4-236-010 Definitions.
4-236-020 Tax imposed.
4-236-025 Additional tax imposed on valet parking businesses
4-236-030 Rules and regulations – Authorized – Publication.
4-236-050 Maintenance of records.
4-236-060 Tickets, tags and receipts.
4-236-070 Tax remittance and returns.
4-236-090 Tax to be paid into city treasury.
4-236-110 Reserved.
4-236-120 Application of Uniform Revenue Procedures Ordinance.
For the purpose of this chapter, whenever any of the following words, terms or definitions are used, they shall have the meaning ascribed to them in this section:
"Charge or fee paid for parking" means the gross amount of consideration for the use or privilege of parking a motor vehicle in or upon any parking lot or garage in the City of Chicago, valued in money, whether received in money or otherwise, including cash, credits, property and services, determined without any deduction for costs or expenses whatsoever. The term "charge or fee paid for parking" includes any and all charges that the recipient pays incidental to obtaining the use or privilege of parking, including but not limited to any and all related markups, service fees, convenience fees, facilitation fees, cancellation fees, overtime fees and other such charges, regardless of terminology. The term "charge or fee paid for parking" does not include charges that are added to the charge or fee on account of the tax imposed by this chapter or on account of any other tax imposed on the charge or fee. The term "charge or fee for parking" shall exclude separately stated optional charges not for the use or privilege of parking. The fact that the recipient could have avoided the charge or fee by obtaining the use or privilege from or through a different operator, pursuant to different terms, or through a course of performance that would have avoided the obligation to pay the charge or fee, does not make the charge or fee "optional".
"Motor vehicle" means any vehicle which is self-propelled.
"Operator" means any person who conducts the operation of a parking lot or garage, as defined by this chapter, or who, directly or through an agreement or arrangement with another party, collects the consideration for parking or storage of motor vehicles at such parking place. This includes but is not limited to any reseller, facilitator or aggregator that collects from the recipient the charge or fee paid for parking. The term does not include banks, credit card companies, payment processors or other persons whose involvement is limited to performing functions similar to those performed by such entities.
"Parking lot" or "garage" means any building, structure, premises, enclosure or other place, whether enclosed or not, except a public way, within the City of Chicago, where motor vehicles are stored, housed or parked for hire, charge, fee or other valuable consideration in a condition ready for use, or where rent or compensation is paid to the owner, manager, operator or lessee of the premises for the housing, storing, sheltering, keeping or maintaining of such motor vehicles.
"Person" means any natural person, trustee, court-appointed representative, syndicate, association, partnership, limited liability company, firm, club, company, corporation, business trust, institution, agency, government corporation, municipal corporation, district or other political subdivision, or any other entity recognized by law as the subject of rights and duties.
(Added Coun. J. 12-9-92, p. 25465; Amend Coun. J. 11-17-93, p. 42192; Amend Coun. J. 2-10-99, p. 89860; Amend Coun. J. 3-10-99, p. 91091; Amend Coun. J. 4-10-13, p. 49553, § 1; Amend Coun. J. 11-19-14, p. 98063, § 5; Amend Coun. J. 10-28-15, p. 12062, Art. V, § 1; Amend Coun. J. 5-24-17, p. 49413, § 1; Amend Coun. J. 11-21-17, p. 61858, Art. II, § 7)
(a) Except as otherwise provided by this Section 4-236-020, there is imposed upon the use and privilege of parking a motor vehicle in or upon any parking lot or garage in the City of Chicago a tax at the applicable rate set forth in subsection (d).
(b) The ultimate incidence of and liability for payment of the tax is on the person who seeks the privilege of occupying space in or upon the parking lot or garage (such person hereinafter referred to as the "recipient").
(c) The tax imposed by this chapter shall not apply to: (i) residential off-street parking of house or apartment tenants or condominiums, wherein an arrangement for such parking is provided in the house or apartment lease or in a separate writing between the landlord and tenant, or if in a condominium between the condominium association and the owner, occupant or guest of a unit, whether the parking charge is payable to the landlord, condominium association, or to the operator of the parking lot or garage; (ii) parking by hospital employees on or in a parking lot or garage that is owned or operated by the hospital for which they work; (iii) parking on or in a parking lot or garage where three or fewer motor vehicles are stored, housed or parked for hire, charge, fee or other valuable consideration, if the operator of the parking lot or garage does not act as the operator of more than a total of three parking spaces located in the City of Chicago. If any operator of the lot or garage, including any reseller or aggregator, acts as an operator of more than three parking spaces in total that are located in the City of Chicago, then this exemption (iii) shall not apply to any of such spaces.
(d) (i) The tax imposed by this chapter shall not apply to parking in a lot or garage that is owned or operated by the Chicago Transit Authority, the Chicago Park District or other governmental body if the charge or fee imposed for the privilege of parking does not exceed $2.00 for a 24-hour period or less, or $10.00 for a weekly period or $40.00 for a monthly period.
(ii) The tax imposed by this chapter for the privilege of parking for a 24-hour period or less, on a weekly basis, and on a monthly basis shall be 23.25% of the charge or fee paid for parking.
(iii) The tax rates set forth in subsection (d)(ii) shall be deemed to apply to the privilege of parking a motor vehicle in a parking lot or garage unless the taxpayer or tax collector keeps accurate and complete books and records as required by this chapter showing that no tax applies.
(e) The tax imposed by this chapter shall be paid in addition to any and all other taxes. It shall be the duty of the operator of every parking lot or garage to secure the tax from the recipient of the parking privilege and to remit the tax to the department of finance under procedures prescribed by the comptroller of revenue or as otherwise provided in this chapter.
(f) Every person required to collect the tax imposed by this chapter shall secure the tax from the recipient at the time the price, charge or rent to which it applies is collected. If the recipient is given any invoice, receipt or other statement of the price, charge or rent paid or payable, the tax shall be stated, charged and shown separately on the document.
(g) An operator that has paid or remitted the tax imposed by this section to another operator in connection with the same parking transaction, or the use of the same parking space, that is subject to tax under this chapter, shall be entitled to a credit for such tax paid or remitted against the amount of tax owed under this section, provided that the other operator is registered as a tax collector under this chapter, as evidenced by a certificate issued by the department of finance, or as otherwise confirmed by the department of finance. The operator claiming the credit shall have the burden of proving its entitlement to this credit with books, records and other documentary evidence.
(Added Coun. J. 12-9-92, p. 25465; Amend Coun. J. 1-12-93, p. 27638; Amend Coun. J. 10-7-93, p. 39594; Amend Coun. J. 11-17-93, p. 42192; Amend Coun. J. 11-10-94, p. 59125; Amend Coun. J. 11-7-96, p. 32073; Amend Coun J. 11-13-96, p. 34040; Amend Coun. J. 3-10-99, p. 91091; Amend Coun. J. 11-10-99, p. 14998, § 1.2; Amend Coun. J. 11-17-99, p. 17487, § 1.2; Amend Coun. J. 12-15-04, p. 39840, § 1; Amend Coun. J. 11-19-08, p. 48243, Art. I, § 1; Amend Coun. J. 11-16-11, p. 13798, Art. I, § 4; Amend Coun. J. 11-16-11, p. 14596, Art. IV, § 1; Amend Coun. J. 4-10-13, p. 49553, § 1; Amend Coun. J. 11-19-14, p. 98063, § 5; Amend Coun. J. 10-28-15, p. 12062, Art. V, § 1; Amend Coun. J. 11-16-16, p. 38042, Art. III, § 5; Amend Coun. J. 5-24-17, p. 49413, § 1; Amend Coun. J. 12-16-24, p. 23004, Part 1, Art. III, § 3)
(a) In addition to the tax imposed by Section 4-236-020 of this chapter, a tax is imposed upon persons engaged in the business of valet parking in the City. The rate of this tax shall be 23.25% of the gross amount of consideration received by the valet parking business in connection with its valet parking operations in the city, including all related service fees or similar charges.
(b) A valet parking business that has paid or remitted the tax imposed by Section 4-236-020 to an operator in connection with the same transactions or the use of the same parking spaces, that are subject to subsection (a) of this section shall be entitled to a credit against the amount of tax owed under subsection (a) of this section, provided that the operator is registered as a tax collector under this chapter, as evidenced by a certificate issued by the department of finance, or as otherwise confirmed by the department of finance. The valet parking business shall have the burden of proving its entitlement to this credit with books, records and other documentary evidence.
(c) Valet parking businesses shall file returns and pay the tax as follows: (1) all tax returns shall be filed with the department not later than the fifteenth day of each calendar month for all taxable consideration received during the immediately preceding calendar month, and (2) all tax payments shall be made to the department not later than the fifteenth day of each calendar month for all taxable consideration received during the immediately preceding calendar month.
(Added Coun. J. 11-19-14, p. 98063, § 5; Amend Coun. J. 5-24-17, p. 49413, § 1; Amend Coun. J. 11-21-17, p. 61858, Art. II, § 7; Amend Coun. J. 12-16-24, p. 23004, Part 1, Art. III, § 3)
Editor's note – The provisions of § 4-236-025 C., as amended by Coun. J. 11-21-17, p. 61858, Art. II, § 7, and as set forth above, are effective on July 1, 2018. The following language is effective until July 1, 2018: "C. Valet parking businesses shall file returns and pay the tax as follows: (1) all tax returns shall be filed with the department on an annual basis on or before August 15 of each year in accordance with Sections 3-4-186 and 3-4-189 of this Code, (2) all tax payments shall be made in accordance with either Section 3-4-187 (payment of actual tax liabilities) or Section 3-4-188 (payment of estimated taxes) and (3) the provisions of Sections 3-4-186, 3-4-187, 3-4-188 and 3-4-189 shall control over any contrary provisions in this chapter regarding the subjects covered by those sections."
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