IL SB2456

Exempts prescription medicines and medical devices from Illinois sales and use taxes under the Use Tax Act, Service Use Tax Act, Service Occupation Tax Act, and Retailers' Occupation Tax Act, effective July 1, 2021

Medical devices covered include FDA Class III medical devices used for cancer treatment pursuant to a prescription, along with related accessories and components

Previously, prescription medicines and certain medical devices were taxed at a reduced rate of 1%; this bill eliminates the tax entirely by moving these items from the reduced-rate category to full exemption

Amends multiple sections of Illinois tax code (35 ILCS 105, 110, 115, and 120) to implement the exemption across all applicable state tax acts

Bill was introduced February 26, 2021 by Senator Ram Villivalam in the 102nd General Assembly