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HomeMy WebLinkAboutORDINANCE - 3833 - 9/26/2023 - OCCUPATION TAX SELLING ADULT USE CANNABIS AT RETAILORDINANCE NO.3833 AN ORDINANCE AMENDING CHAPTER 2 OCCUPATION AND OTHER BUSINESS TAXES OF TITLE 3 BUSINESS AND LICENSE REGULATIONS OF THE VILLAGE CODE OF THE VILLAGE OF ELK GROVE VILLAGE WITH REGARD TO THE IMPOSITION OF A LOCAL RETAILERS OCCUPATION TAX ON ESTABLISHMENTS SELLING ADULT USE CANNABIS AT RETAIL WHEREAS, the Village of Elk Gove Village (the "Village") is a home rule municipal corporation in accordance with Article VII, Section 6(a) of the Constitution of the State of Illinois of 1970; and WHEREAS, the Village has the authority to adopt ordinances and to promulgate rules and regulations that pertain to its government and affairs, and to review, interpret and amend its ordinances, rules and regulations; and WHEREAS, the Illinois General Assembly recently adopted the Cannabis Regulation and Tax Act (the "Act"), which legalizes the possession, sale and distribution of cannabis beginning January 1, 2020, in accordance with the Act (410 ILCS 705/1-1 et seq.); and WHEREAS, the Illinois Generally Assembly also recently adopted the Municipal Cannabis Retailers' Occupation Tax Law, which authorizes the corporate authorities of local municipalities to impose, by ordinance, a tax upon all persons engaged in the business of selling cannabis, other than cannabis purchased under the Compassionate Use of Medical Cannabis Program Act, at retail in the municipality on the gross receipts from these sales made in the course of that business, in an amount not to exceed three percent (3%) of the gross receipts from these sales (65 ILCS 5/8-11-23); and WHEREAS, the Mayor and Board of Trustees, in exercise of the power and authority reserved to them under the Municipal Cannabis Retailers' Occupation Tax Law, have determined that it is in the interest of the public health and public safety to impose a tax upon all persons engaged in the business of selling cannabis, other than cannabis purchased under the Compassionate Use of Medical Cannabis Program Act, at retail within the corporate limits of the Village on the gross receipts from these sales made in the course of that business, in an amount equal to three percent (3%) of the gross receipts from such sales; and NOW, THEREFORE, BE IT ORDAINED by the Mayor and Board of Trustees of the Village of Elk Grove Village, Counties of Cook and DuPage, Illinois as follows: Section 1: The recitals above shall be and are hereby incorporated in this Section 1 as if restated herein. Section 2: That Chapter 2, Occupation and Other Business Taxes of Title 3 of the Village Code is hereby amended by adding thereto a new section entitled Municipal Cannabis Retailers Occupation Tax which shall read as follows: 3-2-15 MUNUICPAL CANNABIS RETAILERS OCCUPATION TAX A. TAX IMPOSED: A tax is hereby imposed, in accordance with the Municipal Cannabis Retailers' Occupation Tax Law (65 ILCS 5/8-11-23), upon all persons engaged in the business of selling cannabis, other than cannabis purchased under the Compassionate Use of Medical Cannabis Program Act, at retail in the corporate limits of the village at the rate of 3% of the gross receipts from these sales made in the course of that business. B. COLLECTION AND ENDORCEMENT: The tax imposed by this chapter, and all civil penalties that may be assessed as an incident thereto, shall be collected and enforced by the Illinois Department of Revenue. The Illinois Department of Revenue shall have full power to administer and enforce the provisions of this article. Any tax required to be collected pursuant to or as authorized by this article and any such tax collected by such retailer and required to be remitted to the Illinois Department of Revenue shall constitute a debt owed by the retailer to the State of Illinois. Retailers may reimburse themselves for their seller's tax liability hereunder by separately stating that tax as an additional charge, which charge may be stated in combination, in a single amount, with any state tax that sellers are required to collect, as provided in 65 ILCS 5/8-11-23. C. EFFECTIVE DATE: The tax provided for herein shall take effect for sales on or after the first day of January 2024. Section 3: The Village Clerk is authorized to publish the Ordinance in pamphlet form. Section 4: This Ordinance shall be in full force and effect from and after January 1, 2024. VOTE: AYES: 6 NAYS: 0 ABSENT: 0 PASSED this 261h day of September 2023 APPROVED this 261h day of September 2023 APPROVED: Mayor Craig B. Johnson Village of Elk Grove Village ATTEST: Loretta M. Murphy, Village Clerk PUBLISHED in pamphlet form this 281h day of September 2023.