Bill Text: IL SB1725 | 2023-2024 | 103rd General Assembly | Introduced


Bill Title: Amends the Property Tax Code. Creates a middle-class tax credit limited to a reduction in the equalized assessed value of homestead property owned by a middle-class taxpayer of 5% of the equalized assessed value of the property for the current assessment year. Provides that the maximum exemption is limited to $5,000. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Introduced) 2023-03-10 - Rule 3-9(a) / Re-referred to Assignments [SB1725 Detail]

Download: Illinois-2023-SB1725-Introduced.html


103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
SB1725

Introduced 2/9/2023, by Sen. Patrick J. Joyce

SYNOPSIS AS INTRODUCED:
35 ILCS 200/15-179 new
30 ILCS 805/8.47 new

Amends the Property Tax Code. Creates a middle-class tax credit limited to a reduction in the equalized assessed value of homestead property owned by a middle-class taxpayer of 5% of the equalized assessed value of the property for the current assessment year. Provides that the maximum exemption is limited to $5,000. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately.
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A BILL FOR

SB1725LRB103 28409 HLH 54789 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 adding
5Section 15-179 as follows:
6 (35 ILCS 200/15-179 new)
7 Sec. 15-179. Middle class property tax credit.
8 (a) For purposes of this Section:
9 "Current tax year" means the year prior to the collection
10year.
11 "Homestead property" has the meaning provided in Section
1215-175.
13 "Household" means the owner, the spouse of the owner, and
14all persons using the residence of the owner as their
15principal place of residence.
16 "Household income" means the combined income of a
17household for the calendar year preceding the taxable year.
18 "Income" has the same meaning as provided in Section 3.07
19of the Senior Citizens and Persons with Disabilities Property
20Tax Relief Act, except that "income" does not include
21veteran's benefits.
22 "Middle-class taxpayer" means a taxpayer whose household
23income is less than or equal to 200% of the median household

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1income for residents of the State of Illinois, as determined
2by the most recent available United States Census Bureau data.
3 (b) Beginning in taxable year 2024, homestead property
4owned by a middle-class taxpayer is entitled to an annual
5homestead exemption limited to a 5% reduction in the equalized
6assessed value of the homestead property for the current
7assessment year. The maximum exemption that may be claimed by
8a taxpayer under this Section for a taxable year is $5,000.
9 (c) In a cooperative or life care facility where a
10homestead exemption has been granted under this Section, the
11cooperative association or the management of the cooperative
12or life care facility shall credit the savings resulting from
13that exemption only to the apportioned tax liability of the
14owner or resident who qualified for the exemption. Any person
15who willfully refuses to so credit the savings shall be guilty
16of a Class B misdemeanor.
17 (d) If married persons maintain and reside in separate
18residences qualifying as homestead property, each residence
19shall receive 50% of the total reduction in equalized assessed
20valuation provided by this Section.
21 Section 90. The State Mandates Act is amended by adding
22Section 8.47 as follows:
23 (30 ILCS 805/8.47 new)
24 Sec. 8.47. Exempt mandate. Notwithstanding Sections 6 and

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18 of this Act, no reimbursement by the State is required for
2the implementation of any mandate created by this amendatory
3Act of the 103rd General Assembly.
4 Section 99. Effective date. This Act takes effect upon
5becoming law.
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