Full Text of SB2427 99th General Assembly
SB2427ham001 99TH GENERAL ASSEMBLY | Rep. Al Riley Filed: 5/25/2016
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| 1 | | AMENDMENT TO SENATE BILL 2427
| 2 | | AMENDMENT NO. ______. Amend Senate Bill 2427 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 5. The Property Tax Code is amended by changing | 5 | | Sections 9-275 and 15-175 as follows: | 6 | | (35 ILCS 200/9-275) | 7 | | Sec. 9-275. Erroneous homestead exemptions. | 8 | | (a) For purposes of this Section: | 9 | | "Erroneous homestead exemption" means a homestead | 10 | | exemption that was granted for real property in a taxable year | 11 | | if the property was not eligible for that exemption in that | 12 | | taxable year. If the taxpayer receives an erroneous homestead | 13 | | exemption under a single Section of this Code for the same | 14 | | property in multiple years, that exemption is considered a | 15 | | single erroneous homestead exemption for purposes of this | 16 | | Section. However, if the taxpayer receives erroneous homestead |
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| 1 | | exemptions under multiple Sections of this Code for the same | 2 | | property, or if the taxpayer receives erroneous homestead | 3 | | exemptions under the same Section of this Code for multiple | 4 | | properties, then each of those exemptions is considered a | 5 | | separate erroneous homestead exemption for purposes of this | 6 | | Section. | 7 | | "Homestead exemption" means an exemption under Section | 8 | | 15-165 (veterans with disabilities), 15-167 (returning | 9 | | veterans), 15-168 (persons with disabilities), 15-169 | 10 | | (standard homestead for veterans with disabilities), 15-170 | 11 | | (senior citizens), 15-172 (senior citizens assessment freeze), | 12 | | 15-175 (general homestead), 15-176 (alternative general | 13 | | homestead), or 15-177 (long-time occupant). | 14 | | "Erroneous exemption principal amount" means the total | 15 | | difference between the property taxes actually billed to a | 16 | | property index number and the amount of property taxes that | 17 | | would have been billed but for the erroneous exemption or | 18 | | exemptions. | 19 | | "Taxpayer" means the property owner or leasehold owner that | 20 | | erroneously received a homestead exemption upon property. | 21 | | (b) Notwithstanding any other provision of law, in counties | 22 | | with 3,000,000 or more inhabitants, the chief county assessment | 23 | | officer shall include the following information with each | 24 | | assessment notice sent in a general assessment year: (1) a list | 25 | | of each homestead exemption available under Article 15 of this | 26 | | Code and a description of the eligibility criteria for that |
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| 1 | | exemption; (2) a list of each homestead exemption applied to | 2 | | the property in the current assessment year; (3) information | 3 | | regarding penalties and interest that may be incurred under | 4 | | this Section if the taxpayer received an erroneous homestead | 5 | | exemption in a previous taxable year; and (4) notice of the | 6 | | 60-day grace period available under this subsection. If, within | 7 | | 60 days after receiving his or her assessment notice, the | 8 | | taxpayer notifies the chief county assessment officer that he | 9 | | or she received an erroneous homestead exemption in a previous | 10 | | taxable year, and if the taxpayer pays the erroneous exemption | 11 | | principal amount, plus interest as provided in subsection (f), | 12 | | then the taxpayer shall not be liable for the penalties | 13 | | provided in subsection (f) with respect to that exemption. | 14 | | (c) In counties with 3,000,000 or more inhabitants, when | 15 | | the chief county assessment officer determines that one or more | 16 | | erroneous homestead exemptions was applied to the property, the | 17 | | erroneous exemption principal amount, together with all | 18 | | applicable interest and penalties as provided in subsections | 19 | | (f) and (j), shall constitute a lien in the name of the People | 20 | | of Cook County on the property receiving the erroneous | 21 | | homestead exemption. Upon becoming aware of the existence of | 22 | | one or more erroneous homestead exemptions, the chief county | 23 | | assessment officer shall cause to be served, by both regular | 24 | | mail and certified mail, a notice of discovery as set forth in | 25 | | subsection (c-5). The chief county assessment officer in a | 26 | | county with 3,000,000 or more inhabitants may cause a lien to |
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| 1 | | be recorded against property that (1) is located in the county | 2 | | and (2) received one or more erroneous homestead exemptions if, | 3 | | upon determination of the chief county assessment officer, the | 4 | | taxpayer received: (A) one or 2 erroneous homestead exemptions | 5 | | for real property, including at least one erroneous homestead | 6 | | exemption granted for the property against which the lien is | 7 | | sought, during any of the 3 collection years immediately prior | 8 | | to the current collection year in which the notice of discovery | 9 | | is served; or (B) 3 or more erroneous homestead exemptions for | 10 | | real property, including at least one erroneous homestead | 11 | | exemption granted for the property against which the lien is | 12 | | sought, during any of the 6 collection years immediately prior | 13 | | to the current collection year in which the notice of discovery | 14 | | is served. Prior to recording the lien against the property, | 15 | | the chief county assessment officer shall cause to be served, | 16 | | by both regular mail and certified mail, return receipt | 17 | | requested, on the person to whom the most recent tax bill was | 18 | | mailed and the owner of record, a notice of intent to record a | 19 | | lien against the property. The chief county assessment officer | 20 | | shall cause the notice of intent to record a lien to be served | 21 | | within 3 years from the date on which the notice of discovery | 22 | | was served. | 23 | | (c-5) The notice of discovery described in subsection (c) | 24 | | shall: (1) identify, by property index number, the property for | 25 | | which the chief county assessment officer has knowledge | 26 | | indicating the existence of an erroneous homestead exemption; |
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| 1 | | (2) set forth the taxpayer's liability for principal, interest, | 2 | | penalties, and administrative costs including, but not limited | 3 | | to, recording fees described in subsection (f); (3) inform the | 4 | | taxpayer that he or she will be served with a notice of intent | 5 | | to record a lien within 3 years from the date of service of the | 6 | | notice of discovery; and (4) inform the taxpayer that he or she | 7 | | may pay the outstanding amount, plus interest, penalties, and | 8 | | administrative costs at any time prior to being served with the | 9 | | notice of intent to record a lien or within 30 days after the | 10 | | notice of intent to record a lien is served ; and (5) inform the | 11 | | taxpayer that, if the taxpayer provided notice to the chief | 12 | | county assessment officer as provided in subsection (d-1) of | 13 | | Section 15-175 of this Code, upon submission by the taxpayer of | 14 | | evidence of timely notice and receipt thereof by the chief | 15 | | county assessment officer, the chief county assessment officer | 16 | | will withdraw the notice of discovery and reissue a notice of | 17 | | discovery in compliance with this Section in which the taxpayer | 18 | | is not liable for interest and penalties for the current tax | 19 | | year in which the notice was received . | 20 | | For the purposes of this subsection (c-5): | 21 | | "Collection year" means the year in which the first and | 22 | | second installment of the current tax year is billed. | 23 | | "Current tax year" means the year prior to the | 24 | | collection year. | 25 | | (d) The notice of intent to record a lien described in | 26 | | subsection (c) shall: (1) identify, by property index number, |
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| 1 | | the property against which the lien is being sought; (2) | 2 | | identify each specific homestead exemption that was | 3 | | erroneously granted and the year or years in which each | 4 | | exemption was granted; (3) set forth the erroneous exemption | 5 | | principal amount due and the interest amount and any penalty | 6 | | and administrative costs due; (4) inform the taxpayer that he | 7 | | or she may request a hearing within 30 days after service and | 8 | | may appeal the hearing officer's ruling to the circuit court; | 9 | | (5) inform the taxpayer that he or she may pay the erroneous | 10 | | exemption principal amount, plus interest and penalties, | 11 | | within 30 days after service; and (6) inform the taxpayer that, | 12 | | if the lien is recorded against the property, the amount of the | 13 | | lien will be adjusted to include the applicable recording fee | 14 | | and that fees for recording a release of the lien shall be | 15 | | incurred by the taxpayer. A lien shall not be filed pursuant to | 16 | | this Section if the taxpayer pays the erroneous exemption | 17 | | principal amount, plus penalties and interest, within 30 days | 18 | | of service of the notice of intent to record a lien. | 19 | | (e) The notice of intent to record a lien shall also | 20 | | include a form that the taxpayer may return to the chief county | 21 | | assessment officer to request a hearing. The taxpayer may | 22 | | request a hearing by returning the form within 30 days after | 23 | | service. The hearing shall be held within 90 days after the | 24 | | taxpayer is served. The chief county assessment officer shall | 25 | | promulgate rules of service and procedure for the hearing. The | 26 | | chief county assessment officer must generally follow rules of |
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| 1 | | evidence and practices that prevail in the county circuit | 2 | | courts, but, because of the nature of these proceedings, the | 3 | | chief county assessment officer is not bound by those rules in | 4 | | all particulars. The chief county assessment officer shall | 5 | | appoint a hearing officer to oversee the hearing. The taxpayer | 6 | | shall be allowed to present evidence to the hearing officer at | 7 | | the hearing. After taking into consideration all the relevant | 8 | | testimony and evidence, the hearing officer shall make an | 9 | | administrative decision on whether the taxpayer was | 10 | | erroneously granted a homestead exemption for the taxable year | 11 | | in question. The taxpayer may appeal the hearing officer's | 12 | | ruling to the circuit court of the county where the property is | 13 | | located as a final administrative decision under the | 14 | | Administrative Review Law. | 15 | | (f) A lien against the property imposed under this Section | 16 | | shall be filed with the county recorder of deeds, but may not | 17 | | be filed sooner than 60 days after the notice of intent to | 18 | | record a lien was delivered to the taxpayer if the taxpayer | 19 | | does not request a hearing, or until the conclusion of the | 20 | | hearing and all appeals if the taxpayer does request a hearing. | 21 | | If a lien is filed pursuant to this Section and the taxpayer | 22 | | received one or 2 erroneous homestead exemptions during any of | 23 | | the 3 collection years immediately prior to the current | 24 | | collection year in which the notice of discovery is served, | 25 | | then the erroneous exemption principal amount, plus 10% | 26 | | interest per annum or portion thereof from the date the |
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| 1 | | erroneous exemption principal amount would have become due if | 2 | | properly included in the tax bill, shall be charged against the | 3 | | property by the chief county assessment officer. However, if a | 4 | | lien is filed pursuant to this Section and the taxpayer | 5 | | received 3 or more erroneous homestead exemptions during any of | 6 | | the 6 collection years immediately prior to the current | 7 | | collection year in which the notice of discovery is served, the | 8 | | erroneous exemption principal amount, plus a penalty of 50% of | 9 | | the total amount of the erroneous exemption principal amount | 10 | | for that property and 10% interest per annum or portion thereof | 11 | | from the date the erroneous exemption principal amount would | 12 | | have become due if properly included in the tax bill, shall be | 13 | | charged against the property by the chief county assessment | 14 | | officer. If a lien is filed pursuant to this Section, the | 15 | | taxpayer shall not be liable for interest that accrues between | 16 | | the date the notice of discovery is served and the date the | 17 | | lien is filed. Before recording the lien with the county | 18 | | recorder of deeds, the chief county assessment officer shall | 19 | | adjust the amount of the lien to add administrative costs, | 20 | | including but not limited to the applicable recording fee, to | 21 | | the total lien amount. | 22 | | (g) If a person received an erroneous homestead exemption | 23 | | under Section 15-170 and: (1) the person was the spouse, child, | 24 | | grandchild, brother, sister, niece, or nephew of the previous | 25 | | taxpayer; and (2) the person received the property by bequest | 26 | | or inheritance; then the person is not liable for the penalties |
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| 1 | | imposed under this Section for any year or years during which | 2 | | the chief county assessment officer did not require an annual | 3 | | application for the exemption. However, that person is | 4 | | responsible for any interest owed under subsection (f). | 5 | | (h) If the erroneous homestead exemption was granted as a | 6 | | result of a clerical error or omission on the part of the chief | 7 | | county assessment officer, and if the taxpayer has paid the tax | 8 | | bills as received for the year in which the error occurred, | 9 | | then the interest and penalties authorized by this Section with | 10 | | respect to that homestead exemption shall not be chargeable to | 11 | | the taxpayer. However, nothing in this Section shall prevent | 12 | | the collection of the erroneous exemption principal amount due | 13 | | and owing. | 14 | | (i) A lien under this Section is not valid as to (1) any | 15 | | bona fide purchaser for value without notice of the erroneous | 16 | | homestead exemption whose rights in and to the underlying | 17 | | parcel arose after the erroneous homestead exemption was | 18 | | granted but before the filing of the notice of lien; or (2) any | 19 | | mortgagee, judgment creditor, or other lienor whose rights in | 20 | | and to the underlying parcel arose before the filing of the | 21 | | notice of lien. A title insurance policy for the property that | 22 | | is issued by a title company licensed to do business in the | 23 | | State showing that the property is free and clear of any liens | 24 | | imposed under this Section shall be prima facie evidence that | 25 | | the taxpayer is without notice of the erroneous homestead | 26 | | exemption. Nothing in this Section shall be deemed to impair |
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| 1 | | the rights of subsequent creditors and subsequent purchasers | 2 | | under Section 30 of the Conveyances Act. | 3 | | (j) When a lien is filed against the property pursuant to | 4 | | this Section, the chief county assessment officer shall mail a | 5 | | copy of the lien to the person to whom the most recent tax bill | 6 | | was mailed and to the owner of record, and the outstanding | 7 | | liability created by such a lien is due and payable within 30 | 8 | | days after the mailing of the lien by the chief county | 9 | | assessment officer. This liability is deemed delinquent and | 10 | | shall bear interest beginning on the day after the due date at | 11 | | a rate of 1.5% per month or portion thereof. Payment shall be | 12 | | made to the county treasurer. Upon receipt of the full amount | 13 | | due, as determined by the chief county assessment officer, the | 14 | | county treasurer shall distribute the amount paid as provided | 15 | | in subsection (k). Upon presentment by the taxpayer to the | 16 | | chief county assessment officer of proof of payment of the | 17 | | total liability, the chief county assessment officer shall | 18 | | provide in reasonable form a release of the lien. The release | 19 | | of the lien provided shall clearly inform the taxpayer that it | 20 | | is the responsibility of the taxpayer to record the lien | 21 | | release form with the county recorder of deeds and to pay any | 22 | | applicable recording fees. | 23 | | (k) The county treasurer shall pay collected erroneous | 24 | | exemption principal amounts, pro rata, to the taxing districts, | 25 | | or their legal successors, that levied upon the subject | 26 | | property in the taxable year or years for which the erroneous |
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| 1 | | homestead exemptions were granted, except as set forth in this | 2 | | Section. The county treasurer shall deposit collected | 3 | | penalties and interest into a special fund established by the | 4 | | county treasurer to offset the costs of administration of the | 5 | | provisions of this Section by the chief county assessment | 6 | | officer's office, as appropriated by the county board. If the | 7 | | costs of administration of this Section exceed the amount of | 8 | | interest and penalties collected in the special fund, the chief | 9 | | county assessor shall be reimbursed by each taxing district or | 10 | | their legal successors for those costs. Such costs shall be | 11 | | paid out of the funds collected by the county treasurer on | 12 | | behalf of each taxing district pursuant to this Section. | 13 | | (l) The chief county assessment officer in a county with | 14 | | 3,000,000 or more inhabitants shall establish an amnesty period | 15 | | for all taxpayers owing any tax due to an erroneous homestead | 16 | | exemption granted in a tax year prior to the 2013 tax year. The | 17 | | amnesty period shall begin on the effective date of this | 18 | | amendatory Act of the 98th General Assembly and shall run | 19 | | through December 31, 2013. If, during the amnesty period, the | 20 | | taxpayer pays the entire arrearage of taxes due for tax years | 21 | | prior to 2013, the county clerk shall abate and not seek to | 22 | | collect any interest or penalties that may be applicable and | 23 | | shall not seek civil or criminal prosecution for any taxpayer | 24 | | for tax years prior to 2013. Failure to pay all such taxes due | 25 | | during the amnesty period established under this Section shall | 26 | | invalidate the amnesty period for that taxpayer. |
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| 1 | | The chief county assessment officer in a county with | 2 | | 3,000,000 or more inhabitants shall (i) mail notice of the | 3 | | amnesty period with the tax bills for the second installment of | 4 | | taxes for the 2012 assessment year and (ii) as soon as possible | 5 | | after the effective date of this amendatory Act of the 98th | 6 | | General Assembly, publish notice of the amnesty period in a | 7 | | newspaper of general circulation in the county. Notices shall | 8 | | include information on the amnesty period, its purpose, and the | 9 | | method by which to make payment. | 10 | | Taxpayers who are a party to any criminal investigation or | 11 | | to any civil or criminal litigation that is pending in any | 12 | | circuit court or appellate court, or in the Supreme Court of | 13 | | this State, for nonpayment, delinquency, or fraud in relation | 14 | | to any property tax imposed by any taxing district located in | 15 | | the State on the effective date of this amendatory Act of the | 16 | | 98th General Assembly may not take advantage of the amnesty | 17 | | period. | 18 | | A taxpayer who has claimed 3 or more homestead exemptions | 19 | | in error shall not be eligible for the amnesty period | 20 | | established under this subsection.
| 21 | | (Source: P.A. 98-93, eff. 7-16-13; 98-756, eff. 7-16-14; | 22 | | 98-811, eff. 1-1-15; 98-1143, eff. 1-1-15; 99-143, eff. | 23 | | 7-27-15.)
| 24 | | (35 ILCS 200/15-175)
| 25 | | Sec. 15-175. General homestead exemption. |
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| 1 | | (a) Except as provided in Sections 15-176 and 15-177, | 2 | | homestead
property is
entitled to an annual homestead exemption | 3 | | limited, except as described here
with relation to | 4 | | cooperatives, to a reduction in the equalized assessed value
of | 5 | | homestead property equal to the increase in equalized assessed | 6 | | value for the
current assessment year above the equalized | 7 | | assessed value of the property for
1977, up to the maximum | 8 | | reduction set forth below. If however, the 1977
equalized | 9 | | assessed value upon which taxes were paid is subsequently | 10 | | determined
by local assessing officials, the Property Tax | 11 | | Appeal Board, or a court to have
been excessive, the equalized | 12 | | assessed value which should have been placed on
the property | 13 | | for 1977 shall be used to determine the amount of the | 14 | | exemption.
| 15 | | (b) Except as provided in Section 15-176, the maximum | 16 | | reduction before taxable year 2004 shall be
$4,500 in counties | 17 | | with 3,000,000 or more
inhabitants
and $3,500 in all other | 18 | | counties. Except as provided in Sections 15-176 and 15-177, for | 19 | | taxable years 2004 through 2007, the maximum reduction shall be | 20 | | $5,000, for taxable year 2008, the maximum reduction is $5,500, | 21 | | and, for taxable years 2009 through 2011, the maximum reduction | 22 | | is $6,000 in all counties. For taxable years 2012 and | 23 | | thereafter, the maximum reduction is $7,000 in counties with | 24 | | 3,000,000 or more
inhabitants
and $6,000 in all other counties. | 25 | | If a county has elected to subject itself to the provisions of | 26 | | Section 15-176 as provided in subsection (k) of that Section, |
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| 1 | | then, for the first taxable year only after the provisions of | 2 | | Section 15-176 no longer apply, for owners who, for the taxable | 3 | | year, have not been granted a senior citizens assessment freeze | 4 | | homestead exemption under Section 15-172 or a long-time | 5 | | occupant homestead exemption under Section 15-177, there shall | 6 | | be an additional exemption of $5,000 for owners with a | 7 | | household income of $30,000 or less.
| 8 | | (c) In counties with fewer than 3,000,000 inhabitants, if, | 9 | | based on the most
recent assessment, the equalized assessed | 10 | | value of
the homestead property for the current assessment year | 11 | | is greater than the
equalized assessed value of the property | 12 | | for 1977, the owner of the property
shall automatically receive | 13 | | the exemption granted under this Section in an
amount equal to | 14 | | the increase over the 1977 assessment up to the maximum
| 15 | | reduction set forth in this Section.
| 16 | | (d) If in any assessment year beginning with the 2000 | 17 | | assessment year,
homestead property has a pro-rata valuation | 18 | | under
Section 9-180 resulting in an increase in the assessed | 19 | | valuation, a reduction
in equalized assessed valuation equal to | 20 | | the increase in equalized assessed
value of the property for | 21 | | the year of the pro-rata valuation above the
equalized assessed | 22 | | value of the property for 1977 shall be applied to the
property | 23 | | on a proportionate basis for the period the property qualified | 24 | | as
homestead property during the assessment year. The maximum | 25 | | proportionate
homestead exemption shall not exceed the maximum | 26 | | homestead exemption allowed in
the county under this Section |
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| 1 | | divided by 365 and multiplied by the number of
days the | 2 | | property qualified as homestead property.
| 3 | | (d-1) In counties with 3,000,000 or more inhabitants, where | 4 | | the chief county assessment officer provides a notice of | 5 | | discovery, if a property is not
occupied by its owner as a | 6 | | principal residence as of January 1 of the current tax year, | 7 | | then the property owner shall notify the chief county | 8 | | assessment officer of that fact on a form prescribed by the | 9 | | chief county assessment officer. That notice must be received | 10 | | by the chief county assessment officer on or before March 1 of | 11 | | the collection year. If mailed, the form shall be sent by | 12 | | certified mail, return receipt requested. If the form is | 13 | | provided in person, the chief county assessment officer shall | 14 | | provide a date stamped copy of the notice. Failure to provide | 15 | | timely notice pursuant to this section (d-1) shall result in | 16 | | the exemption being treated as an erroneous exemption. Upon | 17 | | timely receipt of the notice for the current tax year, no | 18 | | exemption shall be applied to the property for the current tax | 19 | | year. If the exemption is not removed upon timely receipt of | 20 | | the notice by the chief assessment officer, then the error is | 21 | | considered granted as a result of a clerical error or omission | 22 | | on the part of the chief county assessment officer as described | 23 | | in subsection (h) of Section 9-275, and the property owner | 24 | | shall not be liable for the payment of interest and penalties | 25 | | due to the erroneous exemption for the current tax year for | 26 | | which the notice was filed after the date that notice was |
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| 1 | | timely received pursuant to this subsection. Notice provided | 2 | | under this subsection shall not constitute a defense or amnesty | 3 | | for prior year erroneous exemptions. | 4 | | For the purposes of this subsection (d-1): | 5 | | "Collection year" means the year in which the first and | 6 | | second installment of the current tax year is billed. | 7 | | "Current tax year" means the year prior to the | 8 | | collection year. | 9 | | (e) The chief county assessment officer may, when | 10 | | considering whether to grant a leasehold exemption under this | 11 | | Section, require the following conditions to be met: | 12 | | (1) that a notarized application for the exemption, | 13 | | signed by both the owner and the lessee of the property, | 14 | | must be submitted each year during the application period | 15 | | in effect for the county in which the property is located; | 16 | | (2) that a copy of the lease must be filed with the | 17 | | chief county assessment officer by the owner of the | 18 | | property at the time the notarized application is | 19 | | submitted; | 20 | | (3) that the lease must expressly state that the lessee | 21 | | is liable for the payment of property taxes; and | 22 | | (4) that the lease must include the following language | 23 | | in substantially the following form: | 24 | | "Lessee shall be liable for the payment of real | 25 | | estate taxes with respect to the residence in | 26 | | accordance with the terms and conditions of Section |
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| 1 | | 15-175 of the Property Tax Code (35 ILCS 200/15-175). | 2 | | The permanent real estate index number for the premises | 3 | | is (insert number), and, according to the most recent | 4 | | property tax bill, the current amount of real estate | 5 | | taxes associated with the premises is (insert amount) | 6 | | per year. The parties agree that the monthly rent set | 7 | | forth above shall be increased or decreased pro rata | 8 | | (effective January 1 of each calendar year) to reflect | 9 | | any increase or decrease in real estate taxes. Lessee | 10 | | shall be deemed to be satisfying Lessee's liability for | 11 | | the above mentioned real estate taxes with the monthly | 12 | | rent payments as set forth above (or increased or | 13 | | decreased as set forth herein).". | 14 | | In addition, if there is a change in lessee, or if the | 15 | | lessee vacates the property, then the chief county assessment | 16 | | officer may require the owner of the property to notify the | 17 | | chief county assessment officer of that change. | 18 | | This subsection (e) does not apply to leasehold interests | 19 | | in property owned by a municipality. | 20 | | (f) "Homestead property" under this Section includes | 21 | | residential property that is
occupied by its owner or owners as | 22 | | his or their principal dwelling place, or
that is a leasehold | 23 | | interest on which a single family residence is situated,
which | 24 | | is occupied as a residence by a person who has an ownership | 25 | | interest
therein, legal or equitable or as a lessee, and on | 26 | | which the person is
liable for the payment of property taxes. |
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| 1 | | For land improved with
an apartment building owned and operated | 2 | | as a cooperative or a building which
is a life care facility as | 3 | | defined in Section 15-170 and considered to
be a cooperative | 4 | | under Section 15-170, the maximum reduction from the equalized
| 5 | | assessed value shall be limited to the increase in the value | 6 | | above the
equalized assessed value of the property for 1977, up | 7 | | to
the maximum reduction set forth above, multiplied by the | 8 | | number of apartments
or units occupied by a person or persons | 9 | | who is liable, by contract with the
owner or owners of record, | 10 | | for paying property taxes on the property and is an
owner of | 11 | | record of a legal or equitable interest in the cooperative
| 12 | | apartment building, other than a leasehold interest. For | 13 | | purposes of this
Section, the term "life care facility" has the | 14 | | meaning stated in Section
15-170.
| 15 | | "Household", as used in this Section,
means the owner, the | 16 | | spouse of the owner, and all persons using
the
residence of the | 17 | | owner as their principal place of residence.
| 18 | | "Household income", as used in this Section,
means the | 19 | | combined income of the members of a household
for the calendar | 20 | | year preceding the taxable year.
| 21 | | "Income", as used in this Section,
has the same meaning as | 22 | | provided in Section 3.07 of the Senior
Citizens
and Persons | 23 | | with Disabilities Property Tax Relief Act,
except that
"income" | 24 | | does not include veteran's benefits.
| 25 | | (g) In a cooperative where a homestead exemption has been | 26 | | granted, the
cooperative association or its management firm |
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| 1 | | shall credit the savings
resulting from that exemption only to | 2 | | the apportioned tax liability of the
owner who qualified for | 3 | | the exemption. Any person who willfully refuses to so
credit | 4 | | the savings shall be guilty of a Class B misdemeanor.
| 5 | | (h) Where married persons maintain and reside in separate | 6 | | residences qualifying
as homestead property, each residence | 7 | | shall receive 50% of the total reduction
in equalized assessed | 8 | | valuation provided by this Section.
| 9 | | (i) In all counties, the assessor
or chief county | 10 | | assessment officer may determine the
eligibility of | 11 | | residential property to receive the homestead exemption and the | 12 | | amount of the exemption by
application, visual inspection, | 13 | | questionnaire or other reasonable methods. The
determination | 14 | | shall be made in accordance with guidelines established by the
| 15 | | Department, provided that the taxpayer applying for an | 16 | | additional general exemption under this Section shall submit to | 17 | | the chief county assessment officer an application with an | 18 | | affidavit of the applicant's total household income, age, | 19 | | marital status (and, if married, the name and address of the | 20 | | applicant's spouse, if known), and principal dwelling place of | 21 | | members of the household on January 1 of the taxable year. The | 22 | | Department shall issue guidelines establishing a method for | 23 | | verifying the accuracy of the affidavits filed by applicants | 24 | | under this paragraph. The applications shall be clearly marked | 25 | | as applications for the Additional General Homestead | 26 | | Exemption.
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| 1 | | (i-5) This subsection (i-5) applies to counties with | 2 | | 3,000,000 or more inhabitants. In the event of a sale of
| 3 | | homestead property, the homestead exemption shall remain in | 4 | | effect for the remainder of the assessment year of the sale. | 5 | | Upon receipt of a transfer declaration transmitted by the | 6 | | recorder pursuant to Section 31-30 of the Real Estate Transfer | 7 | | Tax Law for property receiving an exemption under this Section, | 8 | | the assessor shall mail a notice and forms to the new owner of | 9 | | the property providing information pertaining to the rules and | 10 | | applicable filing periods for applying or reapplying for | 11 | | homestead exemptions under this Code for which the property may | 12 | | be eligible. If the new owner fails to apply or reapply for a | 13 | | homestead exemption during the applicable filing period or the | 14 | | property no longer qualifies for an existing homestead | 15 | | exemption, the assessor shall cancel such exemption for any | 16 | | ensuing assessment year. | 17 | | (j) In counties with fewer than 3,000,000 inhabitants, in | 18 | | the event of a sale
of
homestead property the homestead | 19 | | exemption shall remain in effect for the
remainder of the | 20 | | assessment year of the sale. The assessor or chief county
| 21 | | assessment officer may require the new
owner of the property to | 22 | | apply for the homestead exemption for the following
assessment | 23 | | year.
| 24 | | (k) Notwithstanding Sections 6 and 8 of the State Mandates | 25 | | Act, no reimbursement by the State is required for the | 26 | | implementation of any mandate created by this Section.
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| 1 | | (Source: P.A. 98-7, eff. 4-23-13; 98-463, eff. 8-16-13; 99-143, | 2 | | eff. 7-27-15; 99-164, eff. 7-28-15; revised 8-25-15.)
| 3 | | Section 99. Effective date. This Act takes effect upon | 4 | | becoming law.".
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