SB3401 Summary

• Reinstates the exemption for tangible personal property purchased from Illinois retailers by taxpayers engaged in centralized purchasing activities who temporarily store property in Illinois for subsequent transport or processing outside the state.

• Extends the sunset date of the centralized purchasing exemption from June 30, 2016 to June 30, 2021 across four tax acts: Use Tax Act, Service Use Tax Act, Service Occupation Tax Act, and Retailers' Occupation Tax Act.

• Requires the Director of Revenue to issue permits to eligible taxpayers in good standing, authorizing tax-exempt purchases under specified conditions and requiring maintenance of records substantiating out-of-state use and consumption.

• Takes effect immediately upon becoming law.