Bill > HB2864

This bill amends the Use Tax Act and Retailers' Occupation Tax Act to expand the definition of organizations considered to be "organized and operated exclusively for educational purposes" to explicitly include nonprofit corporations that solely conduct extracurricular activities on behalf of tax-supported public schools. Currently, the law already includes tax-supported public schools, private schools offering systematic instruction comparable to public schools, and certain licensed day care and vocational training centers. The bill's modification means that nonprofit organizations dedicated to managing extracurricular activities for public schools (such as those handling sports, clubs, or after-school programs) will now be treated the same as other educational organizations under these tax laws. This change could potentially provide tax benefits or exemptions to such nonprofit organizations by formally recognizing them as part of the educational ecosystem, ensuring they have the same legal status as other educational entities when it comes to tax considerations.

Budget and Finance

https://www.ilga.gov/legislation/BillStatus.asp?DocNum=2864&GAID=18&DocTypeID=HB&SessionID=114&GA=104