SB1352 99TH GENERAL ASSEMBLY

LRB099 10361 HLH 30588 b

99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
SB1352

Introduced 2/18/2015, by Sen. Antonio Muņoz

SYNOPSIS AS INTRODUCED:

35 ILCS 200/15-169

Amends the Property Tax Code. Provides that, for taxable year 2015 and each taxable year thereafter, the disabled veterans standard homestead exemption is $6,000 for veterans with a service-connected disability of at least 70% and $3,000 for veterans with a service-connected disability of at least 50% but less than 70%. Provides that the residence must be occupied as a qualified residence by a disabled veteran who has an ownership interest in the property (currently, the residence must be used as the veteran's primary residence). Provides that, if the disabled veteran resides with a family member but does not have an ownership interest in the property, the property is still entitled to the exemption, subject to certain conditions. Effective immediately.

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 15-169 as follows:

(35 ILCS 200/15-169)

Sec. 15-169. Disabled veterans standard homestead exemption.

(a) Beginning with taxable year 2007, an annual homestead exemption, limited to the amounts set forth in subsection (b), is granted for property that is occupied used as a qualified residence by a disabled veteran who has an ownership interest therein, legal or equitable.

(b) The amount of the exemption under this Section is as follows:

(1) for veterans with a service-connected disability of at least (i) 75% for exemptions granted in taxable years 2007 through 2009 and (ii) 70% for exemptions granted in taxable year 2010 and each taxable year thereafter, as certified by the United States Department of Veterans Affairs, the annual exemption is $5,000 for taxable years prior to 2015 and $6,000 for taxable year 2015 and each taxable year thereafter; and

(2) for veterans with a service-connected disability of at least 50%, but less than (i) 75% for exemptions granted in taxable years 2007 through 2009 and (ii) 70% for exemptions granted in taxable year 2010 and each taxable year thereafter, as certified by the United States Department of Veterans Affairs, the annual exemption is $2,500 for taxable years prior to 2015 and $3,000 for taxable year 2015 and each taxable year thereafter.

(b-5) If a homestead exemption is granted under this Section 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 (i) so long as the residence continues to be occupied by the qualifying person's spouse or (ii) if 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 veteran's surviving spouse 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.

(c-1) Beginning with taxable year 2015, nothing in this Section shall require the veteran to have qualified for or obtained the exemption before death if the veteran was killed in the line of duty.

(d) The exemption under this Section applies for taxable year 2007 and thereafter. A taxpayer who claims an exemption under Section 15-165 or 15-168 may not claim an exemption under this Section.

(e) 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.

(e-5) If a veteran meets the disability criteria for an exemption under this Section, and if the disabled veteran resides with a family member but does not have an ownership interest in the property, the exemption may be applied to the property where the disabled veteran resides, subject to the following limitations:

(1) The exemption under this subsection (e-5) shall not apply to:

(A) multiple residences in any tax year;

(B) the disabled veteran's surviving spouse; or

(C) a facility licensed under the Nursing Home Care Act or a life care facility.

(2) The disabled veteran shall provide the following documents to the chief county assessment officer upon request or upon initial application:

(A) documentation of his or her disability from the U.S. Department of Veteran's Affairs; and

(B) a valid Illinois driver's license or State identification card.

(3) The disabled veteran shall notify the chief county assessment officer if he or she no longer resides at the property receiving the exemption under this subsection (e-5).

The chief county assessment officer may adopt rules for the purpose of administering this subsection (e-5).

(f) For the purposes of this Section:

"Family member" means a disabled veteran's spouse, parent, child, step-parent, stepchild, or person related by blood, present or prior marriage, or civil union.

"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 $250,000 that is the disabled veteran's primary residence. Property rented for more than 6 months is presumed to be used for commercial purposes.

"Veteran" means an Illinois resident who has served as a member of the United States Armed Forces on active duty or State active duty, a member of the Illinois National Guard, or a member of the United States Reserve Forces and who has received an honorable discharge.

(Source: P.A. 97-333, eff. 8-12-11; 98-1145, eff. 12-30-14.)

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