Public Act 90-0336 of the 90th General Assembly
Public Act 90-0336
HB1283 Enrolled LRB9004586DNcd
AN ACT to amend the Property Tax Code by changing Section
21-15.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Property Tax Code is amended by changing
Section 21-15 as follows:
(35 ILCS 200/21-15)
Sec. 21-15. General tax due dates; default by mortgage
lender. Except as otherwise provided in this Section or
Section 21-40, all property upon which the first installment
of taxes remains unpaid on June 1 annually shall be deemed
delinquent and shall bear interest after June 1 at the rate
of 1 1/2% per month or portion thereof. Except as otherwise
provided in this Section or Section 21-40, all property upon
which the second installment of taxes remains due and unpaid
on September 1, annually, shall be deemed delinquent and
shall bear interest after September 1 at the same interest
rate. All interest collected shall be paid into the general
fund of the county.
Property not subject to the interest charge in Section
9-265 shall also not be subject to the interest charge
imposed by this Section until such time as the owner of the
property receives actual notice of and is billed for the
principal amount of back taxes due and owing.
Notwithstanding any other provision of law, when any
unpaid taxes become delinquent under this Section through the
fault of the mortgage lender, (i) the interest assessed under
this Section for delinquent taxes shall be charged against
the mortgage lender and not the mortgagor and (ii) the
mortgage lender shall pay the taxes, redeem the property and
take all necessary steps to remove any liens accruing against
the property because of the delinquency. In the event that
more than one entity meets the definition of mortgage lender
with respect to any mortgage, the interest shall be assessed
against the mortgage lender responsible for servicing the
mortgage. Unpaid taxes shall be deemed delinquent through
the fault of the mortgage lender only if: (a) the mortgage
lender has received all payments due the mortgage lender for
the property being taxed under the written terms of the
mortgage or promissory note secured by the mortgage, (b) the
mortgage lender holds funds in escrow to pay the taxes, and
(c) the funds are sufficient to pay the taxes after deducting
all amounts reasonably anticipated to become due for all
hazard insurance premiums and mortgage insurance premiums and
any other assessments to be paid from the escrow under the
terms of the mortgage. For purposes of this Section, an
amount is reasonably anticipated to become due if it is
payable within 12 months from the time of determining the
sufficiency of funds held in escrow. Unpaid taxes shall not
be deemed delinquent through the fault of the mortgage lender
if the mortgage lender was directed in writing by the
mortgagor not to pay the property taxes, or if the failure to
pay the taxes when due resulted from inadequate or inaccurate
parcel information provided by the mortgagor, a title or
abstract company, or by the agency or unit of government
assessing the tax.
(Source: P.A. 86-234; 87-17; 87-145; 87-208; 87-340; 87-895;
88-455.)