Bill Amendment: IL HB4636 | 2023-2024 | 103rd General Assembly

NOTE: For additional amemendments please see the Bill Drafting List

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Bill Title: PROP TX-SETTLEMENT/VALUATION

Status: 2024-12-20 - Public Act . . . . . . . . . 103-1055 [HB4636 Detail]

Download: Illinois-2023-HB4636-Senate_Amendment_001.html

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Sen. Celina Villanueva

Filed: 11/19/2024

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AMENDMENT TO HOUSE BILL 4636
AMENDMENT NO. ______. Amend House Bill 4636 by replacing
everything after the enacting clause with the following:
"Section 5. The Illinois Income Tax Act is amended by
changing Section 216 as follows:
(35 ILCS 5/216)
Sec. 216. Credit for wages paid to returning citizens.
(a) For each taxable year beginning on or after January 1,
2007, each taxpayer is entitled to a credit against the tax
imposed by subsections (a) and (b) of Section 201 of this Act
in an amount equal to 5% of qualified wages paid by the
taxpayer during the taxable year to one or more Illinois
residents who are qualified returning citizens. For each
taxable year beginning on or after January 1, 2025, each
taxpayer is entitled to a credit against the tax imposed by
subsections (a) and (b) of Section 201 of this Act in an amount

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equal to 15% of qualified wages paid by the taxpayer during the
taxable year to one or more Illinois residents who are
qualified returning citizens. The total credit allowed to a
taxpayer with respect to each qualified returning citizen may
not exceed $1,500 for taxable years ending before December 31,
2025 on or before December 31, 2024. For taxable years ending
on or after December 31, 2025, the total credit allowed to a
taxpayer with respect to each qualified returning citizen may
not exceed $7,500. For taxable years ending on or after
December 31, 2025, the total amount in credit that may be
awarded under this Section may not exceed $1,000,000 per
taxable year. For taxable years ending before December 31,
2023, for partners, shareholders of Subchapter S corporations,
and owners of limited liability companies, if the liability
company is treated as a partnership for purposes of federal
and State income taxation, there shall be allowed a credit
under this Section to be determined in accordance with the
determination of income and distributive share of income under
Sections 702 and 704 and Subchapter S of the Internal Revenue
Code. For taxable years ending on or after December 31, 2023,
partners and shareholders of subchapter S corporations are
entitled to a credit under this Section as provided in Section
251.
(b) For purposes of this Section, "qualified wages":
(1) includes only wages that are subject to federal
unemployment tax under Section 3306 of the Internal

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Revenue Code, without regard to any dollar limitation
contained in that Section;
(2) does not include any amounts paid or incurred by
an employer for any period to any qualified returning
citizen for whom the employer receives federally funded
payments for on-the-job training of that qualified
returning citizen for that period; and
(3) includes only wages attributable to service
rendered during the one-year period beginning with the day
the qualified returning citizen begins work for the
employer.
If the taxpayer has received any payment from a program
established under Section 482(e)(1) of the federal Social
Security Act with respect to a qualified returning citizen,
then, for purposes of calculating the credit under this
Section, the amount of the qualified wages paid to that
qualified ex-offender must be reduced by the amount of the
payment.
(c) For purposes of this Section, "qualified returning
citizen" means any person who:
(1) has been convicted of a crime in this State or of
an offense in any other jurisdiction, not including any
offense or attempted offense that would subject a person
to registration under the Sex Offender Registration Act;
(2) was sentenced to a period of incarceration in an
Illinois adult correctional center; and

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(3) was hired by the taxpayer within 3 years after
being released from an Illinois adult correctional center
if the credit is claimed for a taxable year beginning
before January 1, 2025 on or before January 1, 2024, or was
hired by the taxpayer within 5 years after being released
from an Illinois adult correctional center if the credit
is claimed for a taxable year beginning on or after
January 1, 2025.
(d) In no event shall a credit under this Section reduce
the taxpayer's liability to less than zero. If the amount of
the credit exceeds the tax liability for the year, the excess
may be carried forward and applied to the tax liability of the
5 taxable years following the excess credit year. The tax
credit shall be applied to the earliest year for which there is
a tax liability. If there are credits for more than one year
that are available to offset a liability, the earlier credit
shall be applied first.
(e) This Section is exempt from the provisions of Section
250.
(Source: P.A. 103-396, eff. 1-1-24; 103-592, eff. 6-7-24.)
Section 15. The Live Theater Production Tax Credit Act is
amended by changing Sections 10-20 and 10-30 as follows:
(35 ILCS 17/10-20)
Sec. 10-20. Tax credit award. Subject to the conditions

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set forth in this Act, an applicant is entitled to a tax credit
award as approved by the Department for qualifying Illinois
labor expenditures and Illinois production spending for each
tax year in which the applicant is awarded an accredited
theater production certificate issued by the Department. The
amount of tax credits awarded pursuant to this Act shall not
exceed $2,000,000 in any State fiscal year ending on or before
June 30, 2022. The amount of tax credits awarded pursuant to
this Act for the State fiscal year ending on June 30, 2023 or
the State fiscal year ending on June 30, 2024 shall not exceed
$4,000,000. For the State fiscal year ending on June 30, 2023
and the State fiscal year ending on June 30, 2024, no more than
$2,000,000 in credits may be awarded in either of those fiscal
years to accredited theater productions that are not
commercial Broadway touring shows, and no more than $2,000,000
in credits may be awarded in either of those fiscal years to
commercial Broadway touring shows. For State fiscal years
ending on or after June 30, 2025, the amount of tax credits
awarded under this Act shall not exceed $6,000,000, with no
more than $2,000,000 in credits awarded for long-run
productions and pre-Broadway productions, no more than
$2,000,000 in credits awarded for commercial Broadway touring
shows, and no more than $2,000,000 in credits awarded for
non-profit theater productions. In the case of credits awarded
under this Act for non-profit theater productions, no more
than $100,000 in credits may be awarded to any single

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non-profit theater production.
The $2,000,000 in credits that may be awarded for
non-profit theater productions under this Act in a State
fiscal year shall be allocated as follows:
(1) no credits may be awarded for non-profit theater
productions that have an annual operating budget of less
than $25,000;
(2) no more than $225,000 in credits may be awarded,
in the aggregate, for non-profit theater productions that
have an annual operating budget of $25,000 or more but
less than $250,000;
(3) no more than $225,000 in credits may be awarded,
in the aggregate, for non-profit theater productions that
have an annual operating budget of $250,000 or more but
less than $1,000,000;
(4) no more than $250,000 in credits may be awarded,
in the aggregate, for non-profit theater productions that
have an annual operating budget of $1,000,000 or more but
less than $2,500,000;
(5) no more than $300,000 in credits may be awarded,
in the aggregate, for non-profit theater productions that
have an annual operating budget of $2,500,000 or more but
less than $5,000,000;
(6) no more than $300,000 in credits may be awarded,
in the aggregate, for non-profit theater productions that
have an annual operating budget of $5,000,000 or more but

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less than $10,000,000; and
(7) no more than $700,000 in credits may be awarded,
in the aggregate, for non-profit theater productions that
have an annual operating budget of $10,000,000 or more.
Credits shall be awarded on a first-come, first-served
basis. Notwithstanding the foregoing, if the amount of credits
applied for in any fiscal year exceeds the amount authorized
to be awarded under this Section, the excess credit amount
shall be awarded in the next fiscal year in which credits
remain available for award and shall be treated as having been
applied for on the first day of that fiscal year.
(Source: P.A. 102-700, eff. 4-19-22; 102-1112, eff. 12-21-22;
103-592, eff. 6-7-24.)
(35 ILCS 17/10-30)
Sec. 10-30. Review of application for accredited theater
production certificate.
(a) The Department shall issue an accredited theater
production certificate to an applicant if it finds that by a
preponderance the following conditions exist:
(1) the applicant intends to make the expenditure in
the State required for certification of the accredited
theater production;
(2) the applicant's accredited theater production is
economically sound and will benefit the people of the
State of Illinois by increasing opportunities for

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employment and will strengthen the economy of Illinois;
(3) the following requirements related to the
implementation of a diversity plan have been met: (i) the
applicant has filed with the Department a diversity plan
outlining specific goals for hiring Illinois labor
expenditure eligible minority persons and women, as
defined in the Business Enterprise for Minorities, Women,
and Persons with Disabilities Act, and for using vendors
receiving certification under the Business Enterprise for
Minorities, Women, and Persons with Disabilities Act; (ii)
the Department has approved the plan as meeting the
requirements established by the Department and verified
that the applicant has met or made good faith efforts in
achieving those goals; and (iii) the Department has
adopted any rules that are necessary to ensure compliance
with the provisions set forth in this paragraph and
necessary to require that the applicant's plan reflects
the diversity of the population of this State;
(4) the applicant's accredited theater production
application indicates whether the applicant intends to
participate in training, education, and recruitment
programs that are organized in cooperation with Illinois
colleges and universities, labor organizations, and the
holders of accredited theater production certificates and
are designed to promote and encourage the training and
hiring of Illinois residents who represent the diversity

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of Illinois;
(5) except for qualifying commercial Broadway touring
shows and non-profit theater productions qualifying in the
State fiscal year ending June 30, 2023, if not for the tax
credit award, the applicant's accredited theater
production would not occur in Illinois, which may be
demonstrated by any means, including, but not limited to,
evidence that: (i) the applicant, presenter, owner, or
licensee of the production rights has other state or
international location options at which to present the
production and could reasonably and efficiently locate
outside of the State, (ii) at least one other state or
nation could be considered for the production, (iii) the
receipt of the tax award credit is a major factor in the
decision of the applicant, presenter, production owner or
licensee as to where the production will be presented and
that without the tax credit award the applicant likely
would not create or retain jobs in Illinois, or (iv)
receipt of the tax credit award is essential to the
applicant's decision to create or retain new jobs in the
State; and
(6) the tax credit award will result in an overall
positive impact to the State, as determined by the
Department using the best available data.
(b) If any of the provisions in this Section conflict with
any existing collective bargaining agreements, the terms and

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conditions of those collective bargaining agreements shall
control.
(c) The Department shall act expeditiously regarding
approval of applications for accredited theater production
certificates so as to accommodate the pre-production work,
booking, commencement of ticket sales, determination of
performance dates, load in, and other matters relating to the
live theater productions for which approval is sought.
(Source: P.A. 102-1112, eff. 12-21-22.)
Section 20. The Music and Musicians Tax Credit and Jobs
Act is amended by changing Sections 50-10, 50-20, 50-25,
50-40, and 50-45 as follows:
(35 ILCS 19/50-10)
Sec. 50-10. Definitions. As used in this Act:
"Department" means the Department of Commerce and Economic
Opportunity.
"Expenditure in the State" means (i) an expenditure to
acquire, from a source within the State, property that is
subject to tax under the Use Tax Act, the Service Use Tax Act,
the Service Occupation Tax Act, or the Retailers' Occupation
Tax Act or (ii) an expenditure for compensation for services
performed within the State that is subject to State income tax
under the Illinois Income Tax Act.
"Illinois labor expenditure" means gross salary or wages,

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including, but not limited to, taxes, benefits, and any other
consideration incurred or paid to artist employees of the
applicant for services rendered to and on behalf of the
qualified music company, provided that the expenditure is:
(1) incurred or paid by the applicant on or after the
effective date of this Act for services related to any
portion of a qualified music company from rehearsals,
performances, and any other qualified music company
related activities;
(2) limited to the first $100,000 of wages incurred or
paid to each employee of a qualified music production in
each tax year;
(3) paid in the tax year for which the applicant is
claiming the tax credit award;
(4) paid to persons residing in Illinois at the time
payments were made; and
(5) reasonable under the circumstances.
"Qualified music company" means an entity that (i) is
authorized to do business in Illinois, (ii) is engaged
directly or indirectly in the production, distribution, or
promotion of music, (iii) is certified by the Department as
meeting the eligibility requirements of this Act, and (iv) has
executed a contract with the Department providing the terms
and conditions for its participation.
"Qualified music company payroll" or "QMC payroll" means
wages reported by the qualified music company in box 1 of each

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W-2 form prepared for an employee of the qualified music
company who is an Illinois resident.
"Resident copyright" means the copyright of a musical
composition written by an Illinois resident or owned by an
Illinois-domiciled music company, as evidenced by documents of
ownership, including, but not limited to, registration with
the United States Copyright Office.
"Sound recording" means a recording of music, poetry, or a
spoken-word performance made, in whole or in part, in
Illinois. "Sound recording" does not include the audio
portions of dialogue or words spoken and recorded as part of
television news coverage or athletic events.
"Sound recording production company" means a company
engaged in the business of producing sound recordings. "Sound
recording production company" does not include any person or
company, or any company owned, affiliated, or controlled, in
whole or in part, by any company or person, that is in default
on a loan made by the State or a loan guaranteed by the State,
nor which has ever declared bankruptcy under which an
obligation of the company or person to pay or repay public
funds or moneys was discharged as a part of the bankruptcy.
"State-certified production" means a sound recording
production, or a series of productions, including, but not
limited to, master and demonstration recordings, occurring
over the course of a 12-month period, and the base
production-related investment that is approved by the

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Department within 180 days after receipt by the Department of
a complete application for initial certification of a
production. If the production is not approved within 180 days,
the Department shall provide a written report to the Senate
Executive Committee and the House Executive Committee that
states the reason why the production has not been approved.
"Tax credit award" means the issuance to a taxpayer by the
Department of a tax credit award against the taxes imposed by
subsections (a) and (b) of Section 201 of the Illinois Income
Tax Act as provided in this Act.
(Source: P.A. 103-592, eff. 6-7-24; revised 10-24-24.)
(35 ILCS 19/50-20)
Sec. 50-20. Application for certification of qualified
music company. Any applicant who that operates a qualified
music company located in the State or is proposing to operate a
business qualified music company in the State may apply to the
Department to have the business qualified music company
certified by the Department as a qualified music company if
the business meets the criteria for certification set forth in
this Act.
(Source: P.A. 103-592, eff. 6-7-24.)
(35 ILCS 19/50-25)
Sec. 50-25. Review of applications for qualified music
company certificates.

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(a) The Department shall issue a qualified music company
certificate to an applicant if it finds that a preponderance
of the following conditions exist exists:
(1) the applicant is engaged directly or indirectly in
the production, distribution, and promotion of music;
(2) the applicant intends to make an the expenditure
as defined in this Act in the State required for
certification of the qualified music company;
(3) the applicant's qualified music company is
economically sound and will benefit the people of the
State of Illinois by increasing opportunities for
employment and will strengthen the economy of Illinois;
(4) the following requirements related to the
implementation of a diversity plan have been met:
(A) the applicant has filed with the Department a
diversity plan outlining specific goals for hiring
Illinois labor expenditure eligible minority persons
and women, as defined in the Business Enterprise for
Minorities, Women, and Persons with Disabilities Act,
and for using vendors receiving certification under
the Business Enterprise for Minorities, Women, and
Persons with Disabilities Act;
(B) the Department has approved the plan as
meeting the requirements established by the Department
and verified that the applicant has met or made good
faith efforts in achieving those goals; and

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(C) the Department has adopted any rules that are
necessary to ensure compliance with the provisions set
forth in this paragraph (4) and any rules that are
necessary to show that the applicant's plan reflects
the diversity of the population of this State;
(5) the applicant's qualified music company
application indicates whether the applicant intends to
participate in training, education, and recruitment
programs that are organized in cooperation with Illinois
colleges and universities, labor organizations, and the
holders of qualified music company certificates and are
designed to promote and encourage the training and hiring
of Illinois residents who represent the diversity of
Illinois; and
(6) the tax credit award will result in an overall
positive impact to the State, as determined by the
Department using the best available data.
(b) If any of the provisions in this Section conflict with
any existing collective bargaining agreements, the terms and
conditions of those collective bargaining agreements shall
control.
(c) The Department shall act expeditiously regarding
approval of applications for qualified music companies so as
to accommodate the operations and needs of those companies.
(Source: P.A. 103-592, eff. 6-7-24.)

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(35 ILCS 19/50-40)
Sec. 50-40. Amount and payment of the tax credit award.
(a) For taxable years beginning on or after January 1,
2025, the Department shall determine the amount of the tax
award under this Act may award tax credit awards to qualified
music companies. The award may not exceed 10% of the Illinois
labor expenditures for the State-certified production if the
QMC payroll of the qualified music company for the taxable
year does not exceed $150,000 or 15% of the Illinois labor
expenditures for the State-certified production if the QMC
payroll of the qualified music company for the taxable year
exceeds $150,000, plus all of the following:
(1) an additional 15% of the Illinois labor
expenditures for the State-certified production generated
by the employment of Illinois residents in geographic
areas of high poverty or high unemployment in each tax
year, as determined by the Department; and
(2) an additional 7% of the Illinois labor
expenditures for the State-certified production generated
by the employment of individuals who are employed at a
wage of no less than the general prevailing hourly rate as
paid for work of a similar character in the locality in
which the work is performed; and
(3) an additional 7% of the Illinois labor
expenditures for the State-certified production incurred
by a qualified music company and spent on post-production

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sound recording for television or film work completed in
Illinois.
(b) To the extent that the base investment by a qualified
music company is expended on a sound recording production of a
resident copyright, the investor shall be allowed an
additional 10% increase in the base investment rate.
(c) The aggregate amount of credits certified for all
investors pursuant to this Section during any calendar year
shall not exceed $2,000,000. No more than $200,000 in tax
credits may be granted per calendar year for any single
qualified music company.
(d) A business is eligible for participation in the
program if the business meets all of the following criteria:
(1) The business is engaged directly or indirectly in
the production, distribution, and promotion of music.
(2) The business is approved by the Director of
Commerce and Economic Opportunity.
(e) Upon approval of a tax credit award under this Act, the
Department shall issue a tax credit certificate to the
applicant.
(Source: P.A. 103-592, eff. 6-7-24.)
(35 ILCS 19/50-45)
Sec. 50-45. Qualified music program evaluation and
reports.
(a) (Blank). The Department's qualified music program tax

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credit award evaluation must include:
(1) an assessment of the effectiveness of the program
in creating and retaining new jobs in Illinois;
(2) an assessment of the revenue impact of the
program;
(3) in the discretion of the Department, a review of
the practices and experiences of other states or nations
with similar programs; and
(4) an assessment of the overall success of the
program.
The Department may make a recommendation to extend,
modify, or not extend the program based on the evaluation.
(b) At the end of each fiscal quarter, the Department
shall submit to the General Assembly a report that includes,
without limitation:
(1) an assessment of the economic impact of the
program, including the number of jobs created and
retained, and whether the job positions are entry level,
management, vendor, or production related;
(2) the amount of qualified music company spending
brought to Illinois, including the amount of spending and
type of Illinois vendors hired in connection with a
qualified music company; and
(3) a determination of whether those receiving
qualifying Illinois labor expenditure salaries or wages
reflect the geographic, racial and ethnic, gender, and

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income level diversity of the State of Illinois.
(c) At the end of each fiscal year, the Department shall
submit to the General Assembly a report that includes, without
limitation:
(1) the identification of each vendor that provided
goods or services that were included in a qualified music
company's Illinois spending;
(2) a statement of the amount paid to each identified
vendor by the qualified music program and whether the
vendor is a minority-owned or women-owned business as
defined in Section 2 of the Business Enterprise for
Minorities, Women, and Persons with Disabilities Act; and
(3) a description of the steps taken by the Department
to encourage qualified music companies company to use
vendors who are minority-owned or women-owned businesses.
(Source: P.A. 103-592, eff. 6-7-24; revised 10-21-24.)
Section 25. The Use Tax Act is amended by changing Section
9 as follows:
(35 ILCS 105/9)
(Text of Section before amendment by P.A. 103-592, Article
75, Section 75-5)
Sec. 9. Except as to motor vehicles, watercraft, aircraft,
and trailers that are required to be registered with an agency
of this State, each retailer required or authorized to collect

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the tax imposed by this Act shall pay to the Department the
amount of such tax (except as otherwise provided) at the time
when he is required to file his return for the period during
which such tax was collected, less a discount of 2.1% prior to
January 1, 1990, and 1.75% on and after January 1, 1990, or $5
per calendar year, whichever is greater, which is allowed to
reimburse the retailer for expenses incurred in collecting the
tax, keeping records, preparing and filing returns, remitting
the tax and supplying data to the Department on request.
Beginning with returns due on or after January 1, 2025, the
discount allowed in this Section, the Retailers' Occupation
Tax Act, the Service Occupation Tax Act, and the Service Use
Tax Act, including any local tax administered by the
Department and reported on the same return, shall not exceed
$1,000 per month in the aggregate for returns other than
transaction returns filed during the month. When determining
the discount allowed under this Section, retailers shall
include the amount of tax that would have been due at the 6.25%
rate but for the 1.25% rate imposed on sales tax holiday items
under Public Act 102-700. The discount under this Section is
not allowed for the 1.25% portion of taxes paid on aviation
fuel that is subject to the revenue use requirements of 49
U.S.C. 47107(b) and 49 U.S.C. 47133. When determining the
discount allowed under this Section, retailers shall include
the amount of tax that would have been due at the 1% rate but
for the 0% rate imposed under Public Act 102-700. In the case

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of retailers who report and pay the tax on a transaction by
transaction basis, as provided in this Section, such discount
shall be taken with each such tax remittance instead of when
such retailer files his periodic return, but, beginning with
returns due on or after January 1, 2025, the discount allowed
under this Section and the Retailers' Occupation Tax Act,
including any local tax administered by the Department and
reported on the same transaction return, shall not exceed
$1,000 per month for all transaction returns filed during the
month. The discount allowed under this Section is allowed only
for returns that are filed in the manner required by this Act.
The Department may disallow the discount for retailers whose
certificate of registration is revoked at the time the return
is filed, but only if the Department's decision to revoke the
certificate of registration has become final. A retailer need
not remit that part of any tax collected by him to the extent
that he is required to remit and does remit the tax imposed by
the Retailers' Occupation Tax Act, with respect to the sale of
the same property.
Where such tangible personal property is sold under a
conditional sales contract, or under any other form of sale
wherein the payment of the principal sum, or a part thereof, is
extended beyond the close of the period for which the return is
filed, the retailer, in collecting the tax (except as to motor
vehicles, watercraft, aircraft, and trailers that are required
to be registered with an agency of this State), may collect for

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each tax return period, only the tax applicable to that part of
the selling price actually received during such tax return
period.
Except as provided in this Section, on or before the
twentieth day of each calendar month, such retailer shall file
a return for the preceding calendar month. Such return shall
be filed on forms prescribed by the Department and shall
furnish such information as the Department may reasonably
require. The return shall include the gross receipts on food
for human consumption that is to be consumed off the premises
where it is sold (other than alcoholic beverages, food
consisting of or infused with adult use cannabis, soft drinks,
and food that has been prepared for immediate consumption)
which were received during the preceding calendar month,
quarter, or year, as appropriate, and upon which tax would
have been due but for the 0% rate imposed under Public Act
102-700. The return shall also include the amount of tax that
would have been due on food for human consumption that is to be
consumed off the premises where it is sold (other than
alcoholic beverages, food consisting of or infused with adult
use cannabis, soft drinks, and food that has been prepared for
immediate consumption) but for the 0% rate imposed under
Public Act 102-700.
On and after January 1, 2018, except for returns required
to be filed prior to January 1, 2023 for motor vehicles,
watercraft, aircraft, and trailers that are required to be

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registered with an agency of this State, with respect to
retailers whose annual gross receipts average $20,000 or more,
all returns required to be filed pursuant to this Act shall be
filed electronically. On and after January 1, 2023, with
respect to retailers whose annual gross receipts average
$20,000 or more, all returns required to be filed pursuant to
this Act, including, but not limited to, returns for motor
vehicles, watercraft, aircraft, and trailers that are required
to be registered with an agency of this State, shall be filed
electronically. Retailers who demonstrate that they do not
have access to the Internet or demonstrate hardship in filing
electronically may petition the Department to waive the
electronic filing requirement.
The Department may require returns to be filed on a
quarterly basis. If so required, a return for each calendar
quarter shall be filed on or before the twentieth day of the
calendar month following the end of such calendar quarter. The
taxpayer shall also file a return with the Department for each
of the first two months of each calendar quarter, on or before
the twentieth day of the following calendar month, stating:
1. The name of the seller;
2. The address of the principal place of business from
which he engages in the business of selling tangible
personal property at retail in this State;
3. The total amount of taxable receipts received by
him during the preceding calendar month from sales of

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

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Notwithstanding any other provision of this Act to the
contrary, retailers subject to tax on cannabis shall file all
cannabis tax returns and shall make all cannabis tax payments
by electronic means in the manner and form required by the
Department.
Beginning October 1, 1993, a taxpayer who has an average
monthly tax liability of $150,000 or more shall make all
payments required by rules of the Department by electronic
funds transfer. Beginning October 1, 1994, a taxpayer who has
an average monthly tax liability of $100,000 or more shall
make all payments required by rules of the Department by
electronic funds transfer. Beginning October 1, 1995, a
taxpayer who has an average monthly tax liability of $50,000
or more shall make all payments required by rules of the
Department by electronic funds transfer. Beginning October 1,
2000, a taxpayer who has an annual tax liability of $200,000 or
more shall make all payments required by rules of the
Department by electronic funds transfer. The term "annual tax
liability" shall be the sum of the taxpayer's liabilities
under this Act, and under all other State and local occupation
and use tax laws administered by the Department, for the
immediately preceding calendar year. The term "average monthly
tax liability" means the sum of the taxpayer's liabilities
under this Act, and under all other State and local occupation
and use tax laws administered by the Department, for the
immediately preceding calendar year divided by 12. Beginning

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

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incurred and shall make payments to the Department on or
before the 7th, 15th, 22nd and last day of the month during
which such liability is incurred. On and after October 1,
2000, if the taxpayer's average monthly tax liability to the
Department under this Act, the Retailers' Occupation Tax Act,
the Service Occupation Tax Act, and the Service Use Tax Act was
$20,000 or more during the preceding 4 complete calendar
quarters, he shall file a return with the Department each
month by the 20th day of the month next following the month
during which such tax liability is incurred and shall make
payment to the Department on or before the 7th, 15th, 22nd and
last day of the month during which such liability is incurred.
If the month during which such tax liability is incurred began
prior to January 1, 1985, each payment shall be in an amount
equal to 1/4 of the taxpayer's actual liability for the month
or an amount set by the Department not to exceed 1/4 of the
average monthly liability of the taxpayer to the Department
for the preceding 4 complete calendar quarters (excluding the
month of highest liability and the month of lowest liability
in such 4 quarter period). If the month during which such tax
liability is incurred begins on or after January 1, 1985, and
prior to January 1, 1987, each payment shall be in an amount
equal to 22.5% of the taxpayer's actual liability for the
month or 27.5% of the taxpayer's liability for the same
calendar month of the preceding year. If the month during
which such tax liability is incurred begins on or after

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January 1, 1987, and prior to January 1, 1988, each payment
shall be in an amount equal to 22.5% of the taxpayer's actual
liability for the month or 26.25% of the taxpayer's liability
for the same calendar month of the preceding year. If the month
during which such tax liability is incurred begins on or after
January 1, 1988, and prior to January 1, 1989, or begins on or
after January 1, 1996, each payment shall be in an amount equal
to 22.5% of the taxpayer's actual liability for the month or
25% of the taxpayer's liability for the same calendar month of
the preceding year. If the month during which such tax
liability is incurred begins on or after January 1, 1989, and
prior to January 1, 1996, each payment shall be in an amount
equal to 22.5% of the taxpayer's actual liability for the
month or 25% of the taxpayer's liability for the same calendar
month of the preceding year or 100% of the taxpayer's actual
liability for the quarter monthly reporting period. The amount
of such quarter monthly payments shall be credited against the
final tax liability of the taxpayer's return for that month.
Before October 1, 2000, once applicable, the requirement of
the making of quarter monthly payments to the Department shall
continue until such taxpayer's average monthly liability to
the Department during the preceding 4 complete calendar
quarters (excluding the month of highest liability and the
month of lowest liability) is less than $9,000, or until such
taxpayer's average monthly liability to the Department as
computed for each calendar quarter of the 4 preceding complete

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calendar quarter period is less than $10,000. However, if a
taxpayer can show the Department that a substantial change in
the taxpayer's business has occurred which causes the taxpayer
to anticipate that his average monthly tax liability for the
reasonably foreseeable future will fall below the $10,000
threshold stated above, then such taxpayer may petition the
Department for change in such taxpayer's reporting status. On
and after October 1, 2000, once applicable, the requirement of
the making of quarter monthly payments to the Department shall
continue until such taxpayer's average monthly liability to
the Department during the preceding 4 complete calendar
quarters (excluding the month of highest liability and the
month of lowest liability) is less than $19,000 or until such
taxpayer's average monthly liability to the Department as
computed for each calendar quarter of the 4 preceding complete
calendar quarter period is less than $20,000. However, if a
taxpayer can show the Department that a substantial change in
the taxpayer's business has occurred which causes the taxpayer
to anticipate that his average monthly tax liability for the
reasonably foreseeable future will fall below the $20,000
threshold stated above, then such taxpayer may petition the
Department for a change in such taxpayer's reporting status.
The Department shall change such taxpayer's reporting status
unless it finds that such change is seasonal in nature and not
likely to be long term. Quarter monthly payment status shall
be determined under this paragraph as if the rate reduction to

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1.25% in Public Act 102-700 on sales tax holiday items had not
occurred. For quarter monthly payments due on or after July 1,
2023 and through June 30, 2024, "25% of the taxpayer's
liability for the same calendar month of the preceding year"
shall be determined as if the rate reduction to 1.25% in Public
Act 102-700 on sales tax holiday items had not occurred.
Quarter monthly payment status shall be determined under this
paragraph as if the rate reduction to 0% in Public Act 102-700
on food for human consumption that is to be consumed off the
premises where it is sold (other than alcoholic beverages,
food consisting of or infused with adult use cannabis, soft
drinks, and food that has been prepared for immediate
consumption) had not occurred. For quarter monthly payments
due under this paragraph on or after July 1, 2023 and through
June 30, 2024, "25% of the taxpayer's liability for the same
calendar month of the preceding year" shall be determined as
if the rate reduction to 0% in Public Act 102-700 had not
occurred. If any such quarter monthly payment is not paid at
the time or in the amount required by this Section, then the
taxpayer shall be liable for penalties and interest on the
difference between the minimum amount due and the amount of
such quarter monthly payment actually and timely paid, except
insofar as the taxpayer has previously made payments for that
month to the Department in excess of the minimum payments
previously due as provided in this Section. The Department
shall make reasonable rules and regulations to govern the

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quarter monthly payment amount and quarter monthly payment
dates for taxpayers who file on other than a calendar monthly
basis.
If any such payment provided for in this Section exceeds
the taxpayer's liabilities under this Act, the Retailers'
Occupation Tax Act, the Service Occupation Tax Act and the
Service Use Tax Act, as shown by an original monthly return,
the Department shall issue to the taxpayer a credit memorandum
no later than 30 days after the date of payment, which
memorandum may be submitted by the taxpayer to the Department
in payment of tax liability subsequently to be remitted by the
taxpayer to the Department or be assigned by the taxpayer to a
similar taxpayer under this Act, the Retailers' Occupation Tax
Act, the Service Occupation Tax Act or the Service Use Tax Act,
in accordance with reasonable rules and regulations to be
prescribed by the Department, except that if such excess
payment is shown on an original monthly return and is made
after December 31, 1986, no credit memorandum shall be issued,
unless requested by the taxpayer. If no such request is made,
the taxpayer may credit such excess payment against tax
liability subsequently to be remitted by the taxpayer to the
Department under this Act, the Retailers' Occupation Tax Act,
the Service Occupation Tax Act or the Service Use Tax Act, in
accordance with reasonable rules and regulations prescribed by
the Department. If the Department subsequently determines that
all or any part of the credit taken was not actually due to the

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taxpayer, the taxpayer's vendor's discount shall be reduced,
if necessary, to reflect the difference between the credit
taken and that actually due, and the taxpayer shall be liable
for penalties and interest on such difference.
If the retailer is otherwise required to file a monthly
return and if the retailer's average monthly tax liability to
the Department does not exceed $200, the Department may
authorize his returns to be filed on a quarter annual basis,
with the return for January, February, and March of a given
year being due by April 20 of such year; with the return for
April, May and June of a given year being due by July 20 of
such year; with the return for July, August and September of a
given year being due by October 20 of such year, and with the
return for October, November and December of a given year
being due by January 20 of the following year.
If the retailer is otherwise required to file a monthly or
quarterly return and if the retailer's average monthly tax
liability to the Department does not exceed $50, the
Department may authorize his returns to be filed on an annual
basis, with the return for a given year being due by January 20
of the following year.
Such quarter annual and annual returns, as to form and
substance, shall be subject to the same requirements as
monthly returns.
Notwithstanding any other provision in this Act concerning
the time within which a retailer may file his return, in the

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case of any retailer who ceases to engage in a kind of business
which makes him responsible for filing returns under this Act,
such retailer shall file a final return under this Act with the
Department not more than one month after discontinuing such
business.
In addition, with respect to motor vehicles, watercraft,
aircraft, and trailers that are required to be registered with
an agency of this State, except as otherwise provided in this
Section, every retailer selling this kind of tangible personal
property shall file, with the Department, upon a form to be
prescribed and supplied by the Department, a separate return
for each such item of tangible personal property which the
retailer sells, except that if, in the same transaction, (i) a
retailer of aircraft, watercraft, motor vehicles or trailers
transfers more than one aircraft, watercraft, motor vehicle or
trailer to another aircraft, watercraft, motor vehicle or
trailer retailer for the purpose of resale or (ii) a retailer
of aircraft, watercraft, motor vehicles, or trailers transfers
more than one aircraft, watercraft, motor vehicle, or trailer
to a purchaser for use as a qualifying rolling stock as
provided in Section 3-55 of this Act, then that seller may
report the transfer of all the aircraft, watercraft, motor
vehicles or trailers involved in that transaction to the
Department on the same uniform invoice-transaction reporting
return form. For purposes of this Section, "watercraft" means
a Class 2, Class 3, or Class 4 watercraft as defined in Section

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3-2 of the Boat Registration and Safety Act, a personal
watercraft, or any boat equipped with an inboard motor.
In addition, with respect to motor vehicles, watercraft,
aircraft, and trailers that are required to be registered with
an agency of this State, every person who is engaged in the
business of leasing or renting such items and who, in
connection with such business, sells any such item to a
retailer for the purpose of resale is, notwithstanding any
other provision of this Section to the contrary, authorized to
meet the return-filing requirement of this Act by reporting
the transfer of all the aircraft, watercraft, motor vehicles,
or trailers transferred for resale during a month to the
Department on the same uniform invoice-transaction reporting
return form on or before the 20th of the month following the
month in which the transfer takes place. Notwithstanding any
other provision of this Act to the contrary, all returns filed
under this paragraph must be filed by electronic means in the
manner and form as required by the Department.
The transaction reporting return in the case of motor
vehicles or trailers that are required to be registered with
an agency of this State, shall be the same document as the
Uniform Invoice referred to in Section 5-402 of the Illinois
Vehicle Code and must show the name and address of the seller;
the name and address of the purchaser; the amount of the
selling price including the amount allowed by the retailer for
traded-in property, if any; the amount allowed by the retailer

10300HB4636sam001 - 35 - LRB103 38201 HLH 76612 a
for the traded-in tangible personal property, if any, to the
extent to which Section 2 of this Act allows an exemption for
the value of traded-in property; the balance payable after
deducting such trade-in allowance from the total selling
price; the amount of tax due from the retailer with respect to
such transaction; the amount of tax collected from the
purchaser by the retailer on such transaction (or satisfactory
evidence that such tax is not due in that particular instance,
if that is claimed to be the fact); the place and date of the
sale; a sufficient identification of the property sold; such
other information as is required in Section 5-402 of the
Illinois Vehicle Code, and such other information as the
Department may reasonably require.
The transaction reporting return in the case of watercraft
and aircraft must show the name and address of the seller; the
name and address of the purchaser; the amount of the selling
price including the amount allowed by the retailer for
traded-in property, if any; the amount allowed by the retailer
for the traded-in tangible personal property, if any, to the
extent to which Section 2 of this Act allows an exemption for
the value of traded-in property; the balance payable after
deducting such trade-in allowance from the total selling
price; the amount of tax due from the retailer with respect to
such transaction; the amount of tax collected from the
purchaser by the retailer on such transaction (or satisfactory
evidence that such tax is not due in that particular instance,

10300HB4636sam001 - 36 - LRB103 38201 HLH 76612 a
if that is claimed to be the fact); the place and date of the
sale, a sufficient identification of the property sold, and
such other information as the Department may reasonably
require.
Such transaction reporting return shall be filed not later
than 20 days after the date of delivery of the item that is
being sold, but may be filed by the retailer at any time sooner
than that if he chooses to do so. The transaction reporting
return and tax remittance or proof of exemption from the tax
that is imposed by this Act may be transmitted to the
Department by way of the State agency with which, or State
officer with whom, the tangible personal property must be
titled or registered (if titling or registration is required)
if the Department and such agency or State officer determine
that this procedure will expedite the processing of
applications for title or registration.
With each such transaction reporting return, the retailer
shall remit the proper amount of tax due (or shall submit
satisfactory evidence that the sale is not taxable if that is
the case), to the Department or its agents, whereupon the
Department shall issue, in the purchaser's name, a tax receipt
(or a certificate of exemption if the Department is satisfied
that the particular sale is tax exempt) which such purchaser
may submit to the agency with which, or State officer with
whom, he must title or register the tangible personal property
that is involved (if titling or registration is required) in

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support of such purchaser's application for an Illinois
certificate or other evidence of title or registration to such
tangible personal property.
No retailer's failure or refusal to remit tax under this
Act precludes a user, who has paid the proper tax to the
retailer, from obtaining his certificate of title or other
evidence of title or registration (if titling or registration
is required) upon satisfying the Department that such user has
paid the proper tax (if tax is due) to the retailer. The
Department shall adopt appropriate rules to carry out the
mandate of this paragraph.
If the user who would otherwise pay tax to the retailer
wants the transaction reporting return filed and the payment
of tax or proof of exemption made to the Department before the
retailer is willing to take these actions and such user has not
paid the tax to the retailer, such user may certify to the fact
of such delay by the retailer, and may (upon the Department
being satisfied of the truth of such certification) transmit
the information required by the transaction reporting return
and the remittance for tax or proof of exemption directly to
the Department and obtain his tax receipt or exemption
determination, in which event the transaction reporting return
and tax remittance (if a tax payment was required) shall be
credited by the Department to the proper retailer's account
with the Department, but without the vendor's discount
provided for in this Section being allowed. When the user pays

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the tax directly to the Department, he shall pay the tax in the
same amount and in the same form in which it would be remitted
if the tax had been remitted to the Department by the retailer.
On and after January 1, 2025, with respect to the lease of
trailers, other than semitrailers as defined in Section 1-187
of the Illinois Vehicle Code, that are required to be
registered with an agency of this State and that are subject to
the tax on lease receipts under this Act, notwithstanding any
other provision of this Act to the contrary, for the purpose of
reporting and paying tax under this Act on those lease
receipts, lessors shall file returns in addition to and
separate from the transaction reporting return. Lessors shall
file those lease returns and make payment to the Department by
electronic means on or before the 20th day of each month
following the month, quarter, or year, as applicable, in which
lease receipts were received. All lease receipts received by
the lessor from the lease of those trailers during the same
reporting period shall be reported and tax shall be paid on a
single return form to be prescribed by the Department.
Where a retailer collects the tax with respect to the
selling price of tangible personal property which he sells and
the purchaser thereafter returns such tangible personal
property and the retailer refunds the selling price thereof to
the purchaser, such retailer shall also refund, to the
purchaser, the tax so collected from the purchaser. When
filing his return for the period in which he refunds such tax

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to the purchaser, the retailer may deduct the amount of the tax
so refunded by him to the purchaser from any other use tax
which such retailer may be required to pay or remit to the
Department, as shown by such return, if the amount of the tax
to be deducted was previously remitted to the Department by
such retailer. If the retailer has not previously remitted the
amount of such tax to the Department, he is entitled to no
deduction under this Act upon refunding such tax to the
purchaser.
Any retailer filing a return under this Section shall also
include (for the purpose of paying tax thereon) the total tax
covered by such return upon the selling price of tangible
personal property purchased by him at retail from a retailer,
but as to which the tax imposed by this Act was not collected
from the retailer filing such return, and such retailer shall
remit the amount of such tax to the Department when filing such
return.
If experience indicates such action to be practicable, the
Department may prescribe and furnish a combination or joint
return which will enable retailers, who are required to file
returns hereunder and also under the Retailers' Occupation Tax
Act, to furnish all the return information required by both
Acts on the one form.
Where the retailer has more than one business registered
with the Department under separate registration under this
Act, such retailer may not file each return that is due as a

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single return covering all such registered businesses, but
shall file separate returns for each such registered business.
Beginning January 1, 1990, each month the Department shall
pay into the State and Local Sales Tax Reform Fund, a special
fund in the State Treasury which is hereby created, the net
revenue realized for the preceding month from the 1% tax
imposed under this Act.
Beginning January 1, 1990, each month the Department shall
pay into the County and Mass Transit District Fund 4% of the
net revenue realized for the preceding month from the 6.25%
general rate on the selling price of tangible personal
property which is purchased outside Illinois at retail from a
retailer and which is titled or registered by an agency of this
State's government.
Beginning January 1, 1990, each month the Department shall
pay into the State and Local Sales Tax Reform Fund, a special
fund in the State Treasury, 20% of the net revenue realized for
the preceding month from the 6.25% general rate on the selling
price of tangible personal property, other than (i) tangible
personal property which is purchased outside Illinois at
retail from a retailer and which is titled or registered by an
agency of this State's government and (ii) aviation fuel sold
on or after December 1, 2019. This exception for aviation fuel
only applies for so long as the revenue use requirements of 49
U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the State.
For aviation fuel sold on or after December 1, 2019, each

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month the Department shall pay into the State Aviation Program
Fund 20% of the net revenue realized for the preceding month
from the 6.25% general rate on the selling price of aviation
fuel, less an amount estimated by the Department to be
required for refunds of the 20% portion of the tax on aviation
fuel under this Act, which amount shall be deposited into the
Aviation Fuel Sales Tax Refund Fund. The Department shall only
pay moneys into the State Aviation Program Fund and the
Aviation Fuels Sales Tax Refund Fund under this Act for so long
as the revenue use requirements of 49 U.S.C. 47107(b) and 49
U.S.C. 47133 are binding on the State.
Beginning August 1, 2000, each month the Department shall
pay into the State and Local Sales Tax Reform Fund 100% of the
net revenue realized for the preceding month from the 1.25%
rate on the selling price of motor fuel and gasohol. If, in any
month, the tax on sales tax holiday items, as defined in
Section 3-6, is imposed at the rate of 1.25%, then the
Department shall pay 100% of the net revenue realized for that
month from the 1.25% rate on the selling price of sales tax
holiday items into the State and Local Sales Tax Reform Fund.
Beginning January 1, 1990, each month the Department shall
pay into the Local Government Tax Fund 16% of the net revenue
realized for the preceding month from the 6.25% general rate
on the selling price of tangible personal property which is
purchased outside Illinois at retail from a retailer and which
is titled or registered by an agency of this State's

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government.
Beginning October 1, 2009, each month the Department shall
pay into the Capital Projects Fund an amount that is equal to
an amount estimated by the Department to represent 80% of the
net revenue realized for the preceding month from the sale of
candy, grooming and hygiene products, and soft drinks that had
been taxed at a rate of 1% prior to September 1, 2009 but that
are now taxed at 6.25%.
Beginning July 1, 2011, each month the Department shall
pay into the Clean Air Act Permit Fund 80% of the net revenue
realized for the preceding month from the 6.25% general rate
on the selling price of sorbents used in Illinois in the
process of sorbent injection as used to comply with the
Environmental Protection Act or the federal Clean Air Act, but
the total payment into the Clean Air Act Permit Fund under this
Act and the Retailers' Occupation Tax Act shall not exceed
$2,000,000 in any fiscal year.
Beginning July 1, 2013, each month the Department shall
pay into the Underground Storage Tank Fund from the proceeds
collected under this Act, the Service Use Tax Act, the Service
Occupation Tax Act, and the Retailers' Occupation Tax Act an
amount equal to the average monthly deficit in the Underground
Storage Tank Fund during the prior year, as certified annually
by the Illinois Environmental Protection Agency, but the total
payment into the Underground Storage Tank Fund under this Act,
the Service Use Tax Act, the Service Occupation Tax Act, and

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the Retailers' Occupation Tax Act shall not exceed $18,000,000
in any State fiscal year. As used in this paragraph, the
"average monthly deficit" shall be equal to the difference
between the average monthly claims for payment by the fund and
the average monthly revenues deposited into the fund,
excluding payments made pursuant to this paragraph.
Beginning July 1, 2015, of the remainder of the moneys
received by the Department under this Act, the Service Use Tax
Act, the Service Occupation Tax Act, and the Retailers'
Occupation Tax Act, each month the Department shall deposit
$500,000 into the State Crime Laboratory Fund.
Of the remainder of the moneys received by the Department
pursuant to this Act, (a) 1.75% thereof shall be paid into the
Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
and after July 1, 1989, 3.8% thereof shall be paid into the
Build Illinois Fund; provided, however, that if in any fiscal
year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
may be, of the moneys received by the Department and required
to be paid into the Build Illinois Fund pursuant to Section 3
of the Retailers' Occupation Tax Act, Section 9 of the Use Tax
Act, Section 9 of the Service Use Tax Act, and Section 9 of the
Service Occupation Tax Act, such Acts being hereinafter called
the "Tax Acts" and such aggregate of 2.2% or 3.8%, as the case
may be, of moneys being hereinafter called the "Tax Act
Amount", and (2) the amount transferred to the Build Illinois
Fund from the State and Local Sales Tax Reform Fund shall be

10300HB4636sam001 - 44 - LRB103 38201 HLH 76612 a
less than the Annual Specified Amount (as defined in Section 3
of the Retailers' Occupation Tax Act), an amount equal to the
difference shall be immediately paid into the Build Illinois
Fund from other moneys received by the Department pursuant to
the Tax Acts; and further provided, that if on the last
business day of any month the sum of (1) the Tax Act Amount
required to be deposited into the Build Illinois Bond Account
in the Build Illinois Fund during such month and (2) the amount
transferred during such month to the Build Illinois Fund from
the State and Local Sales Tax Reform Fund shall have been less
than 1/12 of the Annual Specified Amount, an amount equal to
the difference shall be immediately paid into the Build
Illinois Fund from other moneys received by the Department
pursuant to the Tax Acts; and, further provided, that in no
event shall the payments required under the preceding proviso
result in aggregate payments into the Build Illinois Fund
pursuant to this clause (b) for any fiscal year in excess of
the greater of (i) the Tax Act Amount or (ii) the Annual
Specified Amount for such fiscal year; and, further provided,
that the amounts payable into the Build Illinois Fund under
this clause (b) shall be payable only until such time as the
aggregate amount on deposit under each trust indenture
securing Bonds issued and outstanding pursuant to the Build
Illinois Bond Act is sufficient, taking into account any
future investment income, to fully provide, in accordance with
such indenture, for the defeasance of or the payment of the

10300HB4636sam001 - 45 - LRB103 38201 HLH 76612 a
principal of, premium, if any, and interest on the Bonds
secured by such indenture and on any Bonds expected to be
issued thereafter and all fees and costs payable with respect
thereto, all as certified by the Director of the Bureau of the
Budget (now Governor's Office of Management and Budget). If on
the last business day of any month in which Bonds are
outstanding pursuant to the Build Illinois Bond Act, the
aggregate of the moneys deposited in the Build Illinois Bond
Account in the Build Illinois Fund in such month shall be less
than the amount required to be transferred in such month from
the Build Illinois Bond Account to the Build Illinois Bond
Retirement and Interest Fund pursuant to Section 13 of the
Build Illinois Bond Act, an amount equal to such deficiency
shall be immediately paid from other moneys received by the
Department pursuant to the Tax Acts to the Build Illinois
Fund; provided, however, that any amounts paid to the Build
Illinois Fund in any fiscal year pursuant to this sentence
shall be deemed to constitute payments pursuant to clause (b)
of the preceding sentence and shall reduce the amount
otherwise payable for such fiscal year pursuant to clause (b)
of the preceding sentence. The moneys received by the
Department pursuant to this Act and required to be deposited
into the Build Illinois Fund are subject to the pledge, claim
and charge set forth in Section 12 of the Build Illinois Bond
Act.
Subject to payment of amounts into the Build Illinois Fund

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as provided in the preceding paragraph or in any amendment
thereto hereafter enacted, the following specified monthly
installment of the amount requested in the certificate of the
Chairman of the Metropolitan Pier and Exposition Authority
provided under Section 8.25f of the State Finance Act, but not
in excess of the sums designated as "Total Deposit", shall be
deposited in the aggregate from collections under Section 9 of
the Use Tax Act, Section 9 of the Service Use Tax Act, Section
9 of the Service Occupation Tax Act, and Section 3 of the
Retailers' Occupation Tax Act into the McCormick Place
Expansion Project Fund in the specified fiscal years.
Fiscal Year Total Deposit
1993 $0
1994 53,000,000
1995 58,000,000
1996 61,000,000
1997 64,000,000
1998 68,000,000
1999 71,000,000
2000 75,000,000
2001 80,000,000
2002 93,000,000
2003 99,000,000
2004 103,000,000
2005 108,000,000
2006 113,000,000

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2007 119,000,000
2008 126,000,000
2009 132,000,000
2010 139,000,000
2011 146,000,000
2012 153,000,000
2013 161,000,000
2014 170,000,000
2015 179,000,000
2016 189,000,000
2017 199,000,000
2018 210,000,000
2019 221,000,000
2020 233,000,000
2021 300,000,000
2022 300,000,000
2023 300,000,000
2024 300,000,000
2025 300,000,000
2026 300,000,000
2027 375,000,000
2028 375,000,000
2029 375,000,000
2030 375,000,000
2031 375,000,000
2032 375,000,000

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2033 375,000,000
2034 375,000,000
2035 375,000,000
2036 450,000,000
and
each fiscal year
thereafter that bonds
are outstanding under
Section 13.2 of the
Metropolitan Pier and
Exposition Authority Act,
but not after fiscal year 2060.
Beginning July 20, 1993 and in each month of each fiscal
year thereafter, one-eighth of the amount requested in the
certificate of the Chairman of the Metropolitan Pier and
Exposition Authority for that fiscal year, less the amount
deposited into the McCormick Place Expansion Project Fund by
the State Treasurer in the respective month under subsection
(g) of Section 13 of the Metropolitan Pier and Exposition
Authority Act, plus cumulative deficiencies in the deposits
required under this Section for previous months and years,
shall be deposited into the McCormick Place Expansion Project
Fund, until the full amount requested for the fiscal year, but
not in excess of the amount specified above as "Total
Deposit", has been deposited.
Subject to payment of amounts into the Capital Projects

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Fund, the Clean Air Act Permit Fund, the Build Illinois Fund,
and the McCormick Place Expansion Project Fund pursuant to the
preceding paragraphs or in any amendments thereto hereafter
enacted, for aviation fuel sold on or after December 1, 2019,
the Department shall each month deposit into the Aviation Fuel
Sales Tax Refund Fund an amount estimated by the Department to
be required for refunds of the 80% portion of the tax on
aviation fuel under this Act. The Department shall only
deposit moneys into the Aviation Fuel Sales Tax Refund Fund
under this paragraph for so long as the revenue use
requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
binding on the State.
Subject to payment of amounts into the Build Illinois Fund
and the McCormick Place Expansion Project Fund pursuant to the
preceding paragraphs or in any amendments thereto hereafter
enacted, beginning July 1, 1993 and ending on September 30,
2013, the Department shall each month pay into the Illinois
Tax Increment Fund 0.27% of 80% of the net revenue realized for
the preceding month from the 6.25% general rate on the selling
price of tangible personal property.
Subject to payment of amounts into the Build Illinois
Fund, the McCormick Place Expansion Project Fund, the Illinois
Tax Increment Fund, and the Energy Infrastructure Fund
pursuant to the preceding paragraphs or in any amendments to
this Section hereafter enacted, beginning on the first day of
the first calendar month to occur on or after August 26, 2014

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(the effective date of Public Act 98-1098), each month, from
the collections made under Section 9 of the Use Tax Act,
Section 9 of the Service Use Tax Act, Section 9 of the Service
Occupation Tax Act, and Section 3 of the Retailers' Occupation
Tax Act, the Department shall pay into the Tax Compliance and
Administration Fund, to be used, subject to appropriation, to
fund additional auditors and compliance personnel at the
Department of Revenue, an amount equal to 1/12 of 5% of 80% of
the cash receipts collected during the preceding fiscal year
by the Audit Bureau of the Department under the Use Tax Act,
the Service Use Tax Act, the Service Occupation Tax Act, the
Retailers' Occupation Tax Act, and associated local occupation
and use taxes administered by the Department.
Subject to payments of amounts into the Build Illinois
Fund, the McCormick Place Expansion Project Fund, the Illinois
Tax Increment Fund, and the Tax Compliance and Administration
Fund as provided in this Section, beginning on July 1, 2018 the
Department shall pay each month into the Downstate Public
Transportation Fund the moneys required to be so paid under
Section 2-3 of the Downstate Public Transportation Act.
Subject to successful execution and delivery of a
public-private agreement between the public agency and private
entity and completion of the civic build, beginning on July 1,
2023, of the remainder of the moneys received by the
Department under the Use Tax Act, the Service Use Tax Act, the
Service Occupation Tax Act, and this Act, the Department shall

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deposit the following specified deposits in the aggregate from
collections under the Use Tax Act, the Service Use Tax Act, the
Service Occupation Tax Act, and the Retailers' Occupation Tax
Act, as required under Section 8.25g of the State Finance Act
for distribution consistent with the Public-Private
Partnership for Civic and Transit Infrastructure Project Act.
The moneys received by the Department pursuant to this Act and
required to be deposited into the Civic and Transit
Infrastructure Fund are subject to the pledge, claim, and
charge set forth in Section 25-55 of the Public-Private
Partnership for Civic and Transit Infrastructure Project Act.
As used in this paragraph, "civic build", "private entity",
"public-private agreement", and "public agency" have the
meanings provided in Section 25-10 of the Public-Private
Partnership for Civic and Transit Infrastructure Project Act.
Fiscal Year............................Total Deposit
2024....................................$200,000,000
2025....................................$206,000,000
2026....................................$212,200,000
2027....................................$218,500,000
2028....................................$225,100,000
2029....................................$288,700,000
2030....................................$298,900,000
2031....................................$309,300,000
2032....................................$320,100,000
2033....................................$331,200,000

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2034....................................$341,200,000
2035....................................$351,400,000
2036....................................$361,900,000
2037....................................$372,800,000
2038....................................$384,000,000
2039....................................$395,500,000
2040....................................$407,400,000
2041....................................$419,600,000
2042....................................$432,200,000
2043....................................$445,100,000
Beginning July 1, 2021 and until July 1, 2022, subject to
the payment of amounts into the State and Local Sales Tax
Reform Fund, the Build Illinois Fund, the McCormick Place
Expansion Project Fund, the Illinois Tax Increment Fund, and
the Tax Compliance and Administration Fund as provided in this
Section, the Department shall pay each month into the Road
Fund the amount estimated to represent 16% of the net revenue
realized from the taxes imposed on motor fuel and gasohol.
Beginning July 1, 2022 and until July 1, 2023, subject to the
payment of amounts into the State and Local Sales Tax Reform
Fund, the Build Illinois Fund, the McCormick Place Expansion
Project Fund, the Illinois Tax Increment Fund, and the Tax
Compliance and Administration Fund as provided in this
Section, the Department shall pay each month into the Road
Fund the amount estimated to represent 32% of the net revenue
realized from the taxes imposed on motor fuel and gasohol.

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Beginning July 1, 2023 and until July 1, 2024, subject to the
payment of amounts into the State and Local Sales Tax Reform
Fund, the Build Illinois Fund, the McCormick Place Expansion
Project Fund, the Illinois Tax Increment Fund, and the Tax
Compliance and Administration Fund as provided in this
Section, the Department shall pay each month into the Road
Fund the amount estimated to represent 48% of the net revenue
realized from the taxes imposed on motor fuel and gasohol.
Beginning July 1, 2024 and until July 1, 2025, subject to the
payment of amounts into the State and Local Sales Tax Reform
Fund, the Build Illinois Fund, the McCormick Place Expansion
Project Fund, the Illinois Tax Increment Fund, and the Tax
Compliance and Administration Fund as provided in this
Section, the Department shall pay each month into the Road
Fund the amount estimated to represent 64% of the net revenue
realized from the taxes imposed on motor fuel and gasohol.
Beginning on July 1, 2025, subject to the payment of amounts
into the State and Local Sales Tax Reform Fund, the Build
Illinois Fund, the McCormick Place Expansion Project Fund, the
Illinois Tax Increment Fund, and the Tax Compliance and
Administration Fund as provided in this Section, the
Department shall pay each month into the Road Fund the amount
estimated to represent 80% of the net revenue realized from
the taxes imposed on motor fuel and gasohol. As used in this
paragraph "motor fuel" has the meaning given to that term in
Section 1.1 of the Motor Fuel Tax Law, and "gasohol" has the

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meaning given to that term in Section 3-40 of this Act.
Of the remainder of the moneys received by the Department
pursuant to this Act, 75% thereof shall be paid into the State
Treasury and 25% shall be reserved in a special account and
used only for the transfer to the Common School Fund as part of
the monthly transfer from the General Revenue Fund in
accordance with Section 8a of the State Finance Act.
As soon as possible after the first day of each month, upon
certification of the Department of Revenue, the Comptroller
shall order transferred and the Treasurer shall transfer from
the General Revenue Fund to the Motor Fuel Tax Fund an amount
equal to 1.7% of 80% of the net revenue realized under this Act
for the second preceding month. Beginning April 1, 2000, this
transfer is no longer required and shall not be made.
Net revenue realized for a month shall be the revenue
collected by the State pursuant to this Act, less the amount
paid out during that month as refunds to taxpayers for
overpayment of liability.
For greater simplicity of administration, manufacturers,
importers and wholesalers whose products are sold at retail in
Illinois by numerous retailers, and who wish to do so, may
assume the responsibility for accounting and paying to the
Department all tax accruing under this Act with respect to
such sales, if the retailers who are affected do not make
written objection to the Department to this arrangement.
(Source: P.A. 102-700, Article 60, Section 60-15, eff.

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4-19-22; 102-700, Article 65, Section 65-5, eff. 4-19-22;
102-1019, eff. 1-1-23; 103-154, eff. 6-30-23; 103-363, eff.
7-28-23; 103-592, Article 110, Section 110-5, eff. 6-7-24;
revised 7-22-24.)
(Text of Section after amendment by P.A. 103-592, Article
75, Section 75-5)
Sec. 9. Except as to motor vehicles, watercraft, aircraft,
and trailers that are required to be registered with an agency
of this State, each retailer required or authorized to collect
the tax imposed by this Act shall pay to the Department the
amount of such tax (except as otherwise provided) at the time
when he is required to file his return for the period during
which such tax was collected, less a discount of 2.1% prior to
January 1, 1990, and 1.75% on and after January 1, 1990, or $5
per calendar year, whichever is greater, which is allowed to
reimburse the retailer for expenses incurred in collecting the
tax, keeping records, preparing and filing returns, remitting
the tax and supplying data to the Department on request.
Beginning with returns due on or after January 1, 2025, the
discount allowed in this Section, the Retailers' Occupation
Tax Act, the Service Occupation Tax Act, and the Service Use
Tax Act, including any local tax administered by the
Department and reported on the same return, shall not exceed
$1,000 per month in the aggregate for returns other than
transaction returns filed during the month. When determining

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the discount allowed under this Section, retailers shall
include the amount of tax that would have been due at the 6.25%
rate but for the 1.25% rate imposed on sales tax holiday items
under Public Act 102-700. The discount under this Section is
not allowed for the 1.25% portion of taxes paid on aviation
fuel that is subject to the revenue use requirements of 49
U.S.C. 47107(b) and 49 U.S.C. 47133. When determining the
discount allowed under this Section, retailers shall include
the amount of tax that would have been due at the 1% rate but
for the 0% rate imposed under Public Act 102-700. In the case
of retailers who report and pay the tax on a transaction by
transaction basis, as provided in this Section, such discount
shall be taken with each such tax remittance instead of when
such retailer files his periodic return, but, beginning with
returns due on or after January 1, 2025, the discount allowed
under this Section and the Retailers' Occupation Tax Act,
including any local tax administered by the Department and
reported on the same transaction return, shall not exceed
$1,000 per month for all transaction returns filed during the
month. The discount allowed under this Section is allowed only
for returns that are filed in the manner required by this Act.
The Department may disallow the discount for retailers whose
certificate of registration is revoked at the time the return
is filed, but only if the Department's decision to revoke the
certificate of registration has become final. A retailer need
not remit that part of any tax collected by him to the extent

10300HB4636sam001 - 57 - LRB103 38201 HLH 76612 a
that he is required to remit and does remit the tax imposed by
the Retailers' Occupation Tax Act, with respect to the sale of
the same property.
Where such tangible personal property is sold under a
conditional sales contract, or under any other form of sale
wherein the payment of the principal sum, or a part thereof, is
extended beyond the close of the period for which the return is
filed, the retailer, in collecting the tax (except as to motor
vehicles, watercraft, aircraft, and trailers that are required
to be registered with an agency of this State), may collect for
each tax return period, only the tax applicable to that part of
the selling price actually received during such tax return
period.
In the case of leases, except as otherwise provided in
this Act, the lessor, in collecting the tax, may collect for
each tax return period, only the tax applicable to that part of
the selling price actually received during such tax return
period.
Except as provided in this Section, on or before the
twentieth day of each calendar month, such retailer shall file
a return for the preceding calendar month. Such return shall
be filed on forms prescribed by the Department and shall
furnish such information as the Department may reasonably
require. The return shall include the gross receipts on food
for human consumption that is to be consumed off the premises
where it is sold (other than alcoholic beverages, food

10300HB4636sam001 - 58 - LRB103 38201 HLH 76612 a
consisting of or infused with adult use cannabis, soft drinks,
and food that has been prepared for immediate consumption)
which were received during the preceding calendar month,
quarter, or year, as appropriate, and upon which tax would
have been due but for the 0% rate imposed under Public Act
102-700. The return shall also include the amount of tax that
would have been due on food for human consumption that is to be
consumed off the premises where it is sold (other than
alcoholic beverages, food consisting of or infused with adult
use cannabis, soft drinks, and food that has been prepared for
immediate consumption) but for the 0% rate imposed under
Public Act 102-700.
On and after January 1, 2018, except for returns required
to be filed prior to January 1, 2023 for motor vehicles,
watercraft, aircraft, and trailers that are required to be
registered with an agency of this State, with respect to
retailers whose annual gross receipts average $20,000 or more,
all returns required to be filed pursuant to this Act shall be
filed electronically. On and after January 1, 2023, with
respect to retailers whose annual gross receipts average
$20,000 or more, all returns required to be filed pursuant to
this Act, including, but not limited to, returns for motor
vehicles, watercraft, aircraft, and trailers that are required
to be registered with an agency of this State, shall be filed
electronically. Retailers who demonstrate that they do not
have access to the Internet or demonstrate hardship in filing

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electronically may petition the Department to waive the
electronic filing requirement.
The Department may require returns to be filed on a
quarterly basis. If so required, a return for each calendar
quarter shall be filed on or before the twentieth day of the
calendar month following the end of such calendar quarter. The
taxpayer shall also file a return with the Department for each
of the first two months of each calendar quarter, on or before
the twentieth day of the following calendar month, stating:
1. The name of the seller;
2. The address of the principal place of business from
which he engages in the business of selling tangible
personal property at retail in this State;
3. The total amount of taxable receipts received by
him during the preceding calendar month from sales of
tangible personal property by him during such preceding
calendar month, including receipts from charge and time
sales, but less all deductions allowed by law;
4. The amount of credit provided in Section 2d of this
Act;
5. The amount of tax due;
5-5. The signature of the taxpayer; and
6. Such other reasonable information as the Department
may require.
Each retailer required or authorized to collect the tax
imposed by this Act on aviation fuel sold at retail in this

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State during the preceding calendar month shall, instead of
reporting and paying tax on aviation fuel as otherwise
required by this Section, report and pay such tax on a separate
aviation fuel tax return. The requirements related to the
return shall be as otherwise provided in this Section.
Notwithstanding any other provisions of this Act to the
contrary, retailers collecting tax on aviation fuel shall file
all aviation fuel tax returns and shall make all aviation fuel
tax payments by electronic means in the manner and form
required by the Department. For purposes of this Section,
"aviation fuel" means jet fuel and aviation gasoline.
If a taxpayer fails to sign a return within 30 days after
the proper notice and demand for signature by the Department,
the return shall be considered valid and any amount shown to be
due on the return shall be deemed assessed.
Notwithstanding any other provision of this Act to the
contrary, retailers subject to tax on cannabis shall file all
cannabis tax returns and shall make all cannabis tax payments
by electronic means in the manner and form required by the
Department.
Beginning October 1, 1993, a taxpayer who has an average
monthly tax liability of $150,000 or more shall make all
payments required by rules of the Department by electronic
funds transfer. Beginning October 1, 1994, a taxpayer who has
an average monthly tax liability of $100,000 or more shall
make all payments required by rules of the Department by

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electronic funds transfer. Beginning October 1, 1995, a
taxpayer who has an average monthly tax liability of $50,000
or more shall make all payments required by rules of the
Department by electronic funds transfer. Beginning October 1,
2000, a taxpayer who has an annual tax liability of $200,000 or
more shall make all payments required by rules of the
Department by electronic funds transfer. The term "annual tax
liability" shall be the sum of the taxpayer's liabilities
under this Act, and under all other State and local occupation
and use tax laws administered by the Department, for the
immediately preceding calendar year. The term "average monthly
tax liability" means the sum of the taxpayer's liabilities
under this Act, and under all other State and local occupation
and use tax laws administered by the Department, for the
immediately preceding calendar year divided by 12. Beginning
on October 1, 2002, a taxpayer who has a tax liability in the
amount set forth in subsection (b) of Section 2505-210 of the
Department of Revenue Law shall make all payments required by
rules of the Department by electronic funds transfer.
Before August 1 of each year beginning in 1993, the
Department shall notify all taxpayers required to make
payments by electronic funds transfer. All taxpayers required
to make payments by electronic funds transfer shall make those
payments for a minimum of one year beginning on October 1.
Any taxpayer not required to make payments by electronic
funds transfer may make payments by electronic funds transfer

10300HB4636sam001 - 62 - LRB103 38201 HLH 76612 a
with the permission of the Department.
All taxpayers required to make payment by electronic funds
transfer and any taxpayers authorized to voluntarily make
payments by electronic funds transfer shall make those
payments in the manner authorized by the Department.
The Department shall adopt such rules as are necessary to
effectuate a program of electronic funds transfer and the
requirements of this Section.
Before October 1, 2000, if the taxpayer's average monthly
tax liability to the Department under this Act, the Retailers'
Occupation Tax Act, the Service Occupation Tax Act, the
Service Use Tax Act was $10,000 or more during the preceding 4
complete calendar quarters, he shall file a return with the
Department each month by the 20th day of the month next
following the month during which such tax liability is
incurred and shall make payments to the Department on or
before the 7th, 15th, 22nd and last day of the month during
which such liability is incurred. On and after October 1,
2000, if the taxpayer's average monthly tax liability to the
Department under this Act, the Retailers' Occupation Tax Act,
the Service Occupation Tax Act, and the Service Use Tax Act was
$20,000 or more during the preceding 4 complete calendar
quarters, he shall file a return with the Department each
month by the 20th day of the month next following the month
during which such tax liability is incurred and shall make
payment to the Department on or before the 7th, 15th, 22nd and

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last day of the month during which such liability is incurred.
If the month during which such tax liability is incurred began
prior to January 1, 1985, each payment shall be in an amount
equal to 1/4 of the taxpayer's actual liability for the month
or an amount set by the Department not to exceed 1/4 of the
average monthly liability of the taxpayer to the Department
for the preceding 4 complete calendar quarters (excluding the
month of highest liability and the month of lowest liability
in such 4 quarter period). If the month during which such tax
liability is incurred begins on or after January 1, 1985, and
prior to January 1, 1987, each payment shall be in an amount
equal to 22.5% of the taxpayer's actual liability for the
month or 27.5% of the taxpayer's liability for the same
calendar month of the preceding year. If the month during
which such tax liability is incurred begins on or after
January 1, 1987, and prior to January 1, 1988, each payment
shall be in an amount equal to 22.5% of the taxpayer's actual
liability for the month or 26.25% of the taxpayer's liability
for the same calendar month of the preceding year. If the month
during which such tax liability is incurred begins on or after
January 1, 1988, and prior to January 1, 1989, or begins on or
after January 1, 1996, each payment shall be in an amount equal
to 22.5% of the taxpayer's actual liability for the month or
25% of the taxpayer's liability for the same calendar month of
the preceding year. If the month during which such tax
liability is incurred begins on or after January 1, 1989, and

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prior to January 1, 1996, each payment shall be in an amount
equal to 22.5% of the taxpayer's actual liability for the
month or 25% of the taxpayer's liability for the same calendar
month of the preceding year or 100% of the taxpayer's actual
liability for the quarter monthly reporting period. The amount
of such quarter monthly payments shall be credited against the
final tax liability of the taxpayer's return for that month.
Before October 1, 2000, once applicable, the requirement of
the making of quarter monthly payments to the Department shall
continue until such taxpayer's average monthly liability to
the Department during the preceding 4 complete calendar
quarters (excluding the month of highest liability and the
month of lowest liability) is less than $9,000, or until such
taxpayer's average monthly liability to the Department as
computed for each calendar quarter of the 4 preceding complete
calendar quarter period is less than $10,000. However, if a
taxpayer can show the Department that a substantial change in
the taxpayer's business has occurred which causes the taxpayer
to anticipate that his average monthly tax liability for the
reasonably foreseeable future will fall below the $10,000
threshold stated above, then such taxpayer may petition the
Department for change in such taxpayer's reporting status. On
and after October 1, 2000, once applicable, the requirement of
the making of quarter monthly payments to the Department shall
continue until such taxpayer's average monthly liability to
the Department during the preceding 4 complete calendar

10300HB4636sam001 - 65 - LRB103 38201 HLH 76612 a
quarters (excluding the month of highest liability and the
month of lowest liability) is less than $19,000 or until such
taxpayer's average monthly liability to the Department as
computed for each calendar quarter of the 4 preceding complete
calendar quarter period is less than $20,000. However, if a
taxpayer can show the Department that a substantial change in
the taxpayer's business has occurred which causes the taxpayer
to anticipate that his average monthly tax liability for the
reasonably foreseeable future will fall below the $20,000
threshold stated above, then such taxpayer may petition the
Department for a change in such taxpayer's reporting status.
The Department shall change such taxpayer's reporting status
unless it finds that such change is seasonal in nature and not
likely to be long term. Quarter monthly payment status shall
be determined under this paragraph as if the rate reduction to
1.25% in Public Act 102-700 on sales tax holiday items had not
occurred. For quarter monthly payments due on or after July 1,
2023 and through June 30, 2024, "25% of the taxpayer's
liability for the same calendar month of the preceding year"
shall be determined as if the rate reduction to 1.25% in Public
Act 102-700 on sales tax holiday items had not occurred.
Quarter monthly payment status shall be determined under this
paragraph as if the rate reduction to 0% in Public Act 102-700
on food for human consumption that is to be consumed off the
premises where it is sold (other than alcoholic beverages,
food consisting of or infused with adult use cannabis, soft

10300HB4636sam001 - 66 - LRB103 38201 HLH 76612 a
drinks, and food that has been prepared for immediate
consumption) had not occurred. For quarter monthly payments
due under this paragraph on or after July 1, 2023 and through
June 30, 2024, "25% of the taxpayer's liability for the same
calendar month of the preceding year" shall be determined as
if the rate reduction to 0% in Public Act 102-700 had not
occurred. If any such quarter monthly payment is not paid at
the time or in the amount required by this Section, then the
taxpayer shall be liable for penalties and interest on the
difference between the minimum amount due and the amount of
such quarter monthly payment actually and timely paid, except
insofar as the taxpayer has previously made payments for that
month to the Department in excess of the minimum payments
previously due as provided in this Section. The Department
shall make reasonable rules and regulations to govern the
quarter monthly payment amount and quarter monthly payment
dates for taxpayers who file on other than a calendar monthly
basis.
If any such payment provided for in this Section exceeds
the taxpayer's liabilities under this Act, the Retailers'
Occupation Tax Act, the Service Occupation Tax Act and the
Service Use Tax Act, as shown by an original monthly return,
the Department shall issue to the taxpayer a credit memorandum
no later than 30 days after the date of payment, which
memorandum may be submitted by the taxpayer to the Department
in payment of tax liability subsequently to be remitted by the

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taxpayer to the Department or be assigned by the taxpayer to a
similar taxpayer under this Act, the Retailers' Occupation Tax
Act, the Service Occupation Tax Act or the Service Use Tax Act,
in accordance with reasonable rules and regulations to be
prescribed by the Department, except that if such excess
payment is shown on an original monthly return and is made
after December 31, 1986, no credit memorandum shall be issued,
unless requested by the taxpayer. If no such request is made,
the taxpayer may credit such excess payment against tax
liability subsequently to be remitted by the taxpayer to the
Department under this Act, the Retailers' Occupation Tax Act,
the Service Occupation Tax Act or the Service Use Tax Act, in
accordance with reasonable rules and regulations prescribed by
the Department. If the Department subsequently determines that
all or any part of the credit taken was not actually due to the
taxpayer, the taxpayer's vendor's discount shall be reduced,
if necessary, to reflect the difference between the credit
taken and that actually due, and the taxpayer shall be liable
for penalties and interest on such difference.
If the retailer is otherwise required to file a monthly
return and if the retailer's average monthly tax liability to
the Department does not exceed $200, the Department may
authorize his returns to be filed on a quarter annual basis,
with the return for January, February, and March of a given
year being due by April 20 of such year; with the return for
April, May and June of a given year being due by July 20 of

10300HB4636sam001 - 68 - LRB103 38201 HLH 76612 a
such year; with the return for July, August and September of a
given year being due by October 20 of such year, and with the
return for October, November and December of a given year
being due by January 20 of the following year.
If the retailer is otherwise required to file a monthly or
quarterly return and if the retailer's average monthly tax
liability to the Department does not exceed $50, the
Department may authorize his returns to be filed on an annual
basis, with the return for a given year being due by January 20
of the following year.
Such quarter annual and annual returns, as to form and
substance, shall be subject to the same requirements as
monthly returns.
Notwithstanding any other provision in this Act concerning
the time within which a retailer may file his return, in the
case of any retailer who ceases to engage in a kind of business
which makes him responsible for filing returns under this Act,
such retailer shall file a final return under this Act with the
Department not more than one month after discontinuing such
business.
In addition, with respect to motor vehicles, watercraft,
aircraft, and trailers that are required to be registered with
an agency of this State, except as otherwise provided in this
Section, every retailer selling this kind of tangible personal
property shall file, with the Department, upon a form to be
prescribed and supplied by the Department, a separate return

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for each such item of tangible personal property which the
retailer sells, except that if, in the same transaction, (i) a
retailer of aircraft, watercraft, motor vehicles or trailers
transfers more than one aircraft, watercraft, motor vehicle or
trailer to another aircraft, watercraft, motor vehicle or
trailer retailer for the purpose of resale or (ii) a retailer
of aircraft, watercraft, motor vehicles, or trailers transfers
more than one aircraft, watercraft, motor vehicle, or trailer
to a purchaser for use as a qualifying rolling stock as
provided in Section 3-55 of this Act, then that seller may
report the transfer of all the aircraft, watercraft, motor
vehicles or trailers involved in that transaction to the
Department on the same uniform invoice-transaction reporting
return form. For purposes of this Section, "watercraft" means
a Class 2, Class 3, or Class 4 watercraft as defined in Section
3-2 of the Boat Registration and Safety Act, a personal
watercraft, or any boat equipped with an inboard motor.
In addition, with respect to motor vehicles, watercraft,
aircraft, and trailers that are required to be registered with
an agency of this State, every person who is engaged in the
business of leasing or renting such items and who, in
connection with such business, sells any such item to a
retailer for the purpose of resale is, notwithstanding any
other provision of this Section to the contrary, authorized to
meet the return-filing requirement of this Act by reporting
the transfer of all the aircraft, watercraft, motor vehicles,

10300HB4636sam001 - 70 - LRB103 38201 HLH 76612 a
or trailers transferred for resale during a month to the
Department on the same uniform invoice-transaction reporting
return form on or before the 20th of the month following the
month in which the transfer takes place. Notwithstanding any
other provision of this Act to the contrary, all returns filed
under this paragraph must be filed by electronic means in the
manner and form as required by the Department.
The transaction reporting return in the case of motor
vehicles or trailers that are required to be registered with
an agency of this State, shall be the same document as the
Uniform Invoice referred to in Section 5-402 of the Illinois
Vehicle Code and must show the name and address of the seller;
the name and address of the purchaser; the amount of the
selling price including the amount allowed by the retailer for
traded-in property, if any; the amount allowed by the retailer
for the traded-in tangible personal property, if any, to the
extent to which Section 2 of this Act allows an exemption for
the value of traded-in property; the balance payable after
deducting such trade-in allowance from the total selling
price; the amount of tax due from the retailer with respect to
such transaction; the amount of tax collected from the
purchaser by the retailer on such transaction (or satisfactory
evidence that such tax is not due in that particular instance,
if that is claimed to be the fact); the place and date of the
sale; a sufficient identification of the property sold; such
other information as is required in Section 5-402 of the

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Illinois Vehicle Code, and such other information as the
Department may reasonably require.
The transaction reporting return in the case of watercraft
and aircraft must show the name and address of the seller; the
name and address of the purchaser; the amount of the selling
price including the amount allowed by the retailer for
traded-in property, if any; the amount allowed by the retailer
for the traded-in tangible personal property, if any, to the
extent to which Section 2 of this Act allows an exemption for
the value of traded-in property; the balance payable after
deducting such trade-in allowance from the total selling
price; the amount of tax due from the retailer with respect to
such transaction; the amount of tax collected from the
purchaser by the retailer on such transaction (or satisfactory
evidence that such tax is not due in that particular instance,
if that is claimed to be the fact); the place and date of the
sale, a sufficient identification of the property sold, and
such other information as the Department may reasonably
require.
Such transaction reporting return shall be filed not later
than 20 days after the date of delivery of the item that is
being sold, but may be filed by the retailer at any time sooner
than that if he chooses to do so. The transaction reporting
return and tax remittance or proof of exemption from the tax
that is imposed by this Act may be transmitted to the
Department by way of the State agency with which, or State

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officer with whom, the tangible personal property must be
titled or registered (if titling or registration is required)
if the Department and such agency or State officer determine
that this procedure will expedite the processing of
applications for title or registration.
With each such transaction reporting return, the retailer
shall remit the proper amount of tax due (or shall submit
satisfactory evidence that the sale is not taxable if that is
the case), to the Department or its agents, whereupon the
Department shall issue, in the purchaser's name, a tax receipt
(or a certificate of exemption if the Department is satisfied
that the particular sale is tax exempt) which such purchaser
may submit to the agency with which, or State officer with
whom, he must title or register the tangible personal property
that is involved (if titling or registration is required) in
support of such purchaser's application for an Illinois
certificate or other evidence of title or registration to such
tangible personal property.
No retailer's failure or refusal to remit tax under this
Act precludes a user, who has paid the proper tax to the
retailer, from obtaining his certificate of title or other
evidence of title or registration (if titling or registration
is required) upon satisfying the Department that such user has
paid the proper tax (if tax is due) to the retailer. The
Department shall adopt appropriate rules to carry out the
mandate of this paragraph.

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If the user who would otherwise pay tax to the retailer
wants the transaction reporting return filed and the payment
of tax or proof of exemption made to the Department before the
retailer is willing to take these actions and such user has not
paid the tax to the retailer, such user may certify to the fact
of such delay by the retailer, and may (upon the Department
being satisfied of the truth of such certification) transmit
the information required by the transaction reporting return
and the remittance for tax or proof of exemption directly to
the Department and obtain his tax receipt or exemption
determination, in which event the transaction reporting return
and tax remittance (if a tax payment was required) shall be
credited by the Department to the proper retailer's account
with the Department, but without the vendor's discount
provided for in this Section being allowed. When the user pays
the tax directly to the Department, he shall pay the tax in the
same amount and in the same form in which it would be remitted
if the tax had been remitted to the Department by the retailer.
On and after January 1, 2025, with respect to the lease of
trailers, other than semitrailers as defined in Section 1-187
of the Illinois Vehicle Code, that are required to be
registered with an agency of this State and that are subject to
the tax on lease receipts under this Act, notwithstanding any
other provision of this Act to the contrary, for the purpose of
reporting and paying tax under this Act on those lease
receipts, lessors shall file returns in addition to and

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separate from the transaction reporting return. Lessors shall
file those lease returns and make payment to the Department by
electronic means on or before the 20th day of each month
following the month, quarter, or year, as applicable, in which
lease receipts were received. All lease receipts received by
the lessor from the lease of those trailers during the same
reporting period shall be reported and tax shall be paid on a
single return form to be prescribed by the Department.
Where a retailer collects the tax with respect to the
selling price of tangible personal property which he sells and
the purchaser thereafter returns such tangible personal
property and the retailer refunds the selling price thereof to
the purchaser, such retailer shall also refund, to the
purchaser, the tax so collected from the purchaser. When
filing his return for the period in which he refunds such tax
to the purchaser, the retailer may deduct the amount of the tax
so refunded by him to the purchaser from any other use tax
which such retailer may be required to pay or remit to the
Department, as shown by such return, if the amount of the tax
to be deducted was previously remitted to the Department by
such retailer. If the retailer has not previously remitted the
amount of such tax to the Department, he is entitled to no
deduction under this Act upon refunding such tax to the
purchaser.
Any retailer filing a return under this Section shall also
include (for the purpose of paying tax thereon) the total tax

10300HB4636sam001 - 75 - LRB103 38201 HLH 76612 a
covered by such return upon the selling price of tangible
personal property purchased by him at retail from a retailer,
but as to which the tax imposed by this Act was not collected
from the retailer filing such return, and such retailer shall
remit the amount of such tax to the Department when filing such
return.
If experience indicates such action to be practicable, the
Department may prescribe and furnish a combination or joint
return which will enable retailers, who are required to file
returns hereunder and also under the Retailers' Occupation Tax
Act, to furnish all the return information required by both
Acts on the one form.
Where the retailer has more than one business registered
with the Department under separate registration under this
Act, such retailer may not file each return that is due as a
single return covering all such registered businesses, but
shall file separate returns for each such registered business.
Beginning January 1, 1990, each month the Department shall
pay into the State and Local Sales Tax Reform Fund, a special
fund in the State Treasury which is hereby created, the net
revenue realized for the preceding month from the 1% tax
imposed under this Act.
Beginning January 1, 1990, each month the Department shall
pay into the County and Mass Transit District Fund 4% of the
net revenue realized for the preceding month from the 6.25%
general rate on the selling price of tangible personal

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property which is purchased outside Illinois at retail from a
retailer and which is titled or registered by an agency of this
State's government.
Beginning January 1, 1990, each month the Department shall
pay into the State and Local Sales Tax Reform Fund, a special
fund in the State Treasury, 20% of the net revenue realized for
the preceding month from the 6.25% general rate on the selling
price of tangible personal property, other than (i) tangible
personal property which is purchased outside Illinois at
retail from a retailer and which is titled or registered by an
agency of this State's government and (ii) aviation fuel sold
on or after December 1, 2019. This exception for aviation fuel
only applies for so long as the revenue use requirements of 49
U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the State.
For aviation fuel sold on or after December 1, 2019, each
month the Department shall pay into the State Aviation Program
Fund 20% of the net revenue realized for the preceding month
from the 6.25% general rate on the selling price of aviation
fuel, less an amount estimated by the Department to be
required for refunds of the 20% portion of the tax on aviation
fuel under this Act, which amount shall be deposited into the
Aviation Fuel Sales Tax Refund Fund. The Department shall only
pay moneys into the State Aviation Program Fund and the
Aviation Fuels Sales Tax Refund Fund under this Act for so long
as the revenue use requirements of 49 U.S.C. 47107(b) and 49
U.S.C. 47133 are binding on the State.

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Beginning August 1, 2000, each month the Department shall
pay into the State and Local Sales Tax Reform Fund 100% of the
net revenue realized for the preceding month from the 1.25%
rate on the selling price of motor fuel and gasohol. If, in any
month, the tax on sales tax holiday items, as defined in
Section 3-6, is imposed at the rate of 1.25%, then the
Department shall pay 100% of the net revenue realized for that
month from the 1.25% rate on the selling price of sales tax
holiday items into the State and Local Sales Tax Reform Fund.
Beginning January 1, 1990, each month the Department shall
pay into the Local Government Tax Fund 16% of the net revenue
realized for the preceding month from the 6.25% general rate
on the selling price of tangible personal property which is
purchased outside Illinois at retail from a retailer and which
is titled or registered by an agency of this State's
government.
Beginning October 1, 2009, each month the Department shall
pay into the Capital Projects Fund an amount that is equal to
an amount estimated by the Department to represent 80% of the
net revenue realized for the preceding month from the sale of
candy, grooming and hygiene products, and soft drinks that had
been taxed at a rate of 1% prior to September 1, 2009 but that
are now taxed at 6.25%.
Beginning July 1, 2011, each month the Department shall
pay into the Clean Air Act Permit Fund 80% of the net revenue
realized for the preceding month from the 6.25% general rate

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on the selling price of sorbents used in Illinois in the
process of sorbent injection as used to comply with the
Environmental Protection Act or the federal Clean Air Act, but
the total payment into the Clean Air Act Permit Fund under this
Act and the Retailers' Occupation Tax Act shall not exceed
$2,000,000 in any fiscal year.
Beginning July 1, 2013, each month the Department shall
pay into the Underground Storage Tank Fund from the proceeds
collected under this Act, the Service Use Tax Act, the Service
Occupation Tax Act, and the Retailers' Occupation Tax Act an
amount equal to the average monthly deficit in the Underground
Storage Tank Fund during the prior year, as certified annually
by the Illinois Environmental Protection Agency, but the total
payment into the Underground Storage Tank Fund under this Act,
the Service Use Tax Act, the Service Occupation Tax Act, and
the Retailers' Occupation Tax Act shall not exceed $18,000,000
in any State fiscal year. As used in this paragraph, the
"average monthly deficit" shall be equal to the difference
between the average monthly claims for payment by the fund and
the average monthly revenues deposited into the fund,
excluding payments made pursuant to this paragraph.
Beginning July 1, 2015, of the remainder of the moneys
received by the Department under this Act, the Service Use Tax
Act, the Service Occupation Tax Act, and the Retailers'
Occupation Tax Act, each month the Department shall deposit
$500,000 into the State Crime Laboratory Fund.

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Of the remainder of the moneys received by the Department
pursuant to this Act, (a) 1.75% thereof shall be paid into the
Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
and after July 1, 1989, 3.8% thereof shall be paid into the
Build Illinois Fund; provided, however, that if in any fiscal
year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
may be, of the moneys received by the Department and required
to be paid into the Build Illinois Fund pursuant to Section 3
of the Retailers' Occupation Tax Act, Section 9 of the Use Tax
Act, Section 9 of the Service Use Tax Act, and Section 9 of the
Service Occupation Tax Act, such Acts being hereinafter called
the "Tax Acts" and such aggregate of 2.2% or 3.8%, as the case
may be, of moneys being hereinafter called the "Tax Act
Amount", and (2) the amount transferred to the Build Illinois
Fund from the State and Local Sales Tax Reform Fund shall be
less than the Annual Specified Amount (as defined in Section 3
of the Retailers' Occupation Tax Act), an amount equal to the
difference shall be immediately paid into the Build Illinois
Fund from other moneys received by the Department pursuant to
the Tax Acts; and further provided, that if on the last
business day of any month the sum of (1) the Tax Act Amount
required to be deposited into the Build Illinois Bond Account
in the Build Illinois Fund during such month and (2) the amount
transferred during such month to the Build Illinois Fund from
the State and Local Sales Tax Reform Fund shall have been less
than 1/12 of the Annual Specified Amount, an amount equal to

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the difference shall be immediately paid into the Build
Illinois Fund from other moneys received by the Department
pursuant to the Tax Acts; and, further provided, that in no
event shall the payments required under the preceding proviso
result in aggregate payments into the Build Illinois Fund
pursuant to this clause (b) for any fiscal year in excess of
the greater of (i) the Tax Act Amount or (ii) the Annual
Specified Amount for such fiscal year; and, further provided,
that the amounts payable into the Build Illinois Fund under
this clause (b) shall be payable only until such time as the
aggregate amount on deposit under each trust indenture
securing Bonds issued and outstanding pursuant to the Build
Illinois Bond Act is sufficient, taking into account any
future investment income, to fully provide, in accordance with
such indenture, for the defeasance of or the payment of the
principal of, premium, if any, and interest on the Bonds
secured by such indenture and on any Bonds expected to be
issued thereafter and all fees and costs payable with respect
thereto, all as certified by the Director of the Bureau of the
Budget (now Governor's Office of Management and Budget). If on
the last business day of any month in which Bonds are
outstanding pursuant to the Build Illinois Bond Act, the
aggregate of the moneys deposited in the Build Illinois Bond
Account in the Build Illinois Fund in such month shall be less
than the amount required to be transferred in such month from
the Build Illinois Bond Account to the Build Illinois Bond

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Retirement and Interest Fund pursuant to Section 13 of the
Build Illinois Bond Act, an amount equal to such deficiency
shall be immediately paid from other moneys received by the
Department pursuant to the Tax Acts to the Build Illinois
Fund; provided, however, that any amounts paid to the Build
Illinois Fund in any fiscal year pursuant to this sentence
shall be deemed to constitute payments pursuant to clause (b)
of the preceding sentence and shall reduce the amount
otherwise payable for such fiscal year pursuant to clause (b)
of the preceding sentence. The moneys received by the
Department pursuant to this Act and required to be deposited
into the Build Illinois Fund are subject to the pledge, claim
and charge set forth in Section 12 of the Build Illinois Bond
Act.
Subject to payment of amounts into the Build Illinois Fund
as provided in the preceding paragraph or in any amendment
thereto hereafter enacted, the following specified monthly
installment of the amount requested in the certificate of the
Chairman of the Metropolitan Pier and Exposition Authority
provided under Section 8.25f of the State Finance Act, but not
in excess of the sums designated as "Total Deposit", shall be
deposited in the aggregate from collections under Section 9 of
the Use Tax Act, Section 9 of the Service Use Tax Act, Section
9 of the Service Occupation Tax Act, and Section 3 of the
Retailers' Occupation Tax Act into the McCormick Place
Expansion Project Fund in the specified fiscal years.

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Fiscal Year Total Deposit
1993 $0
1994 53,000,000
1995 58,000,000
1996 61,000,000
1997 64,000,000
1998 68,000,000
1999 71,000,000
2000 75,000,000
2001 80,000,000
2002 93,000,000
2003 99,000,000
2004 103,000,000
2005 108,000,000
2006 113,000,000
2007 119,000,000
2008 126,000,000
2009 132,000,000
2010 139,000,000
2011 146,000,000
2012 153,000,000
2013 161,000,000
2014 170,000,000
2015 179,000,000
2016 189,000,000
2017 199,000,000

10300HB4636sam001 - 83 - LRB103 38201 HLH 76612 a
2018 210,000,000
2019 221,000,000
2020 233,000,000
2021 300,000,000
2022 300,000,000
2023 300,000,000
2024 300,000,000
2025 300,000,000
2026 300,000,000
2027 375,000,000
2028 375,000,000
2029 375,000,000
2030 375,000,000
2031 375,000,000
2032 375,000,000
2033 375,000,000
2034 375,000,000
2035 375,000,000
2036 450,000,000
and
each fiscal year
thereafter that bonds
are outstanding under
Section 13.2 of the
Metropolitan Pier and
Exposition Authority Act,

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but not after fiscal year 2060.
Beginning July 20, 1993 and in each month of each fiscal
year thereafter, one-eighth of the amount requested in the
certificate of the Chairman of the Metropolitan Pier and
Exposition Authority for that fiscal year, less the amount
deposited into the McCormick Place Expansion Project Fund by
the State Treasurer in the respective month under subsection
(g) of Section 13 of the Metropolitan Pier and Exposition
Authority Act, plus cumulative deficiencies in the deposits
required under this Section for previous months and years,
shall be deposited into the McCormick Place Expansion Project
Fund, until the full amount requested for the fiscal year, but
not in excess of the amount specified above as "Total
Deposit", has been deposited.
Subject to payment of amounts into the Capital Projects
Fund, the Clean Air Act Permit Fund, the Build Illinois Fund,
and the McCormick Place Expansion Project Fund pursuant to the
preceding paragraphs or in any amendments thereto hereafter
enacted, for aviation fuel sold on or after December 1, 2019,
the Department shall each month deposit into the Aviation Fuel
Sales Tax Refund Fund an amount estimated by the Department to
be required for refunds of the 80% portion of the tax on
aviation fuel under this Act. The Department shall only
deposit moneys into the Aviation Fuel Sales Tax Refund Fund
under this paragraph for so long as the revenue use
requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are

10300HB4636sam001 - 85 - LRB103 38201 HLH 76612 a
binding on the State.
Subject to payment of amounts into the Build Illinois Fund
and the McCormick Place Expansion Project Fund pursuant to the
preceding paragraphs or in any amendments thereto hereafter
enacted, beginning July 1, 1993 and ending on September 30,
2013, the Department shall each month pay into the Illinois
Tax Increment Fund 0.27% of 80% of the net revenue realized for
the preceding month from the 6.25% general rate on the selling
price of tangible personal property.
Subject to payment of amounts into the Build Illinois
Fund, the McCormick Place Expansion Project Fund, the Illinois
Tax Increment Fund, and the Energy Infrastructure Fund
pursuant to the preceding paragraphs or in any amendments to
this Section hereafter enacted, beginning on the first day of
the first calendar month to occur on or after August 26, 2014
(the effective date of Public Act 98-1098), each month, from
the collections made under Section 9 of the Use Tax Act,
Section 9 of the Service Use Tax Act, Section 9 of the Service
Occupation Tax Act, and Section 3 of the Retailers' Occupation
Tax Act, the Department shall pay into the Tax Compliance and
Administration Fund, to be used, subject to appropriation, to
fund additional auditors and compliance personnel at the
Department of Revenue, an amount equal to 1/12 of 5% of 80% of
the cash receipts collected during the preceding fiscal year
by the Audit Bureau of the Department under the Use Tax Act,
the Service Use Tax Act, the Service Occupation Tax Act, the

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Retailers' Occupation Tax Act, and associated local occupation
and use taxes administered by the Department.
Subject to payments of amounts into the Build Illinois
Fund, the McCormick Place Expansion Project Fund, the Illinois
Tax Increment Fund, and the Tax Compliance and Administration
Fund as provided in this Section, beginning on July 1, 2018 the
Department shall pay each month into the Downstate Public
Transportation Fund the moneys required to be so paid under
Section 2-3 of the Downstate Public Transportation Act.
Subject to successful execution and delivery of a
public-private agreement between the public agency and private
entity and completion of the civic build, beginning on July 1,
2023, of the remainder of the moneys received by the
Department under the Use Tax Act, the Service Use Tax Act, the
Service Occupation Tax Act, and this Act, the Department shall
deposit the following specified deposits in the aggregate from
collections under the Use Tax Act, the Service Use Tax Act, the
Service Occupation Tax Act, and the Retailers' Occupation Tax
Act, as required under Section 8.25g of the State Finance Act
for distribution consistent with the Public-Private
Partnership for Civic and Transit Infrastructure Project Act.
The moneys received by the Department pursuant to this Act and
required to be deposited into the Civic and Transit
Infrastructure Fund are subject to the pledge, claim, and
charge set forth in Section 25-55 of the Public-Private
Partnership for Civic and Transit Infrastructure Project Act.

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As used in this paragraph, "civic build", "private entity",
"public-private agreement", and "public agency" have the
meanings provided in Section 25-10 of the Public-Private
Partnership for Civic and Transit Infrastructure Project Act.
Fiscal Year............................Total Deposit
2024....................................$200,000,000
2025....................................$206,000,000
2026....................................$212,200,000
2027....................................$218,500,000
2028....................................$225,100,000
2029....................................$288,700,000
2030....................................$298,900,000
2031....................................$309,300,000
2032....................................$320,100,000
2033....................................$331,200,000
2034....................................$341,200,000
2035....................................$351,400,000
2036....................................$361,900,000
2037....................................$372,800,000
2038....................................$384,000,000
2039....................................$395,500,000
2040....................................$407,400,000
2041....................................$419,600,000
2042....................................$432,200,000
2043....................................$445,100,000
Beginning July 1, 2021 and until July 1, 2022, subject to

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the payment of amounts into the State and Local Sales Tax
Reform Fund, the Build Illinois Fund, the McCormick Place
Expansion Project Fund, the Illinois Tax Increment Fund, and
the Tax Compliance and Administration Fund as provided in this
Section, the Department shall pay each month into the Road
Fund the amount estimated to represent 16% of the net revenue
realized from the taxes imposed on motor fuel and gasohol.
Beginning July 1, 2022 and until July 1, 2023, subject to the
payment of amounts into the State and Local Sales Tax Reform
Fund, the Build Illinois Fund, the McCormick Place Expansion
Project Fund, the Illinois Tax Increment Fund, and the Tax
Compliance and Administration Fund as provided in this
Section, the Department shall pay each month into the Road
Fund the amount estimated to represent 32% of the net revenue
realized from the taxes imposed on motor fuel and gasohol.
Beginning July 1, 2023 and until July 1, 2024, subject to the
payment of amounts into the State and Local Sales Tax Reform
Fund, the Build Illinois Fund, the McCormick Place Expansion
Project Fund, the Illinois Tax Increment Fund, and the Tax
Compliance and Administration Fund as provided in this
Section, the Department shall pay each month into the Road
Fund the amount estimated to represent 48% of the net revenue
realized from the taxes imposed on motor fuel and gasohol.
Beginning July 1, 2024 and until July 1, 2025, subject to the
payment of amounts into the State and Local Sales Tax Reform
Fund, the Build Illinois Fund, the McCormick Place Expansion

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Project Fund, the Illinois Tax Increment Fund, and the Tax
Compliance and Administration Fund as provided in this
Section, the Department shall pay each month into the Road
Fund the amount estimated to represent 64% of the net revenue
realized from the taxes imposed on motor fuel and gasohol.
Beginning on July 1, 2025, subject to the payment of amounts
into the State and Local Sales Tax Reform Fund, the Build
Illinois Fund, the McCormick Place Expansion Project Fund, the
Illinois Tax Increment Fund, and the Tax Compliance and
Administration Fund as provided in this Section, the
Department shall pay each month into the Road Fund the amount
estimated to represent 80% of the net revenue realized from
the taxes imposed on motor fuel and gasohol. As used in this
paragraph "motor fuel" has the meaning given to that term in
Section 1.1 of the Motor Fuel Tax Law, and "gasohol" has the
meaning given to that term in Section 3-40 of this Act.
Of the remainder of the moneys received by the Department
pursuant to this Act, 75% thereof shall be paid into the State
Treasury and 25% shall be reserved in a special account and
used only for the transfer to the Common School Fund as part of
the monthly transfer from the General Revenue Fund in
accordance with Section 8a of the State Finance Act.
As soon as possible after the first day of each month, upon
certification of the Department of Revenue, the Comptroller
shall order transferred and the Treasurer shall transfer from
the General Revenue Fund to the Motor Fuel Tax Fund an amount

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equal to 1.7% of 80% of the net revenue realized under this Act
for the second preceding month. Beginning April 1, 2000, this
transfer is no longer required and shall not be made.
Net revenue realized for a month shall be the revenue
collected by the State pursuant to this Act, less the amount
paid out during that month as refunds to taxpayers for
overpayment of liability.
For greater simplicity of administration, manufacturers,
importers and wholesalers whose products are sold at retail in
Illinois by numerous retailers, and who wish to do so, may
assume the responsibility for accounting and paying to the
Department all tax accruing under this Act with respect to
such sales, if the retailers who are affected do not make
written objection to the Department to this arrangement.
(Source: P.A. 102-700, Article 60, Section 60-15, eff.
4-19-22; 102-700, Article 65, Section 65-5, eff. 4-19-22;
102-1019, eff. 1-1-23; 103-154, eff. 6-30-23; 103-363, eff.
7-28-23; 103-592, Article 75, Section 75-5, eff. 1-1-25;
103-592, Article 110, Section 110-5, eff. 6-7-24; revised
7-22-24.)
Section 40. The Retailers' Occupation Tax Act is amended
by changing Sections 2-27 and 3 as follows:
(35 ILCS 120/2-27)
Sec. 2-27. Prepaid telephone calling arrangements.

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"Prepaid telephone calling arrangements" mean the right to
exclusively purchase telephone or telecommunications services
that must be paid for in advance and enable the origination of
one or more intrastate, interstate, or international telephone
calls or other telecommunications using an access number, an
authorization code, or both, whether manually or
electronically dialed, for which payment to a retailer must be
made in advance, provided that, unless recharged, no further
service is provided once that prepaid amount of service has
been consumed, and provided further that, on and after January
1, 2025, the telephone or telecommunications services included
in such arrangement are obtained through the purchase of a
preloaded phone, calling card, or other item of tangible
personal property. Prepaid telephone calling arrangements
include the recharge of a prepaid calling arrangement if and
only if, on and after January 1, 2025, the additional
telephone or telecommunications services included in the
recharge are obtained through the purchase of a preloaded
phone, calling card, or other item of tangible personal
property. For purposes of this Section, "recharge" means the
purchase of additional prepaid telephone or telecommunications
services whether or not the purchaser acquires a different
access number or authorization code. For purposes of this
Section, "telecommunications" means that term as defined in
Section 2 of the Telecommunications Excise Tax Act. "Prepaid
telephone calling arrangement" does not include an arrangement

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whereby the service provider reflects the amount of the
purchase as a credit on an account for a customer under an
existing subscription plan, nor, on and after January 1, 2025,
does it include a recharge that is not obtained through the
purchase of a preloaded phone, calling card, or other item of
tangible personal property.
(Source: P.A. 103-781, eff. 8-5-24.)
(35 ILCS 120/3)
(Text of Section before amendment by P.A. 103-592, Article
75, Section 75-20)
Sec. 3. Except as provided in this Section, on or before
the twentieth day of each calendar month, every person engaged
in the business of selling tangible personal property at
retail in this State during the preceding calendar month shall
file a return with the Department, stating:
1. The name of the seller;
2. His residence address and the address of his
principal place of business and the address of the
principal place of business (if that is a different
address) from which he engages in the business of selling
tangible personal property at retail in this State;
3. Total amount of receipts received by him during the
preceding calendar month or quarter, as the case may be,
from sales of tangible personal property, and from
services furnished, by him during such preceding calendar

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month or quarter;
4. Total amount received by him during the preceding
calendar month or quarter on charge and time sales of
tangible personal property, and from services furnished,
by him prior to the month or quarter for which the return
is filed;
5. Deductions allowed by law;
6. Gross receipts which were received by him during
the preceding calendar month or quarter and upon the basis
of which the tax is imposed, including gross receipts on
food for human consumption that is to be consumed off the
premises where it is sold (other than alcoholic beverages,
food consisting of or infused with adult use cannabis,
soft drinks, and food that has been prepared for immediate
consumption) which were received during the preceding
calendar month or quarter and upon which tax would have
been due but for the 0% rate imposed under Public Act
102-700;
7. The amount of credit provided in Section 2d of this
Act;
8. The amount of tax due, including the amount of tax
that would have been due on food for human consumption
that is to be consumed off the premises where it is sold
(other than alcoholic beverages, food consisting of or
infused with adult use cannabis, soft drinks, and food
that has been prepared for immediate consumption) but for

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the 0% rate imposed under Public Act 102-700;
9. The signature of the taxpayer; and
10. Such other reasonable information as the
Department may require.
On and after January 1, 2018, except for returns required
to be filed prior to January 1, 2023 for motor vehicles,
watercraft, aircraft, and trailers that are required to be
registered with an agency of this State, with respect to
retailers whose annual gross receipts average $20,000 or more,
all returns required to be filed pursuant to this Act shall be
filed electronically. On and after January 1, 2023, with
respect to retailers whose annual gross receipts average
$20,000 or more, all returns required to be filed pursuant to
this Act, including, but not limited to, returns for motor
vehicles, watercraft, aircraft, and trailers that are required
to be registered with an agency of this State, shall be filed
electronically. Retailers who demonstrate that they do not
have access to the Internet or demonstrate hardship in filing
electronically may petition the Department to waive the
electronic filing requirement.
If a taxpayer fails to sign a return within 30 days after
the proper notice and demand for signature by the Department,
the return shall be considered valid and any amount shown to be
due on the return shall be deemed assessed.
Each return shall be accompanied by the statement of
prepaid tax issued pursuant to Section 2e for which credit is

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claimed.
Prior to October 1, 2003 and on and after September 1,
2004, a retailer may accept a Manufacturer's Purchase Credit
certification from a purchaser in satisfaction of Use Tax as
provided in Section 3-85 of the Use Tax Act if the purchaser
provides the appropriate documentation as required by Section
3-85 of the Use Tax Act. A Manufacturer's Purchase Credit
certification, accepted by a retailer prior to October 1, 2003
and on and after September 1, 2004 as provided in Section 3-85
of the Use Tax Act, may be used by that retailer to satisfy
Retailers' Occupation Tax liability in the amount claimed in
the certification, not to exceed 6.25% of the receipts subject
to tax from a qualifying purchase. A Manufacturer's Purchase
Credit reported on any original or amended return filed under
this Act after October 20, 2003 for reporting periods prior to
September 1, 2004 shall be disallowed. Manufacturer's Purchase
Credit reported on annual returns due on or after January 1,
2005 will be disallowed for periods prior to September 1,
2004. No Manufacturer's Purchase Credit may be used after
September 30, 2003 through August 31, 2004 to satisfy any tax
liability imposed under this Act, including any audit
liability.
Beginning on July 1, 2023 and through December 31, 2032, a
retailer may accept a Sustainable Aviation Fuel Purchase
Credit certification from an air common carrier-purchaser in
satisfaction of Use Tax on aviation fuel as provided in

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Section 3-87 of the Use Tax Act if the purchaser provides the
appropriate documentation as required by Section 3-87 of the
Use Tax Act. A Sustainable Aviation Fuel Purchase Credit
certification accepted by a retailer in accordance with this
paragraph may be used by that retailer to satisfy Retailers'
Occupation Tax liability (but not in satisfaction of penalty
or interest) in the amount claimed in the certification, not
to exceed 6.25% of the receipts subject to tax from a sale of
aviation fuel. In addition, for a sale of aviation fuel to
qualify to earn the Sustainable Aviation Fuel Purchase Credit,
retailers must retain in their books and records a
certification from the producer of the aviation fuel that the
aviation fuel sold by the retailer and for which a sustainable
aviation fuel purchase credit was earned meets the definition
of sustainable aviation fuel under Section 3-87 of the Use Tax
Act. The documentation must include detail sufficient for the
Department to determine the number of gallons of sustainable
aviation fuel sold.
The Department may require returns to be filed on a
quarterly basis. If so required, a return for each calendar
quarter shall be filed on or before the twentieth day of the
calendar month following the end of such calendar quarter. The
taxpayer shall also file a return with the Department for each
of the first 2 months of each calendar quarter, on or before
the twentieth day of the following calendar month, stating:
1. The name of the seller;

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2. The address of the principal place of business from
which he engages in the business of selling tangible
personal property at retail in this State;
3. The total amount of taxable receipts received by
him during the preceding calendar month from sales of
tangible personal property by him during such preceding
calendar month, including receipts from charge and time
sales, but less all deductions allowed by law;
4. The amount of credit provided in Section 2d of this
Act;
5. The amount of tax due; and
6. Such other reasonable information as the Department
may require.
Every person engaged in the business of selling aviation
fuel at retail in this State during the preceding calendar
month shall, instead of reporting and paying tax as otherwise
required by this Section, report and pay such tax on a separate
aviation fuel tax return. The requirements related to the
return shall be as otherwise provided in this Section.
Notwithstanding any other provisions of this Act to the
contrary, retailers selling aviation fuel shall file all
aviation fuel tax returns and shall make all aviation fuel tax
payments by electronic means in the manner and form required
by the Department. For purposes of this Section, "aviation
fuel" means jet fuel and aviation gasoline.
Beginning on October 1, 2003, any person who is not a

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licensed distributor, importing distributor, or manufacturer,
as defined in the Liquor Control Act of 1934, but is engaged in
the business of selling, at retail, alcoholic liquor shall
file a statement with the Department of Revenue, in a format
and at a time prescribed by the Department, showing the total
amount paid for alcoholic liquor purchased during the
preceding month and such other information as is reasonably
required by the Department. The Department may adopt rules to
require that this statement be filed in an electronic or
telephonic format. Such rules may provide for exceptions from
the filing requirements of this paragraph. For the purposes of
this paragraph, the term "alcoholic liquor" shall have the
meaning prescribed in the Liquor Control Act of 1934.
Beginning on October 1, 2003, every distributor, importing
distributor, and manufacturer of alcoholic liquor as defined
in the Liquor Control Act of 1934, shall file a statement with
the Department of Revenue, no later than the 10th day of the
month for the preceding month during which transactions
occurred, by electronic means, showing the total amount of
gross receipts from the sale of alcoholic liquor sold or
distributed during the preceding month to purchasers;
identifying the purchaser to whom it was sold or distributed;
the purchaser's tax registration number; and such other
information reasonably required by the Department. A
distributor, importing distributor, or manufacturer of
alcoholic liquor must personally deliver, mail, or provide by

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electronic means to each retailer listed on the monthly
statement a report containing a cumulative total of that
distributor's, importing distributor's, or manufacturer's
total sales of alcoholic liquor to that retailer no later than
the 10th day of the month for the preceding month during which
the transaction occurred. The distributor, importing
distributor, or manufacturer shall notify the retailer as to
the method by which the distributor, importing distributor, or
manufacturer will provide the sales information. If the
retailer is unable to receive the sales information by
electronic means, the distributor, importing distributor, or
manufacturer shall furnish the sales information by personal
delivery or by mail. For purposes of this paragraph, the term
"electronic means" includes, but is not limited to, the use of
a secure Internet website, e-mail, or facsimile.
If a total amount of less than $1 is payable, refundable or
creditable, such amount shall be disregarded if it is less
than 50 cents and shall be increased to $1 if it is 50 cents or
more.
Notwithstanding any other provision of this Act to the
contrary, retailers subject to tax on cannabis shall file all
cannabis tax returns and shall make all cannabis tax payments
by electronic means in the manner and form required by the
Department.
Beginning October 1, 1993, a taxpayer who has an average
monthly tax liability of $150,000 or more shall make all

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payments required by rules of the Department by electronic
funds transfer. Beginning October 1, 1994, a taxpayer who has
an average monthly tax liability of $100,000 or more shall
make all payments required by rules of the Department by
electronic funds transfer. Beginning October 1, 1995, a
taxpayer who has an average monthly tax liability of $50,000
or more shall make all payments required by rules of the
Department by electronic funds transfer. Beginning October 1,
2000, a taxpayer who has an annual tax liability of $200,000 or
more shall make all payments required by rules of the
Department by electronic funds transfer. The term "annual tax
liability" shall be the sum of the taxpayer's liabilities
under this Act, and under all other State and local occupation
and use tax laws administered by the Department, for the
immediately preceding calendar year. The term "average monthly
tax liability" shall be the sum of the taxpayer's liabilities
under this Act, and under all other State and local occupation
and use tax laws administered by the Department, for the
immediately preceding calendar year divided by 12. Beginning
on October 1, 2002, a taxpayer who has a tax liability in the
amount set forth in subsection (b) of Section 2505-210 of the
Department of Revenue Law shall make all payments required by
rules of the Department by electronic funds transfer.
Before August 1 of each year beginning in 1993, the
Department shall notify all taxpayers required to make
payments by electronic funds transfer. All taxpayers required

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to make payments by electronic funds transfer shall make those
payments for a minimum of one year beginning on October 1.
Any taxpayer not required to make payments by electronic
funds transfer may make payments by electronic funds transfer
with the permission of the Department.
All taxpayers required to make payment by electronic funds
transfer and any taxpayers authorized to voluntarily make
payments by electronic funds transfer shall make those
payments in the manner authorized by the Department.
The Department shall adopt such rules as are necessary to
effectuate a program of electronic funds transfer and the
requirements of this Section.
Any amount which is required to be shown or reported on any
return or other document under this Act shall, if such amount
is not a whole-dollar amount, be increased to the nearest
whole-dollar amount in any case where the fractional part of a
dollar is 50 cents or more, and decreased to the nearest
whole-dollar amount where the fractional part of a dollar is
less than 50 cents.
If the retailer is otherwise required to file a monthly
return and if the retailer's average monthly tax liability to
the Department does not exceed $200, the Department may
authorize his returns to be filed on a quarter annual basis,
with the return for January, February, and March of a given
year being due by April 20 of such year; with the return for
April, May, and June of a given year being due by July 20 of

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such year; with the return for July, August, and September of a
given year being due by October 20 of such year, and with the
return for October, November, and December of a given year
being due by January 20 of the following year.
If the retailer is otherwise required to file a monthly or
quarterly return and if the retailer's average monthly tax
liability with the Department does not exceed $50, the
Department may authorize his returns to be filed on an annual
basis, with the return for a given year being due by January 20
of the following year.
Such quarter annual and annual returns, as to form and
substance, shall be subject to the same requirements as
monthly returns.
Notwithstanding any other provision in this Act concerning
the time within which a retailer may file his return, in the
case of any retailer who ceases to engage in a kind of business
which makes him responsible for filing returns under this Act,
such retailer shall file a final return under this Act with the
Department not more than one month after discontinuing such
business.
Where the same person has more than one business
registered with the Department under separate registrations
under this Act, such person may not file each return that is
due as a single return covering all such registered
businesses, but shall file separate returns for each such
registered business.

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In addition, with respect to motor vehicles, watercraft,
aircraft, and trailers that are required to be registered with
an agency of this State, except as otherwise provided in this
Section, every retailer selling this kind of tangible personal
property shall file, with the Department, upon a form to be
prescribed and supplied by the Department, a separate return
for each such item of tangible personal property which the
retailer sells, except that if, in the same transaction, (i) a
retailer of aircraft, watercraft, motor vehicles, or trailers
transfers more than one aircraft, watercraft, motor vehicle,
or trailer to another aircraft, watercraft, motor vehicle
retailer, or trailer retailer for the purpose of resale or
(ii) a retailer of aircraft, watercraft, motor vehicles, or
trailers transfers more than one aircraft, watercraft, motor
vehicle, or trailer to a purchaser for use as a qualifying
rolling stock as provided in Section 2-5 of this Act, then that
seller may report the transfer of all aircraft, watercraft,
motor vehicles, or trailers involved in that transaction to
the Department on the same uniform invoice-transaction
reporting return form. For purposes of this Section,
"watercraft" means a Class 2, Class 3, or Class 4 watercraft as
defined in Section 3-2 of the Boat Registration and Safety
Act, a personal watercraft, or any boat equipped with an
inboard motor.
In addition, with respect to motor vehicles, watercraft,
aircraft, and trailers that are required to be registered with

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an agency of this State, every person who is engaged in the
business of leasing or renting such items and who, in
connection with such business, sells any such item to a
retailer for the purpose of resale is, notwithstanding any
other provision of this Section to the contrary, authorized to
meet the return-filing requirement of this Act by reporting
the transfer of all the aircraft, watercraft, motor vehicles,
or trailers transferred for resale during a month to the
Department on the same uniform invoice-transaction reporting
return form on or before the 20th of the month following the
month in which the transfer takes place. Notwithstanding any
other provision of this Act to the contrary, all returns filed
under this paragraph must be filed by electronic means in the
manner and form as required by the Department.
Any retailer who sells only motor vehicles, watercraft,
aircraft, or trailers that are required to be registered with
an agency of this State, so that all retailers' occupation tax
liability is required to be reported, and is reported, on such
transaction reporting returns and who is not otherwise
required to file monthly or quarterly returns, need not file
monthly or quarterly returns. However, those retailers shall
be required to file returns on an annual basis.
The transaction reporting return, in the case of motor
vehicles or trailers that are required to be registered with
an agency of this State, shall be the same document as the
Uniform Invoice referred to in Section 5-402 of the Illinois

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Vehicle Code and must show the name and address of the seller;
the name and address of the purchaser; the amount of the
selling price including the amount allowed by the retailer for
traded-in property, if any; the amount allowed by the retailer
for the traded-in tangible personal property, if any, to the
extent to which Section 1 of this Act allows an exemption for
the value of traded-in property; the balance payable after
deducting such trade-in allowance from the total selling
price; the amount of tax due from the retailer with respect to
such transaction; the amount of tax collected from the
purchaser by the retailer on such transaction (or satisfactory
evidence that such tax is not due in that particular instance,
if that is claimed to be the fact); the place and date of the
sale; a sufficient identification of the property sold; such
other information as is required in Section 5-402 of the
Illinois Vehicle Code, and such other information as the
Department may reasonably require.
The transaction reporting return in the case of watercraft
or aircraft must show the name and address of the seller; the
name and address of the purchaser; the amount of the selling
price including the amount allowed by the retailer for
traded-in property, if any; the amount allowed by the retailer
for the traded-in tangible personal property, if any, to the
extent to which Section 1 of this Act allows an exemption for
the value of traded-in property; the balance payable after
deducting such trade-in allowance from the total selling

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price; the amount of tax due from the retailer with respect to
such transaction; the amount of tax collected from the
purchaser by the retailer on such transaction (or satisfactory
evidence that such tax is not due in that particular instance,
if that is claimed to be the fact); the place and date of the
sale, a sufficient identification of the property sold, and
such other information as the Department may reasonably
require.
Such transaction reporting return shall be filed not later
than 20 days after the day of delivery of the item that is
being sold, but may be filed by the retailer at any time sooner
than that if he chooses to do so. The transaction reporting
return and tax remittance or proof of exemption from the
Illinois use tax may be transmitted to the Department by way of
the State agency with which, or State officer with whom the
tangible personal property must be titled or registered (if
titling or registration is required) if the Department and
such agency or State officer determine that this procedure
will expedite the processing of applications for title or
registration.
With each such transaction reporting return, the retailer
shall remit the proper amount of tax due (or shall submit
satisfactory evidence that the sale is not taxable if that is
the case), to the Department or its agents, whereupon the
Department shall issue, in the purchaser's name, a use tax
receipt (or a certificate of exemption if the Department is

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satisfied that the particular sale is tax exempt) which such
purchaser may submit to the agency with which, or State
officer with whom, he must title or register the tangible
personal property that is involved (if titling or registration
is required) in support of such purchaser's application for an
Illinois certificate or other evidence of title or
registration to such tangible personal property.
No retailer's failure or refusal to remit tax under this
Act precludes a user, who has paid the proper tax to the
retailer, from obtaining his certificate of title or other
evidence of title or registration (if titling or registration
is required) upon satisfying the Department that such user has
paid the proper tax (if tax is due) to the retailer. The
Department shall adopt appropriate rules to carry out the
mandate of this paragraph.
If the user who would otherwise pay tax to the retailer
wants the transaction reporting return filed and the payment
of the tax or proof of exemption made to the Department before
the retailer is willing to take these actions and such user has
not paid the tax to the retailer, such user may certify to the
fact of such delay by the retailer and may (upon the Department
being satisfied of the truth of such certification) transmit
the information required by the transaction reporting return
and the remittance for tax or proof of exemption directly to
the Department and obtain his tax receipt or exemption
determination, in which event the transaction reporting return

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and tax remittance (if a tax payment was required) shall be
credited by the Department to the proper retailer's account
with the Department, but without the vendor's discount
provided for in this Section being allowed. When the user pays
the tax directly to the Department, he shall pay the tax in the
same amount and in the same form in which it would be remitted
if the tax had been remitted to the Department by the retailer.
On and after January 1, 2025, with respect to the lease of
trailers, other than semitrailers as defined in Section 1-187
of the Illinois Vehicle Code, that are required to be
registered with an agency of this State and that are subject to
the tax on lease receipts under this Act, notwithstanding any
other provision of this Act to the contrary, for the purpose of
reporting and paying tax under this Act on those lease
receipts, lessors shall file returns in addition to and
separate from the transaction reporting return. Lessors shall
file those lease returns and make payment to the Department by
electronic means on or before the 20th day of each month
following the month, quarter, or year, as applicable, in which
lease receipts were received. All lease receipts received by
the lessor from the lease of those trailers during the same
reporting period shall be reported and tax shall be paid on a
single return form to be prescribed by the Department.
Refunds made by the seller during the preceding return
period to purchasers, on account of tangible personal property
returned to the seller, shall be allowed as a deduction under

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subdivision 5 of his monthly or quarterly return, as the case
may be, in case the seller had theretofore included the
receipts from the sale of such tangible personal property in a
return filed by him and had paid the tax imposed by this Act
with respect to such receipts.
Where the seller is a corporation, the return filed on
behalf of such corporation shall be signed by the president,
vice-president, secretary, or treasurer or by the properly
accredited agent of such corporation.
Where the seller is a limited liability company, the
return filed on behalf of the limited liability company shall
be signed by a manager, member, or properly accredited agent
of the limited liability company.
Except as provided in this Section, the retailer filing
the return under this Section shall, at the time of filing such
return, pay to the Department the amount of tax imposed by this
Act less a discount of 2.1% prior to January 1, 1990 and 1.75%
on and after January 1, 1990, or $5 per calendar year,
whichever is greater, which is allowed to reimburse the
retailer for the expenses incurred in keeping records,
preparing and filing returns, remitting the tax and supplying
data to the Department on request. On and after January 1,
2021, a certified service provider, as defined in the Leveling
the Playing Field for Illinois Retail Act, filing the return
under this Section on behalf of a remote retailer shall, at the
time of such return, pay to the Department the amount of tax

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imposed by this Act less a discount of 1.75%. A remote retailer
using a certified service provider to file a return on its
behalf, as provided in the Leveling the Playing Field for
Illinois Retail Act, is not eligible for the discount.
Beginning with returns due on or after January 1, 2025, the
vendor's discount allowed in this Section, the Service
Occupation Tax Act, the Use Tax Act, and the Service Use Tax
Act, including any local tax administered by the Department
and reported on the same return, shall not exceed $1,000 per
month in the aggregate for returns other than transaction
returns filed during the month. When determining the discount
allowed under this Section, retailers shall include the amount
of tax that would have been due at the 1% rate but for the 0%
rate imposed under Public Act 102-700. When determining the
discount allowed under this Section, retailers shall include
the amount of tax that would have been due at the 6.25% rate
but for the 1.25% rate imposed on sales tax holiday items under
Public Act 102-700. The discount under this Section is not
allowed for the 1.25% portion of taxes paid on aviation fuel
that is subject to the revenue use requirements of 49 U.S.C.
47107(b) and 49 U.S.C. 47133. Any prepayment made pursuant to
Section 2d of this Act shall be included in the amount on which
such discount is computed. In the case of retailers who report
and pay the tax on a transaction by transaction basis, as
provided in this Section, such discount shall be taken with
each such tax remittance instead of when such retailer files

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his periodic return, but, beginning with returns due on or
after January 1, 2025, the vendor's discount allowed under
this Section and the Use Tax Act, including any local tax
administered by the Department and reported on the same
transaction return, shall not exceed $1,000 per month for all
transaction returns filed during the month. The discount
allowed under this Section is allowed only for returns that
are filed in the manner required by this Act. The Department
may disallow the discount for retailers whose certificate of
registration is revoked at the time the return is filed, but
only if the Department's decision to revoke the certificate of
registration has become final.
Before October 1, 2000, if the taxpayer's average monthly
tax liability to the Department under this Act, the Use Tax
Act, the Service Occupation Tax Act, and the Service Use Tax
Act, excluding any liability for prepaid sales tax to be
remitted in accordance with Section 2d of this Act, was
$10,000 or more during the preceding 4 complete calendar
quarters, he shall file a return with the Department each
month by the 20th day of the month next following the month
during which such tax liability is incurred and shall make
payments to the Department on or before the 7th, 15th, 22nd and
last day of the month during which such liability is incurred.
On and after October 1, 2000, if the taxpayer's average
monthly tax liability to the Department under this Act, the
Use Tax Act, the Service Occupation Tax Act, and the Service

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Use Tax Act, excluding any liability for prepaid sales tax to
be remitted in accordance with Section 2d of this Act, was
$20,000 or more during the preceding 4 complete calendar
quarters, he shall file a return with the Department each
month by the 20th day of the month next following the month
during which such tax liability is incurred and shall make
payment to the Department on or before the 7th, 15th, 22nd and
last day of the month during which such liability is incurred.
If the month during which such tax liability is incurred began
prior to January 1, 1985, each payment shall be in an amount
equal to 1/4 of the taxpayer's actual liability for the month
or an amount set by the Department not to exceed 1/4 of the
average monthly liability of the taxpayer to the Department
for the preceding 4 complete calendar quarters (excluding the
month of highest liability and the month of lowest liability
in such 4 quarter period). If the month during which such tax
liability is incurred begins on or after January 1, 1985 and
prior to January 1, 1987, each payment shall be in an amount
equal to 22.5% of the taxpayer's actual liability for the
month or 27.5% of the taxpayer's liability for the same
calendar month of the preceding year. If the month during
which such tax liability is incurred begins on or after
January 1, 1987 and prior to January 1, 1988, each payment
shall be in an amount equal to 22.5% of the taxpayer's actual
liability for the month or 26.25% of the taxpayer's liability
for the same calendar month of the preceding year. If the month

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during which such tax liability is incurred begins on or after
January 1, 1988, and prior to January 1, 1989, or begins on or
after January 1, 1996, each payment shall be in an amount equal
to 22.5% of the taxpayer's actual liability for the month or
25% of the taxpayer's liability for the same calendar month of
the preceding year. If the month during which such tax
liability is incurred begins on or after January 1, 1989, and
prior to January 1, 1996, each payment shall be in an amount
equal to 22.5% of the taxpayer's actual liability for the
month or 25% of the taxpayer's liability for the same calendar
month of the preceding year or 100% of the taxpayer's actual
liability for the quarter monthly reporting period. The amount
of such quarter monthly payments shall be credited against the
final tax liability of the taxpayer's return for that month.
Before October 1, 2000, once applicable, the requirement of
the making of quarter monthly payments to the Department by
taxpayers having an average monthly tax liability of $10,000
or more as determined in the manner provided above shall
continue until such taxpayer's average monthly liability to
the Department during the preceding 4 complete calendar
quarters (excluding the month of highest liability and the
month of lowest liability) is less than $9,000, or until such
taxpayer's average monthly liability to the Department as
computed for each calendar quarter of the 4 preceding complete
calendar quarter period is less than $10,000. However, if a
taxpayer can show the Department that a substantial change in

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the taxpayer's business has occurred which causes the taxpayer
to anticipate that his average monthly tax liability for the
reasonably foreseeable future will fall below the $10,000
threshold stated above, then such taxpayer may petition the
Department for a change in such taxpayer's reporting status.
On and after October 1, 2000, once applicable, the requirement
of the making of quarter monthly payments to the Department by
taxpayers having an average monthly tax liability of $20,000
or more as determined in the manner provided above shall
continue until such taxpayer's average monthly liability to
the Department during the preceding 4 complete calendar
quarters (excluding the month of highest liability and the
month of lowest liability) is less than $19,000 or until such
taxpayer's average monthly liability to the Department as
computed for each calendar quarter of the 4 preceding complete
calendar quarter period is less than $20,000. However, if a
taxpayer can show the Department that a substantial change in
the taxpayer's business has occurred which causes the taxpayer
to anticipate that his average monthly tax liability for the
reasonably foreseeable future will fall below the $20,000
threshold stated above, then such taxpayer may petition the
Department for a change in such taxpayer's reporting status.
The Department shall change such taxpayer's reporting status
unless it finds that such change is seasonal in nature and not
likely to be long term. Quarter monthly payment status shall
be determined under this paragraph as if the rate reduction to

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0% in Public Act 102-700 on food for human consumption that is
to be consumed off the premises where it is sold (other than
alcoholic beverages, food consisting of or infused with adult
use cannabis, soft drinks, and food that has been prepared for
immediate consumption) had not occurred. For quarter monthly
payments due under this paragraph on or after July 1, 2023 and
through June 30, 2024, "25% of the taxpayer's liability for
the same calendar month of the preceding year" shall be
determined as if the rate reduction to 0% in Public Act 102-700
had not occurred. Quarter monthly payment status shall be
determined under this paragraph as if the rate reduction to
1.25% in Public Act 102-700 on sales tax holiday items had not
occurred. For quarter monthly payments due on or after July 1,
2023 and through June 30, 2024, "25% of the taxpayer's
liability for the same calendar month of the preceding year"
shall be determined as if the rate reduction to 1.25% in Public
Act 102-700 on sales tax holiday items had not occurred. If any
such quarter monthly payment is not paid at the time or in the
amount required by this Section, then the taxpayer shall be
liable for penalties and interest on the difference between
the minimum amount due as a payment and the amount of such
quarter monthly payment actually and timely paid, except
insofar as the taxpayer has previously made payments for that
month to the Department in excess of the minimum payments
previously due as provided in this Section. The Department
shall make reasonable rules and regulations to govern the

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quarter monthly payment amount and quarter monthly payment
dates for taxpayers who file on other than a calendar monthly
basis.
The provisions of this paragraph apply before October 1,
2001. Without regard to whether a taxpayer is required to make
quarter monthly payments as specified above, any taxpayer who
is required by Section 2d of this Act to collect and remit
prepaid taxes and has collected prepaid taxes which average in
excess of $25,000 per month during the preceding 2 complete
calendar quarters, shall file a return with the Department as
required by Section 2f and shall make payments to the
Department on or before the 7th, 15th, 22nd and last day of the
month during which such liability is incurred. If the month
during which such tax liability is incurred began prior to
September 1, 1985 (the effective date of Public Act 84-221),
each payment shall be in an amount not less than 22.5% of the
taxpayer's actual liability under Section 2d. If the month
during which such tax liability is incurred begins on or after
January 1, 1986, each payment shall be in an amount equal to
22.5% of the taxpayer's actual liability for the month or
27.5% of the taxpayer's liability for the same calendar month
of the preceding calendar year. If the month during which such
tax liability is incurred begins on or after January 1, 1987,
each payment shall be in an amount equal to 22.5% of the
taxpayer's actual liability for the month or 26.25% of the
taxpayer's liability for the same calendar month of the

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

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preceding year. The amount of the quarter monthly payments
shall be credited against the final tax liability of the
taxpayer's return for that month filed under this Section or
Section 2f, as the case may be. Once applicable, the
requirement of the making of quarter monthly payments to the
Department pursuant to this paragraph shall continue until the
taxpayer's average monthly prepaid tax collections during the
preceding 4 complete calendar quarters (excluding the month of
highest liability and the month of lowest liability) is less
than $19,000 or until such taxpayer's average monthly
liability to the Department as computed for each calendar
quarter of the 4 preceding complete calendar quarters is less
than $20,000. If any such quarter monthly payment is not paid
at the time or in the amount required, the taxpayer shall be
liable for penalties and interest on such difference, except
insofar as the taxpayer has previously made payments for that
month in excess of the minimum payments previously due.
If any payment provided for in this Section exceeds the
taxpayer's liabilities under this Act, the Use Tax Act, the
Service Occupation Tax Act, and the Service Use Tax Act, as
shown on an original monthly return, the Department shall, if
requested by the taxpayer, issue to the taxpayer a credit
memorandum no later than 30 days after the date of payment. The
credit evidenced by such credit memorandum may be assigned by
the taxpayer to a similar taxpayer under this Act, the Use Tax
Act, the Service Occupation Tax Act, or the Service Use Tax

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Act, in accordance with reasonable rules and regulations to be
prescribed by the Department. If no such request is made, the
taxpayer may credit such excess payment against tax liability
subsequently to be remitted to the Department under this Act,
the Use Tax Act, the Service Occupation Tax Act, or the Service
Use Tax Act, in accordance with reasonable rules and
regulations prescribed by the Department. If the Department
subsequently determined that all or any part of the credit
taken was not actually due to the taxpayer, the taxpayer's %
vendor's discount shall be reduced, if necessary, to reflect
the difference between the credit taken and that actually due,
and that taxpayer shall be liable for penalties and interest
on such difference.
If a retailer of motor fuel is entitled to a credit under
Section 2d of this Act which exceeds the taxpayer's liability
to the Department under this Act for the month for which the
taxpayer is filing a return, the Department shall issue the
taxpayer a credit memorandum for the excess.
Beginning January 1, 1990, each month the Department shall
pay into the Local Government Tax Fund, a special fund in the
State treasury which is hereby created, the net revenue
realized for the preceding month from the 1% tax imposed under
this Act.
Beginning January 1, 1990, each month the Department shall
pay into the County and Mass Transit District Fund, a special
fund in the State treasury which is hereby created, 4% of the

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net revenue realized for the preceding month from the 6.25%
general rate other than aviation fuel sold on or after
December 1, 2019. This exception for aviation fuel only
applies for so long as the revenue use requirements of 49
U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the State.
Beginning August 1, 2000, each month the Department shall
pay into the County and Mass Transit District Fund 20% of the
net revenue realized for the preceding month from the 1.25%
rate on the selling price of motor fuel and gasohol. If, in any
month, the tax on sales tax holiday items, as defined in
Section 2-8, is imposed at the rate of 1.25%, then the
Department shall pay 20% of the net revenue realized for that
month from the 1.25% rate on the selling price of sales tax
holiday items into the County and Mass Transit District Fund.
Beginning January 1, 1990, each month the Department shall
pay into the Local Government Tax Fund 16% of the net revenue
realized for the preceding month from the 6.25% general rate
on the selling price of tangible personal property other than
aviation fuel sold on or after December 1, 2019. This
exception for aviation fuel only applies for so long as the
revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
47133 are binding on the State.
For aviation fuel sold on or after December 1, 2019, each
month the Department shall pay into the State Aviation Program
Fund 20% of the net revenue realized for the preceding month
from the 6.25% general rate on the selling price of aviation

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fuel, less an amount estimated by the Department to be
required for refunds of the 20% portion of the tax on aviation
fuel under this Act, which amount shall be deposited into the
Aviation Fuel Sales Tax Refund Fund. The Department shall only
pay moneys into the State Aviation Program Fund and the
Aviation Fuel Sales Tax Refund Fund under this Act for so long
as the revenue use requirements of 49 U.S.C. 47107(b) and 49
U.S.C. 47133 are binding on the State.
Beginning August 1, 2000, each month the Department shall
pay into the Local Government Tax Fund 80% of the net revenue
realized for the preceding month from the 1.25% rate on the
selling price of motor fuel and gasohol. If, in any month, the
tax on sales tax holiday items, as defined in Section 2-8, is
imposed at the rate of 1.25%, then the Department shall pay 80%
of the net revenue realized for that month from the 1.25% rate
on the selling price of sales tax holiday items into the Local
Government Tax Fund.
Beginning October 1, 2009, each month the Department shall
pay into the Capital Projects Fund an amount that is equal to
an amount estimated by the Department to represent 80% of the
net revenue realized for the preceding month from the sale of
candy, grooming and hygiene products, and soft drinks that had
been taxed at a rate of 1% prior to September 1, 2009 but that
are now taxed at 6.25%.
Beginning July 1, 2011, each month the Department shall
pay into the Clean Air Act Permit Fund 80% of the net revenue

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realized for the preceding month from the 6.25% general rate
on the selling price of sorbents used in Illinois in the
process of sorbent injection as used to comply with the
Environmental Protection Act or the federal Clean Air Act, but
the total payment into the Clean Air Act Permit Fund under this
Act and the Use Tax Act shall not exceed $2,000,000 in any
fiscal year.
Beginning July 1, 2013, each month the Department shall
pay into the Underground Storage Tank Fund from the proceeds
collected under this Act, the Use Tax Act, the Service Use Tax
Act, and the Service Occupation Tax Act an amount equal to the
average monthly deficit in the Underground Storage Tank Fund
during the prior year, as certified annually by the Illinois
Environmental Protection Agency, but the total payment into
the Underground Storage Tank Fund under this Act, the Use Tax
Act, the Service Use Tax Act, and the Service Occupation Tax
Act shall not exceed $18,000,000 in any State fiscal year. As
used in this paragraph, the "average monthly deficit" shall be
equal to the difference between the average monthly claims for
payment by the fund and the average monthly revenues deposited
into the fund, excluding payments made pursuant to this
paragraph.
Beginning July 1, 2015, of the remainder of the moneys
received by the Department under the Use Tax Act, the Service
Use Tax Act, the Service Occupation Tax Act, and this Act, each
month the Department shall deposit $500,000 into the State

10300HB4636sam001 - 123 - LRB103 38201 HLH 76612 a
Crime Laboratory Fund.
Of the remainder of the moneys received by the Department
pursuant to this Act, (a) 1.75% thereof shall be paid into the
Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
and after July 1, 1989, 3.8% thereof shall be paid into the
Build Illinois Fund; provided, however, that if in any fiscal
year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
may be, of the moneys received by the Department and required
to be paid into the Build Illinois Fund pursuant to this Act,
Section 9 of the Use Tax Act, Section 9 of the Service Use Tax
Act, and Section 9 of the Service Occupation Tax Act, such Acts
being hereinafter called the "Tax Acts" and such aggregate of
2.2% or 3.8%, as the case may be, of moneys being hereinafter
called the "Tax Act Amount", and (2) the amount transferred to
the Build Illinois Fund from the State and Local Sales Tax
Reform Fund shall be less than the Annual Specified Amount (as
hereinafter defined), an amount equal to the difference shall
be immediately paid into the Build Illinois Fund from other
moneys received by the Department pursuant to the Tax Acts;
the "Annual Specified Amount" means the amounts specified
below for fiscal years 1986 through 1993:
Fiscal Year Annual Specified Amount
1986 $54,800,000
1987 $76,650,000
1988 $80,480,000
1989 $88,510,000

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1990 $115,330,000
1991 $145,470,000
1992 $182,730,000
1993 $206,520,000;
and means the Certified Annual Debt Service Requirement (as
defined in Section 13 of the Build Illinois Bond Act) or the
Tax Act Amount, whichever is greater, for fiscal year 1994 and
each fiscal year thereafter; and further provided, that if on
the last business day of any month the sum of (1) the Tax Act
Amount required to be deposited into the Build Illinois Bond
Account in the Build Illinois Fund during such month and (2)
the amount transferred to the Build Illinois Fund from the
State and Local Sales Tax Reform Fund shall have been less than
1/12 of the Annual Specified Amount, an amount equal to the
difference shall be immediately paid into the Build Illinois
Fund from other moneys received by the Department pursuant to
the Tax Acts; and, further provided, that in no event shall the
payments required under the preceding proviso result in
aggregate payments into the Build Illinois Fund pursuant to
this clause (b) for any fiscal year in excess of the greater of
(i) the Tax Act Amount or (ii) the Annual Specified Amount for
such fiscal year. The amounts payable into the Build Illinois
Fund under clause (b) of the first sentence in this paragraph
shall be payable only until such time as the aggregate amount
on deposit under each trust indenture securing Bonds issued
and outstanding pursuant to the Build Illinois Bond Act is

10300HB4636sam001 - 125 - LRB103 38201 HLH 76612 a
sufficient, taking into account any future investment income,
to fully provide, in accordance with such indenture, for the
defeasance of or the payment of the principal of, premium, if
any, and interest on the Bonds secured by such indenture and on
any Bonds expected to be issued thereafter and all fees and
costs payable with respect thereto, all as certified by the
Director of the Bureau of the Budget (now Governor's Office of
Management and Budget). If on the last business day of any
month in which Bonds are outstanding pursuant to the Build
Illinois Bond Act, the aggregate of moneys deposited in the
Build Illinois Bond Account in the Build Illinois Fund in such
month shall be less than the amount required to be transferred
in such month from the Build Illinois Bond Account to the Build
Illinois Bond Retirement and Interest Fund pursuant to Section
13 of the Build Illinois Bond Act, an amount equal to such
deficiency shall be immediately paid from other moneys
received by the Department pursuant to the Tax Acts to the
Build Illinois Fund; provided, however, that any amounts paid
to the Build Illinois Fund in any fiscal year pursuant to this
sentence shall be deemed to constitute payments pursuant to
clause (b) of the first sentence of this paragraph and shall
reduce the amount otherwise payable for such fiscal year
pursuant to that clause (b). The moneys received by the
Department pursuant to this Act and required to be deposited
into the Build Illinois Fund are subject to the pledge, claim
and charge set forth in Section 12 of the Build Illinois Bond

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Act.
Subject to payment of amounts into the Build Illinois Fund
as provided in the preceding paragraph or in any amendment
thereto hereafter enacted, the following specified monthly
installment of the amount requested in the certificate of the
Chairman of the Metropolitan Pier and Exposition Authority
provided under Section 8.25f of the State Finance Act, but not
in excess of sums designated as "Total Deposit", shall be
deposited in the aggregate from collections under Section 9 of
the Use Tax Act, Section 9 of the Service Use Tax Act, Section
9 of the Service Occupation Tax Act, and Section 3 of the
Retailers' Occupation Tax Act into the McCormick Place
Expansion Project Fund in the specified fiscal years.
Fiscal Year Total Deposit
1993 $0
1994 53,000,000
1995 58,000,000
1996 61,000,000
1997 64,000,000
1998 68,000,000
1999 71,000,000
2000 75,000,000
2001 80,000,000
2002 93,000,000
2003 99,000,000
2004 103,000,000

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2005 108,000,000
2006 113,000,000
2007 119,000,000
2008 126,000,000
2009 132,000,000
2010 139,000,000
2011 146,000,000
2012 153,000,000
2013 161,000,000
2014 170,000,000
2015 179,000,000
2016 189,000,000
2017 199,000,000
2018 210,000,000
2019 221,000,000
2020 233,000,000
2021 300,000,000
2022 300,000,000
2023 300,000,000
2024 300,000,000
2025 300,000,000
2026 300,000,000
2027 375,000,000
2028 375,000,000
2029 375,000,000
2030 375,000,000

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2031 375,000,000
2032 375,000,000
2033 375,000,000
2034 375,000,000
2035 375,000,000
2036 450,000,000
and
each fiscal year
thereafter that bonds
are outstanding under
Section 13.2 of the
Metropolitan Pier and
Exposition Authority Act,
but not after fiscal year 2060.
Beginning July 20, 1993 and in each month of each fiscal
year thereafter, one-eighth of the amount requested in the
certificate of the Chairman of the Metropolitan Pier and
Exposition Authority for that fiscal year, less the amount
deposited into the McCormick Place Expansion Project Fund by
the State Treasurer in the respective month under subsection
(g) of Section 13 of the Metropolitan Pier and Exposition
Authority Act, plus cumulative deficiencies in the deposits
required under this Section for previous months and years,
shall be deposited into the McCormick Place Expansion Project
Fund, until the full amount requested for the fiscal year, but
not in excess of the amount specified above as "Total

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Deposit", has been deposited.
Subject to payment of amounts into the Capital Projects
Fund, the Clean Air Act Permit Fund, the Build Illinois Fund,
and the McCormick Place Expansion Project Fund pursuant to the
preceding paragraphs or in any amendments thereto hereafter
enacted, for aviation fuel sold on or after December 1, 2019,
the Department shall each month deposit into the Aviation Fuel
Sales Tax Refund Fund an amount estimated by the Department to
be required for refunds of the 80% portion of the tax on
aviation fuel under this Act. The Department shall only
deposit moneys into the Aviation Fuel Sales Tax Refund Fund
under this paragraph for so long as the revenue use
requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
binding on the State.
Subject to payment of amounts into the Build Illinois Fund
and the McCormick Place Expansion Project Fund pursuant to the
preceding paragraphs or in any amendments thereto hereafter
enacted, beginning July 1, 1993 and ending on September 30,
2013, the Department shall each month pay into the Illinois
Tax Increment Fund 0.27% of 80% of the net revenue realized for
the preceding month from the 6.25% general rate on the selling
price of tangible personal property.
Subject to payment of amounts into the Build Illinois
Fund, the McCormick Place Expansion Project Fund, and the
Illinois Tax Increment Fund pursuant to the preceding
paragraphs or in any amendments to this Section hereafter

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enacted, beginning on the first day of the first calendar
month to occur on or after August 26, 2014 (the effective date
of Public Act 98-1098), each month, from the collections made
under Section 9 of the Use Tax Act, Section 9 of the Service
Use Tax Act, Section 9 of the Service Occupation Tax Act, and
Section 3 of the Retailers' Occupation Tax Act, the Department
shall pay into the Tax Compliance and Administration Fund, to
be used, subject to appropriation, to fund additional auditors
and compliance personnel at the Department of Revenue, an
amount equal to 1/12 of 5% of 80% of the cash receipts
collected during the preceding fiscal year by the Audit Bureau
of the Department under the Use Tax Act, the Service Use Tax
Act, the Service Occupation Tax Act, the Retailers' Occupation
Tax Act, and associated local occupation and use taxes
administered by the Department.
Subject to payments of amounts into the Build Illinois
Fund, the McCormick Place Expansion Project Fund, the Illinois
Tax Increment Fund, the Energy Infrastructure Fund, and the
Tax Compliance and Administration Fund as provided in this
Section, beginning on July 1, 2018 the Department shall pay
each month into the Downstate Public Transportation Fund the
moneys required to be so paid under Section 2-3 of the
Downstate Public Transportation Act.
Subject to successful execution and delivery of a
public-private agreement between the public agency and private
entity and completion of the civic build, beginning on July 1,

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2023, of the remainder of the moneys received by the
Department under the Use Tax Act, the Service Use Tax Act, the
Service Occupation Tax Act, and this Act, the Department shall
deposit the following specified deposits in the aggregate from
collections under the Use Tax Act, the Service Use Tax Act, the
Service Occupation Tax Act, and the Retailers' Occupation Tax
Act, as required under Section 8.25g of the State Finance Act
for distribution consistent with the Public-Private
Partnership for Civic and Transit Infrastructure Project Act.
The moneys received by the Department pursuant to this Act and
required to be deposited into the Civic and Transit
Infrastructure Fund are subject to the pledge, claim and
charge set forth in Section 25-55 of the Public-Private
Partnership for Civic and Transit Infrastructure Project Act.
As used in this paragraph, "civic build", "private entity",
"public-private agreement", and "public agency" have the
meanings provided in Section 25-10 of the Public-Private
Partnership for Civic and Transit Infrastructure Project Act.
Fiscal Year.............................Total Deposit
2024.....................................$200,000,000
2025....................................$206,000,000
2026....................................$212,200,000
2027....................................$218,500,000
2028....................................$225,100,000
2029....................................$288,700,000
2030....................................$298,900,000

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2031....................................$309,300,000
2032....................................$320,100,000
2033....................................$331,200,000
2034....................................$341,200,000
2035....................................$351,400,000
2036....................................$361,900,000
2037....................................$372,800,000
2038....................................$384,000,000
2039....................................$395,500,000
2040....................................$407,400,000
2041....................................$419,600,000
2042....................................$432,200,000
2043....................................$445,100,000
Beginning July 1, 2021 and until July 1, 2022, subject to
the payment of amounts into the County and Mass Transit
District Fund, the Local Government Tax Fund, the Build
Illinois Fund, the McCormick Place Expansion Project Fund, the
Illinois Tax Increment Fund, and the Tax Compliance and
Administration Fund as provided in this Section, the
Department shall pay each month into the Road Fund the amount
estimated to represent 16% of the net revenue realized from
the taxes imposed on motor fuel and gasohol. Beginning July 1,
2022 and until July 1, 2023, subject to the payment of amounts
into the County and Mass Transit District Fund, the Local
Government Tax Fund, the Build Illinois Fund, the McCormick
Place Expansion Project Fund, the Illinois Tax Increment Fund,

10300HB4636sam001 - 133 - LRB103 38201 HLH 76612 a
and the Tax Compliance and Administration Fund as provided in
this Section, the Department shall pay each month into the
Road Fund the amount estimated to represent 32% of the net
revenue realized from the taxes imposed on motor fuel and
gasohol. Beginning July 1, 2023 and until July 1, 2024,
subject to the payment of amounts into the County and Mass
Transit District Fund, the Local Government Tax Fund, the
Build Illinois Fund, the McCormick Place Expansion Project
Fund, the Illinois Tax Increment Fund, and the Tax Compliance
and Administration Fund as provided in this Section, the
Department shall pay each month into the Road Fund the amount
estimated to represent 48% of the net revenue realized from
the taxes imposed on motor fuel and gasohol. Beginning July 1,
2024 and until July 1, 2025, subject to the payment of amounts
into the County and Mass Transit District Fund, the Local
Government Tax Fund, the Build Illinois Fund, the McCormick
Place Expansion Project Fund, the Illinois Tax Increment Fund,
and the Tax Compliance and Administration Fund as provided in
this Section, the Department shall pay each month into the
Road Fund the amount estimated to represent 64% of the net
revenue realized from the taxes imposed on motor fuel and
gasohol. Beginning on July 1, 2025, subject to the payment of
amounts into the County and Mass Transit District Fund, the
Local Government Tax Fund, the Build Illinois Fund, the
McCormick Place Expansion Project Fund, the Illinois Tax
Increment Fund, and the Tax Compliance and Administration Fund

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as provided in this Section, the Department shall pay each
month into the Road Fund the amount estimated to represent 80%
of the net revenue realized from the taxes imposed on motor
fuel and gasohol. As used in this paragraph "motor fuel" has
the meaning given to that term in Section 1.1 of the Motor Fuel
Tax Law, and "gasohol" has the meaning given to that term in
Section 3-40 of the Use Tax Act.
Of the remainder of the moneys received by the Department
pursuant to this Act, 75% thereof shall be paid into the State
treasury and 25% shall be reserved in a special account and
used only for the transfer to the Common School Fund as part of
the monthly transfer from the General Revenue Fund in
accordance with Section 8a of the State Finance Act.
The Department may, upon separate written notice to a
taxpayer, require the taxpayer to prepare and file with the
Department on a form prescribed by the Department within not
less than 60 days after receipt of the notice an annual
information return for the tax year specified in the notice.
Such annual return to the Department shall include a statement
of gross receipts as shown by the retailer's last federal
income tax return. If the total receipts of the business as
reported in the federal income tax return do not agree with the
gross receipts reported to the Department of Revenue for the
same period, the retailer shall attach to his annual return a
schedule showing a reconciliation of the 2 amounts and the
reasons for the difference. The retailer's annual return to

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the Department shall also disclose the cost of goods sold by
the retailer during the year covered by such return, opening
and closing inventories of such goods for such year, costs of
goods used from stock or taken from stock and given away by the
retailer during such year, payroll information of the
retailer's business during such year and any additional
reasonable information which the Department deems would be
helpful in determining the accuracy of the monthly, quarterly,
or annual returns filed by such retailer as provided for in
this Section.
If the annual information return required by this Section
is not filed when and as required, the taxpayer shall be liable
as follows:
(i) Until January 1, 1994, the taxpayer shall be
liable for a penalty equal to 1/6 of 1% of the tax due from
such taxpayer under this Act during the period to be
covered by the annual return for each month or fraction of
a month until such return is filed as required, the
penalty to be assessed and collected in the same manner as
any other penalty provided for in this Act.
(ii) On and after January 1, 1994, the taxpayer shall
be liable for a penalty as described in Section 3-4 of the
Uniform Penalty and Interest Act.
The chief executive officer, proprietor, owner, or highest
ranking manager shall sign the annual return to certify the
accuracy of the information contained therein. Any person who

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willfully signs the annual return containing false or
inaccurate information shall be guilty of perjury and punished
accordingly. The annual return form prescribed by the
Department shall include a warning that the person signing the
return may be liable for perjury.
The provisions of this Section concerning the filing of an
annual information return do not apply to a retailer who is not
required to file an income tax return with the United States
Government.
As soon as possible after the first day of each month, upon
certification of the Department of Revenue, the Comptroller
shall order transferred and the Treasurer shall transfer from
the General Revenue Fund to the Motor Fuel Tax Fund an amount
equal to 1.7% of 80% of the net revenue realized under this Act
for the second preceding month. Beginning April 1, 2000, this
transfer is no longer required and shall not be made.
Net revenue realized for a month shall be the revenue
collected by the State pursuant to this Act, less the amount
paid out during that month as refunds to taxpayers for
overpayment of liability.
For greater simplicity of administration, manufacturers,
importers and wholesalers whose products are sold at retail in
Illinois by numerous retailers, and who wish to do so, may
assume the responsibility for accounting and paying to the
Department all tax accruing under this Act with respect to
such sales, if the retailers who are affected do not make

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written objection to the Department to this arrangement.
Any person who promotes, organizes, or provides retail
selling space for concessionaires or other types of sellers at
the Illinois State Fair, DuQuoin State Fair, county fairs,
local fairs, art shows, flea markets, and similar exhibitions
or events, including any transient merchant as defined by
Section 2 of the Transient Merchant Act of 1987, is required to
file a report with the Department providing the name of the
merchant's business, the name of the person or persons engaged
in merchant's business, the permanent address and Illinois
Retailers Occupation Tax Registration Number of the merchant,
the dates and location of the event, and other reasonable
information that the Department may require. The report must
be filed not later than the 20th day of the month next
following the month during which the event with retail sales
was held. Any person who fails to file a report required by
this Section commits a business offense and is subject to a
fine not to exceed $250.
Any person engaged in the business of selling tangible
personal property at retail as a concessionaire or other type
of seller at the Illinois State Fair, county fairs, art shows,
flea markets, and similar exhibitions or events, or any
transient merchants, as defined by Section 2 of the Transient
Merchant Act of 1987, may be required to make a daily report of
the amount of such sales to the Department and to make a daily
payment of the full amount of tax due. The Department shall

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impose this requirement when it finds that there is a
significant risk of loss of revenue to the State at such an
exhibition or event. Such a finding shall be based on evidence
that a substantial number of concessionaires or other sellers
who are not residents of Illinois will be engaging in the
business of selling tangible personal property at retail at
the exhibition or event, or other evidence of a significant
risk of loss of revenue to the State. The Department shall
notify concessionaires and other sellers affected by the
imposition of this requirement. In the absence of notification
by the Department, the concessionaires and other sellers shall
file their returns as otherwise required in this Section.
(Source: P.A. 102-634, eff. 8-27-21; 102-700, Article 60,
Section 60-30, eff. 4-19-22; 102-700, Article 65, Section
65-10, eff. 4-19-22; 102-813, eff. 5-13-22; 102-1019, eff.
1-1-23; 103-9, eff. 6-7-23; 103-154, eff. 6-30-23; 103-363,
eff. 7-28-23; 103-592, Article 110, Section 110-20, eff.
6-7-24; 103-605, eff. 7-1-24; revised 10-16-24.)
(Text of Section after amendment by P.A. 103-592, Article
75, Section 75-20)
Sec. 3. Except as provided in this Section, on or before
the twentieth day of each calendar month, every person engaged
in the business of selling, which, on and after January 1,
2025, includes leasing, tangible personal property at retail
in this State during the preceding calendar month shall file a

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return with the Department, stating:
1. The name of the seller;
2. His residence address and the address of his
principal place of business and the address of the
principal place of business (if that is a different
address) from which he engages in the business of selling
tangible personal property at retail in this State;
3. Total amount of receipts received by him during the
preceding calendar month or quarter, as the case may be,
from sales of tangible personal property, and from
services furnished, by him during such preceding calendar
month or quarter;
4. Total amount received by him during the preceding
calendar month or quarter on charge and time sales of
tangible personal property, and from services furnished,
by him prior to the month or quarter for which the return
is filed;
5. Deductions allowed by law;
6. Gross receipts which were received by him during
the preceding calendar month or quarter and upon the basis
of which the tax is imposed, including gross receipts on
food for human consumption that is to be consumed off the
premises where it is sold (other than alcoholic beverages,
food consisting of or infused with adult use cannabis,
soft drinks, and food that has been prepared for immediate
consumption) which were received during the preceding

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calendar month or quarter and upon which tax would have
been due but for the 0% rate imposed under Public Act
102-700;
7. The amount of credit provided in Section 2d of this
Act;
8. The amount of tax due, including the amount of tax
that would have been due on food for human consumption
that is to be consumed off the premises where it is sold
(other than alcoholic beverages, food consisting of or
infused with adult use cannabis, soft drinks, and food
that has been prepared for immediate consumption) but for
the 0% rate imposed under Public Act 102-700;
9. The signature of the taxpayer; and
10. Such other reasonable information as the
Department may require.
In the case of leases, except as otherwise provided in
this Act, the lessor must remit for each tax return period only
the tax applicable to that part of the selling price actually
received during such tax return period.
On and after January 1, 2018, except for returns required
to be filed prior to January 1, 2023 for motor vehicles,
watercraft, aircraft, and trailers that are required to be
registered with an agency of this State, with respect to
retailers whose annual gross receipts average $20,000 or more,
all returns required to be filed pursuant to this Act shall be
filed electronically. On and after January 1, 2023, with

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respect to retailers whose annual gross receipts average
$20,000 or more, all returns required to be filed pursuant to
this Act, including, but not limited to, returns for motor
vehicles, watercraft, aircraft, and trailers that are required
to be registered with an agency of this State, shall be filed
electronically. Retailers who demonstrate that they do not
have access to the Internet or demonstrate hardship in filing
electronically may petition the Department to waive the
electronic filing requirement.
If a taxpayer fails to sign a return within 30 days after
the proper notice and demand for signature by the Department,
the return shall be considered valid and any amount shown to be
due on the return shall be deemed assessed.
Each return shall be accompanied by the statement of
prepaid tax issued pursuant to Section 2e for which credit is
claimed.
Prior to October 1, 2003 and on and after September 1,
2004, a retailer may accept a Manufacturer's Purchase Credit
certification from a purchaser in satisfaction of Use Tax as
provided in Section 3-85 of the Use Tax Act if the purchaser
provides the appropriate documentation as required by Section
3-85 of the Use Tax Act. A Manufacturer's Purchase Credit
certification, accepted by a retailer prior to October 1, 2003
and on and after September 1, 2004 as provided in Section 3-85
of the Use Tax Act, may be used by that retailer to satisfy
Retailers' Occupation Tax liability in the amount claimed in

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the certification, not to exceed 6.25% of the receipts subject
to tax from a qualifying purchase. A Manufacturer's Purchase
Credit reported on any original or amended return filed under
this Act after October 20, 2003 for reporting periods prior to
September 1, 2004 shall be disallowed. Manufacturer's Purchase
Credit reported on annual returns due on or after January 1,
2005 will be disallowed for periods prior to September 1,
2004. No Manufacturer's Purchase Credit may be used after
September 30, 2003 through August 31, 2004 to satisfy any tax
liability imposed under this Act, including any audit
liability.
Beginning on July 1, 2023 and through December 31, 2032, a
retailer may accept a Sustainable Aviation Fuel Purchase
Credit certification from an air common carrier-purchaser in
satisfaction of Use Tax on aviation fuel as provided in
Section 3-87 of the Use Tax Act if the purchaser provides the
appropriate documentation as required by Section 3-87 of the
Use Tax Act. A Sustainable Aviation Fuel Purchase Credit
certification accepted by a retailer in accordance with this
paragraph may be used by that retailer to satisfy Retailers'
Occupation Tax liability (but not in satisfaction of penalty
or interest) in the amount claimed in the certification, not
to exceed 6.25% of the receipts subject to tax from a sale of
aviation fuel. In addition, for a sale of aviation fuel to
qualify to earn the Sustainable Aviation Fuel Purchase Credit,
retailers must retain in their books and records a

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certification from the producer of the aviation fuel that the
aviation fuel sold by the retailer and for which a sustainable
aviation fuel purchase credit was earned meets the definition
of sustainable aviation fuel under Section 3-87 of the Use Tax
Act. The documentation must include detail sufficient for the
Department to determine the number of gallons of sustainable
aviation fuel sold.
The Department may require returns to be filed on a
quarterly basis. If so required, a return for each calendar
quarter shall be filed on or before the twentieth day of the
calendar month following the end of such calendar quarter. The
taxpayer shall also file a return with the Department for each
of the first 2 months of each calendar quarter, on or before
the twentieth day of the following calendar month, stating:
1. The name of the seller;
2. The address of the principal place of business from
which he engages in the business of selling tangible
personal property at retail in this State;
3. The total amount of taxable receipts received by
him during the preceding calendar month from sales of
tangible personal property by him during such preceding
calendar month, including receipts from charge and time
sales, but less all deductions allowed by law;
4. The amount of credit provided in Section 2d of this
Act;
5. The amount of tax due; and

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6. Such other reasonable information as the Department
may require.
Every person engaged in the business of selling aviation
fuel at retail in this State during the preceding calendar
month shall, instead of reporting and paying tax as otherwise
required by this Section, report and pay such tax on a separate
aviation fuel tax return. The requirements related to the
return shall be as otherwise provided in this Section.
Notwithstanding any other provisions of this Act to the
contrary, retailers selling aviation fuel shall file all
aviation fuel tax returns and shall make all aviation fuel tax
payments by electronic means in the manner and form required
by the Department. For purposes of this Section, "aviation
fuel" means jet fuel and aviation gasoline.
Beginning on October 1, 2003, any person who is not a
licensed distributor, importing distributor, or manufacturer,
as defined in the Liquor Control Act of 1934, but is engaged in
the business of selling, at retail, alcoholic liquor shall
file a statement with the Department of Revenue, in a format
and at a time prescribed by the Department, showing the total
amount paid for alcoholic liquor purchased during the
preceding month and such other information as is reasonably
required by the Department. The Department may adopt rules to
require that this statement be filed in an electronic or
telephonic format. Such rules may provide for exceptions from
the filing requirements of this paragraph. For the purposes of

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this paragraph, the term "alcoholic liquor" shall have the
meaning prescribed in the Liquor Control Act of 1934.
Beginning on October 1, 2003, every distributor, importing
distributor, and manufacturer of alcoholic liquor as defined
in the Liquor Control Act of 1934, shall file a statement with
the Department of Revenue, no later than the 10th day of the
month for the preceding month during which transactions
occurred, by electronic means, showing the total amount of
gross receipts from the sale of alcoholic liquor sold or
distributed during the preceding month to purchasers;
identifying the purchaser to whom it was sold or distributed;
the purchaser's tax registration number; and such other
information reasonably required by the Department. A
distributor, importing distributor, or manufacturer of
alcoholic liquor must personally deliver, mail, or provide by
electronic means to each retailer listed on the monthly
statement a report containing a cumulative total of that
distributor's, importing distributor's, or manufacturer's
total sales of alcoholic liquor to that retailer no later than
the 10th day of the month for the preceding month during which
the transaction occurred. The distributor, importing
distributor, or manufacturer shall notify the retailer as to
the method by which the distributor, importing distributor, or
manufacturer will provide the sales information. If the
retailer is unable to receive the sales information by
electronic means, the distributor, importing distributor, or

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manufacturer shall furnish the sales information by personal
delivery or by mail. For purposes of this paragraph, the term
"electronic means" includes, but is not limited to, the use of
a secure Internet website, e-mail, or facsimile.
If a total amount of less than $1 is payable, refundable or
creditable, such amount shall be disregarded if it is less
than 50 cents and shall be increased to $1 if it is 50 cents or
more.
Notwithstanding any other provision of this Act to the
contrary, retailers subject to tax on cannabis shall file all
cannabis tax returns and shall make all cannabis tax payments
by electronic means in the manner and form required by the
Department.
Beginning October 1, 1993, a taxpayer who has an average
monthly tax liability of $150,000 or more shall make all
payments required by rules of the Department by electronic
funds transfer. Beginning October 1, 1994, a taxpayer who has
an average monthly tax liability of $100,000 or more shall
make all payments required by rules of the Department by
electronic funds transfer. Beginning October 1, 1995, a
taxpayer who has an average monthly tax liability of $50,000
or more shall make all payments required by rules of the
Department by electronic funds transfer. Beginning October 1,
2000, a taxpayer who has an annual tax liability of $200,000 or
more shall make all payments required by rules of the
Department by electronic funds transfer. The term "annual tax

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liability" shall be the sum of the taxpayer's liabilities
under this Act, and under all other State and local occupation
and use tax laws administered by the Department, for the
immediately preceding calendar year. The term "average monthly
tax liability" shall be the sum of the taxpayer's liabilities
under this Act, and under all other State and local occupation
and use tax laws administered by the Department, for the
immediately preceding calendar year divided by 12. Beginning
on October 1, 2002, a taxpayer who has a tax liability in the
amount set forth in subsection (b) of Section 2505-210 of the
Department of Revenue Law shall make all payments required by
rules of the Department by electronic funds transfer.
Before August 1 of each year beginning in 1993, the
Department shall notify all taxpayers required to make
payments by electronic funds transfer. All taxpayers required
to make payments by electronic funds transfer shall make those
payments for a minimum of one year beginning on October 1.
Any taxpayer not required to make payments by electronic
funds transfer may make payments by electronic funds transfer
with the permission of the Department.
All taxpayers required to make payment by electronic funds
transfer and any taxpayers authorized to voluntarily make
payments by electronic funds transfer shall make those
payments in the manner authorized by the Department.
The Department shall adopt such rules as are necessary to
effectuate a program of electronic funds transfer and the

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requirements of this Section.
Any amount which is required to be shown or reported on any
return or other document under this Act shall, if such amount
is not a whole-dollar amount, be increased to the nearest
whole-dollar amount in any case where the fractional part of a
dollar is 50 cents or more, and decreased to the nearest
whole-dollar amount where the fractional part of a dollar is
less than 50 cents.
If the retailer is otherwise required to file a monthly
return and if the retailer's average monthly tax liability to
the Department does not exceed $200, the Department may
authorize his returns to be filed on a quarter annual basis,
with the return for January, February, and March of a given
year being due by April 20 of such year; with the return for
April, May, and June of a given year being due by July 20 of
such year; with the return for July, August, and September of a
given year being due by October 20 of such year, and with the
return for October, November, and December of a given year
being due by January 20 of the following year.
If the retailer is otherwise required to file a monthly or
quarterly return and if the retailer's average monthly tax
liability with the Department does not exceed $50, the
Department may authorize his returns to be filed on an annual
basis, with the return for a given year being due by January 20
of the following year.
Such quarter annual and annual returns, as to form and

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substance, shall be subject to the same requirements as
monthly returns.
Notwithstanding any other provision in this Act concerning
the time within which a retailer may file his return, in the
case of any retailer who ceases to engage in a kind of business
which makes him responsible for filing returns under this Act,
such retailer shall file a final return under this Act with the
Department not more than one month after discontinuing such
business.
Where the same person has more than one business
registered with the Department under separate registrations
under this Act, such person may not file each return that is
due as a single return covering all such registered
businesses, but shall file separate returns for each such
registered business.
In addition, with respect to motor vehicles, watercraft,
aircraft, and trailers that are required to be registered with
an agency of this State, except as otherwise provided in this
Section, every retailer selling this kind of tangible personal
property shall file, with the Department, upon a form to be
prescribed and supplied by the Department, a separate return
for each such item of tangible personal property which the
retailer sells, except that if, in the same transaction, (i) a
retailer of aircraft, watercraft, motor vehicles, or trailers
transfers more than one aircraft, watercraft, motor vehicle,
or trailer to another aircraft, watercraft, motor vehicle

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retailer, or trailer retailer for the purpose of resale or
(ii) a retailer of aircraft, watercraft, motor vehicles, or
trailers transfers more than one aircraft, watercraft, motor
vehicle, or trailer to a purchaser for use as a qualifying
rolling stock as provided in Section 2-5 of this Act, then that
seller may report the transfer of all aircraft, watercraft,
motor vehicles, or trailers involved in that transaction to
the Department on the same uniform invoice-transaction
reporting return form. For purposes of this Section,
"watercraft" means a Class 2, Class 3, or Class 4 watercraft as
defined in Section 3-2 of the Boat Registration and Safety
Act, a personal watercraft, or any boat equipped with an
inboard motor.
In addition, with respect to motor vehicles, watercraft,
aircraft, and trailers that are required to be registered with
an agency of this State, every person who is engaged in the
business of leasing or renting such items and who, in
connection with such business, sells any such item to a
retailer for the purpose of resale is, notwithstanding any
other provision of this Section to the contrary, authorized to
meet the return-filing requirement of this Act by reporting
the transfer of all the aircraft, watercraft, motor vehicles,
or trailers transferred for resale during a month to the
Department on the same uniform invoice-transaction reporting
return form on or before the 20th of the month following the
month in which the transfer takes place. Notwithstanding any

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other provision of this Act to the contrary, all returns filed
under this paragraph must be filed by electronic means in the
manner and form as required by the Department.
Any retailer who sells only motor vehicles, watercraft,
aircraft, or trailers that are required to be registered with
an agency of this State, so that all retailers' occupation tax
liability is required to be reported, and is reported, on such
transaction reporting returns and who is not otherwise
required to file monthly or quarterly returns, need not file
monthly or quarterly returns. However, those retailers shall
be required to file returns on an annual basis.
The transaction reporting return, in the case of motor
vehicles or trailers that are required to be registered with
an agency of this State, shall be the same document as the
Uniform Invoice referred to in Section 5-402 of the Illinois
Vehicle Code and must show the name and address of the seller;
the name and address of the purchaser; the amount of the
selling price including the amount allowed by the retailer for
traded-in property, if any; the amount allowed by the retailer
for the traded-in tangible personal property, if any, to the
extent to which Section 1 of this Act allows an exemption for
the value of traded-in property; the balance payable after
deducting such trade-in allowance from the total selling
price; the amount of tax due from the retailer with respect to
such transaction; the amount of tax collected from the
purchaser by the retailer on such transaction (or satisfactory

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evidence that such tax is not due in that particular instance,
if that is claimed to be the fact); the place and date of the
sale; a sufficient identification of the property sold; such
other information as is required in Section 5-402 of the
Illinois Vehicle Code, and such other information as the
Department may reasonably require.
The transaction reporting return in the case of watercraft
or aircraft must show the name and address of the seller; the
name and address of the purchaser; the amount of the selling
price including the amount allowed by the retailer for
traded-in property, if any; the amount allowed by the retailer
for the traded-in tangible personal property, if any, to the
extent to which Section 1 of this Act allows an exemption for
the value of traded-in property; the balance payable after
deducting such trade-in allowance from the total selling
price; the amount of tax due from the retailer with respect to
such transaction; the amount of tax collected from the
purchaser by the retailer on such transaction (or satisfactory
evidence that such tax is not due in that particular instance,
if that is claimed to be the fact); the place and date of the
sale, a sufficient identification of the property sold, and
such other information as the Department may reasonably
require.
Such transaction reporting return shall be filed not later
than 20 days after the day of delivery of the item that is
being sold, but may be filed by the retailer at any time sooner

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than that if he chooses to do so. The transaction reporting
return and tax remittance or proof of exemption from the
Illinois use tax may be transmitted to the Department by way of
the State agency with which, or State officer with whom the
tangible personal property must be titled or registered (if
titling or registration is required) if the Department and
such agency or State officer determine that this procedure
will expedite the processing of applications for title or
registration.
With each such transaction reporting return, the retailer
shall remit the proper amount of tax due (or shall submit
satisfactory evidence that the sale is not taxable if that is
the case), to the Department or its agents, whereupon the
Department shall issue, in the purchaser's name, a use tax
receipt (or a certificate of exemption if the Department is
satisfied that the particular sale is tax exempt) which such
purchaser may submit to the agency with which, or State
officer with whom, he must title or register the tangible
personal property that is involved (if titling or registration
is required) in support of such purchaser's application for an
Illinois certificate or other evidence of title or
registration to such tangible personal property.
No retailer's failure or refusal to remit tax under this
Act precludes a user, who has paid the proper tax to the
retailer, from obtaining his certificate of title or other
evidence of title or registration (if titling or registration

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is required) upon satisfying the Department that such user has
paid the proper tax (if tax is due) to the retailer. The
Department shall adopt appropriate rules to carry out the
mandate of this paragraph.
If the user who would otherwise pay tax to the retailer
wants the transaction reporting return filed and the payment
of the tax or proof of exemption made to the Department before
the retailer is willing to take these actions and such user has
not paid the tax to the retailer, such user may certify to the
fact of such delay by the retailer and may (upon the Department
being satisfied of the truth of such certification) transmit
the information required by the transaction reporting return
and the remittance for tax or proof of exemption directly to
the Department and obtain his tax receipt or exemption
determination, in which event the transaction reporting return
and tax remittance (if a tax payment was required) shall be
credited by the Department to the proper retailer's account
with the Department, but without the vendor's discount
provided for in this Section being allowed. When the user pays
the tax directly to the Department, he shall pay the tax in the
same amount and in the same form in which it would be remitted
if the tax had been remitted to the Department by the retailer.
On and after January 1, 2025, with respect to the lease of
trailers, other than semitrailers as defined in Section 1-187
of the Illinois Vehicle Code, that are required to be
registered with an agency of this State and that are subject to

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the tax on lease receipts under this Act, notwithstanding any
other provision of this Act to the contrary, for the purpose of
reporting and paying tax under this Act on those lease
receipts, lessors shall file returns in addition to and
separate from the transaction reporting return. Lessors shall
file those lease returns and make payment to the Department by
electronic means on or before the 20th day of each month
following the month, quarter, or year, as applicable, in which
lease receipts were received. All lease receipts received by
the lessor from the lease of those trailers during the same
reporting period shall be reported and tax shall be paid on a
single return form to be prescribed by the Department.
Refunds made by the seller during the preceding return
period to purchasers, on account of tangible personal property
returned to the seller, shall be allowed as a deduction under
subdivision 5 of his monthly or quarterly return, as the case
may be, in case the seller had theretofore included the
receipts from the sale of such tangible personal property in a
return filed by him and had paid the tax imposed by this Act
with respect to such receipts.
Where the seller is a corporation, the return filed on
behalf of such corporation shall be signed by the president,
vice-president, secretary, or treasurer or by the properly
accredited agent of such corporation.
Where the seller is a limited liability company, the
return filed on behalf of the limited liability company shall

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be signed by a manager, member, or properly accredited agent
of the limited liability company.
Except as provided in this Section, the retailer filing
the return under this Section shall, at the time of filing such
return, pay to the Department the amount of tax imposed by this
Act less a discount of 2.1% prior to January 1, 1990 and 1.75%
on and after January 1, 1990, or $5 per calendar year,
whichever is greater, which is allowed to reimburse the
retailer for the expenses incurred in keeping records,
preparing and filing returns, remitting the tax and supplying
data to the Department on request. On and after January 1,
2021, a certified service provider, as defined in the Leveling
the Playing Field for Illinois Retail Act, filing the return
under this Section on behalf of a remote retailer shall, at the
time of such return, pay to the Department the amount of tax
imposed by this Act less a discount of 1.75%. A remote retailer
using a certified service provider to file a return on its
behalf, as provided in the Leveling the Playing Field for
Illinois Retail Act, is not eligible for the discount.
Beginning with returns due on or after January 1, 2025, the
vendor's discount allowed in this Section, the Service
Occupation Tax Act, the Use Tax Act, and the Service Use Tax
Act, including any local tax administered by the Department
and reported on the same return, shall not exceed $1,000 per
month in the aggregate for returns other than transaction
returns filed during the month. When determining the discount

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allowed under this Section, retailers shall include the amount
of tax that would have been due at the 1% rate but for the 0%
rate imposed under Public Act 102-700. When determining the
discount allowed under this Section, retailers shall include
the amount of tax that would have been due at the 6.25% rate
but for the 1.25% rate imposed on sales tax holiday items under
Public Act 102-700. The discount under this Section is not
allowed for the 1.25% portion of taxes paid on aviation fuel
that is subject to the revenue use requirements of 49 U.S.C.
47107(b) and 49 U.S.C. 47133. Any prepayment made pursuant to
Section 2d of this Act shall be included in the amount on which
such discount is computed. In the case of retailers who report
and pay the tax on a transaction by transaction basis, as
provided in this Section, such discount shall be taken with
each such tax remittance instead of when such retailer files
his periodic return, but, beginning with returns due on or
after January 1, 2025, the vendor's discount allowed under
this Section and the Use Tax Act, including any local tax
administered by the Department and reported on the same
transaction return, shall not exceed $1,000 per month for all
transaction returns filed during the month. The discount
allowed under this Section is allowed only for returns that
are filed in the manner required by this Act. The Department
may disallow the discount for retailers whose certificate of
registration is revoked at the time the return is filed, but
only if the Department's decision to revoke the certificate of

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registration has become final.
Before October 1, 2000, if the taxpayer's average monthly
tax liability to the Department under this Act, the Use Tax
Act, the Service Occupation Tax Act, and the Service Use Tax
Act, excluding any liability for prepaid sales tax to be
remitted in accordance with Section 2d of this Act, was
$10,000 or more during the preceding 4 complete calendar
quarters, he shall file a return with the Department each
month by the 20th day of the month next following the month
during which such tax liability is incurred and shall make
payments to the Department on or before the 7th, 15th, 22nd and
last day of the month during which such liability is incurred.
On and after October 1, 2000, if the taxpayer's average
monthly tax liability to the Department under this Act, the
Use Tax Act, the Service Occupation Tax Act, and the Service
Use Tax Act, excluding any liability for prepaid sales tax to
be remitted in accordance with Section 2d of this Act, was
$20,000 or more during the preceding 4 complete calendar
quarters, he shall file a return with the Department each
month by the 20th day of the month next following the month
during which such tax liability is incurred and shall make
payment to the Department on or before the 7th, 15th, 22nd and
last day of the month during which such liability is incurred.
If the month during which such tax liability is incurred began
prior to January 1, 1985, each payment shall be in an amount
equal to 1/4 of the taxpayer's actual liability for the month

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or an amount set by the Department not to exceed 1/4 of the
average monthly liability of the taxpayer to the Department
for the preceding 4 complete calendar quarters (excluding the
month of highest liability and the month of lowest liability
in such 4 quarter period). If the month during which such tax
liability is incurred begins on or after January 1, 1985 and
prior to January 1, 1987, each payment shall be in an amount
equal to 22.5% of the taxpayer's actual liability for the
month or 27.5% of the taxpayer's liability for the same
calendar month of the preceding year. If the month during
which such tax liability is incurred begins on or after
January 1, 1987 and prior to January 1, 1988, each payment
shall be in an amount equal to 22.5% of the taxpayer's actual
liability for the month or 26.25% of the taxpayer's liability
for the same calendar month of the preceding year. If the month
during which such tax liability is incurred begins on or after
January 1, 1988, and prior to January 1, 1989, or begins on or
after January 1, 1996, each payment shall be in an amount equal
to 22.5% of the taxpayer's actual liability for the month or
25% of the taxpayer's liability for the same calendar month of
the preceding year. If the month during which such tax
liability is incurred begins on or after January 1, 1989, and
prior to January 1, 1996, each payment shall be in an amount
equal to 22.5% of the taxpayer's actual liability for the
month or 25% of the taxpayer's liability for the same calendar
month of the preceding year or 100% of the taxpayer's actual

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liability for the quarter monthly reporting period. The amount
of such quarter monthly payments shall be credited against the
final tax liability of the taxpayer's return for that month.
Before October 1, 2000, once applicable, the requirement of
the making of quarter monthly payments to the Department by
taxpayers having an average monthly tax liability of $10,000
or more as determined in the manner provided above shall
continue until such taxpayer's average monthly liability to
the Department during the preceding 4 complete calendar
quarters (excluding the month of highest liability and the
month of lowest liability) is less than $9,000, or until such
taxpayer's average monthly liability to the Department as
computed for each calendar quarter of the 4 preceding complete
calendar quarter period is less than $10,000. However, if a
taxpayer can show the Department that a substantial change in
the taxpayer's business has occurred which causes the taxpayer
to anticipate that his average monthly tax liability for the
reasonably foreseeable future will fall below the $10,000
threshold stated above, then such taxpayer may petition the
Department for a change in such taxpayer's reporting status.
On and after October 1, 2000, once applicable, the requirement
of the making of quarter monthly payments to the Department by
taxpayers having an average monthly tax liability of $20,000
or more as determined in the manner provided above shall
continue until such taxpayer's average monthly liability to
the Department during the preceding 4 complete calendar

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quarters (excluding the month of highest liability and the
month of lowest liability) is less than $19,000 or until such
taxpayer's average monthly liability to the Department as
computed for each calendar quarter of the 4 preceding complete
calendar quarter period is less than $20,000. However, if a
taxpayer can show the Department that a substantial change in
the taxpayer's business has occurred which causes the taxpayer
to anticipate that his average monthly tax liability for the
reasonably foreseeable future will fall below the $20,000
threshold stated above, then such taxpayer may petition the
Department for a change in such taxpayer's reporting status.
The Department shall change such taxpayer's reporting status
unless it finds that such change is seasonal in nature and not
likely to be long term. Quarter monthly payment status shall
be determined under this paragraph as if the rate reduction to
0% in Public Act 102-700 on food for human consumption that is
to be consumed off the premises where it is sold (other than
alcoholic beverages, food consisting of or infused with adult
use cannabis, soft drinks, and food that has been prepared for
immediate consumption) had not occurred. For quarter monthly
payments due under this paragraph on or after July 1, 2023 and
through June 30, 2024, "25% of the taxpayer's liability for
the same calendar month of the preceding year" shall be
determined as if the rate reduction to 0% in Public Act 102-700
had not occurred. Quarter monthly payment status shall be
determined under this paragraph as if the rate reduction to

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1.25% in Public Act 102-700 on sales tax holiday items had not
occurred. For quarter monthly payments due on or after July 1,
2023 and through June 30, 2024, "25% of the taxpayer's
liability for the same calendar month of the preceding year"
shall be determined as if the rate reduction to 1.25% in Public
Act 102-700 on sales tax holiday items had not occurred. If any
such quarter monthly payment is not paid at the time or in the
amount required by this Section, then the taxpayer shall be
liable for penalties and interest on the difference between
the minimum amount due as a payment and the amount of such
quarter monthly payment actually and timely paid, except
insofar as the taxpayer has previously made payments for that
month to the Department in excess of the minimum payments
previously due as provided in this Section. The Department
shall make reasonable rules and regulations to govern the
quarter monthly payment amount and quarter monthly payment
dates for taxpayers who file on other than a calendar monthly
basis.
The provisions of this paragraph apply before October 1,
2001. Without regard to whether a taxpayer is required to make
quarter monthly payments as specified above, any taxpayer who
is required by Section 2d of this Act to collect and remit
prepaid taxes and has collected prepaid taxes which average in
excess of $25,000 per month during the preceding 2 complete
calendar quarters, shall file a return with the Department as
required by Section 2f and shall make payments to the

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Department on or before the 7th, 15th, 22nd and last day of the
month during which such liability is incurred. If the month
during which such tax liability is incurred began prior to
September 1, 1985 (the effective date of Public Act 84-221),
each payment shall be in an amount not less than 22.5% of the
taxpayer's actual liability under Section 2d. If the month
during which such tax liability is incurred begins on or after
January 1, 1986, each payment shall be in an amount equal to
22.5% of the taxpayer's actual liability for the month or
27.5% of the taxpayer's liability for the same calendar month
of the preceding calendar year. If the month during which such
tax liability is incurred begins on or after January 1, 1987,
each payment shall be in an amount equal to 22.5% of the
taxpayer's actual liability for the month or 26.25% of the
taxpayer's liability for the same calendar month of the
preceding year. The amount of such quarter monthly payments
shall be credited against the final tax liability of the
taxpayer's return for that month filed under this Section or
Section 2f, as the case may be. Once applicable, the
requirement of the making of quarter monthly payments to the
Department pursuant to this paragraph shall continue until
such taxpayer's average monthly prepaid tax collections during
the preceding 2 complete calendar quarters is $25,000 or less.
If any such quarter monthly payment is not paid at the time or
in the amount required, the taxpayer shall be liable for
penalties and interest on such difference, except insofar as

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the taxpayer has previously made payments for that month in
excess of the minimum payments previously due.
The provisions of this paragraph apply on and after
October 1, 2001. Without regard to whether a taxpayer is
required to make quarter monthly payments as specified above,
any taxpayer who is required by Section 2d of this Act to
collect and remit prepaid taxes and has collected prepaid
taxes that average in excess of $20,000 per month during the
preceding 4 complete calendar quarters shall file a return
with the Department as required by Section 2f and shall make
payments to the Department on or before the 7th, 15th, 22nd,
and last day of the month during which the liability is
incurred. Each payment shall be in an amount equal to 22.5% of
the taxpayer's actual liability for the month or 25% of the
taxpayer's liability for the same calendar month of the
preceding year. The amount of the quarter monthly payments
shall be credited against the final tax liability of the
taxpayer's return for that month filed under this Section or
Section 2f, as the case may be. Once applicable, the
requirement of the making of quarter monthly payments to the
Department pursuant to this paragraph shall continue until the
taxpayer's average monthly prepaid tax collections during the
preceding 4 complete calendar quarters (excluding the month of
highest liability and the month of lowest liability) is less
than $19,000 or until such taxpayer's average monthly
liability to the Department as computed for each calendar

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quarter of the 4 preceding complete calendar quarters is less
than $20,000. If any such quarter monthly payment is not paid
at the time or in the amount required, the taxpayer shall be
liable for penalties and interest on such difference, except
insofar as the taxpayer has previously made payments for that
month in excess of the minimum payments previously due.
If any payment provided for in this Section exceeds the
taxpayer's liabilities under this Act, the Use Tax Act, the
Service Occupation Tax Act, and the Service Use Tax Act, as
shown on an original monthly return, the Department shall, if
requested by the taxpayer, issue to the taxpayer a credit
memorandum no later than 30 days after the date of payment. The
credit evidenced by such credit memorandum may be assigned by
the taxpayer to a similar taxpayer under this Act, the Use Tax
Act, the Service Occupation Tax Act, or the Service Use Tax
Act, in accordance with reasonable rules and regulations to be
prescribed by the Department. If no such request is made, the
taxpayer may credit such excess payment against tax liability
subsequently to be remitted to the Department under this Act,
the Use Tax Act, the Service Occupation Tax Act, or the Service
Use Tax Act, in accordance with reasonable rules and
regulations prescribed by the Department. If the Department
subsequently determined that all or any part of the credit
taken was not actually due to the taxpayer, the taxpayer's %
vendor's discount shall be reduced, if necessary, to reflect
the difference between the credit taken and that actually due,

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and that taxpayer shall be liable for penalties and interest
on such difference.
If a retailer of motor fuel is entitled to a credit under
Section 2d of this Act which exceeds the taxpayer's liability
to the Department under this Act for the month for which the
taxpayer is filing a return, the Department shall issue the
taxpayer a credit memorandum for the excess.
Beginning January 1, 1990, each month the Department shall
pay into the Local Government Tax Fund, a special fund in the
State treasury which is hereby created, the net revenue
realized for the preceding month from the 1% tax imposed under
this Act.
Beginning January 1, 1990, each month the Department shall
pay into the County and Mass Transit District Fund, a special
fund in the State treasury which is hereby created, 4% of the
net revenue realized for the preceding month from the 6.25%
general rate other than aviation fuel sold on or after
December 1, 2019. This exception for aviation fuel only
applies for so long as the revenue use requirements of 49
U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the State.
Beginning August 1, 2000, each month the Department shall
pay into the County and Mass Transit District Fund 20% of the
net revenue realized for the preceding month from the 1.25%
rate on the selling price of motor fuel and gasohol. If, in any
month, the tax on sales tax holiday items, as defined in
Section 2-8, is imposed at the rate of 1.25%, then the

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Department shall pay 20% of the net revenue realized for that
month from the 1.25% rate on the selling price of sales tax
holiday items into the County and Mass Transit District Fund.
Beginning January 1, 1990, each month the Department shall
pay into the Local Government Tax Fund 16% of the net revenue
realized for the preceding month from the 6.25% general rate
on the selling price of tangible personal property other than
aviation fuel sold on or after December 1, 2019. This
exception for aviation fuel only applies for so long as the
revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
47133 are binding on the State.
For aviation fuel sold on or after December 1, 2019, each
month the Department shall pay into the State Aviation Program
Fund 20% of the net revenue realized for the preceding month
from the 6.25% general rate on the selling price of aviation
fuel, less an amount estimated by the Department to be
required for refunds of the 20% portion of the tax on aviation
fuel under this Act, which amount shall be deposited into the
Aviation Fuel Sales Tax Refund Fund. The Department shall only
pay moneys into the State Aviation Program Fund and the
Aviation Fuel Sales Tax Refund Fund under this Act for so long
as the revenue use requirements of 49 U.S.C. 47107(b) and 49
U.S.C. 47133 are binding on the State.
Beginning August 1, 2000, each month the Department shall
pay into the Local Government Tax Fund 80% of the net revenue
realized for the preceding month from the 1.25% rate on the

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selling price of motor fuel and gasohol. If, in any month, the
tax on sales tax holiday items, as defined in Section 2-8, is
imposed at the rate of 1.25%, then the Department shall pay 80%
of the net revenue realized for that month from the 1.25% rate
on the selling price of sales tax holiday items into the Local
Government Tax Fund.
Beginning October 1, 2009, each month the Department shall
pay into the Capital Projects Fund an amount that is equal to
an amount estimated by the Department to represent 80% of the
net revenue realized for the preceding month from the sale of
candy, grooming and hygiene products, and soft drinks that had
been taxed at a rate of 1% prior to September 1, 2009 but that
are now taxed at 6.25%.
Beginning July 1, 2011, each month the Department shall
pay into the Clean Air Act Permit Fund 80% of the net revenue
realized for the preceding month from the 6.25% general rate
on the selling price of sorbents used in Illinois in the
process of sorbent injection as used to comply with the
Environmental Protection Act or the federal Clean Air Act, but
the total payment into the Clean Air Act Permit Fund under this
Act and the Use Tax Act shall not exceed $2,000,000 in any
fiscal year.
Beginning July 1, 2013, each month the Department shall
pay into the Underground Storage Tank Fund from the proceeds
collected under this Act, the Use Tax Act, the Service Use Tax
Act, and the Service Occupation Tax Act an amount equal to the

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average monthly deficit in the Underground Storage Tank Fund
during the prior year, as certified annually by the Illinois
Environmental Protection Agency, but the total payment into
the Underground Storage Tank Fund under this Act, the Use Tax
Act, the Service Use Tax Act, and the Service Occupation Tax
Act shall not exceed $18,000,000 in any State fiscal year. As
used in this paragraph, the "average monthly deficit" shall be
equal to the difference between the average monthly claims for
payment by the fund and the average monthly revenues deposited
into the fund, excluding payments made pursuant to this
paragraph.
Beginning July 1, 2015, of the remainder of the moneys
received by the Department under the Use Tax Act, the Service
Use Tax Act, the Service Occupation Tax Act, and this Act, each
month the Department shall deposit $500,000 into the State
Crime Laboratory Fund.
Of the remainder of the moneys received by the Department
pursuant to this Act, (a) 1.75% thereof shall be paid into the
Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
and after July 1, 1989, 3.8% thereof shall be paid into the
Build Illinois Fund; provided, however, that if in any fiscal
year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
may be, of the moneys received by the Department and required
to be paid into the Build Illinois Fund pursuant to this Act,
Section 9 of the Use Tax Act, Section 9 of the Service Use Tax
Act, and Section 9 of the Service Occupation Tax Act, such Acts

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being hereinafter called the "Tax Acts" and such aggregate of
2.2% or 3.8%, as the case may be, of moneys being hereinafter
called the "Tax Act Amount", and (2) the amount transferred to
the Build Illinois Fund from the State and Local Sales Tax
Reform Fund shall be less than the Annual Specified Amount (as
hereinafter defined), an amount equal to the difference shall
be immediately paid into the Build Illinois Fund from other
moneys received by the Department pursuant to the Tax Acts;
the "Annual Specified Amount" means the amounts specified
below for fiscal years 1986 through 1993:
Fiscal Year Annual Specified Amount
1986 $54,800,000
1987 $76,650,000
1988 $80,480,000
1989 $88,510,000
1990 $115,330,000
1991 $145,470,000
1992 $182,730,000
1993 $206,520,000;
and means the Certified Annual Debt Service Requirement (as
defined in Section 13 of the Build Illinois Bond Act) or the
Tax Act Amount, whichever is greater, for fiscal year 1994 and
each fiscal year thereafter; and further provided, that if on
the last business day of any month the sum of (1) the Tax Act
Amount required to be deposited into the Build Illinois Bond
Account in the Build Illinois Fund during such month and (2)

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the amount transferred to the Build Illinois Fund from the
State and Local Sales Tax Reform Fund shall have been less than
1/12 of the Annual Specified Amount, an amount equal to the
difference shall be immediately paid into the Build Illinois
Fund from other moneys received by the Department pursuant to
the Tax Acts; and, further provided, that in no event shall the
payments required under the preceding proviso result in
aggregate payments into the Build Illinois Fund pursuant to
this clause (b) for any fiscal year in excess of the greater of
(i) the Tax Act Amount or (ii) the Annual Specified Amount for
such fiscal year. The amounts payable into the Build Illinois
Fund under clause (b) of the first sentence in this paragraph
shall be payable only until such time as the aggregate amount
on deposit under each trust indenture securing Bonds issued
and outstanding pursuant to the Build Illinois Bond Act is
sufficient, taking into account any future investment income,
to fully provide, in accordance with such indenture, for the
defeasance of or the payment of the principal of, premium, if
any, and interest on the Bonds secured by such indenture and on
any Bonds expected to be issued thereafter and all fees and
costs payable with respect thereto, all as certified by the
Director of the Bureau of the Budget (now Governor's Office of
Management and Budget). If on the last business day of any
month in which Bonds are outstanding pursuant to the Build
Illinois Bond Act, the aggregate of moneys deposited in the
Build Illinois Bond Account in the Build Illinois Fund in such

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month shall be less than the amount required to be transferred
in such month from the Build Illinois Bond Account to the Build
Illinois Bond Retirement and Interest Fund pursuant to Section
13 of the Build Illinois Bond Act, an amount equal to such
deficiency shall be immediately paid from other moneys
received by the Department pursuant to the Tax Acts to the
Build Illinois Fund; provided, however, that any amounts paid
to the Build Illinois Fund in any fiscal year pursuant to this
sentence shall be deemed to constitute payments pursuant to
clause (b) of the first sentence of this paragraph and shall
reduce the amount otherwise payable for such fiscal year
pursuant to that clause (b). The moneys received by the
Department pursuant to this Act and required to be deposited
into the Build Illinois Fund are subject to the pledge, claim
and charge set forth in Section 12 of the Build Illinois Bond
Act.
Subject to payment of amounts into the Build Illinois Fund
as provided in the preceding paragraph or in any amendment
thereto hereafter enacted, the following specified monthly
installment of the amount requested in the certificate of the
Chairman of the Metropolitan Pier and Exposition Authority
provided under Section 8.25f of the State Finance Act, but not
in excess of sums designated as "Total Deposit", shall be
deposited in the aggregate from collections under Section 9 of
the Use Tax Act, Section 9 of the Service Use Tax Act, Section
9 of the Service Occupation Tax Act, and Section 3 of the

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Retailers' Occupation Tax Act into the McCormick Place
Expansion Project Fund in the specified fiscal years.
Fiscal Year Total Deposit
1993 $0
1994 53,000,000
1995 58,000,000
1996 61,000,000
1997 64,000,000
1998 68,000,000
1999 71,000,000
2000 75,000,000
2001 80,000,000
2002 93,000,000
2003 99,000,000
2004 103,000,000
2005 108,000,000
2006 113,000,000
2007 119,000,000
2008 126,000,000
2009 132,000,000
2010 139,000,000
2011 146,000,000
2012 153,000,000
2013 161,000,000
2014 170,000,000
2015 179,000,000

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2016 189,000,000
2017 199,000,000
2018 210,000,000
2019 221,000,000
2020 233,000,000
2021 300,000,000
2022 300,000,000
2023 300,000,000
2024 300,000,000
2025 300,000,000
2026 300,000,000
2027 375,000,000
2028 375,000,000
2029 375,000,000
2030 375,000,000
2031 375,000,000
2032 375,000,000
2033 375,000,000
2034 375,000,000
2035 375,000,000
2036 450,000,000
and
each fiscal year
thereafter that bonds
are outstanding under
Section 13.2 of the

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Metropolitan Pier and
Exposition Authority Act,
but not after fiscal year 2060.
Beginning July 20, 1993 and in each month of each fiscal
year thereafter, one-eighth of the amount requested in the
certificate of the Chairman of the Metropolitan Pier and
Exposition Authority for that fiscal year, less the amount
deposited into the McCormick Place Expansion Project Fund by
the State Treasurer in the respective month under subsection
(g) of Section 13 of the Metropolitan Pier and Exposition
Authority Act, plus cumulative deficiencies in the deposits
required under this Section for previous months and years,
shall be deposited into the McCormick Place Expansion Project
Fund, until the full amount requested for the fiscal year, but
not in excess of the amount specified above as "Total
Deposit", has been deposited.
Subject to payment of amounts into the Capital Projects
Fund, the Clean Air Act Permit Fund, the Build Illinois Fund,
and the McCormick Place Expansion Project Fund pursuant to the
preceding paragraphs or in any amendments thereto hereafter
enacted, for aviation fuel sold on or after December 1, 2019,
the Department shall each month deposit into the Aviation Fuel
Sales Tax Refund Fund an amount estimated by the Department to
be required for refunds of the 80% portion of the tax on
aviation fuel under this Act. The Department shall only
deposit moneys into the Aviation Fuel Sales Tax Refund Fund

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under this paragraph for so long as the revenue use
requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
binding on the State.
Subject to payment of amounts into the Build Illinois Fund
and the McCormick Place Expansion Project Fund pursuant to the
preceding paragraphs or in any amendments thereto hereafter
enacted, beginning July 1, 1993 and ending on September 30,
2013, the Department shall each month pay into the Illinois
Tax Increment Fund 0.27% of 80% of the net revenue realized for
the preceding month from the 6.25% general rate on the selling
price of tangible personal property.
Subject to payment of amounts into the Build Illinois
Fund, the McCormick Place Expansion Project Fund, and the
Illinois Tax Increment Fund pursuant to the preceding
paragraphs or in any amendments to this Section hereafter
enacted, beginning on the first day of the first calendar
month to occur on or after August 26, 2014 (the effective date
of Public Act 98-1098), each month, from the collections made
under Section 9 of the Use Tax Act, Section 9 of the Service
Use Tax Act, Section 9 of the Service Occupation Tax Act, and
Section 3 of the Retailers' Occupation Tax Act, the Department
shall pay into the Tax Compliance and Administration Fund, to
be used, subject to appropriation, to fund additional auditors
and compliance personnel at the Department of Revenue, an
amount equal to 1/12 of 5% of 80% of the cash receipts
collected during the preceding fiscal year by the Audit Bureau

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of the Department under the Use Tax Act, the Service Use Tax
Act, the Service Occupation Tax Act, the Retailers' Occupation
Tax Act, and associated local occupation and use taxes
administered by the Department.
Subject to payments of amounts into the Build Illinois
Fund, the McCormick Place Expansion Project Fund, the Illinois
Tax Increment Fund, the Energy Infrastructure Fund, and the
Tax Compliance and Administration Fund as provided in this
Section, beginning on July 1, 2018 the Department shall pay
each month into the Downstate Public Transportation Fund the
moneys required to be so paid under Section 2-3 of the
Downstate Public Transportation Act.
Subject to successful execution and delivery of a
public-private agreement between the public agency and private
entity and completion of the civic build, beginning on July 1,
2023, of the remainder of the moneys received by the
Department under the Use Tax Act, the Service Use Tax Act, the
Service Occupation Tax Act, and this Act, the Department shall
deposit the following specified deposits in the aggregate from
collections under the Use Tax Act, the Service Use Tax Act, the
Service Occupation Tax Act, and the Retailers' Occupation Tax
Act, as required under Section 8.25g of the State Finance Act
for distribution consistent with the Public-Private
Partnership for Civic and Transit Infrastructure Project Act.
The moneys received by the Department pursuant to this Act and
required to be deposited into the Civic and Transit

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Infrastructure Fund are subject to the pledge, claim and
charge set forth in Section 25-55 of the Public-Private
Partnership for Civic and Transit Infrastructure Project Act.
As used in this paragraph, "civic build", "private entity",
"public-private agreement", and "public agency" have the
meanings provided in Section 25-10 of the Public-Private
Partnership for Civic and Transit Infrastructure Project Act.
Fiscal Year.............................Total Deposit
2024.....................................$200,000,000
2025....................................$206,000,000
2026....................................$212,200,000
2027....................................$218,500,000
2028....................................$225,100,000
2029....................................$288,700,000
2030....................................$298,900,000
2031....................................$309,300,000
2032....................................$320,100,000
2033....................................$331,200,000
2034....................................$341,200,000
2035....................................$351,400,000
2036....................................$361,900,000
2037....................................$372,800,000
2038....................................$384,000,000
2039....................................$395,500,000
2040....................................$407,400,000
2041....................................$419,600,000

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2042....................................$432,200,000
2043....................................$445,100,000
Beginning July 1, 2021 and until July 1, 2022, subject to
the payment of amounts into the County and Mass Transit
District Fund, the Local Government Tax Fund, the Build
Illinois Fund, the McCormick Place Expansion Project Fund, the
Illinois Tax Increment Fund, and the Tax Compliance and
Administration Fund as provided in this Section, the
Department shall pay each month into the Road Fund the amount
estimated to represent 16% of the net revenue realized from
the taxes imposed on motor fuel and gasohol. Beginning July 1,
2022 and until July 1, 2023, subject to the payment of amounts
into the County and Mass Transit District Fund, the Local
Government Tax Fund, the Build Illinois Fund, the McCormick
Place Expansion Project Fund, the Illinois Tax Increment Fund,
and the Tax Compliance and Administration Fund as provided in
this Section, the Department shall pay each month into the
Road Fund the amount estimated to represent 32% of the net
revenue realized from the taxes imposed on motor fuel and
gasohol. Beginning July 1, 2023 and until July 1, 2024,
subject to the payment of amounts into the County and Mass
Transit District Fund, the Local Government Tax Fund, the
Build Illinois Fund, the McCormick Place Expansion Project
Fund, the Illinois Tax Increment Fund, and the Tax Compliance
and Administration Fund as provided in this Section, the
Department shall pay each month into the Road Fund the amount

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estimated to represent 48% of the net revenue realized from
the taxes imposed on motor fuel and gasohol. Beginning July 1,
2024 and until July 1, 2025, subject to the payment of amounts
into the County and Mass Transit District Fund, the Local
Government Tax Fund, the Build Illinois Fund, the McCormick
Place Expansion Project Fund, the Illinois Tax Increment Fund,
and the Tax Compliance and Administration Fund as provided in
this Section, the Department shall pay each month into the
Road Fund the amount estimated to represent 64% of the net
revenue realized from the taxes imposed on motor fuel and
gasohol. Beginning on July 1, 2025, subject to the payment of
amounts into the County and Mass Transit District Fund, the
Local Government Tax Fund, the Build Illinois Fund, the
McCormick Place Expansion Project Fund, the Illinois Tax
Increment Fund, and the Tax Compliance and Administration Fund
as provided in this Section, the Department shall pay each
month into the Road Fund the amount estimated to represent 80%
of the net revenue realized from the taxes imposed on motor
fuel and gasohol. As used in this paragraph "motor fuel" has
the meaning given to that term in Section 1.1 of the Motor Fuel
Tax Law, and "gasohol" has the meaning given to that term in
Section 3-40 of the Use Tax Act.
Of the remainder of the moneys received by the Department
pursuant to this Act, 75% thereof shall be paid into the State
treasury and 25% shall be reserved in a special account and
used only for the transfer to the Common School Fund as part of

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the monthly transfer from the General Revenue Fund in
accordance with Section 8a of the State Finance Act.
The Department may, upon separate written notice to a
taxpayer, require the taxpayer to prepare and file with the
Department on a form prescribed by the Department within not
less than 60 days after receipt of the notice an annual
information return for the tax year specified in the notice.
Such annual return to the Department shall include a statement
of gross receipts as shown by the retailer's last federal
income tax return. If the total receipts of the business as
reported in the federal income tax return do not agree with the
gross receipts reported to the Department of Revenue for the
same period, the retailer shall attach to his annual return a
schedule showing a reconciliation of the 2 amounts and the
reasons for the difference. The retailer's annual return to
the Department shall also disclose the cost of goods sold by
the retailer during the year covered by such return, opening
and closing inventories of such goods for such year, costs of
goods used from stock or taken from stock and given away by the
retailer during such year, payroll information of the
retailer's business during such year and any additional
reasonable information which the Department deems would be
helpful in determining the accuracy of the monthly, quarterly,
or annual returns filed by such retailer as provided for in
this Section.
If the annual information return required by this Section

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is not filed when and as required, the taxpayer shall be liable
as follows:
(i) Until January 1, 1994, the taxpayer shall be
liable for a penalty equal to 1/6 of 1% of the tax due from
such taxpayer under this Act during the period to be
covered by the annual return for each month or fraction of
a month until such return is filed as required, the
penalty to be assessed and collected in the same manner as
any other penalty provided for in this Act.
(ii) On and after January 1, 1994, the taxpayer shall
be liable for a penalty as described in Section 3-4 of the
Uniform Penalty and Interest Act.
The chief executive officer, proprietor, owner, or highest
ranking manager shall sign the annual return to certify the
accuracy of the information contained therein. Any person who
willfully signs the annual return containing false or
inaccurate information shall be guilty of perjury and punished
accordingly. The annual return form prescribed by the
Department shall include a warning that the person signing the
return may be liable for perjury.
The provisions of this Section concerning the filing of an
annual information return do not apply to a retailer who is not
required to file an income tax return with the United States
Government.
As soon as possible after the first day of each month, upon
certification of the Department of Revenue, the Comptroller

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shall order transferred and the Treasurer shall transfer from
the General Revenue Fund to the Motor Fuel Tax Fund an amount
equal to 1.7% of 80% of the net revenue realized under this Act
for the second preceding month. Beginning April 1, 2000, this
transfer is no longer required and shall not be made.
Net revenue realized for a month shall be the revenue
collected by the State pursuant to this Act, less the amount
paid out during that month as refunds to taxpayers for
overpayment of liability.
For greater simplicity of administration, manufacturers,
importers and wholesalers whose products are sold at retail in
Illinois by numerous retailers, and who wish to do so, may
assume the responsibility for accounting and paying to the
Department all tax accruing under this Act with respect to
such sales, if the retailers who are affected do not make
written objection to the Department to this arrangement.
Any person who promotes, organizes, or provides retail
selling space for concessionaires or other types of sellers at
the Illinois State Fair, DuQuoin State Fair, county fairs,
local fairs, art shows, flea markets, and similar exhibitions
or events, including any transient merchant as defined by
Section 2 of the Transient Merchant Act of 1987, is required to
file a report with the Department providing the name of the
merchant's business, the name of the person or persons engaged
in merchant's business, the permanent address and Illinois
Retailers Occupation Tax Registration Number of the merchant,

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the dates and location of the event, and other reasonable
information that the Department may require. The report must
be filed not later than the 20th day of the month next
following the month during which the event with retail sales
was held. Any person who fails to file a report required by
this Section commits a business offense and is subject to a
fine not to exceed $250.
Any person engaged in the business of selling tangible
personal property at retail as a concessionaire or other type
of seller at the Illinois State Fair, county fairs, art shows,
flea markets, and similar exhibitions or events, or any
transient merchants, as defined by Section 2 of the Transient
Merchant Act of 1987, may be required to make a daily report of
the amount of such sales to the Department and to make a daily
payment of the full amount of tax due. The Department shall
impose this requirement when it finds that there is a
significant risk of loss of revenue to the State at such an
exhibition or event. Such a finding shall be based on evidence
that a substantial number of concessionaires or other sellers
who are not residents of Illinois will be engaging in the
business of selling tangible personal property at retail at
the exhibition or event, or other evidence of a significant
risk of loss of revenue to the State. The Department shall
notify concessionaires and other sellers affected by the
imposition of this requirement. In the absence of notification
by the Department, the concessionaires and other sellers shall

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file their returns as otherwise required in this Section.
(Source: P.A. 102-634, eff. 8-27-21; 102-700, Article 60,
Section 60-30, eff. 4-19-22; 102-700, Article 65, Section
65-10, eff. 4-19-22; 102-813, eff. 5-13-22; 102-1019, eff.
1-1-23; 103-9, eff. 6-7-23; 103-154, eff. 6-30-23; 103-363,
eff. 7-28-23; 103-592, Article 75, Section 75-20, eff. 1-1-25;
103-592, Article 110, Section 110-20, eff. 6-7-24; 103-605,
eff. 7-1-24; revised 10-16-24.)
Section 45. The Tobacco Products Tax Act of 1995 is
amended by changing Section 10-20 as follows:
(35 ILCS 143/10-20)
Sec. 10-20. Distributor's licenses. It shall be unlawful
for any person to engage in business as a distributor of
tobacco products within the meaning of this Act without first
having obtained a license to do so from the Department.
Application for that license shall be made to the Department
in a form prescribed and furnished by the Department. Each
applicant for a license shall furnish to the Department on a
form, signed and verified by the applicant, the following
information:
(1) The name of the applicant.
(2) The address of the location at which the applicant
proposes to engage in business as a distributor of tobacco
products.

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(3) Other information the Department may reasonably
require.
Each distributor, except for a distributor who is applying
for a distributor's license under this Act for the first time
or a distributor who, in the preceding year, had less than
$50,000 of tax liability, shall also file with the Department
a bond in an amount not to exceed (i) 3 times the amount of the
distributor's average monthly tax liability or (ii) $50,000,
whichever amount is lower, on a form to be approved by the
Department. The Department shall fix the amount of the bond
for each applicant, taking into consideration the amount of
money expected to become due from the applicant under this
Act. The amount of bond required by the Department shall be an
amount that, in its opinion, will protect the State of
Illinois against failure to pay the amount that may become due
from the applicant under this Act. Except as otherwise
provided in this Section, the bond, a reissue, or a substitute
shall be kept in full force and effect during the entire period
covered by the license. A separate application for license
shall be made, and bond filed, for each place of business at
which a person who is required to procure a distributor's
license proposes to engage in business as a distributor under
this Act.
The Department, upon receipt of an application and bond,
if required, in proper form, shall issue to the applicant a
license, in a form prescribed by the Department, which shall

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permit the applicant to whom it is issued to engage in business
as a distributor at the place shown on his or her application.
The license shall be issued by the Department without charge
or cost to the applicant. No license issued under this Act is
transferable or assignable. The license shall be conspicuously
displayed in the place of business conducted by the licensee
under the license.
Licenses issued by the Department under this Act shall be
valid for a period not to exceed one year after issuance unless
sooner revoked, canceled, or suspended as provided in this
Act.
No license shall be issued to any person who is in default
to the State of Illinois for moneys due under this Act or any
other tax Act administered by the Department.
The Department shall discharge any surety and shall
release and return any bond provided to it by a taxpayer under
this Section within 90 days after:
(1) the taxpayer becomes a prior continuous compliance
taxpayer; or
(2) the taxpayer has ceased to collect receipts on
which the taxpayer is required to remit the tax under this
Act to the Department, has filed a final tax return, and
has paid to the Department an amount sufficient to
discharge his remaining tax liability as determined by the
Department under this Act.
For the purposes of item (2), the Department shall make a

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final determination of the taxpayer's outstanding tax
liability as expeditiously as possible after the taxpayer's
final tax return under this Act has been filed. If the
Department will be unable to make such a final determination
within 45 days after receiving the taxpayer's final tax
return, then the Department shall notify the taxpayer within
that 45-day period stating the reasons why it is unable to make
the final determination within that 45-day period.
The Department may, in its discretion, upon application,
authorize the payment of the tax imposed under Section 10-10
by any distributor or manufacturer not otherwise subject to
the tax imposed under this Act who, to the satisfaction of the
Department, furnishes adequate security to ensure payment of
the tax. The distributor or manufacturer shall be issued,
without charge, a license to remit the tax. When so
authorized, it shall be the duty of the distributor or
manufacturer to remit the tax imposed upon the wholesale price
of tobacco products sold or otherwise disposed of to retailers
or consumers located in this State, in the same manner and
subject to the same requirements as any other distributor or
manufacturer licensed under this Act.
The Department may revoke, suspend, or cancel the license
of a distributor of roll-your-own tobacco (as that term is
used in Section 10 of the Tobacco Product Manufacturers'
Escrow Act) under this Act if the tobacco product
manufacturer, as defined in Section 10 of the Tobacco Product

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Manufacturers' Escrow Act, that made or sold the roll-your-own
tobacco has failed to become a participating manufacturer, as
defined in subdivision (a)(1) of Section 15 of the Tobacco
Product Manufacturers' Escrow Act, or has failed to create a
qualified escrow fund for any roll-your-own tobacco
manufactured by the tobacco product manufacturer and sold in
this State or otherwise failed to bring itself into compliance
with subdivision (a)(2) of Section 15 of the Tobacco Product
Manufacturers' Escrow Act.
Any applicant applying for a distributor's license after
the applicant's distributor's license has been revoked by the
Department shall also file a bond with the Department in an
amount equal to 3 times the amount of the applicant's average
monthly tax liability under this Act, as that average monthly
tax liability was calculated immediately prior to the
revocation of the applicant's distributor's license.
Any person aggrieved by any decision of the Department
under this Section may, within 20 days after notice of that
decision, protest and request a hearing, whereupon the
Department must give notice to that person of the time and
place fixed for the hearing and must hold a hearing in
conformity with the provisions of this Act and then issue its
final administrative decision in the matter to that person. In
the absence of such a protest within 20 days, the Department's
decision becomes final without any further determination being
made or notice given.

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(Source: P.A. 103-1001, eff. 8-9-24.)
Section 60. The Illinois Municipal Code is amended by
changing Sections 8-11-1.1, 8-11-1.3, 8-11-1.4, and 8-11-1.5
as follows:
(65 ILCS 5/8-11-1.1) (from Ch. 24, par. 8-11-1.1)
Sec. 8-11-1.1. Non-home rule municipalities; imposition of
taxes.
(a) The corporate authorities of a non-home rule
municipality may impose by ordinance or resolution the taxes
authorized in Sections 8-11-1.3, 8-11-1.4 and 8-11-1.5 of this
Act.
(b) (Blank).
(c) Until January 1, 1992, an ordinance or resolution
imposing the tax of not more than 1% hereunder or
discontinuing the same shall be adopted and a certified copy
thereof, together with a certification that the ordinance or
resolution received referendum approval in the case of the
imposition of such tax, filed with the Department of Revenue,
on or before the first day of June, whereupon the Department
shall proceed to administer and enforce the additional tax or
to discontinue the tax, as the case may be, as of the first day
of September next following such adoption and filing.
Beginning January 1, 1992 and through December 31, 1992,
an ordinance or resolution imposing or discontinuing the tax

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hereunder shall be adopted and a certified copy thereof filed
with the Department on or before the first day of July,
whereupon the Department shall proceed to administer and
enforce this Section as of the first day of October next
following such adoption and filing.
Beginning January 1, 1993, and through September 30, 2002,
an ordinance or resolution imposing or discontinuing the tax
hereunder shall be adopted and a certified copy thereof filed
with the Department on or before the first day of October,
whereupon the Department shall proceed to administer and
enforce this Section as of the first day of January next
following such adoption and filing.
Beginning October 1, 2002, and through December 31, 2013,
an ordinance or resolution imposing or discontinuing the tax
under this Section or effecting a change in the rate of tax
must either (i) be adopted and a certified copy of the
ordinance or resolution filed with the Department on or before
the first day of April, whereupon the Department shall proceed
to administer and enforce this Section as of the first day of
July next following the adoption and filing; or (ii) be
adopted and a certified copy of the ordinance or resolution
filed with the Department on or before the first day of
October, whereupon the Department shall proceed to administer
and enforce this Section as of the first day of January next
following the adoption and filing.
If Beginning January 1, 2014, if an ordinance or

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resolution imposing the tax under this Section, discontinuing
the tax under this Section, or effecting a change in the rate
of tax under this Section is adopted, a certified copy thereof
shall be filed with the Department of Revenue, either (i) on or
before the first day of April May, whereupon the Department
shall proceed to administer and enforce this Section as of the
first day of July next following the adoption and filing; or
(ii) on or before the first day of October, whereupon the
Department shall proceed to administer and enforce this
Section as of the first day of January next following the
adoption and filing.
Notwithstanding any provision in this Section to the
contrary, if, in a non-home rule municipality with more than
150,000 but fewer than 200,000 inhabitants, as determined by
the last preceding federal decennial census, an ordinance or
resolution under this Section imposes or discontinues a tax or
changes the tax rate as of July 1, 2007, then that ordinance or
resolution, together with a certification that the ordinance
or resolution received referendum approval in the case of the
imposition of the tax, must be adopted and a certified copy of
that ordinance or resolution must be filed with the Department
on or before May 15, 2007, whereupon the Department shall
proceed to administer and enforce this Section as of July 1,
2007.
Notwithstanding any provision in this Section to the
contrary, if, in a non-home rule municipality with more than

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6,500 but fewer than 7,000 inhabitants, as determined by the
last preceding federal decennial census, an ordinance or
resolution under this Section imposes or discontinues a tax or
changes the tax rate on or before May 20, 2009, then that
ordinance or resolution, together with a certification that
the ordinance or resolution received referendum approval in
the case of the imposition of the tax, must be adopted and a
certified copy of that ordinance or resolution must be filed
with the Department on or before May 20, 2009, whereupon the
Department shall proceed to administer and enforce this
Section as of July 1, 2009.
A non-home rule municipality may file a certified copy of
an ordinance or resolution with the Department of Revenue, as
required under this Section, only after October 2, 2000.
The tax authorized by this Section may not be more than 1%
and may be imposed only in 1/4% increments.
(Source: P.A. 103-781, eff. 8-5-24.)
(65 ILCS 5/8-11-1.3) (from Ch. 24, par. 8-11-1.3)
(Text of Section before amendment by P.A. 103-592)
Sec. 8-11-1.3. Non-Home Rule Municipal Retailers'
Occupation Tax Act. The corporate authorities of a non-home
rule municipality may impose, by ordinance or resolution
adopted in the manner described in Section 8-11-1.1, a tax
upon all persons engaged in the business of selling tangible
personal property, other than on an item of tangible personal

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property which is titled and registered by an agency of this
State's Government, at retail in the municipality. If imposed,
the tax shall be imposed on the gross receipts from such sales
made in the course of such business. The proceeds of the tax
may be used for expenditure on public infrastructure or for
property tax relief or both, as defined in Section 8-11-1.2 if
approved by referendum as provided in Section 8-11-1.1, of the
gross receipts from such sales made in the course of such
business. If the tax is approved by referendum on or after July
14, 2010 (the effective date of Public Act 96-1057) and before
August 5, 2024 (the effective date of Public Act 103-781), the
corporate authorities of the a non-home rule municipality may,
until January 1, 2031 July 1, 2030, use the proceeds of the tax
for expenditure on municipal operations, in addition to or in
lieu of any expenditure on public infrastructure or for
property tax relief. If the tax is approved by an ordinance or
resolution adopted on or after August 5, 2024 (the effective
date of Public Act 103-781), the corporate authorities of the
non-home rule municipality may, until January 1, 2031, use the
proceeds of the tax for expenditure on municipal operations,
in addition to or in lieu of any expenditure on public
infrastructure or for property tax relief. The tax imposed may
not be more than 1% and may be imposed only in 1/4% increments.
The tax may not be imposed on tangible personal property taxed
at the 1% rate under the Retailers' Occupation Tax Act (or at
the 0% rate imposed under this amendatory Act of the 102nd

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General Assembly). Beginning December 1, 2019, this tax is not
imposed on sales of aviation fuel unless the tax revenue is
expended for airport-related purposes. If a municipality does
not have an airport-related purpose to which it dedicates
aviation fuel tax revenue, then aviation fuel is excluded from
the tax. Each municipality must comply with the certification
requirements for airport-related purposes under Section 2-22
of the Retailers' Occupation Tax Act. For purposes of this
Section, "airport-related purposes" has the meaning ascribed
in Section 6z-20.2 of the State Finance Act. This exclusion
for aviation fuel only applies for so long as the revenue use
requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
binding on the municipality. The tax imposed by a municipality
pursuant to this Section and all civil penalties that may be
assessed as an incident thereof shall be collected and
enforced by the State Department of Revenue. The certificate
of registration which is issued by the Department to a
retailer under the Retailers' Occupation Tax Act shall permit
such retailer to engage in a business which is taxable under
any ordinance or resolution enacted pursuant to this Section
without registering separately with the Department under such
ordinance or resolution or under this Section. The Department
shall have full power to administer and enforce this Section;
to collect all taxes and penalties due hereunder; to dispose
of taxes and penalties so collected in the manner hereinafter
provided, and to determine all rights to credit memoranda,

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arising on account of the erroneous payment of tax or penalty
hereunder. In the administration of, and compliance with, this
Section, the Department and persons who are subject to this
Section shall have the same rights, remedies, privileges,
immunities, powers and duties, and be subject to the same
conditions, restrictions, limitations, penalties and
definitions of terms, and employ the same modes of procedure,
as are prescribed in Sections 1, 1a, 1a-1, 1d, 1e, 1f, 1i, 1j,
2 through 2-65 (in respect to all provisions therein other
than the State rate of tax), 2c, 3 (except as to the
disposition of taxes and penalties collected, and except that
the retailer's discount is not allowed for taxes paid on
aviation fuel that are subject to the revenue use requirements
of 49 U.S.C. 47107(b) and 49 U.S.C. 47133), 4, 5, 5a, 5b, 5c,
5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d, 7, 8, 9,
10, 11, 12 and 13 of the Retailers' Occupation Tax Act and
Section 3-7 of the Uniform Penalty and Interest Act as fully as
if those provisions were set forth herein.
No municipality may impose a tax under this Section unless
the municipality also imposes a tax at the same rate under
Section 8-11-1.4 of this Code.
Persons subject to any tax imposed pursuant to the
authority granted in this Section may reimburse themselves for
their seller's tax liability hereunder by separately stating
such tax as an additional charge, which charge may be stated in
combination, in a single amount, with State tax which sellers

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are required to collect under the Use Tax Act, pursuant to such
bracket schedules as the Department may prescribe.
Whenever the Department determines that a refund should be
made under this Section to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the order to be drawn for the
amount specified, and to the person named, in such
notification from the Department. Such refund shall be paid by
the State Treasurer out of the non-home rule municipal
retailers' occupation tax fund or the Local Government
Aviation Trust Fund, as appropriate.
Except as otherwise provided, the Department shall
forthwith pay over to the State Treasurer, ex officio, as
trustee, all taxes and penalties collected hereunder for
deposit into the Non-Home Rule Municipal Retailers' Occupation
Tax Fund. Taxes and penalties collected on aviation fuel sold
on or after December 1, 2019, shall be immediately paid over by
the Department to the State Treasurer, ex officio, as trustee,
for deposit into the Local Government Aviation Trust Fund. The
Department shall only pay moneys into the Local Government
Aviation Trust Fund under this Section for so long as the
revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
47133 are binding on the municipality.
As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the
Department of Revenue, the Comptroller shall order

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transferred, and the Treasurer shall transfer, to the STAR
Bonds Revenue Fund the local sales tax increment, as defined
in the Innovation Development and Economy Act, collected under
this Section during the second preceding calendar month for
sales within a STAR bond district.
After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
disbursement of stated sums of money to named municipalities,
the municipalities to be those from which retailers have paid
taxes or penalties hereunder to the Department during the
second preceding calendar month. The amount to be paid to each
municipality shall be the amount (not including credit
memoranda and not including taxes and penalties collected on
aviation fuel sold on or after December 1, 2019) collected
hereunder during the second preceding calendar month by the
Department plus an amount the Department determines is
necessary to offset any amounts which were erroneously paid to
a different taxing body, and not including an amount equal to
the amount of refunds made during the second preceding
calendar month by the Department on behalf of such
municipality, and not including any amount which the
Department determines is necessary to offset any amounts which
were payable to a different taxing body but were erroneously
paid to the municipality, and not including any amounts that
are transferred to the STAR Bonds Revenue Fund, less 1.5% of

10300HB4636sam001 - 199 - LRB103 38201 HLH 76612 a
the remainder, which the Department shall transfer into the
Tax Compliance and Administration Fund. The Department, at the
time of each monthly disbursement to the municipalities, shall
prepare and certify to the State Comptroller the amount to be
transferred into the Tax Compliance and Administration Fund
under this Section. Within 10 days after receipt, by the
Comptroller, of the disbursement certification to the
municipalities and the Tax Compliance and Administration Fund
provided for in this Section to be given to the Comptroller by
the Department, the Comptroller shall cause the orders to be
drawn for the respective amounts in accordance with the
directions contained in such certification.
For the purpose of determining the local governmental unit
whose tax is applicable, a retail sale, by a producer of coal
or other mineral mined in Illinois, is a sale at retail at the
place where the coal or other mineral mined in Illinois is
extracted from the earth. This paragraph does not apply to
coal or other mineral when it is delivered or shipped by the
seller to the purchaser at a point outside Illinois so that the
sale is exempt under the Federal Constitution as a sale in
interstate or foreign commerce.
Nothing in this Section shall be construed to authorize a
municipality to impose a tax upon the privilege of engaging in
any business which under the constitution of the United States
may not be made the subject of taxation by this State.
When certifying the amount of a monthly disbursement to a

10300HB4636sam001 - 200 - LRB103 38201 HLH 76612 a
municipality under this Section, the Department shall increase
or decrease such amount by an amount necessary to offset any
misallocation of previous disbursements. The offset amount
shall be the amount erroneously disbursed within the previous
6 months from the time a misallocation is discovered.
The Department of Revenue shall implement Public Act
91-649 so as to collect the tax on and after January 1, 2002.
As used in this Section, "municipal" and "municipality"
mean a city, village, or incorporated town, including an
incorporated town which has superseded a civil township.
This Section shall be known and may be cited as the
Non-Home Rule Municipal Retailers' Occupation Tax Act.
(Source: P.A. 101-10, eff. 6-5-19; 101-47, eff. 1-1-20;
101-81, eff. 7-12-19; 101-604, eff. 12-13-19; 102-700, eff.
4-19-22.)
(Text of Section after amendment by P.A. 103-592)
Sec. 8-11-1.3. Non-Home Rule Municipal Retailers'
Occupation Tax Act. The corporate authorities of a non-home
rule municipality may impose, by ordinance or resolution
adopted in the manner described in Section 8-11-1.1, a tax
upon all persons engaged in the business of selling tangible
personal property, other than on an item of tangible personal
property which is titled and registered by an agency of this
State's Government, at retail in the municipality. If imposed,
the tax shall be imposed on the gross receipts from such sales

10300HB4636sam001 - 201 - LRB103 38201 HLH 76612 a
made in the course of such business. The proceeds of the tax
may be used for expenditure on public infrastructure or for
property tax relief or both, as defined in Section 8-11-1.2 if
approved by referendum as provided in Section 8-11-1.1, of the
gross receipts from such sales made in the course of such
business. If the tax is approved by referendum on or after July
14, 2010 (the effective date of Public Act 96-1057) and before
August 5, 2024 (the effective date of Public Act 103-781), the
corporate authorities of the a non-home rule municipality may,
until January 1, 2031 July 1, 2030, use the proceeds of the tax
for expenditure on municipal operations, in addition to or in
lieu of any expenditure on public infrastructure or for
property tax relief. If the tax is approved by an ordinance or
resolution adopted on or after August 5, 2024 (the effective
date of Public Act 103-781), the corporate authorities of the
non-home rule municipality may, until January 1, 2031, use the
proceeds of the tax for expenditure on municipal operations,
in addition to or in lieu of any expenditure on public
infrastructure or for property tax relief. The tax imposed may
not be more than 1% and may be imposed only in 1/4% increments.
The tax may not be imposed on tangible personal property taxed
at the 1% rate under the Retailers' Occupation Tax Act (or at
the 0% rate imposed under this amendatory Act of the 102nd
General Assembly). Beginning December 1, 2019, this tax is not
imposed on sales of aviation fuel unless the tax revenue is
expended for airport-related purposes. If a municipality does

10300HB4636sam001 - 202 - LRB103 38201 HLH 76612 a
not have an airport-related purpose to which it dedicates
aviation fuel tax revenue, then aviation fuel is excluded from
the tax. Each municipality must comply with the certification
requirements for airport-related purposes under Section 2-22
of the Retailers' Occupation Tax Act. For purposes of this
Section, "airport-related purposes" has the meaning ascribed
in Section 6z-20.2 of the State Finance Act. This exclusion
for aviation fuel only applies for so long as the revenue use
requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
binding on the municipality. The tax imposed by a municipality
pursuant to this Section and all civil penalties that may be
assessed as an incident thereof shall be collected and
enforced by the State Department of Revenue. The certificate
of registration which is issued by the Department to a
retailer under the Retailers' Occupation Tax Act shall permit
such retailer to engage in a business which is taxable under
any ordinance or resolution enacted pursuant to this Section
without registering separately with the Department under such
ordinance or resolution or under this Section. The Department
shall have full power to administer and enforce this Section;
to collect all taxes and penalties due hereunder; to dispose
of taxes and penalties so collected in the manner hereinafter
provided, and to determine all rights to credit memoranda,
arising on account of the erroneous payment of tax or penalty
hereunder. In the administration of, and compliance with, this
Section, the Department and persons who are subject to this

10300HB4636sam001 - 203 - LRB103 38201 HLH 76612 a
Section shall have the same rights, remedies, privileges,
immunities, powers and duties, and be subject to the same
conditions, restrictions, limitations, penalties and
definitions of terms, and employ the same modes of procedure,
as are prescribed in Sections 1, 1a, 1a-1, 1d, 1e, 1f, 1i, 1j,
2 through 2-65 (in respect to all provisions therein other
than the State rate of tax), 2c, 3 (except as to the
disposition of taxes and penalties collected, and except that
the retailer's discount is not allowed for taxes paid on
aviation fuel that are subject to the revenue use requirements
of 49 U.S.C. 47107(b) and 49 U.S.C. 47133), 4, 5, 5a, 5b, 5c,
5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d, 7, 8, 9,
10, 11, 12 and 13 of the Retailers' Occupation Tax Act and
Section 3-7 of the Uniform Penalty and Interest Act as fully as
if those provisions were set forth herein.
No municipality may impose a tax under this Section unless
the municipality also imposes a tax at the same rate under
Section 8-11-1.4 of this Code.
If, on January 1, 2025, a unit of local government has in
effect a tax under this Section, or if, after January 1, 2025,
a unit of local government imposes a tax under this Section,
then that tax applies to leases of tangible personal property
in effect, entered into, or renewed on or after that date in
the same manner as the tax under this Section and in accordance
with the changes made by this amendatory Act of the 103rd
General Assembly.

10300HB4636sam001 - 204 - LRB103 38201 HLH 76612 a
Persons subject to any tax imposed pursuant to the
authority granted in this Section may reimburse themselves for
their seller's tax liability hereunder by separately stating
such tax as an additional charge, which charge may be stated in
combination, in a single amount, with State tax which sellers
are required to collect under the Use Tax Act, pursuant to such
bracket schedules as the Department may prescribe.
Whenever the Department determines that a refund should be
made under this Section to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the order to be drawn for the
amount specified, and to the person named, in such
notification from the Department. Such refund shall be paid by
the State Treasurer out of the non-home rule municipal
retailers' occupation tax fund or the Local Government
Aviation Trust Fund, as appropriate.
Except as otherwise provided, the Department shall
forthwith pay over to the State Treasurer, ex officio, as
trustee, all taxes and penalties collected hereunder for
deposit into the Non-Home Rule Municipal Retailers' Occupation
Tax Fund. Taxes and penalties collected on aviation fuel sold
on or after December 1, 2019, shall be immediately paid over by
the Department to the State Treasurer, ex officio, as trustee,
for deposit into the Local Government Aviation Trust Fund. The
Department shall only pay moneys into the Local Government
Aviation Trust Fund under this Section for so long as the

10300HB4636sam001 - 205 - LRB103 38201 HLH 76612 a
revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
47133 are binding on the municipality.
As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the
Department of Revenue, the Comptroller shall order
transferred, and the Treasurer shall transfer, to the STAR
Bonds Revenue Fund the local sales tax increment, as defined
in the Innovation Development and Economy Act, collected under
this Section during the second preceding calendar month for
sales within a STAR bond district.
After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
disbursement of stated sums of money to named municipalities,
the municipalities to be those from which retailers have paid
taxes or penalties hereunder to the Department during the
second preceding calendar month. The amount to be paid to each
municipality shall be the amount (not including credit
memoranda and not including taxes and penalties collected on
aviation fuel sold on or after December 1, 2019) collected
hereunder during the second preceding calendar month by the
Department plus an amount the Department determines is
necessary to offset any amounts which were erroneously paid to
a different taxing body, and not including an amount equal to
the amount of refunds made during the second preceding
calendar month by the Department on behalf of such

10300HB4636sam001 - 206 - LRB103 38201 HLH 76612 a
municipality, and not including any amount which the
Department determines is necessary to offset any amounts which
were payable to a different taxing body but were erroneously
paid to the municipality, and not including any amounts that
are transferred to the STAR Bonds Revenue Fund, less 1.5% of
the remainder, which the Department shall transfer into the
Tax Compliance and Administration Fund. The Department, at the
time of each monthly disbursement to the municipalities, shall
prepare and certify to the State Comptroller the amount to be
transferred into the Tax Compliance and Administration Fund
under this Section. Within 10 days after receipt, by the
Comptroller, of the disbursement certification to the
municipalities and the Tax Compliance and Administration Fund
provided for in this Section to be given to the Comptroller by
the Department, the Comptroller shall cause the orders to be
drawn for the respective amounts in accordance with the
directions contained in such certification.
For the purpose of determining the local governmental unit
whose tax is applicable, a retail sale, by a producer of coal
or other mineral mined in Illinois, is a sale at retail at the
place where the coal or other mineral mined in Illinois is
extracted from the earth. This paragraph does not apply to
coal or other mineral when it is delivered or shipped by the
seller to the purchaser at a point outside Illinois so that the
sale is exempt under the Federal Constitution as a sale in
interstate or foreign commerce.

10300HB4636sam001 - 207 - LRB103 38201 HLH 76612 a
Nothing in this Section shall be construed to authorize a
municipality to impose a tax upon the privilege of engaging in
any business which under the constitution of the United States
may not be made the subject of taxation by this State.
When certifying the amount of a monthly disbursement to a
municipality under this Section, the Department shall increase
or decrease such amount by an amount necessary to offset any
misallocation of previous disbursements. The offset amount
shall be the amount erroneously disbursed within the previous
6 months from the time a misallocation is discovered.
The Department of Revenue shall implement Public Act
91-649 so as to collect the tax on and after January 1, 2002.
As used in this Section, "municipal" and "municipality"
mean a city, village, or incorporated town, including an
incorporated town which has superseded a civil township.
This Section shall be known and may be cited as the
Non-Home Rule Municipal Retailers' Occupation Tax Act.
(Source: P.A. 102-700, eff. 4-19-22; 103-592, eff. 1-1-25.)
(65 ILCS 5/8-11-1.4) (from Ch. 24, par. 8-11-1.4)
(Text of Section before amendment by P.A. 103-592)
Sec. 8-11-1.4. Non-Home Rule Municipal Service Occupation
Tax Act. The corporate authorities of a non-home rule
municipality may impose, by ordinance or resolution adopted in
the manner described in Section 8-11-1.1, a tax upon all
persons engaged, in the such municipality, in the business of

10300HB4636sam001 - 208 - LRB103 38201 HLH 76612 a
making sales of service. If imposed, the tax shall be imposed
on the selling price of all tangible personal property
transferred by such servicemen, either in the form of tangible
personal property or in the form of real estate, as an incident
to a sale of service. The proceeds of the tax may be used for
expenditure on public infrastructure or for property tax
relief or both, as defined in Section 8-11-1.2 if approved by
referendum as provided in Section 8-11-1.1, of the selling
price of all tangible personal property transferred by such
servicemen either in the form of tangible personal property or
in the form of real estate as an incident to a sale of service.
If the tax is approved by referendum on or after July 14, 2010
(the effective date of Public Act 96-1057) and before August
5, 2024 (the effective date of Public Act 103-781), the
corporate authorities of the a non-home rule municipality may,
until January 1, 2031 December 31, 2030, use the proceeds of
the tax for expenditure on municipal operations, in addition
to or in lieu of any expenditure on public infrastructure or
for property tax relief. If the tax is approved by an ordinance
or resolution adopted on or after August 5, 2024 (the
effective date of Public Act 103-781), the corporate
authorities of the non-home rule municipality may, until
January 1, 2031, use the proceeds of the tax for expenditure on
municipal operations, in addition to or in lieu of any
expenditure on public infrastructure or for property tax
relief. The tax imposed may not be more than 1% and may be

10300HB4636sam001 - 209 - LRB103 38201 HLH 76612 a
imposed only in 1/4% increments. The tax may not be imposed on
tangible personal property taxed at the 1% rate under the
Service Occupation Tax Act (or at the 0% rate imposed under
this amendatory Act of the 102nd General Assembly). Beginning
December 1, 2019, this tax is not imposed on sales of aviation
fuel unless the tax revenue is expended for airport-related
purposes. If a municipality does not have an airport-related
purpose to which it dedicates aviation fuel tax revenue, then
aviation fuel is excluded from the tax. Each municipality must
comply with the certification requirements for airport-related
purposes under Section 2-22 of the Retailers' Occupation Tax
Act. For purposes of this Section, "airport-related purposes"
has the meaning ascribed in Section 6z-20.2 of the State
Finance Act. This exclusion for aviation fuel only applies for
so long as the revenue use requirements of 49 U.S.C. 47107(b)
and 49 U.S.C. 47133 are binding on the municipality. The tax
imposed by a municipality pursuant to this Section and all
civil penalties that may be assessed as an incident thereof
shall be collected and enforced by the State Department of
Revenue. The certificate of registration which is issued by
the Department to a retailer under the Retailers' Occupation
Tax Act or under the Service Occupation Tax Act shall permit
such registrant to engage in a business which is taxable under
any ordinance or resolution enacted pursuant to this Section
without registering separately with the Department under such
ordinance or resolution or under this Section. The Department

10300HB4636sam001 - 210 - LRB103 38201 HLH 76612 a
shall have full power to administer and enforce this Section;
to collect all taxes and penalties due hereunder; to dispose
of taxes and penalties so collected in the manner hereinafter
provided, and to determine all rights to credit memoranda
arising on account of the erroneous payment of tax or penalty
hereunder. In the administration of, and compliance with, this
Section the Department and persons who are subject to this
Section shall have the same rights, remedies, privileges,
immunities, powers and duties, and be subject to the same
conditions, restrictions, limitations, penalties and
definitions of terms, and employ the same modes of procedure,
as are prescribed in Sections 1a-1, 2, 2a, 3 through 3-50 (in
respect to all provisions therein other than the State rate of
tax), 4 (except that the reference to the State shall be to the
taxing municipality), 5, 7, 8 (except that the jurisdiction to
which the tax shall be a debt to the extent indicated in that
Section 8 shall be the taxing municipality), 9 (except as to
the disposition of taxes and penalties collected, and except
that the returned merchandise credit for this municipal tax
may not be taken against any State tax, and except that the
retailer's discount is not allowed for taxes paid on aviation
fuel that are subject to the revenue use requirements of 49
U.S.C. 47107(b) and 49 U.S.C. 47133), 10, 11, 12 (except the
reference therein to Section 2b of the Retailers' Occupation
Tax Act), 13 (except that any reference to the State shall mean
the taxing municipality), the first paragraph of Section 15,

10300HB4636sam001 - 211 - LRB103 38201 HLH 76612 a
16, 17, 18, 19 and 20 of the Service Occupation Tax Act and
Section 3-7 of the Uniform Penalty and Interest Act, as fully
as if those provisions were set forth herein.
No municipality may impose a tax under this Section unless
the municipality also imposes a tax at the same rate under
Section 8-11-1.3 of this Code.
Persons subject to any tax imposed pursuant to the
authority granted in this Section may reimburse themselves for
their serviceman's tax liability hereunder by separately
stating such tax as an additional charge, which charge may be
stated in combination, in a single amount, with State tax
which servicemen are authorized to collect under the Service
Use Tax Act, pursuant to such bracket schedules as the
Department may prescribe.
Whenever the Department determines that a refund should be
made under this Section to a claimant instead of issuing
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the order to be drawn for the
amount specified, and to the person named, in such
notification from the Department. Such refund shall be paid by
the State Treasurer out of the municipal retailers' occupation
tax fund or the Local Government Aviation Trust Fund, as
appropriate.
Except as otherwise provided in this paragraph, the
Department shall forthwith pay over to the State Treasurer, ex
officio, as trustee, all taxes and penalties collected

10300HB4636sam001 - 212 - LRB103 38201 HLH 76612 a
hereunder for deposit into the municipal retailers' occupation
tax fund. Taxes and penalties collected on aviation fuel sold
on or after December 1, 2019, shall be immediately paid over by
the Department to the State Treasurer, ex officio, as trustee,
for deposit into the Local Government Aviation Trust Fund. The
Department shall only pay moneys into the Local Government
Aviation Trust Fund under this Section for so long as the
revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
47133 are binding on the municipality.
As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the
Department of Revenue, the Comptroller shall order
transferred, and the Treasurer shall transfer, to the STAR
Bonds Revenue Fund the local sales tax increment, as defined
in the Innovation Development and Economy Act, collected under
this Section during the second preceding calendar month for
sales within a STAR bond district.
After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
disbursement of stated sums of money to named municipalities,
the municipalities to be those from which suppliers and
servicemen have paid taxes or penalties hereunder to the
Department during the second preceding calendar month. The
amount to be paid to each municipality shall be the amount (not
including credit memoranda and not including taxes and

10300HB4636sam001 - 213 - LRB103 38201 HLH 76612 a
penalties collected on aviation fuel sold on or after December
1, 2019) collected hereunder during the second preceding
calendar month by the Department, and not including an amount
equal to the amount of refunds made during the second
preceding calendar month by the Department on behalf of such
municipality, and not including any amounts that are
transferred to the STAR Bonds Revenue Fund, less 1.5% of the
remainder, which the Department shall transfer into the Tax
Compliance and Administration Fund. The Department, at the
time of each monthly disbursement to the municipalities, shall
prepare and certify to the State Comptroller the amount to be
transferred into the Tax Compliance and Administration Fund
under this Section. Within 10 days after receipt, by the
Comptroller, of the disbursement certification to the
municipalities, the General Revenue Fund, and the Tax
Compliance and Administration Fund provided for in this
Section to be given to the Comptroller by the Department, the
Comptroller shall cause the orders to be drawn for the
respective amounts in accordance with the directions contained
in such certification.
The Department of Revenue shall implement Public Act
91-649 so as to collect the tax on and after January 1, 2002.
Nothing in this Section shall be construed to authorize a
municipality to impose a tax upon the privilege of engaging in
any business which under the constitution of the United States
may not be made the subject of taxation by this State.

10300HB4636sam001 - 214 - LRB103 38201 HLH 76612 a
As used in this Section, "municipal" or "municipality"
means or refers to a city, village or incorporated town,
including an incorporated town which has superseded a civil
township.
This Section shall be known and may be cited as the
"Non-Home Rule Municipal Service Occupation Tax Act".
(Source: P.A. 102-700, eff. 4-19-22; 103-9, eff. 6-7-23.)
(Text of Section after amendment by P.A. 103-592)
Sec. 8-11-1.4. Non-Home Rule Municipal Service Occupation
Tax Act. The corporate authorities of a non-home rule
municipality may impose, by ordinance or resolution adopted in
the manner described in Section 8-11-1.1, a tax upon all
persons engaged, in the such municipality, in the business of
making sales of service. If imposed, the tax shall be imposed
on the selling price of all tangible personal property
transferred by such servicemen, either in the form of tangible
personal property or in the form of real estate, as an incident
to a sale of service. The proceeds of the tax may be used for
expenditure on public infrastructure or for property tax
relief or both, as defined in Section 8-11-1.2 if approved by
referendum as provided in Section 8-11-1.1, of the selling
price of all tangible personal property transferred by such
servicemen either in the form of tangible personal property or
in the form of real estate as an incident to a sale of service.
If the tax is approved by referendum on or after July 14, 2010

10300HB4636sam001 - 215 - LRB103 38201 HLH 76612 a
(the effective date of Public Act 96-1057) and before August
5, 2024 (the effective date of Public Act 103-781), the
corporate authorities of a non-home rule municipality may,
until January 1, 2031 December 31, 2030, use the proceeds of
the tax for expenditure on municipal operations, in addition
to or in lieu of any expenditure on public infrastructure or
for property tax relief. If the tax is approved by an ordinance
or resolution adopted on or after August 5, 2024 (the
effective date of Public Act 103-781), the corporate
authorities of the non-home rule municipality may, until
January 1, 2031, use the proceeds of the tax for expenditure on
municipal operations, in addition to or in lieu of any
expenditure on public infrastructure or for property tax
relief. The tax imposed may not be more than 1% and may be
imposed only in 1/4% increments. The tax may not be imposed on
tangible personal property taxed at the 1% rate under the
Service Occupation Tax Act (or at the 0% rate imposed under
this amendatory Act of the 102nd General Assembly). Beginning
December 1, 2019, this tax is not imposed on sales of aviation
fuel unless the tax revenue is expended for airport-related
purposes. If a municipality does not have an airport-related
purpose to which it dedicates aviation fuel tax revenue, then
aviation fuel is excluded from the tax. Each municipality must
comply with the certification requirements for airport-related
purposes under Section 2-22 of the Retailers' Occupation Tax
Act. For purposes of this Section, "airport-related purposes"

10300HB4636sam001 - 216 - LRB103 38201 HLH 76612 a
has the meaning ascribed in Section 6z-20.2 of the State
Finance Act. This exclusion for aviation fuel only applies for
so long as the revenue use requirements of 49 U.S.C. 47107(b)
and 49 U.S.C. 47133 are binding on the municipality. The tax
imposed by a municipality pursuant to this Section and all
civil penalties that may be assessed as an incident thereof
shall be collected and enforced by the State Department of
Revenue. The certificate of registration which is issued by
the Department to a retailer under the Retailers' Occupation
Tax Act or under the Service Occupation Tax Act shall permit
such registrant to engage in a business which is taxable under
any ordinance or resolution enacted pursuant to this Section
without registering separately with the Department under such
ordinance or resolution or under this Section. The Department
shall have full power to administer and enforce this Section;
to collect all taxes and penalties due hereunder; to dispose
of taxes and penalties so collected in the manner hereinafter
provided, and to determine all rights to credit memoranda
arising on account of the erroneous payment of tax or penalty
hereunder. In the administration of, and compliance with, this
Section the Department and persons who are subject to this
Section shall have the same rights, remedies, privileges,
immunities, powers and duties, and be subject to the same
conditions, restrictions, limitations, penalties and
definitions of terms, and employ the same modes of procedure,
as are prescribed in Sections 1a-1, 2, 2a, 3 through 3-50 (in

10300HB4636sam001 - 217 - LRB103 38201 HLH 76612 a
respect to all provisions therein other than the State rate of
tax), 4 (except that the reference to the State shall be to the
taxing municipality), 5, 7, 8 (except that the jurisdiction to
which the tax shall be a debt to the extent indicated in that
Section 8 shall be the taxing municipality), 9 (except as to
the disposition of taxes and penalties collected, and except
that the returned merchandise credit for this municipal tax
may not be taken against any State tax, and except that the
retailer's discount is not allowed for taxes paid on aviation
fuel that are subject to the revenue use requirements of 49
U.S.C. 47107(b) and 49 U.S.C. 47133), 10, 11, 12 (except the
reference therein to Section 2b of the Retailers' Occupation
Tax Act), 13 (except that any reference to the State shall mean
the taxing municipality), the first paragraph of Section 15,
16, 17, 18, 19 and 20 of the Service Occupation Tax Act and
Section 3-7 of the Uniform Penalty and Interest Act, as fully
as if those provisions were set forth herein.
No municipality may impose a tax under this Section unless
the municipality also imposes a tax at the same rate under
Section 8-11-1.3 of this Code.
If, on January 1, 2025, a unit of local government has in
effect a tax under this Section, or if, after January 1, 2025,
a unit of local government imposes a tax under this Section,
then that tax applies to leases of tangible personal property
in effect, entered into, or renewed on or after that date in
the same manner as the tax under this Section and in accordance

10300HB4636sam001 - 218 - LRB103 38201 HLH 76612 a
with the changes made by this amendatory Act of the 103rd
General Assembly.
Persons subject to any tax imposed pursuant to the
authority granted in this Section may reimburse themselves for
their serviceman's tax liability hereunder by separately
stating such tax as an additional charge, which charge may be
stated in combination, in a single amount, with State tax
which servicemen are authorized to collect under the Service
Use Tax Act, pursuant to such bracket schedules as the
Department may prescribe.
Whenever the Department determines that a refund should be
made under this Section to a claimant instead of issuing
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the order to be drawn for the
amount specified, and to the person named, in such
notification from the Department. Such refund shall be paid by
the State Treasurer out of the municipal retailers' occupation
tax fund or the Local Government Aviation Trust Fund, as
appropriate.
Except as otherwise provided in this paragraph, the
Department shall forthwith pay over to the State Treasurer, ex
officio, as trustee, all taxes and penalties collected
hereunder for deposit into the municipal retailers' occupation
tax fund. Taxes and penalties collected on aviation fuel sold
on or after December 1, 2019, shall be immediately paid over by
the Department to the State Treasurer, ex officio, as trustee,

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for deposit into the Local Government Aviation Trust Fund. The
Department shall only pay moneys into the Local Government
Aviation Trust Fund under this Section for so long as the
revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
47133 are binding on the municipality.
As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the
Department of Revenue, the Comptroller shall order
transferred, and the Treasurer shall transfer, to the STAR
Bonds Revenue Fund the local sales tax increment, as defined
in the Innovation Development and Economy Act, collected under
this Section during the second preceding calendar month for
sales within a STAR bond district.
After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
disbursement of stated sums of money to named municipalities,
the municipalities to be those from which suppliers and
servicemen have paid taxes or penalties hereunder to the
Department during the second preceding calendar month. The
amount to be paid to each municipality shall be the amount (not
including credit memoranda and not including taxes and
penalties collected on aviation fuel sold on or after December
1, 2019) collected hereunder during the second preceding
calendar month by the Department, and not including an amount
equal to the amount of refunds made during the second

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preceding calendar month by the Department on behalf of such
municipality, and not including any amounts that are
transferred to the STAR Bonds Revenue Fund, less 1.5% of the
remainder, which the Department shall transfer into the Tax
Compliance and Administration Fund. The Department, at the
time of each monthly disbursement to the municipalities, shall
prepare and certify to the State Comptroller the amount to be
transferred into the Tax Compliance and Administration Fund
under this Section. Within 10 days after receipt, by the
Comptroller, of the disbursement certification to the
municipalities, the General Revenue Fund, and the Tax
Compliance and Administration Fund provided for in this
Section to be given to the Comptroller by the Department, the
Comptroller shall cause the orders to be drawn for the
respective amounts in accordance with the directions contained
in such certification.
The Department of Revenue shall implement Public Act
91-649 so as to collect the tax on and after January 1, 2002.
Nothing in this Section shall be construed to authorize a
municipality to impose a tax upon the privilege of engaging in
any business which under the constitution of the United States
may not be made the subject of taxation by this State.
As used in this Section, "municipal" or "municipality"
means or refers to a city, village or incorporated town,
including an incorporated town which has superseded a civil
township.

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This Section shall be known and may be cited as the
"Non-Home Rule Municipal Service Occupation Tax Act".
(Source: P.A. 102-700, eff. 4-19-22; 103-9, eff. 6-7-23;
103-592, eff. 1-1-25.)
(65 ILCS 5/8-11-1.5) (from Ch. 24, par. 8-11-1.5)
Sec. 8-11-1.5. Non-Home Rule Municipal Use Tax Act. The
corporate authorities of a non-home rule municipality may
impose, by ordinance or resolution adopted in the manner
described in Section 8-11-1.1, a tax upon the privilege of
using, in such municipality, any item of tangible personal
property which is purchased at retail from a retailer, and
which is titled or registered with an agency of this State's
government. If imposed, the tax shall be , based on the selling
price of such tangible personal property, as "selling price"
is defined in the Use Tax Act. The proceeds of the tax may be
used , for expenditure on public infrastructure or for
property tax relief or both as defined in Section 8-11-1.2, if
approved by referendum as provided in Section 8-11-1.1. If the
tax is approved by referendum on or after July 14, 2010 (the
effective date of Public Act 96-1057) and before August 5,
2024 (the effective date of Public Act 103-781) this
amendatory Act of the 96th General Assembly, the corporate
authorities of a non-home rule municipality may, until January
1, 2031 December 31, 2030, use the proceeds of the tax for
expenditure on municipal operations, in addition to or in lieu

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of any expenditure on public infrastructure or for property
tax relief. If the tax is imposed by ordinance or resolution on
or after August 5, 2024 (the effective date of Public Act
103-781), the corporate authorities of the non-home rule
municipality may, until January 1, 2031, use the proceeds of
the tax for expenditure on municipal operations in addition to
or in lieu of any expenditure on public infrastructure or for
property tax relief. The tax imposed may not be more than 1%
and may be imposed only in 1/4% increments. Such tax shall be
collected from persons whose Illinois address for title or
registration purposes is given as being in such municipality.
Such tax shall be collected by the municipality imposing such
tax. A non-home rule municipality may not impose and collect
the tax prior to January 1, 2002.
This Section shall be known and may be cited as the
"Non-Home Rule Municipal Use Tax Act".
(Source: P.A. 103-9, eff. 6-7-23.)
Section 95. No acceleration or delay. Where this Act makes
changes in a statute that is represented in this Act by text
that is not yet or no longer in effect (for example, a Section
represented by multiple versions), the use of that text does
not accelerate or delay the taking effect of (i) the changes
made by this Act or (ii) provisions derived from any other
Public Act.

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