HB3568 Summary

• Reduces Illinois sales tax rate from 6.25% to 1% on internal (female) and male condoms, incontinence products, diapers, and baby wipes.

• Net revenue from the 1% tax on these products shall be deposited into the State and Local Sales Tax Reform Fund.

• Makes conforming amendments to the Use Tax Act, Service Occupation Tax Act, and Service Occupation Use Tax Act to apply the same 1% rate to these products.

• Applies the reduced rate to these items alongside existing 1% tax rates on other items including prescription medicines, medical devices, and food for human consumption sold off-premises.