Illinois Tax Changes - October 2024
Week Of 10.14.2024
Illinois Fuels & Minerals Taxes—Illinois temporarily waives IFTA and MFUT requirements for hurricane relief efforts.
Illinois Governor JB Pritzker and the Illinois Department of Revenue are temporarily suspending the International Fuel Tax Agreement (IFTA) registration and motor fuel use tax (MFUT) single trip permitting for qualified motor vehicles assisting with relief efforts in the wake of Hurricanes Milton and Helene. The waiver is effective from October 11, 2024, through November 9, 2024. Illinois will also waive IFTA-required credentials and MFUT single trip permits to qualified vehicles specifically delivering goods, services, or foods necessary for sustaining life and livestock in areas covered by the declaration of emergency. (Governor Pritzker Temporarily Suspends IFTA/MFUT Requirements Due to Hurricanes Milton & Helene, Office of Governor JB Pritzker, 10/11/2024.)
Illinois Sales & Use Taxes—Illinois amends aircraft exemption and fuels tax regulations.
The Illinois Department of Revenue amended regulations 86 Ill. Admin. Code §§ 130.120, 130.320, 140.101, 140.125, and 150.105, effective 09/25/2024, implementing legislative changes to the Retailers' Occupation Tax Act, Service Occupation Tax Act and Use Tax Act, and expanding the exemption for materials, parts, equipment, components, and furnishings incorporated into or upon an aircraft to include aircraft engines or power plants. The aircraft maintenance exemption is extended to December 31, 2029. Changes are also made to the percentage of proceeds subject to sales tax from sales of gasohol, majority blended ethanol fuel, and mid-range ethanol blends.
Illinois Sales & Use Taxes—Illinois amends hotel operators’ tax regulations.
The Illinois Department of Revenue amended regulation 86 Ill. Admin. Code § 480.101, effective 09/25/2024, implementing legislative changes to the hotel operators' occupation tax by extending the sales tax exemption to include gross receipts from renting or leasing rooms to an entity that is organized and operated exclusively by an organization chartered by the U.S. Congress for the purpose of providing disaster relief. To qualify for the exemption, the entity must possess an active Exemption Identification Number issued by the Department.
Week Of 09.30.2024
The Illinois Department of Revenue has released a bulletin outlining changes to the Simplified Municipal Telecommunications Tax Rate effective January 1, 2025.
This bulletin details the municipalities that are imposing a simplified municipal telecommunications tax or changing their rate.
Illinois Prepaid Wireless E911 Surcharge Rate Increase in Chicago
Effective November 1, 2024, and until July 1, 2029, the prepaid wireless E911 surcharge rate in Chicago will increase from 0% to 9%. This change is due to an amendment to the Prepaid Wireless 9-1-1 Surcharge Act, restoring Chicago's authority to impose a 9% surcharge rate for transactions within the city.
The Illinois Department of Revenue (IDOR) has issued an informational bulletin to all retailers and service persons filing Form ST-1 (Sales and Use Tax and E911 Surcharge Return) who make sales of prepaid wireless telecommunications services from locations in Chicago. This bulletin supersedes, in part, Illinois Dept. of Rev. Info. Bulletin No. FY 2025-02, 08/01/2024. (Illinois Dept. of Rev. Info. Bulletin No. FY 2025-05, 09/01/2024).
Outside of Chicago, the E911 surcharge rate remains at 3%.
Key Points:
- Surcharge Rate: Chicago: 9%; Outside Chicago: 3%
- Effective Date: November 1, 2024
- Expiration Date: July 1, 2029
- Relevant Form: Form ST-1 (Sales and Use Tax and E911 Surcharge Return)
Week Of 10.14.2024
Illinois Fuels & Minerals Taxes—Illinois temporarily waives IFTA and MFUT requirements for hurricane relief efforts.
Illinois Governor JB Pritzker and the Illinois Department of Revenue are temporarily suspending the International Fuel Tax Agreement (IFTA) registration and motor fuel use tax (MFUT) single trip permitting for qualified motor vehicles assisting with relief efforts in the wake of Hurricanes Milton and Helene. The waiver is effective from October 11, 2024, through November 9, 2024. Illinois will also waive IFTA-required credentials and MFUT single trip permits to qualified vehicles specifically delivering goods, services, or foods necessary for sustaining life and livestock in areas covered by the declaration of emergency. (Governor Pritzker Temporarily Suspends IFTA/MFUT Requirements Due to Hurricanes Milton & Helene, Office of Governor JB Pritzker, 10/11/2024.)
Illinois Sales & Use Taxes—Illinois amends aircraft exemption and fuels tax regulations.
The Illinois Department of Revenue amended regulations 86 Ill. Admin. Code §§ 130.120, 130.320, 140.101, 140.125, and 150.105, effective 09/25/2024, implementing legislative changes to the Retailers' Occupation Tax Act, Service Occupation Tax Act and Use Tax Act, and expanding the exemption for materials, parts, equipment, components, and furnishings incorporated into or upon an aircraft to include aircraft engines or power plants. The aircraft maintenance exemption is extended to December 31, 2029. Changes are also made to the percentage of proceeds subject to sales tax from sales of gasohol, majority blended ethanol fuel, and mid-range ethanol blends.
Illinois Sales & Use Taxes—Illinois amends hotel operators’ tax regulations.
The Illinois Department of Revenue amended regulation 86 Ill. Admin. Code § 480.101, effective 09/25/2024, implementing legislative changes to the hotel operators' occupation tax by extending the sales tax exemption to include gross receipts from renting or leasing rooms to an entity that is organized and operated exclusively by an organization chartered by the U.S. Congress for the purpose of providing disaster relief. To qualify for the exemption, the entity must possess an active Exemption Identification Number issued by the Department.
Week Of 09.30.2024
Illinois Business Tax Rates—Illinois simplified municipal telecommunications tax rate changes.
The Illinois Department of Revenue issued an informational bulletin detailing the municipalities that are imposing a simplified municipal telecommunications tax, or changing their rate, effective January 1, 2025. (Illinois Dept. of Rev. Info. Bulletin No. FY 2025-07, 10/01/2024.)
Illinois Public Utilities Tax—Illinois simplified municipal telecommunications tax rate changes.
The Illinois Department of Revenue issued an informational bulletin detailing the municipalities that are imposing a simplified municipal telecommunications tax, or changing their rate, effective January 1, 2025. (Illinois Dept. of Rev. Info. Bulletin No. FY 2025-07, 10/01/2024.)
Illinois Business Tax Rates—Prepaid wireless E911 surcharge rate increasing in Chicago, Illinois.
The Illinois Department of Revenue issued an informational bulletin to all retailers and service persons filing Form ST-1 (Sales and Use Tax and E911 Surcharge Return), and making sales of prepaid wireless telecommunications services from locations in Chicago. Effective November 1, 2024, and until July 1, 2029, the prepaid wireless E911 surcharge rate imposed in Chicago will increase from 0% to 9%. The rate change is a result of an amendment to the Prepaid Wireless 9-1-1 Surcharge Act to reestablish Chicago's authority to impose a 9% surcharge rate for Chicago transactions. The E911 surcharge rate outside of Chicago remains at 3%. This bulletin supersedes, in part, Illinois Dept. of Rev. Info. Bulletin No. FY 2025-02, 08/01/2024. (Illinois Dept. of Rev. Info. Bulletin No. FY 2025-05, 09/01/2024.)
Illinois Public Utilities Tax—Prepaid wireless E911 surcharge rate increasing in Chicago, Illinois.
The Illinois Department of Revenue issued an informational bulletin to all retailers and service persons filing Form ST-1 (Sales and Use Tax and E911 Surcharge Return), and making sales of prepaid wireless telecommunications services from locations in Chicago. Effective November 1, 2024, and until July 1, 2029, the prepaid wireless E911 surcharge rate imposed in Chicago will increase from 0% to 9%. The rate change is a result of an amendment to the Prepaid Wireless 9-1-1 Surcharge Act to reestablish Chicago's authority to impose a 9% surcharge rate for Chicago transactions. The E911 surcharge rate outside of Chicago remains at 3%. This bulletin supersedes, in part, Illinois Dept. of Rev. Info. Bulletin No. FY 2025-02, 08/01/2024. (Illinois Dept. of Rev. Info. Bulletin No. FY 2025-05, 09/01/2024.)
Week Of 10.14.2024
Illinois Fuels & Minerals Taxes—Illinois temporarily waives IFTA and MFUT requirements for hurricane relief efforts.
Illinois Governor JB Pritzker and the Illinois Department of Revenue are temporarily suspending the International Fuel Tax Agreement (IFTA) registration and motor fuel use tax (MFUT) single trip permitting for qualified motor vehicles assisting with relief efforts in the wake of Hurricanes Milton and Helene. The waiver is effective from October 11, 2024, through November 9, 2024. Illinois will also waive IFTA-required credentials and MFUT single trip permits to qualified vehicles specifically delivering goods, services, or foods necessary for sustaining life and livestock in areas covered by the declaration of emergency. (Governor Pritzker Temporarily Suspends IFTA/MFUT Requirements Due to Hurricanes Milton & Helene, Office of Governor JB Pritzker, 10/11/2024.)
Illinois Sales & Use Taxes—Illinois amends aircraft exemption and fuels tax regulations.
The Illinois Department of Revenue amended regulations 86 Ill. Admin. Code §§ 130.120, 130.320, 140.101, 140.125, and 150.105, effective 09/25/2024, implementing legislative changes to the Retailers' Occupation Tax Act, Service Occupation Tax Act and Use Tax Act, and expanding the exemption for materials, parts, equipment, components, and furnishings incorporated into or upon an aircraft to include aircraft engines or power plants. The aircraft maintenance exemption is extended to December 31, 2029. Changes are also made to the percentage of proceeds subject to sales tax from sales of gasohol, majority blended ethanol fuel, and mid-range ethanol blends.
Illinois Sales & Use Taxes—Illinois amends hotel operators’ tax regulations.
The Illinois Department of Revenue amended regulation 86 Ill. Admin. Code § 480.101, effective 09/25/2024, implementing legislative changes to the hotel operators' occupation tax by extending the sales tax exemption to include gross receipts from renting or leasing rooms to an entity that is organized and operated exclusively by an organization chartered by the U.S. Congress for the purpose of providing disaster relief. To qualify for the exemption, the entity must possess an active Exemption Identification Number issued by the Department.
Week Of 09.30.2024
Illinois Business Tax Rates—Illinois simplified municipal telecommunications tax rate changes.
The Illinois Department of Revenue issued an informational bulletin detailing the municipalities that are imposing a simplified municipal telecommunications tax, or changing their rate, effective January 1, 2025. (Illinois Dept. of Rev. Info. Bulletin No. FY 2025-07, 10/01/2024.)
Illinois Public Utilities Tax—Illinois simplified municipal telecommunications tax rate changes.
The Illinois Department of Revenue issued an informational bulletin detailing the municipalities that are imposing a simplified municipal telecommunications tax, or changing their rate, effective January 1, 2025. (Illinois Dept. of Rev. Info. Bulletin No. FY 2025-07, 10/01/2024.)
Illinois Business Tax Rates—Prepaid wireless E911 surcharge rate increasing in Chicago, Illinois.
The Illinois Department of Revenue issued an informational bulletin to all retailers and service persons filing Form ST-1 (Sales and Use Tax and E911 Surcharge Return), and making sales of prepaid wireless telecommunications services from locations in Chicago. Effective November 1, 2024, and until July 1, 2029, the prepaid wireless E911 surcharge rate imposed in Chicago will increase from 0% to 9%. The rate change is a result of an amendment to the Prepaid Wireless 9-1-1 Surcharge Act to reestablish Chicago's authority to impose a 9% surcharge rate for Chicago transactions. The E911 surcharge rate outside of Chicago remains at 3%. This bulletin supersedes, in part, Illinois Dept. of Rev. Info. Bulletin No. FY 2025-02, 08/01/2024. (Illinois Dept. of Rev. Info. Bulletin No. FY 2025-05, 09/01/2024.)
Illinois Public Utilities Tax—Prepaid wireless E911 surcharge rate increasing in Chicago, Illinois.
The Illinois Department of Revenue issued an informational bulletin to all retailers and service persons filing Form ST-1 (Sales and Use Tax and E911 Surcharge Return), and making sales of prepaid wireless telecommunications services from locations in Chicago. Effective November 1, 2024, and until July 1, 2029, the prepaid wireless E911 surcharge rate imposed in Chicago will increase from 0% to 9%. The rate change is a result of an amendment to the Prepaid Wireless 9-1-1 Surcharge Act to reestablish Chicago's authority to impose a 9% surcharge rate for Chicago transactions. The E911 surcharge rate outside of Chicago remains at 3%. This bulletin supersedes, in part, Illinois Dept. of Rev. Info. Bulletin No. FY 2025-02, 08/01/2024. (Illinois Dept. of Rev. Info. Bulletin No. FY 2025-05, 09/01/2024.)