Illinois Supreme Court ruled that Cook County’s tax on guns, ammo  is unconstitutional

Supreme Court ruled that Cook County’s tax on guns was unconstitutional 22 Oct. The main argument was:

“Under the plain language of the ordinances, the revenue generated from the firearm tax is not directed to any fund or program specifically related to curbing the cost of gun violence,” the court wrote.  “Additionally, nothing in the ordinance indicates that the proceeds generated from the ammunition tax must be specifically directed to initiatives aimed at reducing gun violence. Thus, we hold the tax ordinances are unconstitutional under the uniformity clause.” Capitolnewsillinois takes a deeper dive

The legislature may revise the language and renew a similar tax.

The Background

Due to the Illinois Supreme Court’s ruling in Guns Save Life, et al. v. Ali, et al., until further notice, retailers should stop collecting the Firearm and Firearm Ammunition taxes.  All taxes collected up to this point must be reported on your October 2021 tax returns and remitted to the Department of Revenue by the due date of November 20, 2021.  If you have any questions, please send an email to revenuecompliance@cookcountyil.gov or call (312) 603-6961. 
 

COLLECTION AND REMITTANCE

Effective April 1, 2013, as provided in Sections 74-665 thru 74-675, Firearm Tax Ordinance, a tax is imposed on the retail purchase of a firearm in the amount of $25.00 for each firearm purchased. Any retail dealer as defined in this article shall register with the Department in the form and manner prescribed by the Department. Policies, rules and procedures for the registration process and forms shall be prescribed by the Department.

Once you have been registered, you will receive a packet including the pre-printed Firearm Tax Returns and Schedules issued by the Department that you are required to remit on a monthly basis.

It shall be the duty of every retail dealer to remit and report the tax due on sales of firearms purchased in Cook County on forms prescribed by the Department. After April 1, 2013, the first tax return and payment, if applicable, is due by May 20, 2013. Subsequent returns and payments are due on the 20th day of each month. Returns must be submitted even if no tax is due.

Exempt Purchases

In accordance with the ordinance, retail dealers shall not collect the firearm tax when the firearm is sold to: An office, division, or agency of the United States, the State of Illinois, or any municipal corporation or political subdivision, including the Armed Forces of the United States or National Guard. A bona fide veterans organization which receive firearms directly from the Armed Forces of the United States and uses said firearms strictly and solely for ceremonial purposes with blank ammunition.

Any active sworn law enforcement officer purchasing a firearm for official or training related purposes should present an official law enforcement identification card at the time of purchase. However, retail dealers must collect and submit required information regarding such sales on schedules issued by the Department. Please reference this link to see Sample tax return for registration.

Crime is out of control in the state on the warpath against gun ownership.

 “Cook County Firearm and Firearm Ammunition Tax Ordinance.”

Firearm shall have the same meaning as set forth in the Illinois Firearm Owners Identification Act, 430 ILCS 65/1.1, or any successor statute.

Firearm ammunition shall have the same meaning as set forth m the Illinois FirearmOwners Identification Card Act, 430 ILCS 65/1.1, or any successor statute.

Centerfire ammunition means firearm ammunition that is characterized by a primer in the center of the base of the cartridge.

a)

Firearm Tax Rate. A tax is hereby imposed on the retail purchase of a firearmas defined in this Article in the amount of $25.00 for each firearm purchased.

(b)

Firearm Ammunition Tax Rate. Effective June 1, 2016, a tax is hereby imposed on the retail purchase of firearm ammunition as defined in this article at the following rates:

(1)

Centerfire ammunition shall be taxed at a rate of $0.05 per cartridge.

(2)

Rimfire ammunition shall be taxed at a rate of $0.01 per cartridge.

(c)

Tax Included in Sales Price. It shall be deemed a violation of this Article for a retail dealer to fail to include the tax imposed in this Article in the sale price of firearms and/or firearm ammunition to otherwise absorb such tax. The taxlevied in this article shall be imposed is in addition to all other taxes imposed by the County of Cook, the State of Illinois, or any municipal corporation or political subdivision of any of the foregoing.