Bill Text: IL SB1285 | 2011-2012 | 97th General Assembly | Introduced

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Bill Title: Amends the State Finance Act. Creates the Grow Illinois Jobs Fund. Amends the Liquor Control Act of 1934. Provides that, beginning on January 1, 2012, of the proceeds from the tax imposed under the Act on wine other than cider containing less than 7% alcohol per volume, 2 cents per gallon shall be deposited into the Grow Illinois Jobs Fund. Provides that the moneys in the Fund shall be equally distributed between the Department of Agriculture and the Department of Commerce and Economic Opportunity for the specific purpose of developing and promoting the grape and wine industry in Illinois. Effective immediately.

Spectrum: Partisan Bill (Republican 2-0)

Status: (Failed) 2013-01-08 - Session Sine Die [SB1285 Detail]

Download: Illinois-2011-SB1285-Introduced.html

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97TH GENERAL ASSEMBLY State of Illinois 2011 and 2012 SB1285 Introduced 2/8/2011, by Sen. David Luechtefeld SYNOPSIS AS INTRODUCED:
30 ILCS 105/5.786 new
235 ILCS 5/8-1
Amends the State Finance Act. Creates the Grow Illinois Jobs Fund. Amends the Liquor Control Act of 1934. Provides that, beginning on January 1, 2012, of the proceeds from the tax imposed under the Act on wine other than cider containing less than 7% alcohol per volume, 2 cents per gallon shall be deposited into the Grow Illinois Jobs Fund. Provides that the moneys in the Fund shall be equally distributed between the Department of Agriculture and the Department of Commerce and Economic Opportunity for the specific purpose of developing and promoting the grape and wine industry in Illinois. Effective immediately.
LRB097 08776 ASK 48906 b
A BILL FOR
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AN ACT concerning revenue.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The State Finance Act is amended by adding
Section 5.786 as follows:
(30 ILCS 105/5.786 new)
Sec. 5.786. The Grow Illinois Jobs Fund.
Section 10. The Liquor Control Act of 1934 is amended by
changing Section 8-1 as follows:
(235 ILCS 5/8-1)
Sec. 8-1. A tax is imposed upon the privilege of engaging
in business as a manufacturer or as an importing distributor of
alcoholic liquor other than beer at the rate of $0.185 per
gallon until September 1, 2009 and $0.231 per gallon beginning
September 1, 2009 for cider containing not less than 0.5%
alcohol by volume nor more than 7% alcohol by volume, $0.73 per
gallon until September 1, 2009 and $1.39 per gallon beginning
September 1, 2009 for wine other than cider containing less
than 7% alcohol by volume, and $4.50 per gallon until September
1, 2009 and $8.55 per gallon beginning September 1, 2009 on
alcohol and spirits manufactured and sold or used by such

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manufacturer, or as agent for any other person, or sold or used
by such importing distributor, or as agent for any other
person. A tax is imposed upon the privilege of engaging in
business as a manufacturer of beer or as an importing
distributor of beer at the rate of $0.185 per gallon until
September 1, 2009 and $0.231 per gallon beginning September 1,
2009 on all beer manufactured and sold or used by such
manufacturer, or as agent for any other person, or sold or used
by such importing distributor, or as agent for any other
person. Any brewer manufacturing beer in this State shall be
entitled to and given a credit or refund of 75% of the tax
imposed on each gallon of beer up to 4.9 million gallons per
year in any given calendar year for tax paid or payable on beer
produced and sold in the State of Illinois.
For the purpose of this Section, "cider" means any
alcoholic beverage obtained by the alcohol fermentation of the
juice of apples or pears including, but not limited to,
flavored, sparkling, or carbonated cider.
The credit or refund created by this Act shall apply to all
beer taxes in the calendar years 1982 through 1986.
The increases made by this amendatory Act of the 91st
General Assembly in the rates of taxes imposed under this
Section shall apply beginning on July 1, 1999.
A tax at the rate of 1¢ per gallon on beer and 48¢ per
gallon on alcohol and spirits is also imposed upon the
privilege of engaging in business as a retailer or as a

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distributor who is not also an importing distributor with
respect to all beer and all alcohol and spirits owned or
possessed by such retailer or distributor when this amendatory
Act of 1969 becomes effective, and with respect to which the
additional tax imposed by this amendatory Act upon
manufacturers and importing distributors does not apply.
Retailers and distributors who are subject to the additional
tax imposed by this paragraph of this Section shall be required
to inventory such alcoholic liquor and to pay this additional
tax in a manner prescribed by the Department.
The provisions of this Section shall be construed to apply
to any importing distributor engaging in business in this
State, whether licensed or not.
However, such tax is not imposed upon any such business as
to any alcoholic liquor shipped outside Illinois by an Illinois
licensed manufacturer or importing distributor, nor as to any
alcoholic liquor delivered in Illinois by an Illinois licensed
manufacturer or importing distributor to a purchaser for
immediate transportation by the purchaser to another state into
which the purchaser has a legal right, under the laws of such
state, to import such alcoholic liquor, nor as to any alcoholic
liquor other than beer sold by one Illinois licensed
manufacturer or importing distributor to another Illinois
licensed manufacturer or importing distributor to the extent to
which the sale of alcoholic liquor other than beer by one
Illinois licensed manufacturer or importing distributor to

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another Illinois licensed manufacturer or importing
distributor is authorized by the licensing provisions of this
Act, nor to alcoholic liquor whether manufactured in or
imported into this State when sold to a "non-beverage user"
licensed by the State for use in the manufacture of any of the
following when they are unfit for beverage purposes:
Patent and proprietary medicines and medicinal,
antiseptic, culinary and toilet preparations;
Flavoring extracts and syrups and food products;
Scientific, industrial and chemical products, excepting
denatured alcohol;
Or for scientific, chemical, experimental or mechanical
purposes;
Nor is the tax imposed upon the privilege of engaging in
any business in interstate commerce or otherwise, which
business may not, under the Constitution and Statutes of the
United States, be made the subject of taxation by this State.
The tax herein imposed shall be in addition to all other
occupation or privilege taxes imposed by the State of Illinois
or political subdivision thereof.
If any alcoholic liquor manufactured in or imported into
this State is sold to a licensed manufacturer or importing
distributor by a licensed manufacturer or importing
distributor to be used solely as an ingredient in the
manufacture of any beverage for human consumption, the tax
imposed upon such purchasing manufacturer or importing

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distributor shall be reduced by the amount of the taxes which
have been paid by the selling manufacturer or importing
distributor under this Act as to such alcoholic liquor so used
to the Department of Revenue.
If any person received any alcoholic liquors from a
manufacturer or importing distributor, with respect to which
alcoholic liquors no tax is imposed under this Article, and
such alcoholic liquor shall thereafter be disposed of in such
manner or under such circumstances as may cause the same to
become the base for the tax imposed by this Article, such
person shall make the same reports and returns, pay the same
taxes and be subject to all other provisions of this Article
relating to manufacturers and importing distributors.
Nothing in this Article shall be construed to require the
payment to the Department of the taxes imposed by this Article
more than once with respect to any quantity of alcoholic liquor
sold or used within this State.
No tax is imposed by this Act on sales of alcoholic liquor
by Illinois licensed foreign importers to Illinois licensed
importing distributors.
All of the proceeds of the additional tax imposed by Public
Act 96-34 shall be deposited by the Department into the Capital
Projects Fund. The remainder of the tax imposed by this Act
shall be deposited by the Department into the General Revenue
Fund, except that, beginning on January 1, 2012, 2 cents per
gallon of the tax imposed under this Act on wine other than

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cider containing less than 7% alcohol per volume shall be
deposited into the Grow Illinois Jobs Fund, a special fund
created in the State treasury, and the moneys in the Fund shall
be equally distributed between the Department of Agriculture
and the Department of Commerce and Economic Opportunity for the
specific purpose of developing and promoting the grape and wine
industry in Illinois.
The provisions of this Section 8-1 are severable under
Section 1.31 of the Statute on Statutes.
(Source: P.A. 96-34, eff. 7-13-09; 96-37, eff. 7-13-09; 96-38,
eff. 7-13-09; 96-1000, eff. 7-2-10.)
Section 99. Effective date. This Act takes effect upon
becoming law.