Bill Text: IL HB3511 | 2023-2024 | 103rd General Assembly | Introduced

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Bill Title: Amends the Property Tax Code. Provides that, if property qualifies for the senior citizens homestead exemption, but the property owner fails to apply for the exemption during the application period, then the property owner may apply to any or all of the taxing districts in which the property is located to receive a refund of that taxing district's share of the excess property taxes extended against the property as a result of the failure to apply the exemption. Effective immediately.

Spectrum: Partisan Bill (Democrat 3-0)

Status: (Introduced) 2024-04-05 - Rule 19(a) / Re-referred to Rules Committee [HB3511 Detail]

Download: Illinois-2023-HB3511-Introduced.html

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103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB3511 Introduced , by Rep. Dagmara Avelar SYNOPSIS AS INTRODUCED:
35 ILCS 200/15-170
Amends the Property Tax Code. Provides that, if property qualifies for the senior citizens homestead exemption, but the property owner fails to apply for the exemption during the application period, then the property owner may apply to any or all of the taxing districts in which the property is located to receive a refund of that taxing district's share of the excess property taxes extended against the property as a result of the failure to apply the exemption. Effective immediately.
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A BILL FOR
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AN ACT concerning revenue.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Property Tax Code is amended by changing
Section 15-170 as follows:
(35 ILCS 200/15-170)
Sec. 15-170. Senior citizens homestead exemption.
(a) 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

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$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 $5,000 in
all counties. For taxable years 2017 through 2022, the maximum
reduction is $8,000 in counties with 3,000,000 or more
inhabitants and $5,000 in all other counties. For taxable
years 2023 and thereafter, the maximum reduction is $8,000 in
counties with 3,000,000 or more inhabitants and counties that
are contiguous to a county of 3,000,000 or more inhabitants
and $5,000 in all other counties.
(b) 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

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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
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.
(c) 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.

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(d) 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.
(e) 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
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 chief county assessment
officer must adopt reasonable procedures to establish
eligibility for this pro-rata exemption.
(f) 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.

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(g) 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
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.
(h) 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.
(i) In counties with 3,000,000 or more inhabitants, for

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taxable years 2010 through 2018, and beginning again in
taxable year 2024, each taxpayer who has been granted an
exemption under this Section must reapply on an annual basis.
If a reapplication is required, then the chief county
assessment officer shall mail the application to the taxpayer
at least 60 days prior to the last day of the application
period for the county.
For taxable years 2019 through 2023, in counties with
3,000,000 or more inhabitants, a taxpayer who has been granted
an exemption under this Section need not reapply. However, if
the property ceases to be qualified for the exemption under
this Section in any year for which a reapplication is not
required under this Section, then the owner of record of the
property shall notify the chief county assessment officer that
the property is no longer qualified. In addition, for taxable
years 2019 through 2023, the chief county assessment officer
of a county with 3,000,000 or more inhabitants shall enter
into an intergovernmental agreement with the county clerk of
that county and the Department of Public Health, as well as any
other appropriate governmental agency, to obtain information
that documents the death of a taxpayer who has been granted an
exemption under this Section. Notwithstanding any other
provision of law, the county clerk and the Department of
Public Health shall provide that information to the chief
county assessment officer. The Department of Public Health
shall supply this information no less frequently than every

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calendar quarter. Information concerning the death of a
taxpayer may be shared with the county treasurer. The chief
county assessment officer shall also enter into a data
exchange agreement with the Social Security Administration or
its agent to obtain access to the information regarding deaths
in possession of the Social Security Administration. The chief
county assessment officer shall, subject to the notice
requirements under subsection (m) of Section 9-275, terminate
the exemption under this Section if the information obtained
indicates that the property is no longer qualified for the
exemption. In counties with 3,000,000 or more inhabitants, the
assessor and the county recorder of deeds shall establish
policies and practices for the regular exchange of information
for the purpose of alerting the assessor whenever the transfer
of ownership of any property receiving an exemption under this
Section has occurred. When such a transfer occurs, the
assessor shall mail a notice to the new owner of the property
(i) informing the new owner that the exemption will remain in
place through the year of the transfer, after which it will be
canceled, and (ii) providing information pertaining to the
rules for reapplying for the exemption if the owner qualifies.
In counties with 3,000,000 or more inhabitants, the chief
county assessment official shall conduct audits of all
exemptions granted under this Section no later than December
31, 2022 and no later than December 31, 2024. The audit shall
be designed to ascertain whether any senior homestead

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exemptions have been granted erroneously. If it is determined
that a senior homestead exemption has been erroneously applied
to a property, the chief county assessment officer shall make
use of the appropriate provisions of Section 9-275 in relation
to the property that received the erroneous homestead
exemption.
(j) 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
mailed to the taxpayer.
(l) 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.
(l-5) For the 2023 taxable year or any subsequent taxable
year, if property qualifies for the exemption under this

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Section, but the property owner fails to apply for the
exemption during the application period, then the property
owner may apply to any or all of the taxing districts in which
the property is located to receive a refund of that taxing
district's share of the excess property taxes extended against
the property as a result of the failure to apply the exemption
under this Section. Such an application shall be made within 5
years after the taxable year in which the exemption should
have been applied to the property.
(m) 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. 101-453, eff. 8-23-19; 101-622, eff. 1-14-20;
102-895, eff. 5-23-22.)
Section 99. Effective date. This Act takes effect upon
becoming law.