(A) Short title. The tax imposed by this section shall be known as the municipal gas use and consumption tax and is imposed in addition to all other taxes imposed by the city, the state or any other municipal corporation or political subdivision thereof.
(B) Definitions. For the purpose of this section, the following definitions shall apply unless the context clearly indicates or requires a different meaning.
PUBLIC UTILITY. A public utility as defined in § 3-105 of the Public Utilities Act (220 ILCS 5/1-101 et seq.).
PUBLIC UTILITIES ACT. The Public Utilities Act, as amended (220 ILCS 5/1-101 et seq.).
RETAIL PURCHASER. Any person who purchases gas in a sale at retail.
SALE AT RETAIL. Any sale of gas by a retailer to a person for use or consumption, and not for resale. For this purpose, the term RETAILER means any person engaged in the business of distribution, supplying, furnishing or selling gas.
(C) Tax imposed.
(1) Except as otherwise provided by this subchapter, a tax is imposed on the privilege of using or consuming gas in the city that is purchased in a sale at retail at the rate of $0.05 per therm.
(2) The ultimate incidence of and liability for payment of the tax is on the retail purchaser, and nothing in this section shall be construed to impose a tax on the occupation of distributing, supplying, furnishing, selling or transporting gas.
(3) The retail purchaser shall pay the tax, measured by therms of gas delivered to the retail purchaser’s premises, to the public utility designated to collect the tax pursuant to division (D) below on or before the payment due date of the public utility’s bill first reflecting the tax, or directly to the City Collector on or before the fifteenth day of the second month following the month in which the gas is delivered to the retail purchaser if no public utility has been designated to collect the tax pursuant to division (D) below or if the gas is delivered by a person other than a public utility so designated.
(4) To prevent multiple taxation, the use of gas in the city by a retail purchaser shall be exempt from the tax imposed by this section if the gross receipts from the sale at retail of such gas to the retail purchaser are properly subject to a tax imposed upon the seller of such gas pursuant to the city’s municipal utility tax, as amended from time to time, as set forth in this subchapter and authorized pursuant to § 8-11-2 of the Illinois Municipal Code (65 ILCS 5/8-11-2).
(5) A purchaser who purchases gas for resale and therefore does not pay the tax imposed by this section with respect to the use or consumption of the gas, but who later uses or consumes part or all of the gas, shall pay the tax directly to the City Collector on or before the fifteenth day of the second month following the month in which the gas is used or consumed.
(6) The tax shall apply to gas for which the delivery to the retail purchaser is billed by a public utility on or after the effective date of this section.
(D) Collection of tax.
(1) The City Collector is authorized to enter into a contract for collection of the tax imposed by this section with any public utility providing gas service in the city. The contract shall include and substantially conform to the following provisions:
(a) The public utility will collect the tax with respect to gas delivered by it to its customers as an independent contractor;
(b) The public utility will remit collected taxes to the City Collector no more often than once each month;
(c) The public utility will be entitled to withhold from tax collections a service fee equal to 3% of the amounts collected and timely remitted to the City Collector;
(d) The public utility shall not be liable to the city for any tax not actually collected from a retail purchaser; and
(e) Such additional terms as the parties may agree upon.
(2) A public utility designated to collect the tax imposed by this section from its customers shall bill each customer for the tax on all gas delivered to the customer unless the customer’s use or consumption is exempt from the tax pursuant to a duly passed and authorized ordinance of the city, and the public utility has received written notification from the city that the customer is exempt from the tax.
(E) Books and records. Every taxpayer shall keep accurate books and records, including original source documents and books of entry, denoting the activities or transactions that gave rise, or may have given rise to any tax liability or exemption under this section. All such books and records shall, at all times during business hours, be subject to and available for inspection by the city.
(Ord. 2006-36, passed 7-20-2006)