Full Text of HB0137 102nd General Assembly
HB0137 102ND GENERAL ASSEMBLY |
| | 102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022 HB0137 Introduced 1/14/2021, by Rep. Debbie Meyers-Martin SYNOPSIS AS INTRODUCED: |
| 30 ILCS 805/8.28 | | 35 ILCS 200/9-275 | | 35 ILCS 200/15-10 | | 35 ILCS 200/15-172 | | 35 ILCS 200/15-175 | |
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Amends the Property Tax Code. Provides that the Senior Citizens Assessment Freeze Homestead Exemption also applies to persons with a disability. Amends the State Mandates Act to make conforming changes. 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,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The State Mandates Act is amended by changing | 5 | | Section 8.28 as follows: | 6 | | (30 ILCS 805/8.28)
| 7 | | Sec. 8.28. Exempt mandate. | 8 | | (a) Notwithstanding Sections 6 and 8 of this
Act, no | 9 | | reimbursement by the State is required for the implementation | 10 | | of
any mandate created by Public Act 93-654, 93-677, 93-679, | 11 | | 93-689, 93-734, 93-753, 93-910, 93-917, 93-1036, 93-1038, | 12 | | 93-1079, or 93-1090.
| 13 | | (b) Notwithstanding Sections 6 and 8 of this
Act, no | 14 | | reimbursement by the State is required for the implementation | 15 | | of
any mandate created by the Senior Citizens and Persons with | 16 | | a Disability Assessment Freeze Homestead Exemption under | 17 | | Section 15-172 of the Property Tax Code, the General Homestead | 18 | | Exemption under Section 15-175 of the Property Tax Code, the | 19 | | alternative General Homestead Exemption
under
Section 15-176 | 20 | | of the Property Tax Code, the Homestead Improvements Exemption | 21 | | under Section 15-180 of the Property Tax Code, and by Public | 22 | | Act 93-715. | 23 | | (Source: P.A. 95-331, eff. 8-21-07.) |
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| 1 | | Section 10. The Property Tax Code is amended by changing | 2 | | Sections 9-275, 15-10, 15-172, and 15-175 as follows: | 3 | | (35 ILCS 200/9-275) | 4 | | Sec. 9-275. Erroneous homestead exemptions. | 5 | | (a) For purposes of this Section: | 6 | | "Erroneous homestead exemption" means a homestead | 7 | | exemption that was granted for real property in a taxable year | 8 | | if the property was not eligible for that exemption in that | 9 | | taxable year. If the taxpayer receives an erroneous homestead | 10 | | exemption under a single Section of this Code for the same | 11 | | property in multiple years, that exemption is considered a | 12 | | single erroneous homestead exemption for purposes of this | 13 | | Section. However, if the taxpayer receives erroneous homestead | 14 | | exemptions under multiple Sections of this Code for the same | 15 | | property, or if the taxpayer receives erroneous homestead | 16 | | exemptions under the same Section of this Code for multiple | 17 | | properties, then each of those exemptions is considered a | 18 | | separate erroneous homestead exemption for purposes of this | 19 | | Section. | 20 | | "Homestead exemption" means an exemption under Section | 21 | | 15-165 (veterans with disabilities), 15-167 (returning | 22 | | veterans), 15-168 (persons with disabilities), 15-169 | 23 | | (standard homestead for veterans with disabilities), 15-170 | 24 | | (senior citizens), 15-172 (senior citizens and persons with a |
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| 1 | | disability assessment freeze), 15-175 (general homestead), | 2 | | 15-176 (alternative general homestead), or 15-177 (long-time | 3 | | occupant). | 4 | | "Erroneous exemption principal amount" means the total | 5 | | difference between the property taxes actually billed to a | 6 | | property index number and the amount of property taxes that | 7 | | would have been billed but for the erroneous exemption or | 8 | | exemptions. | 9 | | "Taxpayer" means the property owner or leasehold owner | 10 | | that erroneously received a homestead exemption upon property. | 11 | | (b) Notwithstanding any other provision of law, in | 12 | | counties with 3,000,000 or more inhabitants, the chief county | 13 | | assessment officer shall include the following information | 14 | | with each assessment notice sent in a general assessment year: | 15 | | (1) a list of each homestead exemption available under Article | 16 | | 15 of this Code and a description of the eligibility criteria | 17 | | for that exemption, including the number of assessment years | 18 | | of automatic renewal remaining on a current senior citizens | 19 | | homestead exemption if such an exemption has been applied to | 20 | | the property; (2) a list of each homestead exemption applied | 21 | | to the property in the current assessment year; (3) | 22 | | information regarding penalties and interest that may be | 23 | | incurred under this Section if the taxpayer received an | 24 | | erroneous homestead exemption in a previous taxable year; and | 25 | | (4) notice of the 60-day grace period available under this | 26 | | subsection. If, within 60 days after receiving his or her |
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| 1 | | assessment notice, the taxpayer notifies the chief county | 2 | | assessment officer that he or she received an erroneous | 3 | | homestead exemption in a previous taxable year, and if the | 4 | | taxpayer pays the erroneous exemption principal amount, plus | 5 | | interest as provided in subsection (f), then the taxpayer | 6 | | shall not be liable for the penalties provided in subsection | 7 | | (f) with respect to that exemption. | 8 | | (c) In counties with 3,000,000 or more inhabitants, when | 9 | | the chief county assessment officer determines that one or | 10 | | more erroneous homestead exemptions was applied to the | 11 | | property, the erroneous exemption principal amount, together | 12 | | with all applicable interest and penalties as provided in | 13 | | subsections (f) and (j), shall constitute a lien in the name of | 14 | | the People of Cook County on the property receiving the | 15 | | erroneous homestead exemption. Upon becoming aware of the | 16 | | existence of one or more erroneous homestead exemptions, the | 17 | | chief county assessment officer shall cause to be served, by | 18 | | both regular mail and certified mail, a notice of discovery as | 19 | | set forth in subsection (c-5). The chief county assessment | 20 | | officer in a county with 3,000,000 or more inhabitants may | 21 | | cause a lien to be recorded against property that (1) is | 22 | | located in the county and (2) received one or more erroneous | 23 | | homestead exemptions if, upon determination of the chief | 24 | | county assessment officer, the taxpayer received: (A) one or 2 | 25 | | erroneous homestead exemptions for real property, including at | 26 | | least one erroneous homestead exemption granted for the |
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| 1 | | property against which the lien is sought, during any of the 3 | 2 | | collection years immediately prior to the current collection | 3 | | year in which the notice of discovery is served; or (B) 3 or | 4 | | more erroneous homestead exemptions for real property, | 5 | | including at least one erroneous homestead exemption granted | 6 | | for the property against which the lien is sought, during any | 7 | | of the 6 collection years immediately prior to the current | 8 | | collection year in which the notice of discovery is served. | 9 | | Prior to recording the lien against the property, the chief | 10 | | county assessment officer shall cause to be served, by both | 11 | | regular mail and certified mail, return receipt requested, on | 12 | | the person to whom the most recent tax bill was mailed and the | 13 | | owner of record, a notice of intent to record a lien against | 14 | | the property. The chief county assessment officer shall cause | 15 | | the notice of intent to record a lien to be served within 3 | 16 | | years from the date on which the notice of discovery was | 17 | | served. | 18 | | (c-5) The notice of discovery described in subsection (c) | 19 | | shall: (1) identify, by property index number, the property | 20 | | for which the chief county assessment officer has knowledge | 21 | | indicating the existence of an erroneous homestead exemption; | 22 | | (2) set forth the taxpayer's liability for principal, | 23 | | interest, penalties, and administrative costs including, but | 24 | | not limited to, recording fees described in subsection (f); | 25 | | (3) inform the taxpayer that he or she will be served with a | 26 | | notice of intent to record a lien within 3 years from the date |
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| 1 | | of service of the notice of discovery; (4) inform the taxpayer | 2 | | that he or she may pay the outstanding amount, plus interest, | 3 | | penalties, and administrative costs at any time prior to being | 4 | | served with the notice of intent to record a lien or within 30 | 5 | | days after the notice of intent to record a lien is served; and | 6 | | (5) inform the taxpayer that, if the taxpayer provided notice | 7 | | to the chief county assessment officer as provided in | 8 | | subsection (d-1) of Section 15-175 of this Code, upon | 9 | | submission by the taxpayer of evidence of timely notice and | 10 | | receipt thereof by the chief county assessment officer, the | 11 | | chief county assessment officer will withdraw the notice of | 12 | | discovery and reissue a notice of discovery in compliance with | 13 | | this Section in which the taxpayer is not liable for interest | 14 | | and penalties for the current tax year in which the notice was | 15 | | received. | 16 | | For the purposes of this subsection (c-5): | 17 | | "Collection year" means the year in which the first and | 18 | | second installment of the current tax year is billed. | 19 | | "Current tax year" means the year prior to the collection | 20 | | year. | 21 | | (d) The notice of intent to record a lien described in | 22 | | subsection (c) shall: (1) identify, by property index number, | 23 | | the property against which the lien is being sought; (2) | 24 | | identify each specific homestead exemption that was | 25 | | erroneously granted and the year or years in which each | 26 | | exemption was granted; (3) set forth the erroneous exemption |
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| 1 | | principal amount due and the interest amount and any penalty | 2 | | and administrative costs due; (4) inform the taxpayer that he | 3 | | or she may request a hearing within 30 days after service and | 4 | | may appeal the hearing officer's ruling to the circuit court; | 5 | | (5) inform the taxpayer that he or she may pay the erroneous | 6 | | exemption principal amount, plus interest and penalties, | 7 | | within 30 days after service; and (6) inform the taxpayer | 8 | | that, if the lien is recorded against the property, the amount | 9 | | of the lien will be adjusted to include the applicable | 10 | | recording fee and that fees for recording a release of the lien | 11 | | shall be incurred by the taxpayer. A lien shall not be filed | 12 | | pursuant to this Section if the taxpayer pays the erroneous | 13 | | exemption principal amount, plus penalties and interest, | 14 | | within 30 days of service of the notice of intent to record a | 15 | | lien. | 16 | | (e) The notice of intent to record a lien shall also | 17 | | include a form that the taxpayer may return to the chief county | 18 | | assessment officer to request a hearing. The taxpayer may | 19 | | request a hearing by returning the form within 30 days after | 20 | | service. The hearing shall be held within 90 days after the | 21 | | taxpayer is served. The chief county assessment officer shall | 22 | | promulgate rules of service and procedure for the hearing. The | 23 | | chief county assessment officer must generally follow rules of | 24 | | evidence and practices that prevail in the county circuit | 25 | | courts, but, because of the nature of these proceedings, the | 26 | | chief county assessment officer is not bound by those rules in |
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| 1 | | all particulars. The chief county assessment officer shall | 2 | | appoint a hearing officer to oversee the hearing. The taxpayer | 3 | | shall be allowed to present evidence to the hearing officer at | 4 | | the hearing. After taking into consideration all the relevant | 5 | | testimony and evidence, the hearing officer shall make an | 6 | | administrative decision on whether the taxpayer was | 7 | | erroneously granted a homestead exemption for the taxable year | 8 | | in question. The taxpayer may appeal the hearing officer's | 9 | | ruling to the circuit court of the county where the property is | 10 | | located as a final administrative decision under the | 11 | | Administrative Review Law. | 12 | | (f) A lien against the property imposed under this Section | 13 | | shall be filed with the county recorder of deeds, but may not | 14 | | be filed sooner than 60 days after the notice of intent to | 15 | | record a lien was delivered to the taxpayer if the taxpayer | 16 | | does not request a hearing, or until the conclusion of the | 17 | | hearing and all appeals if the taxpayer does request a | 18 | | hearing. If a lien is filed pursuant to this Section and the | 19 | | taxpayer received one or 2 erroneous homestead exemptions | 20 | | during any of the 3 collection years immediately prior to the | 21 | | current collection year in which the notice of discovery is | 22 | | served, then the erroneous exemption principal amount, plus | 23 | | 10% interest per annum or portion thereof from the date the | 24 | | erroneous exemption principal amount would have become due if | 25 | | properly included in the tax bill, shall be charged against | 26 | | the property by the chief county assessment officer. However, |
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| 1 | | if a lien is filed pursuant to this Section and the taxpayer | 2 | | received 3 or more erroneous homestead exemptions during any | 3 | | of the 6 collection years immediately prior to the current | 4 | | collection year in which the notice of discovery is served, | 5 | | the erroneous exemption principal amount, plus a penalty of | 6 | | 50% of the total amount of the erroneous exemption principal | 7 | | amount for that property and 10% interest per annum or portion | 8 | | thereof from the date the erroneous exemption principal amount | 9 | | would have become due if properly included in the tax bill, | 10 | | shall be charged against the property by the chief county | 11 | | assessment officer. If a lien is filed pursuant to this | 12 | | Section, the taxpayer shall not be liable for interest that | 13 | | accrues between the date the notice of discovery is served and | 14 | | the date the lien is filed. Before recording the lien with the | 15 | | county recorder of deeds, the chief county assessment officer | 16 | | shall adjust the amount of the lien to add administrative | 17 | | costs, including but not limited to the applicable recording | 18 | | fee, to the total lien amount. | 19 | | (g) If a person received an erroneous homestead exemption | 20 | | under Section 15-170 and: (1) the person was the spouse, | 21 | | child, grandchild, brother, sister, niece, or nephew of the | 22 | | previous taxpayer; and (2) the person received the property by | 23 | | bequest or inheritance; then the person is not liable for the | 24 | | penalties imposed under this Section for any year or years | 25 | | during which the chief county assessment officer did not | 26 | | require an annual application for the exemption or, in a |
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| 1 | | county with 3,000,000 or more inhabitants, an application for | 2 | | renewal of a multi-year exemption pursuant to subsection (i) | 3 | | of Section 15-170, as the case may be. However, that person is | 4 | | responsible for any interest owed under subsection (f). | 5 | | (h) If the erroneous homestead exemption was granted as a | 6 | | result of a clerical error or omission on the part of the chief | 7 | | county assessment officer, and if the taxpayer has paid the | 8 | | tax bills as received for the year in which the error occurred, | 9 | | then the interest and penalties authorized by this Section | 10 | | with respect to that homestead exemption shall not be | 11 | | chargeable to the taxpayer. However, nothing in this Section | 12 | | shall prevent the collection of the erroneous exemption | 13 | | principal amount due and owing. | 14 | | (i) A lien under this Section is not valid as to (1) any | 15 | | bona fide purchaser for value without notice of the erroneous | 16 | | homestead exemption whose rights in and to the underlying | 17 | | parcel arose after the erroneous homestead exemption was | 18 | | granted but before the filing of the notice of lien; or (2) any | 19 | | mortgagee, judgment creditor, or other lienor whose rights in | 20 | | and to the underlying parcel arose before the filing of the | 21 | | notice of lien. A title insurance policy for the property that | 22 | | is issued by a title company licensed to do business in the | 23 | | State showing that the property is free and clear of any liens | 24 | | imposed under this Section shall be prima facie evidence that | 25 | | the taxpayer is without notice of the erroneous homestead | 26 | | exemption. Nothing in this Section shall be deemed to impair |
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| 1 | | the rights of subsequent creditors and subsequent purchasers | 2 | | under Section 30 of the Conveyances Act. | 3 | | (j) When a lien is filed against the property pursuant to | 4 | | this Section, the chief county assessment officer shall mail a | 5 | | copy of the lien to the person to whom the most recent tax bill | 6 | | was mailed and to the owner of record, and the outstanding | 7 | | liability created by such a lien is due and payable within 30 | 8 | | days after the mailing of the lien by the chief county | 9 | | assessment officer. This liability is deemed delinquent and | 10 | | shall bear interest beginning on the day after the due date at | 11 | | a rate of 1.5% per month or portion thereof. Payment shall be | 12 | | made to the county treasurer. Upon receipt of the full amount | 13 | | due, as determined by the chief county assessment officer, the | 14 | | county treasurer shall distribute the amount paid as provided | 15 | | in subsection (k). Upon presentment by the taxpayer to the | 16 | | chief county assessment officer of proof of payment of the | 17 | | total liability, the chief county assessment officer shall | 18 | | provide in reasonable form a release of the lien. The release | 19 | | of the lien provided shall clearly inform the taxpayer that it | 20 | | is the responsibility of the taxpayer to record the lien | 21 | | release form with the county recorder of deeds and to pay any | 22 | | applicable recording fees. | 23 | | (k) The county treasurer shall pay collected erroneous | 24 | | exemption principal amounts, pro rata, to the taxing | 25 | | districts, or their legal successors, that levied upon the | 26 | | subject property in the taxable year or years for which the |
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| 1 | | erroneous homestead exemptions were granted, except as set | 2 | | forth in this Section. The county treasurer shall deposit | 3 | | collected penalties and interest into a special fund | 4 | | established by the county treasurer to offset the costs of | 5 | | administration of the provisions of this Section by the chief | 6 | | county assessment officer's office, as appropriated by the | 7 | | county board. If the costs of administration of this Section | 8 | | exceed the amount of interest and penalties collected in the | 9 | | special fund, the chief county assessor shall be reimbursed by | 10 | | each taxing district or their legal successors for those | 11 | | costs. Such costs shall be paid out of the funds collected by | 12 | | the county treasurer on behalf of each taxing district | 13 | | pursuant to this Section. | 14 | | (l) The chief county assessment officer in a county with | 15 | | 3,000,000 or more inhabitants shall establish an amnesty | 16 | | period for all taxpayers owing any tax due to an erroneous | 17 | | homestead exemption granted in a tax year prior to the 2013 tax | 18 | | year. The amnesty period shall begin on the effective date of | 19 | | this amendatory Act of the 98th General Assembly and shall run | 20 | | through December 31, 2013. If, during the amnesty period, the | 21 | | taxpayer pays the entire arrearage of taxes due for tax years | 22 | | prior to 2013, the county clerk shall abate and not seek to | 23 | | collect any interest or penalties that may be applicable and | 24 | | shall not seek civil or criminal prosecution for any taxpayer | 25 | | for tax years prior to 2013. Failure to pay all such taxes due | 26 | | during the amnesty period established under this Section shall |
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| 1 | | invalidate the amnesty period for that taxpayer. | 2 | | The chief county assessment officer in a county with | 3 | | 3,000,000 or more inhabitants shall (i) mail notice of the | 4 | | amnesty period with the tax bills for the second installment | 5 | | of taxes for the 2012 assessment year and (ii) as soon as | 6 | | possible after the effective date of this amendatory Act of | 7 | | the 98th General Assembly, publish notice of the amnesty | 8 | | period in a newspaper of general circulation in the county. | 9 | | Notices shall include information on the amnesty period, its | 10 | | purpose, and the method by which to make payment. | 11 | | Taxpayers who are a party to any criminal investigation or | 12 | | to any civil or criminal litigation that is pending in any | 13 | | circuit court or appellate court, or in the Supreme Court of | 14 | | this State, for nonpayment, delinquency, or fraud in relation | 15 | | to any property tax imposed by any taxing district located in | 16 | | the State on the effective date of this amendatory Act of the | 17 | | 98th General Assembly may not take advantage of the amnesty | 18 | | period. | 19 | | A taxpayer who has claimed 3 or more homestead exemptions | 20 | | in error shall not be eligible for the amnesty period | 21 | | established under this subsection.
| 22 | | (m) Notwithstanding any other provision of law, for | 23 | | taxable years 2019 through 2023, in counties with 3,000,000 or | 24 | | more inhabitants, the chief county assessment officer shall, | 25 | | if he or she learns that a taxpayer who has been granted a | 26 | | senior citizens homestead exemption has died during the period |
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| 1 | | to which the exemption applies, send a notice to the address on | 2 | | record for the owner of record of the property notifying the | 3 | | owner that the exemption will be terminated unless, within 90 | 4 | | days after the notice is sent, the chief county assessment | 5 | | officer is provided with a basis to continue the exemption. | 6 | | The notice shall be sent by first-class mail, in an envelope | 7 | | that bears on its front, in boldface red lettering that is at | 8 | | least one inch in size, the words "Notice of Exemption | 9 | | Termination"; however, if the taxpayer elects to receive the | 10 | | notice by email and provides an email address, then the notice | 11 | | shall be sent by email. | 12 | | (Source: P.A. 101-453, eff. 8-23-19; 101-622, eff. 1-14-20.)
| 13 | | (35 ILCS 200/15-10)
| 14 | | Sec. 15-10. Exempt property; procedures for certification. | 15 | | (a) All property
granted an exemption by the Department | 16 | | pursuant to the requirements of
Section 15-5 and
described in | 17 | | the Sections following Section 15-30 and preceding Section | 18 | | 16-5,
to the extent therein limited, is exempt from taxation.
| 19 | | In order to maintain that exempt status, the titleholder or | 20 | | the owner of the
beneficial interest of any property
that
is | 21 | | exempt must file with the chief county assessment
officer, on | 22 | | or before January 31 of each year (May 31 in the case of | 23 | | property
exempted by Section 15-170), an affidavit stating | 24 | | whether there has been any
change in the ownership or use of | 25 | | the property, the status of the
owner-resident, the |
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| 1 | | satisfaction by a relevant hospital entity of the condition | 2 | | for an exemption under Section 15-86, or that a veteran with a | 3 | | disability who qualifies under Section 15-165
owned and used | 4 | | the property as of January 1 of that year.
The nature of any
| 5 | | change shall be stated in the affidavit. Failure to file an | 6 | | affidavit shall,
in the discretion of the assessment officer, | 7 | | constitute cause to terminate the
exemption of that property, | 8 | | notwithstanding any other provision of this Code.
Owners of 5 | 9 | | or more such exempt parcels within a county may file a single
| 10 | | annual affidavit in lieu of an affidavit for each parcel. The | 11 | | assessment
officer, upon request, shall furnish an affidavit | 12 | | form to the owners, in which
the owner may state whether there | 13 | | has been any change in the ownership or use
of the property or | 14 | | status of the owner or resident as of January 1 of that
year. | 15 | | The owner of 5 or more exempt parcels shall list all the | 16 | | properties
giving the same information for each parcel as | 17 | | required of owners who file
individual affidavits.
| 18 | | (b) However, titleholders or owners of the beneficial | 19 | | interest in any property
exempted under any of the following | 20 | | provisions are not required to
submit an annual filing under | 21 | | this Section:
| 22 | | (1) Section 15-45 (burial grounds) in counties of less | 23 | | than 3,000,000
inhabitants and owned by a not-for-profit
| 24 | | organization.
| 25 | | (2) Section 15-40.
| 26 | | (3) Section 15-50 (United States property).
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| 1 | | (c) If there is a change in use or ownership, however, | 2 | | notice must be filed
pursuant to Section 15-20.
| 3 | | (d) An application for homestead exemptions shall be filed | 4 | | as provided in
Section 15-170 (senior citizens homestead | 5 | | exemption), Section 15-172 (senior
citizens and persons with a | 6 | | disability assessment freeze homestead exemption), and | 7 | | Sections
15-175 (general homestead exemption), 15-176
(general | 8 | | alternative
homestead exemption), and 15-177 (long-time | 9 | | occupant homestead exemption), respectively.
| 10 | | (e) For purposes of determining satisfaction of the | 11 | | condition for an exemption under Section 15-86: | 12 | | (1) The "year for which exemption is sought" is the | 13 | | year prior to the year in which the affidavit is due. | 14 | | (2) The "hospital year" is the fiscal year of the | 15 | | relevant hospital entity, or the fiscal year of one of the | 16 | | hospitals in the hospital system if the relevant hospital | 17 | | entity is a hospital system with members with different | 18 | | fiscal years, that ends in the year prior to the year in | 19 | | which the affidavit is due. However, if that fiscal year | 20 | | ends 3 months or less before the date on which the | 21 | | affidavit is due, the relevant hospital entity shall file | 22 | | an interim affidavit based on the currently available | 23 | | information, and shall file a supplemental affidavit | 24 | | within 90 days of date on which the application was due, if | 25 | | the information in the relevant hospital entity's audited | 26 | | financial statements changes the interim affidavit's |
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| 1 | | statement concerning the entity's compliance with the | 2 | | calculation required by Section 15-86. | 3 | | (3) The affidavit shall be accompanied by an exhibit | 4 | | prepared by the relevant hospital entity showing (A) the | 5 | | value of the relevant hospital entity's services and | 6 | | activities, if any, under items (1) through (7) of | 7 | | subsection (e) of Section 15-86, stated separately for | 8 | | each item, and (B) the value relating to the relevant | 9 | | hospital entity's estimated property tax liability under | 10 | | paragraphs (A), (B), and (C) of item (1) of subsection (g) | 11 | | of Section 15-86; under paragraphs (A), (B), and (C) of | 12 | | item (2) of subsection (g) of Section 15-86; and under | 13 | | item (3) of subsection (g) of Section 15-86. | 14 | | (Source: P.A. 99-143, eff. 7-27-15.)
| 15 | | (35 ILCS 200/15-172)
| 16 | | Sec. 15-172. Senior Citizens and Persons with a Disability | 17 | | Assessment Freeze Homestead Exemption.
| 18 | | (a) This Section may be cited as the Senior Citizens and | 19 | | Persons with a Disability Assessment
Freeze Homestead | 20 | | Exemption.
| 21 | | (b) As used in this Section:
| 22 | | "Applicant" means an individual who has filed an | 23 | | application under this
Section.
| 24 | | "Base amount" means the base year equalized assessed value | 25 | | of the residence
plus the first year's equalized assessed |
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| 1 | | value of any added improvements which
increased the assessed | 2 | | value of the residence after the base year.
| 3 | | "Base year" means the taxable year prior to the taxable | 4 | | year for which the
applicant first qualifies and applies for | 5 | | the exemption provided that in the
prior taxable year the | 6 | | property was improved with a permanent structure that
was | 7 | | occupied as a residence by the applicant who was liable for | 8 | | paying real
property taxes on the property and who was either | 9 | | (i) an owner of record of the
property or had legal or | 10 | | equitable interest in the property as evidenced by a
written | 11 | | instrument or (ii) had a legal or equitable interest as a | 12 | | lessee in the
parcel of property that was single family | 13 | | residence.
If in any subsequent taxable year for which the | 14 | | applicant applies and
qualifies for the exemption the | 15 | | equalized assessed value of the residence is
less than the | 16 | | equalized assessed value in the existing base year
(provided | 17 | | that such equalized assessed value is not
based
on an
assessed | 18 | | value that results from a temporary irregularity in the | 19 | | property that
reduces the
assessed value for one or more | 20 | | taxable years), then that
subsequent taxable year shall become | 21 | | the base year until a new base year is
established under the | 22 | | terms of this paragraph. For taxable year 1999 only, the
Chief | 23 | | County Assessment Officer shall review (i) all taxable years | 24 | | for which
the
applicant applied and qualified for the | 25 | | exemption and (ii) the existing base
year.
The assessment | 26 | | officer shall select as the new base year the year with the
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| 1 | | lowest equalized assessed value.
An equalized assessed value | 2 | | that is based on an assessed value that results
from a
| 3 | | temporary irregularity in the property that reduces the | 4 | | assessed value for one
or more
taxable years shall not be | 5 | | considered the lowest equalized assessed value.
The selected | 6 | | year shall be the base year for
taxable year 1999 and | 7 | | thereafter until a new base year is established under the
| 8 | | terms of this paragraph.
| 9 | | "Chief County Assessment Officer" means the County | 10 | | Assessor or Supervisor of
Assessments of the county in which | 11 | | the property is located.
| 12 | | "Equalized assessed value" means the assessed value as | 13 | | equalized by the
Illinois Department of Revenue.
| 14 | | "Household" means the applicant, the spouse of the | 15 | | applicant, and all persons
using the residence of the | 16 | | applicant as their principal place of residence.
| 17 | | "Household income" means the combined income of the | 18 | | members of a household
for the calendar year preceding the | 19 | | taxable year.
| 20 | | "Income" has the same meaning as provided in Section 3.07 | 21 | | of the Senior
Citizens and Persons with Disabilities Property | 22 | | Tax Relief
Act, except that, beginning in assessment year | 23 | | 2001, "income" does not
include veteran's benefits.
| 24 | | "Internal Revenue Code of 1986" means the United States | 25 | | Internal Revenue Code
of 1986 or any successor law or laws | 26 | | relating to federal income taxes in effect
for the year |
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| 1 | | preceding the taxable year.
| 2 | | "Life care facility that qualifies as a cooperative" means | 3 | | a facility as
defined in Section 2 of the Life Care Facilities | 4 | | Act.
| 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; | 10 | | (5) $55,000 in taxable years 2008 through 2016;
| 11 | | (6) for taxable year 2017, (i) $65,000 for qualified | 12 | | property located in a county with 3,000,000 or more | 13 | | inhabitants and (ii) $55,000 for qualified property | 14 | | located in a county with fewer than 3,000,000 inhabitants; | 15 | | and | 16 | | (7) for taxable years 2018 and thereafter, $65,000 for | 17 | | all qualified property. | 18 | | "Person with a disability" means a person unable to
engage | 19 | | in any substantial gainful activity by reason of a medically
| 20 | | determinable physical
or mental impairment that (i) can be | 21 | | expected to result in death or (ii) has
lasted or can be
| 22 | | expected to last for a continuous period of not less than 12 | 23 | | months. Persons
applying for the exemption under this Section | 24 | | as a person with a disability must submit proof of the
| 25 | | disability in the
manner prescribed by the chief county | 26 | | assessment officer. Proof that an
applicant is
eligible to |
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| 1 | | receive disability benefits under the federal Social Security | 2 | | Act
constitutes
proof of disability for purposes of this | 3 | | Section. Issuance of an Illinois
Person with a Disability
| 4 | | Identification Card to the applicant stating that the | 5 | | possessor is under a
Class 2 disability,
as defined in Section | 6 | | 4A of the Illinois Identification Card Act, constitutes
proof | 7 | | that the
person is a person with a disability for purposes of | 8 | | this Section. | 9 | | "Residence" means the principal dwelling place and | 10 | | appurtenant structures
used for residential purposes in this | 11 | | State occupied on January 1 of the
taxable year by a household | 12 | | and so much of the surrounding land, constituting
the parcel | 13 | | upon which the dwelling place is situated, as is used for
| 14 | | residential purposes. If the Chief County Assessment Officer | 15 | | has established a
specific legal description for a portion of | 16 | | property constituting the
residence, then that portion of | 17 | | property shall be deemed the residence for the
purposes of | 18 | | this Section.
| 19 | | "Taxable year" means the calendar year during which ad | 20 | | valorem property taxes
payable in the next succeeding year are | 21 | | levied.
| 22 | | (c) Beginning in (1) taxable year 1994 for senior citizens | 23 | | and (2) taxable year 2021 for persons with a disability , an a | 24 | | senior citizens assessment freeze
homestead exemption is | 25 | | granted for real property that is improved with a
permanent | 26 | | structure that is occupied as a residence by an applicant who |
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| 1 | | (i) is
65 years of age or older or is a person with a | 2 | | disability during the taxable year, (ii) has a household | 3 | | income that does not exceed the maximum income limitation, | 4 | | (iii) is liable for paying real property taxes on
the
| 5 | | property, and (iv) is an owner of record of the property or has | 6 | | a legal or
equitable interest in the property as evidenced by a | 7 | | written instrument. This
homestead exemption shall also apply | 8 | | to a leasehold interest in a parcel of
property improved with a | 9 | | permanent structure that is a single family residence
that is | 10 | | occupied as a residence by a person who (i) is 65 years of age | 11 | | or older
or is a person with a disability during the taxable | 12 | | year, (ii) has a household income that does not exceed the | 13 | | maximum income limitation,
(iii)
has a legal or equitable | 14 | | ownership interest in the property as lessee, and (iv)
is | 15 | | liable for the payment of real property taxes on that | 16 | | property.
| 17 | | In counties of 3,000,000 or more inhabitants, the amount | 18 | | of the exemption for all taxable years is the equalized | 19 | | assessed value of the
residence in the taxable year for which | 20 | | application is made minus the base
amount. In all other | 21 | | counties, the amount of the exemption is as follows: (i) | 22 | | through taxable year 2005 and for taxable year 2007 and | 23 | | thereafter, the amount of this exemption shall be the | 24 | | equalized assessed value of the
residence in the taxable year | 25 | | for which application is made minus the base
amount; and (ii) | 26 | | for
taxable year 2006, the amount of the exemption is as |
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| 1 | | follows:
| 2 | | (1) For an applicant who has a household income of | 3 | | $45,000 or less, the amount of the exemption is the | 4 | | equalized assessed value of the
residence in the taxable | 5 | | year for which application is made minus the base
amount. | 6 | | (2) For an applicant who has a household income | 7 | | exceeding $45,000 but not exceeding $46,250, the amount of | 8 | | the exemption is (i) the equalized assessed value of the
| 9 | | residence in the taxable year for which application is | 10 | | made minus the base
amount (ii) multiplied by 0.8. | 11 | | (3) For an applicant who has a household income | 12 | | exceeding $46,250 but not exceeding $47,500, the amount of | 13 | | the exemption is (i) the equalized assessed value of the
| 14 | | residence in the taxable year for which application is | 15 | | made minus the base
amount (ii) multiplied by 0.6. | 16 | | (4) For an applicant who has a household income | 17 | | exceeding $47,500 but not exceeding $48,750, the amount of | 18 | | the exemption is (i) the equalized assessed value of the
| 19 | | residence in the taxable year for which application is | 20 | | made minus the base
amount (ii) multiplied by 0.4. | 21 | | (5) For an applicant who has a household income | 22 | | exceeding $48,750 but not exceeding $50,000, the amount of | 23 | | the exemption is (i) the equalized assessed value of the
| 24 | | residence in the taxable year for which application is | 25 | | made minus the base
amount (ii) multiplied by 0.2.
| 26 | | When the applicant is a surviving spouse of an applicant |
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| 1 | | for a prior year for
the same residence for which an exemption | 2 | | under this Section has been granted,
the base year and base | 3 | | amount for that residence are the same as for the
applicant for | 4 | | the prior year.
| 5 | | Each year at the time the assessment books are certified | 6 | | to the County Clerk,
the Board of Review or Board of Appeals | 7 | | shall give to the County Clerk a list
of the assessed values of | 8 | | improvements on each parcel qualifying for this
exemption that | 9 | | were added after the base year for this parcel and that
| 10 | | increased the assessed value of the property.
| 11 | | In the case of land improved with an apartment building | 12 | | owned and operated as
a cooperative or a building that is a | 13 | | life care facility that qualifies as a
cooperative, the | 14 | | maximum reduction from the equalized assessed value of the
| 15 | | property is limited to the sum of the reductions calculated | 16 | | for each unit
occupied as a residence by a person or persons | 17 | | (i) who is 65 years of age or older or is a person with a | 18 | | disability , (ii) with a
household income that does not exceed | 19 | | the maximum income limitation, (iii) who is liable, by | 20 | | contract with the
owner
or owners of record, for paying real | 21 | | property taxes on the property, and (iv) who is
an owner of | 22 | | record of a legal or equitable interest in the cooperative
| 23 | | apartment building, other than a leasehold interest. In the | 24 | | instance of a
cooperative where a homestead exemption has been | 25 | | granted under this Section,
the cooperative association or its | 26 | | management firm shall credit the savings
resulting from that |
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| 1 | | exemption only to the apportioned tax liability of the
owner | 2 | | who qualified for the exemption. Any person who willfully | 3 | | refuses to
credit that savings to an owner who qualifies for | 4 | | the exemption is guilty of a
Class B misdemeanor.
| 5 | | When a homestead exemption has been granted under this | 6 | | Section and an
applicant then becomes a resident of a facility | 7 | | licensed under the Assisted Living and Shared Housing Act, the | 8 | | Nursing Home
Care Act, the Specialized Mental Health | 9 | | Rehabilitation Act of 2013, the ID/DD Community Care Act, or | 10 | | the MC/DD Act, the exemption shall be granted in subsequent | 11 | | years so long as the
residence (i) continues to be occupied by | 12 | | the qualified applicant's spouse or
(ii) if remaining | 13 | | unoccupied, is still owned by the qualified applicant for the
| 14 | | homestead exemption.
| 15 | | Beginning January 1, 1997 for senior citizens and January | 16 | | 1, 2021 for persons with a disability , when an individual dies | 17 | | who would have qualified
for an exemption under this Section, | 18 | | and the surviving spouse does not
independently qualify for | 19 | | this exemption because of age or nondisability , the exemption | 20 | | under
this Section shall be granted to the surviving spouse | 21 | | for the taxable year
preceding and the taxable
year of the | 22 | | death, provided that, except for age or nondisability , the | 23 | | surviving spouse meets
all
other qualifications for the | 24 | | granting of this exemption for those years.
| 25 | | When married persons maintain separate residences, the | 26 | | exemption provided for
in this Section may be claimed by only |
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| 1 | | one of such persons and for only one
residence.
| 2 | | For taxable year 1994 only, in counties having less than | 3 | | 3,000,000
inhabitants, to receive the exemption, a person | 4 | | shall submit an application by
February 15, 1995 to the Chief | 5 | | County Assessment Officer
of the county in which the property | 6 | | is located. In counties having 3,000,000
or more inhabitants, | 7 | | for taxable year 1994 and all subsequent taxable years, to
| 8 | | receive the exemption, a person
may submit an application to | 9 | | the Chief County
Assessment Officer of the county in which the | 10 | | property is located during such
period as may be specified by | 11 | | the Chief County Assessment Officer. The Chief
County | 12 | | Assessment Officer in counties of 3,000,000 or more | 13 | | inhabitants shall
annually give notice of the application | 14 | | period by mail or by publication. In
counties having less than | 15 | | 3,000,000 inhabitants, beginning with taxable year
1995 and | 16 | | thereafter, to receive the exemption, a person
shall
submit an
| 17 | | application by July 1 of each taxable year to the Chief County | 18 | | Assessment
Officer of the county in which the property is | 19 | | located. A county may, by
ordinance, establish a date for | 20 | | submission of applications that is
different than
July 1.
The | 21 | | applicant shall submit with the
application an affidavit of | 22 | | the applicant's total household income, age,
marital status | 23 | | (and if married the name and address of the applicant's | 24 | | spouse,
if known), disability (if applying for the exemption | 25 | | as a person with a disability), and principal dwelling place | 26 | | of members of the household on January
1 of the taxable year. |
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| 1 | | The Department shall establish, by rule, a method for
| 2 | | verifying the accuracy of affidavits filed by applicants under | 3 | | this Section, and the Chief County Assessment Officer may | 4 | | conduct audits of any taxpayer claiming an exemption under | 5 | | this Section to verify that the taxpayer is eligible to | 6 | | receive the exemption. Each application shall contain or be | 7 | | verified by a written declaration that it is made under the | 8 | | penalties of perjury. A taxpayer's signing a fraudulent | 9 | | application under this Act is perjury, as defined in Section | 10 | | 32-2 of the Criminal Code of 2012.
The applications shall be | 11 | | clearly marked as applications for the Senior
Citizens and | 12 | | Persons with a Disability Assessment Freeze Homestead | 13 | | Exemption and must contain a notice that any taxpayer who | 14 | | receives the exemption is subject to an audit by the Chief | 15 | | County Assessment Officer.
| 16 | | Notwithstanding any other provision to the contrary, in | 17 | | counties having fewer
than 3,000,000 inhabitants, if an | 18 | | applicant fails
to file the application required by this | 19 | | Section in a timely manner and this
failure to file is due to a | 20 | | mental or physical condition sufficiently severe so
as to | 21 | | render the applicant incapable of filing the application in a | 22 | | timely
manner, the Chief County Assessment Officer may extend | 23 | | the filing deadline for
a period of 30 days after the applicant | 24 | | regains the capability to file the
application, but in no case | 25 | | may the filing deadline be extended beyond 3
months of the | 26 | | original filing deadline. In order to receive the extension
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| 1 | | provided in this paragraph, the applicant shall provide the | 2 | | Chief County
Assessment Officer with a signed statement from | 3 | | the applicant's physician, advanced practice registered nurse, | 4 | | or physician assistant
stating the nature and extent of the | 5 | | condition, that, in the
physician's, advanced practice | 6 | | registered nurse's, or physician assistant's opinion, the | 7 | | condition was so severe that it rendered the applicant
| 8 | | incapable of filing the application in a timely manner, and | 9 | | the date on which
the applicant regained the capability to | 10 | | file the application.
| 11 | | Beginning January 1, 1998, notwithstanding any other | 12 | | provision to the
contrary, in counties having fewer than | 13 | | 3,000,000 inhabitants, if an applicant
fails to file the | 14 | | application required by this Section in a timely manner and
| 15 | | this failure to file is due to a mental or physical condition | 16 | | sufficiently
severe so as to render the applicant incapable of | 17 | | filing the application in a
timely manner, the Chief County | 18 | | Assessment Officer may extend the filing
deadline for a period | 19 | | of 3 months. In order to receive the extension provided
in this | 20 | | paragraph, the applicant shall provide the Chief County | 21 | | Assessment
Officer with a signed statement from the | 22 | | applicant's physician, advanced practice registered nurse, or | 23 | | physician assistant stating the
nature and extent of the | 24 | | condition, and that, in the physician's, advanced practice | 25 | | registered nurse's, or physician assistant's opinion, the
| 26 | | condition was so severe that it rendered the applicant |
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| 1 | | incapable of filing the
application in a timely manner.
| 2 | | In counties having less than 3,000,000 inhabitants, if an | 3 | | applicant was
denied an exemption in taxable year 1994 and the | 4 | | denial occurred due to an
error on the part of an assessment
| 5 | | official, or his or her agent or employee, then beginning in | 6 | | taxable year 1997
the
applicant's base year, for purposes of | 7 | | determining the amount of the exemption,
shall be 1993 rather | 8 | | than 1994. In addition, in taxable year 1997, the
applicant's | 9 | | exemption shall also include an amount equal to (i) the amount | 10 | | of
any exemption denied to the applicant in taxable year 1995 | 11 | | as a result of using
1994, rather than 1993, as the base year, | 12 | | (ii) the amount of any exemption
denied to the applicant in | 13 | | taxable year 1996 as a result of using 1994, rather
than 1993, | 14 | | as the base year, and (iii) the amount of the exemption | 15 | | erroneously
denied for taxable year 1994.
| 16 | | For purposes of this Section, a person who will be 65 years | 17 | | of age during the
current taxable year shall be eligible to | 18 | | apply for the homestead exemption
during that taxable year. | 19 | | Application shall be made during the application
period in | 20 | | effect for the county of his or her residence.
| 21 | | The Chief County Assessment Officer may determine the | 22 | | eligibility of a life
care facility that qualifies as a | 23 | | cooperative to receive the benefits
provided by this Section | 24 | | by use of an affidavit, application, visual
inspection, | 25 | | questionnaire, or other reasonable method in order to insure | 26 | | that
the tax savings resulting from the exemption are credited |
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| 1 | | by the management
firm to the apportioned tax liability of | 2 | | each qualifying resident. The Chief
County Assessment Officer | 3 | | may request reasonable proof that the management firm
has so | 4 | | credited that exemption.
| 5 | | Except as provided in this Section, all information | 6 | | received by the chief
county assessment officer or the | 7 | | Department from applications filed under this
Section, or from | 8 | | any investigation conducted under the provisions of this
| 9 | | Section, shall be confidential, except for official purposes | 10 | | or
pursuant to official procedures for collection of any State | 11 | | or local tax or
enforcement of any civil or criminal penalty or | 12 | | sanction imposed by this Act or
by any statute or ordinance | 13 | | imposing a State or local tax. Any person who
divulges any such | 14 | | information in any manner, except in accordance with a proper
| 15 | | judicial order, is guilty of a Class A misdemeanor.
| 16 | | Nothing contained in this Section shall prevent the | 17 | | Director or chief county
assessment officer from publishing or | 18 | | making available reasonable statistics
concerning the | 19 | | operation of the exemption contained in this Section in which
| 20 | | the contents of claims are grouped into aggregates in such a | 21 | | way that
information contained in any individual claim shall | 22 | | not be disclosed. | 23 | | Notwithstanding any other provision of law, for taxable | 24 | | year 2017 and thereafter, in counties of 3,000,000 or more | 25 | | inhabitants, the amount of the exemption shall be the greater | 26 | | of (i) the amount of the exemption otherwise calculated under |
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| 1 | | this Section or (ii) $2,000.
| 2 | | (c-5) Notwithstanding any other provision of law, each | 3 | | chief county assessment officer may approve this exemption for | 4 | | the 2020 taxable year, without application, for any property | 5 | | that was approved for this exemption for the 2019 taxable | 6 | | year, provided that: | 7 | | (1) the county board has declared a local disaster as | 8 | | provided in the Illinois Emergency Management Agency Act | 9 | | related to the COVID-19 public health emergency; | 10 | | (2) the owner of record of the property as of January | 11 | | 1, 2020 is the same as the owner of record of the property | 12 | | as of January 1, 2019; | 13 | | (3) the exemption for the 2019 taxable year has not | 14 | | been determined to be an erroneous exemption as defined by | 15 | | this Code; and | 16 | | (4) the applicant for the 2019 taxable year has not | 17 | | asked for the exemption to be removed for the 2019 or 2020 | 18 | | taxable years. | 19 | | Nothing in this subsection shall preclude or impair the | 20 | | authority of a chief county assessment officer to conduct | 21 | | audits of any taxpayer claiming an exemption under this | 22 | | Section to verify that the taxpayer is eligible to receive the | 23 | | exemption as provided elsewhere in this Section. | 24 | | (d) Each Chief County Assessment Officer shall annually | 25 | | publish a notice
of availability of the exemption provided | 26 | | under this Section. The notice
shall be published at least 60 |
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| 1 | | days but no more than 75 days prior to the date
on which the | 2 | | application must be submitted to the Chief County Assessment
| 3 | | Officer of the county in which the property is located. The | 4 | | notice shall
appear in a newspaper of general circulation in | 5 | | the county.
| 6 | | Notwithstanding Sections 6 and 8 of the State Mandates | 7 | | Act, no reimbursement by the State is required for the | 8 | | implementation of any mandate created by this Section.
| 9 | | (Source: P.A. 100-401, eff. 8-25-17; 100-513, eff. 1-1-18; | 10 | | 100-863, eff. 8-14-18; 101-635, eff. 6-5-20.)
| 11 | | (35 ILCS 200/15-175)
| 12 | | Sec. 15-175. General homestead exemption. | 13 | | (a) Except as provided in Sections 15-176 and 15-177, | 14 | | homestead
property is
entitled to an annual homestead | 15 | | exemption limited, except as described here
with relation to | 16 | | cooperatives or life care facilities, to a reduction in the | 17 | | equalized assessed value
of homestead property equal to the | 18 | | increase in equalized assessed value for the
current | 19 | | assessment year above the equalized assessed value of the | 20 | | property for
1977, up to the maximum reduction set forth | 21 | | below. If however, the 1977
equalized assessed value upon | 22 | | which taxes were paid is subsequently determined
by local | 23 | | assessing officials, the Property Tax Appeal Board, or a court | 24 | | to have
been excessive, the equalized assessed value which | 25 | | should have been placed on
the property for 1977 shall be used |
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| 1 | | to determine the amount of the exemption.
| 2 | | (b) Except as provided in Section 15-176, the maximum | 3 | | reduction before taxable year 2004 shall be
$4,500 in counties | 4 | | with 3,000,000 or more
inhabitants
and $3,500 in all other | 5 | | counties. Except as provided in Sections 15-176 and 15-177, | 6 | | for taxable years 2004 through 2007, the maximum reduction | 7 | | shall be $5,000, for taxable year 2008, the maximum reduction | 8 | | is $5,500, and, for taxable years 2009 through 2011, the | 9 | | maximum reduction is $6,000 in all counties. For taxable years | 10 | | 2012 through 2016, the maximum reduction is $7,000 in counties | 11 | | with 3,000,000 or more
inhabitants
and $6,000 in all other | 12 | | counties. For taxable years 2017 and thereafter, the maximum | 13 | | reduction is $10,000 in counties with 3,000,000 or more | 14 | | inhabitants and $6,000 in all other counties. If a county has | 15 | | elected to subject itself to the provisions of Section 15-176 | 16 | | as provided in subsection (k) of that Section, then, for the | 17 | | first taxable year only after the provisions of Section 15-176 | 18 | | no longer apply, for owners who, for the taxable year, have not | 19 | | been granted a senior citizens and persons with a disability | 20 | | assessment freeze homestead exemption under Section 15-172 or | 21 | | a long-time occupant homestead exemption under Section 15-177, | 22 | | there shall be an additional exemption of $5,000 for owners | 23 | | with a household income of $30,000 or less.
| 24 | | (c) In counties with fewer than 3,000,000 inhabitants, if, | 25 | | based on the most
recent assessment, the equalized assessed | 26 | | value of
the homestead property for the current assessment |
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| 1 | | year is greater than the
equalized assessed value of the | 2 | | property for 1977, the owner of the property
shall | 3 | | automatically receive the exemption granted under this Section | 4 | | in an
amount equal to the increase over the 1977 assessment up | 5 | | to the maximum
reduction set forth in this Section.
| 6 | | (d) If in any assessment year beginning with the 2000 | 7 | | assessment year,
homestead property has a pro-rata valuation | 8 | | under
Section 9-180 resulting in an increase in the assessed | 9 | | valuation, a reduction
in equalized assessed valuation equal | 10 | | to the increase in equalized assessed
value of the property | 11 | | for the year of the pro-rata valuation above the
equalized | 12 | | assessed value of the property for 1977 shall be applied to the
| 13 | | property on a proportionate basis for the period the property | 14 | | qualified as
homestead property during the assessment year. | 15 | | The maximum proportionate
homestead exemption shall not exceed | 16 | | the maximum homestead exemption allowed in
the county under | 17 | | this Section divided by 365 and multiplied by the number of
| 18 | | days the property qualified as homestead property.
| 19 | | (d-1) In counties with 3,000,000 or more inhabitants, | 20 | | where the chief county assessment officer provides a notice of | 21 | | discovery, if a property is not
occupied by its owner as a | 22 | | principal residence as of January 1 of the current tax year, | 23 | | then the property owner shall notify the chief county | 24 | | assessment officer of that fact on a form prescribed by the | 25 | | chief county assessment officer. That notice must be received | 26 | | by the chief county assessment officer on or before March 1 of |
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| 1 | | the collection year. If mailed, the form shall be sent by | 2 | | certified mail, return receipt requested. If the form is | 3 | | provided in person, the chief county assessment officer shall | 4 | | provide a date stamped copy of the notice. Failure to provide | 5 | | timely notice pursuant to this subsection (d-1) shall result | 6 | | in the exemption being treated as an erroneous exemption. Upon | 7 | | timely receipt of the notice for the current tax year, no | 8 | | exemption shall be applied to the property for the current tax | 9 | | year. If the exemption is not removed upon timely receipt of | 10 | | the notice by the chief assessment officer, then the error is | 11 | | considered granted as a result of a clerical error or omission | 12 | | on the part of the chief county assessment officer as | 13 | | described in subsection (h) of Section 9-275, and the property | 14 | | owner shall not be liable for the payment of interest and | 15 | | penalties due to the erroneous exemption for the current tax | 16 | | year for which the notice was filed after the date that notice | 17 | | was timely received pursuant to this subsection. Notice | 18 | | provided under this subsection shall not constitute a defense | 19 | | or amnesty for prior year erroneous exemptions. | 20 | | For the purposes of this subsection (d-1): | 21 | | "Collection year" means the year in which the first and | 22 | | second installment of the current tax year is billed. | 23 | | "Current tax year" means the year prior to the collection | 24 | | year. | 25 | | (e) The chief county assessment officer may, when | 26 | | considering whether to grant a leasehold exemption under this |
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| 1 | | Section, require the following conditions to be met: | 2 | | (1) that a notarized application for the exemption, | 3 | | signed by both the owner and the lessee of the property, | 4 | | must be submitted each year during the application period | 5 | | in effect for the county in which the property is located; | 6 | | (2) that a copy of the lease must be filed with the | 7 | | chief county assessment officer by the owner of the | 8 | | property at the time the notarized application is | 9 | | submitted; | 10 | | (3) that the lease must expressly state that the | 11 | | lessee is liable for the payment of property taxes; and | 12 | | (4) that the lease must include the following language | 13 | | in substantially the following form: | 14 | | "Lessee shall be liable for the payment of real | 15 | | estate taxes with respect to the residence in | 16 | | accordance with the terms and conditions of Section | 17 | | 15-175 of the Property Tax Code (35 ILCS 200/15-175). | 18 | | The permanent real estate index number for the | 19 | | premises is (insert number), and, according to the | 20 | | most recent property tax bill, the current amount of | 21 | | real estate taxes associated with the premises is | 22 | | (insert amount) per year. The parties agree that the | 23 | | monthly rent set forth above shall be increased or | 24 | | decreased pro rata (effective January 1 of each | 25 | | calendar year) to reflect any increase or decrease in | 26 | | real estate taxes. Lessee shall be deemed to be |
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| 1 | | satisfying Lessee's liability for the above mentioned | 2 | | real estate taxes with the monthly rent payments as | 3 | | set forth above (or increased or decreased as set | 4 | | forth herein).". | 5 | | In addition, if there is a change in lessee, or if the | 6 | | lessee vacates the property, then the chief county assessment | 7 | | officer may require the owner of the property to notify the | 8 | | chief county assessment officer of that change. | 9 | | This subsection (e) does not apply to leasehold interests | 10 | | in property owned by a municipality. | 11 | | (f) "Homestead property" under this Section includes | 12 | | residential property that is
occupied by its owner or owners | 13 | | as his or their principal dwelling place, or
that is a | 14 | | leasehold interest on which a single family residence is | 15 | | situated,
which is occupied as a residence by a person who has | 16 | | an ownership interest
therein, legal or equitable or as a | 17 | | lessee, and on which the person is
liable for the payment of | 18 | | property taxes. For land improved with
an apartment building | 19 | | owned and operated as a cooperative, the maximum reduction | 20 | | from the equalized
assessed value shall be limited to the | 21 | | increase in the value above the
equalized assessed value of | 22 | | the property for 1977, up to
the maximum reduction set forth | 23 | | above, multiplied by the number of apartments
or units | 24 | | occupied by a person or persons who is liable, by contract with | 25 | | the
owner or owners of record, for paying property taxes on the | 26 | | property and is an
owner of record of a legal or equitable |
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| 1 | | interest in the cooperative
apartment building, other than a | 2 | | leasehold interest. For land improved with a life care | 3 | | facility, the maximum reduction from the value of the | 4 | | property, as equalized by the Department, shall be multiplied | 5 | | by the number of apartments or units occupied by a person or | 6 | | persons, irrespective of any legal, equitable, or leasehold | 7 | | interest in the facility, who are liable, under a life care | 8 | | contract with the owner or owners of record of the facility, | 9 | | for paying property taxes on the property. For purposes of | 10 | | this
Section, the term "life care facility" has the meaning | 11 | | stated in Section
15-170.
| 12 | | "Household", as used in this Section,
means the owner, the | 13 | | spouse of the owner, and all persons using
the
residence of the | 14 | | owner as their principal place of residence.
| 15 | | "Household income", as used in this Section,
means the | 16 | | combined income of the members of a household
for the calendar | 17 | | year preceding the taxable year.
| 18 | | "Income", as used in this Section,
has the same meaning as | 19 | | provided in Section 3.07 of the Senior
Citizens
and Persons | 20 | | with Disabilities Property Tax Relief Act,
except that
| 21 | | "income" does not include veteran's benefits.
| 22 | | (g) In a cooperative or life care facility where a | 23 | | homestead exemption has been granted, the
cooperative | 24 | | association or the management of the cooperative or life care | 25 | | facility shall credit the savings
resulting from that | 26 | | exemption only to the apportioned tax liability of the
owner |
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| 1 | | or resident who qualified for the exemption. Any person who | 2 | | willfully refuses to so
credit the savings shall be guilty of a | 3 | | Class B misdemeanor.
| 4 | | (h) Where married persons maintain and reside in separate | 5 | | residences qualifying
as homestead property, each residence | 6 | | shall receive 50% of the total reduction
in equalized assessed | 7 | | valuation provided by this Section.
| 8 | | (i) In all counties, the assessor
or chief county | 9 | | assessment officer may determine the
eligibility of | 10 | | residential property to receive the homestead exemption and | 11 | | the amount of the exemption by
application, visual inspection, | 12 | | questionnaire or other reasonable methods. The
determination | 13 | | shall be made in accordance with guidelines established by the
| 14 | | Department, provided that the taxpayer applying for an | 15 | | additional general exemption under this Section shall submit | 16 | | to the chief county assessment officer an application with an | 17 | | affidavit of the applicant's total household income, age, | 18 | | marital status (and, if married, the name and address of the | 19 | | applicant's spouse, if known), and principal dwelling place of | 20 | | members of the household on January 1 of the taxable year. The | 21 | | Department shall issue guidelines establishing a method for | 22 | | verifying the accuracy of the affidavits filed by applicants | 23 | | under this paragraph. The applications shall be clearly marked | 24 | | as applications for the Additional General Homestead | 25 | | Exemption.
| 26 | | (i-5) This subsection (i-5) applies to counties with |
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| 1 | | 3,000,000 or more inhabitants. In the event of a sale of
| 2 | | homestead property, the homestead exemption shall remain in | 3 | | effect for the remainder of the assessment year of the sale. | 4 | | Upon receipt of a transfer declaration transmitted by the | 5 | | recorder pursuant to Section 31-30 of the Real Estate Transfer | 6 | | Tax Law for property receiving an exemption under this | 7 | | Section, the assessor shall mail a notice and forms to the new | 8 | | owner of the property providing information pertaining to the | 9 | | rules and applicable filing periods for applying or reapplying | 10 | | for homestead exemptions under this Code for which the | 11 | | property may be eligible. If the new owner fails to apply or | 12 | | reapply for a homestead exemption during the applicable filing | 13 | | period or the property no longer qualifies for an existing | 14 | | homestead exemption, the assessor shall cancel such exemption | 15 | | for any ensuing assessment year. | 16 | | (j) In counties with fewer than 3,000,000 inhabitants, in | 17 | | the event of a sale
of
homestead property the homestead | 18 | | exemption shall remain in effect for the
remainder of the | 19 | | assessment year of the sale. The assessor or chief county
| 20 | | assessment officer may require the new
owner of the property | 21 | | to apply for the homestead exemption for the following
| 22 | | assessment year.
| 23 | | (k) Notwithstanding Sections 6 and 8 of the State Mandates | 24 | | Act, no reimbursement by the State is required for the | 25 | | implementation of any mandate created by this Section.
| 26 | | (l) The changes made to this Section by this amendatory |
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| 1 | | Act of the 100th General Assembly are effective for the 2018 | 2 | | tax year and thereafter. | 3 | | (Source: P.A. 99-143, eff. 7-27-15; 99-164, eff. 7-28-15; | 4 | | 99-642, eff. 7-28-16; 99-851, eff. 8-19-16; 100-401, eff. | 5 | | 8-25-17; 100-1077, eff. 1-1-19 .)
| 6 | | Section 99. Effective date. This Act takes effect upon | 7 | | becoming law.
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