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91_HB4026
LRB9112054SMdv
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 Assessment Freeze Homestead
9 Exemption.
10 (a) This Section may be cited as the Senior Citizens
11 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 that which increased
18 the 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. If in any subsequent taxable year for which the
30 applicant applies and qualifies for the exemption the
31 equalized assessed value of the residence is less than the
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1 equalized assessed value in the existing base year (provided
2 that such equalized assessed value is not based on an
3 assessed value that results from a temporary irregularity in
4 the property that reduces the assessed value for one or more
5 taxable years), then that subsequent taxable year shall
6 become the base year until a new base year is established
7 under the terms of this paragraph. For taxable year 1999
8 only, the Chief County Assessment Officer shall review (i)
9 all taxable years for which the applicant applied and
10 qualified for the exemption and (ii) the existing base year.
11 The assessment officer shall select as the new base year the
12 year with the lowest equalized assessed value. An equalized
13 assessed value that is based on an assessed value that
14 results from a temporary irregularity in the property that
15 reduces the assessed value for one or more taxable years
16 shall not be considered the lowest equalized assessed value.
17 The selected year shall be the base year for taxable year
18 1999 and thereafter until a new base year is established
19 under the terms of this paragraph.
20 "Chief County Assessment Officer" means the County
21 Assessor or Supervisor of Assessments of the county in which
22 the property is located.
23 "Equalized assessed value" means the assessed value as
24 equalized by the Illinois Department of Revenue.
25 "Household" means the applicant, the spouse of the
26 applicant, and all persons using the residence of the
27 applicant as their principal place of residence.
28 "Household income" means the combined income of the
29 members of a household for the calendar year preceding the
30 taxable year.
31 "Income" has the same meaning as provided in Section 3.07
32 of the Senior Citizens and Disabled Persons Property Tax
33 Relief and Pharmaceutical Assistance Act.
34 "Internal Revenue Code of 1986" means the United States
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1 Internal Revenue Code of 1986 or any successor law or laws
2 relating to federal income taxes in effect for the year
3 preceding the taxable year.
4 "Life care facility that qualifies as a cooperative"
5 means a facility as defined in Section 2 of the Life Care
6 Facilities Act.
7 "Residence" means the principal dwelling place and
8 appurtenant structures used for residential purposes in this
9 State occupied on January 1 of the taxable year by a
10 household and so much of the surrounding land, constituting
11 the parcel upon which the dwelling place is situated, as is
12 used for residential purposes. If the Chief County Assessment
13 Officer has established a specific legal description for a
14 portion of property constituting the residence, then that
15 portion of property shall be deemed the residence for the
16 purposes of this Section.
17 "Taxable year" means the calendar year during which ad
18 valorem property taxes payable in the next succeeding year
19 are levied.
20 (c) Beginning in taxable year 1994, a senior citizens
21 assessment freeze homestead exemption is granted for real
22 property that is improved with a permanent structure that is
23 occupied as a residence by an applicant who (i) is 65 years
24 of age or older during the taxable year, (ii) has a household
25 income of $35,000 or less prior to taxable year 1999 or
26 $40,000 or less in taxable year 1999 and thereafter, (iii) is
27 liable for paying real property taxes on the property, and
28 (iv) is an owner of record of the property or has a legal or
29 equitable interest in the property as evidenced by a written
30 instrument. This homestead exemption shall also apply to a
31 leasehold interest in a parcel of property improved with a
32 permanent structure that is a single family residence that is
33 occupied as a residence by a person who (i) is 65 years of
34 age or older during the taxable year, (ii) has a household
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1 income of $35,000 or less prior to taxable year 1999 or
2 $40,000 or less in taxable year 1999 and thereafter, (iii)
3 has a legal or equitable ownership interest in the property
4 as lessee, and (iv) is liable for the payment of real
5 property taxes on that property.
6 The amount of this exemption shall be the equalized
7 assessed value of the residence in the taxable year for which
8 application is made minus the base amount.
9 When the applicant is a surviving spouse of an applicant
10 for a prior year for the same residence for which an
11 exemption under this Section has been granted, the base year
12 and base amount for that residence are the same as for the
13 applicant for the prior year.
14 Each year at the time the assessment books are certified
15 to the County Clerk, the Board of Review or Board of Appeals
16 shall give to the County Clerk a list of the assessed values
17 of improvements on each parcel qualifying for this exemption
18 that were added after the base year for this parcel and that
19 increased the assessed value of the property.
20 In the case of land improved with an apartment building
21 owned and operated as a cooperative or a building that is a
22 life care facility that qualifies as a cooperative, the
23 maximum reduction from the equalized assessed value of the
24 property is limited to the sum of the reductions calculated
25 for each unit occupied as a residence by a person or persons
26 65 years of age or older with a household income of $35,000
27 or less prior to taxable year 1999 or $40,000 or less in
28 taxable year 1999 and thereafter who is liable, by contract
29 with the owner or owners of record, for paying real property
30 taxes on the property and who is an owner of record of a
31 legal or equitable interest in the cooperative apartment
32 building, other than a leasehold interest. In the instance of
33 a cooperative where a homestead exemption has been granted
34 under this Section, the cooperative association or its
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1 management firm shall credit the savings resulting from that
2 exemption only to the apportioned tax liability of the owner
3 who qualified for the exemption. Any person who willfully
4 refuses to credit that savings to an owner who qualifies for
5 the exemption is guilty of a Class B misdemeanor.
6 When a homestead exemption has been granted under this
7 Section and an applicant then becomes a resident of a
8 facility licensed under the Nursing Home Care Act, the
9 exemption shall be granted in subsequent years so long as the
10 residence (i) continues to be occupied by the qualified
11 applicant's spouse or (ii) if remaining unoccupied, is still
12 owned by the qualified applicant for the homestead exemption.
13 Beginning January 1, 1997, when an individual dies who
14 would have qualified for an exemption under this Section, and
15 the surviving spouse does not independently qualify for this
16 exemption because of age, the exemption under this Section
17 shall be granted to the surviving spouse for the taxable year
18 preceding and the taxable year of the death, provided that,
19 except for age, the surviving spouse meets all other
20 qualifications for the granting of this exemption for those
21 years.
22 When married persons maintain separate residences, the
23 exemption provided for in this Section may be claimed by only
24 one of such persons and for only one residence.
25 For taxable year 1994 only, in counties having less than
26 3,000,000 inhabitants, to receive the exemption, a person
27 shall submit an application by February 15, 1995 to the Chief
28 County Assessment Officer of the county in which the property
29 is located. In counties having 3,000,000 or more
30 inhabitants, for taxable year 1994 and all subsequent taxable
31 years, to receive the exemption, a person may submit an
32 application to the Chief County Assessment Officer of the
33 county in which the property is located during such period as
34 may be specified by the Chief County Assessment Officer. The
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1 Chief County Assessment Officer in counties of 3,000,000 or
2 more inhabitants shall annually give notice of the
3 application period by mail or by publication. In counties
4 having less than 3,000,000 inhabitants, beginning with
5 taxable year 1995 and thereafter, to receive the exemption, a
6 person shall submit an application by July 1 of each taxable
7 year to the Chief County Assessment Officer of the county in
8 which the property is located. A county may, by ordinance,
9 establish a date for submission of applications that is
10 different than July 1. The applicant shall submit with the
11 application an affidavit of the applicant's total household
12 income, age, marital status (and if married the name and
13 address of the applicant's spouse, if known), and principal
14 dwelling place of members of the household on January 1 of
15 the taxable year. The Department shall establish, by rule, a
16 method for verifying the accuracy of affidavits filed by
17 applicants under this Section. The applications shall be
18 clearly marked as applications for the Senior Citizens
19 Assessment Freeze Homestead Exemption.
20 Notwithstanding any other provision to the contrary, in
21 counties having fewer than 3,000,000 inhabitants, if an
22 applicant fails to file the application required by this
23 Section in a timely manner and this failure to file is due to
24 a mental or physical condition sufficiently severe so as to
25 render the applicant incapable of filing the application in a
26 timely manner, the Chief County Assessment Officer may extend
27 the filing deadline for a period of 30 days after the
28 applicant regains the capability to file the application, but
29 in no case may the filing deadline be extended beyond 3
30 months of the original filing deadline. In order to receive
31 the extension provided in this paragraph, the applicant shall
32 provide the Chief County Assessment Officer with a signed
33 statement from the applicant's physician stating the nature
34 and extent of the condition, that, in the physician's
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1 opinion, the condition was so severe that it rendered the
2 applicant incapable of filing the application in a timely
3 manner, and the date on which the applicant regained the
4 capability to file the application.
5 Beginning January 1, 1998, notwithstanding any other
6 provision to the contrary, in counties having fewer than
7 3,000,000 inhabitants, if an applicant fails to file the
8 application required by this Section in a timely manner and
9 this failure to file is due to a mental or physical condition
10 sufficiently severe so as to render the applicant incapable
11 of filing the application in a timely manner, the Chief
12 County Assessment Officer may extend the filing deadline for
13 a period of 3 months. In order to receive the extension
14 provided in this paragraph, the applicant shall provide the
15 Chief County Assessment Officer with a signed statement from
16 the applicant's physician stating the nature and extent of
17 the condition, and that, in the physician's opinion, the
18 condition was so severe that it rendered the applicant
19 incapable of filing the application in a timely manner.
20 In counties having less than 3,000,000 inhabitants, if an
21 applicant was denied an exemption in taxable year 1994 and
22 the denial occurred due to an error on the part of an
23 assessment official, or his or her agent or employee, then
24 beginning in taxable year 1997 the applicant's base year, for
25 purposes of determining the amount of the exemption, shall be
26 1993 rather than 1994. In addition, in taxable year 1997, the
27 applicant's exemption shall also include an amount equal to
28 (i) the amount of any exemption denied to the applicant in
29 taxable year 1995 as a result of using 1994, rather than
30 1993, as the base year, (ii) the amount of any exemption
31 denied to the applicant in taxable year 1996 as a result of
32 using 1994, rather than 1993, as the base year, and (iii) the
33 amount of the exemption erroneously denied for taxable year
34 1994.
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1 For purposes of this Section, a person who will be 65
2 years of age during the current taxable year shall be
3 eligible to apply for the homestead exemption during that
4 taxable year. Application shall be made during the
5 application period in effect for the county of his or her
6 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 (d) Each Chief County Assessment Officer shall annually
3 publish a notice of availability of the exemption provided
4 under this Section. The notice shall be published at least
5 60 days but no more than 75 days prior to the date on which
6 the application must be submitted to the Chief County
7 Assessment Officer of the county in which the property is
8 located. The notice shall appear in a newspaper of general
9 circulation in the county.
10 (Source: P.A. 90-14, eff. 7-1-97; 90-204, eff. 7-25-97;
11 90-523, eff. 11-13-97; 90-524, eff. 1-1-98; 90-531, eff.
12 1-1-98; 90-655, eff. 7-30-98; 91-45, eff. 6-30-99; 91-56,
13 eff. 6-30-99; revised 9-27-99.)