Ill. Admin. Code tit. 86 § 195.125

Current through Register Vol. 48, No. 45, November 8, 2024

Section 195.125 - Filing of Returns

a) Except as otherwise provided in this Section, on or before the last day of each calendar month, every operator engaged in the business of providing to purchasers parking areas and garages in this State during the preceding calendar month and every booking intermediary required to collect tax under Section 10-10 of the Act shall file a return with the Department stating:

1)the name of the operator or booking intermediary;

2)the address of its principal place of business and, if applicable, the address of the principal place of business from which it provides parking areas and garages in this State;

3) for an operator, the total amount of receipts received by the operator during the preceding calendar month or quarter, as the case may be, from sales of parking spaces to purchasers in parking areas or garages during the preceding calendar month or quarter; for a booking intermediary, the total amount of receipts for separately stated service fees that are charged to the customer by the booking intermediary in connection with the booking intermediary's facilitation of parking spot reservations for an operator during the preceding calendar month or quarter, as the case may be; and, if the return is filed by a booking intermediary that collects the tax under the Act on behalf of an unregistered operator, as provided in Section 10-10 of the Act, then the total amount of receipts received by the booking intermediary on behalf of the unregistered operator during the preceding calendar month or quarter, as the case may be, from sales of parking spaces to purchasers in parking areas or garages during the preceding calendar month or quarter;

4)deductions allowed by law;

5) for an operator, the total amount of receipts received by the operator during the preceding calendar month or quarter upon which the tax was computed; for a booking intermediary, the total amount of receipts for separately stated service fees that are charged to the customer by a booking intermediary in connection with the booking intermediary's facilitation of parking spot reservations for an operator during the preceding calendar month or quarter upon which the tax was computed; and, if the return is filed by a booking intermediary that collects the tax under the Act on behalf of an unregistered operator, as provided in Section 10-10 of the Act, then the total amount of receipts received by the booking intermediary on behalf of the unregistered operator during the preceding calendar month or quarter upon which the tax was computed;

6)the amount of tax due; and

7)such other reasonable information as the Department may require.

b)If an operator or booking intermediary ceases to engage in the kind of business that makes it responsible for filing returns under the Act, then that operator or booking intermediary shall file a final return under the Act with the Department on or before the last day of the month after discontinuing such business.

c)All returns required to be filed and payments required to be made under the Act shall be by electronic means. Taxpayers who demonstrate hardship in filing or paying electronically may petition the Department to waive the electronic filing or payment requirement, or both. In addition to the requirement to file all returns required to be filed and payments required to be made under the Act by electronic means, booking intermediaries shall file returns in the form and manner required by the Department.

d)If the same person has more than one business registered with the Department under separate registrations under the Act, that person shall not file each return that is due as a single return covering all such registered businesses but shall file separate returns for each such registered business. If the operator or booking intermediary is a corporation, the return filed on behalf of that corporation shall be signed by the president, vice-president, secretary, or treasurer, or by a properly accredited agent of the corporation. [35 ILCS 525/10-15 ] When an operator operates multiple parking areas or garages under one business registration, the operator shall file one return. Upon request of the Department, an operator must provide a list of all locations where the operator engages in the business of operating a parking area or garage.

e)The operator or booking intermediary filing the return under the Act shall, at the time of filing the return, pay to the Department the amount of tax imposed by the Act less a discount of 1.75 %, not to exceed $1,000 per month, which is allowed to reimburse the operator or booking intermediary for the expenses incurred in keeping records, preparing and filing returns, remitting the tax, and supplying data to the Department on request. [35 ILCS 525/10-15 ] The discount is allowed only for returns that are filed on or before the due date by electronic means as required by subsection (c) and only to the extent of payments that are made on or before the due date by electronic means as required by subsection (c). Taxpayers receiving a waiver of the electronic filing requirement or electronic payment requirement, or both, pursuant to subsection (c), shall be allowed the discount if the return and/or the payment are filed on or before the due date.

1) When a taxpayer receives a waiver of both the electronic filing requirement and the electronic payment requirement, a return and payment transmitted through the United States mail is deemed filed with or received by the Department on the date shown by the post office cancellation mark stamped upon the envelope or other wrapper containing it.

2) When a taxpayer receives a waiver of the electronic filing requirement but not the electronic payment requirement, a return transmitted through the United States mail is deemed filed with or received by the Department on the date shown by the post office cancellation mark stamped upon the envelope or other wrapper containing it. The electronic payment is filed on the date it is received by the Department.

3) When a taxpayer receives a waiver of the electronic payment requirement but not the electronic filing requirement, a payment transmitted through the United States mail is deemed filed with or received by the Department on the date shown by the post office cancellation mark stamped upon the envelope or other wrapper containing it. The electronic return is filed on the date it is received by the Department.

f)If the Department subsequently determines that all or any part of the credit taken was not actually due to the taxpayer, the taxpayer's discount shall be reduced by an amount equal to the difference between the discount as applied to the credit taken and that actually due, and that taxpayer shall be liable for penalties and interest on that difference. [35 ILCS 525/15]

g) Except as otherwise provided in subsection (k), each operator or booking intermediary for the first year is required to file a return for each month, regardless of the fact that the operator may not have any tax liability to pay for that month. At the end of the first year, the Department will determine whether the taxpayer shall file on a quarterly or an annual basis, pursuant to subsections (h) and (i).

h) If, after one year, the operator's or booking intermediary's average monthly tax liability to the Department does not exceed $200, the Department will allow the operator's or booking intermediary's returns to be filed on a quarter annual basis, with: the return for January, February and March of a given year being due on or before the last day of April of that year; the return for April, May and June of a given year being due on or before the last day of July of that year; the return for July, August and September of a given year being due on or before the last day of October of that year; and the return for October, November and December of a given year being due on or before the last day of January of the following year. Quarter annual returns, as to form and substance, shall be subject to the same requirements as monthly returns. The Department will periodically review taxpayer information, including returns filed by the taxpayer, to determine if any changes have occurred that require the taxpayer to file returns on other than a monthly or quarterly basis. If the Department determines that a change is required in filing frequency, it will notify the taxpayer of its determination.

i) If, after one year, the operator's or booking intermediary's average monthly tax liability with the Department does not exceed $50, the Department will allow the operator's or booking intermediary's returns to be filed on an annual basis, with the return for a given year being due on or before the last day of January of the following year. Annual returns, as to form and substance, shall be subject to the same requirements as monthly returns. The Department will periodically review taxpayer information, including returns filed by the taxpayer, to determine if any changes have occurred that require the taxpayer to file returns on other than a quarterly basis. If the Department determines that a change is required in filing frequency, it will notify the taxpayer of its determination.

j) Beginning January 1, 2021, if the taxpayer's average monthly tax liability to the Department under the Act was $20,000 or more during the preceding 4 complete calendar quarters, the taxpayer shall file a return with the Department each month by the last day of the month next following the month during which the tax liability is incurred and shall make payment to the Department on or before the 7^th, 15^th, 22^nd and last day of the month during which the liability is incurred. Each payment shall be in an amount equal to 22.5% of the taxpayer's actual liability for the month or 25% of the taxpayer's liability for the same calendar month of the preceding year. The amount of the quarter monthly payments shall be credited against the final tax liability of the taxpayer's return for that month filed under this Section. Once applicable, the requirement of the making of quarter monthly payments to the Department pursuant to this Section shall continue until the taxpayer's average monthly prepaid tax collections during the preceding 4 complete calendar quarters (excluding the month of highest liability and the month of lowest liability) is less than $19,000 or until the taxpayer's average monthly liability to the Department, as computed for each calendar quarter of the 4 preceding complete calendar quarters, is less than $20,000. If any such quarter monthly payment is not paid at the time or in the amount required, the taxpayer shall be liable for penalties and interest on the difference, except insofar as the taxpayer has previously made payments for that month in excess of the minimum payments previously due.

k) An operator that will rent parking spaces in a parking area or garage for 14 days or less in a calendar year may file returns and remit tax on an annual basis.

Ill. Admin. Code tit. 86, § 195.125

Added at 44 Ill. Reg. 9222, effective 5/13/2020

Amended at 47 Ill. Reg. 14573, effective 9/26/2023

Amended at 48 Ill. Reg. 12523, effective 8/5/2024