Bill Text: IL SB0508 | 2011-2012 | 97th General Assembly | Introduced

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Bill Title: Amends the Property Tax Code. Makes a technical change in a Section concerning the general homestead exemption.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Failed) 2013-01-08 - Session Sine Die [SB0508 Detail]

Download: Illinois-2011-SB0508-Introduced.html

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97TH GENERAL ASSEMBLY State of Illinois 2011 and 2012 SB0508 Introduced 2/8/2011, by Sen. John J. Cullerton SYNOPSIS AS INTRODUCED:
35 ILCS 200/15-175
Amends the Property Tax Code. Makes a technical change in a Section concerning the general homestead exemption.
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A BILL FOR
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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
Section 15-175 as follows:
(35 ILCS 200/15-175)
Sec. 15-175. General homestead exemption. Except as
provided in Sections 15-176 and 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.
Except as provided in Section 15-176, the maximum reduction
before taxable year 2004 shall be $4,500 in counties with
3,000,000 or more inhabitants and $3,500 in all other counties.

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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.
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.
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
valuation, a reduction in equalized assessed valuation equal to

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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.
"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
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

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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.
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.
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.
In all counties, the assessor or chief county assessment
officer may determine the eligibility of residential property

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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 as
applications for the Additional General Homestead Exemption.
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.
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.)