Full Text of HB4308 103rd General Assembly
HB4308 103RD GENERAL ASSEMBLY | | | 103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024 HB4308 Introduced 1/16/2024, by Rep. Paul Jacobs SYNOPSIS AS INTRODUCED: | | | Amends the Property Tax Code. In provisions concerning the homestead exemption for persons with disabilities, provides that, if the person with a disability is eligible to receive disability benefits under the federal Social Security Act and has a household income that does not exceed 200% of the federal poverty level, then the property is exempt from taxation under the Code. Effective immediately. |
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| | A BILL FOR |
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| 1 | | AN ACT concerning revenue. | 2 | | Be it enacted by the People of the State of Illinois, | 3 | | represented in the General Assembly: | 4 | | Section 5. The Property Tax Code is amended by changing | 5 | | Section 15-168 as follows: | 6 | | (35 ILCS 200/15-168) | 7 | | Sec. 15-168. Homestead exemption for persons with | 8 | | disabilities. | 9 | | (a) Beginning with taxable year 2007, an annual homestead | 10 | | exemption is granted to persons with disabilities in the | 11 | | amount of $2,000, except as provided in subsections subsection | 12 | | (c) and (c-5) , to be deducted from the property's value as | 13 | | equalized or assessed by the Department of Revenue. The person | 14 | | with a disability shall receive the homestead exemption upon | 15 | | meeting the following requirements: | 16 | | (1) The property must be occupied as the primary | 17 | | residence by the person with a disability. | 18 | | (2) The person with a disability must be liable for | 19 | | paying the real estate taxes on the property. | 20 | | (3) The person with a disability must be an owner of | 21 | | record of the property or have a legal or equitable | 22 | | interest in the property as evidenced by a written | 23 | | instrument. In the case of a leasehold interest in |
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| 1 | | property, the lease must be for a single family residence. | 2 | | A person who has a disability during the taxable year is | 3 | | eligible to apply for this homestead exemption during that | 4 | | taxable year. Application must be made during the application | 5 | | period in effect for the county of residence. If a homestead | 6 | | exemption has been granted under this Section and the person | 7 | | awarded the exemption subsequently becomes a resident of a | 8 | | facility licensed under the Nursing Home Care Act, the | 9 | | Specialized Mental Health Rehabilitation Act of 2013, the | 10 | | ID/DD Community Care Act, or the MC/DD Act, then the exemption | 11 | | shall continue (i) so long as the residence continues to be | 12 | | occupied by the qualifying person's spouse or (ii) if the | 13 | | residence remains unoccupied but is still owned by the person | 14 | | qualified for the homestead exemption. | 15 | | (b) For the purposes of this Section, "person with a | 16 | | disability" means a person unable to engage in any substantial | 17 | | gainful activity by reason of a medically determinable | 18 | | physical or mental impairment which can be expected to result | 19 | | in death or has lasted or can be expected to last for a | 20 | | continuous period of not less than 12 months. Persons with | 21 | | disabilities filing claims under this Act shall submit proof | 22 | | of disability in such form and manner as the Department shall | 23 | | by rule and regulation prescribe. Proof that a claimant is | 24 | | eligible to receive disability benefits under the Federal | 25 | | Social Security Act shall constitute proof of disability for | 26 | | purposes of this Act. Issuance of an Illinois Person with a |
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| 1 | | Disability Identification Card stating that the claimant is | 2 | | under a Class 2 disability, as defined in Section 4A of the | 3 | | Illinois Identification Card Act, shall constitute proof that | 4 | | the person named thereon is a person with a disability for | 5 | | purposes of this Act. A person with a disability not covered | 6 | | under the Federal Social Security Act and not presenting an | 7 | | Illinois Person with a Disability Identification Card stating | 8 | | that the claimant is under a Class 2 disability shall be | 9 | | examined by a physician, optometrist (if the person qualifies | 10 | | because of a visual disability), advanced practice registered | 11 | | nurse, or physician assistant designated by the Department, | 12 | | and his status as a person with a disability determined using | 13 | | the same standards as used by the Social Security | 14 | | Administration. The costs of any required examination shall be | 15 | | borne by the claimant. | 16 | | (c) For land improved with (i) an apartment building owned | 17 | | and operated as a cooperative or (ii) a life care facility as | 18 | | defined under Section 2 of the Life Care Facilities Act that is | 19 | | considered to be a cooperative, the maximum reduction from the | 20 | | value of the property, as equalized or assessed by the | 21 | | Department, shall be multiplied by the number of apartments or | 22 | | units occupied by a person with a disability. The person with a | 23 | | disability shall receive the homestead exemption upon meeting | 24 | | the following requirements: | 25 | | (1) The property must be occupied as the primary | 26 | | residence by the person with a disability. |
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| 1 | | (2) The person with a disability must be liable by | 2 | | contract with the owner or owners of record for paying the | 3 | | apportioned property taxes on the property of the | 4 | | cooperative or life care facility. In the case of a life | 5 | | care facility, the person with a disability must be liable | 6 | | for paying the apportioned property taxes under a life | 7 | | care contract as defined in Section 2 of the Life Care | 8 | | Facilities Act. | 9 | | (3) The person with a disability must be an owner of | 10 | | record of a legal or equitable interest in the cooperative | 11 | | apartment building. A leasehold interest does not meet | 12 | | this requirement. | 13 | | If a homestead exemption is granted under this subsection, the | 14 | | cooperative association or management firm shall credit the | 15 | | savings resulting from the exemption to the apportioned tax | 16 | | liability of the qualifying person with a disability. The | 17 | | chief county assessment officer may request reasonable proof | 18 | | that the association or firm has properly credited the | 19 | | exemption. A person who willfully refuses to credit an | 20 | | exemption to the qualified person with a disability is guilty | 21 | | of a Class B misdemeanor. | 22 | | (c-5) Beginning with taxable year 2024, if the person with | 23 | | a disability is eligible to receive disability benefits under | 24 | | the federal Social Security Act and has a household income | 25 | | that does not exceed 200% of the federal poverty level, then | 26 | | the property is exempt from taxation under this Code. For the |
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| 1 | | purposes of this subsection, the federal poverty level shall | 2 | | be determined using the most recent poverty guidelines | 3 | | available as of the first day of the taxable year, as those | 4 | | guidelines are reported in the Federal Register by the United | 5 | | States Department of Health and Human Services under the | 6 | | authority of 42 U.S.C. 9902(2). | 7 | | (d) The chief county assessment officer shall determine | 8 | | the eligibility of property to receive the homestead exemption | 9 | | according to guidelines established by the Department. After a | 10 | | person has received an exemption under this Section, an annual | 11 | | verification of eligibility for the exemption shall be mailed | 12 | | to the taxpayer. | 13 | | In counties with fewer than 3,000,000 inhabitants, the | 14 | | chief county assessment officer shall provide to each person | 15 | | granted a homestead exemption under this Section a form to | 16 | | designate any other person to receive a duplicate of any | 17 | | notice of delinquency in the payment of taxes assessed and | 18 | | levied under this Code on the person's qualifying property. | 19 | | The duplicate notice shall be in addition to the notice | 20 | | required to be provided to the person receiving the exemption | 21 | | and shall be given in the manner required by this Code. The | 22 | | person filing the request for the duplicate notice shall pay | 23 | | an administrative fee of $5 to the chief county assessment | 24 | | officer. The assessment officer shall then file the executed | 25 | | designation with the county collector, who shall issue the | 26 | | duplicate notices as indicated by the designation. A |
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| 1 | | designation may be rescinded by the person with a disability | 2 | | in the manner required by the chief county assessment officer. | 3 | | (d-5) Notwithstanding any other provision of law, each | 4 | | chief county assessment officer may approve this exemption for | 5 | | the 2020 taxable year, without application, for any property | 6 | | that was approved for this exemption for the 2019 taxable | 7 | | year, provided that: | 8 | | (1) the county board has declared a local disaster as | 9 | | provided in the Illinois Emergency Management Agency Act | 10 | | related to the COVID-19 public health emergency; | 11 | | (2) the owner of record of the property as of January | 12 | | 1, 2020 is the same as the owner of record of the property | 13 | | as of January 1, 2019; | 14 | | (3) the exemption for the 2019 taxable year has not | 15 | | been determined to be an erroneous exemption as defined by | 16 | | this Code; and | 17 | | (4) the applicant for the 2019 taxable year has not | 18 | | asked for the exemption to be removed for the 2019 or 2020 | 19 | | taxable years. | 20 | | (d-10) Notwithstanding any other provision of law, each | 21 | | chief county assessment officer may approve this exemption for | 22 | | the 2021 taxable year, without application, for any property | 23 | | that was approved for this exemption for the 2020 taxable | 24 | | year, if: | 25 | | (1) the county board has declared a local disaster as | 26 | | provided in the Illinois Emergency Management Agency Act |
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| 1 | | related to the COVID-19 public health emergency; | 2 | | (2) the owner of record of the property as of January | 3 | | 1, 2021 is the same as the owner of record of the property | 4 | | as of January 1, 2020; | 5 | | (3) the exemption for the 2020 taxable year has not | 6 | | been determined to be an erroneous exemption as defined by | 7 | | this Code; and | 8 | | (4) the taxpayer for the 2020 taxable year has not | 9 | | asked for the exemption to be removed for the 2020 or 2021 | 10 | | taxable years. | 11 | | (d-15) For taxable years 2022 through 2027, in any county | 12 | | of more than 3,000,000 residents, and in any other county | 13 | | where the county board has authorized such action by ordinance | 14 | | or resolution, a chief county assessment officer may renew | 15 | | this exemption for any person who applied for the exemption | 16 | | and presented proof of eligibility, as described in subsection | 17 | | (b), without an annual application as required under | 18 | | subsection (d). A chief county assessment officer shall not | 19 | | automatically renew an exemption under this subsection if: the | 20 | | physician, advanced practice registered nurse, optometrist, or | 21 | | physician assistant who examined the claimant determined that | 22 | | the disability is not expected to continue for 12 months or | 23 | | more; the exemption has been deemed erroneous since the last | 24 | | application; or the claimant has reported their ineligibility | 25 | | to receive the exemption. A chief county assessment officer | 26 | | who automatically renews an exemption under this subsection |
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| 1 | | shall notify a person of a subsequent determination not to | 2 | | automatically renew that person's exemption and shall provide | 3 | | that person with an application to renew the exemption. | 4 | | (d-20) As used in this Section: | 5 | | "Household" means the applicant, the spouse of the | 6 | | applicant, and all persons using the residence of the | 7 | | applicant as their principal place of residence. | 8 | | "Household income" means the combined income of the | 9 | | members of a household for the calendar year preceding the | 10 | | taxable year. | 11 | | "Income" has the same meaning as provided in Section 3.07 | 12 | | of the Senior Citizens and Persons with Disabilities Property | 13 | | Tax Relief Act. | 14 | | "Person with a disability" means a person who is unable to | 15 | | engage in any substantial gainful activity by reason of a | 16 | | medically determinable physical or mental impairment which can | 17 | | be expected to result in death or has lasted or can be expected | 18 | | to last for a continuous period of not less than 12 months. | 19 | | (e) A taxpayer who claims an exemption under Section | 20 | | 15-165 or 15-169 may not claim an exemption under this | 21 | | Section. | 22 | | (Source: P.A. 102-136, eff. 7-23-21; 102-895, eff. 5-23-22; | 23 | | 103-154, eff. 6-30-23.) | 24 | | Section 99. Effective date. This Act takes effect upon | 25 | | becoming law. |
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