The bill amends the Use Tax Act of 1937 by updating Section 4 to clarify and expand various tax exemptions. Key insertions include provisions that exempt property sold to nonprofit organizations and educational institutions, as well as certain agricultural and environmental equipment. Additionally, the bill mandates that the state treasurer estimate the revenue lost due to these exemptions and deposit that amount into the state school aid fund. New exemptions are introduced for feminine hygiene products, which encompass items like tampons and sanitary napkins, and for portable generators used for specific purposes.

Moreover, the bill specifies that certain exemptions do not apply to transfers of food, fuel, clothing, or similar personal property for personal consumption, with exceptions for agricultural items. It also retroactively applies some amendments to previous laws regarding exemptions but prohibits refund claims filed before April 9, 2018. The overall aim of the bill is to provide clarity and support for various sectors, including education and agriculture, while ensuring adequate funding for education through the school aid fund. The bill is set to take effect 90 days after enactment.

Statutes affected:
Senate Introduced Bill: 205.94