Illinois 2023-2024 Regular Session

Illinois House Bill HB4456 Compare Versions

Only one version of the bill is available at this time.

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1	1	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB4456 Introduced , by Rep. Janet Yang Rohr SYNOPSIS AS INTRODUCED: 35 ILCS 200/15-65 Amends the Property Tax Code. Provides that certain property on which a community-integrated living arrangement is located is exempt from taxation under the Code. Effective immediately. LRB103 34634 HLH 64475 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB4456 Introduced , by Rep. Janet Yang Rohr SYNOPSIS AS INTRODUCED: 35 ILCS 200/15-65 35 ILCS 200/15-65 Amends the Property Tax Code. Provides that certain property on which a community-integrated living arrangement is located is exempt from taxation under the Code. Effective immediately. LRB103 34634 HLH 64475 b LRB103 34634 HLH 64475 b A BILL FOR
2	2	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB4456 Introduced , by Rep. Janet Yang Rohr SYNOPSIS AS INTRODUCED:
3	3	35 ILCS 200/15-65 35 ILCS 200/15-65
4	4	35 ILCS 200/15-65
5	5	Amends the Property Tax Code. Provides that certain property on which a community-integrated living arrangement is located is exempt from taxation under the Code. Effective immediately.
6	6	LRB103 34634 HLH 64475 b LRB103 34634 HLH 64475 b
7	7	LRB103 34634 HLH 64475 b
8	8	A BILL FOR
9	9	HB4456LRB103 34634 HLH 64475 b HB4456 LRB103 34634 HLH 64475 b
10	10	HB4456 LRB103 34634 HLH 64475 b
11	11	1 AN ACT concerning revenue.
12	12	2 Be it enacted by the People of the State of Illinois,
13	13	3 represented in the General Assembly:
14	14	4 Section 5. The Property Tax Code is amended by changing
15	15	5 Section 15-65 as follows:
16	16	6 (35 ILCS 200/15-65)
17	17	7 Sec. 15-65. Charitable purposes. All property of the
18	18	8 following is exempt when actually and exclusively used for
19	19	9 charitable or beneficent purposes, and not leased or otherwise
20	20	10 used with a view to profit:
21	21	11 (a) Institutions of public charity.
22	22	12 (b) Beneficent and charitable organizations
23	23	13 incorporated in any state of the United States, including
24	24	14 organizations whose owner, and no other person, uses the
25	25	15 property exclusively for the distribution, sale, or resale
26	26	16 of donated goods and related activities and uses all the
27	27	17 income from those activities to support the charitable,
28	28	18 religious or beneficent activities of the owner, whether
29	29	19 or not such activities occur on the property.
30	30	20 (c) Old people's homes, facilities for persons with a
31	31	21 developmental disability, and not-for-profit
32	32	22 organizations providing services or facilities related to
33	33	23 the goals of educational, social and physical development,
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37	37	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB4456 Introduced , by Rep. Janet Yang Rohr SYNOPSIS AS INTRODUCED:
38	38	35 ILCS 200/15-65 35 ILCS 200/15-65
39	39	35 ILCS 200/15-65
40	40	Amends the Property Tax Code. Provides that certain property on which a community-integrated living arrangement is located is exempt from taxation under the Code. Effective immediately.
41	41	LRB103 34634 HLH 64475 b LRB103 34634 HLH 64475 b
42	42	LRB103 34634 HLH 64475 b
43	43	A BILL FOR
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49	49	35 ILCS 200/15-65
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68	68	1 if, upon making application for the exemption, the
69	69	2 applicant provides affirmative evidence that the home or
70	70	3 facility or organization is an exempt organization under
71	71	4 paragraph (3) of Section 501(c) of the Internal Revenue
72	72	5 Code or its successor, and either: (i) the bylaws of the
73	73	6 home or facility or not-for-profit organization provide
74	74	7 for a waiver or reduction, based on an individual's
75	75	8 ability to pay, of any entrance fee, assignment of assets,
76	76	9 or fee for services, or (ii) the home or facility is
77	77	10 qualified, built or financed under Section 202 of the
78	78	11 National Housing Act of 1959, as amended.
79	79	12 An applicant that has been granted an exemption under
80	80	13 this subsection on the basis that its bylaws provide for a
81	81	14 waiver or reduction, based on an individual's ability to
82	82	15 pay, of any entrance fee, assignment of assets, or fee for
83	83	16 services may be periodically reviewed by the Department to
84	84	17 determine if the waiver or reduction was a past policy or
85	85	18 is a current policy. The Department may revoke the
86	86	19 exemption if it finds that the policy for waiver or
87	87	20 reduction is no longer current.
88	88	21 If a not-for-profit organization leases property that
89	89	22 is otherwise exempt under this subsection to an
90	90	23 organization that conducts an activity on the leased
91	91	24 premises that would entitle the lessee to an exemption
92	92	25 from real estate taxes if the lessee were the owner of the
93	93	26 property, then the leased property is exempt.
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104	104	1 (d) Not-for-profit health maintenance organizations
105	105	2 certified by the Director of the Illinois Department of
106	106	3 Insurance under the Health Maintenance Organization Act,
107	107	4 including any health maintenance organization that
108	108	5 provides services to members at prepaid rates approved by
109	109	6 the Illinois Department of Insurance if the membership of
110	110	7 the organization is sufficiently large or of indefinite
111	111	8 classes so that the community is benefited by its
112	112	9 operation. No exemption shall apply to any hospital or
113	113	10 health maintenance organization which has been adjudicated
114	114	11 by a court of competent jurisdiction to have denied
115	115	12 admission to any person because of race, color, creed, sex
116	116	13 or national origin.
117	117	14 (e) All free public libraries.
118	118	15 (f) Historical societies.
119	119	16 (g) Property on which a community-integrated living
120	120	17 arrangement is located. If the community-integrated living
121	121	18 arrangement is not operated by a not-for-profit
122	122	19 organization, then the exemption under this paragraph (g)
123	123	20 applies only if all of the following conditions are met:
124	124	21 (1) the property must be owned by a resident of the
125	125	22 community-integrated living arrangement, by a family
126	126	23 member of a resident of the community-integrated
127	127	24 living arrangement, or by a limited liability company
128	128	25 that has a member who is a resident of the
129	129	26 community-integrated living arrangement or a family
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140	140	1 member of a resident of the community-integrated
141	141	2 living arrangement;
142	142	3 (2) the community-integrated living arrangement
143	143	4 must be the principal place of residence of at least
144	144	5 one other person who is not a family member of an owner
145	145	6 or member described in item (1);
146	146	7 (3) the community-integrated living arrangement
147	147	8 must be licensed under the Community-Integrated Living
148	148	9 Arrangements Licensure and Certification Act; and
149	149	10 (4) the owner of the property may not be the owner
150	150	11 of any other community-integrated living arrangement.
151	151	12 As used in this paragraph (g):
152	152	13 "Community-integrated living arrangement" has the
153	153	14 meaning given to that term in Section 3 of the
154	154	15 Community-Integrated Living Arrangements Licensure and
155	155	16 Certification Act.
156	156	17 "Family member" means a spouse, civil union partner,
157	157	18 child, stepchild, grandchild, sibling, aunt, uncle, niece,
158	158	19 nephew, first cousin, parent, stepparent, or grandparent
159	159	20 of a person who is a resident of the community-integrated
160	160	21 living arrangement.
161	161	22 Property otherwise qualifying for an exemption under this
162	162	23 Section shall not lose its exemption because the legal title
163	163	24 is held (i) by an entity that is organized solely to hold that
164	164	25 title and that qualifies under paragraph (2) of Section 501(c)
165	165	26 of the Internal Revenue Code or its successor, whether or not
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176	176	1 that entity receives rent from the charitable organization for
177	177	2 the repair and maintenance of the property, (ii) by an entity
178	178	3 that is organized as a partnership or limited liability
179	179	4 company, in which the charitable organization, or an affiliate
180	180	5 or subsidiary of the charitable organization, is a general
181	181	6 partner of the partnership or managing member of the limited
182	182	7 liability company, for the purposes of owning and operating a
183	183	8 residential rental property that has received an allocation of
184	184	9 Low Income Housing Tax Credits for 100% of the dwelling units
185	185	10 under Section 42 of the Internal Revenue Code of 1986, as
186	186	11 amended, or (iii) for any assessment year including and
187	187	12 subsequent to January 1, 1996 for which an application for
188	188	13 exemption has been filed and a decision on which has not become
189	189	14 final and nonappealable, by a limited liability company
190	190	15 organized under the Limited Liability Company Act provided
191	191	16 that (A) the limited liability company's sole member or
192	192	17 members, as that term is used in Section 1-5 of the Limited
193	193	18 Liability Company Act, are the institutions of public charity
194	194	19 that actually and exclusively use the property for charitable
195	195	20 and beneficent purposes; (B) the limited liability company is
196	196	21 a disregarded entity for federal and Illinois income tax
197	197	22 purposes and, as a result, the limited liability company is
198	198	23 deemed exempt from income tax liability by virtue of the
199	199	24 Internal Revenue Code Section 501(c)(3) status of its sole
200	200	25 member or members; and (C) the limited liability company does
201	201	26 not lease the property or otherwise use it with a view to
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212	212	1 profit.
213	213	2 (Source: P.A. 96-763, eff. 8-25-09.)
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