Keep Illinois Retailer's Collector's Sales Tax
Legislators from the Illinois House are seeking possible
policy changes which can be made to increase revenue. One
way of doing this is to reduce,cap, or eliminate the
vendor's sales tax allowance.
The vendor collection allowance is used as
a reiumbursement for retailers for collecting and
administering the sales tax for local and state governments.
The tax allowance would also cover specialized computer
costs to collect the tax. Illinois busineeses spend a lot
of time and effort to invest in equipment to collect and pay
the sales tax. With no technological resources, Illinois could
not function, without the support and assitance from the
Illinois business community.
The Sales Tax currently allows retailers to keep 1.75% of
the tax. A retailer has made a $100,000 in sales tax.
Retailers would be allowed to keep 1.75% of the $100,000
which is $1750 after the sales tax.
Legislators should consider increasing the allowance instead
of eliminating it, for the purpose of increasing state revenue.
Reducing an allowance which helps businesses regulate the
state tax is not the answer for an increase of state revenue.
Silence should not be taken for this issue. Make your voices
heard by sending a brief note to the members of the Sales
Tax study committee by clicking here.