Bill Text: IL HB0821 | 2017-2018 | 100th General Assembly | Engrossed


Bill Title: Amends the Use Tax Act, the Service Use Tax Act, the Service Occupation Tax Act, the Retailers' Occupation Tax Act, the Prepaid Wireless 9-1-1 Surcharge Act, the Public Utilities Act, and the Environmental Protection Act. Provides that certain tax returns filed under those Acts must be filed electronically. Provides that vendor discounts under those Acts are allowed only for returns that are filed electronically. Provides that the electronic return requirement does not apply to the Automobile Renting Occupation and Use Tax Act. Effective immediately.

Spectrum: Slight Partisan Bill (Republican 3-1)

Status: (Engrossed) 2017-04-25 - Referred to Assignments [HB0821 Detail]

Download: Illinois-2017-HB0821-Engrossed.html



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1 AN ACT concerning revenue.
2 Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4 Section 3. The Illinois Income Tax Act is amended by
5changing Section 704A as follows:
6 (35 ILCS 5/704A)
7 Sec. 704A. Employer's return and payment of tax withheld.
8 (a) In general, every employer who deducts and withholds or
9is required to deduct and withhold tax under this Act on or
10after January 1, 2008 shall make those payments and returns as
11provided in this Section.
12 (b) Returns. Every employer shall, in the form and manner
13required by the Department, make returns with respect to taxes
14withheld or required to be withheld under this Article 7 for
15each quarter beginning on or after January 1, 2008, on or
16before the last day of the first month following the close of
17that quarter.
18 (c) Payments. With respect to amounts withheld or required
19to be withheld on or after January 1, 2008:
20 (1) Semi-weekly payments. For each calendar year, each
21 employer who withheld or was required to withhold more than
22 $12,000 during the one-year period ending on June 30 of the
23 immediately preceding calendar year, payment must be made:

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1 (A) on or before each Friday of the calendar year,
2 for taxes withheld or required to be withheld on the
3 immediately preceding Saturday, Sunday, Monday, or
4 Tuesday;
5 (B) on or before each Wednesday of the calendar
6 year, for taxes withheld or required to be withheld on
7 the immediately preceding Wednesday, Thursday, or
8 Friday.
9 Beginning with calendar year 2011, payments made under
10 this paragraph (1) of subsection (c) must be made by
11 electronic funds transfer.
12 (2) Semi-weekly payments. Any employer who withholds
13 or is required to withhold more than $12,000 in any quarter
14 of a calendar year is required to make payments on the
15 dates set forth under item (1) of this subsection (c) for
16 each remaining quarter of that calendar year and for the
17 subsequent calendar year.
18 (3) Monthly payments. Each employer, other than an
19 employer described in items (1) or (2) of this subsection,
20 shall pay to the Department, on or before the 15th day of
21 each month the taxes withheld or required to be withheld
22 during the immediately preceding month.
23 (4) Payments with returns. Each employer shall pay to
24 the Department, on or before the due date for each return
25 required to be filed under this Section, any tax withheld
26 or required to be withheld during the period for which the

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1 return is due and not previously paid to the Department.
2 (d) Regulatory authority. The Department may, by rule:
3 (1) Permit employers, in lieu of the requirements of
4 subsections (b) and (c), to file annual returns due on or
5 before January 31 of the year for taxes withheld or
6 required to be withheld during the previous calendar year
7 and, if the aggregate amounts required to be withheld by
8 the employer under this Article 7 (other than amounts
9 required to be withheld under Section 709.5) do not exceed
10 $1,000 for the previous calendar year, to pay the taxes
11 required to be shown on each such return no later than the
12 due date for such return.
13 (2) Provide that any payment required to be made under
14 subsection (c)(1) or (c)(2) is deemed to be timely to the
15 extent paid by electronic funds transfer on or before the
16 due date for deposit of federal income taxes withheld from,
17 or federal employment taxes due with respect to, the wages
18 from which the Illinois taxes were withheld.
19 (3) Designate one or more depositories to which payment
20 of taxes required to be withheld under this Article 7 must
21 be paid by some or all employers.
22 (4) Increase the threshold dollar amounts at which
23 employers are required to make semi-weekly payments under
24 subsection (c)(1) or (c)(2).
25 (e) Annual return and payment. Every employer who deducts
26and withholds or is required to deduct and withhold tax from a

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1person engaged in domestic service employment, as that term is
2defined in Section 3510 of the Internal Revenue Code, may
3comply with the requirements of this Section with respect to
4such employees by filing an annual return and paying the taxes
5required to be deducted and withheld on or before the 15th day
6of the fourth month following the close of the employer's
7taxable year. The Department may allow the employer's return to
8be submitted with the employer's individual income tax return
9or to be submitted with a return due from the employer under
10Section 1400.2 of the Unemployment Insurance Act.
11 (f) Magnetic media and electronic filing.
12 With respect to taxes withheld in calendar years prior to
132017, any Any W-2 Form that, under the Internal Revenue Code
14and regulations promulgated thereunder, is required to be
15submitted to the Internal Revenue Service on magnetic media or
16electronically must also be submitted to the Department on
17magnetic media or electronically for Illinois purposes, if
18required by the Department.
19 With respect to taxes withheld in 2017 and subsequent
20calendar years, the Department may, by rule, require that any
21return (including any amended return) under this Section and
22any W-2 Form that is required to be submitted to the Department
23must be submitted on magnetic media or electronically.
24 The due date for submitting W-2 Forms shall be as
25prescribed by the Department by rule.
26 (g) For amounts deducted or withheld after December 31,

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12009, a taxpayer who makes an election under subsection (f) of
2Section 5-15 of the Economic Development for a Growing Economy
3Tax Credit Act for a taxable year shall be allowed a credit
4against payments due under this Section for amounts withheld
5during the first calendar year beginning after the end of that
6taxable year equal to the amount of the credit for the
7incremental income tax attributable to full-time employees of
8the taxpayer awarded to the taxpayer by the Department of
9Commerce and Economic Opportunity under the Economic
10Development for a Growing Economy Tax Credit Act for the
11taxable year and credits not previously claimed and allowed to
12be carried forward under Section 211(4) of this Act as provided
13in subsection (f) of Section 5-15 of the Economic Development
14for a Growing Economy Tax Credit Act. The credit or credits may
15not reduce the taxpayer's obligation for any payment due under
16this Section to less than zero. If the amount of the credit or
17credits exceeds the total payments due under this Section with
18respect to amounts withheld during the calendar year, the
19excess may be carried forward and applied against the
20taxpayer's liability under this Section in the succeeding
21calendar years as allowed to be carried forward under paragraph
22(4) of Section 211 of this Act. The credit or credits shall be
23applied to the earliest year for which there is a tax
24liability. If there are credits from more than one taxable year
25that are available to offset a liability, the earlier credit
26shall be applied first. Each employer who deducts and withholds

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1or is required to deduct and withhold tax under this Act and
2who retains income tax withholdings under subsection (f) of
3Section 5-15 of the Economic Development for a Growing Economy
4Tax Credit Act must make a return with respect to such taxes
5and retained amounts in the form and manner that the
6Department, by rule, requires and pay to the Department or to a
7depositary designated by the Department those withheld taxes
8not retained by the taxpayer. For purposes of this subsection
9(g), the term taxpayer shall include taxpayer and members of
10the taxpayer's unitary business group as defined under
11paragraph (27) of subsection (a) of Section 1501 of this Act.
12This Section is exempt from the provisions of Section 250 of
13this Act.
14 (h) An employer may claim a credit against payments due
15under this Section for amounts withheld during the first
16calendar year ending after the date on which a tax credit
17certificate was issued under Section 35 of the Small Business
18Job Creation Tax Credit Act. The credit shall be equal to the
19amount shown on the certificate, but may not reduce the
20taxpayer's obligation for any payment due under this Section to
21less than zero. If the amount of the credit exceeds the total
22payments due under this Section with respect to amounts
23withheld during the calendar year, the excess may be carried
24forward and applied against the taxpayer's liability under this
25Section in the 5 succeeding calendar years. The credit shall be
26applied to the earliest year for which there is a tax

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1liability. If there are credits from more than one calendar
2year that are available to offset a liability, the earlier
3credit shall be applied first. This Section is exempt from the
4provisions of Section 250 of this Act.
5(Source: P.A. 96-834, eff. 12-14-09; 96-888, eff. 4-13-10;
696-905, eff. 6-4-10; 96-1027, eff. 7-12-10; 97-333, eff.
78-12-11; 97-507, eff. 8-23-11.)
8 Section 5. The Use Tax Act is amended by changing Section 9
9as follows:
10 (35 ILCS 105/9) (from Ch. 120, par. 439.9)
11 Sec. 9. Except as to motor vehicles, watercraft, aircraft,
12and trailers that are required to be registered with an agency
13of this State, each retailer required or authorized to collect
14the tax imposed by this Act shall pay to the Department the
15amount of such tax (except as otherwise provided) at the time
16when he is required to file his return for the period during
17which such tax was collected, less a discount of 2.1% prior to
18January 1, 1990, and 1.75% on and after January 1, 1990, or $5
19per calendar year, whichever is greater, which is allowed to
20reimburse the retailer for expenses incurred in collecting the
21tax, keeping records, preparing and filing returns, remitting
22the tax and supplying data to the Department on request. In the
23case of retailers who report and pay the tax on a transaction
24by transaction basis, as provided in this Section, such

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

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1such information as the Department may reasonably require. On
2and after January 1, 2018, except for returns for motor
3vehicles, watercraft, aircraft, and trailers that are required
4to be registered with an agency of this State, with respect to
5retailers whose annual gross receipts average $20,000 or more,
6all returns required to be filed pursuant to this Act shall be
7filed electronically. Retailers who demonstrate that they do
8not have access to the Internet or demonstrate hardship in
9filing electronically may petition the Department to waive the
10electronic filing requirement.
11 The Department may require returns to be filed on a
12quarterly basis. If so required, a return for each calendar
13quarter shall be filed on or before the twentieth day of the
14calendar month following the end of such calendar quarter. The
15taxpayer shall also file a return with the Department for each
16of the first two months of each calendar quarter, on or before
17the twentieth day of the following calendar month, stating:
18 1. The name of the seller;
19 2. The address of the principal place of business from
20 which he engages in the business of selling tangible
21 personal property at retail in this State;
22 3. The total amount of taxable receipts received by him
23 during the preceding calendar month from sales of tangible
24 personal property by him during such preceding calendar
25 month, including receipts from charge and time sales, but
26 less all deductions allowed by law;

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1 4. The amount of credit provided in Section 2d of this
2 Act;
3 5. The amount of tax due;
4 5-5. The signature of the taxpayer; and
5 6. Such other reasonable information as the Department
6 may require.
7 If a taxpayer fails to sign a return within 30 days after
8the proper notice and demand for signature by the Department,
9the return shall be considered valid and any amount shown to be
10due on the return shall be deemed assessed.
11 Beginning October 1, 1993, a taxpayer who has an average
12monthly tax liability of $150,000 or more shall make all
13payments required by rules of the Department by electronic
14funds transfer. Beginning October 1, 1994, a taxpayer who has
15an average monthly tax liability of $100,000 or more shall make
16all payments required by rules of the Department by electronic
17funds transfer. Beginning October 1, 1995, a taxpayer who has
18an average monthly tax liability of $50,000 or more shall make
19all payments required by rules of the Department by electronic
20funds transfer. Beginning October 1, 2000, a taxpayer who has
21an annual tax liability of $200,000 or more shall make all
22payments required by rules of the Department by electronic
23funds transfer. The term "annual tax liability" shall be the
24sum of the taxpayer's liabilities under this Act, and under all
25other State and local occupation and use tax laws administered
26by the Department, for the immediately preceding calendar year.

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1The term "average monthly tax liability" means the sum of the
2taxpayer's liabilities under this Act, and under all other
3State and local occupation and use tax laws administered by the
4Department, for the immediately preceding calendar year
5divided by 12. Beginning on October 1, 2002, a taxpayer who has
6a tax liability in the amount set forth in subsection (b) of
7Section 2505-210 of the Department of Revenue Law shall make
8all payments required by rules of the Department by electronic
9funds transfer.
10 Before August 1 of each year beginning in 1993, the
11Department shall notify all taxpayers required to make payments
12by electronic funds transfer. All taxpayers required to make
13payments by electronic funds transfer shall make those payments
14for a minimum of one year beginning on October 1.
15 Any taxpayer not required to make payments by electronic
16funds transfer may make payments by electronic funds transfer
17with the permission of the Department.
18 All taxpayers required to make payment by electronic funds
19transfer and any taxpayers authorized to voluntarily make
20payments by electronic funds transfer shall make those payments
21in the manner authorized by the Department.
22 The Department shall adopt such rules as are necessary to
23effectuate a program of electronic funds transfer and the
24requirements of this Section.
25 Before October 1, 2000, if the taxpayer's average monthly
26tax liability to the Department under this Act, the Retailers'

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1Occupation Tax Act, the Service Occupation Tax Act, the Service
2Use Tax Act was $10,000 or more during the preceding 4 complete
3calendar quarters, he shall file a return with the Department
4each month by the 20th day of the month next following the
5month during which such tax liability is incurred and shall
6make payments to the Department on or before the 7th, 15th,
722nd and last day of the month during which such liability is
8incurred. On and after October 1, 2000, if the taxpayer's
9average monthly tax liability to the Department under this Act,
10the Retailers' Occupation Tax Act, the Service Occupation Tax
11Act, and the Service Use Tax Act was $20,000 or more during the
12preceding 4 complete calendar quarters, he shall file a return
13with the Department each month by the 20th day of the month
14next following the month during which such tax liability is
15incurred and shall make payment to the Department on or before
16the 7th, 15th, 22nd and last day of the month during which such
17liability is incurred. If the month during which such tax
18liability is incurred began prior to January 1, 1985, each
19payment shall be in an amount equal to 1/4 of the taxpayer's
20actual liability for the month or an amount set by the
21Department not to exceed 1/4 of the average monthly liability
22of the taxpayer to the Department for the preceding 4 complete
23calendar quarters (excluding the month of highest liability and
24the month of lowest liability in such 4 quarter period). If the
25month during which such tax liability is incurred begins on or
26after January 1, 1985, and prior to January 1, 1987, each

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1payment shall be in an amount equal to 22.5% of the taxpayer's
2actual liability for the month or 27.5% of the taxpayer's
3liability for the same calendar month of the preceding year. If
4the month during which such tax liability is incurred begins on
5or after January 1, 1987, and prior to January 1, 1988, each
6payment shall be in an amount equal to 22.5% of the taxpayer's
7actual liability for the month or 26.25% of the taxpayer's
8liability for the same calendar month of the preceding year. If
9the month during which such tax liability is incurred begins on
10or after January 1, 1988, and prior to January 1, 1989, or
11begins on or after January 1, 1996, each payment shall be in an
12amount equal to 22.5% of the taxpayer's actual liability for
13the month or 25% of the taxpayer's liability for the same
14calendar month of the preceding year. If the month during which
15such tax liability is incurred begins on or after January 1,
161989, and prior to January 1, 1996, each payment shall be in an
17amount equal to 22.5% of the taxpayer's actual liability for
18the month or 25% of the taxpayer's liability for the same
19calendar month of the preceding year or 100% of the taxpayer's
20actual liability for the quarter monthly reporting period. The
21amount of such quarter monthly payments shall be credited
22against the final tax liability of the taxpayer's return for
23that month. Before October 1, 2000, once applicable, the
24requirement of the making of quarter monthly payments to the
25Department shall continue until such taxpayer's average
26monthly liability to the Department during the preceding 4

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1complete calendar quarters (excluding the month of highest
2liability and the month of lowest liability) is less than
3$9,000, or until such taxpayer's average monthly liability to
4the Department as computed for each calendar quarter of the 4
5preceding complete calendar quarter period is less than
6$10,000. However, if a taxpayer can show the Department that a
7substantial change in the taxpayer's business has occurred
8which causes the taxpayer to anticipate that his average
9monthly tax liability for the reasonably foreseeable future
10will fall below the $10,000 threshold stated above, then such
11taxpayer may petition the Department for change in such
12taxpayer's reporting status. On and after October 1, 2000, once
13applicable, the requirement of the making of quarter monthly
14payments to the Department shall continue until such taxpayer's
15average monthly liability to the Department during the
16preceding 4 complete calendar quarters (excluding the month of
17highest liability and the month of lowest liability) is less
18than $19,000 or until such taxpayer's average monthly liability
19to the Department as computed for each calendar quarter of the
204 preceding complete calendar quarter period is less than
21$20,000. However, if a taxpayer can show the Department that a
22substantial change in the taxpayer's business has occurred
23which causes the taxpayer to anticipate that his average
24monthly tax liability for the reasonably foreseeable future
25will fall below the $20,000 threshold stated above, then such
26taxpayer may petition the Department for a change in such

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1taxpayer's reporting status. The Department shall change such
2taxpayer's reporting status unless it finds that such change is
3seasonal in nature and not likely to be long term. If any such
4quarter monthly payment is not paid at the time or in the
5amount required by this Section, then the taxpayer shall be
6liable for penalties and interest on the difference between the
7minimum amount due and the amount of such quarter monthly
8payment actually and timely paid, except insofar as the
9taxpayer has previously made payments for that month to the
10Department in excess of the minimum payments previously due as
11provided in this Section. The Department shall make reasonable
12rules and regulations to govern the quarter monthly payment
13amount and quarter monthly payment dates for taxpayers who file
14on other than a calendar monthly basis.
15 If any such payment provided for in this Section exceeds
16the taxpayer's liabilities under this Act, the Retailers'
17Occupation Tax Act, the Service Occupation Tax Act and the
18Service Use Tax Act, as shown by an original monthly return,
19the Department shall issue to the taxpayer a credit memorandum
20no later than 30 days after the date of payment, which
21memorandum may be submitted by the taxpayer to the Department
22in payment of tax liability subsequently to be remitted by the
23taxpayer to the Department or be assigned by the taxpayer to a
24similar taxpayer under this Act, the Retailers' Occupation Tax
25Act, the Service Occupation Tax Act or the Service Use Tax Act,
26in accordance with reasonable rules and regulations to be

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1prescribed by the Department, except that if such excess
2payment is shown on an original monthly return and is made
3after December 31, 1986, no credit memorandum shall be issued,
4unless requested by the taxpayer. If no such request is made,
5the taxpayer may credit such excess payment against tax
6liability subsequently to be remitted by the taxpayer to the
7Department under this Act, the Retailers' Occupation Tax Act,
8the Service Occupation Tax Act or the Service Use Tax Act, in
9accordance with reasonable rules and regulations prescribed by
10the Department. If the Department subsequently determines that
11all or any part of the credit taken was not actually due to the
12taxpayer, the taxpayer's 2.1% or 1.75% vendor's discount shall
13be reduced by 2.1% or 1.75% of the difference between the
14credit taken and that actually due, and the taxpayer shall be
15liable for penalties and interest on such difference.
16 If the retailer is otherwise required to file a monthly
17return and if the retailer's average monthly tax liability to
18the Department does not exceed $200, the Department may
19authorize his returns to be filed on a quarter annual basis,
20with the return for January, February, and March of a given
21year being due by April 20 of such year; with the return for
22April, May and June of a given year being due by July 20 of such
23year; with the return for July, August and September of a given
24year being due by October 20 of such year, and with the return
25for October, November and December of a given year being due by
26January 20 of the following year.

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1 If the retailer is otherwise required to file a monthly or
2quarterly return and if the retailer's average monthly tax
3liability to the Department does not exceed $50, the Department
4may authorize his returns to be filed on an annual basis, with
5the return for a given year being due by January 20 of the
6following year.
7 Such quarter annual and annual returns, as to form and
8substance, shall be subject to the same requirements as monthly
9returns.
10 Notwithstanding any other provision in this Act concerning
11the time within which a retailer may file his return, in the
12case of any retailer who ceases to engage in a kind of business
13which makes him responsible for filing returns under this Act,
14such retailer shall file a final return under this Act with the
15Department not more than one month after discontinuing such
16business.
17 In addition, with respect to motor vehicles, watercraft,
18aircraft, and trailers that are required to be registered with
19an agency of this State, every retailer selling this kind of
20tangible personal property shall file, with the Department,
21upon a form to be prescribed and supplied by the Department, a
22separate return for each such item of tangible personal
23property which the retailer sells, except that if, in the same
24transaction, (i) a retailer of aircraft, watercraft, motor
25vehicles or trailers transfers more than one aircraft,
26watercraft, motor vehicle or trailer to another aircraft,

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1watercraft, motor vehicle or trailer retailer for the purpose
2of resale or (ii) a retailer of aircraft, watercraft, motor
3vehicles, or trailers transfers more than one aircraft,
4watercraft, motor vehicle, or trailer to a purchaser for use as
5a qualifying rolling stock as provided in Section 3-55 of this
6Act, then that seller may report the transfer of all the
7aircraft, watercraft, motor vehicles or trailers involved in
8that transaction to the Department on the same uniform
9invoice-transaction reporting return form. For purposes of
10this Section, "watercraft" means a Class 2, Class 3, or Class 4
11watercraft as defined in Section 3-2 of the Boat Registration
12and Safety Act, a personal watercraft, or any boat equipped
13with an inboard motor.
14 The transaction reporting return in the case of motor
15vehicles or trailers that are required to be registered with an
16agency of this State, shall be the same document as the Uniform
17Invoice referred to in Section 5-402 of the Illinois Vehicle
18Code and must show the name and address of the seller; the name
19and address of the purchaser; the amount of the selling price
20including the amount allowed by the retailer for traded-in
21property, if any; the amount allowed by the retailer for the
22traded-in tangible personal property, if any, to the extent to
23which Section 2 of this Act allows an exemption for the value
24of traded-in property; the balance payable after deducting such
25trade-in allowance from the total selling price; the amount of
26tax due from the retailer with respect to such transaction; the

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

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1being sold, but may be filed by the retailer at any time sooner
2than that if he chooses to do so. The transaction reporting
3return and tax remittance or proof of exemption from the tax
4that is imposed by this Act may be transmitted to the
5Department by way of the State agency with which, or State
6officer with whom, the tangible personal property must be
7titled or registered (if titling or registration is required)
8if the Department and such agency or State officer determine
9that this procedure will expedite the processing of
10applications for title or registration.
11 With each such transaction reporting return, the retailer
12shall remit the proper amount of tax due (or shall submit
13satisfactory evidence that the sale is not taxable if that is
14the case), to the Department or its agents, whereupon the
15Department shall issue, in the purchaser's name, a tax receipt
16(or a certificate of exemption if the Department is satisfied
17that the particular sale is tax exempt) which such purchaser
18may submit to the agency with which, or State officer with
19whom, he must title or register the tangible personal property
20that is involved (if titling or registration is required) in
21support of such purchaser's application for an Illinois
22certificate or other evidence of title or registration to such
23tangible personal property.
24 No retailer's failure or refusal to remit tax under this
25Act precludes a user, who has paid the proper tax to the
26retailer, from obtaining his certificate of title or other

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1evidence of title or registration (if titling or registration
2is required) upon satisfying the Department that such user has
3paid the proper tax (if tax is due) to the retailer. The
4Department shall adopt appropriate rules to carry out the
5mandate of this paragraph.
6 If the user who would otherwise pay tax to the retailer
7wants the transaction reporting return filed and the payment of
8tax or proof of exemption made to the Department before the
9retailer is willing to take these actions and such user has not
10paid the tax to the retailer, such user may certify to the fact
11of such delay by the retailer, and may (upon the Department
12being satisfied of the truth of such certification) transmit
13the information required by the transaction reporting return
14and the remittance for tax or proof of exemption directly to
15the Department and obtain his tax receipt or exemption
16determination, in which event the transaction reporting return
17and tax remittance (if a tax payment was required) shall be
18credited by the Department to the proper retailer's account
19with the Department, but without the 2.1% or 1.75% discount
20provided for in this Section being allowed. When the user pays
21the tax directly to the Department, he shall pay the tax in the
22same amount and in the same form in which it would be remitted
23if the tax had been remitted to the Department by the retailer.
24 Where a retailer collects the tax with respect to the
25selling price of tangible personal property which he sells and
26the purchaser thereafter returns such tangible personal

HB0821 Engrossed- 22 -LRB100 06943 HLH 16994 b
1property and the retailer refunds the selling price thereof to
2the purchaser, such retailer shall also refund, to the
3purchaser, the tax so collected from the purchaser. When filing
4his return for the period in which he refunds such tax to the
5purchaser, the retailer may deduct the amount of the tax so
6refunded by him to the purchaser from any other use tax which
7such retailer may be required to pay or remit to the
8Department, as shown by such return, if the amount of the tax
9to be deducted was previously remitted to the Department by
10such retailer. If the retailer has not previously remitted the
11amount of such tax to the Department, he is entitled to no
12deduction under this Act upon refunding such tax to the
13purchaser.
14 Any retailer filing a return under this Section shall also
15include (for the purpose of paying tax thereon) the total tax
16covered by such return upon the selling price of tangible
17personal property purchased by him at retail from a retailer,
18but as to which the tax imposed by this Act was not collected
19from the retailer filing such return, and such retailer shall
20remit the amount of such tax to the Department when filing such
21return.
22 If experience indicates such action to be practicable, the
23Department may prescribe and furnish a combination or joint
24return which will enable retailers, who are required to file
25returns hereunder and also under the Retailers' Occupation Tax
26Act, to furnish all the return information required by both

HB0821 Engrossed- 23 -LRB100 06943 HLH 16994 b
1Acts on the one form.
2 Where the retailer has more than one business registered
3with the Department under separate registration under this Act,
4such retailer may not file each return that is due as a single
5return covering all such registered businesses, but shall file
6separate returns for each such registered business.
7 Beginning January 1, 1990, each month the Department shall
8pay into the State and Local Sales Tax Reform Fund, a special
9fund in the State Treasury which is hereby created, the net
10revenue realized for the preceding month from the 1% tax on
11sales of food for human consumption which is to be consumed off
12the premises where it is sold (other than alcoholic beverages,
13soft drinks and food which has been prepared for immediate
14consumption) and prescription and nonprescription medicines,
15drugs, medical appliances, products classified as Class III
16medical devices by the United States Food and Drug
17Administration that are used for cancer treatment pursuant to a
18prescription, as well as any accessories and components related
19to those devices, and insulin, urine testing materials,
20syringes and needles used by diabetics.
21 Beginning January 1, 1990, each month the Department shall
22pay into the County and Mass Transit District Fund 4% of the
23net revenue realized for the preceding month from the 6.25%
24general rate on the selling price of tangible personal property
25which is purchased outside Illinois at retail from a retailer
26and which is titled or registered by an agency of this State's

HB0821 Engrossed- 24 -LRB100 06943 HLH 16994 b
1government.
2 Beginning January 1, 1990, each month the Department shall
3pay into the State and Local Sales Tax Reform Fund, a special
4fund in the State Treasury, 20% of the net revenue realized for
5the preceding month from the 6.25% general rate on the selling
6price of tangible personal property, other than tangible
7personal property which is purchased outside Illinois at retail
8from a retailer and which is titled or registered by an agency
9of this State's government.
10 Beginning August 1, 2000, each month the Department shall
11pay into the State and Local Sales Tax Reform Fund 100% of the
12net revenue realized for the preceding month from the 1.25%
13rate on the selling price of motor fuel and gasohol. Beginning
14September 1, 2010, each month the Department shall pay into the
15State and Local Sales Tax Reform Fund 100% of the net revenue
16realized for the preceding month from the 1.25% rate on the
17selling price of sales tax holiday items.
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 on
21the selling price of tangible personal property which is
22purchased outside Illinois at retail from a retailer and which
23is titled or registered by an agency of this State's
24government.
25 Beginning October 1, 2009, each month the Department shall
26pay into the Capital Projects Fund an amount that is equal to

HB0821 Engrossed- 25 -LRB100 06943 HLH 16994 b
1an amount estimated by the Department to represent 80% of the
2net revenue realized for the preceding month from the sale of
3candy, grooming and hygiene products, and soft drinks that had
4been taxed at a rate of 1% prior to September 1, 2009 but that
5are now taxed at 6.25%.
6 Beginning July 1, 2011, each month the Department shall pay
7into the Clean Air Act Permit Fund 80% of the net revenue
8realized for the preceding month from the 6.25% general rate on
9the selling price of sorbents used in Illinois in the process
10of sorbent injection as used to comply with the Environmental
11Protection Act or the federal Clean Air Act, but the total
12payment into the Clean Air Act Permit Fund under this Act and
13the Retailers' Occupation Tax Act shall not exceed $2,000,000
14in any fiscal year.
15 Beginning July 1, 2013, each month the Department shall pay
16into the Underground Storage Tank Fund from the proceeds
17collected under this Act, the Service Use Tax Act, the Service
18Occupation Tax Act, and the Retailers' Occupation Tax Act an
19amount equal to the average monthly deficit in the Underground
20Storage Tank Fund during the prior year, as certified annually
21by the Illinois Environmental Protection Agency, but the total
22payment into the Underground Storage Tank Fund under this Act,
23the Service Use Tax Act, the Service Occupation Tax Act, and
24the Retailers' Occupation Tax Act shall not exceed $18,000,000
25in any State fiscal year. As used in this paragraph, the
26"average monthly deficit" shall be equal to the difference

HB0821 Engrossed- 26 -LRB100 06943 HLH 16994 b
1between the average monthly claims for payment by the fund and
2the average monthly revenues deposited into the fund, excluding
3payments made pursuant to this paragraph.
4 Beginning July 1, 2015, of the remainder of the moneys
5received by the Department under this Act, the Service Use Tax
6Act, the Service Occupation Tax Act, and the Retailers'
7Occupation Tax Act, each month the Department shall deposit
8$500,000 into the State Crime Laboratory Fund.
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

HB0821 Engrossed- 27 -LRB100 06943 HLH 16994 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 Bond Account
5in the 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 securing
20Bonds issued and outstanding pursuant to the Build Illinois
21Bond Act is sufficient, taking into account any future
22investment income, to fully provide, in accordance with such
23indenture, 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

HB0821 Engrossed- 28 -LRB100 06943 HLH 16994 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 Fund;
13provided, however, that any amounts paid to the Build Illinois
14Fund in any fiscal year pursuant to this sentence shall be
15deemed to constitute payments pursuant to clause (b) of the
16preceding sentence and shall reduce the amount otherwise
17payable for such fiscal year pursuant to clause (b) of the
18preceding sentence. The moneys received by the Department
19pursuant to this Act and required to be deposited into the
20Build Illinois Fund are subject to the pledge, claim and charge
21set forth in Section 12 of the Build Illinois Bond Act.
22 Subject to payment of amounts into the Build Illinois Fund
23as provided in the preceding paragraph or in any amendment
24thereto hereafter enacted, the following specified monthly
25installment of the amount requested in the certificate of the
26Chairman of the Metropolitan Pier and Exposition Authority

HB0821 Engrossed- 29 -LRB100 06943 HLH 16994 b
1provided under Section 8.25f of the State Finance Act, but not
2in excess of the sums designated as "Total Deposit", shall be
3deposited in the aggregate from collections under Section 9 of
4the Use Tax Act, Section 9 of the Service Use Tax Act, Section
59 of the Service Occupation Tax Act, and Section 3 of the
6Retailers' Occupation Tax Act into the McCormick Place
7Expansion Project Fund in the specified fiscal years.
8Fiscal YearTotal Deposit
91993 $0
101994 53,000,000
111995 58,000,000
121996 61,000,000
131997 64,000,000
141998 68,000,000
151999 71,000,000
162000 75,000,000
172001 80,000,000
182002 93,000,000
192003 99,000,000
202004103,000,000
212005108,000,000
222006113,000,000
232007119,000,000
242008126,000,000
252009132,000,000
262010139,000,000

HB0821 Engrossed- 30 -LRB100 06943 HLH 16994 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
112021246,000,000
122022260,000,000
132023275,000,000
142024 275,000,000
152025 275,000,000
162026 279,000,000
172027 292,000,000
182028 307,000,000
192029 322,000,000
202030 338,000,000
212031 350,000,000
222032 350,000,000
23and
24each fiscal year
25thereafter that bonds
26are outstanding under

HB0821 Engrossed- 31 -LRB100 06943 HLH 16994 b
1Section 13.2 of the
2Metropolitan Pier and
3Exposition Authority Act,
4but not after fiscal year 2060.
5 Beginning July 20, 1993 and in each month of each fiscal
6year thereafter, one-eighth of the amount requested in the
7certificate of the Chairman of the Metropolitan Pier and
8Exposition Authority for that fiscal year, less the amount
9deposited into the McCormick Place Expansion Project Fund by
10the State Treasurer in the respective month under subsection
11(g) of Section 13 of the Metropolitan Pier and Exposition
12Authority Act, plus cumulative deficiencies in the deposits
13required under this Section for previous months and years,
14shall be deposited into the McCormick Place Expansion Project
15Fund, until the full amount requested for the fiscal year, but
16not in excess of the amount specified above as "Total Deposit",
17has been deposited.
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 July 1, 1993 and ending on September 30,
222013, the Department shall each month pay into the Illinois Tax
23Increment Fund 0.27% of 80% of the net revenue realized for the
24preceding month from the 6.25% general rate on the selling
25price of tangible personal property.
26 Subject to payment of amounts into the Build Illinois Fund

HB0821 Engrossed- 32 -LRB100 06943 HLH 16994 b
1and the McCormick Place Expansion Project Fund pursuant to the
2preceding paragraphs or in any amendments thereto hereafter
3enacted, beginning with the receipt of the first report of
4taxes paid by an eligible business and continuing for a 25-year
5period, the Department shall each month pay into the Energy
6Infrastructure Fund 80% of the net revenue realized from the
76.25% general rate on the selling price of Illinois-mined coal
8that was sold to an eligible business. For purposes of this
9paragraph, the term "eligible business" means a new electric
10generating facility certified pursuant to Section 605-332 of
11the Department of Commerce and Economic Opportunity Law of the
12Civil Administrative Code of Illinois.
13 Subject to payment of amounts into the Build Illinois Fund,
14the McCormick Place Expansion Project Fund, the Illinois Tax
15Increment Fund, and the Energy Infrastructure Fund pursuant to
16the preceding paragraphs or in any amendments to this Section
17hereafter enacted, beginning on the first day of the first
18calendar month to occur on or after August 26, 2014 (the
19effective date of Public Act 98-1098) this amendatory Act of
20the 98th General Assembly, each month, from the collections
21made under Section 9 of the Use Tax Act, Section 9 of the
22Service Use Tax Act, Section 9 of the Service Occupation Tax
23Act, and Section 3 of the Retailers' Occupation Tax Act, the
24Department shall pay into the Tax Compliance and Administration
25Fund, to be used, subject to appropriation, to fund additional
26auditors and compliance personnel at the Department of Revenue,

HB0821 Engrossed- 33 -LRB100 06943 HLH 16994 b
1an amount equal to 1/12 of 5% of 80% of the cash receipts
2collected during the preceding fiscal year by the Audit Bureau
3of the Department under the Use Tax Act, the Service Use Tax
4Act, the Service Occupation Tax Act, the Retailers' Occupation
5Tax Act, and associated local occupation and use taxes
6administered by the Department.
7 Of the remainder of the moneys received by the Department
8pursuant to this Act, 75% thereof shall be paid into the State
9Treasury and 25% shall be reserved in a special account and
10used only for the transfer to the Common School Fund as part of
11the monthly transfer from the General Revenue Fund in
12accordance with Section 8a of the State Finance Act.
13 As soon as possible after the first day of each month, upon
14certification of the Department of Revenue, the Comptroller
15shall order transferred and the Treasurer shall transfer from
16the General Revenue Fund to the Motor Fuel Tax Fund an amount
17equal to 1.7% of 80% of the net revenue realized under this Act
18for the second preceding month. Beginning April 1, 2000, this
19transfer is no longer required and shall not be made.
20 Net revenue realized for a month shall be the revenue
21collected by the State pursuant to this Act, less the amount
22paid out during that month as refunds to taxpayers for
23overpayment of liability.
24 For greater simplicity of administration, manufacturers,
25importers and wholesalers whose products are sold at retail in
26Illinois by numerous retailers, and who wish to do so, may

HB0821 Engrossed- 34 -LRB100 06943 HLH 16994 b
1assume the responsibility for accounting and paying to the
2Department all tax accruing under this Act with respect to such
3sales, if the retailers who are affected do not make written
4objection to the Department to this arrangement.
5(Source: P.A. 98-24, eff. 6-19-13; 98-109, eff. 7-25-13;
698-496, eff. 1-1-14; 98-756, eff. 7-16-14; 98-1098, eff.
78-26-14; 99-352, eff. 8-12-15; 99-858, eff. 8-19-16; 99-933,
8eff. 1-27-17; revised 2-3-17.)
9 Section 10. The Service Use Tax Act is amended by changing
10Section 9 as follows:
11 (35 ILCS 110/9) (from Ch. 120, par. 439.39)
12 Sec. 9. Each serviceman required or authorized to collect
13the tax herein imposed shall pay to the Department the amount
14of such tax (except as otherwise provided) at the time when he
15is required to file his return for the period during which such
16tax was collected, less a discount of 2.1% prior to January 1,
171990 and 1.75% on and after January 1, 1990, or $5 per calendar
18year, whichever is greater, which is allowed to reimburse the
19serviceman for expenses incurred in collecting the tax, keeping
20records, preparing and filing returns, remitting the tax and
21supplying data to the Department on request. The discount
22allowed under this Section is allowed only for returns that are
23filed in the manner required by this Act. The Department may
24disallow the discount for servicemen whose certificate of

HB0821 Engrossed- 35 -LRB100 06943 HLH 16994 b
1registration is revoked at the time the return is filed, but
2only if the Department's decision to revoke the certificate of
3registration has become final. A serviceman need not remit that
4part of any tax collected by him to the extent that he is
5required to pay and does pay the tax imposed by the Service
6Occupation Tax Act with respect to his sale of service
7involving the incidental transfer by him of the same property.
8 Except as provided hereinafter in this Section, on or
9before the twentieth day of each calendar month, such
10serviceman shall file a return for the preceding calendar month
11in accordance with reasonable Rules and Regulations to be
12promulgated by the Department. Such return shall be filed on a
13form prescribed by the Department and shall contain such
14information as the Department may reasonably require. On and
15after January 1, 2018, with respect to servicemen whose annual
16gross receipts average $20,000 or more, all returns required to
17be filed pursuant to this Act shall be filed electronically.
18Servicemen who demonstrate that they do not have access to the
19Internet or demonstrate hardship in filing electronically may
20petition the Department to waive the electronic filing
21requirement.
22 The Department may require returns to be filed on a
23quarterly basis. If so required, a return for each calendar
24quarter shall be filed on or before the twentieth day of the
25calendar month following the end of such calendar quarter. The
26taxpayer shall also file a return with the Department for each

HB0821 Engrossed- 36 -LRB100 06943 HLH 16994 b
1of the first two months of each calendar quarter, on or before
2the twentieth day of the following calendar month, stating:
3 1. The name of the seller;
4 2. The address of the principal place of business from
5 which he engages in business as a serviceman in this State;
6 3. The total amount of taxable receipts received by him
7 during the preceding calendar month, including receipts
8 from charge and time sales, but less all deductions allowed
9 by law;
10 4. The amount of credit provided in Section 2d of this
11 Act;
12 5. The amount of tax due;
13 5-5. The signature of the taxpayer; and
14 6. Such other reasonable information as the Department
15 may require.
16 If a taxpayer fails to sign a return within 30 days after
17the proper notice and demand for signature by the Department,
18the return shall be considered valid and any amount shown to be
19due on the return shall be deemed assessed.
20 Beginning October 1, 1993, a taxpayer who has an average
21monthly tax liability of $150,000 or more shall make all
22payments required by rules of the Department by electronic
23funds transfer. Beginning October 1, 1994, a taxpayer who has
24an average monthly tax liability of $100,000 or more shall make
25all payments required by rules of the Department by electronic
26funds transfer. Beginning October 1, 1995, a taxpayer who has

HB0821 Engrossed- 37 -LRB100 06943 HLH 16994 b
1an average monthly tax liability of $50,000 or more shall make
2all payments required by rules of the Department by electronic
3funds transfer. Beginning October 1, 2000, a taxpayer who has
4an annual tax liability of $200,000 or more shall make all
5payments required by rules of the Department by electronic
6funds transfer. The term "annual tax liability" shall be the
7sum of the taxpayer's liabilities under this Act, and under all
8other State and local occupation and use tax laws administered
9by the Department, for the immediately preceding calendar year.
10The term "average monthly tax liability" means the sum of the
11taxpayer's liabilities under this Act, and under all other
12State and local occupation and use tax laws administered by the
13Department, for the immediately preceding calendar year
14divided by 12. Beginning on October 1, 2002, a taxpayer who has
15a tax liability in the amount set forth in subsection (b) of
16Section 2505-210 of the Department of Revenue Law shall make
17all payments required by rules of the Department by electronic
18funds transfer.
19 Before August 1 of each year beginning in 1993, the
20Department shall notify all taxpayers required to make payments
21by electronic funds transfer. All taxpayers required to make
22payments by electronic funds transfer shall make those payments
23for a minimum of one year beginning on October 1.
24 Any taxpayer not required to make payments by electronic
25funds transfer may make payments by electronic funds transfer
26with the permission of the Department.

HB0821 Engrossed- 38 -LRB100 06943 HLH 16994 b
1 All taxpayers required to make payment by electronic funds
2transfer and any taxpayers authorized to voluntarily make
3payments by electronic funds transfer shall make those payments
4in the manner authorized by the Department.
5 The Department shall adopt such rules as are necessary to
6effectuate a program of electronic funds transfer and the
7requirements of this Section.
8 If the serviceman is otherwise required to file a monthly
9return and if the serviceman's average monthly tax liability to
10the Department does not exceed $200, the Department may
11authorize his returns to be filed on a quarter annual basis,
12with the return for January, February and March of a given year
13being due by April 20 of such year; with the return for April,
14May and June of a given year being due by July 20 of such year;
15with the return for July, August and September of a given year
16being due by October 20 of such year, and with the return for
17October, November and December of a given year being due by
18January 20 of the following year.
19 If the serviceman is otherwise required to file a monthly
20or quarterly return and if the serviceman's average monthly tax
21liability to the Department does not exceed $50, the Department
22may authorize his returns to be filed on an annual basis, with
23the return for a given year being due by January 20 of the
24following year.
25 Such quarter annual and annual returns, as to form and
26substance, shall be subject to the same requirements as monthly

HB0821 Engrossed- 39 -LRB100 06943 HLH 16994 b
1returns.
2 Notwithstanding any other provision in this Act concerning
3the time within which a serviceman may file his return, in the
4case of any serviceman who ceases to engage in a kind of
5business which makes him responsible for filing returns under
6this Act, such serviceman shall file a final return under this
7Act with the Department not more than 1 month after
8discontinuing such business.
9 Where a serviceman collects the tax with respect to the
10selling price of property which he sells and the purchaser
11thereafter returns such property and the serviceman refunds the
12selling price thereof to the purchaser, such serviceman shall
13also refund, to the purchaser, the tax so collected from the
14purchaser. When filing his return for the period in which he
15refunds such tax to the purchaser, the serviceman may deduct
16the amount of the tax so refunded by him to the purchaser from
17any other Service Use Tax, Service Occupation Tax, retailers'
18occupation tax or use tax which such serviceman may be required
19to pay or remit to the Department, as shown by such return,
20provided that the amount of the tax to be deducted shall
21previously have been remitted to the Department by such
22serviceman. If the serviceman shall not previously have
23remitted the amount of such tax to the Department, he shall be
24entitled to no deduction hereunder upon refunding such tax to
25the purchaser.
26 Any serviceman filing a return hereunder shall also include

HB0821 Engrossed- 40 -LRB100 06943 HLH 16994 b
1the total tax upon the selling price of tangible personal
2property purchased for use by him as an incident to a sale of
3service, and such serviceman shall remit the amount of such tax
4to the Department when filing such return.
5 If experience indicates such action to be practicable, the
6Department may prescribe and furnish a combination or joint
7return which will enable servicemen, who are required to file
8returns hereunder and also under the Service Occupation Tax
9Act, to furnish all the return information required by both
10Acts on the one form.
11 Where the serviceman has more than one business registered
12with the Department under separate registration hereunder,
13such serviceman shall not file each return that is due as a
14single return covering all such registered businesses, but
15shall file separate returns for each such registered business.
16 Beginning January 1, 1990, each month the Department shall
17pay into the State and Local Tax Reform Fund, a special fund in
18the State Treasury, the net revenue realized for the preceding
19month from the 1% tax on sales of food for human consumption
20which is to be consumed off the premises where it is sold
21(other than alcoholic beverages, soft drinks and food which has
22been prepared for immediate consumption) and prescription and
23nonprescription medicines, drugs, medical appliances, products
24classified as Class III medical devices, by the United States
25Food and Drug Administration that are used for cancer treatment
26pursuant to a prescription, as well as any accessories and

HB0821 Engrossed- 41 -LRB100 06943 HLH 16994 b
1components related to those devices, and insulin, urine testing
2materials, syringes and needles used by diabetics.
3 Beginning January 1, 1990, each month the Department shall
4pay into the State and Local Sales Tax Reform Fund 20% of the
5net revenue realized for the preceding month from the 6.25%
6general rate on transfers of tangible personal property, other
7than tangible personal property which is purchased outside
8Illinois at retail from a retailer and which is titled or
9registered by an agency of this State's government.
10 Beginning August 1, 2000, each month the Department shall
11pay into the State and Local Sales Tax Reform Fund 100% of the
12net revenue realized for the preceding month from the 1.25%
13rate on the selling price of motor fuel and gasohol.
14 Beginning October 1, 2009, each month the Department shall
15pay into the Capital Projects Fund an amount that is equal to
16an amount estimated by the Department to represent 80% of the
17net revenue realized for the preceding month from the sale of
18candy, grooming and hygiene products, and soft drinks that had
19been taxed at a rate of 1% prior to September 1, 2009 but that
20are now taxed at 6.25%.
21 Beginning July 1, 2013, each month the Department shall pay
22into the Underground Storage Tank Fund from the proceeds
23collected under this Act, the Use Tax Act, the Service
24Occupation Tax Act, and the Retailers' Occupation Tax Act an
25amount equal to the average monthly deficit in the Underground
26Storage Tank Fund during the prior year, as certified annually

HB0821 Engrossed- 42 -LRB100 06943 HLH 16994 b
1by the Illinois Environmental Protection Agency, but the total
2payment into the Underground Storage Tank Fund under this Act,
3the Use Tax Act, the Service Occupation Tax Act, and the
4Retailers' Occupation Tax Act shall not exceed $18,000,000 in
5any State fiscal year. As used in this paragraph, the "average
6monthly deficit" shall be equal to the difference between the
7average monthly claims for payment by the fund and the average
8monthly revenues deposited into the fund, excluding payments
9made pursuant to this paragraph.
10 Beginning July 1, 2015, of the remainder of the moneys
11received by the Department under the Use Tax Act, this Act, the
12Service Occupation Tax Act, and the Retailers' Occupation Tax
13Act, each month the Department shall deposit $500,000 into the
14State Crime Laboratory Fund.
15 Of the remainder of the moneys received by the Department
16pursuant to this Act, (a) 1.75% thereof shall be paid into the
17Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
18and after July 1, 1989, 3.8% thereof shall be paid into the
19Build Illinois Fund; provided, however, that if in any fiscal
20year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
21may be, of the moneys received by the Department and required
22to be paid into the Build Illinois Fund pursuant to Section 3
23of the Retailers' Occupation Tax Act, Section 9 of the Use Tax
24Act, Section 9 of the Service Use Tax Act, and Section 9 of the
25Service Occupation Tax Act, such Acts being hereinafter called
26the "Tax Acts" and such aggregate of 2.2% or 3.8%, as the case

HB0821 Engrossed- 43 -LRB100 06943 HLH 16994 b
1may be, of moneys being hereinafter called the "Tax Act
2Amount", and (2) the amount transferred to the Build Illinois
3Fund from the State and Local Sales Tax Reform Fund shall be
4less than the Annual Specified Amount (as defined in Section 3
5of the Retailers' Occupation Tax Act), an amount equal to the
6difference shall be immediately paid into the Build Illinois
7Fund from other moneys received by the Department pursuant to
8the Tax Acts; and further provided, that if on the last
9business day of any month the sum of (1) the Tax Act Amount
10required to be deposited into the Build Illinois Bond Account
11in the Build Illinois Fund during such month and (2) the amount
12transferred during such month to the Build Illinois Fund from
13the State and Local Sales Tax Reform Fund shall have been less
14than 1/12 of the Annual Specified Amount, an amount equal to
15the difference shall be immediately paid into the Build
16Illinois Fund from other moneys received by the Department
17pursuant to the Tax Acts; and, further provided, that in no
18event shall the payments required under the preceding proviso
19result in aggregate payments into the Build Illinois Fund
20pursuant to this clause (b) for any fiscal year in excess of
21the greater of (i) the Tax Act Amount or (ii) the Annual
22Specified Amount for such fiscal year; and, further provided,
23that the amounts payable into the Build Illinois Fund under
24this clause (b) shall be payable only until such time as the
25aggregate amount on deposit under each trust indenture securing
26Bonds issued and outstanding pursuant to the Build Illinois

HB0821 Engrossed- 44 -LRB100 06943 HLH 16994 b
1Bond Act is sufficient, taking into account any future
2investment income, to fully provide, in accordance with such
3indenture, for the defeasance of or the payment of the
4principal of, premium, if any, and interest on the Bonds
5secured by such indenture and on any Bonds expected to be
6issued thereafter and all fees and costs payable with respect
7thereto, all as certified by the Director of the Bureau of the
8Budget (now Governor's Office of Management and Budget). If on
9the last business day of any month in which Bonds are
10outstanding pursuant to the Build Illinois Bond Act, the
11aggregate of the moneys deposited in the Build Illinois Bond
12Account in the Build Illinois Fund in such month shall be less
13than the amount required to be transferred in such month from
14the Build Illinois Bond Account to the Build Illinois Bond
15Retirement and Interest Fund pursuant to Section 13 of the
16Build Illinois Bond Act, an amount equal to such deficiency
17shall be immediately paid from other moneys received by the
18Department pursuant to the Tax Acts to the Build Illinois Fund;
19provided, however, that any amounts paid to the Build Illinois
20Fund in any fiscal year pursuant to this sentence shall be
21deemed to constitute payments pursuant to clause (b) of the
22preceding sentence and shall reduce the amount otherwise
23payable for such fiscal year pursuant to clause (b) of the
24preceding sentence. The moneys received by the Department
25pursuant to this Act and required to be deposited into the
26Build Illinois Fund are subject to the pledge, claim and charge

HB0821 Engrossed- 45 -LRB100 06943 HLH 16994 b
1set forth in Section 12 of the Build Illinois Bond Act.
2 Subject to payment of amounts into the Build Illinois Fund
3as provided in the preceding paragraph or in any amendment
4thereto hereafter enacted, the following specified monthly
5installment of the amount requested in the certificate of the
6Chairman of the Metropolitan Pier and Exposition Authority
7provided under Section 8.25f of the State Finance Act, but not
8in excess of the sums designated as "Total Deposit", shall be
9deposited in the aggregate from collections under Section 9 of
10the Use Tax Act, Section 9 of the Service Use Tax Act, Section
119 of the Service Occupation Tax Act, and Section 3 of the
12Retailers' Occupation Tax Act into the McCormick Place
13Expansion Project Fund in the specified fiscal years.
14Fiscal YearTotal Deposit
151993 $0
161994 53,000,000
171995 58,000,000
181996 61,000,000
191997 64,000,000
201998 68,000,000
211999 71,000,000
222000 75,000,000
232001 80,000,000
242002 93,000,000
252003 99,000,000

HB0821 Engrossed- 46 -LRB100 06943 HLH 16994 b
12004103,000,000
22005108,000,000
32006113,000,000
42007119,000,000
52008126,000,000
62009132,000,000
72010139,000,000
82011146,000,000
92012153,000,000
102013161,000,000
112014170,000,000
122015179,000,000
132016189,000,000
142017199,000,000
152018210,000,000
162019221,000,000
172020233,000,000
182021246,000,000
192022260,000,000
202023275,000,000
212024 275,000,000
222025 275,000,000
232026 279,000,000
242027 292,000,000
252028 307,000,000
262029 322,000,000

HB0821 Engrossed- 47 -LRB100 06943 HLH 16994 b
12030 338,000,000
22031 350,000,000
32032 350,000,000
4and
5each fiscal year
6thereafter that bonds
7are outstanding under
8Section 13.2 of the
9Metropolitan Pier and
10Exposition Authority Act,
11but not after fiscal year 2060.
12 Beginning July 20, 1993 and in each month of each fiscal
13year thereafter, one-eighth of the amount requested in the
14certificate of the Chairman of the Metropolitan Pier and
15Exposition Authority for that fiscal year, less the amount
16deposited into the McCormick Place Expansion Project Fund by
17the State Treasurer in the respective month under subsection
18(g) of Section 13 of the Metropolitan Pier and Exposition
19Authority Act, plus cumulative deficiencies in the deposits
20required under this Section for previous months and years,
21shall be deposited into the McCormick Place Expansion Project
22Fund, until the full amount requested for the fiscal year, but
23not in excess of the amount specified above as "Total Deposit",
24has been deposited.
25 Subject to payment of amounts into the Build Illinois Fund
26and the McCormick Place Expansion Project Fund pursuant to the

HB0821 Engrossed- 48 -LRB100 06943 HLH 16994 b
1preceding paragraphs or in any amendments thereto hereafter
2enacted, beginning July 1, 1993 and ending on September 30,
32013, the Department shall each month pay into the Illinois Tax
4Increment Fund 0.27% of 80% of the net revenue realized for the
5preceding month from the 6.25% general rate on the selling
6price of tangible personal property.
7 Subject to payment of amounts into the Build Illinois Fund
8and the McCormick Place Expansion Project Fund pursuant to the
9preceding paragraphs or in any amendments thereto hereafter
10enacted, beginning with the receipt of the first report of
11taxes paid by an eligible business and continuing for a 25-year
12period, the Department shall each month pay into the Energy
13Infrastructure Fund 80% of the net revenue realized from the
146.25% general rate on the selling price of Illinois-mined coal
15that was sold to an eligible business. For purposes of this
16paragraph, the term "eligible business" means a new electric
17generating facility certified pursuant to Section 605-332 of
18the Department of Commerce and Economic Opportunity Law of the
19Civil Administrative Code of Illinois.
20 Subject to payment of amounts into the Build Illinois Fund,
21the McCormick Place Expansion Project Fund, the Illinois Tax
22Increment Fund, and the Energy Infrastructure Fund pursuant to
23the preceding paragraphs or in any amendments to this Section
24hereafter enacted, beginning on the first day of the first
25calendar month to occur on or after the effective date of this
26amendatory Act of the 98th General Assembly, each month, from

HB0821 Engrossed- 49 -LRB100 06943 HLH 16994 b
1the collections made under Section 9 of the Use Tax Act,
2Section 9 of the Service Use Tax Act, Section 9 of the Service
3Occupation Tax Act, and Section 3 of the Retailers' Occupation
4Tax Act, the Department shall pay into the Tax Compliance and
5Administration Fund, to be used, subject to appropriation, to
6fund additional auditors and compliance personnel at the
7Department of Revenue, an amount equal to 1/12 of 5% of 80% of
8the cash receipts collected during the preceding fiscal year by
9the Audit Bureau of the Department under the Use Tax Act, the
10Service Use Tax Act, the Service Occupation Tax Act, the
11Retailers' Occupation Tax Act, and associated local occupation
12and use taxes administered by the Department.
13 Of the remainder of the moneys received by the Department
14pursuant to this Act, 75% thereof shall be paid into the
15General Revenue Fund of the State Treasury and 25% shall be
16reserved in a special account and used only for the transfer to
17the Common School Fund as part of the monthly transfer from the
18General Revenue Fund in accordance with Section 8a of the State
19Finance Act.
20 As soon as possible after the first day of each month, upon
21certification of the Department of Revenue, the Comptroller
22shall order transferred and the Treasurer shall transfer from
23the General Revenue Fund to the Motor Fuel Tax Fund an amount
24equal to 1.7% of 80% of the net revenue realized under this Act
25for the second preceding month. Beginning April 1, 2000, this
26transfer is no longer required and shall not be made.

HB0821 Engrossed- 50 -LRB100 06943 HLH 16994 b
1 Net revenue realized for a month shall be the revenue
2collected by the State pursuant to this Act, less the amount
3paid out during that month as refunds to taxpayers for
4overpayment of liability.
5(Source: P.A. 98-24, eff. 6-19-13; 98-109, eff. 7-25-13;
698-298, eff. 8-9-13; 98-496, eff. 1-1-14; 98-756, eff. 7-16-14;
798-1098, eff. 8-26-14; 99-352, eff. 8-12-15; 99-858, eff.
88-19-16.)
9 Section 15. The Service Occupation Tax Act is amended by
10changing Section 9 as follows:
11 (35 ILCS 115/9) (from Ch. 120, par. 439.109)
12 Sec. 9. Each serviceman required or authorized to collect
13the tax herein imposed shall pay to the Department the amount
14of such tax at the time when he is required to file his return
15for the period during which such tax was collectible, less a
16discount of 2.1% prior to January 1, 1990, and 1.75% on and
17after January 1, 1990, or $5 per calendar year, whichever is
18greater, which is allowed to reimburse the serviceman for
19expenses incurred in collecting the tax, keeping records,
20preparing and filing returns, remitting the tax and supplying
21data to the Department on request. The discount allowed under
22this Section is allowed only for returns that are filed in the
23manner required by this Act. The Department may disallow the
24discount for servicemen whose certificate of registration is

HB0821 Engrossed- 51 -LRB100 06943 HLH 16994 b
1revoked at the time the return is filed, but only if the
2Department's decision to revoke the certificate of
3registration has become final.
4 Where such tangible personal property is sold under a
5conditional sales contract, or under any other form of sale
6wherein the payment of the principal sum, or a part thereof, is
7extended beyond the close of the period for which the return is
8filed, the serviceman, in collecting the tax may collect, for
9each tax return period, only the tax applicable to the part of
10the selling price actually received during such tax return
11period.
12 Except as provided hereinafter in this Section, on or
13before the twentieth day of each calendar month, such
14serviceman shall file a return for the preceding calendar month
15in accordance with reasonable rules and regulations to be
16promulgated by the Department of Revenue. Such return shall be
17filed on a form prescribed by the Department and shall contain
18such information as the Department may reasonably require. On
19and after January 1, 2018, with respect to servicemen whose
20annual gross receipts average $20,000 or more, all returns
21required to be filed pursuant to this Act shall be filed
22electronically. Servicemen who demonstrate that they do not
23have access to the Internet or demonstrate hardship in filing
24electronically may petition the Department to waive the
25electronic filing requirement.
26 The Department may require returns to be filed on a

HB0821 Engrossed- 52 -LRB100 06943 HLH 16994 b
1quarterly basis. If so required, a return for each calendar
2quarter shall be filed on or before the twentieth day of the
3calendar month following the end of such calendar quarter. The
4taxpayer shall also file a return with the Department for each
5of the first two months of each calendar quarter, on or before
6the twentieth day of the following calendar month, stating:
7 1. The name of the seller;
8 2. The address of the principal place of business from
9 which he engages in business as a serviceman in this State;
10 3. The total amount of taxable receipts received by him
11 during the preceding calendar month, including receipts
12 from charge and time sales, but less all deductions allowed
13 by law;
14 4. The amount of credit provided in Section 2d of this
15 Act;
16 5. The amount of tax due;
17 5-5. The signature of the taxpayer; and
18 6. Such other reasonable information as the Department
19 may require.
20 If a taxpayer fails to sign a return within 30 days after
21the proper notice and demand for signature by the Department,
22the return shall be considered valid and any amount shown to be
23due on the return shall be deemed assessed.
24 Prior to October 1, 2003, and on and after September 1,
252004 a serviceman may accept a Manufacturer's Purchase Credit
26certification from a purchaser in satisfaction of Service Use

HB0821 Engrossed- 53 -LRB100 06943 HLH 16994 b
1Tax as provided in Section 3-70 of the Service Use Tax Act if
2the purchaser provides the appropriate documentation as
3required by Section 3-70 of the Service Use Tax Act. A
4Manufacturer's Purchase Credit certification, accepted prior
5to October 1, 2003 or on or after September 1, 2004 by a
6serviceman as provided in Section 3-70 of the Service Use Tax
7Act, may be used by that serviceman to satisfy Service
8Occupation Tax liability in the amount claimed in the
9certification, not to exceed 6.25% of the receipts subject to
10tax 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, 2004.
16No Manufacturer's Purchase Credit may be used after September
1730, 2003 through August 31, 2004 to satisfy any tax liability
18imposed under this Act, including any audit liability.
19 If the serviceman's average monthly tax liability to the
20Department does not exceed $200, the Department may authorize
21his returns to be filed on a quarter annual basis, with the
22return for January, February and March of a given year being
23due by April 20 of such year; with the return for April, May
24and June of a given year being due by July 20 of such year; with
25the return for July, August and September of a given year being
26due by October 20 of such year, and with the return for

HB0821 Engrossed- 54 -LRB100 06943 HLH 16994 b
1October, November and December of a given year being due by
2January 20 of the following year.
3 If the serviceman's average monthly tax liability to the
4Department does not exceed $50, the Department may authorize
5his returns to be filed on an annual basis, with the return for
6a given year being due by January 20 of the following year.
7 Such quarter annual and annual returns, as to form and
8substance, shall be subject to the same requirements as monthly
9returns.
10 Notwithstanding any other provision in this Act concerning
11the time within which a serviceman may file his return, in the
12case of any serviceman who ceases to engage in a kind of
13business which makes him responsible for filing returns under
14this Act, such serviceman shall file a final return under this
15Act with the Department not more than 1 month after
16discontinuing such business.
17 Beginning October 1, 1993, a taxpayer who has an average
18monthly tax liability of $150,000 or more shall make all
19payments required by rules of the Department by electronic
20funds transfer. Beginning October 1, 1994, a taxpayer who has
21an average monthly tax liability of $100,000 or more shall make
22all payments required by rules of the Department by electronic
23funds transfer. Beginning October 1, 1995, a taxpayer who has
24an average monthly tax liability of $50,000 or more shall make
25all payments required by rules of the Department by electronic
26funds transfer. Beginning October 1, 2000, a taxpayer who has

HB0821 Engrossed- 55 -LRB100 06943 HLH 16994 b
1an annual tax liability of $200,000 or more shall make all
2payments required by rules of the Department by electronic
3funds transfer. The term "annual tax liability" shall be the
4sum of the taxpayer's liabilities under this Act, and under all
5other State and local occupation and use tax laws administered
6by the Department, for the immediately preceding calendar year.
7The term "average monthly tax liability" means the sum of the
8taxpayer's liabilities under this Act, and under all other
9State and local occupation and use tax laws administered by the
10Department, for the immediately preceding calendar year
11divided by 12. Beginning on October 1, 2002, a taxpayer who has
12a tax liability in the amount set forth in subsection (b) of
13Section 2505-210 of the Department of Revenue Law shall make
14all payments required by rules of the Department by electronic
15funds transfer.
16 Before August 1 of each year beginning in 1993, the
17Department shall notify all taxpayers required to make payments
18by electronic funds transfer. All taxpayers required to make
19payments by electronic funds transfer shall make those payments
20for a minimum of one year beginning on October 1.
21 Any taxpayer not required to make payments by electronic
22funds transfer may make payments by electronic funds transfer
23with the permission of the Department.
24 All taxpayers required to make payment by electronic funds
25transfer and any taxpayers authorized to voluntarily make
26payments by electronic funds transfer shall make those payments

HB0821 Engrossed- 56 -LRB100 06943 HLH 16994 b
1in the manner authorized by the Department.
2 The Department shall adopt such rules as are necessary to
3effectuate a program of electronic funds transfer and the
4requirements of this Section.
5 Where a serviceman 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 serviceman refunds the selling price thereof
9to the purchaser, such serviceman shall also refund, to the
10purchaser, the tax so collected from the purchaser. When filing
11his return for the period in which he refunds such tax to the
12purchaser, the serviceman may deduct the amount of the tax so
13refunded by him to the purchaser from any other Service
14Occupation Tax, Service Use Tax, Retailers' Occupation Tax or
15Use Tax which such serviceman may be required to pay or remit
16to the Department, as shown by such return, provided that the
17amount of the tax to be deducted shall previously have been
18remitted to the Department by such serviceman. If the
19serviceman shall not previously have remitted the amount of
20such tax to the Department, he shall be entitled to no
21deduction hereunder upon refunding such tax to the purchaser.
22 If experience indicates such action to be practicable, the
23Department may prescribe and furnish a combination or joint
24return which will enable servicemen, who are required to file
25returns hereunder and also under the Retailers' Occupation Tax
26Act, the Use Tax Act or the Service Use Tax Act, to furnish all

HB0821 Engrossed- 57 -LRB100 06943 HLH 16994 b
1the return information required by all said Acts on the one
2form.
3 Where the serviceman has more than one business registered
4with the Department under separate registrations hereunder,
5such serviceman shall file separate returns for each registered
6business.
7 Beginning January 1, 1990, each month the Department shall
8pay into the Local Government Tax Fund the revenue realized for
9the preceding month from the 1% tax on sales of food for human
10consumption which is to be consumed off the premises where it
11is sold (other than alcoholic beverages, soft drinks and food
12which has been prepared for immediate consumption) and
13prescription and nonprescription medicines, drugs, medical
14appliances, products classified as Class III medical devices by
15the United States Food and Drug Administration that are used
16for cancer treatment pursuant to a prescription, as well as any
17accessories and components related to those devices, and
18insulin, urine testing materials, syringes and needles used by
19diabetics.
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% general
23rate.
24 Beginning August 1, 2000, each month the Department shall
25pay into the County and Mass Transit District Fund 20% of the
26net revenue realized for the preceding month from the 1.25%

HB0821 Engrossed- 58 -LRB100 06943 HLH 16994 b
1rate on the selling price of motor fuel and gasohol.
2 Beginning January 1, 1990, each month the Department shall
3pay into the Local Government Tax Fund 16% of the revenue
4realized for the preceding month from the 6.25% general rate on
5transfers of tangible personal property.
6 Beginning August 1, 2000, each month the Department shall
7pay into the Local Government Tax Fund 80% of the net revenue
8realized for the preceding month from the 1.25% rate on the
9selling price of motor fuel and gasohol.
10 Beginning October 1, 2009, each month the Department shall
11pay into the Capital Projects Fund an amount that is equal to
12an amount estimated by the Department to represent 80% of the
13net revenue realized for the preceding month from the sale of
14candy, grooming and hygiene products, and soft drinks that had
15been taxed at a rate of 1% prior to September 1, 2009 but that
16are now taxed at 6.25%.
17 Beginning July 1, 2013, each month the Department shall pay
18into the Underground Storage Tank Fund from the proceeds
19collected under this Act, the Use Tax Act, the Service Use Tax
20Act, and the Retailers' Occupation Tax Act an amount equal to
21the average monthly deficit in the Underground Storage Tank
22Fund during the prior year, as certified annually by the
23Illinois Environmental Protection Agency, but the total
24payment into the Underground Storage Tank Fund under this Act,
25the Use Tax Act, the Service Use Tax Act, and the Retailers'
26Occupation Tax Act shall not exceed $18,000,000 in any State

HB0821 Engrossed- 59 -LRB100 06943 HLH 16994 b
1fiscal year. As used in this paragraph, the "average monthly
2deficit" shall be equal to the difference between the average
3monthly claims for payment by the fund and the average monthly
4revenues deposited into the fund, excluding payments made
5pursuant to this paragraph.
6 Beginning July 1, 2015, of the remainder of the moneys
7received by the Department under the Use Tax Act, the Service
8Use Tax Act, this Act, and the Retailers' Occupation Tax Act,
9each month the Department shall deposit $500,000 into the State
10Crime Laboratory Fund.
11 Of the remainder of the moneys received by the Department
12pursuant to this Act, (a) 1.75% thereof shall be paid into the
13Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
14and after July 1, 1989, 3.8% thereof shall be paid into the
15Build Illinois Fund; provided, however, that if in any fiscal
16year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
17may be, of the moneys received by the Department and required
18to be paid into the Build Illinois Fund pursuant to Section 3
19of the Retailers' Occupation Tax Act, Section 9 of the Use Tax
20Act, Section 9 of the Service Use Tax Act, and Section 9 of the
21Service Occupation Tax Act, such Acts being hereinafter called
22the "Tax Acts" and such aggregate of 2.2% or 3.8%, as the case
23may be, of moneys being hereinafter called the "Tax Act
24Amount", and (2) the amount transferred to the Build Illinois
25Fund from the State and Local Sales Tax Reform Fund shall be
26less than the Annual Specified Amount (as defined in Section 3

HB0821 Engrossed- 60 -LRB100 06943 HLH 16994 b
1of the Retailers' Occupation Tax Act), an amount equal to the
2difference shall be immediately paid into the Build Illinois
3Fund from other moneys received by the Department pursuant to
4the Tax Acts; and further provided, that if on the last
5business day of any month the sum of (1) the Tax Act Amount
6required to be deposited into the Build Illinois Account in the
7Build Illinois Fund during such month and (2) the amount
8transferred during such month to the Build Illinois Fund from
9the State and Local Sales Tax Reform Fund shall have been less
10than 1/12 of the Annual Specified Amount, an amount equal to
11the difference shall be immediately paid into the Build
12Illinois Fund from other moneys received by the Department
13pursuant to the Tax Acts; and, further provided, that in no
14event shall the payments required under the preceding proviso
15result in aggregate payments into the Build Illinois Fund
16pursuant to this clause (b) for any fiscal year in excess of
17the greater of (i) the Tax Act Amount or (ii) the Annual
18Specified Amount for such fiscal year; and, further provided,
19that the amounts payable into the Build Illinois Fund under
20this clause (b) shall be payable only until such time as the
21aggregate amount on deposit under each trust indenture securing
22Bonds issued and outstanding pursuant to the Build Illinois
23Bond Act is sufficient, taking into account any future
24investment income, to fully provide, in accordance with such
25indenture, for the defeasance of or the payment of the
26principal of, premium, if any, and interest on the Bonds

HB0821 Engrossed- 61 -LRB100 06943 HLH 16994 b
1secured by such indenture and on any Bonds expected to be
2issued thereafter and all fees and costs payable with respect
3thereto, all as certified by the Director of the Bureau of the
4Budget (now Governor's Office of Management and Budget). If on
5the last business day of any month in which Bonds are
6outstanding pursuant to the Build Illinois Bond Act, the
7aggregate of the moneys deposited in the Build Illinois Bond
8Account in the Build Illinois Fund in such month shall be less
9than the amount required to be transferred in such month from
10the Build Illinois Bond Account to the Build Illinois Bond
11Retirement and Interest Fund pursuant to Section 13 of the
12Build Illinois Bond Act, an amount equal to such deficiency
13shall be immediately paid from other moneys received by the
14Department pursuant to the Tax Acts to the Build Illinois Fund;
15provided, however, that any amounts paid to the Build Illinois
16Fund in any fiscal year pursuant to this sentence shall be
17deemed to constitute payments pursuant to clause (b) of the
18preceding sentence and shall reduce the amount otherwise
19payable for such fiscal year pursuant to clause (b) of the
20preceding sentence. The moneys received by the Department
21pursuant to this Act and required to be deposited into the
22Build Illinois Fund are subject to the pledge, claim and charge
23set forth in Section 12 of the Build Illinois Bond Act.
24 Subject to payment of amounts into the Build Illinois Fund
25as provided in the preceding paragraph or in any amendment
26thereto hereafter enacted, the following specified monthly

HB0821 Engrossed- 62 -LRB100 06943 HLH 16994 b
1installment of the amount requested in the certificate of the
2Chairman of the Metropolitan Pier and Exposition Authority
3provided under Section 8.25f of the State Finance Act, but not
4in excess of the sums designated as "Total Deposit", shall be
5deposited in the aggregate from collections under Section 9 of
6the Use Tax Act, Section 9 of the Service Use Tax Act, Section
79 of the Service Occupation Tax Act, and Section 3 of the
8Retailers' Occupation Tax Act into the McCormick Place
9Expansion Project Fund in the specified fiscal years.
10Fiscal YearTotal Deposit
111993 $0
121994 53,000,000
131995 58,000,000
141996 61,000,000
151997 64,000,000
161998 68,000,000
171999 71,000,000
182000 75,000,000
192001 80,000,000
202002 93,000,000
212003 99,000,000
222004103,000,000
232005108,000,000
242006113,000,000
252007119,000,000

HB0821 Engrossed- 63 -LRB100 06943 HLH 16994 b
12008126,000,000
22009132,000,000
32010139,000,000
42011146,000,000
52012153,000,000
62013161,000,000
72014170,000,000
82015179,000,000
92016189,000,000
102017199,000,000
112018210,000,000
122019221,000,000
132020233,000,000
142021246,000,000
152022260,000,000
162023275,000,000
172024 275,000,000
182025 275,000,000
192026 279,000,000
202027 292,000,000
212028 307,000,000
222029 322,000,000
232030 338,000,000
242031 350,000,000
252032 350,000,000
26and

HB0821 Engrossed- 64 -LRB100 06943 HLH 16994 b
1each fiscal year
2thereafter that bonds
3are outstanding under
4Section 13.2 of the
5Metropolitan Pier and
6Exposition Authority Act,
7but not after fiscal year 2060.
8 Beginning July 20, 1993 and in each month of each fiscal
9year thereafter, one-eighth of the amount requested in the
10certificate of the Chairman of the Metropolitan Pier and
11Exposition Authority for that fiscal year, less the amount
12deposited into the McCormick Place Expansion Project Fund by
13the State Treasurer in the respective month under subsection
14(g) of Section 13 of the Metropolitan Pier and Exposition
15Authority Act, plus cumulative deficiencies in the deposits
16required under this Section for previous months and years,
17shall be deposited into the McCormick Place Expansion Project
18Fund, until the full amount requested for the fiscal year, but
19not in excess of the amount specified above as "Total Deposit",
20has been deposited.
21 Subject to payment of amounts into the Build Illinois Fund
22and the McCormick Place Expansion Project Fund pursuant to the
23preceding paragraphs or in any amendments thereto hereafter
24enacted, beginning July 1, 1993 and ending on September 30,
252013, the Department shall each month pay into the Illinois Tax
26Increment Fund 0.27% of 80% of the net revenue realized for the

HB0821 Engrossed- 65 -LRB100 06943 HLH 16994 b
1preceding month from the 6.25% general rate on the selling
2price of tangible personal property.
3 Subject to payment of amounts into the Build Illinois Fund
4and the McCormick Place Expansion Project Fund pursuant to the
5preceding paragraphs or in any amendments thereto hereafter
6enacted, beginning with the receipt of the first report of
7taxes paid by an eligible business and continuing for a 25-year
8period, the Department shall each month pay into the Energy
9Infrastructure Fund 80% of the net revenue realized from the
106.25% general rate on the selling price of Illinois-mined coal
11that was sold to an eligible business. For purposes of this
12paragraph, the term "eligible business" means a new electric
13generating facility certified pursuant to Section 605-332 of
14the Department of Commerce and Economic Opportunity Law of the
15Civil Administrative Code of Illinois.
16 Subject to payment of amounts into the Build Illinois Fund,
17the McCormick Place Expansion Project Fund, the Illinois Tax
18Increment Fund, and the Energy Infrastructure Fund pursuant to
19the preceding paragraphs or in any amendments to this Section
20hereafter enacted, beginning on the first day of the first
21calendar month to occur on or after the effective date of this
22amendatory Act of the 98th General Assembly, each month, from
23the collections made under Section 9 of the Use Tax Act,
24Section 9 of the Service Use Tax Act, Section 9 of the Service
25Occupation Tax Act, and Section 3 of the Retailers' Occupation
26Tax Act, the Department shall pay into the Tax Compliance and

HB0821 Engrossed- 66 -LRB100 06943 HLH 16994 b
1Administration Fund, to be used, subject to appropriation, to
2fund additional auditors and compliance personnel at the
3Department of Revenue, an amount equal to 1/12 of 5% of 80% of
4the cash receipts collected during the preceding fiscal year by
5the Audit Bureau of the Department under the Use Tax Act, the
6Service Use Tax Act, the Service Occupation Tax Act, the
7Retailers' Occupation Tax Act, and associated local occupation
8and use taxes administered by the Department.
9 Of the remainder of the moneys received by the Department
10pursuant to this Act, 75% shall be paid into the General
11Revenue Fund of the State Treasury and 25% shall be reserved in
12a special account and used only for the transfer to the Common
13School Fund as part of the monthly transfer from the General
14Revenue Fund in accordance with Section 8a of the State Finance
15Act.
16 The Department may, upon separate written notice to a
17taxpayer, require the taxpayer to prepare and file with the
18Department on a form prescribed by the Department within not
19less than 60 days after receipt of the notice an annual
20information return for the tax year specified in the notice.
21Such annual return to the Department shall include a statement
22of gross receipts as shown by the taxpayer's last Federal
23income tax return. If the total receipts of the business as
24reported in the Federal income tax return do not agree with the
25gross receipts reported to the Department of Revenue for the
26same period, the taxpayer shall attach to his annual return a

HB0821 Engrossed- 67 -LRB100 06943 HLH 16994 b
1schedule showing a reconciliation of the 2 amounts and the
2reasons for the difference. The taxpayer's annual return to the
3Department shall also disclose the cost of goods sold by the
4taxpayer during the year covered by such return, opening and
5closing inventories of such goods for such year, cost of goods
6used from stock or taken from stock and given away by the
7taxpayer during such year, pay roll information of the
8taxpayer's business during such year and any additional
9reasonable information which the Department deems would be
10helpful in determining the accuracy of the monthly, quarterly
11or annual returns filed by such taxpayer as hereinbefore
12provided for in this Section.
13 If the annual information return required by this Section
14is not filed when and as required, the taxpayer shall be liable
15as follows:
16 (i) Until January 1, 1994, the taxpayer shall be liable
17 for a penalty equal to 1/6 of 1% of the tax due from such
18 taxpayer under this Act during the period to be covered by
19 the annual return for each month or fraction of a month
20 until such return is filed as required, the penalty to be
21 assessed and collected in the same manner as any other
22 penalty provided for in this Act.
23 (ii) On and after January 1, 1994, the taxpayer shall
24 be liable for a penalty as described in Section 3-4 of the
25 Uniform Penalty and Interest Act.
26 The chief executive officer, proprietor, owner or highest

HB0821 Engrossed- 68 -LRB100 06943 HLH 16994 b
1ranking manager shall sign the annual return to certify the
2accuracy of the information contained therein. Any person who
3willfully signs the annual return containing false or
4inaccurate information shall be guilty of perjury and punished
5accordingly. The annual return form prescribed by the
6Department shall include a warning that the person signing the
7return may be liable for perjury.
8 The foregoing portion of this Section concerning the filing
9of an annual information return shall not apply to a serviceman
10who is not required to file an income tax return with the
11United States Government.
12 As soon as possible after the first day of each month, upon
13certification of the Department of Revenue, the Comptroller
14shall order transferred and the Treasurer shall transfer from
15the General Revenue Fund to the Motor Fuel Tax Fund an amount
16equal to 1.7% of 80% of the net revenue realized under this Act
17for the second preceding month. Beginning April 1, 2000, this
18transfer is no longer required and shall not be made.
19 Net revenue realized for a month shall be the revenue
20collected by the State pursuant to this Act, less the amount
21paid out during that month as refunds to taxpayers for
22overpayment of liability.
23 For greater simplicity of administration, it shall be
24permissible for manufacturers, importers and wholesalers whose
25products are sold by numerous servicemen in Illinois, and who
26wish to do so, to assume the responsibility for accounting and

HB0821 Engrossed- 69 -LRB100 06943 HLH 16994 b
1paying to the Department all tax accruing under this Act with
2respect to such sales, if the servicemen who are affected do
3not make written objection to the Department to this
4arrangement.
5(Source: P.A. 98-24, eff. 6-19-13; 98-109, eff. 7-25-13;
698-298, eff. 8-9-13; 98-496, eff. 1-1-14; 98-756, eff. 7-16-14;
798-1098, eff. 8-26-14; 99-352, eff. 8-12-15; 99-858, eff.
88-19-16.)
9 Section 20. The Retailers' Occupation Tax Act is amended by
10changing Sections 2a and 3 as follows:
11 (35 ILCS 120/2a) (from Ch. 120, par. 441a)
12 Sec. 2a. It is unlawful for any person to engage in the
13business of selling tangible personal property at retail in
14this State without a certificate of registration from the
15Department. Application for a certificate of registration
16shall be made to the Department upon forms furnished by it.
17Each such application shall be signed and verified and shall
18state: (1) the name and social security number of the
19applicant; (2) the address of his principal place of business;
20(3) the address of the principal place of business from which
21he engages in the business of selling tangible personal
22property at retail in this State and the addresses of all other
23places of business, if any (enumerating such addresses, if any,
24in a separate list attached to and made a part of the

HB0821 Engrossed- 70 -LRB100 06943 HLH 16994 b
1application), from which he engages in the business of selling
2tangible personal property at retail in this State; (4) the
3name and address of the person or persons who will be
4responsible for filing returns and payment of taxes due under
5this Act; (5) in the case of a publicly traded corporation, the
6name and title of the Chief Financial Officer, Chief Operating
7Officer, and any other officer or employee with responsibility
8for preparing tax returns under this Act, along with the last 4
9digits of each of their social security numbers, and, in the
10case of all other corporations, the name, title, and social
11security number of each corporate officer; (6) in the case of a
12limited liability company, the name, social security number,
13and FEIN number of each manager and member; and (7) such other
14information as the Department may reasonably require. The
15application shall contain an acceptance of responsibility
16signed by the person or persons who will be responsible for
17filing returns and payment of the taxes due under this Act. If
18the applicant will sell tangible personal property at retail
19through vending machines, his application to register shall
20indicate the number of vending machines to be so operated. If
21requested by the Department at any time, that person shall
22verify the total number of vending machines he or she uses in
23his or her business of selling tangible personal property at
24retail.
25 The Department may deny a certificate of registration to
26any applicant if a person who is named as the owner, a partner,

HB0821 Engrossed- 71 -LRB100 06943 HLH 16994 b
1a manager or member of a limited liability company, or a
2corporate officer of the applicant on the application for the
3certificate of registration is or has been named as the owner,
4a partner, a manager or member of a limited liability company,
5or a corporate officer on the application for the certificate
6of registration of another retailer that is in default for
7moneys due under this Act or any other tax or fee Act
8administered by the Department. For purposes of this paragraph
9only, in determining whether a person is in default for moneys
10due, the Department shall include only amounts established as a
11final liability within the 20 years prior to the date of the
12Department's notice of denial of a certificate of registration.
13 The Department may require an applicant for a certificate
14of registration hereunder to, at the time of filing such
15application, furnish a bond from a surety company authorized to
16do business in the State of Illinois, or an irrevocable bank
17letter of credit or a bond signed by 2 personal sureties who
18have filed, with the Department, sworn statements disclosing
19net assets equal to at least 3 times the amount of the bond to
20be required of such applicant, or a bond secured by an
21assignment of a bank account or certificate of deposit, stocks
22or bonds, conditioned upon the applicant paying to the State of
23Illinois all moneys becoming due under this Act and under any
24other State tax law or municipal or county tax ordinance or
25resolution under which the certificate of registration that is
26issued to the applicant under this Act will permit the

HB0821 Engrossed- 72 -LRB100 06943 HLH 16994 b
1applicant to engage in business without registering separately
2under such other law, ordinance or resolution. In making a
3determination as to whether to require a bond or other
4security, the Department shall take into consideration whether
5the owner, any partner, any manager or member of a limited
6liability company, or a corporate officer of the applicant is
7or has been the owner, a partner, a manager or member of a
8limited liability company, or a corporate officer of another
9retailer that is in default for moneys due under this Act or
10any other tax or fee Act administered by the Department; and
11whether the owner, any partner, any manager or member of a
12limited liability company, or a corporate officer of the
13applicant is or has been the owner, a partner, a manager or
14member of a limited liability company, or a corporate officer
15of another retailer whose certificate of registration has been
16revoked within the previous 5 years under this Act or any other
17tax or fee Act administered by the Department. If a bond or
18other security is required, the Department shall fix the amount
19of the bond or other security, taking into consideration the
20amount of money expected to become due from the applicant under
21this Act and under any other State tax law or municipal or
22county tax ordinance or resolution under which the certificate
23of registration that is issued to the applicant under this Act
24will permit the applicant to engage in business without
25registering separately under such other law, ordinance, or
26resolution. The amount of security required by the Department

HB0821 Engrossed- 73 -LRB100 06943 HLH 16994 b
1shall be such as, in its opinion, will protect the State of
2Illinois against failure to pay the amount which may become due
3from the applicant under this Act and under any other State tax
4law or municipal or county tax ordinance or resolution under
5which the certificate of registration that is issued to the
6applicant under this Act will permit the applicant to engage in
7business without registering separately under such other law,
8ordinance or resolution, but the amount of the security
9required by the Department shall not exceed three times the
10amount of the applicant's average monthly tax liability, or
11$50,000.00, whichever amount is lower.
12 No certificate of registration under this Act shall be
13issued by the Department until the applicant provides the
14Department with satisfactory security, if required, as herein
15provided for.
16 Upon receipt of the application for certificate of
17registration in proper form, and upon approval by the
18Department of the security furnished by the applicant, if
19required, the Department shall issue to such applicant a
20certificate of registration which shall permit the person to
21whom it is issued to engage in the business of selling tangible
22personal property at retail in this State. The certificate of
23registration shall be conspicuously displayed at the place of
24business which the person so registered states in his
25application to be the principal place of business from which he
26engages in the business of selling tangible personal property

HB0821 Engrossed- 74 -LRB100 06943 HLH 16994 b
1at retail in this State.
2 No certificate of registration issued to a taxpayer who
3files returns required by this Act on a monthly basis shall be
4valid after the expiration of 5 years from the date of its
5issuance or last renewal. The expiration date of a
6sub-certificate of registration shall be that of the
7certificate of registration to which the sub-certificate
8relates. A certificate of registration shall automatically be
9renewed, subject to revocation as provided by this Act, for an
10additional 5 years from the date of its expiration unless
11otherwise notified by the Department as provided by this
12paragraph. Where a taxpayer to whom a certificate of
13registration is issued under this Act is in default to the
14State of Illinois for delinquent returns or for moneys due
15under this Act or any other State tax law or municipal or
16county ordinance administered or enforced by the Department,
17the Department shall, not less than 60 days before the
18expiration date of such certificate of registration, give
19notice to the taxpayer to whom the certificate was issued of
20the account period of the delinquent returns, the amount of
21tax, penalty and interest due and owing from the taxpayer, and
22that the certificate of registration shall not be automatically
23renewed upon its expiration date unless the taxpayer, on or
24before the date of expiration, has filed and paid the
25delinquent returns or paid the defaulted amount in full. A
26taxpayer to whom such a notice is issued shall be deemed an

HB0821 Engrossed- 75 -LRB100 06943 HLH 16994 b
1applicant for renewal. The Department shall promulgate
2regulations establishing procedures for taxpayers who file
3returns on a monthly basis but desire and qualify to change to
4a quarterly or yearly filing basis and will no longer be
5subject to renewal under this Section, and for taxpayers who
6file returns on a yearly or quarterly basis but who desire or
7are required to change to a monthly filing basis and will be
8subject to renewal under this Section.
9 The Department may in its discretion approve renewal by an
10applicant who is in default if, at the time of application for
11renewal, the applicant files all of the delinquent returns or
12pays to the Department such percentage of the defaulted amount
13as may be determined by the Department and agrees in writing to
14waive all limitations upon the Department for collection of the
15remaining defaulted amount to the Department over a period not
16to exceed 5 years from the date of renewal of the certificate;
17however, no renewal application submitted by an applicant who
18is in default shall be approved if the immediately preceding
19renewal by the applicant was conditioned upon the installment
20payment agreement described in this Section. The payment
21agreement herein provided for shall be in addition to and not
22in lieu of the security that may be required by this Section of
23a taxpayer who is no longer considered a prior continuous
24compliance taxpayer. The execution of the payment agreement as
25provided in this Act shall not toll the accrual of interest at
26the statutory rate.

HB0821 Engrossed- 76 -LRB100 06943 HLH 16994 b
1 The Department may suspend a certificate of registration if
2the Department finds that the person to whom the certificate of
3registration has been issued knowingly sold contraband
4cigarettes.
5 A certificate of registration issued under this Act more
6than 5 years before the effective date of this amendatory Act
7of 1989 shall expire and be subject to the renewal provisions
8of this Section on the next anniversary of the date of issuance
9of such certificate which occurs more than 6 months after the
10effective date of this amendatory Act of 1989. A certificate of
11registration issued less than 5 years before the effective date
12of this amendatory Act of 1989 shall expire and be subject to
13the renewal provisions of this Section on the 5th anniversary
14of the issuance of the certificate.
15 If the person so registered states that he operates other
16places of business from which he engages in the business of
17selling tangible personal property at retail in this State, the
18Department shall furnish him with a sub-certificate of
19registration for each such place of business, and the applicant
20shall display the appropriate sub-certificate of registration
21at each such place of business. All sub-certificates of
22registration shall bear the same registration number as that
23appearing upon the certificate of registration to which such
24sub-certificates relate.
25 If the applicant will sell tangible personal property at
26retail through vending machines, the Department shall furnish

HB0821 Engrossed- 77 -LRB100 06943 HLH 16994 b
1him with a sub-certificate of registration for each such
2vending machine, and the applicant shall display the
3appropriate sub-certificate of registration on each such
4vending machine by attaching the sub-certificate of
5registration to a conspicuous part of such vending machine. If
6a person who is registered to sell tangible personal property
7at retail through vending machines adds an additional vending
8machine or additional vending machines to the number of vending
9machines he or she uses in his or her business of selling
10tangible personal property at retail, he or she shall notify
11the Department, on a form prescribed by the Department, to
12request an additional sub-certificate or additional
13sub-certificates of registration, as applicable. With each
14such request, the applicant shall report the number of
15sub-certificates of registration he or she is requesting as
16well as the total number of vending machines from which he or
17she makes retail sales.
18 Where the same person engages in 2 or more businesses of
19selling tangible personal property at retail in this State,
20which businesses are substantially different in character or
21engaged in under different trade names or engaged in under
22other substantially dissimilar circumstances (so that it is
23more practicable, from an accounting, auditing or bookkeeping
24standpoint, for such businesses to be separately registered),
25the Department may require or permit such person (subject to
26the same requirements concerning the furnishing of security as

HB0821 Engrossed- 78 -LRB100 06943 HLH 16994 b
1those that are provided for hereinbefore in this Section as to
2each application for a certificate of registration) to apply
3for and obtain a separate certificate of registration for each
4such business or for any of such businesses, under a single
5certificate of registration supplemented by related
6sub-certificates of registration.
7 Any person who is registered under the "Retailers'
8Occupation Tax Act" as of March 8, 1963, and who, during the
93-year period immediately prior to March 8, 1963, or during a
10continuous 3-year period part of which passed immediately
11before and the remainder of which passes immediately after
12March 8, 1963, has been so registered continuously and who is
13determined by the Department not to have been either delinquent
14or deficient in the payment of tax liability during that period
15under this Act or under any other State tax law or municipal or
16county tax ordinance or resolution under which the certificate
17of registration that is issued to the registrant under this Act
18will permit the registrant to engage in business without
19registering separately under such other law, ordinance or
20resolution, shall be considered to be a Prior Continuous
21Compliance taxpayer. Also any taxpayer who has, as verified by
22the Department, faithfully and continuously complied with the
23condition of his bond or other security under the provisions of
24this Act for a period of 3 consecutive years shall be
25considered to be a Prior Continuous Compliance taxpayer.
26 Every Prior Continuous Compliance taxpayer shall be exempt

HB0821 Engrossed- 79 -LRB100 06943 HLH 16994 b
1from all requirements under this Act concerning the furnishing
2of a bond or other security as a condition precedent to his
3being authorized to engage in the business of selling tangible
4personal property at retail in this State. This exemption shall
5continue for each such taxpayer until such time as he may be
6determined by the Department to be delinquent in the filing of
7any returns, or is determined by the Department (either through
8the Department's issuance of a final assessment which has
9become final under the Act, or by the taxpayer's filing of a
10return which admits tax that is not paid to be due) to be
11delinquent or deficient in the paying of any tax under this Act
12or under any other State tax law or municipal or county tax
13ordinance or resolution under which the certificate of
14registration that is issued to the registrant under this Act
15will permit the registrant to engage in business without
16registering separately under such other law, ordinance or
17resolution, at which time that taxpayer shall become subject to
18all the financial responsibility requirements of this Act and,
19as a condition of being allowed to continue to engage in the
20business of selling tangible personal property at retail, may
21be required to post bond or other acceptable security with the
22Department covering liability which such taxpayer may
23thereafter incur. Any taxpayer who fails to pay an admitted or
24established liability under this Act may also be required to
25post bond or other acceptable security with this Department
26guaranteeing the payment of such admitted or established

HB0821 Engrossed- 80 -LRB100 06943 HLH 16994 b
1liability.
2 No certificate of registration shall be issued to any
3person who is in default to the State of Illinois for moneys
4due under this Act or under any other State tax law or
5municipal or county tax ordinance or resolution under which the
6certificate of registration that is issued to the applicant
7under this Act will permit the applicant to engage in business
8without registering separately under such other law, ordinance
9or resolution.
10 Any person aggrieved by any decision of the Department
11under this Section may, within 20 days after notice of such
12decision, protest and request a hearing, whereupon the
13Department shall give notice to such person of the time and
14place fixed for such hearing and shall hold a hearing in
15conformity with the provisions of this Act and then issue its
16final administrative decision in the matter to such person. In
17the absence of such a protest within 20 days, the Department's
18decision shall become final without any further determination
19being made or notice given.
20 With respect to security other than bonds (upon which the
21Department may sue in the event of a forfeiture), if the
22taxpayer fails to pay, when due, any amount whose payment such
23security guarantees, the Department shall, after such
24liability is admitted by the taxpayer or established by the
25Department through the issuance of a final assessment that has
26become final under the law, convert the security which that

HB0821 Engrossed- 81 -LRB100 06943 HLH 16994 b
1taxpayer has furnished into money for the State, after first
2giving the taxpayer at least 10 days' written notice, by
3registered or certified mail, to pay the liability or forfeit
4such security to the Department. If the security consists of
5stocks or bonds or other securities which are listed on a
6public exchange, the Department shall sell such securities
7through such public exchange. If the security consists of an
8irrevocable bank letter of credit, the Department shall convert
9the security in the manner provided for in the Uniform
10Commercial Code. If the security consists of a bank certificate
11of deposit, the Department shall convert the security into
12money by demanding and collecting the amount of such bank
13certificate of deposit from the bank which issued such
14certificate. If the security consists of a type of stocks or
15other securities which are not listed on a public exchange, the
16Department shall sell such security to the highest and best
17bidder after giving at least 10 days' notice of the date, time
18and place of the intended sale by publication in the "State
19Official Newspaper". If the Department realizes more than the
20amount of such liability from the security, plus the expenses
21incurred by the Department in converting the security into
22money, the Department shall pay such excess to the taxpayer who
23furnished such security, and the balance shall be paid into the
24State Treasury.
25 The Department shall discharge any surety and shall release
26and return any security deposited, assigned, pledged or

HB0821 Engrossed- 82 -LRB100 06943 HLH 16994 b
1otherwise provided to it by a taxpayer under this Section
2within 30 days after:
3 (1) such taxpayer becomes a Prior Continuous
4 Compliance taxpayer; or
5 (2) such taxpayer has ceased to collect receipts on
6 which he is required to remit tax to the Department, has
7 filed a final tax return, and has paid to the Department an
8 amount sufficient to discharge his remaining tax
9 liability, as determined by the Department, under this Act
10 and under every other State tax law or municipal or county
11 tax ordinance or resolution under which the certificate of
12 registration issued under this Act permits the registrant
13 to engage in business without registering separately under
14 such other law, ordinance or resolution. The Department
15 shall make a final determination of the taxpayer's
16 outstanding tax liability as expeditiously as possible
17 after his final tax return has been filed; if the
18 Department cannot make such final determination within 45
19 days after receiving the final tax return, within such
20 period it shall so notify the taxpayer, stating its reasons
21 therefor.
22(Source: P.A. 97-335, eff. 1-1-12; 98-496, eff. 1-1-14; 98-583,
23eff. 1-1-14; 98-756, eff. 7-16-14; 98-974, eff. 1-1-15.)
24 (35 ILCS 120/3) (from Ch. 120, par. 442)
25 Sec. 3. Except as provided in this Section, on or before

HB0821 Engrossed- 83 -LRB100 06943 HLH 16994 b
1the twentieth day of each calendar month, every person engaged
2in the business of selling tangible personal property at retail
3in this State during the preceding calendar month shall file a
4return with the Department, stating:
5 1. The name of the seller;
6 2. His residence address and the address of his
7 principal place of business and the address of the
8 principal place of business (if that is a different
9 address) from which he engages in the business of selling
10 tangible personal property at retail in this State;
11 3. Total amount of receipts received by him during the
12 preceding calendar month or quarter, as the case may be,
13 from sales of tangible personal property, and from services
14 furnished, by him during such preceding calendar month or
15 quarter;
16 4. Total amount received by him during the preceding
17 calendar month or quarter on charge and time sales of
18 tangible personal property, and from services furnished,
19 by him prior to the month or quarter for which the return
20 is filed;
21 5. Deductions allowed by law;
22 6. Gross receipts which were received by him during the
23 preceding calendar month or quarter and upon the basis of
24 which the tax is imposed;
25 7. The amount of credit provided in Section 2d of this
26 Act;

HB0821 Engrossed- 84 -LRB100 06943 HLH 16994 b
1 8. The amount of tax due;
2 9. The signature of the taxpayer; and
3 10. Such other reasonable information as the
4 Department may require.
5 On and after January 1, 2018, except for returns for motor
6vehicles, watercraft, aircraft, and trailers that are required
7to be registered with an agency of this State, with respect to
8retailers whose annual gross receipts average $20,000 or more,
9all returns required to be filed pursuant to this Act shall be
10filed electronically. Retailers who demonstrate that they do
11not have access to the Internet or demonstrate hardship in
12filing electronically may petition the Department to waive the
13electronic filing requirement.
14 If a taxpayer fails to sign a return within 30 days after
15the proper notice and demand for signature by the Department,
16the return shall be considered valid and any amount shown to be
17due on the return shall be deemed assessed.
18 Each return shall be accompanied by the statement of
19prepaid tax issued pursuant to Section 2e for which credit is
20claimed.
21 Prior to October 1, 2003, and on and after September 1,
222004 a retailer may accept a Manufacturer's Purchase Credit
23certification from a purchaser in satisfaction of Use Tax as
24provided in Section 3-85 of the Use Tax Act if the purchaser
25provides the appropriate documentation as required by Section
263-85 of the Use Tax Act. A Manufacturer's Purchase Credit

HB0821 Engrossed- 85 -LRB100 06943 HLH 16994 b
1certification, accepted by a retailer prior to October 1, 2003
2and on and after September 1, 2004 as provided in Section 3-85
3of the Use Tax Act, may be used by that retailer to satisfy
4Retailers' Occupation Tax liability in the amount claimed in
5the certification, not to exceed 6.25% of the receipts subject
6to tax from a qualifying purchase. A Manufacturer's Purchase
7Credit reported on any original or amended return filed under
8this Act after October 20, 2003 for reporting periods prior to
9September 1, 2004 shall be disallowed. Manufacturer's
10Purchaser Credit reported on annual returns due on or after
11January 1, 2005 will be disallowed for periods prior to
12September 1, 2004. No Manufacturer's Purchase Credit may be
13used after September 30, 2003 through August 31, 2004 to
14satisfy any tax liability imposed under this Act, including any
15audit liability.
16 The Department may require returns to be filed on a
17quarterly basis. If so required, a return for each calendar
18quarter shall be filed on or before the twentieth day of the
19calendar month following the end of such calendar quarter. The
20taxpayer shall also file a return with the Department for each
21of the first two months of each calendar quarter, on or before
22the twentieth day of the following calendar month, stating:
23 1. The name of the seller;
24 2. The address of the principal place of business from
25 which he engages in the business of selling tangible
26 personal property at retail in this State;

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1 3. The total amount of taxable receipts received by him
2 during the preceding calendar month from sales of tangible
3 personal property by him during such preceding calendar
4 month, including receipts from charge and time sales, but
5 less all deductions allowed by law;
6 4. The amount of credit provided in Section 2d of this
7 Act;
8 5. The amount of tax due; and
9 6. Such other reasonable information as the Department
10 may require.
11 Beginning on October 1, 2003, any person who is not a
12licensed distributor, importing distributor, or manufacturer,
13as defined in the Liquor Control Act of 1934, but is engaged in
14the business of selling, at retail, alcoholic liquor shall file
15a statement with the Department of Revenue, in a format and at
16a time prescribed by the Department, showing the total amount
17paid for alcoholic liquor purchased during the preceding month
18and such other information as is reasonably required by the
19Department. The Department may adopt rules to require that this
20statement be filed in an electronic or telephonic format. Such
21rules may provide for exceptions from the filing requirements
22of this paragraph. For the purposes of this paragraph, the term
23"alcoholic liquor" shall have the meaning prescribed in the
24Liquor Control Act of 1934.
25 Beginning on October 1, 2003, every distributor, importing
26distributor, and manufacturer of alcoholic liquor as defined in

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1the Liquor Control Act of 1934, shall file a statement with the
2Department of Revenue, no later than the 10th day of the month
3for the preceding month during which transactions occurred, by
4electronic means, showing the total amount of gross receipts
5from the sale of alcoholic liquor sold or distributed during
6the preceding month to purchasers; identifying the purchaser to
7whom it was sold or distributed; the purchaser's tax
8registration number; and such other information reasonably
9required by the Department. A distributor, importing
10distributor, or manufacturer of alcoholic liquor must
11personally deliver, mail, or provide by electronic means to
12each retailer listed on the monthly statement a report
13containing a cumulative total of that distributor's, importing
14distributor's, or manufacturer's total sales of alcoholic
15liquor to that retailer no later than the 10th day of the month
16for the preceding month during which the transaction occurred.
17The distributor, importing distributor, or manufacturer shall
18notify the retailer as to the method by which the distributor,
19importing distributor, or manufacturer will provide the sales
20information. If the retailer is unable to receive the sales
21information by electronic means, the distributor, importing
22distributor, or manufacturer shall furnish the sales
23information by personal delivery or by mail. For purposes of
24this paragraph, the term "electronic means" includes, but is
25not limited to, the use of a secure Internet website, e-mail,
26or facsimile.

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1 If a total amount of less than $1 is payable, refundable or
2creditable, such amount shall be disregarded if it is less than
350 cents and shall be increased to $1 if it is 50 cents or more.
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 make
9all payments required by rules of the Department by electronic
10funds transfer. Beginning October 1, 1995, a taxpayer who has
11an average monthly tax liability of $50,000 or more shall make
12all payments required by rules of the Department by electronic
13funds transfer. Beginning October 1, 2000, a taxpayer who has
14an annual tax liability of $200,000 or more shall make all
15payments required by rules of the Department by electronic
16funds transfer. The term "annual tax liability" shall be the
17sum of the taxpayer's liabilities under this Act, and under all
18other State and local occupation and use tax laws administered
19by the Department, for the immediately preceding calendar year.
20The term "average monthly tax liability" shall be the sum of
21the taxpayer's liabilities under this Act, and under all other
22State and local occupation and use tax laws administered by the
23Department, for the immediately preceding calendar year
24divided by 12. Beginning on October 1, 2002, a taxpayer who has
25a tax liability in the amount set forth in subsection (b) of
26Section 2505-210 of the Department of Revenue Law shall make

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1all payments required by rules of the Department by electronic
2funds transfer.
3 Before August 1 of each year beginning in 1993, the
4Department shall notify all taxpayers required to make payments
5by electronic funds transfer. All taxpayers required to make
6payments by electronic funds transfer shall make those payments
7for 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 payments
14in 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 Any amount which is required to be shown or reported on any
19return or other document under this Act shall, if such amount
20is not a whole-dollar amount, be increased to the nearest
21whole-dollar amount in any case where the fractional part of a
22dollar is 50 cents or more, and decreased to the nearest
23whole-dollar amount where the fractional part of a dollar is
24less than 50 cents.
25 If the retailer is otherwise required to file a monthly
26return and if the retailer's average monthly tax liability to

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

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1with the Department under separate registrations under this
2Act, such person may not file each return that is due as a
3single return covering all such registered businesses, but
4shall file separate returns for each such registered business.
5 In addition, with respect to motor vehicles, watercraft,
6aircraft, and trailers that are required to be registered with
7an agency of this State, every retailer selling this kind of
8tangible personal property shall file, with the Department,
9upon a form to be prescribed and supplied by the Department, a
10separate return for each such item of tangible personal
11property which the retailer sells, except that if, in the same
12transaction, (i) a retailer of aircraft, watercraft, motor
13vehicles or trailers transfers more than one aircraft,
14watercraft, motor vehicle or trailer to another aircraft,
15watercraft, motor vehicle retailer or trailer retailer for the
16purpose of resale or (ii) a retailer of aircraft, watercraft,
17motor vehicles, or trailers transfers more than one aircraft,
18watercraft, motor vehicle, or trailer to a purchaser for use as
19a qualifying rolling stock as provided in Section 2-5 of this
20Act, then that seller may report the transfer of all aircraft,
21watercraft, motor vehicles or trailers involved in that
22transaction to the Department on the same uniform
23invoice-transaction reporting return form. For purposes of
24this Section, "watercraft" means a Class 2, Class 3, or Class 4
25watercraft as defined in Section 3-2 of the Boat Registration
26and Safety Act, a personal watercraft, or any boat equipped

HB0821 Engrossed- 92 -LRB100 06943 HLH 16994 b
1with an inboard motor.
2 Any retailer who sells only motor vehicles, watercraft,
3aircraft, or trailers that are required to be registered with
4an agency of this State, so that all retailers' occupation tax
5liability is required to be reported, and is reported, on such
6transaction reporting returns and who is not otherwise required
7to file monthly or quarterly returns, need not file monthly or
8quarterly returns. However, those retailers shall be required
9to file returns on an annual basis.
10 The transaction reporting return, in the case of motor
11vehicles or trailers that are required to be registered with an
12agency of this State, shall be the same document as the Uniform
13Invoice referred to in Section 5-402 of The Illinois Vehicle
14Code and must show the name and address of the seller; the name
15and address of the purchaser; the amount of the selling price
16including the amount allowed by the retailer for traded-in
17property, if any; the amount allowed by the retailer for the
18traded-in tangible personal property, if any, to the extent to
19which Section 1 of this Act allows an exemption for the value
20of traded-in property; the balance payable after deducting such
21trade-in allowance from the total selling price; the amount of
22tax due from the retailer with respect to such transaction; the
23amount of tax collected from the purchaser by the retailer on
24such transaction (or satisfactory evidence that such tax is not
25due in that particular instance, if that is claimed to be the
26fact); the place and date of the sale; a sufficient

HB0821 Engrossed- 93 -LRB100 06943 HLH 16994 b
1identification of the property sold; such other information as
2is required in Section 5-402 of The Illinois Vehicle Code, and
3such other information as the Department may reasonably
4require.
5 The transaction reporting return in the case of watercraft
6or aircraft must show the name and address of the seller; the
7name and address of the purchaser; the amount of the selling
8price including the amount allowed by the retailer for
9traded-in property, if any; the amount allowed by the retailer
10for the traded-in tangible personal property, if any, to the
11extent to which Section 1 of this Act allows an exemption for
12the value of traded-in property; the balance payable after
13deducting such trade-in allowance from the total selling price;
14the amount of tax due from the retailer with respect to such
15transaction; the amount of tax collected from the purchaser by
16the retailer on such transaction (or satisfactory evidence that
17such tax is not due in that particular instance, if that is
18claimed to be the fact); the place and date of the sale, a
19sufficient identification of the property sold, and such other
20information as the Department may reasonably require.
21 Such transaction reporting return shall be filed not later
22than 20 days after the day of delivery of the item that is
23being sold, but may be filed by the retailer at any time sooner
24than that if he chooses to do so. The transaction reporting
25return and tax remittance or proof of exemption from the
26Illinois use tax may be transmitted to the Department by way of

HB0821 Engrossed- 94 -LRB100 06943 HLH 16994 b
1the State agency with which, or State officer with whom the
2tangible personal property must be titled or registered (if
3titling or registration is required) if the Department and such
4agency or State officer determine that this procedure will
5expedite the processing of applications for title or
6registration.
7 With each such transaction reporting return, the retailer
8shall remit the proper amount of tax due (or shall submit
9satisfactory evidence that the sale is not taxable if that is
10the case), to the Department or its agents, whereupon the
11Department shall issue, in the purchaser's name, a use tax
12receipt (or a certificate of exemption if the Department is
13satisfied that the particular sale is tax exempt) which such
14purchaser may submit to the agency with which, or State officer
15with whom, he must title or register the tangible personal
16property that is involved (if titling or registration is
17required) in support of such purchaser's application for an
18Illinois certificate or other evidence of title or registration
19to such tangible personal property.
20 No retailer's failure or refusal to remit tax under this
21Act precludes a user, who has paid the proper tax to the
22retailer, from obtaining his certificate of title or other
23evidence of title or registration (if titling or registration
24is required) upon satisfying the Department that such user has
25paid the proper tax (if tax is due) to the retailer. The
26Department shall adopt appropriate rules to carry out the

HB0821 Engrossed- 95 -LRB100 06943 HLH 16994 b
1mandate of this paragraph.
2 If the user who would otherwise pay tax to the retailer
3wants the transaction reporting return filed and the payment of
4the tax or proof of exemption made to the Department before the
5retailer is willing to take these actions and such user has not
6paid the tax to the retailer, such user may certify to the fact
7of such delay by the retailer and may (upon the Department
8being satisfied of the truth of such certification) transmit
9the information required by the transaction reporting return
10and the remittance for tax or proof of exemption directly to
11the Department and obtain his tax receipt or exemption
12determination, in which event the transaction reporting return
13and tax remittance (if a tax payment was required) shall be
14credited by the Department to the proper retailer's account
15with the Department, but without the 2.1% or 1.75% discount
16provided for in this Section being allowed. When the user pays
17the tax directly to the Department, he shall pay the tax in the
18same amount and in the same form in which it would be remitted
19if the tax had been remitted to the Department by the retailer.
20 Refunds made by the seller during the preceding return
21period to purchasers, on account of tangible personal property
22returned to the seller, shall be allowed as a deduction under
23subdivision 5 of his monthly or quarterly return, as the case
24may be, in case the seller had theretofore included the
25receipts from the sale of such tangible personal property in a
26return filed by him and had paid the tax imposed by this Act

HB0821 Engrossed- 96 -LRB100 06943 HLH 16994 b
1with respect to such receipts.
2 Where the seller is a corporation, the return filed on
3behalf of such corporation shall be signed by the president,
4vice-president, secretary or treasurer or by the properly
5accredited agent of such corporation.
6 Where the seller is a limited liability company, the return
7filed on behalf of the limited liability company shall be
8signed by a manager, member, or properly accredited agent of
9the limited liability company.
10 Except as provided in this Section, the retailer filing the
11return under this Section shall, at the time of filing such
12return, pay to the Department the amount of tax imposed by this
13Act less a discount of 2.1% prior to January 1, 1990 and 1.75%
14on and after January 1, 1990, or $5 per calendar year,
15whichever is greater, which is allowed to reimburse the
16retailer for the expenses incurred in keeping records,
17preparing and filing returns, remitting the tax and supplying
18data to the Department on request. Any prepayment made pursuant
19to Section 2d of this Act shall be included in the amount on
20which such 2.1% or 1.75% discount is computed. In the case of
21retailers who report and pay the tax on a transaction by
22transaction basis, as provided in this Section, such discount
23shall be taken with each such tax remittance instead of when
24such retailer files his periodic return. The discount allowed
25under this Section is allowed only for returns that are filed
26in the manner required by this Act. The Department may disallow

HB0821 Engrossed- 97 -LRB100 06943 HLH 16994 b
1the discount for retailers whose certificate of registration is
2revoked at the time the return is filed, but only if the
3Department's decision to revoke the certificate of
4registration has become final.
5 Before October 1, 2000, if the taxpayer's average monthly
6tax liability to the Department under this Act, the Use Tax
7Act, the Service Occupation Tax Act, and the Service Use Tax
8Act, excluding any liability for prepaid sales tax to be
9remitted in accordance with Section 2d of this Act, was $10,000
10or more during the preceding 4 complete calendar quarters, he
11shall file a return with the Department each month by the 20th
12day of the month next following the month during which such tax
13liability is incurred and shall make payments to the Department
14on or before the 7th, 15th, 22nd and last day of the month
15during which such liability is incurred. On and after October
161, 2000, if the taxpayer's average monthly tax liability to the
17Department under this Act, the Use Tax Act, the Service
18Occupation Tax Act, and the Service Use Tax Act, excluding any
19liability for prepaid sales tax to be remitted in accordance
20with Section 2d of this Act, was $20,000 or more during the
21preceding 4 complete calendar quarters, he shall file a return
22with the Department each month by the 20th day of the month
23next following the month during which such tax liability is
24incurred and shall make payment to the Department on or before
25the 7th, 15th, 22nd and last day of the month during which such
26liability is incurred. If the month during which such tax

HB0821 Engrossed- 98 -LRB100 06943 HLH 16994 b
1liability is incurred began prior to January 1, 1985, each
2payment shall be in an amount equal to 1/4 of the taxpayer's
3actual liability for the month or an amount set by the
4Department not to exceed 1/4 of the average monthly liability
5of the taxpayer to the Department for the preceding 4 complete
6calendar quarters (excluding the month of highest liability and
7the month of lowest liability in such 4 quarter period). If the
8month during which such tax liability is incurred begins on or
9after January 1, 1985 and prior to January 1, 1987, each
10payment shall be in an amount equal to 22.5% of the taxpayer's
11actual liability for the month or 27.5% of the taxpayer's
12liability for the same calendar month of the preceding year. If
13the month during which such tax liability is incurred begins on
14or after January 1, 1987 and prior to January 1, 1988, each
15payment shall be in an amount equal to 22.5% of the taxpayer's
16actual liability for the month or 26.25% of the taxpayer's
17liability for the same calendar month of the preceding year. If
18the month during which such tax liability is incurred begins on
19or after January 1, 1988, and prior to January 1, 1989, or
20begins on or after January 1, 1996, each payment shall be in an
21amount equal to 22.5% of the taxpayer's actual liability for
22the month or 25% of the taxpayer's liability for the same
23calendar month of the preceding year. If the month during which
24such tax liability is incurred begins on or after January 1,
251989, and prior to January 1, 1996, each payment shall be in an
26amount equal to 22.5% of the taxpayer's actual liability for

HB0821 Engrossed- 99 -LRB100 06943 HLH 16994 b
1the month or 25% of the taxpayer's liability for the same
2calendar month of the preceding year or 100% of the taxpayer's
3actual liability for the quarter monthly reporting period. The
4amount of such quarter monthly payments shall be credited
5against the final tax liability of the taxpayer's return for
6that month. Before October 1, 2000, once applicable, the
7requirement of the making of quarter monthly payments to the
8Department by taxpayers having an average monthly tax liability
9of $10,000 or more as determined in the manner provided above
10shall continue until such taxpayer's average monthly liability
11to the Department during the preceding 4 complete calendar
12quarters (excluding the month of highest liability and the
13month of lowest liability) is less than $9,000, 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 $10,000. 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 $10,000
21threshold stated above, then such taxpayer may petition the
22Department for a change in such taxpayer's reporting status. On
23and after October 1, 2000, once applicable, the requirement of
24the making of quarter monthly payments to the Department by
25taxpayers having an average monthly tax liability of $20,000 or
26more as determined in the manner provided above shall continue

HB0821 Engrossed- 100 -LRB100 06943 HLH 16994 b
1until such taxpayer's average monthly liability to the
2Department during the preceding 4 complete calendar quarters
3(excluding the month of highest liability and the month of
4lowest liability) is less than $19,000 or until such taxpayer's
5average monthly liability to the Department as computed for
6each calendar quarter of the 4 preceding complete calendar
7quarter period is less than $20,000. However, if a taxpayer can
8show the Department that a substantial change in the taxpayer's
9business has occurred which causes the taxpayer to anticipate
10that his average monthly tax liability for the reasonably
11foreseeable future will fall below the $20,000 threshold stated
12above, then such taxpayer may petition the Department for a
13change in such taxpayer's reporting status. The Department
14shall change such taxpayer's reporting status unless it finds
15that such change is seasonal in nature and not likely to be
16long term. If any such quarter monthly payment is not paid at
17the time or in the amount required by this Section, then the
18taxpayer shall be liable for penalties and interest on the
19difference between the minimum amount due as a payment and the
20amount of such quarter monthly payment actually and timely
21paid, except insofar as the taxpayer has previously made
22payments for that month to the Department in excess of the
23minimum payments previously due as provided in this Section.
24The Department shall make reasonable rules and regulations to
25govern the quarter monthly payment amount and quarter monthly
26payment dates for taxpayers who file on other than a calendar

HB0821 Engrossed- 101 -LRB100 06943 HLH 16994 b
1monthly basis.
2 The provisions of this paragraph apply before October 1,
32001. Without regard to whether a taxpayer is required to make
4quarter monthly payments as specified above, any taxpayer who
5is required by Section 2d of this Act to collect and remit
6prepaid taxes and has collected prepaid taxes which average in
7excess of $25,000 per month during the preceding 2 complete
8calendar quarters, shall file a return with the Department as
9required by Section 2f and shall make payments to the
10Department on or before the 7th, 15th, 22nd and last day of the
11month during which such liability is incurred. If the month
12during which such tax liability is incurred began prior to
13September 1, 1985 (the effective date of Public Act 84-221)
14this amendatory Act of 1985, each payment shall be in an amount
15not less than 22.5% of the taxpayer's actual liability under
16Section 2d. If the month during which such tax liability is
17incurred begins on or after January 1, 1986, each payment shall
18be in an amount equal to 22.5% of the taxpayer's actual
19liability for the month or 27.5% of the taxpayer's liability
20for the same calendar month of the preceding calendar year. If
21the month during which such tax liability is incurred begins on
22or after January 1, 1987, each payment shall be in an amount
23equal to 22.5% of the taxpayer's actual liability for the month
24or 26.25% of the taxpayer's liability for the same calendar
25month of the preceding year. The amount of such quarter monthly
26payments shall be credited against the final tax liability of

HB0821 Engrossed- 102 -LRB100 06943 HLH 16994 b
1the taxpayer's return for that month filed under this Section
2or Section 2f, as the case may be. Once applicable, the
3requirement of the making of quarter monthly payments to the
4Department pursuant to this paragraph shall continue until such
5taxpayer's average monthly prepaid tax collections during the
6preceding 2 complete calendar quarters is $25,000 or less. If
7any such quarter monthly payment is not paid at the time or in
8the amount required, the taxpayer shall be liable for penalties
9and interest on such difference, except insofar as the taxpayer
10has previously made payments for that month in excess of the
11minimum payments previously due.
12 The provisions of this paragraph apply on and after October
131, 2001. Without regard to whether a taxpayer is required to
14make quarter monthly payments as specified above, any taxpayer
15who is required by Section 2d of this Act to collect and remit
16prepaid taxes and has collected prepaid taxes that average in
17excess of $20,000 per month during the preceding 4 complete
18calendar quarters shall file a return with the Department as
19required by Section 2f and shall make payments to the
20Department on or before the 7th, 15th, 22nd and last day of the
21month during which the liability is incurred. Each payment
22shall be in an amount equal to 22.5% of the taxpayer's actual
23liability for the month or 25% of the taxpayer's liability for
24the same calendar month of the preceding year. The amount of
25the quarter monthly payments shall be credited against the
26final tax liability of the taxpayer's return for that month

HB0821 Engrossed- 103 -LRB100 06943 HLH 16994 b
1filed under this Section or Section 2f, as the case may be.
2Once applicable, the requirement of the making of quarter
3monthly payments to the Department pursuant to this paragraph
4shall continue until the taxpayer's average monthly prepaid tax
5collections during the preceding 4 complete calendar quarters
6(excluding the month of highest liability and the month of
7lowest liability) is less than $19,000 or until such taxpayer's
8average monthly liability to the Department as computed for
9each calendar quarter of the 4 preceding complete calendar
10quarters is less than $20,000. If any such quarter monthly
11payment is not paid at the time or in the amount required, the
12taxpayer shall be liable for penalties and interest on such
13difference, except insofar as the taxpayer has previously made
14payments for that month in excess of the minimum payments
15previously due.
16 If any payment provided for in this Section exceeds the
17taxpayer's liabilities under this Act, the Use Tax Act, the
18Service Occupation Tax Act and the Service Use Tax Act, as
19shown on an original monthly return, the Department shall, if
20requested by the taxpayer, issue to the taxpayer a credit
21memorandum no later than 30 days after the date of payment. The
22credit evidenced by such credit memorandum may be assigned by
23the taxpayer to a similar taxpayer under this Act, the Use Tax
24Act, the Service Occupation Tax Act or the Service Use Tax Act,
25in accordance with reasonable rules and regulations to be
26prescribed by the Department. If no such request is made, the

HB0821 Engrossed- 104 -LRB100 06943 HLH 16994 b
1taxpayer may credit such excess payment against tax liability
2subsequently to be remitted to the Department under this Act,
3the Use Tax Act, the Service Occupation Tax Act or the Service
4Use Tax Act, in accordance with reasonable rules and
5regulations prescribed by the Department. If the Department
6subsequently determined that all or any part of the credit
7taken was not actually due to the taxpayer, the taxpayer's 2.1%
8and 1.75% vendor's discount shall be reduced by 2.1% or 1.75%
9of the difference between the credit taken and that actually
10due, and that taxpayer shall be liable for penalties and
11interest on such difference.
12 If a retailer of motor fuel is entitled to a credit under
13Section 2d of this Act which exceeds the taxpayer's liability
14to the Department under this Act for the month which the
15taxpayer is filing a return, the Department shall issue the
16taxpayer a credit memorandum for the excess.
17 Beginning January 1, 1990, each month the Department shall
18pay into the Local Government Tax Fund, a special fund in the
19State treasury which is hereby created, the net revenue
20realized for the preceding month from the 1% tax on sales of
21food for human consumption which is to be consumed off the
22premises where it is sold (other than alcoholic beverages, soft
23drinks and food which has been prepared for immediate
24consumption) and prescription and nonprescription medicines,
25drugs, medical appliances, products classified as Class III
26medical devices by the United States Food and Drug

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1Administration that are used for cancer treatment pursuant to a
2prescription, as well as any accessories and components related
3to those devices, and insulin, urine testing materials,
4syringes and needles used by diabetics.
5 Beginning January 1, 1990, each month the Department shall
6pay into the County and Mass Transit District Fund, a special
7fund in the State treasury which is hereby created, 4% of the
8net revenue realized for the preceding month from the 6.25%
9general rate.
10 Beginning August 1, 2000, each month the Department shall
11pay into the County and Mass Transit District Fund 20% of the
12net revenue realized for the preceding month from the 1.25%
13rate on the selling price of motor fuel and gasohol. Beginning
14September 1, 2010, each month the Department shall pay into the
15County and Mass Transit District Fund 20% of the net revenue
16realized for the preceding month from the 1.25% rate on the
17selling price of sales tax holiday items.
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 on
21the selling price of tangible personal property.
22 Beginning August 1, 2000, each month the Department shall
23pay into the Local Government Tax Fund 80% of the net revenue
24realized for the preceding month from the 1.25% rate on the
25selling price of motor fuel and gasohol. Beginning September 1,
262010, each month the Department shall pay into the Local

HB0821 Engrossed- 106 -LRB100 06943 HLH 16994 b
1Government Tax Fund 80% of the net revenue realized for the
2preceding month from the 1.25% rate on the selling price of
3sales tax holiday items.
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, 2011, each month the Department shall pay
12into the Clean Air Act Permit Fund 80% of the net revenue
13realized for the preceding month from the 6.25% general rate on
14the selling price of sorbents used in Illinois in the process
15of sorbent injection as used to comply with the Environmental
16Protection Act or the federal Clean Air Act, but the total
17payment into the Clean Air Act Permit Fund under this Act and
18the Use Tax Act shall not exceed $2,000,000 in any fiscal year.
19 Beginning July 1, 2013, each month the Department shall pay
20into the Underground Storage Tank Fund from the proceeds
21collected under this Act, the Use Tax Act, the Service Use Tax
22Act, and the Service Occupation Tax Act an amount equal to the
23average monthly deficit in the Underground Storage Tank Fund
24during the prior year, as certified annually by the Illinois
25Environmental Protection Agency, but the total payment into the
26Underground Storage Tank Fund under this Act, the Use Tax Act,

HB0821 Engrossed- 107 -LRB100 06943 HLH 16994 b
1the Service Use Tax Act, and the Service Occupation Tax Act
2shall not exceed $18,000,000 in any State fiscal year. As used
3in this paragraph, the "average monthly deficit" shall be equal
4to the difference between the average monthly claims for
5payment by the fund and the average monthly revenues deposited
6into the fund, excluding payments made pursuant to this
7paragraph.
8 Beginning July 1, 2015, of the remainder of the moneys
9received by the Department under the Use Tax Act, the Service
10Use Tax Act, the Service Occupation Tax Act, and this Act, each
11month the Department shall deposit $500,000 into the State
12Crime Laboratory Fund.
13 Of the remainder of the moneys received by the Department
14pursuant to this Act, (a) 1.75% thereof shall be paid into the
15Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
16and after July 1, 1989, 3.8% thereof shall be paid into the
17Build Illinois Fund; provided, however, that if in any fiscal
18year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
19may be, of the moneys received by the Department and required
20to be paid into the Build Illinois Fund pursuant to this Act,
21Section 9 of the Use Tax Act, Section 9 of the Service Use Tax
22Act, and Section 9 of the Service Occupation Tax Act, such Acts
23being hereinafter called the "Tax Acts" and such aggregate of
242.2% or 3.8%, as the case may be, of moneys being hereinafter
25called the "Tax Act Amount", and (2) the amount transferred to
26the Build Illinois Fund from the State and Local Sales Tax

HB0821 Engrossed- 108 -LRB100 06943 HLH 16994 b
1Reform Fund shall be less than the Annual Specified Amount (as
2hereinafter defined), an amount equal to the difference shall
3be immediately paid into the Build Illinois Fund from other
4moneys received by the Department pursuant to the Tax Acts; the
5"Annual Specified Amount" means the amounts specified below for
6fiscal years 1986 through 1993:
7Fiscal YearAnnual Specified Amount
81986$54,800,000
91987$76,650,000
101988$80,480,000
111989$88,510,000
121990$115,330,000
131991$145,470,000
141992$182,730,000
151993$206,520,000;
16and means the Certified Annual Debt Service Requirement (as
17defined in Section 13 of the Build Illinois Bond Act) or the
18Tax Act Amount, whichever is greater, for fiscal year 1994 and
19each fiscal year thereafter; and further provided, that if on
20the last business day of any month the sum of (1) the Tax Act
21Amount required to be deposited into the Build Illinois Bond
22Account in the Build Illinois Fund during such month and (2)
23the amount transferred to the Build Illinois Fund from the
24State and Local Sales Tax Reform Fund shall have been less than
251/12 of the Annual Specified Amount, an amount equal to the
26difference shall be immediately paid into the Build Illinois

HB0821 Engrossed- 109 -LRB100 06943 HLH 16994 b
1Fund from other moneys received by the Department pursuant to
2the Tax Acts; and, further provided, that in no event shall the
3payments required under the preceding proviso result in
4aggregate payments into the Build Illinois Fund pursuant to
5this clause (b) for any fiscal year in excess of the greater of
6(i) the Tax Act Amount or (ii) the Annual Specified Amount for
7such fiscal year. The amounts payable into the Build Illinois
8Fund under clause (b) of the first sentence in this paragraph
9shall be payable only until such time as the aggregate amount
10on deposit under each trust indenture securing Bonds issued and
11outstanding pursuant to the Build Illinois Bond Act is
12sufficient, taking into account any future investment income,
13to fully provide, in accordance with such indenture, for the
14defeasance of or the payment of the principal of, premium, if
15any, and interest on the Bonds secured by such indenture and on
16any Bonds expected to be issued thereafter and all fees and
17costs payable with respect thereto, all as certified by the
18Director of the Bureau of the Budget (now Governor's Office of
19Management and Budget). If on the last business day of any
20month in which Bonds are outstanding pursuant to the Build
21Illinois Bond Act, the aggregate of moneys deposited in the
22Build Illinois Bond Account in the Build Illinois Fund in such
23month shall be less than the amount required to be transferred
24in such month from the Build Illinois Bond Account to the Build
25Illinois Bond Retirement and Interest Fund pursuant to Section
2613 of the Build Illinois Bond Act, an amount equal to such

HB0821 Engrossed- 110 -LRB100 06943 HLH 16994 b
1deficiency shall be immediately paid from other moneys received
2by the Department pursuant to the Tax Acts to the Build
3Illinois Fund; provided, however, that any amounts paid to the
4Build Illinois Fund in any fiscal year pursuant to this
5sentence shall be deemed to constitute payments pursuant to
6clause (b) of the first sentence of this paragraph and shall
7reduce the amount otherwise payable for such fiscal year
8pursuant to that clause (b). The moneys received by the
9Department pursuant to this Act and required to be deposited
10into the Build Illinois Fund are subject to the pledge, claim
11and charge set forth in Section 12 of the Build Illinois Bond
12Act.
13 Subject to payment of amounts into the Build Illinois Fund
14as provided in the preceding paragraph or in any amendment
15thereto hereafter enacted, the following specified monthly
16installment of the amount requested in the certificate of the
17Chairman of the Metropolitan Pier and Exposition Authority
18provided under Section 8.25f of the State Finance Act, but not
19in excess of sums designated as "Total Deposit", shall be
20deposited in the aggregate from collections under Section 9 of
21the Use Tax Act, Section 9 of the Service Use Tax Act, Section
229 of the Service Occupation Tax Act, and Section 3 of the
23Retailers' Occupation Tax Act into the McCormick Place
24Expansion Project Fund in the specified fiscal years.
25Fiscal YearTotal Deposit

HB0821 Engrossed- 111 -LRB100 06943 HLH 16994 b
11993 $0
21994 53,000,000
31995 58,000,000
41996 61,000,000
51997 64,000,000
61998 68,000,000
71999 71,000,000
82000 75,000,000
92001 80,000,000
102002 93,000,000
112003 99,000,000
122004103,000,000
132005108,000,000
142006113,000,000
152007119,000,000
162008126,000,000
172009132,000,000
182010139,000,000
192011146,000,000
202012153,000,000
212013161,000,000
222014170,000,000
232015179,000,000
242016189,000,000
252017199,000,000
262018210,000,000

HB0821 Engrossed- 112 -LRB100 06943 HLH 16994 b
12019221,000,000
22020233,000,000
32021246,000,000
42022260,000,000
52023275,000,000
62024 275,000,000
72025 275,000,000
82026 279,000,000
92027 292,000,000
102028 307,000,000
112029 322,000,000
122030 338,000,000
132031 350,000,000
142032 350,000,000
15and
16each fiscal year
17thereafter that bonds
18are outstanding under
19Section 13.2 of the
20Metropolitan Pier and
21Exposition Authority Act,
22but not after fiscal year 2060.
23 Beginning July 20, 1993 and in each month of each fiscal
24year thereafter, one-eighth of the amount requested in the
25certificate of the Chairman of the Metropolitan Pier and
26Exposition Authority for that fiscal year, less the amount

HB0821 Engrossed- 113 -LRB100 06943 HLH 16994 b
1deposited into the McCormick Place Expansion Project Fund by
2the State Treasurer in the respective month under subsection
3(g) of Section 13 of the Metropolitan Pier and Exposition
4Authority Act, plus cumulative deficiencies in the deposits
5required under this Section for previous months and years,
6shall be deposited into the McCormick Place Expansion Project
7Fund, until the full amount requested for the fiscal year, but
8not in excess of the amount specified above as "Total Deposit",
9has been deposited.
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 Tax
15Increment Fund 0.27% of 80% of the net revenue realized for the
16preceding 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 25-year
23period, the Department shall each month pay into the Energy
24Infrastructure Fund 80% of the net revenue realized from the
256.25% general rate on the selling price of Illinois-mined coal
26that was sold to an eligible business. For purposes of this

HB0821 Engrossed- 114 -LRB100 06943 HLH 16994 b
1paragraph, the term "eligible business" means a new electric
2generating facility certified pursuant to Section 605-332 of
3the Department of Commerce and Economic Opportunity Law of the
4Civil Administrative Code of Illinois.
5 Subject to payment of amounts into the Build Illinois Fund,
6the McCormick Place Expansion Project Fund, the Illinois Tax
7Increment Fund, and the Energy Infrastructure Fund pursuant to
8the preceding paragraphs or in any amendments to this Section
9hereafter enacted, beginning on the first day of the first
10calendar month to occur on or after August 26, 2014 (the
11effective date of Public Act 98-1098) this amendatory Act of
12the 98th General Assembly, each month, from the collections
13made under Section 9 of the Use Tax Act, Section 9 of the
14Service Use Tax Act, Section 9 of the Service Occupation Tax
15Act, and Section 3 of the Retailers' Occupation Tax Act, the
16Department shall pay into the Tax Compliance and Administration
17Fund, to be used, subject to appropriation, to fund additional
18auditors and compliance personnel at the Department of Revenue,
19an amount equal to 1/12 of 5% of 80% of the cash receipts
20collected during the preceding fiscal year by the Audit Bureau
21of the Department under the Use Tax Act, the Service Use Tax
22Act, the Service Occupation Tax Act, the Retailers' Occupation
23Tax Act, and associated local occupation and use taxes
24administered by the Department.
25 Of the remainder of the moneys received by the Department
26pursuant to this Act, 75% thereof shall be paid into the State

HB0821 Engrossed- 115 -LRB100 06943 HLH 16994 b
1Treasury and 25% shall be reserved in a special account and
2used only for the transfer to the Common School Fund as part of
3the monthly transfer from the General Revenue Fund in
4accordance with Section 8a of the State Finance Act.
5 The Department may, upon separate written notice to a
6taxpayer, require the taxpayer to prepare and file with the
7Department on a form prescribed by the Department within not
8less than 60 days after receipt of the notice an annual
9information return for the tax year specified in the notice.
10Such annual return to the Department shall include a statement
11of gross receipts as shown by the retailer's last Federal
12income tax return. If the total receipts of the business as
13reported in the Federal income tax return do not agree with the
14gross receipts reported to the Department of Revenue for the
15same period, the retailer shall attach to his annual return a
16schedule showing a reconciliation of the 2 amounts and the
17reasons for the difference. The retailer's annual return to the
18Department shall also disclose the cost of goods sold by the
19retailer during the year covered by such return, opening and
20closing inventories of such goods for such year, costs of goods
21used from stock or taken from stock and given away by the
22retailer during such year, payroll information of the
23retailer's business during such year and any additional
24reasonable information which the Department deems would be
25helpful in determining the accuracy of the monthly, quarterly
26or annual returns filed by such retailer as provided for in

HB0821 Engrossed- 116 -LRB100 06943 HLH 16994 b
1this Section.
2 If the annual information return required by this Section
3is not filed when and as required, the taxpayer shall be liable
4as follows:
5 (i) Until January 1, 1994, the taxpayer shall be liable
6 for a penalty equal to 1/6 of 1% of the tax due from such
7 taxpayer under this Act during the period to be covered by
8 the annual return for each month or fraction of a month
9 until such return is filed as required, the penalty to be
10 assessed and collected in the same manner as any other
11 penalty provided for in this Act.
12 (ii) On and after January 1, 1994, the taxpayer shall
13 be liable for a penalty as described in Section 3-4 of the
14 Uniform Penalty and Interest Act.
15 The chief executive officer, proprietor, owner or highest
16ranking manager shall sign the annual return to certify the
17accuracy of the information contained therein. Any person who
18willfully signs the annual return containing false or
19inaccurate information shall be guilty of perjury and punished
20accordingly. The annual return form prescribed by the
21Department shall include a warning that the person signing the
22return may be liable for perjury.
23 The provisions of this Section concerning the filing of an
24annual information return do not apply to a retailer who is not
25required to file an income tax return with the United States
26Government.

HB0821 Engrossed- 117 -LRB100 06943 HLH 16994 b
1 As soon as possible after the first day of each month, upon
2certification of the Department of Revenue, the Comptroller
3shall order transferred and the Treasurer shall transfer from
4the General Revenue Fund to the Motor Fuel Tax Fund an amount
5equal to 1.7% of 80% of the net revenue realized under this Act
6for the second preceding month. Beginning April 1, 2000, this
7transfer is no longer required and shall not be made.
8 Net revenue realized for a month shall be the revenue
9collected by the State pursuant to this Act, less the amount
10paid out during that month as refunds to taxpayers for
11overpayment of liability.
12 For greater simplicity of administration, manufacturers,
13importers and wholesalers whose products are sold at retail in
14Illinois by numerous retailers, and who wish to do so, may
15assume the responsibility for accounting and paying to the
16Department all tax accruing under this Act with respect to such
17sales, if the retailers who are affected do not make written
18objection to the Department to this arrangement.
19 Any person who promotes, organizes, provides retail
20selling space for concessionaires or other types of sellers at
21the Illinois State Fair, DuQuoin State Fair, county fairs,
22local fairs, art shows, flea markets and similar exhibitions or
23events, including any transient merchant as defined by Section
242 of the Transient Merchant Act of 1987, is required to file a
25report with the Department providing the name of the merchant's
26business, the name of the person or persons engaged in

HB0821 Engrossed- 118 -LRB100 06943 HLH 16994 b
1merchant's business, the permanent address and Illinois
2Retailers Occupation Tax Registration Number of the merchant,
3the dates and location of the event and other reasonable
4information that the Department may require. The report must be
5filed not later than the 20th day of the month next following
6the month during which the event with retail sales was held.
7Any person who fails to file a report required by this Section
8commits a business offense and is subject to a fine not to
9exceed $250.
10 Any person engaged in the business of selling tangible
11personal property at retail as a concessionaire or other type
12of seller at the Illinois State Fair, county fairs, art shows,
13flea markets and similar exhibitions or events, or any
14transient merchants, as defined by Section 2 of the Transient
15Merchant Act of 1987, may be required to make a daily report of
16the amount of such sales to the Department and to make a daily
17payment of the full amount of tax due. The Department shall
18impose this requirement when it finds that there is a
19significant risk of loss of revenue to the State at such an
20exhibition or event. Such a finding shall be based on evidence
21that a substantial number of concessionaires or other sellers
22who are not residents of Illinois will be engaging in the
23business of selling tangible personal property at retail at the
24exhibition or event, or other evidence of a significant risk of
25loss of revenue to the State. The Department shall notify
26concessionaires and other sellers affected by the imposition of

HB0821 Engrossed- 119 -LRB100 06943 HLH 16994 b
1this requirement. In the absence of notification by the
2Department, the concessionaires and other sellers shall file
3their returns as otherwise required in this Section.
4(Source: P.A. 98-24, eff. 6-19-13; 98-109, eff. 7-25-13;
598-496, eff. 1-1-14; 98-756, eff. 7-16-14; 98-1098, eff.
68-26-14; 99-352, eff. 8-12-15; 99-858, eff. 8-19-16; 99-933,
7eff. 1-27-17; revised 2-3-17.)
8 Section 25. The Automobile Renting Occupation and Use Tax
9Act is amended by changing Sections 3 and 4 as follows:
10 (35 ILCS 155/3) (from Ch. 120, par. 1703)
11 Sec. 3. A tax is imposed upon persons engaged in this State
12in the business of renting automobiles in Illinois at the rate
13of 5% of the gross receipts received from such business. The
14tax herein imposed does not apply to the renting of automobiles
15to any governmental body, nor to any corporation, society,
16association, foundation or institution organized and operated
17exclusively for charitable, religious or educational purposes,
18nor to any not for profit corporation, society, association,
19foundation, institution or organization which has no
20compensated officers or employees and which is organized and
21operated primarily for the recreation of persons 55 years of
22age or older. Every person engaged in this State in the
23business of renting automobiles shall apply to the Department
24(upon a form prescribed and furnished by the Department) for a

HB0821 Engrossed- 120 -LRB100 06943 HLH 16994 b
1certificate of registration under this Act. The certificate of
2registration which is issued by the Department to a retailer
3under the Retailers' Occupation Tax Act shall permit such
4rentor to engage in a business which is taxable under this
5Section without registering separately with the Department.
6 The Department shall have full power to administer and
7enforce this Section, to collect all taxes and penalties due
8hereunder, to dispose of taxes and penalties so collected in
9the manner hereinafter provided, and to determine all rights to
10credit memoranda, arising on account of the erroneous payment
11of tax or penalty hereunder. In the administration of, and
12compliance with, this Section, the Department and persons who
13are subject to this Section shall have the same rights,
14remedies, privileges, immunities, powers and duties, and be
15subject to the same conditions, restrictions, limitations,
16penalties and definitions of terms, and employ the same modes
17of procedure, as are prescribed in Sections 1, 1a, 2 through
182-65 (in respect to all provisions therein other than the State
19rate of tax), 2a, 2b, 2c, 3 (except provisions relating to
20transaction returns, electronic filing of returns, and quarter
21monthly payments), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 6,
226a, 6b, 6c, 7, 8, 9, 10, 11, 11a, 12 and 13 of the Retailers'
23Occupation Tax Act and Section 3-7 of the Uniform Penalty and
24Interest Act as fully as if those provisions were set forth
25herein.
26(Source: P.A. 86-1475; 87-205; 87-895.)

HB0821 Engrossed- 121 -LRB100 06943 HLH 16994 b
1 (35 ILCS 155/4) (from Ch. 120, par. 1704)
2 Sec. 4. A tax is imposed upon the privilege of using, in
3this State, an automobile which is rented from a rentor. Such
4tax is at the rate of 4% of the rental price of such automobile
5prior to July 1, 1985 and at the rate of 5% of the rental price
6of such automobile on and after July 1, 1985 paid to the rentor
7under any rental agreement. The tax herein imposed shall not
8apply to any governmental body, nor to any corporation,
9society, association, foundation or institution, organized and
10operated exclusively for charitable, religious or educational
11purposes, nor to any not for profit corporation, society,
12association, foundation, institution or organization which has
13no compensated officers or employees and which is organized and
14operated primarily for the recreation of persons 55 years of
15age or older, when using tangible personal property as a
16rentee.
17 The tax hereby imposed shall be collected from the rentee
18by a rentor maintaining a place of business in this State and
19remitted to the Department.
20 The tax hereby imposed and not paid to a rentor pursuant to
21the preceding paragraph of this Section shall be paid to the
22Department directly by any person using such automobile within
23this State.
24 Rentors shall collect the tax from rentees by adding the
25tax to the rental price of the automobile, when rented for use,

HB0821 Engrossed- 122 -LRB100 06943 HLH 16994 b
1in the manner prescribed by the Department. The Department
2shall have the power to adopt and promulgate reasonable rules
3and regulations for the adding of such tax by rentors to rental
4prices by prescribing bracket systems for the purpose of
5enabling such rentors to add and collect, as far as
6practicable, the amount of such tax.
7 The tax imposed by this Section shall, when collected, be
8stated as a distinct item separate and apart from the rental
9price of the automobile.
10 The Department shall have full power to administer and
11enforce this Section; to collect all taxes, penalties and
12interest due hereunder; to dispose of taxes, penalties and
13interest so collected in the manner hereinafter provided, and
14to determine all rights to credit memoranda or refunds arising
15on account of the erroneous payment of tax, penalty or interest
16hereunder. In the administration of, and compliance with, this
17Section, the Department and persons who are subject to this
18Section shall have the same rights, remedies, privileges,
19immunities, powers and duties, and be subject to the same
20conditions, restrictions, limitations, penalties and
21definitions of terms, and employ the same modes of procedure,
22as are prescribed in Sections 2, 3 through 3-80, 4, 6, 7, 8, 9
23(except provisions relating to transaction returns, electronic
24filing of returns, and quarter monthly payments), 10, 11, 12,
2512a, 12b, 13, 14, 15, 19, 20, 21 and 22 of the Use Tax Act, and
26are not inconsistent with this Section, as fully as if those

HB0821 Engrossed- 123 -LRB100 06943 HLH 16994 b
1provisions were set forth herein.
2(Source: P.A. 86-1475.)
3 Section 30. The Prepaid Wireless 9-1-1 Surcharge Act is
4amended by changing Section 20 as follows:
5 (50 ILCS 753/20)
6 Sec. 20. Administration of prepaid wireless 9-1-1
7surcharge.
8 (a) In the administration and enforcement of this Act, the
9provisions of Sections 2a, 2b, 2c, 3, 4, 5, 5a, 5b, 5c, 5d, 5e,
105f, 5g, 5i, 5j, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, and 12 of the
11Retailers' Occupation Tax Act that are not inconsistent with
12this Act, and Section 3-7 of the Uniform Penalty and Interest
13Act shall apply, as far as practicable, to the subject matter
14of this Act to the same extent as if those provisions were
15included in this Act. References to "taxes" in these
16incorporated Sections shall be construed to apply to the
17administration, payment, and remittance of all surcharges
18under this Act. The Department shall establish registration and
19payment procedures that substantially coincide with the
20registration and payment procedures that apply to the
21Retailers' Occupation Tax Act.
22 (b) A seller shall be permitted to deduct and retain 3% of
23prepaid wireless 9-1-1 surcharges that are collected by the
24seller from consumers and that are remitted and timely filed

HB0821 Engrossed- 124 -LRB100 06943 HLH 16994 b
1with the Department. Beginning January 1, 2018, the seller is
2allowed to deduct and retain a portion of the prepaid wireless
39-1-1 surcharges as authorized by this subsection only if the
4return is filed electronically as provided in Section 3 of the
5Retailers' Occupation Tax Act. Sellers who demonstrate that
6they do not have access to the Internet or demonstrate hardship
7in filing electronically may petition the Department to waive
8the electronic filing requirement.
9 (c) Other than the amounts for deposit into the Municipal
10Wireless Service Emergency Fund, the Department shall pay to
11the State Treasurer all prepaid wireless E911 charges,
12penalties, and interest collected under this Act for deposit
13into the Statewide 9-1-1 Fund. On or before the 25th day of
14each calendar month, the Department shall prepare and certify
15to the Comptroller the amount available to the Department of
16State Police for distribution out of the Statewide 9-1-1 Fund.
17The amount certified shall be the amount (not including credit
18memoranda) collected during the second preceding calendar
19month by the Department plus an amount the Department
20determines is necessary to offset any amounts which were
21erroneously paid to a different taxing body. The amount paid to
22the Statewide 9-1-1 Fund shall not include any amount equal to
23the amount of refunds made during the second preceding calendar
24month by the Department of Revenue to retailers under this Act
25or any amount that the Department determines is necessary to
26offset any amounts which were payable to a different taxing

HB0821 Engrossed- 125 -LRB100 06943 HLH 16994 b
1body but were erroneously paid to the Statewide 9-1-1 Fund. The
2Department of State Police shall distribute the funds in
3accordance with Section 30 of the Emergency Telephone Safety
4Act. The Department may deduct an amount, not to exceed 2% of
5remitted charges, to be transferred into the Tax Compliance and
6Administration Fund to reimburse the Department for its direct
7costs of administering the collection and remittance of prepaid
8wireless 9-1-1 surcharges.
9 (d) The Department shall administer the collection of all
109-1-1 surcharges and may adopt and enforce reasonable rules
11relating to the administration and enforcement of the
12provisions of this Act as may be deemed expedient. The
13Department shall require all surcharges collected under this
14Act to be reported on existing forms or combined forms,
15including, but not limited to, Form ST-1. Any overpayments
16received by the Department for liabilities reported on existing
17or combined returns shall be applied as an overpayment of
18retailers' occupation tax, use tax, service occupation tax, or
19service use tax liability.
20 (e) If a home rule municipality having a population in
21excess of 500,000 as of the effective date of this amendatory
22Act of the 97th General Assembly imposes an E911 surcharge
23under subsection (a-5) of Section 15 of this Act, then the
24Department shall pay to the State Treasurer all prepaid
25wireless E911 charges, penalties, and interest collected for
26deposit into the Municipal Wireless Service Emergency Fund. All

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1deposits into the Municipal Wireless Service Emergency Fund
2shall be held by the State Treasurer as ex officio custodian
3apart from all public moneys or funds of this State. Any
4interest attributable to moneys in the Fund must be deposited
5into the Fund. Moneys in the Municipal Wireless Service
6Emergency Fund are not subject to appropriation. On or before
7the 25th day of each calendar month, the Department shall
8prepare and certify to the Comptroller the amount available for
9disbursement to the home rule municipality out of the Municipal
10Wireless Service Emergency Fund. The amount to be paid to the
11Municipal Wireless Service Emergency Fund shall be the amount
12(not including credit memoranda) collected during the second
13preceding calendar month by the Department plus an amount the
14Department determines is necessary to offset any amounts which
15were erroneously paid to a different taxing body. The amount
16paid to the Municipal Wireless Service Emergency Fund shall not
17include any amount equal to the amount of refunds made during
18the second preceding calendar month by the Department to
19retailers under this Act or any amount that the Department
20determines is necessary to offset any amounts which were
21payable to a different taxing body but were erroneously paid to
22the Municipal Wireless Service Emergency Fund. Within 10 days
23after receipt by the Comptroller of the certification provided
24for in this subsection, the Comptroller shall cause the orders
25to be drawn for the respective amounts in accordance with the
26directions in the certification. The Department may deduct an

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1amount, not to exceed 2% of remitted charges, to be transferred
2into the Tax Compliance and Administration Fund to reimburse
3the Department for its direct costs of administering the
4collection and remittance of prepaid wireless 9-1-1
5surcharges.
6(Source: P.A. 99-6, eff. 1-1-16.)
7 Section 35. The Public Utilities Act is amended by changing
8Section 13-703 as follows:
9 (220 ILCS 5/13-703) (from Ch. 111 2/3, par. 13-703)
10 (Section scheduled to be repealed on July 1, 2017)
11 Sec. 13-703. (a) The Commission shall design and implement
12a program whereby each telecommunications carrier providing
13local exchange service shall provide a telecommunications
14device capable of servicing the needs of those persons with a
15hearing or speech disability together with a single party line,
16at no charge additional to the basic exchange rate, to any
17subscriber who is certified as having a hearing or speech
18disability by a hearing care professional, as defined in the
19Hearing Instrument Consumer Protection Act, a speech-language
20pathologist, or a qualified State agency and to any subscriber
21which is an organization serving the needs of those persons
22with a hearing or speech disability as determined and specified
23by the Commission pursuant to subsection (d).
24 (b) The Commission shall design and implement a program,

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1whereby each telecommunications carrier providing local
2exchange service shall provide a telecommunications relay
3system, using third party intervention to connect those persons
4having a hearing or speech disability with persons of normal
5hearing by way of intercommunications devices and the telephone
6system, making available reasonable access to all phases of
7public telephone service to persons who have a hearing or
8speech disability. In order to design a telecommunications
9relay system which will meet the requirements of those persons
10with a hearing or speech disability available at a reasonable
11cost, the Commission shall initiate an investigation and
12conduct public hearings to determine the most cost-effective
13method of providing telecommunications relay service to those
14persons who have a hearing or speech disability when using
15telecommunications devices and therein solicit the advice,
16counsel, and physical assistance of Statewide nonprofit
17consumer organizations that serve persons with hearing or
18speech disabilities in such hearings and during the development
19and implementation of the system. The Commission shall phase in
20this program, on a geographical basis, as soon as is
21practicable, but no later than June 30, 1990.
22 (c) The Commission shall establish a competitively neutral
23rate recovery mechanism that establishes charges in an amount
24to be determined by the Commission for each line of a
25subscriber to allow telecommunications carriers providing
26local exchange service to recover costs as they are incurred

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1under this Section. Beginning no later than April 1, 2016, and
2on a yearly basis thereafter, the Commission shall initiate a
3proceeding to establish the competitively neutral amount to be
4charged or assessed to subscribers of telecommunications
5carriers and wireless carriers, Interconnected VoIP service
6providers, and consumers of prepaid wireless
7telecommunications service in a manner consistent with this
8subsection (c) and subsection (f) of this Section. The
9Commission shall issue its order establishing the
10competitively neutral amount to be charged or assessed to
11subscribers of telecommunications carriers and wireless
12carriers, Interconnected VoIP service providers, and
13purchasers of prepaid wireless telecommunications service on
14or prior to June 1 of each year, and such amount shall take
15effect June 1 of each year.
16 Telecommunications carriers, wireless carriers,
17Interconnected VoIP service providers, and sellers of prepaid
18wireless telecommunications service shall have 60 days from the
19date the Commission files its order to implement the new rate
20established by the order.
21 (d) The Commission shall determine and specify those
22organizations serving the needs of those persons having a
23hearing or speech disability that shall receive a
24telecommunications device and in which offices the equipment
25shall be installed in the case of an organization having more
26than one office. For the purposes of this Section,

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1"organizations serving the needs of those persons with hearing
2or speech disabilities" means centers for independent living as
3described in Section 12a of the Rehabilitation of Persons with
4Disabilities Act and not-for-profit organizations whose
5primary purpose is serving the needs of those persons with
6hearing or speech disabilities. The Commission shall direct the
7telecommunications carriers subject to its jurisdiction and
8this Section to comply with its determinations and
9specifications in this regard.
10 (e) As used in this Section:
11 "Prepaid wireless telecommunications service" has the
12meaning given to that term under Section 10 of the Prepaid
13Wireless 9-1-1 Surcharge Act.
14 "Retail transaction" has the meaning given to that term
15under Section 10 of the Prepaid Wireless 9-1-1 Surcharge Act.
16 "Seller" has the meaning given to that term under Section
1710 of the Prepaid Wireless 9-1-1 Surcharge Act.
18 "Telecommunications carrier providing local exchange
19service" includes, without otherwise limiting the meaning of
20the term, telecommunications carriers which are purely mutual
21concerns, having no rates or charges for services, but paying
22the operating expenses by assessment upon the members of such a
23company and no other person.
24 "Wireless carrier" has the meaning given to that term under
25Section 10 of the Wireless Emergency Telephone Safety Act.
26 (f) Interconnected VoIP service providers, sellers of

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1prepaid wireless telecommunications service, and wireless
2carriers in Illinois shall collect and remit assessments
3determined in accordance with this Section in a competitively
4neutral manner in the same manner as a telecommunications
5carrier providing local exchange service. However, the
6assessment imposed on consumers of prepaid wireless
7telecommunications service shall be collected by the seller
8from the consumer and imposed per retail transaction as a
9percentage of that retail transaction on all retail
10transactions occurring in this State. The assessment on
11subscribers of wireless carriers and consumers of prepaid
12wireless telecommunications service shall not be imposed or
13collected prior to June 1, 2016.
14 Sellers of prepaid wireless telecommunications service
15shall remit the assessments to the Department of Revenue on the
16same form and in the same manner which they remit the fee
17collected under the Prepaid Wireless 9-1-1 Surcharge Act. For
18the purposes of display on the consumers' receipts, the rates
19of the fee collected under the Prepaid Wireless 9-1-1 Surcharge
20Act and the assessment under this Section may be combined. In
21administration and enforcement of this Section, the provisions
22of Sections 15 and 20 of the Prepaid Wireless 9-1-1 Surcharge
23Act (except subsections (a), (a-5), (b-5), (e), and (e-5) of
24Section 15 and subsections (c) and (e) of Section 20 of the
25Prepaid Wireless 9-1-1 Surcharge Act and, from June 29, 2015
26(the effective date of Public Act 99-6), the seller shall be

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1permitted to deduct and retain 3% of the assessments that are
2collected by the seller from consumers and that are remitted
3and timely filed with the Department) that are not inconsistent
4with this Section, shall apply, as far as practicable, to the
5subject matter of this Section to the same extent as if those
6provisions were included in this Section. Beginning on January
71, 2018, the seller is allowed to deduct and retain 3% of the
8assessments that are collected by the seller from consumers and
9that are remitted timely and timely filed with the Department,
10but only if the return is filed electronically as provided in
11Section 3 of the Retailers' Occupation Tax Act. Sellers who
12demonstrate that they do not have access to the Internet or
13demonstrate hardship in filing electronically may petition the
14Department to waive the electronic filing requirement. The
15Department shall deposit all assessments and penalties
16collected under this Section into the Illinois
17Telecommunications Access Corporation Fund, a special fund
18created in the State treasury. On or before the 25th day of
19each calendar month, the Department shall prepare and certify
20to the Comptroller the amount available to the Commission for
21distribution out of the Illinois Telecommunications Access
22Corporation Fund. The amount certified shall be the amount (not
23including credit memoranda) collected during the second
24preceding calendar month by the Department, plus an amount the
25Department determines is necessary to offset any amounts which
26were erroneously paid to a different taxing body or fund. The

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1amount paid to the Illinois Telecommunications Access
2Corporation Fund shall not include any amount equal to the
3amount of refunds made during the second preceding calendar
4month by the Department to retailers under this Section or any
5amount that the Department determines is necessary to offset
6any amounts which were payable to a different taxing body or
7fund but were erroneously paid to the Illinois
8Telecommunications Access Corporation Fund. The Commission
9shall distribute all the funds to the Illinois
10Telecommunications Access Corporation and the funds may only be
11used in accordance with the provisions of this Section. The
12Department shall deduct 2% of all amounts deposited in the
13Illinois Telecommunications Access Corporation Fund during
14every year of remitted assessments. Of the 2% deducted by the
15Department, one-half shall be transferred into the Tax
16Compliance and Administration Fund to reimburse the Department
17for its direct costs of administering the collection and
18remittance of the assessment. The remaining one-half shall be
19transferred into the Public Utility Fund to reimburse the
20Commission for its costs of distributing to the Illinois
21Telecommunications Access Corporation the amount certified by
22the Department for distribution. The amount to be charged or
23assessed under subsections (c) and (f) is not imposed on a
24provider or the consumer for wireless Lifeline service where
25the consumer does not pay the provider for the service. Where
26the consumer purchases from the provider optional minutes,

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1texts, or other services in addition to the federally funded
2Lifeline benefit, a consumer must pay the charge or assessment,
3and it must be collected by the seller according to this
4subsection (f).
5 Interconnected VoIP services shall not be considered an
6intrastate telecommunications service for the purposes of this
7Section in a manner inconsistent with federal law or Federal
8Communications Commission regulation.
9 (g) The provisions of this Section are severable under
10Section 1.31 of the Statute on Statutes.
11 (h) The Commission may adopt rules necessary to implement
12this Section.
13(Source: P.A. 99-6, eff. 6-29-15; 99-143, eff. 7-27-15; 99-642,
14eff. 7-28-16; 99-847, eff. 8-19-16; 99-933, eff. 1-27-17;
15revised 2-15-17.)
16 Section 40. The Environmental Protection Act is amended by
17changing Sections 55.8 and 55.10 as follows:
18 (415 ILCS 5/55.8) (from Ch. 111 1/2, par. 1055.8)
19 Sec. 55.8. Tire retailers.
20 (a) Any person selling new or used tires at retail or
21offering new or used tires for retail sale in this State shall:
22 (1) beginning on June 20, 2003 (the effective date of
23 Public Act 93-32), collect from retail customers a fee of
24 $2 per new or used tire sold and delivered in this State,

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1 to be paid to the Department of Revenue and deposited into
2 the Used Tire Management Fund, less a collection allowance
3 of 10 cents per tire to be retained by the retail seller
4 and a collection allowance of 10 cents per tire to be
5 retained by the Department of Revenue and paid into the
6 General Revenue Fund; the collection allowance for retail
7 sellers, however, shall be allowed only if the return is
8 filed timely and in the manner required by this Title XIV
9 and only for the amount that is paid timely in accordance
10 with this Title XIV;
11 (1.5) beginning on July 1, 2003, collect from retail
12 customers an additional 50 cents per new or used tire sold
13 and delivered in this State; the money collected from this
14 fee shall be deposited into the Emergency Public Health
15 Fund;
16 (2) accept for recycling used tires from customers, at
17 the point of transfer, in a quantity equal to the number of
18 new tires purchased; and
19 (3) post in a conspicuous place a written notice at
20 least 8.5 by 11 inches in size that includes the universal
21 recycling symbol and the following statements: "DO NOT put
22 used tires in the trash."; "Recycle your used tires."; and
23 "State law requires us to accept used tires for recycling,
24 in exchange for new tires purchased.".
25 (b) A person who accepts used tires for recycling under
26subsection (a) shall not allow the tires to accumulate for

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1periods of more than 90 days.
2 (c) The requirements of subsection (a) of this Section do
3not apply to mail order sales nor shall the retail sale of a
4motor vehicle be considered to be the sale of tires at retail
5or offering of tires for retail sale. Instead of filing
6returns, retailers of tires may remit the tire user fee to
7their suppliers of tires if the supplier of tires is a
8registered retailer of tires and agrees or otherwise arranges
9to collect and remit the tire fee to the Department of Revenue,
10notwithstanding the fact that the sale of the tire is a sale
11for resale and not a sale at retail. A tire supplier who enters
12into such an arrangement with a tire retailer shall be liable
13for the tax on all tires sold to the tire retailer and must (i)
14provide the tire retailer with a receipt that separately
15reflects the tire tax collected from the retailer on each
16transaction and (ii) accept used tires for recycling from the
17retailer's customers. The tire supplier shall be entitled to
18the collection allowance of 10 cents per tire, but only if the
19return is filed timely and only for the amount that is paid
20timely in accordance with this Title XIV.
21 The retailer of the tires must maintain in its books and
22records evidence that the appropriate fee was paid to the tire
23supplier and that the tire supplier has agreed to remit the fee
24to the Department of Revenue for each tire sold by the
25retailer. Otherwise, the tire retailer shall be directly liable
26for the fee on all tires sold at retail. Tire retailers paying

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1the fee to their suppliers are not entitled to the collection
2allowance of 10 cents per tire. The collection allowance for
3suppliers, however, shall be allowed only if the return is
4filed timely and in the manner required by this Title XIV and
5only for the amount that is paid timely in accordance with this
6Title XIV.
7 (d) The requirements of subsection (a) of this Section
8shall apply exclusively to tires to be used for vehicles
9defined in Section 1-217 of the Illinois Vehicle Code, aircraft
10tires, special mobile equipment, and implements of husbandry.
11 (e) The requirements of paragraph (1) of subsection (a) do
12not apply to the sale of reprocessed tires. For purposes of
13this Section, "reprocessed tire" means a used tire that has
14been recapped, retreaded, or regrooved and that has not been
15placed on a vehicle wheel rim.
16(Source: P.A. 98-584, eff. 8-27-13; 98-962, eff. 8-15-14.)
17 (415 ILCS 5/55.10) (from Ch. 111 1/2, par. 1055.10)
18 Sec. 55.10. Tax returns by retailer.
19 (a) Except as otherwise provided in this Section, for
20returns due on or before January 31, 2010, each retailer of
21tires maintaining a place of business in this State shall make
22a return to the Department of Revenue on a quarter annual
23basis, with the return for January, February and March of a
24given year being due by April 30 of that year; with the return
25for April, May and June of a given year being due by July 31 of

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1that year; with the return for July, August and September of a
2given year being due by October 31 of that year; and with the
3return for October, November and December of a given year being
4due by January 31 of the following year.
5 For returns due after January 31, 2010, each retailer of
6tires maintaining a place of business in this State shall make
7a return to the Department of Revenue on a quarter annual
8basis, with the return for January, February, and March of a
9given year being due by April 20 of that year; with the return
10for April, May, and June of a given year being due by July 20 of
11that year; with the return for July, August, and September of a
12given year being due by October 20 of that year; and with the
13return for October, November, and December of a given year
14being due by January 20 of the following year.
15 Notwithstanding any other provision of this Section to the
16contrary, the return for October, November, and December of
172009 is due by February 20, 2010.
18 On and after January 1, 2018, tire retailers and suppliers
19required to file electronically under Section 3 of the
20Retailers' Occupation Tax Act or Section 9 of the Use Tax Act
21must electronically file all returns pursuant to this Act. Tire
22retailers and suppliers who demonstrate that they do not have
23access to the Internet or demonstrate hardship in filing
24electronically may petition the Department to waive the
25electronic filing requirement.
26 (b) Each return made to the Department of Revenue shall

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1state:
2 (1) the name of the retailer;
3 (2) the address of the retailer's principal place of
4 business, and the address of the principal place of
5 business (if that is a different address) from which the
6 retailer engages in the business of making retail sales of
7 tires;
8 (3) total number of tires sold at retail for the
9 preceding calendar quarter;
10 (4) the amount of tax due; and
11 (5) such other reasonable information as the
12 Department of Revenue may require.
13 Notwithstanding any other provision of this Act concerning
14the time within which a retailer may file his return, in the
15case of any retailer who ceases to engage in the retail sale of
16tires, the retailer shall file a final return under this Act
17with the Department of Revenue not more than one month after
18discontinuing that business.
19(Source: P.A. 96-520, eff. 8-14-09.)
20 Section 99. Effective date. This Act takes effect upon
21becoming law.
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