Illinois Administrative Code
Title 86 - REVENUE
Part 140 - SERVICE OCCUPATION TAX
Subpart A - NATURE OF TAX
Section 140.127 - Service Provided to Persons Who Lease Tangible Personal Property to Exempt Hospitals
Current through Register Vol. 48, No. 38, September 20, 2024
a) Effective January 1, 1996 through December 31, 2000, and on and after August 2, 2001, computers and communications equipment utilized for any hospital purpose that are transferred incident to a sale of service to persons who lease those items to exempt hospitals are not subject to Service Occupation Tax. As noted in this subsection, the exemption is not available during the period January 1, 2001 through August 1, 2001 because it expired under the provisions of Section 3-55 of the Service Occupation Tax Act [35 ILCS 115/3-55] and was not reinstated until August 2, 2001. The exemption is otherwise available, provided that:
b) Effective January 1, 1996 through December 31, 2000, and on and after August 2, 2001, equipment, other than that specified in subsection (a), used in the diagnosis, analysis, or treatment of hospital patients that is transferred incident to a sale of service to persons who lease that equipment to exempt hospitals is not subject to Service Occupation Tax. As noted in this subsection, the exemption is not available during the period January 1, 2001 through August 1, 2001 because it expired under the provisions of Section 3-55 of the Service Occupation Tax Act [35 ILCS 115/3-55 ] and was not reinstated until August 2, 2001. The exemption is otherwise available, provided that:
c) The serviceman must retain the certification described below in his books and records to properly document the exemption described in this Section.
d) For purposes of this Section, "hospital patients" means persons who seek any form of medical care including, but not limited to, medical treatment, testing, diagnosis, or therapy at a hospital or at another location under the control and supervision of a hospital. For example, persons who are sent by doctors for X-rays or other tests at qualifying hospitals, even though those persons are not admitted to those hospitals, are considered hospital patients.