Illinois-2023-HB4185-Introduced

103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB4185

Introduced , by Rep. Diane Blair-Sherlock

SYNOPSIS AS INTRODUCED:

35 ILCS 200/15-168

Amends the Property Tax Code. Increases the amount of the homestead exemption for persons with disabilities from $2,000 to $4,000 beginning in tax year 2024. Effective immediately.

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A BILL FOR

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1 AN ACT concerning revenue.

2 Be it enacted by the People of the State of Illinois,

3 represented in the General Assembly:

4 Section 5. The Property Tax Code is amended by changing

5 Section 15-168 as follows:

6 (35 ILCS 200/15-168)

7 Sec. 15-168. Homestead exemption for persons with

8 disabilities.

9 (a) Beginning with taxable year 2007, an annual homestead

10 exemption is granted to persons with disabilities. The amount

11 of the exemption shall ~~in the amount of $2,000, except as~~

12 ~~provided in subsection (c), to~~ be deducted from the property's

13 value as equalized or assessed by the Department of Revenue.

14 Except as provided in subsection (c), the amount of the

15 exemption is (i) $2,000 for tax years prior to tax year 2024

16 and (ii) $4,000 for tax years 2024 and thereafter. The person

17 with a disability shall receive the homestead exemption upon

18 meeting the following requirements:

19 (1) The property must be occupied as the primary

20 residence by the person with a disability.

21 (2) The person with a disability must be liable for

22 paying the real estate taxes on the property.

23 (3) The person with a disability must be an owner of

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1 record of the property or have a legal or equitable

2 interest in the property as evidenced by a written

3 instrument. In the case of a leasehold interest in

4 property, the lease must be for a single family residence.

5 A person who has a disability during the taxable year is

6 eligible to apply for this homestead exemption during that

7 taxable year. Application must be made during the application

8 period in effect for the county of residence. If a homestead

9 exemption has been granted under this Section and the person

10 awarded the exemption subsequently becomes a resident of a

11 facility licensed under the Nursing Home Care Act, the

12 Specialized Mental Health Rehabilitation Act of 2013, the

13 ID/DD Community Care Act, or the MC/DD Act, then the exemption

14 shall continue (i) so long as the residence continues to be

15 occupied by the qualifying person's spouse or (ii) if the

16 residence remains unoccupied but is still owned by the person

17 qualified for the homestead exemption.

18 (b) For the purposes of this Section, "person with a

19 disability" means a person unable to engage in any substantial

20 gainful activity by reason of a medically determinable

21 physical or mental impairment which can be expected to result

22 in death or has lasted or can be expected to last for a

23 continuous period of not less than 12 months. Persons with

24 disabilities filing claims under this Act shall submit proof

25 of disability in such form and manner as the Department shall

26 by rule and regulation prescribe. Proof that a claimant is

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1 eligible to receive disability benefits under the Federal

2 Social Security Act shall constitute proof of disability for

3 purposes of this Act. Issuance of an Illinois Person with a

4 Disability Identification Card stating that the claimant is

5 under a Class 2 disability, as defined in Section 4A of the

6 Illinois Identification Card Act, shall constitute proof that

7 the person named thereon is a person with a disability for

8 purposes of this Act. A person with a disability not covered

9 under the Federal Social Security Act and not presenting an

10 Illinois Person with a Disability Identification Card stating

11 that the claimant is under a Class 2 disability shall be

12 examined by a physician, optometrist (if the person qualifies

13 because of a visual disability), advanced practice registered

14 nurse, or physician assistant designated by the Department,

15 and his status as a person with a disability determined using

16 the same standards as used by the Social Security

17 Administration. The costs of any required examination shall be

18 borne by the claimant.

19 (c) For land improved with (i) an apartment building owned

20 and operated as a cooperative or (ii) a life care facility as

21 defined under Section 2 of the Life Care Facilities Act that is

22 considered to be a cooperative, the maximum reduction from the

23 value of the property, as equalized or assessed by the

24 Department, shall be multiplied by the number of apartments or

25 units occupied by a person with a disability. The person with a

26 disability shall receive the homestead exemption upon meeting

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1 the following requirements:

2 (1) The property must be occupied as the primary

3 residence by the person with a disability.

4 (2) The person with a disability must be liable by

5 contract with the owner or owners of record for paying the

6 apportioned property taxes on the property of the

7 cooperative or life care facility. In the case of a life

8 care facility, the person with a disability must be liable

9 for paying the apportioned property taxes under a life

10 care contract as defined in Section 2 of the Life Care

11 Facilities Act.

12 (3) The person with a disability must be an owner of

13 record of a legal or equitable interest in the cooperative

14 apartment building. A leasehold interest does not meet

15 this requirement.

16 If a homestead exemption is granted under this subsection, the

17 cooperative association or management firm shall credit the

18 savings resulting from the exemption to the apportioned tax

19 liability of the qualifying person with a disability. The

20 chief county assessment officer may request reasonable proof

21 that the association or firm has properly credited the

22 exemption. A person who willfully refuses to credit an

23 exemption to the qualified person with a disability is guilty

24 of a Class B misdemeanor.

25 (d) The chief county assessment officer shall determine

26 the eligibility of property to receive the homestead exemption

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1 according to guidelines established by the Department. After a

2 person has received an exemption under this Section, an annual

3 verification of eligibility for the exemption shall be mailed

4 to the taxpayer.

5 In counties with fewer than 3,000,000 inhabitants, the

6 chief county assessment officer shall provide to each person

7 granted a homestead exemption under this Section a form to

8 designate any other person to receive a duplicate of any

9 notice of delinquency in the payment of taxes assessed and

10 levied under this Code on the person's qualifying property.

11 The duplicate notice shall be in addition to the notice

12 required to be provided to the person receiving the exemption

13 and shall be given in the manner required by this Code. The

14 person filing the request for the duplicate notice shall pay

15 an administrative fee of $5 to the chief county assessment

16 officer. The assessment officer shall then file the executed

17 designation with the county collector, who shall issue the

18 duplicate notices as indicated by the designation. A

19 designation may be rescinded by the person with a disability

20 in the manner required by the chief county assessment officer.

21 (d-5) Notwithstanding any other provision of law, each

22 chief county assessment officer may approve this exemption for

23 the 2020 taxable year, without application, for any property

24 that was approved for this exemption for the 2019 taxable

25 year, provided that:

26 (1) the county board has declared a local disaster as

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1 provided in the Illinois Emergency Management Agency Act

2 related to the COVID-19 public health emergency;

3 (2) the owner of record of the property as of January

4 1, 2020 is the same as the owner of record of the property

5 as of January 1, 2019;

6 (3) the exemption for the 2019 taxable year has not

7 been determined to be an erroneous exemption as defined by

8 this Code; and

9 (4) the applicant for the 2019 taxable year has not

10 asked for the exemption to be removed for the 2019 or 2020

11 taxable years.

12 (d-10) Notwithstanding any other provision of law, each

13 chief county assessment officer may approve this exemption for

14 the 2021 taxable year, without application, for any property

15 that was approved for this exemption for the 2020 taxable

16 year, if:

17 (1) the county board has declared a local disaster as

18 provided in the Illinois Emergency Management Agency Act

19 related to the COVID-19 public health emergency;

20 (2) the owner of record of the property as of January

21 1, 2021 is the same as the owner of record of the property

22 as of January 1, 2020;

23 (3) the exemption for the 2020 taxable year has not

24 been determined to be an erroneous exemption as defined by

25 this Code; and

26 (4) the taxpayer for the 2020 taxable year has not

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1 asked for the exemption to be removed for the 2020 or 2021

2 taxable years.

3 (d-15) For taxable years 2022 through 2027, in any county

4 of more than 3,000,000 residents, and in any other county

5 where the county board has authorized such action by ordinance

6 or resolution, a chief county assessment officer may renew

7 this exemption for any person who applied for the exemption

8 and presented proof of eligibility, as described in subsection

9 (b), without an annual application as required under

10 subsection (d). A chief county assessment officer shall not

11 automatically renew an exemption under this subsection if: the

12 physician, advanced practice registered nurse, optometrist, or

13 physician assistant who examined the claimant determined that

14 the disability is not expected to continue for 12 months or

15 more; the exemption has been deemed erroneous since the last

16 application; or the claimant has reported their ineligibility

17 to receive the exemption. A chief county assessment officer

18 who automatically renews an exemption under this subsection

19 shall notify a person of a subsequent determination not to

20 automatically renew that person's exemption and shall provide

21 that person with an application to renew the exemption.

22 (e) A taxpayer who claims an exemption under Section

23 15-165 or 15-169 may not claim an exemption under this

24 Section.

25 (Source: P.A. 102-136, eff. 7-23-21; 102-895, eff. 5-23-22;

26 103-154, eff. 6-30-23.)

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