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Email: greenm@icpas.org Legislative Report December 8, 2021
Prepared by: Martin Green
ILLINOIS CPA SOCIETY CAPITOL OFFICE
Tax Legislation
101st General Assembly (1st Spring 2019)
Bill Information
INC TX-LGDF
(DELUCA A)

Amends the Illinois Income Tax Act. Provides that, from February 1, 2020 through January 31, 2021, the amount transferred from the General Revenue Fund to the Local Government Distributive Fund shall be: (i) 8.5% of the net revenue realized from the tax imposed on individuals, trusts, and estates, and (ii) 9.355% of the net revenue realized from the tax imposed on corporations. Provides that, from February 1, 2021 through January 31, 2022, the amount transferred from the General Revenue Fund to the Local Government Distributive Fund shall be: (i) 9% of the net revenue realized from the tax imposed on individuals, trusts, and estates, and (ii) 9.57% of the net revenue realized from the tax imposed on corporations. Provides that, from February 1, 2022 through January 31, 2023, the amount transferred from the General Revenue Fund to the Local Government Distributive Fund shall be: (i) 9.5% of the net revenue realized from the tax imposed on individuals, trusts, and estates, and (ii) 9.785% of the net revenue realized from the tax imposed on corporations. Provides that, beginning on February 1, 2023, the Treasurer shall transfer each month from the General Revenue Fund to the Local Government Distributive Fund an amount equal to 10% of the net revenue realized from the tax imposed on individuals, trusts, estates, and corporations during the preceding month. Effective immediately.

  RECENT STATUS

1/13/2021 - Session Sine Die

6/23/2020 - Rule 19(b) / Re-referred to Rules Committee

5/23/2020 - House Bills on Third Reading

PROP TX-NOTICE
(WALSH L)

House Floor Amendment No. 2 - Replaces everything after the enacting clause. Amends the Property Tax Code and the Mobile Home Local Services Tax Enforcement Act. Provides that a county with fewer than 3,000,000 inhabitants may, by joint agreement, combine its tax sale with the tax sale of one or more other contiguous counties. Provides that a joint tax sale shall be held at a location in one of the participating counties.

Senate Committee Amendment No. 2 - Further amends the Property Tax Code. Provides that, if property contains a hazardous substance, hazardous waste, or an underground storage tank, the court may order the holder of the certificate of purchase to assign the certificate to the county collector upon request of the county collector. Provides that the county collector may further assign the certificate to the county, acting as trustee for taxing districts, or to a taxing district having an interest in the taxes sold. In a Section that allows a tax purchase be set aside as a sale in error if a county, city, village, or incorporated town has an interest in the property under the police and welfare power by advancements made from public funds, provides that such a sale in error may not be granted if the lien has been released, satisfied, discharged, or waived.

  RECENT STATUS

8/16/2019 - Public Act . . . . . . . . . 101-0379

8/16/2019 - Effective Date January 1, 2020

8/16/2019 - GOVERNOR APPROVED

LOCAL ROT-SOURCING-COLLECTION
(MURPHY M)

Amends the Retailers' Occupation Tax Act. Provides that if a purchaser makes payment over the phone, in writing, or via the Internet, and the property is delivered to a location in this State, then the sale shall be sourced to the location where the property is delivered. Provides that the sale shall be deemed to have occurred at the customer's address if the property is delivered and the delivery location is unknown. Amends the Counties Code, the Illinois Municipal Code, the Flood Prevention District Act, the Local Mass Transit District Act, and the Regional Transportation Authority Act. Provides that a unit of local government may require a retailer to collect and remit certain use and occupation taxes if the retailer qualifies as a "retailer maintaining a place of business in this State" under certain provisions of the Use Tax Act.

  RECENT STATUS

1/13/2021 - Session Sine Die

3/29/2019 - Rule 19(a) / Re-referred to Rules Committee

3/28/2019 - House Sales, Amusement & Other Taxes Subcommittee

TOBACCO PRODUCTS-UNDER 21
(LILLY C)

Amends the Prevention of Tobacco Use by Minors and Sale and Distribution of Tobacco Products Act. Changes the name of the Act to the Prevention of Tobacco Use by Persons under 21 Years of Age and Sale and Distribution of Tobacco Products Act. Raises the age for whom tobacco products, electronic cigarettes, and alternative nicotine products may be sold to and possessed by from at least 18 years of age to at least 21 years of age. Defines "electronic cigarette". Repeals the Smokeless Tobacco Limitation Act. Amends various other Acts to make conforming changes. Effective July 1, 2019.

House Committee Amendment No. 1 - Makes technical changes.

  RECENT STATUS

4/8/2019 - Public Act . . . . . . . . . 101-0002

4/8/2019 - Effective Date July 1, 2019

4/8/2019 - GOVERNOR APPROVED

GOVERNMENT-TECH
(MADIGAN M)

Amends the Illinois Governmental Ethics Act. Makes a technical change in a Section concerning the short title.

  RECENT STATUS

1/13/2021 - Session Sine Die

5/31/2019 - Rule 19(a) / Re-referred to Rules Committee

5/31/2019 - House Bills on Second Reading

PROP TX-SENIOR HOMESTEAD
(CRESPO F)

Amends the Property Tax Code. Provides that a person who has been granted a senior citizens homestead exemption need not reapply for the exemption. Effective immediately.

  RECENT STATUS

8/23/2019 - Effective Date August 23, 2019

8/23/2019 - Public Act . . . . . . . . . 101-0453

8/23/2019 - GOVERNOR APPROVED

LOCAL GOVERNMENT-TECH
(WALSH L)

House Floor Amendment No. 1 - Replaces everything after the enacting clause. Amends the Non-Home Rule Municipal Retailers' Occupation Tax Act of the Illinois Municipal Code. Extends the date (from December 31, 2020 to July 1, 2030) allowing the corporate authorities of a non-home rule municipality to use the proceeds of the non-home rule municipal retailers' occupation tax for expenditure on municipal operations, in addition to or in lieu of any expenditure on public infrastructure or for property tax relief, for such a tax approved on or after July 14, 2010.

  RECENT STATUS

7/12/2019 - Effective Date January 1, 2020

7/12/2019 - Public Act . . . . . . . . . 101-0047

7/12/2019 - GOVERNOR APPROVED

CANNABIS REGULATION & TAX ACT
(CASSIDY K)

Replaces everything after the enacting clause. Creates the Cannabis Regulation and Tax Act and amends various Acts. Provides that it is lawful for persons 21 years of age or older to possess, use, and purchase limited amounts of cannabis for personal use in accordance with the Act. Authorizes registered qualifying patients to cultivate limited amounts of cannabis for personal use. Provides for the regulation and licensing of various entities and occupations engaged in cultivation, dispensing, processing, transportation, and other activities regarding cannabis for adult use. Sets forth duties of an Illinois Cannabis Regulation Oversight Officer, the Department of State Police, the Department of Agriculture, the Department of Financial and Professional Regulation, the Department of Public Health, the Department of Commerce and Economic Opportunity, the Department of Human Services, the Department of Revenue, the State Treasurer, the Illinois Criminal Justice Information Authority, and other governmental entities. Provides for expungement of minor cannabis violations under specified circumstances. Creates a Restore, Reinvest, and Renew Program and a Restore, Reinvest, and Renew Program Board and contains various provisions regarding a low-interest loan program for social equity applicants, investment in communities that have suffered because of drug policies, and the promotion of cannabis business ownership by individuals who have resided in areas of high poverty and high enforcement of cannabis-related laws. Contains provisions regarding health and safety, packaging, advertising, local ordinances, providing financial services to a cannabis-related legitimate business, and other matters. Creates a Cannabis Cultivation Privilege Tax and a Cannabis Purchaser Excise Tax. Authorizes the imposition of a County Cannabis Retailers' Occupation Tax and a Municipal Cannabis Retailers' Occupation Tax. Provides for allocation of revenues and creates various funds in the State treasury. Repeals the Cannabis and Controlled Substances Tax Act. Contains home rule preemptions. Contains other provisions. Effective immediately.

  RECENT STATUS

6/25/2019 - Public Act . . . . . . . . . 101-0027

6/25/2019 - Effective Date June 25, 2019

6/25/2019 - GOVERNOR APPROVED

INC TX-HEAD COUNT CREDIT
(BRISTOW M)

Amends the Illinois Income Tax Act. Creates an income tax credit for an Illinois business that increases its average full-time employee head count in the State for the taxable year by more than 20% over its average full-time employee head count in the State for the immediately preceding taxable year. Provides that the amount of the credit is 20% of its tax liability under this Act (other than its withholding tax liability) for the taxable year. Provides that the credit is exempt from the Act's automatic sunset provision. Effective immediately.

  RECENT STATUS

1/13/2021 - Session Sine Die

8/29/2019 - Added Co-Sponsor Rep. Anna Moeller

8/22/2019 - Added Co-Sponsor Rep. Barbara Hernandez

INC TX-WATER'S EDGE
(HARRIS G)

Amends the Illinois Income Tax Act. Provides for a water's edge apportionment election for certain members of a unitary business group. Provides that, with respect to foreign corporations that make a water's edge election, the deduction for dividends is limited to 75%.

  RECENT STATUS

1/13/2021 - Session Sine Die

5/21/2020 - Added Co-Sponsor Rep. Jonathan "Yoni" Pizer

5/16/2019 - Added Co-Sponsor Rep. Justin Slaughter

FALSE CLAIMS ACT-TAX CLAIMS
(WHEELER K)

Amends the Illinois False Claims Act. Provides that no court has jurisdiction over a civil action relating to or involving a false claim regarding certain tax acts administered by the Department of Revenue unless the action is brought by the Attorney General. Provides that the Department of Revenue has the sole authority to bring an administrative action and that the Attorney General has the sole authority to bring a judicial action under the Act for a false claim, statement, or record pertaining to certain taxes administered by the Department of Revenue. Contains provisions concerning reporting, investigative, and enforcement procedures for allegations of false claims pertaining to certain taxes. Contains provisions governing the payment of rewards to persons who provide information that leads to recovery of funds under the new provisions. Provides that the appeal of a determination regarding an award may be appealed exclusively to the Court of Claims and must be filed within 30 days of the determination of the award. Makes other changes, including a corresponding change in the Court of Claims Act.

  RECENT STATUS

1/13/2021 - Session Sine Die

3/29/2019 - Rule 19(a) / Re-referred to Rules Committee

2/19/2019 - Assigned to House Executive

Position

Support

PROP TX-INCOME PRODUCING PROP
(DAVIS W)

Amends the Property Tax Code. Provides that, in counties with 3,000,000 or more inhabitants, taxpayers of income producing property shall submit income and expense data related to the property annually to the chief county assessment officer. Provides that, in counties with fewer than 3,000,000 inhabitants, the county board may provide by resolution that taxpayers of income producing property shall submit income and expense data annually to the chief county assessment officer. Provides that, when determining the value of property for assessment purposes, the assessor may consider all relevant information pertaining to the fair cash value of the property, including, but not limited to, income and expense data, sales data, property characteristics data, construction cost data, appraisals, and other valuation information. Effective immediately.

  RECENT STATUS

1/13/2021 - Session Sine Die

3/29/2019 - House Committee Amendment No. 3 Rule 19(c) / Re-referred to Rules Committee

3/29/2019 - House Committee Amendment No. 2 Rule 19(c) / Re-referred to Rules Committee

PROP TAX-SENIOR HOMESTEAD
(ZALEWSKI M)

Amends the Property Tax Code. Provides that, in counties with 3,000,000 or more inhabitants, a taxpayer who has been granted a senior citizens homestead exemption need not reapply for the exemption. Provides that the county assessor shall establish procedures with the county recorder of deeds or the county clerk, as applicable, to determine whether a person who has been granted a senior citizens homestead exemption has conveyed ownership of the property or is deceased. Provides that, if the person has conveyed ownership of the property or is deceased, then the county assessor shall mail notice to the new owner of the property stating that (i) the exemption will be removed from the property and (ii) the new property owner may reapply for the exemption if the property becomes qualified.

  RECENT STATUS

1/13/2021 - Session Sine Die

8/29/2019 - Added Co-Sponsor Rep. Anna Moeller

8/28/2019 - Added Co-Sponsor Rep. Sonya M. Harper

ROTA-SHARE INFORMATION
(ZALEWSKI M)

Amends the Retailers' Occupation Tax Act. Provides that, subject to certain restrictions, if the Department of Revenue may disclose confidential financial information to a municipality or county, then the Department of Revenue may also disclose that financial information to an independent third party who is authorized in writing by that municipality or county to receive the information. Effective immediately.

  RECENT STATUS

1/13/2021 - Session Sine Die

4/12/2019 - Rule 19(a) / Re-referred to Rules Committee

4/12/2019 - House Bills on Second Reading

INC TX-CHARITABLE CONTRIBUTION
(CARROLL J)

Amends the Illinois Income Tax Act. Creates an income tax credit in an amount equal to the contributions made by the taxpayer to the Illinois Education Excellence Fund during the taxable year. Amends the State Finance Act. Creates the Illinois Education Excellence Fund. Provides that moneys in the Fund shall be used for public education purposes. Amends the Counties Code. Provides that the county board may establish a fund in the county treasury to accept contributions for public purposes. Provides that the county may provide for a credit against the taxpayer's property tax liability in an amount equal to the amount of the contribution. Effective immediately.

  RECENT STATUS

1/13/2021 - Session Sine Die

3/29/2019 - Rule 19(a) / Re-referred to Rules Committee

3/28/2019 - House Income Tax Subcommittee

INCOME TAX-GAMBLING WINNINGS
(YINGLING S)

Amends the Illinois Income Tax Act. Provides that winnings from pari-mutuel wagering conducted at a wagering facility licensed under the Illinois Horse Racing Act of 1975 or from winnings from gambling games conducted on a riverboat licensed under the Riverboat Gambling Act are taxable as income in this State, for both residents and nonresidents. Provides that such winners must withhold Illinois income tax from their winnings, if the payment of winnings must be reported to the Internal Revenue Service by the person making the payment. Effective immediately.

House Committee Amendment No. 1 - Provides that the provisions of the introduced bill apply for taxable years ending on or after December 31, 2019 (in the introduced bill, taxable years ending on or after December 31, 2018).

House Committee Amendment No. 2 - In a Section concerning withholding of tax from payments from pari-mutuel wagering and riverboat gambling winnings, provides that withholding is required only if withholding is required with respect to those payments under the provisions of the Internal Revenue Code.

  RECENT STATUS

11/1/2019 - Total Veto Stands - No Positive Action Taken

10/30/2019 - Consideration of Governor's Veto Total Vetoes

10/29/2019 - Consideration of Governor's Veto Total Vetoes

ESTIMATED TAX
(SOSNOWSKI J)

Senate Floor Amendment No. 1 - Replaces everything after the enacting clause. Amends the Use Tax Act, the Service Use Tax Act, the Service Occupation Tax Act, and the Retailers' Occupation Tax Act. With respect to the manufacturing and assembly exemption, removes a provision that a certificate of exemption is required for each exempt transaction.

  RECENT STATUS

1/13/2021 - Session Sine Die

12/16/2019 - Rule 19(b) / Re-referred to Rules Committee

12/16/2019 - Senate Floor Amendment No. 1 Rule 19(b) / Motion Referred to Rules Committee

INC TAX-OUT OF STATE TAXPAYERS
(MANLEY N)

Amends the Illinois Income Tax Act. Provides that, for purposes of being liable for income tax, compensation is paid in this State if some of the individual's service is performed within this State, the individual's service performed within this State is nonincidental to the individual's service performed without this State, and the individual's service is performed within this State for more than 30 working days during the tax year. Defines terms. Effective immediately.

  RECENT STATUS

1/13/2021 - Session Sine Die

4/12/2019 - Rule 19(a) / Re-referred to Rules Committee

4/12/2019 - House Bills on Second Reading

Position

Support

PROCUREMENT-REVENUE-SOFTWARE
(ZALEWSKI M)

Amends the Illinois Procurement Code. Provides that the Code does not apply to contracts entered into prior to July 1, 2022 by a State agency, or by multiple State agencies, for the single integrated tax processing system currently in use by the Department of Revenue on the effective date of the amendatory Act. Amends the Governmental Joint Purchasing Act. Provides that the Act does not apply to contracts entered into by multiple State agencies for the single integrated tax processing system currently in use by the Department of Revenue on the effective date of the amendatory Act.

  RECENT STATUS

1/13/2021 - Session Sine Die

3/29/2019 - Rule 19(a) / Re-referred to Rules Committee

3/5/2019 - Assigned to House Executive

RETIREMENT INCOME TAXATION
(SKILLICORN A)

Proposes to amend the Revenue Article of the Illinois Constitution. Provides that there shall be no tax imposed by the State upon retirement income. Defines "retirement income". Effective upon being declared adopted.

  RECENT STATUS

1/13/2021 - Session Sine Die

1/29/2019 - Referred to House Rules

1/29/2019 - Read in Full a First Time

CANNABIS-TECH
(STEANS H)

Creates the Cannabis Regulation and Taxation Act. Contains only a short title provision.

  RECENT STATUS

1/13/2021 - Session Sine Die

7/3/2019 - Senate Floor Amendment No. 1 Pursuant to Senate Rule 3-9(b) / Referred to Assignments

6/2/2019 - Senate Bills on Third Reading

PROP TX-POLICE AND FIRE
(LINK T)

Amends the Property Tax Code. Creates a homestead exemption in the amount of a reduction of $5,000 from the equalized assessed value of property of police officers and firefighters with duty-related disabilities. Effective immediately.

  RECENT STATUS

7/12/2019 - Effective Date July 12, 2019

7/12/2019 - Public Act . . . . . . . . . 101-0077

7/12/2019 - GOVERNOR APPROVED

COUNTY RECORDER-EXPIRED LIENS
(CASTRO C)

Amends the Recorder Division of the Counties Code. Modifies how a county recorder determines if a lien is an expired lien under a county's demand and referral program by providing that a lien is expired if a suit to enforce the lien has not been commenced or a counterclaim has not been filed by the lienholder within 2 years after the completion date of the contract as specified in the recorded mechanics lien. Provides that the 2-year period shall be increased to the extent that an automatic stay under specified provisions of the United States Bankruptcy Code stays a suit or counterclaim to foreclose the lien or, if a work completion date is not specified in the recorded lien, then the work completion date is the date of recording of the mechanics lien. Effective immediately.

  RECENT STATUS

8/9/2019 - Effective Date August 9, 2019

8/9/2019 - Public Act . . . . . . . . . 101-0296

8/9/2019 - GOVERNOR APPROVED

INC TAX-NATURAL DISASTER
(MANAR A)

Amends the Illinois Income Tax Act. Provides a tax credit to each taxpayer who owns qualified real property located in a county in Illinois that was declared a State disaster area by the Governor due to tornadoes in 2018. Effective immediately.

  RECENT STATUS

1/13/2021 - Session Sine Die

5/10/2019 - Rule 19(a) / Re-referred to Rules Committee

5/9/2019 - To Income Tax Subcommittee

INC TX-THIRD-PARTY REPORTING
(STEANS H)

House Floor Amendment No. 1 - Replaces everything after the enacting clause. Creates the Second FY2020 Budget Implementation Act. Provides that the purpose of the Act is to make additional changes to State programs that are necessary to implement the enacted State budget for FY2020. Amends the Use Tax Act, the Service Use Tax Act, the Service Occupation Tax Act, the Retailers' Occupation Tax Act, the Motor Fuel Tax Law, the Innovation Development and Economy Act, the Counties Code, the Illinois Municipal Code, the Civic Center Code, the Flood Prevention District Act, the Regional Transportation Authority Act, the Water Commission Act of 1985, and the Environmental Impact Fee Law. In provisions concerning aviation fuel, makes changes concerning aviation fuel tax returns. Makes changes concerning the definition of aviation fuel. Makes technical corrections to consolidate provisions concerning certification of units of local government as having an airport-related purpose. Amends the Motor Fuel Tax Law to make a technical correction concerning the Transportation Renewal Fund. Amends the New Markets Development Program Act. In provisions concerning certification of qualified equity investments, modifies the schedule upon which allocation rounds enabled under the Act shall be applied. Amends the Department of Commerce and Economic Opportunity Law of the Civil Administrative Code of Illinois and the Illinois Income Tax Act. Makes changes concerning data centers. Amends the State Finance Act to direct certain fund transfers. Amends the Use Tax Act, the Service Use Tax Act, the Service Occupation Tax Act, and the Retailers' Occupation Tax Act. With respect to the manufacturing and assembly exemption, removes a provision that a certificate of exemption is required for each exempt transaction. Amends the Cigarette Tax Act. Makes changes concerning the distribution of cigarette tax proceeds. Amends the Illinois Municipal Code. Provides that the municipal motor fuel tax shall be imposed as a retailers' occupation tax on the occupation of selling motor fuel. Contains administrative provisions for the collection of the municipal motor fuel tax. Amends the Franchise Tax and License Fee Amnesty Act of 2007. Provides that 2% of all money collected under the Act shall be deposited by the State Treasurer into the Business Services Special Operations Fund (rather than the Franchise Tax and License Fee Amnesty Administration Fund). Contains provisions concerning marketplace facilitators. Amends the Illinois Vehicle Code. Removes language creating a $10 fee for a Junking Certificate issued after July 1, 2019. Effective immediately, except that certain provisions take effect January 1, 2020.

  RECENT STATUS

12/13/2019 - Public Act . . . . . . . . . 101-0604

12/13/2019 - Effective Date January 1, 2020; Some Provisions

12/13/2019 - Effective Date December 13, 2019; Some Provisions

COMPANY-SPECIFIC SUBSIDIES
(HARMON D)

Creates the Company-Specific Subsidy Interstate Compact. Enters into the compact, which may be entered into by any state and the District of Columbia, in which each member state agrees to not offer company-specific subsidies for companies currently located in or considering locating in the member state, including, but not limited to, for corporate headquarters, manufacturing facilities, office space, or other real estate developments. Excludes existing company-specific subsidies (until terms change, are renewed, or are reenacted) and workforce from abolition under the compact. Creates the Interstate Company-Specific Subsidy Board upon the second member state entering into the compact. Provides for withdrawal of a member state with 6-months' written notice. Defines terms.

  RECENT STATUS

1/13/2021 - Session Sine Die

12/1/2020 - Chief Sponsor Changed to Sen. Don Harmon

11/4/2019 - Chief Sponsor Changed to Sen. John J. Cullerton

INCOME TAX RATES-CREDITS
(HUTCHINSON T)

Senate Floor Amendment No. 1 - Replaces everything after the enacting clause. Amends the Illinois Income Tax Act. Sets forth a schedule of income-based tax rates for individuals, trusts, and estates for taxable years beginning on or after January 1, 2021. Provides that, for taxable years beginning on or after January 1, 2021, the tax on corporations shall be imposed at the rate of 7.99% of the taxpayer's net income for the taxable year. Makes changes concerning transfers to the Local Government Distributive Fund to provide that the transfer shall be equal to 10.75% of the amount that would have been generated if the tax had been imposed at the rate of 3% for individuals, trusts, and estates and at the rate of 4.8% for corporations. Creates a child tax credit. Provides that taxpayers who are required to file a federal joint return shall file a joint return with the State. Provides that the income tax credit for property taxes shall be equal to 6% (currently, 5%) of real property taxes paid by the taxpayer during the taxable year on the principal residence of the taxpayer. Effective January 1, 2021, but does not take effect at all unless Senate Joint Resolution Constitutional Amendment No. 1 of the 101st General Assembly is approved by the voters prior to that date.

Senate Floor Amendment No. 2 - Makes technical changes to the bill as amended by Senate Amendment No. 1 concerning the filing of joint returns.

  RECENT STATUS

6/5/2019 - Effective Date January 1, 2021; does not take effect unless SJRCA 1 is approved by voters prior to that date.

6/5/2019 - Public Act . . . . . . . . . 101-0008

6/5/2019 - GOVERNOR APPROVED

REVENUE-TECH
(HARMON D)

Amends the Historic Preservation Tax Credit Act. Makes a technical change in a Section concerning the short title.

  RECENT STATUS

1/13/2021 - Session Sine Die

1/20/2020 - Chief Sponsor Changed to Sen. Don Harmon

6/2/2019 - Senate Bills on Third Reading

ESTATE/GEN-SKIPPING TRANSFER
(HUTCHINSON T)

Senate Floor Amendment No. 1 - Replaces everything after the enacting clause. Amends the Illinois Estate and Generation-Skipping Transfer Tax Act. Provides that no tax shall be imposed under the Act for persons dying on or after January 1, 2021 or for transfers made on or after January 1, 2021. Effective January 1, 2021, but only if an amendment to the Illinois Constitution permitting the taxation of income at a graduated rate is adopted prior to that date by the voters if Illinois.

  RECENT STATUS

6/5/2019 - Effective Date June 5, 2019

6/5/2019 - Public Act . . . . . . . . . 101-0009

6/5/2019 - GOVERNOR APPROVED

PTELL-QUALIFIED SCHOOL DIST
(LINK T)

Senate Floor Amendment No. 1 - Replaces everything after the enacting clause. Amends the Property Tax Extension Limitation Law in the Property Tax Code. Provides that, beginning in levy year 2022, for taxing districts that are school districts (other than qualified school districts), "extension limitation" means 0% or the rate of increase approved by the voters (currently, (a) the lesser of 5% or the percentage increase in the Consumer Price Index during the 12-month calendar year preceding the levy year or (b) the rate of increase approved by voters). Provides that the term "qualified school district" means a school district that certifies to the county clerk that the district: (i) submitted a claim or claims to the Illinois State Board of Education for reimbursement of certain State mandated categoricals for the school fiscal year immediately preceding the levy year and received reimbursement for those State mandated categoricals that was less than 97% of the district's claims; or (ii) did not receive the minimum funding required for that school district under the evidence-based funding formula. Amends the School Code. Requires the State Board of Education to certify to each school district whether or not the school district is eligible for designation as a qualified school district. Effective January 1, 2021, but does not take effect at all unless Senate Joint Resolution Constitutional Amendment No. 1 of the 101st General Assembly is approved by the voters of the State prior to that date.

  RECENT STATUS

6/28/2019 - Effective Date June 28, 2019; ; some provisions take effect 1-1-20

6/28/2019 - Public Act . . . . . . . . . 101-0031

6/28/2019 - GOVERNOR APPROVED

REVENUE-TECH
(HARMON D)

Amends the Cannabis and Controlled Substances Tax Act. Makes a technical change in a Section concerning the short title.

  RECENT STATUS

1/13/2021 - Session Sine Die

1/20/2020 - Chief Sponsor Changed to Sen. Don Harmon

4/12/2019 - Rule 3-9(a) / Re-referred to Assignments

INC TX-WATER'S EDGE
(STEANS H)

Amends the Illinois Income Tax Act. Provides for a water's edge apportionment election for certain members of a unitary business group. Provides that, with respect to foreign corporations that make a water's edge election, the deduction for dividends is limited to 75%.

  RECENT STATUS

1/13/2021 - Session Sine Die

5/30/2019 - Added as Co-Sponsor Sen. Patricia Van Pelt

5/29/2019 - Added as Co-Sponsor Sen. Christopher Belt

TOBACCO TAX-E-CIGARETTES
(HARMON D)

Amends the Tobacco Products Tax Act of 1995. Provides that, beginning on July 1, 2019, "tobacco products" also includes electronic cigarettes. Effective immediately.

  RECENT STATUS

1/13/2021 - Session Sine Die

9/12/2020 - Chief Sponsor Changed to Sen. Don Harmon

6/2/2019 - Senate Bills on Third Reading

HOTEL OCCUPATION & USE REVENUE
(CULLERTON T)

Amends the Illinois Municipal Code. Provides that not less than 75% of the amounts collected by a municipality within DuPage County pursuant to the municipal hotel operators' occupation tax and municipal hotel use tax shall be used to promote tourism within that municipality. Requires that the municipality that belong to a not-for-profit organization headquartered in DuPage County that is recognized by the Department of Commerce and Economic Opportunity as a certified local tourism and convention bureau entitled to receive State tourism grant funds. Provides that the remainder of the amounts collected may be used by the municipality for economic development or capital infrastructure. Repeals the provisions on January 1, 2021. Effectively immediately.

Senate Floor Amendment No. 1 - Extends the repeal of provisions regarding a municipal hotel operators' and hotel use tax in DuPage County from January 1, 2021 to January 1, 2023.

  RECENT STATUS

8/2/2019 - Public Act . . . . . . . . . 101-0204

8/2/2019 - Effective Date August 2, 2019

8/2/2019 - GOVERNOR APPROVED

REVENUE-PLASTIC BAGS
(HARMON D)

Creates the Checkout Bag Tax Act. Imposes a tax of $0.07 on each checkout bag used by a customer at a retail establishment in the State. Provides that the term "checkout bag" means a single use plastic, paper, or compostable bag provided by a retail establishment at the checkout, cash register, point of sale, or other point of departure to a customer for the purpose of transporting goods out of the retail establishment. Sets forth certain exceptions. Provides that the proceeds from the tax shall be distributed as follows: (1) the retailer shall retain $0.02 per bag; (2) the wholesaler shall retain $0.02 per bag; and (3) $0.03 per bag shall be deposited into the Checkout Bag Tax Fund. Amends the State Finance Act to create the Checkout Bag Tax Fund. Provides that moneys in the Fund shall be remitted to counties and municipal joint action agencies. Amends the Counties Code and the Illinois Municipal Code to preempt certain actions by counties and municipalities concerning auxiliary containers or checkout bags.

  RECENT STATUS

1/13/2021 - Session Sine Die

9/12/2020 - Chief Sponsor Changed to Sen. Don Harmon

7/3/2019 - Senate Floor Amendment No. 3 Pursuant to Senate Rule 3-9(b) / Referred to Assignments

PROP TX-SENIOR HOMESTEAD
(HUTCHINSON T)

Amends the Property Tax Code. In a Section concerning the Senior Citizens Homestead Exemption, provides that in all counties (now, in counties with less than 3,000,000 inhabitants), the county board may by resolution provide that if a person has been granted a senior citizens homestead exemption, the person qualifying need not reapply for the exemption. Provides that the county recorder of deeds shall alert the assessor whenever the transfer of ownership of any property receiving a Senior Citizens Homestead Exemption has occurred. Provides that, if such a transfer occurs, the assessor shall remove the exemption and provide the new property owner with information concerning reapplication. Effective immediately.

Senate Floor Amendment No. 1 - Provides that the county assessor shall exchange information with the county recorder of deeds or the county clerk (in the introduced bill, the county recorder of deeds only) for the purpose of alerting the assessor whenever the transfer of ownership of any property receiving a Senior Citizens Homestead Exemption has occurred. Provides that changes in the introduced bill concerning reapplication for the Senior Citizens Homestead Exemption apply for taxable year 2019 and thereafter.

  RECENT STATUS

8/23/2019 - Effective Date August 23, 2019

8/23/2019 - Public Act . . . . . . . . . 101-0545

8/23/2019 - GOVERNOR APPROVED

UPIA-FAILURE TO FILE
(WEAVER C)

Amends the Uniform Penalty and Interest Act. Provides that the penalty for failure to pay the tax shown due or required to be shown due on a return shall be 15% (instead of 20%) of any amount that is paid after the date the Department of Revenue has initiated an audit or investigation of the taxpayer. Provides that the penalty shall be abated if the taxpayer paid to the Department at least 95% of the total tax liability (including any additional liability resulting from the audit or investigation) prior to the initiation of the audit or investigation. Effective January 1, 2020.

  RECENT STATUS

1/13/2021 - Session Sine Die

6/23/2020 - Rule 19(b) / Re-referred to Rules Committee

3/5/2020 - House Revenue & Finance

PROP TX-INCOME PRODUCING PROP
(HARMON D)

Senate Floor Amendment No. 2 - Replaces everything after the enacting clause. Reinserts the provisions of Senate Amendment 1 with changes. Removes conforming changes concerning income and expense data, but retains the new Article concerning income-producing property. Provides that the term "income and expense data" include specific federal income tax returns (in Senate Amendment 1, federal income tax returns generally). Provides that "income-producing property" means property that is not exclusively owner-occupied (in Senate Amendment 1, non-owner-occupied). Removes a reference to gas stations. Defines "owner-occupied" and "taxpayer". Provides that the chief county assessment officer shall notify taxpayers of their obligation to submit income and expense data. Makes changes concerning the submission of federal tax forms. Provides that the penalty for failure to submit income and expense data shall be 0.05% (instead of 0.5%) of the prior year's market value. Adds provisions concerning administrative hearings. Makes other changes. Effective immediately.

  RECENT STATUS

1/13/2021 - Session Sine Die

1/12/2021 - House Revenue & Finance

1/9/2021 - House Revenue & Finance

Position

Oppose

INC TX-FRINGE
(HUTCHINSON T)

House Committee Amendment No. 1 - Replaces everything after the enacting clause. Amends the Illinois Income Tax Act. Provides that, for purposes of being liable for income tax, compensation is paid in this State if some of the individual's service is performed within this State, the individual's service performed within this State is nonincidental to the individual's service performed without this State, and the individual's service is performed within this State for more than 30 working days during the tax year. Defines terms. Contains provisions concerning the calculation of compensation paid in this State if the employer maintains a time and attendance system. Effective immediately.

  RECENT STATUS

8/26/2019 - Effective Date August 26, 2019

8/26/2019 - Public Act . . . . . . . . . 101-0585

8/26/2019 - GOVERNOR APPROVED

Position

Support

FALSE CLAIMS ACT-TAX CLAIMS
(MCCONCHIE D)

Amends the Illinois False Claims Act. Provides that no court has jurisdiction over a civil action relating to or involving a false claim regarding certain tax acts administered by the Department of Revenue unless the action is brought by the Attorney General. Provides that the Department of Revenue has the sole authority to bring an administrative action and that the Attorney General has the sole authority to bring a judicial action under the Act for a false claim, statement, or record pertaining to certain taxes administered by the Department of Revenue. Contains provisions concerning reporting, investigative, and enforcement procedures for allegations of false claims pertaining to certain taxes. Contains provisions governing the payment of rewards to persons who provide information that leads to recovery of funds under the new provisions. Provides that the appeal of a determination regarding an award may be appealed exclusively to the Court of Claims and must be filed within 30 days of the determination of the award. Makes other changes, including a corresponding change in the Court of Claims Act.

  RECENT STATUS

1/13/2021 - Session Sine Die

4/3/2019 - Senate Judiciary

3/28/2019 - Rule 3-9(a) / Re-referred to Assignments

Position

Support

USE/OCC TAX-DATA CENTERS
(GILLESPIE A)

Amends the Use Tax Act, the Service Use Tax Act, the Service Occupation Tax Act, and the Retailers' Occupation Tax Act. Creates an exemption for qualified tangible personal property used in the construction or operation of a data center that has been granted a certificate of exemption by the Department of Revenue. Amends the Department of Revenue Law of the Civil Administrative Code of Illinois to add provisions concerning those certificates of exemption. Effective immediately.

Senate Floor Amendment No. 1 - Makes changes to the introduced bill to provide that the Department of Commerce and Economic Opportunity shall certify qualified data centers (in the introduced bill, the Department of Revenue). Provides that contractors or subcontractors of qualified data centers shall comply with certain responsible bidder requirements of the Illinois Procurement Code. Provides that those contractors shall enter into project labor agreements. Adds provisions to the introduced bill amending the Illinois Income Tax Act. Creates an income tax credit in the amount of 20% of the wages paid during the taxable year to a full-time or part-time employee of a construction contractor employed by a certified data center if those wages are paid for the construction of a new data center in a geographic area that meets certain criteria related to poverty or unemployment.

  RECENT STATUS

8/2/2019 - Public Act . . . . . . . . . 101-0207

8/2/2019 - Effective Date August 2, 2019

8/2/2019 - GOVERNOR APPROVED

INC TX-PPRT INVESTMENT CREDIT
(WEAVER C)

Amends the Illinois Income Tax Act. Provides that the personal property tax replacement income tax credit for investments in qualified property applies for costs incurred on or before December 31, 2023 (currently, December 31, 2018). Effective immediately.

  RECENT STATUS

1/13/2021 - Session Sine Die

3/28/2019 - Rule 3-9(a) / Re-referred to Assignments

3/22/2019 - Rule 2-10 Committee Deadline Established As March 28, 2019

FALSE CLAIMS ACT-TAX CLAIMS
(WEAVER C)

Amends the Illinois False Claims Act. Provides that no court has jurisdiction over a civil action relating to or involving a false claim regarding certain tax acts administered by the Department of Revenue unless the action is brought by the Attorney General. Provides that the Department of Revenue has the sole authority to bring an administrative action and that the Attorney General has the sole authority to bring a judicial action under the Act for a false claim, statement, or record pertaining to certain taxes administered by the Department of Revenue. Contains provisions concerning reporting, investigative, and enforcement procedures for allegations of false claims pertaining to certain taxes. Contains provisions governing the payment of rewards to persons who provide information that leads to recovery of funds under the new provisions. Provides that the appeal of a determination regarding an award may be appealed exclusively to the Court of Claims and must be filed within 30 days of the determination of the award. Makes other changes, including a corresponding change in the Court of Claims Act. Effective January 1, 2020.

  RECENT STATUS

1/13/2021 - Session Sine Die

3/28/2019 - Rule 3-9(a) / Re-referred to Assignments

3/22/2019 - Rule 2-10 Committee Deadline Established As March 28, 2019

INC TX-ESTIMATED TAX
(ROSE C)

Amends the Illinois Income Tax Act. Provides that taxpayers (other than estates, trusts, partnerships, Subchapter S corporations, and farmers) are required to pay estimated tax if the amount payable can reasonably be expected to be more than $1,000 (currently, $500). Provides that corporations are required to pay estimated tax if the amount payable can reasonably be expected to be more than $400 (which is the same as current law). Effective immediately.

  RECENT STATUS

8/9/2019 - Effective Date August 9, 2019

8/9/2019 - Public Act . . . . . . . . . 101-0355

8/9/2019 - GOVERNOR APPROVED

SANITARY DIST-PROPERTY LEASES
(HASTINGS M)

Amends the North Shore Water Reclamation District Act and the Sanitary District Act of 1917. Provides that that the North Shore Water Reclamation District and sanitary districts may lease property not required for district use to others for a period not exceeding 50 years (rather than 20 years for the North Shore Water Reclamation District and 10 years for sanitary districts). Effective immediately.

  RECENT STATUS

1/24/2020 - Effective Date June 1, 2020

1/24/2020 - Public Act . . . . . . . . . 101-0628

1/24/2020 - GOVERNOR APPROVED

Position

Oppose

STATE TREASURER-REAL PROPERTY
(MANAR A)

Amends the State Treasurer Act. Provides that, subject to the provisions of the Public Contract Fraud Act, the State Treasurer is authorized during fiscal years 2019 and 2020 to purchase real property located in the City of Springfield, Illinois which the State Treasurer deems necessary to properly carry out the powers and duties vested in him or her. Provides that, subject to provisions of the Treasurer's Procurement Rules, the State Treasurer may enter into contracts relating to construction, reconstruction, or renovation projects for any such buildings or lands acquired under this Act, and the State Treasurer may equip, lease, operate, and maintain those grounds, buildings, and facilities as may be appropriate to carry out the State Treasurer's statutory purposes and duties. Provides that the State Treasurer may enter into agreements with any person with respect to the use and occupancy of the grounds, buildings, and facilities of the State Treasurer, including concession, license, and lease agreements on terms and conditions as the State Treasurer determines and in accordance with the procurement processes for the Office of the State Treasurer, which shall be substantially in accordance with the requirements of Illinois Procurement Code. Provides that exercise of the authority vested by this Act is subject to the appropriation of the necessary funds. Amends the State Finance Act. Expands the use of moneys in the State Pension Fund to include the acquisition of land and buildings in State fiscal year 2019 and 2020 for use by the Office of the State Treasurer, as well as construction, reconstruction, improvement, repair, and maintenance, in accordance with the provisions of laws relating thereto, of such lands and buildings beginning in State fiscal year 2019 and thereafter. Effective immediately.

Senate Committee Amendment No. 1 - Provides that the State Treasurer is authorized to acquire (currently, purchase) real property located in Springfield, Illinois. Provides that real property acquired by the State Treasurer under specified provisions may be acquired subject to any third party interests in the property that do not prevent the State Treasurer from exercising the intended beneficial use of such property. Removes provisions concerning the form in which property may be acquired by the State Treasurer. Removes provisions concerning a leaseback of property. Modifies the term "operational expenses of the Office of the State Treasurer".

  RECENT STATUS

8/2/2019 - Public Act . . . . . . . . . 101-0181

8/2/2019 - Effective Date August 2, 2019

8/2/2019 - GOVERNOR APPROVED

FINANCE-APPROP FOR EDUCATION
(SANDOVAL M)

Amends the State Finance Act. Provides that within 150 (currently, 120) days after the conclusion of each fiscal year, each State-supported institution of higher learning must provide, through the Illinois Board of Higher Education, a financial report to the Governor and General Assembly documenting the institution's revenues and expenditures of funds for that fiscal year ending June 30 for all funds.

  RECENT STATUS

6/28/2019 - Effective Date June 28, 2019

6/28/2019 - Public Act . . . . . . . . . 101-0032

6/28/2019 - GOVERNOR APPROVED

PROCUREMENT-REVENUE-SOFTWARE
(HARMON D)

House Committee Amendment No. 1 - Replaces everything after the enacting clause. Amends the Property Tax Code. Makes a technical change in a Section concerning the definition of "33 1/3%".

  RECENT STATUS

5/29/2020 - Effective Date May 29, 2020

5/29/2020 - Public Act . . . . . . . . . 101-0630

5/29/2020 - GOVERNOR APPROVED

CONAMEND-INCOME TAX RATES
(HARMON D)

Proposes to amend the Revenue Article of the Illinois Constitution. Removes a provision that provides that a tax on income shall be measured at a non-graduated rate. Provides that there may be one tax on the income of individuals and corporations (currently, there may be no more than one income tax imposed on individuals and one income tax imposed on corporations, and the rate of tax imposed upon corporations shall not exceed the rate imposed on individuals by more than a ratio of 8 to 5). Provides that the income tax may be a fair tax where lower rates apply to lower income levels and higher rates apply to higher income levels. Provides that no government other than the State may impose a tax on or measured by income. Effective upon being declared adopted.

Senate Committee Amendment No. 1 - Replaces everything after the resolved clause. Proposes to amend the Revenue Article of the Illinois Constitution. Removes a provision that provides that a tax on income shall be measured at a non-graduated rate. Provides that the General Assembly shall provide by law for the rate or rates of any tax on or measured by income imposed by the State. Provides that the highest rate imposed on corporations may not exceed the highest rate imposed on individuals by more than a ratio of 8 to 5. Effective upon being declared adopted.

  RECENT STATUS

5/27/2019 - Added as Co-Sponsor Sen. Antonio Mu?oz

5/27/2019 - Adopted Both Houses

5/27/2019 - 3/5 Vote Required