Illinois Administrative Code
Title 86 - REVENUE
Part 153 - WATERCRAFT USE TAX
Section 153.115 - Nontaxable Transactions
Current through Register Vol. 48, No. 38, September 20, 2024
The tax imposed by the Watercraft Use Tax Law does not apply if:
a) the use of the watercraft is otherwise taxed under the Use Tax Act;
b) the watercraft is bought and used by a governmental agency or a society, association, foundation, or institution organized and operated exclusively for charitable, religious, or educational purposes and that entity has been issued an exemption identification numberthat is active under Section 1g of the Retailers' Occupation Tax Act;
c) the transfer is a gift to a beneficiary in the administration of an estate and the beneficiary is a surviving spouse; or
d) the watercraft is exempted from the numbering provisions of Section 3-12 of the Boat Registration and Safety Act [625 ILCS 45/3-12] . [35 ILCS 158/15-10] However, Watercraft Use Tax will become due on any watercraft that is exempted from the numbering provisions of paragraphs A, B, C, F, and G of Section 3-12 of the Boat Registration and Safety Act if that watercraft is used upon the waters of this State over 30 accumulated days in any calendar year. The following are the watercraft referred to in paragraphs A, B, C, F, and G of Section 3-12 of the Boat Registration and Safety Act to which the 30-day rule applies:
Example:
A watercraft that has a valid marine document issued by the United States Coast Guard and is used upon the waters of this State for 35 days in a calendar year is subject to Watercraft Use Tax. The tax applies even though the watercraft is not required to be registered under the Boat Registration and Safety Act until it has been used upon the waters of this State for more than 60 days in a calendar year. See subsection (d).
e) Other common exemptions: