SB2521 Summary

• Amends the Use Tax Act (35 ILCS 105/3-55) and Service Use Tax Act (35 ILCS 110/3-45) to expand multistate exemptions for tangible personal property.

• Adds new exemption subsections (e-5) and (d-5) respectively, allowing out-of-state lessors or purchasers to return property to Illinois for storage, repair, or refurbishment without triggering use tax, provided the property is not used by lessees or purchasers in Illinois.

• Defines "refurbishment" to include replacement of component parts as well as upgrades for purposes of the exemption.

• Clarifies that return of property for storage, repair, or refurbishment does not constitute taxable use in Illinois under existing temporary storage exemptions.

• Takes effect immediately upon becoming law.