Bill Text: IL HB5481 | 2021-2022 | 102nd General Assembly | Introduced


Bill Title: Amends the Use Tax Act, the Service Use Tax Act, the Service Occupation Tax Act, and the Retailers' Occupation Tax Act. Provides that the tax on motor fuel, gasohol, majority blended ethanol fuel, biodiesel, and biodiesel blends shall be suspended if the percentage increase in the Consumer Price Index is more than 3% over the previous 12-month period. Provides for certain amounts to be transferred from the General Revenue Fund to the Road Fund if the suspension is in effect. Effective immediately.

Spectrum: Partisan Bill (Republican 6-0)

Status: (Introduced) 2022-03-21 - Added Co-Sponsor Rep. Amy Grant [HB5481 Detail]

Download: Illinois-2021-HB5481-Introduced.html


102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB5481

Introduced , by Rep. Patrick Windhorst

SYNOPSIS AS INTRODUCED:
35 ILCS 105/3-10
35 ILCS 105/9 from Ch. 120, par. 439.9
35 ILCS 110/3-10 from Ch. 120, par. 439.33-10
35 ILCS 110/9 from Ch. 120, par. 439.39
35 ILCS 115/3-10 from Ch. 120, par. 439.103-10
35 ILCS 115/9 from Ch. 120, par. 439.109
35 ILCS 120/2-10
35 ILCS 120/3 from Ch. 120, par. 442

Amends the Use Tax Act, the Service Use Tax Act, the Service Occupation Tax Act, and the Retailers' Occupation Tax Act. Provides that the tax on motor fuel, gasohol, majority blended ethanol fuel, biodiesel, and biodiesel blends shall be suspended if the percentage increase in the Consumer Price Index is more than 3% over the previous 12-month period. Provides for certain amounts to be transferred from the General Revenue Fund to the Road Fund if the suspension is in effect. Effective immediately.
LRB102 25409 HLH 34694 b

A BILL FOR

HB5481LRB102 25409 HLH 34694 b
1 AN ACT concerning revenue.
2 Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4 Section 5. The Use Tax Act is amended by changing Sections
53-10 and 9 as follows:
6 (35 ILCS 105/3-10)
7 Sec. 3-10. Rate of tax. Unless otherwise provided in this
8Section, the tax imposed by this Act is at the rate of 6.25% of
9either the selling price or the fair market value, if any, of
10the tangible personal property. In all cases where property
11functionally used or consumed is the same as the property that
12was purchased at retail, then the tax is imposed on the selling
13price of the property. In all cases where property
14functionally used or consumed is a by-product or waste product
15that has been refined, manufactured, or produced from property
16purchased at retail, then the tax is imposed on the lower of
17the fair market value, if any, of the specific property so used
18in this State or on the selling price of the property purchased
19at retail. For purposes of this Section "fair market value"
20means the price at which property would change hands between a
21willing buyer and a willing seller, neither being under any
22compulsion to buy or sell and both having reasonable knowledge
23of the relevant facts. The fair market value shall be

HB5481- 2 -LRB102 25409 HLH 34694 b
1established by Illinois sales by the taxpayer of the same
2property as that functionally used or consumed, or if there
3are no such sales by the taxpayer, then comparable sales or
4purchases of property of like kind and character in Illinois.
5 Beginning on July 1, 2000 and through December 31, 2000,
6with respect to motor fuel, as defined in Section 1.1 of the
7Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
8the Use Tax Act, the tax is imposed at the rate of 1.25%.
9 Beginning on August 6, 2010 through August 15, 2010, with
10respect to sales tax holiday items as defined in Section 3-6 of
11this Act, the tax is imposed at the rate of 1.25%.
12 With respect to gasohol, the tax imposed by this Act
13applies to (i) 70% of the proceeds of sales made on or after
14January 1, 1990, and before July 1, 2003, (ii) 80% of the
15proceeds of sales made on or after July 1, 2003 and on or
16before July 1, 2017, and (iii) 100% of the proceeds of sales
17made thereafter. If, at any time, however, the tax under this
18Act on sales of gasohol is imposed at the rate of 1.25%, then
19the tax imposed by this Act applies to 100% of the proceeds of
20sales of gasohol made during that time.
21 With respect to majority blended ethanol fuel, the tax
22imposed by this Act does not apply to the proceeds of sales
23made on or after July 1, 2003 and on or before December 31,
242023 but applies to 100% of the proceeds of sales made
25thereafter.
26 With respect to biodiesel blends with no less than 1% and

HB5481- 3 -LRB102 25409 HLH 34694 b
1no more than 10% biodiesel, the tax imposed by this Act applies
2to (i) 80% of the proceeds of sales made on or after July 1,
32003 and on or before December 31, 2018 and (ii) 100% of the
4proceeds of sales made thereafter. If, at any time, however,
5the tax under this Act on sales of biodiesel blends with no
6less than 1% and no more than 10% biodiesel is imposed at the
7rate of 1.25%, then the tax imposed by this Act applies to 100%
8of the proceeds of sales of biodiesel blends with no less than
91% and no more than 10% biodiesel made during that time.
10 With respect to 100% biodiesel and biodiesel blends with
11more than 10% but no more than 99% biodiesel, the tax imposed
12by this Act does not apply to the proceeds of sales made on or
13after July 1, 2003 and on or before December 31, 2023 but
14applies to 100% of the proceeds of sales made thereafter.
15 If the percentage increase, if any, in the Consumer Price
16Index for All Urban Consumers, as issued by the United States
17Department of Labor, is more than 3% over the previous
1812-month period, then, on the first day of the next month to
19occur after that change is reported by the United States
20Department of Labor, the tax under this Act on motor fuel,
21gasohol, majority blended ethanol fuel, biodiesel, and
22biodiesel blends shall be suspended until the first day of the
23next month to occur after the percentage increase, if any, in
24the Consumer Price Index for All Urban Consumers over the
25previous 12-month period is reported by the United States
26Department of Labor to be 3% or less.

HB5481- 4 -LRB102 25409 HLH 34694 b
1 With respect to food for human consumption that is to be
2consumed off the premises where it is sold (other than
3alcoholic beverages, food consisting of or infused with adult
4use cannabis, soft drinks, and food that has been prepared for
5immediate consumption) and prescription and nonprescription
6medicines, drugs, medical appliances, products classified as
7Class III medical devices by the United States Food and Drug
8Administration that are used for cancer treatment pursuant to
9a prescription, as well as any accessories and components
10related to those devices, modifications to a motor vehicle for
11the purpose of rendering it usable by a person with a
12disability, and insulin, blood sugar testing materials,
13syringes, and needles used by human diabetics, the tax is
14imposed at the rate of 1%. For the purposes of this Section,
15until September 1, 2009: the term "soft drinks" means any
16complete, finished, ready-to-use, non-alcoholic drink, whether
17carbonated or not, including but not limited to soda water,
18cola, fruit juice, vegetable juice, carbonated water, and all
19other preparations commonly known as soft drinks of whatever
20kind or description that are contained in any closed or sealed
21bottle, can, carton, or container, regardless of size; but
22"soft drinks" does not include coffee, tea, non-carbonated
23water, infant formula, milk or milk products as defined in the
24Grade A Pasteurized Milk and Milk Products Act, or drinks
25containing 50% or more natural fruit or vegetable juice.
26 Notwithstanding any other provisions of this Act,

HB5481- 5 -LRB102 25409 HLH 34694 b
1beginning September 1, 2009, "soft drinks" means non-alcoholic
2beverages that contain natural or artificial sweeteners. "Soft
3drinks" do not include beverages that contain milk or milk
4products, soy, rice or similar milk substitutes, or greater
5than 50% of vegetable or fruit juice by volume.
6 Until August 1, 2009, and notwithstanding any other
7provisions of this Act, "food for human consumption that is to
8be consumed off the premises where it is sold" includes all
9food sold through a vending machine, except soft drinks and
10food products that are dispensed hot from a vending machine,
11regardless of the location of the vending machine. Beginning
12August 1, 2009, and notwithstanding any other provisions of
13this Act, "food for human consumption that is to be consumed
14off the premises where it is sold" includes all food sold
15through a vending machine, except soft drinks, candy, and food
16products that are dispensed hot from a vending machine,
17regardless of the location of the vending machine.
18 Notwithstanding any other provisions of this Act,
19beginning September 1, 2009, "food for human consumption that
20is to be consumed off the premises where it is sold" does not
21include candy. For purposes of this Section, "candy" means a
22preparation of sugar, honey, or other natural or artificial
23sweeteners in combination with chocolate, fruits, nuts or
24other ingredients or flavorings in the form of bars, drops, or
25pieces. "Candy" does not include any preparation that contains
26flour or requires refrigeration.

HB5481- 6 -LRB102 25409 HLH 34694 b
1 Notwithstanding any other provisions of this Act,
2beginning September 1, 2009, "nonprescription medicines and
3drugs" does not include grooming and hygiene products. For
4purposes of this Section, "grooming and hygiene products"
5includes, but is not limited to, soaps and cleaning solutions,
6shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
7lotions and screens, unless those products are available by
8prescription only, regardless of whether the products meet the
9definition of "over-the-counter-drugs". For the purposes of
10this paragraph, "over-the-counter-drug" means a drug for human
11use that contains a label that identifies the product as a drug
12as required by 21 C.F.R. 201.66. The "over-the-counter-drug"
13label includes:
14 (A) A "Drug Facts" panel; or
15 (B) A statement of the "active ingredient(s)" with a
16 list of those ingredients contained in the compound,
17 substance or preparation.
18 Beginning on the effective date of this amendatory Act of
19the 98th General Assembly, "prescription and nonprescription
20medicines and drugs" includes medical cannabis purchased from
21a registered dispensing organization under the Compassionate
22Use of Medical Cannabis Program Act.
23 As used in this Section, "adult use cannabis" means
24cannabis subject to tax under the Cannabis Cultivation
25Privilege Tax Law and the Cannabis Purchaser Excise Tax Law
26and does not include cannabis subject to tax under the

HB5481- 7 -LRB102 25409 HLH 34694 b
1Compassionate Use of Medical Cannabis Program Act.
2 If the property that is purchased at retail from a
3retailer is acquired outside Illinois and used outside
4Illinois before being brought to Illinois for use here and is
5taxable under this Act, the "selling price" on which the tax is
6computed shall be reduced by an amount that represents a
7reasonable allowance for depreciation for the period of prior
8out-of-state use.
9(Source: P.A. 101-363, eff. 8-9-19; 101-593, eff. 12-4-19;
10102-4, eff. 4-27-21.)
11 (35 ILCS 105/9) (from Ch. 120, par. 439.9)
12 Sec. 9. Except as to motor vehicles, watercraft, aircraft,
13and trailers that are required to be registered with an agency
14of this State, each retailer required or authorized to collect
15the tax imposed by this Act shall pay to the Department the
16amount of such tax (except as otherwise provided) at the time
17when he is required to file his return for the period during
18which such tax was collected, less a discount of 2.1% prior to
19January 1, 1990, and 1.75% on and after January 1, 1990, or $5
20per calendar year, whichever is greater, which is allowed to
21reimburse the retailer for expenses incurred in collecting the
22tax, keeping records, preparing and filing returns, remitting
23the tax and supplying data to the Department on request. The
24discount under this Section is not allowed for the 1.25%
25portion of taxes paid on aviation fuel that is subject to the

HB5481- 8 -LRB102 25409 HLH 34694 b
1revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
247133. In the case of retailers who report and pay the tax on a
3transaction by transaction basis, as provided in this Section,
4such discount shall be taken with each such tax remittance
5instead of when such retailer files his periodic return. The
6discount allowed under this Section is allowed only for
7returns that are filed in the manner required by this Act. The
8Department may disallow the discount for retailers whose
9certificate of registration is revoked at the time the return
10is filed, but only if the Department's decision to revoke the
11certificate of registration has become final. A retailer need
12not remit that part of any tax collected by him to the extent
13that he is required to remit and does remit the tax imposed by
14the Retailers' Occupation Tax Act, with respect to the sale of
15the same property.
16 Where such tangible personal property is sold under a
17conditional sales contract, or under any other form of sale
18wherein the payment of the principal sum, or a part thereof, is
19extended beyond the close of the period for which the return is
20filed, the retailer, in collecting the tax (except as to motor
21vehicles, watercraft, aircraft, and trailers that are required
22to be registered with an agency of this State), may collect for
23each tax return period, only the tax applicable to that part of
24the selling price actually received during such tax return
25period.
26 Except as provided in this Section, on or before the

HB5481- 9 -LRB102 25409 HLH 34694 b
1twentieth day of each calendar month, such retailer shall file
2a return for the preceding calendar month. Such return shall
3be filed on forms prescribed by the Department and shall
4furnish such information as the Department may reasonably
5require. On and after January 1, 2018, except for returns for
6motor vehicles, watercraft, aircraft, and trailers that are
7required to be registered with an agency of this State, with
8respect to retailers whose annual gross receipts average
9$20,000 or more, all returns required to be filed pursuant to
10this Act shall be filed electronically. Retailers who
11demonstrate that they do not have access to the Internet or
12demonstrate hardship in filing electronically may petition the
13Department to waive the electronic filing requirement.
14 The Department may require returns to be filed on a
15quarterly basis. If so required, a return for each calendar
16quarter shall be filed on or before the twentieth day of the
17calendar month following the end of such calendar quarter. The
18taxpayer shall also file a return with the Department for each
19of the first two months of each calendar quarter, on or before
20the twentieth day of the following calendar month, stating:
21 1. The name of the seller;
22 2. The address of the principal place of business from
23 which he engages in the business of selling tangible
24 personal property at retail in this State;
25 3. The total amount of taxable receipts received by
26 him during the preceding calendar month from sales of

HB5481- 10 -LRB102 25409 HLH 34694 b
1 tangible personal property by him during such preceding
2 calendar month, including receipts from charge and time
3 sales, but less all deductions allowed by law;
4 4. The amount of credit provided in Section 2d of this
5 Act;
6 5. The amount of tax due;
7 5-5. The signature of the taxpayer; and
8 6. Such other reasonable information as the Department
9 may require.
10 Each retailer required or authorized to collect the tax
11imposed by this Act on aviation fuel sold at retail in this
12State during the preceding calendar month shall, instead of
13reporting and paying tax on aviation fuel as otherwise
14required by this Section, report and pay such tax on a separate
15aviation fuel tax return. The requirements related to the
16return shall be as otherwise provided in this Section.
17Notwithstanding any other provisions of this Act to the
18contrary, retailers collecting tax on aviation fuel shall file
19all aviation fuel tax returns and shall make all aviation fuel
20tax payments by electronic means in the manner and form
21required by the Department. For purposes of this Section,
22"aviation fuel" means jet fuel and aviation gasoline.
23 If a taxpayer fails to sign a return within 30 days after
24the proper notice and demand for signature by the Department,
25the return shall be considered valid and any amount shown to be
26due on the return shall be deemed assessed.

HB5481- 11 -LRB102 25409 HLH 34694 b
1 Notwithstanding any other provision of this Act to the
2contrary, retailers subject to tax on cannabis shall file all
3cannabis tax returns and shall make all cannabis tax payments
4by electronic means in the manner and form required by the
5Department.
6 Beginning October 1, 1993, a taxpayer who has an average
7monthly tax liability of $150,000 or more shall make all
8payments required by rules of the Department by electronic
9funds transfer. Beginning October 1, 1994, a taxpayer who has
10an average monthly tax liability of $100,000 or more shall
11make all payments required by rules of the Department by
12electronic funds transfer. Beginning October 1, 1995, a
13taxpayer who has an average monthly tax liability of $50,000
14or more shall make all payments required by rules of the
15Department by electronic funds transfer. Beginning October 1,
162000, a taxpayer who has an annual tax liability of $200,000 or
17more shall make all payments required by rules of the
18Department by electronic funds transfer. The term "annual tax
19liability" shall be the sum of the taxpayer's liabilities
20under this Act, and under all other State and local occupation
21and use tax laws administered by the Department, for the
22immediately preceding calendar year. The term "average monthly
23tax liability" means the sum of the taxpayer's liabilities
24under this Act, and under all other State and local occupation
25and use tax laws administered by the Department, for the
26immediately preceding calendar year divided by 12. Beginning

HB5481- 12 -LRB102 25409 HLH 34694 b
1on October 1, 2002, a taxpayer who has a tax liability in the
2amount set forth in subsection (b) of Section 2505-210 of the
3Department of Revenue Law shall make all payments required by
4rules of the Department by electronic funds transfer.
5 Before August 1 of each year beginning in 1993, the
6Department shall notify all taxpayers required to make
7payments by electronic funds transfer. All taxpayers required
8to make payments by electronic funds transfer shall make those
9payments for a minimum of one year beginning on October 1.
10 Any taxpayer not required to make payments by electronic
11funds transfer may make payments by electronic funds transfer
12with the permission of the Department.
13 All taxpayers required to make payment by electronic funds
14transfer and any taxpayers authorized to voluntarily make
15payments by electronic funds transfer shall make those
16payments in the manner authorized by the Department.
17 The Department shall adopt such rules as are necessary to
18effectuate a program of electronic funds transfer and the
19requirements of this Section.
20 Before October 1, 2000, if the taxpayer's average monthly
21tax liability to the Department under this Act, the Retailers'
22Occupation Tax Act, the Service Occupation Tax Act, the
23Service Use Tax Act was $10,000 or more during the preceding 4
24complete calendar quarters, he shall file a return with the
25Department each month by the 20th day of the month next
26following the month during which such tax liability is

HB5481- 13 -LRB102 25409 HLH 34694 b
1incurred and shall make payments to the Department on or
2before the 7th, 15th, 22nd and last day of the month during
3which such liability is incurred. On and after October 1,
42000, if the taxpayer's average monthly tax liability to the
5Department under this Act, the Retailers' Occupation Tax Act,
6the Service Occupation Tax Act, and the Service Use Tax Act was
7$20,000 or more during the preceding 4 complete calendar
8quarters, he shall file a return with the Department each
9month by the 20th day of the month next following the month
10during which such tax liability is incurred and shall make
11payment to the Department on or before the 7th, 15th, 22nd and
12last day of the month during which such liability is incurred.
13If the month during which such tax liability is incurred began
14prior to January 1, 1985, each payment shall be in an amount
15equal to 1/4 of the taxpayer's actual liability for the month
16or an amount set by the Department not to exceed 1/4 of the
17average monthly liability of the taxpayer to the Department
18for the preceding 4 complete calendar quarters (excluding the
19month of highest liability and the month of lowest liability
20in such 4 quarter period). If the month during which such tax
21liability is incurred begins on or after January 1, 1985, and
22prior to January 1, 1987, each payment shall be in an amount
23equal to 22.5% of the taxpayer's actual liability for the
24month or 27.5% of the taxpayer's liability for the same
25calendar month of the preceding year. If the month during
26which such tax liability is incurred begins on or after

HB5481- 14 -LRB102 25409 HLH 34694 b
1January 1, 1987, and prior to January 1, 1988, each payment
2shall be in an amount equal to 22.5% of the taxpayer's actual
3liability for the month or 26.25% of the taxpayer's liability
4for the same calendar month of the preceding year. If the month
5during which such tax liability is incurred begins on or after
6January 1, 1988, and prior to January 1, 1989, or begins on or
7after January 1, 1996, each payment shall be in an amount equal
8to 22.5% of the taxpayer's actual liability for the month or
925% of the taxpayer's liability for the same calendar month of
10the preceding year. If the month during which such tax
11liability is incurred begins on or after January 1, 1989, and
12prior to January 1, 1996, each payment shall be in an amount
13equal to 22.5% of the taxpayer's actual liability for the
14month or 25% of the taxpayer's liability for the same calendar
15month of the preceding year or 100% of the taxpayer's actual
16liability for the quarter monthly reporting period. The amount
17of such quarter monthly payments shall be credited against the
18final tax liability of the taxpayer's return for that month.
19Before October 1, 2000, once applicable, the requirement of
20the making of quarter monthly payments to the Department shall
21continue until such taxpayer's average monthly liability to
22the Department during the preceding 4 complete calendar
23quarters (excluding the month of highest liability and the
24month of lowest liability) is less than $9,000, or until such
25taxpayer's average monthly liability to the Department as
26computed for each calendar quarter of the 4 preceding complete

HB5481- 15 -LRB102 25409 HLH 34694 b
1calendar quarter period is less than $10,000. However, if a
2taxpayer can show the Department that a substantial change in
3the taxpayer's business has occurred which causes the taxpayer
4to anticipate that his average monthly tax liability for the
5reasonably foreseeable future will fall below the $10,000
6threshold stated above, then such taxpayer may petition the
7Department for change in such taxpayer's reporting status. On
8and after October 1, 2000, once applicable, the requirement of
9the making of quarter monthly payments to the Department shall
10continue until such taxpayer's average monthly liability to
11the Department during the preceding 4 complete calendar
12quarters (excluding the month of highest liability and the
13month of lowest liability) is less than $19,000 or until such
14taxpayer's average monthly liability to the Department as
15computed for each calendar quarter of the 4 preceding complete
16calendar quarter period is less than $20,000. However, if a
17taxpayer can show the Department that a substantial change in
18the taxpayer's business has occurred which causes the taxpayer
19to anticipate that his average monthly tax liability for the
20reasonably foreseeable future will fall below the $20,000
21threshold stated above, then such taxpayer may petition the
22Department for a change in such taxpayer's reporting status.
23The Department shall change such taxpayer's reporting status
24unless it finds that such change is seasonal in nature and not
25likely to be long term. If any such quarter monthly payment is
26not paid at the time or in the amount required by this Section,

HB5481- 16 -LRB102 25409 HLH 34694 b
1then the taxpayer shall be liable for penalties and interest
2on the difference between the minimum amount due and the
3amount of such quarter monthly payment actually and timely
4paid, except insofar as the taxpayer has previously made
5payments for that month to the Department in excess of the
6minimum payments previously due as provided in this Section.
7The Department shall make reasonable rules and regulations to
8govern the quarter monthly payment amount and quarter monthly
9payment dates for taxpayers who file on other than a calendar
10monthly basis.
11 If any such payment provided for in this Section exceeds
12the taxpayer's liabilities under this Act, the Retailers'
13Occupation Tax Act, the Service Occupation Tax Act and the
14Service Use Tax Act, as shown by an original monthly return,
15the Department shall issue to the taxpayer a credit memorandum
16no later than 30 days after the date of payment, which
17memorandum may be submitted by the taxpayer to the Department
18in payment of tax liability subsequently to be remitted by the
19taxpayer to the Department or be assigned by the taxpayer to a
20similar taxpayer under this Act, the Retailers' Occupation Tax
21Act, the Service Occupation Tax Act or the Service Use Tax Act,
22in accordance with reasonable rules and regulations to be
23prescribed by the Department, except that if such excess
24payment is shown on an original monthly return and is made
25after December 31, 1986, no credit memorandum shall be issued,
26unless requested by the taxpayer. If no such request is made,

HB5481- 17 -LRB102 25409 HLH 34694 b
1the taxpayer may credit such excess payment against tax
2liability subsequently to be remitted by the taxpayer to the
3Department under this Act, the Retailers' Occupation Tax Act,
4the Service Occupation Tax Act or the Service Use Tax Act, in
5accordance with reasonable rules and regulations prescribed by
6the Department. If the Department subsequently determines that
7all or any part of the credit taken was not actually due to the
8taxpayer, the taxpayer's 2.1% or 1.75% vendor's discount shall
9be reduced by 2.1% or 1.75% of the difference between the
10credit taken and that actually due, and the taxpayer shall be
11liable for penalties and interest on such difference.
12 If the retailer is otherwise required to file a monthly
13return and if the retailer's average monthly tax liability to
14the Department does not exceed $200, the Department may
15authorize his returns to be filed on a quarter annual basis,
16with the return for January, February, and March of a given
17year being due by April 20 of such year; with the return for
18April, May and June of a given year being due by July 20 of
19such year; with the return for July, August and September of a
20given year being due by October 20 of such year, and with the
21return for October, November and December of a given year
22being due by January 20 of the following year.
23 If the retailer is otherwise required to file a monthly or
24quarterly return and if the retailer's average monthly tax
25liability to the Department does not exceed $50, the
26Department may authorize his returns to be filed on an annual

HB5481- 18 -LRB102 25409 HLH 34694 b
1basis, with the return for a given year being due by January 20
2of the following year.
3 Such quarter annual and annual returns, as to form and
4substance, shall be subject to the same requirements as
5monthly returns.
6 Notwithstanding any other provision in this Act concerning
7the time within which a retailer may file his return, in the
8case of any retailer who ceases to engage in a kind of business
9which makes him responsible for filing returns under this Act,
10such retailer shall file a final return under this Act with the
11Department not more than one month after discontinuing such
12business.
13 In addition, with respect to motor vehicles, watercraft,
14aircraft, and trailers that are required to be registered with
15an agency of this State, except as otherwise provided in this
16Section, every retailer selling this kind of tangible personal
17property shall file, with the Department, upon a form to be
18prescribed and supplied by the Department, a separate return
19for each such item of tangible personal property which the
20retailer sells, except that if, in the same transaction, (i) a
21retailer of aircraft, watercraft, motor vehicles or trailers
22transfers more than one aircraft, watercraft, motor vehicle or
23trailer to another aircraft, watercraft, motor vehicle or
24trailer retailer for the purpose of resale or (ii) a retailer
25of aircraft, watercraft, motor vehicles, or trailers transfers
26more than one aircraft, watercraft, motor vehicle, or trailer

HB5481- 19 -LRB102 25409 HLH 34694 b
1to a purchaser for use as a qualifying rolling stock as
2provided in Section 3-55 of this Act, then that seller may
3report the transfer of all the aircraft, watercraft, motor
4vehicles or trailers involved in that transaction to the
5Department on the same uniform invoice-transaction reporting
6return form. For purposes of this Section, "watercraft" means
7a Class 2, Class 3, or Class 4 watercraft as defined in Section
83-2 of the Boat Registration and Safety Act, a personal
9watercraft, or any boat equipped with an inboard motor.
10 In addition, with respect to motor vehicles, watercraft,
11aircraft, and trailers that are required to be registered with
12an agency of this State, every person who is engaged in the
13business of leasing or renting such items and who, in
14connection with such business, sells any such item to a
15retailer for the purpose of resale is, notwithstanding any
16other provision of this Section to the contrary, authorized to
17meet the return-filing requirement of this Act by reporting
18the transfer of all the aircraft, watercraft, motor vehicles,
19or trailers transferred for resale during a month to the
20Department on the same uniform invoice-transaction reporting
21return form on or before the 20th of the month following the
22month in which the transfer takes place. Notwithstanding any
23other provision of this Act to the contrary, all returns filed
24under this paragraph must be filed by electronic means in the
25manner and form as required by the Department.
26 The transaction reporting return in the case of motor

HB5481- 20 -LRB102 25409 HLH 34694 b
1vehicles or trailers that are required to be registered with
2an agency of this State, shall be the same document as the
3Uniform Invoice referred to in Section 5-402 of the Illinois
4Vehicle Code and must show the name and address of the seller;
5the name and address of the purchaser; the amount of the
6selling price including the amount allowed by the retailer for
7traded-in property, if any; the amount allowed by the retailer
8for the traded-in tangible personal property, if any, to the
9extent to which Section 2 of this Act allows an exemption for
10the value of traded-in property; the balance payable after
11deducting such trade-in allowance from the total selling
12price; the amount of tax due from the retailer with respect to
13such transaction; the amount of tax collected from the
14purchaser by the retailer on such transaction (or satisfactory
15evidence that such tax is not due in that particular instance,
16if that is claimed to be the fact); the place and date of the
17sale; a sufficient identification of the property sold; such
18other information as is required in Section 5-402 of the
19Illinois Vehicle Code, and such other information as the
20Department may reasonably require.
21 The transaction reporting return in the case of watercraft
22and aircraft must show the name and address of the seller; the
23name and address of the purchaser; the amount of the selling
24price including the amount allowed by the retailer for
25traded-in property, if any; the amount allowed by the retailer
26for the traded-in tangible personal property, if any, to the

HB5481- 21 -LRB102 25409 HLH 34694 b
1extent to which Section 2 of this Act allows an exemption for
2the value of traded-in property; the balance payable after
3deducting such trade-in allowance from the total selling
4price; the amount of tax due from the retailer with respect to
5such transaction; the amount of tax collected from the
6purchaser by the retailer on such transaction (or satisfactory
7evidence that such tax is not due in that particular instance,
8if that is claimed to be the fact); the place and date of the
9sale, a sufficient identification of the property sold, and
10such other information as the Department may reasonably
11require.
12 Such transaction reporting return shall be filed not later
13than 20 days after the date of delivery of the item that is
14being sold, but may be filed by the retailer at any time sooner
15than that if he chooses to do so. The transaction reporting
16return and tax remittance or proof of exemption from the tax
17that is imposed by this Act may be transmitted to the
18Department by way of the State agency with which, or State
19officer with whom, the tangible personal property must be
20titled or registered (if titling or registration is required)
21if the Department and such agency or State officer determine
22that this procedure will expedite the processing of
23applications for title or registration.
24 With each such transaction reporting return, the retailer
25shall remit the proper amount of tax due (or shall submit
26satisfactory evidence that the sale is not taxable if that is

HB5481- 22 -LRB102 25409 HLH 34694 b
1the case), to the Department or its agents, whereupon the
2Department shall issue, in the purchaser's name, a tax receipt
3(or a certificate of exemption if the Department is satisfied
4that the particular sale is tax exempt) which such purchaser
5may submit to the agency with which, or State officer with
6whom, he must title or register the tangible personal property
7that is involved (if titling or registration is required) in
8support of such purchaser's application for an Illinois
9certificate or other evidence of title or registration to such
10tangible personal property.
11 No retailer's failure or refusal to remit tax under this
12Act precludes a user, who has paid the proper tax to the
13retailer, from obtaining his certificate of title or other
14evidence of title or registration (if titling or registration
15is required) upon satisfying the Department that such user has
16paid the proper tax (if tax is due) to the retailer. The
17Department shall adopt appropriate rules to carry out the
18mandate of this paragraph.
19 If the user who would otherwise pay tax to the retailer
20wants the transaction reporting return filed and the payment
21of tax or proof of exemption made to the Department before the
22retailer is willing to take these actions and such user has not
23paid the tax to the retailer, such user may certify to the fact
24of such delay by the retailer, and may (upon the Department
25being satisfied of the truth of such certification) transmit
26the information required by the transaction reporting return

HB5481- 23 -LRB102 25409 HLH 34694 b
1and the remittance for tax or proof of exemption directly to
2the Department and obtain his tax receipt or exemption
3determination, in which event the transaction reporting return
4and tax remittance (if a tax payment was required) shall be
5credited by the Department to the proper retailer's account
6with the Department, but without the 2.1% or 1.75% discount
7provided for in this Section being allowed. When the user pays
8the tax directly to the Department, he shall pay the tax in the
9same amount and in the same form in which it would be remitted
10if the tax had been remitted to the Department by the retailer.
11 Where a retailer collects the tax with respect to the
12selling price of tangible personal property which he sells and
13the purchaser thereafter returns such tangible personal
14property and the retailer refunds the selling price thereof to
15the purchaser, such retailer shall also refund, to the
16purchaser, the tax so collected from the purchaser. When
17filing his return for the period in which he refunds such tax
18to the purchaser, the retailer may deduct the amount of the tax
19so refunded by him to the purchaser from any other use tax
20which such retailer may be required to pay or remit to the
21Department, as shown by such return, if the amount of the tax
22to be deducted was previously remitted to the Department by
23such retailer. If the retailer has not previously remitted the
24amount of such tax to the Department, he is entitled to no
25deduction under this Act upon refunding such tax to the
26purchaser.

HB5481- 24 -LRB102 25409 HLH 34694 b
1 Any retailer filing a return under this Section shall also
2include (for the purpose of paying tax thereon) the total tax
3covered by such return upon the selling price of tangible
4personal property purchased by him at retail from a retailer,
5but as to which the tax imposed by this Act was not collected
6from the retailer filing such return, and such retailer shall
7remit the amount of such tax to the Department when filing such
8return.
9 If experience indicates such action to be practicable, the
10Department may prescribe and furnish a combination or joint
11return which will enable retailers, who are required to file
12returns hereunder and also under the Retailers' Occupation Tax
13Act, to furnish all the return information required by both
14Acts on the one form.
15 Where the retailer has more than one business registered
16with the Department under separate registration under this
17Act, such retailer may not file each return that is due as a
18single return covering all such registered businesses, but
19shall file separate returns for each such registered business.
20 Beginning January 1, 1990, each month the Department shall
21pay into the State and Local Sales Tax Reform Fund, a special
22fund in the State Treasury which is hereby created, the net
23revenue realized for the preceding month from the 1% tax
24imposed under this Act.
25 Beginning January 1, 1990, each month the Department shall
26pay into the County and Mass Transit District Fund 4% of the

HB5481- 25 -LRB102 25409 HLH 34694 b
1net revenue realized for the preceding month from the 6.25%
2general rate on the selling price of tangible personal
3property which is purchased outside Illinois at retail from a
4retailer and which is titled or registered by an agency of this
5State's government.
6 Beginning January 1, 1990, each month the Department shall
7pay into the State and Local Sales Tax Reform Fund, a special
8fund in the State Treasury, 20% of the net revenue realized for
9the preceding month from the 6.25% general rate on the selling
10price of tangible personal property, other than (i) tangible
11personal property which is purchased outside Illinois at
12retail from a retailer and which is titled or registered by an
13agency of this State's government and (ii) aviation fuel sold
14on or after December 1, 2019. This exception for aviation fuel
15only applies for so long as the revenue use requirements of 49
16U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the State.
17 For aviation fuel sold on or after December 1, 2019, each
18month the Department shall pay into the State Aviation Program
19Fund 20% of the net revenue realized for the preceding month
20from the 6.25% general rate on the selling price of aviation
21fuel, less an amount estimated by the Department to be
22required for refunds of the 20% portion of the tax on aviation
23fuel under this Act, which amount shall be deposited into the
24Aviation Fuel Sales Tax Refund Fund. The Department shall only
25pay moneys into the State Aviation Program Fund and the
26Aviation Fuels Sales Tax Refund Fund under this Act for so long

HB5481- 26 -LRB102 25409 HLH 34694 b
1as the revenue use requirements of 49 U.S.C. 47107(b) and 49
2U.S.C. 47133 are binding on the State.
3 Beginning August 1, 2000, each month the Department shall
4pay into the State and Local Sales Tax Reform Fund 100% of the
5net revenue realized for the preceding month from the 1.25%
6rate on the selling price of motor fuel and gasohol. Beginning
7September 1, 2010, each month the Department shall pay into
8the State and Local Sales Tax Reform Fund 100% of the net
9revenue realized for the preceding month from the 1.25% rate
10on the selling price of sales tax holiday items.
11 Beginning January 1, 1990, each month the Department shall
12pay into the Local Government Tax Fund 16% of the net revenue
13realized for the preceding month from the 6.25% general rate
14on the selling price of tangible personal property which is
15purchased outside Illinois at retail from a retailer and which
16is titled or registered by an agency of this State's
17government.
18 Beginning October 1, 2009, each month the Department shall
19pay into the Capital Projects Fund an amount that is equal to
20an amount estimated by the Department to represent 80% of the
21net revenue realized for the preceding month from the sale of
22candy, grooming and hygiene products, and soft drinks that had
23been taxed at a rate of 1% prior to September 1, 2009 but that
24are now taxed at 6.25%.
25 Beginning July 1, 2011, each month the Department shall
26pay into the Clean Air Act Permit Fund 80% of the net revenue

HB5481- 27 -LRB102 25409 HLH 34694 b
1realized for the preceding month from the 6.25% general rate
2on the selling price of sorbents used in Illinois in the
3process of sorbent injection as used to comply with the
4Environmental Protection Act or the federal Clean Air Act, but
5the total payment into the Clean Air Act Permit Fund under this
6Act and the Retailers' Occupation Tax Act shall not exceed
7$2,000,000 in any fiscal year.
8 Beginning July 1, 2013, each month the Department shall
9pay into the Underground Storage Tank Fund from the proceeds
10collected under this Act, the Service Use Tax Act, the Service
11Occupation Tax Act, and the Retailers' Occupation Tax Act an
12amount equal to the average monthly deficit in the Underground
13Storage Tank Fund during the prior year, as certified annually
14by the Illinois Environmental Protection Agency, but the total
15payment into the Underground Storage Tank Fund under this Act,
16the Service Use Tax Act, the Service Occupation Tax Act, and
17the Retailers' Occupation Tax Act shall not exceed $18,000,000
18in any State fiscal year. As used in this paragraph, the
19"average monthly deficit" shall be equal to the difference
20between the average monthly claims for payment by the fund and
21the average monthly revenues deposited into the fund,
22excluding payments made pursuant to this paragraph.
23 Beginning July 1, 2015, of the remainder of the moneys
24received by the Department under this Act, the Service Use Tax
25Act, the Service Occupation Tax Act, and the Retailers'
26Occupation Tax Act, each month the Department shall deposit

HB5481- 28 -LRB102 25409 HLH 34694 b
1$500,000 into the State Crime Laboratory Fund.
2 Of the remainder of the moneys received by the Department
3pursuant to this Act, (a) 1.75% thereof shall be paid into the
4Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
5and after July 1, 1989, 3.8% thereof shall be paid into the
6Build Illinois Fund; provided, however, that if in any fiscal
7year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
8may be, of the moneys received by the Department and required
9to be paid into the Build Illinois Fund pursuant to Section 3
10of the Retailers' Occupation Tax Act, Section 9 of the Use Tax
11Act, Section 9 of the Service Use Tax Act, and Section 9 of the
12Service Occupation Tax Act, such Acts being hereinafter called
13the "Tax Acts" and such aggregate of 2.2% or 3.8%, as the case
14may be, of moneys being hereinafter called the "Tax Act
15Amount", and (2) the amount transferred to the Build Illinois
16Fund from the State and Local Sales Tax Reform Fund shall be
17less than the Annual Specified Amount (as defined in Section 3
18of the Retailers' Occupation Tax Act), an amount equal to the
19difference shall be immediately paid into the Build Illinois
20Fund from other moneys received by the Department pursuant to
21the Tax Acts; and further provided, that if on the last
22business day of any month the sum of (1) the Tax Act Amount
23required to be deposited into the Build Illinois Bond Account
24in the Build Illinois Fund during such month and (2) the amount
25transferred during such month to the Build Illinois Fund from
26the State and Local Sales Tax Reform Fund shall have been less

HB5481- 29 -LRB102 25409 HLH 34694 b
1than 1/12 of the Annual Specified Amount, an amount equal to
2the difference shall be immediately paid into the Build
3Illinois Fund from other moneys received by the Department
4pursuant to the Tax Acts; and, further provided, that in no
5event shall the payments required under the preceding proviso
6result in aggregate payments into the Build Illinois Fund
7pursuant to this clause (b) for any fiscal year in excess of
8the greater of (i) the Tax Act Amount or (ii) the Annual
9Specified Amount for such fiscal year; and, further provided,
10that the amounts payable into the Build Illinois Fund under
11this clause (b) shall be payable only until such time as the
12aggregate amount on deposit under each trust indenture
13securing Bonds issued and outstanding pursuant to the Build
14Illinois Bond Act is sufficient, taking into account any
15future investment income, to fully provide, in accordance with
16such indenture, for the defeasance of or the payment of the
17principal of, premium, if any, and interest on the Bonds
18secured by such indenture and on any Bonds expected to be
19issued thereafter and all fees and costs payable with respect
20thereto, all as certified by the Director of the Bureau of the
21Budget (now Governor's Office of Management and Budget). If on
22the last business day of any month in which Bonds are
23outstanding pursuant to the Build Illinois Bond Act, the
24aggregate of the moneys deposited in the Build Illinois Bond
25Account in the Build Illinois Fund in such month shall be less
26than the amount required to be transferred in such month from

HB5481- 30 -LRB102 25409 HLH 34694 b
1the Build Illinois Bond Account to the Build Illinois Bond
2Retirement and Interest Fund pursuant to Section 13 of the
3Build Illinois Bond Act, an amount equal to such deficiency
4shall be immediately paid from other moneys received by the
5Department pursuant to the Tax Acts to the Build Illinois
6Fund; provided, however, that any amounts paid to the Build
7Illinois Fund in any fiscal year pursuant to this sentence
8shall be deemed to constitute payments pursuant to clause (b)
9of the preceding sentence and shall reduce the amount
10otherwise payable for such fiscal year pursuant to clause (b)
11of the preceding sentence. The moneys received by the
12Department pursuant to this Act and required to be deposited
13into the Build Illinois Fund are subject to the pledge, claim
14and charge set forth in Section 12 of the Build Illinois Bond
15Act.
16 Subject to payment of amounts into the Build Illinois Fund
17as provided in the preceding paragraph or in any amendment
18thereto hereafter enacted, the following specified monthly
19installment of the amount requested in the certificate of the
20Chairman of the Metropolitan Pier and Exposition Authority
21provided under Section 8.25f of the State Finance Act, but not
22in excess of the sums designated as "Total Deposit", shall be
23deposited in the aggregate from collections under Section 9 of
24the Use Tax Act, Section 9 of the Service Use Tax Act, Section
259 of the Service Occupation Tax Act, and Section 3 of the
26Retailers' Occupation Tax Act into the McCormick Place

HB5481- 31 -LRB102 25409 HLH 34694 b
1Expansion Project Fund in the specified fiscal years.
2Fiscal YearTotal Deposit
31993 $0
41994 53,000,000
51995 58,000,000
61996 61,000,000
71997 64,000,000
81998 68,000,000
91999 71,000,000
102000 75,000,000
112001 80,000,000
122002 93,000,000
132003 99,000,000
142004103,000,000
152005108,000,000
162006113,000,000
172007119,000,000
182008126,000,000
192009132,000,000
202010139,000,000
212011146,000,000
222012153,000,000
232013161,000,000
242014170,000,000
252015179,000,000
262016189,000,000

HB5481- 32 -LRB102 25409 HLH 34694 b
12017199,000,000
22018210,000,000
32019221,000,000
42020233,000,000
52021300,000,000
62022300,000,000
72023300,000,000
82024 300,000,000
92025 300,000,000
102026 300,000,000
112027 375,000,000
122028 375,000,000
132029 375,000,000
142030 375,000,000
152031 375,000,000
162032 375,000,000
172033 375,000,000
182034375,000,000
192035375,000,000
202036450,000,000
21and
22each fiscal year
23thereafter that bonds
24are outstanding under
25Section 13.2 of the
26Metropolitan Pier and

HB5481- 33 -LRB102 25409 HLH 34694 b
1Exposition Authority Act,
2but not after fiscal year 2060.
3 Beginning July 20, 1993 and in each month of each fiscal
4year thereafter, one-eighth of the amount requested in the
5certificate of the Chairman of the Metropolitan Pier and
6Exposition Authority for that fiscal year, less the amount
7deposited into the McCormick Place Expansion Project Fund by
8the State Treasurer in the respective month under subsection
9(g) of Section 13 of the Metropolitan Pier and Exposition
10Authority Act, plus cumulative deficiencies in the deposits
11required under this Section for previous months and years,
12shall be deposited into the McCormick Place Expansion Project
13Fund, until the full amount requested for the fiscal year, but
14not in excess of the amount specified above as "Total
15Deposit", has been deposited.
16 Subject to payment of amounts into the Capital Projects
17Fund, the Clean Air Act Permit Fund, the Build Illinois Fund,
18and the McCormick Place Expansion Project Fund pursuant to the
19preceding paragraphs or in any amendments thereto hereafter
20enacted, for aviation fuel sold on or after December 1, 2019,
21the Department shall each month deposit into the Aviation Fuel
22Sales Tax Refund Fund an amount estimated by the Department to
23be required for refunds of the 80% portion of the tax on
24aviation fuel under this Act. The Department shall only
25deposit moneys into the Aviation Fuel Sales Tax Refund Fund
26under this paragraph for so long as the revenue use

HB5481- 34 -LRB102 25409 HLH 34694 b
1requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
2binding on the State.
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 July 1, 1993 and ending on September 30,
72013, the Department shall each month pay into the Illinois
8Tax Increment Fund 0.27% of 80% of the net revenue realized for
9the preceding month from the 6.25% general rate on the selling
10price of tangible personal property.
11 Subject to payment of amounts into the Build Illinois Fund
12and the McCormick Place Expansion Project Fund pursuant to the
13preceding paragraphs or in any amendments thereto hereafter
14enacted, beginning with the receipt of the first report of
15taxes paid by an eligible business and continuing for a
1625-year period, the Department shall each month pay into the
17Energy Infrastructure Fund 80% of the net revenue realized
18from the 6.25% general rate on the selling price of
19Illinois-mined coal that was sold to an eligible business. For
20purposes of this paragraph, the term "eligible business" means
21a new electric generating facility certified pursuant to
22Section 605-332 of the Department of Commerce and Economic
23Opportunity Law of the Civil Administrative Code of Illinois.
24 Subject to payment of amounts into the Build Illinois
25Fund, the McCormick Place Expansion Project Fund, the Illinois
26Tax Increment Fund, and the Energy Infrastructure Fund

HB5481- 35 -LRB102 25409 HLH 34694 b
1pursuant to the preceding paragraphs or in any amendments to
2this Section hereafter enacted, beginning on the first day of
3the first calendar month to occur on or after August 26, 2014
4(the effective date of Public Act 98-1098), each month, from
5the collections made under Section 9 of the Use Tax Act,
6Section 9 of the Service Use Tax Act, Section 9 of the Service
7Occupation Tax Act, and Section 3 of the Retailers' Occupation
8Tax Act, the Department shall pay into the Tax Compliance and
9Administration Fund, to be used, subject to appropriation, to
10fund additional auditors and compliance personnel at the
11Department of Revenue, an amount equal to 1/12 of 5% of 80% of
12the cash receipts collected during the preceding fiscal year
13by the Audit Bureau of the Department under the Use Tax Act,
14the Service Use Tax Act, the Service Occupation Tax Act, the
15Retailers' Occupation Tax Act, and associated local occupation
16and use taxes administered by the Department.
17 Subject to payments of amounts into the Build Illinois
18Fund, the McCormick Place Expansion Project Fund, the Illinois
19Tax Increment Fund, the Energy Infrastructure Fund, and the
20Tax Compliance and Administration Fund as provided in this
21Section, beginning on July 1, 2018 the Department shall pay
22each month into the Downstate Public Transportation Fund the
23moneys required to be so paid under Section 2-3 of the
24Downstate Public Transportation Act.
25 Subject to successful execution and delivery of a
26public-private agreement between the public agency and private

HB5481- 36 -LRB102 25409 HLH 34694 b
1entity and completion of the civic build, beginning on July 1,
22023, of the remainder of the moneys received by the
3Department under the Use Tax Act, the Service Use Tax Act, the
4Service Occupation Tax Act, and this Act, the Department shall
5deposit the following specified deposits in the aggregate from
6collections under the Use Tax Act, the Service Use Tax Act, the
7Service Occupation Tax Act, and the Retailers' Occupation Tax
8Act, as required under Section 8.25g of the State Finance Act
9for distribution consistent with the Public-Private
10Partnership for Civic and Transit Infrastructure Project Act.
11The moneys received by the Department pursuant to this Act and
12required to be deposited into the Civic and Transit
13Infrastructure Fund are subject to the pledge, claim, and
14charge set forth in Section 25-55 of the Public-Private
15Partnership for Civic and Transit Infrastructure Project Act.
16As used in this paragraph, "civic build", "private entity",
17"public-private agreement", and "public agency" have the
18meanings provided in Section 25-10 of the Public-Private
19Partnership for Civic and Transit Infrastructure Project Act.
20 Fiscal Year............................Total Deposit
21 2024....................................$200,000,000
22 2025....................................$206,000,000
23 2026....................................$212,200,000
24 2027....................................$218,500,000
25 2028....................................$225,100,000
26 2029....................................$288,700,000

HB5481- 37 -LRB102 25409 HLH 34694 b
1 2030....................................$298,900,000
2 2031....................................$309,300,000
3 2032....................................$320,100,000
4 2033....................................$331,200,000
5 2034....................................$341,200,000
6 2035....................................$351,400,000
7 2036....................................$361,900,000
8 2037....................................$372,800,000
9 2038....................................$384,000,000
10 2039....................................$395,500,000
11 2040....................................$407,400,000
12 2041....................................$419,600,000
13 2042....................................$432,200,000
14 2043....................................$445,100,000
15 Beginning July 1, 2021 and until July 1, 2022, subject to
16the payment of amounts into the State and Local Sales Tax
17Reform Fund, the Build Illinois Fund, the McCormick Place
18Expansion Project Fund, the Illinois Tax Increment Fund, the
19Energy Infrastructure Fund, and the Tax Compliance and
20Administration Fund as provided in this Section, the
21Department shall pay each month into the Road Fund the amount
22estimated to represent 16% of the net revenue realized from
23the taxes imposed on motor fuel and gasohol. Beginning July 1,
242022 and until July 1, 2023, subject to the payment of amounts
25into the State and Local Sales Tax Reform Fund, the Build
26Illinois Fund, the McCormick Place Expansion Project Fund, the

HB5481- 38 -LRB102 25409 HLH 34694 b
1Illinois Tax Increment Fund, the Energy Infrastructure Fund,
2and the Tax Compliance and Administration Fund as provided in
3this Section, the Department shall pay each month into the
4Road Fund the amount estimated to represent 32% of the net
5revenue realized from the taxes imposed on motor fuel and
6gasohol. Beginning July 1, 2023 and until July 1, 2024,
7subject to the payment of amounts into the State and Local
8Sales Tax Reform Fund, the Build Illinois Fund, the McCormick
9Place Expansion Project Fund, the Illinois Tax Increment Fund,
10the Energy Infrastructure Fund, and the Tax Compliance and
11Administration Fund as provided in this Section, the
12Department shall pay each month into the Road Fund the amount
13estimated to represent 48% of the net revenue realized from
14the taxes imposed on motor fuel and gasohol. Beginning July 1,
152024 and until July 1, 2025, subject to the payment of amounts
16into the State and Local Sales Tax Reform Fund, the Build
17Illinois Fund, the McCormick Place Expansion Project Fund, the
18Illinois Tax Increment Fund, the Energy Infrastructure Fund,
19and the Tax Compliance and Administration Fund as provided in
20this Section, the Department shall pay each month into the
21Road Fund the amount estimated to represent 64% of the net
22revenue realized from the taxes imposed on motor fuel and
23gasohol. Beginning on July 1, 2025, subject to the payment of
24amounts into the State and Local Sales Tax Reform Fund, the
25Build Illinois Fund, the McCormick Place Expansion Project
26Fund, the Illinois Tax Increment Fund, the Energy

HB5481- 39 -LRB102 25409 HLH 34694 b
1Infrastructure Fund, and the Tax Compliance and Administration
2Fund as provided in this Section, the Department shall pay
3each month into the Road Fund the amount estimated to
4represent 80% of the net revenue realized from the taxes
5imposed on motor fuel and gasohol. As used in this paragraph
6"motor fuel" has the meaning given to that term in Section 1.1
7of the Motor Fuel Tax Act, and "gasohol" has the meaning given
8to that term in Section 3-40 of this Act.
9 If, in any month, the collection of the tax on motor fuel
10and gasohol is suspended because of an increase in the
11Consumer Price Index for all Urban Consumers, the Comptroller
12shall order transferred and the Treasurer shall transfer from
13the General Revenue Fund to the Road Fund an amount equal to
14the amount that would have been deposited into the Road Fund if
15the tax had been in effect.
16 Of the remainder of the moneys received by the Department
17pursuant to this Act, 75% thereof shall be paid into the State
18Treasury and 25% shall be reserved in a special account and
19used only for the transfer to the Common School Fund as part of
20the monthly transfer from the General Revenue Fund in
21accordance with Section 8a of the State Finance Act.
22 As soon as possible after the first day of each month, upon
23certification of the Department of Revenue, the Comptroller
24shall order transferred and the Treasurer shall transfer from
25the General Revenue Fund to the Motor Fuel Tax Fund an amount
26equal to 1.7% of 80% of the net revenue realized under this Act

HB5481- 40 -LRB102 25409 HLH 34694 b
1for the second preceding month. Beginning April 1, 2000, this
2transfer is no longer required and shall not be made.
3 Net revenue realized for a month shall be the revenue
4collected by the State pursuant to this Act, less the amount
5paid out during that month as refunds to taxpayers for
6overpayment of liability.
7 For greater simplicity of administration, manufacturers,
8importers and wholesalers whose products are sold at retail in
9Illinois by numerous retailers, and who wish to do so, may
10assume the responsibility for accounting and paying to the
11Department all tax accruing under this Act with respect to
12such sales, if the retailers who are affected do not make
13written objection to the Department to this arrangement.
14(Source: P.A. 100-303, eff. 8-24-17; 100-363, eff. 7-1-18;
15100-863, eff. 8-14-18; 100-1171, eff. 1-4-19; 101-10, Article
1615, Section 15-10, eff. 6-5-19; 101-10, Article 25, Section
1725-105, eff. 6-5-19; 101-27, eff. 6-25-19; 101-32, eff.
186-28-19; 101-604, eff. 12-13-19; 101-636, eff. 6-10-20.)
19 Section 10. The Service Use Tax Act is amended by changing
20Sections 3-10 and 9 as follows:
21 (35 ILCS 110/3-10) (from Ch. 120, par. 439.33-10)
22 Sec. 3-10. Rate of tax. Unless otherwise provided in this
23Section, the tax imposed by this Act is at the rate of 6.25% of
24the selling price of tangible personal property transferred as

HB5481- 41 -LRB102 25409 HLH 34694 b
1an incident to the sale of service, but, for the purpose of
2computing this tax, in no event shall the selling price be less
3than the cost price of the property to the serviceman.
4 Beginning on July 1, 2000 and through December 31, 2000,
5with respect to motor fuel, as defined in Section 1.1 of the
6Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
7the Use Tax Act, the tax is imposed at the rate of 1.25%.
8 With respect to gasohol, as defined in the Use Tax Act, the
9tax imposed by this Act applies to (i) 70% of the selling price
10of property transferred as an incident to the sale of service
11on or after January 1, 1990, and before July 1, 2003, (ii) 80%
12of the selling price of property transferred as an incident to
13the sale of service on or after July 1, 2003 and on or before
14July 1, 2017, and (iii) 100% of the selling price thereafter.
15If, at any time, however, the tax under this Act on sales of
16gasohol, as defined in the Use Tax Act, is imposed at the rate
17of 1.25%, then the tax imposed by this Act applies to 100% of
18the proceeds of sales of gasohol made during that time.
19 With respect to majority blended ethanol fuel, as defined
20in the Use Tax Act, the tax imposed by this Act does not apply
21to the selling price of property transferred as an incident to
22the sale of service on or after July 1, 2003 and on or before
23December 31, 2023 but applies to 100% of the selling price
24thereafter.
25 With respect to biodiesel blends, as defined in the Use
26Tax Act, with no less than 1% and no more than 10% biodiesel,

HB5481- 42 -LRB102 25409 HLH 34694 b
1the tax imposed by this Act applies to (i) 80% of the selling
2price of property transferred as an incident to the sale of
3service on or after July 1, 2003 and on or before December 31,
42018 and (ii) 100% of the proceeds of the selling price
5thereafter. If, at any time, however, the tax under this Act on
6sales of biodiesel blends, as defined in the Use Tax Act, with
7no less than 1% and no more than 10% biodiesel is imposed at
8the rate of 1.25%, then the tax imposed by this Act applies to
9100% of the proceeds of sales of biodiesel blends with no less
10than 1% and no more than 10% biodiesel made during that time.
11 With respect to 100% biodiesel, as defined in the Use Tax
12Act, and biodiesel blends, as defined in the Use Tax Act, with
13more than 10% but no more than 99% biodiesel, the tax imposed
14by this Act does not apply to the proceeds of the selling price
15of property transferred as an incident to the sale of service
16on or after July 1, 2003 and on or before December 31, 2023 but
17applies to 100% of the selling price thereafter.
18 If the percentage increase, if any, in the Consumer Price
19Index for All Urban Consumers, as issued by the United States
20Department of Labor, is more than 3% over the previous
2112-month period, then, on the first day of the next month to
22occur after that change is reported by the United States
23Department of Labor, the tax under this Act on motor fuel,
24gasohol, majority blended ethanol fuel, biodiesel, and
25biodiesel blends shall be suspended until the first day of the
26next month to occur after the percentage increase, if any, in

HB5481- 43 -LRB102 25409 HLH 34694 b
1the Consumer Price Index for All Urban Consumers over the
2previous 12-month period is reported by the United States
3Department of Labor to be 3% or less.
4 At the election of any registered serviceman made for each
5fiscal year, sales of service in which the aggregate annual
6cost price of tangible personal property transferred as an
7incident to the sales of service is less than 35%, or 75% in
8the case of servicemen transferring prescription drugs or
9servicemen engaged in graphic arts production, of the
10aggregate annual total gross receipts from all sales of
11service, the tax imposed by this Act shall be based on the
12serviceman's cost price of the tangible personal property
13transferred as an incident to the sale of those services.
14 The tax shall be imposed at the rate of 1% on food prepared
15for immediate consumption and transferred incident to a sale
16of service subject to this Act or the Service Occupation Tax
17Act by an entity licensed under the Hospital Licensing Act,
18the Nursing Home Care Act, the Assisted Living and Shared
19Housing Act, the ID/DD Community Care Act, the MC/DD Act, the
20Specialized Mental Health Rehabilitation Act of 2013, or the
21Child Care Act of 1969, or an entity that holds a permit issued
22pursuant to the Life Care Facilities Act. The tax shall also be
23imposed at the rate of 1% on food for human consumption that is
24to be consumed off the premises where it is sold (other than
25alcoholic beverages, food consisting of or infused with adult
26use cannabis, soft drinks, and food that has been prepared for

HB5481- 44 -LRB102 25409 HLH 34694 b
1immediate consumption and is not otherwise included in this
2paragraph) and prescription and nonprescription medicines,
3drugs, medical appliances, products classified as Class III
4medical devices by the United States Food and Drug
5Administration that are used for cancer treatment pursuant to
6a prescription, as well as any accessories and components
7related to those devices, modifications to a motor vehicle for
8the purpose of rendering it usable by a person with a
9disability, and insulin, blood sugar testing materials,
10syringes, and needles used by human diabetics. For the
11purposes of this Section, until September 1, 2009: the term
12"soft drinks" means any complete, finished, ready-to-use,
13non-alcoholic drink, whether carbonated or not, including but
14not limited to soda water, cola, fruit juice, vegetable juice,
15carbonated water, and all other preparations commonly known as
16soft drinks of whatever kind or description that are contained
17in any closed or sealed bottle, can, carton, or container,
18regardless of size; but "soft drinks" does not include coffee,
19tea, non-carbonated water, infant formula, milk or milk
20products as defined in the Grade A Pasteurized Milk and Milk
21Products Act, or drinks containing 50% or more natural fruit
22or vegetable juice.
23 Notwithstanding any other provisions of this Act,
24beginning September 1, 2009, "soft drinks" means non-alcoholic
25beverages that contain natural or artificial sweeteners. "Soft
26drinks" do not include beverages that contain milk or milk

HB5481- 45 -LRB102 25409 HLH 34694 b
1products, soy, rice or similar milk substitutes, or greater
2than 50% of vegetable or fruit juice by volume.
3 Until August 1, 2009, and notwithstanding any other
4provisions of this Act, "food for human consumption that is to
5be consumed off the premises where it is sold" includes all
6food sold through a vending machine, except soft drinks and
7food products that are dispensed hot from a vending machine,
8regardless of the location of the vending machine. Beginning
9August 1, 2009, and notwithstanding any other provisions of
10this Act, "food for human consumption that is to be consumed
11off the premises where it is sold" includes all food sold
12through a vending machine, except soft drinks, candy, and food
13products that are dispensed hot from a vending machine,
14regardless of the location of the vending machine.
15 Notwithstanding any other provisions of this Act,
16beginning September 1, 2009, "food for human consumption that
17is to be consumed off the premises where it is sold" does not
18include candy. For purposes of this Section, "candy" means a
19preparation of sugar, honey, or other natural or artificial
20sweeteners in combination with chocolate, fruits, nuts or
21other ingredients or flavorings in the form of bars, drops, or
22pieces. "Candy" does not include any preparation that contains
23flour or requires refrigeration.
24 Notwithstanding any other provisions of this Act,
25beginning September 1, 2009, "nonprescription medicines and
26drugs" does not include grooming and hygiene products. For

HB5481- 46 -LRB102 25409 HLH 34694 b
1purposes of this Section, "grooming and hygiene products"
2includes, but is not limited to, soaps and cleaning solutions,
3shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
4lotions and screens, unless those products are available by
5prescription only, regardless of whether the products meet the
6definition of "over-the-counter-drugs". For the purposes of
7this paragraph, "over-the-counter-drug" means a drug for human
8use that contains a label that identifies the product as a drug
9as required by 21 C.F.R. 201.66. The "over-the-counter-drug"
10label includes:
11 (A) A "Drug Facts" panel; or
12 (B) A statement of the "active ingredient(s)" with a
13 list of those ingredients contained in the compound,
14 substance or preparation.
15 Beginning on January 1, 2014 (the effective date of Public
16Act 98-122), "prescription and nonprescription medicines and
17drugs" includes medical cannabis purchased from a registered
18dispensing organization under the Compassionate Use of Medical
19Cannabis Program Act.
20 As used in this Section, "adult use cannabis" means
21cannabis subject to tax under the Cannabis Cultivation
22Privilege Tax Law and the Cannabis Purchaser Excise Tax Law
23and does not include cannabis subject to tax under the
24Compassionate Use of Medical Cannabis Program Act.
25 If the property that is acquired from a serviceman is
26acquired outside Illinois and used outside Illinois before

HB5481- 47 -LRB102 25409 HLH 34694 b
1being brought to Illinois for use here and is taxable under
2this Act, the "selling price" on which the tax is computed
3shall be reduced by an amount that represents a reasonable
4allowance for depreciation for the period of prior
5out-of-state use.
6(Source: P.A. 101-363, eff. 8-9-19; 101-593, eff. 12-4-19;
7102-4, eff. 4-27-21; 102-16, eff. 6-17-21.)
8 (35 ILCS 110/9) (from Ch. 120, par. 439.39)
9 Sec. 9. Each serviceman required or authorized to collect
10the tax herein imposed shall pay to the Department the amount
11of such tax (except as otherwise provided) at the time when he
12is required to file his return for the period during which such
13tax was collected, less a discount of 2.1% prior to January 1,
141990 and 1.75% on and after January 1, 1990, or $5 per calendar
15year, whichever is greater, which is allowed to reimburse the
16serviceman for expenses incurred in collecting the tax,
17keeping records, preparing and filing returns, remitting the
18tax and supplying data to the Department on request. The
19discount under this Section is not allowed for the 1.25%
20portion of taxes paid on aviation fuel that is subject to the
21revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
2247133. The discount allowed under this Section is allowed only
23for returns that are filed in the manner required by this Act.
24The Department may disallow the discount for servicemen whose
25certificate of registration is revoked at the time the return

HB5481- 48 -LRB102 25409 HLH 34694 b
1is filed, but only if the Department's decision to revoke the
2certificate of registration has become final. A serviceman
3need not remit that part of any tax collected by him to the
4extent that he is required to pay and does pay the tax imposed
5by the Service Occupation Tax Act with respect to his sale of
6service involving the incidental transfer by him of the same
7property.
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
11month in accordance with reasonable Rules and Regulations to
12be promulgated by the Department. Such return shall be filed
13on a form 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
17to be filed pursuant to this Act shall be filed
18electronically. Servicemen who demonstrate that they do not
19have access to the Internet or demonstrate hardship in filing
20electronically may petition the Department to waive the
21electronic filing requirement.
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

HB5481- 49 -LRB102 25409 HLH 34694 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
6 State;
7 3. The total amount of taxable receipts received by
8 him during the preceding calendar month, including
9 receipts from charge and time sales, but less all
10 deductions allowed by law;
11 4. The amount of credit provided in Section 2d of this
12 Act;
13 5. The amount of tax due;
14 5-5. The signature of the taxpayer; and
15 6. Such other reasonable information as the Department
16 may require.
17 Each serviceman required or authorized to collect the tax
18imposed by this Act on aviation fuel transferred as an
19incident of a sale of service in this State during the
20preceding calendar month shall, instead of reporting and
21paying tax on aviation fuel as otherwise required by this
22Section, report and pay such tax on a separate aviation fuel
23tax return. The requirements related to the return shall be as
24otherwise provided in this Section. Notwithstanding any other
25provisions of this Act to the contrary, servicemen collecting
26tax on aviation fuel shall file all aviation fuel tax returns

HB5481- 50 -LRB102 25409 HLH 34694 b
1and shall make all aviation fuel tax payments by electronic
2means in the manner and form required by the Department. For
3purposes of this Section, "aviation fuel" means jet fuel and
4aviation gasoline.
5 If a taxpayer fails to sign a return within 30 days after
6the proper notice and demand for signature by the Department,
7the return shall be considered valid and any amount shown to be
8due on the return shall be deemed assessed.
9 Notwithstanding any other provision of this Act to the
10contrary, servicemen subject to tax on cannabis shall file all
11cannabis tax returns and shall make all cannabis tax payments
12by electronic means in the manner and form required by the
13Department.
14 Beginning October 1, 1993, a taxpayer who has an average
15monthly tax liability of $150,000 or more shall make all
16payments required by rules of the Department by electronic
17funds transfer. Beginning October 1, 1994, a taxpayer who has
18an average monthly tax liability of $100,000 or more shall
19make all payments required by rules of the Department by
20electronic funds transfer. Beginning October 1, 1995, a
21taxpayer who has an average monthly tax liability of $50,000
22or more shall make all payments required by rules of the
23Department by electronic funds transfer. Beginning October 1,
242000, a taxpayer who has an annual tax liability of $200,000 or
25more shall make all payments required by rules of the
26Department by electronic funds transfer. The term "annual tax

HB5481- 51 -LRB102 25409 HLH 34694 b
1liability" shall be the sum of the taxpayer's liabilities
2under this Act, and under all other State and local occupation
3and use tax laws administered by the Department, for the
4immediately preceding calendar year. The term "average monthly
5tax liability" means the sum of the taxpayer's liabilities
6under this Act, and under all other State and local occupation
7and use tax laws administered by the Department, for the
8immediately preceding calendar year divided by 12. Beginning
9on October 1, 2002, a taxpayer who has a tax liability in the
10amount set forth in subsection (b) of Section 2505-210 of the
11Department of Revenue Law shall make all payments required by
12rules of the Department by electronic funds transfer.
13 Before August 1 of each year beginning in 1993, the
14Department shall notify all taxpayers required to make
15payments by electronic funds transfer. All taxpayers required
16to make payments by electronic funds transfer shall make those
17payments for a minimum of one year beginning on October 1.
18 Any taxpayer not required to make payments by electronic
19funds transfer may make payments by electronic funds transfer
20with the permission of the Department.
21 All taxpayers required to make payment by electronic funds
22transfer and any taxpayers authorized to voluntarily make
23payments by electronic funds transfer shall make those
24payments in the manner authorized by the Department.
25 The Department shall adopt such rules as are necessary to
26effectuate a program of electronic funds transfer and the

HB5481- 52 -LRB102 25409 HLH 34694 b
1requirements of this Section.
2 If the serviceman is otherwise required to file a monthly
3return and if the serviceman's average monthly tax liability
4to the Department does not exceed $200, the Department may
5authorize his returns to be filed on a quarter annual basis,
6with the return for January, February and March of a given year
7being due by April 20 of such year; with the return for April,
8May and June of a given year being due by July 20 of such year;
9with the return for July, August and September of a given year
10being due by October 20 of such year, and with the return for
11October, November and December of a given year being due by
12January 20 of the following year.
13 If the serviceman is otherwise required to file a monthly
14or quarterly return and if the serviceman's average monthly
15tax liability to the Department does not exceed $50, the
16Department may authorize his returns to be filed on an annual
17basis, with the return for a given year being due by January 20
18of the following year.
19 Such quarter annual and annual returns, as to form and
20substance, shall be subject to the same requirements as
21monthly returns.
22 Notwithstanding any other provision in this Act concerning
23the time within which a serviceman may file his return, in the
24case of any serviceman who ceases to engage in a kind of
25business which makes him responsible for filing returns under
26this Act, such serviceman shall file a final return under this

HB5481- 53 -LRB102 25409 HLH 34694 b
1Act with the Department not more than 1 month after
2discontinuing such business.
3 Where a serviceman collects the tax with respect to the
4selling price of property which he sells and the purchaser
5thereafter returns such property and the serviceman refunds
6the selling price thereof to the purchaser, such serviceman
7shall also refund, to the purchaser, the tax so collected from
8the purchaser. When filing his return for the period in which
9he refunds such tax to the purchaser, the serviceman may
10deduct the amount of the tax so refunded by him to the
11purchaser from any other Service Use Tax, Service Occupation
12Tax, retailers' occupation tax or use tax which such
13serviceman may be required to pay or remit to the Department,
14as shown by such return, provided that the amount of the tax to
15be deducted shall previously have been remitted to the
16Department by such serviceman. If the serviceman shall not
17previously have remitted the amount of such tax to the
18Department, he shall be entitled to no deduction hereunder
19upon refunding such tax to the purchaser.
20 Any serviceman filing a return hereunder shall also
21include the total tax upon the selling price of tangible
22personal property purchased for use by him as an incident to a
23sale of service, and such serviceman shall remit the amount of
24such tax to the Department when filing such return.
25 If experience indicates such action to be practicable, the
26Department may prescribe and furnish a combination or joint

HB5481- 54 -LRB102 25409 HLH 34694 b
1return which will enable servicemen, who are required to file
2returns hereunder and also under the Service Occupation Tax
3Act, to furnish all the return information required by both
4Acts on the one form.
5 Where the serviceman has more than one business registered
6with the Department under separate registration hereunder,
7such serviceman shall not file each return that is due as a
8single return covering all such registered businesses, but
9shall file separate returns for each such registered business.
10 Beginning January 1, 1990, each month the Department shall
11pay into the State and Local Tax Reform Fund, a special fund in
12the State Treasury, the net revenue realized for the preceding
13month from the 1% tax imposed under this Act.
14 Beginning January 1, 1990, each month the Department shall
15pay into the State and Local Sales Tax Reform Fund 20% of the
16net revenue realized for the preceding month from the 6.25%
17general rate on transfers of tangible personal property, other
18than (i) tangible personal property which is purchased outside
19Illinois at retail from a retailer and which is titled or
20registered by an agency of this State's government and (ii)
21aviation fuel sold on or after December 1, 2019. This
22exception for aviation fuel only applies for so long as the
23revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
2447133 are binding on the State.
25 For aviation fuel sold on or after December 1, 2019, each
26month the Department shall pay into the State Aviation Program

HB5481- 55 -LRB102 25409 HLH 34694 b
1Fund 20% of the net revenue realized for the preceding month
2from the 6.25% general rate on the selling price of aviation
3fuel, less an amount estimated by the Department to be
4required for refunds of the 20% portion of the tax on aviation
5fuel under this Act, which amount shall be deposited into the
6Aviation Fuel Sales Tax Refund Fund. The Department shall only
7pay moneys into the State Aviation Program Fund and the
8Aviation Fuel Sales Tax Refund Fund under this Act for so long
9as the revenue use requirements of 49 U.S.C. 47107(b) and 49
10U.S.C. 47133 are binding on the State.
11 Beginning August 1, 2000, each month the Department shall
12pay into the State and Local Sales Tax Reform Fund 100% of the
13net revenue realized for the preceding month from the 1.25%
14rate on the selling price of motor fuel and gasohol.
15 Beginning October 1, 2009, each month the Department shall
16pay into the Capital Projects Fund an amount that is equal to
17an amount estimated by the Department to represent 80% of the
18net revenue realized for the preceding month from the sale of
19candy, grooming and hygiene products, and soft drinks that had
20been taxed at a rate of 1% prior to September 1, 2009 but that
21are now taxed at 6.25%.
22 Beginning July 1, 2013, each month the Department shall
23pay into the Underground Storage Tank Fund from the proceeds
24collected under this Act, the Use Tax Act, the Service
25Occupation Tax Act, and the Retailers' Occupation Tax Act an
26amount equal to the average monthly deficit in the Underground

HB5481- 56 -LRB102 25409 HLH 34694 b
1Storage Tank Fund during the prior year, as certified annually
2by the Illinois Environmental Protection Agency, but the total
3payment into the Underground Storage Tank Fund under this Act,
4the Use Tax Act, the Service Occupation Tax Act, and the
5Retailers' Occupation Tax Act shall not exceed $18,000,000 in
6any State fiscal year. As used in this paragraph, the "average
7monthly deficit" shall be equal to the difference between the
8average monthly claims for payment by the fund and the average
9monthly revenues deposited into the fund, excluding payments
10made pursuant to this paragraph.
11 Beginning July 1, 2015, of the remainder of the moneys
12received by the Department under the Use Tax Act, this Act, the
13Service Occupation Tax Act, and the Retailers' Occupation Tax
14Act, each month the Department shall deposit $500,000 into the
15State Crime Laboratory Fund.
16 Of the remainder of the moneys received by the Department
17pursuant to this Act, (a) 1.75% thereof shall be paid into the
18Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
19and after July 1, 1989, 3.8% thereof shall be paid into the
20Build Illinois Fund; provided, however, that if in any fiscal
21year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
22may be, of the moneys received by the Department and required
23to be paid into the Build Illinois Fund pursuant to Section 3
24of the Retailers' Occupation Tax Act, Section 9 of the Use Tax
25Act, Section 9 of the Service Use Tax Act, and Section 9 of the
26Service Occupation Tax Act, such Acts being hereinafter called

HB5481- 57 -LRB102 25409 HLH 34694 b
1the "Tax Acts" and such aggregate of 2.2% or 3.8%, as the case
2may be, of moneys being hereinafter called the "Tax Act
3Amount", and (2) the amount transferred to the Build Illinois
4Fund from the State and Local Sales Tax Reform Fund shall be
5less than the Annual Specified Amount (as defined in Section 3
6of the Retailers' Occupation Tax Act), an amount equal to the
7difference shall be immediately paid into the Build Illinois
8Fund from other moneys received by the Department pursuant to
9the Tax Acts; and further provided, that if on the last
10business day of any month the sum of (1) the Tax Act Amount
11required to be deposited into the Build Illinois Bond Account
12in the Build Illinois Fund during such month and (2) the amount
13transferred during such month to the Build Illinois Fund from
14the State and Local Sales Tax Reform Fund shall have been less
15than 1/12 of the Annual Specified Amount, an amount equal to
16the difference shall be immediately paid into the Build
17Illinois Fund from other moneys received by the Department
18pursuant to the Tax Acts; and, further provided, that in no
19event shall the payments required under the preceding proviso
20result in aggregate payments into the Build Illinois Fund
21pursuant to this clause (b) for any fiscal year in excess of
22the greater of (i) the Tax Act Amount or (ii) the Annual
23Specified Amount for such fiscal year; and, further provided,
24that the amounts payable into the Build Illinois Fund under
25this clause (b) shall be payable only until such time as the
26aggregate amount on deposit under each trust indenture

HB5481- 58 -LRB102 25409 HLH 34694 b
1securing Bonds issued and outstanding pursuant to the Build
2Illinois Bond Act is sufficient, taking into account any
3future investment income, to fully provide, in accordance with
4such indenture, for the defeasance of or the payment of the
5principal of, premium, if any, and interest on the Bonds
6secured by such indenture and on any Bonds expected to be
7issued thereafter and all fees and costs payable with respect
8thereto, all as certified by the Director of the Bureau of the
9Budget (now Governor's Office of Management and Budget). If on
10the last business day of any month in which Bonds are
11outstanding pursuant to the Build Illinois Bond Act, the
12aggregate of the moneys deposited in the Build Illinois Bond
13Account in the Build Illinois Fund in such month shall be less
14than the amount required to be transferred in such month from
15the Build Illinois Bond Account to the Build Illinois Bond
16Retirement and Interest Fund pursuant to Section 13 of the
17Build Illinois Bond Act, an amount equal to such deficiency
18shall be immediately paid from other moneys received by the
19Department pursuant to the Tax Acts to the Build Illinois
20Fund; provided, however, that any amounts paid to the Build
21Illinois Fund in any fiscal year pursuant to this sentence
22shall be deemed to constitute payments pursuant to clause (b)
23of the preceding sentence and shall reduce the amount
24otherwise payable for such fiscal year pursuant to clause (b)
25of the preceding sentence. The moneys received by the
26Department pursuant to this Act and required to be deposited

HB5481- 59 -LRB102 25409 HLH 34694 b
1into the Build Illinois Fund are subject to the pledge, claim
2and charge set forth in Section 12 of the Build Illinois Bond
3Act.
4 Subject to payment of amounts into the Build Illinois Fund
5as provided in the preceding paragraph or in any amendment
6thereto hereafter enacted, the following specified monthly
7installment of the amount requested in the certificate of the
8Chairman of the Metropolitan Pier and Exposition Authority
9provided under Section 8.25f of the State Finance Act, but not
10in excess of the sums designated as "Total Deposit", shall be
11deposited in the aggregate from collections under Section 9 of
12the Use Tax Act, Section 9 of the Service Use Tax Act, Section
139 of the Service Occupation Tax Act, and Section 3 of the
14Retailers' Occupation Tax Act into the McCormick Place
15Expansion Project Fund in the specified fiscal years.
16Fiscal YearTotal Deposit
171993 $0
181994 53,000,000
191995 58,000,000
201996 61,000,000
211997 64,000,000
221998 68,000,000
231999 71,000,000
242000 75,000,000
252001 80,000,000

HB5481- 60 -LRB102 25409 HLH 34694 b
12002 93,000,000
22003 99,000,000
32004103,000,000
42005108,000,000
52006113,000,000
62007119,000,000
72008126,000,000
82009132,000,000
92010139,000,000
102011146,000,000
112012153,000,000
122013161,000,000
132014170,000,000
142015179,000,000
152016189,000,000
162017199,000,000
172018210,000,000
182019221,000,000
192020233,000,000
202021300,000,000
212022300,000,000
222023300,000,000
232024 300,000,000
242025 300,000,000
252026 300,000,000
262027 375,000,000

HB5481- 61 -LRB102 25409 HLH 34694 b
12028 375,000,000
22029 375,000,000
32030 375,000,000
42031 375,000,000
52032 375,000,000
62033 375,000,000
72034375,000,000
82035375,000,000
92036450,000,000
10and
11each fiscal year
12thereafter that bonds
13are outstanding under
14Section 13.2 of the
15Metropolitan Pier and
16Exposition Authority Act,
17but not after fiscal year 2060.
18 Beginning July 20, 1993 and in each month of each fiscal
19year thereafter, one-eighth of the amount requested in the
20certificate of the Chairman of the Metropolitan Pier and
21Exposition Authority for that fiscal year, less the amount
22deposited into the McCormick Place Expansion Project Fund by
23the State Treasurer in the respective month under subsection
24(g) of Section 13 of the Metropolitan Pier and Exposition
25Authority Act, plus cumulative deficiencies in the deposits
26required under this Section for previous months and years,

HB5481- 62 -LRB102 25409 HLH 34694 b
1shall be deposited into the McCormick Place Expansion Project
2Fund, until the full amount requested for the fiscal year, but
3not in excess of the amount specified above as "Total
4Deposit", has been deposited.
5 Subject to payment of amounts into the Capital Projects
6Fund, the Clean Air Act Permit Fund, the Build Illinois Fund,
7and the McCormick Place Expansion Project Fund pursuant to the
8preceding paragraphs or in any amendments thereto hereafter
9enacted, for aviation fuel sold on or after December 1, 2019,
10the Department shall each month deposit into the Aviation Fuel
11Sales Tax Refund Fund an amount estimated by the Department to
12be required for refunds of the 80% portion of the tax on
13aviation fuel under this Act. The Department shall only
14deposit moneys into the Aviation Fuel Sales Tax Refund Fund
15under this paragraph for so long as the revenue use
16requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
17binding on the State.
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
23Tax Increment Fund 0.27% of 80% of the net revenue realized for
24the preceding 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

HB5481- 63 -LRB102 25409 HLH 34694 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
525-year period, the Department shall each month pay into the
6Energy Infrastructure Fund 80% of the net revenue realized
7from the 6.25% general rate on the selling price of
8Illinois-mined coal that was sold to an eligible business. For
9purposes of this paragraph, the term "eligible business" means
10a new electric generating facility certified pursuant to
11Section 605-332 of the Department of Commerce and Economic
12Opportunity Law of the Civil Administrative Code of Illinois.
13 Subject to payment of amounts into the Build Illinois
14Fund, the McCormick Place Expansion Project Fund, the Illinois
15Tax Increment Fund, and the Energy Infrastructure Fund
16pursuant to the preceding paragraphs or in any amendments to
17this Section hereafter enacted, beginning on the first day of
18the first calendar month to occur on or after August 26, 2014
19(the effective date of Public Act 98-1098), each month, from
20the collections made under Section 9 of the Use Tax Act,
21Section 9 of the Service Use Tax Act, Section 9 of the Service
22Occupation Tax Act, and Section 3 of the Retailers' Occupation
23Tax Act, the Department shall pay into the Tax Compliance and
24Administration Fund, to be used, subject to appropriation, to
25fund additional auditors and compliance personnel at the
26Department of Revenue, an amount equal to 1/12 of 5% of 80% of

HB5481- 64 -LRB102 25409 HLH 34694 b
1the cash receipts collected during the preceding fiscal year
2by the Audit Bureau of the Department under the Use Tax Act,
3the Service Use Tax Act, the Service Occupation Tax Act, the
4Retailers' Occupation Tax Act, and associated local occupation
5and use taxes administered by the Department.
6 Subject to payments of amounts into the Build Illinois
7Fund, the McCormick Place Expansion Project Fund, the Illinois
8Tax Increment Fund, the Energy Infrastructure Fund, and the
9Tax Compliance and Administration Fund as provided in this
10Section, beginning on July 1, 2018 the Department shall pay
11each month into the Downstate Public Transportation Fund the
12moneys required to be so paid under Section 2-3 of the
13Downstate Public Transportation Act.
14 Subject to successful execution and delivery of a
15public-private agreement between the public agency and private
16entity and completion of the civic build, beginning on July 1,
172023, of the remainder of the moneys received by the
18Department under the Use Tax Act, the Service Use Tax Act, the
19Service Occupation Tax Act, and this Act, the Department shall
20deposit the following specified deposits in the aggregate from
21collections under the Use Tax Act, the Service Use Tax Act, the
22Service Occupation Tax Act, and the Retailers' Occupation Tax
23Act, as required under Section 8.25g of the State Finance Act
24for distribution consistent with the Public-Private
25Partnership for Civic and Transit Infrastructure Project Act.
26The moneys received by the Department pursuant to this Act and

HB5481- 65 -LRB102 25409 HLH 34694 b
1required to be deposited into the Civic and Transit
2Infrastructure Fund are subject to the pledge, claim, and
3charge set forth in Section 25-55 of the Public-Private
4Partnership for Civic and Transit Infrastructure Project Act.
5As used in this paragraph, "civic build", "private entity",
6"public-private agreement", and "public agency" have the
7meanings provided in Section 25-10 of the Public-Private
8Partnership for Civic and Transit Infrastructure Project Act.
9 Fiscal Year............................Total Deposit
10 2024....................................$200,000,000
11 2025....................................$206,000,000
12 2026....................................$212,200,000
13 2027....................................$218,500,000
14 2028....................................$225,100,000
15 2029....................................$288,700,000
16 2030....................................$298,900,000
17 2031....................................$309,300,000
18 2032....................................$320,100,000
19 2033....................................$331,200,000
20 2034....................................$341,200,000
21 2035....................................$351,400,000
22 2036....................................$361,900,000
23 2037....................................$372,800,000
24 2038....................................$384,000,000
25 2039....................................$395,500,000
26 2040....................................$407,400,000

HB5481- 66 -LRB102 25409 HLH 34694 b
1 2041....................................$419,600,000
2 2042....................................$432,200,000
3 2043....................................$445,100,000
4 Beginning July 1, 2021 and until July 1, 2022, subject to
5the payment of amounts into the State and Local Sales Tax
6Reform Fund, the Build Illinois Fund, the McCormick Place
7Expansion Project Fund, the Illinois Tax Increment Fund, the
8Energy Infrastructure Fund, and the Tax Compliance and
9Administration Fund as provided in this Section, the
10Department shall pay each month into the Road Fund the amount
11estimated to represent 16% of the net revenue realized from
12the taxes imposed on motor fuel and gasohol. Beginning July 1,
132022 and until July 1, 2023, subject to the payment of amounts
14into the State and Local Sales Tax Reform Fund, the Build
15Illinois Fund, the McCormick Place Expansion Project Fund, the
16Illinois Tax Increment Fund, the Energy Infrastructure Fund,
17and the Tax Compliance and Administration Fund as provided in
18this Section, the Department shall pay each month into the
19Road Fund the amount estimated to represent 32% of the net
20revenue realized from the taxes imposed on motor fuel and
21gasohol. Beginning July 1, 2023 and until July 1, 2024,
22subject to the payment of amounts into the State and Local
23Sales Tax Reform Fund, the Build Illinois Fund, the McCormick
24Place Expansion Project Fund, the Illinois Tax Increment Fund,
25the Energy Infrastructure Fund, and the Tax Compliance and
26Administration Fund as provided in this Section, the

HB5481- 67 -LRB102 25409 HLH 34694 b
1Department shall pay each month into the Road Fund the amount
2estimated to represent 48% of the net revenue realized from
3the taxes imposed on motor fuel and gasohol. Beginning July 1,
42024 and until July 1, 2025, subject to the payment of amounts
5into the State and Local Sales Tax Reform Fund, the Build
6Illinois Fund, the McCormick Place Expansion Project Fund, the
7Illinois Tax Increment Fund, the Energy Infrastructure Fund,
8and the Tax Compliance and Administration Fund as provided in
9this Section, the Department shall pay each month into the
10Road Fund the amount estimated to represent 64% of the net
11revenue realized from the taxes imposed on motor fuel and
12gasohol. Beginning on July 1, 2025, subject to the payment of
13amounts into the State and Local Sales Tax Reform Fund, the
14Build Illinois Fund, the McCormick Place Expansion Project
15Fund, the Illinois Tax Increment Fund, the Energy
16Infrastructure Fund, and the Tax Compliance and Administration
17Fund as provided in this Section, the Department shall pay
18each month into the Road Fund the amount estimated to
19represent 80% of the net revenue realized from the taxes
20imposed on motor fuel and gasohol. As used in this paragraph
21"motor fuel" has the meaning given to that term in Section 1.1
22of the Motor Fuel Tax Act, and "gasohol" has the meaning given
23to that term in Section 3-40 of the Use Tax Act.
24 If, in any month, the collection of the tax on motor fuel
25and gasohol is suspended because of an increase in the
26Consumer Price Index for all Urban Consumers, the Comptroller

HB5481- 68 -LRB102 25409 HLH 34694 b
1shall order transferred and the Treasurer shall transfer from
2the General Revenue Fund to the Road Fund an amount equal to
3the amount that would have been deposited into the Road Fund if
4the tax had been in effect.
5 Of the remainder of the moneys received by the Department
6pursuant to this Act, 75% thereof shall be paid into the
7General Revenue Fund of the State Treasury and 25% shall be
8reserved in a special account and used only for the transfer to
9the Common School Fund as part of the monthly transfer from the
10General Revenue Fund in accordance with Section 8a of the
11State Finance Act.
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(Source: P.A. 100-303, eff. 8-24-17; 100-363, eff. 7-1-18;
24100-863, eff. 8-14-18; 100-1171, eff. 1-4-19; 101-10, Article
2515, Section 15-15, eff. 6-5-19; 101-10, Article 25, Section
2625-110, eff. 6-5-19; 101-27, eff. 6-25-19; 101-32, eff.

HB5481- 69 -LRB102 25409 HLH 34694 b
16-28-19; 101-604, eff. 12-13-19; 101-636, eff. 6-10-20.)
2 Section 15. The Service Occupation Tax Act is amended by
3changing Sections 3-10 and 9 as follows:
4 (35 ILCS 115/3-10) (from Ch. 120, par. 439.103-10)
5 Sec. 3-10. Rate of tax. Unless otherwise provided in this
6Section, the tax imposed by this Act is at the rate of 6.25% of
7the "selling price", as defined in Section 2 of the Service Use
8Tax Act, of the tangible personal property. For the purpose of
9computing this tax, in no event shall the "selling price" be
10less than the cost price to the serviceman of the tangible
11personal property transferred. The selling price of each item
12of tangible personal property transferred as an incident of a
13sale of service may be shown as a distinct and separate item on
14the serviceman's billing to the service customer. If the
15selling price is not so shown, the selling price of the
16tangible personal property is deemed to be 50% of the
17serviceman's entire billing to the service customer. When,
18however, a serviceman contracts to design, develop, and
19produce special order machinery or equipment, the tax imposed
20by this Act shall be based on the serviceman's cost price of
21the tangible personal property transferred incident to the
22completion of the contract.
23 Beginning on July 1, 2000 and through December 31, 2000,
24with respect to motor fuel, as defined in Section 1.1 of the

HB5481- 70 -LRB102 25409 HLH 34694 b
1Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
2the Use Tax Act, the tax is imposed at the rate of 1.25%.
3 With respect to gasohol, as defined in the Use Tax Act, the
4tax imposed by this Act shall apply to (i) 70% of the cost
5price of property transferred as an incident to the sale of
6service on or after January 1, 1990, and before July 1, 2003,
7(ii) 80% of the selling price of property transferred as an
8incident to the sale of service on or after July 1, 2003 and on
9or before July 1, 2017, and (iii) 100% of the cost price
10thereafter. If, at any time, however, the tax under this Act on
11sales of gasohol, as defined in the Use Tax Act, is imposed at
12the rate of 1.25%, then the tax imposed by this Act applies to
13100% of the proceeds of sales of gasohol made during that time.
14 With respect to majority blended ethanol fuel, as defined
15in the Use Tax Act, the tax imposed by this Act does not apply
16to the selling price of property transferred as an incident to
17the sale of service on or after July 1, 2003 and on or before
18December 31, 2023 but applies to 100% of the selling price
19thereafter.
20 With respect to biodiesel blends, as defined in the Use
21Tax Act, with no less than 1% and no more than 10% biodiesel,
22the tax imposed by this Act applies to (i) 80% of the selling
23price of property transferred as an incident to the sale of
24service on or after July 1, 2003 and on or before December 31,
252018 and (ii) 100% of the proceeds of the selling price
26thereafter. If, at any time, however, the tax under this Act on

HB5481- 71 -LRB102 25409 HLH 34694 b
1sales of biodiesel blends, as defined in the Use Tax Act, with
2no less than 1% and no more than 10% biodiesel is imposed at
3the rate of 1.25%, then the tax imposed by this Act applies to
4100% of the proceeds of sales of biodiesel blends with no less
5than 1% and no more than 10% biodiesel made during that time.
6 With respect to 100% biodiesel, as defined in the Use Tax
7Act, and biodiesel blends, as defined in the Use Tax Act, with
8more than 10% but no more than 99% biodiesel material, the tax
9imposed by this Act does not apply to the proceeds of the
10selling price of property transferred as an incident to the
11sale of service on or after July 1, 2003 and on or before
12December 31, 2023 but applies to 100% of the selling price
13thereafter.
14 If the percentage increase, if any, in the Consumer Price
15Index for All Urban Consumers, as issued by the United States
16Department of Labor, is more than 3% over the previous
1712-month period, then, on the first day of the next month to
18occur after that change is reported by the United States
19Department of Labor, the tax under this Act on motor fuel,
20gasohol, majority blended ethanol fuel, biodiesel, and
21biodiesel blends shall be suspended until the first day of the
22next month to occur after the percentage increase, if any, in
23the Consumer Price Index for All Urban Consumers over the
24previous 12-month period is reported by the United States
25Department of Labor to be 3% or less.
26 At the election of any registered serviceman made for each

HB5481- 72 -LRB102 25409 HLH 34694 b
1fiscal year, sales of service in which the aggregate annual
2cost price of tangible personal property transferred as an
3incident to the sales of service is less than 35%, or 75% in
4the case of servicemen transferring prescription drugs or
5servicemen engaged in graphic arts production, of the
6aggregate annual total gross receipts from all sales of
7service, the tax imposed by this Act shall be based on the
8serviceman's cost price of the tangible personal property
9transferred incident to the sale of those services.
10 The tax shall be imposed at the rate of 1% on food prepared
11for immediate consumption and transferred incident to a sale
12of service subject to this Act or the Service Occupation Tax
13Act by an entity licensed under the Hospital Licensing Act,
14the Nursing Home Care Act, the Assisted Living and Shared
15Housing Act, the ID/DD Community Care Act, the MC/DD Act, the
16Specialized Mental Health Rehabilitation Act of 2013, or the
17Child Care Act of 1969, or an entity that holds a permit issued
18pursuant to the Life Care Facilities Act. The tax shall also be
19imposed at the rate of 1% on food for human consumption that is
20to be consumed off the premises where it is sold (other than
21alcoholic beverages, food consisting of or infused with adult
22use cannabis, soft drinks, and food that has been prepared for
23immediate consumption and is not otherwise included in this
24paragraph) and prescription and nonprescription medicines,
25drugs, medical appliances, products classified as Class III
26medical devices by the United States Food and Drug

HB5481- 73 -LRB102 25409 HLH 34694 b
1Administration that are used for cancer treatment pursuant to
2a prescription, as well as any accessories and components
3related to those devices, modifications to a motor vehicle for
4the purpose of rendering it usable by a person with a
5disability, and insulin, blood sugar testing materials,
6syringes, and needles used by human diabetics. For the
7purposes of this Section, until September 1, 2009: the term
8"soft drinks" means any complete, finished, ready-to-use,
9non-alcoholic drink, whether carbonated or not, including but
10not limited to soda water, cola, fruit juice, vegetable juice,
11carbonated water, and all other preparations commonly known as
12soft drinks of whatever kind or description that are contained
13in any closed or sealed can, carton, or container, regardless
14of size; but "soft drinks" does not include coffee, tea,
15non-carbonated water, infant formula, milk or milk products as
16defined in the Grade A Pasteurized Milk and Milk Products Act,
17or drinks containing 50% or more natural fruit or vegetable
18juice.
19 Notwithstanding any other provisions of this Act,
20beginning September 1, 2009, "soft drinks" means non-alcoholic
21beverages that contain natural or artificial sweeteners. "Soft
22drinks" do not include beverages that contain milk or milk
23products, soy, rice or similar milk substitutes, or greater
24than 50% of vegetable or fruit juice by volume.
25 Until August 1, 2009, and notwithstanding any other
26provisions of this Act, "food for human consumption that is to

HB5481- 74 -LRB102 25409 HLH 34694 b
1be consumed off the premises where it is sold" includes all
2food sold through a vending machine, except soft drinks and
3food products that are dispensed hot from a vending machine,
4regardless of the location of the vending machine. Beginning
5August 1, 2009, and notwithstanding any other provisions of
6this Act, "food for human consumption that is to be consumed
7off the premises where it is sold" includes all food sold
8through a vending machine, except soft drinks, candy, and food
9products that are dispensed hot from a vending machine,
10regardless of the location of the vending machine.
11 Notwithstanding any other provisions of this Act,
12beginning September 1, 2009, "food for human consumption that
13is to be consumed off the premises where it is sold" does not
14include candy. For purposes of this Section, "candy" means a
15preparation of sugar, honey, or other natural or artificial
16sweeteners in combination with chocolate, fruits, nuts or
17other ingredients or flavorings in the form of bars, drops, or
18pieces. "Candy" does not include any preparation that contains
19flour or requires refrigeration.
20 Notwithstanding any other provisions of this Act,
21beginning September 1, 2009, "nonprescription medicines and
22drugs" does not include grooming and hygiene products. For
23purposes of this Section, "grooming and hygiene products"
24includes, but is not limited to, soaps and cleaning solutions,
25shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
26lotions and screens, unless those products are available by

HB5481- 75 -LRB102 25409 HLH 34694 b
1prescription only, regardless of whether the products meet the
2definition of "over-the-counter-drugs". For the purposes of
3this paragraph, "over-the-counter-drug" means a drug for human
4use that contains a label that identifies the product as a drug
5as required by 21 C.F.R. 201.66. The "over-the-counter-drug"
6label includes:
7 (A) A "Drug Facts" panel; or
8 (B) A statement of the "active ingredient(s)" with a
9 list of those ingredients contained in the compound,
10 substance or preparation.
11 Beginning on January 1, 2014 (the effective date of Public
12Act 98-122), "prescription and nonprescription medicines and
13drugs" includes medical cannabis purchased from a registered
14dispensing organization under the Compassionate Use of Medical
15Cannabis Program Act.
16 As used in this Section, "adult use cannabis" means
17cannabis subject to tax under the Cannabis Cultivation
18Privilege Tax Law and the Cannabis Purchaser Excise Tax Law
19and does not include cannabis subject to tax under the
20Compassionate Use of Medical Cannabis Program Act.
21(Source: P.A. 101-363, eff. 8-9-19; 101-593, eff. 12-4-19;
22102-4, eff. 4-27-21; 102-16, eff. 6-17-21.)
23 (35 ILCS 115/9) (from Ch. 120, par. 439.109)
24 Sec. 9. Each serviceman required or authorized to collect
25the tax herein imposed shall pay to the Department the amount

HB5481- 76 -LRB102 25409 HLH 34694 b
1of such tax at the time when he is required to file his return
2for the period during which such tax was collectible, less a
3discount of 2.1% prior to January 1, 1990, and 1.75% on and
4after January 1, 1990, or $5 per calendar year, whichever is
5greater, which is allowed to reimburse the serviceman for
6expenses incurred in collecting the tax, keeping records,
7preparing and filing returns, remitting the tax and supplying
8data to the Department on request. The discount under this
9Section is not allowed for the 1.25% portion of taxes paid on
10aviation fuel that is subject to the revenue use requirements
11of 49 U.S.C. 47107(b) and 49 U.S.C. 47133. The discount
12allowed under this Section is allowed only for returns that
13are filed in the manner required by this Act. The Department
14may disallow the discount for servicemen whose certificate of
15registration is revoked at the time the return is filed, but
16only if the Department's decision to revoke the certificate of
17registration has become final.
18 Where such tangible personal property is sold under a
19conditional sales contract, or under any other form of sale
20wherein the payment of the principal sum, or a part thereof, is
21extended beyond the close of the period for which the return is
22filed, the serviceman, in collecting the tax may collect, for
23each tax return period, only the tax applicable to the part of
24the selling price actually received during such tax return
25period.
26 Except as provided hereinafter in this Section, on or

HB5481- 77 -LRB102 25409 HLH 34694 b
1before the twentieth day of each calendar month, such
2serviceman shall file a return for the preceding calendar
3month in accordance with reasonable rules and regulations to
4be promulgated by the Department of Revenue. Such return shall
5be filed on a form prescribed by the Department and shall
6contain such information as the Department may reasonably
7require. On and after January 1, 2018, with respect to
8servicemen whose annual gross receipts average $20,000 or
9more, all returns required to be filed pursuant to this Act
10shall be filed electronically. Servicemen who demonstrate that
11they do not have access to the Internet or demonstrate
12hardship in filing electronically may petition the Department
13to waive the electronic filing requirement.
14 The Department may require returns to be filed on a
15quarterly basis. If so required, a return for each calendar
16quarter shall be filed on or before the twentieth day of the
17calendar month following the end of such calendar quarter. The
18taxpayer shall also file a return with the Department for each
19of the first two months of each calendar quarter, on or before
20the twentieth day of the following calendar month, stating:
21 1. The name of the seller;
22 2. The address of the principal place of business from
23 which he engages in business as a serviceman in this
24 State;
25 3. The total amount of taxable receipts received by
26 him during the preceding calendar month, including

HB5481- 78 -LRB102 25409 HLH 34694 b
1 receipts from charge and time sales, but less all
2 deductions allowed by law;
3 4. The amount of credit provided in Section 2d of this
4 Act;
5 5. The amount of tax due;
6 5-5. The signature of the taxpayer; and
7 6. Such other reasonable information as the Department
8 may require.
9 Each serviceman required or authorized to collect the tax
10herein imposed on aviation fuel acquired as an incident to the
11purchase of a service in this State during the preceding
12calendar month shall, instead of reporting and paying tax as
13otherwise required by this Section, report and pay such tax on
14a separate aviation fuel tax return. The requirements related
15to the return shall be as otherwise provided in this Section.
16Notwithstanding any other provisions of this Act to the
17contrary, servicemen transferring aviation fuel incident to
18sales of service shall file all aviation fuel tax returns and
19shall make all aviation fuel tax payments by electronic means
20in the manner and form required by the Department. For
21purposes of this Section, "aviation fuel" means jet fuel and
22aviation gasoline.
23 If a taxpayer fails to sign a return within 30 days after
24the proper notice and demand for signature by the Department,
25the return shall be considered valid and any amount shown to be
26due on the return shall be deemed assessed.

HB5481- 79 -LRB102 25409 HLH 34694 b
1 Notwithstanding any other provision of this Act to the
2contrary, servicemen subject to tax on cannabis shall file all
3cannabis tax returns and shall make all cannabis tax payments
4by electronic means in the manner and form required by the
5Department.
6 Prior to October 1, 2003, and on and after September 1,
72004 a serviceman may accept a Manufacturer's Purchase Credit
8certification from a purchaser in satisfaction of Service Use
9Tax as provided in Section 3-70 of the Service Use Tax Act if
10the purchaser provides the appropriate documentation as
11required by Section 3-70 of the Service Use Tax Act. A
12Manufacturer's Purchase Credit certification, accepted prior
13to October 1, 2003 or on or after September 1, 2004 by a
14serviceman as provided in Section 3-70 of the Service Use Tax
15Act, may be used by that serviceman to satisfy Service
16Occupation Tax liability in the amount claimed in the
17certification, not to exceed 6.25% of the receipts subject to
18tax from a qualifying purchase. A Manufacturer's Purchase
19Credit reported on any original or amended return filed under
20this Act after October 20, 2003 for reporting periods prior to
21September 1, 2004 shall be disallowed. Manufacturer's Purchase
22Credit reported on annual returns due on or after January 1,
232005 will be disallowed for periods prior to September 1,
242004. No Manufacturer's Purchase Credit may be used after
25September 30, 2003 through August 31, 2004 to satisfy any tax
26liability imposed under this Act, including any audit

HB5481- 80 -LRB102 25409 HLH 34694 b
1liability.
2 If the serviceman's average monthly tax liability to the
3Department does not exceed $200, the Department may authorize
4his returns to be filed on a quarter annual basis, with the
5return for January, February and March of a given year being
6due by April 20 of such year; with the return for April, May
7and June of a given year being due by July 20 of such year;
8with the return for July, August and September of a given year
9being due by October 20 of such year, and with the return for
10October, November and December of a given year being due by
11January 20 of the following year.
12 If the serviceman's average monthly tax liability to the
13Department does not exceed $50, the Department may authorize
14his returns to be filed on an annual basis, with the return for
15a given year being due by January 20 of the following year.
16 Such quarter annual and annual returns, as to form and
17substance, shall be subject to the same requirements as
18monthly returns.
19 Notwithstanding any other provision in this Act concerning
20the time within which a serviceman may file his return, in the
21case of any serviceman who ceases to engage in a kind of
22business which makes him responsible for filing returns under
23this Act, such serviceman shall file a final return under this
24Act with the Department not more than 1 month after
25discontinuing such business.
26 Beginning October 1, 1993, a taxpayer who has an average

HB5481- 81 -LRB102 25409 HLH 34694 b
1monthly tax liability of $150,000 or more shall make all
2payments required by rules of the Department by electronic
3funds transfer. Beginning October 1, 1994, a taxpayer who has
4an average monthly tax liability of $100,000 or more shall
5make all payments required by rules of the Department by
6electronic funds transfer. Beginning October 1, 1995, a
7taxpayer who has an average monthly tax liability of $50,000
8or more shall make all payments required by rules of the
9Department by electronic funds transfer. Beginning October 1,
102000, a taxpayer who has an annual tax liability of $200,000 or
11more shall make all payments required by rules of the
12Department by electronic funds transfer. The term "annual tax
13liability" shall be the sum of the taxpayer's liabilities
14under this Act, and under all other State and local occupation
15and use tax laws administered by the Department, for the
16immediately preceding calendar year. The term "average monthly
17tax liability" means the sum of the taxpayer's liabilities
18under this Act, and under all other State and local occupation
19and use tax laws administered by the Department, for the
20immediately preceding calendar year divided by 12. Beginning
21on October 1, 2002, a taxpayer who has a tax liability in the
22amount set forth in subsection (b) of Section 2505-210 of the
23Department of Revenue Law shall make all payments required by
24rules of the Department by electronic funds transfer.
25 Before August 1 of each year beginning in 1993, the
26Department shall notify all taxpayers required to make

HB5481- 82 -LRB102 25409 HLH 34694 b
1payments by electronic funds transfer. All taxpayers required
2to make payments by electronic funds transfer shall make those
3payments for a minimum of one year beginning on October 1.
4 Any taxpayer not required to make payments by electronic
5funds transfer may make payments by electronic funds transfer
6with the permission of the Department.
7 All taxpayers required to make payment by electronic funds
8transfer and any taxpayers authorized to voluntarily make
9payments by electronic funds transfer shall make those
10payments in the manner authorized by the Department.
11 The Department shall adopt such rules as are necessary to
12effectuate a program of electronic funds transfer and the
13requirements of this Section.
14 Where a serviceman collects the tax with respect to the
15selling price of tangible personal property which he sells and
16the purchaser thereafter returns such tangible personal
17property and the serviceman refunds the selling price thereof
18to the purchaser, such serviceman shall also refund, to the
19purchaser, the tax so collected from the purchaser. When
20filing his return for the period in which he refunds such tax
21to the purchaser, the serviceman may deduct the amount of the
22tax so refunded by him to the purchaser from any other Service
23Occupation Tax, Service Use Tax, Retailers' Occupation Tax or
24Use Tax which such serviceman may be required to pay or remit
25to the Department, as shown by such return, provided that the
26amount of the tax to be deducted shall previously have been

HB5481- 83 -LRB102 25409 HLH 34694 b
1remitted to the Department by such serviceman. If the
2serviceman shall not previously have remitted the amount of
3such tax to the Department, he shall be entitled to no
4deduction hereunder upon refunding such tax to the purchaser.
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 Retailers' Occupation Tax
9Act, the Use Tax Act or the Service Use Tax Act, to furnish all
10the return information required by all said Acts on the one
11form.
12 Where the serviceman has more than one business registered
13with the Department under separate registrations hereunder,
14such serviceman shall file separate returns for each
15registered business.
16 Beginning January 1, 1990, each month the Department shall
17pay into the Local Government Tax Fund the revenue realized
18for the preceding month from the 1% tax imposed under this Act.
19 Beginning January 1, 1990, each month the Department shall
20pay into the County and Mass Transit District Fund 4% of the
21revenue realized for the preceding month from the 6.25%
22general rate on sales of tangible personal property other than
23aviation fuel sold on or after December 1, 2019. This
24exception for aviation fuel only applies for so long as the
25revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
2647133 are binding on the State.

HB5481- 84 -LRB102 25409 HLH 34694 b
1 Beginning August 1, 2000, each month the Department shall
2pay into the County and Mass Transit District Fund 20% of the
3net revenue realized for the preceding month from the 1.25%
4rate on the selling price of motor fuel and gasohol.
5 Beginning January 1, 1990, each month the Department shall
6pay into the Local Government Tax Fund 16% of the revenue
7realized for the preceding month from the 6.25% general rate
8on transfers of tangible personal property other than aviation
9fuel sold on or after December 1, 2019. This exception for
10aviation fuel only applies for so long as the revenue use
11requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
12binding on the State.
13 For aviation fuel sold on or after December 1, 2019, each
14month the Department shall pay into the State Aviation Program
15Fund 20% of the net revenue realized for the preceding month
16from the 6.25% general rate on the selling price of aviation
17fuel, less an amount estimated by the Department to be
18required for refunds of the 20% portion of the tax on aviation
19fuel under this Act, which amount shall be deposited into the
20Aviation Fuel Sales Tax Refund Fund. The Department shall only
21pay moneys into the State Aviation Program Fund and the
22Aviation Fuel Sales Tax Refund Fund under this Act for so long
23as the revenue use requirements of 49 U.S.C. 47107(b) and 49
24U.S.C. 47133 are binding on the State.
25 Beginning August 1, 2000, each month the Department shall
26pay into the Local Government Tax Fund 80% of the net revenue

HB5481- 85 -LRB102 25409 HLH 34694 b
1realized for the preceding month from the 1.25% rate on the
2selling price of motor fuel and gasohol.
3 Beginning October 1, 2009, each month the Department shall
4pay into the Capital Projects Fund an amount that is equal to
5an amount estimated by the Department to represent 80% of the
6net revenue realized for the preceding month from the sale of
7candy, grooming and hygiene products, and soft drinks that had
8been taxed at a rate of 1% prior to September 1, 2009 but that
9are now taxed at 6.25%.
10 Beginning July 1, 2013, each month the Department shall
11pay into the Underground Storage Tank Fund from the proceeds
12collected under this Act, the Use Tax Act, the Service Use Tax
13Act, and the Retailers' Occupation Tax Act an amount equal to
14the average monthly deficit in the Underground Storage Tank
15Fund during the prior year, as certified annually by the
16Illinois Environmental Protection Agency, but the total
17payment into the Underground Storage Tank Fund under this Act,
18the Use Tax Act, the Service Use Tax Act, and the Retailers'
19Occupation Tax Act shall not exceed $18,000,000 in any State
20fiscal year. As used in this paragraph, the "average monthly
21deficit" shall be equal to the difference between the average
22monthly claims for payment by the fund and the average monthly
23revenues deposited into the fund, excluding payments made
24pursuant to this paragraph.
25 Beginning July 1, 2015, of the remainder of the moneys
26received by the Department under the Use Tax Act, the Service

HB5481- 86 -LRB102 25409 HLH 34694 b
1Use Tax Act, this Act, and the Retailers' Occupation Tax Act,
2each month the Department shall deposit $500,000 into the
3State Crime Laboratory Fund.
4 Of the remainder of the moneys received by the Department
5pursuant to this Act, (a) 1.75% thereof shall be paid into the
6Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
7and after July 1, 1989, 3.8% thereof shall be paid into the
8Build Illinois Fund; provided, however, that if in any fiscal
9year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
10may be, of the moneys received by the Department and required
11to be paid into the Build Illinois Fund pursuant to Section 3
12of the Retailers' Occupation Tax Act, Section 9 of the Use Tax
13Act, Section 9 of the Service Use Tax Act, and Section 9 of the
14Service Occupation Tax Act, such Acts being hereinafter called
15the "Tax Acts" and such aggregate of 2.2% or 3.8%, as the case
16may be, of moneys being hereinafter called the "Tax Act
17Amount", and (2) the amount transferred to the Build Illinois
18Fund from the State and Local Sales Tax Reform Fund shall be
19less than the Annual Specified Amount (as defined in Section 3
20of the Retailers' Occupation Tax Act), an amount equal to the
21difference shall be immediately paid into the Build Illinois
22Fund from other moneys received by the Department pursuant to
23the Tax Acts; and further provided, that if on the last
24business day of any month the sum of (1) the Tax Act Amount
25required to be deposited into the Build Illinois Account in
26the Build Illinois Fund during such month and (2) the amount

HB5481- 87 -LRB102 25409 HLH 34694 b
1transferred during such month to the Build Illinois Fund from
2the State and Local Sales Tax Reform Fund shall have been less
3than 1/12 of the Annual Specified Amount, an amount equal to
4the difference shall be immediately paid into the Build
5Illinois Fund from other moneys received by the Department
6pursuant to the Tax Acts; and, further provided, that in no
7event shall the payments required under the preceding proviso
8result in aggregate payments into the Build Illinois Fund
9pursuant to this clause (b) for any fiscal year in excess of
10the greater of (i) the Tax Act Amount or (ii) the Annual
11Specified Amount for such fiscal year; and, further provided,
12that the amounts payable into the Build Illinois Fund under
13this clause (b) shall be payable only until such time as the
14aggregate amount on deposit under each trust indenture
15securing Bonds issued and outstanding pursuant to the Build
16Illinois Bond Act is sufficient, taking into account any
17future investment income, to fully provide, in accordance with
18such indenture, for the defeasance of or the payment of the
19principal of, premium, if any, and interest on the Bonds
20secured by such indenture and on any Bonds expected to be
21issued thereafter and all fees and costs payable with respect
22thereto, all as certified by the Director of the Bureau of the
23Budget (now Governor's Office of Management and Budget). If on
24the last business day of any month in which Bonds are
25outstanding pursuant to the Build Illinois Bond Act, the
26aggregate of the moneys deposited in the Build Illinois Bond

HB5481- 88 -LRB102 25409 HLH 34694 b
1Account in the Build Illinois Fund in such month shall be less
2than the amount required to be transferred in such month from
3the Build Illinois Bond Account to the Build Illinois Bond
4Retirement and Interest Fund pursuant to Section 13 of the
5Build Illinois Bond Act, an amount equal to such deficiency
6shall be immediately paid from other moneys received by the
7Department pursuant to the Tax Acts to the Build Illinois
8Fund; provided, however, that any amounts paid to the Build
9Illinois Fund in any fiscal year pursuant to this sentence
10shall be deemed to constitute payments pursuant to clause (b)
11of the preceding sentence and shall reduce the amount
12otherwise payable for such fiscal year pursuant to clause (b)
13of the preceding sentence. The moneys received by the
14Department pursuant to this Act and required to be deposited
15into the Build Illinois Fund are subject to the pledge, claim
16and charge set forth in Section 12 of the Build Illinois Bond
17Act.
18 Subject to payment of amounts into the Build Illinois Fund
19as provided in the preceding paragraph or in any amendment
20thereto hereafter enacted, the following specified monthly
21installment of the amount requested in the certificate of the
22Chairman of the Metropolitan Pier and Exposition Authority
23provided under Section 8.25f of the State Finance Act, but not
24in excess of the sums designated as "Total Deposit", shall be
25deposited in the aggregate from collections under Section 9 of
26the Use Tax Act, Section 9 of the Service Use Tax Act, Section

HB5481- 89 -LRB102 25409 HLH 34694 b
19 of the Service Occupation Tax Act, and Section 3 of the
2Retailers' Occupation Tax Act into the McCormick Place
3Expansion Project Fund in the specified fiscal years.
4Fiscal YearTotal Deposit
51993 $0
61994 53,000,000
71995 58,000,000
81996 61,000,000
91997 64,000,000
101998 68,000,000
111999 71,000,000
122000 75,000,000
132001 80,000,000
142002 93,000,000
152003 99,000,000
162004103,000,000
172005108,000,000
182006113,000,000
192007119,000,000
202008126,000,000
212009132,000,000
222010139,000,000
232011146,000,000
242012153,000,000
252013161,000,000

HB5481- 90 -LRB102 25409 HLH 34694 b
12014170,000,000
22015179,000,000
32016189,000,000
42017199,000,000
52018210,000,000
62019221,000,000
72020233,000,000
82021300,000,000
92022300,000,000
102023300,000,000
112024 300,000,000
122025 300,000,000
132026 300,000,000
142027 375,000,000
152028 375,000,000
162029 375,000,000
172030 375,000,000
182031 375,000,000
192032 375,000,000
202033 375,000,000
212034375,000,000
222035375,000,000
232036450,000,000
24and
25each fiscal year
26thereafter that bonds

HB5481- 91 -LRB102 25409 HLH 34694 b
1are outstanding under
2Section 13.2 of the
3Metropolitan Pier and
4Exposition Authority Act,
5but not after fiscal year 2060.
6 Beginning July 20, 1993 and in each month of each fiscal
7year thereafter, one-eighth of the amount requested in the
8certificate of the Chairman of the Metropolitan Pier and
9Exposition Authority for that fiscal year, less the amount
10deposited into the McCormick Place Expansion Project Fund by
11the State Treasurer in the respective month under subsection
12(g) of Section 13 of the Metropolitan Pier and Exposition
13Authority Act, plus cumulative deficiencies in the deposits
14required under this Section for previous months and years,
15shall be deposited into the McCormick Place Expansion Project
16Fund, until the full amount requested for the fiscal year, but
17not in excess of the amount specified above as "Total
18Deposit", has been deposited.
19 Subject to payment of amounts into the Capital Projects
20Fund, the Build Illinois Fund, and the McCormick Place
21Expansion Project Fund pursuant to the preceding paragraphs or
22in any amendments thereto hereafter enacted, for aviation fuel
23sold on or after December 1, 2019, the Department shall each
24month deposit into the Aviation Fuel Sales Tax Refund Fund an
25amount estimated by the Department to be required for refunds
26of the 80% portion of the tax on aviation fuel under this Act.

HB5481- 92 -LRB102 25409 HLH 34694 b
1The Department shall only deposit moneys into the Aviation
2Fuel Sales Tax Refund Fund under this paragraph for so long as
3the revenue use requirements of 49 U.S.C. 47107(b) and 49
4U.S.C. 47133 are binding on the State.
5 Subject to payment of amounts into the Build Illinois Fund
6and the McCormick Place Expansion Project Fund pursuant to the
7preceding paragraphs or in any amendments thereto hereafter
8enacted, beginning July 1, 1993 and ending on September 30,
92013, the Department shall each month pay into the Illinois
10Tax Increment Fund 0.27% of 80% of the net revenue realized for
11the preceding month from the 6.25% general rate on the selling
12price of tangible personal property.
13 Subject to payment of amounts into the Build Illinois Fund
14and the McCormick Place Expansion Project Fund pursuant to the
15preceding paragraphs or in any amendments thereto hereafter
16enacted, beginning with the receipt of the first report of
17taxes paid by an eligible business and continuing for a
1825-year period, the Department shall each month pay into the
19Energy Infrastructure Fund 80% of the net revenue realized
20from the 6.25% general rate on the selling price of
21Illinois-mined coal that was sold to an eligible business. For
22purposes of this paragraph, the term "eligible business" means
23a new electric generating facility certified pursuant to
24Section 605-332 of the Department of Commerce and Economic
25Opportunity Law of the Civil Administrative Code of Illinois.
26 Subject to payment of amounts into the Build Illinois

HB5481- 93 -LRB102 25409 HLH 34694 b
1Fund, the McCormick Place Expansion Project Fund, the Illinois
2Tax Increment Fund, and the Energy Infrastructure Fund
3pursuant to the preceding paragraphs or in any amendments to
4this Section hereafter enacted, beginning on the first day of
5the first calendar month to occur on or after August 26, 2014
6(the effective date of Public Act 98-1098), each month, from
7the collections made under Section 9 of the Use Tax Act,
8Section 9 of the Service Use Tax Act, Section 9 of the Service
9Occupation Tax Act, and Section 3 of the Retailers' Occupation
10Tax Act, the Department shall pay into the Tax Compliance and
11Administration Fund, to be used, subject to appropriation, to
12fund additional auditors and compliance personnel at the
13Department of Revenue, an amount equal to 1/12 of 5% of 80% of
14the cash receipts collected during the preceding fiscal year
15by the Audit Bureau of the Department under the Use Tax Act,
16the Service Use Tax Act, the Service Occupation Tax Act, the
17Retailers' Occupation Tax Act, and associated local occupation
18and use taxes administered by the Department.
19 Subject to payments of amounts into the Build Illinois
20Fund, the McCormick Place Expansion Project Fund, the Illinois
21Tax Increment Fund, the Energy Infrastructure Fund, and the
22Tax Compliance and Administration Fund as provided in this
23Section, beginning on July 1, 2018 the Department shall pay
24each month into the Downstate Public Transportation Fund the
25moneys required to be so paid under Section 2-3 of the
26Downstate Public Transportation Act.

HB5481- 94 -LRB102 25409 HLH 34694 b
1 Subject to successful execution and delivery of a
2public-private agreement between the public agency and private
3entity and completion of the civic build, beginning on July 1,
42023, of the remainder of the moneys received by the
5Department under the Use Tax Act, the Service Use Tax Act, the
6Service Occupation Tax Act, and this Act, the Department shall
7deposit the following specified deposits in the aggregate from
8collections under the Use Tax Act, the Service Use Tax Act, the
9Service Occupation Tax Act, and the Retailers' Occupation Tax
10Act, as required under Section 8.25g of the State Finance Act
11for distribution consistent with the Public-Private
12Partnership for Civic and Transit Infrastructure Project Act.
13The moneys received by the Department pursuant to this Act and
14required to be deposited into the Civic and Transit
15Infrastructure Fund are subject to the pledge, claim and
16charge set forth in Section 25-55 of the Public-Private
17Partnership for Civic and Transit Infrastructure Project Act.
18As used in this paragraph, "civic build", "private entity",
19"public-private agreement", and "public agency" have the
20meanings provided in Section 25-10 of the Public-Private
21Partnership for Civic and Transit Infrastructure Project Act.
22 Fiscal Year............................Total Deposit
23 2024....................................$200,000,000
24 2025....................................$206,000,000
25 2026....................................$212,200,000
26 2027....................................$218,500,000

HB5481- 95 -LRB102 25409 HLH 34694 b
1 2028....................................$225,100,000
2 2029....................................$288,700,000
3 2030....................................$298,900,000
4 2031....................................$309,300,000
5 2032....................................$320,100,000
6 2033....................................$331,200,000
7 2034....................................$341,200,000
8 2035....................................$351,400,000
9 2036....................................$361,900,000
10 2037....................................$372,800,000
11 2038....................................$384,000,000
12 2039....................................$395,500,000
13 2040....................................$407,400,000
14 2041....................................$419,600,000
15 2042....................................$432,200,000
16 2043....................................$445,100,000
17 Beginning July 1, 2021 and until July 1, 2022, subject to
18the payment of amounts into the County and Mass Transit
19District Fund, the Local Government Tax Fund, the Build
20Illinois Fund, the McCormick Place Expansion Project Fund, the
21Illinois Tax Increment Fund, the Energy Infrastructure Fund,
22and the Tax Compliance and Administration Fund as provided in
23this Section, the Department shall pay each month into the
24Road Fund the amount estimated to represent 16% of the net
25revenue realized from the taxes imposed on motor fuel and
26gasohol. Beginning July 1, 2022 and until July 1, 2023,

HB5481- 96 -LRB102 25409 HLH 34694 b
1subject to the payment of amounts into the County and Mass
2Transit District Fund, the Local Government Tax Fund, the
3Build Illinois Fund, the McCormick Place Expansion Project
4Fund, the Illinois Tax Increment Fund, the Energy
5Infrastructure Fund, and the Tax Compliance and Administration
6Fund as provided in this Section, the Department shall pay
7each month into the Road Fund the amount estimated to
8represent 32% of the net revenue realized from the taxes
9imposed on motor fuel and gasohol. Beginning July 1, 2023 and
10until July 1, 2024, subject to the payment of amounts into the
11County and Mass Transit District Fund, the Local Government
12Tax Fund, the Build Illinois Fund, the McCormick Place
13Expansion Project Fund, the Illinois Tax Increment Fund, the
14Energy Infrastructure Fund, and the Tax Compliance and
15Administration Fund as provided in this Section, the
16Department shall pay each month into the Road Fund the amount
17estimated to represent 48% of the net revenue realized from
18the taxes imposed on motor fuel and gasohol. Beginning July 1,
192024 and until July 1, 2025, subject to the payment of amounts
20into the County and Mass Transit District Fund, the Local
21Government Tax Fund, the Build Illinois Fund, the McCormick
22Place Expansion Project Fund, the Illinois Tax Increment Fund,
23the Energy Infrastructure Fund, and the Tax Compliance and
24Administration Fund as provided in this Section, the
25Department shall pay each month into the Road Fund the amount
26estimated to represent 64% of the net revenue realized from

HB5481- 97 -LRB102 25409 HLH 34694 b
1the taxes imposed on motor fuel and gasohol. Beginning on July
21, 2025, subject to the payment of amounts into the County and
3Mass Transit District Fund, the Local Government Tax Fund, the
4Build Illinois Fund, the McCormick Place Expansion Project
5Fund, the Illinois Tax Increment Fund, the Energy
6Infrastructure Fund, and the Tax Compliance and Administration
7Fund as provided in this Section, the Department shall pay
8each month into the Road Fund the amount estimated to
9represent 80% of the net revenue realized from the taxes
10imposed on motor fuel and gasohol. As used in this paragraph
11"motor fuel" has the meaning given to that term in Section 1.1
12of the Motor Fuel Tax Act, and "gasohol" has the meaning given
13to that term in Section 3-40 of the Use Tax Act.
14 If, in any month, the collection of the tax on motor fuel
15and gasohol is suspended because of an increase in the
16Consumer Price Index for all Urban Consumers, the Comptroller
17shall order transferred and the Treasurer shall transfer from
18the General Revenue Fund to the Road Fund an amount equal to
19the amount that would have been deposited into the Road Fund if
20the tax had been in effect.
21 Of the remainder of the moneys received by the Department
22pursuant to this Act, 75% shall be paid into the General
23Revenue Fund of the State Treasury and 25% shall be reserved in
24a special account and used only for the transfer to the Common
25School Fund as part of the monthly transfer from the General
26Revenue Fund in accordance with Section 8a of the State

HB5481- 98 -LRB102 25409 HLH 34694 b
1Finance Act.
2 The Department may, upon separate written notice to a
3taxpayer, require the taxpayer to prepare and file with the
4Department on a form prescribed by the Department within not
5less than 60 days after receipt of the notice an annual
6information return for the tax year specified in the notice.
7Such annual return to the Department shall include a statement
8of gross receipts as shown by the taxpayer's last Federal
9income tax return. If the total receipts of the business as
10reported in the Federal income tax return do not agree with the
11gross receipts reported to the Department of Revenue for the
12same period, the taxpayer shall attach to his annual return a
13schedule showing a reconciliation of the 2 amounts and the
14reasons for the difference. The taxpayer's annual return to
15the Department shall also disclose the cost of goods sold by
16the taxpayer during the year covered by such return, opening
17and closing inventories of such goods for such year, cost of
18goods used from stock or taken from stock and given away by the
19taxpayer during such year, pay roll information of the
20taxpayer's business during such year and any additional
21reasonable information which the Department deems would be
22helpful in determining the accuracy of the monthly, quarterly
23or annual returns filed by such taxpayer as hereinbefore
24provided for in this Section.
25 If the annual information return required by this Section
26is not filed when and as required, the taxpayer shall be liable

HB5481- 99 -LRB102 25409 HLH 34694 b
1as follows:
2 (i) Until January 1, 1994, the taxpayer shall be
3 liable for a penalty equal to 1/6 of 1% of the tax due from
4 such taxpayer under this Act during the period to be
5 covered by the annual return for each month or fraction of
6 a month until such return is filed as required, the
7 penalty to be assessed and collected in the same manner as
8 any other penalty provided for in this Act.
9 (ii) On and after January 1, 1994, the taxpayer shall
10 be liable for a penalty as described in Section 3-4 of the
11 Uniform Penalty and Interest Act.
12 The chief executive officer, proprietor, owner or highest
13ranking manager shall sign the annual return to certify the
14accuracy of the information contained therein. Any person who
15willfully signs the annual return containing false or
16inaccurate information shall be guilty of perjury and punished
17accordingly. The annual return form prescribed by the
18Department shall include a warning that the person signing the
19return may be liable for perjury.
20 The foregoing portion of this Section concerning the
21filing of an annual information return shall not apply to a
22serviceman who is not required to file an income tax return
23with the United States Government.
24 As soon as possible after the first day of each month, upon
25certification of the Department of Revenue, the Comptroller
26shall order transferred and the Treasurer shall transfer from

HB5481- 100 -LRB102 25409 HLH 34694 b
1the General Revenue Fund to the Motor Fuel Tax Fund an amount
2equal to 1.7% of 80% of the net revenue realized under this Act
3for the second preceding month. Beginning April 1, 2000, this
4transfer is no longer required and shall not be made.
5 Net revenue realized for a month shall be the revenue
6collected by the State pursuant to this Act, less the amount
7paid out during that month as refunds to taxpayers for
8overpayment of liability.
9 For greater simplicity of administration, it shall be
10permissible for manufacturers, importers and wholesalers whose
11products are sold by numerous servicemen in Illinois, and who
12wish to do so, to assume the responsibility for accounting and
13paying to the Department all tax accruing under this Act with
14respect to such sales, if the servicemen who are affected do
15not make written objection to the Department to this
16arrangement.
17(Source: P.A. 100-303, eff. 8-24-17; 100-363, eff. 7-1-18;
18100-863, eff. 8-14-18; 100-1171, eff. 1-4-19; 101-10, Article
1915, Section 15-20, eff. 6-5-19; 101-10, Article 25, Section
2025-115, eff. 6-5-19; 101-27, eff. 6-25-19; 101-32, eff.
216-28-19; 101-604, eff. 12-13-19; 101-636, eff. 6-10-20.)
22 Section 20. The Retailers' Occupation Tax Act is amended
23by changing Sections 2-10 and 3 as follows:
24 (35 ILCS 120/2-10)

HB5481- 101 -LRB102 25409 HLH 34694 b
1 Sec. 2-10. Rate of tax. Unless otherwise provided in this
2Section, the tax imposed by this Act is at the rate of 6.25% of
3gross receipts from sales of tangible personal property made
4in the course of business.
5 Beginning on July 1, 2000 and through December 31, 2000,
6with respect to motor fuel, as defined in Section 1.1 of the
7Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
8the Use Tax Act, the tax is imposed at the rate of 1.25%.
9 Beginning on August 6, 2010 through August 15, 2010, with
10respect to sales tax holiday items as defined in Section 2-8 of
11this Act, the tax is imposed at the rate of 1.25%.
12 Within 14 days after the effective date of this amendatory
13Act of the 91st General Assembly, each retailer of motor fuel
14and gasohol shall cause the following notice to be posted in a
15prominently visible place on each retail dispensing device
16that is used to dispense motor fuel or gasohol in the State of
17Illinois: "As of July 1, 2000, the State of Illinois has
18eliminated the State's share of sales tax on motor fuel and
19gasohol through December 31, 2000. The price on this pump
20should reflect the elimination of the tax." The notice shall
21be printed in bold print on a sign that is no smaller than 4
22inches by 8 inches. The sign shall be clearly visible to
23customers. Any retailer who fails to post or maintain a
24required sign through December 31, 2000 is guilty of a petty
25offense for which the fine shall be $500 per day per each
26retail premises where a violation occurs.

HB5481- 102 -LRB102 25409 HLH 34694 b
1 With respect to gasohol, as defined in the Use Tax Act, the
2tax imposed by this Act applies to (i) 70% of the proceeds of
3sales made on or after January 1, 1990, and before July 1,
42003, (ii) 80% of the proceeds of sales made on or after July
51, 2003 and on or before July 1, 2017, and (iii) 100% of the
6proceeds of sales made thereafter. If, at any time, however,
7the tax under this Act on sales of gasohol, as defined in the
8Use Tax Act, is imposed at the rate of 1.25%, then the tax
9imposed by this Act applies to 100% of the proceeds of sales of
10gasohol made during that time.
11 With respect to majority blended ethanol fuel, as defined
12in the Use Tax Act, the tax imposed by this Act does not apply
13to the proceeds of sales made on or after July 1, 2003 and on
14or before December 31, 2023 but applies to 100% of the proceeds
15of sales made thereafter.
16 With respect to biodiesel blends, as defined in the Use
17Tax Act, with no less than 1% and no more than 10% biodiesel,
18the tax imposed by this Act applies to (i) 80% of the proceeds
19of sales made on or after July 1, 2003 and on or before
20December 31, 2018 and (ii) 100% of the proceeds of sales made
21thereafter. If, at any time, however, the tax under this Act on
22sales of biodiesel blends, as defined in the Use Tax Act, with
23no less than 1% and no more than 10% biodiesel is imposed at
24the rate of 1.25%, then the tax imposed by this Act applies to
25100% of the proceeds of sales of biodiesel blends with no less
26than 1% and no more than 10% biodiesel made during that time.

HB5481- 103 -LRB102 25409 HLH 34694 b
1 With respect to 100% biodiesel, as defined in the Use Tax
2Act, and biodiesel blends, as defined in the Use Tax Act, with
3more than 10% but no more than 99% biodiesel, the tax imposed
4by this Act does not apply to the proceeds of sales made on or
5after July 1, 2003 and on or before December 31, 2023 but
6applies to 100% of the proceeds of sales made thereafter.
7 If the percentage increase, if any, in the Consumer Price
8Index for All Urban Consumers, as issued by the United States
9Department of Labor, is more than 3% over the previous
1012-month period, then, on the first day of the next month to
11occur after that change is reported by the United States
12Department of Labor, the tax under this Act on motor fuel,
13gasohol, majority blended ethanol fuel, biodiesel, and
14biodiesel blends shall be suspended until the first day of the
15next month to occur after the percentage increase, if any, in
16the Consumer Price Index for All Urban Consumers over the
17previous 12-month period is reported by the United States
18Department of Labor to be 3% or less.
19 With respect to food for human consumption that is to be
20consumed off the premises where it is sold (other than
21alcoholic beverages, food consisting of or infused with adult
22use cannabis, soft drinks, and food that has been prepared for
23immediate consumption) and prescription and nonprescription
24medicines, drugs, medical appliances, products classified as
25Class III medical devices by the United States Food and Drug
26Administration that are used for cancer treatment pursuant to

HB5481- 104 -LRB102 25409 HLH 34694 b
1a prescription, as well as any accessories and components
2related to those devices, modifications to a motor vehicle for
3the purpose of rendering it usable by a person with a
4disability, and insulin, blood sugar testing materials,
5syringes, and needles used by human diabetics, the tax is
6imposed at the rate of 1%. For the purposes of this Section,
7until September 1, 2009: the term "soft drinks" means any
8complete, finished, ready-to-use, non-alcoholic drink, whether
9carbonated or not, including but not limited to soda water,
10cola, fruit juice, vegetable juice, carbonated water, and all
11other preparations commonly known as soft drinks of whatever
12kind or description that are contained in any closed or sealed
13bottle, can, carton, or container, regardless of size; but
14"soft drinks" does not include coffee, tea, non-carbonated
15water, infant formula, milk or milk products as defined in the
16Grade A Pasteurized Milk and Milk Products Act, or drinks
17containing 50% or more natural fruit or vegetable juice.
18 Notwithstanding any other provisions of this Act,
19beginning September 1, 2009, "soft drinks" means non-alcoholic
20beverages that contain natural or artificial sweeteners. "Soft
21drinks" do not include beverages that contain milk or milk
22products, soy, rice or similar milk substitutes, or greater
23than 50% of vegetable or fruit juice by volume.
24 Until August 1, 2009, and notwithstanding any other
25provisions of this Act, "food for human consumption that is to
26be consumed off the premises where it is sold" includes all

HB5481- 105 -LRB102 25409 HLH 34694 b
1food sold through a vending machine, except soft drinks and
2food products that are dispensed hot from a vending machine,
3regardless of the location of the vending machine. Beginning
4August 1, 2009, and notwithstanding any other provisions of
5this Act, "food for human consumption that is to be consumed
6off the premises where it is sold" includes all food sold
7through a vending machine, except soft drinks, candy, and food
8products that are dispensed hot from a vending machine,
9regardless of the location of the vending machine.
10 Notwithstanding any other provisions of this Act,
11beginning September 1, 2009, "food for human consumption that
12is to be consumed off the premises where it is sold" does not
13include candy. For purposes of this Section, "candy" means a
14preparation of sugar, honey, or other natural or artificial
15sweeteners in combination with chocolate, fruits, nuts or
16other ingredients or flavorings in the form of bars, drops, or
17pieces. "Candy" does not include any preparation that contains
18flour or requires refrigeration.
19 Notwithstanding any other provisions of this Act,
20beginning September 1, 2009, "nonprescription medicines and
21drugs" does not include grooming and hygiene products. For
22purposes of this Section, "grooming and hygiene products"
23includes, but is not limited to, soaps and cleaning solutions,
24shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
25lotions and screens, unless those products are available by
26prescription only, regardless of whether the products meet the

HB5481- 106 -LRB102 25409 HLH 34694 b
1definition of "over-the-counter-drugs". For the purposes of
2this paragraph, "over-the-counter-drug" means a drug for human
3use that contains a label that identifies the product as a drug
4as required by 21 C.F.R. 201.66. The "over-the-counter-drug"
5label includes:
6 (A) A "Drug Facts" panel; or
7 (B) A statement of the "active ingredient(s)" with a
8 list of those ingredients contained in the compound,
9 substance or preparation.
10 Beginning on the effective date of this amendatory Act of
11the 98th General Assembly, "prescription and nonprescription
12medicines and drugs" includes medical cannabis purchased from
13a registered dispensing organization under the Compassionate
14Use of Medical Cannabis Program Act.
15 As used in this Section, "adult use cannabis" means
16cannabis subject to tax under the Cannabis Cultivation
17Privilege Tax Law and the Cannabis Purchaser Excise Tax Law
18and does not include cannabis subject to tax under the
19Compassionate Use of Medical Cannabis Program Act.
20(Source: P.A. 101-363, eff. 8-9-19; 101-593, eff. 12-4-19;
21102-4, eff. 4-27-21.)
22 (35 ILCS 120/3) (from Ch. 120, par. 442)
23 Sec. 3. Except as provided in this Section, on or before
24the twentieth day of each calendar month, every person engaged
25in the business of selling tangible personal property at

HB5481- 107 -LRB102 25409 HLH 34694 b
1retail in this State during the preceding calendar month shall
2file a return with the Department, stating:
3 1. The name of the seller;
4 2. His residence address and the address of his
5 principal place of business and the address of the
6 principal place of business (if that is a different
7 address) from which he engages in the business of selling
8 tangible personal property at retail in this State;
9 3. Total amount of receipts received by him during the
10 preceding calendar month or quarter, as the case may be,
11 from sales of tangible personal property, and from
12 services furnished, by him during such preceding calendar
13 month or quarter;
14 4. Total amount received by him during the preceding
15 calendar month or quarter on charge and time sales of
16 tangible personal property, and from services furnished,
17 by him prior to the month or quarter for which the return
18 is filed;
19 5. Deductions allowed by law;
20 6. Gross receipts which were received by him during
21 the preceding calendar month or quarter and upon the basis
22 of which the tax is imposed;
23 7. The amount of credit provided in Section 2d of this
24 Act;
25 8. The amount of tax due;
26 9. The signature of the taxpayer; and

HB5481- 108 -LRB102 25409 HLH 34694 b
1 10. Such other reasonable information as the
2 Department may require.
3 On and after January 1, 2018, except for returns for motor
4vehicles, watercraft, aircraft, and trailers that are required
5to be registered with an agency of this State, with respect to
6retailers whose annual gross receipts average $20,000 or more,
7all returns required to be filed pursuant to this Act shall be
8filed electronically. Retailers who demonstrate that they do
9not have access to the Internet or demonstrate hardship in
10filing electronically may petition the Department to waive the
11electronic filing requirement.
12 If a taxpayer fails to sign a return within 30 days after
13the proper notice and demand for signature by the Department,
14the return shall be considered valid and any amount shown to be
15due on the return shall be deemed assessed.
16 Each return shall be accompanied by the statement of
17prepaid tax issued pursuant to Section 2e for which credit is
18claimed.
19 Prior to October 1, 2003, and on and after September 1,
202004 a retailer may accept a Manufacturer's Purchase Credit
21certification from a purchaser in satisfaction of Use Tax as
22provided in Section 3-85 of the Use Tax Act if the purchaser
23provides the appropriate documentation as required by Section
243-85 of the Use Tax Act. A Manufacturer's Purchase Credit
25certification, accepted by a retailer prior to October 1, 2003
26and on and after September 1, 2004 as provided in Section 3-85

HB5481- 109 -LRB102 25409 HLH 34694 b
1of the Use Tax Act, may be used by that retailer to satisfy
2Retailers' Occupation Tax liability in the amount claimed in
3the certification, not to exceed 6.25% of the receipts subject
4to tax from a qualifying purchase. A Manufacturer's Purchase
5Credit reported on any original or amended return filed under
6this Act after October 20, 2003 for reporting periods prior to
7September 1, 2004 shall be disallowed. Manufacturer's Purchase
8Purchaser Credit reported on annual returns due on or after
9January 1, 2005 will be disallowed for periods prior to
10September 1, 2004. No Manufacturer's Purchase Credit may be
11used after September 30, 2003 through August 31, 2004 to
12satisfy any tax liability imposed under this Act, including
13any audit liability.
14 The Department may require returns to be filed on a
15quarterly basis. If so required, a return for each calendar
16quarter shall be filed on or before the twentieth day of the
17calendar month following the end of such calendar quarter. The
18taxpayer shall also file a return with the Department for each
19of the first two months of each calendar quarter, on or before
20the twentieth day of the following calendar month, stating:
21 1. The name of the seller;
22 2. The address of the principal place of business from
23 which he engages in the business of selling tangible
24 personal property at retail in this State;
25 3. The total amount of taxable receipts received by
26 him during the preceding calendar month from sales of

HB5481- 110 -LRB102 25409 HLH 34694 b
1 tangible personal property by him during such preceding
2 calendar month, including receipts from charge and time
3 sales, but less all deductions allowed by law;
4 4. The amount of credit provided in Section 2d of this
5 Act;
6 5. The amount of tax due; and
7 6. Such other reasonable information as the Department
8 may require.
9 Every person engaged in the business of selling aviation
10fuel at retail in this State during the preceding calendar
11month shall, instead of reporting and paying tax as otherwise
12required by this Section, report and pay such tax on a separate
13aviation fuel tax return. The requirements related to the
14return shall be as otherwise provided in this Section.
15Notwithstanding any other provisions of this Act to the
16contrary, retailers selling aviation fuel shall file all
17aviation fuel tax returns and shall make all aviation fuel tax
18payments by electronic means in the manner and form required
19by the Department. For purposes of this Section, "aviation
20fuel" means jet fuel and aviation gasoline.
21 Beginning on October 1, 2003, any person who is not a
22licensed distributor, importing distributor, or manufacturer,
23as defined in the Liquor Control Act of 1934, but is engaged in
24the business of selling, at retail, alcoholic liquor shall
25file a statement with the Department of Revenue, in a format
26and at a time prescribed by the Department, showing the total

HB5481- 111 -LRB102 25409 HLH 34694 b
1amount paid for alcoholic liquor purchased during the
2preceding month and such other information as is reasonably
3required by the Department. The Department may adopt rules to
4require that this statement be filed in an electronic or
5telephonic format. Such rules may provide for exceptions from
6the filing requirements of this paragraph. For the purposes of
7this paragraph, the term "alcoholic liquor" shall have the
8meaning prescribed in the Liquor Control Act of 1934.
9 Beginning on October 1, 2003, every distributor, importing
10distributor, and manufacturer of alcoholic liquor as defined
11in the Liquor Control Act of 1934, shall file a statement with
12the Department of Revenue, no later than the 10th day of the
13month for the preceding month during which transactions
14occurred, by electronic means, showing the total amount of
15gross receipts from the sale of alcoholic liquor sold or
16distributed during the preceding month to purchasers;
17identifying the purchaser to whom it was sold or distributed;
18the purchaser's tax registration number; and such other
19information reasonably required by the Department. A
20distributor, importing distributor, or manufacturer of
21alcoholic liquor must personally deliver, mail, or provide by
22electronic means to each retailer listed on the monthly
23statement a report containing a cumulative total of that
24distributor's, importing distributor's, or manufacturer's
25total sales of alcoholic liquor to that retailer no later than
26the 10th day of the month for the preceding month during which

HB5481- 112 -LRB102 25409 HLH 34694 b
1the transaction occurred. The distributor, importing
2distributor, or manufacturer shall notify the retailer as to
3the method by which the distributor, importing distributor, or
4manufacturer will provide the sales information. If the
5retailer is unable to receive the sales information by
6electronic means, the distributor, importing distributor, or
7manufacturer shall furnish the sales information by personal
8delivery or by mail. For purposes of this paragraph, the term
9"electronic means" includes, but is not limited to, the use of
10a secure Internet website, e-mail, or facsimile.
11 If a total amount of less than $1 is payable, refundable or
12creditable, such amount shall be disregarded if it is less
13than 50 cents and shall be increased to $1 if it is 50 cents or
14more.
15 Notwithstanding any other provision of this Act to the
16contrary, retailers subject to tax on cannabis shall file all
17cannabis tax returns and shall make all cannabis tax payments
18by electronic means in the manner and form required by the
19Department.
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
25make all payments required by rules of the Department by
26electronic funds transfer. Beginning October 1, 1995, a

HB5481- 113 -LRB102 25409 HLH 34694 b
1taxpayer who has an average monthly tax liability of $50,000
2or more shall make all payments required by rules of the
3Department by electronic funds transfer. Beginning October 1,
42000, a taxpayer who has an annual tax liability of $200,000 or
5more shall make all payments required by rules of the
6Department by electronic funds transfer. The term "annual tax
7liability" shall be the sum of the taxpayer's liabilities
8under this Act, and under all other State and local occupation
9and use tax laws administered by the Department, for the
10immediately preceding calendar year. The term "average monthly
11tax liability" shall be the sum of the taxpayer's liabilities
12under this Act, and under all other State and local occupation
13and use tax laws administered by the Department, for the
14immediately preceding calendar year divided by 12. Beginning
15on October 1, 2002, a taxpayer who has a tax liability in the
16amount set forth in subsection (b) of Section 2505-210 of the
17Department of Revenue Law shall make all payments required by
18rules of the Department by electronic funds transfer.
19 Before August 1 of each year beginning in 1993, the
20Department shall notify all taxpayers required to make
21payments by electronic funds transfer. All taxpayers required
22to make payments by electronic funds transfer shall make those
23payments for 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.

HB5481- 114 -LRB102 25409 HLH 34694 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
4payments in 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 Any amount which is required to be shown or reported on any
9return or other document under this Act shall, if such amount
10is not a whole-dollar amount, be increased to the nearest
11whole-dollar amount in any case where the fractional part of a
12dollar is 50 cents or more, and decreased to the nearest
13whole-dollar amount where the fractional part of a dollar is
14less than 50 cents.
15 If the retailer is otherwise required to file a monthly
16return and if the retailer's average monthly tax liability to
17the Department does not exceed $200, the Department may
18authorize his returns to be filed on a quarter annual basis,
19with the return for January, February and March of a given year
20being due by April 20 of such year; with the return for April,
21May and June of a given year being due by July 20 of such year;
22with the return for July, August and September of a given year
23being due by October 20 of such year, and with the return for
24October, November and December of a given year being due by
25January 20 of the following year.
26 If the retailer is otherwise required to file a monthly or

HB5481- 115 -LRB102 25409 HLH 34694 b
1quarterly return and if the retailer's average monthly tax
2liability with the Department does not exceed $50, the
3Department may authorize his returns to be filed on an annual
4basis, with the return for a given year being due by January 20
5of the following year.
6 Such quarter annual and annual returns, as to form and
7substance, shall be subject to the same requirements as
8monthly returns.
9 Notwithstanding any other provision in this Act concerning
10the time within which a retailer may file his return, in the
11case of any retailer who ceases to engage in a kind of business
12which makes him responsible for filing returns under this Act,
13such retailer shall file a final return under this Act with the
14Department not more than one month after discontinuing such
15business.
16 Where the same person has more than one business
17registered with the Department under separate registrations
18under this Act, such person may not file each return that is
19due as a single return covering all such registered
20businesses, but shall file separate returns for each such
21registered business.
22 In addition, with respect to motor vehicles, watercraft,
23aircraft, and trailers that are required to be registered with
24an agency of this State, except as otherwise provided in this
25Section, every retailer selling this kind of tangible personal
26property shall file, with the Department, upon a form to be

HB5481- 116 -LRB102 25409 HLH 34694 b
1prescribed and supplied by the Department, a separate return
2for each such item of tangible personal property which the
3retailer sells, except that if, in the same transaction, (i) a
4retailer of aircraft, watercraft, motor vehicles or trailers
5transfers more than one aircraft, watercraft, motor vehicle or
6trailer to another aircraft, watercraft, motor vehicle
7retailer or trailer retailer for the purpose of resale or (ii)
8a retailer of aircraft, watercraft, motor vehicles, or
9trailers transfers more than one aircraft, watercraft, motor
10vehicle, or trailer to a purchaser for use as a qualifying
11rolling stock as provided in Section 2-5 of this Act, then that
12seller may report the transfer of all aircraft, watercraft,
13motor vehicles or trailers involved in that transaction to the
14Department on the same uniform invoice-transaction reporting
15return form. For purposes of this Section, "watercraft" means
16a Class 2, Class 3, or Class 4 watercraft as defined in Section
173-2 of the Boat Registration and Safety Act, a personal
18watercraft, or any boat equipped with an inboard motor.
19 In addition, with respect to motor vehicles, watercraft,
20aircraft, and trailers that are required to be registered with
21an agency of this State, every person who is engaged in the
22business of leasing or renting such items and who, in
23connection with such business, sells any such item to a
24retailer for the purpose of resale is, notwithstanding any
25other provision of this Section to the contrary, authorized to
26meet the return-filing requirement of this Act by reporting

HB5481- 117 -LRB102 25409 HLH 34694 b
1the transfer of all the aircraft, watercraft, motor vehicles,
2or trailers transferred for resale during a month to the
3Department on the same uniform invoice-transaction reporting
4return form on or before the 20th of the month following the
5month in which the transfer takes place. Notwithstanding any
6other provision of this Act to the contrary, all returns filed
7under this paragraph must be filed by electronic means in the
8manner and form as required by the Department.
9 Any retailer who sells only motor vehicles, watercraft,
10aircraft, or trailers that are required to be registered with
11an agency of this State, so that all retailers' occupation tax
12liability is required to be reported, and is reported, on such
13transaction reporting returns and who is not otherwise
14required to file monthly or quarterly returns, need not file
15monthly or quarterly returns. However, those retailers shall
16be required to file returns on an annual basis.
17 The transaction reporting return, in the case of motor
18vehicles or trailers that are required to be registered with
19an agency of this State, shall be the same document as the
20Uniform Invoice referred to in Section 5-402 of the Illinois
21Vehicle Code and must show the name and address of the seller;
22the name and address of the purchaser; the amount of the
23selling price including the amount allowed by the retailer for
24traded-in property, if any; the amount allowed by the retailer
25for the traded-in tangible personal property, if any, to the
26extent to which Section 1 of this Act allows an exemption for

HB5481- 118 -LRB102 25409 HLH 34694 b
1the value of traded-in property; the balance payable after
2deducting such trade-in allowance from the total selling
3price; the amount of tax due from the retailer with respect to
4such transaction; the amount of tax collected from the
5purchaser by the retailer on such transaction (or satisfactory
6evidence that such tax is not due in that particular instance,
7if that is claimed to be the fact); the place and date of the
8sale; a sufficient identification of the property sold; such
9other information as is required in Section 5-402 of the
10Illinois Vehicle Code, and such other information as the
11Department may reasonably require.
12 The transaction reporting return in the case of watercraft
13or aircraft must show the name and address of the seller; the
14name and address of the purchaser; the amount of the selling
15price including the amount allowed by the retailer for
16traded-in property, if any; the amount allowed by the retailer
17for the traded-in tangible personal property, if any, to the
18extent to which Section 1 of this Act allows an exemption for
19the value of traded-in property; the balance payable after
20deducting such trade-in allowance from the total selling
21price; the amount of tax due from the retailer with respect to
22such transaction; the amount of tax collected from the
23purchaser by the retailer on such transaction (or satisfactory
24evidence that such tax is not due in that particular instance,
25if that is claimed to be the fact); the place and date of the
26sale, a sufficient identification of the property sold, and

HB5481- 119 -LRB102 25409 HLH 34694 b
1such other information as the Department may reasonably
2require.
3 Such transaction reporting return shall be filed not later
4than 20 days after the day of delivery of the item that is
5being sold, but may be filed by the retailer at any time sooner
6than that if he chooses to do so. The transaction reporting
7return and tax remittance or proof of exemption from the
8Illinois use tax may be transmitted to the Department by way of
9the State agency with which, or State officer with whom the
10tangible personal property must be titled or registered (if
11titling or registration is required) if the Department and
12such agency or State officer determine that this procedure
13will expedite the processing of applications for title or
14registration.
15 With each such transaction reporting return, the retailer
16shall remit the proper amount of tax due (or shall submit
17satisfactory evidence that the sale is not taxable if that is
18the case), to the Department or its agents, whereupon the
19Department shall issue, in the purchaser's name, a use tax
20receipt (or a certificate of exemption if the Department is
21satisfied that the particular sale is tax exempt) which such
22purchaser may submit to the agency with which, or State
23officer with whom, he must title or register the tangible
24personal property that is involved (if titling or registration
25is required) in support of such purchaser's application for an
26Illinois certificate or other evidence of title or

HB5481- 120 -LRB102 25409 HLH 34694 b
1registration to such tangible personal property.
2 No retailer's failure or refusal to remit tax under this
3Act precludes a user, who has paid the proper tax to the
4retailer, from obtaining his certificate of title or other
5evidence of title or registration (if titling or registration
6is required) upon satisfying the Department that such user has
7paid the proper tax (if tax is due) to the retailer. The
8Department shall adopt appropriate rules to carry out the
9mandate of this paragraph.
10 If the user who would otherwise pay tax to the retailer
11wants the transaction reporting return filed and the payment
12of the tax or proof of exemption made to the Department before
13the retailer is willing to take these actions and such user has
14not paid the tax to the retailer, such user may certify to the
15fact of such delay by the retailer and may (upon the Department
16being satisfied of the truth of such certification) transmit
17the information required by the transaction reporting return
18and the remittance for tax or proof of exemption directly to
19the Department and obtain his tax receipt or exemption
20determination, in which event the transaction reporting return
21and tax remittance (if a tax payment was required) shall be
22credited by the Department to the proper retailer's account
23with the Department, but without the 2.1% or 1.75% discount
24provided for in this Section being allowed. When the user pays
25the tax directly to the Department, he shall pay the tax in the
26same amount and in the same form in which it would be remitted

HB5481- 121 -LRB102 25409 HLH 34694 b
1if the tax had been remitted to the Department by the retailer.
2 Refunds made by the seller during the preceding return
3period to purchasers, on account of tangible personal property
4returned to the seller, shall be allowed as a deduction under
5subdivision 5 of his monthly or quarterly return, as the case
6may be, in case the seller had theretofore included the
7receipts from the sale of such tangible personal property in a
8return filed by him and had paid the tax imposed by this Act
9with respect to such receipts.
10 Where the seller is a corporation, the return filed on
11behalf of such corporation shall be signed by the president,
12vice-president, secretary or treasurer or by the properly
13accredited agent of such corporation.
14 Where the seller is a limited liability company, the
15return filed on behalf of the limited liability company shall
16be signed by a manager, member, or properly accredited agent
17of the limited liability company.
18 Except as provided in this Section, the retailer filing
19the return under this Section shall, at the time of filing such
20return, pay to the Department the amount of tax imposed by this
21Act less a discount of 2.1% prior to January 1, 1990 and 1.75%
22on and after January 1, 1990, or $5 per calendar year,
23whichever is greater, which is allowed to reimburse the
24retailer for the expenses incurred in keeping records,
25preparing and filing returns, remitting the tax and supplying
26data to the Department on request. On and after January 1,

HB5481- 122 -LRB102 25409 HLH 34694 b
12021, a certified service provider, as defined in the Leveling
2the Playing Field for Illinois Retail Act, filing the return
3under this Section on behalf of a remote retailer shall, at the
4time of such return, pay to the Department the amount of tax
5imposed by this Act less a discount of 1.75%. A remote retailer
6using a certified service provider to file a return on its
7behalf, as provided in the Leveling the Playing Field for
8Illinois Retail Act, is not eligible for the discount. The
9discount under this Section is not allowed for the 1.25%
10portion of taxes paid on aviation fuel that is subject to the
11revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
1247133. Any prepayment made pursuant to Section 2d of this Act
13shall be included in the amount on which such 2.1% or 1.75%
14discount is computed. In the case of retailers who report and
15pay the tax on a transaction by transaction basis, as provided
16in this Section, such discount shall be taken with each such
17tax remittance instead of when such retailer files his
18periodic return. The discount allowed under this Section is
19allowed only for returns that are filed in the manner required
20by this Act. The Department may disallow the discount for
21retailers whose certificate of registration is revoked at the
22time the return is filed, but only if the Department's
23decision to revoke the certificate of registration has become
24final.
25 Before October 1, 2000, if the taxpayer's average monthly
26tax liability to the Department under this Act, the Use Tax

HB5481- 123 -LRB102 25409 HLH 34694 b
1Act, the Service Occupation Tax Act, and the Service Use Tax
2Act, excluding any liability for prepaid sales tax to be
3remitted in accordance with Section 2d of this Act, was
4$10,000 or more during the preceding 4 complete calendar
5quarters, he shall file a return with the Department each
6month by the 20th day of the month next following the month
7during which such tax liability is incurred and shall make
8payments to the Department on or before the 7th, 15th, 22nd and
9last day of the month during which such liability is incurred.
10On and after October 1, 2000, if the taxpayer's average
11monthly tax liability to the Department under this Act, the
12Use Tax Act, the Service Occupation Tax Act, and the Service
13Use Tax Act, excluding any liability for prepaid sales tax to
14be remitted in accordance with Section 2d of this Act, was
15$20,000 or more during the preceding 4 complete calendar
16quarters, he shall file a return with the Department each
17month by the 20th day of the month next following the month
18during which such tax liability is incurred and shall make
19payment to the Department on or before the 7th, 15th, 22nd and
20last day of the month during which such liability is incurred.
21If the month during which such tax liability is incurred began
22prior to January 1, 1985, each payment shall be in an amount
23equal to 1/4 of the taxpayer's actual liability for the month
24or an amount set by the Department not to exceed 1/4 of the
25average monthly liability of the taxpayer to the Department
26for the preceding 4 complete calendar quarters (excluding the

HB5481- 124 -LRB102 25409 HLH 34694 b
1month of highest liability and the month of lowest liability
2in such 4 quarter period). If the month during which such tax
3liability is incurred begins on or after January 1, 1985 and
4prior to January 1, 1987, each payment shall be in an amount
5equal to 22.5% of the taxpayer's actual liability for the
6month or 27.5% of the taxpayer's liability for the same
7calendar month of the preceding year. If the month during
8which such tax liability is incurred begins on or after
9January 1, 1987 and prior to January 1, 1988, each payment
10shall be in an amount equal to 22.5% of the taxpayer's actual
11liability for the month or 26.25% of the taxpayer's liability
12for the same calendar month of the preceding year. If the month
13during which such tax liability is incurred begins on or after
14January 1, 1988, and prior to January 1, 1989, or begins on or
15after January 1, 1996, each payment shall be in an amount equal
16to 22.5% of the taxpayer's actual liability for the month or
1725% of the taxpayer's liability for the same calendar month of
18the preceding year. If the month during which such tax
19liability is incurred begins on or after January 1, 1989, and
20prior to January 1, 1996, each payment shall be in an amount
21equal to 22.5% of the taxpayer's actual liability for the
22month or 25% of the taxpayer's liability for the same calendar
23month of the preceding year or 100% of the taxpayer's actual
24liability for the quarter monthly reporting period. The amount
25of such quarter monthly payments shall be credited against the
26final tax liability of the taxpayer's return for that month.

HB5481- 125 -LRB102 25409 HLH 34694 b
1Before October 1, 2000, once applicable, the requirement of
2the making of quarter monthly payments to the Department by
3taxpayers having an average monthly tax liability of $10,000
4or more as determined in the manner provided above shall
5continue until such taxpayer's average monthly liability to
6the Department during the preceding 4 complete calendar
7quarters (excluding the month of highest liability and the
8month of lowest liability) is less than $9,000, or until such
9taxpayer's average monthly liability to the Department as
10computed for each calendar quarter of the 4 preceding complete
11calendar quarter period is less than $10,000. However, if a
12taxpayer can show the Department that a substantial change in
13the taxpayer's business has occurred which causes the taxpayer
14to anticipate that his average monthly tax liability for the
15reasonably foreseeable future will fall below the $10,000
16threshold stated above, then such taxpayer may petition the
17Department for a change in such taxpayer's reporting status.
18On and after October 1, 2000, once applicable, the requirement
19of the making of quarter monthly payments to the Department by
20taxpayers having an average monthly tax liability of $20,000
21or more as determined in the manner provided above shall
22continue until such taxpayer's average monthly liability to
23the Department during the preceding 4 complete calendar
24quarters (excluding the month of highest liability and the
25month of lowest liability) is less than $19,000 or until such
26taxpayer's average monthly liability to the Department as

HB5481- 126 -LRB102 25409 HLH 34694 b
1computed for each calendar quarter of the 4 preceding complete
2calendar quarter period is less than $20,000. However, if a
3taxpayer can show the Department that a substantial change in
4the taxpayer's business has occurred which causes the taxpayer
5to anticipate that his average monthly tax liability for the
6reasonably foreseeable future will fall below the $20,000
7threshold stated above, then such taxpayer may petition the
8Department for a change in such taxpayer's reporting status.
9The Department shall change such taxpayer's reporting status
10unless it finds that such change is seasonal in nature and not
11likely to be long term. If any such quarter monthly payment is
12not paid at the time or in the amount required by this Section,
13then the taxpayer shall be liable for penalties and interest
14on the difference between the minimum amount due as a payment
15and the amount of such quarter monthly payment actually and
16timely paid, except insofar as the taxpayer has previously
17made payments for that month to the Department in excess of the
18minimum payments previously due as provided in this Section.
19The Department shall make reasonable rules and regulations to
20govern the quarter monthly payment amount and quarter monthly
21payment dates for taxpayers who file on other than a calendar
22monthly basis.
23 The provisions of this paragraph apply before October 1,
242001. Without regard to whether a taxpayer is required to make
25quarter monthly payments as specified above, any taxpayer who
26is required by Section 2d of this Act to collect and remit

HB5481- 127 -LRB102 25409 HLH 34694 b
1prepaid taxes and has collected prepaid taxes which average in
2excess of $25,000 per month during the preceding 2 complete
3calendar quarters, shall file a return with the Department as
4required by Section 2f and shall make payments to the
5Department on or before the 7th, 15th, 22nd and last day of the
6month during which such liability is incurred. If the month
7during which such tax liability is incurred began prior to
8September 1, 1985 (the effective date of Public Act 84-221),
9each payment shall be in an amount not less than 22.5% of the
10taxpayer's actual liability under Section 2d. If the month
11during which such tax liability is incurred begins on or after
12January 1, 1986, each payment shall be in an amount equal to
1322.5% of the taxpayer's actual liability for the month or
1427.5% of the taxpayer's liability for the same calendar month
15of the preceding calendar year. If the month during which such
16tax liability is incurred begins on or after January 1, 1987,
17each payment shall be in an amount equal to 22.5% of the
18taxpayer's actual liability for the month or 26.25% of the
19taxpayer's liability for the same calendar month of the
20preceding year. The amount of such quarter monthly payments
21shall be credited against the final tax liability of the
22taxpayer's return for that month filed under this Section or
23Section 2f, as the case may be. Once applicable, the
24requirement of the making of quarter monthly payments to the
25Department pursuant to this paragraph shall continue until
26such taxpayer's average monthly prepaid tax collections during

HB5481- 128 -LRB102 25409 HLH 34694 b
1the preceding 2 complete calendar quarters is $25,000 or less.
2If any such quarter monthly payment is not paid at the time or
3in the amount required, the taxpayer shall be liable for
4penalties and interest on such difference, except insofar as
5the taxpayer has previously made payments for that month in
6excess of the minimum payments previously due.
7 The provisions of this paragraph apply on and after
8October 1, 2001. Without regard to whether a taxpayer is
9required to make quarter monthly payments as specified above,
10any taxpayer who is required by Section 2d of this Act to
11collect and remit prepaid taxes and has collected prepaid
12taxes that average in excess of $20,000 per month during the
13preceding 4 complete calendar quarters shall file a return
14with the Department as required by Section 2f and shall make
15payments to the Department on or before the 7th, 15th, 22nd and
16last day of the month during which the liability is incurred.
17Each payment shall be in an amount equal to 22.5% of the
18taxpayer's actual liability for the month or 25% of the
19taxpayer's liability for the same calendar month of the
20preceding year. The amount of the quarter monthly payments
21shall be credited against the final tax liability of the
22taxpayer's return for that month filed under this Section or
23Section 2f, as the case may be. Once applicable, the
24requirement of the making of quarter monthly payments to the
25Department pursuant to this paragraph shall continue until the
26taxpayer's average monthly prepaid tax collections during the

HB5481- 129 -LRB102 25409 HLH 34694 b
1preceding 4 complete calendar quarters (excluding the month of
2highest liability and the month of lowest liability) is less
3than $19,000 or until such taxpayer's average monthly
4liability to the Department as computed for each calendar
5quarter of the 4 preceding complete calendar quarters is less
6than $20,000. If any such quarter monthly payment is not paid
7at the time or in the amount required, the taxpayer shall be
8liable for penalties and interest on such difference, except
9insofar as the taxpayer has previously made payments for that
10month in excess of the minimum payments previously due.
11 If any payment provided for in this Section exceeds the
12taxpayer's liabilities under this Act, the Use Tax Act, the
13Service Occupation Tax Act and the Service Use Tax Act, as
14shown on an original monthly return, the Department shall, if
15requested by the taxpayer, issue to the taxpayer a credit
16memorandum no later than 30 days after the date of payment. The
17credit evidenced by such credit memorandum may be assigned by
18the taxpayer to a similar taxpayer under this Act, the Use Tax
19Act, the Service Occupation Tax Act or the Service Use Tax Act,
20in accordance with reasonable rules and regulations to be
21prescribed by the Department. If no such request is made, the
22taxpayer may credit such excess payment against tax liability
23subsequently to be remitted to the Department under this Act,
24the Use Tax Act, the Service Occupation Tax Act or the Service
25Use Tax Act, in accordance with reasonable rules and
26regulations prescribed by the Department. If the Department

HB5481- 130 -LRB102 25409 HLH 34694 b
1subsequently determined that all or any part of the credit
2taken was not actually due to the taxpayer, the taxpayer's
32.1% and 1.75% vendor's discount shall be reduced by 2.1% or
41.75% of the difference between the credit taken and that
5actually due, and that taxpayer shall be liable for penalties
6and interest on such difference.
7 If a retailer of motor fuel is entitled to a credit under
8Section 2d of this Act which exceeds the taxpayer's liability
9to the Department under this Act for the month for which the
10taxpayer is filing a return, the Department shall issue the
11taxpayer a credit memorandum for the excess.
12 Beginning January 1, 1990, each month the Department shall
13pay into the Local Government Tax Fund, a special fund in the
14State treasury which is hereby created, the net revenue
15realized for the preceding month from the 1% tax imposed under
16this Act.
17 Beginning January 1, 1990, each month the Department shall
18pay into the County and Mass Transit District Fund, a special
19fund in the State treasury which is hereby created, 4% of the
20net revenue realized for the preceding month from the 6.25%
21general rate other than aviation fuel sold on or after
22December 1, 2019. This exception for aviation fuel only
23applies for so long as the revenue use requirements of 49
24U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the State.
25 Beginning August 1, 2000, each month the Department shall
26pay into the County and Mass Transit District Fund 20% of the

HB5481- 131 -LRB102 25409 HLH 34694 b
1net revenue realized for the preceding month from the 1.25%
2rate on the selling price of motor fuel and gasohol. Beginning
3September 1, 2010, each month the Department shall pay into
4the County and Mass Transit District Fund 20% of the net
5revenue realized for the preceding month from the 1.25% rate
6on the selling price of sales tax holiday items.
7 Beginning January 1, 1990, each month the Department shall
8pay into the Local Government Tax Fund 16% of the net revenue
9realized for the preceding month from the 6.25% general rate
10on the selling price of tangible personal property other than
11aviation fuel sold on or after December 1, 2019. This
12exception for aviation fuel only applies for so long as the
13revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
1447133 are binding on the State.
15 For aviation fuel sold on or after December 1, 2019, each
16month the Department shall pay into the State Aviation Program
17Fund 20% of the net revenue realized for the preceding month
18from the 6.25% general rate on the selling price of aviation
19fuel, less an amount estimated by the Department to be
20required for refunds of the 20% portion of the tax on aviation
21fuel under this Act, which amount shall be deposited into the
22Aviation Fuel Sales Tax Refund Fund. The Department shall only
23pay moneys into the State Aviation Program Fund and the
24Aviation Fuel Sales Tax Refund Fund under this Act for so long
25as the revenue use requirements of 49 U.S.C. 47107(b) and 49
26U.S.C. 47133 are binding on the State.

HB5481- 132 -LRB102 25409 HLH 34694 b
1 Beginning August 1, 2000, each month the Department shall
2pay into the Local Government Tax Fund 80% of the net revenue
3realized for the preceding month from the 1.25% rate on the
4selling price of motor fuel and gasohol. Beginning September
51, 2010, each month the Department shall pay into the Local
6Government Tax Fund 80% of the net revenue realized for the
7preceding month from the 1.25% rate on the selling price of
8sales tax holiday items.
9 Beginning October 1, 2009, each month the Department shall
10pay into the Capital Projects Fund an amount that is equal to
11an amount estimated by the Department to represent 80% of the
12net revenue realized for the preceding month from the sale of
13candy, grooming and hygiene products, and soft drinks that had
14been taxed at a rate of 1% prior to September 1, 2009 but that
15are now taxed at 6.25%.
16 Beginning July 1, 2011, each month the Department shall
17pay into the Clean Air Act Permit Fund 80% of the net revenue
18realized for the preceding month from the 6.25% general rate
19on the selling price of sorbents used in Illinois in the
20process of sorbent injection as used to comply with the
21Environmental Protection Act or the federal Clean Air Act, but
22the total payment into the Clean Air Act Permit Fund under this
23Act and the Use Tax Act shall not exceed $2,000,000 in any
24fiscal year.
25 Beginning July 1, 2013, each month the Department shall
26pay into the Underground Storage Tank Fund from the proceeds

HB5481- 133 -LRB102 25409 HLH 34694 b
1collected under this Act, the Use Tax Act, the Service Use Tax
2Act, and the Service Occupation Tax Act an amount equal to the
3average monthly deficit in the Underground Storage Tank Fund
4during the prior year, as certified annually by the Illinois
5Environmental Protection Agency, but the total payment into
6the Underground Storage Tank Fund under this Act, the Use Tax
7Act, the Service Use Tax Act, and the Service Occupation Tax
8Act shall not exceed $18,000,000 in any State fiscal year. As
9used in this paragraph, the "average monthly deficit" shall be
10equal to the difference between the average monthly claims for
11payment by the fund and the average monthly revenues deposited
12into the fund, excluding payments made pursuant to this
13paragraph.
14 Beginning July 1, 2015, of the remainder of the moneys
15received by the Department under the Use Tax Act, the Service
16Use Tax Act, the Service Occupation Tax Act, and this Act, each
17month the Department shall deposit $500,000 into the State
18Crime Laboratory Fund.
19 Of the remainder of the moneys received by the Department
20pursuant to this Act, (a) 1.75% thereof shall be paid into the
21Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
22and after July 1, 1989, 3.8% thereof shall be paid into the
23Build Illinois Fund; provided, however, that if in any fiscal
24year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
25may be, of the moneys received by the Department and required
26to be paid into the Build Illinois Fund pursuant to this Act,

HB5481- 134 -LRB102 25409 HLH 34694 b
1Section 9 of the Use Tax Act, Section 9 of the Service Use Tax
2Act, and Section 9 of the Service Occupation Tax Act, such Acts
3being hereinafter called the "Tax Acts" and such aggregate of
42.2% or 3.8%, as the case may be, of moneys being hereinafter
5called the "Tax Act Amount", and (2) the amount transferred to
6the Build Illinois Fund from the State and Local Sales Tax
7Reform Fund shall be less than the Annual Specified Amount (as
8hereinafter defined), an amount equal to the difference shall
9be immediately paid into the Build Illinois Fund from other
10moneys received by the Department pursuant to the Tax Acts;
11the "Annual Specified Amount" means the amounts specified
12below for fiscal years 1986 through 1993:
13Fiscal YearAnnual Specified Amount
141986$54,800,000
151987$76,650,000
161988$80,480,000
171989$88,510,000
181990$115,330,000
191991$145,470,000
201992$182,730,000
211993$206,520,000;
22and means the Certified Annual Debt Service Requirement (as
23defined in Section 13 of the Build Illinois Bond Act) or the
24Tax Act Amount, whichever is greater, for fiscal year 1994 and
25each fiscal year thereafter; and further provided, that if on
26the last business day of any month the sum of (1) the Tax Act

HB5481- 135 -LRB102 25409 HLH 34694 b
1Amount required to be deposited into the Build Illinois Bond
2Account in the Build Illinois Fund during such month and (2)
3the amount transferred to the Build Illinois Fund from the
4State and Local Sales Tax Reform Fund shall have been less than
51/12 of the Annual Specified Amount, 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 in no event shall the
9payments required under the preceding proviso result in
10aggregate payments into the Build Illinois Fund pursuant to
11this clause (b) for any fiscal year in excess of the greater of
12(i) the Tax Act Amount or (ii) the Annual Specified Amount for
13such fiscal year. The amounts payable into the Build Illinois
14Fund under clause (b) of the first sentence in this paragraph
15shall be payable only until such time as the aggregate amount
16on deposit under each trust indenture securing Bonds issued
17and outstanding pursuant to the Build Illinois Bond Act is
18sufficient, taking into account any future investment income,
19to fully provide, in accordance with such indenture, for the
20defeasance of or the payment of the principal of, premium, if
21any, and interest on the Bonds secured by such indenture and on
22any Bonds expected to be issued thereafter and all fees and
23costs payable with respect thereto, all as certified by the
24Director of the Bureau of the Budget (now Governor's Office of
25Management and Budget). If on the last business day of any
26month in which Bonds are outstanding pursuant to the Build

HB5481- 136 -LRB102 25409 HLH 34694 b
1Illinois Bond Act, the aggregate of moneys deposited in the
2Build Illinois Bond Account in the Build Illinois Fund in such
3month shall be less than the amount required to be transferred
4in such month from the Build Illinois Bond Account to the Build
5Illinois Bond Retirement and Interest Fund pursuant to Section
613 of the Build Illinois Bond Act, an amount equal to such
7deficiency shall be immediately paid from other moneys
8received by the Department pursuant to the Tax Acts to the
9Build Illinois Fund; provided, however, that any amounts paid
10to the Build Illinois Fund in any fiscal year pursuant to this
11sentence shall be deemed to constitute payments pursuant to
12clause (b) of the first sentence of this paragraph and shall
13reduce the amount otherwise payable for such fiscal year
14pursuant to that clause (b). The moneys received by the
15Department pursuant to this Act and required to be deposited
16into the Build Illinois Fund are subject to the pledge, claim
17and charge set forth in Section 12 of the Build Illinois Bond
18Act.
19 Subject to payment of amounts into the Build Illinois Fund
20as provided in the preceding paragraph or in any amendment
21thereto hereafter enacted, the following specified monthly
22installment of the amount requested in the certificate of the
23Chairman of the Metropolitan Pier and Exposition Authority
24provided under Section 8.25f of the State Finance Act, but not
25in excess of sums designated as "Total Deposit", shall be
26deposited in the aggregate from collections under Section 9 of

HB5481- 137 -LRB102 25409 HLH 34694 b
1the Use Tax Act, Section 9 of the Service Use Tax Act, Section
29 of the Service Occupation Tax Act, and Section 3 of the
3Retailers' Occupation Tax Act into the McCormick Place
4Expansion Project Fund in the specified fiscal years.
5Fiscal YearTotal Deposit
61993 $0
71994 53,000,000
81995 58,000,000
91996 61,000,000
101997 64,000,000
111998 68,000,000
121999 71,000,000
132000 75,000,000
142001 80,000,000
152002 93,000,000
162003 99,000,000
172004103,000,000
182005108,000,000
192006113,000,000
202007119,000,000
212008126,000,000
222009132,000,000
232010139,000,000
242011146,000,000
252012153,000,000
262013161,000,000

HB5481- 138 -LRB102 25409 HLH 34694 b
12014170,000,000
22015179,000,000
32016189,000,000
42017199,000,000
52018210,000,000
62019221,000,000
72020233,000,000
82021300,000,000
92022300,000,000
102023300,000,000
112024 300,000,000
122025 300,000,000
132026 300,000,000
142027 375,000,000
152028 375,000,000
162029 375,000,000
172030 375,000,000
182031 375,000,000
192032 375,000,000
202033375,000,000
212034375,000,000
222035375,000,000
232036450,000,000
24and
25each fiscal year
26thereafter that bonds

HB5481- 139 -LRB102 25409 HLH 34694 b
1are outstanding under
2Section 13.2 of the
3Metropolitan Pier and
4Exposition Authority Act,
5but not after fiscal year 2060.
6 Beginning July 20, 1993 and in each month of each fiscal
7year thereafter, one-eighth of the amount requested in the
8certificate of the Chairman of the Metropolitan Pier and
9Exposition Authority for that fiscal year, less the amount
10deposited into the McCormick Place Expansion Project Fund by
11the State Treasurer in the respective month under subsection
12(g) of Section 13 of the Metropolitan Pier and Exposition
13Authority Act, plus cumulative deficiencies in the deposits
14required under this Section for previous months and years,
15shall be deposited into the McCormick Place Expansion Project
16Fund, until the full amount requested for the fiscal year, but
17not in excess of the amount specified above as "Total
18Deposit", has been deposited.
19 Subject to payment of amounts into the Capital Projects
20Fund, the Clean Air Act Permit Fund, the Build Illinois Fund,
21and the McCormick Place Expansion Project Fund pursuant to the
22preceding paragraphs or in any amendments thereto hereafter
23enacted, for aviation fuel sold on or after December 1, 2019,
24the Department shall each month deposit into the Aviation Fuel
25Sales Tax Refund Fund an amount estimated by the Department to
26be required for refunds of the 80% portion of the tax on

HB5481- 140 -LRB102 25409 HLH 34694 b
1aviation fuel under this Act. The Department shall only
2deposit moneys into the Aviation Fuel Sales Tax Refund Fund
3under this paragraph for so long as the revenue use
4requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
5binding on the State.
6 Subject to payment of amounts into the Build Illinois Fund
7and the McCormick Place Expansion Project Fund pursuant to the
8preceding paragraphs or in any amendments thereto hereafter
9enacted, beginning July 1, 1993 and ending on September 30,
102013, the Department shall each month pay into the Illinois
11Tax Increment Fund 0.27% of 80% of the net revenue realized for
12the preceding month from the 6.25% general rate on the selling
13price of tangible personal property.
14 Subject to payment of amounts into the Build Illinois Fund
15and the McCormick Place Expansion Project Fund pursuant to the
16preceding paragraphs or in any amendments thereto hereafter
17enacted, beginning with the receipt of the first report of
18taxes paid by an eligible business and continuing for a
1925-year period, the Department shall each month pay into the
20Energy Infrastructure Fund 80% of the net revenue realized
21from the 6.25% general rate on the selling price of
22Illinois-mined coal that was sold to an eligible business. For
23purposes of this paragraph, the term "eligible business" means
24a new electric generating facility certified pursuant to
25Section 605-332 of the Department of Commerce and Economic
26Opportunity Law of the Civil Administrative Code of Illinois.

HB5481- 141 -LRB102 25409 HLH 34694 b
1 Subject to payment of amounts into the Build Illinois
2Fund, the McCormick Place Expansion Project Fund, the Illinois
3Tax Increment Fund, and the Energy Infrastructure Fund
4pursuant to the preceding paragraphs or in any amendments to
5this Section hereafter enacted, beginning on the first day of
6the first calendar month to occur on or after August 26, 2014
7(the effective date of Public Act 98-1098), each month, from
8the collections made under Section 9 of the Use Tax Act,
9Section 9 of the Service Use Tax Act, Section 9 of the Service
10Occupation Tax Act, and Section 3 of the Retailers' Occupation
11Tax Act, the Department shall pay into the Tax Compliance and
12Administration Fund, to be used, subject to appropriation, to
13fund additional auditors and compliance personnel at the
14Department of Revenue, an amount equal to 1/12 of 5% of 80% of
15the cash receipts collected during the preceding fiscal year
16by the Audit Bureau of the Department under the Use Tax Act,
17the Service Use Tax Act, the Service Occupation Tax Act, the
18Retailers' Occupation Tax Act, and associated local occupation
19and use taxes administered by the Department.
20 Subject to payments of amounts into the Build Illinois
21Fund, the McCormick Place Expansion Project Fund, the Illinois
22Tax Increment Fund, the Energy Infrastructure Fund, and the
23Tax Compliance and Administration Fund as provided in this
24Section, beginning on July 1, 2018 the Department shall pay
25each month into the Downstate Public Transportation Fund the
26moneys required to be so paid under Section 2-3 of the

HB5481- 142 -LRB102 25409 HLH 34694 b
1Downstate Public Transportation Act.
2 Subject to successful execution and delivery of a
3public-private agreement between the public agency and private
4entity and completion of the civic build, beginning on July 1,
52023, of the remainder of the moneys received by the
6Department under the Use Tax Act, the Service Use Tax Act, the
7Service Occupation Tax Act, and this Act, the Department shall
8deposit the following specified deposits in the aggregate from
9collections under the Use Tax Act, the Service Use Tax Act, the
10Service Occupation Tax Act, and the Retailers' Occupation Tax
11Act, as required under Section 8.25g of the State Finance Act
12for distribution consistent with the Public-Private
13Partnership for Civic and Transit Infrastructure Project Act.
14The moneys received by the Department pursuant to this Act and
15required to be deposited into the Civic and Transit
16Infrastructure Fund are subject to the pledge, claim and
17charge set forth in Section 25-55 of the Public-Private
18Partnership for Civic and Transit Infrastructure Project Act.
19As used in this paragraph, "civic build", "private entity",
20"public-private agreement", and "public agency" have the
21meanings provided in Section 25-10 of the Public-Private
22Partnership for Civic and Transit Infrastructure Project Act.
23 Fiscal Year.............................Total Deposit
24 2024.....................................$200,000,000
25 2025....................................$206,000,000
26 2026....................................$212,200,000

HB5481- 143 -LRB102 25409 HLH 34694 b
1 2027....................................$218,500,000
2 2028....................................$225,100,000
3 2029....................................$288,700,000
4 2030....................................$298,900,000
5 2031....................................$309,300,000
6 2032....................................$320,100,000
7 2033....................................$331,200,000
8 2034....................................$341,200,000
9 2035....................................$351,400,000
10 2036....................................$361,900,000
11 2037....................................$372,800,000
12 2038....................................$384,000,000
13 2039....................................$395,500,000
14 2040....................................$407,400,000
15 2041....................................$419,600,000
16 2042....................................$432,200,000
17 2043....................................$445,100,000
18 Beginning July 1, 2021 and until July 1, 2022, subject to
19the payment of amounts into the County and Mass Transit
20District Fund, the Local Government Tax Fund, the Build
21Illinois Fund, the McCormick Place Expansion Project Fund, the
22Illinois Tax Increment Fund, the Energy Infrastructure Fund,
23and the Tax Compliance and Administration Fund as provided in
24this Section, the Department shall pay each month into the
25Road Fund the amount estimated to represent 16% of the net
26revenue realized from the taxes imposed on motor fuel and

HB5481- 144 -LRB102 25409 HLH 34694 b
1gasohol. Beginning July 1, 2022 and until July 1, 2023,
2subject to the payment of amounts into the County and Mass
3Transit District Fund, the Local Government Tax Fund, the
4Build Illinois Fund, the McCormick Place Expansion Project
5Fund, the Illinois Tax Increment Fund, the Energy
6Infrastructure Fund, and the Tax Compliance and Administration
7Fund as provided in this Section, the Department shall pay
8each month into the Road Fund the amount estimated to
9represent 32% of the net revenue realized from the taxes
10imposed on motor fuel and gasohol. Beginning July 1, 2023 and
11until July 1, 2024, subject to the payment of amounts into the
12County and Mass Transit District Fund, the Local Government
13Tax Fund, the Build Illinois Fund, the McCormick Place
14Expansion Project Fund, the Illinois Tax Increment Fund, the
15Energy Infrastructure Fund, and the Tax Compliance and
16Administration Fund as provided in this Section, the
17Department shall pay each month into the Road Fund the amount
18estimated to represent 48% of the net revenue realized from
19the taxes imposed on motor fuel and gasohol. Beginning July 1,
202024 and until July 1, 2025, subject to the payment of amounts
21into the County and Mass Transit District Fund, the Local
22Government Tax Fund, the Build Illinois Fund, the McCormick
23Place Expansion Project Fund, the Illinois Tax Increment Fund,
24the Energy Infrastructure Fund, and the Tax Compliance and
25Administration Fund as provided in this Section, the
26Department shall pay each month into the Road Fund the amount

HB5481- 145 -LRB102 25409 HLH 34694 b
1estimated to represent 64% of the net revenue realized from
2the taxes imposed on motor fuel and gasohol. Beginning on July
31, 2025, subject to the payment of amounts into the County and
4Mass Transit District Fund, the Local Government Tax Fund, the
5Build Illinois Fund, the McCormick Place Expansion Project
6Fund, the Illinois Tax Increment Fund, the Energy
7Infrastructure Fund, and the Tax Compliance and Administration
8Fund as provided in this Section, the Department shall pay
9each month into the Road Fund the amount estimated to
10represent 80% of the net revenue realized from the taxes
11imposed on motor fuel and gasohol. As used in this paragraph
12"motor fuel" has the meaning given to that term in Section 1.1
13of the Motor Fuel Tax Act, and "gasohol" has the meaning given
14to that term in Section 3-40 of the Use Tax Act.
15 If, in any month, the collection of the tax on motor fuel
16and gasohol is suspended because of an increase in the
17Consumer Price Index for all Urban Consumers, the Comptroller
18shall order transferred and the Treasurer shall transfer from
19the General Revenue Fund to the Road Fund an amount equal to
20the amount that would have been deposited into the Road Fund if
21the tax had been in effect.
22 Of the remainder of the moneys received by the Department
23pursuant to this Act, 75% thereof shall be paid into the State
24Treasury and 25% shall be reserved in a special account and
25used only for the transfer to the Common School Fund as part of
26the monthly transfer from the General Revenue Fund in

HB5481- 146 -LRB102 25409 HLH 34694 b
1accordance with Section 8a of the State Finance Act.
2 The Department may, upon separate written notice to a
3taxpayer, require the taxpayer to prepare and file with the
4Department on a form prescribed by the Department within not
5less than 60 days after receipt of the notice an annual
6information return for the tax year specified in the notice.
7Such annual return to the Department shall include a statement
8of gross receipts as shown by the retailer's last Federal
9income tax return. If the total receipts of the business as
10reported in the Federal income tax return do not agree with the
11gross receipts reported to the Department of Revenue for the
12same period, the retailer shall attach to his annual return a
13schedule showing a reconciliation of the 2 amounts and the
14reasons for the difference. The retailer's annual return to
15the Department shall also disclose the cost of goods sold by
16the retailer during the year covered by such return, opening
17and closing inventories of such goods for such year, costs of
18goods used from stock or taken from stock and given away by the
19retailer during such year, payroll information of the
20retailer's business during such year and any additional
21reasonable information which the Department deems would be
22helpful in determining the accuracy of the monthly, quarterly
23or annual returns filed by such retailer as provided for in
24this Section.
25 If the annual information return required by this Section
26is not filed when and as required, the taxpayer shall be liable

HB5481- 147 -LRB102 25409 HLH 34694 b
1as follows:
2 (i) Until January 1, 1994, the taxpayer shall be
3 liable for a penalty equal to 1/6 of 1% of the tax due from
4 such taxpayer under this Act during the period to be
5 covered by the annual return for each month or fraction of
6 a month until such return is filed as required, the
7 penalty to be assessed and collected in the same manner as
8 any other penalty provided for in this Act.
9 (ii) On and after January 1, 1994, the taxpayer shall
10 be liable for a penalty as described in Section 3-4 of the
11 Uniform Penalty and Interest Act.
12 The chief executive officer, proprietor, owner or highest
13ranking manager shall sign the annual return to certify the
14accuracy of the information contained therein. Any person who
15willfully signs the annual return containing false or
16inaccurate information shall be guilty of perjury and punished
17accordingly. The annual return form prescribed by the
18Department shall include a warning that the person signing the
19return may be liable for perjury.
20 The provisions of this Section concerning the filing of an
21annual information return do not apply to a retailer who is not
22required to file an income tax return with the United States
23Government.
24 As soon as possible after the first day of each month, upon
25certification of the Department of Revenue, the Comptroller
26shall order transferred and the Treasurer shall transfer from

HB5481- 148 -LRB102 25409 HLH 34694 b
1the General Revenue Fund to the Motor Fuel Tax Fund an amount
2equal to 1.7% of 80% of the net revenue realized under this Act
3for the second preceding month. Beginning April 1, 2000, this
4transfer is no longer required and shall not be made.
5 Net revenue realized for a month shall be the revenue
6collected by the State pursuant to this Act, less the amount
7paid out during that month as refunds to taxpayers for
8overpayment of liability.
9 For greater simplicity of administration, manufacturers,
10importers and wholesalers whose products are sold at retail in
11Illinois by numerous retailers, and who wish to do so, may
12assume the responsibility for accounting and paying to the
13Department all tax accruing under this Act with respect to
14such sales, if the retailers who are affected do not make
15written objection to the Department to this arrangement.
16 Any person who promotes, organizes, provides retail
17selling space for concessionaires or other types of sellers at
18the Illinois State Fair, DuQuoin State Fair, county fairs,
19local fairs, art shows, flea markets and similar exhibitions
20or events, including any transient merchant as defined by
21Section 2 of the Transient Merchant Act of 1987, is required to
22file a report with the Department providing the name of the
23merchant's business, the name of the person or persons engaged
24in merchant's business, the permanent address and Illinois
25Retailers Occupation Tax Registration Number of the merchant,
26the dates and location of the event and other reasonable

HB5481- 149 -LRB102 25409 HLH 34694 b
1information that the Department may require. The report must
2be filed not later than the 20th day of the month next
3following the month during which the event with retail sales
4was held. Any person who fails to file a report required by
5this Section commits a business offense and is subject to a
6fine not to exceed $250.
7 Any person engaged in the business of selling tangible
8personal property at retail as a concessionaire or other type
9of seller at the Illinois State Fair, county fairs, art shows,
10flea markets and similar exhibitions or events, or any
11transient merchants, as defined by Section 2 of the Transient
12Merchant Act of 1987, may be required to make a daily report of
13the amount of such sales to the Department and to make a daily
14payment of the full amount of tax due. The Department shall
15impose this requirement when it finds that there is a
16significant risk of loss of revenue to the State at such an
17exhibition or event. Such a finding shall be based on evidence
18that a substantial number of concessionaires or other sellers
19who are not residents of Illinois will be engaging in the
20business of selling tangible personal property at retail at
21the exhibition or event, or other evidence of a significant
22risk of loss of revenue to the State. The Department shall
23notify concessionaires and other sellers affected by the
24imposition of this requirement. In the absence of notification
25by the Department, the concessionaires and other sellers shall
26file their returns as otherwise required in this Section.

HB5481- 150 -LRB102 25409 HLH 34694 b
1(Source: P.A. 101-10, Article 15, Section 15-25, eff. 6-5-19;
2101-10, Article 25, Section 25-120, eff. 6-5-19; 101-27, eff.
36-25-19; 101-32, eff. 6-28-19; 101-604, eff. 12-13-19;
4101-636, eff. 6-10-20; 102-634, eff. 8-27-21; revised
512-7-21.)
6 Section 99. Effective date. This Act takes effect upon
7becoming law.
feedback