HB2379 96TH GENERAL ASSEMBLY

LRB096 09549 RCE 19709 b

96TH GENERAL ASSEMBLY
State of Illinois
2009 and 2010
HB2379

Introduced 2/19/2009, by Rep. Kevin A. McCarthy

SYNOPSIS AS INTRODUCED:

35 ILCS 200/10-350

Amends the Property Tax Code. In provisions concerning the fraternal organization assessment freeze, adds fraternal organizations that are exempt under Section 501(c)(3) of the Internal Revenue Code (now, only Section 501(c)(10)) and removes the requirement that the organization must prohibit the use of alcohol on the property. Begins in taxable year 2010.

FISCAL NOTE ACT MAY APPLY

HOUSING AFFORDABILITY IMPACT NOTE ACT MAY APPLY

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 changing Section 10-350 as follows:

(35 ILCS 200/10-350)

Sec. 10-350. Fraternal organization assessment freeze.

(a) For the taxable year 2001 and thereafter, the assessed value of real property owned and used by a fraternal organization chartered by the State of Illinois prior to 1900, or its subordinate organization or entity, (i) that prohibits gambling and the use of alcohol on the property, (ii) that is an exempt entity under Section 501(c)(10) of the Internal Revenue Code, and (iii) whose members provide, directly or indirectly, financial support for charitable works, which may include medical care, drug rehabilitation, or education, shall be established by the chief county assessment officer as follows:

(1) if the property meets the qualifications set forth in this Section on January 1, 2001 and on January 1 of each subsequent assessment year, for assessment year 2001 and each subsequent assessment year, the final assessed value of the property shall be 15% of the final assessed value of the property for the assessment year 2000; or

(2) if the property first meets the qualifications set forth in this Section on January 1 of any assessment year after assessment year 2001 and on January 1 of each subsequent assessment year, for that first assessment year and each subsequent assessment year, the final assessed value shall be 15% of the final assessed value of the property for the assessment year in which the property first meets the qualifications set forth in this Section.

(a-1) For the taxable year 2010 and thereafter, the assessed value of real property owned and used by a fraternal organization chartered by the State of Illinois prior to 1900, or its subordinate organization or entity, (i) that prohibits gambling on the property, (ii) that is an exempt entity under Section 501(c)(3) or 501(c)(10) of the Internal Revenue Code, and (iii) whose members provide, directly or indirectly, financial support for charitable works, which may include medical care, drug rehabilitation, or education, shall be established by the chief county assessment officer as follows:

(1) if the property meets the qualifications set forth in this Section on January 1, 2010 and on January 1 of each subsequent assessment year, for assessment year 2010 and each subsequent assessment year, the final assessed value of the property shall be 15% of the final assessed value of the property for the assessment year 2009; or

(2) if the property first meets the qualifications set forth in this Section on January 1 of any assessment year after assessment year 2010 and on January 1 of each subsequent assessment year, for that first assessment year and each subsequent assessment year, the final assessed value shall be 15% of the final assessed value of the property for the assessment year in which the property first meets the qualifications set forth in this Section.

(a-6) If, in any year, additions or improvements are made to property subject to assessment under this Section and the additions or improvements would increase the assessed value of the property, then 15% of the final assessed value of the additions or improvements shall be added to the final assessed value of the property for the year in which the additions or improvements are completed and for all subsequent years that the property is eligible for assessment under this Section.

(b) For purposes of this Section, "final assessed value" means the assessed value after final board of review action.

(c) Fraternal organizations whose property is assessed under this Section must annually submit an application to the chief county assessment officer on or before (i) January 31 of the assessment year in counties with a population of 3,000,000 or more and (ii) December 31 of the assessment year in all other counties. The initial application must contain the information required by the Department of Revenue, which shall prepare the form, including:

(1) a copy of the organization's charter from the State of Illinois, if applicable;

(2) the location or legal description of the property on which is located the principal building for the organization, including the PIN number, if available;

(3) a written instrument evidencing that the organization is the record owner or has a legal or equitable interest in the property;

(4) an affidavit that the organization is liable for paying the real property taxes on the property; and

(5) the signature of the organization's chief presiding officer.

Subsequent applications shall include any changes in the initial application and shall affirm the ownership, use, and liability for taxes for the year in which it is submitted. All applications shall be notarized.

(d) This Section does not apply to parcels exempt from property taxes under this Code.

(Source: P.A. 91-834, eff. 1-1-01.)