102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
SB2253

 

Introduced 2/26/2021, by Sen. Neil Anderson

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 200/15-169

    Amends the Property Tax Code. Provides that, for taxable years 2022 and thereafter, in the case of a veteran with any service connected disability, the property is exempt from taxation under this Code. Removes a requirement that taxpayers receiving the homestead exemption for veterans with disabilities shall reapply on an annual basis. Effective immediately.


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FISCAL NOTE ACT MAY APPLY
HOUSING AFFORDABILITY IMPACT NOTE ACT MAY APPLY

 

 

A BILL FOR

 

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1    AN ACT concerning revenue.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Property Tax Code is amended by changing
5Section 15-169 as follows:
 
6    (35 ILCS 200/15-169)
7    Sec. 15-169. Homestead exemption for veterans with
8disabilities.
9    (a) Beginning with taxable year 2007, an annual homestead
10exemption, limited to the amounts set forth in subsections (b)
11and (b-3), and (b-4) is granted for property that is used as a
12qualified residence by a veteran with a disability.
13    (b) For taxable years prior to 2015, the amount of the
14exemption under this Section is as follows:
15        (1) for veterans with a service-connected disability
16    of at least (i) 75% for exemptions granted in taxable
17    years 2007 through 2009 and (ii) 70% for exemptions
18    granted in taxable year 2010 and each taxable year
19    thereafter, as certified by the United States Department
20    of Veterans Affairs, the annual exemption is $5,000; and
21        (2) for veterans with a service-connected disability
22    of at least 50%, but less than (i) 75% for exemptions
23    granted in taxable years 2007 through 2009 and (ii) 70%

 

 

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1    for exemptions granted in taxable year 2010 and each
2    taxable year thereafter, as certified by the United States
3    Department of Veterans Affairs, the annual exemption is
4    $2,500.
5    (b-3) For taxable years 2015 through 2021 and thereafter:
6        (1) if the veteran has a service connected disability
7    of 30% or more but less than 50%, as certified by the
8    United States Department of Veterans Affairs, then the
9    annual exemption is $2,500;
10        (2) if the veteran has a service connected disability
11    of 50% or more but less than 70%, as certified by the
12    United States Department of Veterans Affairs, then the
13    annual exemption is $5,000; and
14        (3) if the veteran has a service connected disability
15    of 70% or more, as certified by the United States
16    Department of Veterans Affairs, then the property is
17    exempt from taxation under this Code.
18    (b-4) For taxable years 2022 and thereafter, if the
19veteran has a service connected disability, as certified by
20the United States Department of Veterans Affairs, then the
21property is exempt from taxation under this Code.
22    (b-5) If a homestead exemption is granted under this
23Section and the person awarded the exemption subsequently
24becomes a resident of a facility licensed under the Nursing
25Home Care Act or a facility operated by the United States
26Department of Veterans Affairs, then the exemption shall

 

 

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1continue (i) so long as the residence continues to be occupied
2by the qualifying person's spouse or (ii) if the residence
3remains unoccupied but is still owned by the person who
4qualified for the homestead exemption.
5    (c) The tax exemption under this Section carries over to
6the benefit of the veteran's surviving spouse as long as the
7spouse holds the legal or beneficial title to the homestead,
8permanently resides thereon, and does not remarry. If the
9surviving spouse sells the property, an exemption not to
10exceed the amount granted from the most recent ad valorem tax
11roll may be transferred to his or her new residence as long as
12it is used as his or her primary residence and he or she does
13not remarry.
14    (c-1) Beginning with taxable year 2015, nothing in this
15Section shall require the veteran to have qualified for or
16obtained the exemption before death if the veteran was killed
17in the line of duty.
18    (d) The exemption under this Section applies for taxable
19year 2007 and thereafter. A taxpayer who claims an exemption
20under Section 15-165 or 15-168 may not claim an exemption
21under this Section.
22    (e) Each taxpayer who has been granted an exemption under
23this Section must reapply on an annual basis. Application must
24be made during the application period in effect for the county
25of his or her residence. The assessor or chief county
26assessment officer may determine the eligibility of

 

 

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1residential property to receive the homestead exemption
2provided by this Section by application, visual inspection,
3questionnaire, or other reasonable methods. The determination
4must be made in accordance with guidelines established by the
5Department.
6    (e-1) If the person qualifying for the exemption does not
7occupy the qualified residence as of January 1 of the taxable
8year, the exemption granted under this Section shall be
9prorated on a monthly basis. The prorated exemption shall
10apply beginning with the first complete month in which the
11person occupies the qualified residence.
12    (e-5) Notwithstanding any other provision of law, each
13chief county assessment officer may approve this exemption for
14the 2020 taxable year, without application, for any property
15that was approved for this exemption for the 2019 taxable
16year, provided that:
17        (1) the county board has declared a local disaster as
18    provided in the Illinois Emergency Management Agency Act
19    related to the COVID-19 public health emergency;
20        (2) the owner of record of the property as of January
21    1, 2020 is the same as the owner of record of the property
22    as of January 1, 2019;
23        (3) the exemption for the 2019 taxable year has not
24    been determined to be an erroneous exemption as defined by
25    this Code; and
26        (4) the applicant for the 2019 taxable year has not

 

 

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1    asked for the exemption to be removed for the 2019 or 2020
2    taxable years.
3    Nothing in this subsection shall preclude a veteran whose
4service connected disability rating has changed since the 2019
5exemption was granted from applying for the exemption based on
6the subsequent service connected disability rating.
7    (f) For the purposes of this Section:
8    "Qualified residence" means real property, but less any
9portion of that property that is used for commercial purposes,
10with an equalized assessed value of less than $250,000 that is
11the primary residence of a veteran with a disability. Property
12rented for more than 6 months is presumed to be used for
13commercial purposes.
14    "Veteran" means an Illinois resident who has served as a
15member of the United States Armed Forces on active duty or
16State active duty, a member of the Illinois National Guard, or
17a member of the United States Reserve Forces and who has
18received an honorable discharge.
19(Source: P.A. 100-869, eff. 8-14-18; 101-635, eff. 6-5-20.)
 
20    Section 99. Effective date. This Act takes effect upon
21becoming law.