Bill
HB 2814
Illinois HB 2814 exempts hearing aids from sales/use taxes starting Jan 1, 2026, lowering out-of-pocket costs for buyers and updating tax rules for retailers.
Note about sources and duplication
- The materials provided appear to include two different bills that share the identifier "HB 2814" but come from different states and address different subjects. The bill title you gave ("USE/OCC TAX‑HEARING AIDS") corresponds to an Illinois revenue bill exempting hearing aids from certain taxes. The document also contains an Arizona bill (Title 41) that creates a new article governing appropriation and accounting for certain federal monies. Summaries for both follow so readers understand each proposal and can identify which is relevant to them.
Illinois HB 2814 — Hearing aids: sales / use / service tax exemption
- Purpose and intent
- To exempt hearing aids from Illinois use and sales-related taxes so that consumers pay no tax on the purchase of hearing aids beginning in calendar year 2026.
- Key provisions
- Amends multiple revenue statutes (Use Tax Act, Service Use Tax Act, Service Occupation Tax Act, Retailers' Occupation Tax Act).
- Provides that, beginning January 1, 2026, hearing aids are exempt from the taxes imposed under those Acts.
- The bill text states the exemption “effective immediately,” which generally means the act is effective upon enactment but the exemption’s operative date is January 1, 2026.
- Who is affected
- Consumers who purchase hearing aids (reduced out‑of‑pocket cost for affected purchases on/after Jan 1, 2026).
- Retailers, service providers, and sellers of hearing aids (changes to tax collection and reporting).
- State and local tax authorities (reduced taxable sales base for these items).
- Fiscal and administrative impact
- Likely to reduce state (and possibly local) sales/use tax revenue; no dollar estimate is provided in the text.
- Administrative updates for retailers and the Department of Revenue to implement the new exemption.
- Procedural / timeline
- Introduced in the Illinois General Assembly (filed Feb 6, 2025 by Rep. Norine K. Hammond). For the bill’s current status (committee action, passage, or enactment), consult the Illinois General Assembly website or legislative tracking services.
Arizona HB 2814 — Appropriation and accounting for “noncustodial federal monies”
- Purpose and intent
- To add a new Article 2 to Title 41, Ch. 49, Arizona Revised Statutes establishing definitions, accounting requirements, and appropriation rules for certain categories of federal funds described as “noncustodial federal monies.”
- Key provisions
- Definitions (41-4921): defines “budget unit” and “noncustodial federal monies,” including federal block grants, general revenue sharing, funds giving broad state spending discretion, or federal-match programs where federal rules require a small state contribution. Excludes certain federal grants to universities, funds for Dept. of Emergency & Military Affairs, and monies awarded directly to school districts or community colleges.
- Accounting (41-4922): requires budget units receiving such monies to hold them in separate accounts/funds and permits the Department of Administration to use efficient systems consistent with accounting standards.
- Appropriation rules (41-4923):
- Affirms Legislature retains appropriation authority; if Legislature does not appropriate, the budget unit with lawful authority may administer funds per state/federal law.
- Legislature must specify purposes when it appropriates noncustodial federal monies; allows a lump‑sum appropriation for unanticipated funds while Legislature is not in session, subject to Joint Legislative Budget Committee review before spending.
- If received federal monies are less than appropriated, appropriations are reduced proportionally; if more are received, state treasurer credits excess to the budget unit and the Legislature’s designated total program appropriation stays the same.
- Who is affected
- State agencies and budget units that receive federal grants or block grants.
- Legislature and Joint Legislative Budget Committee (new procedural considerations for lump‑sum uses).
- State Treasurer and Dept. of Administration (accounting and fund custody duties).
- Procedural / timeline
- Filed in Arizona House (introduced Feb 13, 2025 by Representatives Fink, Livingston, Way).
- Effective date in the bill: “from and after December 31, 2026.”
- For current legislative status and any amendments, consult the Arizona Legislature website.
If you want, I can:
- Check and report the current enactment status for either bill via the relevant state legislature tracking site.
- Draft a short fiscal-impact checklist of data needed to estimate revenue effects of the Illinois hearing‑aids exemption.
Compiled from official sources — confirm details with the bill’s official record.
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