Loading...
HomeMy WebLinkAboutOrdinance #1625~. ' ORDINANCE NO. 1625 AN ORDINANCE PROVIDING FOR A METHOD OF COLLECTING TAXES FOR THE PRIVILEGE OF USING ELECTRICITY BASED UPON KILOWATT-HOUR -USAGE .WHEREAS, the City of Canton (the "City") is a non home-rule municipality in accordance with the Constitution of the State of Illinois of 1970; and, WHEREAS, the City has the authority pursuant to Section 65 of the Electric Service Customer Choice and Rate Relief Law of 1997 (Public Act 90-561) amending Section 8-11-2 of the Illinois Municipal Code (65 ILCS 5/8-11-2) to replace its current gross receipts utility tax on electricity with a usage tax on electricity based on kilowatt usage per Public Act 90-561. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCH~ OF THE CITY OF CANTON, Fulton County, Illinois as follows: 1. That the Carnon Municipal Code, as amended, is further amended by adding the following: ARTICLE I ELECTRICITY TAX SEC. 1: TAX IMPOSED. (a) Pursuant to Section 8-1 f-2 of the Illinois Municipal Code (65 ILCS 5/8-11-2), a tax is imposed on all persons engaged in the following occupations or privileges: The. privilege of using or consuming electricity acquired in a purchase at retail and used or consumed within the corporate limits of the municipality at the following rates, calculated on a monthly basis for each purchaser: (i) For the first 2,000 kilowatt-hours used or consumed in a month; 0.00417 dollars per kilowatt-hour; (ii) For the next 48;000 kilowatt-hours used or consumed in a month; 0.00274 dollars per kilowatt-hour; (iii) For the next 50,000 kilowatt-hours used or consumed in a month; 4.00246 dollars per kilowatt-hour; (iv) For the next 400,000 kilowatt-hours used or consumed in a month; 0.00239 dollars per kilowatt-hour; (v) For the next 500,000 kilowatt-hours used or consumed in a month; 0.00233 dollars per kilowatt-hour; (vi) For the next 2,000,000 kilowatt-hours used or consumed in a month; 0.00219 dollars per kilowatt-hour; (vii) For the next 2,000,000 kilowatt-hours used or consumed in a month; 0.00216 dollars per kilowatt-hour; (viii) For the next 5,000,000 kilowatt-hours used or consumed in a month; 0.00212 dollars per kilowatt-hour; (ix) For the next 10,000,000 kilowatt-hours used or consumed in a month; 0.00209 dollars per kilowatt-hour; (x) For the usage or consumption over 20,000,000 kilowatt-hours; 0.00205 dollars per kilowatt-hour. SEC. 2: EXEMPTION: This tax shall not apply with respect to any transaction in interstate commerce or otherwise to the extent to which the business or privilege may not, under the Constitution and statutes of the United States, be made the subject of taxation by this State or any political sub-division thereof; nor shall any persons engaged in the business of distributing, supplying, furnishing, or selling or transmitting gas, water, or electricity, or engaged in the business of transmitting messages, or using or consuming electricity acquired in a purchase at retail, be subject to taxation under the provisions of this Article for those transactions that are or may become subject to taxation under the provisions of the Municipal Retailers' Occupation Tax Act as authorized by 65 ILCS 5/8- 11-1; nor shall any tax authorized by this Article be imposed upon any person engaged in a businesses or on any privilege unless the_tax is imposed in like manner and at the_ same rate upon all persons engaged in businesses of the same class in the municipality, whether privately or municipally owned. or operated, or exercising the same. privilege within the municipality. SEC. 3: ADDITIONAL. TAXES: Such tax shall be in addition- to other takes levied upon the taxpayer or its business. SEC. 4: COLLECTION: The tax authorized. by this Article shall_ be collected from the purchaser by the person maintaining a place of business in this State who delivers the electricity to the purchaser. This tax. shall constitute.. a debt of the purchaser to the person who delivers the electricity to the purchaser and if unpaid, is recoverable in the same manner as the original_charge.fnr. delivering. the..electricity.. Any tax. required to be collected pursuant to this Article and any such tax collected by a person delivering electricity. shall constitute. a debt owed to the municipality by such. person delivering. the electricity. Persons delivering electricity shall collect the tax from the purchaser by adding such. tax to the gross charge for delivering the electricity. Persons delivering electricity shall also be authorized to add to such gross charge an amount equal to 3% of the tax they collect to reimburse them for their expenses incurred in keeping records, billing customers, preparing and filing returns, remitting the tax and supplying data to the City upon request. For purposes of this chapter, any partial payment of a billed amount not specifically identified by the purchaser shall be deemed to be for the delivery of electricity. SEC. 5: REPORTS AND RETURNS TO RETURN: Every tax collector shall on a monthly basis file with the City a return in a form prescribed by the City. The return and accompanying remittance shall be due on or before the last day of the following month. The remittance shall be for the amount of tax imposed by the City. SEC. 6:_ CREDIT FOR AVER-PAYMENT: If it. shall .appea.r 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 or fact or an error of law; then such amount shall be credited against any tax due, or to become due, under this Article from the taxpayer who made the erroneous payment; provided that no amounts erroneously paid more than three (3) years prior to the filing of a claim therefor shall be so credited. No action to recover any amount of tax due under the provisions of this Article shall be commenced more than three (3) years after the due date of such amount. SEC.. Z: PENALTY: 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 One Hundred Dollars ($100.00) nor more than Two Hundred Dollars ($200.00) in addition, shall be liable.ina civil action.for the amount of tax due. (See 65 ILCS_5/8-11-2) SEC. 8: In the event that Public Act 90-561 is declared unconstitutional, or if Section. 46 of Article X created_ by this Amendatory Ordinance is voided by court.. actin, the provisions of Title 3, Chapter 21, Sections 1-12 of the Canton City Code (commonly known as the Gross receipts_Utility Tax}..shall remain in effect. in all respects as if it.l~ad never been amended by this ordinance, and any amounts paid to the City by any person delivering.electricity.pursuant to .this Amendatory.Ordinance shallbe deemed to have.b~en paid pursuant to the Gross Receipts Utility Tax as it existed prior to the passage of this Amendatory Ordinance. SEC. 9: REPEAL: The existing electric utility tax for the City of Canton appearing in the Canton Municipal Code as Title 3, Chapter 21, Section 2(B) as it applies to residential users be and the same is hereby repealed, subject to partial reinstatement if Section 8 herein is utilized as provided. The existing electric utility tax shall remain in place for non-residential customers. SEC. 10: Pursuant to 65 ILCS 5/8-11-2, the provisions of the existing electric utility tax for the City of Canton appearing in the Canton Municipal Code as Title 3, Chapter 21, Section 2(B) shall remain in effect: (1) For receipts attributed to residential customers until July 30, 1999; and, (2) For receipts- attributable to nonresidential customers the earlier of (A) through the last bill issued prior to December 31, 2000 or (B) the date of the first bill issued to such nonresidential customer pursuant to 220 ILCS 5/16-104. SEC. 11: Pursuant to 65 ILLS 5/8-11-2 the rates set forth as Section 1 of this Article 1 shall be effective: (1) On August _1, 1999 for residential customers; and, (2) On the earlier of (A) the last bill issued prior to December 31, 2000 or (B) the date. of thefirst bill. issued pursuant to 220 ILLS 5/16-104. for nonresidential customers. SEC. 12: EFFECTIVE. DATE: This Ordinance shall take effect immediately upon its passage, approval and publication in pamphlet form. PASSED BY THE CITY COUNCIL OF THE CITY OF CANTON, Fulton County, Illinois this 4th day of ~~ 1999, pursuant to a roll call vote as follows: AYES: Aldermen. Hartford, Sarff, Phillips, Nidiffer, Meade, Shores, May. NAYS: None. ABSENT: Alderman Nblleck. AI'P~Q VED: Donald E. Edwards, Mayor Attest: O / ~ ~ Nancy Whites-, ity_Clerk.