Rep. John M. Cabello

Filed: 2/22/2024

 

 


 

 


 
10300HB4335ham001LRB103 35191 HLH 69954 a

1
AMENDMENT TO HOUSE BILL 4335

2    AMENDMENT NO. ______. Amend House Bill 4335 by replacing
3everything after the enacting clause with the following:
 
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), is granted for property that is used as a qualified
12residence 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

 

 

10300HB4335ham001- 2 -LRB103 35191 HLH 69954 a

1    years 2007 through 2009 and (ii) 70% for exemptions
2    granted in taxable year 2010 and each taxable year
3    thereafter, as certified by the United States Department
4    of Veterans Affairs, the annual exemption is $5,000; and
5        (2) for veterans with a service-connected disability
6    of at least 50%, but less than (i) 75% for exemptions
7    granted in taxable years 2007 through 2009 and (ii) 70%
8    for exemptions granted in taxable year 2010 and each
9    taxable year thereafter, as certified by the United States
10    Department of Veterans Affairs, the annual exemption is
11    $2,500.
12    (b-3) For taxable years 2015 and thereafter:
13        (1) if the veteran has a service connected disability
14    of 30% or more but less than 50%, as certified by the
15    United States Department of Veterans Affairs, then the
16    annual exemption is $2,500;
17        (2) if the veteran has a service connected disability
18    of 50% or more but less than 70%, as certified by the
19    United States Department of Veterans Affairs, then the
20    annual exemption is $5,000;
21        (3) if the veteran has a service connected disability
22    of 70% or more, as certified by the United States
23    Department of Veterans Affairs, then the property is
24    exempt from taxation under this Code; and
25        (4) for taxable year 2023 and thereafter, if the
26    taxpayer is the surviving spouse of a veteran whose death

 

 

10300HB4335ham001- 3 -LRB103 35191 HLH 69954 a

1    was determined to be service-connected and who is
2    certified by the United States Department of Veterans
3    Affairs as a recipient of dependency and indemnity
4    compensation under federal law, then the property is also
5    exempt from taxation under this Code.
6    (b-5) If a homestead exemption is granted under this
7Section and the person awarded the exemption subsequently
8becomes a resident of a facility licensed under the Nursing
9Home Care Act or a facility operated by the United States
10Department of Veterans Affairs, then the exemption shall
11continue (i) so long as the residence continues to be occupied
12by the qualifying person's spouse or (ii) if the residence
13remains unoccupied but is still owned by the person who
14qualified for the homestead exemption.
15    (c) The tax exemption under this Section carries over to
16the benefit of the veteran's surviving spouse as long as the
17spouse holds the legal or beneficial title to the homestead
18and , permanently resides thereon, and does not remarry. For
19taxable years before taxable year 2025, the exemption does not
20carry over to the benefit of the veteran's surviving spouse if
21the surviving spouse is remarried. For taxable year 2025 and
22thereafter, the exemption carries over to the benefit of the
23veteran's surviving spouse regardless of whether or not the
24surviving spouse is remarried as long as the surviving spouse
25holds the legal or beneficial title to the homestead and
26permanently resides thereon. If the surviving spouse sells the

 

 

10300HB4335ham001- 4 -LRB103 35191 HLH 69954 a

1property, an exemption not to exceed the amount granted from
2the most recent ad valorem tax roll may be transferred to his
3or her new residence as long as it is used as his or her
4primary residence and he or she does not remarry.
5    As used in this subsection (c):
6        (1) for taxable years prior to 2015, "surviving
7    spouse" means the surviving spouse of a veteran who
8    obtained an exemption under this Section prior to his or
9    her death;
10        (2) for taxable years 2015 through 2022, "surviving
11    spouse" means (i) the surviving spouse of a veteran who
12    obtained an exemption under this Section prior to his or
13    her death and (ii) the surviving spouse of a veteran who
14    was killed in the line of duty at any time prior to the
15    expiration of the application period in effect for the
16    exemption for the taxable year for which the exemption is
17    sought; and
18        (3) for taxable year 2023 and thereafter, "surviving
19    spouse" means: (i) the surviving spouse of a veteran who
20    obtained the exemption under this Section prior to his or
21    her death; (ii) the surviving spouse of a veteran who was
22    killed in the line of duty at any time prior to the
23    expiration of the application period in effect for the
24    exemption for the taxable year for which the exemption is
25    sought; (iii) the surviving spouse of a veteran who did
26    not obtain an exemption under this Section before death,

 

 

10300HB4335ham001- 5 -LRB103 35191 HLH 69954 a

1    but who would have qualified for the exemption under this
2    Section in the taxable year for which the exemption is
3    sought if he or she had survived, and whose surviving
4    spouse has been a resident of Illinois from the time of the
5    veteran's death through the taxable year for which the
6    exemption is sought; and (iv) the surviving spouse of a
7    veteran whose death was determined to be
8    service-connected, but who would not otherwise qualify
9    under item (i), (ii), or (iii), if the spouse (A) is
10    certified by the United States Department of Veterans
11    Affairs as a recipient of dependency and indemnity
12    compensation under federal law at any time prior to the
13    expiration of the application period in effect for the
14    exemption for the taxable year for which the exemption is
15    sought and (B) remains eligible for that dependency and
16    indemnity compensation as of January 1 of the taxable year
17    for which the exemption is sought.
18    (c-1) Beginning with taxable year 2015, nothing in this
19Section shall require the veteran to have qualified for or
20obtained the exemption before death if the veteran was killed
21in the line of duty.
22    (d) The exemption under this Section applies for taxable
23year 2007 and thereafter. A taxpayer who claims an exemption
24under Section 15-165 or 15-168 may not claim an exemption
25under this Section.
26    (e) Except as otherwise provided in this subsection (e),

 

 

10300HB4335ham001- 6 -LRB103 35191 HLH 69954 a

1each taxpayer who has been granted an exemption under this
2Section must reapply on an annual basis. Application must be
3made during the application period in effect for the county of
4his or her residence. The assessor or chief county assessment
5officer may determine the eligibility of residential property
6to receive the homestead exemption provided by this Section by
7application, visual inspection, questionnaire, or other
8reasonable methods. The determination must be made in
9accordance with guidelines established by the Department.
10    On and after May 23, 2022 (the effective date of Public Act
11102-895), if a veteran has a combined service connected
12disability rating of 100% and is deemed to be permanently and
13totally disabled, as certified by the United States Department
14of Veterans Affairs, the taxpayer who has been granted an
15exemption under this Section shall no longer be required to
16reapply for the exemption on an annual basis, and the
17exemption shall be in effect for as long as the exemption would
18otherwise be permitted under this Section.
19    (e-1) If the person qualifying for the exemption does not
20occupy the qualified residence as of January 1 of the taxable
21year, the exemption granted under this Section shall be
22prorated on a monthly basis. The prorated exemption shall
23apply beginning with the first complete month in which the
24person occupies the qualified residence.
25    (e-5) Notwithstanding any other provision of law, each
26chief county assessment officer may approve this exemption for

 

 

10300HB4335ham001- 7 -LRB103 35191 HLH 69954 a

1the 2020 taxable year, without application, for any property
2that was approved for this exemption for the 2019 taxable
3year, provided that:
4        (1) the county board has declared a local disaster as
5    provided in the Illinois Emergency Management Agency Act
6    related to the COVID-19 public health emergency;
7        (2) the owner of record of the property as of January
8    1, 2020 is the same as the owner of record of the property
9    as of January 1, 2019;
10        (3) the exemption for the 2019 taxable year has not
11    been determined to be an erroneous exemption as defined by
12    this Code; and
13        (4) the applicant for the 2019 taxable year has not
14    asked for the exemption to be removed for the 2019 or 2020
15    taxable years.
16    Nothing in this subsection shall preclude a veteran whose
17service connected disability rating has changed since the 2019
18exemption was granted from applying for the exemption based on
19the subsequent service connected disability rating.
20    (e-10) Notwithstanding any other provision of law, each
21chief county assessment officer may approve this exemption for
22the 2021 taxable year, without application, for any property
23that was approved for this exemption for the 2020 taxable
24year, if:
25        (1) the county board has declared a local disaster as
26    provided in the Illinois Emergency Management Agency Act

 

 

10300HB4335ham001- 8 -LRB103 35191 HLH 69954 a

1    related to the COVID-19 public health emergency;
2        (2) the owner of record of the property as of January
3    1, 2021 is the same as the owner of record of the property
4    as of January 1, 2020;
5        (3) the exemption for the 2020 taxable year has not
6    been determined to be an erroneous exemption as defined by
7    this Code; and
8        (4) the taxpayer for the 2020 taxable year has not
9    asked for the exemption to be removed for the 2020 or 2021
10    taxable years.
11    Nothing in this subsection shall preclude a veteran whose
12service connected disability rating has changed since the 2020
13exemption was granted from applying for the exemption based on
14the subsequent service connected disability rating.
15    (f) For the purposes of this Section:
16    "Qualified residence" means real property, but less any
17portion of that property that is used for commercial purposes,
18with an equalized assessed value of less than $250,000 that is
19the primary residence of a veteran with a disability. Property
20rented for more than 6 months is presumed to be used for
21commercial purposes.
22    "Veteran" means an Illinois resident who has served as a
23member of the United States Armed Forces on active duty or
24State active duty, a member of the Illinois National Guard, or
25a member of the United States Reserve Forces and who has
26received an honorable discharge.

 

 

10300HB4335ham001- 9 -LRB103 35191 HLH 69954 a

1(Source: P.A. 102-136, eff. 7-23-21; 102-895, eff. 5-23-22;
2103-154, eff. 6-30-23.)
 
3    Section 99. Effective date. This Act takes effect upon
4becoming law.".