Bill Text: IL SB1745 | 2021-2022 | 102nd 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 homeowner 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. Effective immediately.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2022-06-15 - Chief Sponsor Changed to Sen. Don Harmon [SB1745 Detail]
Download: Illinois-2021-SB1745-Introduced.html
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1 | AN ACT concerning revenue.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 5. The Property Tax Code is amended by adding | ||||||||||||||||||||||||
5 | Section 15-178 as follows:
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6 | (35 ILCS 200/15-178 new) | ||||||||||||||||||||||||
7 | Sec. 15-178. Middle class property tax credit. | ||||||||||||||||||||||||
8 | (a) For purposes of this Section: | ||||||||||||||||||||||||
9 | "Current tax year" means the year prior to the collection | ||||||||||||||||||||||||
10 | year. | ||||||||||||||||||||||||
11 | "Homestead property" has the same meaning as provided in | ||||||||||||||||||||||||
12 | Section 35 ILCS 200/15-175. | ||||||||||||||||||||||||
13 | "Household" means the owner, the spouse of the owner, and | ||||||||||||||||||||||||
14 | all persons using the residence of the owner as their | ||||||||||||||||||||||||
15 | principal place of residence. | ||||||||||||||||||||||||
16 | "Household income" means the combined income of the | ||||||||||||||||||||||||
17 | members of a household for the calendar year preceding the | ||||||||||||||||||||||||
18 | taxable year. | ||||||||||||||||||||||||
19 | "Income" has the same meaning as provided in Section 3.07 | ||||||||||||||||||||||||
20 | of the Senior Citizens and Persons with Disabilities Property | ||||||||||||||||||||||||
21 | Tax Relief Act, except that "income" does not include | ||||||||||||||||||||||||
22 | veteran's benefits. | ||||||||||||||||||||||||
23 | "Middle class" means households with an income up to and |
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1 | including 200% of the median household income for the State of | ||||||
2 | Illinois as determined by the most recent available United | ||||||
3 | States Census Bureau data. | ||||||
4 | (b) Beginning in taxable year 2022, homestead property | ||||||
5 | owned by a middle class homeowner or middle class homeowners | ||||||
6 | is entitled to an annual homestead exemption limited to a | ||||||
7 | reduction in the equalized assessed value of homestead | ||||||
8 | property of 5% of the equalized assessed value for the current | ||||||
9 | assessment year. The maximum exemption is limited to $5,000. | ||||||
10 | (c) In a cooperative or life care facility where a | ||||||
11 | homestead exemption has been granted under this Section, the | ||||||
12 | cooperative association or the management of the cooperative | ||||||
13 | or life care facility shall credit the savings resulting from | ||||||
14 | that exemption only to the apportioned tax liability of the | ||||||
15 | owner or resident who qualified for the exemption. Any person | ||||||
16 | who willfully refuses to so credit the savings shall be guilty | ||||||
17 | of a Class B misdemeanor. | ||||||
18 | (d) Where married persons maintain and reside in separate | ||||||
19 | residences qualifying as homestead property, each residence | ||||||
20 | shall receive 50% of the total reduction in equalized assessed | ||||||
21 | valuation provided by this Section. | ||||||
22 | (e) Notwithstanding Sections 6 and 8 of the State Mandates | ||||||
23 | Act, no reimbursement by the State is required for the | ||||||
24 | implementation of any mandate created by this Section.
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25 | Section 99. Effective date. This Act takes effect upon | ||||||
26 | becoming law.
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