Illinois 2023-2024 Regular Session

Illinois House Bill HB1377 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	Public Act 103-0793
2	1		HB1377 EnrolledLRB103 04775 HLH 49784 b HB1377 Enrolled LRB103 04775 HLH 49784 b
3	2		HB1377 Enrolled LRB103 04775 HLH 49784 b
4		-	AN ACT concerning revenue.
5		-	Be it enacted by the People of the State of Illinois,
6		-	represented in the General Assembly:
7		-	Section 5. The Property Tax Code is amended by adding
8		-	Section 15-174.5 as follows:
9		-	(35 ILCS 200/15-174.5 new)
10		-	Sec. 15-174.5. Special homestead exemption for certain
11		-	municipality-built homes.
12		-	(a) This Section applies to property located in a county
13		-	with 3,000,000 or more inhabitants. This Section also applies
14		-	to property located in a county with fewer than 3,000,000
15		-	inhabitants if the county board of that county has so provided
16		-	by ordinance or resolution.
17		-	(b) For tax year 2024 and thereafter, eligible property
18		-	qualifies for a homestead exemption under this Section for a
19		-	10-year period beginning with the tax year following the year
20		-	in which the property is first sold by the municipality to a
21		-	private homeowner. Eligible property is not eligible for a
22		-	refund of taxes paid for tax years prior to the year in which
23		-	this amendatory Act of the 103rd General Assembly takes
24		-	effect. In the case of mixed-use property, the exemption under
25		-	this Section applies only to the residential portion of the
26		-	property that is used as a primary residence by the owner.
	3	+	1 AN ACT concerning revenue.
	4	+	2 Be it enacted by the People of the State of Illinois,
	5	+	3 represented in the General Assembly:
	6	+	4 Section 5. The Property Tax Code is amended by adding
	7	+	5 Section 15-174.5 as follows:
	8	+	6 (35 ILCS 200/15-174.5 new)
	9	+	7 Sec. 15-174.5. Special homestead exemption for certain
	10	+	8 municipality-built homes.
	11	+	9 (a) This Section applies to property located in a county
	12	+	10 with 3,000,000 or more inhabitants. This Section also applies
	13	+	11 to property located in a county with fewer than 3,000,000
	14	+	12 inhabitants if the county board of that county has so provided
	15	+	13 by ordinance or resolution.
	16	+	14 (b) For tax year 2024 and thereafter, eligible property
	17	+	15 qualifies for a homestead exemption under this Section for a
	18	+	16 10-year period beginning with the tax year following the year
	19	+	17 in which the property is first sold by the municipality to a
	20	+	18 private homeowner. Eligible property is not eligible for a
	21	+	19 refund of taxes paid for tax years prior to the year in which
	22	+	20 this amendatory Act of the 103rd General Assembly takes
	23	+	21 effect. In the case of mixed-use property, the exemption under
	24	+	22 this Section applies only to the residential portion of the
	25	+	23 property that is used as a primary residence by the owner.
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33		-	(c) The exemption under this Section shall be a reduction
34		-	in the equalized assessed value of the property equal to:
35		-	(1) in the first 8 years of eligibility, 50% of the
36		-	equalized assessed value of the property in the year
37		-	following the initial sale by the municipality; and
38		-	(2) in the ninth and tenth years of eligibility, 33%
39		-	of the equalized assessed value of the property in the
40		-	year following the initial sale by the municipality.
41		-	(d) A homeowner seeking the exemption under this Section
42		-	shall file an application with the chief county assessment
43		-	officer. Once approved by the assessor, the exemption shall
44		-	renew annually and automatically without another application,
45		-	unless the exemption is waived by the current homeowner as
46		-	provided in this subsection. The exemption under this Section
47		-	is transferable to new owners of the home, provided that (i)
48		-	the exemption runs from the sale of the property by a
49		-	municipality to the first private owner, (ii) the new owner
50		-	notifies the assessor that they have taken possession of the
51		-	property, and (iii) the property is used by the owner as their
52		-	principal residence. A property owner who has received a
53		-	reduction under this Section may waive the exemption at any
54		-	time prior to the expiration of the 10-year exemption period
55		-	and begin to receive the benefits of other exemptions at their
56		-	sole and irrevocable discretion. Owners who decide to waive
57		-	the exemption shall notify the assessor on a form provided by
58		-	the assessor. The current property owner shall notify the
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	34	+	1 (c) The exemption under this Section shall be a reduction
	35	+	2 in the equalized assessed value of the property equal to:
	36	+	3 (1) in the first 8 years of eligibility, 50% of the
	37	+	4 equalized assessed value of the property in the year
	38	+	5 following the initial sale by the municipality; and
	39	+	6 (2) in the ninth and tenth years of eligibility, 33%
	40	+	7 of the equalized assessed value of the property in the
	41	+	8 year following the initial sale by the municipality.
	42	+	9 (d) A homeowner seeking the exemption under this Section
	43	+	10 shall file an application with the chief county assessment
	44	+	11 officer. Once approved by the assessor, the exemption shall
	45	+	12 renew annually and automatically without another application,
	46	+	13 unless the exemption is waived by the current homeowner as
	47	+	14 provided in this subsection. The exemption under this Section
	48	+	15 is transferable to new owners of the home, provided that (i)
	49	+	16 the exemption runs from the sale of the property by a
	50	+	17 municipality to the first private owner, (ii) the new owner
	51	+	18 notifies the assessor that they have taken possession of the
	52	+	19 property, and (iii) the property is used by the owner as their
	53	+	20 principal residence. A property owner who has received a
	54	+	21 reduction under this Section may waive the exemption at any
	55	+	22 time prior to the expiration of the 10-year exemption period
	56	+	23 and begin to receive the benefits of other exemptions at their
	57	+	24 sole and irrevocable discretion. Owners who decide to waive
	58	+	25 the exemption shall notify the assessor on a form provided by
	59	+	26 the assessor. The current property owner shall notify the
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61		-	assessor and waive the exemption if the property ceases to be
62		-	their primary residence.
63		-	(e) Notwithstanding any other provision of law, no
64		-	property that receives an exemption under this Section may
65		-	simultaneously receive a reduction or exemption under Section
66		-	15-168 (persons with disabilities), Section 15-169 (standard
67		-	homestead for veterans with disabilities); Section 15-170
68		-	(senior citizens), Section 15-172 (low-income senior
69		-	citizens), or Section 15-175 (general homestead). In the first
70		-	year following the expiration or waiver of the exemption under
71		-	this Section, a property owner that is eligible for the
72		-	Low-Income Senior Citizen Assessment Freeze exemption in that
73		-	year may establish a base amount under Section 15-172 at the
74		-	value of their home in their first year of eligibility for that
75		-	exemption during the time when they were receiving this
76		-	exemption, provided that they demonstrate retrospectively that
77		-	they were eligible for that exemption at that point in time
78		-	while receiving this exemption.
79		-	(f) As used in this Section:
80		-	"Eligible property" means property that:
81		-	(1) contains a single family residence that was built
82		-	no earlier than January 1, 2021 by a municipality and was
83		-	sold to a private homeowner before January 1, 2035;
84		-	(2) is zoned for residential or mixed use; and
85		-	(3) meets either or both of the following criteria:
86		-	(A) the property was exempt from property taxes
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89		-	prior to the construction of the home; or
90		-	(B) the municipality conducted environmental
91		-	remediation on the property pursuant to Title XVII of
92		-	the Environmental Protection Act.
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	70	+	1 assessor and waive the exemption if the property ceases to be
	71	+	2 their primary residence.
	72	+	3 (e) Notwithstanding any other provision of law, no
	73	+	4 property that receives an exemption under this Section may
	74	+	5 simultaneously receive a reduction or exemption under Section
	75	+	6 15-168 (persons with disabilities), Section 15-169 (standard
	76	+	7 homestead for veterans with disabilities); Section 15-170
	77	+	8 (senior citizens), Section 15-172 (low-income senior
	78	+	9 citizens), or Section 15-175 (general homestead). In the first
	79	+	10 year following the expiration or waiver of the exemption under
	80	+	11 this Section, a property owner that is eligible for the
	81	+	12 Low-Income Senior Citizen Assessment Freeze exemption in that
	82	+	13 year may establish a base amount under Section 15-172 at the
	83	+	14 value of their home in their first year of eligibility for that
	84	+	15 exemption during the time when they were receiving this
	85	+	16 exemption, provided that they demonstrate retrospectively that
	86	+	17 they were eligible for that exemption at that point in time
	87	+	18 while receiving this exemption.
	88	+	19 (f) As used in this Section:
	89	+	20 "Eligible property" means property that:
	90	+	21 (1) contains a single family residence that was built
	91	+	22 no earlier than January 1, 2021 by a municipality and was
	92	+	23 sold to a private homeowner before January 1, 2035;
	93	+	24 (2) is zoned for residential or mixed use; and
	94	+	25 (3) meets either or both of the following criteria:
	95	+	26 (A) the property was exempt from property taxes
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	106	+	1 prior to the construction of the home; or
	107	+	2 (B) the municipality conducted environmental
	108	+	3 remediation on the property pursuant to Title XVII of
	109	+	4 the Environmental Protection Act.
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