this Act, which amount shall be deposited into the
7Aviation Fuel Sales Tax Refund Fund. The Department shall only
8pay moneys into the State Aviation Program Fund and the
9Aviation Fuel Sales Tax Refund Fund under this Act for so long
10as the revenue use requirements of 49 U.S.C. 47107(b) and 49
11U.S.C. 47133 are binding on the State.
12 Beginning August 1, 2000, each month the Department shall
13pay into the Local Government Tax Fund 80% of the net revenue
14realized for the preceding month from the 1.25% rate on the
15selling price of motor fuel and gasohol. If, in any month, the
16tax on sales tax holiday items, as defined in Section 2-8, is
17imposed at the rate of 1.25%, then the Department shall pay 80%
18of the net revenue realized for that month from the 1.25% rate
19on the selling price of sales tax holiday items into the Local
20Government Tax Fund.
21 Beginning October 1, 2009, each month the Department shall
22pay into the Capital Projects Fund an amount that is equal to
23an amount estimated by the Department to represent 80% of the
24net revenue realized for the preceding month from the sale of
25candy, grooming and hygiene products, and soft drinks that had
26been taxed at a rate of 1% prior to September 1, 2009 but that

HB2556- 141 -LRB103 25797 HLH 52147 b
1are now taxed at 6.25%.
2 Beginning July 1, 2011, each month the Department shall
3pay into the Clean Air Act Permit Fund 80% of the net revenue
4realized for the preceding month from the 6.25% general rate
5on the selling price of sorbents used in Illinois in the
6process of sorbent injection as used to comply with the
7Environmental Protection Act or the federal Clean Air Act, but
8the total payment into the Clean Air Act Permit Fund under this
9Act and the Use Tax Act shall not exceed $2,000,000 in any
10fiscal year.
11 Beginning July 1, 2013, each month the Department shall
12pay into the Underground Storage Tank Fund from the proceeds
13collected under this Act, the Use Tax Act, the Service Use Tax
14Act, and the Service Occupation Tax Act an amount equal to the
15average monthly deficit in the Underground Storage Tank Fund
16during the prior year, as certified annually by the Illinois
17Environmental Protection Agency, but the total payment into
18the Underground Storage Tank Fund under this Act, the Use Tax
19Act, the Service Use Tax Act, and the Service Occupation Tax
20Act shall not exceed $18,000,000 in any State fiscal year. As
21used in this paragraph, the "average monthly deficit" shall be
22equal to the difference between the average monthly claims for
23payment by the fund and the average monthly revenues deposited
24into the fund, excluding payments made pursuant to this
25paragraph.
26 Beginning July 1, 2015, of the remainder of the moneys

HB2556- 142 -LRB103 25797 HLH 52147 b
1received by the Department under the Use Tax Act, the Service
2Use Tax Act, the Service Occupation Tax Act, and this Act, each
3month the Department shall deposit $500,000 into the State
4Crime Laboratory Fund.
5 Beginning July 1, 2023, the Department shall pay into the
6Trauma Response Fund 100% of the net revenue realized for the
7preceding month from the 1% surcharge on the selling price of
8firearm ammunition.
9 Of the remainder of the moneys received by the Department
10pursuant to this Act, (a) 1.75% thereof shall be paid into the
11Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
12and after July 1, 1989, 3.8% thereof shall be paid into the
13Build Illinois Fund; provided, however, that if in any fiscal
14year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
15may be, of the moneys received by the Department and required
16to be paid into the Build Illinois Fund pursuant to this Act,
17Section 9 of the Use Tax Act, Section 9 of the Service Use Tax
18Act, and Section 9 of the Service Occupation Tax Act, such Acts
19being hereinafter called the "Tax Acts" and such aggregate of
202.2% or 3.8%, as the case may be, of moneys being hereinafter
21called the "Tax Act Amount", and (2) the amount transferred to
22the Build Illinois Fund from the State and Local Sales Tax
23Reform Fund shall be less than the Annual Specified Amount (as
24hereinafter defined), an amount equal to the difference shall
25be immediately paid into the Build Illinois Fund from other
26moneys received by the Department pursuant to the Tax Acts;

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1the "Annual Specified Amount" means the amounts specified
2below for fiscal years 1986 through 1993:
3Fiscal YearAnnual Specified Amount
41986$54,800,000
51987$76,650,000
61988$80,480,000
71989$88,510,000
81990$115,330,000
91991$145,470,000
101992$182,730,000
111993$206,520,000;
12and means the Certified Annual Debt Service Requirement (as
13defined in Section 13 of the Build Illinois Bond Act) or the
14Tax Act Amount, whichever is greater, for fiscal year 1994 and
15each fiscal year thereafter; and further provided, that if on
16the last business day of any month the sum of (1) the Tax Act
17Amount required to be deposited into the Build Illinois Bond
18Account in the Build Illinois Fund during such month and (2)
19the amount transferred to the Build Illinois Fund from the
20State and Local Sales Tax Reform Fund shall have been less than
211/12 of the Annual Specified Amount, an amount equal to the
22difference shall be immediately paid into the Build Illinois
23Fund from other moneys received by the Department pursuant to
24the Tax Acts; and, further provided, that in no event shall the
25payments required under the preceding proviso result in
26aggregate payments into the Build Illinois Fund pursuant to

HB2556- 144 -LRB103 25797 HLH 52147 b
1this clause (b) for any fiscal year in excess of the greater of
2(i) the Tax Act Amount or (ii) the Annual Specified Amount for
3such fiscal year. The amounts payable into the Build Illinois
4Fund under clause (b) of the first sentence in this paragraph
5shall be payable only until such time as the aggregate amount
6on deposit under each trust indenture securing Bonds issued
7and outstanding pursuant to the Build Illinois Bond Act is
8sufficient, taking into account any future investment income,
9to fully provide, in accordance with such indenture, for the
10defeasance of or the payment of the principal of, premium, if
11any, and interest on the Bonds secured by such indenture and on
12any Bonds expected to be issued thereafter and all fees and
13costs payable with respect thereto, all as certified by the
14Director of the Bureau of the Budget (now Governor's Office of
15Management and Budget). If on the last business day of any
16month in which Bonds are outstanding pursuant to the Build
17Illinois Bond Act, the aggregate of moneys deposited in the
18Build Illinois Bond Account in the Build Illinois Fund in such
19month shall be less than the amount required to be transferred
20in such month from the Build Illinois Bond Account to the Build
21Illinois Bond Retirement and Interest Fund pursuant to Section
2213 of the Build Illinois Bond Act, an amount equal to such
23deficiency shall be immediately paid from other moneys
24received by the Department pursuant to the Tax Acts to the
25Build Illinois Fund; provided, however, that any amounts paid
26to the Build Illinois Fund in any fiscal year pursuant to this

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1sentence shall be deemed to constitute payments pursuant to
2clause (b) of the first sentence of this paragraph and shall
3reduce the amount otherwise payable for such fiscal year
4pursuant to that clause (b). The moneys received by the
5Department pursuant to this Act and required to be deposited
6into the Build Illinois Fund are subject to the pledge, claim
7and charge set forth in Section 12 of the Build Illinois Bond
8Act.
9 Subject to payment of amounts into the Build Illinois Fund
10as provided in the preceding paragraph or in any amendment
11thereto hereafter enacted, the following specified monthly
12installment of the amount requested in the certificate of the
13Chairman of the Metropolitan Pier and Exposition Authority
14provided under Section 8.25f of the State Finance Act, but not
15in excess of sums designated as "Total Deposit", shall be
16deposited in the aggregate from collections under Section 9 of
17the Use Tax Act, Section 9 of the Service Use Tax Act, Section
189 of the Service Occupation Tax Act, and Section 3 of the
19Retailers' Occupation Tax Act into the McCormick Place
20Expansion Project Fund in the specified fiscal years.
21Fiscal YearTotal Deposit
221993 $0
231994 53,000,000
241995 58,000,000
251996 61,000,000
261997 64,000,000

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11998 68,000,000
21999 71,000,000
32000 75,000,000
42001 80,000,000
52002 93,000,000
62003 99,000,000
72004103,000,000
82005108,000,000
92006113,000,000
102007119,000,000
112008126,000,000
122009132,000,000
132010139,000,000
142011146,000,000
152012153,000,000
162013161,000,000
172014170,000,000
182015179,000,000
192016189,000,000
202017199,000,000
212018210,000,000
222019221,000,000
232020233,000,000
242021300,000,000
252022300,000,000
262023300,000,000

HB2556- 147 -LRB103 25797 HLH 52147 b
12024 300,000,000
22025 300,000,000
32026 300,000,000
42027 375,000,000
52028 375,000,000
62029 375,000,000
72030 375,000,000
82031 375,000,000
92032 375,000,000
102033375,000,000
112034375,000,000
122035375,000,000
132036450,000,000
14and
15each fiscal year
16thereafter that bonds
17are outstanding under
18Section 13.2 of the
19Metropolitan Pier and
20Exposition Authority Act,
21but not after fiscal year 2060.
22 Beginning July 20, 1993 and in each month of each fiscal
23year thereafter, one-eighth of the amount requested in the
24certificate of the Chairman of the Metropolitan Pier and
25Exposition Authority for that fiscal year, less the amount
26deposited into the McCormick Place Expansion Project Fund by

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1the State Treasurer in the respective month under subsection
2(g) of Section 13 of the Metropolitan Pier and Exposition
3Authority Act, plus cumulative deficiencies in the deposits
4required under this Section for previous months and years,
5shall be deposited into the McCormick Place Expansion Project
6Fund, until the full amount requested for the fiscal year, but
7not in excess of the amount specified above as "Total
8Deposit", has been deposited.
9 Subject to payment of amounts into the Capital Projects
10Fund, the Clean Air Act Permit Fund, the Build Illinois Fund,
11and the McCormick Place Expansion Project Fund pursuant to the
12preceding paragraphs or in any amendments thereto hereafter
13enacted, for aviation fuel sold on or after December 1, 2019,
14the Department shall each month deposit into the Aviation Fuel
15Sales Tax Refund Fund an amount estimated by the Department to
16be required for refunds of the 80% portion of the tax on
17aviation fuel under this Act. The Department shall only
18deposit moneys into the Aviation Fuel Sales Tax Refund Fund
19under this paragraph for so long as the revenue use
20requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
21binding on the State.
22 Subject to payment of amounts into the Build Illinois Fund
23and the McCormick Place Expansion Project Fund pursuant to the
24preceding paragraphs or in any amendments thereto hereafter
25enacted, beginning July 1, 1993 and ending on September 30,
262013, the Department shall each month pay into the Illinois

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1Tax Increment Fund 0.27% of 80% of the net revenue realized for
2the preceding month from the 6.25% general rate on the selling
3price of tangible personal property.
4 Subject to payment of amounts into the Build Illinois Fund
5and the McCormick Place Expansion Project Fund pursuant to the
6preceding paragraphs or in any amendments thereto hereafter
7enacted, beginning with the receipt of the first report of
8taxes paid by an eligible business and continuing for a
925-year period, the Department shall each month pay into the
10Energy Infrastructure Fund 80% of the net revenue realized
11from the 6.25% general rate on the selling price of
12Illinois-mined coal that was sold to an eligible business. For
13purposes of this paragraph, the term "eligible business" means
14a new electric generating facility certified pursuant to
15Section 605-332 of the Department of Commerce and Economic
16Opportunity Law of the Civil Administrative Code of Illinois.
17 Subject to payment of amounts into the Build Illinois
18Fund, the McCormick Place Expansion Project Fund, the Illinois
19Tax Increment Fund, and the Energy Infrastructure Fund
20pursuant to the preceding paragraphs or in any amendments to
21this Section hereafter enacted, beginning on the first day of
22the first calendar month to occur on or after August 26, 2014
23(the effective date of Public Act 98-1098), each month, from
24the collections made under Section 9 of the Use Tax Act,
25Section 9 of the Service Use Tax Act, Section 9 of the Service
26Occupation Tax Act, and Section 3 of the Retailers' Occupation

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1Tax Act, the Department shall pay into the Tax Compliance and
2Administration Fund, to be used, subject to appropriation, to
3fund additional auditors and compliance personnel at the
4Department of Revenue, an amount equal to 1/12 of 5% of 80% of
5the cash receipts collected during the preceding fiscal year
6by the Audit Bureau of the Department under the Use Tax Act,
7the Service Use Tax Act, the Service Occupation Tax Act, the
8Retailers' Occupation Tax Act, and associated local occupation
9and use taxes administered by the Department.
10 Subject to payments of amounts into the Build Illinois
11Fund, the McCormick Place Expansion Project Fund, the Illinois
12Tax Increment Fund, the Energy Infrastructure Fund, and the
13Tax Compliance and Administration Fund as provided in this
14Section, beginning on July 1, 2018 the Department shall pay
15each month into the Downstate Public Transportation Fund the
16moneys required to be so paid under Section 2-3 of the
17Downstate Public Transportation Act.
18 Subject to successful execution and delivery of a
19public-private agreement between the public agency and private
20entity and completion of the civic build, beginning on July 1,
212023, of the remainder of the moneys received by the
22Department under the Use Tax Act, the Service Use Tax Act, the
23Service Occupation Tax Act, and this Act, the Department shall
24deposit the following specified deposits in the aggregate from
25collections under the Use Tax Act, the Service Use Tax Act, the
26Service Occupation Tax Act, and the Retailers' Occupation Tax

HB2556- 151 -LRB103 25797 HLH 52147 b
1Act, as required under Section 8.25g of the State Finance Act
2for distribution consistent with the Public-Private
3Partnership for Civic and Transit Infrastructure Project Act.
4The moneys received by the Department pursuant to this Act and
5required to be deposited into the Civic and Transit
6Infrastructure Fund are subject to the pledge, claim and
7charge set forth in Section 25-55 of the Public-Private
8Partnership for Civic and Transit Infrastructure Project Act.
9As used in this paragraph, "civic build", "private entity",
10"public-private agreement", and "public agency" have the
11meanings provided in Section 25-10 of the Public-Private
12Partnership for Civic and Transit Infrastructure Project Act.
13 Fiscal Year.............................Total Deposit
14 2024.....................................$200,000,000
15 2025....................................$206,000,000
16 2026....................................$212,200,000
17 2027....................................$218,500,000
18 2028....................................$225,100,000
19 2029....................................$288,700,000
20 2030....................................$298,900,000
21 2031....................................$309,300,000
22 2032....................................$320,100,000
23 2033....................................$331,200,000
24 2034....................................$341,200,000
25 2035....................................$351,400,000
26 2036....................................$361,900,000

HB2556- 152 -LRB103 25797 HLH 52147 b
1 2037....................................$372,800,000
2 2038....................................$384,000,000
3 2039....................................$395,500,000
4 2040....................................$407,400,000
5 2041....................................$419,600,000
6 2042....................................$432,200,000
7 2043....................................$445,100,000
8 Beginning July 1, 2021 and until July 1, 2022, subject to
9the payment of amounts into the County and Mass Transit
10District Fund, the Local Government Tax Fund, the Build
11Illinois Fund, the McCormick Place Expansion Project Fund, the
12Illinois Tax Increment Fund, the Energy Infrastructure Fund,
13and the Tax Compliance and Administration Fund as provided in
14this Section, the Department shall pay each month into the
15Road Fund the amount estimated to represent 16% of the net
16revenue realized from the taxes imposed on motor fuel and
17gasohol. Beginning July 1, 2022 and until July 1, 2023,
18subject to the payment of amounts into the County and Mass
19Transit District Fund, the Local Government Tax Fund, the
20Build Illinois Fund, the McCormick Place Expansion Project
21Fund, the Illinois Tax Increment Fund, the Energy
22Infrastructure Fund, and the Tax Compliance and Administration
23Fund as provided in this Section, the Department shall pay
24each month into the Road Fund the amount estimated to
25represent 32% of the net revenue realized from the taxes
26imposed on motor fuel and gasohol. Beginning July 1, 2023 and

HB2556- 153 -LRB103 25797 HLH 52147 b
1until July 1, 2024, subject to the payment of amounts into the
2County and Mass Transit District Fund, the Local Government
3Tax Fund, the Build Illinois Fund, the McCormick Place
4Expansion Project Fund, the Illinois Tax Increment Fund, the
5Energy Infrastructure Fund, and the Tax Compliance and
6Administration Fund as provided in this Section, the
7Department shall pay each month into the Road Fund the amount
8estimated to represent 48% of the net revenue realized from
9the taxes imposed on motor fuel and gasohol. Beginning July 1,
102024 and until July 1, 2025, subject to the payment of amounts
11into the County and Mass Transit District Fund, the Local
12Government Tax Fund, the Build Illinois Fund, the McCormick
13Place Expansion Project Fund, the Illinois Tax Increment Fund,
14the Energy Infrastructure Fund, and the Tax Compliance and
15Administration Fund as provided in this Section, the
16Department shall pay each month into the Road Fund the amount
17estimated to represent 64% of the net revenue realized from
18the taxes imposed on motor fuel and gasohol. Beginning on July
191, 2025, subject to the payment of amounts into the County and
20Mass Transit District Fund, the Local Government Tax Fund, the
21Build Illinois Fund, the McCormick Place Expansion Project
22Fund, the Illinois Tax Increment Fund, the Energy
23Infrastructure Fund, and the Tax Compliance and Administration
24Fund as provided in this Section, the Department shall pay
25each month into the Road Fund the amount estimated to
26represent 80% of the net revenue realized from the taxes

HB2556- 154 -LRB103 25797 HLH 52147 b
1imposed on motor fuel and gasohol. As used in this paragraph
2"motor fuel" has the meaning given to that term in Section 1.1
3of the Motor Fuel Tax Law, and "gasohol" has the meaning given
4to that term in Section 3-40 of the Use Tax Act.
5 Of the remainder of the moneys received by the Department
6pursuant to this Act, 75% thereof shall be paid into the State
7treasury Treasury and 25% shall be reserved in a special
8account and used only for the transfer to the Common School
9Fund as part of the monthly transfer from the General Revenue
10Fund in accordance with Section 8a of the State Finance Act.
11 The Department may, upon separate written notice to a
12taxpayer, require the taxpayer to prepare and file with the
13Department on a form prescribed by the Department within not
14less than 60 days after receipt of the notice an annual
15information return for the tax year specified in the notice.
16Such annual return to the Department shall include a statement
17of gross receipts as shown by the retailer's last Federal
18income tax return. If the total receipts of the business as
19reported in the Federal income tax return do not agree with the
20gross receipts reported to the Department of Revenue for the
21same period, the retailer shall attach to his annual return a
22schedule showing a reconciliation of the 2 amounts and the
23reasons for the difference. The retailer's annual return to
24the Department shall also disclose the cost of goods sold by
25the retailer during the year covered by such return, opening
26and closing inventories of such goods for such year, costs of

HB2556- 155 -LRB103 25797 HLH 52147 b
1goods used from stock or taken from stock and given away by the
2retailer during such year, payroll information of the
3retailer's business during such year and any additional
4reasonable information which the Department deems would be
5helpful in determining the accuracy of the monthly, quarterly
6or annual returns filed by such retailer as provided for in
7this Section.
8 If the annual information return required by this Section
9is not filed when and as required, the taxpayer shall be liable
10as follows:
11 (i) Until January 1, 1994, the taxpayer shall be
12 liable for a penalty equal to 1/6 of 1% of the tax due from
13 such taxpayer under this Act during the period to be
14 covered by the annual return for each month or fraction of
15 a month until such return is filed as required, the
16 penalty to be assessed and collected in the same manner as
17 any other penalty provided for in this Act.
18 (ii) On and after January 1, 1994, the taxpayer shall
19 be liable for a penalty as described in Section 3-4 of the
20 Uniform Penalty and Interest Act.
21 The chief executive officer, proprietor, owner or highest
22ranking manager shall sign the annual return to certify the
23accuracy of the information contained therein. Any person who
24willfully signs the annual return containing false or
25inaccurate information shall be guilty of perjury and punished
26accordingly. The annual return form prescribed by the

HB2556- 156 -LRB103 25797 HLH 52147 b
1Department shall include a warning that the person signing the
2return may be liable for perjury.
3 The provisions of this Section concerning the filing of an
4annual information return do not apply to a retailer who is not
5required to file an income tax return with the United States
6Government.
7 As soon as possible after the first day of each month, upon
8certification of the Department of Revenue, the Comptroller
9shall order transferred and the Treasurer shall transfer from
10the General Revenue Fund to the Motor Fuel Tax Fund an amount
11equal to 1.7% of 80% of the net revenue realized under this Act
12for the second preceding month. Beginning April 1, 2000, this
13transfer is no longer required and shall not be made.
14 Net revenue realized for a month shall be the revenue
15collected by the State pursuant to this Act, less the amount
16paid out during that month as refunds to taxpayers for
17overpayment of liability.
18 For greater simplicity of administration, manufacturers,
19importers and wholesalers whose products are sold at retail in
20Illinois by numerous retailers, and who wish to do so, may
21assume the responsibility for accounting and paying to the
22Department all tax accruing under this Act with respect to
23such sales, if the retailers who are affected do not make
24written objection to the Department to this arrangement.
25 Any person who promotes, organizes, provides retail
26selling space for concessionaires or other types of sellers at

HB2556- 157 -LRB103 25797 HLH 52147 b
1the Illinois State Fair, DuQuoin State Fair, county fairs,
2local fairs, art shows, flea markets and similar exhibitions
3or events, including any transient merchant as defined by
4Section 2 of the Transient Merchant Act of 1987, is required to
5file a report with the Department providing the name of the
6merchant's business, the name of the person or persons engaged
7in merchant's business, the permanent address and Illinois
8Retailers Occupation Tax Registration Number of the merchant,
9the dates and location of the event and other reasonable
10information that the Department may require. The report must
11be filed not later than the 20th day of the month next
12following the month during which the event with retail sales
13was held. Any person who fails to file a report required by
14this Section commits a business offense and is subject to a
15fine not to exceed $250.
16 Any person engaged in the business of selling tangible
17personal property at retail as a concessionaire or other type
18of seller at the Illinois State Fair, county fairs, art shows,
19flea markets and similar exhibitions or events, or any
20transient merchants, as defined by Section 2 of the Transient
21Merchant Act of 1987, may be required to make a daily report of
22the amount of such sales to the Department and to make a daily
23payment of the full amount of tax due. The Department shall
24impose this requirement when it finds that there is a
25significant risk of loss of revenue to the State at such an
26exhibition or event. Such a finding shall be based on evidence

HB2556- 158 -LRB103 25797 HLH 52147 b
1that a substantial number of concessionaires or other sellers
2who are not residents of Illinois will be engaging in the
3business of selling tangible personal property at retail at
4the exhibition or event, or other evidence of a significant
5risk of loss of revenue to the State. The Department shall
6notify concessionaires and other sellers affected by the
7imposition of this requirement. In the absence of notification
8by the Department, the concessionaires and other sellers shall
9file their returns as otherwise required in this Section.
10(Source: P.A. 101-10, Article 15, Section 15-25, eff. 6-5-19;
11101-10, Article 25, Section 25-120, eff. 6-5-19; 101-27, eff.
126-25-19; 101-32, eff. 6-28-19; 101-604, eff. 12-13-19;
13101-636, eff. 6-10-20; 102-634, eff. 8-27-21; 102-700, Article
1460, Section 60-30, eff. 4-19-22; 102-700, Article 65, Section
1565-10, eff. 4-19-22; 102-813, eff. 5-13-22; 102-1019, eff.
161-1-23; revised 12-13-22.)
17 Section 30. The School Code is amended by adding Sections
1810-20.85 and 34-18.82 as follows:
19 (105 ILCS 5/10-20.85 new)
20 Sec. 10-20.85. Trauma response protocol.
21 (a) Each school board shall develop a trauma response
22protocol that shall be implemented in response to a traumatic
23event at a school, including, but not limited to, a shooting at
24the school. The trauma response protocol shall include, but is

HB2556- 159 -LRB103 25797 HLH 52147 b
1not limited to, the following:
2 (1) As soon as practicable after the traumatic
3 incident triggering the implementation of the trauma
4 response protocol and after the scene is secured by law
5 enforcement, the hospital nearest to the scene of the
6 traumatic incident shall send mental health first
7 responders to the school. Survivors of the shooting shall
8 be offered immediate grief and trauma-based counseling.
9 With respect to the requirements of this paragraph, the
10 school board shall establish an agreement with each nearby
11 hospital, and shall designate which hospital is considered
12 to be nearest to each school.
13 (2) Within 5 calendar days after a traumatic incident
14 triggering the implementation of the trauma response
15 protocol, the school or school district shall make
16 available trauma intervention services for the survivors
17 of the incident and others who may be impacted by the
18 incident. In areas with frequent gun violence, additional
19 psycho-emotional support services shall be developed that
20 include, but are not limited to, group counseling,
21 peer-to-peer support, and other measures. With respect to
22 the requirements of this paragraph, school districts may
23 partner with local community groups to implement these
24 requirements.
25 (3) School boards shall develop a plan of community
26 engagement and, if necessary, to recruit volunteers from

HB2556- 160 -LRB103 25797 HLH 52147 b
1 the communities experiencing gun violence. School boards
2 may partner with community members, the faith-based
3 community, and other organizations to engage in the
4 recruitment efforts.
5 (b) The Trauma Response Fund is created as a special fund
6in the State treasury. All moneys in the Fund shall be paid,
7subject to appropriation by the General Assembly and
8distribution by the State Board of Education, as grants to
9school districts to implement trauma response protocols under
10this Section and Section 34-18.67.
11 (105 ILCS 5/34-18.82 new)
12 Sec. 34-18.82. Trauma response protocol. The board shall
13develop a trauma response protocol that shall be implemented
14in response to a traumatic event at a school, including, but
15not limited to, a shooting at the school. The trauma response
16protocol shall include, but is not limited to, the following:
17 (1) As soon as practicable after the traumatic
18 incident triggering the implementation of the trauma
19 response protocol and after the scene is secured by law
20 enforcement, the hospital nearest to the scene of the
21 traumatic incident shall send mental health first
22 responders to the school. Survivors of the shooting shall
23 be offered immediate grief and trauma-based counseling.
24 With respect to the requirements of this paragraph, the
25 board shall establish an agreement with each nearby

HB2556- 161 -LRB103 25797 HLH 52147 b
1 hospital, and shall designate which hospital is considered
2 to be nearest to each school.
3 (2) Within 5 calendar days after a traumatic incident
4 triggering the implementation of the trauma response
5 protocol, the school or the board shall make available
6 trauma intervention services for the survivors of the
7 incident and others who may be impacted by the incident.
8 In areas with frequent gun violence, additional
9 psycho-emotional support services shall be developed that
10 include, but are not limited to, group counseling,
11 peer-to-peer support, and other measures. With respect to
12 the requirements of this paragraph, the board may partner
13 with local community groups to implement these
14 requirements.
15 (3) The board shall develop a plan of community
16 engagement and, if necessary, to recruit volunteers from
17 the communities experiencing gun violence. The board may
18 partner with community members, the faith-based community,
19 and other organizations to engage in the recruitment
20 efforts.
21 Section 35. The University of Illinois Hospital Act is
22amended by adding Section 15 as follows:
23 (110 ILCS 330/15 new)
24 Sec. 15. School trauma response protocol. The University

HB2556- 162 -LRB103 25797 HLH 52147 b
1of Illinois Hospital shall, pursuant to paragraph (1) of
2Section 10-20.73 or paragraph (1) of Section 34-18.82 of the
3School Code, as applicable, establish agreements with school
4districts in the development of a trauma response protocol.
5 Section 40. The Hospital Licensing Act is amended by
6adding Section 6.34 as follows:
7 (210 ILCS 85/6.34 new)
8 Sec. 6.34. School trauma response protocol. Every hospital
9shall, pursuant to paragraph (1) of Section 10-20.73 or
10paragraph (1) of Section 34-18.82 of the School Code, as
11applicable, establish agreements with school districts in the
12development of a trauma response protocol.
13 Section 99. Effective date. This Act takes effect upon
14becoming law.