Illinois 2023-2024 Regular Session

Illinois House Bill HB3144 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	Public Act 103-0781
2	1		HB3144 EnrolledLRB103 26309 HLH 52670 b HB3144 Enrolled LRB103 26309 HLH 52670 b
3	2		HB3144 Enrolled LRB103 26309 HLH 52670 b
4		-	AN ACT concerning revenue.
5		-	Be it enacted by the People of the State of Illinois,
6		-	represented in the General Assembly:
7		-	Section 5. The Use Tax Act is amended by changing Sections
8		-	3-5 and 3-10 as follows:
9		-	(35 ILCS 105/3-5)
10		-	Sec. 3-5. Exemptions. Use of the following tangible
11		-	personal property is exempt from the tax imposed by this Act:
12		-	(1) Personal property purchased from a corporation,
13		-	society, association, foundation, institution, or
14		-	organization, other than a limited liability company, that is
15		-	organized and operated as a not-for-profit service enterprise
16		-	for the benefit of persons 65 years of age or older if the
17		-	personal property was not purchased by the enterprise for the
18		-	purpose of resale by the enterprise.
19		-	(2) Personal property purchased by a not-for-profit
20		-	Illinois county fair association for use in conducting,
21		-	operating, or promoting the county fair.
22		-	(3) Personal property purchased by a not-for-profit arts
23		-	or cultural organization that establishes, by proof required
24		-	by the Department by rule, that it has received an exemption
25		-	under Section 501(c)(3) of the Internal Revenue Code and that
26		-	is organized and operated primarily for the presentation or
	3	+	1 AN ACT concerning revenue.
	4	+	2 Be it enacted by the People of the State of Illinois,
	5	+	3 represented in the General Assembly:
	6	+	4 Section 5. The Use Tax Act is amended by changing Sections
	7	+	5 3-5 and 3-10 as follows:
	8	+	6 (35 ILCS 105/3-5)
	9	+	7 Sec. 3-5. Exemptions. Use of the following tangible
	10	+	8 personal property is exempt from the tax imposed by this Act:
	11	+	9 (1) Personal property purchased from a corporation,
	12	+	10 society, association, foundation, institution, or
	13	+	11 organization, other than a limited liability company, that is
	14	+	12 organized and operated as a not-for-profit service enterprise
	15	+	13 for the benefit of persons 65 years of age or older if the
	16	+	14 personal property was not purchased by the enterprise for the
	17	+	15 purpose of resale by the enterprise.
	18	+	16 (2) Personal property purchased by a not-for-profit
	19	+	17 Illinois county fair association for use in conducting,
	20	+	18 operating, or promoting the county fair.
	21	+	19 (3) Personal property purchased by a not-for-profit arts
	22	+	20 or cultural organization that establishes, by proof required
	23	+	21 by the Department by rule, that it has received an exemption
	24	+	22 under Section 501(c)(3) of the Internal Revenue Code and that
	25	+	23 is organized and operated primarily for the presentation or
27	26
28	27
29	28
30	29		HB3144 Enrolled LRB103 26309 HLH 52670 b
31	30
32	31
33		-	support of arts or cultural programming, activities, or
34		-	services. These organizations include, but are not limited to,
35		-	music and dramatic arts organizations such as symphony
36		-	orchestras and theatrical groups, arts and cultural service
37		-	organizations, local arts councils, visual arts organizations,
38		-	and media arts organizations. On and after July 1, 2001 (the
39		-	effective date of Public Act 92-35), however, an entity
40		-	otherwise eligible for this exemption shall not make tax-free
41		-	purchases unless it has an active identification number issued
42		-	by the Department.
43		-	(4) Except as otherwise provided in this Act, personal
44		-	property purchased by a governmental body, by a corporation,
45		-	society, association, foundation, or institution organized and
46		-	operated exclusively for charitable, religious, or educational
47		-	purposes, or by a not-for-profit corporation, society,
48		-	association, foundation, institution, or organization that has
49		-	no compensated officers or employees and that is organized and
50		-	operated primarily for the recreation of persons 55 years of
51		-	age or older. A limited liability company may qualify for the
52		-	exemption under this paragraph only if the limited liability
53		-	company is organized and operated exclusively for educational
54		-	purposes. On and after July 1, 1987, however, no entity
55		-	otherwise eligible for this exemption shall make tax-free
56		-	purchases unless it has an active exemption identification
57		-	number issued by the Department.
58		-	(5) Until July 1, 2003, a passenger car that is a
59		-
60		-
61		-	replacement vehicle to the extent that the purchase price of
62		-	the car is subject to the Replacement Vehicle Tax.
63		-	(6) Until July 1, 2003 and beginning again on September 1,
64		-	2004 through August 30, 2014, graphic arts machinery and
65		-	equipment, including repair and replacement parts, both new
66		-	and used, and including that manufactured on special order,
67		-	certified by the purchaser to be used primarily for graphic
68		-	arts production, and including machinery and equipment
69		-	purchased for lease. Equipment includes chemicals or chemicals
70		-	acting as catalysts but only if the chemicals or chemicals
71		-	acting as catalysts effect a direct and immediate change upon
72		-	a graphic arts product. Beginning on July 1, 2017, graphic
73		-	arts machinery and equipment is included in the manufacturing
74		-	and assembling machinery and equipment exemption under
75		-	paragraph (18).
76		-	(7) Farm chemicals.
77		-	(8) Legal tender, currency, medallions, or gold or silver
78		-	coinage issued by the State of Illinois, the government of the
79		-	United States of America, or the government of any foreign
80		-	country, and bullion.
81		-	(9) Personal property purchased from a teacher-sponsored
82		-	student organization affiliated with an elementary or
83		-	secondary school located in Illinois.
84		-	(10) A motor vehicle that is used for automobile renting,
85		-	as defined in the Automobile Renting Occupation and Use Tax
86		-	Act.
87		-
88		-
89		-	(11) Farm machinery and equipment, both new and used,
90		-	including that manufactured on special order, certified by the
91		-	purchaser to be used primarily for production agriculture or
92		-	State or federal agricultural programs, including individual
93		-	replacement parts for the machinery and equipment, including
94		-	machinery and equipment purchased for lease, and including
95		-	implements of husbandry defined in Section 1-130 of the
96		-	Illinois Vehicle Code, farm machinery and agricultural
97		-	chemical and fertilizer spreaders, and nurse wagons required
98		-	to be registered under Section 3-809 of the Illinois Vehicle
99		-	Code, but excluding other motor vehicles required to be
100		-	registered under the Illinois Vehicle Code. Horticultural
101		-	polyhouses or hoop houses used for propagating, growing, or
102		-	overwintering plants shall be considered farm machinery and
103		-	equipment under this item (11). Agricultural chemical tender
104		-	tanks and dry boxes shall include units sold separately from a
105		-	motor vehicle required to be licensed and units sold mounted
106		-	on a motor vehicle required to be licensed if the selling price
107		-	of the tender is separately stated.
108		-	Farm machinery and equipment shall include precision
109		-	farming equipment that is installed or purchased to be
110		-	installed on farm machinery and equipment, including, but not
111		-	limited to, tractors, harvesters, sprayers, planters, seeders,
112		-	or spreaders. Precision farming equipment includes, but is not
113		-	limited to, soil testing sensors, computers, monitors,
114		-	software, global positioning and mapping systems, and other
115		-
116		-
117		-	such equipment.
118		-	Farm machinery and equipment also includes computers,
119		-	sensors, software, and related equipment used primarily in the
120		-	computer-assisted operation of production agriculture
121		-	facilities, equipment, and activities such as, but not limited
122		-	to, the collection, monitoring, and correlation of animal and
123		-	crop data for the purpose of formulating animal diets and
124		-	agricultural chemicals.
125		-	Beginning on January 1, 2024, farm machinery and equipment
126		-	also includes electrical power generation equipment used
127		-	primarily for production agriculture.
128		-	This item (11) is exempt from the provisions of Section
129		-	3-90.
130		-	(12) Until June 30, 2013, fuel and petroleum products sold
131		-	to or used by an air common carrier, certified by the carrier
132		-	to be used for consumption, shipment, or storage in the
133		-	conduct of its business as an air common carrier, for a flight
134		-	destined for or returning from a location or locations outside
135		-	the United States without regard to previous or subsequent
136		-	domestic stopovers.
137		-	Beginning July 1, 2013, fuel and petroleum products sold
138		-	to or used by an air carrier, certified by the carrier to be
139		-	used for consumption, shipment, or storage in the conduct of
140		-	its business as an air common carrier, for a flight that (i) is
141		-	engaged in foreign trade or is engaged in trade between the
142		-	United States and any of its possessions and (ii) transports
143		-
144		-
145		-	at least one individual or package for hire from the city of
146		-	origination to the city of final destination on the same
147		-	aircraft, without regard to a change in the flight number of
148		-	that aircraft.
149		-	(13) Proceeds of mandatory service charges separately
150		-	stated on customers' bills for the purchase and consumption of
151		-	food and beverages purchased at retail from a retailer, to the
152		-	extent that the proceeds of the service charge are in fact
153		-	turned over as tips or as a substitute for tips to the
154		-	employees who participate directly in preparing, serving,
155		-	hosting or cleaning up the food or beverage function with
156		-	respect to which the service charge is imposed.
157		-	(14) Until July 1, 2003, oil field exploration, drilling,
158		-	and production equipment, including (i) rigs and parts of
159		-	rigs, rotary rigs, cable tool rigs, and workover rigs, (ii)
160		-	pipe and tubular goods, including casing and drill strings,
161		-	(iii) pumps and pump-jack units, (iv) storage tanks and flow
162		-	lines, (v) any individual replacement part for oil field
163		-	exploration, drilling, and production equipment, and (vi)
164		-	machinery and equipment purchased for lease; but excluding
165		-	motor vehicles required to be registered under the Illinois
166		-	Vehicle Code.
167		-	(15) Photoprocessing machinery and equipment, including
168		-	repair and replacement parts, both new and used, including
169		-	that manufactured on special order, certified by the purchaser
170		-	to be used primarily for photoprocessing, and including
171		-
172		-
173		-	photoprocessing machinery and equipment purchased for lease.
174		-	(16) Until July 1, 2028, coal and aggregate exploration,
175		-	mining, off-highway hauling, processing, maintenance, and
176		-	reclamation equipment, including replacement parts and
177		-	equipment, and including equipment purchased for lease, but
178		-	excluding motor vehicles required to be registered under the
179		-	Illinois Vehicle Code. The changes made to this Section by
180		-	Public Act 97-767 apply on and after July 1, 2003, but no claim
181		-	for credit or refund is allowed on or after August 16, 2013
182		-	(the effective date of Public Act 98-456) for such taxes paid
183		-	during the period beginning July 1, 2003 and ending on August
184		-	16, 2013 (the effective date of Public Act 98-456).
185		-	(17) Until July 1, 2003, distillation machinery and
186		-	equipment, sold as a unit or kit, assembled or installed by the
187		-	retailer, certified by the user to be used only for the
188		-	production of ethyl alcohol that will be used for consumption
189		-	as motor fuel or as a component of motor fuel for the personal
190		-	use of the user, and not subject to sale or resale.
191		-	(18) Manufacturing and assembling machinery and equipment
192		-	used primarily in the process of manufacturing or assembling
193		-	tangible personal property for wholesale or retail sale or
194		-	lease, whether that sale or lease is made directly by the
195		-	manufacturer or by some other person, whether the materials
196		-	used in the process are owned by the manufacturer or some other
197		-	person, or whether that sale or lease is made apart from or as
198		-	an incident to the seller's engaging in the service occupation
199		-
200		-
201		-	of producing machines, tools, dies, jigs, patterns, gauges, or
202		-	other similar items of no commercial value on special order
203		-	for a particular purchaser. The exemption provided by this
204		-	paragraph (18) includes production related tangible personal
205		-	property, as defined in Section 3-50, purchased on or after
206		-	July 1, 2019. The exemption provided by this paragraph (18)
207		-	does not include machinery and equipment used in (i) the
208		-	generation of electricity for wholesale or retail sale; (ii)
209		-	the generation or treatment of natural or artificial gas for
210		-	wholesale or retail sale that is delivered to customers
211		-	through pipes, pipelines, or mains; or (iii) the treatment of
212		-	water for wholesale or retail sale that is delivered to
213		-	customers through pipes, pipelines, or mains. The provisions
214		-	of Public Act 98-583 are declaratory of existing law as to the
215		-	meaning and scope of this exemption. Beginning on July 1,
216		-	2017, the exemption provided by this paragraph (18) includes,
217		-	but is not limited to, graphic arts machinery and equipment,
218		-	as defined in paragraph (6) of this Section.
219		-	(19) Personal property delivered to a purchaser or
220		-	purchaser's donee inside Illinois when the purchase order for
221		-	that personal property was received by a florist located
222		-	outside Illinois who has a florist located inside Illinois
223		-	deliver the personal property.
224		-	(20) Semen used for artificial insemination of livestock
225		-	for direct agricultural production.
226		-	(21) Horses, or interests in horses, registered with and
227		-
228		-
229		-	meeting the requirements of any of the Arabian Horse Club
230		-	Registry of America, Appaloosa Horse Club, American Quarter
231		-	Horse Association, United States Trotting Association, or
232		-	Jockey Club, as appropriate, used for purposes of breeding or
233		-	racing for prizes. This item (21) is exempt from the
234		-	provisions of Section 3-90, and the exemption provided for
235		-	under this item (21) applies for all periods beginning May 30,
236		-	1995, but no claim for credit or refund is allowed on or after
237		-	January 1, 2008 for such taxes paid during the period
238		-	beginning May 30, 2000 and ending on January 1, 2008.
239		-	(22) Computers and communications equipment utilized for
240		-	any hospital purpose and equipment used in the diagnosis,
241		-	analysis, or treatment of hospital patients purchased by a
242		-	lessor who leases the equipment, under a lease of one year or
243		-	longer executed or in effect at the time the lessor would
244		-	otherwise be subject to the tax imposed by this Act, to a
245		-	hospital that has been issued an active tax exemption
246		-	identification number by the Department under Section 1g of
247		-	the Retailers' Occupation Tax Act. If the equipment is leased
248		-	in a manner that does not qualify for this exemption or is used
249		-	in any other non-exempt manner, the lessor shall be liable for
250		-	the tax imposed under this Act or the Service Use Tax Act, as
251		-	the case may be, based on the fair market value of the property
252		-	at the time the non-qualifying use occurs. No lessor shall
253		-	collect or attempt to collect an amount (however designated)
254		-	that purports to reimburse that lessor for the tax imposed by
255		-
256		-
257		-	this Act or the Service Use Tax Act, as the case may be, if the
258		-	tax has not been paid by the lessor. If a lessor improperly
259		-	collects any such amount from the lessee, the lessee shall
260		-	have a legal right to claim a refund of that amount from the
261		-	lessor. If, however, that amount is not refunded to the lessee
262		-	for any reason, the lessor is liable to pay that amount to the
263		-	Department.
264		-	(23) Personal property purchased by a lessor who leases
265		-	the property, under a lease of one year or longer executed or
266		-	in effect at the time the lessor would otherwise be subject to
267		-	the tax imposed by this Act, to a governmental body that has
268		-	been issued an active sales tax exemption identification
269		-	number by the Department under Section 1g of the Retailers'
270		-	Occupation Tax Act. If the property is leased in a manner that
271		-	does not qualify for this exemption or used in any other
272		-	non-exempt manner, the lessor shall be liable for the tax
273		-	imposed under this Act or the Service Use Tax Act, as the case
274		-	may be, based on the fair market value of the property at the
275		-	time the non-qualifying use occurs. No lessor shall collect or
276		-	attempt to collect an amount (however designated) that
277		-	purports to reimburse that lessor for the tax imposed by this
278		-	Act or the Service Use Tax Act, as the case may be, if the tax
279		-	has not been paid by the lessor. If a lessor improperly
280		-	collects any such amount from the lessee, the lessee shall
281		-	have a legal right to claim a refund of that amount from the
282		-	lessor. If, however, that amount is not refunded to the lessee
283		-
284		-
285		-	for any reason, the lessor is liable to pay that amount to the
286		-	Department.
287		-	(24) Beginning with taxable years ending on or after
288		-	December 31, 1995 and ending with taxable years ending on or
289		-	before December 31, 2004, personal property that is donated
290		-	for disaster relief to be used in a State or federally declared
291		-	disaster area in Illinois or bordering Illinois by a
292		-	manufacturer or retailer that is registered in this State to a
293		-	corporation, society, association, foundation, or institution
294		-	that has been issued a sales tax exemption identification
295		-	number by the Department that assists victims of the disaster
296		-	who reside within the declared disaster area.
297		-	(25) Beginning with taxable years ending on or after
298		-	December 31, 1995 and ending with taxable years ending on or
299		-	before December 31, 2004, personal property that is used in
300		-	the performance of infrastructure repairs in this State,
301		-	including, but not limited to, municipal roads and streets,
302		-	access roads, bridges, sidewalks, waste disposal systems,
303		-	water and sewer line extensions, water distribution and
304		-	purification facilities, storm water drainage and retention
305		-	facilities, and sewage treatment facilities, resulting from a
306		-	State or federally declared disaster in Illinois or bordering
307		-	Illinois when such repairs are initiated on facilities located
308		-	in the declared disaster area within 6 months after the
309		-	disaster.
310		-	(26) Beginning July 1, 1999, game or game birds purchased
311		-
312		-
313		-	at a "game breeding and hunting preserve area" as that term is
314		-	used in the Wildlife Code. This paragraph is exempt from the
315		-	provisions of Section 3-90.
316		-	(27) A motor vehicle, as that term is defined in Section
317		-	1-146 of the Illinois Vehicle Code, that is donated to a
318		-	corporation, limited liability company, society, association,
319		-	foundation, or institution that is determined by the
320		-	Department to be organized and operated exclusively for
321		-	educational purposes. For purposes of this exemption, "a
322		-	corporation, limited liability company, society, association,
323		-	foundation, or institution organized and operated exclusively
324		-	for educational purposes" means all tax-supported public
325		-	schools, private schools that offer systematic instruction in
326		-	useful branches of learning by methods common to public
327		-	schools and that compare favorably in their scope and
328		-	intensity with the course of study presented in tax-supported
329		-	schools, and vocational or technical schools or institutes
330		-	organized and operated exclusively to provide a course of
331		-	study of not less than 6 weeks duration and designed to prepare
332		-	individuals to follow a trade or to pursue a manual,
333		-	technical, mechanical, industrial, business, or commercial
334		-	occupation.
335		-	(28) Beginning January 1, 2000, personal property,
336		-	including food, purchased through fundraising events for the
337		-	benefit of a public or private elementary or secondary school,
338		-	a group of those schools, or one or more school districts if
339		-
340		-
341		-	the events are sponsored by an entity recognized by the school
342		-	district that consists primarily of volunteers and includes
343		-	parents and teachers of the school children. This paragraph
344		-	does not apply to fundraising events (i) for the benefit of
345		-	private home instruction or (ii) for which the fundraising
346		-	entity purchases the personal property sold at the events from
347		-	another individual or entity that sold the property for the
348		-	purpose of resale by the fundraising entity and that profits
349		-	from the sale to the fundraising entity. This paragraph is
350		-	exempt from the provisions of Section 3-90.
351		-	(29) Beginning January 1, 2000 and through December 31,
352		-	2001, new or used automatic vending machines that prepare and
353		-	serve hot food and beverages, including coffee, soup, and
354		-	other items, and replacement parts for these machines.
355		-	Beginning January 1, 2002 and through June 30, 2003, machines
356		-	and parts for machines used in commercial, coin-operated
357		-	amusement and vending business if a use or occupation tax is
358		-	paid on the gross receipts derived from the use of the
359		-	commercial, coin-operated amusement and vending machines. This
360		-	paragraph is exempt from the provisions of Section 3-90.
361		-	(30) Beginning January 1, 2001 and through June 30, 2016,
362		-	food for human consumption that is to be consumed off the
363		-	premises where it is sold (other than alcoholic beverages,
364		-	soft drinks, and food that has been prepared for immediate
365		-	consumption) and prescription and nonprescription medicines,
366		-	drugs, medical appliances, and insulin, urine testing
367		-
368		-
369		-	materials, syringes, and needles used by diabetics, for human
370		-	use, when purchased for use by a person receiving medical
371		-	assistance under Article V of the Illinois Public Aid Code who
372		-	resides in a licensed long-term care facility, as defined in
373		-	the Nursing Home Care Act, or in a licensed facility as defined
374		-	in the ID/DD Community Care Act, the MC/DD Act, or the
375		-	Specialized Mental Health Rehabilitation Act of 2013.
376		-	(31) Beginning on August 2, 2001 (the effective date of
377		-	Public Act 92-227), computers and communications equipment
378		-	utilized for any hospital purpose and equipment used in the
379		-	diagnosis, analysis, or treatment of hospital patients
380		-	purchased by a lessor who leases the equipment, under a lease
381		-	of one year or longer executed or in effect at the time the
382		-	lessor would otherwise be subject to the tax imposed by this
383		-	Act, to a hospital that has been issued an active tax exemption
384		-	identification number by the Department under Section 1g of
385		-	the Retailers' Occupation Tax Act. If the equipment is leased
386		-	in a manner that does not qualify for this exemption or is used
387		-	in any other nonexempt manner, the lessor shall be liable for
388		-	the tax imposed under this Act or the Service Use Tax Act, as
389		-	the case may be, based on the fair market value of the property
390		-	at the time the nonqualifying use occurs. No lessor shall
391		-	collect or attempt to collect an amount (however designated)
392		-	that purports to reimburse that lessor for the tax imposed by
393		-	this Act or the Service Use Tax Act, as the case may be, if the
394		-	tax has not been paid by the lessor. If a lessor improperly
395		-
396		-
397		-	collects any such amount from the lessee, the lessee shall
398		-	have a legal right to claim a refund of that amount from the
399		-	lessor. If, however, that amount is not refunded to the lessee
400		-	for any reason, the lessor is liable to pay that amount to the
401		-	Department. This paragraph is exempt from the provisions of
402		-	Section 3-90.
403		-	(32) Beginning on August 2, 2001 (the effective date of
404		-	Public Act 92-227), personal property purchased by a lessor
405		-	who leases the property, under a lease of one year or longer
406		-	executed or in effect at the time the lessor would otherwise be
407		-	subject to the tax imposed by this Act, to a governmental body
408		-	that has been issued an active sales tax exemption
409		-	identification number by the Department under Section 1g of
410		-	the Retailers' Occupation Tax Act. If the property is leased
411		-	in a manner that does not qualify for this exemption or used in
412		-	any other nonexempt manner, the lessor shall be liable for the
413		-	tax imposed under this Act or the Service Use Tax Act, as the
414		-	case may be, based on the fair market value of the property at
415		-	the time the nonqualifying use occurs. No lessor shall collect
416		-	or attempt to collect an amount (however designated) that
417		-	purports to reimburse that lessor for the tax imposed by this
418		-	Act or the Service Use Tax Act, as the case may be, if the tax
419		-	has not been paid by the lessor. If a lessor improperly
420		-	collects any such amount from the lessee, the lessee shall
421		-	have a legal right to claim a refund of that amount from the
422		-	lessor. If, however, that amount is not refunded to the lessee
423		-
424		-
425		-	for any reason, the lessor is liable to pay that amount to the
426		-	Department. This paragraph is exempt from the provisions of
427		-	Section 3-90.
428		-	(33) On and after July 1, 2003 and through June 30, 2004,
429		-	the use in this State of motor vehicles of the second division
430		-	with a gross vehicle weight in excess of 8,000 pounds and that
431		-	are subject to the commercial distribution fee imposed under
432		-	Section 3-815.1 of the Illinois Vehicle Code. Beginning on
433		-	July 1, 2004 and through June 30, 2005, the use in this State
434		-	of motor vehicles of the second division: (i) with a gross
435		-	vehicle weight rating in excess of 8,000 pounds; (ii) that are
436		-	subject to the commercial distribution fee imposed under
437		-	Section 3-815.1 of the Illinois Vehicle Code; and (iii) that
438		-	are primarily used for commercial purposes. Through June 30,
439		-	2005, this exemption applies to repair and replacement parts
440		-	added after the initial purchase of such a motor vehicle if
441		-	that motor vehicle is used in a manner that would qualify for
442		-	the rolling stock exemption otherwise provided for in this
443		-	Act. For purposes of this paragraph, the term "used for
444		-	commercial purposes" means the transportation of persons or
445		-	property in furtherance of any commercial or industrial
446		-	enterprise, whether for-hire or not.
447		-	(34) Beginning January 1, 2008, tangible personal property
448		-	used in the construction or maintenance of a community water
449		-	supply, as defined under Section 3.145 of the Environmental
450		-	Protection Act, that is operated by a not-for-profit
451		-
452		-
453		-	corporation that holds a valid water supply permit issued
454		-	under Title IV of the Environmental Protection Act. This
455		-	paragraph is exempt from the provisions of Section 3-90.
456		-	(35) Beginning January 1, 2010 and continuing through
457		-	December 31, 2029, materials, parts, equipment, components,
458		-	and furnishings incorporated into or upon an aircraft as part
459		-	of the modification, refurbishment, completion, replacement,
460		-	repair, or maintenance of the aircraft. This exemption
461		-	includes consumable supplies used in the modification,
462		-	refurbishment, completion, replacement, repair, and
463		-	maintenance of aircraft. However, until January 1, 2024, this
464		-	exemption excludes any materials, parts, equipment,
465		-	components, and consumable supplies used in the modification,
466		-	replacement, repair, and maintenance of aircraft engines or
467		-	power plants, whether such engines or power plants are
468		-	installed or uninstalled upon any such aircraft. "Consumable
469		-	supplies" include, but are not limited to, adhesive, tape,
470		-	sandpaper, general purpose lubricants, cleaning solution,
471		-	latex gloves, and protective films.
472		-	Beginning January 1, 2010 and continuing through December
473		-	31, 2023, this exemption applies only to the use of qualifying
474		-	tangible personal property by persons who modify, refurbish,
475		-	complete, repair, replace, or maintain aircraft and who (i)
476		-	hold an Air Agency Certificate and are empowered to operate an
477		-	approved repair station by the Federal Aviation
478		-	Administration, (ii) have a Class IV Rating, and (iii) conduct
479		-
480		-
481		-	operations in accordance with Part 145 of the Federal Aviation
482		-	Regulations. From January 1, 2024 through December 31, 2029,
483		-	this exemption applies only to the use of qualifying tangible
484		-	personal property by: (A) persons who modify, refurbish,
485		-	complete, repair, replace, or maintain aircraft and who (i)
486		-	hold an Air Agency Certificate and are empowered to operate an
487		-	approved repair station by the Federal Aviation
488		-	Administration, (ii) have a Class IV Rating, and (iii) conduct
489		-	operations in accordance with Part 145 of the Federal Aviation
490		-	Regulations; and (B) persons who engage in the modification,
491		-	replacement, repair, and maintenance of aircraft engines or
492		-	power plants without regard to whether or not those persons
493		-	meet the qualifications of item (A).
494		-	The exemption does not include aircraft operated by a
495		-	commercial air carrier providing scheduled passenger air
496		-	service pursuant to authority issued under Part 121 or Part
497		-	129 of the Federal Aviation Regulations. The changes made to
498		-	this paragraph (35) by Public Act 98-534 are declarative of
499		-	existing law. It is the intent of the General Assembly that the
500		-	exemption under this paragraph (35) applies continuously from
501		-	January 1, 2010 through December 31, 2024; however, no claim
502		-	for credit or refund is allowed for taxes paid as a result of
503		-	the disallowance of this exemption on or after January 1, 2015
504		-	and prior to February 5, 2020 (the effective date of Public Act
505		-	101-629).
506		-	(36) Tangible personal property purchased by a
507		-
508		-
509		-	public-facilities corporation, as described in Section
510		-	11-65-10 of the Illinois Municipal Code, for purposes of
511		-	constructing or furnishing a municipal convention hall, but
512		-	only if the legal title to the municipal convention hall is
513		-	transferred to the municipality without any further
514		-	consideration by or on behalf of the municipality at the time
515		-	of the completion of the municipal convention hall or upon the
516		-	retirement or redemption of any bonds or other debt
517		-	instruments issued by the public-facilities corporation in
518		-	connection with the development of the municipal convention
519		-	hall. This exemption includes existing public-facilities
520		-	corporations as provided in Section 11-65-25 of the Illinois
521		-	Municipal Code. This paragraph is exempt from the provisions
522		-	of Section 3-90.
523		-	(37) Beginning January 1, 2017 and through December 31,
524		-	2026, menstrual pads, tampons, and menstrual cups.
525		-	(38) Merchandise that is subject to the Rental Purchase
526		-	Agreement Occupation and Use Tax. The purchaser must certify
527		-	that the item is purchased to be rented subject to a
528		-	rental-purchase rental purchase agreement, as defined in the
529		-	Rental-Purchase Rental Purchase Agreement Act, and provide
530		-	proof of registration under the Rental Purchase Agreement
531		-	Occupation and Use Tax Act. This paragraph is exempt from the
532		-	provisions of Section 3-90.
533		-	(39) Tangible personal property purchased by a purchaser
534		-	who is exempt from the tax imposed by this Act by operation of
535		-
536		-
537		-	federal law. This paragraph is exempt from the provisions of
538		-	Section 3-90.
539		-	(40) Qualified tangible personal property used in the
540		-	construction or operation of a data center that has been
541		-	granted a certificate of exemption by the Department of
542		-	Commerce and Economic Opportunity, whether that tangible
543		-	personal property is purchased by the owner, operator, or
544		-	tenant of the data center or by a contractor or subcontractor
545		-	of the owner, operator, or tenant. Data centers that would
546		-	have qualified for a certificate of exemption prior to January
547		-	1, 2020 had Public Act 101-31 been in effect may apply for and
548		-	obtain an exemption for subsequent purchases of computer
549		-	equipment or enabling software purchased or leased to upgrade,
550		-	supplement, or replace computer equipment or enabling software
551		-	purchased or leased in the original investment that would have
552		-	qualified.
553		-	The Department of Commerce and Economic Opportunity shall
554		-	grant a certificate of exemption under this item (40) to
555		-	qualified data centers as defined by Section 605-1025 of the
556		-	Department of Commerce and Economic Opportunity Law of the
557		-	Civil Administrative Code of Illinois.
558		-	For the purposes of this item (40):
559		-	"Data center" means a building or a series of
560		-	buildings rehabilitated or constructed to house working
561		-	servers in one physical location or multiple sites within
562		-	the State of Illinois.
563		-
564		-
565		-	"Qualified tangible personal property" means:
566		-	electrical systems and equipment; climate control and
567		-	chilling equipment and systems; mechanical systems and
568		-	equipment; monitoring and secure systems; emergency
569		-	generators; hardware; computers; servers; data storage
570		-	devices; network connectivity equipment; racks; cabinets;
571		-	telecommunications cabling infrastructure; raised floor
572		-	systems; peripheral components or systems; software;
573		-	mechanical, electrical, or plumbing systems; battery
574		-	systems; cooling systems and towers; temperature control
575		-	systems; other cabling; and other data center
576		-	infrastructure equipment and systems necessary to operate
577		-	qualified tangible personal property, including fixtures;
578		-	and component parts of any of the foregoing, including
579		-	installation, maintenance, repair, refurbishment, and
580		-	replacement of qualified tangible personal property to
581		-	generate, transform, transmit, distribute, or manage
582		-	electricity necessary to operate qualified tangible
583		-	personal property; and all other tangible personal
584		-	property that is essential to the operations of a computer
585		-	data center. The term "qualified tangible personal
586		-	property" also includes building materials physically
587		-	incorporated into in to the qualifying data center. To
588		-	document the exemption allowed under this Section, the
589		-	retailer must obtain from the purchaser a copy of the
590		-	certificate of eligibility issued by the Department of
591		-
592		-
593		-	Commerce and Economic Opportunity.
594		-	This item (40) is exempt from the provisions of Section
595		-	3-90.
596		-	(41) Beginning July 1, 2022, breast pumps, breast pump
597		-	collection and storage supplies, and breast pump kits. This
598		-	item (41) is exempt from the provisions of Section 3-90. As
599		-	used in this item (41):
600		-	"Breast pump" means an electrically controlled or
601		-	manually controlled pump device designed or marketed to be
602		-	used to express milk from a human breast during lactation,
603		-	including the pump device and any battery, AC adapter, or
604		-	other power supply unit that is used to power the pump
605		-	device and is packaged and sold with the pump device at the
606		-	time of sale.
607		-	"Breast pump collection and storage supplies" means
608		-	items of tangible personal property designed or marketed
609		-	to be used in conjunction with a breast pump to collect
610		-	milk expressed from a human breast and to store collected
611		-	milk until it is ready for consumption.
612		-	"Breast pump collection and storage supplies"
613		-	includes, but is not limited to: breast shields and breast
614		-	shield connectors; breast pump tubes and tubing adapters;
615		-	breast pump valves and membranes; backflow protectors and
616		-	backflow protector adaptors; bottles and bottle caps
617		-	specific to the operation of the breast pump; and breast
618		-	milk storage bags.
619		-
620		-
621		-	"Breast pump collection and storage supplies" does not
622		-	include: (1) bottles and bottle caps not specific to the
623		-	operation of the breast pump; (2) breast pump travel bags
624		-	and other similar carrying accessories, including ice
625		-	packs, labels, and other similar products; (3) breast pump
626		-	cleaning supplies; (4) nursing bras, bra pads, breast
627		-	shells, and other similar products; and (5) creams,
628		-	ointments, and other similar products that relieve
629		-	breastfeeding-related symptoms or conditions of the
630		-	breasts or nipples, unless sold as part of a breast pump
631		-	kit that is pre-packaged by the breast pump manufacturer
632		-	or distributor.
633		-	"Breast pump kit" means a kit that: (1) contains no
634		-	more than a breast pump, breast pump collection and
635		-	storage supplies, a rechargeable battery for operating the
636		-	breast pump, a breastmilk cooler, bottle stands, ice
637		-	packs, and a breast pump carrying case; and (2) is
638		-	pre-packaged as a breast pump kit by the breast pump
639		-	manufacturer or distributor.
640		-	(42) Tangible personal property sold by or on behalf of
641		-	the State Treasurer pursuant to the Revised Uniform Unclaimed
642		-	Property Act. This item (42) is exempt from the provisions of
643		-	Section 3-90.
644		-	(43) Beginning on January 1, 2024, tangible personal
645		-	property purchased by an active duty member of the armed
646		-	forces of the United States who presents valid military
647		-
648		-
649		-	identification and purchases the property using a form of
650		-	payment where the federal government is the payor. The member
651		-	of the armed forces must complete, at the point of sale, a form
652		-	prescribed by the Department of Revenue documenting that the
653		-	transaction is eligible for the exemption under this
654		-	paragraph. Retailers must keep the form as documentation of
655		-	the exemption in their records for a period of not less than 6
656		-	years. "Armed forces of the United States" means the United
657		-	States Army, Navy, Air Force, Marine Corps, or Coast Guard.
658		-	This paragraph is exempt from the provisions of Section 3-90.
659		-	(44) Beginning on January 1, 2026, as further defined in
660		-	Section 3-10, food for human consumption that is to be
661		-	consumed off the premises where it is sold (other than
662		-	alcoholic beverages, food consisting of or infused with adult
663		-	use cannabis, soft drinks, candy, and food that has been
664		-	prepared for immediate consumption). This item (44) is exempt
665		-	from the provisions of Section 3-90.
666		-	(Source: P.A. 102-16, eff. 6-17-21; 102-700, Article 70,
667		-	Section 70-5, eff. 4-19-22; 102-700, Article 75, Section 75-5,
668		-	eff. 4-19-22; 102-1026, eff. 5-27-22; 103-9, Article 5,
669		-	Section 5-5, eff. 6-7-23; 103-9, Article 15, Section 15-5,
670		-	eff. 6-7-23; 103-154, eff. 6-30-23; 103-384, eff. 1-1-24;
671		-	revised 12-12-23.)
672		-	(35 ILCS 105/3-10)
673		-	Sec. 3-10. Rate of tax. Unless otherwise provided in this
674		-
675		-
676		-	Section, the tax imposed by this Act is at the rate of 6.25% of
677		-	either the selling price or the fair market value, if any, of
678		-	the tangible personal property. In all cases where property
679		-	functionally used or consumed is the same as the property that
680		-	was purchased at retail, then the tax is imposed on the selling
681		-	price of the property. In all cases where property
682		-	functionally used or consumed is a by-product or waste product
683		-	that has been refined, manufactured, or produced from property
684		-	purchased at retail, then the tax is imposed on the lower of
685		-	the fair market value, if any, of the specific property so used
686		-	in this State or on the selling price of the property purchased
687		-	at retail. For purposes of this Section "fair market value"
688		-	means the price at which property would change hands between a
689		-	willing buyer and a willing seller, neither being under any
690		-	compulsion to buy or sell and both having reasonable knowledge
691		-	of the relevant facts. The fair market value shall be
692		-	established by Illinois sales by the taxpayer of the same
693		-	property as that functionally used or consumed, or if there
694		-	are no such sales by the taxpayer, then comparable sales or
695		-	purchases of property of like kind and character in Illinois.
696		-	Beginning on July 1, 2000 and through December 31, 2000,
697		-	with respect to motor fuel, as defined in Section 1.1 of the
698		-	Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
699		-	the Use Tax Act, the tax is imposed at the rate of 1.25%.
700		-	Beginning on August 6, 2010 through August 15, 2010, and
701		-	beginning again on August 5, 2022 through August 14, 2022,
702		-
703		-
704		-	with respect to sales tax holiday items as defined in Section
705		-	3-6 of this Act, the tax is imposed at the rate of 1.25%.
706		-	With respect to gasohol, the tax imposed by this Act
707		-	applies to (i) 70% of the proceeds of sales made on or after
708		-	January 1, 1990, and before July 1, 2003, (ii) 80% of the
709		-	proceeds of sales made on or after July 1, 2003 and on or
710		-	before July 1, 2017, (iii) 100% of the proceeds of sales made
711		-	after July 1, 2017 and prior to January 1, 2024, (iv) 90% of
712		-	the proceeds of sales made on or after January 1, 2024 and on
713		-	or before December 31, 2028, and (v) 100% of the proceeds of
714		-	sales made after December 31, 2028. If, at any time, however,
715		-	the tax under this Act on sales of gasohol is imposed at the
716		-	rate of 1.25%, then the tax imposed by this Act applies to 100%
717		-	of the proceeds of sales of gasohol made during that time.
718		-	With respect to mid-range ethanol blends, the tax imposed
719		-	by this Act applies to (i) 80% of the proceeds of sales made on
720		-	or after January 1, 2024 and on or before December 31, 2028 and
721		-	(ii) 100% of the proceeds of sales made thereafter. If, at any
722		-	time, however, the tax under this Act on sales of mid-range
723		-	ethanol blends is imposed at the rate of 1.25%, then the tax
724		-	imposed by this Act applies to 100% of the proceeds of sales of
725		-	mid-range ethanol blends made during that time.
726		-	With respect to majority blended ethanol fuel, the tax
727		-	imposed by this Act does not apply to the proceeds of sales
728		-	made on or after July 1, 2003 and on or before December 31,
729		-	2028 but applies to 100% of the proceeds of sales made
730		-
731		-
732		-	thereafter.
733		-	With respect to biodiesel blends with no less than 1% and
734		-	no more than 10% biodiesel, the tax imposed by this Act applies
735		-	to (i) 80% of the proceeds of sales made on or after July 1,
736		-	2003 and on or before December 31, 2018 and (ii) 100% of the
737		-	proceeds of sales made after December 31, 2018 and before
738		-	January 1, 2024. On and after January 1, 2024 and on or before
739		-	December 31, 2030, the taxation of biodiesel, renewable
740		-	diesel, and biodiesel blends shall be as provided in Section
741		-	3-5.1. If, at any time, however, the tax under this Act on
742		-	sales of biodiesel blends with no less than 1% and no more than
743		-	10% biodiesel is imposed at the rate of 1.25%, then the tax
744		-	imposed by this Act applies to 100% of the proceeds of sales of
745		-	biodiesel blends with no less than 1% and no more than 10%
746		-	biodiesel made during that time.
747		-	With respect to biodiesel and biodiesel blends with more
748		-	than 10% but no more than 99% biodiesel, the tax imposed by
749		-	this Act does not apply to the proceeds of sales made on or
750		-	after July 1, 2003 and on or before December 31, 2023. On and
751		-	after January 1, 2024 and on or before December 31, 2030, the
752		-	taxation of biodiesel, renewable diesel, and biodiesel blends
753		-	shall be as provided in Section 3-5.1.
754		-	Until July 1, 2022 and from beginning again on July 1, 2023
755		-	through December 31, 2025, with respect to food for human
756		-	consumption that is to be consumed off the premises where it is
757		-	sold (other than alcoholic beverages, food consisting of or
758		-
759		-
760		-	infused with adult use cannabis, soft drinks, and food that
761		-	has been prepared for immediate consumption), the tax is
762		-	imposed at the rate of 1%. Beginning on July 1, 2022 and until
763		-	July 1, 2023, with respect to food for human consumption that
764		-	is to be consumed off the premises where it is sold (other than
765		-	alcoholic beverages, food consisting of or infused with adult
766		-	use cannabis, soft drinks, and food that has been prepared for
767		-	immediate consumption), the tax is imposed at the rate of 0%.
768		-	On and after January 1, 2026, food for human consumption that
769		-	is to be consumed off the premises where it is sold (other than
770		-	alcoholic beverages, food consisting of or infused with adult
771		-	use cannabis, soft drinks, candy, and food that has been
772		-	prepared for immediate consumption) is exempt from the tax
773		-	imposed by this Act.
774		-	With respect to prescription and nonprescription
775		-	medicines, drugs, medical appliances, products classified as
776		-	Class III medical devices by the United States Food and Drug
777		-	Administration that are used for cancer treatment pursuant to
778		-	a prescription, as well as any accessories and components
779		-	related to those devices, modifications to a motor vehicle for
780		-	the purpose of rendering it usable by a person with a
781		-	disability, and insulin, blood sugar testing materials,
782		-	syringes, and needles used by human diabetics, the tax is
783		-	imposed at the rate of 1%. For the purposes of this Section,
784		-	until September 1, 2009: the term "soft drinks" means any
785		-	complete, finished, ready-to-use, non-alcoholic drink, whether
786		-
787		-
788		-	carbonated or not, including, but not limited to, soda water,
789		-	cola, fruit juice, vegetable juice, carbonated water, and all
790		-	other preparations commonly known as soft drinks of whatever
791		-	kind or description that are contained in any closed or sealed
792		-	bottle, can, carton, or container, regardless of size; but
793		-	"soft drinks" does not include coffee, tea, non-carbonated
794		-	water, infant formula, milk or milk products as defined in the
795		-	Grade A Pasteurized Milk and Milk Products Act, or drinks
796		-	containing 50% or more natural fruit or vegetable juice.
797		-	Notwithstanding any other provisions of this Act,
798		-	beginning September 1, 2009, "soft drinks" means non-alcoholic
799		-	beverages that contain natural or artificial sweeteners. "Soft
800		-	drinks" does not include beverages that contain milk or milk
801		-	products, soy, rice or similar milk substitutes, or greater
802		-	than 50% of vegetable or fruit juice by volume.
803		-	Until August 1, 2009, and notwithstanding any other
804		-	provisions of this Act, "food for human consumption that is to
805		-	be consumed off the premises where it is sold" includes all
806		-	food sold through a vending machine, except soft drinks and
807		-	food products that are dispensed hot from a vending machine,
808		-	regardless of the location of the vending machine. Beginning
809		-	August 1, 2009, and notwithstanding any other provisions of
810		-	this Act, "food for human consumption that is to be consumed
811		-	off the premises where it is sold" includes all food sold
812		-	through a vending machine, except soft drinks, candy, and food
813		-	products that are dispensed hot from a vending machine,
814		-
815		-
816		-	regardless of the location of the vending machine.
817		-	Notwithstanding any other provisions of this Act,
818		-	beginning September 1, 2009, "food for human consumption that
819		-	is to be consumed off the premises where it is sold" does not
820		-	include candy. For purposes of this Section, "candy" means a
821		-	preparation of sugar, honey, or other natural or artificial
822		-	sweeteners in combination with chocolate, fruits, nuts or
823		-	other ingredients or flavorings in the form of bars, drops, or
824		-	pieces. "Candy" does not include any preparation that contains
825		-	flour or requires refrigeration.
826		-	Notwithstanding any other provisions of this Act,
827		-	beginning September 1, 2009, "nonprescription medicines and
828		-	drugs" does not include grooming and hygiene products. For
829		-	purposes of this Section, "grooming and hygiene products"
830		-	includes, but is not limited to, soaps and cleaning solutions,
831		-	shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
832		-	lotions and screens, unless those products are available by
833		-	prescription only, regardless of whether the products meet the
834		-	definition of "over-the-counter-drugs". For the purposes of
835		-	this paragraph, "over-the-counter-drug" means a drug for human
836		-	use that contains a label that identifies the product as a drug
837		-	as required by 21 CFR 201.66. The "over-the-counter-drug"
838		-	label includes:
839		-	(A) a "Drug Facts" panel; or
840		-	(B) a statement of the "active ingredient(s)" with a
841		-	list of those ingredients contained in the compound,
842		-
843		-
844		-	substance or preparation.
845		-	Beginning on January 1, 2014 (the effective date of Public
846		-	Act 98-122), "prescription and nonprescription medicines and
847		-	drugs" includes medical cannabis purchased from a registered
848		-	dispensing organization under the Compassionate Use of Medical
849		-	Cannabis Program Act.
850		-	As used in this Section, "adult use cannabis" means
851		-	cannabis subject to tax under the Cannabis Cultivation
852		-	Privilege Tax Law and the Cannabis Purchaser Excise Tax Law
853		-	and does not include cannabis subject to tax under the
854		-	Compassionate Use of Medical Cannabis Program Act.
855		-	If the property that is purchased at retail from a
856		-	retailer is acquired outside Illinois and used outside
857		-	Illinois before being brought to Illinois for use here and is
858		-	taxable under this Act, the "selling price" on which the tax is
859		-	computed shall be reduced by an amount that represents a
860		-	reasonable allowance for depreciation for the period of prior
861		-	out-of-state use.
862		-	(Source: P.A. 102-4, eff. 4-27-21; 102-700, Article 20,
863		-	Section 20-5, eff. 4-19-22; 102-700, Article 60, Section
864		-	60-15, eff. 4-19-22; 102-700, Article 65, Section 65-5, eff.
865		-	4-19-22; 103-9, eff. 6-7-23; 103-154 eff. 6-30-23.)
866		-	Section 10. The Service Use Tax Act is amended by changing
867		-	Sections 3-5 and 3-10 as follows:
868		-
869		-
870		-	(35 ILCS 110/3-5)
871		-	Sec. 3-5. Exemptions. Use of the following tangible
872		-	personal property is exempt from the tax imposed by this Act:
873		-	(1) Personal property purchased from a corporation,
874		-	society, association, foundation, institution, or
875		-	organization, other than a limited liability company, that is
876		-	organized and operated as a not-for-profit service enterprise
877		-	for the benefit of persons 65 years of age or older if the
878		-	personal property was not purchased by the enterprise for the
879		-	purpose of resale by the enterprise.
880		-	(2) Personal property purchased by a non-profit Illinois
881		-	county fair association for use in conducting, operating, or
882		-	promoting the county fair.
883		-	(3) Personal property purchased by a not-for-profit arts
884		-	or cultural organization that establishes, by proof required
885		-	by the Department by rule, that it has received an exemption
886		-	under Section 501(c)(3) of the Internal Revenue Code and that
887		-	is organized and operated primarily for the presentation or
888		-	support of arts or cultural programming, activities, or
889		-	services. These organizations include, but are not limited to,
890		-	music and dramatic arts organizations such as symphony
891		-	orchestras and theatrical groups, arts and cultural service
892		-	organizations, local arts councils, visual arts organizations,
893		-	and media arts organizations. On and after July 1, 2001 (the
894		-	effective date of Public Act 92-35), however, an entity
895		-	otherwise eligible for this exemption shall not make tax-free
896		-
897		-
898		-	purchases unless it has an active identification number issued
899		-	by the Department.
900		-	(4) Legal tender, currency, medallions, or gold or silver
901		-	coinage issued by the State of Illinois, the government of the
902		-	United States of America, or the government of any foreign
903		-	country, and bullion.
904		-	(5) Until July 1, 2003 and beginning again on September 1,
905		-	2004 through August 30, 2014, graphic arts machinery and
906		-	equipment, including repair and replacement parts, both new
907		-	and used, and including that manufactured on special order or
908		-	purchased for lease, certified by the purchaser to be used
909		-	primarily for graphic arts production. Equipment includes
910		-	chemicals or chemicals acting as catalysts but only if the
911		-	chemicals or chemicals acting as catalysts effect a direct and
912		-	immediate change upon a graphic arts product. Beginning on
913		-	July 1, 2017, graphic arts machinery and equipment is included
914		-	in the manufacturing and assembling machinery and equipment
915		-	exemption under Section 2 of this Act.
916		-	(6) Personal property purchased from a teacher-sponsored
917		-	student organization affiliated with an elementary or
918		-	secondary school located in Illinois.
919		-	(7) Farm machinery and equipment, both new and used,
920		-	including that manufactured on special order, certified by the
921		-	purchaser to be used primarily for production agriculture or
922		-	State or federal agricultural programs, including individual
923		-	replacement parts for the machinery and equipment, including
924		-
925		-
926		-	machinery and equipment purchased for lease, and including
927		-	implements of husbandry defined in Section 1-130 of the
928		-	Illinois Vehicle Code, farm machinery and agricultural
929		-	chemical and fertilizer spreaders, and nurse wagons required
930		-	to be registered under Section 3-809 of the Illinois Vehicle
931		-	Code, but excluding other motor vehicles required to be
932		-	registered under the Illinois Vehicle Code. Horticultural
933		-	polyhouses or hoop houses used for propagating, growing, or
934		-	overwintering plants shall be considered farm machinery and
935		-	equipment under this item (7). Agricultural chemical tender
936		-	tanks and dry boxes shall include units sold separately from a
937		-	motor vehicle required to be licensed and units sold mounted
938		-	on a motor vehicle required to be licensed if the selling price
939		-	of the tender is separately stated.
940		-	Farm machinery and equipment shall include precision
941		-	farming equipment that is installed or purchased to be
942		-	installed on farm machinery and equipment, including, but not
943		-	limited to, tractors, harvesters, sprayers, planters, seeders,
944		-	or spreaders. Precision farming equipment includes, but is not
945		-	limited to, soil testing sensors, computers, monitors,
946		-	software, global positioning and mapping systems, and other
947		-	such equipment.
948		-	Farm machinery and equipment also includes computers,
949		-	sensors, software, and related equipment used primarily in the
950		-	computer-assisted operation of production agriculture
951		-	facilities, equipment, and activities such as, but not limited
952		-
953		-
954		-	to, the collection, monitoring, and correlation of animal and
955		-	crop data for the purpose of formulating animal diets and
956		-	agricultural chemicals.
957		-	Beginning on January 1, 2024, farm machinery and equipment
958		-	also includes electrical power generation equipment used
959		-	primarily for production agriculture.
960		-	This item (7) is exempt from the provisions of Section
961		-	3-75.
962		-	(8) Until June 30, 2013, fuel and petroleum products sold
963		-	to or used by an air common carrier, certified by the carrier
964		-	to be used for consumption, shipment, or storage in the
965		-	conduct of its business as an air common carrier, for a flight
966		-	destined for or returning from a location or locations outside
967		-	the United States without regard to previous or subsequent
968		-	domestic stopovers.
969		-	Beginning July 1, 2013, fuel and petroleum products sold
970		-	to or used by an air carrier, certified by the carrier to be
971		-	used for consumption, shipment, or storage in the conduct of
972		-	its business as an air common carrier, for a flight that (i) is
973		-	engaged in foreign trade or is engaged in trade between the
974		-	United States and any of its possessions and (ii) transports
975		-	at least one individual or package for hire from the city of
976		-	origination to the city of final destination on the same
977		-	aircraft, without regard to a change in the flight number of
978		-	that aircraft.
979		-	(9) Proceeds of mandatory service charges separately
980		-
981		-
982		-	stated on customers' bills for the purchase and consumption of
983		-	food and beverages acquired as an incident to the purchase of a
984		-	service from a serviceman, to the extent that the proceeds of
985		-	the service charge are in fact turned over as tips or as a
986		-	substitute for tips to the employees who participate directly
987		-	in preparing, serving, hosting or cleaning up the food or
988		-	beverage function with respect to which the service charge is
989		-	imposed.
990		-	(10) Until July 1, 2003, oil field exploration, drilling,
991		-	and production equipment, including (i) rigs and parts of
992		-	rigs, rotary rigs, cable tool rigs, and workover rigs, (ii)
993		-	pipe and tubular goods, including casing and drill strings,
994		-	(iii) pumps and pump-jack units, (iv) storage tanks and flow
995		-	lines, (v) any individual replacement part for oil field
996		-	exploration, drilling, and production equipment, and (vi)
997		-	machinery and equipment purchased for lease; but excluding
998		-	motor vehicles required to be registered under the Illinois
999		-	Vehicle Code.
1000		-	(11) Proceeds from the sale of photoprocessing machinery
1001		-	and equipment, including repair and replacement parts, both
1002		-	new and used, including that manufactured on special order,
1003		-	certified by the purchaser to be used primarily for
1004		-	photoprocessing, and including photoprocessing machinery and
1005		-	equipment purchased for lease.
1006		-	(12) Until July 1, 2028, coal and aggregate exploration,
1007		-	mining, off-highway hauling, processing, maintenance, and
1008		-
1009		-
1010		-	reclamation equipment, including replacement parts and
1011		-	equipment, and including equipment purchased for lease, but
1012		-	excluding motor vehicles required to be registered under the
1013		-	Illinois Vehicle Code. The changes made to this Section by
1014		-	Public Act 97-767 apply on and after July 1, 2003, but no claim
1015		-	for credit or refund is allowed on or after August 16, 2013
1016		-	(the effective date of Public Act 98-456) for such taxes paid
1017		-	during the period beginning July 1, 2003 and ending on August
1018		-	16, 2013 (the effective date of Public Act 98-456).
1019		-	(13) Semen used for artificial insemination of livestock
1020		-	for direct agricultural production.
1021		-	(14) Horses, or interests in horses, registered with and
1022		-	meeting the requirements of any of the Arabian Horse Club
1023		-	Registry of America, Appaloosa Horse Club, American Quarter
1024		-	Horse Association, United States Trotting Association, or
1025		-	Jockey Club, as appropriate, used for purposes of breeding or
1026		-	racing for prizes. This item (14) is exempt from the
1027		-	provisions of Section 3-75, and the exemption provided for
1028		-	under this item (14) applies for all periods beginning May 30,
1029		-	1995, but no claim for credit or refund is allowed on or after
1030		-	January 1, 2008 (the effective date of Public Act 95-88) for
1031		-	such taxes paid during the period beginning May 30, 2000 and
1032		-	ending on January 1, 2008 (the effective date of Public Act
1033		-	95-88).
1034		-	(15) Computers and communications equipment utilized for
1035		-	any hospital purpose and equipment used in the diagnosis,
1036		-
1037		-
1038		-	analysis, or treatment of hospital patients purchased by a
1039		-	lessor who leases the equipment, under a lease of one year or
1040		-	longer executed or in effect at the time the lessor would
1041		-	otherwise be subject to the tax imposed by this Act, to a
1042		-	hospital that has been issued an active tax exemption
1043		-	identification number by the Department under Section 1g of
1044		-	the Retailers' Occupation Tax Act. If the equipment is leased
1045		-	in a manner that does not qualify for this exemption or is used
1046		-	in any other non-exempt manner, the lessor shall be liable for
1047		-	the tax imposed under this Act or the Use Tax Act, as the case
1048		-	may be, based on the fair market value of the property at the
1049		-	time the non-qualifying use occurs. No lessor shall collect or
1050		-	attempt to collect an amount (however designated) that
1051		-	purports to reimburse that lessor for the tax imposed by this
1052		-	Act or the Use Tax Act, as the case may be, if the tax has not
1053		-	been paid by the lessor. If a lessor improperly collects any
1054		-	such amount from the lessee, the lessee shall have a legal
1055		-	right to claim a refund of that amount from the lessor. If,
1056		-	however, that amount is not refunded to the lessee for any
1057		-	reason, the lessor is liable to pay that amount to the
1058		-	Department.
1059		-	(16) Personal property purchased by a lessor who leases
1060		-	the property, under a lease of one year or longer executed or
1061		-	in effect at the time the lessor would otherwise be subject to
1062		-	the tax imposed by this Act, to a governmental body that has
1063		-	been issued an active tax exemption identification number by
1064		-
1065		-
1066		-	the Department under Section 1g of the Retailers' Occupation
1067		-	Tax Act. If the property is leased in a manner that does not
1068		-	qualify for this exemption or is used in any other non-exempt
1069		-	manner, the lessor shall be liable for the tax imposed under
1070		-	this Act or the Use Tax Act, as the case may be, based on the
1071		-	fair market value of the property at the time the
1072		-	non-qualifying use occurs. No lessor shall collect or attempt
1073		-	to collect an amount (however designated) that purports to
1074		-	reimburse that lessor for the tax imposed by this Act or the
1075		-	Use Tax Act, as the case may be, if the tax has not been paid
1076		-	by the lessor. If a lessor improperly collects any such amount
1077		-	from the lessee, the lessee shall have a legal right to claim a
1078		-	refund of that amount from the lessor. If, however, that
1079		-	amount is not refunded to the lessee for any reason, the lessor
1080		-	is liable to pay that amount to the Department.
1081		-	(17) Beginning with taxable years ending on or after
1082		-	December 31, 1995 and ending with taxable years ending on or
1083		-	before December 31, 2004, personal property that is donated
1084		-	for disaster relief to be used in a State or federally declared
1085		-	disaster area in Illinois or bordering Illinois by a
1086		-	manufacturer or retailer that is registered in this State to a
1087		-	corporation, society, association, foundation, or institution
1088		-	that has been issued a sales tax exemption identification
1089		-	number by the Department that assists victims of the disaster
1090		-	who reside within the declared disaster area.
1091		-	(18) Beginning with taxable years ending on or after
1092		-
1093		-
1094		-	December 31, 1995 and ending with taxable years ending on or
1095		-	before December 31, 2004, personal property that is used in
1096		-	the performance of infrastructure repairs in this State,
1097		-	including, but not limited to, municipal roads and streets,
1098		-	access roads, bridges, sidewalks, waste disposal systems,
1099		-	water and sewer line extensions, water distribution and
1100		-	purification facilities, storm water drainage and retention
1101		-	facilities, and sewage treatment facilities, resulting from a
1102		-	State or federally declared disaster in Illinois or bordering
1103		-	Illinois when such repairs are initiated on facilities located
1104		-	in the declared disaster area within 6 months after the
1105		-	disaster.
1106		-	(19) Beginning July 1, 1999, game or game birds purchased
1107		-	at a "game breeding and hunting preserve area" as that term is
1108		-	used in the Wildlife Code. This paragraph is exempt from the
1109		-	provisions of Section 3-75.
1110		-	(20) A motor vehicle, as that term is defined in Section
1111		-	1-146 of the Illinois Vehicle Code, that is donated to a
1112		-	corporation, limited liability company, society, association,
1113		-	foundation, or institution that is determined by the
1114		-	Department to be organized and operated exclusively for
1115		-	educational purposes. For purposes of this exemption, "a
1116		-	corporation, limited liability company, society, association,
1117		-	foundation, or institution organized and operated exclusively
1118		-	for educational purposes" means all tax-supported public
1119		-	schools, private schools that offer systematic instruction in
1120		-
1121		-
1122		-	useful branches of learning by methods common to public
1123		-	schools and that compare favorably in their scope and
1124		-	intensity with the course of study presented in tax-supported
1125		-	schools, and vocational or technical schools or institutes
1126		-	organized and operated exclusively to provide a course of
1127		-	study of not less than 6 weeks duration and designed to prepare
1128		-	individuals to follow a trade or to pursue a manual,
1129		-	technical, mechanical, industrial, business, or commercial
1130		-	occupation.
1131		-	(21) Beginning January 1, 2000, personal property,
1132		-	including food, purchased through fundraising events for the
1133		-	benefit of a public or private elementary or secondary school,
1134		-	a group of those schools, or one or more school districts if
1135		-	the events are sponsored by an entity recognized by the school
1136		-	district that consists primarily of volunteers and includes
1137		-	parents and teachers of the school children. This paragraph
1138		-	does not apply to fundraising events (i) for the benefit of
1139		-	private home instruction or (ii) for which the fundraising
1140		-	entity purchases the personal property sold at the events from
1141		-	another individual or entity that sold the property for the
1142		-	purpose of resale by the fundraising entity and that profits
1143		-	from the sale to the fundraising entity. This paragraph is
1144		-	exempt from the provisions of Section 3-75.
1145		-	(22) Beginning January 1, 2000 and through December 31,
1146		-	2001, new or used automatic vending machines that prepare and
1147		-	serve hot food and beverages, including coffee, soup, and
1148		-
1149		-
1150		-	other items, and replacement parts for these machines.
1151		-	Beginning January 1, 2002 and through June 30, 2003, machines
1152		-	and parts for machines used in commercial, coin-operated
1153		-	amusement and vending business if a use or occupation tax is
1154		-	paid on the gross receipts derived from the use of the
1155		-	commercial, coin-operated amusement and vending machines. This
1156		-	paragraph is exempt from the provisions of Section 3-75.
1157		-	(23) Beginning August 23, 2001 and through June 30, 2016,
1158		-	food for human consumption that is to be consumed off the
1159		-	premises where it is sold (other than alcoholic beverages,
1160		-	soft drinks, and food that has been prepared for immediate
1161		-	consumption) and prescription and nonprescription medicines,
1162		-	drugs, medical appliances, and insulin, urine testing
1163		-	materials, syringes, and needles used by diabetics, for human
1164		-	use, when purchased for use by a person receiving medical
1165		-	assistance under Article V of the Illinois Public Aid Code who
1166		-	resides in a licensed long-term care facility, as defined in
1167		-	the Nursing Home Care Act, or in a licensed facility as defined
1168		-	in the ID/DD Community Care Act, the MC/DD Act, or the
1169		-	Specialized Mental Health Rehabilitation Act of 2013.
1170		-	(24) Beginning on August 2, 2001 (the effective date of
1171		-	Public Act 92-227), computers and communications equipment
1172		-	utilized for any hospital purpose and equipment used in the
1173		-	diagnosis, analysis, or treatment of hospital patients
1174		-	purchased by a lessor who leases the equipment, under a lease
1175		-	of one year or longer executed or in effect at the time the
1176		-
1177		-
1178		-	lessor would otherwise be subject to the tax imposed by this
1179		-	Act, to a hospital that has been issued an active tax exemption
1180		-	identification number by the Department under Section 1g of
1181		-	the Retailers' Occupation Tax Act. If the equipment is leased
1182		-	in a manner that does not qualify for this exemption or is used
1183		-	in any other nonexempt manner, the lessor shall be liable for
1184		-	the tax imposed under this Act or the Use Tax Act, as the case
1185		-	may be, based on the fair market value of the property at the
1186		-	time the nonqualifying use occurs. No lessor shall collect or
1187		-	attempt to collect an amount (however designated) that
1188		-	purports to reimburse that lessor for the tax imposed by this
1189		-	Act or the Use Tax Act, as the case may be, if the tax has not
1190		-	been paid by the lessor. If a lessor improperly collects any
1191		-	such amount from the lessee, the lessee shall have a legal
1192		-	right to claim a refund of that amount from the lessor. If,
1193		-	however, that amount is not refunded to the lessee for any
1194		-	reason, the lessor is liable to pay that amount to the
1195		-	Department. This paragraph is exempt from the provisions of
1196		-	Section 3-75.
1197		-	(25) Beginning on August 2, 2001 (the effective date of
1198		-	Public Act 92-227), personal property purchased by a lessor
1199		-	who leases the property, under a lease of one year or longer
1200		-	executed or in effect at the time the lessor would otherwise be
1201		-	subject to the tax imposed by this Act, to a governmental body
1202		-	that has been issued an active tax exemption identification
1203		-	number by the Department under Section 1g of the Retailers'
1204		-
1205		-
1206		-	Occupation Tax Act. If the property is leased in a manner that
1207		-	does not qualify for this exemption or is used in any other
1208		-	nonexempt manner, the lessor shall be liable for the tax
1209		-	imposed under this Act or the Use Tax Act, as the case may be,
1210		-	based on the fair market value of the property at the time the
1211		-	nonqualifying use occurs. No lessor shall collect or attempt
1212		-	to collect an amount (however designated) that purports to
1213		-	reimburse that lessor for the tax imposed by this Act or the
1214		-	Use Tax Act, as the case may be, if the tax has not been paid
1215		-	by the lessor. If a lessor improperly collects any such amount
1216		-	from the lessee, the lessee shall have a legal right to claim a
1217		-	refund of that amount from the lessor. If, however, that
1218		-	amount is not refunded to the lessee for any reason, the lessor
1219		-	is liable to pay that amount to the Department. This paragraph
1220		-	is exempt from the provisions of Section 3-75.
1221		-	(26) Beginning January 1, 2008, tangible personal property
1222		-	used in the construction or maintenance of a community water
1223		-	supply, as defined under Section 3.145 of the Environmental
1224		-	Protection Act, that is operated by a not-for-profit
1225		-	corporation that holds a valid water supply permit issued
1226		-	under Title IV of the Environmental Protection Act. This
1227		-	paragraph is exempt from the provisions of Section 3-75.
1228		-	(27) Beginning January 1, 2010 and continuing through
1229		-	December 31, 2029, materials, parts, equipment, components,
1230		-	and furnishings incorporated into or upon an aircraft as part
1231		-	of the modification, refurbishment, completion, replacement,
1232		-
1233		-
1234		-	repair, or maintenance of the aircraft. This exemption
1235		-	includes consumable supplies used in the modification,
1236		-	refurbishment, completion, replacement, repair, and
1237		-	maintenance of aircraft. However, until January 1, 2024, this
1238		-	exemption excludes any materials, parts, equipment,
1239		-	components, and consumable supplies used in the modification,
1240		-	replacement, repair, and maintenance of aircraft engines or
1241		-	power plants, whether such engines or power plants are
1242		-	installed or uninstalled upon any such aircraft. "Consumable
1243		-	supplies" include, but are not limited to, adhesive, tape,
1244		-	sandpaper, general purpose lubricants, cleaning solution,
1245		-	latex gloves, and protective films.
1246		-	Beginning January 1, 2010 and continuing through December
1247		-	31, 2023, this exemption applies only to the use of qualifying
1248		-	tangible personal property transferred incident to the
1249		-	modification, refurbishment, completion, replacement, repair,
1250		-	or maintenance of aircraft by persons who (i) hold an Air
1251		-	Agency Certificate and are empowered to operate an approved
1252		-	repair station by the Federal Aviation Administration, (ii)
1253		-	have a Class IV Rating, and (iii) conduct operations in
1254		-	accordance with Part 145 of the Federal Aviation Regulations.
1255		-	From January 1, 2024 through December 31, 2029, this exemption
1256		-	applies only to the use of qualifying tangible personal
1257		-	property by: (A) persons who modify, refurbish, complete,
1258		-	repair, replace, or maintain aircraft and who (i) hold an Air
1259		-	Agency Certificate and are empowered to operate an approved
1260		-
1261		-
1262		-	repair station by the Federal Aviation Administration, (ii)
1263		-	have a Class IV Rating, and (iii) conduct operations in
1264		-	accordance with Part 145 of the Federal Aviation Regulations;
1265		-	and (B) persons who engage in the modification, replacement,
1266		-	repair, and maintenance of aircraft engines or power plants
1267		-	without regard to whether or not those persons meet the
1268		-	qualifications of item (A).
1269		-	The exemption does not include aircraft operated by a
1270		-	commercial air carrier providing scheduled passenger air
1271		-	service pursuant to authority issued under Part 121 or Part
1272		-	129 of the Federal Aviation Regulations. The changes made to
1273		-	this paragraph (27) by Public Act 98-534 are declarative of
1274		-	existing law. It is the intent of the General Assembly that the
1275		-	exemption under this paragraph (27) applies continuously from
1276		-	January 1, 2010 through December 31, 2024; however, no claim
1277		-	for credit or refund is allowed for taxes paid as a result of
1278		-	the disallowance of this exemption on or after January 1, 2015
1279		-	and prior to February 5, 2020 (the effective date of Public Act
1280		-	101-629).
1281		-	(28) Tangible personal property purchased by a
1282		-	public-facilities corporation, as described in Section
1283		-	11-65-10 of the Illinois Municipal Code, for purposes of
1284		-	constructing or furnishing a municipal convention hall, but
1285		-	only if the legal title to the municipal convention hall is
1286		-	transferred to the municipality without any further
1287		-	consideration by or on behalf of the municipality at the time
1288		-
1289		-
1290		-	of the completion of the municipal convention hall or upon the
1291		-	retirement or redemption of any bonds or other debt
1292		-	instruments issued by the public-facilities corporation in
1293		-	connection with the development of the municipal convention
1294		-	hall. This exemption includes existing public-facilities
1295		-	corporations as provided in Section 11-65-25 of the Illinois
1296		-	Municipal Code. This paragraph is exempt from the provisions
1297		-	of Section 3-75.
1298		-	(29) Beginning January 1, 2017 and through December 31,
1299		-	2026, menstrual pads, tampons, and menstrual cups.
1300		-	(30) Tangible personal property transferred to a purchaser
1301		-	who is exempt from the tax imposed by this Act by operation of
1302		-	federal law. This paragraph is exempt from the provisions of
1303		-	Section 3-75.
1304		-	(31) Qualified tangible personal property used in the
1305		-	construction or operation of a data center that has been
1306		-	granted a certificate of exemption by the Department of
1307		-	Commerce and Economic Opportunity, whether that tangible
1308		-	personal property is purchased by the owner, operator, or
1309		-	tenant of the data center or by a contractor or subcontractor
1310		-	of the owner, operator, or tenant. Data centers that would
1311		-	have qualified for a certificate of exemption prior to January
1312		-	1, 2020 had Public Act 101-31 been in effect, may apply for and
1313		-	obtain an exemption for subsequent purchases of computer
1314		-	equipment or enabling software purchased or leased to upgrade,
1315		-	supplement, or replace computer equipment or enabling software
1316		-
1317		-
1318		-	purchased or leased in the original investment that would have
1319		-	qualified.
1320		-	The Department of Commerce and Economic Opportunity shall
1321		-	grant a certificate of exemption under this item (31) to
1322		-	qualified data centers as defined by Section 605-1025 of the
1323		-	Department of Commerce and Economic Opportunity Law of the
1324		-	Civil Administrative Code of Illinois.
1325		-	For the purposes of this item (31):
1326		-	"Data center" means a building or a series of
1327		-	buildings rehabilitated or constructed to house working
1328		-	servers in one physical location or multiple sites within
1329		-	the State of Illinois.
1330		-	"Qualified tangible personal property" means:
1331		-	electrical systems and equipment; climate control and
1332		-	chilling equipment and systems; mechanical systems and
1333		-	equipment; monitoring and secure systems; emergency
1334		-	generators; hardware; computers; servers; data storage
1335		-	devices; network connectivity equipment; racks; cabinets;
1336		-	telecommunications cabling infrastructure; raised floor
1337		-	systems; peripheral components or systems; software;
1338		-	mechanical, electrical, or plumbing systems; battery
1339		-	systems; cooling systems and towers; temperature control
1340		-	systems; other cabling; and other data center
1341		-	infrastructure equipment and systems necessary to operate
1342		-	qualified tangible personal property, including fixtures;
1343		-	and component parts of any of the foregoing, including
1344		-
1345		-
1346		-	installation, maintenance, repair, refurbishment, and
1347		-	replacement of qualified tangible personal property to
1348		-	generate, transform, transmit, distribute, or manage
1349		-	electricity necessary to operate qualified tangible
1350		-	personal property; and all other tangible personal
1351		-	property that is essential to the operations of a computer
1352		-	data center. The term "qualified tangible personal
1353		-	property" also includes building materials physically
1354		-	incorporated into in to the qualifying data center. To
1355		-	document the exemption allowed under this Section, the
1356		-	retailer must obtain from the purchaser a copy of the
1357		-	certificate of eligibility issued by the Department of
1358		-	Commerce and Economic Opportunity.
1359		-	This item (31) is exempt from the provisions of Section
1360		-	3-75.
1361		-	(32) Beginning July 1, 2022, breast pumps, breast pump
1362		-	collection and storage supplies, and breast pump kits. This
1363		-	item (32) is exempt from the provisions of Section 3-75. As
1364		-	used in this item (32):
1365		-	"Breast pump" means an electrically controlled or
1366		-	manually controlled pump device designed or marketed to be
1367		-	used to express milk from a human breast during lactation,
1368		-	including the pump device and any battery, AC adapter, or
1369		-	other power supply unit that is used to power the pump
1370		-	device and is packaged and sold with the pump device at the
1371		-	time of sale.
1372		-
1373		-
1374		-	"Breast pump collection and storage supplies" means
1375		-	items of tangible personal property designed or marketed
1376		-	to be used in conjunction with a breast pump to collect
1377		-	milk expressed from a human breast and to store collected
1378		-	milk until it is ready for consumption.
1379		-	"Breast pump collection and storage supplies"
1380		-	includes, but is not limited to: breast shields and breast
1381		-	shield connectors; breast pump tubes and tubing adapters;
1382		-	breast pump valves and membranes; backflow protectors and
1383		-	backflow protector adaptors; bottles and bottle caps
1384		-	specific to the operation of the breast pump; and breast
1385		-	milk storage bags.
1386		-	"Breast pump collection and storage supplies" does not
1387		-	include: (1) bottles and bottle caps not specific to the
1388		-	operation of the breast pump; (2) breast pump travel bags
1389		-	and other similar carrying accessories, including ice
1390		-	packs, labels, and other similar products; (3) breast pump
1391		-	cleaning supplies; (4) nursing bras, bra pads, breast
1392		-	shells, and other similar products; and (5) creams,
1393		-	ointments, and other similar products that relieve
1394		-	breastfeeding-related symptoms or conditions of the
1395		-	breasts or nipples, unless sold as part of a breast pump
1396		-	kit that is pre-packaged by the breast pump manufacturer
1397		-	or distributor.
1398		-	"Breast pump kit" means a kit that: (1) contains no
1399		-	more than a breast pump, breast pump collection and
1400		-
1401		-
1402		-	storage supplies, a rechargeable battery for operating the
1403		-	breast pump, a breastmilk cooler, bottle stands, ice
1404		-	packs, and a breast pump carrying case; and (2) is
1405		-	pre-packaged as a breast pump kit by the breast pump
1406		-	manufacturer or distributor.
1407		-	(33) Tangible personal property sold by or on behalf of
1408		-	the State Treasurer pursuant to the Revised Uniform Unclaimed
1409		-	Property Act. This item (33) is exempt from the provisions of
1410		-	Section 3-75.
1411		-	(34) Beginning on January 1, 2024, tangible personal
1412		-	property purchased by an active duty member of the armed
1413		-	forces of the United States who presents valid military
1414		-	identification and purchases the property using a form of
1415		-	payment where the federal government is the payor. The member
1416		-	of the armed forces must complete, at the point of sale, a form
1417		-	prescribed by the Department of Revenue documenting that the
1418		-	transaction is eligible for the exemption under this
1419		-	paragraph. Retailers must keep the form as documentation of
1420		-	the exemption in their records for a period of not less than 6
1421		-	years. "Armed forces of the United States" means the United
1422		-	States Army, Navy, Air Force, Marine Corps, or Coast Guard.
1423		-	This paragraph is exempt from the provisions of Section 3-75.
1424		-	(35) Beginning on January 1, 2026, as further defined in
1425		-	Section 3-10, food prepared for immediate consumption and
1426		-	transferred incident to a sale of service subject to this Act
1427		-	or the Service Occupation Tax Act by an entity licensed under
1428		-
1429		-
1430		-	the Hospital Licensing Act, the Nursing Home Care Act, the
1431		-	Assisted Living and Shared Housing Act, the ID/DD Community
1432		-	Care Act, the MC/DD Act, the Specialized Mental Health
1433		-	Rehabilitation Act of 2013, or the Child Care Act of 1969, or
1434		-	by an entity that holds a permit issued pursuant to the Life
1435		-	Care Facilities Act. This item (35) is exempt from the
1436		-	provisions of Section 3-75.
1437		-	(36) Beginning on January 1, 2026, as further defined in
1438		-	Section 3-10, food for human consumption that is to be
1439		-	consumed off the premises where it is sold (other than
1440		-	alcoholic beverages, food consisting of or infused with adult
1441		-	use cannabis, soft drinks, candy, and food that has been
1442		-	prepared for immediate consumption). This item (36) is exempt
1443		-	from the provisions of Section 3-75.
1444		-	(Source: P.A. 102-16, eff. 6-17-21; 102-700, Article 70,
1445		-	Section 70-10, eff. 4-19-22; 102-700, Article 75, Section
1446		-	75-10, eff. 4-19-22; 102-1026, eff. 5-27-22; 103-9, Article 5,
1447		-	Section 5-10, eff. 6-7-23; 103-9, Article 15, Section 15-10,
1448		-	eff. 6-7-23; 103-154, eff. 6-30-23; 103-384, eff. 1-1-24;
1449		-	revised 12-12-23.)
1450		-	(35 ILCS 110/3-10) (from Ch. 120, par. 439.33-10)
1451		-	Sec. 3-10. Rate of tax. Unless otherwise provided in this
1452		-	Section, the tax imposed by this Act is at the rate of 6.25% of
1453		-	the selling price of tangible personal property transferred as
1454		-	an incident to the sale of service, but, for the purpose of
1455		-
1456		-
1457		-	computing this tax, in no event shall the selling price be less
1458		-	than the cost price of the property to the serviceman.
1459		-	Beginning on July 1, 2000 and through December 31, 2000,
1460		-	with respect to motor fuel, as defined in Section 1.1 of the
1461		-	Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
1462		-	the Use Tax Act, the tax is imposed at the rate of 1.25%.
1463		-	With respect to gasohol, as defined in the Use Tax Act, the
1464		-	tax imposed by this Act applies to (i) 70% of the selling price
1465		-	of property transferred as an incident to the sale of service
1466		-	on or after January 1, 1990, and before July 1, 2003, (ii) 80%
1467		-	of the selling price of property transferred as an incident to
1468		-	the sale of service on or after July 1, 2003 and on or before
1469		-	July 1, 2017, (iii) 100% of the selling price of property
1470		-	transferred as an incident to the sale of service after July 1,
1471		-	2017 and before January 1, 2024, (iv) 90% of the selling price
1472		-	of property transferred as an incident to the sale of service
1473		-	on or after January 1, 2024 and on or before December 31, 2028,
1474		-	and (v) 100% of the selling price of property transferred as an
1475		-	incident to the sale of service after December 31, 2028. If, at
1476		-	any time, however, the tax under this Act on sales of gasohol,
1477		-	as defined in the Use Tax Act, is imposed at the rate of 1.25%,
1478		-	then the tax imposed by this Act applies to 100% of the
1479		-	proceeds of sales of gasohol made during that time.
1480		-	With respect to mid-range ethanol blends, as defined in
1481		-	Section 3-44.3 of the Use Tax Act, the tax imposed by this Act
1482		-	applies to (i) 80% of the selling price of property
1483		-
1484		-
1485		-	transferred as an incident to the sale of service on or after
1486		-	January 1, 2024 and on or before December 31, 2028 and (ii)
1487		-	100% of the selling price of property transferred as an
1488		-	incident to the sale of service after December 31, 2028. If, at
1489		-	any time, however, the tax under this Act on sales of mid-range
1490		-	ethanol blends is imposed at the rate of 1.25%, then the tax
1491		-	imposed by this Act applies to 100% of the selling price of
1492		-	mid-range ethanol blends transferred as an incident to the
1493		-	sale of service during that time.
1494		-	With respect to majority blended ethanol fuel, as defined
1495		-	in the Use Tax Act, the tax imposed by this Act does not apply
1496		-	to the selling price of property transferred as an incident to
1497		-	the sale of service on or after July 1, 2003 and on or before
1498		-	December 31, 2028 but applies to 100% of the selling price
1499		-	thereafter.
1500		-	With respect to biodiesel blends, as defined in the Use
1501		-	Tax Act, with no less than 1% and no more than 10% biodiesel,
1502		-	the tax imposed by this Act applies to (i) 80% of the selling
1503		-	price of property transferred as an incident to the sale of
1504		-	service on or after July 1, 2003 and on or before December 31,
1505		-	2018 and (ii) 100% of the proceeds of the selling price after
1506		-	December 31, 2018 and before January 1, 2024. On and after
1507		-	January 1, 2024 and on or before December 31, 2030, the
1508		-	taxation of biodiesel, renewable diesel, and biodiesel blends
1509		-	shall be as provided in Section 3-5.1 of the Use Tax Act. If,
1510		-	at any time, however, the tax under this Act on sales of
1511		-
1512		-
1513		-	biodiesel blends, as defined in the Use Tax Act, with no less
1514		-	than 1% and no more than 10% biodiesel is imposed at the rate
1515		-	of 1.25%, then the tax imposed by this Act applies to 100% of
1516		-	the proceeds of sales of biodiesel blends with no less than 1%
1517		-	and no more than 10% biodiesel made during that time.
1518		-	With respect to biodiesel, as defined in the Use Tax Act,
1519		-	and biodiesel blends, as defined in the Use Tax Act, with more
1520		-	than 10% but no more than 99% biodiesel, the tax imposed by
1521		-	this Act does not apply to the proceeds of the selling price of
1522		-	property transferred as an incident to the sale of service on
1523		-	or after July 1, 2003 and on or before December 31, 2023. On
1524		-	and after January 1, 2024 and on or before December 31, 2030,
1525		-	the taxation of biodiesel, renewable diesel, and biodiesel
1526		-	blends shall be as provided in Section 3-5.1 of the Use Tax
1527		-	Act.
1528		-	At the election of any registered serviceman made for each
1529		-	fiscal year, sales of service in which the aggregate annual
1530		-	cost price of tangible personal property transferred as an
1531		-	incident to the sales of service is less than 35%, or 75% in
1532		-	the case of servicemen transferring prescription drugs or
1533		-	servicemen engaged in graphic arts production, of the
1534		-	aggregate annual total gross receipts from all sales of
1535		-	service, the tax imposed by this Act shall be based on the
1536		-	serviceman's cost price of the tangible personal property
1537		-	transferred as an incident to the sale of those services.
1538		-	Until July 1, 2022 and from beginning again on July 1, 2023
1539		-
1540		-
1541		-	through December 31, 2025, the tax shall be imposed at the rate
1542		-	of 1% on food prepared for immediate consumption and
1543		-	transferred incident to a sale of service subject to this Act
1544		-	or the Service Occupation Tax Act by an entity licensed under
1545		-	the Hospital Licensing Act, the Nursing Home Care Act, the
1546		-	Assisted Living and Shared Housing Act, the ID/DD Community
1547		-	Care Act, the MC/DD Act, the Specialized Mental Health
1548		-	Rehabilitation Act of 2013, or the Child Care Act of 1969, or
1549		-	an entity that holds a permit issued pursuant to the Life Care
1550		-	Facilities Act. Until July 1, 2022 and from beginning again on
1551		-	July 1, 2023 through December 31, 2025, the tax shall also be
1552		-	imposed at the rate of 1% on food for human consumption that is
1553		-	to be consumed off the premises where it is sold (other than
1554		-	alcoholic beverages, food consisting of or infused with adult
1555		-	use cannabis, soft drinks, and food that has been prepared for
1556		-	immediate consumption and is not otherwise included in this
1557		-	paragraph).
1558		-	Beginning on July 1, 2022 and until July 1, 2023, the tax
1559		-	shall be imposed at the rate of 0% on food prepared for
1560		-	immediate consumption and transferred incident to a sale of
1561		-	service subject to this Act or the Service Occupation Tax Act
1562		-	by an entity licensed under the Hospital Licensing Act, the
1563		-	Nursing Home Care Act, the Assisted Living and Shared Housing
1564		-	Act, the ID/DD Community Care Act, the MC/DD Act, the
1565		-	Specialized Mental Health Rehabilitation Act of 2013, or the
1566		-	Child Care Act of 1969, or an entity that holds a permit issued
1567		-
1568		-
1569		-	pursuant to the Life Care Facilities Act. Beginning on July 1,
1570		-	2022 and until July 1, 2023, the tax shall also be imposed at
1571		-	the rate of 0% on food for human consumption that is to be
1572		-	consumed off the premises where it is sold (other than
1573		-	alcoholic beverages, food consisting of or infused with adult
1574		-	use cannabis, soft drinks, and food that has been prepared for
1575		-	immediate consumption and is not otherwise included in this
1576		-	paragraph).
1577		-	On an after January 1, 2026, food prepared for immediate
1578		-	consumption and transferred incident to a sale of service
1579		-	subject to this Act or the Service Occupation Tax Act by an
1580		-	entity licensed under the Hospital Licensing Act, the Nursing
1581		-	Home Care Act, the Assisted Living and Shared Housing Act, the
1582		-	ID/DD Community Care Act, the MC/DD Act, the Specialized
1583		-	Mental Health Rehabilitation Act of 2013, or the Child Care
1584		-	Act of 1969, or by an entity that holds a permit issued
1585		-	pursuant to the Life Care Facilities Act is exempt from the tax
1586		-	under this Act. On and after January 1, 2026, food for human
1587		-	consumption that is to be consumed off the premises where it is
1588		-	sold (other than alcoholic beverages, food consisting of or
1589		-	infused with adult use cannabis, soft drinks, candy, and food
1590		-	that has been prepared for immediate consumption and is not
1591		-	otherwise included in this paragraph) is exempt from the tax
1592		-	under this Act.
1593		-	The tax shall also be imposed at the rate of 1% on
1594		-	prescription and nonprescription medicines, drugs, medical
1595		-
1596		-
1597		-	appliances, products classified as Class III medical devices
1598		-	by the United States Food and Drug Administration that are
1599		-	used for cancer treatment pursuant to a prescription, as well
1600		-	as any accessories and components related to those devices,
1601		-	modifications to a motor vehicle for the purpose of rendering
1602		-	it usable by a person with a disability, and insulin, blood
1603		-	sugar testing materials, syringes, and needles used by human
1604		-	diabetics. For the purposes of this Section, until September
1605		-	1, 2009: the term "soft drinks" means any complete, finished,
1606		-	ready-to-use, non-alcoholic drink, whether carbonated or not,
1607		-	including, but not limited to, soda water, cola, fruit juice,
1608		-	vegetable juice, carbonated water, and all other preparations
1609		-	commonly known as soft drinks of whatever kind or description
1610		-	that are contained in any closed or sealed bottle, can,
1611		-	carton, or container, regardless of size; but "soft drinks"
1612		-	does not include coffee, tea, non-carbonated water, infant
1613		-	formula, milk or milk products as defined in the Grade A
1614		-	Pasteurized Milk and Milk Products Act, or drinks containing
1615		-	50% or more natural fruit or vegetable juice.
1616		-	Notwithstanding any other provisions of this Act,
1617		-	beginning September 1, 2009, "soft drinks" means non-alcoholic
1618		-	beverages that contain natural or artificial sweeteners. "Soft
1619		-	drinks" does not include beverages that contain milk or milk
1620		-	products, soy, rice or similar milk substitutes, or greater
1621		-	than 50% of vegetable or fruit juice by volume.
1622		-	Until August 1, 2009, and notwithstanding any other
1623		-
1624		-
1625		-	provisions of this Act, "food for human consumption that is to
1626		-	be consumed off the premises where it is sold" includes all
1627		-	food sold through a vending machine, except soft drinks and
1628		-	food products that are dispensed hot from a vending machine,
1629		-	regardless of the location of the vending machine. Beginning
1630		-	August 1, 2009, and notwithstanding any other provisions of
1631		-	this Act, "food for human consumption that is to be consumed
1632		-	off the premises where it is sold" includes all food sold
1633		-	through a vending machine, except soft drinks, candy, and food
1634		-	products that are dispensed hot from a vending machine,
1635		-	regardless of the location of the vending machine.
1636		-	Notwithstanding any other provisions of this Act,
1637		-	beginning September 1, 2009, "food for human consumption that
1638		-	is to be consumed off the premises where it is sold" does not
1639		-	include candy. For purposes of this Section, "candy" means a
1640		-	preparation of sugar, honey, or other natural or artificial
1641		-	sweeteners in combination with chocolate, fruits, nuts or
1642		-	other ingredients or flavorings in the form of bars, drops, or
1643		-	pieces. "Candy" does not include any preparation that contains
1644		-	flour or requires refrigeration.
1645		-	Notwithstanding any other provisions of this Act,
1646		-	beginning September 1, 2009, "nonprescription medicines and
1647		-	drugs" does not include grooming and hygiene products. For
1648		-	purposes of this Section, "grooming and hygiene products"
1649		-	includes, but is not limited to, soaps and cleaning solutions,
1650		-	shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
1651		-
1652		-
1653		-	lotions and screens, unless those products are available by
1654		-	prescription only, regardless of whether the products meet the
1655		-	definition of "over-the-counter-drugs". For the purposes of
1656		-	this paragraph, "over-the-counter-drug" means a drug for human
1657		-	use that contains a label that identifies the product as a drug
1658		-	as required by 21 CFR 201.66. The "over-the-counter-drug"
1659		-	label includes:
1660		-	(A) a "Drug Facts" panel; or
1661		-	(B) a statement of the "active ingredient(s)" with a
1662		-	list of those ingredients contained in the compound,
1663		-	substance or preparation.
1664		-	Beginning on January 1, 2014 (the effective date of Public
1665		-	Act 98-122), "prescription and nonprescription medicines and
1666		-	drugs" includes medical cannabis purchased from a registered
1667		-	dispensing organization under the Compassionate Use of Medical
1668		-	Cannabis Program Act.
1669		-	As used in this Section, "adult use cannabis" means
1670		-	cannabis subject to tax under the Cannabis Cultivation
1671		-	Privilege Tax Law and the Cannabis Purchaser Excise Tax Law
1672		-	and does not include cannabis subject to tax under the
1673		-	Compassionate Use of Medical Cannabis Program Act.
1674		-	If the property that is acquired from a serviceman is
1675		-	acquired outside Illinois and used outside Illinois before
1676		-	being brought to Illinois for use here and is taxable under
1677		-	this Act, the "selling price" on which the tax is computed
1678		-	shall be reduced by an amount that represents a reasonable
1679		-
1680		-
1681		-	allowance for depreciation for the period of prior
1682		-	out-of-state use.
1683		-	(Source: P.A. 102-4, eff. 4-27-21; 102-16, eff. 6-17-21;
1684		-	102-700, Article 20, Section 20-10, eff. 4-19-22; 102-700,
1685		-	Article 60, Section 60-20, eff. 4-19-22; 103-9, eff. 6-7-23;
1686		-	103-154, eff. 6-30-23.)
1687		-	Section 15. The Service Occupation Tax Act is amended by
1688		-	changing Sections 3-5 and 3-10 as follows:
1689		-	(35 ILCS 115/3-5)
1690		-	Sec. 3-5. Exemptions. The following tangible personal
1691		-	property is exempt from the tax imposed by this Act:
1692		-	(1) Personal property sold by a corporation, society,
1693		-	association, foundation, institution, or organization, other
1694		-	than a limited liability company, that is organized and
1695		-	operated as a not-for-profit service enterprise for the
1696		-	benefit of persons 65 years of age or older if the personal
1697		-	property was not purchased by the enterprise for the purpose
1698		-	of resale by the enterprise.
1699		-	(2) Personal property purchased by a not-for-profit
1700		-	Illinois county fair association for use in conducting,
1701		-	operating, or promoting the county fair.
1702		-	(3) Personal property purchased by any not-for-profit arts
1703		-	or cultural organization that establishes, by proof required
1704		-	by the Department by rule, that it has received an exemption
1705		-
1706		-
1707		-	under Section 501(c)(3) of the Internal Revenue Code and that
1708		-	is organized and operated primarily for the presentation or
1709		-	support of arts or cultural programming, activities, or
1710		-	services. These organizations include, but are not limited to,
1711		-	music and dramatic arts organizations such as symphony
1712		-	orchestras and theatrical groups, arts and cultural service
1713		-	organizations, local arts councils, visual arts organizations,
1714		-	and media arts organizations. On and after July 1, 2001 (the
1715		-	effective date of Public Act 92-35), however, an entity
1716		-	otherwise eligible for this exemption shall not make tax-free
1717		-	purchases unless it has an active identification number issued
1718		-	by the Department.
1719		-	(4) Legal tender, currency, medallions, or gold or silver
1720		-	coinage issued by the State of Illinois, the government of the
1721		-	United States of America, or the government of any foreign
1722		-	country, and bullion.
1723		-	(5) Until July 1, 2003 and beginning again on September 1,
1724		-	2004 through August 30, 2014, graphic arts machinery and
1725		-	equipment, including repair and replacement parts, both new
1726		-	and used, and including that manufactured on special order or
1727		-	purchased for lease, certified by the purchaser to be used
1728		-	primarily for graphic arts production. Equipment includes
1729		-	chemicals or chemicals acting as catalysts but only if the
1730		-	chemicals or chemicals acting as catalysts effect a direct and
1731		-	immediate change upon a graphic arts product. Beginning on
1732		-	July 1, 2017, graphic arts machinery and equipment is included
1733		-
1734		-
1735		-	in the manufacturing and assembling machinery and equipment
1736		-	exemption under Section 2 of this Act.
1737		-	(6) Personal property sold by a teacher-sponsored student
1738		-	organization affiliated with an elementary or secondary school
1739		-	located in Illinois.
1740		-	(7) Farm machinery and equipment, both new and used,
1741		-	including that manufactured on special order, certified by the
1742		-	purchaser to be used primarily for production agriculture or
1743		-	State or federal agricultural programs, including individual
1744		-	replacement parts for the machinery and equipment, including
1745		-	machinery and equipment purchased for lease, and including
1746		-	implements of husbandry defined in Section 1-130 of the
1747		-	Illinois Vehicle Code, farm machinery and agricultural
1748		-	chemical and fertilizer spreaders, and nurse wagons required
1749		-	to be registered under Section 3-809 of the Illinois Vehicle
1750		-	Code, but excluding other motor vehicles required to be
1751		-	registered under the Illinois Vehicle Code. Horticultural
1752		-	polyhouses or hoop houses used for propagating, growing, or
1753		-	overwintering plants shall be considered farm machinery and
1754		-	equipment under this item (7). Agricultural chemical tender
1755		-	tanks and dry boxes shall include units sold separately from a
1756		-	motor vehicle required to be licensed and units sold mounted
1757		-	on a motor vehicle required to be licensed if the selling price
1758		-	of the tender is separately stated.
1759		-	Farm machinery and equipment shall include precision
1760		-	farming equipment that is installed or purchased to be
1761		-
1762		-
1763		-	installed on farm machinery and equipment, including, but not
1764		-	limited to, tractors, harvesters, sprayers, planters, seeders,
1765		-	or spreaders. Precision farming equipment includes, but is not
1766		-	limited to, soil testing sensors, computers, monitors,
1767		-	software, global positioning and mapping systems, and other
1768		-	such equipment.
1769		-	Farm machinery and equipment also includes computers,
1770		-	sensors, software, and related equipment used primarily in the
1771		-	computer-assisted operation of production agriculture
1772		-	facilities, equipment, and activities such as, but not limited
1773		-	to, the collection, monitoring, and correlation of animal and
1774		-	crop data for the purpose of formulating animal diets and
1775		-	agricultural chemicals.
1776		-	Beginning on January 1, 2024, farm machinery and equipment
1777		-	also includes electrical power generation equipment used
1778		-	primarily for production agriculture.
1779		-	This item (7) is exempt from the provisions of Section
1780		-	3-55.
1781		-	(8) Until June 30, 2013, fuel and petroleum products sold
1782		-	to or used by an air common carrier, certified by the carrier
1783		-	to be used for consumption, shipment, or storage in the
1784		-	conduct of its business as an air common carrier, for a flight
1785		-	destined for or returning from a location or locations outside
1786		-	the United States without regard to previous or subsequent
1787		-	domestic stopovers.
1788		-	Beginning July 1, 2013, fuel and petroleum products sold
1789		-
1790		-
1791		-	to or used by an air carrier, certified by the carrier to be
1792		-	used for consumption, shipment, or storage in the conduct of
1793		-	its business as an air common carrier, for a flight that (i) is
1794		-	engaged in foreign trade or is engaged in trade between the
1795		-	United States and any of its possessions and (ii) transports
1796		-	at least one individual or package for hire from the city of
1797		-	origination to the city of final destination on the same
1798		-	aircraft, without regard to a change in the flight number of
1799		-	that aircraft.
1800		-	(9) Proceeds of mandatory service charges separately
1801		-	stated on customers' bills for the purchase and consumption of
1802		-	food and beverages, to the extent that the proceeds of the
1803		-	service charge are in fact turned over as tips or as a
1804		-	substitute for tips to the employees who participate directly
1805		-	in preparing, serving, hosting or cleaning up the food or
1806		-	beverage function with respect to which the service charge is
1807		-	imposed.
1808		-	(10) Until July 1, 2003, oil field exploration, drilling,
1809		-	and production equipment, including (i) rigs and parts of
1810		-	rigs, rotary rigs, cable tool rigs, and workover rigs, (ii)
1811		-	pipe and tubular goods, including casing and drill strings,
1812		-	(iii) pumps and pump-jack units, (iv) storage tanks and flow
1813		-	lines, (v) any individual replacement part for oil field
1814		-	exploration, drilling, and production equipment, and (vi)
1815		-	machinery and equipment purchased for lease; but excluding
1816		-	motor vehicles required to be registered under the Illinois
1817		-
1818		-
1819		-	Vehicle Code.
1820		-	(11) Photoprocessing machinery and equipment, including
1821		-	repair and replacement parts, both new and used, including
1822		-	that manufactured on special order, certified by the purchaser
1823		-	to be used primarily for photoprocessing, and including
1824		-	photoprocessing machinery and equipment purchased for lease.
1825		-	(12) Until July 1, 2028, coal and aggregate exploration,
1826		-	mining, off-highway hauling, processing, maintenance, and
1827		-	reclamation equipment, including replacement parts and
1828		-	equipment, and including equipment purchased for lease, but
1829		-	excluding motor vehicles required to be registered under the
1830		-	Illinois Vehicle Code. The changes made to this Section by
1831		-	Public Act 97-767 apply on and after July 1, 2003, but no claim
1832		-	for credit or refund is allowed on or after August 16, 2013
1833		-	(the effective date of Public Act 98-456) for such taxes paid
1834		-	during the period beginning July 1, 2003 and ending on August
1835		-	16, 2013 (the effective date of Public Act 98-456).
1836		-	(13) Beginning January 1, 1992 and through June 30, 2016,
1837		-	food for human consumption that is to be consumed off the
1838		-	premises where it is sold (other than alcoholic beverages,
1839		-	soft drinks and food that has been prepared for immediate
1840		-	consumption) and prescription and non-prescription medicines,
1841		-	drugs, medical appliances, and insulin, urine testing
1842		-	materials, syringes, and needles used by diabetics, for human
1843		-	use, when purchased for use by a person receiving medical
1844		-	assistance under Article V of the Illinois Public Aid Code who
1845		-
1846		-
1847		-	resides in a licensed long-term care facility, as defined in
1848		-	the Nursing Home Care Act, or in a licensed facility as defined
1849		-	in the ID/DD Community Care Act, the MC/DD Act, or the
1850		-	Specialized Mental Health Rehabilitation Act of 2013.
1851		-	(14) Semen used for artificial insemination of livestock
1852		-	for direct agricultural production.
1853		-	(15) Horses, or interests in horses, registered with and
1854		-	meeting the requirements of any of the Arabian Horse Club
1855		-	Registry of America, Appaloosa Horse Club, American Quarter
1856		-	Horse Association, United States Trotting Association, or
1857		-	Jockey Club, as appropriate, used for purposes of breeding or
1858		-	racing for prizes. This item (15) is exempt from the
1859		-	provisions of Section 3-55, and the exemption provided for
1860		-	under this item (15) applies for all periods beginning May 30,
1861		-	1995, but no claim for credit or refund is allowed on or after
1862		-	January 1, 2008 (the effective date of Public Act 95-88) for
1863		-	such taxes paid during the period beginning May 30, 2000 and
1864		-	ending on January 1, 2008 (the effective date of Public Act
1865		-	95-88).
1866		-	(16) Computers and communications equipment utilized for
1867		-	any hospital purpose and equipment used in the diagnosis,
1868		-	analysis, or treatment of hospital patients sold to a lessor
1869		-	who leases the equipment, under a lease of one year or longer
1870		-	executed or in effect at the time of the purchase, to a
1871		-	hospital that has been issued an active tax exemption
1872		-	identification number by the Department under Section 1g of
1873		-
1874		-
1875		-	the Retailers' Occupation Tax Act.
1876		-	(17) Personal property sold to a lessor who leases the
1877		-	property, under a lease of one year or longer executed or in
1878		-	effect at the time of the purchase, to a governmental body that
1879		-	has been issued an active tax exemption identification number
1880		-	by the Department under Section 1g of the Retailers'
1881		-	Occupation Tax Act.
1882		-	(18) Beginning with taxable years ending on or after
1883		-	December 31, 1995 and ending with taxable years ending on or
1884		-	before December 31, 2004, personal property that is donated
1885		-	for disaster relief to be used in a State or federally declared
1886		-	disaster area in Illinois or bordering Illinois by a
1887		-	manufacturer or retailer that is registered in this State to a
1888		-	corporation, society, association, foundation, or institution
1889		-	that has been issued a sales tax exemption identification
1890		-	number by the Department that assists victims of the disaster
1891		-	who reside within the declared disaster area.
1892		-	(19) Beginning with taxable years ending on or after
1893		-	December 31, 1995 and ending with taxable years ending on or
1894		-	before December 31, 2004, personal property that is used in
1895		-	the performance of infrastructure repairs in this State,
1896		-	including, but not limited to, municipal roads and streets,
1897		-	access roads, bridges, sidewalks, waste disposal systems,
1898		-	water and sewer line extensions, water distribution and
1899		-	purification facilities, storm water drainage and retention
1900		-	facilities, and sewage treatment facilities, resulting from a
1901		-
1902		-
1903		-	State or federally declared disaster in Illinois or bordering
1904		-	Illinois when such repairs are initiated on facilities located
1905		-	in the declared disaster area within 6 months after the
1906		-	disaster.
1907		-	(20) Beginning July 1, 1999, game or game birds sold at a
1908		-	"game breeding and hunting preserve area" as that term is used
1909		-	in the Wildlife Code. This paragraph is exempt from the
1910		-	provisions of Section 3-55.
1911		-	(21) A motor vehicle, as that term is defined in Section
1912		-	1-146 of the Illinois Vehicle Code, that is donated to a
1913		-	corporation, limited liability company, society, association,
1914		-	foundation, or institution that is determined by the
1915		-	Department to be organized and operated exclusively for
1916		-	educational purposes. For purposes of this exemption, "a
1917		-	corporation, limited liability company, society, association,
1918		-	foundation, or institution organized and operated exclusively
1919		-	for educational purposes" means all tax-supported public
1920		-	schools, private schools that offer systematic instruction in
1921		-	useful branches of learning by methods common to public
1922		-	schools and that compare favorably in their scope and
1923		-	intensity with the course of study presented in tax-supported
1924		-	schools, and vocational or technical schools or institutes
1925		-	organized and operated exclusively to provide a course of
1926		-	study of not less than 6 weeks duration and designed to prepare
1927		-	individuals to follow a trade or to pursue a manual,
1928		-	technical, mechanical, industrial, business, or commercial
1929		-
1930		-
1931		-	occupation.
1932		-	(22) Beginning January 1, 2000, personal property,
1933		-	including food, purchased through fundraising events for the
1934		-	benefit of a public or private elementary or secondary school,
1935		-	a group of those schools, or one or more school districts if
1936		-	the events are sponsored by an entity recognized by the school
1937		-	district that consists primarily of volunteers and includes
1938		-	parents and teachers of the school children. This paragraph
1939		-	does not apply to fundraising events (i) for the benefit of
1940		-	private home instruction or (ii) for which the fundraising
1941		-	entity purchases the personal property sold at the events from
1942		-	another individual or entity that sold the property for the
1943		-	purpose of resale by the fundraising entity and that profits
1944		-	from the sale to the fundraising entity. This paragraph is
1945		-	exempt from the provisions of Section 3-55.
1946		-	(23) Beginning January 1, 2000 and through December 31,
1947		-	2001, new or used automatic vending machines that prepare and
1948		-	serve hot food and beverages, including coffee, soup, and
1949		-	other items, and replacement parts for these machines.
1950		-	Beginning January 1, 2002 and through June 30, 2003, machines
1951		-	and parts for machines used in commercial, coin-operated
1952		-	amusement and vending business if a use or occupation tax is
1953		-	paid on the gross receipts derived from the use of the
1954		-	commercial, coin-operated amusement and vending machines. This
1955		-	paragraph is exempt from the provisions of Section 3-55.
1956		-	(24) Beginning on August 2, 2001 (the effective date of
1957		-
1958		-
1959		-	Public Act 92-227), computers and communications equipment
1960		-	utilized for any hospital purpose and equipment used in the
1961		-	diagnosis, analysis, or treatment of hospital patients sold to
1962		-	a lessor who leases the equipment, under a lease of one year or
1963		-	longer executed or in effect at the time of the purchase, to a
1964		-	hospital that has been issued an active tax exemption
1965		-	identification number by the Department under Section 1g of
1966		-	the Retailers' Occupation Tax Act. This paragraph is exempt
1967		-	from the provisions of Section 3-55.
1968		-	(25) Beginning on August 2, 2001 (the effective date of
1969		-	Public Act 92-227), personal property sold to a lessor who
1970		-	leases the property, under a lease of one year or longer
1971		-	executed or in effect at the time of the purchase, to a
1972		-	governmental body that has been issued an active tax exemption
1973		-	identification number by the Department under Section 1g of
1974		-	the Retailers' Occupation Tax Act. This paragraph is exempt
1975		-	from the provisions of Section 3-55.
1976		-	(26) Beginning on January 1, 2002 and through June 30,
1977		-	2016, tangible personal property purchased from an Illinois
1978		-	retailer by a taxpayer engaged in centralized purchasing
1979		-	activities in Illinois who will, upon receipt of the property
1980		-	in Illinois, temporarily store the property in Illinois (i)
1981		-	for the purpose of subsequently transporting it outside this
1982		-	State for use or consumption thereafter solely outside this
1983		-	State or (ii) for the purpose of being processed, fabricated,
1984		-	or manufactured into, attached to, or incorporated into other
1985		-
1986		-
1987		-	tangible personal property to be transported outside this
1988		-	State and thereafter used or consumed solely outside this
1989		-	State. The Director of Revenue shall, pursuant to rules
1990		-	adopted in accordance with the Illinois Administrative
1991		-	Procedure Act, issue a permit to any taxpayer in good standing
1992		-	with the Department who is eligible for the exemption under
1993		-	this paragraph (26). The permit issued under this paragraph
1994		-	(26) shall authorize the holder, to the extent and in the
1995		-	manner specified in the rules adopted under this Act, to
1996		-	purchase tangible personal property from a retailer exempt
1997		-	from the taxes imposed by this Act. Taxpayers shall maintain
1998		-	all necessary books and records to substantiate the use and
1999		-	consumption of all such tangible personal property outside of
2000		-	the State of Illinois.
2001		-	(27) Beginning January 1, 2008, tangible personal property
2002		-	used in the construction or maintenance of a community water
2003		-	supply, as defined under Section 3.145 of the Environmental
2004		-	Protection Act, that is operated by a not-for-profit
2005		-	corporation that holds a valid water supply permit issued
2006		-	under Title IV of the Environmental Protection Act. This
2007		-	paragraph is exempt from the provisions of Section 3-55.
2008		-	(28) Tangible personal property sold to a
2009		-	public-facilities corporation, as described in Section
2010		-	11-65-10 of the Illinois Municipal Code, for purposes of
2011		-	constructing or furnishing a municipal convention hall, but
2012		-	only if the legal title to the municipal convention hall is
2013		-
2014		-
2015		-	transferred to the municipality without any further
2016		-	consideration by or on behalf of the municipality at the time
2017		-	of the completion of the municipal convention hall or upon the
2018		-	retirement or redemption of any bonds or other debt
2019		-	instruments issued by the public-facilities corporation in
2020		-	connection with the development of the municipal convention
2021		-	hall. This exemption includes existing public-facilities
2022		-	corporations as provided in Section 11-65-25 of the Illinois
2023		-	Municipal Code. This paragraph is exempt from the provisions
2024		-	of Section 3-55.
2025		-	(29) Beginning January 1, 2010 and continuing through
2026		-	December 31, 2029, materials, parts, equipment, components,
2027		-	and furnishings incorporated into or upon an aircraft as part
2028		-	of the modification, refurbishment, completion, replacement,
2029		-	repair, or maintenance of the aircraft. This exemption
2030		-	includes consumable supplies used in the modification,
2031		-	refurbishment, completion, replacement, repair, and
2032		-	maintenance of aircraft. However, until January 1, 2024, this
2033		-	exemption excludes any materials, parts, equipment,
2034		-	components, and consumable supplies used in the modification,
2035		-	replacement, repair, and maintenance of aircraft engines or
2036		-	power plants, whether such engines or power plants are
2037		-	installed or uninstalled upon any such aircraft. "Consumable
2038		-	supplies" include, but are not limited to, adhesive, tape,
2039		-	sandpaper, general purpose lubricants, cleaning solution,
2040		-	latex gloves, and protective films.
2041		-
2042		-
2043		-	Beginning January 1, 2010 and continuing through December
2044		-	31, 2023, this exemption applies only to the transfer of
2045		-	qualifying tangible personal property incident to the
2046		-	modification, refurbishment, completion, replacement, repair,
2047		-	or maintenance of an aircraft by persons who (i) hold an Air
2048		-	Agency Certificate and are empowered to operate an approved
2049		-	repair station by the Federal Aviation Administration, (ii)
2050		-	have a Class IV Rating, and (iii) conduct operations in
2051		-	accordance with Part 145 of the Federal Aviation Regulations.
2052		-	The exemption does not include aircraft operated by a
2053		-	commercial air carrier providing scheduled passenger air
2054		-	service pursuant to authority issued under Part 121 or Part
2055		-	129 of the Federal Aviation Regulations. From January 1, 2024
2056		-	through December 31, 2029, this exemption applies only to the
2057		-	use of qualifying tangible personal property by: (A) persons
2058		-	who modify, refurbish, complete, repair, replace, or maintain
2059		-	aircraft and who (i) hold an Air Agency Certificate and are
2060		-	empowered to operate an approved repair station by the Federal
2061		-	Aviation Administration, (ii) have a Class IV Rating, and
2062		-	(iii) conduct operations in accordance with Part 145 of the
2063		-	Federal Aviation Regulations; and (B) persons who engage in
2064		-	the modification, replacement, repair, and maintenance of
2065		-	aircraft engines or power plants without regard to whether or
2066		-	not those persons meet the qualifications of item (A).
2067		-	The changes made to this paragraph (29) by Public Act
2068		-	98-534 are declarative of existing law. It is the intent of the
2069		-
2070		-
2071		-	General Assembly that the exemption under this paragraph (29)
2072		-	applies continuously from January 1, 2010 through December 31,
2073		-	2024; however, no claim for credit or refund is allowed for
2074		-	taxes paid as a result of the disallowance of this exemption on
2075		-	or after January 1, 2015 and prior to February 5, 2020 (the
2076		-	effective date of Public Act 101-629).
2077		-	(30) Beginning January 1, 2017 and through December 31,
2078		-	2026, menstrual pads, tampons, and menstrual cups.
2079		-	(31) Tangible personal property transferred to a purchaser
2080		-	who is exempt from tax by operation of federal law. This
2081		-	paragraph is exempt from the provisions of Section 3-55.
2082		-	(32) Qualified tangible personal property used in the
2083		-	construction or operation of a data center that has been
2084		-	granted a certificate of exemption by the Department of
2085		-	Commerce and Economic Opportunity, whether that tangible
2086		-	personal property is purchased by the owner, operator, or
2087		-	tenant of the data center or by a contractor or subcontractor
2088		-	of the owner, operator, or tenant. Data centers that would
2089		-	have qualified for a certificate of exemption prior to January
2090		-	1, 2020 had Public Act 101-31 been in effect, may apply for and
2091		-	obtain an exemption for subsequent purchases of computer
2092		-	equipment or enabling software purchased or leased to upgrade,
2093		-	supplement, or replace computer equipment or enabling software
2094		-	purchased or leased in the original investment that would have
2095		-	qualified.
2096		-	The Department of Commerce and Economic Opportunity shall
2097		-
2098		-
2099		-	grant a certificate of exemption under this item (32) to
2100		-	qualified data centers as defined by Section 605-1025 of the
2101		-	Department of Commerce and Economic Opportunity Law of the
2102		-	Civil Administrative Code of Illinois.
2103		-	For the purposes of this item (32):
2104		-	"Data center" means a building or a series of
2105		-	buildings rehabilitated or constructed to house working
2106		-	servers in one physical location or multiple sites within
2107		-	the State of Illinois.
2108		-	"Qualified tangible personal property" means:
2109		-	electrical systems and equipment; climate control and
2110		-	chilling equipment and systems; mechanical systems and
2111		-	equipment; monitoring and secure systems; emergency
2112		-	generators; hardware; computers; servers; data storage
2113		-	devices; network connectivity equipment; racks; cabinets;
2114		-	telecommunications cabling infrastructure; raised floor
2115		-	systems; peripheral components or systems; software;
2116		-	mechanical, electrical, or plumbing systems; battery
2117		-	systems; cooling systems and towers; temperature control
2118		-	systems; other cabling; and other data center
2119		-	infrastructure equipment and systems necessary to operate
2120		-	qualified tangible personal property, including fixtures;
2121		-	and component parts of any of the foregoing, including
2122		-	installation, maintenance, repair, refurbishment, and
2123		-	replacement of qualified tangible personal property to
2124		-	generate, transform, transmit, distribute, or manage
2125		-
2126		-
2127		-	electricity necessary to operate qualified tangible
2128		-	personal property; and all other tangible personal
2129		-	property that is essential to the operations of a computer
2130		-	data center. The term "qualified tangible personal
2131		-	property" also includes building materials physically
2132		-	incorporated into in to the qualifying data center. To
2133		-	document the exemption allowed under this Section, the
2134		-	retailer must obtain from the purchaser a copy of the
2135		-	certificate of eligibility issued by the Department of
2136		-	Commerce and Economic Opportunity.
2137		-	This item (32) is exempt from the provisions of Section
2138		-	3-55.
2139		-	(33) Beginning July 1, 2022, breast pumps, breast pump
2140		-	collection and storage supplies, and breast pump kits. This
2141		-	item (33) is exempt from the provisions of Section 3-55. As
2142		-	used in this item (33):
2143		-	"Breast pump" means an electrically controlled or
2144		-	manually controlled pump device designed or marketed to be
2145		-	used to express milk from a human breast during lactation,
2146		-	including the pump device and any battery, AC adapter, or
2147		-	other power supply unit that is used to power the pump
2148		-	device and is packaged and sold with the pump device at the
2149		-	time of sale.
2150		-	"Breast pump collection and storage supplies" means
2151		-	items of tangible personal property designed or marketed
2152		-	to be used in conjunction with a breast pump to collect
2153		-
2154		-
2155		-	milk expressed from a human breast and to store collected
2156		-	milk until it is ready for consumption.
2157		-	"Breast pump collection and storage supplies"
2158		-	includes, but is not limited to: breast shields and breast
2159		-	shield connectors; breast pump tubes and tubing adapters;
2160		-	breast pump valves and membranes; backflow protectors and
2161		-	backflow protector adaptors; bottles and bottle caps
2162		-	specific to the operation of the breast pump; and breast
2163		-	milk storage bags.
2164		-	"Breast pump collection and storage supplies" does not
2165		-	include: (1) bottles and bottle caps not specific to the
2166		-	operation of the breast pump; (2) breast pump travel bags
2167		-	and other similar carrying accessories, including ice
2168		-	packs, labels, and other similar products; (3) breast pump
2169		-	cleaning supplies; (4) nursing bras, bra pads, breast
2170		-	shells, and other similar products; and (5) creams,
2171		-	ointments, and other similar products that relieve
2172		-	breastfeeding-related symptoms or conditions of the
2173		-	breasts or nipples, unless sold as part of a breast pump
2174		-	kit that is pre-packaged by the breast pump manufacturer
2175		-	or distributor.
2176		-	"Breast pump kit" means a kit that: (1) contains no
2177		-	more than a breast pump, breast pump collection and
2178		-	storage supplies, a rechargeable battery for operating the
2179		-	breast pump, a breastmilk cooler, bottle stands, ice
2180		-	packs, and a breast pump carrying case; and (2) is
2181		-
2182		-
2183		-	pre-packaged as a breast pump kit by the breast pump
2184		-	manufacturer or distributor.
2185		-	(34) Tangible personal property sold by or on behalf of
2186		-	the State Treasurer pursuant to the Revised Uniform Unclaimed
2187		-	Property Act. This item (34) is exempt from the provisions of
2188		-	Section 3-55.
2189		-	(35) Beginning on January 1, 2024, tangible personal
2190		-	property purchased by an active duty member of the armed
2191		-	forces of the United States who presents valid military
2192		-	identification and purchases the property using a form of
2193		-	payment where the federal government is the payor. The member
2194		-	of the armed forces must complete, at the point of sale, a form
2195		-	prescribed by the Department of Revenue documenting that the
2196		-	transaction is eligible for the exemption under this
2197		-	paragraph. Retailers must keep the form as documentation of
2198		-	the exemption in their records for a period of not less than 6
2199		-	years. "Armed forces of the United States" means the United
2200		-	States Army, Navy, Air Force, Marine Corps, or Coast Guard.
2201		-	This paragraph is exempt from the provisions of Section 3-55.
2202		-	(36) Beginning on January 1, 2026, as further defined in
2203		-	Section 3-10, food prepared for immediate consumption and
2204		-	transferred incident to a sale of service subject to this Act
2205		-	or the Service Use Tax Act by an entity licensed under the
2206		-	Hospital Licensing Act, the Nursing Home Care Act, the
2207		-	Assisted Living and Shared Housing Act, the ID/DD Community
2208		-	Care Act, the MC/DD Act, the Specialized Mental Health
2209		-
2210		-
2211		-	Rehabilitation Act of 2013, or the Child Care Act of 1969 or by
2212		-	an entity that holds a permit issued pursuant to the Life Care
2213		-	Facilities Act. This item (36) is exempt from the provisions
2214		-	of Section 3-55.
2215		-	(37) Beginning on January 1, 2026, as further defined in
2216		-	Section 3-10, food for human consumption that is to be
2217		-	consumed off the premises where it is sold (other than
2218		-	alcoholic beverages, food consisting of or infused with adult
2219		-	use cannabis, soft drinks, candy, and food that has been
2220		-	prepared for immediate consumption). This item (37) is exempt
2221		-	from the provisions of Section 3-55.
2222		-	(Source: P.A. 102-16, eff. 6-17-21; 102-700, Article 70,
2223		-	Section 70-15, eff. 4-19-22; 102-700, Article 75, Section
2224		-	75-15, eff. 4-19-22; 102-1026, eff. 5-27-22; 103-9, Article 5,
2225		-	Section 5-15, eff. 6-7-23; 103-9, Article 15, Section 15-15,
2226		-	eff. 6-7-23; 103-154, eff. 6-30-23; 103-384, eff. 1-1-24;
2227		-	revised 12-12-23.)
2228		-	(35 ILCS 115/3-10) (from Ch. 120, par. 439.103-10)
2229		-	Sec. 3-10. Rate of tax. Unless otherwise provided in this
2230		-	Section, the tax imposed by this Act is at the rate of 6.25% of
2231		-	the "selling price", as defined in Section 2 of the Service Use
2232		-	Tax Act, of the tangible personal property. For the purpose of
2233		-	computing this tax, in no event shall the "selling price" be
2234		-	less than the cost price to the serviceman of the tangible
2235		-	personal property transferred. The selling price of each item
2236		-
2237		-
2238		-	of tangible personal property transferred as an incident of a
2239		-	sale of service may be shown as a distinct and separate item on
2240		-	the serviceman's billing to the service customer. If the
2241		-	selling price is not so shown, the selling price of the
2242		-	tangible personal property is deemed to be 50% of the
2243		-	serviceman's entire billing to the service customer. When,
2244		-	however, a serviceman contracts to design, develop, and
2245		-	produce special order machinery or equipment, the tax imposed
2246		-	by this Act shall be based on the serviceman's cost price of
2247		-	the tangible personal property transferred incident to the
2248		-	completion of the contract.
2249		-	Beginning on July 1, 2000 and through December 31, 2000,
2250		-	with respect to motor fuel, as defined in Section 1.1 of the
2251		-	Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
2252		-	the Use Tax Act, the tax is imposed at the rate of 1.25%.
2253		-	With respect to gasohol, as defined in the Use Tax Act, the
2254		-	tax imposed by this Act shall apply to (i) 70% of the cost
2255		-	price of property transferred as an incident to the sale of
2256		-	service on or after January 1, 1990, and before July 1, 2003,
2257		-	(ii) 80% of the selling price of property transferred as an
2258		-	incident to the sale of service on or after July 1, 2003 and on
2259		-	or before July 1, 2017, (iii) 100% of the selling price of
2260		-	property transferred as an incident to the sale of service
2261		-	after July 1, 2017 and prior to January 1, 2024, (iv) 90% of
2262		-	the selling price of property transferred as an incident to
2263		-	the sale of service on or after January 1, 2024 and on or
2264		-
2265		-
2266		-	before December 31, 2028, and (v) 100% of the selling price of
2267		-	property transferred as an incident to the sale of service
2268		-	after December 31, 2028. If, at any time, however, the tax
2269		-	under this Act on sales of gasohol, as defined in the Use Tax
2270		-	Act, is imposed at the rate of 1.25%, then the tax imposed by
2271		-	this Act applies to 100% of the proceeds of sales of gasohol
2272		-	made during that time.
2273		-	With respect to mid-range ethanol blends, as defined in
2274		-	Section 3-44.3 of the Use Tax Act, the tax imposed by this Act
2275		-	applies to (i) 80% of the selling price of property
2276		-	transferred as an incident to the sale of service on or after
2277		-	January 1, 2024 and on or before December 31, 2028 and (ii)
2278		-	100% of the selling price of property transferred as an
2279		-	incident to the sale of service after December 31, 2028. If, at
2280		-	any time, however, the tax under this Act on sales of mid-range
2281		-	ethanol blends is imposed at the rate of 1.25%, then the tax
2282		-	imposed by this Act applies to 100% of the selling price of
2283		-	mid-range ethanol blends transferred as an incident to the
2284		-	sale of service during that time.
2285		-	With respect to majority blended ethanol fuel, as defined
2286		-	in the Use Tax Act, the tax imposed by this Act does not apply
2287		-	to the selling price of property transferred as an incident to
2288		-	the sale of service on or after July 1, 2003 and on or before
2289		-	December 31, 2028 but applies to 100% of the selling price
2290		-	thereafter.
2291		-	With respect to biodiesel blends, as defined in the Use
2292		-
2293		-
2294		-	Tax Act, with no less than 1% and no more than 10% biodiesel,
2295		-	the tax imposed by this Act applies to (i) 80% of the selling
2296		-	price of property transferred as an incident to the sale of
2297		-	service on or after July 1, 2003 and on or before December 31,
2298		-	2018 and (ii) 100% of the proceeds of the selling price after
2299		-	December 31, 2018 and before January 1, 2024. On and after
2300		-	January 1, 2024 and on or before December 31, 2030, the
2301		-	taxation of biodiesel, renewable diesel, and biodiesel blends
2302		-	shall be as provided in Section 3-5.1 of the Use Tax Act. If,
2303		-	at any time, however, the tax under this Act on sales of
2304		-	biodiesel blends, as defined in the Use Tax Act, with no less
2305		-	than 1% and no more than 10% biodiesel is imposed at the rate
2306		-	of 1.25%, then the tax imposed by this Act applies to 100% of
2307		-	the proceeds of sales of biodiesel blends with no less than 1%
2308		-	and no more than 10% biodiesel made during that time.
2309		-	With respect to biodiesel, as defined in the Use Tax Act,
2310		-	and biodiesel blends, as defined in the Use Tax Act, with more
2311		-	than 10% but no more than 99% biodiesel material, the tax
2312		-	imposed by this Act does not apply to the proceeds of the
2313		-	selling price of property transferred as an incident to the
2314		-	sale of service on or after July 1, 2003 and on or before
2315		-	December 31, 2023. On and after January 1, 2024 and on or
2316		-	before December 31, 2030, the taxation of biodiesel, renewable
2317		-	diesel, and biodiesel blends shall be as provided in Section
2318		-	3-5.1 of the Use Tax Act.
2319		-	At the election of any registered serviceman made for each
2320		-
2321		-
2322		-	fiscal year, sales of service in which the aggregate annual
2323		-	cost price of tangible personal property transferred as an
2324		-	incident to the sales of service is less than 35%, or 75% in
2325		-	the case of servicemen transferring prescription drugs or
2326		-	servicemen engaged in graphic arts production, of the
2327		-	aggregate annual total gross receipts from all sales of
2328		-	service, the tax imposed by this Act shall be based on the
2329		-	serviceman's cost price of the tangible personal property
2330		-	transferred incident to the sale of those services.
2331		-	Until July 1, 2022 and from beginning again on July 1, 2023
2332		-	through December 31, 2025, the tax shall be imposed at the rate
2333		-	of 1% on food prepared for immediate consumption and
2334		-	transferred incident to a sale of service subject to this Act
2335		-	or the Service Use Tax Act by an entity licensed under the
2336		-	Hospital Licensing Act, the Nursing Home Care Act, the
2337		-	Assisted Living and Shared Housing Act, the ID/DD Community
2338		-	Care Act, the MC/DD Act, the Specialized Mental Health
2339		-	Rehabilitation Act of 2013, or the Child Care Act of 1969, or
2340		-	an entity that holds a permit issued pursuant to the Life Care
2341		-	Facilities Act. Until July 1, 2022 and from beginning again on
2342		-	July 1, 2023 through December 31, 2025, the tax shall also be
2343		-	imposed at the rate of 1% on food for human consumption that is
2344		-	to be consumed off the premises where it is sold (other than
2345		-	alcoholic beverages, food consisting of or infused with adult
2346		-	use cannabis, soft drinks, and food that has been prepared for
2347		-	immediate consumption and is not otherwise included in this
2348		-
2349		-
2350		-	paragraph).
2351		-	Beginning on July 1, 2022 and until July 1, 2023, the tax
2352		-	shall be imposed at the rate of 0% on food prepared for
2353		-	immediate consumption and transferred incident to a sale of
2354		-	service subject to this Act or the Service Use Tax Act by an
2355		-	entity licensed under the Hospital Licensing Act, the Nursing
2356		-	Home Care Act, the Assisted Living and Shared Housing Act, the
2357		-	ID/DD Community Care Act, the MC/DD Act, the Specialized
2358		-	Mental Health Rehabilitation Act of 2013, or the Child Care
2359		-	Act of 1969, or an entity that holds a permit issued pursuant
2360		-	to the Life Care Facilities Act. Beginning July 1, 2022 and
2361		-	until July 1, 2023, the tax shall also be imposed at the rate
2362		-	of 0% on food for human consumption that is to be consumed off
2363		-	the premises where it is sold (other than alcoholic beverages,
2364		-	food consisting of or infused with adult use cannabis, soft
2365		-	drinks, and food that has been prepared for immediate
2366		-	consumption and is not otherwise included in this paragraph).
2367		-	On and after January 1, 2026, food prepared for immediate
2368		-	consumption and transferred incident to a sale of service
2369		-	subject to this Act or the Service Use Tax Act by an entity
2370		-	licensed under the Hospital Licensing Act, the Nursing Home
2371		-	Care Act, the Assisted Living and Shared Housing Act, the
2372		-	ID/DD Community Care Act, the MC/DD Act, the Specialized
2373		-	Mental Health Rehabilitation Act of 2013, or the Child Care
2374		-	Act of 1969, or an entity that holds a permit issued pursuant
2375		-	to the Life Care Facilities Act is exempt from the tax imposed
2376		-
2377		-
2378		-	by this Act. On and after January 1, 2026, food for human
2379		-	consumption that is to be consumed off the premises where it is
2380		-	sold (other than alcoholic beverages, food consisting of or
2381		-	infused with adult use cannabis, soft drinks, candy, and food
2382		-	that has been prepared for immediate consumption and is not
2383		-	otherwise included in this paragraph) is exempt from the tax
2384		-	imposed by this Act.
2385		-	The tax shall also be imposed at the rate of 1% on
2386		-	prescription and nonprescription medicines, drugs, medical
2387		-	appliances, products classified as Class III medical devices
2388		-	by the United States Food and Drug Administration that are
2389		-	used for cancer treatment pursuant to a prescription, as well
2390		-	as any accessories and components related to those devices,
2391		-	modifications to a motor vehicle for the purpose of rendering
2392		-	it usable by a person with a disability, and insulin, blood
2393		-	sugar testing materials, syringes, and needles used by human
2394		-	diabetics. For the purposes of this Section, until September
2395		-	1, 2009: the term "soft drinks" means any complete, finished,
2396		-	ready-to-use, non-alcoholic drink, whether carbonated or not,
2397		-	including, but not limited to, soda water, cola, fruit juice,
2398		-	vegetable juice, carbonated water, and all other preparations
2399		-	commonly known as soft drinks of whatever kind or description
2400		-	that are contained in any closed or sealed can, carton, or
2401		-	container, regardless of size; but "soft drinks" does not
2402		-	include coffee, tea, non-carbonated water, infant formula,
2403		-	milk or milk products as defined in the Grade A Pasteurized
2404		-
2405		-
2406		-	Milk and Milk Products Act, or drinks containing 50% or more
2407		-	natural fruit or vegetable juice.
2408		-	Notwithstanding any other provisions of this Act,
2409		-	beginning September 1, 2009, "soft drinks" means non-alcoholic
2410		-	beverages that contain natural or artificial sweeteners. "Soft
2411		-	drinks" does not include beverages that contain milk or milk
2412		-	products, soy, rice or similar milk substitutes, or greater
2413		-	than 50% of vegetable or fruit juice by volume.
2414		-	Until August 1, 2009, and notwithstanding any other
2415		-	provisions of this Act, "food for human consumption that is to
2416		-	be consumed off the premises where it is sold" includes all
2417		-	food sold through a vending machine, except soft drinks and
2418		-	food products that are dispensed hot from a vending machine,
2419		-	regardless of the location of the vending machine. Beginning
2420		-	August 1, 2009, and notwithstanding any other provisions of
2421		-	this Act, "food for human consumption that is to be consumed
2422		-	off the premises where it is sold" includes all food sold
2423		-	through a vending machine, except soft drinks, candy, and food
2424		-	products that are dispensed hot from a vending machine,
2425		-	regardless of the location of the vending machine.
2426		-	Notwithstanding any other provisions of this Act,
2427		-	beginning September 1, 2009, "food for human consumption that
2428		-	is to be consumed off the premises where it is sold" does not
2429		-	include candy. For purposes of this Section, "candy" means a
2430		-	preparation of sugar, honey, or other natural or artificial
2431		-	sweeteners in combination with chocolate, fruits, nuts or
2432		-
2433		-
2434		-	other ingredients or flavorings in the form of bars, drops, or
2435		-	pieces. "Candy" does not include any preparation that contains
2436		-	flour or requires refrigeration.
2437		-	Notwithstanding any other provisions of this Act,
2438		-	beginning September 1, 2009, "nonprescription medicines and
2439		-	drugs" does not include grooming and hygiene products. For
2440		-	purposes of this Section, "grooming and hygiene products"
2441		-	includes, but is not limited to, soaps and cleaning solutions,
2442		-	shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
2443		-	lotions and screens, unless those products are available by
2444		-	prescription only, regardless of whether the products meet the
2445		-	definition of "over-the-counter-drugs". For the purposes of
2446		-	this paragraph, "over-the-counter-drug" means a drug for human
2447		-	use that contains a label that identifies the product as a drug
2448		-	as required by 21 CFR 201.66. The "over-the-counter-drug"
2449		-	label includes:
2450		-	(A) a "Drug Facts" panel; or
2451		-	(B) a statement of the "active ingredient(s)" with a
2452		-	list of those ingredients contained in the compound,
2453		-	substance or preparation.
2454		-	Beginning on January 1, 2014 (the effective date of Public
2455		-	Act 98-122), "prescription and nonprescription medicines and
2456		-	drugs" includes medical cannabis purchased from a registered
2457		-	dispensing organization under the Compassionate Use of Medical
2458		-	Cannabis Program Act.
2459		-	As used in this Section, "adult use cannabis" means
2460		-
2461		-
2462		-	cannabis subject to tax under the Cannabis Cultivation
2463		-	Privilege Tax Law and the Cannabis Purchaser Excise Tax Law
2464		-	and does not include cannabis subject to tax under the
2465		-	Compassionate Use of Medical Cannabis Program Act.
2466		-	(Source: P.A. 102-4, eff. 4-27-21; 102-16, eff. 6-17-21;
2467		-	102-700, Article 20, Section 20-15, eff. 4-19-22; 102-700,
2468		-	Article 60, Section 60-25, eff. 4-19-22; 103-9, eff. 6-7-23;
2469		-	103-154, eff. 6-30-23.)
2470		-	Section 20. The Retailers' Occupation Tax Act is amended
2471		-	by changing Sections 2-5, 2-10, and 2-27 as follows:
2472		-	(35 ILCS 120/2-5)
2473		-	Sec. 2-5. Exemptions. Gross receipts from proceeds from
2474		-	the sale of the following tangible personal property are
2475		-	exempt from the tax imposed by this Act:
2476		-	(1) Farm chemicals.
2477		-	(2) Farm machinery and equipment, both new and used,
2478		-	including that manufactured on special order, certified by
2479		-	the purchaser to be used primarily for production
2480		-	agriculture or State or federal agricultural programs,
2481		-	including individual replacement parts for the machinery
2482		-	and equipment, including machinery and equipment purchased
2483		-	for lease, and including implements of husbandry defined
2484		-	in Section 1-130 of the Illinois Vehicle Code, farm
2485		-	machinery and agricultural chemical and fertilizer
2486		-
2487		-
2488		-	spreaders, and nurse wagons required to be registered
2489		-	under Section 3-809 of the Illinois Vehicle Code, but
2490		-	excluding other motor vehicles required to be registered
2491		-	under the Illinois Vehicle Code. Horticultural polyhouses
2492		-	or hoop houses used for propagating, growing, or
2493		-	overwintering plants shall be considered farm machinery
2494		-	and equipment under this item (2). Agricultural chemical
2495		-	tender tanks and dry boxes shall include units sold
2496		-	separately from a motor vehicle required to be licensed
2497		-	and units sold mounted on a motor vehicle required to be
2498		-	licensed, if the selling price of the tender is separately
2499		-	stated.
2500		-	Farm machinery and equipment shall include precision
2501		-	farming equipment that is installed or purchased to be
2502		-	installed on farm machinery and equipment including, but
2503		-	not limited to, tractors, harvesters, sprayers, planters,
2504		-	seeders, or spreaders. Precision farming equipment
2505		-	includes, but is not limited to, soil testing sensors,
2506		-	computers, monitors, software, global positioning and
2507		-	mapping systems, and other such equipment.
2508		-	Farm machinery and equipment also includes computers,
2509		-	sensors, software, and related equipment used primarily in
2510		-	the computer-assisted operation of production agriculture
2511		-	facilities, equipment, and activities such as, but not
2512		-	limited to, the collection, monitoring, and correlation of
2513		-	animal and crop data for the purpose of formulating animal
2514		-
2515		-
2516		-	diets and agricultural chemicals.
2517		-	Beginning on January 1, 2024, farm machinery and
2518		-	equipment also includes electrical power generation
2519		-	equipment used primarily for production agriculture.
2520		-	This item (2) is exempt from the provisions of Section
2521		-	2-70.
2522		-	(3) Until July 1, 2003, distillation machinery and
2523		-	equipment, sold as a unit or kit, assembled or installed
2524		-	by the retailer, certified by the user to be used only for
2525		-	the production of ethyl alcohol that will be used for
2526		-	consumption as motor fuel or as a component of motor fuel
2527		-	for the personal use of the user, and not subject to sale
2528		-	or resale.
2529		-	(4) Until July 1, 2003 and beginning again September
2530		-	1, 2004 through August 30, 2014, graphic arts machinery
2531		-	and equipment, including repair and replacement parts,
2532		-	both new and used, and including that manufactured on
2533		-	special order or purchased for lease, certified by the
2534		-	purchaser to be used primarily for graphic arts
2535		-	production. Equipment includes chemicals or chemicals
2536		-	acting as catalysts but only if the chemicals or chemicals
2537		-	acting as catalysts effect a direct and immediate change
2538		-	upon a graphic arts product. Beginning on July 1, 2017,
2539		-	graphic arts machinery and equipment is included in the
2540		-	manufacturing and assembling machinery and equipment
2541		-	exemption under paragraph (14).
2542		-
2543		-
2544		-	(5) A motor vehicle that is used for automobile
2545		-	renting, as defined in the Automobile Renting Occupation
2546		-	and Use Tax Act. This paragraph is exempt from the
2547		-	provisions of Section 2-70.
2548		-	(6) Personal property sold by a teacher-sponsored
2549		-	student organization affiliated with an elementary or
2550		-	secondary school located in Illinois.
2551		-	(7) Until July 1, 2003, proceeds of that portion of
2552		-	the selling price of a passenger car the sale of which is
2553		-	subject to the Replacement Vehicle Tax.
2554		-	(8) Personal property sold to an Illinois county fair
2555		-	association for use in conducting, operating, or promoting
2556		-	the county fair.
2557		-	(9) Personal property sold to a not-for-profit arts or
2558		-	cultural organization that establishes, by proof required
2559		-	by the Department by rule, that it has received an
2560		-	exemption under Section 501(c)(3) of the Internal Revenue
2561		-	Code and that is organized and operated primarily for the
2562		-	presentation or support of arts or cultural programming,
2563		-	activities, or services. These organizations include, but
2564		-	are not limited to, music and dramatic arts organizations
2565		-	such as symphony orchestras and theatrical groups, arts
2566		-	and cultural service organizations, local arts councils,
2567		-	visual arts organizations, and media arts organizations.
2568		-	On and after July 1, 2001 (the effective date of Public Act
2569		-	92-35), however, an entity otherwise eligible for this
2570		-
2571		-
2572		-	exemption shall not make tax-free purchases unless it has
2573		-	an active identification number issued by the Department.
2574		-	(10) Personal property sold by a corporation, society,
2575		-	association, foundation, institution, or organization,
2576		-	other than a limited liability company, that is organized
2577		-	and operated as a not-for-profit service enterprise for
2578		-	the benefit of persons 65 years of age or older if the
2579		-	personal property was not purchased by the enterprise for
2580		-	the purpose of resale by the enterprise.
2581		-	(11) Except as otherwise provided in this Section,
2582		-	personal property sold to a governmental body, to a
2583		-	corporation, society, association, foundation, or
2584		-	institution organized and operated exclusively for
2585		-	charitable, religious, or educational purposes, or to a
2586		-	not-for-profit corporation, society, association,
2587		-	foundation, institution, or organization that has no
2588		-	compensated officers or employees and that is organized
2589		-	and operated primarily for the recreation of persons 55
2590		-	years of age or older. A limited liability company may
2591		-	qualify for the exemption under this paragraph only if the
2592		-	limited liability company is organized and operated
2593		-	exclusively for educational purposes. On and after July 1,
2594		-	1987, however, no entity otherwise eligible for this
2595		-	exemption shall make tax-free purchases unless it has an
2596		-	active identification number issued by the Department.
2597		-	(12) (Blank).
2598		-
2599		-
2600		-	(12-5) On and after July 1, 2003 and through June 30,
2601		-	2004, motor vehicles of the second division with a gross
2602		-	vehicle weight in excess of 8,000 pounds that are subject
2603		-	to the commercial distribution fee imposed under Section
2604		-	3-815.1 of the Illinois Vehicle Code. Beginning on July 1,
2605		-	2004 and through June 30, 2005, the use in this State of
2606		-	motor vehicles of the second division: (i) with a gross
2607		-	vehicle weight rating in excess of 8,000 pounds; (ii) that
2608		-	are subject to the commercial distribution fee imposed
2609		-	under Section 3-815.1 of the Illinois Vehicle Code; and
2610		-	(iii) that are primarily used for commercial purposes.
2611		-	Through June 30, 2005, this exemption applies to repair
2612		-	and replacement parts added after the initial purchase of
2613		-	such a motor vehicle if that motor vehicle is used in a
2614		-	manner that would qualify for the rolling stock exemption
2615		-	otherwise provided for in this Act. For purposes of this
2616		-	paragraph, "used for commercial purposes" means the
2617		-	transportation of persons or property in furtherance of
2618		-	any commercial or industrial enterprise whether for-hire
2619		-	or not.
2620		-	(13) Proceeds from sales to owners, lessors, or
2621		-	shippers of tangible personal property that is utilized by
2622		-	interstate carriers for hire for use as rolling stock
2623		-	moving in interstate commerce and equipment operated by a
2624		-	telecommunications provider, licensed as a common carrier
2625		-	by the Federal Communications Commission, which is
2626		-
2627		-
2628		-	permanently installed in or affixed to aircraft moving in
2629		-	interstate commerce.
2630		-	(14) Machinery and equipment that will be used by the
2631		-	purchaser, or a lessee of the purchaser, primarily in the
2632		-	process of manufacturing or assembling tangible personal
2633		-	property for wholesale or retail sale or lease, whether
2634		-	the sale or lease is made directly by the manufacturer or
2635		-	by some other person, whether the materials used in the
2636		-	process are owned by the manufacturer or some other
2637		-	person, or whether the sale or lease is made apart from or
2638		-	as an incident to the seller's engaging in the service
2639		-	occupation of producing machines, tools, dies, jigs,
2640		-	patterns, gauges, or other similar items of no commercial
2641		-	value on special order for a particular purchaser. The
2642		-	exemption provided by this paragraph (14) does not include
2643		-	machinery and equipment used in (i) the generation of
2644		-	electricity for wholesale or retail sale; (ii) the
2645		-	generation or treatment of natural or artificial gas for
2646		-	wholesale or retail sale that is delivered to customers
2647		-	through pipes, pipelines, or mains; or (iii) the treatment
2648		-	of water for wholesale or retail sale that is delivered to
2649		-	customers through pipes, pipelines, or mains. The
2650		-	provisions of Public Act 98-583 are declaratory of
2651		-	existing law as to the meaning and scope of this
2652		-	exemption. Beginning on July 1, 2017, the exemption
2653		-	provided by this paragraph (14) includes, but is not
2654		-
2655		-
2656		-	limited to, graphic arts machinery and equipment, as
2657		-	defined in paragraph (4) of this Section.
2658		-	(15) Proceeds of mandatory service charges separately
2659		-	stated on customers' bills for purchase and consumption of
2660		-	food and beverages, to the extent that the proceeds of the
2661		-	service charge are in fact turned over as tips or as a
2662		-	substitute for tips to the employees who participate
2663		-	directly in preparing, serving, hosting or cleaning up the
2664		-	food or beverage function with respect to which the
2665		-	service charge is imposed.
2666		-	(16) Tangible personal property sold to a purchaser if
2667		-	the purchaser is exempt from use tax by operation of
2668		-	federal law. This paragraph is exempt from the provisions
2669		-	of Section 2-70.
2670		-	(17) Tangible personal property sold to a common
2671		-	carrier by rail or motor that receives the physical
2672		-	possession of the property in Illinois and that transports
2673		-	the property, or shares with another common carrier in the
2674		-	transportation of the property, out of Illinois on a
2675		-	standard uniform bill of lading showing the seller of the
2676		-	property as the shipper or consignor of the property to a
2677		-	destination outside Illinois, for use outside Illinois.
2678		-	(18) Legal tender, currency, medallions, or gold or
2679		-	silver coinage issued by the State of Illinois, the
2680		-	government of the United States of America, or the
2681		-	government of any foreign country, and bullion.
2682		-
2683		-
2684		-	(19) Until July 1, 2003, oil field exploration,
2685		-	drilling, and production equipment, including (i) rigs and
2686		-	parts of rigs, rotary rigs, cable tool rigs, and workover
2687		-	rigs, (ii) pipe and tubular goods, including casing and
2688		-	drill strings, (iii) pumps and pump-jack units, (iv)
2689		-	storage tanks and flow lines, (v) any individual
2690		-	replacement part for oil field exploration, drilling, and
2691		-	production equipment, and (vi) machinery and equipment
2692		-	purchased for lease; but excluding motor vehicles required
2693		-	to be registered under the Illinois Vehicle Code.
2694		-	(20) Photoprocessing machinery and equipment,
2695		-	including repair and replacement parts, both new and used,
2696		-	including that manufactured on special order, certified by
2697		-	the purchaser to be used primarily for photoprocessing,
2698		-	and including photoprocessing machinery and equipment
2699		-	purchased for lease.
2700		-	(21) Until July 1, 2028, coal and aggregate
2701		-	exploration, mining, off-highway hauling, processing,
2702		-	maintenance, and reclamation equipment, including
2703		-	replacement parts and equipment, and including equipment
2704		-	purchased for lease, but excluding motor vehicles required
2705		-	to be registered under the Illinois Vehicle Code. The
2706		-	changes made to this Section by Public Act 97-767 apply on
2707		-	and after July 1, 2003, but no claim for credit or refund
2708		-	is allowed on or after August 16, 2013 (the effective date
2709		-	of Public Act 98-456) for such taxes paid during the
2710		-
2711		-
2712		-	period beginning July 1, 2003 and ending on August 16,
2713		-	2013 (the effective date of Public Act 98-456).
2714		-	(22) Until June 30, 2013, fuel and petroleum products
2715		-	sold to or used by an air carrier, certified by the carrier
2716		-	to be used for consumption, shipment, or storage in the
2717		-	conduct of its business as an air common carrier, for a
2718		-	flight destined for or returning from a location or
2719		-	locations outside the United States without regard to
2720		-	previous or subsequent domestic stopovers.
2721		-	Beginning July 1, 2013, fuel and petroleum products
2722		-	sold to or used by an air carrier, certified by the carrier
2723		-	to be used for consumption, shipment, or storage in the
2724		-	conduct of its business as an air common carrier, for a
2725		-	flight that (i) is engaged in foreign trade or is engaged
2726		-	in trade between the United States and any of its
2727		-	possessions and (ii) transports at least one individual or
2728		-	package for hire from the city of origination to the city
2729		-	of final destination on the same aircraft, without regard
2730		-	to a change in the flight number of that aircraft.
2731		-	(23) A transaction in which the purchase order is
2732		-	received by a florist who is located outside Illinois, but
2733		-	who has a florist located in Illinois deliver the property
2734		-	to the purchaser or the purchaser's donee in Illinois.
2735		-	(24) Fuel consumed or used in the operation of ships,
2736		-	barges, or vessels that are used primarily in or for the
2737		-	transportation of property or the conveyance of persons
2738		-
2739		-
2740		-	for hire on rivers bordering on this State if the fuel is
2741		-	delivered by the seller to the purchaser's barge, ship, or
2742		-	vessel while it is afloat upon that bordering river.
2743		-	(25) Except as provided in item (25-5) of this
2744		-	Section, a motor vehicle sold in this State to a
2745		-	nonresident even though the motor vehicle is delivered to
2746		-	the nonresident in this State, if the motor vehicle is not
2747		-	to be titled in this State, and if a drive-away permit is
2748		-	issued to the motor vehicle as provided in Section 3-603
2749		-	of the Illinois Vehicle Code or if the nonresident
2750		-	purchaser has vehicle registration plates to transfer to
2751		-	the motor vehicle upon returning to his or her home state.
2752		-	The issuance of the drive-away permit or having the
2753		-	out-of-state registration plates to be transferred is
2754		-	prima facie evidence that the motor vehicle will not be
2755		-	titled in this State.
2756		-	(25-5) The exemption under item (25) does not apply if
2757		-	the state in which the motor vehicle will be titled does
2758		-	not allow a reciprocal exemption for a motor vehicle sold
2759		-	and delivered in that state to an Illinois resident but
2760		-	titled in Illinois. The tax collected under this Act on
2761		-	the sale of a motor vehicle in this State to a resident of
2762		-	another state that does not allow a reciprocal exemption
2763		-	shall be imposed at a rate equal to the state's rate of tax
2764		-	on taxable property in the state in which the purchaser is
2765		-	a resident, except that the tax shall not exceed the tax
2766		-
2767		-
2768		-	that would otherwise be imposed under this Act. At the
2769		-	time of the sale, the purchaser shall execute a statement,
2770		-	signed under penalty of perjury, of his or her intent to
2771		-	title the vehicle in the state in which the purchaser is a
2772		-	resident within 30 days after the sale and of the fact of
2773		-	the payment to the State of Illinois of tax in an amount
2774		-	equivalent to the state's rate of tax on taxable property
2775		-	in his or her state of residence and shall submit the
2776		-	statement to the appropriate tax collection agency in his
2777		-	or her state of residence. In addition, the retailer must
2778		-	retain a signed copy of the statement in his or her
2779		-	records. Nothing in this item shall be construed to
2780		-	require the removal of the vehicle from this state
2781		-	following the filing of an intent to title the vehicle in
2782		-	the purchaser's state of residence if the purchaser titles
2783		-	the vehicle in his or her state of residence within 30 days
2784		-	after the date of sale. The tax collected under this Act in
2785		-	accordance with this item (25-5) shall be proportionately
2786		-	distributed as if the tax were collected at the 6.25%
2787		-	general rate imposed under this Act.
2788		-	(25-7) Beginning on July 1, 2007, no tax is imposed
2789		-	under this Act on the sale of an aircraft, as defined in
2790		-	Section 3 of the Illinois Aeronautics Act, if all of the
2791		-	following conditions are met:
2792		-	(1) the aircraft leaves this State within 15 days
2793		-	after the later of either the issuance of the final
2794		-
2795		-
2796		-	billing for the sale of the aircraft, or the
2797		-	authorized approval for return to service, completion
2798		-	of the maintenance record entry, and completion of the
2799		-	test flight and ground test for inspection, as
2800		-	required by 14 CFR 91.407;
2801		-	(2) the aircraft is not based or registered in
2802		-	this State after the sale of the aircraft; and
2803		-	(3) the seller retains in his or her books and
2804		-	records and provides to the Department a signed and
2805		-	dated certification from the purchaser, on a form
2806		-	prescribed by the Department, certifying that the
2807		-	requirements of this item (25-7) are met. The
2808		-	certificate must also include the name and address of
2809		-	the purchaser, the address of the location where the
2810		-	aircraft is to be titled or registered, the address of
2811		-	the primary physical location of the aircraft, and
2812		-	other information that the Department may reasonably
2813		-	require.
2814		-	For purposes of this item (25-7):
2815		-	"Based in this State" means hangared, stored, or
2816		-	otherwise used, excluding post-sale customizations as
2817		-	defined in this Section, for 10 or more days in each
2818		-	12-month period immediately following the date of the sale
2819		-	of the aircraft.
2820		-	"Registered in this State" means an aircraft
2821		-	registered with the Department of Transportation,
2822		-
2823		-
2824		-	Aeronautics Division, or titled or registered with the
2825		-	Federal Aviation Administration to an address located in
2826		-	this State.
2827		-	This paragraph (25-7) is exempt from the provisions of
2828		-	Section 2-70.
2829		-	(26) Semen used for artificial insemination of
2830		-	livestock for direct agricultural production.
2831		-	(27) Horses, or interests in horses, registered with
2832		-	and meeting the requirements of any of the Arabian Horse
2833		-	Club Registry of America, Appaloosa Horse Club, American
2834		-	Quarter Horse Association, United States Trotting
2835		-	Association, or Jockey Club, as appropriate, used for
2836		-	purposes of breeding or racing for prizes. This item (27)
2837		-	is exempt from the provisions of Section 2-70, and the
2838		-	exemption provided for under this item (27) applies for
2839		-	all periods beginning May 30, 1995, but no claim for
2840		-	credit or refund is allowed on or after January 1, 2008
2841		-	(the effective date of Public Act 95-88) for such taxes
2842		-	paid during the period beginning May 30, 2000 and ending
2843		-	on January 1, 2008 (the effective date of Public Act
2844		-	95-88).
2845		-	(28) Computers and communications equipment utilized
2846		-	for any hospital purpose and equipment used in the
2847		-	diagnosis, analysis, or treatment of hospital patients
2848		-	sold to a lessor who leases the equipment, under a lease of
2849		-	one year or longer executed or in effect at the time of the
2850		-
2851		-
2852		-	purchase, to a hospital that has been issued an active tax
2853		-	exemption identification number by the Department under
2854		-	Section 1g of this Act.
2855		-	(29) Personal property sold to a lessor who leases the
2856		-	property, under a lease of one year or longer executed or
2857		-	in effect at the time of the purchase, to a governmental
2858		-	body that has been issued an active tax exemption
2859		-	identification number by the Department under Section 1g
2860		-	of this Act.
2861		-	(30) Beginning with taxable years ending on or after
2862		-	December 31, 1995 and ending with taxable years ending on
2863		-	or before December 31, 2004, personal property that is
2864		-	donated for disaster relief to be used in a State or
2865		-	federally declared disaster area in Illinois or bordering
2866		-	Illinois by a manufacturer or retailer that is registered
2867		-	in this State to a corporation, society, association,
2868		-	foundation, or institution that has been issued a sales
2869		-	tax exemption identification number by the Department that
2870		-	assists victims of the disaster who reside within the
2871		-	declared disaster area.
2872		-	(31) Beginning with taxable years ending on or after
2873		-	December 31, 1995 and ending with taxable years ending on
2874		-	or before December 31, 2004, personal property that is
2875		-	used in the performance of infrastructure repairs in this
2876		-	State, including, but not limited to, municipal roads and
2877		-	streets, access roads, bridges, sidewalks, waste disposal
2878		-
2879		-
2880		-	systems, water and sewer line extensions, water
2881		-	distribution and purification facilities, storm water
2882		-	drainage and retention facilities, and sewage treatment
2883		-	facilities, resulting from a State or federally declared
2884		-	disaster in Illinois or bordering Illinois when such
2885		-	repairs are initiated on facilities located in the
2886		-	declared disaster area within 6 months after the disaster.
2887		-	(32) Beginning July 1, 1999, game or game birds sold
2888		-	at a "game breeding and hunting preserve area" as that
2889		-	term is used in the Wildlife Code. This paragraph is
2890		-	exempt from the provisions of Section 2-70.
2891		-	(33) A motor vehicle, as that term is defined in
2892		-	Section 1-146 of the Illinois Vehicle Code, that is
2893		-	donated to a corporation, limited liability company,
2894		-	society, association, foundation, or institution that is
2895		-	determined by the Department to be organized and operated
2896		-	exclusively for educational purposes. For purposes of this
2897		-	exemption, "a corporation, limited liability company,
2898		-	society, association, foundation, or institution organized
2899		-	and operated exclusively for educational purposes" means
2900		-	all tax-supported public schools, private schools that
2901		-	offer systematic instruction in useful branches of
2902		-	learning by methods common to public schools and that
2903		-	compare favorably in their scope and intensity with the
2904		-	course of study presented in tax-supported schools, and
2905		-	vocational or technical schools or institutes organized
2906		-
2907		-
2908		-	and operated exclusively to provide a course of study of
2909		-	not less than 6 weeks duration and designed to prepare
2910		-	individuals to follow a trade or to pursue a manual,
2911		-	technical, mechanical, industrial, business, or commercial
2912		-	occupation.
2913		-	(34) Beginning January 1, 2000, personal property,
2914		-	including food, purchased through fundraising events for
2915		-	the benefit of a public or private elementary or secondary
2916		-	school, a group of those schools, or one or more school
2917		-	districts if the events are sponsored by an entity
2918		-	recognized by the school district that consists primarily
2919		-	of volunteers and includes parents and teachers of the
2920		-	school children. This paragraph does not apply to
2921		-	fundraising events (i) for the benefit of private home
2922		-	instruction or (ii) for which the fundraising entity
2923		-	purchases the personal property sold at the events from
2924		-	another individual or entity that sold the property for
2925		-	the purpose of resale by the fundraising entity and that
2926		-	profits from the sale to the fundraising entity. This
2927		-	paragraph is exempt from the provisions of Section 2-70.
2928		-	(35) Beginning January 1, 2000 and through December
2929		-	31, 2001, new or used automatic vending machines that
2930		-	prepare and serve hot food and beverages, including
2931		-	coffee, soup, and other items, and replacement parts for
2932		-	these machines. Beginning January 1, 2002 and through June
2933		-	30, 2003, machines and parts for machines used in
2934		-
2935		-
2936		-	commercial, coin-operated amusement and vending business
2937		-	if a use or occupation tax is paid on the gross receipts
2938		-	derived from the use of the commercial, coin-operated
2939		-	amusement and vending machines. This paragraph is exempt
2940		-	from the provisions of Section 2-70.
2941		-	(35-5) Beginning August 23, 2001 and through June 30,
2942		-	2016, food for human consumption that is to be consumed
2943		-	off the premises where it is sold (other than alcoholic
2944		-	beverages, soft drinks, and food that has been prepared
2945		-	for immediate consumption) and prescription and
2946		-	nonprescription medicines, drugs, medical appliances, and
2947		-	insulin, urine testing materials, syringes, and needles
2948		-	used by diabetics, for human use, when purchased for use
2949		-	by a person receiving medical assistance under Article V
2950		-	of the Illinois Public Aid Code who resides in a licensed
2951		-	long-term care facility, as defined in the Nursing Home
2952		-	Care Act, or a licensed facility as defined in the ID/DD
2953		-	Community Care Act, the MC/DD Act, or the Specialized
2954		-	Mental Health Rehabilitation Act of 2013.
2955		-	(36) Beginning August 2, 2001, computers and
2956		-	communications equipment utilized for any hospital purpose
2957		-	and equipment used in the diagnosis, analysis, or
2958		-	treatment of hospital patients sold to a lessor who leases
2959		-	the equipment, under a lease of one year or longer
2960		-	executed or in effect at the time of the purchase, to a
2961		-	hospital that has been issued an active tax exemption
2962		-
2963		-
2964		-	identification number by the Department under Section 1g
2965		-	of this Act. This paragraph is exempt from the provisions
2966		-	of Section 2-70.
2967		-	(37) Beginning August 2, 2001, personal property sold
2968		-	to a lessor who leases the property, under a lease of one
2969		-	year or longer executed or in effect at the time of the
2970		-	purchase, to a governmental body that has been issued an
2971		-	active tax exemption identification number by the
2972		-	Department under Section 1g of this Act. This paragraph is
2973		-	exempt from the provisions of Section 2-70.
2974		-	(38) Beginning on January 1, 2002 and through June 30,
2975		-	2016, tangible personal property purchased from an
2976		-	Illinois retailer by a taxpayer engaged in centralized
2977		-	purchasing activities in Illinois who will, upon receipt
2978		-	of the property in Illinois, temporarily store the
2979		-	property in Illinois (i) for the purpose of subsequently
2980		-	transporting it outside this State for use or consumption
2981		-	thereafter solely outside this State or (ii) for the
2982		-	purpose of being processed, fabricated, or manufactured
2983		-	into, attached to, or incorporated into other tangible
2984		-	personal property to be transported outside this State and
2985		-	thereafter used or consumed solely outside this State. The
2986		-	Director of Revenue shall, pursuant to rules adopted in
2987		-	accordance with the Illinois Administrative Procedure Act,
2988		-	issue a permit to any taxpayer in good standing with the
2989		-	Department who is eligible for the exemption under this
2990		-
2991		-
2992		-	paragraph (38). The permit issued under this paragraph
2993		-	(38) shall authorize the holder, to the extent and in the
2994		-	manner specified in the rules adopted under this Act, to
2995		-	purchase tangible personal property from a retailer exempt
2996		-	from the taxes imposed by this Act. Taxpayers shall
2997		-	maintain all necessary books and records to substantiate
2998		-	the use and consumption of all such tangible personal
2999		-	property outside of the State of Illinois.
3000		-	(39) Beginning January 1, 2008, tangible personal
3001		-	property used in the construction or maintenance of a
3002		-	community water supply, as defined under Section 3.145 of
3003		-	the Environmental Protection Act, that is operated by a
3004		-	not-for-profit corporation that holds a valid water supply
3005		-	permit issued under Title IV of the Environmental
3006		-	Protection Act. This paragraph is exempt from the
3007		-	provisions of Section 2-70.
3008		-	(40) Beginning January 1, 2010 and continuing through
3009		-	December 31, 2029, materials, parts, equipment,
3010		-	components, and furnishings incorporated into or upon an
3011		-	aircraft as part of the modification, refurbishment,
3012		-	completion, replacement, repair, or maintenance of the
3013		-	aircraft. This exemption includes consumable supplies used
3014		-	in the modification, refurbishment, completion,
3015		-	replacement, repair, and maintenance of aircraft. However,
3016		-	until January 1, 2024, this exemption excludes any
3017		-	materials, parts, equipment, components, and consumable
3018		-
3019		-
3020		-	supplies used in the modification, replacement, repair,
3021		-	and maintenance of aircraft engines or power plants,
3022		-	whether such engines or power plants are installed or
3023		-	uninstalled upon any such aircraft. "Consumable supplies"
3024		-	include, but are not limited to, adhesive, tape,
3025		-	sandpaper, general purpose lubricants, cleaning solution,
3026		-	latex gloves, and protective films.
3027		-	Beginning January 1, 2010 and continuing through
3028		-	December 31, 2023, this exemption applies only to the sale
3029		-	of qualifying tangible personal property to persons who
3030		-	modify, refurbish, complete, replace, or maintain an
3031		-	aircraft and who (i) hold an Air Agency Certificate and
3032		-	are empowered to operate an approved repair station by the
3033		-	Federal Aviation Administration, (ii) have a Class IV
3034		-	Rating, and (iii) conduct operations in accordance with
3035		-	Part 145 of the Federal Aviation Regulations. The
3036		-	exemption does not include aircraft operated by a
3037		-	commercial air carrier providing scheduled passenger air
3038		-	service pursuant to authority issued under Part 121 or
3039		-	Part 129 of the Federal Aviation Regulations. From January
3040		-	1, 2024 through December 31, 2029, this exemption applies
3041		-	only to the use of qualifying tangible personal property
3042		-	by: (A) persons who modify, refurbish, complete, repair,
3043		-	replace, or maintain aircraft and who (i) hold an Air
3044		-	Agency Certificate and are empowered to operate an
3045		-	approved repair station by the Federal Aviation
3046		-
3047		-
3048		-	Administration, (ii) have a Class IV Rating, and (iii)
3049		-	conduct operations in accordance with Part 145 of the
3050		-	Federal Aviation Regulations; and (B) persons who engage
3051		-	in the modification, replacement, repair, and maintenance
3052		-	of aircraft engines or power plants without regard to
3053		-	whether or not those persons meet the qualifications of
3054		-	item (A).
3055		-	The changes made to this paragraph (40) by Public Act
3056		-	98-534 are declarative of existing law. It is the intent
3057		-	of the General Assembly that the exemption under this
3058		-	paragraph (40) applies continuously from January 1, 2010
3059		-	through December 31, 2024; however, no claim for credit or
3060		-	refund is allowed for taxes paid as a result of the
3061		-	disallowance of this exemption on or after January 1, 2015
3062		-	and prior to February 5, 2020 (the effective date of
3063		-	Public Act 101-629).
3064		-	(41) Tangible personal property sold to a
3065		-	public-facilities corporation, as described in Section
3066		-	11-65-10 of the Illinois Municipal Code, for purposes of
3067		-	constructing or furnishing a municipal convention hall,
3068		-	but only if the legal title to the municipal convention
3069		-	hall is transferred to the municipality without any
3070		-	further consideration by or on behalf of the municipality
3071		-	at the time of the completion of the municipal convention
3072		-	hall or upon the retirement or redemption of any bonds or
3073		-	other debt instruments issued by the public-facilities
3074		-
3075		-
3076		-	corporation in connection with the development of the
3077		-	municipal convention hall. This exemption includes
3078		-	existing public-facilities corporations as provided in
3079		-	Section 11-65-25 of the Illinois Municipal Code. This
3080		-	paragraph is exempt from the provisions of Section 2-70.
3081		-	(42) Beginning January 1, 2017 and through December
3082		-	31, 2026, menstrual pads, tampons, and menstrual cups.
3083		-	(43) Merchandise that is subject to the Rental
3084		-	Purchase Agreement Occupation and Use Tax. The purchaser
3085		-	must certify that the item is purchased to be rented
3086		-	subject to a rental-purchase rental purchase agreement, as
3087		-	defined in the Rental-Purchase Rental Purchase Agreement
3088		-	Act, and provide proof of registration under the Rental
3089		-	Purchase Agreement Occupation and Use Tax Act. This
3090		-	paragraph is exempt from the provisions of Section 2-70.
3091		-	(44) Qualified tangible personal property used in the
3092		-	construction or operation of a data center that has been
3093		-	granted a certificate of exemption by the Department of
3094		-	Commerce and Economic Opportunity, whether that tangible
3095		-	personal property is purchased by the owner, operator, or
3096		-	tenant of the data center or by a contractor or
3097		-	subcontractor of the owner, operator, or tenant. Data
3098		-	centers that would have qualified for a certificate of
3099		-	exemption prior to January 1, 2020 had Public Act 101-31
3100		-	been in effect, may apply for and obtain an exemption for
3101		-	subsequent purchases of computer equipment or enabling
3102		-
3103		-
3104		-	software purchased or leased to upgrade, supplement, or
3105		-	replace computer equipment or enabling software purchased
3106		-	or leased in the original investment that would have
3107		-	qualified.
3108		-	The Department of Commerce and Economic Opportunity
3109		-	shall grant a certificate of exemption under this item
3110		-	(44) to qualified data centers as defined by Section
3111		-	605-1025 of the Department of Commerce and Economic
3112		-	Opportunity Law of the Civil Administrative Code of
3113		-	Illinois.
3114		-	For the purposes of this item (44):
3115		-	"Data center" means a building or a series of
3116		-	buildings rehabilitated or constructed to house
3117		-	working servers in one physical location or multiple
3118		-	sites within the State of Illinois.
3119		-	"Qualified tangible personal property" means:
3120		-	electrical systems and equipment; climate control and
3121		-	chilling equipment and systems; mechanical systems and
3122		-	equipment; monitoring and secure systems; emergency
3123		-	generators; hardware; computers; servers; data storage
3124		-	devices; network connectivity equipment; racks;
3125		-	cabinets; telecommunications cabling infrastructure;
3126		-	raised floor systems; peripheral components or
3127		-	systems; software; mechanical, electrical, or plumbing
3128		-	systems; battery systems; cooling systems and towers;
3129		-	temperature control systems; other cabling; and other
3130		-
3131		-
3132		-	data center infrastructure equipment and systems
3133		-	necessary to operate qualified tangible personal
3134		-	property, including fixtures; and component parts of
3135		-	any of the foregoing, including installation,
3136		-	maintenance, repair, refurbishment, and replacement of
3137		-	qualified tangible personal property to generate,
3138		-	transform, transmit, distribute, or manage electricity
3139		-	necessary to operate qualified tangible personal
3140		-	property; and all other tangible personal property
3141		-	that is essential to the operations of a computer data
3142		-	center. The term "qualified tangible personal
3143		-	property" also includes building materials physically
3144		-	incorporated into the qualifying data center. To
3145		-	document the exemption allowed under this Section, the
3146		-	retailer must obtain from the purchaser a copy of the
3147		-	certificate of eligibility issued by the Department of
3148		-	Commerce and Economic Opportunity.
3149		-	This item (44) is exempt from the provisions of
3150		-	Section 2-70.
3151		-	(45) Beginning January 1, 2020 and through December
3152		-	31, 2020, sales of tangible personal property made by a
3153		-	marketplace seller over a marketplace for which tax is due
3154		-	under this Act but for which use tax has been collected and
3155		-	remitted to the Department by a marketplace facilitator
3156		-	under Section 2d of the Use Tax Act are exempt from tax
3157		-	under this Act. A marketplace seller claiming this
3158		-
3159		-
3160		-	exemption shall maintain books and records demonstrating
3161		-	that the use tax on such sales has been collected and
3162		-	remitted by a marketplace facilitator. Marketplace sellers
3163		-	that have properly remitted tax under this Act on such
3164		-	sales may file a claim for credit as provided in Section 6
3165		-	of this Act. No claim is allowed, however, for such taxes
3166		-	for which a credit or refund has been issued to the
3167		-	marketplace facilitator under the Use Tax Act, or for
3168		-	which the marketplace facilitator has filed a claim for
3169		-	credit or refund under the Use Tax Act.
3170		-	(46) Beginning July 1, 2022, breast pumps, breast pump
3171		-	collection and storage supplies, and breast pump kits.
3172		-	This item (46) is exempt from the provisions of Section
3173		-	2-70. As used in this item (46):
3174		-	"Breast pump" means an electrically controlled or
3175		-	manually controlled pump device designed or marketed to be
3176		-	used to express milk from a human breast during lactation,
3177		-	including the pump device and any battery, AC adapter, or
3178		-	other power supply unit that is used to power the pump
3179		-	device and is packaged and sold with the pump device at the
3180		-	time of sale.
3181		-	"Breast pump collection and storage supplies" means
3182		-	items of tangible personal property designed or marketed
3183		-	to be used in conjunction with a breast pump to collect
3184		-	milk expressed from a human breast and to store collected
3185		-	milk until it is ready for consumption.
3186		-
3187		-
3188		-	"Breast pump collection and storage supplies"
3189		-	includes, but is not limited to: breast shields and breast
3190		-	shield connectors; breast pump tubes and tubing adapters;
3191		-	breast pump valves and membranes; backflow protectors and
3192		-	backflow protector adaptors; bottles and bottle caps
3193		-	specific to the operation of the breast pump; and breast
3194		-	milk storage bags.
3195		-	"Breast pump collection and storage supplies" does not
3196		-	include: (1) bottles and bottle caps not specific to the
3197		-	operation of the breast pump; (2) breast pump travel bags
3198		-	and other similar carrying accessories, including ice
3199		-	packs, labels, and other similar products; (3) breast pump
3200		-	cleaning supplies; (4) nursing bras, bra pads, breast
3201		-	shells, and other similar products; and (5) creams,
3202		-	ointments, and other similar products that relieve
3203		-	breastfeeding-related symptoms or conditions of the
3204		-	breasts or nipples, unless sold as part of a breast pump
3205		-	kit that is pre-packaged by the breast pump manufacturer
3206		-	or distributor.
3207		-	"Breast pump kit" means a kit that: (1) contains no
3208		-	more than a breast pump, breast pump collection and
3209		-	storage supplies, a rechargeable battery for operating the
3210		-	breast pump, a breastmilk cooler, bottle stands, ice
3211		-	packs, and a breast pump carrying case; and (2) is
3212		-	pre-packaged as a breast pump kit by the breast pump
3213		-	manufacturer or distributor.
3214		-
3215		-
3216		-	(47) Tangible personal property sold by or on behalf
3217		-	of the State Treasurer pursuant to the Revised Uniform
3218		-	Unclaimed Property Act. This item (47) is exempt from the
3219		-	provisions of Section 2-70.
3220		-	(48) Beginning on January 1, 2024, tangible personal
3221		-	property purchased by an active duty member of the armed
3222		-	forces of the United States who presents valid military
3223		-	identification and purchases the property using a form of
3224		-	payment where the federal government is the payor. The
3225		-	member of the armed forces must complete, at the point of
3226		-	sale, a form prescribed by the Department of Revenue
3227		-	documenting that the transaction is eligible for the
3228		-	exemption under this paragraph. Retailers must keep the
3229		-	form as documentation of the exemption in their records
3230		-	for a period of not less than 6 years. "Armed forces of the
3231		-	United States" means the United States Army, Navy, Air
3232		-	Force, Marine Corps, or Coast Guard. This paragraph is
3233		-	exempt from the provisions of Section 2-70.
3234		-	(49) Beginning on January 1, 2026, as further defined
3235		-	in Section 2-10, food for human consumption that is to be
3236		-	consumed off the premises where it is sold (other than
3237		-	alcoholic beverages, food consisting of or infused with
3238		-	adult use cannabis, soft drinks, candy, and food that has
3239		-	been prepared for immediate consumption). This item (49)
3240		-	is exempt from the provisions of Section 2-70.
3241		-	(Source: P.A. 102-16, eff. 6-17-21; 102-634, eff. 8-27-21;
3242		-
3243		-
3244		-	102-700, Article 70, Section 70-20, eff. 4-19-22; 102-700,
3245		-	Article 75, Section 75-20, eff. 4-19-22; 102-813, eff.
3246		-	5-13-22; 102-1026, eff. 5-27-22; 103-9, Article 5, Section
3247		-	5-20, eff. 6-7-23; 103-9, Article 15, Section 15-20, eff.
3248		-	6-7-23; 103-154, eff. 6-30-23; 103-384, eff. 1-1-24; revised
3249		-	12-12-23.)
3250		-	(35 ILCS 120/2-10)
3251		-	Sec. 2-10. Rate of tax. Unless otherwise provided in this
3252		-	Section, the tax imposed by this Act is at the rate of 6.25% of
3253		-	gross receipts from sales of tangible personal property made
3254		-	in the course of business.
3255		-	Beginning on July 1, 2000 and through December 31, 2000,
3256		-	with respect to motor fuel, as defined in Section 1.1 of the
3257		-	Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
3258		-	the Use Tax Act, the tax is imposed at the rate of 1.25%.
3259		-	Beginning on August 6, 2010 through August 15, 2010, and
3260		-	beginning again on August 5, 2022 through August 14, 2022,
3261		-	with respect to sales tax holiday items as defined in Section
3262		-	2-8 of this Act, the tax is imposed at the rate of 1.25%.
3263		-	Within 14 days after July 1, 2000 (the effective date of
3264		-	Public Act 91-872), each retailer of motor fuel and gasohol
3265		-	shall cause the following notice to be posted in a prominently
3266		-	visible place on each retail dispensing device that is used to
3267		-	dispense motor fuel or gasohol in the State of Illinois: "As of
3268		-	July 1, 2000, the State of Illinois has eliminated the State's
3269		-
3270		-
3271		-	share of sales tax on motor fuel and gasohol through December
3272		-	31, 2000. The price on this pump should reflect the
3273		-	elimination of the tax." The notice shall be printed in bold
3274		-	print on a sign that is no smaller than 4 inches by 8 inches.
3275		-	The sign shall be clearly visible to customers. Any retailer
3276		-	who fails to post or maintain a required sign through December
3277		-	31, 2000 is guilty of a petty offense for which the fine shall
3278		-	be $500 per day per each retail premises where a violation
3279		-	occurs.
3280		-	With respect to gasohol, as defined in the Use Tax Act, the
3281		-	tax imposed by this Act applies to (i) 70% of the proceeds of
3282		-	sales made on or after January 1, 1990, and before July 1,
3283		-	2003, (ii) 80% of the proceeds of sales made on or after July
3284		-	1, 2003 and on or before July 1, 2017, (iii) 100% of the
3285		-	proceeds of sales made after July 1, 2017 and prior to January
3286		-	1, 2024, (iv) 90% of the proceeds of sales made on or after
3287		-	January 1, 2024 and on or before December 31, 2028, and (v)
3288		-	100% of the proceeds of sales made after December 31, 2028. If,
3289		-	at any time, however, the tax under this Act on sales of
3290		-	gasohol, as defined in the Use Tax Act, is imposed at the rate
3291		-	of 1.25%, then the tax imposed by this Act applies to 100% of
3292		-	the proceeds of sales of gasohol made during that time.
3293		-	With respect to mid-range ethanol blends, as defined in
3294		-	Section 3-44.3 of the Use Tax Act, the tax imposed by this Act
3295		-	applies to (i) 80% of the proceeds of sales made on or after
3296		-	January 1, 2024 and on or before December 31, 2028 and (ii)
3297		-
3298		-
3299		-	100% of the proceeds of sales made after December 31, 2028. If,
3300		-	at any time, however, the tax under this Act on sales of
3301		-	mid-range ethanol blends is imposed at the rate of 1.25%, then
3302		-	the tax imposed by this Act applies to 100% of the proceeds of
3303		-	sales of mid-range ethanol blends made during that time.
3304		-	With respect to majority blended ethanol fuel, as defined
3305		-	in the Use Tax Act, the tax imposed by this Act does not apply
3306		-	to the proceeds of sales made on or after July 1, 2003 and on
3307		-	or before December 31, 2028 but applies to 100% of the proceeds
3308		-	of sales made thereafter.
3309		-	With respect to biodiesel blends, as defined in the Use
3310		-	Tax Act, with no less than 1% and no more than 10% biodiesel,
3311		-	the tax imposed by this Act applies to (i) 80% of the proceeds
3312		-	of sales made on or after July 1, 2003 and on or before
3313		-	December 31, 2018 and (ii) 100% of the proceeds of sales made
3314		-	after December 31, 2018 and before January 1, 2024. On and
3315		-	after January 1, 2024 and on or before December 31, 2030, the
3316		-	taxation of biodiesel, renewable diesel, and biodiesel blends
3317		-	shall be as provided in Section 3-5.1 of the Use Tax Act. If,
3318		-	at any time, however, the tax under this Act on sales of
3319		-	biodiesel blends, as defined in the Use Tax Act, with no less
3320		-	than 1% and no more than 10% biodiesel is imposed at the rate
3321		-	of 1.25%, then the tax imposed by this Act applies to 100% of
3322		-	the proceeds of sales of biodiesel blends with no less than 1%
3323		-	and no more than 10% biodiesel made during that time.
3324		-	With respect to biodiesel, as defined in the Use Tax Act,
3325		-
3326		-
3327		-	and biodiesel blends, as defined in the Use Tax Act, with more
3328		-	than 10% but no more than 99% biodiesel, the tax imposed by
3329		-	this Act does not apply to the proceeds of sales made on or
3330		-	after July 1, 2003 and on or before December 31, 2023. On and
3331		-	after January 1, 2024 and on or before December 31, 2030, the
3332		-	taxation of biodiesel, renewable diesel, and biodiesel blends
3333		-	shall be as provided in Section 3-5.1 of the Use Tax Act.
3334		-	Until July 1, 2022 and from beginning again on July 1, 2023
3335		-	through December 31, 2025, with respect to food for human
3336		-	consumption that is to be consumed off the premises where it is
3337		-	sold (other than alcoholic beverages, food consisting of or
3338		-	infused with adult use cannabis, soft drinks, and food that
3339		-	has been prepared for immediate consumption), the tax is
3340		-	imposed at the rate of 1%. Beginning July 1, 2022 and until
3341		-	July 1, 2023, with respect to food for human consumption that
3342		-	is to be consumed off the premises where it is sold (other than
3343		-	alcoholic beverages, food consisting of or infused with adult
3344		-	use cannabis, soft drinks, and food that has been prepared for
3345		-	immediate consumption), the tax is imposed at the rate of 0%.
3346		-	On and after January 1, 2026, food for human consumption that
3347		-	is to be consumed off the premises where it is sold (other than
3348		-	alcoholic beverages, food consisting of or infused with adult
3349		-	use cannabis, soft drinks, candy, and food that has been
3350		-	prepared for immediate consumption) is exempt from the tax
3351		-	imposed by this Act.
3352		-	With respect to prescription and nonprescription
3353		-
3354		-
3355		-	medicines, drugs, medical appliances, products classified as
3356		-	Class III medical devices by the United States Food and Drug
3357		-	Administration that are used for cancer treatment pursuant to
3358		-	a prescription, as well as any accessories and components
3359		-	related to those devices, modifications to a motor vehicle for
3360		-	the purpose of rendering it usable by a person with a
3361		-	disability, and insulin, blood sugar testing materials,
3362		-	syringes, and needles used by human diabetics, the tax is
3363		-	imposed at the rate of 1%. For the purposes of this Section,
3364		-	until September 1, 2009: the term "soft drinks" means any
3365		-	complete, finished, ready-to-use, non-alcoholic drink, whether
3366		-	carbonated or not, including, but not limited to, soda water,
3367		-	cola, fruit juice, vegetable juice, carbonated water, and all
3368		-	other preparations commonly known as soft drinks of whatever
3369		-	kind or description that are contained in any closed or sealed
3370		-	bottle, can, carton, or container, regardless of size; but
3371		-	"soft drinks" does not include coffee, tea, non-carbonated
3372		-	water, infant formula, milk or milk products as defined in the
3373		-	Grade A Pasteurized Milk and Milk Products Act, or drinks
3374		-	containing 50% or more natural fruit or vegetable juice.
3375		-	Notwithstanding any other provisions of this Act,
3376		-	beginning September 1, 2009, "soft drinks" means non-alcoholic
3377		-	beverages that contain natural or artificial sweeteners. "Soft
3378		-	drinks" does not include beverages that contain milk or milk
3379		-	products, soy, rice or similar milk substitutes, or greater
3380		-	than 50% of vegetable or fruit juice by volume.
3381		-
3382		-
3383		-	Until August 1, 2009, and notwithstanding any other
3384		-	provisions of this Act, "food for human consumption that is to
3385		-	be consumed off the premises where it is sold" includes all
3386		-	food sold through a vending machine, except soft drinks and
3387		-	food products that are dispensed hot from a vending machine,
3388		-	regardless of the location of the vending machine. Beginning
3389		-	August 1, 2009, and notwithstanding any other provisions of
3390		-	this Act, "food for human consumption that is to be consumed
3391		-	off the premises where it is sold" includes all food sold
3392		-	through a vending machine, except soft drinks, candy, and food
3393		-	products that are dispensed hot from a vending machine,
3394		-	regardless of the location of the vending machine.
3395		-	Notwithstanding any other provisions of this Act,
3396		-	beginning September 1, 2009, "food for human consumption that
3397		-	is to be consumed off the premises where it is sold" does not
3398		-	include candy. For purposes of this Section, "candy" means a
3399		-	preparation of sugar, honey, or other natural or artificial
3400		-	sweeteners in combination with chocolate, fruits, nuts or
3401		-	other ingredients or flavorings in the form of bars, drops, or
3402		-	pieces. "Candy" does not include any preparation that contains
3403		-	flour or requires refrigeration.
3404		-	Notwithstanding any other provisions of this Act,
3405		-	beginning September 1, 2009, "nonprescription medicines and
3406		-	drugs" does not include grooming and hygiene products. For
3407		-	purposes of this Section, "grooming and hygiene products"
3408		-	includes, but is not limited to, soaps and cleaning solutions,
3409		-
3410		-
3411		-	shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
3412		-	lotions and screens, unless those products are available by
3413		-	prescription only, regardless of whether the products meet the
3414		-	definition of "over-the-counter-drugs". For the purposes of
3415		-	this paragraph, "over-the-counter-drug" means a drug for human
3416		-	use that contains a label that identifies the product as a drug
3417		-	as required by 21 CFR 201.66. The "over-the-counter-drug"
3418		-	label includes:
3419		-	(A) a "Drug Facts" panel; or
3420		-	(B) a statement of the "active ingredient(s)" with a
3421		-	list of those ingredients contained in the compound,
3422		-	substance or preparation.
3423		-	Beginning on January 1, 2014 (the effective date of Public
3424		-	Act 98-122), "prescription and nonprescription medicines and
3425		-	drugs" includes medical cannabis purchased from a registered
3426		-	dispensing organization under the Compassionate Use of Medical
3427		-	Cannabis Program Act.
3428		-	As used in this Section, "adult use cannabis" means
3429		-	cannabis subject to tax under the Cannabis Cultivation
3430		-	Privilege Tax Law and the Cannabis Purchaser Excise Tax Law
3431		-	and does not include cannabis subject to tax under the
3432		-	Compassionate Use of Medical Cannabis Program Act.
3433		-	(Source: P.A. 102-4, eff. 4-27-21; 102-700, Article 20,
3434		-	Section 20-20, eff. 4-19-22; 102-700, Article 60, Section
3435		-	60-30, eff. 4-19-22; 102-700, Article 65, Section 65-10, eff.
3436		-	4-19-22; 103-9, eff. 6-7-23; 103-154, eff. 6-30-23.)
3437		-
3438		-
3439		-	(35 ILCS 120/2-27)
3440		-	Sec. 2-27. Prepaid telephone calling arrangements.
3441		-	"Prepaid telephone calling arrangements" mean the right to
3442		-	exclusively purchase telephone or telecommunications services
3443		-	that must be paid for in advance and enable the origination of
3444		-	one or more intrastate, interstate, or international telephone
3445		-	calls or other telecommunications using an access number, an
3446		-	authorization code, or both, whether manually or
3447		-	electronically dialed, for which payment to a retailer must be
3448		-	made in advance, provided that, unless recharged, no further
3449		-	service is provided once that prepaid amount of service has
3450		-	been consumed, and provided further that, on and after January
3451		-	1, 2025, the telephone or telecommunications services included
3452		-	in such arrangement are obtained through the purchase of a
3453		-	preloaded phone, calling card, or other item of tangible
3454		-	personal property. Prepaid telephone calling arrangements
3455		-	include the recharge of a prepaid calling arrangement if and
3456		-	only if, on and after January 1, 2025, the additional
3457		-	telephone or telecommunications services included in the
3458		-	recharge are obtained through the purchase of a preloaded
3459		-	phone, calling card, or other item of tangible personal
3460		-	property. For purposes of this Section, "recharge" means the
3461		-	purchase of additional prepaid telephone or telecommunications
3462		-	services whether or not the purchaser acquires a different
3463		-	access number or authorization code. For purposes of this
3464		-
3465		-
3466		-	Section, "telecommunications" means that term as defined in
3467		-	Section 2 of the Telecommunications Excise Tax Act. "Prepaid
3468		-	telephone calling arrangement" does not include an arrangement
3469		-	whereby the service provider reflects the amount of the
3470		-	purchase as a credit on an account for a customer under an
3471		-	existing subscription plan, nor, on and after January 1, 2025,
3472		-	does it include a recharge that is not obtained through the
3473		-	purchase of a preloaded phone, calling card, or other item of
3474		-	tangible personal property.
3475		-	(Source: P.A. 91-870, eff. 6-22-00.)
3476		-	Section 22. The Prepaid Wireless 9-1-1 Surcharge Act is
3477		-	amended by changing Section 15 as follows:
3478		-	(50 ILCS 753/15)
3479		-	Sec. 15. Prepaid wireless 9-1-1 surcharge.
3480		-	(a) Until September 30, 2015, there is hereby imposed on
3481		-	consumers a prepaid wireless 9-1-1 surcharge of 1.5% per
3482		-	retail transaction. Beginning October 1, 2015, the prepaid
3483		-	wireless 9-1-1 surcharge shall be 3% per retail transaction.
3484		-	Until December 31, 2023 and beginning July 1, 2024, the
3485		-	surcharge authorized by this subsection (a) does not apply in
3486		-	a home rule municipality having a population in excess of
3487		-	500,000.
3488		-	(a-5) On or after the effective date of this amendatory
3489		-	Act of the 98th General Assembly and until December 31, 2023,
3490		-
3491		-
3492		-	and from July 1, 2024 to July 1, 2029, a home rule municipality
3493		-	having a population in excess of 500,000 on the effective date
3494		-	of this amendatory Act may impose a prepaid wireless 9-1-1
3495		-	surcharge not to exceed 9% per retail transaction sourced to
3496		-	that jurisdiction and collected and remitted in accordance
3497		-	with the provisions of subsection (b-5) of this Section.
3498		-	(b) The prepaid wireless 9-1-1 surcharge shall be
3499		-	collected by the seller from the consumer with respect to each
3500		-	retail transaction occurring in this State and shall be
3501		-	remitted to the Department by the seller as provided in this
3502		-	Act. The amount of the prepaid wireless 9-1-1 surcharge shall
3503		-	be separately stated as a distinct item apart from the charge
3504		-	for the prepaid wireless telecommunications service on an
3505		-	invoice, receipt, or other similar document that is provided
3506		-	to the consumer by the seller or shall be otherwise disclosed
3507		-	to the consumer. If the seller does not separately state the
3508		-	surcharge as a distinct item to the consumer as provided in
3509		-	this Section, then the seller shall maintain books and records
3510		-	as required by this Act which clearly identify the amount of
3511		-	the 9-1-1 surcharge for retail transactions.
3512		-	For purposes of this subsection (b), a retail transaction
3513		-	occurs in this State if (i) the retail transaction is made in
3514		-	person by a consumer at the seller's business location and the
3515		-	business is located within the State; (ii) the seller is a
3516		-	provider and sells prepaid wireless telecommunications service
3517		-	to a consumer located in Illinois; (iii) the retail
3518		-
3519		-
3520		-	transaction is treated as occurring in this State for purposes
3521		-	of the Retailers' Occupation Tax Act; or (iv) a seller that is
3522		-	included within the definition of a "retailer maintaining a
3523		-	place of business in this State" under Section 2 of the Use Tax
3524		-	Act makes a sale of prepaid wireless telecommunications
3525		-	service to a consumer located in Illinois. In the case of a
3526		-	retail transaction which does not occur in person at a
3527		-	seller's business location, if a consumer uses a credit card
3528		-	to purchase prepaid wireless telecommunications service
3529		-	on-line or over the telephone, and no product is shipped to the
3530		-	consumer, the transaction occurs in this State if the billing
3531		-	address for the consumer's credit card is in this State.
3532		-	(b-5) The prepaid wireless 9-1-1 surcharge imposed under
3533		-	subsection (a-5) of this Section shall be collected by the
3534		-	seller from the consumer with respect to each retail
3535		-	transaction occurring in the municipality imposing the
3536		-	surcharge. The amount of the prepaid wireless 9-1-1 surcharge
3537		-	shall be separately stated on an invoice, receipt, or other
3538		-	similar document that is provided to the consumer by the
3539		-	seller or shall be otherwise disclosed to the consumer. If the
3540		-	seller does not separately state the surcharge as a distinct
3541		-	item to the consumer as provided in this Section, then the
3542		-	seller shall maintain books and records as required by this
3543		-	Act which clearly identify the amount of the 9-1-1 surcharge
3544		-	for retail transactions.
3545		-	For purposes of this subsection (b-5), a retail
3546		-
3547		-
3548		-	transaction occurs in the municipality if (i) the retail
3549		-	transaction is made in person by a consumer at the seller's
3550		-	business location and the business is located within the
3551		-	municipality; (ii) the seller is a provider and sells prepaid
3552		-	wireless telecommunications service to a consumer located in
3553		-	the municipality; (iii) the retail transaction is treated as
3554		-	occurring in the municipality for purposes of the Retailers'
3555		-	Occupation Tax Act; or (iv) a seller that is included within
3556		-	the definition of a "retailer maintaining a place of business
3557		-	in this State" under Section 2 of the Use Tax Act makes a sale
3558		-	of prepaid wireless telecommunications service to a consumer
3559		-	located in the municipality. In the case of a retail
3560		-	transaction which does not occur in person at a seller's
3561		-	business location, if a consumer uses a credit card to
3562		-	purchase prepaid wireless telecommunications service on-line
3563		-	or over the telephone, and no product is shipped to the
3564		-	consumer, the transaction occurs in the municipality if the
3565		-	billing address for the consumer's credit card is in the
3566		-	municipality.
3567		-	(c) The prepaid wireless 9-1-1 surcharge is imposed on the
3568		-	consumer and not on any provider. The seller shall be liable to
3569		-	remit all prepaid wireless 9-1-1 surcharges that the seller
3570		-	collects from consumers as provided in Section 20, including
3571		-	all such surcharges that the seller is deemed to collect where
3572		-	the amount of the surcharge has not been separately stated on
3573		-	an invoice, receipt, or other similar document provided to the
3574		-
3575		-
3576		-	consumer by the seller. The surcharge collected or deemed
3577		-	collected by a seller shall constitute a debt owed by the
3578		-	seller to this State, and any such surcharge actually
3579		-	collected shall be held in trust for the benefit of the
3580		-	Department.
3581		-	For purposes of this subsection (c), the surcharge shall
3582		-	not be imposed or collected from entities that have an active
3583		-	tax exemption identification number issued by the Department
3584		-	under Section 1g of the Retailers' Occupation Tax Act.
3585		-	(d) The amount of the prepaid wireless 9-1-1 surcharge
3586		-	that is collected by a seller from a consumer, if such amount
3587		-	is separately stated on an invoice, receipt, or other similar
3588		-	document provided to the consumer by the seller, shall not be
3589		-	included in the base for measuring any tax, fee, surcharge, or
3590		-	other charge that is imposed by this State, any political
3591		-	subdivision of this State, or any intergovernmental agency.
3592		-	(e) (Blank).
3593		-	(e-5) Any changes in the rate of the surcharge imposed by a
3594		-	municipality under the authority granted in subsection (a-5)
3595		-	of this Section shall be effective on the first day of the
3596		-	first calendar month to occur at least 60 days after the
3597		-	enactment of the change. The Department shall provide not less
3598		-	than 30 days' notice of the increase or reduction in the rate
3599		-	of such surcharge on the Department's website.
3600		-	(f) When prepaid wireless telecommunications service is
3601		-	sold with one or more other products or services for a single,
3602		-
3603		-
3604		-	non-itemized price, then the percentage specified in
3605		-	subsection (a) or (a-5) of this Section 15 shall be applied to
3606		-	the entire non-itemized price unless the seller elects to
3607		-	apply the percentage to (i) the dollar amount of the prepaid
3608		-	wireless telecommunications service if that dollar amount is
3609		-	disclosed to the consumer or (ii) the portion of the price that
3610		-	is attributable to the prepaid wireless telecommunications
3611		-	service if the retailer can identify that portion by
3612		-	reasonable and verifiable standards from its books and records
3613		-	that are kept in the regular course of business for other
3614		-	purposes, including, but not limited to, books and records
3615		-	that are kept for non-tax purposes. However, if a minimal
3616		-	amount of prepaid wireless telecommunications service is sold
3617		-	with a prepaid wireless device for a single, non-itemized
3618		-	price, then the seller may elect not to apply the percentage
3619		-	specified in subsection (a) or (a-5) of this Section 15 to such
3620		-	transaction. For purposes of this subsection, an amount of
3621		-	service denominated as 10 minutes or less or $5 or less is
3622		-	considered minimal.
3623		-	(g) The prepaid wireless 9-1-1 surcharge imposed under
3624		-	subsections (a) and (a-5) of this Section is not imposed on the
3625		-	provider or the consumer for wireless Lifeline service where
3626		-	the consumer does not pay the provider for the service. Where
3627		-	the consumer purchases from the provider optional minutes,
3628		-	texts, or other services in addition to the federally funded
3629		-	Lifeline benefit, a consumer must pay the prepaid wireless
3630		-
3631		-
3632		-	9-1-1 surcharge, and it must be collected by the seller
3633		-	according to subsection (b-5).
3634		-	(Source: P.A. 102-9, eff. 6-3-21; 103-564, eff. 11-17-23.)
3635		-	Section 25. The Counties Code is amended by changing
3636		-	Sections 5-1009, 5-1030, and 5-1134 and by adding Section
3637		-	5-1006.9 as follows:
3638		-	(55 ILCS 5/5-1006.9 new)
3639		-	Sec. 5-1006.9. County Grocery Occupation Tax Law.
3640		-	(a) The corporate authorities of any county may, by
3641		-	ordinance or resolution that takes effect on or after January
3642		-	1, 2026, impose a tax upon all persons engaged in the business
3643		-	of selling groceries at retail in the county, but outside of
3644		-	any municipality, on the gross receipts from those sales made
3645		-	in the course of that business. If imposed, the tax shall be at
3646		-	the rate of 1% of the gross receipts from these sales.
3647		-	The tax imposed by a county under this subsection and all
3648		-	civil penalties that may be assessed as an incident of the tax
3649		-	shall be collected and enforced by the Department. The
3650		-	certificate of registration that is issued by the Department
3651		-	to a retailer under the Retailers' Occupation Tax Act shall
3652		-	permit the retailer to engage in a business that is taxable
3653		-	under any ordinance or resolution enacted under this
3654		-	subsection without registering separately with the Department
3655		-	under that ordinance or resolution or under this subsection.
3656		-
3657		-
3658		-	The Department shall have full power to administer and
3659		-	enforce this subsection; to collect all taxes and penalties
3660		-	due under this subsection; to dispose of taxes and penalties
3661		-	so collected in the manner provided in this Section and under
3662		-	rules adopted by the Department; and to determine all rights
3663		-	to credit memoranda arising on account of the erroneous
3664		-	payment of tax or penalty under this subsection.
3665		-	In the administration of, and compliance with, this
3666		-	subsection, the Department and persons who are subject to this
3667		-	subsection shall have the same rights, remedies, privileges,
3668		-	immunities, powers, and duties, and be subject to the same
3669		-	conditions, restrictions, limitations, penalties and
3670		-	definitions of terms, and employ the same modes of procedure,
3671		-	as are prescribed in Sections 1, 2 through 2-65 (in respect to
3672		-	all provisions therein other than the State rate of tax), 2c, 3
3673		-	(except as to the disposition of taxes and penalties
3674		-	collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a,
3675		-	6b, 6c, 6d, 7, 8, 9, 10, 11, 11a, 12 and 13 of the Retailers'
3676		-	Occupation Tax Act and all of the Uniform Penalty and Interest
3677		-	Act, as fully as if those provisions were set forth in this
3678		-	Section.
3679		-	Persons subject to any tax imposed under the authority
3680		-	granted in this subsection may reimburse themselves for their
3681		-	seller's tax liability hereunder by separately stating that
3682		-	tax as an additional charge, which charge may be stated in
3683		-	combination, in a single amount, with State tax that sellers
3684		-
3685		-
3686		-	are required to collect under the Use Tax Act, pursuant to such
3687		-	bracket schedules as the Department may prescribe.
3688		-	(b) If a tax has been imposed under subsection (a), then a
3689		-	service occupation tax must also be imposed at the same rate
3690		-	upon all persons engaged, in the county but outside of a
3691		-	municipality, in the business of making sales of service, who,
3692		-	as an incident to making those sales of service, transfer
3693		-	groceries, as defined in this Section, as an incident to a sale
3694		-	of service.
3695		-	The tax imposed under this subsection and all civil
3696		-	penalties that may be assessed as an incident thereof shall be
3697		-	collected and enforced by the Department. The certificate of
3698		-	registration that is issued by the Department to a retailer
3699		-	under the Retailers' Occupation Tax Act or the Service
3700		-	Occupation Tax Act shall permit the registrant to engage in a
3701		-	business that is taxable under any ordinance or resolution
3702		-	enacted pursuant to this subsection without registering
3703		-	separately with the Department under the ordinance or
3704		-	resolution or under this subsection.
3705		-	The Department shall have full power to administer and
3706		-	enforce this subsection, to collect all taxes and penalties
3707		-	due under this subsection, to dispose of taxes and penalties
3708		-	so collected in the manner provided in this Section and under
3709		-	rules adopted by the Department, and to determine all rights
3710		-	to credit memoranda arising on account of the erroneous
3711		-	payment of a tax or penalty under this subsection.
3712		-
3713		-
3714		-	In the administration of and compliance with this
3715		-	subsection, the Department and persons who are subject to this
3716		-	subsection shall have the same rights, remedies, privileges,
3717		-	immunities, powers and duties, and be subject to the same
3718		-	conditions, restrictions, limitations, penalties and
3719		-	definitions of terms, and employ the same modes of procedure
3720		-	as are set forth in Sections 2, 2c, 3 through 3-50 (in respect
3721		-	to all provisions contained in those Sections other than the
3722		-	State rate of tax), 4, 5, 7, 8, 9 (except as to the disposition
3723		-	of taxes and penalties collected), 10, 11, 12, 13, 15, 16, 17,
3724		-	18, 19, and 20 of the Service Occupation Tax Act and all
3725		-	provisions of the Uniform Penalty and Interest Act, as fully
3726		-	as if those provisions were set forth in this Section.
3727		-	Persons subject to any tax imposed under the authority
3728		-	granted in this subsection may reimburse themselves for their
3729		-	serviceman's tax liability by separately stating the tax as an
3730		-	additional charge, which may be stated in combination, in a
3731		-	single amount, with State tax that servicemen are authorized
3732		-	to collect under the Service Use Tax Act, pursuant to any
3733		-	bracketed schedules set forth by the Department.
3734		-	(c) The Department shall immediately pay over to the State
3735		-	Treasurer, ex officio, as trustee, all taxes and penalties
3736		-	collected under this Section. Those taxes and penalties shall
3737		-	be deposited into the County Grocery Tax Trust Fund, a trust
3738		-	fund created in the State treasury. Except as otherwise
3739		-	provided in this Section, moneys in the County Grocery Tax
3740		-
3741		-
3742		-	Trust Fund shall be used to make payments to counties and for
3743		-	the payment of refunds under this Section.
3744		-	Moneys deposited into the County Grocery Tax Trust Fund
3745		-	under this Section are not subject to appropriation and shall
3746		-	be used as provided in this Section. All deposits into the
3747		-	County Grocery Tax Trust Fund shall be held in the County
3748		-	Grocery Tax Trust Fund by the State Treasurer, ex officio, as
3749		-	trustee separate and apart from all public moneys or funds of
3750		-	this State.
3751		-	Whenever the Department determines that a refund should be
3752		-	made under this Section to a claimant instead of issuing a
3753		-	credit memorandum, the Department shall notify the State
3754		-	Comptroller, who shall cause the order to be drawn for the
3755		-	amount specified and to the person named in the notification
3756		-	from the Department. The refund shall be paid by the State
3757		-	Treasurer out of the County Grocery Tax Trust Fund.
3758		-	(d) As soon as possible after the first day of each month,
3759		-	upon certification of the Department, the Comptroller shall
3760		-	order transferred, and the Treasurer shall transfer, to the
3761		-	STAR Bonds Revenue Fund the local sales tax increment, if any,
3762		-	as defined in the Innovation Development and Economy Act,
3763		-	collected under this Section.
3764		-	After the monthly transfer to the STAR Bonds Revenue Fund,
3765		-	if any, on or before the 25th day of each calendar month, the
3766		-	Department shall prepare and certify to the Comptroller the
3767		-	disbursement of stated sums of money to named counties, the
3768		-
3769		-
3770		-	counties to be those from which retailers have paid taxes or
3771		-	penalties under this Section to the Department during the
3772		-	second preceding calendar month. The amount to be paid to each
3773		-	county shall be the amount (not including credit memoranda)
3774		-	collected under this Section during the second preceding
3775		-	calendar month by the Department plus an amount the Department
3776		-	determines is necessary to offset any amounts that were
3777		-	erroneously paid to a different taxing body, and not including
3778		-	an amount equal to the amount of refunds made during the second
3779		-	preceding calendar month by the Department on behalf of such
3780		-	county, and not including any amount that the Department
3781		-	determines is necessary to offset any amounts that were
3782		-	payable to a different taxing body but were erroneously paid
3783		-	to the county, and not including any amounts that are
3784		-	transferred to the STAR Bonds Revenue Fund. Within 10 days
3785		-	after receipt by the Comptroller of the disbursement
3786		-	certification to the counties provided for in this Section to
3787		-	be given to the Comptroller by the Department, the Comptroller
3788		-	shall cause the orders to be drawn for the amounts in
3789		-	accordance with the directions contained in the certification.
3790		-	(e) Nothing in this Section shall be construed to
3791		-	authorize a county to impose a tax upon the privilege of
3792		-	engaging in any business which under the Constitution of the
3793		-	United States may not be made the subject of taxation by this
3794		-	State.
3795		-	(f) Except as otherwise provided in this subsection, an
3796		-
3797		-
3798		-	ordinance or resolution imposing or discontinuing the tax
3799		-	hereunder or effecting a change in the rate thereof shall
3800		-	either (i) be adopted and a certified copy thereof filed with
3801		-	the Department on or before the first day of April, whereupon
3802		-	the Department shall proceed to administer and enforce this
3803		-	Section as of the first day of July next following the adoption
3804		-	and filing, or (ii) be adopted and a certified copy thereof
3805		-	filed with the Department on or before the first day of
3806		-	October, whereupon the Department shall proceed to administer
3807		-	and enforce this Section as of the first day of January next
3808		-	following the adoption and filing.
3809		-	(g) When certifying the amount of a monthly disbursement
3810		-	to a county under this Section, the Department shall increase
3811		-	or decrease the amount by an amount necessary to offset any
3812		-	misallocation of previous disbursements. The offset amount
3813		-	shall be the amount erroneously disbursed within the previous
3814		-	6 months from the time a misallocation is discovered.
3815		-	(h) As used in this Section, "Department" means the
3816		-	Department of Revenue.
3817		-	For purposes of the tax authorized to be imposed under
3818		-	subsection (a), "groceries" has the same meaning as "food for
3819		-	human consumption that is to be consumed off the premises
3820		-	where it is sold (other than alcoholic beverages, food
3821		-	consisting of or infused with adult use cannabis, soft drinks,
3822		-	candy, and food that has been prepared for immediate
3823		-	consumption)", as further defined in Section 2-10 of the
3824		-
3825		-
3826		-	Retailers' Occupation Tax Act.
3827		-	For purposes of the tax authorized to be imposed under
3828		-	subsection (b), "groceries" has the same meaning as "food for
3829		-	human consumption that is to be consumed off the premises
3830		-	where it is sold (other than alcoholic beverages, food
3831		-	consisting of or infused with adult use cannabis, soft drinks,
3832		-	candy, and food that has been prepared for immediate
3833		-	consumption)", as further defined in Section 3-10 of the
3834		-	Service Occupation Tax Act.
3835		-	For purposes of the tax authorized to be imposed under
3836		-	subsection (b), "groceries" also means food prepared for
3837		-	immediate consumption and transferred incident to a sale of
3838		-	service subject to the Service Occupation Tax Act or the
3839		-	Service Use Tax Act by an entity licensed under the Hospital
3840		-	Licensing Act, the Nursing Home Care Act, the Assisted Living
3841		-	and Shared Housing Act, the ID/DD Community Care Act, the
3842		-	MC/DD Act, the Specialized Mental Health Rehabilitation Act of
3843		-	2013, or the Child Care Act of 1969, or an entity that holds a
3844		-	permit issued pursuant to the Life Care Facilities Act.
3845		-	(i) This Section may be referred to as the County Grocery
3846		-	Occupation Tax Law.
3847		-	(55 ILCS 5/5-1009) (from Ch. 34, par. 5-1009)
3848		-	Sec. 5-1009. Limitation on home rule powers. Except as
3849		-	provided in Sections 5-1006, 5-1006.5, 5-1006.8, 5-1006.9
3850		-	5-1007, and 5-1008, on and after September 1, 1990, no home
3851		-
3852		-
3853		-	rule county has the authority to impose, pursuant to its home
3854		-	rule authority, a retailers' occupation tax, service
3855		-	occupation tax, use tax, sales tax or other tax on the use,
3856		-	sale or purchase of tangible personal property based on the
3857		-	gross receipts from such sales or the selling or purchase
3858		-	price of said tangible personal property. Notwithstanding the
3859		-	foregoing, this Section does not preempt any home rule imposed
3860		-	tax such as the following: (1) a tax on alcoholic beverages,
3861		-	whether based on gross receipts, volume sold or any other
3862		-	measurement; (2) a tax based on the number of units of
3863		-	cigarettes or tobacco products; (3) a tax, however measured,
3864		-	based on the use of a hotel or motel room or similar facility;
3865		-	(4) a tax, however measured, on the sale or transfer of real
3866		-	property; (5) a tax, however measured, on lease receipts; (6)
3867		-	a tax on food prepared for immediate consumption and on
3868		-	alcoholic beverages sold by a business which provides for on
3869		-	premise consumption of said food or alcoholic beverages; or
3870		-	(7) other taxes not based on the selling or purchase price or
3871		-	gross receipts from the use, sale or purchase of tangible
3872		-	personal property. This Section does not preempt a home rule
3873		-	county from imposing a tax, however measured, on the use, for
3874		-	consideration, of a parking lot, garage, or other parking
3875		-	facility.
3876		-	On and after December 1, 2019, no home rule county has the
3877		-	authority to impose, pursuant to its home rule authority, a
3878		-	tax, however measured, on sales of aviation fuel, as defined
3879		-
3880		-
3881		-	in Section 3 of the Retailers' Occupation Tax Act, unless the
3882		-	tax revenue is expended for airport-related purposes. For
3883		-	purposes of this Section, "airport-related purposes" has the
3884		-	meaning ascribed in Section 6z-20.2 of the State Finance Act.
3885		-	Aviation fuel shall be excluded from tax only for so long as
3886		-	the revenue use requirements of 49 U.S.C. 47017(b) and 49
3887		-	U.S.C. 47133 are binding on the county.
3888		-	This Section is a limitation, pursuant to subsection (g)
3889		-	of Section 6 of Article VII of the Illinois Constitution, on
3890		-	the power of home rule units to tax. The changes made to this
3891		-	Section by Public Act 101-10 are a denial and limitation of
3892		-	home rule powers and functions under subsection (g) of Section
3893		-	6 of Article VII of the Illinois Constitution.
3894		-	(Source: P.A. 101-10, eff. 6-5-19; 101-27, eff. 6-25-19;
3895		-	102-558, eff. 8-20-21.)
3896		-	(55 ILCS 5/5-1030) (from Ch. 34, par. 5-1030)
3897		-	Sec. 5-1030. Hotel rooms, tax on gross rental receipts.
3898		-	(a) The corporate authorities of any county may by
3899		-	ordinance impose a tax upon all persons engaged in such county
3900		-	in the business of renting, leasing or letting rooms in a hotel
3901		-	which is not located within a city, village, or incorporated
3902		-	town that imposes a tax under Section 8-3-14 of the Illinois
3903		-	Municipal Code, as defined in "The Hotel Operators' Occupation
3904		-	Tax Act", at a rate not to exceed 5% of the gross rental
3905		-	receipts from such renting, leasing or letting, excluding,
3906		-
3907		-
3908		-	however, from gross rental receipts, the proceeds of such
3909		-	renting, leasing or letting to permanent residents of that
3910		-	hotel, and may provide for the administration and enforcement
3911		-	of the tax, and for the collection thereof from the persons
3912		-	subject to the tax, as the corporate authorities determine to
3913		-	be necessary or practicable for the effective administration
3914		-	of the tax.
3915		-	(b) With the consent of municipalities representing at
3916		-	least 67% of the population of Winnebago County, as determined
3917		-	by the 2010 federal decennial census and as expressed by
3918		-	resolution of the corporate authorities of those
3919		-	municipalities, the county board of Winnebago County may, by
3920		-	ordinance, impose a tax upon all persons engaged in the county
3921		-	in the business of renting, leasing, or letting rooms in a
3922		-	hotel that imposes a tax under Section 8-3-14 of the Illinois
3923		-	Municipal Code, as defined in the "The Hotel Operators'
3924		-	Occupation Tax Act", at a rate not to exceed 2% of the gross
3925		-	rental receipts from renting, leasing, or letting, excluding,
3926		-	however, from gross rental receipts, the proceeds of the
3927		-	renting, leasing, or letting to permanent residents of that
3928		-	hotel, and may provide for the administration and enforcement
3929		-	of the tax, and for the collection thereof from the persons
3930		-	subject to the tax, as the county board determines to be
3931		-	necessary or practicable for the effective administration of
3932		-	the tax. The tax shall be instituted on a county-wide basis and
3933		-	shall be in addition to any tax imposed by this or any other
3934		-
3935		-
3936		-	provision of law. The revenue generated under this subsection
3937		-	shall be accounted for and segregated from all other funds of
3938		-	the county and shall be utilized solely for either: (1)
3939		-	encouraging, supporting, marketing, constructing, or
3940		-	operating, either directly by the county or through other
3941		-	taxing bodies within the county, sports, arts, or other
3942		-	entertainment or tourism facilities or programs for the
3943		-	purpose of promoting tourism, competitiveness, job growth, and
3944		-	for the general health and well-being of the citizens of the
3945		-	county; or (2) payment towards debt services on bonds issued
3946		-	for the purposes set forth in this subsection.
3947		-	(b-5) The county board of Sangamon County may, by
3948		-	ordinance, impose a tax upon all persons engaged in the county
3949		-	in the business of renting, leasing, or letting rooms in a
3950		-	hotel that imposes a tax under Section 8-3-14 of the Illinois
3951		-	Municipal Code, as defined in the Hotel Operators' Occupation
3952		-	Tax Act, at a rate not to exceed 3% of the gross rental
3953		-	receipts from renting, leasing, or letting, excluding,
3954		-	however, from gross rental receipts, the proceeds of the
3955		-	renting, leasing, or letting to permanent residents of that
3956		-	hotel, and may provide for the administration and enforcement
3957		-	of the tax, and for the collection thereof from the persons
3958		-	subject to the tax, as the county board determines to be
3959		-	necessary or practicable for the effective administration of
3960		-	the tax. The tax shall be instituted on a county-wide basis and
3961		-	shall be in addition to any tax imposed by this or any other
3962		-
3963		-
3964		-	provision of law. The revenue generated under this subsection
3965		-	shall be accounted for and segregated from all other funds of
3966		-	the county and shall be used solely for either: (1)
3967		-	encouraging, supporting, marketing, constructing, or
3968		-	operating, either directly by the county or through other
3969		-	taxing bodies within the county, sports, arts, or other
3970		-	entertainment or tourism facilities or programs for the
3971		-	purpose of promoting tourism, competitiveness, job growth, and
3972		-	for the general health and well-being of the citizens of the
3973		-	county; or (2) payment towards debt services on bonds issued
3974		-	for the purposes set forth in this subsection.
3975		-	(c) A Tourism Facility Board shall be established,
3976		-	comprised of a representative from the county and from each
3977		-	municipality that has approved the imposition of the tax under
3978		-	subsection (b) of this Section.
3979		-	(1) A Board member's vote is weighted based on the
3980		-	municipality's population relative to the population of
3981		-	the county, with the county representing the population
3982		-	within unincorporated areas of the county. Representatives
3983		-	from the Rockford Park District and Rockford Area
3984		-	Convention and Visitors Bureau shall serve as ex-officio
3985		-	members with no voting rights.
3986		-	(2) The Board must meet not less frequently than once
3987		-	per year to direct the use of revenues collected from the
3988		-	tax imposed under subsection (b) of this Section that are
3989		-	not already directed for use pursuant to an
3990		-
3991		-
3992		-	intergovernmental agreement between the county and another
3993		-	entity represented on the Board, including the ex-officio
3994		-	members, and for any other reason the Board deems
3995		-	necessary. Affirmative actions of the Board shall require
3996		-	a weighted vote of Board members representing not less
3997		-	than 67% of the population of the county.
3998		-	(3) The Board shall not be a separate unit of local
3999		-	government, shall have no paid staff, and members of the
4000		-	Board shall receive no compensation or reimbursement of
4001		-	expenses from proceeds of the tax imposed under subsection
4002		-	(b) of this Section.
4003		-	(d) Persons subject to any tax imposed pursuant to
4004		-	authority granted by this Section may reimburse themselves for
4005		-	their tax liability for such tax by separately stating such
4006		-	tax as an additional charge, which charge may be stated in
4007		-	combination, in a single amount, with State tax imposed under
4008		-	"The Hotel Operators' Occupation Tax Act".
4009		-	Nothing in this Section shall be construed to authorize a
4010		-	county to impose a tax upon the privilege of engaging in any
4011		-	business which under the Constitution of the United States may
4012		-	not be made the subject of taxation by this State.
4013		-	An ordinance or resolution imposing a tax hereunder or
4014		-	effecting a change in the rate thereof shall be effective on
4015		-	the first day of the calendar month next following its passage
4016		-	and required publication.
4017		-	The amounts collected by any county pursuant to this
4018		-
4019		-
4020		-	Section shall be expended to promote tourism; conventions;
4021		-	expositions; theatrical, sports and cultural activities within
4022		-	that county or otherwise to attract nonresident overnight
4023		-	visitors to the county.
4024		-	Any county may agree with any unit of local government,
4025		-	including any authority defined as a metropolitan exposition,
4026		-	auditorium and office building authority, fair and exposition
4027		-	authority, exposition and auditorium authority, or civic
4028		-	center authority created pursuant to provisions of Illinois
4029		-	law and the territory of which unit of local government or
4030		-	authority is co-extensive with or wholly within such county,
4031		-	to impose and collect for a period not to exceed 40 years, any
4032		-	portion or all of the tax authorized pursuant to this Section
4033		-	and to transmit such tax so collected to such unit of local
4034		-	government or authority. The amount so paid shall be expended
4035		-	by any such unit of local government or authority for the
4036		-	purposes for which such tax is authorized. Any such agreement
4037		-	must be authorized by resolution or ordinance, as the case may
4038		-	be, of such county and unit of local government or authority,
4039		-	and such agreement may provide for the irrevocable imposition
4040		-	and collection of said tax at such rate, or amount as limited
4041		-	by a given rate, as may be agreed upon for the full period of
4042		-	time set forth in such agreement; and such agreement may
4043		-	further provide for any other terms as deemed necessary or
4044		-	advisable by such county and such unit of local government or
4045		-	authority. Any such agreement shall be binding and enforceable
4046		-
4047		-
4048		-	by either party to such agreement. Such agreement entered into
4049		-	pursuant to this Section shall not in any event constitute an
4050		-	indebtedness of such county subject to any limitation imposed
4051		-	by statute or otherwise.
4052		-	(Source: P.A. 98-313, eff. 8-12-13.)
4053		-	(55 ILCS 5/5-1134)
4054		-	Sec. 5-1134. Project labor agreements.
4055		-	(a) Any sports, arts, or entertainment facilities that
4056		-	receive revenue from a tax imposed under subsection (b) or
4057		-	(b-5) of Section 5-1030 of this Code shall be considered to be
4058		-	public works within the meaning of the Prevailing Wage Act.
4059		-	The county authorities responsible for the construction,
4060		-	renovation, modification, or alteration of the sports, arts,
4061		-	or entertainment facilities shall enter into project labor
4062		-	agreements with labor organizations as defined in the National
4063		-	Labor Relations Act to assure that no labor dispute interrupts
4064		-	or interferes with the construction, renovation, modification,
4065		-	or alteration of the projects.
4066		-	(b) The project labor agreements must include the
4067		-	following:
4068		-	(1) provisions establishing the minimum hourly wage
4069		-	for each class of labor organization employees;
4070		-	(2) provisions establishing the benefits and other
4071		-	compensation for such class of labor organization; and
4072		-	(3) provisions establishing that no strike or disputes
4073		-
4074		-
4075		-	will be engaged in by the labor organization employees.
4076		-	The county, taxing bodies, municipalities, and the labor
4077		-	organizations shall have the authority to include other terms
4078		-	and conditions as they deem necessary.
4079		-	(c) The project labor agreement shall be filed with the
4080		-	Director of the Illinois Department of Labor in accordance
4081		-	with procedures established by the Department. At a minimum,
4082		-	the project labor agreement must provide the names, addresses,
4083		-	and occupations of the owner of the facilities and the
4084		-	individuals representing the labor organization employees
4085		-	participating in the project labor agreement. The agreement
4086		-	must also specify the terms and conditions required in
4087		-	subsection (b) of this Section.
4088		-	(d) In any agreement for the construction or
4089		-	rehabilitation of a facility using revenue generated under
4090		-	subsection (b) or (b-5) of Section 5-1030 of this Code, in
4091		-	connection with the prequalification of general contractors
4092		-	for construction or rehabilitation of the facility, it shall
4093		-	be required that a commitment will be submitted detailing how
4094		-	the general contractor will expend 15% or more of the
4095		-	aggregate dollar value of the project as a whole with one or
4096		-	more minority-owned businesses, women-owned businesses, or
4097		-	businesses owned by a person with a disability, as these terms
4098		-	are defined in Section 2 of the Business Enterprise for
4099		-	Minorities, Women, and Persons with Disabilities Act.
4100		-	(Source: P.A. 100-391, eff. 8-25-17.)
4101		-
4102		-
4103		-	Section 30. The Illinois Municipal Code is amended by
4104		-	changing Sections 8-11-1.1 and 8-11-6a and adding Section
4105		-	8-11-24 as follows:
4106		-	(65 ILCS 5/8-11-1.1) (from Ch. 24, par. 8-11-1.1)
4107		-	Sec. 8-11-1.1. Non-home rule municipalities; imposition of
4108		-	taxes.
4109		-	(a) The corporate authorities of a non-home rule
4110		-	municipality may, upon approval of the electors of the
4111		-	municipality pursuant to subsection (b) of this Section,
4112		-	impose by ordinance or resolution the taxes tax authorized in
4113		-	Sections 8-11-1.3, 8-11-1.4 and 8-11-1.5 of this Act.
4114		-	(b) (Blank). The corporate authorities of the municipality
4115		-	may by ordinance or resolution call for the submission to the
4116		-	electors of the municipality the question of whether the
4117		-	municipality shall impose such tax. Such question shall be
4118		-	certified by the municipal clerk to the election authority in
4119		-	accordance with Section 28-5 of the Election Code and shall be
4120		-	in a form in accordance with Section 16-7 of the Election Code.
4121		-	Notwithstanding any provision of law to the contrary, if
4122		-	the proceeds of the tax may be used for municipal operations
4123		-	pursuant to Section 8-11-1.3, 8-11-1.4, or 8-11-1.5, then the
4124		-	election authority must submit the question in substantially
4125		-	the following form:
4126		-	Shall the corporate authorities of the municipality be
4127		-
4128		-
4129		-	authorized to levy a tax at a rate of (rate)% for
4130		-	expenditures on municipal operations, expenditures on
4131		-	public infrastructure, or property tax relief?
4132		-	If a majority of the electors in the municipality voting
4133		-	upon the question vote in the affirmative, such tax shall be
4134		-	imposed.
4135		-	(c) Until January 1, 1992, an ordinance or resolution
4136		-	imposing the tax of not more than 1% hereunder or
4137		-	discontinuing the same shall be adopted and a certified copy
4138		-	thereof, together with a certification that the ordinance or
4139		-	resolution received referendum approval in the case of the
4140		-	imposition of such tax, filed with the Department of Revenue,
4141		-	on or before the first day of June, whereupon the Department
4142		-	shall proceed to administer and enforce the additional tax or
4143		-	to discontinue the tax, as the case may be, as of the first day
4144		-	of September next following such adoption and filing.
4145		-	Beginning January 1, 1992 and through December 31, 1992,
4146		-	an ordinance or resolution imposing or discontinuing the tax
4147		-	hereunder shall be adopted and a certified copy thereof filed
4148		-	with the Department on or before the first day of July,
4149		-	whereupon the Department shall proceed to administer and
4150		-	enforce this Section as of the first day of October next
4151		-	following such adoption and filing.
4152		-	Beginning January 1, 1993, and through September 30, 2002,
4153		-	an ordinance or resolution imposing or discontinuing the tax
4154		-	hereunder shall be adopted and a certified copy thereof filed
4155		-
4156		-
4157		-	with the Department on or before the first day of October,
4158		-	whereupon the Department shall proceed to administer and
4159		-	enforce this Section as of the first day of January next
4160		-	following such adoption and filing.
4161		-	Beginning October 1, 2002, and through December 31, 2013,
4162		-	an ordinance or resolution imposing or discontinuing the tax
4163		-	under this Section or effecting a change in the rate of tax
4164		-	must either (i) be adopted and a certified copy of the
4165		-	ordinance or resolution filed with the Department on or before
4166		-	the first day of April, whereupon the Department shall proceed
4167		-	to administer and enforce this Section as of the first day of
4168		-	July next following the adoption and filing; or (ii) be
4169		-	adopted and a certified copy of the ordinance or resolution
4170		-	filed with the Department on or before the first day of
4171		-	October, whereupon the Department shall proceed to administer
4172		-	and enforce this Section as of the first day of January next
4173		-	following the adoption and filing.
4174		-	Beginning January 1, 2014, if an ordinance or resolution
4175		-	imposing the tax under this Section, discontinuing the tax
4176		-	under this Section, or effecting a change in the rate of tax
4177		-	under this Section is adopted, a certified copy thereof,
4178		-	together with a certification that the ordinance or resolution
4179		-	received referendum approval in the case of the imposition of
4180		-	or increase in the rate of such tax, shall be filed with the
4181		-	Department of Revenue, either (i) on or before the first day of
4182		-	May, whereupon the Department shall proceed to administer and
4183		-
4184		-
4185		-	enforce this Section as of the first day of July next following
4186		-	the adoption and filing; or (ii) on or before the first day of
4187		-	October, whereupon the Department shall proceed to administer
4188		-	and enforce this Section as of the first day of January next
4189		-	following the adoption and filing.
4190		-	Notwithstanding any provision in this Section to the
4191		-	contrary, if, in a non-home rule municipality with more than
4192		-	150,000 but fewer than 200,000 inhabitants, as determined by
4193		-	the last preceding federal decennial census, an ordinance or
4194		-	resolution under this Section imposes or discontinues a tax or
4195		-	changes the tax rate as of July 1, 2007, then that ordinance or
4196		-	resolution, together with a certification that the ordinance
4197		-	or resolution received referendum approval in the case of the
4198		-	imposition of the tax, must be adopted and a certified copy of
4199		-	that ordinance or resolution must be filed with the Department
4200		-	on or before May 15, 2007, whereupon the Department shall
4201		-	proceed to administer and enforce this Section as of July 1,
4202		-	2007.
4203		-	Notwithstanding any provision in this Section to the
4204		-	contrary, if, in a non-home rule municipality with more than
4205		-	6,500 but fewer than 7,000 inhabitants, as determined by the
4206		-	last preceding federal decennial census, an ordinance or
4207		-	resolution under this Section imposes or discontinues a tax or
4208		-	changes the tax rate on or before May 20, 2009, then that
4209		-	ordinance or resolution, together with a certification that
4210		-	the ordinance or resolution received referendum approval in
4211		-
4212		-
4213		-	the case of the imposition of the tax, must be adopted and a
4214		-	certified copy of that ordinance or resolution must be filed
4215		-	with the Department on or before May 20, 2009, whereupon the
4216		-	Department shall proceed to administer and enforce this
4217		-	Section as of July 1, 2009.
4218		-	A non-home rule municipality may file a certified copy of
4219		-	an ordinance or resolution, with a certification that the
4220		-	ordinance or resolution received referendum approval in the
4221		-	case of the imposition of the tax, with the Department of
4222		-	Revenue, as required under this Section, only after October 2,
4223		-	2000.
4224		-	The tax authorized by this Section may not be more than 1%
4225		-	and may be imposed only in 1/4% increments.
4226		-	(Source: P.A. 98-584, eff. 8-27-13.)
4227		-	(65 ILCS 5/8-11-6a) (from Ch. 24, par. 8-11-6a)
4228		-	Sec. 8-11-6a. Home rule municipalities; preemption of
4229		-	certain taxes. Except as provided in Sections 8-11-1, 8-11-5,
4230		-	8-11-6, 8-11-6b, 8-11-6c, 8-11-23, 8-11-24, and 11-74.3-6 on
4231		-	and after September 1, 1990, no home rule municipality has the
4232		-	authority to impose, pursuant to its home rule authority, a
4233		-	retailer's occupation tax, service occupation tax, use tax,
4234		-	sales tax or other tax on the use, sale or purchase of tangible
4235		-	personal property based on the gross receipts from such sales
4236		-	or the selling or purchase price of said tangible personal
4237		-	property. Notwithstanding the foregoing, this Section does not
4238		-
4239		-
4240		-	preempt any home rule imposed tax such as the following: (1) a
4241		-	tax on alcoholic beverages, whether based on gross receipts,
4242		-	volume sold or any other measurement; (2) a tax based on the
4243		-	number of units of cigarettes or tobacco products (provided,
4244		-	however, that a home rule municipality that has not imposed a
4245		-	tax based on the number of units of cigarettes or tobacco
4246		-	products before July 1, 1993, shall not impose such a tax after
4247		-	that date); (3) a tax, however measured, based on the use of a
4248		-	hotel or motel room or similar facility; (4) a tax, however
4249		-	measured, on the sale or transfer of real property; (5) a tax,
4250		-	however measured, on lease receipts; (6) a tax on food
4251		-	prepared for immediate consumption and on alcoholic beverages
4252		-	sold by a business which provides for on premise consumption
4253		-	of said food or alcoholic beverages; or (7) other taxes not
4254		-	based on the selling or purchase price or gross receipts from
4255		-	the use, sale or purchase of tangible personal property. This
4256		-	Section does not preempt a home rule municipality with a
4257		-	population of more than 2,000,000 from imposing a tax, however
4258		-	measured, on the use, for consideration, of a parking lot,
4259		-	garage, or other parking facility. This Section is not
4260		-	intended to affect any existing tax on food and beverages
4261		-	prepared for immediate consumption on the premises where the
4262		-	sale occurs, or any existing tax on alcoholic beverages, or
4263		-	any existing tax imposed on the charge for renting a hotel or
4264		-	motel room, which was in effect January 15, 1988, or any
4265		-	extension of the effective date of such an existing tax by
4266		-
4267		-
4268		-	ordinance of the municipality imposing the tax, which
4269		-	extension is hereby authorized, in any non-home rule
4270		-	municipality in which the imposition of such a tax has been
4271		-	upheld by judicial determination, nor is this Section intended
4272		-	to preempt the authority granted by Public Act 85-1006. On and
4273		-	after December 1, 2019, no home rule municipality has the
4274		-	authority to impose, pursuant to its home rule authority, a
4275		-	tax, however measured, on sales of aviation fuel, as defined
4276		-	in Section 3 of the Retailers' Occupation Tax Act, unless the
4277		-	tax is not subject to the revenue use requirements of 49 U.S.C.
4278		-	47107(b) and 49 U.S.C. 47133, or unless the tax revenue is
4279		-	expended for airport-related purposes. For purposes of this
4280		-	Section, "airport-related purposes" has the meaning ascribed
4281		-	in Section 6z-20.2 of the State Finance Act. Aviation fuel
4282		-	shall be excluded from tax only if, and for so long as, the
4283		-	revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
4284		-	47133 are binding on the municipality. This Section is a
4285		-	limitation, pursuant to subsection (g) of Section 6 of Article
4286		-	VII of the Illinois Constitution, on the power of home rule
4287		-	units to tax. The changes made to this Section by Public Act
4288		-	101-10 are a denial and limitation of home rule powers and
4289		-	functions under subsection (g) of Section 6 of Article VII of
4290		-	the Illinois Constitution.
4291		-	(Source: P.A. 101-10, eff. 6-5-19; 101-27, eff. 6-25-19;
4292		-	101-593, eff. 12-4-19.)
4293		-
4294		-
4295		-	(65 ILCS 5/8-11-24 new)
4296		-	Sec. 8-11-24. Municipal Grocery Occupation Tax Law.
4297		-	(a) The corporate authorities of any municipality may, by
4298		-	ordinance or resolution that takes effect on or after January
4299		-	1, 2026, impose a tax upon all persons engaged in the business
4300		-	of selling groceries at retail in the municipality on the
4301		-	gross receipts from those sales made in the course of that
4302		-	business. If imposed, the tax shall be at the rate of 1% of the
4303		-	gross receipts from these sales.
4304		-	The tax imposed by a municipality under this subsection
4305		-	and all civil penalties that may be assessed as an incident of
4306		-	the tax shall be collected and enforced by the Department. The
4307		-	certificate of registration that is issued by the Department
4308		-	to a retailer under the Retailers' Occupation Tax Act shall
4309		-	permit the retailer to engage in a business that is taxable
4310		-	under any ordinance or resolution enacted under this
4311		-	subsection without registering separately with the Department
4312		-	under that ordinance or resolution or under this subsection.
4313		-	The Department shall have full power to administer and
4314		-	enforce this subsection; to collect all taxes and penalties
4315		-	due under this subsection; to dispose of taxes and penalties
4316		-	so collected in the manner provided in this Section and under
4317		-	rules adopted by the Department; and to determine all rights
4318		-	to credit memoranda arising on account of the erroneous
4319		-	payment of tax or penalty under this subsection.
4320		-	In the administration of, and compliance with, this
4321		-
4322		-
4323		-	subsection, the Department and persons who are subject to this
4324		-	subsection shall have the same rights, remedies, privileges,
4325		-	immunities, powers, and duties, and be subject to the same
4326		-	conditions, restrictions, limitations, penalties and
4327		-	definitions of terms, and employ the same modes of procedure,
4328		-	as are prescribed in Sections 1, 2 through 2-65 (in respect to
4329		-	all provisions therein other than the State rate of tax), 2c, 3
4330		-	(except as to the disposition of taxes and penalties
4331		-	collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a,
4332		-	6b, 6c, 6d, 7, 8, 9, 10, 11, 11a, 12 and 13 of the Retailers'
4333		-	Occupation Tax Act and all of the Uniform Penalty and Interest
4334		-	Act, as fully as if those provisions were set forth in this
4335		-	Section.
4336		-	Persons subject to any tax imposed under the authority
4337		-	granted in this subsection may reimburse themselves for their
4338		-	seller's tax liability hereunder by separately stating that
4339		-	tax as an additional charge, which charge may be stated in
4340		-	combination, in a single amount, with State tax which sellers
4341		-	are required to collect under the Use Tax Act, pursuant to such
4342		-	bracket schedules as the Department may prescribe.
4343		-	(b) If a tax has been imposed under subsection (a), then a
4344		-	service occupation tax must also be imposed at the same rate
4345		-	upon all persons engaged, in the municipality, in the business
4346		-	of making sales of service, who, as an incident to making those
4347		-	sales of service, transfer groceries, as defined in this
4348		-	Section, as an incident to a sale of service.
4349		-
4350		-
4351		-	The tax imposed under this subsection and all civil
4352		-	penalties that may be assessed as an incident thereof shall be
4353		-	collected and enforced by the Department. The certificate of
4354		-	registration that is issued by the Department to a retailer
4355		-	under the Retailers' Occupation Tax Act or the Service
4356		-	Occupation Tax Act shall permit the registrant to engage in a
4357		-	business that is taxable under any ordinance or resolution
4358		-	enacted pursuant to this subsection without registering
4359		-	separately with the Department under the ordinance or
4360		-	resolution or under this subsection.
4361		-	The Department shall have full power to administer and
4362		-	enforce this subsection, to collect all taxes and penalties
4363		-	due under this subsection, to dispose of taxes and penalties
4364		-	so collected in the manner provided in this Section and under
4365		-	rules adopted by the Department, and to determine all rights
4366		-	to credit memoranda arising on account of the erroneous
4367		-	payment of a tax or penalty under this subsection.
4368		-	In the administration of and compliance with this
4369		-	subsection, the Department and persons who are subject to this
4370		-	subsection shall have the same rights, remedies, privileges,
4371		-	immunities, powers and duties, and be subject to the same
4372		-	conditions, restrictions, limitations, penalties and
4373		-	definitions of terms, and employ the same modes of procedure
4374		-	as are set forth in Sections 2, 2c, 3 through 3-50 (in respect
4375		-	to all provisions contained in those Sections other than the
4376		-	State rate of tax), 4, 5, 7, 8, 9 (except as to the disposition
4377		-
4378		-
4379		-	of taxes and penalties collected), 10, 11, 12, 13, 15, 16, 17,
4380		-	18, 19, and 20 of the Service Occupation Tax Act and all
4381		-	provisions of the Uniform Penalty and Interest Act, as fully
4382		-	as if those provisions were set forth in this Section.
4383		-	Persons subject to any tax imposed under the authority
4384		-	granted in this subsection may reimburse themselves for their
4385		-	serviceman's tax liability by separately stating the tax as an
4386		-	additional charge, which may be stated in combination, in a
4387		-	single amount, with State tax that servicemen are authorized
4388		-	to collect under the Service Use Tax Act, pursuant to any
4389		-	bracketed schedules set forth by the Department.
4390		-	(c) The Department shall immediately pay over to the State
4391		-	Treasurer, ex officio, as trustee, all taxes and penalties
4392		-	collected under this Section. Those taxes and penalties shall
4393		-	be deposited into the Municipal Grocery Tax Trust Fund, a
4394		-	trust fund created in the State treasury. Except as otherwise
4395		-	provided in this Section, moneys in the Municipal Grocery Tax
4396		-	Trust Fund shall be used to make payments to municipalities
4397		-	and for the payment of refunds under this Section.
4398		-	Moneys deposited into the Municipal Grocery Tax Trust Fund
4399		-	under this Section are not subject to appropriation and shall
4400		-	be used as provided in this Section. All deposits into the
4401		-	Municipal Grocery Tax Trust Fund shall be held in the
4402		-	Municipal Grocery Tax Trust Fund by the State Treasurer, ex
4403		-	officio, as trustee separate and apart from all public moneys
4404		-	or funds of this State.
4405		-
4406		-
4407		-	Whenever the Department determines that a refund should be
4408		-	made under this Section to a claimant instead of issuing a
4409		-	credit memorandum, the Department shall notify the State
4410		-	Comptroller, who shall cause the order to be drawn for the
4411		-	amount specified and to the person named in the notification
4412		-	from the Department. The refund shall be paid by the State
4413		-	Treasurer out of the Municipal Grocery Tax Trust Fund.
4414		-	(d) As soon as possible after the first day of each month,
4415		-	upon certification of the Department, the Comptroller shall
4416		-	order transferred, and the Treasurer shall transfer, to the
4417		-	STAR Bonds Revenue Fund the local sales tax increment, if any,
4418		-	as defined in the Innovation Development and Economy Act,
4419		-	collected under this Section.
4420		-	After the monthly transfer to the STAR Bonds Revenue Fund,
4421		-	if any, on or before the 25th day of each calendar month, the
4422		-	Department shall prepare and certify to the Comptroller the
4423		-	disbursement of stated sums of money to named municipalities,
4424		-	the municipalities to be those from which retailers have paid
4425		-	taxes or penalties under this Section to the Department during
4426		-	the second preceding calendar month. The amount to be paid to
4427		-	each municipality shall be the amount (not including credit
4428		-	memoranda) collected under this Section during the second
4429		-	preceding calendar month by the Department plus an amount the
4430		-	Department determines is necessary to offset any amounts that
4431		-	were erroneously paid to a different taxing body, and not
4432		-	including an amount equal to the amount of refunds made during
4433		-
4434		-
4435		-	the second preceding calendar month by the Department on
4436		-	behalf of such municipality, and not including any amount that
4437		-	the Department determines is necessary to offset any amounts
4438		-	that were payable to a different taxing body but were
4439		-	erroneously paid to the municipality, and not including any
4440		-	amounts that are transferred to the STAR Bonds Revenue Fund.
4441		-	Within 10 days after receipt by the Comptroller of the
4442		-	disbursement certification to the municipalities provided for
4443		-	in this Section to be given to the Comptroller by the
4444		-	Department, the Comptroller shall cause the orders to be drawn
4445		-	for the amounts in accordance with the directions contained in
4446		-	the certification.
4447		-	(e) Nothing in this Section shall be construed to
4448		-	authorize a municipality to impose a tax upon the privilege of
4449		-	engaging in any business which under the Constitution of the
4450		-	United States may not be made the subject of taxation by this
4451		-	State.
4452		-	(f) Except as otherwise provided in this subsection, an
4453		-	ordinance or resolution imposing or discontinuing the tax
4454		-	hereunder or effecting a change in the rate thereof shall
4455		-	either (i) be adopted and a certified copy thereof filed with
4456		-	the Department on or before the first day of April, whereupon
4457		-	the Department shall proceed to administer and enforce this
4458		-	Section as of the first day of July next following the adoption
4459		-	and filing or (ii) be adopted and a certified copy thereof
4460		-	filed with the Department on or before the first day of
4461		-
4462		-
4463		-	October, whereupon the Department shall proceed to administer
4464		-	and enforce this Section as of the first day of January next
4465		-	following the adoption and filing.
4466		-	(g) When certifying the amount of a monthly disbursement
4467		-	to a municipality under this Section, the Department shall
4468		-	increase or decrease the amount by an amount necessary to
4469		-	offset any misallocation of previous disbursements. The offset
4470		-	amount shall be the amount erroneously disbursed within the
4471		-	previous 6 months from the time a misallocation is discovered.
4472		-	(h) As used in this Section, "Department" means the
4473		-	Department of Revenue.
4474		-	For purposes of the tax authorized to be imposed under
4475		-	subsection (a), "groceries" has the same meaning as "food for
4476		-	human consumption that is to be consumed off the premises
4477		-	where it is sold (other than alcoholic beverages, food
4478		-	consisting of or infused with adult use cannabis, soft drinks,
4479		-	candy, and food that has been prepared for immediate
4480		-	consumption)", as further defined in Section 2-10 of the
4481		-	Retailers' Occupation Tax Act.
4482		-	For purposes of the tax authorized to be imposed under
4483		-	subsection (b), "groceries" has the same meaning as "food for
4484		-	human consumption that is to be consumed off the premises
4485		-	where it is sold (other than alcoholic beverages, food
4486		-	consisting of or infused with adult use cannabis, soft drinks,
4487		-	candy, and food that has been prepared for immediate
4488		-	consumption)", as further defined in Section 3-10 of the
4489		-
4490		-
4491		-	Service Occupation Tax Act. For purposes of the tax authorized
4492		-	to be imposed under subsection (b), "groceries" also means
4493		-	food prepared for immediate consumption and transferred
4494		-	incident to a sale of service subject to the Service
4495		-	Occupation Tax Act or the Service Use Tax Act by an entity
4496		-	licensed under the Hospital Licensing Act, the Nursing Home
4497		-	Care Act, the Assisted Living and Shared Housing Act, the
4498		-	ID/DD Community Care Act, the MC/DD Act, the Specialized
4499		-	Mental Health Rehabilitation Act of 2013, or the Child Care
4500		-	Act of 1969, or an entity that holds a permit issued pursuant
4501		-	to the Life Care Facilities Act.
4502		-	(i) This Section may be referred to as the Municipal
4503		-	Grocery Occupation Tax Law.
4504		-	Section 35. The Regional Transportation Authority Act is
4505		-	amended by changing Section 4.03 as follows:
4506		-	(70 ILCS 3615/4.03) (from Ch. 111 2/3, par. 704.03)
4507		-	Sec. 4.03. Taxes.
4508		-	(a) In order to carry out any of the powers or purposes of
4509		-	the Authority, the Board may by ordinance adopted with the
4510		-	concurrence of 12 of the then Directors, impose throughout the
4511		-	metropolitan region any or all of the taxes provided in this
4512		-	Section. Except as otherwise provided in this Act, taxes
4513		-	imposed under this Section and civil penalties imposed
4514		-	incident thereto shall be collected and enforced by the State
4515		-
4516		-
4517		-	Department of Revenue. The Department shall have the power to
4518		-	administer and enforce the taxes and to determine all rights
4519		-	for refunds for erroneous payments of the taxes. Nothing in
4520		-	Public Act 95-708 is intended to invalidate any taxes
4521		-	currently imposed by the Authority. The increased vote
4522		-	requirements to impose a tax shall only apply to actions taken
4523		-	after January 1, 2008 (the effective date of Public Act
4524		-	95-708).
4525		-	(b) The Board may impose a public transportation tax upon
4526		-	all persons engaged in the metropolitan region in the business
4527		-	of selling at retail motor fuel for operation of motor
4528		-	vehicles upon public highways. The tax shall be at a rate not
4529		-	to exceed 5% of the gross receipts from the sales of motor fuel
4530		-	in the course of the business. As used in this Act, the term
4531		-	"motor fuel" shall have the same meaning as in the Motor Fuel
4532		-	Tax Law. The Board may provide for details of the tax. The
4533		-	provisions of any tax shall conform, as closely as may be
4534		-	practicable, to the provisions of the Municipal Retailers
4535		-	Occupation Tax Act, including without limitation, conformity
4536		-	to penalties with respect to the tax imposed and as to the
4537		-	powers of the State Department of Revenue to promulgate and
4538		-	enforce rules and regulations relating to the administration
4539		-	and enforcement of the provisions of the tax imposed, except
4540		-	that reference in the Act to any municipality shall refer to
4541		-	the Authority and the tax shall be imposed only with regard to
4542		-	receipts from sales of motor fuel in the metropolitan region,
4543		-
4544		-
4545		-	at rates as limited by this Section.
4546		-	(c) In connection with the tax imposed under paragraph (b)
4547		-	of this Section, the Board may impose a tax upon the privilege
4548		-	of using in the metropolitan region motor fuel for the
4549		-	operation of a motor vehicle upon public highways, the tax to
4550		-	be at a rate not in excess of the rate of tax imposed under
4551		-	paragraph (b) of this Section. The Board may provide for
4552		-	details of the tax.
4553		-	(d) The Board may impose a motor vehicle parking tax upon
4554		-	the privilege of parking motor vehicles at off-street parking
4555		-	facilities in the metropolitan region at which a fee is
4556		-	charged, and may provide for reasonable classifications in and
4557		-	exemptions to the tax, for administration and enforcement
4558		-	thereof and for civil penalties and refunds thereunder and may
4559		-	provide criminal penalties thereunder, the maximum penalties
4560		-	not to exceed the maximum criminal penalties provided in the
4561		-	Retailers' Occupation Tax Act. The Authority may collect and
4562		-	enforce the tax itself or by contract with any unit of local
4563		-	government. The State Department of Revenue shall have no
4564		-	responsibility for the collection and enforcement unless the
4565		-	Department agrees with the Authority to undertake the
4566		-	collection and enforcement. As used in this paragraph, the
4567		-	term "parking facility" means a parking area or structure
4568		-	having parking spaces for more than 2 vehicles at which motor
4569		-	vehicles are permitted to park in return for an hourly, daily,
4570		-	or other periodic fee, whether publicly or privately owned,
4571		-
4572		-
4573		-	but does not include parking spaces on a public street, the use
4574		-	of which is regulated by parking meters.
4575		-	(e) The Board may impose a Regional Transportation
4576		-	Authority Retailers' Occupation Tax upon all persons engaged
4577		-	in the business of selling tangible personal property at
4578		-	retail in the metropolitan region. In Cook County, the tax
4579		-	rate shall be 1.25% of the gross receipts from sales of food
4580		-	for human consumption that is to be consumed off the premises
4581		-	where it is sold (other than alcoholic beverages, food
4582		-	consisting of or infused with adult use cannabis, soft drinks,
4583		-	candy, and food that has been prepared for immediate
4584		-	consumption) and tangible personal property taxed at the 1%
4585		-	rate under the Retailers' Occupation Tax Act (or at the 0% rate
4586		-	imposed under this amendatory Act of the 102nd General
4587		-	Assembly), and 1% of the gross receipts from other taxable
4588		-	sales made in the course of that business. In DuPage, Kane,
4589		-	Lake, McHenry, and Will counties, the tax rate shall be 0.75%
4590		-	of the gross receipts from all taxable sales made in the course
4591		-	of that business. The rate of tax imposed in DuPage, Kane,
4592		-	Lake, McHenry, and Will counties under this Section on sales
4593		-	of aviation fuel on or after December 1, 2019 shall, however,
4594		-	be 0.25% unless the Regional Transportation Authority in
4595		-	DuPage, Kane, Lake, McHenry, and Will counties has an
4596		-	"airport-related purpose" and the additional 0.50% of the
4597		-	0.75% tax on aviation fuel is expended for airport-related
4598		-	purposes. If there is no airport-related purpose to which
4599		-
4600		-
4601		-	aviation fuel tax revenue is dedicated, then aviation fuel is
4602		-	excluded from the additional 0.50% of the 0.75% tax. The tax
4603		-	imposed under this Section and all civil penalties that may be
4604		-	assessed as an incident thereof shall be collected and
4605		-	enforced by the State Department of Revenue. The Department
4606		-	shall have full power to administer and enforce this Section;
4607		-	to collect all taxes and penalties so collected in the manner
4608		-	hereinafter provided; and to determine all rights to credit
4609		-	memoranda arising on account of the erroneous payment of tax
4610		-	or penalty hereunder. In the administration of, and compliance
4611		-	with this Section, the Department and persons who are subject
4612		-	to this Section shall have the same rights, remedies,
4613		-	privileges, immunities, powers, and duties, and be subject to
4614		-	the same conditions, restrictions, limitations, penalties,
4615		-	exclusions, exemptions, and definitions of terms, and employ
4616		-	the same modes of procedure, as are prescribed in Sections 1,
4617		-	1a, 1a-1, 1c, 1d, 1e, 1f, 1i, 1j, 2 through 2-65 (in respect to
4618		-	all provisions therein other than the State rate of tax), 2c, 3
4619		-	(except as to the disposition of taxes and penalties
4620		-	collected, and except that the retailer's discount is not
4621		-	allowed for taxes paid on aviation fuel that are subject to the
4622		-	revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
4623		-	47133), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l,
4624		-	6, 6a, 6b, 6c, 6d, 7, 8, 9, 10, 11, 12, and 13 of the
4625		-	Retailers' Occupation Tax Act and Section 3-7 of the Uniform
4626		-	Penalty and Interest Act, as fully as if those provisions were
4627		-
4628		-
4629		-	set forth herein.
4630		-	The Board and DuPage, Kane, Lake, McHenry, and Will
4631		-	counties must comply with the certification requirements for
4632		-	airport-related purposes under Section 2-22 of the Retailers'
4633		-	Occupation Tax Act. For purposes of this Section,
4634		-	"airport-related purposes" has the meaning ascribed in Section
4635		-	6z-20.2 of the State Finance Act. This exclusion for aviation
4636		-	fuel only applies for so long as the revenue use requirements
4637		-	of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
4638		-	Authority.
4639		-	Persons subject to any tax imposed under the authority
4640		-	granted in this Section may reimburse themselves for their
4641		-	seller's tax liability hereunder by separately stating the tax
4642		-	as an additional charge, which charge may be stated in
4643		-	combination in a single amount with State taxes that sellers
4644		-	are required to collect under the Use Tax Act, under any
4645		-	bracket schedules the Department may prescribe.
4646		-	Whenever the Department determines that a refund should be
4647		-	made under this Section to a claimant instead of issuing a
4648		-	credit memorandum, the Department shall notify the State
4649		-	Comptroller, who shall cause the warrant to be drawn for the
4650		-	amount specified, and to the person named, in the notification
4651		-	from the Department. The refund shall be paid by the State
4652		-	Treasurer out of the Regional Transportation Authority tax
4653		-	fund established under paragraph (n) of this Section or the
4654		-	Local Government Aviation Trust Fund, as appropriate.
4655		-
4656		-
4657		-	If a tax is imposed under this subsection (e), a tax shall
4658		-	also be imposed under subsections (f) and (g) of this Section.
4659		-	For the purpose of determining whether a tax authorized
4660		-	under this Section is applicable, a retail sale by a producer
4661		-	of coal or other mineral mined in Illinois, is a sale at retail
4662		-	at the place where the coal or other mineral mined in Illinois
4663		-	is extracted from the earth. This paragraph does not apply to
4664		-	coal or other mineral when it is delivered or shipped by the
4665		-	seller to the purchaser at a point outside Illinois so that the
4666		-	sale is exempt under the Federal Constitution as a sale in
4667		-	interstate or foreign commerce.
4668		-	No tax shall be imposed or collected under this subsection
4669		-	on the sale of a motor vehicle in this State to a resident of
4670		-	another state if that motor vehicle will not be titled in this
4671		-	State.
4672		-	Nothing in this Section shall be construed to authorize
4673		-	the Regional Transportation Authority to impose a tax upon the
4674		-	privilege of engaging in any business that under the
4675		-	Constitution of the United States may not be made the subject
4676		-	of taxation by this State.
4677		-	(f) If a tax has been imposed under paragraph (e), a
4678		-	Regional Transportation Authority Service Occupation Tax shall
4679		-	also be imposed upon all persons engaged, in the metropolitan
4680		-	region in the business of making sales of service, who as an
4681		-	incident to making the sales of service, transfer tangible
4682		-	personal property within the metropolitan region, either in
4683		-
4684		-
4685		-	the form of tangible personal property or in the form of real
4686		-	estate as an incident to a sale of service. In Cook County, the
4687		-	tax rate shall be: (1) 1.25% of the serviceman's cost price of
4688		-	food prepared for immediate consumption and transferred
4689		-	incident to a sale of service subject to the service
4690		-	occupation tax by an entity that is located in the
4691		-	metropolitan region and that is licensed under the Hospital
4692		-	Licensing Act, the Nursing Home Care Act, the Assisted Living
4693		-	and Shared Housing Act, the Specialized Mental Health
4694		-	Rehabilitation Act of 2013, the ID/DD Community Care Act, or
4695		-	the MC/DD Act, or the Child Care Act of 1969, or an entity that
4696		-	holds a permit issued pursuant to the Life Care Facilities Act
4697		-	that is located in the metropolitan region; (2) 1.25% of the
4698		-	selling price of food for human consumption that is to be
4699		-	consumed off the premises where it is sold (other than
4700		-	alcoholic beverages, food consisting of or infused with adult
4701		-	use cannabis, soft drinks, candy, and food that has been
4702		-	prepared for immediate consumption) and tangible personal
4703		-	property taxed at the 1% rate under the Service Occupation Tax
4704		-	Act (or at the 0% rate imposed under this amendatory Act of the
4705		-	102nd General Assembly); and (3) 1% of the selling price from
4706		-	other taxable sales of tangible personal property transferred.
4707		-	In DuPage, Kane, Lake, McHenry, and Will counties, the rate
4708		-	shall be 0.75% of the selling price of all tangible personal
4709		-	property transferred. The rate of tax imposed in DuPage, Kane,
4710		-	Lake, McHenry, and Will counties under this Section on sales
4711		-
4712		-
4713		-	of aviation fuel on or after December 1, 2019 shall, however,
4714		-	be 0.25% unless the Regional Transportation Authority in
4715		-	DuPage, Kane, Lake, McHenry, and Will counties has an
4716		-	"airport-related purpose" and the additional 0.50% of the
4717		-	0.75% tax on aviation fuel is expended for airport-related
4718		-	purposes. If there is no airport-related purpose to which
4719		-	aviation fuel tax revenue is dedicated, then aviation fuel is
4720		-	excluded from the additional 0.5% of the 0.75% tax.
4721		-	The Board and DuPage, Kane, Lake, McHenry, and Will
4722		-	counties must comply with the certification requirements for
4723		-	airport-related purposes under Section 2-22 of the Retailers'
4724		-	Occupation Tax Act. For purposes of this Section,
4725		-	"airport-related purposes" has the meaning ascribed in Section
4726		-	6z-20.2 of the State Finance Act. This exclusion for aviation
4727		-	fuel only applies for so long as the revenue use requirements
4728		-	of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
4729		-	Authority.
4730		-	The tax imposed under this paragraph and all civil
4731		-	penalties that may be assessed as an incident thereof shall be
4732		-	collected and enforced by the State Department of Revenue. The
4733		-	Department shall have full power to administer and enforce
4734		-	this paragraph; to collect all taxes and penalties due
4735		-	hereunder; to dispose of taxes and penalties collected in the
4736		-	manner hereinafter provided; and to determine all rights to
4737		-	credit memoranda arising on account of the erroneous payment
4738		-	of tax or penalty hereunder. In the administration of and
4739		-
4740		-
4741		-	compliance with this paragraph, the Department and persons who
4742		-	are subject to this paragraph shall have the same rights,
4743		-	remedies, privileges, immunities, powers, and duties, and be
4744		-	subject to the same conditions, restrictions, limitations,
4745		-	penalties, exclusions, exemptions, and definitions of terms,
4746		-	and employ the same modes of procedure, as are prescribed in
4747		-	Sections 1a-1, 2, 2a, 3 through 3-50 (in respect to all
4748		-	provisions therein other than the State rate of tax), 4
4749		-	(except that the reference to the State shall be to the
4750		-	Authority), 5, 7, 8 (except that the jurisdiction to which the
4751		-	tax shall be a debt to the extent indicated in that Section 8
4752		-	shall be the Authority), 9 (except as to the disposition of
4753		-	taxes and penalties collected, and except that the returned
4754		-	merchandise credit for this tax may not be taken against any
4755		-	State tax, and except that the retailer's discount is not
4756		-	allowed for taxes paid on aviation fuel that are subject to the
4757		-	revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
4758		-	47133), 10, 11, 12 (except the reference therein to Section 2b
4759		-	of the Retailers' Occupation Tax Act), 13 (except that any
4760		-	reference to the State shall mean the Authority), the first
4761		-	paragraph of Section 15, 16, 17, 18, 19, and 20 of the Service
4762		-	Occupation Tax Act and Section 3-7 of the Uniform Penalty and
4763		-	Interest Act, as fully as if those provisions were set forth
4764		-	herein.
4765		-	Persons subject to any tax imposed under the authority
4766		-	granted in this paragraph may reimburse themselves for their
4767		-
4768		-
4769		-	serviceman's tax liability hereunder by separately stating the
4770		-	tax as an additional charge, that charge may be stated in
4771		-	combination in a single amount with State tax that servicemen
4772		-	are authorized to collect under the Service Use Tax Act, under
4773		-	any bracket schedules the Department may prescribe.
4774		-	Whenever the Department determines that a refund should be
4775		-	made under this paragraph to a claimant instead of issuing a
4776		-	credit memorandum, the Department shall notify the State
4777		-	Comptroller, who shall cause the warrant to be drawn for the
4778		-	amount specified, and to the person named in the notification
4779		-	from the Department. The refund shall be paid by the State
4780		-	Treasurer out of the Regional Transportation Authority tax
4781		-	fund established under paragraph (n) of this Section or the
4782		-	Local Government Aviation Trust Fund, as appropriate.
4783		-	Nothing in this paragraph shall be construed to authorize
4784		-	the Authority to impose a tax upon the privilege of engaging in
4785		-	any business that under the Constitution of the United States
4786		-	may not be made the subject of taxation by the State.
4787		-	(g) If a tax has been imposed under paragraph (e), a tax
4788		-	shall also be imposed upon the privilege of using in the
4789		-	metropolitan region, any item of tangible personal property
4790		-	that is purchased outside the metropolitan region at retail
4791		-	from a retailer, and that is titled or registered with an
4792		-	agency of this State's government. In Cook County, the tax
4793		-	rate shall be 1% of the selling price of the tangible personal
4794		-	property, as "selling price" is defined in the Use Tax Act. In
4795		-
4796		-
4797		-	DuPage, Kane, Lake, McHenry, and Will counties, the tax rate
4798		-	shall be 0.75% of the selling price of the tangible personal
4799		-	property, as "selling price" is defined in the Use Tax Act. The
4800		-	tax shall be collected from persons whose Illinois address for
4801		-	titling or registration purposes is given as being in the
4802		-	metropolitan region. The tax shall be collected by the
4803		-	Department of Revenue for the Regional Transportation
4804		-	Authority. The tax must be paid to the State, or an exemption
4805		-	determination must be obtained from the Department of Revenue,
4806		-	before the title or certificate of registration for the
4807		-	property may be issued. The tax or proof of exemption may be
4808		-	transmitted to the Department by way of the State agency with
4809		-	which, or the State officer with whom, the tangible personal
4810		-	property must be titled or registered if the Department and
4811		-	the State agency or State officer determine that this
4812		-	procedure will expedite the processing of applications for
4813		-	title or registration.
4814		-	The Department shall have full power to administer and
4815		-	enforce this paragraph; to collect all taxes, penalties, and
4816		-	interest due hereunder; to dispose of taxes, penalties, and
4817		-	interest collected in the manner hereinafter provided; and to
4818		-	determine all rights to credit memoranda or refunds arising on
4819		-	account of the erroneous payment of tax, penalty, or interest
4820		-	hereunder. In the administration of and compliance with this
4821		-	paragraph, the Department and persons who are subject to this
4822		-	paragraph shall have the same rights, remedies, privileges,
4823		-
4824		-
4825		-	immunities, powers, and duties, and be subject to the same
4826		-	conditions, restrictions, limitations, penalties, exclusions,
4827		-	exemptions, and definitions of terms and employ the same modes
4828		-	of procedure, as are prescribed in Sections 2 (except the
4829		-	definition of "retailer maintaining a place of business in
4830		-	this State"), 3 through 3-80 (except provisions pertaining to
4831		-	the State rate of tax, and except provisions concerning
4832		-	collection or refunding of the tax by retailers), 4, 11, 12,
4833		-	12a, 14, 15, 19 (except the portions pertaining to claims by
4834		-	retailers and except the last paragraph concerning refunds),
4835		-	20, 21, and 22 of the Use Tax Act, and are not inconsistent
4836		-	with this paragraph, as fully as if those provisions were set
4837		-	forth herein.
4838		-	Whenever the Department determines that a refund should be
4839		-	made under this paragraph to a claimant instead of issuing a
4840		-	credit memorandum, the Department shall notify the State
4841		-	Comptroller, who shall cause the order to be drawn for the
4842		-	amount specified, and to the person named in the notification
4843		-	from the Department. The refund shall be paid by the State
4844		-	Treasurer out of the Regional Transportation Authority tax
4845		-	fund established under paragraph (n) of this Section.
4846		-	(h) The Authority may impose a replacement vehicle tax of
4847		-	$50 on any passenger car as defined in Section 1-157 of the
4848		-	Illinois Vehicle Code purchased within the metropolitan region
4849		-	by or on behalf of an insurance company to replace a passenger
4850		-	car of an insured person in settlement of a total loss claim.
4851		-
4852		-
4853		-	The tax imposed may not become effective before the first day
4854		-	of the month following the passage of the ordinance imposing
4855		-	the tax and receipt of a certified copy of the ordinance by the
4856		-	Department of Revenue. The Department of Revenue shall collect
4857		-	the tax for the Authority in accordance with Sections 3-2002
4858		-	and 3-2003 of the Illinois Vehicle Code.
4859		-	The Department shall immediately pay over to the State
4860		-	Treasurer, ex officio, as trustee, all taxes collected
4861		-	hereunder.
4862		-	As soon as possible after the first day of each month,
4863		-	beginning January 1, 2011, upon certification of the
4864		-	Department of Revenue, the Comptroller shall order
4865		-	transferred, and the Treasurer shall transfer, to the STAR
4866		-	Bonds Revenue Fund the local sales tax increment, as defined
4867		-	in the Innovation Development and Economy Act, collected under
4868		-	this Section during the second preceding calendar month for
4869		-	sales within a STAR bond district.
4870		-	After the monthly transfer to the STAR Bonds Revenue Fund,
4871		-	on or before the 25th day of each calendar month, the
4872		-	Department shall prepare and certify to the Comptroller the
4873		-	disbursement of stated sums of money to the Authority. The
4874		-	amount to be paid to the Authority shall be the amount
4875		-	collected hereunder during the second preceding calendar month
4876		-	by the Department, less any amount determined by the
4877		-	Department to be necessary for the payment of refunds, and
4878		-	less any amounts that are transferred to the STAR Bonds
4879		-
4880		-
4881		-	Revenue Fund. Within 10 days after receipt by the Comptroller
4882		-	of the disbursement certification to the Authority provided
4883		-	for in this Section to be given to the Comptroller by the
4884		-	Department, the Comptroller shall cause the orders to be drawn
4885		-	for that amount in accordance with the directions contained in
4886		-	the certification.
4887		-	(i) The Board may not impose any other taxes except as it
4888		-	may from time to time be authorized by law to impose.
4889		-	(j) A certificate of registration issued by the State
4890		-	Department of Revenue to a retailer under the Retailers'
4891		-	Occupation Tax Act or under the Service Occupation Tax Act
4892		-	shall permit the registrant to engage in a business that is
4893		-	taxed under the tax imposed under paragraphs (b), (e), (f) or
4894		-	(g) of this Section and no additional registration shall be
4895		-	required under the tax. A certificate issued under the Use Tax
4896		-	Act or the Service Use Tax Act shall be applicable with regard
4897		-	to any tax imposed under paragraph (c) of this Section.
4898		-	(k) The provisions of any tax imposed under paragraph (c)
4899		-	of this Section shall conform as closely as may be practicable
4900		-	to the provisions of the Use Tax Act, including without
4901		-	limitation conformity as to penalties with respect to the tax
4902		-	imposed and as to the powers of the State Department of Revenue
4903		-	to promulgate and enforce rules and regulations relating to
4904		-	the administration and enforcement of the provisions of the
4905		-	tax imposed. The taxes shall be imposed only on use within the
4906		-	metropolitan region and at rates as provided in the paragraph.
4907		-
4908		-
4909		-	(l) The Board in imposing any tax as provided in
4910		-	paragraphs (b) and (c) of this Section, shall, after seeking
4911		-	the advice of the State Department of Revenue, provide means
4912		-	for retailers, users or purchasers of motor fuel for purposes
4913		-	other than those with regard to which the taxes may be imposed
4914		-	as provided in those paragraphs to receive refunds of taxes
4915		-	improperly paid, which provisions may be at variance with the
4916		-	refund provisions as applicable under the Municipal Retailers
4917		-	Occupation Tax Act. The State Department of Revenue may
4918		-	provide for certificates of registration for users or
4919		-	purchasers of motor fuel for purposes other than those with
4920		-	regard to which taxes may be imposed as provided in paragraphs
4921		-	(b) and (c) of this Section to facilitate the reporting and
4922		-	nontaxability of the exempt sales or uses.
4923		-	(m) Any ordinance imposing or discontinuing any tax under
4924		-	this Section shall be adopted and a certified copy thereof
4925		-	filed with the Department on or before June 1, whereupon the
4926		-	Department of Revenue shall proceed to administer and enforce
4927		-	this Section on behalf of the Regional Transportation
4928		-	Authority as of September 1 next following such adoption and
4929		-	filing. Beginning January 1, 1992, an ordinance or resolution
4930		-	imposing or discontinuing the tax hereunder shall be adopted
4931		-	and a certified copy thereof filed with the Department on or
4932		-	before the first day of July, whereupon the Department shall
4933		-	proceed to administer and enforce this Section as of the first
4934		-	day of October next following such adoption and filing.
4935		-
4936		-
4937		-	Beginning January 1, 1993, an ordinance or resolution
4938		-	imposing, increasing, decreasing, or discontinuing the tax
4939		-	hereunder shall be adopted and a certified copy thereof filed
4940		-	with the Department, whereupon the Department shall proceed to
4941		-	administer and enforce this Section as of the first day of the
4942		-	first month to occur not less than 60 days following such
4943		-	adoption and filing. Any ordinance or resolution of the
4944		-	Authority imposing a tax under this Section and in effect on
4945		-	August 1, 2007 shall remain in full force and effect and shall
4946		-	be administered by the Department of Revenue under the terms
4947		-	and conditions and rates of tax established by such ordinance
4948		-	or resolution until the Department begins administering and
4949		-	enforcing an increased tax under this Section as authorized by
4950		-	Public Act 95-708. The tax rates authorized by Public Act
4951		-	95-708 are effective only if imposed by ordinance of the
4952		-	Authority.
4953		-	(n) Except as otherwise provided in this subsection (n),
4954		-	the State Department of Revenue shall, upon collecting any
4955		-	taxes as provided in this Section, pay the taxes over to the
4956		-	State Treasurer as trustee for the Authority. The taxes shall
4957		-	be held in a trust fund outside the State Treasury. If an
4958		-	airport-related purpose has been certified, taxes and
4959		-	penalties collected in DuPage, Kane, Lake, McHenry and Will
4960		-	counties on aviation fuel sold on or after December 1, 2019
4961		-	from the 0.50% of the 0.75% rate shall be immediately paid over
4962		-	by the Department to the State Treasurer, ex officio, as
4963		-
4964		-
4965		-	trustee, for deposit into the Local Government Aviation Trust
4966		-	Fund. The Department shall only pay moneys into the Local
4967		-	Government Aviation Trust Fund under this Act for so long as
4968		-	the revenue use requirements of 49 U.S.C. 47107(b) and 49
4969		-	U.S.C. 47133 are binding on the Authority. On or before the
4970		-	25th day of each calendar month, the State Department of
4971		-	Revenue shall prepare and certify to the Comptroller of the
4972		-	State of Illinois and to the Authority (i) the amount of taxes
4973		-	collected in each county other than Cook County in the
4974		-	metropolitan region, (not including, if an airport-related
4975		-	purpose has been certified, the taxes and penalties collected
4976		-	from the 0.50% of the 0.75% rate on aviation fuel sold on or
4977		-	after December 1, 2019 that are deposited into the Local
4978		-	Government Aviation Trust Fund) (ii) the amount of taxes
4979		-	collected within the City of Chicago, and (iii) the amount
4980		-	collected in that portion of Cook County outside of Chicago,
4981		-	each amount less the amount necessary for the payment of
4982		-	refunds to taxpayers located in those areas described in items
4983		-	(i), (ii), and (iii), and less 1.5% of the remainder, which
4984		-	shall be transferred from the trust fund into the Tax
4985		-	Compliance and Administration Fund. The Department, at the
4986		-	time of each monthly disbursement to the Authority, shall
4987		-	prepare and certify to the State Comptroller the amount to be
4988		-	transferred into the Tax Compliance and Administration Fund
4989		-	under this subsection. Within 10 days after receipt by the
4990		-	Comptroller of the certification of the amounts, the
4991		-
4992		-
4993		-	Comptroller shall cause an order to be drawn for the transfer
4994		-	of the amount certified into the Tax Compliance and
4995		-	Administration Fund and the payment of two-thirds of the
4996		-	amounts certified in item (i) of this subsection to the
4997		-	Authority and one-third of the amounts certified in item (i)
4998		-	of this subsection to the respective counties other than Cook
4999		-	County and the amount certified in items (ii) and (iii) of this
5000		-	subsection to the Authority.
5001		-	In addition to the disbursement required by the preceding
5002		-	paragraph, an allocation shall be made in July 1991 and each
5003		-	year thereafter to the Regional Transportation Authority. The
5004		-	allocation shall be made in an amount equal to the average
5005		-	monthly distribution during the preceding calendar year
5006		-	(excluding the 2 months of lowest receipts) and the allocation
5007		-	shall include the amount of average monthly distribution from
5008		-	the Regional Transportation Authority Occupation and Use Tax
5009		-	Replacement Fund. The distribution made in July 1992 and each
5010		-	year thereafter under this paragraph and the preceding
5011		-	paragraph shall be reduced by the amount allocated and
5012		-	disbursed under this paragraph in the preceding calendar year.
5013		-	The Department of Revenue shall prepare and certify to the
5014		-	Comptroller for disbursement the allocations made in
5015		-	accordance with this paragraph.
5016		-	(o) Failure to adopt a budget ordinance or otherwise to
5017		-	comply with Section 4.01 of this Act or to adopt a Five-year
5018		-	Capital Program or otherwise to comply with paragraph (b) of
5019		-
5020		-
5021		-	Section 2.01 of this Act shall not affect the validity of any
5022		-	tax imposed by the Authority otherwise in conformity with law.
5023		-	(p) At no time shall a public transportation tax or motor
5024		-	vehicle parking tax authorized under paragraphs (b), (c), and
5025		-	(d) of this Section be in effect at the same time as any
5026		-	retailers' occupation, use or service occupation tax
5027		-	authorized under paragraphs (e), (f), and (g) of this Section
5028		-	is in effect.
5029		-	Any taxes imposed under the authority provided in
5030		-	paragraphs (b), (c), and (d) shall remain in effect only until
5031		-	the time as any tax authorized by paragraph (e), (f), or (g) of
5032		-	this Section are imposed and becomes effective. Once any tax
5033		-	authorized by paragraph (e), (f), or (g) is imposed the Board
5034		-	may not reimpose taxes as authorized in paragraphs (b), (c),
5035		-	and (d) of the Section unless any tax authorized by paragraph
5036		-	(e), (f), or (g) of this Section becomes ineffective by means
5037		-	other than an ordinance of the Board.
5038		-	(q) Any existing rights, remedies and obligations
5039		-	(including enforcement by the Regional Transportation
5040		-	Authority) arising under any tax imposed under paragraph (b),
5041		-	(c), or (d) of this Section shall not be affected by the
5042		-	imposition of a tax under paragraph (e), (f), or (g) of this
5043		-	Section.
5044		-	(Source: P.A. 101-10, eff. 6-5-19; 101-81, eff. 7-12-19;
5045		-	101-604, eff. 12-13-19; 102-700, eff. 4-19-22.)
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	34	+	1 support of arts or cultural programming, activities, or
	35	+	2 services. These organizations include, but are not limited to,
	36	+	3 music and dramatic arts organizations such as symphony
	37	+	4 orchestras and theatrical groups, arts and cultural service
	38	+	5 organizations, local arts councils, visual arts organizations,
	39	+	6 and media arts organizations. On and after July 1, 2001 (the
	40	+	7 effective date of Public Act 92-35), however, an entity
	41	+	8 otherwise eligible for this exemption shall not make tax-free
	42	+	9 purchases unless it has an active identification number issued
	43	+	10 by the Department.
	44	+	11 (4) Except as otherwise provided in this Act, personal
	45	+	12 property purchased by a governmental body, by a corporation,
	46	+	13 society, association, foundation, or institution organized and
	47	+	14 operated exclusively for charitable, religious, or educational
	48	+	15 purposes, or by a not-for-profit corporation, society,
	49	+	16 association, foundation, institution, or organization that has
	50	+	17 no compensated officers or employees and that is organized and
	51	+	18 operated primarily for the recreation of persons 55 years of
	52	+	19 age or older. A limited liability company may qualify for the
	53	+	20 exemption under this paragraph only if the limited liability
	54	+	21 company is organized and operated exclusively for educational
	55	+	22 purposes. On and after July 1, 1987, however, no entity
	56	+	23 otherwise eligible for this exemption shall make tax-free
	57	+	24 purchases unless it has an active exemption identification
	58	+	25 number issued by the Department.
	59	+	26 (5) Until July 1, 2003, a passenger car that is a
	60	+
	61	+
	62	+
	63	+
	64	+
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	67	+
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	70	+	1 replacement vehicle to the extent that the purchase price of
	71	+	2 the car is subject to the Replacement Vehicle Tax.
	72	+	3 (6) Until July 1, 2003 and beginning again on September 1,
	73	+	4 2004 through August 30, 2014, graphic arts machinery and
	74	+	5 equipment, including repair and replacement parts, both new
	75	+	6 and used, and including that manufactured on special order,
	76	+	7 certified by the purchaser to be used primarily for graphic
	77	+	8 arts production, and including machinery and equipment
	78	+	9 purchased for lease. Equipment includes chemicals or chemicals
	79	+	10 acting as catalysts but only if the chemicals or chemicals
	80	+	11 acting as catalysts effect a direct and immediate change upon
	81	+	12 a graphic arts product. Beginning on July 1, 2017, graphic
	82	+	13 arts machinery and equipment is included in the manufacturing
	83	+	14 and assembling machinery and equipment exemption under
	84	+	15 paragraph (18).
	85	+	16 (7) Farm chemicals.
	86	+	17 (8) Legal tender, currency, medallions, or gold or silver
	87	+	18 coinage issued by the State of Illinois, the government of the
	88	+	19 United States of America, or the government of any foreign
	89	+	20 country, and bullion.
	90	+	21 (9) Personal property purchased from a teacher-sponsored
	91	+	22 student organization affiliated with an elementary or
	92	+	23 secondary school located in Illinois.
	93	+	24 (10) A motor vehicle that is used for automobile renting,
	94	+	25 as defined in the Automobile Renting Occupation and Use Tax
	95	+	26 Act.
	96	+
	97	+
	98	+
	99	+
	100	+
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	102	+
	103	+
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	106	+	1 (11) Farm machinery and equipment, both new and used,
	107	+	2 including that manufactured on special order, certified by the
	108	+	3 purchaser to be used primarily for production agriculture or
	109	+	4 State or federal agricultural programs, including individual
	110	+	5 replacement parts for the machinery and equipment, including
	111	+	6 machinery and equipment purchased for lease, and including
	112	+	7 implements of husbandry defined in Section 1-130 of the
	113	+	8 Illinois Vehicle Code, farm machinery and agricultural
	114	+	9 chemical and fertilizer spreaders, and nurse wagons required
	115	+	10 to be registered under Section 3-809 of the Illinois Vehicle
	116	+	11 Code, but excluding other motor vehicles required to be
	117	+	12 registered under the Illinois Vehicle Code. Horticultural
	118	+	13 polyhouses or hoop houses used for propagating, growing, or
	119	+	14 overwintering plants shall be considered farm machinery and
	120	+	15 equipment under this item (11). Agricultural chemical tender
	121	+	16 tanks and dry boxes shall include units sold separately from a
	122	+	17 motor vehicle required to be licensed and units sold mounted
	123	+	18 on a motor vehicle required to be licensed if the selling price
	124	+	19 of the tender is separately stated.
	125	+	20 Farm machinery and equipment shall include precision
	126	+	21 farming equipment that is installed or purchased to be
	127	+	22 installed on farm machinery and equipment, including, but not
	128	+	23 limited to, tractors, harvesters, sprayers, planters, seeders,
	129	+	24 or spreaders. Precision farming equipment includes, but is not
	130	+	25 limited to, soil testing sensors, computers, monitors,
	131	+	26 software, global positioning and mapping systems, and other
	132	+
	133	+
	134	+
	135	+
	136	+
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	138	+
	139	+
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	142	+	1 such equipment.
	143	+	2 Farm machinery and equipment also includes computers,
	144	+	3 sensors, software, and related equipment used primarily in the
	145	+	4 computer-assisted operation of production agriculture
	146	+	5 facilities, equipment, and activities such as, but not limited
	147	+	6 to, the collection, monitoring, and correlation of animal and
	148	+	7 crop data for the purpose of formulating animal diets and
	149	+	8 agricultural chemicals.
	150	+	9 Beginning on January 1, 2024, farm machinery and equipment
	151	+	10 also includes electrical power generation equipment used
	152	+	11 primarily for production agriculture.
	153	+	12 This item (11) is exempt from the provisions of Section
	154	+	13 3-90.
	155	+	14 (12) Until June 30, 2013, fuel and petroleum products sold
	156	+	15 to or used by an air common carrier, certified by the carrier
	157	+	16 to be used for consumption, shipment, or storage in the
	158	+	17 conduct of its business as an air common carrier, for a flight
	159	+	18 destined for or returning from a location or locations outside
	160	+	19 the United States without regard to previous or subsequent
	161	+	20 domestic stopovers.
	162	+	21 Beginning July 1, 2013, fuel and petroleum products sold
	163	+	22 to or used by an air carrier, certified by the carrier to be
	164	+	23 used for consumption, shipment, or storage in the conduct of
	165	+	24 its business as an air common carrier, for a flight that (i) is
	166	+	25 engaged in foreign trade or is engaged in trade between the
	167	+	26 United States and any of its possessions and (ii) transports
	168	+
	169	+
	170	+
	171	+
	172	+
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	175	+
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	178	+	1 at least one individual or package for hire from the city of
	179	+	2 origination to the city of final destination on the same
	180	+	3 aircraft, without regard to a change in the flight number of
	181	+	4 that aircraft.
	182	+	5 (13) Proceeds of mandatory service charges separately
	183	+	6 stated on customers' bills for the purchase and consumption of
	184	+	7 food and beverages purchased at retail from a retailer, to the
	185	+	8 extent that the proceeds of the service charge are in fact
	186	+	9 turned over as tips or as a substitute for tips to the
	187	+	10 employees who participate directly in preparing, serving,
	188	+	11 hosting or cleaning up the food or beverage function with
	189	+	12 respect to which the service charge is imposed.
	190	+	13 (14) Until July 1, 2003, oil field exploration, drilling,
	191	+	14 and production equipment, including (i) rigs and parts of
	192	+	15 rigs, rotary rigs, cable tool rigs, and workover rigs, (ii)
	193	+	16 pipe and tubular goods, including casing and drill strings,
	194	+	17 (iii) pumps and pump-jack units, (iv) storage tanks and flow
	195	+	18 lines, (v) any individual replacement part for oil field
	196	+	19 exploration, drilling, and production equipment, and (vi)
	197	+	20 machinery and equipment purchased for lease; but excluding
	198	+	21 motor vehicles required to be registered under the Illinois
	199	+	22 Vehicle Code.
	200	+	23 (15) Photoprocessing machinery and equipment, including
	201	+	24 repair and replacement parts, both new and used, including
	202	+	25 that manufactured on special order, certified by the purchaser
	203	+	26 to be used primarily for photoprocessing, and including
	204	+
	205	+
	206	+
	207	+
	208	+
	209	+	HB3144 Enrolled - 6 - LRB103 26309 HLH 52670 b
	210	+
	211	+
	212	+	HB3144 Enrolled- 7 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 7 - LRB103 26309 HLH 52670 b
	213	+	HB3144 Enrolled - 7 - LRB103 26309 HLH 52670 b
	214	+	1 photoprocessing machinery and equipment purchased for lease.
	215	+	2 (16) Until July 1, 2028, coal and aggregate exploration,
	216	+	3 mining, off-highway hauling, processing, maintenance, and
	217	+	4 reclamation equipment, including replacement parts and
	218	+	5 equipment, and including equipment purchased for lease, but
	219	+	6 excluding motor vehicles required to be registered under the
	220	+	7 Illinois Vehicle Code. The changes made to this Section by
	221	+	8 Public Act 97-767 apply on and after July 1, 2003, but no claim
	222	+	9 for credit or refund is allowed on or after August 16, 2013
	223	+	10 (the effective date of Public Act 98-456) for such taxes paid
	224	+	11 during the period beginning July 1, 2003 and ending on August
	225	+	12 16, 2013 (the effective date of Public Act 98-456).
	226	+	13 (17) Until July 1, 2003, distillation machinery and
	227	+	14 equipment, sold as a unit or kit, assembled or installed by the
	228	+	15 retailer, certified by the user to be used only for the
	229	+	16 production of ethyl alcohol that will be used for consumption
	230	+	17 as motor fuel or as a component of motor fuel for the personal
	231	+	18 use of the user, and not subject to sale or resale.
	232	+	19 (18) Manufacturing and assembling machinery and equipment
	233	+	20 used primarily in the process of manufacturing or assembling
	234	+	21 tangible personal property for wholesale or retail sale or
	235	+	22 lease, whether that sale or lease is made directly by the
	236	+	23 manufacturer or by some other person, whether the materials
	237	+	24 used in the process are owned by the manufacturer or some other
	238	+	25 person, or whether that sale or lease is made apart from or as
	239	+	26 an incident to the seller's engaging in the service occupation
	240	+
	241	+
	242	+
	243	+
	244	+
	245	+	HB3144 Enrolled - 7 - LRB103 26309 HLH 52670 b
	246	+
	247	+
	248	+	HB3144 Enrolled- 8 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 8 - LRB103 26309 HLH 52670 b
	249	+	HB3144 Enrolled - 8 - LRB103 26309 HLH 52670 b
	250	+	1 of producing machines, tools, dies, jigs, patterns, gauges, or
	251	+	2 other similar items of no commercial value on special order
	252	+	3 for a particular purchaser. The exemption provided by this
	253	+	4 paragraph (18) includes production related tangible personal
	254	+	5 property, as defined in Section 3-50, purchased on or after
	255	+	6 July 1, 2019. The exemption provided by this paragraph (18)
	256	+	7 does not include machinery and equipment used in (i) the
	257	+	8 generation of electricity for wholesale or retail sale; (ii)
	258	+	9 the generation or treatment of natural or artificial gas for
	259	+	10 wholesale or retail sale that is delivered to customers
	260	+	11 through pipes, pipelines, or mains; or (iii) the treatment of
	261	+	12 water for wholesale or retail sale that is delivered to
	262	+	13 customers through pipes, pipelines, or mains. The provisions
	263	+	14 of Public Act 98-583 are declaratory of existing law as to the
	264	+	15 meaning and scope of this exemption. Beginning on July 1,
	265	+	16 2017, the exemption provided by this paragraph (18) includes,
	266	+	17 but is not limited to, graphic arts machinery and equipment,
	267	+	18 as defined in paragraph (6) of this Section.
	268	+	19 (19) Personal property delivered to a purchaser or
	269	+	20 purchaser's donee inside Illinois when the purchase order for
	270	+	21 that personal property was received by a florist located
	271	+	22 outside Illinois who has a florist located inside Illinois
	272	+	23 deliver the personal property.
	273	+	24 (20) Semen used for artificial insemination of livestock
	274	+	25 for direct agricultural production.
	275	+	26 (21) Horses, or interests in horses, registered with and
	276	+
	277	+
	278	+
	279	+
	280	+
	281	+	HB3144 Enrolled - 8 - LRB103 26309 HLH 52670 b
	282	+
	283	+
	284	+	HB3144 Enrolled- 9 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 9 - LRB103 26309 HLH 52670 b
	285	+	HB3144 Enrolled - 9 - LRB103 26309 HLH 52670 b
	286	+	1 meeting the requirements of any of the Arabian Horse Club
	287	+	2 Registry of America, Appaloosa Horse Club, American Quarter
	288	+	3 Horse Association, United States Trotting Association, or
	289	+	4 Jockey Club, as appropriate, used for purposes of breeding or
	290	+	5 racing for prizes. This item (21) is exempt from the
	291	+	6 provisions of Section 3-90, and the exemption provided for
	292	+	7 under this item (21) applies for all periods beginning May 30,
	293	+	8 1995, but no claim for credit or refund is allowed on or after
	294	+	9 January 1, 2008 for such taxes paid during the period
	295	+	10 beginning May 30, 2000 and ending on January 1, 2008.
	296	+	11 (22) Computers and communications equipment utilized for
	297	+	12 any hospital purpose and equipment used in the diagnosis,
	298	+	13 analysis, or treatment of hospital patients purchased by a
	299	+	14 lessor who leases the equipment, under a lease of one year or
	300	+	15 longer executed or in effect at the time the lessor would
	301	+	16 otherwise be subject to the tax imposed by this Act, to a
	302	+	17 hospital that has been issued an active tax exemption
	303	+	18 identification number by the Department under Section 1g of
	304	+	19 the Retailers' Occupation Tax Act. If the equipment is leased
	305	+	20 in a manner that does not qualify for this exemption or is used
	306	+	21 in any other non-exempt manner, the lessor shall be liable for
	307	+	22 the tax imposed under this Act or the Service Use Tax Act, as
	308	+	23 the case may be, based on the fair market value of the property
	309	+	24 at the time the non-qualifying use occurs. No lessor shall
	310	+	25 collect or attempt to collect an amount (however designated)
	311	+	26 that purports to reimburse that lessor for the tax imposed by
	312	+
	313	+
	314	+
	315	+
	316	+
	317	+	HB3144 Enrolled - 9 - LRB103 26309 HLH 52670 b
	318	+
	319	+
	320	+	HB3144 Enrolled- 10 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 10 - LRB103 26309 HLH 52670 b
	321	+	HB3144 Enrolled - 10 - LRB103 26309 HLH 52670 b
	322	+	1 this Act or the Service Use Tax Act, as the case may be, if the
	323	+	2 tax has not been paid by the lessor. If a lessor improperly
	324	+	3 collects any such amount from the lessee, the lessee shall
	325	+	4 have a legal right to claim a refund of that amount from the
	326	+	5 lessor. If, however, that amount is not refunded to the lessee
	327	+	6 for any reason, the lessor is liable to pay that amount to the
	328	+	7 Department.
	329	+	8 (23) Personal property purchased by a lessor who leases
	330	+	9 the property, under a lease of one year or longer executed or
	331	+	10 in effect at the time the lessor would otherwise be subject to
	332	+	11 the tax imposed by this Act, to a governmental body that has
	333	+	12 been issued an active sales tax exemption identification
	334	+	13 number by the Department under Section 1g of the Retailers'
	335	+	14 Occupation Tax Act. If the property is leased in a manner that
	336	+	15 does not qualify for this exemption or used in any other
	337	+	16 non-exempt manner, the lessor shall be liable for the tax
	338	+	17 imposed under this Act or the Service Use Tax Act, as the case
	339	+	18 may be, based on the fair market value of the property at the
	340	+	19 time the non-qualifying use occurs. No lessor shall collect or
	341	+	20 attempt to collect an amount (however designated) that
	342	+	21 purports to reimburse that lessor for the tax imposed by this
	343	+	22 Act or the Service Use Tax Act, as the case may be, if the tax
	344	+	23 has not been paid by the lessor. If a lessor improperly
	345	+	24 collects any such amount from the lessee, the lessee shall
	346	+	25 have a legal right to claim a refund of that amount from the
	347	+	26 lessor. If, however, that amount is not refunded to the lessee
	348	+
	349	+
	350	+
	351	+
	352	+
	353	+	HB3144 Enrolled - 10 - LRB103 26309 HLH 52670 b
	354	+
	355	+
	356	+	HB3144 Enrolled- 11 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 11 - LRB103 26309 HLH 52670 b
	357	+	HB3144 Enrolled - 11 - LRB103 26309 HLH 52670 b
	358	+	1 for any reason, the lessor is liable to pay that amount to the
	359	+	2 Department.
	360	+	3 (24) Beginning with taxable years ending on or after
	361	+	4 December 31, 1995 and ending with taxable years ending on or
	362	+	5 before December 31, 2004, personal property that is donated
	363	+	6 for disaster relief to be used in a State or federally declared
	364	+	7 disaster area in Illinois or bordering Illinois by a
	365	+	8 manufacturer or retailer that is registered in this State to a
	366	+	9 corporation, society, association, foundation, or institution
	367	+	10 that has been issued a sales tax exemption identification
	368	+	11 number by the Department that assists victims of the disaster
	369	+	12 who reside within the declared disaster area.
	370	+	13 (25) Beginning with taxable years ending on or after
	371	+	14 December 31, 1995 and ending with taxable years ending on or
	372	+	15 before December 31, 2004, personal property that is used in
	373	+	16 the performance of infrastructure repairs in this State,
	374	+	17 including, but not limited to, municipal roads and streets,
	375	+	18 access roads, bridges, sidewalks, waste disposal systems,
	376	+	19 water and sewer line extensions, water distribution and
	377	+	20 purification facilities, storm water drainage and retention
	378	+	21 facilities, and sewage treatment facilities, resulting from a
	379	+	22 State or federally declared disaster in Illinois or bordering
	380	+	23 Illinois when such repairs are initiated on facilities located
	381	+	24 in the declared disaster area within 6 months after the
	382	+	25 disaster.
	383	+	26 (26) Beginning July 1, 1999, game or game birds purchased
	384	+
	385	+
	386	+
	387	+
	388	+
	389	+	HB3144 Enrolled - 11 - LRB103 26309 HLH 52670 b
	390	+
	391	+
	392	+	HB3144 Enrolled- 12 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 12 - LRB103 26309 HLH 52670 b
	393	+	HB3144 Enrolled - 12 - LRB103 26309 HLH 52670 b
	394	+	1 at a "game breeding and hunting preserve area" as that term is
	395	+	2 used in the Wildlife Code. This paragraph is exempt from the
	396	+	3 provisions of Section 3-90.
	397	+	4 (27) A motor vehicle, as that term is defined in Section
	398	+	5 1-146 of the Illinois Vehicle Code, that is donated to a
	399	+	6 corporation, limited liability company, society, association,
	400	+	7 foundation, or institution that is determined by the
	401	+	8 Department to be organized and operated exclusively for
	402	+	9 educational purposes. For purposes of this exemption, "a
	403	+	10 corporation, limited liability company, society, association,
	404	+	11 foundation, or institution organized and operated exclusively
	405	+	12 for educational purposes" means all tax-supported public
	406	+	13 schools, private schools that offer systematic instruction in
	407	+	14 useful branches of learning by methods common to public
	408	+	15 schools and that compare favorably in their scope and
	409	+	16 intensity with the course of study presented in tax-supported
	410	+	17 schools, and vocational or technical schools or institutes
	411	+	18 organized and operated exclusively to provide a course of
	412	+	19 study of not less than 6 weeks duration and designed to prepare
	413	+	20 individuals to follow a trade or to pursue a manual,
	414	+	21 technical, mechanical, industrial, business, or commercial
	415	+	22 occupation.
	416	+	23 (28) Beginning January 1, 2000, personal property,
	417	+	24 including food, purchased through fundraising events for the
	418	+	25 benefit of a public or private elementary or secondary school,
	419	+	26 a group of those schools, or one or more school districts if
	420	+
	421	+
	422	+
	423	+
	424	+
	425	+	HB3144 Enrolled - 12 - LRB103 26309 HLH 52670 b
	426	+
	427	+
	428	+	HB3144 Enrolled- 13 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 13 - LRB103 26309 HLH 52670 b
	429	+	HB3144 Enrolled - 13 - LRB103 26309 HLH 52670 b
	430	+	1 the events are sponsored by an entity recognized by the school
	431	+	2 district that consists primarily of volunteers and includes
	432	+	3 parents and teachers of the school children. This paragraph
	433	+	4 does not apply to fundraising events (i) for the benefit of
	434	+	5 private home instruction or (ii) for which the fundraising
	435	+	6 entity purchases the personal property sold at the events from
	436	+	7 another individual or entity that sold the property for the
	437	+	8 purpose of resale by the fundraising entity and that profits
	438	+	9 from the sale to the fundraising entity. This paragraph is
	439	+	10 exempt from the provisions of Section 3-90.
	440	+	11 (29) Beginning January 1, 2000 and through December 31,
	441	+	12 2001, new or used automatic vending machines that prepare and
	442	+	13 serve hot food and beverages, including coffee, soup, and
	443	+	14 other items, and replacement parts for these machines.
	444	+	15 Beginning January 1, 2002 and through June 30, 2003, machines
	445	+	16 and parts for machines used in commercial, coin-operated
	446	+	17 amusement and vending business if a use or occupation tax is
	447	+	18 paid on the gross receipts derived from the use of the
	448	+	19 commercial, coin-operated amusement and vending machines. This
	449	+	20 paragraph is exempt from the provisions of Section 3-90.
	450	+	21 (30) Beginning January 1, 2001 and through June 30, 2016,
	451	+	22 food for human consumption that is to be consumed off the
	452	+	23 premises where it is sold (other than alcoholic beverages,
	453	+	24 soft drinks, and food that has been prepared for immediate
	454	+	25 consumption) and prescription and nonprescription medicines,
	455	+	26 drugs, medical appliances, and insulin, urine testing
	456	+
	457	+
	458	+
	459	+
	460	+
	461	+	HB3144 Enrolled - 13 - LRB103 26309 HLH 52670 b
	462	+
	463	+
	464	+	HB3144 Enrolled- 14 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 14 - LRB103 26309 HLH 52670 b
	465	+	HB3144 Enrolled - 14 - LRB103 26309 HLH 52670 b
	466	+	1 materials, syringes, and needles used by diabetics, for human
	467	+	2 use, when purchased for use by a person receiving medical
	468	+	3 assistance under Article V of the Illinois Public Aid Code who
	469	+	4 resides in a licensed long-term care facility, as defined in
	470	+	5 the Nursing Home Care Act, or in a licensed facility as defined
	471	+	6 in the ID/DD Community Care Act, the MC/DD Act, or the
	472	+	7 Specialized Mental Health Rehabilitation Act of 2013.
	473	+	8 (31) Beginning on August 2, 2001 (the effective date of
	474	+	9 Public Act 92-227), computers and communications equipment
	475	+	10 utilized for any hospital purpose and equipment used in the
	476	+	11 diagnosis, analysis, or treatment of hospital patients
	477	+	12 purchased by a lessor who leases the equipment, under a lease
	478	+	13 of one year or longer executed or in effect at the time the
	479	+	14 lessor would otherwise be subject to the tax imposed by this
	480	+	15 Act, to a hospital that has been issued an active tax exemption
	481	+	16 identification number by the Department under Section 1g of
	482	+	17 the Retailers' Occupation Tax Act. If the equipment is leased
	483	+	18 in a manner that does not qualify for this exemption or is used
	484	+	19 in any other nonexempt manner, the lessor shall be liable for
	485	+	20 the tax imposed under this Act or the Service Use Tax Act, as
	486	+	21 the case may be, based on the fair market value of the property
	487	+	22 at the time the nonqualifying use occurs. No lessor shall
	488	+	23 collect or attempt to collect an amount (however designated)
	489	+	24 that purports to reimburse that lessor for the tax imposed by
	490	+	25 this Act or the Service Use Tax Act, as the case may be, if the
	491	+	26 tax has not been paid by the lessor. If a lessor improperly
	492	+
	493	+
	494	+
	495	+
	496	+
	497	+	HB3144 Enrolled - 14 - LRB103 26309 HLH 52670 b
	498	+
	499	+
	500	+	HB3144 Enrolled- 15 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 15 - LRB103 26309 HLH 52670 b
	501	+	HB3144 Enrolled - 15 - LRB103 26309 HLH 52670 b
	502	+	1 collects any such amount from the lessee, the lessee shall
	503	+	2 have a legal right to claim a refund of that amount from the
	504	+	3 lessor. If, however, that amount is not refunded to the lessee
	505	+	4 for any reason, the lessor is liable to pay that amount to the
	506	+	5 Department. This paragraph is exempt from the provisions of
	507	+	6 Section 3-90.
	508	+	7 (32) Beginning on August 2, 2001 (the effective date of
	509	+	8 Public Act 92-227), personal property purchased by a lessor
	510	+	9 who leases the property, under a lease of one year or longer
	511	+	10 executed or in effect at the time the lessor would otherwise be
	512	+	11 subject to the tax imposed by this Act, to a governmental body
	513	+	12 that has been issued an active sales tax exemption
	514	+	13 identification number by the Department under Section 1g of
	515	+	14 the Retailers' Occupation Tax Act. If the property is leased
	516	+	15 in a manner that does not qualify for this exemption or used in
	517	+	16 any other nonexempt manner, the lessor shall be liable for the
	518	+	17 tax imposed under this Act or the Service Use Tax Act, as the
	519	+	18 case may be, based on the fair market value of the property at
	520	+	19 the time the nonqualifying use occurs. No lessor shall collect
	521	+	20 or attempt to collect an amount (however designated) that
	522	+	21 purports to reimburse that lessor for the tax imposed by this
	523	+	22 Act or the Service Use Tax Act, as the case may be, if the tax
	524	+	23 has not been paid by the lessor. If a lessor improperly
	525	+	24 collects any such amount from the lessee, the lessee shall
	526	+	25 have a legal right to claim a refund of that amount from the
	527	+	26 lessor. If, however, that amount is not refunded to the lessee
	528	+
	529	+
	530	+
	531	+
	532	+
	533	+	HB3144 Enrolled - 15 - LRB103 26309 HLH 52670 b
	534	+
	535	+
	536	+	HB3144 Enrolled- 16 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 16 - LRB103 26309 HLH 52670 b
	537	+	HB3144 Enrolled - 16 - LRB103 26309 HLH 52670 b
	538	+	1 for any reason, the lessor is liable to pay that amount to the
	539	+	2 Department. This paragraph is exempt from the provisions of
	540	+	3 Section 3-90.
	541	+	4 (33) On and after July 1, 2003 and through June 30, 2004,
	542	+	5 the use in this State of motor vehicles of the second division
	543	+	6 with a gross vehicle weight in excess of 8,000 pounds and that
	544	+	7 are subject to the commercial distribution fee imposed under
	545	+	8 Section 3-815.1 of the Illinois Vehicle Code. Beginning on
	546	+	9 July 1, 2004 and through June 30, 2005, the use in this State
	547	+	10 of motor vehicles of the second division: (i) with a gross
	548	+	11 vehicle weight rating in excess of 8,000 pounds; (ii) that are
	549	+	12 subject to the commercial distribution fee imposed under
	550	+	13 Section 3-815.1 of the Illinois Vehicle Code; and (iii) that
	551	+	14 are primarily used for commercial purposes. Through June 30,
	552	+	15 2005, this exemption applies to repair and replacement parts
	553	+	16 added after the initial purchase of such a motor vehicle if
	554	+	17 that motor vehicle is used in a manner that would qualify for
	555	+	18 the rolling stock exemption otherwise provided for in this
	556	+	19 Act. For purposes of this paragraph, the term "used for
	557	+	20 commercial purposes" means the transportation of persons or
	558	+	21 property in furtherance of any commercial or industrial
	559	+	22 enterprise, whether for-hire or not.
	560	+	23 (34) Beginning January 1, 2008, tangible personal property
	561	+	24 used in the construction or maintenance of a community water
	562	+	25 supply, as defined under Section 3.145 of the Environmental
	563	+	26 Protection Act, that is operated by a not-for-profit
	564	+
	565	+
	566	+
	567	+
	568	+
	569	+	HB3144 Enrolled - 16 - LRB103 26309 HLH 52670 b
	570	+
	571	+
	572	+	HB3144 Enrolled- 17 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 17 - LRB103 26309 HLH 52670 b
	573	+	HB3144 Enrolled - 17 - LRB103 26309 HLH 52670 b
	574	+	1 corporation that holds a valid water supply permit issued
	575	+	2 under Title IV of the Environmental Protection Act. This
	576	+	3 paragraph is exempt from the provisions of Section 3-90.
	577	+	4 (35) Beginning January 1, 2010 and continuing through
	578	+	5 December 31, 2029, materials, parts, equipment, components,
	579	+	6 and furnishings incorporated into or upon an aircraft as part
	580	+	7 of the modification, refurbishment, completion, replacement,
	581	+	8 repair, or maintenance of the aircraft. This exemption
	582	+	9 includes consumable supplies used in the modification,
	583	+	10 refurbishment, completion, replacement, repair, and
	584	+	11 maintenance of aircraft. However, until January 1, 2024, this
	585	+	12 exemption excludes any materials, parts, equipment,
	586	+	13 components, and consumable supplies used in the modification,
	587	+	14 replacement, repair, and maintenance of aircraft engines or
	588	+	15 power plants, whether such engines or power plants are
	589	+	16 installed or uninstalled upon any such aircraft. "Consumable
	590	+	17 supplies" include, but are not limited to, adhesive, tape,
	591	+	18 sandpaper, general purpose lubricants, cleaning solution,
	592	+	19 latex gloves, and protective films.
	593	+	20 Beginning January 1, 2010 and continuing through December
	594	+	21 31, 2023, this exemption applies only to the use of qualifying
	595	+	22 tangible personal property by persons who modify, refurbish,
	596	+	23 complete, repair, replace, or maintain aircraft and who (i)
	597	+	24 hold an Air Agency Certificate and are empowered to operate an
	598	+	25 approved repair station by the Federal Aviation
	599	+	26 Administration, (ii) have a Class IV Rating, and (iii) conduct
	600	+
	601	+
	602	+
	603	+
	604	+
	605	+	HB3144 Enrolled - 17 - LRB103 26309 HLH 52670 b
	606	+
	607	+
	608	+	HB3144 Enrolled- 18 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 18 - LRB103 26309 HLH 52670 b
	609	+	HB3144 Enrolled - 18 - LRB103 26309 HLH 52670 b
	610	+	1 operations in accordance with Part 145 of the Federal Aviation
	611	+	2 Regulations. From January 1, 2024 through December 31, 2029,
	612	+	3 this exemption applies only to the use of qualifying tangible
	613	+	4 personal property by: (A) persons who modify, refurbish,
	614	+	5 complete, repair, replace, or maintain aircraft and who (i)
	615	+	6 hold an Air Agency Certificate and are empowered to operate an
	616	+	7 approved repair station by the Federal Aviation
	617	+	8 Administration, (ii) have a Class IV Rating, and (iii) conduct
	618	+	9 operations in accordance with Part 145 of the Federal Aviation
	619	+	10 Regulations; and (B) persons who engage in the modification,
	620	+	11 replacement, repair, and maintenance of aircraft engines or
	621	+	12 power plants without regard to whether or not those persons
	622	+	13 meet the qualifications of item (A).
	623	+	14 The exemption does not include aircraft operated by a
	624	+	15 commercial air carrier providing scheduled passenger air
	625	+	16 service pursuant to authority issued under Part 121 or Part
	626	+	17 129 of the Federal Aviation Regulations. The changes made to
	627	+	18 this paragraph (35) by Public Act 98-534 are declarative of
	628	+	19 existing law. It is the intent of the General Assembly that the
	629	+	20 exemption under this paragraph (35) applies continuously from
	630	+	21 January 1, 2010 through December 31, 2024; however, no claim
	631	+	22 for credit or refund is allowed for taxes paid as a result of
	632	+	23 the disallowance of this exemption on or after January 1, 2015
	633	+	24 and prior to February 5, 2020 (the effective date of Public Act
	634	+	25 101-629).
	635	+	26 (36) Tangible personal property purchased by a
	636	+
	637	+
	638	+
	639	+
	640	+
	641	+	HB3144 Enrolled - 18 - LRB103 26309 HLH 52670 b
	642	+
	643	+
	644	+	HB3144 Enrolled- 19 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 19 - LRB103 26309 HLH 52670 b
	645	+	HB3144 Enrolled - 19 - LRB103 26309 HLH 52670 b
	646	+	1 public-facilities corporation, as described in Section
	647	+	2 11-65-10 of the Illinois Municipal Code, for purposes of
	648	+	3 constructing or furnishing a municipal convention hall, but
	649	+	4 only if the legal title to the municipal convention hall is
	650	+	5 transferred to the municipality without any further
	651	+	6 consideration by or on behalf of the municipality at the time
	652	+	7 of the completion of the municipal convention hall or upon the
	653	+	8 retirement or redemption of any bonds or other debt
	654	+	9 instruments issued by the public-facilities corporation in
	655	+	10 connection with the development of the municipal convention
	656	+	11 hall. This exemption includes existing public-facilities
	657	+	12 corporations as provided in Section 11-65-25 of the Illinois
	658	+	13 Municipal Code. This paragraph is exempt from the provisions
	659	+	14 of Section 3-90.
	660	+	15 (37) Beginning January 1, 2017 and through December 31,
	661	+	16 2026, menstrual pads, tampons, and menstrual cups.
	662	+	17 (38) Merchandise that is subject to the Rental Purchase
	663	+	18 Agreement Occupation and Use Tax. The purchaser must certify
	664	+	19 that the item is purchased to be rented subject to a
	665	+	20 rental-purchase rental purchase agreement, as defined in the
	666	+	21 Rental-Purchase Rental Purchase Agreement Act, and provide
	667	+	22 proof of registration under the Rental Purchase Agreement
	668	+	23 Occupation and Use Tax Act. This paragraph is exempt from the
	669	+	24 provisions of Section 3-90.
	670	+	25 (39) Tangible personal property purchased by a purchaser
	671	+	26 who is exempt from the tax imposed by this Act by operation of
	672	+
	673	+
	674	+
	675	+
	676	+
	677	+	HB3144 Enrolled - 19 - LRB103 26309 HLH 52670 b
	678	+
	679	+
	680	+	HB3144 Enrolled- 20 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 20 - LRB103 26309 HLH 52670 b
	681	+	HB3144 Enrolled - 20 - LRB103 26309 HLH 52670 b
	682	+	1 federal law. This paragraph is exempt from the provisions of
	683	+	2 Section 3-90.
	684	+	3 (40) Qualified tangible personal property used in the
	685	+	4 construction or operation of a data center that has been
	686	+	5 granted a certificate of exemption by the Department of
	687	+	6 Commerce and Economic Opportunity, whether that tangible
	688	+	7 personal property is purchased by the owner, operator, or
	689	+	8 tenant of the data center or by a contractor or subcontractor
	690	+	9 of the owner, operator, or tenant. Data centers that would
	691	+	10 have qualified for a certificate of exemption prior to January
	692	+	11 1, 2020 had Public Act 101-31 been in effect may apply for and
	693	+	12 obtain an exemption for subsequent purchases of computer
	694	+	13 equipment or enabling software purchased or leased to upgrade,
	695	+	14 supplement, or replace computer equipment or enabling software
	696	+	15 purchased or leased in the original investment that would have
	697	+	16 qualified.
	698	+	17 The Department of Commerce and Economic Opportunity shall
	699	+	18 grant a certificate of exemption under this item (40) to
	700	+	19 qualified data centers as defined by Section 605-1025 of the
	701	+	20 Department of Commerce and Economic Opportunity Law of the
	702	+	21 Civil Administrative Code of Illinois.
	703	+	22 For the purposes of this item (40):
	704	+	23 "Data center" means a building or a series of
	705	+	24 buildings rehabilitated or constructed to house working
	706	+	25 servers in one physical location or multiple sites within
	707	+	26 the State of Illinois.
	708	+
	709	+
	710	+
	711	+
	712	+
	713	+	HB3144 Enrolled - 20 - LRB103 26309 HLH 52670 b
	714	+
	715	+
	716	+	HB3144 Enrolled- 21 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 21 - LRB103 26309 HLH 52670 b
	717	+	HB3144 Enrolled - 21 - LRB103 26309 HLH 52670 b
	718	+	1 "Qualified tangible personal property" means:
	719	+	2 electrical systems and equipment; climate control and
	720	+	3 chilling equipment and systems; mechanical systems and
	721	+	4 equipment; monitoring and secure systems; emergency
	722	+	5 generators; hardware; computers; servers; data storage
	723	+	6 devices; network connectivity equipment; racks; cabinets;
	724	+	7 telecommunications cabling infrastructure; raised floor
	725	+	8 systems; peripheral components or systems; software;
	726	+	9 mechanical, electrical, or plumbing systems; battery
	727	+	10 systems; cooling systems and towers; temperature control
	728	+	11 systems; other cabling; and other data center
	729	+	12 infrastructure equipment and systems necessary to operate
	730	+	13 qualified tangible personal property, including fixtures;
	731	+	14 and component parts of any of the foregoing, including
	732	+	15 installation, maintenance, repair, refurbishment, and
	733	+	16 replacement of qualified tangible personal property to
	734	+	17 generate, transform, transmit, distribute, or manage
	735	+	18 electricity necessary to operate qualified tangible
	736	+	19 personal property; and all other tangible personal
	737	+	20 property that is essential to the operations of a computer
	738	+	21 data center. The term "qualified tangible personal
	739	+	22 property" also includes building materials physically
	740	+	23 incorporated into in to the qualifying data center. To
	741	+	24 document the exemption allowed under this Section, the
	742	+	25 retailer must obtain from the purchaser a copy of the
	743	+	26 certificate of eligibility issued by the Department of
	744	+
	745	+
	746	+
	747	+
	748	+
	749	+	HB3144 Enrolled - 21 - LRB103 26309 HLH 52670 b
	750	+
	751	+
	752	+	HB3144 Enrolled- 22 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 22 - LRB103 26309 HLH 52670 b
	753	+	HB3144 Enrolled - 22 - LRB103 26309 HLH 52670 b
	754	+	1 Commerce and Economic Opportunity.
	755	+	2 This item (40) is exempt from the provisions of Section
	756	+	3 3-90.
	757	+	4 (41) Beginning July 1, 2022, breast pumps, breast pump
	758	+	5 collection and storage supplies, and breast pump kits. This
	759	+	6 item (41) is exempt from the provisions of Section 3-90. As
	760	+	7 used in this item (41):
	761	+	8 "Breast pump" means an electrically controlled or
	762	+	9 manually controlled pump device designed or marketed to be
	763	+	10 used to express milk from a human breast during lactation,
	764	+	11 including the pump device and any battery, AC adapter, or
	765	+	12 other power supply unit that is used to power the pump
	766	+	13 device and is packaged and sold with the pump device at the
	767	+	14 time of sale.
	768	+	15 "Breast pump collection and storage supplies" means
	769	+	16 items of tangible personal property designed or marketed
	770	+	17 to be used in conjunction with a breast pump to collect
	771	+	18 milk expressed from a human breast and to store collected
	772	+	19 milk until it is ready for consumption.
	773	+	20 "Breast pump collection and storage supplies"
	774	+	21 includes, but is not limited to: breast shields and breast
	775	+	22 shield connectors; breast pump tubes and tubing adapters;
	776	+	23 breast pump valves and membranes; backflow protectors and
	777	+	24 backflow protector adaptors; bottles and bottle caps
	778	+	25 specific to the operation of the breast pump; and breast
	779	+	26 milk storage bags.
	780	+
	781	+
	782	+
	783	+
	784	+
	785	+	HB3144 Enrolled - 22 - LRB103 26309 HLH 52670 b
	786	+
	787	+
	788	+	HB3144 Enrolled- 23 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 23 - LRB103 26309 HLH 52670 b
	789	+	HB3144 Enrolled - 23 - LRB103 26309 HLH 52670 b
	790	+	1 "Breast pump collection and storage supplies" does not
	791	+	2 include: (1) bottles and bottle caps not specific to the
	792	+	3 operation of the breast pump; (2) breast pump travel bags
	793	+	4 and other similar carrying accessories, including ice
	794	+	5 packs, labels, and other similar products; (3) breast pump
	795	+	6 cleaning supplies; (4) nursing bras, bra pads, breast
	796	+	7 shells, and other similar products; and (5) creams,
	797	+	8 ointments, and other similar products that relieve
	798	+	9 breastfeeding-related symptoms or conditions of the
	799	+	10 breasts or nipples, unless sold as part of a breast pump
	800	+	11 kit that is pre-packaged by the breast pump manufacturer
	801	+	12 or distributor.
	802	+	13 "Breast pump kit" means a kit that: (1) contains no
	803	+	14 more than a breast pump, breast pump collection and
	804	+	15 storage supplies, a rechargeable battery for operating the
	805	+	16 breast pump, a breastmilk cooler, bottle stands, ice
	806	+	17 packs, and a breast pump carrying case; and (2) is
	807	+	18 pre-packaged as a breast pump kit by the breast pump
	808	+	19 manufacturer or distributor.
	809	+	20 (42) Tangible personal property sold by or on behalf of
	810	+	21 the State Treasurer pursuant to the Revised Uniform Unclaimed
	811	+	22 Property Act. This item (42) is exempt from the provisions of
	812	+	23 Section 3-90.
	813	+	24 (43) Beginning on January 1, 2024, tangible personal
	814	+	25 property purchased by an active duty member of the armed
	815	+	26 forces of the United States who presents valid military
	816	+
	817	+
	818	+
	819	+
	820	+
	821	+	HB3144 Enrolled - 23 - LRB103 26309 HLH 52670 b
	822	+
	823	+
	824	+	HB3144 Enrolled- 24 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 24 - LRB103 26309 HLH 52670 b
	825	+	HB3144 Enrolled - 24 - LRB103 26309 HLH 52670 b
	826	+	1 identification and purchases the property using a form of
	827	+	2 payment where the federal government is the payor. The member
	828	+	3 of the armed forces must complete, at the point of sale, a form
	829	+	4 prescribed by the Department of Revenue documenting that the
	830	+	5 transaction is eligible for the exemption under this
	831	+	6 paragraph. Retailers must keep the form as documentation of
	832	+	7 the exemption in their records for a period of not less than 6
	833	+	8 years. "Armed forces of the United States" means the United
	834	+	9 States Army, Navy, Air Force, Marine Corps, or Coast Guard.
	835	+	10 This paragraph is exempt from the provisions of Section 3-90.
	836	+	11 (44) Beginning on January 1, 2026, as further defined in
	837	+	12 Section 3-10, food for human consumption that is to be
	838	+	13 consumed off the premises where it is sold (other than
	839	+	14 alcoholic beverages, food consisting of or infused with adult
	840	+	15 use cannabis, soft drinks, candy, and food that has been
	841	+	16 prepared for immediate consumption). This item (44) is exempt
	842	+	17 from the provisions of Section 3-90.
	843	+	18 (Source: P.A. 102-16, eff. 6-17-21; 102-700, Article 70,
	844	+	19 Section 70-5, eff. 4-19-22; 102-700, Article 75, Section 75-5,
	845	+	20 eff. 4-19-22; 102-1026, eff. 5-27-22; 103-9, Article 5,
	846	+	21 Section 5-5, eff. 6-7-23; 103-9, Article 15, Section 15-5,
	847	+	22 eff. 6-7-23; 103-154, eff. 6-30-23; 103-384, eff. 1-1-24;
	848	+	23 revised 12-12-23.)
	849	+	24 (35 ILCS 105/3-10)
	850	+	25 Sec. 3-10. Rate of tax. Unless otherwise provided in this
	851	+
	852	+
	853	+
	854	+
	855	+
	856	+	HB3144 Enrolled - 24 - LRB103 26309 HLH 52670 b
	857	+
	858	+
	859	+	HB3144 Enrolled- 25 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 25 - LRB103 26309 HLH 52670 b
	860	+	HB3144 Enrolled - 25 - LRB103 26309 HLH 52670 b
	861	+	1 Section, the tax imposed by this Act is at the rate of 6.25% of
	862	+	2 either the selling price or the fair market value, if any, of
	863	+	3 the tangible personal property. In all cases where property
	864	+	4 functionally used or consumed is the same as the property that
	865	+	5 was purchased at retail, then the tax is imposed on the selling
	866	+	6 price of the property. In all cases where property
	867	+	7 functionally used or consumed is a by-product or waste product
	868	+	8 that has been refined, manufactured, or produced from property
	869	+	9 purchased at retail, then the tax is imposed on the lower of
	870	+	10 the fair market value, if any, of the specific property so used
	871	+	11 in this State or on the selling price of the property purchased
	872	+	12 at retail. For purposes of this Section "fair market value"
	873	+	13 means the price at which property would change hands between a
	874	+	14 willing buyer and a willing seller, neither being under any
	875	+	15 compulsion to buy or sell and both having reasonable knowledge
	876	+	16 of the relevant facts. The fair market value shall be
	877	+	17 established by Illinois sales by the taxpayer of the same
	878	+	18 property as that functionally used or consumed, or if there
	879	+	19 are no such sales by the taxpayer, then comparable sales or
	880	+	20 purchases of property of like kind and character in Illinois.
	881	+	21 Beginning on July 1, 2000 and through December 31, 2000,
	882	+	22 with respect to motor fuel, as defined in Section 1.1 of the
	883	+	23 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
	884	+	24 the Use Tax Act, the tax is imposed at the rate of 1.25%.
	885	+	25 Beginning on August 6, 2010 through August 15, 2010, and
	886	+	26 beginning again on August 5, 2022 through August 14, 2022,
	887	+
	888	+
	889	+
	890	+
	891	+
	892	+	HB3144 Enrolled - 25 - LRB103 26309 HLH 52670 b
	893	+
	894	+
	895	+	HB3144 Enrolled- 26 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 26 - LRB103 26309 HLH 52670 b
	896	+	HB3144 Enrolled - 26 - LRB103 26309 HLH 52670 b
	897	+	1 with respect to sales tax holiday items as defined in Section
	898	+	2 3-6 of this Act, the tax is imposed at the rate of 1.25%.
	899	+	3 With respect to gasohol, the tax imposed by this Act
	900	+	4 applies to (i) 70% of the proceeds of sales made on or after
	901	+	5 January 1, 1990, and before July 1, 2003, (ii) 80% of the
	902	+	6 proceeds of sales made on or after July 1, 2003 and on or
	903	+	7 before July 1, 2017, (iii) 100% of the proceeds of sales made
	904	+	8 after July 1, 2017 and prior to January 1, 2024, (iv) 90% of
	905	+	9 the proceeds of sales made on or after January 1, 2024 and on
	906	+	10 or before December 31, 2028, and (v) 100% of the proceeds of
	907	+	11 sales made after December 31, 2028. If, at any time, however,
	908	+	12 the tax under this Act on sales of gasohol is imposed at the
	909	+	13 rate of 1.25%, then the tax imposed by this Act applies to 100%
	910	+	14 of the proceeds of sales of gasohol made during that time.
	911	+	15 With respect to mid-range ethanol blends, the tax imposed
	912	+	16 by this Act applies to (i) 80% of the proceeds of sales made on
	913	+	17 or after January 1, 2024 and on or before December 31, 2028 and
	914	+	18 (ii) 100% of the proceeds of sales made thereafter. If, at any
	915	+	19 time, however, the tax under this Act on sales of mid-range
	916	+	20 ethanol blends is imposed at the rate of 1.25%, then the tax
	917	+	21 imposed by this Act applies to 100% of the proceeds of sales of
	918	+	22 mid-range ethanol blends made during that time.
	919	+	23 With respect to majority blended ethanol fuel, the tax
	920	+	24 imposed by this Act does not apply to the proceeds of sales
	921	+	25 made on or after July 1, 2003 and on or before December 31,
	922	+	26 2028 but applies to 100% of the proceeds of sales made
	923	+
	924	+
	925	+
	926	+
	927	+
	928	+	HB3144 Enrolled - 26 - LRB103 26309 HLH 52670 b
	929	+
	930	+
	931	+	HB3144 Enrolled- 27 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 27 - LRB103 26309 HLH 52670 b
	932	+	HB3144 Enrolled - 27 - LRB103 26309 HLH 52670 b
	933	+	1 thereafter.
	934	+	2 With respect to biodiesel blends with no less than 1% and
	935	+	3 no more than 10% biodiesel, the tax imposed by this Act applies
	936	+	4 to (i) 80% of the proceeds of sales made on or after July 1,
	937	+	5 2003 and on or before December 31, 2018 and (ii) 100% of the
	938	+	6 proceeds of sales made after December 31, 2018 and before
	939	+	7 January 1, 2024. On and after January 1, 2024 and on or before
	940	+	8 December 31, 2030, the taxation of biodiesel, renewable
	941	+	9 diesel, and biodiesel blends shall be as provided in Section
	942	+	10 3-5.1. If, at any time, however, the tax under this Act on
	943	+	11 sales of biodiesel blends with no less than 1% and no more than
	944	+	12 10% biodiesel is imposed at the rate of 1.25%, then the tax
	945	+	13 imposed by this Act applies to 100% of the proceeds of sales of
	946	+	14 biodiesel blends with no less than 1% and no more than 10%
	947	+	15 biodiesel made during that time.
	948	+	16 With respect to biodiesel and biodiesel blends with more
	949	+	17 than 10% but no more than 99% biodiesel, the tax imposed by
	950	+	18 this Act does not apply to the proceeds of sales made on or
	951	+	19 after July 1, 2003 and on or before December 31, 2023. On and
	952	+	20 after January 1, 2024 and on or before December 31, 2030, the
	953	+	21 taxation of biodiesel, renewable diesel, and biodiesel blends
	954	+	22 shall be as provided in Section 3-5.1.
	955	+	23 Until July 1, 2022 and from beginning again on July 1, 2023
	956	+	24 through December 31, 2025, with respect to food for human
	957	+	25 consumption that is to be consumed off the premises where it is
	958	+	26 sold (other than alcoholic beverages, food consisting of or
	959	+
	960	+
	961	+
	962	+
	963	+
	964	+	HB3144 Enrolled - 27 - LRB103 26309 HLH 52670 b
	965	+
	966	+
	967	+	HB3144 Enrolled- 28 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 28 - LRB103 26309 HLH 52670 b
	968	+	HB3144 Enrolled - 28 - LRB103 26309 HLH 52670 b
	969	+	1 infused with adult use cannabis, soft drinks, and food that
	970	+	2 has been prepared for immediate consumption), the tax is
	971	+	3 imposed at the rate of 1%. Beginning on July 1, 2022 and until
	972	+	4 July 1, 2023, with respect to food for human consumption that
	973	+	5 is to be consumed off the premises where it is sold (other than
	974	+	6 alcoholic beverages, food consisting of or infused with adult
	975	+	7 use cannabis, soft drinks, and food that has been prepared for
	976	+	8 immediate consumption), the tax is imposed at the rate of 0%.
	977	+	9 On and after January 1, 2026, food for human consumption that
	978	+	10 is to be consumed off the premises where it is sold (other than
	979	+	11 alcoholic beverages, food consisting of or infused with adult
	980	+	12 use cannabis, soft drinks, candy, and food that has been
	981	+	13 prepared for immediate consumption) is exempt from the tax
	982	+	14 imposed by this Act.
	983	+	15 With respect to prescription and nonprescription
	984	+	16 medicines, drugs, medical appliances, products classified as
	985	+	17 Class III medical devices by the United States Food and Drug
	986	+	18 Administration that are used for cancer treatment pursuant to
	987	+	19 a prescription, as well as any accessories and components
	988	+	20 related to those devices, modifications to a motor vehicle for
	989	+	21 the purpose of rendering it usable by a person with a
	990	+	22 disability, and insulin, blood sugar testing materials,
	991	+	23 syringes, and needles used by human diabetics, the tax is
	992	+	24 imposed at the rate of 1%. For the purposes of this Section,
	993	+	25 until September 1, 2009: the term "soft drinks" means any
	994	+	26 complete, finished, ready-to-use, non-alcoholic drink, whether
	995	+
	996	+
	997	+
	998	+
	999	+
	1000	+	HB3144 Enrolled - 28 - LRB103 26309 HLH 52670 b
	1001	+
	1002	+
	1003	+	HB3144 Enrolled- 29 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 29 - LRB103 26309 HLH 52670 b
	1004	+	HB3144 Enrolled - 29 - LRB103 26309 HLH 52670 b
	1005	+	1 carbonated or not, including, but not limited to, soda water,
	1006	+	2 cola, fruit juice, vegetable juice, carbonated water, and all
	1007	+	3 other preparations commonly known as soft drinks of whatever
	1008	+	4 kind or description that are contained in any closed or sealed
	1009	+	5 bottle, can, carton, or container, regardless of size; but
	1010	+	6 "soft drinks" does not include coffee, tea, non-carbonated
	1011	+	7 water, infant formula, milk or milk products as defined in the
	1012	+	8 Grade A Pasteurized Milk and Milk Products Act, or drinks
	1013	+	9 containing 50% or more natural fruit or vegetable juice.
	1014	+	10 Notwithstanding any other provisions of this Act,
	1015	+	11 beginning September 1, 2009, "soft drinks" means non-alcoholic
	1016	+	12 beverages that contain natural or artificial sweeteners. "Soft
	1017	+	13 drinks" does not include beverages that contain milk or milk
	1018	+	14 products, soy, rice or similar milk substitutes, or greater
	1019	+	15 than 50% of vegetable or fruit juice by volume.
	1020	+	16 Until August 1, 2009, and notwithstanding any other
	1021	+	17 provisions of this Act, "food for human consumption that is to
	1022	+	18 be consumed off the premises where it is sold" includes all
	1023	+	19 food sold through a vending machine, except soft drinks and
	1024	+	20 food products that are dispensed hot from a vending machine,
	1025	+	21 regardless of the location of the vending machine. Beginning
	1026	+	22 August 1, 2009, and notwithstanding any other provisions of
	1027	+	23 this Act, "food for human consumption that is to be consumed
	1028	+	24 off the premises where it is sold" includes all food sold
	1029	+	25 through a vending machine, except soft drinks, candy, and food
	1030	+	26 products that are dispensed hot from a vending machine,
	1031	+
	1032	+
	1033	+
	1034	+
	1035	+
	1036	+	HB3144 Enrolled - 29 - LRB103 26309 HLH 52670 b
	1037	+
	1038	+
	1039	+	HB3144 Enrolled- 30 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 30 - LRB103 26309 HLH 52670 b
	1040	+	HB3144 Enrolled - 30 - LRB103 26309 HLH 52670 b
	1041	+	1 regardless of the location of the vending machine.
	1042	+	2 Notwithstanding any other provisions of this Act,
	1043	+	3 beginning September 1, 2009, "food for human consumption that
	1044	+	4 is to be consumed off the premises where it is sold" does not
	1045	+	5 include candy. For purposes of this Section, "candy" means a
	1046	+	6 preparation of sugar, honey, or other natural or artificial
	1047	+	7 sweeteners in combination with chocolate, fruits, nuts or
	1048	+	8 other ingredients or flavorings in the form of bars, drops, or
	1049	+	9 pieces. "Candy" does not include any preparation that contains
	1050	+	10 flour or requires refrigeration.
	1051	+	11 Notwithstanding any other provisions of this Act,
	1052	+	12 beginning September 1, 2009, "nonprescription medicines and
	1053	+	13 drugs" does not include grooming and hygiene products. For
	1054	+	14 purposes of this Section, "grooming and hygiene products"
	1055	+	15 includes, but is not limited to, soaps and cleaning solutions,
	1056	+	16 shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
	1057	+	17 lotions and screens, unless those products are available by
	1058	+	18 prescription only, regardless of whether the products meet the
	1059	+	19 definition of "over-the-counter-drugs". For the purposes of
	1060	+	20 this paragraph, "over-the-counter-drug" means a drug for human
	1061	+	21 use that contains a label that identifies the product as a drug
	1062	+	22 as required by 21 CFR 201.66. The "over-the-counter-drug"
	1063	+	23 label includes:
	1064	+	24 (A) a "Drug Facts" panel; or
	1065	+	25 (B) a statement of the "active ingredient(s)" with a
	1066	+	26 list of those ingredients contained in the compound,
	1067	+
	1068	+
	1069	+
	1070	+
	1071	+
	1072	+	HB3144 Enrolled - 30 - LRB103 26309 HLH 52670 b
	1073	+
	1074	+
	1075	+	HB3144 Enrolled- 31 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 31 - LRB103 26309 HLH 52670 b
	1076	+	HB3144 Enrolled - 31 - LRB103 26309 HLH 52670 b
	1077	+	1 substance or preparation.
	1078	+	2 Beginning on January 1, 2014 (the effective date of Public
	1079	+	3 Act 98-122), "prescription and nonprescription medicines and
	1080	+	4 drugs" includes medical cannabis purchased from a registered
	1081	+	5 dispensing organization under the Compassionate Use of Medical
	1082	+	6 Cannabis Program Act.
	1083	+	7 As used in this Section, "adult use cannabis" means
	1084	+	8 cannabis subject to tax under the Cannabis Cultivation
	1085	+	9 Privilege Tax Law and the Cannabis Purchaser Excise Tax Law
	1086	+	10 and does not include cannabis subject to tax under the
	1087	+	11 Compassionate Use of Medical Cannabis Program Act.
	1088	+	12 If the property that is purchased at retail from a
	1089	+	13 retailer is acquired outside Illinois and used outside
	1090	+	14 Illinois before being brought to Illinois for use here and is
	1091	+	15 taxable under this Act, the "selling price" on which the tax is
	1092	+	16 computed shall be reduced by an amount that represents a
	1093	+	17 reasonable allowance for depreciation for the period of prior
	1094	+	18 out-of-state use.
	1095	+	19 (Source: P.A. 102-4, eff. 4-27-21; 102-700, Article 20,
	1096	+	20 Section 20-5, eff. 4-19-22; 102-700, Article 60, Section
	1097	+	21 60-15, eff. 4-19-22; 102-700, Article 65, Section 65-5, eff.
	1098	+	22 4-19-22; 103-9, eff. 6-7-23; 103-154 eff. 6-30-23.)
	1099	+	23 Section 10. The Service Use Tax Act is amended by changing
	1100	+	24 Sections 3-5 and 3-10 as follows:
	1101	+
	1102	+
	1103	+
	1104	+
	1105	+
	1106	+	HB3144 Enrolled - 31 - LRB103 26309 HLH 52670 b
	1107	+
	1108	+
	1109	+	HB3144 Enrolled- 32 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 32 - LRB103 26309 HLH 52670 b
	1110	+	HB3144 Enrolled - 32 - LRB103 26309 HLH 52670 b
	1111	+	1 (35 ILCS 110/3-5)
	1112	+	2 Sec. 3-5. Exemptions. Use of the following tangible
	1113	+	3 personal property is exempt from the tax imposed by this Act:
	1114	+	4 (1) Personal property purchased from a corporation,
	1115	+	5 society, association, foundation, institution, or
	1116	+	6 organization, other than a limited liability company, that is
	1117	+	7 organized and operated as a not-for-profit service enterprise
	1118	+	8 for the benefit of persons 65 years of age or older if the
	1119	+	9 personal property was not purchased by the enterprise for the
	1120	+	10 purpose of resale by the enterprise.
	1121	+	11 (2) Personal property purchased by a non-profit Illinois
	1122	+	12 county fair association for use in conducting, operating, or
	1123	+	13 promoting the county fair.
	1124	+	14 (3) Personal property purchased by a not-for-profit arts
	1125	+	15 or cultural organization that establishes, by proof required
	1126	+	16 by the Department by rule, that it has received an exemption
	1127	+	17 under Section 501(c)(3) of the Internal Revenue Code and that
	1128	+	18 is organized and operated primarily for the presentation or
	1129	+	19 support of arts or cultural programming, activities, or
	1130	+	20 services. These organizations include, but are not limited to,
	1131	+	21 music and dramatic arts organizations such as symphony
	1132	+	22 orchestras and theatrical groups, arts and cultural service
	1133	+	23 organizations, local arts councils, visual arts organizations,
	1134	+	24 and media arts organizations. On and after July 1, 2001 (the
	1135	+	25 effective date of Public Act 92-35), however, an entity
	1136	+	26 otherwise eligible for this exemption shall not make tax-free
	1137	+
	1138	+
	1139	+
	1140	+
	1141	+
	1142	+	HB3144 Enrolled - 32 - LRB103 26309 HLH 52670 b
	1143	+
	1144	+
	1145	+	HB3144 Enrolled- 33 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 33 - LRB103 26309 HLH 52670 b
	1146	+	HB3144 Enrolled - 33 - LRB103 26309 HLH 52670 b
	1147	+	1 purchases unless it has an active identification number issued
	1148	+	2 by the Department.
	1149	+	3 (4) Legal tender, currency, medallions, or gold or silver
	1150	+	4 coinage issued by the State of Illinois, the government of the
	1151	+	5 United States of America, or the government of any foreign
	1152	+	6 country, and bullion.
	1153	+	7 (5) Until July 1, 2003 and beginning again on September 1,
	1154	+	8 2004 through August 30, 2014, graphic arts machinery and
	1155	+	9 equipment, including repair and replacement parts, both new
	1156	+	10 and used, and including that manufactured on special order or
	1157	+	11 purchased for lease, certified by the purchaser to be used
	1158	+	12 primarily for graphic arts production. Equipment includes
	1159	+	13 chemicals or chemicals acting as catalysts but only if the
	1160	+	14 chemicals or chemicals acting as catalysts effect a direct and
	1161	+	15 immediate change upon a graphic arts product. Beginning on
	1162	+	16 July 1, 2017, graphic arts machinery and equipment is included
	1163	+	17 in the manufacturing and assembling machinery and equipment
	1164	+	18 exemption under Section 2 of this Act.
	1165	+	19 (6) Personal property purchased from a teacher-sponsored
	1166	+	20 student organization affiliated with an elementary or
	1167	+	21 secondary school located in Illinois.
	1168	+	22 (7) Farm machinery and equipment, both new and used,
	1169	+	23 including that manufactured on special order, certified by the
	1170	+	24 purchaser to be used primarily for production agriculture or
	1171	+	25 State or federal agricultural programs, including individual
	1172	+	26 replacement parts for the machinery and equipment, including
	1173	+
	1174	+
	1175	+
	1176	+
	1177	+
	1178	+	HB3144 Enrolled - 33 - LRB103 26309 HLH 52670 b
	1179	+
	1180	+
	1181	+	HB3144 Enrolled- 34 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 34 - LRB103 26309 HLH 52670 b
	1182	+	HB3144 Enrolled - 34 - LRB103 26309 HLH 52670 b
	1183	+	1 machinery and equipment purchased for lease, and including
	1184	+	2 implements of husbandry defined in Section 1-130 of the
	1185	+	3 Illinois Vehicle Code, farm machinery and agricultural
	1186	+	4 chemical and fertilizer spreaders, and nurse wagons required
	1187	+	5 to be registered under Section 3-809 of the Illinois Vehicle
	1188	+	6 Code, but excluding other motor vehicles required to be
	1189	+	7 registered under the Illinois Vehicle Code. Horticultural
	1190	+	8 polyhouses or hoop houses used for propagating, growing, or
	1191	+	9 overwintering plants shall be considered farm machinery and
	1192	+	10 equipment under this item (7). Agricultural chemical tender
	1193	+	11 tanks and dry boxes shall include units sold separately from a
	1194	+	12 motor vehicle required to be licensed and units sold mounted
	1195	+	13 on a motor vehicle required to be licensed if the selling price
	1196	+	14 of the tender is separately stated.
	1197	+	15 Farm machinery and equipment shall include precision
	1198	+	16 farming equipment that is installed or purchased to be
	1199	+	17 installed on farm machinery and equipment, including, but not
	1200	+	18 limited to, tractors, harvesters, sprayers, planters, seeders,
	1201	+	19 or spreaders. Precision farming equipment includes, but is not
	1202	+	20 limited to, soil testing sensors, computers, monitors,
	1203	+	21 software, global positioning and mapping systems, and other
	1204	+	22 such equipment.
	1205	+	23 Farm machinery and equipment also includes computers,
	1206	+	24 sensors, software, and related equipment used primarily in the
	1207	+	25 computer-assisted operation of production agriculture
	1208	+	26 facilities, equipment, and activities such as, but not limited
	1209	+
	1210	+
	1211	+
	1212	+
	1213	+
	1214	+	HB3144 Enrolled - 34 - LRB103 26309 HLH 52670 b
	1215	+
	1216	+
	1217	+	HB3144 Enrolled- 35 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 35 - LRB103 26309 HLH 52670 b
	1218	+	HB3144 Enrolled - 35 - LRB103 26309 HLH 52670 b
	1219	+	1 to, the collection, monitoring, and correlation of animal and
	1220	+	2 crop data for the purpose of formulating animal diets and
	1221	+	3 agricultural chemicals.
	1222	+	4 Beginning on January 1, 2024, farm machinery and equipment
	1223	+	5 also includes electrical power generation equipment used
	1224	+	6 primarily for production agriculture.
	1225	+	7 This item (7) is exempt from the provisions of Section
	1226	+	8 3-75.
	1227	+	9 (8) Until June 30, 2013, fuel and petroleum products sold
	1228	+	10 to or used by an air common carrier, certified by the carrier
	1229	+	11 to be used for consumption, shipment, or storage in the
	1230	+	12 conduct of its business as an air common carrier, for a flight
	1231	+	13 destined for or returning from a location or locations outside
	1232	+	14 the United States without regard to previous or subsequent
	1233	+	15 domestic stopovers.
	1234	+	16 Beginning July 1, 2013, fuel and petroleum products sold
	1235	+	17 to or used by an air carrier, certified by the carrier to be
	1236	+	18 used for consumption, shipment, or storage in the conduct of
	1237	+	19 its business as an air common carrier, for a flight that (i) is
	1238	+	20 engaged in foreign trade or is engaged in trade between the
	1239	+	21 United States and any of its possessions and (ii) transports
	1240	+	22 at least one individual or package for hire from the city of
	1241	+	23 origination to the city of final destination on the same
	1242	+	24 aircraft, without regard to a change in the flight number of
	1243	+	25 that aircraft.
	1244	+	26 (9) Proceeds of mandatory service charges separately
	1245	+
	1246	+
	1247	+
	1248	+
	1249	+
	1250	+	HB3144 Enrolled - 35 - LRB103 26309 HLH 52670 b
	1251	+
	1252	+
	1253	+	HB3144 Enrolled- 36 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 36 - LRB103 26309 HLH 52670 b
	1254	+	HB3144 Enrolled - 36 - LRB103 26309 HLH 52670 b
	1255	+	1 stated on customers' bills for the purchase and consumption of
	1256	+	2 food and beverages acquired as an incident to the purchase of a
	1257	+	3 service from a serviceman, to the extent that the proceeds of
	1258	+	4 the service charge are in fact turned over as tips or as a
	1259	+	5 substitute for tips to the employees who participate directly
	1260	+	6 in preparing, serving, hosting or cleaning up the food or
	1261	+	7 beverage function with respect to which the service charge is
	1262	+	8 imposed.
	1263	+	9 (10) Until July 1, 2003, oil field exploration, drilling,
	1264	+	10 and production equipment, including (i) rigs and parts of
	1265	+	11 rigs, rotary rigs, cable tool rigs, and workover rigs, (ii)
	1266	+	12 pipe and tubular goods, including casing and drill strings,
	1267	+	13 (iii) pumps and pump-jack units, (iv) storage tanks and flow
	1268	+	14 lines, (v) any individual replacement part for oil field
	1269	+	15 exploration, drilling, and production equipment, and (vi)
	1270	+	16 machinery and equipment purchased for lease; but excluding
	1271	+	17 motor vehicles required to be registered under the Illinois
	1272	+	18 Vehicle Code.
	1273	+	19 (11) Proceeds from the sale of photoprocessing machinery
	1274	+	20 and equipment, including repair and replacement parts, both
	1275	+	21 new and used, including that manufactured on special order,
	1276	+	22 certified by the purchaser to be used primarily for
	1277	+	23 photoprocessing, and including photoprocessing machinery and
	1278	+	24 equipment purchased for lease.
	1279	+	25 (12) Until July 1, 2028, coal and aggregate exploration,
	1280	+	26 mining, off-highway hauling, processing, maintenance, and
	1281	+
	1282	+
	1283	+
	1284	+
	1285	+
	1286	+	HB3144 Enrolled - 36 - LRB103 26309 HLH 52670 b
	1287	+
	1288	+
	1289	+	HB3144 Enrolled- 37 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 37 - LRB103 26309 HLH 52670 b
	1290	+	HB3144 Enrolled - 37 - LRB103 26309 HLH 52670 b
	1291	+	1 reclamation equipment, including replacement parts and
	1292	+	2 equipment, and including equipment purchased for lease, but
	1293	+	3 excluding motor vehicles required to be registered under the
	1294	+	4 Illinois Vehicle Code. The changes made to this Section by
	1295	+	5 Public Act 97-767 apply on and after July 1, 2003, but no claim
	1296	+	6 for credit or refund is allowed on or after August 16, 2013
	1297	+	7 (the effective date of Public Act 98-456) for such taxes paid
	1298	+	8 during the period beginning July 1, 2003 and ending on August
	1299	+	9 16, 2013 (the effective date of Public Act 98-456).
	1300	+	10 (13) Semen used for artificial insemination of livestock
	1301	+	11 for direct agricultural production.
	1302	+	12 (14) Horses, or interests in horses, registered with and
	1303	+	13 meeting the requirements of any of the Arabian Horse Club
	1304	+	14 Registry of America, Appaloosa Horse Club, American Quarter
	1305	+	15 Horse Association, United States Trotting Association, or
	1306	+	16 Jockey Club, as appropriate, used for purposes of breeding or
	1307	+	17 racing for prizes. This item (14) is exempt from the
	1308	+	18 provisions of Section 3-75, and the exemption provided for
	1309	+	19 under this item (14) applies for all periods beginning May 30,
	1310	+	20 1995, but no claim for credit or refund is allowed on or after
	1311	+	21 January 1, 2008 (the effective date of Public Act 95-88) for
	1312	+	22 such taxes paid during the period beginning May 30, 2000 and
	1313	+	23 ending on January 1, 2008 (the effective date of Public Act
	1314	+	24 95-88).
	1315	+	25 (15) Computers and communications equipment utilized for
	1316	+	26 any hospital purpose and equipment used in the diagnosis,
	1317	+
	1318	+
	1319	+
	1320	+
	1321	+
	1322	+	HB3144 Enrolled - 37 - LRB103 26309 HLH 52670 b
	1323	+
	1324	+
	1325	+	HB3144 Enrolled- 38 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 38 - LRB103 26309 HLH 52670 b
	1326	+	HB3144 Enrolled - 38 - LRB103 26309 HLH 52670 b
	1327	+	1 analysis, or treatment of hospital patients purchased by a
	1328	+	2 lessor who leases the equipment, under a lease of one year or
	1329	+	3 longer executed or in effect at the time the lessor would
	1330	+	4 otherwise be subject to the tax imposed by this Act, to a
	1331	+	5 hospital that has been issued an active tax exemption
	1332	+	6 identification number by the Department under Section 1g of
	1333	+	7 the Retailers' Occupation Tax Act. If the equipment is leased
	1334	+	8 in a manner that does not qualify for this exemption or is used
	1335	+	9 in any other non-exempt manner, the lessor shall be liable for
	1336	+	10 the tax imposed under this Act or the Use Tax Act, as the case
	1337	+	11 may be, based on the fair market value of the property at the
	1338	+	12 time the non-qualifying use occurs. No lessor shall collect or
	1339	+	13 attempt to collect an amount (however designated) that
	1340	+	14 purports to reimburse that lessor for the tax imposed by this
	1341	+	15 Act or the Use Tax Act, as the case may be, if the tax has not
	1342	+	16 been paid by the lessor. If a lessor improperly collects any
	1343	+	17 such amount from the lessee, the lessee shall have a legal
	1344	+	18 right to claim a refund of that amount from the lessor. If,
	1345	+	19 however, that amount is not refunded to the lessee for any
	1346	+	20 reason, the lessor is liable to pay that amount to the
	1347	+	21 Department.
	1348	+	22 (16) Personal property purchased by a lessor who leases
	1349	+	23 the property, under a lease of one year or longer executed or
	1350	+	24 in effect at the time the lessor would otherwise be subject to
	1351	+	25 the tax imposed by this Act, to a governmental body that has
	1352	+	26 been issued an active tax exemption identification number by
	1353	+
	1354	+
	1355	+
	1356	+
	1357	+
	1358	+	HB3144 Enrolled - 38 - LRB103 26309 HLH 52670 b
	1359	+
	1360	+
	1361	+	HB3144 Enrolled- 39 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 39 - LRB103 26309 HLH 52670 b
	1362	+	HB3144 Enrolled - 39 - LRB103 26309 HLH 52670 b
	1363	+	1 the Department under Section 1g of the Retailers' Occupation
	1364	+	2 Tax Act. If the property is leased in a manner that does not
	1365	+	3 qualify for this exemption or is used in any other non-exempt
	1366	+	4 manner, the lessor shall be liable for the tax imposed under
	1367	+	5 this Act or the Use Tax Act, as the case may be, based on the
	1368	+	6 fair market value of the property at the time the
	1369	+	7 non-qualifying use occurs. No lessor shall collect or attempt
	1370	+	8 to collect an amount (however designated) that purports to
	1371	+	9 reimburse that lessor for the tax imposed by this Act or the
	1372	+	10 Use Tax Act, as the case may be, if the tax has not been paid
	1373	+	11 by the lessor. If a lessor improperly collects any such amount
	1374	+	12 from the lessee, the lessee shall have a legal right to claim a
	1375	+	13 refund of that amount from the lessor. If, however, that
	1376	+	14 amount is not refunded to the lessee for any reason, the lessor
	1377	+	15 is liable to pay that amount to the Department.
	1378	+	16 (17) Beginning with taxable years ending on or after
	1379	+	17 December 31, 1995 and ending with taxable years ending on or
	1380	+	18 before December 31, 2004, personal property that is donated
	1381	+	19 for disaster relief to be used in a State or federally declared
	1382	+	20 disaster area in Illinois or bordering Illinois by a
	1383	+	21 manufacturer or retailer that is registered in this State to a
	1384	+	22 corporation, society, association, foundation, or institution
	1385	+	23 that has been issued a sales tax exemption identification
	1386	+	24 number by the Department that assists victims of the disaster
	1387	+	25 who reside within the declared disaster area.
	1388	+	26 (18) Beginning with taxable years ending on or after
	1389	+
	1390	+
	1391	+
	1392	+
	1393	+
	1394	+	HB3144 Enrolled - 39 - LRB103 26309 HLH 52670 b
	1395	+
	1396	+
	1397	+	HB3144 Enrolled- 40 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 40 - LRB103 26309 HLH 52670 b
	1398	+	HB3144 Enrolled - 40 - LRB103 26309 HLH 52670 b
	1399	+	1 December 31, 1995 and ending with taxable years ending on or
	1400	+	2 before December 31, 2004, personal property that is used in
	1401	+	3 the performance of infrastructure repairs in this State,
	1402	+	4 including, but not limited to, municipal roads and streets,
	1403	+	5 access roads, bridges, sidewalks, waste disposal systems,
	1404	+	6 water and sewer line extensions, water distribution and
	1405	+	7 purification facilities, storm water drainage and retention
	1406	+	8 facilities, and sewage treatment facilities, resulting from a
	1407	+	9 State or federally declared disaster in Illinois or bordering
	1408	+	10 Illinois when such repairs are initiated on facilities located
	1409	+	11 in the declared disaster area within 6 months after the
	1410	+	12 disaster.
	1411	+	13 (19) Beginning July 1, 1999, game or game birds purchased
	1412	+	14 at a "game breeding and hunting preserve area" as that term is
	1413	+	15 used in the Wildlife Code. This paragraph is exempt from the
	1414	+	16 provisions of Section 3-75.
	1415	+	17 (20) A motor vehicle, as that term is defined in Section
	1416	+	18 1-146 of the Illinois Vehicle Code, that is donated to a
	1417	+	19 corporation, limited liability company, society, association,
	1418	+	20 foundation, or institution that is determined by the
	1419	+	21 Department to be organized and operated exclusively for
	1420	+	22 educational purposes. For purposes of this exemption, "a
	1421	+	23 corporation, limited liability company, society, association,
	1422	+	24 foundation, or institution organized and operated exclusively
	1423	+	25 for educational purposes" means all tax-supported public
	1424	+	26 schools, private schools that offer systematic instruction in
	1425	+
	1426	+
	1427	+
	1428	+
	1429	+
	1430	+	HB3144 Enrolled - 40 - LRB103 26309 HLH 52670 b
	1431	+
	1432	+
	1433	+	HB3144 Enrolled- 41 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 41 - LRB103 26309 HLH 52670 b
	1434	+	HB3144 Enrolled - 41 - LRB103 26309 HLH 52670 b
	1435	+	1 useful branches of learning by methods common to public
	1436	+	2 schools and that compare favorably in their scope and
	1437	+	3 intensity with the course of study presented in tax-supported
	1438	+	4 schools, and vocational or technical schools or institutes
	1439	+	5 organized and operated exclusively to provide a course of
	1440	+	6 study of not less than 6 weeks duration and designed to prepare
	1441	+	7 individuals to follow a trade or to pursue a manual,
	1442	+	8 technical, mechanical, industrial, business, or commercial
	1443	+	9 occupation.
	1444	+	10 (21) Beginning January 1, 2000, personal property,
	1445	+	11 including food, purchased through fundraising events for the
	1446	+	12 benefit of a public or private elementary or secondary school,
	1447	+	13 a group of those schools, or one or more school districts if
	1448	+	14 the events are sponsored by an entity recognized by the school
	1449	+	15 district that consists primarily of volunteers and includes
	1450	+	16 parents and teachers of the school children. This paragraph
	1451	+	17 does not apply to fundraising events (i) for the benefit of
	1452	+	18 private home instruction or (ii) for which the fundraising
	1453	+	19 entity purchases the personal property sold at the events from
	1454	+	20 another individual or entity that sold the property for the
	1455	+	21 purpose of resale by the fundraising entity and that profits
	1456	+	22 from the sale to the fundraising entity. This paragraph is
	1457	+	23 exempt from the provisions of Section 3-75.
	1458	+	24 (22) Beginning January 1, 2000 and through December 31,
	1459	+	25 2001, new or used automatic vending machines that prepare and
	1460	+	26 serve hot food and beverages, including coffee, soup, and
	1461	+
	1462	+
	1463	+
	1464	+
	1465	+
	1466	+	HB3144 Enrolled - 41 - LRB103 26309 HLH 52670 b
	1467	+
	1468	+
	1469	+	HB3144 Enrolled- 42 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 42 - LRB103 26309 HLH 52670 b
	1470	+	HB3144 Enrolled - 42 - LRB103 26309 HLH 52670 b
	1471	+	1 other items, and replacement parts for these machines.
	1472	+	2 Beginning January 1, 2002 and through June 30, 2003, machines
	1473	+	3 and parts for machines used in commercial, coin-operated
	1474	+	4 amusement and vending business if a use or occupation tax is
	1475	+	5 paid on the gross receipts derived from the use of the
	1476	+	6 commercial, coin-operated amusement and vending machines. This
	1477	+	7 paragraph is exempt from the provisions of Section 3-75.
	1478	+	8 (23) Beginning August 23, 2001 and through June 30, 2016,
	1479	+	9 food for human consumption that is to be consumed off the
	1480	+	10 premises where it is sold (other than alcoholic beverages,
	1481	+	11 soft drinks, and food that has been prepared for immediate
	1482	+	12 consumption) and prescription and nonprescription medicines,
	1483	+	13 drugs, medical appliances, and insulin, urine testing
	1484	+	14 materials, syringes, and needles used by diabetics, for human
	1485	+	15 use, when purchased for use by a person receiving medical
	1486	+	16 assistance under Article V of the Illinois Public Aid Code who
	1487	+	17 resides in a licensed long-term care facility, as defined in
	1488	+	18 the Nursing Home Care Act, or in a licensed facility as defined
	1489	+	19 in the ID/DD Community Care Act, the MC/DD Act, or the
	1490	+	20 Specialized Mental Health Rehabilitation Act of 2013.
	1491	+	21 (24) Beginning on August 2, 2001 (the effective date of
	1492	+	22 Public Act 92-227), computers and communications equipment
	1493	+	23 utilized for any hospital purpose and equipment used in the
	1494	+	24 diagnosis, analysis, or treatment of hospital patients
	1495	+	25 purchased by a lessor who leases the equipment, under a lease
	1496	+	26 of one year or longer executed or in effect at the time the
	1497	+
	1498	+
	1499	+
	1500	+
	1501	+
	1502	+	HB3144 Enrolled - 42 - LRB103 26309 HLH 52670 b
	1503	+
	1504	+
	1505	+	HB3144 Enrolled- 43 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 43 - LRB103 26309 HLH 52670 b
	1506	+	HB3144 Enrolled - 43 - LRB103 26309 HLH 52670 b
	1507	+	1 lessor would otherwise be subject to the tax imposed by this
	1508	+	2 Act, to a hospital that has been issued an active tax exemption
	1509	+	3 identification number by the Department under Section 1g of
	1510	+	4 the Retailers' Occupation Tax Act. If the equipment is leased
	1511	+	5 in a manner that does not qualify for this exemption or is used
	1512	+	6 in any other nonexempt manner, the lessor shall be liable for
	1513	+	7 the tax imposed under this Act or the Use Tax Act, as the case
	1514	+	8 may be, based on the fair market value of the property at the
	1515	+	9 time the nonqualifying use occurs. No lessor shall collect or
	1516	+	10 attempt to collect an amount (however designated) that
	1517	+	11 purports to reimburse that lessor for the tax imposed by this
	1518	+	12 Act or the Use Tax Act, as the case may be, if the tax has not
	1519	+	13 been paid by the lessor. If a lessor improperly collects any
	1520	+	14 such amount from the lessee, the lessee shall have a legal
	1521	+	15 right to claim a refund of that amount from the lessor. If,
	1522	+	16 however, that amount is not refunded to the lessee for any
	1523	+	17 reason, the lessor is liable to pay that amount to the
	1524	+	18 Department. This paragraph is exempt from the provisions of
	1525	+	19 Section 3-75.
	1526	+	20 (25) Beginning on August 2, 2001 (the effective date of
	1527	+	21 Public Act 92-227), personal property purchased by a lessor
	1528	+	22 who leases the property, under a lease of one year or longer
	1529	+	23 executed or in effect at the time the lessor would otherwise be
	1530	+	24 subject to the tax imposed by this Act, to a governmental body
	1531	+	25 that has been issued an active tax exemption identification
	1532	+	26 number by the Department under Section 1g of the Retailers'
	1533	+
	1534	+
	1535	+
	1536	+
	1537	+
	1538	+	HB3144 Enrolled - 43 - LRB103 26309 HLH 52670 b
	1539	+
	1540	+
	1541	+	HB3144 Enrolled- 44 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 44 - LRB103 26309 HLH 52670 b
	1542	+	HB3144 Enrolled - 44 - LRB103 26309 HLH 52670 b
	1543	+	1 Occupation Tax Act. If the property is leased in a manner that
	1544	+	2 does not qualify for this exemption or is used in any other
	1545	+	3 nonexempt manner, the lessor shall be liable for the tax
	1546	+	4 imposed under this Act or the Use Tax Act, as the case may be,
	1547	+	5 based on the fair market value of the property at the time the
	1548	+	6 nonqualifying use occurs. No lessor shall collect or attempt
	1549	+	7 to collect an amount (however designated) that purports to
	1550	+	8 reimburse that lessor for the tax imposed by this Act or the
	1551	+	9 Use Tax Act, as the case may be, if the tax has not been paid
	1552	+	10 by the lessor. If a lessor improperly collects any such amount
	1553	+	11 from the lessee, the lessee shall have a legal right to claim a
	1554	+	12 refund of that amount from the lessor. If, however, that
	1555	+	13 amount is not refunded to the lessee for any reason, the lessor
	1556	+	14 is liable to pay that amount to the Department. This paragraph
	1557	+	15 is exempt from the provisions of Section 3-75.
	1558	+	16 (26) Beginning January 1, 2008, tangible personal property
	1559	+	17 used in the construction or maintenance of a community water
	1560	+	18 supply, as defined under Section 3.145 of the Environmental
	1561	+	19 Protection Act, that is operated by a not-for-profit
	1562	+	20 corporation that holds a valid water supply permit issued
	1563	+	21 under Title IV of the Environmental Protection Act. This
	1564	+	22 paragraph is exempt from the provisions of Section 3-75.
	1565	+	23 (27) Beginning January 1, 2010 and continuing through
	1566	+	24 December 31, 2029, materials, parts, equipment, components,
	1567	+	25 and furnishings incorporated into or upon an aircraft as part
	1568	+	26 of the modification, refurbishment, completion, replacement,
	1569	+
	1570	+
	1571	+
	1572	+
	1573	+
	1574	+	HB3144 Enrolled - 44 - LRB103 26309 HLH 52670 b
	1575	+
	1576	+
	1577	+	HB3144 Enrolled- 45 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 45 - LRB103 26309 HLH 52670 b
	1578	+	HB3144 Enrolled - 45 - LRB103 26309 HLH 52670 b
	1579	+	1 repair, or maintenance of the aircraft. This exemption
	1580	+	2 includes consumable supplies used in the modification,
	1581	+	3 refurbishment, completion, replacement, repair, and
	1582	+	4 maintenance of aircraft. However, until January 1, 2024, this
	1583	+	5 exemption excludes any materials, parts, equipment,
	1584	+	6 components, and consumable supplies used in the modification,
	1585	+	7 replacement, repair, and maintenance of aircraft engines or
	1586	+	8 power plants, whether such engines or power plants are
	1587	+	9 installed or uninstalled upon any such aircraft. "Consumable
	1588	+	10 supplies" include, but are not limited to, adhesive, tape,
	1589	+	11 sandpaper, general purpose lubricants, cleaning solution,
	1590	+	12 latex gloves, and protective films.
	1591	+	13 Beginning January 1, 2010 and continuing through December
	1592	+	14 31, 2023, this exemption applies only to the use of qualifying
	1593	+	15 tangible personal property transferred incident to the
	1594	+	16 modification, refurbishment, completion, replacement, repair,
	1595	+	17 or maintenance of aircraft by persons who (i) hold an Air
	1596	+	18 Agency Certificate and are empowered to operate an approved
	1597	+	19 repair station by the Federal Aviation Administration, (ii)
	1598	+	20 have a Class IV Rating, and (iii) conduct operations in
	1599	+	21 accordance with Part 145 of the Federal Aviation Regulations.
	1600	+	22 From January 1, 2024 through December 31, 2029, this exemption
	1601	+	23 applies only to the use of qualifying tangible personal
	1602	+	24 property by: (A) persons who modify, refurbish, complete,
	1603	+	25 repair, replace, or maintain aircraft and who (i) hold an Air
	1604	+	26 Agency Certificate and are empowered to operate an approved
	1605	+
	1606	+
	1607	+
	1608	+
	1609	+
	1610	+	HB3144 Enrolled - 45 - LRB103 26309 HLH 52670 b
	1611	+
	1612	+
	1613	+	HB3144 Enrolled- 46 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 46 - LRB103 26309 HLH 52670 b
	1614	+	HB3144 Enrolled - 46 - LRB103 26309 HLH 52670 b
	1615	+	1 repair station by the Federal Aviation Administration, (ii)
	1616	+	2 have a Class IV Rating, and (iii) conduct operations in
	1617	+	3 accordance with Part 145 of the Federal Aviation Regulations;
	1618	+	4 and (B) persons who engage in the modification, replacement,
	1619	+	5 repair, and maintenance of aircraft engines or power plants
	1620	+	6 without regard to whether or not those persons meet the
	1621	+	7 qualifications of item (A).
	1622	+	8 The exemption does not include aircraft operated by a
	1623	+	9 commercial air carrier providing scheduled passenger air
	1624	+	10 service pursuant to authority issued under Part 121 or Part
	1625	+	11 129 of the Federal Aviation Regulations. The changes made to
	1626	+	12 this paragraph (27) by Public Act 98-534 are declarative of
	1627	+	13 existing law. It is the intent of the General Assembly that the
	1628	+	14 exemption under this paragraph (27) applies continuously from
	1629	+	15 January 1, 2010 through December 31, 2024; however, no claim
	1630	+	16 for credit or refund is allowed for taxes paid as a result of
	1631	+	17 the disallowance of this exemption on or after January 1, 2015
	1632	+	18 and prior to February 5, 2020 (the effective date of Public Act
	1633	+	19 101-629).
	1634	+	20 (28) Tangible personal property purchased by a
	1635	+	21 public-facilities corporation, as described in Section
	1636	+	22 11-65-10 of the Illinois Municipal Code, for purposes of
	1637	+	23 constructing or furnishing a municipal convention hall, but
	1638	+	24 only if the legal title to the municipal convention hall is
	1639	+	25 transferred to the municipality without any further
	1640	+	26 consideration by or on behalf of the municipality at the time
	1641	+
	1642	+
	1643	+
	1644	+
	1645	+
	1646	+	HB3144 Enrolled - 46 - LRB103 26309 HLH 52670 b
	1647	+
	1648	+
	1649	+	HB3144 Enrolled- 47 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 47 - LRB103 26309 HLH 52670 b
	1650	+	HB3144 Enrolled - 47 - LRB103 26309 HLH 52670 b
	1651	+	1 of the completion of the municipal convention hall or upon the
	1652	+	2 retirement or redemption of any bonds or other debt
	1653	+	3 instruments issued by the public-facilities corporation in
	1654	+	4 connection with the development of the municipal convention
	1655	+	5 hall. This exemption includes existing public-facilities
	1656	+	6 corporations as provided in Section 11-65-25 of the Illinois
	1657	+	7 Municipal Code. This paragraph is exempt from the provisions
	1658	+	8 of Section 3-75.
	1659	+	9 (29) Beginning January 1, 2017 and through December 31,
	1660	+	10 2026, menstrual pads, tampons, and menstrual cups.
	1661	+	11 (30) Tangible personal property transferred to a purchaser
	1662	+	12 who is exempt from the tax imposed by this Act by operation of
	1663	+	13 federal law. This paragraph is exempt from the provisions of
	1664	+	14 Section 3-75.
	1665	+	15 (31) Qualified tangible personal property used in the
	1666	+	16 construction or operation of a data center that has been
	1667	+	17 granted a certificate of exemption by the Department of
	1668	+	18 Commerce and Economic Opportunity, whether that tangible
	1669	+	19 personal property is purchased by the owner, operator, or
	1670	+	20 tenant of the data center or by a contractor or subcontractor
	1671	+	21 of the owner, operator, or tenant. Data centers that would
	1672	+	22 have qualified for a certificate of exemption prior to January
	1673	+	23 1, 2020 had Public Act 101-31 been in effect, may apply for and
	1674	+	24 obtain an exemption for subsequent purchases of computer
	1675	+	25 equipment or enabling software purchased or leased to upgrade,
	1676	+	26 supplement, or replace computer equipment or enabling software
	1677	+
	1678	+
	1679	+
	1680	+
	1681	+
	1682	+	HB3144 Enrolled - 47 - LRB103 26309 HLH 52670 b
	1683	+
	1684	+
	1685	+	HB3144 Enrolled- 48 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 48 - LRB103 26309 HLH 52670 b
	1686	+	HB3144 Enrolled - 48 - LRB103 26309 HLH 52670 b
	1687	+	1 purchased or leased in the original investment that would have
	1688	+	2 qualified.
	1689	+	3 The Department of Commerce and Economic Opportunity shall
	1690	+	4 grant a certificate of exemption under this item (31) to
	1691	+	5 qualified data centers as defined by Section 605-1025 of the
	1692	+	6 Department of Commerce and Economic Opportunity Law of the
	1693	+	7 Civil Administrative Code of Illinois.
	1694	+	8 For the purposes of this item (31):
	1695	+	9 "Data center" means a building or a series of
	1696	+	10 buildings rehabilitated or constructed to house working
	1697	+	11 servers in one physical location or multiple sites within
	1698	+	12 the State of Illinois.
	1699	+	13 "Qualified tangible personal property" means:
	1700	+	14 electrical systems and equipment; climate control and
	1701	+	15 chilling equipment and systems; mechanical systems and
	1702	+	16 equipment; monitoring and secure systems; emergency
	1703	+	17 generators; hardware; computers; servers; data storage
	1704	+	18 devices; network connectivity equipment; racks; cabinets;
	1705	+	19 telecommunications cabling infrastructure; raised floor
	1706	+	20 systems; peripheral components or systems; software;
	1707	+	21 mechanical, electrical, or plumbing systems; battery
	1708	+	22 systems; cooling systems and towers; temperature control
	1709	+	23 systems; other cabling; and other data center
	1710	+	24 infrastructure equipment and systems necessary to operate
	1711	+	25 qualified tangible personal property, including fixtures;
	1712	+	26 and component parts of any of the foregoing, including
	1713	+
	1714	+
	1715	+
	1716	+
	1717	+
	1718	+	HB3144 Enrolled - 48 - LRB103 26309 HLH 52670 b
	1719	+
	1720	+
	1721	+	HB3144 Enrolled- 49 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 49 - LRB103 26309 HLH 52670 b
	1722	+	HB3144 Enrolled - 49 - LRB103 26309 HLH 52670 b
	1723	+	1 installation, maintenance, repair, refurbishment, and
	1724	+	2 replacement of qualified tangible personal property to
	1725	+	3 generate, transform, transmit, distribute, or manage
	1726	+	4 electricity necessary to operate qualified tangible
	1727	+	5 personal property; and all other tangible personal
	1728	+	6 property that is essential to the operations of a computer
	1729	+	7 data center. The term "qualified tangible personal
	1730	+	8 property" also includes building materials physically
	1731	+	9 incorporated into in to the qualifying data center. To
	1732	+	10 document the exemption allowed under this Section, the
	1733	+	11 retailer must obtain from the purchaser a copy of the
	1734	+	12 certificate of eligibility issued by the Department of
	1735	+	13 Commerce and Economic Opportunity.
	1736	+	14 This item (31) is exempt from the provisions of Section
	1737	+	15 3-75.
	1738	+	16 (32) Beginning July 1, 2022, breast pumps, breast pump
	1739	+	17 collection and storage supplies, and breast pump kits. This
	1740	+	18 item (32) is exempt from the provisions of Section 3-75. As
	1741	+	19 used in this item (32):
	1742	+	20 "Breast pump" means an electrically controlled or
	1743	+	21 manually controlled pump device designed or marketed to be
	1744	+	22 used to express milk from a human breast during lactation,
	1745	+	23 including the pump device and any battery, AC adapter, or
	1746	+	24 other power supply unit that is used to power the pump
	1747	+	25 device and is packaged and sold with the pump device at the
	1748	+	26 time of sale.
	1749	+
	1750	+
	1751	+
	1752	+
	1753	+
	1754	+	HB3144 Enrolled - 49 - LRB103 26309 HLH 52670 b
	1755	+
	1756	+
	1757	+	HB3144 Enrolled- 50 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 50 - LRB103 26309 HLH 52670 b
	1758	+	HB3144 Enrolled - 50 - LRB103 26309 HLH 52670 b
	1759	+	1 "Breast pump collection and storage supplies" means
	1760	+	2 items of tangible personal property designed or marketed
	1761	+	3 to be used in conjunction with a breast pump to collect
	1762	+	4 milk expressed from a human breast and to store collected
	1763	+	5 milk until it is ready for consumption.
	1764	+	6 "Breast pump collection and storage supplies"
	1765	+	7 includes, but is not limited to: breast shields and breast
	1766	+	8 shield connectors; breast pump tubes and tubing adapters;
	1767	+	9 breast pump valves and membranes; backflow protectors and
	1768	+	10 backflow protector adaptors; bottles and bottle caps
	1769	+	11 specific to the operation of the breast pump; and breast
	1770	+	12 milk storage bags.
	1771	+	13 "Breast pump collection and storage supplies" does not
	1772	+	14 include: (1) bottles and bottle caps not specific to the
	1773	+	15 operation of the breast pump; (2) breast pump travel bags
	1774	+	16 and other similar carrying accessories, including ice
	1775	+	17 packs, labels, and other similar products; (3) breast pump
	1776	+	18 cleaning supplies; (4) nursing bras, bra pads, breast
	1777	+	19 shells, and other similar products; and (5) creams,
	1778	+	20 ointments, and other similar products that relieve
	1779	+	21 breastfeeding-related symptoms or conditions of the
	1780	+	22 breasts or nipples, unless sold as part of a breast pump
	1781	+	23 kit that is pre-packaged by the breast pump manufacturer
	1782	+	24 or distributor.
	1783	+	25 "Breast pump kit" means a kit that: (1) contains no
	1784	+	26 more than a breast pump, breast pump collection and
	1785	+
	1786	+
	1787	+
	1788	+
	1789	+
	1790	+	HB3144 Enrolled - 50 - LRB103 26309 HLH 52670 b
	1791	+
	1792	+
	1793	+	HB3144 Enrolled- 51 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 51 - LRB103 26309 HLH 52670 b
	1794	+	HB3144 Enrolled - 51 - LRB103 26309 HLH 52670 b
	1795	+	1 storage supplies, a rechargeable battery for operating the
	1796	+	2 breast pump, a breastmilk cooler, bottle stands, ice
	1797	+	3 packs, and a breast pump carrying case; and (2) is
	1798	+	4 pre-packaged as a breast pump kit by the breast pump
	1799	+	5 manufacturer or distributor.
	1800	+	6 (33) Tangible personal property sold by or on behalf of
	1801	+	7 the State Treasurer pursuant to the Revised Uniform Unclaimed
	1802	+	8 Property Act. This item (33) is exempt from the provisions of
	1803	+	9 Section 3-75.
	1804	+	10 (34) Beginning on January 1, 2024, tangible personal
	1805	+	11 property purchased by an active duty member of the armed
	1806	+	12 forces of the United States who presents valid military
	1807	+	13 identification and purchases the property using a form of
	1808	+	14 payment where the federal government is the payor. The member
	1809	+	15 of the armed forces must complete, at the point of sale, a form
	1810	+	16 prescribed by the Department of Revenue documenting that the
	1811	+	17 transaction is eligible for the exemption under this
	1812	+	18 paragraph. Retailers must keep the form as documentation of
	1813	+	19 the exemption in their records for a period of not less than 6
	1814	+	20 years. "Armed forces of the United States" means the United
	1815	+	21 States Army, Navy, Air Force, Marine Corps, or Coast Guard.
	1816	+	22 This paragraph is exempt from the provisions of Section 3-75.
	1817	+	23 (35) Beginning on January 1, 2026, as further defined in
	1818	+	24 Section 3-10, food prepared for immediate consumption and
	1819	+	25 transferred incident to a sale of service subject to this Act
	1820	+	26 or the Service Occupation Tax Act by an entity licensed under
	1821	+
	1822	+
	1823	+
	1824	+
	1825	+
	1826	+	HB3144 Enrolled - 51 - LRB103 26309 HLH 52670 b
	1827	+
	1828	+
	1829	+	HB3144 Enrolled- 52 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 52 - LRB103 26309 HLH 52670 b
	1830	+	HB3144 Enrolled - 52 - LRB103 26309 HLH 52670 b
	1831	+	1 the Hospital Licensing Act, the Nursing Home Care Act, the
	1832	+	2 Assisted Living and Shared Housing Act, the ID/DD Community
	1833	+	3 Care Act, the MC/DD Act, the Specialized Mental Health
	1834	+	4 Rehabilitation Act of 2013, or the Child Care Act of 1969, or
	1835	+	5 by an entity that holds a permit issued pursuant to the Life
	1836	+	6 Care Facilities Act. This item (35) is exempt from the
	1837	+	7 provisions of Section 3-75.
	1838	+	8 (36) Beginning on January 1, 2026, as further defined in
	1839	+	9 Section 3-10, food for human consumption that is to be
	1840	+	10 consumed off the premises where it is sold (other than
	1841	+	11 alcoholic beverages, food consisting of or infused with adult
	1842	+	12 use cannabis, soft drinks, candy, and food that has been
	1843	+	13 prepared for immediate consumption). This item (36) is exempt
	1844	+	14 from the provisions of Section 3-75.
	1845	+	15 (Source: P.A. 102-16, eff. 6-17-21; 102-700, Article 70,
	1846	+	16 Section 70-10, eff. 4-19-22; 102-700, Article 75, Section
	1847	+	17 75-10, eff. 4-19-22; 102-1026, eff. 5-27-22; 103-9, Article 5,
	1848	+	18 Section 5-10, eff. 6-7-23; 103-9, Article 15, Section 15-10,
	1849	+	19 eff. 6-7-23; 103-154, eff. 6-30-23; 103-384, eff. 1-1-24;
	1850	+	20 revised 12-12-23.)
	1851	+	21 (35 ILCS 110/3-10) (from Ch. 120, par. 439.33-10)
	1852	+	22 Sec. 3-10. Rate of tax. Unless otherwise provided in this
	1853	+	23 Section, the tax imposed by this Act is at the rate of 6.25% of
	1854	+	24 the selling price of tangible personal property transferred as
	1855	+	25 an incident to the sale of service, but, for the purpose of
	1856	+
	1857	+
	1858	+
	1859	+
	1860	+
	1861	+	HB3144 Enrolled - 52 - LRB103 26309 HLH 52670 b
	1862	+
	1863	+
	1864	+	HB3144 Enrolled- 53 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 53 - LRB103 26309 HLH 52670 b
	1865	+	HB3144 Enrolled - 53 - LRB103 26309 HLH 52670 b
	1866	+	1 computing this tax, in no event shall the selling price be less
	1867	+	2 than the cost price of the property to the serviceman.
	1868	+	3 Beginning on July 1, 2000 and through December 31, 2000,
	1869	+	4 with respect to motor fuel, as defined in Section 1.1 of the
	1870	+	5 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
	1871	+	6 the Use Tax Act, the tax is imposed at the rate of 1.25%.
	1872	+	7 With respect to gasohol, as defined in the Use Tax Act, the
	1873	+	8 tax imposed by this Act applies to (i) 70% of the selling price
	1874	+	9 of property transferred as an incident to the sale of service
	1875	+	10 on or after January 1, 1990, and before July 1, 2003, (ii) 80%
	1876	+	11 of the selling price of property transferred as an incident to
	1877	+	12 the sale of service on or after July 1, 2003 and on or before
	1878	+	13 July 1, 2017, (iii) 100% of the selling price of property
	1879	+	14 transferred as an incident to the sale of service after July 1,
	1880	+	15 2017 and before January 1, 2024, (iv) 90% of the selling price
	1881	+	16 of property transferred as an incident to the sale of service
	1882	+	17 on or after January 1, 2024 and on or before December 31, 2028,
	1883	+	18 and (v) 100% of the selling price of property transferred as an
	1884	+	19 incident to the sale of service after December 31, 2028. If, at
	1885	+	20 any time, however, the tax under this Act on sales of gasohol,
	1886	+	21 as defined in the Use Tax Act, is imposed at the rate of 1.25%,
	1887	+	22 then the tax imposed by this Act applies to 100% of the
	1888	+	23 proceeds of sales of gasohol made during that time.
	1889	+	24 With respect to mid-range ethanol blends, as defined in
	1890	+	25 Section 3-44.3 of the Use Tax Act, the tax imposed by this Act
	1891	+	26 applies to (i) 80% of the selling price of property
	1892	+
	1893	+
	1894	+
	1895	+
	1896	+
	1897	+	HB3144 Enrolled - 53 - LRB103 26309 HLH 52670 b
	1898	+
	1899	+
	1900	+	HB3144 Enrolled- 54 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 54 - LRB103 26309 HLH 52670 b
	1901	+	HB3144 Enrolled - 54 - LRB103 26309 HLH 52670 b
	1902	+	1 transferred as an incident to the sale of service on or after
	1903	+	2 January 1, 2024 and on or before December 31, 2028 and (ii)
	1904	+	3 100% of the selling price of property transferred as an
	1905	+	4 incident to the sale of service after December 31, 2028. If, at
	1906	+	5 any time, however, the tax under this Act on sales of mid-range
	1907	+	6 ethanol blends is imposed at the rate of 1.25%, then the tax
	1908	+	7 imposed by this Act applies to 100% of the selling price of
	1909	+	8 mid-range ethanol blends transferred as an incident to the
	1910	+	9 sale of service during that time.
	1911	+	10 With respect to majority blended ethanol fuel, as defined
	1912	+	11 in the Use Tax Act, the tax imposed by this Act does not apply
	1913	+	12 to the selling price of property transferred as an incident to
	1914	+	13 the sale of service on or after July 1, 2003 and on or before
	1915	+	14 December 31, 2028 but applies to 100% of the selling price
	1916	+	15 thereafter.
	1917	+	16 With respect to biodiesel blends, as defined in the Use
	1918	+	17 Tax Act, with no less than 1% and no more than 10% biodiesel,
	1919	+	18 the tax imposed by this Act applies to (i) 80% of the selling
	1920	+	19 price of property transferred as an incident to the sale of
	1921	+	20 service on or after July 1, 2003 and on or before December 31,
	1922	+	21 2018 and (ii) 100% of the proceeds of the selling price after
	1923	+	22 December 31, 2018 and before January 1, 2024. On and after
	1924	+	23 January 1, 2024 and on or before December 31, 2030, the
	1925	+	24 taxation of biodiesel, renewable diesel, and biodiesel blends
	1926	+	25 shall be as provided in Section 3-5.1 of the Use Tax Act. If,
	1927	+	26 at any time, however, the tax under this Act on sales of
	1928	+
	1929	+
	1930	+
	1931	+
	1932	+
	1933	+	HB3144 Enrolled - 54 - LRB103 26309 HLH 52670 b
	1934	+
	1935	+
	1936	+	HB3144 Enrolled- 55 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 55 - LRB103 26309 HLH 52670 b
	1937	+	HB3144 Enrolled - 55 - LRB103 26309 HLH 52670 b
	1938	+	1 biodiesel blends, as defined in the Use Tax Act, with no less
	1939	+	2 than 1% and no more than 10% biodiesel is imposed at the rate
	1940	+	3 of 1.25%, then the tax imposed by this Act applies to 100% of
	1941	+	4 the proceeds of sales of biodiesel blends with no less than 1%
	1942	+	5 and no more than 10% biodiesel made during that time.
	1943	+	6 With respect to biodiesel, as defined in the Use Tax Act,
	1944	+	7 and biodiesel blends, as defined in the Use Tax Act, with more
	1945	+	8 than 10% but no more than 99% biodiesel, the tax imposed by
	1946	+	9 this Act does not apply to the proceeds of the selling price of
	1947	+	10 property transferred as an incident to the sale of service on
	1948	+	11 or after July 1, 2003 and on or before December 31, 2023. On
	1949	+	12 and after January 1, 2024 and on or before December 31, 2030,
	1950	+	13 the taxation of biodiesel, renewable diesel, and biodiesel
	1951	+	14 blends shall be as provided in Section 3-5.1 of the Use Tax
	1952	+	15 Act.
	1953	+	16 At the election of any registered serviceman made for each
	1954	+	17 fiscal year, sales of service in which the aggregate annual
	1955	+	18 cost price of tangible personal property transferred as an
	1956	+	19 incident to the sales of service is less than 35%, or 75% in
	1957	+	20 the case of servicemen transferring prescription drugs or
	1958	+	21 servicemen engaged in graphic arts production, of the
	1959	+	22 aggregate annual total gross receipts from all sales of
	1960	+	23 service, the tax imposed by this Act shall be based on the
	1961	+	24 serviceman's cost price of the tangible personal property
	1962	+	25 transferred as an incident to the sale of those services.
	1963	+	26 Until July 1, 2022 and from beginning again on July 1, 2023
	1964	+
	1965	+
	1966	+
	1967	+
	1968	+
	1969	+	HB3144 Enrolled - 55 - LRB103 26309 HLH 52670 b
	1970	+
	1971	+
	1972	+	HB3144 Enrolled- 56 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 56 - LRB103 26309 HLH 52670 b
	1973	+	HB3144 Enrolled - 56 - LRB103 26309 HLH 52670 b
	1974	+	1 through December 31, 2025, the tax shall be imposed at the rate
	1975	+	2 of 1% on food prepared for immediate consumption and
	1976	+	3 transferred incident to a sale of service subject to this Act
	1977	+	4 or the Service Occupation Tax Act by an entity licensed under
	1978	+	5 the Hospital Licensing Act, the Nursing Home Care Act, the
	1979	+	6 Assisted Living and Shared Housing Act, the ID/DD Community
	1980	+	7 Care Act, the MC/DD Act, the Specialized Mental Health
	1981	+	8 Rehabilitation Act of 2013, or the Child Care Act of 1969, or
	1982	+	9 an entity that holds a permit issued pursuant to the Life Care
	1983	+	10 Facilities Act. Until July 1, 2022 and from beginning again on
	1984	+	11 July 1, 2023 through December 31, 2025, the tax shall also be
	1985	+	12 imposed at the rate of 1% on food for human consumption that is
	1986	+	13 to be consumed off the premises where it is sold (other than
	1987	+	14 alcoholic beverages, food consisting of or infused with adult
	1988	+	15 use cannabis, soft drinks, and food that has been prepared for
	1989	+	16 immediate consumption and is not otherwise included in this
	1990	+	17 paragraph).
	1991	+	18 Beginning on July 1, 2022 and until July 1, 2023, the tax
	1992	+	19 shall be imposed at the rate of 0% on food prepared for
	1993	+	20 immediate consumption and transferred incident to a sale of
	1994	+	21 service subject to this Act or the Service Occupation Tax Act
	1995	+	22 by an entity licensed under the Hospital Licensing Act, the
	1996	+	23 Nursing Home Care Act, the Assisted Living and Shared Housing
	1997	+	24 Act, the ID/DD Community Care Act, the MC/DD Act, the
	1998	+	25 Specialized Mental Health Rehabilitation Act of 2013, or the
	1999	+	26 Child Care Act of 1969, or an entity that holds a permit issued
	2000	+
	2001	+
	2002	+
	2003	+
	2004	+
	2005	+	HB3144 Enrolled - 56 - LRB103 26309 HLH 52670 b
	2006	+
	2007	+
	2008	+	HB3144 Enrolled- 57 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 57 - LRB103 26309 HLH 52670 b
	2009	+	HB3144 Enrolled - 57 - LRB103 26309 HLH 52670 b
	2010	+	1 pursuant to the Life Care Facilities Act. Beginning on July 1,
	2011	+	2 2022 and until July 1, 2023, the tax shall also be imposed at
	2012	+	3 the rate of 0% on food for human consumption that is to be
	2013	+	4 consumed off the premises where it is sold (other than
	2014	+	5 alcoholic beverages, food consisting of or infused with adult
	2015	+	6 use cannabis, soft drinks, and food that has been prepared for
	2016	+	7 immediate consumption and is not otherwise included in this
	2017	+	8 paragraph).
	2018	+	9 On an after January 1, 2026, food prepared for immediate
	2019	+	10 consumption and transferred incident to a sale of service
	2020	+	11 subject to this Act or the Service Occupation Tax Act by an
	2021	+	12 entity licensed under the Hospital Licensing Act, the Nursing
	2022	+	13 Home Care Act, the Assisted Living and Shared Housing Act, the
	2023	+	14 ID/DD Community Care Act, the MC/DD Act, the Specialized
	2024	+	15 Mental Health Rehabilitation Act of 2013, or the Child Care
	2025	+	16 Act of 1969, or by an entity that holds a permit issued
	2026	+	17 pursuant to the Life Care Facilities Act is exempt from the tax
	2027	+	18 under this Act. On and after January 1, 2026, food for human
	2028	+	19 consumption that is to be consumed off the premises where it is
	2029	+	20 sold (other than alcoholic beverages, food consisting of or
	2030	+	21 infused with adult use cannabis, soft drinks, candy, and food
	2031	+	22 that has been prepared for immediate consumption and is not
	2032	+	23 otherwise included in this paragraph) is exempt from the tax
	2033	+	24 under this Act.
	2034	+	25 The tax shall also be imposed at the rate of 1% on
	2035	+	26 prescription and nonprescription medicines, drugs, medical
	2036	+
	2037	+
	2038	+
	2039	+
	2040	+
	2041	+	HB3144 Enrolled - 57 - LRB103 26309 HLH 52670 b
	2042	+
	2043	+
	2044	+	HB3144 Enrolled- 58 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 58 - LRB103 26309 HLH 52670 b
	2045	+	HB3144 Enrolled - 58 - LRB103 26309 HLH 52670 b
	2046	+	1 appliances, products classified as Class III medical devices
	2047	+	2 by the United States Food and Drug Administration that are
	2048	+	3 used for cancer treatment pursuant to a prescription, as well
	2049	+	4 as any accessories and components related to those devices,
	2050	+	5 modifications to a motor vehicle for the purpose of rendering
	2051	+	6 it usable by a person with a disability, and insulin, blood
	2052	+	7 sugar testing materials, syringes, and needles used by human
	2053	+	8 diabetics. For the purposes of this Section, until September
	2054	+	9 1, 2009: the term "soft drinks" means any complete, finished,
	2055	+	10 ready-to-use, non-alcoholic drink, whether carbonated or not,
	2056	+	11 including, but not limited to, soda water, cola, fruit juice,
	2057	+	12 vegetable juice, carbonated water, and all other preparations
	2058	+	13 commonly known as soft drinks of whatever kind or description
	2059	+	14 that are contained in any closed or sealed bottle, can,
	2060	+	15 carton, or container, regardless of size; but "soft drinks"
	2061	+	16 does not include coffee, tea, non-carbonated water, infant
	2062	+	17 formula, milk or milk products as defined in the Grade A
	2063	+	18 Pasteurized Milk and Milk Products Act, or drinks containing
	2064	+	19 50% or more natural fruit or vegetable juice.
	2065	+	20 Notwithstanding any other provisions of this Act,
	2066	+	21 beginning September 1, 2009, "soft drinks" means non-alcoholic
	2067	+	22 beverages that contain natural or artificial sweeteners. "Soft
	2068	+	23 drinks" does not include beverages that contain milk or milk
	2069	+	24 products, soy, rice or similar milk substitutes, or greater
	2070	+	25 than 50% of vegetable or fruit juice by volume.
	2071	+	26 Until August 1, 2009, and notwithstanding any other
	2072	+
	2073	+
	2074	+
	2075	+
	2076	+
	2077	+	HB3144 Enrolled - 58 - LRB103 26309 HLH 52670 b
	2078	+
	2079	+
	2080	+	HB3144 Enrolled- 59 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 59 - LRB103 26309 HLH 52670 b
	2081	+	HB3144 Enrolled - 59 - LRB103 26309 HLH 52670 b
	2082	+	1 provisions of this Act, "food for human consumption that is to
	2083	+	2 be consumed off the premises where it is sold" includes all
	2084	+	3 food sold through a vending machine, except soft drinks and
	2085	+	4 food products that are dispensed hot from a vending machine,
	2086	+	5 regardless of the location of the vending machine. Beginning
	2087	+	6 August 1, 2009, and notwithstanding any other provisions of
	2088	+	7 this Act, "food for human consumption that is to be consumed
	2089	+	8 off the premises where it is sold" includes all food sold
	2090	+	9 through a vending machine, except soft drinks, candy, and food
	2091	+	10 products that are dispensed hot from a vending machine,
	2092	+	11 regardless of the location of the vending machine.
	2093	+	12 Notwithstanding any other provisions of this Act,
	2094	+	13 beginning September 1, 2009, "food for human consumption that
	2095	+	14 is to be consumed off the premises where it is sold" does not
	2096	+	15 include candy. For purposes of this Section, "candy" means a
	2097	+	16 preparation of sugar, honey, or other natural or artificial
	2098	+	17 sweeteners in combination with chocolate, fruits, nuts or
	2099	+	18 other ingredients or flavorings in the form of bars, drops, or
	2100	+	19 pieces. "Candy" does not include any preparation that contains
	2101	+	20 flour or requires refrigeration.
	2102	+	21 Notwithstanding any other provisions of this Act,
	2103	+	22 beginning September 1, 2009, "nonprescription medicines and
	2104	+	23 drugs" does not include grooming and hygiene products. For
	2105	+	24 purposes of this Section, "grooming and hygiene products"
	2106	+	25 includes, but is not limited to, soaps and cleaning solutions,
	2107	+	26 shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
	2108	+
	2109	+
	2110	+
	2111	+
	2112	+
	2113	+	HB3144 Enrolled - 59 - LRB103 26309 HLH 52670 b
	2114	+
	2115	+
	2116	+	HB3144 Enrolled- 60 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 60 - LRB103 26309 HLH 52670 b
	2117	+	HB3144 Enrolled - 60 - LRB103 26309 HLH 52670 b
	2118	+	1 lotions and screens, unless those products are available by
	2119	+	2 prescription only, regardless of whether the products meet the
	2120	+	3 definition of "over-the-counter-drugs". For the purposes of
	2121	+	4 this paragraph, "over-the-counter-drug" means a drug for human
	2122	+	5 use that contains a label that identifies the product as a drug
	2123	+	6 as required by 21 CFR 201.66. The "over-the-counter-drug"
	2124	+	7 label includes:
	2125	+	8 (A) a "Drug Facts" panel; or
	2126	+	9 (B) a statement of the "active ingredient(s)" with a
	2127	+	10 list of those ingredients contained in the compound,
	2128	+	11 substance or preparation.
	2129	+	12 Beginning on January 1, 2014 (the effective date of Public
	2130	+	13 Act 98-122), "prescription and nonprescription medicines and
	2131	+	14 drugs" includes medical cannabis purchased from a registered
	2132	+	15 dispensing organization under the Compassionate Use of Medical
	2133	+	16 Cannabis Program Act.
	2134	+	17 As used in this Section, "adult use cannabis" means
	2135	+	18 cannabis subject to tax under the Cannabis Cultivation
	2136	+	19 Privilege Tax Law and the Cannabis Purchaser Excise Tax Law
	2137	+	20 and does not include cannabis subject to tax under the
	2138	+	21 Compassionate Use of Medical Cannabis Program Act.
	2139	+	22 If the property that is acquired from a serviceman is
	2140	+	23 acquired outside Illinois and used outside Illinois before
	2141	+	24 being brought to Illinois for use here and is taxable under
	2142	+	25 this Act, the "selling price" on which the tax is computed
	2143	+	26 shall be reduced by an amount that represents a reasonable
	2144	+
	2145	+
	2146	+
	2147	+
	2148	+
	2149	+	HB3144 Enrolled - 60 - LRB103 26309 HLH 52670 b
	2150	+
	2151	+
	2152	+	HB3144 Enrolled- 61 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 61 - LRB103 26309 HLH 52670 b
	2153	+	HB3144 Enrolled - 61 - LRB103 26309 HLH 52670 b
	2154	+	1 allowance for depreciation for the period of prior
	2155	+	2 out-of-state use.
	2156	+	3 (Source: P.A. 102-4, eff. 4-27-21; 102-16, eff. 6-17-21;
	2157	+	4 102-700, Article 20, Section 20-10, eff. 4-19-22; 102-700,
	2158	+	5 Article 60, Section 60-20, eff. 4-19-22; 103-9, eff. 6-7-23;
	2159	+	6 103-154, eff. 6-30-23.)
	2160	+	7 Section 15. The Service Occupation Tax Act is amended by
	2161	+	8 changing Sections 3-5 and 3-10 as follows:
	2162	+	9 (35 ILCS 115/3-5)
	2163	+	10 Sec. 3-5. Exemptions. The following tangible personal
	2164	+	11 property is exempt from the tax imposed by this Act:
	2165	+	12 (1) Personal property sold by a corporation, society,
	2166	+	13 association, foundation, institution, or organization, other
	2167	+	14 than a limited liability company, that is organized and
	2168	+	15 operated as a not-for-profit service enterprise for the
	2169	+	16 benefit of persons 65 years of age or older if the personal
	2170	+	17 property was not purchased by the enterprise for the purpose
	2171	+	18 of resale by the enterprise.
	2172	+	19 (2) Personal property purchased by a not-for-profit
	2173	+	20 Illinois county fair association for use in conducting,
	2174	+	21 operating, or promoting the county fair.
	2175	+	22 (3) Personal property purchased by any not-for-profit arts
	2176	+	23 or cultural organization that establishes, by proof required
	2177	+	24 by the Department by rule, that it has received an exemption
	2178	+
	2179	+
	2180	+
	2181	+
	2182	+
	2183	+	HB3144 Enrolled - 61 - LRB103 26309 HLH 52670 b
	2184	+
	2185	+
	2186	+	HB3144 Enrolled- 62 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 62 - LRB103 26309 HLH 52670 b
	2187	+	HB3144 Enrolled - 62 - LRB103 26309 HLH 52670 b
	2188	+	1 under Section 501(c)(3) of the Internal Revenue Code and that
	2189	+	2 is organized and operated primarily for the presentation or
	2190	+	3 support of arts or cultural programming, activities, or
	2191	+	4 services. These organizations include, but are not limited to,
	2192	+	5 music and dramatic arts organizations such as symphony
	2193	+	6 orchestras and theatrical groups, arts and cultural service
	2194	+	7 organizations, local arts councils, visual arts organizations,
	2195	+	8 and media arts organizations. On and after July 1, 2001 (the
	2196	+	9 effective date of Public Act 92-35), however, an entity
	2197	+	10 otherwise eligible for this exemption shall not make tax-free
	2198	+	11 purchases unless it has an active identification number issued
	2199	+	12 by the Department.
	2200	+	13 (4) Legal tender, currency, medallions, or gold or silver
	2201	+	14 coinage issued by the State of Illinois, the government of the
	2202	+	15 United States of America, or the government of any foreign
	2203	+	16 country, and bullion.
	2204	+	17 (5) Until July 1, 2003 and beginning again on September 1,
	2205	+	18 2004 through August 30, 2014, graphic arts machinery and
	2206	+	19 equipment, including repair and replacement parts, both new
	2207	+	20 and used, and including that manufactured on special order or
	2208	+	21 purchased for lease, certified by the purchaser to be used
	2209	+	22 primarily for graphic arts production. Equipment includes
	2210	+	23 chemicals or chemicals acting as catalysts but only if the
	2211	+	24 chemicals or chemicals acting as catalysts effect a direct and
	2212	+	25 immediate change upon a graphic arts product. Beginning on
	2213	+	26 July 1, 2017, graphic arts machinery and equipment is included
	2214	+
	2215	+
	2216	+
	2217	+
	2218	+
	2219	+	HB3144 Enrolled - 62 - LRB103 26309 HLH 52670 b
	2220	+
	2221	+
	2222	+	HB3144 Enrolled- 63 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 63 - LRB103 26309 HLH 52670 b
	2223	+	HB3144 Enrolled - 63 - LRB103 26309 HLH 52670 b
	2224	+	1 in the manufacturing and assembling machinery and equipment
	2225	+	2 exemption under Section 2 of this Act.
	2226	+	3 (6) Personal property sold by a teacher-sponsored student
	2227	+	4 organization affiliated with an elementary or secondary school
	2228	+	5 located in Illinois.
	2229	+	6 (7) Farm machinery and equipment, both new and used,
	2230	+	7 including that manufactured on special order, certified by the
	2231	+	8 purchaser to be used primarily for production agriculture or
	2232	+	9 State or federal agricultural programs, including individual
	2233	+	10 replacement parts for the machinery and equipment, including
	2234	+	11 machinery and equipment purchased for lease, and including
	2235	+	12 implements of husbandry defined in Section 1-130 of the
	2236	+	13 Illinois Vehicle Code, farm machinery and agricultural
	2237	+	14 chemical and fertilizer spreaders, and nurse wagons required
	2238	+	15 to be registered under Section 3-809 of the Illinois Vehicle
	2239	+	16 Code, but excluding other motor vehicles required to be
	2240	+	17 registered under the Illinois Vehicle Code. Horticultural
	2241	+	18 polyhouses or hoop houses used for propagating, growing, or
	2242	+	19 overwintering plants shall be considered farm machinery and
	2243	+	20 equipment under this item (7). Agricultural chemical tender
	2244	+	21 tanks and dry boxes shall include units sold separately from a
	2245	+	22 motor vehicle required to be licensed and units sold mounted
	2246	+	23 on a motor vehicle required to be licensed if the selling price
	2247	+	24 of the tender is separately stated.
	2248	+	25 Farm machinery and equipment shall include precision
	2249	+	26 farming equipment that is installed or purchased to be
	2250	+
	2251	+
	2252	+
	2253	+
	2254	+
	2255	+	HB3144 Enrolled - 63 - LRB103 26309 HLH 52670 b
	2256	+
	2257	+
	2258	+	HB3144 Enrolled- 64 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 64 - LRB103 26309 HLH 52670 b
	2259	+	HB3144 Enrolled - 64 - LRB103 26309 HLH 52670 b
	2260	+	1 installed on farm machinery and equipment, including, but not
	2261	+	2 limited to, tractors, harvesters, sprayers, planters, seeders,
	2262	+	3 or spreaders. Precision farming equipment includes, but is not
	2263	+	4 limited to, soil testing sensors, computers, monitors,
	2264	+	5 software, global positioning and mapping systems, and other
	2265	+	6 such equipment.
	2266	+	7 Farm machinery and equipment also includes computers,
	2267	+	8 sensors, software, and related equipment used primarily in the
	2268	+	9 computer-assisted operation of production agriculture
	2269	+	10 facilities, equipment, and activities such as, but not limited
	2270	+	11 to, the collection, monitoring, and correlation of animal and
	2271	+	12 crop data for the purpose of formulating animal diets and
	2272	+	13 agricultural chemicals.
	2273	+	14 Beginning on January 1, 2024, farm machinery and equipment
	2274	+	15 also includes electrical power generation equipment used
	2275	+	16 primarily for production agriculture.
	2276	+	17 This item (7) is exempt from the provisions of Section
	2277	+	18 3-55.
	2278	+	19 (8) Until June 30, 2013, fuel and petroleum products sold
	2279	+	20 to or used by an air common carrier, certified by the carrier
	2280	+	21 to be used for consumption, shipment, or storage in the
	2281	+	22 conduct of its business as an air common carrier, for a flight
	2282	+	23 destined for or returning from a location or locations outside
	2283	+	24 the United States without regard to previous or subsequent
	2284	+	25 domestic stopovers.
	2285	+	26 Beginning July 1, 2013, fuel and petroleum products sold
	2286	+
	2287	+
	2288	+
	2289	+
	2290	+
	2291	+	HB3144 Enrolled - 64 - LRB103 26309 HLH 52670 b
	2292	+
	2293	+
	2294	+	HB3144 Enrolled- 65 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 65 - LRB103 26309 HLH 52670 b
	2295	+	HB3144 Enrolled - 65 - LRB103 26309 HLH 52670 b
	2296	+	1 to or used by an air carrier, certified by the carrier to be
	2297	+	2 used for consumption, shipment, or storage in the conduct of
	2298	+	3 its business as an air common carrier, for a flight that (i) is
	2299	+	4 engaged in foreign trade or is engaged in trade between the
	2300	+	5 United States and any of its possessions and (ii) transports
	2301	+	6 at least one individual or package for hire from the city of
	2302	+	7 origination to the city of final destination on the same
	2303	+	8 aircraft, without regard to a change in the flight number of
	2304	+	9 that aircraft.
	2305	+	10 (9) Proceeds of mandatory service charges separately
	2306	+	11 stated on customers' bills for the purchase and consumption of
	2307	+	12 food and beverages, to the extent that the proceeds of the
	2308	+	13 service charge are in fact turned over as tips or as a
	2309	+	14 substitute for tips to the employees who participate directly
	2310	+	15 in preparing, serving, hosting or cleaning up the food or
	2311	+	16 beverage function with respect to which the service charge is
	2312	+	17 imposed.
	2313	+	18 (10) Until July 1, 2003, oil field exploration, drilling,
	2314	+	19 and production equipment, including (i) rigs and parts of
	2315	+	20 rigs, rotary rigs, cable tool rigs, and workover rigs, (ii)
	2316	+	21 pipe and tubular goods, including casing and drill strings,
	2317	+	22 (iii) pumps and pump-jack units, (iv) storage tanks and flow
	2318	+	23 lines, (v) any individual replacement part for oil field
	2319	+	24 exploration, drilling, and production equipment, and (vi)
	2320	+	25 machinery and equipment purchased for lease; but excluding
	2321	+	26 motor vehicles required to be registered under the Illinois
	2322	+
	2323	+
	2324	+
	2325	+
	2326	+
	2327	+	HB3144 Enrolled - 65 - LRB103 26309 HLH 52670 b
	2328	+
	2329	+
	2330	+	HB3144 Enrolled- 66 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 66 - LRB103 26309 HLH 52670 b
	2331	+	HB3144 Enrolled - 66 - LRB103 26309 HLH 52670 b
	2332	+	1 Vehicle Code.
	2333	+	2 (11) Photoprocessing machinery and equipment, including
	2334	+	3 repair and replacement parts, both new and used, including
	2335	+	4 that manufactured on special order, certified by the purchaser
	2336	+	5 to be used primarily for photoprocessing, and including
	2337	+	6 photoprocessing machinery and equipment purchased for lease.
	2338	+	7 (12) Until July 1, 2028, coal and aggregate exploration,
	2339	+	8 mining, off-highway hauling, processing, maintenance, and
	2340	+	9 reclamation equipment, including replacement parts and
	2341	+	10 equipment, and including equipment purchased for lease, but
	2342	+	11 excluding motor vehicles required to be registered under the
	2343	+	12 Illinois Vehicle Code. The changes made to this Section by
	2344	+	13 Public Act 97-767 apply on and after July 1, 2003, but no claim
	2345	+	14 for credit or refund is allowed on or after August 16, 2013
	2346	+	15 (the effective date of Public Act 98-456) for such taxes paid
	2347	+	16 during the period beginning July 1, 2003 and ending on August
	2348	+	17 16, 2013 (the effective date of Public Act 98-456).
	2349	+	18 (13) Beginning January 1, 1992 and through June 30, 2016,
	2350	+	19 food for human consumption that is to be consumed off the
	2351	+	20 premises where it is sold (other than alcoholic beverages,
	2352	+	21 soft drinks and food that has been prepared for immediate
	2353	+	22 consumption) and prescription and non-prescription medicines,
	2354	+	23 drugs, medical appliances, and insulin, urine testing
	2355	+	24 materials, syringes, and needles used by diabetics, for human
	2356	+	25 use, when purchased for use by a person receiving medical
	2357	+	26 assistance under Article V of the Illinois Public Aid Code who
	2358	+
	2359	+
	2360	+
	2361	+
	2362	+
	2363	+	HB3144 Enrolled - 66 - LRB103 26309 HLH 52670 b
	2364	+
	2365	+
	2366	+	HB3144 Enrolled- 67 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 67 - LRB103 26309 HLH 52670 b
	2367	+	HB3144 Enrolled - 67 - LRB103 26309 HLH 52670 b
	2368	+	1 resides in a licensed long-term care facility, as defined in
	2369	+	2 the Nursing Home Care Act, or in a licensed facility as defined
	2370	+	3 in the ID/DD Community Care Act, the MC/DD Act, or the
	2371	+	4 Specialized Mental Health Rehabilitation Act of 2013.
	2372	+	5 (14) Semen used for artificial insemination of livestock
	2373	+	6 for direct agricultural production.
	2374	+	7 (15) Horses, or interests in horses, registered with and
	2375	+	8 meeting the requirements of any of the Arabian Horse Club
	2376	+	9 Registry of America, Appaloosa Horse Club, American Quarter
	2377	+	10 Horse Association, United States Trotting Association, or
	2378	+	11 Jockey Club, as appropriate, used for purposes of breeding or
	2379	+	12 racing for prizes. This item (15) is exempt from the
	2380	+	13 provisions of Section 3-55, and the exemption provided for
	2381	+	14 under this item (15) applies for all periods beginning May 30,
	2382	+	15 1995, but no claim for credit or refund is allowed on or after
	2383	+	16 January 1, 2008 (the effective date of Public Act 95-88) for
	2384	+	17 such taxes paid during the period beginning May 30, 2000 and
	2385	+	18 ending on January 1, 2008 (the effective date of Public Act
	2386	+	19 95-88).
	2387	+	20 (16) Computers and communications equipment utilized for
	2388	+	21 any hospital purpose and equipment used in the diagnosis,
	2389	+	22 analysis, or treatment of hospital patients sold to a lessor
	2390	+	23 who leases the equipment, under a lease of one year or longer
	2391	+	24 executed or in effect at the time of the purchase, to a
	2392	+	25 hospital that has been issued an active tax exemption
	2393	+	26 identification number by the Department under Section 1g of
	2394	+
	2395	+
	2396	+
	2397	+
	2398	+
	2399	+	HB3144 Enrolled - 67 - LRB103 26309 HLH 52670 b
	2400	+
	2401	+
	2402	+	HB3144 Enrolled- 68 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 68 - LRB103 26309 HLH 52670 b
	2403	+	HB3144 Enrolled - 68 - LRB103 26309 HLH 52670 b
	2404	+	1 the Retailers' Occupation Tax Act.
	2405	+	2 (17) Personal property sold to a lessor who leases the
	2406	+	3 property, under a lease of one year or longer executed or in
	2407	+	4 effect at the time of the purchase, to a governmental body that
	2408	+	5 has been issued an active tax exemption identification number
	2409	+	6 by the Department under Section 1g of the Retailers'
	2410	+	7 Occupation Tax Act.
	2411	+	8 (18) Beginning with taxable years ending on or after
	2412	+	9 December 31, 1995 and ending with taxable years ending on or
	2413	+	10 before December 31, 2004, personal property that is donated
	2414	+	11 for disaster relief to be used in a State or federally declared
	2415	+	12 disaster area in Illinois or bordering Illinois by a
	2416	+	13 manufacturer or retailer that is registered in this State to a
	2417	+	14 corporation, society, association, foundation, or institution
	2418	+	15 that has been issued a sales tax exemption identification
	2419	+	16 number by the Department that assists victims of the disaster
	2420	+	17 who reside within the declared disaster area.
	2421	+	18 (19) Beginning with taxable years ending on or after
	2422	+	19 December 31, 1995 and ending with taxable years ending on or
	2423	+	20 before December 31, 2004, personal property that is used in
	2424	+	21 the performance of infrastructure repairs in this State,
	2425	+	22 including, but not limited to, municipal roads and streets,
	2426	+	23 access roads, bridges, sidewalks, waste disposal systems,
	2427	+	24 water and sewer line extensions, water distribution and
	2428	+	25 purification facilities, storm water drainage and retention
	2429	+	26 facilities, and sewage treatment facilities, resulting from a
	2430	+
	2431	+
	2432	+
	2433	+
	2434	+
	2435	+	HB3144 Enrolled - 68 - LRB103 26309 HLH 52670 b
	2436	+
	2437	+
	2438	+	HB3144 Enrolled- 69 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 69 - LRB103 26309 HLH 52670 b
	2439	+	HB3144 Enrolled - 69 - LRB103 26309 HLH 52670 b
	2440	+	1 State or federally declared disaster in Illinois or bordering
	2441	+	2 Illinois when such repairs are initiated on facilities located
	2442	+	3 in the declared disaster area within 6 months after the
	2443	+	4 disaster.
	2444	+	5 (20) Beginning July 1, 1999, game or game birds sold at a
	2445	+	6 "game breeding and hunting preserve area" as that term is used
	2446	+	7 in the Wildlife Code. This paragraph is exempt from the
	2447	+	8 provisions of Section 3-55.
	2448	+	9 (21) A motor vehicle, as that term is defined in Section
	2449	+	10 1-146 of the Illinois Vehicle Code, that is donated to a
	2450	+	11 corporation, limited liability company, society, association,
	2451	+	12 foundation, or institution that is determined by the
	2452	+	13 Department to be organized and operated exclusively for
	2453	+	14 educational purposes. For purposes of this exemption, "a
	2454	+	15 corporation, limited liability company, society, association,
	2455	+	16 foundation, or institution organized and operated exclusively
	2456	+	17 for educational purposes" means all tax-supported public
	2457	+	18 schools, private schools that offer systematic instruction in
	2458	+	19 useful branches of learning by methods common to public
	2459	+	20 schools and that compare favorably in their scope and
	2460	+	21 intensity with the course of study presented in tax-supported
	2461	+	22 schools, and vocational or technical schools or institutes
	2462	+	23 organized and operated exclusively to provide a course of
	2463	+	24 study of not less than 6 weeks duration and designed to prepare
	2464	+	25 individuals to follow a trade or to pursue a manual,
	2465	+	26 technical, mechanical, industrial, business, or commercial
	2466	+
	2467	+
	2468	+
	2469	+
	2470	+
	2471	+	HB3144 Enrolled - 69 - LRB103 26309 HLH 52670 b
	2472	+
	2473	+
	2474	+	HB3144 Enrolled- 70 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 70 - LRB103 26309 HLH 52670 b
	2475	+	HB3144 Enrolled - 70 - LRB103 26309 HLH 52670 b
	2476	+	1 occupation.
	2477	+	2 (22) Beginning January 1, 2000, personal property,
	2478	+	3 including food, purchased through fundraising events for the
	2479	+	4 benefit of a public or private elementary or secondary school,
	2480	+	5 a group of those schools, or one or more school districts if
	2481	+	6 the events are sponsored by an entity recognized by the school
	2482	+	7 district that consists primarily of volunteers and includes
	2483	+	8 parents and teachers of the school children. This paragraph
	2484	+	9 does not apply to fundraising events (i) for the benefit of
	2485	+	10 private home instruction or (ii) for which the fundraising
	2486	+	11 entity purchases the personal property sold at the events from
	2487	+	12 another individual or entity that sold the property for the
	2488	+	13 purpose of resale by the fundraising entity and that profits
	2489	+	14 from the sale to the fundraising entity. This paragraph is
	2490	+	15 exempt from the provisions of Section 3-55.
	2491	+	16 (23) Beginning January 1, 2000 and through December 31,
	2492	+	17 2001, new or used automatic vending machines that prepare and
	2493	+	18 serve hot food and beverages, including coffee, soup, and
	2494	+	19 other items, and replacement parts for these machines.
	2495	+	20 Beginning January 1, 2002 and through June 30, 2003, machines
	2496	+	21 and parts for machines used in commercial, coin-operated
	2497	+	22 amusement and vending business if a use or occupation tax is
	2498	+	23 paid on the gross receipts derived from the use of the
	2499	+	24 commercial, coin-operated amusement and vending machines. This
	2500	+	25 paragraph is exempt from the provisions of Section 3-55.
	2501	+	26 (24) Beginning on August 2, 2001 (the effective date of
	2502	+
	2503	+
	2504	+
	2505	+
	2506	+
	2507	+	HB3144 Enrolled - 70 - LRB103 26309 HLH 52670 b
	2508	+
	2509	+
	2510	+	HB3144 Enrolled- 71 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 71 - LRB103 26309 HLH 52670 b
	2511	+	HB3144 Enrolled - 71 - LRB103 26309 HLH 52670 b
	2512	+	1 Public Act 92-227), computers and communications equipment
	2513	+	2 utilized for any hospital purpose and equipment used in the
	2514	+	3 diagnosis, analysis, or treatment of hospital patients sold to
	2515	+	4 a lessor who leases the equipment, under a lease of one year or
	2516	+	5 longer executed or in effect at the time of the purchase, to a
	2517	+	6 hospital that has been issued an active tax exemption
	2518	+	7 identification number by the Department under Section 1g of
	2519	+	8 the Retailers' Occupation Tax Act. This paragraph is exempt
	2520	+	9 from the provisions of Section 3-55.
	2521	+	10 (25) Beginning on August 2, 2001 (the effective date of
	2522	+	11 Public Act 92-227), personal property sold to a lessor who
	2523	+	12 leases the property, under a lease of one year or longer
	2524	+	13 executed or in effect at the time of the purchase, to a
	2525	+	14 governmental body that has been issued an active tax exemption
	2526	+	15 identification number by the Department under Section 1g of
	2527	+	16 the Retailers' Occupation Tax Act. This paragraph is exempt
	2528	+	17 from the provisions of Section 3-55.
	2529	+	18 (26) Beginning on January 1, 2002 and through June 30,
	2530	+	19 2016, tangible personal property purchased from an Illinois
	2531	+	20 retailer by a taxpayer engaged in centralized purchasing
	2532	+	21 activities in Illinois who will, upon receipt of the property
	2533	+	22 in Illinois, temporarily store the property in Illinois (i)
	2534	+	23 for the purpose of subsequently transporting it outside this
	2535	+	24 State for use or consumption thereafter solely outside this
	2536	+	25 State or (ii) for the purpose of being processed, fabricated,
	2537	+	26 or manufactured into, attached to, or incorporated into other
	2538	+
	2539	+
	2540	+
	2541	+
	2542	+
	2543	+	HB3144 Enrolled - 71 - LRB103 26309 HLH 52670 b
	2544	+
	2545	+
	2546	+	HB3144 Enrolled- 72 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 72 - LRB103 26309 HLH 52670 b
	2547	+	HB3144 Enrolled - 72 - LRB103 26309 HLH 52670 b
	2548	+	1 tangible personal property to be transported outside this
	2549	+	2 State and thereafter used or consumed solely outside this
	2550	+	3 State. The Director of Revenue shall, pursuant to rules
	2551	+	4 adopted in accordance with the Illinois Administrative
	2552	+	5 Procedure Act, issue a permit to any taxpayer in good standing
	2553	+	6 with the Department who is eligible for the exemption under
	2554	+	7 this paragraph (26). The permit issued under this paragraph
	2555	+	8 (26) shall authorize the holder, to the extent and in the
	2556	+	9 manner specified in the rules adopted under this Act, to
	2557	+	10 purchase tangible personal property from a retailer exempt
	2558	+	11 from the taxes imposed by this Act. Taxpayers shall maintain
	2559	+	12 all necessary books and records to substantiate the use and
	2560	+	13 consumption of all such tangible personal property outside of
	2561	+	14 the State of Illinois.
	2562	+	15 (27) Beginning January 1, 2008, tangible personal property
	2563	+	16 used in the construction or maintenance of a community water
	2564	+	17 supply, as defined under Section 3.145 of the Environmental
	2565	+	18 Protection Act, that is operated by a not-for-profit
	2566	+	19 corporation that holds a valid water supply permit issued
	2567	+	20 under Title IV of the Environmental Protection Act. This
	2568	+	21 paragraph is exempt from the provisions of Section 3-55.
	2569	+	22 (28) Tangible personal property sold to a
	2570	+	23 public-facilities corporation, as described in Section
	2571	+	24 11-65-10 of the Illinois Municipal Code, for purposes of
	2572	+	25 constructing or furnishing a municipal convention hall, but
	2573	+	26 only if the legal title to the municipal convention hall is
	2574	+
	2575	+
	2576	+
	2577	+
	2578	+
	2579	+	HB3144 Enrolled - 72 - LRB103 26309 HLH 52670 b
	2580	+
	2581	+
	2582	+	HB3144 Enrolled- 73 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 73 - LRB103 26309 HLH 52670 b
	2583	+	HB3144 Enrolled - 73 - LRB103 26309 HLH 52670 b
	2584	+	1 transferred to the municipality without any further
	2585	+	2 consideration by or on behalf of the municipality at the time
	2586	+	3 of the completion of the municipal convention hall or upon the
	2587	+	4 retirement or redemption of any bonds or other debt
	2588	+	5 instruments issued by the public-facilities corporation in
	2589	+	6 connection with the development of the municipal convention
	2590	+	7 hall. This exemption includes existing public-facilities
	2591	+	8 corporations as provided in Section 11-65-25 of the Illinois
	2592	+	9 Municipal Code. This paragraph is exempt from the provisions
	2593	+	10 of Section 3-55.
	2594	+	11 (29) Beginning January 1, 2010 and continuing through
	2595	+	12 December 31, 2029, materials, parts, equipment, components,
	2596	+	13 and furnishings incorporated into or upon an aircraft as part
	2597	+	14 of the modification, refurbishment, completion, replacement,
	2598	+	15 repair, or maintenance of the aircraft. This exemption
	2599	+	16 includes consumable supplies used in the modification,
	2600	+	17 refurbishment, completion, replacement, repair, and
	2601	+	18 maintenance of aircraft. However, until January 1, 2024, this
	2602	+	19 exemption excludes any materials, parts, equipment,
	2603	+	20 components, and consumable supplies used in the modification,
	2604	+	21 replacement, repair, and maintenance of aircraft engines or
	2605	+	22 power plants, whether such engines or power plants are
	2606	+	23 installed or uninstalled upon any such aircraft. "Consumable
	2607	+	24 supplies" include, but are not limited to, adhesive, tape,
	2608	+	25 sandpaper, general purpose lubricants, cleaning solution,
	2609	+	26 latex gloves, and protective films.
	2610	+
	2611	+
	2612	+
	2613	+
	2614	+
	2615	+	HB3144 Enrolled - 73 - LRB103 26309 HLH 52670 b
	2616	+
	2617	+
	2618	+	HB3144 Enrolled- 74 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 74 - LRB103 26309 HLH 52670 b
	2619	+	HB3144 Enrolled - 74 - LRB103 26309 HLH 52670 b
	2620	+	1 Beginning January 1, 2010 and continuing through December
	2621	+	2 31, 2023, this exemption applies only to the transfer of
	2622	+	3 qualifying tangible personal property incident to the
	2623	+	4 modification, refurbishment, completion, replacement, repair,
	2624	+	5 or maintenance of an aircraft by persons who (i) hold an Air
	2625	+	6 Agency Certificate and are empowered to operate an approved
	2626	+	7 repair station by the Federal Aviation Administration, (ii)
	2627	+	8 have a Class IV Rating, and (iii) conduct operations in
	2628	+	9 accordance with Part 145 of the Federal Aviation Regulations.
	2629	+	10 The exemption does not include aircraft operated by a
	2630	+	11 commercial air carrier providing scheduled passenger air
	2631	+	12 service pursuant to authority issued under Part 121 or Part
	2632	+	13 129 of the Federal Aviation Regulations. From January 1, 2024
	2633	+	14 through December 31, 2029, this exemption applies only to the
	2634	+	15 use of qualifying tangible personal property by: (A) persons
	2635	+	16 who modify, refurbish, complete, repair, replace, or maintain
	2636	+	17 aircraft and who (i) hold an Air Agency Certificate and are
	2637	+	18 empowered to operate an approved repair station by the Federal
	2638	+	19 Aviation Administration, (ii) have a Class IV Rating, and
	2639	+	20 (iii) conduct operations in accordance with Part 145 of the
	2640	+	21 Federal Aviation Regulations; and (B) persons who engage in
	2641	+	22 the modification, replacement, repair, and maintenance of
	2642	+	23 aircraft engines or power plants without regard to whether or
	2643	+	24 not those persons meet the qualifications of item (A).
	2644	+	25 The changes made to this paragraph (29) by Public Act
	2645	+	26 98-534 are declarative of existing law. It is the intent of the
	2646	+
	2647	+
	2648	+
	2649	+
	2650	+
	2651	+	HB3144 Enrolled - 74 - LRB103 26309 HLH 52670 b
	2652	+
	2653	+
	2654	+	HB3144 Enrolled- 75 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 75 - LRB103 26309 HLH 52670 b
	2655	+	HB3144 Enrolled - 75 - LRB103 26309 HLH 52670 b
	2656	+	1 General Assembly that the exemption under this paragraph (29)
	2657	+	2 applies continuously from January 1, 2010 through December 31,
	2658	+	3 2024; however, no claim for credit or refund is allowed for
	2659	+	4 taxes paid as a result of the disallowance of this exemption on
	2660	+	5 or after January 1, 2015 and prior to February 5, 2020 (the
	2661	+	6 effective date of Public Act 101-629).
	2662	+	7 (30) Beginning January 1, 2017 and through December 31,
	2663	+	8 2026, menstrual pads, tampons, and menstrual cups.
	2664	+	9 (31) Tangible personal property transferred to a purchaser
	2665	+	10 who is exempt from tax by operation of federal law. This
	2666	+	11 paragraph is exempt from the provisions of Section 3-55.
	2667	+	12 (32) Qualified tangible personal property used in the
	2668	+	13 construction or operation of a data center that has been
	2669	+	14 granted a certificate of exemption by the Department of
	2670	+	15 Commerce and Economic Opportunity, whether that tangible
	2671	+	16 personal property is purchased by the owner, operator, or
	2672	+	17 tenant of the data center or by a contractor or subcontractor
	2673	+	18 of the owner, operator, or tenant. Data centers that would
	2674	+	19 have qualified for a certificate of exemption prior to January
	2675	+	20 1, 2020 had Public Act 101-31 been in effect, may apply for and
	2676	+	21 obtain an exemption for subsequent purchases of computer
	2677	+	22 equipment or enabling software purchased or leased to upgrade,
	2678	+	23 supplement, or replace computer equipment or enabling software
	2679	+	24 purchased or leased in the original investment that would have
	2680	+	25 qualified.
	2681	+	26 The Department of Commerce and Economic Opportunity shall
	2682	+
	2683	+
	2684	+
	2685	+
	2686	+
	2687	+	HB3144 Enrolled - 75 - LRB103 26309 HLH 52670 b
	2688	+
	2689	+
	2690	+	HB3144 Enrolled- 76 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 76 - LRB103 26309 HLH 52670 b
	2691	+	HB3144 Enrolled - 76 - LRB103 26309 HLH 52670 b
	2692	+	1 grant a certificate of exemption under this item (32) to
	2693	+	2 qualified data centers as defined by Section 605-1025 of the
	2694	+	3 Department of Commerce and Economic Opportunity Law of the
	2695	+	4 Civil Administrative Code of Illinois.
	2696	+	5 For the purposes of this item (32):
	2697	+	6 "Data center" means a building or a series of
	2698	+	7 buildings rehabilitated or constructed to house working
	2699	+	8 servers in one physical location or multiple sites within
	2700	+	9 the State of Illinois.
	2701	+	10 "Qualified tangible personal property" means:
	2702	+	11 electrical systems and equipment; climate control and
	2703	+	12 chilling equipment and systems; mechanical systems and
	2704	+	13 equipment; monitoring and secure systems; emergency
	2705	+	14 generators; hardware; computers; servers; data storage
	2706	+	15 devices; network connectivity equipment; racks; cabinets;
	2707	+	16 telecommunications cabling infrastructure; raised floor
	2708	+	17 systems; peripheral components or systems; software;
	2709	+	18 mechanical, electrical, or plumbing systems; battery
	2710	+	19 systems; cooling systems and towers; temperature control
	2711	+	20 systems; other cabling; and other data center
	2712	+	21 infrastructure equipment and systems necessary to operate
	2713	+	22 qualified tangible personal property, including fixtures;
	2714	+	23 and component parts of any of the foregoing, including
	2715	+	24 installation, maintenance, repair, refurbishment, and
	2716	+	25 replacement of qualified tangible personal property to
	2717	+	26 generate, transform, transmit, distribute, or manage
	2718	+
	2719	+
	2720	+
	2721	+
	2722	+
	2723	+	HB3144 Enrolled - 76 - LRB103 26309 HLH 52670 b
	2724	+
	2725	+
	2726	+	HB3144 Enrolled- 77 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 77 - LRB103 26309 HLH 52670 b
	2727	+	HB3144 Enrolled - 77 - LRB103 26309 HLH 52670 b
	2728	+	1 electricity necessary to operate qualified tangible
	2729	+	2 personal property; and all other tangible personal
	2730	+	3 property that is essential to the operations of a computer
	2731	+	4 data center. The term "qualified tangible personal
	2732	+	5 property" also includes building materials physically
	2733	+	6 incorporated into in to the qualifying data center. To
	2734	+	7 document the exemption allowed under this Section, the
	2735	+	8 retailer must obtain from the purchaser a copy of the
	2736	+	9 certificate of eligibility issued by the Department of
	2737	+	10 Commerce and Economic Opportunity.
	2738	+	11 This item (32) is exempt from the provisions of Section
	2739	+	12 3-55.
	2740	+	13 (33) Beginning July 1, 2022, breast pumps, breast pump
	2741	+	14 collection and storage supplies, and breast pump kits. This
	2742	+	15 item (33) is exempt from the provisions of Section 3-55. As
	2743	+	16 used in this item (33):
	2744	+	17 "Breast pump" means an electrically controlled or
	2745	+	18 manually controlled pump device designed or marketed to be
	2746	+	19 used to express milk from a human breast during lactation,
	2747	+	20 including the pump device and any battery, AC adapter, or
	2748	+	21 other power supply unit that is used to power the pump
	2749	+	22 device and is packaged and sold with the pump device at the
	2750	+	23 time of sale.
	2751	+	24 "Breast pump collection and storage supplies" means
	2752	+	25 items of tangible personal property designed or marketed
	2753	+	26 to be used in conjunction with a breast pump to collect
	2754	+
	2755	+
	2756	+
	2757	+
	2758	+
	2759	+	HB3144 Enrolled - 77 - LRB103 26309 HLH 52670 b
	2760	+
	2761	+
	2762	+	HB3144 Enrolled- 78 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 78 - LRB103 26309 HLH 52670 b
	2763	+	HB3144 Enrolled - 78 - LRB103 26309 HLH 52670 b
	2764	+	1 milk expressed from a human breast and to store collected
	2765	+	2 milk until it is ready for consumption.
	2766	+	3 "Breast pump collection and storage supplies"
	2767	+	4 includes, but is not limited to: breast shields and breast
	2768	+	5 shield connectors; breast pump tubes and tubing adapters;
	2769	+	6 breast pump valves and membranes; backflow protectors and
	2770	+	7 backflow protector adaptors; bottles and bottle caps
	2771	+	8 specific to the operation of the breast pump; and breast
	2772	+	9 milk storage bags.
	2773	+	10 "Breast pump collection and storage supplies" does not
	2774	+	11 include: (1) bottles and bottle caps not specific to the
	2775	+	12 operation of the breast pump; (2) breast pump travel bags
	2776	+	13 and other similar carrying accessories, including ice
	2777	+	14 packs, labels, and other similar products; (3) breast pump
	2778	+	15 cleaning supplies; (4) nursing bras, bra pads, breast
	2779	+	16 shells, and other similar products; and (5) creams,
	2780	+	17 ointments, and other similar products that relieve
	2781	+	18 breastfeeding-related symptoms or conditions of the
	2782	+	19 breasts or nipples, unless sold as part of a breast pump
	2783	+	20 kit that is pre-packaged by the breast pump manufacturer
	2784	+	21 or distributor.
	2785	+	22 "Breast pump kit" means a kit that: (1) contains no
	2786	+	23 more than a breast pump, breast pump collection and
	2787	+	24 storage supplies, a rechargeable battery for operating the
	2788	+	25 breast pump, a breastmilk cooler, bottle stands, ice
	2789	+	26 packs, and a breast pump carrying case; and (2) is
	2790	+
	2791	+
	2792	+
	2793	+
	2794	+
	2795	+	HB3144 Enrolled - 78 - LRB103 26309 HLH 52670 b
	2796	+
	2797	+
	2798	+	HB3144 Enrolled- 79 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 79 - LRB103 26309 HLH 52670 b
	2799	+	HB3144 Enrolled - 79 - LRB103 26309 HLH 52670 b
	2800	+	1 pre-packaged as a breast pump kit by the breast pump
	2801	+	2 manufacturer or distributor.
	2802	+	3 (34) Tangible personal property sold by or on behalf of
	2803	+	4 the State Treasurer pursuant to the Revised Uniform Unclaimed
	2804	+	5 Property Act. This item (34) is exempt from the provisions of
	2805	+	6 Section 3-55.
	2806	+	7 (35) Beginning on January 1, 2024, tangible personal
	2807	+	8 property purchased by an active duty member of the armed
	2808	+	9 forces of the United States who presents valid military
	2809	+	10 identification and purchases the property using a form of
	2810	+	11 payment where the federal government is the payor. The member
	2811	+	12 of the armed forces must complete, at the point of sale, a form
	2812	+	13 prescribed by the Department of Revenue documenting that the
	2813	+	14 transaction is eligible for the exemption under this
	2814	+	15 paragraph. Retailers must keep the form as documentation of
	2815	+	16 the exemption in their records for a period of not less than 6
	2816	+	17 years. "Armed forces of the United States" means the United
	2817	+	18 States Army, Navy, Air Force, Marine Corps, or Coast Guard.
	2818	+	19 This paragraph is exempt from the provisions of Section 3-55.
	2819	+	20 (36) Beginning on January 1, 2026, as further defined in
	2820	+	21 Section 3-10, food prepared for immediate consumption and
	2821	+	22 transferred incident to a sale of service subject to this Act
	2822	+	23 or the Service Use Tax Act by an entity licensed under the
	2823	+	24 Hospital Licensing Act, the Nursing Home Care Act, the
	2824	+	25 Assisted Living and Shared Housing Act, the ID/DD Community
	2825	+	26 Care Act, the MC/DD Act, the Specialized Mental Health
	2826	+
	2827	+
	2828	+
	2829	+
	2830	+
	2831	+	HB3144 Enrolled - 79 - LRB103 26309 HLH 52670 b
	2832	+
	2833	+
	2834	+	HB3144 Enrolled- 80 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 80 - LRB103 26309 HLH 52670 b
	2835	+	HB3144 Enrolled - 80 - LRB103 26309 HLH 52670 b
	2836	+	1 Rehabilitation Act of 2013, or the Child Care Act of 1969 or by
	2837	+	2 an entity that holds a permit issued pursuant to the Life Care
	2838	+	3 Facilities Act. This item (36) is exempt from the provisions
	2839	+	4 of Section 3-55.
	2840	+	5 (37) Beginning on January 1, 2026, as further defined in
	2841	+	6 Section 3-10, food for human consumption that is to be
	2842	+	7 consumed off the premises where it is sold (other than
	2843	+	8 alcoholic beverages, food consisting of or infused with adult
	2844	+	9 use cannabis, soft drinks, candy, and food that has been
	2845	+	10 prepared for immediate consumption). This item (37) is exempt
	2846	+	11 from the provisions of Section 3-55.
	2847	+	12 (Source: P.A. 102-16, eff. 6-17-21; 102-700, Article 70,
	2848	+	13 Section 70-15, eff. 4-19-22; 102-700, Article 75, Section
	2849	+	14 75-15, eff. 4-19-22; 102-1026, eff. 5-27-22; 103-9, Article 5,
	2850	+	15 Section 5-15, eff. 6-7-23; 103-9, Article 15, Section 15-15,
	2851	+	16 eff. 6-7-23; 103-154, eff. 6-30-23; 103-384, eff. 1-1-24;
	2852	+	17 revised 12-12-23.)
	2853	+	18 (35 ILCS 115/3-10) (from Ch. 120, par. 439.103-10)
	2854	+	19 Sec. 3-10. Rate of tax. Unless otherwise provided in this
	2855	+	20 Section, the tax imposed by this Act is at the rate of 6.25% of
	2856	+	21 the "selling price", as defined in Section 2 of the Service Use
	2857	+	22 Tax Act, of the tangible personal property. For the purpose of
	2858	+	23 computing this tax, in no event shall the "selling price" be
	2859	+	24 less than the cost price to the serviceman of the tangible
	2860	+	25 personal property transferred. The selling price of each item
	2861	+
	2862	+
	2863	+
	2864	+
	2865	+
	2866	+	HB3144 Enrolled - 80 - LRB103 26309 HLH 52670 b
	2867	+
	2868	+
	2869	+	HB3144 Enrolled- 81 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 81 - LRB103 26309 HLH 52670 b
	2870	+	HB3144 Enrolled - 81 - LRB103 26309 HLH 52670 b
	2871	+	1 of tangible personal property transferred as an incident of a
	2872	+	2 sale of service may be shown as a distinct and separate item on
	2873	+	3 the serviceman's billing to the service customer. If the
	2874	+	4 selling price is not so shown, the selling price of the
	2875	+	5 tangible personal property is deemed to be 50% of the
	2876	+	6 serviceman's entire billing to the service customer. When,
	2877	+	7 however, a serviceman contracts to design, develop, and
	2878	+	8 produce special order machinery or equipment, the tax imposed
	2879	+	9 by this Act shall be based on the serviceman's cost price of
	2880	+	10 the tangible personal property transferred incident to the
	2881	+	11 completion of the contract.
	2882	+	12 Beginning on July 1, 2000 and through December 31, 2000,
	2883	+	13 with respect to motor fuel, as defined in Section 1.1 of the
	2884	+	14 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
	2885	+	15 the Use Tax Act, the tax is imposed at the rate of 1.25%.
	2886	+	16 With respect to gasohol, as defined in the Use Tax Act, the
	2887	+	17 tax imposed by this Act shall apply to (i) 70% of the cost
	2888	+	18 price of property transferred as an incident to the sale of
	2889	+	19 service on or after January 1, 1990, and before July 1, 2003,
	2890	+	20 (ii) 80% of the selling price of property transferred as an
	2891	+	21 incident to the sale of service on or after July 1, 2003 and on
	2892	+	22 or before July 1, 2017, (iii) 100% of the selling price of
	2893	+	23 property transferred as an incident to the sale of service
	2894	+	24 after July 1, 2017 and prior to January 1, 2024, (iv) 90% of
	2895	+	25 the selling price of property transferred as an incident to
	2896	+	26 the sale of service on or after January 1, 2024 and on or
	2897	+
	2898	+
	2899	+
	2900	+
	2901	+
	2902	+	HB3144 Enrolled - 81 - LRB103 26309 HLH 52670 b
	2903	+
	2904	+
	2905	+	HB3144 Enrolled- 82 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 82 - LRB103 26309 HLH 52670 b
	2906	+	HB3144 Enrolled - 82 - LRB103 26309 HLH 52670 b
	2907	+	1 before December 31, 2028, and (v) 100% of the selling price of
	2908	+	2 property transferred as an incident to the sale of service
	2909	+	3 after December 31, 2028. If, at any time, however, the tax
	2910	+	4 under this Act on sales of gasohol, as defined in the Use Tax
	2911	+	5 Act, is imposed at the rate of 1.25%, then the tax imposed by
	2912	+	6 this Act applies to 100% of the proceeds of sales of gasohol
	2913	+	7 made during that time.
	2914	+	8 With respect to mid-range ethanol blends, as defined in
	2915	+	9 Section 3-44.3 of the Use Tax Act, the tax imposed by this Act
	2916	+	10 applies to (i) 80% of the selling price of property
	2917	+	11 transferred as an incident to the sale of service on or after
	2918	+	12 January 1, 2024 and on or before December 31, 2028 and (ii)
	2919	+	13 100% of the selling price of property transferred as an
	2920	+	14 incident to the sale of service after December 31, 2028. If, at
	2921	+	15 any time, however, the tax under this Act on sales of mid-range
	2922	+	16 ethanol blends is imposed at the rate of 1.25%, then the tax
	2923	+	17 imposed by this Act applies to 100% of the selling price of
	2924	+	18 mid-range ethanol blends transferred as an incident to the
	2925	+	19 sale of service during that time.
	2926	+	20 With respect to majority blended ethanol fuel, as defined
	2927	+	21 in the Use Tax Act, the tax imposed by this Act does not apply
	2928	+	22 to the selling price of property transferred as an incident to
	2929	+	23 the sale of service on or after July 1, 2003 and on or before
	2930	+	24 December 31, 2028 but applies to 100% of the selling price
	2931	+	25 thereafter.
	2932	+	26 With respect to biodiesel blends, as defined in the Use
	2933	+
	2934	+
	2935	+
	2936	+
	2937	+
	2938	+	HB3144 Enrolled - 82 - LRB103 26309 HLH 52670 b
	2939	+
	2940	+
	2941	+	HB3144 Enrolled- 83 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 83 - LRB103 26309 HLH 52670 b
	2942	+	HB3144 Enrolled - 83 - LRB103 26309 HLH 52670 b
	2943	+	1 Tax Act, with no less than 1% and no more than 10% biodiesel,
	2944	+	2 the tax imposed by this Act applies to (i) 80% of the selling
	2945	+	3 price of property transferred as an incident to the sale of
	2946	+	4 service on or after July 1, 2003 and on or before December 31,
	2947	+	5 2018 and (ii) 100% of the proceeds of the selling price after
	2948	+	6 December 31, 2018 and before January 1, 2024. On and after
	2949	+	7 January 1, 2024 and on or before December 31, 2030, the
	2950	+	8 taxation of biodiesel, renewable diesel, and biodiesel blends
	2951	+	9 shall be as provided in Section 3-5.1 of the Use Tax Act. If,
	2952	+	10 at any time, however, the tax under this Act on sales of
	2953	+	11 biodiesel blends, as defined in the Use Tax Act, with no less
	2954	+	12 than 1% and no more than 10% biodiesel is imposed at the rate
	2955	+	13 of 1.25%, then the tax imposed by this Act applies to 100% of
	2956	+	14 the proceeds of sales of biodiesel blends with no less than 1%
	2957	+	15 and no more than 10% biodiesel made during that time.
	2958	+	16 With respect to biodiesel, as defined in the Use Tax Act,
	2959	+	17 and biodiesel blends, as defined in the Use Tax Act, with more
	2960	+	18 than 10% but no more than 99% biodiesel material, the tax
	2961	+	19 imposed by this Act does not apply to the proceeds of the
	2962	+	20 selling price of property transferred as an incident to the
	2963	+	21 sale of service on or after July 1, 2003 and on or before
	2964	+	22 December 31, 2023. On and after January 1, 2024 and on or
	2965	+	23 before December 31, 2030, the taxation of biodiesel, renewable
	2966	+	24 diesel, and biodiesel blends shall be as provided in Section
	2967	+	25 3-5.1 of the Use Tax Act.
	2968	+	26 At the election of any registered serviceman made for each
	2969	+
	2970	+
	2971	+
	2972	+
	2973	+
	2974	+	HB3144 Enrolled - 83 - LRB103 26309 HLH 52670 b
	2975	+
	2976	+
	2977	+	HB3144 Enrolled- 84 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 84 - LRB103 26309 HLH 52670 b
	2978	+	HB3144 Enrolled - 84 - LRB103 26309 HLH 52670 b
	2979	+	1 fiscal year, sales of service in which the aggregate annual
	2980	+	2 cost price of tangible personal property transferred as an
	2981	+	3 incident to the sales of service is less than 35%, or 75% in
	2982	+	4 the case of servicemen transferring prescription drugs or
	2983	+	5 servicemen engaged in graphic arts production, of the
	2984	+	6 aggregate annual total gross receipts from all sales of
	2985	+	7 service, the tax imposed by this Act shall be based on the
	2986	+	8 serviceman's cost price of the tangible personal property
	2987	+	9 transferred incident to the sale of those services.
	2988	+	10 Until July 1, 2022 and from beginning again on July 1, 2023
	2989	+	11 through December 31, 2025, the tax shall be imposed at the rate
	2990	+	12 of 1% on food prepared for immediate consumption and
	2991	+	13 transferred incident to a sale of service subject to this Act
	2992	+	14 or the Service Use Tax Act by an entity licensed under the
	2993	+	15 Hospital Licensing Act, the Nursing Home Care Act, the
	2994	+	16 Assisted Living and Shared Housing Act, the ID/DD Community
	2995	+	17 Care Act, the MC/DD Act, the Specialized Mental Health
	2996	+	18 Rehabilitation Act of 2013, or the Child Care Act of 1969, or
	2997	+	19 an entity that holds a permit issued pursuant to the Life Care
	2998	+	20 Facilities Act. Until July 1, 2022 and from beginning again on
	2999	+	21 July 1, 2023 through December 31, 2025, the tax shall also be
	3000	+	22 imposed at the rate of 1% on food for human consumption that is
	3001	+	23 to be consumed off the premises where it is sold (other than
	3002	+	24 alcoholic beverages, food consisting of or infused with adult
	3003	+	25 use cannabis, soft drinks, and food that has been prepared for
	3004	+	26 immediate consumption and is not otherwise included in this
	3005	+
	3006	+
	3007	+
	3008	+
	3009	+
	3010	+	HB3144 Enrolled - 84 - LRB103 26309 HLH 52670 b
	3011	+
	3012	+
	3013	+	HB3144 Enrolled- 85 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 85 - LRB103 26309 HLH 52670 b
	3014	+	HB3144 Enrolled - 85 - LRB103 26309 HLH 52670 b
	3015	+	1 paragraph).
	3016	+	2 Beginning on July 1, 2022 and until July 1, 2023, the tax
	3017	+	3 shall be imposed at the rate of 0% on food prepared for
	3018	+	4 immediate consumption and transferred incident to a sale of
	3019	+	5 service subject to this Act or the Service Use Tax Act by an
	3020	+	6 entity licensed under the Hospital Licensing Act, the Nursing
	3021	+	7 Home Care Act, the Assisted Living and Shared Housing Act, the
	3022	+	8 ID/DD Community Care Act, the MC/DD Act, the Specialized
	3023	+	9 Mental Health Rehabilitation Act of 2013, or the Child Care
	3024	+	10 Act of 1969, or an entity that holds a permit issued pursuant
	3025	+	11 to the Life Care Facilities Act. Beginning July 1, 2022 and
	3026	+	12 until July 1, 2023, the tax shall also be imposed at the rate
	3027	+	13 of 0% on food for human consumption that is to be consumed off
	3028	+	14 the premises where it is sold (other than alcoholic beverages,
	3029	+	15 food consisting of or infused with adult use cannabis, soft
	3030	+	16 drinks, and food that has been prepared for immediate
	3031	+	17 consumption and is not otherwise included in this paragraph).
	3032	+	18 On and after January 1, 2026, food prepared for immediate
	3033	+	19 consumption and transferred incident to a sale of service
	3034	+	20 subject to this Act or the Service Use Tax Act by an entity
	3035	+	21 licensed under the Hospital Licensing Act, the Nursing Home
	3036	+	22 Care Act, the Assisted Living and Shared Housing Act, the
	3037	+	23 ID/DD Community Care Act, the MC/DD Act, the Specialized
	3038	+	24 Mental Health Rehabilitation Act of 2013, or the Child Care
	3039	+	25 Act of 1969, or an entity that holds a permit issued pursuant
	3040	+	26 to the Life Care Facilities Act is exempt from the tax imposed
	3041	+
	3042	+
	3043	+
	3044	+
	3045	+
	3046	+	HB3144 Enrolled - 85 - LRB103 26309 HLH 52670 b
	3047	+
	3048	+
	3049	+	HB3144 Enrolled- 86 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 86 - LRB103 26309 HLH 52670 b
	3050	+	HB3144 Enrolled - 86 - LRB103 26309 HLH 52670 b
	3051	+	1 by this Act. On and after January 1, 2026, food for human
	3052	+	2 consumption that is to be consumed off the premises where it is
	3053	+	3 sold (other than alcoholic beverages, food consisting of or
	3054	+	4 infused with adult use cannabis, soft drinks, candy, and food
	3055	+	5 that has been prepared for immediate consumption and is not
	3056	+	6 otherwise included in this paragraph) is exempt from the tax
	3057	+	7 imposed by this Act.
	3058	+	8 The tax shall also be imposed at the rate of 1% on
	3059	+	9 prescription and nonprescription medicines, drugs, medical
	3060	+	10 appliances, products classified as Class III medical devices
	3061	+	11 by the United States Food and Drug Administration that are
	3062	+	12 used for cancer treatment pursuant to a prescription, as well
	3063	+	13 as any accessories and components related to those devices,
	3064	+	14 modifications to a motor vehicle for the purpose of rendering
	3065	+	15 it usable by a person with a disability, and insulin, blood
	3066	+	16 sugar testing materials, syringes, and needles used by human
	3067	+	17 diabetics. For the purposes of this Section, until September
	3068	+	18 1, 2009: the term "soft drinks" means any complete, finished,
	3069	+	19 ready-to-use, non-alcoholic drink, whether carbonated or not,
	3070	+	20 including, but not limited to, soda water, cola, fruit juice,
	3071	+	21 vegetable juice, carbonated water, and all other preparations
	3072	+	22 commonly known as soft drinks of whatever kind or description
	3073	+	23 that are contained in any closed or sealed can, carton, or
	3074	+	24 container, regardless of size; but "soft drinks" does not
	3075	+	25 include coffee, tea, non-carbonated water, infant formula,
	3076	+	26 milk or milk products as defined in the Grade A Pasteurized
	3077	+
	3078	+
	3079	+
	3080	+
	3081	+
	3082	+	HB3144 Enrolled - 86 - LRB103 26309 HLH 52670 b
	3083	+
	3084	+
	3085	+	HB3144 Enrolled- 87 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 87 - LRB103 26309 HLH 52670 b
	3086	+	HB3144 Enrolled - 87 - LRB103 26309 HLH 52670 b
	3087	+	1 Milk and Milk Products Act, or drinks containing 50% or more
	3088	+	2 natural fruit or vegetable juice.
	3089	+	3 Notwithstanding any other provisions of this Act,
	3090	+	4 beginning September 1, 2009, "soft drinks" means non-alcoholic
	3091	+	5 beverages that contain natural or artificial sweeteners. "Soft
	3092	+	6 drinks" does not include beverages that contain milk or milk
	3093	+	7 products, soy, rice or similar milk substitutes, or greater
	3094	+	8 than 50% of vegetable or fruit juice by volume.
	3095	+	9 Until August 1, 2009, and notwithstanding any other
	3096	+	10 provisions of this Act, "food for human consumption that is to
	3097	+	11 be consumed off the premises where it is sold" includes all
	3098	+	12 food sold through a vending machine, except soft drinks and
	3099	+	13 food products that are dispensed hot from a vending machine,
	3100	+	14 regardless of the location of the vending machine. Beginning
	3101	+	15 August 1, 2009, and notwithstanding any other provisions of
	3102	+	16 this Act, "food for human consumption that is to be consumed
	3103	+	17 off the premises where it is sold" includes all food sold
	3104	+	18 through a vending machine, except soft drinks, candy, and food
	3105	+	19 products that are dispensed hot from a vending machine,
	3106	+	20 regardless of the location of the vending machine.
	3107	+	21 Notwithstanding any other provisions of this Act,
	3108	+	22 beginning September 1, 2009, "food for human consumption that
	3109	+	23 is to be consumed off the premises where it is sold" does not
	3110	+	24 include candy. For purposes of this Section, "candy" means a
	3111	+	25 preparation of sugar, honey, or other natural or artificial
	3112	+	26 sweeteners in combination with chocolate, fruits, nuts or
	3113	+
	3114	+
	3115	+
	3116	+
	3117	+
	3118	+	HB3144 Enrolled - 87 - LRB103 26309 HLH 52670 b
	3119	+
	3120	+
	3121	+	HB3144 Enrolled- 88 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 88 - LRB103 26309 HLH 52670 b
	3122	+	HB3144 Enrolled - 88 - LRB103 26309 HLH 52670 b
	3123	+	1 other ingredients or flavorings in the form of bars, drops, or
	3124	+	2 pieces. "Candy" does not include any preparation that contains
	3125	+	3 flour or requires refrigeration.
	3126	+	4 Notwithstanding any other provisions of this Act,
	3127	+	5 beginning September 1, 2009, "nonprescription medicines and
	3128	+	6 drugs" does not include grooming and hygiene products. For
	3129	+	7 purposes of this Section, "grooming and hygiene products"
	3130	+	8 includes, but is not limited to, soaps and cleaning solutions,
	3131	+	9 shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
	3132	+	10 lotions and screens, unless those products are available by
	3133	+	11 prescription only, regardless of whether the products meet the
	3134	+	12 definition of "over-the-counter-drugs". For the purposes of
	3135	+	13 this paragraph, "over-the-counter-drug" means a drug for human
	3136	+	14 use that contains a label that identifies the product as a drug
	3137	+	15 as required by 21 CFR 201.66. The "over-the-counter-drug"
	3138	+	16 label includes:
	3139	+	17 (A) a "Drug Facts" panel; or
	3140	+	18 (B) a statement of the "active ingredient(s)" with a
	3141	+	19 list of those ingredients contained in the compound,
	3142	+	20 substance or preparation.
	3143	+	21 Beginning on January 1, 2014 (the effective date of Public
	3144	+	22 Act 98-122), "prescription and nonprescription medicines and
	3145	+	23 drugs" includes medical cannabis purchased from a registered
	3146	+	24 dispensing organization under the Compassionate Use of Medical
	3147	+	25 Cannabis Program Act.
	3148	+	26 As used in this Section, "adult use cannabis" means
	3149	+
	3150	+
	3151	+
	3152	+
	3153	+
	3154	+	HB3144 Enrolled - 88 - LRB103 26309 HLH 52670 b
	3155	+
	3156	+
	3157	+	HB3144 Enrolled- 89 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 89 - LRB103 26309 HLH 52670 b
	3158	+	HB3144 Enrolled - 89 - LRB103 26309 HLH 52670 b
	3159	+	1 cannabis subject to tax under the Cannabis Cultivation
	3160	+	2 Privilege Tax Law and the Cannabis Purchaser Excise Tax Law
	3161	+	3 and does not include cannabis subject to tax under the
	3162	+	4 Compassionate Use of Medical Cannabis Program Act.
	3163	+	5 (Source: P.A. 102-4, eff. 4-27-21; 102-16, eff. 6-17-21;
	3164	+	6 102-700, Article 20, Section 20-15, eff. 4-19-22; 102-700,
	3165	+	7 Article 60, Section 60-25, eff. 4-19-22; 103-9, eff. 6-7-23;
	3166	+	8 103-154, eff. 6-30-23.)
	3167	+	9 Section 20. The Retailers' Occupation Tax Act is amended
	3168	+	10 by changing Sections 2-5, 2-10, and 2-27 as follows:
	3169	+	11 (35 ILCS 120/2-5)
	3170	+	12 Sec. 2-5. Exemptions. Gross receipts from proceeds from
	3171	+	13 the sale of the following tangible personal property are
	3172	+	14 exempt from the tax imposed by this Act:
	3173	+	15 (1) Farm chemicals.
	3174	+	16 (2) Farm machinery and equipment, both new and used,
	3175	+	17 including that manufactured on special order, certified by
	3176	+	18 the purchaser to be used primarily for production
	3177	+	19 agriculture or State or federal agricultural programs,
	3178	+	20 including individual replacement parts for the machinery
	3179	+	21 and equipment, including machinery and equipment purchased
	3180	+	22 for lease, and including implements of husbandry defined
	3181	+	23 in Section 1-130 of the Illinois Vehicle Code, farm
	3182	+	24 machinery and agricultural chemical and fertilizer
	3183	+
	3184	+
	3185	+
	3186	+
	3187	+
	3188	+	HB3144 Enrolled - 89 - LRB103 26309 HLH 52670 b
	3189	+
	3190	+
	3191	+	HB3144 Enrolled- 90 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 90 - LRB103 26309 HLH 52670 b
	3192	+	HB3144 Enrolled - 90 - LRB103 26309 HLH 52670 b
	3193	+	1 spreaders, and nurse wagons required to be registered
	3194	+	2 under Section 3-809 of the Illinois Vehicle Code, but
	3195	+	3 excluding other motor vehicles required to be registered
	3196	+	4 under the Illinois Vehicle Code. Horticultural polyhouses
	3197	+	5 or hoop houses used for propagating, growing, or
	3198	+	6 overwintering plants shall be considered farm machinery
	3199	+	7 and equipment under this item (2). Agricultural chemical
	3200	+	8 tender tanks and dry boxes shall include units sold
	3201	+	9 separately from a motor vehicle required to be licensed
	3202	+	10 and units sold mounted on a motor vehicle required to be
	3203	+	11 licensed, if the selling price of the tender is separately
	3204	+	12 stated.
	3205	+	13 Farm machinery and equipment shall include precision
	3206	+	14 farming equipment that is installed or purchased to be
	3207	+	15 installed on farm machinery and equipment including, but
	3208	+	16 not limited to, tractors, harvesters, sprayers, planters,
	3209	+	17 seeders, or spreaders. Precision farming equipment
	3210	+	18 includes, but is not limited to, soil testing sensors,
	3211	+	19 computers, monitors, software, global positioning and
	3212	+	20 mapping systems, and other such equipment.
	3213	+	21 Farm machinery and equipment also includes computers,
	3214	+	22 sensors, software, and related equipment used primarily in
	3215	+	23 the computer-assisted operation of production agriculture
	3216	+	24 facilities, equipment, and activities such as, but not
	3217	+	25 limited to, the collection, monitoring, and correlation of
	3218	+	26 animal and crop data for the purpose of formulating animal
	3219	+
	3220	+
	3221	+
	3222	+
	3223	+
	3224	+	HB3144 Enrolled - 90 - LRB103 26309 HLH 52670 b
	3225	+
	3226	+
	3227	+	HB3144 Enrolled- 91 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 91 - LRB103 26309 HLH 52670 b
	3228	+	HB3144 Enrolled - 91 - LRB103 26309 HLH 52670 b
	3229	+	1 diets and agricultural chemicals.
	3230	+	2 Beginning on January 1, 2024, farm machinery and
	3231	+	3 equipment also includes electrical power generation
	3232	+	4 equipment used primarily for production agriculture.
	3233	+	5 This item (2) is exempt from the provisions of Section
	3234	+	6 2-70.
	3235	+	7 (3) Until July 1, 2003, distillation machinery and
	3236	+	8 equipment, sold as a unit or kit, assembled or installed
	3237	+	9 by the retailer, certified by the user to be used only for
	3238	+	10 the production of ethyl alcohol that will be used for
	3239	+	11 consumption as motor fuel or as a component of motor fuel
	3240	+	12 for the personal use of the user, and not subject to sale
	3241	+	13 or resale.
	3242	+	14 (4) Until July 1, 2003 and beginning again September
	3243	+	15 1, 2004 through August 30, 2014, graphic arts machinery
	3244	+	16 and equipment, including repair and replacement parts,
	3245	+	17 both new and used, and including that manufactured on
	3246	+	18 special order or purchased for lease, certified by the
	3247	+	19 purchaser to be used primarily for graphic arts
	3248	+	20 production. Equipment includes chemicals or chemicals
	3249	+	21 acting as catalysts but only if the chemicals or chemicals
	3250	+	22 acting as catalysts effect a direct and immediate change
	3251	+	23 upon a graphic arts product. Beginning on July 1, 2017,
	3252	+	24 graphic arts machinery and equipment is included in the
	3253	+	25 manufacturing and assembling machinery and equipment
	3254	+	26 exemption under paragraph (14).
	3255	+
	3256	+
	3257	+
	3258	+
	3259	+
	3260	+	HB3144 Enrolled - 91 - LRB103 26309 HLH 52670 b
	3261	+
	3262	+
	3263	+	HB3144 Enrolled- 92 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 92 - LRB103 26309 HLH 52670 b
	3264	+	HB3144 Enrolled - 92 - LRB103 26309 HLH 52670 b
	3265	+	1 (5) A motor vehicle that is used for automobile
	3266	+	2 renting, as defined in the Automobile Renting Occupation
	3267	+	3 and Use Tax Act. This paragraph is exempt from the
	3268	+	4 provisions of Section 2-70.
	3269	+	5 (6) Personal property sold by a teacher-sponsored
	3270	+	6 student organization affiliated with an elementary or
	3271	+	7 secondary school located in Illinois.
	3272	+	8 (7) Until July 1, 2003, proceeds of that portion of
	3273	+	9 the selling price of a passenger car the sale of which is
	3274	+	10 subject to the Replacement Vehicle Tax.
	3275	+	11 (8) Personal property sold to an Illinois county fair
	3276	+	12 association for use in conducting, operating, or promoting
	3277	+	13 the county fair.
	3278	+	14 (9) Personal property sold to a not-for-profit arts or
	3279	+	15 cultural organization that establishes, by proof required
	3280	+	16 by the Department by rule, that it has received an
	3281	+	17 exemption under Section 501(c)(3) of the Internal Revenue
	3282	+	18 Code and that is organized and operated primarily for the
	3283	+	19 presentation or support of arts or cultural programming,
	3284	+	20 activities, or services. These organizations include, but
	3285	+	21 are not limited to, music and dramatic arts organizations
	3286	+	22 such as symphony orchestras and theatrical groups, arts
	3287	+	23 and cultural service organizations, local arts councils,
	3288	+	24 visual arts organizations, and media arts organizations.
	3289	+	25 On and after July 1, 2001 (the effective date of Public Act
	3290	+	26 92-35), however, an entity otherwise eligible for this
	3291	+
	3292	+
	3293	+
	3294	+
	3295	+
	3296	+	HB3144 Enrolled - 92 - LRB103 26309 HLH 52670 b
	3297	+
	3298	+
	3299	+	HB3144 Enrolled- 93 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 93 - LRB103 26309 HLH 52670 b
	3300	+	HB3144 Enrolled - 93 - LRB103 26309 HLH 52670 b
	3301	+	1 exemption shall not make tax-free purchases unless it has
	3302	+	2 an active identification number issued by the Department.
	3303	+	3 (10) Personal property sold by a corporation, society,
	3304	+	4 association, foundation, institution, or organization,
	3305	+	5 other than a limited liability company, that is organized
	3306	+	6 and operated as a not-for-profit service enterprise for
	3307	+	7 the benefit of persons 65 years of age or older if the
	3308	+	8 personal property was not purchased by the enterprise for
	3309	+	9 the purpose of resale by the enterprise.
	3310	+	10 (11) Except as otherwise provided in this Section,
	3311	+	11 personal property sold to a governmental body, to a
	3312	+	12 corporation, society, association, foundation, or
	3313	+	13 institution organized and operated exclusively for
	3314	+	14 charitable, religious, or educational purposes, or to a
	3315	+	15 not-for-profit corporation, society, association,
	3316	+	16 foundation, institution, or organization that has no
	3317	+	17 compensated officers or employees and that is organized
	3318	+	18 and operated primarily for the recreation of persons 55
	3319	+	19 years of age or older. A limited liability company may
	3320	+	20 qualify for the exemption under this paragraph only if the
	3321	+	21 limited liability company is organized and operated
	3322	+	22 exclusively for educational purposes. On and after July 1,
	3323	+	23 1987, however, no entity otherwise eligible for this
	3324	+	24 exemption shall make tax-free purchases unless it has an
	3325	+	25 active identification number issued by the Department.
	3326	+	26 (12) (Blank).
	3327	+
	3328	+
	3329	+
	3330	+
	3331	+
	3332	+	HB3144 Enrolled - 93 - LRB103 26309 HLH 52670 b
	3333	+
	3334	+
	3335	+	HB3144 Enrolled- 94 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 94 - LRB103 26309 HLH 52670 b
	3336	+	HB3144 Enrolled - 94 - LRB103 26309 HLH 52670 b
	3337	+	1 (12-5) On and after July 1, 2003 and through June 30,
	3338	+	2 2004, motor vehicles of the second division with a gross
	3339	+	3 vehicle weight in excess of 8,000 pounds that are subject
	3340	+	4 to the commercial distribution fee imposed under Section
	3341	+	5 3-815.1 of the Illinois Vehicle Code. Beginning on July 1,
	3342	+	6 2004 and through June 30, 2005, the use in this State of
	3343	+	7 motor vehicles of the second division: (i) with a gross
	3344	+	8 vehicle weight rating in excess of 8,000 pounds; (ii) that
	3345	+	9 are subject to the commercial distribution fee imposed
	3346	+	10 under Section 3-815.1 of the Illinois Vehicle Code; and
	3347	+	11 (iii) that are primarily used for commercial purposes.
	3348	+	12 Through June 30, 2005, this exemption applies to repair
	3349	+	13 and replacement parts added after the initial purchase of
	3350	+	14 such a motor vehicle if that motor vehicle is used in a
	3351	+	15 manner that would qualify for the rolling stock exemption
	3352	+	16 otherwise provided for in this Act. For purposes of this
	3353	+	17 paragraph, "used for commercial purposes" means the
	3354	+	18 transportation of persons or property in furtherance of
	3355	+	19 any commercial or industrial enterprise whether for-hire
	3356	+	20 or not.
	3357	+	21 (13) Proceeds from sales to owners, lessors, or
	3358	+	22 shippers of tangible personal property that is utilized by
	3359	+	23 interstate carriers for hire for use as rolling stock
	3360	+	24 moving in interstate commerce and equipment operated by a
	3361	+	25 telecommunications provider, licensed as a common carrier
	3362	+	26 by the Federal Communications Commission, which is
	3363	+
	3364	+
	3365	+
	3366	+
	3367	+
	3368	+	HB3144 Enrolled - 94 - LRB103 26309 HLH 52670 b
	3369	+
	3370	+
	3371	+	HB3144 Enrolled- 95 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 95 - LRB103 26309 HLH 52670 b
	3372	+	HB3144 Enrolled - 95 - LRB103 26309 HLH 52670 b
	3373	+	1 permanently installed in or affixed to aircraft moving in
	3374	+	2 interstate commerce.
	3375	+	3 (14) Machinery and equipment that will be used by the
	3376	+	4 purchaser, or a lessee of the purchaser, primarily in the
	3377	+	5 process of manufacturing or assembling tangible personal
	3378	+	6 property for wholesale or retail sale or lease, whether
	3379	+	7 the sale or lease is made directly by the manufacturer or
	3380	+	8 by some other person, whether the materials used in the
	3381	+	9 process are owned by the manufacturer or some other
	3382	+	10 person, or whether the sale or lease is made apart from or
	3383	+	11 as an incident to the seller's engaging in the service
	3384	+	12 occupation of producing machines, tools, dies, jigs,
	3385	+	13 patterns, gauges, or other similar items of no commercial
	3386	+	14 value on special order for a particular purchaser. The
	3387	+	15 exemption provided by this paragraph (14) does not include
	3388	+	16 machinery and equipment used in (i) the generation of
	3389	+	17 electricity for wholesale or retail sale; (ii) the
	3390	+	18 generation or treatment of natural or artificial gas for
	3391	+	19 wholesale or retail sale that is delivered to customers
	3392	+	20 through pipes, pipelines, or mains; or (iii) the treatment
	3393	+	21 of water for wholesale or retail sale that is delivered to
	3394	+	22 customers through pipes, pipelines, or mains. The
	3395	+	23 provisions of Public Act 98-583 are declaratory of
	3396	+	24 existing law as to the meaning and scope of this
	3397	+	25 exemption. Beginning on July 1, 2017, the exemption
	3398	+	26 provided by this paragraph (14) includes, but is not
	3399	+
	3400	+
	3401	+
	3402	+
	3403	+
	3404	+	HB3144 Enrolled - 95 - LRB103 26309 HLH 52670 b
	3405	+
	3406	+
	3407	+	HB3144 Enrolled- 96 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 96 - LRB103 26309 HLH 52670 b
	3408	+	HB3144 Enrolled - 96 - LRB103 26309 HLH 52670 b
	3409	+	1 limited to, graphic arts machinery and equipment, as
	3410	+	2 defined in paragraph (4) of this Section.
	3411	+	3 (15) Proceeds of mandatory service charges separately
	3412	+	4 stated on customers' bills for purchase and consumption of
	3413	+	5 food and beverages, to the extent that the proceeds of the
	3414	+	6 service charge are in fact turned over as tips or as a
	3415	+	7 substitute for tips to the employees who participate
	3416	+	8 directly in preparing, serving, hosting or cleaning up the
	3417	+	9 food or beverage function with respect to which the
	3418	+	10 service charge is imposed.
	3419	+	11 (16) Tangible personal property sold to a purchaser if
	3420	+	12 the purchaser is exempt from use tax by operation of
	3421	+	13 federal law. This paragraph is exempt from the provisions
	3422	+	14 of Section 2-70.
	3423	+	15 (17) Tangible personal property sold to a common
	3424	+	16 carrier by rail or motor that receives the physical
	3425	+	17 possession of the property in Illinois and that transports
	3426	+	18 the property, or shares with another common carrier in the
	3427	+	19 transportation of the property, out of Illinois on a
	3428	+	20 standard uniform bill of lading showing the seller of the
	3429	+	21 property as the shipper or consignor of the property to a
	3430	+	22 destination outside Illinois, for use outside Illinois.
	3431	+	23 (18) Legal tender, currency, medallions, or gold or
	3432	+	24 silver coinage issued by the State of Illinois, the
	3433	+	25 government of the United States of America, or the
	3434	+	26 government of any foreign country, and bullion.
	3435	+
	3436	+
	3437	+
	3438	+
	3439	+
	3440	+	HB3144 Enrolled - 96 - LRB103 26309 HLH 52670 b
	3441	+
	3442	+
	3443	+	HB3144 Enrolled- 97 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 97 - LRB103 26309 HLH 52670 b
	3444	+	HB3144 Enrolled - 97 - LRB103 26309 HLH 52670 b
	3445	+	1 (19) Until July 1, 2003, oil field exploration,
	3446	+	2 drilling, and production equipment, including (i) rigs and
	3447	+	3 parts of rigs, rotary rigs, cable tool rigs, and workover
	3448	+	4 rigs, (ii) pipe and tubular goods, including casing and
	3449	+	5 drill strings, (iii) pumps and pump-jack units, (iv)
	3450	+	6 storage tanks and flow lines, (v) any individual
	3451	+	7 replacement part for oil field exploration, drilling, and
	3452	+	8 production equipment, and (vi) machinery and equipment
	3453	+	9 purchased for lease; but excluding motor vehicles required
	3454	+	10 to be registered under the Illinois Vehicle Code.
	3455	+	11 (20) Photoprocessing machinery and equipment,
	3456	+	12 including repair and replacement parts, both new and used,
	3457	+	13 including that manufactured on special order, certified by
	3458	+	14 the purchaser to be used primarily for photoprocessing,
	3459	+	15 and including photoprocessing machinery and equipment
	3460	+	16 purchased for lease.
	3461	+	17 (21) Until July 1, 2028, coal and aggregate
	3462	+	18 exploration, mining, off-highway hauling, processing,
	3463	+	19 maintenance, and reclamation equipment, including
	3464	+	20 replacement parts and equipment, and including equipment
	3465	+	21 purchased for lease, but excluding motor vehicles required
	3466	+	22 to be registered under the Illinois Vehicle Code. The
	3467	+	23 changes made to this Section by Public Act 97-767 apply on
	3468	+	24 and after July 1, 2003, but no claim for credit or refund
	3469	+	25 is allowed on or after August 16, 2013 (the effective date
	3470	+	26 of Public Act 98-456) for such taxes paid during the
	3471	+
	3472	+
	3473	+
	3474	+
	3475	+
	3476	+	HB3144 Enrolled - 97 - LRB103 26309 HLH 52670 b
	3477	+
	3478	+
	3479	+	HB3144 Enrolled- 98 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 98 - LRB103 26309 HLH 52670 b
	3480	+	HB3144 Enrolled - 98 - LRB103 26309 HLH 52670 b
	3481	+	1 period beginning July 1, 2003 and ending on August 16,
	3482	+	2 2013 (the effective date of Public Act 98-456).
	3483	+	3 (22) Until June 30, 2013, fuel and petroleum products
	3484	+	4 sold to or used by an air carrier, certified by the carrier
	3485	+	5 to be used for consumption, shipment, or storage in the
	3486	+	6 conduct of its business as an air common carrier, for a
	3487	+	7 flight destined for or returning from a location or
	3488	+	8 locations outside the United States without regard to
	3489	+	9 previous or subsequent domestic stopovers.
	3490	+	10 Beginning July 1, 2013, fuel and petroleum products
	3491	+	11 sold to or used by an air carrier, certified by the carrier
	3492	+	12 to be used for consumption, shipment, or storage in the
	3493	+	13 conduct of its business as an air common carrier, for a
	3494	+	14 flight that (i) is engaged in foreign trade or is engaged
	3495	+	15 in trade between the United States and any of its
	3496	+	16 possessions and (ii) transports at least one individual or
	3497	+	17 package for hire from the city of origination to the city
	3498	+	18 of final destination on the same aircraft, without regard
	3499	+	19 to a change in the flight number of that aircraft.
	3500	+	20 (23) A transaction in which the purchase order is
	3501	+	21 received by a florist who is located outside Illinois, but
	3502	+	22 who has a florist located in Illinois deliver the property
	3503	+	23 to the purchaser or the purchaser's donee in Illinois.
	3504	+	24 (24) Fuel consumed or used in the operation of ships,
	3505	+	25 barges, or vessels that are used primarily in or for the
	3506	+	26 transportation of property or the conveyance of persons
	3507	+
	3508	+
	3509	+
	3510	+
	3511	+
	3512	+	HB3144 Enrolled - 98 - LRB103 26309 HLH 52670 b
	3513	+
	3514	+
	3515	+	HB3144 Enrolled- 99 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 99 - LRB103 26309 HLH 52670 b
	3516	+	HB3144 Enrolled - 99 - LRB103 26309 HLH 52670 b
	3517	+	1 for hire on rivers bordering on this State if the fuel is
	3518	+	2 delivered by the seller to the purchaser's barge, ship, or
	3519	+	3 vessel while it is afloat upon that bordering river.
	3520	+	4 (25) Except as provided in item (25-5) of this
	3521	+	5 Section, a motor vehicle sold in this State to a
	3522	+	6 nonresident even though the motor vehicle is delivered to
	3523	+	7 the nonresident in this State, if the motor vehicle is not
	3524	+	8 to be titled in this State, and if a drive-away permit is
	3525	+	9 issued to the motor vehicle as provided in Section 3-603
	3526	+	10 of the Illinois Vehicle Code or if the nonresident
	3527	+	11 purchaser has vehicle registration plates to transfer to
	3528	+	12 the motor vehicle upon returning to his or her home state.
	3529	+	13 The issuance of the drive-away permit or having the
	3530	+	14 out-of-state registration plates to be transferred is
	3531	+	15 prima facie evidence that the motor vehicle will not be
	3532	+	16 titled in this State.
	3533	+	17 (25-5) The exemption under item (25) does not apply if
	3534	+	18 the state in which the motor vehicle will be titled does
	3535	+	19 not allow a reciprocal exemption for a motor vehicle sold
	3536	+	20 and delivered in that state to an Illinois resident but
	3537	+	21 titled in Illinois. The tax collected under this Act on
	3538	+	22 the sale of a motor vehicle in this State to a resident of
	3539	+	23 another state that does not allow a reciprocal exemption
	3540	+	24 shall be imposed at a rate equal to the state's rate of tax
	3541	+	25 on taxable property in the state in which the purchaser is
	3542	+	26 a resident, except that the tax shall not exceed the tax
	3543	+
	3544	+
	3545	+
	3546	+
	3547	+
	3548	+	HB3144 Enrolled - 99 - LRB103 26309 HLH 52670 b
	3549	+
	3550	+
	3551	+	HB3144 Enrolled- 100 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 100 - LRB103 26309 HLH 52670 b
	3552	+	HB3144 Enrolled - 100 - LRB103 26309 HLH 52670 b
	3553	+	1 that would otherwise be imposed under this Act. At the
	3554	+	2 time of the sale, the purchaser shall execute a statement,
	3555	+	3 signed under penalty of perjury, of his or her intent to
	3556	+	4 title the vehicle in the state in which the purchaser is a
	3557	+	5 resident within 30 days after the sale and of the fact of
	3558	+	6 the payment to the State of Illinois of tax in an amount
	3559	+	7 equivalent to the state's rate of tax on taxable property
	3560	+	8 in his or her state of residence and shall submit the
	3561	+	9 statement to the appropriate tax collection agency in his
	3562	+	10 or her state of residence. In addition, the retailer must
	3563	+	11 retain a signed copy of the statement in his or her
	3564	+	12 records. Nothing in this item shall be construed to
	3565	+	13 require the removal of the vehicle from this state
	3566	+	14 following the filing of an intent to title the vehicle in
	3567	+	15 the purchaser's state of residence if the purchaser titles
	3568	+	16 the vehicle in his or her state of residence within 30 days
	3569	+	17 after the date of sale. The tax collected under this Act in
	3570	+	18 accordance with this item (25-5) shall be proportionately
	3571	+	19 distributed as if the tax were collected at the 6.25%
	3572	+	20 general rate imposed under this Act.
	3573	+	21 (25-7) Beginning on July 1, 2007, no tax is imposed
	3574	+	22 under this Act on the sale of an aircraft, as defined in
	3575	+	23 Section 3 of the Illinois Aeronautics Act, if all of the
	3576	+	24 following conditions are met:
	3577	+	25 (1) the aircraft leaves this State within 15 days
	3578	+	26 after the later of either the issuance of the final
	3579	+
	3580	+
	3581	+
	3582	+
	3583	+
	3584	+	HB3144 Enrolled - 100 - LRB103 26309 HLH 52670 b
	3585	+
	3586	+
	3587	+	HB3144 Enrolled- 101 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 101 - LRB103 26309 HLH 52670 b
	3588	+	HB3144 Enrolled - 101 - LRB103 26309 HLH 52670 b
	3589	+	1 billing for the sale of the aircraft, or the
	3590	+	2 authorized approval for return to service, completion
	3591	+	3 of the maintenance record entry, and completion of the
	3592	+	4 test flight and ground test for inspection, as
	3593	+	5 required by 14 CFR 91.407;
	3594	+	6 (2) the aircraft is not based or registered in
	3595	+	7 this State after the sale of the aircraft; and
	3596	+	8 (3) the seller retains in his or her books and
	3597	+	9 records and provides to the Department a signed and
	3598	+	10 dated certification from the purchaser, on a form
	3599	+	11 prescribed by the Department, certifying that the
	3600	+	12 requirements of this item (25-7) are met. The
	3601	+	13 certificate must also include the name and address of
	3602	+	14 the purchaser, the address of the location where the
	3603	+	15 aircraft is to be titled or registered, the address of
	3604	+	16 the primary physical location of the aircraft, and
	3605	+	17 other information that the Department may reasonably
	3606	+	18 require.
	3607	+	19 For purposes of this item (25-7):
	3608	+	20 "Based in this State" means hangared, stored, or
	3609	+	21 otherwise used, excluding post-sale customizations as
	3610	+	22 defined in this Section, for 10 or more days in each
	3611	+	23 12-month period immediately following the date of the sale
	3612	+	24 of the aircraft.
	3613	+	25 "Registered in this State" means an aircraft
	3614	+	26 registered with the Department of Transportation,
	3615	+
	3616	+
	3617	+
	3618	+
	3619	+
	3620	+	HB3144 Enrolled - 101 - LRB103 26309 HLH 52670 b
	3621	+
	3622	+
	3623	+	HB3144 Enrolled- 102 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 102 - LRB103 26309 HLH 52670 b
	3624	+	HB3144 Enrolled - 102 - LRB103 26309 HLH 52670 b
	3625	+	1 Aeronautics Division, or titled or registered with the
	3626	+	2 Federal Aviation Administration to an address located in
	3627	+	3 this State.
	3628	+	4 This paragraph (25-7) is exempt from the provisions of
	3629	+	5 Section 2-70.
	3630	+	6 (26) Semen used for artificial insemination of
	3631	+	7 livestock for direct agricultural production.
	3632	+	8 (27) Horses, or interests in horses, registered with
	3633	+	9 and meeting the requirements of any of the Arabian Horse
	3634	+	10 Club Registry of America, Appaloosa Horse Club, American
	3635	+	11 Quarter Horse Association, United States Trotting
	3636	+	12 Association, or Jockey Club, as appropriate, used for
	3637	+	13 purposes of breeding or racing for prizes. This item (27)
	3638	+	14 is exempt from the provisions of Section 2-70, and the
	3639	+	15 exemption provided for under this item (27) applies for
	3640	+	16 all periods beginning May 30, 1995, but no claim for
	3641	+	17 credit or refund is allowed on or after January 1, 2008
	3642	+	18 (the effective date of Public Act 95-88) for such taxes
	3643	+	19 paid during the period beginning May 30, 2000 and ending
	3644	+	20 on January 1, 2008 (the effective date of Public Act
	3645	+	21 95-88).
	3646	+	22 (28) Computers and communications equipment utilized
	3647	+	23 for any hospital purpose and equipment used in the
	3648	+	24 diagnosis, analysis, or treatment of hospital patients
	3649	+	25 sold to a lessor who leases the equipment, under a lease of
	3650	+	26 one year or longer executed or in effect at the time of the
	3651	+
	3652	+
	3653	+
	3654	+
	3655	+
	3656	+	HB3144 Enrolled - 102 - LRB103 26309 HLH 52670 b
	3657	+
	3658	+
	3659	+	HB3144 Enrolled- 103 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 103 - LRB103 26309 HLH 52670 b
	3660	+	HB3144 Enrolled - 103 - LRB103 26309 HLH 52670 b
	3661	+	1 purchase, to a hospital that has been issued an active tax
	3662	+	2 exemption identification number by the Department under
	3663	+	3 Section 1g of this Act.
	3664	+	4 (29) Personal property sold to a lessor who leases the
	3665	+	5 property, under a lease of one year or longer executed or
	3666	+	6 in effect at the time of the purchase, to a governmental
	3667	+	7 body that has been issued an active tax exemption
	3668	+	8 identification number by the Department under Section 1g
	3669	+	9 of this Act.
	3670	+	10 (30) Beginning with taxable years ending on or after
	3671	+	11 December 31, 1995 and ending with taxable years ending on
	3672	+	12 or before December 31, 2004, personal property that is
	3673	+	13 donated for disaster relief to be used in a State or
	3674	+	14 federally declared disaster area in Illinois or bordering
	3675	+	15 Illinois by a manufacturer or retailer that is registered
	3676	+	16 in this State to a corporation, society, association,
	3677	+	17 foundation, or institution that has been issued a sales
	3678	+	18 tax exemption identification number by the Department that
	3679	+	19 assists victims of the disaster who reside within the
	3680	+	20 declared disaster area.
	3681	+	21 (31) Beginning with taxable years ending on or after
	3682	+	22 December 31, 1995 and ending with taxable years ending on
	3683	+	23 or before December 31, 2004, personal property that is
	3684	+	24 used in the performance of infrastructure repairs in this
	3685	+	25 State, including, but not limited to, municipal roads and
	3686	+	26 streets, access roads, bridges, sidewalks, waste disposal
	3687	+
	3688	+
	3689	+
	3690	+
	3691	+
	3692	+	HB3144 Enrolled - 103 - LRB103 26309 HLH 52670 b
	3693	+
	3694	+
	3695	+	HB3144 Enrolled- 104 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 104 - LRB103 26309 HLH 52670 b
	3696	+	HB3144 Enrolled - 104 - LRB103 26309 HLH 52670 b
	3697	+	1 systems, water and sewer line extensions, water
	3698	+	2 distribution and purification facilities, storm water
	3699	+	3 drainage and retention facilities, and sewage treatment
	3700	+	4 facilities, resulting from a State or federally declared
	3701	+	5 disaster in Illinois or bordering Illinois when such
	3702	+	6 repairs are initiated on facilities located in the
	3703	+	7 declared disaster area within 6 months after the disaster.
	3704	+	8 (32) Beginning July 1, 1999, game or game birds sold
	3705	+	9 at a "game breeding and hunting preserve area" as that
	3706	+	10 term is used in the Wildlife Code. This paragraph is
	3707	+	11 exempt from the provisions of Section 2-70.
	3708	+	12 (33) A motor vehicle, as that term is defined in
	3709	+	13 Section 1-146 of the Illinois Vehicle Code, that is
	3710	+	14 donated to a corporation, limited liability company,
	3711	+	15 society, association, foundation, or institution that is
	3712	+	16 determined by the Department to be organized and operated
	3713	+	17 exclusively for educational purposes. For purposes of this
	3714	+	18 exemption, "a corporation, limited liability company,
	3715	+	19 society, association, foundation, or institution organized
	3716	+	20 and operated exclusively for educational purposes" means
	3717	+	21 all tax-supported public schools, private schools that
	3718	+	22 offer systematic instruction in useful branches of
	3719	+	23 learning by methods common to public schools and that
	3720	+	24 compare favorably in their scope and intensity with the
	3721	+	25 course of study presented in tax-supported schools, and
	3722	+	26 vocational or technical schools or institutes organized
	3723	+
	3724	+
	3725	+
	3726	+
	3727	+
	3728	+	HB3144 Enrolled - 104 - LRB103 26309 HLH 52670 b
	3729	+
	3730	+
	3731	+	HB3144 Enrolled- 105 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 105 - LRB103 26309 HLH 52670 b
	3732	+	HB3144 Enrolled - 105 - LRB103 26309 HLH 52670 b
	3733	+	1 and operated exclusively to provide a course of study of
	3734	+	2 not less than 6 weeks duration and designed to prepare
	3735	+	3 individuals to follow a trade or to pursue a manual,
	3736	+	4 technical, mechanical, industrial, business, or commercial
	3737	+	5 occupation.
	3738	+	6 (34) Beginning January 1, 2000, personal property,
	3739	+	7 including food, purchased through fundraising events for
	3740	+	8 the benefit of a public or private elementary or secondary
	3741	+	9 school, a group of those schools, or one or more school
	3742	+	10 districts if the events are sponsored by an entity
	3743	+	11 recognized by the school district that consists primarily
	3744	+	12 of volunteers and includes parents and teachers of the
	3745	+	13 school children. This paragraph does not apply to
	3746	+	14 fundraising events (i) for the benefit of private home
	3747	+	15 instruction or (ii) for which the fundraising entity
	3748	+	16 purchases the personal property sold at the events from
	3749	+	17 another individual or entity that sold the property for
	3750	+	18 the purpose of resale by the fundraising entity and that
	3751	+	19 profits from the sale to the fundraising entity. This
	3752	+	20 paragraph is exempt from the provisions of Section 2-70.
	3753	+	21 (35) Beginning January 1, 2000 and through December
	3754	+	22 31, 2001, new or used automatic vending machines that
	3755	+	23 prepare and serve hot food and beverages, including
	3756	+	24 coffee, soup, and other items, and replacement parts for
	3757	+	25 these machines. Beginning January 1, 2002 and through June
	3758	+	26 30, 2003, machines and parts for machines used in
	3759	+
	3760	+
	3761	+
	3762	+
	3763	+
	3764	+	HB3144 Enrolled - 105 - LRB103 26309 HLH 52670 b
	3765	+
	3766	+
	3767	+	HB3144 Enrolled- 106 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 106 - LRB103 26309 HLH 52670 b
	3768	+	HB3144 Enrolled - 106 - LRB103 26309 HLH 52670 b
	3769	+	1 commercial, coin-operated amusement and vending business
	3770	+	2 if a use or occupation tax is paid on the gross receipts
	3771	+	3 derived from the use of the commercial, coin-operated
	3772	+	4 amusement and vending machines. This paragraph is exempt
	3773	+	5 from the provisions of Section 2-70.
	3774	+	6 (35-5) Beginning August 23, 2001 and through June 30,
	3775	+	7 2016, food for human consumption that is to be consumed
	3776	+	8 off the premises where it is sold (other than alcoholic
	3777	+	9 beverages, soft drinks, and food that has been prepared
	3778	+	10 for immediate consumption) and prescription and
	3779	+	11 nonprescription medicines, drugs, medical appliances, and
	3780	+	12 insulin, urine testing materials, syringes, and needles
	3781	+	13 used by diabetics, for human use, when purchased for use
	3782	+	14 by a person receiving medical assistance under Article V
	3783	+	15 of the Illinois Public Aid Code who resides in a licensed
	3784	+	16 long-term care facility, as defined in the Nursing Home
	3785	+	17 Care Act, or a licensed facility as defined in the ID/DD
	3786	+	18 Community Care Act, the MC/DD Act, or the Specialized
	3787	+	19 Mental Health Rehabilitation Act of 2013.
	3788	+	20 (36) Beginning August 2, 2001, computers and
	3789	+	21 communications equipment utilized for any hospital purpose
	3790	+	22 and equipment used in the diagnosis, analysis, or
	3791	+	23 treatment of hospital patients sold to a lessor who leases
	3792	+	24 the equipment, under a lease of one year or longer
	3793	+	25 executed or in effect at the time of the purchase, to a
	3794	+	26 hospital that has been issued an active tax exemption
	3795	+
	3796	+
	3797	+
	3798	+
	3799	+
	3800	+	HB3144 Enrolled - 106 - LRB103 26309 HLH 52670 b
	3801	+
	3802	+
	3803	+	HB3144 Enrolled- 107 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 107 - LRB103 26309 HLH 52670 b
	3804	+	HB3144 Enrolled - 107 - LRB103 26309 HLH 52670 b
	3805	+	1 identification number by the Department under Section 1g
	3806	+	2 of this Act. This paragraph is exempt from the provisions
	3807	+	3 of Section 2-70.
	3808	+	4 (37) Beginning August 2, 2001, personal property sold
	3809	+	5 to a lessor who leases the property, under a lease of one
	3810	+	6 year or longer executed or in effect at the time of the
	3811	+	7 purchase, to a governmental body that has been issued an
	3812	+	8 active tax exemption identification number by the
	3813	+	9 Department under Section 1g of this Act. This paragraph is
	3814	+	10 exempt from the provisions of Section 2-70.
	3815	+	11 (38) Beginning on January 1, 2002 and through June 30,
	3816	+	12 2016, tangible personal property purchased from an
	3817	+	13 Illinois retailer by a taxpayer engaged in centralized
	3818	+	14 purchasing activities in Illinois who will, upon receipt
	3819	+	15 of the property in Illinois, temporarily store the
	3820	+	16 property in Illinois (i) for the purpose of subsequently
	3821	+	17 transporting it outside this State for use or consumption
	3822	+	18 thereafter solely outside this State or (ii) for the
	3823	+	19 purpose of being processed, fabricated, or manufactured
	3824	+	20 into, attached to, or incorporated into other tangible
	3825	+	21 personal property to be transported outside this State and
	3826	+	22 thereafter used or consumed solely outside this State. The
	3827	+	23 Director of Revenue shall, pursuant to rules adopted in
	3828	+	24 accordance with the Illinois Administrative Procedure Act,
	3829	+	25 issue a permit to any taxpayer in good standing with the
	3830	+	26 Department who is eligible for the exemption under this
	3831	+
	3832	+
	3833	+
	3834	+
	3835	+
	3836	+	HB3144 Enrolled - 107 - LRB103 26309 HLH 52670 b
	3837	+
	3838	+
	3839	+	HB3144 Enrolled- 108 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 108 - LRB103 26309 HLH 52670 b
	3840	+	HB3144 Enrolled - 108 - LRB103 26309 HLH 52670 b
	3841	+	1 paragraph (38). The permit issued under this paragraph
	3842	+	2 (38) shall authorize the holder, to the extent and in the
	3843	+	3 manner specified in the rules adopted under this Act, to
	3844	+	4 purchase tangible personal property from a retailer exempt
	3845	+	5 from the taxes imposed by this Act. Taxpayers shall
	3846	+	6 maintain all necessary books and records to substantiate
	3847	+	7 the use and consumption of all such tangible personal
	3848	+	8 property outside of the State of Illinois.
	3849	+	9 (39) Beginning January 1, 2008, tangible personal
	3850	+	10 property used in the construction or maintenance of a
	3851	+	11 community water supply, as defined under Section 3.145 of
	3852	+	12 the Environmental Protection Act, that is operated by a
	3853	+	13 not-for-profit corporation that holds a valid water supply
	3854	+	14 permit issued under Title IV of the Environmental
	3855	+	15 Protection Act. This paragraph is exempt from the
	3856	+	16 provisions of Section 2-70.
	3857	+	17 (40) Beginning January 1, 2010 and continuing through
	3858	+	18 December 31, 2029, materials, parts, equipment,
	3859	+	19 components, and furnishings incorporated into or upon an
	3860	+	20 aircraft as part of the modification, refurbishment,
	3861	+	21 completion, replacement, repair, or maintenance of the
	3862	+	22 aircraft. This exemption includes consumable supplies used
	3863	+	23 in the modification, refurbishment, completion,
	3864	+	24 replacement, repair, and maintenance of aircraft. However,
	3865	+	25 until January 1, 2024, this exemption excludes any
	3866	+	26 materials, parts, equipment, components, and consumable
	3867	+
	3868	+
	3869	+
	3870	+
	3871	+
	3872	+	HB3144 Enrolled - 108 - LRB103 26309 HLH 52670 b
	3873	+
	3874	+
	3875	+	HB3144 Enrolled- 109 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 109 - LRB103 26309 HLH 52670 b
	3876	+	HB3144 Enrolled - 109 - LRB103 26309 HLH 52670 b
	3877	+	1 supplies used in the modification, replacement, repair,
	3878	+	2 and maintenance of aircraft engines or power plants,
	3879	+	3 whether such engines or power plants are installed or
	3880	+	4 uninstalled upon any such aircraft. "Consumable supplies"
	3881	+	5 include, but are not limited to, adhesive, tape,
	3882	+	6 sandpaper, general purpose lubricants, cleaning solution,
	3883	+	7 latex gloves, and protective films.
	3884	+	8 Beginning January 1, 2010 and continuing through
	3885	+	9 December 31, 2023, this exemption applies only to the sale
	3886	+	10 of qualifying tangible personal property to persons who
	3887	+	11 modify, refurbish, complete, replace, or maintain an
	3888	+	12 aircraft and who (i) hold an Air Agency Certificate and
	3889	+	13 are empowered to operate an approved repair station by the
	3890	+	14 Federal Aviation Administration, (ii) have a Class IV
	3891	+	15 Rating, and (iii) conduct operations in accordance with
	3892	+	16 Part 145 of the Federal Aviation Regulations. The
	3893	+	17 exemption does not include aircraft operated by a
	3894	+	18 commercial air carrier providing scheduled passenger air
	3895	+	19 service pursuant to authority issued under Part 121 or
	3896	+	20 Part 129 of the Federal Aviation Regulations. From January
	3897	+	21 1, 2024 through December 31, 2029, this exemption applies
	3898	+	22 only to the use of qualifying tangible personal property
	3899	+	23 by: (A) persons who modify, refurbish, complete, repair,
	3900	+	24 replace, or maintain aircraft and who (i) hold an Air
	3901	+	25 Agency Certificate and are empowered to operate an
	3902	+	26 approved repair station by the Federal Aviation
	3903	+
	3904	+
	3905	+
	3906	+
	3907	+
	3908	+	HB3144 Enrolled - 109 - LRB103 26309 HLH 52670 b
	3909	+
	3910	+
	3911	+	HB3144 Enrolled- 110 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 110 - LRB103 26309 HLH 52670 b
	3912	+	HB3144 Enrolled - 110 - LRB103 26309 HLH 52670 b
	3913	+	1 Administration, (ii) have a Class IV Rating, and (iii)
	3914	+	2 conduct operations in accordance with Part 145 of the
	3915	+	3 Federal Aviation Regulations; and (B) persons who engage
	3916	+	4 in the modification, replacement, repair, and maintenance
	3917	+	5 of aircraft engines or power plants without regard to
	3918	+	6 whether or not those persons meet the qualifications of
	3919	+	7 item (A).
	3920	+	8 The changes made to this paragraph (40) by Public Act
	3921	+	9 98-534 are declarative of existing law. It is the intent
	3922	+	10 of the General Assembly that the exemption under this
	3923	+	11 paragraph (40) applies continuously from January 1, 2010
	3924	+	12 through December 31, 2024; however, no claim for credit or
	3925	+	13 refund is allowed for taxes paid as a result of the
	3926	+	14 disallowance of this exemption on or after January 1, 2015
	3927	+	15 and prior to February 5, 2020 (the effective date of
	3928	+	16 Public Act 101-629).
	3929	+	17 (41) Tangible personal property sold to a
	3930	+	18 public-facilities corporation, as described in Section
	3931	+	19 11-65-10 of the Illinois Municipal Code, for purposes of
	3932	+	20 constructing or furnishing a municipal convention hall,
	3933	+	21 but only if the legal title to the municipal convention
	3934	+	22 hall is transferred to the municipality without any
	3935	+	23 further consideration by or on behalf of the municipality
	3936	+	24 at the time of the completion of the municipal convention
	3937	+	25 hall or upon the retirement or redemption of any bonds or
	3938	+	26 other debt instruments issued by the public-facilities
	3939	+
	3940	+
	3941	+
	3942	+
	3943	+
	3944	+	HB3144 Enrolled - 110 - LRB103 26309 HLH 52670 b
	3945	+
	3946	+
	3947	+	HB3144 Enrolled- 111 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 111 - LRB103 26309 HLH 52670 b
	3948	+	HB3144 Enrolled - 111 - LRB103 26309 HLH 52670 b
	3949	+	1 corporation in connection with the development of the
	3950	+	2 municipal convention hall. This exemption includes
	3951	+	3 existing public-facilities corporations as provided in
	3952	+	4 Section 11-65-25 of the Illinois Municipal Code. This
	3953	+	5 paragraph is exempt from the provisions of Section 2-70.
	3954	+	6 (42) Beginning January 1, 2017 and through December
	3955	+	7 31, 2026, menstrual pads, tampons, and menstrual cups.
	3956	+	8 (43) Merchandise that is subject to the Rental
	3957	+	9 Purchase Agreement Occupation and Use Tax. The purchaser
	3958	+	10 must certify that the item is purchased to be rented
	3959	+	11 subject to a rental-purchase rental purchase agreement, as
	3960	+	12 defined in the Rental-Purchase Rental Purchase Agreement
	3961	+	13 Act, and provide proof of registration under the Rental
	3962	+	14 Purchase Agreement Occupation and Use Tax Act. This
	3963	+	15 paragraph is exempt from the provisions of Section 2-70.
	3964	+	16 (44) Qualified tangible personal property used in the
	3965	+	17 construction or operation of a data center that has been
	3966	+	18 granted a certificate of exemption by the Department of
	3967	+	19 Commerce and Economic Opportunity, whether that tangible
	3968	+	20 personal property is purchased by the owner, operator, or
	3969	+	21 tenant of the data center or by a contractor or
	3970	+	22 subcontractor of the owner, operator, or tenant. Data
	3971	+	23 centers that would have qualified for a certificate of
	3972	+	24 exemption prior to January 1, 2020 had Public Act 101-31
	3973	+	25 been in effect, may apply for and obtain an exemption for
	3974	+	26 subsequent purchases of computer equipment or enabling
	3975	+
	3976	+
	3977	+
	3978	+
	3979	+
	3980	+	HB3144 Enrolled - 111 - LRB103 26309 HLH 52670 b
	3981	+
	3982	+
	3983	+	HB3144 Enrolled- 112 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 112 - LRB103 26309 HLH 52670 b
	3984	+	HB3144 Enrolled - 112 - LRB103 26309 HLH 52670 b
	3985	+	1 software purchased or leased to upgrade, supplement, or
	3986	+	2 replace computer equipment or enabling software purchased
	3987	+	3 or leased in the original investment that would have
	3988	+	4 qualified.
	3989	+	5 The Department of Commerce and Economic Opportunity
	3990	+	6 shall grant a certificate of exemption under this item
	3991	+	7 (44) to qualified data centers as defined by Section
	3992	+	8 605-1025 of the Department of Commerce and Economic
	3993	+	9 Opportunity Law of the Civil Administrative Code of
	3994	+	10 Illinois.
	3995	+	11 For the purposes of this item (44):
	3996	+	12 "Data center" means a building or a series of
	3997	+	13 buildings rehabilitated or constructed to house
	3998	+	14 working servers in one physical location or multiple
	3999	+	15 sites within the State of Illinois.
	4000	+	16 "Qualified tangible personal property" means:
	4001	+	17 electrical systems and equipment; climate control and
	4002	+	18 chilling equipment and systems; mechanical systems and
	4003	+	19 equipment; monitoring and secure systems; emergency
	4004	+	20 generators; hardware; computers; servers; data storage
	4005	+	21 devices; network connectivity equipment; racks;
	4006	+	22 cabinets; telecommunications cabling infrastructure;
	4007	+	23 raised floor systems; peripheral components or
	4008	+	24 systems; software; mechanical, electrical, or plumbing
	4009	+	25 systems; battery systems; cooling systems and towers;
	4010	+	26 temperature control systems; other cabling; and other
	4011	+
	4012	+
	4013	+
	4014	+
	4015	+
	4016	+	HB3144 Enrolled - 112 - LRB103 26309 HLH 52670 b
	4017	+
	4018	+
	4019	+	HB3144 Enrolled- 113 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 113 - LRB103 26309 HLH 52670 b
	4020	+	HB3144 Enrolled - 113 - LRB103 26309 HLH 52670 b
	4021	+	1 data center infrastructure equipment and systems
	4022	+	2 necessary to operate qualified tangible personal
	4023	+	3 property, including fixtures; and component parts of
	4024	+	4 any of the foregoing, including installation,
	4025	+	5 maintenance, repair, refurbishment, and replacement of
	4026	+	6 qualified tangible personal property to generate,
	4027	+	7 transform, transmit, distribute, or manage electricity
	4028	+	8 necessary to operate qualified tangible personal
	4029	+	9 property; and all other tangible personal property
	4030	+	10 that is essential to the operations of a computer data
	4031	+	11 center. The term "qualified tangible personal
	4032	+	12 property" also includes building materials physically
	4033	+	13 incorporated into the qualifying data center. To
	4034	+	14 document the exemption allowed under this Section, the
	4035	+	15 retailer must obtain from the purchaser a copy of the
	4036	+	16 certificate of eligibility issued by the Department of
	4037	+	17 Commerce and Economic Opportunity.
	4038	+	18 This item (44) is exempt from the provisions of
	4039	+	19 Section 2-70.
	4040	+	20 (45) Beginning January 1, 2020 and through December
	4041	+	21 31, 2020, sales of tangible personal property made by a
	4042	+	22 marketplace seller over a marketplace for which tax is due
	4043	+	23 under this Act but for which use tax has been collected and
	4044	+	24 remitted to the Department by a marketplace facilitator
	4045	+	25 under Section 2d of the Use Tax Act are exempt from tax
	4046	+	26 under this Act. A marketplace seller claiming this
	4047	+
	4048	+
	4049	+
	4050	+
	4051	+
	4052	+	HB3144 Enrolled - 113 - LRB103 26309 HLH 52670 b
	4053	+
	4054	+
	4055	+	HB3144 Enrolled- 114 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 114 - LRB103 26309 HLH 52670 b
	4056	+	HB3144 Enrolled - 114 - LRB103 26309 HLH 52670 b
	4057	+	1 exemption shall maintain books and records demonstrating
	4058	+	2 that the use tax on such sales has been collected and
	4059	+	3 remitted by a marketplace facilitator. Marketplace sellers
	4060	+	4 that have properly remitted tax under this Act on such
	4061	+	5 sales may file a claim for credit as provided in Section 6
	4062	+	6 of this Act. No claim is allowed, however, for such taxes
	4063	+	7 for which a credit or refund has been issued to the
	4064	+	8 marketplace facilitator under the Use Tax Act, or for
	4065	+	9 which the marketplace facilitator has filed a claim for
	4066	+	10 credit or refund under the Use Tax Act.
	4067	+	11 (46) Beginning July 1, 2022, breast pumps, breast pump
	4068	+	12 collection and storage supplies, and breast pump kits.
	4069	+	13 This item (46) is exempt from the provisions of Section
	4070	+	14 2-70. As used in this item (46):
	4071	+	15 "Breast pump" means an electrically controlled or
	4072	+	16 manually controlled pump device designed or marketed to be
	4073	+	17 used to express milk from a human breast during lactation,
	4074	+	18 including the pump device and any battery, AC adapter, or
	4075	+	19 other power supply unit that is used to power the pump
	4076	+	20 device and is packaged and sold with the pump device at the
	4077	+	21 time of sale.
	4078	+	22 "Breast pump collection and storage supplies" means
	4079	+	23 items of tangible personal property designed or marketed
	4080	+	24 to be used in conjunction with a breast pump to collect
	4081	+	25 milk expressed from a human breast and to store collected
	4082	+	26 milk until it is ready for consumption.
	4083	+
	4084	+
	4085	+
	4086	+
	4087	+
	4088	+	HB3144 Enrolled - 114 - LRB103 26309 HLH 52670 b
	4089	+
	4090	+
	4091	+	HB3144 Enrolled- 115 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 115 - LRB103 26309 HLH 52670 b
	4092	+	HB3144 Enrolled - 115 - LRB103 26309 HLH 52670 b
	4093	+	1 "Breast pump collection and storage supplies"
	4094	+	2 includes, but is not limited to: breast shields and breast
	4095	+	3 shield connectors; breast pump tubes and tubing adapters;
	4096	+	4 breast pump valves and membranes; backflow protectors and
	4097	+	5 backflow protector adaptors; bottles and bottle caps
	4098	+	6 specific to the operation of the breast pump; and breast
	4099	+	7 milk storage bags.
	4100	+	8 "Breast pump collection and storage supplies" does not
	4101	+	9 include: (1) bottles and bottle caps not specific to the
	4102	+	10 operation of the breast pump; (2) breast pump travel bags
	4103	+	11 and other similar carrying accessories, including ice
	4104	+	12 packs, labels, and other similar products; (3) breast pump
	4105	+	13 cleaning supplies; (4) nursing bras, bra pads, breast
	4106	+	14 shells, and other similar products; and (5) creams,
	4107	+	15 ointments, and other similar products that relieve
	4108	+	16 breastfeeding-related symptoms or conditions of the
	4109	+	17 breasts or nipples, unless sold as part of a breast pump
	4110	+	18 kit that is pre-packaged by the breast pump manufacturer
	4111	+	19 or distributor.
	4112	+	20 "Breast pump kit" means a kit that: (1) contains no
	4113	+	21 more than a breast pump, breast pump collection and
	4114	+	22 storage supplies, a rechargeable battery for operating the
	4115	+	23 breast pump, a breastmilk cooler, bottle stands, ice
	4116	+	24 packs, and a breast pump carrying case; and (2) is
	4117	+	25 pre-packaged as a breast pump kit by the breast pump
	4118	+	26 manufacturer or distributor.
	4119	+
	4120	+
	4121	+
	4122	+
	4123	+
	4124	+	HB3144 Enrolled - 115 - LRB103 26309 HLH 52670 b
	4125	+
	4126	+
	4127	+	HB3144 Enrolled- 116 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 116 - LRB103 26309 HLH 52670 b
	4128	+	HB3144 Enrolled - 116 - LRB103 26309 HLH 52670 b
	4129	+	1 (47) Tangible personal property sold by or on behalf
	4130	+	2 of the State Treasurer pursuant to the Revised Uniform
	4131	+	3 Unclaimed Property Act. This item (47) is exempt from the
	4132	+	4 provisions of Section 2-70.
	4133	+	5 (48) Beginning on January 1, 2024, tangible personal
	4134	+	6 property purchased by an active duty member of the armed
	4135	+	7 forces of the United States who presents valid military
	4136	+	8 identification and purchases the property using a form of
	4137	+	9 payment where the federal government is the payor. The
	4138	+	10 member of the armed forces must complete, at the point of
	4139	+	11 sale, a form prescribed by the Department of Revenue
	4140	+	12 documenting that the transaction is eligible for the
	4141	+	13 exemption under this paragraph. Retailers must keep the
	4142	+	14 form as documentation of the exemption in their records
	4143	+	15 for a period of not less than 6 years. "Armed forces of the
	4144	+	16 United States" means the United States Army, Navy, Air
	4145	+	17 Force, Marine Corps, or Coast Guard. This paragraph is
	4146	+	18 exempt from the provisions of Section 2-70.
	4147	+	19 (49) Beginning on January 1, 2026, as further defined
	4148	+	20 in Section 2-10, food for human consumption that is to be
	4149	+	21 consumed off the premises where it is sold (other than
	4150	+	22 alcoholic beverages, food consisting of or infused with
	4151	+	23 adult use cannabis, soft drinks, candy, and food that has
	4152	+	24 been prepared for immediate consumption). This item (49)
	4153	+	25 is exempt from the provisions of Section 2-70.
	4154	+	26 (Source: P.A. 102-16, eff. 6-17-21; 102-634, eff. 8-27-21;
	4155	+
	4156	+
	4157	+
	4158	+
	4159	+
	4160	+	HB3144 Enrolled - 116 - LRB103 26309 HLH 52670 b
	4161	+
	4162	+
	4163	+	HB3144 Enrolled- 117 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 117 - LRB103 26309 HLH 52670 b
	4164	+	HB3144 Enrolled - 117 - LRB103 26309 HLH 52670 b
	4165	+	1 102-700, Article 70, Section 70-20, eff. 4-19-22; 102-700,
	4166	+	2 Article 75, Section 75-20, eff. 4-19-22; 102-813, eff.
	4167	+	3 5-13-22; 102-1026, eff. 5-27-22; 103-9, Article 5, Section
	4168	+	4 5-20, eff. 6-7-23; 103-9, Article 15, Section 15-20, eff.
	4169	+	5 6-7-23; 103-154, eff. 6-30-23; 103-384, eff. 1-1-24; revised
	4170	+	6 12-12-23.)
	4171	+	7 (35 ILCS 120/2-10)
	4172	+	8 Sec. 2-10. Rate of tax. Unless otherwise provided in this
	4173	+	9 Section, the tax imposed by this Act is at the rate of 6.25% of
	4174	+	10 gross receipts from sales of tangible personal property made
	4175	+	11 in the course of business.
	4176	+	12 Beginning on July 1, 2000 and through December 31, 2000,
	4177	+	13 with respect to motor fuel, as defined in Section 1.1 of the
	4178	+	14 Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
	4179	+	15 the Use Tax Act, the tax is imposed at the rate of 1.25%.
	4180	+	16 Beginning on August 6, 2010 through August 15, 2010, and
	4181	+	17 beginning again on August 5, 2022 through August 14, 2022,
	4182	+	18 with respect to sales tax holiday items as defined in Section
	4183	+	19 2-8 of this Act, the tax is imposed at the rate of 1.25%.
	4184	+	20 Within 14 days after July 1, 2000 (the effective date of
	4185	+	21 Public Act 91-872), each retailer of motor fuel and gasohol
	4186	+	22 shall cause the following notice to be posted in a prominently
	4187	+	23 visible place on each retail dispensing device that is used to
	4188	+	24 dispense motor fuel or gasohol in the State of Illinois: "As of
	4189	+	25 July 1, 2000, the State of Illinois has eliminated the State's
	4190	+
	4191	+
	4192	+
	4193	+
	4194	+
	4195	+	HB3144 Enrolled - 117 - LRB103 26309 HLH 52670 b
	4196	+
	4197	+
	4198	+	HB3144 Enrolled- 118 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 118 - LRB103 26309 HLH 52670 b
	4199	+	HB3144 Enrolled - 118 - LRB103 26309 HLH 52670 b
	4200	+	1 share of sales tax on motor fuel and gasohol through December
	4201	+	2 31, 2000. The price on this pump should reflect the
	4202	+	3 elimination of the tax." The notice shall be printed in bold
	4203	+	4 print on a sign that is no smaller than 4 inches by 8 inches.
	4204	+	5 The sign shall be clearly visible to customers. Any retailer
	4205	+	6 who fails to post or maintain a required sign through December
	4206	+	7 31, 2000 is guilty of a petty offense for which the fine shall
	4207	+	8 be $500 per day per each retail premises where a violation
	4208	+	9 occurs.
	4209	+	10 With respect to gasohol, as defined in the Use Tax Act, the
	4210	+	11 tax imposed by this Act applies to (i) 70% of the proceeds of
	4211	+	12 sales made on or after January 1, 1990, and before July 1,
	4212	+	13 2003, (ii) 80% of the proceeds of sales made on or after July
	4213	+	14 1, 2003 and on or before July 1, 2017, (iii) 100% of the
	4214	+	15 proceeds of sales made after July 1, 2017 and prior to January
	4215	+	16 1, 2024, (iv) 90% of the proceeds of sales made on or after
	4216	+	17 January 1, 2024 and on or before December 31, 2028, and (v)
	4217	+	18 100% of the proceeds of sales made after December 31, 2028. If,
	4218	+	19 at any time, however, the tax under this Act on sales of
	4219	+	20 gasohol, as defined in the Use Tax Act, is imposed at the rate
	4220	+	21 of 1.25%, then the tax imposed by this Act applies to 100% of
	4221	+	22 the proceeds of sales of gasohol made during that time.
	4222	+	23 With respect to mid-range ethanol blends, as defined in
	4223	+	24 Section 3-44.3 of the Use Tax Act, the tax imposed by this Act
	4224	+	25 applies to (i) 80% of the proceeds of sales made on or after
	4225	+	26 January 1, 2024 and on or before December 31, 2028 and (ii)
	4226	+
	4227	+
	4228	+
	4229	+
	4230	+
	4231	+	HB3144 Enrolled - 118 - LRB103 26309 HLH 52670 b
	4232	+
	4233	+
	4234	+	HB3144 Enrolled- 119 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 119 - LRB103 26309 HLH 52670 b
	4235	+	HB3144 Enrolled - 119 - LRB103 26309 HLH 52670 b
	4236	+	1 100% of the proceeds of sales made after December 31, 2028. If,
	4237	+	2 at any time, however, the tax under this Act on sales of
	4238	+	3 mid-range ethanol blends is imposed at the rate of 1.25%, then
	4239	+	4 the tax imposed by this Act applies to 100% of the proceeds of
	4240	+	5 sales of mid-range ethanol blends made during that time.
	4241	+	6 With respect to majority blended ethanol fuel, as defined
	4242	+	7 in the Use Tax Act, the tax imposed by this Act does not apply
	4243	+	8 to the proceeds of sales made on or after July 1, 2003 and on
	4244	+	9 or before December 31, 2028 but applies to 100% of the proceeds
	4245	+	10 of sales made thereafter.
	4246	+	11 With respect to biodiesel blends, as defined in the Use
	4247	+	12 Tax Act, with no less than 1% and no more than 10% biodiesel,
	4248	+	13 the tax imposed by this Act applies to (i) 80% of the proceeds
	4249	+	14 of sales made on or after July 1, 2003 and on or before
	4250	+	15 December 31, 2018 and (ii) 100% of the proceeds of sales made
	4251	+	16 after December 31, 2018 and before January 1, 2024. On and
	4252	+	17 after January 1, 2024 and on or before December 31, 2030, the
	4253	+	18 taxation of biodiesel, renewable diesel, and biodiesel blends
	4254	+	19 shall be as provided in Section 3-5.1 of the Use Tax Act. If,
	4255	+	20 at any time, however, the tax under this Act on sales of
	4256	+	21 biodiesel blends, as defined in the Use Tax Act, with no less
	4257	+	22 than 1% and no more than 10% biodiesel is imposed at the rate
	4258	+	23 of 1.25%, then the tax imposed by this Act applies to 100% of
	4259	+	24 the proceeds of sales of biodiesel blends with no less than 1%
	4260	+	25 and no more than 10% biodiesel made during that time.
	4261	+	26 With respect to biodiesel, as defined in the Use Tax Act,
	4262	+
	4263	+
	4264	+
	4265	+
	4266	+
	4267	+	HB3144 Enrolled - 119 - LRB103 26309 HLH 52670 b
	4268	+
	4269	+
	4270	+	HB3144 Enrolled- 120 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 120 - LRB103 26309 HLH 52670 b
	4271	+	HB3144 Enrolled - 120 - LRB103 26309 HLH 52670 b
	4272	+	1 and biodiesel blends, as defined in the Use Tax Act, with more
	4273	+	2 than 10% but no more than 99% biodiesel, the tax imposed by
	4274	+	3 this Act does not apply to the proceeds of sales made on or
	4275	+	4 after July 1, 2003 and on or before December 31, 2023. On and
	4276	+	5 after January 1, 2024 and on or before December 31, 2030, the
	4277	+	6 taxation of biodiesel, renewable diesel, and biodiesel blends
	4278	+	7 shall be as provided in Section 3-5.1 of the Use Tax Act.
	4279	+	8 Until July 1, 2022 and from beginning again on July 1, 2023
	4280	+	9 through December 31, 2025, with respect to food for human
	4281	+	10 consumption that is to be consumed off the premises where it is
	4282	+	11 sold (other than alcoholic beverages, food consisting of or
	4283	+	12 infused with adult use cannabis, soft drinks, and food that
	4284	+	13 has been prepared for immediate consumption), the tax is
	4285	+	14 imposed at the rate of 1%. Beginning July 1, 2022 and until
	4286	+	15 July 1, 2023, with respect to food for human consumption that
	4287	+	16 is to be consumed off the premises where it is sold (other than
	4288	+	17 alcoholic beverages, food consisting of or infused with adult
	4289	+	18 use cannabis, soft drinks, and food that has been prepared for
	4290	+	19 immediate consumption), the tax is imposed at the rate of 0%.
	4291	+	20 On and after January 1, 2026, food for human consumption that
	4292	+	21 is to be consumed off the premises where it is sold (other than
	4293	+	22 alcoholic beverages, food consisting of or infused with adult
	4294	+	23 use cannabis, soft drinks, candy, and food that has been
	4295	+	24 prepared for immediate consumption) is exempt from the tax
	4296	+	25 imposed by this Act.
	4297	+	26 With respect to prescription and nonprescription
	4298	+
	4299	+
	4300	+
	4301	+
	4302	+
	4303	+	HB3144 Enrolled - 120 - LRB103 26309 HLH 52670 b
	4304	+
	4305	+
	4306	+	HB3144 Enrolled- 121 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 121 - LRB103 26309 HLH 52670 b
	4307	+	HB3144 Enrolled - 121 - LRB103 26309 HLH 52670 b
	4308	+	1 medicines, drugs, medical appliances, products classified as
	4309	+	2 Class III medical devices by the United States Food and Drug
	4310	+	3 Administration that are used for cancer treatment pursuant to
	4311	+	4 a prescription, as well as any accessories and components
	4312	+	5 related to those devices, modifications to a motor vehicle for
	4313	+	6 the purpose of rendering it usable by a person with a
	4314	+	7 disability, and insulin, blood sugar testing materials,
	4315	+	8 syringes, and needles used by human diabetics, the tax is
	4316	+	9 imposed at the rate of 1%. For the purposes of this Section,
	4317	+	10 until September 1, 2009: the term "soft drinks" means any
	4318	+	11 complete, finished, ready-to-use, non-alcoholic drink, whether
	4319	+	12 carbonated or not, including, but not limited to, soda water,
	4320	+	13 cola, fruit juice, vegetable juice, carbonated water, and all
	4321	+	14 other preparations commonly known as soft drinks of whatever
	4322	+	15 kind or description that are contained in any closed or sealed
	4323	+	16 bottle, can, carton, or container, regardless of size; but
	4324	+	17 "soft drinks" does not include coffee, tea, non-carbonated
	4325	+	18 water, infant formula, milk or milk products as defined in the
	4326	+	19 Grade A Pasteurized Milk and Milk Products Act, or drinks
	4327	+	20 containing 50% or more natural fruit or vegetable juice.
	4328	+	21 Notwithstanding any other provisions of this Act,
	4329	+	22 beginning September 1, 2009, "soft drinks" means non-alcoholic
	4330	+	23 beverages that contain natural or artificial sweeteners. "Soft
	4331	+	24 drinks" does not include beverages that contain milk or milk
	4332	+	25 products, soy, rice or similar milk substitutes, or greater
	4333	+	26 than 50% of vegetable or fruit juice by volume.
	4334	+
	4335	+
	4336	+
	4337	+
	4338	+
	4339	+	HB3144 Enrolled - 121 - LRB103 26309 HLH 52670 b
	4340	+
	4341	+
	4342	+	HB3144 Enrolled- 122 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 122 - LRB103 26309 HLH 52670 b
	4343	+	HB3144 Enrolled - 122 - LRB103 26309 HLH 52670 b
	4344	+	1 Until August 1, 2009, and notwithstanding any other
	4345	+	2 provisions of this Act, "food for human consumption that is to
	4346	+	3 be consumed off the premises where it is sold" includes all
	4347	+	4 food sold through a vending machine, except soft drinks and
	4348	+	5 food products that are dispensed hot from a vending machine,
	4349	+	6 regardless of the location of the vending machine. Beginning
	4350	+	7 August 1, 2009, and notwithstanding any other provisions of
	4351	+	8 this Act, "food for human consumption that is to be consumed
	4352	+	9 off the premises where it is sold" includes all food sold
	4353	+	10 through a vending machine, except soft drinks, candy, and food
	4354	+	11 products that are dispensed hot from a vending machine,
	4355	+	12 regardless of the location of the vending machine.
	4356	+	13 Notwithstanding any other provisions of this Act,
	4357	+	14 beginning September 1, 2009, "food for human consumption that
	4358	+	15 is to be consumed off the premises where it is sold" does not
	4359	+	16 include candy. For purposes of this Section, "candy" means a
	4360	+	17 preparation of sugar, honey, or other natural or artificial
	4361	+	18 sweeteners in combination with chocolate, fruits, nuts or
	4362	+	19 other ingredients or flavorings in the form of bars, drops, or
	4363	+	20 pieces. "Candy" does not include any preparation that contains
	4364	+	21 flour or requires refrigeration.
	4365	+	22 Notwithstanding any other provisions of this Act,
	4366	+	23 beginning September 1, 2009, "nonprescription medicines and
	4367	+	24 drugs" does not include grooming and hygiene products. For
	4368	+	25 purposes of this Section, "grooming and hygiene products"
	4369	+	26 includes, but is not limited to, soaps and cleaning solutions,
	4370	+
	4371	+
	4372	+
	4373	+
	4374	+
	4375	+	HB3144 Enrolled - 122 - LRB103 26309 HLH 52670 b
	4376	+
	4377	+
	4378	+	HB3144 Enrolled- 123 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 123 - LRB103 26309 HLH 52670 b
	4379	+	HB3144 Enrolled - 123 - LRB103 26309 HLH 52670 b
	4380	+	1 shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
	4381	+	2 lotions and screens, unless those products are available by
	4382	+	3 prescription only, regardless of whether the products meet the
	4383	+	4 definition of "over-the-counter-drugs". For the purposes of
	4384	+	5 this paragraph, "over-the-counter-drug" means a drug for human
	4385	+	6 use that contains a label that identifies the product as a drug
	4386	+	7 as required by 21 CFR 201.66. The "over-the-counter-drug"
	4387	+	8 label includes:
	4388	+	9 (A) a "Drug Facts" panel; or
	4389	+	10 (B) a statement of the "active ingredient(s)" with a
	4390	+	11 list of those ingredients contained in the compound,
	4391	+	12 substance or preparation.
	4392	+	13 Beginning on January 1, 2014 (the effective date of Public
	4393	+	14 Act 98-122), "prescription and nonprescription medicines and
	4394	+	15 drugs" includes medical cannabis purchased from a registered
	4395	+	16 dispensing organization under the Compassionate Use of Medical
	4396	+	17 Cannabis Program Act.
	4397	+	18 As used in this Section, "adult use cannabis" means
	4398	+	19 cannabis subject to tax under the Cannabis Cultivation
	4399	+	20 Privilege Tax Law and the Cannabis Purchaser Excise Tax Law
	4400	+	21 and does not include cannabis subject to tax under the
	4401	+	22 Compassionate Use of Medical Cannabis Program Act.
	4402	+	23 (Source: P.A. 102-4, eff. 4-27-21; 102-700, Article 20,
	4403	+	24 Section 20-20, eff. 4-19-22; 102-700, Article 60, Section
	4404	+	25 60-30, eff. 4-19-22; 102-700, Article 65, Section 65-10, eff.
	4405	+	26 4-19-22; 103-9, eff. 6-7-23; 103-154, eff. 6-30-23.)
	4406	+
	4407	+
	4408	+
	4409	+
	4410	+
	4411	+	HB3144 Enrolled - 123 - LRB103 26309 HLH 52670 b
	4412	+
	4413	+
	4414	+	HB3144 Enrolled- 124 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 124 - LRB103 26309 HLH 52670 b
	4415	+	HB3144 Enrolled - 124 - LRB103 26309 HLH 52670 b
	4416	+	1 (35 ILCS 120/2-27)
	4417	+	2 Sec. 2-27. Prepaid telephone calling arrangements.
	4418	+	3 "Prepaid telephone calling arrangements" mean the right to
	4419	+	4 exclusively purchase telephone or telecommunications services
	4420	+	5 that must be paid for in advance and enable the origination of
	4421	+	6 one or more intrastate, interstate, or international telephone
	4422	+	7 calls or other telecommunications using an access number, an
	4423	+	8 authorization code, or both, whether manually or
	4424	+	9 electronically dialed, for which payment to a retailer must be
	4425	+	10 made in advance, provided that, unless recharged, no further
	4426	+	11 service is provided once that prepaid amount of service has
	4427	+	12 been consumed, and provided further that, on and after January
	4428	+	13 1, 2025, the telephone or telecommunications services included
	4429	+	14 in such arrangement are obtained through the purchase of a
	4430	+	15 preloaded phone, calling card, or other item of tangible
	4431	+	16 personal property. Prepaid telephone calling arrangements
	4432	+	17 include the recharge of a prepaid calling arrangement if and
	4433	+	18 only if, on and after January 1, 2025, the additional
	4434	+	19 telephone or telecommunications services included in the
	4435	+	20 recharge are obtained through the purchase of a preloaded
	4436	+	21 phone, calling card, or other item of tangible personal
	4437	+	22 property. For purposes of this Section, "recharge" means the
	4438	+	23 purchase of additional prepaid telephone or telecommunications
	4439	+	24 services whether or not the purchaser acquires a different
	4440	+	25 access number or authorization code. For purposes of this
	4441	+
	4442	+
	4443	+
	4444	+
	4445	+
	4446	+	HB3144 Enrolled - 124 - LRB103 26309 HLH 52670 b
	4447	+
	4448	+
	4449	+	HB3144 Enrolled- 125 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 125 - LRB103 26309 HLH 52670 b
	4450	+	HB3144 Enrolled - 125 - LRB103 26309 HLH 52670 b
	4451	+	1 Section, "telecommunications" means that term as defined in
	4452	+	2 Section 2 of the Telecommunications Excise Tax Act. "Prepaid
	4453	+	3 telephone calling arrangement" does not include an arrangement
	4454	+	4 whereby the service provider reflects the amount of the
	4455	+	5 purchase as a credit on an account for a customer under an
	4456	+	6 existing subscription plan, nor, on and after January 1, 2025,
	4457	+	7 does it include a recharge that is not obtained through the
	4458	+	8 purchase of a preloaded phone, calling card, or other item of
	4459	+	9 tangible personal property.
	4460	+	10 (Source: P.A. 91-870, eff. 6-22-00.)
	4461	+	11 Section 22. The Prepaid Wireless 9-1-1 Surcharge Act is
	4462	+	12 amended by changing Section 15 as follows:
	4463	+	13 (50 ILCS 753/15)
	4464	+	14 Sec. 15. Prepaid wireless 9-1-1 surcharge.
	4465	+	15 (a) Until September 30, 2015, there is hereby imposed on
	4466	+	16 consumers a prepaid wireless 9-1-1 surcharge of 1.5% per
	4467	+	17 retail transaction. Beginning October 1, 2015, the prepaid
	4468	+	18 wireless 9-1-1 surcharge shall be 3% per retail transaction.
	4469	+	19 Until December 31, 2023 and beginning July 1, 2024, the
	4470	+	20 surcharge authorized by this subsection (a) does not apply in
	4471	+	21 a home rule municipality having a population in excess of
	4472	+	22 500,000.
	4473	+	23 (a-5) On or after the effective date of this amendatory
	4474	+	24 Act of the 98th General Assembly and until December 31, 2023,
	4475	+
	4476	+
	4477	+
	4478	+
	4479	+
	4480	+	HB3144 Enrolled - 125 - LRB103 26309 HLH 52670 b
	4481	+
	4482	+
	4483	+	HB3144 Enrolled- 126 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 126 - LRB103 26309 HLH 52670 b
	4484	+	HB3144 Enrolled - 126 - LRB103 26309 HLH 52670 b
	4485	+	1 and from July 1, 2024 to July 1, 2029, a home rule municipality
	4486	+	2 having a population in excess of 500,000 on the effective date
	4487	+	3 of this amendatory Act may impose a prepaid wireless 9-1-1
	4488	+	4 surcharge not to exceed 9% per retail transaction sourced to
	4489	+	5 that jurisdiction and collected and remitted in accordance
	4490	+	6 with the provisions of subsection (b-5) of this Section.
	4491	+	7 (b) The prepaid wireless 9-1-1 surcharge shall be
	4492	+	8 collected by the seller from the consumer with respect to each
	4493	+	9 retail transaction occurring in this State and shall be
	4494	+	10 remitted to the Department by the seller as provided in this
	4495	+	11 Act. The amount of the prepaid wireless 9-1-1 surcharge shall
	4496	+	12 be separately stated as a distinct item apart from the charge
	4497	+	13 for the prepaid wireless telecommunications service on an
	4498	+	14 invoice, receipt, or other similar document that is provided
	4499	+	15 to the consumer by the seller or shall be otherwise disclosed
	4500	+	16 to the consumer. If the seller does not separately state the
	4501	+	17 surcharge as a distinct item to the consumer as provided in
	4502	+	18 this Section, then the seller shall maintain books and records
	4503	+	19 as required by this Act which clearly identify the amount of
	4504	+	20 the 9-1-1 surcharge for retail transactions.
	4505	+	21 For purposes of this subsection (b), a retail transaction
	4506	+	22 occurs in this State if (i) the retail transaction is made in
	4507	+	23 person by a consumer at the seller's business location and the
	4508	+	24 business is located within the State; (ii) the seller is a
	4509	+	25 provider and sells prepaid wireless telecommunications service
	4510	+	26 to a consumer located in Illinois; (iii) the retail
	4511	+
	4512	+
	4513	+
	4514	+
	4515	+
	4516	+	HB3144 Enrolled - 126 - LRB103 26309 HLH 52670 b
	4517	+
	4518	+
	4519	+	HB3144 Enrolled- 127 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 127 - LRB103 26309 HLH 52670 b
	4520	+	HB3144 Enrolled - 127 - LRB103 26309 HLH 52670 b
	4521	+	1 transaction is treated as occurring in this State for purposes
	4522	+	2 of the Retailers' Occupation Tax Act; or (iv) a seller that is
	4523	+	3 included within the definition of a "retailer maintaining a
	4524	+	4 place of business in this State" under Section 2 of the Use Tax
	4525	+	5 Act makes a sale of prepaid wireless telecommunications
	4526	+	6 service to a consumer located in Illinois. In the case of a
	4527	+	7 retail transaction which does not occur in person at a
	4528	+	8 seller's business location, if a consumer uses a credit card
	4529	+	9 to purchase prepaid wireless telecommunications service
	4530	+	10 on-line or over the telephone, and no product is shipped to the
	4531	+	11 consumer, the transaction occurs in this State if the billing
	4532	+	12 address for the consumer's credit card is in this State.
	4533	+	13 (b-5) The prepaid wireless 9-1-1 surcharge imposed under
	4534	+	14 subsection (a-5) of this Section shall be collected by the
	4535	+	15 seller from the consumer with respect to each retail
	4536	+	16 transaction occurring in the municipality imposing the
	4537	+	17 surcharge. The amount of the prepaid wireless 9-1-1 surcharge
	4538	+	18 shall be separately stated on an invoice, receipt, or other
	4539	+	19 similar document that is provided to the consumer by the
	4540	+	20 seller or shall be otherwise disclosed to the consumer. If the
	4541	+	21 seller does not separately state the surcharge as a distinct
	4542	+	22 item to the consumer as provided in this Section, then the
	4543	+	23 seller shall maintain books and records as required by this
	4544	+	24 Act which clearly identify the amount of the 9-1-1 surcharge
	4545	+	25 for retail transactions.
	4546	+	26 For purposes of this subsection (b-5), a retail
	4547	+
	4548	+
	4549	+
	4550	+
	4551	+
	4552	+	HB3144 Enrolled - 127 - LRB103 26309 HLH 52670 b
	4553	+
	4554	+
	4555	+	HB3144 Enrolled- 128 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 128 - LRB103 26309 HLH 52670 b
	4556	+	HB3144 Enrolled - 128 - LRB103 26309 HLH 52670 b
	4557	+	1 transaction occurs in the municipality if (i) the retail
	4558	+	2 transaction is made in person by a consumer at the seller's
	4559	+	3 business location and the business is located within the
	4560	+	4 municipality; (ii) the seller is a provider and sells prepaid
	4561	+	5 wireless telecommunications service to a consumer located in
	4562	+	6 the municipality; (iii) the retail transaction is treated as
	4563	+	7 occurring in the municipality for purposes of the Retailers'
	4564	+	8 Occupation Tax Act; or (iv) a seller that is included within
	4565	+	9 the definition of a "retailer maintaining a place of business
	4566	+	10 in this State" under Section 2 of the Use Tax Act makes a sale
	4567	+	11 of prepaid wireless telecommunications service to a consumer
	4568	+	12 located in the municipality. In the case of a retail
	4569	+	13 transaction which does not occur in person at a seller's
	4570	+	14 business location, if a consumer uses a credit card to
	4571	+	15 purchase prepaid wireless telecommunications service on-line
	4572	+	16 or over the telephone, and no product is shipped to the
	4573	+	17 consumer, the transaction occurs in the municipality if the
	4574	+	18 billing address for the consumer's credit card is in the
	4575	+	19 municipality.
	4576	+	20 (c) The prepaid wireless 9-1-1 surcharge is imposed on the
	4577	+	21 consumer and not on any provider. The seller shall be liable to
	4578	+	22 remit all prepaid wireless 9-1-1 surcharges that the seller
	4579	+	23 collects from consumers as provided in Section 20, including
	4580	+	24 all such surcharges that the seller is deemed to collect where
	4581	+	25 the amount of the surcharge has not been separately stated on
	4582	+	26 an invoice, receipt, or other similar document provided to the
	4583	+
	4584	+
	4585	+
	4586	+
	4587	+
	4588	+	HB3144 Enrolled - 128 - LRB103 26309 HLH 52670 b
	4589	+
	4590	+
	4591	+	HB3144 Enrolled- 129 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 129 - LRB103 26309 HLH 52670 b
	4592	+	HB3144 Enrolled - 129 - LRB103 26309 HLH 52670 b
	4593	+	1 consumer by the seller. The surcharge collected or deemed
	4594	+	2 collected by a seller shall constitute a debt owed by the
	4595	+	3 seller to this State, and any such surcharge actually
	4596	+	4 collected shall be held in trust for the benefit of the
	4597	+	5 Department.
	4598	+	6 For purposes of this subsection (c), the surcharge shall
	4599	+	7 not be imposed or collected from entities that have an active
	4600	+	8 tax exemption identification number issued by the Department
	4601	+	9 under Section 1g of the Retailers' Occupation Tax Act.
	4602	+	10 (d) The amount of the prepaid wireless 9-1-1 surcharge
	4603	+	11 that is collected by a seller from a consumer, if such amount
	4604	+	12 is separately stated on an invoice, receipt, or other similar
	4605	+	13 document provided to the consumer by the seller, shall not be
	4606	+	14 included in the base for measuring any tax, fee, surcharge, or
	4607	+	15 other charge that is imposed by this State, any political
	4608	+	16 subdivision of this State, or any intergovernmental agency.
	4609	+	17 (e) (Blank).
	4610	+	18 (e-5) Any changes in the rate of the surcharge imposed by a
	4611	+	19 municipality under the authority granted in subsection (a-5)
	4612	+	20 of this Section shall be effective on the first day of the
	4613	+	21 first calendar month to occur at least 60 days after the
	4614	+	22 enactment of the change. The Department shall provide not less
	4615	+	23 than 30 days' notice of the increase or reduction in the rate
	4616	+	24 of such surcharge on the Department's website.
	4617	+	25 (f) When prepaid wireless telecommunications service is
	4618	+	26 sold with one or more other products or services for a single,
	4619	+
	4620	+
	4621	+
	4622	+
	4623	+
	4624	+	HB3144 Enrolled - 129 - LRB103 26309 HLH 52670 b
	4625	+
	4626	+
	4627	+	HB3144 Enrolled- 130 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 130 - LRB103 26309 HLH 52670 b
	4628	+	HB3144 Enrolled - 130 - LRB103 26309 HLH 52670 b
	4629	+	1 non-itemized price, then the percentage specified in
	4630	+	2 subsection (a) or (a-5) of this Section 15 shall be applied to
	4631	+	3 the entire non-itemized price unless the seller elects to
	4632	+	4 apply the percentage to (i) the dollar amount of the prepaid
	4633	+	5 wireless telecommunications service if that dollar amount is
	4634	+	6 disclosed to the consumer or (ii) the portion of the price that
	4635	+	7 is attributable to the prepaid wireless telecommunications
	4636	+	8 service if the retailer can identify that portion by
	4637	+	9 reasonable and verifiable standards from its books and records
	4638	+	10 that are kept in the regular course of business for other
	4639	+	11 purposes, including, but not limited to, books and records
	4640	+	12 that are kept for non-tax purposes. However, if a minimal
	4641	+	13 amount of prepaid wireless telecommunications service is sold
	4642	+	14 with a prepaid wireless device for a single, non-itemized
	4643	+	15 price, then the seller may elect not to apply the percentage
	4644	+	16 specified in subsection (a) or (a-5) of this Section 15 to such
	4645	+	17 transaction. For purposes of this subsection, an amount of
	4646	+	18 service denominated as 10 minutes or less or $5 or less is
	4647	+	19 considered minimal.
	4648	+	20 (g) The prepaid wireless 9-1-1 surcharge imposed under
	4649	+	21 subsections (a) and (a-5) of this Section is not imposed on the
	4650	+	22 provider or the consumer for wireless Lifeline service where
	4651	+	23 the consumer does not pay the provider for the service. Where
	4652	+	24 the consumer purchases from the provider optional minutes,
	4653	+	25 texts, or other services in addition to the federally funded
	4654	+	26 Lifeline benefit, a consumer must pay the prepaid wireless
	4655	+
	4656	+
	4657	+
	4658	+
	4659	+
	4660	+	HB3144 Enrolled - 130 - LRB103 26309 HLH 52670 b
	4661	+
	4662	+
	4663	+	HB3144 Enrolled- 131 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 131 - LRB103 26309 HLH 52670 b
	4664	+	HB3144 Enrolled - 131 - LRB103 26309 HLH 52670 b
	4665	+	1 9-1-1 surcharge, and it must be collected by the seller
	4666	+	2 according to subsection (b-5).
	4667	+	3 (Source: P.A. 102-9, eff. 6-3-21; 103-564, eff. 11-17-23.)
	4668	+	4 Section 25. The Counties Code is amended by changing
	4669	+	5 Sections 5-1009, 5-1030, and 5-1134 and by adding Section
	4670	+	6 5-1006.9 as follows:
	4671	+	7 (55 ILCS 5/5-1006.9 new)
	4672	+	8 Sec. 5-1006.9. County Grocery Occupation Tax Law.
	4673	+	9 (a) The corporate authorities of any county may, by
	4674	+	10 ordinance or resolution that takes effect on or after January
	4675	+	11 1, 2026, impose a tax upon all persons engaged in the business
	4676	+	12 of selling groceries at retail in the county, but outside of
	4677	+	13 any municipality, on the gross receipts from those sales made
	4678	+	14 in the course of that business. If imposed, the tax shall be at
	4679	+	15 the rate of 1% of the gross receipts from these sales.
	4680	+	16 The tax imposed by a county under this subsection and all
	4681	+	17 civil penalties that may be assessed as an incident of the tax
	4682	+	18 shall be collected and enforced by the Department. The
	4683	+	19 certificate of registration that is issued by the Department
	4684	+	20 to a retailer under the Retailers' Occupation Tax Act shall
	4685	+	21 permit the retailer to engage in a business that is taxable
	4686	+	22 under any ordinance or resolution enacted under this
	4687	+	23 subsection without registering separately with the Department
	4688	+	24 under that ordinance or resolution or under this subsection.
	4689	+
	4690	+
	4691	+
	4692	+
	4693	+
	4694	+	HB3144 Enrolled - 131 - LRB103 26309 HLH 52670 b
	4695	+
	4696	+
	4697	+	HB3144 Enrolled- 132 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 132 - LRB103 26309 HLH 52670 b
	4698	+	HB3144 Enrolled - 132 - LRB103 26309 HLH 52670 b
	4699	+	1 The Department shall have full power to administer and
	4700	+	2 enforce this subsection; to collect all taxes and penalties
	4701	+	3 due under this subsection; to dispose of taxes and penalties
	4702	+	4 so collected in the manner provided in this Section and under
	4703	+	5 rules adopted by the Department; and to determine all rights
	4704	+	6 to credit memoranda arising on account of the erroneous
	4705	+	7 payment of tax or penalty under this subsection.
	4706	+	8 In the administration of, and compliance with, this
	4707	+	9 subsection, the Department and persons who are subject to this
	4708	+	10 subsection shall have the same rights, remedies, privileges,
	4709	+	11 immunities, powers, and duties, and be subject to the same
	4710	+	12 conditions, restrictions, limitations, penalties and
	4711	+	13 definitions of terms, and employ the same modes of procedure,
	4712	+	14 as are prescribed in Sections 1, 2 through 2-65 (in respect to
	4713	+	15 all provisions therein other than the State rate of tax), 2c, 3
	4714	+	16 (except as to the disposition of taxes and penalties
	4715	+	17 collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a,
	4716	+	18 6b, 6c, 6d, 7, 8, 9, 10, 11, 11a, 12 and 13 of the Retailers'
	4717	+	19 Occupation Tax Act and all of the Uniform Penalty and Interest
	4718	+	20 Act, as fully as if those provisions were set forth in this
	4719	+	21 Section.
	4720	+	22 Persons subject to any tax imposed under the authority
	4721	+	23 granted in this subsection may reimburse themselves for their
	4722	+	24 seller's tax liability hereunder by separately stating that
	4723	+	25 tax as an additional charge, which charge may be stated in
	4724	+	26 combination, in a single amount, with State tax that sellers
	4725	+
	4726	+
	4727	+
	4728	+
	4729	+
	4730	+	HB3144 Enrolled - 132 - LRB103 26309 HLH 52670 b
	4731	+
	4732	+
	4733	+	HB3144 Enrolled- 133 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 133 - LRB103 26309 HLH 52670 b
	4734	+	HB3144 Enrolled - 133 - LRB103 26309 HLH 52670 b
	4735	+	1 are required to collect under the Use Tax Act, pursuant to such
	4736	+	2 bracket schedules as the Department may prescribe.
	4737	+	3 (b) If a tax has been imposed under subsection (a), then a
	4738	+	4 service occupation tax must also be imposed at the same rate
	4739	+	5 upon all persons engaged, in the county but outside of a
	4740	+	6 municipality, in the business of making sales of service, who,
	4741	+	7 as an incident to making those sales of service, transfer
	4742	+	8 groceries, as defined in this Section, as an incident to a sale
	4743	+	9 of service.
	4744	+	10 The tax imposed under this subsection and all civil
	4745	+	11 penalties that may be assessed as an incident thereof shall be
	4746	+	12 collected and enforced by the Department. The certificate of
	4747	+	13 registration that is issued by the Department to a retailer
	4748	+	14 under the Retailers' Occupation Tax Act or the Service
	4749	+	15 Occupation Tax Act shall permit the registrant to engage in a
	4750	+	16 business that is taxable under any ordinance or resolution
	4751	+	17 enacted pursuant to this subsection without registering
	4752	+	18 separately with the Department under the ordinance or
	4753	+	19 resolution or under this subsection.
	4754	+	20 The Department shall have full power to administer and
	4755	+	21 enforce this subsection, to collect all taxes and penalties
	4756	+	22 due under this subsection, to dispose of taxes and penalties
	4757	+	23 so collected in the manner provided in this Section and under
	4758	+	24 rules adopted by the Department, and to determine all rights
	4759	+	25 to credit memoranda arising on account of the erroneous
	4760	+	26 payment of a tax or penalty under this subsection.
	4761	+
	4762	+
	4763	+
	4764	+
	4765	+
	4766	+	HB3144 Enrolled - 133 - LRB103 26309 HLH 52670 b
	4767	+
	4768	+
	4769	+	HB3144 Enrolled- 134 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 134 - LRB103 26309 HLH 52670 b
	4770	+	HB3144 Enrolled - 134 - LRB103 26309 HLH 52670 b
	4771	+	1 In the administration of and compliance with this
	4772	+	2 subsection, the Department and persons who are subject to this
	4773	+	3 subsection shall have the same rights, remedies, privileges,
	4774	+	4 immunities, powers and duties, and be subject to the same
	4775	+	5 conditions, restrictions, limitations, penalties and
	4776	+	6 definitions of terms, and employ the same modes of procedure
	4777	+	7 as are set forth in Sections 2, 2c, 3 through 3-50 (in respect
	4778	+	8 to all provisions contained in those Sections other than the
	4779	+	9 State rate of tax), 4, 5, 7, 8, 9 (except as to the disposition
	4780	+	10 of taxes and penalties collected), 10, 11, 12, 13, 15, 16, 17,
	4781	+	11 18, 19, and 20 of the Service Occupation Tax Act and all
	4782	+	12 provisions of the Uniform Penalty and Interest Act, as fully
	4783	+	13 as if those provisions were set forth in this Section.
	4784	+	14 Persons subject to any tax imposed under the authority
	4785	+	15 granted in this subsection may reimburse themselves for their
	4786	+	16 serviceman's tax liability by separately stating the tax as an
	4787	+	17 additional charge, which may be stated in combination, in a
	4788	+	18 single amount, with State tax that servicemen are authorized
	4789	+	19 to collect under the Service Use Tax Act, pursuant to any
	4790	+	20 bracketed schedules set forth by the Department.
	4791	+	21 (c) The Department shall immediately pay over to the State
	4792	+	22 Treasurer, ex officio, as trustee, all taxes and penalties
	4793	+	23 collected under this Section. Those taxes and penalties shall
	4794	+	24 be deposited into the County Grocery Tax Trust Fund, a trust
	4795	+	25 fund created in the State treasury. Except as otherwise
	4796	+	26 provided in this Section, moneys in the County Grocery Tax
	4797	+
	4798	+
	4799	+
	4800	+
	4801	+
	4802	+	HB3144 Enrolled - 134 - LRB103 26309 HLH 52670 b
	4803	+
	4804	+
	4805	+	HB3144 Enrolled- 135 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 135 - LRB103 26309 HLH 52670 b
	4806	+	HB3144 Enrolled - 135 - LRB103 26309 HLH 52670 b
	4807	+	1 Trust Fund shall be used to make payments to counties and for
	4808	+	2 the payment of refunds under this Section.
	4809	+	3 Moneys deposited into the County Grocery Tax Trust Fund
	4810	+	4 under this Section are not subject to appropriation and shall
	4811	+	5 be used as provided in this Section. All deposits into the
	4812	+	6 County Grocery Tax Trust Fund shall be held in the County
	4813	+	7 Grocery Tax Trust Fund by the State Treasurer, ex officio, as
	4814	+	8 trustee separate and apart from all public moneys or funds of
	4815	+	9 this State.
	4816	+	10 Whenever the Department determines that a refund should be
	4817	+	11 made under this Section to a claimant instead of issuing a
	4818	+	12 credit memorandum, the Department shall notify the State
	4819	+	13 Comptroller, who shall cause the order to be drawn for the
	4820	+	14 amount specified and to the person named in the notification
	4821	+	15 from the Department. The refund shall be paid by the State
	4822	+	16 Treasurer out of the County Grocery Tax Trust Fund.
	4823	+	17 (d) As soon as possible after the first day of each month,
	4824	+	18 upon certification of the Department, the Comptroller shall
	4825	+	19 order transferred, and the Treasurer shall transfer, to the
	4826	+	20 STAR Bonds Revenue Fund the local sales tax increment, if any,
	4827	+	21 as defined in the Innovation Development and Economy Act,
	4828	+	22 collected under this Section.
	4829	+	23 After the monthly transfer to the STAR Bonds Revenue Fund,
	4830	+	24 if any, on or before the 25th day of each calendar month, the
	4831	+	25 Department shall prepare and certify to the Comptroller the
	4832	+	26 disbursement of stated sums of money to named counties, the
	4833	+
	4834	+
	4835	+
	4836	+
	4837	+
	4838	+	HB3144 Enrolled - 135 - LRB103 26309 HLH 52670 b
	4839	+
	4840	+
	4841	+	HB3144 Enrolled- 136 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 136 - LRB103 26309 HLH 52670 b
	4842	+	HB3144 Enrolled - 136 - LRB103 26309 HLH 52670 b
	4843	+	1 counties to be those from which retailers have paid taxes or
	4844	+	2 penalties under this Section to the Department during the
	4845	+	3 second preceding calendar month. The amount to be paid to each
	4846	+	4 county shall be the amount (not including credit memoranda)
	4847	+	5 collected under this Section during the second preceding
	4848	+	6 calendar month by the Department plus an amount the Department
	4849	+	7 determines is necessary to offset any amounts that were
	4850	+	8 erroneously paid to a different taxing body, and not including
	4851	+	9 an amount equal to the amount of refunds made during the second
	4852	+	10 preceding calendar month by the Department on behalf of such
	4853	+	11 county, and not including any amount that the Department
	4854	+	12 determines is necessary to offset any amounts that were
	4855	+	13 payable to a different taxing body but were erroneously paid
	4856	+	14 to the county, and not including any amounts that are
	4857	+	15 transferred to the STAR Bonds Revenue Fund. Within 10 days
	4858	+	16 after receipt by the Comptroller of the disbursement
	4859	+	17 certification to the counties provided for in this Section to
	4860	+	18 be given to the Comptroller by the Department, the Comptroller
	4861	+	19 shall cause the orders to be drawn for the amounts in
	4862	+	20 accordance with the directions contained in the certification.
	4863	+	21 (e) Nothing in this Section shall be construed to
	4864	+	22 authorize a county to impose a tax upon the privilege of
	4865	+	23 engaging in any business which under the Constitution of the
	4866	+	24 United States may not be made the subject of taxation by this
	4867	+	25 State.
	4868	+	26 (f) Except as otherwise provided in this subsection, an
	4869	+
	4870	+
	4871	+
	4872	+
	4873	+
	4874	+	HB3144 Enrolled - 136 - LRB103 26309 HLH 52670 b
	4875	+
	4876	+
	4877	+	HB3144 Enrolled- 137 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 137 - LRB103 26309 HLH 52670 b
	4878	+	HB3144 Enrolled - 137 - LRB103 26309 HLH 52670 b
	4879	+	1 ordinance or resolution imposing or discontinuing the tax
	4880	+	2 hereunder or effecting a change in the rate thereof shall
	4881	+	3 either (i) be adopted and a certified copy thereof filed with
	4882	+	4 the Department on or before the first day of April, whereupon
	4883	+	5 the Department shall proceed to administer and enforce this
	4884	+	6 Section as of the first day of July next following the adoption
	4885	+	7 and filing, or (ii) be adopted and a certified copy thereof
	4886	+	8 filed with the Department on or before the first day of
	4887	+	9 October, whereupon the Department shall proceed to administer
	4888	+	10 and enforce this Section as of the first day of January next
	4889	+	11 following the adoption and filing.
	4890	+	12 (g) When certifying the amount of a monthly disbursement
	4891	+	13 to a county under this Section, the Department shall increase
	4892	+	14 or decrease the amount by an amount necessary to offset any
	4893	+	15 misallocation of previous disbursements. The offset amount
	4894	+	16 shall be the amount erroneously disbursed within the previous
	4895	+	17 6 months from the time a misallocation is discovered.
	4896	+	18 (h) As used in this Section, "Department" means the
	4897	+	19 Department of Revenue.
	4898	+	20 For purposes of the tax authorized to be imposed under
	4899	+	21 subsection (a), "groceries" has the same meaning as "food for
	4900	+	22 human consumption that is to be consumed off the premises
	4901	+	23 where it is sold (other than alcoholic beverages, food
	4902	+	24 consisting of or infused with adult use cannabis, soft drinks,
	4903	+	25 candy, and food that has been prepared for immediate
	4904	+	26 consumption)", as further defined in Section 2-10 of the
	4905	+
	4906	+
	4907	+
	4908	+
	4909	+
	4910	+	HB3144 Enrolled - 137 - LRB103 26309 HLH 52670 b
	4911	+
	4912	+
	4913	+	HB3144 Enrolled- 138 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 138 - LRB103 26309 HLH 52670 b
	4914	+	HB3144 Enrolled - 138 - LRB103 26309 HLH 52670 b
	4915	+	1 Retailers' Occupation Tax Act.
	4916	+	2 For purposes of the tax authorized to be imposed under
	4917	+	3 subsection (b), "groceries" has the same meaning as "food for
	4918	+	4 human consumption that is to be consumed off the premises
	4919	+	5 where it is sold (other than alcoholic beverages, food
	4920	+	6 consisting of or infused with adult use cannabis, soft drinks,
	4921	+	7 candy, and food that has been prepared for immediate
	4922	+	8 consumption)", as further defined in Section 3-10 of the
	4923	+	9 Service Occupation Tax Act.
	4924	+	10 For purposes of the tax authorized to be imposed under
	4925	+	11 subsection (b), "groceries" also means food prepared for
	4926	+	12 immediate consumption and transferred incident to a sale of
	4927	+	13 service subject to the Service Occupation Tax Act or the
	4928	+	14 Service Use Tax Act by an entity licensed under the Hospital
	4929	+	15 Licensing Act, the Nursing Home Care Act, the Assisted Living
	4930	+	16 and Shared Housing Act, the ID/DD Community Care Act, the
	4931	+	17 MC/DD Act, the Specialized Mental Health Rehabilitation Act of
	4932	+	18 2013, or the Child Care Act of 1969, or an entity that holds a
	4933	+	19 permit issued pursuant to the Life Care Facilities Act.
	4934	+	20 (i) This Section may be referred to as the County Grocery
	4935	+	21 Occupation Tax Law.
	4936	+	22 (55 ILCS 5/5-1009) (from Ch. 34, par. 5-1009)
	4937	+	23 Sec. 5-1009. Limitation on home rule powers. Except as
	4938	+	24 provided in Sections 5-1006, 5-1006.5, 5-1006.8, 5-1006.9
	4939	+	25 5-1007, and 5-1008, on and after September 1, 1990, no home
	4940	+
	4941	+
	4942	+
	4943	+
	4944	+
	4945	+	HB3144 Enrolled - 138 - LRB103 26309 HLH 52670 b
	4946	+
	4947	+
	4948	+	HB3144 Enrolled- 139 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 139 - LRB103 26309 HLH 52670 b
	4949	+	HB3144 Enrolled - 139 - LRB103 26309 HLH 52670 b
	4950	+	1 rule county has the authority to impose, pursuant to its home
	4951	+	2 rule authority, a retailers' occupation tax, service
	4952	+	3 occupation tax, use tax, sales tax or other tax on the use,
	4953	+	4 sale or purchase of tangible personal property based on the
	4954	+	5 gross receipts from such sales or the selling or purchase
	4955	+	6 price of said tangible personal property. Notwithstanding the
	4956	+	7 foregoing, this Section does not preempt any home rule imposed
	4957	+	8 tax such as the following: (1) a tax on alcoholic beverages,
	4958	+	9 whether based on gross receipts, volume sold or any other
	4959	+	10 measurement; (2) a tax based on the number of units of
	4960	+	11 cigarettes or tobacco products; (3) a tax, however measured,
	4961	+	12 based on the use of a hotel or motel room or similar facility;
	4962	+	13 (4) a tax, however measured, on the sale or transfer of real
	4963	+	14 property; (5) a tax, however measured, on lease receipts; (6)
	4964	+	15 a tax on food prepared for immediate consumption and on
	4965	+	16 alcoholic beverages sold by a business which provides for on
	4966	+	17 premise consumption of said food or alcoholic beverages; or
	4967	+	18 (7) other taxes not based on the selling or purchase price or
	4968	+	19 gross receipts from the use, sale or purchase of tangible
	4969	+	20 personal property. This Section does not preempt a home rule
	4970	+	21 county from imposing a tax, however measured, on the use, for
	4971	+	22 consideration, of a parking lot, garage, or other parking
	4972	+	23 facility.
	4973	+	24 On and after December 1, 2019, no home rule county has the
	4974	+	25 authority to impose, pursuant to its home rule authority, a
	4975	+	26 tax, however measured, on sales of aviation fuel, as defined
	4976	+
	4977	+
	4978	+
	4979	+
	4980	+
	4981	+	HB3144 Enrolled - 139 - LRB103 26309 HLH 52670 b
	4982	+
	4983	+
	4984	+	HB3144 Enrolled- 140 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 140 - LRB103 26309 HLH 52670 b
	4985	+	HB3144 Enrolled - 140 - LRB103 26309 HLH 52670 b
	4986	+	1 in Section 3 of the Retailers' Occupation Tax Act, unless the
	4987	+	2 tax revenue is expended for airport-related purposes. For
	4988	+	3 purposes of this Section, "airport-related purposes" has the
	4989	+	4 meaning ascribed in Section 6z-20.2 of the State Finance Act.
	4990	+	5 Aviation fuel shall be excluded from tax only for so long as
	4991	+	6 the revenue use requirements of 49 U.S.C. 47017(b) and 49
	4992	+	7 U.S.C. 47133 are binding on the county.
	4993	+	8 This Section is a limitation, pursuant to subsection (g)
	4994	+	9 of Section 6 of Article VII of the Illinois Constitution, on
	4995	+	10 the power of home rule units to tax. The changes made to this
	4996	+	11 Section by Public Act 101-10 are a denial and limitation of
	4997	+	12 home rule powers and functions under subsection (g) of Section
	4998	+	13 6 of Article VII of the Illinois Constitution.
	4999	+	14 (Source: P.A. 101-10, eff. 6-5-19; 101-27, eff. 6-25-19;
	5000	+	15 102-558, eff. 8-20-21.)
	5001	+	16 (55 ILCS 5/5-1030) (from Ch. 34, par. 5-1030)
	5002	+	17 Sec. 5-1030. Hotel rooms, tax on gross rental receipts.
	5003	+	18 (a) The corporate authorities of any county may by
	5004	+	19 ordinance impose a tax upon all persons engaged in such county
	5005	+	20 in the business of renting, leasing or letting rooms in a hotel
	5006	+	21 which is not located within a city, village, or incorporated
	5007	+	22 town that imposes a tax under Section 8-3-14 of the Illinois
	5008	+	23 Municipal Code, as defined in "The Hotel Operators' Occupation
	5009	+	24 Tax Act", at a rate not to exceed 5% of the gross rental
	5010	+	25 receipts from such renting, leasing or letting, excluding,
	5011	+
	5012	+
	5013	+
	5014	+
	5015	+
	5016	+	HB3144 Enrolled - 140 - LRB103 26309 HLH 52670 b
	5017	+
	5018	+
	5019	+	HB3144 Enrolled- 141 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 141 - LRB103 26309 HLH 52670 b
	5020	+	HB3144 Enrolled - 141 - LRB103 26309 HLH 52670 b
	5021	+	1 however, from gross rental receipts, the proceeds of such
	5022	+	2 renting, leasing or letting to permanent residents of that
	5023	+	3 hotel, and may provide for the administration and enforcement
	5024	+	4 of the tax, and for the collection thereof from the persons
	5025	+	5 subject to the tax, as the corporate authorities determine to
	5026	+	6 be necessary or practicable for the effective administration
	5027	+	7 of the tax.
	5028	+	8 (b) With the consent of municipalities representing at
	5029	+	9 least 67% of the population of Winnebago County, as determined
	5030	+	10 by the 2010 federal decennial census and as expressed by
	5031	+	11 resolution of the corporate authorities of those
	5032	+	12 municipalities, the county board of Winnebago County may, by
	5033	+	13 ordinance, impose a tax upon all persons engaged in the county
	5034	+	14 in the business of renting, leasing, or letting rooms in a
	5035	+	15 hotel that imposes a tax under Section 8-3-14 of the Illinois
	5036	+	16 Municipal Code, as defined in the "The Hotel Operators'
	5037	+	17 Occupation Tax Act", at a rate not to exceed 2% of the gross
	5038	+	18 rental receipts from renting, leasing, or letting, excluding,
	5039	+	19 however, from gross rental receipts, the proceeds of the
	5040	+	20 renting, leasing, or letting to permanent residents of that
	5041	+	21 hotel, and may provide for the administration and enforcement
	5042	+	22 of the tax, and for the collection thereof from the persons
	5043	+	23 subject to the tax, as the county board determines to be
	5044	+	24 necessary or practicable for the effective administration of
	5045	+	25 the tax. The tax shall be instituted on a county-wide basis and
	5046	+	26 shall be in addition to any tax imposed by this or any other
	5047	+
	5048	+
	5049	+
	5050	+
	5051	+
	5052	+	HB3144 Enrolled - 141 - LRB103 26309 HLH 52670 b
	5053	+
	5054	+
	5055	+	HB3144 Enrolled- 142 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 142 - LRB103 26309 HLH 52670 b
	5056	+	HB3144 Enrolled - 142 - LRB103 26309 HLH 52670 b
	5057	+	1 provision of law. The revenue generated under this subsection
	5058	+	2 shall be accounted for and segregated from all other funds of
	5059	+	3 the county and shall be utilized solely for either: (1)
	5060	+	4 encouraging, supporting, marketing, constructing, or
	5061	+	5 operating, either directly by the county or through other
	5062	+	6 taxing bodies within the county, sports, arts, or other
	5063	+	7 entertainment or tourism facilities or programs for the
	5064	+	8 purpose of promoting tourism, competitiveness, job growth, and
	5065	+	9 for the general health and well-being of the citizens of the
	5066	+	10 county; or (2) payment towards debt services on bonds issued
	5067	+	11 for the purposes set forth in this subsection.
	5068	+	12 (b-5) The county board of Sangamon County may, by
	5069	+	13 ordinance, impose a tax upon all persons engaged in the county
	5070	+	14 in the business of renting, leasing, or letting rooms in a
	5071	+	15 hotel that imposes a tax under Section 8-3-14 of the Illinois
	5072	+	16 Municipal Code, as defined in the Hotel Operators' Occupation
	5073	+	17 Tax Act, at a rate not to exceed 3% of the gross rental
	5074	+	18 receipts from renting, leasing, or letting, excluding,
	5075	+	19 however, from gross rental receipts, the proceeds of the
	5076	+	20 renting, leasing, or letting to permanent residents of that
	5077	+	21 hotel, and may provide for the administration and enforcement
	5078	+	22 of the tax, and for the collection thereof from the persons
	5079	+	23 subject to the tax, as the county board determines to be
	5080	+	24 necessary or practicable for the effective administration of
	5081	+	25 the tax. The tax shall be instituted on a county-wide basis and
	5082	+	26 shall be in addition to any tax imposed by this or any other
	5083	+
	5084	+
	5085	+
	5086	+
	5087	+
	5088	+	HB3144 Enrolled - 142 - LRB103 26309 HLH 52670 b
	5089	+
	5090	+
	5091	+	HB3144 Enrolled- 143 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 143 - LRB103 26309 HLH 52670 b
	5092	+	HB3144 Enrolled - 143 - LRB103 26309 HLH 52670 b
	5093	+	1 provision of law. The revenue generated under this subsection
	5094	+	2 shall be accounted for and segregated from all other funds of
	5095	+	3 the county and shall be used solely for either: (1)
	5096	+	4 encouraging, supporting, marketing, constructing, or
	5097	+	5 operating, either directly by the county or through other
	5098	+	6 taxing bodies within the county, sports, arts, or other
	5099	+	7 entertainment or tourism facilities or programs for the
	5100	+	8 purpose of promoting tourism, competitiveness, job growth, and
	5101	+	9 for the general health and well-being of the citizens of the
	5102	+	10 county; or (2) payment towards debt services on bonds issued
	5103	+	11 for the purposes set forth in this subsection.
	5104	+	12 (c) A Tourism Facility Board shall be established,
	5105	+	13 comprised of a representative from the county and from each
	5106	+	14 municipality that has approved the imposition of the tax under
	5107	+	15 subsection (b) of this Section.
	5108	+	16 (1) A Board member's vote is weighted based on the
	5109	+	17 municipality's population relative to the population of
	5110	+	18 the county, with the county representing the population
	5111	+	19 within unincorporated areas of the county. Representatives
	5112	+	20 from the Rockford Park District and Rockford Area
	5113	+	21 Convention and Visitors Bureau shall serve as ex-officio
	5114	+	22 members with no voting rights.
	5115	+	23 (2) The Board must meet not less frequently than once
	5116	+	24 per year to direct the use of revenues collected from the
	5117	+	25 tax imposed under subsection (b) of this Section that are
	5118	+	26 not already directed for use pursuant to an
	5119	+
	5120	+
	5121	+
	5122	+
	5123	+
	5124	+	HB3144 Enrolled - 143 - LRB103 26309 HLH 52670 b
	5125	+
	5126	+
	5127	+	HB3144 Enrolled- 144 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 144 - LRB103 26309 HLH 52670 b
	5128	+	HB3144 Enrolled - 144 - LRB103 26309 HLH 52670 b
	5129	+	1 intergovernmental agreement between the county and another
	5130	+	2 entity represented on the Board, including the ex-officio
	5131	+	3 members, and for any other reason the Board deems
	5132	+	4 necessary. Affirmative actions of the Board shall require
	5133	+	5 a weighted vote of Board members representing not less
	5134	+	6 than 67% of the population of the county.
	5135	+	7 (3) The Board shall not be a separate unit of local
	5136	+	8 government, shall have no paid staff, and members of the
	5137	+	9 Board shall receive no compensation or reimbursement of
	5138	+	10 expenses from proceeds of the tax imposed under subsection
	5139	+	11 (b) of this Section.
	5140	+	12 (d) Persons subject to any tax imposed pursuant to
	5141	+	13 authority granted by this Section may reimburse themselves for
	5142	+	14 their tax liability for such tax by separately stating such
	5143	+	15 tax as an additional charge, which charge may be stated in
	5144	+	16 combination, in a single amount, with State tax imposed under
	5145	+	17 "The Hotel Operators' Occupation Tax Act".
	5146	+	18 Nothing in this Section shall be construed to authorize a
	5147	+	19 county to impose a tax upon the privilege of engaging in any
	5148	+	20 business which under the Constitution of the United States may
	5149	+	21 not be made the subject of taxation by this State.
	5150	+	22 An ordinance or resolution imposing a tax hereunder or
	5151	+	23 effecting a change in the rate thereof shall be effective on
	5152	+	24 the first day of the calendar month next following its passage
	5153	+	25 and required publication.
	5154	+	26 The amounts collected by any county pursuant to this
	5155	+
	5156	+
	5157	+
	5158	+
	5159	+
	5160	+	HB3144 Enrolled - 144 - LRB103 26309 HLH 52670 b
	5161	+
	5162	+
	5163	+	HB3144 Enrolled- 145 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 145 - LRB103 26309 HLH 52670 b
	5164	+	HB3144 Enrolled - 145 - LRB103 26309 HLH 52670 b
	5165	+	1 Section shall be expended to promote tourism; conventions;
	5166	+	2 expositions; theatrical, sports and cultural activities within
	5167	+	3 that county or otherwise to attract nonresident overnight
	5168	+	4 visitors to the county.
	5169	+	5 Any county may agree with any unit of local government,
	5170	+	6 including any authority defined as a metropolitan exposition,
	5171	+	7 auditorium and office building authority, fair and exposition
	5172	+	8 authority, exposition and auditorium authority, or civic
	5173	+	9 center authority created pursuant to provisions of Illinois
	5174	+	10 law and the territory of which unit of local government or
	5175	+	11 authority is co-extensive with or wholly within such county,
	5176	+	12 to impose and collect for a period not to exceed 40 years, any
	5177	+	13 portion or all of the tax authorized pursuant to this Section
	5178	+	14 and to transmit such tax so collected to such unit of local
	5179	+	15 government or authority. The amount so paid shall be expended
	5180	+	16 by any such unit of local government or authority for the
	5181	+	17 purposes for which such tax is authorized. Any such agreement
	5182	+	18 must be authorized by resolution or ordinance, as the case may
	5183	+	19 be, of such county and unit of local government or authority,
	5184	+	20 and such agreement may provide for the irrevocable imposition
	5185	+	21 and collection of said tax at such rate, or amount as limited
	5186	+	22 by a given rate, as may be agreed upon for the full period of
	5187	+	23 time set forth in such agreement; and such agreement may
	5188	+	24 further provide for any other terms as deemed necessary or
	5189	+	25 advisable by such county and such unit of local government or
	5190	+	26 authority. Any such agreement shall be binding and enforceable
	5191	+
	5192	+
	5193	+
	5194	+
	5195	+
	5196	+	HB3144 Enrolled - 145 - LRB103 26309 HLH 52670 b
	5197	+
	5198	+
	5199	+	HB3144 Enrolled- 146 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 146 - LRB103 26309 HLH 52670 b
	5200	+	HB3144 Enrolled - 146 - LRB103 26309 HLH 52670 b
	5201	+	1 by either party to such agreement. Such agreement entered into
	5202	+	2 pursuant to this Section shall not in any event constitute an
	5203	+	3 indebtedness of such county subject to any limitation imposed
	5204	+	4 by statute or otherwise.
	5205	+	5 (Source: P.A. 98-313, eff. 8-12-13.)
	5206	+	6 (55 ILCS 5/5-1134)
	5207	+	7 Sec. 5-1134. Project labor agreements.
	5208	+	8 (a) Any sports, arts, or entertainment facilities that
	5209	+	9 receive revenue from a tax imposed under subsection (b) or
	5210	+	10 (b-5) of Section 5-1030 of this Code shall be considered to be
	5211	+	11 public works within the meaning of the Prevailing Wage Act.
	5212	+	12 The county authorities responsible for the construction,
	5213	+	13 renovation, modification, or alteration of the sports, arts,
	5214	+	14 or entertainment facilities shall enter into project labor
	5215	+	15 agreements with labor organizations as defined in the National
	5216	+	16 Labor Relations Act to assure that no labor dispute interrupts
	5217	+	17 or interferes with the construction, renovation, modification,
	5218	+	18 or alteration of the projects.
	5219	+	19 (b) The project labor agreements must include the
	5220	+	20 following:
	5221	+	21 (1) provisions establishing the minimum hourly wage
	5222	+	22 for each class of labor organization employees;
	5223	+	23 (2) provisions establishing the benefits and other
	5224	+	24 compensation for such class of labor organization; and
	5225	+	25 (3) provisions establishing that no strike or disputes
	5226	+
	5227	+
	5228	+
	5229	+
	5230	+
	5231	+	HB3144 Enrolled - 146 - LRB103 26309 HLH 52670 b
	5232	+
	5233	+
	5234	+	HB3144 Enrolled- 147 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 147 - LRB103 26309 HLH 52670 b
	5235	+	HB3144 Enrolled - 147 - LRB103 26309 HLH 52670 b
	5236	+	1 will be engaged in by the labor organization employees.
	5237	+	2 The county, taxing bodies, municipalities, and the labor
	5238	+	3 organizations shall have the authority to include other terms
	5239	+	4 and conditions as they deem necessary.
	5240	+	5 (c) The project labor agreement shall be filed with the
	5241	+	6 Director of the Illinois Department of Labor in accordance
	5242	+	7 with procedures established by the Department. At a minimum,
	5243	+	8 the project labor agreement must provide the names, addresses,
	5244	+	9 and occupations of the owner of the facilities and the
	5245	+	10 individuals representing the labor organization employees
	5246	+	11 participating in the project labor agreement. The agreement
	5247	+	12 must also specify the terms and conditions required in
	5248	+	13 subsection (b) of this Section.
	5249	+	14 (d) In any agreement for the construction or
	5250	+	15 rehabilitation of a facility using revenue generated under
	5251	+	16 subsection (b) or (b-5) of Section 5-1030 of this Code, in
	5252	+	17 connection with the prequalification of general contractors
	5253	+	18 for construction or rehabilitation of the facility, it shall
	5254	+	19 be required that a commitment will be submitted detailing how
	5255	+	20 the general contractor will expend 15% or more of the
	5256	+	21 aggregate dollar value of the project as a whole with one or
	5257	+	22 more minority-owned businesses, women-owned businesses, or
	5258	+	23 businesses owned by a person with a disability, as these terms
	5259	+	24 are defined in Section 2 of the Business Enterprise for
	5260	+	25 Minorities, Women, and Persons with Disabilities Act.
	5261	+	26 (Source: P.A. 100-391, eff. 8-25-17.)
	5262	+
	5263	+
	5264	+
	5265	+
	5266	+
	5267	+	HB3144 Enrolled - 147 - LRB103 26309 HLH 52670 b
	5268	+
	5269	+
	5270	+	HB3144 Enrolled- 148 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 148 - LRB103 26309 HLH 52670 b
	5271	+	HB3144 Enrolled - 148 - LRB103 26309 HLH 52670 b
	5272	+	1 Section 30. The Illinois Municipal Code is amended by
	5273	+	2 changing Sections 8-11-1.1 and 8-11-6a and adding Section
	5274	+	3 8-11-24 as follows:
	5275	+	4 (65 ILCS 5/8-11-1.1) (from Ch. 24, par. 8-11-1.1)
	5276	+	5 Sec. 8-11-1.1. Non-home rule municipalities; imposition of
	5277	+	6 taxes.
	5278	+	7 (a) The corporate authorities of a non-home rule
	5279	+	8 municipality may, upon approval of the electors of the
	5280	+	9 municipality pursuant to subsection (b) of this Section,
	5281	+	10 impose by ordinance or resolution the taxes tax authorized in
	5282	+	11 Sections 8-11-1.3, 8-11-1.4 and 8-11-1.5 of this Act.
	5283	+	12 (b) (Blank). The corporate authorities of the municipality
	5284	+	13 may by ordinance or resolution call for the submission to the
	5285	+	14 electors of the municipality the question of whether the
	5286	+	15 municipality shall impose such tax. Such question shall be
	5287	+	16 certified by the municipal clerk to the election authority in
	5288	+	17 accordance with Section 28-5 of the Election Code and shall be
	5289	+	18 in a form in accordance with Section 16-7 of the Election Code.
	5290	+	19 Notwithstanding any provision of law to the contrary, if
	5291	+	20 the proceeds of the tax may be used for municipal operations
	5292	+	21 pursuant to Section 8-11-1.3, 8-11-1.4, or 8-11-1.5, then the
	5293	+	22 election authority must submit the question in substantially
	5294	+	23 the following form:
	5295	+	24 Shall the corporate authorities of the municipality be
	5296	+
	5297	+
	5298	+
	5299	+
	5300	+
	5301	+	HB3144 Enrolled - 148 - LRB103 26309 HLH 52670 b
	5302	+
	5303	+
	5304	+	HB3144 Enrolled- 149 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 149 - LRB103 26309 HLH 52670 b
	5305	+	HB3144 Enrolled - 149 - LRB103 26309 HLH 52670 b
	5306	+	1 authorized to levy a tax at a rate of (rate)% for
	5307	+	2 expenditures on municipal operations, expenditures on
	5308	+	3 public infrastructure, or property tax relief?
	5309	+	4 If a majority of the electors in the municipality voting
	5310	+	5 upon the question vote in the affirmative, such tax shall be
	5311	+	6 imposed.
	5312	+	7 (c) Until January 1, 1992, an ordinance or resolution
	5313	+	8 imposing the tax of not more than 1% hereunder or
	5314	+	9 discontinuing the same shall be adopted and a certified copy
	5315	+	10 thereof, together with a certification that the ordinance or
	5316	+	11 resolution received referendum approval in the case of the
	5317	+	12 imposition of such tax, filed with the Department of Revenue,
	5318	+	13 on or before the first day of June, whereupon the Department
	5319	+	14 shall proceed to administer and enforce the additional tax or
	5320	+	15 to discontinue the tax, as the case may be, as of the first day
	5321	+	16 of September next following such adoption and filing.
	5322	+	17 Beginning January 1, 1992 and through December 31, 1992,
	5323	+	18 an ordinance or resolution imposing or discontinuing the tax
	5324	+	19 hereunder shall be adopted and a certified copy thereof filed
	5325	+	20 with the Department on or before the first day of July,
	5326	+	21 whereupon the Department shall proceed to administer and
	5327	+	22 enforce this Section as of the first day of October next
	5328	+	23 following such adoption and filing.
	5329	+	24 Beginning January 1, 1993, and through September 30, 2002,
	5330	+	25 an ordinance or resolution imposing or discontinuing the tax
	5331	+	26 hereunder shall be adopted and a certified copy thereof filed
	5332	+
	5333	+
	5334	+
	5335	+
	5336	+
	5337	+	HB3144 Enrolled - 149 - LRB103 26309 HLH 52670 b
	5338	+
	5339	+
	5340	+	HB3144 Enrolled- 150 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 150 - LRB103 26309 HLH 52670 b
	5341	+	HB3144 Enrolled - 150 - LRB103 26309 HLH 52670 b
	5342	+	1 with the Department on or before the first day of October,
	5343	+	2 whereupon the Department shall proceed to administer and
	5344	+	3 enforce this Section as of the first day of January next
	5345	+	4 following such adoption and filing.
	5346	+	5 Beginning October 1, 2002, and through December 31, 2013,
	5347	+	6 an ordinance or resolution imposing or discontinuing the tax
	5348	+	7 under this Section or effecting a change in the rate of tax
	5349	+	8 must either (i) be adopted and a certified copy of the
	5350	+	9 ordinance or resolution filed with the Department on or before
	5351	+	10 the first day of April, whereupon the Department shall proceed
	5352	+	11 to administer and enforce this Section as of the first day of
	5353	+	12 July next following the adoption and filing; or (ii) be
	5354	+	13 adopted and a certified copy of the ordinance or resolution
	5355	+	14 filed with the Department on or before the first day of
	5356	+	15 October, whereupon the Department shall proceed to administer
	5357	+	16 and enforce this Section as of the first day of January next
	5358	+	17 following the adoption and filing.
	5359	+	18 Beginning January 1, 2014, if an ordinance or resolution
	5360	+	19 imposing the tax under this Section, discontinuing the tax
	5361	+	20 under this Section, or effecting a change in the rate of tax
	5362	+	21 under this Section is adopted, a certified copy thereof,
	5363	+	22 together with a certification that the ordinance or resolution
	5364	+	23 received referendum approval in the case of the imposition of
	5365	+	24 or increase in the rate of such tax, shall be filed with the
	5366	+	25 Department of Revenue, either (i) on or before the first day of
	5367	+	26 May, whereupon the Department shall proceed to administer and
	5368	+
	5369	+
	5370	+
	5371	+
	5372	+
	5373	+	HB3144 Enrolled - 150 - LRB103 26309 HLH 52670 b
	5374	+
	5375	+
	5376	+	HB3144 Enrolled- 151 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 151 - LRB103 26309 HLH 52670 b
	5377	+	HB3144 Enrolled - 151 - LRB103 26309 HLH 52670 b
	5378	+	1 enforce this Section as of the first day of July next following
	5379	+	2 the adoption and filing; or (ii) on or before the first day of
	5380	+	3 October, whereupon the Department shall proceed to administer
	5381	+	4 and enforce this Section as of the first day of January next
	5382	+	5 following the adoption and filing.
	5383	+	6 Notwithstanding any provision in this Section to the
	5384	+	7 contrary, if, in a non-home rule municipality with more than
	5385	+	8 150,000 but fewer than 200,000 inhabitants, as determined by
	5386	+	9 the last preceding federal decennial census, an ordinance or
	5387	+	10 resolution under this Section imposes or discontinues a tax or
	5388	+	11 changes the tax rate as of July 1, 2007, then that ordinance or
	5389	+	12 resolution, together with a certification that the ordinance
	5390	+	13 or resolution received referendum approval in the case of the
	5391	+	14 imposition of the tax, must be adopted and a certified copy of
	5392	+	15 that ordinance or resolution must be filed with the Department
	5393	+	16 on or before May 15, 2007, whereupon the Department shall
	5394	+	17 proceed to administer and enforce this Section as of July 1,
	5395	+	18 2007.
	5396	+	19 Notwithstanding any provision in this Section to the
	5397	+	20 contrary, if, in a non-home rule municipality with more than
	5398	+	21 6,500 but fewer than 7,000 inhabitants, as determined by the
	5399	+	22 last preceding federal decennial census, an ordinance or
	5400	+	23 resolution under this Section imposes or discontinues a tax or
	5401	+	24 changes the tax rate on or before May 20, 2009, then that
	5402	+	25 ordinance or resolution, together with a certification that
	5403	+	26 the ordinance or resolution received referendum approval in
	5404	+
	5405	+
	5406	+
	5407	+
	5408	+
	5409	+	HB3144 Enrolled - 151 - LRB103 26309 HLH 52670 b
	5410	+
	5411	+
	5412	+	HB3144 Enrolled- 152 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 152 - LRB103 26309 HLH 52670 b
	5413	+	HB3144 Enrolled - 152 - LRB103 26309 HLH 52670 b
	5414	+	1 the case of the imposition of the tax, must be adopted and a
	5415	+	2 certified copy of that ordinance or resolution must be filed
	5416	+	3 with the Department on or before May 20, 2009, whereupon the
	5417	+	4 Department shall proceed to administer and enforce this
	5418	+	5 Section as of July 1, 2009.
	5419	+	6 A non-home rule municipality may file a certified copy of
	5420	+	7 an ordinance or resolution, with a certification that the
	5421	+	8 ordinance or resolution received referendum approval in the
	5422	+	9 case of the imposition of the tax, with the Department of
	5423	+	10 Revenue, as required under this Section, only after October 2,
	5424	+	11 2000.
	5425	+	12 The tax authorized by this Section may not be more than 1%
	5426	+	13 and may be imposed only in 1/4% increments.
	5427	+	14 (Source: P.A. 98-584, eff. 8-27-13.)
	5428	+	15 (65 ILCS 5/8-11-6a) (from Ch. 24, par. 8-11-6a)
	5429	+	16 Sec. 8-11-6a. Home rule municipalities; preemption of
	5430	+	17 certain taxes. Except as provided in Sections 8-11-1, 8-11-5,
	5431	+	18 8-11-6, 8-11-6b, 8-11-6c, 8-11-23, 8-11-24, and 11-74.3-6 on
	5432	+	19 and after September 1, 1990, no home rule municipality has the
	5433	+	20 authority to impose, pursuant to its home rule authority, a
	5434	+	21 retailer's occupation tax, service occupation tax, use tax,
	5435	+	22 sales tax or other tax on the use, sale or purchase of tangible
	5436	+	23 personal property based on the gross receipts from such sales
	5437	+	24 or the selling or purchase price of said tangible personal
	5438	+	25 property. Notwithstanding the foregoing, this Section does not
	5439	+
	5440	+
	5441	+
	5442	+
	5443	+
	5444	+	HB3144 Enrolled - 152 - LRB103 26309 HLH 52670 b
	5445	+
	5446	+
	5447	+	HB3144 Enrolled- 153 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 153 - LRB103 26309 HLH 52670 b
	5448	+	HB3144 Enrolled - 153 - LRB103 26309 HLH 52670 b
	5449	+	1 preempt any home rule imposed tax such as the following: (1) a
	5450	+	2 tax on alcoholic beverages, whether based on gross receipts,
	5451	+	3 volume sold or any other measurement; (2) a tax based on the
	5452	+	4 number of units of cigarettes or tobacco products (provided,
	5453	+	5 however, that a home rule municipality that has not imposed a
	5454	+	6 tax based on the number of units of cigarettes or tobacco
	5455	+	7 products before July 1, 1993, shall not impose such a tax after
	5456	+	8 that date); (3) a tax, however measured, based on the use of a
	5457	+	9 hotel or motel room or similar facility; (4) a tax, however
	5458	+	10 measured, on the sale or transfer of real property; (5) a tax,
	5459	+	11 however measured, on lease receipts; (6) a tax on food
	5460	+	12 prepared for immediate consumption and on alcoholic beverages
	5461	+	13 sold by a business which provides for on premise consumption
	5462	+	14 of said food or alcoholic beverages; or (7) other taxes not
	5463	+	15 based on the selling or purchase price or gross receipts from
	5464	+	16 the use, sale or purchase of tangible personal property. This
	5465	+	17 Section does not preempt a home rule municipality with a
	5466	+	18 population of more than 2,000,000 from imposing a tax, however
	5467	+	19 measured, on the use, for consideration, of a parking lot,
	5468	+	20 garage, or other parking facility. This Section is not
	5469	+	21 intended to affect any existing tax on food and beverages
	5470	+	22 prepared for immediate consumption on the premises where the
	5471	+	23 sale occurs, or any existing tax on alcoholic beverages, or
	5472	+	24 any existing tax imposed on the charge for renting a hotel or
	5473	+	25 motel room, which was in effect January 15, 1988, or any
	5474	+	26 extension of the effective date of such an existing tax by
	5475	+
	5476	+
	5477	+
	5478	+
	5479	+
	5480	+	HB3144 Enrolled - 153 - LRB103 26309 HLH 52670 b
	5481	+
	5482	+
	5483	+	HB3144 Enrolled- 154 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 154 - LRB103 26309 HLH 52670 b
	5484	+	HB3144 Enrolled - 154 - LRB103 26309 HLH 52670 b
	5485	+	1 ordinance of the municipality imposing the tax, which
	5486	+	2 extension is hereby authorized, in any non-home rule
	5487	+	3 municipality in which the imposition of such a tax has been
	5488	+	4 upheld by judicial determination, nor is this Section intended
	5489	+	5 to preempt the authority granted by Public Act 85-1006. On and
	5490	+	6 after December 1, 2019, no home rule municipality has the
	5491	+	7 authority to impose, pursuant to its home rule authority, a
	5492	+	8 tax, however measured, on sales of aviation fuel, as defined
	5493	+	9 in Section 3 of the Retailers' Occupation Tax Act, unless the
	5494	+	10 tax is not subject to the revenue use requirements of 49 U.S.C.
	5495	+	11 47107(b) and 49 U.S.C. 47133, or unless the tax revenue is
	5496	+	12 expended for airport-related purposes. For purposes of this
	5497	+	13 Section, "airport-related purposes" has the meaning ascribed
	5498	+	14 in Section 6z-20.2 of the State Finance Act. Aviation fuel
	5499	+	15 shall be excluded from tax only if, and for so long as, the
	5500	+	16 revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
	5501	+	17 47133 are binding on the municipality. This Section is a
	5502	+	18 limitation, pursuant to subsection (g) of Section 6 of Article
	5503	+	19 VII of the Illinois Constitution, on the power of home rule
	5504	+	20 units to tax. The changes made to this Section by Public Act
	5505	+	21 101-10 are a denial and limitation of home rule powers and
	5506	+	22 functions under subsection (g) of Section 6 of Article VII of
	5507	+	23 the Illinois Constitution.
	5508	+	24 (Source: P.A. 101-10, eff. 6-5-19; 101-27, eff. 6-25-19;
	5509	+	25 101-593, eff. 12-4-19.)
	5510	+
	5511	+
	5512	+
	5513	+
	5514	+
	5515	+	HB3144 Enrolled - 154 - LRB103 26309 HLH 52670 b
	5516	+
	5517	+
	5518	+	HB3144 Enrolled- 155 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 155 - LRB103 26309 HLH 52670 b
	5519	+	HB3144 Enrolled - 155 - LRB103 26309 HLH 52670 b
	5520	+	1 (65 ILCS 5/8-11-24 new)
	5521	+	2 Sec. 8-11-24. Municipal Grocery Occupation Tax Law.
	5522	+	3 (a) The corporate authorities of any municipality may, by
	5523	+	4 ordinance or resolution that takes effect on or after January
	5524	+	5 1, 2026, impose a tax upon all persons engaged in the business
	5525	+	6 of selling groceries at retail in the municipality on the
	5526	+	7 gross receipts from those sales made in the course of that
	5527	+	8 business. If imposed, the tax shall be at the rate of 1% of the
	5528	+	9 gross receipts from these sales.
	5529	+	10 The tax imposed by a municipality under this subsection
	5530	+	11 and all civil penalties that may be assessed as an incident of
	5531	+	12 the tax shall be collected and enforced by the Department. The
	5532	+	13 certificate of registration that is issued by the Department
	5533	+	14 to a retailer under the Retailers' Occupation Tax Act shall
	5534	+	15 permit the retailer to engage in a business that is taxable
	5535	+	16 under any ordinance or resolution enacted under this
	5536	+	17 subsection without registering separately with the Department
	5537	+	18 under that ordinance or resolution or under this subsection.
	5538	+	19 The Department shall have full power to administer and
	5539	+	20 enforce this subsection; to collect all taxes and penalties
	5540	+	21 due under this subsection; to dispose of taxes and penalties
	5541	+	22 so collected in the manner provided in this Section and under
	5542	+	23 rules adopted by the Department; and to determine all rights
	5543	+	24 to credit memoranda arising on account of the erroneous
	5544	+	25 payment of tax or penalty under this subsection.
	5545	+	26 In the administration of, and compliance with, this
	5546	+
	5547	+
	5548	+
	5549	+
	5550	+
	5551	+	HB3144 Enrolled - 155 - LRB103 26309 HLH 52670 b
	5552	+
	5553	+
	5554	+	HB3144 Enrolled- 156 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 156 - LRB103 26309 HLH 52670 b
	5555	+	HB3144 Enrolled - 156 - LRB103 26309 HLH 52670 b
	5556	+	1 subsection, the Department and persons who are subject to this
	5557	+	2 subsection shall have the same rights, remedies, privileges,
	5558	+	3 immunities, powers, and duties, and be subject to the same
	5559	+	4 conditions, restrictions, limitations, penalties and
	5560	+	5 definitions of terms, and employ the same modes of procedure,
	5561	+	6 as are prescribed in Sections 1, 2 through 2-65 (in respect to
	5562	+	7 all provisions therein other than the State rate of tax), 2c, 3
	5563	+	8 (except as to the disposition of taxes and penalties
	5564	+	9 collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a,
	5565	+	10 6b, 6c, 6d, 7, 8, 9, 10, 11, 11a, 12 and 13 of the Retailers'
	5566	+	11 Occupation Tax Act and all of the Uniform Penalty and Interest
	5567	+	12 Act, as fully as if those provisions were set forth in this
	5568	+	13 Section.
	5569	+	14 Persons subject to any tax imposed under the authority
	5570	+	15 granted in this subsection may reimburse themselves for their
	5571	+	16 seller's tax liability hereunder by separately stating that
	5572	+	17 tax as an additional charge, which charge may be stated in
	5573	+	18 combination, in a single amount, with State tax which sellers
	5574	+	19 are required to collect under the Use Tax Act, pursuant to such
	5575	+	20 bracket schedules as the Department may prescribe.
	5576	+	21 (b) If a tax has been imposed under subsection (a), then a
	5577	+	22 service occupation tax must also be imposed at the same rate
	5578	+	23 upon all persons engaged, in the municipality, in the business
	5579	+	24 of making sales of service, who, as an incident to making those
	5580	+	25 sales of service, transfer groceries, as defined in this
	5581	+	26 Section, as an incident to a sale of service.
	5582	+
	5583	+
	5584	+
	5585	+
	5586	+
	5587	+	HB3144 Enrolled - 156 - LRB103 26309 HLH 52670 b
	5588	+
	5589	+
	5590	+	HB3144 Enrolled- 157 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 157 - LRB103 26309 HLH 52670 b
	5591	+	HB3144 Enrolled - 157 - LRB103 26309 HLH 52670 b
	5592	+	1 The tax imposed under this subsection and all civil
	5593	+	2 penalties that may be assessed as an incident thereof shall be
	5594	+	3 collected and enforced by the Department. The certificate of
	5595	+	4 registration that is issued by the Department to a retailer
	5596	+	5 under the Retailers' Occupation Tax Act or the Service
	5597	+	6 Occupation Tax Act shall permit the registrant to engage in a
	5598	+	7 business that is taxable under any ordinance or resolution
	5599	+	8 enacted pursuant to this subsection without registering
	5600	+	9 separately with the Department under the ordinance or
	5601	+	10 resolution or under this subsection.
	5602	+	11 The Department shall have full power to administer and
	5603	+	12 enforce this subsection, to collect all taxes and penalties
	5604	+	13 due under this subsection, to dispose of taxes and penalties
	5605	+	14 so collected in the manner provided in this Section and under
	5606	+	15 rules adopted by the Department, and to determine all rights
	5607	+	16 to credit memoranda arising on account of the erroneous
	5608	+	17 payment of a tax or penalty under this subsection.
	5609	+	18 In the administration of and compliance with this
	5610	+	19 subsection, the Department and persons who are subject to this
	5611	+	20 subsection shall have the same rights, remedies, privileges,
	5612	+	21 immunities, powers and duties, and be subject to the same
	5613	+	22 conditions, restrictions, limitations, penalties and
	5614	+	23 definitions of terms, and employ the same modes of procedure
	5615	+	24 as are set forth in Sections 2, 2c, 3 through 3-50 (in respect
	5616	+	25 to all provisions contained in those Sections other than the
	5617	+	26 State rate of tax), 4, 5, 7, 8, 9 (except as to the disposition
	5618	+
	5619	+
	5620	+
	5621	+
	5622	+
	5623	+	HB3144 Enrolled - 157 - LRB103 26309 HLH 52670 b
	5624	+
	5625	+
	5626	+	HB3144 Enrolled- 158 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 158 - LRB103 26309 HLH 52670 b
	5627	+	HB3144 Enrolled - 158 - LRB103 26309 HLH 52670 b
	5628	+	1 of taxes and penalties collected), 10, 11, 12, 13, 15, 16, 17,
	5629	+	2 18, 19, and 20 of the Service Occupation Tax Act and all
	5630	+	3 provisions of the Uniform Penalty and Interest Act, as fully
	5631	+	4 as if those provisions were set forth in this Section.
	5632	+	5 Persons subject to any tax imposed under the authority
	5633	+	6 granted in this subsection may reimburse themselves for their
	5634	+	7 serviceman's tax liability by separately stating the tax as an
	5635	+	8 additional charge, which may be stated in combination, in a
	5636	+	9 single amount, with State tax that servicemen are authorized
	5637	+	10 to collect under the Service Use Tax Act, pursuant to any
	5638	+	11 bracketed schedules set forth by the Department.
	5639	+	12 (c) The Department shall immediately pay over to the State
	5640	+	13 Treasurer, ex officio, as trustee, all taxes and penalties
	5641	+	14 collected under this Section. Those taxes and penalties shall
	5642	+	15 be deposited into the Municipal Grocery Tax Trust Fund, a
	5643	+	16 trust fund created in the State treasury. Except as otherwise
	5644	+	17 provided in this Section, moneys in the Municipal Grocery Tax
	5645	+	18 Trust Fund shall be used to make payments to municipalities
	5646	+	19 and for the payment of refunds under this Section.
	5647	+	20 Moneys deposited into the Municipal Grocery Tax Trust Fund
	5648	+	21 under this Section are not subject to appropriation and shall
	5649	+	22 be used as provided in this Section. All deposits into the
	5650	+	23 Municipal Grocery Tax Trust Fund shall be held in the
	5651	+	24 Municipal Grocery Tax Trust Fund by the State Treasurer, ex
	5652	+	25 officio, as trustee separate and apart from all public moneys
	5653	+	26 or funds of this State.
	5654	+
	5655	+
	5656	+
	5657	+
	5658	+
	5659	+	HB3144 Enrolled - 158 - LRB103 26309 HLH 52670 b
	5660	+
	5661	+
	5662	+	HB3144 Enrolled- 159 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 159 - LRB103 26309 HLH 52670 b
	5663	+	HB3144 Enrolled - 159 - LRB103 26309 HLH 52670 b
	5664	+	1 Whenever the Department determines that a refund should be
	5665	+	2 made under this Section to a claimant instead of issuing a
	5666	+	3 credit memorandum, the Department shall notify the State
	5667	+	4 Comptroller, who shall cause the order to be drawn for the
	5668	+	5 amount specified and to the person named in the notification
	5669	+	6 from the Department. The refund shall be paid by the State
	5670	+	7 Treasurer out of the Municipal Grocery Tax Trust Fund.
	5671	+	8 (d) As soon as possible after the first day of each month,
	5672	+	9 upon certification of the Department, the Comptroller shall
	5673	+	10 order transferred, and the Treasurer shall transfer, to the
	5674	+	11 STAR Bonds Revenue Fund the local sales tax increment, if any,
	5675	+	12 as defined in the Innovation Development and Economy Act,
	5676	+	13 collected under this Section.
	5677	+	14 After the monthly transfer to the STAR Bonds Revenue Fund,
	5678	+	15 if any, on or before the 25th day of each calendar month, the
	5679	+	16 Department shall prepare and certify to the Comptroller the
	5680	+	17 disbursement of stated sums of money to named municipalities,
	5681	+	18 the municipalities to be those from which retailers have paid
	5682	+	19 taxes or penalties under this Section to the Department during
	5683	+	20 the second preceding calendar month. The amount to be paid to
	5684	+	21 each municipality shall be the amount (not including credit
	5685	+	22 memoranda) collected under this Section during the second
	5686	+	23 preceding calendar month by the Department plus an amount the
	5687	+	24 Department determines is necessary to offset any amounts that
	5688	+	25 were erroneously paid to a different taxing body, and not
	5689	+	26 including an amount equal to the amount of refunds made during
	5690	+
	5691	+
	5692	+
	5693	+
	5694	+
	5695	+	HB3144 Enrolled - 159 - LRB103 26309 HLH 52670 b
	5696	+
	5697	+
	5698	+	HB3144 Enrolled- 160 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 160 - LRB103 26309 HLH 52670 b
	5699	+	HB3144 Enrolled - 160 - LRB103 26309 HLH 52670 b
	5700	+	1 the second preceding calendar month by the Department on
	5701	+	2 behalf of such municipality, and not including any amount that
	5702	+	3 the Department determines is necessary to offset any amounts
	5703	+	4 that were payable to a different taxing body but were
	5704	+	5 erroneously paid to the municipality, and not including any
	5705	+	6 amounts that are transferred to the STAR Bonds Revenue Fund.
	5706	+	7 Within 10 days after receipt by the Comptroller of the
	5707	+	8 disbursement certification to the municipalities provided for
	5708	+	9 in this Section to be given to the Comptroller by the
	5709	+	10 Department, the Comptroller shall cause the orders to be drawn
	5710	+	11 for the amounts in accordance with the directions contained in
	5711	+	12 the certification.
	5712	+	13 (e) Nothing in this Section shall be construed to
	5713	+	14 authorize a municipality to impose a tax upon the privilege of
	5714	+	15 engaging in any business which under the Constitution of the
	5715	+	16 United States may not be made the subject of taxation by this
	5716	+	17 State.
	5717	+	18 (f) Except as otherwise provided in this subsection, an
	5718	+	19 ordinance or resolution imposing or discontinuing the tax
	5719	+	20 hereunder or effecting a change in the rate thereof shall
	5720	+	21 either (i) be adopted and a certified copy thereof filed with
	5721	+	22 the Department on or before the first day of April, whereupon
	5722	+	23 the Department shall proceed to administer and enforce this
	5723	+	24 Section as of the first day of July next following the adoption
	5724	+	25 and filing or (ii) be adopted and a certified copy thereof
	5725	+	26 filed with the Department on or before the first day of
	5726	+
	5727	+
	5728	+
	5729	+
	5730	+
	5731	+	HB3144 Enrolled - 160 - LRB103 26309 HLH 52670 b
	5732	+
	5733	+
	5734	+	HB3144 Enrolled- 161 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 161 - LRB103 26309 HLH 52670 b
	5735	+	HB3144 Enrolled - 161 - LRB103 26309 HLH 52670 b
	5736	+	1 October, whereupon the Department shall proceed to administer
	5737	+	2 and enforce this Section as of the first day of January next
	5738	+	3 following the adoption and filing.
	5739	+	4 (g) When certifying the amount of a monthly disbursement
	5740	+	5 to a municipality under this Section, the Department shall
	5741	+	6 increase or decrease the amount by an amount necessary to
	5742	+	7 offset any misallocation of previous disbursements. The offset
	5743	+	8 amount shall be the amount erroneously disbursed within the
	5744	+	9 previous 6 months from the time a misallocation is discovered.
	5745	+	10 (h) As used in this Section, "Department" means the
	5746	+	11 Department of Revenue.
	5747	+	12 For purposes of the tax authorized to be imposed under
	5748	+	13 subsection (a), "groceries" has the same meaning as "food for
	5749	+	14 human consumption that is to be consumed off the premises
	5750	+	15 where it is sold (other than alcoholic beverages, food
	5751	+	16 consisting of or infused with adult use cannabis, soft drinks,
	5752	+	17 candy, and food that has been prepared for immediate
	5753	+	18 consumption)", as further defined in Section 2-10 of the
	5754	+	19 Retailers' Occupation Tax Act.
	5755	+	20 For purposes of the tax authorized to be imposed under
	5756	+	21 subsection (b), "groceries" has the same meaning as "food for
	5757	+	22 human consumption that is to be consumed off the premises
	5758	+	23 where it is sold (other than alcoholic beverages, food
	5759	+	24 consisting of or infused with adult use cannabis, soft drinks,
	5760	+	25 candy, and food that has been prepared for immediate
	5761	+	26 consumption)", as further defined in Section 3-10 of the
	5762	+
	5763	+
	5764	+
	5765	+
	5766	+
	5767	+	HB3144 Enrolled - 161 - LRB103 26309 HLH 52670 b
	5768	+
	5769	+
	5770	+	HB3144 Enrolled- 162 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 162 - LRB103 26309 HLH 52670 b
	5771	+	HB3144 Enrolled - 162 - LRB103 26309 HLH 52670 b
	5772	+	1 Service Occupation Tax Act. For purposes of the tax authorized
	5773	+	2 to be imposed under subsection (b), "groceries" also means
	5774	+	3 food prepared for immediate consumption and transferred
	5775	+	4 incident to a sale of service subject to the Service
	5776	+	5 Occupation Tax Act or the Service Use Tax Act by an entity
	5777	+	6 licensed under the Hospital Licensing Act, the Nursing Home
	5778	+	7 Care Act, the Assisted Living and Shared Housing Act, the
	5779	+	8 ID/DD Community Care Act, the MC/DD Act, the Specialized
	5780	+	9 Mental Health Rehabilitation Act of 2013, or the Child Care
	5781	+	10 Act of 1969, or an entity that holds a permit issued pursuant
	5782	+	11 to the Life Care Facilities Act.
	5783	+	12 (i) This Section may be referred to as the Municipal
	5784	+	13 Grocery Occupation Tax Law.
	5785	+	14 Section 35. The Regional Transportation Authority Act is
	5786	+	15 amended by changing Section 4.03 as follows:
	5787	+	16 (70 ILCS 3615/4.03) (from Ch. 111 2/3, par. 704.03)
	5788	+	17 Sec. 4.03. Taxes.
	5789	+	18 (a) In order to carry out any of the powers or purposes of
	5790	+	19 the Authority, the Board may by ordinance adopted with the
	5791	+	20 concurrence of 12 of the then Directors, impose throughout the
	5792	+	21 metropolitan region any or all of the taxes provided in this
	5793	+	22 Section. Except as otherwise provided in this Act, taxes
	5794	+	23 imposed under this Section and civil penalties imposed
	5795	+	24 incident thereto shall be collected and enforced by the State
	5796	+
	5797	+
	5798	+
	5799	+
	5800	+
	5801	+	HB3144 Enrolled - 162 - LRB103 26309 HLH 52670 b
	5802	+
	5803	+
	5804	+	HB3144 Enrolled- 163 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 163 - LRB103 26309 HLH 52670 b
	5805	+	HB3144 Enrolled - 163 - LRB103 26309 HLH 52670 b
	5806	+	1 Department of Revenue. The Department shall have the power to
	5807	+	2 administer and enforce the taxes and to determine all rights
	5808	+	3 for refunds for erroneous payments of the taxes. Nothing in
	5809	+	4 Public Act 95-708 is intended to invalidate any taxes
	5810	+	5 currently imposed by the Authority. The increased vote
	5811	+	6 requirements to impose a tax shall only apply to actions taken
	5812	+	7 after January 1, 2008 (the effective date of Public Act
	5813	+	8 95-708).
	5814	+	9 (b) The Board may impose a public transportation tax upon
	5815	+	10 all persons engaged in the metropolitan region in the business
	5816	+	11 of selling at retail motor fuel for operation of motor
	5817	+	12 vehicles upon public highways. The tax shall be at a rate not
	5818	+	13 to exceed 5% of the gross receipts from the sales of motor fuel
	5819	+	14 in the course of the business. As used in this Act, the term
	5820	+	15 "motor fuel" shall have the same meaning as in the Motor Fuel
	5821	+	16 Tax Law. The Board may provide for details of the tax. The
	5822	+	17 provisions of any tax shall conform, as closely as may be
	5823	+	18 practicable, to the provisions of the Municipal Retailers
	5824	+	19 Occupation Tax Act, including without limitation, conformity
	5825	+	20 to penalties with respect to the tax imposed and as to the
	5826	+	21 powers of the State Department of Revenue to promulgate and
	5827	+	22 enforce rules and regulations relating to the administration
	5828	+	23 and enforcement of the provisions of the tax imposed, except
	5829	+	24 that reference in the Act to any municipality shall refer to
	5830	+	25 the Authority and the tax shall be imposed only with regard to
	5831	+	26 receipts from sales of motor fuel in the metropolitan region,
	5832	+
	5833	+
	5834	+
	5835	+
	5836	+
	5837	+	HB3144 Enrolled - 163 - LRB103 26309 HLH 52670 b
	5838	+
	5839	+
	5840	+	HB3144 Enrolled- 164 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 164 - LRB103 26309 HLH 52670 b
	5841	+	HB3144 Enrolled - 164 - LRB103 26309 HLH 52670 b
	5842	+	1 at rates as limited by this Section.
	5843	+	2 (c) In connection with the tax imposed under paragraph (b)
	5844	+	3 of this Section, the Board may impose a tax upon the privilege
	5845	+	4 of using in the metropolitan region motor fuel for the
	5846	+	5 operation of a motor vehicle upon public highways, the tax to
	5847	+	6 be at a rate not in excess of the rate of tax imposed under
	5848	+	7 paragraph (b) of this Section. The Board may provide for
	5849	+	8 details of the tax.
	5850	+	9 (d) The Board may impose a motor vehicle parking tax upon
	5851	+	10 the privilege of parking motor vehicles at off-street parking
	5852	+	11 facilities in the metropolitan region at which a fee is
	5853	+	12 charged, and may provide for reasonable classifications in and
	5854	+	13 exemptions to the tax, for administration and enforcement
	5855	+	14 thereof and for civil penalties and refunds thereunder and may
	5856	+	15 provide criminal penalties thereunder, the maximum penalties
	5857	+	16 not to exceed the maximum criminal penalties provided in the
	5858	+	17 Retailers' Occupation Tax Act. The Authority may collect and
	5859	+	18 enforce the tax itself or by contract with any unit of local
	5860	+	19 government. The State Department of Revenue shall have no
	5861	+	20 responsibility for the collection and enforcement unless the
	5862	+	21 Department agrees with the Authority to undertake the
	5863	+	22 collection and enforcement. As used in this paragraph, the
	5864	+	23 term "parking facility" means a parking area or structure
	5865	+	24 having parking spaces for more than 2 vehicles at which motor
	5866	+	25 vehicles are permitted to park in return for an hourly, daily,
	5867	+	26 or other periodic fee, whether publicly or privately owned,
	5868	+
	5869	+
	5870	+
	5871	+
	5872	+
	5873	+	HB3144 Enrolled - 164 - LRB103 26309 HLH 52670 b
	5874	+
	5875	+
	5876	+	HB3144 Enrolled- 165 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 165 - LRB103 26309 HLH 52670 b
	5877	+	HB3144 Enrolled - 165 - LRB103 26309 HLH 52670 b
	5878	+	1 but does not include parking spaces on a public street, the use
	5879	+	2 of which is regulated by parking meters.
	5880	+	3 (e) The Board may impose a Regional Transportation
	5881	+	4 Authority Retailers' Occupation Tax upon all persons engaged
	5882	+	5 in the business of selling tangible personal property at
	5883	+	6 retail in the metropolitan region. In Cook County, the tax
	5884	+	7 rate shall be 1.25% of the gross receipts from sales of food
	5885	+	8 for human consumption that is to be consumed off the premises
	5886	+	9 where it is sold (other than alcoholic beverages, food
	5887	+	10 consisting of or infused with adult use cannabis, soft drinks,
	5888	+	11 candy, and food that has been prepared for immediate
	5889	+	12 consumption) and tangible personal property taxed at the 1%
	5890	+	13 rate under the Retailers' Occupation Tax Act (or at the 0% rate
	5891	+	14 imposed under this amendatory Act of the 102nd General
	5892	+	15 Assembly), and 1% of the gross receipts from other taxable
	5893	+	16 sales made in the course of that business. In DuPage, Kane,
	5894	+	17 Lake, McHenry, and Will counties, the tax rate shall be 0.75%
	5895	+	18 of the gross receipts from all taxable sales made in the course
	5896	+	19 of that business. The rate of tax imposed in DuPage, Kane,
	5897	+	20 Lake, McHenry, and Will counties under this Section on sales
	5898	+	21 of aviation fuel on or after December 1, 2019 shall, however,
	5899	+	22 be 0.25% unless the Regional Transportation Authority in
	5900	+	23 DuPage, Kane, Lake, McHenry, and Will counties has an
	5901	+	24 "airport-related purpose" and the additional 0.50% of the
	5902	+	25 0.75% tax on aviation fuel is expended for airport-related
	5903	+	26 purposes. If there is no airport-related purpose to which
	5904	+
	5905	+
	5906	+
	5907	+
	5908	+
	5909	+	HB3144 Enrolled - 165 - LRB103 26309 HLH 52670 b
	5910	+
	5911	+
	5912	+	HB3144 Enrolled- 166 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 166 - LRB103 26309 HLH 52670 b
	5913	+	HB3144 Enrolled - 166 - LRB103 26309 HLH 52670 b
	5914	+	1 aviation fuel tax revenue is dedicated, then aviation fuel is
	5915	+	2 excluded from the additional 0.50% of the 0.75% tax. The tax
	5916	+	3 imposed under this Section and all civil penalties that may be
	5917	+	4 assessed as an incident thereof shall be collected and
	5918	+	5 enforced by the State Department of Revenue. The Department
	5919	+	6 shall have full power to administer and enforce this Section;
	5920	+	7 to collect all taxes and penalties so collected in the manner
	5921	+	8 hereinafter provided; and to determine all rights to credit
	5922	+	9 memoranda arising on account of the erroneous payment of tax
	5923	+	10 or penalty hereunder. In the administration of, and compliance
	5924	+	11 with this Section, the Department and persons who are subject
	5925	+	12 to this Section shall have the same rights, remedies,
	5926	+	13 privileges, immunities, powers, and duties, and be subject to
	5927	+	14 the same conditions, restrictions, limitations, penalties,
	5928	+	15 exclusions, exemptions, and definitions of terms, and employ
	5929	+	16 the same modes of procedure, as are prescribed in Sections 1,
	5930	+	17 1a, 1a-1, 1c, 1d, 1e, 1f, 1i, 1j, 2 through 2-65 (in respect to
	5931	+	18 all provisions therein other than the State rate of tax), 2c, 3
	5932	+	19 (except as to the disposition of taxes and penalties
	5933	+	20 collected, and except that the retailer's discount is not
	5934	+	21 allowed for taxes paid on aviation fuel that are subject to the
	5935	+	22 revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
	5936	+	23 47133), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l,
	5937	+	24 6, 6a, 6b, 6c, 6d, 7, 8, 9, 10, 11, 12, and 13 of the
	5938	+	25 Retailers' Occupation Tax Act and Section 3-7 of the Uniform
	5939	+	26 Penalty and Interest Act, as fully as if those provisions were
	5940	+
	5941	+
	5942	+
	5943	+
	5944	+
	5945	+	HB3144 Enrolled - 166 - LRB103 26309 HLH 52670 b
	5946	+
	5947	+
	5948	+	HB3144 Enrolled- 167 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 167 - LRB103 26309 HLH 52670 b
	5949	+	HB3144 Enrolled - 167 - LRB103 26309 HLH 52670 b
	5950	+	1 set forth herein.
	5951	+	2 The Board and DuPage, Kane, Lake, McHenry, and Will
	5952	+	3 counties must comply with the certification requirements for
	5953	+	4 airport-related purposes under Section 2-22 of the Retailers'
	5954	+	5 Occupation Tax Act. For purposes of this Section,
	5955	+	6 "airport-related purposes" has the meaning ascribed in Section
	5956	+	7 6z-20.2 of the State Finance Act. This exclusion for aviation
	5957	+	8 fuel only applies for so long as the revenue use requirements
	5958	+	9 of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
	5959	+	10 Authority.
	5960	+	11 Persons subject to any tax imposed under the authority
	5961	+	12 granted in this Section may reimburse themselves for their
	5962	+	13 seller's tax liability hereunder by separately stating the tax
	5963	+	14 as an additional charge, which charge may be stated in
	5964	+	15 combination in a single amount with State taxes that sellers
	5965	+	16 are required to collect under the Use Tax Act, under any
	5966	+	17 bracket schedules the Department may prescribe.
	5967	+	18 Whenever the Department determines that a refund should be
	5968	+	19 made under this Section to a claimant instead of issuing a
	5969	+	20 credit memorandum, the Department shall notify the State
	5970	+	21 Comptroller, who shall cause the warrant to be drawn for the
	5971	+	22 amount specified, and to the person named, in the notification
	5972	+	23 from the Department. The refund shall be paid by the State
	5973	+	24 Treasurer out of the Regional Transportation Authority tax
	5974	+	25 fund established under paragraph (n) of this Section or the
	5975	+	26 Local Government Aviation Trust Fund, as appropriate.
	5976	+
	5977	+
	5978	+
	5979	+
	5980	+
	5981	+	HB3144 Enrolled - 167 - LRB103 26309 HLH 52670 b
	5982	+
	5983	+
	5984	+	HB3144 Enrolled- 168 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 168 - LRB103 26309 HLH 52670 b
	5985	+	HB3144 Enrolled - 168 - LRB103 26309 HLH 52670 b
	5986	+	1 If a tax is imposed under this subsection (e), a tax shall
	5987	+	2 also be imposed under subsections (f) and (g) of this Section.
	5988	+	3 For the purpose of determining whether a tax authorized
	5989	+	4 under this Section is applicable, a retail sale by a producer
	5990	+	5 of coal or other mineral mined in Illinois, is a sale at retail
	5991	+	6 at the place where the coal or other mineral mined in Illinois
	5992	+	7 is extracted from the earth. This paragraph does not apply to
	5993	+	8 coal or other mineral when it is delivered or shipped by the
	5994	+	9 seller to the purchaser at a point outside Illinois so that the
	5995	+	10 sale is exempt under the Federal Constitution as a sale in
	5996	+	11 interstate or foreign commerce.
	5997	+	12 No tax shall be imposed or collected under this subsection
	5998	+	13 on the sale of a motor vehicle in this State to a resident of
	5999	+	14 another state if that motor vehicle will not be titled in this
	6000	+	15 State.
	6001	+	16 Nothing in this Section shall be construed to authorize
	6002	+	17 the Regional Transportation Authority to impose a tax upon the
	6003	+	18 privilege of engaging in any business that under the
	6004	+	19 Constitution of the United States may not be made the subject
	6005	+	20 of taxation by this State.
	6006	+	21 (f) If a tax has been imposed under paragraph (e), a
	6007	+	22 Regional Transportation Authority Service Occupation Tax shall
	6008	+	23 also be imposed upon all persons engaged, in the metropolitan
	6009	+	24 region in the business of making sales of service, who as an
	6010	+	25 incident to making the sales of service, transfer tangible
	6011	+	26 personal property within the metropolitan region, either in
	6012	+
	6013	+
	6014	+
	6015	+
	6016	+
	6017	+	HB3144 Enrolled - 168 - LRB103 26309 HLH 52670 b
	6018	+
	6019	+
	6020	+	HB3144 Enrolled- 169 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 169 - LRB103 26309 HLH 52670 b
	6021	+	HB3144 Enrolled - 169 - LRB103 26309 HLH 52670 b
	6022	+	1 the form of tangible personal property or in the form of real
	6023	+	2 estate as an incident to a sale of service. In Cook County, the
	6024	+	3 tax rate shall be: (1) 1.25% of the serviceman's cost price of
	6025	+	4 food prepared for immediate consumption and transferred
	6026	+	5 incident to a sale of service subject to the service
	6027	+	6 occupation tax by an entity that is located in the
	6028	+	7 metropolitan region and that is licensed under the Hospital
	6029	+	8 Licensing Act, the Nursing Home Care Act, the Assisted Living
	6030	+	9 and Shared Housing Act, the Specialized Mental Health
	6031	+	10 Rehabilitation Act of 2013, the ID/DD Community Care Act, or
	6032	+	11 the MC/DD Act, or the Child Care Act of 1969, or an entity that
	6033	+	12 holds a permit issued pursuant to the Life Care Facilities Act
	6034	+	13 that is located in the metropolitan region; (2) 1.25% of the
	6035	+	14 selling price of food for human consumption that is to be
	6036	+	15 consumed off the premises where it is sold (other than
	6037	+	16 alcoholic beverages, food consisting of or infused with adult
	6038	+	17 use cannabis, soft drinks, candy, and food that has been
	6039	+	18 prepared for immediate consumption) and tangible personal
	6040	+	19 property taxed at the 1% rate under the Service Occupation Tax
	6041	+	20 Act (or at the 0% rate imposed under this amendatory Act of the
	6042	+	21 102nd General Assembly); and (3) 1% of the selling price from
	6043	+	22 other taxable sales of tangible personal property transferred.
	6044	+	23 In DuPage, Kane, Lake, McHenry, and Will counties, the rate
	6045	+	24 shall be 0.75% of the selling price of all tangible personal
	6046	+	25 property transferred. The rate of tax imposed in DuPage, Kane,
	6047	+	26 Lake, McHenry, and Will counties under this Section on sales
	6048	+
	6049	+
	6050	+
	6051	+
	6052	+
	6053	+	HB3144 Enrolled - 169 - LRB103 26309 HLH 52670 b
	6054	+
	6055	+
	6056	+	HB3144 Enrolled- 170 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 170 - LRB103 26309 HLH 52670 b
	6057	+	HB3144 Enrolled - 170 - LRB103 26309 HLH 52670 b
	6058	+	1 of aviation fuel on or after December 1, 2019 shall, however,
	6059	+	2 be 0.25% unless the Regional Transportation Authority in
	6060	+	3 DuPage, Kane, Lake, McHenry, and Will counties has an
	6061	+	4 "airport-related purpose" and the additional 0.50% of the
	6062	+	5 0.75% tax on aviation fuel is expended for airport-related
	6063	+	6 purposes. If there is no airport-related purpose to which
	6064	+	7 aviation fuel tax revenue is dedicated, then aviation fuel is
	6065	+	8 excluded from the additional 0.5% of the 0.75% tax.
	6066	+	9 The Board and DuPage, Kane, Lake, McHenry, and Will
	6067	+	10 counties must comply with the certification requirements for
	6068	+	11 airport-related purposes under Section 2-22 of the Retailers'
	6069	+	12 Occupation Tax Act. For purposes of this Section,
	6070	+	13 "airport-related purposes" has the meaning ascribed in Section
	6071	+	14 6z-20.2 of the State Finance Act. This exclusion for aviation
	6072	+	15 fuel only applies for so long as the revenue use requirements
	6073	+	16 of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
	6074	+	17 Authority.
	6075	+	18 The tax imposed under this paragraph and all civil
	6076	+	19 penalties that may be assessed as an incident thereof shall be
	6077	+	20 collected and enforced by the State Department of Revenue. The
	6078	+	21 Department shall have full power to administer and enforce
	6079	+	22 this paragraph; to collect all taxes and penalties due
	6080	+	23 hereunder; to dispose of taxes and penalties collected in the
	6081	+	24 manner hereinafter provided; and to determine all rights to
	6082	+	25 credit memoranda arising on account of the erroneous payment
	6083	+	26 of tax or penalty hereunder. In the administration of and
	6084	+
	6085	+
	6086	+
	6087	+
	6088	+
	6089	+	HB3144 Enrolled - 170 - LRB103 26309 HLH 52670 b
	6090	+
	6091	+
	6092	+	HB3144 Enrolled- 171 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 171 - LRB103 26309 HLH 52670 b
	6093	+	HB3144 Enrolled - 171 - LRB103 26309 HLH 52670 b
	6094	+	1 compliance with this paragraph, the Department and persons who
	6095	+	2 are subject to this paragraph shall have the same rights,
	6096	+	3 remedies, privileges, immunities, powers, and duties, and be
	6097	+	4 subject to the same conditions, restrictions, limitations,
	6098	+	5 penalties, exclusions, exemptions, and definitions of terms,
	6099	+	6 and employ the same modes of procedure, as are prescribed in
	6100	+	7 Sections 1a-1, 2, 2a, 3 through 3-50 (in respect to all
	6101	+	8 provisions therein other than the State rate of tax), 4
	6102	+	9 (except that the reference to the State shall be to the
	6103	+	10 Authority), 5, 7, 8 (except that the jurisdiction to which the
	6104	+	11 tax shall be a debt to the extent indicated in that Section 8
	6105	+	12 shall be the Authority), 9 (except as to the disposition of
	6106	+	13 taxes and penalties collected, and except that the returned
	6107	+	14 merchandise credit for this tax may not be taken against any
	6108	+	15 State tax, and except that the retailer's discount is not
	6109	+	16 allowed for taxes paid on aviation fuel that are subject to the
	6110	+	17 revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
	6111	+	18 47133), 10, 11, 12 (except the reference therein to Section 2b
	6112	+	19 of the Retailers' Occupation Tax Act), 13 (except that any
	6113	+	20 reference to the State shall mean the Authority), the first
	6114	+	21 paragraph of Section 15, 16, 17, 18, 19, and 20 of the Service
	6115	+	22 Occupation Tax Act and Section 3-7 of the Uniform Penalty and
	6116	+	23 Interest Act, as fully as if those provisions were set forth
	6117	+	24 herein.
	6118	+	25 Persons subject to any tax imposed under the authority
	6119	+	26 granted in this paragraph may reimburse themselves for their
	6120	+
	6121	+
	6122	+
	6123	+
	6124	+
	6125	+	HB3144 Enrolled - 171 - LRB103 26309 HLH 52670 b
	6126	+
	6127	+
	6128	+	HB3144 Enrolled- 172 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 172 - LRB103 26309 HLH 52670 b
	6129	+	HB3144 Enrolled - 172 - LRB103 26309 HLH 52670 b
	6130	+	1 serviceman's tax liability hereunder by separately stating the
	6131	+	2 tax as an additional charge, that charge may be stated in
	6132	+	3 combination in a single amount with State tax that servicemen
	6133	+	4 are authorized to collect under the Service Use Tax Act, under
	6134	+	5 any bracket schedules the Department may prescribe.
	6135	+	6 Whenever the Department determines that a refund should be
	6136	+	7 made under this paragraph to a claimant instead of issuing a
	6137	+	8 credit memorandum, the Department shall notify the State
	6138	+	9 Comptroller, who shall cause the warrant to be drawn for the
	6139	+	10 amount specified, and to the person named in the notification
	6140	+	11 from the Department. The refund shall be paid by the State
	6141	+	12 Treasurer out of the Regional Transportation Authority tax
	6142	+	13 fund established under paragraph (n) of this Section or the
	6143	+	14 Local Government Aviation Trust Fund, as appropriate.
	6144	+	15 Nothing in this paragraph shall be construed to authorize
	6145	+	16 the Authority to impose a tax upon the privilege of engaging in
	6146	+	17 any business that under the Constitution of the United States
	6147	+	18 may not be made the subject of taxation by the State.
	6148	+	19 (g) If a tax has been imposed under paragraph (e), a tax
	6149	+	20 shall also be imposed upon the privilege of using in the
	6150	+	21 metropolitan region, any item of tangible personal property
	6151	+	22 that is purchased outside the metropolitan region at retail
	6152	+	23 from a retailer, and that is titled or registered with an
	6153	+	24 agency of this State's government. In Cook County, the tax
	6154	+	25 rate shall be 1% of the selling price of the tangible personal
	6155	+	26 property, as "selling price" is defined in the Use Tax Act. In
	6156	+
	6157	+
	6158	+
	6159	+
	6160	+
	6161	+	HB3144 Enrolled - 172 - LRB103 26309 HLH 52670 b
	6162	+
	6163	+
	6164	+	HB3144 Enrolled- 173 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 173 - LRB103 26309 HLH 52670 b
	6165	+	HB3144 Enrolled - 173 - LRB103 26309 HLH 52670 b
	6166	+	1 DuPage, Kane, Lake, McHenry, and Will counties, the tax rate
	6167	+	2 shall be 0.75% of the selling price of the tangible personal
	6168	+	3 property, as "selling price" is defined in the Use Tax Act. The
	6169	+	4 tax shall be collected from persons whose Illinois address for
	6170	+	5 titling or registration purposes is given as being in the
	6171	+	6 metropolitan region. The tax shall be collected by the
	6172	+	7 Department of Revenue for the Regional Transportation
	6173	+	8 Authority. The tax must be paid to the State, or an exemption
	6174	+	9 determination must be obtained from the Department of Revenue,
	6175	+	10 before the title or certificate of registration for the
	6176	+	11 property may be issued. The tax or proof of exemption may be
	6177	+	12 transmitted to the Department by way of the State agency with
	6178	+	13 which, or the State officer with whom, the tangible personal
	6179	+	14 property must be titled or registered if the Department and
	6180	+	15 the State agency or State officer determine that this
	6181	+	16 procedure will expedite the processing of applications for
	6182	+	17 title or registration.
	6183	+	18 The Department shall have full power to administer and
	6184	+	19 enforce this paragraph; to collect all taxes, penalties, and
	6185	+	20 interest due hereunder; to dispose of taxes, penalties, and
	6186	+	21 interest collected in the manner hereinafter provided; and to
	6187	+	22 determine all rights to credit memoranda or refunds arising on
	6188	+	23 account of the erroneous payment of tax, penalty, or interest
	6189	+	24 hereunder. In the administration of and compliance with this
	6190	+	25 paragraph, the Department and persons who are subject to this
	6191	+	26 paragraph shall have the same rights, remedies, privileges,
	6192	+
	6193	+
	6194	+
	6195	+
	6196	+
	6197	+	HB3144 Enrolled - 173 - LRB103 26309 HLH 52670 b
	6198	+
	6199	+
	6200	+	HB3144 Enrolled- 174 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 174 - LRB103 26309 HLH 52670 b
	6201	+	HB3144 Enrolled - 174 - LRB103 26309 HLH 52670 b
	6202	+	1 immunities, powers, and duties, and be subject to the same
	6203	+	2 conditions, restrictions, limitations, penalties, exclusions,
	6204	+	3 exemptions, and definitions of terms and employ the same modes
	6205	+	4 of procedure, as are prescribed in Sections 2 (except the
	6206	+	5 definition of "retailer maintaining a place of business in
	6207	+	6 this State"), 3 through 3-80 (except provisions pertaining to
	6208	+	7 the State rate of tax, and except provisions concerning
	6209	+	8 collection or refunding of the tax by retailers), 4, 11, 12,
	6210	+	9 12a, 14, 15, 19 (except the portions pertaining to claims by
	6211	+	10 retailers and except the last paragraph concerning refunds),
	6212	+	11 20, 21, and 22 of the Use Tax Act, and are not inconsistent
	6213	+	12 with this paragraph, as fully as if those provisions were set
	6214	+	13 forth herein.
	6215	+	14 Whenever the Department determines that a refund should be
	6216	+	15 made under this paragraph to a claimant instead of issuing a
	6217	+	16 credit memorandum, the Department shall notify the State
	6218	+	17 Comptroller, who shall cause the order to be drawn for the
	6219	+	18 amount specified, and to the person named in the notification
	6220	+	19 from the Department. The refund shall be paid by the State
	6221	+	20 Treasurer out of the Regional Transportation Authority tax
	6222	+	21 fund established under paragraph (n) of this Section.
	6223	+	22 (h) The Authority may impose a replacement vehicle tax of
	6224	+	23 $50 on any passenger car as defined in Section 1-157 of the
	6225	+	24 Illinois Vehicle Code purchased within the metropolitan region
	6226	+	25 by or on behalf of an insurance company to replace a passenger
	6227	+	26 car of an insured person in settlement of a total loss claim.
	6228	+
	6229	+
	6230	+
	6231	+
	6232	+
	6233	+	HB3144 Enrolled - 174 - LRB103 26309 HLH 52670 b
	6234	+
	6235	+
	6236	+	HB3144 Enrolled- 175 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 175 - LRB103 26309 HLH 52670 b
	6237	+	HB3144 Enrolled - 175 - LRB103 26309 HLH 52670 b
	6238	+	1 The tax imposed may not become effective before the first day
	6239	+	2 of the month following the passage of the ordinance imposing
	6240	+	3 the tax and receipt of a certified copy of the ordinance by the
	6241	+	4 Department of Revenue. The Department of Revenue shall collect
	6242	+	5 the tax for the Authority in accordance with Sections 3-2002
	6243	+	6 and 3-2003 of the Illinois Vehicle Code.
	6244	+	7 The Department shall immediately pay over to the State
	6245	+	8 Treasurer, ex officio, as trustee, all taxes collected
	6246	+	9 hereunder.
	6247	+	10 As soon as possible after the first day of each month,
	6248	+	11 beginning January 1, 2011, upon certification of the
	6249	+	12 Department of Revenue, the Comptroller shall order
	6250	+	13 transferred, and the Treasurer shall transfer, to the STAR
	6251	+	14 Bonds Revenue Fund the local sales tax increment, as defined
	6252	+	15 in the Innovation Development and Economy Act, collected under
	6253	+	16 this Section during the second preceding calendar month for
	6254	+	17 sales within a STAR bond district.
	6255	+	18 After the monthly transfer to the STAR Bonds Revenue Fund,
	6256	+	19 on or before the 25th day of each calendar month, the
	6257	+	20 Department shall prepare and certify to the Comptroller the
	6258	+	21 disbursement of stated sums of money to the Authority. The
	6259	+	22 amount to be paid to the Authority shall be the amount
	6260	+	23 collected hereunder during the second preceding calendar month
	6261	+	24 by the Department, less any amount determined by the
	6262	+	25 Department to be necessary for the payment of refunds, and
	6263	+	26 less any amounts that are transferred to the STAR Bonds
	6264	+
	6265	+
	6266	+
	6267	+
	6268	+
	6269	+	HB3144 Enrolled - 175 - LRB103 26309 HLH 52670 b
	6270	+
	6271	+
	6272	+	HB3144 Enrolled- 176 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 176 - LRB103 26309 HLH 52670 b
	6273	+	HB3144 Enrolled - 176 - LRB103 26309 HLH 52670 b
	6274	+	1 Revenue Fund. Within 10 days after receipt by the Comptroller
	6275	+	2 of the disbursement certification to the Authority provided
	6276	+	3 for in this Section to be given to the Comptroller by the
	6277	+	4 Department, the Comptroller shall cause the orders to be drawn
	6278	+	5 for that amount in accordance with the directions contained in
	6279	+	6 the certification.
	6280	+	7 (i) The Board may not impose any other taxes except as it
	6281	+	8 may from time to time be authorized by law to impose.
	6282	+	9 (j) A certificate of registration issued by the State
	6283	+	10 Department of Revenue to a retailer under the Retailers'
	6284	+	11 Occupation Tax Act or under the Service Occupation Tax Act
	6285	+	12 shall permit the registrant to engage in a business that is
	6286	+	13 taxed under the tax imposed under paragraphs (b), (e), (f) or
	6287	+	14 (g) of this Section and no additional registration shall be
	6288	+	15 required under the tax. A certificate issued under the Use Tax
	6289	+	16 Act or the Service Use Tax Act shall be applicable with regard
	6290	+	17 to any tax imposed under paragraph (c) of this Section.
	6291	+	18 (k) The provisions of any tax imposed under paragraph (c)
	6292	+	19 of this Section shall conform as closely as may be practicable
	6293	+	20 to the provisions of the Use Tax Act, including without
	6294	+	21 limitation conformity as to penalties with respect to the tax
	6295	+	22 imposed and as to the powers of the State Department of Revenue
	6296	+	23 to promulgate and enforce rules and regulations relating to
	6297	+	24 the administration and enforcement of the provisions of the
	6298	+	25 tax imposed. The taxes shall be imposed only on use within the
	6299	+	26 metropolitan region and at rates as provided in the paragraph.
	6300	+
	6301	+
	6302	+
	6303	+
	6304	+
	6305	+	HB3144 Enrolled - 176 - LRB103 26309 HLH 52670 b
	6306	+
	6307	+
	6308	+	HB3144 Enrolled- 177 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 177 - LRB103 26309 HLH 52670 b
	6309	+	HB3144 Enrolled - 177 - LRB103 26309 HLH 52670 b
	6310	+	1 (l) The Board in imposing any tax as provided in
	6311	+	2 paragraphs (b) and (c) of this Section, shall, after seeking
	6312	+	3 the advice of the State Department of Revenue, provide means
	6313	+	4 for retailers, users or purchasers of motor fuel for purposes
	6314	+	5 other than those with regard to which the taxes may be imposed
	6315	+	6 as provided in those paragraphs to receive refunds of taxes
	6316	+	7 improperly paid, which provisions may be at variance with the
	6317	+	8 refund provisions as applicable under the Municipal Retailers
	6318	+	9 Occupation Tax Act. The State Department of Revenue may
	6319	+	10 provide for certificates of registration for users or
	6320	+	11 purchasers of motor fuel for purposes other than those with
	6321	+	12 regard to which taxes may be imposed as provided in paragraphs
	6322	+	13 (b) and (c) of this Section to facilitate the reporting and
	6323	+	14 nontaxability of the exempt sales or uses.
	6324	+	15 (m) Any ordinance imposing or discontinuing any tax under
	6325	+	16 this Section shall be adopted and a certified copy thereof
	6326	+	17 filed with the Department on or before June 1, whereupon the
	6327	+	18 Department of Revenue shall proceed to administer and enforce
	6328	+	19 this Section on behalf of the Regional Transportation
	6329	+	20 Authority as of September 1 next following such adoption and
	6330	+	21 filing. Beginning January 1, 1992, an ordinance or resolution
	6331	+	22 imposing or discontinuing the tax hereunder shall be adopted
	6332	+	23 and a certified copy thereof filed with the Department on or
	6333	+	24 before the first day of July, whereupon the Department shall
	6334	+	25 proceed to administer and enforce this Section as of the first
	6335	+	26 day of October next following such adoption and filing.
	6336	+
	6337	+
	6338	+
	6339	+
	6340	+
	6341	+	HB3144 Enrolled - 177 - LRB103 26309 HLH 52670 b
	6342	+
	6343	+
	6344	+	HB3144 Enrolled- 178 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 178 - LRB103 26309 HLH 52670 b
	6345	+	HB3144 Enrolled - 178 - LRB103 26309 HLH 52670 b
	6346	+	1 Beginning January 1, 1993, an ordinance or resolution
	6347	+	2 imposing, increasing, decreasing, or discontinuing the tax
	6348	+	3 hereunder shall be adopted and a certified copy thereof filed
	6349	+	4 with the Department, whereupon the Department shall proceed to
	6350	+	5 administer and enforce this Section as of the first day of the
	6351	+	6 first month to occur not less than 60 days following such
	6352	+	7 adoption and filing. Any ordinance or resolution of the
	6353	+	8 Authority imposing a tax under this Section and in effect on
	6354	+	9 August 1, 2007 shall remain in full force and effect and shall
	6355	+	10 be administered by the Department of Revenue under the terms
	6356	+	11 and conditions and rates of tax established by such ordinance
	6357	+	12 or resolution until the Department begins administering and
	6358	+	13 enforcing an increased tax under this Section as authorized by
	6359	+	14 Public Act 95-708. The tax rates authorized by Public Act
	6360	+	15 95-708 are effective only if imposed by ordinance of the
	6361	+	16 Authority.
	6362	+	17 (n) Except as otherwise provided in this subsection (n),
	6363	+	18 the State Department of Revenue shall, upon collecting any
	6364	+	19 taxes as provided in this Section, pay the taxes over to the
	6365	+	20 State Treasurer as trustee for the Authority. The taxes shall
	6366	+	21 be held in a trust fund outside the State Treasury. If an
	6367	+	22 airport-related purpose has been certified, taxes and
	6368	+	23 penalties collected in DuPage, Kane, Lake, McHenry and Will
	6369	+	24 counties on aviation fuel sold on or after December 1, 2019
	6370	+	25 from the 0.50% of the 0.75% rate shall be immediately paid over
	6371	+	26 by the Department to the State Treasurer, ex officio, as
	6372	+
	6373	+
	6374	+
	6375	+
	6376	+
	6377	+	HB3144 Enrolled - 178 - LRB103 26309 HLH 52670 b
	6378	+
	6379	+
	6380	+	HB3144 Enrolled- 179 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 179 - LRB103 26309 HLH 52670 b
	6381	+	HB3144 Enrolled - 179 - LRB103 26309 HLH 52670 b
	6382	+	1 trustee, for deposit into the Local Government Aviation Trust
	6383	+	2 Fund. The Department shall only pay moneys into the Local
	6384	+	3 Government Aviation Trust Fund under this Act for so long as
	6385	+	4 the revenue use requirements of 49 U.S.C. 47107(b) and 49
	6386	+	5 U.S.C. 47133 are binding on the Authority. On or before the
	6387	+	6 25th day of each calendar month, the State Department of
	6388	+	7 Revenue shall prepare and certify to the Comptroller of the
	6389	+	8 State of Illinois and to the Authority (i) the amount of taxes
	6390	+	9 collected in each county other than Cook County in the
	6391	+	10 metropolitan region, (not including, if an airport-related
	6392	+	11 purpose has been certified, the taxes and penalties collected
	6393	+	12 from the 0.50% of the 0.75% rate on aviation fuel sold on or
	6394	+	13 after December 1, 2019 that are deposited into the Local
	6395	+	14 Government Aviation Trust Fund) (ii) the amount of taxes
	6396	+	15 collected within the City of Chicago, and (iii) the amount
	6397	+	16 collected in that portion of Cook County outside of Chicago,
	6398	+	17 each amount less the amount necessary for the payment of
	6399	+	18 refunds to taxpayers located in those areas described in items
	6400	+	19 (i), (ii), and (iii), and less 1.5% of the remainder, which
	6401	+	20 shall be transferred from the trust fund into the Tax
	6402	+	21 Compliance and Administration Fund. The Department, at the
	6403	+	22 time of each monthly disbursement to the Authority, shall
	6404	+	23 prepare and certify to the State Comptroller the amount to be
	6405	+	24 transferred into the Tax Compliance and Administration Fund
	6406	+	25 under this subsection. Within 10 days after receipt by the
	6407	+	26 Comptroller of the certification of the amounts, the
	6408	+
	6409	+
	6410	+
	6411	+
	6412	+
	6413	+	HB3144 Enrolled - 179 - LRB103 26309 HLH 52670 b
	6414	+
	6415	+
	6416	+	HB3144 Enrolled- 180 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 180 - LRB103 26309 HLH 52670 b
	6417	+	HB3144 Enrolled - 180 - LRB103 26309 HLH 52670 b
	6418	+	1 Comptroller shall cause an order to be drawn for the transfer
	6419	+	2 of the amount certified into the Tax Compliance and
	6420	+	3 Administration Fund and the payment of two-thirds of the
	6421	+	4 amounts certified in item (i) of this subsection to the
	6422	+	5 Authority and one-third of the amounts certified in item (i)
	6423	+	6 of this subsection to the respective counties other than Cook
	6424	+	7 County and the amount certified in items (ii) and (iii) of this
	6425	+	8 subsection to the Authority.
	6426	+	9 In addition to the disbursement required by the preceding
	6427	+	10 paragraph, an allocation shall be made in July 1991 and each
	6428	+	11 year thereafter to the Regional Transportation Authority. The
	6429	+	12 allocation shall be made in an amount equal to the average
	6430	+	13 monthly distribution during the preceding calendar year
	6431	+	14 (excluding the 2 months of lowest receipts) and the allocation
	6432	+	15 shall include the amount of average monthly distribution from
	6433	+	16 the Regional Transportation Authority Occupation and Use Tax
	6434	+	17 Replacement Fund. The distribution made in July 1992 and each
	6435	+	18 year thereafter under this paragraph and the preceding
	6436	+	19 paragraph shall be reduced by the amount allocated and
	6437	+	20 disbursed under this paragraph in the preceding calendar year.
	6438	+	21 The Department of Revenue shall prepare and certify to the
	6439	+	22 Comptroller for disbursement the allocations made in
	6440	+	23 accordance with this paragraph.
	6441	+	24 (o) Failure to adopt a budget ordinance or otherwise to
	6442	+	25 comply with Section 4.01 of this Act or to adopt a Five-year
	6443	+	26 Capital Program or otherwise to comply with paragraph (b) of
	6444	+
	6445	+
	6446	+
	6447	+
	6448	+
	6449	+	HB3144 Enrolled - 180 - LRB103 26309 HLH 52670 b
	6450	+
	6451	+
	6452	+	HB3144 Enrolled- 181 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 181 - LRB103 26309 HLH 52670 b
	6453	+	HB3144 Enrolled - 181 - LRB103 26309 HLH 52670 b
	6454	+	1 Section 2.01 of this Act shall not affect the validity of any
	6455	+	2 tax imposed by the Authority otherwise in conformity with law.
	6456	+	3 (p) At no time shall a public transportation tax or motor
	6457	+	4 vehicle parking tax authorized under paragraphs (b), (c), and
	6458	+	5 (d) of this Section be in effect at the same time as any
	6459	+	6 retailers' occupation, use or service occupation tax
	6460	+	7 authorized under paragraphs (e), (f), and (g) of this Section
	6461	+	8 is in effect.
	6462	+	9 Any taxes imposed under the authority provided in
	6463	+	10 paragraphs (b), (c), and (d) shall remain in effect only until
	6464	+	11 the time as any tax authorized by paragraph (e), (f), or (g) of
	6465	+	12 this Section are imposed and becomes effective. Once any tax
	6466	+	13 authorized by paragraph (e), (f), or (g) is imposed the Board
	6467	+	14 may not reimpose taxes as authorized in paragraphs (b), (c),
	6468	+	15 and (d) of the Section unless any tax authorized by paragraph
	6469	+	16 (e), (f), or (g) of this Section becomes ineffective by means
	6470	+	17 other than an ordinance of the Board.
	6471	+	18 (q) Any existing rights, remedies and obligations
	6472	+	19 (including enforcement by the Regional Transportation
	6473	+	20 Authority) arising under any tax imposed under paragraph (b),
	6474	+	21 (c), or (d) of this Section shall not be affected by the
	6475	+	22 imposition of a tax under paragraph (e), (f), or (g) of this
	6476	+	23 Section.
	6477	+	24 (Source: P.A. 101-10, eff. 6-5-19; 101-81, eff. 7-12-19;
	6478	+	25 101-604, eff. 12-13-19; 102-700, eff. 4-19-22.)
	6479	+	26 Section 99. Effective date. This Act takes effect upon
	6480	+
	6481	+
	6482	+
	6483	+
	6484	+
	6485	+	HB3144 Enrolled - 181 - LRB103 26309 HLH 52670 b
	6486	+
	6487	+
	6488	+	HB3144 Enrolled- 182 -LRB103 26309 HLH 52670 b HB3144 Enrolled - 182 - LRB103 26309 HLH 52670 b
	6489	+	HB3144 Enrolled - 182 - LRB103 26309 HLH 52670 b
	6490	+
	6491	+
	6492	+
	6493	+
	6494	+
	6495	+	HB3144 Enrolled - 182 - LRB103 26309 HLH 52670 b