HB1848 Summary

• Effective January 1, 2022, exempts meals and food products for human consumption furnished or served to low-income elderly persons at or below cost by nonprofit organizations or governmental agencies from use tax, service use tax, service occupation tax, and retailers' occupation tax.

• The exemption applies only to programs funded by the State of Illinois or the United States government for this specific purpose.

• The exemption is exempt from automatic sunset provisions under the relevant tax acts, making it permanent.

• Amendments apply to four Illinois tax codes: Use Tax Act (35 ILCS 105/3-5), Service Use Tax Act (35 ILCS 110/3-5), Service Occupation Tax Act (35 ILCS 115/3-5), and Retailers' Occupation Tax Act (35 ILCS 120/2-5).

• The Act takes effect immediately upon becoming law.