Illinois General Assembly - Bill Status for HB0850

Deletes everything after the enacting clause. Amends the Property Tax Code. Increases the ceiling for household income eligibility for the Senior Citizen Assessment Freeze Homestead Exemption from $40,000 for taxable years 1999 through 2003 to $45,000 for taxable years 2004 and thereafter. Sets forth the amount of the exemption based on the applicant's household income. Provides that, for taxable years 2004 and thereafter, the maximum reduction under the Senior Citizens Homestead Exemption shall be $2,500 in all counties and the maximum reduction under the general homestead exemption shall be $4,500 in all counties. Creates an alternative general homestead exemption that applies to counties that choose to adopt the provision by ordinance. Provides that the amount of the exemption is the equalized assessed value of the homestead property for the current tax year minus the adjusted homestead value. Defines "adjusted homestead value" as the lesser of (i) the property's base homestead value increased by 7% for each tax year after the base year (2002 or 2003) through and including the current tax year or (ii) the property's equalized assessed value for the current tax year minus $4,500 in Cook County and $3,500 in all other counties in tax year 2003 or $4,500 in all counties in tax year 2004 and thereafter. Provides that "base homestead value" means the equalized assessed value of the property for the base year prior to exemptions, minus $4,500 in Cook County and $3,500 in all other counties in tax year 2003 or $4,500 in all counties in tax year 2004 and thereafter. Establishes procedures for determining the base homestead value of property improved after the base year. Provides that in counties with less than 3,000,000 inhabitants, the new general homestead exemption provisions apply only for assessment years 2003, 2004, and 2005 if 2002 is the designated base year or 2004, 2005, and 2006 if 2003 is the designated base year. Provides that if a county has elected to subject itself to the alternative general homestead exemption provisions, then, for each taxable year after those provisions no longer apply, creates an additional general homestead exemption of $5,000 for owners (i) whose qualified property has an assessed valuation that has increased by more than 20% over the previous assessed valuation of the property and (ii) who have a household income of $30,000 or less. Provides that in all counties (now, in counties with more than 3,000,000 inhabitants), the assessor or chief county assessment officer may use specified methods to determine the eligibility of residential property to receive the homestead exemption and the amount of the exemption. Requires a taxpayer applying for the additional general homestead exemption to submit an application and an affidavit to the chief county assessment officer. Requires the Department of Revenue to issue guidelines establishing a method for verifying the accuracy of the affidavits. Authorizes a school district to, without referendum, adopt a levy to recapture revenue lost by a property tax refund it is required to make. Amends the State aid provisions of the School Code to provide that, if the general homestead exemption is determined under the alternative general homestead exemption provisions or if an additional general homestead exemption is allowed because the owner has a household income of less than $30,000, then the available local resources shall not be effected. Makes other changes. Amends the Economic Development Area Tax Increment Allocation Act, the County Economic Development Project Area Property Tax Allocation Act, the County Economic Development Project Area Tax Increment Allocation Act of 1991, the Economic Development Project Area Tax Increment Allocation Act of 1995, the Tax Increment Allocation Redevelopment Act and the Industrial Jobs Recovery Law in the Illinois Municipal Code, the School Code, and the Criminal Code of 1961 to include a cross reference to the alternative general homestead exemption provision in the Property Tax Code. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately.

Amends the Property Tax Code. Deletes a provision that, beginning in taxable year 2004 and thereafter, gradually increases the household income requirement for applicants for the senior citizens assessment freeze exemption. Provides that an applicant for the senior citizens assessment freeze homestead exemption must have a household income of $40,000 or less in taxable years 1999 through 2002 (rather than through 2003) and a household income of $45,000 or less in taxable year 2003 and thereafter (rather than taxable year 2004 and thereafter). Makes corresponding changes. Provides that a taxpayer who has been granted a senior citizens assessment freeze homestead exemption for the taxable year is not eligible for the additional exemption for owners with a household income of $30,000 or less. Deletes a Section concerning recovery of revenue lost due to tax refunds.

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