Bill > SB0121

This bill creates the Community Revitalization Zone Act, which allows counties and municipalities to designate specific areas within their jurisdictions as community redevelopment zones, subject to certification by the Department of Commerce and Economic Opportunity. To qualify, an area must be contiguous, located entirely within a municipality or unincorporated county area, comprise between one-half and 12 square miles (excluding lakes and waterways), and have a median household income below $45,000 per year. Zones will have a maximum term of 10 years. The bill provides significant tax incentives for retailers located in these zones by reducing the tax rate from 6.25% to 3.25% on tangible personal property sales. Specifically, the bill amends several tax acts (Use Tax Act, Service Use Tax Act, Service Occupation Tax Act, and Retailers' Occupation Tax Act) to implement this reduced tax rate. The tax revenue from these zones will be split between the General Revenue Fund (62%) and other funds like the Local Government Tax Fund (38%). The primary goal appears to be encouraging economic development in lower-income areas by providing financial incentives to businesses that establish themselves in these designated zones.

https://www.ilga.gov/legislation/BillStatus.asp?DocNum=121&GAID=18&DocTypeID=SB&SessionID=114&GA=104