HB 212

Abstract

Amends the Illinois Municipal Code. Provides that 2 adjoining disadvantaged municipalities may form a business corridor by intergovernmental agreement. Defines "disadvantaged municipality". Provides that the business corridor shall encompass only territory along the common border of the municipalities that is (i) undeveloped or underdeveloped and (ii) not likely be developed without the creation of the business corridor. Provides that the agreement must contain certain information. Amends the Use Tax Act, the Service Use Tax Act, the Service Occupation Tax Act, and the Retailers' Occupation Tax Act. Provides that tangible personal property purchased from a business located in a business corridor is exempt from taxation under the Acts beginning on the first day of the first month to occur not less than 30 days after the business corridor is established and continuing through December 31 of the fifth calendar year after the business corridor is established. Provides that, in the sixth calendar year after the business corridor is established, the tax is imposed on that tangible personal property at the rate of 3%. Provides that the proceeds of the tax imposed at the rate of 3% shall be distributed to the municipalities.