Illinois General Assembly - Full Text of HB1378

LRB104 06348 HLH 16384 b

104TH GENERAL ASSEMBLY
State of Illinois
2025 and 2026
HB1378

Introduced 1/28/2025, by Rep. Robert "Bob" Rita

SYNOPSIS AS INTRODUCED:

35 ILCS 200/23-20

Amends the Property Tax Code. Provides that, subject to certain limitations, a claim for a refund resulting from certain orders of the circuit court or from a certificate of error shall not be allowed unless the claim is filed within 20 years from the date the right to a refund arose. Effective immediately.

A BILL FOR

AN ACT concerning revenue.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Property Tax Code is amended by changing Section 23-20 as follows:

(35 ILCS 200/23-20)

Sec. 23-20. Effect of protested payments; refunds. No protest shall prevent or be a cause of delay in the distribution of tax collections to the taxing districts of any taxes collected which were not paid under protest. If the final order of the Property Tax Appeal Board or of a court results in a refund to the taxpayer, refunds shall be made by the collector from funds remaining in the Protest Fund until such funds are exhausted and thereafter from the next funds collected after entry of the final order until full payment of the refund and interest thereon has been made. Interest from the date of payment, regardless of whether the payment was made before the effective date of this amendatory Act of 1997, or from the date payment is due, whichever is later, to the date of refund shall also be paid to the taxpayer at the annual rate of the lesser of (i) 5% or (ii) the percentage increase in the Consumer Price Index For All Urban Consumers during the 12-month calendar year preceding the levy year for which the refund was made, as published by the federal Bureau of Labor Statistics.

A claim for a refund resulting from a final order of the Property Tax Appeal Board, an order of the circuit court pursuant to Section 23-15 or Section 14-15 of this Code, a certificate of error certified pursuant to Section 14-15 of this Code, or a certificate of error issued pursuant to Section 14-25 of this Code shall not be allowed unless the claim is filed within 20 years from the date the right to a refund arose; provided, however, that the aggregate total of refunded taxes and interest shall not exceed $5,000,000 in any calendar year for claims filed more than 7 years after the right to the refund arose. If the payment of a claim for a refund would cause the aggregate total of taxes and interest to exceed $5,000,000 in any year, the refund shall be paid in the next succeeding year.

The changes made to this Section by this amendatory Act of the 103rd General Assembly apply to matters concerning refund claims filed on or after the first day of the first month following the effective date of this amendatory Act of the 103rd General Assembly.

The changes made to this Section by this amendatory Act of the 104th General Assembly apply to matters concerning refund claims filed on or after the first day of the first month following the effective date of this amendatory Act of the 104th General Assembly.

(Source: P.A. 103-655, eff. 7-19-24.)

Section 99. Effective date. This Act takes effect upon becoming law.