101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
HB5786

 

Introduced , by Rep. Jonathan "Yoni" Pizer

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 200/20-210
35 ILCS 200/21-15
35 ILCS 200/21-25
35 ILCS 200/21-150

    Amends the Property Tax Code. Provides that, for taxable year 2020 (payable in 2021), in counties with 3,000,000 or more inhabitants, current taxes shall be payable in 4 equal installments, due on March 1, June 1, September 1, and December 1. Effective immediately.


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FISCAL NOTE ACT MAY APPLY
HOUSING AFFORDABILITY IMPACT NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB5786LRB101 21388 HLH 72018 b

1    AN ACT concerning revenue.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Property Tax Code is amended by changing
5Sections 20-210, 21-15, 21-25, and 21-150 as follows:
 
6    (35 ILCS 200/20-210)
7    Sec. 20-210. Taxes payable in installments; payment under
8specification. Except as otherwise provided in Section 21-30,
9in counties with fewer than 3,000,000 inhabitants, current
10taxes shall be payable in 2 equal installments. For taxable
11year 2020 (payable in 2021), in counties with 3,000,000 or more
12inhabitants, current taxes shall be payable in 4 equal
13installments, due on March 1, June 1, September 1, and December
141. The collector, when requested by the party paying the taxes,
15shall receive and receipt for the taxes in installments. The
16collector shall receive taxes on part of any property charged
17with taxes when a particular specification of the part is
18furnished. If the tax on the remainder of the property remains
19unpaid, the collector shall enter that specification in his or
20her return, so that the part on which the tax remains unpaid
21may be clearly known. The tax may be paid on an undivided share
22of property. In that case, the collector shall designate on his
23or her record upon whose undivided share the tax has been paid.

 

 

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1(Source: P.A. 95-948, eff. 1-1-09.)
 
2    (35 ILCS 200/21-15)
3    Sec. 21-15. Delinquencies General tax due dates; default by
4mortgage lender. Except as otherwise provided in this Section
5or Section 21-40, all property upon which any the first
6installment of taxes remains unpaid on the later of (i) June 1
7or (ii) the day after the date specified on the real estate tax
8bill as the first installment due date for that installment
9annually shall be deemed delinquent and shall bear interest
10after that date at the rate of 1 1/2% per month or portion
11thereof. Except as otherwise provided in this Section or
12Section 21-40, all property upon which the second installment
13of taxes remains due and unpaid on the later of (i) September 1
14or (ii) the day after the date specified on the real estate tax
15bill as the second installment due date, annually, shall be
16deemed delinquent and shall bear interest after that date at
17the same interest rate. Notwithstanding any other provision of
18law, if a taxpayer owes an arrearage of taxes due to an
19administrative error, and if the county collector sends a
20separate bill for that arrearage as provided in Section 14-41,
21then any part of the arrearage of taxes that remains unpaid on
22the day after the due date specified on that tax bill shall be
23deemed delinquent and shall bear interest after that date at
24the rate of 1 1/2% per month or portion thereof. All interest
25collected shall be paid into the general fund of the county.

 

 

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1Payment received by mail and postmarked on or before the
2required due date is not delinquent.
3    Property not subject to the interest charge in Section
49-260 or Section 9-265 shall also not be subject to the
5interest charge imposed by this Section until such time as the
6owner of the property receives actual notice of and is billed
7for the principal amount of back taxes due and owing.
8    If an Illinois resident who is a member of the Illinois
9National Guard or a reserve component of the armed forces of
10the United States and who has an ownership interest in property
11taxed under this Act is called to active duty for deployment
12outside the continental United States and is on active duty on
13the due date of any installment of taxes due under this Act, he
14or she shall not be deemed delinquent in the payment of the
15installment and no interest shall accrue or be charged as a
16penalty on the installment until 180 days after that member
17returns from active duty. To be deemed not delinquent in the
18payment of an installment of taxes and any interest on that
19installment, the reservist or guardsperson must make a
20reasonable effort to notify the county clerk and the county
21collector of his or her activation to active duty and must
22notify the county clerk and the county collector within 180
23days after his or her deactivation and provide verification of
24the date of his or her deactivation. An installment of property
25taxes on the property of any reservist or guardsperson who
26fails to provide timely notice and verification of deactivation

 

 

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1to the county clerk is subject to interest and penalties as
2delinquent taxes under this Code from the date of deactivation.
3    Notwithstanding any other provision of law, when any unpaid
4taxes become delinquent under this Section through the fault of
5the mortgage lender, (i) the interest assessed under this
6Section for delinquent taxes shall be charged against the
7mortgage lender and not the mortgagor and (ii) the mortgage
8lender shall pay the taxes, redeem the property and take all
9necessary steps to remove any liens accruing against the
10property because of the delinquency. In the event that more
11than one entity meets the definition of mortgage lender with
12respect to any mortgage, the interest shall be assessed against
13the mortgage lender responsible for servicing the mortgage.
14Unpaid taxes shall be deemed delinquent through the fault of
15the mortgage lender only if: (a) the mortgage lender has
16received all payments due the mortgage lender for the property
17being taxed under the written terms of the mortgage or
18promissory note secured by the mortgage, (b) the mortgage
19lender holds funds in escrow to pay the taxes, and (c) the
20funds are sufficient to pay the taxes after deducting all
21amounts reasonably anticipated to become due for all hazard
22insurance premiums and mortgage insurance premiums and any
23other assessments to be paid from the escrow under the terms of
24the mortgage. For purposes of this Section, an amount is
25reasonably anticipated to become due if it is payable within 12
26months from the time of determining the sufficiency of funds

 

 

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1held in escrow. Unpaid taxes shall not be deemed delinquent
2through the fault of the mortgage lender if the mortgage lender
3was directed in writing by the mortgagor not to pay the
4property taxes, or if the failure to pay the taxes when due
5resulted from inadequate or inaccurate parcel information
6provided by the mortgagor, a title or abstract company, or by
7the agency or unit of government assessing the tax.
8(Source: P.A. 97-944, eff. 8-10-12; 98-286, eff. 1-1-14.)
 
9    (35 ILCS 200/21-25)
10    Sec. 21-25. Due dates; accelerated billing in counties of
113,000,000 or more. Except as hereinafter provided and as
12provided in Section 21-40, in counties with 3,000,000 or more
13inhabitants in which the accelerated method of billing and
14paying taxes provided for in Section 21-30 is in effect, the
15estimated first installment of unpaid taxes shall be deemed
16delinquent and shall bear interest after March 1 at the rate of
171 1/2% per month or portion thereof until paid or forfeited.
18For tax year 2010, the estimated first installment of unpaid
19taxes shall be deemed delinquent and shall bear interest after
20April 1 at the rate of 1.5% per month or portion thereof until
21paid or forfeited. For all tax years, the second installment of
22unpaid taxes shall be deemed delinquent and shall bear interest
23after August 1 annually at the same interest rate until paid or
24forfeited. Notwithstanding any other provision of law, if a
25taxpayer owes an arrearage of taxes due to an administrative

 

 

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1error, and if the county collector sends a separate bill for
2that arrearage as provided in Section 14-41, then any part of
3the arrearage of taxes that remains unpaid on the day after the
4due date specified on that tax bill shall be deemed delinquent
5and shall bear interest after that date at the rate of 1 1/2%
6per month or portion thereof.
7    If the county board elects by ordinance adopted prior to
8July 1 of a levy year to provide for taxes to be paid in 4
9installments, each installment for that levy year and each
10subsequent year shall be deemed delinquent and shall begin to
11bear interest 30 days after the date specified by the ordinance
12for mailing bills, at the rate of 1 1/2% per month or portion
13thereof, until paid or forfeited.
14    Payment received by mail and postmarked on or before the
15required due date is not delinquent.
16    Taxes levied on homestead property in which a member of the
17National Guard or reserves of the armed forces of the United
18States who was called to active duty on or after August 1,
191990, and who has an ownership interest, shall not be deemed
20delinquent and no interest shall accrue or be charged as a
21penalty on such taxes due and payable in 1991 or 1992 until one
22year after that member returns to civilian status.
23    If an Illinois resident who is a member of the Illinois
24National Guard or a reserve component of the armed forces of
25the United States and who has an ownership interest in property
26taxed under this Act is called to active duty for deployment

 

 

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1outside the continental United States and is on active duty on
2the due date of any installment of taxes due under this Act, he
3or she shall not be deemed delinquent in the payment of the
4installment and no interest shall accrue or be charged as a
5penalty on the installment until 180 days after that member
6returns to civilian status. To be deemed not delinquent in the
7payment of an installment of taxes and any interest on that
8installment, the reservist or guardsperson must make a
9reasonable effort to notify the county clerk and the county
10collector of his or her activation to active duty and must
11notify the county clerk and the county collector within 180
12days after his or her deactivation and provide verification of
13the date of his or her deactivation. An installment of property
14taxes on the property of any reservist or guardsperson who
15fails to provide timely notice and verification of deactivation
16to the county clerk is subject to interest and penalties as
17delinquent taxes under this Code from the date of deactivation.
18    This Section is repealed on January 1, 2021.
19(Source: P.A. 98-286, eff. 1-1-14.)
 
20    (35 ILCS 200/21-150)
21    Sec. 21-150. Time of applying for judgment. Except as
22otherwise provided in this Section or by ordinance or
23resolution enacted under subsection (c) of Section 21-40, in
24any county with fewer than 3,000,000 inhabitants, all
25applications for judgment and order of sale for taxes and

 

 

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1special assessments on delinquent properties shall be made
2within 90 days after the final second installment due date. In
3Cook County, all applications for judgment and order of sale
4for taxes and special assessments on delinquent properties
5shall be made (i) by July 1, 2011 for tax year 2009, (ii) by
6July 1, 2012 for tax year 2010, (iii) by July 1, 2013 for tax
7year 2011, (iv) by July 1, 2014 for tax year 2012, (v) by July
81, 2015 for tax year 2013, (vi) by May 1, 2016 for tax year
92014, (vii) by March 1, 2017 for tax year 2015, and (viii) by
10April 1 of the next calendar year after the final second
11installment due date for tax year 2016 and each tax year
12thereafter. In those counties which have adopted an ordinance
13under Section 21-40, the application for judgment and order of
14sale for delinquent taxes shall be made in December. In the 10
15years next following the completion of a general reassessment
16of property in any county with 3,000,000 or more inhabitants,
17made under an order of the Department, applications for
18judgment and order of sale shall be made as soon as may be and
19on the day specified in the advertisement required by Section
2021-110 and 21-115. If for any cause the court is not held on
21the day specified, the cause shall stand continued, and it
22shall be unnecessary to re-advertise the list or notice.
23    Within 30 days after the day specified for the application
24for judgment the court shall hear and determine the matter. If
25judgment is rendered, the sale shall begin on the date within 5
26business days specified in the notice as provided in Section

 

 

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121-115. If the collector is prevented from advertising and
2obtaining judgment within the time periods specified by this
3Section, the collector may obtain judgment at any time
4thereafter; but if the failure arises by the county collector's
5not complying with any of the requirements of this Code, he or
6she shall be held on his or her official bond for the full
7amount of all taxes and special assessments charged against him
8or her. Any failure on the part of the county collector shall
9not be allowed as a valid objection to the collection of any
10tax or assessment, or to entry of a judgment against any
11delinquent properties included in the application of the county
12collector.
13(Source: P.A. 100-243, eff. 8-22-17.)
 
14    Section 99. Effective date. This Act takes effect upon
15becoming law.