Article IV: Municipal Service Occupation Tax

36-4-1 TAX IMPOSED. A tax is imposed on all persons engaged in the following occupations or privileges:
(A) Persons engaged in the business of distributing, supplying, furnishing, or selling gas for use or consumption within the corporate limits of the Village and not for resale, at the rate of 2.5% of the gross receipts therefrom.
(B) Persons engaged in the business of distributing, supplying, furnishing, or selling electricity for use or consumption within the corporate limits of the Village and not for resale, at the rate of 2.5% of the gross receipts therefrom.

36-4-2 GAS AND ELECTRIC TAX. No tax is imposed by this chapter with respect to any transaction in interstate commerce or otherwise to the extent to which such business may not, under the constitution and statures of the United States, be made subject to taxation by this State o r any political subdivision thereof; nor shall any persons engaged in the business of distributing, supplying, furnishing or selling gas or electricity be subject to taxation under the provisions of this chapter for such transactions as are or may become subject to taxation under the provisions of the “Municipal Retailers’ Occupation Tax Act” authorized by Section 8-11-1 of the Illinois Municipal Code.

36-4-3 TAX IN ADDITION TO OTHER PAYMENTS. Such tax shall be in addition to the payment of money, or value or products, or services furnished to this Village by the taxpayer as compensation for the use of its streets, alleys, or other public places, or installation and maintenance therein, thereon or there under of poles, wires, piper or other equipment used in the operation of the taxpayers’ business.

36-4-4 DEFINITIONS. For the purposes of this article, the following definitions shall apply:

“GROSS RECEIPTS” means the consideration received for distribution, supplying, furnishing or selling gas or electricity for use or consumption and not for resale, as the case may be; and for all services rendered in connection therewith valued in money, whether received in money or otherwise, including cash, credit, services, and property of every kind and material and for al services rendered therewith; and shall be determined without any deduction on account of the cost of the service, product or commodity supplied, the cost of materials used, labor or service cost, or any other expenses whatsoever.

“PERSON” means any natural individual, firm, trust, estate, partnership, association, joint stock company, joint adventure, corporation, municipal corporation or political subdivision of this State, or a receiver, trustee, conservator or other representative appointed by order of any court.

36-4-5 WHEN EFFECTIVE. This article shall take effect after publication and the tax provided for herein shall be based on the gross receipts, as herein defined, actually paid to the taxpayer for services billed on or after the first day of May, 1984.

36-4-6 REPORTS FILED. On or before the last day of June 1984, each taxpayer shall make a return to the Village Treasurer, stating:
(A) His name;
(B) His principal place of business
(C) His gross receipts during those months upon the basis of which the tax is imposed
(D) Amount of tax;
(E) Such other reasonable and related information as the corporate authorities may require.

On or before the last day of every month thereafter, each taxpayer shall make a like return to the Village Treasurer for a corresponding monthly period.

The taxpayer making the return herein provided for shall, at the time of making such return, pay to the Village Treasurer, the amount of tax herein imposed; provided that in connection with any return, the taxpayer may, if he so elects, report and pay an amount based upon his total billings of business subject to the tax during the period for which the return is made (exclusive of any amounts previously billed) with prompt adjustments of later payments based upon any differences between such billings and the taxable gross receipts.
36-4-7 OVERPAYMENT. If it shall appear that an amount of tax has been paid which was not due under the provisions of this article, whether as the result of a mistake of fact or an error of law, then such amount shall be credited against any tax due, or to become due under this article form the taxpayer who made the erroneous payment; provided that no amounts erroneously paid more than three years prior to the filing of a claim therefore shall be so credited.

36-4-8 ACTION TO RECOVER. No action to recover any amount of tax due under the provisions of this article shall be commenced more than three years after the due date of such amount.

36-4-9 FAILURE TO FILE RETURNS. Any taxpayer who fails to make a return, or who makes a fraudulent return, or who willfully violates any other provision of this article is guilty of a misdemeanor and, upon conviction thereof, shall be fined not less than $100.00 nor more than $500.00, and in addition, shall be liable in a civil action for the amount of tax due.

Last Update: October 04, 2018