Sen. Antonio Muņoz

Filed: 11/27/2012

 

 


 

 


 
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1
AMENDMENT TO HOUSE BILL 506

2    AMENDMENT NO. ______. Amend House Bill 506, AS AMENDED,
3with reference to page and line numbers of Senate Amendment No.
43, on page 1, line 4, after "amended by", by inserting
5"changing Section 15-172 and by"; and
 
6on page 7, immediately below line 19, by inserting the
7following:
 
8    "(35 ILCS 200/15-172)
9    Sec. 15-172. Senior Citizens Assessment Freeze Homestead
10Exemption.
11    (a) This Section may be cited as the Senior Citizens
12Assessment Freeze Homestead Exemption.
13    (b) As used in this Section:
14    "Applicant" means an individual who has filed an
15application under this Section.
16    "Base amount" means the base year equalized assessed value

 

 

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1of the residence plus the first year's equalized assessed value
2of any added improvements which increased the assessed value of
3the residence after the base year.
4    "Base year" means the taxable year prior to the taxable
5year for which the applicant first qualifies and applies for
6the exemption provided that in the prior taxable year the
7property was improved with a permanent structure that was
8occupied as a residence by the applicant who was liable for
9paying real property taxes on the property and who was either
10(i) an owner of record of the property or had legal or
11equitable interest in the property as evidenced by a written
12instrument or (ii) had a legal or equitable interest as a
13lessee in the parcel of property that was single family
14residence. If in any subsequent taxable year for which the
15applicant applies and qualifies for the exemption the equalized
16assessed value of the residence is less than the equalized
17assessed value in the existing base year (provided that such
18equalized assessed value is not based on an assessed value that
19results from a temporary irregularity in the property that
20reduces the assessed value for one or more taxable years), then
21that subsequent taxable year shall become the base year until a
22new base year is established under the terms of this paragraph.
23For taxable year 1999 only, the Chief County Assessment Officer
24shall review (i) all taxable years for which the applicant
25applied and qualified for the exemption and (ii) the existing
26base year. The assessment officer shall select as the new base

 

 

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1year the year with the lowest equalized assessed value. An
2equalized assessed value that is based on an assessed value
3that results from a temporary irregularity in the property that
4reduces the assessed value for one or more taxable years shall
5not be considered the lowest equalized assessed value. The
6selected year shall be the base year for taxable year 1999 and
7thereafter until a new base year is established under the terms
8of this paragraph.
9    "Chief County Assessment Officer" means the County
10Assessor or Supervisor of Assessments of the county in which
11the property is located.
12    "Equalized assessed value" means the assessed value as
13equalized by the Illinois Department of Revenue.
14    "Household" means the applicant, the spouse of the
15applicant, and all persons using the residence of the applicant
16as their principal place of residence.
17    "Household income" means the combined income of the members
18of a household for the calendar year preceding the taxable
19year.
20    "Income" has the same meaning as provided in Section 3.07
21of the Senior Citizens and Disabled Persons Property Tax Relief
22Act, except that, beginning in assessment year 2001, "income"
23does not include veteran's benefits.
24    "Internal Revenue Code of 1986" means the United States
25Internal Revenue Code of 1986 or any successor law or laws
26relating to federal income taxes in effect for the year

 

 

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1preceding the taxable year.
2    "Life care facility that qualifies as a cooperative" means
3a facility as defined in Section 2 of the Life Care Facilities
4Act.
5    "Maximum income limitation" means:
6        (1) $35,000 prior to taxable year 1999;
7        (2) $40,000 in taxable years 1999 through 2003;
8        (3) $45,000 in taxable years 2004 through 2005;
9        (4) $50,000 in taxable years 2006 and 2007; and
10        (5) $55,000 in taxable year 2008 and thereafter.
11    "Residence" means the principal dwelling place and
12appurtenant structures used for residential purposes in this
13State occupied on January 1 of the taxable year by a household
14and so much of the surrounding land, constituting the parcel
15upon which the dwelling place is situated, as is used for
16residential purposes. If the Chief County Assessment Officer
17has established a specific legal description for a portion of
18property constituting the residence, then that portion of
19property shall be deemed the residence for the purposes of this
20Section.
21    "Taxable year" means the calendar year during which ad
22valorem property taxes payable in the next succeeding year are
23levied.
24    (c) Beginning in taxable year 1994, a senior citizens
25assessment freeze homestead exemption is granted for real
26property that is improved with a permanent structure that is

 

 

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1occupied as a residence by an applicant who (i) is 65 years of
2age or older during the taxable year, (ii) has a household
3income that does not exceed the maximum income limitation,
4(iii) is liable for paying real property taxes on the property,
5and (iv) is an owner of record of the property or has a legal or
6equitable interest in the property as evidenced by a written
7instrument. This homestead exemption shall also apply to a
8leasehold interest in a parcel of property improved with a
9permanent structure that is a single family residence that is
10occupied as a residence by a person who (i) is 65 years of age
11or older during the taxable year, (ii) has a household income
12that does not exceed the maximum income limitation, (iii) has a
13legal or equitable ownership interest in the property as
14lessee, and (iv) is liable for the payment of real property
15taxes on that property.
16    In counties of 3,000,000 or more inhabitants, the amount of
17the exemption for all taxable years is the equalized assessed
18value of the residence in the taxable year for which
19application is made minus the base amount. In all other
20counties, the amount of the exemption is as follows: (i)
21through taxable year 2005 and for taxable year 2007 and
22thereafter, the amount of this exemption shall be the equalized
23assessed value of the residence in the taxable year for which
24application is made minus the base amount; and (ii) for taxable
25year 2006, the amount of the exemption is as follows:
26        (1) For an applicant who has a household income of

 

 

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1    $45,000 or less, the amount of the exemption is the
2    equalized assessed value of the residence in the taxable
3    year for which application is made minus the base amount.
4        (2) For an applicant who has a household income
5    exceeding $45,000 but not exceeding $46,250, the amount of
6    the exemption is (i) the equalized assessed value of the
7    residence in the taxable year for which application is made
8    minus the base amount (ii) multiplied by 0.8.
9        (3) For an applicant who has a household income
10    exceeding $46,250 but not exceeding $47,500, the amount of
11    the exemption is (i) the equalized assessed value of the
12    residence in the taxable year for which application is made
13    minus the base amount (ii) multiplied by 0.6.
14        (4) For an applicant who has a household income
15    exceeding $47,500 but not exceeding $48,750, the amount of
16    the exemption is (i) the equalized assessed value of the
17    residence in the taxable year for which application is made
18    minus the base amount (ii) multiplied by 0.4.
19        (5) For an applicant who has a household income
20    exceeding $48,750 but not exceeding $50,000, the amount of
21    the exemption is (i) the equalized assessed value of the
22    residence in the taxable year for which application is made
23    minus the base amount (ii) multiplied by 0.2.
24    When the applicant is a surviving spouse of an applicant
25for a prior year for the same residence for which an exemption
26under this Section has been granted, the base year and base

 

 

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1amount for that residence are the same as for the applicant for
2the prior year.
3    Each year at the time the assessment books are certified to
4the County Clerk, the Board of Review or Board of Appeals shall
5give to the County Clerk a list of the assessed values of
6improvements on each parcel qualifying for this exemption that
7were added after the base year for this parcel and that
8increased the assessed value of the property.
9    In the case of land improved with an apartment building
10owned and operated as a cooperative or a building that is a
11life care facility that qualifies as a cooperative, the maximum
12reduction from the equalized assessed value of the property is
13limited to the sum of the reductions calculated for each unit
14occupied as a residence by a person or persons (i) 65 years of
15age or older, (ii) with a household income that does not exceed
16the maximum income limitation, (iii) who is liable, by contract
17with the owner or owners of record, for paying real property
18taxes on the property, and (iv) who is an owner of record of a
19legal or equitable interest in the cooperative apartment
20building, other than a leasehold interest. In the instance of a
21cooperative where a homestead exemption has been granted under
22this Section, the cooperative association or its management
23firm shall credit the savings resulting from that exemption
24only to the apportioned tax liability of the owner who
25qualified for the exemption. Any person who willfully refuses
26to credit that savings to an owner who qualifies for the

 

 

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1exemption is guilty of a Class B misdemeanor.
2    When a homestead exemption has been granted under this
3Section and an applicant then becomes a resident of a facility
4licensed under the Assisted Living and Shared Housing Act, the
5Nursing Home Care Act, the Specialized Mental Health
6Rehabilitation Act, or the ID/DD Community Care Act, the
7exemption shall be granted in subsequent years so long as the
8residence (i) continues to be occupied by the qualified
9applicant's spouse or (ii) if remaining unoccupied, is still
10owned by the qualified applicant for the homestead exemption.
11    Beginning January 1, 1997, when an individual dies who
12would have qualified for an exemption under this Section, and
13the surviving spouse does not independently qualify for this
14exemption because of age, the exemption under this Section
15shall be granted to the surviving spouse for the taxable year
16preceding and the taxable year of the death, provided that,
17except for age, the surviving spouse meets all other
18qualifications for the granting of this exemption for those
19years.
20    When married persons maintain separate residences, the
21exemption provided for in this Section may be claimed by only
22one of such persons and for only one residence.
23    For taxable year 1994 only, in counties having less than
243,000,000 inhabitants, to receive the exemption, a person shall
25submit an application by February 15, 1995 to the Chief County
26Assessment Officer of the county in which the property is

 

 

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1located. In counties having 3,000,000 or more inhabitants, for
2taxable year 1994 and all subsequent taxable years, to receive
3the exemption, a person may submit an application to the Chief
4County Assessment Officer of the county in which the property
5is located during such period as may be specified by the Chief
6County Assessment Officer. The Chief County Assessment Officer
7in counties of 3,000,000 or more inhabitants shall annually
8give notice of the application period by mail or by
9publication. In counties having less than 3,000,000
10inhabitants, beginning with taxable year 1995 and thereafter,
11to receive the exemption, a person shall submit an application
12by July 1 of each taxable year to the Chief County Assessment
13Officer of the county in which the property is located. A
14county may, by ordinance, establish a date for submission of
15applications that is different than July 1. The application
16shall include, at a minimum, applicant shall submit with the
17application an affidavit of the applicant's total household
18income, age, marital status (and if married the name and
19address of the applicant's spouse, if known), and principal
20dwelling place of members of the household on January 1 of the
21taxable year. The Department shall establish, by rule, a method
22for verifying the accuracy of applications filed affidavits
23filed by applicants under this Section, and the Chief County
24Assessment Officer may conduct audits of any taxpayer claiming
25an exemption under this Section to verify that the taxpayer is
26eligible to receive the exemption. The application is not

 

 

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1required to be notarized. However, the applicant shall
2subscribe to a certification in substantially the following
3form: Under penalties as provided by law pursuant to Section
41-109 of the Code of Civil Procedure, the undersigned certifies
5that the statements set forth in this instrument are true and
6correct, except as to matters therein stated to be on
7information and belief and as to such matters the undersigned
8certifies as aforesaid that he verily believes the same to be
9true. Each application shall contain or be verified by a
10written declaration that it is made under the penalties of
11perjury. A taxpayer's signing a fraudulent application under
12this Act is perjury, as defined in Section 32-2 of the Criminal
13Code of 1961. The applications shall be clearly marked as
14applications for the Senior Citizens Assessment Freeze
15Homestead Exemption and must contain a notice that any taxpayer
16who receives the exemption is subject to an audit by the Chief
17County Assessment Officer.
18    Notwithstanding any other provision to the contrary, in
19counties having fewer than 3,000,000 inhabitants, if an
20applicant fails to file the application required by this
21Section in a timely manner and this failure to file is due to a
22mental or physical condition sufficiently severe so as to
23render the applicant incapable of filing the application in a
24timely manner, the Chief County Assessment Officer may extend
25the filing deadline for a period of 30 days after the applicant
26regains the capability to file the application, but in no case

 

 

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1may the filing deadline be extended beyond 3 months of the
2original filing deadline. In order to receive the extension
3provided in this paragraph, the applicant shall provide the
4Chief County Assessment Officer with a signed statement from
5the applicant's physician stating the nature and extent of the
6condition, that, in the physician's opinion, the condition was
7so severe that it rendered the applicant incapable of filing
8the application in a timely manner, and the date on which the
9applicant regained the capability to file the application.
10    Beginning January 1, 1998, notwithstanding any other
11provision to the contrary, in counties having fewer than
123,000,000 inhabitants, if an applicant fails to file the
13application required by this Section in a timely manner and
14this failure to file is due to a mental or physical condition
15sufficiently severe so as to render the applicant incapable of
16filing the application in a timely manner, the Chief County
17Assessment Officer may extend the filing deadline for a period
18of 3 months. In order to receive the extension provided in this
19paragraph, the applicant shall provide the Chief County
20Assessment Officer with a signed statement from the applicant's
21physician stating the nature and extent of the condition, and
22that, in the physician's opinion, the condition was so severe
23that it rendered the applicant incapable of filing the
24application in a timely manner.
25    In counties having less than 3,000,000 inhabitants, if an
26applicant was denied an exemption in taxable year 1994 and the

 

 

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1denial occurred due to an error on the part of an assessment
2official, or his or her agent or employee, then beginning in
3taxable year 1997 the applicant's base year, for purposes of
4determining the amount of the exemption, shall be 1993 rather
5than 1994. In addition, in taxable year 1997, the applicant's
6exemption shall also include an amount equal to (i) the amount
7of any exemption denied to the applicant in taxable year 1995
8as a result of using 1994, rather than 1993, as the base year,
9(ii) the amount of any exemption denied to the applicant in
10taxable year 1996 as a result of using 1994, rather than 1993,
11as the base year, and (iii) the amount of the exemption
12erroneously denied for taxable year 1994.
13    For purposes of this Section, a person who will be 65 years
14of age during the current taxable year shall be eligible to
15apply for the homestead exemption during that taxable year.
16Application shall be made during the application period in
17effect for the county of his or her residence.
18    The Chief County Assessment Officer may determine the
19eligibility of a life care facility that qualifies as a
20cooperative to receive the benefits provided by this Section by
21use of an affidavit, application, visual inspection,
22questionnaire, or other reasonable method in order to insure
23that the tax savings resulting from the exemption are credited
24by the management firm to the apportioned tax liability of each
25qualifying resident. The Chief County Assessment Officer may
26request reasonable proof that the management firm has so

 

 

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1credited that exemption.
2    Except as provided in this Section, all information
3received by the chief county assessment officer or the
4Department from applications filed under this Section, or from
5any investigation conducted under the provisions of this
6Section, shall be confidential, except for official purposes or
7pursuant to official procedures for collection of any State or
8local tax or enforcement of any civil or criminal penalty or
9sanction imposed by this Act or by any statute or ordinance
10imposing a State or local tax. Any person who divulges any such
11information in any manner, except in accordance with a proper
12judicial order, is guilty of a Class A misdemeanor.
13    Nothing contained in this Section shall prevent the
14Director or chief county assessment officer from publishing or
15making available reasonable statistics concerning the
16operation of the exemption contained in this Section in which
17the contents of claims are grouped into aggregates in such a
18way that information contained in any individual claim shall
19not be disclosed.
20    (d) Each Chief County Assessment Officer shall annually
21publish a notice of availability of the exemption provided
22under this Section. The notice shall be published at least 60
23days but no more than 75 days prior to the date on which the
24application must be submitted to the Chief County Assessment
25Officer of the county in which the property is located. The
26notice shall appear in a newspaper of general circulation in

 

 

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1the county.
2    Notwithstanding Sections 6 and 8 of the State Mandates Act,
3no reimbursement by the State is required for the
4implementation of any mandate created by this Section.
5(Source: P.A. 96-339, eff. 7-1-10; 96-355, eff. 1-1-10;
696-1000, eff. 7-2-10; 97-38, eff. 6-28-11; 97-227, eff. 1-1-12;
797-689, eff. 6-14-12; 97-813, eff. 7-13-12.)"; and
 
8on page 7, by deleting line 20; and
 
9on page 7, line 21, by deleting "becoming law.".