SALES TAX-LOCAL SOURCING Senate SponsorsSen. Jeffrey M. Schoenberg-Dan Kotowski and A. J. Wilhelmi-Jacqueline Y. Collins House Sponsors(Rep. Barbara Flynn Currie-Karen A. Yarbrough-Kimberly du Buclet) 6/14/2012SenatePublic Act . . . . . . . . . 97-0688 30 ILCS 105/6z-18from Ch. 127, par. 142z-1830 ILCS 105/6z-20from Ch. 127, par. 142z-2055 ILCS 5/5-1006from Ch. 34, par. 5-100655 ILCS 5/5-1006.555 ILCS 5/5-1006.755 ILCS 5/5-1007from Ch. 34, par. 5-100755 ILCS 5/5-1008.565 ILCS 5/8-11-1from Ch. 24, par. 8-11-165 ILCS 5/8-11-1.3from Ch. 24, par. 8-11-1.365 ILCS 5/8-11-1.4from Ch. 24, par. 8-11-1.465 ILCS 5/8-11-1.665 ILCS 5/8-11-1.770 ILCS 200/245-1270 ILCS 210/13from Ch. 85, par. 123370 ILCS 750/2570 ILCS 1605/3070 ILCS 3610/5.01from Ch. 111 2/3, par. 355.0170 ILCS 3615/4.03from Ch. 111 2/3, par. 704.0370 ILCS 3720/4from Ch. 111 2/3, par. 254Amends the State Finance Act, the Illinois Municipal Code, the Counties Code, the Flood Prevention District Act, the Metropolitan Pier and Exposition Authority Act, the Local Mass Transit District Act, the Regional Transportation Authority Act, the Civic Center Code, the Metro-East Park and Recreation District Act, and the Water Commission Act of 1985. Provides that, with respect to retailers' and service occupation taxes imposed by the State and units of local government, sales are attributed to the unit of local government where the purchase order is accepted, subject to certain exceptions. Provides that, if the acceptance location is outside of the State, but the tangible personal property being sold is (i) in the inventory of the seller at a location within the State at the time of sale or (ii) subsequently produced by the seller at a location in the State, then the sale is attributed to the municipality or unincorporated area where the inventory is located or the property is produced. Contains provisions concerning keep-full contracts and long-term blanket or master contracts. Effective immediately.Senate Committee Amendment No. 1 Deletes reference to:55 ILCS 5/5-100765 ILCS 5/8-11-1.465 ILCS 5/8-11-1.7Replaces everything after the enacting clause. Removes provisions concerning county and non-home rule municipal service occupation taxes. Makes numerous technical corrections. Effective immediately.Senate Floor Amendment No. 3 Adds a definition for the term "office location". Provides that, for the purposes of determining the source of a local sales tax or determining if State use and occupation taxes are attributable to a unit of local government, if the purchase order is received by the retailer or its authorized representative, and, prior to final acceptance of the order by the retailer or its authorized representative, the ordered tangible personal property is delivered or shipped from the inventory of the retailer at a location in this State, then the sales location shall be the retailer's or its authorized representative's office location in this State where the purchase order for such tangible personal property is first received or, if the order is first received at an office location outside of the State, then the sales location shall be the inventory location from which the tangible personal property was shipped or delivered. Provides that if the order for the purchase of tangible personal property is first received by the retailer or placed by the purchaser at a retailer's retail sales location and both the immediate payment for the sale occurs at that location and the delivery or shipment of the property occurs from that location, then that retail sales location shall be deemed the sales location for that sale.House Committee Amendment No. 2 Deletes reference to:30 ILCS 105/6z-18from Ch. 127, par. 142z-1830 ILCS 105/6z-20from Ch. 127, par. 142z-2055 ILCS 5/5-1006.555 ILCS 5/5-1006.755 ILCS 5/5-1008.565 ILCS 5/8-11-1from Ch. 24, par. 8-11-165 ILCS 5/8-11-1.3from Ch. 24, par. 8-11-1.365 ILCS 5/8-11-1.670 ILCS 200/245-1270 ILCS 210/13from Ch. 85, par. 123370 ILCS 750/2570 ILCS 1605/3070 ILCS 3610/5.01from Ch. 111 2/3, par. 355.0170 ILCS 3615/4.03from Ch. 111 2/3, par. 704.0370 ILCS 3720/4from Ch. 111 2/3, par. 254Replaces everything after the enacting clause. Amends the Home Rule County Retailers' Occupation Tax Law in the Counties Code. Makes a technical change.House Floor Amendment No. 3 Deletes reference to:55 ILCS 5/5-1006Adds reference to:New Act35 ILCS 5/223 new35 ILCS 105/3-8 new35 ILCS 110/3-8 new35 ILCS 115/3-8 new35 ILCS 120/2-9 new35 ILCS 130/1from Ch. 120, par. 453.135 ILCS 130/2from Ch. 120, par. 453.235 ILCS 135/1from Ch. 120, par. 453.3135 ILCS 135/2from Ch. 120, par. 453.3235 ILCS 143/10-535 ILCS 143/10-1035 ILCS 143/10-3035 ILCS 200/15-1035 ILCS 200/15-86 new305 ILCS 5/5A-1from Ch. 23, par. 5A-1305 ILCS 5/5A-2from Ch. 23, par. 5A-2305 ILCS 5/5A-4from Ch. 23, par. 5A-4305 ILCS 5/5A-5from Ch. 23, par. 5A-5305 ILCS 5/5A-8from Ch. 23, par. 5A-8305 ILCS 5/5A-10from Ch. 23, par. 5A-10305 ILCS 5/5A-12.4 new305 ILCS 5/5A-13305 ILCS 5/5A-14305 ILCS 5/5A-15 new425 ILCS 8/65 newReplaces everything after the enacting clause. Creates the Cigarette Machine Operators' Occupation Tax Act. Imposes a tax upon all persons engaged in the business of operating a cigarette machine at the rate of 99 mills per cigarette. Requires cigarette machine operators to obtain a license from the Department of Revenue. Contains provisions concerning refunds, returns, and hearings. Amends the Cigarette Tax Act and the Cigarette Use Tax Act. Increases the taxes imposed under those Acts to 50 mills per cigarette beginning on June 24, 2012. Amends the Tobacco Products Tax Act. Increases the rate of tax to 36% of the wholesale price of tobacco products sold or otherwise disposed of to retailers or consumers in the State. Provides that 50% of the proceeds shall be paid into the Long-Term Care Provider Fund and 50% of the proceeds shall be paid into the Healthcare Provider Relief Fund. Contains provisions concerning moist snuff. Amends the Property Tax Code. Creates an exemption for hospitals that provide health care services to low-income and underserved individuals. Amends the Illinois Income Tax Act. Creates a credit for hospitals in an amount equal to the lesser of the amount of real property taxes paid during the tax year on real property used for hospital purposes during the prior tax year or the cost of free or discounted services provided during the tax year pursuant to the hospital's charitable financial assistance policy, measured at cost. Amends the Use Tax Act, the Service Use Tax Act, the Service Occupation Tax Act, and the Retailers' Occupation Tax Act. Provides that property sold to or used certain hospitals is exempt. Amends the Hospital Provider Funding Article of the Illinois Public Aid Code. Imposes specific assessments on outpatient services for State fiscal years 2013 through 2014, and July 1, 2014 through December 31, 2014. Contains provisions concerning the effective date of the assessments. Requires certain transfers from the Hospital Provider Fund for State fiscal years 2013 and 2014. Provides that the new assessments shall not take effect or shall cease to be imposed if certain criteria are met. Contains provisions concerning: hospital access improvement payments on or after July 1, 2012; magnet and perinatal hospital adjustments; trauma level II adjustments; dual eligible adjustments; medicaid volume adjustments; outpatient service adjustments; care coordination adjustments; specialty hospital adjustments; physician supplemental adjustments; and protection of federal revenue. Defines terms. Makes other changes. Effective immediately.Pension Note, House Floor Amendment No. 3 (Government Forecasting & Accountability) SB 2194, as amended by HA 3, will not impact any public pension fund or retirement system in Illinois.Correctional Note, House Floor Amendment No. 3 (Government Forecasting & Accountability) There are no penalty enhancements associated with SB 2194 (H-AM 3). The bill would have no fiscal or population impact on the Department.State Debt Impact Note, House Floor Amendment No. 3 (Government Forecasting & Accountability) SB 2194, as amended by House Amendment 3, would not change the amount of authorization for any type of State-issued or State-supported bond, and, therefore, would not affect the level of State indebtedness. 2/10/2011SenateFiled with Secretary by Sen. Toi W. Hutchinson 2/10/2011SenateFirst Reading 2/10/2011SenateReferred to Assignments 2/16/2011SenateAdded as Co-Sponsor Sen. Shane Cultra 2/16/2011SenateAdded as Chief Co-Sponsor Sen. Dan Kotowski 2/16/2011SenateAdded as Chief Co-Sponsor Sen. Chris Lauzen 3/1/2011SenateAdded as Co-Sponsor Sen. Sue Rezin 3/2/2011SenateAssigned to Revenue 3/3/2011SenateSenate Committee Amendment No. 1 Filed with Secretary by Sen. Toi W. Hutchinson 3/3/2011SenateSenate Committee Amendment No. 1 Referred to Assignments 3/4/2011SenateAdded as Co-Sponsor Sen. A. J. Wilhelmi 3/8/2011SenateSenate Committee Amendment No. 1 Assignments Refers to Revenue 3/9/2011SenateSenate Committee Amendment No. 1 Adopted 3/10/2011SenateDo Pass as Amended Revenue; 010-000-000 3/10/2011SenatePlaced on Calendar Order of 2nd Reading March 14, 2011 3/14/2011SenateAdded as Co-Sponsor Sen. Linda Holmes 4/8/2011SenateAdded as Co-Sponsor Sen. Kyle McCarter 4/11/2011SenateSecond Reading 4/11/2011SenatePlaced on Calendar Order of 3rd Reading April 12, 2011 4/11/2011SenateSenate Floor Amendment No. 2 Filed with Secretary by Sen. Toi W. Hutchinson 4/11/2011SenateSenate Floor Amendment No. 2 Referred to Assignments 4/11/2011SenateSenate Floor Amendment No. 3 Filed with Secretary by Sen. Toi W. Hutchinson 4/11/2011SenateSenate Floor Amendment No. 3 Referred to Assignments 4/12/2011SenateSenate Floor Amendment No. 2 Assignments Refers to Revenue 4/12/2011SenateSenate Floor Amendment No. 3 Assignments Refers to Revenue 4/13/2011SenateSenate Floor Amendment No. 2 Postponed - Revenue 4/13/2011SenateSenate Floor Amendment No. 3 Recommend Do Adopt Revenue; 007-002-001 4/15/2011SenateRecalled to Second Reading 4/15/2011SenateSenate Floor Amendment No. 3 Adopted; Hutchinson 4/15/2011SenatePlaced on Calendar Order of 3rd Reading 4/15/2011SenateSponsor Removed Sen. Linda Holmes 4/15/2011SenateThird Reading - Passed; 033-020-004 4/15/2011SenateSenate Floor Amendment No. 2 Tabled Pursuant to Rule 5-4(a) 4/15/2011HouseArrived in House 4/15/2011HousePlaced on Calendar Order of First Reading 4/15/2011HouseChief House Sponsor Rep. Lisa M. Dugan 4/15/2011HouseFirst Reading 4/15/2011HouseReferred to Rules Committee 4/25/2011HouseAssigned to Executive Committee 5/4/2011HouseAdded Alternate Co-Sponsor Rep. Pam Roth 5/4/2011HouseAlternate Co-Sponsor Removed Rep. Pam Roth 5/13/2011HouseCommittee Deadline Extended-Rule 9(b) May 20, 2011 5/20/2011HouseFinal Action Deadline Extended-9(b) May 27, 2011 5/27/2011HouseFinal Action Deadline Extended-9(b) May 31, 2011 5/29/2011HouseHouse Committee Amendment No. 1 Filed with Clerk by Rep. Barbara Flynn Currie 5/29/2011HouseHouse Committee Amendment No. 1 Referred to Rules Committee 5/29/2011HouseHouse Committee Amendment No. 1 In line by 3PM. Timely filed in accordance with House Rule 18(e) 5/29/2011HouseHouse Committee Amendment No. 1 Rules Refers to Executive Committee 5/31/2011HouseRule 19(a) / Re-referred to Rules Committee 5/31/2011HouseHouse Committee Amendment No. 1 Tabled Pursuant to Rule 40 5/15/2012HouseAlternate Chief Sponsor Changed to Rep. Barbara Flynn Currie 5/16/2012HouseCommittee Deadline Extended-Rule 9(b) May 18, 2012 5/16/2012HouseAssigned to Revenue & Finance Committee 5/18/2012HouseFinal Action Deadline Extended-9(b) May 29, 2012 5/21/2012HouseHouse Committee Amendment No. 2 Filed with Clerk by Rep. Barbara Flynn Currie 5/21/2012HouseHouse Committee Amendment No. 2 Referred to Rules Committee 5/21/2012HouseHouse Committee Amendment No. 2 Rules Refers to Revenue & Finance Committee 5/22/2012SenateSponsor Removed Sen. Shane Cultra 5/22/2012SenateSponsor Removed Sen. Kyle McCarter 5/22/2012HouseHouse Committee Amendment No. 2 Adopted in Revenue & Finance Committee; by Voice Vote 5/22/2012HouseDo Pass as Amended / Standard Debate Revenue & Finance Committee; 005-004-000 5/22/2012HousePlaced on Calendar 2nd Reading - Standard Debate 5/22/2012SenateSponsor Removed Sen. Chris Lauzen 5/22/2012SenateSponsor Removed Sen. Sue Rezin 5/22/2012HouseSecond Reading - Standard Debate 5/22/2012HousePlaced on Calendar 2nd Reading - Standard Debate 5/22/2012HouseHeld on Calendar Order of Second Reading - Standard Debate 5/24/2012SenateChief Sponsor Changed to Sen. Jeffrey M. Schoenberg 5/25/2012HouseHouse Floor Amendment No. 3 Filed with Clerk by Rep. Barbara Flynn Currie 5/25/2012HouseHouse Floor Amendment No. 3 Referred to Rules Committee 5/25/2012HouseHouse Floor Amendment No. 3 Rules Refers to Human Services Committee 5/25/2012HouseHouse Floor Amendment No. 3 Recommends Be Adopted Human Services Committee; 009-001-000 5/25/2012HouseHouse Floor Amendment No. 3 Adopted by Voice Vote 5/25/2012HousePlaced on Calendar Order of 3rd Reading - Standard Debate 5/25/2012HouseAdded Alternate Chief Co-Sponsor Rep. Karen A. Yarbrough 5/25/2012HouseHouse Floor Amendment No. 3 Pension Note Filed as Amended 5/25/2012HouseHouse Floor Amendment No. 3 Correctional Note Filed as Amended 5/25/2012HouseHouse Floor Amendment No. 3 State Debt Impact Note Filed as Amended 5/25/2012HouseAdded Alternate Chief Co-Sponsor Rep. Kimberly du Buclet 5/25/2012HouseThird Reading - Standard Debate - Passed 060-052-000 5/28/2012SenateSecretary's Desk - Concurrence House Amendment(s) 2, 3 5/28/2012SenatePlaced on Calendar Order of Concurrence House Amendment(s) 2, 3 - May 29, 2012 5/28/2012SenateAdded as Chief Co-Sponsor Sen. Jacqueline Y. Collins 5/29/2012SenateHouse Committee Amendment No. 2 Motion to Concur Filed with Secretary Sen. Jeffrey M. Schoenberg 5/29/2012SenateHouse Committee Amendment No. 2 Motion to Concur Referred to Assignments 5/29/2012SenateHouse Floor Amendment No. 3 Motion to Concur Filed with Secretary Sen. Jeffrey M. Schoenberg 5/29/2012SenateHouse Floor Amendment No. 3 Motion to Concur Referred to Assignments 5/29/2012SenateHouse Committee Amendment No. 2 Motion to Concur Assignments Referred to Executive 5/29/2012SenateHouse Floor Amendment No. 3 Motion to Concur Assignments Referred to Executive 5/29/2012SenateHouse Committee Amendment No. 2 Motion To Concur Recommended Do Adopt Executive; 009-004-000 5/29/2012SenateHouse Floor Amendment No. 3 Motion To Concur Recommended Do Adopt Executive; 009-004-000 5/29/2012SenateHouse Committee Amendment No. 2 Senate Concurs 031-027-000 5/29/2012SenateHouse Floor Amendment No. 3 Senate Concurs 031-027-000 5/29/2012SenatePassed Both Houses 6/7/2012SenateSent to the Governor 6/14/2012SenateGovernor Approved 6/14/2012SenateEffective Date June 14, 2012 6/14/2012SenatePublic Act . . . . . . . . . 97-0688