98TH GENERAL ASSEMBLY
State of Illinois
2013 and 2014
HB1211

 

Introduced , by Rep. Natalie A Manley

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 200/17-10

    Amends the Property Tax Code. Provides that the Department shall not include compulsory sales occurring on or after January 1, 2013 in its sales ratio studies, unless the compulsory sale would otherwise be considered an arm's length transaction, based on existing sales ratio study standards. Effective immediately.


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

 

 

A BILL FOR

 

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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 17-10 as follows:
 
6    (35 ILCS 200/17-10)
7    Sec. 17-10. Sales ratio studies. The Department shall
8monitor the quality of local assessments by designing,
9preparing and using ratio studies, and shall use the results as
10the basis for equalization decisions. In compiling sales ratio
11studies, the Department shall exclude from the reported sales
12price of any property any amounts included for personal
13property and, for sales occurring through December 31, 1999,
14shall exclude seller paid points. The Department shall not
15include in its sales ratio studies sales of property which have
16been platted and for which an increase in the assessed
17valuation is restricted by Section 10-30. The Department shall
18not include in its sales ratio studies the initial sale of
19residential property that has been converted to condominium
20property. The Department shall include compulsory sales
21occurring on or after January 1, 2011 and prior to January 1,
222013 in its sales ratio studies. The Department shall not
23include compulsory sales occurring on or after January 1, 2013

 

 

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1in its sales ratio studies, unless The Department shall also
2consider whether the compulsory sale would otherwise be
3considered an arm's length transaction, based on existing sales
4ratio study standards.
5    When the declaration required under the Real Estate
6Transfer Tax Law contains financing information required under
7Section 31-25, the Department shall adjust sales prices to
8exclude seller-paid points and shall adjust sales prices to
9"cash value" when seller related financing is used that is
10different than the prevailing cost of cash. The prevailing cost
11of cash for sales occurring on or after January 1, 1992 shall
12be established as the monthly average 30-year fixed Primary
13Mortgage Market Survey rate for the North Central Region as
14published weekly by the Federal Home Loan Mortgage Corporation,
15as computed by the Department, or such other rate as determined
16by the Department. This rate shall be known as the survey rate.
17For sales occurring on or after January 1, 1992, through
18December 31, 1999, adjustments in the prevailing cost of cash
19shall be made only after the survey rate has been at or above
2013% for 12 consecutive months and will continue until the
21survey rate has been below 13% for 12 consecutive months. For
22sales occurring on or after January 1, 2000, adjustments for
23seller paid points and adjustments in the prevailing cost of
24cash shall be made only after the survey rate has been at or
25above 13% for 12 consecutive months and will continue until the
26survey rate has been below 13% for 12 consecutive months. The

 

 

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1Department shall make public its adjustment procedure upon
2request.
3(Source: P.A. 96-1083, eff. 7-16-10.)
 
4    Section 99. Effective date. This Act takes effect upon
5becoming law.