Bill Text: IL SB0279 | 2013-2014 | 98th General Assembly | Amended

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Bill Title: Amends the State Finance Act. Makes a technical change in a Section concerning the short title.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Failed) 2015-01-13 - Session Sine Die [SB0279 Detail]

Download: Illinois-2013-SB0279-Amended.html

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Sen. Donne E. Trotter

Filed: 5/6/2014

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AMENDMENT TO SENATE BILL 279
AMENDMENT NO. ______. Amend Senate Bill 279 by replacing
everything after the enacting clause with the following:
"Section 1. Purpose. The purpose of this amendatory Act of
the 98th General Assembly is to provide additional funding for
school districts throughout the State.
Section 5. The State Finance Act is amended by changing
Section 6z-17 as follows:
(30 ILCS 105/6z-17) (from Ch. 127, par. 142z-17)
Sec. 6z-17. Of the money paid into the State and Local
Sales Tax Reform Fund: (i) subject to appropriation to the
Department of Revenue, Municipalities having 1,000,000 or more
inhabitants shall receive 20% and may expend such amount to
fund and establish a program for developing and coordinating
public and private resources targeted to meet the affordable

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housing needs of low-income and very low-income households
within such municipality, (ii) 10% shall be transferred into
the Regional Transportation Authority Occupation and Use Tax
Replacement Fund, a special fund in the State treasury which is
hereby created, (iii) until July 1, 2013, subject to
appropriation to the Department of Transportation, the Madison
County Mass Transit District shall receive .6%, and beginning
on July 1, 2013, subject to appropriation to the Department of
Revenue, 0.6% shall be distributed each month out of the Fund
to the Madison County Mass Transit District, (iv) the following
amounts, plus any cumulative deficiency in such transfers for
prior months, shall be transferred monthly into the Build
Illinois Fund and credited to the Build Illinois Bond Account
therein:
Fiscal Year Amount
1990 $2,700,000
1991 1,850,000
1992 2,750,000
1993 2,950,000
From Fiscal Year 1994 through Fiscal Year 2025 the transfer
shall total $3,150,000 monthly, plus any cumulative deficiency
in such transfers for prior months, and (v) except as otherwise
provided in this Section with respect to Fiscal Year 2015
transfers, the remainder of the money paid into the State and
Local Sales Tax Reform Fund shall be transferred into the Local
Government Distributive Fund and, except for municipalities

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with 1,000,000 or more inhabitants which shall receive no
portion of such remainder, shall be distributed, subject to
appropriation, in the manner provided by Section 2 of "An Act
in relation to State revenue sharing with local government
entities", approved July 31, 1969, as now or hereafter amended.
Notwithstanding any other provision of law, the amounts
required to be transferred from the State and Local Sales Tax
Reform Fund to the Local Government Distributive Fund under
this Section in Fiscal Year 2015 shall instead be transferred
from the State and Local Sales Tax Reform Fund to the Common
School Fund; those moneys shall be distributed in accordance
with Article 18 of the School Code. Municipalities with more
than 50,000 inhabitants according to the 1980 U.S. Census and
located within the Metro East Mass Transit District receiving
funds from the Local Government Distributive Fund pursuant to
provision (v) of this paragraph may expend such amounts to fund
and establish a program for developing and coordinating public
and private resources targeted to meet the affordable housing
needs of low-income and very low-income households within such
municipality.
(Source: P.A. 98-44, eff. 6-28-13.)
Section 10. The Illinois Income Tax Act is amended by
changing Section 901 as follows:
(35 ILCS 5/901) (from Ch. 120, par. 9-901)

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Sec. 901. Collection Authority.
(a) In general.
The Department shall collect the taxes imposed by this Act.
The Department shall collect certified past due child support
amounts under Section 2505-650 of the Department of Revenue Law
(20 ILCS 2505/2505-650). Except as provided in subsections (c),
(e), (f), and (g) of this Section, money collected pursuant to
subsections (a) and (b) of Section 201 of this Act shall be
paid into the General Revenue Fund in the State treasury; money
collected pursuant to subsections (c) and (d) of Section 201 of
this Act shall be paid into the Personal Property Tax
Replacement Fund, a special fund in the State Treasury; and
money collected under Section 2505-650 of the Department of
Revenue Law (20 ILCS 2505/2505-650) shall be paid into the
Child Support Enforcement Trust Fund, a special fund outside
the State Treasury, or to the State Disbursement Unit
established under Section 10-26 of the Illinois Public Aid
Code, as directed by the Department of Healthcare and Family
Services.
(b) Local Government Distributive Fund.
Beginning August 1, 1969, and continuing through June 30,
1994, the Treasurer shall transfer each month from the General
Revenue Fund to a special fund in the State treasury, to be
known as the "Local Government Distributive Fund", an amount
equal to 1/12 of the net revenue realized from the tax imposed
by subsections (a) and (b) of Section 201 of this Act during

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the preceding month. Beginning July 1, 1994, and continuing
through June 30, 1995, the Treasurer shall transfer each month
from the General Revenue Fund to the Local Government
Distributive Fund an amount equal to 1/11 of the net revenue
realized from the tax imposed by subsections (a) and (b) of
Section 201 of this Act during the preceding month. Beginning
July 1, 1995 and continuing through January 31, 2011, the
Treasurer shall transfer each month from the General Revenue
Fund to the Local Government Distributive Fund an amount equal
to the net of (i) 1/10 of the net revenue realized from the tax
imposed by subsections (a) and (b) of Section 201 of the
Illinois Income Tax Act during the preceding month (ii) minus,
beginning July 1, 2003 and ending June 30, 2004, $6,666,666,
and beginning July 1, 2004, zero. Beginning February 1, 2011,
and continuing through January 31, 2015, except as otherwise
provided with respect to transfers occurring in Fiscal Year
2015, the Treasurer shall transfer each month from the General
Revenue Fund to the Local Government Distributive Fund an
amount equal to the sum of (i) 6% (10% of the ratio of the 3%
individual income tax rate prior to 2011 to the 5% individual
income tax rate after 2010) of the net revenue realized from
the tax imposed by subsections (a) and (b) of Section 201 of
this Act upon individuals, trusts, and estates during the
preceding month and (ii) 6.86% (10% of the ratio of the 4.8%
corporate income tax rate prior to 2011 to the 7% corporate
income tax rate after 2010) of the net revenue realized from

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the tax imposed by subsections (a) and (b) of Section 201 of
this Act upon corporations during the preceding month.
Beginning February 1, 2015 and continuing through January 31,
2025, except as otherwise provided with respect to transfers
occurring in Fiscal Year 2015, the Treasurer shall transfer
each month from the General Revenue Fund to the Local
Government Distributive Fund an amount equal to the sum of (i)
8% (10% of the ratio of the 3% individual income tax rate prior
to 2011 to the 3.75% individual income tax rate after 2014) of
the net revenue realized from the tax imposed by subsections
(a) and (b) of Section 201 of this Act upon individuals,
trusts, and estates during the preceding month and (ii) 9.14%
(10% of the ratio of the 4.8% corporate income tax rate prior
to 2011 to the 5.25% corporate income tax rate after 2014) of
the net revenue realized from the tax imposed by subsections
(a) and (b) of Section 201 of this Act upon corporations during
the preceding month. Notwithstanding any other provision of
law, the amounts required to be transferred from the General
Revenue Fund to the Local Government Distributive Fund under
this subsection (b) in Fiscal Year 2015 shall instead be
transferred from the General Revenue Fund to the Common School
Fund; those moneys shall be distributed in accordance with
Article 18 of the School Code. Beginning February 1, 2025, the
Treasurer shall transfer each month from the General Revenue
Fund to the Local Government Distributive Fund an amount equal
to the sum of (i) 9.23% (10% of the ratio of the 3% individual

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income tax rate prior to 2011 to the 3.25% individual income
tax rate after 2024) of the net revenue realized from the tax
imposed by subsections (a) and (b) of Section 201 of this Act
upon individuals, trusts, and estates during the preceding
month and (ii) 10% of the net revenue realized from the tax
imposed by subsections (a) and (b) of Section 201 of this Act
upon corporations during the preceding month. Net revenue
realized for a month shall be defined as the revenue from the
tax imposed by subsections (a) and (b) of Section 201 of this
Act which is deposited in the General Revenue Fund, the
Education Assistance Fund, the Income Tax Surcharge Local
Government Distributive Fund, the Fund for the Advancement of
Education, and the Commitment to Human Services Fund during the
month minus the amount paid out of the General Revenue Fund in
State warrants during that same month as refunds to taxpayers
for overpayment of liability under the tax imposed by
subsections (a) and (b) of Section 201 of this Act.
(c) Deposits Into Income Tax Refund Fund.
(1) Beginning on January 1, 1989 and thereafter, the
Department shall deposit a percentage of the amounts
collected pursuant to subsections (a) and (b)(1), (2), and
(3), of Section 201 of this Act into a fund in the State
treasury known as the Income Tax Refund Fund. The
Department shall deposit 6% of such amounts during the
period beginning January 1, 1989 and ending on June 30,
1989. Beginning with State fiscal year 1990 and for each

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fiscal year thereafter, the percentage deposited into the
Income Tax Refund Fund during a fiscal year shall be the
Annual Percentage. For fiscal years 1999 through 2001, the
Annual Percentage shall be 7.1%. For fiscal year 2003, the
Annual Percentage shall be 8%. For fiscal year 2004, the
Annual Percentage shall be 11.7%. Upon the effective date
of this amendatory Act of the 93rd General Assembly, the
Annual Percentage shall be 10% for fiscal year 2005. For
fiscal year 2006, the Annual Percentage shall be 9.75%. For
fiscal year 2007, the Annual Percentage shall be 9.75%. For
fiscal year 2008, the Annual Percentage shall be 7.75%. For
fiscal year 2009, the Annual Percentage shall be 9.75%. For
fiscal year 2010, the Annual Percentage shall be 9.75%. For
fiscal year 2011, the Annual Percentage shall be 8.75%. For
fiscal year 2012, the Annual Percentage shall be 8.75%. For
fiscal year 2013, the Annual Percentage shall be 9.75%. For
fiscal year 2014, the Annual Percentage shall be 9.5%. For
all other fiscal years, the Annual Percentage shall be
calculated as a fraction, the numerator of which shall be
the amount of refunds approved for payment by the
Department during the preceding fiscal year as a result of
overpayment of tax liability under subsections (a) and
(b)(1), (2), and (3) of Section 201 of this Act plus the
amount of such refunds remaining approved but unpaid at the
end of the preceding fiscal year, minus the amounts
transferred into the Income Tax Refund Fund from the

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Tobacco Settlement Recovery Fund, and the denominator of
which shall be the amounts which will be collected pursuant
to subsections (a) and (b)(1), (2), and (3) of Section 201
of this Act during the preceding fiscal year; except that
in State fiscal year 2002, the Annual Percentage shall in
no event exceed 7.6%. The Director of Revenue shall certify
the Annual Percentage to the Comptroller on the last
business day of the fiscal year immediately preceding the
fiscal year for which it is to be effective.
(2) Beginning on January 1, 1989 and thereafter, the
Department shall deposit a percentage of the amounts
collected pursuant to subsections (a) and (b)(6), (7), and
(8), (c) and (d) of Section 201 of this Act into a fund in
the State treasury known as the Income Tax Refund Fund. The
Department shall deposit 18% of such amounts during the
period beginning January 1, 1989 and ending on June 30,
1989. Beginning with State fiscal year 1990 and for each
fiscal year thereafter, the percentage deposited into the
Income Tax Refund Fund during a fiscal year shall be the
Annual Percentage. For fiscal years 1999, 2000, and 2001,
the Annual Percentage shall be 19%. For fiscal year 2003,
the Annual Percentage shall be 27%. For fiscal year 2004,
the Annual Percentage shall be 32%. Upon the effective date
of this amendatory Act of the 93rd General Assembly, the
Annual Percentage shall be 24% for fiscal year 2005. For
fiscal year 2006, the Annual Percentage shall be 20%. For

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fiscal year 2007, the Annual Percentage shall be 17.5%. For
fiscal year 2008, the Annual Percentage shall be 15.5%. For
fiscal year 2009, the Annual Percentage shall be 17.5%. For
fiscal year 2010, the Annual Percentage shall be 17.5%. For
fiscal year 2011, the Annual Percentage shall be 17.5%. For
fiscal year 2012, the Annual Percentage shall be 17.5%. For
fiscal year 2013, the Annual Percentage shall be 14%. For
fiscal year 2014, the Annual Percentage shall be 13.4%. For
all other fiscal years, the Annual Percentage shall be
calculated as a fraction, the numerator of which shall be
the amount of refunds approved for payment by the
Department during the preceding fiscal year as a result of
overpayment of tax liability under subsections (a) and
(b)(6), (7), and (8), (c) and (d) of Section 201 of this
Act plus the amount of such refunds remaining approved but
unpaid at the end of the preceding fiscal year, and the
denominator of which shall be the amounts which will be
collected pursuant to subsections (a) and (b)(6), (7), and
(8), (c) and (d) of Section 201 of this Act during the
preceding fiscal year; except that in State fiscal year
2002, the Annual Percentage shall in no event exceed 23%.
The Director of Revenue shall certify the Annual Percentage
to the Comptroller on the last business day of the fiscal
year immediately preceding the fiscal year for which it is
to be effective.
(3) The Comptroller shall order transferred and the

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Treasurer shall transfer from the Tobacco Settlement
Recovery Fund to the Income Tax Refund Fund (i) $35,000,000
in January, 2001, (ii) $35,000,000 in January, 2002, and
(iii) $35,000,000 in January, 2003.
(d) Expenditures from Income Tax Refund Fund.
(1) Beginning January 1, 1989, money in the Income Tax
Refund Fund shall be expended exclusively for the purpose
of paying refunds resulting from overpayment of tax
liability under Section 201 of this Act, for paying rebates
under Section 208.1 in the event that the amounts in the
Homeowners' Tax Relief Fund are insufficient for that
purpose, and for making transfers pursuant to this
subsection (d).
(2) The Director shall order payment of refunds
resulting from overpayment of tax liability under Section
201 of this Act from the Income Tax Refund Fund only to the
extent that amounts collected pursuant to Section 201 of
this Act and transfers pursuant to this subsection (d) and
item (3) of subsection (c) have been deposited and retained
in the Fund.
(3) As soon as possible after the end of each fiscal
year, the Director shall order transferred and the State
Treasurer and State Comptroller shall transfer from the
Income Tax Refund Fund to the Personal Property Tax
Replacement Fund an amount, certified by the Director to
the Comptroller, equal to the excess of the amount

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collected pursuant to subsections (c) and (d) of Section
201 of this Act deposited into the Income Tax Refund Fund
during the fiscal year over the amount of refunds resulting
from overpayment of tax liability under subsections (c) and
(d) of Section 201 of this Act paid from the Income Tax
Refund Fund during the fiscal year.
(4) As soon as possible after the end of each fiscal
year, the Director shall order transferred and the State
Treasurer and State Comptroller shall transfer from the
Personal Property Tax Replacement Fund to the Income Tax
Refund Fund an amount, certified by the Director to the
Comptroller, equal to the excess of the amount of refunds
resulting from overpayment of tax liability under
subsections (c) and (d) of Section 201 of this Act paid
from the Income Tax Refund Fund during the fiscal year over
the amount collected pursuant to subsections (c) and (d) of
Section 201 of this Act deposited into the Income Tax
Refund Fund during the fiscal year.
(4.5) As soon as possible after the end of fiscal year
1999 and of each fiscal year thereafter, the Director shall
order transferred and the State Treasurer and State
Comptroller shall transfer from the Income Tax Refund Fund
to the General Revenue Fund any surplus remaining in the
Income Tax Refund Fund as of the end of such fiscal year;
excluding for fiscal years 2000, 2001, and 2002 amounts
attributable to transfers under item (3) of subsection (c)

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less refunds resulting from the earned income tax credit.
(5) This Act shall constitute an irrevocable and
continuing appropriation from the Income Tax Refund Fund
for the purpose of paying refunds upon the order of the
Director in accordance with the provisions of this Section.
(e) Deposits into the Education Assistance Fund and the
Income Tax Surcharge Local Government Distributive Fund.
On July 1, 1991, and thereafter, of the amounts collected
pursuant to subsections (a) and (b) of Section 201 of this Act,
minus deposits into the Income Tax Refund Fund, the Department
shall deposit 7.3% into the Education Assistance Fund in the
State Treasury. Beginning July 1, 1991, and continuing through
January 31, 1993, of the amounts collected pursuant to
subsections (a) and (b) of Section 201 of the Illinois Income
Tax Act, minus deposits into the Income Tax Refund Fund, the
Department shall deposit 3.0% into the Income Tax Surcharge
Local Government Distributive Fund in the State Treasury.
Beginning February 1, 1993 and continuing through June 30,
1993, of the amounts collected pursuant to subsections (a) and
(b) of Section 201 of the Illinois Income Tax Act, minus
deposits into the Income Tax Refund Fund, the Department shall
deposit 4.4% into the Income Tax Surcharge Local Government
Distributive Fund in the State Treasury. Beginning July 1,
1993, and continuing through June 30, 1994, of the amounts
collected under subsections (a) and (b) of Section 201 of this
Act, minus deposits into the Income Tax Refund Fund, the

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Department shall deposit 1.475% into the Income Tax Surcharge
Local Government Distributive Fund in the State Treasury.
(f) Deposits into the Fund for the Advancement of
Education. Beginning February 1, 2015, the Department shall
deposit the following portions of the revenue realized from the
tax imposed upon individuals, trusts, and estates by
subsections (a) and (b) of Section 201 of this Act during the
preceding month, minus deposits into the Income Tax Refund
Fund, into the Fund for the Advancement of Education:
(1) beginning February 1, 2015, and prior to February
1, 2025, 1/30; and
(2) beginning February 1, 2025, 1/26.
If the rate of tax imposed by subsection (a) and (b) of
Section 201 is reduced pursuant to Section 201.5 of this Act,
the Department shall not make the deposits required by this
subsection (f) on or after the effective date of the reduction.
(g) Deposits into the Commitment to Human Services Fund.
Beginning February 1, 2015, the Department shall deposit the
following portions of the revenue realized from the tax imposed
upon individuals, trusts, and estates by subsections (a) and
(b) of Section 201 of this Act during the preceding month,
minus deposits into the Income Tax Refund Fund, into the
Commitment to Human Services Fund:
(1) beginning February 1, 2015, and prior to February
1, 2025, 1/30; and
(2) beginning February 1, 2025, 1/26.

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If the rate of tax imposed by subsection (a) and (b) of
Section 201 is reduced pursuant to Section 201.5 of this Act,
the Department shall not make the deposits required by this
subsection (g) on or after the effective date of the reduction.
(Source: P.A. 97-72, eff. 7-1-11; 97-732, eff. 6-30-12; 98-24,
eff. 6-19-13.)
Section 15. The Aircraft Use Tax Law is amended by changing
Section 10-40 as follows:
(35 ILCS 157/10-40)
Sec. 10-40. Payments to Local Government Distributive
Fund, Common School Fund, and General Revenue Fund. The
Department of Revenue shall each month, upon collecting any
taxes as provided in this Law, pay the money collected from the
1.25% portion of the 6.25% rate into the Local Government
Distributive Fund, a special fund in the State treasury, except
that in Fiscal Year 2015, that money shall be paid into the
Common School Fund and shall be distributed in accordance with
Article 18 of the School Code. The remainder shall be paid into
the General Revenue Fund.
(Source: P.A. 93-24, eff. 6-20-03.)
Section 99. Effective date. This Act takes effect upon
becoming law.".