Bill Text: IL SB2858 | 2015-2016 | 99th General Assembly | Introduced

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Bill Title: Amends the Use Tax Act, Service Use Tax Act, Service Occupation Tax Act, and Retailers' Occupation Tax Act. Imposes an 18% surcharge on firearms and firearm ammunition. Amends the State Finance Act. Creates the Firearm Sales Tax Trust Fund. Requires the 18% surcharge to be deposited into the Fund. Subject to appropriation, authorizes the Department of Human Services to make grants to mental health services and crime victim services. Amends the Firearm Owners Identification Card Act (FOID). Requires firearm safety training to apply for an FOID Card, but exempts anyone who had an FOID card on June 1, 1998 and certain others. Provides that any person who owns a firearm shall maintain a policy of liability insurance in the amount of at least $1,000,000 specifically covering any damages resulting from negligent or willful acts involving the use of the firearm. Amends the Criminal Code of 2012. Prohibits multiple sales of firearms within a 30-day period. Creates the offense of unlawful acquisition of firearms. Provides exemptions and affirmative defenses. Penalty is a Class A misdemeanor for a first offense and a Class 4 felony for a second or subsequent offense. Increases the penalty for a second or subsequent unlawful use of weapons for possession of a firearm. Increases various penalties for the possession or use of a firearm or weapon in a school or public housing. Prohibits a person not a law enforcement officer from possessing an air rifle in a school or at a school-related activity without the written authorization of the board or officer in charge of the school. Penalty is a Class A misdemeanor. Effective immediately.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2016-05-31 - Rule 3-9(a) / Re-referred to Assignments [SB2858 Detail]

Download: Illinois-2015-SB2858-Introduced.html

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99TH GENERAL ASSEMBLY State of Illinois 2015 and 2016 SB2858 Introduced 2/17/2016, by Sen. Ira I. Silverstein SYNOPSIS AS INTRODUCED:
See Index
Amends the Use Tax Act, Service Use Tax Act, Service Occupation Tax Act, and Retailers' Occupation Tax Act. Imposes an 18% surcharge on firearms and firearm ammunition. Amends the State Finance Act. Creates the Firearm Sales Tax Trust Fund. Requires the 18% surcharge to be deposited into the Fund. Subject to appropriation, authorizes the Department of Human Services to make grants to mental health services and crime victim services. Amends the Firearm Owners Identification Card Act (FOID). Requires firearm safety training to apply for an FOID Card, but exempts anyone who had an FOID card on June 1, 1998 and certain others. Provides that any person who owns a firearm shall maintain a policy of liability insurance in the amount of at least $1,000,000 specifically covering any damages resulting from negligent or willful acts involving the use of the firearm. Amends the Criminal Code of 2012. Prohibits multiple sales of firearms within a 30-day period. Creates the offense of unlawful acquisition of firearms. Provides exemptions and affirmative defenses. Penalty is a Class A misdemeanor for a first offense and a Class 4 felony for a second or subsequent offense. Increases the penalty for a second or subsequent unlawful use of weapons for possession of a firearm. Increases various penalties for the possession or use of a firearm or weapon in a school or public housing. Prohibits a person not a law enforcement officer from possessing an air rifle in a school or at a school-related activity without the written authorization of the board or officer in charge of the school. Penalty is a Class A misdemeanor. Effective immediately.
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CORRECTIONAL BUDGET AND IMPACT NOTE ACT MAY APPLY FISCAL NOTE ACT MAY APPLY
A BILL FOR
SB2858 LRB099 16420 RLC 40753 b
AN ACT concerning firearms.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The State Finance Act is amended by adding
Sections 5.875 and 6z-101 as follows:
(30 ILCS 105/5.875 new)
Sec. 5.875. The Firearm Sales Tax Trust Fund.
(30 ILCS 105/6z-101 new)
Sec. 6z-101. Firearm Sales Tax Trust Fund. The Firearm
Sales Tax Trust Fund is created as a special fund in the State
Treasury. Subject to appropriation, moneys in the Fund shall be
used by the Department of Human Services to make grants to
mental health services and crime victim services. "Crime
victim" has the same meaning as in Section 3 of the Rights of
Crime Victims and Witnesses Act.
Section 10. The Use Tax Act is amended by changing Sections
3-10 and 9 as follows:
(35 ILCS 105/3-10)
Sec. 3-10. Rate of tax. Unless otherwise provided in this
Section, the tax imposed by this Act is at the rate of 6.25% of

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either the selling price or the fair market value, if any, of
the tangible personal property. In all cases where property
functionally used or consumed is the same as the property that
was purchased at retail, then the tax is imposed on the selling
price of the property. In all cases where property functionally
used or consumed is a by-product or waste product that has been
refined, manufactured, or produced from property purchased at
retail, then the tax is imposed on the lower of the fair market
value, if any, of the specific property so used in this State
or on the selling price of the property purchased at retail.
For purposes of this Section "fair market value" means the
price at which property would change hands between a willing
buyer and a willing seller, neither being under any compulsion
to buy or sell and both having reasonable knowledge of the
relevant facts. The fair market value shall be established by
Illinois sales by the taxpayer of the same property as that
functionally used or consumed, or if there are no such sales by
the taxpayer, then comparable sales or purchases of property of
like kind and character in Illinois.
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%.
Beginning on August 6, 2010 through August 15, 2010, with
respect to sales tax holiday items as defined in Section 3-6 of
this Act, the tax is imposed at the rate of 1.25%.

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With respect to gasohol, 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, 2018, and (iii) 100% of the proceeds of
sales made thereafter. If, at any time, however, the tax under
this Act on sales of gasohol 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, 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,
2018 but applies to 100% of the proceeds of sales made
thereafter.
With respect to biodiesel blends 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, 2018 and (ii) 100% of the
proceeds of sales made thereafter. If, at any time, however,
the tax under this Act on sales of biodiesel blends 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 and biodiesel blends with
more than 10% but no more than 99% biodiesel, the tax imposed

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by this Act does not apply to the proceeds of sales made on or
after July 1, 2003 and on or before December 31, 2018 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 person with a disability, 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, until September 1, 2009: 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 kind or description that are contained
in any closed or sealed bottle, can, carton, or container,
regardless of size; but "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,
beginning September 1, 2009, "soft drinks" means non-alcoholic

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beverages that contain natural or artificial sweeteners. "Soft
drinks" do not include beverages that contain milk or milk
products, soy, rice or similar milk substitutes, or greater
than 50% of vegetable or fruit juice by volume.
Until August 1, 2009, and 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. Beginning
August 1, 2009, and 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, candy, and food
products that are dispensed hot from a vending machine,
regardless of the location of the vending machine.
Notwithstanding any other provisions of this Act,
beginning September 1, 2009, "food for human consumption that
is to be consumed off the premises where it is sold" does not
include candy. For purposes of this Section, "candy" means a
preparation of sugar, honey, or other natural or artificial
sweeteners in combination with chocolate, fruits, nuts or other
ingredients or flavorings in the form of bars, drops, or
pieces. "Candy" does not include any preparation that contains
flour or requires refrigeration.
Notwithstanding any other provisions of this Act,

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beginning September 1, 2009, "nonprescription medicines and
drugs" does not include grooming and hygiene products. For
purposes of this Section, "grooming and hygiene products"
includes, but is not limited to, soaps and cleaning solutions,
shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
lotions and screens, unless those products are available by
prescription only, regardless of whether the products meet the
definition of "over-the-counter-drugs". For the purposes of
this paragraph, "over-the-counter-drug" means a drug for human
use that contains a label that identifies the product as a drug
as required by 21 C.F.R. § 201.66. The "over-the-counter-drug"
label includes:
(A) A "Drug Facts" panel; or
(B) A statement of the "active ingredient(s)" with a
list of those ingredients contained in the compound,
substance or preparation.
Beginning January 1, 2017, in addition to all other rates
of tax imposed under this Act, a surcharge of 18% is imposed on
the selling price of firearms and firearm ammunition. "Firearm"
and "firearm ammunition" have the meanings ascribed to them in
Section 1.1 of the Firearm Owners Identification Card Act.
Beginning on the effective date of this amendatory Act of
the 98th General Assembly, "prescription and nonprescription
medicines and drugs" includes medical cannabis purchased from a
registered dispensing organization under the Compassionate Use
of Medical Cannabis Pilot Program Act.

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If the property that is purchased at retail from a retailer
is acquired outside Illinois and used outside Illinois before
being brought to Illinois for use here and is taxable under
this Act, the "selling price" on which the tax is computed
shall be reduced by an amount that represents a reasonable
allowance for depreciation for the period of prior out-of-state
use.
(Source: P.A. 98-122, eff. 1-1-14; 99-143, eff. 7-27-15.)
(35 ILCS 105/9) (from Ch. 120, par. 439.9)
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. 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. The Department

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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
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 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

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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.
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.
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

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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 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

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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 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

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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 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

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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 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

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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. 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

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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
taxpayer, the taxpayer's 2.1% or 1.75% vendor's discount shall
be reduced by 2.1% or 1.75% of the difference between the

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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
case of any retailer who ceases to engage in a kind of business
which makes him responsible for filing returns under this Act,

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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, 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 3-2 of the Boat Registration
and Safety Act, a personal watercraft, or any boat equipped
with an inboard motor.

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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 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

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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
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

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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.
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

SB2858 - 21 - LRB099 16420 RLC 40753 b
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 2.1% or 1.75% 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.
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.

SB2858 - 22 - LRB099 16420 RLC 40753 b
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 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 on
sales of food for human consumption which is to be consumed off
the premises where it is sold (other than alcoholic beverages,
soft drinks and food which has been prepared for immediate

SB2858 - 23 - LRB099 16420 RLC 40753 b
consumption) and prescription and nonprescription medicines,
drugs, medical appliances and insulin, urine testing
materials, syringes and needles used by diabetics.
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 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 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. Beginning
September 1, 2010, 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 sales tax holiday items.

SB2858 - 24 - LRB099 16420 RLC 40753 b
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 (CAA) 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 (CAA) 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

SB2858 - 25 - LRB099 16420 RLC 40753 b
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.
Beginning January 1, 2017, the Department shall pay into
the Firearm Sales Tax Trust Fund 100% of the net revenue
realized for the preceding month from the 18% surcharge on the
selling price of firearms and firearm ammunition.
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

SB2858 - 26 - LRB099 16420 RLC 40753 b
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
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

SB2858 - 27 - LRB099 16420 RLC 40753 b
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
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

SB2858 - 28 - LRB099 16420 RLC 40753 b
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.
Fiscal Year Total Deposit
1993 $0
1994 53,000,000
1995 58,000,000
1996 61,000,000
1997 64,000,000

SB2858 - 29 - LRB099 16420 RLC 40753 b
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
2018 210,000,000
2019 221,000,000
2020 233,000,000
2021 246,000,000
2022 260,000,000
2023 275,000,000

SB2858 - 30 - LRB099 16420 RLC 40753 b
2024 275,000,000
2025 275,000,000
2026 279,000,000
2027 292,000,000
2028 307,000,000
2029 322,000,000
2030 338,000,000
2031 350,000,000
2032 350,000,000
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,

SB2858 - 31 - LRB099 16420 RLC 40753 b
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 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
and the McCormick Place Expansion Project Fund pursuant to the
preceding paragraphs or in any amendments thereto hereafter
enacted, beginning with the receipt of the first report of
taxes paid by an eligible business and continuing for a 25-year
period, the Department shall each month pay into the Energy
Infrastructure Fund 80% of the net revenue realized from the
6.25% general rate on the selling price of Illinois-mined coal
that was sold to an eligible business. For purposes of this
paragraph, the term "eligible business" means a new electric
generating facility certified pursuant to Section 605-332 of
the Department of Commerce and Economic Opportunity Law of the
Civil Administrative Code of Illinois.
Subject to payment of amounts into the Build Illinois Fund,

SB2858 - 32 - LRB099 16420 RLC 40753 b
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 the effective date of this
amendatory Act of the 98th General Assembly, 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.
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

SB2858 - 33 - LRB099 16420 RLC 40753 b
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. 98-24, eff. 6-19-13; 98-109, eff. 7-25-13;
98-496, eff. 1-1-14; 98-756, eff. 7-16-14; 98-1098, eff.
8-26-14; 99-352, eff. 8-12-15.)
Section 15. The Service Use Tax Act is amended by changing
Sections 3-10 and 9 as follows:
(35 ILCS 110/3-10) (from Ch. 120, par. 439.33-10)
Sec. 3-10. Rate of tax. Unless otherwise provided in this
Section, the tax imposed by this Act is at the rate of 6.25% of

SB2858 - 34 - LRB099 16420 RLC 40753 b
the selling price of tangible personal property transferred as
an incident to the sale of service, but, for the purpose of
computing this tax, in no event shall the selling price be less
than the cost price of the property to the serviceman.
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%.
With respect to gasohol, as defined in the Use Tax Act, the
tax imposed by this Act applies to (i) 70% of the selling price
of property transferred as an incident to the sale of service
on or after January 1, 1990, and before July 1, 2003, (ii) 80%
of the selling price of property transferred as an incident to
the sale of service on or after July 1, 2003 and on or before
December 31, 2018, and (iii) 100% of the selling price
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 selling price of property transferred as an incident to
the sale of service on or after July 1, 2003 and on or before
December 31, 2018 but applies to 100% of the selling price
thereafter.
With respect to biodiesel blends, as defined in the Use Tax

SB2858 - 35 - LRB099 16420 RLC 40753 b
Act, with no less than 1% and no more than 10% biodiesel, the
tax imposed by this Act applies to (i) 80% of the selling price
of property transferred as an incident to the sale of service
on or after July 1, 2003 and on or before December 31, 2018 and
(ii) 100% of the proceeds of the selling price 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 the selling price
of property transferred as an incident to the sale of service
on or after July 1, 2003 and on or before December 31, 2018 but
applies to 100% of the selling price thereafter.
At the election of any registered serviceman made for each
fiscal year, sales of service in which the aggregate annual
cost price of tangible personal property transferred as an
incident to the sales of service is less than 35%, or 75% in
the case of servicemen transferring prescription drugs or
servicemen engaged in graphic arts production, of the aggregate
annual total gross receipts from all sales of service, the tax
imposed by this Act shall be based on the serviceman's cost

SB2858 - 36 - LRB099 16420 RLC 40753 b
price of the tangible personal property transferred as an
incident to the sale of those services.
The tax shall be imposed at the rate of 1% on food prepared
for immediate consumption and transferred incident to a sale of
service subject to this Act or the Service Occupation Tax Act
by an entity licensed under the Hospital Licensing Act, the
Nursing Home Care Act, the ID/DD Community Care Act, the MC/DD
Act, the Specialized Mental Health Rehabilitation Act of 2013,
or the Child Care Act of 1969. The tax shall also be imposed at
the rate of 1% on 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 is not otherwise
included in this paragraph) and prescription and
nonprescription medicines, drugs, medical appliances,
modifications to a motor vehicle for the purpose of rendering
it usable by a person with a disability, and insulin, urine
testing materials, syringes, and needles used by diabetics, for
human use. For the purposes of this Section, until September 1,
2009: 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 kind or description
that are contained in any closed or sealed bottle, can, carton,
or container, regardless of size; but "soft drinks" does not

SB2858 - 37 - LRB099 16420 RLC 40753 b
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,
beginning September 1, 2009, "soft drinks" means non-alcoholic
beverages that contain natural or artificial sweeteners. "Soft
drinks" do not include beverages that contain milk or milk
products, soy, rice or similar milk substitutes, or greater
than 50% of vegetable or fruit juice by volume.
Until August 1, 2009, and 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. Beginning
August 1, 2009, and 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, candy, and food
products that are dispensed hot from a vending machine,
regardless of the location of the vending machine.
Notwithstanding any other provisions of this Act,
beginning September 1, 2009, "food for human consumption that
is to be consumed off the premises where it is sold" does not
include candy. For purposes of this Section, "candy" means a

SB2858 - 38 - LRB099 16420 RLC 40753 b
preparation of sugar, honey, or other natural or artificial
sweeteners in combination with chocolate, fruits, nuts or other
ingredients or flavorings in the form of bars, drops, or
pieces. "Candy" does not include any preparation that contains
flour or requires refrigeration.
Notwithstanding any other provisions of this Act,
beginning September 1, 2009, "nonprescription medicines and
drugs" does not include grooming and hygiene products. For
purposes of this Section, "grooming and hygiene products"
includes, but is not limited to, soaps and cleaning solutions,
shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
lotions and screens, unless those products are available by
prescription only, regardless of whether the products meet the
definition of "over-the-counter-drugs". For the purposes of
this paragraph, "over-the-counter-drug" means a drug for human
use that contains a label that identifies the product as a drug
as required by 21 C.F.R. § 201.66. The "over-the-counter-drug"
label includes:
(A) A "Drug Facts" panel; or
(B) A statement of the "active ingredient(s)" with a
list of those ingredients contained in the compound,
substance or preparation.
Beginning on January 1, 2014 (the effective date of Public
Act 98-122), "prescription and nonprescription medicines and
drugs" includes medical cannabis purchased from a registered
dispensing organization under the Compassionate Use of Medical

SB2858 - 39 - LRB099 16420 RLC 40753 b
Cannabis Pilot Program Act.
Beginning January 1, 2017, in addition to all other rates
of tax imposed under this Act, a surcharge of 18% is imposed on
the selling price of firearms and firearm ammunition. "Firearm"
and "firearm ammunition" have the meanings ascribed to them in
Section 1.1 of the Firearm Owners Identification Card Act.
If the property that is acquired from a serviceman is
acquired outside Illinois and used outside Illinois before
being brought to Illinois for use here and is taxable under
this Act, the "selling price" on which the tax is computed
shall be reduced by an amount that represents a reasonable
allowance for depreciation for the period of prior out-of-state
use.
(Source: P.A. 98-104, eff. 7-22-13; 98-122, eff. 1-1-14;
98-756, eff. 7-16-14; 99-143, eff. 7-27-15; 99-180, eff.
7-29-15; revised 10-16-15.)
(35 ILCS 110/9) (from Ch. 120, par. 439.39)
Sec. 9. Each serviceman required or authorized to collect
the tax herein imposed 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
serviceman for expenses incurred in collecting the tax, keeping

SB2858 - 40 - LRB099 16420 RLC 40753 b
records, preparing and filing returns, remitting the tax and
supplying data to the Department on request. The Department may
disallow the discount for servicemen 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 serviceman need not remit that
part of any tax collected by him to the extent that he is
required to pay and does pay the tax imposed by the Service
Occupation Tax Act with respect to his sale of service
involving the incidental transfer by him of the same property.
Except as provided hereinafter in this Section, on or
before the twentieth day of each calendar month, such
serviceman shall file a return for the preceding calendar month
in accordance with reasonable Rules and Regulations to be
promulgated by the Department. Such return shall be filed on a
form prescribed by the Department and shall contain such
information as the Department may reasonably require.
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

SB2858 - 41 - LRB099 16420 RLC 40753 b
which he engages in business as a serviceman in this State;
3. The total amount of taxable receipts received by him
during the 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.
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.
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

SB2858 - 42 - LRB099 16420 RLC 40753 b
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
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.

SB2858 - 43 - LRB099 16420 RLC 40753 b
The Department shall adopt such rules as are necessary to
effectuate a program of electronic funds transfer and the
requirements of this Section.
If the serviceman is otherwise required to file a monthly
return and if the serviceman'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 serviceman is otherwise required to file a monthly
or quarterly return and if the serviceman'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 serviceman may file his return, in the
case of any serviceman who ceases to engage in a kind of

SB2858 - 44 - LRB099 16420 RLC 40753 b
business which makes him responsible for filing returns under
this Act, such serviceman shall file a final return under this
Act with the Department not more than 1 month after
discontinuing such business.
Where a serviceman collects the tax with respect to the
selling price of property which he sells and the purchaser
thereafter returns such property and the serviceman refunds the
selling price thereof to the purchaser, such serviceman 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 serviceman may deduct
the amount of the tax so refunded by him to the purchaser from
any other Service Use Tax, Service Occupation Tax, retailers'
occupation tax or use tax which such serviceman may be required
to pay or remit to the Department, as shown by such return,
provided that the amount of the tax to be deducted shall
previously have been remitted to the Department by such
serviceman. If the serviceman shall not previously have
remitted the amount of such tax to the Department, he shall be
entitled to no deduction hereunder upon refunding such tax to
the purchaser.
Any serviceman filing a return hereunder shall also include
the total tax upon the selling price of tangible personal
property purchased for use by him as an incident to a sale of
service, and such serviceman shall remit the amount of such tax
to the Department when filing such return.

SB2858 - 45 - LRB099 16420 RLC 40753 b
If experience indicates such action to be practicable, the
Department may prescribe and furnish a combination or joint
return which will enable servicemen, who are required to file
returns hereunder and also under the Service Occupation Tax
Act, to furnish all the return information required by both
Acts on the one form.
Where the serviceman has more than one business registered
with the Department under separate registration hereunder,
such serviceman shall 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 Tax Reform Fund, a special fund in
the State Treasury, the net revenue realized for the preceding
month from the 1% tax on sales of food for human consumption
which is to be consumed off the premises where it is sold
(other than alcoholic beverages, soft drinks and food which has
been prepared for immediate consumption) and prescription and
nonprescription medicines, drugs, medical appliances and
insulin, urine testing materials, syringes and needles used by
diabetics.
Beginning January 1, 1990, each month the Department shall
pay into the State and Local Sales Tax Reform Fund 20% of the
net revenue realized for the preceding month from the 6.25%
general rate on transfers of tangible personal property, other
than tangible personal property which is purchased outside

SB2858 - 46 - LRB099 16420 RLC 40753 b
Illinois at retail from a retailer and which is titled or
registered by an agency of this State's government.
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.
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 January 1, 2017, the Department shall pay into
the Firearm Sales Tax Trust Fund 100% of the net revenue
realized for the preceding month from the 18% surcharge on the
selling price of firearms and firearm ammunition.
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
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 Use Tax Act, the Service Occupation Tax Act, and the

SB2858 - 47 - LRB099 16420 RLC 40753 b
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 the Use Tax Act, this 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

SB2858 - 48 - LRB099 16420 RLC 40753 b
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

SB2858 - 49 - LRB099 16420 RLC 40753 b
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
as provided in the preceding paragraph or in any amendment

SB2858 - 50 - LRB099 16420 RLC 40753 b
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

SB2858 - 51 - LRB099 16420 RLC 40753 b
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 246,000,000
2022 260,000,000
2023 275,000,000
2024 275,000,000
2025 275,000,000
2026 279,000,000
2027 292,000,000
2028 307,000,000
2029 322,000,000
2030 338,000,000
2031 350,000,000
2032 350,000,000

SB2858 - 52 - LRB099 16420 RLC 40753 b
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 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

SB2858 - 53 - LRB099 16420 RLC 40753 b
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
and the McCormick Place Expansion Project Fund pursuant to the
preceding paragraphs or in any amendments thereto hereafter
enacted, beginning with the receipt of the first report of
taxes paid by an eligible business and continuing for a 25-year
period, the Department shall each month pay into the Energy
Infrastructure Fund 80% of the net revenue realized from the
6.25% general rate on the selling price of Illinois-mined coal
that was sold to an eligible business. For purposes of this
paragraph, the term "eligible business" means a new electric
generating facility certified pursuant to Section 605-332 of
the Department of Commerce and Economic Opportunity Law of the
Civil Administrative Code of Illinois.
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 the effective date of this
amendatory Act of the 98th General Assembly, 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

SB2858 - 54 - LRB099 16420 RLC 40753 b
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.
Of the remainder of the moneys received by the Department
pursuant to this Act, 75% thereof shall be paid into the
General Revenue Fund of 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

SB2858 - 55 - LRB099 16420 RLC 40753 b
overpayment of liability.
(Source: P.A. 98-24, eff. 6-19-13; 98-109, eff. 7-25-13;
98-298, eff. 8-9-13; 98-496, eff. 1-1-14; 98-756, eff. 7-16-14;
98-1098, eff. 8-26-14; 99-352, eff. 8-12-15.)
Section 20. The Service Occupation Tax Act is amended by
changing Sections 3-10 and 9 as follows:
(35 ILCS 115/3-10) (from Ch. 120, par. 439.103-10)
Sec. 3-10. Rate of tax. Unless otherwise provided in this
Section, the tax imposed by this Act is at the rate of 6.25% of
the "selling price", as defined in Section 2 of the Service Use
Tax Act, of the tangible personal property. For the purpose of
computing this tax, in no event shall the "selling price" be
less than the cost price to the serviceman of the tangible
personal property transferred. The selling price of each item
of tangible personal property transferred as an incident of a
sale of service may be shown as a distinct and separate item on
the serviceman's billing to the service customer. If the
selling price is not so shown, the selling price of the
tangible personal property is deemed to be 50% of the
serviceman's entire billing to the service customer. When,
however, a serviceman contracts to design, develop, and produce
special order machinery or equipment, the tax imposed by this
Act shall be based on the serviceman's cost price of the
tangible personal property transferred incident to the

SB2858 - 56 - LRB099 16420 RLC 40753 b
completion of the contract.
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%.
With respect to gasohol, as defined in the Use Tax Act, the
tax imposed by this Act shall apply to (i) 70% of the cost
price of property transferred as an incident to the sale of
service on or after January 1, 1990, and before July 1, 2003,
(ii) 80% of the selling price of property transferred as an
incident to the sale of service on or after July 1, 2003 and on
or before December 31, 2018, and (iii) 100% of the cost price
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 selling price of property transferred as an incident to
the sale of service on or after July 1, 2003 and on or before
December 31, 2018 but applies to 100% of the selling price
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 selling price
of property transferred as an incident to the sale of service

SB2858 - 57 - LRB099 16420 RLC 40753 b
on or after July 1, 2003 and on or before December 31, 2018 and
(ii) 100% of the proceeds of the selling price 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 material, the tax
imposed by this Act does not apply to the proceeds of the
selling price of property transferred as an incident to the
sale of service on or after July 1, 2003 and on or before
December 31, 2018 but applies to 100% of the selling price
thereafter.
At the election of any registered serviceman made for each
fiscal year, sales of service in which the aggregate annual
cost price of tangible personal property transferred as an
incident to the sales of service is less than 35%, or 75% in
the case of servicemen transferring prescription drugs or
servicemen engaged in graphic arts production, of the aggregate
annual total gross receipts from all sales of service, the tax
imposed by this Act shall be based on the serviceman's cost
price of the tangible personal property transferred incident to
the sale of those services.

SB2858 - 58 - LRB099 16420 RLC 40753 b
The tax shall be imposed at the rate of 1% on food prepared
for immediate consumption and transferred incident to a sale of
service subject to this Act or the Service Occupation Tax Act
by an entity licensed under the Hospital Licensing Act, the
Nursing Home Care Act, the ID/DD Community Care Act, the MC/DD
Act, the Specialized Mental Health Rehabilitation Act of 2013,
or the Child Care Act of 1969. The tax shall also be imposed at
the rate of 1% on 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 is not otherwise
included in this paragraph) and prescription and
nonprescription medicines, drugs, medical appliances,
modifications to a motor vehicle for the purpose of rendering
it usable by a person with a disability, and insulin, urine
testing materials, syringes, and needles used by diabetics, for
human use. For the purposes of this Section, until September 1,
2009: 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 kind or description
that are contained in any closed or sealed can, carton, or
container, regardless of size; but "soft drinks" does not
include coffee, tea, non-carbonated water, infant formula,
milk or milk products as defined in the Grade A Pasteurized

SB2858 - 59 - LRB099 16420 RLC 40753 b
Milk and Milk Products Act, or drinks containing 50% or more
natural fruit or vegetable juice.
Notwithstanding any other provisions of this Act,
beginning September 1, 2009, "soft drinks" means non-alcoholic
beverages that contain natural or artificial sweeteners. "Soft
drinks" do not include beverages that contain milk or milk
products, soy, rice or similar milk substitutes, or greater
than 50% of vegetable or fruit juice by volume.
Until August 1, 2009, and 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. Beginning
August 1, 2009, and 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, candy, and food
products that are dispensed hot from a vending machine,
regardless of the location of the vending machine.
Notwithstanding any other provisions of this Act,
beginning September 1, 2009, "food for human consumption that
is to be consumed off the premises where it is sold" does not
include candy. For purposes of this Section, "candy" means a
preparation of sugar, honey, or other natural or artificial
sweeteners in combination with chocolate, fruits, nuts or other

SB2858 - 60 - LRB099 16420 RLC 40753 b
ingredients or flavorings in the form of bars, drops, or
pieces. "Candy" does not include any preparation that contains
flour or requires refrigeration.
Notwithstanding any other provisions of this Act,
beginning September 1, 2009, "nonprescription medicines and
drugs" does not include grooming and hygiene products. For
purposes of this Section, "grooming and hygiene products"
includes, but is not limited to, soaps and cleaning solutions,
shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
lotions and screens, unless those products are available by
prescription only, regardless of whether the products meet the
definition of "over-the-counter-drugs". For the purposes of
this paragraph, "over-the-counter-drug" means a drug for human
use that contains a label that identifies the product as a drug
as required by 21 C.F.R. § 201.66. The "over-the-counter-drug"
label includes:
(A) A "Drug Facts" panel; or
(B) A statement of the "active ingredient(s)" with a
list of those ingredients contained in the compound,
substance or preparation.
Beginning January 1, 2017, in addition to all other rates
of tax imposed under this Act, a surcharge of 18% is imposed on
the selling price of firearms and firearm ammunition. "Firearm"
and "firearm ammunition" have the meanings ascribed to them in
Section 1.1 of the Firearm Owners Identification Card Act.
Beginning on January 1, 2014 (the effective date of Public

SB2858 - 61 - LRB099 16420 RLC 40753 b
Act 98-122), "prescription and nonprescription medicines and
drugs" includes medical cannabis purchased from a registered
dispensing organization under the Compassionate Use of Medical
Cannabis Pilot Program Act.
(Source: P.A. 98-104, eff. 7-22-13; 98-122, eff. 1-1-14;
98-756, eff. 7-16-14; 99-143, eff. 7-27-15; 99-180, eff.
7-29-15; revised 10-16-15.)
(35 ILCS 115/9) (from Ch. 120, par. 439.109)
Sec. 9. Each serviceman required or authorized to collect
the tax herein imposed shall pay to the Department the amount
of such tax at the time when he is required to file his return
for the period during which such tax was collectible, 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 serviceman for
expenses incurred in collecting the tax, keeping records,
preparing and filing returns, remitting the tax and supplying
data to the Department on request. The Department may disallow
the discount for servicemen 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.
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

SB2858 - 62 - LRB099 16420 RLC 40753 b
extended beyond the close of the period for which the return is
filed, the serviceman, in collecting the tax may collect, for
each tax return period, only the tax applicable to the part of
the selling price actually received during such tax return
period.
Except as provided hereinafter in this Section, on or
before the twentieth day of each calendar month, such
serviceman shall file a return for the preceding calendar month
in accordance with reasonable rules and regulations to be
promulgated by the Department of Revenue. Such return shall be
filed on a form prescribed by the Department and shall contain
such information as the Department may reasonably require.
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 business as a serviceman in this State;
3. The total amount of taxable receipts received by him
during the preceding calendar month, including receipts
from charge and time sales, but less all deductions allowed
by law;

SB2858 - 63 - LRB099 16420 RLC 40753 b
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.
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.
Prior to October 1, 2003, and on and after September 1,
2004 a serviceman may accept a Manufacturer's Purchase Credit
certification from a purchaser in satisfaction of Service Use
Tax as provided in Section 3-70 of the Service Use Tax Act if
the purchaser provides the appropriate documentation as
required by Section 3-70 of the Service Use Tax Act. A
Manufacturer's Purchase Credit certification, accepted prior
to October 1, 2003 or on or after September 1, 2004 by a
serviceman as provided in Section 3-70 of the Service Use Tax
Act, may be used by that serviceman to satisfy Service
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

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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.
If the serviceman'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 serviceman'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 serviceman may file his return, in the
case of any serviceman who ceases to engage in a kind of
business which makes him responsible for filing returns under

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this Act, such serviceman shall file a final return under this
Act with the Department not more than 1 month after
discontinuing such business.
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 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

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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.
Where a serviceman 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 serviceman refunds the selling price thereof
to the purchaser, such serviceman 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 serviceman may deduct the amount of the tax so
refunded by him to the purchaser from any other Service

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Occupation Tax, Service Use Tax, Retailers' Occupation Tax or
Use Tax which such serviceman may be required to pay or remit
to the Department, as shown by such return, provided that the
amount of the tax to be deducted shall previously have been
remitted to the Department by such serviceman. If the
serviceman shall not previously have remitted the amount of
such tax to the Department, he shall be entitled to no
deduction hereunder upon refunding such tax to the purchaser.
If experience indicates such action to be practicable, the
Department may prescribe and furnish a combination or joint
return which will enable servicemen, who are required to file
returns hereunder and also under the Retailers' Occupation Tax
Act, the Use Tax Act or the Service Use Tax Act, to furnish all
the return information required by all said Acts on the one
form.
Where the serviceman has more than one business registered
with the Department under separate registrations hereunder,
such serviceman shall file separate returns for each registered
business.
Beginning January 1, 1990, each month the Department shall
pay into the Local Government Tax Fund the revenue realized for
the preceding month from the 1% tax on sales of food for human
consumption which is to be consumed off the premises where it
is sold (other than alcoholic beverages, soft drinks and food
which has been prepared for immediate consumption) and
prescription and nonprescription medicines, drugs, medical

SB2858 - 68 - LRB099 16420 RLC 40753 b
appliances and insulin, urine testing materials, syringes and
needles used by diabetics.
Beginning January 1, 1990, each month the Department shall
pay into the County and Mass Transit District Fund 4% of the
revenue realized for the preceding month from the 6.25% general
rate.
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.
Beginning January 1, 1990, each month the Department shall
pay into the Local Government Tax Fund 16% of the revenue
realized for the preceding month from the 6.25% general rate on
transfers of tangible personal property.
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.
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 January 1, 2017, the Department shall pay into

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the Firearm Sales Tax Trust Fund 100% of the net revenue
realized for the preceding month from the 18% surcharge on the
selling price of firearms and firearm ammunition.
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 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 Use Tax Act, the Service Use 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 the Use Tax Act, the Service
Use Tax Act, this 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

SB2858 - 70 - LRB099 16420 RLC 40753 b
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 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

SB2858 - 71 - LRB099 16420 RLC 40753 b
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
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

SB2858 - 72 - LRB099 16420 RLC 40753 b
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.
Fiscal Year Total Deposit
1993 $0
1994 53,000,000

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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
2018 210,000,000
2019 221,000,000
2020 233,000,000

SB2858 - 74 - LRB099 16420 RLC 40753 b
2021 246,000,000
2022 260,000,000
2023 275,000,000
2024 275,000,000
2025 275,000,000
2026 279,000,000
2027 292,000,000
2028 307,000,000
2029 322,000,000
2030 338,000,000
2031 350,000,000
2032 350,000,000
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

SB2858 - 75 - LRB099 16420 RLC 40753 b
(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 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
and the McCormick Place Expansion Project Fund pursuant to the
preceding paragraphs or in any amendments thereto hereafter
enacted, beginning with the receipt of the first report of
taxes paid by an eligible business and continuing for a 25-year
period, the Department shall each month pay into the Energy
Infrastructure Fund 80% of the net revenue realized from the
6.25% general rate on the selling price of Illinois-mined coal
that was sold to an eligible business. For purposes of this
paragraph, the term "eligible business" means a new electric
generating facility certified pursuant to Section 605-332 of

SB2858 - 76 - LRB099 16420 RLC 40753 b
the Department of Commerce and Economic Opportunity Law of the
Civil Administrative Code of Illinois.
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 the effective date of this
amendatory Act of the 98th General Assembly, 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.
Of the remainder of the moneys received by the Department
pursuant to this Act, 75% shall be paid into the General
Revenue Fund of 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

SB2858 - 77 - LRB099 16420 RLC 40753 b
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 taxpayer'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 taxpayer shall attach to his annual return a
schedule showing a reconciliation of the 2 amounts and the
reasons for the difference. The taxpayer's annual return to the
Department shall also disclose the cost of goods sold by the
taxpayer during the year covered by such return, opening and
closing inventories of such goods for such year, cost of goods
used from stock or taken from stock and given away by the
taxpayer during such year, pay roll information of the
taxpayer'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 taxpayer as hereinbefore
provided for in this Section.
If the annual information return required by this Section

SB2858 - 78 - LRB099 16420 RLC 40753 b
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 foregoing portion of this Section concerning the filing
of an annual information return shall not apply to a serviceman
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

SB2858 - 79 - LRB099 16420 RLC 40753 b
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, it shall be
permissible for manufacturers, importers and wholesalers whose
products are sold by numerous servicemen in Illinois, and who
wish to do so, to assume the responsibility for accounting and
paying to the Department all tax accruing under this Act with
respect to such sales, if the servicemen who are affected do
not make written objection to the Department to this
arrangement.
(Source: P.A. 98-24, eff. 6-19-13; 98-109, eff. 7-25-13;
98-298, eff. 8-9-13; 98-496, eff. 1-1-14; 98-756, eff. 7-16-14;
98-1098, eff. 8-26-14; 99-352, eff. 8-12-15.)
Section 25. The Retailers' Occupation Tax Act is amended by
changing Sections 2-10 and 3 as follows:
(35 ILCS 120/2-10)
Sec. 2-10. Rate of tax. Unless otherwise provided in this

SB2858 - 80 - LRB099 16420 RLC 40753 b
Section, 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%.
Beginning on August 6, 2010 through August 15, 2010, with
respect to sales tax holiday items as defined in Section 2-8 of
this 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
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

SB2858 - 81 - LRB099 16420 RLC 40753 b
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, 2018, 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, 2018 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, 2018 and (ii) 100% of the proceeds of sales made
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

SB2858 - 82 - LRB099 16420 RLC 40753 b
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, 2018 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 person with a disability, 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, until September 1, 2009: 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 kind or description that are contained
in any closed or sealed bottle, can, carton, or container,
regardless of size; but "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.

SB2858 - 83 - LRB099 16420 RLC 40753 b
Notwithstanding any other provisions of this Act,
beginning September 1, 2009, "soft drinks" means non-alcoholic
beverages that contain natural or artificial sweeteners. "Soft
drinks" do not include beverages that contain milk or milk
products, soy, rice or similar milk substitutes, or greater
than 50% of vegetable or fruit juice by volume.
Until August 1, 2009, and 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. Beginning
August 1, 2009, and 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, candy, and food
products that are dispensed hot from a vending machine,
regardless of the location of the vending machine.
Notwithstanding any other provisions of this Act,
beginning September 1, 2009, "food for human consumption that
is to be consumed off the premises where it is sold" does not
include candy. For purposes of this Section, "candy" means a
preparation of sugar, honey, or other natural or artificial
sweeteners in combination with chocolate, fruits, nuts or other
ingredients or flavorings in the form of bars, drops, or
pieces. "Candy" does not include any preparation that contains

SB2858 - 84 - LRB099 16420 RLC 40753 b
flour or requires refrigeration.
Notwithstanding any other provisions of this Act,
beginning September 1, 2009, "nonprescription medicines and
drugs" does not include grooming and hygiene products. For
purposes of this Section, "grooming and hygiene products"
includes, but is not limited to, soaps and cleaning solutions,
shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
lotions and screens, unless those products are available by
prescription only, regardless of whether the products meet the
definition of "over-the-counter-drugs". For the purposes of
this paragraph, "over-the-counter-drug" means a drug for human
use that contains a label that identifies the product as a drug
as required by 21 C.F.R. § 201.66. The "over-the-counter-drug"
label includes:
(A) A "Drug Facts" panel; or
(B) A statement of the "active ingredient(s)" with a
list of those ingredients contained in the compound,
substance or preparation.
Beginning January 1, 2017, in addition to all other rates
of tax imposed under this Act, a surcharge of 18% is imposed on
the selling price of firearms and firearm ammunition. "Firearm"
and "firearm ammunition" have the meanings ascribed to them in
Section 1.1 of the Firearm Owners Identification Card Act.
Beginning on the effective date of this amendatory Act of
the 98th General Assembly, "prescription and nonprescription
medicines and drugs" includes medical cannabis purchased from a

SB2858 - 85 - LRB099 16420 RLC 40753 b
registered dispensing organization under the Compassionate Use
of Medical Cannabis Pilot Program Act.
(Source: P.A. 98-122, eff. 1-1-14; 99-143, eff. 7-27-15.)
(35 ILCS 120/3) (from Ch. 120, par. 442)
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 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;

SB2858 - 86 - LRB099 16420 RLC 40753 b
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;
7. The amount of credit provided in Section 2d of this
Act;
8. The amount of tax due;
9. The signature of the taxpayer; and
10. Such other reasonable information as the
Department may require.
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

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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
Purchaser 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.
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

SB2858 - 88 - LRB099 16420 RLC 40753 b
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.
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 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

SB2858 - 89 - LRB099 16420 RLC 40753 b
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 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.

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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" 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

SB2858 - 91 - LRB099 16420 RLC 40753 b
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.
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

SB2858 - 92 - LRB099 16420 RLC 40753 b
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
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

SB2858 - 93 - LRB099 16420 RLC 40753 b
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, 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.
Any retailer who sells only motor vehicles, watercraft,
aircraft, or trailers that are required to be registered with

SB2858 - 94 - LRB099 16420 RLC 40753 b
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 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

SB2858 - 95 - LRB099 16420 RLC 40753 b
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
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

SB2858 - 96 - LRB099 16420 RLC 40753 b
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
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

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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 2.1% or 1.75% 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.
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,

SB2858 - 98 - LRB099 16420 RLC 40753 b
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. Any prepayment made pursuant
to Section 2d of this Act shall be included in the amount on
which such 2.1% or 1.75% 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. 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

SB2858 - 99 - LRB099 16420 RLC 40753 b
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 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

SB2858 - 100 - LRB099 16420 RLC 40753 b
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 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

SB2858 - 101 - LRB099 16420 RLC 40753 b
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 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

SB2858 - 102 - LRB099 16420 RLC 40753 b
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. 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

SB2858 - 103 - LRB099 16420 RLC 40753 b
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 the
effective date of this amendatory Act of 1985, 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

SB2858 - 104 - LRB099 16420 RLC 40753 b
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 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

SB2858 - 105 - LRB099 16420 RLC 40753 b
(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 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

SB2858 - 106 - LRB099 16420 RLC 40753 b
subsequently determined that all or any part of the credit
taken was not actually due to the taxpayer, the taxpayer's 2.1%
and 1.75% vendor's discount shall be reduced by 2.1% or 1.75%
of 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 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 on sales of
food for human consumption which is to be consumed off the
premises where it is sold (other than alcoholic beverages, soft
drinks and food which has been prepared for immediate
consumption) and prescription and nonprescription medicines,
drugs, medical appliances and insulin, urine testing
materials, syringes and needles used by diabetics.
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.

SB2858 - 107 - LRB099 16420 RLC 40753 b
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. Beginning
September 1, 2010, 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 sales tax holiday items.
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.
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. Beginning September 1,
2010, 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
sales tax holiday items.
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

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are now taxed at 6.25%.
Beginning July 1, 2011, each month the Department shall pay
into the Clean Air Act (CAA) 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 (CAA) Permit Fund under this Act
and the Use Tax Act shall not exceed $2,000,000 in any fiscal
year.
Beginning January 1, 2017, the Department shall pay into
the Firearm Sales Tax Trust Fund 100% of the net revenue
realized for the preceding month from the 18% surcharge on the
selling price of firearms and firearm ammunition.
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

SB2858 - 109 - LRB099 16420 RLC 40753 b
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
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

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"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)
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

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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
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

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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
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

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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
2018 210,000,000
2019 221,000,000
2020 233,000,000
2021 246,000,000
2022 260,000,000

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2023 275,000,000
2024 275,000,000
2025 275,000,000
2026 279,000,000
2027 292,000,000
2028 307,000,000
2029 322,000,000
2030 338,000,000
2031 350,000,000
2032 350,000,000
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

SB2858 - 115 - LRB099 16420 RLC 40753 b
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 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
and the McCormick Place Expansion Project Fund pursuant to the
preceding paragraphs or in any amendments thereto hereafter
enacted, beginning with the receipt of the first report of
taxes paid by an eligible business and continuing for a 25-year
period, the Department shall each month pay into the Energy
Infrastructure Fund 80% of the net revenue realized from the
6.25% general rate on the selling price of Illinois-mined coal
that was sold to an eligible business. For purposes of this
paragraph, the term "eligible business" means a new electric
generating facility certified pursuant to Section 605-332 of
the Department of Commerce and Economic Opportunity Law of the
Civil Administrative Code of Illinois.

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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 the effective date of this
amendatory Act of the 98th General Assembly, 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.
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

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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
is not filed when and as required, the taxpayer shall be liable
as follows:
(i) Until January 1, 1994, the taxpayer shall be liable

SB2858 - 118 - LRB099 16420 RLC 40753 b
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
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

SB2858 - 119 - LRB099 16420 RLC 40753 b
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, 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

SB2858 - 120 - LRB099 16420 RLC 40753 b
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 file
their returns as otherwise required in this Section.
(Source: P.A. 98-24, eff. 6-19-13; 98-109, eff. 7-25-13;
98-496, eff. 1-1-14; 98-756, eff. 7-16-14; 98-1098, eff.

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8-26-14; 99-352, eff. 8-12-15.)
Section 30. The Firearm Owners Identification Card Act is
amended by changing Sections 4 and 8 and by adding Sections 4.3
and 4.5 as follows:
(430 ILCS 65/4) (from Ch. 38, par. 83-4)
Sec. 4. (a) Each applicant for a Firearm Owner's
Identification Card must:
(1) Make application on blank forms prepared and
furnished at convenient locations throughout the State by
the Department of State Police, or by electronic means, if
and when made available by the Department of State Police;
and
(2) Submit evidence to the Department of State Police
that:
(i) He or she is 21 years of age or over, or if he
or she is under 21 years of age that he or she has the
written consent of his or her parent or legal guardian
to possess and acquire firearms and firearm ammunition
and that he or she has never been convicted of a
misdemeanor other than a traffic offense or adjudged
delinquent, provided, however, that such parent or
legal guardian is not an individual prohibited from
having a Firearm Owner's Identification Card and files
an affidavit with the Department as prescribed by the

SB2858 - 122 - LRB099 16420 RLC 40753 b
Department stating that he or she is not an individual
prohibited from having a Card;
(ii) He or she has not been convicted of a felony
under the laws of this or any other jurisdiction;
(iii) He or she is not addicted to narcotics;
(iv) He or she has not been a patient in a mental
health facility within the past 5 years or, if he or
she has been a patient in a mental health facility more
than 5 years ago submit the certification required
under subsection (u) of Section 8 of this Act;
(v) He or she is not a person with an intellectual
disability;
(vi) He or she is not an alien who is unlawfully
present in the United States under the laws of the
United States;
(vii) He or she is not subject to an existing order
of protection prohibiting him or her from possessing a
firearm;
(viii) He or she has not been convicted within the
past 5 years of battery, assault, aggravated assault,
violation of an order of protection, or a substantially
similar offense in another jurisdiction, in which a
firearm was used or possessed;
(ix) He or she has not been convicted of domestic
battery, aggravated domestic battery, or a
substantially similar offense in another jurisdiction

SB2858 - 123 - LRB099 16420 RLC 40753 b
committed before, on or after January 1, 2012 (the
effective date of Public Act 97-158). If the applicant
knowingly and intelligently waives the right to have an
offense described in this clause (ix) tried by a jury,
and by guilty plea or otherwise, results in a
conviction for an offense in which a domestic
relationship is not a required element of the offense
but in which a determination of the applicability of 18
U.S.C. 922(g)(9) is made under Section 112A-11.1 of the
Code of Criminal Procedure of 1963, an entry by the
court of a judgment of conviction for that offense
shall be grounds for denying the issuance of a Firearm
Owner's Identification Card under this Section;
(x) (Blank);
(xi) He or she is not an alien who has been
admitted to the United States under a non-immigrant
visa (as that term is defined in Section 101(a)(26) of
the Immigration and Nationality Act (8 U.S.C.
1101(a)(26))), or that he or she is an alien who has
been lawfully admitted to the United States under a
non-immigrant visa if that alien is:
(1) admitted to the United States for lawful
hunting or sporting purposes;
(2) an official representative of a foreign
government who is:
(A) accredited to the United States

SB2858 - 124 - LRB099 16420 RLC 40753 b
Government or the Government's mission to an
international organization having its
headquarters in the United States; or
(B) en route to or from another country to
which that alien is accredited;
(3) an official of a foreign government or
distinguished foreign visitor who has been so
designated by the Department of State;
(4) a foreign law enforcement officer of a
friendly foreign government entering the United
States on official business; or
(5) one who has received a waiver from the
Attorney General of the United States pursuant to
18 U.S.C. 922(y)(3);
(xii) He or she is not a minor subject to a
petition filed under Section 5-520 of the Juvenile
Court Act of 1987 alleging that the minor is a
delinquent minor for the commission of an offense that
if committed by an adult would be a felony;
(xiii) He or she is not an adult who had been
adjudicated a delinquent minor under the Juvenile
Court Act of 1987 for the commission of an offense that
if committed by an adult would be a felony;
(xiv) He or she is a resident of the State of
Illinois;
(xv) He or she has not been adjudicated as a person

SB2858 - 125 - LRB099 16420 RLC 40753 b
with a mental disability;
(xvi) He or she has not been involuntarily admitted
into a mental health facility; and
(xvii) He or she is not a person with a
developmental disability; and
(xviii) He or she has successfully completed a
firearm safety training course approved by the
Department of State Police, if required under Section
4.3 of this Act, as evidenced by submission of a
Firearm Safety Certificate; and
(3) Upon request by the Department of State Police,
sign a release on a form prescribed by the Department of
State Police waiving any right to confidentiality and
requesting the disclosure to the Department of State Police
of limited mental health institution admission information
from another state, the District of Columbia, any other
territory of the United States, or a foreign nation
concerning the applicant for the sole purpose of
determining whether the applicant is or was a patient in a
mental health institution and disqualified because of that
status from receiving a Firearm Owner's Identification
Card. No mental health care or treatment records may be
requested. The information received shall be destroyed
within one year of receipt.
(a-5) Each applicant for a Firearm Owner's Identification
Card who is over the age of 18 shall furnish to the Department

SB2858 - 126 - LRB099 16420 RLC 40753 b
of State Police either his or her Illinois driver's license
number or Illinois Identification Card number, except as
provided in subsection (a-10).
(a-10) Each applicant for a Firearm Owner's Identification
Card, who is employed as a law enforcement officer, an armed
security officer in Illinois, or by the United States Military
permanently assigned in Illinois and who is not an Illinois
resident, shall furnish to the Department of State Police his
or her driver's license number or state identification card
number from his or her state of residence. The Department of
State Police may adopt rules to enforce the provisions of this
subsection (a-10).
(a-15) If an applicant applying for a Firearm Owner's
Identification Card moves from the residence address named in
the application, he or she shall immediately notify in a form
and manner prescribed by the Department of State Police of that
change of address.
(a-20) Each applicant for a Firearm Owner's Identification
Card shall furnish to the Department of State Police his or her
photograph. An applicant who is 21 years of age or older
seeking a religious exemption to the photograph requirement
must furnish with the application an approved copy of United
States Department of the Treasury Internal Revenue Service Form
4029. In lieu of a photograph, an applicant regardless of age
seeking a religious exemption to the photograph requirement
shall submit fingerprints on a form and manner prescribed by

SB2858 - 127 - LRB099 16420 RLC 40753 b
the Department with his or her application.
(b) Each application form shall include the following
statement printed in bold type: "Warning: Entering false
information on an application for a Firearm Owner's
Identification Card is punishable as a Class 2 felony in
accordance with subsection (d-5) of Section 14 of the Firearm
Owners Identification Card Act.".
(c) Upon such written consent, pursuant to Section 4,
paragraph (a)(2)(i), the parent or legal guardian giving the
consent shall be liable for any damages resulting from the
applicant's use of firearms or firearm ammunition.
(Source: P.A. 98-63, eff. 7-9-13; 99-143, eff. 7-27-15.)
(430 ILCS 65/4.3 new)
Sec. 4.3. Firearm training.
(a) A person applying for issuance or renewal of a Firearm
Owner's Identification Card, in addition to the other
requirements of this Act, shall prior to application
successfully complete a firearm safety training course
approved by the Department of State Police and submit a Firearm
Safety Certificate evidencing successful completion of the
course with his or her application.
(b) The following persons are exempt from the firearm
safety training requirement for application and renewal:
(1) a person lawfully possessing a Firearm Owner's
Identification Card on June 1, 1998;

SB2858 - 128 - LRB099 16420 RLC 40753 b
(2) a member of the Armed Forces of the United States,
including the Reserve and the National Guard or a member
who has been honorably discharged from the Armed Forces of
the United States;
(3) a duly authorized law enforcement officer; and
(4) a person who has previously been issued a Firearm
Safety Certificate.
(c) The Department of State Police shall adopt rules for
the issuance and form of Firearm Safety Certificates required
under this Section and training requirements. The Department
shall certify firearm safety instructors and approve firearm
safety training course curriculum. The certification of
instructors shall be for a period of 10 years, unless revoked
for unsuitability in the discretion of the Department. The
Department may impose a fee up to $50 for issuance of a Firearm
Training Certificate to offset costs of issuance and
certification under this Section. Firearm safety training
instructors may be any person certified by a nationally
recognized organization that fosters safety in firearms, or any
other person the Department determines to be competent to give
instruction in firearm safety training. Applicants for
certification as instructors shall meet all other requirements
of this Act and any other law regarding firearm possession.
Approval of course curriculum requires instruction and
training involving:
(1) the safe use, handling, and storage of firearms;

SB2858 - 129 - LRB099 16420 RLC 40753 b
(2) methods of securing and childproofing firearms;
(3) laws relating to the possession, transportation,
and storage of firearms;
(4) knowledge of operation, potential dangers, and
basic competency in the ownership and use of firearms;
(5) a minimum of at least 5 hours of live discharge of
firearms at an approved gun club or shooting range,
including discharge of at least 50 rounds of ammunition;
and
(6) a written test on subject matter covered.
(d) A certified firearm safety instructor may issue a
Firearm Safety Certificate to any person who successfully
completes the requirements of an approved firearm safety
training course by correctly answering 70% of test questions
and demonstrates competent firearm use in range work. No
instructor shall issue a Firearm Safety Certificate to any
person failing to meet the minimum requirements of the course,
including competency in the use of firearms. A certified
instructor shall forward to the Department the names of persons
receiving a Firearm Safety Certificate.
(e) A person who knowingly submits a false or fictitious
Firearm Safety Certificate with an application for issuance or
renewal or who issues a Firearm Safety Certificate to a person
failing to successfully complete the firearm training
requirements is guilty of a Class A misdemeanor and shall be
fined not less than $1,000 or more than $5,000.

SB2858 - 130 - LRB099 16420 RLC 40753 b
(430 ILCS 65/4.5 new)
Sec. 4.5. Firearm owner's liability insurance required.
(a) Any person who owns a firearm in this State shall
maintain a policy of liability insurance in the amount of at
least $1,000,000 specifically covering any damages resulting
from negligent or willful acts involving the use of that
firearm while it is owned by the person. A person shall be
deemed the owner of a firearm after the firearm is lost or
stolen until the loss or theft is reported to the police
department or sheriff of the jurisdiction in which the owner
resides.
(b) This Section does not apply to any person who is not
required to possess a Firearm Owner's Identification Card in
order to acquire or possess a firearm or firearm ammunition
under subsections (b) and (c) of Section 2 of this Act.
(430 ILCS 65/8) (from Ch. 38, par. 83-8)
Sec. 8. Grounds for denial and revocation. The Department
of State Police has authority to deny an application for or to
revoke and seize a Firearm Owner's Identification Card
previously issued under this Act only if the Department finds
that the applicant or the person to whom such card was issued
is or was at the time of issuance:
(a) A person under 21 years of age who has been
convicted of a misdemeanor other than a traffic offense or

SB2858 - 131 - LRB099 16420 RLC 40753 b
adjudged delinquent;
(b) A person under 21 years of age who does not have
the written consent of his parent or guardian to acquire
and possess firearms and firearm ammunition, or whose
parent or guardian has revoked such written consent, or
where such parent or guardian does not qualify to have a
Firearm Owner's Identification Card;
(c) A person convicted of a felony under the laws of
this or any other jurisdiction;
(d) A person addicted to narcotics;
(e) A person who has been a patient of a mental health
facility within the past 5 years or a person who has been a
patient in a mental health facility more than 5 years ago
who has not received the certification required under
subsection (u) of this Section. An active law enforcement
officer employed by a unit of government who is denied,
revoked, or has his or her Firearm Owner's Identification
Card seized under this subsection (e) may obtain relief as
described in subsection (c-5) of Section 10 of this Act if
the officer did not act in a manner threatening to the
officer, another person, or the public as determined by the
treating clinical psychologist or physician, and the
officer seeks mental health treatment;
(f) A person whose mental condition is of such a nature
that it poses a clear and present danger to the applicant,
any other person or persons or the community;

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(g) A person who has an intellectual disability;
(h) A person who intentionally makes a false statement
in the Firearm Owner's Identification Card application;
(i) An alien who is unlawfully present in the United
States under the laws of the United States;
(i-5) An alien who has been admitted to the United
States under a non-immigrant visa (as that term is defined
in Section 101(a)(26) of the Immigration and Nationality
Act (8 U.S.C. 1101(a)(26))), except that this subsection
(i-5) does not apply to any alien who has been lawfully
admitted to the United States under a non-immigrant visa if
that alien is:
(1) admitted to the United States for lawful
hunting or sporting purposes;
(2) an official representative of a foreign
government who is:
(A) accredited to the United States Government
or the Government's mission to an international
organization having its headquarters in the United
States; or
(B) en route to or from another country to
which that alien is accredited;
(3) an official of a foreign government or
distinguished foreign visitor who has been so
designated by the Department of State;
(4) a foreign law enforcement officer of a friendly

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foreign government entering the United States on
official business; or
(5) one who has received a waiver from the Attorney
General of the United States pursuant to 18 U.S.C.
922(y)(3);
(j) (Blank);
(k) A person who has been convicted within the past 5
years of battery, assault, aggravated assault, violation
of an order of protection, or a substantially similar
offense in another jurisdiction, in which a firearm was
used or possessed;
(l) A person who has been convicted of domestic
battery, aggravated domestic battery, or a substantially
similar offense in another jurisdiction committed before,
on or after January 1, 2012 (the effective date of Public
Act 97-158). If the applicant or person who has been
previously issued a Firearm Owner's Identification Card
under this Act knowingly and intelligently waives the right
to have an offense described in this paragraph (l) tried by
a jury, and by guilty plea or otherwise, results in a
conviction for an offense in which a domestic relationship
is not a required element of the offense but in which a
determination of the applicability of 18 U.S.C. 922(g)(9)
is made under Section 112A-11.1 of the Code of Criminal
Procedure of 1963, an entry by the court of a judgment of
conviction for that offense shall be grounds for denying an

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application for and for revoking and seizing a Firearm
Owner's Identification Card previously issued to the
person under this Act;
(m) (Blank);
(n) A person who is prohibited from acquiring or
possessing firearms or firearm ammunition by any Illinois
State statute or by federal law;
(o) A minor subject to a petition filed under Section
5-520 of the Juvenile Court Act of 1987 alleging that the
minor is a delinquent minor for the commission of an
offense that if committed by an adult would be a felony;
(p) An adult who had been adjudicated a delinquent
minor under the Juvenile Court Act of 1987 for the
commission of an offense that if committed by an adult
would be a felony;
(q) A person who is not a resident of the State of
Illinois, except as provided in subsection (a-10) of
Section 4;
(r) A person who has been adjudicated as a person with
a mental disability;
(s) A person who has been found to have a developmental
disability;
(t) A person involuntarily admitted into a mental
health facility; or
(u) A person who has had his or her Firearm Owner's
Identification Card revoked or denied under subsection (e)

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of this Section or item (iv) of paragraph (2) of subsection
(a) of Section 4 of this Act because he or she was a
patient in a mental health facility as provided in
subsection (e) of this Section, shall not be permitted to
obtain a Firearm Owner's Identification Card, after the
5-year period has lapsed, unless he or she has received a
mental health evaluation by a physician, clinical
psychologist, or qualified examiner as those terms are
defined in the Mental Health and Developmental
Disabilities Code, and has received a certification that he
or she is not a clear and present danger to himself,
herself, or others. The physician, clinical psychologist,
or qualified examiner making the certification and his or
her employer shall not be held criminally, civilly, or
professionally liable for making or not making the
certification required under this subsection, except for
willful or wanton misconduct. This subsection does not
apply to a person whose firearm possession rights have been
restored through administrative or judicial action under
Section 10 or 11 of this Act.
(v) The Department of State Police shall revoke and seize a
Firearm Owner's Identification Card previously issued under
this Act if the Department finds that the person to whom the
card was issued possesses or acquires a firearm and does not
submit evidence to the Department of State Police that he or
she has been issued in his or her name a liability insurance

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policy in the amount of at least $1,000,000 specifically
covering any damages resulting from negligent or willful acts
involving the use of the firearm while it is owned by the
person.
Upon revocation of a person's Firearm Owner's
Identification Card, the Department of State Police shall
provide notice to the person and the person shall comply with
Section 9.5 of this Act.
(Source: P.A. 98-63, eff. 7-9-13; 98-508, eff. 8-19-13; 98-756,
eff. 7-16-14; 99-143, eff. 7-27-15.)
Section 35. The Criminal Code of 2012 is amended by
changing Sections 24-1, 24-1.2, 24-1.6, 24-3, 24-3.3, and
24.8-5 and by adding Sections 24-3.1A and 24.8-2.5 as follows:
(720 ILCS 5/24-1) (from Ch. 38, par. 24-1)
Sec. 24-1. Unlawful use of weapons.
(a) A person commits the offense of unlawful use of weapons
when he knowingly:
(1) Sells, manufactures, purchases, possesses or
carries any bludgeon, black-jack, slung-shot, sand-club,
sand-bag, metal knuckles or other knuckle weapon
regardless of its composition, throwing star, or any knife,
commonly referred to as a switchblade knife, which has a
blade that opens automatically by hand pressure applied to
a button, spring or other device in the handle of the

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knife, or a ballistic knife, which is a device that propels
a knifelike blade as a projectile by means of a coil
spring, elastic material or compressed gas; or
(2) Carries or possesses with intent to use the same
unlawfully against another, a dagger, dirk, billy,
dangerous knife, razor, stiletto, broken bottle or other
piece of glass, stun gun or taser or any other dangerous or
deadly weapon or instrument of like character; or
(3) Carries on or about his person or in any vehicle, a
tear gas gun projector or bomb or any object containing
noxious liquid gas or substance, other than an object
containing a non-lethal noxious liquid gas or substance
designed solely for personal defense carried by a person 18
years of age or older; or
(4) Carries or possesses in any vehicle or concealed on
or about his person except when on his land or in his own
abode, legal dwelling, or fixed place of business, or on
the land or in the legal dwelling of another person as an
invitee with that person's permission, any pistol,
revolver, stun gun or taser or other firearm, except that
this subsection (a) (4) does not apply to or affect
transportation of weapons that meet one of the following
conditions:
(i) are broken down in a non-functioning state; or
(ii) are not immediately accessible; or
(iii) are unloaded and enclosed in a case, firearm

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carrying box, shipping box, or other container by a
person who has been issued a currently valid Firearm
Owner's Identification Card; or
(iv) are carried or possessed in accordance with
the Firearm Concealed Carry Act by a person who has
been issued a currently valid license under the Firearm
Concealed Carry Act; or
(5) Sets a spring gun; or
(6) Possesses any device or attachment of any kind
designed, used or intended for use in silencing the report
of any firearm; or
(7) Sells, manufactures, purchases, possesses or
carries:
(i) a machine gun, which shall be defined for the
purposes of this subsection as any weapon, which
shoots, is designed to shoot, or can be readily
restored to shoot, automatically more than one shot
without manually reloading by a single function of the
trigger, including the frame or receiver of any such
weapon, or sells, manufactures, purchases, possesses,
or carries any combination of parts designed or
intended for use in converting any weapon into a
machine gun, or any combination or parts from which a
machine gun can be assembled if such parts are in the
possession or under the control of a person;
(ii) any rifle having one or more barrels less than

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16 inches in length or a shotgun having one or more
barrels less than 18 inches in length or any weapon
made from a rifle or shotgun, whether by alteration,
modification, or otherwise, if such a weapon as
modified has an overall length of less than 26 inches;
or
(iii) any bomb, bomb-shell, grenade, bottle or
other container containing an explosive substance of
over one-quarter ounce for like purposes, such as, but
not limited to, black powder bombs and Molotov
cocktails or artillery projectiles; or
(8) Carries or possesses any firearm, stun gun or taser
or other deadly weapon in any place which is licensed to
sell intoxicating beverages, or at any public gathering
held pursuant to a license issued by any governmental body
or any public gathering at which an admission is charged,
excluding a place where a showing, demonstration or lecture
involving the exhibition of unloaded firearms is
conducted.
This subsection (a)(8) does not apply to any auction or
raffle of a firearm held pursuant to a license or permit
issued by a governmental body, nor does it apply to persons
engaged in firearm safety training courses; or
(9) Carries or possesses in a vehicle or on or about
his person any pistol, revolver, stun gun or taser or
firearm or ballistic knife, when he is hooded, robed or

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masked in such manner as to conceal his identity; or
(10) Carries or possesses on or about his person, upon
any public street, alley, or other public lands within the
corporate limits of a city, village or incorporated town,
except when an invitee thereon or therein, for the purpose
of the display of such weapon or the lawful commerce in
weapons, or except when on his land or in his own abode,
legal dwelling, or fixed place of business, or on the land
or in the legal dwelling of another person as an invitee
with that person's permission, any pistol, revolver, stun
gun or taser or other firearm, except that this subsection
(a) (10) does not apply to or affect transportation of
weapons that meet one of the following conditions:
(i) are broken down in a non-functioning state; or
(ii) are not immediately accessible; or
(iii) are unloaded and enclosed in a case, firearm
carrying box, shipping box, or other container by a
person who has been issued a currently valid Firearm
Owner's Identification Card; or
(iv) are carried or possessed in accordance with
the Firearm Concealed Carry Act by a person who has
been issued a currently valid license under the Firearm
Concealed Carry Act.
A "stun gun or taser", as used in this paragraph (a)
means (i) any device which is powered by electrical
charging units, such as, batteries, and which fires one or

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several barbs attached to a length of wire and which, upon
hitting a human, can send out a current capable of
disrupting the person's nervous system in such a manner as
to render him incapable of normal functioning or (ii) any
device which is powered by electrical charging units, such
as batteries, and which, upon contact with a human or
clothing worn by a human, can send out current capable of
disrupting the person's nervous system in such a manner as
to render him incapable of normal functioning; or
(11) Sells, manufactures or purchases any explosive
bullet. For purposes of this paragraph (a) "explosive
bullet" means the projectile portion of an ammunition
cartridge which contains or carries an explosive charge
which will explode upon contact with the flesh of a human
or an animal. "Cartridge" means a tubular metal case having
a projectile affixed at the front thereof and a cap or
primer at the rear end thereof, with the propellant
contained in such tube between the projectile and the cap;
or
(12) (Blank); or
(13) Carries or possesses on or about his or her person
while in a building occupied by a unit of government, a
billy club, other weapon of like character, or other
instrument of like character intended for use as a weapon.
For the purposes of this Section, "billy club" means a
short stick or club commonly carried by police officers

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which is either telescopic or constructed of a solid piece
of wood or other man-made material.
(b) Sentence. A person convicted of a violation of
subsection 24-1(a)(1) through (5), subsection 24-1(a)(10),
subsection 24-1(a)(11), or subsection 24-1(a)(13) commits a
Class A misdemeanor. A person convicted of a violation of
subsection 24-1(a)(8) or 24-1(a)(9) commits a Class 4 felony; a
person convicted of a violation of subsection 24-1(a)(6) or
24-1(a)(7)(ii) or (iii) commits a Class 3 felony. A person
convicted of a violation of subsection 24-1(a)(7)(i) commits a
Class 2 felony and shall be sentenced to a term of imprisonment
of not less than 3 years and not more than 7 years, unless the
weapon is possessed in the passenger compartment of a motor
vehicle as defined in Section 1-146 of the Illinois Vehicle
Code, or on the person, while the weapon is loaded, in which
case it shall be a Class X felony. A person convicted of a
second or subsequent violation of subsection 24-1(a)(4),
24-1(a)(8), 24-1(a)(9), or 24-1(a)(10) commits a Class 2 3
felony. The possession of each weapon in violation of this
Section constitutes a single and separate violation.
(c) Violations in specific places.
(1) A person who violates subsection 24-1(a)(6) or
24-1(a)(7) in any school, regardless of the time of day or
the time of year, in residential property owned, operated
or managed by a public housing agency or leased by a public
housing agency as part of a scattered site or mixed-income

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development, in a public park, in a courthouse, on the real
property comprising any school, regardless of the time of
day or the time of year, on residential property owned,
operated or managed by a public housing agency or leased by
a public housing agency as part of a scattered site or
mixed-income development, on the real property comprising
any public park, on the real property comprising any
courthouse, in any conveyance owned, leased or contracted
by a school to transport students to or from school or a
school related activity, in any conveyance owned, leased,
or contracted by a public transportation agency, or on any
public way within 1,000 feet of the real property
comprising any school, public park, courthouse, public
transportation facility, or residential property owned,
operated, or managed by a public housing agency or leased
by a public housing agency as part of a scattered site or
mixed-income development commits a Class 2 felony and shall
be sentenced to a term of imprisonment of not less than 5 3
years and not more than 9 7 years.
(1.5) A person who violates subsection 24-1(a)(4),
24-1(a)(9), or 24-1(a)(10) in any school, regardless of the
time of day or the time of year, in residential property
owned, operated, or managed by a public housing agency or
leased by a public housing agency as part of a scattered
site or mixed-income development, in a public park, in a
courthouse, on the real property comprising any school,

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regardless of the time of day or the time of year, on
residential property owned, operated, or managed by a
public housing agency or leased by a public housing agency
as part of a scattered site or mixed-income development, on
the real property comprising any public park, on the real
property comprising any courthouse, in any conveyance
owned, leased, or contracted by a school to transport
students to or from school or a school related activity, in
any conveyance owned, leased, or contracted by a public
transportation agency, or on any public way within 1,000
feet of the real property comprising any school, public
park, courthouse, public transportation facility, or
residential property owned, operated, or managed by a
public housing agency or leased by a public housing agency
as part of a scattered site or mixed-income development
commits a Class 2 3 felony.
(2) A person who violates subsection 24-1(a)(1),
24-1(a)(2), or 24-1(a)(3) in any school, regardless of the
time of day or the time of year, in residential property
owned, operated or managed by a public housing agency or
leased by a public housing agency as part of a scattered
site or mixed-income development, in a public park, in a
courthouse, on the real property comprising any school,
regardless of the time of day or the time of year, on
residential property owned, operated or managed by a public
housing agency or leased by a public housing agency as part

SB2858 - 145 - LRB099 16420 RLC 40753 b
of a scattered site or mixed-income development, on the
real property comprising any public park, on the real
property comprising any courthouse, in any conveyance
owned, leased or contracted by a school to transport
students to or from school or a school related activity, in
any conveyance owned, leased, or contracted by a public
transportation agency, or on any public way within 1,000
feet of the real property comprising any school, public
park, courthouse, public transportation facility, or
residential property owned, operated, or managed by a
public housing agency or leased by a public housing agency
as part of a scattered site or mixed-income development
commits a Class 3 4 felony. "Courthouse" means any building
that is used by the Circuit, Appellate, or Supreme Court of
this State for the conduct of official business.
(3) Paragraphs (1), (1.5), and (2) of this subsection
(c) shall not apply to law enforcement officers or security
officers of such school, college, or university or to
students carrying or possessing firearms for use in
training courses, parades, hunting, target shooting on
school ranges, or otherwise with the consent of school
authorities and which firearms are transported unloaded
enclosed in a suitable case, box, or transportation
package.
(4) For the purposes of this subsection (c), "school"
means any public or private elementary or secondary school,

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community college, college, or university.
(5) For the purposes of this subsection (c), "public
transportation agency" means a public or private agency
that provides for the transportation or conveyance of
persons by means available to the general public, except
for transportation by automobiles not used for conveyance
of the general public as passengers; and "public
transportation facility" means a terminal or other place
where one may obtain public transportation.
(d) The presence in an automobile other than a public
omnibus of any weapon, instrument or substance referred to in
subsection (a)(7) is prima facie evidence that it is in the
possession of, and is being carried by, all persons occupying
such automobile at the time such weapon, instrument or
substance is found, except under the following circumstances:
(i) if such weapon, instrument or instrumentality is found upon
the person of one of the occupants therein; or (ii) if such
weapon, instrument or substance is found in an automobile
operated for hire by a duly licensed driver in the due, lawful
and proper pursuit of his trade, then such presumption shall
not apply to the driver.
(e) Exemptions. Crossbows, Common or Compound bows and
Underwater Spearguns are exempted from the definition of
ballistic knife as defined in paragraph (1) of subsection (a)
of this Section.
(Source: P.A. 99-29, eff. 7-10-15.)

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(720 ILCS 5/24-1.2) (from Ch. 38, par. 24-1.2)
Sec. 24-1.2. Aggravated discharge of a firearm.
(a) A person commits aggravated discharge of a firearm when
he or she knowingly or intentionally:
(1) Discharges a firearm at or into a building he or
she knows or reasonably should know to be occupied and the
firearm is discharged from a place or position outside that
building;
(2) Discharges a firearm in the direction of another
person or in the direction of a vehicle he or she knows or
reasonably should know to be occupied by a person;
(3) Discharges a firearm in the direction of a person
he or she knows to be a peace officer, a community policing
volunteer, a correctional institution employee, or a
fireman while the officer, volunteer, employee or fireman
is engaged in the execution of any of his or her official
duties, or to prevent the officer, volunteer, employee or
fireman from performing his or her official duties, or in
retaliation for the officer, volunteer, employee or
fireman performing his or her official duties;
(4) Discharges a firearm in the direction of a vehicle
he or she knows to be occupied by a peace officer, a person
summoned or directed by a peace officer, a correctional
institution employee or a fireman while the officer,
employee or fireman is engaged in the execution of any of

SB2858 - 148 - LRB099 16420 RLC 40753 b
his or her official duties, or to prevent the officer,
employee or fireman from performing his or her official
duties, or in retaliation for the officer, employee or
fireman performing his or her official duties;
(5) Discharges a firearm in the direction of a person
he or she knows to be an emergency medical technician -
ambulance, emergency medical technician - intermediate,
emergency medical technician - paramedic, ambulance
driver, or other medical assistance or first aid personnel,
employed by a municipality or other governmental unit,
while the emergency medical technician - ambulance,
emergency medical technician - intermediate, emergency
medical technician - paramedic, ambulance driver, or other
medical assistance or first aid personnel is engaged in the
execution of any of his or her official duties, or to
prevent the emergency medical technician - ambulance,
emergency medical technician - intermediate, emergency
medical technician - paramedic, ambulance driver, or other
medical assistance or first aid personnel from performing
his or her official duties, or in retaliation for the
emergency medical technician - ambulance, emergency
medical technician - intermediate, emergency medical
technician - paramedic, ambulance driver, or other medical
assistance or first aid personnel performing his or her
official duties;
(6) Discharges a firearm in the direction of a vehicle

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he or she knows to be occupied by an emergency medical
technician - ambulance, emergency medical technician -
intermediate, emergency medical technician - paramedic,
ambulance driver, or other medical assistance or first aid
personnel, employed by a municipality or other
governmental unit, while the emergency medical technician -
ambulance, emergency medical technician - intermediate,
emergency medical technician - paramedic, ambulance
driver, or other medical assistance or first aid personnel
is engaged in the execution of any of his or her official
duties, or to prevent the emergency medical technician -
ambulance, emergency medical technician - intermediate,
emergency medical technician - paramedic, ambulance
driver, or other medical assistance or first aid personnel
from performing his or her official duties, or in
retaliation for the emergency medical technician -
ambulance, emergency medical technician - intermediate,
emergency medical technician - paramedic, ambulance
driver, or other medical assistance or first aid personnel
performing his or her official duties;
(7) Discharges a firearm in the direction of a person
he or she knows to be a teacher or other person employed in
any school and the teacher or other employee is upon the
grounds of a school or grounds adjacent to a school, or is
in any part of a building used for school purposes;
(8) Discharges a firearm in the direction of a person

SB2858 - 150 - LRB099 16420 RLC 40753 b
he or she knows to be an emergency management worker while
the emergency management worker is engaged in the execution
of any of his or her official duties, or to prevent the
emergency management worker from performing his or her
official duties, or in retaliation for the emergency
management worker performing his or her official duties; or
(9) Discharges a firearm in the direction of a vehicle
he or she knows to be occupied by an emergency management
worker while the emergency management worker is engaged in
the execution of any of his or her official duties, or to
prevent the emergency management worker from performing
his or her official duties, or in retaliation for the
emergency management worker performing his or her official
duties.
(b) A violation of subsection (a)(1) or subsection (a)(2)
of this Section is a Class 1 felony. A violation of subsection
(a)(1) or (a)(2) of this Section committed in a school, on the
real property comprising a school, within 1,000 feet of the
real property comprising a school, at a school related activity
or on or within 1,000 feet of any conveyance owned, leased, or
contracted by a school to transport students to or from school
or a school related activity, regardless of the time of day or
time of year that the offense was committed is a Class X felony
for which the sentence shall be a term of imprisonment of not
less than 8 years. A violation of subsection (a)(3), (a)(4),
(a)(5), (a)(6), (a)(7), (a)(8), or (a)(9) of this Section is a

SB2858 - 151 - LRB099 16420 RLC 40753 b
Class X felony for which the sentence shall be a term of
imprisonment of no less than 10 years and not more than 45
years.
(c) For purposes of this Section:
"School" means a public or private elementary or secondary
school, community college, college, or university.
"School related activity" means any sporting, social,
academic, or other activity for which students' attendance or
participation is sponsored, organized, or funded in whole or in
part by a school or school district.
(Source: P.A. 94-243, eff. 1-1-06.)
(720 ILCS 5/24-1.6)
Sec. 24-1.6. Aggravated unlawful use of a weapon.
(a) A person commits the offense of aggravated unlawful use
of a weapon when he or she knowingly:
(1) Carries on or about his or her person or in any
vehicle or concealed on or about his or her person except
when on his or her land or in his or her abode, legal
dwelling, or fixed place of business, or on the land or in
the legal dwelling of another person as an invitee with
that person's permission, any pistol, revolver, stun gun or
taser or other firearm; or
(2) Carries or possesses on or about his or her person,
upon any public street, alley, or other public lands within
the corporate limits of a city, village or incorporated

SB2858 - 152 - LRB099 16420 RLC 40753 b
town, except when an invitee thereon or therein, for the
purpose of the display of such weapon or the lawful
commerce in weapons, or except when on his or her own land
or in his or her own abode, legal dwelling, or fixed place
of business, or on the land or in the legal dwelling of
another person as an invitee with that person's permission,
any pistol, revolver, stun gun or taser or other firearm;
and
(3) One of the following factors is present:
(A) the firearm, other than a pistol, revolver, or
handgun, possessed was uncased, loaded, and
immediately accessible at the time of the offense; or
(A-5) the pistol, revolver, or handgun possessed
was uncased, loaded, and immediately accessible at the
time of the offense and the person possessing the
pistol, revolver, or handgun has not been issued a
currently valid license under the Firearm Concealed
Carry Act; or
(B) the firearm, other than a pistol, revolver, or
handgun, possessed was uncased, unloaded, and the
ammunition for the weapon was immediately accessible
at the time of the offense; or
(B-5) the pistol, revolver, or handgun possessed
was uncased, unloaded, and the ammunition for the
weapon was immediately accessible at the time of the
offense and the person possessing the pistol,

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revolver, or handgun has not been issued a currently
valid license under the Firearm Concealed Carry Act; or
(C) the person possessing the firearm has not been
issued a currently valid Firearm Owner's
Identification Card; or
(D) the person possessing the weapon was
previously adjudicated a delinquent minor under the
Juvenile Court Act of 1987 for an act that if committed
by an adult would be a felony; or
(E) the person possessing the weapon was engaged in
a misdemeanor violation of the Cannabis Control Act, in
a misdemeanor violation of the Illinois Controlled
Substances Act, or in a misdemeanor violation of the
Methamphetamine Control and Community Protection Act;
or
(F) (blank); or
(G) the person possessing the weapon had a order of
protection issued against him or her within the
previous 2 years; or
(H) the person possessing the weapon was engaged in
the commission or attempted commission of a
misdemeanor involving the use or threat of violence
against the person or property of another; or
(I) the person possessing the weapon was under 21
years of age and in possession of a handgun, unless the
person under 21 is engaged in lawful activities under

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the Wildlife Code or described in subsection
24-2(b)(1), (b)(3), or 24-2(f).
(a-5) "Handgun" as used in this Section has the meaning
given to it in Section 5 of the Firearm Concealed Carry Act.
(b) "Stun gun or taser" as used in this Section has the
same definition given to it in Section 24-1 of this Code.
(c) This Section does not apply to or affect the
transportation or possession of weapons that:
(i) are broken down in a non-functioning state; or
(ii) are not immediately accessible; or
(iii) are unloaded and enclosed in a case, firearm
carrying box, shipping box, or other container by a person
who has been issued a currently valid Firearm Owner's
Identification Card.
(d) Sentence.
(1) Aggravated unlawful use of a weapon is a Class 3 4
felony; a second or subsequent offense is a Class 2 felony
for which the person shall be sentenced to a term of
imprisonment of not less than 4 3 years and not more than
10 7 years.
(2) Except as otherwise provided in paragraphs (3) and
(4) of this subsection (d), a first offense of aggravated
unlawful use of a weapon committed with a firearm by a
person 18 years of age or older where the factors listed in
both items (A) and (C) or both items (A-5) and (C) of
paragraph (3) of subsection (a) are present is a Class 3 4

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felony, for which the person shall be sentenced to a term
of imprisonment of not less than one year and not more than
3 years.
(3) Aggravated unlawful use of a weapon by a person who
has been previously convicted of a felony in this State or
another jurisdiction is a Class 2 felony for which the
person shall be sentenced to a term of imprisonment of not
less than 5 3 years and not more than 10 7 years.
(4) Aggravated unlawful use of a weapon while wearing
or in possession of body armor as defined in Section 33F-1
by a person who has not been issued a valid Firearms
Owner's Identification Card in accordance with Section 5 of
the Firearm Owners Identification Card Act is a Class X
felony.
(e) The possession of each firearm in violation of this
Section constitutes a single and separate violation.
(Source: P.A. 98-63, eff. 7-9-13.)
(720 ILCS 5/24-3) (from Ch. 38, par. 24-3)
Sec. 24-3. Unlawful sale or delivery of firearms.
(A) A person commits the offense of unlawful sale or
delivery of firearms when he or she knowingly does any of the
following:
(a) Sells or gives any firearm of a size which may be
concealed upon the person to any person under 18 years of
age.

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(b) Sells or gives any firearm to a person under 21
years of age who has been convicted of a misdemeanor other
than a traffic offense or adjudged delinquent.
(c) Sells or gives any firearm to any narcotic addict.
(d) Sells or gives any firearm to any person who has
been convicted of a felony under the laws of this or any
other jurisdiction.
(e) Sells or gives any firearm to any person who has
been a patient in a mental institution within the past 5
years. In this subsection (e):
"Mental institution" means any hospital,
institution, clinic, evaluation facility, mental
health center, or part thereof, which is used primarily
for the care or treatment of persons with mental
illness.
"Patient in a mental institution" means the person
was admitted, either voluntarily or involuntarily, to
a mental institution for mental health treatment,
unless the treatment was voluntary and solely for an
alcohol abuse disorder and no other secondary
substance abuse disorder or mental illness.
(f) Sells or gives any firearms to any person who is a
person with an intellectual disability.
(g) Delivers any firearm of a size which may be
concealed upon the person, incidental to a sale, without
withholding delivery of such firearm for at least 72 hours

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after application for its purchase has been made, or
delivers any rifle, shotgun or other long gun, or a stun
gun or taser, incidental to a sale, without withholding
delivery of such rifle, shotgun or other long gun, or a
stun gun or taser for at least 24 hours after application
for its purchase has been made. However, this paragraph (g)
does not apply to: (1) the sale of a firearm to a law
enforcement officer if the seller of the firearm knows that
the person to whom he or she is selling the firearm is a
law enforcement officer or the sale of a firearm to a
person who desires to purchase a firearm for use in
promoting the public interest incident to his or her
employment as a bank guard, armed truck guard, or other
similar employment; (2) a mail order sale of a firearm from
a federally licensed firearms dealer to a nonresident of
Illinois under which the firearm is mailed to a federally
licensed firearms dealer outside the boundaries of
Illinois; (3) the sale of a firearm to a nonresident of
Illinois while at a firearm showing or display recognized
by the Illinois Department of State Police; (4) the sale of
a firearm to a dealer licensed as a federal firearms dealer
under Section 923 of the federal Gun Control Act of 1968
(18 U.S.C. 923); or (5) the transfer or sale of any rifle,
shotgun, or other long gun to a resident registered
competitor or attendee or non-resident registered
competitor or attendee by any dealer licensed as a federal

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firearms dealer under Section 923 of the federal Gun
Control Act of 1968 at competitive shooting events held at
the World Shooting Complex sanctioned by a national
governing body. For purposes of transfers or sales under
subparagraph (5) of this paragraph (g), the Department of
Natural Resources shall give notice to the Department of
State Police at least 30 calendar days prior to any
competitive shooting events at the World Shooting Complex
sanctioned by a national governing body. The notification
shall be made on a form prescribed by the Department of
State Police. The sanctioning body shall provide a list of
all registered competitors and attendees at least 24 hours
before the events to the Department of State Police. Any
changes to the list of registered competitors and attendees
shall be forwarded to the Department of State Police as
soon as practicable. The Department of State Police must
destroy the list of registered competitors and attendees no
later than 30 days after the date of the event. Nothing in
this paragraph (g) relieves a federally licensed firearm
dealer from the requirements of conducting a NICS
background check through the Illinois Point of Contact
under 18 U.S.C. 922(t). For purposes of this paragraph (g),
"application" means when the buyer and seller reach an
agreement to purchase a firearm. For purposes of this
paragraph (g), "national governing body" means a group of
persons who adopt rules and formulate policy on behalf of a

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national firearm sporting organization.
(h) While holding any license as a dealer, importer,
manufacturer or pawnbroker under the federal Gun Control
Act of 1968, manufactures, sells or delivers to any
unlicensed person a handgun having a barrel, slide, frame
or receiver which is a die casting of zinc alloy or any
other nonhomogeneous metal which will melt or deform at a
temperature of less than 800 degrees Fahrenheit. For
purposes of this paragraph, (1) "firearm" is defined as in
the Firearm Owners Identification Card Act; and (2)
"handgun" is defined as a firearm designed to be held and
fired by the use of a single hand, and includes a
combination of parts from which such a firearm can be
assembled.
(i) Sells or gives a firearm of any size to any person
under 18 years of age who does not possess a valid Firearm
Owner's Identification Card.
(i-5) While holding a license under the Federal Gun
Control Act of 1968, sells or gives with intent to transfer
more than one firearm to a person within any 30-day period
or sells or gives with intent to transfer a firearm to the
person he or she knows or has reasonable cause to believe
has received a firearm within the previous 30 days unless
the receipt of multiple firearms is exempted under
subsection (c) or (d) of Section 24-3.1A. It is an
affirmative defense to a violation of this subsection that

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the transferor in good faith relied on the records of the
Department of State Police in concluding that the
transferee had not transferred or received a firearm within
the previous 30 days or that multiple purchases were
authorized by subsection (b) of Section 24-3.1A, or relied
in good faith on the records of a local law enforcement
agency that the transfer was authorized by subsection (c)
of Section 24-3.1A.
(j) Sells or gives a firearm while engaged in the
business of selling firearms at wholesale or retail without
being licensed as a federal firearms dealer under Section
923 of the federal Gun Control Act of 1968 (18 U.S.C. 923).
In this paragraph (j):
A person "engaged in the business" means a person who
devotes time, attention, and labor to engaging in the
activity as a regular course of trade or business with the
principal objective of livelihood and profit, but does not
include a person who makes occasional repairs of firearms
or who occasionally fits special barrels, stocks, or
trigger mechanisms to firearms.
"With the principal objective of livelihood and
profit" means that the intent underlying the sale or
disposition of firearms is predominantly one of obtaining
livelihood and pecuniary gain, as opposed to other intents,
such as improving or liquidating a personal firearms
collection; however, proof of profit shall not be required

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as to a person who engages in the regular and repetitive
purchase and disposition of firearms for criminal purposes
or terrorism.
(k) Sells or transfers ownership of a firearm to a
person who does not display to the seller or transferor of
the firearm either: (1) a currently valid Firearm Owner's
Identification Card that has previously been issued in the
transferee's name by the Department of State Police under
the provisions of the Firearm Owners Identification Card
Act; or (2) a currently valid license to carry a concealed
firearm that has previously been issued in the transferee's
name by the Department of State Police under the Firearm
Concealed Carry Act. This paragraph (k) does not apply to
the transfer of a firearm to a person who is exempt from
the requirement of possessing a Firearm Owner's
Identification Card under Section 2 of the Firearm Owners
Identification Card Act. For the purposes of this Section,
a currently valid Firearm Owner's Identification Card
means (i) a Firearm Owner's Identification Card that has
not expired or (ii) an approval number issued in accordance
with subsection (a-10) of subsection 3 or Section 3.1 of
the Firearm Owners Identification Card Act shall be proof
that the Firearm Owner's Identification Card was valid.
(1) In addition to the other requirements of this
paragraph (k), all persons who are not federally
licensed firearms dealers must also have complied with

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subsection (a-10) of Section 3 of the Firearm Owners
Identification Card Act by determining the validity of
a purchaser's Firearm Owner's Identification Card.
(2) All sellers or transferors who have complied
with the requirements of subparagraph (1) of this
paragraph (k) shall not be liable for damages in any
civil action arising from the use or misuse by the
transferee of the firearm transferred, except for
willful or wanton misconduct on the part of the seller
or transferor.
(l) Not being entitled to the possession of a firearm,
delivers the firearm, knowing it to have been stolen or
converted. It may be inferred that a person who possesses a
firearm with knowledge that its serial number has been
removed or altered has knowledge that the firearm is stolen
or converted.
(B) Paragraph (h) of subsection (A) does not include
firearms sold within 6 months after enactment of Public Act
78-355 (approved August 21, 1973, effective October 1, 1973),
nor is any firearm legally owned or possessed by any citizen or
purchased by any citizen within 6 months after the enactment of
Public Act 78-355 subject to confiscation or seizure under the
provisions of that Public Act. Nothing in Public Act 78-355
shall be construed to prohibit the gift or trade of any firearm
if that firearm was legally held or acquired within 6 months
after the enactment of that Public Act.

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(B-5) As used in this Section, "sells or gives" means the
actual or attempted transfer of a firearm, with or without
consideration, but does not include the lease of a firearm, if
the firearm is to be used on the lessor's premises, and does
not include any transfer of possession when the transferor
maintains supervision and control over the firearm.
(B-10) It is an affirmative defense to a violation of
paragraph (i-5) of subsection (A) that the sales or giving with
intent to transfer of a firearm was to a transferee who
received the firearm as an heir, legatee, or beneficiary of or
in a similar capacity to a deceased person who had owned the
firearm. Nothing in this paragraph (B-10) makes lawful any
transfer or possession with intent to transfer of a firearm, or
any other possession or use of a firearm, in violation of any
law, other than paragraph (i-5) of subsection (A), or in
violation of any municipal or county ordinance.
(C) Sentence.
(1) Any person convicted of unlawful sale or delivery
of firearms in violation of paragraph (c), (e), (f), (g),
or (h) of subsection (A) commits a Class 4 felony. A person
convicted of a violation of subsection (i-5) of subsection
(A) of this Section commits a Class A misdemeanor for a
first offense and a Class 4 felony for a second or
subsequent offense.
(2) Any person convicted of unlawful sale or delivery
of firearms in violation of paragraph (b) or (i) of

SB2858 - 164 - LRB099 16420 RLC 40753 b
subsection (A) commits a Class 3 felony.
(3) Any person convicted of unlawful sale or delivery
of firearms in violation of paragraph (a) of subsection (A)
commits a Class 2 felony.
(4) Any person convicted of unlawful sale or delivery
of firearms in violation of paragraph (a), (b), or (i) of
subsection (A) in any school, on the real property
comprising a school, within 1,000 feet of the real property
comprising a school, at a school related activity, or on or
within 1,000 feet of any conveyance owned, leased, or
contracted by a school or school district to transport
students to or from school or a school related activity,
regardless of the time of day or time of year at which the
offense was committed, commits a Class 1 felony. Any person
convicted of a second or subsequent violation of unlawful
sale or delivery of firearms in violation of paragraph (a),
(b), or (i) of subsection (A) in any school, on the real
property comprising a school, within 1,000 feet of the real
property comprising a school, at a school related activity,
or on or within 1,000 feet of any conveyance owned, leased,
or contracted by a school or school district to transport
students to or from school or a school related activity,
regardless of the time of day or time of year at which the
offense was committed, commits a Class 1 felony for which
the sentence shall be a term of imprisonment of no less
than 5 years and no more than 15 years.

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(5) Any person convicted of unlawful sale or delivery
of firearms in violation of paragraph (a) or (i) of
subsection (A) in residential property owned, operated, or
managed by a public housing agency or leased by a public
housing agency as part of a scattered site or mixed-income
development, in a public park, in a courthouse, on
residential property owned, operated, or managed by a
public housing agency or leased by a public housing agency
as part of a scattered site or mixed-income development, on
the real property comprising any public park, on the real
property comprising any courthouse, or on any public way
within 1,000 feet of the real property comprising any
public park, courthouse, or residential property owned,
operated, or managed by a public housing agency or leased
by a public housing agency as part of a scattered site or
mixed-income development commits a Class 2 felony.
(6) Any person convicted of unlawful sale or delivery
of firearms in violation of paragraph (j) of subsection (A)
commits a Class A misdemeanor. A second or subsequent
violation is a Class 4 felony.
(7) Any person convicted of unlawful sale or delivery
of firearms in violation of paragraph (k) of subsection (A)
commits a Class 4 felony, except that a violation of
subparagraph (1) of paragraph (k) of subsection (A) shall
not be punishable as a crime or petty offense. A third or
subsequent conviction for a violation of paragraph (k) of

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subsection (A) is a Class 1 felony.
(8) A person 18 years of age or older convicted of
unlawful sale or delivery of firearms in violation of
paragraph (a) or (i) of subsection (A), when the firearm
that was sold or given to another person under 18 years of
age was used in the commission of or attempt to commit a
forcible felony, shall be fined or imprisoned, or both, not
to exceed the maximum provided for the most serious
forcible felony so committed or attempted by the person
under 18 years of age who was sold or given the firearm.
(9) Any person convicted of unlawful sale or delivery
of firearms in violation of paragraph (d) of subsection (A)
commits a Class 3 felony.
(10) Any person convicted of unlawful sale or delivery
of firearms in violation of paragraph (l) of subsection (A)
commits a Class 2 felony if the delivery is of one firearm.
Any person convicted of unlawful sale or delivery of
firearms in violation of paragraph (l) of subsection (A)
commits a Class 1 felony if the delivery is of not less
than 2 and not more than 5 firearms at the same time or
within a one year period. Any person convicted of unlawful
sale or delivery of firearms in violation of paragraph (l)
of subsection (A) commits a Class X felony for which he or
she shall be sentenced to a term of imprisonment of not
less than 6 years and not more than 30 years if the
delivery is of not less than 6 and not more than 10

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firearms at the same time or within a 2 year period. Any
person convicted of unlawful sale or delivery of firearms
in violation of paragraph (l) of subsection (A) commits a
Class X felony for which he or she shall be sentenced to a
term of imprisonment of not less than 6 years and not more
than 40 years if the delivery is of not less than 11 and
not more than 20 firearms at the same time or within a 3
year period. Any person convicted of unlawful sale or
delivery of firearms in violation of paragraph (l) of
subsection (A) commits a Class X felony for which he or she
shall be sentenced to a term of imprisonment of not less
than 6 years and not more than 50 years if the delivery is
of not less than 21 and not more than 30 firearms at the
same time or within a 4 year period. Any person convicted
of unlawful sale or delivery of firearms in violation of
paragraph (l) of subsection (A) commits a Class X felony
for which he or she shall be sentenced to a term of
imprisonment of not less than 6 years and not more than 60
years if the delivery is of 31 or more firearms at the same
time or within a 5 year period.
(D) For purposes of this Section:
"School" means a public or private elementary or secondary
school, community college, college, or university.
"School related activity" means any sporting, social,
academic, or other activity for which students' attendance or
participation is sponsored, organized, or funded in whole or in

SB2858 - 168 - LRB099 16420 RLC 40753 b
part by a school or school district.
(E) A prosecution for a violation of paragraph (k) of
subsection (A) of this Section may be commenced within 6 years
after the commission of the offense. A prosecution for a
violation of this Section other than paragraph (g) of
subsection (A) of this Section may be commenced within 5 years
after the commission of the offense defined in the particular
paragraph.
(Source: P.A. 98-508, eff. 8-19-13; 99-29, eff. 7-10-15;
99-143, eff. 7-27-15; revised 10-16-15.)
(720 ILCS 5/24-3.1A new)
Sec. 24-3.1A. Unlawful acquisition of firearms.
(a) Except as exempted in subsections (b) and (c), it is
unlawful for any person other than a person holding a license
under the Federal Gun Control Act of 1968, as amended, to
acquire more than one firearm within any 30-day period.
(b) Acquisitions in excess of one firearm within a 30-day
period may be made upon completion of an enhanced background
check, as described in this Section, by special application to
the Department of State Police listing the number and type of
firearms to be acquired and transferred for lawful business or
personal use, in a collector series, for collections, as a bulk
purchase from estate sales, and for similar purposes. The
application must be signed under oath by the applicant on forms
provided by the Department of State Police, must state the

SB2858 - 169 - LRB099 16420 RLC 40753 b
purpose for the acquisition above the limit, and must require
satisfactory proof of residency and identity. The application
is in addition to the firearms transfer report required by the
Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). The
Director of State Police shall adopt rules, under the Illinois
Administrative Procedure Act, for the implementation of an
application process for acquisitions of firearms above the
limit.
Upon being satisfied that these requirements have been met,
the Department of State Police must issue to the applicant a
nontransferable certificate that is valid for 7 days from the
date of issue. The certificate must be surrendered to the
transferor by the prospective transferee before the
consummation of the transfer and must be kept on file at the
transferor's place of business for inspection as provided in
Section 24-4. Upon request of any local law enforcement agency,
and under its rules, the Department of State Police may certify
the local law enforcement agency to serve as its agent to
receive applications and, upon authorization by the Department
of State Police, issue certificates under this Section.
Applications and certificates issued under this Section must be
maintained as records by the Department of State Police, and
made available to local law enforcement agencies.
(c) This Section does not apply to:
(1) a law enforcement agency;
(2) State and local correctional agencies and

SB2858 - 170 - LRB099 16420 RLC 40753 b
departments;
(3) the acquisition of antique firearms as defined by
paragraph (4) of Section 1.1 of the Firearm Owners
Identification Card Act;
(4) a person whose firearm is stolen or irretrievably
lost who deems it essential that the firearm be replaced
immediately. The person may acquire another firearm, even
if the person has previously acquired a firearm within a
30-day period, if: (i) the person provides the firearms
transferor with a copy of the official police report or a
summary of the official police report, on forms provided by
the Department of State Police, from the law enforcement
agency that took the report of the lost or stolen firearm;
(ii) the official police report or summary of the official
police report contains the name and address of the firearm
owner, the description and serial number of the firearm,
the location of the loss or theft, the date of the loss or
theft, and the date the loss or theft was reported to the
law enforcement agency; and (iii) the date of the loss or
theft as reflected on the official police report or summary
of the official police report occurred within 30 days of
the person's attempt to replace the firearm. The firearm's
transferor must attach a copy of the official police report
or summary of the official police report to the original
copy of the form provided by the Department of State Police
completed for the transaction, retain it for the period

SB2858 - 171 - LRB099 16420 RLC 40753 b
prescribed by the Department of State Police, and forward a
copy of the documents to the Department of State Police.
The documents must be maintained by the Department of State
Police and made available to local law enforcement
agencies;
(5) any branch of the United States Armed Forces,
including the Reserves and National Guard;
(6) any person who purchases, rents, or leases a
firearm and then exchanges it for another firearm provided
by a licensed dealer within a 30-day period; or
(7) a federal, State, or local historical society,
museum, or institutional collector open to the public.
(d) For the purposes of this Section, "acquisition" does
not include the exchange or replacement of a firearm by a
transferor for a firearm transferred from the transferor by the
same person seeking the exchange or replacement within the
30-day period immediately preceding the date of exchange or
replacement.
(e) The exemptions in subsections (b) and (c) are
affirmative defenses to a violation of subsection (a).
(f) A violation of this Section is a Class A misdemeanor
for a first offense and a Class 4 felony for a second or
subsequent offense.
(720 ILCS 5/24-3.3) (from Ch. 38, par. 24-3.3)
Sec. 24-3.3. Unlawful Sale or Delivery of Firearms on the

SB2858 - 172 - LRB099 16420 RLC 40753 b
Premises of Any School, regardless of the time of day or the
time of year, or any conveyance owned, leased or contracted by
a school to transport students to or from school or a school
related activity, or residential property owned, operated or
managed by a public housing agency. Any person 18 years of age
or older who sells, gives or delivers any firearm to any person
under 18 years of age in any school, regardless of the time of
day or the time of year or residential property owned, operated
or managed by a public housing agency or leased by a public
housing agency as part of a scattered site or mixed-income
development, on the real property comprising any school,
regardless of the time of day or the time of year or
residential property owned, operated or managed by a public
housing agency or leased by a public housing agency as part of
a scattered site or mixed-income development commits a Class 2
3 felony. School is defined, for the purposes of this Section,
as any public or private elementary or secondary school,
community college, college or university. This does not apply
to peace officers or to students carrying or possessing
firearms for use in school training courses, parades, target
shooting on school ranges, or otherwise with the consent of
school authorities and which firearms are transported unloaded
and enclosed in a suitable case, box or transportation package.
(Source: P.A. 91-673, eff. 12-22-99.)
(720 ILCS 5/24.8-2.5 new)

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Sec. 24.8-2.5. Unlawful possession of air rifle in a school
or school-related activity.
(a) A person not a law enforcement officer commits unlawful
possession of an air rifle in a school or school-related
activity when he or she knowingly possesses or knowingly has
under his or control in a motor vehicle an air rifle capable of
discharging a shot or pellet by whatever means in a school or
school-related activity without the written authorization of
the board or officer in charge of the school.
(b) For purposes of this Section:
"School" means a public or private elementary or
secondary school, community college, college, or
university.
"School-related activity" means any sporting, social,
academic, or other activity for which students' attendance
or participation is sponsored, organized, or funded in
whole or in part by a school or school district.
(720 ILCS 5/24.8-5)
Sec. 24.8-5. Sentence. A violation of this Article is a
petty offense, except Section 24.8-2.5 which is a Class A
misdemeanor. The State Police or any sheriff or police officer
shall seize, take, remove or cause to be removed at the expense
of the owner, any air rifle sold or used in any manner in
violation of this Article.
(Source: P.A. 97-1108, eff. 1-1-13.)

SB2858 - 174 - LRB099 16420 RLC 40753 b
Section 99. Effective date. This Act takes effect upon
becoming law.
SB2858 - 175 - LRB099 16420 RLC 40753 b
INDEX
Statutes amended in order of appearance