Bill Text: IL HB0799 | 2025-2026 | 104th General Assembly | Engrossed

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Bill Title: Amends the Property Tax Code. Creates a pilot program that allows a county that has 3,000,000 or more inhabitants and that elects to participate in the program to acquire tax certificates for certain homestead properties offered at any of its annual tax sales. Provides that the number of properties may not exceed 200 properties or 50% of the total number of properties offered at that annual tax sale. Provides that, if a county acquires a tax certificate under the program and thereafter obtains an order directing issuance of a tax deed, the county shall record the tax deed within 30 days after entry of the order directing issuance of tax deed. Provides that the owner has a statutory right to redeem the property for a period of 365 days after recording of the tax deed. Provides that the property shall be offered at a judicial tax deed auction if it is not redeemed within that period. Sets forth procedures for the judicial tax deed auction. Contains provisions for the distribution of surplus funds. Sets forth the penalty amount for the property. Provides that no bidder, principal, affiliate, nominee, or related entity shall directly or indirectly engage in collusive bidding, common-control bidding, nominee bidding, bid rotation, or any other scheme designed to suppress competition at any tax sale under the Code. Contains provisions concerning assignments of certificates of purchase. Makes changes to various notices. Makes changes concerning the redemption period. Provides that if, on the date of the tax sale, the property sold is occupied residential property containing a structure or structures with 6 or fewer residential units, the property may be redeemed after 3 years but before the court orders the property sold at a judicial tax deed auction. Effective July 1, 2026.

Sponsorship: Partisan Bill (Democrat 2)

Status: (Engrossed - Dead) 2026-06-01 - Rule 3-9(a) / Re-referred to Assignments [HB0799 Detail]

Download: Illinois-2025-HB0799-Engrossed.html

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AN ACT concerning revenue.
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
Sections 21-90, 21-110, 21-115, 21-190, 21-205, 21-215,
21-225, 21-250, 21-350, 21-390, 22-5, 22-10, 22-40, and 22-65
and by adding Sections 1-4, 1-71, 1-72, 1-153, 21-191, 21-192,
21-251, 22-42, and 22-43 as follows:
(35 ILCS 200/1-4 new)
Sec. 1-4. Allowable costs; prohibited costs; maintenance.
(a) For purposes of this Code, and for any tax sale,
redemption, judicial tax deed auction, tax deed judgment, or
surplus proceeds determination arising from a tax certificate
issued on or after the effective date of this amendatory Act,
"allowable costs" means only the following amounts, to the
extent actually incurred, actually paid, reasonable in amount,
directly tied to the specific parcel, and supported by written
documentation:
(1) delinquent taxes and special assessments lawfully
due;
(2) statutory interest expressly authorized by this
Code;
(3) court filing fees actually paid;

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(4) service of process costs actually paid;
(5) publication costs actually paid;
(6) recording fees actually paid;
(7) municipal advancements actually paid under Section
22-35;
(8) selling officer fees expressly authorized by
statute or court order and actually paid; and
(9) title search costs actually paid, only if
expressly authorized elsewhere in this Code and only in
the amount permitted by law.
(b) "Maintenance" means only work reasonably necessary to
secure, preserve, and prevent waste or nuisance conditions at
property held by a county after issuance and recording of a tax
deed and before redemption or judicial tax deed auction,
limited to:
(1) securing points of entry;
(2) removal of garbage, debris, or hazardous refuse;
(3) mowing grass and basic exterior upkeep necessary
to prevent nuisance conditions;
(4) boarding or similar temporary protection measures;
(5) abatement of objectively unsafe or hazardous
conditions required by applicable law; and
(6) actions strictly necessary to comply with
applicable municipal health and safety requirements.
(c) "Maintenance" does not include:
(1) redevelopment;

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(2) renovation;
(3) rehabilitation beyond temporary securing or hazard
abatement;
(4) capital improvements;
(5) demolition, except where separately authorized by
other law and not charged to the former owner or deducted
from surplus proceeds;
(6) project management charges;
(7) consulting fees;
(8) internal labor allocation;
(9) overhead;
(10) general administrative expenses;
(11) insurance costs;
(12) financing costs;
(13) interest on county-incurred expenses;
(14) legal fees, except as expressly and specifically
authorized elsewhere in this Code;
(15) staff time valuation;
(16) transportation costs, mileage, fleet use, or
equipment depreciation;
(17) compliance monitoring costs not directly tied to
a specific and documented health or safety condition; or
(18) any cost not expressly listed in subsection (b).
(d) "Administrative costs" means only ministerial third
party costs expressly authorized by statute and actually paid
to a non-county third party in connection with the specific

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parcel at issue. "Administrative costs" does not include
county overhead, employee compensation, fringe benefits,
pension costs, office expenses, information technology
expenses, general operating expenses, treasury expenses, legal
department expenses, or any pro rata allocation of county
operations.
(e) "Overhead" means all internal governmental,
contractor, portfolio, or enterprise expenses not directly and
exclusively incurred for the specific parcel and expressly
allowed by statute. Overhead is prohibited from inclusion in
any redemption amount, tax deed judgment amount, minimum bid,
or deduction from surplus proceeds.
(f) Except as expressly provided in this Code, no fee,
cost, charge, surcharge, assessment, contribution,
reimbursement, or expense may be included in:
(1) the redemption amount;
(2) the tax deed judgment amount;
(3) the minimum bid at judicial tax deed auction; or
(4) any deduction from surplus proceeds.
(g) The following are expressly prohibited from inclusion
in the redemption amount, tax deed judgment amount, minimum
bid, or any deduction from surplus proceeds:
(1) maintenance costs, except as provided in
subsection (j) in the event of redemption;
(2) county administrative costs;
(3) county overhead;

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(4) fund capitalization charges;
(5) indemnity fund charges;
(6) surplus account charges;
(7) automation fund charges;
(8) registry fees;
(9) bidder registration fees;
(10) assignment fees;
(11) portfolio management charges;
(12) anticipated future expenses;
(13) estimated expenses not yet paid;
(14) markups;
(15) internal transfer pricing;
(16) profit components;
(17) contingency percentages;
(18) carrying costs;
(19) opportunity costs;
(20) cost of capital;
(21) investment loss or delay claims;
(22) staff salary allocations;
(23) attorney fee schedules, standard fee schedules,
or flat fee proxies not actually incurred and expressly
authorized by statute; and
(24) any amount the primary purpose of which is to
generate revenue, capitalize a fund, subsidize operations,
or shift general governmental costs to the property owner.
(h) No county, certificate holder, assignee, selling

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officer, or other party may characterize a prohibited cost as
an allowable cost by relabeling it as preservation, servicing,
administration, compliance, stabilization, case handling,
asset management, collection support, or any substantially
similar term.
(i) If there is a dispute concerning whether a charge is
allowable under this Section, the burden shall be on the party
seeking inclusion of the charge to prove by written
documentation that:
(1) the charge is expressly permitted by statute;
(2) the charge was actually incurred and actually
paid;
(3) the charge was reasonable in amount;
(4) the charge was directly tied to the specific
parcel; and
(5) the charge is not prohibited by this Section.
Any ambiguity shall be resolved against inclusion of the
charge.
(j) If the owner redeems a property after the county has
obtained and recorded a tax deed under Section 21-191, the
county may recover only actual documented out-of-pocket
maintenance costs incurred during the county's period of
title, and may recover those costs only if those costs are
expressly permitted by this Code. Those maintenance costs:
(1) shall be separately itemized;
(2) shall be limited to actual documented out of

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pocket amounts paid to third parties or actual material
costs paid by the county;
(3) shall not include internal labor, staff time,
fringe benefits, pension costs, supervision, overhead,
administrative allocation, financing charges, profit,
markup, or any indirect cost; and
(4) shall be subject to court review for
reasonableness upon objection by the redeeming owner.
(k) If the owner does not redeem the property, no
maintenance cost, administrative cost, overhead cost, or other
county cost shall be charged to the former owner and no such
cost shall be included in the tax deed judgment amount,
minimum bid, or deducted from any surplus proceeds otherwise
payable to the former owner or other lawful claimant.
(l) Any contractual provision, local practice,
administrative policy, court filing, or bid term inconsistent
with this Section is void and unenforceable to the extent of
the inconsistency.
(35 ILCS 200/1-71 new)
Sec. 1-71. Homestead exemption property. "Homestead
exemption property" means residential property located in a
county with 3,000,000 or more inhabitants for which a
homestead exemption under this Code based upon owner occupancy
has been allowed for the taxable year in which the annual tax
sale is held. "Homestead exemption property" does not include

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mixed use property, commercial property, or industrial
property.
(35 ILCS 200/1-72 new)
Sec. 1-72. Interested party. "Interested party" means any
party having an interest in the property as revealed by a title
examination of public records. "Interested party" does not
include the holder of the benefit or burden of any easement
whose interest is properly recorded and remains unaffected by
property tax enforcement proceedings.
(35 ILCS 200/1-153 new)
Sec. 1-153. Tax sale and judicial tax deed auction.
(a) "Tax sale" means the transfer of a property tax lien or
tax certificate in accordance with Section 21-90, 21-145,
21-205, 21-225, 21-250, or 21-260 of this Code.
(b) "Judicial tax deed auction" means the transfer of
property by a public auction conducted in accordance with
Sections 22-40 and 22-42 of this Code for the purpose of
determining fair market value before final disposition by tax
deed and preserving any surplus proceeds for lawful claimants.
(35 ILCS 200/21-90)
Sec. 21-90. Purchase and sale by county; distribution of
proceeds.
(a) When any property is offered for sale under any of the

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provisions of this Code, the county board of the county in
which the property is located, in its discretion, may bid, or,
in the case of forfeited property, may apply to purchase it or
otherwise acquire the tax lien or certificate in the name of
the county as trustee for all taxing districts having an
interest in the property's taxes or special assessments for
the nonpayment of which the property is sold. The presiding
officer of the county board, with the advice and consent of the
board, may appoint on its behalf some officer, person, or
entity to attend such sales, bid on tax liens or certificates,
and act on behalf of the county when exercising its authority
under this Section. The county shall apply on the bid or
purchase the unpaid taxes and special assessments due upon the
property. No cash need be paid.
(b) The county, as trustee for all taxing districts having
an interest in the property's taxes or special assessments,
shall be the designated holder of all tax liens or
certificates that are forfeited to the State or county or
otherwise acquired by the county pursuant to subsection (a) of
this Section or Sections 21-190 through 21-255 of this Code.
No cash need be paid for any the forfeited tax lien or
certificate acquired by the county pursuant to subsection (a)
of this Section or Sections 21-190 through 21-255 of this
Code.
(c) For any tax lien or certificate acquired under
subsection (a) or (b) of this Section, or for any property

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otherwise purchased or acquired by the county pursuant to
Sections 21-190 through 21-255 of this Code, the county may
take steps necessary to acquire or sell title to the property
and may manage and operate the property, including, but not
limited to, mowing of grass, removal of nuisance greenery,
removal of garbage, waste, debris, or other materials, or the
demolition, repair, or remediation of unsafe structures. When
a county, or other taxing district within the county, is a
petitioner for a tax deed, no filing fee shall be required.
When a county or other taxing district within the county is the
petitioner for a tax deed, one petition may be filed including
all parcels that are tax delinquent within the county or
taxing district, and any publication made under Section 22-20
of this Code may combine all such parcels within a single
notice. The notice may include the property street address as
listed on the most recent available tax bills, if available,
and shall list the Property Index Number of the parcels for
informational purposes. The county, as tax creditor and as
trustee for other tax creditors, or other taxing district
within the county, shall not be required to allege and prove
that all taxes and special assessments which become due and
payable after the sale or forfeiture to the county have been
paid nor shall the county be required to pay the subsequently
accruing taxes or special assessments at any time. The county
board or its designee may prohibit the county collector from
including the property in the tax sale of one or more

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subsequent years. The lien of taxes and special assessments
which become due and payable after a tax sale to a county shall
merge in the fee title of the county, or other taxing district
within the county, on the issuance of a deed.
The county may sell any property acquired with authority
provided in this Section, or assign any tax certificate to any
party, including, but not limited to, taxing districts,
municipalities, land banks created pursuant to Illinois law,
or nonprofit non-profit developers focused on constructing
affordable housing.
The assigned tax certificate shall be void with no further
rights given to the assignee, including no right to refund or
reimbursement, if a tax deed resulting from a judicial tax
deed auction has not been recorded within 4 years after the
date of the assignment unless a court extends the assignment
period as provided in this Section. Upon a motion by the
assignee, a court may toll the 4-year deadline for a specified
period of time if the court finds the assignee is prevented
from obtaining or recording a deed by injunction or order of
any court, by the refusal or inability of any court to act upon
the application for a tax deed, by a municipality's refusal to
issue necessary transfer stamps or approvals for recording, or
by the refusal of the clerk to execute the deed. If an assigned
tax certificate is void under this Section, it shall be
forfeited to the county and held as a valid certificate of sale
in the county's name pursuant to this Section 21-90. The

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proceeds of any sale or assignment under this Section, less
all costs permitted by this Code of the county incurred in the
acquisition, operation, maintenance, and less any surplus
payments sale of the property or assignment of the tax
certificate, including all costs associated with county staff
and overhead used to owners perform the duties of the trustee
set forth in this Section, shall be distributed to the taxing
districts in proportion to their respective interests therein.
Under Sections 21-110, 21-115, 21-120, and 21-190, a
county may bid or purchase only in the absence of other bidders
except as expressly authorized by Section 21-191.
(d) The county, as trustee, may elect to acquire or sell
tax delinquent property under this Section and under Sections
22-10, 22-40, and 22-42 of this Code only as expressly
authorized by this Code.
(e) Nothing in this Section authorizes the inclusion of
prohibited costs described in Section 1-4 in the redemption
amount, tax deed judgment amount, minimum bid, or deduction
from surplus proceeds.
(Source: P.A. 102-363, eff. 1-1-22; 103-555, eff. 1-1-24.)
(35 ILCS 200/21-110)
Sec. 21-110. Published notice of annual application for
judgment and sale; delinquent taxes. At any time after all
taxes have become delinquent in any year, the Collector shall
publish an advertisement, giving notice of the intended

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application for judgment and tax sale of the delinquent
properties. The advertisement may include the street address
on file with the county collector, if available, and shall
include the PIN number of each delinquent property. If the
county has provided notice to the Collector of its intent to
acquire property offered at an annual tax sale in the manner
described in Section 21-191, the advertisement shall indicate
which properties the county intends to acquire next to the PIN
number and address, if any, listed in the advertisement.
Except as provided below, the advertisement shall be in a
newspaper published in the township or road district in which
the properties are located. If there is no newspaper published
in the township or road district, then the notice shall be
published in some newspaper in the same county as the township
or road district, to be selected by the county collector. When
the property is in a city with more than 1,000,000
inhabitants, the advertisement may be in any newspaper
published in the same county. When the property is in an
incorporated town which has superseded a civil township, the
advertisement shall be in a newspaper published in the
incorporated town or if there is no such newspaper, then in a
newspaper published in the county.
The provisions of this Section relating to the time when
the Collector shall advertise intended application for
judgment for sale are subject to modification by the governing
authority of a county in accordance with the provisions of

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subsection (c) of Section 21-40.
(Source: P.A. 97-557, eff. 7-1-12.)
(35 ILCS 200/21-115)
Sec. 21-115. Times of publication of notice. The
advertisement shall be published once at least 10 days before
the day on which judgment is to be applied for, and shall
contain a list of the delinquent properties upon which the
taxes or any part thereof remain due and unpaid, the names of
owners, if known, the total amount due, and the year or years
for which they are due, and whether the county intends to
purchase the property in accordance with Section 21-191 if a
judgment is entered against the property. In counties of less
than 3,000,000 inhabitants, advertisement shall include notice
of the registration requirement for persons bidding at the
sale. Properties upon which taxes have been paid in full under
protest shall not be included in the list.
The collector shall give notice that he or she will apply
to the circuit court on a specified day for judgment against
the properties for the taxes, and costs, and for an order to
sell the properties for the satisfaction of the amount due.
The collector shall also give notice of a date within the
next 5 business days after the date of application on which all
the properties for the sale of which an order is made will
either be sold to the county in accordance with Section 21-191
or be exposed to public tax sale at a location within the

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county designated by the county collector, for the amount of
taxes, and cost due. The advertisement published according to
the provisions of this Section shall be deemed to be
sufficient notice of the intended application for judgment and
of the sale of properties under the order of the court. A
county with fewer than 3,000,000 inhabitants may, by joint
agreement, combine its tax sale with the tax sale of one or
more other contiguous counties; such a joint tax sale shall be
held at a location in one of the participating counties.
Notwithstanding the provisions of this Section and Section
21-110, in the 10 years following the completion of a general
reassessment of property in any county with 3,000,000 or more
inhabitants, made under an order of the Department, the
publication shall be made not sooner than 10 days nor more than
90 days after the date when all unpaid taxes on property have
become delinquent.
(Source: P.A. 101-379, eff. 1-1-20.)
(35 ILCS 200/21-190)
Sec. 21-190. Entry of judgment for tax sale.
(a) If judgment is rendered against any property for any
tax or, in counties with 3,000,000 or more inhabitants, for
any tax or special assessment, the county collector shall,
after publishing a notice for sale in compliance with the
requirements of Sections 21-110, and 21-115, or 21-120,
proceed to offer the property for sale pursuant to the

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judgment. However, in the case of an appeal from the judgment,
if the party, when filing notice of appeal deposits with the
county collector the amount of the judgment and costs, the
collector shall not sell the property until the appeal is
disposed of.
(b) In counties with 3,000,000 or more inhabitants, any
property that is identified on the list published under
Section 21-191 and that is lawfully acquired by the county
under that Section shall not be exposed to private bidding at
that annual sale.
(c) All properties not acquired under subsection (b) shall
be offered to the private market in the manner otherwise
provided by this Code.
(Source: P.A. 79-451; 88-455.)
(35 ILCS 200/21-191 new)
Sec. 21-191. Pilot program for acquisition of tax
certificates in counties with 3,000,000 or more inhabitants.
(a) In a county with 3,000,000 or more inhabitants, the
county board may elect, by ordinance or resolution, to
participate in a pilot program under this Section.
(b) A county that elects to participate in the pilot
program may acquire, as trustee under Section 21-90, tax
certificates for up to 200 properties offered at any of its
annual tax sales, but in no event may the number of properties
acquired under this Section exceed 50% of the total number of

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properties offered at that annual tax sale.
(c) Only homestead exemption properties located within the
electing county may be included in the pilot program under
this Section. No delinquency amount, hardship determination,
geographic priority, or other further screening criterion
shall be required.
(d) Not less than 30 days prior to the annual tax sale, the
county shall publish on its website and deliver to the county
clerk a list of the properties proposed for acquisition under
this Section. The list shall identify each parcel by permanent
index number and commonly known property address, if
available, and shall state that the parcel is proposed for
acquisition under this Section.
(e) If a county acquires a tax certificate under this
Section and thereafter obtains an order directing issuance of
a tax deed, the county shall record the tax deed within 30 days
after entry of the order directing issuance of tax deed.
(f) If a county acquires a tax certificate under this
Section and thereafter records a tax deed for the property,
the owner shall have an automatic statutory right to redeem
the property for a period of 365 days after recording of the
tax deed.
(g) If the property is not redeemed within the 365-day
period described in subsection (f), the county shall, within
30 days after expiration of that 365-day period, cause the
property to be offered at judicial tax deed auction in

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accordance with Sections 22-40 and 22-42.
(h) All records, lists, reports, data compilations, and
supporting materials concerning the pilot program established
under this Section are public records subject to the Freedom
of Information Act, except to the extent otherwise exempt
under that Act.
(i) If a county acquires a tax certificate under this
Section and thereafter obtains a tax deed for the property,
the county shall be responsible, during the period the county
holds title prior to redemption or judicial tax deed auction,
for reasonable maintenance necessary to secure, preserve, and
prevent waste or nuisance conditions at the property, as
defined in Section 1-4. In procuring goods or services under
this subsection, the county shall comply with all otherwise
applicable county ordinances, policies, and goals governing
contracting, procurement, and participation by minority-owned,
women-owned, veteran-owned, and other protected or preferred
business enterprises. The county shall not recover any such
maintenance cost from the former owner except in the event of
redemption as expressly provided in subsection (j) of Section
1-4, and no such cost shall be included in the tax deed
judgment amount, minimum bid, or deducted from any surplus
proceeds.
(j) If a county records a tax deed for property under this
Section, the county shall, within 14 days after recording the
deed:

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(1) provide written notice by certified mail to the
municipality in which the property is located, or to the
county if the property is located in an unincorporated
area, stating (i) that the county has acquired title, (ii)
the property address, if available, (iii) the permanent
index number, and (iv) the county office or department
responsible for the property; provided, however, that
notice may be provided by electronic mail only if the
municipality has previously notified the county in
writing, through the chief legal officer of the
municipality or an attorney authorized to bind the
municipality, that the municipality will accept the notice
by electronic mail and has designated a specific
electronic mail address for receipt of such notices; and
(2) if the property is vacant or apparently
unoccupied, post a notice on the property, in a form
reasonably visible from the exterior, stating that the
property is owned by the county pursuant to tax deed and
providing contact information for the county office or
department responsible for maintenance, redemption
inquiries, and the status of the property.
(k) Failure to maintain a posted notice due to removal,
vandalism, weather, or conditions beyond the county's control
shall not impair title, but the county shall make reasonable
efforts to repost the notice upon learning of its removal.
(l) This Section is repealed on July 1, 2030.

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(35 ILCS 200/21-192 new)
Sec. 21-192. Pilot program report.
(a) A county participating in the pilot program under
Section 21-191 shall submit an annual report to the General
Assembly and the Department of Revenue no later than the third
Wednesday of February of each year during the pilot period.
(b) The report shall include, at a minimum:
(1) the number of properties acquired under the pilot
program;
(2) the number of properties offered to the private
market at the annual tax sale;
(3) the number of pilot properties redeemed;
(4) the number of pilot properties for which tax deeds
were issued;
(5) the number of pilot properties offered at judicial
tax deed auction;
(6) the amount of surplus proceeds returned to owners
or other lawful claimants;
(7) the amount remitted to taxing districts;
(8) the administrative costs associated with the pilot
program; and
(9) any additional information the county elects to
provide.
(c) All data and supporting materials underlying the
report are public records subject to the Freedom of

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Information Act, except to the extent otherwise exempt under
that Act.
(35 ILCS 200/21-205)
Sec. 21-205. Tax sale procedures.
(a) The collector, in person or by deputy, shall attend,
on the day and in the place specified in the notice for the
sale of property for taxes, and shall, between 9:00 a.m. and
4:00 p.m., or later at the collector's discretion, proceed to
offer for sale, separately and in consecutive order, all
property in the list on which the taxes, special assessments,
interest or costs have not been paid. However, in any county
with 3,000,000 or more inhabitants, the offer for sale shall
be made between 8:00 a.m. and 8:00 p.m. The collector's office
shall be kept open during all hours in which the sale is in
progress. The tax sale shall be continued from day to day,
until all property in the delinquent list has been offered for
sale. However, any city, village or incorporated town
interested in the collection of any tax or special assessment,
may, in default of bidders, withdraw from collection the
special assessment levied against any property by the
corporate authorities of the city, village or incorporated
town. In case of a withdrawal, there shall be no sale of that
property on account of the delinquent special assessment
thereon.
(b) Until January 1, 2013, in every tax sale of property

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pursuant to the provisions of this Code, the collector may
employ any automated means that the collector deems
appropriate. Beginning on January 1, 2013, either (i) the
collector shall employ an automated bidding system that is
programmed to accept the lowest redemption price bid by an
eligible tax purchaser, subject to the penalty percentage
limitation set forth in Section 21-215, or (ii) all tax sales
shall be digitally recorded with video and audio. All bidders
are required to personally attend the tax sale and, if
automated means are used, all hardware and software used with
respect to those automated means must be certified by the
Department and re-certified by the Department every 5 years.
If the tax sales are digitally recorded and no automated
bidding system is used, then the recordings shall be
maintained by the collector for a period of at least 3 years
from the date of the tax sale. The changes made by this
amendatory Act of the 94th General Assembly are declarative of
existing law.
(b-5) For any annual tax sale conducted on or after the
effective date of this amendatory Act of the 102nd General
Assembly, each county collector in a county with 275,000 or
more inhabitants shall adopt a single bidder rule sufficient
to prohibit a tax purchaser from registering more than one
related bidding entity at the tax sale. The corporate
authorities in any county with less than 275,000 inhabitants
may, by ordinance, allow the county collector of that county

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to adopt such a single bidder rule. In any county that has
adopted a single bidder rule under this subsection (b-5), the
county treasurer shall include a representation and warranty
form in each registration package attesting to compliance with
the single bidder rule, except that the county may, by
ordinance, opt out of this representation and warranty form
requirement. A single bidder rule under this subsection may be
in the following form:
(1) A registered tax buying entity (principal) may
only have one registered buyer at the tax sale and may not
have a related bidding entity directly or indirectly
register as a buyer or participate in the tax sale. A
registered tax buying entity may not engage in any
multiple bidding strategy for the purpose of having more
than one related bidding entity submit bids at the tax
sale.
(2) A related bidding entity is defined as any
individual, corporation, partnership, joint venture,
limited liability company, business organization, or other
entity that has a shareholder, partner, principal,
officer, general partner, or other person or entity having
(i) an ownership interest in a bidding entity in common
with any other registered participant in the tax sale or
(ii) a common guarantor in connection with a source of
financing with any other registered participant in the tax
sale. The determination of whether registered entities are

HB0799 Engrossed - 24 - LRB104 04698 HLH 14725 b
related so as to prohibit those entities from submitting
duplicate bids in violation of the single bidder rule is
at the sole and exclusive discretion of the county
treasurer or his or her designated representatives.
(c) County collectors may, when applicable, eject tax
bidders who disrupt the tax sale or use illegal bid practices.
(d) No bidder, principal, affiliate, nominee, or related
entity shall directly or indirectly engage in collusive
bidding, common-control bidding, nominee bidding, bid
rotation, or any other scheme designed to suppress competition
at any tax sale under this Code. A violation of this subsection
may result in disqualification, cancellation of bids,
suspension from future sales, civil penalties, and referral to
the Attorney General or other appropriate enforcement
authority.
(e) Any property to be acquired by a county in the manner
described in Section 21-191 shall not be offered for sale in
the manner detailed in subsections (a) through (d) of this
Section. Instead, all such property shall be sold to the
county for the total amount due on the day of the scheduled tax
sale in whatever manner is deemed most expedient and efficient
by the collector's office. For any properties acquired by the
county as described in Section 21-191 that are subsequently
sold at a judicial tax deed auction in accordance with this
Code, any amounts generated in cash from such auction shall be
distributed in the manner described in this Code.

HB0799 Engrossed - 25 - LRB104 04698 HLH 14725 b
(Source: P.A. 102-519, eff. 8-20-21.)
(35 ILCS 200/21-215)
Sec. 21-215. Penalty bids.
(a) Subject to subsection (b) of this Section, the The
person at the sale offering to pay the amount due on each
property for the least penalty percentage shall be the
purchaser of that property. No bid shall be accepted for a
penalty exceeding 9% of the amount of the tax or special
assessment on property.
(b) If the county offers to purchase property for the
amount due in accordance with Section 21-191, the county shall
be the purchaser of the property notwithstanding any other
offer. Subject to a payment plan implemented by the county
clerk in accordance with subsection (d) of Section 21-385, the
penalty for any property purchased by the county in this
manner shall be 9% of the amount of the tax or special
assessment on property.
(Source: P.A. 102-363, eff. 1-1-22.)
(35 ILCS 200/21-225)
Sec. 21-225. Forfeited tax liens and certificates. Every
tax lien or certificate for property offered at public tax
sale, and not sold for want of bidders, unless it is released
from tax sale by the withdrawal from collection of a special
assessment levied thereon, shall be forfeited to the county,

HB0799 Engrossed - 26 - LRB104 04698 HLH 14725 b
as trustee for the taxing districts, and managed pursuant to
Section 21-90. Tax certificates are also forfeited to the
county in those circumstances described in subsection (d) of
Section 21-310 and subsection (f) of Section 22-40 of this
Code.
(Source: P.A. 103-555, eff. 1-1-24.)
(35 ILCS 200/21-250)
Sec. 21-250. Certificate of purchase.
(a) The county clerk shall make out and deliver to the
purchaser of any property sold under Section 21-205, or to the
county if the lien is acquired pursuant to Section 21-191 or
Section 21-90 and a certificate is requested by the county or
its agent, a tax certificate countersigned by the collector,
describing the property sold, the date of sale, the amount of
taxes, special assessments, interest, and cost for which they
were sold, and stating that payment of the sale price has been
made.
(b) A certificate of purchase shall not be assigned unless
the assignment is registered in accordance with Section
21-251. and cost for which they were sold and that payment of
the sale price has been made. If any person becomes the
purchaser of more than one property owned by one party or
person, the purchaser may have the whole or one or more of them
included in one certificate, but separate certificates shall
be issued in all other cases. A tax certificate shall be

HB0799 Engrossed - 27 - LRB104 04698 HLH 14725 b
assignable by endorsement. An assignment shall vest in the
assignee or his or her legal representatives, all the right
and title of the original purchaser.
If the tax certificate is lost or destroyed, the county
clerk shall issue a duplicate certificate upon written request
and a sworn affidavit by the tax sale purchaser, or his or her
assignee, that the tax certificate is lost or destroyed. The
county clerk shall cause a notation to be made in the tax sale
and judgment book that a duplicate certificate has been
issued, and redemption payments shall be made only to the
holder of the duplicate certificate.
(Source: P.A. 103-555, eff. 1-1-24.)
(35 ILCS 200/21-251 new)
Sec. 21-251. Registry of owners and assignees of
certificates of purchase.
(a) The county clerk shall create and maintain a registry
recording the names, business addresses, telephone numbers,
and beneficial ownership information of owners and assignees
of certificates of purchase. The registry may be maintained in
paper or electronic form and shall be accessible to the
public.
(b) Every assignment of a certificate of purchase shall be
registered with the county clerk.
(c) No assignee shall have any right to redemption
proceeds, refund rights, petition rights, judicial tax deed

HB0799 Engrossed - 28 - LRB104 04698 HLH 14725 b
auction rights, or tax deed rights unless the assignment is
duly registered.
(d) Each assignee shall disclose the identity of all
persons or entities holding, directly or indirectly, a
beneficial ownership interest of 5% or more in the assignee or
in the certificate.
(e) Any notice required in proceedings relating to a tax
sale may be sent to the most recent registered owner listed in
the registry.
(f) The county clerk may adopt reasonable forms and
procedures to administer this Section.
(35 ILCS 200/21-350)
Sec. 21-350. Period of redemption. Property sold at a tax
sale under this Code may be redeemed at any time before the
expiration of (i) 2 years and 6 months from the date of sale in
counties with less than 3,000,000 inhabitants and (ii) 3 2.5
years from the date of sale in counties with 3,000,000 or more
inhabitants, except that, in all counties:
(a) If on the date of sale the property is vacant
non-farm property or property containing an improvement
consisting of a structure or structures with 7 or more
residential units or that is commercial or industrial
property, it may be redeemed at any time before the
expiration of one 1 year from the date of the tax sale.
(a-5) If, on the date of the tax sale, the property

HB0799 Engrossed - 29 - LRB104 04698 HLH 14725 b
sold is occupied residential property containing a
structure or structures with 6 or fewer residential units,
the property may be redeemed after 3 years but before the
court orders the property sold at a judicial tax deed
auction.
(b) (Blank).
(c) If the period of redemption has been extended by
the certificate holder as provided in Section 21-385 or
Section 22-5, the property may be redeemed on or before
the extended redemption date. The changes made to this
Section by this amendatory Act of the 103rd General
Assembly apply to matters concerning tax certificates
issued on or after January 1, 2024.
(d) If a county acquires a tax certificate under
Section 21-191 and thereafter records a tax deed for the
property, the owner may redeem during the 365-day period
described in subsection (f) of Section 21-191.
(Source: P.A. 103-555, eff. 1-1-24.)
(35 ILCS 200/21-390)
Sec. 21-390. Effect of receipt of redemption money,
forfeiture, withdrawal or return of certificate. The receipt
of the redemption money on any property by any purchaser or
assignee, on account of any forfeiture or withdrawal, or the
return of the certificate of purchase, withdrawal, or
forfeiture or forfeiture for cancellation, shall operate as a

HB0799 Engrossed - 30 - LRB104 04698 HLH 14725 b
release of the claim to the property under, or by virtue of,
the purchase, withdrawal or forfeiture. However, when a
certificate of purchase has been recorded in the office of the
county recorder by any city, incorporated town or village with
1,000,000 or more inhabitants in which the property is
situated, the recording of a certificate by the County Clerk,
reciting the cancellation of the certificate of purchase on
the tax judgment, sale, redemption and forfeiture record,
shall operate as a release of the lien of the city,
incorporated town, or village under the certificate of
purchase.
The county clerk shall pay redemption proceeds to the
registered certificate holder within 60 days after receipt of
the collected redemption funds and the surrender or electronic
cancellation of the certificate. Any disbursement not made
within that period shall accrue interest at the statutory rate
until paid.
(Source: P.A. 83-358; 88-455.)
(35 ILCS 200/22-5)
Sec. 22-5. Notice of sale and redemption rights. In order
to be entitled to an order for a judicial tax deed auction and
a tax deed, within 4 months and 15 days after any tax sale held
under this Code, the purchaser or his or her assignee, and the
county for all tax liens or forfeited certificates it acquires
pursuant to Section 21-90 or Section 21-191 of this Code from

HB0799 Engrossed - 31 - LRB104 04698 HLH 14725 b
the annual sale, shall deliver to the county clerk a notice to
be given to the party in whose name the taxes are last assessed
as shown by the most recent tax collector's warrant books, in
at least 10 point type in the following form completely filled
in:
TAKE NOTICE
County of ...........................................
Date Premises Sold or Forfeited .....................
Certificate No. .....................................
Sold for General Taxes of (year) ....................
Sold for Special Assessment of (Municipality)
and special assessment number .......................
Warrant No. ............... Inst. No. .................
THIS PROPERTY HAS BEEN SOLD AT A TAX SALE FOR
DELINQUENT TAXES
Property Address (as identified on the most recent tax bill,
if available) ....
Legal Description or Property Index No. ..........
..........
..............................
This notice is to advise you that, if you do not redeem by
paying your tax debt before the deadline, a petition may be
filed in court for a judicial tax deed auction and for a tax
deed which will transfer title and the right to possession of
the above-referenced property. If you are a homeowner, this
may eventually result in eviction from your home ("Property")

HB0799 Engrossed - 32 - LRB104 04698 HLH 14725 b
if redemption is not made on or before the redemption
deadline.
Your right to redeem will expire on .....................
To determine the redemption deadline and the total amount
you must pay to redeem the sold taxes, you must immediately
contact the County Clerk at the address, phone number, or
email address below. Check with the County Clerk for the exact
amount you owe before redeeming. Payment must be made by
certified check, cashier's check, money order, or in cash to
the County Clerk.
YOU ARE URGED TO REDEEM IMMEDIATELY TO
PREVENT LOSS OF PROPERTY AND ADDITIONAL COSTS
The longer you wait, the more expensive it will be to
redeem and prevent the loss of your property. Interest will
continue to accrue on the total amount owed until the property
is redeemed, and you may owe additional attorney's or filing
fees if the certificate holder chooses to pursue an order for a
judicial tax deed auction to compel the sale or transfer of the
deed to the property.
Property sold under the Property Tax Code may be redeemed
by any owner or person holding an interest in the Property at
any time before the following deadlines (based on property
classification as of the Date of Sale):
You must redeem your taxes within one year of the Date of
Sale for the following classifications:
(1) vacant non-farm property;

HB0799 Engrossed - 33 - LRB104 04698 HLH 14725 b
(2) property containing an improvement consisting of a
structure or structures with 7 or more residential units;
and
(3) commercial or industrial property.
You must redeem your taxes within 2 1/2 years and 6 months
of the Date of Sale for the following classifications:
(1) all residential property with less than 6 units;
and
(2) all other property not otherwise subject to a
longer covered by the 1-year redemption period under
Illinois law outlined above.
In counties with 3,000,000 or more inhabitants, occupied
residential property containing a structure or structures with
6 or fewer residential units may be redeemed within 3 years of
the Date of Sale and before the court orders the property sold
at judicial tax deed auction.
If the property is not redeemed and is later sold at
judicial tax deed auction, the owner may be entitled to any
surplus proceeds remaining after payment of the lawful amount
due and allowable costs.
Redemption deadlines may have been extended by the
certificate holder or pursuant to Illinois law. To confirm the
redemption deadline and amount needed to redeem, you must
contact the County Clerk at the address, telephone number, or
email address below. Redemption can be made at any time on or
before .... by applying to the County Clerk of .... County,

HB0799 Engrossed - 34 - LRB104 04698 HLH 14725 b
Illinois at the Office of the County Clerk in ...., Illinois.
The address, telephone number, and email address for the
County Clerk is as follows:
ADDRESS:............................
TELEPHONE AND/OR EMAIL ADDRESS:..........................
For further information about the redemption deadline,
redemption amount, or payment process, please contact the
County Clerk.
Housing Counselor Information: If you would like housing
counseling or assistance, you can contact the U.S. Department
of Housing and Urban Development for a list of homeownership
counselors or counseling organizations in your area.
In counties with 3,000,000 or more inhabitants, the
redemption notice shall contain a provision in Spanish,
Polish, and Mandarin Chinese stating that the redemption
notice affects important legal rights and should be translated
immediately.
Within 10 days after receipt of said notice, the county
clerk shall mail to the addresses supplied by the purchaser or
assignee, by registered or certified mail, copies of said
notice to the party in whose name the taxes are last assessed
as shown by the most recent tax collector's warrant books.
With the exception of a county or taxing district acquiring
certificates pursuant to Section 21-90 or Section 21-191 and

HB0799 Engrossed - 35 - LRB104 04698 HLH 14725 b
21-260, all purchasers or assignees shall pay to the clerk
postage plus the sum of $10. The clerk shall write or stamp the
date of receiving the notices upon the copies of the notices,
and retain one copy.
All With the exception of forfeited tax liens or
certificates held by the county pursuant to Section 21-90, all
redemption periods shall begin on the date of the tax sale. For
forfeited tax liens or certificates held by the county
pursuant to Section 21-90, the county may cure any defect in a
notice, or failure to send a notice as required by this
Section, by delivering to the county clerk a notice to be given
to the party in whose name the taxes are last assessed as shown
by the most recent tax collector's warrant books. The
redemption period begins on the date the county delivered the
corrected notice to the clerk, if such extension is otherwise
permitted by law.
The changes to this Section made by this amendatory Act of
the 97th General Assembly apply only to tax sales that occur on
or after the effective date of this amendatory Act of the 97th
General Assembly.
The changes made to this Section by this amendatory Act of
the 103rd General Assembly apply to matters concerning tax
certificates issued on or after the effective date of this
amendatory Act of the 103rd General Assembly.
(Source: P.A. 102-815, eff. 5-13-22; 103-555, eff. 1-1-24.)

HB0799 Engrossed - 36 - LRB104 04698 HLH 14725 b
(35 ILCS 200/22-10)
Sec. 22-10. Notice of expiration of period of redemption.
A purchaser or assignee shall not be entitled to request an
order for a judicial tax deed auction and a tax deed to the
property sold at an annual tax sale unless, not less than 3
months nor more than 6 months prior to the expiration of the
period of redemption, he or she gives notice of the sale as
provided below and the date of expiration of the period of
redemption to the owners, occupants, and interested parties
and parties interested in the property, including any
mortgagee of record, as well as the municipality in which the
subject property lies, or the county if the property lies
outside municipal corporate boundaries as provided below. For
counties or taxing districts holding certificates pursuant to
Section 21-90 or Section 21-191, the date of expiration of the
period of redemption shall be designated by the county or
taxing district in its petition for tax deed and identified in
the notice below, which shall be filed with the county clerk.
The Notice to be given to the parties shall be in at least
10-point type in the following form completely filled in:
TAX DEED NO. .................... FILED ....................
TAKE NOTICE
County of ...........................................
Date Premises Sold or Forfeited .....................
Certificate No. .....................................
Sold or Forfeited for General Taxes of (year) .......

HB0799 Engrossed - 37 - LRB104 04698 HLH 14725 b
Sold for Special Assessment of (Municipality)
and special assessment number .......................
Warrant No. ................ Inst. No. .................
THIS PROPERTY HAS BEEN SOLD AT A TAX SALE FOR
DELINQUENT TAXES
Property Address (as identified on the most recent tax bill,
if available) ....
Legal Description or Property Index No. ..........
..........
..............................
This notice is to advise you that the above property has
been sold for delinquent taxes at a tax sale and that the
period of redemption from the sale will expire on ......
......
Check with the county clerk as to the exact amount you owe
before redeeming.
This notice is also to advise you that a petition has been
filed in the Circuit Court seeking an order for judicial tax
deed auction and for a tax deed which will transfer title and
the right to possession of this property if redemption is not
made on or before .......................................
If you are a homeowner, this may eventually result in
eviction from your home.
This matter is set for hearing in the Circuit Court of this
county in ...., Illinois on .....
You may be present at this hearing but your right to redeem

HB0799 Engrossed - 38 - LRB104 04698 HLH 14725 b
may will already have expired at that time unless Illinois law
provides an additional redemption period. You may file a
response to the petition or attend the hearing and present
your case to the court. However, if you do not redeem at or
before the hearing, and if the court finds that the petitioner
has complied with all notice and other proper steps required
to seek an order for judicial tax deed auction, the court may
enter an order that your right to redeem has expired, all other
interested parties have been provided proper notice and their
interests have been resolved or extinguished, and the deed to
the property is to be offered for sale at a public auction.
If you are the current owner of the property, you may be
entitled to receive any surplus from the judicial tax deed
auction after the delinquent taxes and allowable costs are
paid. If there is a surplus, you will receive notice about how
to claim the funds.
If the property is subject to Section 21-191 of the
Property Tax Code and the county thereafter records a tax
deed, you shall have an automatic statutory right to redeem
the property for a period of 365 days after recording of the
tax deed.
YOU ARE URGED TO REDEEM IMMEDIATELY
TO PREVENT LOSS OF PROPERTY AND ADDITIONAL COSTS
Redemption can be made at any time on or before .... by
applying to the County Clerk of ...., County, Illinois at the
Office of the County Clerk in ...., Illinois.

HB0799 Engrossed - 39 - LRB104 04698 HLH 14725 b
For further information contact the County Clerk
ADDRESS:....................
TELEPHONE AND/OR EMAIL ADDRESS:..................
..........................
Purchaser or Assignee.
Dated (insert date).
Housing Counselor Information: If you would like housing
counseling or assistance, you can contact the U.S. Department
of Housing and Urban Development for a list of homeownership
counselors or counseling organizations in your area.
In counties with 3,000,000 or more inhabitants, the notice
shall contain a provision in Spanish, Polish, and Mandarin
Chinese stating that the notice affects important legal rights
and should be translated immediately. In counties with
3,000,000 or more inhabitants, the notice shall also state the
address, room number, and time at which the matter is set for
hearing.
The changes to this Section made by Public Act 97-557
apply only to matters in which a petition for tax deed is filed
on or after July 1, 2012 (the effective date of Public Act
97-557).
The changes to this Section made by Public Act 102-1003
apply to matters in which a petition for tax deed is filed on
or after May 27, 2022 (the effective date of Public Act

HB0799 Engrossed - 40 - LRB104 04698 HLH 14725 b
102-1003). Failure of any party or any public official to
comply with the changes made to this Section by Public Act
102-528 does not invalidate any tax deed issued prior to May
27, 2022 (the effective date of Public Act 102-1003).
The changes made to this Section by this amendatory Act of
the 103rd General Assembly apply to matters concerning tax
certificates issued on or after the effective date of this
amendatory Act of the 103rd General Assembly.
(Source: P.A. 102-528, eff. 1-1-22; 102-813, eff. 5-13-22;
102-1003, eff. 5-27-22; 103-154, eff. 6-30-23; 103-555, eff.
1-1-24.)
(35 ILCS 200/22-40)
Sec. 22-40. Issuance of order authorizing judicial tax
deed auction, confirmation and order for tax deed; possession.
(a) To obtain an order authorizing a judicial tax deed
auction and for issuance of tax deed, the petitioner must
provide sufficient evidence that:
(1) the redemption period has expired and the property
has not been redeemed;
(2) all taxes and special assessments which became due
and payable subsequent to the sale have been paid, unless
the county or its agent, as trustee pursuant to Section
21-90 or Section 21-191, is the petitioner;
(3) all forfeitures and sales which occur subsequent
to the sale are paid or redeemed, unless the county or its

HB0799 Engrossed - 41 - LRB104 04698 HLH 14725 b
agent, as trustee pursuant to Section 21-90 or Section
21-191, is the petitioner;
(4) the notices required by law have been given, and
all advancements of public funds under the police power
made by a county, city, village, or town under Section
22-35 have been paid; and
(5) the petitioner has complied with all the
provisions of law entitling him or her to a deed.
Upon receipt of sufficient evidence of the requirements
under this subsection (a), the court shall find that the
petitioner complied with those requirements and shall enter an
order authorizing a judicial tax deed auction or an order
authorizing issuance of a tax deed to a county trustee
pursuant to Section 21-90 or Section 21-191, subject to the
requirements of this Section, directing the county clerk, on
the production of the tax certificate and a certified copy of
the order, to issue to the purchaser or its assignee a tax
deed. The court shall insist on strict compliance with
Sections Section 22-10 through 22-25. Prior to the entry of an
order under this Section directing the issuance of a tax deed,
the petitioner shall furnish the court with a report of
proceedings of the evidence received on the application for
tax deed and the report of proceedings shall be filed and made
a part of the court record. The petitioner shall also furnish
to the court a statement of redemption from the county clerk
showing the total taxes, penalties, and costs that were

HB0799 Engrossed - 42 - LRB104 04698 HLH 14725 b
required to be paid to redeem the tax sale as specified in the
notice required under Section 22-10. The petitioner for tax
deed must file a statement of, if applicable, (i) all taxes it
has paid or redeemed for the property, (ii) the costs paid for
court reporter and transcript services in counties of
3,000,000 or more inhabitants, or, in counties with less than
3,000,000 inhabitants, a submission of a report of proceedings
to the court, (iii) the fees paid to the clerk for the estimate
of redemption, (iv) all payments made for municipal
advancements required by Section 22-35, and (v) costs
expressly permitted by this Code. The total of the amount
shown on the statement of redemption plus items (i) through
(v), or portion thereof, shall be identified as the tax deed
judgment amount. For certificates issued on or after July 1,
2026, the tax deed judgment amount shall include only
allowable costs as defined in Section 1-4. No prohibited cost
under Section 1-4 may be included for any purpose.
The purpose of the judicial tax deed auction shall be to
test the fair market value of the property before final
disposition by tax deed and to preserve any surplus proceeds
for lawful claimants.
If the petitioner is a county proceeding under Section
21-191 and a tax deed is issued to the county prior to auction,
the property shall nevertheless be offered at a judicial tax
deed auction within the time required by Section 21-191 if the
property is not redeemed.

HB0799 Engrossed - 43 - LRB104 04698 HLH 14725 b
No minimum bid shall include any fee, surcharge, or charge
imposed primarily to capitalize an indemnity fund, surplus
account, automation fund, registry, general revenue account,
or other governmental account.
The order for judicial tax deed auction shall include such
terms and conditions of the auction as specified by the court
and the report of proceedings shall be filed and made a part of
the court record.
(b) Except as provided in subsection (e) of this Section,
if taxes for years prior to the year or years sold are or
become delinquent subsequent to the date of sale, the court
shall find that the lien of those delinquent taxes has been or
will be merged into the tax deed grantee's title if the court
determines that the tax deed grantee or any prior holder of the
certificate of purchase, or any person or entity under common
ownership or control with any such grantee or prior holder of
the certificate of purchase, was at no time the holder of any
certificate of purchase for the years sought to be merged. If
delinquent taxes are merged into the tax deed pursuant to this
subsection, the court shall enter an order declaring which
specific taxes have been or will be merged into the tax deed
title and directing the county treasurer and county clerk to
reflect that declaration in the warrant and judgment records;
provided, that no such order shall be effective until a tax
deed has been issued and timely recorded. Nothing contained in
this Section shall relieve any owner liable for delinquent

HB0799 Engrossed - 44 - LRB104 04698 HLH 14725 b
property taxes under this Code from the payment of the taxes
that have been merged into the title upon issuance of the tax
deed.
(c) The county clerk is entitled to a fee of $10 in
counties of 3,000,000 or more inhabitants and $5 in counties
with less than 3,000,000 inhabitants for the issuance of the
tax deed, with the exception of deeds issued to the county
pursuant to its authority under Section 21-90 or Section
21-191. The clerk may not include in a tax deed more than one
property as listed, assessed and sold in one description,
except in cases where several properties are owned by one
person.
Upon application, the court shall enter an order to place
the tax deed grantee or the grantee's successor in interest in
possession of the property and may enter orders and grant
relief as may be necessary or desirable to maintain the
grantee or the grantee's successor in interest in possession.
(d) The court shall retain jurisdiction to enter orders
pursuant to subsections (b) and (c) of this Section. Public
Act 92-223 and Public Act 95-477 shall be construed as being
declarative of existing law and not as a new enactment.
(e) Prior to the issuance of any order for a judicial tax
deed auction under this Section, the petitioner must redeem
all taxes and special assessments on the property that are
delinquent after the date of its tax sale subject to a pending
tax petition filed by a county or its assignee pursuant to

HB0799 Engrossed - 45 - LRB104 04698 HLH 14725 b
Section 21-90 or Section 21-191.
(f) If, for any reason, a purchaser fails to obtain an
order for judicial tax deed auction or for tax deed within the
required time period and no sale in error was granted or
redemption paid, then the certificate shall be forfeited to
the county, as trustee, pursuant to Section 21-90.
(g) Except as provided in Section 21-191, upon entry of an
order requiring a judicial tax deed auction under subsection
(a) of this Section, the property shall be offered for sale by
public auction within 120 days after the date of the order and
sold to the highest bidder at such an auction in accordance
with Section 22-42 and subject to additional requirements set
by the court's order.
(Source: P.A. 103-555, eff. 1-1-24; 104-417, eff. 8-15-25.)
(35 ILCS 200/22-42 new)
Sec. 22-42. Judicial tax deed auction and procedures.
(a) Notice of tax deed auction. The sheriff or duly
appointed private selling officer shall give notice of the
auction with the following information:
(1) the Property Identification Number and address
listed on the most recent tax bill;
(2) the time and place of the auction including
whether the auction will take place online, in person, or
both, and the website where the online bidding may take
place, if applicable;

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(3) the terms of the auction; and
(4) the amount of the tax deed judgment amount
provided in Section 22-40.
The Notice of Tax Deed Auction shall be in clear and
concise language, together with a notice in Spanish, Polish,
and Mandarin Chinese stating that the notice affects important
legal rights and should be translated immediately. The Notice
of Tax Deed Auction shall be mailed via first-class mail to all
interested parties. The Notice of Tax Deed Auction shall be
mailed via first-class mail and certified mail to the owner of
the property, at the address at which service of the Section
22-10 Take Notice was attempted, and to any parties who have
appeared in the proceeding. The notice shall include a sworn
certificate of service signed by the party sending the notice
attesting to the fact that the notice of auction was placed in
the mail at least 10 calendar days prior to the date of the
auction.
The Notice of Tax Deed Auction shall be published in at
least 3 consecutive calendar weeks, once in each week. The
first such notice shall be published not more than 45 days
prior to the auction, and the last such notice shall be
published not less than 7 days prior to the auction. If the
property is located in a municipality in a county with less
than 3,000,000 inhabitants, the petitioner shall also publish
a notice in a newspaper published in the municipality and in
such other publications as may be further ordered by the

HB0799 Engrossed - 47 - LRB104 04698 HLH 14725 b
court. If the petitioner cannot identify a newspaper published
in the municipality, or if the property is located in a county
with 3,000,000 or more inhabitants, the notice shall be
published in a newspaper published within the county and in
such other publications as may be further ordered by the
court. If no newspaper is published in the county, then the
notice shall be published in the newspaper that is published
nearest the county seat of the county in which the property is
located and such other publications as may be further ordered
by the court. The publication shall include all information
included in the notice sent pursuant to this Section.
(b) Minimum bid. The selling officer shall start all
bidding with a minimum bid equal to the tax deed judgment
amount, plus only the cost for the publication of the judicial
sale required in this Section and the costs of the selling
officer. The selling officer shall proceed to a public
judicial tax deed auction, offer the real estate for sale, and
sell the real estate to the highest bidder. The highest bid at
the judicial tax deed auction shall constitute the fair market
value of the property for purposes of this Code. If no bidder
is willing to pay the minimum bid, the petitioner shall be the
winning bidder and be entitled to a tax deed, and it shall be
conclusively presumed that there is no surplus equity in the
property.
(c) Credit bid for petitioner. At the auction under this
Section, the person conducting the auction shall enter a bid

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in favor of the petitioner in the amount of the minimum bid set
forth above. Nothing in this Section shall be construed to
prevent the petitioner from bidding at the public auction.
However, if the petitioner is the winning bidder, the holder
must pay cash for the difference between the winning bid and
the minimum bid, plus any applicable costs or fees that may be
attached to the winning bid.
(d) Receipt upon judicial tax deed auction. Upon and at
the conclusion of the judicial tax deed auction, the person
conducting the auction shall give to the purchaser a receipt
of sale. The receipt shall describe the real estate purchased
and shall show the amount bid, the total amount paid to date,
and the amount still to be paid therefor. An additional
receipt shall be given at the time of each subsequent payment.
Any purchaser who fails to complete the sale for failure to
make full payment shall forfeit to the county any deposit
already made, and the court shall order a new auction of the
property.
(e) Certificate of Judicial Tax Deed Auction. Upon payment
in full of the amount bid, the sheriff or duly appointed
selling officer conducting the sale shall issue, in duplicate,
and give to the purchaser a certificate of judicial tax deed
auction. The certificate shall be in a recordable form,
describe the real estate purchased, indicate the date and
place of sale and show the amount paid therefor. The
certificate shall further indicate that it is subject to

HB0799 Engrossed - 49 - LRB104 04698 HLH 14725 b
confirmation by the court. The certificate shall be freely
assignable by endorsement thereon.
(f) Deposit of surplus funds. To the extent that the
winning bid exceeds the minimum bid, upon the expiration of 30
days following confirmation of the sale, the selling officer
shall deposit the surplus funds with the treasurer of the
county in which the subject property lies and provide the
treasurer with the parties and mailing addresses to which all
Take Notices were sent pursuant to Section 22-10.
(g) Confirmation of sale; order for issuance of tax deed.
(1) The sheriff or selling officer conducting the sale
shall promptly make a report to the court that issued the
order authorizing the judicial tax deed auction, which
report shall include a copy of all receipts and, if any,
certificate of judicial tax deed auction.
(2) Upon motion and notice in accordance with court
rules applicable to motions generally, which motion shall
not be made prior to sale, the court shall conduct a
hearing to confirm the sale. Unless the court finds that a
notice required in this Section was not issued or the sale
was not conducted in accordance with the order for
judicial tax deed auction, the court shall enter an order:
(A) confirming the judicial tax deed auction sale;
(B) directing the county clerk to issue a tax deed
in the name of the holder of the certificate of
judicial tax deed auction once presented with a

HB0799 Engrossed - 50 - LRB104 04698 HLH 14725 b
certified copy of the confirmation order and original
certificate of judicial tax deed auction; and
(C) directing the selling officer to pay to the
holder of the tax certificate the amount of the credit
bid upon surrender of the tax certificate, and to pay
the selling officer its fees.
(3) If the county is the holder of the tax certificate
for property sold at a judicial tax deed auction in
accordance with this Section, any proceeds of any such
sale shall be distributed to the taxing districts in
proportion to their respective interests therein.
Notwithstanding the preceding, any distribution to the
taxing districts shall be reduced by the costs expressly
authorized by this Code associated with the sale of the
property. Any surplus amount to be held by the county
treasurer and distributed to former owners in accordance
with this Section shall be excluded from distributions to
taxing districts.
(4) If any judicial tax deed auction sale fails to
comply with the requirements in this Section, any party
may, by motion supported by affidavit made prior to
confirmation of such sale, request that the court which
entered the judgment set aside the judicial tax deed
auction sale. Any such party shall guarantee or secure by
bond a bid equal to the successful bid at the judicial tax
deed auction. No guarantee or bond shall be required if

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the property is residential and the party seeking to set
aside the sale is the owner-occupant of the property at
the time the motion is filed. If the court denies
confirmation of the judicial tax deed auction sale, it
shall order a new judicial tax deed auction. Any
subsequent auction is subject to the same notice
requirement as the original auction.
(5) No sale under this Section shall be held invalid
or be set aside because of any immaterial or insignificant
defect in the notice thereof or in the publication of the
same, or in the proceedings of the officer conducting the
sale.
(h) Notice of surplus proceeds. Within 60 days following
the deposit of surplus funds with the treasurer of the county,
the treasurer shall send notice to all parties to which the
Section 22-10 Take Notice was sent, stating that the owner or
owners of the property at the time of the sale may submit a
claim for the surplus funds to the county treasurer or the
circuit court within 3 years of the date on the notice.
(i) Distribution of surplus proceeds. Upon receipt of a
claim for surplus proceeds, the county treasurer, being
satisfied of the facts in the case, shall distribute the
surplus proceeds to the proper claimant. When the county
treasurer is unable to determine the proper claimant, the
county treasurer shall file a motion with the circuit court
hearing the underlying tax case, requesting that the court

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determine whether an interested party is the owner of record
entitled to a disbursement of surplus proceeds. Within 30 days
following the filing of the motion, the court hearing the
underlying tax case shall set a hearing to determine whether
an interested party is the owner of record entitled to a
disbursement of surplus proceeds. All interested parties in
the underlying case shall be notified by the county treasurer.
Any party claiming to have an ownership interest in the parcel
at the time of the issuance of tax deed may present evidence of
ownership and request a disbursement of any or all surplus
proceeds. The court shall issue an order directing the
treasurer to disburse a specific amount of surplus proceeds to
specific parties, with sufficient personally identifiable
information to accurately identify the parties entitled to
disbursement.
(j) Disbursement hearing. Upon filing of a motion by a
party claiming to be the owner of the property at the time of
sale, within 30 days following the filing of the motion, the
court hearing the underlying tax case shall set a hearing to
determine whether an interested party is the owner entitled to
a disbursement of surplus proceeds. All interested parties in
the underlying case shall be notified by the movant. Any party
claiming to be the owner of the property at the time of sale
may present evidence of ownership and request a disbursement
of any or all surplus proceeds. The court shall issue an order
directing the treasurer to disburse a specific amount of

HB0799 Engrossed - 53 - LRB104 04698 HLH 14725 b
surplus proceeds to specific parties, with sufficient
personally identifiable information to accurately identify the
parties entitled to disbursement.
(k) Certain deductions prohibited. No maintenance cost,
administrative cost, overhead cost, or other prohibited cost
under Section 1-4 shall be deducted from surplus proceeds.
(l) Interest. Interest earned on surplus proceeds while
held by the county treasurer shall belong to the lawful
claimant and shall be paid with the principal amount of the
surplus proceeds.
(m) Disposition of unclaimed surplus funds. Surplus funds
that have not been claimed within 3 years following the date on
the county treasurer's notice shall be disposed of pursuant to
the Revised Uniform Unclaimed Property Act.
(35 ILCS 200/22-43 new)
Sec. 22-43. Segregated escrow account for surplus
proceeds.
(a) All surplus proceeds deposited with the county
treasurer under this Code shall be held in a segregated,
non-divertible escrow account.
(b) Moneys held in the escrow account shall not be
transferred, appropriated, borrowed, swept, pledged, invested,
or otherwise used for any county general fund, tort liability
fund, county investment program, or other governmental
purpose.

HB0799 Engrossed - 54 - LRB104 04698 HLH 14725 b
(c) Moneys held in the escrow account shall be used solely
for disbursement of surplus proceeds to lawful claimants as
authorized under this Code.
(d) The county treasurer shall maintain records of all
deposits, balances, notices, disbursements, and transfers to
unclaimed property.
(e) Records under this Section are public records subject
to the Freedom of Information Act, except to the extent
otherwise exempt under that Act.
(35 ILCS 200/22-65)
Sec. 22-65. Form of deed. A tax deed executed by the county
clerk under the official seal of the county shall be recorded
in the same manner as other conveyances of property, and vests
in the grantee, his or her heirs and assigns, the title of the
property therein described without further acknowledgment or
evidence of the conveyance. Tax deeds issued under this
Section shall not require a municipal transfer stamp or be
subject to any municipal real estate transfer taxes,
requirements, or certifications prior to recording. The
conveyance shall be substantially in the following form:
State of Illinois)
) ss.
County of .......)
At a judicial tax deed auction public sale of property for
the nonpayment of taxes, held in the county above stated, on

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(insert date), the following described property was sold:
(here place description of property conveyed). The property
not having been redeemed from the sale, and it appearing that
the holder of the certificate of purchase of the property has
complied with the laws of the State of Illinois necessary to
entitle the holder (insert him, her or them) to a deed of the
property: I ...., county clerk of the county of ...., in
consideration of the premises property and by virtue of the
statutes of the State of Illinois in such cases provided,
grant and convey to ...., his or her heirs and assigns forever,
the property described above.
Dated (insert date).
Signature of .................. County Clerk
Seal of County of ...., Illinois
(Source: P.A. 91-357, eff. 7-29-99.)
Section 95. Applicability. The changes made by this
amendatory Act apply only to tax certificates issued on or
after July 1, 2026. Nothing in this amendatory Act applies to
tax deeds issued before July 1, 2026, certificates issued
before July 1, 2026, or any claim arising from a tax sale or
tax deed occurring before July 1, 2026.
Section 97. Severability. The provisions of this Act are
severable under Section 1.31 of the Statute on Statutes.
Section 99. Effective date. This Act takes effect July 1,

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2026.