Bill Text: IL HB0155 | 2019-2020 | 101st General Assembly | Introduced
Bill Title: Amends the Illinois Municipal Code. Provides that the rate of tax under the Non-Home Rule Municipal Retailers' Occupation Tax Act, the Non-Home Rule Municipal Service Occupation Tax Act, and the Non-Home Rule Municipal Use Tax Act may not exceed 2% (currently, 1%). Provides that the rate of tax that may be imposed for municipal operations may not exceed 1%. With respect to the Non-Home Rule Municipal Retailers' Occupation Tax Act, the Non-Home Rule Municipal Service Occupation Tax Act, and the Non-Home Rule Municipal Use Tax Act, provides that the term "public infrastructure" includes the acquisition, repair, and maintenance of public safety equipment. Effective immediately.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2020-06-23 - Rule 19(b) / Re-referred to Rules Committee [HB0155 Detail]
Download: Illinois-2019-HB0155-Introduced.html
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1 | AN ACT concerning revenue.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 5. The Illinois Municipal Code is amended by | ||||||||||||||||||||||||||||||||
5 | changing Sections 8-11-1.1, 8-11-1.2, 8-11-1.3, 8-11-1.4, and | ||||||||||||||||||||||||||||||||
6 | 8-11-1.5 as follows:
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7 | (65 ILCS 5/8-11-1.1) (from Ch. 24, par. 8-11-1.1) | ||||||||||||||||||||||||||||||||
8 | Sec. 8-11-1.1. Non-home rule municipalities; imposition of | ||||||||||||||||||||||||||||||||
9 | taxes. | ||||||||||||||||||||||||||||||||
10 | (a) The corporate authorities of a non-home rule
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11 | municipality
may, upon approval of the electors of the | ||||||||||||||||||||||||||||||||
12 | municipality pursuant to
subsection (b) of this Section, impose | ||||||||||||||||||||||||||||||||
13 | by ordinance or resolution the tax authorized in Sections | ||||||||||||||||||||||||||||||||
14 | 8-11-1.3, 8-11-1.4 and 8-11-1.5 of this Act. | ||||||||||||||||||||||||||||||||
15 | (b) The corporate authorities of the municipality may by | ||||||||||||||||||||||||||||||||
16 | ordinance or
resolution call for the submission to the electors | ||||||||||||||||||||||||||||||||
17 | of the municipality
the question of whether the municipality | ||||||||||||||||||||||||||||||||
18 | shall impose such tax or increase the rate of such tax . Such
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19 | question shall be certified by the municipal clerk to the | ||||||||||||||||||||||||||||||||
20 | election
authority in accordance with Section 28-5 of the | ||||||||||||||||||||||||||||||||
21 | Election Code and shall be
in a form in accordance with Section | ||||||||||||||||||||||||||||||||
22 | 16-7 of the Election Code. | ||||||||||||||||||||||||||||||||
23 | Notwithstanding any provision of law to the contrary, if |
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1 | the proceeds of the tax may be used for municipal operations | ||||||
2 | pursuant to Section 8-11-1.3, 8-11-1.4, or 8-11-1.5, then the | ||||||
3 | election authority must submit the question in substantially | ||||||
4 | the following form: | ||||||
5 | Shall the corporate authorities of the municipality be | ||||||
6 | authorized to levy a tax at a rate of (rate)% for | ||||||
7 | expenditures on municipal operations, expenditures on | ||||||
8 | public infrastructure, or property tax relief? | ||||||
9 | If a majority of the electors in the municipality voting | ||||||
10 | upon the
question vote in the affirmative, such tax shall be | ||||||
11 | imposed. | ||||||
12 | Until January 1, 1992, an ordinance or resolution imposing | ||||||
13 | the tax of not more than 1% hereunder or
discontinuing the same | ||||||
14 | shall be adopted and a certified copy thereof,
together with a | ||||||
15 | certification that the ordinance or resolution received
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16 | referendum approval in the case of the imposition of such tax, | ||||||
17 | filed with
the Department of Revenue, on or before the first | ||||||
18 | day of June, whereupon
the Department shall proceed to | ||||||
19 | administer and enforce
the additional tax or to discontinue the | ||||||
20 | tax, as the case may be, as of the
first day of September next | ||||||
21 | following such adoption and filing. | ||||||
22 | Beginning January 1, 1992 and through December 31, 1992, an | ||||||
23 | ordinance or resolution imposing
or discontinuing the tax | ||||||
24 | hereunder shall be adopted and a certified copy
thereof filed | ||||||
25 | with the Department on or before the first day of July,
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26 | whereupon the Department shall proceed to administer and |
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1 | enforce this
Section as of the first day of October next | ||||||
2 | following such adoption and filing. | ||||||
3 | Beginning January 1, 1993, and through September 30, 2002, | ||||||
4 | an ordinance or resolution imposing or
discontinuing the tax | ||||||
5 | hereunder shall be adopted and a certified copy
thereof filed | ||||||
6 | with the Department on or before the first day of October,
| ||||||
7 | whereupon the Department shall proceed to administer and | ||||||
8 | enforce this
Section as of the first day of January next | ||||||
9 | following such adoption and filing. | ||||||
10 | Beginning October 1, 2002, and through December 31, 2013, | ||||||
11 | an ordinance or resolution imposing or
discontinuing the tax
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12 | under this Section or effecting a change in the rate of tax | ||||||
13 | must either (i) be
adopted
and a
certified copy of the | ||||||
14 | ordinance or resolution filed with the Department on or
before | ||||||
15 | the first day
of April,
whereupon the Department shall proceed | ||||||
16 | to administer and enforce this Section
as of the
first day of | ||||||
17 | July next following the adoption and filing; or (ii) be adopted
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18 | and a certified
copy of the ordinance or resolution filed with | ||||||
19 | the Department on or before the
first day
of October,
whereupon | ||||||
20 | the Department shall proceed to administer and enforce this | ||||||
21 | Section
as of the
first day of January next following the | ||||||
22 | adoption and filing. | ||||||
23 | Beginning January 1, 2014, if an ordinance or resolution | ||||||
24 | imposing the tax under this Section, discontinuing the tax | ||||||
25 | under this Section, or effecting a change in the rate of tax | ||||||
26 | under this Section is adopted, a certified copy thereof, |
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1 | together with a certification that the ordinance or resolution | ||||||
2 | received referendum approval in the case of the imposition of | ||||||
3 | or increase in the rate of such tax, shall be filed with the | ||||||
4 | Department of Revenue, either (i) on or before the first day of | ||||||
5 | May, whereupon the Department shall proceed to administer and | ||||||
6 | enforce this Section as of the first day of July next following | ||||||
7 | the adoption and filing; or (ii) on or before the first day of | ||||||
8 | October, whereupon the Department shall proceed to administer | ||||||
9 | and enforce this Section as of the first day of January next | ||||||
10 | following the adoption and filing. | ||||||
11 | Notwithstanding any provision in this Section to the | ||||||
12 | contrary, if, in a non-home rule municipality with more than | ||||||
13 | 150,000 but fewer than 200,000 inhabitants, as determined by | ||||||
14 | the last preceding federal decennial census, an ordinance or | ||||||
15 | resolution under this Section imposes or discontinues a tax or | ||||||
16 | changes the tax rate as of July 1, 2007, then that ordinance or | ||||||
17 | resolution, together with a certification that the
ordinance or | ||||||
18 | resolution received referendum approval in the case of the
| ||||||
19 | imposition of the tax, must be adopted and a certified copy of | ||||||
20 | that ordinance or resolution must be filed with the Department | ||||||
21 | on or before May 15, 2007, whereupon the Department shall | ||||||
22 | proceed to administer and enforce this Section as of July 1, | ||||||
23 | 2007.
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24 | Notwithstanding any provision in this Section to the | ||||||
25 | contrary, if, in a non-home rule municipality with more than | ||||||
26 | 6,500 but fewer than 7,000 inhabitants, as determined by the |
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1 | last preceding federal decennial census, an ordinance or | ||||||
2 | resolution under this Section imposes or discontinues a tax or | ||||||
3 | changes the tax rate on or before May 20, 2009, then that | ||||||
4 | ordinance or resolution, together with a certification that the
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5 | ordinance or resolution received referendum approval in the | ||||||
6 | case of the
imposition of the tax, must be adopted and a | ||||||
7 | certified copy of that ordinance or resolution must be filed | ||||||
8 | with the Department on or before May 20, 2009, whereupon the | ||||||
9 | Department shall proceed to administer and enforce this Section | ||||||
10 | as of July 1, 2009. | ||||||
11 | A non-home rule municipality may file
a
certified copy of | ||||||
12 | an ordinance or resolution, with a certification that the
| ||||||
13 | ordinance or resolution received referendum approval in the | ||||||
14 | case of the
imposition of the tax, with the
Department of | ||||||
15 | Revenue, as required under this Section, only after October 2,
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16 | 2000. | ||||||
17 | The tax authorized by this Section may not be more than 2% | ||||||
18 | 1% and
may be imposed only in 1/4% increments. It is the intent | ||||||
19 | of the General Assembly that the rate of tax that may be | ||||||
20 | imposed for municipal operations may not exceed 1%; therefore, | ||||||
21 | notwithstanding any other provision of law, if the tax under | ||||||
22 | this Section is imposed at a rate of more than 1%, then, | ||||||
23 | beginning with the first disbursement to occur on or after the | ||||||
24 | effective date of the increase, the total amount that may be | ||||||
25 | used for municipal operations may not exceed the total amount | ||||||
26 | of the proceeds disbursed to the municipality under Sections |
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1 | 8-11-1.3, 8-11-1.4, and 8-11-1.5, multiplied by a fraction | ||||||
2 | having a numerator of 1 and a denominator of the rate of tax. | ||||||
3 | (Source: P.A. 98-584, eff. 8-27-13.)
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4 | (65 ILCS 5/8-11-1.2) (from Ch. 24, par. 8-11-1.2)
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5 | Sec. 8-11-1.2. Definition. As used in Sections 8-11-1.3,
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6 | 8-11-1.4 and 8-11-1.5 of this Act:
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7 | (a) "Public infrastructure" means
municipal roads and | ||||||
8 | streets, access roads, bridges, and sidewalks; waste
disposal | ||||||
9 | systems; the acquisition, repair, and maintenance of public | ||||||
10 | safety equipment; and water and sewer line extensions, water | ||||||
11 | distribution
and purification facilities, storm water drainage | ||||||
12 | and retention facilities,
and sewage treatment facilities.
For | ||||||
13 | purposes of referenda authorizing the
imposition of taxes by | ||||||
14 | the City of DuQuoin under Sections 8-11-1.3, 8-11-1.4,
and | ||||||
15 | 8-11-1.5 of this
Act
that are approved in November, 2002, or | ||||||
16 | for purposes of referenda authorizing the
imposition of taxes | ||||||
17 | by the Village of Forsyth under Sections 8-11-1.3, 8-11-1.4,
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18 | and 8-11-1.5 of this
Act
that are approved after the effective | ||||||
19 | date of this amendatory Act of the 94th General Assembly,
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20 | "public infrastructure" shall also
include public schools.
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21 | (a-5) For the purposes of this Section, "public safety | ||||||
22 | equipment" means firefighting, police, rescue, transportation, | ||||||
23 | or communications equipment used by police departments, fire | ||||||
24 | departments, or other first responders, including, but not | ||||||
25 | limited to, police vehicles, fire trucks, surveillance |
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1 | equipment, and body cameras. | ||||||
2 | (b) "Property tax relief" means the action of a | ||||||
3 | municipality to reduce the
levy for real estate taxes or avoid | ||||||
4 | an increase in the levy for real estate
taxes that would | ||||||
5 | otherwise have been required. Property tax relief or the
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6 | avoidance of property tax must uniformly apply to all classes | ||||||
7 | of property.
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8 | (Source: P.A. 94-1078, eff. 1-9-07; 95-331, eff. 8-21-07.)
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9 | (65 ILCS 5/8-11-1.3) (from Ch. 24, par. 8-11-1.3)
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10 | Sec. 8-11-1.3. Non-Home Rule Municipal Retailers' | ||||||
11 | Occupation Tax Act. The corporate authorities of a non-home | ||||||
12 | rule municipality may impose
a tax upon all persons engaged in | ||||||
13 | the business of selling tangible
personal property, other than | ||||||
14 | on an item of tangible personal property
which is titled and | ||||||
15 | registered by an agency of this State's Government,
at retail | ||||||
16 | in the municipality for expenditure on
public infrastructure or | ||||||
17 | for property tax relief or both as defined in
Section 8-11-1.2 | ||||||
18 | if approved by
referendum as provided in Section 8-11-1.1, of | ||||||
19 | the gross receipts from such
sales made in the course of such | ||||||
20 | business.
If the tax is approved by referendum on or after July | ||||||
21 | 14, 2010 (the effective date of Public Act 96-1057), the | ||||||
22 | corporate authorities of a non-home rule municipality may, | ||||||
23 | until December 31, 2020, use the proceeds of the tax for | ||||||
24 | expenditure on municipal operations, in addition to or in lieu | ||||||
25 | of any expenditure on public infrastructure or for property tax |
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1 | relief. The tax imposed may not be more than 2% 1% and may be | ||||||
2 | imposed only in
1/4% increments. It is the intent of the | ||||||
3 | General Assembly that the rate of tax that may be imposed for | ||||||
4 | municipal operations may not exceed 1%; therefore, | ||||||
5 | notwithstanding any other provision of law, if the tax under | ||||||
6 | this Section is imposed at a rate of more than 1%, then, | ||||||
7 | beginning with the first disbursement to occur on or after the | ||||||
8 | effective date of the increase, the total amount that may be | ||||||
9 | used for municipal operations may not exceed the total amount | ||||||
10 | of the proceeds disbursed to the municipality under this | ||||||
11 | Section, Section 8-11-1.4, and Section 8-11-1.5, multiplied by | ||||||
12 | a fraction having a numerator of 1 and a denominator of the | ||||||
13 | rate of tax. The tax may not be imposed on the sale of food for | ||||||
14 | human
consumption that is
to be consumed off the premises where | ||||||
15 | it is sold (other than alcoholic
beverages, soft drinks, and | ||||||
16 | food that has been prepared for immediate
consumption) and | ||||||
17 | prescription and nonprescription medicines, drugs, medical
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18 | appliances, and insulin, urine testing materials, syringes, | ||||||
19 | and needles used by
diabetics.
The tax imposed by a
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20 | municipality pursuant to this Section and all civil penalties | ||||||
21 | that may be
assessed as an incident thereof shall be collected | ||||||
22 | and enforced by the
State Department of Revenue. The | ||||||
23 | certificate of registration which is
issued by the Department | ||||||
24 | to a retailer under the Retailers' Occupation Tax
Act shall | ||||||
25 | permit such retailer to engage in a business which is taxable
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26 | under any ordinance or resolution enacted pursuant to
this |
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1 | Section without registering separately with the Department | ||||||
2 | under
such ordinance or resolution or under this Section. The | ||||||
3 | Department
shall have full power to administer and enforce this | ||||||
4 | Section; to collect
all taxes and penalties due hereunder; to | ||||||
5 | dispose of taxes and penalties
so collected in the manner | ||||||
6 | hereinafter provided, and to determine all
rights to credit | ||||||
7 | memoranda, arising on account of the erroneous payment
of tax | ||||||
8 | or penalty hereunder. In the administration of, and compliance
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9 | with, this Section, the Department and persons who are subject | ||||||
10 | to this
Section shall have the same rights, remedies, | ||||||
11 | privileges, immunities,
powers and duties, and be subject to | ||||||
12 | the same conditions, restrictions,
limitations, penalties and | ||||||
13 | definitions of terms, and employ the same
modes of procedure, | ||||||
14 | as are prescribed in Sections 1, 1a, 1a-1, 1d, 1e,
1f, 1i, 1j, | ||||||
15 | 2 through 2-65 (in respect to all provisions therein other than
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16 | the State rate of tax), 2c, 3 (except as to the disposition of | ||||||
17 | taxes and
penalties collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, | ||||||
18 | 5g, 5h, 5i, 5j, 5k, 5l,
6, 6a, 6b, 6c, 6d, 7, 8, 9, 10, 11, 12 | ||||||
19 | and 13 of the Retailers'
Occupation Tax Act and Section 3-7 of | ||||||
20 | the Uniform Penalty and Interest
Act as fully as if those | ||||||
21 | provisions were set forth herein.
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22 | No municipality may impose a tax under this Section unless | ||||||
23 | the municipality
also imposes a tax at the same rate under | ||||||
24 | Section 8-11-1.4 of this Code.
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25 | Persons subject to any tax imposed pursuant to the | ||||||
26 | authority granted
in this Section may reimburse themselves for |
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1 | their seller's tax
liability hereunder by separately stating | ||||||
2 | such tax as an additional
charge, which charge may be stated in | ||||||
3 | combination, in a single amount,
with State tax which sellers | ||||||
4 | are required to collect under the Use Tax
Act, pursuant to such | ||||||
5 | bracket schedules as the Department may prescribe.
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6 | Whenever the Department determines that a refund should be | ||||||
7 | made under
this Section to a claimant instead of issuing a | ||||||
8 | credit memorandum, the
Department shall notify the State | ||||||
9 | Comptroller, who shall cause the
order to be drawn for the | ||||||
10 | amount specified, and to the person named,
in such notification | ||||||
11 | from the Department. Such refund shall be paid by
the State | ||||||
12 | Treasurer out of the non-home rule municipal retailers'
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13 | occupation tax fund.
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14 | The Department shall forthwith pay over to the State | ||||||
15 | Treasurer, ex
officio, as trustee, all taxes and penalties | ||||||
16 | collected hereunder. | ||||||
17 | As soon as possible after the first day of each month, | ||||||
18 | beginning January 1, 2011, upon certification of the Department | ||||||
19 | of Revenue, the Comptroller shall order transferred, and the | ||||||
20 | Treasurer shall transfer, to the STAR Bonds Revenue Fund the | ||||||
21 | local sales tax increment, as defined in the Innovation | ||||||
22 | Development and Economy Act, collected under this Section | ||||||
23 | during the second preceding calendar month for sales within a | ||||||
24 | STAR bond district. | ||||||
25 | After the monthly transfer to the STAR Bonds Revenue Fund, | ||||||
26 | on or
before the 25th day of each calendar month, the |
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1 | Department shall
prepare and certify to the Comptroller the | ||||||
2 | disbursement of stated sums
of money to named municipalities, | ||||||
3 | the municipalities to be those from
which retailers have paid | ||||||
4 | taxes or penalties hereunder to the Department
during the | ||||||
5 | second preceding calendar month. The amount to be paid to each
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6 | municipality shall be the amount (not including credit | ||||||
7 | memoranda) collected
hereunder during the second preceding | ||||||
8 | calendar month by the Department plus
an amount the Department | ||||||
9 | determines is necessary to offset any amounts
which were | ||||||
10 | erroneously paid to a different taxing body, and not including
| ||||||
11 | an amount equal to the amount of refunds made during the second | ||||||
12 | preceding
calendar month by the Department on behalf of such | ||||||
13 | municipality, and not
including any amount which the Department | ||||||
14 | determines is necessary to offset
any amounts which were | ||||||
15 | payable to a different taxing body but were
erroneously paid to | ||||||
16 | the municipality, and not including any amounts that are | ||||||
17 | transferred to the STAR Bonds Revenue Fund, less 1.5% of the | ||||||
18 | remainder, which the Department shall transfer into the Tax | ||||||
19 | Compliance and Administration Fund. The Department, at the time | ||||||
20 | of each monthly disbursement to the municipalities, shall | ||||||
21 | prepare and certify to the State Comptroller the amount to be | ||||||
22 | transferred into the Tax Compliance and Administration Fund | ||||||
23 | under this Section. Within 10 days after receipt, by the
| ||||||
24 | Comptroller, of the disbursement certification to the | ||||||
25 | municipalities and the Tax Compliance and Administration Fund
| ||||||
26 | provided for in this Section to be given to the Comptroller by |
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1 | the
Department, the Comptroller shall cause the orders to be | ||||||
2 | drawn for the
respective amounts in accordance with the | ||||||
3 | directions contained in such
certification.
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4 | For the purpose of determining the local governmental unit | ||||||
5 | whose tax
is applicable, a retail sale, by a producer of coal | ||||||
6 | or other mineral
mined in Illinois, is a sale at retail at the | ||||||
7 | place where the coal or
other mineral mined in Illinois is | ||||||
8 | extracted from the earth. This
paragraph does not apply to coal | ||||||
9 | or other mineral when it is delivered
or shipped by the seller | ||||||
10 | to the purchaser at a point outside Illinois so
that the sale | ||||||
11 | is exempt under the Federal Constitution as a sale in
| ||||||
12 | interstate or foreign commerce.
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13 | Nothing in this Section shall be construed to authorize a
| ||||||
14 | municipality to impose a tax upon the privilege of engaging in | ||||||
15 | any
business which under the constitution of the United States | ||||||
16 | may not be
made the subject of taxation by this State.
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17 | When certifying the amount of a monthly disbursement to a | ||||||
18 | municipality
under this Section, the Department shall increase | ||||||
19 | or decrease such amount
by an amount necessary to offset any | ||||||
20 | misallocation of previous
disbursements. The offset amount | ||||||
21 | shall be the amount erroneously disbursed
within the previous 6 | ||||||
22 | months from the time a misallocation is discovered.
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23 | The Department of Revenue shall implement this amendatory | ||||||
24 | Act of the 91st
General Assembly so as to collect the tax on | ||||||
25 | and after January 1, 2002.
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26 | As used in this Section, "municipal" and "municipality" |
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1 | means a city,
village or incorporated town, including an | ||||||
2 | incorporated town which has
superseded a civil township.
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3 | This Section shall be known and may be cited as the | ||||||
4 | "Non-Home Rule
Municipal Retailers' Occupation Tax Act".
| ||||||
5 | (Source: P.A. 99-217, eff. 7-31-15; 100-23, eff. 7-6-17; | ||||||
6 | 100-587, eff. 6-4-18.)
| ||||||
7 | (65 ILCS 5/8-11-1.4) (from Ch. 24, par. 8-11-1.4)
| ||||||
8 | Sec. 8-11-1.4. Non-Home Rule Municipal Service Occupation | ||||||
9 | Tax Act. The
corporate authorities of a non-home rule | ||||||
10 | municipality may impose a
tax upon all persons engaged, in such | ||||||
11 | municipality, in the business of
making sales of service for | ||||||
12 | expenditure on
public infrastructure or for property tax relief | ||||||
13 | or both as defined in
Section 8-11-1.2 if approved by
| ||||||
14 | referendum as provided in Section 8-11-1.1, of the selling | ||||||
15 | price of
all tangible personal property transferred by such | ||||||
16 | servicemen either in
the form of tangible personal property or | ||||||
17 | in the form of real estate as
an incident to a sale of service.
| ||||||
18 | If the tax is approved by referendum on or after July 14, 2010 | ||||||
19 | (the effective date of Public Act 96-1057), the corporate | ||||||
20 | authorities of a non-home rule municipality may, until December | ||||||
21 | 31, 2020, use the proceeds of the tax for expenditure on | ||||||
22 | municipal operations, in addition to or in lieu of any | ||||||
23 | expenditure on public infrastructure or for property tax | ||||||
24 | relief. The tax imposed may not be more than 2% 1% and may be | ||||||
25 | imposed only in
1/4% increments. It is the intent of the |
| |||||||
| |||||||
1 | General Assembly that the rate of tax that may be imposed for | ||||||
2 | municipal operations may not exceed 1%; therefore, | ||||||
3 | notwithstanding any other provision of law, if the tax under | ||||||
4 | this Section is imposed at a rate of more than 1%, then, | ||||||
5 | beginning with the first disbursement to occur on or after the | ||||||
6 | effective date of the increase, the total amount that may be | ||||||
7 | used for municipal operations may not exceed the total amount | ||||||
8 | of the proceeds disbursed to the municipality under this | ||||||
9 | Section, Section 8-11-1.3, and Section 8-11-1.5, multiplied by | ||||||
10 | a fraction having a numerator of 1 and a denominator of the | ||||||
11 | rate of tax. The tax may not be imposed on the sale of food for | ||||||
12 | human
consumption that is
to be consumed off the premises where | ||||||
13 | it is sold (other than alcoholic
beverages, soft drinks, and | ||||||
14 | food that has been prepared for immediate
consumption) and | ||||||
15 | prescription and nonprescription medicines, drugs, medical
| ||||||
16 | appliances, and insulin, urine testing materials, syringes, | ||||||
17 | and needles used by
diabetics.
The tax imposed by a | ||||||
18 | municipality
pursuant to this Section and all civil penalties | ||||||
19 | that may be assessed as
an incident thereof shall be collected | ||||||
20 | and enforced by the State
Department of Revenue. The | ||||||
21 | certificate of registration which is issued
by the Department | ||||||
22 | to a retailer under the Retailers' Occupation Tax
Act or under | ||||||
23 | the Service Occupation Tax Act shall permit
such registrant to | ||||||
24 | engage in a business which is taxable under any
ordinance or | ||||||
25 | resolution enacted pursuant to this Section without
| ||||||
26 | registering separately with the Department under such |
| |||||||
| |||||||
1 | ordinance or
resolution or under this Section. The Department | ||||||
2 | shall have full power
to administer and enforce this Section; | ||||||
3 | to collect all taxes and
penalties due hereunder; to dispose of | ||||||
4 | taxes and penalties so collected
in the manner hereinafter | ||||||
5 | provided, and to determine all rights to
credit memoranda | ||||||
6 | arising on account of the erroneous payment of tax or
penalty | ||||||
7 | hereunder. In the administration of, and compliance with, this
| ||||||
8 | Section the Department and persons who are subject to this | ||||||
9 | Section
shall have the same rights, remedies, privileges, | ||||||
10 | immunities, powers and
duties, and be subject to the same | ||||||
11 | conditions, restrictions, limitations,
penalties and | ||||||
12 | definitions of terms, and employ the same modes of procedure,
| ||||||
13 | as are prescribed in Sections 1a-1, 2, 2a, 3 through 3-50 (in | ||||||
14 | respect to
all provisions therein other than the State rate of | ||||||
15 | tax), 4 (except that
the reference to the State shall be to the | ||||||
16 | taxing municipality), 5, 7, 8
(except that the jurisdiction to | ||||||
17 | which the tax shall be a debt to the
extent indicated in that | ||||||
18 | Section 8 shall be the taxing municipality), 9
(except as to | ||||||
19 | the disposition of taxes and penalties collected, and except
| ||||||
20 | that the returned merchandise credit for this municipal tax may | ||||||
21 | not be
taken against any State tax), 10, 11, 12 (except the | ||||||
22 | reference therein to
Section 2b of the Retailers' Occupation | ||||||
23 | Tax Act), 13 (except that any
reference to the State shall mean | ||||||
24 | the taxing municipality), the first
paragraph of Section 15, | ||||||
25 | 16, 17, 18, 19 and 20 of the Service Occupation
Tax Act and | ||||||
26 | Section 3-7 of the Uniform Penalty and Interest Act, as fully
|
| |||||||
| |||||||
1 | as if those provisions were set forth herein.
| ||||||
2 | No municipality may impose a tax under this Section unless | ||||||
3 | the municipality
also imposes a tax at the same rate under | ||||||
4 | Section 8-11-1.3 of this Code.
| ||||||
5 | Persons subject to any tax imposed pursuant to the | ||||||
6 | authority granted
in this Section may reimburse themselves for | ||||||
7 | their serviceman's tax
liability hereunder by separately | ||||||
8 | stating such tax as an additional
charge, which charge may be | ||||||
9 | stated in combination, in a single amount,
with State tax which | ||||||
10 | servicemen are authorized to collect under the
Service Use Tax | ||||||
11 | Act, pursuant to such bracket schedules as the
Department may | ||||||
12 | prescribe.
| ||||||
13 | Whenever the Department determines that a refund should be | ||||||
14 | made under
this Section to a claimant instead of issuing credit | ||||||
15 | memorandum, the
Department shall notify the State Comptroller, | ||||||
16 | who shall cause the
order to be drawn for the amount specified, | ||||||
17 | and to the person named,
in such notification from the | ||||||
18 | Department. Such refund shall be paid by
the State Treasurer | ||||||
19 | out of the municipal retailers' occupation tax fund.
| ||||||
20 | The Department shall forthwith pay over to the State | ||||||
21 | Treasurer,
ex officio, as trustee, all taxes and penalties | ||||||
22 | collected hereunder. | ||||||
23 | As soon as possible after the first day of each month, | ||||||
24 | beginning January 1, 2011, upon certification of the Department | ||||||
25 | of Revenue, the Comptroller shall order transferred, and the | ||||||
26 | Treasurer shall transfer, to the STAR Bonds Revenue Fund the |
| |||||||
| |||||||
1 | local sales tax increment, as defined in the Innovation | ||||||
2 | Development and Economy Act, collected under this Section | ||||||
3 | during the second preceding calendar month for sales within a | ||||||
4 | STAR bond district. | ||||||
5 | After the monthly transfer to the STAR Bonds Revenue Fund, | ||||||
6 | on
or before the 25th day of each calendar month, the | ||||||
7 | Department shall
prepare and certify to the Comptroller the | ||||||
8 | disbursement of stated sums
of money to named municipalities, | ||||||
9 | the municipalities to be those from
which suppliers and | ||||||
10 | servicemen have paid taxes or penalties hereunder to
the | ||||||
11 | Department during the second preceding calendar month. The | ||||||
12 | amount
to be paid to each municipality shall be the amount (not | ||||||
13 | including credit
memoranda) collected hereunder during the | ||||||
14 | second preceding calendar
month by the Department, and not | ||||||
15 | including an amount equal to the amount
of refunds made during | ||||||
16 | the second preceding calendar month by the
Department on behalf | ||||||
17 | of such municipality, and not including any amounts that are | ||||||
18 | transferred to the STAR Bonds Revenue Fund, less 1.5% of the | ||||||
19 | remainder, which the Department shall transfer into the Tax | ||||||
20 | Compliance and Administration Fund. The Department, at the time | ||||||
21 | of each monthly disbursement to the municipalities, shall | ||||||
22 | prepare and certify to the State Comptroller the amount to be | ||||||
23 | transferred into the Tax Compliance and Administration Fund | ||||||
24 | under this Section. Within 10 days
after receipt, by the | ||||||
25 | Comptroller, of the disbursement certification to
the | ||||||
26 | municipalities, the General Revenue Fund, and the Tax |
| |||||||
| |||||||
1 | Compliance and Administration Fund provided for in this
Section | ||||||
2 | to be given to the Comptroller by the Department, the
| ||||||
3 | Comptroller shall cause the orders to be drawn for the | ||||||
4 | respective
amounts in accordance with the directions contained | ||||||
5 | in such
certification.
| ||||||
6 | The Department of Revenue shall implement this amendatory | ||||||
7 | Act of the 91st
General Assembly so as to collect the tax on | ||||||
8 | and after January 1, 2002.
| ||||||
9 | Nothing in this Section shall be construed to authorize a
| ||||||
10 | municipality to impose a tax upon the privilege of engaging in | ||||||
11 | any
business which under the constitution of the United States | ||||||
12 | may not be
made the subject of taxation by this State.
| ||||||
13 | As used in this Section, "municipal" or "municipality" | ||||||
14 | means or refers to
a city, village or incorporated town, | ||||||
15 | including an incorporated town which
has superseded a civil | ||||||
16 | township.
| ||||||
17 | This Section shall be known and may be cited as the | ||||||
18 | "Non-Home Rule Municipal
Service Occupation Tax Act".
| ||||||
19 | (Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18.)
| ||||||
20 | (65 ILCS 5/8-11-1.5) (from Ch. 24, par. 8-11-1.5)
| ||||||
21 | Sec. 8-11-1.5. Non-Home Rule Municipal Use Tax Act. The | ||||||
22 | corporate
authorities of a non-home rule municipality may | ||||||
23 | impose a
tax upon the privilege of using, in such municipality, | ||||||
24 | any item of tangible
personal property which is purchased at | ||||||
25 | retail from a retailer, and which is
titled or registered with |
| |||||||
| |||||||
1 | an agency of this State's government, based on the selling | ||||||
2 | price of such tangible personal
property, as "selling price" is | ||||||
3 | defined in the Use Tax Act, for expenditure
on public | ||||||
4 | infrastructure or for property tax relief or both as defined in
| ||||||
5 | Section 8-11-1.2, if approved by
referendum as provided in | ||||||
6 | Section 8-11-1.1. If the tax is approved by referendum on or | ||||||
7 | after the effective date of this amendatory Act of the 96th | ||||||
8 | General Assembly, the corporate authorities of a non-home rule | ||||||
9 | municipality may, until December 31, 2020, use the proceeds of | ||||||
10 | the tax for expenditure on municipal operations, in addition to | ||||||
11 | or in lieu of any expenditure on public infrastructure or for | ||||||
12 | property tax relief. The tax imposed may not be more
than 2% 1% | ||||||
13 | and may be imposed only in 1/4% increments. It is the intent of | ||||||
14 | the General Assembly that the rate of tax that may be imposed | ||||||
15 | for municipal operations may not exceed 1%; therefore, | ||||||
16 | notwithstanding any other provision of law, if the tax under | ||||||
17 | this Section is imposed at a rate of more than 1%, then, | ||||||
18 | beginning with the first disbursement to occur on or after the | ||||||
19 | effective date of the increase, the total amount that may be | ||||||
20 | used for municipal operations may not exceed the total amount | ||||||
21 | of the proceeds disbursed to the municipality under this | ||||||
22 | Section, Section 8-11-1.3, and Section 8-11-1.4, multiplied by | ||||||
23 | a fraction having a numerator of 1 and a denominator of the | ||||||
24 | rate of tax. Such tax shall
be
collected from persons whose | ||||||
25 | Illinois address for title or registration
purposes is given as | ||||||
26 | being in such municipality. Such tax shall be
collected by the |
| |||||||
| |||||||
1 | municipality imposing such tax.
A non-home rule municipality | ||||||
2 | may not
impose and collect the tax prior to January 1, 2002.
| ||||||
3 | This Section shall be known and may be cited as the | ||||||
4 | "Non-Home Rule
Municipal Use Tax Act".
| ||||||
5 | (Source: P.A. 96-1057, eff. 7-14-10; 97-837, eff. 7-20-12.)
| ||||||
6 | Section 99. Effective date. This Act takes effect upon | ||||||
7 | becoming law.
|