102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB4982

 

Introduced 1/27/2022, by Rep. Tony McCombie

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 200/15-169

    Amends the Property Tax Code. Provides that, for the 2015 taxable year and thereafter, the exemption for veterans with disabilities also carries over to the surviving spouse of a veteran who was killed in the line of duty in the current taxable year or any preceding taxable year. Provides that, for the 2023 taxable year and thereafter, the exemption for veterans with disabilities also carries over to (i) the surviving spouse of a veteran who did not obtain the exemption before death, but who would have qualified for the exemption in the current taxable year if he or she had survived and (ii) the surviving spouse of a veteran whose death was determined to be service-connected and who is certified by the United States Department of Veterans Affairs as being a current recipient of Dependency and Indemnity Compensation. Provides that, in the case of a surviving spouse who is certified by the United States Department of Veterans Affairs as being a current recipient of Dependency and Indemnity Compensation, the property is exempt. Provides that the exemption carries over to the benefit of the veteran's adult or minor child if the child receives social security disability benefits or social security supplemental income because of a permanent disability and the veteran is deceased and the veteran's surviving spouse is deceased, remarries, or disclaims the exemption under this Section. Effective immediately.


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A BILL FOR

 

HB4982LRB102 23384 HLH 32553 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
5Section 15-169 as follows:
 
6    (35 ILCS 200/15-169)
7    Sec. 15-169. Homestead exemption for veterans with
8disabilities.
9    (a) Beginning with taxable year 2007, an annual homestead
10exemption, limited to the amounts set forth in subsections (b)
11and (b-3), is granted for property that is used as a qualified
12residence by a veteran with a disability.
13    (b) For taxable years prior to 2015, the amount of the
14exemption under this Section is as follows:
15        (1) for veterans with a service-connected disability
16    of at least (i) 75% for exemptions granted in taxable
17    years 2007 through 2009 and (ii) 70% for exemptions
18    granted in taxable year 2010 and each taxable year
19    thereafter, as certified by the United States Department
20    of Veterans Affairs, the annual exemption is $5,000; and
21        (2) for veterans with a service-connected disability
22    of at least 50%, but less than (i) 75% for exemptions
23    granted in taxable years 2007 through 2009 and (ii) 70%

 

 

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1    for exemptions granted in taxable year 2010 and each
2    taxable year thereafter, as certified by the United States
3    Department of Veterans Affairs, the annual exemption is
4    $2,500.
5    (b-3) For taxable years 2015 and thereafter:
6        (1) if the veteran has a service connected disability
7    of 30% or more but less than 50%, as certified by the
8    United States Department of Veterans Affairs, then the
9    annual exemption is $2,500;
10        (2) if the veteran has a service connected disability
11    of 50% or more but less than 70%, as certified by the
12    United States Department of Veterans Affairs, then the
13    annual exemption is $5,000; and
14        (3) if the veteran has a service connected disability
15    of 70% or more, as certified by the United States
16    Department of Veterans Affairs, then the property is
17    exempt from taxation under this Code.
18    (b-5) If a homestead exemption is granted under this
19Section and the person awarded the exemption subsequently
20becomes a resident of a facility licensed under the Nursing
21Home Care Act or a facility operated by the United States
22Department of Veterans Affairs, then the exemption shall
23continue (i) so long as the residence continues to be occupied
24by the qualifying person's spouse or (ii) if the residence
25remains unoccupied but is still owned by the person who
26qualified for the homestead exemption.

 

 

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1    (c) The tax exemption under this Section carries over to
2the benefit of the veteran's surviving spouse or the benefit
3of the veteran's qualifying child as long as the spouse or
4child holds the legal or beneficial title to the homestead,
5permanently resides thereon, and (in the case of the surviving
6spouse) does not remarry. If the surviving spouse or
7qualifying child sells the property, an exemption not to
8exceed the amount granted from the most recent ad valorem tax
9roll may be transferred to his or her new residence as long as
10it is used as his or her primary residence and (in the case of
11the surviving spouse) he or she does not remarry.
12    As used in this subsection (c):
13        (1) for taxable years prior to 2015, "surviving
14    spouse" means the surviving spouse of a veteran who
15    obtained an exemption under this Section prior to his or
16    her death;
17        (2) for taxable years 2015 through 2023, "surviving
18    spouse" means (i) the surviving spouse of a veteran who
19    obtained an exemption under this Section prior to his or
20    her death and (ii) the surviving spouse of a veteran who
21    was killed in the line of duty in the current taxable year
22    or any preceding taxable year; and
23        (3) for taxable year 2023 and thereafter, "surviving
24    spouse" means (i) the surviving spouse of a veteran who
25    qualified for the exemption under this Section prior to
26    his or her death, (ii) the surviving spouse of a veteran

 

 

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1    who was killed in the line of duty in the current taxable
2    year or any preceding taxable year, (iii) the surviving
3    spouse of a veteran who did not obtain an exemption under
4    this Section before death, but who would have qualified
5    for the exemption under this Section in the current
6    taxable year if he or she had survived, and (iv) the
7    surviving spouse of a veteran whose death was determined
8    to be service-connected and who is certified by the United
9    States Department of Veterans Affairs as being a current
10    recipient of Dependency and Indemnity Compensation; a
11    surviving spouse who qualifies under item (iv) shall
12    receive the exemption set forth in paragraph (3) of
13    subsection (b-3).
14    "Qualifying child" means an adult or minor child of the
15veteran who receives social security disability benefits or
16social security supplemental income because of a permanent
17disability, so long as the veteran is deceased and the
18veteran's surviving spouse is deceased, remarries, or
19disclaims the exemption under this Section.
20    (c-1) Beginning with taxable year 2015, nothing in this
21Section shall require the veteran to have qualified for or
22obtained the exemption before death if the veteran was killed
23in the line of duty.
24    (d) The exemption under this Section applies for taxable
25year 2007 and thereafter. A taxpayer who claims an exemption
26under Section 15-165 or 15-168 may not claim an exemption

 

 

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1under this Section.
2    (e) Each taxpayer who has been granted an exemption under
3this Section must reapply on an annual basis. Application must
4be made during the application period in effect for the county
5of his or her residence. The assessor or chief county
6assessment officer may determine the eligibility of
7residential property to receive the homestead exemption
8provided by this Section by application, visual inspection,
9questionnaire, or other reasonable methods. The determination
10must be made in accordance with guidelines established by the
11Department.
12    (e-1) If the person qualifying for the exemption does not
13occupy the qualified residence as of January 1 of the taxable
14year, the exemption granted under this Section shall be
15prorated on a monthly basis. The prorated exemption shall
16apply beginning with the first complete month in which the
17person occupies the qualified residence.
18    (e-5) Notwithstanding any other provision of law, each
19chief county assessment officer may approve this exemption for
20the 2020 taxable year, without application, for any property
21that was approved for this exemption for the 2019 taxable
22year, provided that:
23        (1) the county board has declared a local disaster as
24    provided in the Illinois Emergency Management Agency Act
25    related to the COVID-19 public health emergency;
26        (2) the owner of record of the property as of January

 

 

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1    1, 2020 is the same as the owner of record of the property
2    as of January 1, 2019;
3        (3) the exemption for the 2019 taxable year has not
4    been determined to be an erroneous exemption as defined by
5    this Code; and
6        (4) the applicant for the 2019 taxable year has not
7    asked for the exemption to be removed for the 2019 or 2020
8    taxable years.
9    Nothing in this subsection shall preclude a veteran whose
10service connected disability rating has changed since the 2019
11exemption was granted from applying for the exemption based on
12the subsequent service connected disability rating.
13    (e-10) Notwithstanding any other provision of law, each
14chief county assessment officer may approve this exemption for
15the 2021 taxable year, without application, for any property
16that was approved for this exemption for the 2020 taxable
17year, if:
18        (1) the county board has declared a local disaster as
19    provided in the Illinois Emergency Management Agency Act
20    related to the COVID-19 public health emergency;
21        (2) the owner of record of the property as of January
22    1, 2021 is the same as the owner of record of the property
23    as of January 1, 2020;
24        (3) the exemption for the 2020 taxable year has not
25    been determined to be an erroneous exemption as defined by
26    this Code; and

 

 

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1        (4) the taxpayer for the 2020 taxable year has not
2    asked for the exemption to be removed for the 2020 or 2021
3    taxable years.
4    Nothing in this subsection shall preclude a veteran whose
5service connected disability rating has changed since the 2020
6exemption was granted from applying for the exemption based on
7the subsequent service connected disability rating.
8    (f) For the purposes of this Section:
9    "Qualified residence" means real property, but less any
10portion of that property that is used for commercial purposes,
11with an equalized assessed value of less than $250,000 that is
12the primary residence of a veteran with a disability. Property
13rented for more than 6 months is presumed to be used for
14commercial purposes.
15    "Veteran" means an Illinois resident who has served as a
16member of the United States Armed Forces on active duty or
17State active duty, a member of the Illinois National Guard, or
18a member of the United States Reserve Forces and who has
19received an honorable discharge.
20(Source: P.A. 101-635, eff. 6-5-20; 102-136, eff. 7-23-21.)
 
21    Section 99. Effective date. This Act takes effect upon
22becoming law.