Should the bill be enacted, it would facilitate a significant change in how property taxes are levied in Illinois, providing potential financial relief to homeowners through the proposed exemptions. The advisory nature of the referendum allows the public to express their support or opposition to the measure, which could influence future legislative decisions regarding property taxation. The repeal clause stipulated in the bill means that, unless further legislative action is taken, the provisions of this Act will cease to exist after January 1, 2027. This creates a sense of urgency for voters to engage with the referendum during the next general election.
Summary
House Bill 4018, known as the Property Tax Relief and Fairness Referendum Act of 2026, proposes a statewide advisory question regarding a general homestead exemption to be included on the ballot for the general election scheduled on November 3, 2026. The bill mandates that the State Board of Elections submit this question to the voters, indicating whether they support adopting a homestead exemption that would allow for a reduction of up to $25,000 in assessed property value. This exemption aims to cap the increase of assessed property value at a maximum of 3% or the increase in the Consumer Price Index, whichever is lower, after a property qualifies for the exemption.
Contention
The proposal might ignite discussions on the effectiveness and fairness of property tax relief measures. Supporters argue that the general homestead exemption would help moderate tax burdens on homeowners and provide more equitable taxation. Conversely, critics may raise concerns regarding the impact on local government revenues and the distribution of tax burdens across different demographic groups. The advisory question allows for a gauge of public sentiment on such critical financial policies, while also highlighting the broader implications for state budget planning and local services that rely on property tax revenues.