Bill Text: IL HB2605 | 2009-2010 | 96th General Assembly | Introduced

---

Bill Title: Amends the Retailers' Occupation Tax Act. Makes a technical change in a Section concerning the rate of tax.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2009-03-13 - Rule 19(a) / Re-referred to Rules Committee [HB2605 Detail]

Download: Illinois-2009-HB2605-Introduced.html

---

96TH GENERAL ASSEMBLY State of Illinois 2009 and 2010 HB2605 Introduced 2/20/2009, by Rep. Harry Osterman SYNOPSIS AS INTRODUCED:
35 ILCS 120/2-10 from Ch. 120, par. 441-10
Amends the Retailers' Occupation Tax Act. Makes a technical change in a Section concerning the rate of tax.
LRB096 10028 RCE 20192 b
A BILL FOR
HB2605 LRB096 10028 RCE 20192 b
AN ACT concerning revenue.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Retailers' Occupation Tax Act is amended by
changing Section 2-10 as follows:
(35 ILCS 120/2-10) (from Ch. 120, par. 441-10)
Sec. 2-10. Rate of tax. Unless otherwise provided in this
Section, the the tax imposed by this Act is at the rate of
6.25% of gross receipts from sales of tangible personal
property made in the course of business.
Beginning on July 1, 2000 and through December 31, 2000,
with respect to motor fuel, as defined in Section 1.1 of the
Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
the Use Tax Act, the tax is imposed at the rate of 1.25%.
Within 14 days after the effective date of this amendatory
Act of the 91st General Assembly, each retailer of motor fuel
and gasohol shall cause the following notice to be posted in a
prominently visible place on each retail dispensing device that
is used to dispense motor fuel or gasohol in the State of
Illinois: "As of July 1, 2000, the State of Illinois has
eliminated the State's share of sales tax on motor fuel and
gasohol through December 31, 2000. The price on this pump
should reflect the elimination of the tax." The notice shall be

HB2605 - 2 - LRB096 10028 RCE 20192 b
printed in bold print on a sign that is no smaller than 4
inches by 8 inches. The sign shall be clearly visible to
customers. Any retailer who fails to post or maintain a
required sign through December 31, 2000 is guilty of a petty
offense for which the fine shall be $500 per day per each
retail premises where a violation occurs.
With respect to gasohol, as defined in the Use Tax Act, the
tax imposed by this Act applies to (i) 70% of the proceeds of
sales made on or after January 1, 1990, and before July 1,
2003, (ii) 80% of the proceeds of sales made on or after July
1, 2003 and on or before December 31, 2013, and (iii) 100% of
the proceeds of sales made thereafter. If, at any time,
however, the tax under this Act on sales of gasohol, as defined
in the Use Tax Act, is imposed at the rate of 1.25%, then the
tax imposed by this Act applies to 100% of the proceeds of
sales of gasohol made during that time.
With respect to majority blended ethanol fuel, as defined
in the Use Tax Act, the tax imposed by this Act does not apply
to the proceeds of sales made on or after July 1, 2003 and on or
before December 31, 2013 but applies to 100% of the proceeds of
sales made thereafter.
With respect to biodiesel blends, as defined in the Use Tax
Act, with no less than 1% and no more than 10% biodiesel, the
tax imposed by this Act applies to (i) 80% of the proceeds of
sales made on or after July 1, 2003 and on or before December
31, 2013 and (ii) 100% of the proceeds of sales made

HB2605 - 3 - LRB096 10028 RCE 20192 b
thereafter. If, at any time, however, the tax under this Act on
sales of biodiesel blends, as defined in the Use Tax Act, with
no less than 1% and no more than 10% biodiesel is imposed at
the rate of 1.25%, then the tax imposed by this Act applies to
100% of the proceeds of sales of biodiesel blends with no less
than 1% and no more than 10% biodiesel made during that time.
With respect to 100% biodiesel, as defined in the Use Tax
Act, and biodiesel blends, as defined in the Use Tax Act, with
more than 10% but no more than 99% biodiesel, the tax imposed
by this Act does not apply to the proceeds of sales made on or
after July 1, 2003 and on or before December 31, 2013 but
applies to 100% of the proceeds of sales made thereafter.
With respect to food for human consumption that is to be
consumed off the premises where it is sold (other than
alcoholic beverages, soft drinks, and food that has been
prepared for immediate consumption) and prescription and
nonprescription medicines, drugs, medical appliances,
modifications to a motor vehicle for the purpose of rendering
it usable by a disabled person, and insulin, urine testing
materials, syringes, and needles used by diabetics, for human
use, the tax is imposed at the rate of 1%. For the purposes of
this Section, the term "soft drinks" means any complete,
finished, ready-to-use, non-alcoholic drink, whether
carbonated or not, including but not limited to soda water,
cola, fruit juice, vegetable juice, carbonated water, and all
other preparations commonly known as soft drinks of whatever

HB2605 - 4 - LRB096 10028 RCE 20192 b
kind or description that are contained in any closed or sealed
bottle, can, carton, or container, regardless of size. "Soft
drinks" does not include coffee, tea, non-carbonated water,
infant formula, milk or milk products as defined in the Grade A
Pasteurized Milk and Milk Products Act, or drinks containing
50% or more natural fruit or vegetable juice.
Notwithstanding any other provisions of this Act, "food for
human consumption that is to be consumed off the premises where
it is sold" includes all food sold through a vending machine,
except soft drinks and food products that are dispensed hot
from a vending machine, regardless of the location of the
vending machine.
(Source: P.A. 93-17, eff. 6-11-03.)