Chapter 35 — REVENUE

(35 ILCS 105/10) (from Ch. 120, par. 439.10) Sec. 10. Except as to motor vehicles, aircraft, watercraft, and trailers, and except as to cigarettes as defined in the Cigarette Use Tax Act, when tangible personal property is purchased from a retailer for use in this State by a purc…

(35 ILCS 105/10.5) Sec. 10.5. Individual use tax amnesty. The Department shall establish an amnesty program for all individual taxpayers owing any tax imposed under this Act for their purchases of tangible personal property from a retailer for use in this State (eligible taxes). …

(35 ILCS 105/10a) (from Ch. 120, par. 439.10a) Sec. 10a. Notwithstanding any other provision to the contrary, any person who is required to file a bond pursuant to any provision of this Act and who has continuously complied with all provisions of this Act for 24 or more consecuti…

(35 ILCS 105/11) (from Ch. 120, par. 439.11) Sec. 11. Every retailer required or authorized to collect taxes hereunder and every person using in this State tangible personal property purchased at retail from a retailer on or after the effective date hereof shall keep such records…

(35 ILCS 105/12) (from Ch. 120, par. 439.12) Sec. 12. Applicability of Retailers' Occupation Tax Act and Uniform Penalty and Interest Act. All of the provisions of Sections 1d, 1e, 1f, 1i, 1j, 1j.1, 1k, 1m, 1n, 1o, 2-6, 2-12, 2-29, 2-54, 2a, 2b, 2c, 3, 4 (except that the time lim…

(35 ILCS 105/12a) (from Ch. 120, par. 439.12a) Sec. 12a. Any non-resident of this State who accepts the privilege extended by the laws of this State to non-residents of acting as a retailer maintaining a place of business in this State within the meaning of Section 2 of this Act,…

(35 ILCS 105/12b) (from Ch. 120, par. 439.12b) Sec. 12b. The Illinois Administrative Procedure Act is hereby expressly adopted and shall apply to all administrative rules and procedures of the Department of Revenue under this Act, except that (1) paragraph (b) of Section 5-10 of …

(35 ILCS 105/13) (from Ch. 120, par. 439.13) Sec. 13. Whenever any retailer not maintaining a place of business in this State, to whom a permit to collect the tax hereby imposed has been issued pursuant to Section 6 hereof, fails to comply with any of the provisions hereof or any…

(35 ILCS 105/14) (from Ch. 120, par. 439.14) Sec. 14. When the amount due is under $300, any person subject to the provisions hereof who fails to file a return, or who violates any other provision of Section 9 or Section 10 hereof, or who fails to keep books and records as requir…

(35 ILCS 105/15) (from Ch. 120, par. 439.15) Sec. 15. The tax herein imposed shall be in addition to all other occupation or privilege taxes imposed by the State of Illinois or by any municipal corporation or political subdivision thereof. Any taxpayer or agent of a taxpayer who …

(35 ILCS 105/18) (from Ch. 120, par. 439.18) Sec. 18. If any clause, sentence, Section, provision or part of this Act or the application thereof to any person or circumstance shall be adjudged to be unconstitutional, the remainder of this Act or its application to persons or circ…

(35 ILCS 105/19) (from Ch. 120, par. 439.19) Sec. 19. If it shall appear that an amount of tax or penalty or interest has been paid in error hereunder to the Department by a purchaser, as distinguished from the retailer, whether such amount be paid through a mistake of fact or an…

(35 ILCS 105/1a) (from Ch. 120, par. 439.1a) Sec. 1a. A person who is engaged in the business of leasing or renting motor vehicles to others and who, in connection with such business sells any used motor vehicle to a purchaser for his use and not for the purpose of resale, is a r…

(35 ILCS 105/2) (from Ch. 120, par. 439.2) Sec. 2. Definitions. As used in this Act: "Use" means the exercise by any person of any right or power over tangible personal property incident to the ownership of that property, or, on and after January 1, 2025, incident to the possessi…

(35 ILCS 105/20) (from Ch. 120, par. 439.20) Sec. 20. As soon as practicable after a claim for credit or refund is filed, the Department shall examine the same and determine the amount of credit or refund to which the claimant or the claimant's legal representative, in the event …

(35 ILCS 105/21) (from Ch. 120, par. 439.21) Sec. 21. As to any claim for credit or refund filed with the Department on and after January 1 but on or before June 30 of any given year, no amount of tax or penalty or interest erroneously paid (either in total or partial liquidation…

(35 ILCS 105/22) (from Ch. 120, par. 439.22) Sec. 22. If it is determined that the Department should issue a credit or refund under this Act, the Department may first apply the amount thereof against any amount of tax or penalty or interest due hereunder, or under the Retailers' …

(35 ILCS 105/2a) (from Ch. 120, par. 439.2a) Sec. 2a. "Pollution control facilities" means any system, method, construction, device or appliance appurtenant thereto sold or used or intended for the primary purpose of eliminating, preventing, or reducing air and water pollution as…

(35 ILCS 105/2a-1) (from Ch. 120, par. 439.2a-1) Sec. 2a-1. "Low sulfur dioxide emission coal fueled devices" means any device sold or used or intended for the purpose of burning, combusting or converting locally available coal in a manner which eliminates or significantly reduce…

(35 ILCS 105/2b) (from Ch. 120, par. 439.2b) (Text of Section before amendment by P.A. 104-457) Sec. 2b. "Selling price" shall not include any amounts added to prices by sellers on account of the seller's duty to collect any tax imposed under the "Regional Transportation Authorit…

(35 ILCS 105/2c) (from Ch. 120, par. 439.2c) Sec. 2c. For purposes of this Act, a corporation, limited liability company, society, association, foundation or institution organized and operated exclusively for educational purposes shall include: all tax-supported public schools; p…

(35 ILCS 105/2d) Sec. 2d. Marketplace facilitators and marketplace sellers. (a) As used in this Section: "Affiliate" means a person that, with respect to another person: (i) has a direct or indirect ownership interest of more than 5 percent in the other person; or (ii) is related…

(35 ILCS 105/3) (from Ch. 120, par. 439.3) Sec. 3. Tax imposed. A tax is imposed upon the privilege of using in this State tangible personal property purchased, which, on and after January 1, 2025, includes leased, at retail from a retailer, including computer software, and inclu…

(35 ILCS 105/3-10) from Ch. 120, par. 439.33-10 Sec. 3-10. Rate of tax. Unless otherwise provided in this Section, the tax imposed by this Act is at the rate of 6.25% of either the selling price or the fair market value, if any, of the tangible personal property, which, on and af…

(35 ILCS 105/3-10.5) Sec. 3-10.5. Direct payment of retailers' occupation tax and applicable local retailers' occupation tax by purchaser; purchaser relieved of paying use tax and local retailers' occupation tax reimbursement liabilities to retailer. (a) A retailer who makes a re…

(35 ILCS 105/3-15) (from Ch. 120, par. 439.3-15) Sec. 3-15. Photoprocessing. For purposes of the tax imposed on photographs, negatives, and positives by this Act, "photoprocessing" includes, but is not limited to, developing films, positives, negatives, and transparencies, and ti…

(35 ILCS 105/3-20) (from Ch. 120, par. 439.3-20) Sec. 3-20. Bullion. For purposes of the exemption pertaining to bullion, "bullion" means gold, silver, or platinum in a bulk state with a purity of not less than 980 parts per 1,000. (Source: P.A. 91-51, eff. 6-30-99.)

(35 ILCS 105/3-25) (from Ch. 120, par. 439.3-25) Sec. 3-25. Computer software. For the purposes of this Act, "computer software" means a set of statements, data, or instructions to be used directly or indirectly in a computer in order to bring about a certain result in any form i…

(35 ILCS 105/3-27) Sec. 3-27. Prepaid telephone calling arrangements. "Prepaid telephone calling arrangements" mean the right to exclusively purchase telephone or telecommunications services that must be paid for in advance and enable the origination of one or more intrastate, in…

(35 ILCS 105/3-30) (from Ch. 120, par. 439.3-30) Sec. 3-30. Graphic arts production. For the purposes of this Act, "graphic arts production" means the production of tangible personal property for wholesale or retail sale or lease by means of printing, including ink jet printing, …

(35 ILCS 105/3-35) (from Ch. 120, par. 439.3-35) Sec. 3-35. Production agriculture. For purposes of this Act, "production agriculture" means the raising of or the propagation of livestock; crops for sale for human consumption; crops for livestock consumption; and production seed …

(35 ILCS 105/3-40) (from Ch. 120, par. 439.3-40) Sec. 3-40. Gasohol. As used in this Act, "gasohol" means motor fuel that is a blend of denatured ethanol and gasoline that contains no more than 1.25% water by weight. Prior to January 1, 2024, the blend must contain 90% gasoline a…

(35 ILCS 105/3-41) Sec. 3-41. Biodiesel. "Biodiesel" means a diesel fuel that is not a hydrocarbon fuel and that is derived from biomass that is intended for use in diesel engines. (Source: P.A. 102-700, eff. 4-19-22.)

(35 ILCS 105/3-42) Sec. 3-42. Biodiesel blend. "Biodiesel blend" means a blend of biodiesel with petroleum-based diesel fuel in which the resultant product contains no less than 1% and no more than 99% biodiesel. (Source: P.A. 93-17, eff. 6-11-03.)

(35 ILCS 105/3-42.5) Sec. 3-42.5. Renewable diesel. "Renewable diesel" means a diesel fuel that is a hydrocarbon fuel derived from biomass meeting the requirements of the latest version of ASTM standards D975 or D396. Fuels that have been co-processed are not considered renewable…

(35 ILCS 105/3-43) Sec. 3-43. Biomass. "Biomass" means non-fossil organic materials that have an intrinsic chemical energy content. "Biomass" includes, but is not limited to, soybean oil, other vegetable oils, and ethanol. (Source: P.A. 93-17, eff. 6-11-03.)

(35 ILCS 105/3-44) Sec. 3-44. Majority blended ethanol fuel. Prior to January 1, 2024, "majority blended ethanol fuel" means motor fuel that contains not less than 70% and no more than 90% denatured ethanol and no less than 10% and no more than 30% gasoline. On and after January …

(35 ILCS 105/3-44.3) Sec. 3-44.3. Mid-range ethanol blend. "Mid-range ethanol blend" means a blend of gasoline and denatured ethanol that contains at least 20% but less than 51% denatured ethanol. (Source: P.A. 103-9, eff. 6-7-23.)

(35 ILCS 105/3-44.5) Sec. 3-44.5. Diesel fuel. "Diesel fuel" means any product intended for use or offered for sale as a fuel for engines in which the fuel is injected into the combustion chamber and ignited by pressure without electric spark. (Source: P.A. 93-17, eff. 6-11-03.)…

(35 ILCS 105/3-45) (from Ch. 120, par. 439.3-45) Sec. 3-45. Collection. The tax imposed by this Act shall be collected from the purchaser by a retailer maintaining a place of business in this State or a retailer authorized by the Department under Section 6 of this Act, and shall …

(35 ILCS 105/3-5) Sec. 3-5. Exemptions. Use, which, on and after January 1, 2025, includes use by a lessee, of the following tangible personal property is exempt from the tax imposed by this Act: (1) Personal property purchased from a corporation, society, association, foundation…

(35 ILCS 105/3-5.1) Sec. 3-5.1. Biodiesel, renewable diesel, and biodiesel blends. (a) On and after January 1, 2024 and on or before December 31, 2030, the taxes imposed by this Act, the Service Use Tax Act, the Service Occupation Tax Act, or the Retailers' Occupation Tax Act app…

(35 ILCS 105/3-5.5) Sec. 3-5.5. Food and drugs sold by not-for-profit organizations; exemption. The Department shall not collect the 1% tax imposed under this Act from any not-for-profit organization that sells food in a food distribution program at a price below the retail cost …

(35 ILCS 105/3-50) (from Ch. 120, par. 439.3-50) Sec. 3-50. Manufacturing and assembly exemption. The manufacturing and assembling machinery and equipment exemption includes machinery and equipment that replaces machinery and equipment in an existing manufacturing facility as wel…

(35 ILCS 105/3-55) (from Ch. 120, par. 439.3-55) Sec. 3-55. Multistate exemption. To prevent actual or likely multistate taxation, the tax imposed by this Act does not apply to the use of tangible personal property in this State under the following circumstances: (a) The use, in …

(35 ILCS 105/3-6) Sec. 3-6. Sales tax holiday items. (a) Any tangible personal property described in this subsection is a sales tax holiday item and qualifies for the 1.25% reduced rate of tax for the period set forth in Section 3-10 of this Act (hereinafter referred to as the Sa…

(35 ILCS 105/3-60) (from Ch. 120, par. 439.3-60) Sec. 3-60. Rolling stock exemption. Except as provided in Section 3-61 of this Act, the rolling stock exemption applies to rolling stock used by an interstate carrier for hire, even just between points in Illinois, if the rolling s…

(35 ILCS 105/3-61) Sec. 3-61. Motor vehicles; trailers; use as rolling stock definition. (a) (Blank). (b) (Blank). (c) This subsection (c) applies to motor vehicles, other than limousines, purchased through June 30, 2017. For motor vehicles, other than limousines, purchased on or…

(35 ILCS 105/3-65) (from Ch. 120, par. 439.3-65) Sec. 3-65. R.O.T. nontaxability. If the seller of tangible personal property for use would not be taxable under the Retailers' Occupation Tax Act despite all elements of the sale occurring in Illinois, then the tax imposed by this …

(35 ILCS 105/3-7) Sec. 3-7. Aggregate manufacturing exemption. Through June 30, 2003, the use of aggregate exploration, mining, offhighway hauling, processing, maintenance, and reclamation equipment, including replacement parts and equipment, and including equipment purchased for…