Bill Text: IL HB4239 | 2011-2012 | 97th General Assembly | Engrossed

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Amends the Property Tax Code. Makes a technical change in a Section concerning the definition of "taxing district".

Sponsorship: Partisan Bill (Democrat 2)

Status: (Passed) 2012-08-28 - Public Act . . . . . . . . . 97-1125 [HB4239 Detail]

Download: Illinois-2011-HB4239-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 15-175 and 21-205 as follows:
(35 ILCS 200/15-175)
Sec. 15-175. General homestead exemption.
(a) Except as provided in Sections 15-176 and 15-177,
homestead property is entitled to an annual homestead exemption
limited, except as described here with relation to
cooperatives, to a reduction in the equalized assessed value of
homestead property equal to the increase in equalized assessed
value for the current assessment year above the equalized
assessed value of the property for 1977, up to the maximum
reduction set forth below. If however, the 1977 equalized
assessed value upon which taxes were paid is subsequently
determined by local assessing officials, the Property Tax
Appeal Board, or a court to have been excessive, the equalized
assessed value which should have been placed on the property
for 1977 shall be used to determine the amount of the
exemption.
(b) Except as provided in Section 15-176, the maximum
reduction before taxable year 2004 shall be $4,500 in counties

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with 3,000,000 or more inhabitants and $3,500 in all other
counties. Except as provided in Sections 15-176 and 15-177, for
taxable years 2004 through 2007, the maximum reduction shall be
$5,000, for taxable year 2008, the maximum reduction is $5,500,
and, for taxable years 2009 and thereafter, the maximum
reduction is $6,000 in all counties. If a county has elected to
subject itself to the provisions of Section 15-176 as provided
in subsection (k) of that Section, then, for the first taxable
year only after the provisions of Section 15-176 no longer
apply, for owners who, for the taxable year, have not been
granted a senior citizens assessment freeze homestead
exemption under Section 15-172 or a long-time occupant
homestead exemption under Section 15-177, there shall be an
additional exemption of $5,000 for owners with a household
income of $30,000 or less.
(c) In counties with fewer than 3,000,000 inhabitants, if,
based on the most recent assessment, the equalized assessed
value of the homestead property for the current assessment year
is greater than the equalized assessed value of the property
for 1977, the owner of the property shall automatically receive
the exemption granted under this Section in an amount equal to
the increase over the 1977 assessment up to the maximum
reduction set forth in this Section.
(d) If in any assessment year beginning with the 2000
assessment year, homestead property has a pro-rata valuation
under Section 9-180 resulting in an increase in the assessed

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valuation, a reduction in equalized assessed valuation equal to
the increase in equalized assessed value of the property for
the year of the pro-rata valuation above the equalized assessed
value of the property for 1977 shall be applied to the property
on a proportionate basis for the period the property qualified
as homestead property during the assessment year. The maximum
proportionate homestead exemption shall not exceed the maximum
homestead exemption allowed in the county under this Section
divided by 365 and multiplied by the number of days the
property qualified as homestead property.
(e) The chief county assessment officer may, when
considering whether to grant a leasehold exemption under this
Section, require the following conditions to be met:
(1) that a notarized application for the exemption,
signed by both the owner and the lessee of the property,
must be submitted each year during the application period
in effect for the county in which the property is located;
(2) that a copy of the lease must be filed with the
chief county assessment officer by the owner of the
property at the time the notarized application is
submitted;
(3) that the lease must expressly state that the lessee
is liable for the payment of property taxes; and
(4) that the lease must include the following language
in substantially the following form:
"Lessee shall be liable for the payment of real

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estate taxes with respect to the residence in
accordance with the terms and conditions of 35 ILCS
200/15-175. The permanent real estate index number for
the premises is (insert number), and, according to the
most recent property tax bill, the current amount of
real estate taxes associated with the premises is
(insert amount) per year. The parties agree that the
monthly rent set forth above shall be increased or
decreased pro rata (effective January 1 of each
calendar year) to reflect any increase or decrease in
real estate taxes. Lessee shall be deemed to be
satisfying Lessee's liability for the above mentioned
real estate taxes with the monthly rent payments as set
forth above (or increased or decreased as set forth
herein)."
In addition, if there is a change in lessee, or if the
lessee vacates the property, then the chief county assessment
officer may require the owner of the property to notify the
chief county assessment officer of that change.
This subsection (e) does not apply to leasehold interests
in property owned by a municipality.
(f) "Homestead property" under this Section includes
residential property that is occupied by its owner or owners as
his or their principal dwelling place, or that is a leasehold
interest on which a single family residence is situated, which
is occupied as a residence by a person who has an ownership

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interest therein, legal or equitable or as a lessee, and on
which the person is liable for the payment of property taxes.
For land improved with an apartment building owned and operated
as a cooperative or a building which is a life care facility as
defined in Section 15-170 and considered to be a cooperative
under Section 15-170, the maximum reduction from the equalized
assessed value shall be limited to the increase in the value
above the equalized assessed value of the property for 1977, up
to the maximum reduction set forth above, multiplied by the
number of apartments or units occupied by a person or persons
who is liable, by contract with the owner or owners of record,
for paying property taxes on the property and is an owner of
record of a legal or equitable interest in the cooperative
apartment building, other than a leasehold interest. For
purposes of this Section, the term "life care facility" has the
meaning stated in Section 15-170.
"Household", as used in this Section, means the owner, the
spouse of the owner, and all persons using the residence of the
owner as their principal place of residence.
"Household income", as used in this Section, means the
combined income of the members of a household for the calendar
year preceding the taxable year.
"Income", as used in this Section, has the same meaning as
provided in Section 3.07 of the Senior Citizens and Disabled
Persons Property Tax Relief and Pharmaceutical Assistance Act,
except that "income" does not include veteran's benefits.

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(g) In a cooperative where a homestead exemption has been
granted, the cooperative association or its management firm
shall credit the savings resulting from that exemption only to
the apportioned tax liability of the owner who qualified for
the exemption. Any person who willfully refuses to so credit
the savings shall be guilty of a Class B misdemeanor.
(h) Where married persons maintain and reside in separate
residences qualifying as homestead property, each residence
shall receive 50% of the total reduction in equalized assessed
valuation provided by this Section.
(i) In all counties, the assessor or chief county
assessment officer may determine the eligibility of
residential property to receive the homestead exemption and the
amount of the exemption by application, visual inspection,
questionnaire or other reasonable methods. The determination
shall be made in accordance with guidelines established by the
Department, provided that the taxpayer applying for an
additional general exemption under this Section shall submit to
the chief county assessment officer an application with an
affidavit of the applicant's total household income, age,
marital status (and, if married, the name and address of the
applicant's spouse, if known), and principal dwelling place of
members of the household on January 1 of the taxable year. The
Department shall issue guidelines establishing a method for
verifying the accuracy of the affidavits filed by applicants
under this paragraph. The applications shall be clearly marked

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as applications for the Additional General Homestead
Exemption.
(j) In counties with fewer than 3,000,000 inhabitants, in
the event of a sale of homestead property the homestead
exemption shall remain in effect for the remainder of the
assessment year of the sale. The assessor or chief county
assessment officer may require the new owner of the property to
apply for the homestead exemption for the following assessment
year.
(k) Notwithstanding Sections 6 and 8 of the State Mandates
Act, no reimbursement by the State is required for the
implementation of any mandate created by this Section.
(Source: P.A. 95-644, eff. 10-12-07.)
(35 ILCS 200/21-205)
(Text of Section before amendment by P.A. 97-557)
Sec. 21-205. Tax sale procedures. 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

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all hours in which the sale is in progress. The 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.
In every sale of property pursuant to the provisions of
this Code, the collector may employ any automated means that
the collector deems appropriate, provided that bidders are
required to personally attend the sale. The changes made by
this amendatory Act of the 94th General Assembly are
declarative of existing law.
(Source: P.A. 94-922, eff. 1-1-07.)
(Text of Section after amendment by P.A. 97-557)
Sec. 21-205. Tax sale procedures. 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

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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 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.
Until January 1, 2013 the effective date of this amendatory
Act of the 97th General Assembly, in every sale of property
pursuant to the provisions of this Code, the collector may
employ any automated means that the collector deems
appropriate. Beginning on January 1, 2013 the effective date of
this amendatory Act of the 97th General Assembly, 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 sale and, if automated
means are used, all hardware and software used with respect to

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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.
(Source: P.A. 97-557, eff. 7-1-12.)
Section 95. No acceleration or delay. Where this Act makes
changes in a statute that is represented in this Act by text
that is not yet or no longer in effect (for example, a Section
represented by multiple versions), the use of that text does
not accelerate or delay the taking effect of (i) the changes
made by this Act or (ii) provisions derived from any other
Public Act.
Section 99. Effective date. This Act takes effect upon
becoming law.