(a) A tax is hereby imposed upon all persons engaged in the business of selling tangible personal property, other than tangible personal property titled or registered with an agency of Illinois government, at retail in the City of Chicago, pursuant to the Home Rule Municipal Retailer's Occupation Tax Act, at the rate of one and one-quarter percent of the gross receipts from such sales made in the course of such business.
(b) The tax imposed by this section shall not be applicable to or imposed upon sales of the following items:
(i) Food for human consumption which is to be consumed off the premises where it is sold, except that alcoholic beverages, soft drinks and food which has been prepared for immediate consumption shall be subject to the tax imposed hereunder; and
(ii) Prescription and nonprescription medicines, drugs, medical appliances including, but not limited to, tampons and sanitary napkins, and insulin, urine testing materials, syringes and needles used by diabetics.
(c) Nothing in this section shall be construed to impose a tax upon the privilege of engaging in any business which under the Constitution of the United States may not be made the subject of taxation by the State of Illinois or any political subdivision thereof.
(Prior code § 132-1; Added Coun. J. 4-25-90, p. 14500; Amend Coun. J. 12-15-04, p. 39840, § 1; Amend Coun. J. 3-16-16, p. 19428, § 2)
Editor's note – The provisions of § 3-40-010, as amended by Coun. J. 12-15-04, p. 39840, § 1, were effective July 1, 2005.