Bill Text: IL SB3242 | 2017-2018 | 100th General Assembly | Introduced

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

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Bill Title: Amends the Property Tax Code. Makes structural changes concerning homestead exemptions by creating separate divisions for homestead exemptions in counties with 3,000,000 or more inhabitants and counties with fewer than 3,000,000 inhabitants. Effective January 1, 2019.

Spectrum: Partisan Bill (Democrat 3-0)

Status: (Failed) 2019-01-09 - Session Sine Die [SB3242 Detail]

Download: Illinois-2017-SB3242-Introduced.html

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100TH GENERAL ASSEMBLY State of Illinois 2017 and 2018 SB3242 Introduced 2/15/2018, by Sen. Pat McGuire SYNOPSIS AS INTRODUCED:
See Index
Amends the Property Tax Code. Makes structural changes concerning homestead exemptions by creating separate divisions for homestead exemptions in counties with 3,000,000 or more inhabitants and counties with fewer than 3,000,000 inhabitants. Effective January 1, 2019.
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FISCAL NOTE ACT MAY APPLY HOUSING AFFORDABILITY IMPACT NOTE ACT MAY APPLY
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 renumbering
Section 15-174, by changing Sections 9-275, 15-167, 15-168,
15-169, 15-170, 15-172, 15-173, 15-175, 15-176, 15-177, and
15-180, by adding Division headings to Division 20 of Article
10, Division 1 of Article 15, and Division 2 of Article 15, and
by adding Sections 15-13 and 15-163 and Division 3 of Article
15 as follows:
(35 ILCS 200/9-275)
Sec. 9-275. Erroneous homestead exemptions.
(a) For purposes of this Section:
"Erroneous homestead exemption" means a homestead
exemption that was granted for real property in a taxable year
if the property was not eligible for that exemption in that
taxable year. If the taxpayer receives an erroneous homestead
exemption under a single Section of this Code for the same
property in multiple years, that exemption is considered a
single erroneous homestead exemption for purposes of this
Section. However, if the taxpayer receives erroneous homestead
exemptions under multiple Sections of this Code for the same
property, or if the taxpayer receives erroneous homestead

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exemptions under the same Section of this Code for multiple
properties, then each of those exemptions is considered a
separate erroneous homestead exemption for purposes of this
Section.
"Homestead exemption" means an exemption under Division 2
of Article 15 of this Code Section 15-165 (veterans with
disabilities), 15-167 (returning veterans), 15-168 (persons
with disabilities), 15-169 (standard homestead for veterans
with disabilities), 15-170 (senior citizens), 15-172 (senior
citizens assessment freeze), 15-175 (general homestead),
15-176 (alternative general homestead), or 15-177 (long-time
occupant).
"Erroneous exemption principal amount" means the total
difference between the property taxes actually billed to a
property index number and the amount of property taxes that
would have been billed but for the erroneous exemption or
exemptions.
"Taxpayer" means the property owner or leasehold owner that
erroneously received a homestead exemption upon property.
(b) Notwithstanding any other provision of law, in counties
with 3,000,000 or more inhabitants, the chief county assessment
officer shall include the following information with each
assessment notice sent in a general assessment year: (1) a list
of each homestead exemption available under Article 15 of this
Code and a description of the eligibility criteria for that
exemption; (2) a list of each homestead exemption applied to

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the property in the current assessment year; (3) information
regarding penalties and interest that may be incurred under
this Section if the taxpayer received an erroneous homestead
exemption in a previous taxable year; and (4) notice of the
60-day grace period available under this subsection. If, within
60 days after receiving his or her assessment notice, the
taxpayer notifies the chief county assessment officer that he
or she received an erroneous homestead exemption in a previous
taxable year, and if the taxpayer pays the erroneous exemption
principal amount, plus interest as provided in subsection (f),
then the taxpayer shall not be liable for the penalties
provided in subsection (f) with respect to that exemption.
(c) In counties with 3,000,000 or more inhabitants, when
the chief county assessment officer determines that one or more
erroneous homestead exemptions was applied to the property, the
erroneous exemption principal amount, together with all
applicable interest and penalties as provided in subsections
(f) and (j), shall constitute a lien in the name of the People
of Cook County on the property receiving the erroneous
homestead exemption. Upon becoming aware of the existence of
one or more erroneous homestead exemptions, the chief county
assessment officer shall cause to be served, by both regular
mail and certified mail, a notice of discovery as set forth in
subsection (c-5). The chief county assessment officer in a
county with 3,000,000 or more inhabitants may cause a lien to
be recorded against property that (1) is located in the county

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and (2) received one or more erroneous homestead exemptions if,
upon determination of the chief county assessment officer, the
taxpayer received: (A) one or 2 erroneous homestead exemptions
for real property, including at least one erroneous homestead
exemption granted for the property against which the lien is
sought, during any of the 3 collection years immediately prior
to the current collection year in which the notice of discovery
is served; or (B) 3 or more erroneous homestead exemptions for
real property, including at least one erroneous homestead
exemption granted for the property against which the lien is
sought, during any of the 6 collection years immediately prior
to the current collection year in which the notice of discovery
is served. Prior to recording the lien against the property,
the chief county assessment officer shall cause to be served,
by both regular mail and certified mail, return receipt
requested, on the person to whom the most recent tax bill was
mailed and the owner of record, a notice of intent to record a
lien against the property. The chief county assessment officer
shall cause the notice of intent to record a lien to be served
within 3 years from the date on which the notice of discovery
was served.
(c-5) The notice of discovery described in subsection (c)
shall: (1) identify, by property index number, the property for
which the chief county assessment officer has knowledge
indicating the existence of an erroneous homestead exemption;
(2) set forth the taxpayer's liability for principal, interest,

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penalties, and administrative costs including, but not limited
to, recording fees described in subsection (f); (3) inform the
taxpayer that he or she will be served with a notice of intent
to record a lien within 3 years from the date of service of the
notice of discovery; (4) inform the taxpayer that he or she may
pay the outstanding amount, plus interest, penalties, and
administrative costs at any time prior to being served with the
notice of intent to record a lien or within 30 days after the
notice of intent to record a lien is served; and (5) inform the
taxpayer that, if the taxpayer provided notice to the chief
county assessment officer as provided in subsection (d-1) of
Section 15-175 of this Code, upon submission by the taxpayer of
evidence of timely notice and receipt thereof by the chief
county assessment officer, the chief county assessment officer
will withdraw the notice of discovery and reissue a notice of
discovery in compliance with this Section in which the taxpayer
is not liable for interest and penalties for the current tax
year in which the notice was received.
For the purposes of this subsection (c-5):
"Collection year" means the year in which the first and
second installment of the current tax year is billed.
"Current tax year" means the year prior to the collection
year.
(d) The notice of intent to record a lien described in
subsection (c) shall: (1) identify, by property index number,
the property against which the lien is being sought; (2)

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identify each specific homestead exemption that was
erroneously granted and the year or years in which each
exemption was granted; (3) set forth the erroneous exemption
principal amount due and the interest amount and any penalty
and administrative costs due; (4) inform the taxpayer that he
or she may request a hearing within 30 days after service and
may appeal the hearing officer's ruling to the circuit court;
(5) inform the taxpayer that he or she may pay the erroneous
exemption principal amount, plus interest and penalties,
within 30 days after service; and (6) inform the taxpayer that,
if the lien is recorded against the property, the amount of the
lien will be adjusted to include the applicable recording fee
and that fees for recording a release of the lien shall be
incurred by the taxpayer. A lien shall not be filed pursuant to
this Section if the taxpayer pays the erroneous exemption
principal amount, plus penalties and interest, within 30 days
of service of the notice of intent to record a lien.
(e) The notice of intent to record a lien shall also
include a form that the taxpayer may return to the chief county
assessment officer to request a hearing. The taxpayer may
request a hearing by returning the form within 30 days after
service. The hearing shall be held within 90 days after the
taxpayer is served. The chief county assessment officer shall
promulgate rules of service and procedure for the hearing. The
chief county assessment officer must generally follow rules of
evidence and practices that prevail in the county circuit

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courts, but, because of the nature of these proceedings, the
chief county assessment officer is not bound by those rules in
all particulars. The chief county assessment officer shall
appoint a hearing officer to oversee the hearing. The taxpayer
shall be allowed to present evidence to the hearing officer at
the hearing. After taking into consideration all the relevant
testimony and evidence, the hearing officer shall make an
administrative decision on whether the taxpayer was
erroneously granted a homestead exemption for the taxable year
in question. The taxpayer may appeal the hearing officer's
ruling to the circuit court of the county where the property is
located as a final administrative decision under the
Administrative Review Law.
(f) A lien against the property imposed under this Section
shall be filed with the county recorder of deeds, but may not
be filed sooner than 60 days after the notice of intent to
record a lien was delivered to the taxpayer if the taxpayer
does not request a hearing, or until the conclusion of the
hearing and all appeals if the taxpayer does request a hearing.
If a lien is filed pursuant to this Section and the taxpayer
received one or 2 erroneous homestead exemptions during any of
the 3 collection years immediately prior to the current
collection year in which the notice of discovery is served,
then the erroneous exemption principal amount, plus 10%
interest per annum or portion thereof from the date the
erroneous exemption principal amount would have become due if

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properly included in the tax bill, shall be charged against the
property by the chief county assessment officer. However, if a
lien is filed pursuant to this Section and the taxpayer
received 3 or more erroneous homestead exemptions during any of
the 6 collection years immediately prior to the current
collection year in which the notice of discovery is served, the
erroneous exemption principal amount, plus a penalty of 50% of
the total amount of the erroneous exemption principal amount
for that property and 10% interest per annum or portion thereof
from the date the erroneous exemption principal amount would
have become due if properly included in the tax bill, shall be
charged against the property by the chief county assessment
officer. If a lien is filed pursuant to this Section, the
taxpayer shall not be liable for interest that accrues between
the date the notice of discovery is served and the date the
lien is filed. Before recording the lien with the county
recorder of deeds, the chief county assessment officer shall
adjust the amount of the lien to add administrative costs,
including but not limited to the applicable recording fee, to
the total lien amount.
(g) If a person received an erroneous homestead exemption
under Section 15-170 and: (1) the person was the spouse, child,
grandchild, brother, sister, niece, or nephew of the previous
taxpayer; and (2) the person received the property by bequest
or inheritance; then the person is not liable for the penalties
imposed under this Section for any year or years during which

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the chief county assessment officer did not require an annual
application for the exemption. However, that person is
responsible for any interest owed under subsection (f).
(h) If the erroneous homestead exemption was granted as a
result of a clerical error or omission on the part of the chief
county assessment officer, and if the taxpayer has paid the tax
bills as received for the year in which the error occurred,
then the interest and penalties authorized by this Section with
respect to that homestead exemption shall not be chargeable to
the taxpayer. However, nothing in this Section shall prevent
the collection of the erroneous exemption principal amount due
and owing.
(i) A lien under this Section is not valid as to (1) any
bona fide purchaser for value without notice of the erroneous
homestead exemption whose rights in and to the underlying
parcel arose after the erroneous homestead exemption was
granted but before the filing of the notice of lien; or (2) any
mortgagee, judgment creditor, or other lienor whose rights in
and to the underlying parcel arose before the filing of the
notice of lien. A title insurance policy for the property that
is issued by a title company licensed to do business in the
State showing that the property is free and clear of any liens
imposed under this Section shall be prima facie evidence that
the taxpayer is without notice of the erroneous homestead
exemption. Nothing in this Section shall be deemed to impair
the rights of subsequent creditors and subsequent purchasers

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under Section 30 of the Conveyances Act.
(j) When a lien is filed against the property pursuant to
this Section, the chief county assessment officer shall mail a
copy of the lien to the person to whom the most recent tax bill
was mailed and to the owner of record, and the outstanding
liability created by such a lien is due and payable within 30
days after the mailing of the lien by the chief county
assessment officer. This liability is deemed delinquent and
shall bear interest beginning on the day after the due date at
a rate of 1.5% per month or portion thereof. Payment shall be
made to the county treasurer. Upon receipt of the full amount
due, as determined by the chief county assessment officer, the
county treasurer shall distribute the amount paid as provided
in subsection (k). Upon presentment by the taxpayer to the
chief county assessment officer of proof of payment of the
total liability, the chief county assessment officer shall
provide in reasonable form a release of the lien. The release
of the lien provided shall clearly inform the taxpayer that it
is the responsibility of the taxpayer to record the lien
release form with the county recorder of deeds and to pay any
applicable recording fees.
(k) The county treasurer shall pay collected erroneous
exemption principal amounts, pro rata, to the taxing districts,
or their legal successors, that levied upon the subject
property in the taxable year or years for which the erroneous
homestead exemptions were granted, except as set forth in this

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Section. The county treasurer shall deposit collected
penalties and interest into a special fund established by the
county treasurer to offset the costs of administration of the
provisions of this Section by the chief county assessment
officer's office, as appropriated by the county board. If the
costs of administration of this Section exceed the amount of
interest and penalties collected in the special fund, the chief
county assessor shall be reimbursed by each taxing district or
their legal successors for those costs. Such costs shall be
paid out of the funds collected by the county treasurer on
behalf of each taxing district pursuant to this Section.
(l) The chief county assessment officer in a county with
3,000,000 or more inhabitants shall establish an amnesty period
for all taxpayers owing any tax due to an erroneous homestead
exemption granted in a tax year prior to the 2013 tax year. The
amnesty period shall begin on the effective date of this
amendatory Act of the 98th General Assembly and shall run
through December 31, 2013. If, during the amnesty period, the
taxpayer pays the entire arrearage of taxes due for tax years
prior to 2013, the county clerk shall abate and not seek to
collect any interest or penalties that may be applicable and
shall not seek civil or criminal prosecution for any taxpayer
for tax years prior to 2013. Failure to pay all such taxes due
during the amnesty period established under this Section shall
invalidate the amnesty period for that taxpayer.
The chief county assessment officer in a county with

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3,000,000 or more inhabitants shall (i) mail notice of the
amnesty period with the tax bills for the second installment of
taxes for the 2012 assessment year and (ii) as soon as possible
after the effective date of this amendatory Act of the 98th
General Assembly, publish notice of the amnesty period in a
newspaper of general circulation in the county. Notices shall
include information on the amnesty period, its purpose, and the
method by which to make payment.
Taxpayers who are a party to any criminal investigation or
to any civil or criminal litigation that is pending in any
circuit court or appellate court, or in the Supreme Court of
this State, for nonpayment, delinquency, or fraud in relation
to any property tax imposed by any taxing district located in
the State on the effective date of this amendatory Act of the
98th General Assembly may not take advantage of the amnesty
period.
A taxpayer who has claimed 3 or more homestead exemptions
in error shall not be eligible for the amnesty period
established under this subsection.
(Source: P.A. 98-93, eff. 7-16-13; 98-756, eff. 7-16-14;
98-811, eff. 1-1-15; 98-1143, eff. 1-1-15; 99-143, eff.
7-27-15; 99-851, eff. 8-19-16.)
(35 ILCS 200/Art. 10 Div. 20 heading new)
Division 20. Community stabilization assessment freeze pilot
program

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(35 ILCS 200/10-800) (was 35 ILCS 200/15-174)
Sec. 10-800 15-174. Community stabilization assessment
freeze pilot program.
(a) Beginning January 1, 2015 and ending June 30, 2029, the
chief county assessment officer of any county may reduce the
assessed value of improvements to residential real property in
accordance with subsection (b) for 10 taxable years after the
improvements are put in service, if and only if all of the
following factors have been met:
(1) the improvements are residential;
(2) the parcel was purchased or otherwise conveyed to
the taxpayer after January 1 of the taxable year and that
conveyance was not a tax sale as required under the
Property Tax Code;
(3) the parcel is located in a targeted area;
(4) for single family homes, the taxpayer occupies the
improvements on the parcel as his or her primary residence;
for residences of one to 6 units that will not be
owner-occupied, the taxpayer replaces 2 primary building
systems as outlined in this Section;
(5) the transfer from the holder of the prior mortgage
to the taxpayer was an arm's length transaction, in that
the taxpayer has no legal relationship to the holder of the
prior mortgage;
(6) an existing residential dwelling structure of no

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more than 6 units on the parcel was unoccupied at the time
of conveyance for a minimum of 6 months, or the parcel was
ordered by a court of competent jurisdiction to be
deconverted in accordance with the provisions governing
distressed condominiums as provided in the Condominium
Property Act;
(7) the parcel is clear of unreleased liens and has no
outstanding tax liabilities attached against it; and
(8) the purchase price did not exceed the Federal
Housing Administration's loan limits then in place for the
area in which the improvement is located.
To be eligible for the benefit conferred by this Section,
residential units must (i) meet local building codes, or if
there are no local building codes, Housing Quality Standards,
as determined by the U.S. Department of Housing and Urban
Development from time to time and (ii) be owner-occupied or in
need of substantial rehabilitation. "Substantial
rehabilitation" means, at a minimum, compliance with local
building codes and the replacement or renovation of at least 2
primary building systems. Although the cost of each primary
building system may vary, the combined expenditure for making
the building compliant with local codes and replacing primary
building systems must be at least $5 per square foot, adjusted
by the Consumer Price Index for All Urban Consumers, as
published annually by the U.S. Department of Labor. "Primary
building systems", together with their related

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rehabilitations, specifically approved for this program are:
(1) Electrical. All electrical work must comply with
applicable codes; it may consist of a combination of any of
the following alternatives:
(A) installing individual equipment and appliance
branch circuits as required by code (the minimum being
a kitchen appliance branch circuit);
(B) installing a new emergency service, including
emergency lighting with all associated conduits and
wiring;
(C) rewiring all existing feeder conduits ("home
runs") from the main switchgear to apartment area
distribution panels;
(D) installing new in-wall conduits for
receptacles, switches, appliances, equipment, and
fixtures;
(E) replacing power wiring for receptacles,
switches, appliances, equipment, and fixtures;
(F) installing new light fixtures throughout the
building including closets and central areas;
(G) replacing, adding, or doing work as necessary
to bring all receptacles, switches, and other
electrical devices into code compliance;
(H) installing a new main service, including
conduit, cables into the building, and main disconnect
switch; and

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(I) installing new distribution panels, including
all panel wiring, terminals, circuit breakers, and all
other panel devices.
(2) Heating. All heating work must comply with
applicable codes; it may consist of a combination of any of
the following alternatives:
(A) installing a new system to replace one of the
following heat distribution systems: (i) piping and
heat radiating units, including new main line venting
and radiator venting; or (ii) duct work, diffusers, and
cold air returns; or (iii) any other type of existing
heat distribution and radiation/diffusion components;
or
(B) installing a new system to replace one of the
following heat generating units: (i) hot water/steam
boiler; (ii) gas furnace; or (iii) any other type of
existing heat generating unit.
(3) Plumbing. All plumbing work must comply with
applicable codes. Replace all or a part of the in-wall
supply and waste plumbing; however, main supply risers,
waste stacks and vents, and code-conforming waste lines
need not be replaced.
(4) Roofing. All roofing work must comply with
applicable codes; it may consist of either of the following
alternatives, separately or in combination:
(A) replacing all rotted roof decks and

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insulation; or
(B) replacing or repairing leaking roof membranes
(10% is the suggested minimum replacement of
membrane); restoration of the entire roof is an
acceptable substitute for membrane replacement.
(5) Exterior doors and windows. Replace the exterior
doors and windows. Renovation of ornate entry doors is an
acceptable substitute for replacement.
(6) Floors, walls, and ceilings. Finishes must be
replaced or covered over with new material. Acceptable
replacement or covering materials are as follows:
(A) floors must have new carpeting, vinyl tile,
ceramic, refurbished wood finish, or a similar
substitute;
(B) walls must have new drywall, including joint
taping and painting; or
(C) new ceilings must be either drywall, suspended
type, or a similar substitute.
(7) Exterior walls.
(A) replace loose or crumbling mortar and masonry
with new material;
(B) replace or paint wall siding and trim as
needed;
(C) bring porches and balconies to a sound
condition; or
(D) any combination of (A), (B), and (C).

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(8) Elevators. Where applicable, at least 4 of the
following 7 alternatives must be accomplished:
(A) replace or rebuild the machine room controls
and refurbish the elevator machine (or equivalent
mechanisms in the case of hydraulic elevators);
(B) replace hoistway electro-mechanical items
including: ropes, switches, limits, buffers, levelers,
and deflector sheaves (or equivalent mechanisms in the
case of hydraulic elevators);
(C) replace hoistway wiring;
(D) replace door operators and linkage;
(E) replace door panels at each opening;
(F) replace hall stations, car stations, and
signal fixtures; or
(G) rebuild the car shell and refinish the
interior.
(9) Health and safety.
(A) install or replace fire suppression systems;
(B) install or replace security systems; or
(C) environmental remediation of lead-based paint,
asbestos, leaking underground storage tanks, or radon.
(10) Energy conservation improvements undertaken to
limit the amount of solar energy absorbed by a building's
roof or to reduce energy use for the property, including
any of the following activities:
(A) installing or replacing reflective roof

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coatings (flat roofs);
(B) installing or replacing R-38 roof insulation;
(C) installing or replacing R-19 perimeter wall
insulation;
(D) installing or replacing insulated entry doors;
(E) installing or replacing Low E, insulated
windows;
(F) installing or replacing low-flow plumbing
fixtures;
(G) installing or replacing 90% sealed combustion
heating systems;
(H) installing or replacing direct exhaust hot
water heaters;
(I) installing or replacing mechanical ventilation
to exterior for kitchens and baths;
(J) installing or replacing Energy Star
appliances;
(K) installing low VOC interior paints on interior
finishes;
(L) installing or replacing fluorescent lighting
in common areas; or
(M) installing or replacing grading and
landscaping to promote on-site water retention.
(b) For the first 7 years after the improvements are placed
in service, the assessed value of the improvements shall be
reduced by an amount equal to 90% of the difference between the

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base year assessed value of the improvements and the assessed
value of the improvements in the current taxable year. The
property will continue to be eligible for the benefits under
this Section in the eighth and ninth taxable years after the
improvements are placed in service, calculated as follows, if
and only if all of the factors in subsection (a) of this
Section continue to be met: in the eighth taxable year, the
assessed value of the improvements shall be reduced by an
amount equal to 65% of the difference between the base year
assessed value of the improvements and the assessed value of
the improvements in the current taxable year, and in the ninth
taxable year, the assessed value of the improvements shall be
reduced by an amount equal to 35% of the difference between the
base year assessed value of the improvements and the assessed
value of the improvements in the current taxable year. The
benefit will cease in the tenth taxable year.
(c) In order to receive benefits under this Section, in
addition to any information required by the chief county
assessment officer, the taxpayer must also submit the following
information to the chief county assessment officer for review:
(1) the owner's name;
(2) the postal address and permanent index number of
the parcel;
(3) a deed or other instrument conveying the parcel to
the current owner;
(4) evidence that the purchase price is within the

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Federal Housing Administration's loan limits for the area
in which the improvement is located;
(5) certification that the parcel was unoccupied at the
time of conveyance to the current owner for a minimum of at
least 6 months;
(6) evidence that the parcel is clear of unreleased
liens and has no outstanding tax liabilities attached
against it;
(7) evidence that the improvements meet local building
codes, or if there are no local building codes, Housing
Quality Standards, as determined by the U.S. Department of
Housing and Urban Development from time to time, which may
be shown by a certificate of occupancy issued by the
appropriate local government or the certification by a home
inspector licensed by the State of Illinois; and
(8) any additional information as reasonably required
by the chief county assessment officer.
(d) The chief county assessment officer shall notify the
taxpayer as to whether or not the parcel meets the requirements
of this Section. If the parcel does not meet the requirements
of this Section, the chief county assessment officer shall
provide written notice of any deficiencies to the taxpayer, who
will then have 14 days from the date of notification to provide
supplemental information showing compliance with this Section.
If the taxpayer does not exercise this right to cure the
deficiency, or if the information submitted, in the sole

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judgment of the chief county assessment officer, is
insufficient to meet the requirements of this Section, the
chief county assessment officer shall provide a written
explanation of the reasons for denial. A taxpayer may
subsequently reapply for the benefit if the deficiencies are
cured at a later date, but no later than 2019. The chief county
assessment officer may charge a reasonable application fee to
offset the administrative expenses associated with the
program.
(e) The benefit conferred by this Section is limited as
follows:
(1) The owner is eligible to apply for the benefit
conferred by this Section beginning January 1, 2015 through
December 31, 2019. If approved, the reduction will be
effective for the current taxable year, which will be
reflected in the tax bill issued in the following taxable
year.
(2) The reduction outlined in this Section shall
continue for a period of 10 years, and may not be extended
or renewed for any additional period.
(3) At the completion of the assessment freeze period
described here, the entire parcel will be assessed as
otherwise provided in this Code.
(4) If there is a transfer of ownership during the
period of the assessment freeze, then the benefit conferred
by this Section shall not apply on or after the date of

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that transfer unless (i) the property is conveyed by an
owner who does not occupy the improvements as a primary
residence to an owner who will occupy the improvements as a
primary residence and (ii) all requirements of this Section
continue to be met.
(f) If the taxpayer does not occupy or intend to occupy the
residential dwelling as his or her principal residence within a
reasonable time, as determined by the chief county assessment
officer, the taxpayer must:
(1) immediately secure the residential dwelling in
accordance with the requirements of this Section;
(2) complete sufficient rehabilitation to bring the
improvements into compliance with local building codes,
including, without limitation, regulations concerning
lead-based paint and asbestos remediation; and
(3) complete rehabilitation within 18 months of
conveyance.
(g) For the purposes of this Section,
"Base year" means the taxable year prior to the taxable
year in which the property is purchased by the eligible
homeowner.
"Secure" means that:
(1) all doors and windows are closed and secured
using secure doors, windows without broken or cracked
panes, commercial-quality metal security panels filled
with like-kind material as the surrounding wall, or

SB3242 - 24 - LRB100 19223 HLH 34489 b
plywood installed and secured in accordance with local
ordinances; at least one building entrance shall be
accessible from the exterior and secured with a door
that is locked to allow access only to authorized
persons;
(2) all grass and weeds on the vacant residential
property are maintained below 10 inches in height,
unless a local ordinance imposes a lower height;
(3) debris, trash, and litter on any portion of the
exterior of the vacant residential property is removed
in compliance with local ordinance;
(4) fences, gates, stairs, and steps that lead to
the main entrance of the building are maintained in a
structurally sound and reasonable manner;
(5) the property is winterized when appropriate;
(6) the exterior of the improvements are
reasonably maintained to ensure the safety of
passersby; and
(7) vermin and pests are regularly exterminated on
the exterior and interior of the property.
"Targeted area" means a distressed community that
meets the geographic, poverty, and unemployment criteria
for a distressed community set forth in 12 C.F.R. 1806.200.
(Source: P.A. 98-789, eff. 1-1-15.)
(35 ILCS 200/Art. 15 Div. 1 heading new)

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Division 1. Non-homestead exemptions in all counties
(35 ILCS 200/15-13 new)
Sec. 15-13. Applicability. This Division 1 applies in all
counties and encompasses this Section and Sections occurring
after this Section and prior to Section 15-163.
(35 ILCS 200/Art. 15 Div. 2 heading new)
Division 2. Homestead exemptions in counties of 3,000,000 or
more inhabitants
(35 ILCS 200/15-163 new)
Sec. 15-163. Applicability. This Division 2 applies in
counties with 3,000,000 or more inhabitants and encompasses
this Section and Sections occurring after this Section and
prior to Section 15-261.
(35 ILCS 200/15-167)
Sec. 15-167. Returning Veterans' Homestead Exemption.
(a) Beginning with taxable year 2007, a homestead
exemption, limited to a reduction set forth under subsection
(b), from the property's value, as equalized or assessed by the
Department, is granted for property that is owned and occupied
as the principal residence of a veteran returning from an armed
conflict involving the armed forces of the United States who is
liable for paying real estate taxes on the property and is an

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owner of record of the property or has a legal or equitable
interest therein as evidenced by a written instrument, except
for a leasehold interest, other than a leasehold interest of
land on which a single family residence is located, which is
occupied as the principal residence of a veteran returning from
an armed conflict involving the armed forces of the United
States who has an ownership interest therein, legal, equitable
or as a lessee, and on which he or she is liable for the payment
of property taxes. For purposes of the exemption under this
Section, "veteran" means an Illinois resident who has served as
a member of the United States Armed Forces, a member of the
Illinois National Guard, or a member of the United States
Reserve Forces.
(b) The In all counties, the reduction is $5,000 for the
taxable year in which the veteran returns from active duty in
an armed conflict involving the armed forces of the United
States; however, if the veteran first acquires his or her
principal residence during the taxable year in which he or she
returns, but after January 1 of that year, and if the property
is owned and occupied by the veteran as a principal residence
on January 1 of the next taxable year, he or she may apply the
exemption for the next taxable year, and only the next taxable
year, after he or she returns. Beginning in taxable year 2010,
the reduction shall also be allowed for the taxable year after
the taxable year in which the veteran returns from active duty
in an armed conflict involving the armed forces of the United

SB3242 - 27 - LRB100 19223 HLH 34489 b
States. For land improved with an apartment building owned and
operated as a cooperative, the maximum reduction from the value
of the property, as equalized by the Department, must be
multiplied by the number of apartments or units occupied by a
veteran returning from an armed conflict involving the armed
forces of the United States 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. In a cooperative where a homestead
exemption has been granted, the cooperative association or the
management firm of the cooperative or facility shall credit the
savings resulting from that exemption only to the apportioned
tax liability of the owner or resident who qualified for the
exemption. Any person who willfully refuses to so credit the
savings is guilty of a Class B misdemeanor.
(c) Application must be made during the application period
in effect for the county of his or her residence. The assessor
or chief county assessment officer may determine the
eligibility of residential property to receive the homestead
exemption provided by this Section by application, visual
inspection, questionnaire, or other reasonable methods. The
determination must be made in accordance with guidelines
established by the Department.
(d) The exemption under this Section is in addition to any
other homestead exemption provided in this Article 15.

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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. 96-1288, eff. 7-26-10; 96-1418, eff. 8-2-10;
97-333, eff. 8-12-11.)
(35 ILCS 200/15-168)
Sec. 15-168. Homestead exemption for persons with
disabilities.
(a) Beginning with taxable year 2007, an annual homestead
exemption is granted to persons with disabilities in the amount
of $2,000, except as provided in subsection (c), to be deducted
from the property's value as equalized or assessed by the
Department of Revenue. The person with a disability shall
receive the homestead exemption upon meeting the following
requirements:
(1) The property must be occupied as the primary
residence by the person with a disability.
(2) The person with a disability must be liable for
paying the real estate taxes on the property.
(3) The person with a disability must be an owner of
record of the property or have a legal or equitable
interest in the property as evidenced by a written
instrument. In the case of a leasehold interest in
property, the lease must be for a single family residence.
A person who has a disability during the taxable year is

SB3242 - 29 - LRB100 19223 HLH 34489 b
eligible to apply for this homestead exemption during that
taxable year. Application must be made during the application
period in effect for the county of residence. If a homestead
exemption has been granted under this Section and the person
awarded the exemption subsequently becomes a resident of a
facility licensed under the Nursing Home Care Act, the
Specialized Mental Health Rehabilitation Act of 2013, the ID/DD
Community Care Act, or the MC/DD Act, then the exemption shall
continue (i) so long as the residence continues to be occupied
by the qualifying person's spouse or (ii) if the residence
remains unoccupied but is still owned by the person qualified
for the homestead exemption.
(b) For the purposes of this Section, "person with a
disability" means a person unable to engage in any substantial
gainful activity by reason of a medically determinable physical
or mental impairment which can be expected to result in death
or has lasted or can be expected to last for a continuous
period of not less than 12 months. Persons with disabilities
filing claims under this Act shall submit proof of disability
in such form and manner as the Department shall by rule and
regulation prescribe. Proof that a claimant is eligible to
receive disability benefits under the Federal Social Security
Act shall constitute proof of disability for purposes of this
Act. Issuance of an Illinois Person with a Disability
Identification Card stating that the claimant is under a Class
2 disability, as defined in Section 4A of the Illinois

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Identification Card Act, shall constitute proof that the person
named thereon is a person with a disability for purposes of
this Act. A person with a disability not covered under the
Federal Social Security Act and not presenting an Illinois
Person with a Disability Identification Card stating that the
claimant is under a Class 2 disability shall be examined by a
physician, advanced practice registered nurse, or physician
assistant designated by the Department, and his status as a
person with a disability determined using the same standards as
used by the Social Security Administration. The costs of any
required examination shall be borne by the claimant.
(c) For land improved with (i) an apartment building owned
and operated as a cooperative or (ii) a life care facility as
defined under Section 2 of the Life Care Facilities Act that is
considered to be a cooperative, the maximum reduction from the
value of the property, as equalized or assessed by the
Department, shall be multiplied by the number of apartments or
units occupied by a person with a disability. The person with a
disability shall receive the homestead exemption upon meeting
the following requirements:
(1) The property must be occupied as the primary
residence by the person with a disability.
(2) The person with a disability must be liable by
contract with the owner or owners of record for paying the
apportioned property taxes on the property of the
cooperative or life care facility. In the case of a life

SB3242 - 31 - LRB100 19223 HLH 34489 b
care facility, the person with a disability must be liable
for paying the apportioned property taxes under a life care
contract as defined in Section 2 of the Life Care
Facilities Act.
(3) The person with a disability must be an owner of
record of a legal or equitable interest in the cooperative
apartment building. A leasehold interest does not meet this
requirement.
If a homestead exemption is granted under this subsection, the
cooperative association or management firm shall credit the
savings resulting from the exemption to the apportioned tax
liability of the qualifying person with a disability. The
assessor chief county assessment officer may request
reasonable proof that the association or firm has properly
credited the exemption. A person who willfully refuses to
credit an exemption to the qualified person with a disability
is guilty of a Class B misdemeanor.
(d) The assessor chief county assessment officer shall
determine the eligibility of property to receive the homestead
exemption according to guidelines established by the
Department. After a person has received an exemption under this
Section, an annual verification of eligibility for the
exemption shall be mailed to the taxpayer.
In counties with fewer than 3,000,000 inhabitants, the
chief county assessment officer shall provide to each person
granted a homestead exemption under this Section a form to

SB3242 - 32 - LRB100 19223 HLH 34489 b
designate any other person to receive a duplicate of any notice
of delinquency in the payment of taxes assessed and levied
under this Code on the person's qualifying property. The
duplicate notice shall be in addition to the notice required to
be provided to the person receiving the exemption and shall be
given in the manner required by this Code. The person filing
the request for the duplicate notice shall pay an
administrative fee of $5 to the chief county assessment
officer. The assessment officer shall then file the executed
designation with the county collector, who shall issue the
duplicate notices as indicated by the designation. A
designation may be rescinded by the person with a disability in
the manner required by the chief county assessment officer.
(e) A taxpayer who claims an exemption under Section 15-165
or 15-169 may not claim an exemption under this Section.
(Source: P.A. 99-143, eff. 7-27-15; 99-180, eff. 7-29-15;
99-581, eff. 1-1-17; 99-642, eff. 7-28-16; 100-513, eff.
1-1-18.)
(35 ILCS 200/15-169)
Sec. 15-169. Homestead exemption for veterans with
disabilities.
(a) Beginning with taxable year 2007, an annual homestead
exemption, limited to the amounts set forth in subsections (b)
and (b-3), is granted for property that is used as a qualified
residence by a veteran with a disability.

SB3242 - 33 - LRB100 19223 HLH 34489 b
(b) For taxable years prior to 2015, the amount of the
exemption under this Section is as follows:
(1) for veterans with a service-connected disability
of at least (i) 75% for exemptions granted in taxable years
2007 through 2009 and (ii) 70% for exemptions granted in
taxable year 2010 and each taxable year thereafter, as
certified by the United States Department of Veterans
Affairs, the annual exemption is $5,000; and
(2) for veterans with a service-connected disability
of at least 50%, but less than (i) 75% for exemptions
granted in taxable years 2007 through 2009 and (ii) 70% for
exemptions granted in taxable year 2010 and each taxable
year thereafter, as certified by the United States
Department of Veterans Affairs, the annual exemption is
$2,500.
(b-3) For taxable years 2015 and thereafter:
(1) if the veteran has a service connected disability
of 30% or more but less than 50%, as certified by the
United States Department of Veterans Affairs, then the
annual exemption is $2,500;
(2) if the veteran has a service connected disability
of 50% or more but less than 70%, as certified by the
United States Department of Veterans Affairs, then the
annual exemption is $5,000; and
(3) if the veteran has a service connected disability
of 70% or more, as certified by the United States

SB3242 - 34 - LRB100 19223 HLH 34489 b
Department of Veterans Affairs, then the property is exempt
from taxation under this Code.
(b-5) If a homestead exemption is granted under this
Section and the person awarded the exemption subsequently
becomes a resident of a facility licensed under the Nursing
Home Care Act or a facility operated by the United States
Department of Veterans Affairs, then the exemption shall
continue (i) so long as the residence continues to be occupied
by the qualifying person's spouse or (ii) if the residence
remains unoccupied but is still owned by the person who
qualified for the homestead exemption.
(c) The tax exemption under this Section carries over to
the benefit of the veteran's surviving spouse as long as the
spouse holds the legal or beneficial title to the homestead,
permanently resides thereon, and does not remarry. If the
surviving spouse sells the property, an exemption not to exceed
the amount granted from the most recent ad valorem tax roll may
be transferred to his or her new residence as long as it is
used as his or her primary residence and he or she does not
remarry.
(c-1) Beginning with taxable year 2015, nothing in this
Section shall require the veteran to have qualified for or
obtained the exemption before death if the veteran was killed
in the line of duty.
(d) The exemption under this Section applies for taxable
year 2007 and thereafter. A taxpayer who claims an exemption

SB3242 - 35 - LRB100 19223 HLH 34489 b
under Section 15-165 or 15-168 may not claim an exemption under
this Section.
(e) Each taxpayer who has been granted an exemption under
this Section must reapply on an annual basis. Application must
be made during the application period in effect for the county
of his or her residence. The assessor or chief county
assessment officer may determine the eligibility of
residential property to receive the homestead exemption
provided by this Section by application, visual inspection,
questionnaire, or other reasonable methods. The determination
must be made in accordance with guidelines established by the
Department.
(f) For the purposes of this Section:
"Qualified residence" means real property, but less any
portion of that property that is used for commercial purposes,
with an equalized assessed value of less than $250,000 that is
the primary residence of a veteran with a disability. Property
rented for more than 6 months is presumed to be used for
commercial purposes.
"Veteran" means an Illinois resident who has served as a
member of the United States Armed Forces on active duty or
State active duty, a member of the Illinois National Guard, or
a member of the United States Reserve Forces and who has
received an honorable discharge.
(Source: P.A. 98-1145, eff. 12-30-14; 99-143, eff. 7-27-15;
99-375, eff. 8-17-15; 99-642, eff. 7-28-16.)

SB3242 - 36 - LRB100 19223 HLH 34489 b
(35 ILCS 200/15-170)
Sec. 15-170. Senior citizens homestead exemption. An
annual homestead exemption limited, except as described here
with relation to cooperatives or life care facilities, to a
maximum reduction set forth below from the property's value, as
equalized or assessed by the Department, is granted for
property that is occupied as a residence by a person 65 years
of age or older who is liable for paying real estate taxes on
the property and is an owner of record of the property or has a
legal or equitable interest therein as evidenced by a written
instrument, except for a leasehold interest, other than a
leasehold interest of land on which a single family residence
is located, which is occupied as a residence by a person 65
years or older who has an ownership interest therein, legal,
equitable or as a lessee, and on which he or she is liable for
the payment of property taxes. Before taxable year 2004, the
maximum reduction shall be $2,500 in counties with 3,000,000 or
more inhabitants and $2,000 in all other counties. For taxable
years 2004 through 2005, the maximum reduction shall be $3,000
in all counties. For taxable years 2006 and 2007, the maximum
reduction shall be $3,500. For taxable years 2008 through 2011,
the maximum reduction is $4,000 in all counties. For taxable
year 2012, the maximum reduction is $5,000 in counties with
3,000,000 or more inhabitants and $4,000 in all other counties.
For taxable years 2013 through 2016, the maximum reduction is

SB3242 - 37 - LRB100 19223 HLH 34489 b
$5,000 in all counties. For taxable years 2017 and thereafter,
the maximum reduction is $8,000 in counties with 3,000,000 or
more inhabitants and $5,000 in all other counties.
For land improved with an apartment building owned and
operated as a cooperative, the maximum reduction from the value
of the property, as equalized by the Department, shall be
multiplied by the number of apartments or units occupied by a
person 65 years of age or older 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 land improved with a life care
facility, the maximum reduction from the value of the property,
as equalized by the Department, shall be multiplied by the
number of apartments or units occupied by persons 65 years of
age or older, irrespective of any legal, equitable, or
leasehold interest in the facility, who are liable, under a
contract with the owner or owners of record of the facility,
for paying property taxes on the property. In a cooperative or
a life care facility where a homestead exemption has been
granted, the cooperative association or the management firm of
the cooperative or facility shall credit the savings resulting
from that exemption only to the apportioned tax liability of
the owner or resident who qualified for the exemption. Any
person who willfully refuses to so credit the savings shall be
guilty of a Class B misdemeanor. Under this Section and

SB3242 - 38 - LRB100 19223 HLH 34489 b
Sections 15-175, 15-176, and 15-177, "life care facility" means
a facility, as defined in Section 2 of the Life Care Facilities
Act, with which the applicant for the homestead exemption has a
life care contract as defined in that Act.
When a homestead exemption has been granted under this
Section and the person qualifying subsequently becomes a
resident of a facility licensed under the Assisted Living and
Shared Housing Act, the Nursing Home Care Act, the Specialized
Mental Health Rehabilitation Act of 2013, the ID/DD Community
Care Act, or the MC/DD Act, the exemption shall continue so
long as the residence continues to be occupied by the
qualifying person's spouse if the spouse is 65 years of age or
older, or if the residence remains unoccupied but is still
owned by the person qualified for the homestead exemption.
A person who will be 65 years of age during the current
assessment year shall be eligible to apply for the homestead
exemption during that assessment year. Application shall be
made during the application period in effect for the county of
his residence.
Beginning with assessment year 2003, for taxes payable in
2004, property that is first occupied as a residence after
January 1 of any assessment year by a person who is eligible
for the senior citizens homestead exemption under this Section
must be granted a pro-rata exemption for the assessment year.
The amount of the pro-rata exemption is the exemption allowed
in the county under this Section divided by 365 and multiplied

SB3242 - 39 - LRB100 19223 HLH 34489 b
by the number of days during the assessment year the property
is occupied as a residence by a person eligible for the
exemption under this Section. The assessor chief county
assessment officer must adopt reasonable procedures to
establish eligibility for this pro-rata exemption.
The assessor or chief county assessment officer may
determine the eligibility of a life care facility to receive
the benefits provided by this Section, by affidavit,
application, visual inspection, questionnaire or other
reasonable methods in order to insure that the tax savings
resulting from the exemption are credited by the management
firm to the apportioned tax liability of each qualifying
resident. The assessor may request reasonable proof that the
management firm has so credited the exemption.
The chief county assessment officer of each county with
less than 3,000,000 inhabitants shall provide to each person
allowed a homestead exemption under this Section a form to
designate any other person to receive a duplicate of any notice
of delinquency in the payment of taxes assessed and levied
under this Code on the property of the person receiving the
exemption. The duplicate notice shall be in addition to the
notice required to be provided to the person receiving the
exemption, and shall be given in the manner required by this
Code. The person filing the request for the duplicate notice
shall pay a fee of $5 to cover administrative costs to the
supervisor of assessments, who shall then file the executed

SB3242 - 40 - LRB100 19223 HLH 34489 b
designation with the county collector. Notwithstanding any
other provision of this Code to the contrary, the filing of
such an executed designation requires the county collector to
provide duplicate notices as indicated by the designation. A
designation may be rescinded by the person who executed such
designation at any time, in the manner and form required by the
chief county assessment officer.
The assessor or chief county assessment officer may
determine the eligibility of residential property to receive
the homestead exemption provided by this Section by
application, visual inspection, questionnaire or other
reasonable methods. The determination shall be made in
accordance with guidelines established by the Department.
Beginning In counties with 3,000,000 or more inhabitants,
beginning in taxable year 2010, each taxpayer who has been
granted an exemption under this Section must reapply on an
annual basis. The assessor chief county assessment officer
shall mail the application to the taxpayer. In counties with
less than 3,000,000 inhabitants, the county board may by
resolution provide that if a person has been granted a
homestead exemption under this Section, the person qualifying
need not reapply for the exemption.
In counties with less than 3,000,000 inhabitants, if the
assessor or chief county assessment officer requires annual
application for verification of eligibility for an exemption
once granted under this Section, the application shall be

SB3242 - 41 - LRB100 19223 HLH 34489 b
mailed to the taxpayer.
The assessor or chief county assessment officer shall
notify each person who qualifies for an exemption under this
Section that the person may also qualify for deferral of real
estate taxes under the Senior Citizens Real Estate Tax Deferral
Act. The notice shall set forth the qualifications needed for
deferral of real estate taxes, the address and telephone number
of county collector, and a statement that applications for
deferral of real estate taxes may be obtained from the county
collector.
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. 99-180, eff. 7-29-15; 100-401, eff. 8-25-17.)
(35 ILCS 200/15-172)
Sec. 15-172. Senior Citizens Assessment Freeze Homestead
Exemption.
(a) This Section may be cited as the Senior Citizens
Assessment Freeze Homestead Exemption.
(b) As used in this Section:
"Applicant" means an individual who has filed an
application under this Section.
"Base amount" means the base year equalized assessed value
of the residence plus the first year's equalized assessed value
of any added improvements which increased the assessed value of

SB3242 - 42 - LRB100 19223 HLH 34489 b
the residence after the base year.
"Base year" means the taxable year prior to the taxable
year for which the applicant first qualifies and applies for
the exemption provided that in the prior taxable year the
property was improved with a permanent structure that was
occupied as a residence by the applicant who was liable for
paying real property taxes on the property and who was either
(i) an owner of record of the property or had legal or
equitable interest in the property as evidenced by a written
instrument or (ii) had a legal or equitable interest as a
lessee in the parcel of property that was single family
residence. If in any subsequent taxable year for which the
applicant applies and qualifies for the exemption the equalized
assessed value of the residence is less than the equalized
assessed value in the existing base year (provided that such
equalized assessed value is not based on an assessed value that
results from a temporary irregularity in the property that
reduces the assessed value for one or more taxable years), then
that subsequent taxable year shall become the base year until a
new base year is established under the terms of this paragraph.
For taxable year 1999 only, assessor the Chief County
Assessment Officer shall review (i) all taxable years for which
the applicant applied and qualified for the exemption and (ii)
the existing base year. The assessor assessment officer shall
select as the new base year the year with the lowest equalized
assessed value. An equalized assessed value that is based on an

SB3242 - 43 - LRB100 19223 HLH 34489 b
assessed value that results from a temporary irregularity in
the property that reduces the assessed value for one or more
taxable years shall not be considered the lowest equalized
assessed value. The selected year shall be the base year for
taxable year 1999 and thereafter until a new base year is
established under the terms of this paragraph.
"Chief County Assessment Officer" means the County
Assessor or Supervisor of Assessments of the county in which
the property is located.
"Equalized assessed value" means the assessed value as
equalized by the Illinois Department of Revenue.
"Household" means the applicant, the spouse of the
applicant, and all persons using the residence of the applicant
as their principal place of residence.
"Household income" means the combined income of the members
of a household for the calendar year preceding the taxable
year.
"Income" has the same meaning as provided in Section 3.07
of the Senior Citizens and Persons with Disabilities Property
Tax Relief Act, except that, beginning in assessment year 2001,
"income" does not include veteran's benefits.
"Internal Revenue Code of 1986" means the United States
Internal Revenue Code of 1986 or any successor law or laws
relating to federal income taxes in effect for the year
preceding the taxable year.
"Life care facility that qualifies as a cooperative" means

SB3242 - 44 - LRB100 19223 HLH 34489 b
a facility as defined in Section 2 of the Life Care Facilities
Act.
"Maximum income limitation" means:
(1) $35,000 prior to taxable year 1999;
(2) $40,000 in taxable years 1999 through 2003;
(3) $45,000 in taxable years 2004 through 2005;
(4) $50,000 in taxable years 2006 and 2007;
(5) $55,000 in taxable years 2008 through 2016;
(6) for taxable years year 2017 and thereafter, (i)
$65,000 for all qualified property located in a county with
3,000,000 or more inhabitants and (ii) $55,000 for
qualified property located in a county with fewer than
3,000,000 inhabitants; and
(7) for taxable years 2018 and thereafter, $65,000 for
all qualified property.
"Residence" means the principal dwelling place and
appurtenant structures used for residential purposes in this
State occupied on January 1 of the taxable year by a household
and so much of the surrounding land, constituting the parcel
upon which the dwelling place is situated, as is used for
residential purposes. If the assessor Chief County Assessment
Officer has established a specific legal description for a
portion of property constituting the residence, then that
portion of property shall be deemed the residence for the
purposes of this Section.
"Taxable year" means the calendar year during which ad

SB3242 - 45 - LRB100 19223 HLH 34489 b
valorem property taxes payable in the next succeeding year are
levied.
(c) Beginning in taxable year 1994, a senior citizens
assessment freeze homestead exemption is granted for real
property that is improved with a permanent structure that is
occupied as a residence by an applicant who (i) is 65 years of
age or older during the taxable year, (ii) has a household
income that does not exceed the maximum income limitation,
(iii) is liable for paying real property taxes on the property,
and (iv) is an owner of record of the property or has a legal or
equitable interest in the property as evidenced by a written
instrument. This homestead exemption shall also apply to a
leasehold interest in a parcel of property improved with a
permanent structure that is a single family residence that is
occupied as a residence by a person who (i) is 65 years of age
or older during the taxable year, (ii) has a household income
that does not exceed the maximum income limitation, (iii) has a
legal or equitable ownership interest in the property as
lessee, and (iv) is liable for the payment of real property
taxes on that property.
The In counties of 3,000,000 or more inhabitants, the
amount of the exemption for all taxable years is the equalized
assessed value of the residence in the taxable year for which
application is made minus the base amount. In all other
counties, the amount of the exemption is as follows: (i)
through taxable year 2005 and for taxable year 2007 and

SB3242 - 46 - LRB100 19223 HLH 34489 b
thereafter, the amount of this exemption shall be the equalized
assessed value of the residence in the taxable year for which
application is made minus the base amount; and (ii) for taxable
year 2006, the amount of the exemption is as follows:
(1) For an applicant who has a household income of
$45,000 or less, the amount of the exemption is the
equalized assessed value of the residence in the taxable
year for which application is made minus the base amount.
(2) For an applicant who has a household income
exceeding $45,000 but not exceeding $46,250, the amount of
the exemption is (i) the equalized assessed value of the
residence in the taxable year for which application is made
minus the base amount (ii) multiplied by 0.8.
(3) For an applicant who has a household income
exceeding $46,250 but not exceeding $47,500, the amount of
the exemption is (i) the equalized assessed value of the
residence in the taxable year for which application is made
minus the base amount (ii) multiplied by 0.6.
(4) For an applicant who has a household income
exceeding $47,500 but not exceeding $48,750, the amount of
the exemption is (i) the equalized assessed value of the
residence in the taxable year for which application is made
minus the base amount (ii) multiplied by 0.4.
(5) For an applicant who has a household income
exceeding $48,750 but not exceeding $50,000, the amount of
the exemption is (i) the equalized assessed value of the

SB3242 - 47 - LRB100 19223 HLH 34489 b
residence in the taxable year for which application is made
minus the base amount (ii) multiplied by 0.2.
When the applicant is a surviving spouse of an applicant
for a prior year for the same residence for which an exemption
under this Section has been granted, the base year and base
amount for that residence are the same as for the applicant for
the prior year.
Each year at the time the assessment books are certified to
the County Clerk, the Board of Review or Board of Appeals shall
give to the County Clerk a list of the assessed values of
improvements on each parcel qualifying for this exemption that
were added after the base year for this parcel and that
increased the assessed value of the property.
In the case of land improved with an apartment building
owned and operated as a cooperative or a building that is a
life care facility that qualifies as a cooperative, the maximum
reduction from the equalized assessed value of the property is
limited to the sum of the reductions calculated for each unit
occupied as a residence by a person or persons (i) 65 years of
age or older, (ii) with a household income that does not exceed
the maximum income limitation, (iii) who is liable, by contract
with the owner or owners of record, for paying real property
taxes on the property, and (iv) who is an owner of record of a
legal or equitable interest in the cooperative apartment
building, other than a leasehold interest. In the instance of a
cooperative where a homestead exemption has been granted under

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this Section, 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 credit that savings to an owner who qualifies for the
exemption is guilty of a Class B misdemeanor.
When a homestead exemption has been granted under this
Section and an applicant then becomes a resident of a facility
licensed under the Assisted Living and Shared Housing Act, the
Nursing Home Care Act, the Specialized Mental Health
Rehabilitation Act of 2013, the ID/DD Community Care Act, or
the MC/DD Act, the exemption shall be granted in subsequent
years so long as the residence (i) continues to be occupied by
the qualified applicant's spouse or (ii) if remaining
unoccupied, is still owned by the qualified applicant for the
homestead exemption.
Beginning January 1, 1997, when an individual dies who
would have qualified for an exemption under this Section, and
the surviving spouse does not independently qualify for this
exemption because of age, the exemption under this Section
shall be granted to the surviving spouse for the taxable year
preceding and the taxable year of the death, provided that,
except for age, the surviving spouse meets all other
qualifications for the granting of this exemption for those
years.
When married persons maintain separate residences, the

SB3242 - 49 - LRB100 19223 HLH 34489 b
exemption provided for in this Section may be claimed by only
one of such persons and for only one residence.
For taxable year 1994 only, in counties having less than
3,000,000 inhabitants, to receive the exemption, a person shall
submit an application by February 15, 1995 to the Chief County
Assessment Officer of the county in which the property is
located. In counties having 3,000,000 or more inhabitants, for
taxable year 1994 and all subsequent taxable years, to receive
the exemption, a person may submit an application to the
assessor Chief County Assessment Officer of the county in which
the property is located during such period as may be specified
by the assessor Chief County Assessment Officer. The
assessorChief County Assessment Officer in counties of
3,000,000 or more inhabitants shall annually give notice of the
application period by mail or by publication. In counties
having less than 3,000,000 inhabitants, beginning with taxable
year 1995 and thereafter, to receive the exemption, a person
shall submit an application by July 1 of each taxable year to
the Chief County Assessment Officer of the county in which the
property is located. A county may, by ordinance, establish a
date for submission of applications that is different than July
1. The applicant shall submit with the application 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

SB3242 - 50 - LRB100 19223 HLH 34489 b
shall establish, by rule, a method for verifying the accuracy
of affidavits filed by applicants under this Section, and the
Chief County Assessment Officer may conduct audits of any
taxpayer claiming an exemption under this Section to verify
that the taxpayer is eligible to receive the exemption. Each
application shall contain or be verified by a written
declaration that it is made under the penalties of perjury. A
taxpayer's signing a fraudulent application under this Act is
perjury, as defined in Section 32-2 of the Criminal Code of
2012. The applications shall be clearly marked as applications
for the Senior Citizens Assessment Freeze Homestead Exemption
and must contain a notice that any taxpayer who receives the
exemption is subject to an audit by the assessor Chief County
Assessment Officer.
Notwithstanding any other provision to the contrary, in
counties having fewer than 3,000,000 inhabitants, if an
applicant fails to file the application required by this
Section in a timely manner and this failure to file is due to a
mental or physical condition sufficiently severe so as to
render the applicant incapable of filing the application in a
timely manner, the Chief County Assessment Officer may extend
the filing deadline for a period of 30 days after the applicant
regains the capability to file the application, but in no case
may the filing deadline be extended beyond 3 months of the
original filing deadline. In order to receive the extension
provided in this paragraph, the applicant shall provide the

SB3242 - 51 - LRB100 19223 HLH 34489 b
Chief County Assessment Officer with a signed statement from
the applicant's physician, advanced practice registered nurse,
or physician assistant stating the nature and extent of the
condition, that, in the physician's, advanced practice
registered nurse's, or physician assistant's opinion, the
condition was so severe that it rendered the applicant
incapable of filing the application in a timely manner, and the
date on which the applicant regained the capability to file the
application.
Beginning January 1, 1998, notwithstanding any other
provision to the contrary, in counties having fewer than
3,000,000 inhabitants, if an applicant fails to file the
application required by this Section in a timely manner and
this failure to file is due to a mental or physical condition
sufficiently severe so as to render the applicant incapable of
filing the application in a timely manner, the Chief County
Assessment Officer may extend the filing deadline for a period
of 3 months. In order to receive the extension provided in this
paragraph, the applicant shall provide the Chief County
Assessment Officer with a signed statement from the applicant's
physician, advanced practice registered nurse, or physician
assistant stating the nature and extent of the condition, and
that, in the physician's, advanced practice registered
nurse's, or physician assistant's opinion, the condition was so
severe that it rendered the applicant incapable of filing the
application in a timely manner.

SB3242 - 52 - LRB100 19223 HLH 34489 b
In counties having less than 3,000,000 inhabitants, if an
applicant was denied an exemption in taxable year 1994 and the
denial occurred due to an error on the part of an assessment
official, or his or her agent or employee, then beginning in
taxable year 1997 the applicant's base year, for purposes of
determining the amount of the exemption, shall be 1993 rather
than 1994. In addition, in taxable year 1997, the applicant's
exemption shall also include an amount equal to (i) the amount
of any exemption denied to the applicant in taxable year 1995
as a result of using 1994, rather than 1993, as the base year,
(ii) the amount of any exemption denied to the applicant in
taxable year 1996 as a result of using 1994, rather than 1993,
as the base year, and (iii) the amount of the exemption
erroneously denied for taxable year 1994.
For purposes of this Section, a person who will be 65 years
of age during the current taxable year shall be eligible to
apply for the homestead exemption during that taxable year.
Application shall be made during the application period in
effect for the county of his or her residence.
The assessor Chief County Assessment Officer may determine
the eligibility of a life care facility that qualifies as a
cooperative to receive the benefits provided by this Section by
use of an affidavit, application, visual inspection,
questionnaire, or other reasonable method in order to insure
that the tax savings resulting from the exemption are credited
by the management firm to the apportioned tax liability of each

SB3242 - 53 - LRB100 19223 HLH 34489 b
qualifying resident. The assessor Chief County Assessment
Officer may request reasonable proof that the management firm
has so credited that exemption.
Except as provided in this Section, all information
received by the assessor chief county assessment officer or the
Department from applications filed under this Section, or from
any investigation conducted under the provisions of this
Section, shall be confidential, except for official purposes or
pursuant to official procedures for collection of any State or
local tax or enforcement of any civil or criminal penalty or
sanction imposed by this Act or by any statute or ordinance
imposing a State or local tax. Any person who divulges any such
information in any manner, except in accordance with a proper
judicial order, is guilty of a Class A misdemeanor.
Nothing contained in this Section shall prevent the
Director or assessor chief county assessment officer from
publishing or making available reasonable statistics
concerning the operation of the exemption contained in this
Section in which the contents of claims are grouped into
aggregates in such a way that information contained in any
individual claim shall not be disclosed.
Notwithstanding any other provision of law, for taxable
year 2017 and thereafter, in counties of 3,000,000 or more
inhabitants, the amount of the exemption shall be the greater
of (i) the amount of the exemption otherwise calculated under
this Section or (ii) $2,000.

SB3242 - 54 - LRB100 19223 HLH 34489 b
(d) Each assessor Chief County Assessment Officer shall
annually publish a notice of availability of the exemption
provided under this Section. The notice shall be published at
least 60 days but no more than 75 days prior to the date on
which the application must be submitted to the assessor Chief
County Assessment Officer of the county in which the property
is located. The notice shall appear in a newspaper of general
circulation in the county.
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. 99-143, eff. 7-27-15; 99-180, eff. 7-29-15;
99-581, eff. 1-1-17; 99-642, eff. 7-28-16; 100-401, eff.
8-25-17; 100-513, eff. 1-1-18; revised 9-25-17.)
(35 ILCS 200/15-173)
Sec. 15-173. Natural Disaster Homestead Exemption.
(a) This Section may be cited as the Natural Disaster
Homestead Exemption.
(b) As used in this Section:
"Base amount" means the base year equalized assessed value
of the residence.
"Base year" means the taxable year prior to the taxable
year in which the natural disaster occurred.
"Chief county assessment officer" means the County
Assessor or Supervisor of Assessments of the county in which

SB3242 - 55 - LRB100 19223 HLH 34489 b
the property is located.
"Equalized assessed value" means the assessed value as
equalized by the Illinois Department of Revenue.
"Homestead property" has the meaning ascribed to that term
in Section 15-175 of this Code.
"Natural disaster" means an occurrence of widespread or
severe damage or loss of property resulting from any
catastrophic cause including but not limited to fire, flood,
earthquake, wind, storm, or extended period of severe inclement
weather. In the case of a residential structure affected by
flooding, the structure shall not be eligible for this
homestead improvement exemption unless it is located within a
local jurisdiction which is participating in the National Flood
Insurance Program. A proclamation of disaster by the President
of the United States or Governor of the State of Illinois is
not a prerequisite to the classification of an occurrence as a
natural disaster under this Section.
(c) A homestead exemption shall be granted by the assessor
chief county assessment officer for homestead properties
containing a residential structure that has been rebuilt
following a natural disaster occurring in taxable year 2012 or
any taxable year thereafter. The amount of the exemption is the
equalized assessed value of the residence in the first taxable
year for which the taxpayer applies for an exemption under this
Section minus the base amount. To be eligible for an exemption
under this Section: (i) the residential structure must be

SB3242 - 56 - LRB100 19223 HLH 34489 b
rebuilt within 2 years after the date of the natural disaster;
and (ii) the square footage of the rebuilt residential
structure may not be more than 110% of the square footage of
the original residential structure as it existed immediately
prior to the natural disaster. The taxpayer's initial
application for an exemption under this Section must be made no
later than the first taxable year after the residential
structure is rebuilt. The exemption shall continue at the same
annual amount until the taxable year in which the property is
sold or transferred.
(d) To receive the exemption, the taxpayer shall submit an
application to the assessor chief county assessment officer of
the county in which the property is located by July 1 of each
taxable year. A county may, by resolution, establish a date for
submission of applications that is different than July 1. The
assessor chief county assessment officer may require
additional documentation to be provided by the applicant. The
applications shall be clearly marked as applications for the
Natural Disaster Homestead Exemption.
(e) Property is not eligible for an exemption under this
Section and Section 15-180 for the same natural disaster or
catastrophic event. The property may, however, remain eligible
for an additional exemption under Section 15-180 for any
separate event occurring after the property qualified for an
exemption under this Section.
(f) The exemption under this Section carries over to the

SB3242 - 57 - LRB100 19223 HLH 34489 b
benefit of the surviving spouse as long as the spouse holds the
legal or beneficial title to the homestead and permanently
resides thereon.
(g) 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. 97-716, eff. 6-29-12.)
(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

SB3242 - 58 - LRB100 19223 HLH 34489 b
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 through 2011, the maximum reduction
is $6,000 in all counties. For taxable years 2012 through 2016,
the maximum reduction is $7,000 in counties with 3,000,000 or
more inhabitants and $6,000 in all other counties. For taxable
years 2017 and thereafter, the maximum reduction is $10,000 in
counties with 3,000,000 or more inhabitants and $6,000 in all
other 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) (Blank). 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

SB3242 - 59 - LRB100 19223 HLH 34489 b
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
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.
(d-1) Where In counties with 3,000,000 or more inhabitants,
where the chief county assessment officer provides a notice of
discovery, if a property is not occupied by its owner as a
principal residence as of January 1 of the current tax year,
then the property owner shall notify the chief county
assessment officer of that fact on a form prescribed by the
chief county assessment officer. That notice must be received
by the chief county assessment officer on or before March 1 of
the collection year. If mailed, the form shall be sent by
certified mail, return receipt requested. If the form is
provided in person, the chief county assessment officer shall
provide a date stamped copy of the notice. Failure to provide

SB3242 - 60 - LRB100 19223 HLH 34489 b
timely notice pursuant to this subsection (d-1) shall result in
the exemption being treated as an erroneous exemption. Upon
timely receipt of the notice for the current tax year, no
exemption shall be applied to the property for the current tax
year. If the exemption is not removed upon timely receipt of
the notice by the chief assessment officer, then the error is
considered granted as a result of a clerical error or omission
on the part of the chief county assessment officer as described
in subsection (h) of Section 9-275, and the property owner
shall not be liable for the payment of interest and penalties
due to the erroneous exemption for the current tax year for
which the notice was filed after the date that notice was
timely received pursuant to this subsection. Notice provided
under this subsection shall not constitute a defense or amnesty
for prior year erroneous exemptions.
For the purposes of this subsection (d-1):
"Collection year" means the year in which the first and
second installment of the current tax year is billed.
"Current tax year" means the year prior to the collection
year.
(e) The assessor 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

SB3242 - 61 - LRB100 19223 HLH 34489 b
in effect for the county in which the property is located;
(2) that a copy of the lease must be filed with the
assessor 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
estate taxes with respect to the residence in
accordance with the terms and conditions of Section
15-175 of the Property Tax Code (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

SB3242 - 62 - LRB100 19223 HLH 34489 b
lessee vacates the property, then the assessor chief county
assessment officer may require the owner of the property to
notify the assessor 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
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

SB3242 - 63 - LRB100 19223 HLH 34489 b
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 Persons
with Disabilities Property Tax Relief Act, except that "income"
does not include veteran's benefits.
(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) The 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

SB3242 - 64 - LRB100 19223 HLH 34489 b
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 assessor 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.
(i-5) This subsection (i-5) applies to counties with
3,000,000 or more 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.
Upon receipt of a transfer declaration transmitted by the
recorder pursuant to Section 31-30 of the Real Estate Transfer
Tax Law for property receiving an exemption under this Section,
the assessor shall mail a notice and forms to the new owner of
the property providing information pertaining to the rules and
applicable filing periods for applying or reapplying for
homestead exemptions under this Code for which the property may
be eligible. If the new owner fails to apply or reapply for a
homestead exemption during the applicable filing period or the

SB3242 - 65 - LRB100 19223 HLH 34489 b
property no longer qualifies for an existing homestead
exemption, the assessor shall cancel such exemption for any
ensuing assessment year.
(j) (Blank). 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. 99-143, eff. 7-27-15; 99-164, eff. 7-28-15;
99-642, eff. 7-28-16; 99-851, eff. 8-19-16; 100-401, eff.
8-25-17.)
(35 ILCS 200/15-176)
Sec. 15-176. Alternative general homestead exemption.
(a) For the assessment years as determined under subsection
(j), in any county that has elected, by an ordinance in
accordance with subsection (k), to be subject to the provisions
of this Section in lieu of the provisions of Section 15-175,
homestead property is entitled to an annual homestead exemption
equal to a reduction in the property's equalized assessed value
calculated as provided in this Section.

SB3242 - 66 - LRB100 19223 HLH 34489 b
(b) As used in this Section:
(1) "Assessor" means the supervisor of assessments or
the chief county assessment officer of each county.
(2) "Adjusted homestead value" means the lesser of the
following values:
(A) The property's base homestead value increased
by 7% for each tax year after the base year through and
including the current tax year, or, if the property is
sold or ownership is otherwise transferred, the
property's base homestead value increased by 7% for
each tax year after the year of the sale or transfer
through and including the current tax year. The
increase by 7% each year is an increase by 7% over the
prior year.
(B) The property's equalized assessed value for
the current tax year minus: (i) $4,500 in Cook County
or $3,500 in all other counties in tax year 2003; (ii)
$5,000 in all counties in tax years 2004 and 2005; and
(iii) the lesser of the amount of the general homestead
exemption under Section 15-175 or an amount equal to
the increase in the equalized assessed value for the
current tax year above the equalized assessed value for
1977 in tax year 2006 and thereafter.
(3) "Base homestead value".
(A) Except as provided in subdivision (b)(3)(A-5)
or (b)(3)(B), "base homestead value" means the

SB3242 - 67 - LRB100 19223 HLH 34489 b
equalized assessed value of the property for the base
year prior to exemptions, minus (i) $4,500 in Cook
County or $3,500 in all other counties in tax year
2003, (ii) $5,000 in all counties in tax years 2004 and
2005, or (iii) the lesser of the amount of the general
homestead exemption under Section 15-175 or an amount
equal to the increase in the equalized assessed value
for the current tax year above the equalized assessed
value for 1977 in tax year 2006 and thereafter,
provided that it was assessed for that year as
residential property qualified for any of the
homestead exemptions under Sections 15-170 through
15-175 of this Code, then in force, and further
provided that the property's assessment was not based
on a reduced assessed value resulting from a temporary
irregularity in the property for that year. Except as
provided in subdivision (b)(3)(B), if the property did
not have a residential equalized assessed value for the
base year, then "base homestead value" means the base
homestead value established by the assessor under
subsection (c).
(A-5) On or before September 1, 2007, in Cook
County, the base homestead value, as set forth under
subdivision (b)(3)(A) and except as provided under
subdivision (b) (3) (B), must be recalculated as the
equalized assessed value of the property for the base

SB3242 - 68 - LRB100 19223 HLH 34489 b
year, prior to exemptions, minus:
(1) if the general assessment year for the
property was 2003, the lesser of (i) $4,500 or (ii)
the amount equal to the increase in equalized
assessed value for the 2002 tax year above the
equalized assessed value for 1977;
(2) if the general assessment year for the
property was 2004, the lesser of (i) $4,500 or (ii)
the amount equal to the increase in equalized
assessed value for the 2003 tax year above the
equalized assessed value for 1977;
(3) if the general assessment year for the
property was 2005, the lesser of (i) $5,000 or (ii)
the amount equal to the increase in equalized
assessed value for the 2004 tax year above the
equalized assessed value for 1977.
(B) If the property is sold or ownership is
otherwise transferred, other than sales or transfers
between spouses or between a parent and a child, "base
homestead value" means the equalized assessed value of
the property at the time of the sale or transfer prior
to exemptions, minus: (i) $4,500 in Cook County or
$3,500 in all other counties in tax year 2003; (ii)
$5,000 in all counties in tax years 2004 and 2005; and
(iii) the lesser of the amount of the general homestead
exemption under Section 15-175 or an amount equal to

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the increase in the equalized assessed value for the
current tax year above the equalized assessed value for
1977 in tax year 2006 and thereafter, provided that it
was assessed as residential property qualified for any
of the homestead exemptions under Sections 15-170
through 15-175 of this Code, then in force, and further
provided that the property's assessment was not based
on a reduced assessed value resulting from a temporary
irregularity in the property.
(3.5) "Base year" means (i) tax year 2002 in Cook
County or (ii) tax year 2008 or 2009 in all other counties
in accordance with the designation made by the county as
provided in subsection (k).
(4) "Current tax year" means the tax year for which the
exemption under this Section is being applied.
(5) "Equalized assessed value" means the property's
assessed value as equalized by the Department.
(6) "Homestead" or "homestead property" means:
(A) Residential property that as of January 1 of
the tax year is occupied by its owner or owners as his,
her, or their principal dwelling place, or that is a
leasehold interest on which a single family residence
is situated, that is occupied as a residence by a
person who has a legal or equitable interest therein
evidenced by a written instrument, as an owner or as a
lessee, and on which the person is liable for the

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payment of property taxes. Residential units in an
apartment building owned and operated as a
cooperative, or as a life care facility, which are
occupied by persons who hold a legal or equitable
interest in the cooperative apartment building or life
care facility as owners or lessees, and who are liable
by contract for the payment of property taxes, shall be
included within this definition of homestead property.
(B) A homestead includes the dwelling place,
appurtenant structures, and so much of the surrounding
land constituting the parcel on which the dwelling
place is situated as is used for residential purposes.
If the assessor has established a specific legal
description for a portion of property constituting the
homestead, then the homestead shall be limited to the
property within that description.
(7) "Life care facility" means a facility as defined in
Section 2 of the Life Care Facilities Act.
(c) If the property did not have a residential equalized
assessed value for the base year as provided in subdivision
(b)(3)(A) of this Section, then the assessor shall first
determine an initial value for the property by comparison with
assessed values for the base year of other properties having
physical and economic characteristics similar to those of the
subject property, so that the initial value is uniform in
relation to assessed values of those other properties for the

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base year. The product of the initial value multiplied by the
equalized factor for the base year for homestead properties in
that county, less: (i) $4,500 in Cook County or $3,500 in all
other counties in tax year 2003; (ii) $5,000 in all counties in
tax year years 2004 and 2005; and (iii) the lesser of the
amount of the general homestead exemption under Section 15-175
or an amount equal to the increase in the equalized assessed
value for the current tax year above the equalized assessed
value for 1977 in tax year 2006 and thereafter, is the base
homestead value.
For any tax year for which the assessor determines or
adjusts an initial value and hence a base homestead value under
this subsection (c), the initial value shall be subject to
review by the same procedures applicable to assessed values
established under this Code for that tax year.
(d) The base homestead value shall remain constant, except
that the assessor may revise it under the following
circumstances:
(1) If the equalized assessed value of a homestead
property for the current tax year is less than the previous
base homestead value for that property, then the current
equalized assessed value (provided it is not based on a
reduced assessed value resulting from a temporary
irregularity in the property) shall become the base
homestead value in subsequent tax years.
(2) For any year in which new buildings, structures, or

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other improvements are constructed on the homestead
property that would increase its assessed value, the
assessor shall adjust the base homestead value as provided
in subsection (c) of this Section with due regard to the
value added by the new improvements.
(3) If the property is sold or ownership is otherwise
transferred, the base homestead value of the property shall
be adjusted as provided in subdivision (b)(3)(B). This item
(3) does not apply to sales or transfers between spouses or
between a parent and a child.
(4) the recalculation required in Cook County under
subdivision (b)(3)(A-5).
(e) The amount of the exemption under this Section is the
equalized assessed value of the homestead property for the
current tax year, minus the adjusted homestead value, with the
following exceptions:
(1) The In Cook County, the exemption under this
Section shall not exceed $20,000 for any taxable year
through tax year:
(i) 2005, if the general assessment year for the
property is 2003;
(ii) 2006, if the general assessment year for the
property is 2004; or
(iii) 2007, if the general assessment year for the
property is 2005.
(1.1) Thereafter, in Cook County, and in all other

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counties, the exemption is as follows:
(i) if the general assessment year for the property
is 2006, then the exemption may not exceed: $33,000 for
taxable year 2006; $26,000 for taxable year 2007;
$20,000 for taxable years 2008 and 2009; $16,000 for
taxable year 2010; and $12,000 for taxable year 2011;
(ii) if the general assessment year for the
property is 2007, then the exemption may not exceed:
$33,000 for taxable year 2007; $26,000 for taxable year
2008; $20,000 for taxable years 2009 and 2010; $16,000
for taxable year 2011; and $12,000 for taxable year
2012; and
(iii) if the general assessment year for the
property is 2008, then the exemption may not exceed:
$33,000 for taxable year 2008; $26,000 for taxable year
2009; $20,000 for taxable years 2010 and 2011; $16,000
for taxable year 2012; and $12,000 for taxable year
2013.
(1.5) For In Cook County, for the 2006 taxable year only,
the maximum amount of the exemption set forth under subsection
(e)(1.1)(i) of this Section may be increased: (i) by $7,000 if
the equalized assessed value of the property in that taxable
year exceeds the equalized assessed value of that property in
2002 by 100% or more; or (ii) by $2,000 if the equalized
assessed value of the property in that taxable year exceeds the
equalized assessed value of that property in 2002 by more than

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80% but less than 100%.
(2) In the case of homestead property that also
qualifies for the exemption under Section 15-172, the
property is entitled to the exemption under this Section,
limited to the amount of (i) $4,500 in Cook County or
$3,500 in all other counties in tax year 2003, (ii) $5,000
in all counties in tax years 2004 and 2005, or (iii) the
lesser of the amount of the general homestead exemption
under Section 15-175 or an amount equal to the increase in
the equalized assessed value for the current tax year above
the equalized assessed value for 1977 in tax year 2006 and
thereafter.
(f) In the case of an apartment building owned and operated
as a cooperative, or as a life care facility, that contains
residential units that qualify as homestead property under this
Section, the maximum cumulative exemption amount attributed to
the entire building or facility shall not exceed the sum of the
exemptions calculated for each qualified residential unit. The
cooperative association, management firm, or other person or
entity that manages or controls the cooperative apartment
building or life care facility shall credit the exemption
attributable to each residential unit only to the apportioned
tax liability of the owner or other person responsible for
payment of taxes as to that unit. Any person who willfully
refuses to so credit the exemption is guilty of a Class B
misdemeanor.

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(g) When married persons maintain separate residences, the
exemption provided under this Section shall be claimed by only
one such person and for only one residence.
(h) In the event of a sale or other transfer in ownership
of the homestead property, the exemption under this Section
shall remain in effect for the remainder of the tax year and be
calculated using the same base homestead value in which the
sale or transfer occurs, but (other than for sales or transfers
between spouses or between a parent and a child) shall be
calculated for any subsequent tax year using the new base
homestead value as provided in subdivision (b)(3)(B). The
assessor may require the new owner of the property to apply for
the exemption in the following year.
(i) The assessor may determine whether property qualifies
as a homestead under this Section by application, visual
inspection, questionnaire, or other reasonable methods. Each
year, at the time the assessment books are certified to the
county clerk by the board of review, the assessor shall furnish
to the county clerk a list of the properties qualified for the
homestead exemption under this Section. The list shall note the
base homestead value of each property to be used in the
calculation of the exemption for the current tax year.
(j) In counties with 3,000,000 or more inhabitants, the
provisions of this Section apply as follows:
(1) If the general assessment year for the property is
2003, this Section applies for assessment years 2003

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through 2011. Thereafter, the provisions of Section 15-175
apply.
(2) If the general assessment year for the property is
2004, this Section applies for assessment years 2004
through 2012. Thereafter, the provisions of Section 15-175
apply.
(3) If the general assessment year for the property is
2005, this Section applies for assessment years 2005
through 2013. Thereafter, the provisions of Section 15-175
apply.
In counties with less than 3,000,000 inhabitants, this
Section applies for assessment years (i) 2009, 2010, 2011, and
2012 if tax year 2008 is the designated base year or (ii) 2010,
2011, 2012, and 2013 if tax year 2009 is the designated base
year. Thereafter, the provisions of Section 15-175 apply.
(k) To be subject to the provisions of this Section in lieu
of Section 15-175, a county must adopt an ordinance to subject
itself to the provisions of this Section within 6 months after
August 2, 2010 (the effective date of Public Act 96-1418). In a
county other than Cook County, the ordinance must designate
either tax year 2008 or tax year 2009 as the base year.
(l) 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. 100-201, eff. 8-18-17.)

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(35 ILCS 200/15-177)
Sec. 15-177. The long-time occupant homestead exemption.
(a) If the county has elected, under Section 15-176, to be
subject to the provisions of the alternative general homestead
exemption, then, for taxable years 2007 and thereafter,
regardless of whether the exemption under Section 15-176
applies, qualified homestead property is entitled to an annual
homestead exemption equal to a reduction in the property's
equalized assessed value calculated as provided in this
Section.
(b) As used in this Section:
"Adjusted homestead value" means the lesser of the
following values:
(1) The property's base homestead value increased by:
(i) 10% for each taxable year after the base year through
and including the current tax year for qualified taxpayers
with a household income of more than $75,000 but not
exceeding $100,000; or (ii) 7% for each taxable year after
the base year through and including the current tax year
for qualified taxpayers with a household income of $75,000
or less. The increase each year is an increase over the
prior year; or
(2) The property's equalized assessed value for the
current tax year minus the general homestead deduction.
"Base homestead value" means:
(1) if the property did not have an adjusted homestead

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value under Section 15-176 for the base year, then an
amount equal to the equalized assessed value of the
property for the base year prior to exemptions, minus the
general homestead deduction, provided that the property's
assessment was not based on a reduced assessed value
resulting from a temporary irregularity in the property for
that year; or
(2) if the property had an adjusted homestead value
under Section 15-176 for the base year, then an amount
equal to the adjusted homestead value of the property under
Section 15-176 for the base year.
"Base year" means the taxable year prior to the taxable
year in which the taxpayer first qualifies for the exemption
under this Section.
"Current taxable year" means the taxable year for which the
exemption under this Section is being applied.
"Equalized assessed value" means the property's assessed
value as equalized by the Department.
"Homestead" or "homestead property" means residential
property that as of January 1 of the tax year is occupied by a
qualified taxpayer as his or her principal dwelling place, or
that is a leasehold interest on which a single family residence
is situated, that is occupied as a residence by a qualified
taxpayer who has a legal or equitable interest therein
evidenced by a written instrument, as an owner or as a lessee,
and on which the person is liable for the payment of property

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taxes. Residential units in an apartment building owned and
operated as a cooperative, or as a life care facility, which
are occupied by persons who hold a legal or equitable interest
in the cooperative apartment building or life care facility as
owners or lessees, and who are liable by contract for the
payment of property taxes, are included within this definition
of homestead property. A homestead includes the dwelling place,
appurtenant structures, and so much of the surrounding land
constituting the parcel on which the dwelling place is situated
as is used for residential purposes. If the assessor has
established a specific legal description for a portion of
property constituting the homestead, then the homestead is
limited to the property within that description.
"Household income" has the meaning set forth under Section
15-172 of this Code.
"General homestead deduction" means the amount of the
general homestead exemption under Section 15-175.
"Life care facility" means a facility defined in Section 2
of the Life Care Facilities Act.
"Qualified homestead property" means homestead property
owned by a qualified taxpayer.
"Qualified taxpayer" means any individual:
(1) who, for at least 10 continuous years as of January
1 of the taxable year, has occupied the same homestead
property as a principal residence and domicile or who, for
at least 5 continuous years as of January 1 of the taxable

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year, has occupied the same homestead property as a
principal residence and domicile if that person received
assistance in the acquisition of the property as part of a
government or nonprofit housing program; and
(2) who has a household income of $100,000 or less.
(c) The base homestead value must remain constant, except
that the assessor may revise it under any of the following
circumstances:
(1) If the equalized assessed value of a homestead
property for the current tax year is less than the previous
base homestead value for that property, then the current
equalized assessed value (provided it is not based on a
reduced assessed value resulting from a temporary
irregularity in the property) becomes the base homestead
value in subsequent tax years.
(2) For any year in which new buildings, structures, or
other improvements are constructed on the homestead
property that would increase its assessed value, the
assessor shall adjust the base homestead value with due
regard to the value added by the new improvements.
(d) The amount of the exemption under this Section is the
greater of: (i) the equalized assessed value of the homestead
property for the current tax year minus the adjusted homestead
value; or (ii) the general homestead deduction.
(e) In the case of an apartment building owned and operated
as a cooperative, or as a life care facility, that contains

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residential units that qualify as homestead property of a
qualified taxpayer under this Section, the maximum cumulative
exemption amount attributed to the entire building or facility
shall not exceed the sum of the exemptions calculated for each
unit that is a qualified homestead property. The cooperative
association, management firm, or other person or entity that
manages or controls the cooperative apartment building or life
care facility shall credit the exemption attributable to each
residential unit only to the apportioned tax liability of the
qualified taxpayer as to that unit. Any person who willfully
refuses to so credit the exemption is guilty of a Class B
misdemeanor.
(f) When married persons maintain separate residences, the
exemption provided under this Section may be claimed by only
one such person and for only one residence. No person who
receives an exemption under Section 15-172 of this Code may
receive an exemption under this Section. No person who receives
an exemption under this Section may receive an exemption under
Section 15-175 or 15-176 of this Code.
(g) In the event of a sale or other transfer in ownership
of the homestead property between spouses or between a parent
and a child, the exemption under this Section remains in effect
if the new owner has a household income of $100,000 or less.
(h) In the event of a sale or other transfer in ownership
of the homestead property other than subsection (g) of this
Section, the exemption under this Section shall remain in

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effect for the remainder of the tax year and be calculated
using the same base homestead value in which the sale or
transfer occurs.
(i) To receive the exemption, a person must submit an
application to the county assessor during the period specified
by the county assessor.
The county assessor shall annually give notice of the
application period by mail or by publication.
The taxpayer must submit, with the application, an
affidavit of the taxpayer's total household income, 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 establish, by rule, a method for verifying the accuracy
of affidavits filed by applicants under this Section, and the
Chief County Assessment Officer may conduct audits of any
taxpayer claiming an exemption under this Section to verify
that the taxpayer is eligible to receive the exemption. Each
application shall contain or be verified by a written
declaration that it is made under the penalties of perjury. A
taxpayer's signing a fraudulent application under this Act is
perjury, as defined in Section 32-2 of the Criminal Code of
2012. The applications shall be clearly marked as applications
for the Long-time Occupant Homestead Exemption and must contain
a notice that any taxpayer who receives the exemption is
subject to an audit by the assessor Chief County Assessment

SB3242 - 83 - LRB100 19223 HLH 34489 b
Officer.
(j) 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. 97-1150, eff. 1-25-13.)
(35 ILCS 200/15-180)
Sec. 15-180. Homestead improvements. Homestead properties
that have been improved and residential structures on homestead
property that have been rebuilt following a catastrophic event
are entitled to a homestead improvement exemption, limited to
$30,000 per year through December 31, 1997, $45,000 beginning
January 1, 1998 and through December 31, 2003, and $75,000 per
year for that homestead property beginning January 1, 2004 and
thereafter, in fair cash value, when that property is owned and
used exclusively for a residential purpose and upon
demonstration that a proposed increase in assessed value is
attributable solely to a new improvement of an existing
structure or the rebuilding of a residential structure
following a catastrophic event. To be eligible for an exemption
under this Section after a catastrophic event, the residential
structure must be rebuilt within 2 years after the catastrophic
event. The exemption for rebuilt structures under this Section
applies to the increase in value of the rebuilt structure over
the value of the structure before the catastrophic event. The
amount of the exemption shall be limited to the fair cash value

SB3242 - 84 - LRB100 19223 HLH 34489 b
added by the new improvement or rebuilding and shall continue
for 4 years from the date the improvement or rebuilding is
completed and occupied, or until the next following general
assessment of that property, whichever is later.
A proclamation of disaster by the President of the United
States or Governor of the State of Illinois is not a
prerequisite to the classification of an occurrence as a
catastrophic event under this Section. A "catastrophic event"
may include an occurrence of widespread or severe damage or
loss of property resulting from any catastrophic cause
including but not limited to fire, including arson (provided
the fire was not caused by the willful action of an owner or
resident of the property), flood, earthquake, wind, storm,
explosion, or extended periods of severe inclement weather. In
the case of a residential structure affected by flooding, the
structure shall not be eligible for this homestead improvement
exemption unless it is located within a local jurisdiction
which is participating in the National Flood Insurance Program.
In counties of less than 3,000,000 inhabitants, in addition
to the notice requirement under Section 12-30, a supervisor of
assessments, county assessor, or township or multi-township
assessor responsible for adding an assessable improvement to a
residential property's assessment shall either notify a
taxpayer whose assessment has been changed since the last
preceding assessment that he or she may be eligible for the
exemption provided under this Section or shall grant the

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exemption automatically.
Beginning January 1, 1999, in counties of 3,000,000 or more
inhabitants, an application for a homestead improvement
exemption for a residential structure that has been rebuilt
following a catastrophic event must be submitted to the
assessor Chief County Assessment Officer with a valuation
complaint and a copy of the building permit to rebuild the
structure. The assessor Chief County Assessment Officer may
require additional documentation which must be provided by the
applicant.
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. 93-715, eff. 7-12-04.)
(35 ILCS 200/Art. 15 Div. 3 heading new)
Division 3. Homestead exemptions in counties with fewer than
3,000,000 inhabitants
(35 ILCS 200/15-261 new)
Sec. 15-261. Applicability. This Division 3 applies in
counties with fewer than 3,000,000 inhabitants and encompasses
this Section and Sections in Article 15 occurring after this
Section.
(35 ILCS 200/15-262 new)

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Sec. 15-262. Homestead Exemptions; Definitions.
(a) "Homestead property" under this Section includes:
(1) Property that is occupied as a principal dwelling
place by its owner or owners who are liable for the payment
of property taxes; or
(2) A leasehold interest in property on which a
detached single-family residence is situated, which is
occupied as a principal dwelling place by a person or
persons who has an ownership interest therein, legal or
equitable or as a lessee, and on which the person or
persons is liable for the payment of property taxes; or
(3) A unit in an apartment building owned and operated
as a cooperative, occupied as a principal dwelling place 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; or
(4) A unit within a building which is a life care
facility operated as a cooperative, 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.
(b) "Homestead owner" under this Section includes:

SB3242 - 87 - LRB100 19223 HLH 34489 b
(1) The person or persons who own and occupy
residential property as a principal dwelling place by its
owner or owners who are liable for the payment of property
taxes as of January 1 of a taxable year; or
(2) The person or persons who possess a leasehold
interest in property on which a detached single-family
residence is situated, and occupy said detached
single-family residence as a principal dwelling place,
have an ownership interest therein, legal or equitable or
as a lessee, and on which the person or persons are liable
for the payment of property taxes.
(3) The person or persons who are liable, by contract
with the owner or owners of record, for paying property
taxes on a unit in an apartment building owned and operated
as a cooperative, occupy the unit as a principal dwelling
place, and are an owner or owners of record of a legal or
equitable interest in the cooperative apartment building,
other than a leasehold interest.
(4) The person or persons who are liable, by contract
with the owner or owners of record, for paying property
taxes on a unit within a building which is a life care
facility, occupy the unit as a principal dwelling place,
and are an owner or owners of record of a legal or
equitable interest in the cooperative apartment building,
other than a leasehold interest.
(c) "Life care facility" means as defined under Section 2

SB3242 - 88 - LRB100 19223 HLH 34489 b
of the Life Care Facilities Act with which the homestead owner
has a life care contract as defined in that Act.
(d) "State-licensed care facility" means a facility
licensed under the Assisted Living and Shared Housing Act, the
Nursing Home Care Act, the Specialized Mental Health
Rehabilitation Act of 2013, the ID/DD Community Care Act, or
the MC/DD Act.
(e) "Veterans care facility" means a facility operated by
the United States Department of Veterans Affairs.
(f) "Assessed Value" means the value of the property after
equalization by a chief county assessment officer or board of
review, but before equalization by the Department.
(g) "Equalized Assessed Value" means the value of the
property after equalization by the Department.
(35 ILCS 200/15-263 new)
Sec. 15-263. Homestead Exemptions; General Provisions.
(a) Unless otherwise provided, an initial application for
any homestead exemption must be made to the Chief County
Assessment Officer during the application period in effect for
the county of his or her residence. The Chief County Assessment
Officer may determine the eligibility of residential property
to receive the homestead exemption provided by this Section by
application, visual inspection, questionnaire, or other
reasonable methods. The determination must be made in
accordance with guidelines established by the Department.

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(b) Unless otherwise provided, a county board may by
resolution provide that if a person has been granted a
homestead exemption, the person qualifying need not reapply for
the exemption.
(c) If the Chief County Assessment Officer requires annual
application for verification of eligibility for an exemption
once granted under this Section, the application shall be
mailed to the taxpayer.
(d) If a homestead exemption is granted to a property that
is operated as a cooperative or as a life care facility
operated as a cooperative, the cooperative association or
management firm shall credit the savings resulting from the
exemption to the apportioned tax liability of the homestead
owner. The Chief County Assessment Officer may request
reasonable proof that the association or firm has properly
credited the exemption. A person who willfully refuses to
credit an exemption to the qualified person is guilty of a
Class B misdemeanor.
(e) The Chief County Assessment Officer shall provide to
each person granted a homestead exemption under Sections
15-268, 15-269, 15-270, and 15-272 a form to designate any
other person to receive a duplicate of any notice of
delinquency in the payment of taxes assessed and levied under
this Code on the person's qualifying property. The duplicate
notice shall be in addition to the notice required to be
provided to the person receiving the exemption and shall be

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given in the manner required by this Code. The person filing
the request for the duplicate notice shall pay an
administrative fee of $5 to the Chief County Assessment
Officer. The Chief County Assessment Officer shall then file
the executed designation with the county collector, who shall
issue the duplicate notices as indicated by the designation. A
designation may be rescinded by the person in the manner
required by the Chief County Assessment Officer.
(f) The Chief County Assessment Officer may, when
considering whether to grant an exemption based on a homestead
owner's eligibility pursuant to Section 15-262(b)(2), 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 estate taxes with respect to
the residence in accordance with the terms and conditions

SB3242 - 91 - LRB100 19223 HLH 34489 b
of Section 15-262(b)(2) of the Property Tax Code (35 ILCS
200/15-262(b)(2)). 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 (f) does not apply to leasehold interests
in property owned by a municipality.
(g) When a homestead exemption has been granted under this
Section and the person qualifying subsequently becomes a
resident of a State-licensed care facility or veterans care
facility, the exemption shall continue so long as the residence
continues to be occupied by the qualifying person's spouse, or
if the residence remains unoccupied but is still owned by the
person qualified for the homestead exemption.

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(h) Any taxpayer whose application for a homestead
exemption is denied by the Chief County Assessment Officer may
appeal that denial to the county Board of Review. The decision
of the Board of Review shall be final.
(i) Notwithstanding any other provision, if a property
transfers or otherwise ceases to be homestead property after
the first date of eligibility within a taxable year, the
exemption shall remain with the property until the end of that
taxable year.
(j) 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 homestead exemptions
under this Division.
(35 ILCS 200/15-265 new)
Sec. 15-265. Veterans with disabilities adapted housing
homestead exemption.
(a) Definitions. In addition to the definitions found in
Section 15-262:
"Veteran with a disability" means a person who has served
in the Armed Forces of the United States and whose disability
is of such a nature that the federal government has authorized
payment for purchase or construction of specially adapted
housing as set forth in the United States Code, Title 38,
Chapter 21, Section 2101.
"Unmarried surviving spouse" means the surviving spouse of

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the veteran at any time after the death of the veteran during
which such surviving spouse is not married.
"Charitable organization" means any benevolent,
philanthropic, patriotic, or eleemosynary entity that solicits
and collects funds for charitable purposes and includes each
local, county, or area division of that charitable
organization.
(b) Eligibility. The homestead property must be occupied by
a homestead owner who is a veteran with a disability, or the
spouse or unmarried surviving spouse of the veteran.
The exemption applies to housing where federal funds have
been used to purchase or construct special adaptations to suit
the veteran's disability.
The exemption also applies to housing that is specially
adapted to suit the veteran's disability, and purchased
entirely or in part by the proceeds of a sale, casualty loss
reimbursement, or other transfer of a home for which the
federal government had previously authorized payment for
purchase or construction as specially adapted housing.
However, the entire proceeds of the sale, casualty loss
reimbursement, or other transfer of that housing shall be
applied to the acquisition of subsequent specially adapted
housing to the extent that the proceeds equal the purchase
price of the subsequently acquired housing.
The exemption also applies to housing that is specifically
constructed or adapted to suit a qualifying veteran's

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disability if the housing or adaptations are donated by a
charitable organization, the veteran has been approved to
receive funds for the purchase or construction of specially
adapted housing under Title 38, Chapter 21, Section 2101 of the
United States Code, and the home has been inspected and
certified by a licensed home inspector to be in compliance with
applicable standards set forth in U.S. Department of Veterans
Affairs, Veterans Benefits Administration Pamphlet 26-13,
Handbook for Design: Specially Adapted Housing.
(c) Amount. Eligible homestead property up to an equalized
assessed value of $100,000 is exempt.
(d) Additional provisions. This exemption must be
reestablished on an annual basis by certification from the
Illinois Department of Veterans' Affairs to the Department,
which shall forward a copy of the certification to local
assessing officials.
A taxpayer who claims an exemption under Section 15-268 or
15-269 may not claim an exemption under this Section.
(35 ILCS 200/15-267 new)
Sec. 15-267. Returning Veterans' Homestead Exemption.
(a) Definitions. In addition to the definitions found in
Section 15-262, "veteran" means an Illinois resident who has
served as a member of the United States Armed Forces, a member
of the Illinois National Guard, or a member of the United
States Reserve Forces.

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(b) Eligibility. The homestead property must be occupied by
a homestead owner who is a veteran returning from an armed
conflict involving the armed forces of the United States.
(c) Amount. The reduction is $5,000 in equalized assessed
value for the taxable year in which the veteran returns from
active duty in an armed conflict involving the armed forces of
the United States; however, if the veteran first acquires his
or her principal residence during the taxable year in which he
or she returns, but after January 1 of that year, and if the
property is owned and occupied by the veteran as a principal
residence on January 1 of the next taxable year, he or she may
apply the exemption for the next taxable year, and only the
next taxable year, after he or she returns. The reduction shall
also be allowed for the taxable year after the taxable year in
which the veteran returns from active duty in an armed conflict
involving the armed forces of the United States. For land
improved with an apartment building owned and operated as a
cooperative, the maximum reduction from the value of the
property, as equalized by the Department, must be multiplied by
the number of apartments or units occupied by a veteran
returning from an armed conflict involving the armed forces of
the United States 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.

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(d) Additional Provisions. The exemption under this
Section is in addition to any other homestead exemption
provided in this Article 15.
(35 ILCS 200/15-268 new)
Sec. 15-268. Homestead Exemption for persons with
disabilities.
(a) Definitions. In addition to the definitions found in
Section 15-262, "person with a disability" means a person
unable to engage in any substantial gainful activity by reason
of a medically determinable physical or mental impairment which
can be expected to result in death or has lasted or can be
expected to last for a continuous period of not less than 12
months.
(b) Eligibility. An annual homestead exemption is granted
to homestead property occupied by a homestead owner who is also
a person with a disability. A person who has a disability
during the taxable year is eligible to receive this homestead
exemption during that taxable year.
(c) Amount. The annual exemption amount is $2,000 in
equalized assessed value, to be deducted from the property's
value as equalized or assessed by the Department; except that
for land improved with (i) an apartment building owned and
operated as a cooperative or (ii) a life care facility that is
considered to be a cooperative, the maximum reduction from the
value of the property, as equalized or assessed by the

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Department, shall be multiplied by the number of apartments or
units occupied by a disabled person.
(d) Additional provisions.
(1) A person with a disability filing claims under this
Act shall submit proof of disability in such form and
manner as the Department shall by rule and regulation
prescribe. Any one or more of the following shall
constitute proof of disability for purposes of this Act:
(A) Proof that a claimant is eligible to receive
disability benefits under the Federal Social Security
Act; or
(B) Issuance of an Illinois Person with a
Disability Identification Card stating that the
claimant is under a Class 2 or 2A disability, as
defined in Section 4A of the Illinois Identification
Card Act; or
(C) A person with a disability not covered under
the Federal Social Security Act and not presenting an
Illinois Person with a Disability Identification Card
stating that the claimant is under a Class 2 disability
shall be examined by a physician licensed to practice
in the State of Illinois, and his status as a person
with a disability determined using the same standards
as used by the Social Security Administration. The
costs of any required examination shall be borne by the
claimant.

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(e) A taxpayer who claims an exemption under Section 15-265
or 15-269 may not claim an exemption under this Section.
(35 ILCS 200/15-269 new)
Sec. 15-269. Homestead exemption for veterans with
disabilities.
(a) Definitions. In addition to the definitions found in
Section 15-262:
"Qualified residence" means homestead property, but
less any portion of that property that is used for
commercial purposes, with an equalized assessed value of
less than $250,000. Property rented for more than 6 months
is presumed to be used for commercial purposes.
"Veteran" means an Illinois resident who has served as
a member of the United States Armed Forces on active duty
or State active duty, a member of the Illinois National
Guard, or a member of the United States Reserve Forces and
who has received an honorable discharge.
(b) Eligibility. An annual homestead exemption, limited to
the amounts set forth in subsection (c), is granted for
homestead property that is used as a qualified residence by a
homestead owner who is a veteran with a disability.
(c) Amount. The amount of the exemption under this Section
is as follows:
(1) if the veteran has a service-connected disability
of 30% or more but less than 50%, as certified by the

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United States Department of Veterans Affairs, then the
annual exemption is $2,500 of equalized assessed value;
(2) if the veteran has a service-connected disability
of 50% or more but less than 70%, as certified by the
United States Department of Veterans Affairs, then the
annual exemption is $5,000 of equalized assessed value; and
(3) if the veteran has a service connected disability
of 70% or more, as certified by the United States
Department of Veterans Affairs, then the property is exempt
from taxation under this Code.
(d) Additional provisions.
(1) The tax exemption under this Section carries over
to the benefit of the veteran's surviving spouse as long as
the spouse holds the legal or beneficial title to the
homestead, permanently resides thereon, and does not
remarry. If the surviving spouse sells the property, an
exemption not to exceed the amount granted from the most
recent ad valorem tax roll may be transferred to his or her
new residence as long as it is used as his or her primary
residence and he or she does not remarry.
(2) A taxpayer who claims an exemption under Section
15-265 or 15-268 may not claim an exemption under this
Section.
(3) Each taxpayer who has been granted an exemption
under this Section must reapply on an annual basis.
Application must be made during the application period in

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effect for the county of his or her residence.
(35 ILCS 200/15-270 new)
Sec. 15-270. Senior Citizens Homestead Exemption.
(a) Definitions. The definitions found in Section 15-262
shall apply to this Section.
(b) Eligibility. An annual homestead exemption limited,
except as described here with relation to cooperatives or life
care facilities, to a maximum reduction set forth below from
the property's value, as equalized or assessed by the
Department, is granted for homestead property that is occupied
by a homestead owner who will be 65 years of age or older by
December 31 of the taxable year.
(c) Amount.
(1) The maximum reduction is $5,000 of equalized
assessed value.
(2) For land improved with an apartment building owned
and operated as a cooperative, the maximum reduction from
the value of the property, as equalized by the Department.
(3) Property that is first occupied as a residence
after January 1 of any assessment year by a person who is
eligible for the homestead exemption under this Section
must be granted a pro-rata exemption for the assessment
year. The amount of the pro-rata exemption is the exemption
allowed in the county under this Section divided by 365 and
multiplied by the number of days during the assessment year

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the property is occupied as a residence by a person
eligible for the exemption under this Section. The Chief
County Assessment Officer must adopt reasonable procedures
to establish eligibility for this pro-rata exemption.
(d) Additional provisions. The Chief County Assessment
Officer shall notify each person who qualifies for an exemption
under this Section that the person may also qualify for
deferral of real estate taxes under the Senior Citizens Real
Estate Tax Deferral Act. The notice shall set forth the
qualifications needed for deferral of real estate taxes, the
address and telephone number of the county collector, and a
statement that applications for deferral of real estate taxes
may be obtained from the county collector.
(35 ILCS 200/15-272 new)
Sec. 15-272. Senior Citizens Assessment Freeze Homestead
Exemption.
(a) Definitions. In addition to the definitions found in
Section 15-262:
"Applicant" means an individual who has filed an
application under this Section.
"Base amount" means the base year equalized assessed
value of the residence plus the first year's equalized
assessed value of any added improvements which increased
the assessed value of the residence after the base year.
"Base year" means the taxable year prior to the taxable

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year for which the applicant first qualifies and applies
for the exemption provided that in the prior taxable year
the property was improved with a permanent structure that
was occupied as a residence by the applicant who was liable
for paying real property taxes on the property and who was
either (i) an owner of record of the property or had legal
or equitable interest in the property as evidenced by a
written instrument or (ii) had a legal or equitable
interest as a lessee in the parcel of property that was a
single-family residence. If in any subsequent taxable year
for which the applicant applies and qualifies for the
exemption the equalized assessed value of the residence is
less than the equalized assessed value in the existing base
year (provided that such equalized assessed value is not
based on an assessed value that results from a temporary
irregularity in the property that reduces the assessed
value for one or more taxable years), then that subsequent
taxable year shall become the base year until a new base
year is established under the terms of this paragraph. For
taxable year 1999 only, the Chief County Assessment Officer
shall review (i) all taxable years for which the applicant
applied and qualified for the exemption and (ii) the
existing base year. The assessment officer shall select as
the new base year the year with the lowest equalized
assessed value. An equalized assessed value that is based
on an assessed value that results from a temporary

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irregularity in the property that reduces the assessed
value for one or more taxable years shall not be considered
the lowest equalized assessed value. The selected year
shall be the base year for taxable year 1999 and thereafter
until a new base year is established under the terms of
this paragraph.
"Household" means the applicant, the spouse of the
applicant, and all persons using the residence of the
applicant as their principal place of residence.
"Household income" means the combined income of the
members of a household for the calendar year preceding the
taxable year.
"Income" has the same meaning as provided in Section
3.07 of the Senior Citizens and Persons with Disabilities
Property Tax Relief Act, except that, beginning in
assessment year 2001, "income" does not include veteran's
benefits.
"Internal Revenue Code of 1986" means the United States
Internal Revenue Code of 1986 or any successor law or laws
relating to federal income taxes in effect for the year
preceding the taxable year.
"Maximum income limitation" means $65,000.
"Residence" means the principal dwelling place and
appurtenant structures used for residential purposes in
this State occupied on January 1 of the taxable year by a
household and so much of the surrounding land, constituting

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the parcel upon which the dwelling place is situated, as is
used for residential purposes. If the Chief County
Assessment Officer has established a specific legal
description for a portion of property constituting the
residence, then that portion of property shall be deemed
the residence for the purposes of this Section.
"Taxable year" means the calendar year during which ad
valorem property taxes payable in the next succeeding year
are levied.
(b) Eligibility. A senior citizens assessment freeze
homestead exemption is granted for homestead property that is
occupied by a homestead owner who (i) is 65 years of age or
older by December 31 of the taxable year, and (ii) has a
household income that does not exceed the maximum income
limitation.
(c) Amount.
(1) The amount of the exemption for all taxable years
is the equalized assessed value of the residence in the
taxable year for which application is made minus the base
amount.
(2) When the applicant is a surviving spouse of an
applicant for a prior year for the same residence for which
an exemption under this Section has been granted, the base
year and base amount for that residence are the same as for
the applicant for the prior year.
(3) Each year at the time the assessment books are

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certified to the County Clerk, the Board of Review shall
give to the County Clerk a list of the assessed values of
improvements on each parcel qualifying for this exemption
that were added after the base year for this parcel and
that increased the assessed value of the property.
(4) In the case of land improved with an apartment
building owned and operated as a cooperative or a building
that is a life care facility that qualifies as a
cooperative, the maximum reduction from the equalized
assessed value of the property is limited to the sum of the
reductions calculated for each unit occupied as a residence
by a person or persons (i) 65 years of age or older, (ii)
with a household income that does not exceed the maximum
income limitation, (iii) who is liable, by contract with
the owner or owners of record, for paying real property
taxes on the property, and (iv) who is an owner of record
of a legal or equitable interest in the cooperative
apartment building, other than a leasehold interest.
(d) Additional provisions.
(1) When an individual dies who would have qualified
for an exemption under this Section, and the surviving
spouse does not independently qualify for this exemption
because of age, the exemption under this Section shall be
granted to the surviving spouse for the taxable year
preceding and the taxable year of the death, provided that,
except for age, the surviving spouse meets all other

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qualifications for the granting of this exemption for those
years.
(2) When married persons maintain separate residences,
the exemption provided for in this Section may be claimed
by only one of such persons and for only one residence.
(3) To receive the exemption, a person shall submit an
application by July 1 of each taxable year to the Chief
County Assessment Officer of the county in which the
property is located.
(4) A county may, by ordinance, establish a date for
submission of applications that is different than July 1.
(5) The applicant shall submit with the application 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.
(6) The Department shall establish, by rule, a method
for verifying the accuracy of affidavits filed by
applicants under this Section, and the Chief County
Assessment Officer may conduct audits of any taxpayer
claiming an exemption under this Section to verify that the
taxpayer is eligible to receive the exemption.
(7) Each application shall contain or be verified by a
notarized declaration that it is made under the penalties
of perjury. A taxpayer's signing a fraudulent application

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under this Act is perjury, as defined in Section 32-2 of
the Criminal Code of 2012.
(8) The applications shall be clearly marked as
applications for the Senior Citizens Assessment Freeze
Homestead Exemption and must contain a notice that any
taxpayer who receives the exemption is subject to an audit
by the Chief County Assessment Officer.
(9) Except as provided in this Section, all information
received by the Chief County Assessment Officer or the
Department from applications filed under this Section, or
from any investigation conducted under the provisions of
this Section, shall be confidential, except for official
purposes or pursuant to official procedures for collection
of any State or local tax or enforcement of any civil or
criminal penalty or sanction imposed by this Act or by any
statute or ordinance imposing a State or local tax. Any
person who divulges any such information in any manner,
except in accordance with a proper judicial order, is
guilty of a Class A misdemeanor.
Nothing contained in this Section shall prevent the
Director or Chief County Assessment Officer from
publishing or making available reasonable statistics
concerning the operation of the exemption contained in this
Section in which the contents of claims are grouped into
aggregates in such a way that information contained in any
individual claim shall not be disclosed.

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(10) Each Chief County Assessment Officer shall
annually publish a notice of availability of the exemption
provided under this Section. The notice shall be published
at least 60 days but no more than 75 days prior to the date
on which the application must be submitted to the Chief
County Assessment Officer of the county in which the
property is located. The notice shall appear in a newspaper
of general circulation in the county.
(35 ILCS 200/15-273 new)
Sec. 15-273. Natural Disaster Homestead Exemption.
(a) Definitions. In addition to the definitions found in
Section 15-262:
"Base amount" means the base year equalized assessed
value of the residence.
"Base year" means the taxable year prior to the taxable
year in which the natural disaster occurred.
"Natural disaster" means an occurrence of widespread
or severe damage or loss of property resulting from any
catastrophic cause, including, but not limited to, fire,
flood, earthquake, wind, storm, or extended period of
severe inclement weather. In the case of a residential
structure affected by flooding, the structure shall not be
eligible for this homestead improvement exemption unless
it is located within a local jurisdiction which is
participating in the National Flood Insurance Program. A

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proclamation of disaster by the President of the United
States or Governor of the State of Illinois is not a
prerequisite to the classification of an occurrence as a
natural disaster under this Section.
(b) Eligibility. A homestead exemption shall be granted by
the Chief County Assessment Officer for homestead properties
containing a residential structure that has been rebuilt
following a natural disaster occurring in taxable year 2012 or
any taxable year thereafter.
To be eligible for an exemption under this Section: (i) the
residential structure must be rebuilt within 2 years after the
date of the natural disaster; and (ii) the square footage of
the rebuilt residential structure may not be more than 110% of
the square footage of the original residential structure as it
existed immediately prior to the natural disaster. The
taxpayer's initial application for an exemption under this
Section must be made no later than the first taxable year after
the residential structure is rebuilt. The exemption shall
continue at the same annual amount until the taxable year in
which the property is sold or transferred.
(c) Amount. The amount of the exemption is the equalized
assessed value of the residence in the first taxable year for
which the taxpayer applies for an exemption under this Section
minus the base amount.
(d) Additional provisions.
(1) To receive the exemption, the taxpayer shall submit

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an application to the Chief County Assessment Officer of
the county in which the property is located by July 1 of
each taxable year. A county may, by resolution, establish a
date for submission of applications that is different than
July 1. The applications shall be clearly marked as
applications for the Natural Disaster Homestead Exemption.
(2) Property is not eligible for an exemption under
this Section and Section 15-280 for the same natural
disaster or catastrophic event. The property may, however,
remain eligible for an additional exemption under Section
15-280 for any separate event occurring after the property
qualified for an exemption under this Section.
(3) The exemption under this Section carries over to
the benefit of the surviving spouse as long as the spouse
holds the legal or beneficial title to the homestead and
permanently resides thereon.
(35 ILCS 200/15-275 new)
Sec. 15-275. General homestead exemption.
(a) Definitions. The definitions found in Section 15-262
are applicable to this Section.
(b) Eligibility. Homestead property occupied by a
homestead owner 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

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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.
(c) Amount.
(1) The maximum reduction is $6,000 of equalized
assessed value.
(2) 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) Additional provisions.
(1) If in any 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 the increase in
equalized assessed value of the property for the year of

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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.
(2) 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.
(35 ILCS 200/15-280 new)
Sec. 15-280. Homestead improvement exemption.
(a) Definitions. In addition to the definitions found in
Section 15-262, a "catastrophic event" may include an
occurrence of widespread or severe damage or loss of property
resulting from any catastrophic cause including but not limited
to fire, including arson (provided the fire was not caused by
the willful action of an owner or resident of the property),
flood, earthquake, wind, storm, explosion, or extended periods
of severe inclement weather. In the case of a residential
structure affected by flooding, the structure shall not be
eligible for this homestead improvement exemption unless it is

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located within a local jurisdiction which is participating in
the National Flood Insurance Program. A proclamation of
disaster by the President of the United States or Governor of
the State of Illinois is not a prerequisite to the
classification of an occurrence as a catastrophic event under
this Section.
(b) Eligibility. Homestead properties that have been
improved and residential structures on homestead property that
have been rebuilt following a catastrophic event are entitled
to a homestead improvement exemption, when that property is
owned by a homestead owner and used exclusively for a
residential purpose and upon demonstration that a proposed
increase in assessed value is attributable solely to a new
improvement of an existing structure or the rebuilding of a
residential structure following a catastrophic event. To be
eligible for an exemption under this Section after a
catastrophic event, the residential structure must be rebuilt
within 2 years after the catastrophic event. The exemption for
rebuilt structures under this Section applies to the increase
in value of the rebuilt structure over the value of the
structure before the catastrophic event. The amount of the
exemption shall be limited to the fair cash value added by the
new improvement or rebuilding and shall continue for 4 years
from the date the improvement or rebuilding is completed and
occupied.
(c) Amount. The exemption is limited to $25,000 of

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equalized assessed value.
(d) Additional Provisions. In addition to the notice
requirement under Section 12-30, a supervisor of assessments,
county assessor, or township or multi-township assessor
responsible for adding an assessable improvement to a
residential property's assessment shall either notify a
taxpayer whose assessment has been changed since the last
preceding assessment that he or she may be eligible for the
exemption provided under this Section or shall grant the
exemption automatically.
Section 99. Effective date. This Act takes effect January
1, 2019.
SB3242 - 115 - LRB100 19223 HLH 34489 b
INDEX
Statutes amended in order of appearance
35 ILCS 200/9-275
35 ILCS 200/Art. 10 Div.
20 heading new
35 ILCS 200/10-800 was 35 ILCS 200/15-174
35 ILCS 200/Art. 15 Div. 1
heading new
35 ILCS 200/15-13 new
35 ILCS 200/Art. 15 Div. 2
heading new
35 ILCS 200/15-163 new
35 ILCS 200/15-167
35 ILCS 200/15-168
35 ILCS 200/15-169
35 ILCS 200/15-170
35 ILCS 200/15-172
35 ILCS 200/15-173
35 ILCS 200/15-175
35 ILCS 200/15-176
35 ILCS 200/15-177
35 ILCS 200/15-180
35 ILCS 200/Art. 15 Div. 3
heading new
35 ILCS 200/15-261 new
SB3242 - 116 - LRB100 19223 HLH 34489 b