Bill Text: IL HB4733 | 2013-2014 | 98th General Assembly | Amended


Bill Title: Amends the Unemployment Insurance Act. Provides that the term "employment" does not include the delivery or distribution of newspapers or shopping news to the consumer, rather than to the ultimate consumer. Deletes provisions relating to delivery to the ultimate consumer. Effective immediately.

Spectrum: Partisan Bill (Democrat 14-0)

Status: (Engrossed - Dead) 2014-12-04 - Remove Chief Co-Sponsor Rep. David R. Leitch [HB4733 Detail]

Download: Illinois-2013-HB4733-Amended.html

Sen. Kimberly A. Lightford

Filed: 12/2/2014

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1
AMENDMENT TO HOUSE BILL 4733
2 AMENDMENT NO. ______. Amend House Bill 4733, AS AMENDED, by
3replacing everything after the enacting clause with the
4following:
5 "Section 5. The Illinois Income Tax Act is amended by
6changing Section 704A as follows:
7 (35 ILCS 5/704A)
8 Sec. 704A. Employer's return and payment of tax withheld.
9 (a) In general, every employer who deducts and withholds or
10is required to deduct and withhold tax under this Act on or
11after January 1, 2008 shall make those payments and returns as
12provided in this Section.
13 (b) Returns. Every employer shall, in the form and manner
14required by the Department, make returns with respect to taxes
15withheld or required to be withheld under this Article 7 for
16each quarter beginning on or after January 1, 2008, on or

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1before the last day of the first month following the close of
2that quarter.
3 (c) Payments. With respect to amounts withheld or required
4to be withheld on or after January 1, 2008:
5 (1) Semi-weekly payments. For each calendar year, each
6 employer who withheld or was required to withhold more than
7 $12,000 during the one-year period ending on June 30 of the
8 immediately preceding calendar year, payment must be made:
9 (A) on or before each Friday of the calendar year,
10 for taxes withheld or required to be withheld on the
11 immediately preceding Saturday, Sunday, Monday, or
12 Tuesday;
13 (B) on or before each Wednesday of the calendar
14 year, for taxes withheld or required to be withheld on
15 the immediately preceding Wednesday, Thursday, or
16 Friday.
17 Beginning with calendar year 2011, payments made under
18 this paragraph (1) of subsection (c) must be made by
19 electronic funds transfer.
20 (2) Semi-weekly payments. Any employer who withholds
21 or is required to withhold more than $12,000 in any quarter
22 of a calendar year is required to make payments on the
23 dates set forth under item (1) of this subsection (c) for
24 each remaining quarter of that calendar year and for the
25 subsequent calendar year.
26 (3) Monthly payments. Each employer, other than an

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1 employer described in items (1) or (2) of this subsection,
2 shall pay to the Department, on or before the 15th day of
3 each month the taxes withheld or required to be withheld
4 during the immediately preceding month.
5 (4) Payments with returns. Each employer shall pay to
6 the Department, on or before the due date for each return
7 required to be filed under this Section, any tax withheld
8 or required to be withheld during the period for which the
9 return is due and not previously paid to the Department.
10 (d) Regulatory authority. The Department may, by rule:
11 (1) Permit employers, in lieu of the requirements of
12 subsections (b) and (c), to file annual returns due on or
13 before January 31 of the year for taxes withheld or
14 required to be withheld during the previous calendar year
15 and, if the aggregate amounts required to be withheld by
16 the employer under this Article 7 (other than amounts
17 required to be withheld under Section 709.5) do not exceed
18 $1,000 for the previous calendar year, to pay the taxes
19 required to be shown on each such return no later than the
20 due date for such return.
21 (2) Provide that any payment required to be made under
22 subsection (c)(1) or (c)(2) is deemed to be timely to the
23 extent paid by electronic funds transfer on or before the
24 due date for deposit of federal income taxes withheld from,
25 or federal employment taxes due with respect to, the wages
26 from which the Illinois taxes were withheld.

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1 (3) Designate one or more depositories to which payment
2 of taxes required to be withheld under this Article 7 must
3 be paid by some or all employers.
4 (4) Increase the threshold dollar amounts at which
5 employers are required to make semi-weekly payments under
6 subsection (c)(1) or (c)(2).
7 (e) Annual return and payment. Every employer who deducts
8and withholds or is required to deduct and withhold tax from a
9person engaged in domestic service employment, as that term is
10defined in Section 3510 of the Internal Revenue Code, may
11comply with the requirements of this Section with respect to
12such employees by filing an annual return and paying the taxes
13required to be deducted and withheld on or before the 15th day
14of the fourth month following the close of the employer's
15taxable year. The Department may allow the employer's return to
16be submitted with the employer's individual income tax return
17or to be submitted with a return due from the employer under
18Section 1400.2 of the Unemployment Insurance Act.
19 (f) Magnetic media and electronic filing. Any W-2 Form
20that, under the Internal Revenue Code and regulations
21promulgated thereunder, is required to be submitted to the
22Internal Revenue Service on magnetic media or electronically
23must also be submitted to the Department on magnetic media or
24electronically for Illinois purposes, if required by the
25Department.
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 (i) Each employer that (i) does not employ more than 50
6employees at any time during the applicable payment period and
7(ii) is subject to the Minimum Wage Law may claim a credit
8against payments due under this Section on and after July 1,
92015 and on or before June 30, 2018 in an amount equal to the
10difference between: (1) the wages paid by the employer to
11employees in Illinois whose wages do not exceed the minimum
12wage, calculated as if those employees were entitled to the
13minimum wage set forth under Section 4 of the Minimum Wage Law
14and not a higher minimum wage adopted by a unit of local
15government; and (2) the wages that would have been paid by the
16employer to those employees if the minimum wage had been $8.25
17per hour during that period.
18(Source: P.A. 96-834, eff. 12-14-09; 96-888, eff. 4-13-10;
1996-905, eff. 6-4-10; 96-1027, eff. 7-12-10; 97-333, eff.
208-12-11; 97-507, eff. 8-23-11.)
21 Section 10. The Minimum Wage Law is amended by changing
22Section 4 as follows:
23 (820 ILCS 105/4) (from Ch. 48, par. 1004)
24 Sec. 4. (a)(1) Every employer shall pay to each of his

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1employees in every occupation wages of not less than $2.30 per
2hour or in the case of employees under 18 years of age wages of
3not less than $1.95 per hour, except as provided in Sections 5
4and 6 of this Act, and on and after January 1, 1984, every
5employer shall pay to each of his employees in every occupation
6wages of not less than $2.65 per hour or in the case of
7employees under 18 years of age wages of not less than $2.25
8per hour, and on and after October 1, 1984 every employer shall
9pay to each of his employees in every occupation wages of not
10less than $3.00 per hour or in the case of employees under 18
11years of age wages of not less than $2.55 per hour, and on or
12after July 1, 1985 every employer shall pay to each of his
13employees in every occupation wages of not less than $3.35 per
14hour or in the case of employees under 18 years of age wages of
15not less than $2.85 per hour, and from January 1, 2004 through
16December 31, 2004 every employer shall pay to each of his or
17her employees who is 18 years of age or older in every
18occupation wages of not less than $5.50 per hour, and from
19January 1, 2005 through June 30, 2007 every employer shall pay
20to each of his or her employees who is 18 years of age or older
21in every occupation wages of not less than $6.50 per hour, and
22from July 1, 2007 through June 30, 2008 every employer shall
23pay to each of his or her employees who is 18 years of age or
24older in every occupation wages of not less than $7.50 per
25hour, and from July 1, 2008 through June 30, 2009 every
26employer shall pay to each of his or her employees who is 18

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1years of age or older in every occupation wages of not less
2than $7.75 per hour, and from July 1, 2009 through June 30,
32010 every employer shall pay to each of his or her employees
4who is 18 years of age or older in every occupation wages of
5not less than $8.00 per hour, and from on and after July 1,
62010 through June 30, 2015 every employer shall pay to each of
7his or her employees who is 18 years of age or older in every
8occupation wages of not less than $8.25 per hour, and from July
91, 2015 to June 30, 2016 every employer shall pay to each of
10his or her employees who is 18 years of age or older in every
11occupation wages of not less than $9.00 per hour, and from July
121, 2016 to June 30, 2017 every employer shall pay to each of
13his or her employees who is 18 years of age or older in every
14occupation wages of not less than $9.50 per hour, and from July
151, 2017 to June 30, 2018 every employer shall pay to each of
16his or her employees who is 18 years of age or older in every
17occupation wages of not less than $10.00 per hour, and from
18July 1, 2018 to June 30, 2019 every employer shall pay to each
19of his or her employees who is 18 years of age or older in every
20occupation wages of not less than $10.50 per hour, and on and
21after July 1, 2019 every employer shall pay to each of his or
22her employees who is 18 years of age or older in every
23occupation wages of not less than $11.00 per hour.
24 (2) Unless an employee's wages are reduced under Section 6,
25then in lieu of the rate prescribed in item (1) of this
26subsection (a), an employer may pay an employee who is 18 years

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1of age or older, during the first 90 consecutive calendar days
2after the employee is initially employed by the employer, a
3wage that is not more than 50 less than the wage prescribed in
4item (1) of this subsection (a); however, an employer shall pay
5not less than the rate prescribed in item (1) of this
6subsection (a) to:
7 (A) a day or temporary laborer, as defined in Section 5
8 of the Day and Temporary Labor Services Act, who is 18
9 years of age or older; and
10 (B) an employee who is 18 years of age or older and
11 whose employment is occasional or irregular and requires
12 not more than 90 days to complete.
13 (3) At no time shall the wages paid to any employee under
1418 years of age be more than 50 less than the wage required to
15be paid to employees who are at least 18 years of age under
16item (1) of this subsection (a).
17 (b) No employer shall discriminate between employees on the
18basis of sex or mental or physical handicap, except as
19otherwise provided in this Act by paying wages to employees at
20a rate less than the rate at which he pays wages to employees
21for the same or substantially similar work on jobs the
22performance of which requires equal skill, effort, and
23responsibility, and which are performed under similar working
24conditions, except where such payment is made pursuant to (1) a
25seniority system; (2) a merit system; (3) a system which
26measures earnings by quantity or quality of production; or (4)

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1a differential based on any other factor other than sex or
2mental or physical handicap, except as otherwise provided in
3this Act.
4 (c) Every employer of an employee engaged in an occupation
5in which gratuities have customarily and usually constituted
6and have been recognized as part of the remuneration for hire
7purposes is entitled to an allowance for gratuities as part of
8the hourly wage rate provided in Section 4, subsection (a) in
9an amount not to exceed 40% of the applicable minimum wage
10rate. The Director shall require each employer desiring an
11allowance for gratuities to provide substantial evidence that
12the amount claimed, which may not exceed 40% of the applicable
13minimum wage rate, was received by the employee in the period
14for which the claim of exemption is made, and no part thereof
15was returned to the employer.
16 (d) No camp counselor who resides on the premises of a
17seasonal camp of an organized not-for-profit corporation shall
18be subject to the adult minimum wage if the camp counselor (1)
19works 40 or more hours per week, and (2) receives a total
20weekly salary of not less than the adult minimum wage for a
2140-hour week. If the counselor works less than 40 hours per
22week, the counselor shall be paid the minimum hourly wage for
23each hour worked. Every employer of a camp counselor under this
24subsection is entitled to an allowance for meals and lodging as
25part of the hourly wage rate provided in Section 4, subsection
26(a), in an amount not to exceed 25% of the minimum wage rate.

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1 (e) A camp counselor employed at a day camp is not subject
2to the adult minimum wage if the camp counselor is paid a
3stipend on a onetime or periodic basis and, if the camp
4counselor is a minor, the minor's parent, guardian or other
5custodian has consented in writing to the terms of payment
6before the commencement of such employment.
7 (f) Preemption of home rule powers.
8 (1) The establishment of a minimum wage that employers
9 must pay their employees is an exclusive power and function
10 of the State. Except as provided in paragraph (2) of this
11 subsection (f), a home rule unit may not regulate or
12 establish a minimum wage. This subsection (f) is a denial
13 and limitation of the home rule powers and functions under
14 subsection (h) of Section 6 of Article VII of the Illinois
15 Constitution.
16 (2) Paragraph (1) of this subsection (f) shall not
17 apply to Ordinance No. 02014-9680 adopted by the City
18 Council of City of Chicago on December 2, 2014, provided
19 that: (i) the provisions set forth in that ordinance are
20 not changed by the City Council of the City of Chicago
21 after December 2, 2014; (ii) the minimum wage required to
22 be paid to employees subject to Section 1-24-020 of that
23 ordinance beginning July 1, 2019, and each year thereafter,
24 is no greater than $13.00 per hour; and (iii) the minimum
25 wage required to be paid employees subject to that
26 ordinance in occupations receiving gratuities beginning

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1 July 1, 2019, and each year thereafter, is no greater than
2 the amount calculated by the Commissioner of Business
3 Affairs and Consumer Protection of the City of Chicago by
4 June 1, 2018 pursuant to paragraph (3) of subsection (a) of
5 Section 1-24-030 of that ordinance. This paragraph (2) of
6 this subsection (f) is a limitation under subsection (i) of
7 Section 6 of Article VII of the Illinois Constitution.
8(Source: P.A. 94-1072, eff. 7-1-07; 94-1102, eff. 7-1-07;
995-945, eff. 1-1-09.)".
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