Illinois General Assembly - Full Text of HB3557
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Full Text of HB3557  97th General Assembly




State of Illinois
2011 and 2012


Introduced 2/24/2011, by Rep. Chris Nybo - Dwight Kay - Sandy Cole - Renée Kosel - Darlene J. Senger, et al.


35 ILCS 200/15-170

    Amends the Property Tax Code. Increases the maximum reduction under the Senior Citizens Homestead Exemption from $4,000 to $7,000 for taxable year 2011 and indexes the reduction to the Consumer Price Index. Effective immediately.

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HB3557LRB097 06202 HLH 46277 b

1    AN ACT concerning revenue.
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4    Section 5. The Property Tax Code is amended by changing
5Section 15-170 as follows:
6    (35 ILCS 200/15-170)
7    Sec. 15-170. Senior Citizens Homestead Exemption. An
8annual homestead exemption limited, except as described here
9with relation to cooperatives or life care facilities, to a
10maximum reduction set forth below from the property's value, as
11equalized or assessed by the Department, is granted for
12property that is occupied as a residence by a person 65 years
13of age or older who is liable for paying real estate taxes on
14the property and is an owner of record of the property or has a
15legal or equitable interest therein as evidenced by a written
16instrument, except for a leasehold interest, other than a
17leasehold interest of land on which a single family residence
18is located, which is occupied as a residence by a person 65
19years or older who has an ownership interest therein, legal,
20equitable or as a lessee, and on which he or she is liable for
21the payment of property taxes. Before taxable year 2004, the
22maximum reduction shall be $2,500 in counties with 3,000,000 or
23more inhabitants and $2,000 in all other counties. For taxable



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1years 2004 through 2005, the maximum reduction shall be $3,000
2in all counties. For taxable years 2006 and 2007, the maximum
3reduction shall be $3,500 in all counties. For and, for taxable
4years 2008 through 2010 and thereafter, the maximum reduction
5is $4,000 in all counties. For taxable year 2011, the maximum
6reduction is $7,000 in all counties. For taxable years 2012 and
7thereafter, the maximum reduction is the maximum reduction for
8the prior taxable year increased by the annual rate of
9increase, for the previous calendar year, of the Consumer Price
10Index for All Urban Consumers for all items, published by the
11United States Bureau of Labor Statistics.
12    For land improved with an apartment building owned and
13operated as a cooperative, the maximum reduction from the value
14of the property, as equalized by the Department, shall be
15multiplied by the number of apartments or units occupied by a
16person 65 years of age or older who is liable, by contract with
17the owner or owners of record, for paying property taxes on the
18property and is an owner of record of a legal or equitable
19interest in the cooperative apartment building, other than a
20leasehold interest. For land improved with a life care
21facility, the maximum reduction from the value of the property,
22as equalized by the Department, shall be multiplied by the
23number of apartments or units occupied by persons 65 years of
24age or older, irrespective of any legal, equitable, or
25leasehold interest in the facility, who are liable, under a
26contract with the owner or owners of record of the facility,



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1for paying property taxes on the property. In a cooperative or
2a life care facility where a homestead exemption has been
3granted, the cooperative association or the management firm of
4the cooperative or facility shall credit the savings resulting
5from that exemption only to the apportioned tax liability of
6the owner or resident who qualified for the exemption. Any
7person who willfully refuses to so credit the savings shall be
8guilty of a Class B misdemeanor. Under this Section and
9Sections 15-175, 15-176, and 15-177, "life care facility" means
10a facility, as defined in Section 2 of the Life Care Facilities
11Act, with which the applicant for the homestead exemption has a
12life care contract as defined in that Act.
13    When a homestead exemption has been granted under this
14Section and the person qualifying subsequently becomes a
15resident of a facility licensed under the Assisted Living and
16Shared Housing Act, the Nursing Home Care Act, or the MR/DD
17Community Care Act, the exemption shall continue so long as the
18residence continues to be occupied by the qualifying person's
19spouse if the spouse is 65 years of age or older, or if the
20residence remains unoccupied but is still owned by the person
21qualified for the homestead exemption.
22    A person who will be 65 years of age during the current
23assessment year shall be eligible to apply for the homestead
24exemption during that assessment year. Application shall be
25made during the application period in effect for the county of
26his residence.



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1    Beginning with assessment year 2003, for taxes payable in
22004, property that is first occupied as a residence after
3January 1 of any assessment year by a person who is eligible
4for the senior citizens homestead exemption under this Section
5must be granted a pro-rata exemption for the assessment year.
6The amount of the pro-rata exemption is the exemption allowed
7in the county under this Section divided by 365 and multiplied
8by the number of days during the assessment year the property
9is occupied as a residence by a person eligible for the
10exemption under this Section. The chief county assessment
11officer must adopt reasonable procedures to establish
12eligibility for this pro-rata exemption.
13    The assessor or chief county assessment officer may
14determine the eligibility of a life care facility to receive
15the benefits provided by this Section, by affidavit,
16application, visual inspection, questionnaire or other
17reasonable methods in order to insure that the tax savings
18resulting from the exemption are credited by the management
19firm to the apportioned tax liability of each qualifying
20resident. The assessor may request reasonable proof that the
21management firm has so credited the exemption.
22    The chief county assessment officer of each county with
23less than 3,000,000 inhabitants shall provide to each person
24allowed a homestead exemption under this Section a form to
25designate any other person to receive a duplicate of any notice
26of delinquency in the payment of taxes assessed and levied



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1under this Code on the property of the person receiving the
2exemption. The duplicate notice shall be in addition to the
3notice required to be provided to the person receiving the
4exemption, and shall be given in the manner required by this
5Code. The person filing the request for the duplicate notice
6shall pay a fee of $5 to cover administrative costs to the
7supervisor of assessments, who shall then file the executed
8designation with the county collector. Notwithstanding any
9other provision of this Code to the contrary, the filing of
10such an executed designation requires the county collector to
11provide duplicate notices as indicated by the designation. A
12designation may be rescinded by the person who executed such
13designation at any time, in the manner and form required by the
14chief county assessment officer.
15    The assessor or chief county assessment officer may
16determine the eligibility of residential property to receive
17the homestead exemption provided by this Section by
18application, visual inspection, questionnaire or other
19reasonable methods. The determination shall be made in
20accordance with guidelines established by the Department.
21    In counties with 3,000,000 or more inhabitants, beginning
22in taxable year 2010, each taxpayer who has been granted an
23exemption under this Section must reapply on an annual basis.
24The chief county assessment officer shall mail the application
25to the taxpayer. In counties with less than 3,000,000
26inhabitants, the county board may by resolution provide that if



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1a person has been granted a homestead exemption under this
2Section, the person qualifying need not reapply for the
4    In counties with less than 3,000,000 inhabitants, if the
5assessor or chief county assessment officer requires annual
6application for verification of eligibility for an exemption
7once granted under this Section, the application shall be
8mailed to the taxpayer.
9    The assessor or chief county assessment officer shall
10notify each person who qualifies for an exemption under this
11Section that the person may also qualify for deferral of real
12estate taxes under the Senior Citizens Real Estate Tax Deferral
13Act. The notice shall set forth the qualifications needed for
14deferral of real estate taxes, the address and telephone number
15of county collector, and a statement that applications for
16deferral of real estate taxes may be obtained from the county
18    Notwithstanding Sections 6 and 8 of the State Mandates Act,
19no reimbursement by the State is required for the
20implementation of any mandate created by this Section.
21(Source: P.A. 95-644, eff. 10-12-07; 95-876, eff. 8-21-08;
2296-339, eff. 7-1-10; 96-355, eff. 1-1-10; 96-1000, eff. 7-2-10;
2396-1418, eff. 8-2-10.)
24    Section 99. Effective date. This Act takes effect upon
25becoming law.