Bill Text: IL SB3386 | 2019-2020 | 101st General Assembly | Introduced
Bill Title: Creates the Short-Term Rental Operators' Occupation Tax Act. Imposes a tax upon persons engaged in the business of short-term rental at the rate of 5% of 94% of the gross rental receipts from such renting, leasing or letting. Imposes an additional tax at the rate of 1% of 94% of the gross rental receipts from such renting, leasing or letting. Provides that operators of short-term rentals shall obtain a business license from the Department of Revenue. Effective October 1, 2020.
Spectrum: Slight Partisan Bill (Democrat 3-1)
Status: (Failed) 2021-01-13 - Session Sine Die [SB3386 Detail]
Download: Illinois-2019-SB3386-Introduced.html
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1 | AN ACT concerning revenue.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 1. Short title. This Act may be cited as the | ||||||||||||||||||||||||||||||||
5 | Short-Term Rental Operators' Occupation Tax Act.
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6 | Section 5. Definitions. As used in this Act: | ||||||||||||||||||||||||||||||||
7 | "Booking transaction" means a transaction in which a | ||||||||||||||||||||||||||||||||
8 | hosting platform collects or receives compensation for | ||||||||||||||||||||||||||||||||
9 | facilitating a rental of a short-term rental located in this | ||||||||||||||||||||||||||||||||
10 | State by directly or indirectly allowing a reservation to be | ||||||||||||||||||||||||||||||||
11 | made for an occupant or collecting or processing payments | ||||||||||||||||||||||||||||||||
12 | through the hosting platform's online application, software, | ||||||||||||||||||||||||||||||||
13 | website, or system. | ||||||||||||||||||||||||||||||||
14 | "Department" means the Department of Revenue. | ||||||||||||||||||||||||||||||||
15 | "Hosting platform" means a person who provides an online | ||||||||||||||||||||||||||||||||
16 | application, software, website, or system through which a | ||||||||||||||||||||||||||||||||
17 | short-term rental located in this State is advertised or held | ||||||||||||||||||||||||||||||||
18 | out to the public as available to rent for occupancy. | ||||||||||||||||||||||||||||||||
19 | "Operator" means any person operating a short-term rental. | ||||||||||||||||||||||||||||||||
20 | "Occupancy" means the use or possession, or the right to | ||||||||||||||||||||||||||||||||
21 | the use or possession, of any room or rooms in a short-term | ||||||||||||||||||||||||||||||||
22 | rental for any purpose, or the right to the use or possession | ||||||||||||||||||||||||||||||||
23 | of the furnishings or to the services and accommodations |
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1 | accompanying the use and possession of the room or rooms, by an | ||||||
2 | occupant. | ||||||
3 | "Permanent resident" means any person who occupied or has | ||||||
4 | the right to occupy any room or rooms, regardless of whether or | ||||||
5 | not it is the same room or rooms, in a short-term rental for at | ||||||
6 | least 30 consecutive days. | ||||||
7 | "Person" means any natural individual, firm, partnership, | ||||||
8 | association, joint stock company, joint adventure, public or | ||||||
9 | private corporation, limited liability company, or a receiver, | ||||||
10 | executor, trustee, guardian or other representative appointed | ||||||
11 | by order of any court. | ||||||
12 | "Rent" or "rental" means the consideration received for an | ||||||
13 | occupant's occupancy, valued in money, whether received in | ||||||
14 | money or otherwise, including all receipts, cash, credits and | ||||||
15 | property or services of any kind or nature. | ||||||
16 | "Room" or "rooms" means any living quarters, sleeping or | ||||||
17 | housekeeping accommodations. | ||||||
18 | "Short-term rental" means an owner-occupied, | ||||||
19 | tenant-occupied, or non-owner-occupied dwelling including, but | ||||||
20 | not limited to, an apartment, house, cottage, condominium, or | ||||||
21 | furnished accommodation that is not a hotel as defined in the | ||||||
22 | Hotel Operators' Occupation Tax Act, where: (i) at least one | ||||||
23 | room in the dwelling is rented to an occupant for a period of | ||||||
24 | less than 30 consecutive days; and (ii) all accommodations are | ||||||
25 | reserved in advance; provided, however, that a dwelling shall | ||||||
26 | be considered a single room if rented as such. This definition |
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1 | does not include: | ||||||
2 | (1) any dormitory or other living or sleeping facility | ||||||
3 | maintained by a public or private school, college, or | ||||||
4 | university for the use of students, faculty, or visitors. | ||||||
5 | (2) any facility certified or licensed and regulated by | ||||||
6 | the Department of Human Services or Department of Public | ||||||
7 | Health; | ||||||
8 | (3) any room in a condominium, cooperative, or | ||||||
9 | timeshare plan and any individually or collectively owned | ||||||
10 | single-family or multi-family dwelling house or room in | ||||||
11 | such dwelling that is rented for a period of at least 30 | ||||||
12 | consecutive days and that is not advertised or held out to | ||||||
13 | the public as a place regularly rented for periods of less | ||||||
14 | than 30 consecutive days; | ||||||
15 | (4) any migrant labor camp or residential migrant | ||||||
16 | housing permitted by the Department of Public Health; | ||||||
17 | (5) any nonprofit organization that operates a | ||||||
18 | facility providing housing only to patients, patients' | ||||||
19 | families, and patients' caregivers and not to the general | ||||||
20 | public; or | ||||||
21 | (6) any apartment building inspected by the United | ||||||
22 | States Department of Housing and Urban Development or other | ||||||
23 | entity acting on behalf of the United States Department of | ||||||
24 | Housing and Urban Development that is designated primarily | ||||||
25 | as housing for persons at least 62 years of age. The | ||||||
26 | Department may require the operator of the apartment |
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1 | building to attest in writing that such building meets the | ||||||
2 | criteria provided in this subparagraph. The Department may | ||||||
3 | adopt rules to implement this requirement.
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4 | Section 10. Rate; exemptions. | ||||||
5 | (a) A tax is imposed upon persons engaged in the business | ||||||
6 | of short-term rental at the rate of 5% of 94% of the gross | ||||||
7 | rental receipts from such renting, leasing, or letting.
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8 | (b) There shall be imposed an additional tax upon persons | ||||||
9 | engaged in the business of short-term rental at the rate of 1% | ||||||
10 | of 94% of the gross rental receipts from such renting, leasing, | ||||||
11 | or letting. | ||||||
12 | (c) No funds received pursuant to this Act shall be used to | ||||||
13 | advertise for or otherwise promote new competition in the hotel | ||||||
14 | business. | ||||||
15 | (d) The tax is not imposed upon the privilege of engaging | ||||||
16 | in any business in Interstate Commerce or otherwise, which | ||||||
17 | business may not, under the Constitution and statutes of the | ||||||
18 | United States, be made the subject of taxation by this State. | ||||||
19 | In addition, the tax is not imposed upon gross rental receipts | ||||||
20 | for which the short-term rental operator is prohibited from | ||||||
21 | obtaining reimbursement for the tax from the customer by reason | ||||||
22 | of a federal treaty. | ||||||
23 | (e) The tax imposed by this Act shall not apply to gross | ||||||
24 | rental receipts received by an entity that is organized and | ||||||
25 | operated exclusively for religious purposes and possesses an |
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1 | active Exemption Identification Number issued by the | ||||||
2 | Department pursuant to the Retailers' Occupation Tax Act when | ||||||
3 | acting as a short-term rental operator renting, leasing, or | ||||||
4 | letting rooms as follows:
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5 | (1) in furtherance of the purposes for which it is | ||||||
6 | organized; or | ||||||
7 | (2) to entities that (i) are organized and operated | ||||||
8 | exclusively for religious purposes, (ii) possess an active | ||||||
9 | Exemption Identification Number issued by the Department | ||||||
10 | pursuant to the Retailers' Occupation Tax Act, and (iii) | ||||||
11 | rent the rooms in furtherance of the purposes for which | ||||||
12 | they are organized. | ||||||
13 | No gross rental receipts are exempt under paragraph (2) of | ||||||
14 | this subsection (e) unless the short-term rental operator | ||||||
15 | obtains the active Exemption Identification Number from the | ||||||
16 | exclusively religious entity to whom it is renting and | ||||||
17 | maintains that number in its books and records. Gross rental | ||||||
18 | receipts from all rentals other than those described in items | ||||||
19 | (1) or (2) of this subsection (e) are subject to the tax | ||||||
20 | imposed by this Act unless otherwise exempt under this Act. | ||||||
21 | (f) Persons subject to the tax imposed by this Act may | ||||||
22 | reimburse themselves for their tax liability under this Act by | ||||||
23 | separately stating such tax as an additional charge, which | ||||||
24 | charge may be stated in combination, in a single amount, with | ||||||
25 | any tax imposed by any unit of local government. | ||||||
26 | (g) If any short-term rental operator or a hosting platform |
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1 | acting as an agent collects an amount (however designated) | ||||||
2 | which purports to reimburse such operator for short-term rental | ||||||
3 | operators' occupation tax liability measured by receipts which | ||||||
4 | are not subject to short-term rental operators' occupation tax, | ||||||
5 | or if any short-term rental operator or a hosting platform | ||||||
6 | acting as an agent, in collecting an amount (however | ||||||
7 | designated) which purports to reimburse such operator for | ||||||
8 | short-term rental operators' occupation tax liability measured | ||||||
9 | by receipts which are subject to tax under this Act, collects | ||||||
10 | more from the customer than the operators' short-term rental | ||||||
11 | operators' occupation tax liability in the transaction is, the | ||||||
12 | customer shall have a legal right to claim a refund of such | ||||||
13 | amount from such operator. However, if such amount is not | ||||||
14 | refunded to the customer for any reason, the short-term rental | ||||||
15 | operator or hosting platform is liable to pay such amount to | ||||||
16 | the Department. | ||||||
17 | (h) The tax imposed under this Act shall be in addition to | ||||||
18 | all other occupation or privilege taxes imposed by the State of | ||||||
19 | Illinois or by any municipal corporation or political | ||||||
20 | subdivision thereof.
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21 | Section 15. Hosting platform collection and remittance of | ||||||
22 | taxes. | ||||||
23 | (a) Any hosting platform that facilitates a booking | ||||||
24 | transaction shall be required to act as the relevant short-term | ||||||
25 | rental operator's agent and: (i) assess, collect, report, and |
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1 | remit the tax to the appropriate taxing body; (ii) maintain | ||||||
2 | records of any taxes collected that have been remitted to the | ||||||
3 | appropriate taxing body and submit these records to the | ||||||
4 | Department in accordance with this Act; and (iii) notify the | ||||||
5 | short-term rental operator that the operator must comply with | ||||||
6 | all applicable local, State, and federal laws, regulations, and | ||||||
7 | ordinances, including this Act.
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8 | (b) A hosting platform that facilitates a booking | ||||||
9 | transaction shall provide notification within a reasonable | ||||||
10 | time to the relevant short-term rental operator that the tax | ||||||
11 | has been collected and remitted to the appropriate taxing body. | ||||||
12 | The notification must be delivered in hand, by mail, or | ||||||
13 | conveyed electronically by electronic message, mobile or smart | ||||||
14 | phone application, or another similar electronic process, | ||||||
15 | digital media, or communication portal. A short-term rental | ||||||
16 | operator shall not be responsible for collecting and remitting | ||||||
17 | taxes for which the operator has received notification from a | ||||||
18 | hosting platform that the excise has been collected and | ||||||
19 | remitted to the taxing body on their behalf. | ||||||
20 | (c) A hosting platform acting as an agent of a short-term | ||||||
21 | rental operator in accordance with subsection (a) shall provide | ||||||
22 | notification to the Department in a manner prescribed by the | ||||||
23 | Department.
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24 | Section 20. Hosting Platforms. | ||||||
25 | (a) It is unlawful for any hosting platform to facilitate a |
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1 | booking transaction for a short-term rental located in this | ||||||
2 | State unless the hosting platform: | ||||||
3 | (1) is first registered with the Department in | ||||||
4 | accordance with subsection (d); and | ||||||
5 | (2) as a condition of registration with the Department, | ||||||
6 | has obtained written consent from all operators with | ||||||
7 | short-term rentals located in this State who intend to | ||||||
8 | short-term rent such dwelling or room within such dwelling | ||||||
9 | through the platform, for the disclosure of the information | ||||||
10 | required under, and the furnishing of such information in | ||||||
11 | accordance with, Section 25 of this Act. | ||||||
12 | (b) It is unlawful for any hosting platform to facilitate a | ||||||
13 | booking transaction for a short-term rental located in this | ||||||
14 | State if the dwelling or room within the dwelling is not | ||||||
15 | lawfully registered, licensed, permitted, or otherwise allowed | ||||||
16 | as a short-term rental pursuant to an applicable local, State, | ||||||
17 | or federal law, regulation, or ordinance, including this Act, | ||||||
18 | at the time it is rented. | ||||||
19 | (c) A hosting platform shall designate and maintain on file | ||||||
20 | with the Department an agent for service of process in this | ||||||
21 | state. If the registered agent is unable, with reasonable | ||||||
22 | diligence, to be located, or if the hosting platform fails to | ||||||
23 | reasonably designate or maintain a registered agent in this | ||||||
24 | State, the Director may deem himself or herself or another | ||||||
25 | appropriate person an agent of the hosting platform for | ||||||
26 | purposes of accepting service of any process, notice, or |
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1 | demand. | ||||||
2 | (d) The Department may issue a certificate of registration | ||||||
3 | to each hosting platform that meets the requirements of this | ||||||
4 | Act and the rules for hosting platform registration adopted | ||||||
5 | thereunder by the Department.
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6 | Section 25. Records and reporting. | ||||||
7 | (a) Notwithstanding any other provision of law or | ||||||
8 | Department action to the contrary: | ||||||
9 | (1) Every operator shall keep separate books or records | ||||||
10 | of the operator's business so as to show the rents and | ||||||
11 | occupancies taxable under this Act separately from the | ||||||
12 | operator's transactions not taxable under this Act. If any | ||||||
13 | operator fails to keep such separate books or records, the | ||||||
14 | operator shall be liable to remit the tax at the rate | ||||||
15 | designated in this Act upon the entire proceeds from the | ||||||
16 | short-term rental. The Department may adopt rules that | ||||||
17 | establish requirements, including record forms and | ||||||
18 | formats, for records required to be kept and maintained by | ||||||
19 | taxpayers. For purposes of this Section, "records" means | ||||||
20 | all data maintained by the taxpayer, including data on | ||||||
21 | paper, microfilm, microfiche or any type of | ||||||
22 | machine-sensible data compilation. | ||||||
23 | (2) In accordance with rules adopted by the Department | ||||||
24 | and subject to applicable laws, for all booking | ||||||
25 | transactions it facilitates for short-term rentals located |
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1 | in this State a hosting platform shall develop and maintain | ||||||
2 | a report that must include all of the following information | ||||||
3 | about each short-term rental booking transaction: | ||||||
4 | (A) the name of the operator; | ||||||
5 | (B) the operator's or short-term rental's license, | ||||||
6 | registration, permit, or other number as applicable; | ||||||
7 | (C) the physical address; | ||||||
8 | (D) any room or dwelling designation; | ||||||
9 | (E) the individual periods of rental by calendar | ||||||
10 | date; | ||||||
11 | (F) the itemized amounts collected or processed by | ||||||
12 | the hosting platform for the rental, taxes, and all | ||||||
13 | other charges; and | ||||||
14 | (G) any additional information that the Department | ||||||
15 | may require by rule. | ||||||
16 | (b) The hosting platform shall submit the report to the | ||||||
17 | Department monthly in the format requested by the Department | ||||||
18 | and shall make the report available for audit by the Department | ||||||
19 | upon request, as well as any underlying records requested by | ||||||
20 | the Department. The Department may issue and serve subpoenas | ||||||
21 | and compel the production of the report and underlying records | ||||||
22 | as necessary to enforce hosting platform compliance with this | ||||||
23 | Section. Such underlying records may not include copies of | ||||||
24 | specific message exchanges between the hosting platform and an | ||||||
25 | operator, short-term rental renter, or occupant, or between the | ||||||
26 | operator and short-term rental renter or occupant. |
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1 | (c) The hosting platform shall maintain the report and | ||||||
2 | underlying records for at least 3 years, in accordance with any | ||||||
3 | rules adopted by the Department. | ||||||
4 | (d) The Department shall share the report, sections of the | ||||||
5 | report, underlying records, or any combination of those items, | ||||||
6 | with an agency or local government of this State to ensure | ||||||
7 | compliance with this Act, the laws of this State, and any local | ||||||
8 | laws, regulations or ordinances. | ||||||
9 | (e) The Department may use the report and underlying | ||||||
10 | records for tax auditing purposes and local governments may use | ||||||
11 | the reports and underlying records to ensure compliance with | ||||||
12 | laws, ordinances, or regulations. | ||||||
13 | (f) A hosting platform may not facilitate a booking | ||||||
14 | transaction for a rental of a short-term rental located in this | ||||||
15 | State unless the operator consents to the hosting platform's | ||||||
16 | disclosure of the information required by this Section. | ||||||
17 | (g) A hosting platform that has operated or is operating in | ||||||
18 | violation of this Section, or the rules of the Department, | ||||||
19 | shall be subject to fines up to $1,000 per offense and to | ||||||
20 | suspension, revocation, or refusal of a registration issued | ||||||
21 | pursuant to this Act. For purposes of this subsection, the | ||||||
22 | Department may regard as a separate offense each transaction a | ||||||
23 | hosting platform processes in violation of this Act or the | ||||||
24 | rules of the Department.
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25 | Section 30. State business licensing. |
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1 | (a) Before an operator engages in the business of a | ||||||
2 | short-term rental in this State, the operator shall obtain a | ||||||
3 | business license from the Department. In order to obtain a | ||||||
4 | business license from the Department, the operator must first | ||||||
5 | provide evidence to the Department that the short-term rental | ||||||
6 | is lawfully registered, licensed, permitted, or otherwise | ||||||
7 | allowed to operate as a short-term rental pursuant to the | ||||||
8 | applicable local law, regulation, or ordinance. | ||||||
9 | (b) An operator's business license number issued by the | ||||||
10 | Department must be displayed on any advertisement or listing of | ||||||
11 | a short-term rental and be physically displayed within the | ||||||
12 | short-term rental. | ||||||
13 | (c) If the Department notifies a hosting platform in | ||||||
14 | writing that an advertisement or listing for a short-term | ||||||
15 | rental in this state fails to display a valid business license | ||||||
16 | number issued by the Department, the hosting platform must | ||||||
17 | remove all advertisements or listings for that short-term | ||||||
18 | rental from its online application, software, website, or | ||||||
19 | system within 3 business days unless the listing is otherwise | ||||||
20 | brought into compliance with the law. | ||||||
21 | (d) The Department shall revoke or refuse to issue or renew | ||||||
22 | a short-term rental operator's business license when: (i) the | ||||||
23 | Department determines that the operation of the subject | ||||||
24 | short-term rental violates the terms of an applicable lease or | ||||||
25 | property restriction; or (ii) the Department determines that | ||||||
26 | the operation of the short-term rental violates a State, |
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1 | federal, or local law, ordinance, or regulation, or the | ||||||
2 | short-term rental operator is the subject of a final order or | ||||||
3 | judgment lawfully directing the termination of the premises' | ||||||
4 | use as a short-term rental.
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5 | Section 35. Filing of returns and distribution of proceeds. | ||||||
6 | Except as provided in this Section, on or before the last | ||||||
7 | day of each calendar month, every operator or agent in this | ||||||
8 | State shall file a return for the preceding calendar month with | ||||||
9 | the Department, stating: | ||||||
10 | (1) the name of the operator; | ||||||
11 | (2) the operator's residence address and the address of | ||||||
12 | his principal place of business and the address of the | ||||||
13 | principal place of business (if that is a different | ||||||
14 | address) from which he engages in the business of renting, | ||||||
15 | leasing or letting rooms in a short-term rental in this | ||||||
16 | State; | ||||||
17 | (3) the total amount of rental receipts received by the | ||||||
18 | operator during the preceding calendar month from renting, | ||||||
19 | leasing or letting rooms during such preceding calendar | ||||||
20 | month; | ||||||
21 | (4) the total amount of rental receipts received by the | ||||||
22 | operator during the preceding calendar month from renting, | ||||||
23 | leasing or letting rooms to permanent residents during such | ||||||
24 | preceding calendar month; | ||||||
25 | (5) the total amount of other exclusions from gross |
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1 | rental receipts allowed by this Act; | ||||||
2 | (6) gross rental receipts which were received by the | ||||||
3 | operator during the preceding calendar month and upon the | ||||||
4 | basis of which the tax is imposed; | ||||||
5 | (7) the amount of tax due; and | ||||||
6 | (8) such other reasonable information as the | ||||||
7 | Department may require. | ||||||
8 | If the operator's average monthly tax liability to the | ||||||
9 | Department does not exceed $200, the Department may authorize | ||||||
10 | the operator's returns to be filed on a quarter annual basis, | ||||||
11 | with the return for January, February, and March of a given | ||||||
12 | year being due by April 30 of such year; with the return for | ||||||
13 | April, May, and June of a given year being due by July 31 of | ||||||
14 | such year; with the return for July, August, and September of a | ||||||
15 | given year being due by October 31 of such year, and with the | ||||||
16 | return for October, November, and December of a given year | ||||||
17 | being due by January 31 of the following year. | ||||||
18 | If the operator's average monthly tax liability to the | ||||||
19 | Department does not exceed $50, the Department may authorize | ||||||
20 | the operator's returns to be filed on an annual basis, with the | ||||||
21 | return for a given year being due by January 31 of the | ||||||
22 | following year. | ||||||
23 | Such quarter annual and annual returns, as to form and | ||||||
24 | substance, shall be subject to the same requirements as monthly | ||||||
25 | returns. | ||||||
26 | Notwithstanding any other provision in this Act concerning |
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1 | the time within which an operator may file his return, in the | ||||||
2 | case of any operator who ceases to engage in a kind of business | ||||||
3 | which makes the operator responsible for filing returns under | ||||||
4 | this Act, such operator shall file a final return under this | ||||||
5 | Act with the Department not more than 1 month after | ||||||
6 | discontinuing such business. | ||||||
7 | Where the same person has more than one business registered | ||||||
8 | with the Department under separate registrations under this | ||||||
9 | Act, such person shall not file each return that is due as a | ||||||
10 | single return covering all such registered businesses, but | ||||||
11 | shall file separate returns for each such registered business. | ||||||
12 | In the operator's return, the operator shall determine the | ||||||
13 | value of any consideration other than money received by him in | ||||||
14 | connection with the renting, leasing, or letting of rooms in | ||||||
15 | the course of his business, and the operator shall include such | ||||||
16 | value in his return. Such determination shall be subject to | ||||||
17 | review and revision by the Department in the manner provided in | ||||||
18 | this Act for the correction of returns. | ||||||
19 | Where the operator is a corporation, the return filed on | ||||||
20 | behalf of such corporation shall be signed by the president, | ||||||
21 | vice-president, secretary or treasurer or by the properly | ||||||
22 | accredited agent of such corporation. | ||||||
23 | The person filing the return shall, at the time of filing | ||||||
24 | such return, pay to the Department the amount of tax herein | ||||||
25 | imposed. The operator filing the return under this Section | ||||||
26 | shall, at the time of filing such return, pay to the Department |
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1 | the amount of tax imposed by this Act less a discount of 2.1% | ||||||
2 | or $25 per calendar year, whichever is greater, which is | ||||||
3 | allowed to reimburse the operator for the expenses incurred in | ||||||
4 | keeping records, preparing and filing returns, remitting the | ||||||
5 | tax and supplying data to the Department on request. | ||||||
6 | If any payment provided for in this Section exceeds the | ||||||
7 | operator's liabilities under this Act, as shown on an original | ||||||
8 | return, the Department may authorize the operator to credit | ||||||
9 | such excess payment against liability subsequently to be | ||||||
10 | remitted to the Department under this Act, in accordance with | ||||||
11 | reasonable rules adopted by the Department. If the Department | ||||||
12 | subsequently determines that all or any part of the credit | ||||||
13 | taken was not actually due to the operator, the operator's | ||||||
14 | discount shall be reduced by an amount equal to the difference | ||||||
15 | between the discount as applied to the credit taken and that | ||||||
16 | actually due, and that operator shall be liable for penalties | ||||||
17 | and interest on such difference. | ||||||
18 | The proceeds collected from the tax under this Act shall be | ||||||
19 | deposited into the same funds and in the same manner as | ||||||
20 | proceeds are deposited under Section 6 of the Hotel Operators' | ||||||
21 | Occupation Tax Act. | ||||||
22 | The Department may, upon separate written notice to a | ||||||
23 | taxpayer, require the taxpayer to prepare and file with the | ||||||
24 | Department on a form prescribed by the Department within not | ||||||
25 | less than 60 days after receipt of the notice an annual | ||||||
26 | information return for the tax year specified in the notice. |
| |||||||
| |||||||
1 | Such annual return to the Department shall include a statement | ||||||
2 | of gross receipts as shown by the operator's last State income | ||||||
3 | tax return. If the total receipts of the business as reported | ||||||
4 | in the State income tax return do not agree with the gross | ||||||
5 | receipts reported to the Department for the same period, the | ||||||
6 | operator shall attach to his annual information return a | ||||||
7 | schedule showing a reconciliation of the 2 amounts and the | ||||||
8 | reasons for the difference. The operator's annual information | ||||||
9 | return to the Department shall also disclose pay roll | ||||||
10 | information of the operator's business during the year covered | ||||||
11 | by such return and any additional reasonable information which | ||||||
12 | the Department deems would be helpful in determining the | ||||||
13 | accuracy of the monthly, quarterly or annual tax returns by | ||||||
14 | such operator as hereinbefore provided for in this Section. | ||||||
15 | If the annual information return required by this Section | ||||||
16 | is not filed when and as required the taxpayer shall be liable | ||||||
17 | for a penalty in an amount determined in accordance with | ||||||
18 | Section 3-4 of the Uniform Penalty and Interest Act until such | ||||||
19 | return is filed as required, the penalty to be assessed and | ||||||
20 | collected in the same manner as any other penalty provided for | ||||||
21 | in this Act. | ||||||
22 | The chief executive officer, proprietor, owner or highest | ||||||
23 | ranking manager shall sign the annual return to certify the | ||||||
24 | accuracy of the information contained therein. Any person who | ||||||
25 | willfully signs the annual return containing false or | ||||||
26 | inaccurate information shall be guilty of perjury and punished |
| |||||||
| |||||||
1 | accordingly. The annual return form prescribed by the | ||||||
2 | Department shall include a warning that the person signing the | ||||||
3 | return may be liable for perjury. | ||||||
4 | The foregoing portion of this Section concerning the filing | ||||||
5 | of an annual information return shall not apply to an operator | ||||||
6 | who is not required to file an income tax return with the | ||||||
7 | United States Government.
| ||||||
8 | Section 40. Incorporation of Retailers' Occupation Tax Act | ||||||
9 | and Uniform Penalty and Interest Act. All of the provisions of | ||||||
10 | Sections 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b, | ||||||
11 | 6c, 7, 8, 9, 10, 11 and 12 of the Retailers' Occupation Tax Act | ||||||
12 | and Section 3-7 of the Uniform Penalty and Interest Act shall | ||||||
13 | apply to persons in the business of renting, leasing or letting | ||||||
14 | short-term rental rooms in this State to the same extent as if | ||||||
15 | such provisions were included herein.
| ||||||
16 | Section 45. Recordkeeping. When the amount due is under | ||||||
17 | $300, any person engaged in the business of renting, leasing or | ||||||
18 | letting short-term rental rooms in this State, who fails to | ||||||
19 | make a return, or to keep books and records as required herein, | ||||||
20 | or who makes a fraudulent return, or who willfully violates any | ||||||
21 | rule or regulation of the Department for the administration and | ||||||
22 | enforcement of the provisions of this Act, or any officer or | ||||||
23 | agent of a corporation engaged in the business of renting, | ||||||
24 | leasing or letting short-term rental rooms in this State, who |
| |||||||
| |||||||
1 | signs a fraudulent return made on behalf of such corporation, | ||||||
2 | is guilty of a Class 4 felony. | ||||||
3 | Any person who violates any provision of Section 5 of this | ||||||
4 | Act is guilty of a Class 4 felony. Each and every day any such | ||||||
5 | person is engaged in business in violation of said Section 5 | ||||||
6 | shall constitute a separate offense. | ||||||
7 | When the amount due is under $300, any person who accepts | ||||||
8 | money that is due to the Department under this Act from a | ||||||
9 | taxpayer for the purpose of acting as the taxpayer's agent to | ||||||
10 | make the payment to the Department, but who fails to remit such | ||||||
11 | payment to the Department when due is guilty of a Class 4 | ||||||
12 | felony. Any such person who purports to make such payment by | ||||||
13 | issuing or delivering a check or other order upon a real or | ||||||
14 | fictitious depository for the payment of money, knowing that it | ||||||
15 | will not be paid by the depository, shall be guilty of a | ||||||
16 | deceptive practice in violation of Section 17-1 of the Criminal | ||||||
17 | Code of 2012. | ||||||
18 | Any short-term rental operator who collects or attempts to | ||||||
19 | collect an amount (however designated) which purports to | ||||||
20 | reimburse such operator for a short-term rental operators' | ||||||
21 | occupation tax liability measured by receipts which such | ||||||
22 | operator knows are not subject to short-term rental operators' | ||||||
23 | occupation tax, or any short-term rental operator who knowingly | ||||||
24 | over-collects or attempts to over-collect an amount purporting | ||||||
25 | to reimburse such operator for short-term operators' | ||||||
26 | occupation tax liability in a transaction which is subject to |
| |||||||
| |||||||
1 | the tax that is imposed by this Act, shall be guilty of a Class | ||||||
2 | 4 felony. | ||||||
3 | When the amount due is $300 or more, any person engaged in | ||||||
4 | the business of renting, leasing or letting short-term rental | ||||||
5 | rooms in this State, who fails to make a return, or to keep | ||||||
6 | books and records as required herein, or who makes a fraudulent | ||||||
7 | return, or who willfully violates any rule or regulation of the | ||||||
8 | Department for the administration and enforcement of the | ||||||
9 | provisions of this Act, or any officer or agent of a | ||||||
10 | corporation engaged in the business of renting, leasing or | ||||||
11 | letting short-term rental rooms in this State who signs a | ||||||
12 | fraudulent return made on behalf of such corporation is guilty | ||||||
13 | of a Class 3 felony. | ||||||
14 | When the amount due is $300 or more, any person who accepts | ||||||
15 | money that is due to the Department under this Act from a | ||||||
16 | taxpayer for the purpose of acting as the taxpayer's agent to | ||||||
17 | make the payment to the Department, but who fails to remit such | ||||||
18 | payment to the Department is guilty of a Class 3 felony. Any | ||||||
19 | such person who purports to make such payment by issuing or | ||||||
20 | delivering a check or other order upon a real or fictitious | ||||||
21 | depository for the payment of money, knowing that it will not | ||||||
22 | be paid by the depository, shall be guilty of a deceptive | ||||||
23 | practice in violation of Section 17-1 of the Criminal Code of | ||||||
24 | 2012. | ||||||
25 | A prosecution for any act in violation of this Section may | ||||||
26 | be commenced at any time within 3 years of the commission of |
| |||||||
| |||||||
1 | that act.
| ||||||
2 | Section 50. Intergovernmental sharing of information. Any | ||||||
3 | information collected by the Department pursuant to this Act | ||||||
4 | shall not be subject to the Freedom of Information Act. | ||||||
5 | Information collected pursuant to this Act by the Department | ||||||
6 | may be shared with local units of government upon request, | ||||||
7 | provided that the information is treated as confidential at all | ||||||
8 | times by the local unit of government.
| ||||||
9 | Section 55. Local regulation. A unit of local government | ||||||
10 | may adopt an ordinance or resolution regulating short-term | ||||||
11 | rental activities within that unit of local government that | ||||||
12 | imposes requirements not inconsistent with nor less stringent | ||||||
13 | than those imposed by this Act.
| ||||||
14 | Section 60. Severability. If any provision of this Act, in | ||||||
15 | part or in full, or its application to any person, entity, or | ||||||
16 | circumstance is held invalid, the invalidity does not affect | ||||||
17 | other provisions or applications of the Act which can be given | ||||||
18 | effect without the invalid provision or application, and to | ||||||
19 | this end the provisions of this Act are severable.
| ||||||
20 | Section 90. The Illinois Municipal Code is amended by | ||||||
21 | changing Sections 8-3-13, 8-3-14, and 8-3-14a as follows:
|
| |||||||
| |||||||
1 | (65 ILCS 5/8-3-13) (from Ch. 24, par. 8-3-13)
| ||||||
2 | Sec. 8-3-13.
The corporate authorities of any municipality | ||||||
3 | containing
500,000 or more inhabitants may impose a tax prior | ||||||
4 | to July 1, 1969, upon
all persons engaged in the municipality | ||||||
5 | in the business of renting, leasing
or letting rooms in a | ||||||
6 | hotel, as defined in the Hotel Operators' Occupation
Tax Act, | ||||||
7 | or a short-term rental, as defined in the Short-Term Rental | ||||||
8 | Operators' Occupation Tax Act, at a rate not to exceed 1% of | ||||||
9 | the gross rental receipts from the
renting, leasing or letting, | ||||||
10 | excluding, however, from gross rental
receipts, the proceeds of | ||||||
11 | the renting, leasing or letting to permanent
residents of that | ||||||
12 | hotel or short-term rental and proceeds from the tax imposed | ||||||
13 | under subsection
(c) of Section 13 of the Metropolitan Pier and | ||||||
14 | Exposition Authority Act.
| ||||||
15 | The tax imposed by a municipality under this Section and | ||||||
16 | all civil
penalties that may be assessed as an incident thereof | ||||||
17 | shall be collected
and enforced by the State Department of | ||||||
18 | Revenue. The certificate of
registration that is issued by the | ||||||
19 | Department to a lessor under the Hotel
Operators' Occupation | ||||||
20 | Tax Act , or a business license issued by the Department under | ||||||
21 | the Short-Term Rental Operators' Act shall permit the | ||||||
22 | registrant to engage in a
business that is taxable under any | ||||||
23 | ordinance or resolution enacted under
this Section without | ||||||
24 | registering separately with the Department under the
ordinance | ||||||
25 | or resolution or under this Section. The Department shall have
| ||||||
26 | full power to administer and enforce this Section; to collect |
| |||||||
| |||||||
1 | all taxes and
penalties due hereunder; to dispose of taxes and | ||||||
2 | penalties so collected in
the manner provided in this Section; | ||||||
3 | and to determine all rights to credit
memoranda arising on | ||||||
4 | account of the erroneous payment of tax or penalty
hereunder. | ||||||
5 | In the administration of and compliance with this Section, the
| ||||||
6 | Department and persons who are subject to this Section shall | ||||||
7 | have the same
rights, remedies, privileges, immunities, powers | ||||||
8 | and duties, and be subject
to the same conditions, | ||||||
9 | restrictions, limitations, penalties and
definitions of terms, | ||||||
10 | and employ the same modes of procedure, as are
prescribed in | ||||||
11 | the Hotel Operators' Occupation Tax Act , the Short-Term Rental | ||||||
12 | Operators' Occupation Tax Act, and the Uniform
Penalty and | ||||||
13 | Interest Act, as fully as if the provisions contained in those
| ||||||
14 | Acts were set forth herein.
| ||||||
15 | Whenever the Department determines that a refund should be | ||||||
16 | made under this
Section to a claimant instead of issuing a | ||||||
17 | credit memorandum, the Department
shall notify the State | ||||||
18 | Comptroller, who shall cause the warrant to be drawn
for the | ||||||
19 | amount specified, and to the person named, in the notification | ||||||
20 | from
the Department. The refund shall be paid by the State | ||||||
21 | Treasurer out of the
Illinois tourism tax fund.
| ||||||
22 | Persons subject to any tax imposed under authority granted | ||||||
23 | by this
Section may reimburse themselves for their tax | ||||||
24 | liability for that tax by
separately stating the tax as an | ||||||
25 | additional charge, which charge may be
stated in combination, | ||||||
26 | in a single amount, with State tax imposed under the
Hotel |
| |||||||
| |||||||
1 | Operators' Occupation Tax Act or the Short-Term Rental | ||||||
2 | Operators' Occupation Tax Act .
| ||||||
3 | The Department shall forthwith pay over to the State | ||||||
4 | Treasurer,
ex-officio, as trustee, all taxes and penalties | ||||||
5 | collected hereunder. On or
before the 25th day of each calendar | ||||||
6 | month, the Department shall prepare
and certify to the | ||||||
7 | Comptroller the disbursement of stated sums of money to
named | ||||||
8 | municipalities from which lessors have paid taxes or penalties
| ||||||
9 | hereunder to the Department during the second preceding | ||||||
10 | calendar month. The
amount to be paid to each municipality | ||||||
11 | shall be the amount (not including
credit memoranda) collected | ||||||
12 | hereunder during the second preceding calendar
month by the | ||||||
13 | Department, and not including an amount equal to the amount of
| ||||||
14 | refunds made during the second preceding calendar month by the | ||||||
15 | Department
on behalf of the municipality, less 4% of the | ||||||
16 | balance, which sum shall be
retained by the State Treasurer to | ||||||
17 | cover the costs incurred by the
Department in administering and | ||||||
18 | enforcing the provisions of this Section,
as provided herein. | ||||||
19 | The Department, at the time of each monthly
disbursement to the | ||||||
20 | municipalities, shall prepare and certify to the
Comptroller | ||||||
21 | the amount so retained by the State Treasurer, which
shall be | ||||||
22 | paid into the General Revenue Fund of the State Treasury.
| ||||||
23 | Within 10 days after receipt by the Comptroller of the | ||||||
24 | disbursement
certification to the municipalities and the | ||||||
25 | General Revenue Fund provided
for in this Section to be given | ||||||
26 | to the Comptroller by the Department, the
Comptroller shall |
| |||||||
| |||||||
1 | cause the warrants to be drawn for the respective amounts
in | ||||||
2 | accordance with the directions contained in the certification.
| ||||||
3 | Nothing in this Section shall be construed to authorize a | ||||||
4 | municipality
to impose a tax upon the privilege of engaging in | ||||||
5 | any business that,
under the Constitution of the United States, | ||||||
6 | may not be made
the subject of taxation by this State.
| ||||||
7 | An ordinance or resolution imposing a tax hereunder or | ||||||
8 | effecting a change
in the rate thereof shall be effective on | ||||||
9 | the first day of the calendar
month next following the | ||||||
10 | expiration of the publication period provided in
Section 1-2-4 | ||||||
11 | in respect to municipalities governed by that Section.
| ||||||
12 | The corporate authorities of any municipality that levies a | ||||||
13 | tax
authorized by this Section shall transmit to the Department | ||||||
14 | of Revenue on
or not later than 5 days after the effective date | ||||||
15 | of the ordinance or
resolution a certified copy of the | ||||||
16 | ordinance or resolution imposing the
tax; whereupon, the | ||||||
17 | Department of Revenue shall proceed to administer and
enforce | ||||||
18 | this Section on behalf of the municipality as of the effective | ||||||
19 | date
of the ordinance or resolution. Upon a change in rate of a | ||||||
20 | tax levied
hereunder, or upon the discontinuance of the tax, | ||||||
21 | the corporate authorities
of the municipality shall, on or not | ||||||
22 | later than 5 days after the effective
date of the ordinance or | ||||||
23 | resolution discontinuing the tax or effecting a
change in rate, | ||||||
24 | transmit to the Department of Revenue a certified copy of
the | ||||||
25 | ordinance or resolution effecting the change or | ||||||
26 | discontinuance. The
amounts disbursed to any municipality |
| |||||||
| |||||||
1 | under this Section shall be expended
by the municipality solely | ||||||
2 | to promote tourism, conventions and other
special events within | ||||||
3 | that municipality or otherwise to attract
nonresidents to visit | ||||||
4 | the municipality.
| ||||||
5 | Any municipality receiving and disbursing money under this | ||||||
6 | Section shall
report on or before the first Monday in January | ||||||
7 | of each year to the
Advisory Committee of the Illinois Tourism | ||||||
8 | Promotion Fund, created by
Section 12 of the Illinois Promotion | ||||||
9 | Act. The reports shall specify the
purposes for which the | ||||||
10 | disbursements were made and shall contain detailed
amounts of | ||||||
11 | all receipts and disbursements under this Section.
| ||||||
12 | This Section may be cited as the Tourism, Conventions and | ||||||
13 | Other Special
Events Promotion Act of 1967.
| ||||||
14 | (Source: P.A. 87-205; 87-733; 87-895 .)
| ||||||
15 | (65 ILCS 5/8-3-14) (from Ch. 24, par. 8-3-14)
| ||||||
16 | Sec. 8-3-14. Municipal hotel and short-term rental | ||||||
17 | operators' occupation tax. The corporate authorities of any | ||||||
18 | municipality may impose a
tax upon all persons engaged in such | ||||||
19 | municipality in the business of
renting, leasing or letting | ||||||
20 | rooms in a hotel, as defined in "The Hotel
Operators' | ||||||
21 | Occupation Tax Act," or a short-term rental, as defined in the | ||||||
22 | Short-Term Rental Operators' Occupation Tax Act, at a rate not | ||||||
23 | to exceed 6% in the City of East Peoria and in the Village of | ||||||
24 | Morton and 5% in all other municipalities of the gross
rental | ||||||
25 | receipts from such renting, leasing or letting, excluding, |
| |||||||
| |||||||
1 | however,
from gross rental receipts, the proceeds of such | ||||||
2 | renting, leasing or
letting to permanent residents of that | ||||||
3 | hotel or short-term rental and proceeds from the tax
imposed | ||||||
4 | under subsection (c) of Section 13 of the Metropolitan Pier and
| ||||||
5 | Exposition Authority Act, and may provide for the | ||||||
6 | administration and
enforcement of the tax, and for the | ||||||
7 | collection thereof from the persons
subject to the tax, as the | ||||||
8 | corporate authorities determine to be necessary
or practicable | ||||||
9 | for the effective administration of the tax. The municipality | ||||||
10 | may not impose a tax under this Section if it imposes a tax | ||||||
11 | under Section 8-3-14a.
| ||||||
12 | Persons subject to any tax imposed pursuant to authority
| ||||||
13 | granted by this Section may reimburse themselves for their tax
| ||||||
14 | liability for such tax by separately stating such tax as an
| ||||||
15 | additional charge, which charge may be stated in combination,
| ||||||
16 | in a single amount, with State tax imposed under " The Hotel
| ||||||
17 | Operators' Occupation Tax Act " or the Short-Term Rental | ||||||
18 | Operators' Occupation Tax Act .
| ||||||
19 | Nothing in this Section shall be construed to authorize a
| ||||||
20 | municipality to impose a tax upon the privilege of engaging in
| ||||||
21 | any business which under the constitution of the United States
| ||||||
22 | may not be made the subject of taxation by this State.
| ||||||
23 | Except as otherwise provided in this Division, the amounts | ||||||
24 | collected by any municipality pursuant to this Section shall
be | ||||||
25 | expended by the municipality solely to promote tourism and | ||||||
26 | conventions
within that municipality or otherwise to attract |
| |||||||
| |||||||
1 | nonresident overnight
visitors to the municipality.
| ||||||
2 | No funds received pursuant to this Section shall be used to | ||||||
3 | advertise for
or otherwise promote new competition in the hotel | ||||||
4 | business.
| ||||||
5 | (Source: P.A. 101-204, eff. 8-2-19.)
| ||||||
6 | (65 ILCS 5/8-3-14a) | ||||||
7 | Sec. 8-3-14a. Municipal hotel or short-term rental use tax. | ||||||
8 | (a) The corporate authorities of any municipality may | ||||||
9 | impose a
tax upon the privilege of renting or leasing rooms in | ||||||
10 | a hotel or short-term rental within the municipality at a rate | ||||||
11 | not to exceed 5% of the rental or lease payment. The corporate | ||||||
12 | authorities may provide for the administration and
enforcement | ||||||
13 | of the tax and for the collection thereof from the persons
| ||||||
14 | subject to the tax, as the corporate authorities determine to | ||||||
15 | be necessary
or practical for the effective administration of | ||||||
16 | the tax. | ||||||
17 | (b) Each hotel , short-term rental operator, or hosting | ||||||
18 | platform acting as an agent for the short-term rental operator | ||||||
19 | in the municipality shall collect the tax from the person | ||||||
20 | making the rental or lease payment at the time that the payment | ||||||
21 | is tendered to the hotel. The hotel shall, as trustee, remit | ||||||
22 | the tax to the municipality. | ||||||
23 | (c) The tax authorized under this Section does not apply to | ||||||
24 | any rental or lease payment by a permanent resident of that | ||||||
25 | hotel or short-term rental or to any payment made to any hotel |
| |||||||
| |||||||
1 | that is subject to the tax
imposed under subsection (c) of | ||||||
2 | Section 13 of the Metropolitan Pier and
Exposition Authority | ||||||
3 | Act. A municipality may not impose a tax under this Section if | ||||||
4 | it imposes a tax under Section 8-3-14. Nothing in this Section | ||||||
5 | may be construed to authorize a
municipality to impose a tax | ||||||
6 | upon the privilege of engaging in
any business that under the | ||||||
7 | Constitution of the United States
may not be made the subject | ||||||
8 | of taxation by this State. | ||||||
9 | (d) Except as otherwise provided in this Division, the | ||||||
10 | moneys collected by a municipality under this Section may
be | ||||||
11 | expended solely to promote tourism and conventions
within that | ||||||
12 | municipality or otherwise to attract nonresident overnight
| ||||||
13 | visitors to the municipality. No moneys received under this | ||||||
14 | Section may be used to advertise for
or otherwise promote new | ||||||
15 | competition in the hotel business. | ||||||
16 | (e) As used in this Section, "hotel" has the meaning set | ||||||
17 | forth in Section 2 of the Hotel
Operators' Occupation Tax Act.
| ||||||
18 | (f) As used in this Section, "short-term rental" and | ||||||
19 | "hosting platform" have the meaning set forth in Section 2 of | ||||||
20 | the Short-Term Rental Operators' Occupation Tax Act. | ||||||
21 | (Source: P.A. 101-204, eff. 8-2-19.)
| ||||||
22 | Section 95. The Counties Code is amended by changing | ||||||
23 | Section 5-1030 as follows:
| ||||||
24 | (55 ILCS 5/5-1030) (from Ch. 34, par. 5-1030)
|
| |||||||
| |||||||
1 | Sec. 5-1030. Hotel rooms, short-term rentals, tax on gross | ||||||
2 | rental receipts. | ||||||
3 | (a) The
corporate authorities of any county may by
| ||||||
4 | ordinance impose a tax upon all persons engaged in such county | ||||||
5 | in the
business of renting, leasing or letting rooms in a hotel | ||||||
6 | or short-term rental which is not
located within a city, | ||||||
7 | village, or incorporated town that imposes a tax
under Section | ||||||
8 | 8-3-14 of the Illinois Municipal Code, as defined in " The
Hotel | ||||||
9 | Operators' Occupation Tax Act or the Short-Term Rental | ||||||
10 | Operators' Occupation Tax Act " , at a rate not to exceed 5% of | ||||||
11 | the
gross rental receipts from such renting, leasing or | ||||||
12 | letting, excluding,
however, from gross rental receipts, the | ||||||
13 | proceeds of such renting,
leasing or letting to permanent | ||||||
14 | residents of that hotel or short-term rental , and may provide
| ||||||
15 | for the administration and enforcement of the tax, and for the
| ||||||
16 | collection thereof from the persons subject to the tax, as the | ||||||
17 | corporate
authorities determine to be necessary or practicable | ||||||
18 | for the effective
administration of the tax.
| ||||||
19 | (b) With the consent of municipalities representing at | ||||||
20 | least 67% of the population of Winnebago County, as determined | ||||||
21 | by the 2010 federal decennial census and as expressed by | ||||||
22 | resolution of the corporate authorities of those | ||||||
23 | municipalities, the county board of Winnebago County may, by | ||||||
24 | ordinance, impose a tax upon all persons engaged in the county | ||||||
25 | in the business of renting, leasing, or letting rooms in a | ||||||
26 | hotel or short-term rental that imposes a tax under Section |
| |||||||
| |||||||
1 | 8-3-14 of the Illinois Municipal Code, as defined in " The Hotel | ||||||
2 | Operators' Occupation Tax Act " or the Short-Term Rental | ||||||
3 | Operators' Occupation Tax Act , at a rate not to exceed 2% of | ||||||
4 | the gross rental receipts from renting, leasing, or letting, | ||||||
5 | excluding, however, from gross rental receipts, the proceeds of | ||||||
6 | the renting, leasing, or letting to permanent residents of that | ||||||
7 | hotel or short-term rental , and may provide for the | ||||||
8 | administration and enforcement of the tax, and for the | ||||||
9 | collection thereof from the persons subject to the tax, as the | ||||||
10 | county board determines to be necessary or practicable for the | ||||||
11 | effective administration of the tax. The tax shall be | ||||||
12 | instituted on a county-wide basis and shall be in addition to | ||||||
13 | any tax imposed by this or any other provision of law. The | ||||||
14 | revenue generated under this subsection shall be accounted for | ||||||
15 | and segregated from all other funds of the county and shall be | ||||||
16 | utilized solely for either: (1) encouraging, supporting, | ||||||
17 | marketing, constructing, or operating, either directly by the | ||||||
18 | county or through other taxing bodies within the county, | ||||||
19 | sports, arts, or other entertainment or tourism facilities or | ||||||
20 | programs for the purpose of promoting tourism, | ||||||
21 | competitiveness, job growth, and for the general health and | ||||||
22 | well-being of the citizens of the county; or (2) payment | ||||||
23 | towards debt services on bonds issued for the purposes set | ||||||
24 | forth in this subsection. | ||||||
25 | (c) A Tourism Facility Board shall be established, | ||||||
26 | comprised of a representative from the county and from each |
| |||||||
| |||||||
1 | municipality that has approved the imposition of the tax under | ||||||
2 | subsection (b) of this Section. | ||||||
3 | (1) A Board member's vote is weighted based on the | ||||||
4 | municipality's population relative to the population of | ||||||
5 | the county, with the county representing the population | ||||||
6 | within unincorporated areas of the county. Representatives | ||||||
7 | from the Rockford Park District and Rockford Area | ||||||
8 | Convention and Visitors Bureau shall serve as ex-officio | ||||||
9 | members with no voting rights. | ||||||
10 | (2) The Board must meet not less frequently than once | ||||||
11 | per year to direct the use of revenues collected from the | ||||||
12 | tax imposed under subsection (b) of this Section that are | ||||||
13 | not already directed for use pursuant to an | ||||||
14 | intergovernmental agreement between the county and another | ||||||
15 | entity represented on the Board, including the ex-officio | ||||||
16 | members, and for any other reason the Board deems | ||||||
17 | necessary. Affirmative actions of the Board shall require a | ||||||
18 | weighted vote of Board members representing not less than | ||||||
19 | 67% of the population of the county. | ||||||
20 | (3) The Board shall not be a separate unit of local | ||||||
21 | government, shall have no paid staff, and members of the | ||||||
22 | Board shall receive no compensation or reimbursement of | ||||||
23 | expenses from proceeds of the tax imposed under subsection | ||||||
24 | (b) of this Section. | ||||||
25 | (d) Persons subject to any tax imposed pursuant to | ||||||
26 | authority granted by
this Section may reimburse themselves for |
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1 | their tax liability for such
tax by separately stating such tax | ||||||
2 | as an additional charge, which charge
may be stated in | ||||||
3 | combination, in a single amount, with State tax imposed
under | ||||||
4 | " The Hotel Operators' Occupation Tax Act " or the Short-Term | ||||||
5 | Rental Operators' Occupation Tax Act .
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6 | Nothing in this Section shall be construed to authorize a | ||||||
7 | county to
impose a tax upon the privilege of engaging in any | ||||||
8 | business which under
the Constitution of the United States may | ||||||
9 | not be made the subject of
taxation by this State.
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10 | An ordinance or resolution imposing a tax hereunder or | ||||||
11 | effecting a
change in the rate thereof shall be effective on | ||||||
12 | the first day of the
calendar month next following its passage | ||||||
13 | and required publication.
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14 | The amounts collected by any county pursuant to this | ||||||
15 | Section shall be
expended to promote tourism; conventions; | ||||||
16 | expositions; theatrical,
sports and cultural activities within | ||||||
17 | that county or otherwise to attract
nonresident overnight | ||||||
18 | visitors to the county.
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19 | Any county may agree with any unit of local government, | ||||||
20 | including any
authority defined as a metropolitan exposition, | ||||||
21 | auditorium and office
building authority, fair and exposition | ||||||
22 | authority, exposition and
auditorium authority, or civic | ||||||
23 | center authority created pursuant to
provisions of Illinois law | ||||||
24 | and the territory of which unit of local
government or | ||||||
25 | authority is co-extensive with or wholly within such
county, to | ||||||
26 | impose and collect for a period not to exceed 40 years, any
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1 | portion or all of the tax authorized pursuant to this Section | ||||||
2 | and to
transmit such tax so collected to such unit of local | ||||||
3 | government or
authority. The amount so paid shall be expended | ||||||
4 | by any such unit of
local government or authority for the | ||||||
5 | purposes for which such tax is
authorized. Any such agreement | ||||||
6 | must be authorized by resolution or
ordinance, as the case may | ||||||
7 | be, of such county and unit of local
government or authority, | ||||||
8 | and such agreement may provide for the
irrevocable imposition | ||||||
9 | and collection of said tax at such rate, or
amount as limited | ||||||
10 | by a given rate, as may be agreed upon for the full
period of | ||||||
11 | time set forth in such agreement; and such agreement may
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12 | further provide for any other terms as deemed necessary or | ||||||
13 | advisable by
such county and such unit of local government or | ||||||
14 | authority. Any such
agreement shall be binding and enforceable | ||||||
15 | by either party to such
agreement. Such agreement entered into | ||||||
16 | pursuant to this Section shall
not in any event constitute an | ||||||
17 | indebtedness of such county subject to
any limitation imposed | ||||||
18 | by statute or otherwise.
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19 | (Source: P.A. 98-313, eff. 8-12-13.)
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20 | Section 99. Effective date. This Act takes effect October | ||||||
21 | 1, 2020.
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