Section 100.9420 Recovery of Erroneous Refund (IITA Section 912)

Section 100

TITLE 86: REVENUE

CHAPTER I: DEPARTMENT OF REVENUE

PART 100 INCOME TAX

SECTION 100.9420 RECOVERY OF ERRONEOUS REFUND (IITA SECTION 912)

Section 100.9420 Recovery of

Erroneous Refund (IITA Section 912)

a)         An erroneous refund shall be considered a deficiency of tax on

the date made, and shall be deemed assessed and shall be collected as provided

in IITA Sections 903 and 904 (see 86 Ill. Adm. Code 100.9200, 100.9300 and

100.9320(g)).

b)         Prior to January 1, 1994, IITA Section 1003(f) provides that

any portion of the tax imposed by the Act or any interest or penalty which has

been erroneously refunded and which is recoverable by the Department shall bear

interest at the rate of 9% per annum (or at such adjusted rate as is

established under Section 6621(b) of the Internal Revenue Code) from the date

of payment of such refund.

c)         Effective January 1, 1994, Section 3-2(e) of the Uniform

Penalty and Interest Act provides that,

[a]ny portion of the tax imposed by

an Act to which this Act is applicable or any interest or penalty which has

been erroneously refunded and which is recoverable by the Department shall bear

interest from the date of payment of the refund. However, no interest will be

charged if the erroneous refund is for an amount less than $500 and is due to a

mistake of the Department.