3-40-430 Tax imposed.
   (a)   A tax is hereby imposed upon all persons engaged in the City of Chicago in the business of making sales of service at the rate of one and one- quarter percent of the selling price of all tangible personal property transferred by such servicemen either in the form of tangible personal property or in the form of real estate as an incident to a sale of service.
   (b)   The tax by this section shall not be applicable to or imposed upon the 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 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 § 132-43; Added Coun. J. 4-25-90, p. 14500; Amend Coun. J. 12-15-04, p. 39840, § 1)
Editor's note – The provisions of § 3-40-430, as amended by Coun. J. 12-15-04, p. 39840, § 1, were effective July 1, 2005.