103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB3258 Introduced , by Rep. Kam Buckner SYNOPSIS AS INTRODUCED: 35 ILCS 200/9-260 35 ILCS 200/18-250 35 ILCS 200/21-15 35 ILCS 200/21-25 35 ILCS 200/21-45 Amends the Property Tax Code. Makes changes concerning interest penalties for omitted property, forfeited taxes, and delinquent and unpaid taxes. Effective immediately. LRB103 26864 HLH 53228 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB3258 Introduced , by Rep. Kam Buckner SYNOPSIS AS INTRODUCED: 35 ILCS 200/9-260 35 ILCS 200/18-250 35 ILCS 200/21-15 35 ILCS 200/21-25 35 ILCS 200/21-45 35 ILCS 200/9-260 35 ILCS 200/18-250 35 ILCS 200/21-15 35 ILCS 200/21-25 35 ILCS 200/21-45 Amends the Property Tax Code. Makes changes concerning interest penalties for omitted property, forfeited taxes, and delinquent and unpaid taxes. Effective immediately. LRB103 26864 HLH 53228 b LRB103 26864 HLH 53228 b A BILL FOR
103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB3258 Introduced , by Rep. Kam Buckner SYNOPSIS AS INTRODUCED:
35 ILCS 200/9-260 35 ILCS 200/18-250 35 ILCS 200/21-15 35 ILCS 200/21-25 35 ILCS 200/21-45 35 ILCS 200/9-260 35 ILCS 200/18-250 35 ILCS 200/21-15 35 ILCS 200/21-25 35 ILCS 200/21-45
35 ILCS 200/9-260
35 ILCS 200/18-250
35 ILCS 200/21-15
35 ILCS 200/21-25
35 ILCS 200/21-45
Amends the Property Tax Code. Makes changes concerning interest penalties for omitted property, forfeited taxes, and delinquent and unpaid taxes. Effective immediately.
LRB103 26864 HLH 53228 b LRB103 26864 HLH 53228 b
LRB103 26864 HLH 53228 b
A BILL FOR
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HB3258 LRB103 26864 HLH 53228 b
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 Sections 9-260, 18-250, 21-15, 21-25, and 21-45 as follows:
6 (35 ILCS 200/9-260)
7 Sec. 9-260. Assessment of omitted property; counties of
8 3,000,000 or more.
9 (a) After signing the affidavit, the county assessor shall
10 have power, when directed by the board of appeals (until the
11 first Monday in December 1998 and the board of review
12 beginning the first Monday in December 1998 and thereafter),
13 or on his or her own initiative, subject to the limitations of
14 Sections 9-265 and 9-270, to assess properties which may have
15 been omitted from assessments for the current year and not
16 more than 3 years prior to the current year for which the
17 property was liable to be taxed, and for which the tax has not
18 been paid, but only on notice and an opportunity to be heard in
19 the manner and form required by law, and shall enter the
20 assessments upon the assessment books. Any notice shall
21 include (i) a request that a person receiving the notice who is
22 not the current taxpayer contact the office of the county
23 assessor and explain that the person is not the current
103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB3258 Introduced , by Rep. Kam Buckner SYNOPSIS AS INTRODUCED:
35 ILCS 200/9-260 35 ILCS 200/18-250 35 ILCS 200/21-15 35 ILCS 200/21-25 35 ILCS 200/21-45 35 ILCS 200/9-260 35 ILCS 200/18-250 35 ILCS 200/21-15 35 ILCS 200/21-25 35 ILCS 200/21-45
35 ILCS 200/9-260
35 ILCS 200/18-250
35 ILCS 200/21-15
35 ILCS 200/21-25
35 ILCS 200/21-45
Amends the Property Tax Code. Makes changes concerning interest penalties for omitted property, forfeited taxes, and delinquent and unpaid taxes. Effective immediately.
LRB103 26864 HLH 53228 b LRB103 26864 HLH 53228 b
LRB103 26864 HLH 53228 b
A BILL FOR
35 ILCS 200/9-260
35 ILCS 200/18-250
35 ILCS 200/21-15
35 ILCS 200/21-25
35 ILCS 200/21-45
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1 taxpayer, which contact may be made on the telephone, in
2 writing, or in person upon receipt of the notice, and (ii) the
3 name, address, and telephone number of the appropriate
4 personnel in the office of the county assessor to whom the
5 response should be made. Any time period for the review of an
6 omitted assessment included in the notice shall be consistent
7 with the time period established by the assessor in accordance
8 with subsection (a) of Section 12-55. No charge for tax of
9 previous years shall be made against any property if (1) the
10 assessor failed to notify the board of review of the omitted
11 assessment in accordance with subsection (a-1) of this
12 Section; (2) the property was last assessed as unimproved, the
13 owner of such property gave notice of subsequent improvements
14 and requested a reassessment as required by Section 9-180, and
15 reassessment of the property was not made within the 16 month
16 period immediately following the receipt of that notice; (3)
17 the owner of the property gave notice as required by Section
18 9-265; (4) the assessor received a building permit for the
19 property evidencing that new construction had occurred or was
20 occurring on the property but failed to list the improvement
21 on the tax rolls; (5) the assessor received a plat map, plat of
22 survey, ALTA survey, mortgage survey, or other similar
23 document containing the omitted property but failed to list
24 the improvement on the tax rolls; (6) the assessor received a
25 real estate transfer declaration indicating a sale from an
26 exempt property owner to a non-exempt property owner but
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1 failed to list the property on the tax rolls; or (7) the
2 property was the subject of an assessment appeal before the
3 assessor or the board of review that had included the intended
4 omitted property as part of the assessment appeal and provided
5 evidence of its market value.
6 (a-1) After providing notice and an opportunity to be
7 heard as required by subsection (a) of this Section, the
8 assessor shall render a decision on the omitted assessment,
9 whether or not the omitted assessment was contested, and shall
10 mail a notice of the decision to the taxpayer of record or to
11 the party that contested the omitted assessment. The notice of
12 decision shall contain a statement that the decision may be
13 appealed to the board of review. The decision and all evidence
14 used in the decision shall be transmitted by the assessor to
15 the board of review on or before the dates specified in
16 accordance with Section 16-110.
17 (b) Any taxes based on the omitted assessment of a
18 property pursuant to Sections 9-260 through 9-270 and Sections
19 16-135 and 16-140 shall be prepared and mailed at the same time
20 as the estimated first installment property tax bill for the
21 preceding year (as described in Section 21-30) is prepared and
22 mailed. The omitted assessment tax bill is not due until the
23 date on which the second installment property tax bill for the
24 preceding year becomes due. The omitted assessment tax bill
25 shall be deemed delinquent and shall bear interest beginning
26 on the day after the due date of the second installment (as
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1 described in Section 21-25). Any taxes for omitted assessments
2 deemed delinquent after the due date of the second installment
3 tax bill shall bear interest, until paid or forfeited (as
4 described in Section 21-25), at the rate of 1.5% per month or
5 portion thereof for tax years prior to 2023 and at the rate of
6 0.75% per month or portion thereof for tax years 2023 and
7 thereafter until paid or forfeited (as described in Section
8 21-25).
9 (c) The assessor shall have no power to change the
10 assessment or alter the assessment books in any other manner
11 or for any other purpose so as to change or affect the taxes in
12 that year, except as ordered by the board of appeals (until the
13 first Monday in December 1998 and the board of review
14 beginning the first Monday in December 1998 and thereafter).
15 The county assessor shall make all changes and corrections
16 ordered by the board of appeals (until the first Monday in
17 December 1998 and the board of review beginning the first
18 Monday in December 1998 and thereafter). The county assessor
19 may for the purpose of revision by the board of appeals (until
20 the first Monday in December 1998 and the board of review
21 beginning the first Monday in December 1998 and thereafter)
22 certify the assessment books for any town or taxing district
23 after or when such books are completed.
24 (Source: P.A. 96-1553, eff. 3-10-11.)
25 (35 ILCS 200/18-250)
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1 Sec. 18-250. Additions to forfeited taxes and unpaid
2 special assessments; fee for estimate.
3 (a) When any property has been forfeited for taxes or
4 special assessments, the clerk shall compute the amount of
5 back taxes and special assessments, interest, statutory costs,
6 and printer's fees remaining due, with one year's interest on
7 all taxes forfeited, and enter them upon the collector's books
8 as separate items. Except as otherwise provided in Section
9 21-375, the aggregate so computed shall be collected in the
10 same manner as the taxes on other property for that year. The
11 county clerk shall examine the forfeitures, and strike all
12 errors and make corrections as necessary. In counties with
13 less than 3,000,000 inhabitants, interest Interest added to
14 forfeitures under this Section shall be at the rate of 12% per
15 year. In counties with 3,000,000 or more inhabitants, interest
16 shall accrue at the rate of 12% per year for tax years prior to
17 2023 and at the rate of 0.75% per month or portion thereof for
18 tax years 2023 and thereafter.
19 (b) In counties with 3,000,000 or more inhabitants, taxes
20 first extended for prior years, or previously extended for
21 prior years for which application for judgment and order of
22 sale is not already pending, shall be added to the tax of the
23 current year, with interest and costs as provided by law.
24 Forfeitures shall not be so added, but they shall remain a lien
25 on the property upon which they were charged until paid or sold
26 as provided by law. There shall be added to such forfeitures
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1 annually the same interest as would be added if forfeited
2 annually, until paid or sold, and the addition of each year's
3 interest shall be considered a separate forfeiture.
4 Forfeitures may be redeemed in the manner provided in Section
5 21-370 or 21-375. Taxes and special assessments for which
6 application for judgment and order of sale is pending, or
7 entered but not enforced for any reason, shall not be added to
8 the tax for the current year. However, if the taxes and special
9 assessments remain unpaid, the property, shall be advertised
10 and sold under judgments and orders of sale to be entered in
11 pending applications, or already entered in prior
12 applications, including judgments and orders of sale under
13 which the purchaser fails to complete his or her purchase.
14 (c) In counties with 3,000,000 or more inhabitants, on or
15 before January 1, 2001 and during each year thereafter, the
16 county clerk shall compute the amount of taxes on each
17 property that remain due or forfeited for any year prior to the
18 current year and have not become subject to Sections 20-180
19 through 20-190, and the clerk shall enter the same upon the
20 collector's warrant books of the current and all following
21 years as separate items in a suitable column. The county clerk
22 shall examine the collector's warrant books and the Tax
23 Judgment, Sale, Redemption and Forfeiture records for the
24 appropriate years and may take any other actions as the clerk
25 finds to be necessary or convenient in order to comply with
26 this subsection. On and after January 1, 2001, any taxes for
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1 any year remaining due or forfeited against real property in
2 such county not entered on the current collector's warrant
3 books shall be deemed uncollectible and void, but shall not be
4 subject to the posting or other requirements of Sections
5 20-180 through 20-190.
6 (d) In counties with 100,000 or more inhabitants, the
7 county clerk shall, when making the annual collector's books,
8 in a suitable column, insert and designate previous
9 forfeitures of general taxes by the word "forfeiture", to be
10 stamped opposite each property forfeited at the last previous
11 tax sale for general taxes and not redeemed or purchased
12 previous to the completion of the collector's books. The
13 collectors of general taxes shall stamp upon all bills
14 rendered and receipts given the information on the collector's
15 books regarding forfeiture of general taxes, and the stamped
16 notation shall also refer the recipient to the county clerk
17 for full information. The county clerk shall be allowed to
18 collect from the person requesting an estimate of costs of
19 redemption of a forfeited property, the fee provided by law.
20 (Source: P.A. 91-668, eff. 12-22-99.)
21 (35 ILCS 200/21-15)
22 Sec. 21-15. General tax due dates; default by mortgage
23 lender. Except as otherwise provided in this Section or
24 Section 21-40, all property upon which the first installment
25 of taxes remains unpaid on the later of (i) June 1 or (ii) the
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1 day after the date specified on the real estate tax bill as the
2 first installment due date annually shall be deemed delinquent
3 and shall bear interest after that date at the rate of 1.5% 1
4 1/2% per month or portion thereof in counties with less than
5 3,000,000 inhabitants. In counties with 3,000,000 or more
6 inhabitants, interest shall accrue on unpaid taxes at the rate
7 of 1.5% per month or portion thereof for tax years prior to
8 2023 and at the rate of 0.75% per month or portion thereof for
9 tax years 2023 and thereafter. Except as otherwise provided in
10 this Section or Section 21-40, all property upon which the
11 second installment of taxes remains due and unpaid on the
12 later of (i) September 1 or (ii) the day after the date
13 specified on the real estate tax bill as the second
14 installment due date, annually, shall be deemed delinquent and
15 shall bear interest after that date at the same interest rate.
16 Notwithstanding any other provision of law, if a taxpayer owes
17 an arrearage of taxes due to an administrative error, and if
18 the county collector sends a separate bill for that arrearage
19 as provided in Section 14-41, then any part of the arrearage of
20 taxes that remains unpaid on the day after the due date
21 specified on that tax bill shall be deemed delinquent and
22 shall bear interest after that date at the rate of 1 1/2% per
23 month or portion thereof. All interest collected shall be paid
24 into the general fund of the county. Payment received by mail
25 and postmarked on or before the required due date is not
26 delinquent.
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1 Property not subject to the interest charge in Section
2 9-260 or Section 9-265 shall also not be subject to the
3 interest charge imposed by this Section until such time as the
4 owner of the property receives actual notice of and is billed
5 for the principal amount of back taxes due and owing.
6 If an Illinois resident who is a member of the Illinois
7 National Guard or a reserve component of the armed forces of
8 the United States and who has an ownership interest in
9 property taxed under this Act is called to active duty for
10 deployment outside the continental United States and is on
11 active duty on the due date of any installment of taxes due
12 under this Act, he or she shall not be deemed delinquent in the
13 payment of the installment and no interest shall accrue or be
14 charged as a penalty on the installment until 180 days after
15 that member returns from active duty. To be deemed not
16 delinquent in the payment of an installment of taxes and any
17 interest on that installment, the reservist or guardsperson
18 must make a reasonable effort to notify the county clerk and
19 the county collector of his or her activation to active duty
20 and must notify the county clerk and the county collector
21 within 180 days after his or her deactivation and provide
22 verification of the date of his or her deactivation. An
23 installment of property taxes on the property of any reservist
24 or guardsperson who fails to provide timely notice and
25 verification of deactivation to the county clerk is subject to
26 interest and penalties as delinquent taxes under this Code
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1 from the date of deactivation.
2 Notwithstanding any other provision of law, when any
3 unpaid taxes become delinquent under this Section through the
4 fault of the mortgage lender, (i) the interest assessed under
5 this Section for delinquent taxes shall be charged against the
6 mortgage lender and not the mortgagor and (ii) the mortgage
7 lender shall pay the taxes, redeem the property and take all
8 necessary steps to remove any liens accruing against the
9 property because of the delinquency. In the event that more
10 than one entity meets the definition of mortgage lender with
11 respect to any mortgage, the interest shall be assessed
12 against the mortgage lender responsible for servicing the
13 mortgage. Unpaid taxes shall be deemed delinquent through the
14 fault of the mortgage lender only if: (a) the mortgage lender
15 has received all payments due the mortgage lender for the
16 property being taxed under the written terms of the mortgage
17 or promissory note secured by the mortgage, (b) the mortgage
18 lender holds funds in escrow to pay the taxes, and (c) the
19 funds are sufficient to pay the taxes after deducting all
20 amounts reasonably anticipated to become due for all hazard
21 insurance premiums and mortgage insurance premiums and any
22 other assessments to be paid from the escrow under the terms of
23 the mortgage. For purposes of this Section, an amount is
24 reasonably anticipated to become due if it is payable within
25 12 months from the time of determining the sufficiency of
26 funds held in escrow. Unpaid taxes shall not be deemed
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1 delinquent through the fault of the mortgage lender if the
2 mortgage lender was directed in writing by the mortgagor not
3 to pay the property taxes, or if the failure to pay the taxes
4 when due resulted from inadequate or inaccurate parcel
5 information provided by the mortgagor, a title or abstract
6 company, or by the agency or unit of government assessing the
7 tax.
8 (Source: P.A. 97-944, eff. 8-10-12; 98-286, eff. 1-1-14.)
9 (35 ILCS 200/21-25)
10 Sec. 21-25. Due dates; accelerated billing in counties of
11 3,000,000 or more. Except as hereinafter provided and as
12 provided in Section 21-40, in counties with 3,000,000 or more
13 inhabitants in which the accelerated method of billing and
14 paying taxes provided for in Section 21-30 is in effect, the
15 estimated first installment of unpaid taxes shall be deemed
16 delinquent and shall bear interest after March 1 and until
17 paid or forfeited, at the rate of 1.5% 1 1/2% per month or
18 portion thereof for tax years prior to 2023 and at the rate of
19 0.75% per month or portion thereof for tax years 2023 and
20 thereafter until paid or forfeited. For tax year 2010, the
21 estimated first installment of unpaid taxes shall be deemed
22 delinquent and shall bear interest after April 1 at the rate of
23 1.5% per month or portion thereof until paid or forfeited. For
24 tax year 2022, the estimated first installment of unpaid taxes
25 shall be deemed delinquent and shall bear interest after April
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1 1, 2023 at the rate of 1.5% per month or portion thereof until
2 paid or forfeited. For all tax years, the second installment
3 of unpaid taxes shall be deemed delinquent and shall bear
4 interest after August 1 annually at the same interest rate
5 until paid or forfeited. Notwithstanding any other provision
6 of law, if a taxpayer owes an arrearage of taxes due to an
7 administrative error, and if the county collector sends a
8 separate bill for that arrearage as provided in Section 14-41,
9 then any part of the arrearage of taxes that remains unpaid on
10 the day after the due date specified on that tax bill shall be
11 deemed delinquent and shall bear interest after that date at
12 the rate of 1.5% 1 1/2% per month or portion thereof for tax
13 years prior to 2023 and at the rate of 0.75% per month or
14 portion thereof for tax year 2023 and thereafter.
15 If the county board elects by ordinance adopted prior to
16 July 1 of a levy year to provide for taxes to be paid in 4
17 installments, each installment for that levy year and each
18 subsequent year shall be deemed delinquent and shall begin to
19 bear interest 30 days after the date specified by the
20 ordinance for mailing bills and until paid of forfeited , at
21 the rate of 1.5% 1 1/2% per month or portion thereof for tax
22 years prior to 2023 and at the rate of 0.75% per month or
23 portion thereof for tax years 2023 and thereafter , until paid
24 or forfeited.
25 Payment received by mail and postmarked on or before the
26 required due date is not delinquent.
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1 Taxes levied on homestead property in which a member of
2 the National Guard or reserves of the armed forces of the
3 United States who was called to active duty on or after August
4 1, 1990, and who has an ownership interest, shall not be deemed
5 delinquent and no interest shall accrue or be charged as a
6 penalty on such taxes due and payable in 1991 or 1992 until one
7 year after that member returns to civilian status.
8 If an Illinois resident who is a member of the Illinois
9 National Guard or a reserve component of the armed forces of
10 the United States and who has an ownership interest in
11 property taxed under this Act is called to active duty for
12 deployment outside the continental United States and is on
13 active duty on the due date of any installment of taxes due
14 under this Act, he or she shall not be deemed delinquent in the
15 payment of the installment and no interest shall accrue or be
16 charged as a penalty on the installment until 180 days after
17 that member returns to civilian status. To be deemed not
18 delinquent in the payment of an installment of taxes and any
19 interest on that installment, the reservist or guardsperson
20 must make a reasonable effort to notify the county clerk and
21 the county collector of his or her activation to active duty
22 and must notify the county clerk and the county collector
23 within 180 days after his or her deactivation and provide
24 verification of the date of his or her deactivation. An
25 installment of property taxes on the property of any reservist
26 or guardsperson who fails to provide timely notice and
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1 verification of deactivation to the county clerk is subject to
2 interest and penalties as delinquent taxes under this Code
3 from the date of deactivation.
4 (Source: P.A. 102-1112, eff. 12-21-22.)
5 (35 ILCS 200/21-45)
6 Sec. 21-45. Failure to issue tax bill in prior year. In the
7 event no tax bill was issued as provided in Section 21-30, on
8 any property in any previous year for any reason, one tax bill
9 shall be prepared and mailed by July 1 of the year subsequent
10 to the year in which no tax bill was issued, and taxes on that
11 property for that year only shall bear interest after the
12 first day of August of that year and until paid or forfeited at
13 the rate of 1.5% 1 1/2% per month or portion thereof for tax
14 years prior to 2023 and at the rate of 0.75% per month or
15 portion thereof for tax years 2023 and thereafter until paid
16 or forfeited.
17 (Source: P.A. 87-17; 88-455.)
18 Section 99. Effective date. This Act takes effect upon
19 becoming law.
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