HB2505 104TH GENERAL ASSEMBLY

LRB104 10235 HLH 20309 b

104TH GENERAL ASSEMBLY
State of Illinois
2025 and 2026
HB2505

Introduced 2/4/2025, by Rep. Angelica Guerrero-Cuellar

SYNOPSIS AS INTRODUCED:

35 ILCS 200/15-169.1 new

Amends the Property Tax Code. Provides that property that is used as a qualified residence by a police officer or firefighter with a duty-related disability is exempt from taxation under the Code. Effective immediately.

A BILL FOR

AN ACT concerning revenue.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Property Tax Code is amended by adding Section 15-169.1 as follows:

(35 ILCS 200/15-169.1 new)

Sec. 15-169.1. Homestead exemption for police officers and firefighters with certain duty-related injuries.

(a) Beginning with taxable year 2025, property that is used as a qualified residence by a qualified police officer or a qualified firefighter is exempt from taxation under this Code.

(b) If a homestead exemption is granted under this Section to a qualified police officer or a qualified firefighter and the person awarded the exemption subsequently becomes a resident of a facility licensed under the Nursing Home Care Act or a facility operated by the United States Department of Veterans Affairs, then the exemption shall continue so long as (i) the residence continues to be occupied by the qualifying person's spouse or (ii) the residence remains unoccupied but is still owned by the person who qualified for the homestead exemption.

(c) The tax exemption under this Section carries over to the benefit of the surviving spouse of a qualified police officer or qualified firefighter as long as the spouse holds the legal or beneficial title to the homestead, permanently resides thereon, and does not remarry. If the surviving spouse sells the property, an exemption not to exceed the amount granted from the most recent ad valorem tax roll may be transferred to his or her new residence as long as it is used as his or her primary residence and he or she does not remarry.

(d) The homestead exemption under this Section is also granted for property that is used as a qualified residence by the surviving spouse of a police officer or firefighter killed in the line of duty, so long as the surviving spouse does not remarry. If a homestead exemption is granted under this Section to a surviving spouse and the surviving spouse awarded the exemption subsequently becomes a resident of a facility licensed under the Nursing Home Care Act or a facility operated by the United States Department of Veterans Affairs, then the exemption shall continue if the residence remains unoccupied but is still owned by the person who qualified for the homestead exemption.

(e) Each qualified police officer or qualified firefighter shall submit proof of the qualifying injury in such form and manner as the Department shall by rule prescribe. Each taxpayer who has been granted an exemption under this Section must reapply on an annual basis. Application must be made during the application period in effect for the county of his or her residence. The assessor or chief county assessment officer may determine the eligibility of residential property to receive the homestead exemption provided by this Section by application, visual inspection, questionnaire, or other reasonable methods. The determination must be made in accordance with guidelines established by the Department.

(f) As used in this Section:

"Firefighter" means: (i) a person who is a firefighter or fireman as defined in Sections 4-106 or 6-106 of the Illinois Pension Code; (ii) a paramedic employed by a unit of local government; or (iii) an EMT, emergency medical technician-intermediate (EMT-I), or advanced emergency medical technician (A-EMT) employed by a unit of local government.

"Police officer" means: a policeman, as defined in Section 10-3-1 of the Illinois Municipal Code; a conservation police officer; a sheriff or deputy sheriff; or a law enforcement officer employed by the State Police, the Secretary of State, or any other State agency, college, or university.

"Qualified firefighter" means a firefighter who:

(1) has suffered an injury related to his or her service as a firefighter resulting in one or more of the following:

(A) paraplegia;

(B) quadriplegia;

(C) dismemberment of a limb or other body part; or

(D) amputation of a limb or other body part; and

(2) currently receives, or prior to retiring received, a disability benefit under Section 4-110 of the Illinois Pension Code or Section 6-151 of the Illinois Pension Code.

"Qualified police officer" means a police officer who:

(1) has suffered an injury related to his or her service as a police officer resulting in one or more of the following:

(A) paraplegia;

(B) quadriplegia;

(C) dismemberment of a limb or other body part; or

(D) amputation of a limb or other body part; and

(2) currently receives, or prior to retiring received, a disability benefit under Section 3-114.1 of the Illinois Pension Code or Section 5-154 of the Illinois Pension Code.

"Qualified residence" means real property, but less any portion of that property that is used for commercial purposes, with an equalized assessed value of less than $500,000 that is owned and occupied as the primary residence of (i) a qualified police officer, (ii) a qualified firefighter, or (iii) if applicable, the surviving spouse of a qualified police officer or qualified firefighter killed in the line of duty, if that police officer, firefighter, or spouse is liable for paying real estate taxes on the property and is an owner of record of the property or has a legal or equitable interest therein, as evidenced by a written instrument. In the case of a leasehold interest in the property, the lease must be for a single family residence. Property rented for more than 6 months is presumed to be used for commercial purposes.

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