HomeMy WebLinkAboutOrdinance #4480 - Implementing a municipal grocery retailers' occupation tax and a municipal grocery service occupation tax STATE OF ILLINOIS).
) SS.
COUNTY OF FULTON)
CERTIFICATE
I, Andi Smith-Walters, certify that I am the duly elected City Clerk of
the CITY OF CANTON, FULTON COUNTY, ILLINOIS.
I further certify that on July 1. 2025. the City Council of such municipality
passed and approved Ordinance #4480 entitled:
AN ORDINANCE IMPLEMENTING A MUNICIPAL GROCERY RETAILERS'
OCCUPATION TAX AND A MUNICIPAL GROCERY SERVICE OCCUPATION TAX
FOR THE CITY OF CANTON
The ordinance attached is a true and correct copy of the ordinance adopted by Canton
City Council.
DATED AT CANTON, ILLINOIS, THIS 1st DAY OF July, 2025
Seal -
_ ndi Smith-Walters, City Clerk
ity of Canton, Illinois
ORDINANCE NO. 4480
AN ORDINANCE IMPLEMENTING A MUNICIPAL GROCERY RETAILERS'
OCCUPATION TAX AND A MUNICIPAL GROCERY SERVICE OCCUPATION TAX
FOR THE CITY OF CANTON
WHEREAS, the Illinois Municipal Code, 65 ILCS 5/1-2-1, provides that the corporate
authorities of each municipality may pass all ordinances and make all rules and regulations proper
or necessary,to carry into effect the powers granted to municipalities,with such fines or penalties
as may be deemed proper; and,
WHEREAS,the City of Canton("City")is a non-home rule Illinois municipality pursuant
to the Constitution of the State of Illinois of 1970, as amended; and,
WHEREAS,Section 8-11-24 of the Illinois Municipal Code(65 ILCS 5/8-11-24)provides
that, beginning on January 1, 2026, all Illinois municipalities may impose a tax "upon all persons
engaged in the business of selling groceries at retail in the municipality" (the"Municipal Grocery
Tax") (65 ILCS 5/8-11-24); and,
WHEREAS, the Municipal Grocery Retailers' Occupation Tax may be imposed "at the
rate of 1% of the gross receipts from these sales" (65 ILCS 5/8-11-24); and,
WHEREAS, any Municipal Grocery Retailers' Occupation Tax shall be administered,
collected and enforced by the Illinois Department of Revenue; and,
WHEREAS,Section 8-11-24 of the Illinois Municipal Code(65 ILCS 5/8-11-24)requires
any municipality imposing a Municipal Grocery Retailers' Occupation Tax under Section 8-11-24
of the Illinois Municipal Code (65 ILCS 5/8-11-24) to also impose a Service Occupation Tax at
the same rate, "upon all persons engaged, in the municipality, in the business of making sales of
service,who, as an incident to making those sales of service,transfer groceries" as "an incident to
a sale of service" (the "Municipal Grocery Service Occupation Tax") (65 ILCS 5/8-11-24); and,
WHEREAS, any Municipal Grocery Service Occupation Tax shall be administered,
collected and enforced by the Illinois Department of Revenue; and,
WHEREAS,the corporate authorities of the City believe that it is appropriate, necessary
and in the best interests of the City and its residents, that the City levy a Municipal Grocery
Retailers' Occupation Tax as permitted by Section 8-11-24 of the Illinois Municipal Code (65
ILCS 5/8-11-24); and,
WHEREAS, the corporate authorities of the City believe that it is appropriate, necessary
and in the best interests of the City and its residents,that the City levy a Municipal Grocery Service
Occupation Tax as permitted by Section 8-11-24 of the Illinois Municipal Code (65 ILCS 5/8-11-
24); and,
NOW, THEREFORE, BE IT ORDAINED, by the City Council of the City of Canton,
Illinois, as follows:
Page 1 of 3
Section 1. Incorporation of Recitals. The foregoing recitals shall be and are hereby
incorporated as findings of fact as if said recitals were fully set forth herein.
Section 2.Municipal Grocery Retailers' Occupation Tax Imposed.A tax is hereby imposed
upon all persons engaged in the business of selling groceries at retail in this municipality at the
rate of 1% of the gross receipts from such sales made in the course of such business while this
Ordinance is in effect.The imposition of this tax is in accordance with and subject to the provisions
of Section 8-11-24 of the Illinois Municipal Code (65 ILCS 5/8-11-24).
Section 3. Municipal Grocery Service Occupation Tax. A tax is hereby imposed upon all
persons engaged in this municipality in the business of making sales of service,who,as an incident
to making those sales of service,transfer groceries as an incident to a sale of service. The rate of
this tax shall be the same rate identified in Section 2, above. The imposition of this tax is in
accordance with and subject to the provisions of Section 8-11-24 of the Illinois Municipal Code
(65 ILCS 5/8-11-24).
Section 4. Illinois Department of Revenue to Administer Both Taxes. The taxes hereby
imposed, and all civil penalties that may be assessed as an incident thereto, shall be collected and
enforced by the Department of Revenue of the State of Illinois.The Illinois Department of Revenue
shall have full power to administer and enforce the provisions of this Ordinance.
Section 5. Clerk to file Ordinance with Illinois Department of Revenue. As required under
Section 8-11-24 of the Illinois Municipal Code (65 ILCS 5/8-11-24), the City Clerk is hereby
directed to file a certified copy of this Ordinance with the Illinois Department of Revenue on or
before October 1, 2025.
Section 6.Effective Date.The taxes imposed by this Ordinance shall take effect on January
1, 2026.
Section 7. Repeal of Conflicting Provisions. All ordinances, resolutions and policies or
parts thereof, in conflict with the provisions of this Ordinance are, to the extent of the conflict,
expressly repealed on the effective date of this Ordinance.
Section 8. Severability. If any provision of this Ordinance or application thereof to any
person or circumstances is ruled unconstitutional or otherwise invalid, such invalidity shall not
affect other provisions or applications of this Ordinance that can be given effect without the invalid
application or provision, and each invalid provision or invalid application of this Ordinance is
severable.
Section 9. Headin sg /Captions. The headings/captions identifying the various sections and
subsections of this Ordinance are for reference only and do not define, modify, expand or limit
any of the terms or provisions of the Ordinance.
Page 2 of 3
Section 10. Publication. The Clerk is directed by the corporate authorities to publish this
Ordinance in pamphlet form. This Ordinance shall be in full force and effect after its passage and
publication in accordance with 65 IL,CS 5/1-2-4.
PASSED THIS 1st day of July, 2025.
AYES•Alderpersons Chamberlin Grimm Nelson Lovell Pickel Ketcham Gossett
NAYS:None
ABSENT: Alderperson Hale
APPROVED THIS 1 st day of July, 2025.
Kent A. cDowell, ayor
VTT"TI"6
:
Brea J. S ith-Walters, City Clerk
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