Bill Text: IL HB4542 | 2023-2024 | 103rd General Assembly | Introduced


Bill Title: Amends the Property Tax Code. Provides that the minimum age for eligibility for the low-income senior citizens assessment freeze homestead exemption is 62 years of age (currently, 65 years of age). Effective immediately.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2024-01-31 - Referred to Rules Committee [HB4542 Detail]

Download: Illinois-2023-HB4542-Introduced.html

103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB4542

Introduced , by Rep. Joyce Mason

SYNOPSIS AS INTRODUCED:
35 ILCS 200/15-172

Amends the Property Tax Code. Provides that the minimum age for eligibility for the low-income senior citizens assessment freeze homestead exemption is 62 years of age (currently, 65 years of age). 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,
3represented in the General Assembly:
4 Section 5. The Property Tax Code is amended by changing
5Section 15-172 as follows:
6 (35 ILCS 200/15-172)
7 Sec. 15-172. Low-Income Senior Citizens Assessment Freeze
8Homestead Exemption.
9 (a) This Section may be cited as the Low-Income Senior
10Citizens Assessment Freeze Homestead Exemption.
11 (b) As used in this Section:
12 "Applicant" means an individual who has filed an
13application under this Section.
14 "Base amount" means the base year equalized assessed value
15of the residence plus the first year's equalized assessed
16value of any added improvements which increased the assessed
17value of the residence after the base year.
18 "Base year" means the taxable year prior to the taxable
19year for which the applicant first qualifies and applies for
20the exemption provided that in the prior taxable year the
21property was improved with a permanent structure that was
22occupied as a residence by the applicant who was liable for
23paying real property taxes on the property and who was either

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1(i) an owner of record of the property or had legal or
2equitable interest in the property as evidenced by a written
3instrument or (ii) had a legal or equitable interest as a
4lessee in the parcel of property that was single family
5residence. If in any subsequent taxable year for which the
6applicant applies and qualifies for the exemption the
7equalized assessed value of the residence is less than the
8equalized assessed value in the existing base year (provided
9that such equalized assessed value is not based on an assessed
10value that results from a temporary irregularity in the
11property that reduces the assessed value for one or more
12taxable years), then that subsequent taxable year shall become
13the base year until a new base year is established under the
14terms of this paragraph. For taxable year 1999 only, the Chief
15County Assessment Officer shall review (i) all taxable years
16for which the applicant applied and qualified for the
17exemption and (ii) the existing base year. The assessment
18officer shall select as the new base year the year with the
19lowest equalized assessed value. An equalized assessed value
20that is based on an assessed value that results from a
21temporary irregularity in the property that reduces the
22assessed value for one or more taxable years shall not be
23considered the lowest equalized assessed value. The selected
24year shall be the base year for taxable year 1999 and
25thereafter until a new base year is established under the
26terms of this paragraph.

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1 "Chief County Assessment Officer" means the County
2Assessor or Supervisor of Assessments of the county in which
3the property is located.
4 "Equalized assessed value" means the assessed value as
5equalized by the Illinois Department of Revenue.
6 "Household" means the applicant, the spouse of the
7applicant, and all persons using the residence of the
8applicant as their principal place of residence.
9 "Household income" means the combined income of the
10members of a household for the calendar year preceding the
11taxable year.
12 "Income" has the same meaning as provided in Section 3.07
13of the Senior Citizens and Persons with Disabilities Property
14Tax Relief Act, except that, beginning in assessment year
152001, "income" does not include veteran's benefits.
16 "Internal Revenue Code of 1986" means the United States
17Internal Revenue Code of 1986 or any successor law or laws
18relating to federal income taxes in effect for the year
19preceding the taxable year.
20 "Life care facility that qualifies as a cooperative" means
21a facility as defined in Section 2 of the Life Care Facilities
22Act.
23 "Maximum income limitation" means:
24 (1) $35,000 prior to taxable year 1999;
25 (2) $40,000 in taxable years 1999 through 2003;
26 (3) $45,000 in taxable years 2004 through 2005;

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1 (4) $50,000 in taxable years 2006 and 2007;
2 (5) $55,000 in taxable years 2008 through 2016;
3 (6) for taxable year 2017, (i) $65,000 for qualified
4 property located in a county with 3,000,000 or more
5 inhabitants and (ii) $55,000 for qualified property
6 located in a county with fewer than 3,000,000 inhabitants;
7 and
8 (7) for taxable years 2018 and thereafter, $65,000 for
9 all qualified property.
10 As an alternative income valuation, a homeowner who is
11enrolled in any of the following programs may be presumed to
12have household income that does not exceed the maximum income
13limitation for that tax year as required by this Section: Aid
14to the Aged, Blind or Disabled (AABD) Program or the
15Supplemental Nutrition Assistance Program (SNAP), both of
16which are administered by the Department of Human Services;
17the Low Income Home Energy Assistance Program (LIHEAP), which
18is administered by the Department of Commerce and Economic
19Opportunity; The Benefit Access program, which is administered
20by the Department on Aging; and the Senior Citizens Real
21Estate Tax Deferral Program.
22 A chief county assessment officer may indicate that he or
23she has verified an applicant's income eligibility for this
24exemption but may not report which program or programs, if
25any, enroll the applicant. Release of personal information
26submitted pursuant to this Section shall be deemed an

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1unwarranted invasion of personal privacy under the Freedom of
2Information Act.
3 "Residence" means the principal dwelling place and
4appurtenant structures used for residential purposes in this
5State occupied on January 1 of the taxable year by a household
6and so much of the surrounding land, constituting the parcel
7upon which the dwelling place is situated, as is used for
8residential purposes. If the Chief County Assessment Officer
9has established a specific legal description for a portion of
10property constituting the residence, then that portion of
11property shall be deemed the residence for the purposes of
12this Section.
13 "Senior citizen" means, before taxable year 2024, a person
14who is 65 years of age or older. "Senior citizen" means, for
15taxable year 2024 and thereafter, a person who is 62 years of
16age or older.
17 "Taxable year" means the calendar year during which ad
18valorem property taxes payable in the next succeeding year are
19levied.
20 (c) Beginning in taxable year 1994, a low-income senior
21citizens assessment freeze homestead exemption is granted for
22real property that is improved with a permanent structure that
23is occupied as a residence by an applicant who (i) is a senior
24citizen during the taxable year 65 years of age or older during
25the taxable year, (ii) has a household income that does not
26exceed the maximum income limitation, (iii) is liable for

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1paying real property taxes on the property, and (iv) is an
2owner of record of the property or has a legal or equitable
3interest in the property as evidenced by a written instrument.
4This homestead exemption shall also apply to a leasehold
5interest in a parcel of property improved with a permanent
6structure that is a single family residence that is occupied
7as a residence by a person who (i) is a senior citizen 65 years
8of age or older during the taxable year, (ii) has a household
9income that does not exceed the maximum income limitation,
10(iii) has a legal or equitable ownership interest in the
11property as lessee, and (iv) is liable for the payment of real
12property taxes on that property.
13 In counties of 3,000,000 or more inhabitants, the amount
14of the exemption for all taxable years is the equalized
15assessed value of the residence in the taxable year for which
16application is made minus the base amount. In all other
17counties, the amount of the exemption is as follows: (i)
18through taxable year 2005 and for taxable year 2007 and
19thereafter, the amount of this exemption shall be the
20equalized assessed value of the residence in the taxable year
21for which application is made minus the base amount; and (ii)
22for taxable year 2006, the amount of the exemption is as
23follows:
24 (1) For an applicant who has a household income of
25 $45,000 or less, the amount of the exemption is the
26 equalized assessed value of the residence in the taxable

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1 year for which application is made minus the base amount.
2 (2) For an applicant who has a household income
3 exceeding $45,000 but not exceeding $46,250, the amount of
4 the exemption is (i) the equalized assessed value of the
5 residence in the taxable year for which application is
6 made minus the base amount (ii) multiplied by 0.8.
7 (3) For an applicant who has a household income
8 exceeding $46,250 but not exceeding $47,500, the amount of
9 the exemption is (i) the equalized assessed value of the
10 residence in the taxable year for which application is
11 made minus the base amount (ii) multiplied by 0.6.
12 (4) For an applicant who has a household income
13 exceeding $47,500 but not exceeding $48,750, the amount of
14 the exemption is (i) the equalized assessed value of the
15 residence in the taxable year for which application is
16 made minus the base amount (ii) multiplied by 0.4.
17 (5) For an applicant who has a household income
18 exceeding $48,750 but not exceeding $50,000, the amount of
19 the exemption is (i) the equalized assessed value of the
20 residence in the taxable year for which application is
21 made minus the base amount (ii) multiplied by 0.2.
22 When the applicant is a surviving spouse of an applicant
23for a prior year for the same residence for which an exemption
24under this Section has been granted, the base year and base
25amount for that residence are the same as for the applicant for
26the prior year.

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1 Each year at the time the assessment books are certified
2to the County Clerk, the Board of Review or Board of Appeals
3shall give to the County Clerk a list of the assessed values of
4improvements on each parcel qualifying for this exemption that
5were added after the base year for this parcel and that
6increased the assessed value of the property.
7 In the case of land improved with an apartment building
8owned and operated as a cooperative or a building that is a
9life care facility that qualifies as a cooperative, the
10maximum reduction from the equalized assessed value of the
11property is limited to the sum of the reductions calculated
12for each unit occupied as a residence by at least one a person
13or persons (i) who is a senior citizen during the taxable year
1465 years of age or older, (ii) with a household income that
15does not exceed the maximum income limitation, (iii) who is
16liable, by contract with the owner or owners of record, for
17paying real property taxes on the property, and (iv) who is an
18owner of record of a legal or equitable interest in the
19cooperative apartment building, other than a leasehold
20interest. In the instance of a cooperative where a homestead
21exemption has been granted under this Section, the cooperative
22association or its management firm shall credit the savings
23resulting from that exemption only to the apportioned tax
24liability of the owner who qualified for the exemption. Any
25person who willfully refuses to credit that savings to an
26owner who qualifies for the exemption is guilty of a Class B

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1misdemeanor.
2 When a homestead exemption has been granted under this
3Section and an applicant then becomes a resident of a facility
4licensed under the Assisted Living and Shared Housing Act, the
5Nursing Home Care Act, the Specialized Mental Health
6Rehabilitation Act of 2013, the ID/DD Community Care Act, or
7the MC/DD Act, the exemption shall be granted in subsequent
8years so long as the residence (i) continues to be occupied by
9the qualified applicant's spouse or (ii) if remaining
10unoccupied, is still owned by the qualified applicant for the
11homestead exemption.
12 Beginning January 1, 1997, when an individual dies who
13would have qualified for an exemption under this Section, and
14the surviving spouse does not independently qualify for this
15exemption because of age, the exemption under this Section
16shall be granted to the surviving spouse for the taxable year
17preceding and the taxable year of the death, provided that,
18except for age, the surviving spouse meets all other
19qualifications for the granting of this exemption for those
20years.
21 When married persons maintain separate residences, the
22exemption provided for in this Section may be claimed by only
23one of such persons and for only one residence.
24 For taxable year 1994 only, in counties having less than
253,000,000 inhabitants, to receive the exemption, a person
26shall submit an application by February 15, 1995 to the Chief

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1County Assessment Officer of the county in which the property
2is located. In counties having 3,000,000 or more inhabitants,
3for taxable year 1994 and all subsequent taxable years, to
4receive the exemption, a person may submit an application to
5the Chief County Assessment Officer of the county in which the
6property is located during such period as may be specified by
7the Chief County Assessment Officer. The Chief County
8Assessment Officer in counties of 3,000,000 or more
9inhabitants shall annually give notice of the application
10period by mail or by publication. In counties having less than
113,000,000 inhabitants, beginning with taxable year 1995 and
12thereafter, to receive the exemption, a person shall submit an
13application by July 1 of each taxable year to the Chief County
14Assessment Officer of the county in which the property is
15located. A county may, by ordinance, establish a date for
16submission of applications that is different than July 1. The
17applicant shall submit with the application an affidavit of
18the applicant's total household income, age, marital status
19(and if married the name and address of the applicant's
20spouse, if known), and principal dwelling place of members of
21the household on January 1 of the taxable year. The Department
22shall establish, by rule, a method for verifying the accuracy
23of affidavits filed by applicants under this Section, and the
24Chief County Assessment Officer may conduct audits of any
25taxpayer claiming an exemption under this Section to verify
26that the taxpayer is eligible to receive the exemption. Each

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1application shall contain or be verified by a written
2declaration that it is made under the penalties of perjury. A
3taxpayer's signing a fraudulent application under this Act is
4perjury, as defined in Section 32-2 of the Criminal Code of
52012. The applications shall be clearly marked as applications
6for the Low-Income Senior Citizens Assessment Freeze Homestead
7Exemption and must contain a notice that any taxpayer who
8receives the exemption is subject to an audit by the Chief
9County Assessment Officer.
10 Notwithstanding any other provision to the contrary, in
11counties having fewer than 3,000,000 inhabitants, if an
12applicant fails to file the application required by this
13Section in a timely manner and this failure to file is due to a
14mental or physical condition sufficiently severe so as to
15render the applicant incapable of filing the application in a
16timely manner, the Chief County Assessment Officer may extend
17the filing deadline for a period of 30 days after the applicant
18regains the capability to file the application, but in no case
19may the filing deadline be extended beyond 3 months of the
20original filing deadline. In order to receive the extension
21provided in this paragraph, the applicant shall provide the
22Chief County Assessment Officer with a signed statement from
23the applicant's physician, advanced practice registered nurse,
24or physician assistant stating the nature and extent of the
25condition, that, in the physician's, advanced practice
26registered nurse's, or physician assistant's opinion, the

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1condition was so severe that it rendered the applicant
2incapable of filing the application in a timely manner, and
3the date on which the applicant regained the capability to
4file the application.
5 Beginning January 1, 1998, notwithstanding any other
6provision to the contrary, in counties having fewer than
73,000,000 inhabitants, if an applicant fails to file the
8application required by this Section in a timely manner and
9this failure to file is due to a mental or physical condition
10sufficiently severe so as to render the applicant incapable of
11filing the application in a timely manner, the Chief County
12Assessment Officer may extend the filing deadline for a period
13of 3 months. In order to receive the extension provided in this
14paragraph, the applicant shall provide the Chief County
15Assessment Officer with a signed statement from the
16applicant's physician, advanced practice registered nurse, or
17physician assistant stating the nature and extent of the
18condition, and that, in the physician's, advanced practice
19registered nurse's, or physician assistant's opinion, the
20condition was so severe that it rendered the applicant
21incapable of filing the application in a timely manner.
22 In counties having less than 3,000,000 inhabitants, if an
23applicant was denied an exemption in taxable year 1994 and the
24denial occurred due to an error on the part of an assessment
25official, or his or her agent or employee, then beginning in
26taxable year 1997 the applicant's base year, for purposes of

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1determining the amount of the exemption, shall be 1993 rather
2than 1994. In addition, in taxable year 1997, the applicant's
3exemption shall also include an amount equal to (i) the amount
4of any exemption denied to the applicant in taxable year 1995
5as a result of using 1994, rather than 1993, as the base year,
6(ii) the amount of any exemption denied to the applicant in
7taxable year 1996 as a result of using 1994, rather than 1993,
8as the base year, and (iii) the amount of the exemption
9erroneously denied for taxable year 1994.
10 For purposes of this Section, a person who will be a senior
11citizen at any point 65 years of age during the current taxable
12year shall be eligible to apply for the homestead exemption
13during that taxable year. Application shall be made during the
14application period in effect for the county of his or her
15residence.
16 The Chief County Assessment Officer may determine the
17eligibility of a life care facility that qualifies as a
18cooperative to receive the benefits provided by this Section
19by use of an affidavit, application, visual inspection,
20questionnaire, or other reasonable method in order to insure
21that the tax savings resulting from the exemption are credited
22by the management firm to the apportioned tax liability of
23each qualifying resident. The Chief County Assessment Officer
24may request reasonable proof that the management firm has so
25credited that exemption.
26 Except as provided in this Section, all information

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1received by the chief county assessment officer or the
2Department from applications filed under this Section, or from
3any investigation conducted under the provisions of this
4Section, shall be confidential, except for official purposes
5or pursuant to official procedures for collection of any State
6or local tax or enforcement of any civil or criminal penalty or
7sanction imposed by this Act or by any statute or ordinance
8imposing a State or local tax. Any person who divulges any such
9information in any manner, except in accordance with a proper
10judicial order, is guilty of a Class A misdemeanor.
11 Nothing contained in this Section shall prevent the
12Director or chief county assessment officer from publishing or
13making available reasonable statistics concerning the
14operation of the exemption contained in this Section in which
15the contents of claims are grouped into aggregates in such a
16way that information contained in any individual claim shall
17not be disclosed.
18 Notwithstanding any other provision of law, for taxable
19year 2017 and thereafter, in counties of 3,000,000 or more
20inhabitants, the amount of the exemption shall be the greater
21of (i) the amount of the exemption otherwise calculated under
22this Section or (ii) $2,000.
23 (c-5) Notwithstanding any other provision of law, each
24chief county assessment officer may approve this exemption for
25the 2020 taxable year, without application, for any property
26that was approved for this exemption for the 2019 taxable

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1year, provided that:
2 (1) the county board has declared a local disaster as
3 provided in the Illinois Emergency Management Agency Act
4 related to the COVID-19 public health emergency;
5 (2) the owner of record of the property as of January
6 1, 2020 is the same as the owner of record of the property
7 as of January 1, 2019;
8 (3) the exemption for the 2019 taxable year has not
9 been determined to be an erroneous exemption as defined by
10 this Code; and
11 (4) the applicant for the 2019 taxable year has not
12 asked for the exemption to be removed for the 2019 or 2020
13 taxable years.
14 Nothing in this subsection shall preclude or impair the
15authority of a chief county assessment officer to conduct
16audits of any taxpayer claiming an exemption under this
17Section to verify that the taxpayer is eligible to receive the
18exemption as provided elsewhere in this Section.
19 (c-10) Notwithstanding any other provision of law, each
20chief county assessment officer may approve this exemption for
21the 2021 taxable year, without application, for any property
22that was approved for this exemption for the 2020 taxable
23year, if:
24 (1) the county board has declared a local disaster as
25 provided in the Illinois Emergency Management Agency Act
26 related to the COVID-19 public health emergency;

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1 (2) the owner of record of the property as of January
2 1, 2021 is the same as the owner of record of the property
3 as of January 1, 2020;
4 (3) the exemption for the 2020 taxable year has not
5 been determined to be an erroneous exemption as defined by
6 this Code; and
7 (4) the taxpayer for the 2020 taxable year has not
8 asked for the exemption to be removed for the 2020 or 2021
9 taxable years.
10 Nothing in this subsection shall preclude or impair the
11authority of a chief county assessment officer to conduct
12audits of any taxpayer claiming an exemption under this
13Section to verify that the taxpayer is eligible to receive the
14exemption as provided elsewhere in this Section.
15 (d) Each Chief County Assessment Officer shall annually
16publish a notice of availability of the exemption provided
17under this Section. The notice shall be published at least 60
18days but no more than 75 days prior to the date on which the
19application must be submitted to the Chief County Assessment
20Officer of the county in which the property is located. The
21notice shall appear in a newspaper of general circulation in
22the county.
23 Notwithstanding Sections 6 and 8 of the State Mandates
24Act, no reimbursement by the State is required for the
25implementation of any mandate created by this Section.
26(Source: P.A. 101-635, eff. 6-5-20; 102-136, eff. 7-23-21;

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1102-895, eff. 5-23-22.)
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