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Can you summarize 86 ILAC Chapter I, Part 460?
DEPARTMENT OF REVENUE > COIN-OPERATED AMUSEMENT DEVICE AND REDEMPTION MACHINE TAX
Short Summary
This document governs the requirement for obtaining Privilege Tax Decals in Illinois for taxable amusement devices or redemption machines displayed to the public. It applies to individuals, firms, limited liability companies, or corporations that display such devices or machines. Before displaying the device or machine, the applicant must file a form with the Department of Revenue containing information about the device or machine, including the applicant’s name, address, description of the device or machine, and location. The form must be accompanied by the applicable tax. Privilege tax decals are issued by the Department upon receipt of the information form and tax payment. The decals must be securely affixed and conspicuously displayed on the device or machine. Privilege tax decals are transferable between devices or machines operated by the same decal holder or between addresses of a decal holder, provided the Department is promptly notified. However, the decals are not transferable between different individuals, partnerships, or corporations. Penalties for non-compliance include a 30% penalty on the tax amount for devices and machines displayed without paying the tax, and operating or displaying devices or machines without paying the tax is classified as a Class C misdemeanor. Taxable devices include those operated by coins, tokens, chips, debit or prepaid cards, or mobile devices, and primarily played for amusement or entertainment. The tax does not apply to devices maintained by public utilities, vending machines, scales, photography or laundry machines, gambling devices, or devices operated by private clubs restricted to members. Redemption machines are subject to tax if the outcome is predominantly determined by player skill, prizes are awarded based on achieving game objectives or score, only merchandise prizes are awarded, and certain value limits are not exceeded. The document does not specify penalties for non-compliance or violations.
Whom does it apply to?
Individuals, firms, limited liability companies, or corporations that display taxable amusement devices or redemption machines
What does it govern?
Requirement for obtaining Privilege Tax Decals in Illinois for taxable amusement devices or redemption machines displayed to the public
What are exemptions?
Devices maintained by public utilities, vending machines, scales, photography or laundry machines, gambling devices, or devices operated by private clubs restricted to members
What are the Penalties?
30% penalty on the tax amount for devices and machines displayed without paying the tax, and operating or displaying devices or machines without paying the tax is classified as a Class C misdemeanor
Jurisdiction
Illinois