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90_HB0317
35 ILCS 200/15-172
30 ILCS 805/8.21 new
Amends the Senior Citizens Assessment Freeze Homestead
Exemption in the Property Tax Code. Provides that, beginning
with taxable year 1998, the exemption shall be available to
persons 62 years of age or older and to disabled persons.
Provides that the household income limitation for the
exemption shall be subject to annual adjustments equal to the
percentage of increase in the previous year in the Consumer
Price Index for All Urban Consumers for all items published
by the United States Department of Labor. Amends the State
Mandates Act to require implementation without reimbursement.
Effective January 1, 1998.
LRB9001437KDks
LRB9001437KDks
1 AN ACT to amend the Property Tax Code by changing Section
2 15-172.
3 Be it enacted by the People of the State of Illinois,
4 represented in the General Assembly:
5 Section 5. The Property Tax Code is amended by changing
6 Section 15-172 as follows:
7 (35 ILCS 200/15-172)
8 Sec. 15-172. Senior Citizens and Disabled Persons
9 Assessment Freeze Homestead Exemption.
10 (a) This Section may be cited as the Senior Citizens and
11 Disabled Persons Assessment Freeze Homestead Exemption.
12 (b) As used in this Section:
13 "Applicant" means an individual who has filed an
14 application under this Section.
15 "Base amount" means the base year equalized assessed
16 value of the residence plus the first year's equalized
17 assessed value of any added improvements which increased the
18 assessed value of the residence after the base year.
19 "Base year" means the taxable year prior to the taxable
20 year for which the applicant first qualifies and applies for
21 the exemption provided that in the prior taxable year the
22 property was improved with a permanent structure that was
23 occupied as a residence by the applicant who was liable for
24 paying real property taxes on the property and who was either
25 (i) an owner of record of the property or had legal or
26 equitable interest in the property as evidenced by a written
27 instrument or (ii) had a legal or equitable interest as a
28 lessee in the parcel of property that was single family
29 residence.
30 "Chief County Assessment Officer" means the County
31 Assessor or Supervisor of Assessments of the county in which
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1 the property is located.
2 "Disabled person" has the same meaning as provided in
3 Section 3.14 of the Senior Citizens and Disabled Persons
4 Property Tax Relief and Pharmaceutical Assistance Act.
5 "Equalized assessed value" means the assessed value as
6 equalized by the Illinois Department of Revenue.
7 "Household" means the applicant, the spouse of the
8 applicant, and all persons using the residence of the
9 applicant as their principal place of residence.
10 "Household income" means the combined income of the
11 members of a household for the calendar year preceding the
12 taxable year.
13 "Income" has the same meaning as provided in Section 3.07
14 of the Senior Citizens and Disabled Persons Property Tax
15 Relief and Pharmaceutical Assistance Act.
16 "Internal Revenue Code of 1986" means the United States
17 Internal Revenue Code of 1986 or any successor law or laws
18 relating to federal income taxes in effect for the year
19 preceding the taxable year.
20 "Life care facility that qualifies as a cooperative"
21 means a facility as defined in Section 2 of the Life Care
22 Facilities Act.
23 "Residence" means the principal dwelling place and
24 appurtenant structures used for residential purposes in this
25 State occupied on January 1 of the taxable year by a
26 household and so much of the surrounding land, constituting
27 the parcel upon which the dwelling place is situated, as is
28 used for residential purposes. If the Chief County Assessment
29 Officer has established a specific legal description for a
30 portion of property constituting the residence, then that
31 portion of property shall be deemed the residence for the
32 purposes of this Section.
33 "Taxable year" means the calendar year during which ad
34 valorem property taxes payable in the next succeeding year
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1 are levied.
2 (c) Beginning in taxable year 1994, a senior citizens
3 assessment freeze homestead exemption is granted for real
4 property that is improved with a permanent structure that is
5 occupied as a residence by an applicant who (i) prior to
6 taxable year 1998 is 65 years of age or older during the
7 taxable year, or, beginning in taxable year 1998 and
8 thereafter, is 62 years of age or older during the taxable
9 year or is a disabled person at any time during the taxable
10 year, (ii) has a household income of $35,000 or less, (iii)
11 is liable for paying real property taxes on the property, and
12 (iv) is an owner of record of the property or has a legal or
13 equitable interest in the property as evidenced by a written
14 instrument. Beginning January 1, 1998 the amount of the
15 household income of the applicant shall be subject to annual
16 adjustments equal to the percentage of increase in the
17 previous calendar year in the Consumer Price Index for All
18 Urban Consumers for all items published by the United States
19 Department of Labor. This homestead exemption shall also
20 apply to a leasehold interest in a parcel of property
21 improved with a permanent structure that is a single family
22 residence that is occupied as a residence by a person who (i)
23 prior to taxable year 1998 is 65 years of age or older during
24 the taxable year, or, beginning in taxable year 1998 and
25 thereafter, is 62 years of age or older during the taxable
26 year or is a disabled person at any time during the taxable
27 year, (ii) has a household income of $35,000 or less, (iii)
28 has a legal or equitable ownership interest in the property
29 as lessee, and (iv) is liable for the payment of real
30 property taxes on that property. Beginning January 1, 1998
31 the amount of the household income of the applicant shall be
32 subject to annual adjustments equal to the percentage of
33 increase in the previous calendar year in the Consumer Price
34 Index for All Urban Consumers for all items published by the
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1 United States Department of Labor.
2 The amount of this exemption shall be the equalized
3 assessed value of the residence in the taxable year for which
4 application is made minus the base amount.
5 When the applicant is a surviving spouse of an applicant
6 for a prior year for the same residence for which an
7 exemption under this Section has been granted, the base year
8 and base amount for that residence are the same as for the
9 applicant for the prior year.
10 Each year at the time the assessment books are certified
11 to the County Clerk, the Board of Review or Board of Appeals
12 shall give to the County Clerk a list of the assessed values
13 of improvements on each parcel qualifying for this exemption
14 that were added after the base year for this parcel and that
15 increased the assessed value of the property.
16 In the case of land improved with an apartment building
17 owned and operated as a cooperative or a building that is a
18 life care facility that qualifies as a cooperative, the
19 maximum reduction from the equalized assessed value of the
20 property is limited to the sum of the reductions calculated
21 for each unit occupied as a residence by a person or persons,
22 prior to taxable year 1998, 65 years of age or older or,
23 beginning in taxable year 1998 and thereafter, 62 years of
24 age or older or a disabled person with a household income of
25 $35,000 or less who is liable, by contract with the owner or
26 owners of record, for paying real property taxes on the
27 property and who is an owner of record of a legal or
28 equitable interest in the cooperative apartment building,
29 other than a leasehold interest. In the instance of a
30 cooperative where a homestead exemption has been granted
31 under this Section, the cooperative association or its
32 management firm shall credit the savings resulting from that
33 exemption only to the apportioned tax liability of the owner
34 who qualified for the exemption. Any person who willfully
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1 refuses to credit that savings to an owner who qualifies for
2 the exemption is guilty of a Class B misdemeanor.
3 When a homestead exemption has been granted under this
4 Section and an applicant then becomes a resident of a
5 facility licensed under the Nursing Home Care Act, the
6 exemption shall be granted in subsequent years so long as the
7 residence (i) continues to be occupied by the qualified
8 applicant's spouse or (ii) if remaining unoccupied, is still
9 owned by the qualified applicant for the homestead exemption.
10 Beginning January 1, 1997, when an individual dies who
11 would have qualified for an exemption under this Section, and
12 the surviving spouse does not independently qualify for this
13 exemption because of age, the exemption under this Section
14 shall be granted to the surviving spouse for the taxable year
15 preceding and the taxable year of the death, provided that,
16 except for age, the surviving spouse meets all other
17 qualifications for the granting of this exemption for those
18 years.
19 When married persons maintain separate residences, the
20 exemption provided for in this Section may be claimed by only
21 one of such persons and for only one residence.
22 For taxable year 1994 only, in counties having less than
23 3,000,000 inhabitants, to receive the exemption, a person
24 shall submit an application by February 15, 1995 to the Chief
25 County Assessment Officer of the county in which the property
26 is located. In counties having 3,000,000 or more
27 inhabitants, for taxable year 1994 and all subsequent taxable
28 years, to receive the exemption, a person may submit an
29 application to the Chief County Assessment Officer of the
30 county in which the property is located during such period as
31 may be specified by the Chief County Assessment Officer. The
32 Chief County Assessment Officer in counties of 3,000,000 or
33 more inhabitants shall annually give notice of the
34 application period by mail or by publication. In counties
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1 having less than 3,000,000 inhabitants, beginning with
2 taxable year 1995 and thereafter, to receive the exemption, a
3 person shall submit an application by July 1 of each taxable
4 year to the Chief County Assessment Officer of the county in
5 which the property is located. A county may, by ordinance,
6 establish a date for submission of applications that is
7 earlier than July 1, but in no event shall a county establish
8 a date for submission of applications that is later than July
9 1. The applicant shall submit with the application an
10 affidavit of the applicant's total household income, age,
11 marital status (and if married the name and address of the
12 applicant's spouse, if known), and principal dwelling place
13 of members of the household on January 1 of the taxable year.
14 The Department shall establish, by rule, a method for
15 verifying the accuracy of affidavits filed by applicants
16 under this Section. The applications shall be clearly marked
17 as applications for the Senior Citizens Assessment Freeze
18 Homestead Exemption.
19 In counties having less than 3,000,000 inhabitants, if an
20 applicant was denied an exemption in taxable year 1994 and
21 the denial occurred due to an error on the part of an
22 assessment official, or his or her agent or employee, then
23 beginning in taxable year 1997 the applicant's base year, for
24 purposes of determining the amount of the exemption, shall be
25 1993 rather than 1994. In addition, in taxable year 1997, the
26 applicant's exemption shall also include an amount equal to
27 (i) the amount of any exemption denied to the applicant in
28 taxable year 1995 as a result of using 1994, rather than
29 1993, as the base year, (ii) the amount of any exemption
30 denied to the applicant in taxable year 1996 as a result of
31 using 1994, rather than 1993, as the base year, and (iii) the
32 amount of the exemption erroneously denied for taxable year
33 1994.
34 For purposes of this Section, prior to taxable year 1998,
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1 a person who will be 65 years of age, or beginning in taxable
2 year 1998, a person who will be 62 years of age, during the
3 current taxable year shall be eligible to apply for the
4 homestead exemption during that taxable year. Application
5 shall be made during the application period in effect for the
6 county of his or her residence.
7 The Chief County Assessment Officer may determine the
8 eligibility of a life care facility that qualifies as a
9 cooperative to receive the benefits provided by this Section
10 by use of an affidavit, application, visual inspection,
11 questionnaire, or other reasonable method in order to insure
12 that the tax savings resulting from the exemption are
13 credited by the management firm to the apportioned tax
14 liability of each qualifying resident. The Chief County
15 Assessment Officer may request reasonable proof that the
16 management firm has so credited that exemption.
17 Except as provided in this Section, all information
18 received by the chief county assessment officer or the
19 Department from applications filed under this Section, or
20 from any investigation conducted under the provisions of this
21 Section, shall be confidential, except for official purposes
22 or pursuant to official procedures for collection of any
23 State or local tax or enforcement of any civil or criminal
24 penalty or sanction imposed by this Act or by any statute or
25 ordinance imposing a State or local tax. Any person who
26 divulges any such information in any manner, except in
27 accordance with a proper judicial order, is guilty of a Class
28 A misdemeanor.
29 Nothing contained in this Section shall prevent the
30 Director or chief county assessment officer from publishing
31 or making available reasonable statistics concerning the
32 operation of the exemption contained in this Section in which
33 the contents of claims are grouped into aggregates in such a
34 way that information contained in any individual claim shall
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1 not be disclosed.
2 (Source: P.A. 88-669, eff. 11-29-94; 88-682, eff. 1-13-95;
3 89-62, eff. 1-1-96; 89-426, eff. 6-1-96; 89-557, eff. 1-1-97;
4 89-581, eff. 1-1-97; 89-626, eff. 8-9-96; revised 9-3-96.)
5 Section 90. The State Mandates Act is amended by adding
6 Section 8.21 as follows:
7 (30 ILCS 805/8.21 new)
8 Sec. 8.21. Exempt mandate. Notwithstanding Sections 6
9 and 8 of this Act, no reimbursement by the State is required
10 for the implementation of any mandate created by this
11 amendatory Act of 1997.
12 Section 99. Effective date. This Act takes effect
13 January 1, 1998.