reglab/statecodes huggingface dataset:
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart A - NATURE OF TAX › Section 130.115 - Habitual Sales

Current through Register Vol. 48, No. 28, July 12, 2024
Any person who habitually engages in selling tangible
				  personal property for use or consumption, or who, in any manner or at any time,
				  advertises, solicits, offers for sale or holds himself out to the public to be
				  a seller of tangible personal property for use or consumption other than in the
				  course of engaging in a service occupation is engaged in the business that is
				  taxed by the Act, provided that such person is engaged in such business in this
				  State (see Subpart F of this Part).
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart B - SALE AT RETAIL › Section 130.201 - The Test of a Sale at Retail

Current through Register Vol. 48, No. 28, July 12, 2024
a) Sale
				at Retail
1) "Sale at retail" means any
				transfer of the ownership of or title to tangible personal property to a
				purchaser, for the purpose of use or consumption, and not for the purpose of
				resale in any form as tangible personal property to the extent not first
				subject to a use for which it was purchased, for a valuable consideration,
				provided that the property purchased is deemed to be purchased for the purpose
				of resale, despite first being used, to the extent to which it is resold as an
				ingredient of an intentionally produced product or byproduct of manufacturing.
				Transactions whereby the possession of the property is transferred but the
				seller retains the title as security for payment of the selling price shall be
				deemed to be sales.
2) "Sale at
				retail" includes any transfer (whether made for or without a valuable
				consideration) of the ownership of or title to tangible personal property to a
				purchaser for resale in any form as tangible personal property unless made in
				compliance with Section 2c of the Retailers' Occupation Tax Act and Section
				130.1415
				of this Part concerning the purchaser's possession and furnishing of a taxpayer
				registration number or resale number from the Department of Revenue to the
				seller (see Section
				130.210
				of this Subpart).
3) Even if the
				sale is at retail, the Retailers' Occupation Tax does not apply to receipts
				received by the seller from a sale to any corporation, society, association,
				foundation or institution organized and operated exclusively for charitable,
				religious or educational purposes, to a limited liability company only if it is
				organized and operated exclusively for educational purposes, to a
				not-for-profit corporation, society, association, foundation, institution or
				organization that has no compensated officers or employees and that is
				organized and operated primarily for the recreation of persons 55 years of age
				or older, or from any sale that is made to a governmental body.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart B - SALE AT RETAIL › Section 130.205 - Sales for Transfer Incident to Service

Current through Register Vol. 48, No. 28, July 12, 2024
a) Sales of tangible personal property to a
				purchaser, who transfers the ownership of or title to the tangible personal
				property to others in connection with his sale of other tangible personal
				property or in connection with his furnishing of service for which he makes a
				charge, are sales of tangible personal property to such purchaser for resale.
				This is the case unless the purchaser is a de minimis serviceman who has
				elected to handle his Service Occupation Tax liability in the manner provided
				at Section 2(g) of the Service Occupation Tax Act [35 ILCS
				115/2(g) ]. Sales of tangible
				personal property to such de minimis servicemen are generally subject to
				Retailers' Occupation Tax.
b) For
				specific information concerning the tax on persons engaged in the business of
				making sales of service, see the regulations pertaining to the Service
				Occupation Tax Act (86 Ill. Adm. Code 140).
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart B - SALE AT RETAIL › Section 130.215 - Further Illustrations of Sales for Use or Consumption Versus Sales for Resale

Current through Register Vol. 48, No. 28, July 12, 2024
a) A
				manufacturer of ice cream may require, in his occupation, machinery, freezers,
				fuel, ammonia and other equipment and supplies. Sales of such items to the
				manufacturer are sales for use or consumption. Such items do not physically
				enter into, nor, as ingredients or constituents, form a part of, the product
				sold by such ice cream manufacturer. Such items are purchased for use or
				consumption and not for resale within the meaning of the Retailers' Occupation
				Tax Act. Persons who engage in the business of making such sales incur
				Retailers' Occupation Tax liability. (However, for information regarding the
				Manufacturing Machinery and Equipment Exemption from sales tax, see 86 Ill.
				Adm. Code
				130.330.)
				Sales of milk, cream, sugar, extracts and various other constituents are also
				made to, intended to, and do enter into and form a useful part of a commodity
				which thereafter becomes the subject of a sale for use or
				consumption.
b) For example, a fast
				food seller purchases cooking oil to use in preparing foods such as french
				fries and chicken. 5% of the oil is absorbed into the food and ends up as an
				integral part of the food when finished. 95% of the oil does not become part of
				the cooked food and is discarded by the fast food seller after use. This being
				the case, the 5% of the oil that is absorbed and becomes an integral part of
				the food product is exempt from tax as a purchase for resale. The 95% of the
				oil that does not end up as an integral part of the finished product is taxable
				because it is used by the food seller. In this case, the food seller should
				give a blanket percentage-use Certificate of Resale to the supplier that states
				that 5% of its purchases of oil are exempt from tax as purchases for resale and
				95% are taxable as purchases for use. The Certificate of Resale must meet all
				the requirements of 86 Ill. Adm. Code
				130.1405
				in addition to specifying the percentage of material that will be resold. The
				seller should charge tax only on the 95% of the oil used by the
				purchaser.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart B - SALE AT RETAIL › Section 130.220 - Sales to Lessors of Tangible Personal Property

Current through Register Vol. 48, No. 28, July 12, 2024
a) Effective August 1, 1967, the sale of
				tangible personal property to a purchaser who will act as a lessor of such
				tangible personal property is a sale at retail and is subject to Retailers'
				Occupation Tax. Also, effective August 1, 1967, the sale of tangible personal
				property that is used, employed or consumed by the purchaser in or upon other
				tangible personal property as to which such purchaser acts as a lessor is a
				sale at retail and so is subject to Retailers' Occupation Tax. (See also
				Section
				130.2010
				of this Part.)
b) However, an
				exception exists for the sale of an automobile to an automobile rentor for use
				as a rental automobile under lease terms of one year or less, provided the
				lessor gives proper certification to the seller. The exception does not apply
				to a retail sale of repair or replacement parts for rental
				automobiles.
c) All gross receipts
				received from the sale of tangible personal property at retail, whether or not
				encumbered by leases or other rights vested in third parties, are presumed to
				be subject to Retailers' Occupation Tax. No deduction will be permitted for any
				value attributable to intangible property or rights transferred in a sale of
				tangible personal property at retail if there is not clear evidence from the
				books and records of the retailer that the sale of such intangible property has
				been contracted for separately from the sale of the tangible personal property.
				In no event will the combined sale of tangible and intangible property be
				permitted to reduce the tax base of the tangible personal property being sold
				below the fair market value of similar tangible personal property sold
				separately.
d) Sales of tangible
				personal property to lessors are subject to Retailers' Occupation Tax liability
				as provided in this Section even if the tangible personal property is leased to
				an exempt entity that has been issued an exemption identification number under
				Section
				130.2007
				of this Part. The only exemption from this provision is if the purchases of the
				tangible personal property qualify under Section
				130.2011
				(computers, communications equipment, and equipment used in diagnosis,
				analysis, or treatment that are leased to exempt hospitals) or
				130.2012
				(tangible personal property leased to a governmental body) of this
				Part.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart C - CERTAIN STATUTORY EXEMPTIONS › Section 130.315 - Fuel Sold for Use in Vessels on Rivers Bordering Illinois

Current through Register Vol. 48, No. 28, July 12, 2024
a) Effective July 26, 1967, notwithstanding
				the fact that such sales are at retail, the Retailers' Occupation Tax does not
				apply to sales of fuel consumed or used in the operation of ships, barges or
				vessels which are used primarily in or for the transportation of property or
				the conveyance of persons for hire on rivers bordering on this State if such
				fuel is delivered by the seller to the purchaser's barge, ship or vessel while
				it is afloat upon such bordering river.
b) The phrase "rivers bordering on this
				State" includes the Mississippi River, the Ohio River, and the Wabash River.
				The phrase "rivers bordering on this State" does not include rivers that do not
				border Illinois, such as the Illinois River and the Calumet River. The phrase
				"rivers bordering on this State" also does not include any portion of Lake
				Michigan.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart C - CERTAIN STATUTORY EXEMPTIONS › Section 130.321 - Fuel Used by Air Common Carriers in Flights Engaged in Foreign Trade or Engaged in Trade Between the United States and any of its Possessions

Current through Register Vol. 48, No. 28, July 12, 2024
a) Until June 30,
				2013, notwithstanding the fact that sales may be at retail,
fuel and
				petroleum products sold to or used by an air common carrier, certified by the
				carrier to be used for consumption, shipment or storage in the conduct of its
				business as an air common carrier, for a flight destined for or returning from
				a location or locations outside the United States without regard to previous or
				subsequent domestic stopovers
is exempt from tax. (Section 2-5 of the
				Act).
b) Exemptions Beginning July
				1, 2013
1)
Beginning July 1,
				2013
, notwithstanding the fact that sales may be at retail, tax does
				not apply to
fuel and petroleum products sold to or used by an air
				carrier, certified by the carrier to be used for consumption, shipment, or
				storage in the conduct of its business as an air common carrier, for a flight
				that:
A)
is engaged in
				foreign trade or is engaged in trade between the United States and any of its
				possessions; and
B)
transports at least one individual or package for hire from the city of
				origination to the city of final destination on the same aircraft, without
				regard to a change in the flight number of that aircraft
[
				35
				ILCS 120/2-5 ].
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart C - CERTAIN STATUTORY EXEMPTIONS › Section 130.325 - Graphic Arts Machinery and Equipment Exemption

Current through Register Vol. 48, No. 28, July 12, 2024
Through June 30, 2003, and beginning again on September 1,
				  2004 through August 30, 2014, notwithstanding the fact that sales may be at
				  retail, the Retailers' Occupation Tax does not apply to the sale of machinery
				  and equipment, including repair and replacement parts, both new and used and
				  including that manufactured on special order to be used primarily in graphic
				  arts production. The exemption extends to purchases by lessors who will lease
				  the property for use primarily in graphic arts production. Taxpayers must
				  certify the use of the equipment they are purchasing to their suppliers. By
				  statute, this exemption was repealed June 30, 2003 (Public Act 93-24; effective
				  June 20, 2003). Pursuant to Public Act 93-840, effective July 30, 2004, this
				  exemption was reenacted without any specific sunset date. Subsequently, Public
				  Act 96-116 added a sunset date for this exemption of August 30, 2014. Beginning
				  July 1, 2017, the manufacturing machinery and equipment exemption includes
				  machinery and equipment used primarily in graphic arts production. See Section
				  130.330(g).
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart C - CERTAIN STATUTORY EXEMPTIONS › Section 130.332 - Automatic Vending Machines

Current through Register Vol. 48, No. 28, July 12, 2024
a)
				General. Notwithstanding the fact that the sales may be at retail, effective
				January 1, 2000 and through December 31, 2001, the Retailers' Occupation Tax
				does not apply to sales of new or used automatic vending machines that prepare
				and serve hot food and beverages. The exemption also applies to individual
				replacement parts for these machines. Beginning January 1, 2002 and through
				June 30, 2003, the Retailers' Occupation Tax does not apply to sales of
				machines and parts for machines used in commercial, coin-operated amusement and
				vending business if a use or occupation tax is paid on the gross receipts
				derived from the use of the commercial, coin-operated amusement and vending
				machines. [35 ILCS
				120/2-5(35) ]
b) Exempt Usage of Vending Machines - January
				1, 2000 through December 31, 2001. Between January 1, 2000 and December 31,
				2001, this exemption exempts from tax only automatic vending machines used in
				the preparation and serving of hot food and beverages. For purposes of this
				exemption, an automatic vending machine is an electrically operated machine
				into which customers insert U.S. legal tender coinage or paper money to cause a
				food or beverage item to be dispensed, the temperature of which is heated above
				the ambient temperature at the time it is removed by the customer. The use of
				vending machines in any other activity will not qualify for this exemption. The
				use of vending machines to dispense or serve unheated food or beverage products
				will not be an exempt use and those machines will be subject to tax. The use of
				vending machines to sell or dispense any non-food items is not an exempt use
				and those machines will be subject to tax.
c) Exempt Usage of Vending Machines - On and
				after January 1, 2002 and through June 30, 2003
1) After December 31, 2001 and through June
				30, 2003, the exemption applies to machines and parts for machines used in
				commercial, coin-operated amusement and vending businesses, so long as the
				owner, operator or user of the machine incurs a use or occupation tax
				liability. The following are examples of situations in which the tax liability
				is incurred on machines:
A) Retailers'
				Occupation Tax is incurred on the sale of tangible personal property through a
				vending machine.
B) Use Tax
				liability is incurred on tangible personal property that is awarded as a
				"prize" resulting from the operation of an amusement machine.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart C - CERTAIN STATUTORY EXEMPTIONS › Section 130.340 - Rolling Stock

Current through Register Vol. 48, No. 28, July 12, 2024
a)
Notwithstanding the fact that the sale is at retail, the Retailers'
				Occupation Tax does not apply to sales of tangible personal property to owners,
				lessors, or shippers of tangible personal property that is utilized by
				interstate carriers for hire for use as rolling stock moving in interstate
				commerce as long as so used by the interstate carriers for hire.
[35 ILCS
				120/2-5(13) ] This exemption is not
				only available to purchasers who are interstate carriers for hire and who
				otherwise meet the requirements of the exemption, but also to lessors who lease
				to interstate carriers who use the property as rolling stock moving in
				interstate commerce and to shippers, including manufacturers, who provide
				tangible personal property (such as shipping containers) to interstate carriers
				for hire when those interstate carriers use that property as rolling stock
				moving in interstate commerce.
1) In making
				an initial determination of eligibility, two conditions that an item must meet
				in each instance are:
A) it must transport
				persons or property for hire; and
B) it must transport persons or property in
				interstate commerce.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart C - CERTAIN STATUTORY EXEMPTIONS › Section 130.341 - Commercial Distribution Fee Sales Tax Exemption

Current through Register Vol. 48, No. 28, July 12, 2024
a) Qualifications for exemption through June
				30, 2004. Beginning on July 1, 2003 through June 30, 2004, sales of certain
				motor vehicles are not subject to the tax imposed under this Part if they meet
				all of the following tests:
1) The motor
				vehicle qualifies as a second division motor vehicle under Section 1-146 of the
				Illinois Vehicle Code. First division motor vehicles, such as those motor
				vehicles that are designed for the carrying of not more than 10 persons, do not
				qualify for the exemption (See
				625 ILCS
				5/1-146.);
2) The motor vehicle has a gross vehicle
				weight in excess of 8,000 pounds; and
3) The motor vehicle is subject to the
				Commercial Distribution Fee imposed under Section 3-815.1 of the Illinois
				Vehicle Code. [35 ILCS
				120/2-5 ] The motor vehicle must be registered and
				remain registered in such a manner whereby it is subject to payment of the
				Commercial Distribution Fee imposed under Section 3-815.1 of the Illinois
				Vehicle Code [625 ILCS
				5/3-815.1] and such fee is actually paid for any
				period in which the fee is in effect.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart D - GROSS RECEIPTS › Section 130.410 - Cost of Doing Business Not Deductible

Current through Register Vol. 48, No. 28, July 12, 2024
In computing Retailers' Occupation Tax liability, no
				  deductions shall be made by a taxpayer from gross receipts or selling prices on
				  account of the cost of property sold, the cost of materials used, labor or
				  service costs, idle time charges, incoming freight or transportation costs,
				  overhead costs, processing charges, clerk hire or salesmen's commissions,
				  interest paid by the seller, or any other expenses whatsoever. Costs of doing
				  business are an element of the retailer's gross receipts subject to tax even if
				  separately stated on the bill to the customer.
a) For example, a retailer may choose to
				accept payment from a customer through the use of a credit or debit card, and
				the retailer may not receive the full amount of payment due to the service
				charges or fees charged by the credit or debit card company. These charges or
				fees are part of the retailer's cost of doing business and are not deductible
				from the gross receipts subject to tax.
b) To determine whether outgoing shipping and
				handling charges are deductible from gross receipts that are subject to tax,
				see Section
				130.415.
c) Handling charges represent a retailer's
				cost of doing business, and are not deductible from the gross charges subject
				to tax. However, such charges are often stated in combination with shipping
				charges. In this case, charges designated as "shipping and handling", as well
				as delivery or transportation charges, are subject to tax as provided in
				Section 130.415.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart D - GROSS RECEIPTS › Section 130.420 - Finance or Interest Charges - Penalties - Discounts

Current through Register Vol. 48, No. 28, July 12, 2024
a) Finance and Interest Charges
Where any tangible personal property is sold under
				  installment contracts, the interest or finance charges on account of credit so
				  extended are not considered to be a part of the "selling price" in computing
				  Retailers' Occupation Tax liability. The books and records of retailers must
				  clearly reflect such finance or interest charges. In the absence of adequate
				  records showing what such charges actually are, the Department will presume
				  that such charges are not in excess of like charges which are customarily made
				  in the trade in connection with similar installment sales.
b) Penalties
If a "penalty" is added to the base retail price in the event
				  that the purchaser does not pay such price within a specified time and such
				  penalty is paid to the seller, such "penalty" becomes a part of the taxable
				  receipts from the sale.
c)
				Discounts
If a discount is allowed for payment in cash within a stated
				  time, any amounts realized by sellers through failure of purchasers to take
				  advantage of such discounts will be considered to be a part of the taxable
				  receipts from the sale. Conversely, if the seller allows the purchaser a
				  discount from the selling price (such as a discount for prompt payment) and the
				  purchaser avails himself of the discount so that the seller does not receive
				  any receipts from that source, the amount of such discount is not subject to
				  tax.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart D - GROSS RECEIPTS › Section 130.430 - Deposit or Prepayment on Purchase Price

Current through Register Vol. 48, No. 28, July 12, 2024
a) If a buyer in a sale at retail makes a
				binding commitment to purchase, and the tangible personal property which is the
				subject of the binding commitment has been identified to the contract, any
				payment on the purchase price must, at the time of such payment, be included in
				the measure of the seller's tax liability. Tangible personal property is
				identified to a contract pursuant to the standards set forth in Section 2-501
				of the Uniform Commercial Code Sales (Ill. Rev. Stat. 1989, ch. 26, par.
				2-501). The giving of the binding purchase order by the purchaser,
				identification of the tangible personal property and the making of a payment on
				the price are sufficient to establish that a sale is intended for the purpose
				of determining that the seller has received taxable "gross receipts".
b) After the seller has paid Retailers'
				Occupation Tax on the amount of such payment on the price, if the transaction
				is rescinded and the seller refunds such payment to the purchaser, the seller
				is in the same position as when he makes a refund on account of the return of
				merchandise after having paid Retailers' Occupation Tax on the amount so
				refunded and so may take a deduction on his return for the return period in
				which such a refund is made.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart D - GROSS RECEIPTS › Section 130.435 - State and Local Taxes Other Than Retailers' Occupation Tax

Current through Register Vol. 48, No. 28, July 12, 2024
a) Illinois Motor
				Fuel Tax and Cigarette Tax
1) In calculating
				taxable receipts, sellers of motor fuel for use or consumption may deduct the
				Illinois Motor Fuel Tax collected by such sellers with respect to such sales,
				because the Illinois Motor Fuel Tax is on the consumer and is not considered to
				be a part of the "selling price" of the motor fuel.
2) The amount of the retail selling price of
				cigarettes represented by the Cigarette Tax or Cigarette Use Tax may not be
				deducted from the seller's gross receipts from the sale in computing Retailers'
				Occupation Tax liability.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart D - GROSS RECEIPTS › Section 130.440 - Penalties

Current through Register Vol. 48, No. 28, July 12, 2024
The retailer should not collect tax on amounts as to which he
				  is acting merely as a tax collector, such as the Cook County Liquor Gallonage
				  Tax, the Illinois Motor Fuel Tax Act (Ill. Rev. Stat. 1989, ch. 120, par. 417
				  et seq.) and 86 Ill. Adm. Code 500. If the retailer does erroneously collect
				  tax on any such amounts, he must refund the erroneously collected tax to the
				  purchaser or else remit such erroneously collected tax to the Department. He
				  may not retain it. Also, if the retailer knowingly collects tax from customers
				  on receipts which are not subject to Retailers' Occupation Tax, he can be
				  subjected to prosecution for a criminal violation.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart D - GROSS RECEIPTS › Section 130.445 - Federal Taxes

Current through Register Vol. 48, No. 28, July 12, 2024
a) When
				Deductible
1) In computing retailers'
				occupation tax liability, a person making such computation may deduct an amount
				equivalent to taxes which the person pays to the Federal Government if the
				person is required by the Federal law to collect such taxes from customers and
				to remit such taxes directly to the Federal Government.
2) Also, in computing retailers' occupation
				tax liability, a person making such computation may deduct an amount equivalent
				to Federal excise tax which the person pays directly to the Federal Government
				if such Federal tax is an excise tax imposed upon tangible personal property
				when sold at retail as distinguished from tangible personal property sold by a
				wholesaler, an importer, a manufacturer or other producer. Such taxes include
				the Federal taxes upon luxury passenger vehicles and special fuels. These taxes
				also include the taxes imposed by Section 4051 of the Internal Revenue Code
				(26 U.S.C.
				405) upon the first retail sale of automobile
				truck chassis and bodies for use with a vehicle that has a gross vehicle weight
				of more than 33,000 pounds; truck trailer and semitrailer chassis and bodies
				suitable for use on a trailer or semitrailer that has a gross vehicle weight of
				more than 26,000 pounds, and tractors regardless of weight of the kind chiefly
				used for highway transportation in combination with a trailer or
				semitrailer.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart D - GROSS RECEIPTS › Section 130.450 - Installation, Alteration and Special Service Charges

Current through Register Vol. 48, No. 28, July 12, 2024
a) When Taxable
Where the seller engages in the business of selling tangible
				  personal property at retail, and such tangible personal property is installed
				  or altered for the purchaser by the seller (or some other special service is
				  performed for the purchaser by the seller with respect to such property), the
				  gross receipts of the seller on account of his charges for such installation,
				  alteration or other special service must be included in the receipts by which
				  his Retailers' Occupation Tax liability is measured, if such installation,
				  alteration or other special service charges are included in the selling price
				  of the tangible personal property which is sold. This is true whether the
				  charge for the property which is sold and the charge for installation,
				  alteration or other special services are billed by the seller to his customers
				  as separate items (except when the purchaser signs an itemized invoice so as to
				  make it a contract reflecting the intention of both the seller and the
				  purchaser), or whether both items are included in a single billed price.
b) When Not Taxable
On the other hand, where the seller and the buyer agree upon
				  the installation, alteration or other special service charges separately from
				  the selling price of the tangible personal property which is sold, then the
				  receipts from the installation, alteration or other special service charge are
				  not a part of the "selling price" of the tangible personal property which is
				  sold, but instead such charge is a service charge, separately contracted for,
				  and need not be included in the figure upon which the seller computes his
				  Retailers' Occupation Tax liability.
c) Cross Reference to Retailers' Occupation
				Tax Section
				130.1940
For information concerning installations by real estate
				  developers and construction contractors, see Section
				  130.1940
				  of this Part.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart E - RETURNS › Section 130.502 - Quarterly Tax Returns

Current through Register Vol. 48, No. 28, July 12, 2024
a) If a
				retailer's average monthly tax liability to the Department does not exceed
				$200, the Department may authorize returns to be filed on a quarter-annual
				basis, with the return for January, February and March of a given year being
				due by April 20 of such year; with the return for April, May and June of a
				given year being due by July 20 of such year; with the return for July, August
				and September of a given year being due by October 20 of such year, and with
				the return for October, November and December of a given year being due by
				January 20 of the following year.
b) The decision to permit quarterly filing
				will be based on information obtained by the Department, including, but not
				limited to, registration and audit information regarding the retailer's average
				monthly liability. The Department shall periodically review taxpayer
				information, including returns filed by the taxpayer, to determine if any
				changes have occurred that require the taxpayer to file returns on other than a
				quarterly basis. If the Department determines that a change is required in
				filing frequency, it shall notify the taxpayer of its determination.
c) Quarterly returns, as to form and
				substance, shall be subject to the same requirements as monthly
				returns.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart E - RETURNS › Section 130.505 - Returns and How to Prepare

Current through Register Vol. 48, No. 28, July 12, 2024
a)
				Returns shall be filed on forms prescribed and furnished by the Department. It
				is the duty of the taxpayer to obtain forms, and failure to obtain them will
				not be an excuse for failure to file returns when and as required by
				law.
b) In determining the amount
				of the tax, taxpayers should not include in their return receipts from sales:
1) of intangible personal property, such as
				shares of stocks, bonds, evidences of interest in property, corporate or other
				franchises and evidences of debt, and
2) of real property, such as lands and
				buildings that are permanently attached to the land.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart E - RETURNS › Section 130.510 - Annual Tax Returns

Current through Register Vol. 48, No. 28, July 12, 2024
a) If a
				retailer's average monthly tax liability to the Department does not exceed $50,
				the Department may authorize returns to be filed on an annual basis, with the
				return for a given year being due by January 20 of the following year. The
				decision to permit annual filing will be based upon information obtained by the
				Department, including, but not limited to, registration and audit information
				regarding the retailer's average monthly liability.
b) The Department shall periodically review
				taxpayer information, including returns filed by the taxpayer, to determine if
				any changes have occurred that require the taxpayer to file returns on other
				than an annual basis. If the Department determines that a change is required in
				filing frequency, it shall notify the taxpayer of its determination.
c) Annual returns, as to form and substance,
				shall be subject to the same requirements as monthly returns.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart E - RETURNS › Section 130.515 - First Return

Current through Register Vol. 48, No. 28, July 12, 2024
In addition, if the business is not a corporation, the first
				  return filed shall show the names and residence addresses of all owners of the
				  business (i.e., persons who share in the profit or loss of such
				  business).
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart E - RETURNS › Section 130.520 - Final Returns When Business is Discontinued

Current through Register Vol. 48, No. 28, July 12, 2024
Notwithstanding any other provision in this Regulation
				  concerning the time within which a retailer may file his return, in the case of
				  any retailer who ceases to engage in a kind of business which makes him
				  responsible for filing returns under this Regulation, such retailer shall file
				  a final return under the Act with the Department not more than one month after
				  discontinuing such business.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart E - RETURNS › Section 130.525 - Who May Sign Returns

Current through Register Vol. 48, No. 28, July 12, 2024
a) Returns must
				be signed by the president, vice president, secretary or treasurer, or by the
				properly accredited agent whose power of attorney is on file with the
				Department, if the seller is a corporation.
b) The official title of the person signing a
				return shall be shown after his signature.
c) If the business is not a corporation but
				is individually owned, returns shall be signed by the owner of the business or
				by his duly authorized agent whose power of attorney is on file with the
				Department.
d) If the business is
				owned by more than one person (partnership, joint stock company, etc.), but is
				not a corporation, returns shall be signed by an owner of the business or by a
				duly authorized agent whose power of attorney is on file with the
				Department.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart E - RETURNS › Section 130.530 - Returns Covering More Than One Location Under Same Registration - Separate Returns for Separately Registered Locations

Current through Register Vol. 48, No. 28, July 12, 2024
a) Where any taxpayer under the Retailers'
				Occupation Tax Act conducts, at more than one location within the State, a
				business which comes within the Act, and as to which separate locations the
				taxpayer has not obtained separate Certificates of Registration as is permitted
				by the Act under some circumstances (see Subpart G of this Part), he shall file
				his returns as consolidated returns covering business operations at all of his
				locations, and he should not file separate returns for each location.
b) Such consolidated return must be filed on
				the Sales and Use Tax Return Form ST-1, supplemented by Form ST-2. If the
				taxpayer is engaged in the retail business at more than one location which
				imposes the Home Rule Municipal Retailers' Occupation Tax, Non-Home Rule
				Municipal Retailer's Occupation Tax, the Home Rule County Retailers' Occupation
				Tax, or taxes pursuant to Section 4 of the Water Commission Act, Section 5.01
				of the Local Mass Transit District Act or Section 4.03 of the Regional
				Transportation Authority Act, the tax rate for gross receipts from sales at
				each site within each entity shall be printed on the ST-2.
c) The total amount of net tax due shown on
				Form ST-2 should be equal to the amount of net tax due shown on the return Form
				ST-1.
d) Where the same person has
				more than one business registered with the Department under separate
				registrations under the Act, such persons shall not file each return that is
				due as a single return covering all such registered businesses, but shall file
				a separate return for each such registered business.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart E - RETURNS › Section 130.540 - Returns on a Transaction by Transaction Basis

Current through Register Vol. 48, No. 28, July 12, 2024
a) Who Must File Transaction Reporting
				Returns
In addition, with respect to motor vehicles,
				  watercraft, trailers, and aircraft (and implements of husbandry or special
				  mobile equipment for which the purchaser intends to apply for an optional
				  title), every retailer selling this kind of tangible personal property in
				  Illinois shall file, with the Department, upon a form prescribed and supplied
				  by the Department, a separate return for each such item of tangible personal
				  property that the retailer sells, except that if, in the same
				  transaction:
1)
a
				retailer of aircraft, watercraft, motor vehicles or trailers transfers more
				than one aircraft, watercraft, motor vehicle or trailer to another aircraft,
				watercraft, motor vehicle or trailer retailer for the purpose of resale;
				or
2)
beginning
				January 1, 2001, a retailer of aircraft, watercraft, motor vehicles, or
				trailers transfers more than one aircraft, watercraft, motor vehicle, or
				trailer to a purchaser for use as qualifying rolling stock
(see
				Section 130.340)
as provided in
				Section 2-5 of the Act; then that seller may report the transfer of all
				aircraft, watercraft, motor vehicles or trailers involved in that transaction
				to the Department on the same uniform invoice-transaction reporting return
				form.
(Section 3 of the Act) For purposes of the exception in
				subsection (a)(2) above, retailers may only report multiple sales of items of
				like kind and character on a single uniform invoice-transaction reporting
				return form. For example, retailers may report the sale of 15 motor vehicles to
				a single purchaser on a single uniform invoice-transaction reporting return
				form. However, retailers may not report the sale of 10 trailers and 5 motor
				vehicles to a single purchaser on a single uniform invoice-transaction
				reporting return form. Such a sale requires one uniform invoice-transaction
				reporting return form for the trailers and a second uniform invoice-transaction
				reporting return form for the motor vehicles.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart E - RETURNS › Section 130.545 - Registrants Must File a Return for Every Return Period

Current through Register Vol. 48, No. 28, July 12, 2024
Every taxpayer under the Retailers' Occupation Tax Act shall
				  file a return for each reporting period (month, quarter or year, as the case
				  may be) in which he is engaged in the business of selling tangible personal
				  property at retail in this State, notwithstanding the fact that, during one or
				  more of such reporting periods, he may not receive any gross receipts rendering
				  him liable for payment of the tax. On the return for such a reporting period,
				  the taxpayer should state the facts which disclose that no tax is due for that
				  reporting period.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart E - RETURNS › Section 130.550 - Filing of Returns for Retailers by Suppliers Under Certain Circumstances

Current through Register Vol. 48, No. 28, July 12, 2024
For greater simplicity of administration, it shall be
				  permissible for manufacturers, importers and wholesalers whose products are
				  sold at retail in Illinois by numerous retailers, and who wish to do so, to
				  assume the responsibility for accounting and paying to the Department all tax
				  accruing under the Act with respect to such sales, if the retailers who are
				  affected do not make written objection to the Department to this arrangement,
				  and provided that such arrangement in any given case is acceptable to the
				  Department.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart E - RETURNS › Section 130.552 - Alcoholic Liquor Reporting

Current through Register Vol. 48, No. 28, July 12, 2024
a)
				Retailer Liquor Report. Beginning on October 1, 2003, any person that is
				engaged in the business of selling alcoholic liquor at retail through a liquor
				store, tavern, or restaurant shall file a monthly statement with the Department
				listing the total amount paid for alcoholic liquor purchased during the
				preceding calendar month. The statement shall be filed on such person's Form
				ST-1, Sales and Use Tax Return, by including the total amount shown on invoices
				for alcoholic liquor delivered during the preceding calendar month. For returns
				due through January 31, 2012, the Form ST-1 Return shall be filed using the
				Department's TeleFile program (86 Ill. Adm. Code 770). For returns due on and
				after February 1, 2012, the Form ST-1 Return shall be filed by electronic means
				under the Department's electronic filing program in accordance with regulations
				at 86 Ill. Adm. Code
				760.100. Upon petition by
				a taxpayer, the Department may waive the electronic filing requirement if the
				taxpayer attests that it does not have access to the Internet. The requirements
				of this subsection (a) shall not apply to any person who is a licensed
				distributor, importing distributor, or manufacturer as those persons are
				described in Sections 1-3.08, 1-3.15, and 1-3.16 of the Liquor Control Act of
				1934. The requirements of this subsection (a) shall not apply to any person who
				is required to make quarter monthly payments on the
				7th, 15th,
				22nd, and last day of each month under Section 3 of
				the Retailers' Occupation Tax Act. [35
				ILCS 120/3 ] For purposes of this subsection (a):
1) "Liquor store" means any legal entity that
				is operated primarily to sell alcoholic liquor at retail to the public. To meet
				the primary test, the selling price of all the alcoholic liquor sold during a
				calendar year must exceed 50% of the selling price of all retail sales for that
				calendar year.
2) "Tavern" means
				any legal entity that is operated to sell alcoholic liquor at retail to the
				public for on-premises consumption.
3) "Restaurant" means any legal entity that
				is operated to sell food and alcoholic liquor at retail to the public for
				on-premises consumption.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart E - RETURNS › Section 130.555 - Vending Machine Information Returns

Current through Register Vol. 48, No. 28, July 12, 2024
Through December 31, 2011 any person who engages in the
				  business of selling tangible personal property at retail through a vending
				  machine or through vending machines shall file an information report or return
				  with the Department by January 31 of the number of vending machines that person
				  was using in his or her business of selling tangible personal property at
				  retail on the preceding December 31. For information as to what constitutes
				  engaging in the business of selling tangible personal property at retail
				  through vending machines, see Section
				  130.2135.
				  Beginning January 1, 2012, if a person who is registered to sell tangible
				  personal property through a vending machine adds an additional vending machine,
				  he or she shall request an additional sub-certificate and report to the
				  Department the number of sub-certificates of registration being requested, as
				  well as the total number of vending machines from which he or she makes retail
				  sales. Additional sub-certificates of registration may be requested
				  electronically on the Department's website at
www.tax.illinois.gov
.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart E - RETURNS › Section 130.560 - Verification of Returns

Current through Register Vol. 48, No. 28, July 12, 2024
Each return or notice required to be filed under this Act
				  shall contain or be verified by a written declaration that it is made under the
				  penalties of perjury.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart F - INTERSTATE COMMERCE › Section 130.605 - Sales of Property Originating in Illinois; Questions of Interstate Commerce

Current through Register Vol. 48, No. 28, July 12, 2024
a) Where
				tangible personal property is located in this State at the time of its sale (or
				is subsequently produced in Illinois), and then delivered in Illinois to the
				purchaser, the seller is taxable if the sale is at retail.
1) The sale is not deemed to be in interstate
				commerce if the purchaser or his representative receives the physical
				possession of the property in this State.
2) This is so notwithstanding the fact that
				the purchaser may, after receiving physical possession of the property in this
				State, transport or send the property out of the State for use outside the
				State or for use in the conduct of interstate commerce.
3) The place at which the contract of sale or
				contract to sell is negotiated and executed and the place at which title to the
				property passes to the purchaser are immaterial. The place at which the
				purchaser resides is also immaterial. It likewise makes no difference that the
				purchaser is a carrier when that happens to be the case.
Illinois Administrative Code › Title 86 - REVENUE › Part 130 - RETAILERS' OCCUPATION TAX › Subpart G - CERTIFICATE OF REGISTRATION › Section 130.705 - Procedure in Disputed Cases Involving Certificates of Registration

Current through Register Vol. 48, No. 28, July 12, 2024
a)
No
				certificate of registration shall be issued to any person who is in default to
				the State of Illinois for moneys due under
the Retailers' Occupation
				Tax Act
or under any other State tax law or municipal or county tax
				ordinance or resolution under which the certificate of registration that is
				issued to the applicant under
the Retailers' Occupation Tax Act
will permit the applicant to engage in business without registering
				separately under such other law, ordinance or resolution.
[35 ILCS
				120/2a]
b)
Any person aggrieved by any decision of the Department under
Section 2a of the Retailers' Occupation Tax Act
may within 20 days
				after notice of such decision, protest and request a hearing, whereupon the
				Department shall give notice to such person of the time and place fixed for
				such hearing and shall hold a hearing in conformity with the provisions
				of
the Retailers' Occupation Tax Act
and then issue its final
				administrative decision in the matter to such person.
[35 ILCS
				120/2a]
c)
In the absence of such a protest within 20 days, the Department's
				decision shall become final without any further determination being made or
				notice given.
[35 ILCS 120/2a]