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Use Tax Act

Illinois · Revenue · §§ 35-105-1 to 35-105-9 · 66 sections

Overview

The act imposes a tax on the storage, use, or consumption of tangible personal property and certain enumerated services within the state, complementing the sales tax by reaching transactions that would otherwise escape it. It sets the rate and the price base to which it applies, defines key terms, establishes sourcing rules that determine where a transaction occurs — with specialized treatment for telecommunications, mobile wireless service, and direct mail — and obligates sellers to register, collect the tax from purchasers, and remit it, with purchasers who claim an exemption required to document the claim. It also creates a substantial set of exemptions covering particular property, industries, and transfers, along with recordkeeping and audit authority, refund and credit procedures, penalties for noncompliance by sellers and consumers, and rules governing how the collected revenue is deposited and distributed.

Editorial summary generated from the text of this act. It is not part of the statute — read the sections below for the operative language.

Sections covered

Enacted in other states

Michigan

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