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Full Text of SB0473  100th General Assembly

SB0473sam001 100TH GENERAL ASSEMBLY

Sen. Antonio Muņoz

Filed: 3/23/2017

 

 


 

 


 
10000SB0473sam001LRB100 05138 HLH 23898 a

1
AMENDMENT TO SENATE BILL 473

2    AMENDMENT NO. ______. Amend Senate Bill 473 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The Property Tax Code is amended by changing
5Sections 15-170, 15-172, and 15-175 as follows:
 
6    (35 ILCS 200/15-170)
7    Sec. 15-170. Senior Citizens Homestead Exemption. An
8annual homestead exemption limited, except as described here
9with relation to cooperatives or life care facilities, to a
10maximum reduction set forth below from the property's value, as
11equalized or assessed by the Department, is granted for
12property that is occupied as a residence by a person 65 years
13of age or older who is liable for paying real estate taxes on
14the property and is an owner of record of the property or has a
15legal or equitable interest therein as evidenced by a written
16instrument, except for a leasehold interest, other than a

 

 

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1leasehold interest of land on which a single family residence
2is located, which is occupied as a residence by a person 65
3years or older who has an ownership interest therein, legal,
4equitable or as a lessee, and on which he or she is liable for
5the payment of property taxes. Before taxable year 2004, the
6maximum reduction shall be $2,500 in counties with 3,000,000 or
7more inhabitants and $2,000 in all other counties. For taxable
8years 2004 through 2005, the maximum reduction shall be $3,000
9in all counties. For taxable years 2006 and 2007, the maximum
10reduction shall be $3,500. For taxable years 2008 through 2011,
11the maximum reduction is $4,000 in all counties. For taxable
12year 2012, the maximum reduction is $5,000 in counties with
133,000,000 or more inhabitants and $4,000 in all other counties.
14For taxable years 2013 through 2016 and thereafter, the maximum
15reduction is $5,000 in all counties. For taxable years 2017 and
16thereafter, the maximum reduction is $8,000 in counties with
173,000,000 or more inhabitants and $5,000 in all other counties.
18    For land improved with an apartment building owned and
19operated as a cooperative, the maximum reduction from the value
20of the property, as equalized by the Department, shall be
21multiplied by the number of apartments or units occupied by a
22person 65 years of age or older who is liable, by contract with
23the owner or owners of record, for paying property taxes on the
24property and is an owner of record of a legal or equitable
25interest in the cooperative apartment building, other than a
26leasehold interest. For land improved with a life care

 

 

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1facility, the maximum reduction from the value of the property,
2as equalized by the Department, shall be multiplied by the
3number of apartments or units occupied by persons 65 years of
4age or older, irrespective of any legal, equitable, or
5leasehold interest in the facility, who are liable, under a
6contract with the owner or owners of record of the facility,
7for paying property taxes on the property. In a cooperative or
8a life care facility where a homestead exemption has been
9granted, the cooperative association or the management firm of
10the cooperative or facility shall credit the savings resulting
11from that exemption only to the apportioned tax liability of
12the owner or resident who qualified for the exemption. Any
13person who willfully refuses to so credit the savings shall be
14guilty of a Class B misdemeanor. Under this Section and
15Sections 15-175, 15-176, and 15-177, "life care facility" means
16a facility, as defined in Section 2 of the Life Care Facilities
17Act, with which the applicant for the homestead exemption has a
18life care contract as defined in that Act.
19    When a homestead exemption has been granted under this
20Section and the person qualifying subsequently becomes a
21resident of a facility licensed under the Assisted Living and
22Shared Housing Act, the Nursing Home Care Act, the Specialized
23Mental Health Rehabilitation Act of 2013, the ID/DD Community
24Care Act, or the MC/DD Act, the exemption shall continue so
25long as the residence continues to be occupied by the
26qualifying person's spouse if the spouse is 65 years of age or

 

 

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1older, or if the residence remains unoccupied but is still
2owned by the person qualified for the homestead exemption.
3    A person who will be 65 years of age during the current
4assessment year shall be eligible to apply for the homestead
5exemption during that assessment year. Application shall be
6made during the application period in effect for the county of
7his residence.
8    Beginning with assessment year 2003, for taxes payable in
92004, property that is first occupied as a residence after
10January 1 of any assessment year by a person who is eligible
11for the senior citizens homestead exemption under this Section
12must be granted a pro-rata exemption for the assessment year.
13The amount of the pro-rata exemption is the exemption allowed
14in the county under this Section divided by 365 and multiplied
15by the number of days during the assessment year the property
16is occupied as a residence by a person eligible for the
17exemption under this Section. The chief county assessment
18officer must adopt reasonable procedures to establish
19eligibility for this pro-rata exemption.
20    The assessor or chief county assessment officer may
21determine the eligibility of a life care facility to receive
22the benefits provided by this Section, by affidavit,
23application, visual inspection, questionnaire or other
24reasonable methods in order to insure that the tax savings
25resulting from the exemption are credited by the management
26firm to the apportioned tax liability of each qualifying

 

 

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1resident. The assessor may request reasonable proof that the
2management firm has so credited the exemption.
3    The chief county assessment officer of each county with
4less than 3,000,000 inhabitants shall provide to each person
5allowed a homestead exemption under this Section a form to
6designate any other person to receive a duplicate of any notice
7of delinquency in the payment of taxes assessed and levied
8under this Code on the property of the person receiving the
9exemption. The duplicate notice shall be in addition to the
10notice required to be provided to the person receiving the
11exemption, and shall be given in the manner required by this
12Code. The person filing the request for the duplicate notice
13shall pay a fee of $5 to cover administrative costs to the
14supervisor of assessments, who shall then file the executed
15designation with the county collector. Notwithstanding any
16other provision of this Code to the contrary, the filing of
17such an executed designation requires the county collector to
18provide duplicate notices as indicated by the designation. A
19designation may be rescinded by the person who executed such
20designation at any time, in the manner and form required by the
21chief county assessment officer.
22    The assessor or chief county assessment officer may
23determine the eligibility of residential property to receive
24the homestead exemption provided by this Section by
25application, visual inspection, questionnaire or other
26reasonable methods. The determination shall be made in

 

 

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1accordance with guidelines established by the Department.
2    In counties with 3,000,000 or more inhabitants, beginning
3in taxable year 2010, each taxpayer who has been granted an
4exemption under this Section must reapply on an annual basis.
5The chief county assessment officer shall mail the application
6to the taxpayer. In counties with less than 3,000,000
7inhabitants, the county board may by resolution provide that if
8a person has been granted a homestead exemption under this
9Section, the person qualifying need not reapply for the
10exemption.
11    In counties with less than 3,000,000 inhabitants, if the
12assessor or chief county assessment officer requires annual
13application for verification of eligibility for an exemption
14once granted under this Section, the application shall be
15mailed to the taxpayer.
16    The assessor or chief county assessment officer shall
17notify each person who qualifies for an exemption under this
18Section that the person may also qualify for deferral of real
19estate taxes under the Senior Citizens Real Estate Tax Deferral
20Act. The notice shall set forth the qualifications needed for
21deferral of real estate taxes, the address and telephone number
22of county collector, and a statement that applications for
23deferral of real estate taxes may be obtained from the county
24collector.
25    Notwithstanding Sections 6 and 8 of the State Mandates Act,
26no reimbursement by the State is required for the

 

 

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1implementation of any mandate created by this Section.
2(Source: P.A. 98-7, eff. 4-23-13; 98-104, eff. 7-22-13; 98-756,
3eff. 7-16-14; 99-180, eff. 7-29-15.)
 
4    (35 ILCS 200/15-172)
5    Sec. 15-172. Senior Citizens Assessment Freeze Homestead
6Exemption.
7    (a) This Section may be cited as the Senior Citizens
8Assessment Freeze Homestead Exemption.
9    (b) As used in this Section:
10    "Applicant" means an individual who has filed an
11application under this Section.
12    "Base amount" means the base year equalized assessed value
13of the residence plus the first year's equalized assessed value
14of any added improvements which increased the assessed value of
15the residence after the base year.
16    "Base year" means the taxable year prior to the taxable
17year for which the applicant first qualifies and applies for
18the exemption provided that in the prior taxable year the
19property was improved with a permanent structure that was
20occupied as a residence by the applicant who was liable for
21paying real property taxes on the property and who was either
22(i) an owner of record of the property or had legal or
23equitable interest in the property as evidenced by a written
24instrument or (ii) had a legal or equitable interest as a
25lessee in the parcel of property that was single family

 

 

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1residence. If in any subsequent taxable year for which the
2applicant applies and qualifies for the exemption the equalized
3assessed value of the residence is less than the equalized
4assessed value in the existing base year (provided that such
5equalized assessed value is not based on an assessed value that
6results from a temporary irregularity in the property that
7reduces the assessed value for one or more taxable years), then
8that subsequent taxable year shall become the base year until a
9new base year is established under the terms of this paragraph.
10For taxable year 1999 only, the Chief County Assessment Officer
11shall review (i) all taxable years for which the applicant
12applied and qualified for the exemption and (ii) the existing
13base year. The assessment officer shall select as the new base
14year the year with the lowest equalized assessed value. An
15equalized assessed value that is based on an assessed value
16that results from a temporary irregularity in the property that
17reduces the assessed value for one or more taxable years shall
18not be considered the lowest equalized assessed value. The
19selected year shall be the base year for taxable year 1999 and
20thereafter until a new base year is established under the terms
21of this paragraph.
22    "Chief County Assessment Officer" means the County
23Assessor or Supervisor of Assessments of the county in which
24the property is located.
25    "Equalized assessed value" means the assessed value as
26equalized by the Illinois Department of Revenue.

 

 

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1    "Household" means the applicant, the spouse of the
2applicant, and all persons using the residence of the applicant
3as their principal place of residence.
4    "Household income" means the combined income of the members
5of a household for the calendar year preceding the taxable
6year.
7    "Income" has the same meaning as provided in Section 3.07
8of the Senior Citizens and Persons with Disabilities Property
9Tax Relief Act, except that, beginning in assessment year 2001,
10"income" does not include veteran's benefits.
11    "Internal Revenue Code of 1986" means the United States
12Internal Revenue Code of 1986 or any successor law or laws
13relating to federal income taxes in effect for the year
14preceding the taxable year.
15    "Life care facility that qualifies as a cooperative" means
16a facility as defined in Section 2 of the Life Care Facilities
17Act.
18    "Maximum income limitation" means:
19        (1) $35,000 prior to taxable year 1999;
20        (2) $40,000 in taxable years 1999 through 2003;
21        (3) $45,000 in taxable years 2004 through 2005;
22        (4) $50,000 in taxable years 2006 and 2007; and
23        (5) $55,000 in taxable years 2008 through 2016; and
24    year 2008 and thereafter.
25        (6) $65,000 in taxable years 2017 and thereafter.
26    "Residence" means the principal dwelling place and

 

 

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1appurtenant structures used for residential purposes in this
2State occupied on January 1 of the taxable year by a household
3and so much of the surrounding land, constituting the parcel
4upon which the dwelling place is situated, as is used for
5residential purposes. If the Chief County Assessment Officer
6has established a specific legal description for a portion of
7property constituting the residence, then that portion of
8property shall be deemed the residence for the purposes of this
9Section.
10    "Taxable year" means the calendar year during which ad
11valorem property taxes payable in the next succeeding year are
12levied.
13    (c) Beginning in taxable year 1994, a senior citizens
14assessment freeze homestead exemption is granted for real
15property that is improved with a permanent structure that is
16occupied as a residence by an applicant who (i) is 65 years of
17age or older during the taxable year, (ii) has a household
18income that does not exceed the maximum income limitation,
19(iii) is liable for paying real property taxes on the property,
20and (iv) is an owner of record of the property or has a legal or
21equitable interest in the property as evidenced by a written
22instrument. This homestead exemption shall also apply to a
23leasehold interest in a parcel of property improved with a
24permanent structure that is a single family residence that is
25occupied as a residence by a person who (i) is 65 years of age
26or older during the taxable year, (ii) has a household income

 

 

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1that does not exceed the maximum income limitation, (iii) has a
2legal or equitable ownership interest in the property as
3lessee, and (iv) is liable for the payment of real property
4taxes on that property.
5    In counties of 3,000,000 or more inhabitants, the amount of
6the exemption for all taxable years is the equalized assessed
7value of the residence in the taxable year for which
8application is made minus the base amount. In all other
9counties, the amount of the exemption is as follows: (i)
10through taxable year 2005 and for taxable year 2007 and
11thereafter, the amount of this exemption shall be the equalized
12assessed value of the residence in the taxable year for which
13application is made minus the base amount; and (ii) for taxable
14year 2006, the amount of the exemption is as follows:
15        (1) For an applicant who has a household income of
16    $45,000 or less, the amount of the exemption is the
17    equalized assessed value of the residence in the taxable
18    year for which application is made minus the base amount.
19        (2) For an applicant who has a household income
20    exceeding $45,000 but not exceeding $46,250, the amount of
21    the exemption is (i) the equalized assessed value of the
22    residence in the taxable year for which application is made
23    minus the base amount (ii) multiplied by 0.8.
24        (3) For an applicant who has a household income
25    exceeding $46,250 but not exceeding $47,500, the amount of
26    the exemption is (i) the equalized assessed value of the

 

 

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1    residence in the taxable year for which application is made
2    minus the base amount (ii) multiplied by 0.6.
3        (4) For an applicant who has a household income
4    exceeding $47,500 but not exceeding $48,750, the amount of
5    the exemption is (i) the equalized assessed value of the
6    residence in the taxable year for which application is made
7    minus the base amount (ii) multiplied by 0.4.
8        (5) For an applicant who has a household income
9    exceeding $48,750 but not exceeding $50,000, the amount of
10    the exemption is (i) the equalized assessed value of the
11    residence in the taxable year for which application is made
12    minus the base amount (ii) multiplied by 0.2.
13    When the applicant is a surviving spouse of an applicant
14for a prior year for the same residence for which an exemption
15under this Section has been granted, the base year and base
16amount for that residence are the same as for the applicant for
17the prior year.
18    Each year at the time the assessment books are certified to
19the County Clerk, the Board of Review or Board of Appeals shall
20give to the County Clerk a list of the assessed values of
21improvements on each parcel qualifying for this exemption that
22were added after the base year for this parcel and that
23increased the assessed value of the property.
24    In the case of land improved with an apartment building
25owned and operated as a cooperative or a building that is a
26life care facility that qualifies as a cooperative, the maximum

 

 

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1reduction from the equalized assessed value of the property is
2limited to the sum of the reductions calculated for each unit
3occupied as a residence by a person or persons (i) 65 years of
4age or older, (ii) with a household income that does not exceed
5the maximum income limitation, (iii) who is liable, by contract
6with the owner or owners of record, for paying real property
7taxes on the property, and (iv) who is an owner of record of a
8legal or equitable interest in the cooperative apartment
9building, other than a leasehold interest. In the instance of a
10cooperative where a homestead exemption has been granted under
11this Section, the cooperative association or its management
12firm shall credit the savings resulting from that exemption
13only to the apportioned tax liability of the owner who
14qualified for the exemption. Any person who willfully refuses
15to credit that savings to an owner who qualifies for the
16exemption is guilty of a Class B misdemeanor.
17    When a homestead exemption has been granted under this
18Section and an applicant then becomes a resident of a facility
19licensed under the Assisted Living and Shared Housing Act, the
20Nursing Home Care Act, the Specialized Mental Health
21Rehabilitation Act of 2013, the ID/DD Community Care Act, or
22the MC/DD Act, the exemption shall be granted in subsequent
23years so long as the residence (i) continues to be occupied by
24the qualified applicant's spouse or (ii) if remaining
25unoccupied, is still owned by the qualified applicant for the
26homestead exemption.

 

 

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1    Beginning January 1, 1997, when an individual dies who
2would have qualified for an exemption under this Section, and
3the surviving spouse does not independently qualify for this
4exemption because of age, the exemption under this Section
5shall be granted to the surviving spouse for the taxable year
6preceding and the taxable year of the death, provided that,
7except for age, the surviving spouse meets all other
8qualifications for the granting of this exemption for those
9years.
10    When married persons maintain separate residences, the
11exemption provided for in this Section may be claimed by only
12one of such persons and for only one residence.
13    For taxable year 1994 only, in counties having less than
143,000,000 inhabitants, to receive the exemption, a person shall
15submit an application by February 15, 1995 to the Chief County
16Assessment Officer of the county in which the property is
17located. In counties having 3,000,000 or more inhabitants, for
18taxable year 1994 and all subsequent taxable years, to receive
19the exemption, a person may submit an application to the Chief
20County Assessment Officer of the county in which the property
21is located during such period as may be specified by the Chief
22County Assessment Officer. The Chief County Assessment Officer
23in counties of 3,000,000 or more inhabitants shall annually
24give notice of the application period by mail or by
25publication. In counties having less than 3,000,000
26inhabitants, beginning with taxable year 1995 and thereafter,

 

 

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1to receive the exemption, a person shall submit an application
2by July 1 of each taxable year to the Chief County Assessment
3Officer of the county in which the property is located. A
4county may, by ordinance, establish a date for submission of
5applications that is different than July 1. The applicant shall
6submit with the application an affidavit of the applicant's
7total household income, age, marital status (and if married the
8name and address of the applicant's spouse, if known), and
9principal dwelling place of members of the household on January
101 of the taxable year. The Department shall establish, by rule,
11a method for verifying the accuracy of affidavits filed by
12applicants under this Section, and the Chief County Assessment
13Officer may conduct audits of any taxpayer claiming an
14exemption under this Section to verify that the taxpayer is
15eligible to receive the exemption. Each application shall
16contain or be verified by a written declaration that it is made
17under the penalties of perjury. A taxpayer's signing a
18fraudulent application under this Act is perjury, as defined in
19Section 32-2 of the Criminal Code of 2012. The applications
20shall be clearly marked as applications for the Senior Citizens
21Assessment Freeze Homestead Exemption and must contain a notice
22that any taxpayer who receives the exemption is subject to an
23audit by the Chief County Assessment Officer.
24    Notwithstanding any other provision to the contrary, in
25counties having fewer than 3,000,000 inhabitants, if an
26applicant fails to file the application required by this

 

 

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1Section in a timely manner and this failure to file is due to a
2mental or physical condition sufficiently severe so as to
3render the applicant incapable of filing the application in a
4timely manner, the Chief County Assessment Officer may extend
5the filing deadline for a period of 30 days after the applicant
6regains the capability to file the application, but in no case
7may the filing deadline be extended beyond 3 months of the
8original filing deadline. In order to receive the extension
9provided in this paragraph, the applicant shall provide the
10Chief County Assessment Officer with a signed statement from
11the applicant's physician, advanced practice nurse, or
12physician assistant stating the nature and extent of the
13condition, that, in the physician's, advanced practice
14nurse's, or physician assistant's opinion, the condition was so
15severe that it rendered the applicant incapable of filing the
16application in a timely manner, and the date on which the
17applicant regained the capability to file the application.
18    Beginning January 1, 1998, notwithstanding any other
19provision to the contrary, in counties having fewer than
203,000,000 inhabitants, if an applicant fails to file the
21application required by this Section in a timely manner and
22this failure to file is due to a mental or physical condition
23sufficiently severe so as to render the applicant incapable of
24filing the application in a timely manner, the Chief County
25Assessment Officer may extend the filing deadline for a period
26of 3 months. In order to receive the extension provided in this

 

 

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1paragraph, the applicant shall provide the Chief County
2Assessment Officer with a signed statement from the applicant's
3physician, advanced practice nurse, or physician assistant
4stating the nature and extent of the condition, and that, in
5the physician's, advanced practice nurse's, or physician
6assistant's opinion, the condition was so severe that it
7rendered the applicant incapable of filing the application in a
8timely manner.
9    In counties having less than 3,000,000 inhabitants, if an
10applicant was denied an exemption in taxable year 1994 and the
11denial occurred due to an error on the part of an assessment
12official, or his or her agent or employee, then beginning in
13taxable year 1997 the applicant's base year, for purposes of
14determining the amount of the exemption, shall be 1993 rather
15than 1994. In addition, in taxable year 1997, the applicant's
16exemption shall also include an amount equal to (i) the amount
17of any exemption denied to the applicant in taxable year 1995
18as a result of using 1994, rather than 1993, as the base year,
19(ii) the amount of any exemption denied to the applicant in
20taxable year 1996 as a result of using 1994, rather than 1993,
21as the base year, and (iii) the amount of the exemption
22erroneously denied for taxable year 1994.
23    For purposes of this Section, a person who will be 65 years
24of age during the current taxable year shall be eligible to
25apply for the homestead exemption during that taxable year.
26Application shall be made during the application period in

 

 

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1effect for the county of his or her residence.
2    The Chief County Assessment Officer may determine the
3eligibility of a life care facility that qualifies as a
4cooperative to receive the benefits provided by this Section by
5use of an affidavit, application, visual inspection,
6questionnaire, or other reasonable method in order to insure
7that the tax savings resulting from the exemption are credited
8by the management firm to the apportioned tax liability of each
9qualifying resident. The Chief County Assessment Officer may
10request reasonable proof that the management firm has so
11credited that exemption.
12    Except as provided in this Section, all information
13received by the chief county assessment officer or the
14Department from applications filed under this Section, or from
15any investigation conducted under the provisions of this
16Section, shall be confidential, except for official purposes or
17pursuant to official procedures for collection of any State or
18local tax or enforcement of any civil or criminal penalty or
19sanction imposed by this Act or by any statute or ordinance
20imposing a State or local tax. Any person who divulges any such
21information in any manner, except in accordance with a proper
22judicial order, is guilty of a Class A misdemeanor.
23    Nothing contained in this Section shall prevent the
24Director or chief county assessment officer from publishing or
25making available reasonable statistics concerning the
26operation of the exemption contained in this Section in which

 

 

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1the contents of claims are grouped into aggregates in such a
2way that information contained in any individual claim shall
3not be disclosed.
4    Notwithstanding any other provision of law, for taxable
5year 2017 and thereafter, in counties of 3,000,000 or more
6inhabitants, the amount of the exemption shall be the greater
7of (i) the amount of the exemption otherwise calculated under
8this Section or (ii) $2,000.
9    (d) Each Chief County Assessment Officer shall annually
10publish a notice of availability of the exemption provided
11under this Section. The notice shall be published at least 60
12days but no more than 75 days prior to the date on which the
13application must be submitted to the Chief County Assessment
14Officer of the county in which the property is located. The
15notice shall appear in a newspaper of general circulation in
16the county.
17    Notwithstanding Sections 6 and 8 of the State Mandates Act,
18no reimbursement by the State is required for the
19implementation of any mandate created by this Section.
20(Source: P.A. 98-104, eff. 7-22-13; 99-143, eff. 7-27-15;
2199-180, eff. 7-29-15; 99-581, eff. 1-1-17; 99-642, eff.
227-28-16.)
 
23    (35 ILCS 200/15-175)
24    Sec. 15-175. General homestead exemption.
25    (a) Except as provided in Sections 15-176 and 15-177,

 

 

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1homestead property is entitled to an annual homestead exemption
2limited, except as described here with relation to
3cooperatives, to a reduction in the equalized assessed value of
4homestead property equal to the increase in equalized assessed
5value for the current assessment year above the equalized
6assessed value of the property for 1977, up to the maximum
7reduction set forth below. If however, the 1977 equalized
8assessed value upon which taxes were paid is subsequently
9determined by local assessing officials, the Property Tax
10Appeal Board, or a court to have been excessive, the equalized
11assessed value which should have been placed on the property
12for 1977 shall be used to determine the amount of the
13exemption.
14    (b) Except as provided in Section 15-176, the maximum
15reduction before taxable year 2004 shall be $4,500 in counties
16with 3,000,000 or more inhabitants and $3,500 in all other
17counties. Except as provided in Sections 15-176 and 15-177, for
18taxable years 2004 through 2007, the maximum reduction shall be
19$5,000, for taxable year 2008, the maximum reduction is $5,500,
20and, for taxable years 2009 through 2011, the maximum reduction
21is $6,000 in all counties. For taxable years 2012 through 2016
22and thereafter, the maximum reduction is $7,000 in counties
23with 3,000,000 or more inhabitants and $6,000 in all other
24counties. For taxable years 2017 and thereafter, the maximum
25reduction is $10,000 in counties with 3,000,000 or more
26inhabitants and $6,000 in all other counties. If a county has

 

 

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1elected to subject itself to the provisions of Section 15-176
2as provided in subsection (k) of that Section, then, for the
3first taxable year only after the provisions of Section 15-176
4no longer apply, for owners who, for the taxable year, have not
5been granted a senior citizens assessment freeze homestead
6exemption under Section 15-172 or a long-time occupant
7homestead exemption under Section 15-177, there shall be an
8additional exemption of $5,000 for owners with a household
9income of $30,000 or less.
10    (c) In counties with fewer than 3,000,000 inhabitants, if,
11based on the most recent assessment, the equalized assessed
12value of the homestead property for the current assessment year
13is greater than the equalized assessed value of the property
14for 1977, the owner of the property shall automatically receive
15the exemption granted under this Section in an amount equal to
16the increase over the 1977 assessment up to the maximum
17reduction set forth in this Section.
18    (d) If in any assessment year beginning with the 2000
19assessment year, homestead property has a pro-rata valuation
20under Section 9-180 resulting in an increase in the assessed
21valuation, a reduction in equalized assessed valuation equal to
22the increase in equalized assessed value of the property for
23the year of the pro-rata valuation above the equalized assessed
24value of the property for 1977 shall be applied to the property
25on a proportionate basis for the period the property qualified
26as homestead property during the assessment year. The maximum

 

 

10000SB0473sam001- 22 -LRB100 05138 HLH 23898 a

1proportionate homestead exemption shall not exceed the maximum
2homestead exemption allowed in the county under this Section
3divided by 365 and multiplied by the number of days the
4property qualified as homestead property.
5    (d-1) In counties with 3,000,000 or more inhabitants, where
6the chief county assessment officer provides a notice of
7discovery, if a property is not occupied by its owner as a
8principal residence as of January 1 of the current tax year,
9then the property owner shall notify the chief county
10assessment officer of that fact on a form prescribed by the
11chief county assessment officer. That notice must be received
12by the chief county assessment officer on or before March 1 of
13the collection year. If mailed, the form shall be sent by
14certified mail, return receipt requested. If the form is
15provided in person, the chief county assessment officer shall
16provide a date stamped copy of the notice. Failure to provide
17timely notice pursuant to this subsection (d-1) shall result in
18the exemption being treated as an erroneous exemption. Upon
19timely receipt of the notice for the current tax year, no
20exemption shall be applied to the property for the current tax
21year. If the exemption is not removed upon timely receipt of
22the notice by the chief assessment officer, then the error is
23considered granted as a result of a clerical error or omission
24on the part of the chief county assessment officer as described
25in subsection (h) of Section 9-275, and the property owner
26shall not be liable for the payment of interest and penalties

 

 

10000SB0473sam001- 23 -LRB100 05138 HLH 23898 a

1due to the erroneous exemption for the current tax year for
2which the notice was filed after the date that notice was
3timely received pursuant to this subsection. Notice provided
4under this subsection shall not constitute a defense or amnesty
5for prior year erroneous exemptions.
6    For the purposes of this subsection (d-1):
7    "Collection year" means the year in which the first and
8second installment of the current tax year is billed.
9    "Current tax year" means the year prior to the collection
10year.
11    (e) The chief county assessment officer may, when
12considering whether to grant a leasehold exemption under this
13Section, require the following conditions to be met:
14        (1) that a notarized application for the exemption,
15    signed by both the owner and the lessee of the property,
16    must be submitted each year during the application period
17    in effect for the county in which the property is located;
18        (2) that a copy of the lease must be filed with the
19    chief county assessment officer by the owner of the
20    property at the time the notarized application is
21    submitted;
22        (3) that the lease must expressly state that the lessee
23    is liable for the payment of property taxes; and
24        (4) that the lease must include the following language
25    in substantially the following form:
26            "Lessee shall be liable for the payment of real

 

 

10000SB0473sam001- 24 -LRB100 05138 HLH 23898 a

1        estate taxes with respect to the residence in
2        accordance with the terms and conditions of Section
3        15-175 of the Property Tax Code (35 ILCS 200/15-175).
4        The permanent real estate index number for the premises
5        is (insert number), and, according to the most recent
6        property tax bill, the current amount of real estate
7        taxes associated with the premises is (insert amount)
8        per year. The parties agree that the monthly rent set
9        forth above shall be increased or decreased pro rata
10        (effective January 1 of each calendar year) to reflect
11        any increase or decrease in real estate taxes. Lessee
12        shall be deemed to be satisfying Lessee's liability for
13        the above mentioned real estate taxes with the monthly
14        rent payments as set forth above (or increased or
15        decreased as set forth herein).".
16    In addition, if there is a change in lessee, or if the
17lessee vacates the property, then the chief county assessment
18officer may require the owner of the property to notify the
19chief county assessment officer of that change.
20    This subsection (e) does not apply to leasehold interests
21in property owned by a municipality.
22    (f) "Homestead property" under this Section includes
23residential property that is occupied by its owner or owners as
24his or their principal dwelling place, or that is a leasehold
25interest on which a single family residence is situated, which
26is occupied as a residence by a person who has an ownership

 

 

10000SB0473sam001- 25 -LRB100 05138 HLH 23898 a

1interest therein, legal or equitable or as a lessee, and on
2which the person is liable for the payment of property taxes.
3For land improved with an apartment building owned and operated
4as a cooperative or a building which is a life care facility as
5defined in Section 15-170 and considered to be a cooperative
6under Section 15-170, the maximum reduction from the equalized
7assessed value shall be limited to the increase in the value
8above the equalized assessed value of the property for 1977, up
9to the maximum reduction set forth above, multiplied by the
10number of apartments or units occupied by a person or persons
11who is liable, by contract with the owner or owners of record,
12for paying property taxes on the property and is an owner of
13record of a legal or equitable interest in the cooperative
14apartment building, other than a leasehold interest. For
15purposes of this Section, the term "life care facility" has the
16meaning stated in Section 15-170.
17    "Household", as used in this Section, means the owner, the
18spouse of the owner, and all persons using the residence of the
19owner as their principal place of residence.
20    "Household income", as used in this Section, means the
21combined income of the members of a household for the calendar
22year preceding the taxable year.
23    "Income", as used in this Section, has the same meaning as
24provided in Section 3.07 of the Senior Citizens and Persons
25with Disabilities Property Tax Relief Act, except that "income"
26does not include veteran's benefits.

 

 

10000SB0473sam001- 26 -LRB100 05138 HLH 23898 a

1    (g) In a cooperative where a homestead exemption has been
2granted, the cooperative association or its management firm
3shall credit the savings resulting from that exemption only to
4the apportioned tax liability of the owner who qualified for
5the exemption. Any person who willfully refuses to so credit
6the savings shall be guilty of a Class B misdemeanor.
7    (h) Where married persons maintain and reside in separate
8residences qualifying as homestead property, each residence
9shall receive 50% of the total reduction in equalized assessed
10valuation provided by this Section.
11    (i) In all counties, the assessor or chief county
12assessment officer may determine the eligibility of
13residential property to receive the homestead exemption and the
14amount of the exemption by application, visual inspection,
15questionnaire or other reasonable methods. The determination
16shall be made in accordance with guidelines established by the
17Department, provided that the taxpayer applying for an
18additional general exemption under this Section shall submit to
19the chief county assessment officer an application with an
20affidavit of the applicant's total household income, age,
21marital status (and, if married, the name and address of the
22applicant's spouse, if known), and principal dwelling place of
23members of the household on January 1 of the taxable year. The
24Department shall issue guidelines establishing a method for
25verifying the accuracy of the affidavits filed by applicants
26under this paragraph. The applications shall be clearly marked

 

 

10000SB0473sam001- 27 -LRB100 05138 HLH 23898 a

1as applications for the Additional General Homestead
2Exemption.
3    (i-5) This subsection (i-5) applies to counties with
43,000,000 or more inhabitants. In the event of a sale of
5homestead property, the homestead exemption shall remain in
6effect for the remainder of the assessment year of the sale.
7Upon receipt of a transfer declaration transmitted by the
8recorder pursuant to Section 31-30 of the Real Estate Transfer
9Tax Law for property receiving an exemption under this Section,
10the assessor shall mail a notice and forms to the new owner of
11the property providing information pertaining to the rules and
12applicable filing periods for applying or reapplying for
13homestead exemptions under this Code for which the property may
14be eligible. If the new owner fails to apply or reapply for a
15homestead exemption during the applicable filing period or the
16property no longer qualifies for an existing homestead
17exemption, the assessor shall cancel such exemption for any
18ensuing assessment year.
19    (j) In counties with fewer than 3,000,000 inhabitants, in
20the event of a sale of homestead property the homestead
21exemption shall remain in effect for the remainder of the
22assessment year of the sale. The assessor or chief county
23assessment officer may require the new owner of the property to
24apply for the homestead exemption for the following assessment
25year.
26    (k) Notwithstanding Sections 6 and 8 of the State Mandates

 

 

10000SB0473sam001- 28 -LRB100 05138 HLH 23898 a

1Act, no reimbursement by the State is required for the
2implementation of any mandate created by this Section.
3(Source: P.A. 98-7, eff. 4-23-13; 98-463, eff. 8-16-13; 99-143,
4eff. 7-27-15; 99-164, eff. 7-28-15; 99-642, eff. 7-28-16;
599-851, eff. 8-19-16.)
 
6    Section 99. Effective date. This Act takes effect upon
7becoming law.".