Bill Text: IL HB1428 | 2023-2024 | 103rd General Assembly | Introduced


Bill Title: Amends the Property Tax Code. Provides that, for taxable years 2024 and thereafter, the term "maximum income limitation" for the low-income senior citizens assessment freeze homestead exemption means the greater of (i) $80,000 or (ii) $80,000 adjusted by certain increases in the consumer price index-u. Provides that the Department of Revenue shall, not later than January 31 of each calendar year, calculate, publish, and transmit to all county clerks and county treasurers the indexed maximum income limitation number. In provisions concerning the general homestead exemption, provides that, for taxable years 2024 and thereafter, the maximum reduction is $10,000 in all counties.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced) 2023-01-31 - Referred to Rules Committee [HB1428 Detail]

Download: Illinois-2023-HB1428-Introduced.html


103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB1428

Introduced , by Rep. Joe C. Sosnowski

SYNOPSIS AS INTRODUCED:
35 ILCS 200/15-172
35 ILCS 200/15-175

Amends the Property Tax Code. Provides that, for taxable years 2024 and thereafter, the term "maximum income limitation" for the low-income senior citizens assessment freeze homestead exemption means the greater of (i) $80,000 or (ii) $80,000 adjusted by certain increases in the consumer price index-u. Provides that the Department of Revenue shall, not later than January 31 of each calendar year, calculate, publish, and transmit to all county clerks and county treasurers the indexed maximum income limitation number. In provisions concerning the general homestead exemption, provides that, for taxable years 2024 and thereafter, the maximum reduction is $10,000 in all counties.
LRB103 25817 HLH 52168 b

A BILL FOR

HB1428LRB103 25817 HLH 52168 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
5Sections 15-172 and 15-175 as follows:
6 (35 ILCS 200/15-172)
7 Sec. 15-172. Low-Income Senior Citizens Assessment Freeze
8Homestead Exemption.
9 (a) This Section may be cited as the Low-Income Senior
10Citizens Assessment Freeze Homestead Exemption.
11 (b) As used in this Section:
12 "Applicant" means an individual who has filed an
13application under this Section.
14 "Base amount" means the base year equalized assessed value
15of the residence plus the first year's equalized assessed
16value of any added improvements which increased the assessed
17value of the residence after the base year.
18 "Base year" means the taxable year prior to the taxable
19year for which the applicant first qualifies and applies for
20the exemption provided that in the prior taxable year the
21property was improved with a permanent structure that was
22occupied as a residence by the applicant who was liable for
23paying real property taxes on the property and who was either

HB1428- 2 -LRB103 25817 HLH 52168 b
1(i) an owner of record of the property or had legal or
2equitable interest in the property as evidenced by a written
3instrument or (ii) had a legal or equitable interest as a
4lessee in the parcel of property that was single family
5residence. If in any subsequent taxable year for which the
6applicant applies and qualifies for the exemption the
7equalized assessed value of the residence is less than the
8equalized assessed value in the existing base year (provided
9that such equalized assessed value is not based on an assessed
10value that results from a temporary irregularity in the
11property that reduces the assessed value for one or more
12taxable years), then that subsequent taxable year shall become
13the base year until a new base year is established under the
14terms of this paragraph. For taxable year 1999 only, the Chief
15County Assessment Officer shall review (i) all taxable years
16for which the applicant applied and qualified for the
17exemption and (ii) the existing base year. The assessment
18officer shall select as the new base year the year with the
19lowest equalized assessed value. An equalized assessed value
20that is based on an assessed value that results from a
21temporary irregularity in the property that reduces the
22assessed value for one or more taxable years shall not be
23considered the lowest equalized assessed value. The selected
24year shall be the base year for taxable year 1999 and
25thereafter until a new base year is established under the
26terms of this paragraph.

HB1428- 3 -LRB103 25817 HLH 52168 b
1 "Chief County Assessment Officer" means the County
2Assessor or Supervisor of Assessments of the county in which
3the property is located.
4 "Consumer price index-u" means the index published by the
5Bureau of Labor Statistics of the United States Department of
6Labor that measures the average change in prices of goods and
7services purchased by all urban consumers, United States city
8average, all items, 1982-84 = 100.
9 "Equalized assessed value" means the assessed value as
10equalized by the Illinois Department of Revenue.
11 "Household" means the applicant, the spouse of the
12applicant, and all persons using the residence of the
13applicant as their principal place of residence.
14 "Household income" means the combined income of the
15members of a household for the calendar year preceding the
16taxable year.
17 "Income" has the same meaning as provided in Section 3.07
18of the Senior Citizens and Persons with Disabilities Property
19Tax Relief Act, except that, beginning in assessment year
202001, "income" does not include veteran's benefits.
21 "Internal Revenue Code of 1986" means the United States
22Internal Revenue Code of 1986 or any successor law or laws
23relating to federal income taxes in effect for the year
24preceding the taxable year.
25 "Life care facility that qualifies as a cooperative" means
26a facility as defined in Section 2 of the Life Care Facilities

HB1428- 4 -LRB103 25817 HLH 52168 b
1Act.
2 "Maximum income limitation" means:
3 (1) $35,000 prior to taxable year 1999;
4 (2) $40,000 in taxable years 1999 through 2003;
5 (3) $45,000 in taxable years 2004 through 2005;
6 (4) $50,000 in taxable years 2006 and 2007;
7 (5) $55,000 in taxable years 2008 through 2016;
8 (6) for taxable year 2017, (i) $65,000 for qualified
9 property located in a county with 3,000,000 or more
10 inhabitants and (ii) $55,000 for qualified property
11 located in a county with fewer than 3,000,000 inhabitants;
12 and
13 (7) for taxable years 2018 through 2023 and
14 thereafter, $65,000 for all qualified property; and .
15 (8) for taxable years 2024 and thereafter, the greater
16 of either (i) $80,000 or (ii) $80,000 multiplied by the
17 unadjusted percentage increase (but not less than zero) in
18 the consumer price index-u for the 12 months ending with
19 December preceding each January 1, including all previous
20 adjustments. The Department shall, by January 31, 2024 and
21 by January 31 of each calendar year thereafter, calculate,
22 publish, and transmit to all county clerks and county
23 treasurers the indexed maximum income limitation for the
24 applicable taxable year, as calculated under this
25 paragraph (8).
26 As an alternative income valuation, a homeowner who is

HB1428- 5 -LRB103 25817 HLH 52168 b
1enrolled in any of the following programs may be presumed to
2have household income that does not exceed the maximum income
3limitation for that tax year as required by this Section: Aid
4to the Aged, Blind or Disabled (AABD) Program or the
5Supplemental Nutrition Assistance Program (SNAP), both of
6which are administered by the Department of Human Services;
7the Low Income Home Energy Assistance Program (LIHEAP), which
8is administered by the Department of Commerce and Economic
9Opportunity; The Benefit Access program, which is administered
10by the Department on Aging; and the Senior Citizens Real
11Estate Tax Deferral Program.
12 A chief county assessment officer may indicate that he or
13she has verified an applicant's income eligibility for this
14exemption but may not report which program or programs, if
15any, enroll the applicant. Release of personal information
16submitted pursuant to this Section shall be deemed an
17unwarranted invasion of personal privacy under the Freedom of
18Information Act.
19 "Residence" means the principal dwelling place and
20appurtenant structures used for residential purposes in this
21State occupied on January 1 of the taxable year by a household
22and so much of the surrounding land, constituting the parcel
23upon which the dwelling place is situated, as is used for
24residential purposes. If the Chief County Assessment Officer
25has established a specific legal description for a portion of
26property constituting the residence, then that portion of

HB1428- 6 -LRB103 25817 HLH 52168 b
1property shall be deemed the residence for the purposes of
2this Section.
3 "Taxable year" means the calendar year during which ad
4valorem property taxes payable in the next succeeding year are
5levied.
6 (c) Beginning in taxable year 1994, a low-income senior
7citizens assessment freeze homestead exemption is granted for
8real property that is improved with a permanent structure that
9is occupied as a residence by an applicant who (i) is 65 years
10of age or older during the taxable year, (ii) has a household
11income that does not exceed the maximum income limitation,
12(iii) is liable for paying real property taxes on the
13property, and (iv) is an owner of record of the property or has
14a legal or equitable interest in the property as evidenced by a
15written instrument. This homestead exemption shall also apply
16to a leasehold interest in a parcel of property improved with a
17permanent structure that is a single family residence that is
18occupied as a residence by a person who (i) is 65 years of age
19or older during the taxable year, (ii) has a household income
20that does not exceed the maximum income limitation, (iii) has
21a legal or equitable ownership interest in the property as
22lessee, and (iv) is liable for the payment of real property
23taxes on that property.
24 In counties of 3,000,000 or more inhabitants, the amount
25of the exemption for all taxable years is the equalized
26assessed value of the residence in the taxable year for which

HB1428- 7 -LRB103 25817 HLH 52168 b
1application is made minus the base amount. In all other
2counties, the amount of the exemption is as follows: (i)
3through taxable year 2005 and for taxable year 2007 and
4thereafter, the amount of this exemption shall be the
5equalized assessed value of the residence in the taxable year
6for which application is made minus the base amount; and (ii)
7for taxable year 2006, the amount of the exemption is as
8follows:
9 (1) For an applicant who has a household income of
10 $45,000 or less, the amount of the exemption is the
11 equalized assessed value of the residence in the taxable
12 year for which application is made minus the base amount.
13 (2) For an applicant who has a household income
14 exceeding $45,000 but not exceeding $46,250, the amount of
15 the exemption is (i) the equalized assessed value of the
16 residence in the taxable year for which application is
17 made minus the base amount (ii) multiplied by 0.8.
18 (3) For an applicant who has a household income
19 exceeding $46,250 but not exceeding $47,500, the amount of
20 the exemption is (i) the equalized assessed value of the
21 residence in the taxable year for which application is
22 made minus the base amount (ii) multiplied by 0.6.
23 (4) For an applicant who has a household income
24 exceeding $47,500 but not exceeding $48,750, the amount of
25 the exemption is (i) the equalized assessed value of the
26 residence in the taxable year for which application is

HB1428- 8 -LRB103 25817 HLH 52168 b
1 made minus the base amount (ii) multiplied by 0.4.
2 (5) For an applicant who has a household income
3 exceeding $48,750 but not exceeding $50,000, the amount of
4 the exemption is (i) the equalized assessed value of the
5 residence in the taxable year for which application is
6 made minus the base amount (ii) multiplied by 0.2.
7 When the applicant is a surviving spouse of an applicant
8for a prior year for the same residence for which an exemption
9under this Section has been granted, the base year and base
10amount for that residence are the same as for the applicant for
11the prior year.
12 Each year at the time the assessment books are certified
13to the County Clerk, the Board of Review or Board of Appeals
14shall give to the County Clerk a list of the assessed values of
15improvements on each parcel qualifying for this exemption that
16were added after the base year for this parcel and that
17increased the assessed value of the property.
18 In the case of land improved with an apartment building
19owned and operated as a cooperative or a building that is a
20life care facility that qualifies as a cooperative, the
21maximum reduction from the equalized assessed value of the
22property is limited to the sum of the reductions calculated
23for each unit occupied as a residence by a person or persons
24(i) 65 years of age or older, (ii) with a household income that
25does not exceed the maximum income limitation, (iii) who is
26liable, by contract with the owner or owners of record, for

HB1428- 9 -LRB103 25817 HLH 52168 b
1paying real property taxes on the property, and (iv) who is an
2owner of record of a legal or equitable interest in the
3cooperative apartment building, other than a leasehold
4interest. In the instance of a cooperative where a homestead
5exemption has been granted under this Section, the cooperative
6association or its management firm shall credit the savings
7resulting from that exemption only to the apportioned tax
8liability of the owner who qualified for the exemption. Any
9person who willfully refuses to credit that savings to an
10owner who qualifies for the exemption is guilty of a Class B
11misdemeanor.
12 When a homestead exemption has been granted under this
13Section and an applicant then becomes a resident of a facility
14licensed under the Assisted Living and Shared Housing Act, the
15Nursing Home Care Act, the Specialized Mental Health
16Rehabilitation Act of 2013, the ID/DD Community Care Act, or
17the MC/DD Act, the exemption shall be granted in subsequent
18years so long as the residence (i) continues to be occupied by
19the qualified applicant's spouse or (ii) if remaining
20unoccupied, is still owned by the qualified applicant for the
21homestead exemption.
22 Beginning January 1, 1997, when an individual dies who
23would have qualified for an exemption under this Section, and
24the surviving spouse does not independently qualify for this
25exemption because of age, the exemption under this Section
26shall be granted to the surviving spouse for the taxable year

HB1428- 10 -LRB103 25817 HLH 52168 b
1preceding and the taxable year of the death, provided that,
2except for age, the surviving spouse meets all other
3qualifications for the granting of this exemption for those
4years.
5 When married persons maintain separate residences, the
6exemption provided for in this Section may be claimed by only
7one of such persons and for only one residence.
8 For taxable year 1994 only, in counties having less than
93,000,000 inhabitants, to receive the exemption, a person
10shall submit an application by February 15, 1995 to the Chief
11County Assessment Officer of the county in which the property
12is located. In counties having 3,000,000 or more inhabitants,
13for taxable year 1994 and all subsequent taxable years, to
14receive the exemption, a person may submit an application to
15the Chief County Assessment Officer of the county in which the
16property is located during such period as may be specified by
17the Chief County Assessment Officer. The Chief County
18Assessment Officer in counties of 3,000,000 or more
19inhabitants shall annually give notice of the application
20period by mail or by publication. In counties having less than
213,000,000 inhabitants, beginning with taxable year 1995 and
22thereafter, to receive the exemption, a person shall submit an
23application by July 1 of each taxable year to the Chief County
24Assessment Officer of the county in which the property is
25located. A county may, by ordinance, establish a date for
26submission of applications that is different than July 1. The

HB1428- 11 -LRB103 25817 HLH 52168 b
1applicant shall submit with the application an affidavit of
2the applicant's total household income, age, marital status
3(and if married the name and address of the applicant's
4spouse, if known), and principal dwelling place of members of
5the household on January 1 of the taxable year. The Department
6shall establish, by rule, a method for verifying the accuracy
7of affidavits filed by applicants under this Section, and the
8Chief County Assessment Officer may conduct audits of any
9taxpayer claiming an exemption under this Section to verify
10that the taxpayer is eligible to receive the exemption. Each
11application shall contain or be verified by a written
12declaration that it is made under the penalties of perjury. A
13taxpayer's signing a fraudulent application under this Act is
14perjury, as defined in Section 32-2 of the Criminal Code of
152012. The applications shall be clearly marked as applications
16for the Low-Income Senior Citizens Assessment Freeze Homestead
17Exemption and must contain a notice that any taxpayer who
18receives the exemption is subject to an audit by the Chief
19County Assessment Officer.
20 Notwithstanding any other provision to the contrary, in
21counties having fewer than 3,000,000 inhabitants, if an
22applicant fails to file the application required by this
23Section in a timely manner and this failure to file is due to a
24mental or physical condition sufficiently severe so as to
25render the applicant incapable of filing the application in a
26timely manner, the Chief County Assessment Officer may extend

HB1428- 12 -LRB103 25817 HLH 52168 b
1the filing deadline for a period of 30 days after the applicant
2regains the capability to file the application, but in no case
3may the filing deadline be extended beyond 3 months of the
4original filing deadline. In order to receive the extension
5provided in this paragraph, the applicant shall provide the
6Chief County Assessment Officer with a signed statement from
7the applicant's physician, advanced practice registered nurse,
8or physician assistant stating the nature and extent of the
9condition, that, in the physician's, advanced practice
10registered nurse's, or physician assistant's opinion, the
11condition was so severe that it rendered the applicant
12incapable of filing the application in a timely manner, and
13the date on which the applicant regained the capability to
14file the application.
15 Beginning January 1, 1998, notwithstanding any other
16provision to the contrary, in counties having fewer than
173,000,000 inhabitants, if an applicant fails to file the
18application required by this Section in a timely manner and
19this failure to file is due to a mental or physical condition
20sufficiently severe so as to render the applicant incapable of
21filing the application in a timely manner, the Chief County
22Assessment Officer may extend the filing deadline for a period
23of 3 months. In order to receive the extension provided in this
24paragraph, the applicant shall provide the Chief County
25Assessment Officer with a signed statement from the
26applicant's physician, advanced practice registered nurse, or

HB1428- 13 -LRB103 25817 HLH 52168 b
1physician assistant stating the nature and extent of the
2condition, and that, in the physician's, advanced practice
3registered nurse's, or physician assistant's opinion, the
4condition was so severe that it rendered the applicant
5incapable of filing the application in a timely manner.
6 In counties having less than 3,000,000 inhabitants, if an
7applicant was denied an exemption in taxable year 1994 and the
8denial occurred due to an error on the part of an assessment
9official, or his or her agent or employee, then beginning in
10taxable year 1997 the applicant's base year, for purposes of
11determining the amount of the exemption, shall be 1993 rather
12than 1994. In addition, in taxable year 1997, the applicant's
13exemption shall also include an amount equal to (i) the amount
14of any exemption denied to the applicant in taxable year 1995
15as a result of using 1994, rather than 1993, as the base year,
16(ii) the amount of any exemption denied to the applicant in
17taxable year 1996 as a result of using 1994, rather than 1993,
18as the base year, and (iii) the amount of the exemption
19erroneously denied for taxable year 1994.
20 For purposes of this Section, a person who will be 65 years
21of age during the current taxable year shall be eligible to
22apply for the homestead exemption during that taxable year.
23Application shall be made during the application period in
24effect for the county of his or her residence.
25 The Chief County Assessment Officer may determine the
26eligibility of a life care facility that qualifies as a

HB1428- 14 -LRB103 25817 HLH 52168 b
1cooperative to receive the benefits provided by this Section
2by use of an affidavit, application, visual inspection,
3questionnaire, or other reasonable method in order to insure
4that the tax savings resulting from the exemption are credited
5by the management firm to the apportioned tax liability of
6each qualifying resident. The Chief County Assessment Officer
7may request reasonable proof that the management firm has so
8credited that exemption.
9 Except as provided in this Section, all information
10received by the chief county assessment officer or the
11Department from applications filed under this Section, or from
12any investigation conducted under the provisions of this
13Section, shall be confidential, except for official purposes
14or pursuant to official procedures for collection of any State
15or local tax or enforcement of any civil or criminal penalty or
16sanction imposed by this Act or by any statute or ordinance
17imposing a State or local tax. Any person who divulges any such
18information in any manner, except in accordance with a proper
19judicial order, is guilty of a Class A misdemeanor.
20 Nothing contained in this Section shall prevent the
21Director or chief county assessment officer from publishing or
22making available reasonable statistics concerning the
23operation of the exemption contained in this Section in which
24the contents of claims are grouped into aggregates in such a
25way that information contained in any individual claim shall
26not be disclosed.

HB1428- 15 -LRB103 25817 HLH 52168 b
1 Notwithstanding any other provision of law, for taxable
2year 2017 and thereafter, in counties of 3,000,000 or more
3inhabitants, the amount of the exemption shall be the greater
4of (i) the amount of the exemption otherwise calculated under
5this Section or (ii) $2,000.
6 (c-5) Notwithstanding any other provision of law, each
7chief county assessment officer may approve this exemption for
8the 2020 taxable year, without application, for any property
9that was approved for this exemption for the 2019 taxable
10year, provided that:
11 (1) the county board has declared a local disaster as
12 provided in the Illinois Emergency Management Agency Act
13 related to the COVID-19 public health emergency;
14 (2) the owner of record of the property as of January
15 1, 2020 is the same as the owner of record of the property
16 as of January 1, 2019;
17 (3) the exemption for the 2019 taxable year has not
18 been determined to be an erroneous exemption as defined by
19 this Code; and
20 (4) the applicant for the 2019 taxable year has not
21 asked for the exemption to be removed for the 2019 or 2020
22 taxable years.
23 Nothing in this subsection shall preclude or impair the
24authority of a chief county assessment officer to conduct
25audits of any taxpayer claiming an exemption under this
26Section to verify that the taxpayer is eligible to receive the

HB1428- 16 -LRB103 25817 HLH 52168 b
1exemption as provided elsewhere in this Section.
2 (c-10) Notwithstanding any other provision of law, each
3chief county assessment officer may approve this exemption for
4the 2021 taxable year, without application, for any property
5that was approved for this exemption for the 2020 taxable
6year, if:
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, 2021 is the same as the owner of record of the property
12 as of January 1, 2020;
13 (3) the exemption for the 2020 taxable year has not
14 been determined to be an erroneous exemption as defined by
15 this Code; and
16 (4) the taxpayer for the 2020 taxable year has not
17 asked for the exemption to be removed for the 2020 or 2021
18 taxable years.
19 Nothing in this subsection shall preclude or impair the
20authority of a chief county assessment officer to conduct
21audits of any taxpayer claiming an exemption under this
22Section to verify that the taxpayer is eligible to receive the
23exemption as provided elsewhere in this Section.
24 (d) Each Chief County Assessment Officer shall annually
25publish a notice of availability of the exemption provided
26under this Section. The notice shall be published at least 60

HB1428- 17 -LRB103 25817 HLH 52168 b
1days but no more than 75 days prior to the date on which the
2application must be submitted to the Chief County Assessment
3Officer of the county in which the property is located. The
4notice shall appear in a newspaper of general circulation in
5the county.
6 Notwithstanding Sections 6 and 8 of the State Mandates
7Act, no reimbursement by the State is required for the
8implementation of any mandate created by this Section.
9(Source: P.A. 101-635, eff. 6-5-20; 102-136, eff. 7-23-21;
10102-895, eff. 5-23-22.)
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,
14homestead property is entitled to an annual homestead
15exemption limited, except as described here with relation to
16cooperatives or life care facilities, to a reduction in the
17equalized assessed value of homestead property equal to the
18increase in equalized assessed value for the current
19assessment year above the equalized assessed value of the
20property for 1977, up to the maximum reduction set forth
21below. If however, the 1977 equalized assessed value upon
22which taxes were paid is subsequently determined by local
23assessing officials, the Property Tax Appeal Board, or a court
24to have been excessive, the equalized assessed value which
25should have been placed on the property for 1977 shall be used

HB1428- 18 -LRB103 25817 HLH 52168 b
1to determine the amount of the exemption.
2 (b) Except as provided in Section 15-176, the maximum
3reduction before taxable year 2004 shall be $4,500 in counties
4with 3,000,000 or more inhabitants and $3,500 in all other
5counties. Except as provided in Sections 15-176 and 15-177,
6for taxable years 2004 through 2007, the maximum reduction
7shall be $5,000, for taxable year 2008, the maximum reduction
8is $5,500, and, for taxable years 2009 through 2011, the
9maximum reduction is $6,000 in all counties. For taxable years
102012 through 2016, the maximum reduction is $7,000 in counties
11with 3,000,000 or more inhabitants and $6,000 in all other
12counties. For taxable years 2017 through 2022, the maximum
13reduction is $10,000 in counties with 3,000,000 or more
14inhabitants and $6,000 in all other counties. For taxable year
15years 2023 and thereafter, the maximum reduction is $10,000 in
16counties with 3,000,000 or more inhabitants, $8,000 in
17counties that are contiguous to a county of 3,000,000 or more
18inhabitants, and $6,000 in all other counties. For taxable
19years 2024 and thereafter, the maximum reduction is $10,000 in
20all counties. If a county has elected to subject itself to the
21provisions of Section 15-176 as provided in subsection (k) of
22that Section, then, for the first taxable year only after the
23provisions of Section 15-176 no longer apply, for owners who,
24for the taxable year, have not been granted a senior citizens
25assessment freeze homestead exemption under Section 15-172 or
26a long-time occupant homestead exemption under Section 15-177,

HB1428- 19 -LRB103 25817 HLH 52168 b
1there shall be an additional exemption of $5,000 for owners
2with a household income of $30,000 or less.
3 (c) In counties with fewer than 3,000,000 inhabitants, if,
4based on the most recent assessment, the equalized assessed
5value of the homestead property for the current assessment
6year is greater than the equalized assessed value of the
7property for 1977, the owner of the property shall
8automatically receive the exemption granted under this Section
9in an amount equal to the increase over the 1977 assessment up
10to the maximum reduction set forth in this Section.
11 (d) If in any assessment year beginning with the 2000
12assessment year, homestead property has a pro-rata valuation
13under Section 9-180 resulting in an increase in the assessed
14valuation, a reduction in equalized assessed valuation equal
15to the increase in equalized assessed value of the property
16for the year of the pro-rata valuation above the equalized
17assessed value of the property for 1977 shall be applied to the
18property on a proportionate basis for the period the property
19qualified as homestead property during the assessment year.
20The maximum proportionate homestead exemption shall not exceed
21the maximum homestead exemption allowed in the county under
22this Section divided by 365 and multiplied by the number of
23days the property qualified as homestead property.
24 (d-1) In counties with 3,000,000 or more inhabitants,
25where the chief county assessment officer provides a notice of
26discovery, if a property is not occupied by its owner as a

HB1428- 20 -LRB103 25817 HLH 52168 b
1principal residence as of January 1 of the current tax year,
2then the property owner shall notify the chief county
3assessment officer of that fact on a form prescribed by the
4chief county assessment officer. That notice must be received
5by the chief county assessment officer on or before March 1 of
6the collection year. If mailed, the form shall be sent by
7certified mail, return receipt requested. If the form is
8provided in person, the chief county assessment officer shall
9provide a date stamped copy of the notice. Failure to provide
10timely notice pursuant to this subsection (d-1) shall result
11in the exemption being treated as an erroneous exemption. Upon
12timely receipt of the notice for the current tax year, no
13exemption shall be applied to the property for the current tax
14year. If the exemption is not removed upon timely receipt of
15the notice by the chief assessment officer, then the error is
16considered granted as a result of a clerical error or omission
17on the part of the chief county assessment officer as
18described in subsection (h) of Section 9-275, and the property
19owner shall not be liable for the payment of interest and
20penalties due to the erroneous exemption for the current tax
21year for which the notice was filed after the date that notice
22was timely received pursuant to this subsection. Notice
23provided under this subsection shall not constitute a defense
24or amnesty for prior year erroneous exemptions.
25 For the purposes of this subsection (d-1):
26 "Collection year" means the year in which the first and

HB1428- 21 -LRB103 25817 HLH 52168 b
1second installment of the current tax year is billed.
2 "Current tax year" means the year prior to the collection
3year.
4 (e) The chief county assessment officer may, when
5considering whether to grant a leasehold exemption under this
6Section, require the following conditions to be met:
7 (1) that a notarized application for the exemption,
8 signed by both the owner and the lessee of the property,
9 must be submitted each year during the application period
10 in effect for the county in which the property is located;
11 (2) that a copy of the lease must be filed with the
12 chief county assessment officer by the owner of the
13 property at the time the notarized application is
14 submitted;
15 (3) that the lease must expressly state that the
16 lessee is liable for the payment of property taxes; and
17 (4) that the lease must include the following language
18 in substantially the following form:
19 "Lessee shall be liable for the payment of real
20 estate taxes with respect to the residence in
21 accordance with the terms and conditions of Section
22 15-175 of the Property Tax Code (35 ILCS 200/15-175).
23 The permanent real estate index number for the
24 premises is (insert number), and, according to the
25 most recent property tax bill, the current amount of
26 real estate taxes associated with the premises is

HB1428- 22 -LRB103 25817 HLH 52168 b
1 (insert amount) per year. The parties agree that the
2 monthly rent set forth above shall be increased or
3 decreased pro rata (effective January 1 of each
4 calendar year) to reflect any increase or decrease in
5 real estate taxes. Lessee shall be deemed to be
6 satisfying Lessee's liability for the above mentioned
7 real estate taxes with the monthly rent payments as
8 set forth above (or increased or decreased as set
9 forth herein).".
10 In addition, if there is a change in lessee, or if the
11lessee vacates the property, then the chief county assessment
12officer may require the owner of the property to notify the
13chief county assessment officer of that change.
14 This subsection (e) does not apply to leasehold interests
15in property owned by a municipality.
16 (f) "Homestead property" under this Section includes
17residential property that is occupied by its owner or owners
18as his or their principal dwelling place, or that is a
19leasehold interest on which a single family residence is
20situated, which is occupied as a residence by a person who has
21an ownership interest therein, legal or equitable or as a
22lessee, and on which the person is liable for the payment of
23property taxes. For land improved with an apartment building
24owned and operated as a cooperative, the maximum reduction
25from the equalized assessed value shall be limited to the
26increase in the value above the equalized assessed value of

HB1428- 23 -LRB103 25817 HLH 52168 b
1the property for 1977, up to the maximum reduction set forth
2above, multiplied by the number of apartments or units
3occupied by a person or persons who is liable, by contract with
4the owner or owners of record, for paying property taxes on the
5property and is an owner of record of a legal or equitable
6interest in the cooperative apartment building, other than a
7leasehold interest. For land improved with a life care
8facility, the maximum reduction from the value of the
9property, as equalized by the Department, shall be multiplied
10by the number of apartments or units occupied by a person or
11persons, irrespective of any legal, equitable, or leasehold
12interest in the facility, who are liable, under a life care
13contract with the owner or owners of record of the facility,
14for paying property taxes on the property. For purposes of
15this Section, the term "life care facility" has the meaning
16stated in Section 15-170.
17 "Household", as used in this Section, means the owner, the
18spouse of the owner, and all persons using the residence of the
19owner as their principal place of residence.
20 "Household income", as used in this Section, means the
21combined income of the members of a household for the calendar
22year preceding the taxable year.
23 "Income", as used in this Section, has the same meaning as
24provided in Section 3.07 of the Senior Citizens and Persons
25with Disabilities Property Tax Relief Act, except that
26"income" does not include veteran's benefits.

HB1428- 24 -LRB103 25817 HLH 52168 b
1 (g) In a cooperative or life care facility where a
2homestead exemption has been granted, the cooperative
3association or the management of the cooperative or life care
4facility shall credit the savings resulting from that
5exemption only to the apportioned tax liability of the owner
6or resident who qualified for the exemption. Any person who
7willfully refuses to so credit the savings shall be guilty of a
8Class B misdemeanor.
9 (h) Where married persons maintain and reside in separate
10residences qualifying as homestead property, each residence
11shall receive 50% of the total reduction in equalized assessed
12valuation provided by this Section.
13 (i) In all counties, the assessor or chief county
14assessment officer may determine the eligibility of
15residential property to receive the homestead exemption and
16the amount of the exemption by application, visual inspection,
17questionnaire or other reasonable methods. The determination
18shall be made in accordance with guidelines established by the
19Department, provided that the taxpayer applying for an
20additional general exemption under this Section shall submit
21to the chief county assessment officer an application with an
22affidavit of the applicant's total household income, age,
23marital status (and, if married, the name and address of the
24applicant's spouse, if known), and principal dwelling place of
25members of the household on January 1 of the taxable year. The
26Department shall issue guidelines establishing a method for

HB1428- 25 -LRB103 25817 HLH 52168 b
1verifying the accuracy of the affidavits filed by applicants
2under this paragraph. The applications shall be clearly marked
3as applications for the Additional General Homestead
4Exemption.
5 (i-5) This subsection (i-5) applies to counties with
63,000,000 or more inhabitants. In the event of a sale of
7homestead property, the homestead exemption shall remain in
8effect for the remainder of the assessment year of the sale.
9Upon receipt of a transfer declaration transmitted by the
10recorder pursuant to Section 31-30 of the Real Estate Transfer
11Tax Law for property receiving an exemption under this
12Section, the assessor shall mail a notice and forms to the new
13owner of the property providing information pertaining to the
14rules and applicable filing periods for applying or reapplying
15for homestead exemptions under this Code for which the
16property may be eligible. If the new owner fails to apply or
17reapply for a homestead exemption during the applicable filing
18period or the property no longer qualifies for an existing
19homestead exemption, the assessor shall cancel such exemption
20for any ensuing assessment year.
21 (j) In counties with fewer than 3,000,000 inhabitants, in
22the event of a sale of homestead property the homestead
23exemption shall remain in effect for the remainder of the
24assessment year of the sale. The assessor or chief county
25assessment officer may require the new owner of the property
26to apply for the homestead exemption for the following

HB1428- 26 -LRB103 25817 HLH 52168 b
1assessment year.
2 (k) Notwithstanding Sections 6 and 8 of the State Mandates
3Act, no reimbursement by the State is required for the
4implementation of any mandate created by this Section.
5 (l) The changes made to this Section by this amendatory
6Act of the 100th General Assembly are effective for the 2018
7tax year and thereafter.
8(Source: P.A. 102-895, eff. 5-23-22.)
feedback