Public Act 102-0644
 
SB2244 EnrolledLRB102 16094 HLH 21468 b


  
    AN ACT concerning revenue.
  
 
    Be it enacted by the People of the State of Illinois,
 
represented in the General Assembly:
  



 
 
    Section 5. The Senior Citizens Real Estate Tax Deferral 
Act is amended  by changing Sections 2 and 3 as follows:
 



    (320 ILCS 30/2)  (from Ch. 67 1/2, par. 452)



    Sec. 2. Definitions. As used in this Act:

    (a) "Taxpayer" means an individual whose household income 
for the year
is no greater than: (i) $40,000 through tax year 
2005; (ii) $50,000 for tax years 2006 through 2011; and (iii) 
$55,000 for tax years year 2012 through 2021; (iv) $65,000 for 
tax years 2022 through 2025; and (v) $55,000 for tax year 2026 
and thereafter.

    (b) "Tax deferred property" means the property upon which 
real
estate taxes are deferred under this Act.

    (c) "Homestead" means the land and buildings thereon, 
including a
condominium or a dwelling unit in a multidwelling 
building that is owned and
operated as a cooperative, occupied 
by the taxpayer as his residence or which
are temporarily 
unoccupied by the taxpayer because such taxpayer is 
temporarily
residing, for not more than 1 year, in a licensed 
facility as defined in
Section 1-113 of the Nursing Home Care 
Act.

    (d) "Real estate taxes" or "taxes" means the taxes on real 
property for
which the taxpayer would be liable under the 
Property Tax Code, including special service area taxes, and 
special assessments on
benefited real property for which the 
taxpayer would be liable to a unit of
local government.

    (e) "Department" means the Department of Revenue.

    (f) "Qualifying property" means a homestead which (a) the 
taxpayer or the
taxpayer and his spouse own in fee simple or 
are purchasing in fee simple under
a recorded instrument of 
sale, (b) is not income-producing property, (c) is not
subject 
to a lien for unpaid real estate taxes when a claim under this 
Act is
filed, and (d) is not held in trust, other than an 
Illinois land trust with the taxpayer identified as the sole 
beneficiary, if the taxpayer is filing for the program for the 
first time effective as of the January 1, 2011 assessment year 
or tax year 2012 and thereafter.

    (g) "Equity interest" means the current assessed valuation 
of the qualified
property times the fraction necessary to 
convert that figure to full market
value minus any outstanding 
debts or liens on that property.  In the case of
qualifying 
property not having a separate assessed valuation, the 
appraised
value as determined by a qualified real estate 
appraiser shall be used instead
of the current assessed 
valuation.

    (h) "Household income" has the meaning ascribed to that 
term in the Senior
Citizens and Persons with Disabilities 
Property Tax Relief
Act.

    (i) "Collector" means the county collector or, if the 
taxes to be deferred
are special assessments, an official 
designated by a unit of local government
to collect special 
assessments.

(Source: P.A. 99-143, eff. 7-27-15.)

 



    (320 ILCS 30/3)  (from Ch. 67 1/2, par. 453)



    Sec. 3. 
A taxpayer may, on or before March 1 of each year,

apply to the county collector of the county where his 
qualifying
property is located, or to the official designated 
by a unit of local
government to collect special assessments 
on the qualifying property, as the
case may be, for a deferral 
of all or a part of real estate taxes payable
during that year 
for the preceding year in the case of real estate taxes
other 
than special assessments, or for a deferral of any 
installments payable
during that year in the case of special 
assessments, on all or part of his
qualifying property.  The 
application shall be on a form prescribed by the
Department 
and furnished by the collector,
(a) showing that the applicant

will be 65 years of age or older by June 1 of the year for 
which a tax
deferral is claimed, (b) describing the property 
and verifying that the
property is qualifying property as 
defined in Section 2, (c) certifying
that the taxpayer has 
owned and occupied as his residence such
property or other 
qualifying property in the State for at least the last 3
years 
except for any periods during which the taxpayer may have 
temporarily
resided in a nursing or sheltered care home, and 
(d) specifying whether
the deferral is for all or a part of the 
taxes, and, if for a part, the amount
of deferral applied for. 
As to qualifying property not having a separate
assessed 
valuation, the taxpayer shall also file with the county 
collector a
written appraisal of the property prepared by a 
qualified real estate appraiser
together with a certificate 
signed by the appraiser stating that he has
personally 
examined the property and setting forth the value of the land 
and
the value of the buildings thereon occupied by the 
taxpayer as his residence.

    The collector shall grant the tax deferral provided such 
deferral does not
exceed funds available in the Senior 
Citizens Real Estate Deferred Tax
Revolving Fund and provided 
that the owner or owners of such real property have
entered 
into a tax deferral and recovery agreement with the collector 
on behalf
of the county or other unit of local government, 
which agreement expressly
states:

    (1) That the total amount of taxes deferred under this 
Act, plus
interest, for the year for which a tax deferral is 
claimed as well
as for those previous years for which taxes are 
not delinquent and
for which such deferral has been claimed 
may not exceed 80%
of the taxpayer's equity interest in the 
property for which taxes are
to be deferred and that, if the 
total deferred taxes plus interest equals
80% of the 
taxpayer's equity interest in the property, the taxpayer shall

thereafter pay the annual interest due on such deferred taxes 
plus interest
so that total deferred taxes plus interest will 
not exceed such 80% of the
taxpayer's equity interest in the 
property. Effective as of the January 1, 2011 assessment year 
or tax year 2012 and through the 2021 tax year, and beginning 
again with the 2026 tax year thereafter, the total amount of 
any such deferral shall not exceed $5,000 per taxpayer in each 
tax year. For the 2022 tax year through the 2025 tax year, the 
total amount of any such deferral shall not exceed $7,500 per 
taxpayer in each tax year. 

    (2) That any real estate taxes deferred under this Act and 
any
interest accrued thereon at the rate of 6% per year are a 
lien on the real
estate and improvements thereon until paid.  
No sale or transfer of such
real property may be legally closed 
and recorded until the taxes
which would otherwise have been 
due on the property, plus accrued
interest, have been paid 
unless the collector certifies in
writing that an arrangement 
for prompt payment of the amount due
has been made with his 
office.  The same shall apply if the
property is to be made the 
subject of a contract of sale. 

    (3) That upon the death of the taxpayer claiming the 
deferral
the heirs-at-law, assignees or legatees shall have 
first
priority to the real property upon which taxes have been 
deferred
by paying in full the total taxes which would 
otherwise have been due,
plus interest.  However, if such 
heir-at-law, assignee, or legatee
is a surviving spouse, the 
tax deferred status of the
property shall be continued during 
the life of that surviving spouse
if the spouse is 55 years of 
age or older within 6 months of the
date of death of the 
taxpayer and enters into a tax deferral and
recovery agreement 
before the time when deferred taxes become due
under this 
Section.  Any additional taxes deferred, plus interest,
on the 
real property under a tax deferral and recovery agreement

signed by a surviving spouse shall be added to the taxes and 
interest
which would otherwise have been due, and the payment 
of which has been
postponed during the life of such surviving 
spouse, in determining
the 80% equity requirement provided by 
this Section.

    (4) That if the taxes due, plus interest, are not paid by 
the heir-at-law,
assignee or legatee or if payment is not 
postponed during the life of a
surviving spouse, the deferred 
taxes and interest shall be recovered from the
estate of the 
taxpayer within one year of the date of his death.  In addition,

deferred real estate taxes and any interest accrued thereon 
are due within 90
days after any tax deferred property ceases 
to be qualifying property as
defined in Section 2.

    If payment is not made when required by this Section, 
foreclosure proceedings
may be instituted under the Property 
Tax Code.

    (5) That any joint owner has given written prior approval 
for such
agreement,
which written approval shall be made a 
part of such agreement.

    (6) That a guardian for a person under legal disability 
appointed for a
taxpayer who otherwise qualifies under this 
Act may act for the taxpayer in
complying with this Act.

    (7) That a taxpayer or his agent has provided to the 
satisfaction of the
collector, sufficient evidence that the 
qualifying property on which the taxes
are to be deferred is 
insured against fire or casualty loss for at least the
total 
amount of taxes which have been deferred.

    If the taxes to be deferred are special assessments, the 
unit of local
government making the assessments shall forward 
a copy of the agreement
entered into pursuant to this Section 
and the bills for such assessments to
the county collector of 
the county in which the qualifying property is located.

(Source: P.A. 97-481, eff. 8-22-11.)

 
 
    Section 99. Effective date. This Act takes effect upon 
becoming law.