SB 345 — CNTY CD-SALES TAX

SB0345 EngrossedEnrolled LRB095 07281 HLH 27419 b AN ACT concerning local government.

If the tax is imposed for transportation purposes for expenditures for public highways or as authorized under the Illinois Highway Code, the county board must publish notice of SB0345 EngrossedEnrolled - 2 - LRB095 07281 HLH 27419 b the existence of its long-range highway transportation plan as required or described in Section 5-301 of the Illinois Highway Code and must make the plan publicly available prior to approval of the ordinance or resolution imposing the tax.

"To pay for public safety purposes, shall (name of county) be authorized to impose an increase on its share of local sales taxes by (insert rate)?" As additional information on the ballot below the question mayshall appear the following:

"This would mean that a consumer would pay an additional (insert amount) in sales tax for every $100 of tangible personal property bought at retail." The county board may also opt to establish a sunset provision at which time the additional sales tax would cease being collected, if not terminated earlier by a vote SB0345 EngrossedEnrolled - 3 - LRB095 07281 HLH 27419 b of the county board.

"To pay for public safety purposes, shall (name of county) be authorized to impose an increase on its share of local sales taxes by (insert rate) for a period not to exceed (insert number of years)?" As additional information on the ballot below the question mayshall appear the following:

(2) The proposition for transportation purposes shall SB0345 EngrossedEnrolled - 4 - LRB095 07281 HLH 27419 b be in substantially the following form:

"To pay for improvements to roads and other transportation purposes, shall (name of county) be authorized to impose an increase on its share of local sales taxes by (insert rate)?" As additional information on the ballot below the question mayshall appear the following:

"To pay for road improvements and other transportation purposes, shall (name of county) be authorized to impose an increase on its share of local sales taxes by (insert rate) for a period not to exceed (insert number of years)?" As additional information on the ballot below the question mayshall appear the following:

If imposed, the additional tax would cease being collected at the end SB0345 EngrossedEnrolled - 5 - LRB095 07281 HLH 27419 b of (insert number of years), if not terminated earlier by a vote of the county board." "Shall (name of county) be authorized to impose a tax at the rate of (insert rate) upon all persons engaged in the business of selling tangible personal property at retail in the county on gross receipts from the sales made in the course of their business to be used for transportation purposes? For the purposes of this paragraph, transportation purposes means construction, maintenance, operation, and improvement of public highways, any other purpose for which a county may expend funds under the Illinois Highway Code, and passenger rail transportation.

The tax imposed by a county under this Section and all civil penalties that may be assessed as an SB0345 EngrossedEnrolled - 6 - LRB095 07281 HLH 27419 b incident of the tax shall be collected and enforced by the Illinois Department of Revenue and deposited into a special fund created for that purpose.

In the administration of and compliance with this Section, the Department and persons who are subject to this Section shall (i) have the same rights, remedies, privileges, immunities, powers, and duties, (ii) be subject to the same conditions, restrictions, limitations, penalties, and definitions of terms, and (iii) employ the same modes of procedure as are prescribed in Sections 1, 1a, 1a-1, 1d, 1e, 1f, 1i, 1j, 1k, 1m, 1n, 2 through 2-70 (in respect to all provisions contained in those Sections other than the State rate of tax), 2a, 2b, 2c, 3 (except provisions relating to transaction returns and quarter monthly payments), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 11a, 12, and 13 of the Retailers’ Occupation Tax Act and Section 3-7 of the SB0345 EngrossedEnrolled - 7 - LRB095 07281 HLH 27419 b Uniform Penalty and Interest Act as if those provisions were set forth in this Section.

This tax may not be imposed on sales of food for human consumption that is to be consumed off the premises where it is sold (other than alcoholic beverages, soft drinks, and food prepared for SB0345 EngrossedEnrolled - 8 - LRB095 07281 HLH 27419 b immediate consumption) and prescription and non-prescription medicines, drugs, medical appliances and insulin, urine testing materials, syringes, and needles used by diabetics.

In the administration of, and compliance with this subsection, the Department and persons who are subject to this paragraph shall (i) have the same rights, remedies, privileges, immunities, powers, and duties, (ii) be subject to the same conditions, restrictions, limitations, penalties, exclusions, exemptions, and definitions of terms, and (iii) employ the same modes of procedure as are prescribed in Sections 2 (except that the reference to State in the definition of supplier maintaining a place of business in this State shall mean the county), 2a, 2b, 2c, 3 through 3-50 (in respect to all provisions therein other than the State rate of tax), 4 (except that the reference to the State shall be to the county), 5, 7, 8 (except that the jurisdiction to which the tax shall be a debt to the extent indicated in that Section 8 shall be the county), 9 (except as to the disposition of taxes and penalties collected), 10, 11, SB0345 EngrossedEnrolled - 9 - LRB095 07281 HLH 27419 b 12 (except the reference therein to Section 2b of the Retailers’ Occupation Tax Act), 13 (except that any reference to the State shall mean the county), Section 15, 16, 17, 18, 19 and 20 of the Service Occupation Tax Act and Section 3-7 of the Uniform Penalty and Interest Act, as fully as if those provisions were set forth herein.

SB0345 EngrossedEnrolled - 10 - LRB095 07281 HLH 27419 b (c) The Department shall immediately pay over to the State Treasurer, ex officio, as trustee, all taxes and penalties collected under this Section to be deposited into the County Public Safety or Transportation Retailers’ Occupation Tax Fund, which shall be an unappropriated trust fund held outside of the State treasury.

Within 10 days after receipt by the Comptroller of the disbursement certification to the counties provided for in this Section to be given to the Comptroller by the Department, the Comptroller shall cause the orders to be drawn for the respective amounts in accordance SB0345 EngrossedEnrolled - 11 - LRB095 07281 HLH 27419 b with directions contained in the certification.

(e) Nothing in this Section shall be construed to authorize SB0345 EngrossedEnrolled - 12 - LRB095 07281 HLH 27419 b a county to impose a tax upon the privilege of engaging in any business that under the Constitution of the United States may not be made the subject of taxation by this State.

The offset amount shall be the amount erroneously disbursed within the previous 6 SB0345 EngrossedEnrolled - 13 - LRB095 07281 HLH 27419 b months from the time a miscalculation is discovered.